HomeMy WebLinkAbout06-12-2012 CLR AshbaughAGENDA
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JUN 12 2012
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FROM: John Ashbaugh
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SUBJECT: Meetings, etc. May 16 — June 11
Mqy 16: Cal Poly Community Service Awards, President's House, Cal Poly — Always a great
occasion to acknowledge the special volunteer efforts put in by Cal Poly students, staff,
and organizations to improve our community.
"Opening Minds" Art Show reception at the Souza House, Nipomo and Pismo,
presented by Transitions /Mental Health Association. Plans were displayed within this
building for its ultimate renovation as a supportive housing project for clients of
TMHA. The art show will continue for another few weeks.
Land Use /Circulation Element Task Force Workshop: Monday Club, public invited — a
fascinating look at how individuals and groups define neighborhoods, with substantial
agreement emerging about what constitutes a "quality neighborhood."
Maw: Community Action Partnership Board: Continued discussion of homeless services, as
well as energy conservation services, head start and early childhood development
programs; reductions in State and Federal grants and program assistance threaten
services that provide essential support for poor and working -poor citizens in this area.
May 23: Business Visitation — Nick Tompkins, Mindbody corporate offices, Tank Farm and
Broad Street, Mr. Tompkins is the developer of a large project in unincorporated area
that will be the site of the new Level Studios and other large -scale office buildings. His
absorption rate there is much more rapid than he had expected. As an investor, he
noted that higher fees within the City are one issue, but not the only one: Equally or
more important was the time frame and the offer of certainty once a development had
obtained its main discretionary entitlements (specific plan, tract map approval). Others
at this meeting echoed the observation that we need an inventory of 3 -5 ac sites that are
"shovel ready" and where architectural approval can be obtained without undue delays.
The County had guaranteed four months to get to Planning Commission; it actually
took 6 months due to the delays on Mr. Tompkins' part.
May 24: "Complete Street" Concept Presentation by students of Prof. Eugene Jud at Cal Poly,
Creekside MHP. Four separate teams of interdisciplinary students presented some very
interesting ideas, including: Place South Higuera on a "road diet" similar to South
Street and Foothill Blvd.; consider a round -about for Tank Farm and South Higuera, as
well as Vachel Lane and /or Suburban Road. Crosswalks and bulb -outs were proposed.
COUNCIL Liaison 6-12 -12
V1
Council Memorandum
June 12, 2012
Page 2
Separately, it was revealed that CalTrans District 5 may be contemplating a move out
of their offices and corporate yard on South Higuera adjacent to Highway 101 at
Madonna Road. More information about that prospect is available from me, if
interested.
May 28: "Lost at Sea" Memorial, Cayucos Pier, honoring "Pastor" Doug Carroll and Ross Sears
June 1: Homeless Services Center Campaign Committee Oraanizational Meeting: About 50
people who have committed to helping raise the money needed for the new Homeless
Services Center were briefed on the project during a 2 -hour presentation and Q &A at
the CAPSLO offices. The Campaign Chair is John Spatafore, with key positions held
by Roxanne Carr, Bob Wacker, and Rick Rawlings. Honorary Co- Chairs for this
campaign are Ian Parkinson and Adam Hill. The official "kick -off' will likely be
September 24. If more information is needed as to the goals for the campaign or the
program for the building, please contact me.
June 2: League of Women Voters Annual Meeting: Ian Parkinson spoke about the issues
involved in the re- alignment, providing more robust solutions for incarcerated inmates,
dealing with mentally ill defendants — often homeless when arrested.
June 6: County Water Resources Advisory Committee: Update on the County's Integrated
Regional Water Management plan, which the City of San Luis Obispo can participate
in, and decisions will be coming before the Council in the near future. Agenda and
staff reports for this meeting are in the Council office. A regional informational
meeting on hydraulic fracturing ( "fracking ") will be held in Santa Maria July 11, place
and time TBA.
June 6: Ribbon - cutting and Lighting for the City's Downtown Enhancement Project on
Higuera Street. Well attended.
June 7: Central Coast Economic Forecast, Paso Robles Event Center. See separate memo.
Central Coast Economic Forum/ Mid -Year Update — Paso Robles Event Center, June 7,
2012
Notes by John Ashbaugh, Councilmember
Panel: Ty Safreno, CEO, Trust Automation, SLO; Kevin Meyer, CEO, Specialty Silicone
Fabricators, Paso Robles; Tom Jones, Governmental Affairs, PG &E
(Moderator: Maggie Cox, Barnett Cox Associates)
The Mid -year update of the Central Coast Economic Forecast began with a welcome
from Dr, Gil Stork who introduced the panel session. The panel began with each of these
local private- sector employers explaining their business and what constraints /issues they
saw. Ty Safreno: Trust Automation has 28 employees in their local manufacturing
operation, but also employs a few others in administration as well as a sales force of
about 60 to market their products all over the world. The products they make and sell
involve ultra -high vacuum lab automation devices uses in a variety of machines,
including robotics as well as electric bikes. Kevin Meyer: Specialty Silicone Fabricators
is one of only 3 such companies in the world making medical devices from silicone; they
feel they can compete in this area because their highest cost is the complexity of their
fabrication process. They have 227 employees here as well as another operation in
Tustin.
Tom Jones noted that PG &E continues to recruit and hire new applicants, but doesn't
have the same "image" as the newer, high -tech companies with flexible hours, organic
food in the cafeteria, and pool tables in the rec rooms... People actually wear a hard hat
at PG &E. Much of their work today involves encouraging energy conservation among
their customers, retooling their existing grid on PG &E's side and at the consumer end.
One message echoed by all three panelists was the need for more flexibility regarding
overtime rules; this is one of the chief constraints to operating in California.
Tom also presented data from PG &E records that indicate a gap between past service
agreement records in both residential and commercial accounts, and current active
customer accounts — indicating a significant "shadow inventory" in real estate in several
communities. In Arroyo Grande, for example, there were 200 fewer business accounts in
2012 than in 2008. This part of the presentation seemed to rely on PG &E service and
energy use data to derive conclusions about local differences in the rate of economic
recovery within and between individual communities in the Central Coast. I'm not sure
whether electricity usage is a valid economic indicator, however, without reviewing
workforce or retail sales data from other sources such as EDD, State Board of
Equalization, etc.
One interesting "factoid" from Tom was that 40% of all the solar rooftop electricity
production connected to the grid in this country is on PG &E's system. His argument was,
however, that this success indicated that there may no longer be a need for the State
income tax incentives for rooftop solar. Others disagree.
The panel was asked to identify the one "best" thing local government can do to help
businesses create jobs. Both Mr. Safreno and Mr. Meyers cited predictability in timing of
permit review and reliability of answers given across staff. Both indicated that they
found local government to be very helpful with their desired expansions, Safreno in San
Luis Obispo and Meyers in Paso Robles.
Mr. Jones noted that his office deals with 110 local government units throughout the
Central Coast, and there is little consistency in the way that these units process PG &E
permits. He complained that one city — presumably San Luis Obispo — had taken over a
year to process an approval for a simple parking lot to handle car -pool parking for the
workers during the Diablo Canyon turbine change -out in 2009. He indicated that other
cities in the South County had taken much less time to approve their parking lot permit.
Mr. Jones suggested that, as a result, PG &E has elected to develop a $16 million office
building in the unincorporated area, presumably at Farmhouse Lane. If so, the PG &E
corporate presence that is now located in San Luis Obispo will be relocated just outside
our city limits. It would be timely for the City of San Luis Obispo and PG &E
representatives to sit down together to clarify the factors that informed this decision and
to open lines of communication.
Chris Thornberg, Beacon Economics
Thornberg is one of the more optimistic economists out there and seems to want to make
it his personal mission to dispel the image of economics as a "dismal science." His major
issue with national economic policy is that we continue to borrow money from China, in
order to keep taxes low to consumers, in order to help us buy more goods from ... China.
He does foresee a continued improvement in the economy, particularly as construction
begins to pick up. We have lost 4% of our GDP from the 2006 -7 peak to the depths of the
recession, and we still have a "tyranny of inventory" left over from that boom. The recent
rise in the unemployment rate is mostly due to increases in the labor force, people
returning to the job market — which is not a sign of weakness. The main area where
weakness is shown is in the public sector. He does not believe that California is in a long-
term decline; however we were more exposed to the factors that led to national decline in
2008 than other states. He suggested that not much will happen on a policy front until
after the election, when we will see whether the new Legislature will be more ready to
step up to correct the structural deficit we face — so far, we have only papered it over with
temporary, non - sustainable solutions. He does forecast 2% growth overall next year, 4%
increase in taxable sales statewide, and a 6% growth in property values.