CC 2021-02-23_11c Economic Development Goals_SB 1090 Funds
MEMORANDUM
TO: CITY COUNCIL
BY: WHITNEY MCDONALD, CITY MANAGER
SUBJECT: CONSIDERATION OF SETTING ECONOMIC DEVELOPMENT GOALS
AND PRIORITIES FOR PURPOSES OF CREATING A SPENDING PLAN
FOR THE CITY’S ALLOCATION OF SB 1090 FUNDS
DATE: FEBRUARY 23, 2021
SUMMARY OF ACTION:
Discussion and establishment of the City’s economic development goals and priorities
will facilitate a purposeful approach to creating a spending plan for the City’s allocation
of SB 1090 funds.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
Pursuant to a December 2016 Settlement Agreement between Pacific Gas & Electric
(PG&E) and the local San Luis Obispo County governmental entities and, later, SB 1090,
the City has received one-time Economic Development Funds (EDF) of $747,422 to
support the City’s economic development needs in light of the planned closure of the
Diablo Canyon Power Plant. In addition, the City will receive a total of $271,826 in
Essential Services Mitigation Funds (ESMF). The ESMF funds are to be disbursed in
eight annual payments of $33,978.26 beginning in 2018. To date, the City has received
the equivalent of two payments, $67,956.52. These funds are kept in a separate trust
account and have not yet been allocated by the City to any specific activities or programs.
RECOMMENDATION:
It is recommended the City Council consider and set economic development goals and
priorities for purposes of creating a spending plan for the City’s allocation of SB 1090 funds.
BACKGROUND:
SB 1090
In December 2016, a Settlement Agreement was reached between PG&E and the local
San Luis Obispo County governmental entities, including the City of Arroyo Grande,
relating to the closure of the Diablo Canyon Power Plant. The agreement was then
submitted to the California Public Utilities Commission (PUC) for approval (Application
16-08-006). Initially, issues arose at the PUC related to funding the Settlement Agreement
and its “Community Impact Mitigation Program” through ratepayers. Those issues were
resolved by the State Legislature through its adoption of SB 1090 in 2018, which amended
Item 11.c. - Page 1
CITY COUNCIL
CONSIDERATION OF SETTING ECONOMIC DEVELOPMENT GOALS AND
PRIORITIES FOR PURPOSES OF CREATING A SPENDING PLAN FOR THE CITY’S
ALLOCATION OF SB 1090 FUNDS
FEBRUARY 23, 2021
PAGE 2
Public Utilities Code Section 712.7 to require the PUC approve “[t]he full funding for the
community impact mitigation settlement proposed in Application 16-08-006.”
The Settlement Agreement includes provisions for a $10,000,000 Economic
Development Fund and provides that $747,422 is to be allocated to the City of Arroyo
Grande for economic development purposes and $271,826 in general purpose funds
related to the ESMF settlement. To date, the City has received the $747,422 in the EDF
settlement and two annual payments totaling $67,956 for the ESMF as a result of the
Settlement Agreement and SB 1090. Those funds are kept in a separate trust account
and have not yet been allocated to any activities or programs.
In addition, the County and the cities are required to report the use of their SB 1090 funds
18 months after the payment by PG&E of the Economic Development Fund and annually
thereafter. The reports are to enumerate and describe the expenditures and assess the
results and effectiveness of the economic development measures or programs resulting
from such expenditures. Reports are to be submitted to PG&E, who then submits them
to the PUC and makes them available to the public. The most recently annual report
submitted to PG&E is provided as Attachment 1. This report identifies the uses to which
each jurisdiction in the County has put their respective SB 1090 funds.
Council’s Top 10 Priorities for Fiscal Year 2020-2021
In September 2020, Council approved a list of Top 10 Priorities for Fiscal Year 2020-2021
(Attachment 2). One of the priorities addresses the development of short- and long-term
economic development goals and use of the City’s SB 1090 funds:
3. Develop short- and long-term economic development goals of the City
in light of the adopted Economic Development Element, and evaluate
and allocate SB 1090 funds for programs consistent with these
economic development goals
Discuss and identify short- and long-term economic development
goals by the Winter of 2020/2021
Evaluate and allocate SB 1090 funds for programs consistent with
the identified economic goals by the Spring of 2021
ANALYSIS OF ISSUES:
Allowed Uses of SB 1090 Funds
The terms of the Settlement Agreement and SB 1090 provide that the cities may use the
funds for implementation of regional economic development and job creation programs.
The Joint Motion to the PUC by PG&E and the local entities seeking approval of the
Settlement Agreement noted the following about the purpose of the Economic
Development Fund:
Item 11.c. - Page 2
CITY COUNCIL
CONSIDERATION OF SETTING ECONOMIC DEVELOPMENT GOALS AND
PRIORITIES FOR PURPOSES OF CREATING A SPENDING PLAN FOR THE CITY’S
ALLOCATION OF SB 1090 FUNDS
FEBRUARY 23, 2021
PAGE 3
The purpose of the EDF is to provide immediate funding for actions to create
new economic development opportunities, and it would be used by the
Cities and the County solely for economic development and closure impact
mitigation purposes. The local governments would report regularly on the
use of the funds and the effectiveness of the EDF, and these reports would
be submitted to the Commission and be made public.
Appendix 2 of the Settlement Agreement (Attachment 3) provides the “Terms” for the
$10,000,000 Economic Development Fund. Specifically, Section 2 states that “[t]he
purpose of the Economic Development Fund is to provide immediate funding for actions
to create new economic development opportunities and mitigate impacts associated with
the pending closure of Diablo Canyon.” Section 4 of Appendix 2 further provides that “[t]he
County and Coalition of Cities commit to spending the Economic Development Fund
solely for the purposes of economic development and impact mitigation purposes.”
Economic Development Element
The City adopted an Economic Development Element in 2012 (Element) (Attachment 4)
with the following stated purpose:
The purpose of the Economic Development Element is to provide a
framework for residents, business owners, prospective new business
owners, and City officials to guide the City’s economic growth for the next
10 years. The goals, objectives, policies and implementation measures are
intended to encourage the development of the types of business and
commercial activities that serve the community and promote a healthy,
thriving economy. A balance is continually sought between economic vitality
and the preservation of the City’s quality of life and small-town character.
The Element then identifies a number of objectives, policies, and implementation
measures to help the City reach specific goals stated at the beginning of the Element:
There are four primary goals related to the City’s economic development
that should be considered when establishing priorities, weighing economic
impacts of land use decisions, and determining the progress toward policy
implementation. The four goals are:
1. Create a thriving economy
2. Meet unmet community needs
3. Promote business activity
4. Provide superior customer service
Objectives, policies, and implementation measures are then organized into the following
categories with the aim of meeting the identified goals:
Item 11.c. - Page 3
CITY COUNCIL
CONSIDERATION OF SETTING ECONOMIC DEVELOPMENT GOALS AND
PRIORITIES FOR PURPOSES OF CREATING A SPENDING PLAN FOR THE CITY’S
ALLOCATION OF SB 1090 FUNDS
FEBRUARY 23, 2021
PAGE 4
Section 2. Community Image Enhancement
Section 3. Office, Mixed Uses, Light Manufacturing, and Technology
Section 4. Agriculture
Section 5. Retail/Commercial
Section 6. Tourism, Marketing, and Promotion
Section 7. Development Process
Section 8. Sustainability
These goals, objectives, policies, and implementation measures identified in the Element
may be useful when evaluating and establishing short- and long-term economic
development priorities for purposes of allocating the City’s SB 1090 funds. The Element
is provided as Attachment 3 for ease of reference.
Staff has provided suggested short- and long-term economic development priorities for
Council’s consideration. Objectives and policies are identified from the Economic
Development Element that support each suggested priority. However, different priorities
may be identified by Council. Implementation mechanisms are also identified following
the suggested priorities to provide context and suggestions for actions the City may take
to carry out the identified priorities. Once short- and long-term economic development
priorities are established, staff will return at a future meeting with more detailed action
items for Council’s consideration and a potential spending plan for the City’s SB 1090
funds.
Potential Immediate and Short-Term Economic Development Priorities
In light of the concurrent needs created by the COVID-19 pandemic and the planned
closure of the Diablo Canyon Power Plant, immediate and short-term economic
development needs will likely focus on business retention and stabilization to support
economic recovery efforts as the pandemic resolves. The suggested priorities identified
below would be designed to be implemented within the next year.
Suggested Immediate and Short-Term Priorities
Support the retention of existing Arroyo Grande businesses
o Economic Development Element support:
ED3: Enhance business retention and expansion consistent with the
General Plan Land Use Policies to promote and enhance baseline
job opportunities within the City for local residents.
ED5: Pursue unique opportunities to promote continuity within
commercial service and retail business sectors of the City.
ED5-1: Promote local patronage and strong performance in
satisfying local demand for goods and services and the creation of
additional jobs.
Item 11.c. - Page 4
CITY COUNCIL
CONSIDERATION OF SETTING ECONOMIC DEVELOPMENT GOALS AND
PRIORITIES FOR PURPOSES OF CREATING A SPENDING PLAN FOR THE CITY’S
ALLOCATION OF SB 1090 FUNDS
FEBRUARY 23, 2021
PAGE 5
ED5-2: Continue to enhance connectivity and increase retail
utilization of the East Grand Avenue corridor, the Village Core, and
the Traffic Way and El Camino Real mixed-use corridors.
ED5-5: Promote a pro-retail and hospitality program.
Support the retention and development of head-of-household jobs
o Economic Development Element support:
ED3: Enhance business retention and expansion consistent with the
General Plan Land Use Policies to promote and enhance baseline
job opportunities within the City for local residents.
ED3-2: Continue outreach and networking with industry and
technology groups, real estate brokers, developers, and others
including accountants, lenders, and attorneys to promote and
enhance baseline job opportunities within the City for local residents.
Potential Implementation Mechanisms:
Implement a COVID-19 Relief Program that provides grants and other support to
Arroyo Grande businesses through programs such as:
o Business Assistance Grant Program
o Shop Local Gift Card Reward Program
o COVID Resiliency Grant Program
o Business Beautification Grant Program
o Retraining Scholarship Program
Continue supporting the ongoing needs of existing businesses for new or
additional outdoor space in response to COVID-19 health orders by offering no-
cost use permits and encroachment permits for outdoor dining, fitness center, and
personal care services uses, and supplying protective barriers for parklets.
Potential Long-Term Economic Development Priorities
Staff has identified proposed economic development priorities that look beyond short-
term economic recovery needed following the COVID-19 crisis and toward improvement
that would occur over the next ten years.
Suggested Long-Term Priorities
Increase the attraction and retention of businesses that are consistent with
the City’s character.
o ED2: Develop a marketing program to enhance the City’s attractive and
vibrant small town image.
o ED2-2: Create a balanced economic image of agriculture, history,
technology and commerce for the City of Arroyo Grande.
o ED2-3: Encourage investment through the provision of sustainable
infrastructure, attainable housing opportunities and attractive commercial
areas and create an awareness of business opportunities within the City.
Item 11.c. - Page 5
CITY COUNCIL
CONSIDERATION OF SETTING ECONOMIC DEVELOPMENT GOALS AND
PRIORITIES FOR PURPOSES OF CREATING A SPENDING PLAN FOR THE CITY’S
ALLOCATION OF SB 1090 FUNDS
FEBRUARY 23, 2021
PAGE 6
o ED2-5: Promote businesses that foster or derive benefit from multi-modal
transportation opportunities such as bike touring, bus, and car-pool
commuters.
o ED3: Enhance business retention and expansion consistent with the
General Plan Land Use Policies to promote and enhance baseline job
opportunities within the City for local residents.
o ED4: Encourage and support the retention and expansion of agricultural
business activities.
o ED5-1: Promote local patronage and strong performance in satisfying local
demand for goods and services and the creation of additional jobs.
o ED5-5: Promote a pro-retail and hospitality program.
o ED7: Develop a pro-business community image, including simplifying and
improving the development review process.
Increase revenue sources for the City through new retail, commercial, and
hotel uses.
o ED2: Develop a marketing program to enhance the City’s attractive and
vibrant small town image.
o ED2-1: Maintain a long range, comprehensive marketing program to
promote the City as a business friendly community with small town
character.
o ED5: Pursue unique opportunities to promote continuity within commercial
service and retail business sectors of the City.
o ED5-1: Promote local patronage and strong performance in satisfying local
demand for goods and services and the creation of additional jobs.
o ED5-2: Continue to enhance connectivity and increase retail utilization of
the East Grand Avenue corridor, the Village Core, and the Traffic Way and
El Camino Real mixed-use corridors.
o ED5-3: Implement revitalization and rehabilitation of historic and older
structures and provide incentives for adaptive reuse.
o ED5-4: Expand and enhance the Village Core as a focal point for civic and
tourist activities.
o ED5-5: Promote a pro-retail and hospitality program.
o ED6: Develop a strategy that promotes the importance of tourism and
capitalizes on the City’s natural resources.
o ED6-1: Become an active participant in countywide tourism programs.
o ED6-2: Enhance the image of the City through special events and promote
and increase those events in the off-peak retail season and at sites that are
economically accessible to residents and visitors alike.
o ED6-3: Capitalize on development opportunities to increase lodging
facilities.
o ED6-4: Expand the City’s tourism potential through the Internet and social
media.
Item 11.c. - Page 6
CITY COUNCIL
CONSIDERATION OF SETTING ECONOMIC DEVELOPMENT GOALS AND
PRIORITIES FOR PURPOSES OF CREATING A SPENDING PLAN FOR THE CITY’S
ALLOCATION OF SB 1090 FUNDS
FEBRUARY 23, 2021
PAGE 7
o ED7: Develop a pro-business community image, including simplifying and
improving the development review process.
o ED7-1: Monitor and modify where necessary the development review
process and identify ways in which it can be streamlined and improved.
Support the construction of new housing within the City.
o ED2-3: Encourage investment through the provision of sustainable
infrastructure, attainable housing opportunities and attractive commercial
areas and create an awareness of business opportunities within the City.
o ED3: Enhance business retention and expansion consistent with the
General Plan Land Use Policies to promote and enhance baseline job
opportunities within the City for local residents.
o ED3-1: Encourage adequate infrastructure to support business expansions,
redevelopment, and new development.
o ED7-1: Monitor and modify where necessary the development review
process and identify ways in which it can be streamlined and improved.
o ED8: Support and encourage a sustainable local economy.
o ED8-2: The City shall conduct public education and outreach to support
employment opportunities that minimize the need for automobile trips, such
as live/work developments, telecommuting, satellite work centers, and
home occupations, in addition to mixed-use development strategies.
Support the development and retention of head-of-household jobs:
o ED3: Enhance business retention and expansion consistent with the
General Plan Land Use Policies to promote and enhance baseline job
opportunities within the City for local residents.
o ED3-2: Continue outreach and networking with industry and technology
groups, real estate brokers, developers, and others including accountants,
lenders, and attorneys to promote and enhance baseline job opportunities
within the City for local residents.
o ED5-1: Promote local patronage and strong performance in satisfying local
demand for goods and services and the creation of additional jobs.
o ED8-2: The City shall conduct public education and outreach to support
employment opportunities that minimize the need for automobile trips, such
as live/work developments, telecommuting, satellite work centers, and
home occupations, in addition to mixed-use development strategies.
Support the development and maintenance of infrastructure that is
necessary to serve businesses and residents in and around the City.
o ED2-3: Encourage investment through the provision of sustainable
infrastructure, attainable housing opportunities and attractive commercial
areas and create an awareness of business opportunities within the City.
o ED3-1: Encourage adequate infrastructure to support business expansions,
redevelopment, and new development.
o ED8: Support and encourage a sustainable local economy.
Item 11.c. - Page 7
CITY COUNCIL
CONSIDERATION OF SETTING ECONOMIC DEVELOPMENT GOALS AND
PRIORITIES FOR PURPOSES OF CREATING A SPENDING PLAN FOR THE CITY’S
ALLOCATION OF SB 1090 FUNDS
FEBRUARY 23, 2021
PAGE 8
Potential Implementation Mechanisms:
The Economic Development Element contains several implementation measures that
could be identified to support the priorities identified above. For brevity and to support a
focused consideration of potential long-term priorities, the following mechanisms are
identified as examples of efforts that would support a number of the priorities discussed
above:
Implement focused efforts to develop opportunity sites within the City, including
the East Grand Avenue corridor and key undeveloped or underdeveloped
properties.
Streamline the development review process, including through a Comprehensive
General Plan and Development Code Update and completion of Housing Element
programs such as amendments to the City’s Accessory Dwelling Unit (ADU)
ordinance and development of pre-approved ADU plans.
Develop or enhance partnerships with business support and economic
development organizations such as the Chamber and REACH that would support
job creation and retention, attraction of new business, and enhancement of existing
business opportunities.
Fund key infrastructure improvements needed to support or enable economic
development opportunities within the City.
Evaluate existing and future fee programs applicable to new development within
the City to ensure an appropriate balance between the provision of City services
and lessening barriers to development.
Evaluate the potential for amendments to the existing Development Code and
General Plan to enable new cannabis businesses within the City, as appropriate
and desirable.
The discussion above is intended to foster consideration of various options and is not
intended to be exhaustive. The Economic Development Element describes several
programs and policies that are not described in this report but that Council or the public
may wish to bring forward and prioritize for implementation. This item is intended to allow
that process to occur. Once immediate, short-, and long-term economic development
priorities are established, staff will return with suggested measures and work items that
may be undertaken using SB 1090 funds in accordance with these priorities.
ALTERNATIVES:
The following alternatives are provided for Council’s consideration:
1. Consider and establish immediate, short-, and long-term economic development
priorities for the City and provide direction to staff regarding potential implementation
mechanisms that may utilize the City’s SB 1090 funds;
2. Consider and establish immediate and short-term economic development priorities
and provide direction to staff regarding additional information needed to enable
Council to establish the City’s long-term economic development priorities; or
3. Provide other direction to staff.
Item 11.c. - Page 8
CITY COUNCIL
CONSIDERATION OF SETTING ECONOMIC DEVELOPMENT GOALS AND
PRIORITIES FOR PURPOSES OF CREATING A SPENDING PLAN FOR THE CITY’S
ALLOCATION OF SB 1090 FUNDS
FEBRUARY 23, 2021
PAGE 9
ADVANTAGES:
Establishing the City’s economic development priorities will enable staff to develop an
implementation plan that will utilize the City’s SB 1090 funds in a targeted and effective
manner.
DISADVANTAGES:
No disadvantages have been identified at this time.
ENVIRONMENTAL REVIEW:
No environmental review is required for this item.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
Attachments:
1. 2020 Annual Report of SB 1090 Expenditures
2. Council’s Top 10 Priorities List for Fiscal Year 2020-2021
3. Settlement Agreement
4. Economic Development Element
Item 11.c. - Page 9
Annual Report for SB 1090 EDF
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
A B C D E F G H I
Agency Expenditure Title Expenditure Description - Brief Date Allocated Allocated
Amount
Amount Spent
(As of 9/30/20)
Amount Unspent
(As of 9/30/20)
Results / Effectiveness
(As of 9/30/20)Notes
County of SLO
Central Coast Jobs
Roadmap and Action
Plan
Funding for approximately 40% of the Hourglass Project
(REACH) capital campaign to develop a Central Coast Jobs
Roadmap and Action Plan.
4/23/2019
(Allocated by Board of
Supervisors, with
concurrence from
Coalition of Cities)
300,000$ 300,000$
REACH (Hourglass Project) convened numerous stakeholder community meetings to
develop a jobs roadmap and action plan for the San Luis Obispo County, northern Santa
Barbara County region (Fort Hunter Ligget to Vandenberg AFB), work included creating a
regional database for data relevant to economic development, employers, and talent
development and retention
Part of initial EDF $400,000 regional allocation
County of SLO n/a 100,000$ 100,000$ Remainder of EDF $400,000 regional allocation
County of SLO n/a 3,648,000$ 3,648,000$
City of Grover
Beach via County
of SLO
Economic Development
Services Contract
Contract services with the South County Chambers
of Commerce for economic development work including
business retention and attraction activities
2-Dec-19 92,000$ 70,000$ 22,000$
Conducted business outreach survey, identified four key industry sectors to focus business
attraction activities and began conducting outreach meetings, began development of
business attraction strategy to develop resilient and diverse economy, and created
economic assets website with marketing videos about business opportunities
City's allocation was included as part of County's SB 1090 EDF allocation
City of Grover
Beach via County
of SLO
Business Assistance
Microgrants
One-time microgrants of up to $10,000 to Grover
Beach businesses to help address financial impacts
from COVID-19 health requirements, purchase PPE
for employees, or create new business opportunities
1-Jul-20 100,000$ 100,000$ -$
City partnered with South County Chambers of Commerce to receive and review
applications and determine recipients. Microgrants were awarded to 20 local businesses in
a range of industries and sizes which has enabled all of them to remain in business at this
time to retain employees with some of the businesses able to expand their operations
with this one-time assistance. The City conducted a second round of microgrants using
federal CARES Act funds and other cities followed with similar microgrants.
City's allocation was included as part of County's SB 1090 EDF allocation
City of Arroyo
Grande N/A 747,422$ 747,422$
One of the top priorities for Arroyo Grande's City Council is to develop short and long-term
economic development goals for the City in light of the adopted Economic Development
Element, and evaluate and allocate SB 1090 funds to programs consistent with these
economic development goals. Identifying the economic development goals is scheduled
for Winter of 2020/2021. An evaluation of the use of SB 1090 funds, based on identifying
the economic development goals, will be completed sometime around the Spring of 2021.
City of Pismo
Beach Pismo Beach Pier Plaza
The Pier Plaza project is an economic development project
that will provide a central place for visitors and residents to
gather to enjoy the beautiful Pismo Beach scenery and Pier.
This improved Pier Plaza experience allows more
opportunities for visitors and residents to visit the area's
restaurants, retail shops, and other businesses.
10/1/2019 R-2019-072 767,028$ 767,028$ -$
The Pier Plaza was opened on 9/4/20 and has been a major attraction drawing visitors to
check out the various amenities of the Pier Plaza. We believe this is providing economic
development to an area that was simply a parking lot.
Economic Mitigation Funds
City of San Luis
Obispo Shop Local Campaign Marketing campaign to encourage local shopping and
support of local businesses 1-Jul-19 30,000$ 17,863$ 12,137$
The Support Local campaign achieved strong results in Q1 through the implementation of
the #SLOready micro-campaign. Tactics included various social media promotions, paid
advertising, public relations and direct business support. In total during the first quarter of
20-21, the Support Local campaign achieved 501,115 impressions and directly promoted
over 40 local businesses.
The remaining balance will be spent on the upcoming holiday season.
City of San Luis
Obispo
Economic Development
Strategic Plan Update to the City's Economic Development Strategic Plan 1-Jul-19 70,000$ 70,000$ Moved to FY21 given the ongoing health emergency and related economic conditions.
City of San Luis
Obispo
Infrastructure
Investment Fund
Allocation to strategic infrastructure projects related to
development agreements, main thoroughfare improvments,
and Downtown renewal.
1-Jul-19 1,719,341$ 275,000$ 1,444,341$ Downtown improvements for safe businees access. Intersection improvements to
allow access to a business park on Tank Farm Rd.
City of Paso
Robles
Economic Development
Services
Economic Development services provided by the Paso
Robles Chamber of Commerce (funded by the City of Paso
Robles) FY 2017-18, 2018-19, 2019-20
11/19/2019-City
Council, Item # 14,
RESO # 19-124
515,000$ 515,000$ -$
The City contracted with the Chamber to provide business attraction and retention
services, business outreach, workforce development coordination, economic data and
communication tools/documents.
City of Paso
Robles
Economic Support
Sponsorship
Economic support through sponsorship of the Economic
Vitality Corporation
11/19/2019-City
Council, Item # 14,
RESO # 19-124
5,000$ 5,000$ -$
Annual sponsorshipof the Economic Vitality Corporation. Sponsorship support creates
more job and business opportunities in the local economy and raises the quality of life for
many while continuing to grow and attract investments into our communities.
City of Paso
Robles Economic Development Reimbursement of 17% of Coalition of Cities lobbying costs
related to the closure of Diablo Canyon Nuclear Power Plant.
11/19/2019-City
Council, Item # 14,
RESO # 19-124
28,405$ 28,405$ -$
City of Paso
Robles Economic Development
Beginning in FY 2020-21, Economic Development services
are now provided by City staff, more specifically, our
Economic Development Director.
6/16/2020-City
Council, Item 15, RESO
# 20-109
170,790$ 22,504$ 148,286$
The City migrated economic development activities in-house to provide business
attraction and retention services, business outreach, workforce development
coordination, economic data and communication tools/documents.
1 of 2 10/28/2020
ATTACHMENT 1
Item 11.c. - Page 10
Annual Report for SB 1090 EDF
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17
18
19
20
21
22
23
24
25
26
27
A B C D E F G H I
City of Paso
Robles Business Success Center Business Success Center project costs. Consultant costs for
project management.
11/19/2019-City
Council, Item # 14,
RESO # 19-124
26,936$ 26,936$ -$
The City contracted with a consultant with the expertise and project knowledge to develop
the concept for the Business Success Center and be the driving force for the project
through to successful completion in a cost-effective manner. The consultant worked with
City staff to ensure that coordination between the City and Sandbox/Kaldera Collective
was seamless and achieved a successful project.
City of Paso
Robles Business Success Center
Business Success Center start up loan to Sandbox/Kaldera
Colective ($300,000 to be repaid by 7/1/2030/$99,500 loan
forgiveness over first 4 years)
06/18/19-City Council,
Item # 23 399,500$ 399,500$ -$
The Business Success Center (BSC) is the City's primary initiative in business development.
The BSC will provide coworking space, training, seminars, individualized mentoring, pitch
contests, and other resources that will lead to business attraction, expansion, incubation,
acceleration, and development. Additionally, it will be a hub for collaboration and
community building, and unique events, post-pandemic.
City of Atascadero n/a 783,106$ 783,106$ Economic Development Funds- unspent as of report date 9/30/20
City of Morro Bay Chamber of Commerce Funding for economic development ombudsman support
between the City of Morro Bay and Chamber of Commerce 7/1/2019 and 7/1/2020 134,000$ 134,000$ -$ Crtiical economic development support for the City. The chamber serves as the economic
development wing of the City, to help attract and retain businesses in Morro Bay.
City of Morro Bay COVID-19 Business
Support
Small Business Grant Funding and purchasing signage for
businesses that could provide pick-up service 4/1/2020 397$ 397$ -$ This investment helped draw community/visitor attention to restraurants that were
providing pick-up serivce when they had to shut down their inside business.
City of Morro Bay COVID-19 Small Business
Grant Program
Small Business Grant Funding and purchasing signage for
businesses that could provide pick-up service 10/13/2020 100,000$ -$ 100,000$ The City just launched the grant program in October 2020, which will provide up to $5,000
grants to businesses that suffered finaical losses as a result of COVID-19.
City of Morro Bay Grant Program Funding to support Economic Vitality Corporation and
SCORE n/a 6,000$ 6,000$ EVC and SCORE help Morro Bay businesses and connect Morro Bay to important regional
economic development opportunities.
City of Morro Bay Waterfront Business
Support
Funding to provide additional staff support for maintenance
on the embarcadero during peak summer/tourist season n/a 16,000$ 7,218$ 8,782$
This investment is critical in addressing the large number of visitors who cam to Morro Bay
over the summer and significantly impacted restroom and trash service. This investment
helped keep our visitor serving areas clean, which should lead to repeat visitation and help
our local economy.
City of Morro Bay n/a 241,075$ 241,075$
Totals $ 10,000,000 $ 2,674,851 $ 7,325,149
$ 10,000,000
2 of 2 10/28/2020Item 11.c. - Page 11
Top 10 Council Priorities
Fiscal Year 2020-21 Work Items COVID-19 Response ATTACHMENT 2
1.Ongoing response to changes in State and local COVID-19 orders and regulations,
including changes to operations for local businesses and City functions and enforcement
•Continue issuing temporary use and encroachment permits as necessary and
appropriate to support changes in business needs throughout the reopening
process
•Continue supporting the parklet program throughout the reopening process and
evaluate the potential for retaining parklets indefinitely
•Continue providing recreation and childcare services in a safe and flexible
manner, consistent with COVID-19 orders and restrictions
•Review requests from business owners and the public for accommodations and
enforcement in light of changing COVID-19 orders and restrictions
•Adapt City functions to the reopening process in a manner that ensures the
safety and overall wellbeing of employees and the public while also continuing
to deliver excellent customer serviceFiscal Stability and Economic Development 2.Continue ensuring fiscal stability for the organization throughout the planning,
budgeting, and expenditure processes
•Prepare and present year-end and quarterly financial reports to Council
•Prepare a biennial budget for Fiscal Years 2021-22 and 2022-23
•Continue supporting the Five Cities Fire Authority's evaluation of financial and
service level options for the delivery of cost-efficient fire and emergency services
in Arroyo Grande
3.Develop short-and long-term economic development goals of the City in light of the
adopted Economic Development Element, and evaluate and allocate SB 1090 funds for
programs consistent with these economic development goals
•Discuss and identify short-and long-term economic development goals by the
Winter of 2020 / 2021
•Evaluate and allocate SB 1090 funds for programs consistent with the identified
economic goals by the Spring of 2021Affordable Housing 4.Complete and adopt an updated Housing Element consistent with State law by January
2021
5.Complete and adopt an amended ADU Ordinance that also addresses Tiny Homes on
Wheels, and support the completion of pre-approved ADU plans that will streamline the
ADU approval process
Item 11.c. - Page 12
Infrastructure and Water Resilience Planning 6.Complete and adopt an updated Circulation Element
7.Complete and approve a Water/Wastewater Rate Study in the Spring of 2021
8.Complete and approve a Central Coast Blue Memorandum of Agreement that builds
upon the framework approved by Council on August 25, 2020
9.Receive an update and review the future of the Brisco Interchange Project before
February 2021Organizational Excellence and Diversity, Equity, and Inclusion Initiatives 10.Continue stabilizing and strengthening the organization through recruitment, retention,
and structural adjustments, and develop and implement a Council-adopted goal to
promote diversity, equity, and inclusion
•Present a proposed policy to Council supporting diversity, equity, and inclusion
by the Winter of 2020 / 2021
•Implement diversity, equity, and inclusion initiatives in areas of hiring, retention,
and community engagement
•Recruit and retain new employees for key vacant positions
•Continue implementing operational changes to optimize efficiency while
maintaining excellent customer service
•Continue updates to our Police Department's policies, practices, and training,
including those that address diversity, equity, inclusion, and use of force
•Support the Police Chief's development and implementation of a public outreach
plan
*Items that do not include specific deadlines or dates are intended to be completed by the end of
Fiscal Year 2020-21.
Item 11.c. - Page 13
BEFORE THE
PUBLIC UTILITIES COMMISSION
OF THE STATE OF CALIFORNIA
Application of Pacific Gas and Electric
Company for Approval of the Retirement of
Diablo Canyon Power Plant, Implementation of
the Joint Proposal, And Recovery of Associated
Costs Through Proposed Ratemaking
Mechanisms
U 39 E)
Application 16-08-006
Filed August 11, 2016)
SETTLEMENT AGREEMENT BETWEEN
PACIFIC GAS AND ELECTRIC COMPANY (U 39 E),
THE COUNTY OF SAN LUIS OBISPO, THE CITY OF ARROYO GRANDE,
THE CITY OF ATASCADERO, THE CITY OF MORRO BAY, THE CITY OF PASO
ROBLES, THE CITY OF PISMO BEACH, THE CITY OF SAN LUIS OBISPO,
THE SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT, FRIENDS OF THE
EARTH, NATURAL RESOURCES DEFENSE COUNCIL, ENVIRONMENT
CALIFORNIA, INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS
LOCAL 1245, COALITION OF CALIFORNIA UTILITY EMPLOYEES,
AND ALLIANCE FOR NUCLEAR RESPONSIBILITY
ATTACHMENT 3
Item 11.c. - Page 14
1
SETTLEMENT AGREEMENT BETWEEN
PACIFIC GAS AND ELECTRIC COMPANY (U 39 E),
THE COUNTY OF SAN LUIS OBISPO, THE CITY OF ARROYO GRANDE,
THE CITY OF ATASCADERO, THE CITY OF MORRO BAY, THE CITY OF PASO
ROBLES, THE CITY OF PISMO BEACH, THE CITY OF SAN LUIS OBISPO,
THE SAN LUIS COASTAL UNIFIED SCHOOL DISTRICT, FRIENDS OF THE
EARTH, NATURAL RESOURCES DEFENSE COUNCIL, ENVIRONMENT
CALIFORNIA, INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS
LOCAL 1245, COALITION OF CALIFORNIA UTILITY EMPLOYEES,
AND ALLIANCE FOR NUCLEAR RESPONSIBILITY
The County of San Luis Obispo (“County”), the Cities of Arroyo Grande, Atascadero,
Morro Bay, Paso Robles, Pismo Beach, and San Luis Obispo (collectively, the “Cities”), the San
Luis Coastal Unified School District (“ District”), Pacific Gas and Electric Company (“PG&E”),
and Friends of The Earth, Natural Resources Defense Council, Environment California,
International Brotherhood of Electrical Workers Local 1245, Coalition of California Utility
Employees, and Alliance For Nuclear Responsibility (together with PG&E, the “Joint Parties” to
the Joint Proposal filed as Attachment A to the Application in the above-referenced proceeding)
collectively, the “Parties”), enter into this Settlement Agreement (“Settlement”) as a
compromise of their respective litigation positions to resolve the disputed issues between the
Parties raised in the above-captioned proceeding. This Settlement addresses the Community
Impact Mitigation Program (“CIMP”) proposed by PG&E in this proceeding, including the
ratemaking treatment for the CIMP. The Parties request the California Public Utilities
Commission’s (“Commission”) approve the Settlement as just and reasonable.
BACKGROUND
A. On August 11, 2016, PG&E filed this Application seeking the Commission’s
approval to implement portions of a Joint Proposal for the Retirement of Diablo Canyon Power
Plant (“Joint Proposal”). Concurrent with filing the Application, PG&E also served its Prepared
Testimony and workpapers. On September 15, 2016, the Cities filed a protest and motion for
Item 11.c. - Page 15
2
party status in this proceeding and the District filed a response to the Application. The County
served its response on September 15, 2016, but a filing error prevented the response from being
docketed. The County filed a motion for leave to late-file a response to the Application on
September 23, 2016; the motion was granted and the County formally filed its response October
6, 2016. On September 26, 2016, PG&E filed a reply to the responses and protests filed by
parties, including those of the Cities, the County, and the District.
B. In its Application, PG&E proposed a $49.5 million fund as part of the CIMP to
provide transitional assistance to the local community in connection with the retirement of the
Diablo Canyon Nuclear Power Plant (“Diablo Canyon”). PG&E proposed a stream of mitigation
payments between 2017 and 2025 as a way to assist the local community to prepare and plan for
the long-term loss of economic stimulus that Diablo Canyon provides. PG&E calculated the size
of the community impact mitigation payments based upon the forecasted reductions in Diablo
Canyon property tax base over that same period. The rapid loss of unitary tax funding levels will
have significant impacts on the County, the District and 71 other local taxing jurisdictions.
C. PG&E entered into settlement discussions with the Cities, the County, and the
District to address concerns about PG&E’s proposal. The County, District, and PG&E each met
with the the State Board of Equalization (“SBE”) to better understand the unitary tax allocation
methodology and the implications for the local community assuming a 2024 (Unit 1) and 2025
Unit 2) shutdown of Diablo Canyon. As a result of these discussions, the Parties have learned
that the proposed $49.5 million mitigation fund was based on simplified assumptions and
understates the reduction in unitary taxes that is likely to occur over the next 9 years. The
County, District, PG&E, and the remaining Joint Parties have reached a compromise on the
appropriate funding levels for an Essential Services Mitigation Fund, as set forth in this
Settlement.
Item 11.c. - Page 16
3
D. Public Utilities Code Section 712.5 (added by Senate Bill (“SB”) 968 (2016,
Monning)) requires the Commission to cause an assessment of adverse and beneficial economic
impacts for the County and surrounding regions that could occur due to the shutdown of Diablo
Canyon (“Monning Report”). The Monning Report will review potential actions for the state
and local jurisdictions to consider in order to mitigate the economic impacts of a shutdown. The
Cities have requested that the Commission review such issues in this proceeding and have
expressed concern that the Monning Report will not be completed in time for consideration in
the proceeding. The County has suggested the Monning Report be considered in a second phase
of this proceeding or a separate proceeding initiated after this proceeding concludes. PG&E has
taken the position that such economic impacts are out of scope in this proceeding given the
separate procedural path specified by the California Legislature for review. On November 18,
2016, the Assigned Commissioner and Administrative Law Judge filed the scoping memo in this
matter, finding community economic impacts to be within the scope of the current proceeding.
Notwithstanding that ruling, the Cities, County, PG&E, and the remaining Joint Parties have
reached a compromise on the procedural path for the future evaluation of economic impacts and
the creation of an Economic Development Fund, as set forth in this Settlement.
E. In the Application, PG&E also proposed to continue support for local emergency
planning and preparedness after the cessation of plant operations in 2025. The County has
requested assurances that PG&E’s commitment to supporting local emergency planning and
preparedness will also continue for the duration of Diablo Canyon’s operation through 2025 as
well as after the cessation of plant operations. The County, PG&E, and the other Joint Parties
have reached a compromise that provides these assurances, as set forth in this Settlement.
Item 11.c. - Page 17
4
SETTLEMENT TERMS AND CONDITIONS
In order to avoid the risks and costs of litigation, the Parties agree to the following terms
and conditions as a complete and final resolution of the CIMP-related issues between the Parties
in this proceeding, subject to reservations of rights set forth herein by the County, the District,
the Cities, and PG&E to address economic impact issues in a future proceeding informed by the
Monning report and other subsequently developed economic impact data. Not all Parties have
agreed to all terms set forth in the Appendices to this Agreement. Each of the Parties has agreed
to support those Appendices described in Sections 1-3, below, in which the specific Party is
named. Each of the Parties agree not to oppose any terms set forth in the Appendices to this
Settlement to which the Party has not specifically agreed.
1. Essential Services Mitigation Fund
1.1. The County, District, PG&E, and the Joint Parties agree to the terms governing an
Essential Services Mitigation Fund, as set forth in Appendix 1 to this Settlement.
2. Evaluation and Mitigation of Regional Economic Impacts
2.1. The Cities, County, PG&E, and the Joint Parties agree to the terms governing the
evaluation and mitigation of regional economic impacts, including the process for further
consideration of the Monning Report and the creation of an Economic Development Fund, as set
set forth in Appendix 2 to this Settlement.
3. Emergency Planning and Preparedness and Future Land Use
3.1. The County, PG&E, and the Joint Parties agree to the terms governing emergency
planning and preparedness and the future use and disposition of Diablo Canyon lands, as set
forth in Appendix 3 to this Settlement.
Item 11.c. - Page 18
5
4. Support for Other Provisions of the Diablo Canyon Application
4.1. The Parties agree it is critical to retain the highly-skilled workforce at Diablo
Canyon during the remaining years of operations in order to assure safe and reliable operations.
The Parties support the approval of the Employee Program as described in Chapter 7 of the
Diablo Canyon Application.
4.2. The County, Cities, and the District have reviewed all other portions of PG&E’s
Application, testimony, and workpapers and do not oppose or take no position on the relief
requested in PG&E’s Application, as modifed by this Settlement.
5. Modification to the Joint Proposal
5.1. This Settlement results in a modifcation to Section 4 of the Joint Proposal, by and
among PG&E, Friends of The Earth, Natural Resources Defense Council, Environment
California, International Brotherhood of Electrical Workers Local 1245, Coalition of California
Utility Employees, and Alliance For Nuclear Responsibility. The Joint Parties hereby agree
upon and support such modification.
GENERAL PROVISIONS
6. Scope and Approval
6.1. In accordance with Rule 12.5, the Parties intend that Commission adoption of this
Settlement will be binding on the Parties, including their legal successors, assigns, partners,
members, agents, parent or subsidiary companies, affiliates, officers, directors, and/or
employees. Unless the Commission expressly provides otherwise, and except as otherwise
expressly provided herein, such adoption does not constitute approval or precedent for any
principle or issue in this or any future proceeding.
Item 11.c. - Page 19
6
6.2. The Parties agree that this Settlement is subject to approval by the Commission.
After the Parties have signed this Settlement, the Parties shall jointly file a motion for
Commission approval and adoption of this Settlement, which may be submitted along with
additional partial settlements in this proceeding. The Parties will furnish such additional
information, documents, and/or testimony as the ALJ or the Commission may require in granting
the motion adopting this Settlement.
6.3. The Parties agree to support the terms of this Settlement to which they have
expressly agreed and to use their best efforts to secure Commission approval of those terms in
their entirety without modification.
6.4. The Parties agree to recommend that the Commission approve and adopt this
Settlement in its entirety without change.
6.5. The Parties agree that, if the Commission fails to adopt this Settlement in its
entirety and without modification, the Parties shall convene a settlement conference within
fifteen (15) days thereof to discuss whether they can resolve the issues raised by the
Commission’s actions. If the Parties cannot mutually agree to resolve the issues raised by the
Commission’s actions, the Settlement shall be rescinded and the Parties shall be released from
their obligation to support the Settlement. Thereafter, the Parties may pursue any action they
deem appropropriate, but agree to cooperate in establishing a procedural schedule.
6.6. The Parties agree to actively and mutually defend all terms of this Settlement to
which each Party has agreed if the adoption of those terms is opposed by any other party.
6.7. This Settlement constitutes a full and final settlement of all issues reviewed by the
County, Cities, and District in the above-captioned proceeding. This Settlement constitutes the
Parties’ entire settlement concerning the CIMP, which cannot be amended or modified without
the express written and signed consent of all the Parties hereto.
Item 11.c. - Page 20
7
7. Miscellaneous Provisions
7.1. The Parties agree that no signatory to the Settlement or any employee thereof
assumes any personal liability as a result of the Settlement.
7.2. If any Party fails to perform its respective obligations under the Settlement, the
other Party may come before the Commission to pursue a remedy including enforcement.
7.3. The provisions of this Settlement are not severable. If the Commission, or any
competent court of jurisdiction, overrules or modifies as legally invalid any material provision of
the Settlement, the Settlement may be considered rescinded as of the date such ruling or
modification becomes final, at the discretion of the Parties.
7.4. The Parties acknowledge and stipulate that they are agreeing to this Settlement
freely, voluntarily, and without any fraud, duress, or undue influence by any other party. Each
party states that it has read and fully understands its rights, privileges, and duties under the
Settlement, including each Party’s right to discuss the Settlement with its legal counsel and has
exercised those rights, privileges, and duties to the extent deemed necessary.
7.5. In executing this Settlement, each Party declares and mutually agrees that the
terms and conditions to which it has expressly agreed are reasonable, consistent with law, and in
the public interest.
7.6. No Party has relied, or presently relies, upon any statement, promise, or
representation by any other Party, whether oral or written, except as specifically set forth in this
Settlement. Each Party expressly assumes the risk of any mistake of law or fact made by such
Party or its authorized representative.
7.7. This Settlement may be executed in separate counterparts by the different Parties
hereto with the same effect as if all Parties had signed one and the same document. All such
Item 11.c. - Page 21
counterparts shall be deemed to be an original and shall together constitute one and the same
Settlement.
7.8. Except as otherwise specifically provided in Appendix 2 specifying time of
payment of the Economic Development Fund within 30 days after Commission's approval of the
Application, Joint Proposal, and this Settlement, this Settlement shall become effective and
binding on the Parties as of the date it is approved by the Commission in a final and non-
appealable decision.
7.9. This Settlement shall be governed by the laws of the State of California as to all
matters, including but not limited to, matters of validity, construction, effect, pe1formance, and
remedies.
The Patties mutually believe that, based on the terms and conditions stated above, this
Settlement is reasonable in light of the who le record, consistent with the law, and in the public
interest. The Parties' authorized representatives have duly executed this Settlement on behalf of
the Patties they represent.
PACIFIC GAS AND ELECTRIC
COMPANY
Name: blete:~~......._.A..-1C11161+-T
Title: E>E::Nltlf2.. Vice. f' 1oe,..,r, r;J...eh1J1.Arrof.Z>I
ArrA\fZS.
8
COUNTY OF SAN LUIS OBISPO
Name: Dan Buckshi
Title: County Administrative Officer
Date: December 14, 2016
Item 11.c. - Page 22
SAN LUIS COASTAL UNIFIED
SCHOOL DISTRI<;T
Name:
Title:
Date: _________ _
CITY OF ATASCADERO
Name:
Title:
Date: _________ _
CITY OF PASO ROBLES
Name:
Title:
Date: _________ _
CITY OF SAN LUIS OBISPO
Name:
Title:
Date: _________ _
CITY OF ARROYO GRANDE
Name:
Title:
CITY OF MORRO BAY
Name:
Title:
Date: ----------
CITY OF PISMO BEACH
Name:
Title:
Date: ----------
FRIENDS OF THE EARTH
Name: ----
Title: ff2 f .fr D ""' r
Date: P~~ Ir, ~o 1J-
9
ERIC PRATER, Ed.D.
Superintendent
December 5, 2016
Item 11.c. - Page 23
l.
Name: Peter Miller
Title: Directo~. W estem Energy Project
Date : December 16, 2016
INTERNATIONAL BROJ'HERHOOD OF
ELECTRICAL WORKERS LOCAL 1245
N:::::::~
Title: ~1'.Nfi-1
Date: t·,_./ ,,/,c. .
ALLIANCE FOR NUCLEAR · ·
RESP ILITY .
ENVIRONMENT CALIFORNIA
aine: van Jacboson
Title: Legislative Director
Date: December20, 2016
COALITION OF CALIFORNIA
UTILITY EMPLOYEES
Title~ ~/(Ni( ~
Dare; o-/u .. /1c.
I
10
Item 11.c. - Page 24
1
Appendix 1 - Essential Services Mitigation Fund Terms
District/County/PG&E)
1. The Essential Services Mitigation Fund (“ESMF”) will be increased from $49.5 million to $75
million, of which $10 million will be dedicated to an educational foundation to be designated by
the San Luis Coastal Unified School District (“District”). These funds, including the $10 million
portion to be dedicated to a District educational foundation, will be distributed to San Luis
Obispo County (“County”) in nine equal annual installments through 2025. The funds will be
distributed on September 1st of each year, following a final and non-appealable CPUC decision
approving the settlement and the Diablo Canyon Application, as revised. If final and non-
appealable CPUC approval of this settlement is not obtained by September 1, 2017, the first
distribution will occur 30 days after such approval is issued, unless otherwise agreed. The parties
will meet and confer within 30 days of the filing of any application for rehearing or appeal of the
CPUC decision approving this Settlement. The payments will continue as scheduled for the full 9
year period even in the event one or both Diablo Canyon Units closes early. The Parties accept
the risk that Diablo Canyon may close before the scheduled dates in 2024 and 2025 and will not
request any additional financial compensation in such an event.
2. The County will redistribute the funds based on a revision of the 2015/2016 unitary factors to the
taxing jurisdictions whose unitary tax funding is negatively impacted by the closure of Diablo
Canyon within two weeks of receiving the PG&E payment and will cause $2 million of the
District’s share of each of the first five installment payments to be deposited into the account of
the District’s designated educational foundation. The recalculation of the unitary tax factors will
exclude local agencies whose funding is not impacted by unitary tax. The allocation that the
County shall use in allocating the ESMF is set forth in Attachment A to this Appendix 1.
3. The parties agree that the compromise they have reached is a settlement and is not intended to be
a substitute or in-lieu tax payment. Estimating potential tax revenue declines is simply one of
many factors the parties considered in developing an appropriate and reasonable ESMF.
4. The ESMF will be included as part of the overall Community Impact Mitigation Program and
collected in rates through the nuclear decommissioning charge over the remaining life of the
plant, as described in Chapter 10 of the Diablo Canyon Application.
5. The County and District agree to support the Employee Program set forth in the Application and
to not oppose the remaining provisions of the Application, as may be modified through
settlements with other parties.
6. This term sheet is subject to (i) final approval by all parties; (ii) negotiation and execution of a
final settlement agreement; (iii) agreement by the Joint Parties to the PG&E Joint Proposal for
Diablo Canyon (to the extent the terms and conditions result in modifications to the Joint
Proposal) and (iv) approval by the CPUC.
Item 11.c. - Page 25
1 | P a g e
Attachment A to Appendix 1:
Distribution of the Essential Services Mitigation Fund
The Essential Services Mitigation Fund (ESMF) of $75,000,000 is created to assist local
jurisdictions whose annual budgets will be impacted by the decline in unitary tax over
the next nine years. Local jurisdictions (71) currently receiving unitary tax include the
County of San Luis Obispo, Incorporated Cities, Special Districts and Basic-Aid School
Districts. The San Luis Obispo County Auditor-Controller-Treasurer-Tax Collector has
developed Schedule 1 by starting with 2015/2016 unitary factors and redistributing the
percentages allocated to agencies whose budgets are not impacted by the decline in
unitary tax. Those agencies’ (non-basic aid schools and redevelopment agencies)
percentages were redistributed based on the actual 2015/2016 unitary factors so that
the allocations of the ESMF include only those agencies whose annual budgets are
adversely impacted by the closure of Diablo Canyon. The County Auditor-Controller-
Treasurer-Tax Collector will distribute the amounts identified in Schedule 1 to the 71
agencies within two weeks of receiving the annual payment by PG&E. The ESMF is not
Unitary Tax and will not change any prescribed Unitary Tax distributions.
The ESMF will be distributed annually in 9 equal and consecutive payments of
8,333,333.33 from PG&E to the County of San Luis Obispo on the 1st of September
beginning in 2017. If final and non-appealable CPUC approval of this settlement is not
obtained by September 1, 2017, the first distribution will occur 30 days after such
approval, unless otherwise agreed. The payments will continue as scheduled for the full
9-year period even in the event one or both Diablo Canyon Units closes early.
The total distribution to San Luis Coastal Unified School District includes $10 million that
will be dedicated to an educational foundation to be designated by the District. The
County will cause $2 million of the District’s share from each of the first 5 installment
payments to be deposited to the account of the District’s Educational Foundation. The
other receiving agencies will not be impacted by this distribution.
Schedule 1
Agency
Essential Services
Mitigation Fund of 75 Million
9 Annual Payments of
8,333,333.33
County of San Luis Obispo – General Fund $3,106,644.19
Roads $130,559.76
Air Pollution Control District $13,202.49
San Luis Obispo County Library $223,570.15
Item 11.c. - Page 26
2 | P a g e
Schedule 1 – continued
Agency
Essential Services
Mitigation Fund of 75 Million
9 Annual Payments of
8,333,333.33
Garden Farms Water $273.50
Santa Maria Valley Water Conservation District $356.23
Cambria Community Hospital $2,823.44
Cayucos Sanitary District $4,030.04
City of Arroyo Grande $30,202.90
City of Atascadero (including sanitation) $40,440.60
City of Grover Beach $12,615.28
City of Morro Bay $104,716.70
City of Paso Robles $40,387.74
City of Pismo Beach $20,581.13
City of San Luis Obispo $76,962.63
Cachuma Resource Conservation District $210.29
Port San Luis Harbor District $170,300.53
California Valley Community Services District $1,330.71
Nipomo Community Services District $3,608.31
Cambria Community Services District $13,658.70
San Simeon Acres Community Services District $667.65
Templeton Community Services District $5,235.49
Nipomo Sewer Maintenance $103.42
Nipomo Drain Maintenance $103.42
Linne Community Services District $119.51
Grover City Street Light District #1 $2,962.49
San Luis Obispo County Flood Control District $32,067.95
Nacimiento Water Services District $39,975.20
Flood Control Zone 1 $998.60
Flood Control Zone 1A $104.57
Flood Control Zone 3 $1,807.60
Flood Control Zone 9 $3,776.08
County Waterworks No. 8 $344.74
Nipomo Lighting District $241.32
San Miguel Community Services District - Lighting $613.64
County Service Area # 23(former Santa Margarita Lighting) $227.53
County Service Area #1 $65.50
County Service Area #1 Zone A $280.39
County Service Area #1 Zone B $143.64
County Service Area #1 Zone C $52.86
County Service Area #1 Zone D $212.59
County Service Area #7 $288.43
County Service Area #7 Zone A $1,184.77
County Service Area #7 Zone B $265.45
Los Osos Community Services District Zone A $2,022.49
Los Osos Community Services District Zone B $11,629.32
Item 11.c. - Page 27
3 | P a g e
Schedule 1 – continued
Agency
Essential Services
Mitigation Fund of 75 Million
9 Annual Payments of
8,333,333.33
Los Osos Community Services District Zone C $116.06
Los Osos Community Services District Zone F $66.65
County Service Area #10 $998.60
County Service Area #12 $3,524.42
County Service Area #16 $217.19
Heritage Community Services District $1,740.95
San Miguel Sanitary District $429.78
Oceano Community Services District $5,668.72
Cayucos Fire District $1,290.49
San Miguel Community Services District - Fire $2,090.29
Santa Margarita Fire District $887.14
Arroyo Grande Cemetery District $897.48
Atascadero Cemetery District $2,489.04
Cambria Cemetery District $640.07
Cayucos-Morro Bay Cemetery District $10,058.44
Paso Robles Cemetery District $2,978.58
San Miguel Cemetery District $611.34
Santa Margarita Cemetery District $707.87
Shandon Cemetery District $480.34
Templeton Cemetery District $674.55
Avila Beach County Water District $31,330.20
Avila County Water Improvement District #1 $1,341.05
Coast Unified School District (Cayucos Elem) $16,515.47
Coast Unified School District $54,799.13
San Luis Coastal Unified School District – Note: For the first
5 distributions $2,000,000 will be deposited in the District’s
Educational Foundation
4,090,809.51
Annual Total $8,333,333.33
Item 11.c. - Page 28
1
Appendix 2 - Economic Development Fund Terms
Coalition Cities/County/PG&E)
1. The Parties agree that the economic impacts of Diablo Canyon closure should be considered as a
part of a separate CPUC proceeding following issuance of the economic analysis specified in
California Public Utilities Code Section 712.5 (“Monning Report”). The Parties support
Commission approval of this settlement and proceeding with consideration of the remaining
scope of the Diablo Canyon Application immediately, without delay for consideration of the
economic impacts of Diablo Canyon closure.
2. The Parties agree that the Diablo Canyon Application should be revised to include a $10 million
payment by PG&E to the County and to the Cities of Arroyo Grande, Atascadero, Morro Bay,
Paso Robles, Pismo Beach and San Luis Obispo (collectively, the “Coalition of Cities”) to
establish a fund for implementation of regional economic development and job creation programs
collectively, the “Economic Development Fund”). The County and the Coalition of Cities agree
to further distribute those payments pursuant to the allocation methodology set forth in
Attachment A. The purpose of the Economic Development Fund is to provide immediate funding
for actions to create new economic development opportunities and mitigate impacts associated
with the pending closure of Diablo Canyon.
3. Within 18 months of the payment by PG&E of the Economic Development Fund, the County and
each of the Coalition of Cities will prepare a report that (i) enumerates and describes the
expenditures from the Economic Development Fund and (ii) assesses the results and effectiveness
of the economic development measures or programs resulting from such expenditures (the “Initial
Report”). The County and each of the Coalition of Cities will prepare subsequent annual updates
to the Initial Report until all Economic Development Fund revenues have been expended, at
which time the reporting may cease. The Initial Reports and any subsequent updates will be
provided to PG&E, and PG&E will submit the reports to the CPUC and make them available to
the public. Reports shall report on expenditures on a fiscal year basis. In the event payment of the
Economic Development Fund is delayed by any rehearing application or appeal of the CPUC’s
decision approving the Diablo Canyon Application, the County and each of the Coalition Cities
shall be entitled for purposes of the specified reporting to credit against the Economic
Development Fund amounts expended by the Cities for purposes of economic development and
impact mitigation between the date the CPUC first issues its decision and the date of payment of
the Economic Development Fund pursuant to this agreement.
4. The County and Coalition of Cities commit to spending the Economic Development Fund solely
for the purposes of economic development and impact mitigation purposes.
5. PG&E shall pay $400,000 of the total Economic Development Fund to the County within 30 days
of issuance of a decision by the CPUC approving the Diablo Canyon Application and thereafter
shall not request any reimbursement of payment from the County or the Coalition of Cities.
PG&E shall pay the remaining balance of the Economic Development Fund within 30 days of the
final and non-appealable approval of the Diablo Canyon Application, as revised consistent with
this Settlement, unless otherwise agreed. The parties will meet and confer within 30 days of the
filing of any application for rehearing or appeal of the CPUC decision approving this Settlement.
Item 11.c. - Page 29
2
6. Following issuance of the Monning Report (per SB 968), the Commission will institute a new
proceeding to evaluate the results of the Monning Report, take comment, and consider further
action. The Parties reserve all rights in such proceeding to advocate for or to oppose further
funding of economic impact mitigation by PG&E and/or its customers. PG&E specifically
reserves the right to assert that no additional funding, beyond the mitigation payments provided
by the Diablo Canyon Application, as modified by this settlement, is required, and the County
and the Coalition of Cities or any of the cities specifically reserve the right to seek additional
funding beyond the Economic Development Fund. In no event shall the Coalition of Cities or the
County be required to refund any amount paid under this Settlement.
7. PG&E, the County, and the Coalition of Cities agree to work together to advocate jointly for
additional funding or other assistance from the State of California and Federal government
agencies, and their respective legislative bodies, to support the economic transition of the local
community to an era without Diablo Canyon in operation. This provision is not intended to bind
any Party to any financial commitment or specific position with respect to such advocacy.
8. The Economic Development Fund will be included as part of the overall Community Impact
Mitigation Program, as described in Chapter 10 of the Diablo Canyon Application.
9. The County and the Coalition of Cities agree to support the Employee Program set forth in the
Application and to not oppose the remaining provisions of the Application, as may be modified
through settlements with other parties.
10. This term sheet is subject to (i) final approval by all parties; (ii) negotiation and execution of a
final settlement agreement; (iii) agreement by the Joint Parties to the PG&E Joint Proposal for
Diablo Canyon (to the extent the terms and conditions result in modifications to the Joint
Proposal); and (iv) approval by the CPUC.
Item 11.c. - Page 30
Attachment A to Appendix 2
Distribution of Economic Development Fund County of San Luis Obispo/Coalition of Cities
Total Amount County (40%)
Coalition Share
60%)
Regional
Economic
Development Arroyo Grande Atascadero Morro Bay Paso Robles Pismo Beach San Luis Obispo
10,000,000 $3,840,000* $5,760,000 $400,000** $747,422 $ 783,106 $497,472 $1,145,631 $ 767,028 $1,819,341
The County will allocate $192,000 of this amount to the City of Grover Beach.
To be distributed to the County for Regional Economic Development.
Item 11.c. - Page 31
1
Appendix 3 – Emergency Planning and Future Land Use Terms
County/PG&E)
Emergency Planning and Preparedness
1. The specific costs and detailed plans for emergency planning and preparedness (emergency
management) through the decommissioning period will be definitively proposed in the site-
specific decommissioning estimate to be submitted to the CPUC as specified in Chapter 8 of
PG&E's prepared testimony supporting Application 16-08-006. The purpose of this agreement is
to outline the intent of what will be submitted as part of the site-specific decommissioning
estimate and is subject to CPUC approval and funding in nuclear decommissioning rates.
2. The parties recognize that PG&E will continue to fund, at current funding levels, the maintenance
of all emergency response-related equipment, including the public warning sirens, as well as the
approximately $4 million in funding for offsite state and local emergency planning functions, as
required to be adjusted pursuant to state law, through cessation of plant operations in 2025.
Infrastructure that is directly maintained by PG&E as of June 21, 2016, will continue to be fully
maintained by PG&E.
3. In addition to continued funding per current state law, beyond the expiration of said law, the
general intent is that the maintenance of the public warning sirens and funding for offsite
community and local emergency planning functions (approximately $2 million forecast in 2017)
will continue until all spent fuel is in dry cask storage and the two nuclear reactors are fully
decommissioned (following the surrender of the Part 50 licenses). Using the formula established
in Section 8610.5 of the California Emergency Services Act, funding for offsite community and
local emergency planning functions will be paid directly to the County of San Luis Obispo.
4. The funding for other emergency preparedness equipment, training, emergency planning
functions, and PG&E’s emergency response personnel will be informed by the reduced risks that
remain and will be more definitively proposed in the site-specific decommissioning estimate.
5. The process for development of the site-specific decommissioning estimate will include
formation of a decommissioning advisory panel, which will include representation from the
County of San Luis Obispo, industry experts, state and local government representatives, and
affected stakeholders.
6. Parties reserve their ability to make arguments in future decommissioning proceedings regarding
necessary and appropriate emergency response and preparedness actions and costs associated
with Diablo Canyon following the surrender of the Part 50 licenses.
Future Land Use
1. Issues surrounding the disposition of lands related to Diablo Canyon, including future land uses,
will be addressed in the Diablo Canyon site-specific decommissioning plan to be submitted in
PG&E’s next Triennial Nuclear Decommissioning Proceeding, and the Parties agree they are not
within scope of this proceeding.
2. As stated in the October 4, 2016, letter that PG&E sent to the County, which is Attachment A to
this Appendix 3, PG&E agrees to complete a site-specific decommissioning plan for the facility
Item 11.c. - Page 32
2
before making any decisions on the disposition of the Diablo Canyon lands. As part of this
process, PG&E will convene a community advisory group that will give stakeholders an
opportunity to help shape the future use of PG&E’s land plans prior to finalizing the site-specific
plan. In the meantime, PG&E and its affiliate companies that hold a property interest in the
Diablo Canyon lands will not make any commitments on land disposition or post-retirement land
use, including the Wild Cherry Canyon parcels, until the stakeholder process is completed and
PG&E’s recommendations have been considered by the Commission as part of the Diablo
Canyon site-specific decommissioning plan.
Item 11.c. - Page 33
Thomas Patrick Jones
Director, Strategic Initiatives
735 Tank Farm Road
Suite 200
San Luis Obispo, CA 93401
805-595-6340
TPJ2@pge.com
October 4, 2016
Dan Buckshi
County Administrator Officer
County of San Luis Obispo
1055 Monterey Street
San Luis Obispo, CA 93408
Dear Mr. Buckshi:
Pacific Gas and Electric Company (PG&E) has carefully reviewed the County of San Luis Obispo’s (County)
September 15 response to PG&E’s Diablo Canyon Power Plant (DCPP) Application 16-08-006. One of the
concerns raised by the County (and other locally-based parties) pertains to the future use of the 12,000 acres of
lands surrounding DCPP after the facility is retired. In our September 26 reply to protests and responses, PG&E
clarified that we do not yet have a plan for the future use of DCPP lands, that we will commence a public
stakeholder process as we evaluate the options, and that we will submit a land use plan to the California Public
Utilities Commission (CPUC) in the site-specific decommissioning plan for the facility, which PG&E will file as
part of its next Nuclear Decommissioning Triennial Proceeding application in 2019.
I am writing to assure you that PG&E intends to complete the site-specific decommissioning plan for the facility
over the coming years with community input before making any decisions on the disposition of the DCPP lands.
As part of this process, PG&E will convene a community advisory group that will give stakeholders an
opportunity to help shape the future use of PG&E’s land plans prior to finalizing the site-specific plan. In the
meantime, PG&E will not make any commitments on land disposition or post-retirement land use, including the
Wild Cherry Canyon parcels, until the stakeholder process is completed and PG&E’s recommendations have been
considered by the CPUC as part of the DCPP site-specific decommissioning plan.
PG&E values and appreciates the active partnership of the County and other local stakeholders, and we look
forward to continuing to work with you and the rest of the community in both the pending CPUC proceeding and
the important decommissioning work to follow. Please feel free to contact me if I can provide any further
assurance regarding these land disposition issues.
Sincerely,
Thomas P. Jones
cc: City of Arroyo Grande
City of Atascadero
City Grover Beach
City of Morro Bay
City of El Paso de Robles
City of Pismo Beach
City of San Luis Obispo
Friends of Wild Cherry Canyon
Service List for CPUC Docket No. A.16-08-006 (via email only)
Attachment A to Appendix 3
PG&E October 4, 2016 Letter to the County
Item 11.c. - Page 34
Economic
Development
Element
of the Arroyo Grande
General Plan
Prepared by the City of Arroyo Grande
Community Development Department
Adopted by City Council Resolution No. 4489
on October 9, 2012
ATTACHMENT 4
Item 11.c. - Page 35
Table of Contents
Section 1. Background and Primary Goals ................................................................................................. 3
Section 2. Community Image Enhancement.............................................................................................. 4
Section 3. Office, Mixed Uses, Light Manufacturing, and Technology ...................................................... 6
Section 4. Agriculture................................................................................................................................. 8
Section 5. Retail/Commercial .................................................................................................................... 9
Section 6. Tourism, Marketing, and Promotion ....................................................................................... 11
Section 7. Development Process ............................................................................................................. 13
Section 8. Sustainability ........................................................................................................................... 15
Item 11.c. - Page 36
General Plan Economic Development Element
Background and Primary Goals
3
Section 1. Background and Primary Goals
Background
The purpose of the Economic Development Element is to provide a
framework for residents, business owners, prospective new
business owners, and City officials to guide the City’s economic
growth for the next 10 years. The goals, objectives, policies and
implementation measures are intended to encourage the
development of the types of business and commercial activities that
serve the community and promote a healthy, thriving economy. A
balance is continually sought between economic vitality and the
preservation of the City’s quality of life and small-town character.
Goals
There are four primary goals related to the City’s economic
development that should be considered when establishing
priorities, weighing economic impacts of land use decisions, and
determining the progress toward policy implementation. The four
goals are:
1. Create a thriving economy
2. Meet unmet community needs
3. Promote business activity
4. Provide superior customer service
Create a thriving economy
Meet unmet community needs
Promote business activity
Provide superior customer
service
Item 11.c. - Page 37
General Plan Economic Development Element
Community Image Enhancement
4
Section 2. Community Image Enhancement
Objective
ED2: Develop a marketing program to enhance the City’s attractive
and vibrant small town image.
Policies
ED2-1: Maintain a long range, comprehensive marketing program
to promote the City as a business friendly community with small
town character.
ED2-2: Create a balanced economic image of agriculture, history,
technology and commerce for the City of Arroyo Grande.
ED2-3: Encourage investment through the provision of sustainable
infrastructure, attainable housing opportunities and attractive
commercial areas and create an awareness of business
opportunities within the City.
ED2-4: Promote participation with diverse partnerships to
implement improvements and programs for community
development.
ED2-5: Promote businesses that foster or derive benefit from multi-
modal transportation opportunities such as bike touring, bus, and
car-pool commuters.
Implementation Measures
ED2-1.1: Prepare updated marketing plans identifying issues and
opportunities consistent with the long-range, comprehensive
marketing program.
ED2-1.2: Implement a community signage, public art, and
landscaping design program by working with business groups and
interest groups such as Arroyo Grande in Bloom.
ED2-1.3: Develop coordinated promotional marketing materials for
the City through social media.
ED2-1.4: Leverage limited marketing dollars with local
organizations such as the Economic Vitality Corporation and State
Item 11.c. - Page 38
General Plan Economic Development Element
Community Image Enhancement
5
trade and commerce groups to increase the visibility of the City’s
economic development programs.
ED2-1.5: Cultivate community pride and participation by local
residents and businesses through fostered partnerships with
business and non-profit groups such as Arroyo Grande in Bloom.
ED2-1.6: Conduct, promote, and encourage training workshops
through the Arroyo Grande Valley Chamber of Commerce, the
Economic Vitality Corporation, the Cuesta College Institute for
Professional Development/Business & Entrepreneurship Center, Cal
Poly’s Small Business Development Center for Innovation, and Cal
Poly’s Center for Innovation and Entrepreneurship.
ED2-1.7: Continue implementing community outreach programs
including active participation with the Arroyo Grande Valley
Chamber of Commerce, the Village Improvement Association, and
local service clubs.
ED2-1.8: Promote the Economic Vitality Corporation’s Revolving
Loan Fund and micro-loan programs to Arroyo Grande businesses.
ED2-1.9: Collaborate with the support organizations that contribute
to the economic well-being of Arroyo Grande, including but not
limited to the Chamber of Commerce, SLO Vintners, the Economic
Vitality Corporation, the Visitors and Conference Bureau, the San
Luis Obispo County Farm Bureau, Cal Poly, and Cuesta College.
Item 11.c. - Page 39
General Plan Economic Development Element
Office, Mixed Uses, Light Manufacturing, and Technology
6
Section 3. Office, Mixed Uses, Light
Manufacturing, and Technology
Objective
ED3: Enhance business retention and expansion consistent with the
General Plan Land Use Policies to promote and enhance baseline
job opportunities within the City for local residents.
Policies
ED3-1: Encourage adequate infrastructure to support business
expansions, redevelopment, and new development.
ED3-2: Continue outreach and networking with industry and
technology groups, real estate brokers, developers, and others
including accountants, lenders, and attorneys to promote and
enhance baseline job opportunities within the City for local
residents.
ED3-3: Incorporate zoning regulations that promote infill
development with opportunities for retaining and expanding
businesses.
ED3-4: Continue to balance economic goals with strong policies and
programs that promote and maintain the community’s
environment, quality of life, and rural character.
Implementation Measures
ED3-1.1: Assist the City’s small business community in retaining and
expanding businesses by fostering partnerships and providing
forums for information, training, and shared resources.
ED3-1.2: Work with the Economic Vitality Corporation to monitor
and measure business trends to develop programs and policies
appropriate for Arroyo Grande.
ED3-1.3: Continue to develop “one-stop” development-related staff
meetings with businesses prior to submission of any formal
applications to the City.
ED3-1.4: Support a citywide building and land availability database
in partnership with the local real estate and broker groups.
Item 11.c. - Page 40
General Plan Economic Development Element
Office, Mixed Uses, Light Manufacturing, and Technology
7
ED3-1.5: Review and annually monitor the Home-Based Business
Development Plan to support the needs of the home-based
business owners.
ED3-1.6: Provide pertinent information on business development
efforts and opportunities in Arroyo Grande to business owners,
property owners, tenants, site locators, and other agencies to
promote business expansion and head of household jobs.
ED3-1.7: Identify workforce training services and programs at Lucia
Mar Unified School District (i.e. school to career programs), Cuesta
College, Cal Poly, SCORE “Counselors to America’s Small Business”,
San Luis Obispo County Farm Bureau, Mission Community Services
Corporation, and the Better Business Bureau of San Luis Obispo
County.
ED3-1.8: Encourage business participation in general plan and
development code amendment processes through social media
outreach.
ED3-1.9: Identify, amend, and approve neighborhood enhancement
plans or form-based codes, including adopting appropriate
environmental documents for sections of El Camino Real, Halcyon
Road, and East Grand Avenue appropriate for intensified infill
expansion. This will provide certainty for allowed development and
to attract and facilitate larger scale (e.g. >20,000 SF) office and
manufacturing uses.
Item 11.c. - Page 41
General Plan Economic Development Element
Agriculture
8
Section 4. Agriculture
Objective
ED4: Encourage and support the retention and expansion of
agricultural business activities.
Policies
ED4-1: Provide adequate support services and resources to
maintain economically viable commercial agriculture.
ED4-2: Recognize and increase value-added agricultural
opportunities.
Implementation Measures
ED4-1.1: Collaborate with the San Luis Obispo County Farm Bureau,
the U.C. Cooperative Extension, SLO Vintners, the Economic Vitality
Corporation, farmers’ market associations, the San Luis Obispo
County Farm Bureau, and others to develop and implement
agricultural opportunities that enhance agricultural business and
tourism for the City and region.
ED4-1.2: Work with the foregoing organizations to promote the
sales and expansion of value-added agricultural opportunities.
Item 11.c. - Page 42
General Plan Economic Development Element
Retail/Commercial Services
9
Section 5. Retail/Commercial Services
Objective
ED5: Pursue unique opportunities to promote continuity within
commercial service and retail business sectors of the City.
Policies
ED5-1: Promote local patronage and strong performance in
satisfying local demand for goods and services and the creation of
additional jobs.
ED5-2: Continue to enhance connectivity and increase retail
utilization of the East Grand Avenue corridor, the Village Core, and
the Traffic Way and El Camino Real mixed-use corridors.
ED5-3: Implement revitalization and rehabilitation of historic and
older structures and provide incentives for adaptive reuse.
ED5-4: Expand and enhance the Village Core as a focal point for
civic and tourist activities.
ED5-5: Promote a pro-retail and hospitality program.
Implementation Measures
ED5-1.1: Assist the City’s small business community in retaining and
expanding businesses through recognition events with the Chamber
of Commerce and the development of social media programs.
ED5-1.2: Implement comprehensive design guidelines pertaining to
both public and private improvements, including, but not limited to,
building façade restoration, landscaping, street furniture
installation, undergrounding of utilities, historic district character,
and the development of parking facilities.
ED5-1.3: Determine the feasibility of the voluntary formation of a
Business Improvement District.
ED5-1.4: Incorporate infrastructure projects into the City’s Capital
Improvement Program that address deficiencies in commercial
corridors that include major street reconstruction, provision of
fiber-optic cable, storm drain and sewer improvements, water
capacity improvements, underground utility projects, public parking
Item 11.c. - Page 43
General Plan Economic Development Element
Retail/Commercial Services
10
improvements, improvements to park facilities, recreation areas,
community facilities, and other public buildings.
ED5-1.5: Work with the Village Improvement Association and the
South County Historical Society to preserve the historic nature of
the Village as the City’s commercial and cultural center.
Item 11.c. - Page 44
General Plan Economic Development Element
Tourism, Marketing, and Promotion
11
Section 6. Tourism, Marketing, and
Promotion
Objective
ED6: Develop a strategy that promotes the importance of tourism
and capitalizes on the City’s natural resources.
Policies
ED6-1: Become an active participant in countywide tourism
programs.
ED6-2: Enhance the image of the City through special events and
promote and increase those events in the off-peak retail season and
at sites that are economically accessible to residents and visitors
alike.
ED6-3: Capitalize on development opportunities to increase lodging
facilities.
ED6-4: Expand the City’s tourism potential through the Internet and
social media.
Implementation Measures
ED6-1.1: Financially support the San Luis Obispo County Visitors
and Conference Bureau and continue partnerships with the
Chamber of Commerce.
ED6-1.2: Participate with the Vintners Association to promote City
wine related business.
ED6-1.3: Continue to work with the hospitality industry to ensure
overall understanding of the importance of customer service.
ED6-1.4: Promote and maintain a “tourist friendly” customer
service policy within and among City staff and departments.
ED6-1.5: Work with local event coordinators, including the
Chamber of Commerce, Village Improvement Association, and the
San Luis Obispo County Visitors and Conference Bureau to promote
special events, activities, and attractions.
Item 11.c. - Page 45
General Plan Economic Development Element
Tourism, Marketing, and Promotion
12
ED6-1.6: Assist in planning and executing special events and
promotions focusing on economic development, cultural
awareness, interaction, education, and other civic causes. These
may include expanded farmers’ markets, street fairs, parades,
outdoor dining/cafes, wine tasting, outdoor music, and concerts in
the park.
ED6-1.7: Develop additional tourist attractions and lodging in the
City such as the development of cultural-related facilities.
ED6-1.8: Work with developers, landowners, and others to site and
design appropriate hotels, motels, bed and breakfasts, and country
inns.
ED6-1.9: In collaboration with the Chamber of Commerce, provide
links and support a calendar of local events and activities available
through social media and on the City’s website.
Item 11.c. - Page 46
General Plan Economic Development Element
Development Process
13
Section 7. Development Process
Objective
ED7: Develop a pro-business community image, including
simplifying and improving the development review process.
Policies
ED7-1: Monitor and modify where necessary the development
review process and identify ways in which it can be streamlined and
improved.
Implementation Measures
ED7-1.1: Update guidelines for design and development review for
East Grand Avenue and El Camino Real.
ED7-1.2: Prepare clear thresholds for level of project review and
required improvements.
ED7-1.3: Provide a helpful pre-application service available for all
prospective projects to establish a level of predictability of City
requirements, concerns, process, and anticipated timelines.
Customize the level of pre-application review according to
project size.
For larger projects, provide workshops/charrettes to
facilitate the understanding of project objectives and buy-in
from stakeholders.
Scope CEQA documents considering input from public
meetings and benefits depending on the anticipated
magnitude of impacts.
ED7-1.4: Maximize efficiency and communication for customer
service by specifying one staff contact to be a project shepherd.
ED7-1.5: Clarify responsibility and role of each advisory committee
and commission, and reduce redundancy and potential conflict in
project review where feasible.
ED7-1.6: Use new technologies allowing developers, builders, and
business owners to submit plans, access updates, receive approved
building plans, etc. via an online system to eliminate any
unnecessary costly printed copies.
Item 11.c. - Page 47
General Plan Economic Development Element
Development Process
14
ED7-1.7: Explore options and consider incentives for projects that
meet any of the four primary goals of this Element.
ED7-1.8: Consider both community and project-specific economic
impacts of land use and policy decisions.
ED7-1.9: Provide City staff with ongoing education and training to
facilitate efficient application processing, emphasize the importance
of timely responses to applicants, measure progress, and provide
accountability.
Item 11.c. - Page 48
General Plan Economic Development Element
Sustainability
15
Section 8. Sustainability
Objective
ED8: Support and encourage a sustainable local economy.
Policies
ED8-1: The City shall encourage businesses that use green
practices.
ED8-2: The City shall conduct public education and outreach to
support employment opportunities that minimize the need for
automobile trips, such as live/work developments, telecommuting,
satellite work centers, and home occupations, in addition to mixed-
use development strategies.
ED8-3: The City should purchase green products from local
businesses whenever feasible.
Item 11.c. - Page 49
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Item 11.c. - Page 50