San Diego Economic Development and Intergovernmental Relations Committee Meeting Summary

The Economic Development and Intergovernmental Relations Committee, chaired by Councilmember Campillo, held a virtual meeting on July 28, 2021, under the California Executive Order N-08-21, which suspended certain Brown Act requirements. The meeting focused on the committee's border economy theme, with presentations on the Tijuana River transboundary pollution, border delay impacts, and the San Diego-Tijuana World Design Capital bid. The committee also approved amendments to Council Policy 100-03 regarding the Transient Occupancy Tax (TOT) for arts funding. All actions passed unanimously, with committee members attending via Zoom due to public health and safety.

Consent Calendar

The committee unanimously approved the minutes from the June 23, 2021 meeting. The vote was 4-0.

Public Comments & Testimony

• Non-Agenda Public Comment:
  • Kathleen Lippitt expressed concern about the lack of public awareness for the June 11, 2021 special meeting and criticized a presentation by the Cannabis Bureau Development Department, which proposed easing sensitive-use distance requirements, lifting caps on marijuana businesses, allowing consumption lounges, and allocating $700,000 for new positions and $1 million for operational costs. She provided the presentation's tone as concerning.
  • Becky Rapp, an attendee of the Rancho Bernardo Planning Group, spoke against expanding marijuana businesses, noting that planning groups were not informed and that changing sensitive use regulations could ignore churches' long efforts to maintain a 1,000-foot buffer. She urged postponing changes, especially during the COVID-19 pandemic.
  • Chair Campillo responded by noting the June meeting was special, listing it on the legislative calendar and the work plan. He encouraged the public to sign up for email updates.
• TJUANA RIVER WATERSHED ITEM:
  • Joy Sanayda from District 3 praised Mayor Dedina's presentation, especially his remarks about wildlife deaths in the estuary, and expressed support for the committee's work.
  • Kathleen Lippitt thanked Mayor Dedina for his documentation and advocacy, calling the issue "a black eye of the city of San Diego."

Discussion Items

• Revision to Council Policy 100-03 (Transient Occupancy Tax):
  • Jonathan Glus, Executive Director of the Commission for Arts and Culture, and Christine Jones, Chief of Civic Art Strategies, presented proposed amendments. Key changes include expanding eligibility to individual artists and groups of artists (new funding categories: "City Artists" and "Impact"), reducing the nonprofit track record requirement from three to two years, requiring arts organizations to be based within city limits for general operating support (out-of-city organizations can still receive project funding), allowing flexible payment schedules instead of only reimbursements, and creating a financial review tier for smaller organizations.
  • Councilmembers expressed strong support, citing improved equity and access. Councilmember Moreno noted the equity assessment showed disparities; Councilmember Ilo Rivera praised the removal of the reimbursement mandate as helpful for nonprofits. Chair Campillo highlighted the Impact category's ability to fund border-related initiatives.
• Tijuana River Watershed Transboundary Pollution Update:
  • Mayor Serge Dedina of Imperial Beach presented a detailed update, noting the beach was closed 300 days last year, sewage flows of 50 million gallons per day for months, and the river mouth closure causing wildlife deaths. He called for fixing the Pump Station PB C, building diversion infrastructure on the U.S. side, and promoting water reuse for agriculture and industry. He stressed the economic and environmental costs, criticized the slow response compared to the Del Mar bluffs, and expressed frustration with bureaucratic inertia.
  • Councilmember Moreno highlighted her district's impacts and the city's lawsuit against the IBWC. Councilmember Ilo Rivera queried about long-term solutions; Mayor Dedina emphasized water reuse and public-private partnerships as keys, citing potential GHG emission reductions. Chair Campillo analogized the issue to "our region's Flint, Michigan" and emphasized equity.
• SANDAG Report on Impacts of Border Delays:
  • Zach Hernandez, Associate Regional Planner, presented the SANDAG study on California-Baja California ports of entry. The study estimated $3.4 billion in lost economic output and over 88,000 jobs in 2016, projected to grow to $5 billion and 97,000 jobs by 2025 unless additional improvements (e.g., Otay Mesa East, Calexico East) are built. Emissions data showed reduced CO2 and smog pollutants with new infrastructure and cleaner vehicles. Councilmember Moreno noted the Otay Mesa port's #2 rank in truck crossings, $50 billion in commerce, and the $22.7 million state funding for the SR-11/SR-125 project. Councilmember Ilo Rivera raised health concerns from pollution, citing high CalEnviroScreen ranks and asked about idle-reduction technologies; Hernandez discussed the regional border management system and encouraging walking/transit.
• San Diego-Tijuana Bid for 2024 World Design Capital:
  • Michelle Morris (President of Design Forward Alliance) and Carlos Cristiani presented the binational bid, which was shortlisted as a finalist with Moscow, Russia. The bid is the first binational ever. The theme is "HOME" (Human-centered, Open, Multidisciplinary, Experimental). Plans include a site visit September 27-October 8, 2021, with a designation announcement in October. The estimated economic impact is $1.2 billion for San Diego and $1.6 billion regionally. Councilmembers expressed excitement; Vice Chair Kate asked about the site visit details; Councilmember Moreno recalled the video; Councilmember Ilo Rivera asked about equitable benefits and stressed the region's Native heritage. Chair Campillo asked how the public can support, highlighting life sciences contributions.

Key Outcomes

• Unanimously approved amendments to Council Policy 100-03 (TOT) with a motion by Vice Chair Kate and second by Councilmember Moreno. The vote was 4-0.
• Received and discussed information on the Tijuana River pollution, border delays, and World Design Capital bid; no formal votes were taken on these items.
• The next meeting is scheduled for Wednesday, September 8, 2021 at 2 p.m.

Additional Notes

• The meeting was conducted virtually due to the COVID-19 public health emergency.
• Public participation was enabled via Zoom webinar; instructions were provided for raising hands and unmuting.
• Councilmember Campillo encouraged attendees to sign up for email updates on the committee's website.