Economic Development and Intergovernmental Relations Committee Meeting - September 7, 2022
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Economic Development and Intergovernmental Relations Committee Meeting - September 7, 2022
The Economic Development and Intergovernmental Relations (ED&IR) Committee of the San Diego City Council met on Wednesday, September 7, 2022, at 10:00 AM. The committee considered eight agenda items, including consent calendar declarations of surplus property, a resolution supporting California Proposition 1 (reproductive freedom), a cannabis equity assessment and program development, an update on the economic development strategic plan RFP, a convention center sales and marketing update, and an update on the Bridge to Home affordable housing funding round two. The meeting was chaired by Councilmember (Chair) Campio, with Councilmember Campbell and Council President Pro Tem Montgomery Stepp present. Vice Chair Kate was absent. The committee approved the consent calendar and voted unanimously to advance the resolution supporting Prop 1 and the cannabis equity assessment.
Consent Calendar
- The committee unanimously approved items 1, 2, and 3, which declared certain city-owned real properties as surplus land: properties in the vicinity of South 40th Street and Alpha Street, 6395 Imperial Avenue, and 3067 University Avenue (the Woolworth Building). No public comments were made on these items.
Public Comments & Testimony
- Non-Agenda Public Comment: Kathleen Lippitt expressed concerns about a marijuana outlet (March and Ash) in Mission Valley, noting inadequate parking and traffic issues, and asked the city to address parking requirements and traffic analysis for future marijuana outlets.
- Item 4 (Prop 1 Support): Neil Ortiguera, Senior Director of Public Affairs for the local Planned Parenthood affiliate, urged support for Prop 1, citing a 75% increase in out-of-state patients seeking abortion care in California since the Dobbs decision.
- Item 5 (Cannabis Equity Assessment): A large number of speakers provided testimony. Supporters included Rudy Reyes, Terry Best, Marcus Boyd, James Johnson, Sukari Apling, Armand King, Gary Rollins, Demetrius Harrison, and others who expressed support for the equity assessment, arguing it addresses harms from the war on drugs and provides opportunities for affected communities. Some requested modifications to eligibility criteria (e.g., including convictions from outside San Diego, expanding geographic boundaries). Opponents/concerned speakers included Leeroy T. Brady, Andrea St. Julian, Bob Case, and Anthony Avalos, who argued that the assessment lacks sufficient historical arrest data (only going back to 2015, though staff later updated to include data from 1990) and may not fully represent those most harmed. They urged revisions before moving forward. Several speakers noted that the assessment should include data from earlier decades to accurately capture the impact of the war on cannabis.
- Item 6 (Economic Development Strategic Plan): Lauren Casaris of the San Diego Regional Chamber of Commerce expressed support for the update and noted the chamber's working group will provide recommendations focusing on housing costs and child care.
- Item 8 (Bridge to Home NOFA Round 2): Aaron Hogelboom, Director of San Diego for Every Child, requested that future NOFAs include child care co-location as a priority, noting that early incorporation is critical.
Discussion Items
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Item 4: Resolution Supporting Proposition 1 (Reproductive Freedom)
- Presenters: Justine Murray (Policy Director for Councilmember Campillo) and McConnell (Policy Director for Councilmember Campbell) presented the proposal, asking the committee to authorize drafting a resolution supporting Prop 1, which would enshrine the right to abortion and contraception in the California Constitution. They noted that the City Council had previously supported the My Body My Data Act and added reproductive health care to the city's legislative platform. The presenters cited strong public support for abortion rights in California (65-77% opposition to overturning Roe v. Wade).
- Committee members expressed strong support. Councilmember Campbell (a physician) spoke about the dangers of illegal abortions pre-Roe and the need to codify rights. Council President Pro Tem Montgomery Stepp highlighted the disproportionate impact on Black women, who are three times more likely to die from childbirth. Chair Campio emphasized that Prop 1 is necessary to prevent government interference in reproductive decisions and to protect those traveling to California for care.
- Motion by Councilmember Campbell, seconded by Montgomery Stepp. Passed unanimously.
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Item 5: Cannabis Equity Assessment and Program Development
- Presentation by Lara Gates, Deputy Director of the Cannabis Business Division, and Kim Desmond, Chief Race and Equity Officer. They presented the revised equity assessment with 12 recommendations (down from 17) based on stakeholder feedback. Key recommendations include establishing a SEED task force, funding legal services for expungement, creating a forgivable loan/grant fund, restricting background checks, adopting phased licensing, conditional approval without real estate requirements, identifying real estate opportunities, business support services, legal business identification, fee reductions/waivers, and a mentorship program. Draft equity applicant criteria include: cannabis-related conviction, residence in San Diego, income below 80% AMI, lost housing, school attendance in San Diego USD, or foster care history. Ownership tiers: Tier 1 (100% equity applicant ownership) and Tier 2 (51% equity applicant ownership). The assessment is a living document. The state grant requires adoption by October 25, 2022, to be eligible for up to $2 million in additional funding. Staff added arrest data from 1990 from SANDAG.
- Discussion: Council President Pro Tem Montgomery Stepp reflected on years of effort to establish a cannabis equity program, noting past administration opposition. She addressed concerns about data limitations, noting the police department had a 7-year retention policy, but staff secured additional data. She supported moving forward, emphasizing that the assessment is a starting point that can be improved. She raised concerns about the residency requirement for convictions and suggested further refinement. Councilmember Campbell questioned the fairness of limiting eligibility to those with cannabis convictions and the clarity of ownership criteria. She also asked about coordination with the county's Fresh Start expungement program. Campbell ultimately supported moving forward but requested a detailed briefing. Chair Campio praised the work and emphasized the need to meet state deadlines. Motion by Montgomery Stepp, seconded by Campbell. Passed unanimously.
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Item 6: Update on RFP Process for Economic Development Strategic Plan
- Presentation by Elizabeth Studebaker, Assistant Deputy Director, EDD. The city is updating its economic development strategy (last adopted 2016) via a competitive RFP. A consulting firm has been selected but contract not yet finalized. Stakeholder engagement workshops will begin in October 2022, with the goal of council adoption in early 2023. The new strategy will align with the city's strategic plan and address changes since 2016, including new mayor, council, city departments (Race and Equity, Homeless Solutions, Sustainability), and external factors like supply chain disruptions and inflation. Committee members appreciated the update and emphasized including workers and child care considerations.
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Item 7: San Diego Convention Center Corporation Sales and Marketing Update
- Presentation by Rip Rapatto and Carlos Coda, with Kevin Schieferdecker from SDTA. They reported on the new five-year sales and marketing contract with SDTA, focusing on shorter-term bookings (5-7 years) and maximizing ancillary revenue (food & beverage, audio-visual). Goals for FY23: 650,000 room nights, 600,000 attendees, $18 million in guaranteed F&B. New marketing campaign "Meet America's Brightest City" to launch. Events like Comic-Con and Esri have returned; attendance recovering to 75-85% of pre-pandemic levels. The convention center's strategic plan includes refining business model, developing new sales criteria for optimal events. Chair Campio thanked them and emphasized continued investment.
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Item 8: Bridge to Home NOFA Round 2 Update
- Presentation by Monica Hardman, Deputy Director, EDD. Round 1 approved six of seven projects (662 units). Round 2 had $20 million available for three projects: Iris Avenue Trolley (64 units, $4.79M loan), Encanto Gateway (65 units, $5.5M loan, with 9 PSH units), and Quattro at City Heights (117 units, $4M loan, with 30 PSH units). Total 242 units. Projects located in transit priority areas and communities of concern. Round 3 (20-25M) expected Q1 2023. Committee members requested future NOFAs include child care co-location as priority. Staff agreed to consider adding scoring for such amenities.
Key Outcomes
- Consent Calendar: Items 1-3 approved unanimously.
- Item 4: Motion passed unanimously to direct the City Attorney's Office to draft a resolution supporting Proposition 1 (abortion and contraception rights) for full council consideration.
- Item 5: Motion passed unanimously to adopt the cannabis equity assessment and program, with direction to staff to incorporate additional arrest data from SANDAG and to continue refining equity applicant criteria, including expanding conviction eligibility beyond San Diego city limits.
- Item 6: Informational; no vote needed. Staff to proceed with RFP and community engagement.
- Item 7: Informational; no vote needed. Committee acknowledged progress and encouraged continued focus on maximizing economic impact.
- Item 8: Informational; no vote needed. Staff to consider including child care co-location in future NOFAs and to coordinate with HomeARP funding.
The meeting adjourned to the next meeting on Thursday, October 6, 2022, at 2:00 PM.
Meeting Transcript
Good afternoon. While the public is allowed to attend the meetings in person, we encourage you to maintain six feet of social distance as well as follow California mask guidelines where masks are strongly recommended. And in addition to being able to attend in person, this meeting is being televised and live streamed on the city's website. The committee liaison will continue to make arrangements for the public to comment using the Zoom webinar platform. Additionally, members of the public who wish to provide testimony via call-in or internet based service option must enter the virtual speaking queue within five minutes after the conclusion of in-person public testimony or before the virtual speaking queue is exhausted, whichever occurs first. This will allow for better meeting management between the two platforms and ensure the council is able to manage and conduct city business. We appreciate the public's cooperation. I will now call the meeting of the economic development and intergovernmental relations committee of Wednesday, September 7th, 2022 to order. Calling the roll, Vice Chair Kate is absent today. Councilmember Campbell. Present. Council President Pro Tem Montgomery Step. Here. And I am also present. Also in chambers is Gillian Cassie, Deputy Director of the Office of the Independent Budget Analyst. Stephen Hill, Senior Advisor from the Office of Mayor Chad Gloria, and Deputy City Attorney Kate Malcolm from the Office of City Attorney Mara Elliott. If you're in person, please complete a speaker slip located at the entrance of chambers and place it in the box indicated at the speaker's lectern at the front of the room. Please do so in a timely manner to ensure proper meeting management. Members of the public can join the webinar by computer, tablet, or smartphone by accessing the link, which is listed online in the preamble language of the agenda on the city's webpage. The link to join the committee meeting webinar by computer, tablet, or smart for uh smartphone is listed in the agenda. To join the Zoom webinar by telephone, please dial 1669-254-5252. And when prompted, the webinar ID is 161-735-9340 pound. This information will be available on the agenda and appear on the screen during public comment period for each agenda item. Members of the public who wish to provide testimony via call-in or internet-based service option must enter that speaking queue within the five minutes as a stated before. Please noted if you are watching via City TV, Channel 24, or online, there may be a delay. Please participate via the audio on your phone and mute your TV or computer when it is your turn to speak. When I introduce the item you would like to speak on, please raise your hand by tapping the raise your hand button on your computer, tablet, or smartphone, or by pressing star nine on your phone. You'll be taken in the order in which you raise your hand and you may only speak once per particular item. When our committee consultant, Sophie Barnhorst committee consultant. When our committee consultant Sophie Barnhorst indicates it is your turn to speak, she will call on you by your name as it appears on the Zoom webinar attendee list, or they will read out the last four digits of your phone number if you have called into the meeting. This is how you'll know it's your turn to speak. If you're in person, please come up to the reserved seats at the front of the room when your name is called and be prepared to come to the lectern in the order called. If you have joined the webinar by computer, uh you will receive a pop-up notice to select to unmute your device. This is the minutes from the July 13th meeting. The public comment period now is open. Please come to the front with your speaker slip or raise your hand if you are on the Zoom webinar platform. If you're watching on TV, please call 1669-2545252. And the ID is 161-735-9340 Pound. No, we do not have any speakers for the committee actions. Thank you. We will now move to uh questions and comments uh and a entertain a motion for the approval of the actions from July 13th. Do I have a motion? I see a motion from Councilmember Campbell. Do I have a second? I see a second from the Council President Pro Tem. We will now uh vote on the actions. Uh we'll start with Councilmember Campbell. I vote yes. Council President Pro Tem Montgomery Step. Yes.
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