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HomeMy WebLinkAbout2016.08.08 Economic Development Meeting Agenda Packet This AGENDA is posted in accordance with Government Code Section 54954.2(a). If requested, pursuant to Government Code Section 54953.2, this agenda shall be made available in appropriate alternative formats to persons with a disability, as required by Section 202 of the Americans with Disabilities Act of 1990 (42 U.S.C. Section 12132), and the federal rules and regulations adopted in implementation thereof. To make a request for disability-related modification or accommodation, please contact the City Clerk’s Office (925) 833-6650 at least 72 hours in advance of the meeting. ECONOMIC DEVELOPMENT COMMITTEE MEETING AGENDA Monday, August 8, 2016 – 12:30 PM City of Dublin Civic Center 100 Civic Plaza, Dublin City Manager’s Conference Room 1. Call to Order 2. Public Comment 3. Minutes of the Standing Economic Development Committee Special meeting of June 10, 2016 The Committee will consider the approval of the minutes of the Standing Economic Development Committee meeting of June 10, 2016. 4. Review of Draft “How to Start a Business” Guide Staff will present the draft document, which is designed to assist small business owners who are locating their businesses in Dublin. 5. Update on Business Anniversary Reception Staff will provide an update on plans for the Business Anniversary Breakfast Reception, scheduled for September 21, 2016. 6. Discussion on Potential Hotel Incentives Program Staff will present a conceptual hotel incentive program designed to encourage the development of new hotels, as well as promote reinvestment in existing hotels. 7. Key Projects Update Staff will provide an update on key economic development activities. 8. Update on Regional Organizations The Committee will have an opportunity to discuss the City’s participation in regional organizations. 9. Request for Future Agenda Items The Committee and/or Staff can make requests for future agenda items as an Informational Item only. 10. Adjournment SUMMARY MINUTES OF THE ECONOMIC DEVELOPMENT COMMITTEE SPECIAL MEETING – June 10, 2016 A special meeting of the Economic Development Committee was held on June 10, 2016, in the City Manager’s Conference Room of the Dublin Civic Center. The meeting was called to order at 12:04 PM by Mayor Haubert. 1. Call to Order PRESENT: Mayor Haubert and Councilmember Gupta ABSENT: None 2. Public Comment No comments were made by any member of the public. 3. Minutes of the Standing Economic Development Committee Regular Meeting of April 18, 2016 ACTION: By Consensus, the Committee approved the minutes of the regular meeting of April 18, 2016. 4. Update on Incentives Program Staff presented an overview of the existing business incentive programs, which include: the Commercial Façade Improvement Grant Program, the Fee Deferral Program, PACE Financing for Energy Upgrades, the Sales Tax Reimbursement Program, the Sewer Capacity Assistance Program, the Statewide Community Infrastructure Program (SCIP), the EB 5 Investor Program, and the Small Business Assistance Program. A list of previous program participants was provided, as well as program balances where applicable. Additionally, Staff gave an update on recent legal updates, which impact reporting requirements, and recruitment of businesses that received economic development subsidies. Discussion centered on ways to promote the programs to small, local, independently-owned businesses who can demonstrate a financial hardship in lieu of program assistance. Additionally, Staff noted that updates to the Commercial Façade Improvement Grant Program, previously presented to the Committee, will be presented to the City Council for approval on June 21. ACTION: The Committee received the presentation and requested that Staff review and update the City’s business incentive programs, excepting the Commercial Façade Improvement Grant Program, and return with suggested program changes to the EDC for consideration. 5. Request for Sewer Capacity Assistance Staff presented a request from Pieology Pizzeria, a fast casual pizza restaurant tenant at the Dublin Place Shopping Center, and is requesting assistance with 6.25 Dwelling Unit Equivalencies (DUEs). The City’s remaining balance of DUEs is .8585. ACTION: With a very limited amount of DUEs remaining available in the Program, the Committee did not recommend awarding the DUEs to Pieology Pizzeria. 6. Request for Participation in Small Business Assistance Program Staff presented an updated request from Shaheen Dublin LLC, c/o ANB Property Corporation, owners of the Dublin Corners retail center, to participate in the City’s assistance program. The application seeks $35,000 to fund construction of a new, expanded trash enclosure in the center. In 2013, the applicant requested $26,000 to expand the existing trash enclosure. The Committee agreed to award $15,000, but the applicant decided not to pursue the project or accept the award. The updated request under consideration was presented at the April 18 Economic Development Committee Meeting, where the Committee requested additional information from the property owner regarding tenancy of the retail center. Staff noted that a new tenant, an Italian restaurant/wine bar called Berevino, opened in the retail center in May. ACTION: After consideration, the Committee did not recommend Shaheen Dublin, LLC receive assistance through the Small Business Assistance Program. 7. Update on Development Communication Efforts Staff updated the Committee on several new communication and community engagement efforts underway, which are designed to increase awareness of development projects. To share information relating to development projects, staff is implementing a new interactive map-based information sharing tool using a system called iCityworks (www.dublin.ca.gov/dev). The new interactive development activity map will include information about applications’ current status, staff reports, contact information, etc. Other efforts include an update of the public notice format to include graphics and clear terminology, and development of guidelines for new signage on project sites. The City is also introducing a two-way community engagement tool from Peak Democracy, called Open City Hall, as a pilot program to increase community involvement and generate community feedback on a variety of topics. Finally, staff is working on developing a brochure explaining the development process and highlighting current projects as well as the new communication tools. The efforts described to the Committee will be presented to the full City Council on Tuesday, June 21. ACTION: The Committee received the presentation and provided feedback on the proposed communication and notification efforts. 8. Key Projects Update The Committee discussed a recent business retention visit at Zeiss Meditec. Staff provided an update on marketing activities, including attendance at a national economic development conference, where the City spoke with several businesses who expressed interest in locating in Dublin. Staff provided a verbal update on upcoming activities surrounding the proposed IKEA development, including a public workshop hosted by the City and two public workshops hosted by IKEA. Staff also mentioned recent development activities in Dublin: Hacienda Crossings is currently seeking to re-design its pylon signage; façade construction continues on two buildings at Dublin Place: a new tenant space is being proposed on the CVS site; AMP Printing is opening a satellite location at 6400 Sierra Court, and CAMP Sierra Day Program has completed improvements to their Sierra Court facility. ACTION: None. 9. Update on Regional Organizations Staff provided a verbal report on recent and upcoming activities associated with regional economic development groups. Highlights included the Tri-Valley Cities Council Meeting on May 25; the Chamber Coffee & Cards Networking event on July 19; and the East Bay EDA Membership Fall Meeting on September 29, where the Mayor has been invited to speak. ACTION: None. 10. Request for Future Agenda Items None. ACTION: None. 11. Adjournment There being no further business to come before the Committee, the meeting was adjourned at 1:58 PM. Minutes prepared by Erin Steffen, Management Analyst II. ___________________________________ Mayor ATTEST: ________________________________ Economic Development Director/ Public Information Officer How to Start Business Guide – City of Dublin (OUTLINE) Start your business in Dublin Bay Area map and the City of Dublin Table of Contents Step 1: Develop a Business Plan………………………………………………………………………………………………………………… Step 2: Structure your Business………………………………………………………………………………………………………………… Step 3: Location, Location, Location………………………………………………………………………………………………………….. Step 4: Register a Fictitious Name…………………………………………………………………………………………………………….. Step 5: Tax Reporting………………………………………………………………………………………………………………………………… Step 6: Apply for Business License…………………………………………………………………………………………………………….. Step 7: Dublin Permits and Licenses………………………………………………………………………………………………………….. Step 8: Other Agency Permits and Licenses………………………………………………………………………………………………. Step 9: If you have Employees………………………………………………………………………………………………………………….. Step 10: Going Green………………………………………………………………………………………………………………………………… Incentives and Other Useful Programs……………………………………………………………………………………………………… Other Resources……………………………………………………………………………………………………………………………………….. Step 1: Develop a Business Plan A business plan is the first step to starting a successful business. This plan will help you evaluate your idea, estimate costs, and determine the strengths and weaknesses of your proposal. A business plan is usually required to apply for a commercial loan and it will establish a road map for your business future. Who to Contact: Alameda County Small Business Development Center (SBDC) 1330 Broadway, Suite 705 Oakland, CA 94612 www.acsbdc.org City of Dublin Office of Economic Development http://ca-dublin2.civicplus.com/35/Business The City of Dublin’s website includes demographics information and resources to help develop your business. U.S. Small Business Administration (SBA) San Francisco District Office 455 Market Street, Sixth Floor San Francisco, CA 94105 Phone: (415) 744-6820 www.sba.gov SERVICE CORPS OF RETIRED EXECUTIVES (SCORE) 492 9th Street, Suite 350 Oakland, CA 94607 Phone: (510) 273-6611 www.eastbayscore.org Helpful Hint: Get Help SBDC offers seminars and free one-on-one counseling on all aspects of small business management including business plans, accounting systems, and financing. Contact the Alameda County SBDC office at (510) 208-0410 or www.acsbdc.org. At SCORE, retired business professionals volunteer to provide free counseling to individuals starting small businesses. Contact the local chapter at (510) 273-6611. U.S. Small Business Administration (SBA) has excellent websites that provide another level of detail for people starting a business. Step 2: Structure your Business It is important to determine the structure of your business for operating and business reporting purposes. Will you operate your business as a sole proprietor, partnership (2 or more owners), or corporation (1 or more stockholders/officers)? If you are a sole proprietor, no formation documents are required to be filed with the Secretary of State. It is optional for partnerships to file with the State. If you are starting a corporation, a limited liability company (LLC), or a limited partnership (LP), you must contact the California Secretary of State’s Office. They can supply you with all the information and forms you need. Who to Contact: CALIFORNIA SECRETARY OF STATE – SACRAMENTO OFFICE 1500 11th Street Sacramento, CA 945814 Phone: (916) 653-6814 www.ss.ca.gov/business Step 3: Location, Location, Location Before signing a building/property lease or purchase agreement, contact the City of Dublin’s Planning & Building Division to determine the zoning of the site. Not all spaces are suitable for certain types of business uses. City zoning and building codes exist to protect you and your neighbors from incompatible uses. For example, residential areas are often kept apart from areas in which commercial and/or industrial uses are allowed. Planning and Building Division staff can also inform you of any reviews, permits, or fees that may be necessary for your proposed location. Some uses may require building code upgrades which can be costly. Certain kinds of businesses may require a use permit and a public hearing in order to comply with the City’s zoning regulations. All permit fees are separate and in addition to the business license fee. Are you zoned for what you want to do? New businesses need to complete the zoning clearance form (http://dublin.ca.gov/documentcenter/view/8220) and get it approved by the Permit Center, open 8:00 a.m. - 5:00 p.m. (12:00 p.m. - 1:00 p.m., planners are available by appointment only), Monday through Friday at (City Hall, 100 Civic Plaza, Dublin), before filling out a business license form, purchasing property or signing lease agreements. An online property search is available at the Opportunity Sites map, LoopNet, and OppSites. Who to Contact: Dublin City Hall 100 Civic Plaza Dublin, CA 94568 Phone: (925) 833-6650 Planning Division Phone: (925) 833-6610 http://ca-dublin2.civicplus.com/116/Planning Building & Safety Phone: (925) 833-6620 http://dublin.ca.gov/114/Building-Safety Economic Development Division Phone: (925) 833-6650 Email: economic.development@dublin.ca.gov http://dublin.ca.gov/24/Economic-Development Step 4: Register a Fictitious Name If you create a name for your business that is different than your own legal name, you need to register the Fictitious Business Name with Alameda County Clerk-Recorder’s Office. This step needs to be completed before obtaining a business license from the City of Dublin; plus, many banks require this statement before approval of a business loan or a business account. Also, public notices announcing your new business name must be posted for four weeks in the local newspaper as an advertisement to complete the registration process. Who to Contact: Alameda County Clerk-Recorder’s Office 1106 Madison Street Oakland, CA 94607 Phone: (510) 272-6362 http://www.acgov.org/auditor/clerk/fbn.htm LOCAL NEWSPAPER PUBLICATIONS San Jose Mercury News 4 North Second Street San Jose, CA 95190 Phone: (408) 920-5111 www.mercurynews.com East Bay Times 175 Lennon Lane, Suite 100 Walnut Creek, CA 94598 Phone: (800) 598-4637 www.eastbaytimes.com The Independent 2250 First Street Livermore, CA 94550 Phone: (925) 447-8700 www.independentnews.com Step 5: Tax Reporting All businesses are required to file both state and federal tax returns. Many small businesses need an Employer Identification Number (EIN), even if they do not have employees. Businesses may also need a Tax Identification Number (TIN) for tax, employment, and other purposes. Contact the state Franchise Tax Board and the federal Internal Revenue Service to learn more about specific requirements. Will you sell a product? The California Board of Equalization can help you to determine whether you need a Seller’s Permit. You may also be required to collect sales tax. To do so, the Board of Equalization will need to issue you a resale number in order to report that sales tax. Whether self-employed or an employer with one or more employees, you must also pay Social Security taxes. Who to Contact: Internal Revenue Services, Oakland Office 1301 Clay Street Oakland, CA 94612 Phone: (510) 907-5000 www.irs.gov California Franchise Tax Board 1515 Clay Street, Suite 305 Oakland, CA 94612 Phone: (800) 852-5711 www.ftb.ca.gov Social Security Administration Phone: (800) 772-1213 www.ssa.gov/employer State Board of Equalization 1515 Clay Street, Suite 303 Oakland, CA 94612 Phone: (510) 622-4100 www.boe.ca.gov Step 6: Apply for Business License All entities and persons doing business in the City of Dublin (including subcontractors) are required to have a current business license. Most businesses (the primary exception being for nonprofit organizations) pay a $50 registration fee each year for their business license in Dublin, which is prorated on a monthly basis for the first year the business began operation in Dublin. For business license purposes, the year begins October 1 and ends September 30. The City's business licenses are subject to renewal once a year. Your business license must be renewed every October 1 if your business is still conducting business within the City of Dublin. Depending on where you will conduct business, complete and submit one of the following three forms. The Supplemental Business License Information form provides general business license information and fees. Location of Business Required Form A residence in the City of Dublin Business License Form City / Home Occupation A commercial location in the City of Dublin Business License Form Inside City / Commercial Doing business in Dublin, but office not located within the City of Dublin Business License Form Outside City Please note: The applications are available in PDF format. To open and print files, you need to install the free Adobe Acrobat and may need to use web browser Internet Explorer. Application forms are also available from the Permit Center at City Hall. For more information, please contact the Community Development Department at (925) 833-6620 or (925) 833-6610. Return the completed form with the appropriate fee (fee schedule is included in the application packet) to the Permit Center located on the first floor at City Hall. Or you may mail it to: Dublin City Hall Community Development 100 Civic Plaza, 1st Floor Dublin, CA 94568 Step 7: Dublin Permits and Licenses Your business may require site inspections by the Fire and/or Building Department as part of your application approval, depending on your business type and/or if you are making improvements to a building. Permit fees may vary depending on the size and location of the project. The permit technicians at the City’s Building Division will be happy to meet with you to discuss your project and provide you with a fee estimate. Permit Center at Dublin City Hall: 100 Civic Plaza, 1st Floor Dublin, CA 94568 Phone: (925) 833-6610 / 6620 Fax: (925) 833-6628 Office Hours: Monday - Friday 8:00 a.m. - 5:00 p.m. Police Permit Forms & Applications Please note: Forms and applications must be submitted in person to Dublin Police Services for review unless otherwise noted. Dublin Police Services requires the following businesses obtain a permit before operating in Dublin: massage establishments/technicians, commercial peddlers, and taxicab owners/drivers. Permits can be found here: http://dublin.ca.gov/128/Permit-Forms-Applications Building Permits & Certificate of Occupancy Your business must be located in a building constructed appropriately for your use. A building permit is also required for most modifications, replacement construction, additions, or remodeling. Any changes to a building must comply with the federal Americans with Disabilities Act (ADA). Building Permits are how the City of Dublin ensures construction is safe for occupancy and use. A Building Permit is needed for all new construction in Dublin. A Permit Application Worksheet must be completed for all work requiring a permit. A certificate of occupancy will be given once the building permit has been issued and the City Dublin ensures that the building is safe for occupancy and use. Fire Code Permits Fire code permits from the Alameda County Fire Department (ACFD) are required if you want to conduct specific activities and practices. Use of hazardous substances or materials may require additional review and/or permits. Sign Permits If your business would like to display a sign that is visible from outside a building, a sign permit is required. Permits are needed for both permanent and temporary signs such as building and window signs and banners. You will need to obtain a Zoning Clearance from the Planning Division to assure your sign is code compliant. Please also consult with the Building Division as certain permanent signs require a building permit. The permit process is simple. To apply for a permit: 1. Complete the appropriate Sign Application form for the desired sign; 2. Provide a site plan and/or photograph, where applicable; and 3. Submit these materials with the application fee to the Community Development Department, Planning Division. Encroachment Permits An encroachment permit is required for any use of the public sidewalk or right of way. Examples of work requiring an encroachment permit would include (but are not limited to): • Closure of minor streets for a block party or special event • Construction or widening of a driveway approach • Installation of a drain through the curb • Replacement of a sidewalk • Trenching in the street for a utility repair Grading & Sitework Permits A grading or sitework permit may be required for work on private property which includes (but is not limited to): • Excavation or movement of dirt • Installation or alteration of drainage • Installation of site improvements like sidewalks or significant landscaping • Paving The fee for a grading or sitework permit is the actual cost of permit processing, plan checking, and inspection, and a deposit may be required. Saturday and Holiday Work Permits This permit does not cover City Public Works Inspection since any plan checking and inspection for private development projects are only performed Sunday - Friday. If City Public Works Inspection is required on a Saturday, a Request for Saturday/Holiday Public Works Inspection shall be submitted in writing no later than 5:00pm on Wednesday. In the case of Public Works Inspection requested for holidays, the request shall be received in writing no later than 5:00pm three (3) days prior to the holiday. You may submit your request at the Public Works & Engineering Department located on the 1st Floor of Civic Hall. Please contact the Public Works Department at (925)833-6630 or through email at public.works@dublin.ca.gov if you require a Saturday/Holiday Public Works inspection request. Transportation Permits A transportation permit is required for vehicles or loads that exceed the maximum allowable California Vehicle Code (CVC) dimensions (width, length, height, and overhand). The purpose of issuing the permit is to ensure that appropriate routes are used, based upon the truck route map, and to keep track of large vehicles which may damage City facilities. Film / Photography Permits A film / photography permit is required to film, still or motion pictures, on public property which includes (but is not limited to): • City owned or leased buildings • City parks • City streets and/or sidewalks The minimum charge for a film permit is $256. The basic fee provides for Public Works inspection of traffic control and site restoration. Additional fees may apply depending on the scope of the project, such as the number of days and locations. Activities in parks or buildings are subject to the established fees for the use of those facilities. Application Form Enroachment Permit • Fee Schedules • Checklist of basic requirements • Sample insurance certificate Grading & Sitework Permit Saturday & Holiday Work Permit • Fee Schedules Transportation Permit • Fee Schedules Film / Photography Permit Fire Code Permits • Automatic Fire Sprinklers • Fee Schedule • Fire Alarms • Fixed Fire Protection Systems (Hood & Duct, Clean Agent, etc.) • High-Piled Storage • Miscellaneous Permits (use for: Candle, BBQ, Tent/Canopy, Tank Removal) • Underground/Private Service Fire Main Who To Contact: FOR POLICE PERMIT FORMS & APPLICATIONS: Dublin Police Services 100 Civic Plaza, 1st Floor Dublin, CA 94568 Phone: (925) 833-6670 FOR BUILDING PERMITS Permit Center 100 Civic Plaza, First Floor Dublin, CA 94568 Phone: (925) 833-6620 http://ca-dublin2.civicplus.com/586/Building-Permits FOR SIGN PERMITS Planning Division Phone: (925) 833-6610 http://dublin.ca.gov/1642/Sign-Standards FOR FIRE CODE PERMITS Dublin Fire Prevention Bureau Phone: (925) 833-6606 http://dublin.ca.gov/228/Permits-Inspections FOR OTHER PERMITS Engineering Division of Public Works Phone: (925) 833-6630 Email: public.works@ci.dublin.ca.us http://dublin.ca.gov/340/Permits Step 8: Other Agency Permits and Licenses Depending on the type of business, you may be required to obtain permits or licenses from the following County, State, or Federal agencies. Please contact these individual agencies directly, if applicable. Alcohol Beverage Control (ABC) License If your business will sell, exchange, or otherwise dispose of alcohol beverages, you will need to have a regulatory permit or license from ABC. California Department of Consumer Affairs License Many professional businesses such as accountants, engineers, doctors, and dentists require a State License from the California Department of Consumer Affairs. Businesses such as cosmetologists, security services, and auto repairs are also required to obtain a State license. Please call to find out if you must register your business. Import/Export Permit If your business will involve the import or export of products with other countries, you may need to obtain an Import/Export Permit from the United States Customs Service. Restaurants and Food Vendors and Salons and Tattoo Parlors A health inspection is required for restaurants and food vendors, as well as salons and tattoo parlors. Contact the Alameda County Environmental Health Department to arrange for an inspection, or to request information advice regarding health and environmental safety issues. Retail and Wholesale Business Permits If your business will involve sales, you will need to obtain a Seller’s Permit from the State Board of Equalization. Other Permits & Licenses To determine what other regional, state, and federal permits and licenses your business may need, call the State’s “CalGOLD Business Permits Made Simple” office. Child Care Center or Family Care Home License Licensing of all child care centers and family child care homes in California is required and can be obtained through the California Department of Social Services. In addition, large family day care homes with 9-14 children must also obtain from the City of Dublin a business license from the Community Development Department and Zoning Clearance from the Planning Division that allows this special use in a residence. Large Family Day Care Home Zoning Clearance Form Day Care Center Zoning Clearance Form Contractor’s License Construction is one of the largest industries in California’s diverse economy. The Contractors State License Board (CSLB) receive and processes applications for new licenses, additional classifications, changes of license records, and license renewals. An Application for Original Contractor’s License can be obtained from any CSLB office, by telephone, or online. Who to Contact: ABC Alameda County District Offi ce Phone: (510) 622-4970 www.abc.ca.gov California Dept. of Consumer Affairs Phone: (800) 952-5210 www.dca.ca.gov United States Customs Service Phone: (415) 782-9376 www.cbp.gov/trade Alameda County Environmental Health Department 1131 Harbor Bay Pkwy Alameda, CA 94502 Phone: (510) 567-6700 www.acgov.org/aceh State Board of Equalization Phone: (510) 622-4100 www.boe.ca.gov California Department of Social Services 1515 Clay Street, Ste. 1102 Oakland, CA 94612 Phone: (510) 622-2602 www.dss.cahwnet.gov Contractors State License Board (CSLB) Phone: (800) 321-2752 www.cslb.ca.gov CalGOLD Business Permits Made Simple Email: support@go-biz.desk-mail.com www.calgold.ca.gov Helpful Hint: Becoming a Contractor When testing for your Contractor’s License, be sure to study beyond what you need to pass the test. Continue upgrading your skills in your craft and in business matters. Read the educational articles in each issue of the California Licensed Contractor, a free newsletter you will receive when licensed. Take advantage of other educational opportunities as they arise because by mastering both your craft and your business, you can work towards success! Step 9: If you have Employees If you hire employees, be sure to register with the California Employment Development Department. They will provide you with the necessary forms and answer any questions you may have regarding your responsibilities. As an employer, the State requires you to do the following: • Withhold State income tax • Withhold State disability insurance • Pay unemployment tax • Pay for any unemployment training costs You must also register with the Internal Revenue Service (IRS) in order to receive an Employer Identification Number. The IRS offers many services to new business owners and will provide a package of helpful information explaining the type of forms used and due dates for these forms. Peruse the IRS’ Employer’s Tax Guide, to learn more about your Federal tax responsibilities. As an employer, you’re required to carry worker’s compensation insurance. You may obtain this insurance through your own insurance agent or the State Compensation Insurance Fund of California (SCIF). The SCIF is a non-profit, public enterprise fund that operates like a mutual insurance carrier. Please contact their Bay Area – Pleasanton office for more details. The State also has strict requirements for workplace safety and health. Contact the California Occupational Safety and Health Act (Cal-OSHA) to learn more. Who to Contact: Employment Development Dept. (EDD) Oakland Employment Tax Office 7700 Edgewater Drive, Suite 100 Oakland, CA 94621 Phone: (888) 745-3886 www.edd.ca.gov Internal Revenue Service (IRS) Oakland Offi ce 1301 Clay Street Oakland, CA 94612 Phone: (510) 637-2487 www.irs.gov State Compensation Insurance Fund (SCIF) 5880 Owens Drive Pleasanton, CA 94588 Phone: (925) 523-5000 www.statefundca.com Cal OSHA 1515 Clay Street Ste. 1103 Oakland, CA 94612 Phone: (510) 622-2891 www.dir.ca.gov/dosh/calosha.htm Tri-Valley One-Stop Career Center (TVOS) 6300 Village Pkwy #100 Dublin, CA 94568 Phone: (925) 560-9431 www.trivalleyonestop.org East Bay Economic Development Alliance (East Bay EDA) 1221 Oak Street Ste. 555 Oakland, CA 94612 Phone: (510) 272-6843 www.eastbayeda.org Helpful Hint: Get Connected The Tri-Valley One-Stop (TVOS) Career Center is a community resource, connecting employers with qualified, skilled talent and job seekers with employment and career development opportunities to achieve economic prosperity. TVOS provides a variety of services to employers and job seekers alike. To do this, TVOS collaborates with education, community service, and economic development partners to develop programs and employment services that meet our region’s needs. The East Bay Economic Development Alliance is another organization that offers information, such as research facts and figures and annual economic forecasts, to aid you in your business. Step 10: Going Green Local Environmental Programs The City of Dublin has launched a new sustainable business program called the “Dublin Green Shamrock Program.” The goal is to encourage businesses to work toward environmental sustainability and provide them with valuable recognition for their efforts at being great environmental stewards. Specifically, the program will highlight the environmental successes of Dublin businesses that have implemented, or are working to adopt, sustainable practices that strengthen our environment, economy, and community. The program will help guide you and give you advice and tips on many of the ways you can reduce your operating costs and, at the same time, help to preserve our natural resources. Simply put, your participation will help to save you money on your bottom line, protect the environment, and provide you with public recognition for your outstanding efforts. Green Businesses Receive Recognition Through: • City and Dublin Chamber of Commerce newsletters • Press coverage and promotional events • Website coverage through Dublin Green Shamrock Program at www.greenshamrock.org • Dublin Green Shamrock Program window cling and logo to use in your advertising Small & Medium Businesses PG&E has Energy Saving Rebates and incentives available for businesses. Go to PG&E business savings and click on your industry type to see the options available. If you are in the food service industry, PG&E has a food service technology center in San Ramon for PG&E customers. There are lots of services available for free that can really help your business save money, including training and design assistance to help your restaurant be energy smart, and more. Check it out at Food Service Technology Center. Business Waste Reduction Amador Valley Industries (AVI) holds the Solid Waste Collection franchise for the City of Dublin. AVI ensures strict adherence to all environmental requirements and City ordinances. Any questions regarding rates, collection schedules, and related issues should be directed to Amador Valley Industries. The City of Dublin has a comprehensive recycling program. All businesses within the City have access to collection bins. Currently, residents and businesses may recycle glass, tin, most plastics, newspaper, mixed paper, aluminum cans, small household batteries (only in clear heavy-duty zip plastic bags), and organics. Recyclable materials are also picked-up weekly by AVI on the same day that solid waste is collected. Construction and Demolition Services The City of Dublin requires all construction and demolition (C & D) projects recycle at least 65% of the waste for remodels or tenant improvements, and 75% of the waste for new construction generated on a job site, excluding asphalt and concrete debris, of which 100% must be recycled. The City's municipal code has specific procedures for complying with these requirements as contained in the instructions and forms listed below. For questions or additional information, please contact the Building Division at 925- 833-6620. AVI is also the exclusive service provider for construction and demolition debris collection. However, there are a few exceptions where a contractor may use their own dumpsters, but generally you must contract with AVI for your C&D dumpster. View the Municipal Code, Section 5.32.130. Regional Initiatives The Bay Area Green Business Program is a successful partnership of environmental agencies and utilities. It assists, recognizes, and certifies businesses and government agencies that voluntarily operate in a more environmentally responsible way, such as conserving resources, preventing pollution, and minimizing waste. Alameda County Small Business Hazardous Waste Disposal Services If your business has leftover hazardous materials, you may be eligible for a service to safely dispose of these items at reasonable, affordable rates. Businesses that qualify as “small quantity generators” can dispose of hazardous materials safely, conveniently and in ways that protect our environment. Visit the Alameda County Small Business Hazardous Waste Program at: http://www.stopwaste.org/recycling/residents/household-hazardous-waste/business-hazardous- waste/small-business-hazardous-waste-disposal-services Are there any extra materials that you need to buy or sell? Try the California Materials Exchange (CalMax) a free, online materials exchange service designed to help businesses, organizations, local governments, industry, schools, and individuals find markets for non-hazardous materials that may otherwise be discarded. Helpful Hint: Free Assistance from the City of Dublin • Free on-site audits available through PG&E, DSRSD, and Amador Valley Industries • Updates on new technologies and resources to help you with your sustainability efforts Who to Contact: Environmental Services Division Department of Public Works 100 Civic Plaza Dublin, CA 94568 Phone: (925) 833-6630 Email: ES@dublin.ca.gov Office Hours: Monday - Friday 8:00 a.m. - 5:00 p.m. Amador Valley Industries (AVI) Customer Service Center 6175 Southfront Rd. Livermore, CA 94551 Phone: (925) 479-9545 Email: info@amadorvalleyindustries.com http://www.amadorvalleyindustries.com/ Bay Area Green Business Program, Regional Contact: Pamela Evans Phone: (510) 567-6770 Email: pamela.evans@acgov.org www.greenbiz.ca.gov StopWaste Business Partnership Phone: 1-877-STOPWASTE (786-7927) Email: Partnership@StopWaste.Org http://www.stopwaste.org/recycling/residents/household-hazardous-waste/business- hazardous-waste/small-business-hazardous-waste-disposal-services CalRecycle Phone: (877) 520-9703 Email: CalMAX@calrecycle.ca.gov www.calrecycle.ca.gov/CalMax Incentives and Other Useful Programs The City of Dublin has made economic development a top priority. To that end, the City has developed a number of incentives to assist in the attraction of new business. Following are some of the most recently developed programs: Sales Tax Reimbursement Program For businesses that generate more than $10 million in taxable sales, the City has developed a program to help offset investments in improvements to the site or building that the business proposes to occupy. For more information on the program, please review the Program Fact Sheet. Commercial Facade Improvement Grant Program The City offers a Commercial Facade Improvement Grant Program for commercial businesses located in the Downtown Dublin and a portion of Dublin Boulevard. This program helps property owners with costs of improving their building’s appearance. Fee Deferral Program The City offers two Fee Deferral Programs, one for non-residential development and another for multi- family residential projects within the Transit Districts. Small Business Assistance Program The City offers a Small Business Assistance Program to assist Dublin-based businesses with the cost of complying with federal, state, and local laws relating to disability access requirements, trash enclosures, sewer connections, and other such obligations imposed on small businesses. PACE Financing for Energy Upgrades The City has partnered with Figtree Energy Resource Company and CaliforniaFIRST to offer Property Assessed Clean Energy (PACE) financing for energy efficiency, renewable energy, and water conservation upgrades. Dublin commercial property owners have the choice to work with Figtree Energy Resource Company or CaliforniaFIRST for financing. Please feel free to contact the Economic Development Department at (925) 833-6650 if you have any questions about City programs. Other Resources Here are additional things to keep in mind when doing business in Alameda and as your business grows: Dublin Chamber of Commerce In addition to partnering with the City on the Discover Dublin Facebook page, members of the Dublin Chamber of Commerce enjoy chamber networking events organized throughout the year, access to a robust business-to-business referral network, and the opportunity to promote their business in chamber publications. Additionally, the Dublin Chamber serves as an active voice for the Dublin business community on local and regional issues. For more information about becoming a Chamber member, visit http://www.dublinchamberofcommerce.org/. Discover Dublin! Shop Local The City partners with the Dublin Chamber of Commerce for the "Discover Dublin! Shop Local" social media campaign to encourage and increase shopping at Dublin businesses throughout the year. When customers support Dublin businesses, our local economy grows. This enables the City to provide our residents with valuable programs and services, beautiful parks, and safe roads. Visit the Discover Dublin Facebook page to learn about upcoming retail and businesses events, as well as information about new businesses in town. If you would like the Discover Dublin page to feature your business in an upcoming post, please contact the City’s Economic Development Department at economic.development@dublin.ca.gov. The City of Dublin is also offering "Discover Dublin! Shop Local" window clings to all local businesses to advertise support of the program. Interested businesses should contact the City at (925)833-6650 to receive a window cling. Let's Put Dublin on the Map! With Google The City of Dublin has partnered with Google to help local small businesses grow their presences online through the "Let's Put Dublin on the Map! With Google" program. Through free instruction, resources, tips, and tools, "Let's Put Dublin on the Map!" empowers businesses to connect with the 97% of consumers who research local products and services online before making a purchase. Want to learn more about getting your business online? Visit the Google My Business page or email the City. Alameda County Library The Alameda County Library offers many resources to new businesses, including subscription databases and web links that can deliver marketing research, company and competitor information, business statistics and demographics, and more. To access the information from home, go to the Alameda County Library website, go to Research and choose Business & Investments from the drop down menu. You will need to obtain an Alameda County library card or an e-card. Commuter Resources: 511 Rideshare is a free service to help commuters find other drivers to carpool or vanpool to work. Qualifying carpools can cross Bay Area toll bridges for free during commute hours and may qualify for additional financial incentives or subsidies. For more information, visit www.511.org. Who To Contact: Get Involved With The Business Community! Dublin Chamber of Commerce 7080 Donlon Way Dublin, CA 94568 Phone: (925) 828-6200 Email: info@dublinchamberofcommerce.org www.dublinchamberofcommerce.org Office Hours: Monday - Thursday 10:00 a.m. - 4:00 p.m. Alameda County Library 200 Civic Plaza Dublin, CA 94568 Phone: (925) 803-7252 www.aclibrary.org/dublin Office Hours: Sunday: 1 p.m. - 5 p.m. Monday: 10 a.m. - 8 p.m. Tuesday: 10 a.m. - 8 p.m. Wednesday: 10 a.m. - 8 p.m. Thursday: 10 a.m. - 6 p.m. Friday: Closed Saturday: 10 a.m. - 5 p.m. Garbage & Recycling Services: Amador Valley Industries (AVI) Contact AVI to arrange for garbage collection services. 6175 Southfront Rd. Livermore, CA 94551 Phone: (925) 479-9545 Fax: (925) 454-0782 Email: info@amadorvalleyindustries.com www.amadorvalleyindustries.com Office Hours: Monday - Friday 8:00 a.m. - 6:00 p.m. Utilities: Dublin San Ramon Services District (DSRSD) DSRSD provides reliable water and waste water services in a safe, efficient, and environmentally responsible manner. 7051 Dublin Boulevard Dublin, CA 94568 Phone: (925) 828-0515 www.dsrsd.com Gas and electric service in Dublin is provided by Pacific Gas & Electric (PG&E). For more information contact PG&E at (800) 468-4743 or visit www.pge.com. ECONOMIC DEVELOPMENT MEMORANDUM DATE: August 5, 2016 TO: Economic Development Committee Members CC: City Councilmembers FROM: Lori Taylor, Economic Development Director SUBJECT: CONSIDERATION OF SHARING TRANSIENT OCCUPANCY TAX (TOT) REVENUES TO ENCOURAGE NEW HOTEL DEVELOPMENT AND HOTEL REDEVELOPMENT PURPOSE: The purpose of this report is to engage the Economic Development Committee in a discussion of a potential Hotel Incentive program. BACKGROUND: Hotels can be an important economic development catalyst in a city. In addition to attracting visitors and providing a needed community amenity, they can be a significant source of revenues due to property tax, sales tax, and Transient Occupancy Taxes. The Transient Occupancy Tax (TOT) is collected on hotel bills for stays of less than 30 days. The City of Dublin’s TOT rate is 8%, and it is applied to all hotel rooms. The City generated $1.374 million in FY 2015-16 in Transient Occupancy Tax revenues. The City has averaged approximately $1.14 million in TOT revenues over the past 5 years. Currently, the City of Dublin has four (4) public hotels operating within its jurisdiction. There is also a lodging facility for military personnel located at Camp Parks which has very limited operations. In addition, the City recently approved a 127-room Aloft Hotel at Grafton Plaza, which will be the newest hotel in the region. Dublin’s hotels are as follows: Hotel Rooms Built Average TOT for past two years Extended Stay America 236 Feb. 2000 $141,000 Holiday Inn 122 June 1997 $482,000 Hyatt Place 128 June 1999 $475,000 La Quinta Inn & Suites 91 Jan. 1999 $234,000 Aloft Hotel 127 Begin late 2016 ECONOMIC DEVELOPMENT MEMORANDUM By comparison, the other Tri-Valley cities generate the following: City Hotel Rooms Hotel Tax Revenue FY15-16 TOT per Room average Danville 62 $126,000 $2032 Dublin 577 $1,374,000 $2381 Livermore 1,312 $2,500,000 $1905 Pleasanton 1,807 $4,500,000 $2490 San Ramon 1,028 $2,884,000 $2805 OPPORTUNITY/ISSUE: The City of Dublin has been approached over the last year by several hotel developers who have expressed interest in building additional hotel rooms in Dublin. There has been interest in eastern Dublin as well as the West Dublin BART Station area. The City has been desirous of adding new hotels for the past several years (as evidenced by the 150 hotel rooms described in the Downtown Dublin Specific Plan). While the interest level remains high in Dublin, the cost of development (land costs, construction costs and development fees) has made hotel development financially difficult for developers to achieve their desired Return on Investment (ROI). Due to the significant construction costs factors involved in hotel development (which are consistent throughout the State), several California communities have developed financial assistance programs to aid in the development of hotels. These programs go by the names of “Hotel Assistance”, “Hotel Incentive” or TOT Rebate and involve a “rebate” of hotel taxes generated to help stimulate development. Staff has found programs around the State including: City TOT Rebate Duration Rebate Cap Palm Springs 50-75% 10-20 years $50 million La Quinta Up to 95% - years 1-10 Up to 75% - years 11-15 (only rebated when an 11% return is not achieved) 15 years Anaheim 80% 15 years $40 million Santa Barbara County 70% 15 years Los Angeles Up to 50% 25 years Escondido 55% 10 years $1.5 million Sacramento 50% 14 years $10 million Rancho Palos Verdes 80% 34 months $8.2 million ECONOMIC DEVELOPMENT MEMORANDUM City TOT Rebate Duration Rebate Cap Cathedral City 50% for increment from existing 75% for new 10 years Berkeley 50% 8 years $13.125 million Long Beach (under study) 50% These programs vary in the criteria involved in participation, as well as the required performance standards required. Many of the programs are targeted for specific sites, or for specific types of hotels (higher end with amenities such as full-service restaurants, conference space, or specific rating qualifications). Other cities include conditions for community benefits developed through the entitlement process (such as union labor for construction and operations, and public accessibility for restaurants and other amenities). There are considerations to any type of incentive program. Advantages: • Such programs can attract investment and assist in the development of revenues and promote tourism, as well as support business travelers. • Hotels are a significant generator of revenues and employment. New incentives can spur opportunities that otherwise wouldn’t be possible to build. Considerations: • Participation in such a program triggers requirements for the hotel developer (such as prevailing wages) that can be a deterrent in participating. • Reduces potential revenues to the city and requires staff oversight and reporting requirements. If the Committee were interested in directing the development of a program, Staff would propose the following be included (as a starting point) as criteria for eligibility to participate in the program: Quality and Size Standards: 1. Hotel must be of a quality that it meets a four (first class)/three star (comfort new hotel) or four (first class)/three diamond (comfort new hotel) hotel rating or higher under the rating criteria established by the American Automobile Association (AAA), JD Power and Associates, or comparable hotel rating entity which includes hotel operations on a 24-hour per day, 7 days a week basis with housekeeping services, food and beverage services, room services, banquet and meeting services, with at least 10,000 s.f. of meeting/banquet space, concierge and bell services, and parking services. 2. Hotel must have 125 or more rooms. ECONOMIC DEVELOPMENT MEMORANDUM Transparency & Financial Need 3. Hotel developer required to provide pro forma to show ROI – independently reviewed by City consultant – only provide assistance if ROI is less than 8% Program Participation Limits 4. Rebate no more than 70% for a 4-star hotel and no more than 50% for a 3-star hotel. 5. Rebate no longer than 20 years for a 4-star hotel and no more than 15 years for a 3-star hotel. 6. Limit the rebate to cost of Development Impact Fees and DSRSD fees. 7. Applicant must enter into an Operating Covenant Agreement 8. Renovated Hotels – 50% of the increment above existing TOT levels – rebate for up to 10 years and no more than $2 million. Renovated hotel must measurable and demonstrably improve the quality of the hotel through either increased capacity or ability to charge higher room rates, and enhancements to the hotel’s ratings by AAA, JD Power, etc. Staff recommends that the Committee should provide direction to prepare a Hotel Incentive Program for consideration by the City Council. The addition of new hotel rooms to the City would provide additional tax benefits (transient occupancy as well as property taxes) and new jobs to the community. It also provides Staff with another incentive program to assist new businesses looking to move to Dublin. Future Hotel-Related Policy Considerations Monitored by Staff: TOT Rate Levels As discussed, hotels are important economic drivers in a community. Realizing the potential of increasing local government revenues, many cities throughout the state have increased the percentage amount of TOT collected for lodging. These efforts are placed on the ballot and have a strong success rate. In 2015, five of five initiatives were passed which increased rates to either 10% (Azusa, Ceres, Trinity County) or 12% (Hermosa Beach and Cerritos). This may be a future revenue stream for the City to explore. Sharing Economy Impacts Firms that allow residents or property owners to connect with consumers, such as AirBnB and VRBO (Vacation Rental By Owner) are creating policy issues for community. Many cities (Monterey, Pacific Grove, Tiburon and Danville) have decided to ban such businesses from operating within their communities due to the impacts to neighbors. Enforcement of the ban may prove difficult. Other cities have adopted ordinances to ensure the collection of TOT from such operations. As these operations expand, staff will continue to track best practices and local impacts to determine if local policies would be helpful.