Mon, 20 Apr 2026 12:37:16 -0700EditMySiteFri, 11 Aug 2017 22:12:16 GMThttps://www.santacruzchamber.org/chamber-blog/housing-bills-in-sacramento-can-help-httpwwwlatimescompoliticsla-pol-ca-state-housing-deal-effects-20170811-htmlstoryhtmlMon, 12 Jun 2017 21:36:20 GMThttps://www.santacruzchamber.org/chamber-blog/soquel-creek-community-water-plan-updateThe Soquel Creek Water District has been working on a Community Action Plan to achieve water supply sustainability by 2040. The Community Action Plan focuses on: seawater intrusion and contamination at the coastline, meeting the state mandate of water basin sustainability by 2040, addressing stricter water quality standards, and future climate change impacts like sea level rise and groundwater recharge.
    They have formulated a three-pronged approach to achieving their goals, which includes:

• Water Conservation and Zero-Impact Development
• Pro-active Groundwater Management
• Securing Supplemental Water Supply

Finding new water sources is a challenging task, but the Soquel Creek Water District has come up with some creative solutions. Currently these new water sources include:1. Pure Water Soquel – Water Reuse

• This project involves recycling already-treated wastewater, purifying it through a multi-step process, and then replenishing the groundwater basin using recharge wells.
  • Status: The project is currently undergoing environmental review and a draft Environmental Impact Report (EIR) is anticipated to be released in early 2018. Public outreach on project component locations, public perception, and water quality is on-going during project evaluation.
  • Estimated cost: $60-70 million

2. River Water Transfer/Purchase

• These projects would take treated winter river water (from Santa Cruz North Coast Water Supplies and potentially the San Lorenzo River) and deliver it to the District system which would allow the District to reduce groundwater pumping (also known as in-lieu).
  • Status: A short-term pilot project is being developed to monitor the effects of blending surface water and groundwater.

3. Desalination

• This project would involve purchasing water from Deep Water Desal, LLC (DWD), a private company currently evaluating the development of a desalination facility in Moss Landing.
  • Status: The project is currently undergoing environmental review and a draft EIR is anticipated to be released in late 2017

4. Capturing Storm Water

• Capturing available storm water may provide some water to aid in recharging the groundwater basin.
  • Status: The District is examining this option by exploring potential sites and technologies for stormwater recharge.  The District is investigating geological factors, rainfall runoff patterns, and potential water quality concerns. Once potential locations are identified, the District will investigate what methods and technologies would be most appropriate to facilitate the clean-up of stormwater to recharge the aquifer.

In an informational meeting between Soquel Creek Water District and the Santa Cruz Chamber of Commerce, Rebecca Gold Rubin, the Public Outreach Coordinator and Melanie Mow Schumacher, the Associate Manager for Special Projects offered some insight into the public opinion on these projects and helped answer some questions.
How can the use of recycled water, like in the project proposal for Pure Soquel, benefit the community?

• “The use of recycled water is cost-effective, it really helps us to think locally. We are fortunate enough not to have to purchase water from far-away sources, like Orange County Water District. We can be sustainable by not importing water and using, then re-using the natural resources we have access to here.”

How has the Soquel Creek Water District included the opinions and concerns of the community into the decision-making process?

• “Through phone lines and online surveys we have reached out to the community and found that timeliness, water quality, and reliability are most important to our customers, when speaking about water supply projects.” During initial calls, 59% of people voiced support with no prior knowledge or background information for the Pure Soquel water project. SqCrWD has also hosted medical peer review panels to try and dispel the concerns of using recycled water. Currently the district will be conducting research for a revised Environmental Impact Report and the scoping meeting is open to the public and will be held on Wednesday, July 12, from 12:00 pm - 2:00 pm at Twin Lakes Church, Bldg 700 in Aptos, CA.

For more information on the Community Action Plan and all ongoing projects visit the Soquel Creek Water District Open House on July 20th, at the district headquarters from 4:30-7:00pm. Or visit them online at: http://www.soquelcreekwater.org/cwp
​]]>Wed, 07 Jun 2017 17:49:56 GMThttps://www.santacruzchamber.org/chamber-blog/2017-2018-california-state-budget

• The 2017-2018 proposed annual California Budget, introduced by Government Brown, in January of 2017, was recently revised this May after taking into consideration tax collection from January to April (see our Newsletter for details).
• Consistent with the last several years as the California economy has recovered from the 2007-2010 economic recession, the California annual budget proposal has once again is expanding government spending. While the January annual budget proposal initially entailed a $5.8 billion reduction in revenue from last year, since the growth of the stock market in January, revenue is now projected $2.5 billion higher than the 2016 budget. This 2017-2018 annual budget proposal entails a total General Fund Expenditure of $124.01 billion, an increase of $1.2 billion from 2016-2017, and an estimated total General Fund Revenue of $125.9 billion, an increase from last years General Fund Revenue of $118.5 billion.
• This additional spending in 2017-2018 is expected to address issues in the State's water system, increase money for K-12 Education, sustain county fiscal health, bring back child care, fund the increase of the minimum wage to $11 an hour in 2018, expand Medi-Cal to cover preventive dental benefits and expand health coverage to include the millions of Californians covered by the Affordable Care Act, as well as undocumented children. If passed by the Legislature and signed into law by Governor Brown will include for the first time California will offer Earned Income Tax Credit for the poorest, employed families in California.
• Despite the proposed increased spending and an improved economic outlook from past years, Governor Brown has emphasized fiscal constraint in this year’s budgeting process. He wants to  channel $1.7 billion from The State General Fund Revenue into the Budget Stabilization Account/”Rainy Day” Fund, in anticipation of potential economic recession. Experts consider this year’s budget to be one of most fiscally conservative and constrained budgets since 2012.  Conservative spending is expected to not only counteract potential economic recession, but is considered by many to be preparation for the potential defunding of health care spending by the federal government under the Trump Administration.
• Specifically, State expenditures in areas of Business, Consumer Service and Housing (-22%), Labor and Workforce Development (-58%), Natural Resources (-5%), Environmental Protection (-5.6%), Government Operations (-58%) and Health and Human Services (-2.9)% will be smaller than last year, while K-12 Education (+5.4%), Transportation (+7.1%) and Statewide Expenditures (+170.2%) have seen budgetary increases from last year. The largest increase in State spending for 2017-2018 will come from a $2.7 billion increase in K-12 Education, while the largest decrease in State spending will result from a loss of $1.04 billion in government operations.

For details and more information please see our Newsletter, as well as the following link:

• http://www.ebudget.ca.gov/budget/2017-18MR/#/BudgetSummary​

]]>Wed, 07 Jun 2017 17:41:36 GMThttps://www.santacruzchamber.org/chamber-blog/2017-2018-santa-cruz-county-budget

• Santa Cruz County’s projected 2017-2018 budget is expected to exceed its generated revenue, with expenditure currently estimated at $717 million, with only $662 million in expected revenue.
• Of this $717 million proposed expenditure, 42% is allotted for County spending on Salaries and Benefits, 33% for Services and Supplies and 20% for other charges, whereas 39% of expected revenue will come from state and federal funding, 24% from taxes, 27% from social services charges, and 2% from licenses and permits.
• This expected county expenditure of $717 million is $40 million less than the 2016-2017 county budget proposal as grant funded capital projects have been completed, yet nevertheless, the County has received a financial break from a key area; Governor Brown has decided not to follow through on a proposal to halt the funding of In Home Support Services, with the State budget to offer $400 million for In Home Support Services in the year of 2017-2018.
• Santa Cruz County administrative officer, Susan Mauriello anticipate additional amendments to the budget proposal in order to respond to the potential loss of Medicaid funding and the repealing of the Affordable Care Act, which occur  under the Trump administration. The repeal of the Affordable Care Act, which would potentially remove healthcare access for up to 13% of Santa Cruz County, would present a major budget obstacle that the County must be address.  Additional budgetary challenges outside of health care include; overdue infrastructure maintenance, rising pensions costs, pressure to increase wages and salaries, and storing county funding in preparation for economic recession. Budget hearings will begin on June 19th.

Some information in this post is based in a Santa Cruz Sentinel publication on May 25th. For details and more information please see the following links:

• http://www.santacruzsentinel.com/government-and-politics/20170525/santa-cruz-county-to-spend-less-next-year
• http://santacruzcountyca.iqm2.com/Citizens/Detail_Meeting.aspx?ID=1579​​

]]>Wed, 07 Jun 2017 17:14:14 GMThttps://www.santacruzchamber.org/chamber-blog/2017-2018-santa-cruz-city-budget-revisions

• On May 23rd, 2017 the Santa Cruz City Council conducted their 2018 Fiscal Year Budget Hearings to review the 2017-2018 Santa Cruz City Budget Proposal which projects the City’s annual budget from July 1st, 2017 to June 30th, 2018.
• While the City is expecting $92.08 million in revenue, projected expenditures of $99.02 million stand $7 million higher, which is of budgetary concern and raises questions as to how the City can increase revenue in order to avoid deficit. According to the Santa Cruz City Council “should the Fiscal Year 2018 Proposed Budget be adopted as is, it would require a General Fund budget allocation of $2.1 million from reserves to offset the current projected deficit. This would drop General Fund reserves below their minimum funding level.”
• The City expects the majority of its revenue to come from Property Taxes ($19.5 million), Sales and Use Taxes ($18.96 million), Charges for Services ($15.34 million) and Utility Taxes ($11.81 million), higher expenditures are projected to come from funding Public Safety ($45.16 million), Community and Cultural Services such as the Library as well as Parks and Recreation ($16.46 million), General Government Funding ($17.22 million) and Public Works ($9.5 million).
• Santa Cruz’s fiscal issues are similar to other central coast cities, the combination of slow economic growth, with needed maintenance on overdue infrastructure and high pension costs, has led to fiscal predictions that by 2020, the City of Santa Cruz will face a $9.1 million gap between revenue and expenditure, with this number projected to expand to $15.5 million by 2022. While projected expenses currently surpass revenue expectations, the City believes that revenue boosting projects such as the building of a new basketball arena for the Santa Cruz D League Warriors, the construction of three new hotels, and a fiber optic cable project, will generate the additional revenue needed to cover this gap.  
• Despite these abysmal projections of excess expenditure, City Manager Martin Bernal remains optimistic, declaring, “While there is no doubt we are facing some major challenges, the future is filled with tremendous opportunities. Our charge is to take advantage of these opportunities to meet the needs of our community and further our quality of life. The Fiscal Year 2018 Proposed Budget furthers the City’s Strategic Vision and Work Plan and hopefully will contribute to making the City of Santa Cruz an even more amazing place”.

For details and more information please see the following links:

• http://www.cityofsantacruz.com/home/showdocument?id=59876
• http://scsire.cityofsantacruz.com/sirepub/cache/2/dlkdt25ju5tvhuhxkawnbufk/459343406042017083818992.PDF​

]]>Wed, 31 May 2017 19:11:36 GMThttps://www.santacruzchamber.org/chamber-blog/relevance-of-senate-bill-562-the-healthy-california-act

• One of the most intently discussed policy issues at both the federal and state level is health care. On the federal level, President Trump is seeking to rapidly repeal the Patient Protection and Affordable Care Act signed into law by former President Obama that greatly expanded health care access for many Americans. The California legislature is making a great deal of noise with its most recent health care bill proposal, Senate Bill 562, also known as the Healthy California Act.
  
• SB 562, authored by California Senators Lara and Atkins, calls for a single payer health care system in California; one that would provide comprehensive medical care coverage for all 39 million of California residents, thus eliminating private health insurance costs in California, and placing the responsibility of health insurance in the hands of the California government.
  
• This bill would eliminate private insurance co-pays and deductibles and likely gain its funding from increased taxes- it recently passed its first major legislative test moving through the Senate Health Committee with a vote of 5-2. and passed through the Senate Appropriations Committee where the cost of legislation was determined. The $300 + billion dollar price tag did not detour the Democratic controlled committee from approving the bill on a 5-2 vote.  The cost of the legislation is double the state budget.
  
• There is a great deal of excitement and grassroots momentum surrounding the Healthy California Act, it has received major backing from the California Nurses Association, the California Teachers Association and the California Labor Federation, but there remains major questions about its fundamental reliance upon increased taxes. Critics, such as Governor Brown, question not only whether voters will embrace more tax hikes (having recently approved the largest gas hike in state history, see our previous Newsletter for details), but whether such a plan would balloon through the state budget of $124 billion, pointing to the budgetary flaws of previous, failed single-payer health care proposals in states such as Vermont and California.  
  
• Despite questions regarding SB 562’s budget and funding, the Santa Cruz City Council has recently declared its full support for the Healthy California Act, issuing a resolution of Support on May 9, 2017.
  
• While there are still major legislative obstacles, if this bill is passed it would have enormous economic implications. California’s health care system relies upon roughly $230 billion in spending per year, and the burden of funding a single-payer health care system would likely fall upon taxpayers. SB 562 has faced intense opposition from private insurance companies, as well as the California Chamber of Commerce, who identify this health care proposal not only as expensive and unsustainable, but as a job killer that would hurt business by eliminating private insurance companies and penalizing employers and employees alike with further tax hikes. The California Chamber argues that this proposed new tax burden will not only hurt consumers and businesses already located in California, but will discourage businesses from establishing themselves in California, and will further cause job loss, as businesses will be forced to ease their increased financial burden with layoffs.
  
• While there is both intense support for, and opposition against SB 562, much remains unknown, as the authors of the bill have yet to present a specific budget proposal for the bill, and there is plenty of room for amendments and changes as it moves towards legislative review.
  
• We will keep you updated with further details as this bill continues to the Senate Appropriations Committee.   Santa Cruz Area Chamber has not taken a position on this legislation.
  

For more information please see the following links:

• https://advocacy.calchamber.com/2017/04/26/senate-health-committee-to-hear-single-payer-job-killer-today/
  
• http://www.healthycaliforniaact.org
  
• http://www.sacbee.com/news/politics-government/capitol-alert/article141617074.html
  
• http://sd33.senate.ca.gov/news/2017-04-26-healthy-california-act-wins-support-senate-committee-push-universal-healthcare
  
• http://www.mercurynews.com/2017/04/26/californias-healthcare-for-all-bill-passes-first-committee/
  
• http://capitalandmain.com/california-once-again-considers-a-single-payer-health-care-system-0427
  
• http://scsire.cityofsantacruz.com/sirepub/mtgviewer.aspx?meetid=843&doctype=AGENDA

​]]>Wed, 31 May 2017 18:52:45 GMThttps://www.santacruzchamber.org/chamber-blog/santa-cruz-nissan-project

• The owner of Santa Cruz Nissan, a car dealership located on Soquel Avenue in Santa Cruz, is requesting approval from Santa Cruz County to move his dealership to a new site in  Soquel on 41st Avenue next to the Redwood Square shopping center, Best Buy and Ocean ​Honda. This new dealership site would be located on the corner of 3820 Soquel Drive and 2755 41st Avenue, and has an estimated construction cost of $10 million.  
• While the owner expects both staff and sales to increase at the new Soquel site, citing expected potential sales of over $20 million; this move is facing opposition from economic interests in Santa Cruz, as well as from Soquel residents who fear the increased traffic congestion that this move would bring.
• The City of Santa Cruz’s Economic Development Director has shown disappointment at this requested move, and has failed to convince Santa Cruz Nissan to stay, despite offering alternative locations within the Santa Cruz City limits.
• While Santa Cruz City may mourn this loss of economic revenue, Santa Cruz County’s Economic Development Manager Andy Constable hopes that this move to Soquel will boost job growth and tax revenue. Members who routinely commute through this area of 41st Avenue are not as hopeful, opposition from members of the Soquel Neighbors Alliance has been actively expressed, with members claiming that this move would result in an estimated 600 additional vehicle trips to this area of 41st/Soquel Drive that is already heavily congested with traffic.
• This application has recently been taken off the May Planning Commission Agenda, due to proposed modifications to the project that the owner of Santa Cruz Nissan has requested.
• In light of community concern and opposition, Supervisor John Leopold, the representative for the 1st District, has assured his residents in his newsletter, that he will keep his residents updated and included as this Nissan project develops.  
  

This post is based in Santa Cruz Sentinel publications on May 1st and May 9th. For details and more information please see the following links:

• http://www.santacruzsentinel.com/article/NE/20170501/NEWS/170509976
  
• http://www.santacruzsentinel.com/article/NE/20170509/NEWS/170509667

]]>Mon, 08 May 2017 18:25:07 GMThttps://www.santacruzchamber.org/chamber-blog/the-road-repair-and-accountability-act-of-2017

• On April 6th 2017, the California legislature passed the Road Repair and Accountability Act of 2017 (Senate Bill 1), the largest gas tax in state history. This bill was just signed into law by Governor Brown on April 28th.
• This bill will raise the base gasoline excise tax by 12 cents per gallon, will increase the diesel and biodiesel tax by 20 cents, and will impose annual vehicle licensing fees. The combination of these taxes and fees will provide the state roughly $5 billion a year in transportation funding, and $52 billion over the next 10 years.
• While the passing of Senate Bill 1 is considered a huge win for the Democrats in Sacramento, it did not come easily, as highly controversial last minute deals with hesitant Democrats and Republicans resulted in roughly $1 billion being set aside for projects in areas of Riverside and Modesto.
• With Santa Cruz County having already approved Measure D in December of 2016, which authorized a half cent sales tax that will raise an estimated $17 million per year for local transportation funding, Senate Bill 1 will offer Santa Cruz County an additional $6 million per year, making available an additional $23 million in annual funding for road repair and transportation projects in Santa Cruz County.
• In addition, in response to concerns that the new funds will not be spent solely upon transportation as intended, Senate Bill 1 contains a proposed 2018 constitutional amendment that will guarantee that all of the $5 billion a year, will be used only for transportation repair and projects.
• From Senate Bill 1, which will begin in November of 2017, the City of Santa Cruz can expect to receive $1.48 million annually, whereas Watsonville will receive $1.21 million, Scots Valley $278,000 and Capitola $232,000.

Relevance: This bill is of great relevance to California’s infrastructure and economy as a whole, and addresses recent concerns in Santa Cruz County regarding the need for greater funding for roads and transportation. While this tax increase can be criticized as an increased financial burden for Santa Cruz residents who have already approved a gas tax in November and are struggling with the extremely expensive nature of California living, one can also argue that increased funding for transportation infrastructure and projects will not only put many people to work, but will also strengthen Santa Cruz’s local economy, as safe and efficient travel is a core aspect of economic growth. Furthermore, this additional funding may also play a role in supporting the City’s energy efficiency goals, as this bill allocates funding for sustainable and energy efficient transportation, setting aside an annual $100 million to promote increased travel by walking or bicycling, as well as $25 million for sustainable communities grant applications. Furthermore, this bill will also heavily invest in strengthening public transit, an essential aspect of sustainable travel. Many also see this increase in transportation funding as highly timely, in light of one of California’s wettest winters, which caused an estimated $20 million in road damage in Santa Cruz County, forcing both the City and County to declare a state of emergency.
​
To read more about the relevance of this bill please see our Chamber Newsletter for more details:
http://web.santacruzchamber.org/news/newsarticledisplay.aspx?ArticleID=1528
To see the specific details on the allocation of the projected funding please visit the following link:
http://www.sacbee.com/news/politics-government/capitol-alert/article147437054.html 
For more information please see the following links:

• http://www.kion546.com/news/santa-cruz-county/measure-d-passes-will-fund-transportation-projects/200725634
• http://www.sacbee.com/news/politics-government/capitol-alert/article143237054.html

]]>Mon, 08 May 2017 17:55:02 GMThttps://www.santacruzchamber.org/chamber-blog/may-08th-2017

• In early March, the Monterey Board of Supervisors finalized their vote to join Monterey Bay Community Power, joining Santa Cruz and San Benito counties to form a tri-county community choice energy project that will place control over energy supplies in local hands. This vote was of great significance as it secured the support of all three counties and pushed the Monterey Bay Community Power Project past one of many obstacles to come for this revolutionary tri-county energy initiative.
• The project, recently joined by San Juan Bautista, still has more progress to be made, as of the twenty-one cities within the three counties of Santa Cruz, Monterey, and San Benito, two cities, Del Rey Oaks and King City, have still refused to join this tri county agency, with Del Rey Oaks City Council voting against the Project on March 28th.
• Supporters of this community choice energy project intend to move forward with door to door canvassing in Del Rey Oaks with the hope of garnering enough community support to sway the City Council to vote on the issue again in May.
• Monterey Bay Community Power, an initiative driven by Santa Cruz County Supervisor Bruce McPherson, would not only emphasize local control over energy but would stimulate local economic development by keeping both energy and money local and creating local energy jobs. Furthermore this community choice energy project is projected to offer cleaner energy at similar rates to PG&E, and would emphasize investment in local renewable energy projects, which would play an important role in achieving California’s recent ambitious goal to reduce state emissions to 40% below 1990 levels by 2030.
• Monterey Bay Community Power will open for enrollment this summer and will automatically register residents from its counties, who will be given the option to remain with PG&E. 
• Roughly half of Santa Cruz, Monterey and San Benito’s green house gases are estimated to come from the projection of energy. As California is arguably the United States’ leader and pioneer in energy sustainability and environmental policy, if this tri county initiative is successful in promoting clean local energy at comparable PG&E rates, then this could set an innovative example of sustainable energy reliance for other counties and states to follow. For details and more information please visit the Monterey Bay Community Power Project at: http://montereybaycca.org

]]>Mon, 08 May 2017 17:44:33 GMThttps://www.santacruzchamber.org/chamber-blog/city-council-on-the-next-uc-santa-cruz-long-rage-development-plan​

• On April 25th, 2017, the Santa Cruz City Council addressed UC Santa Cruz’s Long Range Development Plan and adopted a recommendation to direct the Mayor to forward the Council’s recommendations to Chancellor Blumenthal.
• The existing UC Santa Cruz Long Range Development Plan (LRDP), which sets forth the standards of growth that the UC campus must adhere to by 2020, is of great importance to the Santa Cruz community, as the expansion of the university must be limited and within reason, due to the university’s direct impact upon key areas of transportation, housing and water usage.
• While the university is beneficial to the Santa Cruz community in many ways, promoting economic growth and a vibrant learning environment, the increasing university student body, and it’s role in driving up housing costs and traffic congestion, makes the communities considerations and involvement in the next LRDP to be of utmost importance.
• In regards to the next LRDP, which would enter into place after 2020, the City Council requests that the previous LRDP student population limit of 19,500 remain as the maximum population, and that no more student body growth be allowed, due to the strain that this already high population places on community resources.
• The City Council also requests that a Community Impact Committee be created in order to advise and educate the next LRDP about the Santa Cruz community’s needs and concerns in regards to the university's growth.
• Lastly the City Council recommends that the Mayor write a letter directly to UC Santa Cruz Chancellor Blumenthal, regarding the integration of the above concerns into the LRDP.

 
 
The information in this write up is based in a Santa Cruz City Council Agenda Report set forth on April 25th, 2017. For details and more information please see the following City Council Agenda Report.
http://scsire.cityofsantacruz.com/sirepub/mtgviewer.aspx?meetid=856&doctype=AGENDA

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