HomeMy WebLinkAbout2025-05-01; Economic Development Subcommittee; 03; Economic Development Strategic Actions UpdateMeeting Date: May 1, 2025
To: Economic Development Subcommittee
From: Matt Sanford, Economic Development Director
Staff Contact: Matt Sanford, Economic Development Director
matt.sanford@carlsbadca.gov, 442-339-5987
Subject: Economic Development Strategic Actions Update
Recommended Action Receive an informational report on the implementation of current economic development strategic
actions, discuss and provide recommendations.
Executive Summary
The Economic Development Strategic Plan is a roadmap that guides the city’s economic
development activities over a five-year period, which began in 2023. The Economic Development
Strategic Actions Plan is the annual implementation of the tactical steps to achieve the goals and
objectives of the Economic Development Strategic Plan and outlines the tactical actions that are
taken to achieve its goals and objectives. This report provides an update on economic development
activities and the implementation of the approved strategic actions.
Explanation and Analysis
Current Trends
Evolving federal and global policy changes have created a period of uncertainty as businesses and
organizations work to understand how new rules may affect their operations. Ongoing discussions
around tariffs, in particular, have raised concerns for Carlsbad manufacturers that depend on
international supply chains through importing and exporting their products or services to global
markets.
This uncertainty is making it difficult for businesses to accurately assess operational impacts or plan
effectively. City staff are actively engaged with businesses, regional partners and the County to find
solutions that best support local businesses during this period of change.
At the same time, we are seeing an increase in inquiries related to financial resourcing support, such
as grants, incentives, and programs, to help maintain and grow business operations – an indication
that businesses are pursuing creative financing options as normal capital markets are constrained.
However, there has been an uptick in interest regarding commercial space availability, primarily in
industrial uses. Those inquiries have come from businesses currently outside of Carlsbad and in
some cases outside the United States, as companies look at options to onshore operations.
ECONOMIC DEVELOPMENT SUBCOMMITTEE
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City staff are committed to working closely with businesses during this period of uncertainty,
offering assistance to develop practical solutions, whether by facilitating partnerships with
educational institutions, supporting workforce housing initiatives, or expanding city-led talent
attraction efforts.
Progress on Current Actions
The following are recent highlights from the implementation of the Economic Development Strategic
Plan and reflect progress toward the approved actions.
Small Business Liaison Program Development
The Small Business Liaison Program continues to expand its efforts to support Carlsbad’s small
business community by providing direct assistance and streamlining connections to city resources.
As the program evolves, the city remains committed to providing access to resources and ensuring
small businesses have the tools needed to succeed.
Direct Business Support
The Small Business Liaison continues to provide direct assistance to Carlsbad’s small businesses,
helping them navigate City processes and access key resources. These topics include:
•Navigating city processes
•Business license questions
•Understanding permitting requirements
•Clarification on zoning
•Determining correct business classifications and usage
•Guidance on home-based vs. commercial operations
•Assistance with signage regulations
•Support with commercial code enforcement-related issues
•Access to incentives, grants or other financial-related support
•Connection to external organizations or networking events
•General navigation of city departments or contacts
To improve accessibility, Economic Development staff are partnering with the Carlsbad Library to
offer appointment bookings with the Small Business Liaison directly through the Library’s
website. Appointments will also be available via the City’s Digital Resource Hub. This new option
ensures easier access to the Small Business Liaison.
To further streamline access to business-related information, staff are revamping the City’s
Business webpage. The updated page will be easier to navigate and better aligned with the
needs of local businesses, offering quick links and guidance tailored to specific goals, such as
starting a new business, renewing a business license, applying for permits, or accessing general
resources.
To access direct support, businesses can reach out directly to staff, email us at
business@carlsbadca.gov for support, or complete the intake form at carlsbadca.gov/SBL. By
filling out the intake form, businesses automatically receive customized resources directly to
their inbox based on their responses. The Small Business Liaison then follows up with each
individual to provide additional guidance or support as needed.
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Digital Resource Hub
The City has officially launched its Digital Resource Hub for businesses. Staff hosted a webinar on
April 3, 2025 to promote and demonstrate the features of the Digital Resource Hub, with over
100 registrants signing up to attend the live session. The team from SizeUp, the developers of
the software platform that forms the Digital Resource Hub, guided Carlsbad businesses through
the various tools and features available. Businesses that missed the session can view a recording
of the webinar on the City’s Digital Resource Hub webpage at carlsbadca.gov/business/digital-
hub. Additionally, SizeUp offers personalized office hours for businesses seeking further
assistance. This sign-up link is also available on the City’s website.
The platform offers a wide range of valuable resources tailored to small businesses, including
guidance related to human resources, financial management, employee hiring and retention
strategies, and industry-specific benchmarks and best practices. Staff will continue to monitor
platform analytics to understand which tools and topics businesses are most interested in, based
on industry, business stage, and subject matter. These data-driven insights will help shape future
programmatic efforts and ensure that resources remain relevant and impactful to the Carlsbad
business community.
The Digital Resource Hub will continue to evolve based on business feedback and is being
developed to ensure it remains user-friendly, intuitive, and valuable for Carlsbad’s
entrepreneurial ecosystem.
Small Business Support – Commercial Storefront Improvement Research
Based on direction from the subcommittee at its October 2024 meeting, staff, in partnership with UC
San Diego, conducted a comprehensive review of storefront improvement programs across
California, including interviews with 13 similar cities to identify best practices and assess feasibility
for Carlsbad. This research forms the foundation for a proposed program design framework for the
Signage Improvement Program that the subcommittee recommended for implementation in fiscal
year 2025-26.
The final research was completed using UC San Diego’s I4x Innovation Sprint program. The team that
worked on the study will present their findings and recommendations on May 22, 2025 during the
Design and Innovation Day Event at UC San Diego. The proposed program explores a variety of
support options for small businesses, such as:
•Signage enhancements
•Anti-graffiti treatments
•Security camera installations
•Local murals and artist engagement
•General façade upgrades (lighting, paint, patios, etc.)
Small Business Workshop Series
The City, in partnership with the Carlsbad Chamber of Commerce and the Carlsbad Village
Association, has proposed an initial outreach plan and set forth topics for a new Small Business
Workshop Series. Scheduled to launch in the upcoming fiscal year, this year-long series will include a
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mix of City-led and community-driven sessions. The workshops are designed to equip business
owners with practical strategies to strengthen operations, foster growth, and build stronger
connections with City departments and local business organizations.
The series will focus on providing small businesses with the knowledge and tools to address key
challenges, including business continuity planning. The first two topics will be:
•Foreign Trade Zones as a resource in an uncertain tariff environment: How they work and
opportunities for Carlsbad businesses
•Zoning - Allowable Usages & Where to Locate Your Business: Understanding zoning
regulations and making informed location decisions
These sessions aim to be highly relevant, timely, and actionable, helping businesses navigate
evolving landscapes while reinforcing community partnerships.
Regional Partnerships
Foreign Trade Zone (FTZ) Program
With continued uncertainty around tariffs and their potential impact on local businesses, Carlsbad
has increased its collaboration with regional partners to promote the Foreign Trade Zone (FTZ No.
153)program.
Foreign Trade Zones are secured, designated locations in the U.S. that are considered outside of U.S.
Customs territory for duty and tariff purposes. Businesses operating within an FTZ can defer, reduce,
or eliminate Customs duties on foreign products admitted into the zone for purposes such as
storage, exhibition, testing, quality control, kitting, assembly, processing, and manufacturing.
Key Benefits of FTZs:
•Help companies stay competitive in the global economy
•Promote local job creation and investment
•Offer significant cost savings on imports and exports
FTZ No. 153, is administered by the City of San Diego, encompasses all of San Diego County and the
southern portion of Riverside County. It supports a wide range of industries, including:
•Aerospace and aircraft production
•Medical, pharmaceutical, and chemical manufacturing
•Automotive and engine production
•Oil refining and electrical machinery
•Optical, photographic, and consumer electronics
•Apparel, footwear, and machinery/equipment manufacturing
•FTZ warehousing and logistics providers
Carlsbad businesses are increasingly taking advantage of the FTZ No. 153 program. The City is
actively working with the City of San Diego’s Economic Development Department to share
resources, connect local businesses to FTZ contacts, and explore new opportunities to support
Carlsbad’s growing industries through FTZ participation.
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Labor Market Information and Economic Indicators
Staff will present the Q3 Quarterly Scan at the May 13 City Council Meeting.
Industry Gatherings
Over the past 18 months, staff have increased engagement for industry gatherings, which occur on a
monthly basis. The series has evolved from 4 – 8 industry leaders discussing operations in the city, to
more than 50 attendees in regular attendance. The events, which consist just of those operating in
the industry, have proven to be valuable connection points and allow for impactful discussions of
what is happening in the industry, trends people are watching, and concerns about the future. Staff
use this information to help inform programming and resources that make the city a more
competitive place to do business for our key industries.
Recent gatherings include:
March – Carlsbad video game cluster
April – Carlsbad Life Sciences
Fiscal Analysis
This action has no financial impact.
Next Steps
Staff will continue to implement the Economic Development Strategic Plan actions for fiscal year
2024-25 and will keep the subcommittee informed of progress.
Exhibit
None.
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