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HomeMy WebLinkAbout2026-02-05; Economic Development Subcommittee; 04; Fiscal Year 2026-27 Proposed Strategic ActionsMeeting Date: Feb. 5, 2026 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: Fiscal Year 2026-27 Proposed Strategic Actions Recommended Action Receive a report on proposed economic development strategic actions for Fiscal Year 2026-27, discuss and provide feedback. Executive Summary The Economic Development Strategic Plan, adopted on January 10, 2023, provides a long-term framework for guiding the city’s economic development initiatives. The plan was intentionally designed to be updated annually to ensure the city’s efforts remain responsive and adaptable to evolving economic conditions. Each year, Economic Development Strategic Actions are developed to identify specific, near-term steps for implementing the broader strategy in the upcoming fiscal year. These actions are reviewed annually by the Economic Development Subcommittee, which may provide a recommendation to the City Council for adoption as part of the regular budget process. As part of this review, the subcommittee evaluates the proposed strategic actions alongside associated budget considerations and assesses their alignment with current business and community needs. This report presents staff’s recommended strategic actions for implementation in Fiscal Year 2026– 27.Staff is proposing the implementation of six new actions. At this time, staff anticipates a need for an additional $75,000 in one-time funding beyond the department’s Fiscal Year 2025–26 budget levels. Following discussion of this item, staff will further evaluate and refine the proposed actions and return to the subcommittee with a final recommendation, including more definitive cost estimates where applicable. Staff will return with final recommendations at the subcommittee’s next meeting. At that time, the subcommittee may consider making a recommendation for the Strategic Actions for Fiscal Year 2026-27, along with any potential funding changes. These recommendations would be included in the regular budget process for City Council consideration. ECONOMIC DEVELOPMENT SUBCOMMITTEE Feb. 5, 2026 Item #4 Page 1 of 4 Explanation & Analysis Since the adoption of the Economic Development Strategic Plan, economic development staff have implemented 55 strategic actions in support of the City Council’s goal of economic vitality. Economic Development Implementation Progress Over the first three and a half years of implementing the Economic Development Strategic Plan, staff have launched programs and initiatives that have strengthened Carlsbad’s business ecosystem, making the city an attractive place to operate and grow a business. Key accomplishments include: Goal 1: Support for Small Businesses, Startups, and Entrepreneurs • Hosted small business workshops to provide essential resources. • Supported Small Business Development Center (SBDC) programming in Carlsbad. • Organized Startup Week in Carlsbad for four consecutive years. • Conducted small business site visits with city leaders. • Implemented the small business liaison program to improve access to city services. • Began offering small business liaison office hours at Carlsbad Libraries and soon to be at partner organizations. • Collected and archived business resources for easy reference. • Launched a cybersecurity awareness program to enhance small business resiliency. • Spotlighted small businesses and provided small business resources in the city’s “Business Update” newsletter • Introduced a shop local campaign to promote and support "Main Street" businesses. Goal 2: Workforce Development and Talent Attraction • Refreshed and relaunched an expanded Life in Action Recruiter and the Candidate Marketplace. • Piloted and scaled the Job-Readiness Room program. • Positioned Carlsbad Libraries as a resource for job-seekers. • Strengthened partnerships with local and regional education institutions. • Launched a summer intern housing program with CSU San Marcos and San Diego North EDC. • Promoted paid internship programs as a valuable workforce pipeline for Carlsbad businesses. Goal 3: Supporting Key Industries • Expanded monthly industry engagement events. • Conducted site visits to businesses in Carlsbad’s key industries. • Developed targeted messaging to attract companies in high-growth industries. • Strengthened regional partnerships with key industry organizations. • Attracted business events to Carlsbad to raise the city’s profile. • Improved Business Improvement District operations for efficiency. • Enhanced relationships with commercial real estate brokers and developers. • Created a site selection tool to allow interested businesses to see what sites are available that would meet their operating needs. • Rebranding the “Doing Business” page to “Choose Carlsbad” • Creating an Open House program for Carlsbad businesses to showcase their operations to students and community members Feb. 5, 2026 Item #4 Page 2 of 4 Goal 4: Placemaking and Engagement • Expanded the light post banner program to increase business district visibility. • Revitalized the monthly “Business Update” newsletter to improve communication. • Updated the social media strategy to be more relevant to businesses. • Launched a small business spotlight feature. • Modernized the Carlsbad Life in Action website. Other Systems Improvements • Built and implemented a CRM system to track business engagement and progress. • Developed a digital resource hub for business support services. • Made economic data more accessible for businesses and policymakers. • Conducted a biennial business survey to gather feedback and insights. • Provided quarterly economic updates to the City Council. • Collaborated across departments to streamline processes and address business challenges. • Promoted a systems-thinking approach within city staff to enhance economic development impact. • Worked with regional partners to increase analytics capacity at CSU San Marcos to better quantify business sentiment in North County. These accomplishments reflect the city’s ongoing commitment to fostering economic vitality, ensuring Carlsbad remains a hub for innovation, investment, and economic resilience. Strategic Actions FY 2026-27 The proposed Economic Development Strategic Actions for Fiscal Year 2026–27 are summarized below with any costs noted. The additional actions reflect all remaining initiatives staff proposes to implement from the 2023–2027 Economic Development Strategic Plan. Goal 1: Support Small Businesses, Startups & Entrepreneurs • Develop a business walk program to conduct coordinated outreach to various business parks and commerce centers • Conduct a business sentiment survey and economic analysis of the Carlsbad economy. ($75,000 – one-time) Goal 2: Workforce Development and Talent Attraction • Develop a feedback mechanism to learn in real-time what employer recruiting and hiring challenges may be. Goal 3: Supporting Key Industries • Pilot an economic development prioritization program that explores faster permit review for businesses that meet certain criteria. Goal 4: Placemaking and Engagement • Collaborate with the Cultural Arts team to further enhance placemaking initiatives • Promote volunteer opportunities to Carlsbad employers to foster a greater sense of connection Feb. 5, 2026 Item #4 Page 3 of 4 In addition to the programs listed above, staff will continue efforts to increase business participation and ensure the ongoing value and effectiveness of existing economic development programs. In Fiscal Year 2027–28, staff will propose the development of a new Economic Development Strategic Plan to guide the subsequent five-year period. Fiscal Analysis At this time, $75,000 of one-time funding would be requested to implement the items contained in this report. Staff will further evaluate and refine the proposed actions and return to the subcommittee with a final recommendation at its next meeting, including more definitive cost estimates if applicable. Next Steps Staff will return with final recommendations at the subcommittee’s next meeting. At that time, the subcommittee may consider making a recommendation for the Strategic Actions for Fiscal Year 2026-27, along with any potential funding changes. These recommendations would be included in the budget process for City Council consideration. Exhibits None Feb. 5, 2026 Item #4 Page 4 of 4 FISCAL YEAR 2025-26 PROPOSED STRATEGIC ACTIONS Recommendation: Receive a report on proposed economic development strategic actions for Fiscal Year 2026-27, discuss and provide feedback. It e m 4 ECONOMIC DEVELOPMENT ECONOMIC DEVELOPMENT STRATEGIC PLAN •Supports Strategic Plan Goal -Economic Vitality •Four Key Goals: o Support Small Businesses, Startups & Entrepreneurs o Develop Workforce and Attract Talent o Grow and Support Key Industries o Encourage Placemaking and Engagement •55 Actions implemented for fiscal year 2025-26 ECONOMIC DEVELOPMENT Goal 1: Support for Small Businesses, Startups, and Entrepreneurs •Hosted small business workshops to provide essential resources. •Supported Small Business Development Center (SBDC) programming in Carlsbad. •Organized Startup Week in Carlsbad for four consecutive years. •Conducted small business site visits with city leaders. •Implemented the small business liaison program to improve access to city services. •Began offering small business liaison office hours at Carlsbad Libraries and soon to be at partner organizations. •Collected and archived business resources for easy reference. •Launched a cybersecurity awareness program to enhance small business resiliency. •Spotlighted small businesses and provided small business resources in the city’s “Business Update” newsletter •Introduced a shop local campaign to promote and support "Main Street" businesses. ECONOMIC DEVELOPMENT Progress To Date – Goal 1 Goal 2: Workforce Development and Talent Attraction •Refreshed and relaunched an expanded Life in Action Recruiter and the Candidate Marketplace. •Piloted and scaled the Job-Readiness Room program. •Positioned Carlsbad Libraries as a resource for job-seekers. •Strengthened partnerships with local and regional education institutions. •Launched a summer intern housing program with CSU San Marcos and San Diego North EDC. •Promoted paid internship programs as a valuable workforce pipeline for Carlsbad businesses. ECONOMIC DEVELOPMENT Progress To Date – Goal 2 Goal 3: Supporting Key Industries •Expanded monthly industry engagement events. •Conducted site visits to businesses in Carlsbad’s key industries. •Developed targeted messaging to attract companies in high-growth industries. •Strengthened regional partnerships with key industry organizations. •Attracted business events to Carlsbad to raise the city’s profile. •Improved Business Improvement District operations for efficiency. •Enhanced relationships with commercial real estate brokers and developers. •Created a site selection tool to allow interested businesses to see what sites are available that would meet their operating needs. •Rebranding the “Doing Business” page to “Choose Carlsbad” •Creating an Open House program for Carlsbad businesses to showcase their operations to students and community members ECONOMIC DEVELOPMENT Progress To Date – Goal 3 Goal 4: Placemaking and Engagement •Expanded the light post banner program to increase business district visibility. •Revitalized the monthly “Business Update” newsletter to improve communication. •Updated the social media strategy to be more relevant to businesses. •Launched a small business spotlight feature. •Modernized the Carlsbad Life in Action website. ECONOMIC DEVELOPMENT Progress To Date – Goal 4 Other Systems Improvements •Built and implemented a CRM system to track business engagement and progress. •Developed a digital resource hub for business support services. •Made economic data more accessible for businesses and policymakers. •Conducted a biennial business survey to gather feedback and insights. •Provided quarterly economic updates to the City Council. •Collaborated across departments to streamline processes and address business challenges. •Promoted a systems-thinking approach within city staff to enhance economic development impact. •Worked with regional partners to increase analytics capacity at CSU San Marcos to better quantify business sentiment in North County. ECONOMIC DEVELOPMENT Progress To Date – Other Systems Goal 1: Support Small Businesses, Startups & Entrepreneurs •Develop a business walk program to conduct coordinated outreach to various business parks and commerce centers •Conduct a business sentiment survey and economic analysis of the Carlsbad economy. ($75,000 – one-time) ECONOMIC DEVELOPMENT Fiscal Year 2026-27 Proposed Actions Goal 2: Workforce Development and Talent Attraction •Develop a feedback mechanism to learn in real-time what employer recruiting and hiring challenges may be. ECONOMIC DEVELOPMENT Fiscal Year 2026-27 Proposed Actions Goal 3: Supporting Key Industries •Pilot an economic development prioritization program that explores faster permit review for businesses that meet certain criteria. ($20,000 – ongoing, included in current budget levels) ECONOMIC DEVELOPMENT Fiscal Year 2026-27 Proposed Actions Goal 4: Placemaking and Engagement •Collaborate with the Cultural Arts team to further enhance placemaking initiatives •Promote volunteer opportunities to Carlsbad employers to foster a greater sense of connection ECONOMIC DEVELOPMENT Fiscal Year 2026-27 Proposed Actions •The proposed actions for Fiscal Year 2026-27 can be implemented with an additional one-time budget allocation of $75,000 •If the subcommittee provides a recommendation, staff will move forward with a budget request as part of the normal budget process ECONOMIC DEVELOPMENT Fiscal Analysis •Based on the discussion, staff will incorporate feedback into the proposed implementation plan for fiscal year 2026-27. •Staff will return with final recommendations at the subcommittee’s next meeting. At that time, the subcommittee may consider making a recommendation for the Strategic Actions for Fiscal Year 2026-27, along with any potential funding changes. These recommendations would be included in the budget process for City Council consideration. ECONOMIC DEVELOPMENT Discussion and Next Steps