takeout, catering, delivery services, and a full -service bar. We serve a broad customer base including local families, business professionals, youth sports teams, community organizations, and visitors to the area.
Our objective is to expand our existing restaurant by constructing a covered outdoor patio dining area adjacent to the current building. The expansion is intended to increase seating capacity, improve customer experience, and create a versatile space that can be utilized throughout the year regardless of weather conditions.
The proposed patio will provide approximately 1,000 square feet of additional dining space and will include permanent seating, televisions for sporting events, lighting, fans, heaters, and weather protection. The design will complement the existing restaurant and enhance the appearance of the property while creating a comfortable environment for guests.
The additional seating will allow Tuscano's to better accommodate large groups, sports teams, fundraising events, birthday parties, family gatherings, and community meetings. Currently, seating limitations often require larger parties to seek accommodations elsewhere. The expansion will enable us to retain these customers within Beaumont and support additional business activity in the downtown area.
Our target customers include Beaumont residents, neighboring communities, youth and adult sports organizations, local businesses, community groups, and visitors seeking a family -friendly dining experience. The patio will create a destination where customers can gather to watch sporting events, celebrate special occasions, and enjoy outdoor dining in a safe and comfortable setting.
The project represents a significant investment in both the property and the local economy. The increased seating capacity is expected to generate additional sales tax revenue, increase customer traffic to surrounding businesses, and create new employment opportunities within the restaurant. As business volume increases, we anticipate hiring additional kitchen, service, bartending, and support staff.
This expansion demonstrates our long-term commitment to Beaumont and our desire to continue investing in the community while providing residents with an enhanced dining and entertainment experience.
Exhibit B: Program Guidelines
CITY OF BEAUMONT
ECONOMIC DEVELOPMENT DEPARTMENT
550 EAST 6th STREET
BEAUMONT, CALIFORNIA 92223
(951) 769-8527
Downtown Business Attraction and
Expansion Program
PROGRAM GUIDELINES & POLICIES
CITY OF BEAUMONT
DOWNTOWN BUSINESS INCENTIVE
LOAN POLICY
TABLE OF CONTENTS
I. INTRODUCTION 1
11. PURPOSE 1
III. PROHIBITION AGAINST CHANGE IN OWNERSHIP, MANAGEMENT AND CONTROL OF PARTICIPANT 1
IV. POTENTIAL LOAN FORGIVENESS 2
V. PARTICIPATION PERIOD REQUIRED 2
VI. ELIGIBLE BUSINESSES 2
VII. ELIGIBLE ACTIVITIES 3
VIII. PROPOSAL RATING 3
IX. ADMINISTRATION 4
X. LOAN APPROVAL 4
XI. FUNDING AVAILABILITY 5
XII. APPLICATION PERIOD 5
XIII. RISK ASSESSMENT 5
XIV. PRICING AND TERMS 8
XV. COLLATERAL 8
XVI. CESSATION OF BUSINESS 8
XVII. GUARANTORS 9
XVIII. PROBLEM CREDITS 9
XIX. ACTION OCCURRENCES 9
XX. COLLECTION ACTION 10
XXI. NON -ACCRUAL LOAN STATUS 10
XXII. COLLATERAL APPRAISALS 10
XXIII. FINANCIAL INFORMATION REQUIRED 11
XXIV. FINANCIAL INQUIRIES 11
XXV. INSURANCE 11
XXVI. AMENDMENTS 12
CITY OF BEAUMONT
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I. INTRODUCTION
This written policy is intended as a guide in making credit decisions regarding applications for Business Incentive loan projects for the City of Beaumont (City). This policy is written to allow flexibility as credit needs change. It should be used as a tool to provide some consistency for project selection. Projects will be considered for funding on a case -by -case basis, until available funding is exhausted. Only those projects falling within the scope of the guidelines will be considered for funding. Depending on funding amount as provided below, successful applicants will be determined by the City Council.
II. PURPOSE
This policy provides financial assistance to support economic development and business retention and expansion goals with the Downtown Beaumont Area. The goals are structured to promote Downtown Beaumont as a positive place for quality business, promote business expansion and attraction to enhance local economic growth, and ensure that government regulations promote a favorable business climate with the intent of furthering the health, safety and welfare of the residents of Beaumont.
This loan program is not to be equated with a loan program available through banking or financial institutions. As a public lender, the source of funds is interested as much in the social benefits as return on investment, and preservation of capital. The return to Beaumont is multiple: increased investment in the business community, additional jobs, increased foot traffic and business activity, increased tax revenues and quality of life for our residents.
The purpose of the economic development assistance is to:
1. Fulfill a need within the community.
2. Create jobs within the community.
3. Generate increased sales tax revenue.
4. Create opportunities for business expansion for existing Beaumont businesses.
5. Create opportunities for recruiting new businesses.
6. Encourage additional foot traffic and social activity within the Downtown Area.
7. Diversify the City's sales tax base.
III. PROHIBITION AGAINST CHANGE IN OWNERSHIP, MANAGEMENT AND
CONTROL OF PARTICIPANT
The qualifications and identity of Participant in this program are of particular concern to City. It is because of those qualifications and identity that City will enter into an Agreement with Participant. No voluntary or involuntary successor in interest of Participant shall acquire any rights or powers under this program except as expressly set forth within executed documents under this program. A change in ownership,
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management and control shall be subject to the approval of City, but such approval shall not be unreasonably withheld.
Participant shall not assign all or any part of any Agreements or Notes under this program without the prior written approval of City, which approval shall not be unreasonably withheld.
IV. POTENTIAL LOAN FORGIVENESS
Participants in this program will be required to comply with the terms of the loan and provide the goods and services as promised for a specified minimum amount of time, as outlined in Section V below. In meeting this requirement and compliance with the program, funds loaned may be forgiven at the end of that period. If the Participant does not comply with all of the terms of the loan and the program, the loan will not be forgiven and must be repaid.
V. PARTICIPATION PERIOD REQUIRED
The required period of time for program compliance and fund forgiveness/repayment depends on the amount loaned. The following schedule applies:
Amount of Loan Forgiveness/Reporting Period
Up to $25,000 3 years
$50,000 ...5 years
VI. ELIGIBLE BUSINESSES
Only commercial properties located within the Downtown Incentive Area Program Boundary area are eligible to apply. CLICK HERE for the map showing the program boundary or access it via the City website
beaumontcabusiness.gov/businesses/incentives.
The following types of businesses are eligible for a business incentive loan:
• Proposed sales tax generating businesses that are new to Beaumont • Existing sales tax generating businesses in Beaumont wanting to expand their gross floor area (square footage) and/or occupant load by 50% or more.
• For applicants seeking a loan under this program, the restaurant/business must fall within one of the five categories below. The City shall determine, in its sole discretion, whether a business falls within one of these five categories:
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i.) Premium Casual Restaurants (upscale, fast casual dining, high quality food, elevated atmosphere but more casual
than fine dining, seating areas indoors or outdoors)
ii.) Sit Down Fine Dining Restaurants (upscale dining, high quality food, wine list, formal atmosphere, sizable
seating area indoors and bonus for outdoor seating)
iii.) Bars and Cocktail Lounges (upscale and elevated
atmosphere, premium offerings, activities and events)
iv.) Breweries, Distilleries, small scale alcohol production (manufacturing of craft beer, spirits, or wine, product sold for onsite and offsite consumption, retail
component with elevated atmosphere)
v.) Entertainment Uses. Live entertainment, music stores, bookstores, art house or art showcases, technology
focused and gadgetry businesses such as high-tech
video games or virtual realty, etc.
• Existing businesses that are unable to meet the expansion percentage (50%) requirements above, due to unique circumstances or site constraints, may still apply if they feel they can still meet the program objectives below (section VIII) and earn a qualifying score under the established rating system.
VII. ELIGIBLE ACTIVITIES
Within these categories funding can be used for the following types of activities:
• Interior and/or exterior leasehold improvements
• Purchase of business equipment, furniture, and fixtures • Working Capital
The applicant is responsible for checking and working with the city to determine whether the use of funding would trigger the requirement to pay prevailing wages to workers.
VIII. PROPOSAL RATING
Given the limited amount of funding available annually, loan proposals submitted by applicants will be reviewed and graded. Eligible applicants loan proposals will be weighted using the following rating system:
1. Fulfill a need within the community. 10 pts
2. Generate increased sales tax revenue. 5 pts
3. Create opportunities for recruiting new businesses to fill commercial vacancies. 10 pts
4. Create opportunities for business expansion for existing Beaumont businesses. 10 pts
5. Encourage additional foot traffic and social activity within the proposed business 10 pts location.
6. Diversify the City's sales tax base 10 pts
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7. The risk determination analysis (see Section XIII).
Total:
5 pts
60 pts
Funding decisions will be made based on the rating of the proposal, the number of other proposals and their ratings, and the availability of funding. The date of submission of a proposal as compared to other submissions is not a factor (e.g., funding is not "first come first served"). However, there are limitations on the amount of funding available.
IX. ADMINISTRATION
A. Staff Recommendations
In order to ensure timely review of applications, the Program Administrator will establish and internal review process whereby the review and recommendation of the City Manager, Community Development Director, Economic Development Manager, and Finance Director (Program Administrator) and other staff members as determined by the Program Administrator will be solicited. The internal review process shall result in the Program Administrator making a recommendation of approval, approval subject to conditions or denial based upon the rating system in section VII of this policy. The Program Administrator will also solicit from staff review and recommend approval, conditional approval or denial of requests from approved borrowers for payment deferrals, substitution or release of collateral, waiver or release of covenants, and amendments to loan documents all of which shall be subject to final action by the City Council.
B. Program Administrator
The Finance Director will serve as the Program Administrator. The Program Administrator will market, solicit, review, and process potential borrowers' applications for credit. The Program Administrator will decline or refer out to other departments any applicant who clearly does not qualify under eligibility standards as set forth by the policy. The Program Administrator will recommend new credit, payment deferrals, release or substitution of collateral, waivers/amendments to loan covenants and exceptions to loan policy to the City.
X. LOAN APPROVAL
Approval of all Loans shall require City Council action. The City Council retains the discretion to approve, approve with conditions or reject applications.
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XI. FUNDING AVAILABILITY
The business incentive loan program is funded on a fiscal year basis. The City of Beaumont fiscal year begins on July 1 and ends on June 30 of the following year.
Limited funds are available in each fiscal year when the program is funded.
Applications may be rejected if funding is exhausted.
XII. APPLICATION PERIOD
A. Submittal
Applications will be accepted on a continuous basis.
B. Processing
Applications will be processed when funds are available. The City has no obligation to process applications if all available funding has been exhausted.
XIII. RISK ASSESSMENT
All loans are subject to analysis to determine risk. Substantial evidence to support all decisions shall be required and such evidence shall be maintained by the Program Director and submitted to the City Council during the final review and approval process.
Loans will be awarded only to projects, which demonstrate that the service provided is commensurate with the risks incurred. In return for the public moneys provided, the businesses is expected to generate increased investment, jobs, business activity, and thus increased tax revenues.
A. General Credit Criteria
The business loan applications will be analyzed for the following criteria, based on criteria specified by the U.S. Department of Housing and Urban Development, Office of Community Planning and Development, and by the Small Business Administration:
1) Ability to repay in case of default or termination of business. 2) Balance Sheet Analysis
Balance sheet must be sound before the loan is made.
Historical earnings and cash flow records, from verifiable sources as determined by the City, to ensure sufficient repayment of all requested credit, and to provide the owner(s) with a reasonable level of personal income to satisfy personal obligations. Typically, a borrower will have been profitable during the most recently completed year and will maintain a cash flow coverage ratio of
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1:1 (defined as earnings before debt service, interest and taxes divided by debt service), with sufficient collateral. The ratio would be 2:1 without collateral. If partial collateral is pledged, the ratio may be prorated downward. 3) Collateral
Collateral, when available in any form, may be requested by the City. Collateral will be pledged commensurate with the amount of requested credit, as well as a security interest in newly purchased assets, or those purchased with loan funds. If the project cannot repay the loan from cash flow, the City will collect payment by liquidating the asset and satisfying the specific lien securing the property. A letter of credit or bond may be accepted in lieu of collateral. Loan to value for collateral should be 75%.
4) Commitment
Personal and corporate guarantees may be required. The borrower should sign personally for the loan.
5) Management Experience
The management team must have experience in all areas of running the business: sales, finance, operations, personnel, etc. The management team includes the principals, directors, senior management and consultants.
The management team should have direct experience in these areas or have comparable business skills which can be transferred.
6) Business Plan
The business plan will help identify worthy ventures. The monthly cash flow statement for the first year is especially important.
7) Character
The owners and management should have favorable credit histories, a reputation for treating customers fairly and without discrimination, no bankruptcy filing in the past five years, and a criminal record free from felony convictions and convictions of crimes involving dishonesty or moral turpitude.
Good character and creditworthiness will be determined by credit reports, payment history with verified vendors, personal interview, or other means as determined.
All of the above criteria are important, and the absence of any one may be sufficient to deny a loan request.
B. Undesirable Credit Applications/Borrowers/Guarantors
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Using the guidelines for the Small Business Administration and the Department of Housing and Urban Development, the following are undesirable or unacceptable without mitigating circumstances acceptable to the City:
1) Applications for funding that would substantially reduce the amount of non - Federal support for the activity available in other recognized, reasonable loan programs available in the target areas;
2) Requests for credit to repay existing creditors are prohibited. 3) Funds used to repay debt to applicant owner(s), partners, stockholders are prohibited.
4) Requests for funding for businesses which do not meet the criteria specified in Section XIII A through C.
5) Non-profit organizations, as designated by Charter/Bylaws, unless designated as approved Community Based Development Organizations (CBDO).
6) Lack of profitable operations, as demonstrated by sources acceptable to City.
7) Loans to restricted membership or discriminatory groups/organizations. 8) Loans to uses with access restrictions based on age. 9) Lack of sufficient equity/highly leveraged situations as determined by City. 10) Personal or business bankruptcy, or prior business failure without sufficient, documented information to mitigate, as determined by City. 11) Poor personal or business credit as evidenced by many derogatory items including public record items, tax liens, judgments, or excessive existing credit as determined by City.
13) Those unable to provide proof of citizenship or legal residency. 14) Felony convictions, dishonorable discharge or "Bad Conduct" discharge from military service (each situation will be independently evaluated); 15) Business active or associated with in any unlawful activity.
C. Exceptions to Loan Policy
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If a project does not fall within the guidelines listed above, but is of such special character that it will substantially further the goals identified in Section II above the Program Administrator may submit to the City Council to consider for funding.
XIV. PRICING AND TERMS
Considerations of loan product pricing extended to borrowers will be based on a rate equal to the average rate earned by the City's investment in the California Local Investment Fund (LAIF) (LAIF's Annual Returns: https://www.treasurer.ca.gov/cmia- laif/historical/annual.asD), but in no event to exceed 10 per cent (10%) per annum. Interest which accrues and is unpaid shall be added to principal on a monthly basis and thereafter bear interest as if it were part of principal. Principal and all accrued and unpaid interest shall be due and payable not later than two years from the date the agreement is approved, as specified in the Note. Additional terms extended to borrowers will be based on the amount of risk involved.
XV. COLLATERAL
Collateral is recommended for all loans. Real property security is preferred but not required under appropriate circumstances. Property such as equipment will be considered as collateral. It is intended that any available collateral from the borrower and/or guarantor(s) will be required, as well as a first lien position on any assets purchased with any loan funds. Liens on real property will be required at the discretion of the City. It will be the policy that all collateral required for loan approval will be of material value. Caution will be used whenever taking a junior lien position on collateral where there is a substantial senior lien. It will be a determination of the City whether to waive a collateral position when available.
In all cases, a UCC-1 and security agreement will be taken against all business assets.
XVI. CESSATION OF BUSINESS
If Participant should cease business at the site, participant will be required to repay its obligations to City as provided in the Note which shall be executed when Agreement is signed. The term "cease business" shall mean when the site is no longer used as the principal place of business for Participant's business for an aggregate period of ten days or more, as determined by City. Participant shall give City written notice not less than thirty (30) days prior to cessation of business. If Participant should cease business at the site, Participant shall pay to the City, in cash, within fifteen (15) days of the Participant's receipt of written notification from the City the balance due on the Note. If the Participant moves the business to a new location within Beaumont upon written request of the Participant, the City may elect to not treat this relocation as a cessation of business.
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XVII. GUARANTORS
The City will generally follow the rules of the Small Business Administration as to qualification of guarantors:
A. Individuals involved in active management with any ownership equity in borrower must guaranty the loan.
B. Shareholders/owners of 20% or more equity in borrower must guaranty the loan regardless of active involvement in management.
Guarantees may be secured or unsecured as determined by the City.
XVIII. PROBLEM CREDITS
While it is the intent of this policy to be sensitive to the borrower's financial needs, and the intent to match any repayment schedule to the borrower's ability to repay, it is inevitable that there will be delinquencies and defaults. It is the responsibility of the Program Administrator to monitor all loan payments, especially those that are in arrears.
It will be the stated policy that upon determination of a "problem credit" the City will pursue any and all remedies allowed by regulation or law in a professional, aggressive, and consistent manner until some resolution is reached.
XIX. ACTION OCCURRENCES
The following occurrences will warrant action on the part of the Program Administrator and/or City Council.
A. Delinquent payment — whenever the terms of the Promissory Note are not being met in a timely manner (delinquent by more than 30 days or repeat delinquencies).
B. Violation of Loan Covenants — whenever the terms of the Loan Agreement are not being met in a timely fashion. The severity and immediacy of action is dependent on the type of breach; some covenants are more serious and lead to a default, while others less severe can sometimes be managed at the discretion of the Program Administrator.
C. Receipt of bankruptcy notice relative to borrower or guarantor(s).
D. Filing of a "Notice of Default" by another lienholder on real property; E. Legal Service, such as Writs of Attachment, Tax Liens, Subpoenas for records;
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F. Death of borrower or guarantor;
G. Notice of significant legal action against borrower or guarantor; H. Returned mail from borrower's address by Post Office; "Skip Trace" inquiry from another creditor.
XX. COLLECTION ACTION
It is important to be clear and specific about any breach of the Note, Loan Agreement, or any of the above -mentioned occurrences. The circumstances of a particular situation will often dictate the method to use in taking corrective action.
Telephone contact with the borrower/guarantor is the most expedient and cost effective; however, some cases demand more formal notification such as "Demand Letters", Legal Action, and Foreclosure. Personal site visits and conversations with the borrower are warranted at the discretion of the Program Administrator.
XXI. NON -ACCRUAL LOAN STATUS
Credits will be moved to a non -accrual status at the 90 -day delinquency point unless otherwise directed by the City Council. At this point, many of the above- mentioned "Action Steps" should have been started; a collection plan, if applicable, should be in process at this point. Rewriting the entire Note in an effort to provide relief to the borrower should be considered after a detailed analysis of the financial condition of the borrower and his/her/its prospects for timely payments in the future. In any case, the City Council must approve a re -structured Note, depending on the dollar value of the re -structured Note.
XXII. COLLATERAL APPRAISALS
Collateral taken as security for any type of credit should be appraised if it has any significant value. In most cases, real property will be the collateral that is most needed for a third -party appraisal (the City may accept reliable "drive -by" and short -form appraisals).
Since the City is not under the scrutiny of Federal and State Banking Regulators, there is more flexibility as to the extent of any appraisal and in which circumstances. It is the stated policy that some reliable form of valuation be used to determine the value of the equity of any collateral taken by the City, remembering that the cost and time of obtaining such appraisals may have an adverse affect on the borrower considering the size of the credit involved. The City shall use its discretion in all collateral matters, unless otherwise dictated by the City Council.
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XXIII. FINANCIAL INFORMATION REQUIRED
It will be the policy of the City to require financial statements from each applicant in the form of a balance sheet and income statement for any and all fiscal year -ends since inception of the business (up to 3 years), and within the past 90 days of application date.
Current personal financial statements for each business owner and guarantor and personal and business federal tax returns for the prior three years are required, including all supporting schedules and statements. The City will obtain the written permission of the applicant to verify any and all tax returns with the Internal Revenue Service for accuracy (IRS Form 4506). Month -to -month projections covering any interim period until year-end, plus one full fiscal year is required, including the assumptions that the projections were based upon. Additional information will be requested at the discretion of the Program Administrator with direction from the staff and/or City Council:
All borrowers will be required as a covenant in the Loan Agreement to provide ongoing financial information as follows:
A. Fiscal Year End balance sheet and income statement within 90 days of each year end;
B. More frequent statements such as Accounts Receivable Agings, work in progress reports, or any other documents requested by the City to assist the borrower in the monitoring of the credit.
C. Payroll reports showing employee status, on a quarterly basis.
XXIV. FINANCIAL INQUIRIES
The City will not provide responses to inquiries regarding credit status of program participants. Participants are advised that under the Public Records Act, the loan documents and related documents are subject to public disclosure and scrutiny. However, the City may, if appropriate, keep confidential certain information provided by applicants to the City to the extent permitted by law as determined by City in its sole discretion. The City shall have no obligation to incur legal fees to establish that information is not subject to the Public Records Act.
XXV. INSURANCE
All collateral taken as security for any credit must be insured appropriately as determined by the City; evidence of that coverage must be provided showing the City as "Additional Insured," "Loss Payee," or "Mortgagee," whichever is appropriate for the collateral insured. The lapse of any insurance will create a default on the Loan Agreement and must be remedied immediately by the borrower. If necessary, the City will obtain appropriate insurance to protect its collateral and debit the premium to the borrower.
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Additionally, in the case where real estate collateral is taken, a lender's Policy of Title Insurance will be required.
XXVI. AMENDMENTS
Amendments to these guidelines may be made from time to time by the City Council. Authority shall be granted to the City Manager or his/her designee to grant non - substantive minor waivers or non -substantive minor amendments to these guidelines, with the exception of state, federal or local laws, guidelines and regulations.
Exhibit C: Promissory Note
PROMISSORY NOTE
$50,000 June 2nd, 2026 Beaumont, CA
For value received, 4 Star Solar Inc. ("Maker") promises to pay to the City of Beaumont, a general law city, or order the principal sum of Fifty Thousand Dollars and Zero Cents ($50,000) plus simple interest at the rate of average rate earned by the City's investment in the California Local Investment Fund (LAIF) per annum in equal quarterly installment over one year.
The borrower shall have the right to prepay the principal of this Note in whole or in part prior to its due date without premium or penalty.
Maker agrees that if any installment payment provided for in this Note is ten (10) days late, it would be impractical or extremely difficult to fix the actual damages resulting to the Payee. Therefore, Maker agrees to pay to the Payee an amount equal to ten percent (10%) of the late payment on default, as liquidated damages, and not as a penalty, to compensate the Payee for the expenses of administering the default. Only one late charge will be collected on any installment, regardless of the period during which it remains in default.
If this Note is placed in an attorney's hands for collection or collected by a lawsuit or through bankruptcy or probate, or any other Court, either before or after maturity, the holder of this Note shall recover reasonable attorney's fees, costs and other expenses incurred by the holder in enforcing the terms of this Note.
Failure to pay any part of the principal or interest of this Note when due shall authorize the holder of this Note to declare immediately due and payable the then -unpaid principal and exercise any and all of the rights and remedies either at law or in equity possessed by the holder of this Note.
The maker, signer and endorsers of this Note jointly and separately waive presentment, notice of dishonor and protest.
By: 'l/�cZ g39O44
Name: i—ey,12- 7-4)4,
Title: rizes:->e✓1
Exhibit D: Guaranty of Note
PAYMENT GUARANTY
THIS PAYMENT GUARANTY (this "Guaranty") is made as of June 2"d, 2026 (the "Effective Date"), by 4 Star Solar Inc. (collectively, "Guarantors"), in favor of The City of Beaumont, a general law city ("Lender").
RECITALS
A. Guarantors are executing this Guaranty to induce Lender to make a loan (the "Loan") to 4 Star Solar Inc. ("Borrower"), in the amount of Fifty Thousand Dollars and Zero Cents ($50,000).
The Loan forgivable and is being made pursuant to that certain Business Assistance Program dated December 6th, 2022 (the "Program").
B. The Loan is evidenced by a Secured Promissory Note (the "Note") made payable to Lender in the principal amount of the Loan.
GUARANTY
1. Guaranty of Loan. Guarantors, jointly and severally, unconditionally guaranty to Lender the full payment of the Loan, and unconditionally agree to pay Lender the full amount of the Loan. If Borrower defaults in the payment when due of all or any part of the Loan, Guarantors shall in lawful money of the United States pay to Lender or order, on demand, all sums due and owing on the Loan, including all interest, charges, fees and other sums, costs and expenses.
2. Guaranty to be Absolute. Guarantors expressly agree that until the Loan is paid and performed in full and each and every term, covenant and condition of this Guaranty is fully performed, Guarantors shall not be released by or because of:
(a) Any act or event which might otherwise discharge, reduce, limit or modify Guarantors' obligations under this Guaranty.
(b) Any waiver, extension, modification, forbearance, delay or other act or omission of Lender, or its failure to proceed promptly or otherwise as against Borrower, Guarantors or any security. (c) Any action, omission or circumstance which might increase the likelihood that Guarantors may be called upon to perform under this Guaranty, or which might affect the rights or remedies of Guarantors as against Borrower; or
(d) Any dealings occurring at any time between Borrower and Lender, whether relating to the Loan or otherwise
3. Guarantors' Waivers. Guarantors waive:
(a) Any right Guarantors may have to require Lender to proceed against Borrower, proceed. against or exhaust any security held from Borrower, or pursue any other remedy in Lender's power to pursue.
(b) Any defense based on any claim that Guarantor's obligations exceed or are more burdensome than those of Borrower.
(c) Any defense based on: (i) any legal disability of Borrower, (ii) any release, discharge, modification, impairment or limitation of the liability of Borrower to Lender from any cause, whether consented to by Lender or arising by operation of law or from any bankruptcy or other voluntary or involuntary proceeding, in or out of court, for the adjustment of debtor -creditor relationships ("Insolvency Proceeding") and (iii) any rejection or disaff rmance of the Loan or any part of it, or any security held for them, in any such Insolvency Proceeding; (d) Any defense based on or arising out of any action of Lender described in Section 2 above.
4. Waivers of Subrogation and Other Rights and Defenses.
(a) Upon a default by Borrower, Lender in its sole discretion, without prior notice to or consent of Guarantors, may elect to: (i) foreclose either judicially or nonjudicially against any real or personal property security it may hold for the Loan, (ii) accept a transfer of any such security in lieu of foreclosure, (iii) compromise or adjust the Loan or any part of it or make any other accommodation with Borrower or Guarantors, or (iv) exercise any other remedy against Borrower or any security. No such action by Lender shall release or limit the liability of Guarantors, who shall each remain jointly and severally liable under this Guaranty after the action, even if the effect of the action is to deprive Guarantors of any subrogation rights, rights of indemnity, or other rights to collect reimbursement from Borrower for any sums paid to Lender, whether contractual or arising by operation of law or otherwise.
(b) Guarantors waive any rights and defenses that are or may become available to Guarantors by reason of Sections 2787 to 2855, inclusive, of the California Civil Code (or any comparable statutes of another jurisdiction).
5. Subordination. Any rights of Guarantors, whether now existing or later arising, to receive payment on account of any indebtedness (including interest) owed to them by Borrower or any subsequent owner of the Property, or to withdraw capital invested by them in Borrower, or to receive distributions from Borrower, shall at all times be subordinate as to lien and time of payment and in all other respects to the full and prior repayment to Lender of the Loan.
6. Events of Default. Lender may declare Guarantors to be in default under this Guaranty upon the occurrence of any of the following events ("Events of Default"):
(a) Guarantors fail to perform any of their obligations under this Guaranty. (b) Either or both Guarantors become insolvent or the subject of any Insolvency Proceeding. (c) Either or both Guarantors die; or
(d) A material adverse change occurs, or is reasonably likely to occur, in either or both Guarantors' business conditions (financial or otherwise), operations, properties or prospects, or ability to pay or perform under this Guaranty.
7. No Release. Guarantors shall not be released from their obligations under this Guaranty except by a writing signed by Lender.
8. Heirs, Successors and Assigns; Participations. The terms of this Guaranty shall bind and benefit the heirs, legal representatives, successors and assigns of Lender and Guarantors
9. Notices. All notices, requests, demands or other communications to the respective parties hereto (unless otherwise expressly stipulated in this Guaranty) shall be deemed to have been duly given or made if addressed as provided on the signature page hereof or to such other address or such other person as the parties may from time to time hereafter specify to the others in writing delivered in the manner provided herein.
10. Governing Law. This Guaranty shall be governed by, and construed in accordance with, the laws of the State of California.
11. Costs and Expenses. If any lawsuit, reference or arbitration is commenced which arises out of, or which relates to this Guaranty or the Loan, the prevailing party shall be entitled to recover from each other party such sums as the court, referee or arbitrator may adjudge to be reasonable attorneys' fees (including allocated costs for services of in-house counsel) in the action or proceeding, in addition to costs and expenses otherwise allowed by law.
12. Consideration. Each Guarantor acknowledges that he or it expects to benefit from Lender's extension of the Loan to Borrower because of his or its relationship to Borrower, and that he or it is executing this Guaranty in consideration of that anticipated benefit.
13. Entire Agreement; Amendment. This Guaranty constitutes the entire agreement among the Parties and supersedes any prior understandings, agreements, or representations by or among the parties, written or oral, to the extent they relate in any way to the subject matter hereof. No
amendment of any provision of this Guaranty shall be valid unless the same shall be in writing and signed by the parties.
14. Miscellaneous. The death or legal incapacity of any Guarantor shall not terminate the obligations of such Guarantor or any other Guarantor under this Guaranty, including his or its obligations with regard to future advances (if any) under the Loan. The liability of all persons who are in any manner obligated under this Guaranty shall be joint and several. The illegality or unenforceability of one or more provisions of this Guaranty shall not affect any other provision.
Any Guarantor who is married agrees that Lender may look to all of his or her community property and separate property to satisfy his or her obligations under this Guaranty. This Guaranty may be executed in counterparts, and all counterparts shall constitute but one and the same document. Time is of the essence in the performance of this Guaranty by Guarantors.
IN WITNESS WHEREOF, the parties hereto have executed this Guaranty as of the date first written above.
Address for Notices:
/8,5- 1.)7, i4‹ Cam;
� , 923;4'
Address for Notices:
Address for Notices:
Lender's Address for Notices:
550 E. 6th Street
Beaumont, CA 92223
Attn: Economic Development Department
BEAUMONTA -C A L I F O R N -
Staff Report
TO: Honorable Mayor and Members of the City Council
FROM: Robert L. Vestal, Director of Public Works I City Engineer DATE: August 4, 2026
SUBJECT: Pennsylvania Grade Separation — Funding Strategy Description: Discussion regarding the funding strategy for the Pennsylvania Avenue Grade Separation Project, including the Trade Corridor Enhancement Program (TCEP), additional grant opportunities, current project progress, and ongoing efforts to advance the City's number one Strategic Plan priority toward construction.
Motion:
If the City Council determines that staff's recommendation is appropriate, the following motion is provided:
I move to authorize the City Manager to withdraw the Pennsylvania Grade Separation Project from the 2024 Trade Corridor Enhancement Program (TCEP), and to reapply for the 2026 TCEP cycle.
Recommendation:
The recommended withdrawal is a strategic funding decision and does not represent a change in the City's commitment to the Pennsylvania Avenue Grade Separation Project.
The project remains the City's number one Strategic Plan priority, and RCTC and City staff will continue advancing design, right-of-way, environmental permitting, utility coordination, and required agreements with Caltrans and Union Pacific Railroad (UPRR) based on the current project schedule. At the same time, staff will continue aggressively pursuing federal, state, regional, and other funding opportunities necessary to close the remaining construction funding gap and position the project for delivery at the earliest feasible date.
Discussion:
On July 21, 2026, the Riverside County Transportation Commission (RCTC) notified the City of concerns regarding the Pennsylvania Avenue Grade Separation Project's ability to meet the funding deadlines established under the 2024 TCEP. Under the current
program requirements, construction funds must be allocated by June 2027, which already reflects a previously approved one-year extension.
To meet the allocation deadline, the Project must achieve Ready to List (RTL) status.
RTL requires completion or sufficient resolution of environmental compliance, right-of- way certification, final plans, specifications and estimates, environmental and construction permits, utility coordination, funding and programming requirements, constructability and risk reviews, and required agreements with Caltrans and UPRR, including the UPRR Construction and Maintenance Agreement.
RCTC identified several schedule risks that could affect the Project's ability to complete these requirements by June 2027. These include third -party agency review and approval timelines, utility relocation coordination, environmental permitting, right-of-way acquisition, coordination with the Master Drainage Plan Line 2 Project, required agreements with UPRR and Caltrans, and the remaining project funding gap. Staff has reviewed the concerns identified by RCTC and agrees that, despite continued progress, several critical schedule elements are dependent upon outside agencies and processes that the City and RCTC do not fully control.
If the Project receives a TCEP award but is unable to achieve RTL by the allocation deadline, per adopted guidelines, the California Transportation Commission will deprogram the funding. Such an outcome could negatively affect the City's standing in future competitive funding cycles and potentially result in greater scrutiny of project readiness.
For this reason, staff recommends voluntarily withdrawing from the current TCEP cycle and reapplying in the 2026 cycle. This approach provides additional time to advance the Project, resolve remaining third -party requirements, and submit a stronger application based on a substantially more mature project. It may also provide an opportunity to request additional TCEP funding to address the Project's current funding gap.
Reapplication is not without risk. TCEP is highly competitive, and there is no guarantee that the Project will receive an award in a future cycle. Construction costs may also continue to increase, and the City will be required to prepare an updated application, benefit calculations, and supporting materials. Both City and RCTC staff believes, however, that these risks are preferable to proceeding with the current award that includes a schedule that has a significant risk of not meeting the required allocation deadline.
Importantly, withdrawal from the 2024 TCEP cycle is a funding strategy decision, not a decision to delay or suspend the Project. Staff intends to continue advancing the Project according to the existing schedule and will proceed with the work necessary to position the Project for construction as soon as funding and required approvals are secured.
Current Funding Summary
The City has secured funding for the Pennsylvania Avenue Grade Separation Project from a variety of local, regional, state, and federal sources, reflecting the importance of the Project and the significant investment already committed toward its completion. The following table summarizes the funding currently secured or programmed for the Project.
Funding or Grant Program Funding Committed
Trade Corridor Enhancement Program (TCEP) $49,400,000
Surface Transportation Block Grant (STBG)
Community Project Funding / Congressionally
Directed Spending (Earmark)
Senat Bill 125 Grant
$7,225,000
$2,000,000
$5,000,000
Union Pacific Railroad Contribution (UPRR) $3,150,000
Regional Transportation Improvement Program
Funds (RTIP)
$6,698,000
Rail & Bridge Developer Impact Fees (DIF) $12,548,093
General Fund $5,820,000
Additional Grant Opportunities
The City is actively pursuing additional federal funding to close the remaining construction funding gap. The City recently submitted a Railroad Crossing Elimination Program application requesting approximately $45.5 million. The requested federal share represents approximately one-third of the Project cost, with the non-federal contribution substantially exceeding the program's minimum match requirement.
Results are anticipated in January 2027.
The City also submitted a Consolidated Rail Infrastructure and Safety Improvements grant application requesting approximately $54.8 million. Based on the current estimated Project cost of approximately $147.6 million, the Project includes approximately $76.9 million in non-federal funding and approximately $15.9 million from other federal sources. The significant non-federal contribution strengthens the Project's competitiveness and keeps the overall federal share below 50 percent. Results are anticipated in December 2026.
Additionally, the City requested approximately $54.8 million through the Infrastructure for Rebuilding America program. The requested INFRA funding represents
approximately 37 percent of the total Project cost. Including other federal sources, total federal assistance would represent approximately 48 percent of the Project, with approximately 52 percent funded through non-federal sources. Results are anticipated in February 2027.
Staff will continue evaluating and pursuing additional funding opportunities as they become available. The City's funding strategy is intentionally diversified so that the Project is not dependent upon the outcome of any single grant program.
Project Status
The Pennsylvania Avenue Grade Separation Project continues to advance toward final design and construction readiness. The 65 percent PS&E package has been reviewed by Caltrans, and the 95 percent submittal is anticipated in September. Right-of-way activities, environmental permitting, and utility relocation design are progressing concurrently. Coordination with UPRR also continues, with the 100 percent track and shoofly design and updated structural plans recently resubmitted for review.
While progress continues, several schedule risks remain, primarily associated with third - party review timelines, utility relocations, environmental permitting, right-of-way requirements, coordination with the MDP Line 2 Project, and required agreements with Caltrans and UPRR. These items, along with the remaining funding gap, create uncertainty regarding the Project's ability to achieve RTL by the current TCEP deadline.
RCTC and the City will continue moving the Project forward as construction will proceed on the current schedule while aggressively pursuing the funding necessary to close the remaining gap. By continuing design, permitting, right-of-way, utility coordination, and agency agreements now, the City will position the Project to move into construction as soon as the necessary funding and approvals are secured.
Fiscal Impact:
The following table summarizes the project's funding and budget.
CIP 2017- 012 Pennsylvania Avenue Grade Separation Project Funding Summary
Estimated Total Project Budget= $147,559,817
Current Project Budget= $92,841,093
CIP 2017- 012 Pennsylvania Avenue Grade Separation Project Budget Summary
Project
Component
Est. Total
Budget
Current
Budget
Paid to Date
Remaining
Budget
Construction
$107,500,000 $52,781,276 $52,781,276
Construction Management $17,400,000 $17,400,000
$17,400,000
Design
$17,200,817 $17,200,817 $(2,643,323) $14,557,494
Environmental
$267,000 $267,000 $(240,034) $26,966
Equipment
Permits & Agreements
$5,000,000 $5,000,000 $(180,443) $4,819,557
Preliminary Services
$112,000 $112,000 $(106,481) $5,520
Project Management
$80,000 $80,000
$(78,476) $1,524
Right -of -Way
$147,559,817
$92,841,093
Alternatives:
As an alternative to withdrawing, the City and RCTC could continue advancing the project, though this approach carries a risk of missing the deadline and potential funding deprogramming.
Attachments:
A. RCTC Presentation
B. Project Timeline
Project Timeline
The following is a detailed timeline for project milestones and important submittals:
• December 19, 2017 — Contract award to Moffatt Nichol (M&N) for environmental services for 3 projects (Widening, Grade Separation, and Interchange) • June 19, 2018 — Contract Award to IDC for 35% level design • August 28, 2018 — Amendment #1 to IDC for additional surveying • January 2, 2019 — Amendment #1 to M&N for additional regulatory permitting services
• May 2019 — IDC submitted final 35% plans to the City. They were not reviewed or approved by Caltrans or UPRR. Design was then paused until July 2022. • February 2, 2021 — Amendment #2 for M&N for Penn Widening due to updated environmental regulations.
• July 19, 2022 — IDC Amendment #2 for final design based on the understanding that the 35% design was complete.
• August 2022 - CEQA NOE filed with the County of Riverside • November 15, 2022 — Amendment #3 for M&N to add NEPA
• January 23, 2023 — UPRR Bridge Concept Plan Submittal #1 to UPRR • February 16, 2023 — UPRR Type Selection Submittal #1
• April 10, 2023 — UPRR Type Selection Submittal #2
• June 11, 2023 — UPRR Type Selection Submittal #3
• December 5, 2023 — Amendment #4 for M&N for contract extension • December 22, 2023 — UPRR Bridge Concept Plan Submittal #2 to UPRR • January 29, 2024 — UPRR Bridge Concept Plan Submittal #3 to UPRR • January 22, 2024 — Track and Shoofly Design Submittal to UPRR (preliminary) • February 28, 2024 — GAD and DSDD Submittal #1 to Caltrans • April 8, 2024 — Track and Shoofly Design Submittal to UPRR (10%) • April 8, 2024 — UPRR Type Selection Submittal #4
• May 1, 2024 — GAD and DSDD Submittal #2 to Caltrans
• May 6, 2024 — UPRR Type Selection Submittal #5
• May 23 2024 - GAD and DSDD Submittal #3 to Caltrans
• June 24, 2024 - GAD & DSDD Submittal #4 to Caltrans
• August 26, 2025 — Track and Shoofly Design Submittal to UPRR (25%) • September 12, 2024 — Caltrans Type Selection Report Submittal #1 • September 23, 2024 - 60% Structural Plans Submittal #1 to UPRR
October 1, 2024 — IDC Amended and Restated Agreement to complete final design
October 1. 2024 — M&N Amended and Restated Agreement to complete Environmental
December 17, 2024 — Track and Shoofly Design Submittal to UPRR (25%) January 14, 2025 - GAD & DSDD Submittal #5 to Caltrans
March 18, 2025 - GAD & DSDD Submittal #6 to Caltrans
April 12, 2025 — Caltrans Type Selection Report Submittal #2 April 14, 2025 - GAD & DSDD Submittal #7 to Caltrans
May 12, 2025 — Track and Shoofly Design Submittal to UPRR (30%) May 12, 2025 - 60% Structural Plans Submittal #2 to UPRR July 21, 2025 - GAD & DSDD Submittal #8 to Caltrans
August 8, 2025 — Caltrans Type Selection Report Submittal #3 August 11, 2025 - GAD & DSDD Submittal #9 to Caltrans
August 20, 2025 — Track and Shoofly Design Submittal to UPRR (90%) September 15, 2025 — Caltrans Signs CEQA SE
September 26, 2025 - GAD & DSDD Submittal #10 to Caltrans October 16, 2025 - 60% Structural Plans Submittal #3 to HDR for review November 14, 2025 — Caltrans Signs NEPA CE
November 18, 2025 — RCTC Cooperative Agreement to City Council to manage the project
December 8, 2025 - GAD & DSDD Submittal #11 to Caltrans Jan 16, 2026 — RCTC issues NTP to HDR to complete the design March 13, 2026 - DSDD Approved by Caltrans
April 10, 2026 — GAD Approved by Caltrans
April 14, 2026 — Caltrans Type Selection Report Approved by Caltrans May 4, 2026 - 60% Structural Plans Submittal #3 to UPRR May 19, 2026 — 65% Civil Drawings Submitted to Caltrans July 16, 2026 — Track and Shoofly Design Submittal to UPRR (100%) July 24, 2026 - 60% Structural Plans Submittal #4 to UPRR
RIVERSIDE
COUNTY
TRANSPORTATION
COMMISSION
PENNSYLVANIA AVENUE GRADE
SEPARATION PROJECT
Project Update and Recommendation
Robert Vestal, City Engineer I Director of Public Works Aaron Hake, Executive Director
BEAUMONT
-CALIFORNIA-
Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA-
Project Purpose
• Lower roadway below
railroad
o Eliminates vehicle delays
o Improves emergency response
o Provides safe pedestrian access
Image is a conceptual rendering
2 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
Trade Corridor Enhancement Program
(TCEP)
• $49.4 Million TCEP, 2024 Cycle
• Ready to List (RTL) by June 2027
• RTL signifies that the Project has completed major
preconstruction requirements
Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Current Project Funding Summary
Funding or Grant Program
Funding
Committed
Trade Corridor Enhancement Program (TCEP)
Surface Transportation Block Grant (STBG)
Community Project Funding / Congressionally Directed Spending Senate Bill 125 Grant
Union Pacific Railroad Contribution (UPRR)
Regional Transportation Improvement Program Funds (RTIP) Rail & Bridge Developer Impact Fees (DIF)
General Fund
$49,400,000
$7,225,000
$2,000,000
$5,000,000
$3,150,000
$6,698,000
$12,548,093
$5,820,000
4 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Additional Grant Opportunities
Grant Program
Funding
Requested
Anticipated
Results Date
Railroad Crossing Elimination
(RCE)
Consolidated Rail Infrastructure
and Safety Improvements (CRISI
INFRA Grant Program
$45,464,244
January, 2027
$54,758,907 December, 2026
$54,758,907
February, 2027
5 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Recap
• July, 2022 - IDC Authorized to begin Final Design
• December, 2025 - RCTC Agrees to Implement Project
• January, 2026 - HDR Authorized to complete Design
6 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
RCTC: Implementing Agency
• Aaron Hake, Executive Director
Supported by:
o Erik Galloway, Project Delivery Director
o Jillian Guizado, Planning & Programming Director
7 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Status
✓ Environmental - NEPA/CEQA CE November 2025
U Design
• -65% complete
• Advancing to 95% in September 2026
• 100% in January 2027
• Railroad coordination
U Right of Way
• 65% complete - early acquisitions underway
• Utility relocation coordination
8 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Challenges
• Utility Conflicts and Caltrans Access
o Need to underground overhead utilities
o Finding alternative maintenance access
• Union Pacific Railroad
o Construction & Maintenance agreement
9 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Challenges (continued)
• Master Drainage Plan (MDP) Line 2
o Project development and delivery
• Cost Increases and Funding Deadlines
o 73% t
o June 2027
10 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
RCTC Work Continues
• Complete 100% design
• Continue Railroad and Caltrans coordination
• Advance right-of-way acquisitions and utility relocations
11 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA-
12 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
City Work Continues
• Finalize MDP Line 2 delivery approach
• Resolve sequencing of construction schedule and phasing with Pennsylvania Grade Separation Project.
13 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Recommendation
• Withdraw 2024 TCEP award
• Apply for 2026 TCEP funding
14 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
BONUS SLIDES
15 Pennsylvania Ave
GRADE SEPARATION
PROJECT
Utility Conflicts
• SCE (Edison) relocation
o Underground vs. overhead
• Verizon/MCI relocation
• Frontier and AT&T
o Potential conflict with sewer on 6th Street
• Sewer and water line relocation
BEAUMONT
-CALIFORNIA
16 Image is looking west
Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Caltrans Access
9,
Eastbound I-10
Southbound Pennsylvania Avenue •
17 Pennsylvania Ave
GRADE SEPARATION
PROJECT
Union Pacific Railroad
• Construction & Maintenance agreement
o Engage at 100% Design
o Months -long negotiations
o Agreement execution required to advertise construction
BEAUMONT
-CALIFORNIA
18 Pennsylvania Ave
GRADE SEPARATION
PROJECT
MDP Line 2 - Purpose
• Future stormwater flows
o 5,000 LF of pipe
o 25 - 43 ft. below existing
• Must go in before grade separation
o Runoff would cause ponding/flooding
o Essential for roadway and pedestrian safety
BEAUMONT
-CALIFORNIA
19 Pennsylvania Ave
GRADE SEPARATION
PROJECT
MDP Line 2 - Limits
MDP Line 2
Project limit
6TH ST
w
>
F -
V)
w
L)
MICHIGAN AVFJ
MASSACHUSE1i1
w
16 BEAUMONT AVE
15 14
13 12
z
0 LU
w
3RD ST
1ST
11-
1a Q
9 8 z
7 2ND ST
ST "L6 _
5 POTRERO BLVD
BEAUMONT
-CAL I FORN I A
Pennsylvania
Grade Separation
Project Limits
MDP Line 2
Project limit
20 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Cost Increases
• Construction estimate: $128.6 million
o Updated May 2026
o In November 2024: $74.5 million
• Funding gap: $47.7 million
• 65% Design yields:
o Refined quantities
o Identified utility relocations and right-of-way needs o Updated labor, steel, concrete and construction pricing o Increased construction management and railroad coordination costs
21 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
Funding Deadlines
• $49 million Trade Corridor Enhancement Program (TCEP) & $6.7 million State Transportation Improvement Program (STIP) o Construction -ready: April 2027 for June TCEP allocation
22 Pennsylvania Ave
GRADE SEPARATION
PROJECT
TCEP Fund Requirement
• Ready -to -list by April 2027, ahead of the
June 2027 CTC meeting
• Construction award - 6 months after
allocation - December 2027
Project Status
• Caltrans 95% Final Design: September 2026
• UPRR 60% Second Resubmittal: July 2026
• UPRR declined accelerated review and early
C&M Agreement development
• Typical UPRR timeline:
• 6 -week review period
• 4 -month C&M Agreement development
after final design approval
BEAUMONT
-CALIFORNIA-
23 Pennsylvania Ave
GRADE SEPARATION
PROJECT
Schedule - Best Case
Start
1/16/26
Union Pacific Review and Approval
Right -of -Way Certification
Today
Mar '26 'May '26 Jul '26 Sep '26 'Nov '26 1Jan'27 ,Mar '27 [May '27 Pennsylvania Avenue Grade Sepa
1/16/26 - 6/30/27
ration
Union Pacific Railroad
1/16/26 - 5/5/27
Right -of -Way Acquisition
1/28/26 - 4/27/27
Environmental Permitting
3/2/26 - 3/19/27
Caltrans
1/29/26 - 3/10/27
Utility Relocation
3/5/26 - 3/16/27
CPUC
4/1/26 - 4/7/27
RTL
T
65% Final Design 95% Final Design
5/19/26
9/9/26
100% Final Design
12/30/26
49 million TCEP Funding ee adlin Ir 06/3 0/2027
Finish
6/30/27
CTC Package Due
4/26/27
CTC Meeting
6/29/27
1 BEAUMONT
-CALIFORNIA
24 Pennsylvania Ave
GRADE SEPARATION
PROJECT
Proposed Union Pacific Railroad Bridge
Proposed
Penn Ave GS •
r double tap and hold to view the original image
Ex. I-10 Bridge BEAUMONT
_____
C A L I F O R N I A
•
Master Drainage Plan (MDP) — Line 2
Pennsylvania Ave
GRADE SEPARATION
PROJECT
Ex. Maintenance Acc C A L I FO R N I A R N I A
Caltrans Maintenance Access
Through UPRR R/W
Requires' Landscape
.- and Drainage Culvert
Maintenance
Exist Chain Link Fence
Request maintenance
access for Caltrans
Replace
Chain Link
Fence
a
Pennsylvania Ave
GRADE SEPARATION
PROJECT
Potential Schedule Risks
Penn Ave GS Project
Union Pacific
Design Review and Approval
C&M Agreement
Third -Party Utility Relocation
SCE — Water — Sewer - Verizon/MCI
Right -of -Way Acquisition — Private
Properties, Caltrans Access Eliminated
by Retaining Wallas
Environmental Permitting — Lack of
Independent Utility; Grade Separation
Dependent on MDP Line 2 Project
MDP Line 2 Project Delay (During
Design or Construction Phases)
Caltrans Approval (e.g. Ramp Metering
Exception)
BEAUMONT
-CALIFORNIA
UPRR rejected the request for over -the -shoulder reviews; standard review process applies.
UPRR will start C&M Agreement development only at 100%; request to start earlier was rejected.
Notice to Relocate issued. Potential delays in relocations may impact RTL and construction award. Potential SCE UG Relocation due to access requirement; cost and time impacts (3-6 months SCE design delay)
ROW started early discussions and is issuing offers; acceptance is pending.
New issue: Caltrans post -project access must be provided. Potential options if UPRR agrees with parallel access, coordination required with FHWA for modifying access control (3-6 months).
Resource agency permit approvals may be contingent on completing MDP Line 2 before the Grade Separation Project. Potential 12- to 18 -month delay to RTL.
Any delay will impact the project. Construction award is required within 6 months after RTL; this date cannot be missed.
HDR team to submit design exception ASAP. Exception to be approved by HQ, not District.
Funding Gap
Page
821 of d on 65% design, project is $47.7 million short of funding
Pennsylvania Ave
GRADE SEPARATION
PROJECT
Potential Schedule Risks
Master Drainage Plan (MDP) Line 2
Third -Party Utility Relocation
Water — 30 -inch gas line
Caltrans Approval: Potential Delay Due
to Deviation Approval for Pipe
Installation Adjacent to I-10 Bridge
Foundation (<15 ft).
UPRR License Agreement: Potential
Delay Associated with UPRR License
Agreement for MDP Line 2 Crossing.
Potential Funding Gap - Current
Funding: $9 million
BEAUMONT
-CAL I FORN I A
Potential 12- to 18 -month delay to construction award
Schedule: 7/1/26 —10/6/26
Delay in finalizing the design package impacts ability to include with the grade separation construction bid package
20 -day review period for Caltrans
Schedule: 7/30/26 —11/25/26
If this does not occur, it will delay finalization of the bid package and auvernsement or the joint project
Contingency Plan?
Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
C A I_ IFO R N IA
29 Pennsylvania Ave
GRADE SEPARATION
PROJECT
BEAUMONT
-CALIFORNIA
MDP Line 2 - Schedule
Start
Jan 16
MDP -
Environmental
Circulation
6 Mar '26 i May '26 1Jul 'z
MDP - 90%
Design
Sep '26
Nov '26
Jan '27
Mar '27
May '27
MDP - 100%
Design
MDP - UPRR and
Cal
trans Permitting
l
(Ready -to -List
Finish
Jun 30
30 Pennsylvania Ave
GRADE SEPARATION
PROJECT
Recommendation
BEAUMONT
-CALIFORNIA
Return TCEP funding to CTC and reapply for future cycle. • Allow project to secure additional funding to cover the grade separation shortfall. • Mitigates potential UPRR delays
• Allows design team to address all design challenges
• Separate the storm drain project from the grade separation project • Allow storm drain construction to proceed prior to the grade separation. • Complete drainage infrastructure needed within the project footprint and outfall area. • Reduces risk to grade separation construction advertisement and award dates.
31 RIVERSIDE
COUNTY
TRANSPORTATION
COMMISSION
BEAUMONT
-CALIFORNIA-
BEAUMONTA O R N -
Staff Report
TO: Honorable Mayor and Members of the City Council
FROM: Kirk Pelser, Economic Development Director
BY: Laura James, Economic Development Manager
DATE: August 4, 2026
SUBJECT: 2026-2031 Economic Development Strategic Plan
Description: Presentation and consideration of the 2026-2031 Economic Development Strategic Plan.
Motion:
If the City Council determines that staff's recommendation is appropriate, the following motion is provided:
I move to adopt the 2026-2031 Economic Development Strategic Plan as presented.
Recommendation:
Staff recommends that the City Council adopt the 2026-2031 Economic Development Strategic Plan. Developed through comprehensive economic and demographic analysis, extensive stakeholder engagement, and community input, the plan provides a practical framework to guide Beaumont's economic development priorities, coordinate implementation, and build a more diversified and resilient local economy.
Discussion:
On July 2, 2019, the City Council approved Beaumont's first Economic Development Strategic Plan (EDSP). The plan established a framework to guide the City's economic development activities, including business attraction, business retention and expansion, entrepreneurial development, workforce development, placemaking, and other efforts to strengthen and diversify the local economy.
Since adoption of the 2019 EDSP, Beaumont has experienced substantial population growth, new commercial and industrial investment, changing market conditions, and evolving community priorities. The COVID-19 pandemic, demographic shifts, changes in consumer behavior, emerging development opportunities, and increased regional
competition also significantly altered the economic environment in which the City operates. An updated EDSP was therefore needed to ensure that the City's economic development priorities remain responsive, data -informed, and aligned with Beaumont's current and future needs.
On September 2, 2025, the City Council approved a Professional Services Agreement with TIP Strategies to prepare an update to the EDSP. TIP Strategies was selected through a competitive process that included review of seven proposals by an internal staff evaluation team and a supplemental evaluation team composed of three members of the Economic Development Committee. TIP was rated as the most qualified firm based on its experience with fast-growing communities, approach to inclusive community engagement, use of interactive data tools, and emphasis on implementation.
The planning process combined quantitative economic and demographic analysis with extensive stakeholder and community engagement. More than 75 participants contributed to the development of the plan through five roundtable discussions, 13 individual interviews, and three in -person and virtual community visioning workshops.
Nearly 100 residents also participated in an online community visioning survey. Each member of the City Council was interviewed individually as part of the process.
The TIP Strategies consulting team traveled to Beaumont three times during the planning process to lead the in -person outreach outlined above: December 8-9, 2025, February 4-5, 2026, and March 3, 2026. The consultants will also attend the August 4, 2026 City Council meeting to present an overview of the plan and answer any questions.
To encourage broad participation, the City promoted public engagement opportunities through multiple channels, including direct email outreach to all homeowners' associations in Beaumont, the City's social media accounts, website and community calendar, flyers displayed at City Hall and the Beaumont Chamber of Commerce, inclusion in a Chamber email distribution, and direct, in -person outreach to community stakeholders.
A steering committee representing business, education, workforce development, real estate, government, nonprofit, and community interests also met at key milestones throughout the planning process. The proposed composition of the steering committee was reviewed and endorsed by the Economic Development Committee on November 12, 2025. Staff provided regular updates to the Economic Development Committee throughout the planning process.
In addition to community and stakeholder input, TIP Strategies conducted an economic analysis and an assessment of Beaumont's strengths, weaknesses, opportunities, and
threats. The consultants also reviewed previously adopted City and regional plans to ensure that the updated EDSP builds upon and aligns with existing priorities, including the City's General Plan, Strategic Plan, Downtown Revitalization Plan, Zoning Code Update, Strategic Communications Plan, the 2019 EDSP, and Riverside County's Economic Development Strategic Plan.
The resulting 2026-2031 Economic Development Strategic Plan establishes the following vision:
Beaumont will leverage its rich history and sustained growth to build a thriving, self- sustaining economy, one that delivers quality local employment, excellent public services, and a connected quality of life centered around a revitalized historic downtown and a flourishing local business community.
The plan is grounded in four guiding principles — sustainability, equity, accountability, and livability — and is organized around six strategic initiatives:
1. Business Retention and Expansion: Proactively engage existing businesses, identify challenges, facilitate transitions, and remove barriers to continued success.
2. Grow Target Industries: Leveraging Beaumont's strategic position along the l- 10 corridor, attract and scale high -growth sectors through infrastructure investment, specialized workforce development, and strategic business recruitment.
3. Strengthen Retail Corridors: Reinforce Beaumont's retail districts, revitalize downtown, support locally owned businesses, and capture a greater share of resident spending within the community.
4. Activate Strategic Land and Sites: Prepare and position key properties for development through infrastructure coordination, site readiness, streamlined processes, and a proactive annexation strategy.
5. Enhance Quality of Place: Support amenities, public spaces, connectivity, and experiences that strengthen Beaumont's appeal to residents, businesses, workers, and visitors.
6. Promote and Position Beaumont: Establish a consistent approach to communicating Beaumont's community identity, economic opportunities, competitive advantages, and business successes.
Together, these initiatives provide a framework for building a more diversified and resilient local economy, expanding access to quality local employment, strengthening the City's commercial and industrial tax base, supporting existing businesses, and enhancing Beaumont's overall quality of place.
Implementation and Supporting Deliverables
The EDSP is intended to function as an actionable road map rather than solely as a statement of long-term goals. Each of the six initiatives is supported by specific strategies and recommended actions informed by economic data, stakeholder input, community survey findings, and Beaumont's competitive position.
In addition to the EDSP and its action plan, TIP Strategies has prepared an Excel -based implementation matrix to support execution and ongoing progress monitoring. The matrix identifies recommended actions, priorities, suggested time frames, required resources, potential supporting partners, implementation status, and accomplishments.
Its flexible format will allow staff to update timelines, measures, and approaches as economic conditions and City priorities evolve.
The consultant's scope also includes the delivery of a digital toolkit to assist the City in communicating the plan's vision, principles, initiatives, and progress to the public and other stakeholders. The toolkit will support clear and consistent messaging as implementation moves forward.
Implementation will occur over the plan's five-year horizon and will require coordination among multiple City departments as well as collaboration with public, private, educational, workforce, and community partners. Individual actions requiring future funding, policy direction, contracts, or other City Council authorization will be brought forward separately as appropriate. Staff will also use the implementation matrix to monitor progress and report accomplishments.
Approval and adoption of the 2026-2031 Economic Development Strategic Plan will provide the City with a coordinated, data -informed framework for supporting existing businesses, attracting targeted investment, expanding local employment opportunities, strengthening retail and commercial corridors, revitalizing downtown, and diversifying the City's tax base. A stronger and more resilient local economy generates resources to support essential public services and community investment while improving access to jobs, goods, services, amenities, and opportunities for Beaumont residents.
The plan also advances transparency and accountability by establishing defined priorities, recommended actions, implementation time frames, and a structure for monitoring and communicating progress.
Fiscal Impact:
The Professional Services Agreement with TIP Strategies in an amount not to exceed $110,000 was approved by City Council on September 2, 2025. Approval and adoption
of the completed plan will not result in an additional fiscal impact. Implementation costs will vary by strategy and action. Many recommendations can be advanced through interdepartmental coordination, adopted programs, partnerships, and currently budgeted resources. Any implementation actions requiring additional funding commitments from the City will be presented to City Council as appropriate for consideration.
Alternatives:
The City Council may:
1. Adopt the 2026-2031 Economic Development Strategic Plan as presented;
2. Decline to adopt the plan and provide direction to staff.
Attachments:
A. 2026-2031 Economic Development Strategic Plan
B. Economic Development Strategic Plan Implementation Matrix
rin STRATEGIES
X2026-2031
ECONOMIC DEVELOPMENT
STRATEGIC PLAN
I
r
City of Beaumont, Californi
July 2026
ACKNOWLEDGMENTS
TIP Strategies, Inc., (TIP) would like to thank the staff and leadership of the City of Beaumont for their guidance and contributions to the planning process. The TIP team is also grateful to the many residents, business owners, employers, and workers in Beaumont who shared their perspectives and contributed insights during the planning process.
Steering Committee
Susan Aguilar -Martinez
Beaumont Unified School District
Lynn Bogh Baldi
Beaumont Chamber of Commerce
Anthony Colindres
Cornerstone BBQ
Lance Eckhart
San Gorgonio Pass Water Agency
Adam Eventov
SoCalGas
Cesar Marrufo
C&D Real Estate Inc.
Joseph Mathews
Riverside County Workforce Development
Consulting Team
nOr STRATEGIES
TIP Strategies, Inc., is a privately held Austin -based firm providing consulting and advisory services to
public and private sector clients. Established in 1995, the firm's core competencies are strategic planning
for economic development, talent strategies,
organizational development, resiliency planning, and
equity initiatives.
Janice Mrkonjic
Mt. San Jacinto College
Andrea Pasolini
Mt. San Jacinto College
Lisandra Patin
Beaumont Economic Development Committee
Kelly Van Valkenburg
Beaumont Library District
Kimberly Wright
Riverside County Office of Economic Development
Corinna York
Inland Empire/Desert Regional Consortium
Contact
TIP Strategies, Inc.
13492 N Hwy 183, Suite 120-254, Austin, TX 78750
PH: +1 512 3439113
www.tipstrategies.corn
Project Contributors
Jeff Marcell, Senior Partner
Alex Cooke, SVP, Consulting
Elizabeth Scott, Senior Consultant
The cover photo was provided courtesy of the City of Beaumont, California.
CONTENTS
Project Overview 1
Action Plan 2
Initiative 1. Business Retention and Expansion (BRE) 2
Initiative 2. Grow Target Industries 5
Initiative 3. Strengthen Retail Corridors 9
Initiative 4. Activate Strategic Land and Sites 14
Initiative 5. Enhance Quality of Place 18
Initiative 6. Promote and Position Beaumont 21
Appendix: Planning Context 25
Background Review 25
Engagement Process 29
Survey Overview 30
Economic Context 31
SWOT Analysis 32
Implementation Matrix 34
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
PROJECT OVERVIEW
The City of Beaumont, California (City), is defined by both its rich heritage and its potential for a dynamic future.
From its origins as a stagecoach and railroad stop in the 1800s to its identity as an agricultural powerhouse that once defined the region, the City developed around the economic opportunities created by its geography and connectivity. That same foundation continues to shape Beaumont's trajectory today.
Over the past two decades, Beaumont has experienced one of the most significant periods of residential growth in its history, welcoming thousands of new residents drawn to its quality of place, scenic surroundings, and strong sense of community. Their decision to relocate reflects genuine confidence in what Beaumont offers and its opportunities for the future. Beaumont now stands at an inflection point, transitioning from a rapidly expanding residential community to a self-sustaining, economically resilient City. Realizing this transition requires a clear vision, defined priorities, and coordinated actions across both the public and private sectors. 66 EDSP VISION STATEMENT
Beaumont will leverage its rich history and sustained growth to build a thriving, self-sustaining economy, one that delivers quality local employment, excellent public services, and a connected quality of life centered around a revitalized historic downtown and a flourishing local business community. 99 II I
The 2026-2031 Economic Development Strategic Plan (EDSP) provides the framework to achieve this vision, serving as the City's road map for building a diversified, balanced local economy capable of generating the tax revenues necessary to sustain high -quality municipal services, fund meaningful community investments, and reduce dependence on residential property taxes. This plan includes pragmatic strategies and actions for cultivating retail and commercial corridors, attracting employers who offer well -paying local jobs, and realizing the vision of a revitalized historic downtown that honors Beaumont's past and anchors its future. This plan builds on previous relevant City and regional planning to align all economic development efforts into a single, actionable strategy. The planning process was guided by a robust steering committee, comprised of members from the public and private sectors, which shaped the economic vision for Beaumont and the four guiding principles that will deliver benefits that extend well beyond the City's fiscal health.
To foster long-term sustainability, this plan promotes the preservation of Beaumont's natural environment alongside diversifying the commercial and industrial tax base. This approach balances reliable funding for essential services with reducing the community's reliance on regional transportation systems, by keeping jobs and retail local. The plan also champions equity by ensuring the benefits of economic growth are accessible to everyone, and by emphasizing the attraction of high -quality jobs across various sectors that would cultivate diverse retail and grocery options within city limits. By maintaining strict accountability, the City can ensure economic strategies are data -driven and yield measurable returns, with the goal of reinvesting retail sales and property tax revenues efficiently into vital public services and meaningful infrastructure improvements. Ultimately, this plan prioritizes livability, focusing on the daily experience and well-being of the community. Rooted in enhancing Beaumont's unique quality of place, this EDSP focuses on realizing the vision for an active, engaging historic downtown, where residents can gather and connect.
Sustainability, equity, accountability, and livability are the guiding principles that shape every initiative and strategy in the plan and support a vision for Beaumont that is fiscally resilient, rich in local opportunity, and grounded in the community character that has defined the City from the beginning.
CITY OF BEAUMONT, CALIFORNIA Page 835 of 910 PAGE 1
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
ACTION PLAN
The following six initiatives and corresponding strategies provide Beaumont leaders with an actionable framework to accelerate economic development and long-term fiscal resilience. Informed by both qualitative and quantitative data, strategies are accompanied by a specific rationale and anticipated benefits that reflect the City's commitment to sustainability, equity, accountability, and livability. In addition to this plan, an implementation matrix, delivered separately and sampled in the Appendix (see page 34), provides the detailed actions necessary to track progress and ensure successful execution.
INITIATIVE 1. BUSINESS RETENTION AND EXPANSION (BRE)
Grow and diversify the local tax base by proactively engaging existing businesses to identify challenges, facilitate transitions, and remove barriers to their continued success.
While the recruitment of new industry captures headlines, the foundational strength of Beaumont's economy is provided by businesses already operating along its corridors and within its industrial sectors. Existing employers provide jobs and generate the sales tax revenue required to fund essential municipal services, maintain public safety, and enhance quality of life. As Beaumont evolves, however, the local business community must navigate challenges that include aging infrastructure, shifting retail trends, and transitioning ownership.
Initiative 1 outlines an approach that moves beyond reactive problem -solving toward a structured, data -driven outreach program. By treating local businesses —from top sales tax producers to the legacy shops that define Beaumont's
character —as vital economic partners and engaging directly with them, the City can identify immediate needs, build relationships, and remove regulatory hurdles that impede growth. A business that feels supported is a business that remains and reinvests.
WHY THIS MATTERS FOR BEAUMONT
• Fiscal Resilience: Preserving and strengthening a
diversified slate of major sales tax contributors ensures the City has funds to improve infrastructure and services.
• Community Stability: Supporting legacy businesses helps maintain the unique character of established neighborhoods while encouraging them to modernize through programs like the Facade Improvement Program grant.
STRATEGIES
1.1. Business Visits. Establish a structured
outreach program of one-on-one site
visits to build personal relationships with
local business leaders and identify
immediate needs.
1.2. Data, Research, and Tracking. Implement a
centralized customer relationship
management (CRM) system to track
business interactions and measure impact.
1.3. Business Survey. Conduct annual industry -
specific surveys to capture longitudinal
data on the local business climate and
identify emerging economic trends.
1.4. Business Transition and Succession
Planning. Support the long-term stability
of Beaumont businesses by assisting
legacy business owners with retirement
or ownership transitions.
1.5. Economic Development Programs and
Incentives. Maintain a targeted toolkit of
business incentive programs, including
non -cash incentives, to reward long-term
local investment.
• Data -Informed Growth: By utilizing a centralized CRM system, the City moves from anecdotal feedback to concrete data, allowing leadership to make informed policy decisions that produce measurable wins.
CITY OF BEAUMONT, CALIFORNIA PAGE 2
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
SURVEY FINDINGS
Community survey respondents strongly prioritized business retention and expansion as a primary way for the City to drive local job growth and economic stability. "Creates jobs" and "attracts businesses" were common responses to how the City can support existing residents, while an emphasis on career exploration and vocational training reflected a shared desire to enhance the local workforce.
COMPETITIVE POSITION
Based on findings from the strengths, weaknesses, opportunities, and threats (SWOT) analysis (see page 32), initiative 1 is designed to leverage Beaumont's existing economic development efforts and networking opportunities while addressing administrative and workforce gaps.
SWOT FINDING
ALIGNMENT
Existing local economic development efforts and networking opportunities Sustained population and job growth
Strong partnerships with K-12 institutions
Heavy exporter of labor to nearby communities
Poor retention of young people
Difficult permitting processes (local and county/state) for entrepreneurs and small businesses Partnerships with higher education institutions
Formalized City BRE program
High development costs
PRIOR PLAN ALIGNMENT
CCM
Can
The following table illustrates which previous and current economic development plans and studies informed the business retention and expansion initiative. Documents shown in gray do not directly align with this initiative but remain relevant to other components of the broader action plan. 2026-2030
ECONOMIC DEEVEOUNTT
Riverside County
Riverside County
Economic
Development
Strategic Plan
(2026)
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
y aaIn:Me
4...,
City of Beaum::
Zoning Code
Update
(2025)
City of Beaumont
City of Beaumont
Strategic Plan
(2025-2027)
�+'+^ BEAUM0NT
ty of Beaumont
Strategic
Communications
Plan
(2023-2026)
BEAUMONT
,' EIIERAL PI. N -
City of Beaumont
General Plan
Update (2020)
4 at ,w
City of Beaumont
Economic
Development
Strategic Plan
(2019)
CITY OF BEAUMONT, CALIFORNIA
PAGE 3
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
DATA TAKEAWAY
As indicated in Figure 1, Beaumont is a heavy exporter of labor, with workers largely commuting outward to regional hubs like San Bernardino, Riverside, Redlands, and Los Angeles. This talent surplus is a powerful competitive advantage for business retention and expansion, offering local employers a ready-made workforce and creating an opportunity for the City to expand the local job base so that residents can work where they live.
Figure 1. Commuting Patterns I Trends
Flow of workers and residents through Beaumont, California, 2010-2022 N
CG
Co)
Lt)
N
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LI'9
Lt
CO
LC).
Lri
CO
N
Ln
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o
CO
Ln
rn
Ln
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2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 • Commute In
• Commute Out
■ Live & Work
Net Job Flow
Source(s): US Census Bureau Longitudinal Employer -Household Dynamics, Origin -Destination Employment Statistics; TIP Strategies, Inc.
Note(s): Only includes residents and workers in California. Accordingly, total number of workers may appear slightly different from values presented elsewhere in this analysis.
ECONOMIC DEVELOPMENT TOOLKIT I USE CASE
ADAPTIVE REUSE AND NON -CASH INCENTIVES (Monrovia, California) The city of Monrovia, California, has implemented redevelopment strategies focused on reducing regulatory barriers and encouraging reinvestment in underutilized properties rather than relying on direct financial incentives. Through flexible zoning, coordinated permitting, and adaptive reuse support, the city has facilitated the conversion of older commercial and industrial buildings into productive new uses, including mixed -use and commercial redevelopment projects. One example includes the adaptive reuse of a former telecommunications building into a new commercial development, allowing the property to be repositioned without extensive demolition or greenfield development. In addition, Monrovia emphasizes collaborative project review and entitlement coordination to help property owners navigate development processes more efficiently and reduce uncertainty associated with redevelopment projects. These tools are designed to encourage private investment, reactivate aging properties, and support long-term economic revitalization, demonstrating how streamlined approvals and adaptive reuse policies can serve as effective non -cash economic development incentives.
CITY OF BEAUMONT, CALIFORNIA Page 838 of 910 PAGE 4
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
INITIATIVE 2. GROW TARGET INDUSTRIES
Accelerate economic prosperity across Beaumont by attracting and scaling high -growth sectors through infrastructure investment, specialized workforce development, and strategic recruitment.
An intentional recruitment strategy is needed to accelerate economic prosperity. Initiative 2 recommends leveraging Beaumont's strategic position along the I-10 corridor and its proximity to regional medical hubs to transform the City into a destination for specialized investment. The focus is on cultivating an ecosystem where innovation and
entrepreneurship thrive, rather than merely increasing the volume of industrial or retail space.
Through targeted infrastructure investment, specialized workforce development, and strategic partnerships with higher education and regional agencies, the City can build a business environment that attracts high -growth sectors. Aligning industry recruitment with Beaumont's geographic advantages and the needs of its residents will help foster a more resilient and diversified economy.
WHY THIS MATTERS FOR BEAUMONT
• Diversified Revenue Streams: Moving toward specialized sectors like medical and tech development creates a more balanced tax base, reducing the City's reliance on traditional retail and general distribution.
• Higher -Value Employment: By focusing on Logistics 4.0 and advanced manufacturing, the City prioritizes jobs that offer higher wages and greater career longevity for local residents. • Localized Healthcare Solutions: Targeted recruitment of outpatient clinics and boutique medical practices directly addresses the needs of Beaumont's growing 65+
demographic, allowing residents to access quality care
without leaving the city limits.
• Infrastructure as a Recruitment Tool: Modernizing fiber- optic and power capabilities in industrial zones makes
Beaumont a competitive choice for tech -intensive firms and creative agencies.
STRATEGIES
2.1. Recruitment. Focus Beaumont's
outbound business attraction efforts on
target industries, which represent the
best opportunities for new investment
and employment growth.
2.2. Specialty Healthcare. Attract and retain
boutique medical practices and
specialized outpatient clinics, such as
orthopedics and physical therapy, to
provide high -quality local care.
2.3. Advanced Manufacturing. Modernize
Beaumont's industrial base by facilitating
infrastructure improvements and
technology adoption that enhance
operational efficiency for existing
manufacturers.
2.4. Distribution and Logistics. Pursue a
selective recruitment strategy that
prioritizes high -value, low -impact
logistics partners to ensure quality job
growth without compromising
community character.
2.5. Entrepreneurship. Support the steady
growth of local startups and entrepreneurs
by providing the professional resources
and networking needed to establish a
permanent local presence.
2.6. Tech Development. Build a foundational
tech presence by attracting small-scale
creative agencies and firms that
complement Beaumont's existing
professional service environment.
• Cultivating Local Innovation: By investing in the
entrepreneurial ecosystem through the Pass Area Business Hub, the City fosters the next generation of local employers, ensuring that Beaumont -born startups have the resources to stay and grow locally.
CITY OF BEAUMONT, CALIFORNIA
PAGE 5
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
SURVEY FINDINGS
Results from the community survey highlighted an urgent demand for improved quality of life and enhanced job opportunities through specialized industry growth, specifically healthcare. Respondents noted the local healthcare ecosystem as a relative weakness, with healthcare investment having a potentially high impact. This focus on targeted development was reinforced by the fact that industry specialties and innovation were explicitly identified as the weakest of all regional strengths.
COMPETITIVE POSITION
Based on findings from the SWOT analysis (see page 32), initiative 2 is designed to guide Beaumont's scaling of its target sectors by capitalizing on recent momentum while addressing administrative bottlenecks that hinder diversification.
SWOT FINDING
ALIGNMENT
Recent major transportation and warehousing expansions
Geographic location and access to larger Southern California markets Difficult permitting process for entrepreneurs and small businesses Targeted business attraction for increased revenue and worker retention
OPPORTUNITY
Promotion of the City as a business -friendly destination
OPPORTUNITY
Formalized City BRE program
Additional large-scale distribution and logistics facilities
OPPORTUNITY
OPPORTUNITY
Targeted industry sector development
California sales tax system changes
High development costs
Challenges with timely delivery of utilities
OPPORTUNITY
CD
PRIOR PLAN ALIGNMENT
The following table illustrates which previous and current economic development plans and studies informed the target industries initiative. Documents shown in gray do not directly align with this initiative but remain relevant to other components of the broader action plan.
2026-2030
RIVERSIDE COUNTY
ECONOMIC DEVELOPMENT
Riverside County
Riverside County
Economic
Development
Strategic Plan
(2026)
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
Amu
City of Beaumon,'
Zoning Code
Update
(2025)
City of Beaumont
City of Beaumont
Strategic Plan
(2025-2027)
BEAUM0NT
„ty of Beal nm
Strategic
Communicaouns
Plan
(2023-2026)
BEAUMONT
_ ThERAL PLAN
City of Beaumont
General Plan
Update (2020)
City of Beaumont
Economic
Development
Strategic Plan
(2019)
CITY OF BEAUMONT, CALIFORNIA
PAGE 6
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
DATA TAKEAWAYS
Significant job loss in local and state government —historically two of Beaumont's highest location quotient (LQ) sectors —over the past five years signals a shifting economic landscape. As shown in Figure 2, this decline is being counterbalanced by rapid expansion in transportation and warehousing, which has surged to become the City's fourth -highest LQ sector. Though Beaumont's healthcare sector has also seen significant recent job growth, it remains a relatively low -concentration sector. The comparative growth of Beaumont's healthcare sector since 2001 has not kept pace with that of the County and the metropolitan statistical area (MSA), as seen in Figure 3.
This shift toward transportation and warehousing, as well as the noted need for a stronger local healthcare ecosystem, underscores the critical need for targeted recruitment strategies that ensure growing industrial clusters are leveraged into higher -value, sustainable employment opportunities.
Figure 2. Industry Sectors I Annual Change
Annual net employment change by industry sector for Beaumont, California, in selected year Transportation & warehousing
Healthcare
Accommodation & food services
Retail trade
Construction
Personal & other services
Wholesale trade
Manufacturing
Professional services
Federal government (civilian)
Utilities
Property sales & leasing
Arts, entertainment, & recreation
Finance & insurance
Administrative services
State government
Education
Local government
•
2020
2021
• 2022
• 2023
• 2024
I Total Net Change in Period
-1,000 -800 -600 -400 -200 0 200 400 600 800 1,000 1,200
NET JOB CHANGE
Source(s): US Bureau of Labor Statistics (BLS); Lightcast 2025.3 —Quarterly Census of Employment and Wages (QCEW) Employees, Non-QCEW Employees, and Self -Employed; TIP Strategies, Inc.
Note(s): Beaumont, California, is approximated by ZIP Code 92223. Includes industry sectors with at least 50 jobs in Beaumont in 2024.
CITY OF BEAUMONT, CALIFORNIA Page 841 of 910 PAGE 7
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
Figure 3. Industry Sectors I Cumulative Change
Comparative change for healthcare since 2001
PERCENTAGE CHANGE IN JOBS FROM 2001
180%
160%
140%
120%
100%
80%
60%
40%
20%
0%
• Beaumont, CA
Riverside County, CA
Riverside -San Bernardino MSA
California
United States
113.8%
2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 2021 2023 2025 Source(s): BLS; Lightcast 2025.3—QCEW Employees, Non-QCEW Employees, and Self -Employed; TIP Strategies, Inc.
Note(s): Beaumont, California, is approximated by ZIP Code 92223. The Riverside -San Bernadino MSA consists of Riverside and San Bernardino Counties, California. Includes industry sectors with at least 50 jobs in Beaumont in 2024.
CLUSTER DEVELOPMENT I USE CASE
TAHOE RENO INDUSTRIAL CENTER (Reno, Nevada)
The Tahoe Reno Industrial Center (TRIC) in Northern Nevada transformed the Reno/Sparks region into a major hub for the lithium -ion battery supply chain by bridging Nevada's raw lithium deposits with California's massive consumer and automotive markets. The project began in 1995 with a vision from Storey County leaders to transform a vast rangeland into a preapproved heavy industrial zone —a strategy designed to protect county finances while generating jobs. To realize this, the county streamlined its permitting process in exchange for private developers funding the early infrastructure, allowing those developers to scale the project in 1998 to its current footprint. This growth was driven by a strong characterized by coordinated utility infrastructure; ; and expansive, development -ready industrial zoning with fast - track, predictable permitting. Capitalizing on its direct access to Interstate 80 (1-80), TRIC secured the sprawling Tesla Gigafactory as an anchor tenant to produce advanced electric vehicle battery cells and packs.
This subsequently attracted complementary cleantech enterprises, most notably Redwood Materials, creating a highly integrated ecosystem of midstream manufacturing, logistics, and closed -loop battery recycling.
However, the project's success has introduced new challenges. A spatial mismatch between the employment center and a lack of nearby residential housing has resulted in significant traffic congestion along 1-80. To alleviate this, the region is currently exploring a
connect the Reno and Sparks city centers directly to the TRIC. and a bold . to
CITY OF BEAUMONT, CALIFORNIA Page 842 of 910 PAGE 8
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
INITIATIVE 3. STRENGTHEN RETAIL CORRIDORS
Create a balanced retail ecosystem that combines high -volume national anchors with a sense of place driven by local niche businesses.
Beaumont's retail landscape is at a crossroads, requiring a strategic shift to active corridor management. Initiative 3 recommends the creation of a balanced retail ecosystem that harmonizes high -volume national anchors with a sense of place driven by local, niche businesses. By focusing on the reliability of major retailers and the unique character of small business owners, the City can transform its commercial areas from simple transit stops into vibrant, multifunctional destinations.
The strategies prioritize the revitalization of the downtown area and key retail nodes, leveraging a dense, walkable design to attract the sit-down restaurants, specialty shops, and boutique lodging that residents currently seek outside the city limits. Through high -touch engagement with small businesses and the pursuit of national brands to fill service gaps, Beaumont can establish a retail environment that serves both local needs and regional visitors.
WHY THIS MATTERS FOR BEAUMONT
• Balanced Economic Health: Integrating national brands with local boutiques ensures fiscal stability while building the unique Beaumont brand.
STRATEGIES
3.1. Niche Retail and Restaurants. Cultivate
unique, local destination businesses
through specialized entrepreneurship
support that emphasizes authentic
community character.
3.2. National Retail and Restaurants. Secure
high -volume anchor tenants by
leveraging market data and streamlined
permitting to ensure corridor stability
and essential service access.
3.3. Downtown Investment. Drive higher -
density, mixed -use growth by continuing to
implement the Beaumont Downtown
Revitalization Plan through a phased
approach, focusing on key activation areas.
3.4. Retail Nodes. Concentrate commercial
activity at strategic transit intersections
to create walkable, high -impact clusters.
• Reduced Retail Leakage: By utilizing community -driven recruitment —matching national retailers to the specific desires of residents —the City captures sales tax revenue that is currently being spent in neighboring municipalities.
• Lower Barriers to Entry: Proactive concierge services for small businesses, such as one-on-one permit navigation and mentorship, catalyze investment in older corridors like 6th Street that might otherwise remain underutilized.
• Main Street Identity: Focusing investment in downtown activation nodes and mixed -use developments creates the dense core necessary to foster a community gathering space. • Transit -Oriented Vitality: Aligning commercial nodes with public transit and walkable infrastructure ensures that retail centers remain accessible, sustainable, and high impact.
CITY OF BEAUMONT, CALIFORNIA Page 843 of 910 PAGE 9
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
SURVEY FINDINGS
Community survey results emphasized the desire for improved quality of life, particularly related to Beaumont's downtown. This included the heavy prioritization of downtown revitalization, with respondents frequently characterizing the downtown area as neglected and identifying future downtown investment as high impact.
COMPETITIVE POSITION
Based on findings from the SWOT analysis (see page 32), initiative 3 is designed to revitalize the City's core by leveraging the unique character of the historic downtown while proactively addressing commercial vacancies and regional competition through expanded amenities citywide.
SWOT FINIDIN
ALIGNMENT
Small-town character and high quality of place
Lack of downtown vibrancy; incompatible compositions of businesses in downtown nodes Limited City funding for revitalization
Lack of move -in ready retail and commercial sites in downtown nodes Increasing dining, retail, and other quality -of -life amenities citywide Infill and redevelopment of vacant commercial properties Regional competition for downtown and retail
Anti -growth sentiment among parts of the community
PRIOR PLAN ALIGNMENT
The following table illustrates which previous and current economic development plans and studies informed the retail corridors initiative. Documents shown in gray do not directly align with this initiative but remain relevant to other components of the broader action plan.
2026-2030
ECONOMIC DEVELOPMENT
Riverside County
Riverside County
Economic
Development
Strategic Plan
(2026)
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
City of Beaumont
Zoning Code
Update
(2025)
≥ity of Beaumont
ity of Beaumont
Strategic Plan
(2025-2027)
City of Beaumont
Strategic
Communications
Plan
(2023-2026)
BEAUMONT
EAERALPLAN
City of Beaumont
General Plan
Update (2020)
City of Beaumont
Economic
Development
Strategic Plan
(2019)
CITY OF BEAUMONT, CALIFORNIA Page 844 of 910 PAGE 10
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
DATA TAKEAWAYS
The concentration of Beaumont's sales tax revenue —where the top 25 producers surged from representing 70.3 percent of City sales tax revenues in 2022 to more than 90 percent in 2023 —reveals an imbalance. As visualized in Figure 4, this data underscores the necessity of cultivating a more diversified retail ecosystem that reduces overreliance on a few high -volume anchors. Beaumont's current commercial footprint is bifurcated, with industrial activity primarily south of 1-10 and traditional office and retail clusters to the north. While the existing inventory is primarily corridor- and node -based, Figure 5 highlights that the development of vibrant, pedestrian -friendly retail centers offers an opportunity to capture a wider variety of local niche businesses and create a high -impact retail environment.
Figure 4. Municipal Tax Concentration
Top taxpayer shares as a percentage of total property and sales tax revenue in Beaumont, California, 2012-2024
89.4%
90.0%
80.0% 77.0%
70.0%
60.0%
W
= 50.0%
ti
0 40.0%
30.0%
20.0%
10.0%
0.0%
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Source(s): City of Beaumont, California, Comprehensive Annual Financial Report (various years); TIP Strategies, Inc.
Note(s): The fiscal year of the City of Beaumont, California, ends on June 30 annually. Concentration ratios are unavailable for the 2016-2020 period. These years are shown as a linear estimate in the gap between 2015 and 2021.
CITY OF BEAUMONT, CALIFORNIA Page 845 of 910 PAGE 11
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
Figure 5. Retail Inventory, Beaumont, California
INVENTORY
Smaller Property Larger Property
Obt
• _wont _
• aI`�4•171 9eb eil
Aro
1-1
© 2026 Mapbox © OpenStreetMap
Q Beaumont, CA, Boundary
Q Sphere of Influence
Source(s): CoStar Group; City of Beaumont, California; TIP Strategies, Inc.
Note(s): Darker reds indicate larger properties. Inventory is measured in square feet. All data are estimated by CoStar as of September 2025 and represent a snapshot in time.
RETAIL DEVELOPMENT I USE CASES
COMMUNITY -DRIVEN BUSINESS RECRUITMENT (Platteville, Wisconsin) Through a partnership with the University of Wisconsin Division of Extension, the City of Platteville, Wisconsin, conducted a downtown market analysis that included resident and consumer surveys to better understand local demand. The feedback revealed a desire for additional dining options and more informal gathering spaces, such as coffee shops and casual restaurants. In response, Platteville used these insights to guide its —prioritizing the recruitment of targeted restaurant concepts and aligning local incentives and redevelopment efforts to support those uses. This approach allowed the city to reduce risk for prospective businesses while ensuring new investments reflected the community's stated preferences.
CITY OF BEAUMONT, CALIFORNIA Page 846 of 910 PAGE 12
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
RETAILER PITCH COMPETITION (Bloomington, Minnesota)
Hatch Bloomington is a community -focused retail pitch competition launched by the City of Bloomington, Minnesota, to support entrepreneurship, activate commercial corridors, and strengthen the local small business ecosystem. The program combines public investment, community engagement, and business mentorship by awarding financial assistance, exposure, and technical support to entrepreneurs and existing small businesses seeking to grow in Bloomington. Originally structured as a $100,000 competition for new brick -and -mortar concepts, the initiative evolved in 2026 to provide direct support to multiple locally owned businesses in response to changing economic conditions. Beyond the financial award, Hatch Bloomington has generated significant public participation, media visibility, and entrepreneurial momentum, helping local businesses establish storefronts, connect with business networks, and build long-term community investment. The program demonstrates how municipalities can use entrepreneurial competitions and coordinated business support services as tools for small business development, placemaking, and local economic resilience.
YOUTH MURAL PROJECT (Silver City, New Mexico)
Since 2002, the Youth Mural Procram led by the Gila Community Foundation has produced more than 85 murals across small communities in Southwestern New Mexico, including Silver City, Bayard, Santa Clara, and Gila. The initiative was created to engage local youth in community beautification while teaching them about the region's history, culture, and ecology through public art. Murals are developed collaboratively with students, professional artists, schools, universities, and civic organizations, transforming blank walls, sidewalks, and underutilized spaces into highly visible community assets. The program intentionally uses art as a placemaking and youth development strategy, helping young residents build stronger connections to their communities while creating public spaces that reflect local identity. Participants gain experience in teamwork, problem -solving, and artistic design, while communities benefit from more vibrant and welcoming downtowns and gathering spaces. The murals have become recognizable landmarks throughout Grant County, contributing to community pride, reinforcing cultural heritage, and enhancing the overall quality of place for both residents and visitors.
CITY OF BEAUMONT, CALIFORNIA Page 847 of 910 PAGE 13
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
INITIATIVE 4. ACTIVATE STRATEGIC LAND AND SITES
Optimize Beaumont's developable acreage and sphere of influence by aligning land -use policies with market demand to create a diverse, high -value tax base.
To secure Beaumont's long-term financial health, the City needs to optimize its developable acreage and sphere of influence. Initiative 4 focuses on aligning land -use policies with real -world market demand to create a diverse, high -value tax base. This ensures the City has the sites to support target sector industry growth, including distribution and logistics. It also positions the City as a development partner rather than as a regulator.
The strategies move beyond zoning to unlock the potential of Beaumont's land through modernized permitting, strategic annexation, and proactive redevelopment. By streamlining permitting, Beaumont can reduce the time and cost of doing business. Furthermore, by managing underutilized parcels in the downtown core and pursuing logical annexations along industrial corridors, the City can also ensure that every acre of land is working toward the community's goal of increased services and a higher quality of life.
WHY THIS MATTERS FOR BEAUMONT
• Removing Barriers to Entry: Modernizing the permitting process through collaborative mechanisms such as pre -
lease walkthroughs and team -based reviews provides small businesses and entrepreneurs consistency and clarity.
• Unlocking Revenue: Proactive annexation of strategic
parcels within the sphere of influence allows the City to capture significant industrial and commercial tax revenue that would otherwise remain unincorporated.
• Downtown Vitality: Utilizing land banking and adaptive reuse ordinances empowers the City to revitalize underutilized or vacant parcels, turning them into high -density, mixed - use destinations that support a vibrant core.
STRATEGIES
4.1. Permitting. Collaborate closely with
Beaumont Planning, Building & Safety,
and Riverside County (when applicable)
staff to modernize permitting processes
that are challenging for small businesses
to navigate.
4.2. Annexation. Execute a proactive and
logical annexation strategy for
unincorporated areas and strategic
parcels.
4.3. Redevelopment and Mixed Use.
Revitalize underutilized parcels,
particularly within the downtown area,
and promote the development of
integrated residential and commercial
areas.
4.4. Land Banking. Establish a working group
to study the needs and opportunities for
creating a land banking program that
facilitates the acquisition, management,
and redevelopment of underutilized
properties in downtown Beaumont.
4.5. Critical Infrastructure. Prioritize the
expansion of essential utility capacity
and regional traffic interchanges.
• Infrastructure -Led Growth: By prioritizing utility and traffic interchange expansions, the City stimulates private investment, ensuring land is shovel -ready for high -value employers and retailers. • Zoning Flexibility: Moving toward demand -driven land use assures that new developments remain financially feasible and occupied, allowing for a mix of uses that better matches the evolving needs of Beaumont.
CITY OF BEAUMONT, CALIFORNIA Page 848 of 910 PAGE 14
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
SURVEY FINDINGS
Community survey results indicated infrastructure was a critical priority. When asked how the City can better support them, "strengthens infrastructure" emerged as the most common response among residents, who explicitly identified infrastructure and water systems as high priority. Furthermore, investments in these foundational systems were expected to have the highest impact toward achieving the community's vision for Beaumont, with respondents specifically noting the urgent need to improve congestion and to ensure new growth does not outpace the capacity of existing City infrastructure.
Additionally, survey feedback revealed a strong tendency to view future development with caution, favoring a community development -focused, quality -over -quantity approach to growth. This sentiment is reflected in the fact that "expanded housing options" was the lowest -scoring potential investment by impact, while "increases housing" represented a remarkably small percentage of responses related to the vision of Beaumont's future.
Consequently, "residential development" was identified as the second -lowest priority economic development planning effort, with industrial attraction, office development, and mixed -use development also scoring relatively low in terms of respondent priorities.
COMPETITIVE POSITION
Based on findings from the SWOT analysis (see page 32), initiative 4 is defined by an urgent need to bridge the gap where infrastructure capacity has trailed behind rapid residential and commercial expansion. It focuses on unlocking the potential of vacant commercial properties and developable land within the sphere of influence while navigating challenges related to high development costs, utility delivery, and community concerns regarding growth.
SWOT FINDING
ALIGNMENT
Recent major transportation and warehousing expansions
Infrastructure outpaced by residential and commercial growth Limited City funding for revitalization
Lack of infrastructure keeping properties undeveloped
Infill and redevelopment of vacant commercial properties
OPPORTUNITY
Utilizing developable land within the City's sphere of influence
OPPORTUNITY
Targeted industry sector development
OPPORTUNITY
Anti -growth sentiment among parts of the community
Challenges with timely delivery of utilities
CD
High development costs
CITY OF BEAUMONT, CALIFORNIA
PAGE 15
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
PRIOR PLAN ALIGNMENT
The following table illustrates which previous and current economic development plans and studies informed the land and sites activation initiative. Documents shown in gray do not directly align with this initiative but remain relevant to other components of the broader action plan. 2026.2030
RIVERSIDE COUNTY
ECONOMIC OEVELOPMENT
Riverside County
Riverside County
Economic
Development
Strategic Plan
(2026)
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
City of Beaumont
Zoning Code
Update
(2025)
City of Beaumont
City of Beaumont
Strategic Plan
(2025-2027)
Gym _ BEAUMONT
ty of Beaumont
Strategic
Communications
Plan
(2023-2026)
BEAUMONT
EAERALPLAN
City of Beaumont
General Plan
Update (2020)
City of Beaumont
Economic
Development
Strategic Plan
(2019)
DATA TAKEAWAY
Beaumont's relatively small commercial real estate inventory compared to the broader region results in market volatility, where historical spikes in office construction have been followed by a recent surge in vacancies. As visualized in Figure 6, this trend underscores the need for the strategies in initiative 4 to shift from passive regulation toward demand -driven land use. This helps ensure that future redevelopment and annexation efforts are closely aligned with actual market demand to prevent oversupply in vulnerable asset classes.
Figure 6. Office Vacancy Rate
14.0%
12.0%
10.0%
W
ce • 8.0%
v
> 6.0%
4.0%
2.0%
0.0%
I Beaumont, CA
Riverside -San Bernardino MSA
N
N
In
N
r -
N
O
N
O
N
N
N
N
O
N
N
N
N
O
N
N
N
N
N
N
N
O
N
Source(s): CoStar Group; TIP Strategies, Inc.
Note(s): All data are estimated by CoStar as of September 2025. The Riverside -San Bernardino MSA consists of Riverside and San Bernardino Counties, California. Office space is measured in square feet.
CITY OF BEAUMONT, CALIFORNIA
PAGE 16
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
ECONOMIC COMPETITIVENESS I USE CASES
STREAMLINING THE PERMITTING PROCESS (Vancouver, Washington) The City of Vancouver, Washington, has developed an nnovative permitting process that significantly reduces both time and costs for the city and applicants. By adopting a team -based review system, streamlining concurrent reviews, offering pre -application conferences, and utilizing electronic plan reviews, Vancouver has set a high standard for efficiency and customer service in the permitting process that benefits all parties. The following components define this successful approach.
Pre -Lease Program. Although not part of the permitting process, the Pre -Lease Progran is managed by the Economic Prosperity and Housing Department to support small businesses. It assists business and property owners in leasing, buying, or renovating commercial spaces, as well as food truck vendors. The program includes a walkthrough of the potential space(s) with the business/property owner and their partners (such as realtors and contractors), city staff from various departments (including the Fire Marshal's Office and Land Use Planning), and staff from partner agencies (for example Clark County Public Health and the Washington State Liquor Control Board). Participants learn about allowable business types, building occupancy classifications, the permitting process, and building suitability. This free service is recommended before signing a lease or purchasing property.
Pre -Application Conference. For larger projects, the city offers a pre -application conference where review staff discuss all code requirements, fees, and process timelines before permits are applied for. This proactive approach provides applicants with comprehensive information upfront, reducing the likelihood of delays and misunderstandings later in the process. Vancouver has been recognized as a leader in delivering high -quality information to applicants during this stage.
Team -Based Review. Every land use project submitted is assigned a dedicated case manager. This case manager coordinates the review process with a consistent team of reviewers from various departments, such as engineering, fire, and building. This approach ensures applicants have a single point of contact, streamlining communication and enhancing efficiency.
Streamlined Land Use and Engineering Review. Vancouver's award -winning streamlined review process allows land use applications to be reviewed concurrently with engineering plans, rather than consecutively.
This concurrent review process is completed within 90 days of city review time, offering a faster and more efficient timeline for applicants. Additionally, if building plans are ready for submission at the same time, all three processes —land use, engineering, and building —can be handled together, further expediting the approval process. This streamlined option is available at no extra cost to the applicant.
Electronic Plan Review. To further enhance efficiency, Vancouver allows applicants to submit plans and applications electronically. Reviewers provide comments and corrections electronically as well, saving substantial time and costs for both the city and applicants. This digital approach reduces the need for physical document submissions and expedites the overall review process.
INCREASING RESIDENTIAL DENSITY (Washington State)
Washington State is rethinkinc traditional zoning requirements to better support both housing development and local business environments. In response to widespread vacancies in ground -floor retail spaces —driven by shifts in e -commerce, remote work, and changing consumer patterns —the state passed legislation (SB 6026) that reduces or eliminates mandates requiring retail space at the base of new residential buildings. Instead of forcing developers to include commercial storefronts that may sit empty, the policy allows flexibility for those spaces to be used for housing or other uses that better match market demand. This approach lowers development costs, makes more projects financially feasible, and helps bring underutilized commercial corridors back into productive use, while still allowing retail where it is viable. As a non -cash incentive, the policy removes regulatory barriers rather than offering direct funding, illustrating how zoning flexibility can support both increased housing supply and more sustainable, demand -driven opportunities for local businesses.
CITY OF BEAUMONT, CALIFORNIA Page 851 of 910 PAGE 17
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
INITIATIVE 5. ENHANCE QUALITY OF PLACE
Elevate Beaumont's appeal by investing in the physical and social assets that preserve the small-town character while creating vibrant neighborhoods where people want to live, visit, and interact.
A city's economic competitiveness is inseparable from its physical and social vibrancy. Initiative 5 recommends
elevating Beaumont's quality of place by investing in the assets that preserve small-town character while also creating vibrant, modern environments. This approach moves beyond traditional infrastructure to focus on the social fabric of the City, ensuring Beaumont serves as a premier place to live, visit, and interact in the Inland Empire.
The mutually reinforcing strategies prioritize the evolution of Beaumont into a regional destination by connecting its
extensive park and trail systems with unique local dining, heritage sites, and a robust calendar of community events. By intentionally designing third places —the plazas, pocket parks, and community hubs that facilitate social interaction —the City can strengthen the ties that underpin long-term residency and community pride.
WHY THIS MATTERS FOR BEAUMONT
• Tourism as an Economic Catalyst: Positioning Beaumont as a weekend destination for the Inland Empire and Coachella Valley creates a new export economy, capturing outside
dollars to support local small businesses and hospitality providers.
STRATEGIES
5.1. Tourism. Build Beaumont to be an
overnight destination by increasing
unique local dining, specialty retail, and
heritage venues and sites across the
City.
5.2. Events. Curate a calendar of high -quality,
family -oriented community events that
build upon Beaumont's traditions and
encourage repeat foot traffic to business
districts and downtown.
5.3. Outdoor Recreation. Improve and connect
Beaumont's park systems, trails, and green
spaces to provide accessible, high -quality
leisure opportunities for all residents.
5.4. Places of Gathering. Invest in the design
and maintenance of third places —such
as plazas, libraries, pocket parks, and
community spaces —that foster social
connection and enhance quality of place.
• Event -Driven Foot Traffic: Leveraging high -quality community events like the Cherry Festival and Beaumont Nights provides consistent, reliable exposure and sales for local storefronts, turning event attendees into long- term customers.
• Recreational Connectivity: Integrating existing trail networks and the City's extensive park system with commercial clusters maximizes the economic value of Beaumont's natural assets, encouraging recreation - adjacent business growth such as outdoor outfitters and cafes. • Preservation through Modern Design: Collaborating with developers to incorporate public -facing amenities, such as plazas and art, ensures that new residential and mixed -use growth enhances the City's aesthetic appeal without compromising its small-town feel.
• Social Return on Investment: Investing in accessible leisure opportunities and gathering spaces increases neighborhood desirability and property values, fostering a community where residents are more likely to remain and reinvest.
CITY OF BEAUMONT, CALIFORNIA Page 852 of 910 PAGE 18
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
SURVEY FINDINGS
Community survey results indicated that residents highly valued Beaumont's existing quality of life while clearly identifying a desire for further investment in lifestyle amenities and community -focused spaces. This perspective was emphasized by quality of life tying as the second -highest regional strength, paired with "enhances lifestyle amenities" being identified as a primary way the City can better support its residents.
COMPETITIVE POSITION
Based on findings from the SWOT analysis (see page 32), initiative 5 seeks to solidify Beaumont's competitive advantage by leveraging its natural beauty and small-town character to attract regional tourism and population growth. It addresses the retention of younger residents and mitigates environmental threats by investing in connected park systems, sustainable outdoor recreation, and vibrant third places.
SWOT FINDING
ALIGNMENT
Small-town character and high quality of place
Natural beauty, outdoor amenities
filED
Sustained population and job growth
Positive relationships with neighboring communities
Geographic location and access to larger Southern California markets Poor retention of young people
Outdoor recreation (state park, etc.)
OPPORTUNITY
Climate change and risk of natural disaster(s), including drought Anti -growth sentiment among parts of the community
CD
PRIOR PLAN ALIGNMENT
The following table illustrates which previous and current economic development plans and studies informed the quality -of -place initiative. Documents shown in gray do not directly align with this initiative but remain relevant to other components of the broader action plan.
2026-2030
RIVERSIDE
DE OPM wr
yo
Riverside County
Riverside Court'
Economic
Development
Strategic Plan
(2026)
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
City of Beau,,,,,r,L
Zoning Codr
Update
(2025)
City of Beaumont
City of Beaumont
Strategic Plan
(2025-2027)
y �� G2zd 1r�iouo.
rrategic
Communications
Plan
(2023-2026)
BEAUMONT
NERAL PLAN
City of Beaumont
General Plan
Update (2020)
MIME reaulema
N
City of Beaumont
Economic
Development
Strategic Plan
(2019)
CITY OF BEAUMONT, CALIFORNIA
PAGE 19
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
QUALITY OF PLACE I USE CASE
IMMERSIVE ART EXPERIENCE (San Antonio, Texas)
Hopscotch San Antonio demonstrates how experiential, arts -based attractions can activate a downtown space, create engaging experiences for residents, and support the visitor economy. Opened in 2020 in a repurposed building, the 20,000 -square -foot venue features immersive installations from more than 50 artists, creating an interactive environment that encourages exploration, repeat visitation, and social sharing. Exhibits such as the quantum trampoline engage both youth and adults. The project also incorporates complementary uses, including a bar and events, extending dwell time and economic impact. By combining adaptive reuse with curated artistic experiences, Hopscotch positions downtown San Antonio as a regional destination while supporting local creatives and small business activity.
CITY OF BEAUMONT, CALIFORNIA Page 854 of 910 PAGE 20
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
INITIATIVE 6. PROMOTE AND POSITION BEAUMONT
Build a City brand by communicating the tangible benefits of economic development to residents, investors, and regional partners.
The long-term success of this economic development strategy will rely heavily on the strength of the Beaumont brand and the clarity of its communication. A city that effectively tells its story is a city that controls its future. For Beaumont to compete within the Inland Empire, it must adopt a
sophisticated, brand -driven marketing approach that highlights the community's unique value proposition. Initiative 6 provides the framework for a storytelling strategy that defines the City's identity and highlights its value proposition to residents, investors, and regional partners.
Strategies focus on communication as a vital economic asset with which the City can build a unified narrative that celebrates local business success and underscores the high quality of life found in its neighborhoods. This approach ensures that all stakeholders, from local homeowners to international
investors, understand that Beaumont is organized,
transparent, and open for business. By clearly linking
economic development wins to the funding of essential services, leaders can build the internal buy -in and external confidence necessary to sustain growth.
STRATEGIES
6.1. Public Relations. Share Beaumont's
value proposition and community pride
through consistent storytelling that
highlights local business success.
6.2. Communication. Maintain transparent,
two-way dialogue with residents and
stakeholders to clearly articulate the
value of economic development and
share business success stories.
6.3. Talent Attraction. Position Beaumont as
the Inland Empire's premier destination
for high -quality housing and safe
neighborhoods.
WHY THIS MATTERS FOR BEAUMONT
• Internal Buy -In and Advocacy: Articulating the return on investment of economic development —specifically how sales tax revenue funds police, fire, and parks —builds the public support necessary to diversify the tax base.
• Unified Regional Voice: Cultivating regional partnerships ensures Beaumont's value proposition is amplified across the Inland Empire, making the City a top -of -mind choice for site selectors and major employers. • Transparency and Engagement: Maintaining a data -rich digital presence and hosting community engagement sessions removes the mystery of economic growth, fostering a two-way dialogue that builds trust with residents.
• Talent Attraction: Marketing Beaumont's safety record and housing quality to regional employers helps attract high -earning professionals, strengthening local spending power and neighborhood stability. • Business Recognition: Highlighting local entrepreneurs through digital spotlights validates existing investment and encourages a culture of entrepreneurship, signaling to outside prospects that Beaumont is a supportive environment for business.
CITY OF BEAUMONT, CALIFORNIA Page 855 of 910 PAGE 21
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
SURVEY FINDINGS
Community survey results demonstrated the prioritization of high -wage job growth and fiscal stability, pointing to the need for a sophisticated City brand that both attracts investment and clearly communicates the local benefits.
Respondents scored the growth of high -wage jobs as a high -impact investment, also noting that improved quality of life contributes to helping Beaumont retain sales tax dollars from residents enjoying regional retail and dining amenities.
COMPETITIVE POSITION
Based on findings from the SWOT analysis (see page 32), initiative 6 aims to institutionalize a consistent City brand that transcends short-term political shifts and mitigates potential state -level sales tax changes. By leveraging its foundational strengths like relative housing affordability to counter its status as a heavy exporter of labor, the corresponding strategies focus on maintaining a transparent dialogue that celebrates Beaumont's high quality of life and builds buy -in for future economic development wins.
SWOT FINDING
ALIGNMENT
Natural beauty, outdoor amenities
Attainable housing relative to the region and the state Existing local economic development efforts and networking opportunities Heavy exporter of labor to nearby communities
Limited middle -income and rental housing options
Diversifying the mix of housing prices and densities
Promotion of the City as a business -friendly destination Partnerships with higher education institutions
California sales tax system changes
Focus on short-term priorities
PRIOR PLAN ALIGNMENT
The following table illustrates which previous and current economic development plans and studies informed the promotion and positioning initiative. Documents shown in gray do not directly align with this initiative but remain relevant to other components of the broader action plan. 2026.2030
PIVERSc DEVELOPMENT
ff„;
Riverside County
Riverside County
Economic
Development
Strategic Plan
(2026)
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
(CO
Beaum
Zoning Cod,
Update
(2025)
City of Beaumont
City of Beaumont
Strategic Plan
(2025-2027)
rn BEAUMONT
City of Beaumont
Strategic
Communications
Plan
(2023-2026)
City of Beaumont
General Plan
Update (2020)
77.7 City of Beaumont
Economic
Development
Strategic Plan
(2019)
CITY OF BEAUMONT, CALIFORNIA
PAGE 22
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
DATA TAKEAWAYS
Mirroring its population trends, Beaumont's comparative job growth has consistently outpaced all regional benchmarks in recent years, as indicated in Figure 7. This momentum validates the City's open -for -business narrative and informs the proactive storytelling needed to build external confidence among regional partners and investors.
Additionally, the City's inventory of relatively new, attainable housing units represents a quality -of -life asset that helps position Beaumont as an attractive destination for skilled talent (see Figure 8).
Figure 7. Total Employment Recovery
Beaumont, California, and comparison areas since the Great Recession (2007-2009)
45.8%
PERCENTAGE CHANGE IN JOBS SINCE 2007
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%
-5%
-10%
-15%
X Beaumont, CA
Riverside County, CA
Riverside -San Bernardino MSA
California
United States
N. CO O+ O N C') Lt) a.O N. CO Cr, o N M
O O O N N N N N
O O O O - O ▪ O O O - O - O O O - O O O O O O
N N N N N N N N N N N N N N N N N N
Source(s): BLS; Lightcast 2025.3—QCEW Employees, Non-QCEW Employees, and Self -Employed; TIP Strategies, Inc.
Note(s): Beaumont, California, is approximated by ZIP Code 92223. The Riverside -San Bernardino MSA consists of Riverside and San Bernardino Counties, California.
CITY OF BEAUMONT, CALIFORNIA
PAGE 23
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
Figure 8. Socioeconomic Comparisons, Median Value of Owned Homes, 2023 Owner -occupied housing units
$695.4K
California
Riverside County, CA
Riverside -San Bernardino
MSA
$464.0K
$303.4K
Beaumont, CA United States
Source(s): 2023 American Community Survey (ACS) 5 -year sample; TIP Strategies, Inc.
Note(s): The Riverside -San Bernardino MSA consists of Riverside and San Bernardino Counties, California.
TALENT GROWTH I USE CASE
HELLO WEST MICHIGAN
Founded in 2007, Hello West Michin ' is an employer -led, nonprofit initiative that serves as a collaborative talent attraction and retention strategy for the West Michigan region. Created by a coalition of local companies, the organization markets the region as a place where both businesses and people can thrive, while directly supporting employers in recruiting and relocating talent. Its model goes beyond traditional marketing by offering hands-on services such as job matching, spousal/partner employment assistance, and community integration resources for new residents. Programs like Intern Connect further strengthen the pipeline by introducing interns and early -career professionals to regional career opportunities and quality of life. By aligning employers around a shared workforce challenge and providing centralized support services, Hello West Michigan has become a widely recognized example of a regionally coordinated approach to talent development and attraction.
CITY OF BEAUMONT, CALIFORNIA
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
APPENDIX: PLANNING CONTEXT
To explore Beaumont's competitive position, identify challenges and opportunities, and shape the action plan, TIP used its three-phase, discovery -opportunity -implementation planning model, which combines quantitative and qualitative research. This section summarizes the process, culminating with an analysis of the City's strengths, weaknesses, opportunities, and threats (known as a SWOT analysis) and a sample of the detailed implementation matrix that was provided separately to the City.
Background Review
At the outset of the engagement, TIP reviewed existing economic -development -related plans and studies for the City. This section summarizes the plans reviewed, demonstrating how the initiatives of this EDSP were informed by the priorities and strategies previously identified by the City and its regional stakeholders.
Figure 9. Initiative 1 Alignment
PRIOR PLAN
RELEVANT STRATEGIES FROM PRIOR PLAN
JAL
BEAUMONT
EAERAL PLAN
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
City of Beaumont
City of Beaumont
Strategic Plan (2025)
• Promote local businesses within the community.
• Host familiarization tours for site selectors.
• Connect startups with local resources, space, and mentorship.
City of Beaumont
General Plan Update
(2020)
City of Beaumont
Economic
Development
Strategic Plan (2019)
• Maintain and expand employment -generating land uses. • Support a diverse mix of industries to reduce volatility and grow the tax base. • Support business attraction and investment through marketing.
Create incentives and programs to attract entrepreneurs to Beaumont. • Support local businesses through small business education, incentives, and downtown revitalization.
Institute and support workforce development programs, working with local universities and colleges. • Support creation of adult/vocational education programs and promote supplemental and early childhood education programs.
Identify needs of existing businesses and connect with available resources. • Investigate extent to which local entrepreneurial -development programs are meeting local needs. • Explore opportunities for cooperation with entrepreneurial networks and incubators. • Ensure workforce development organizations are aligned with business development efforts.
CITY OF BEAUMONT, CALIFORNIA
PAGE 25
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
Figure 10. Initiative 2 Alignment
PRIOR PLAN
RELEVANT STRATEGIES FROM PRIOR PLAN
2026-2030
NaMlitt0
latit
BEAUMONT
.cops PLAN
Riverside County
Riverside County
Economic
Development
Strategic Plan (2026)
City of Beaumont
City of Beaumont
Strategic Plan (2025)
• Explicitly relate planned commercial and industrial sites to industry targets. • Enhance and modernize traditional industries, while expanding into advanced sectors.
Develop a target industry list.
Connect startups with local resources, space, and mentorship.
City of Beaumont
General Plan Update
(2020)
Maintain and expand employment -generating land uses.
• Support a diverse mix of industries to reduce volatility and grow the tax base. • Balance growing jobs with local housing supply.
City of Beaumont
Economic
Development
Strategic Plan (2019)
• Identify needs of existing businesses and connect with available resources. • Investigate extent to which local entrepreneurial -development programs are meeting local needs. • Explore opportunities for cooperation with entrepreneurial networks and incubators. • Ensure workforce development organizations are aligned with business development efforts.
Figure 11. Initiative 3 Alignment
PRIOR PLAN
RELEVANT STRATEGIES FROM PRIOR PLAN
E< 2026 E2 30
51A04
Riverside County
Riverside County
Economic
Development
Strategic Plan (2026)
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
City of Beaumont
Zoning Code Update
(2025)
• Modernize zoning and promote mixed -use development.
Pursue infill and mixed -use development, alongside pedestrian improvements to develop downtown identity.
• Provide flexible development options for commercial and employment centers.
City of Beaumont
General Plan Update
(2020)
Improve citywide infrastructure to support existing development and future growth.
Support local businesses through small business education, incentives, and downtown revitalization.
Provide safe, accessible connectivity between neighborhoods and new growth areas. • Promote Beaumont as a desirable retail destination and focus development in key retail districts.
CITY OF BEAUMONT, CALIFORNIA Page 860 of 910 PAGE 26
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
BEAUMONT
EAENAL PON
Figure 12. Initiative 4 Alignment
PRIOR PLAN
RELEVANT STRATEGIES FROM PRIOR PLAN
2026-2010
.c .x.
Riverside County
Riverside County
Economic
Development
Strategic Plan (2026)
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
City of Beaumont
▪ City of Beaumont
Strategic Plan (2025)
• Expand broadband access and basic infrastructure to facilitate target industry growth.
Modernize zoning and promote mixed -use development.
Increase attainable housing options and homeownership rates.
Pursue infill and mixed -use development, alongside pedestrian improvements to develop downtown identity.
Increase range of housing options and densities, in pursuit of filling in "missing middle." Maintain an inventory of shovel -ready sites.
Host familiarization tours for site -selectors.
City of Beaumont
Zoning Code Update
(2025)
Provide flexible development options for commercial and employment centers.
Streamline the zoning code to modernize language and improve usability.
Establish design standards for industrial and commercial uses, to ensure cohesive aesthetics. • Provide a greater diversity of housing types.
City of Beaumont
General Plan Update
(2020)
Maintain and expand employment -generating land uses.
Establish list of shovel -ready sites and maintain streamlined regulatory process.
Improve citywide infrastructure to support existing development and future growth.
City of Beaumont
Economic
Development
Strategic Plan (2019)
Promote key real estate development opportunities and target industries for business attraction.
Explicitly relate planned commercial and industrial sites to industry targets. • Expand the range of special events in the City to reinforce placemaking efforts. • Expand the spectrum of available housing options, including attainable housing.
Figure 13. Initiative 5 Alignment
PRIOR PLAN
RELEVANT STRATEGIES FROM PRIOR PLAN
atm
BEAUMONT
:PENAL PLAN
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
City of Beaumont
City of Beaumont
Strategic Plan (2025)
• Establish a downtown events program, alongside standardized signage and architecture to improve branding.
Enhance recreational and community engagement opportunities through public spaces.
City of Beaumont
General Plan Update
(2020)
Provide active, comfortable gathering places that encourage social interaction.
Provide safe, accessible connectivity between neighborhoods and new growth areas.
City of Beaumont
Economic
Development
Strategic Plan (2019)
Identify and cultivate placemaking opportunities within the City.
CITY OF BEAUMONT, CALIFORNIA
PAGE 27
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
BEAUMONT
ENERAL PON
Figure 14. Initiative 6 Alignment
PRIOR PLAN
RELEVANT STRATEGIES FROM PRIOR PLAN
2026-2030
Riverside County
Riverside County
Economic
Development
Strategic Plan (2026)
City of Beaumont
Downtown
Revitalization Plan
(2025-2045)
City of Beaumont
City of Beaumont
Strategic Plan (2025)
• Market the county to position it as a hub for emerging industries. • Develop a branding campaign and signature events to highlight local quality of life.
Develop worker attraction programs and relocation incentives.
Promote local businesses within the community.
Establish a downtown events program, alongside standardized signage and architecture to improve branding.
Promote the City through a business recruitment campaign, attendance at trade shows and industry conferences.
City of Beaumont
Strategic
Communications
Plan (2023-2026)
• Increase availability and understanding of City programs and services.
Increase community awareness, interest, participation, and engagement.
City of Beaumont
General Plan Update
(2020)
Support business attraction and investment through marketing.
Create incentives and programs to attract entrepreneurs to Beaumont.
Promote Beaumont as a desirable retail destination and focus development in key retail districts.
Market the City as a destination for tourism and support clustering of unique economic activities. • Preserve existing neighborhoods and promote development of new housing choices.
City of Beaumont
Economic
Development
Strategic Plan (2019)
Develop marketing materials to reflect coordinated economic development efforts.
Promote key real estate development opportunities and target industries for business attraction.
Investigate options for expediting approvals in the current development process.
CITY OF BEAUMONT, CALIFORNIA Page 862 of 910 PAGE 28
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
Engagement Process
Input from community leaders across private, public, and nonprofit sectors is critical to the success of any visioning process. Over 75 participants contributed to the development of this plan. Community input was particularly important for this EDSP, as its priorities and their associated responsibilities impact multiple organizations and chart a course for the City's economic prosperity. At the beginning of the strategic planning process, TIP worked with the City's Economic Development Department to design the approach to stakeholder engagement, which involved several methods (see Figure 15). Central to the stakeholder engagement process was a project steering committee, which convened at major milestones.
Figure 15. Engagement Process Overview
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75+
STAKEHOLDER
PARTICIPANTS
ROUNDTABLE
SESSIONS
Community Members • City Staff • Real Estate &
Development • Education and Workforce • Quality
of Place • Major Employers • Nonprofits • Steering
Committee
13 3
INDIVIDUAL
INTERVIEWS
City leadership, small business
owners, business prospects, and
community leaders
COMMUNITY VISIONING
WORKSHOPS
In -person and virtual workshops
to understand the community's
economic vision for Beaumont,
supported and supplemented by
a community survey
CITY OF BEAUMONT, CALIFORNIA
PAGE 29
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
TIP conducted a confidential, online community visioning survey targeted at Beaumont residents that drew nearly 1OO respondents. The survey was open from January 26, 2O26, to February 2O, 2O26. Questions began with resident location and demographics and moved on to more detailed inquiries, focused on perceptions of and visions for the community. TIP delivered survey results to the City of Beaumont in a Tableau Public interactive data visualization.
Findings, summarized below, helped guide the direction of the strategic plan.
Figure 16. Community Vision Survey Takeaways
1 2
3 4
IMPROVING A HIGH QUALITY OF LIFE
Alongside diversity, quality of life was tied for Beaumont's second -highest scoring regional strength, with respondents associating words like "community," "opportunity," and "thriving" to the City. Still, "enhances lifestyle amenities" was identified as one of the top ways the City can better support residents. Downtown revitalization was heavily prioritized. Open- ended submissions characterized downtown as somewhat neglected, and respondents noted the potential high impact of downtown investment. In several places, respondents indicated a need to expand the City's retail offerings, support local businesses and entrepreneurs, and provide enhanced opportunities for interaction and entertainment. Additionally, healthcare was identified as a relative weakness, with respondents noting a need to improve access within the community.
Respondents ranked healthcare facilities as having the second -highest potential impact of any investment area. This aligns with respondents' vision of a Beaumont characterized by phrases like "community -centric," "attractive," and "affordable."
PRIORITIZING INFRASTRUCTURE
Throughout the survey, respondents noted a need for Beaumont to improve its infrastructure. Infrastructure systems were identified as the City's highest priority economic development planning effort. Water systems were ranked as important, while concern for broadband infrastructure was less apparent. "Strengthens infrastructure" was the most common response for how Beaumont's economy can better support existing residents. Investments in infrastructure were also identified as having the highest impact toward achieving respondents' vision for the Beaumont economy. "Growth" was the word most frequently associated with the City, while "growing" represented the second -most common vision word for the City's next 10 years. Pointing to the importance of sustainability and balance, numerous open-ended responses noted a need to improve congestion and ensure future growth does not outpace the capacity of the City's infrastructure.
ENHANCING LOCAL JOB OPPORTUNITIES
Beyond business attraction for improved quality -of -life amenities, respondents also noted a need to improve the availability of quality jobs. Industry specialties were the weakest regional strength, just behind innovation, as respondents strongly prioritized business retention, expansion, and recruitment. "Creates jobs" was one of the most common responses to how Beaumont can support its existing residents, as was "attracts businesses." Additionally, growth of high -wage jobs scored as a high -impact investment. While investments in workforce development were seen as having relatively middling impact, efforts like career exploration and vocational training reflected respondents' desire to better support the local workforce.
Respondents also noted the role of improving local quality -of -life offerings in helping Beaumont retain sales tax dollars spent on dining and shopping in neighboring communities, highlighting aspirational peers like Redlands, Yucaipa, Temecula, and Rancho Cucamonga. Additionally, open-ended responses mirrored the commuting analysis prepared by TIP Strategies, Inc., presented elsewhere, indicating a need to better retain a largely outward -commuting daytime workforce.
LIMITING FUTURE DEVELOPMENT
While recognizing the need for enhanced commercial opportunities and the local creation of high -quality jobs, respondents generally opposed further housing and industrial expansion in Beaumont. "Expanded housing options" was perceived as having the lowest potential investment by impact, and "increases housing" represented a small fraction of responses related to the City's future vision. "Residential development" was identified as the second -lowest priority economic development planning effort, falling just above "industrial attraction." These were joined in the lower half of respondents' priorities by "office development" and "mixed -use development," further reflecting anti -development sentiment within parts of the community. Despite this, the prioritization of community development underscores the desire of respondents to see the City take a quality -over -quantity strategic approach toward future development.
Source(s): TIP Strategies, Inc.
CITY OF BEAUMONT, CALIFORNIA
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
Nearly all respondents were located in one of the four identified Beaumont neighborhoods (92.9 percent) or elsewhere in ZIP Code 92223 (4.0 percent). Generation X (31 of 99 respondents) was the dominant age group in the survey, followed by Millennials (27), Baby Boomers (22), and Generation Z (19). Relative to Beaumont's population demographics, White and non -Hispanic residents were overrepresented by this survey, as were female residents. Though not designed to be a scientific sample, the pool of respondents was large and stratified enough to provide an adequate representation of the City.
Economic Context
As part of the strategic planning process, TIP conducted an economic analysis for the City of Beaumont that informed the creation of the plan's six strategic initiatives. The analysis was completed as part of TIP's initial discovery phase. Data collection began in October 2O25, and the work extended for the next six months. A separate, in-depth analysis was delivered to the City in an interactive data visualization using Tableau Public, the menu of which is shown in Figure 17.
Figure 17. Interactive Deliverable Menu
CITY OF BEAUMONT, CALIFORNIA
STRATEGIC ANALYSIS
March 2026
M STRATEGIES
BEAUMONT
EXPLORE THE DUE DILIGENCE
CITYWIDE
BASELINE ANALYSIS
POPULATION
Trend
I Drivers
LSocioeconomic Comparisons
Change
Pyramid
EMPLOYMENT
El Trend
Annual Change
INDUSTRY SECTOR DYNAMICS
Total by Sector
Share of County
Net Change
Trend
Concentration
READ THE KEY TAKEAWAYS
INDUSTRY & WORKFORCE
READINESS
COMMUTING
Outbound
Demographics
Inbound
REGIONAL EIAPLOYER DEMAND
Demand
Skills
Qualifications
Trend
WORNFORCEALIGNMENT
Awarding Institutions Map
General Program Trend
General Program Distribution
Detailed Program Trend
Detailed Program Distribution
LAND USE
OPPORTUNITIES
FISCAL ANALYSIS
Tax Revenues
Property Taxes
Property Tax Rates
Taz Concentration
HOUSINGAFFORDABIUTY
Interactive Affordability Index
COMPANION. PROPERTY &LAILD USE
Commercial Property Trend
Commercial Property Map
Land & Infrastructure
Downtown Accessibility
Source(s): TIP Strategies, Inc.
CITY OF BEAUMONT, CALIFORNIA
PAGE 31
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
SWOT Analysis
During the discovery phase of the project, the
consulting team gathered qualitative input from
local stakeholders in Beaumont concerning local
economic development issues. In addition, TIP
conducted quantitative data analyses to
understand the City's competitive position in the
region. The results of these efforts informed the
following strengths, weaknesses, opportunities,
and threats (SWOT) analysis.
The four components of a SWOT analysis can be
defined as follows.
• Strengths: Assets and resources that can be
built on to grow, strengthen, and diversify the
local/regional economy.
• Weaknesses: Liabilities and barriers to
economic development that could limit
economic growth potential.
• Opportunities: Competitive advantages and
positive trends that hold significant potential
for the attraction of new businesses,
investments, and skilled workers.
Figure 18. SWOT Overview
STRENGTHS
GLOBAL
pF0, NATIONAL
follow ?eeo
trends �ooy STATE
TPn.
OPPORTUNITIES
Source(s): TIP Strategies, Inc.
shape
trends
LOCAL &
REGIONAL
WEAKNESSES
•
L°(
THREATS
• Threats: Unfavorable factors and trends (often external) that could negatively affect the local/regional economy.
CITY OF BEAUMONT, CALIFORNIA Page 866 of 910 PAGE 32
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
Figure 19. SWOT Analysis
O Small-town character and high quality of place
• Natural beauty, outdoor amenities
W Sustained population and job growth
Positive relationships with neighboring communities
• Geographic location and access to larger Southern
California markets
Attainable housing relative to the region and the state Existing local economic development efforts and
networking opportunities
• Recent major transportation and warehousing expansions • Strong partnerships with K-12 institutions
Opportunities
s Increasing dining, retail, and other quality -of -life amenities citywide
• Targeted business attraction for increased revenue and worker retention
• Partnerships with higher education institutions
Infill and redevelopment of vacant commercial properties Diversifying the mix of housing prices and densities
Promotion of the City as a business -friendly destination • Formalized City BRE program
Additional large-scale distribution and logistics facilities Utilizing developable land within the City's sphere of
influence
• Targeted industry sector development (niche healthcare, distribution and logistics, advanced manufacturing,
specialty and national retail)
• Outdoor recreation (state park, etc.)
Heavy exporter of labor to nearby communities
Poor retention of young people
Lack of move -in ready retail and commercial sites in
downtown nodes
Lack of downtown vibrancy, incompatible composition
of businesses in downtown nodes
Limited City funding for revitalization
Difficult permitting processes (local and county/state) for entrepreneurs and small businesses
Infrastructure outpaced by residential and commercial
growth
Lack of infrastructure keeping properties undeveloped
Limited middle -income and rental housing options
Threats
• Regional competition for downtown and retail
Anti -growth sentiment among parts of the community
Challenges with timely delivery of utilities
California sales tax system changes
Focus on short-term priorities
Climate change and risk of natural disaster(s), including drought
High development costs
Source(s): TIP Strategies, Inc.
CITY OF BEAUMONT, CALIFORNIA
PAGE 33
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
Implementation Matrix
TIP provides an Excel -based matrix to guide this strategic plan's implementation. The implementation matrix is a flexible tool that captures the recommended strategies and actions, with an indication of roles and a proposed timeline for action. The matrix also allows the City to include supporting partners who may have a role in implementation. In addition, supporting partners can be listed. These organizations may be collaborators or potential resources that can help move implementation forward.
Finally, the implementation matrix includes an indicator to reflect the status of each strategy and action, in addition to a place to capture achievements for reporting purposes. The format of the implementation matrix allows for necessary adjustments to ensure a responsive and dynamic plan. Because strategies and methods evolve to adapt to new circumstances, the evaluation metrics should also be updated to accurately reflect progress on modified strategies. The frequency of monitoring will differ, depending on the metric and data source. See Figure 20 on page 35 for a sample from the City's initial implementation matrix.
CITY OF BEAUMONT, CALIFORNIA Page 868 of 910 PAGE 34
2026-2031 ECONOMIC DEVELOPMENT STRATEGIC PLAN
Figure 20. Implementation Matrix Sample
SUPPORTING
_ _ � - _ _ - _ PARTNER(S)
SUGGESTED
TIMELINE FOR ACTION
0-6 6-12 1-3
months months years
3-5 REQUIRED
years PRIORITY RESOURCES
ONGOING
INITIATIVE 1: BUSINESS RETENTION AND EXPANSION (BRE)
Strategy 1.1. Business Visits. Establish a structured outreach program of one-on-one site visits to build personal relationships with local business leaders and identify immediate needs.
1.1.1. Use subscription -based or publicly available data sources to identify traded sector businesses in Beaumont and tailor outreach efforts citywide.
1.1.2. Schedule and execute at least 50 formal business retention visits annually, ensuring the City's top 20 sales tax producers, major employers, and companies in Beaumont's target sectors are prioritized.
1.1.3. Structure business visits to achieve specified outcomes. The first visit should include an overview of regional economic development services, workforce development needs and programs, supply chain needs, and a discussion of the business's challenges and opportunities. Follow-up visits should be focused and project oriented.
1.1.4. Maintain a standardized site visit interview form to capture data on workforce needs, expansion plans, and regulatory hurdles.
Strategy 1.2. Data, Research, and Tracking. Implement a centralized customer relationship management (CRM) system to track business interactions and measure impact.
1.2.1. Launch a centralized CRM database to log all business interactions, site visits, and support requests to ensure all Beaumont businesses are served.
Strategy 1.3. Business Survey. Conduct annual industry -specific surveys to capture longitudinal data on the local business climate and identify emerging economic trends.
1.3.1. Develop and distribute a citywide digital survey targeting local businesses to gather input on operating conditions, including key challenges, barriers to growth, and factors contributing to business success.
1.3.2. Analyze results to identify common pain points, assess overall business sentiment, and inform targeted policy, program, and service improvements that strengthen the local business environment.
Strategy 1.4. Business Transition and Succession Planning. Support the long-term stability of Beaumont businesses by assisting legacy business owners with retirement or ownership transitions.
1.4.1. Utilize partner organizations to deliver workshops or training on succession planning via the Pass Area Business Hub (Biz Hub) for business owners nearing retirement. Partner with local businesses, such as accounting and legal services, to offer resources and guidance.
1.4.2. Maintain a business -for -sale list to connect retiring owners with aspiring local entrepreneurs.
CITY OF BEAUMONT, CALIFORNIA
PAGE 35
rin STRATEGIES
www.tipstrategies.com
+1 512 3439113
[email protected]
STRATEGY
NCE • ADVISORY
CITY OF BEAUMONT
ECONOMIC DEVELOPMENT STRATEGIC PLAN 2026-2031
ft ir
► JEFF MARCELL, SR. PARTNER
► ELIZABETH SCOTT, SR. CONSULTANT
I
AGENDA
► Introduction
► Planning Process
► Plan Overview
► Questions
INTODUCT ON
THEORY INTO PRACTICE
Committed to holistic thinking and sustainable development.
We design strategies that will support your community's vision for the future.
1 STRATEGIES
STEERING COMMITTEE
Susan Aguilar -Martinez
Beaumont Unified School District
Lynn Bogh Baldi
Beaumont Chamber of Commerce
Anthony Colindres
Cornerstone BBQ
Lance Eckhart
San Gorgonio Pass Water Agency
Adam Eventov
SoCalGas
Cesar Marrufo
C&D Real Estate Inc
Joseph Mathews
Riverside County WFD
Janice Mrkonjic
Mt. San Jacinto College
Andrea Pasolini
Mt. San Jacinto College
Lisandra Patin
Beaumont Ec. Dev. Committee
Kelly Van Valkenburg
Beaumont Library District
Kimberly Wright
Riverside County Ec. Dev.
Corinna York
IE/Desert Regional Consortium
PLANNING
OCESS
1 t
PROJECT GOAL
To update the City of Beaumont's
comprehensive economic development
strategic plan, leveraging and building on
existing economic development efforts.
PLANNING PROCESS SCHEDULE
Project
launch
Baseline
analysis
Competitive
position
(SWOT)
IOCT NOVI DEC IJAN FEB
Planning
alignment
Stakeholder
engagement
Industry & workforce
readiness analysis
Opportunity
workshop
AR APR
OPPORTUNITY
Strategic
direction
Case
studies
I
Land development
opportunities
Draft
EDSP
MAY 1UN JUL
Draft action
plan
Final
presentation
& workshop
Final
EDSP
AUG
IDigital
toolkit
DP WHAT YOU TELL US
► Meetings with community leadership & staff
► Focused interviews & roundtables
II. ► Community & business visioning workshops
WHAT OUR EXPERIENCE TELLS US
► Strategies & initiatives
► Best practices & use cases
► Trends in economic development
STAKEHOLDER ENGAGEMENT OVERVIEW
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44 ,1
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nnn
3 13
75+
N1 00
COMMUNITY VISIONING WORKSHOPS
In -person and virtual workshops to understand the community's economic vision for Beaumont, supported and supplemented by a community survey.
ROUNDTABLES & INTERVIEwq
City Staff Real Estate & Development • Education & Workforce Quality of Place • Major Employers Nonprofits Small Business Community Leaders
STEERING COMMITTEE MEMBERS
Steering committee meetings Opportunity workshop Project rollout presentation
STAKEHOLDERS ENGAGED
Through participation in topically focused roundtables, one-on-one interviews, community meetings, and Strategy Committee meetings.
SURVEY PARTICIPANTS
Community members participated in an online survey to solicit their perceptions of and vision for Beaumont.
STRATEGIC ANALYSIS — ECONOMIC EXPLORER
CITY OF BEAUMONT, CALIFORNIA
STRATEGIC ANALYSIS
March 2026
j STRATEGIES
BEAUMONT
V EXPLORE THE DUE DILIGENCE READ THE KEY TAKEAWAYS DD -
CITYWIDE
BASELINE ANALYSIS
POPULATION
LDriyers
Pyramid
EMPLOYMENT
Trend
Annual Change.
INDUSTRY SECTOR DYNAMICS
i
Total by Sector.
Share of County
Concentltatt{
Net Change
INDUSTRY & WORKFORCE
READINESS
COMMUTING
Outbound
Demographics
Inbound
REGIONAL EMPLOYER DEMAND
Demand
Skills
Qualifications
Trend
WORKFORCE ALIGNMENT
Awarding Institutions Map II
General Program Trend
General Program Distribution
Detailed Program Trend
Detailed Program Distribution
LAND USE
OPPORTUNITIES
FISCAL ANALYSIS
Property Taxes
Property Tax Rates
Ilia. Tax Concentration
HOUSING AFFORDABILITY
Interactive Affordability index
COMMERCIAL' PROPERTY & LAND USE
Commercial Property Tree
Commercial Property Mapes
Land & Infrastructure
Downtown Accessibility
Paae 881 of 910
Small-town character and high
quality of place
Natural beauty, outdoor amenities
Sustained population and job
growth
Positive relationships with
neighboring communities
Geographic location and access
to larger Southern California
markets
Attainable housing relative to the
region and the state
Existing local economic
development efforts and
networking opportunities
Recent major transportation and
warehousing expansions
Strong partnerships with K-12
institutions
Heavy exporter of labor to nearby
communities
Poor retention of young people
Lack of move -in ready retail and
commercial sites in downtown
nodes
Lack of downtown vibrancy,
incompatible composition of
businesses in downtown nodes
Limited City funding for
revitalization
Difficult permitting processes
(local and county/state) for
entrepreneurs and small
businesses
Infrastructure outpaced by
residential and commercial growth
Lack of infrastructure keeping
properties undeveloped
Limited middle -income and rental
housing options
rm-©
OPPORTUNITIE
Regional competition for
downtown and retail
Increasing dining, retail, and other
quality -of -life amenities citywide
Targeted business attraction for
increased revenue and worker
retention
Partnerships with higher education
institutions
Infill and redevelopment of vacant
commercial properties
Diversifying the mix of housing prices
and densities
Promotion of the City as a business -
friendly destination
Formalized City BRE program
Additional large-scale distribution and
logistics facilities
Utilizing developable land within the
City's sphere of influence
Targeted industry sector development
(niche healthcare, distribution and
logistics, advanced manufacturing,
specialty and national retail)
Anti -growth sentiment among
parts of the community
Challenges with timely delivery
of utilities
California sales tax system
changes
Focus on short-term priorities
Climate change and risk of
natural disaster(s), including
drought
High development costs
P LA N
RVIEW
STRATEGIC PLAN FRAMEWORK
VISION STATEMENT
Beaumont will leverage its rich history and sustained growth to build a thriving, self-sustaining economy, one that delivers quality local employment, excellent public services, and a connected quality of life centered around a revitalized historic downtown and a flourishing local business community.
GUIDING PRINCIPLES
i
0 0 0
Sustainability
Equity
Accountability
Livability
STRATEGIC INITIATIVES
Business Retention &
Expansion
Grow Target Strengthen Retail Activate Strategic Enhance Quality of Promote & Position Industries Corridors Land & Sites
Place Beaumont
EDAP STRUCTURE - BY STRATEGIC INITIATIVE
Initiative Narrative
Strategy Statements
Outcome Statements
Survey Findings
Competitive Position
Prior Plan Alignment
Data Takeaways
Supporting Figures
Initiative Toolkit
An overview establishing the core purpose of the initiative and its critical role in driving economic development.
Targeted strategies and recommended approaches designed to achieve the initiative's core objectives.
The anticipated impacts and measurable results expected upon successful execution of the strategies.
Highlighted takeaways from the community survey used to ground the initiative in local needs.
A strategic assessment of the specific strengths, weaknesses, opportunities, and threats (SWOT) surrounding the initiative.
Previous and current economic development plans and studies that informed or aligned with the initiative.
Quantitative analysis and statistical evidence demonstrating the fundamental need for this initiative.
Supplementary metrics, charts, and contextual data that further validate the initiative's strategic direction.
A curated collection of best practices, actionable resources, and real -world examples to guide successful implementation.
A
INITIATIVE 1. BUSINESS RETENTION AND EXPANSION
Grow and diversify the local tax base by proactively engaging existing businesses to identify challenges, facilitate transitions, and remove barriers to their continued success.
Business Visits,, Establish a structured outreach program of one-on-one site visits to build personal relationships with local business leaders and identify immediate needs.
Data, Research, & Tracking. Implement a centralized customer relationship management (CRM) system to track business interactions and measure impact.
Business Survey Conduct annual industry -specific surveys to capture longitudinal data on the local business climate and identify emerging economic trends.
Business Transition & Succession Planning Support the long-term stability of Beaumont businesses by assisting legacy business owners with retirement or ownership transitions.
Economic Development Programs & Incentives Maintain a targeted toolkit of business incentive programs, including non -cash incentives, to reward long-term local investment.
INITIATIVE 2. GROW TARGET INDUSTRIES
Accelerate economic prosperity across Beaumont by attracting and scaling high -growth sectors through infrastructure investment, specialized workforce development, and strategic recruitment.
Business Recruitment. Focus Beaumont's outbound business attraction efforts on target industries, which represent the best opportunities for new investment and employment growth.
Specialty Healthcare. Attract and retain boutique medical practices and specialized outpatient clinics, such as orthopedics and physical therapy, to provide high -quality local care.
Advanced Manufacturing. Modernize Beaumont's industrial base by facilitating infrastructure improvements and technology adoption that enhance operational efficiency for existing manufacturers.
Distribution and Logistics. Pursue a selective recruitment strategy that prioritizes high -value, low - impact logistics partners to ensure quality job growth without compromising community character.
Entrepreneurship. Support the steady growth of local startups and entrepreneurs by providing the professional resources and networking needed to establish a permanent local presence.
Tech Developmem. Build a foundational tech presence by attracting small-scale creative agencies and firms that complement Beaumon.'a5miaing professional service environment.
A
INITIATIVE 3. STRENGTHEN RETAIL COORIDORS
Create a balanced retail ecosystem that combines high -volume national anchors with a sense of place driven by local niche businesses.
Niche Retail R RpstaurantR. Cultivate unique, local destination businesses through specialized entrepreneurship support that emphasizes authentic community character.
National Retail & Restaurants° Secure high -volume anchor tenants by leveraging market data and streamlined permitting to ensure corridor stability and essential service access.
Downtown Investment, Drive higher -density, mixed -use growth by continuing to implement the Beaumont Downtown Revitalization Plar through a phased approach, focusing on key activation areas.
Retail Nodes Concentrate commercial activity at strategic transit intersections to create walkable, high -impact clusters.
INITIATIVE 4. ACTIVATE STRATEGIC LAND AND SITES
Optimize Beaumont's developable acreage and sphere of influence by aligning land -use policies with market demand to create a diverse, high -value tax base.
4.1 4.3
4.4 Permitting Collaborate closely with Beaumont Planning, Building & Safety, and Riverside County (when applicable) staff to modernize permitting processes that are challenging for small businesses to navigate.
MIilleAatiuui. Execute a proactive and logical annexation strategy for unincorporated areas and strategic parcels.
Redevelopment & Mixed Use Revitalize underutilized parcels, particularly within the downtown area, and promote the development of integrated residential and commercial areas.
Land Bankin. Establish a working group to study the needs and opportunities for creating a land banking program that facilitates the acquisition, management, and redevelopment of underutilized properties in downtown Beaumont.
Infrastructure Prioritize the expansion of essential utility capacity and regional traffic interchanges.
INITIATIVE 5. ENHANCE QUALITY OF PLACE
Elevate Beaumont's appeal by investing in the physical and social assets that preserve the small-town character while creating vibrant neighborhoods where people want to live, visit, and interact. w
Build Beaumont to be an overnight destination by increasing unique local dining, specialty retail, and heritage venues and sites across the City.
Curate a calendar of high -quality, family -oriented community events that build upon Beaumont's traditions and encourage repeat foot traffic to business districts and downtown.
5.3 Outdoor Recreation. Improve and connect Beaumont's park systems, trails, and green spaces to provide accessible, high -quality leisure opportunities for all residents.
Invest in the design and maintenance of third place —such as plazas, libraries, pocket parks, and community spaces —that foster social connection and enhance quality of place.
INITIATIVE 6. PROMOTE AND POSITION BEAUMONT
Build a City brand by communicating the tangible benefits of economic development to residents, investors, and regional partners.
6.1 Public Relations Share Beaumont's value proposition and community pride through consistent storytelling that highlights local business success.
Communication. Maintain transparent, two-way dialogue with residents and stakeholders to clearly articulate the value of economic development and share business success stories.
Tiont Attrii tinn Position Beaumont as the Inland Empire's premier destination for high -quality housing and safe neighborhoods.
IMPLEMENTATION MATRIX - SAMPLE EXCERPT
SUPPORTING
STRATEGIC INITIATIVES PARTNER(S)
SUGGESTED
TIMELINE FOR ACTION
0-6 6-12 1-3 3-5 REQUIRED
months months years years PRIORITY RESOURCES
ONGOING
INITIATIVE 1: BUSINESS RETENTION AND EXPANSION (BRE)
Strategy 1.1. Business Visits. Establish a structured outreach program of one-on-one site visits to build personal relationships with local business leaders and identify immediate needs.
1.1.1. Use subscription -based or publicly available data sources to identify traded sector businesses in Beaumont and tailor outreach efforts citywide.
1.1.2. Schedule and execute at least 50 formal business retention visits annually, ensuring the City's top 20 sales tax producers, major employers, and companies in Beaumont's target sectors are prioritized.
1.1.3. Structure business visits to achieve specified outcomes. The first visit should include an overview of regional economic development services, workforce development needs and programs, supply chain needs, and a discussion of the business's challenges and opportunities. Follow-up visits should be focused and project oriented.
1.1.4. Maintain a standardized site visit interview form to capture data on workforce needs, expansion plans, and regulatory hurdles.
Strategy 1.2. Data, Research, and Tracking. Implement a centralized customer relationship management (CRM) system to track business interactions and measure impact.
1.2.1. Launch a centralized CRM database to log all business interactions, site visits, and support requests to ensure all Beaumont businesses are served.
Strategy 1.3. Business Survey. Conduct annual industry -specific surveys to capture longitudinal data on the local business climate and identify emerging economic trends.
1.3.1. Develop and distribute a citywide digital survey targeting local businesses to gather input on operating conditions, including key challenges, barriers to growth, and factors contributing to business success.
1.3.2. Analyze results to identify common pain points, assess overall business sentiment, and inform targeted policy, program, and service improvements that strengthen the local business environment.
Strategy 1.4. Business Transition and Succession Planning. Support the long-term stability of Beaumont businesses by assisting legacy business owners with retirement or ownership transitions.
1.4.1. Utilize partner organizations to deliver workshops or training on succession planning via the Pass Area Business Hub (Biz Hub) for business owners nearing retirement. Partner with local businesses, such as accounting and legal services, to offer resources and guidance.
1.4.2. Maintain a business -for -sale list to connect retiring owners with aspiring local entrepreneurs. age o
QUESTIONS?
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BEAUMONT
-CALIFORNIA-
Staff Report
TO: Honorable Mayor and Members of the City Council
FROM: Steven D. Jones, Community Development Director
DATE: August 4, 2026
SUBJECT: Consideration of a Second Amendment to the Placeworks, Inc.
Professional Services Agreement
Description: Professional Services Agreement for on -call planning and environmental services associated with potential "golden triangle" annexation efforts.
Motion:
If the City Council determines that staff's recommendation is appropriate, the following motion is provided:
I move to approve a second amendment to the Professional Services Agreement with PlaceWorks, Inc., increasing the contract by $106,000 for additional environmental planning services.
Recommendation:
Staff recommends the City Council approve a second amendment to the Professional Services Agreement with PlaceWorks, Inc., authorizing an increase in the not- to- exceed amount, updated rates, and an extended term to provide additional consultant services necessary for environmental review, a General Plan amendment, pre- zoning, a plan of services, and preparation of a Riverside LAFCO annexation application.
Discussion:
On October 21, 2025, the City Council adopted a resolution (attached) directing staff to initiate annexation proceedings, in coordination with the Riverside Local Agency Formation Commission (LAFCO), for an approximately 78 -acre area adjoining Cherry Valley Boulevard east of the I-10 freeway.
To further advance this effort, the City must prepare a comprehensive package of materials including environmental documentation, a General Plan amendment,
pre- zoning actions, a plan of services, and the annexation application required by LAFCO. PlaceWorks, Inc. currently provides professional planning and environmental services to support this work under an existing agreement.
The scale and detail of the annexation package require additional consultant support beyond the scope of the existing contract. In addition, preparation for future LAFCO meetings and the development of supporting materials for City review necessitate funding authorization for associated work activities.
The second amendment to the Professional Services Agreement with PlaceWorks, Inc. would increase the contract's not -to -exceed amount by $106,000, adjust certain pay rates, and extend the term. These services are required to complete the necessary city actions under the Cortese -Knox -Hertzberg Act.
The City will need to assemble a complete annexation package, including environmental documentation, a General Plan amendment, pre -zoning actions, a plan of services, and the formal LAFCO annexation application. PlaceWorks, Inc. is already providing professional planning and environmental support for this effort under an existing agreement. Based on the scope and typical LAFCO processing requirements, preparation of these materials is expected to take approximately 3 to 6 months before the application is ready for submittal.
Environmental Review
Approval of this funding and contractual amendment is not a project under CEQA as defined in Section 15378(b)(4), involving only the creation of government funding and administrative agreements. Environmental review of the annexation will be completed separately as part of the CEQA analysis prepared by PlaceWorks.
Approval of the second amendment to the PlaceWorks agreement would provide the City with the necessary resources to prepare for annexation review and LAFCO coordination.
Fiscal Impact:
Adoption actions require approval for authorization of a $106,000 purchase order increase and an increase to the PlaceWorks, Inc. contract not- to- exceed amount.
Funds have been identified and are available in the applicable department budget for FY 2026- 27.
Alternatives:
N/A
Attachments:
A. Second Amendment to Agreement for Professional Services with Placeworks Inc B. Exhibit A for Second Amendment to Agreement for Professional Services with Placeworks Inc
AMENDMENT NO. 2 TO THE PROFESSIONAL SERVICES AGREEMENT (C23- 39) ON -CALL PLANNING & ENVIRONMENTAL SERVICES BY AND BETWEEN CITY OF BEAUMONT AND PLACEWORKS, INC.
THIS AMENDMENT NO. 2 TO THE PROFESSIONAL SERVICES AGREEMENT FOR SERVICES ("Amendment No. 2") by and between the CITY OF BEAUMONT ("City") and Placeworks, Inc., ("Consultant") is effective as of this day:
RECITALS
A. City and Consultant entered into that certain Contract dated May 16, 2023 for the purpose of providing On -Call Planning & Environmental Services ("Agreement"), as approved by City Council on May 16, 2023.
B. City and Consultant now desire to amend the Agreement to extend the Term of the Agreement to December 31, 2027, adjust certain pay rates, and establish an annual not -to -exceed threshold for the Consultant.
The Parties therefore agree follows:
1. Amended Terms. The Agreement is hereby amended as follows:
1.1 The parties agree to establish an annual not -to -exceed amount of Two Hundred Forty -Six Thousand Dollars ($246,000.00). Services shall continue to be billed and paid at the rates set forth in the proposal.
1.2 Revised Rate Schedule. Effective August 4, 2025, and continuing through the extended Term of the Agreement ending December 31, 2027, the compensation rates for Consultant's personnel and services shall be adjusted as follows:
i The hourly bill rates for the positions identified in Exhibit A — Golden Triangle Annexation Proposal are hereby amended to the rates set forth in Table 4. Placeworks 2026 Standard Fee Schedule, attached and incorporated herein by reference.
ii All services performed on or after the effective date of this Amendment shall be billed at the amended rates without further action by either Party. 1 No Other Changes to Compensation. Except as expressly modified in this Amendment, all other provisions related to compensation, invoicing, and payment procedures in the original Agreement shall remain in full force and effect. The Parties acknowledge that the adjusted rates represent the sole authorized changes to compensation under this Amendment.
2 Compliance With Applicable Law. Consultant warrants that the amended rates comply with all applicable federal, state, and local laws and regulations governing professional service compensation.
3 Consultant further agrees that no additional fees, surcharges, or pass -through costs may be charged unless expressly authorized in writing by the City.
1.3 The Term of the Agreement, as set forth in Section 3.4 of the Agreement, is hereby extended through December 31, 2027, unless sooner terminated or extended as provided in the Agreement.
2. Miscellaneous Provisions
2.1 Continued Effect of Agreement. Except as amended by this Amendment No. 2, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment No. 2, whenever the term "Agreement" appears in the Agreement, it shall mean the Agreement, as amended by Amendment No. 2. In the event of a conflict between the provisions of this Amendment No. 2 and the provisions of the Agreement or Amendment No. 1, the provisions of this Amendment No. 2 shall control.
2.2 Consideration for Amendment. The parties hereby agree that they have each received adequate and independent consideration for the modifications to the Agreement set forth in this Amendment No. 2.
2.3 Authority. The persons executing this Amendment No. 2 on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 2 on behalf of said party, (iii) by so executing this Amendment No. 2, such party is formally bound to the provisions of this Amendment No. 2, and (iv) entering into this Amendment No. 2 does not violate any provision of any other agreement to which said party is bound.
2.4 Counterparts. This Amendment No. 2 may be signed in any number of counterparts, each of which will be an original, but all of which together will constitute one instrument.
2.5 Electronic Signatures. Each Party may adopt as its signature an electronic identification consisting of a symbol or code that is affixed to or contained in each document transmitted by such Party ("electronic signature"). The Parties hereto herby agree that electronic signatures are acceptable, shall have the same force and effect under the law as original wet signatures, and shall be sufficient to verify that the Parties have executed this Agreement and such other documents transmitted by the Parties.
[SIGNATURE PAGE FOLLOWS]
The Parties are signing this Amendment No. 2 on the date stated in the introductory clause.
CITY OF BEAUMONT CONSULTANT
NAME:
TITLE:
NAME: Randal W. Jackson
TITLE: President
City Council Approval: NAME: Kara L Kosel
TITLE: CFO
ATTEST:
Nicole Wheelwright,
Deputy City Clerk
APPROVED AS TO FORM:
Slovak, Baron, Empey, Murphy & Pinkney
LLP
John O. Pinkney
City Attorney
NOTE: PROOF OF AUTHORITY TO BIND CONTRACTING PARTY REQUIRED. APPROPRIATE
ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS, ARTICLES OF
INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULTANT'S BUSINESS ENTITY.
Exhibit A to the Second Amendment to Agreement for Professional Services with Placeworks, Inc.
PLACEWORKS
June 25, 2026
Steven D. Jones
Community Development Director
CITY OF BEAUMONT
550 E. Sixth Street
Beaumont, CA 92223
Subject: Golden Triangle Annexation Proposal
Transmitted via Email: [email protected]
Dear Steven:
Thank you for the opportunity to submit this proposal. PlaceWorks is pleased to assist the City of Beaumont with the work needed to annex the Golden Triangle and submit a complete application to Riverside County LAFCO by the November 2026 deadline. This proposal describes our understanding of the project, scope of services, schedule, and fee.
Understanding of the Project
The City seeks to annex the Golden Triangle, an area long associated with Beaumont but outside the City's General Plan and Sphere of Influence. Calimesa is pursuing annexation north of Cherry Valley Boulevard and has been asked to include this area to avoid creating an island; Beaumont would like to incorporate it instead.
To apply to Riverside County LAFCO, the City must amend its General Plan, prezone the area to match the land use designations, and complete CEQA review. Although the area is small and does not require a fiscal impact analysis per LAFCO procedures, the Sphere of Influence amendment may require an update to the City's Municipal Services Review (MSR), and the act of prezoning will require a limited public services review that the City can readily complete.
Because the process also involves discussions with Cherry Valley residents and an update to the San Gorgonio Municipal Advisory Council, the project must move quickly to meet the November 2026 submittal deadline.
This scope covers the City -controlled work needed to support the schedule —the General Plan Amendment, Prezoning, and CEQA review —and distinguishes it from annexation steps that depend on others. Success will require close coordination with LAFCO and Riverside County. LAFCO will confirm the annexation boundaries and determine whether an MSR update is needed, and the County will need to agree to a property tax sharing agreement. PlaceWorks will assist with these related efforts but cannot guarantee their timing or outcome.
3 MacArthur Place, Suite 1100 I Santa Ana, California 92707 1714.966.9220 I PlaceWorks.com
PLACEWORKS
PROJECT TEAM AND ASSUMPTIONS
As you would expect with a project of this type, several tasks must be completed concurrently rather than sequentially. To help with this we will have two Associate Planners, Holi Safran (planning) and Emma Haines (CECA), assist the Principal in Charge, Malia Durand, in preparing work products. Mark Teague, AICP, will be the overall director and provide his guidance and knowledge throughout the process.
For purposes of this scope, the work tasks are presented in the general order in which they must be completed. There will be substantial overlap in preparation, and not all the information will be available at the same time. Fortunately, the amount of actual writing is minimal, and we can use technology to make edits in real time.
In all the following, PlaceWorks will provide draft documents in Microsoft Word format and will provide edits in track changes/comments. We assume we will have access to the City's GIS for preparation of all maps and that the Public Works Department can help us with information needed for the Plan of Services.
Though in -person meetings are valuable, they can be hard to schedule with a large group and inefficient with travel time. The timeline shows in -person meetings at key times, and other meetings are virtual. We can, of course, modify this as needed to meet the needs of the project. What follows are the major milestones.
1. General Plan Amendment. This is scoped in two parts. The first part is to prepare a stand-alone amendment document that can be attached to the resolution amending the General Plan. The amendment document will revise text and general plan maps to reflect the new area. This will remain stand-alone until the area is annexed to the City.
The second part, following the annexation, will be to amend the General Plan so that all the changes are incorporated. This is a much larger task and is only necessary if the project is successful.
PlaceWorks will provide the stand-alone amendment document and all revised graphics using the City's GIS. This scope assumes that we can use the City's GIS and not create new mapping layers. If we need to provide GIS support to the City we can discuss the scope/fee for that at the kick-off meeting.
2. Prezoning. Prior to drafting the prezone ordinance, we will need to discuss the most efficient method of zoning. The City zones come close to the existing County zones, but they don't match exactly. (We are looking for as close to a match as possible to avoid complicating the environmental review process.) This means that some existing use types will not be part of the new zone district. PlaceWorks will provide a zoning comparison and lead a discussion with staff on the best path forward. There are several options, including simply using City zoning (easiest) or creating specialized zoning (like a specific plan), or copying and adopting the existing County zones (more intensive). We can accommodate either approach within the timeline; however, the final decision would benefit from input from the property owners. Note that per the Government Code, the City is prohibited from changing any prezoning for a period of two years after completion of the annexation, so what we decide is important in the short term. The intended development types will also be a factor in the property tax sharing negotiations with Riverside County.
June 25, 20261 Page 2
PLACEWORKS
PlaceWorks will draft the prezoning ordinance and associated mapping from the City's GIS. The prezoning will be consistent with the revised General Plan and reviewed together. We will work with the City Attorney to ensure that the format of the ordinance is acceptable.
3. LAFCO Application. The application requires considerable information but should begin with a discussion with LAFCO regarding the boundaries of the annexation. Once we have the boundaries, a legal description will need to be prepared meeting their standards. Our scope assumes that the City Engineer, or a surveyor they are comfortable with, will provide the legal description. We do not need the formal legal description until we are ready to file the formal application at the end of October.
PlaceWorks will coordinate with others to obtain the information for the application. PlaceWorks will also draft the resolution of application required by the City Council that will direct staff to file the request.
LAFCO last amended the City's Municipal Services Review (MSR) in 2017. The MSR typically follows a five-year cycle, and a current MSR is typically needed whenever the sphere of influence (SOI) changes. Because this site lies outside the SOI, LAFCO may require the City to update the MSR.
However, given the small size of the project area —and the fact that LAFCO itself is requesting the annexation to avoid creating an island—LAFCO may waive a formal update in this case. If it does not, the MSR revision must be completed before LAFCO will act on the annexation. Much of the needed content, such as the plan for services, will already have been generated by this project, though a full update would also require additional financial summaries. Because LAFCO may waive the full update, an MSR update is not included in this scope. PlaceWorks has done several MSRs and can easily provide a scope and fee to updating the document should LAFCO make it a requirement.
4. Stakeholders and Service Providers. Both the LAFCO application and the environmental analysis will need to include a plan for services. This moves beyond the basics such as water and sewer, and includes power, storm drainage, road maintenance, police, fire, etc. Prepared as a stand-alone discussion, the plan for services can be short and easy to complete. However, if the plan needs to support a full MSR update, we'll need to include financial data and projections generated by working with the City. We have scoped a "light" version of a plan for services because the area is small and the service providers obvious. PlaceWorks will draft the plan for services, in coordination with the Public Works Department, as a stand-alone document for review by the City. We'II incorporate the results of the plan into both the environmental analysis and the application to LAFCO.
The primary stakeholders will be the property owners. Ideally, they are in favor of the annexation and will sign the application and avoid the need for a protest hearing. The property owners are likely to have questions about future development potential that we'll need to address. We also need to keep the San Gorgonio Municipal Advisory Council (MAC) up to date on the process.
PlaceWorks will prepare for and attend the MAC meeting on August 20th to provide information about the project and to answer questions. We recommend that the City also hold an advertised meeting at City Hall to allow the public to ask questions about the annexation. This public meeting can be informal with basic meeting materials. Finally, the property owners should be notified of the intended changes to their property and the annexation process. We've had success simply sending a certified letter to the owners and following up with a phone call to obtain any input. Alternatively, we can schedule an owner -only meeting to answer their questions directly. PlaceWorks has scoped for June 25, 2026 Page 3
PLACEWORKS
three in -person meetings: MAC, Public, Property Owner. PlaceWorks can prepare the meeting materials and facilitate the meeting, or we can support City staff with materials.
5. CEQA Compliance. There are several ways that compliance can be obtained. One example would be to ask the City of Calimesa if we can use their Initial Study to cover our proposed action. The CEQA Guidelines allow for this, but it might not provide us with the coverage in the timeline we need. The City of Calimesa does not estimate any growth or change to this area, which means there is no analysis in the IS/MND for this property. A supplemental or subsequent EIR will take some time to complete, and without a development proposal would not be of much future value. Instead, we recommend an Addendum to the General Plan EIR to cover this project area. PlaceWorks will identify which areas of the EIR will need to change to support inclusion of the project and, following the questions in CEQA Guidelines Section 15162, determine whether any impacts will be "new significant environmental effects or a substantial increase in the severity of previously identified significant effects." Given that the zoning will be designed to minimize change from the existing potential and that this is a relatively small site with conventional zoning and uses, we do not anticipate new impacts or a substantial increase in the severity.
PlaceWorks will provide an Admin Draft of the Addendum for review by the City. After one round of review, PlaceWorks will prepare the public draft Addendum for attachment to the Staff Report for the Planning Commission.
6. Meetings and Support Materials. PlaceWorks will help draft the staff report to accompany the general plan amendment, prezoning, and LAFCO application. This task also includes the kick-off meeting and time for regular check -in and coordination with the City, meetings with LAFCO, and briefings as appropriate. PlaceWorks will prepare the staff report and PowerPoint for City review.
PlaceWorks can also draft public notices as required for the GPA and Prezoning for the City to publish.
June 25, 2026 Page 4
PLACEWORKS
Table 1. Deliverables Summary
Major Task
Deliverables Meetings
General Plan Amendment
Prezoning
LAFCO Application
Plan for Services
Municipal Services Review
(MSR)
Community Engagement
(In -Person)
CEQA Compliance
Meetings & Support
Materials
• Stand-alone GPA amendment document
(text), attached to the amending
resolution
• Revised General Plan maps and graphics
(City GIS)
• Full GPA incorporation after annexation
(only if the project is successful)
• Zoning comparison
• Prezoning ordinance
• Zoning maps (City GIS)
• Completed LAFCO application
• Coordination of the legal description
(prepared by the City Engineer or surveyor)
Stand-alone plan for services (light version),
prepared with Public Works and
incorporated into the EIR Addendum and the
LAFCO application
Not included in this scope; PlaceWorks can
provide a scope and fee for an update if
LAFCO requires one
• Meeting materials
• Property owner notification
• Follow-up calls (if needed)
• Admin draft Addendum
• Public draft Addendum
• Staff report
• Public notices
• Resolution of annexation
• PPT for meetings
Kick-off meeting (confirm GIS
support and scope)
Staff discussion on the
preferred zoning approach
Boundary discussion with
LAFCO
• MAC meeting: August 20
• Public meeting at City Hall
• Property owner meeting
• Planning Commission (Sept)
• City Council (Oct)
June 25, 20261 Page 5
PLACEWORKS
Proposed Schedule
The dates shown below in Table 2, Proposal Schedule, are approximate and can be affected by external factors beyond the City's direct control. However, to generate the schedule we backed into the November submittal date to the Riverside County Local Agency Formation Commission (LAFCO).
Table 2. Proposed Schedule
Milestone
Approximate Date
Proposal Due Date
Friday, June 26, 2026
NTP/KO Meeting
Wednesday, July 1, 2026
Draft Project Description
Thursday, July 9, 2026
Staff Review
Monday, July 13, 2026
Tribal Consultation SB 18
Thursday, July 16, 2026
Property Owner Meeting
Thursday, July 16, 2026
Information to MAC for Meeting
Friday, July 17, 2026
GPA and Zone Text (Draft)
Monday, July 20, 2026
Plan for Services
Friday, July 24, 2026
Draft Addendum
Friday, July 24, 2026
Staff Review
Friday, August 7, 2026
20 Day Notice to Paper for Commission
Friday, August 14, 2026
MAC Meeting
Thursday, August 20, 2026
Planning Commission Staff Report
Monday, August 24, 2026
Staff Review
Monday, August 31, 2026
Agenda Packet for PC
Friday, September 4, 2026
Planning Commission Hearing
Wednesday, September 9, 2026
Notice for City Council Meeting
Wednesday, September 23, 2026
Conclude Tribal Consultation
Tuesday, September 29, 2026
City Council 1st Meeting
Tuesday, October 6, 2026
City Council 2nd Reading
Tuesday, October 20, 2026
File Application with LAFCO
Thursday, October 22, 2026
Essential but out of Direct City Control
Need By
LAFCO Annexation Boundary
Friday, August 14, 2026
Property Tax Sharing Agreement
Thursday, October 22, 2026
Municipal Services Review
Thursday, October 22, 2026
June 25, 2026 Page 6
PLACEWORKS
The graphic below illustrates the milestones and key items associated with meeting this task.
GOLDEN TRIANGLE ANNEXATION:
ROADMAP TO NOVEMBER 2026
Rapid execution of planning, environmental, and application tasks to incorporate the Golden Triangle area into the City of Beaumont, preventing a jurisdictional island and meeting the November 2026 submittal deadline.
THE 5 STRATEGIC PHASES
PHASE 1: GENERAL PLAN
AMENDMENT & PHASE 2:
PREZONING
Creating stand-alone documents
and ordinances to align the project
area with City standards.
PHASE 3:
CEQA COMPLIANCE
(EIR ADDENDUM)
Using an Addendum to the
General Plan EIR to streamline
environmental review.
PHASE 4: SERVICES PLAN
& PHASE 5: LAFCO
APPLICATION
Coordinating with stakeholders and
Public Works to file a complete
application by October.
•
JULY 2026:
KICKOFF AND
OUTREACH
Project begins July 1, tribal
and property owner
meetings July 16.
JULY 24, 2026:
DRAFT PLAN
FOR SERVICES &
CEQA ADDENDUM
COMPLETED
AUGUST &
SEPTEMBER 2026:
REVIEWS AND
HEARINGS
LAFCO boundary confirmation
(Aug 14) leads into MAC and
Planning Commission
hearings.
AUG 20, 2026:
SAN GORGONIO
MUNICIPAL ADVISORY
COUNCIL (MAC)
MEETING
Property tax sharing agreement and possible
MSR update are outside the City's direct control
and will affect the schedule
SEPT 9, 2026:
PLANNING
COMMISSION
PUBLIC HEARING
OCTOBER 2026:
FINAL APPROVALS
AND FILING
City Council hearings conclude
Oct 20, with the LAFCO application
filed Oct 22.
OCT 6 & 20, 2026:
CITY COUNCIL HEARINGS
(1ST AND 2ND READINGS)
NOVEMBER 2026:
LAFCO APPLICATION
SUBMITTAL DEADLINE
AlIntaheinlel
Cost Estimate
Table 3. Summary Fee By Task
Task
Total Hours
PlaceWorks Fee
Task 1. General Plan Amendment
68 $13,180
Task 2. Prezoning
32 $6,860
Task 3. LAFCO Application
52 $11,700
Task 4. Stakeholders and Service Providers
50 $12,860
Task 5. CEQA Compliance
100
$19,820
Task 6. Meetings and Support Materials
134
$40,960
Expenses
$1,500
Total
436
$106,880
June 25, 20261 Page 7
PLACEWORKS
Table 4. PlaceWorks 2026 Standard Fee Schedule
STAFF LEVEL
HOURLY BILL RATE
Principal
$210—$345
Associate Principal
$220—$295
Senior Associate II
$200—$280
Senior Associate I
$160—$240
Associate II
$165—$210
Associate I
$150—$195
Project Planner
$125—$185
Planner
$90—$165
Graphics Specialist
$90—$175
Administrator
$145—$250
Clerical/Word Processing/Technical Editor
$75—$175
Intern
$80—$135
Subconsultants are billed at cost pBus 104. Mileage reimbursement rate is the standard IRS -approved rate. Possible yearly increase of 5% on bill rates. 2026_StdFeeSch_2026_01-20
Acknowledgment
This proposal shall remain valid for a period of 90 days from the time of submittal. As a Principal, I am authorized to bind the team to the contents of this submittal. Please contact me at 858.776.5574 or [email protected] with any questions.
We look forward to working with you to bring about the successful completion of this project.
Respectfully submitted,
PLACEWORKS
Mark Tea icp
Principal, Land Use and Environmental Strategies
June 25, 2026 Page 8
RESOLUTION NO. 2025-53
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BEAUMONT, CALIFORNIA, INITIATING PROCEEDINGS TO ANNEX 78.48 ACRES OF
UNINCORPORATED RIVERSIDE COUNTY TO THE CITY OF BEAUMONT AND
DIRECTING PREPARATION OF A PLAN OF SERVICES AND ENVIRONMENTAL REVIEW
WHEREAS, the City of Beaumont seeks to promote orderly growth, efficient service delivery, and economic development consistent with its adopted General Plan; and WHEREAS, 78.48 acres of unincorporated territory in Riverside County, contiguous to the City's municipal boundary, is largely unimproved except for the Bonafide Truck and Equipment Repair facility situated on the west half of the potential project property area, fallow agricultural land, a billboard and wireless communication facility both adjacent to the Interstate 10 (I-10) Redlands Freeway; and
WHEREAS, annexation of said territory would allow for consistent application of City zoning, building, and public safety standards, and provide improved municipal services; and WHEREAS, the California Government Code and Cortese -Knox -Hertzberg Local Government Reorganization Act of 2000 require the preparation of a Plan of Services and environmental review prior to Local Area Formation Commission (LAFCO) consideration of any annexation proposal; and
WHEREAS, annexation of the area would facilitate implementation of gateway elements at the Interstate 10 (I-10) exit at Cherry Valley Boulevard identified in the general plan; and WHEREAS, the City Council finds it in the public interest to initiate annexation proceedings and commission the necessary studies to facilitate submittal of an annexation application to Riverside LAFCO.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT AS FOLLOWS:
1. The Council finds that the above recitals are true and correct and incorporates them herein by this reference.
2. Annexation Activity Initiation. The City Council hereby initiates proceedings to annex approximately 80 acres of unincorporated Riverside County territory into the City of Beaumont.
3. Administrative Direction. The City Manager, or designee, is authorized to take all necessary actions to implement this resolution, including providing public notices to inform residents and businesses of these amendments.
4. Upon completion of the required studies, the City Manager, or designee, shall submit the annexation application and supporting documentation to Riverside LAFCO for consideration.
5. Effective Date
This Resolution shall take effect immediately upon its adoption.
MOVED, PASSED, and ADOPTED this 21st day of October 2025, by the following vote:
AYES: Fenn, Martinez, White, Voigt, Lara
NOES:
ABSTAIN:
ABSENT:
ATTEST:
By:
Nic e Wheelwright, C. C er
City o Beaumont
By: