Dublin City Council
September 17, 2024

NOW, THEREFORE, BE IT RESOLVED that the foregoing recitals are true and correct and made a part of this Resolution.

BE IT FURTHER RESOLVED that the City of Dublin Planning Commission recommends that the City Council certify the Final EIR and adopt required CEQA Findings for the Hexcel Redevelopment Project.

BE IT FURTHER RESOLVED that the Planning Commission recommends that the City Council adopt an Ordinance attached as Exhibit A approving a Planned Development Zoning District with a Stage 1 and Stage 2 Development Plan based on findings, as set forth in Exhibit A.

BE IT FURTHER RESOLVED that the Planning Commission recommends that the City Council approve a Resolution attached as Exhibit B approving the Site Development Review Permit and Heritage Tree Removal Permit, based on findings and conditions of approval, as set forth in Exhibit B.

PASSED, APPROVED, AND ADOPTED this 12th day of December 2023 by the following vote:
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Reso. No. 23-11, Item 6.1, Adopted 12/12/2023 Page 3 of 3 AYES:

NOES:

ABSENT:

ABSTAIN:

ATTEST:
______________________________
Planning Commission Chair
____________________________
Assistant Community Development Director
Grier, Wright
Aini,Thalblum,Tyler
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STAFF REPORT

CITY COUNCIL

Agenda Item 6.1
DATE: March 19, 2024
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Hexcel Redevelopment (PLPA-2022-00038)
Prepared by: Gaspare Annibale, Associate Planner
EXECUTIVE SUMMARY:

The City Council will consider the Hexcel Redevelopment project, which includes the redevelopment of an 8.81-acre site located at 11711 Dublin Boulevard. The project would demolish the existing 62,175-square-foot Hexcel research and development building and construct a new 125,304-square-foot light industrial building to appeal to advanced manufacturing and life science uses with 217 parking stalls and related site improvements.

Requested approvals include a Planned Development Rezone with a related Stage 1 and Stage 2 Development Plan, Site Development Review Permit, and Heritage Tree Removal Permit. The City Council will also consider certification of the Final Environmental Impact Report.

STAFF RECOMMENDATION:

Conduct a public hearing, deliberate, and take the following actions: 1) adopt the Resolution Certifying an Environmental Impact Report and Adopting Environmental Impact Findings, Findings Regarding Alternatives, a Statement of Overriding Considerations and a Mitigation Monitoring and Reporting Program for the Hexcel Redevelopment Project; 2) waive the reading and INTRODUCE the Ordinance Amending the Zoning Map and Approving a Planned Development Zoning District with Stage 1 and Stage 2 Development Plan for the Hexcel Redevelopment Project; and 3) adopt the Resolution Approving a Site Development Review Permit and Heritage Tree Removal Permit for the Hexcel Redevelopment Project.

FINANCIAL IMPACT:

The cost associated with processing the project application is borne by the Applicant.

Attachment 12
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DESCRIPTION:

Background
Overton Moore Properties is proposing to demolish the existing 62,175-square-foot Hexcel research and development building located 11711 Dublin Boulevard and construct a new 125,304-square-foot light industrial building to appeal to advanced manufacturing and life science uses. The project site includes two parcels totaling 8.81 acres and is located in the Dublin Village Historic Area Specific Plan (Figure 1). Please refer to Table 1 below for surrounding uses. The project site has a General Plan land use designation of Business Park/Industrial and one half of the site is zoned Planned Development (Alameda County Ordinance No. 80-60) and the other half is zoned M-1 (Light Industrial).

Figure 1. Project Location
Table 1. Surrounding Land Uses
Location Zoning General Plan Land Use Current Use of the Property
North Single Family
Residential (R-1) &
Commercial Office (CO)
Single Family
Residential &
Retail/Office
Single
Family/Briarhill
Cabana Club & Dublin
Office Building
South I-580 I-580 I-580
East Retail Commercial (C1) & Agriculture (A)Parks/Public Recreation
U.S. Bank Branch,
Dublin Heritage Park
and Museums, and
Dublin Pioneer
Cemetery
West Planned Development
(PD)
Retail/Office DeSilva Gates Office
Buildings
On July 10, 1980, the Alameda County Board of Supervisors adopted Ordinance No. 80-60, which rezoned the western half of the project site and the two commercial properties west of the project site Light Industrial to Planned Development (PD). The PD zoning allows for Commercial Office 835

(C-O) with some uses requiring a conditional use permit, such as a research and development laboratory. But the PD zoning does not permit the light industrial/warehousing uses being proposed.

On August 1, 2006, the City Council adopted the Dublin Village Historic Area Specific Plan (Resolution No. 149-06). The Specific Plan provides guidelines for future development within the area to be sensitive to its historic past and to preserve and enhance the area's historical, cultural, and archaeological resources.

Proposed Project
The proposed project would redevelop Parcel 1 of the project site by demolishing the existing 62,175-square-foot Hexcel research and development building and constructing a new 125,304- square-foot, light industrial, concrete tilt-up building designed to appeal to advanced manufacturing and life science uses. Parcel 2, which is undeveloped and contains dense riparian vegetation, mature trees, and a portion of Dublin Creek, is not proposed for development.

The proposed building would include 18,000 square feet of office, 30,000 square feet of light industrial, and 77,304 square feet of warehouse (accessory to the light industrial). There would be 119,304 square feet on the ground floor and 6,000 square feet of mezzanine office space on the second floor. The proposed building could accommodate up to four tenants, with each unit providing office space and loading docks. The project would construct new site improvements including a new trash enclosure, 217 on-site parking spaces, and associated site, frontage, and landscape improvements. There are 89 existing trees on Parcel 1, of which 65 trees would be removed, including one of four Heritage trees. Refer to Figure 2 for the proposed site plan and Attachment 9 for the Project Plans. Requested approvals include a PD Rezone Stage 1 and Stage 2 Development Plan, Site Development Review Permit and Heritage Tree Removal Permit. 836

Figure 2. Proposed Site Plan
Analysis
Planned Development Rezone
To accommodate the proposed project, the applicant has requested a PD Rezone with a related Stage 1 and Stage 2 Development Plan. Dublin Municipal Code (DMC) Chapter 8.32 establishes the intent, purpose and requirements of PD zoning districts. The proposed PD would establish a detailed Development Plan for the site, including permitted and conditionally permitted uses, the overall development density and intensity (e.g., floor area ratio, building height, setbacks, etc.), parking requirements, and design guidelines. “Industrial-Light” and “Office – Professional/Administrative” uses as defined by the Dublin Zoning Ordinance would be the only uses allowed by the PD on Parcel 1. Warehouse and Distribution uses involving heavy truck traffic are not permitted. No development would be allowed on Parcel 2. Table 2 provides an overview of the proposed development standards for the project. The Ordinance providing the details of the proposed PD zoning district is included as Attachment 7. 837

Table 2. Development Standards
Floor Area Ratio 0.33
Maximum Building Height 40 feet
Maximum Lot Coverage 31%
Parking Spaces Office: Up to 7,500 square feet, 1 per 250 square feet; 7,501 to 40,000 square feet, 1 per
300 square feet
Industrial – Light: 1 per 400 square feet of
general purpose area, plus 1 per 1,000 square
feet of warehouse or distribution area
Parking Stall Dimension Standards Per Dublin Municipal Code Chapter 8.76 (OffStreet Parking and Loading Regulations) Minimum Setbacks 10’ front (along Dublin Boulevard)
10’ side (along west and east property lines)
20’ rear (along south property line)
Signs Per to Dublin Municipal Code Chapter 8.84
(Sign Regulations)
Site Development Review Permit
The following is a summary of key components of the project associated with the Site Development Review Permit.

Site Design and Access: The project site would be accessed from two existing driveways on Dublin Boulevard. The main driveway is located at the intersection of Dublin Boulevard and Hansen Drive and the secondary driveway is located at the northeastern corner of the project site (east of Hansen Drive adjacent to the U.S. Bank Branch entrance). Both driveways would provide access to all parking areas on-site and to the loading docks at the rear of the building. The loading docks would be screened from public view on Dublin Boulevard by the building and from the I-580 by new and existing landscaping on the south side of the project site. The project site also provides access to the adjacent office buildings to the west.

The existing sidewalk along the property frontage would be extended into the project site and provide direct access to an outdoor seating area at the main building entrance. This would create a strong relationship between the street and the building and enhance the project’s connectivity to the surrounding area.

Architecture: The project’s architectural style utilizes a contemporary design approach with muted taupe and earth tones to soften the building and allow it to blend more naturally with the landscape and color schemes commonly used in the vernacular of the late 19th century buildings in the Dublin Village Historic Area Specific Plan. The exterior employs simple details with clean lines in keeping with the simple shapes used on the historic buildings and mimicking the historic wood siding used on adjacent projects. The massing of the building is broken up using reveals, paint color changes and articulation, allowing the scale to visually appear pedestrian-oriented.

This is further enhanced with pronounced trellis awnings along the windows and contrast color 838

blocking at the roofline.

At the tenant locations and in the mezzanine areas, windows and glazing reflect a stronger vertical orientation with simple frames. The building would have two-story glazing at the proposed office spaces on the north, east and northwestern elevations, primarily along Dublin Boulevard, maximizing natural light into the office and mezzanine spaces and providing distinct office entrances for multiple tenants. Additionally, the stone monument and lighting standards reflect a similar design employed in other areas of the Historic Area. Refer to Figure 3 for the proposed building perspective.

Figure 3. Proposed Building Perspective
Landscaping: The project site would provide approximately 99,106 square feet of new landscape area, including a new parking lot, site perimeter, building façade, and bio-retention landscaping.

Approximately 14,350 square feet of landscaping would be provided within the parking lot, 15,390 square feet would be provided along the perimeter of the project site, 6,680 square feet would be incorporated into the walkways and outdoor seating area, and 13,936 square feet provided within the bio-retention areas at the north, southeastern and western portions of the project site. The remaining landscape square footage includes existing landscaping that is to remain. Existing landscaping west of the main driveway and new landscaping east of the main driveway would provide a landscape buffer along Dublin Boulevard to help soften the project frontage. Furthermore, along the southern boundary of the project site, all existing landscaping would remain within Parcel 2, which provides a buffer from the I-580 and helps soften the project design at the rear of the building.

The landscape plan features a low water usage plant palette, including a variety of drought tolerant trees, shrubs and ground cover to provide visual interest in texture and color while conserving natural resources. Native plants are utilized to encourage biodiversity in conjunction with the existing riparian vegetation and Dublin Creek on Parcel 2. New plant screening that matches the plant pallet found in the Historic Area is provided in the setback along Dublin 839

Boulevard to minimize any undesirable visual impacts. Refer to Figure 4 for the proposed plant pallet.

Figure 4. Proposed Plant Pallet
The landscape edge along the eastern property line provides for new shrubbery and trees to screen the project from the adjacent properties. The existing landscaping on the adjacent property to the east would provide a visual separation between the project site and the U.S. Bank Branch, Dublin Heritage Park and Museums and Pioneer Cemetery. Refer to Figure 5 for the proposed building perspective view from the Dublin Pioneer Cemetery. A condition of approval has been provided to ensure this landscaping is protected during grading/ construction activities. Large shade trees would be provided within the parking lot to provide a cooler environment, and reduce urban heat island effect. The landscape design preserves the existing Heritage trees on-site and incorporates them into the site design.
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Figure 5. Proposed Building Perspective View from Dublin Pioneer Cemetery There are 89 existing trees on Parcel 1, of which 65 trees are proposed to be removed, including one of the four Heritage Trees as further discussed below. A total of 85 trees would be planted on Parcel 1. On Parcel 2, there are 108 trees, including 19 Heritage Trees, all of which would be preserved.

Heritage Tree Removal Permit
A Heritage Tree Removal Permit is required for any oak, bay, cypress, maple, redwood, buckeye and sycamore tree with a trunk or main stem 24 inches or greater in diameter measured four feet six inches above natural grade. There are four Heritage Trees on Parcel 1 and 19 on parcel 2 for a total of 23 heritage trees. One of the four Heritage Trees on Parcel 1 is proposed to be removed.

That tree is a sycamore tree measuring 28.2 inches in diameter, which conflicts with the location of the proposed building. The Arborist Report is included as Attachment 10.

CONSISTENCY WITH THE GENERAL PLAN, SPECIFIC PLAN AND ZONING ORDINANCE:

The proposed project is consistent with the General Plan and Dublin Village Historic Area Specific Plan. The proposed project would provide space for light industrial uses that would cater to advanced manufacturing and life science tenants consistent with the Business/Industrial land use designation. Warehouse and distribution uses that would involve heavy truck traffic are not permitted. The proposed floor-area ratio (FAR) of 0.33 is within the FAR of 0.30 to 0.40 allowed in the Business Park/Industrial land use designation.
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The Dublin Village Specific Plan provides discretion in applying various provisions in the design guidelines to specific projects. It is not anticipated that each guideline will apply equally to every project. In some cases, one or more of the guidelines may be relaxed to facilitate compliance with a more important or appropriate guideline for that project. In reviewing the proposed project, staff believes the intent and spirit of the design guidelines have been followed and the project respects its surroundings and honors the heritage and desired character of the area while balancing the economic development benefits this project would bring to Dublin.

ENVIRONMENTAL DETERMINATION:

Pursuant to the requirements of the California Environmental Quality Act (CEQA), the City prepared an Environmental Impact Report (EIR) for the proposed project. On May 15, 2023, the City issued a Notice of Preparation for an EIR and held a public scoping meeting on May 25, 2023.

The City received three letters regarding the scope of the EIR. Subsequently, a Draft EIR was prepared for the proposed project and circulated for a 45-day public review period from August 21, 2023, to October 5, 2023. The City received three comment letters during the public review period. In addition, a fourth letter was received after the public review period. Responses have been prepared for each of the comments received by the City. The Draft EIR, comments and associated responses, and changes and clarifications to the Draft EIR constitute the Final EIR (Attachment 2).

The environmental document prepared for the project is a Focused EIR that evaluates potential impacts of a limited number of environmental issue areas that the City determined to be significant (CEQA Guidelines Section 15063(c)(3)). After preparation of an Initial Study (Appendix A of Draft EIR, Attachment 6), the City determined that the proposed project would have significant or potentially significant impacts in the following topic areas that require further analysis and are, therefore, discussed in the Draft EIR:
 Air Quality
 Biological Resources
 Cultural Resources*
 Energy
 Geology and Soils
 Hazards and Hazardous Materials
 Tribal Cultural Resources
The Draft EIR concludes that the proposed project would have a significant and unavoidable impact on Cultural Resources (noted above with *). The remaining topic areas have mitigation measures that have been prepared to reduce impacts in these areas to a level that is less than significant.

The information and analysis presented in the Initial Study provides substantial evidence for the conclusion, for all the topic areas listed below, that: 1) CEQA standards triggering preparation of further environmental review do not exist for those topics; and 2) impacts under these topics would result in no impact or be less than significant.
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 Aesthetics
 Agricultural and Forestry Resources
 Greenhouse Gas Emissions
 Hydrology and Water Quality
 Land Use and Planning
 Mineral Resources
 Noise
 Population and Housing
 Public Services
 Recreation
 Transportation
 Utilities and Service Systems
 Wildfire
There were no impacts identified for the topic area listed above and, therefore, no mitigation is required. An overview of all topic areas is provided below.

Aesthetics
There were no potentially significant impacts identified for aesthetics and, therefore, no mitigation is required.

Agricultural and Forestry Resources
There were no potentially significant impacts identified for agricultural and forestry resources and, therefore, no mitigation is required.

Air Quality
Demolition activities and construction of the proposed project would involve the use of offroad equipment, haul trucks, and worker commute trips that would generate short-term criteria air pollutant emissions. Operation of the proposed project would generate long-term emissions associated with daily employee vehicle trips, building energy consumption, reapplication of architectural coatings, use of consumer products, and maintenance/testing of the fire pump. However, construction-related emissions of the proposed project would not exceed the thresholds of significance recommended by the Bay Area Air Quality Management District (BAAQMD). The proposed project would implement BAAQMD’s Basic Construction Mitigation Measures as noted in Mitigation Measure AQ-1 and be subject to BAAQMD Rules and Regulations for controlling fugitive dust emissions, which would reduce fugitive dust emissions during demolition and construction. Further, the proposed project would result in a net reduction of emissions compared to existing conditions and would not exceed BAAQMD thresholds of significance. The proposed project would not conflict with or obstruct implementation of the applicable air quality plan, and construction and operation of the proposed project would not result in a cumulatively considerable net increase of any criteria pollutant for which the region is non-attainment under an applicable federal or state ambient air quality standard. Therefore, this impact would be less than significant with mitigation.
843

Biological Resources
The project would involve the removal of approximately 65 trees which could be used by birds during the nesting season. If a tree containing an active nest were to be removed during construction, such removal would result in nest destruction and failure. Due to this potential for loss of nests and due to potential disturbance of nesting birds from noise and vibration during project construction, the impact to nesting birds would be potentially significant. However, nesting bird avoidance measures would be implemented as a mitigation measure to protect nesting birds; therefore, impacts to candidate, sensitive, or special status species would be reduced to less than significant with mitigation.

Further, the riparian corridor associated with Dublin Creek on Parcel 2 could be used as foraging habitat for common bats. As such, trees that would be removed as part of the project outside of riparian areas may provide suitable day or night roosting habitat for bat species. Given the availability of alternative natural habitat for hibernaculum in the vicinity of the project and based on planned tree replacement, impacts on the habitat for bats are not expected to be significant.

However, if construction were to remove trees containing bats during the maternity or winter season, bat mortality could occur, and the impact on common bat species would be potentially significant. Implementation of roosting bat surveys and avoidance as a mitigation measure would ensure that impacts to wildlife movement, migration, or nursery sites would be reduced to less than significant with mitigation.

Cultural Resources
A historical resource evaluation was prepared for the existing Hexcel research and development building to assess its eligibility for listing in the California Register of Historical Resources (CRHR).

The building was determined to be eligible for listing in the CRHR under Criterion 1 because it is significant at the national level for its associations within the Man in Space historic context published by the National Park Service and is, therefore, considered a historical resource for the purposes of CEQA.

The significance of a historical resource is considered to be “materially impaired” when a project demolishes or materially alters the physical characteristics that justify the determination of a historical resources’ significance. Because the proposed project would result in the demolition of the existing Hexcel building, the impact would be significant and unavoidable.

CEQA requires that all feasible mitigation must be completed even if it does not mitigate project impacts below a level of significance. Therefore, the following mitigation measures would still be implemented as part of the project, even though they would not fully offset the loss of the resource, and the impact would remain significant and unavoidable:
 Historic American Buildings Survey (HABS) Recordation: applicant shall document the Hexcel Corporation R&D facility prior to demolition consisting of a historical report and photographs.
 Interpretive Displays: applicant shall install permanent interpretive displays or signage as prepared by an architectural historian for public exhibition detailing the history and 844

significance of the Hexcel Corporation R&D facility.

Further, based on the existence of archeological resources within and adjacent to the project area, there is a high probability of encountering historic-period archeological resources during ground disturbance at the project site, particularly within those portions of the property closest to St.

Raymond's Church and Pioneer Cemetery, and a high probability of identifying Native American archeological resources, particularly within a 150-meter (493 foot) corridor centered on Dublin Creek. The possibility of encountering buried archaeological resources in the project area outside of the High Archeological Probability Area remains a concern as well, and per the mitigation measures in the Dublin Village Historic Area Specific Plan and associated Initial Study/Mitigated Negative Declaration, requires mitigation to avoid adverse impact. Therefore, the project would be required to implement archaeological and tribal monitoring and produce an archaeological testing plan and treatment and monitoring plan prior to the start of construction. Inadvertent discovery protocols would also be implemented should precontact or historic-age resources be discovered.

Together these mitigation measures would reduce the potential impact on archeological and buried resources to less than significant with mitigation.

Energy
The proposed construction activities would increase energy consumption for the duration of project construction in the form of fossil fuels (e.g., gasoline, diesel fuel). However, the operation of the proposed project would result in a net reduction in energy consumption, primarily related to improved building energy standards and eliminating natural gas infrastructure. Energy consumption associated with the construction and operation of the proposed project would not be inefficient, wasteful, or unnecessary with the implementation of basic construction emission control practices per the air quality mitigation measures. Therefore, this impact would be less than significant with mitigation.

Geology and Soils
The project site is composed of artificial fill to depths ranging from 1.5 - 5 feet, with native Contra Costa Group sediments below the fill. Most grading and earthmoving activities at the project site would extend to a maximum depth of two to three feet below the ground surface and, therefore, would generally be confined to the artificial fill material, which is not paleontologically sensitive.

However, in areas where the artificial fill only extends to 1.5 feet, excavation and grading would encounter the native Contra Costa Group materials, which are of high paleontological sensitivity.

Furthermore, excavation to a maximum depth of approximately twelve feet would occur at the proposed on-site stormwater drainage pumps, which would also encounter the paleontologically sensitive Contra Costa Group materials. Therefore, project-related earthmoving activities could result in accidental damage to or destruction of unique paleontological resources, and this impact would be potentially significant. To minimize the potential for destruction of or damage to previously unknown unique, scientifically important paleontological resources during earthmoving activities at the project site, the applicant would be required to retain a qualified archaeologist or paleontologist to provide the necessary information to all construction personnel regarding the procedure for encountering fossil fuels. Construction work would immediately cease within 150 feet of the find and a recovery plan would be developed to record and undergo appropriate curation. Therefore, with the implementation of these mitigation measures construction-related impacts to unique paleontological resources would be less than significant 845

with mitigation.

Greenhouse Gas Emissions
There were no potentially significant impacts identified for greenhouse gas emissions and, therefore, no mitigation is required.

Hazards and Hazardous Materials
It has been recommended that a subsurface investigation be completed in the vicinity of the onsite areas for chemical use, storage, and handling to assess whether a release occurred in the past.

If soil or groundwater has been previously contaminated at levels that exceed regulatory thresholds, this would represent a significant human health and environmental hazard because excavation work would be required during construction that could release these hazardous materials. Furthermore, demolition of the existing building could expose workers and the environment to hazardous materials such as lead paint and/or asbestos.

Therefore, these construction-related impacts are considered potentially significant and require mitigation. Prior to earthmoving activities, a Phase II Environmental Site Assessment must be completed and the building must be sampled for lead paint and/or asbestos. With the implementation of these mitigation measures, potential construction-related impacts from accidental exposure to hazardous materials would be less than significant with mitigation.

Hydrology and Water Quality
There were no potentially significant impacts identified for hydrology and water quality and, therefore, no mitigation is required.

Land Use Planning
There were no potentially significant impacts identified for land use planning and, therefore, no mitigation is required.

Mineral Resources
There were no potentially significant impacts identified for mineral resources and, therefore, no mitigation is required.

Noise
There were no potentially significant impacts identified for noise and, therefore, no mitigation is required.

Population and Housing
There were no potentially significant impacts identified for population and housing and, therefore, no mitigation is required.

Public Services
There were no potentially significant impacts identified for public services and, therefore, no mitigation is required.

Recreation
There were no potentially significant impacts identified for recreation and, therefore, no 846

mitigation is required.

Transportation
There were no potentially significant impacts identified for transportation and, therefore, no mitigation is required.

Tribal Cultural Resources
The proposed project would include excavation of the parking lot to the south of the existing Hexcel building, which is adjacent to the marked boundary of the Pioneer Cemetery. Marked grave sites in the cemetery are within five feet of the property line shared with the project site. Historic documents suggest that the cemetery was larger than the currently marked boundary.

Additionally, there is anecdotal evidence that the cemetery location was first used by the Ohlone and may also include burials of Native American and Mexican farm laborers who worked for Jose Maria Amador, interred prior to formal consecration of the cemetery in 1859. It is likely that the cemetery extends beneath the Hexcel parking lot, and possible that the cemetery includes Native American human remains. If so, the impact on tribal cultural resources would be potentially significant during earthmoving and excavation activities. Inadvertent/unanticipated discovery protocols would be implemented, ensuring tribal cultural resources encountered during construction would be treated in a culturally appropriate manner in consultation with Tribal Representatives and, therefore, the impact on tribal cultural resources would be less than significant with mitigation.

Utilities and Service Systems
There were no potentially significant impacts identified for utilities and service systems and, therefore, no mitigation is required.

Wildfire
There were no potentially significant impacts identified for wildfire and, therefore, no mitigation is required.

The City Council resolution certifying the Final Environmental Impact Report is included as Attachment 1. To approve the project, the City Council must make findings regarding significant impacts and mitigation measures (Attachment 3), findings concerning infeasibility of alternatives and potential additional mitigation measures (Attachment 4), and will need to adopt a Statement of Overriding Considerations (SOC) (Attachment 5) that identifies all environmental impacts that cannot be mitigated and explains why the benefits of the project outweigh its unavoidable environmental impacts. The Mitigation Monitoring and Reporting Program is included as Attachment 6. The SOC is required in order to approve the project, if desired by a majority of the City Council.

PLANNING COMMISSION REVIEW:

On December 12, 2023, the Planning Commission held a public hearing to consider the proposed project. Two members of the public addressed the Commission regarding the project. After closing the public hearing and deliberating, the Planning Commission voted 3-2 to recommend approval of the Hexcel Redevelopment Project and adopted Resolution No. 23-11 (Attachment 11). In their 847

motion, the Planning Commission recommended that the Applicant consider incorporating more design elements found in the Dublin Village Historic Area Specific Plan area.

Since the Planning Commission meeting, the Applicant has made the following changes to the project plans to address the Commission’s comments:
 Revised building colors to include muted earth tones to soften the building allowing it to blend more naturally with the landscape and the color schemes used on buildings in the Historic Area.
 Modified the windows and glazing to reflect a stronger vertical orientation with simple frames in keeping with the Historic Area.
 Provided more pronounced trellis awnings along windows.  Added a contrast color at the top of the building to reduce the massing.  Integrated stone monumentation within the landscape area near the front of the building, which is similar to what can be found in the Historic Area.  Incorporated light standards that reflect a similar design employed in other areas of the Historic Area.
 Matched the plant pallet found in the Historic Area along the project frontage.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

Two City-led Community Meetings were held on October 25 and 26, 2023, to provide Dublin residents with information about the proposed Hexcel Redevelopment project. Staff provided a presentation that included an overview of the City’s development review process and the proposed project. Questions were asked about the project’s impact on infrastructure capacity and the general contractor that would be used for the project. Comments were also provided regarding the EIR and project design.

In accordance with State law, a public notice was mailed to all property owners and occupants within 300 feet of the proposed project to advertise the project and upcoming public hearing. A public notice was also published in the East Bay Times and posted at several locations throughout the City. A Planning Application sign was posted on the project site and the project was also included on the City’s Development Projects webpage. A copy of this Staff Report has been provided to the applicant.

ATTACHMENTS:
1) Attachment 1 – Resolution Certifying an Environmental Impact Report and Adopting Environmental Impact Findings, Findings Regarding Alternatives, a Statement of Overriding Considerations and a Mitigation Monitoring and Reporting Program for the Hexcel Redevelopment Project
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2) Attachment 2 – Exhibit A to the Resolution – Final Environmental Impact Report 3) Attachment 3 – Exhibit B to the Resolution – Findings Concerning Significant Impacts and Mitigation Measures
4) Attachment 4 – Exhibit C to the Resolution – Findings Concerning Infeasibility of Alternatives and Potential Additional Mitigation Measures
5) Attachment 5 – Exhibit D to the Resolution – Statement of Overriding Considerations 6) Attachment 6 – Exhibit E to the Resolution – Mitigation Monitoring and Reporting Program 7) Attachment 7 – Ordinance Amending the Zoning Map and Approving a Planned Development Zoning District with Stage 1 and Stage 2 Development Plan for the Hexcel Redevelopment Project
8) Attachment 8 – Resolution Approving a Site Development Review Permit and Heritage Tree Removal Permit for the Hexcel Redevelopment Project
9) Attachment 9 – Exhibit A to the Resolution – Hexcel Redevelopment Project Plans 10) Attachment 10 – Arborist Report
11) Attachment 11 – Planning Commission Resolution No. 23-11 849
Hexcel Redevelopment
City Council Meeting
September 17, 2024
850
Background
• Hexcel Redevelopment project proposes redevelopment of an 8.81- acre site located at 11711 Dublin Boulevard
• Project would demolish the existing 62,175-square-foot Hexcel research and development building and construct a new 125,532- square-foot light industrial building
• On March 19, 2024, City Council held a Public Hearing to consider project
• City Council continued project to a date uncertain and directed the applicant to modify the project design
851
Response to Comments
• The applicant has made the following changes to the project to address City Council’s comments and concerns:
– Revised paint color, materials and articulation
– Added channel canopies and black trim around windows
– Incorporated wood fencing element at entrance to tie with Heritage Park – Refined landscape plan to match existing landscape around Heritage Park – Added more trees and shrubbery along northern and eastern site boundaries
– Relocated stone monument commemorative plaque to northeast corner of site for better visibility
852
Revised Project Design – Building Perspective
853
Revised Project Design –
Dublin Boulevard Frontage Landscaping
854
Revised Project Design –
Parking Lot Landscaping
855
Revised Landscape Plan
856
Revised Project Design –
Landscape View from Cemetery
857
Revised Project Design –View from I-580
858
Environmental Review
• Environmental Impact Report (EIR) prepared for project • Draft EIR circulated from August 21, 2023 – October 5, 2023 – Draft EIR, comments and associated responses, and changes and clarifications to Draft EIR constitute the Final EIR
• Potential environmental impacts:
o Air Quality
o Biological Resources
o Tribal Cultural Resources
o Energy
o Geology and Soils
o Hazards and Hazardous Materials
o Cultural Resources*
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Recommendation
Conduct a public hearing, deliberate, and take the following actions:
• Adopt the Resolution Certifying an Environmental Impact Report and Adopting Environmental Impact Findings, Findings Regarding Alternatives, a Statement of Overriding Considerations and a Mitigation Monitoring and Reporting Program
• Waive the reading and INTRODUCE the Ordinance Amending the Zoning Map and Approving a Planned Development Zoning District with Stage 1 and Stage 2 Development Plan
• Adopt the Resolution Approving a Site Development Review Permit and Heritage Tree Removal Permit
860
Hexcel Redevelopment
City Council Meeting
September 17, 2024
861
September 17, 2024
SB 343
Senate Bill 343 mandates supplemental materials
that have been received by the City Clerk’s office that relate to an agenda item after the agenda packets
have been distributed to the City Council be available
to the public.

The attached documents were received in the City
Clerk’s office after distribution of the September 17,
2024, Regular City Council meeting agenda packet.

Item 6.1
862
CITY MANAGER’S OFFICE

MEMORANDUM
DATE: September 17, 2024
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Item 6.1: Hexcel Redevelopment (PLPA-2022-00038) The September 17, 2024, City Council Meeting includes the Hexcel Redevelopment project which includes a proposed Planned Development Rezone with a related Stage 1 and Stage 2 Development Plan, Site Development Review Permit, Heritage Tree Removal Permit, and certification of the Final Environmental Impact Report.

After the agenda was posted, it was discovered that two pages in the Hexcel Redevelopment Project landscape plans are incorrect (Sheet L1.1 on page 24 and L1.2 on page 25). The correct landscape plan pages have been incorporated into Attachment 9 – Exhibit A to the Resolution – Hexcel Redevelopment Project Plans. The two correct pages are attached here. 863

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PRELIMINARY LANDSCAPE PLAN
SCALE: 1" = 30'
LANDSCAPE CALCULATIONS:

L1.1

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PLAN

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PERENNIALS

EVERGREEN SCREENING SHRUBS

WATER EFFICIENT LANDSCAPE REQUIREMENTS

BIO-RETENTION PLANTING
MULCHES MATCHLINE SEE SHEET L1.2
Project:

Consultants:

Project Number:

Revision:

Date:

Drawn by:

Title:

Sheet:

C I V I L

STRUCTURAL

MECHANICAL

PLUMBING

ELECTRICAL

LANDSCAPE

SOILS ENGINEER

FIRE PROTECTION
RJA
-
-
-
- Green Design
-
-
Developer
tel: 949 862 2113
email: [email protected]
94610
oakland, ca
600 grand ave, suite 302
hpa, inc.

BH
1464 Popinjay Drive
Reno, NV.
email: [email protected]
p: 775 829 1364
11711
DUBLIN BLVD.

DUBLIN, CA
21657
08/18/2022
19700 Vermont Ave. Suite 101
Torance, CA 90502
DUBLIN

BOULEVARD
OWNER,
LP
COMMENTS 1-26-23
COMMENTS 4-12-23
COMMENTS 11-3-23
REVISED 1-31-24
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C I V I L

STRUCTURAL

MECHANICAL

PLUMBING

ELECTRICAL

LANDSCAPE

SOILS ENGINEER

FIRE PROTECTION
RJA
-
-
-
- Green Design
-
-
Developer
tel: 949 862 2113
email: [email protected]
94610
oakland, ca
600 grand ave, suite 302
hpa, inc.

BH
1464 Popinjay Drive
Reno, NV.
email: [email protected]
p: 775 829 1364
11711
DUBLIN BLVD.

DUBLIN, CA
21657
08/18/2022
19700 Vermont Ave. Suite 101
Torance, CA 90502
DUBLIN

BOULEVARD
OWNER,
LP
COMMENTS 1-26-23
COMMENTS 4-12-23
COMMENTS 11-3-23
REVISED 1-31-24
REVISED 6-10-24

PRELIMINARY
DUBLIN BLVD.

HYDROZONE
SYM. NO. BOTANICAL NAME COMMON NAME SIZE WATER REGIME MATURE HABIT H X W

PLANT LIST
CA. NATIVE

GRASSES

DROUGHT TOLERANT SHRUBS

PERENNIALS

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865

STAFF REPORT

CITY COUNCIL

Agenda Item 7.1
DATE: September 17, 2024
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Draft Economic Development Strategy
Prepared by: Rhonda Franklin, Management Analyst II
EXECUTIVE SUMMARY:

The City Council will review the draft Economic Development Strategy.

STAFF RECOMMENDATION:

Review and provide direction on the draft Economic Development Strategy.

FINANCIAL IMPACT:

None.

DESCRIPTION:

On September 5, 2023, the City Council approved an agreement with Strategic Economics, Inc. (the Consultant), to update the Economic Development Strategy and General Plan Economic Development Element (Project) which was originally developed and approved by the City Council in 2012.

Since then, Staff and the Consultant have made significant progress on the Project including the following key activities:
 Organizing and conducting focus group meetings with members of the City Council, Staff, property owners/managers and brokers, regional agencies, business owners/managers, developers, and other stakeholders;
 Developing and conducting online surveys with the business community and the community at large;
 Gathering data relative to the Project; and
 Analyzing information from the focus group meetings, surveys, and other sources to 866

determine Dublin’s strengths, weaknesses, opportunities, and threats.

On May 21, 2024, the City Council received a presentation from the Consultant on the Economic Development Strategy Framework, which served to provide an initial review and discussion on the overarching recommendations, goals, objectives, strategies, and priorities for the Project. The City Council provided feedback on the Framework which has been incorporated into the draft Strategy, including:
 Advocating for a full-service hotel;
 Enhancing small business support and communication;
 Incorporating life sciences as a focus for new industry in addition to biomedical; and  Enhancing business engagement and outreach.

The Consultant received the feedback provided by the City Council and developed the draft Strategy (Attachment 1) and associated Implementation Matrix (Attachment 2). The Consultant will provide a presentation on these, which includes the proposal of seven goals.  Goal 1 – Innovation Growth
Grow businesses and employment in innovation-oriented and professional services industries matching Dublin’s strengths and opportunities—especially computer technology, professional services, biomedical devices, and other R&D/advanced manufacturing—through business attraction and marketing programs.  Goal 2 – Promote Infill Investment
Promote infill development and reinvestment in older retail, office, and industrial areas— including establishing Downtown Dublin as a vibrant community gathering space with a mix of modern employment, housing, retail, dining, and entertainment uses serving residents and workers.
 Goal 3 – Greenfield Development
Ensure development of major greenfield opportunity sites with modern commercial and light industrial employment uses by supporting infrastructure needs and reducing cost barriers.
 Goal 4 – Retail Vitality
Sustain and strengthen the health of Dublin’s shopping, dining, and entertainment businesses through strategic planning and promotional efforts.  Goal 5 – Hospitality Expansion
Work with regional agencies to expand and highlight Dublin’s potential as a regional hotel and hospitality destination through hotel attraction efforts and advocacy for attracting a multiuse venue to Dublin.
 Goal 6 – Small Business Support
Strengthen startup and growth opportunities for small businesses by pursuing improvements to City processes and maintaining and marketing supportive services and programs.
867

 Goal 7 – Workforce Opportunities
Enhance Dublin’s workforce support and development systems to create opportunities for all members of the workforce through collaboration with regional organizations.

Commercial Vacancy Tax Program Summary
During the discussion of the Project at the May 21, 2024 City Council meeting, the City Council requested a summary of commercial vacancy tax programs, covering potential benefits and drawbacks, along with examples of cities where these programs have succeeded or failed.

Research finds that a commercial vacancy tax (or fee) could be applied as a flat amount, percentage, or on an assessed value basis. Implementing the program as a tax would require placing a measure on the ballot for voter approval. It could also be implemented as a fee, essentially a method of recovering costs associated with administering the program.

The benefits of a commercial vacancy tax or fee could include the creation of a financial incentive for property owners to actively lease their spaces, thereby enhancing local economic activity and revitalizing commercial areas. The drawbacks would include increasing costs for property owners, which could be passed on to tenants or could deter investment in applicable areas, and City resources (i.e. additional staff and financial expenses).

Table 1 below lists the two Bay Area cities that currently have a commercial vacancy tax and a brief overview of their respective programs.

Table 1. Summary of Bay Area Cities with a Vacancy Tax Program City
Tax
or
Fee
Commercial Property Type Vacancy
Definition
Program
Implemented
Oakland Tax
 Nonresidential (Tax Rate: $6,000 per
parcel)
 Parcel with ground floor commercial
activity allowed but vacant (Tax Rate:
$3,000 per parcel)
 Undeveloped (Tax Rate: $6,000 per
parcel)
In use less than
50 days in a
calendar year
2019
San
Francisco Tax
Ground floor of any portion of a building
or structure where the ground floor is:
 Adjacent or tangent to a public
right of way
 Located in a specific commercial
district
 Is not residential real estate
(Tax rate: $250-$500 per linear foot of
Unoccupied,
uninhabited, or
unused for
more than 182
days whether
consecutive or
nonconsecutive
in a tax year
2024
868

frontage for taxable commercial space)
An Oakland City Council Staff Report dated June 26, 2024 shows that the overall number of parcels assessed, since the vacancy tax was implemented, declined during the first three tax years (2019- 2021), but increased by approximately 20 percent from tax year 2021 to 2022.

The commercial vacancy tax for San Francisco went into effect January 1, 2024, and therefore not enough data yet exists to determine whether the program has successfully met the intended outcomes.

Other California cities in which a commercial vacancy tax or fee was considered, but did not receive enough support to move forward, were:
 Richmond – the City Council decided to look at alternative methods.  West Hollywood – the City Council was not in favor of a ballot measure.  San Marino – the ballot measure for specified vacant commercial and residential properties did not receive the two-thirds vote required for the approval.

In the cases of Oakland and San Francisco, it is important to note that both municipalities are charter cities, are highly urbanized, and have population densities greater than Dublin. Ultimately, Staff would not recommend a commercial vacancy tax (or fee) for Dublin given the administrative burden, unintended consequences, and financial strain on landowners. Staff regularly receives inquiries requesting information on lease availabilities, and property managers/landowners are eager to lease spaces quickly.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) Draft Economic Development Strategy
2) Draft Economic Development Strategy Implementation Matrix 869

CITY OF DUBLIN ECONOMIC

DEVELOPMENT STRATEGY AND

IMPLEMENTATION ACTIONS

PUBLIC DRAFT
Prepared for:

City of Dublin
September 17, 2024
Attachment 1
870

TABLE OF CONTENTS
TABLE OF CONTENTS ............................................................................................................................. 0 Table of Figures....................................................................................................................................1 ACKNOWLEDGMENTS ............................................................................................................................ 2 EXECUTIVE SUMMARY .................................................................................................................... 3 INTRODUCTION ............................................................................................................................... 7 SUMMARY OF “SWOT” CONCLUSIONS ....................................................................................... 9 COMMUNITY AND BUSINESS SURVEY FINDINGS .................................................................... 16 CHANGES AND PROGRESS SINCE THE 2012 ECONOMIC DEVELOPMENT STRATEGY ............... 17 GOALS, STRATEGIES, AND IMPLEMENTATION ACTIONS.......................................................... 19 Goal 1: Innovation Growth......................................................................................................... 20 Goal 2: Promote Infill Investment ............................................................................................. 23 Goal 3: Greenfield Development............................................................................................... 26 Goal 4: Retail Vitality.................................................................................................................. 29 Goal 5: Hospitality Expansion.................................................................................................... 30 Goal 6: Small Business Support................................................................................................ 32 Goal 7: Workforce Opportunities............................................................................................... 35 ECONOMIC PERFORMANCE INDICATORS ................................................................................ 37 APPENDICES ............................................................................................................................ 38 871
City of Dublin Economic Development Strategy and Implementation Actions 1 Table of Figures
Figure 1: Jobs By Industry Sector in Dublin, 2023 ....................................................................................9 Figure 2: Total Population of Tri-Valley Cities, 2000 to 2022................................................................ 10 Figure 3: Job Growth by Industry Sector in Dublin and the Tri-Valley, 2016 to 2023 .......................... 11 Figure 4: Office and Industrial Inventory in Dublin and Other Tri-Valley Communities, Square Feet, 2023 ................................................................................................................................................................... 12 Figure 5: Dublin Educational Attainment for the Population 25 Years and Over, 2010 and 2021 .... 13 Figure 6: Dublin Shopping Centers.......................................................................................................... 14 Figure 7: Race in Dublin, 2000 - 2021.................................................................................................... 15 Figure 8: Online Survey Major Findings................................................................................................... 16 Figure 9: Review of the 2012 City of Dublin Economic Development Strategy: Priorities, Goals, and Implementation Status ............................................................................................................................. 17 Figure 10: GOAL 1 - Innovation Growth Implementation Matrix ............................................................ 22 Figure 11: GOAL 2 - Infill Investment Implementation Matrix................................................................ 25 Figure 12: GOAL 3 - Greenfield Development Implementation Matrix .................................................. 28 Figure 13: GOAL 4 - Retail Vitality Implementation Matrix ..................................................................... 30 Figure 14: GOAL 5 - Hospitality Expansion Implementation Matrix ....................................................... 31 Figure 15: GOAL 6 - Small Business Support Implementation Matrix................................................... 33 Figure 16: GOAL 7 - Workforce Opportunities Implementation Matrix .................................................. 36 872
City of Dublin Economic Development Strategy and Implementation Actions 2

ACKNOWLEDGMENTS
City Council
Michael McCorriston Councilmember, Mayor
Sherry Hu Councilmember, Vice Mayor
Jean Josey Councilmember
Kashef Qaadri
Janine Thalblum
Councilmember
Councilmember
Melissa Hernandez Former Mayor

Focus Group Participants
Lesleigh Alderman Jeanette Lema, Hively
Stephen Baiter, EBEDA Nancy Mangold, East Bay SBDC
Cindy Bannister, Orchard Commercial Katie Marcel, Innovation Tri-Valley Jeff Birnbaum, CBRE Charles Martinez, Vestar
Kelly Bowers, Three Valley’s Community Foundation Lydia Moore, Fresh Millions Michael Carrigg, Colliers Karen Nguyen, Karen Nguyen - Skincare and Lashes Joe Castorena, Dogtopia Jaimie Orfanos, Alameda County
Julia Duncan, Tri-Valley ROP Larry Plisskin, Pharmor Realty Cindy Eszlinger, James Allyn Printing Co. Wil Ridder, Valley Link Tracy Farhad, Visit Tri-Valley Tim Sbranti, Innovation Tri-Valley Matt Garrett, Lawrence Livermore National Lab Angela Season, KeyPoint Credit Union Diane Halden, Colliers John Sechser, TRI Commercial
Frank Hanna, Twisted Pair Inc. Kelly Shiffer, DWS Group Shawn Hardy, Hines Mike Smith, Lee and Associates
Taz Harvey, Dublin Honda and Mazda Stephanie and Wendy, Three Sheets Craft Beer Bar Rick Hearn, Vestar Carol Therien, Retail Pacific
Yu Ji, Avant Anti-Aging Sandra Weck, Colliers
Steve Kau, CPA Sawsan Wolski, Dublin Arts Collective
Veena Kaul, Kensington Laboratories

Online Survey Participants
Many thanks to the numerous Dublin community members and businesses who shared their experiences and perspectives on this project through the online survey.

City Staff
Linda Smith, City Manager
Colleen Tribby, Assistant City Manager
Hazel Wetherford, Deputy City Manager
William McDonald, Fire Chief
Nate Schmidt, Police Chief
Andrew Russell, Public Works Director
Jeff Baker, Community Development Director
Neda Zayer, Assistant Community Development Director
Felicia Escover, Economic Development Manager
Crystal De Castro, Senior Planner
Rhonda Franklin, Management Analyst II
873
City of Dublin Economic Development Strategy and Implementation Actions 3

EXECUTIVE SUMMARY
The Dublin Economic Development Strategy is an implementation-focused plan that prioritizes and guides the City of Dublin’s economic development activities for the next five to seven years. The Strategy primarily focuses on goals and strategies that the Office of Economic Development will implement with assistance from other City departments and outside partners or organizations.

The Economic Development Strategy incorporates technical analysis findings, results of stakeholder engagement, and input from City decisionmakers and staff. The conclusions of these efforts identify Dublin’s competitive advantages and opportunities and led to the creation of strategies and actions that best support Dublin’s long term economic development.

The Economic Development strategies and implementation actions are grouped into seven goals that support Dublin’s overall economic vitality. The seven goals are identified below, along with the strategies that the City of Dublin will implement to achieve the goals.

Goal 1: Innovation Growth. Grow businesses and employment in innovation-oriented and professional services industries matching Dublin’s strengths and opportunities—especially computer technology, professional services, biomedical devices, and other R&D/advanced manufacturing— through business attraction and marketing programs.

Historically, Dublin’s economy focused more heavily on household-serving uses, government jobs, and a few larger headquarters, regional offices, and manufacturing/R&D facilities. The City is now poised to pivot toward more aggressive business and job growth in innovation-oriented industries.

Attraction of these industries is made possible by Dublin’s larger and highly educated population, mix of infill development opportunities at land with existing uses or buildings, greenfield development opportunities on vacant land, and longstanding assets such as accessibility via BART and I-680/I-580 and location within the dynamic Tri-Valley market area.

The proposed strategies include:
• Adjusting outreach and engagement to focus on high-priority industry opportunities, and • Establishing a business-friendly brand unique to Dublin’s economic development efforts targeted to the noted industries and activities.

Goal 2: Promote Infill Investment. Promote infill development and reinvestment in older retail, office, and industrial areas—including establishing Downtown Dublin as a vibrant community gathering space with a mix of modern employment, housing, retail, dining, and entertainment uses serving residents and workers.

Dublin includes commercial and industrial developments that are now several decades old and positioned to benefit from reinvestment, modernization, or transformational change. These changes will enable Dublin to better compete for innovation-oriented businesses in the industries specified in Goal 1, create a community gathering space in Downtown Dublin, and attract modern retail, dining, recreation, and entertainment amenities.

The strategies focus on supporting four locations with significant potential:
874
City of Dublin Economic Development Strategy and Implementation Actions 4 • Investing in Downtown Dublin as an innovation district and a vibrant mixed-use community,
• Exploring opportunities with the Hacienda Crossings shopping center ownership to support reinvestment, tenant attraction, reducing barriers to diversifying uses, and revisioning of the center, and • Determining the functionality and relevance of existing industrial buildings for manufacturing, R&D, and construction businesses—especially at Sierra Court Industrial area.

Goal 3: Greenfield Development. Ensure development of major greenfield opportunity sites with modern commercial and light industrial employment uses by supporting infrastructure needs and reducing cost barriers.

Dublin’s undeveloped “greenfield” sites represent major opportunities for attracting commercial and light industrial development. The Fallon East Economic Development Zone—located east of Fallon Road and north of I-580—is an opportunity to attract development of modern facilities that meet the needs of tenants in innovation-oriented industries. The Dublin Centre project could potentially provide a second downtown-like community gathering space southeast of Tassajara Road and Dublin Boulevard. Undeveloped properties owned by Alameda County east of the Dublin/Pleasanton BART station could accommodate transit-oriented development, including “Campus Office” employment uses specified for these properties in the Eastern Dublin Specific Plan. An adjacent property east of Arnold Road, currently owned by IKEA, could potentially accommodate a variety of commercial uses.

The following strategies focus on prioritizing greenfield sites to ensure future growth supports the economic development needs of Dublin:
• Prioritizing the Fallon East Economic Development Zone as a key district for attracting R&D, biomedical, office, manufacturing and other light industrial uses, • Supporting the Dublin Centre Project’s commercial component as a modern mixed-use space, and
• Collaborating with Alameda County and the adjacent property owner to attract desired development to parcels near the Dublin/Pleasanton BART station.

Goal 4: Retail Vitality. Sustain and strengthen the health of Dublin’s shopping, dining, and entertainment businesses through strategic planning and promotional efforts.

Dublin’s retail, dining, and entertainment opportunities continue to evolve in response to growing e-commerce sales and a growing preference for vibrant public places, including retail destinations. As more sales shift online—particularly for undifferentiated “commodity” goods—the tenant mix within physical storefront spaces will continue to shift toward a greater emphasis on dining, entertainment, personal and medical services, food/grocery, and unique “boutique” retail. Retail formats will also increasingly favor mixed-use, pedestrian-friendly environments providing a vibrant “third space” separate from places of home and work for the community to gather.

The following strategies seek to support Dublin’s retail opportunities in light of these trends:
875
City of Dublin Economic Development Strategy and Implementation Actions 5 • Investigating other incentives, and changes to zoning and land use regulation to reduce barriers for retail conversion,
• Continuing and expanding the monitoring of performance of existing shopping centers and commercial areas in Dublin—especially those consisting of businesses threatened by e-commerce trends—by comparing sales tax performance of tenants to “comparable” retailers to provide notice of tenants at risk of closure, and • Supporting the health of Dublin’s automobile dealerships and other large sales tax revenue generators through continuation of one-on-one engagement.

Goal 5: Hospitality Expansion. Work with regional agencies to expand and highlight Dublin’s potential as a regional hotel and hospitality destination through hotel attraction efforts and advocacy for attracting a multiuse venue to Dublin.

Dublin’s opportunities to attract additional hotels are linked to employment and business growth within the city and Tri-Valley, as well as growth of new visitor attractions. The strategies focus on positioning Dublin to benefit from ongoing efforts to attract additional hotel stays and visitation:
• Positioning Dublin to attract or leverage opportunities related to the potential multiuse sports, entertainment, and conference venue that Visit Tri-Valley is seeking to bring to the region, and
• Working with relevant regional stakeholders to market Dublin as an ideal location for visitors seeking access to employment destinations and events in the Tri-Valley and beyond.

Goal 6: Small Business Support. Strengthen startup and growth opportunities for small businesses by pursuing improvements to City processes and maintaining and marketing supportive services and programs.

Dublin offers a variety of services to support small businesses. Opportunities exist to ensure that these services are widely known, proven to be effective, and successfully targeted to Dublin’s increasingly diverse community of business owners. The following strategies target improvements in the support offered by the City of Dublin for local small businesses:
• Enhancing efficiency and transparency with business applicants during City processes, • Enhancing marketing of City-offered incentives, services, and programs to existing small businesses,
• Enhancing engagement between the City of Dublin and the full diversity of local small businesses—especially those related to the city’s large and rapidly growing Asian populations, and
• Expanding small business technical training resources as necessary.

Goal 7: Workforce Opportunities. Enhance Dublin’s workforce support and development systems to create opportunities for all members of the workforce through collaboration with regional organizations.

Dublin’s population is relatively well educated overall, but 15 percent of residents hold a high school diploma or did not finish high school. Dublin also includes a concentration of jobs in industry sectors that typically offer relatively low pay and limited benefits—such as retail, food 876
City of Dublin Economic Development Strategy and Implementation Actions 6 services, and personal services. Although the City does not directly provide education, training, and workforce development services, the City of Dublin has an opportunity to ensure these services are readily accessible for Dublin residents and workers. Dublin can also potentially enhance regional commute access for Dublin workers and residents.

Workforce strategies include:
• Leveraging regional workforce and economic development organizations and initiatives to ensure education and training services are accessible and appropriate for Dublin residents and workers, and
• Leveraging initiatives to expand and invest in transportation infrastructure that supports worker access to jobs, including the Valley Link Project.

877
City of Dublin Economic Development Strategy and Implementation Actions 7

INTRODUCTION
The Dublin Economic Development Strategy is an implementation-focused action plan that serves to prioritize and guide the City of Dublin’s economic development activities for the next five to seven years. The Strategy primarily focuses on strategies and actions that the Office of Economic Development will implement with assistance from other City departments and outside partners or organizations. After adoption of the Strategy, the City of Dublin also intends to adopt an updated Economic Development Element of the City’s General Plan. The Element serves as a citywide vision and policy plan, while the Strategy functions as a shorter-term and implementation tool.

This new Economic Development Strategy identifies and leverages the mix of longstanding and new opportunities for the City of Dublin to expand business and workforce opportunities in the community.

Dublin’s previous Economic Development Strategy dates to 2012. In the 12 years since then, Dublin’s population rapidly grew, the COVID-19 pandemic transformed where and how people work, retail opportunities have continued to evolve as e-commerce has grown, and regional and local economic conditions have continued to change.

Process for Developing the Strategy
The Economic Development Strategy incorporates technical analysis findings, results of stakeholder engagement, and input from City decisionmakers and staff. The conclusions of these efforts identified Dublin’s competitive advantages and opportunities, and led to the creation of strategies and actions that best support Dublin’s long term economic development. Steps taken to develop the Economic Development Strategy are detailed below:
• Technical Analyses: The consultant team—consisting of Strategic Economics, Greensfelder Real Estate Strategy, and Tawni Sullivan (a life science real estate industry expert)—completed detailed economic, market, workforce, and retail and trend analysis to identify Dublin’s assets and opportunities. The analyses assessed demographic, employment, real estate, retail, and hotel/tourism conditions and trends. The conclusions of the technical analyses are incorporated in the Strategy, and the full technical analysis report is included as an appendix. • Business and Community Surveys: Strategic Economics conducted two online community surveys targeted to Dublin residents and businesses, respectively. The surveys gauged respondents’ opinions regarding the business environment in Dublin, priorities for economic development efforts, and the City’s performance in creating a positive business environment.

The results of the surveys were summarized in a Community Engagement Report that is included in the community engagement appendix of the Economic Development Strategy. • Stakeholder Interviews: The consultant team and City staff completed seven focus group meetings with local and Tri-Valley stakeholders to gain insights into concerns and priorities relating to economic development for the City of Dublin. The focus groups consisted of commercial brokers and developers, local businesses, local and regional community and nonprofit organizations, interested property managers and property owners, regional agencies, and City staff. Strategic Economics also conducted separate interviews with members of the Dublin City Council.
878
City of Dublin Economic Development Strategy and Implementation Actions 8 Report Contents
The remainder of the Economic Development Strategy consists of the following content:

1. Summary of “SWOT” Conclusions: Describes Dublin’s strengths, weaknesses, opportunities, and threats that informed the Strategy.

2. Summary of Community and Business Survey Findings: Describes key takeaways from the community and business surveys conducted for the Strategy.

3. Changes and Progress Since the 2012 Strategy: Provides an overview of the City’s progress in implementing the 2012 Economic Development Strategy, including ongoing City efforts and notes on how Dublin’s economic opportunities have evolved over time.

4. Goals, Strategies, and Implementation Actions: Describes strategies and implementation actions to achieve seven goals that will guide the City of Dublin’s economic development efforts over the next five to seven years. For each goal, an implementation action summary table notes the time frame, responsible party, potential partners, and metrics for measuring implementation progress.

5. Economic Performance Indicators: This section lists specific performance indicators that Dublin can use to measure the impact and progress of the Economic Development Strategy.

6. Technical Appendices: The appendices include a technical report describing the findings and conclusions of the analyses and stakeholder input, a study of retail conditions and opportunities, and a summary of the business and community survey results.

879
City of Dublin Economic Development Strategy and Implementation Actions 9 SUMMARY OF “SWOT” CONCLUSIONS
The in-depth analyses and community engagement efforts completed for the Economic Development Strategy identified several significant strengths, weaknesses, opportunities, and threats (SWOT) applicable to Dublin’s economic development efforts. The conclusions of this analysis are summarized below, with detailed analysis provided in an appendix to the Economic Development Strategy.

Key Industries
Dublin’s economy has historically focused heavily on household-serving uses and government jobs.

Illustrated in Figure 1, more than 22 percent of Dublin’s total jobs in 2023 were in the “Government” sector (government programs/facilities of all types) and another 30 percent of total jobs were in household-serving industries such as retail, services, and health care. These household-serving jobs corresponded to the city’s rapid growth as a residential community.

Dublin also includes a longstanding presence of several corporate headquarters or major offices for companies representing a variety of industries. Multiple retail, medical device, financial services, and business services companies have headquarters or major regional offices in Dublin. Examples of companies located in Dublin include Ross Stores Inc., Patelco Credit Union, TriNet, and Zeiss Meditec.

FIGURE 1: JOBS BY INDUSTRY SECTOR IN DUBLIN, 2023
Source: Lightcast Employment Q3 2023 Data; Strategic Economics, 2023.

Other Industries
Arts, Entertainment, and Recreation
Transportation and Warehousing
Wholesale Trade
Real Estate and Rental and Leasing
Educational Services
Finance and Insurance
Information
Manufacturing
Administrative & Support, Waste Management and…
Management of Companies and Enterprises
Professional, Scientific, and Technical Services
Construction
Other Services (Excluding Public Administration)
Retail Trade
Accommodation and Food
Health Care and Social Assistance
Government
0 2,000 4,000 6,000 8,000 10,000

MAJOR INDUSTRY SECTORS

TOTAL JOBS
GREEN = HIGHLY CONCENTRATED IN DUBLIN RELATIVE TO TRI-VALLEY 880
City of Dublin Economic Development Strategy and Implementation Actions 10 Dublin is positioned to build on its larger and highly educated residential base to pivot toward more aggressive business and job growth in professional services and innovation-oriented industries. As shown in Figure 2, Dublin’s population grew more than 136 percent from 2000 to 2022—the fastest rate among Tri-Valley cities and now approaching the size of Pleasanton, San Ramon, and Danville.

Dublin’s residents are also highly educated, with nearly 70 percent of Dublin’s population age 25 or older holding a bachelor’s degree or higher. Dublin’s larger and highly educated population base will allow the city to better compete for jobs in professional services and innovation-oriented industries. As illustrated in Figure 3, Dublin’s job growth in the Information industry sector (which includes software and media) and Finance and Insurance sector exceeded the Tri-Valley as a whole from 2016 to 2023.

Dublin also attracted more than $300 million in venture capital investments in software and electronic hardware technology related businesses from 2018 to 2023. Given these strengths and broader regional economic trends, Dublin is positioned to attract long term growth in computer technology, professional services, biomedical industries, and other R&D and advanced manufacturing businesses.

FIGURE 2: TOTAL POPULATION OF TRI-VALLEY CITIES, 2000 TO 2022 Source: U.S. Census Bureau, 2000,2010, ACS 2018-2022; Strategic Economics, 2024 -
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
100,000
2000 2010 2022
Dublin Livermore Pleasanton San Ramon Danville
881
City of Dublin Economic Development Strategy and Implementation Actions 11 FIGURE 3: JOB GROWTH BY INDUSTRY SECTOR IN DUBLIN AND THE TRI-VALLEY, 2016 TO 2023 Source: Lightcast Employment Q3 2023 Data; Strategic Economics, 2023 The Tri-Valley’s robust regional institutional assets and industry organizations create opportunities to enhance Dublin’s economic development efforts. Nearby institutions and organizations such as Sandia National Laboratory, Las Positas College, Lawrence Livermore National Laboratory, and i-Gate attract talent to the Tri-Valley, drive innovation, and create ongoing potential for Dublin to capture spinoff business growth.

Infrastructure, Built Environment, and Real Estate
Dublin’s office and light industrial building inventory is relatively small and becoming dated as little new development activity occurs—creating a need to support further build-to-suit and speculative development through business attraction and development support efforts. Demand for Dublin’s inventory of office and light industrial spaces is reasonably strong, although the city has a much smaller share of new space suitable for office, R&D, and manufacturing uses than other Tri-Valley cities, as illustrated in Figure 4. Recent new office, light industrial, and R&D development activity has been limited, resulting in an aging building stock. Stakeholders interviewed for the Economic Development Strategy noted the need for modernized office, light industrial/flex, and R&D space that offers the chance for businesses to locate and expand in Dublin. This space is more likely to be built when demand rises to a level such that a large business seeks a new build-to-suit space, or when achievable rents and other development conditions improve in Dublin and across the Bay Area. -100% -50% 0% 50% 100% 150%
Other Industries
Wholesale Trade
Retail Trade
Real Estate and Rental and Leasing
Professional, Scientific, and Technical Services
Government
Other Services (Excluding Public Administration)
Construction
Accommodation and Food
All Jobs
Manufacturing
Finance and Insurance
Educational Services
Transportation and Warehousing
Management of Companies and Enterprises
Administrative & Support, Waste Management…
Arts, Entertainment, and Recreation
Health Care and Social Assistance
Information
Job Growth, 2016-2023
Dublin
Tri-Valley
882
City of Dublin Economic Development Strategy and Implementation Actions 12 Speculative office and life science development is currently constrained throughout the Bay Area due to recent increases in labor and materials costs, increased financing costs, and limited access to capital. Fortunately, Dublin’s economic development efforts have contributed to the construction of the Zeiss Innovation Center, the proposed Dublin Commons project, and redevelopment of the former Hexcel property.

FIGURE 4: OFFICE AND INDUSTRIAL INVENTORY IN DUBLIN AND OTHER TRI-VALLEY COMMUNITIES, SQUARE FEET, 2023 Source: CoStar, 2023; Strategic Economics, 2023
Dublin’s remaining greenfield development sites are major opportunities to attract large-scale, modern office, R&D, and manufacturing uses, but each site requires unique infrastructure or other development support. Dublin’s “greenfield” commercial and light industrial opportunity sites consist of previously undeveloped properties at the Fallon East Economic Development Zone, Dublin Centre Project, and near the Dublin/Pleasanton BART station. This collection of greenfield sites is an asset that Dublin can use to attract new innovation-oriented businesses and, in the case of Dublin Centre, create a modern mixed-use community gathering space. The City is already working to address the major infrastructure needs at the Fallon East Economic Development Zone, and proactively engaging developers at the other major greenfield sites.

Several of Dublin’s older existing commercial areas, like Downtown Dublin and Hacienda Crossings, require reinvestment and modernization—creating a need for the City to balance efforts to develop greenfield sites while also supporting the health of older commercial properties. Various older commercial areas in Dublin have outdated space that does not meet the needs of modern tenants. In addition, many of these areas suffer from a lack of amenities and welcoming public gathering spaces.

These environments are made even less welcoming by limited pedestrian access to and within the shopping centers. The Downtown Dublin Specific Plan intends to resolve these issues by creating a modern mixed-use environment with bike and pedestrian connections, but similar efforts should be targeted for other commercial areas like Hacienda Crossings. Overall attempts to modernize and reinvest in Dublin’s existing buildings, spaces, and districts will help balance citywide economic development by promoting infill development in conjunction with ongoing greenfield development. 0 2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
16,000,000
18,000,000
20,000,000
Dublin Pleasanton Livermore San Ramon Danville
Square Feet
Building Type
Industrial Office Flex
883
City of Dublin Economic Development Strategy and Implementation Actions 13 Dublin has strong demand for its limited existing industrial space, but competition from recreation and other household-serving uses creates a need to consider potential preservation of these spaces for industrial uses. According to CoStar real estate data, the vacancy rate in Dublin’s small inventory of industrial spaces has been below one percent for much of the past five years. Although Dublin includes a few larger industrial buildings, the variety of smaller buildings and spaces within the Sierra Court Industrial area represents more than 78 percent and 60 percent of Dublin’s industrial and flex space, respectively. This important reservoir of industrial space for construction, manufacturing, repair and maintenance uses in Dublin is also experiencing strong demand from recreation and fitness tenants— creating a need to examine the appropriate balance of uses to ensure production, distribution, and repair services and businesses are still accommodated in Dublin. However, if these spaces are preserved for innovation-oriented industrial uses, then it will also be important to ensure recreational and fitness businesses are accommodated elsewhere in Dublin.

Workforce and Job Access
Growth of local jobs aligned with Dublin’s highly educated population will create an opportunity for more residents to work locally and help reduce current long commutes. Dublin’s residents enjoy excellent access to jobs throughout the region via I-580, I-680, and two BART stations. However, local growth of jobs aligned with Dublin’s highly skilled and educated workforce, as shown in Figure 5, will create an opportunity for more residents to work locally and potentially reduce the 35 percent share of Dublin workers commuting more than 40 minutes to work (according to U.S. Census ACS 2017- 2021 estimates).

FIGURE 5: DUBLIN EDUCATIONAL ATTAINMENT FOR THE POPULATION 25 YEARS AND OVER, 2010 AND 2021 Source: U.S. Census Bureau ACS 2010-2014, 2017-2021 5 Year Estimates; Strategic Economics, 2023.

Collaborations with Tri-Valley workforce development organizations can enhance the trained and skilled workforce available for Dublin employers and support career opportunities for workers in Dublin. Collaborations with education and workforce development partners can support the availability of trained workers for Dublin employers across all categories of skills and occupations. Workforce and education service providers can also create new career opportunities for workers in Dublin’s large share of jobs in industries that typically pay relatively lower wages and have less job stability, such as retail, food service, and personal services. Examples of regional workforce development organizations -
10,000
20,000
30,000
40,000
50,000
60,000
2010 2021
Population
Doctorate Degree
Professional School Degree
Master's Degree
Bachelor's Degree
Some College
High School Graduate (Includes
Equivalency)
Less than High School
884
City of Dublin Economic Development Strategy and Implementation Actions 14 include Tri-Valley Career Center, Las Positas College, and the Tri-Valley Regional Occupational Program.

Retail and Hotels
Dublin’s retail inventory is large and desirable for a wide range of tenants. Dublin has approximately four million square feet of retail space, including a variety of regional and local shopping centers—as shown in Figure 6—and large automobile dealerships. Automobile dealerships and automobile-related businesses generated over 40 percent of Dublin’s sales tax revenue in 2022—the City’s largest category of sales tax revenue—followed by general consumer goods, business to business sales, and restaurants and hotels. Dublin’s overall retail sales have recovered overall since the onset of the COVID-19 pandemic in 2020, although performance varied by category of retail.

FIGURE 6: DUBLIN SHOPPING CENTERS
Source: CoStar, 2023; Esri, 2023; Strategic Economics, 2023 Dublin’s retail, dining, and entertainment opportunities will need to continually evolve in response to growing e-commerce sales and the evolution of bricks-and-mortar retail. As more sales shift online— particularly for undifferentiated “commodity” goods—Dublin should anticipate that the tenant mix within physical storefront spaces will continue to shift toward a greater emphasis on dining, entertainment, personal and medical services, food/grocery, and unique “boutique” retail. These trends are apparent in Dublin’s sales tax data for 2022 to 2023, which indicates increasing sales in the Downtown Dublin Specific Plan area but declines among “big box” power centers that typically sell many goods readily available online. These trends especially create challenges for large-scale 885
City of Dublin Economic Development Strategy and Implementation Actions 15 shopping centers like Hacienda Crossings. Demand for different types of spaces continues to evolve, and there is currently relatively lower demand for big-box retail spaces than in the past. Broader retail trends make it increasingly difficult to fill large vacant retail space, and it is often expensive or impractical to split these spaces for use by more than one retailer.

Dublin’s retail spaces primarily consist of traditional automobile-oriented shopping centers and commercial corridors; the city lacks amenity-rich community gathering destinations, although opportunities exist in Downtown Dublin and Dublin Centre. Despite Dublin’s strong quality of life and desirable climate, safety, and location, residents and businesses continue to note its lack of a vibrant community gathering space with pedestrian accessibility. Current public-private efforts are underway to develop such a place in Downtown Dublin with the Dublin Commons project, and the Dublin Centre project is also planning to create a similar activity node.

Dublin’s rapidly diversifying population opens new opportunities to attract businesses reflecting a wide variety of cultural influences. Since 2000, U.S. Census data shows that Dublin’s population growth overwhelmingly consisted of residents identifying as Asian, as shown in Figure 7. The U.S. Census American Community Survey estimates that, as of 2021, 48 percent of Dublin’s Asian residents were of Indian origin, 26 percent of Chinese origin, and nine percent of Filipino origin. Half of Dublin’s residents report speaking a language other than English at home. The rich diversity of Dublin’s population creates opportunities to further support the diverse mix of retail, grocery, dining, and personal services businesses in the city.

FIGURE 7: RACE IN DUBLIN, 2000 - 2021
Source: U.S. Census Bureau, 2000, 2010, ACS 2017-2021; Strategic Economics, 2023.

Regional initiatives to attract hotel stays and a multiuse venue can support local hotels in Dublin.

Dublin’s hotels primarily attract business travelers based on the city’s convenient access to major employers throughout the Tri-Valley and beyond. As hotel occupancy and revenues continue to recover over time since the COVID-19 pandemic, Dublin can position itself to leverage Visit Tri-Valley’s efforts to expand visitation. Visit Tri-Valley is pursuing development of a multiuse sports, entertainment, and conference venue, which Dublin could either seek to attract to the city itself or seek to leverage for further hotel stays.
-
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
2000 2010 2020
Total Population
White Hispanic or Latino African American or Black Asian Other 886
City of Dublin Economic Development Strategy and Implementation Actions 16

COMMUNITY AND BUSINESS SURVEY FINDINGS
As part of the Economic Development Strategy process, Strategic Economics administered two online surveys to Dublin residents and businesses, respectively. Both surveys were used to inform the selection of both strategies and implementation actions for the City of Dublin. The surveys’ major findings are summarized below and grouped by general positive opinions and concerns about Dublin.

The detailed survey findings are shown in an appendix to the Economic Development Strategy.

FIGURE 8: ONLINE SURVEY MAJOR FINDINGS
Community
Survey
Positive Opinions
about Dublin
A wide variety of dining,
beverage, and entertainment
destinations
Large amount of welcoming
public parks
Large quantity of different
shopping and retail stores
Concerns about Dublin
Lack of high-quality job
opportunities compatible with
residents
Housing affordability
Limited downtown or large
community gathering space
Over-emphasis on residential
development by the City
Business
Survey
Positive Opinions
about Dublin
Proximity to potential customers
Safe and welcoming community
Desirable demographic
composition and trends
City Staff responsiveness and
communication
Concerns about Dublin
Lack of affordable office, retail, or
industrial space
High water and utility costs and
fees
Limited awareness of City funding
and incentives among existing local
businesses
887
City of Dublin Economic Development Strategy and Implementation Actions 17 CHANGES AND PROGRESS SINCE THE 2012

ECONOMIC DEVELOPMENT STRATEGY
The City of Dublin’s previous Economic Development Strategy established four priorities based on conditions and opportunities identified in 2012. The City of Dublin has made—and continues to make— substantial progress on implementing that strategy’s implementation actions. Although the new Economic Development Strategy re-prioritizes and adjusts the City’s efforts, the Strategy also seeks to build upon and enhance past successes and ongoing actions by the City of Dublin’s economic development team. The previous priorities and related ongoing current City actions are described in Figure 9 below.

FIGURE 9: REVIEW OF THE 2012 CITY OF DUBLIN ECONOMIC DEVELOPMENT STRATEGY: PRIORITIES, GOALS, AND

IMPLEMENTATION STATUS
2012 Priority
2012 Goal
2012 Strategy Actions Ongoing City Efforts
Economic Vibrancy
Continued development
and job growth

Maintain and enhance ED activities,
including marketing and branding
Business visits and roundtables
Business incentive and recognition programs
Engaging with regional economic development
efforts and organizations

Maintaining responsive communications,
including ongoing interactions with brokers and
property owners

Small Business
Facilitate business
expansion projects
Enhance development services,
with streamlined permitting for
routine growth-supporting real
estate improvement projects
Management of small business navigator and
business concierge programs
Promotional campaigns, including a holiday gift
guide, small business spotlight series, and bimonthly newsletters Small business support via grants, a mobile text
program, business visitation program, and special
events like a small business night at the farmers’
market

Eastern Transit Center
Encourage new
development, particularly
commercial office and
retail spaces
Increase partnerships with real
estate developers and landowners
to entitle and market sites
As-needed development support
Coordination with Alameda County Surplus
Property Authority

Downtown Dublin
Expedite progress toward
the Downtown Vision
Explore options to facilitate
development, including financing
mechanisms, funding sources, and
revitalization tools
Significant ongoing Downtown Dublin
development support
The City of Dublin has made especially significant progress in implementing the Downtown Dublin and Eastern Transit Center goals. Efforts at Downtown Dublin include completion of an Urban Land Institute Technical Assistance Panel, approval of the Downtown Preferred Vision, adoption of specific plan amendments, adoption of public-private agreements, and a variety of other ongoing development 888
City of Dublin Economic Development Strategy and Implementation Actions 18 support efforts. Progress at the Eastern Transit Center includes construction of a parking garage, construction of additional housing, tenanting of storefront spaces, and ongoing support for potential development projects. In addition, Dublin has continued to balance competing priorities as R&D and entertainment uses compete for limited affordable space.

The City of Dublin also proactively continued to identify and pursue new opportunities since the 2012 Economic Development Strategy was adopted, as demonstrated by ongoing progress in pursuing development and business attraction to the Fallon East Economic Development Zone. This area consists of approximately 285 acres of largely undeveloped land northeast of Fallon Road and I-580.

In the years since 2012, the City of Dublin recognized this area as a major commercial and industrial development opportunity and has thus far approved General Plan land use amendments in 2022, established an incentives package for targeted types of businesses, and is working with property owners, and the City of Livermore to fund and construct the Dublin Boulevard extension to support future development.
889
City of Dublin Economic Development Strategy and Implementation Actions 19

GOALS, STRATEGIES, AND IMPLEMENTATION

ACTIONS
The following strategies and implementation actions are organized within seven goals that reflect challenges and opportunities identified through the technical analyses and community outreach activities completed for the Economic Development Strategy. An “implementation matrix” follows each set of strategies and actions. The matrices provide detailed strategy implementation guidance by specifying the following information:
• Time frame: Details the timing of action implementation. Actions that must be continuously implemented over time are marked as “ongoing.”
• Subarea: Indicates whether the action item primarily applies citywide or to specific locations. • Supporting organization/department: Lists City departments or outside partners necessary for successful action implementation (in partnership with Dublin’s Economic Development staff). • Metrics for Measuring Progress: Identifies potential metrics for tracking progress in implementing a given strategy or action.

Goals
The strategies and actions focus on achieving the following seven primary goals to support Dublin’s economic vibrancy, workforce opportunities, and overall quality of life. These goals are rooted in the opportunities and challenges noted in this report’s “Summary of SWOT Conclusions.” Goal 1: Innovation Growth
Grow businesses and employment in innovation-oriented and professional services industries matching Dublin’s strengths and opportunities—especially computer technology, professional services, biomedical devices, and other R&D/advanced manufacturing—through business attraction and marketing programs.

Goal 2: Promote Infill Investment
Promote infill development and reinvestment in older retail, office, and industrial areas— including establishing Downtown Dublin as a vibrant community gathering space with a mix of modern employment, retail, dining, and entertainment uses serving residents and workers.

Goal 3: Greenfield Development
Ensure development of major greenfield opportunity sites with modern commercial and light industrial employment uses by supporting infrastructure needs and reducing cost barriers.

Goal 4: Retail Vitality
Sustain and strengthen the health of Dublin’s shopping, dining, and entertainment businesses through strategic planning and promotional efforts.

Goal 5: Hospitality Expansion
Work with regional agencies to expand and highlight Dublin’s potential as a regional hotel and hospitality destination through hotel attraction efforts and advocacy for attracting a multiuse venue to Dublin.
890
City of Dublin Economic Development Strategy and Implementation Actions 20 Goal 6: Small Business Support
Strengthen startup and growth opportunities for small businesses by pursuing improvements to City processes and maintaining and marketing supportive services and programs.

Goal 7: Workforce Opportunities
Enhance Dublin’s workforce support and development systems to create opportunities for all members of the workforce through collaboration with regional organizations.

Goal 1: Innovation Growth
Historically, Dublin’s economy focused more heavily on household-serving uses, government jobs, and a few larger headquarters, regional offices, and manufacturing/R&D facilities. The City is now poised to pivot toward more aggressive business and job growth in innovation-oriented industries, as indicated by recent venture capital investments and attraction of facilities such as the Zeiss Innovation Center. Attraction of these industries is made possible by Dublin’s larger and highly educated population, mix of infill development and greenfield development opportunities, and longstanding assets such as accessibility via BART and I-680/I-580 and location within the dynamic Tri-Valley market area. Based on this mix of assets and current economic trends, high-priority industry opportunities include:
• Information Technology, Software, and Artificial Intelligence • Professional Services
• Biomedical – Including medical equipment/device R&D and manufacturing The following strategies seek to support Dublin in attracting and retaining businesses in these growing industry opportunities.

Strategy 1.1 Adjust, enhance, formalize, and implement outreach and engagement with businesses, brokers, industry associations, and Tri-Valley institutions to focus on high-priority industry opportunities, including information technology, professional services, and biomedical uses such as medical equipment/device R&D and manufacturing.

Action 1.1.1 Establish standing industry stakeholder groups for information technology, professional and financial services, and biomedical businesses.

Convene meetings with each stakeholder group twice per year to communicate City news and learn about these employers’ needs and concerns.

Action 1.1.2 Convene meetings with brokers, developers, and major property owners twice per year to provide updates regarding City efforts, resources, and major development projects, and to receive input regarding conditions and needs.
891
City of Dublin Economic Development Strategy and Implementation Actions 21 Action 1.1.3 Focus existing business visitation program towards high-priority industries to identify specific business needs while connecting them with available resources and services.

Action 1.1.4 Continue City practices of offering business seminars and hosting roundtable programs in collaboration with relevant regional stakeholders such as the Dublin Chamber of Commerce and the East Bay Economic Development Alliance. Within these events, target high-priority industries to maintain relationships with these businesses and better understand challenges and opportunities for City staff to provide support.

Action 1.1.5 Continue partnership with local and regional entities such as the Dublin Chamber of Commerce, Innovation Tri-Valley, i-Gate, Lawrence Livermore National Laboratory, Sandia National Laboratory, East Bay Small Business Development Center, and East Bay Economic Development Alliance to participate in business events and other relevant trade shows or industry groups.

Strategy 1.2 Establish a business-friendly brand unique to Dublin’s economic development efforts targeted to the noted industries and activities, with a focus on Dublin’s competitive assets such as its geographic location near I-580 and I-680, BART access, high educational attainment, and major infill and greenfield development opportunity sites.

Action 1.2.1 Conduct annual City staff trainings to establish a shared understanding of Dublin’s assets and messaging for economic development and emphasize the benefits of ensuring the City maintains a business-friendly environment.

Action 1.2.2 Undertake and implement an economic development-tailored marketing and branding strategy that focuses on Dublin’s competitive assets and transformational development projects/areas identified through the Economic Development Strategy effort, as well as existing business and development incentives. As part of this new branding identity, create a cohesive marketing plan that includes an updated webpage unique to the economic development branding strategy creation of new materials for handout at industry meetings, and refreshed press and media engagement. 892
City of Dublin Economic Development Strategy and Implementation Actions 22 FIGURE 10: GOAL 1 - INNOVATION GROWTH IMPLEMENTATION MATRIX Action Item Time Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

1.1.1. Establish standing industry
stakeholder groups for information
technology, professional and financial
services, and biomedical businesses.

Convene meetings with each stakeholder
group twice per year to communicate City
news and learn about these employers’
needs and concerns.

Ongoing Citywide
Dublin Chamber of
Commerce,
Biomedical
Manufacturing
Network, Daybreak
Labs, i-Gate
Completion of
semi-annual
meetings

1.1.2. Convene meetings with brokers,
developers, and major property owners
twice per year to provide updates regarding
City efforts, resources, and major
development projects, and to receive input
regarding conditions and needs.

Ongoing Citywide
Completion of
semi-annual
meetings

1.1.3. Focus existing business visitation
program towards high-priority industries to
identify specific business needs while
connecting them with available resources
and services.

Ongoing Citywide
Number of
businesses
contacted and
visited

1.1.4. Continue City practices of offering
business seminars and hosting roundtable
programs in collaboration with relevant
regional stakeholders such as the Dublin
Chamber of Commerce and the East Bay
Economic Development Alliance. Within
these events, target high-priority industries
to maintain relationships with these
businesses and better understand
challenges and opportunities for City staff
to provide support.

Ongoing Citywide
Dublin Chamber of
Commerce, East
Bay Economic
Development
Alliance, technical
service providers,
topic area experts
Number of
seminars and
roundtable
programs
held

1.1.5. Continue partnership with local and
regional entities such as the Dublin
Chamber of Commerce, Innovation TriValley, i-Gate, Lawrence Livermore National Laboratory, Sandia National
Laboratory, East Bay Small Business
Development Center, and East Bay
Economic Development Alliance to
participate in business events and other
relevant trade shows or industry groups.

Ongoing Citywide
Dublin Chamber of
Commerce,
Innovation TriValley, i-GATE,
Lawrence
Livermore National
Laboratory, Sandia
National
Laboratory, East
Bay Small
Business
Development
Center, and East
Bay Economic
Development
Alliance
Number of
events
attended by
City staff
893
City of Dublin Economic Development Strategy and Implementation Actions 23 Action Item Time Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

1.2.1. Conduct annual City staff trainings to
establish a shared understanding of
Dublin’s assets and messaging for
economic development and emphasize the
benefits of ensuring the City maintains a
business-friendly environment.
1-2 years
and then
Ongoing
Citywide
Community
Development
Department, Public
Works Department,
Fire, City
Manager’s Office
Completion of
annual staff
trainings

1.2.2. Undertake and implement an
economic development-tailored marketing
and branding strategy that focuses on
Dublin’s competitive assets and
transformational development
projects/areas identified through the
Economic Development Strategy effort, as
well as existing business and development
incentives. As part of this new branding
identity, create a cohesive marketing plan
that includes an updated webpage unique
to the economic development branding
strategy, creation of new materials for
handout at industry meetings, and
refreshed press and media engagement.
1-2 years Citywide
City Manager’s
Office, Community
Development
Department,
Communications
Division,
Information
Systems Division
Completion of
updated
marketing
and branding
strategy
Goal 2: Promote Infill Investment
Dublin includes commercial and industrial developments that are now several decades old and positioned to benefit from reinvestment, modernization, or transformational change. These changes will enable Dublin to better compete for innovation-oriented businesses in the industries specified in Goal 1, create a community gathering space in Downtown Dublin, and attract modern retail, housing, dining, recreation, and entertainment amenities.

The strategies focus on supporting three locations with significant potential. First, substantial public and private efforts are already underway to construct the “Dublin Commons” project within the Downtown Dublin Preferred Plan area. The new project envisions the creation of a new community gathering hub with a mix of retail, life science, and residential uses. Second, the large Hacienda Crossings shopping center represents a variety of potential future opportunities to attract new entertainment and dining tenants, and potentially re-envision the center’s design and uses. Finally, the future of Dublin’s older industrial building stock—especially within the Sierra Court Industrial area— must be carefully considered to examine the proper balance between retaining industrial uses versus allowing other uses to repurpose these spaces.

Strategy 2.1 Identify and implement investments, partnerships, and regulatory changes that accelerate the emergence of Downtown Dublin as an innovation district and a vibrant mixed-use community and regional gathering destination—including improved integration of the Downtown Core area with other subareas.

Action 2.1.1 Continue providing supportive services, regulatory amendments, and participating in development negotiations as part of the public-private 894
City of Dublin Economic Development Strategy and Implementation Actions 24 partnership to accelerate buildout and tenanting of the Dublin Commons project.

Action 2.1.2 Explore adoption of funding and financing tools—including enhanced infrastructure financing districts and community facilities districts—to accelerate construction of public infrastructure that supports buildout of the Dublin Commons project and improves multimodal transportation connections within and between subareas of Downtown Dublin.

Action 2.1.3 Continue to build partnerships with interested property owners and developers to identify and implement opportunities to accelerate the development of the Downtown Dublin Specific Plan area.

Action 2.1.4 Explore the potential creation of a business and innovation incubator space in the Downtown Dublin area.

Strategy 2.2 Explore opportunities with the Hacienda Crossings shopping center owner to support tenant attraction (including non-traditional anchors that attract foot traffic, such as medical office uses), expansion of entertainment and dining, reducing barriers to diversifying uses, and incentivizing reinvestment and new development.

Action 2.2.1 Maintain proactive regular contact with Hacienda Crossings management and ownership to identify and address barriers and opportunities for attracting tenants and reinvestment at the shopping center—especially for the specified tenant types and potential addition of different commercial and residential uses. Promote existing tenant attraction incentives such as the sales tax reimbursement program.

Action 2.2.2 If the Hacienda Crossings ownership chooses to pursue a significant master planning or re-visioning process for the center, collaboratively identify ways to support and accelerate this process.

Strategy 2.3 Undertake a process to determine the functionality and relevance of existing industrial buildings for manufacturing, R&D, and construction businesses; implement land use restrictions as needed to preserve the diversity of spaces available for businesses.

Action 2.3.1 Conduct ongoing actions to study the functionality, relevance, challenges, and opportunities of industrial spaces, especially within the Sierra Court Industrial area. This study includes establishing areas of focus, conducting outreach to businesses with new or existing business licenses in those areas, and seeking targeted feedback from real estate brokers and property owners.

Action 2.3.2 Based on the findings of the preceding action, investigate the need for land use restrictions that limit or expand the types of uses permitted in 895
City of Dublin Economic Development Strategy and Implementation Actions 25 specific industrial areas in Dublin, particularly in the Sierra Court Industrial area.

FIGURE 11: GOAL 2 - INFILL INVESTMENT IMPLEMENTATION MATRIX Action Item Time Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

2.1.1. Continue providing supportive
services, regulatory amendments, and
participating in development negotiations
as part of the public-private partnership to
accelerate buildout and tenanting of the
Dublin Commons project.

Ongoing
Downtown
Dublin Retail
District
City Manager’s
Office; Dublin
Commons
development
partner
Progress in
Dublin
Commons
buildout and
tenanting

2.1.2. Explore adoption of funding and
financing tools—including enhanced
infrastructure financing districts and
community facilities districts—to accelerate
construction of public infrastructure that
supports buildout of the Dublin Commons
project and improves multimodal
transportation connections within and
between subareas of Downtown Dublin.
1-2 years
Downtown
Dublin Retail
District
Dublin Commons
development
partner
Decisions and
potential
implementation of funding
tools

2.1.3. Continue to build partnerships with
interested property owners and developers
to identify and implement opportunities to
accelerate the development of the
Downtown Dublin Specific Plan area.

Ongoing
Downtown
Dublin Retail
District,
Downtown
Dublin
Village
Parkway,
Downtown
Dublin TOD
Interested property
owners and
developers in
Downtown Dublin
Contacts with
property
owners and
developers

2.1.4. Explore the potential creation of a
business and innovation incubator space in
the Downtown Dublin area.
1-2 years
Downtown
Dublin Retail
District,
Downtown
Dublin
Village
Parkway,
Downtown
Dublin TOD
East Bay Economic
Development
Alliance, Innovation
Tri-Valley, i-Gate,
Daybreak Labs,
Lawrence
Livermore National
Laboratory, Sandia
National
Laboratory, Las
Positas College
Creation of an
innovation
incubator
space in
Downtown
Dublin

2.2.1. Maintain proactive regular contact
with Hacienda Crossings management and
ownership to identify and address barriers
and opportunities for attracting tenants and
reinvestment at the shopping center—
especially for the specified tenant types
and potential addition of different
commercial and residential uses. Promote
existing tenant attraction incentives such
as the sales tax reimbursement program.

Ongoing Hacienda
Crossings
Hacienda
Crossings
management,
ownership, and
businesses
Contacts and
implementing
any resulting
action steps
896
City of Dublin Economic Development Strategy and Implementation Actions 26 Action Item Time Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

2.2.2. If the Hacienda Crossings ownership
chooses to pursue a significant master
planning or re-visioning process for the
center, collaboratively identify ways to
support and accelerate this process.
3-5 years Hacienda
Crossings
Hacienda
Crossings
Ownership
Collaboration
with potential
Hacienda
Crossings revisioning
process

2.3.1. Conduct ongoing actions to study the
functionality, relevance, challenges, and
opportunities of industrial spaces,
especially within the Sierra Court Industrial
area. This study includes establishing
areas of focus, conducting outreach to
businesses with new or existing business
licenses in those areas, and seeking
targeted feedback from real estate brokers
and property owners.
2-3 years
Citywide,
Sierra Court
Industrial
area
Community
Development
Department
Number of
businesses,
brokers, and
property
owners
contacted;
completion of
study

2.3.2. Based on the findings of the
preceding action, investigate the need for
land use restrictions that limit or expand
the types of uses permitted in specific
industrial areas in Dublin, particularly in the
Sierra Court Industrial area.
3-5 years
Citywide,
Sierra Court
Industrial
area
Community
Development
Department
If needed,
land use code
amendments
Goal 3: Greenfield Development
Dublin’s undeveloped “greenfield” sites represent major opportunities for attracting commercial and light industrial development. The Fallon East Economic Development Zone—located east of Fallon Road and north of I-580—is a longstanding City focus area, with the opportunity to attract development of modern facilities that meet the needs of tenants in innovation-oriented industries. The Dublin Centre project could potentially provide a second downtown-like community gathering space southeast of Tassajara Road and Dublin Boulevard, while also effectively providing daily needs retail for the large number of new housing units to be built in the area. Undeveloped properties owned by Alameda County east of the Dublin/Pleasanton BART station could accommodate transit-oriented development, including “Campus Office” employment uses specified for these properties in the Eastern Dublin Specific Plan. An adjacent property east of Arnold Road, currently owned by IKEA, could potentially accommodate a variety of commercial uses.

The following strategies focus on meeting the unique needs of each major greenfield development site by undertaking actions to accelerate development and ensure future growth supports the economic development needs of the Dublin community.

Strategy 3.1 Continue prioritizing the Fallon East Economic Development Zone as a key district for attracting R&D, biomedical, office, manufacturing and other light industrial uses, with efforts including infrastructure funding and financing, and proactive 897
City of Dublin Economic Development Strategy and Implementation Actions 27 consideration of incentives adjustments in response to business/developer feedback.

Action 3.1.1 Continue working with property owners, developers, and the City of Livermore to coordinate, fund, and build out the Dublin Boulevard extension and other required infrastructure.

Action 3.1.2 As part of ongoing outreach and engagement with relevant businesses, developers, and property owners, solicit feedback on the effectiveness of existing development incentives in the Fallon East EDZ; adjust incentives as needed.

Action 3.1.3 Promote greenfield development opportunities at the Fallon East EDZ as part of Dublin’s broader marketing and branding efforts, especially when undertaking business attraction efforts focused on R&D, biomedical, office, manufacturing and other light industrial uses.

Strategy 3.2 Work with the developer of the Dublin Centre project to ensure the creation of a second modern mixed-use community gathering, shopping, dining, and entertainment destination at the project.

Action 3.2.1 Continue ongoing engagement with the Dublin Centre project development team to identify and resolve any potential regulatory barriers to build out the commercial area, support business attraction efforts, and emphasize the importance of fulfilling the community’s desire for creation of a vibrant community gathering space that also offers daily needs retail.

Strategy 3.3 Continue proactive engagement with Alameda County to determine a shared vision and work plan for activating and developing County-owned parcels near the Dublin/Pleasanton BART station with a potential mix of employment and housing uses.

Action 3.3.1 Continue ongoing communication with the Alameda County Surplus Property Authority to maintain a shared understanding of the potential preferred uses of the remaining development opportunity sites, explore ways in which the City can support development and business attraction, and coordinate regarding County-led efforts to develop the sites.

Strategy 3.4 Continue to monitor opportunities to support desired commercial development at the vacant property currently owned by IKEA (bounded by Arnold Road, Martinelli Way, Hacienda Drive, and I-580).

Action 3.4.1 Continue regular engagement with property owners of the site to encourage consideration of development desired by the City and to identify ways to support efforts to pursue new projects at the site via existing City services.
898
City of Dublin Economic Development Strategy and Implementation Actions 28 FIGURE 12: GOAL 3 - GREENFIELD DEVELOPMENT IMPLEMENTATION MATRIX Action Item Time
Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

3.1.1. Continue working with property
owners, developers, and the City of
Livermore to coordinate, fund, and build
out the Dublin Boulevard extension and
other required infrastructure.

Ongoing
Fallon East
Economic
Development
Zone
City of Livermore,
Public Works
Department,
Relevant property
owners and
developers along
Dublin Blvd. and
in the Fallon East
EDZ
Progress on
Dublin
Boulevard
extension and
other required
infrastructure

3.1.2. As part of ongoing outreach and
engagement with relevant businesses,
developers, and property owners, solicit
feedback on the effectiveness of existing
development incentives in the Fallon East
EDZ; adjust incentives as needed.

Ongoing
Fallon East
Economic
Development
Zone
Relevant property
owners,
businesses, and
developers in or
near the Fallon
East EDZ
Relevant
contacts;
incentives
adjustment

3.1.3. Promote greenfield development
opportunities at the Fallon East EDZ as
part of Dublin’s broader marketing and
branding efforts, especially when
undertaking business attraction efforts
focused on R&D, biomedical, office,
manufacturing, and other light industrial
uses.
2-3 years
Fallon East
Economic
Development
Zone
City Manager’s
Office, Community
Development
Department,
Public Works
Department,
Communications
Division
Inclusion of
greenfield
development
opportunities
in updated
marketing and
branding
efforts

3.2.1. Continue ongoing engagement with
the Dublin Centre project development
team to identify and resolve any potential
regulatory barriers to build out the
commercial area, support business
attraction efforts, and emphasize the
importance of fulfilling the community’s
desire for creation of a vibrant community
gathering space that also offers daily
needs retail.

Ongoing 580 Corridor
Dublin Centre
project
development team
Completion of
ongoing
engagement
with the Dublin
Centre team

3.3.1. Continue ongoing communication
with the Alameda County Surplus Property
Authority to maintain a shared
understanding of the potential preferred
uses of the remaining development
opportunity sites, explore ways in which the
City can support development and
business attraction, and coordinate
regarding County-led efforts to develop the
sites.

Ongoing Tassajara
Road
Alameda County
Surplus Property
Authority
Contacts with
Alameda
County;
specific
actions
supporting
development

3.4.1 Continue regular engagement with
property owners of the site to encourage
consideration of development desired by
the City and to identify ways to support
efforts to pursue new projects at the site
via existing City services.

Ongoing Tassajara
Road
Relevant property
owner(s)
Contacts with
property
owner;
progress in
permitting/
construction
899
City of Dublin Economic Development Strategy and Implementation Actions 29 Goal 4: Retail Vitality
Dublin’s retail, dining, and entertainment opportunities continue to evolve in response to growing ecommerce sales, a growing preference for vibrant public places, and the continuing evolution of brickand-mortar requirements. As more sales shift online—particularly for undifferentiated “commodity” goods—the tenant mix within physical storefront spaces will continue to shift toward a greater emphasis on dining, entertainment, personal and medical services, food/grocery, and unique “boutique” retail. The following strategies seek to support Dublin’s retail opportunities in light of these trends, by reducing cost barriers for new tenants, crafting a comprehensive citywide retail vision to identify retail priority areas and types, and support the health of existing retail tenants.

Strategy 4.1 Study other potential incentives and changes to zoning and land use regulation that will reduce barriers to splitting large vacant retail spaces, and to converting retail uses to in-demand uses such as entertainment, dining, personal service, and flexible retail uses.

Action 4.1.1 Collect information regarding specific regulatory barriers to changes of use in retail spaces through ongoing contacts with brokers and retail, dining, and entertainment businesses. Work with the Community Development Department to support review and modification of any barriers as needed.

Strategy 4.2 Continue and expand monitoring of the performance of existing shopping centers and commercial areas, especially those consisting of businesses threatened by e-commerce trends, and continue to provide proactive targeted support to underperforming locations.

Action 4.2.1 Continue working with the City of Dublin’s sales tax data provider to establish data reporting geographies for each shopping center and retail district in Dublin.

Action 4.2.2 Continue monitoring sales tax performance on a quarterly basis for all reporting geographies and for any businesses showing a declining sales trend in year-over-year sales compared to a “comparable store,” even if the retailer is not showing a major decline in sales. Conduct outreach and market existing City-offered services to owners of shopping centers and businesses experiencing significant declines in sales. Consider retaining a retailer “coach” to work with these businesses.

Action 4.2.3 Continue ongoing engagement with brokers and property owners to identify opportunities, challenges, tenant changes, and trends.

Strategy 4.3 Continue to communicate with and support the health of Dublin’s automobile dealerships and other large sales tax revenue generators.

Action 4.3.1 Continue annual outreach to automobile dealership owners and the other top 10 sales tax revenue generators in Dublin to offer City services and identify and resolve any relevant issues and concerns.
900
City of Dublin Economic Development Strategy and Implementation Actions 30 FIGURE 13: GOAL 4 - RETAIL VITALITY IMPLEMENTATION MATRIX Action Item Time Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

4.1.1. Collect information regarding specific
regulatory barriers to changes of use in
retail spaces through ongoing contacts with
brokers and retail, dining, and
entertainment businesses. Work with the
Community Development Department to
support review and modification of any
barriers as needed.
1-2 years Citywide
Community
Development
Department, Local
businesses and
stakeholders
Identification
and resolution
of specific
barriers to
changes of
use in Dublin
retail spaces

4.2.1. Continue working with the City of
Dublin’s sales tax data provider to establish
data reporting geographies for each
shopping center and retail district in Dublin.

Ongoing Citywide HdL
Revision to
reporting
geographies

4.2.2. Continue monitoring sales tax
performance on a quarterly basis for all
reporting geographies and for any
businesses showing major declines in
sales. Conduct outreach and offer services
to owners of shopping centers and
businesses experiencing significant
declines in sales.

Ongoing Citywide
HdL, Shopping
Center property
owners and
management staff
Completion of
quarterly
sales tax
performance
analysis;
outreach as
appropriate

4.2.3. Continue ongoing engagement with
brokers and property owners to identify
opportunities, challenges, and tenant
changes.

Ongoing Citywide Local brokers and
property owners
Number of
brokers and
stakeholders
contacted

4.3.1. Continue annual outreach to
automobile dealership owners and the
other top 10 sales tax revenue generators
in Dublin to offer City services and identify
and resolve any relevant issues and
concerns.

Ongoing Citywide
HdL, automobile
dealership owners,
top sales tax
revenue generators
Completion of
bi-annual
outreach
Goal 5: Hospitality Expansion
Dublin’s opportunities to attract additional hotels are linked to employment and business growth within the city and Tri-Valley, as well as growth of new visitor attractions. The strategies focus on positioning Dublin to benefit from ongoing efforts to attract a new multiuse sports, entertainment, and meeting venue to the Tri-Valley, and continuing to promote the accessibility of Dublin’s hotels to businesses and Tri-Valley destinations.

Strategy 5.1 Position Dublin to attract a potential multiuse venue that would capture visitation and commercial activity associated with events at the facility.

901
City of Dublin Economic Development Strategy and Implementation Actions 31 Action 5.1.1 Through ongoing collaboration with Visit Tri-Valley, determine potential opportunities for Dublin to better position local opportunity sites for attraction of a multiuse venue.

Action 5.1.2 If a site outside Dublin is prioritized for attraction of a multiuse venue, determine potential ways the City can support the venue’s construction and attract hotel stays based on the venue’s operations.

Strategy 5.2 Work with Visit Tri-Valley and local hotel operators to market Dublin as an ideal location for visitors seeking access to employment destinations and events throughout the Tri-Valley.

Action 5.2.1 Work with Visit Tri-Valley to convene a twice annual meeting of hotel owners and managers in Dublin to offer services, identify and address concerns, and learn about opportunities to promote the City’s hotels.

Action 5.2.2 Continue collaboration with Visit Tri-Valley and advocate for promotion of Dublin’s hotels.

FIGURE 14: GOAL 5 - HOSPITALITY EXPANSION IMPLEMENTATION MATRIX Action Item Time Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

5.1.1. Through ongoing collaboration with
Visit Tri-Valley, determine potential
opportunities for Dublin to better position
local opportunity sites for attraction of a
multiuse venue.

Ongoing Citywide Visit Tri-Valley
Progress on
determining
potential
venue
opportunities

5.1.2. If a site outside Dublin is prioritized
for attraction of a multiuse venue,
determine potential ways the City can
support the venue’s construction and
attract hotel stays based on the venue’s
operations.
3-5 years Citywide
Visit Tri-Valley, City
that is prioritized for
multiuse venue
Development
of a plan /
policies to
attract hotel
stays based
on the
venue’s
operations

5.2.1. Work with Visit Tri-Valley to convene
a twice annual meeting of hotel owners and
managers in Dublin to offer services,
identify and address concerns, and learn
about opportunities to promote the City’s
hotels.
1-2 years,
then
Ongoing
Citywide Dublin hotel owners
and managers
Completion of
bi-annual
meetings

5.2.2. Continue collaboration with Visit TriValley and advocate for promotion of Dublin’s hotels.

Ongoing Citywide Visit Tri-Valley
Number of
new
promotional
collaborations
for Dublin
hotels
902
City of Dublin Economic Development Strategy and Implementation Actions 32 Goal 6: Small Business Support
Dublin offers a variety of services to support small businesses. Opportunities exist to ensure that these services are widely known, proven to be effective, and successfully targeted to Dublin’s increasingly diverse community of business owners. The following strategies target improvements in the efficiency, marketing, and accessibility of support offered by the City of Dublin for local small businesses.

Strategy 6.1 Improve efficiency and transparency with small business applicants during the City’s permitting process.

Action 6.1.1 Continue maintaining a “concierge” function to support businesses in navigating processes to obtain business licenses and to serve as an advocate and navigator for obtaining building and planning approvals.

Action 6.1.2 Prepare and conduct ongoing follow-up surveys with businesses that interact with the City of Dublin to obtain licenses, permits, and entitlements.

Complete an annual review to identify recurring issues that can enhance clarity and efficiency of these processes.

Strategy 6.2 Improve marketing of City-offered incentives, services, and programs to existing small businesses in addition to maintaining current success in engaging new businesses.

Action 6.2.1 In addition to continuing to promote available City services to new businesses obtaining business licenses, establish and maintain a process and regular timeline for preparing and sending email blasts, social media promotions, and mailing of printed materials to all local business license holders. Through these contacts, promote City business support services, incentives, and relevant news.

Action 6.2.2 Continue conducting reviews of small business promotional events and campaigns to assess their impact and relevance to the businesses; consider modifying, ending, or beginning new initiatives based on the findings.

Strategy 6.3 Enhance ongoing engagement between the City of Dublin and the full diversity of local small businesses—including businesses specifically targeted to Dublin’s fast-growing communities of Indian and Chinese descent—to understand opportunities to support businesses and to share available programs and marketing opportunities.

Action 6.3.1 Conduct targeted outreach to businesses and business organizations focused on serving Dublin’s Indian American and Chinese American communities to gather information about specific needs, concerns, and potential modifications to City services and explanatory materials.

Implement updates to programs, processes, and written and online materials as needed.
903
City of Dublin Economic Development Strategy and Implementation Actions 33 Strategy 6.4 As opportunities and funding arise, expand small business technical training resources.

Action 6.4.1 Continue to provide and, if possible, expand the Small Business Navigator program, and other technical support programs.

Action 6.4.2 Continue using the City’s website to help connect local small businesses to Federal, State, and nonprofit programs and organizations that provide technical assistance.

Action 6.4.3 Continue providing responsive small business assistance through activities such as direction to resources, local grant funding and low-cost loan opportunities, landlord outreach, and connections with real estate brokers and other regional partners.

FIGURE 15: GOAL 6 - SMALL BUSINESS SUPPORT IMPLEMENTATION MATRIX Action Item Time Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

6.1.1. Continue maintaining a “concierge”
function to support businesses in
navigating processes to obtain business
licenses and to serve as an advocate and
navigator for obtaining building and
planning approvals.

Ongoing Citywide
Community
Development
Department, Public
Works Department
Number of
businesses
supported

6.1.2. Prepare and conduct ongoing followup surveys with businesses that interact with the City of Dublin to obtain licenses,
permits, and entitlements. Complete an
annual review to identify recurring issues
that can enhance clarity and efficiency of
these processes.
1-2 years,
then
Ongoing
Citywide
Community
Development
Department, Public
Works Department
Number of
surveys
administered
and collected;
completion of
annual review

6.2.1. In addition to continuing to promote
available City services to new businesses
obtaining business licenses, establish and
maintain a process and regular timeline for
preparing and sending email blasts, social
media promotions, and mailing of printed
materials to all local business license
holders. Through these contacts, promote
City business support services, incentives,
and relevant news.

Ongoing Citywide
Community
Development
Department,
Communications
Division
Establish
timeline to
regularly
prepare and
send media
and
marketing
materials to
local
businesses;
Number of
businesses
contacted
904
City of Dublin Economic Development Strategy and Implementation Actions 34 Action Item Time Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

6.2.2. Continue conducting reviews of
small business promotional events and
campaigns to assess their impact and
relevance to the businesses; consider
modifying, ending, or beginning new
initiatives based on the findings.

Ongoing Citywide Public Information
Department
Development
of review
criteria;
completion of
annual review
of small
business
promotional
events

6.3.1. Conduct targeted outreach to
businesses and business organizations
focused on serving Dublin’s Indian
American and Chinese American
communities to gather information about
specific needs, concerns, and potential
modifications to City services and
explanatory materials. Implement updates
to programs, processes, and written and
online materials as needed.
2-3 years,
then
Ongoing
Citywide Public Information
Department
Number of
businesses
contacted as
part of this
targeted
outreach;
updated
programs,
processes,
materials

6.4.1. Continue to provide and, if possible,
expand the Small Business Navigator
program, and other technical support
programs.

Ongoing Citywide
Communications
Division,
Information
Systems Division
Number of
events and
contacts

6.4.2. Continue using the City’s website to
help connect local small businesses to
Federal, State, and nonprofit programs and
organizations that provide technical
assistance.

Ongoing Citywide Communications
Division
Traffic on the
business
resources
webpage

6.4.3. Continue providing responsive small
business assistance through activities such
as direction to resources, local grant
funding and low-cost loan opportunities,
landlord outreach, and connections with
real estate brokers and other regional
partners.

Ongoing Citywide
Local property
owners and real
estate brokers
Number of
small
businesses
provided
direct
assistance or
direction
905
City of Dublin Economic Development Strategy and Implementation Actions 35 Goal 7: Workforce Opportunities
Dublin’s population is well educated overall, but 15 percent of residents hold a high school diploma or did not finish high school. Dublin also includes a concentration of jobs in industry sectors that typically offer relatively low pay and limited benefits—such as retail, food services, and personal services.

Although the City does not directly provide education, training, and workforce development services, the City of Dublin has an opportunity to ensure these services are readily accessible for Dublin residents and workers. Dublin can also potentially enhance regional commute access for Dublin workers and residents by planning for ways to leverage improved accessibility created by the planned Valley Link Project rail service to the San Joquin Valley.

Strategy 7.1 Influence and leverage regional workforce and economic development organizations and initiatives to ensure workforce development, education, and vocational training services are available to Dublin residents and workers.

Action 7.1.1 Maintain regular contact with and seek opportunities to connect and encourage collaboration between major employers, the Dublin Unified School District, Las Positas College, and Tri-Valley workforce development organizations. Use this process to enhance awareness of available training services and their graduates, encourage creation of internship and on-thejob training opportunities, and clarify the workforce training needs of Dublin’s employers.

Strategy 7.2 Leverage initiatives to expand and invest in transportation infrastructure that supports Dublin worker access.

Action 7.2.1 Consider and incorporate new worker commute access opportunities in City planning and business attraction efforts, based on the Valley Link Project. Ensure new public projects and, when possible, private development projects support robust “last-mile” job access connections from the Dublin/Pleasanton BART station.
906
City of Dublin Economic Development Strategy and Implementation Actions 36 FIGURE 16: GOAL 7 - WORKFORCE OPPORTUNITIES IMPLEMENTATION MATRIX Action Item Time Frame Subarea
Supporting
Organization /
Department
Metrics for
Measuring
Progress

7.1.1. Maintain regular contact with and
seek opportunities to connect and
encourage collaboration between major
employers, the Dublin Unified School
District, Las Positas College, and Tri-Valley
workforce development organizations. Use
this process to enhance awareness of
available training services and their
graduates, encourage creation of
internship and on-the-job training
opportunities, and clarify the workforce
training needs of Dublin’s employers.

Ongoing Citywide
Dublin Unified
School District, Las
Positas College,
Tri-Valley
workforce
development
organizations
Number of
contacts /
meetings with
relevant
workforce
development
organizations

7.2.1. Consider and incorporate new
worker commute access opportunities in
City planning and business attraction
efforts, based on the Valley Link Project.

Ensure new public projects and, when
possible, private development projects
support robust “last-mile” job access
connections from the Dublin/Pleasanton
BART station.
3-5 years Citywide
Valley Link, Contra
Costa
Transportation
Authority, Tri-Valley
Transit, Tri-Valley
Transportation
Council,
Transportation,
Community
Development
Department, Public
Works Department
Progress
towards
development
of new worker
access
projects and
opportunities
907
City of Dublin Economic Development Strategy and Implementation Actions 37

ECONOMIC PERFORMANCE INDICATORS
The following economic performance indicators are recommended for use by the Office of Economic Development to track and market economic conditions in the City of Dublin. These indicators gauge the health of the Dublin economy, but may be influenced by regional, national, or international conditions and therefore outside of the control of the City of Dublin. In contrast, the “Metrics for Measuring Progress,” listed in the implementation matrices for each implementation action, track implementation of the City’s direct actions.

1. New and Discontinued Business Licenses: Number of business licenses issued and discontinued annually for businesses located in Dublin, by location within the city.

2. Transient Occupancy Tax Revenue: Amount of annual transient occupancy tax revenue collected annually.

3. Building Permits: Number and value of commercial and industrial building permits issued by the City annually.

4. Sales Tax Revenue: Amount of citywide sales tax revenue collected annually. If this data can be reviewed on a business-by-business basis for retailers, sales trends can point to businesses that may be having a hard time, but that are not yet at risk of closure. Early intervention with coaching or other expertise may help the City retain these businesses.

5. Resident Employment and Unemployment Rate: Labor force, employment, and unemployment rate for Dublin’s residents, updated monthly and annually based on California Employment Development Department data.

6. Jobs Count: Annual number of jobs located in Dublin and the Tri-Valley based on a consistent set of data sources such as Lightcast via the East Bay Economic Development Alliance, U.S.

Census Longitudinal Employer-Household Dynamics data, and, as available through custom request, Quarterly Census of Employment and Wages data via the California Employment Development Department.

7. Overall Real Estate Market Data: Summary of asking rents, vacancy rates, and absorption rates collected quarterly for Dublin’s industrial and commercial buildings. 908
City of Dublin Economic Development Strategy and Implementation Actions 38

APPENDICES
Appendix A. Technical Analysis Report
Appendix B. Community Engagement Summary
909
Dublin Economic Development Strategy Technical Report 1 APPENDIX A: TECHNICAL ANALYSIS REPORT
This appendix to the City of Dublin Economic Development Strategy and Implementation Actions report (“Economic Development Strategy”) summarizes the existing conditions and dynamics of Dublin’s economy to identify the City’s strengths, weaknesses, opportunities and threats for sustaining future economic growth and prosperity. Strategic Economics completed technical analyses and community outreach to develop the findings of this appendix. The “Summary of SWOT Conclusions” section of the Economic Development Strategy summarized the key conclusions of these analyses. Those conclusions and the detailed findings described in this appendix informed development of the economic development strategies and implementation actions.

Approach and Contents
Strategic Economics completed a variety of data analyses to identify Dublin’s competitive positioning, opportunities, and challenges. Strategic Economics and the City of Dublin also conducted outreach to local stakeholders to inform and complement the findings of the data analyses. Stakeholder engagement activities included online business and community surveys, seven focus groups, and interviews with members of the Dublin City Council. These engagement activities were described in detail in the Economic Development Strategy.

This report is organized into the following sections:

1. Population and Workforce (page 3)

2. Key Industry Sectors and Jobs (page 11)

3. Office, Flex, and Light Industrial Real Estate Market Conditions (page 20)

4. Retail Performance (page 25)

5. Hotels and Tourism (page 30)
The Technical Analysis Report references smaller geographies, or “subareas,” within Dublin as shown in Figure 1. These subareas were created in consultation with City of Dublin staff to capture concentrations of business and jobs within Dublin and to better analyze and recommend actions for specific areas of the city.

The analyses also often compared Dublin with other major Tri-Valley communities (Danville, Livermore, Pleasanton, and San Ramon), the Tri-Valley as a whole, and the East Bay (Contra Costa and Alameda Counties). Regional comparisons provide context for understanding Dublin’s competitive positioning and assets, and to identify broader regional trends in the types of jobs and businesses that are growing or declining.
910
Dublin Economic Development Strategy Technical Report 2 FIGURE 1: REFERENCE MAP OF DUBLIN ECONOMIC DEVELOPMENT STRATEGY SUBAREAS 911
Dublin Economic Development Strategy Technical Report 3

1. Population and Workforce
Dublin’s population and workforce characteristics impact the community’s economic opportunities in a variety of ways. The size and composition of the residential customer base impacts Dublin’s ability to support different kinds of retail. The resident workforce affects Dublin’s ability to grow jobs and economic activity through entrepreneurship and employer growth, retention, and attraction. Commute patterns clarify existing workforce transportation assets and potential gaps in matches between local jobs and resident skills.

The Population and Workforce findings open with a discussion of key demographic and household trends that impact Dublin’s competitive positioning for jobs and retail. These findings are followed by a comparison of Dublin’s resident workforce versus local jobs and an assessment of resident and worker commute patterns.

DEMOGRAPHIC TRENDS
The following findings describe the existing demographics of Dublin’s population and households in terms of population, income, race and ethnicity. The findings are based on analysis of 2000, 2010, and 2020 data obtained from the U.S. Census Bureau Decennial Census, and 2021 data obtained from the Census’s American Community Survey (ACS) 5-year estimates.

Dublin is the fastest growing city in the Tri-Valley region and is now comparable in size to other major Tri-Valley communities. As shown in Figure 2, Dublin’s population grew 136 percent from 2000 to 2021, with growth accelerating since 2010 and greatly exceeding all other Tri-Valley communities.

Dublin’s population of nearly 70,000 residents is now approaching the size of Livermore, San Ramon, and Pleasanton’s populations—which ranged from 79,558 to 88,403 as of 2021.

FIGURE 2: TOTAL POPULATION, 2000 TO 2021

Sources: U.S. Census Bureau, 2000, 2010, ACS 2017-2021; Strategic Economics, 2023.

Dublin has a diverse population compared to other major Tri-Valley communities, with a rapidly growing Asian population. Figure 3 illustrates Dublin’s growing Asian population, which grew by over 1,000 percent from 2000 to 2021 according to data from the U.S. Census Bureau’s Decennial Census and American Community Survey. As seen in Figure 4, Dublin’s racial composition includes a higher share of People of Color than other major Tri-Valley communities, with Asian residents constituting 52 percent of the population, Hispanic or Latino residents constituting 10 percent, and Black residents constituting four percent (the highest share of Black residents of any Tri-Valley community). The retail 30,066
69,818
-
20,000
40,000
60,000
80,000
100,000
2000 2010 2021
Total Population
Dublin Livermore Pleasanton San Ramon Danville
912
Dublin Economic Development Strategy Technical Report 4 section of this report discusses potential opportunities associated with this expanding racial and ethnic diversity in Dublin.

FIGURE 3: RACE IN DUBLIN, 2000, 2010, AND 2021
Source: U.S. Census Bureau, 2000, 2010, ACS 2017-2021; Strategic Economics, 2023.

FIGURE 4: RACIAL COMPOSITION OF TRI-VALLEY COMMUNITIES, 2021 Source: U.S. Census Bureau, ACS 2017-2021; Strategic Economics, 2023.

Dublin’s Asian population is itself diverse, consisting primarily of people of Indian, Chinese, and Filipino origin. The U.S. Census American Community Survey estimates that, as of 2021, 48 percent of Dublin’s Asian residents were of Indian origin, 26 percent of Chinese origin, and nine percent of Filipino origin.

In addition, as of 2021, nearly half of Dublin’s residents report speaking a language other than English at home.
-
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
2000 2010 2021
Total Population
White Hispanic or Latino African American or Black Asian Other 29%
55%
43% 36%
73% 10%
23%
11%
8%
7%
4%
2%
2%
3%
1%
52%
15%
39%
48%
15%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Dublin Livermore Pleasanton San Ramon Danville
Other
Asian
African American or Black
Hispanic or Latino
White
913
Dublin Economic Development Strategy Technical Report 5 FIGURE 5: ASIAN POPULATION BY ORIGIN IN DUBLIN, 2021
Source: U.S. Census Bureau, ACS 2017-2021; Strategic Economics, 2023.

Dublin has a relatively high-income population, and Dublin’s household income levels grew rapidly since 2010. Dublin’s median household income of just over $185,000 as of 2021 was more than $65,000 higher than the East Bay as a whole. Dublin’s median income is comparable to other TriValley communities such as Pleasanton and San Ramon. In addition, Dublin’s median income growth has outpaced all other major Tri-Valley communities. As seen in Figure 6, Dublin’s inflation-adjusted median household income rose by 30 percent between 2010 and 2021, highest among all Tri-Valley communities during that time.

FIGURE 6: MEDIAN INCOME OF TRI-VALLEY COMMUNITIES (CONSTANT 2022 DOLLARS), 2010 TO 2021 Source: U.S. Census Bureau, 2010, ACS 2017-2021; Strategic Economics, 2023.

Dublin’s population is highly skilled and educated, comparable to Pleasanton and San Ramon. As shown in Figure 7, 68 percent of Dublin’s population age 25 years or older has a bachelor’s degree or higher level of education, up from 52 percent in 2010. The share of Dublin’s population with a bachelor’s degree or higher is comparable to Pleasanton and San Ramon, at 66 percent and 70 percent, respectively.

Asian Indian,
48%
Chinese,
Except
Taiwanese,
26%
Filipino, 9%
Korean, 5%
Vietnamese,
3%
Two or More
Origins, 2%
Other Origin
Specified
Japanese,
1% Pakistani,
1% Taiwanese,
1%
$142,098
$123,495
$153,135 $159,892 $160,469
$185,110
$151,300
$181,611 $187,653 $196,151
$0
$50,000
$100,000
$150,000
$200,000
Dublin Livermore Pleasanton San Ramon Danville
Median Income
2010 2021
914
Dublin Economic Development Strategy Technical Report 6 FIGURE 7: DUBLIN EDUCATIONAL ATTAINMENT FOR POPULATION 25 YEARS AND OVER, 2010 TO 2021 Source: U.S. Census Bureau ACS 2006-2010, 2017-2021; Strategic Economics, 2023.

WORKFORCE
The following findings describe characteristics of Dublin’s workforce in terms of occupation and commuting patterns. In addition, Dublin’s residents were compared to workers at jobs in Dublin to examine the match between the resident workforce versus the number and types of jobs located in the city.

Occupational characteristics used for these analyses were based on 2021 data obtained through U.S.

Census Bureau Longitudinal Employer-Households Dynamics (LEHD) data. Educational attainment findings and commute patterns were based on 2000, 2010, and 2020 data obtained from the U.S.

Census Bureau, 2021 data obtained from the American Community Survey (ACS), and 2021 LEHD data.

It is important to note that the U.S. Census LEHD data differs from the Lightcast data used in the detailed economic analysis in the next section of this report. LEHD data provides a consistent data set for comparing the characteristics of workers at jobs versus residents who hold jobs, and for examining commute patterns. However, LEHD data only describes relatively broad industry sectors and is not available for recent years; the data therefore cannot be used for detailed and timely economic analysis.

The highest shares of workers at jobs in Dublin are employed in household-serving industries such as the Retail, Accommodation and Food Service, and Healthcare and Social Assistance industry sectors.

As of 2021, 42 percent of Dublin’s total workers at jobs in the city worked within these three industry sectors, as shown in Figure 8.

The mix of jobs by industry in Dublin is significantly different from the types of jobs held by Dublin’s residents, with a higher share of workers at jobs in Dublin concentrated in industries that tend to pay lower wages. Compared to the industries in which Dublin’s residents work, the city includes a high share of retail and service jobs focused on serving the consumer needs of Dublin’s large and fastgrowing residential population. In 2021, LEHD data indicated that only seven percent of Dublin’s employed residents worked in the Retail Trade industry, yet 18 percent of workers at jobs in the city were employed in Retail Trade. In addition, nearly 10 percent of workers at jobs in Dublin worked in the Accommodation and Food Services industry, compared to less than five percent of Dublin’s employed residents. Jobs in the Retail Trade and Accommodation and Social Assistance industries -
10,000
20,000
30,000
40,000
50,000
60,000
2010 2021
Population
Doctorate Degree
Professional School Degree
Master's Degree
Bachelor's Degree
Some College
High School Graduate (Includes
Equivalency)
915
Dublin Economic Development Strategy Technical Report 7 tend to include a relatively high share of lower wage jobs, increasing the likelihood that these workers will commute from relatively lower cost communities outside Dublin.

A much higher share of Dublin’s residents work in the Information and Professional, Scientific, and Technical Services (PSTS) industry sectors compared to workers at jobs in the city. As of 2021, nearly 29 percent of Dublin’s employed residents worked in the PSTS and Information industry sectors, yet only eight percent of workers at jobs in Dublin were employed in those industry sectors. The PSTS and Information industry sectors include professional services, research and development, and technology businesses that tend to pay high salaries and have high educational attainment requirements— corresponding to Dublin’s population and household characteristics. The limited share of such jobs in Dublin relative to the resident workforce suggests that a significant share of Dublin’s residents commute to concentrations of these jobs outside Dublin itself—and that an opportunity may exist to grow industries that benefit from proximity to this highly skilled workforce.

FIGURE 8: SHARE OF DUBLIN'S WORKERS AT JOBS IN THE CITY VERSUS WORKING RESIDENTS, BY INDUSTRY SECTOR, 2021
Note: LEHD data assigns government jobs to various industry sectors, whereas the Lightcast data described in the next section of this report groups “Government” jobs into a single category. Therefore, the “Public Administration” item in the chart above does not correspond to the Government jobs shown in the Lightcast data analyses.

Source: U.S. Census Longitudinal Employer-Household Dynamics, 2021; Strategic Economics, 2024.

Employed residents of Dublin have higher educational attainment than workers at jobs in Dublin. As seen in Figure 9, the percent of employed residents in Dublin that hold a bachelor’s degree or higher is 42 percent, compared to 28 percent of workers at jobs in Dublin. Note that the data does not track the share of workers with more advanced degrees, such as a master’s or doctorate degree, as a separate category.

0.00% 5.00% 10.00% 15.00% 20.00%
Retail Trade
Health Care and Social Assistance
Accommodation and Food Services
Construction
Educational Services
Management of Companies and Enterprises
Manufacturing
Professional, Scientific, and Technical Services
Administration & Support, Waste…
Other Services (excluding Public Administration)
Wholesale Trade
Information
Finance and Insurance
Real Estate and Rental and Leasing
Transportation and Warehousing
Public Administration
Arts, Entertainment, and Recreation
Utilities
Agriculture, Forestry, Fishing and Hunting
Mining, Quarrying, and Oil and Gas Extraction
Workers Residents
916
Dublin Economic Development Strategy Technical Report 8 FIGURE 9: EDUCATION ATTAINMENT OF DUBLIN'S WORKFORCE AND RESIDENTS, 2021 Source: U.S. Census Longitudinal Employer—Household Dynamics, 2021; Strategic Economics, 2024.

Dublin’s mismatch between local jobs versus the types of jobs held by residents represents an ongoing evolution of Dublin from a relatively small and primarily residential Tri-Valley community to a now larger community with a substantial base of skilled resident workers. Dublin’s concentration of householdserving jobs corresponds to the community’s recent history as a fast-growing residential city with convenient access to other Tri-Valley and Bay Area employment destinations. As Dublin’s population has grown, including a large share of highly educated professional workers, a new opportunity is emerging to enhance growth of businesses and jobs in the city that benefit from proximity to this residential workforce.

Collaborations with Tri-Valley workforce development organizations can enhance the trained and skilled workforce available for Dublin employers and support career opportunities for workers in Dublin. Collaborations with education and workforce development partners can support the availability of trained workers for Dublin employers across all categories of skills and occupations. Workforce and education service providers can also create new career opportunities for workers in Dublin’s large share of jobs in industries that typically pay relatively lower wages and have less job stability, such as retail, food service, and personal services. Examples of regional workforce development organizations include Tri-Valley Career Center, Las Positas College, and the Tri-Valley Regional Occupational Program.

COMMUTE PATTERNS
Dublin residents have long average commute times compared to the East Bay region overall. As seen in Figure 10, 25 percent of Dublin’s resident workers aged 16 and older commute more than 60 minutes for work; 15 percent of workers in the East Bay commute for 60 minutes or longer. Figure 11 illustrates that nearly a quarter of Dublin residents commute to the region’s largest concentrations of jobs in places like San Francisco, San Jose, and Oakland—roughly the same share as workers who commute to Tri-Valley locations.

Although the rate at which workers work from home is still evolving, data shows that a relatively high share of Dublin’s residents were working from home in 2021 compared to the East Bay overall. In 2021, 22 percent of Dublin’s employed residents worked from home versus 16 percent for workers in the East Bay overall. From 2014 to 2021, the share of Dublin’s workers aged 16 and over who worked

22.70%

13.80%

10.90%

9.10%

15.10%

13.40%

23.10%

21.20%

28.20%

42.50%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Workers Employed in Dublin Working Residents of Dublin
Bachelor’s degree or advanced
degree
Some college or Associate degree
High school or equivalent, no college
Less than high school
Not Available
917
Dublin Economic Development Strategy Technical Report 9 from home nearly quadrupled due to the COVID-19 pandemic, while the share for workers in the East Bay overall grew by 2.5 times. The higher rate of working from home in Dublin is partly explained by the City’s high share of residents in professional industries with occupations allowing work to be performed remotely.

FIGURE 10: AVERAGE COMMUTE TIME FOR DUBLIN RESIDENTS 16 YEARS AND OLDER, 2014 TO 2021 Source: U.S. Census Bureau ACS 2010-2014, 2017-2021 5 Year Estimates; Strategic Economics, 2023.

FIGURE 11: TOP 15 EMPLOYMENT DESTINATIONS OF EMPLOYED RESIDENTS OF DUBLIN, 2021 Employment Destination (City)
Employed
Residents of
Dublin
Share of
Total
San Francisco 2,977 9.8%
Pleasanton 2,623 8.7%
San Jose 2,289 7.6%
Dublin 1,751 5.8%
Oakland 1,360 4.5%
Fremont 1,326 4.4%
Livermore 1,236 4.1%
San Ramon 1,203 4.0%
Sunnyvale 851 2.8%
Santa Clara 822 2.7%
Hayward 726 2.4%
Mountain View 712 2.3%
Palo Alto 669 2.2%
San Leandro 585 1.9%
Walnut Creek 573 1.9%
Source: U.S. Census Longitudinal Employer—Household Dynamics, 2021; Strategic Economics, 2023.

About 5.8 percent of Dublin’s working residents both live and work in Dublin, which is lower than other major Tri-Valley communities. According to U.S. Census Bureau LEHD data, in 2021, a relatively lower share of people both lived and worked at their primary job in Dublin than in all other major Tri-Valley 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000
Less than 10 Minutes
10 to 19 Minutes
20 to 29 Minutes
30 to 39 Minutes
40 to 59 Minutes
60 to 89 Minutes
90 or More Minutes
Worked At Home
Number of Workers
Travel Time
2021
2014
918
Dublin Economic Development Strategy Technical Report 10 communities. Dublin’s share of the employed population who worked in the same community was much lower than communities like Livermore and Pleasanton, in which shares of 21.2 and 14.2 percent of employed residents also work at their primary jobs in those cities, respectively.

With a net “export” of workers commuting in and out of Dublin, Dublin is a resident-rich city with more employed residents than jobs. As shown in Figure 12, Dublin’s 0.79 ratio of jobs to employed residents is lower than all major Tri-Valley communities except Danville. This means that more Dublin residents are commuting elsewhere to work than there are outside workers commuting to Dublin. The ratio reflects Dublin’s history as a fast-growing residential community that is now positioned to accelerate growth of businesses and jobs.

FIGURE 12: RATIO OF JOBS TO EMPLOYED RESIDENTS BY TRI-VALLEY COMMUNITY, 2021 Note: Data reflects all jobs located in each community versus a count of the “primary job” associated with each employed resident—i.e., the latter is a count of employed residents rather than a count of all the jobs those residents may hold. The data comes from U.S. Census LEHD and is therefore internally consistent, but the actual job counts will differ from data based on any other source—such as the Lightcast data used in the detailed industry sector analysis of this report.

Source: U.S. Census Longitudinal Employer-Household Dynamics, 2021; Strategic Economics, 2023.

Dublin’s ratio of jobs to households is slightly lower than the Tri-Valley area overall, but significantly higher than the East Bay. As shown in Figure 13, Dublin’s ratio of jobs to households of 1.7 is slightly lower than the Tri-Valley’s 1.8 ratio but significantly higher than the East Bay as a whole. Like the ratio of jobs to employed residents, the ratio of jobs to households provides context for understanding Dublin’s relative balance of jobs and population. Both metrics can be used to broadly track progress over time in expanding jobs relative to Dublin’s households and working residents. However, the ratio alone does not capture nuances of commute patterns or alignment of jobs with resident skills. For example, a commonly used criterion is that a healthy ratio of jobs to households is approximately 1.5, but this ratio does not capture comparative local context and nuance on its own.

FIGURE 13: RATIO OF JOBS TO HOUSEHOLDS BY DUBLIN, TRI-VALLEY, AND EAST BAY, 2021 Total Jobs Total Households Ratio of Jobs to
Households
Dublin 38,960 22,946 1.70
Tri-Valley 228,144 127,097 1.80
East Bay 1,260,812 986,789 1.28
Note: Tri-Valley total household data reflects the sum of total households in the U.S. Census Bureau’s 2021 ACS data for Dublin, Pleasanton, Livermore, San Ramon, and Danville. The Lightcast employment count for Dublin covers ZIP code 94568. The job counts shown in this figure are based on Lightcast data, which differs from the LEHD data used to calculate the ratio of jobs to employed residents.

Source: Lightcast Q3 2023 Data Set; U.S. Census Bureau 2017-2021; Strategic Economics, 2024.

0.79 1.69

1.22 1.02

0.61 Dublin Pleasanton Livermore San Ramon Danville
Jobs to Employed
Residents Ratio
919
Dublin Economic Development Strategy Technical Report 11

2. Key Industry Sectors and Jobs
The “Key Industry Sectors and Jobs” findings describe the composition and performance of Dublin’s economy—along with other relevant challenges and assets for growing jobs and businesses—to identify competitive strengths and opportunities. The findings are based on analyses of jobs by industry sector, venture capital investment patterns, and qualitative input from local Dublin business and industry stakeholders.

The industry and sub-industry sectors described throughout this chapter conform to the North American Industry Classification System, commonly referred to as “NAICS.” NAICS is a standardized set of industry and sub-industry classifications, each of which is assigned a NAICS code ranging from high-level 2-digit industry codes to more detailed 6-digit industry codes.

The analysis of jobs by industry sector was based on 2023 data obtained from Lightcast for the 2-digit and 6-digit NAICS code levels. Venture capital investment data for 2023 was obtained through Pitchbook via the City of Dublin.

As part of the process to identify industries that are concentrated in Dublin, Strategic Economics employed a metric known as the “location quotient.” This metric calculated the relative concentration of jobs in a given industry in Dublin compared to the Tri-Valley region. Strategic Economics also performed a detailed evaluation of opportunities for expanding life science and innovation-oriented industries in Dublin, as requested by the City of Dublin.

INDUSTRY COMPOSITION AND TRENDS, BY NUMBER OF JOBS
The following findings provide a foundation for understanding which industry sectors support large shares of Dublin’s jobs and create opportunities to sustain their presence, and which industry sectors are positioned for growth regardless of their current size. The findings describe the composition and evolution of Dublin’s economy based on analyses of jobs by industry sector and job growth by sector WHAT IS A LOCATION QUOTIENT?
A location quotient (LQ) is a metric used to understand the relative concentration of an industry in a study area (in this case, Dublin), compared to a reference geography (in this case, the Tri-Valley). LQs are used to assess an area’s specialization, weaknesses, and opportunities for growth within a broader region. The LQ of a given industry A in Dublin, compared to the Tri-Valley, is calculated using the following formula:

𝐿𝐿𝐿𝐿 𝑓𝑓𝑓𝑓𝑓𝑓 𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼 𝐼𝐼 𝐴𝐴 = (𝐽𝐽 𝐽𝐽 𝑖𝑖 𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼 𝐼𝐼 𝐴𝐴 𝑖𝑖 𝐷𝐷 𝐷𝐷 )⁄(𝑇𝑇 𝑇𝑇 𝐽𝐽 𝐽𝐽 𝑖𝑖 𝐷𝐷 𝐷𝐷 ) (𝐽𝐽 𝐽𝐽 𝑖𝑖 𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼𝐼 𝐼𝐼 𝐴𝐴 𝑖𝑖 ℎ𝑒𝑒 𝑇𝑇 𝑇𝑇𝑇𝑇 ⁄(𝑇𝑇 𝑇𝑇 𝐽𝐽 𝐽𝐽 𝑖𝑖 𝑇𝑇 𝑇𝑇𝑇𝑇 ) LQs were interpreted using the rules of thumb below. Note that these vary based on the aggregation level of the industry and the size of the study area and reference geography. • LQ > 1.15 indicates a generally high concentration relative to the reference geography; • LQ between 0.85 and 1.15 indicates a normal or average distribution of that industry compared to the reference geography;
• LQ < 0.85 indicates a relatively low concentration relative to the reference geography. 920
Dublin Economic Development Strategy Technical Report 12 between 2016 and 2023. A more detailed analysis of industry opportunities follows in the next section of this report, based on consideration of broader economic trends and Dublin’s competitive assets for businesses.

As of the third quarter of 2023, Dublin had an estimated 40,820 jobs, with job growth similar to that of the Tri-Valley in the period since 2016. Jobs grew by 6.4 percent in Dublin since 2016, from 38,377 in 2016 to 40,821 jobs in 2023, as shown in Figure 14. This slightly outpaces the 5.8 percent job growth in the Tri-Valley overall during that period. These similar growth rates indicate that Dublin is keeping pace with job growth in the Tri-Valley area over the long term.

FIGURE 14: DUBLIN AND TRI -VALLEY TOTAL JOBS, 2016 TO 2023 Source: Lightcast Employment Q3 2016, 2019, and 2023 Data Set; Strategic Economics, 2023.

Dublin’s largest industry sectors primarily consist of Government jobs and household-serving industries, though the city’s economy does include a variety of professional services, research and development, manufacturing, and technology industries and businesses. Figure 15 shows Dublin’s industries by number of jobs, while Figure 16 compares industry composition to the Tri-Valley and East Bay. Growth trends from 2016 to 2023 are summarized in Figure 17. Major industry sectors or groupings of industry sectors are profiled below.

Government. Government jobs constitute Dublin’s largest share of employment, accounting for over 22 percent of total jobs as of 2023. This large share of jobs in the city is attributable to local government jobs (including the local school district) and the presence of facilities in Dublin such as Santa Rita Jail, Alameda County Superior Court, Parks Reserve Forces Training Area (“Camp Parks”), and other county and federal facilities. The number and share of Government jobs slightly decreased in Dublin between 2016 and 2023. During the same period, the share of Government jobs grew at a rate of over 20 percent in the Tri-Valley region. These Government jobs provide employment opportunities for residents and attract workers and visitors to Dublin that support consumer spending.

Healthcare and Social Assistance. This primarily household-serving industry sector is Dublin’s second largest, accounting for 12 percent of total jobs as of 2023. Since 2016, the total share of Healthcare and Social Assistance jobs grew by 103 percent, greatly exceeding the Tri-Valley’s 27 percent increase in these jobs during the same period. Examples of these jobs include hospitals, medical offices, home health aides, medical diagnostic labs, assisted living facilities, and individual and family service and relief organizations. 38,377 41,259 40,821
0 10,000
20,000
30,000
40,000
50,000
2016 2019 2023
Number of Jobs
Dublin
229,563 241,183 242,919
0 50,000
100,000
150,000
200,000
250,000
300,000
2016 2019 2023
Tri-Valley
921
Dublin Economic Development Strategy Technical Report 13 Accommodation and Food Services, Retail Trade. These two primarily household-serving industry sectors—which include restaurants, retail stores, and hotels—combined to constitute 20 percent of Dublin’s total jobs in 2023. Jobs in these sectors declined or grew slowly between 2016 and 2023—particularly for retail jobs. Dublin’s jobs in Retail Trade declined by 21 percent, compared to a 14 percent decline in the Tri-Valley. Dublin’s Accommodation and Food Services jobs grew by five percent, although this growth outpaced flat growth in the Tri-Valley overall. Food Services employment is likely to continue outpacing growth in Retail Trade, since restaurants are an “experiential” activity that cannot be replicated through online sales.

Other Services. The Other Services industry sector is another primarily household-serving industry sector that includes many types of businesses that are also located in commercial and light industrial areas, including a variety of personal services such as salons, dry cleaners, and automobile repair. The industry sector also includes some categories of nonprofit organizations and domestic workers. Other Services was Dublin’s fifth largest industry sector in 2023, constituting eight percent of jobs. The sector grew slowly between 2016 and 2023, with one percent growth in Dublin and five percent growth in the Tri-Valley. However, this growth may have been constrained by the COVID-19 pandemic. As with Food Services, jobs at personal services businesses are generally positioned for ongoing growth relative to Retail Trade.

Besides Government jobs and jobs in primarily household-serving industries, Dublin’s economy includes a mix of jobs in a variety of individually smaller industry sectors representing professional services, corporate headquarters, technology, and innovation-oriented industry sectors. The PSTS, Information, Finance and Insurance, and Real Estate industry sectors collectively constituted 11 percent of jobs in Dublin in 2023, versus 25 percent of jobs in the Tri-Valley. These industry sectors include businesses such as professional services (attorneys, real estate brokers), software companies, and scientific research and development. Jobs in the Management of Companies and Enterprises sector constituted another five percent of employment in Dublin, with the Ross Stores corporate headquarters likely accounting for most of these jobs.

Dublin’s Information and Management of Companies and Enterprises jobs grew at a much faster pace than the Tri-Valley from 2016 to 2023, and Finance and Insurance jobs also grew in Dublin while declining in the Tri-Valley (see Figure 17). However, PSTS jobs and Real Estate jobs declined in Dublin despite growth in the Tri-Valley.

Manufacturing, Transportation and Warehousing, and Wholesale Trade jobs—which are largely associated with industrial land uses—constitute a relatively small share of Dublin’s jobs. Jobs in these industry sectors constituted six percent of Dublin’s jobs in 2023, versus 11 percent in the Tri-Valley.1 Transportation and Warehousing and Manufacturing jobs grew in Dublin from 2016 to 2023, though growth rates slightly lagged these industries in the Tri-Valley overall. Dublin has long included a presence of advanced manufacturing jobs, such as at the former Hexcel facility, the current Zeiss Innovation Center, and smaller employers such as Kensington Laboratories (a wafer robotics manufacturer). These jobs serve to diversify the Dublin economy, despite their small overall share of Dublin’s economy.
1 Construction industry sector jobs are also associated with industrial uses. Lightcast data shows that these jobs constituted Dublin’s sixth largest industry sector in 2023. However, such jobs are often not actually located in the area indicated by data either because workers are at job site elsewhere or located temporarily in a given community for specific projects. This mismatch and ambiguity also occur with many jobs in the Administrative and Support and Waste Management and Remediation industry sector, which includes many temp agency jobs. 922
Dublin Economic Development Strategy Technical Report 14 FIGURE 15: DUBLIN TOTAL JOBS BY SECTOR, 2023
Source: Lightcast Employment Q3 2023; Strategic Economics, 2023.

FIGURE 16: SHARE OF JOBS BY INDUSTRY SECTOR AND LOCATION, 2023 Source: Lightcast Employment Q3 2023; Strategic Economics, 2023.

Other Industries
Arts, Entertainment, and Recreation
Transportation and Warehousing
Wholesale Trade
Real Estate and Rental and Leasing
Educational Services
Finance and Insurance
Information
Manufacturing
Administrative & Support, Waste Management and…
Management of Companies and Enterprises
Professional, Scientific, and Technical Services
Construction
Other Services (Excluding Public Administration)
Retail Trade
Accommodation and Food
Health Care and Social Assistance
Government
0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 10,000

TOTAL JOBS
0% 5% 10% 15% 20% 25%
Other Industries
Arts, Entertainment, and Recreation
Transportation and Warehousing
Wholesale Trade
Real Estate and Rental and Leasing
Educational Services
Finance and Insurance
Information
Manufacturing
Administrative & Support, Waste Management and…
Management of Companies and Enterprises
Professional, Scientific, and Technical Services
Construction
Other Services (Excluding Public Administration)
Retail Trade
Accommodation and Food
Health Care and Social Assistance
Government
Share of Jobs by Location
Dublin
Tri-Valley
East Bay
923
Dublin Economic Development Strategy Technical Report 15 FIGURE 17: INDUSTRY GROWTH IN DUBLIN AND THE TRI-VALLEY, 2016 TO 2023 Source: Lightcast Employment Q3 2016 and 2023; Strategic Economics, 2023.

ECONOMIC ASSETS AND INDUSTRY OPPORTUNITIES
The following findings identify Dublin’s major opportunities for future industry growth. These opportunities informed the preparation of economic development strategies that support these industries while also ensuring a generally attractive business environment for all potential businesses.

The findings describe factors used to identify different industry opportunities. Examples include industry size, concentration, trends favoring future growth of the industry, venture capital investment patterns, compatibility with Dublin and the Tri-Valley’s workforces, links to existing large employers in Dublin or the Tri-Valley, and potential opportunities associated with Tri-Valley institutions.

Dublin is likely to maintain its large and concentrated presence of household-serving industry sectors, given the larger local population, ongoing local population growth, and the city’s accessible location along I-580 for regional consumer access. Household-serving industry sectors are heavily concentrated in Dublin. As shown in Figure 18, Other Services, Accommodation and Food Services, Retail Trade, and Health Care and Social Assistance are all more heavily concentrated in Dublin than the Tri-Valley or East Bay. Potential job growth in these sectors will be linked to household consumption, population growth, and trends favoring services and dining as retail sales increasingly shift to online shopping. The California Employment Development Department (EDD) also projects that Accommodation and Food Service jobs will grow by 47 percent in the East Bay from 2020 to 2030, as shown in Figure 19.
-100% -50% 0% 50% 100% 150%
Other Industries
Wholesale Trade
Retail Trade
Real Estate and Rental and Leasing
Professional, Scientific, and Technical Services
Government
Other Services (Excluding Public Administration)
Construction
Accommodation and Food
All Jobs
Manufacturing
Finance and Insurance
Educational Services
Transportation and Warehousing
Management of Companies and Enterprises
Administrative & Support, Waste Management…
Arts, Entertainment, and Recreation
Health Care and Social Assistance
Information
Job Growth, 2016-2023
Dublin
Tri-Valley
924
Dublin Economic Development Strategy Technical Report 16 Dublin’s concentration of professional services, technology, advanced manufacturing, and research and development jobs is relatively limited today, but the city does include a significant existing base of these jobs. As shown in Figure 18, Dublin includes a relatively low concentration of jobs in the Manufacturing, Finance and Insurance, Real Estate, Information, and PSTS industry sectors compared to the Tri-Valley and, for most sectors, the East Bay. However, the city already includes a base of jobs in these sectors (as described earlier) and several major employers representing these sectors or activities such as Patelco Credit Union, TriNet, and Zeiss Meditec.

PSTS jobs are projected to grow significantly by 2030 in the East Bay, along with lower but significant growth for Manufacturing and Information jobs. As shown in Figure 19, as of May 2023 the California EDD projected that PSTS jobs will constitute the fourth fastest growing industry sector in the East Bay between 2020 and 2030. Projected growth rates are lower for Manufacturing and Information jobs, but positive growth is anticipated for both industry sectors.

Dublin is well positioned to expand its base of professional services (such as attorneys, accountants, and finance), technology, advanced manufacturing, life sciences, and other innovation-oriented businesses given the City’s existing business, population, location, and infrastructure assets within the Tri-Valley. Based on the economic assessment and input from local and regional business stakeholders, these assets include:
• The highly educated workforce in Dublin and the Tri-Valley (as described earlier), along with local workforce training and education assets such as Las Positas College. • Regional access to a diverse workforce, including diverse occupations and skills from within the Tri-Valley and surrounding areas.

• Transportation infrastructure assets, including BART for commuters, I-580 for commuters and goods movement needs, and future connections via the Valley Link Project that will create a passenger rail connection to Northern San Joaquin Valley. • Regional research and development institutional anchors such as the Lawrence Livermore and Sandia National Laboratories.
• Regional startup and business support initiatives such as i-Gate’s support for startups. • A large and competitive existing base of these jobs in the Tri-Valley: Figure 16 indicates that the Tri-Valley’s economy includes a relatively high share of jobs in the PSTS, Information, Finance and Insurance, and Real Estate industry sectors compared to the East Bay as a whole.

These industry sectors also grew recently in the Tri-Valley, as shown in Figure 17.

Venture capital investments in Dublin-based companies indicate the city’s potential to grow businesses and jobs related to AI and software. Dublin is especially well positioned to expand jobs in the computer technology and software industry, leveraging growth of artificial intelligence (AI). In addition to Dublin’s rapid growth of Information jobs from 2016 to 2023, these jobs are also highly concentrated in the city compared to the East Bay (Figure 18). Dublin has seen considerable venture capital investment in computer-related technology startups based in Dublin since 2018. Figure 20 and Figure 21 illustrate venture capital deals by industry sector and deal size for startups based in Dublin.

Over 72 percent of venture capital deals in Dublin were for startups based in the information technology industry.
925
Dublin Economic Development Strategy Technical Report 17 FIGURE 18: RELATIVE CONCENTRATION OF INDUSTRY SECTORS FOR DUBLIN VERSUS THE TRI-VALLEY AND EAST BAY, 2023 (EXPRESSED AS A LOCATION QUOTIENT)
Note: As described earlier in this report, a location quotient of 1.0 indicates equal concentration of an industry sector in Dublin versus the comparison geography. Location quotients above 1.0 indicate the extent to which an industry sector is more heavily concentrated in Dublin versus the comparison geography.

Source: Lightcast Employment Q3 2023; Strategic Economics, 2023.

FIGURE 19: PROJECTED JOB GROWTH BY MAJOR INDUSTRY SECTOR, EAST BAY, 2020 TO 2030 Source: California Employment Development Department, 2020-2030 Industry Employment Projections, Oakland-Hayward-Berkeley MD, May 2023; Strategic Economics, 2024.

0.00 1.00 2.00 3.00
Professional, Scientific, and Technical Services
Arts, Entertainment, and Recreation
Wholesale Trade
Information
Transportation and Warehousing
Real Estate and Rental and Leasing
Finance and Insurance
Manufacturing
Administrative & Support, Waste Management and…
Other Industries
Educational Services
Construction
Health Care and Social Assistance
Retail Trade
Accommodation and Food Services
Other Services (Excluding Public Administration)
Management of Companies and Enterprises
Government
Location Quotient
(Equal Concentration of Industry Sector at 1.0)
Dublin vs.

Tri-Valley
Dublin vs.

East Bay
0% 10% 20% 30% 40% 50% 60% 70%
All Jobs
Other Services
Government
Finance and Insurance
Management of Companies and Enterprises
Information
Retail Trade
Manufacturing
Wholesale Trade
Construction
Real Estate and Rental and Leasing
Administrative and Support and Waste Management…
Health Care and Social Assistance
Educational Services (Private)
Professional, Scientific, and Technical Services
Transportation and Warehousing
Accommodation and Food Services
Arts, Entertainment, and Recreation
Percent Change in East Bay Jobs, 2020 to 2030
926
Dublin Economic Development Strategy Technical Report 18 FIGURE 20: DUBLIN VENTURE CAPITAL DEALS BY CATEGORY, 2018 TO 2023 Industry Sector Venture Capital Deals
Information Technology 33
Consumer Products and Services (B2C) 5
Financial Services 2
Healthcare 4
Energy 1
Total 45
Source: Pitchbook, 2023; Strategic Economics, 2023.

FIGURE 21: DUBLIN VENTURE CAPITAL DEAL SIZE, 2018 TO 2023 Category Venture Capital Invested
(Millions of Dollars)
Commercial Services 0
Communications and Networking 3
Computer Hardware 306.2
Consumer Durables 0
Consumer Non-Durables 0.25
Energy Equipment 0.08
Healthcare Technology Systems 45
IT Services 2.41
Other Financial Services 51.2
Retail 38.36
Semiconductors 20.09
Services (Non-Financial) 0.01
Software 27
Total 493.6
Source: Pitchbook, 2023; Strategic Economics, 2023.

The biomedical industry’s presence is relatively limited in Dublin today, but a cluster of these businesses exist within the Tri-Valley area. The City of Dublin requested targeted analysis of life science industry opportunities. As defined by the East Bay Economic Development Alliance (EDA), the broader biomedical industry includes biotechnology, pharmaceuticals, medical devices, medical equipment, genomics, and digital healthcare.2 Zeiss Meditec, a maker of optical medical equipment, is Dublin’s largest biomedical industry employer. A few smaller biomedical businesses also exist in the City, such as the medical equipment company Azure Biosystems. However, recent mapping by the East Bay EDA shows that Dublin can build upon its location within an already thriving biomedical business cluster, with Pleasanton already home to a large number of biomedical businesses.3 2 https://www.resilienteastbay.org/industry-biomedical/ 3 https://www.resilienteastbay.org/map/
927
Dublin Economic Development Strategy Technical Report 19 Dublin is positioned to expand its presence of businesses in the biomedical industry—and especially medical devices and equipment—based on the industry’s long term regional growth potential and Dublin’s competitive assets. Dublin is positioned to grow biomedical businesses and jobs based on the skilled and diverse workforce of the Tri-Valley, existing base of biomedical industry businesses in the Tri-Valley, and opportunities for development of new facilities in Dublin such as the Downtown Commons project and at the Fallon East Economic Development Zone. However, the Tri-Valley is relatively distant from the Bay Area’s largest concentrations of pharmaceutical and biotechnology research in South San Francisco and Emeryville. As a result, Dublin is likely best positioned to compete for other aspects of the biomedical industry such as medical equipment/devices, genomics, and digital healthcare.
928
Dublin Economic Development Strategy Technical Report 20

3. Office, Flex, and Light Industrial Real Estate Market Conditions
The performance of commercial real estate in the City of Dublin reflects the community’s ability to retain and expand different kinds of businesses. Rental rates, vacancy rates, and development activity are indicators of market demand and growth in the city.

This report section provides a market assessment of office, flex/R&D, and light industrial land uses in the City of Dublin. The findings are based on real estate market data obtained from real estate data service CoStar Group (CoStar), interviews with local brokers and developers, and focus group meetings and interviews with industry stakeholders.

OFFICE, FLEX, AND LIGHT INDUSTRIAL
Dublin includes a relatively small share of the Tri-Valley’s non-residential building inventory. As shown, in Figure 22, Dublin has fewer square feet of non-residential building inventory compared to other TriValley cities. Dublin constitutes 13 percent of the total square feet of industrial, office, and flex space within Dublin, Pleasanton, Livermore, and San Ramon combined.

FIGURE 22: TRI-VALLEY CURRENT INVENTORY BY SQUARE FEET, 2023 Source: Costar, 2023; Strategic Economics, 2023.

Dublin’s nonresidential building inventory primarily consists of retail and office uses. As shown in Figure 23, retail uses constitute 44 percent of Dublin’s nonresidential building inventory, in square feet. Office uses constitute 29 percent of space, while flex and industrial uses constitute 15 and 12 percent of space, respectively.

FIGURE 23: DUBLIN EXISTING INVENTORY BY BUILDING TYPE, 2023 (SQUARE FEET) Sources: CoStar, 2023; Strategic Economics, 2024.
0 5,000,000
10,000,000
15,000,000
20,000,000
Dublin Pleasanton Livermore San Ramon Danville
Square Feet
Industrial Office Flex
Retail
44%
Industrial
12%
Office
29%
Flex
15%
929
Dublin Economic Development Strategy Technical Report 21 The “Sierra Trinity Business Park/Dougherty Road” subarea includes most of Dublin’s light industrial and flex spaces. Figure 24 shows that the Dougherty Road subarea accounts for 59 percent of Dublin’s flex space inventory and 78 percent of Dublin’s light industrial inventory.

FIGURE 24: DUBLIN INVENTORY SHARE BY SUBAREA, 2023
Source: CoStar, 2023; Strategic Economics, 2023.

Dublin’s office rents lag those of many other Tri-Valley communities, while industrial rents are comparable to other communities. As shown in Figure 24, Dublin’s office rents slightly lag those of San Ramon, Pleasanton, and Danville. As shown in Figure 25, however, Dublin’s industrial rents match those of Pleasanton and San Ramon.

Historically, Dublin was a relatively low-cost office location within the Tri-Valley, but rents are now approaching those of other Tri-Valley communities. As shown in Figure 25, Dublin commanded lower average office rents since 2019 compared to San Ramon, Pleasanton, and Danville. Dublin’s rents have recovered in recent years, however.

FIGURE 25: DUBLIN AVERAGE OFFICE RENT PER SQUARE FOOT, 2012 TO 2023 Note: Rents shown on a full service gross basis.

Source: CoStar, 2023; Strategic Economics, 2023.
8%
31% 26%
17%
35%
4%
59% 78%
4%
13%
30%
2%
3%
9%
10%
8%
10%
10%
4% 3%
11%
21%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Flex Industrial Office Retail
Dublin Corporate Center
Dublin Village Historic Area
Downtown Village Parkway District
Downtown Transit-Oriented District
Downtown Retail District
Sierra Trinity Business Park/Dougherty
Road
Central Parkway
Camp Parks and Governmental
Facilities
580 Corridor
$10.00
$15.00
$20.00
$25.00
$30.00
$35.00
$40.00
$45.00
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Annual Rent Per Sq. Ft.

San Ramon
Pleasanton
Danville
Dublin
Livermore
930
Dublin Economic Development Strategy Technical Report 22 FIGURE 26: DUBLIN AVERAGE INDUSTRIAL RENT PER SQUARE FOOT, 2012 TO 2023 Note: Rents include all service types.

Note: CoStar provides no industrial building data for Danville.

Source: CoStar, 2023; Strategic Economics, 2023.

Dublin’s office vacancy rates have remained competitive with San Ramon and Pleasanton during and since the COVID-19 pandemic, with Dublin benefitting from a stable mix of business headquarters, major regional offices, and health care services. As shown in Figure 27, Dublin’s 14.6 percent vacancy rate in late 2023 slightly exceeded Pleasanton and was lower than San Ramon. Although Dublin’s office vacancy rate was historically higher than San Ramon and Pleasanton, the COVID-19 pandemic and adoption of widespread work from home policies has not created an outsized impact on vacancies within Dublin’s small inventory of office space.

Strong demand exists for Dublin’s existing industrial spaces. Despite limited overall inventory, Dublin’s industrial space is in high demand for service, distribution, and recreation tenants. Based on CoStar real estate data, the city’s industrial vacancy rate was below one percent between 2018 and 2022.

Dublin’s industrial vacancy rate has remained lower than other Tri-Valley communities for much of the last decade. Dublin’s vacancy rate did significantly increase in 2023 due to the closure of the Hexcel facility, which the new property owner plans to redevelop.

FIGURE 27: OFFICE VACANCY RATES FOR TRI-VALLEY COMMUNITIES, 2012 TO 2023 Source: CoStar, 2023; Strategic Economics, 2023.
$0.00
$10.00
$20.00
$30.00
$40.00
$50.00
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Annual Rent Per Sq. Ft.

Dublin
Pleasanton
Livermore
San Ramon

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 San Ramon
Dublin
Livermore
Pleasanton
Danville
931
Dublin Economic Development Strategy Technical Report 23 FIGURE 28: INDUSTRIAL VACANCY RATES FOR TRI-VALLEY COMMUNITIES, 2012 TO 2023 Note: Increased vacancy in 2023 was driven by closure of the Hexcel facility.

Note: CoStar provides no industrial building data for Danville.

Source: CoStar, 2023; Strategic Economics, 2023.

Little new office, flex, and industrial development occurred in Dublin during the past decade. As shown in Figure 29, Dublin’s inventory of office, industrial, and flex spaces was nearly flat in the past decade and beyond, while retail inventory grew over time to serve the city’s growing population. The only significant additions to Dublin’s office and industrial inventory included a Kaiser medical office building in 2019 and the Zeiss Innovation Center (classified as a flex/R&D building) in 2021.

FIGURE 29: DUBLIN BUILDING INVENTORY IN SQUARE FEET, 2006 TO 2023 Source: CoStar, 2023; Strategic Economics, 2023.

Dublin’s office, flex, and light industrial building inventory is relatively small and becoming dated as little new development activity occurs. Limited development activity in Dublin has resulted in an aging building stock. Local stakeholders interviewed for the Economic Development Strategy noted the need for modernized office, light industrial/flex, and R&D space that offers the chance for businesses to locate and expand in Dublin.

The relatively slow pace of office development activity is partly due to the relatively low achievable rents in Dublin and other Tri-Valley communities compared to some other Bay Area locations. TriValley communities command relatively lower rents for office space compared to other regional locations; for example, as of September 2024, CoStar reported that Dublin’s asking rent per square foot for office space was 29 percent lower than Downtown Oakland.

Commercial, flex, and light industrial development is currently constrained throughout much of the Bay Area due to broader construction cost challenges and lower achievable rents within the Tri-Valley area. New office, flex, and light industrial space is more likely to be built in Dublin when demand rises

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Dublin
San Ramon
Livermore
Pleasanton
0 500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
4,000,000
4,500,000
Square Feet
Retail
Office
Industrial
Flex
932
Dublin Economic Development Strategy Technical Report 24 to a level such that a large business seeks a new build-to-suit space, or when achievable rents and other development conditions improve in Dublin and across the Bay Area. Speculative office and life science development is currently constrained throughout the Bay Area due to recent increases in labor and materials costs, increased financing costs, and limited access to capital.

These broader development challenges create a need and opportunity to support further build-to-suit and speculative development in Dublin through City efforts to expand and enhance business growth.

Dublin’s economic development efforts have contributed in recent years to the construction of the Zeiss Innovation Center and proposed development of the Dublin Commons project.

Despite strong demand for Dublin’s limited existing flex and light industrial space, competition from recreation and other household-serving uses creates a need to consider potential preservation of these spaces for industrial uses and to pursue new development. The important reservoir of flex and light industrial space for construction, manufacturing, repair and maintenance uses in the Sierra Trinity Business Park / Dougherty Road area of Dublin is also experiencing strong demand from recreation and fitness tenants. This competition for space creates a need to examine the appropriate balance of uses to ensure production, distribution, and repair services and businesses are still accommodated in Dublin. This may occur through protecting existing flex and light industrial space and/or supporting development of new space. If existing spaces are preserved for traditional industrial uses, then it will also be important to ensure recreational and fitness businesses are accommodated elsewhere in Dublin.

Dublin’s remaining greenfield development sites are major opportunities to attract large-scale, modern office, R&D, and manufacturing uses, but each site requires unique infrastructure or other development support. Dublin’s “greenfield” commercial and light industrial opportunity sites consist of previously undeveloped properties at the Fallon East Economic Development Zone, Dublin Centre Project, and near the Dublin/Pleasanton BART station. This collection of greenfield sites is an asset that Dublin can use to attract new innovation-oriented businesses and, in the case of Dublin Centre, create a modern mixed-use community gathering space. The City is already working to address the major infrastructure needs at the Fallon East Economic Development Zone, and proactively engaging developers at the other major greenfield sites.
933
Dublin Economic Development Strategy Technical Report 25

4. Retail Performance
The following findings describe Dublin’s retail real estate inventory, retail sales performance, and interviews with local retail brokers, businesses, and property owners.

Sales tax revenue data was obtained from HdL and the City of Dublin for 2017 to 2022. Sales tax revenue was analyzed at both the city and subarea level. Taxable sales data—which allowed for comparison between cities—was obtained from the California Department of Tax and Fee Administration (CDFTA) for 2018 to 2022 for the Tri-Valley region. Worker flow data was obtained from U.S. Census Bureau’s Longitudinal Employer-Household Dynamics (LEHD) tool for 2021.

RETAIL REAL ESTATE CONDITIONS AND TRENDS
Dublin’s retail inventory is large, diverse, and desirable for a wide range of tenants. Dublin has approximately four million square feet of retail space, including a variety of regional and local shopping centers—as shown in Figure 30—and large automobile dealerships along I-580. The inventory includes large regional destinations like Hacienda Crossings, and other centers and “big box” power centers that draw customers from larger trade areas such as the collection of Downtown Dublin’s retail or Fallon Gateway. Dublin also includes a variety of smaller grocery-anchored centers that serve local residential trade areas such as Shops at Waterford and Persimmon Place.

FIGURE 30: DUBLIN SHOPPING CENTERS
Source: CoStar, 2023; Esri, 2023; Strategic Economics, 2023. 934
Dublin Economic Development Strategy Technical Report 26 Dublin’s shopping centers benefit from access and visibility via I-580 and I-680 and, for centers serving a local trade area, via Dublin Boulevard. Figure 30 shows that Dublin’s shopping centers are arranged along these major transportation corridors.

Retail development and growth has occurred in conjunction with Dublin’s population growth. As noted earlier and shown in Figure 29, retail development has continuously occurred as Dublin’s population grew. This includes more recent development activity in the eastern portion of Dublin as housing was added to those areas of the city.

Dublin’s low retail vacancy rates and competitive rents indicate continued strong demand for retail space. As shown in Figure 31, in 2023 Dublin’s approximately four percent vacancy rate was lower than any time since 2018. In recent years, Dublin’s retail vacancy rate has fallen below other Tri-Valley communities, emphasizing the high demand for retail space in Dublin. As seen in Figure 32, Dublin’s retail areas achieve relatively high rents compared to other Tri-Valley communities.

FIGURE 31: TRI-VALLEY COMMUNITIES RETAIL VACANCY RATE, 2012 TO 2023 Source: Costar, 2023; Strategic Economics, 2024.

FIGURE 32: TRI-VALLEY COMMUNITIES RETAIL RENT PER SQUARE FOOT (NNN), 2012 TO 2023 Source: Costar, 2023; Strategic Economics, 2024.

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Pleasanton
Danville
San Ramon
Dublin
Livermore
$10.00
$15.00
$20.00
$25.00
$30.00
$35.00
$40.00
$45.00
$50.00
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Average Annual Rent Per Sq. Ft.

Danville
Dublin
Pleasanton
Livermore
San Ramon
935
Dublin Economic Development Strategy Technical Report 27

RETAIL PERFORMANCE AND OPPORTUNITIES
Dublin is a major regional and local retail destination—especially for automobile dealerships, and restaurants. Comparison of taxable sales per capita (i.e., sales relative to the local resident population) between Tri-Valley communities demonstrates the extent to which a given community may be attracting customers and sales beyond spending by local residents. As shown in Figure 33, Dublin’s 2022 taxable sales per capita exceeded all other Tri-Valley communities for Motor Vehicle and Parts Dealers and only slightly lagged Pleasanton for Food Services and Drinking Places.

FIGURE 33: TAXABLE SALES PER CAPITA BY BUSINESS TYPE, 2022 Source: California Department of Tax and Fee Administration, 2018-2022; Strategic Economics, 2023.

Automobile dealerships and automobile-related businesses generated over 40 percent of Dublin’s sales tax revenue in 2022—the City’s largest category of sales tax revenue. As shown in Figure 34, Dublin’s next largest categories of sales tax revenue are general consumer goods, business to business sales, and restaurants and hotels.

Dublin’s sales tax revenues recovered from the COVID-19 pandemic, with growth driven by automobilerelated sales and, to a lesser extent, a variety of other industry categories. As shown in Figure 34, sales tax revenues across most “Major Industry Groups” have recovered since 2020. Sales growth was primarily driven by the “Autos and Transportation” category. Retail sales tax revenue in Dublin is driven by large shopping centers along the I-580 corridor and in Downtown Dublin, as well as automobile dealerships.

$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
$8,000
$9,000
Dublin
Livermore
Pleasanton
San Ramon
Dublin
Livermore
Pleasanton
San Ramon
Dublin
Livermore
Pleasanton
San Ramon
Dublin
Livermore
Pleasanton
San Ramon
Dublin
Livermore
Pleasanton
San Ramon
Clothing and Clothing
Accessories Stores
Food Services and
Drinking Places
Gasoline Stations General Merchandise
Stores
Motor Vehicle and
Parts Dealers
936
Dublin Economic Development Strategy Technical Report 28 FIGURE 34: DUBLIN SALES TAX REVENUE BY MAJOR INDUSTRY GROUPS, 2017 TO 2022 (NOMINAL DOLLARS) Note: Sales tax revenue from the “county pool” is not shown. That revenue category reflects e-commerce related sales tax collections.

Note: The “Business and Industry” category primarily consists of business to business sales, and is therefore not attributable to retail businesses.

Source: HdL, 2022; City of Dublin, 2022; Strategic Economics, 2024.

Dublin’s retail, dining, and entertainment opportunities will continually evolve in response to growing e-commerce sales and the evolution of bricks-and-mortar retail. As more sales shift online—particularly for undifferentiated “commodity” goods—Dublin should anticipate that the tenant mix within physical storefront spaces will continue to shift toward a greater emphasis on dining, entertainment, personal and medical services, food/grocery, and unique “boutique” retail. Based on subarea sales tax data provided by the City of Dublin, these trends are apparent in Dublin’s sales tax data for 2022 to 2023.

This data indicates increasing sales in the Downtown Dublin Specific Plan area but declines among “big box” power centers that typically sell many goods readily available online.

The shift away from commodity goods retail toward boutique retail and services creates challenges for Dublin’s larger “big box” shopping centers and spaces. These trends especially create challenges for large-scale shopping centers like Hacienda Crossings. Demand for different types of spaces continues to evolve, and there is currently relatively lower demand for big-box retail spaces than in the past.

Broader retail trends make it increasingly difficult to fill large vacant retail space, and it is often expensive or impractical to split these spaces for use by more than one retailer.

Dublin’s retail spaces primarily consist of traditional automobile-oriented shopping centers and commercial corridors; the city lacks amenity-rich community gathering destinations, although opportunities exist in Downtown Dublin and Dublin Centre. Despite Dublin’s strong quality of life and desirable climate, safety, and location, residents and businesses continue to note the city’s lack of a vibrant community gathering space with pedestrian accessibility. Current public-private efforts are underway to develop such a place in Downtown Dublin with the Dublin Commons project, and the Dublin Centre project is also planning to create a similar yet smaller activity node.

Dublin’s rapidly diversifying population opens new opportunities to attract businesses reflecting a wide variety of cultural influences. Since 2000, U.S. Census data shows that Dublin’s population growth overwhelmingly consisted of residents identifying as Asian, as described earlier in this report and shown in Figure 4. The rich diversity of Dublin’s population creates opportunities to further support the diverse mix of retail, grocery, dining, and personal services businesses in the city. $0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
2017 2018 2019 2020 2021 2022
Autos & Transportation General Consumer Goods Business & Industry Restaurants & Hotels Building & Construction Fuel & Service Stations Food & Drugs
937
Dublin Economic Development Strategy Technical Report 29 Through an online business survey and stakeholder interviews, retail business and property owners noted several advantages and challenges for their operations in Dublin:

Positive feedback included:
• A main positive for Dublin businesses is the City’s central location and its proximity to potential customers.
• Dublin was described as a safe and welcoming community. • Dublin has a desirable demographic composition and trends that support strong business performance.
• The City of Dublin’s staff are responsive and clear in their communication with businesses.

Several challenges were also raised:
• Challenges finding relatively affordable office, retail, or industrial space in Dublin. • Local businesses would benefit from enhancing the marketing of City-offered incentives, services, and programs to existing small businesses, in addition to current promotion of services to new businesses.
• Numerous businesses raised concerns about high sewer and water capacity fees charged by the Dublin San Ramon Services District (which is separate from the City of Dublin). 938
Dublin Economic Development Strategy Technical Report 30

5. Hotels and Tourism
The following findings describe recent conditions and trends in both Dublin’s and the Tri-Valley’s hotel markets, including analysis of hotel occupancy, revenue, and transient occupancy tax revenue. The findings also summarize issues and opportunities identified through interviews with Visit Tri-Valley representatives and review of the organization’s 2023 Strategic Plan.

Hotel occupancy, revenue, and inventory data was obtained from CoStar for Dublin and the Tri-Valley region for 2012 to 2024. Dublin hotel performance data was obtained from the City of Dublin for 2019 to 2024.

Dublin’s inventory of 689 hotel rooms constitutes 12 percent of the Tri-Valley’s total inventory. As of 2024, CoStar notes five hotels in Dublin that include a mix of economy, midscale, and upper midscale hotels. As shown in Figure 35, Dublin has a relatively small share of the hotel inventory in the Tri-Valley, with just 12 percent of the hotel rooms in Tri-Valley communities being located in Dublin.

Dublin’s hotel inventory has grown slowly over time. The most recent addition to Dublin’s hotel inventory is an “Aloft” branded property that opened in 2018. According to available data, that was the first new hotel to open in Dublin since the early 2000s.

FIGURE 35: TRI-VALLEY COMMUNITIES HOTEL INVENTORY, 2024 City Number of Hotel
Properties
Percentage of Total
Hotel Properties in the
Tri-Valley Region
Number of Hotel Rooms
Percentage of Total Hotel
Properties in the Tri-Valley
Region
Danville 1 2% 62 1%
Dublin 5 10% 689 12%
Livermore 21 43% 1,612 29%
Pleasanton 15 31% 2,050 37%
San Ramon 7 14% 1,147 21%
Tri-Valley Region Total 49 100% 5,560 100%
Sources: Costar, 2024; Strategic Economics, 2024.

The Dublin and Tri-Valley hotel markets are recovering slowly from the COVID-19 pandemic, which will likely constrain hotel development opportunities in the near term. As shown in Figure 36 and Figure 37, Dublin’s average revenue per room recovery rate and occupancy rate, along with other Tri-Valley Cities, are slowly recovering since 2020. Transient occupancy tax receipts also reflect these conditions, with nearly all hotel properties in Dublin generating lower revenue in 2023 than in 2019.

Hotel demand in Dublin is primarily driven by business travelers. Based on input from Visit Tri-Valley and review of Dublin’s mix of hotel properties, Dublin’s hotels primarily serve business travelers seeking convenient access to major employers throughout the Tri-Valley and beyond. Dublin’s hotels also provide relatively low cost accommodation compared to many other parts of the Bay Area while also providing convenient access to destinations via BART and freeways.

Demand for hotel stays in Dublin could potentially be expanded through local employment growth and diversification of visitors to the city and Tri-Valley. Given that business travelers constitute much of the demand for hotel stays in Dublin, business and job growth in Dublin and the Tri-Valley can provide additional demand for hotel stays over time. Visit Tri-Valley is also exploring opportunities to diversify hotel demand through attraction or development of other destination and meeting amenities. 939
Dublin Economic Development Strategy Technical Report 31 FIGURE 36: AVERAGE REVENUE PER AVAILABLE ROOM BY YEAR IN THE TRI-VALLEY REGION, 2012 TO 2024 Note: 2024 data reflects data through July.

Source: CoStar, 2024; Strategic Economics, 2024.

FIGURE 37: TRI-VALLEY COMMUNITIES AVERAGE HOTEL OCCUPANCY RATE, 2012 TO 2024 Note: 2024 data reflects data through July.

Source: CoStar, 2024; Strategic Economics, 2024.

Local stakeholders noted a lack of hotels with larger conference centers or meeting spaces in the TriValley. Stakeholders interviewed for this study noted that no hotels exist in Dublin, Pleasanton, or Livermore that can host large conferences or meetings, due to a limited number of large hotels and a lack of hotels with adequate meeting spaces. The San Ramon Valley Conference Center was noted as the closest facility that can host larger events, though the property only includes 119 on-site guest rooms.

Regional initiatives to attract hotel stays and a multiuse venue can support local hotels in Dublin. As hotel occupancy and revenues continue to recover over time since the COVID-19 pandemic, Dublin can position itself to leverage Visit Tri-Valley’s efforts to expand visitation. Visit Tri-Valley is pursuing development of a multiuse sports, entertainment, and conference venue to diversify hotel demand and expand visitor spending. Dublin could either seek to attract this facility to the city itself or seek to leverage the future facility to attract additional hotel stays. $-
$50.00
$100.00
$150.00
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Average Revenue Per
YTD
Available Room
Year
Danville Dublin Livermore Pleasanton San Ramon Tri-Valley Region 0%
20%
40%
60%
80%
100%
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Average 12
YTD
-Month Hotel
Occupancy
Year
Danville Dublin Livermore Pleasanton San Ramon
940
Appendix B: Community
Engagement Summary
City of Dublin Economic Development Strategy and
Economic Development Element Update
April 24, 2024
941
2 Table of Contents

1. Survey Introduction and Purpose

2. Local Business Survey Results Summary
• Who responded (background questions)
• Survey Results

3. General Community Survey Results
Summary
• Who responded (background questions)
• Survey Results
942
Introduction and Purpose
Survey Introduction and Purpose
• The City of Dublin is in the process of updating its Economic Development Strategy and Economic Development Element. Both documents will guide the City’s economic development policies and actions in both the short and long term.
• To assist in this project, both a General Community Survey and Local Business Survey were prepared and distributed to Dublin’s residents and businesses, respectively. These surveys were marketed by the City of Dublin and left open for responses during December 2023 and January 2024.
• The purpose of the surveys was to provide an opportunity for Dublin’s residents and businesses to comment on their current economic development priorities and concerns.
• The survey results, alongside analyses and other stakeholder engagement activities, will be used to inform prioritization of the economic development strategies included in the Economic Development Strategy and Economic Development Element.
3 943
Local Business Survey
4 Local Business Survey Results Summary
Individual Responses: 70
944
Local Business Survey
5 Who Responded (Background Questions)
Local Business Survey Results Summary
945
Local Business Survey
Question 14 - Which of the following best describes your business? 6 0% 5% 10% 15% 20% 25%
Grocery/convenience/food store
Hotel and hospitality
Construction
Information technology
Child care and after school programs
Education
Manufacturing
Personal services (nail salons, hair salons, pet grooming, etc.) Retail (non-food/grocery)
Scientific research and development
Warehouse and distribution
Equipment or vehicle service and repair
Arts, entertainment, and recreation
Real Estate
Health and wellness
Professional services (attorneys, accountants, therapists, etc.) Restaurant/café/bar
Other (please specify)
• “Other” responses include:
• Banking/Financial Institution
• Consulting
• Other Personal Services
946
Local Business Survey
Question 15 - Where is your
businesses based out of?
0%
10%
20%
30%
40%
50%
60%
70%
80%
A commercial or
industrial
building/space (office,
storefront, industrial
building, etc.)
A residential home Virtual office address Other
7 Summary of Survey Respondents
• Nearly 70 percent of
respondents were based out of
commercial or industrial space
in Dublin
• Around 25 percent of
respondents represented
businesses based out of a
residential home
947
Local Business Survey
Question 16 - How many
employees does your business
employ, including yourself?
0%
10%
20%
30%
40%
50%
60%
1 (self-employed
with no other
employees)
2-9 employees 10-19 employees 20-50 employees More than 50 employees
8 Summary of Survey Respondents
• Most survey respondents
employ between 2 and 9 people
• Just over 25 percent of
respondents were self-employed
• Less than 10 percent of
respondents represented
companies that employ more
than 50 people
948
Local Business Survey
Question 17 - Where do you
live?
9 Summary of Survey Respondents
• Over 40 percent of survey
respondents live in Dublin
• 10 percent of survey
respondents live in San Ramon
and Danville, respectively
• Remaining respondents are
spread across the Bay Area, but
primarily in the East Bay
• “Other” responses include:
• Oakland
• San Francisco
• Hayward
0%
• Fairfield
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
Dublin Other San Ramon Danville Pleasanton Livermore
949
Local Business Survey
Question 18 - What is your age?
0%
5%
10%
15%
20%
25%
30%
18-24
years
25-34
years
35-44
years
45-54
years
55-64
years
65-74
years
75 years
and older
Prefer not
to say
10 Summary of Survey Respondents
• Most survey respondents were
between the ages of 45 and 64
• Dublin’s actual age distribution
illustrated below for reference
0% 5% 10% 15% 20% 25% 30% 35% 40%
Under 18
18-34
35-54
55-74
75 and over
% of Population
Age in Years
Condensed Age Distribution in Dublin, 2021
2021
950
Local Business Survey
Question 19 - What is the
combined annual income of
everyone in your household?
0%
5%
10%
15%
20%
25%
30%
35%
Less than
$25,000
$25,000 -
$50,000
$50,000 -
$75,000
$75,000 -
$100,000
$100,000
-
$150,000
$150,000
-
$200,000
$200,000
or More
Prefer not
to say
11 Summary of Survey Respondents
• Nearly a quarter of survey respondents
reported a combined annual household
income of greater than $200,000
• Around 15 percent of survey respondents
reported an income of less than $100,000
• Dublin’s actual income distribution shown
below as reference
0% 10% 20% 30% 40% 50%
Less than $24,999
$25,000 to $74,999
$75,000 to $124,999
$125,000 to $199,999
$200,000 or More
Households
Condensed Annual Household Income Levels
Household Income Distribution in Dublin, 2021 (Constant 2022 Dollars)
2021
951
Local Business Survey
Question 20 - Which category
best describes you?
12 Summary of Survey Respondents
• 35 percent of survey respondents
identified as White/Caucasian
• Around 25 percent of survey
respondents identified as Asian
• Dublin’s actual demographics
shown below for reference
35%
21%
10%
8% 8%
6%
5%
3% 3%
0%
5%
10%
15%
20%
25%
30%
35%
40%
29%
10%
4%
52%
6%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Dublin
Dublin Total Population Racial Composition, 2021
White Hispanic or Latino African American or Black Asian Other Sources: U.S. Census Bureau, ACS 2017-2021; Strategic Economics, 2023. 952
Local Business Survey
13 Survey Results
Local Business Survey Results Summary
953
Local Business Survey
Question 1 - What factors drew your business to its location and to Dublin generally??
14 Proximity to suppliers
Dublin’s public transportation options (BART, bus)
City of Dublin’s business incentive programs
Access to employees
City of Dublin’s permitting and approval processes
Dublin’s reputation/brand as a place to do
business
Office, retail, or industrial space that met the
business’s physical requirements (size, ceiling …
Affordable office, retail, or industrial space
Proximity to home
Access to freeways
Proximity to customers
Safe community
0 1 2 3 4 5
5=Very Important, 1=Not Important
Weighted Average Score (1 to 5, with 5 Indicating “Very Important”) 0% 10% 20% 30% 40% 50% 60% 70% 80%
Proximity to suppliers
Dublin’s public transportation options (BART, bus)
City of Dublin’s business incentive programs
Access to employees
City of Dublin’s permitting and approval processes
Dublin’s reputation/brand as a place to do
business
Office, retail, or industrial space that met the
business’s physical requirements (size, ceiling …
Affordable office, retail, or industrial space
Proximity to home
Access to freeways
Proximity to customers
Safe community
Responses by Level of Importance of Each Item
Very Important Important Moderately Important Slightly Important Not Important N/A 954
Local Business Survey
Question 1 Gathered Opinions on
Important Factors That Drew
Businesses to Dublin:

Summary of Important Factors for
Businesses
Some of the most important factors
that drew businesses to Dublin:
• Safe community
• Proximity to customers
• Office, retail, or industrial
space that met the business’s
physical requirements (size,
ceiling heights, power, loading,
etc.)
15 Some of the least important
factors that drew businesses to
Dublin:
• Proximity to suppliers
• Dublin’s public
transportation options
(BART, bus)
• Factors with a relatively split
opinion on importance:
• City of Dublin’s business
incentive programs
955
Local Business Survey
Question 2 - Where else did you
consider opening, expanding, or
relocating your business?
16 Summary of Places Businesses
Considered for Expansion,
Relocation, or Opening
• Pleasanton and San Ramon
represent the most cited
alternative location options for
responding business
representatives
• Nearly a third of respondents
noted that they never
considered a location outside of
Dublin
• Areas outside of the East Bay
were not typically considered for
locating or expanding
businesses that are currently
located in Dublin 0% 10% 20% 30% 40% 50%
Pleasanton
San Ramon
I never considered a location outside Dublin
Livermore
Walnut Creek
Other Alameda County
Bay Area locations not listed above
Outside California
Other Contra Costa County
Other California locations not listed above
San Joaquin County
956
Local Business Survey
Question 3 - What kind of concerns does your business face in Dublin? 17 Inadequate internet service speeds in residential
areas
Lack of available space in Dublin for business
relocation or expansion
Inadequate internet service speeds in commercial
or industrial districts
Challenges recruiting employees to work on-site
Long employee commute times
Local government regulation and restrictions
related to development
Ability to meet electricity needs in Dublin
Automobile traffic congestion along major Dublin
corridors
Increasing cost of commercial or industrial building
rents or land in Dublin
High or increasing housing costs for myself or
employees
Crime
High or increasing local taxes and fees
0 1 2 3
3-Very Concerned, 1=Not at All Concerned
Weighted Average Score
(1 to 3, with 1 indicating “Not at All Concerned”)
0% 10% 20% 30% 40% 50% 60%
Inadequate internet service speeds in residential
areas
Lack of available space in Dublin for business
relocation or expansion
Inadequate internet service speeds in commercial
or industrial districts
Challenges recruiting employees to work on-site
Long employee commute times
Local government regulation and restrictions
related to development
Ability to meet electricity needs in Dublin
Automobile traffic congestion along major Dublin
corridors
Increasing cost of commercial or industrial
building rents or land in Dublin
High or increasing housing costs for myself or
employees
Crime
High or increasing local taxes and fees
Responses by Option
Very Concerned Somewhat Concerned Not at All Concerned Don't Know 957
Local Business Survey
Question 3 Gathered Opinions on
What Kinds of Concerns Local
Businesses Face in Dublin:

Summary of Local Business Concerns
The following are higher concerns for
businesses in Dublin:
• Crime
• High or increasing local taxes
and fees
• High or increasing housing costs
for myself or employees
18 The following are lesser concerns for
businesses in Dublin:
• Lack of available space in Dublin
for business relocation or
expansion
• Challenges recruiting employees
to work on-site
• Inadequate internet service
speeds in commercial or
industrial districts
Other concerns noted by businesses:
• High cost of utilities which is
restrictive for local small
businesses
• An overall lack of industrial
space for sale in Dublin
958
Local Business Survey
Question 4 - Please note other
concerns for your business in
Dublin
Key Takeaways/Themes from free
responses
• Rising and prohibitive cost of rent
and land
• High water and other utility costs
• Perceived lack of City efforts to
support and communicate with
local small businesses
• The citywide emphasis on housing
production limits industrial and
retail space
• Rising crimes that effect both
businesses and employees, and the
desire for increased police
response
19 Free Response Answer Examples
“It's expensive to start a business and
rent is very expensive…”
“Permitting processes through the city
are long and tedious. It feels like we
have to jump through a lot of hoops
and as a small business it sometimes
creates a barrier to start up.”
“Sewer, water and utility add on fees
and tiered pricing for businesses…”
959
Local Business Survey
Question 5 - What is the outlook
for your business in Dublin?
20 Summary of Local Business
Outlook:
• Over 75 of respondents were
positive about the outlook of
their business in Dublin
• Less than five percent of
survey respondents were
negative about the outlook of
their business in Dublin
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Very Negative
Somewhat Negative
Unclear
Somewhat Positive
Very Positive
960
Local Business Survey
Question 6 - What factors influenced
your response to the previous
question? (On Local Business
Outlook)
Key Takeaways/Themes from Free Responses
Factors that are creating a positive outlook
for local businesses:
• Strong and consistent local customer
base
• Sustained access to employees
• Continued demographic trends make
Dublin a desirable place to locate a
business
Factors that are creating a negative outlook
for local businesses:
• Current broader economic trends are
negatively affecting local business
sales
• Rising rents can push out local small
businesses
21 Free Response Answer Examples
“Been in business for over 30 years in
Dublin. We have a very strong base of
regular customers”
“Location, growing population,
development of downtown coming, etc.”
“Ability to expand and convert usable
space”
“As rent keeps going up small businesses
can not afford to stay”
“Continued growth in Dublin”
961
Local Business Survey
Question 7 - How would you
define your interactions with the
City of Dublin in relation to your
business?
22 Summary of Interactions with
the City of Dublin
• Over 80 percent of
respondents noted positive
interactions with the City of
Dublin
0% 10% 20% 30% 40% 50% 60%
Somewhat Negative
Very Negative
Unclear
Somewhat Positive
Very Positive
962
Local Business Survey
Question 8 - What factors influenced
your response to the previous
question? (On Interactions with the
City of Dublin)
Key Takeaways/Themes from Free Responses
Positive interactions:
• Quick turnaround and assistance
for permitting and other small
business needs
• Knowledgeable, responsive, and
friendly City staff
• City marketing and newsletters
keep businesses informed
Less positive interactions:
• Lack of connection to local
businesses outside of those
pursuing specific City resources
23 Free Response Answer Examples
“City news email keep me informed and
respond accordingly.”
“The staff at the City of Dublin has always
been courteous, nice, and helpful. It’s just a
lot of hoops and barriers to get business
running and costly for small businesses…”
“Long timeframes, permitting costs…often
inhibit or negatively impact our business”
“Everyone at the city office is friendly and it's
easy to do the license renewals.”
“Quick feedback on permit issues”
963
Local Business Survey
Question 9 - Do you utilize any
programs or incentives offered to
businesses by the City of Dublin?
No, 76%
Yes, 24%
24 Summary of Incentive or
Program Utilization
• Less than 25 percent of
respondents report utilizing
any programs or incentives
offered by the City of Dublin
• Those that responded yes
primarily noted relief granted
by the City of Dublin during the
Covid pandemic
964
Local Business Survey
Question 10 - If you answered no
to the previous question, what
factors influenced this
response? (On Program or
Incentive Utilization)
25 Summary of Responses
• Of respondents that said they
do not utilize city-offered
incentives, nearly 50 percent
noted that they are not aware
of City programs or incentives
• Nearly 40 percent of
respondents said that City
programs or incentives would
not help, or do not apply, to
their business
• “Other” responses mostly
consisted of respondents who
answered “yes” to the previous
question (question #9)
I am not aware of
City programs or
incentives, 47%
Other, 21%
City programs or
incentives do not
apply to my
business, 17%
City programs or
incentives would
not help my
business, 9%
Applying for City
programs or
incentives is too
difficult, 6%
965
Local Business Survey
Question 11 - Do you receive
business-related email
communications from the
City of Dublin?
26 Summary of Responses
• Over 80 percent of
respondents receive businessrelated email communications from the City of Dublin
Yes, 81.43%
No, 18.57%
966
Local Business Survey
Question 12 - What changes in Dublin would help your business and industry prosper?
27 0 1 2 3 4 5
Improving public transportation service (BART, bus service) Growing the inventory of office, retail, or industrial
buildings/spaces
Growing the number of businesses in Dublin
Diversifying the types of businesses in Dublin
Growing the number of residents/customers in Dublin
Expanding education and training resources for business owners
Diversifying the sizes, types, and locations of office, retail, and industrial buildings/spaces
Expanding workforce development resources and programs
Reducing automobile traffic congestion
Marketing Dublin as a location for businesses to locate Growth of housing opportunities affordable to me and my employees
Increased opportunities for business owners to meet and interact
Expanding City of Dublin business incentive, grant, and programs
Simplifying and streamlining City of Dublin permitting and approval processes
New events and promotions to draw customers to local
businesses
Affordable office, retail, or industrial space
Reducing crime
5=Very Important, 1=Not Important
Weighted Average Score
(1 to 5, with 5 indicating “Very Important”)
0% 10% 20% 30% 40% 50% 60% 70%
Improving public transportation service (BART, bus
service)
Growing the inventory of office, retail, or industrial
buildings/spaces
Growing the number of businesses in Dublin
Diversifying the types of businesses in Dublin
Growing the number of residents/customers in Dublin
Expanding education and training resources for business owners
Diversifying the sizes, types, and locations of office, retail, and industrial buildings/spaces
Expanding workforce development resources and
programs
Reducing automobile traffic congestion
Marketing Dublin as a location for businesses to locate Growth of housing opportunities affordable to me and my employees
Increased opportunities for business owners to meet and interact
Expanding City of Dublin business incentive, grant, and programs
Simplifying and streamlining City of Dublin permitting
and approval processes
New events and promotions to draw customers to local
businesses
Affordable office, retail, or industrial space
Reducing crime
Responses by Option
Very Important Important Moderately Important Slightly Important Not Important 967
Local Business Survey
Question 12 Gathered
Opinions on What Changes Are
Needed for Local Businesses
to Prosper
Summary of Responses on Changes that
Would Help Businesses Prosper
Changes that were noted as most
important to helping local businesses
prosper:
• Reducing crime
• Affordable office, retail, or industrial
space
• New events and promotions to draw
customers to local businesses
28 Changes that were noted as less important
to helping local businesses prosper:
• Improving public transportation
service (BART, bus service)
• Growing the inventory of office,
retail, or industrial buildings/spaces
• Growing the number of businesses
in Dublin
Changes that had divergent responses as
to their ability to help businesses prosper:
• Marketing Dublin as a location for
businesses to locate
• Diversifying the types of businesses
in Dublin
968
Local Business Survey
Question 13 - What other issues,
opportunities, and priorities should
be addressed in the Dublin Economic
Development Strategy?
Key Takeaways/Themes from Free
Responses
• Continue to provide a businessfriendly environment in Dublin • Support the marketing and
visibility of local small businesses
• Look for ways to streamline the
permitting process
• Partnership with regional groups
to support public transportation
and reduce local traffic congestion
29 Free Response Answer Examples
“Continue to provide businesses with
the type of business-friendly
environment that attracts more
businesses to Dublin.”
“Continued partnership with Tri-Valley
cities to address public transportation
and area traffic issues.”
“Opportunities for business to meet
residents as a meet and greet.”
“Making it easier for ads to be
displayed.”
969
General Community Survey
General Community Survey Results Summary
Individual Responses: 406
30 970
General Community Survey
Who Responded (Background Questions)
General Community Survey Results Summary
31 971
General Community Survey
Question 1 - First, please tell us
which of the following
describes you: (check all that
apply)
32 Summary of Survey
Respondents
• Nearly all respondents live in
Dublin
• Only 21% of respondents work
in Dublin
• Those who responded “other”
primarily had children who go
to school in Dublin
General Community Survey
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
I live in Dublin I shop in
Dublin
I work in
Dublin
I go to school
in Dublin
I am a
business
owner in
Dublin
Other
972
General Community Survey
Question 7 - Where do you live?
33 Summary of Survey
Respondents
• Nearly all respondents report
living in Dublin
99%
1% 0% 0% 0%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Dublin Livermore Pleasanton San Ramon Other (please
specify)
973
General Community Survey
Question 8 - What is your age?
34 Summary of Survey Respondents
• The largest share of respondents were between
the ages of 35 and 44
• Over 75 percent of total respondents were
between the ages of 25 and 54
• Only about 10 percent of total respondents were
less than 25 or more than 65 years of age
• Dublin’s actual age distribution shown below for
reference
0%
5%
10%
15%
20%
25%
30%
35%
40%
0-17
years
18-24
years
25-34
years
35-44
years
45-54
years
55-64
years
65-74
years
75 years
and older
Prefer not
to say
0% 5% 10% 15% 20% 25% 30% 35% 40%
Under 18
18-34
35-54
55-74
75 and over
% of Population
Age in Years
Condensed Age Distribution in Dublin, 2021
2021
974
General Community Survey
Question 9 - What is the
combined annual income of
everyone in your household?
35 Summary of Survey Respondents
• Nearly 50 percent of all respondents noted
their annual household income as greater
than $200,000
• Only seven percent of respondents noted their
annual household income as less than
$100,000
• Dublin’s actual income distribution shown
below as reference
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
Less than
$25,000
$25,000 -
$50,000
$50,000 -
$75,000
$75,000 -
$100,000
$100,000
-
$150,000
$150,000
-
$200,000
$200,000
or More
Prefer not
to say 0% 10% 20% 30% 40% 50%
Less than $24,999
$25,000 to $74,999
$75,000 to $124,999
$125,000 to $199,999
$200,000 or More
Households
Condensed Annual Household Income Levels
Household Income Distribution in Dublin, 2021 (Constant 2022 Dollars)
2021
975
General Community Survey
Question 10 - Which category
best describes you?
36 Summary of Survey
Respondents
• Over 40 percent of respondents identified
themselves as falling within one or more of the
Asian ethnic categories
• 30 percent of respondents identified
themselves as White/Caucasian
• Dublin’s actual demographics shown below for
reference
0%
5%
10%
15%
20%
25%
30%
35%
29%
10%
4%
52%
6%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Dublin
Dublin Total Population Racial Composition, 2021
White Hispanic or Latino African American or Black Asian Other 976
General Community Survey
Question 11 - What is your
current employment status?
37 Summary of Survey
Respondents
• Over 70 percent of
respondents were currently
employed
• Around 10 percent of
respondents were currently
retired or semi-retired
0%
10%
20%
30%
40%
50%
60%
70%
80%
977
General Community Survey
Question 12 - What is your
current occupation category?
38 Summary of Survey Respondents
• Occupations with the highest
share of respondents:
• Computer or Mathematical
• Business or Financial
Operations
• Architecture or Engineering
• Not Employed
• “Other” responses include:
• Technology
• Marketing
• Management
• “Not Employed” responses likely
include many retirees
0% 5% 10% 15% 20% 25%
Building and Grounds Cleaning or Maintenance
Installation, Maintenance, or Repair (service technicians,… Personal Care or Service (hair salons, nail salons,…
Farming, Fishing, or Forestry
Transportation or Material Moving / Warehouse
Military
Food Preparation or Serving (restaurants, catering, etc.) Production / Manufacturing
Protective Service (police, security, etc.)
Community or Social Service
Construction
Real Estate (realtors, brokers, property managers,…
Life, Physical, or Social Sciences
Arts, Design, Entertainment, Sports, or Media
Sales
Student
Legal
Office and Administrative Support
Educational Instruction or Library
Healthcare
Management
Architecture or Engineering
Not employed
Other (please specify)
Business or Financial Operations
Computer or Mathematical
978
General Community Survey
Survey Results
General Community Survey Results Summary
39 979
General Community Survey
Question 2 - Please indicate your level of agreement with each statement below:
40 0% 10% 20% 30% 40% 50% 60%
Dublin offers adequate support and services for
entrepreneurs to start businesses.

Childcare is accessible.

Housing in Dublin is affordable for people and
families with a range of different incomes.

Dublin offers high quality job opportunities in my
occupation/profession.

I have access to great education and job training
opportunities in or near Dublin.

Dublin is a great environment for small independent
businesses.

Dublin has a community gathering place where I can
easily walk to restaurants, stores, and entertainment.

Existing transportation options in Dublin make it easy
for me to get to work.

I regularly use, and benefit from, the BART service at
either of Dublin’s stations.

Dublin has many great eating, drinking, and
entertainment places.

Dublin has stores that meet my needs.

Responses by Level of Agreement with Statement
Strongly Agree Agree Neutral Disagree Strongly Disagree Don't Know Dublin offers adequate support and services for
entrepreneurs to start businesses.

Childcare is accessible.

Housing in Dublin is affordable for people and
families with a range of different incomes.

Dublin offers high quality job opportunities in my
occupation/profession.

I have access to great education and job training
opportunities in or near Dublin.

Dublin is a great environment for small
independent businesses.

Dublin has a community gathering place where I
can easily walk to restaurants, stores, and…
Existing transportation options in Dublin make it
easy for me to get to work.

I regularly use, and benefit from, the BART service
at either of Dublin’s stations.

Dublin has many great eating, drinking, and
entertainment places.

Dublin has stores that meet my needs.

0.00 1.00 2.00 3.00 4.00 5.00
5=Strongly Agree, 1=Strongly Disagree
Weighted Average Score (1 to 5, with 5 Indicating Strong Agreement) 980
General Community Survey
Question 2 Gathered Opinions
on How Dublin Meets the
Community’s Needs:
41 The statements with the lowest weighted
average negative response—meaning the most
disagree or strongly disagree responses—were
the following:
• Dublin offers high quality job
opportunities in my
occupation/profession
• Housing in Dublin is affordable for people
and families with a range of different
incomes
• Dublin has a community gathering place
where I can easily walk to restaurants,
stores, and entertainment
Statements with a large range of responses,
indicating diverging opinions:
• I regularly use, and benefit from, the BART
service at either of Dublin’s stations
• Dublin has many great eating, drinking,
and entertainment places
Summary of Feedback on Dublin’s
Performance
The statements with the highest weighted
average positive response—meaning the
most strongly agree/agree responses—
were the following:
• Dublin has stores that meet my
needs
• I regularly use, and benefit from, the
BART service at either of Dublin’s
stations
• Dublin has many great eating,
drinking, and entertainment places
981
General Community Survey
Question 3 - What are Dublin’s
other important strengths and
weaknesses related to the
economy and workforce?
42 Free Response Answer Examples
“Dublin is a comfortable place to live…living
in Dublin allows me to live close to work.”
“Dublin lacks a true downtown that is
walkable and attracts residents to help form
a community.”
“Missing some place families can go for
entertainment”
“Strengths - good schools, safe community,
central location near major cities/attractions,
variety of dining/grocery options.”
Key Takeaways/Themes from Free Responses
• Dublin has a large amount of green
space and public areas that are
welcoming and accessible
• Dublin has a large variety of retail
businesses and fantastic schools
• Dublin does not have a downtown or
“unique” regional entertainment
destination that can attract residents
and visitors
• Dublin has a lack of local jobs,
requiring residents to endure lengthy
commutes
• There is concern regarding new higherdensity residential development 982
General Community Survey
Question 4 - Please select how important each action is for you:
43 0% 10% 20% 30% 40% 50% 60%
Make it easier to find high quality job
opportunities in my occupation/profession in
Dublin.

Increase education and job training
opportunities in Dublin.

Offer more services for entrepreneurs seeking to
start businesses.

Increase the number and types of stores in
Dublin.

Improve opportunities for small independent
businesses to succeed in Dublin.

Increase the number of community gathering
places where I can easily walk to restaurants,
stores, and entertainment.

Increase the number of great eating, drinking,
and entertainment places in Dublin.

Responses by Level of Importance of Each Item
Very Important Important Moderately Important Slightly Important Not Important Make it easier to find high quality job
opportunities in my occupation/profession in
Dublin.

Increase education and job training opportunities
in Dublin.

Offer more services for entrepreneurs seeking to
start businesses.

Increase the number and types of stores in
Dublin.

Improve opportunities for small independent
businesses to succeed in Dublin.

Increase the number of community gathering
places where I can easily walk to restaurants,
stores, and entertainment.

Increase the number of great eating, drinking,
and entertainment places in Dublin.

0.00 1.00 2.00 3.00 4.00 5.00
5=Very Important, 1=Not Important
Weighted Average Score (1 to 5, with 5 Indicating “Very Important”) 983
General Community Survey
Question 4 Gathered Opinions
on Which Priorities are
Important to Dublin Residents:
44 Actions somewhat less important to Dublin
residents:
• Make it easier to find high quality job
opportunities in my
occupation/profession in Dublin
• Offer more services for
entrepreneurs seeking to start
businesses
• Increase education and job training
opportunities in Dublin
Summary of Resident Priorities
Actions very important to Dublin residents:
• Increase the number of great eating,
drinking, and entertainment places
in Dublin
• Increase the number of community
gathering places where one can
easily walk to restaurants, stores,
and entertainment
• Improve opportunities for small
independent businesses to succeed
in Dublin
984
General Community Survey
Question 5 - What are other
priorities that should be
addressed in the Economic
Development Strategy?
45 Free Response Answer Examples
“Would like to see…stronger walkable,
bikeable, and alternative transportation
opportunities”
“More affordable housing for young
couples and families.”
“Please make sure our new downtown is
fun with entertainment and good
restaurants”
“We should also address the Infrastructure
uplift needed to support the economic
growth and all the new housing.”
Key Takeaways/Themes from Free Responses
• Focus on existing residents' quality of life
instead of continued housing
development
• This includes combating the housing
costs and traffic congestion that may
come with development
• Increase job opportunities for residents to
reduce their required commute
• Emphasize affordable housing production
• Increase commercial establishment
diversity
• This includes a desire for “upscale”
shopping and dining destinations
985
General Community Survey
Question 6 - What other issues,
opportunities, and priorities should be
addressed in the Dublin Economic
Development Strategy?
46 Free Response Answer Examples
“Create a core Downtown.”
“Making sure Dublin stays safe.”
“Something about Dublin should be drawing
people from other areas to want to come
here.”
“More bike/walking paths and the ability to
connect existing trails.”
“Places for people to gather from both in
town and out of town and resources to
encourage people to start, or engage with,
businesses…”
Key Takeaways/Themes from Free Responses
• The need for more affordable housing in
Dublin
• Concern about increasing Dublin’s
residential density (relating to crime,
congestion, infrastructure)
• The importance of redeveloping Downtown
Dublin into a place that attracts visitors
from across the region
• Overall lack of regional appeal or “brand”
for Dublin
• Traffic and congestion concerns
• The need to improve bike and pedestrian
connections and safety citywide
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ECONOMIC DEVELOPMENT STRATEGY IMPLEMENTATION MATRIX - PUBLIC DRAFT Attachment 2

GOAL STRATEGY ACTION
TIME
FRAME
Action 1.1.1
Establish standing industry stakeholder groups for information technology, professional and financial services, and biomedical businesses. Convene meetings with each stakeholder group twice per year to communicate City news and learn about these employers’ needs and concerns. Ongoing Action 1.1.2
Convene meetings with brokers, developers, and major property owners twice per year to provide updates regarding City efforts, resources, and major development projects, and to receive input regarding conditions and needs.

Ongoing
Action 1.1.3
Focus existing business visitation program towards high-priority industries to identify specific business needs while connecting them with available resources and services.

Ongoing
Action 1.1.4
Continue City practices of offering business seminars and hosting roundtable programs in collaboration with relevant regional stakeholders such as the Dublin Chamber of Commerce and the East Bay Economic Development Alliance. Within these events, target high-priority industries to maintain relationships with these businesses and better understand challenges and opportunities for City staff to provide support.

Ongoing
Action 1.1.5
Continue partnership with local and regional entities such as the Dublin Chamber of Commerce, Innovation Tri-Valley, i-Gate, Lawrence Livermore National Laboratory, Sandia National Laboratory, East Bay Small Business Development Center, and East Bay Economic Development Alliance to participate in business events and other relevant trade shows or industry groups.

Ongoing
Action 1.2.1
Conduct annual City staff trainings to establish a shared understanding of Dublin’s assets and messaging for economic development and emphasize the benefits of ensuring the City maintains a business-friendly environment. 1-2 years and
Ongoing
Action 1.2.2
Undertake and implement an economic development-tailored marketing and branding strategy that focuses on Dublin’s competitive assets and transformational development projects/areas identified through the Economic Development Strategy effort, as well as existing business and development incentives. As part of this new branding identity, create a cohesive marketing plan that includes an updated webpage unique to the economic development branding strategy creation of new materials for handout at industry meetings, and refreshed press and media engagement. 1-2 years
Action 2.1.1
Continue providing supportive services, regulatory amendments, and participating in development negotiations as part of the public-private partnership to accelerate buildout and tenanting of the Dublin Commons project.

Ongoing
Action 2.1.2
Explore adoption of funding and financing tools—including enhanced infrastructure financing districts and community facilities districts—to accelerate construction of public infrastructure that supports buildout of the Dublin Commons project and improves multimodal transportation connections within and between subareas of Downtown Dublin. 1-2 years
Action 2.1.3
Continue to build partnerships with interested property owners and developers to identify and implement opportunities to accelerate the development of the Downtown Dublin Specific Plan area.

Ongoing
Action 2.1.4
Explore the potential creation of a business and innovation incubator space in the Downtown Dublin area. 1-2 years Action 2.2.1
Maintain proactive regular contact with Hacienda Crossings management and ownership to identify and address barriers and opportunities for attracting tenants and reinvestment at the shopping center—especially for the specified tenant types and potential addition of different commercial and residential uses. Promote existing tenant attraction incentives such as the sales tax reimbursement program.

Ongoing
Action 2.2.2
If the Hacienda Crossings ownership chooses to pursue a significant master planning or re-visioning process for the center, collaboratively identify ways to support and accelerate this process.
3-5 years
Goal 1
Innovation
Growth
Strategy 1.1
Adjust, enhance, formalize, and implement outreach and engagement with businesses, brokers, industry associations, and Tri-Valley institutions to focus on high-priority industry opportunities, including information technology, professional services, and biomedical uses such as medical equipment/device R&D and manufacturing.

Strategy 1.2
Establish a business-friendly brand unique to Dublin’s economic development efforts targeted to the noted industries and activities, with a focus on Dublin’s competitive assets such as its geographic location near I-580 and I-680, BART access, high educational attainment, and major infill and greenfield development opportunity sites.

Strategy 2.1
Identify and implement investments, partnerships, and regulatory changes that accelerate the emergence of Downtown Dublin as an innovation district and a vibrant mixed-use community and regional gathering destination—including improved integration of the Downtown Core area with other subareas.

Strategy 2.2
Explore opportunities with the Hacienda Crossings shopping center owner to support tenant attraction (including non-traditional anchors that attract foot traffic, such as medical office uses), expansion of entertainment and dining, reducing barriers to diversifying uses, and incentivizing reinvestment and new development.

Goal 2
Promote Infill
Investment
987
Action 2.3.1
Conduct ongoing actions to study the functionality, relevance, challenges, and opportunities of industrial spaces, especially within the Sierra Court Industrial area.
2-3 years
Action 2.3.2
Based on the findings of the preceding action, investigate the need for land use restrictions that limit or expand the types of uses permitted in specific industrial areas in Dublin, particularly in the Sierra Court Industrial area. 3-5 years
Action 3.1.1
Continue working with property owners, developers, and the City of Livermore to coordinate, fund, and build out the Dublin Boulevard extension and other required infrastructure.

Ongoing
Action 3.1.2
As part of ongoing outreach and engagement with relevant businesses, developers, and property owners, solicit feedback on the effectiveness of existing development incentives in the Fallon East Economic Development Zone; adjust incentives as needed.

Ongoing
Action 3.1.3
Promote greenfield development opportunities at the Fallon East Economic Development Zone as part of Dublin’s broader marketing and branding efforts, especially when undertaking business attraction efforts focused on R&D, biomedical, office, manufacturing and other light industrial uses. 2-3 years Strategy 3.2
Work with the developer of the Dublin Centre project to ensure the creation of a second modern mixed-use community gathering, shopping, dining, and entertainment destination at the project.

Action 3.2.1
Continue ongoing engagement with the Dublin Centre project development team to identify and resolve any potential regulatory barriers to build out the commercial area, support business attraction efforts, and emphasize the importance of fulfilling the community’s desire for creation of a vibrant community gathering space that also offers daily needs retail.

Ongoing
Strategy 3.3
Continue proactive engagement with Alameda County to determine a shared vision and work plan for activating and developing County-owned parcels near the Dublin/Pleasanton BART station with a potential mix of employment and housing uses.

Action 3.3.1
Continue ongoing communication with the Alameda County Surplus Property Authority to maintain a shared understanding of the potential preferred uses of the remaining development opportunity sites, explore ways in which the City can support development and business attraction, and coordinate regarding County-led efforts to develop the sites.

Ongoing
Strategy 3.4
Continue to monitor opportunities to support desired commercial development at the vacant property currently owned by IKEA (bounded by Arnold Road, Martinelli Way, Hacienda Drive, and I-580).

Action 3.4.1
Continue regular engagement with property owners of the site to encourage consideration of development desired by the City and to identify ways to support efforts to pursue new projects at the site via existing City services. Ongoing Strategy 4.1
Study other potential incentives and changes to zoning and land use regulation that will reduce barriers to splitting large vacant retail spaces, and to converting retail uses to in-demand uses such as entertainment, dining, personal service, and flexible retail uses.

Action 4.1.1
Collect information regarding specific regulatory barriers to changes of use in retail spaces through ongoing contacts with brokers and retail, dining, and entertainment businesses. Work with the Community Development Department to support review and modification of any barriers as needed. 1-2 years Action 4.2.1
Continue working with the City of Dublin’s sales tax data provider to establish data reporting geographies for each shopping center and retail district in Dublin.

Ongoing
Action 4.2.2
Continue monitoring sales tax performance on a quarterly basis for all reporting geographies and for any businesses showing a declining sales trend in year-over-year sales compared to a “comparable store,” even if the retailer is not showing a major decline in sales. Conduct outreach and market existing City-offered services to owners of shopping centers and businesses experiencing significant declines in sales. Consider retaining a retailer “coach” to work with these businesses.

Ongoing
Action 4.2.3
Continue ongoing engagement with brokers and property owners to identify opportunities, challenges, tenant changes, and trends. Ongoing Strategy 4.3
Continue to communicate with and support the health of Dublin’s automobile dealerships and other large sales tax revenue generators.

Action 4.3.1
Continue annual outreach to automobile dealership owners and the other top 10 sales tax revenue generators in Dublin to offer City services and identify and resolve any relevant issues and concerns.

Ongoing
Action 5.1.1
Through ongoing collaboration with Visit Tri-Valley, determine potential opportunities for Dublin to better position local opportunity sites for attraction of a multiuse venue.

Ongoing
Goal 5
Hospitality
Expansion
Strategy 2.3
Undertake a process to determine the functionality and relevance of existing industrial buildings for manufacturing, R&D, and construction businesses; implement land use restrictions as needed to preserve the diversity of spaces available for businesses.

Strategy 3.1
Continue prioritizing the Fallon East Economic Development Zone as a key district for attracting R&D, biomedical, office, manufacturing and other light industrial uses, with efforts including infrastructure funding and financing, and proactive consideration of incentives adjustments in response to business/developer feedback.

Goal 3
Greenfield
Development
Strategy 4.2
Continue and expand monitoring of the performance of existing shopping centers and commercial areas, especially those consisting of businesses threatened by e-commerce trends, and continue to provide proactive targeted support to underperforming locations.

Goal 4
Retail
Vitality
Strategy 5.1
Position Dublin to attract a potential multiuse venue that would capture visitation and commercial activity associated with events at the facility.
988
Action 5.1.2
If a site outside Dublin is prioritized for attraction of a multiuse venue, determine potential ways the City can support the venue’s construction and attract hotel stays based on the venue’s operations.
3-5 years
Action 5.2.1
Work with Visit Tri-Valley to convene a twice annual meeting of hotel owners and managers in Dublin to offer services, identify and address concerns, and learn about opportunities to promote the City’s hotels. 1-2 years and
Ongoing
Action 5.2.2
Continue collaboration with Visit Tri-Valley and advocate for promotion of Dublin’s hotels. Ongoing Action 6.1.1
Continue maintaining a “concierge” function to support businesses in navigating processes to obtain business licenses and to serve as an advocate and navigator for obtaining building and planning approvals.

Ongoing
Action 6.1.2
Prepare and conduct ongoing follow-up surveys with businesses that interact with the City of Dublin to obtain licenses, permits, and entitlements.

Complete an annual review to identify recurring issues that can enhance clarity and efficiency of these processes. 1-2 years and
Ongoing
Strategy 6.2
Improve marketing of City-offered incentives, services, and programs to existing small businesses in addition to maintaining current success in engaging new businesses.

Action 6.2.1
In addition to continuing to promote available City services to new businesses obtaining business licenses, establish and maintain a process and regular timeline for preparing and sending email blasts, social media promotions, and mailing of printed materials to all local business license holders. Through these contacts, promote City business support services, incentives, and relevant news.

Ongoing
Action 6.2.2
Continue conducting reviews of small business promotional events and campaigns to assess their impact and relevance to the businesses; consider modifying, ending, or beginning new initiatives based on the findings.

Ongoing
Action 6.3.1
Conduct targeted outreach to businesses and business organizations focused on serving Dublin’s Indian American and Chinese American communities to gather information about specific needs, concerns, and potential modifications to City services and explanatory materials.

Implement updates to programs, processes, and written and online materials as needed. 2-3 years and
Ongoing
Action 6.4.1
Continue to provide and, if possible, expand the Small Business Navigator program, and other technical support programs. Ongoing Action 6.4.2
Continue using the City’s website to help connect local small businesses to Federal, State, and nonprofit programs and organizations that provide technical assistance.

Ongoing
Action 6.4.3
Continue providing responsive small business assistance through activities such as direction to resources, local grant funding and low-cost loan opportunities, landlord outreach, and connections with real estate brokers and other regional partners.

Ongoing
Strategy 7.1
Influence and leverage regional workforce and economic development organizations and initiatives to ensure workforce development, education, and vocational training services are available to Dublin residents and workers.

Action 7.1.1
Maintain regular contact with and seek opportunities to connect and encourage collaboration between major employers, the Dublin Unified School District, Las Positas College, and Tri-Valley workforce development organizations. Use this process to enhance awareness of available training services and their graduates, encourage creation of internship and on-the-job training opportunities, and clarify the workforce training needs of Dublin’s employers.

Ongoing
Strategy 7.2
Leverage initiatives to expand and invest in transportation infrastructure that supports Dublin worker access.

Action 7.2.1
Consider and incorporate new worker commute access opportunities in City planning and business attraction efforts, based on the Valley Link project. Ensure new public projects and, when possible, private development projects support robust “last-mile” job access connections from the Dublin/Pleasanton BART station.
3-5 years
Strategy 5.2
Work with Visit Tri-Valley and local hotel operators to market Dublin as an ideal location for visitors seeking access to employment destinations and events throughout the Tri-Valley.

Strategy 6.1
Improve efficiency and transparency with small business applicants during the City’s permitting process.

Strategy 6.3
Enhance ongoing engagement between the City of Dublin and the full diversity of local small businesses—including businesses specifically targeted to Dublin’s fast-growing communities of Indian and Chinese descent—to understand opportunities to support businesses and to share available programs and marketing opportunities.

Strategy 6.4
As opportunities and funding arise, expand small business technical training resources.

Goal 6
Small Business
Support
Goal 7
Workforce
Opportunities
989
Draft Economic
Development Strategy
September 17, 2024
990
Background
• 11-6-2012 – Adoption of Economic Development (ED)
Strategy
• 9-5-2023 – Approval of Consultant for ED Strategy Update • 5-21-2024 – City Council Feedback on ED Strategy
Framework
991
Project Activities
• Focus group meetings
• Online surveys
• Data gathering
• Data analysis
992
Seven Proposed Goals
• Goal 1 – Innovation Growth
• Goal 2 – Promote Infill Investment
• Goal 3 – Greenfield Development
• Goal 4 – Retail Vitality
• Goal 5 – Hospitality Expansion
• Goal 6 – Small Business Support
• Goal 7 –Workforce Opportunities
993
Commercial Vacancy Tax Summary
• Flat amount, percentage, or assessed value basis
• Tax or fee
• Primarily used as financial incentive to
– Enhance local economic activity
– Revitalize commercial areas
994
Commercial Vacancy Tax Summary, 2
• Potential Drawbacks
– Increasing costs for property owners
– Increased costs for tenants
– Deter investment in applicable areas
– Additional strain on City resources (staff and financial expenses) 995
Commercial Vacancy Tax Summary, 3
City Tax
or Fee Commercial Property Type Vacancy Definition
Program
Implemented
Oakland Tax
• Nonresidential (Tax Rate: $6,000 per parcel)
• Parcel with ground floor commercial activity allowed but vacant (Tax Rate: $3,000 per parcel)
• Undeveloped (Tax Rate: $6,000 per parcel)
In use less than 50
days in a calendar
year
2019
San Francisco Tax
Ground floor of any portion of a building or structure where the ground floor is:
• Adjacent or tangent to a public right of way
• Located in a specific commercial district
• Is not residential real estate
(Tax rate: $250-$500 per linear foot of frontage for taxable commercial space)
Unoccupied,
uninhabited, or
unused for more
than 182 days
whether
consecutive or
nonconsecutive in a
tax year
2024
996
Commercial Vacancy Tax Summary, 4
• Outcomes for Oakland and San Francisco
– Oakland
• Saw a decline in vacant parcels assessed in 2019-2021, and • 20% increase in vacant parcels assessed in tax year 2021 to 2022 – San Francisco
• Program was implemented in 2024
• Sufficient data not available
• Attempts by Other Cities
– Richmond – City Council considered alternative methods – West Hollywood – City Council not in favor of ballot measure – San Marino – Ballot measure did not receive 2/3 vote requirement 997
Commercial Vacancy Tax Summary, 5
Ultimately, Staff would not recommend a commercial vacancy tax for the following reasons:
– Administrative burden
– Unintended consequences
– Potential financial strain on landowners
• Staff consistently receives inquiries about lease availabilities • Property owners and managers are eager to lease spaces quickly
998
Recommendation
• Review and provide direction on the draft Economic
Development Strategy
• Questions
• Welcome Derek Braun with Strategic Economics
999

STAFF REPORT

CITY COUNCIL

Agenda Item 8.1
DATE: September 17, 2024
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Annual Review of the City’s Statement of Investment Policy Prepared by: Jay Baksa, Finance Director
EXECUTIVE SUMMARY:

The City Council will consider a resolution completing the annual review of the Statement of Investment Policy. The Policy has been updated to clarify the Delegation of Authority and Authorized and Suitable Investments and remove language to the Prohibited Investment Practices to provide more flexibility in the City’s investment strategy. While not required by statute, annual review of a local agency’s investment policy is recommended by the California Debt and Investment Advisory Commission and is included as a requirement in the City Policy.

Additionally, the City Council will consider and provide feedback on the establishment of a Finance and Investment Subcommittee, which would be responsible for reviewing and making recommendations to the City Council on financial matters including the City’s investment strategy.

STAFF RECOMMENDATION:

Adopt the Resolution Approving the Annual Review of the Statement of Investment Policy and Delegation of Authority to Complete Investment Transactions and provide feedback and direction on the establishment of a Finance and Investment Subcommittee.

FINANCIAL IMPACT:

None.

DESCRIPTION:

The current Statement of Investment Policy, adopted on August 21, 2007, states that it is subject to annual review by the City Council and that the review shall be conducted by the second meeting in September (Section XVIII). The Policy was last revised on August 15, 2023 to reflect the current organizational structure of the Finance Department.
1000

After Staff review and consultation with the City’s investment advisor, Chandler Asset Management, the annual review of the Policy includes the following changes.

Proposed Changes
Section IV. Delegation of Authority
Staff has removed the designation of Assistant Finance Director as Deputy City Treasurer, as that position is vacant (replaced by an Accounting Manager) as of last fiscal year. The Finance Director will retain the designation of City Treasurer, and the City Manager will be the sole designated Deputy City Treasurer.

Section IX.9: Authorized and Suitable Investments
The proposed change adds language to Section IX.9 to allow for investments in Joint Powers Authority (JPA) pools that meet the requirements of the California Governmental Code. Currently, the Policy allows for investments in JPA pools, but specifically lists one JPA, California Asset Management Program (CAMP) as the only authorized JPA investment vehicle. The change will allow the City to invest in any JPA that meets the criteria of the California Government Code Section 6509.7, including but not limited to CAMP.

Section XI: Prohibited Investment Practices and Instruments The proposed change removes the phrase “Securities are purchased with the intent to hold to maturity” from this section to provide more flexibility in the City’s investment strategy.

Other:

Staff has made corrections in the document for spelling or grammatical errors. All such corrections are reflected in the redlines of Attachment 3.

The attached Resolution documents the annual review and confirms the delegation of authority to Staff to complete investment transactions. The Policy is provided as Exhibit A to the Resolution.

Finance and Investment Subcommittee
Staff is recommending the City Council consider the establishment of a Finance and Investment Subcommittee comprising two members of the City Council. The Subcommittee would be responsible for reviewing and making recommendations to the City Council on matters related to the City’s investments and on other major financial matters. Topics to consider for the Subcommittee could include:
 Review of the City’s Investment Policy, including determining if and how the City should incorporate Socially Responsible Investing (SRI) practices and Environmental, Social, Governance (ESG) standards. This topic was most recently raised at the meeting of May 21, 2024, with two Councilmembers expressing the desire to address this issue at a later date.  Review of and recommendations on the City’s investment strategy, portfolio composition, and quarterly returns.
 Review of items related to existing and potential debt issuance.  Review of quarterly financial reviews.
1001

If the City Council provides direction to create the Finance and Investment Subcommittee, Staff would bring that item to the City Council in October for formal approval. Appointments to the Subcommittee would then be made by the Mayor as part of the annual item brought to the City Council. The next such item is planned for a December 2024 meeting, with the newly seated City Council.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) Resolution Approving the Annual Review of the Statement of Investment Policy and Delegation of Authority to Complete Investment Transactions
2) Exhibit A to the Resolution - Statement of Investment Policy for the City of Dublin 3) Statement of Investment Policy for the City of Dublin (Redline) 1002
Attachment 1
Reso. No. XX-24, Item X.X, Adopted XX/XX/2024 Page 1 of 2 RESOLUTION NO. XX – 24

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF DUBLIN

APPROVING THE ANNUAL REVIEW OF THE STATEMENT OF INVESTMENT POLICY AND

DELEGATION OF AUTHORITY TO COMPLETE INVESTMENT TRANSACTIONS WHEREAS, on August 21, 2007 the City Council adopted Resolution 152-07 approving a Statement of Investment Policy (“Investment Policy”); and WHEREAS, Section XVIII of the Investment Policy requires an annual review by the City Council no later than the second meeting in September; and WHEREAS, the last modification to the Investment Policy was approved by the City Council at the meeting of August 15, 2023; and
WHEREAS, the focus of the annual review is to allow for any adjustments as a result of changes in State laws or other recommended modifications; and WHEREAS, consistent with the provisions of Government Code Section 53607, the Investment Policy provides for the City Council to delegate for a one-year period the authority to invest City funds to the City Treasurer and any duly appointed Deputy City Treasurer; and WHEREAS, Staff recommends changes to the Investment Policy aligning with current best practices and clarifying language; and
WHEREAS, the City Council reviewed the Investment Policy at the September 17, 2024 meeting.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby in accordance with California Government Code 53646(a)(2) complete the annual review of the Statement of Investment Policy, as attached hereto as Exhibit A.

BE IT FURTHER RESOLVED that the City Council action explicitly renews the delegation of authority to complete investment transactions by City Staff (Finance Director designated as the City Treasurer and the City Manager designated as the Deputy City Treasurer), as described in Section IV of the Statement of Investment Policy.
{Signatures on the following page}
1003
Reso. No. XX-24, Item X.X, Adopted XX/XX/2024 Page 2 of 2 PASSED, APPROVED AND ADOPTED this 17th day of September 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Mayor
ATTEST:
_________________________________
City Clerk
1004
Attachment 2 – Exhibit A to the Resolution
1 STATEMENT OF INVESTMENT POLICY FOR THE CITY OF DUBLIN I. INTRODUCTION
This Statement of Investment Policy is intended to identify various policies and procedures that will foster a prudent and systematic investment program designed to seek the City's objectives of safety, liquidity and return through a diversified investment portfolio. This policy also serves to organize and formalize the City's investmentrelated activities, while complying with all applicable status governing the investment of public funds.

II. SCOPE
This policy covers all funds and investment activities under the direct authority of the City of Dublin, as set forth in the State Government Code, sections 53600 et seq., excluding any bond- related proceeds or reserves, which are governed by their bond indentures. Cash held by the City shall be pooled in order to more effectively manage City cash resources. All pooled funds are accounted for in the City's Comprehensive Annual Financial Report and include:

Funds
General Fund
Special Revenue Funds
Capital Project Funds
Internal Service Funds
Enterprise Funds
Agency Funds
This original investment policy was adopted by the City of Dublin (the "City"), on August 21, 2007. This update to the Policy is effective on September 17, 2024 and replaces any previous versions.

III. OBJECTIVES
The overall program shall be designed and managed with a degree of professionalism worthy of the public trust. The primary objectives, in order of priority, of the City's investment activities shall be:
1005
Attachment 2 – Exhibit A to the Resolution
2 1) Safety: Safety of principal is the foremost objective of the investment program. The City's investments shall be undertaken in a manner that seeks to safeguard the principal of the funds under its control by maintaining an appropriate risk level. 2) Liquidity: The City's investment portfolio will remain sufficiently liquid to enable the City to meet its reasonably anticipated cash flow requirements. 3) Return: Return should become a consideration only after the basic requirements of safety and liquidity have been met. The City seeks to attain market average rate of return on its investments throughout economic cycles, consistent with constraints imposed by its safety objectives and cash flow considerations. 4) Diversification: The investment portfolio will be diversified to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions. This shall also conform with applicable sections of the Government Code.

IV. DELEGATION OF AUTHORITY
As authorized in Government Code Section 53607, the City Council delegates the authority to invest funds of the City to the City Treasurer and/or any duly appointed Deputy City Treasurer. The City Treasurer and any duly appointed Deputy City Treasurer shall make all investment decisions and transactions in strict accordance with State law and this investment policy. The Finance Director shall be designated as the City Treasurer and the City Manager shall be designated as the Deputy City Treasurer. This delegation shall be for a one-year period until the delegation of authority is revoked or expires. The City Council may renew the authority each year as part of an annual review of this policy.

The City Treasurer shall establish procedures for the operation of the investment program. The City Treasurer shall be also responsible for all transactions undertaken and establishing a system of controls to regulate the activities of subordinates.

The City recognizes that in a diversified portfolio, occasional measured losses may be inevitable and must be considered within the context of the overall portfolio's return and the cash flow requirements of the City. Authorized individuals acting in accordance with written procedures and the investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments. 1006
Attachment 2 – Exhibit A to the Resolution
3 The City may engage the services of one or more external investment managers to assist in the management of the City's investment portfolio in a manner consistent with the City's objectives. Such external managers may be granted discretion to purchase and sell investment securities in accordance with this investment policy. Such managers must be registered under the Investment Advisors Act of 1940.

V. PRUDENCE
Pursuant to California Government Code Section 53600.3, all persons authorized to make investment decisions on behalf of the City are trustees and therefore fiduciaries subject to the prudent investor standard: "When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency." VI. ETHICS AND CONFLICTS OF INTEREST
All participants in the investment process shall act as custodians of the public trust.

Investment officials shall recognize that the investment portfolio is subject to public review and evaluation. The overall program shall be designed and managed with a degree of professionalism that is worthy of the public trust. Thus, employees and officials involved in the investment process shall refrain from personal business activity that conflicts with proper execution of the investment program or impairs their ability to make impartial investment decisions. Additionally, the City Treasurer and the Deputy Treasurer shall file applicable financial disclosures as required by the Fair Political Practices Commission (FPPC).

VII. INTERNAL CONTROLS
The Treasurer is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the entity are protected from loss, theft or misuse. The internal control structure shall be designed to provide reasonable assurance that these objectives are met. The concept of reasonable assurance recognizes that (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by City management. Periodically, as deemed appropriate by City management 1007
Attachment 2 – Exhibit A to the Resolution
4 and/or the City Council, an independent analysis by an external auditor shall be conducted to review internal controls, account activity and compliance with policies and procedures.

VIII. AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS
To the extent practical the Treasurer shall endeavor to complete investment transactions using a competitive bid process whenever possible. It shall be the City's policy to purchase securities only from authorized institutions and firms. No deposit of public funds shall be made except in a qualified public depository as established by state laws.

Institutions eligible to transact investment business with the City include:
1) Primary government dealers as designated by the Federal Reserve Bank and nonprimary government dealers 2) Nationally or state-chartered banks
3) The Federal Reserve Bank
4) Direct issuers of securities eligible for purchase
The Treasurer shall maintain procedures for the establishing a list of authorized broker/dealers and financial institutions which are approved for investment purposes.

These may include primary or regional dealers that qualify under Securities & Exchange Commission Rule 15C3-l (uniform net capital rule). The City requires each firm that will be used for the purchase or sale of securities to be evaluated by the Treasurer prior to any investments. The firms shall submit current financial statements, and annual audited financial statements each year thereafter, which are to be evaluated by the Treasurer. At a minimum, the firm must be financially sound and have been in business a minimum of three years. In addition, the firms must provide: proof of National Association of Security Dealers membership, proof of state registration or exemption, and certificate of having read the City's investment policy.

If an investment adviser is retained by the City, then that adviser will be permitted to use their own list of approved broker/dealers and financial institutions for investment purposes.

IX. AUTHORIZED AND SUITABLE INVESTMENTS
The City's investments are governed by Government Code, Sections 53600 et seq.

Within the investments permitted by the Government Code, the City seeks to further 1008
Attachment 2 – Exhibit A to the Resolution
5 restrict eligible investments to the guidelines listed below. In the event an apparent discrepancy is found between this Policy and the Government Code, the more restrictive parameters will take precedence. Percentage holding limits listed in this section apply at the time the security is purchased. Any investment currently held at the time the Policy is adopted which does not meet the new Policy guidelines can be held until maturity, and shall be exempt from the current Policy. At the time of the investment's maturity or liquidation such funds shall be reinvested only as provided in the most current Policy.

An appropriate risk level shall be maintained by primarily purchasing securities that are of high quality, liquid, and marketable. The portfolio shall be diversified by security type and institution to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions. 1) United States Treasury Issues. United States Treasury notes, bonds, bills, or certificates of indebtedness, or those for which the faith and credit of the United States are pledged for the payment of principal and interest. There is no limitation as to the percentage of the portfolio that may be invested in this category. The maximum maturity of these securities is ten years. The City Council authorized investments in United States Treasury Issues beyond five years on September 6, 2022.
2) Federal Agency Obligations. Federal agency or United States governmentsponsored enterprise obligations, participations, or other instruments, including those issued by or fully guaranteed as to principal and interest by federal agencies or United States government- sponsored enterprises. There is no limitation as to the percentage of the portfolio that may be invested in this category. However, the portfolio's exposure to any one federal agency issuer is limited to 35 percent of the overall portfolio. The limit of the overall portfolio's exposure to callable federal agency securities is 25 percent. The maximum maturity for agency securities is ten years. The City Council authorized investments in Federal Agency Obligations beyond five years on September 6, 2022.
3) Bankers' Acceptances. Bankers' acceptances, otherwise known as bills of exchange or time drafts, that are drawn on and accepted by a commercial bank.

Bankers' acceptances must be secured by the irrevocable primary obligation of the accepting domestic bank. Purchasers are limited to issuers whose short-term debt is rated "A- 1" or higher, or the equivalent, by a Nationally Recognized StatisticalRating Organization (NRSRO). Bankers' acceptances cannot exceed a maturity of 1009
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6 180 days. A maximum of 40 percent of the portfolio may be invested in this category. The amount invested in bankers' acceptances with any one financial institution in combination with any other debt from that financial institution shall not exceed 20 percent of the portfolio.
4) Commercial Paper. Commercial paper of "prime" quality rated "A-1" or higher, or the equivalent, by a NRSRO. The entity that issues the commercial paper shall meet all of the following conditions in either paragraph (a) or paragraph (b):
a. The entity meets the following criteria: (i) Is organized and operating in the United States as a general corporation. (ii) Has total assets in excess of five hundred million dollars ($500,000,000). (iii) Has debt other than commercial paper, if any, that is rated "A" or higher by a nationally recognized statisticalrating organization. b. The entity meets the following criteria: (i) Is organized within the United States as a special purpose corporation, trust, or limited liability company. (ii) Has program wide credit enhancements including, but not limited to, overcollateralization, letters of credit, or surety bond. (iii) Has commercial paper that is rated "A-1" or higher, or the equivalent, by a nationally recognized statistical-rating organization.

Eligible commercial paper shall have a maximum maturity of 270 days or less and not represent more than 10 percent of the outstanding paper of an issuing corporation. A maximum of 25 percent of the portfolio may be invested in this category. Under a provision of the California Government Code sunsetting on January 1, 2026, no more than 40 percent of the portfolio may be invested in Commercial Paper if the Agency’s investment assets under management are greater than $100,000,000. The amount invested in commercial paper of any one issuer in combination with any other debt from that issuer shall not exceed 20 percent of the portfolio.
5) Negotiable Certificates of Deposit. Negotiable certificates of deposit (NCDs) issued by a nationally or state-chartered bank, a savings association or a federal association, a state or federal credit union, or by a state-licensed branch of a foreign bank. Purchases are limited to institutions which have long-term debt rated "A" or better and/or have short-term debt rated at least "A-1" or higher, or the equivalent by a NRSRO. A maximum of 30 percent of the portfolio may be invested in this category. The amount invested in NCDs with any one financial institution in 1010
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7 combination with any other debt from that financial institution shall not exceed 20 percent of the portfolio. The maximum maturity of these securities is five years. 6) Time Certificates of Deposit. Time Certificates of Deposit (TCDs) placed with commercial banks and savings and loans. The purchase of TCDs from out-of-state banks or savings and loans is prohibited. The amount on deposit shall not exceed the shareholder's equity in the financial institution. To be eligible for purchase, the financial institution must have received a minimum overall satisfactory rating for meeting the credit needs of California Communities in its most recent evaluation, as provided Government Code Section 53635.2. TCDs are required to be collateralized as specified under Government Code Section 53630 et. seq. The Treasurer, at his discretion, may waive the collateralization requirements for any portion that is covered by federal (FDIC) insurance. The City shall have a signed agreement with the depository per Government Code Section 53649. The maximum maturity of these securities may not exceed one (1) year in maturity. A maximum of 10 percent of the portfolio may be invested in this category. 7) Mutual Funds and Money Market Mutual Funds that are registered with the Securities and Exchange Commission under the Investment Company Act of 1940, provided that,
a. MUTUAL FUNDS that invest in the securities and obligations as authorized under California Government Code, Section 53601 (a) to (k) and (m) to (q) inclusive and that meet either of the following criteria:
i. Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or
ii. Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million. iii. No more than 10% of the total portfolio may be invested in shares of any one mutual fund.
b. MONEY MARKET MUTUAL FUNDS registered with the Securities and Exchange Commission under the Investment Company Act of 1940 and issued by diversified management companies and meet either of the following criteria:
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8 i. Have attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or
ii. Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience managing money market mutual funds with assets under management in excess of $500 million. iii. No more than 20% of the total portfolio may be invested in Money Market Mutual Funds.
c. No more than 20% of the total portfolio may be invested in these securities. 8) State of California Local Agency Investment Fund (LAIF). The City may invest up to the maximum as permitted by LAIF. For due diligence, the Treasurer shall maintain on file a copy of LAIF's current Answer Book.
9) Joint Powers Authority (JPA) Pools, provided that: The JPA is organized pursuant to California Government Code Section 6509.7 and invests in the securities and obligations authorized in subdivisions (a) to (r), inclusive. Each share shall represent an equal proportional interest in the underlying pool of securities owned by the JPA. The JPA has retained an investment advisor who is registered with the SEC (or exempt from registration), has assets under management in excess of $500 million, and has at least five years’ experience investing in instruments authorized by Section 53601, subdivisions (a) to (q).
10)Medium Term Notes. Medium-term notes, defined as all corporate and depository institution debt securities with a maximum remaining maturity of five years or less, issued by corporations organized and operating within the United States or by depository institutions licensed by the United States or any state and operating within the United States. Purchases are limited to securities rated "A" or higher, or the equivalent, by a NRSRO. A maximum of 30 percent of the City's portfolio may be invested in this category and a maximum of 5 percent with any one issuer. The maximum maturity of these securities is five years.
11)Asset-Backed, Mortgage-Backed, Mortgage Pass-Through Securities, and Collateralized Mortgage Obligations, from issuers not defined in the Federal Agency Obligations Subdivision. The City may purchase such securities provided that they are rated "AA" or higher, or the equivalent, by a NRSRO. Purchase of securities authorized by this subdivision may not exceed 20 percent of the portfolio, 1012
Attachment 2 – Exhibit A to the Resolution
9 and a maximum of 5 percent per issue. The maximum maturity of these securities is five years.
12)Municipal Securities. Obligations of the State of California, any of the other 49 states, or any local agency within the State of California, may be purchased by the City provided that long-term obligations are rated "A" or higher, or the equivalent, by at least one NRSRO. There are no limits on the dollar amount or percentage that the city may invest in municipal securities; however, investments in these securities are limited to a maximum of 5 percent with any single issuer. The maximum maturity of these securities is ten years. The City Council authorized investments in Municipal Securities beyond five years on September 6, 2022. 13)Supranationals provided that issues are US dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter-American Development Bank. The securities must be rated in a rating category of “AA” or its equivalent by a NRSRO. No more than 30% of the portfolio may be invested in these securities, and no more than 10% of the portfolio may be invested in any single issuer. The maximum maturity does not exceed five (5) years.

X. AUTHORIZED INVESTMENTS FOR BOND PROCEEDS
Bond proceeds shall be invested in securities permitted by the applicable bond documents. If the bond documents are silent as to the permitted investments, bond proceeds will be invested in securities permitted by this Policy. Notwithstanding the provisions of the Policy, the percentage or dollar portfolio limitations listed elsewhere in this Policy do not apply to bond proceeds. In addition to the securities listed in Section IX above, bond proceeds may be invested in structured investment products if approved by the Treasurer.

XI. PROHIBITED INVESTMENT PRACTICES AND INSTRUMENTS
The City shall not make investments for the purpose of trading or speculation as the dominate criterion such as anticipation of appreciation of capital value through changes in market rates.

Any investment in a security not specifically listed as an Authorized and Suitable Investment above, but otherwise permitted by the Government Code, is prohibited 1013
Attachment 2 – Exhibit A to the Resolution
10 without the prior approval of the City Council. Section 53601.6 of the Government Code specifically disallows investments in invoice floaters, range notes, or interestonly strips that are derived from a pool of mortgages. Under a provision of the California Government Code sunsetting on January 1, 2026, securities backed by the United States Government that could result in a zero or negative interest accrual if held to maturity are permitted.

XII. REVIEW OF INVESTMENT PORTFOLIO
The City Treasurer shall periodically, but no less than quarterly, review the portfolio to identify investments that do not comply with this investment policy and establish protocols for reporting major and critical incidences of noncompliance to the City Council.

XIII. TERM OF INVESTMENTS
Funds of the City will be invested in accordance with sound treasury management principles. It is the objective of this Policy to provide a system which will accurately monitor and forecast revenues and expenditures so that the City can invest funds to the fullest extent possible.

The maximum maturity of individual investments shall not exceed the limits set forth in under Authorized and Suitable Investments. No investment shall exceed a maturity of five years from the date of purchase unless the City Council has granted express authority to make that investment either specifically or as a part of an investment program approved by the City Council no less than three months prior to the investment.

XIV. INVESTMENT RISK
a. MARKET RISK
Market risk is the risk that the portfolio will decline in value (or will not optimize its value) due to changes in the general level of interest rates. The City recognizes that, over time, longer-term portfolios achieve higher returns. On the other hand, longer-term portfolios have higher volatility of return. The City shall mitigate market risk by providing adequate liquidity for short-term cash 1014
Attachment 2 – Exhibit A to the Resolution
11 needs, and by making some longer-term investments only with funds that are not needed for current cash flow purposes.

The City also prohibits investments in any fossil fuel companies, tobacco or tobacco-related companies, and companies in support of the production of firearms. The City further recognizes that certain types of securities, including variable rate securities, securities with principal pay-downs prior to maturity, and securities with embedded options, will affect the market risk profile of the portfolio differently in different interest rate environments. The City, therefore, adopts the following strategies to control and mitigate its exposure to market risk:
i. The maximum stated final maturity of individual securities in the portfolio shall be five years, unless otherwise stated in this policy; ii. The City shall maintain a minimum of three months of budgeted operating expenditures in cash, cash equivalents and short-term investments; and
iii. The duration of the portfolio will typically be approximately equal to the duration of a market index, selected by the City as its performance benchmark, which meets the City's needs for cash flow and level of risk tolerance plus or minus 20%.
b. CREDIT RISK
In general, the City's portfolio will be diversified to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions, such as credit risk. Credit risk is the risk that a security or a portfolio will lose some or all of its value due to a real or perceived change in the ability of the issuer to repay its debt. The City shall mitigate credit risk by adopting the following strategies:
i. The diversification requirements included in Section IX are designed to mitigate credit risk in the portfolio;
ii. No more than 5% of the total portfolio may be deposited with or invested in securities issued by any single issuer unless otherwise specified in this policy.
iii. The City may elect to sell a security prior to its maturity and record a capital gain or loss in order to improve the quality, liquidity or return of the portfolio in response to market conditions or the City's risk preferences; and
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12 iv. If a security owned by the City is downgraded to a level below the requirements of this policy, making the security ineligible for additional purchases, the following steps will be taken:

1. Any actions taken related to the downgrade by the investment manager will be communicated to the City in a timely manner.

2. If a decision is made to retain the security, the credit situation will be monitored and reported back to the City.

XV. SAFEKEEPING AND CUSTODY
Investment securities are to be purchased when possible in book-entry form in the City's name. All security transactions entered into by the City shall be conducted on a delivery-versus-payment (DVP) basis. All cash and securities in the City's portfolio shall be held in safekeeping in the City's name by a third-party bank trust department, acting as agent for the City under the terms of a custody agreement executed by the bank and the City. All investment transactions will require a safekeeping receipt or acknowledgment generated from the trade. A monthly report will be received by the City from the safekeeping institution listing all securities held in safekeeping with current market data and other information. The only exception to the foregoing shall be depository accounts and securities purchases made with: (i) local government investment pools; (ii) time certificates of deposit, and, (iii) money mutual funds, since the purchased securities are not deliverable. Term and non-negotiable instruments, such as certificates of deposit, can be held by the Treasurer, or in safekeeping as the Treasurer deems appropriate.

XVI. PERFORMANCE BENCHMARK
The investment portfolio shall be designed to attain a market-average rate of return throughout budgetary and economic cycles, taking into account the City's risk constraints, the cash flow characteristics of the portfolio, and state and local laws, ordinances or resolutions that restrict investments. The Treasurer shall monitor and evaluate the portfolio's performance relative to the market benchmark, which will be included in the Treasurer's quarterly report. The Treasurer shall select an appropriate, readily available index to use as a benchmark.

XVII. REPORT INFORMATION
The Treasurer shall prepare a report to the City Council not less than semi-annually which is available each year within 60 days following December 31st and June 30th. 1016
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13 The semi-annual report shall be presented at a subsequent regularly scheduled City Council Meeting. The report shall be inclusive of a monthly listing of investment transactions. At a minimum the report shall include the following (Revised 9-18-2012):
a. Type of Investment
b. Issuer
c. Date of Maturity
d. Par and dollar amount invested
e. Current Market Value as of the date of the report
f. Source of the market value information
g. A list of investment transactions.
h. A statement of compliance with the investment policy i. A statement as to the ability of the City to meet its expenditure requirements for the next six months
In addition, the City Treasurer will submit a monthly transaction report to the City Council.

XVIII. REVIEW OF INVESTMENT POLICY
This policy shall be subject to review by the City Council on an annual basis, by the second Council meeting in September. Any recommended modifications or amendments shall be presented by Staff to the City Council for their consideration and adoption.

GLOSSARY OF TERMS
ACCRUED INTEREST: Interest earned but not yet received.

AGENCIES: Federal agency securities and/or Government-sponsored enterprises.

Examples of well-known agencies that issue bonds are Federal Home Loan Mortgage Corporation (FHLMC or "Freddie Mac"), Federal National Mortgage Association (FNMA or "Fannie Mae"), and the Federal Home Loan Bank.

AMORTIZATION: An accounting practice of gradually decreasing (increasing) an asset's book value by spreading its depreciation (accretion) over a period of time.

ASKED: The price at which securities are offered.

ASSET BACKED SECURITIES: Securities supported by pools of installment loans or leases or by pools of revolving lines of credit.
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14 BANKERS' ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill, as well as the issuer.

BASIS POINT: One basis point is one hundredth of one percent (.0 I ).

BENCHMARK: A comparative base for measuring the performance or risk tolerance of the investment portfolio. A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio's investments.

BID PRICE: The price offered by a buyer of securities. (When you are selling securities, you ask for a bid.) See Offer.

BOND: A financial obligation for which the issuer promises to pay the bondholder a specified stream of future cash flows, including periodic interest payments and a principal repayment.

BOOK ENTRY: The system maintained by the Federal Reserve, by which most money market securities are delivered to an investor's custodial bank. The Federal Reserve maintains a computerized record of the ownership of these securities and records any changes in ownership corresponding to payments made over the Federal Reserve wire (delivery versus payment.)
BOOK VALUE: The value at which a debt security is shown on the holder's balance sheet. Book value is acquisition cost less amortization of premium or accretion of discount.

BROKER: A broker brings buyers and sellers together for a commission.

CALLABLE BOND: A bond issue in which all or part of its outstanding principal amount may be redeemed before maturity by the issuer under specified conditions.

CALL PRICE: The price at which an issuer may redeem a bond prior to maturity. The price is usually at a slight premium to the bond's original issue price to compensate the holder for loss of income and ownership.

CALL RISK: The risk to a bondholder that a bond may be redeemed prior to maturity.

CERTIFICATE OF DEPOSIT (CD): A deposit insured up to $100,000 by the FDIC at a set rate for a specified period of time.

COLLATERAL: Securities, evidence of deposit or other property which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies.
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15 COLLATERALIZED MORTGAGE OBLIGATION (CMO): Classes of bonds that redistribute the cash flows of mortgage securities (and whole loans) to create securities that have different levels of prepayment risk, as compared to the underlying mortgage securities.

COMMERCIAL PAPER: An unsecured promissory note of industrial corporations, utilities and bank holding companies having assets in excess of $500 million and an "A" or higher rating for the issuer's debentures. Interest is discounted from par and calculated using the actual number of days on a 360-day year. The notes are in bearer form, mature from one to 270 days and generally start at $100,000. There is a secondary market for commercial paper and an investor may sell them prior to maturity. Unused lines of credit back commercial paper from major banks.

COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual financial report for the City. It includes combined statements and basic financial statements for each individual fund and account group prepared in conformity with Generally Accepted Accounting Principles (GAAP). Supplemental information is also included including a detailed multi-year comparative statistics.

COST YIELD: The annual income from an investment divided by the purchase cost.

Because it does not give effect to premiums and discounts which may have been included in the purchase cost, it is an incomplete measure of return.

COUPON: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on the bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment date.

CREDIT RISK: The risk that principal and/or interest on an investment will not be paid in a timely manner due to changes in the condition of the issuer.

CURRENT YIELD: The interest paid on an investment expressed as a percentage of the current price of the security.

CUSTODY: A banking service that provides safekeeping for the individual securities in a customer's investment portfolio under a written agreement which also calls for the bank to collect and pay out income, and to buy, sell, receive and deliver securities when ordered to do so by the account holder.

DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account.

DEBENTURE: A bond secured only by the general credit of the issuer. 1019
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16 DELIVERY VERSUS PAYMENT (DVP): Delivery versus payment is delivery of securities with an exchange of money for the securities.

DERIVATIVES: (1) Financial instruments whose return profile is linked to, or derived from, the movement of one or more underlying index or security, and may include a leveraging factor, or (2) financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates, foreign exchange rates, equities or commodities).

DISCOUNT: The difference between the cost price of a security and its value at maturity when quoted at lower than face value.

DISCOUNT SECURITIES: Non-interest-bearing money market instruments that are issued a discount and redeemed at maturity for full face value, e.g., U.S. Treasury Bills.

DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns.

DURATION: A measure of the timing of the cash flows, such as the interest payments and the principal repayment, to be received from a given fixed-income security. This calculation is based on three variables: term to maturity, coupon rate, and yield to maturity.

The duration of a security is a useful indicator of its price volatility for given changes in interest rates.

FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g., S&L's, small business firms, students, farmers, farm cooperatives, and exporters.

FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank deposits, currently up to $100,000 per deposit.

FEDERAL FUNDS RATE: The rate of interest at which Fed funds are traded. This rate is currently pegged by the Federal Reserve through open-market operations.

FEDERAL HOME LOAN BANKS (FHLB): Government sponsored wholesale banks (currently 12 regional banks) which lend funds and provide correspondent banking services to member commercial banks, thrift institutions, credit unions and insurance companies.

FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA or Fannie Mae): FNMA, like GNMA was chartered under the Federal National Mortgage Association Act in 1938.

FNMA is a federal corporation working under the auspices of the Department of Housing 1020
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17 and Urban Development (HUD). The corporation is called, is a private stockholder-owned corporation. The corporation's purchases include a variety of adjustable mortgages and second loans, in addition to fixed-rate mortgages.

FEDERAL OPEN MARKET COMMITTEE (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open market as a means of influencing the volume of bank credit and money.

FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and consisting of a seven-member Board of Governors in Washington, D.C., 12 regional banks and about 5,700 commercial banks that are members of the system.

FED WIRE: A wire transmission service established by the Federal Reserve Bank to facilitate the transfer of funds through debits and credits of funds between participants within the Fed system.

FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC or Freddie Mac): A United States government sponsored corporation.

GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae):

Securities influencing the volume of bank credit guaranteed by GNMA and issued by mortgage bankers, commercial banks, savings and loan associations, and other institutions. Security holder is protected by full faith and credit of the U.S. Government.

Ginnie Mae securities are backed by the FHA, VA or FmHA mortgages. The term "passthroughs" is often used to describe Ginnie Maes.

HAIRCUT: The margin or difference between the actual market value of a security and the value assessed by the lending side of a transaction (i.e. a repo).

INTEREST RATE: The annual yield earned on an investment, expressed as a percentage.

LEVERAGE: Borrowing funds in order to invest in securities that have the potential to pay earnings at a rate higher than the cost of borrowing.

LIQUIDITY: Refers to the ability to easily and rapidly convert a security into cash.

LOCAL AGENCY INVESTMENT FUND (LAIF): The local Agency Investment Fund (LAIF) is a special fund in the California State Treasury created and governed pursuant 1021
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18 to Government Code Sections 16429.1 et seq. There are limits on the maximum dollars deposited by a city as well as the number of transactions allowed each month.

LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in custody of the State Treasurer for investment and reinvestment.

MAKE WHOLE CALL: A type of call provision on a bond that allows the issuer to pay off the remaining debt early. Unlike a call option, with a make whole call provision, the issuer makes a lump sum payment that equals the net present value (NPV) of future coupon payments that will not be paid because of the call. With this type of call, an investor is compensated, or "made whole."
MARGIN: The difference between the market value of a security and the loan a broker makes using that security as collateral.

MARKET RISK: The risk that the value of securities will fluctuate with changes in overall market conditions or interest rates.

MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold on a specific date.

MARKING TO MARKET: The process of posting current market values for securities in a portfolio.

MATURITY: The date upon which the principal or stated value of an investment becomes due and payable.

MEDIUM TERM NOTES (MTNs): Unsecured, investment-grade senior debt securities of major corporations which are sold in relatively small amounts on either a continuous or an intermittent basis. MTNs are highly flexible debt instruments that can be structured to respond to market opportunities or to investor preferences.

MODIFIED DURATION: The percent change in price for a 100 basis point change in yields. Modified duration is the best single measure of a portfolio's or security's exposure to market risk.

MONEY MARKET: The market in which short-term debt instruments (T-bills, discount notes, commercial paper, and banker's acceptances) are issued and traded. 1022
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19 MONEY MARKET MUTUAL FUND: Mutual funds that invest solely in money market instruments (short- term debt instruments, such as Treasury bills, commercial paper, bankers' acceptances, and federal funds).

MORTGAGE PASS THROUGH SECURITIES: A securitized participation in the interest and principal cash flows from a specified pool of mortgages. Principal and interest payments made on the mortgages are passed through to the holder of the security.

MUNICIPAL SECURITIES: Securities issued by state and local agencies to finance capital and operating expenses.

MUTUAL FUND: An entity which pools the funds of investors and invests those funds in a set of securities which is specifically defined in the fund's prospectus. Mutual funds can be invested in various types of domestic and/or international stocks, bonds, and money market instruments, as set forth in the individual fund's prospectus. For most large, institutional investors, the costs associated with investing in mutual funds are higher than the investor can obtain through an individually managed portfolio.

NATIONAL ASSOCIATION OF SECURITIES DEALERS (NASD): A self-regulatory organization (SRO) of brokers and dealers in the over-the-counter securities business. Its regulatory mandate includes authority over firms that distribute mutual fund shares as well as other securities.

NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATIONS (NSROs); Credit rating agencies whose ratings are permitted to be used for regulatory purposes such as those imposed by the Securities and Exchange Commission.

NEGOTIABLE CERTIFICATE OF DEPOSIT: A large denomination certificate of deposit which can be sold in the open market prior to maturity.

NEW ISSUE: Term used when a security is originally "brought" to market.

OFFER: The price asked by a seller of securities. (When you are buying securities, you ask for an offer.) See Asked and Bid.

OPEN MARKET OPERATIONS: Purchases and sales of government and certain other securities in the open market by the New York Federal Reserve Bank as directed by the FOMC in order to influence the volume of money and credit in the economy. Purchases inject reserves into the bank system and stimulate growth of money and credit; sales have the opposite effect. Open market operations are the Federal Reserve' s most important and most flexible monetary policy tool.
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20 PORTFOLIO: Collection of securities held by an investor.

PREMIUM: The amount by which the price paid for a security exceeds the security's par value.

PREPAYMENT SPEED: A measure of how quickly principal is repaid to investors in mortgage securities.

PREPAYMENT WINDOW: The time period over which principal repayments will be received on mortgage securities at a specified prepayment speed.

PRIMARY DEALER: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC)-registered securities broker-dealers, banks, and a few unregulated firms.

PRINCIPAL: The face value or par value of a debt instrument, or the amount of capital invested in a given security.

PRUDENT PERSON (PRUDENT INVESTOR) RULE: A standard of responsibility which applies to fiduciaries. In California, the rule is stated as "Investments shall be managed with the care, skill, prudence and diligence, under the circumstances then prevailing, that a prudent person, acting in a like capacity and familiar with such matters, would use in the conduct of an enterprise of like character and with like aims to accomplish similar purposes."
PURCHASE DATE: The date on which a security is purchased for settlement on that or a later date.

RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond or the current income return.

REALIZED YIELD: The change in value of the portfolio due to interest received and interest earned and realized gains and losses. It does not give effect to changes in market value on securities, which have not been sold from the portfolio.

REGIONAL DEALER: A financial intermediary that buys and sells securities for the benefit of its customers without maintaining substantial inventories of securities and that is not a primary dealer.
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Attachment 2 – Exhibit A to the Resolution
21 REPURCHASE AGREEMENT (RP OR REPO): A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security "buyer" in effect lends the "seller" money for the period of the agreement, and the terms of the agreement are structured to compensate him for this.

RULE 2a-7 OF THE INVESTMENT COMPANY ACT: Applies to all money market mutual funds and mandates such funds to maintain certain standards, including a 13- month maturity limit and a 90-day average maturity on investments, to help maintain a constant net asset value of one dollar ($1.00).

SAFEKEEPING: See CUSTODY.

SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following the initial distribution.

SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors m securities transactions by administering securities legislation.

SETTLEMENT DATE: The date on which a trade is cleared by delivery of securities against funds.

STRUCTURED NOTE: A complex, fixed income instrument, which pays interest, based on a formula tied to other interest rates, commodities or indices. Examples include inverse floating rate notes which have coupons that increase when other interest rates are falling, and which fall when other interest rates are rising, and "dual index floaters," which pay interest based on the relationship between two other interest rates - for example, the yield on the ten-year Treasury note minus the Libor rate. Issuers of such notes lock in a reduced cost of borrowing by purchasing interest rate swap agreements.

TENNESSEE VALLEY AUTHORITY (TVA): The Tennessee Valley Authority provides flood control and power and promotes development in portions of the Tennessee, Ohio, and Mississippi River valleys. TVA currently issues discount notes and bonds.

TIME CERTIFICATE OF DEPOSIT: A non-negotiable certificate of deposit which cannot be sold prior to maturity.

TOTAL RATE OF RETURN: A measure of a portfolio's performance over time. It is the internal rate of return, which equates the beginning value of the portfolio with the ending value; it includes interest earnings, realized and unrealized gains, and losses in the portfolio.
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Attachment 2 – Exhibit A to the Resolution
22 TREASURY BILLS: A non-interest-bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year and are sold on a discount basis.

TREASURY BONDS: Long-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of more than 10 years.

TREASURY NOTES: Medium-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of I to 10 years.

U.S. GOVERNMENT AGENCIES: Instruments issued by various US Government Agencies most of which are secured only by the credit worthiness of the particular agency.

VOLATILITY: The rate at which security prices change with changes in general economic conditions or the general level of interest rates.

WEIGHTED AVERAGE MATURITY (WAM): The average maturity of all the securities that comprise a portfolio that is typically expressed in days or years.

YIELD: The rate of annual income return on an investment, expressed as a percentage.

It is obtained by dividing the current dollar income by the current market price of the security.

YIELD TO MATURITY: The rate of income return on an investment, minus any premium or plus any discount, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond, expressed as a percentage.

YIELD CURVE: The yield on bonds, notes or bills of the same type and credit risk at a specific date for maturities up to thirty years.

ZERO-COUPON SECURITY: Security that is issued at a discount and makes no periodic interest payments. The rate of return consists of a gradual accretion of the principal of the security and is payable at par upon maturity.
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Attachment 3
1 STATEMENT OF INVESTMENT POLICY FOR THE CITY OF DUBLIN I. INTRODUCTION
This Statement of Investment Policy is intended to identify various policies and procedures that will foster a prudent and systematic investment program designed to seek the City's objectives of safety, liquidity and return through a diversified investment portfolio. This policy also serves to organize and formalize the City's investmentrelated activities, while complying with all applicable status governing the investment of public funds.

II. SCOPE
This policy covers all funds and investment activities under the direct authority of the City of Dublin, as set forth in the State Government Code, sections 53600 et seq., excluding any bond- related proceeds or reserves, which are governed by their bond indentures. Cash held by the City shall be pooled in order to more effectively manage City cash resources. All pooled funds are accounted for in the City's Comprehensive Annual Financial Report and include:

Funds
General Fund
Special Revenue Funds
Capital Project Funds
Internal Service Funds
Enterprise Funds
Agency Funds
This original investment policy was adopted by the City of Dublin (the "City"), on August 21, 2007. This update to the Policy is effective on August 15, 2023, September 17, 2024 and replaces any previous versions.

III. OBJECTIVES
The overall program shall be designed and managed with a degree of professionalism worthy of the public trust. The primary objectives, in order of priority, of the City's investment activities shall be:
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2 1) Safety: Safety of principal is the foremost objective of the investment program. The City's investments shall be undertaken in a manner that seeks to safeguard the principal of the funds under its control by maintaining an appropriate risk level. 2) Liquidity: The City's investment portfolio will remain sufficiently liquid to enable the City to meet its reasonably anticipated cash flow requirements. 3) Return: Return should become a consideration only after the basic requirements of safety and liquidity have been met. The City seeks to attain market average rate of return on its investments throughout economic cycles, consistent with constraints imposed by its safety objectives and cash flow considerations. 4) Diversification: The investment portfolio will be diversified to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions. This shall also conform with applicable sections of the Government Code.

IV. DELEGATION OF AUTHORITY
As authorized in Government Code Section 53607, the City Council delegates the authority to invest funds of the City to the City Treasurer and/or any duly appointed Deputy City Treasurer. The City Treasurer and any duly appointed Deputy City Treasurer shall make all investment decisions and transactions in strict accordance with State law and this investment policy. The Finance Director shall be designated as the City Treasurer and the City Manager and/or Assistant Finance Director shall be designated as the Deputy City Treasurer. This delegation shall be for a one-year period until the delegation of authority is revoked or expires. The City Council may renew the authority each year as part of an annual review of this policy.

The City Treasurer shall establish procedures for the operation of the investment program. The City Treasurer shall be also responsible for all transactions undertaken and establishing a system of controls to regulate the activities of subordinates.

The City recognizes that in a diversified portfolio, occasional measured losses may be inevitable and must be considered within the context of the overall portfolio's return and the cash flow requirements of the City. Authorized individuals acting in accordance with written procedures and the investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments. 1028
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3 The City may engage the services of one or more external investment managers to assist in the management of the City's investment portfolio in a manner consistent with the City's objectives. Such external managers may be granted discretion to purchase and sell investment securities in accordance with this investment policy. Such managers must be registered under the Investment Advisors Act of 1940.

V. PRUDENCE
Pursuant to California Government Code Section 53600.3, all persons authorized to make investment decisions on behalf of the City are trustees and therefore fiduciaries subject to the prudent investor standard: "When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency." VI. ETHICS AND CONFLICTS OF INTEREST
All participants in the investment process shall acts as custodians of the public trust.

Investment officials shall recognize that the investment portfolio is subject to public review and evaluation. The overall program shall be designed and managed with a degree of professionalism that is worthy of the public trust. Thus, employees and officials involved in the investment process shall refrain from personal business activity that conflicts with proper execution of the investment program, or impairs their ability to make impartial investment decisions. Additionally, the City Treasurer and the Deputy Treasurer shall file applicable financial disclosures as required by the Fair Political Practices Commission (FPPC).

VII. INTERNAL CONTROLS
The Treasurer is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the entity are protected from loss, theft or misuse. The internal control structure shall be designed to provide reasonable assurance that these objectives are met. The concept of reasonable assurance 1029
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4 recognizes that (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by City management. Periodically, as deemed appropriate by City Mmanagement and/or the City Council, an independent analysis by an external auditor shall be conducted to review internal controls, account activity and compliance with policies and procedures.

VIII. AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS
To the extent practical the Treasurer shall endeavor to complete investment transactions using a competitive bid process whenever possible. It shall be the City's policy to purchase securities only from authorized institutions and firms. No deposit of public funds shall be made except in a qualified public depository as established by state laws.

Institutions eligible to transact investment business with the City include:
1) Primary government dealers as designated by the Federal Reserve Bank and nonprimary government dealers 2) Nationally or state-chartered banks
3) The Federal Reserve Bank
4) Direct issuers of securities eligible for purchase
The Treasurer shall maintain procedures for the establishing a list of authorized broker/dealers and financial institutions which are approved for investment purposes.

These may include primary or regional dealers that qualify under Securities & Exchange Commission Rule 15C3-l (uniform net capital rule). The City requires each firm that will be used for the purchase or sale of securities to be evaluated by the Treasurer prior to any investments. The firms shall submit current financial statements, and annual audited financial statements each year thereafter, which are to be evaluated by the Treasurer. At a minimum, the firm must be financially sound and have been in business a minimum of three years. In addition, the firms must provide: proof of National Association of Security Dealers membership, proof of state registration or exemption, and certificate of having read the City's investment policy.

If an investment adviser is retained by the City, then that adviser will be permitted to use their own list of approved broker/dealers and financial institutions for investment purposes.
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5 IX. AUTHORIZED AND SUITABLE INVESTMENTS
The City's investments are governed by Government Code, Sections 53600 et seq.

Within the investments permitted by the Government Code, the City seeks to further restrict eligible investments to the guidelines listed below. In the event an apparent discrepancy is found between this Policy and the Government Code, the more restrictive parameters will take precedence. Percentage holding limits listed in this section apply at the time the security is purchased. Any investment currently held at the time the Policy is adopted which does not meet the new Policy guidelines can be held until maturity, and shall be exempt from the current Policy. At the time of the investment's maturity or liquidation such funds shall be reinvested only as provided in the most current Policy.

An appropriate risk level shall be maintained by primarily purchasing securities that are of high quality, liquid, and marketable. The portfolio shall be diversified by security type and institution to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions.

1. United States Treasury Issues. United States Treasury notes, bonds, bills, or certificates of indebtedness, or those for which the faith and credit of the United States are pledged for the payment of principal and interest. There is no limitation as to the percentage of the portfolio that may be invested in this category. The maximum maturity of these securities is ten years. The City Council authorized investments in United States Treasury Issues beyond five years on September 6, 2022.

2. Federal Agency Obligations. Federal agency or United States governmentsponsored enterprise obligations, participations, or other instruments, including those issued by or fully guaranteed as to principal and interest by federal agencies or United States government- sponsored enterprises. There is no limitation as to the percentage of the portfolio that may be invested in this category. However, the portfolio's exposure to any one federal agency issuer is limited to 35 percent of the overall portfolio. The limit of the overall portfolio's exposure to callable federal agency securities is 25 percent. The maximum maturity for agency securities is ten years. The City Council authorized investments in Federal Agency Obligations beyond five years on September 6, 2022.
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6 3. Bankers' Acceptances. Bankers' acceptances, otherwise known as bills of exchange or time drafts, that are drawn on and accepted by a commercial bank.

Bankers' acceptances must be secured by the irrevocable primary obligation of the accepting domestic bank. Purchasers are limited to issuers whose short-term debt is rated "A- 1" or higher, or the equivalent, by a Nationally Recognized StatisticalRating Organization (NRSRO). Bankers' acceptances cannot exceed a maturity of 180 days. A maximum of 40 percent of the portfolio may be invested in this category. The amount invested in bankers' acceptances with any one financial institution in combination with any other debt from that financial institution shall not exceed 20 percent of the portfolio.

4. Commercial Paper. Commercial paper of "prime" quality rated "A-1" or higher, or the equivalent, by a NRSRO. The entity that issues the commercial paper shall meet all of the following conditions in either paragraph (Aa) or paragraph (Bb):
a. The entity meets the following criteria: (i) Is organized and operating in the United States as a general corporation. (ii) Has total assets in excess of five hundred million dollars ($500,000,000). (iii) Has debt other than commercial paper, if any, that is rated "A" or higher by a nationally recognized statisticalrating organization. b. The entity meets the following criteria: (i) Is organized within the United States as a special purpose corporation, trust, or limited liability company. (ii) Has program wide credit enhancements including, but not limited to, overcollateralization, letters of credit, or surety bond. (iii) Has commercial paper that is rated "A-1" or higher, or the equivalent, by a nationally recognized statistical-rating organization.

Eligible commercial paper shall have a maximum maturity of 270 days or less and not represent more than 10 percent of the outstanding paper of an issuing corporation. A maximum of 25 percent of the portfolio may be invested in this category. Under a provision of the California Government Code sunsetting on January 1, 2026, no more than 40 percent of the portfolio may be invested in Commercial Paper if the Agency’s investment assets under management are greater than $100,000,000. The amount invested in commercial paper of any one 1032
Attachment 3
7 issuer in combination with any other debt from that issuer shall not exceed 20 percent of the portfolio.

5. Negotiable Certificates of Deposit. Negotiable certificates of deposit (NCDs) issued by a nationally or state-chartered bank, a savings association or a federal association, a state or federal credit union, or by a state-licensed branch of a foreign bank. Purchases are limited to institutions which have long-term debt rated "A" or better and/or have short-term debt rated at least "A-1" or higher, or the equivalent by a NRSRO. A maximum of 30 percent of the portfolio may be invested in this category. The amount invested in NCDs with any one financial institution in combination with any other debt from that financial institution shall not exceed 20 percent of the portfolio. The maximum maturity of these securities is five years.

6. Time Certificates of Deposit. Time Certificates of Deposit (TCDs) placed with commercial banks and savings and loans. The purchase of TCDs from out-of-state banks or savings and loans is prohibited. The amount on deposit shall not exceed the shareholder's equity in the financial institution. To be eligible for purchase, the financial institution must have received a minimum overall satisfactory rating for meeting the credit needs of California Communities in its most recent evaluation, as provided Government Code Section 53635.2. TCDs are required to be collateralized as specified under Government Code Section 53630 et. seq. The Treasurer, at his discretion, may waive the collateralization requirements for any portion that is covered by federal (FDIC) insurance. The City shall have a signed agreement with the depository per Government Code Section 53649. The maximum maturity of these securities may not exceed one (1) year in maturity. A maximum of 10 percent of the portfolio may be invested in this category.

7. Mutual Funds and Money Market Mutual Funds that are registered with the Securities and Exchange Commission under the Investment Company Act of 1940, provided that,
a. MUTUAL FUNDS that invest in the securities and obligations as authorized under California Government Code, Section 53601 (a) to (k) and (m) to (q) inclusive and that meet either of the following criteria:
i. Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or
ii. Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and 1033
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8 obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million. iii. No more than 10% of the total portfolio may be invested in shares of any one mutual fund.
b. MONEY MARKET MUTUAL FUNDS registered with the Securities and Exchange Commission under the Investment Company Act of 1940 and issued by diversified management companies and meet either of the following criteria:
i. Have attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or
ii. Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience managing money market mutual funds with assets under management in excess of $500 million. iii. No more than 20% of the total portfolio may be invested in Money Market Mutual Funds.
c. No more than 20% of the total portfolio may be invested in these securities.

8. State of California Local Agency Investment Fund (LAIF). The City may invest up to the maximum as permitted by LAIF. For due diligence, the Treasurer shall maintain on file a copy of LAIF's current Answer Book.

9.California Asset Management Program (CAMP). Shares of beneficial interest issued by a joint powers authority organized pursuant to Government Code Section 6509.7 that invests in the securities and obligations authorized in subdivisions (a) to (n), inclusive of Government Code Section 53601. For due diligence, the Treasurer shall maintain on file a copy of CAMP's current Information Statement.

9. Joint Powers Authority (JPA) Pools, provided that: The JPA is organized pursuant to California Government Code Section 6509.7 and invests in the securities and obligations authorized in subdivisions (a) to (r), inclusive. Each share shall represent an equal proportional interest in the underlying pool of securities owned by the JPA. The JPA has retained an investment advisor who is registered with the SEC (or exempt from registration), has assets under management in excess of $500 million, and has at least five years’ experience investing in instruments authorized by Section 53601, subdivisions (a) to (q).
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9 10.Medium Term Notes. Medium-term notes, defined as all corporate and depository institution debt securities with a maximum remaining maturity of five years or less, issued by corporations organized and operating within the United States or by depository institutions licensed by the United States or any state and operating within the United States. Purchases are limited to securities rated "A" or higher, or the equivalent, by a NRSRO. A maximum of 30 percent of the City's portfolio may be invested in this category and a maximum of 5 percent with any one issuer. The maximum maturity of these securities is five years.

11.Asset-Backed, Mortgage-Backed, Mortgage Pass-Through Securities, and Collateralized Mortgage Obligations, from issuers not defined in the Federal Agency Obligations Subdivision. The City may purchase such securities provided that they are rated "AA" or higher, or the equivalent, by a NRSRO. Purchase of securities authorized by this subdivision may not exceed 20 percent of the portfolio, and a maximum of 5 percent per issue. The maximum maturity of these securities is five years.

12.Municipal Securities. Obligations of the State of California, any of the other 49 states, or any local agency within the sState of California, may be purchased by the City provided that long-term obligations are rated "A" or higher, or the equivalent, by at least one NRSRO. There are no limits on the dollar amount or percentage that the city may invest in municipal securities; however, investments in these securities are limited to a maximum of 5 percent with any single issuer.

The maximum maturity of these securities is ten years. The City Council authorized investments in Municipal Securities beyond five years on September 6, 2022.

13.Supranationals provided that issues are US dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter-American Development Bank. The securities must be rated in a rating category of “AA” or its equivalent by a NRSRO. No more than 30% of the portfolio may be invested in these securities, and no more than 10% of the portfolio may be invested in any single issuer. The maximum maturity does not exceed five (5) years.

X. AUTHORIZED INVESTMENTS FOR BOND PROCEEDS
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10 Bond proceeds shall be invested in securities permitted by the applicable bond documents. If the bond documents are silent as to the permitted investments, bond proceeds will be invested in securities permitted by this Policy. Notwithstanding the provisions of the Policy, the percentage or dollar portfolio limitations listed in elsewhere in this Policy do not apply to bond proceeds. In addition to the securities listed in Section IX above, bond proceeds may be invested in structured investment products if approved by the Treasurer.

XI. PROHIBITED INVESTMENT PRACTICES AND INSTRUMENTS
The City shall not make investments for the purpose of trading or speculation as the dominate criterion such as anticipation of appreciation of capital value through changes in market rates. Securities are purchased with the intent to hold to maturity.

Any investment in a security not specifically listed as an Authorized and Suitable Investment above, but otherwise permitted by the Government Code, is prohibited without the prior approval of the City Council. Section 53601.6 of the Government Code specifically disallows investments in invoice floaters, range notes, or interestonly strips that are derived from a pool of mortgages. Under a provision of the California Government Code sunsetting on January 1, 2026, securities backed by the United States Government that could result in a zero or negative interest accrual if held to maturity are permitted.

XII. REVIEW OF INVESTMENT PORTFOLIO
The City Treasurer shall periodically, but no less than quarterly, review the portfolio to identify investments that do not comply with this investment policy and establish protocols for reporting major and critical incidences of noncompliance to the City Council.

XIII. TERM OF INVESTMENTS
Funds of the City will be invested in accordance with sound treasury management principles. It is the objective of this Policy to provide a system which will accurately monitor and forecast revenues and expenditures so that the City can invest funds to the fullest extent possible.
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11 The maximum maturity of individual investments shall not exceed the limits set forth in under Authorized and Suitable Investments. No investment shall exceed a maturity of five years from the date of purchase unless the City Council has granted express authority to make that investment either specifically or as a part of an investment program approved by the City Council no less than three months prior to the investment.

XIV. INVESTMENT RISK
a. MARKET RISK
Market risk is the risk that the portfolio will decline in value (or will not optimize its value) due to changes in the general level of interest rates. The City recognizes that, over time, longer-term portfolios achieve higher returns. On the other hand, longer-term portfolios have higher volatility of return. The City shall mitigate market risk by providing adequate liquidity for short-term cash needs, and by making some longer-term investments only with funds that are not needed for current cash flow purposes.

The City also prohibits investments in any fossil fuel companies, tobacco or tobacco-related companies, and companies in support of the production of firearms. The City further recognizes that certain types of securities, including variable rate securities, securities with principal pay-downs prior to maturity, and securities with embedded options, will affect the market risk profile of the portfolio differently in different interest rate environments. The City, therefore, adopts the following strategies to control and mitigate its exposure to market risk:
i. The maximum stated final maturity of individual securities in the portfolio shall be five years, unless otherwise stated in this policy; ii. The City shall maintain a minimum of three months of budgeted operating expenditures in cash, cash equivalents and short-term investments; and
iii. The duration of the portfolio will typically be approximately equal to the duration of a market index, selected by the City as its performance benchmark, which meets the City's needs for cash flow and level of risk tolerance plus or minus 20%.
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12 b. CREDIT RISK
In general, the City's portfolio will be diversified to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions, such as credit risk. Credit risk is the risk that a security or a portfolio will lose some or all of its value due to a real or perceived change in the ability of the issuer to repay its debt. The City shall mitigate credit risk by adopting the following strategies:
i. The diversification requirements included in Section IX are designed to mitigate credit risk in the portfolio;
ii. No more than 5% of the total portfolio may be deposited with or invested in securities issued by any single issuer unless otherwise specified in this policy.
iii. The City may elect to sell a security prior to its maturity and record a capital gain or loss in order to improve the quality, liquidity or return of the portfolio in response to market conditions or the City's risk preferences; and
iv. If a security owned by the City is downgraded to a level below the requirements of this policy, making the security ineligible for additional purchases, the following steps will be taken:

1. Any actions taken related to the downgrade by the investment manager will be communicated to the City in a timely manner.

2. If a decision is made to retain the security, the credit situation will be monitored and reported back to the City.

XV. SAFEKEEPING AND CUSTODY
Investment securities are to be purchased when possible in book-entry form in the City's name. All security transactions entered into by the City shall be conducted on a delivery-versus-payment (DVP) basis. All cash and securities in the City's portfolio shall be held in safekeeping in the City's name by a third-party bank trust department, acting as agent for the City under the terms of a custody agreement executed by the bank and the City. All investment transactions will require a safekeeping receipt or acknowledgment generated from the trade. A monthly report will be received by the City from the safekeeping institution listing all securities held in safekeeping with current market data and other information. The only exception to the foregoing shall be depository accounts and securities purchases made with: (i) local government investment pools; (ii) time certificates of deposit, and, (iii) money mutual funds, since 1038
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13 the purchased securities are not deliverable. Term and non-negotiable instruments, such as certificates of deposit, can be held by the Treasurer, or in safekeeping as the Treasurer deems appropriate.

XVI. PERFORMANCE BENCHMARK
The investment portfolio shall be designed to attain a market-average rate of return throughout budgetary and economic cycles, taking into account the City's risk constraints, the cash flow characteristics of the portfolio, and state and local laws, ordinances or resolutions that restrict investments. The Treasurer shall monitor and evaluate the portfolio's performance relative to the market benchmark, which will be included in the Treasurer's quarterly report. The Treasurer shall select an appropriate, readily available index to use as a benchmark.

XVII. REPORT INFORMATION
The Treasurer shall prepare a report to the City Council not less than semi-annually which is available each year within 60 days following December 31st and June 30th.

The semi-annual report shall be presented at a subsequent regularly scheduled City Council Meeting. The report shall be inclusive of a monthly listing of investment transactions. At a minimum the report shall include the following (Revised 9-18-2012):
a. Type of Investment
b. Issuer
c. Date of Maturity
d. Par and dollar amount invested
e. Current Market Value as of the date of the report
f. Source of the market value information
g. A list of investment transactions.
h. A statement of compliance with the investment policy i. A statement as to the ability of the City to meet its expenditure requirements for the next six months
In addition, the City Treasurer will submit a monthly transaction report to the City Council.

XVIII. REVIEW OF INVESTMENT POLICY
This policy shall be subject to review by the City Council on an annual basis, by the second Council meeting in September. Any recommended modifications or amendments shall be presented by Staff to the City Council for their consideration and adoption. 1039
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14 GLOSSARY OF TERMS
ACCRUED INTEREST: Interest earned but not yet received.

AGENCIES: Federal agency securities and/or Government-sponsored enterprises.

Examples of well-known agencies that issue bonds are Federal Home Loan Mortgage Corporation (FHLMC or "Freddie Mac"), Federal National Mortgage Association (FNMA or "Fannie Mae"), and the Federal Home Loan Bank.

AMORTIZATION: An accounting practice of gradually decreasing (increasing) an asset's book value by spreading its depreciation (accretion) over a period of time.

ASKED: The price at which securities are offered.

ASSET BACKED SECURITIES: Securities supported by pools of installment loans or leases or by pools of revolving lines of credit.

BANKERS' ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill, as well as the issuer.

BASIS POINT: One basis point is one hundredth of one percent (.0 I ).

BENCHMARK: A comparative base for measuring the performance or risk tolerance of the investment portfolio. A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio's investments.

BID PRICE: The price offered by a buyer of securities. (When you are selling securities, you ask for a bid.) See Offer.

BOND: A financial obligation for which the issuer promises to pay the bondholder a specified stream of future cash flows, including periodic interest payments and a principal repayment.

BOOK ENTRY: The system maintained by the Federal Reserve, by which most money market securities are delivered to an investor's custodial bank. The Federal Reserve maintains a computerized record of the ownership of these securities and records any changes in ownership corresponding to payments made over the Federal Reserve wire (delivery versus payment.)
BOOK VALUE: The value at which a debt security is shown on the holder's balance sheet. Book value is acquisition cost less amortization of premium or accretion of discount.

BROKER: A broker brings buyers and sellers together for a commission. 1040
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15 CALLABLE BOND: A bond issue in which all or part of its outstanding principal amount may be redeemed before maturity by the issuer under specified conditions.

CALL PRICE: The price at which an issuer may redeem a bond prior to maturity. The price is usually at a slight premium to the bond's original issue price to compensate the holder for loss of income and ownership.

CALL RISK: The risk to a bondholder that a bond may be redeemed prior to maturity.

CERTIFICATE OF DEPOSIT (CD): A deposit insured up to $100,000 by the FDIC at a set rate for a specified period of time.

COLLATERAL: Securities, evidence of deposit or other property which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies.

COLLATERALIZED MORTGAGE OBLIGATION (CMO): Classes of bonds that redistribute the cash flows of mortgage securities (and whole loans) to create securities that have different levels of prepayment risk, as compared to the underlying mortgage securities.

COMMERCIAL PAPER: An unsecured promissory note of industrial corporations, utilities and bank holding companies having assets in excess of $500 million and an "A" or higher rating for the issuer's debentures. Interest is discounted from par and calculated using the actual number of days on a 360-day year. The notes are in bearer form, mature from one to 270 days and generally start at $100,000. There is a secondary market for commercial paper and an investor may sell them prior to maturity. Unused lines of credit back commercial paper from major banks.

COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual financial report for the City. It includes combined statements and basic financial statements for each individual fund and account group prepared in conformity with Generally Accepted Accounting Principles (GAAP). Supplemental information is also included including a detailed multi-year comparative statistics.

COST YIELD: The annual income from an investment divided by the purchase cost.

Because it does not give effect to premiums and discounts which may have been included in the purchase cost, it is an incomplete measure of return.

COUPON: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on the bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment date.

CREDIT RISK: The risk that principal and/or interest on an investment will not be paid in a timely manner due to changes in the condition of the issuer. 1041
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16 CURRENT YIELD: The interest paid on an investment expressed as a percentage of the current price of the security.

CUSTODY: A banking service that provides safekeeping for the individual securities in a customer's investment portfolio under a written agreement which also calls for the bank to collect and pay out income, and to buy, sell, receive and deliver securities when ordered to do so by the account holder.

DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account.

DEBENTURE: A bond secured only by the general credit of the issuer.

DELIVERY VERSUS PAYMENT (DVP): Delivery versus payment is delivery of securities with an exchange of money for the securities.

DERIVATIVES: (1) Financial instruments whose return profile is linked to, or derived from, the movement of one or more underlying index or security, and may include a leveraging factor, or (2) financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates, foreign exchange rates, equities or commodities).

DISCOUNT: The difference between the cost price of a security and its value at maturity when quoted at lower than face value.

DISCOUNT SECURITIES: Non-interest-bearing money market instruments that are issued a discount and redeemed at maturity for full face value, e.g., U.S. Treasury Bills.

DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns.

DURATION: A measure of the timing of the cash flows, such as the interest payments and the principal repayment, to be received from a given fixed-income security. This calculation is based on three variables: term to maturity, coupon rate, and yield to maturity.

The duration of a security is a useful indicator of its price volatility for given changes in interest rates.

FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g., S&L's, small business firms, students, farmers, farm cooperatives, and exporters.

FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank deposits, currently up to $100,000 per deposit. 1042
Attachment 3
17 FEDERAL FUNDS RATE: The rate of interest at which Fed funds are traded. This rate is currently pegged by the Federal Reserve through open-market operations.

FEDERAL HOME LOAN BANKS (FHLB): Government sponsored wholesale banks (currently 12 regional banks) which lend funds and provide correspondent banking services to member commercial banks, thrift institutions, credit unions and insurance companies.

FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA or Fannie Mae): FNMA, like GNMA was chartered under the Federal National Mortgage Association Act in 1938.

FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development (HUD). The corporation is called, is a private stockholder-owned corporation. The corporation's purchases include a variety of adjustable mortgages and second loans, in addition to fixed-rate mortgages.

FEDERAL OPEN MARKET COMMITTEE (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open market as a means of influencing the volume of bank credit and money.

FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and consisting of a seven-member Board of Governors in Washington, D.C., 12 regional banks and about 5,700 commercial banks that are members of the system.

FED WIRE: A wire transmission service established by the Federal Reserve Bank to facilitate the transfer of funds through debits and credits of funds between participants within the Fed system.

FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC or Freddie Mac): A United States government sponsored corporation.

GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae):

Securities influencing the volume of bank credit guaranteed by GNMA and issued by mortgage bankers, commercial banks, savings and loan associations, and other institutions. Security holder is protected by full faith and credit of the U.S. Government.

Ginnie Mae securities are backed by the FHA, VA or FmHA mortgages. The term "passthroughs" is often used to describe Ginnie Maes.

HAIRCUT: The margin or difference between the actual market value of a security and the value assessed by the lending side of a transaction (i.e. a repo).

INTEREST RATE: The annual yield earned on an investment, expressed as a percentage.
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Attachment 3
18 LEVERAGE: Borrowing funds in order to invest in securities that have the potential to pay earnings at a rate higher than the cost of borrowing.

LIQUIDITY: Refers to the ability to easily and rapidly convert a security into cash.

LOCAL AGENCY INVESTMENT FUND (LAIF): The local Agency Investment Fund (LAIF) is a special fund in the California State Treasury created and governed pursuant to Government Code Sections 16429.1 et seq. There are limits on the maximum dollars deposited by a city as well as the number of transactions allowed each month.

LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in custody of the State Treasurer for investment and reinvestment.

MAKE WHOLE CALL: A type of call provision on a bond that allows the issuer to pay off the remaining debt early. Unlike a call option, with a make whole call provision, the issuer makes a lump sum payment that equals the net present value (NPV) of future coupon payments that will not be paid because of the call. With this type of call, an investor is compensated, or "made whole."
MARGIN: The difference between the market value of a security and the loan a broker makes using that security as collateral.

MARKET RISK: The risk that the value of securities will fluctuate with changes in overall market conditions or interest rates.

MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold on a specific date.

MARKING TO MARKET: The process of posting current market values for securities in a portfolio.

MATURITY: The date upon which the principal or stated value of an investment becomes due and payable.

MEDIUM TERM NOTES (MTNs): Unsecured, investment-grade senior debt securities of major corporations which are sold in relatively small amounts on either a continuous or an intermittent basis. MTNs are highly flexible debt instruments that can be structured to respond to market opportunities or to investor preferences.

MODIFIED DURATION: The percent change in price for a 100 basis point change in yields. Modified duration is the best single measure of a portfolio's or security's exposure to market risk.
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Attachment 3
19 MONEY MARKET: The market in which short-term debt instruments (T-bills, discount notes, commercial paper, and banker's acceptances) are issued and traded.

MONEY MARKET MUTUAL FUND: Mutual funds that invest solely in money market instruments (short- term debt instruments, such as Treasury bills, commercial paper, bankers' acceptances, and federal funds).

MORTGAGE PASS THROUGH SECURITIES: A securitized participation in the interest and principal cash flows from a specified pool of mortgages. Principal and interest payments made on the mortgages are passed through to the holder of the security.

MUNICIPAL SECURITIES: Securities issued by state and local agencies to finance capital and operating expenses.

MUTUAL FUND: An entity which pools the funds of investors and invests those funds in a set of securities which is specifically defined in the fund's prospectus. Mutual funds can be invested in various types of domestic and/or international stocks, bonds, and money market instruments, as set forth in the individual fund's prospectus. For most large, institutional investors, the costs associated with investing in mutual funds are higher than the investor can obtain through an individually managed portfolio.

NATIONAL ASSOCIATION OF SECURITIES DEALERS (NASD): A self-regulatory organization (SRO) of brokers and dealers in the over-the-counter securities business. Its regulatory mandate includes authority over firms that distribute mutual fund shares as well as other securities.

NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATIONS (NSROs); Credit rating agencies whose ratings are permitted to be used for regulatory purposes such as those imposed by the Securities and Exchange Commission.

NEGOTIABLE CERTIFICATE OF DEPOSIT: A large denomination certificate of deposit which can be sold in the open market prior to maturity.

NEW ISSUE: Term used when a security is originally "brought" to market.

OFFER: The price asked by a seller of securities. (When you are buying securities, you ask for an offer.) See Asked and Bid.

OPEN MARKET OPERATIONS: Purchases and sales of government and certain other securities in the open market by the New York Federal Reserve Bank as directed by the FOMC in order to influence the volume of money and credit in the economy. Purchases inject reserves into the bank system and stimulate growth of money and credit; sales have the opposite effect. Open market operations are the Federal Reserve' s most important and most flexible monetary policy tool.
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Attachment 3
20 PORTFOLIO: Collection of securities held by an investor.

PREMIUM: The amount by which the price paid for a security exceeds the security's par value.

PREPAYMENT SPEED: A measure of how quickly principal is repaid to investors in mortgage securities.

PREPAYMENT WINDOW: The time period over which principal repayments will be received on mortgage securities at a specified prepayment speed.

PRIMARY DEALER: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC)-registered securities broker-dealers, banks, and a few unregulated firms.

PRINCIPAL: The face value or par value of a debt instrument, or the amount of capital invested in a given security.

PRUDENT PERSON (PRUDENT INVESTOR) RULE: A standard of responsibility which applies to fiduciaries. In California, the rule is stated as "Investments shall be managed with the care, skill, prudence and diligence, under the circumstances then prevailing, that a prudent person, acting in a like capacity and familiar with such matters, would use in the conduct of an enterprise of like character and with like aims to accomplish similar purposes."
PURCHASE DATE: The date in on which a security is purchased for settlement on that or a later date.

RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond or the current income return.

REALIZED YIELD: The change in value of the portfolio due to interest received and interest earned and realized gains and losses. It does not give effect to changes in market value on securities, which have not been sold from the portfolio.

REGIONAL DEALER: A financial intermediary that buys and sells securities for the benefit of its customers without maintaining substantial inventories of securities and that is not a primary dealer.

REPURCHASE AGREEMENT (RP OR REPO): A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed 1046
Attachment 3
21 date. The security "buyer" in effect lends the "seller" money for the period of the agreement, and the terms of the agreement are structured to compensate him for this.

RULE 2a-7 OF THE INVESTMENT COMPANY ACT: Applies to all money market mutual funds and mandates such funds to maintain certain standards, including a 13- month maturity limit and a 90-day average maturity on investments, to help maintain a constant net asset value of one dollar ($1.00).

SAFEKEEPING: See CUSTODY.

SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following the initial distribution.

SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors m securities transactions by administering securities legislation.

SETTLEMENT DATE: The date on which a trade is cleared by delivery of securities against funds.

STRUCTURED NOTE: A complex, fixed income instrument, which pays interest, based on a formula tied to other interest rates, commodities or indices. Examples include inverse floating rate notes which have coupons that increase when other interest rates are falling, and which fall when other interest rates are rising, and "dual index floaters," which pay interest based on the relationship between two other interest rates - for example, the yield on the ten-year Treasury note minus the Libor rate. Issuers of such notes lock in a reduced cost of borrowing by purchasing interest rate swap agreements.

TENNESSEE VALLEY AUTHORITY (TVA): The Tennessee Valley Authority provides flood control and power and promotes development in portions of the Tennessee, Ohio, and Mississippi River valleys. TVA currently issues discount notes and bonds.

TIME CERTIFICATE OF DEPOSIT: A non-negotiable certificate of deposit which cannot be sold prior to maturity.

TOTAL RATE OF RETURN: A measure of a portfolio's performance over time. It is the internal rate of return, which equates the beginning value of the portfolio with the ending value; it includes interest earnings, realized and unrealized gains, and losses in the portfolio.

TREASURY BILLS: A non-interest-bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year and are sold on a discount basis.
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Attachment 3
22 TREASURY BONDS: Long-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of more than 10 years.

TREASURY NOTES: Medium-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of I to 10 years.

U.S. GOVERNMENT AGENCIES: Instruments issued by various US Government Agencies most of which are secured only by the credit worthiness of the particular agency.

VOLATILITY: The rate at which security prices change with changes in general economic conditions or the general level of interest rates.

WEIGHTED AVERAGE MATURITY (WAM): The average maturity of all the securities that comprise a portfolio that is typically expressed in days or years.

YIELD: The rate of annual income return on an investment, expressed as a percentage.

It is obtained by dividing the current dollar income by the current market price of the security.

YIELD TO MATURITY: The rate of income return on an investment, minus any premium or plus any discount, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond, expressed as a percentage.

YIELD CURVE: The yield on bonds, notes or bills of the same type and credit risk at a specific date for maturities up to thirty years.

ZERO-COUPON SECURITY: Security that is issued at a discount and makes no periodic interest payments. The rate of return consists of a gradual accretion of the principal of the security and is payable at par upon maturity.
1048
Annual Review of City’s
Investment Policy
September 17, 2024
1049
Tonight
• Review of Investment Policy.
• Delegation of Authority to complete
investment transactions.
• Consider establishment of a Finance &
Investment Subcommittee.
1050
Review of Investment Policy
• Policy originally adopted in 2007.
• Reviewed annually
– 2nd meeting in September.
• Policy is derived from California Governmental
Code, Sections 53600 et seq.
• Policy can be more restrictive not less.
1051
Review of Investment Policy
Proposed Changes
• Section IV - Delegation of Authority
– Remove Assistant Finance Director as Deputy City
Treasurer.
• Section IX - Authorized and Suitable Investments
– Add Joint Powers Authority pools.
1052
Review of Investment Policy
Proposed Changes
• Section XI - Prohibited Investment Practices and
Instruments
– Remove language “intent to hold”. Provide more
flexibility.
• Other
– Spelling and grammatical errors.
1053
Delegation of Authority
• Section IV – Delegation of Authority
– City Council delegates the authority to invest
funds for one year to the Treasurer (Finance
Director)/Deputy Treasurer (City Manager).
– Authority is renewed each year as part of the
annual review.
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Finance & Investment Subcommittee
• Consider establishment of a Finance and
Investment Subcommittee
– Two Councilmembers.
– Review City’s Investment Policy
• Socially Responsible Investing (SRI).
• Environmental, Social, Governance (ESG) standards.
1055
Finance & Investment Subcommittee
– Review City’s investment strategy, portfolio
composition and returns.
– Review of items related to existing and potential
debt issuance.
– Review of quarterly financial reports.
1056
Finance & Investment Subcommittee
Next Steps
• October – formal approval.
• December – appointments.
1057
Questions?
1058

STAFF REPORT

CITY COUNCIL