Note: This is the second part of a two-part report on last Tuesday’s City Council meeting.
At its regular meeting Tuesday, the City Council considered an industrial park marketing contract with Chabin Concepts, heard a presentation on the state of child welfare in Benicia and Solano County with regard to a quarter -cent sales tax initiative slated to appear on the November ballot, and considered a proposal to amend the city’s lease agreement with an existing arsenal neighborhood business.

Chabin Concepts contract
The council heard from Economic Development Manager Mario Giuliani regarding a proposed contract with Chabin Concepts, its aim to “implement the Benicia Industrial Park Vision 2020 Strategic Plan, and aid in the City’s ongoing economic development business retention program.”
Giuliani explained that Chabin Concepts has been working with the city since 2011, starting with its economic development strategy. Born from that in turn was the city’s current business development action plan.
Mayor Elizabeth Patterson requested information on the company’s successes to date. Giuliani offered that the company has increased the availability of funds for economic development from $20,000 in discretionary spending four years ago to $100,000 for the current budget year, in conjunction with the creation and implementation of the city’s “Vision 2020 Strategic Plan.”
Giuliani stated that Chabin has helped 40 businesses, saving them a combined half million dollars. The company also aided the city in negotiations with Seeno Construction and is currently assisting the city in efforts to create an infrastructure financing district. The company is also actively recruiting businesses to Benicia.
Mayor Patterson suggested some performance measures, such as how many miles of roads are up to an acceptable level; what drainage infrastructure has been approved. She also indicated a desire to see more data incorporated into Chabin’s reports, including the impact of a clean tech expo, for example, some demographic data regarding the lucrative millennials sector, and new business opportunities that have been discovered recently in the city. Mayor Elizabeth Patterson offered that millennials look for culture, transportation options, low-maintenance properties and quality schools, for example. Councilmember Christina Strawbridge commented that Chabin has done an impressive job and that she felt it was wise for the city to “rely on professionals” in any effort to market Benicia business opportunities.

‘Funding the Next Generation’ sales tax campaign
Kim Thomas, retired director of The Children’s Network and current director of the Funding the Next Generation sales tax campaign, presented a report to the council on the status of children’s welfare in Benicia and Solano County and the urgent need for additional funding in order to come closer to meeting the fundamental needs of children in the area, and how a quarter-cent countywide sales tax could achieve some much-needed results.
In his introduction, Benicia Police Chief Erik Upson noted that in their line of work, Benicia police see how important these projects are in preventing youth from becoming customers of the police department. “I see the benefit of after-school programs that keep children occupied doing productive and useful things, and early intervention in health care and mental health care, which can also lead to negative consequences. As chief, I really support what they’re trying to do.”
“Funding the Next Generation” is the slogan for the quarter-cent sales tax campaign that is slated to appear on the November ballot. Thomas summarized that while it is essential to continue working to get Solano County’s fair share of existing state and federal funding in the long term, it is equally important to procure funds that can become available within the coming one to two years, in the meantime.
In addition to its disproportionate share of government funding, Solano County is also under-served by private foundations, Thomas explained. For example, Solano County receives three dollars per person per year from private children’s charity foundations compared with San Francisco County which receives $1,200 and Marin County which receives $200.
The executive summary of the proposed countywide tax initiative indicates that it would raise an estimated $15 million per year for ten years, at an average cost to individual residents of an estimated $29 per year. As a point of reference, Thomas pointed out that $29 is less than she pays to renew her dog license.
The revenue generated from the tax would go to five Solano County programs that provide funding for homeless children, prevention of child abuse, quality preschool and after-school programs, preventative child health care, and jobs for youth. Each program would be guaranteed a minimum of ten percent of total funds raised, which allows flexibility for distribution of funds to the areas of greatest need.
Thomas presented some facts to help clarify the state of need in the city and Solano County at large:
*Solano County has 20 percent of children living in poverty and of those, 25 percent are children between the ages of 0 and 5. The current funding that is received is put into “back – end” services like juvenile hall and foster care. This fund would help put funding into prevention services.
*Nearly 2,100 Solano school–aged children are homeless. Over 4,200 reports of child abuse are reported in Solano County each year. The total number of eligible children on the waiting list for quality child care in Solano County exceeds the number of available slots.
*Forty-two percent of children and youth over age 12 in Solano County are overweight or obese. In Solano County, the youth unemployment rate is 50 percent higher than the statewide average and more than double the average rate of other Bay Area counties.
*In Benicia, Thomas added, the Benicia Unified School District reported 60 homeless students last year and 20 percent of school age children receiving free or reduced price lunches.
The proposal to place the initiative on the November ballot goes before the Solano County Board of Supervisors on July 26.
Vice Mayor Mark Hughes asked Thomas how Benicia could go about obtaining an equitable share of state and federal funding for children’s programs. Thomas explained that counties that are receiving a large share of the funds have no incentive to re-distribute them. Solano County legislators continue to argue for a fair share but have not yet been successful.
Councilmember Christina Strawbridge asked how the information about available assistance would be communicated to those who might be in need. Thomas answered that the school district and the police department’s family resource center would provide that information.
The council voted unanimously to endorse the campaign.

Carter’s Biz lease amendment
The final business item on the council’s agenda was the request by Carter’s Biz Cafes, located in the Commanding Officer’s Quarters on Commandant’s Lane, to amend its lease contract.
Rankin experienced delays moving into the space and has not yet accomplished his anticipated level of client membership in time for the first scheduled rent increase, which kicked in on July 1 of this year. According to the city’s staff report on the issue, while Carter’s Biz Cafés has seen increased traffic and membership, it has not yet reached a level that would allow the company to adhere to the current lease terms.
In its written report on the issue, city staff indicates that it considered Rankin’s circumstances but also evaluated the likelihood of other potential tenants coming in to occupy the space in the event of a vacancy. Based on their discovery that there has been no interest at all besides Mr Rankin’s in leasing the space over the last six years, they are not confident that a new tenant could be found in the near future.
Based on these considerations, staff recommends the council approve the revised agreement. In addition, staff proposes two further changes. In order to offset the loss in rent revenue to the city, the term of the lease is to be reduced by one year. This allows the option to re-negotiate at an earlier date. In conjunction with that change, the option to extend the lease for an additional five years is also to be removed.
Councilmembers expressed concern that the city be able to review the cafe’s business records at their discretion, in order to gain some assurance that it was making progress toward meeting even the newly-revised lease agreement. Giuliani indicated that while the business is currently required to provide that information annually, thus far they have provided the information every time it has been requested.
Founding member William Wesley addressed the council in order to provide a clearer picture of the company’s current status and its growth outlook. He described Carter’s Biz as a “lean startup.” The first year, he explained, was essentially the development and refinement of the idea, or the business model.
“One point O is now finished,” he said.
The business cafe model provides an alternative for businesses and entrepreneurs to the expense of occupying a complete office structure. Wesley noted that Carter’s customers consist of groups and individuals based throughout the area, for example from Walnut Creek and San Francisco.
“By Year Two, we will be proven,” he predicts, anticipating a potential market of 5,000 “key prospects,” based on a statistical marketing model. He indicated that building assets to apply to marketing and outreach is a current goal.
“Getting the word out will be 2.0.”
Vice Mayor Hughes asked if limiting the lease commitment to one year would present a hardship. Wesley answered that it would, calling one year “too short a runway.” A three-year agreement, he said, “is on the side of success.”
The revised lease agreement was approved on a 3-2 vote, Hughes and Councilmember Tom Campbell voting against.

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