Title
Adopt a Resolution to Approve and Authorize the City Manager to Execute Amendment No. 2 to the Consulting Services Agreement with the Alex Greenwood Group for Economic Development Strategy Implementation and Other Economic Development Consulting for an amount not to exceed $200,000
Staffreport
COUNCIL PRIORITY
• Quality of Life
• Economic Development
SUMMARY
Amendment No. 2 to the Consulting Services Agreement with the Alex Greenwood Group will enable the implementation of the 2024 Economic Development Strategy and the City’s Economic Development Workplan during Fiscal Years 2026 and 2027.
RECOMMENDATION
Staff recommend that the City Council approve and authorize the City Manager to execute Amendment No. 2 to the professional services agreement with the Alex Greenwood Group for technical assistance and staff augmentation for the ongoing implementation of critical actions/strategies in the Economic Development Strategy for a not-to-exceed amount of $200,000.
BACKGROUND
Economic Development is a top City Council Priority. In 2024, the City Council adopted the San Leandro Economic Development Strategy (“Strategy”), which will guide economic development priorities and activities over the next ten years. The Strategy focuses on initiatives to grow San Leandro’s economy, expand the City’s regional image and identity, attract new investment and high-quality jobs, and improve the quality of life in San Leandro.
The City’s Economic Development Workplan outlines specific projects and programs during FYs 2026 and 2027 to implement the Economic Development Strategy. Consulting assistance is required to successfully implement the workplan in a high quality and timely manner.
The Strategy is currently in its implementation phase. Four key action steps will play a critical role in the early stages of implementation: the Innovation Action Plan, Retail Action Plan, City Brand Assessment and Marketing Strategy, and Workforce Partnership Strategy. The Innovation Action Plan, Retail Action Plan, and Workforce Partnership Strategy were completed and provide City staff with recommendations on how to attract desirable businesses in both emerging industries and retail sectors.
The next steps for implementation during FY 2027 include completion of the City Brand Assessment and Marketing Strategy, and implementing the recommendations of the Innovation Action Plan, Retail Action Plan, Workforce Partnership Strategy, and Small Business Outreach Strategy.
This extensive work exceeds the capacity of the City’s Economic Development Division team. Staff augmentation is recommended to ensure that deliverables are met and the goals are implemented as specified in the work plan. The Alex Greenwood Group (“Consultant”) was pivotal in the development of the Strategy, as well as having authored the Innovation Action Plan, Workforce Partnership Strategy, and Small Business Outreach Strategy. Therefore, staff recommend continuing to engage the services of Consultant for effective and timely implementation of the Strategy. The Alex Greenwood Group provides specialized and cost-effective support for implementation of the Economic Development Workplan.
The original contract was for $67,000, with Amendment No. 1 adding $90,000, and Amendment No. 2 will add $43,000, for a total contract amount not to exceed $200,000 The proposed amendment will fund the Alex Greenwood Group’s ongoing services through June 30, 2027 (FY 2027).
Analysis
The successful implementation of the Strategy is contingent upon the timely implementation of its goals. The Consultant’s scope of work includes the following:
• Task 1: Implementation of Innovation Action Strategy - Outreach and recruitment of specific businesses based on analysis of target industries; Negotiations with PG&E, Bay Area Air Quality Management District and other regional organizations with an impact on San Leandro’s industrial sector; Support local business retention and attract support, including business visits and support/analysis to resolve retention challenges; Industrial and market analysis, as needed.
• Task 2: Branding and Marketing Activities - Develop an integrated Economic Development Marketing Plan; Support City planning efforts for a City Brand Assessment.
• Task 3: Implementation of the Retail Action Plan - Analysis, advice, and staff support for recruitment of specific retail tenants, analysis of auto retail opportunities, continued work with shopping centers, advice on Downtown improvements, and other related initiatives.
• Task 4: Review of Updates to the City’s Zoning Code, Permit Process and other land use and administrative procedures that impact business attraction.
• Task 5: Development and implementation of the Workforce Partnership Strategy.
• Task 6: Implementation-related real estate advice, development planning, analysis, technical support, grant applications and/or other support, as requested.
The Consultant will also provide ongoing support for one-on-one assistance for businesses to help on business needs; promote small businesses and encourage residents to shop locally via social media, promotional campaigns, loyalty programs, and events; develop grant opportunities for businesses; propose City service delivery improvements; offer performance metrics technical support and analysis.
Applicable General Plan Policies
• Economic Development Policy ED-1.1: Leveraging San Leandro’s Assets. Build on San Leandro’s strengths, including its central location, transportation infrastructure, affordability, industrial land supply, and business-friendly reputation to leverage economic growth and private investment in the city.
• Economic Development Policy ED-1.4: Emerging Industries. Promote and support the growth of new and emerging industries, especially industries requiring work space that is consistent with San Leandro’s building stock and industries with the potential to provide quality jobs at all skill levels and wage levels for San Leandro residents.
• Economic Development Policy ED-1.9: Marketing and Branding. Promote positive media coverage, branding, and marketing campaigns that build civic pride and create a favorable image of San Leandro on a regional, national, and global scale.
• Economic Development Policy ED-2.1: Business-Friendly City. Maintain a collaborative and supportive relationship between the City and the private sector that emphasizes the ease of doing business in San Leandro.
• Economic Development Policy ED-2.3: Development Review and Permitting. Maintain clear and predictable development review and zoning regulations.
• Economic Development Policy ED-2.4: Business Assistance. Maintain programs that provide a supportive environment for local businesses, including expedited permitting, incentives for renovating and improving buildings, site location assistance, land assembly, loans, and other business development incentives.
• Economic Development Policy ED-2.7: Small Businesses. Create a supportive environment for small businesses, particularly locally-owned retail and service businesses Downtown and in the city’s neighborhood centers.
• Economic Development Policy ED-3.5: Sustainable Manufacturing. Promote environmentally sustainable manufacturing practices by San Leandro businesses. Focus business attraction efforts on green, environmentally-friendly businesses.
• Economic Development Policy ED-4.1: Retail Diversity. Encourage a diverse range of commercial uses, offering goods and services that fully meet the needs of San Leandro residents and businesses.
• Economic Development Policy ED-4.5: Downtown San Leandro. Continue efforts to transform Downtown into a successful, pedestrian-oriented mixed-use district with services and amenities for workers, residents, and visitors.
• Economic Development Policy ED-4.6: Shopping Centers and Neighborhood Business Districts. Support and encourage the repositioning of San Leandro’s shopping centers and neighborhood business districts to remain competitive and meet the changing needs of the community, including the provision of merchandise and services for an increasingly diverse population.
• Economic Development Policy ED-6.11: Career Ladders. Encourage career advancement programs to provide opportunities for upward mobility among the city’s workforce.
Legal Analysis
The Consultant agreed to the terms of the second amendment to the contract, which was reviewed and approved as to form by the City Attorney. .
Financial Impacts
The original contract with Alex Greenwood Group LLC was for $67,000. Amendment No. 1 added $90,000, and Amendment No. 2 will add $43,000, for a total contract amount not to exceed $200,000.
There are sufficient funds included in the FY 2026 General Fund adopted budget for Amendment No. 2 of the consulting services contract with Alex Greenwood Group LLC.
• Economic Development Consulting, Account 010-41-003-5120: $43,000
Amendment No. 2 of the consulting services contract will not impact fund balance because there are sufficient funds available in the FY 2026 adopted budget.
ATTACHMENTS
A: Resolution Authorizing the City Manager to Execute Amendment No. 2 to a Consulting Services Agreement with the Alex Greenwood Group for Economic Development Strategy Implementation and Other Economic Development Consulting for a new total not to exceed $200,000
B: CSA Scope of Work & Compensation Schedule
C: Amended CSA Scope of Work & Compensation Schedule
PREPARED BY: Katie Bowman, Economic Development Manager