City of Watsonville, California
Comprehensive Plan Economic Element
The Challenge
TIP Strategies, Inc. was engaged by the City of Watsonville as part of a team led by Fregonese Calthorpe Associates to update the economic element of the city’s General Plan. The purpose of the economic element was to provide the city with a framework for economic growth and the supporting information needed to implement the recommendations.
The city’s diminishing supply of vacant, developable land – less than 2 percent of the total land area fits this description – was identified as a serious constraint to business expansion in Watsonville. Concerns about the quality of the available workforce, ranging from educational attainment to English language competency, limited the expansion potential and hindered the ability to advance existing workers to higher levels of responsibility. The high cost of housing, particularly when balanced against local wage rates, coupled with the city’s poor fiscal health, intensified the community’s problems.
The Approach
To understand the opportunities available to Watsonville, the team conducted an economic assessment of the area. This assessment focused on attributes that define the community’s strengths and weaknesses in the context of the Pajaro Valley, as well as the larger regional economy. To complete this work, we assessed factors such as available skilled labor and community population, current industries and major employers, and land use. The quantitative analysis was supplemented by interviews with major employers, education officials, local retailers, and members of the development community.
Scenario modeling was used to help understand the impact of potential development trends in the city. This approach is especially instructive in Watsonville, where the relationship between employment, housing and land use are intertwined. Three employment scenarios were designed to represent alternatives futures for the community:
- A base case scenario in which the community retains its current strengths in agriculture and manufacturing.
- A scenario in which Watsonville’s growth mirrored that of a bedroom community.
- A third scenario in which employment gains in areas related to education, R&D, and technology reshape the city as a thriving employment center.
The results of the assessment and the scenario modeling formed the foundation for the economic element. Major recommendations included focusing on infill and redevelopment opportunities, particularly in the central business district and along Freedom Boulevard, conducting an internal and external marketing campaign, and developing the Manabe-Burgstrom industrial property as a mixed use, signature project.
The Outcome
The City of Watsonville accepted the recommendations of TIP in setting priorities for economic development. Work on the Manabe-Burgstrom annexation is progressing, and TIP assisted in this on-going effort. Interviews conducted with businesses became an important of the plan and have helped guide the community. In a larger context, the General Plan is soon to be adopted and will guide growth in Watsonville.
John Doughty Director Community Development Department City of Watsonville P.O. Box 50000 Watsonville, CA 95077-5000 831.768.3080 cdd@ci.watsonville.ca.us
