With projected city revenue at an all-time high and economic indicators showing strong growth ahead, Mayor Jennifer Hosterman had only good news to talk about in her “State of the City” annual report this week.
Even the full slate of multi-million-dollar major projects–from the Alviso Adobe Community Park off Foothill Road to the Firehouse Arts Center downtown and the renovation of the 74-year-old Veterans Memorial Building on Main Street–will be funded, she promised, with no tax increases or borrowing from other city services and projects.
“One of the wonderful things about being the mayor of Pleasanton is that I get to talk about how great Pleasanton is,” Hosterman told a sold-out luncheon crowd of 350 at a noon-day Pleasanton Chamber of Commerce luncheon. “And there’s certainly a lot to talk about.”
As a photo montage of Pleasanton scenes flashed on two screens behind her, Hosterman talked about the city’s significant achievements. Foremost was the opening last November of the $34.5-million Callippe Preserve golf course and three miles of hiking and equestrian trails.
“Each month, we’ve doubled our projections for rounds as golfers teed off, rain or shine,” she said. “While we know what a great amenity this is, others are finding out as well. GolfWeek magazine ranked Callippe Preserve as the sixth best public-access golf course in California, and among the top 100 in the U.S.”
That put Callippe ahead of renowned courses such as The Links at Spanish Bay in Pebble beach and Torry Pines in La Jolla. In addition, Callippe has made Golf Digest’s nomination list for the best new course, an honor that will be awarded next fall.
Besides Callippe, Hosterman cited the new BMX Park on Stanley Boulevard and the construction of Fire Station No. 4 on Bernal, near Valley Avenue, as projects that fulfilled a long-sought goal of the city’s Youth Master Plan Implementation Committee and the expansion of the Livermore-Pleasanton Fire Department. The new fire station, she added, used energy efficient materials and construction techniques, with 40 percent of the station’s power now being generated by solar panels.
Coming next
Ahead this year and next will be the completion of the 7-acre Alviso Adobe park, including new buildings and an interpretive center that will offer the public a chance to better understand the distinct periods the park represents, from the early American Indian sites to the Spanish ranchers and finally to the early California years when Meadowlark Dairy produced the first pasteurized milk for Californians.
Two other projects, restoring Kottinger Creek and its adjacent public park, and rebuilding the aging but still heavily-used Veterans Memorial building, will get under way shortly, Hosterman said. The City Council has approved both projects, including at least $1- to $2-million for the 14.5-acre linear park along Kottinger Drive, from Cabernet Court east to Bernal Avenue. Although still short of committed funds for the Veterans Building, Hosterman said that building repair and restoration should start next year.
The City Council has also authorized spending $8.8-million toward the Firehouse Arts Center project, which could cost another $4-million to complete. The Pleasanton Cultural Arts Foundation is seeking funds to cover the shortfall.
In terms of finances and business growth, the city is “energized” more than ever, Hosterman said. Its current operating budge revenue is projected to increase by more than $15-million in the fiscal year 2006-07 that starts July 1, from $170.3-million this fiscal year to $185.5-million next year. Leading the revenue growth are property taxes, which are expected to climb from $39-million in the current year to more than $43-million in 2006-07. Sales tax revenue increases by 4.7 percent at the end of 2005 and should add another $1-million in additional revenue during the next fiscal year. With hotel occupancy up 67 percent at the end of 2005 and expected to continue growing as more travelers come here, the city has benefited by a $2.8-million increase in tax revenue already.
Office vacancies down
Hosterman said the office vacancy rate is down, from 19.2 percent in 2002 to a current rate of 11.8 percent.
“Were you aware that in Pleasanton we have 12.03 million square feet of office and industrial space?” Hosterman asked. “That’s 47 percent of the total inventory in the Tri-Valley.
“Downtown remains a desirable place to locate a business,” she added. “Historically, the vacancy rate in downtown has been less than 5 percent, and that’s still the case. Today, we have over 500 businesses in the downtown, with new companies waiting for space to open up.”
Hosterman said 3,300 new Pleasanton jobs have been created since 2002, mostly in professional, scientific, technical, administrative and information-related sectors. New business openings are outpacing the closures of others, as more than 2,000 new businesses have been formed in the past two fiscal years.
“Here in Pleasanton, we have more than 6,100 active business licenses, more than a third of those belonging to home-based businesses,” she said. “This reflects the changing nature of our economy … as a most important source of job growth, accounting for the largest source of regional economic revenue.”
“Pleasanton’s business community is strong and continues to grow,” Hosterman said. “Our businesses are well supported by the city and by organizations such as the Pleasanton Downtown Association, the Tri-Valley Business Council, the Hacienda Owners Association, the Tri-Valley Convention & Visitors’ Bureau and the Pleasanton Chamber of Commerce.”
“Directly, the revenue (businesses) provide to the city’s General Fund help pay for primary city functions, such as fire and police personnel, the public library and parks and recreation facilities,” she added.” Our businesses provide more than 56,000 jobs here in Pleasanton; that’s pretty impressive for a community of 68,000 residents.”
