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Local Government Leaders Discuss Economic Development
Your Chamber’s Annual Leadership Luncheon (now ongoing for 23 years) provides an opportunity for government officials and community leaders to “create possibilities, shift perspectives, and find solutions.”
Attendees of last year’s Leadership Luncheon appreciated hearing local government officials provide views and plans about housing affordability for the local workforce. At last week’s Leadership Luncheon (held on September 12, 2025) panelists were again asked to focus on a specific topic: economic development. Below are the explanation of the questions, the questions, and the answers from the panelists.
Background on Economic Development Questions for Leadership Luncheon Panelists
Local governments in Monterey County are aware of the possibility of an economic slowdown in the coming year. They are also evaluating the impact of federal and state spending cuts. They realize there may be less revenue for government services that their residents expect and demand. At the same time, local governments are seeing their costs continue to rise, particularly for employee benefits, infrastructure, and insurance.
How can local governments plan for collecting less revenue while spending more on personnel, projects, and programs? An obvious answer is tax increases.
Your Monterey Peninsula Chamber of Commerce asserts that some of the projected budget shortfalls for local governments can be whittled down through additional tax revenue generated by economic development. But this proposal may be as unpopular with the voters as tax increases.
At times, suggestion of economic development meets with strong resistance from some residents, who say we have more than enough economic activity going on around here right now.
The Two Economic Development Questions
With this background in mind, the Chamber asks you these two questions:
(1) What kind of economic development do you want to promote for your jurisdiction and the region in the next few years?
(2) If you want to promote economic development, how will you address resident concerns that more commercial activity will compromise quality of life and community character?
The Economic Development Answers
Monterey County Supervisor Kate Daniels declared that “we’re at a crossroads, we need to make our place more livable.” She emphasized the need for better jobs and higher paying jobs in the region—something that can be achieved if we “bring people to the table” for “a big conversation.” To fill those better jobs, local residents should have the opportunity for training and education at our local colleges: Cal State Monterey Bay, Hartnell College, and Monterey Peninsula College. In response to people opposed to housing and economic development, we need to point out that long commute distances produce greenhouse gas emissions and cause climate change. All of our problems can be addressed by bringing people together who seek to be problem-solvers.
Monterey County Supervisor Chris Lopez said that the Salinas Valley wants to preserve its heritage as an agricultural economy. This means focusing on research, development, and implementation of agricultural technology (“ag tech”). Recently the Board of Supervisors authorized some county support for the Reservoir Farms research and development facility, which is operating a new on-farm robotics incubator in Salinas. It’s also important for the South Salinas Valley cities to attract more retail businesses so that residents don’t need to drive to Salinas for routine goods and services. He urged people to interact directly with their local officials rather than complaining on social media.
Monterey County Supervisor Glenn Church observed that society has evolved from the Industrial Age to the Information Age. County support for Reservoir Farms is an example of how the county is helping communities respond to this ongoing change. He also noted that the county is supporting Monterey Bay Fisheries to try to restore the declining commercial fishing industry in Monterey Bay. Fishing is part of the “Blue Economy” and part of a balanced approach to the ocean as a resource for economic development. There may be opportunities to promote the community character of unincorporated Castroville for tourism. Finally, the sales tax increase authorized by voters as Measure AA will help fund needed improvements to county infrastructure.
Monterey County Supervisor Wendy Root Askew thanked Chamber attendees for engaging as partners in regional affairs. She works to make sure that the County of Monterey aligns county resources with the economic development goals of the five cities in her district (Seaside, Sand City, Del Rey Oaks, Marina, and Salinas). Economic development generates the revenue needed to maintain high-quality services at the county hospital (Natividad) and other county agencies. Advanced air mobility and drone technology research and development at Marina Municipal Airport (such as Joby Aviation and the California Advanced Air Mobility Corridors Initiative) are examples of “appropriate” economic development: generation of tax revenue and creation of better, higher paying jobs without degrading local natural resources and quality of life. She cited the projects of the Transportation Agency for Monterey County (TAMC) regional agency and the projects of the non-profit Veterans Transition Center as two successes. Finally, she urged attendees to think “generationally” about economic development.
Monterey County Sheriff Tina Nieto adopted a public safety perspective in response to current events and asked attendees to be community leaders in maintaining the safety and security of public spaces. This is essential for us to practice freedom of speech—a cornerstone of our democracy. We can hold strong convictions but must reject intimidation, dehumanization, and violence as expressions of our views. She also noted that the county needed to reduce costly payments to lawyers and monitors that are related to the settlement of Hernandez v. County of Monterey, a court case from the mid-2010s that established physical and mental health care standards at the jail and expanded accessibility for county jail prisoners with disabilities. Meanwhile, the jail has become the county’s de facto mental health facility.
Monterey Mayor Tyller Williamson also responded to current events and asked attendees to promote common ground and discourage violence as a solution to differences. He noted that the City of Monterey held a study session earlier in 2025 about economic development and reviewed a draft economic development plan. The city is hiring a new Economic Development Manager to maintain the city’s dominant hospitality sector while attracting diverse, sustainable new businesses and encouraging housing that’s affordable. There is pushback from residents to economic development, but his strategy is to engage with opposition (through town halls, surveys, neighborhood association meetings) and make sure they are heard and considered. The city will need to consider the future of the campus of the Middlebury Institute of International Studies (MIIS) at Monterey, which is closing. Finally, economic development is connected to increasing the supply of housing for local workers.
Sand City Mayor Mary Ann Carbone noted that the Sand City Vibrancy Plan defines the city’s vision for the South of Tioga and West End areas. Sand City has always been visionary in its economic development, with its small desalination plant, its shopping center, its community events, and its mixed-use neighborhoods anchored on small businesses. An upcoming priority for the city is the planned trail through Sand City that will be part of the Fort Ord Regional Trail and Greenway (FORTAG).
Del Rey Oaks Mayor Scott Donaldson reported that his city has moved on from the mid-2010s when it was near bankruptcy. It is now in its best fiscal position ever. Future economic development and new housing supply in the city is dependent on what can happen with the city’s former Fort Ord property. The State of California just approved the city’s Housing Element for 2023-2031 and there is an exclusive negotiating agreement with a developer for some of the Fort Ord land. The city is in design and environmental planning for changes to the intersection of South Boundary Road with General Jim Moore Boulevard.
Marina City Councilmember Liesbeth Visscher cited several examples of the substantial economic development now underway in the City of Marina, including continued work at Promenade at the Dunes, planning for the Marina Station development, Downtown revitalization, the Monterey-Salinas Transit (MST) SURF! Bus Rapid Transit project, the Kaiser purchase of a land parcel, and the city’s Recreation and Aquatics Center Project. Meanwhile, city leadership works to keep small businesses in the city. The City of Marina will be celebrating the 50th anniversary of its 1975 incorporation on Saturday, October 18, 2025.
Salinas Mayor Dennis Donohue described the fundamental challenge facing the City of Salinas: “we export vegetables and our kids.” He’s determined to promote economic development to encourage young people to stay where they grew up. This includes strategies such as maintaining leadership on ag-tech and attracting life sciences and medical entrepreneurs. The Salinas Regional Sports Complex can host youth tournaments and become a major generator of transient occupancy taxes (hotel taxes). The revitalized Downtown continues to shine as a destination for locals and visitors. The city’s Future Growth Area is moving forward with substantial new housing. The Amazon distribution facility in South Salinas will generate significant new tax revenue for the city after it is finished in the summer of 2026. And there may be potential for Salinas to become an international trade logistics center with Mexico. More and better public-private partnerships could help economic development; for example, through agreements between cities and WeatherTech Raceway Laguna Seca. But without construction of new, improved, and expanded infrastructure, the City of Salinas will struggle to take advantage of these economic development opportunities.
Pacific Grove Mayor Nick Smith says that he hears most often from residents about deteriorating streets, sidewalks, and infrastructure and about the high vacancy rate in Downtown. A new capital improvement program, renovations to
Chautauqua Hall, and incentives for small retail businesses (such as water discounts) may resolve these complaints. He celebrated the construction of the Kimpton Mirador hotel in Downtown Pacific Grove and its planned opening in December 2025. The hotel will also include a restaurant, the Caledonian, which will cater to local residents as well as hotel guests.
Carmel Mayor Dale Byrne reported that after years of political delays, the city is now moving forward with much-needed infrastructure improvements, including the police station, the library, and street and sidewalk improvements. The city now owns an ambulance to serve residents and visitors, ending the contracting out of emergency medical service. Carmel has also achieved a California Clean Communities designation for its efforts to reduce litter and dumping. Parking in the commercial district remains a major problem, and business leaders are discussing shuttles and remote parking lots as a solution.
Monterey Peninsula Airport District Board Member Carl Miller portrayed the importance of the airport with an axiom: “A mile of road will take you a mile, a mile of runway will take you anywhere.” He asked attendees to use the flights in and out of the airport, as airlines discontinue flights that aren’t profitable. He cited the MRY Metamorphosis—a $200 million five phase safety and improvement project at the airport (including a new terminal)—as an important project for regional economic development.
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