Bay Area Council Blog: Newsroom Archive

Screen Shot 2018-07-06 at 12.09.24 PM

ADVISORY: Bay Area Council Economic Institute to Unveil New Regional Economic Profile

SAN FRANCISCO, CA – This Tuesday the Bay Area Council Economic Institute will release its biannual comprehensive analysis of the regional economy with exclusive data and insights on different industry sectors, the overall regional economic performance and jobs, and more. The tenth in a series of Profile reports, this latest edition examines a new period of immense growth and innovation, benchmarking the Bay Area’s performance against other knowledge-based economies to assess the region’s national and global competitiveness. One of the key findings in the analysis is that the Bay Area has moved into the top 20 of the world’s largest economy with a GDP of $748 billion.

It also examines the economic and policy challenges that continue to confront the region and megaregion, even in a period of extraordinary growth, and looks to uncover the next wave of innovation and renewal. There is extensive focus on how the tech/innovation industry is continuing to shape and lead the regional economy.

The Economic Institute will host a forum on Tuesday, July 10 from 8:30 to 10:00 a.m. to unveil the profile and review the findings. Please contact Virginia Drake at vdrake@bayareacouncil.org or 415-946-8716 to RSVP.

WHAT: Bay Area Economic Profile Release

WHEN:

Tuesday, July 10, 2018
8:30am – Registration & Breakfast
9:0am – Program

AGENDA:
8:30am
Welcome Remarks
Jim Wunderman
President and CEO, Bay Area Council

8:40am
Regional Competitiveness in
A Global Context
Alexis Krivkovich
Managing Partner Silicon Valley
McKinsey & Company

Kunal Modi
Associate Partner
McKinsey & Company

9:05am
Bay Area Economic Profile:
Continuing Growth and Unparalleled Innovation
Dr. Micah Weinberg
President
Bay Area Council Economic Institute

10:00am  Q & A

WHERE:
Bay Area Council Headquarters
353 Sacramento Street, 10th Floor
San Francisco, CA 94111

?????

STATEMENT: COUNCIL IN SUPPORT OF GOVERNOR’S ESTABLISHMENT OF A WILDFIRE PREPAREDNESS AND RESPONSE CONFERENCE COMMITTEE

The Bay Area Council applauds Governor Jerry Brown and the Legislative Leadership’s decision to convene a conference committee dedicated to Wildfire Preparedness and Response. We are pleased that the Governor and Legislature are actively following up on the commitments made in January to ensure a solution focused approach to the critical climate change and weather disaster-related issues facing California. While this response is a major step for the state, we cannot understate the need to address the issue of 2017’s wildfire season liability.

While remaining solution oriented is critical, we need to ensure that those solutions are encompassing of the complex nature surrounding this issue. With the recent addition of Assemblymember Bill Quirk’s securitization bill, AB 33, we believe that the legislature is moving in the right direction to address the broader implications associated with wildfire-related climate risk.

The proposed legislation would enable the state to assist those directly impacted by wildfire through the issuance of low-cost, long-term utility-backed bonds to ensure compensation. The bill would modernize current legislation to address the financial demands resultant from the catastrophic wildfires. Most importantly, this approach would minimize costs on the customer while holding utilities accountable for any involvement in the fires.

traffic lights

2018 BACPoll: Can Transportation Tech Solve Bay Area Traffic?

Bay Area voters are embracing new automobile and transportation technologies, from ride-hailing apps to responsive traffic signals, drones and electric and self-driving cars, to combat the region’s awful traffic, according to the 2018 Bay Area Council Poll.

The poll found a significant 69 percent of voters want traffic signals upgraded with technology that makes them responsive to actual traffic conditions, even if that means diverting money from other transportation priorities. Such technology has been tested in recent years in several Bay Area cities, including San Jose, Palo Alto, Santa Rosa and Hayward, but hasn’t been put into widespread use.

traffic lights

Ride-hailing services like Uber and Lyft continue to be a popular choice for commuters. The Bay Area Council Poll found that from 2015 to 2018 those who have never used a ride-hailing application dropped from 68 percent to 39 percent, although there was little change from last year. Still, 74 percent said these services are an important part of the Bay Area’s transportation system and 56 percent say they have made it easier to get around.

“We need to put the pedal to the metal in developing and deploying new advanced transportation technologies that can improve our region’s mobility,” said Jim Wunderman, President and CEO of the Bay Area Council. “It may be a number of years before some of these new technologies are fully proven, but that should not delay us in continuing to invest, experiment and learn how they can help solve one of our most intractable problems. With companies like Tesla and Proterra, the Bay Area has quickly become a leading global center for innovation in the automobile and transportation industry. It’s extremely exciting to think about how these technologies will transform the ways in which we get around.”

See the results>>

Many Residents Not Ready for Self-Driving Cars

Self-driving cars is one of those early-stage technologies, and they continue to intrigue Bay Area voters. The poll found 46 percent of voters willing to relinquish control of the steering wheel, down from 52 percent in 2017, but consistent with the previous two years. Almost a quarter of voters said self-driving cars can solve the Bay Area’s traffic problem, but the poll found 65 percent of voters remain unconvinced about their traffic-busting ability.

selfdriving cars

That may have something to do with the fact that many voters in the survey still think it will be awhile longer before self-driving cars outnumber human drivers on the road. While 31 percent say self-driving cars will be the majority plying the roads within the next 10 years, 45 percent say self-driving cars won’t rule the roads for 11 to 50 years or more and 8 percent don’t see them ever taking over. The overall average time is 16.36 years.

Electric Vehicles Gain Traction

As California pushes to meet an aggressive goal set this year by Gov. Jerry Brown of putting 5 million zero emission vehicles on the streets by 2030, voters appear willing to spend a little bit more to help make that happen. The Bay Area Council Poll found that 55 percent would dig a little deeper to drive an all-electric vehicle. Still, voters harbor concerns about the range of electric vehicles, with 40 percent saying they wouldn’t use an all-electric car because they don’t go far enough on a single charge.

The support for all-electric vehicles is mirrored in voters’ attitudes about a proposal to ban all fossil-fuel powered cars in California by 2040. The poll found 52 percent of voters agree California should do away with gas-powered vehicles.

On several of the questions involving self-driving, ride-hailing and electric vehicle technologies, younger voters generally showed higher support.

Voters Embrace Ferries and Flying Drones

Ferries may not meet the strict definition of advanced technology transportation, but voters see them as a popular alternative to the region’s clogged roadways and other overburdened mass transit systems. The poll found that 66 percent of voters would take a ferry if it took them where they wanted to go. That should be strong encouragement for the Water Emergency Transportation Authority, which operates the regional SF Bay Ferry service, as it works on an ambitious plan to dramatically expand regional ferry service along traditional east-west routes and new routes connecting with Silicon Valley and Richmond.

Flying drones may not carry commuters (yet), but they offer the chance to remove cars and trucks from the roads. That’s appealing to voters in the Bay Area Council Poll, which found 54 percent support the use of drones if it means delivering packages faster, cheaper and with fewer carbon emissions.

drones

The 2018 Bay Area Council Poll, which was conducted online by Oakland-based public opinion research firm EMC Research from March 20 through April 3, surveyed 1,000 registered voters from around the nine-county Bay Area about a range of issues related to economic growth, housing and transportation, drought, education and workforce.

housing

BACPoll: Housing Frustration Spikes

Frustration over the Bay Area’s housing crisis intensified over the past year as the number of voters in the 2018 Bay Area Council Poll who say it’s gotten much harder to find a place to live spiked. The poll found 53 percent saying it’s gotten much harder to find housing compared to 36 percent last year, while the overall number of voters who say it’s gotten much harder or somewhat harder jumped from 64 percent to 76 percent.

housing

That certainly explains why Bay Area voters most frequently mentioned the region’s housing shortage and affordability crisis as its biggest problem and why, along with the high cost of living and epic traffic congestion, 46 percent say they are likely to leave in the next few years for presumably less expensive cities outside the region and outside the state, including Texas, Oregon and Nevada.

“Forcing people to leave the Bay Area is not the solution to our housing crisis,” said Jim Wunderman, President and CEO of the Bay Area Council. “We have one of the world’s most envied economies and near full employment, but that won’t last unless we provide the housing our region so badly needs. Every housing unit we fail to build in the Bay Area is a brick in a big wall around the Bay Area.”

Voters share similar concerns, with 75 percent saying the housing shortage threatens to undermine a Bay Area economy that has led the nation in creating jobs. Overall support for building more housing is strong.

Almost 30 percent—up slightly from 2017—of Bay Area homeowners said they would consider adding an accessory dwelling unit (ADU)—aka granny or in-law unit. Legislation authored by Sen. Bob Wieckowski that the Bay Area Council sponsored two years ago to ease local restrictions on ADUs has spurred a statewide surge in applications and the Council is sponsoring another Wieckowski bill this year (SB 831) that would remove even more barriers. Translating homeowners’ intentions into reality would create an estimated 450,000 units of new housing in a region with an estimated 1.5 million detached, single family homes.

Voters also expressed overwhelming 73 percent support for policies that make building more housing near transit and commercial areas easier. That support, however, didn’t translate into passage of legislation (SB 827) authored this year by San Francisco Senator Scott Wiener and supported by the Bay Area Council that would have made it easier to do exactly that. The bill drew strong resistance from local government and some environmental and social equity groups, but is expected to return next year.

housing transit

Support for building housing in and around existing residential neighborhoods is also strong, but has largely stagnated in recent years. The poll found that 59 percent of voters support more housing near them, but the figure dipped slightly from 62 percent in 2017 and remains largely unchanged from 2014.

Newer residents are more supportive of housing than those who have lived it the Bay Area the longest. Among residents who have lived in the region 10 years or less, the poll found that 73 percent say they’d like to see more housing while 52 percent of those who have lived in the Bay Area for 20 years or more say they would support more housing in their neighborhood.

For those who don’t flee, the housing shortage comes with financial impacts. While a little over half of voters say they are spending up to 35 percent of their income to keep a roof over their head, one third are spending 40 percent and more. Renters are among the hardest hit financially by the region’s stratospheric housing costs, with 40 percent spending 40 percent or more of their income on housing compared with 26 percent of homeowners.

housing income

The 2018 Bay Area Council Poll, which was conducted online by Oakland-based public opinion research firm EMC Research from March 20 through April 3, surveyed 1,000 registered voters from around the nine-county Bay Area about a range of issues related to economic growth, housing and transportation, drought, education and workforce.

vote

Bay Area Council Poll: Newsom Holds Strong Lead in Governor’s Race

Lt. Governor Gavin Newsom holds a firm lead among Bay Area voters in the June primary to become California’s next Governor, according to the 2018 Bay Area Council Poll, with two Republicans locked in a tie to advance to the November general election.

More than a third of Bay Area voters are still undecided about their choice for California’s next governor, according to the 2018 Bay Area Council Poll. With absentee ballots starting to arrive in mailboxes, 36 percent of Bay Area voters say they don’t know who among seven candidates should replace Gov. Jerry Brown in Sacramento. There’s a little more certainty among just those voters who are most likely to cast ballots in June—based on their past voting history—with 26 percent saying they are undecided.

Voters who have made up their mind overwhelmingly pick Lt. Gov. Gavin Newsom, with 31 percent of voters putting the former San Francisco mayor at the top of their ballots. The next highest finishers might be a surprise in the deep blue Bay Area. Republicans Travis Allen and John Cox each tallied 7 percent, followed by Democrats Delaine Eastin at 5 percent, Antonio Villaraigosa and John Chiang at 4 percent each and last-minute Democratic entry Amanda Renteria at 2 percent. 5 percent chose ‘someone else’.

Among likely June voters, Newsom’s support increases to 39 percent, with Allen and Cox each capturing 9 percent, Chiang getting 5 percent, Eastin and Villaraigosa each logging 4 percent and Renteria gathering less than 1 percent.

The results come as the election enters a critical stage as absentee ballots have been mailed and the candidates are pushing to get their message out to voters.

“It’s not over until it’s over, and Bay Area voters, while definitely showing strong support for Lt. Governor Newsom, still harbor a lot of uncertainty about this race,” said Jim Wunderman, President and CEO of the Bay Area Council.

See the poll results for the Governor’s race>>

Women and younger voters are the most undecided. The Bay Area Council Poll found 43 percent of women don’t know who will get their vote, while 28 percent of men aren’t sure who to pick. For those that have decided, Newsom again is the clear favorite with 34 percent of men and 28 percent of women casting their ballot for him. Among men that have decided, 10 percent say they’ll vote for Cox and 9 percent for Allen. Next in line for women, however, is Eastin with 8 percent saying they’ll vote for the former state Superintendent of Public Instruction.

Young women, in particular, are unsure about who to cast their vote for. The poll found 50 percent of Bay Area women aged 18-49 are undecided on who should lead California, with just 22 percent saying they back Newsom for the job. Women aged 50-64 back Newsom by 30 percent while women 65 years and older back the Lt. Governor by 42 percent.

Clear generational differences, regardless of gender, also emerged in the results, with older voters showing greater support for Newsom. The poll found that 44 percent of voters aged 18-49 remain undecided, with 26 percent backing Newsom. Second place is a statistical toss up among this age group, with none of the other candidates getting more than 7 percent of votes. Among voters aged 50-64, 33 percent put Newsom at the top of their ballot and among those 65 and older Newsom grabs 38 percent.

Silicon Valley voters registered the lowest level of support at 22 percent for Newsom among the Bay Area’s different subregions. The Bay Area Council Poll found 39 percent support Newsom in the town where he served as mayor and 40 percent support him in the North Bay where Newsom resides. The only other candidate to break double digit support in any county was Travis Allen, getting the nod from 12 percent of Contra Costa County voters.

The 2018 Bay Area Council Poll, which was conducted online by Oakland-based public opinion research firm EMC Research from March 20 through April 3, surveyed 1,000 registered voters from around the nine-county Bay Area about a range of issues related to economic growth, housing and transportation, drought, education and workforce.

BAC_logo_EconomicInstitute_RGB600

New Study Will Explore Opportunities for Expanding, Deepening Bay Area, Fresno, Central Valley Megaregion Connections

SAN FRANCISCO, CA – The Bay Area Council Economic Institute and Central Valley Community Foundation today announced the launch of an in-depth study to examine Fresno’s important role in the fast-emerging Northern California megaregion and how the arrival of high speed rail over the next decade will dramatically accelerate economic connections between Silicon Valley and the broader Bay Area and the state’s fifth largest city.

High speed rail is expected to shrink the time it takes to travel between the Bay Area and the Central Valley from more than three hours to less than one hour when it is scheduled to begin service in 2025 between Fresno and San Jose. That has huge implications for housing, transportation and workforce development across the megaregion and promises to bring exciting new economic opportunities to Fresno and other parts of the Central Valley. “Fresno and the broader Central Valley are key players in developing a broader megaregion strategy,” said Micah Weinberg, President of the Bay Area Council Economic Institute. “As county and other regional boundaries blur with the emergence of the megaregion, it’s imperative that we get a handle on what that future looks like and the infrastructure we’ll need to put in place to support it. We can act now to address these issues or confront chaos later. The Central Valley Community Foundation is an important and indispensable partner in making that happen.”

The study will focus in particular on strategies Fresno and other Central Valley cities can pursue to leverage high speed rail and other economic and demographic changes within the megaregion to boost their own economic prospects. While the 10 percent economic growth that Fresno has enjoyed since 2011 matches the national average, it has lagged cities like San Francisco and Los Angeles where the rate has reached 26 percent and 16 percent, respectively. Expanding the Central Valley’s participation in the megaregion economy, attracting new business and elevating its workforce to meet the needs of employers will also be a focus of the study.

“Improved economic and infrastructure connections between the Silicon Valley/Bay Area and the Central Valley is good, not just for our regions, but for the entire state,” said Ashley Swearengin, President and CEO of the Central Valley Community Foundation. “We are pleased to launch this work with the Bay Area Council and to explore meaningful ways to create new economic opportunities for Central Valley residents, businesses and communities and relieve pressure on the congested Bay Area.”

Swearingen kicked off the project on Friday, April 24 at a meeting in Fresno to identify the issues that would be addressed. The study is part of a much broader, long-term effort the Bay Area Council is leading to bring together top business, government and other civic leaders from the Bay Area, Central Valley, Sacramento and Monterey regions to develop a unified, integrated vision for guiding future planning for the megaregion around such issues as housing, transportation and workforce development.

Driving the Council’s intense focus on the megaregion is the Bay Area’s meteoric economic growth over the past decade combined with an historic housing shortage and affordability crisis. In search of more affordable housing, record numbers of Bay Area workers are being forced into longer and longer commutes from the Central Valley and Sacramento that are putting increasing pressure on an already overburdened and congested transportation system. At the same time, the Central Valley is eager to accelerate economic development opportunities that the megaregion offers and prepare its workforce.

The study with the Central Valley Community Foundation and support from Wells Fargo, UC Merced, Fresno State University, City of Fresno, and Lance Kashian & Co., is one of several activities the Council is leading to bring greater attention to megaregion planning. The Council is also working closely with Sacramento Mayor Darrell Steinberg and the Greater Sacramento Economic Council on megaregion issues, including investing in better rail connections along the I-80 corridor and promoting the capitol city as a destination for businesses looking to start and expand outside the Bay Area.

The Council will be convening a series of meetings in 2018 to begin a dialogue with government, business, nonprofit and academic leaders on the future of the megaregion.

 

# # #

 

About the Bay Area Council Economic Institute

The Bay Area Council Economic Institute is a public-private partnership of business, labor, government and higher education that works to foster a competitive economy in California and the San Francisco Bay Area, including San Francisco, Oakland and Silicon Valley. The Economic Institute produces authoritative analyses on economic policy issues affecting the region and the state, including infrastructure, globalization, energy, science and governance, and mobilizes California and Bay Area leaders around targeted policy initiatives. Learn more at www.bayareaeconomy.org.

 

About the Central Valley Community Foundation

Central Valley Community Foundation has been a trusted partner in philanthropy in the Central Valley for more than 50 years. Our mission is to cultivate smart philanthropy, lead, and invest in solutions that build stronger communities. Learn more at www.centralvalleycf.org.

 

About the Bay Area Council

The Bay Area Council is a business-sponsored, public-policy advocacy organization for the nine-county Bay Area. The Council proactively advocates for a strong economy, a vital business environment, and a better quality of life for everyone who lives here. Founded in 1945, the Bay Area Council is widely respected by elected officials, policy makers and other civic leaders as the voice of Bay Area business. Today, more than 300 of the largest employers in the region support the Bay Area Council and offer their CEO or top executive as a member. Our members employ more than 4.43 million workers and have revenues of $1.94 trillion, worldwide. Learn more at www.bayareacouncil.org.

connections

New Report: Early Childhood Care and Education Key to Advancing Gender Equity in the Workplace

Workplace cultures that promote and even reward crazy long hours are doing more than causing baggy, blood-shot eyes and caffeine addictions. They’re also seriously undermining efforts to improve gender equity. That is among the findings of a new report the Bay Area Council Economic Institute released today (April 24) examining how long hours, inflexible scheduling, lack of access to quality early childhood education and childcare and other seemingly innocuous workplace practices can create an environment where women have less opportunity to advance and succeed. The report comes as the #MeToo and TIME’s Up movements are sparking a powerful national debate on gender equity and how both new and old workplace practices may be enabling a culture of inequity.

The report, in particular, explores how workplace policies and practices are often adopted piecemeal and in isolation from each other and how this fragmentation misses the crucial insight that gender equity, family-friendly policies, and early childhood care and education are intertwined. Employers who care about gender equity in the workplace, according to the report, need to understand the importance of high-quality childcare and early childhood education programs in the communities in which their businesses are based. Policymakers who care about providing universal early childhood care and education because of their impacts on child development and learning must also care about paid parental leave and other family-friendly workplace policies.

“We can’t begin to tackle unconscious bias, help women climb the corporate ladder, or close the pay gap until we develop policies and benefits that enable working women—and men—to reconcile the pervasive work-family conundrum” says Dr. Micah Weinberg, President of the Bay Area Council Economic Institute. “Long gone are the 1960s where only 20 percent of mothers worked outside the home and the American family included a male breadwinner and a stay-at-home mother. This anachronistic model no longer fits today’s economy and modern workforce where 70.5 percent of U.S. mothers with children under the age of 18 are participating in the labor force.”

Read Workplace Connections: Gender Equity, Family-Friendly Policies, and Early Childhood Care and Education>>

The report is the focus of a conference on Tuesday, April 24 hosted by Children’s Hospital Research Institute in Oakland that will bring together leaders from the business, public policy, early education and healthcare communities to discuss strategies to help employers better connect various workplace policies and practices around gender equity, early education and childcare. A separate report by the Rand Corporation will also be presented that looks at how investing early education can pay huge economic dividends.

The cost of not adopting a well-integrated set of gender equity, family-friendly and early education workplace practices and policies is considerable, for employers, for women, for men and families, according to the report. An alarming gender gap in median annual earnings of 19.5 percent continues, with inequalities becoming even more acute for mothers in the workforce. New mothers in their prime career-building years between the ages of 25 and 35 will experience the most significant earnings shock. The analysis shows that mothers are still assuming twice as much unpaid caregiving and household work than their male counterparts, causing stalled careers and lack of opportunity to advance in leadership positions.

The report offers a robust set of recommendations for addressing not only the lack of specific workplace policies and practices around gender equity and families and their connections to each other.

Modernizing employer work models that integrate family-friendly policies is critical to advancing gender equity in the workplace. Generous paid parental leave, more flexible work time, telecommuting, and providing access to affordable early childhood care and education are critical to working families and supporting mothers in the labor force. Important early childhood care and education strategies for employers outlined in the report include on-site childcare, subsidizing employee childcare expenses, providing referral resources, partnerships with neighboring businesses and more.

What Stakeholders Are Saying:

“Currently, the burden of paying for quality early childhood care and education falls squarely on the shoulders of parents and particularly women who are sometimes forced to leave the workforce because they can’t afford quality care.  Increased public and private sector investments in this area will not only help businesses retain qualified talent, they’ll be helping to foster tomorrow’s workforce, since quality interactions between teachers and young children are linked to increased acquisition of social and cognitive skills.”

Patricia Lozano, Executive Director, Early Edge California

“When we think about now people are perceived for taking advantage of the policies that we have, it really is a question of how normal is it. Do you become the outlier when you decide to take the full eight weeks parental leave as a male employee who didn’t give birth to the child? Or are you seen as somebody who’s leading the charge to role model the types of behaviors that leadership said they wanted to have at the firm? And I think that starts with leadership not just endorsing the policies, but taking advantage of it themselves, but also recognizing that when employees do that, it actually is a commitment to the type of employee that the firm wants. It’s not an outlier that shows lack of commitment.”

Keith Bevans, Partner, Chicago Global Head of Consultant Recruiting, Bain & Company

“We actually give moms and dads both 12 weeks of paid parental leave. We do believe that the father has a huge role to play in the child’s life, and we don’t want them to feel different than the mom. So we give them both that baby bonding time, and we’re seeing more and more dads take advantage of it. We also want moms to ease back into the workforce, and so we give them an additional 4 weeks of part-time so that they can get used to the new childcare arrangement that they have and feel comfortable leaving their baby.”

Nina McQueen, Vice President – Employee Experience & Global Benefits, LinkedIn

“We believe that it’s an employer’s responsibility in these times to put forward family-friendly policies that provide flexibility, that encourage men as well as women to become caregivers, and to allow people to work remotely at times if that works for the organization. So that with those kinds of policies in place, we’ll truly see women be able to do all the things that men have historically been able to do when it comes to making commitments to their companies and organizations.”

Jim Wunderman, President & CEO, Bay Area Council

stateeconomy

STATE ECONOMIC STRATEGY BILL ADVANCES

California is a global innovation and economic powerhouse, but currently does not have a statewide, comprehensive plan to grow its economy. That would change under legislation (AB 2596) that the Bay Area Council is sponsoring with the Greater Sacramento Economic Council and Valley Vision. AB 2596, authored by Assemblymembers Ken Cooley, Kevin Kiley and Sharon Quirk-Silva, would authorize the creation a statewide economic development plan to grow jobs, better coordinate economic activities across counties and regions and boost the state’s competitiveness. Having a clear, unified strategy can also help protect the state against future economic downturns and ensure that economic opportunities are being spread more evenly across the entire state. AB 2596 on Tuesday won unanimous approval by the Assembly Jobs, Economic Development and the Economy Committee and now heads to Assembly Appropriations. Just ahead of the vote, an OpEd by Council CEO Jim Wunderman and Greater Sacramento Economic Council CEO Barry Broome that ran in the Sacramento Bee argued for passage of the bill. To add your company to the growing list of our AB 2596 supporters, please contact Director for Government Relations Cornelious Burke.

Read the OpEd in support of AB 2596>>

megaregion report

Charting a Course for Megaregion Coordination

A rising economy, a massive housing shortage and growing traffic in the Bay Area are causing major changes across the Northern California megaregion that represent both opportunities and challenges. The Bay Area Council is spearheading an effort to bring together business, government, academic and civic leaders from across the megaregion on planning to embrace the former and minimize the latter. The Council last week traveled to Stockton where CEO Jim Wunderman presided over a meeting that included mayors from Stockton, Merced, Modesto and Livermore, leaders from key rail and regional planning organizations, and business and academic leaders.

In addition to hearing about the foundational research on the Northern California megaregion put together by the Bay Area Council Economic Institute and University of the Pacific, participants focused on the potential for future rail investments–in the ACE train and high speed rail–to spur economic development. The meeting, hosted by University of the Pacific in partnership with Valley Vision, was the first of a series of meetings the Council is convening across the megaregion in the coming months that will seek to produce a common policy advocacy agenda for megaregional stakeholders. To engage in the Bay Area Council’s work on the Northern California Megaregion, please contact Senior Vice President Michael Cunningham.

Screen Shot 2018-04-02 at 1.09.48 PM

New Report: California’s Healthcare Sector Key to Meeting State Climate Action Goals

New Report: California’s Healthcare Sector Key to Meeting State Climate Action Goals

Sector Uniquely Positioned to Take Lead On and Accountability For
Sustainable, Low-Carbon Transformation

SAN FRANCISCO, CA – Despite the recent 10th anniversary of California’s landmark climate change legislation SB 375 targeting global warming pollution, the state is currently falling short of its ambitious targets set to reduce greenhouse gas (GHG) emissions for 2030 and 2050. Meanwhile, the devastating public health and economic consequences of climate change are ever-present in the wake of California’s deadliest wildfires, increased respiratory diseases and extended droughts. A new report unveiled today by the Bay Area Council Economic Institute, California Clean Energy Fund and Health Care Without Harm – Building a Climate-Smart Healthcare System for California – assesses how the healthcare sector is uniquely positioned to play a critical role in helping the state meet its GHG reduction goals.

Read the report>>

California’s healthcare sector accounted for 13 percent of the state economy as total spending reached $292 billion dollars in 2016. However, this booming sector is also one of the most energy intensive, responsible for an estimated 10 percent of all GHG emissions nationwide. Hospitals represent the lion’s share of those emissions at 36 percent requiring significant energy to support operations, and unique heating, ventilation and air conditioning needs. Other key contributors to increased levels of GHG emissions generated by healthcare include employee and patient travel, facilities built,  products and equipment, food procured and served, and waste generated. The analysis estimates that California’s carbon-intense health sector could be responsible for between $1.6 and $9.5 billion in long-term damages each year.

“Transitioning away from fossil fuels and toxic chemicals is the most important public health intervention we can make to support healthy people and healthy communities,” says Gary Cohen, President of Health Care Without Harm.

With its mission to protect and improve health, combined with the huge economic costs of inaction, California’s healthcare industry is taking important steps to advance climate-smart strategies. Diving into case studies across the state, the report explores the cutting-edge innovations, strategies and investments being led by some of the top industry leaders like Kaiser Permanente, UC San Francisco, Dignity Health, Palomar and UC San Diego.

“Meeting state goals of bringing GHG emissions to 1990 levels will require the entire healthcare industry to act and transform,” says Dr. Micah Weinberg, President of the Bay Area Council Economic Institute. “Just as California is a leader for the nation in taking action on climate change, healthcare can serve as a role model for all private and public sectors as it transitions to a sustainable, low-carbon future.”

“We know that when a sector seizes such an opportunity in its entirety, great transformation can happen that will improve the bottom line, build jobs and provide solutions to climate change,” says Danny Kennedy, Managing Director of the California Clean Energy Fund. “We want to start a race of entrepreneurs and intrapreneurs driving the innovations and new business models to do this in healthcare.”

The report outlines key sector recommendations necessary to achieve long-term sustainability and resiliency. Energy audits of facilities, investing in on-site and off-site renewable energy, waste reduction, conserving water and purchasing local, sustainably-grown food are among the key industry recommendations. Advancing smart policy on local, state and national levels will also be crucial, including streamlining the approval process of energy-saving technologies, creating an enforcement arm for the Solar Rights Act, continued state funding for renewables and energy storage, expanding Zero Waste Principles, and creating a sustainable water supply, among others.

# # #

About the Bay Area Council Economic Institute
The Bay Area Council Economic Institute is a public-private partnership of business, labor, government and higher education that works to foster a competitive economy in California and the San Francisco Bay Area, including San Francisco, Oakland and Silicon Valley. The Economic Institute produces authoritative analyses on economic policy issues affecting the region and the state, including infrastructure, globalization, energy, science and governance, and mobilizes California and Bay Area leaders around targeted policy initiatives.

About the California Clean Energy Fund
The California Clean Energy Fund (CalCEF) is optimizing the clean energy transition by connecting money to investments, ideas to support and issues to solutions. Driven by the opportunity to accelerate climate protection, CalCEF is committed to creating 100%+ clean energy to benefit all. CalCEF’s family of initiatives seek to bring about the energy transition already underway, but sooner and better.

About Health Care Without Harm
Health Care Without Harm seeks to transform health care worldwide so that it reduces its environmental footprint, becomes a community anchor for sustainability and a leader in the global movement for environmental health and justice. Health Care Without Harm works to reduce health care’s carbon footprint, foster climate resilient health systems, mobilize the health sector to address climate change as a public health issue, and advocate for solutions that accelerate a transition to clean, renewable energy.