Request For Proposals for Economic Development Strategy

The Office of Economic Development of the City of Santa Cruz is soliciting proposals from qualified persons or firms to enter into an Agreement for Professional Services to develop an Economic Development Strategy.

The Strategy will focus on the work of the Business Services division with only reference to goals and initiatives that might be bolstered by the support of the Office's other divisions. Goals and initiatives identified in the Strategy should align with the City Council Work Plan, General Plan, and other relevant plans and policies.

The City of Santa Cruz is located on California's Central Coast, 65 miles south of San Francisco and on the northern side of Monterey Bay. San Jose International Airport is 34 miles from downtown Santa Cruz. The primary highway access is from State Highways 1 (north and south) and 17 (accessing Silicon Valley and the San Francisco Bay Area).

Santa Cruz is a compact city dominated by single-family neighborhoods, tourist-oriented commercial areas and the University of California, Santa Cruz. The city’s population is approximately 64,000 people with a workforce of 33,300. The city is home to about 7,542 businesses and was recognized by Forbes in 2013 as #6 on the list of “Best Cities for Future Job Growth”. The principal industries of Santa Cruz and the surrounding region are agriculture, tourism, sports, and technology. The University of California, Santa Cruz, established in 1965, is located on the northern edge of Santa Cruz, in the foothills of the Santa Cruz Mountains. UCSC has a current enrollment of 19,254 students and over 5,000 faculty and staff. In addition to being home to UCSC, the city is located within commuting distance of Silicon Valley.

The Office of Economic Development (OED) is nearing the conclusion of the 2021-2026 Economic Development Strategy, which has served as the City’s primary roadmap for pandemic recovery and industry growth. In April 2025, the City Council accepted a comprehensive Strategy Update that transitioned the Department’s focus toward vibrancy and storefront activation. This next phase of work is designed to operationalize those recommendations through the development of a 2026-2030 Economic Development Strategy

The Strategy should be inclusive of OED’s four divisions:

Business Services

The Business Services Division is responsible for business retention and expansion (BRE) efforts, the cultivation and support of key industry clusters, and downtown support as the primary retail, business, and cultural hub for the city. The Division provides tailored permitting assistance, incentive programs, and business planning and promotion to grow the economy.

Infrastructure & Development/Successor Agency

The Office of Economic Development serves as the lead agency on a number of infrastructure, development, and mixed-use projects throughout the City and performs economic development and planning functions within certain designated areas of the City. This division currently oversees public-private partnerships and transit-oriented developments, including the redeveloped METRO Station (Pacific Station North and South mixed-use 100% affordable housing projects) and the Downtown Library & Affordable Housing Project. The division has two additional mixed-use development projects on the horizon, an affordable/workforce development project with a public plaza anchored by the Santa Cruz Community Farmers’ Market on the existing library site and a mixed-use affordable housing development project at the gateway of Hwy 1 and Hwy 9.

Asset Management

The Asset Management Division provides property management of City-owned assets including acquisition, disposition, and development of real property. The Division manages approximately 70-80 commercial lease and license agreements, leases on the Santa Cruz Wharf and in other city- owned buildings, including properties owned by the former Redevelopment Agency such as the Del Mar Theatre and Tannery Arts Center campus. The Division also manages the city-wide graffiti abatement program, including the maintenance of the graffiti database used by local law enforcement.

Public Art

Managed by the Arts Program Manager in consultation with the City’s Arts Commission, the Santa Cruz City Arts Program includes the City Arts Recovery Design (CARD) Program, Graphic Traffic signal box art program, and the Mural Matching Grant program. The Percent for Art Program continues to allocate 1% of eligible CIP projects to enhance infrastructure, while long-term planning efforts like the Citywide Arts Master Plan ensure that public art remains a primary driver of Santa Cruz’s unique cultural and economic vibrancy.

OED has implemented many of the strategies included in the 2021-2026 Strategy and City Council directed staff to incorporate additional strategies related to Downtown retail attraction and activation of empty storefronts; placemaking and activation in Downtown to connect new development, the farmers market, and underutilized public spaces; and support for Midtown and Westside business improvement districts. The new Strategy should include strategies and analysis the following focus areas:

1. 1. Business District Activation – retail attraction, placemaking, and activation
   2. Targeted Industries – cluster analysis, workforce analysis, real estate needs assessment
   3. Small Businesses – permit streamlining, technical services, marketing and promotions
   4. Tourism and Hospitality
   5. Housing, Infrastructure Development, and Asset Management