Economic impact analyses would help the Council make more informed decisions

Last week I introduced a motion that would establish a mandatory economic impact analysis for city initiatives that could affect our regional economy. There is currently no established protocol for objectively reviewing the local legislations’ impact on our economy, such as the number and type of jobs created, the number of businesses retained, or the amount of private sector investment attracted.

An analysis of legislation’s economic impact would be an invaluable tool in our legislative decision-making process, helping us decide how to allocate scarce resources so that they have the biggest positive impact on our local economy.

The City and County of San Francisco, for example, established an office of Economic Analysis following passage of a ballot measure calling for one.

The Chamber, along with fellow business groups BizFed, the Los Angeles County Economic Development Corporation (LAEDC), Valley Industry and Commerce Association (VICA) and the Central City Association (CCA) have and continue to be strong advocates for the inclusion of economic impact analysis in the City’s decision making process.

The next steps are for the Chief Legislative Analyst and City Administrative Officer to review best practices and develop a proposed process for conducting the economic impact analyses and for incorporating the information into the decision-making process. The motion is expected to be heard in committee the week of November 16.