Policy Corner – July 2015
By Emilie Cameron, Policy & Advocacy Manager at DSP
The temperature isn’t the only thing rising this month. Downtown development and minimum wage are issues heating up locally.
Emerging Project: Marshall Hotel/Hyatt Boutique Hotel
Developers plan to convert the now-vacant Marshall Hotel located at the northwestern intersection corner of 7th Street and L Street into an 11-story Hyatt Hotel with 159 rooms, meeting space and ground floor retail. The project is scheduled to be completed by next year when the new downtown arena opens less than a block away.
This is a significant development for downtown Sacramento. Plans for the Hyatt Hotel support the vision for our Central Business District: evolving into a vibrant downtown core.
The Marshall Hotel had been in disrepair for many years, negatively impacting the area surrounding it. Today plans for the rectangular-shaped two-parcel site will preserve the site’s historic brick and terra cotta facades, but will reconfigure the building’s floor plans to accommodate current hotel standards, including renovation of its current non-functional interior and addition of a new tower.
This month concluded the comment period for the project’s Draft EIR. On July 15, the Sacramento Preservation Commission will consider the project in context of the EIR findings.
Take Action: Join Downtown Partnership to voice support during Preservation Commission meeting. For more information, email Emilie Cameron at ecameron@downtownsac.org.
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UPDATE: Mixed Income Housing Ordinance
On June 25, Sacramento Planning & Design Commission unanimously approved moving forward a new Mixed Income Housing Ordinance for the City of Sacramento. Supported by Downtown Partnership’s Board of Directors, the Ordinance plays a critical role in the development of the mixed-use, multi-story projects to we envision in downtown.
The updated policies in this Ordinance are critical to establish clear guidelines for residential projects in Sacramento. For more than two years, Downtown Partnership participated in discussions with stakeholders and staff to advocate for a thoughtful compromise that is balanced, market sensitive and responsive to the challenges of development in our core. The result is an Ordinance that will create greater consistency and, most importantly, foster the development of more housing in Sacramento – of all types for all incomes.
Earlier this year, our board declared incentivizing downtown housing development as a top objective in 2015. Downtown Partnership will continue to advocate for the passage of the Mixed Income Housing Ordinance as it reaches City Council in the coming weeks.
Take Action: Join Downtown Partnership to voice support during City Council’s Law & Legislation Committee hearing on Aug. 11. For more information, email Emilie Cameron at ecameron@downtownsac.org.
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Calls for Minimum Wage Increase
Cities throughout California’s coastal communities are increasing the minimum wage, in some cases, as high as $16/hour like the City of Emeryville. Now, the City of Sacramento is discussing raising the local minimum wage. Some of the first proposals being circulated would increase Sacramento’s minimum wage range from $13.50 to as much as $15 per hour.
Last month the Mayor announced an “Income Inequality Taskforce” will develop a proposal to present to City Council later this summer. Should Sacramento increase the minimum wage, the City would be the only one in the Central Valley to implement a raise above the state directed minimum of $10 per hour beginning Jan. 1, 2016.
In 2014, nearly 90 percent of downtown business owners surveyed by Downtown Partnership opposed any increase the minimum wage. Survey respondents, consisting of downtown Sacramento businesses and community groups, raised concerns that the city would be placed at a competitive disadvantage with other jurisdictions within the region, leading to fewer local businesses locating downtown and more property vacancies.
Increasing the minimum wage exclusively in Sacramento would put downtown at a competitive disadvantage relative to surrounding municipalities. This is an important time for downtown; an even playing field is crucial to leverage the City’s investment in a new arena to lure new visitors, employers, and investors.
Take Action: No wage increase should be enacted alone. Last week, Downtown Partnership joined a number of community partners to launch Keep Sacramento Working.
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