Daily Business Report: Friday, June 10, 2022
Education
Spending spree: Oversight scarce as billions
in COVID aid poured into California schools
By Robert Lewis and Joe Hong | CalMatters
When the pandemic closed schools in March 2020 – abruptly ending classes and stranding children and working parents – leaders in Washington and Sacramento scrambled to provide relief.
The result was a series of stimulus measures that allocated $33.5 billion in state and federal funds to California’s K-12 schools to address the devastation of the pandemic. It was a staggering amount of one-time funding for the state’s cash-strapped schools, equal to a third of all the money they got the year before the pandemic.
Imagine your boss giving you a check equal to four months of your salary and telling you to spend it quickly or risk giving it back. For schools, this was money for things like laptops, air filters and mental health counselors – money to help kids.
But much of the funding has come with limited oversight and little transparency, according to a CalMatters investigation. No centralized state or federal database exists to show how schools have spent this money. And data from the districts’ quarterly spending reports provided to the state are so broad as to be virtually useless in tracking this COVID relief money.Of the $5.9 billion local education agencies have spent so far from the largest of the stimulus funds, more than a quarter went to a category for “other” expenses, according to the state.
“I’m just not sure anyone has a good handle on how this money was spent,” said John Affeldt, managing attorney at Public Advocates who works on educational equity issues. “There’s a lot of money that went into the system this year, and we continue to have a concern knowing how … effective it was.”
Top Illustration by Miguel Gutierrez Jr., CalMatters; iStock
Single-family home median price steps
back — slightly‑ in May
Single-family home prices in May took a step back from the $1 million mark reached in April in San Diego County, settling at $990,000, according to resale housing statistics compiled through the San Diego Multiple Listing Service by the Greater San Diego Association of Realtors.
Single-family prices are 15 percent higher than a year ago, although that is outshone by attached properties (condominiums and townhomes) which are 24 percent higher than May of 2021, now standing at $670,000
Sales of single-family homes in May shrank 4 percent from April’s numbers, while sales of attached properties were unchanged month over month. For the year to date, however, sales of all existing homes are down nearly 13 percent compared to last year. The inventory of homes for sale has increased, be it only slightly (1 percent), so far in 2022, while the average number of days in which homes are closing escrow has dipped below 20.
“This can be a confusing time for buyers, as home sales are down from last year but listed homes are still selling quickly and prices remain much higher than a year ago,” said SDAR President Chris Anderson.
In May, the ZIP codes in San Diego County with the most single-family home sales were: 92028 (Fallbrook) with 69; 92064 (Poway) with 52; 92057 (Oceanside North) with 53; 92065 (Ramona) with 47; 91977 (Spring Valley) with 45.
The most expensive single-family property sold in May in San Diego County was a coastal modern home in Del Mar with the second widest ocean frontage on Del Mar Beach – 100 feet. The 3,770-square-foot, sixbedroom, six-bath property, built in 1988, has a beachside terrace and two primary bedrooms with ocean views. Located on Ocean Front, the home sold on May 27 for $20 million.
USD School of Law — RJS Law Tax
Controversy Institute scheduled for July 15
The Seventh Annual USD School of Law – RJS LAW Tax Controversy Institute will be held in person on Friday, July 15, 2022at the Joan B. Kroc Institute for Peace and Justice Center at University of San Diego.
Learn from the nation’s top tax attorneys, government agency officials, and law school professors who will discuss topics including handling tax controversy, fraud enforcement, international tax, bankruptcy, cryptocurrency, NFTs, digital assets, estate planning and criminal investigations.
Reception Information
Join us for a lively environment, including an open premium bar and a full dinner. Network and mingle with government commissioners, dignitaries, judges, elected officials, business professionals, academics, lawyers and USD faculty members. Come network and have a great time.
Click here for the agenda and registration
UC San Diego reaches $3 billion in fundraising
UC San Diego has become the youngest university in the country to reach $3 billion in fundraising campaign. The university announced a new landmark milestone: it has surpassed its original $2 billion fundraising goal for the Campaign for UC San Diego by $1 billion, raising a total of $3 billion. The Campaign for UC San Diego will conclude June 30, 2022.
More than 163,000 friends, alumni, foundations and corporations have showed their support of UC San Diego with gifts and grants of all sizes, making a remarkable collective impact that has propelled the campus forward past the original fundraising goal. This support has been designated by donors to provide funding to 453 different areas on campus – allowing UC San Diego to continue on its nontraditional path toward revolutionary ideas, unexpected answers, lifesaving discoveries and planet-changing impact.
Michaelene Sullivan named vice president
of sales and services for Manchester Grand Hyatt
Michaelene Sullivan, director of sales and marketing for the Manchester Grand Hyatt in downtown San Diego, has been hired as the San Diego Tourism Authority’s new vice president of sales and services.
The key leadership position is responsible for directing the sales team while representing the organization with clients and stakeholders on a local and national level.
Sullivan brings a wide range of experience from her 18 years with Hyatt including in food and beverage, events and sales.
During her time with Hyatt, Sullivan has been repeatedly recognized for her successful sales efforts.
As associate director of sales at Hyatt Regency O’Hare, she was part of the Hyatt’s Sales Team of the Year in 2014.
Sullivan was also selected for that same honor in 2016 when she was the Manchester Grand Hyatt’s director of group sales.
She was promoted to director of sales and marketing at the Manchester Grand Hyatt in 2019.
Sullivan is a graduate of Washington State University and is married to Doug Sullivan, the area director of human resources for Park Hyatt and Andaz San Diego.
North San Diego Business Chamber
launches Emerging Leaders program
The North San Diego Business Chamber is building an Emerging Leaders program, a network of future leaders, 40 and under, and implementing new professional development opportunities and mentorships for them. There is no cost to be a part of the program, it is a benefit of chamber membership.
Programs will include a monthly Leadership workshop on diverse topics that have a relevant impact on the Emerging Leaders as they grow their career. The Emerging Leaders will also be mentoring college upper classmen and in return will have a tenured chamber member as a mentor if they choose. The Emerging Leaders will donate time to volunteer for two non-profits during the 2022 – 2023 year.
Beginning July 1, the new Advisory Board listed below will lead the Emerging Leaders Network for 2022-2023:
- Chelsey Frate, Financial Advisor, UBS Financial Services (Co-Chair)
- Katie Fox, Attorney, Buchalter (Co-Chair)
- Niki Brown, Director Individual Giving, Boys and Girls Club of Greater San Diego
- Chris Brzezicki, Director of Facilities, San Diego Zoo Safari Park
- Mandela Byam, Contracts Manager, Sapient Logic
- Erin DaSilva, Executive Administration, Rancho Bernardo Inn
- Tyler Evans, Principal, So. Cal Business Brokers
- Jessica Gonzalez, Chief of Staff, Print Software Solutions, HP
- Samara Hakim, Founder, CultureGrit
- Emily Hill, Asst. Dean of Marketing and Recruitment, USD Knauss School of Business
- Corryn Kivett, Owner, Evolution Room
- Carly Olson, Marketing Manager, Global Brand Marketing, Dexcom
- Matt Parnell, Director of Marketing, Imaging Solutions, Sony
- Alistair Penny, Manager ISA Programs, San Diego Workforce Partnership
- Alyssa Frost, Director of Marketing, Petco
- Amanda von Leer, Director Government Affairs, ResMed
- Francy Nichols, Director Sales and Marketing, The Elizabeth Hospice
- Jessica Greene, Account Executive, View Inc.
County to open budget public hearings next week
The County of San Diego opens public hearings for its $7.15 billion recommended budget next week at two meetings at the County Administration Center — 9 a.m. Monday, June 13 and a special night session at 5:30 p.m. Thursday, June 16.
The county introduced its 2022-23 recommended spending plan May 5. It builds on commitments to address mental health, homelessness, equity, racial justice and climate change while upholding essential public safety, land use and social services.
County departments presented their individual budgets to the Board of Supervisors and the public May 19 and May 20. The Board of Supervisors is scheduled to adopt a new budget at its June 28 public meeting.
Bayer’s Vividion emerging as significant
player in San Diego biotech hub
Bayer AG and its wholly owned San Diego-based subsidiary Vividion Therapeutics Inc. will highlight how the two companies have fostered innovation and collaboration through Bayer’s “arm’s length” operating model during a 1 p.m. presentation at the 2022 BIO International Convention Monday at the San Diego Convention Center.
Bayer has built a strong partnership with Vividion since its acquisition of the biopharmaceutical company in 2021, deploying an innovative business model that allows Vividion to operate largely autonomously and independently to develop and advance its novel pipeline and platform technologies.
Students of San Diego construction
apprenticeship program to graduate tonight
At a time when California is facing a construction industry labor shortage with a gap of more than 500,000 skilled workers, the Associated Builders and Contractors of San Diego (ABCSD) is celebrating its class of 2022 graduation today at 5 p.m. at the Hyatt Regency Mission Bay, 1441 Quivira Road, San Diego.
ABCSD apprenticeship is a state- and federally-recognized construction training program which combines paid on-the-job training with formal classroom instruction. Students work full-time during the day and attend classes in the evening. No tuition is required, and students earn college credit for their studies.
Students and their immediate families are also provided with medical, dental, and vision coverage for the entire time that they are participating in the apprenticeship program. ABCSD provides all textbooks. Through education and training, ABCSD provides students with career options without requiring them to incur any student debt.
“ This year’s graduating class helps secure our industry’s future as we all work together to grow, train, and develop our regional work force,”said Shandon Harbour, president and CEO of the organization.
Endeavor Bancorp becomes holding
company of Endeavor Bank
Endeavor Bank announced that Endeavor Bancorp became its holding company following shareholder and regulatory approval. As previously announced, Bancorp had been formed as a subsidiary of the bank, and in March Bancorp successfully issued $15,000,000 in subordinated debt in an institutional private placement.
The completion of the reorganization of Bancorp to become the holding company for the bank carries out the previously announced bank plan; the bank is released from its guaranty of the subordinated debt; and the funds raised in the subordinated debt placement will be used for general corporate purposes.
As a result of Bancorp becoming the holding company for the Bank, each share of common stock of the Bank is converted into one share of Bancorp. Shares of Bancorp will trade under the ticker symbol “EDVR,” which is the same ticker symbol under which the Bank’s shares were traded, on the OTC Pink.
Study: Keeping Diablo Canyon power plant online
would help state decarbonize more quickly
Extending operations at the Diablo Canyon Nuclear Power Plant, California’s largest single source of carbon-free electricity production, would significantly reduce emissions and natural gas use, and accelerate progress toward the state’s ambitious clean energy goals, according to a new study released by Carbon Free California. Retaining Diablo Canyon could help avoid blackouts, significantly reduce electric power costs and provide the best opportunity for California to meet its climate goals, even with the widespread deployment of renewables and energy storage.
The analysis, conducted by the Brattle Group, found that keeping Diablo Canyon online could also help enable Californiato achieve a carbon-free grid by 2035, a decade earlier than the state’s current goal, at a cost $5 billion lower than if the plant were retired. These early reductions could help jumpstart economy-wide decarbonization and reduce California’sdependence on gas-fired power generation, lowering cumulative greenhouse gas emissions by 40 million metric tons of CO2.
