Daily Business Report: May 20, 2024
California’s lagging economy hinders
efforts to close state budget deficit
Bu Dan Walters | CalMatters
As Gov. Gavin Newsom and state legislators spend the next few weeks fashioning a state budget that’s plagued by a multibillion-dollar deficit, they can’t count on a booming economy to make their task easier.
California’s recovery from the devastating economic impacts of the COVID-19 pandemic has been sluggish at best, trailing what’s happening in the nation as a whole and in the state’s archrivals, such as Texas and Florida.
According to Employment Development Department data, there are 200,000 fewer Californians in the labor force – those employed or seeking employment – than there were in February 2020, just before the pandemic exploded. There are 500,000 fewer employed, and 200,000 more unemployed.
While California’s unemployment rate of 5.3 percent in March was just a third of what it was at the height of the pandemic-induced recession, it was still the highest of any state, markedly higher than the national rate of 3.9 percent and nearly two percentage points higher than it was before the pandemic.
By the federal government’s more nuanced measure of employment called U-6, which counts not only the unemployed, but workers who are “marginally attached” to the labor force and those who are involuntarily working part time, the state’s 9.5 percent rate of underemployment is also the nation’s highest.
Top Photo: Construction workers on site of a tiny homes village in Goshen on June 2, 2023. Photo by Larry Valenzuela, CalMatters/CatchLight Local
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Navy christens future USS Pierre — last littoral
combat ship bound for San Diego
By Chris Jennewein | Times of San Diego
The Navy and ship builder Austal USA christened on Saturday the future USS Pierre, the 19th — and last — littoral combat ship destined to be based in San Diego.
Ship sponsor Larissa Thune Hargens, daughter of South Dakota Sen. John Thune, broke a ceremonial bottle of sparkling wine over the bow of the aluminum trimaran before an audience of over four hundred guests at the shipyard in Mobile, AL.
It’s the second ship to be named in honor of the capital city of South Dakota, and the last of the fast, maneuverable Independence-variant warships to be built for the Navy.
“Austal USA has grown from a small commercial shipyard to a large, advanced defense ship manufacturer primarily thanks to the Indy-variant LCS program,” said Austal USA President Michelle Kruger.
The warship is 418 feet long and armed with a main gun, anti-aircraft missiles and machine guns, as well as two helicopters. It’s designed to operate in near-shore environments and can sprint at speeds over 50 mph.
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High school grads from San Diego Unified guaranteed admission to Cal State San Marcos
High school graduates from the San Diego Unified School District will be guaranteed a spot at California State University San Marcos (CSUSM) under a new compact that includes college prep and supports for students and families starting in middle school.
Approved by the Board of Education on Tuesday, the partnership is designed to provide students the access and resources they need to attend and thrive at CSUSM.
“San Diego Unified is committed to giving every student a path to college, as well as the resources they need to prepare for a successful transition to higher education,” Deputy Superintendent Dr. Fabiola Bagula said. “We are so grateful to Cal State San Marcos for this partnership, which provides our students with access to a world class university.”
Beginning in seventh-grade, students, families and staff will receive notifications about the CSUSM partnership and how to meet eligibility criteria. The district will also lay out criteria for identifying and supporting incoming seventh graders who are at risk of not meeting the admission requirements.
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Serving up sustainability and eliminating food waste in hospital cafeterias
By Jeanna Vazquez
When visiting a UC San Diego Health hospital cafeteria, one wouldn’t be able to miss the rainbow of beautiful food dazzling the counters. From fresh salads and ripe fruit to hearty meals and sweet (healthy) treats, the delectable food offered in the hospital is there to provide nutritious meals for patients, visitors and staff that can aid in the healing process.
“I truly believe that food heals and it’s so gratifying to see the meals we make are helping provide sustenance to not only our patients in need, but to our staff and visitors as well,” said Rodney Fry, executive chef at UC San Diego Health. “Not everyone thinks of the hospital as a place to eat, but the food we offer is delicious, nutritious and comforting.”
Fry works with a team that is continuously developing new menus that focus on preparing locally sourced, plant-based, antibiotic-free and sustainable dishes.
Patients can choose their meals from a seasonal, cooked-from-scratch menu, and food is made to order in the kitchens. Registered dietitians are also available in the in-patient setting to provide nutritional counseling to patients as needed.
When food is not eaten, where does it go?
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Salk Institute receives $5 million gift to develop
pancreatic cancer diagnostics and therapies
The Salk Institute will receive a four-year, $5 million gift from the Paul M. Angell Family Foundation to support pancreatic cancer research. The project’s leaders, Salk Assistant Professor Dannielle Engle, Professor Ronald Evans, and Professor Reuben Shaw, will establish a novel pipeline from patients to the laboratory and back to the clinic. The approach will provide a unique opportunity to uncover new diagnostics and therapies for pancreatic cancer.
Pancreatic cancer is one of the most devastating cancers, in part because it is so difficult to diagnose. The condition is generally asymptomatic until the later stages of the disease, and by then, for most patients, it is too late to intervene. Pancreatic cancer is also notoriously resistant to therapy, partly because the tumors grow encased in a thick layer of protective tissue.
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Rob Sobie appointed chief product officer for IntelliGuard
IntelliGuard a fast-growing provider of medication management and data intelligence solutions, announces the appointment of Rob Sobie as chief product officer. This addition strengthens IntelliGuard’s executive team and further elevates the company’s mission to drive innovative solutions centered around creating an environment of safety for health systems and patients. Sobie brings a wealth of knowledge, boasting an impressive three-decade tenure in product development, strategic planning, and executive leadership within the health care sector.
CSUSM to offer guaranteed admission to San Diego Unified School District grads
Doubling down on its commitment to social mobility, Cal State San Marcos (CSUSM) entered an agreement with the San Diego Unified School District to offer guaranteed admission to high school graduates meeting specific requirements, starting with the class of 2025. Already a major contributor of bachelor’s degree holders to the region’s workforce, with approximately 80 percent of students remaining in the region after graduation, this partnership strengthens CSUSM’s contribution to San Diego’s regional talent pipeline.
Gossamer Bio inks $486 million deal with Chiesi Farmaceutic
Italian pharma Chiesi Farmaceutical signed a potential $486 million global collaboration and licensing deal with San Diego-based biotech Gossamer Bio. Through the partnership, Gossamer will develop and advance its pulmonary arterial hypertention therapy seralutin to phase 3 of clinical trials.
San Diego Workforce Partnership partners on apprenticeship program
To meet its growing demand for skilled trades workers, Vista Unified School District launched its Multi-Craft Core Curriculum Apprenticship Readiness Program, in collaboration with the San Diego Workforc Partnership and San Diego Builing Trades Council. The program will offer training for industry certification in a variety of building and construction trades, including HVAC, electrical work, and more to North County residents 18 and oler at no cost.
NOVA partners with San Diego Padres, collaborates on Sunset Slam Kombucha
NOVA has started a five-year agreement with exclusive kombucha co-branding rights with the San Diego Padres. The partnership includes the Sunset Slam Mango Lime hard kombucha collaboration, which is available at Petco Park and retail locations throughout San Diiego County. Sunset Slam is being served on draft and in 16-oz cans at multiple locations within the ballpark, and the cans feature the colors of the Padres’ City Connect uniforms. The kombucha is 8 percebt alcohol-by-volume (ABV) and has a flavor profile of mango and lime. It is gluten free and vegan.
San Diego FC and Club Tijuana announce five-year partnership
Two professional soccer clubs are partnering up to establish a football cultural celebration that will include an annual competition to happen over five years. San Diego FC and Club Tijuana, also known as Xolos, announced the five-year partnership. It is said to be the first of its kind between a Major League Soccer and Liga MX club. Xolos won the Liga MX title in 2012 and play out of Estadio Caliente in Tijuana, Baja California. Starting next year, matches in the five-year competition will be played at Snapdragon Stadium in San Diego.
Daré Bioscience secures $22 million
Daré Bioscience Inc., a leader in women’s health innovation, announced it has closed a royalty monetization transaction with XOMA (US) LLC. Daré received $22 million in gross proceeds at close and, following a pre-specified total return to XOMA, XOMA will make upside-sharing milestone payments to Daré equal to 50 percent of all remaining cash flows sold to XOMA under the transaction.
San Diego Air & Space Museum honors Bud Anderson
The San Diego Air & Space Museum is remembering World War II Triple Ace Clarence Emil “Bud” Anderson, who was considered by many pilots as “the best fighter pilot I ever saw.” Anderson, who was inducted into the prestigious International Air & Space Hall of Fame in 2013, passed away on May 17, 2024 at the age of 102. Since 1963, the International Air & Space Hall of Fame has honored the world’s most significant pilots, crew members, visionaries, inventors, aerospace engineers, business leaders, preservationists, designers and space explorers. Anderson entered the International Air & Space Hall of Fame at the San Diego Air & Space Museum in 2013.
High Tech Elementary Explorer students collaborate on mural
High Tech Elementary Explorer students collaborated with renowned visual artist Scarlett Baily to create a vibrant mural for one of its exterior walls. Baily, known for her captivating illustrations showcased throughout Liberty Station, lent her expertise to guide HTeX students in this beautification project. Baily and students met on May 10 at 2230 Truxtun Road to leave a colorful mark while witnessing the transformative power of art in education.
The mural, titled “Howka,” meaning “hello” and translating to “I see your fire,” invites students to revitalize the Kumeyaay language.
Property owners file $100 million lawsuit against City of San Diego for flood damage
Hundreds of property owners in San Diego’s southeastern neighborhoods who were flooded out during the torrential January storms, have filed a $100 million lawsuit against the city, contending years of neglect and poor maintenance of storm water management systems damaged their property. The massive lawsuit has nearly 300 individual plaintiffs, representing homeowners, renters and businesses across Southcrest, Mountain View, Logan Heights, Encanto and other neighborhoods that are in the Chollas Creek watershed.
Museum of Contemporary Art San Diego hosts Expo Fair
Museum of Contemporary Art San Diego is hosting a two-day Expo Fair highlighting local publishing, design, music and fashion in San Diego at 700 Prospect St. in La Jolla on June 8-9. The free Expo Design Market will showcase local markers, publishers, and creatives from all across San Diego, Tijuana and neighboring communities. Some of the participating organizations and sponsors include LA-based Brain Dead Studios, San Diego’s Particle FM radio station, and Topo Chico. The event will be held from 11 a.m. to 6 p.m. on June 8 and June 9. Both days, there will also be an Expo After Dark event, which will feature a roster of notable musicians and DJs, as well as other festivities.
Semper Fi & America’s Fund celebrates 20th anniversary
Semper Fi & America’s Fund, a San Diego-based national veteran nonprofit organization that provides lifetime support to critically wounded, ill, and injured service members, veterans, and military families, celebrated its 20th anniversary on May 17, marking two decades of unwavering dedication to the veteran community. Since 2004, The Fund has provided holistic support to over 33,000 service members, veterans, and military families. The Fund offers personalized case management, meaningful connections, and lifelong assistance to individuals from all branches of the U.S. Armed Forces.
