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File Number: 19-663 <br />employees in 2012. Manufacturing output per employee increased during the same period. This <br />suggests that the City’s businesses are becoming leaner and more nimble, with a larger number <br />of start-ups and entrepreneurs. <br />The Next Generation Workplace District Study calls for maintaining the City’s historic <br />manufacturing base and transforming the industrial area into a vibrant, innovative, and attractive <br />workplace. Redevelopment of this area offers a unique opportunity for companies to participate in <br />San Leandro’s growing tech and innovation ecosystem, and utilizing the Lit San Leandro fiber <br />optic loop. The City’s priority is to continue and encourage job-creating manufacturing uses, <br />particularly food manufacturing, brewing, advanced manufacturing, and small-scale innovative <br />manufacturing. <br />ABAG and MTC opened a call this year for Letters of Interest (LOI) for a new pilot program for <br />Priority Production Areas (PPA). <br />PPAs are intended to support strong clusters of the region’s economy by enhancing and <br />protecting selected industrial areas through supportive resources and implementation actions. <br />PPAs will also encourage middle-wage job growth close to affordable housing and support <br />networks of production, distribution and repair services, including advanced manufacturing. <br />Together, Priority Development Areas (PDAs), Priority Conservation Areas (PCAs) and the new <br />PPAs will comprise The Plan's Regional Growth Framework, the Bay Area’s strategy for <br />coordinating housing and job growth. This Framework will shape the investments and growth <br />patterns to be detailed in Plan Bay Area 2050. <br />MTC to date has invested more than $800 Million in PDAs because these are the high density, <br />transit-oriented areas where the region is projected to grow. MTC and ABAG in May 2019 <br />established a pilot program for PPAs, and adopted revised definitions and eligibility criteria for <br />PDAs and PCAs. As part of the update, MTC and ABAG directed staff to open an application <br />window for new priority areas, and to work with City and County governments as well as county <br />transportation agencies (CTAs) to ensure all PDAs meet program criteria. San Leandro has 3 <br />PDAs: Downtown, East 14th Street, and Bay Fair. <br />Local governments and park districts must submit resolutions by January 2020 to be considered <br />for new PPA designations. PPAs need to be zoned for industrial use or have a high concentration <br />of industrial activities, such as production, advanced manufacturing, distribution, or related <br />activities. PPAs cannot be located within one half mile of a regional rail station or overlap with a <br />PDA. Each jurisdiction nominating a PPA must have a certified housing element. . The San <br />Leandro Industrial Hub Area encompasses the vast majority of industrial land in San Leandro <br />(see attached maps to the Resolution). <br />Staff believes that establishing a PPA in San Leandro’s industrial sector will enable the City to <br />meet several economic development goals and actions from the 2035 General Plan in addition to <br />contributing toward the greater platform of the Plan Similarly to PDAs, the future opportunities for <br />cities and counties with PPA designations may be greater access to resources and public <br />funding for public benefits like capital improvements, better transportation access, economic <br />Page 3 City of San Leandro Printed on 12/23/2019 <br />38