Newsletter
September - October 2017 Highlights
In the News
The Valley Economic Alliance Sponsors Credit Union
By Helen Floersh, San Fernando Valley Business Journal

The northeast San Fernando Valley's only credit union has been saved from closure by a sponsorship from The Valley Economic Alliance, a nonprofit based in Sherman Oaks.

The Alliance said Tuesday (Sept. 26) that it has committed $50,000 to supporting the operations of the Pacoima Development Federal Credit Union, which serves nearly 2,000 members and has assets of more than $4 million. It was established in 2005 with the mission of providing bank services to underserved San Fernando Valley communities that are often the target of predatory financial institutions, according to the credit union. Membership is open to Pacoima residents and those who "live, work, worship, go to school or own a business in the San Fernando Valley," the Credit Union said.

"The Pacoima Development Federal Credit Union provides a lifeline of desperately needed financial services for an underserved San Fernando Valley community," Randy Witt, Chairman of The Alliance, said in a statement. "We are dedicated to improving the economic stability and growth of our region...The services offered by PDFCU, including their small business microloans, are a natural fit with the Economic Alliance business services programs."

The Alliance has donated $25,000 to the credit union to date and will contribute another $25,000 by the end of the year, Phillips said. The Alliance is looking for fellow sponsors to match its grants, with the goal of raising eight times its sponsorship funds.

"In our lives, we only have a few times to make a really significant difference in the community. This is one of those times," Kenn Phillips, Chief Executive of The Alliance, said in a statement.

Live2Lead Simulcast
Friday, October 6, 2017
Women's Collaborative Colloquium is this Weekend! 
Saturday, October 7, 2017
Register by visiting www.tinyurl.com/wccoctober2017
Valley Hackathon III is Next Week!
Friday, October 13, 2017
Valley Hackathon III is fast approaching! High school and college students will come together on Friday, October 13th from 9am-5pm at the Glendale Public Library's Auditorium, to develop concepts and usable solutions to a challenge that is revealed at the technology competition. 

Teams will present their final solutions to a panel of industry experts for a chance to win first, second and third place sponsored prizes. The judges panel includes City of Glendale Mayor Pro-tem Zareh Sinanyan; former U.S. Secret Service Agent Erik Rasmussen; Executive Director of Hollywood Burbank Airport Frank Miller; Clayton Weise, Director of Cloud Services with Key Information Systems; Marc Netka, CEO of STS Education, Dajuana Jones of MCS, Inc., and Phillip Lanzafame, Director of Community Development, City of Glendale. 

The event will conclude with an internship fair where students will have the opportunity to network with apprenticeship sponsors at the event, who are offering internship opportunities to applicable candidates. 

To date, apprenticeship sponsors include LA Promise Fund, Datastream, Open Tech Initiative, Collab and Play, Cloud 77, Simple Layers, Inc., Glendale Community College Student Employment Services and Bruno Group, Inc. 

Other event sponsors include Southern California Gas Company, Cal State University Northridge, Express Employment Professionals, DWP Information Architects, Whole Foods and Auntie Anne's/Cinnabon. 

Sponsorship packages are still available. 
Visit  www.thevalley.net/valleyhackathon to register as a sponsor or student participant.
Contact Angela at  [email protected]  for more information. 

Photos from Valley Hackathon II in 2015.
In the News
Metro to Hear from Businesses it may Uproot
By Charles Crumpley, San Fernando Valley Business Journal

Metro said Wednesday (Sep. 27)  it has scheduled an additional meeting to hear the deepening concerns of more than 100 Van Nuys businesses that could be displaced by a proposed train maintenance yard that would be part of an expanded transit system.

"The community is saying something to us. And we hear them," said Kimberly Upton, a spokeswoman for Metro, whose official name is the Los Angeles County Metropolitan Transportation Authority, which oversees the train and bus system.

At issue is an area along the Orange Line a few blocks east of the 405 Freeway. It is bounded by Kester Avenue, Oxnard Street, Calvert Street and near Cedros Avenue. Metro has called that area Option A with an aim to clear the land and build a train maintenance yard. But businesses that would be evicted are alarmed.

Kenn Phillips, Chief Executive of The Valley Economic Alliance, said it would potentially uproot 186 businesses that employ 1,500. He has proposed the maintenance yard be cited in a different area that would be far less disruptive to businesses.

Upton said the new meeting is designed to hear the concerns of small businesses, but the public meeting is open to anyone. Since the session will be considered informational, speakers will be allowed to make longer presentations, she said.

The new meeting will be Tuesday, October 10th, from 5pm to 8:30pm at the Van Nuys State Building Auditorium, 6150 Van Nuys Blvd., 91401.

The new train maintenance yard will be needed to serve a planned light rail line between the Van Nuys Orange Line station and the Metrolink station in Sylmar.

In the News
Accidental Activists
By San Fernando Valley Business Journal

The Los Angeles County Metropolitan Transportation Authority, or Metro, has plans for a transit project that has raised concerns among Van Nuys business owners. Metro is currently taking public comment on the East San Fernando Valley Transit Corridor. One option for the project is a light rail system on 9.2 miles of track between the Van Nuys Orange Line station and the Metrolink station in Sylmar. But to offer that service, Metro must have a maintenance and storage facility for the railcars. One location under consideration is a cluster of light industrial buildings bounded by Kester Avenue, Oxnard Street, Calvert Street and just past Cedros Avenue a few blocks from the Orange Line. Metro has proposed, according to the draft environmental impact report, to buy out and demolish 58 parcels of land housing a congregation of small businesses - auto body shops, a fitness studio, cabinet makers, a door fixture manufacturer, artists and sculptors, general contractors, and sound studios and stages.

"We are a thriving community," said Marilyn Balduff, who owns property in the designated area. "There is not a lot of light industrial places in the San Fernando Valley. This is what everybody wants where people can work and live in close proximity to one another." The Valley Economic Alliance Chief Executive Kenn Phillips arranged for a group of these business and property owners - Balduff, Ivan Gomez, Peter Scholz, Noel Romeo and Garrett Marks - to meet with the Business Journal at Gearbox, the company Romeo oversees for Angus Mitchell on Calvert Street to discuss the ramifications of the Metro project on their businesses and the alternative site they have proposed to the transit agency. Phillips said that 186 businesses employing 1,500 workers will be affected.

After the Business Journal met with the business operators, Metro scheduled a new public meeting to hear their concerns. "The community is saying something to us. And we hear them," said Kimberly Upton, a Metro spokeswoman.

The new meeting will be Tuesday, October 10th from 5pm to 8:30pm at the Van Nuys State Building Auditorium, 6150 Van Nuys Blvd., 91401. Parking will be available at the Metro Orange Line Van Nuys Station.
Question: What is The Valley Economic Alliance's role in this issue?
Kenn Phillips: The Valley Economic Alliance is consistently going out in the community, boots on the ground, in order to find out things that are stressful for local businesses. What we identified in this area associated with Metro is that they have thousands of employees, hundreds of businesses that could be moved out in order to accommodate what Metro wants. 

What's the main concern?
Phillips: The economic value here. We can go ahead and look at this a little bit differently by bringing in multiple businesses in multiple areas to improvement of the area instead of movement of these businesses. What these guys have done is work really hard in order to find a solution.

Metro held five meetings about this project. What happened there?
Peter Scholz, of Showcase Cabinets: Two and a half weeks ago we received a disc, some business owners did. The disc shows the potential facilities they want to acquire. They started those meetings a week after we got the disc. The first one was explaining what Metro was looking for and what their idea was. They gave the options - light rail or BRT (bus rapid transit) and the maintenance storage yards. There were three available options (on the yards), A, B and C. We are located in the A (option) which is what we are concerned about at the moment.

How was the turnout for these meetings?
Scholz: Each one of the meetings that we attended drew interest from our community because we finally passed the word around. We got some groups to join us - the Economic Alliance, the Van Nuys Neighborhood Council, the Sierra Club. There was interest from the Panorama City Neighborhood Council that wants the Metro project in their backyard. Every meeting has been going toward options.
Marilyn Balduff: With each public hearing, the audience has grown significantly as word has gotten out. The public hearings were transactional. They just wanted to talk about their project and what they wanted to do. We wanted to talk more about how it's good for the whole community. Especially the parcel we have recommended, you can do so much more with it. You can build green space, homeless shelters, I mean this could be a beautiful project for someone with vision.

What was the option the business people gave to Metro?
Scholz: We did find an option and presented it to them. It was in the second meeting. Another area that is available that is in our view prime for their facility. It is at 7600 Tyrone Ave. DWP (Los Angeles Department of Water and Power) owns the parcel. It is 17 acres.
Ivan Gomez, of Pashupatina Hardware: (Adjacent to that) is a bulk of 30 acres. It is a facility that stores cars. We feel rather than impacting hundreds of businesses you impact one. (The other parcel) is owned by the DWP. You work inter-agency - Metro, DWP, City Hall. You acquire (the 30 acres) and leave us intact and create something that, as Marilyn said, has green space, something the DWP could use, something that Metro could use. It is a win-win for everybody.
What has been Metro's response to your suggestion about the Tyrone Avenue property?
Gomez: I presented it at the hearing in San Fernando. We didn't really get a response. But I think it started picking up traction because other people started bringing it up. At their last meeting, they started to alter their presentation to the public to include the alternative site.
Scholz : They have taken notice. They have visited our factories, our facilities. They came here, they came to Ivan's place, they came to the cabinet shop. They saw we were working. It's not empty spaces. They did take notice. They are open. They have accommodated us with meetings. We are not adversaries. We are just trying to get together on something and state our point and try to get the light rail going and we want to find an alternative site.
Gomez: It's positive. Our voices are not falling on deaf ears. I see there is a positive interaction. They are listening to us, and they want to work with us. That is key here.

What is it about the neighborhood that you like?
Gomez: This area here is important to me because I went to school in the area. In this area landlords provide small working spaces at below market rates. You can come in with your dream and grow it. That's what we did. We saved money for 16 years, bought a building, spent a year rehabbing it and gave back to our community. Peter is my neighbor and we work as a team together.
Why do you want to stay here?
Gomez: This area is important to save because it serves as a steppingstone for other companies that started small. Famous Amos Cookies was on Calvert Street. They used to get field trips from Sylvan Park Elementary School. They have since moved on. There is another company called TLC Icon Motor Sports, a guy named Jonathan Ward. He stared out in a couple of facilities (on Oxnard Street) restoring Toyota Landcruisers. He also leased space from Marilyn at one point. You can start here, outgrow your capacity for the area, and move on to larger facilities in Chatsworth.
Balduff: This area is improving at an accelerating rate. The businesses that are here care and that makes the community good. We are getting higher and higher quality businesses. I went around and talked with these businesses when I was going around getting petitions (signed). I can tell you what's here and it's awesome.
Gomez: We have a situation that needs to be emulated. It is a natural occurring thing to be able to work and not have to get on the 405 or other freeways. Some of my employees take the Orange Line. I can ride my bike in. The fact that we stayed in the area shows the type of community we have. It's like a neighborhood to me. There are people like Garrett (Marks) who have been here for 30 years restoring Mustangs. The father started the company and the two brothers will take it over. That is what we have here. Giving Metro an alternative build site and working with them is important.

Are you taking an adversarial approach to this issue?
Gomez: We are not trying to fight the light rail project. We are not fighting anyone. We are trying to not only save ourselves but the other sites as well. Sites B and C, they are just as important as us in the economic ladder. They create jobs, they pay their taxes. I cannot work against them. They have been quiet. They have not organized like we have at Site A. For the best interests of everybody if they can make that (alternative Site D) work, it can benefit everybody.

So, you are not against the light rail project?
Gomez: No, not at all. I prefer a subway. They're faster. But they take longer to build and cost more money.
Balduff: And they don't disrupt traffic.

What do you think light rail would do for the Valley?
Gomez: Light rail does bring change to an area. I've seen it happen at the Gold Line. Positive change. Before you know it, buildings start improving and businesses start changing. You also have to keep in mind that the areas where these rail facilities are going to stop have had problems with poverty. What will it do to the area? Will it gentrify it? Will it keep it intact and improve it and better serve those people? San Fernando, the city where it terminates, has been in decline. That area will change for the better - restaurants, new types of retail establishments. There will be an upside to this. We are not against it.

What kind of ridership is Metro expecting on this new line?
Gomez: They are projecting with their supercomputers by 2040 about 40,000 riders (a day). Whether we will have those numbers I am not sure, I don't keep tabs on that kind of information. But that is what they are projecting.

If you had to move, where would you go?
Gomez: There's nowhere. You can do a search on LoopNet for industrial and you get one. It's mixed use. It cannot accommodate my needs because of the kind of CNC machines I have. In the larger area as a whole, we are competing against cannabis growers that will pay out of pocket three times the going rate. The fact we are M-2 zoned, that type of space is lacking in the city. The city and Metro are not providing a solution or addressing that. I feel it's important to bring that up.
Scholz: If I have to move, my clients over the hill they are not going to venture further than North Hollywood. I have architects, designers that are willing to come to my studio versus me having to bring everything to them. It's set up so they can come with their plans and choose materials from that.
Gomez: We are centrally located where a lot of our projects take place. I am literally, depending on traffic, an average 15 to 20 minutes away from any of these job sites. It's critical. They need something, they call me, I drop everything and I can address their concerns immediately. If all of a sudden I'm in Chatsworth or Burbank, that kind of personalization goes away.

Noel, what impact will this project have on your company?
Noel Romeo, of Gearbox: When I met Mr. (Angus) Mitchell he needed help with his cars and stuff and he was also looking for a (studio) location. We bought (buildings) Calvert One and then immediately Calvert Two. His plan was to use it for a photo site. We have photo shoots and audio and filming. We are devastated we are going to be losing C1 (Calvert One). I don't know what's going to happen with C2. It's important that we keep C1 because if we have the tracks, the trains and whatever depot they put in we aren't going to be able to use this place (C2). It's not that soundproof. He has invested in the two buildings and put in quite a bit of money. We were slated to renovate C1 across the street and we haven't even gotten a final bid for that. Once we get it, we're going to put a hold on everything to see what happens.

And, Garrett, what about your company?
Garrett Marks, of Mustang Etc.: My dad started Mustangs Etc. in 1976 in the same location we are now. We have since expanded. We have a service area and parts warehouse in two other buildings in this area. A lot of our clientele comes over the hill. They wouldn't even travel this far except they don't trust anybody else to touch their cars, which are classic Mustangs. We'd have to move outside L.A. County to find a single place to hold everything that we have right here. I don't know what percentage of business we would lose but I don't think we'd be able to survive.

Any idea when Metro will make a decision?
Gomez: January. (Metro project manager) Walt Davis said they might have the site selected at that point. It can either be us, or site B or C. We are saying go with D. There is minimal impact. You can bring in your equipment right now, start grading the dirt and go to work. 

Photo 1: Concerned. From left; Noel Romeo, Garrett Marks, Ivan Gomez, Marilyn Balduff, Peter Scholz, Annie Nickolov, Kenn Phillips and Ken Broderick at potential railyard. Photos by Daviid Sprague. 
Photo 2: Locator. Businessman Ivan Gomez points to Site D on aerial photo during meeting. 

Source: San Fernando Valley Business Journal. Volume 22, Number 20. Oct. 2, 2017. 
In the News
Valley Business Owners fear being uprooted by Massive LA Metro Transit Project
By Brenda Gazzar, Los Angeles Daily News

Business and property owners who could be uprooted by a mass transit project planned in the eastern San Fernando Valley are organizing in an effort to stay put.

The 9.2-mile East San Fernando Valley Transit Corridor project would connect the Metro Orange Line in Van Nuys to the Sylmar/San Fernando Metrolink Station through busy Van Nuys Boulevard, which has the second-highest transit boardings in the Valley following the Metro Orange Line. There are two alternatives for a bus rapid transit service and two for a light rail service, along with other federal- and state-required alternatives.

While the project wouldn't break ground until 2021, Valley business interests are already concerned about the project's potential impacts - mainly a possible maintenance yard and storage facility they say could force businesses to move.
Kenn Phillips, President and Chief Executive Officer of The Valley Economic Alliance, said one of the rail options, dubbed Option A, would displace more than 180 businesses for the potential maintenance yard, which would be located south of the Metro Orange Line just west of Van Nuys Boulevard, according to Metro.

"One thing you cannot replace is these 186 businesses that are co-located and have these relationships for decades," Phillips said. "You can't replace the synergy and the leveraging that they have by working together after all these decades."

That option would affect hundreds of families, most of whom currently walk to work or take the bus, he said.

Peter Scholz, owner of Showcase Cabinets Inc., said he's concerned about the possible relocation of his 30-year business, which has been his dream.

"I'm too young to retire and too old to start over," the 53-year-old said. "There are no proper (light manufacturing) -zoned buildings in our area, which would require us to move as far as Sunland or (downtown) L.A."

Photo: Peter Scholz, owner of Showcase Inc., stands in front of his business along Aetna Street in Van Nuys on Thursday, Sept. 28th. He is concerned about a massive Metro transit project that could potentially force his 30-year business to relocate elsewhere. (Photo by Ed Crisostomo, Los Angeles Daily News/SCNG)

  Read Full.
SAVE THE DATE
"Hero Hired" Career and Resource Fair
Home Buyers Conference Recap

Nearly 200 guests attended the Home Buyers/Ownership Conference on September 9th at Sheraton Universal to connect with the resources they need to achieve their goal of becoming a homeowner, maximize equity as a current homeowner or learn about a real estate career choice whether flipping a house, real estate agent, commercial real estate or lending. The event featured breakout sessions and speakers, exhibitors, and a loan pavilion. 
Out and About

At the ribbon-cutting of the first Workforce Strategy Center at Los Angeles Valley College on September 8th. 

City of Los Angeles Mayor Eric Garcetti was in attendance, along with Councilmembers Monica Rodriguez and Paul Krekorian.

Kenn Phillips moderated a meeting prior to the ribbon cutting regarding the new center that will serve as a hub for job training programs and programs at Valley College by partnering with the city's Workforce Development system.
At the  59th Annual Fernando Awards Dinner  on September 9th,  at California State University's Valley Performing Arts Center.

The award was given to Paul Davis, Owner Paul Davis and Alberta Bellisario Insurance Services in Northridge, for volunteerism in the San Fernando Valley. 

Pictured from left is 2017 Awardee Paul Davis and 2016 recipient Dale Surowitz. 

At the 2nd Annual  Open Arts & Music Festival  on September 16th in  Downtown Glendale. 

The event was produced in collaboration with artists, performers, community leaders, local businesses, and organizations.

Leaders Forum with Senator Tammy Duckworth
Tuesday, October 10, 2017

Tickets are $60, sponsorship opportunities are available. Visit www.vica.com/events for more information and to register or e-mail [email protected]
2018 Employment Law Seminar
Thursday, November 9, 2017

California courts and legislative representatives have been busy in 2017, planning new surprises for employers in 2018. To fully protect the workplace from costly employment disputes and administrative audits, California employers, managers and human resource professionals must stay abreast of the ever-changing landscape of employment laws in our state. 

The San Fernando Valley Employer Advisory Council is hosting a seminar with employment attorney Karen L. Gabler of LightGabler on November 9th. She will discuss the upcoming legislation for 2018, cases and administrative opinions decided in 2017 that will impact employment policies and 2018 practices from 7:15am-11:30am at  New Horizons located at 15725 Parthenia Street, North Hills, 91343.

Karen L. Gabler collaborates with her clients to develop proactive strategies designed to enhance workplace productivity and avoid employment disputes. She serves as an external human resources consultant for numerous businesses, providing counsel to management and conducting training programs for both management and employees. Karen performs internal audits of clients' employment practices to ensure strategic compliance with current laws, and guides client investigations of employee allegations regarding harassment, discrimination, and employee theft or other misconduct.

Visit  sfveac.org/events to register. Early bird registration is $65 before 10/13/2017. 
The Valley Economic Alliance | 818-379-7000 | [email protected] | www.thevalley.net
Your Success Is Our Business! TM

The mission of The Valley Economic Alliance is to elevate the economic vitality of our five-city region by assisting  the San Fernando Valley in business, education, & government. 
STAY CONNECTED:
Like us on Facebook  Follow us on Twitter  View on Instagram  View our videos on YouTube