The 54th edition of the High Desert Report is dedicated to the memory of Willie Pringle Spring 2015 l Volume 54 The

RADCO CompaniesHigh Desert Report An economic overview of the High Desert region affiliated with The Bradco Companies, a commercial real estate group I wish to welcome As a part of our history, in late 1992, cial broker ever inducted, and I am very our current, future, when a friend of mine, Ms. Cele Under- humbled to be a part of this great hon- and long stand- wood, then an Associate with the Keith orary society for the advanced and land ing subscribers and Companies, a company with which we economics. sponsors of the shared office space, suggested that, with We also had a delay in this edition with 54th Edition of the all the development, bus tours and sem- the recent addition of a new member of Bradco High Des- inars in Southern California, we create our family, Mr. Parker Sinibaldi, Ms. ert Report, the first a newsletter. Having no knowledge of Kaitlin Alpert’s son. Parker was born on and only economic how to do a newsletter, I contacted my December 9, 2014, and Ms. Alpert has overview of the long-time friend and mentor, Dr. Alfred just been able to return to work to as- High Desert region, covering the north- Gobar, then Chairman of Alfred Gobar sist us on the Bradco High Desert Re- ern portion of San Bernardino County & Associates (Brea/Anaheim, Califor- port and many of the other endeavors and the Inland Empire. nia). that we have. In the meantime we were With Dr. Gobar’s continued encourage- blessed with the addition of Ms. Tailor Inside This Issue ment to take a leading role within the Titus, who joined our firm on a tempo- High Desert region, we moved forward rary basis and has now become a full- with the first ever newsletter to cover time member of our family. Inland Empire Film Commission...... 2 the High Desert region, the Cities of Ad- Caltrans Transportation Improvements .. On a sad note, elanto, Apple Valley, Barstow, Hesperia, on January 6, in the High Desert...... 5 and Victorville; the first one to properly Most HD Home Values Trending up..... 6 2015, we lost a portray the High Desert’s economy and dear friend of Tapestry Master-Planned Community.... 8 its great assets. Momentum is Ours...... 11 the High Desert Science: A key to Water Management.. 11 Since then, Dr. Gobar has continually and, most im- Housing the Future: Availability = supplied some of the greatest articles to portantly, Victor Affordability...... 12 the Bradco High Desert Report since its Valley Com- Change to California Revenue and Tax inception in May of 1993. He has con- munity College Code...... 13 tributed articles all the way through our District. His High Desert Detention Center...... 14 52nd Edition, but due to a recent 7 year name was Mr. 2014 Report County Residents Receiving battle with cancer, was unable to prepare Willie Pringle. Aid Distribution by Cities ...... 15 an article in his normal and professional From the early Are Nonprofits and Businesses manner. days when I moved to the High Desert in Similar? ...... 17 Dr. Gobar is in his 7th year of battling mid-1988, Willie Pringle was always a MDAQMD’s Highest Honor Awarded to cancer and doing quite well. When gentlemen who was “bigger than life.” Local Compainies...... 18 the doctors told him that they thought I knew him and the many roles that he IEEP Working to Put Inland Empire on he would lose a substantial amount of held throughout the region, all based on California Leaders’ Radar...... 19 weight, they forgot that Dr. Gobar is 1 education, with a deep and long-founded In the Wake of Redevelopment...... 21 of the most unique people I have ever love for his college, Victor Valley Com- SanBag Keeping the High Desert Moving met and, undoubtedly, one of the most munity College District. in the Right Direction...... 23 EDD Employment Graph...... 25 unique people that they have ever met. Willie had a life-long service record in Comparative Market Analysis...... 26 He has actually gained 14 pounds, looks the community and continued to stay VVC Serving the High Desert for 54 great, and still has a great sense of hu- active in service-leadership roles. mor. Years...... 27 He served as a member of the Board of Jay Obernolte 33rd Assembly District He recently spoke (6 months ago) at Trustees for Victor Elementary School Legislative Update...... 31 Lambda Alpha, the Orange County District from 1994-2009. In addition to City Update Chapter, which I am the only commer- Adelanto...... 32 continued on page 29 Town of Apple Valley ...... 32 To receive your FREE online subscription to Barstow...... 33 Hesperia...... 34 The Bradco High Desert Report register today at: Victorville...... 35 www.TheBradcoCompanies.com/register The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 2 High Desert Report An economic overview How does the Inland Empire Film Commission make it so easy? By Sheri Davis - Director

The High Desert still remains the number Some of the smaller films shot were Master Recruiter, USA Network Series one desert location for the Film Industry “Nothing Like Romance” shot in Oro Promo for “Dig,” American Eagle and in California. Why you ask? It is really a Grande, “The Executer,” shot in Yermo, California Lottery. Then, of course, simple answer – terrific light, diversity of and “Zeroville,” shot at the Barstow we had many of the car agencies return locations (from a mountain community Drive-in. We are very hopeful that the for that special desert look…Subaru, to the vast sand dunes at Dumont) as new incentive bill AB1839 that passed Lamborghini, BMW, Mercedes Benz, well as experienced crew and service allowing $330 million a year for five Hyundai, and Dodge Viper, among providers. Also, the film industry (5) years to be used as an incentive to many other products. The locations gets ease of permitting with the Inland keep filming in California. This renewal ranged from communities like Yermo Empire Film Commission which serves and revision of the State Film Incentive to Baker, from Barstow to Wrightwood, as the One Stop Permit Agency for the program bumps the 20% incentive to 25% from Lucerne Valley to Trona. Watch County of San Bernardino, the United for films shooting outside the 30-mile for these commercials and enjoy your States Forest Service and the Bureau of zone around Hollywood (more details locations being introduced to the world. Land Management. How does the Film below). Hopefully, this will encourage Commission make it so easy? They have production to come to the High Desert. Still Photography: Still photographers some very important partners whose still consider the High Desert lighting support is key to successful filming in Reality Television: Reality TV still and diversity to be perfect for their the High Desert. The Barstow Bureau of enjoys filming in the High Desert region requirements. 62 still photography Land Management leadership and staff with 14 shows such as “Top Gear,” Jay shoots for both national and international deserve a medal for their excellence in Leno’s untitled new show, “Masterchef,” products like Gala Paris, Macy’s, assisting filming. This office is exemplary “Sand Master,” “Die Trying: Gates Prestige Magazine, Nissan Frontier, and should be the role model for other of Hell,” “Storage Wars,” and “IQ Lexus, Top Gear Clothing, American BLM field offices. County Supervisor Challenge,” to name just a few of the Eagle, Show Me Your Mumu, ESPN Lovingood from the First District and shows. Magazine, Engelbert Strauss Workwear, Arch Motorcycles, W Magazine, Urban Supervisor Rutherford from the Third Commercials: 56 commercials selected District are very supportive partners Outfitters and Grip (a German TV car locations in the High Desert. The dry magazine) are some the highlights. to the film commission and are great lakes in the county still attract the largest proponents of filming in their districts. numbers of commercials with El Mirage Music Videos: The region enjoyed a Filming Update For 2014 Dry Lake leading with 17 commercials. huge increase in music videos over the Here are a few commercials that did previous year. There were 35 music Feature Films: 11 feature films selected NOT involve the automobile industry: videos shot throughout the High Desert. locations from El Mirage Dry Lake GE, Icon Health, Water Future, 7 Jeans, Have you ever wondered about all of to the Dumont Dunes. The pattern of Megane-ichiba sunglasses. Other dry the music videos that you have seen and studio features shooting out of state lakes like Soggy, Silurian, Lucerne, thought look like your area. Well, here for most of their production continued Rabbit and Coyote also attracted their are just a few for your viewing pleasure through 2014 as they secure incentives, fair share of commercials like Blacklist – just go to the URLs below and enjoy a both in other states and other nations. Olympics, Golden Girls, Pokémon continued on page 3

THE BRADCO HIGH DESERT REPORT Publisher: Mr. Joseph W. Brady, CCIM, SIOR Editors: Ms. Kaitlin Alpert, Ms. April Tyler, Ms. Jenny Margotta, Ms. Tailor Titus, and Mr. Seth Neistadt Editor Emeritus: Mr. Lowell Draper Printed & Designed by One Stop Printers & Direct Mail Service E-Mail Version by Axiom Media Inc. P.O. Box 2710, CA 92393-2710 760.951.5111 BSN Ext. 100 l 760.951.5113 FAX www.TheBradcoCompanies.com l e-mail to: [email protected]

Free E-Mail subscription with online registration For a free subscription visit www.thebradcocompanies.com/register Postage paid in Victorville, CA l Send address changes to above. Entire contents copyrighted. All rights reserved. Material may not be reproduced in whole or part without permission from the publisher. Every effort is made to provide reliable information from reputable sources. The publisher assumes no responsibility for inaccurate information. The Bradco High Desert Report is printed on recycled paper.

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 3 An economic overview How does the Inland Empire Film Commission make it so easy? Continued music video shot in your region. for their support of this important race to California Tax Incentive Update Lucerne Valley and the desert region.  Anjali’s “We turn up” which shot at California Film and Television Tax Dumont Dunes Johnson Valley Update Incentive Expanded and Extended http://youtu.be/qP24ZHEFEts 20-25% Credit Tony Perry, a reporter with the Los The California Film & Television Job  J LO’s “First Love” shot at El Mirage Angeles Times, in an article on May 9, Retention and Promotion Act, signed by Dry Lake 2014, reported on the final decision for Governor Brown in September, 2014, http://youtu.be/BfgoiYu9EUE the use of Johnson Valley by the U.S. expands and improves California’s Film Marines and the OHV community.  The Voice’s Matt McAndrew shot and TV incentives. The California Film “Wasted Love” in Helendale “After nearly a decade-long dispute Commission is currently developing http://youtu.be/4rrOkJ3la5M between the Marine Corps and off-road regulations and other procedures to vehicle enthusiasts over a rocky patch administer the newly expanded film and  Ziggy Marley’s “I Don’t Want to Live of desert west of the base at Twentynine TV tax credit program. on Mars” shot in Yermo and Coyote Palms has ended in a compromise Key Changes from Prior Program Dry Lake brokered by Congress. Neither side got http://youtu.be/zvtQZvU2upU everything they wanted in the tussle over  Increases tax credit program funding to  Anastacia’s “Stupid little things” the nearly 200,000 acres of forbidding $330 million per fiscal year; extended found the right location at El Mirage Johnson Valley -- a place of rugged for 5 years beauty that off-roaders say is virtually Dry Lake  Expands eligibility to big-budget http://youtu.be/x67trYfuzV0 without peer for their sport. The Marines say the same about their training needs. feature films, 1-hr TV series (for any  Papa Roach’s “Face Everything distribution outlet) and TV pilots And Rise” shot in the Community of As included in the 2014 defense bill signed by President Obama, approximately  Eliminates budget caps for studio and Trona independent films http://youtu.be/g9z4DWB7Iy8 43,000 acres of Johnson Valley will be for recreational use only, 79,000 acres  Replaces current lottery with a ranking Student Production: 19 film school will be for the Marine Corps, and 53,000 system based on jobs and other projects discovered the High Desert acres will be shared between the off- criteria region. Some of the larger film schools roaders and the Marines.” that used our region were Chapman  Provides for multiple allocation University, University of California The Inland Empire Film Commission periods throughout the year is not certain at this time how these Irvine, New York Film Academy, Art continued on page 4 Center College of Design, Loyola decisions will impact filming. Marymount University and Columbia College. Johnson Valley Subregion Off-Highway Vehicle Route Supplement* Documentaries, Short films, Web B u r e a u o f L a n d M a n a g e m e n t - C a l i f o r n i a

Open to All Vehicles Land Management Agency West Mojave Subregion Bureau of Land Management US Forest Service Open OHV Recreation Area National Park Service Series: 51 other productions selected 5 6 84 Federal Wilderness Management Military NR Bureau of Land Management State US Forest Service Other Government National Parks Service Private 0 Indian Trust Lands 842 BLM Wilderness Study Areas JV N varied locations in the High Desert R Johnson 8 4 0 N e w b e r r y / R o d m a n 6 Valllley OHV 0 0.75 1.5 3 S u b r e g ii o n Miles ¹ Recreatiion Area

5 6 4 8 R such as a market in Trona, the Barstow N The Bureau of Land Management makes no representations or warranties regarding the accuracy or completeness of this map. The map is merely representational, it and the data from which it was derived are not binding on the Bureau and may be revised at any time in the future. The Bureau of Land Management shall not be liable under any circumstanes for any direct, indirect, special, incidental or consequential damages with respect to any claim by any user or any third party on account of or arising from the use of this map or the data from which it was derived. Hospital, as well as various locations 5 6 4 8 N R R N 8 4 0 0 in Newberry Springs and Daggett. O r d M o u n t a ii n s However, 38 of the productions were shot S u b r e g ii o n on land managed by the Barstow Bureau of Land Management which includes El ck o R p am C E x c ll u s ii v e M ii ll ii t a r y U s e Mirage Dry Lake, Johnson Valley and A r e a J o h n s o n V a l l e y O H V R e c r e a t i o n A r e a S t o d d a r d the Dumont Dunes. V a ll ll e y S u b r e g ii o n

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R a t t ll e s n a k e C a n y o n etc., and has an audience of over 25,000 S u b r e g ii o n *This map provides updated off-highway vehicle information, as of August 2011, and is intended to accompany and be used people attending. We want to thank the with other BLM maps that reference the route network. W o n d e r V a ll ll e y Barstow Bureau of Land Management S u b r e g ii o n The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 4 High Desert Report An economic overview How does the Inland Empire Film Commission make it so easy? Continued

Additional 5% Credit Uplift New Selection Criteria are looking into expanding their internet (Maximum credit = 25%) exposure in hopes of being available to Productions will be ranked from highest assist more productions as they come  Filming outside the Los Angeles zone to lowest based upon a jobs ratio and into the region. The alliance has also + 5% other criteria against “like” projects (TV changed their monthly meetings to the ranked against TV, indie projects against 2nd Thursday of each month at 6:30 p.m.  Music scoring/music tracking indie, etc.). The CA Film Commission recording expenditures + 5% at the Marriot Courtyard in Hesperia. If will award tax credits to those productions you are interested in attending to find out  Visual effects expenditures + 5% in each category with the highest ranking. more about the alliance, or if you are a The new program provides four separate film professional living in the High Desert Eligible Productions funding “pots” for these categories : and would like to network with other TV series and TV pilots / independent  Feature Films: $1 million minimum professionals, please feel free to come. projects / non-indie feature films / and Please RSVP to info@filminlandempire. budget; while there is no maximum relocating TV series. budget cap, credit allocation applies com so we can save you a seat. Menu only to the first $100 million in Key Dates will be available for those of you who qualified expenditures would enjoy dining during the meeting. Final Lottery – Original tax credit  Movies-of-the-Week and Miniseries: program eligibility – APRIL 2015 $500,000 minimum budget  Productions may not begin principal  New Television Series for any photography before July 1, 2015 distribution outlet: $1 million minimum budget per episode (at New Program: First application period least 40 minutes per episode, scripted - May 2015 (TV only) / Summer 2015 only) (feature films)  TV Pilots: $1 million minimum  Projects selected by new ranking budget system  Television Series, without regard to  Productions may not begin principal episode length, that filmed their prior photography before July 1, 2015 season outside California; $1 million Courtesy of the California Film The Inland Empire Film Commission minimum budget Commission wants to take this opportunity to thank Phyllis Overall for her years as Chairman  Independent Films: $1 million High Desert Film Alliance of the High Desert Film Alliance. Her minimum budget; while there is no dedication and energy for film production budget cap, credits apply only to The High Desert Film Alliance, which is in the High Desert is unequaled and she the first $10 million of qualified active and meets monthly in the region, will be missed. expenditures (only independent has new Co-Chairs – Joshua and Tiffany projects may sell their tax credits) Addante. With this new leadership, they

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 5 An economic overview Transportation Improvements Continue in the High Desert By: Joy Sepulveda—Public Information Officer, Caltrans

Since 2012, Caltrans  Completion/under construction 10 of portion of State Route 58 (SR-58) from State of California • Department of Transportation has been actively a two-lane conventional highway to a ______17 bridges working to improve four-lane expressway extending from the transportation With so much work happening at once, approximately 2.4 miles west of Hidden infrastructure in the the Devore Interchange Project team is River Road to approximately 0.7 mile  committed to providing superior com- High Desert. The east of Lenwood Road, near the unin- growth of the region, as well as the result- munication. To that end, communica- corporated community of Hinkley in 13-112 tion and collaboration with emergency Today's Date: May 8, 2013 ing congestion has made improvements San Bernardino County. a priority for the department. Commut- responders continues and is considered District: 8 – San Bernardino ers and tourists are using the routes and a high priority. Additionally, construc- The project will include construction Contact: Terri Kasinga arterials more and more in their travels. tion zone staging is designed to provide of two interchanges on the widened Phone: (909) 383-4646 (work) (951) 232-4268 (cell) In fact, more than one million vehicles access to emergency responders (par- and realigned portion of SR-58; one at travel through the Devore Interchange ticularly fire services and CHP). The Hinkley Road and the other at Lenwood FOR IMMEDIATE RELEASE each week, which makes it the most project team is also committed to pro- Road. All entrance ramps (westbound significant chokepoint on Interstate 15 viding safe access to motorists traveling and eastbound) will have two lanes through the project area. at the local road and will transition to (I-15) in San Bernardino County with traffic queues extending south for five a single lane prior to merging onto the CALIFORNIA TRANSPORTATION COMMISSION APPROVES NEARLY $1 BILLION Currently, the project is estimated to be expressway. All exit ramps will have IN NEW CONSTRUCTION PROJECTS TO IMPROVE TRANSPORTATmilesION during AND the late afternoon/evening complete in late 2016. rush hour. three-way stops at the exit ramp inter- DRIVE ECONOMIC GROWTH I-15 Cajon Pass Pavement Rehabili- sections with the local road. Americans While no major projects were complet- tation Project with Disabilities Act (ADA) compliant San Bernardino – The state’s vast transportation system received a major infusioned in of 2014, cash two projects continued full curb ramps will be included. today, as the California Transportation Commission (CTC) allocated $878 millionsteam in funding to deliver to significant changes to The I-15 Cajon Pass Pavement Rehabil- 114 projects that will support job growth, alleviate traffic delays, and repair agingthe roads transportation and system. In addition, itation Project began last spring. As a The project includes access to non- bridges. two projects are planned for State Route strictly pavement rehabilitation project, motorized transportation modes (e.g., 58 (SR-58) west of Barstow to provide it will resurface and restore the pave- pedestrian/bikes/equestrian) by provid- “The benefits these projects bring are a huge boon to our economy,” said Caltransenhanced Director connectivity from the High ment between Kenwood Avenue and ing six foot wide sidewalks, as well as Malcolm Dougherty, “This investment in our transportation system creates jobs andDesert improves to the Kern County line. the Hesperia Overhead, which will pro- standard eight foot shoulders across the the quality of life for all Californians.” vide approximately a 40 year life to the two overcrossing bridges at Lenwood Devore Interchange Project pavement through the Cajon Pass. and Hinkley Roads. A short length of the existing SR-58 at the east end of the The allocations include $476 million from Proposition 1B, a 2006 voter-approvedThe transportation I-15/I-215 Devore Interchange Proj- So far the project has replaced the pave- project is proposed to be realigned to tie bond. In total, nearly $15.5 billion in Proposition 1B funds have been put to work ect,statewide. which began in November 2012, ment in 13 lane miles on I-15, as well in to the Lenwood Road westbound en- will add a truck by-pass lane, add an ad- as reconstructed 33 miles of shoulders. trance and exit ramps. The widened and “This billion-dollar investment helps preserve California’s great infrastructure of theditional past laneand input each direction, bring the Most significant is the completion of the realigned expressway is planned to be thousands of Californian’s to work building something new,” said Brian Kelly, Actinginterchange Secretary up toof operational standards, northbound and southbound lanes from on a fill section (elevated sections of a the Business, Transportation & Housing Agency. “These investments in preservationas well and as address the arterial highways SR-138 to Oak Hill. roadway). All locations with large ver- innovation are absolutely critical to California’s economy: In 2010, traffic congestionnetwork caused deficiencies—specifically 95 the tical surfaces (i.e., retaining walls and million hours of delay, wasting fuel and squandering productive, economic activity.”reconnection of Route 66 (Cajon Bou- The project currently has another 28 bridge structures) will include aesthetic/ levard). lane miles to replace and 15 miles of Highlights of the funding allocations include: shoulder to reconstruct. It is estimated architectural treatment to prevent graf- To date, the project has achieved several to be complete in late 2015. fiti. major milestones and is 50% complete. City of Riverside/Riverside County Transportation Commission (RCTC) – Construct a four The project was awarded to Skanska The milestones include: As with the Devore Interchange Proj- lane grade separation for railroad lines at Riverside Avenue ($12.1 million – Prop 1B/TCIF and is expected to begin construction in funds). ect, communication is key for the Cajon  Opening of the new southbound I-15 Pass Project team. In addition to com- June 2015.

Kenwood Avenue on and off-ramps municating with emergency respond- San Bernardino County – This project will provide a multipurpose facility that will protect SR-58 Kramer Junction Project  Opening of the new Devore Road ers, information is also shared utilizing California’s transportation infrastructure and promote interstate commerce. It will construct a Bridge many formats. This project proposes to widen the road- commercial vehicle facility on I-15 near Wheaton Springs (Joint Point of Entry (JPOE) at  way to accommodate four lanes of ex- Nevada State Line). Eventually a facility will be constructed to house the new Agriculture Opening of the new I-15 inside lanes SR-58 Hinkley Expressway Project south of the I-15/I-215 interchange pressway on SR-58 in the County of San Inspection Station once funding is approved ($36.8 million – Prop 1B/SHOPP funds). Bernardino near the Kern County line to  Completion of 10 of 30 walls Caltrans plans to widen and realign a continued on page 6 MORE The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected]

6 High Desert Report An economic overview Most High Desert Home Values Trending Up Transportation By Bob Dutton, Assessor-Recorder-County Clerk, San Bernardino County Improvements... Continued As the newly elected Assessor for San To understand the current trend, we can 7.5 miles east of US Highway 395. This Bernardino County, I am very interested look at what has occurred in assessed val- project involves the realignment of the in monitoring and taking action to stimu- ue over the last three years, 2012 through roadway and will provide for a grade late economic development in the region. 2014. As shown in Figure 1 (Residential separation for the railroad crossing. The One of the key indicators of the regional Average Assessed Value), all of the in- project will construct new pavement and growth is the value of the various prop- corporated cities except Barstow have widen the median, as well as improve erty types within the County. experienced positive growth in assessed geometrics to accommodate the Surface Over the last several years, dating back value for residential properties: Transportation Assistance Act (STAA) to 2008, there have been some very dra-  Adelanto: 14.41% trucks. matic changes in assessed property val-  Apple Valley: 11.50% ue. Before we discuss property value, it The purpose of the project is to accom- is important to distinguish the difference  Barstow: (4.93%) modate increased volumes of oversized between market and assessed property  Hesperia: 11.80% vehicles. The project will reduce traffic value. congestion, improve traffic safety, - re  Victorville: 12.67% Market value: The lowest price a sell- duce accident rates, improve operation- Of the unincorporated areas, some of the er would be willing to receive while at al efficiency by separating slow-moving residential properties have realized slight the same time the highest price a buyer vehicles, improve reliability of goods growth and others have declined in as- would be willing to accept on an open movement, reduce people/goods move- sessed value: and competitive market. ment conflicts and extend the life of the  Lucerne Valley: 1.41% Assessed value: Value utilized by the As- pavement. sessor as the basis for taxation of prop-  Pinon Hills/Phelan: 6.89% The project is currently in the environ- erty. In California this is constrained by  Wrightwood: 6.82% mental document phase and is estimated Proposition 13 enacted in 1978.  Helendale: 4.81% to be advertised for bid in December In the 2007-2008 timeframe, properties 2016. within San Bernardino County reached a  Hinkley: (47.75%) peak point. However, with the down turn  Yermo/Daggett: (5.29%) The four projects mentioned above will greatly transform the transportation in- in the economy and the resulting reces-  Newberry Springs: (5.18%) sion, many properties had a dramatic re- frastructure of the High Desert. Caltrans duction in value. Properties located in the For commercial properties (e.g., stores) is proud to be able to deliver quality High Desert area followed this same pat- in the incorporated cities, there is mini- projects that will enhance the lives of tern. This region includes the incorporat- mal growth, with the majority realizing the traveling public. ed cities of Adelanto, Apple Valley, Bar- a decline in average assessed value as stow, Hesperia, and Victorville, as well shown in Figure 2 (Commercial Average as the unincorporated areas of Lucerne Assessed Value): Valley, Pinon Hills/Phelan, Wrightwood,  Adelanto: (6.99%) Helendale, Hinkley, Yermo/Daggett and  Apple Val- Newberry Springs. ley: (2.32%) When looking at the difference in all High  B a r s t o w : Proud to be a part Desert secured property from the peak (2.73%) in 2008 until the low in 2012, there was of the an overall decrease of 35% in assessed  Hesperia: High Desert Community value. The majority of the reduction was 5.27% felt within residential property with a de-  Victorville: crease of 48.5%. This accounts for 93% 3.21% (by number of properties) of all property. Similarly, the Commercial, industrial and agricultural MITSUBISHI CEMENT CORPORATION property remained relatively the same unincorporat- during this time frame with only slight ed areas have 5808 STATE HIGHWAY 18 predominately LUCERNE VALLEY, CA 92356-9691 fluctuation in the assessed value. (760) 248-7373 FAX: (760) 248-9002 continued on page 7

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 7 An economic overview Most High Desert Home Values Trending Up Continued seen a decrease in the commercial as- sessed average value:  Lucerne Valley: 6.46%  Pinon Hills/Phelan: (0.22%)  Wrightwood: (1.17%)  Helendale: (18.63%)  Hinkley: (33.41%)  Yermo/Daggett: (0.43%)  Newberry Springs: 1.71% The last area of interest is the industrial properties (e.g., warehouses, manufac- turing, etc.). As shown in Figure 3 (In- dustrial Average Assessed Value, the values for the incorporated cities have stayed primarily the same or had a slight decrease: Figure 1

 Adelanto: 6.76% Of the unincorporated areas, some of the residential properties have realized slight growth and others  Apple Valley: (0.06%) have declined in assessed value: • Lucerne Valley: 1.41%  Barstow: 3.64% • Pinon Hills/Phelan: 6.89%  Hesperia: 4.62% • Wrightwood: 6.82% • Helendale: 4.81%  Victorville: (3.45%) • Hinkley: (47.75%) These trends are also seen in the unincor- • Yermo/Daggett: (5.29%) porated areas as well: • Newberry Springs: (5.18%)

 Lucerne Valley: (1.51%)  Pinon Hills/Phelan: (4.01%) For commercial properties (e.g., stores) in the incorporated cities, there is minimal growth with the  Wrightwood: 2.47% majority realizing a decline in average assessed value as shown in Figure 2 (Commercial Average Assessed Value):  Helendale: (13.22%) • Adelanto: (6.99%)  Hinkley: (4.90%) • Apple Valley: (2.32%) • Barstow: (2.73%)  Yermo/Daggett: (8.02%) Figure 2 • Hesperia: 5.27%  Newberry Springs: (5.35%) Similarly,• Victorville: the unincorporated 3.21% areas have predominately seen a decrease in the commercial assessed average value: In summary the outlook for residential • Lucerne Valley: 6.46% property has been positive and shows • Pinon Hills/Phelan: (0.22%) strong growth, but we are still lagging in • Wrightwood: (1.17%) commercial and industrial properties. I • Helendale: (18.63%) have a strong interest in working toward • Hinkley: (33.41%) economic growth in the High Desert • Yermo/Daggett: (0.43%) region, as well as throughout all of San • Newberry Springs: 1.71%

Bernardino County. If we can stimulate The last area of interest is the industrial properties (e.g., warehouses, manufacturing, etc.). As shown in development in the commercial and in- Figure 3 (Industrial Average Assessed Value, the values for the incorporated cities have stayed primarily dustrial properties, it will in turn create the same or had a slight decrease: additional jobs and provide for even • Adelanto: 6.76% stronger future growth for the residential • Apple Valley: (0.06%) property values. • Barstow: 3.64% • Hesperia: 4.62%

• Victorville: (3.45%) Figure 3 The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • Thesewww.TheBradcoCompanies.com trends are also seen in the unincorporated • email: [email protected] as well: • Lucerne Valley: (1.51%) • Pinon Hills/Phelan: (4.01%) • Wrightwood: 2.47% • Helendale: (13.22%) • Hinkley: (4.90%) • Yermo/Daggett: (8.02%) • Newberry Springs: (5.35%)

In summary, the outlook for residential property has been positive and shows strong growth but we are still lagging in commercial and industrial properties. I have a strong interest in working toward economic growth in the High Desert region as well as throughout all of San Bernardino County. If we can stimulate development in the commercial and industrial properties it will in turn create additional jobs and provide for even stronger future growth for the residential property values. 8 High Desert Report An economic overview Hesperia’s Tapestry Master-Planned Community Will Be a Jewel of the High Desert By the Tapestry Development Team Nearly 25 years the “Mojave River Basin”. The project their first homes. Tapestry will be built after first being lies north of the 138 and 173 Highways, with active families in mind. Walkabil- set into the plans east of Arrowhead Lake Rd, south of ity is a major feature of the Tapestry at the founding of Ranchero Road, and extends west to the Specific Plan, with 161 miles of trails the City of Hesperia, a master-planned Hesperia city limits, about 2 miles short and paths built throughout the commu- community is finally going to be a re- of Summit Valley Rd. When it is built nity. ality. The former Rancho Las Flores out, in the next few decades, the Tap- In addition to walkability, parks and Specific Plan is now the Tapestry mas- estry community will feature 19,311 open space will be a major component ter-planned community. The project is homes located on 9,365.5 acres, 4,000 of living in this community. Not only being developed by Terra Verde Group, acres (42%) of which will be preserved will there be a mix of neighborhood and which has a successful history of build- for open space and conservation. pocket parks placed throughout each ing master-planned communities in Tapestry will be a very high quality neighborhood, but a major sports park Southern California and throughout the community that will enhance the qual- is planned in the 6th phase of develop- United States. ity of life in Hesperia. It is our hope ment. Utilizing their experience in pro- Even though the property is already that as this project moves forward, Hes- viding excellent amenities in master- entitled for over 15,000 homes and peria residents will come to see it as an planned communities throughout the is part of the City’s General Plan, the asset to the community as they enjoy United States, the development team project will face additional review due the open space and parks that will be an plans to include recreational opportuni- to updates in its plans. In the next few essential part of life in Tapestry. ties for all the residents of Tapestry. months, Tapestry will go before the Designed for Quality Living At the center of the project will be a Hesperia Planning Commission and Tapestry will provide a premier living premier town center to feature upscale City Council for approval of a new En- restaurants, retail, grocery stores and vironmental Impact Report (EIR), Spe- experience by promoting upscale archi- tectural design and a special emphasis other amenities. The Tapestry town cific Plan, and Phase I Tentative Tract center will exist not only as a benefit to Map. The project team has already held on quality living. The goal is to appeal several public meetings and informa- to younger families looking to purchase continued on page 9 tional sessions and expects to do more in the lead-up to approval. The Tapestry master-planned communi- ty is located at the heart of what Hespe- ria Mayor Eric Schmidt and others dub

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 9 An economic overview Hesperia’s Tapestry Master-Planned Community Will Be a Jewel of the High Desert Continued Tapestry, but will be built as a destina- xeriscaping, recycled water will be used the north, that will help reduce conges- tion center for the entire Mojave River for irrigation purposes throughout the tion by providing millions of dollars in Basin. project to help reduce water consump- vital road expansions, new signals and Respecting and Protecting the Local tion. Every home within Tapestry will other improvements. The developers Environment be required to provide rooftop solar ca- have been in talks with both the City pability, making it the first community of Hesperia and Caltrans to find solu- One hallmark of life in Hesperia is liv- of its kind in the High Desert to achieve tions to congestion on Ranchero Rd and ing in a beautiful natural environment, the level of sustainability that is so im- Highway 138, respectively. and Tapestry will be designed to pro- portant for future generations. All of the costs of developing the Tap- Enough Water for 20 estry project area will be carried by the Years project developer. The City of Hespe- In 2011, the city ap- ria is developing a phasing schedule for proved an Urban Wa- this work, which will be specifically ar- ter Management Plan ticulated in the Tapestry Development (UWMP) that detailed Agreement between the city and the the city’s water needs, project developers. uses, and supply & Benefits of Long Term Land Use demand, including Planning its estimated popula- The project will be built in 10 phases, tion growth and water with the first phase of approximately needs for the next 25 2,300 homes beginning in 2016. Since years. A Water Sup- Tapestry is a master-planned communi- ply Assessment was ty, it provides the City of Hesperia with prepared in 2014 for an opportunity to plan long-term and the Tapestry project, create a community that will sustain it- tect that special quality of life. Tapestry by the same team who compiled that self and serve as a catalyst for solutions preserves the Victor Valley’s unique 2011 UWMP, which demonstrated wa- to regional issues. Individual develop- desert environment in its plans and de- ter availability exists today for nearly ment projects cannot address traffic, sign guidelines. Hesperia residents will 20 years. Tapestry will build all of the water supply, wastewater treatment or be able to enjoy thousands of acres of water supply and storage systems and continued on page 10 new parks, pedestrian and equestrian give these improve- trails, paths and open spaces. The proj- ments to the City. ect team has also worked with the San Improving Mobil- Manuel Band of Mission Indians to help ity for Residents preserve areas of importance to Native Americans, and also has plans for an Traffic has been a interpretive center to honor the history concern among resi- and culture of this wonderful valley. dents adjacent to the project. Tapestry, in Tapestry is a state-of-the-art commu- its planning is de- nity. It is implementing energy and wa- signed to help alle- ter saving techniques that could not be viate problems that done on a smaller project. Water-wise currently exist. Tap- planting techniques and state-of-the-art estry will include xeriscaping will be employed through- multiple access out the community. In addition to points, especially to

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 10 High Desert Report An economic overview Hesperia’s Tapestry Master-Planned Community Will Be a Jewel of the High Desert Continued other such improvements. They pay and civic facilities (like a post office, try, Hesperia will become a preferred their development impact fees, but it is library branch, fire and police station, location for the continued job growth some time before enough fees are accu- etc). These vital parts of infrastructure that is taking place in Southern Califor- mulated to actually construct improve- could only be done within the scope of nia and that Tapestry will be a vibrant ments. a master-planned community like Tap- community for many years to come. The Specific Plan process allows other estry. public use issues, such as parks, schools Why Now is the Time for Tapestry and public safety, to be adequately an- to Succeed ticipated and addressed. The parks dis- Why now? Because the market is right trict can identify their future park and for development in the High Desert. recreation needs and identify specific Prices in the LA basin and in the ar- parcels where these improvements can eas down the hill have reached levels be constructed and can enter into financ- that put home owner- ing plans for these improvements. The ship out of reach for  same holds true for schools and public young families. The safety. The process also allows the city population continues to exert more direct control over design to grow and the High than it can on individual projects. Desert is the logical The Tapestry Specific Plan includes place to go to find a plans for two mixed-use town centers, high-quality, afford- Workforce Investment Board eight elementary schools, two middle able place to live. We schools, and two high schools. The firmly believe that if project also includes multiple public we can build Tapes- • On-the-Job Training Funds • Business Consulting and Workshops • Human Resources Hotline • Staff Recruitment • Layoff Prevention Services • Labor Market Information • Advertise Job Opportunities

Our Job is to Power Up Your Future... Call us today at (800) 451-JOBS (5627) www.sbcountywib.com

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James C. Ramos, Chair, Third District supervisor | RobeRT a. LovingooD, vice Chair, First District supervisor JaniCe RuTheRFoRD, second District supervisor CuRT hagman, Fourth District supervisor | Josie gonzaLes, Fifth District supervisor gRegoRy C. DeveReaux, Chief executive officer | sanDRa haRmsen, executive Director, Workforce investment board

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 11 An economic overview Momentum is Ours Science: A Key to Water By Larry Vaupel, Economic Development Agency Administrator, Management San Bernardino County By Mojave Water Agency Momentum. Defined by force or speed from the Governor’s Office of Business C a l i f o r n i a ’ s of movement. Our County is experienc- and Economic Development (GO-Biz) ongoing drought ing momentum again. It is a speed of and approved by the California Com- is just one factor positive movement that will benefit us petes Tax Credit (CCTC) committee. in a complex all. However, the challenge is to ensure The California Competes Tax Credit is equation of a this positive economic momentum is an income tax credit available to busi- changing water broad based, hitting all key aspects of nesses that want to come to California e n v i r o n m e n t . our region from healthcare to education or stay and grow in California. These With new state to business. five local businesses were among the g r o u n d w a t e r We have population momentum. Ac- 56 companies statewide chosen by the regulations, as cording to economist Joel Kotkin, Cen- Governor’s office. well as stricter conservation measures, sus Bureau data indicates that, from Education is meeting demand. Chaffey developing innovative and cost-effective 2007 to 2011, nearly 35,000 more resi- College was recently awarded nearly solutions will require more than funding. dents moved from Los Angeles County $15 million to create an advanced man- It will require solid science data that to the Inland Empire than moved in the ufacturing training center at California will create greater consensus to develop other direction. There was also a net Steel Industries in Fontana. According long-term solutions. movement of more than 9,000 from Or- to officials, the grant will provide a ma- The Mojave Water Agency’s second ange County and more than 4,000 net jor economic boost since an expected annual Water Summit turns the focus on migration from San Diego County. 3,000 students will be able to benefit “Science: The Key to Managing Water Healthcare is expanding. Loma Linda from the program over a four-year pe- in a Changing World.” The event will be University Medical Center recently an- riod, starting mid- 2015. held April 8 from 7:30 a.m. to 11:30 a.m. nounced plans for a new construction County government is innovating. We at the Hilton Garden Inn in Victorville. project that will provide a new building recognize that our role is to facilitate in- The event is sponsored by the Mojave to house the International Heart Insti- vestment and fuel the momentum. It is Water Agency and the Victor Valley tute and establish two state-of-the-art no small task that our County was rec- Chamber of Commerce. centers for imaging, gastrointestinal, ognized in 2014 with multiple awards The half-day program will feature the and pulmonary services, allowing for for its innovative programs from the Governor’s top groundwater leader, expansion of services and ease of access National Association of Counties and Gordon Burns, Undersecretary for the to accommodate the rapidly growing the California State Association of California Environmental Protection population of the Inland Empire. Counties. Agency. Burns was appointed by Brown in December 2011 and has been heavily Business is growing. The unemploy- On Wednesday, April 15, I encourage involved in water policy. He has been a ment rate in San Bernardino County you to join me at the State of the County leader on the Sustainable Groundwater dropped from 7.7 percent in November where more than 1,000 business, gov- to 7.0 percent in December of last year, ernment and community leaders will be Management Act—the Governor’s according to data released Jan. 23 by on site at the Citizens Business Bank recent landmark groundwater legislation the California Employment Develop- Arena in Ontario. We will share more of that will provide a framework for local ment Department (EDD). The county’s what is driving an era of momentum for entities to more effectively manage jobless rate had been one of the highest our region, as well as provide a forum groundwater resources. in the nation during the recession, but it for discussion and collaboration. We in- The program also will feature has decreased steadily in recent years. vite you to help build the momentum. presentations demonstrating the use Moreover, to further encourage greater Tickets are available at www.sbcounty- of sound science in developing Urban job growth, five companies within the advantage.com Water Management Plans that provide County of San Bernardino were award- critical data for future development. ed California Competes Tax Credits Additionally, the program will explore totaling nearly $5.5 million for the cre- the role of science in accurately assessing ation of 1,148 new jobs. The award is local water supplies and developing new continued on page 12 The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 12 High Desert Report An economic overview Housing the Future: Availability = Affordability Science: A Key to Water By Carlos Rodriguez, CEO of the BIA Management Baldy View Chapter Continued The Inland Empire has a severe housing National Association of Homebuilders programs for future growth. shortage, which if left unchecked showing that over the course of 15 years, The program includes a full buffet will continue to negatively impact a 100-unit housing project will lead to breakfast and costs $10 per person in the economy by limiting housing $13 million in economic growth and $4 addition to a processing fee. For more affordability, job creation and local tax million in additional tax revenues for information contact the Mojave Water revenues. the community. Unfortunately, many Agency at 760.946.7000. To register for cities and counties still regard housing On February 5, 2015, National the Water Summit, click here: https:// as a detriment instead of recognizing it Community Renaissance hosted a www.eventbrite.com/e/high-desert- as a critical economic asset. Symposium on the Affordability of water-summit-tickets-15715365080 Housing and published a study entitled “Housing is an economic catalyst, The Mojave Water Agency manages “Housing the Future: The Inland Empire and for Southern California, housing the region’s water resources for the as Southern California’s Indispensable in the Inland Empire is critical to the common benefit to assure stability in the Geography.” Participating in the region’s economic sustainability,” said sustained use for its citizens. It is one symposium were local elected officials, Steve Pontell, President of the National of 29 State Water Contractors entitled representatives from the California Community Renaissance. “We (Inland to receive State Water Project water Realtors Association, California Empire) have long been the place where Apartment Association and the the middle class could afford to live. As when available. The Agency’s territory Building Industry Association Southern that goes away, so will our employment encompasses 4,900 squares miles with a California, Baldy View Chapter (BIA). base.” population of 450,000. “We need a government that understands Rodriguez and Pontell both noted that that growth is important, that diversity California is 1 million housing units of employment is important, and that short of meeting the current population housing is important,” said Joel Kotkin, demand. Southern California researcher and author of the Housing the alone, needs an additional Future study. “We need to take care of 600,000 homes to meet the middle class, and the last place that’s the growing demand. With going to happen in Southern California limited housing availability Mojave Water Agency is using is the Inland Empire.” comes limited housing science and innovation to manage The Inland Empire is home to more affordability. the region’s water supply. than 4 million residents, many of In 2005, the Victor Valley whom chose the area for moderately pulled 6,408 residential priced homes. However, that dynamic permits, which attributed is quickly changing due to burdensome for over 43% of the total regulation that deters the development permits countywide. In Together, we’re securing water for today and tomorrow… of new residential units. Many middle 2014, the Victor Valley’s www.mojavewater.org class families are being priced out of the market due to a drop in new continued on page 13 development which has lowered the volume of housing stock below the ISU Insurance Services Ryan McEachron ARMAC Agency President/CEO growing market demand. Lic. # 0C26179 “There is a belief that housing is a drain on the local economy. Nothing could One Responsible Source™ For ALL Your Insurance Needs be further from the truth,” said Carlos Rodriguez, BIA Baldy View Chapter CEO. 17177 Yuma Street Phone: (760) 241-7900 Victorville, CA 92395 www.isu-armac.com Rodriguez cited research from the

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 13 An economic overview Change to California Housing the Future: Availability = Affordability Revenue and Tax Code Continued By Brad Golden Effective 271 permits accounted for only 14% and Housing Collaborative Element January 1, of the total activity in the county. Group. We commend Supervisor 2015, anyone Likewise, construction industry jobs Robert Lovingood, the County Board submitting countywide declined 42%, with almost of Supervisors and the San Bernardino a document 19,000 construction-related jobs lost County Associated Governments for recording since 2006. In that same time period, (SANBAG) for leading this timely can no longer unemployment in the Victor Valley has effort. The goal of the element group is to “hide” its increased by 54%. improve the IE’s business environment associated The “Housing the Future” report reveals and help California families achieve the transfer tax several enlightening statistics about the American Dream of Homeownership. from the public Inland Empire’s market potential. The BIA recently published a Best records by use of a separately attached IE has the second highest concentration Recommended Practices Brochure to declaration. of children ages 5-14 in the nation and improve the efficiency in permitting Formerly, Section 11932 of the the most significant increase in Bachelor and creating a more business friendly California Revenue and Taxation Code Degrees and College-educated residents environment at the local municipal provided an option permitting that the in Southern California. level. The brochure outlines five best amount of transfer tax due for a taxable The study also reveals that California practices to: 1) Increase Customer document not be disclosed on public has the highest development impact fees Service, 2) Have a Well-Defined record but, rather, declared in a separate per unit in the Nation (approximately Pre-Submittal Program, 3) Improve paper attached thereto when presented $32,000/unit). That’s twice as high as Information and Communications, 4) for recording. Pursuant to Assembly Bill the next two highest states, Maryland Engage Stakeholder in Policy-Making 1888 of 2014 (Chapter 20, Statutes of ($16,000/unit) and Oregon ($15,000/ Decisions and 5) Maintain Fees at 2014), effective January 1, 2015, Section unit). A shortage in housing stock is also Reasonable Levels. 11932 is amended to repeal this option, directly related to unemployment rates, For more information and to find links to thereby requiring that all documentary home affordability and a broad tax/ the “BIA Best Recommended Practices transfer tax declarations thereafter consumer base. This begs the question: Brochure” and the “Housing the Future” must be included in taxable documents How will we meet the employment and study please, visit www.BIABuild.com and become part of the public record. housing needs of the future if housing -Carlos Rodriguez serves as CEO of the Assembly Bill 1888 requires no change availability continues to be limited by BIA, Baldy View Chapter, a non-profit in the form or content of the presently increased regulation and dwindling trade association advocating to help used transfer tax declaration. incentives? meet the housing and building needs in Assembly Bill 1888 was sponsored by The BIA suggests that positive policy Southern California. the Appraisal Institute, an association reform can be made through the of real estate appraisers, for the purpose San Bernardino Countywide Vision of obtaining ready access to transfer tax information and provide much- needed assistance to appraisers. In the past, it was possible to hide this tax amount by simply requesting that the taxes be marked “Filed” thus hiding the transfer tax, and therefore the value of the property declared to the County taxing officials. The Appraisal Institute made contact with every county in the state, and received positive response

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The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 14 High Desert Report An economic overview High Desert Detention Center Change to California By Sheriff John McMahon, County of San Bernardino Revenue and Tax Code Sheriff’s Department Continued The expansion of the San Bernardino their assigned area to provide proactive to the proposed legislation from every County Sheriff’s Department’s High patrolling. Inmates with common county with the exception of one. The Desert Detention Center continues in conditions like high blood pressure or bill, carried by Assembly member Phil Adelanto, with a current total of 2,074 diabetes are now routinely monitored Ting (D-San Francisco), was passed beds, 1,368 of them newly added. and treated “in house.” overwhelmingly in the Assembly and Sitting on seven and a half acres, the State Senate. The Governor then signed hi-tech facility’s enlargement has a Funding for the expansion of HDDC it into law. has been provided by state monies total price tag of $150 million, with While some investors and speculators designated for the construction a proportionately hefty contribution may be disappointed with this new predicted to the tax rolls of Adelanto, associated with enlarging local transparency, it will definitely create Victorville, Hesperia, and other detention facilities. The expansion better data points for the overall surrounding communities. was made necessary by AB 109, a market. law which shifted the responsibility of At the present time there are 199 housing some state prisoners from the Brad Golden is a Major Accounts employees at HDDC, with a payroll state to the county in order to comply Manager for Chicago Title in Southern of $7.5 million. When the facility is with a federal mandate regarding California. He coordinates commercial and subdivision transactions throughout fully staffed, however, employees will prison overcrowding. Governor the region, as well as nationally. He can number approximately 325. Complete Brown signed the bill into law in 2011, be reached at [email protected] or build-out and full staffing is expected a move that quickly became known as 805-218-8879. sometime in the 2016/2017 fiscal year. “realignment.” As a result, sheriff’s departments throughout California Between February of 2014 and January have been required to house inmates of 2015, the High Desert Detention who normally would have been sent Center witnessed 14,802 bookings. to state prisons. Design for HDDC, The average daily inmate population is however, began in April of 2006, 918 persons. shortly after the opening of the original HDDC continues to provide a Adelanto Detention Center. tremendous measure of convenience Other technological highpoints in the for both the San Bernardino County design of HDDC include a hi-tech Sheriff’s Department, and for inmates video surveillance system and “video as well, because the presence of the visitation,” which allows inmates a facility eliminates the need for deputies greater chance to visit with to travel to Rancho Cucamonga to book family members without all inmates with medical conditions. Such the intra-facility movement of technological advancements at HDDC the past: less inmate movement as specially coated walls to reduce the means a safer detention spread of infectious diseases, and an center. Also, a wide variety onsite dental facility equipped with of rehabilitative programs and two stations and an X-ray suite, make it services are available at HDDC, possible to reduce costs associated with which can now be conducted inmate health care, and to drastically in classes directly within the cut down on prisoner travel time and housing units, cutting down, deputy man-hours spent in transit. again, on inmate movement. Instead of transporting sick inmates down the hill, deputies are now able to stay in the high desert and get back to

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 15 An economic overview 2014 Report County Residents Receiving Aid Distribution by Cities By Linda Haugan, Assistant Executive Officer, Human Services

County Residents Receiving Aid benefits. E X H I B I T I E X H I B I T I Distribution By Cities Exhibit VI displays information CITIES' CASH BENEFIT POPULATION (Based on data as of January 1, 2014) on unincorporated areas by ZIP RANKED BY PERCENTAGE OF POPULATION CITIES' CASH BENEFIT POPULATION January 1, 2014 This report contains information code.RANKED Some ZIPBY PERCENTAGE codes that are OF POPULATION concerning distribution of CalWORKs shared with otherJanuary counties 1, 2014 are not included. Information on % (cash benefits), CalFresh (nutrition OF POPULATON assistance), and Medi-Cal in the cities cells with less than 15 persons % or amounts less than $3000OF is POPULATONCITY ON CASH AID and communities in San Bernardino CITY ON CASH AID County. The benefit populations refer not included. Adelanto 13.6% Barstow 13.3% to persons, not families. The number AdelantoExhibit VII displays the 13.6% San Bernardino 11.9% Barstow 13.3% of persons receiving CalWORKs amount of child-care funds Needles 11.1% San Bernardino 11.9% has remained steady while CalFresh paid to providers in order to Victorville 9.7% Needles 11.1% Hesperia 7.9% increased 4.2%. Receipt of Medi- Victorvilleassist those participating in 9.7% Apple Valley 7.4% Cal increased 20.0%. The increase in Hesperiaapproved Welfare to Work 7.9% Colton 7.2% Apple Valley 7.4% Medi-Cal is due to pre-enrollment for activities. The amounts are for Yucca Valley 6.8% Colton 7.2% the Affordable Care Act, which began the month of January 2014 and Rialto 6.4% Yucca Valley 6.8% Highland 5.0% October 1, 2013, and the expansion of Rialtoare aggregated by location of 6.4% Fontana 4.9% Medi-Cal. Highlandthe family receiving assistance. 5.0% Ontario 3.9% Fontana 4.9% Montclair 3.8% Exhibit I ranks the cities with cash OntarioPlease direct any requests 3.9% Big Bear Lake 3.8% benefits as a percentage of the general Montclairfor additional information 3.8% Twentynine Palms 3.1% Big Bear Lake 3.8% population. The ranking ranges from or questions about this Redlands 2.9% Twentynine Palms 3.1% a low of 0.7% to a high of 13.6%. report to: Brian Pickering, at Yucaipa 2.8% Redlands 2.9% Upland 2.7% Exhibit IA displays this information Yucaipa909.388.0168. 2.8% Loma Linda 2.5% graphically. Upland 2.7% E-mail: bpickering@hss. Unincorporated 2.3% Loma Linda 2.5% Grand Terrace 2.2% Exhibit II displays the financial value of Unincorporatedsbcounty.gov 2.3% Chino 2.1% assistance, which includes CalWORKs, Grand Terrace 2.2% Rancho Cucamonga 1.7% Chino Graphs continued on page 16. 2.1% CalFresh, and Medi-Cal, by assistance Chino Hills 0.7% category and by total for each city. For Rancho Cucamonga 1.7% Chino Hills 0.7% example, the annual financial value of CITIES' CASH BENEFIT POPULATION E x h i b i t I A RANKED BY PERCENTAGE OF POPULATION assistance in the City of San Bernardino January 1, 2014 is approximately $750 million. The value of assistance is based on statistics from CalWORKs and CalFresh benefit disbursement and the California Chino Hills Rancho Cucamonga Department of Health Care Services. Chino Grand Terrace Exhibit III displays the population Unincorporated Loma Linda receiving aid by program and in total by Upland Yucaipa city. Redlands Twentynine Palms Big Bear Lake Exhibit IV compares the receipt of cash Montclair Ontario benefits in January 2013 to January Fontana 2014. Highland Rialto Yucca Valley Exhibit V displays the total number of Colton Apple Valley persons receiving CalFresh benefits Hesperia Victorville by city. This information varies from Needles San Bernardino the totals listed in Exhibit III in that it Barstow includes persons receiving CalFresh Adelanto as a result of their eligibility for cash 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0%

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 16 High Desert Report An economic overview 2014 Report County Residents Receiving Aid Distribution by Cities Continued

VALUE OF WELFARE BY CITY E X H I B I T II WELFARE POPULATION STATISTICS BY CITY E X H I B I T III January 1, 2014 January 1, 2014

CASH CAL TOTAL ONLY CAL % CITY BENEFIT MEDI-CAL FRESH MONTHLY ANNUAL CASH FRESH & ONLY ONLY TOTAL GENERAL OF PEOPLE CITY BENEFIT* MEDI-CAL MEDI-CAL CALFRESH ON AID POP.** ON AID Adelanto $ 881,967 7,066,980 1,667,010 9,615,957 115,391,484 Apple Valley 1,041,646 9,328,800 2,187,280 12,557,726 150,692,712 Adelanto 4,406 6,023 4934 1846 17,209 32,511 52.9% Barstow 631,048 4,860,360 1,279,021 6,770,429 81,245,148 Apple Valley 5,227 7,850 7203 3096 23,376 70,755 33.0% Big Bear Lake 39,941 559,360 102,823 702,124 8,425,488 Barstow 3,103 4,407 3056 1770 12,336 23,292 53.0% Chino 348,986 6,105,120 898,298 7,352,404 88,228,848 Big Bear Lake 197 395 624 162 1,378 5,121 26.9% Chino Hills 99,556 2,675,360 277,155 3,052,071 36,624,852 Chino 1,722 3,742 7808 1471 14,743 81,747 18.0% Colton 779,732 8,844,420 2,031,250 11,655,402 139,864,824 Chino Hills 506 1,093 4217 524 6,340 76,131 8.3% Fontana 1,978,946 28,303,800 4,899,535 35,182,281 422,187,372 Colton 3,831 7,266 8130 3776 23,003 53,057 43.3% Grand Terrace 54,538 793,960 151,307 999,805 11,997,660 Fontana 9,901 19,346 32283 7837 69,367 202,177 34.3% Hesperia 1,433,311 14,993,240 3,403,954 19,830,505 237,966,060 Grand Terrace 266 598 862 298 2,024 12,285 16.5% Highland 560,444 5,910,540 1,217,398 7,688,382 92,260,584 Hesperia 7,253 12,628 12713 5416 38,010 91,506 41.5% Loma Linda 112,904 1,702,460 295,005 2,110,369 25,324,428 Highland 2,718 4,756 5375 1638 14,487 54,033 26.8% Montclair 290,729 4,757,780 707,703 5,756,212 69,074,544 Loma Linda 585 1,186 1930 451 4,152 23,614 17.6% Needles 100,277 781,080 209,307 1,090,664 13,087,968 Montclair 1,433 2,983 5927 1002 11,345 37,374 30.4% Needles 545 638 515 368 2,066 4,908 42.1% Ontario 1,315,788 21,274,080 3,719,259 26,309,127 315,709,524 Ontario 6,512 15,128 24608 6231 52,479 167,382 31.4% Rancho Cucamonga 581,362 10,355,520 1,772,504 12,709,386 152,512,632 Rancho Cucamonga 2,958 6,861 12693 3295 25,807 172,299 15.0% Redlands 417,170 5,459,280 1,199,487 7,075,937 84,911,244 Redlands 2,051 4,273 5544 2435 14,303 69,882 20.5% Rialto 1,299,272 15,191,960 3,048,458 19,539,690 234,476,280 Rialto 6,536 11,745 14745 4803 37,829 101,429 37.3% San Bernardino 5,164,935 45,671,100 11,055,762 61,891,797 742,701,564 San Bernardino 25,326 38,524 35435 16165 115,450 212,721 54.3% Twentynine Palms 165,350 1,460,040 380,026 2,005,416 24,064,992 Twentynine Palms 823 1,230 1121 799 3,973 26,576 15.0% Upland 406,691 5,937,220 1,027,184 7,371,095 88,453,140 Upland 2,032 4,167 6708 1638 14,545 75,147 19.4% Victorville 2,364,481 21,039,020 5,136,382 28,539,883 342,478,596 Victorville 11,678 18,117 15942 7921 53,658 120,590 44.5% Yucaipa 292,329 4,232,920 820,719 5,345,968 64,151,616 Yucaipa 1,487 3,246 4469 1576 10,778 52,654 20.5% Yucca Valley 284,446 3,059,000 726,440 4,069,886 48,838,632 Yucca Valley 1,437 2,738 2475 1211 7,861 21,053 37.3% Unincorporated 1,343,116 16,511,240 3,403,727 21,258,083 255,096,996 Unincorporated 6,712 12,936 16246 5829 41,723 297,425 14.0%

MONTHLY TOTAL $ 21,988,965 246,874,640 51,616,994 320,480,599 Annual Projection TOTAL 109,245 191,876 235,563 81,558 618,242 2,085,669 29.6% Average Monthly Cost Per Recipient $ 201.28 460.00* 136.96 3,845,767,188 * Most Cash Benefit recipients also receive CalFresh and Medi-Cal benefits * California Dept. of Health Care Services - May 2014 Medi-Cal Estimate ** California Dept. of Finance - E-5 City/County Population and Housing Estimates, 1/1/2014

CASH BENEFIT POPULATION STATISTICS BY CITY E X H I B I T IV CALFRESH POPULATION STATISTICS BY CITY E X H I B I T V January 2014 compared to January 2013 CASH BENEFIT POPULATION STATISTICS BY CITY E X H I B I T IV January 2014 compared to January 2013 January 2014 compared to January 2013

January 2014 January 2013 January 2014 January 2013 January 2014 January 2013 NUMBER % OF NUMBER % OF NUMBER % OF NUMBER % OF CITY OF PERSONS POPULATION OF PERSONS POPULATION NUMBER % OF NUMBER % OF CITY OF PERSONS POPULATION OF PERSONS POPULATION CITY OF PERSONS POPULATION OF PERSONS POPULATION Adelanto 4,406 13.6% 4,384 14.0% Adelanto 12,113 37.3% 11,540 36.9% Apple Valley 5,227 7.4% 5,519 7.8% Adelanto 4,406 13.6% 4,384 14.0% Apple Valley 15,944 22.5% 15,542 22.1% Barstow 3,103 13.3% 2,882 12.4% Apple Valley 5,227 7.4% 5,519 7.8% Barstow 9,121 39.2% 8,361 36.1% Big Bear Lake 197 3.8% 148 2.9% Barstow 3,103 13.3% 2,882 12.4% Big Bear Lake 739 14.4% 636 12.4% Chino 1,722 2.1% 1,835 2.3% Big Bear Lake 197 3.8% 148 2.9% Chino 6,796 8.3% 6,714 8.4% Chino Hills 506 0.7% 504 0.7% Chino 1,722 2.1% 1,835 2.3% Chino Hills 2,078 2.7% 1,996 2.6% Colton 3,831 7.2% 4,077 7.7% Colton 14,672 27.7% 14,355 27.1% Chino Hills 506 0.7% 504 0.7% Fontana 9,901 4.9% 9,841 4.9% Fontana 36,514 18.1% 35,647 17.7% Colton 3,831 7.2% 4,077 7.7% Grand Terrace 266 2.2% 265 2.2% Grand Terrace 1,132 9.2% 1,018 8.3% Fontana 9,901 4.9% 9,841 4.9% Hesperia 7,253 7.9% 7,085 7.8% Hesperia 24,976 27.3% 23,860 26.1% Grand Terrace 266 2.2% 265 2.2% Highland 2,718 5.0% 2,912 5.4% Highland 8,926 16.5% 8,795 16.3% Hesperia 7,253 7.9% 7,085 7.8% Loma Linda 585 2.5% 609 2.6% Loma Linda 2,195 9.3% 2,088 8.9% Highland 2,718 5.0% 2,912 5.4% Montclair 1,433 3.8% 1,461 3.9% Montclair 5,328 14.3% 5,145 13.8% Loma Linda 585 2.5% 609 2.6% Needles 545 11.1% 525 10.7% Needles 1,512 31.8% 1,288 26.2% Montclair 1,433 3.8% 1,461 3.9% Ontario 6,512 3.9% 6,954 4.2% Ontario 27,374 16.4% 26,733 16.0% Needles 545 11.1% 525 10.7% Rancho Cucamonga 2,958 1.7% 3,008 1.8% Rancho Cucamonga 12,911 7.5% 12,013 7.0% Ontario 6,512 3.9% 6,954 4.2% Redlands 2,051 2.9% 2,088 3.0% Redlands 8,613 12.3% 8,664 12.4% Rancho Cucamonga 2,958 1.7% 3,008 1.8% Rialto 6,536 6.4% 6,584 6.5% Rialto 22,714 22.4% 21,148 20.9% Redlands 2,051 2.9% 2,088 3.0% San Bernardino 25,326 11.9% 25,182 11.8% San Bernardino 79,038 37.2% 76,542 36.0% Rialto 6,536 6.4% 6,584 6.5% Twentynine Palms 823 3.1% 805 3.1% Twentynine Palms 2,792 10.5% 2,515 9.6% San Bernardino 25,326 11.9% 25,182 11.8% Upland 2,032 2.7% 1,965 2.6% Upland 7,702 10.2% 7,030 9.4% Twentynine Palms 823 3.1% 805 3.1% Victorville 11,678 9.7% 11,245 9.3% Victorville 37,182 30.8% 35,102 29.2% Upland 2,032 2.7% 1,965 2.6% Yucaipa 1,487 2.8% 1,421 2.7% Yucaipa 6,184 11.7% 5,512 10.5% Victorville 11,678 9.7% 11,245 9.3% Yucca Valley 1,437 6.8% 1,353 6.4% Yucca Valley 5,267 25.0% 4,779 22.7% Yucaipa 1,487 2.8% 1,421 2.7% Unincorporated 6,712 2.3% 6,404 2.2% Unincorporated 25,058 8.4% 24,067 8.1% Yucca Valley 1,437 6.8% 1,353 6.4% Unincorporated 6,712 2.3% 6,404 2.2% TOTALS 109,245 5.2% 109,056 5.3% TOTALS 376,881 18.1% 361,090 17.4% TOTALS 109,245 5.2% 109,056 5.3%

Unincorporated Welfare Population by Zip Code Exhibit VI January 1, 2014 Unincorporated Welfare Population by Zip Code Exhibit VI (cont.) January 1, 2014

Persons Value Persons Value

Cash Medi-Cal & Medi-Cal Cash ZIP Community Benefits CalFresh Only Only CalFresh Only Benefits Medi-Cal CalFresh Cash Medi-Cal & Medi-Cal Cash 92242 Earp 40 62 86 58 $8,757 $86,480 $19,861 ZIP Community Benefits CalFresh Only Only CalFresh Only Benefits Medi-Cal CalFresh 92252 Joshua Tree 471 915 853 376 $92,839 $1,029,940 $237,776 92256 Morongo Valley 137 299 288 138 $30,471 $333,040 $80,397 92371 Phelan 783 1354 1584 644 $149,648 $1,711,660 $367,236 92285 Landers 120 302 215 128 $24,205 $293,020 $78,866 92372 Pinion Hills 182 402 457 190 $36,916 $478,860 $100,138 92305 Angelus Oaks *** 34 27 *** *** $28,060 $7,451 92378 Rim Forest *** 24 46 19 *** $32,200 $10,457 92309 Baker 34 80 170 19 $6,183 $130,640 $17,632 92382 Running Springs 155 302 379 176 $31,253 $384,560 $83,280 92310 Fort Irwin *** 23 28 53 *** $23,460 $9,635 92386 Sugarloaf 125 181 169 112 $20,763 $218,500 $54,851 92314 Big Bear City 324 616 942 314 $65,709 $865,720 $161,111 92391 Twin Peaks 59 128 236 53 $11,528 $194,580 $32,766 92316 Bloomington 1668 3545 5352 1208 $333,991 $4,859,900 $843,610 92397 Wrightwood 87 165 194 107 $17,263 $205,160 $47,251 92317 Blue Jay 27 85 99 23 $5,696 $97,060 $19,129 92398 Yermo 118 152 81 70 $22,839 $161,460 $45,909 92318 Byrn Mawr 15 28 26 *** $3,273 $31,740 $6,359 93562 Trona 105 155 86 75 $23,091 $159,160 $47,118 92321 Cedar Glen 38 72 115 27 $7,570 $103,500 $17,579 92322 Cedarpines Park 32 54 60 35 $6,412 $67,160 $17,118 92325 Crestline 354 651 616 379 $69,906 $745,660 $187,252 92327 Daggett 74 69 36 41 $15,969 $82,340 $24,704 92339 Forest Falls 23 40 55 28 $4,754 $54,280 $11,512 92342 Helendale 174 344 320 182 $35,423 $385,480 $91,793 92347 Hinkley 68 94 127 43 $13,086 $132,940 $28,283 92352 Lake Arrowhead 99 272 515 113 $21,658 $407,560 $64,293 92356 Lucerne Valley 450 763 708 371 $91,529 $883,660 $223,959 92358 Lytle Creek 28 54 61 31 $6,095 $65,780 $15,364 92359 Mentone 288 651 795 266 $58,109 $797,640 $156,446 92365 Newberry Springs 139 228 262 116 $28,767 $289,340 $71,260 92368 Oro Grande 108 131 148 60 $22,426 $178,020 $41,931

Graphs continued on page 17 *** Counts of less than 15 and amounts less than $3000 are not included The Bradco High Desert*** Counts of lessReport than 15 and amounts less than $3000 are not included 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 17 High Desert ReportACADEMY FOR GRASSROOTS ORGANIZATIONS An economic overview income for distribution to entrepreneurs, shareholders, the business and their employees Are Nonprofits and Businesseswhile nonprofits Similar? generate their income to support humanitarian causes. By Debbie A. Cannon, VP/COO, Academy for Grassroots Organizations Nonprofits generate their income from direct appeals to individuals, corporations and donors and entities that support the underlying cause. Nonprofit organizations channel all of their At a recent Chamber of Commerce net- lic without a profit motive andincome without into programsreveals and that, services in fact,aimed nonprofits at meeting under-met in the community needs, such as working event, I was introducing myself shareholders. food, water, shelter,Inland education, Empire workforce generate development, 72.75% of theirhealth, arts and culture that are and my role at Academy for Grassroots pillars of a healthyincome community. from Unlike program for-profit revenues. businesses The nonprofits cannot distribute Organizations when asked “How Are One significant difference betweencorporate non -incomediagram to stakeholders. below showsThe funds the ac quired overall by revnonprofit- corporations must stay Nonprofits Like Small Businesses?” profit and for-profit organizationswithin the corporate is enue accounts mix of to the pay nonprofit for reasonab lesector. salaries, expenses, For and the activities of how they are funded. While for-profitthe corporation/nonprofit. the complete report visit http://www. Prior to joining the nonprofit sector, I companies sell products and servicesAn inaccurate in beliefcalnonprofits.org/causes-count sometimes held about nonprofits is that they rely solely on charity, or was a small business owner, so I found the community to generate incomedonations for for income. In fact, the CalNonprofits recent Causes Count survey of 72,478 this a very intriguing question. The net- distribution to entrepreneurs, shareholdCalifornia- nonprofitsInland reveals Empire that Nonprofits in fact nonpro fits–Breakdown in the Inland Empire generate 72.75% of working event did not provide adequate ers, the business and their employees,their income fromof Revenue program revenues. Sources The diagram below shows the overall revenue mix of time to address this thought-provoking nonprofits generate their incomethe tononprofit sup- sector. For the complete report visit http://www.calnonprofits.org/causes- question, so I would like to attempt to port humanitarian causes. count Similar to for-profits, nonprofits actively in this article. Inland Empire lookNonprofits for ways –Breakdown to diversify of Revenue their Sources funding Nonprofits generate their income from and secure long term financial sustain- Let me begin by taking a moment to de- direct appeals to individuals, corpora- fine a nonprofit. The Free Online Dic- tions and donors and entities that sup- tionary defines a nonprofit as: “A cor- port the underlying cause. poration or an association that conducts business for the benefit of the general Nonprofit organizations “re-invest” public without shareholders and with- all of their income into programs and out a profit motive. Nonprofit organi- services aimed at meeting under-met zations include churches, soup kitchens, community needs such as food, water, charities, political associations, busi- shelter, education, workforce develop- ness leagues, fraternities, sororities, ment, health, arts and culture that are sports leagues, colleges and universi- pillars of a healthy community. Unlike continued on page 18 ties, hospitals, museums, television sta- for-profit businesses nonprofitsSimilar to cannot for-profits abili- nonprofits actively look for ways to diversify their funding and secure tions, symphonies, and public interest distribute corpo- long term financial sustainability. One such opportunity presented itself in the spring of law firms.” rate income to 2014. In 2014 The Community Foundation Serving the Counties of Riverside and San stakeholders. The Bernardino, in coordination with the County of San Bernardino launched a 24 hour Similar to for-profit corporations, non- funds acquired by fundraising web-a-thon benefitting nonprofit organizations called Give BIG San Bernardino. profit corporations must file a statement nonprofit corpo- The goal was set to engage 150 countywide nonprofits and raise $300,000 online in 24 hours. Training to increase their skills in the use of social media, marketing, and donor cultivation to of corporate purpose with the Secretary rations must stay VALUE OF CHILD CARE EXHIBIT VII prepare for the BY big COMMUNITY day were OF provided.RECIPIENT of State and pay a fee, create articles of within the corpo- January 1, 2014 incorporation, conduct regular meetings, rate accounts to COMMUNITY CHILD CARE PAID IN JANUARY 2014 DebbieAdelanto A. Cannon Bradco HD Report Article $39,328 Page and fulfill other obligations to achieve pay for reasonable 2 of 4Apple Valley $73,789 MarchBarstow 2015 $41,193 and maintain corporate status according salaries, expenses, Bloomington $17,792 to state law. and the activities Chino $34,689 Chino Hills $5,536 of the corporation/ Colton $47,738 Although both entities are corporations nonprofit. Fontana $143,654 there indeed are a few key differences. Grand Terrace $15,923 Hesperia $136,353 A major point of distinction is in the ba- An inaccurate be- Highland $46,527 Joshua Tree $6,616 sic question “Why does each exist?” lief sometimes Loma Linda $7,565 held about non- Montclair $13,388 For-profit companies are generally- es Ontario $75,688 profits is that they Phelan $11,510 tablished to generate income for entre- rely solely on Rancho Cucamonga $62,112 preneurs, employees and shareholders. Redlands $31,633 charity or dona- Rialto $106,164 They offer market-driven products and tions for income. San Bernardino $303,056 services in exchange for sales revenue. Twentynine Palms $7,935 In fact, the Cal- Upland $28,740 Profits are distributed to the appropriate Victorville $188,184 Nonprofits recent Yucaipa $13,905 shareholders. Causes Count sur- Yucca Valley $14,760 vey of 72,478 Cal- Communities < $3000 $35,188 Nonprofit organizations are generally TOTAL $1,508,966 established to serve the general pub- ifornia nonprofits The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 18 High Desert Report An economic overview MDAQMD’s Highest Honor Are Nonprofits and Businesses Similar? Awarded to Continued Local Companies The Mojave Desert Air Quality ty. One such opportunity presented it- Nonprofits and their employees- pur Management District, the local air self in the spring of 2014. In 2014 The chase goods and services that boost local district which regulates air quality in the Community Foundation Serving the economies. This helps local businesses High Desert portion of San Bernardino Counties of Riverside and San Bernar- grow, hire additional employees, and County & the Palo Verde Valley of dino, in coordination with the County prosper. Plus, nonprofits themselves Riverside County, is more than 20,000- of San Bernardino, launched a 24-hour contribute to sales tax revenues as they plus square miles and structured in fundraising web-a-thon benefitting non- expend dollars. a manner which allows policy on profit organizations called Give BIG San air quality issues to be developed Bernardino. The goal was set to engage Nonprofits, in addition, purchase- nu merous goods and services, including and debated by those who are most 150 countywide nonprofits and raise things such as real estate, rental prop- affected by it: regulated industry and $300,000 online in 24 hours. Training erty, utilities, insurance, office supplies the High Desert community. Thus, the to increase their skills in the use of so- and equipment, financial services and MDAQMD employs a common-sense, cial media, marketing, and donor culti- printing, to name a few. inclusive approach to the development vation to prepare for the big day were of its air quality management programs. provided. I am confident that working together we The District’s mission is to attain and The business community provided sup- can accomplish great things. No doubt maintain a healthful environment while port through $41,000 in sponsorships. there are subtle similarities and differ- supporting strong and sustainable On May 8, 2014, by working together, ences in both sectors, yet, in the end, economic growth. businesses and 251 county nonprof- there are more similarities than differ- ences. MDAQMD staff works in a pro- its successfully raised $548,214 in 24 active manner with those impacted by hours. Victor Valley and Barstow non- In response to the original question regulatory mandates to find the most profits raised 5.76% of the total dollars. “How Are Nonprofits and Businesses prudent and non-punitive course of For information about the participating Similar?” I offer the following quote nonprofits and 2014 Give BIG San Ber- action and to resolve conflicts to the from the San Bernardino Countywide nardino statistics visit http://givebigsb- maximum extent possible. As a result, Vision description of Our Job: “Our county.razoo.com local industry has more flexibility in job is to create a county in which those meeting environmental mandates than The success of Give BIG is one example who reside and invest can prosper and their counterparts in neighboring air that highlights how businesses and non- achieve well-being.” districts and even some nearby states. profits working together can accomplish There is much work to be done to ac- new and innovative solutions to the pur- One example of how the MDAQMD complish Our Job. Let us begin togeth- suit of our shared vision of healthy and er! partners with local businesses to vibrant communities. help them meet and exceed state and Debbie A. Cannon is a VP/COO of federal emission mandates is its annual I am excited and inspired to explore Academy for Grassroots Organizations, presentation of the Exemplar Awards. ways to develop more opportunities like a nonprofit management support- or The Exemplars recognize High Desert Give BIG for nonprofits and for-profits ganization dedicated to improving the entities that demonstrate an exceptional businesses to find innovative ways to quality of life in our region by support- commitment to clean air through the work together for the good of our com- ing and strengthening the social service development of voluntary activities/ munity. I invite you to attend one of our sector. Further information may be projects that reduce or prevent air monthly networking meetings the 1st found at www.AcademyGO.com. pollution within the MDAQMD’s Thursday of each month to learn more jurisdiction. about nonprofits. Email me at Debbie@ AcademyGO.com for details. In fall of 2014, a family-owned material recovery facility and the Victor Valley’s Stronger nonprofits and stronger busi- municipal wastewater treatment plant nesses are integral to long term success were recognized by the Governing of our communities. Board of the MDAQMD, as the District continued on page 19 The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 19 An economic overview IEEP Working to Put Inland MDAQM’s Highest Honor Awarded to Empire on California Local Companies Leaders’ Radar Continued By Paul Granillo presented its Exemplar Awards to offset natural gas usage at its Victorville Advance Disposal Company and the plant. As a result, two combined heat The year that recently came to an end Victor Valley Wastewater Reclamation and power engines have been equipped will be remembered as one where the Authority for implementing innovative, with lean-burn technology and are Inland Empire was certainly on the energy-saving projects which are now operating on digester biogas, agendas of more people than when the year started. revolutionizing the waste disposal supplemented by natural gas. The new process while significantly reducing air engines have replaced two of four As the largest economic development pollution emissions. existing internal combustion engines, agency in San Bernardino and River- which have resulted in an overall side counties, one of our major goals Advance Disposal was recognized for reduction of the facility’s nitrogen has been and still is raising the region’s recently doubling the size of its Hesperia oxide, volatile organic compound and profile. To too many of the people in the Material Recovery Facility and replacing greenhouse gas emissions. The two coastal regions of the state, and in some higher-emitting loading and conveyor remaining combined heat and power political locations, California starts at equipment with state-of-the art, fuel- engines will run on 100% biogas and the Pacific Ocean and ends 50 miles in- efficient equipment, while working to be used for backup purposes only. land. meet the demands of the upcoming 75% VVWRA also modified its formerly high state mandated landfill diversion rate energy-use UV treatment system to run The Inland Empire Economic Partner- set to commence in 2020. As a result, ship worked hard in 2014 to teach the on a single channel, which has reduced the newly retooled MRF is now able to emissions from this source by 60% rest of the state that we do not live in process the same amount of material in “those cities east of Los Angeles,” that and further decreased energy demand. half the time, with a 50% decrease in TM the inland Empire is its own region with The Omnivore project – which was fuel emissions, since equipment such commissioned in January of 2014 – is a its own identity. More importantly, it as loaders, excavators and skidsters has a distinct set of economic and social developing technology and is the first of previously required to transfer material needs. its kind in North America. As a result of during the additional processing time are its introduction, VVWRA is currently That message can be delivered with no longer necessary. A tunnel system producing 1.4 MW of electricity onsite strong effect on November 12 and 13 designed for trucks entering the MRF and is expected to be 100% energy when the California Economic Sum- has helped further reduce fuel emissions neutral by the start of 2015. mit comes inland for the first time. The and cut in half the time it takes to load event, put on by the California Forward landfill-bound idling transfer trucks by To find out how doing business within and the California Stewardship Net- loading directly from the floor into the the MDAQMD could be good for your work, assembles leaders from across the top of the haulers. Advance Disposal business, call 760.245.1661 or visit us state to discuss economic prosperity for also recently added a CNG-fueled refuse online at www.mdaqmd.ca.gov today! everyone in the state, and it will be held truck to its fleet, along with a propane- in Ontario this year. Previous summits operated forklift. have been in Santa Clara, Sacramento and Los Angeles. VVWRA was awarded the Exemplar As Co-chair of the Steering Committee for partnering with for the Summit, I advocated for an In- Anaergia Services LLC land Empire venue. California may be of Carlsbad to retrofit famous for its beaches, lush vineyards a decommissioned and Silicon Valley, but it is made up of anaerobic digester for Friendly Staff millions of working people. This year’s the purpose of tripling Step-by-Step Help through the Permit Process Summit will be among these people, its sludge and waste among us. Free, On-Site Technical consultations co-digesting capacity, Air Quality e-forecasts available to your computer or cell at: and using the resulting However, this is just one small piece of http://mdaqmd.enviroflash.info the puzzle. To enhance the quality of biogas as fuel to life, we at the IEEP have worked hard generate electricity and Visit www.mdaqmd.ca.gov or call 760.245.1661

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 20 High Desert Report An economic overview IEEP Working To Put Inland Empire On California Leaders’ Radar Continued in the past year building relations with land region. the private sector from across Southern elected officials in Los Angeles, Sacra- California that looks for solutions con- For another, we have to ensure that eco- mento and Washington, D.C. cerning transportation and its related in- nomic opportunities continue to happen frastructure. These are very complex is- We believe, as we have for several years, and that the next generation of jobs is a sues that affect everyone, from the small that there are policies that predominate good one. The IEEP is working with the manufacturer trying to ship goods to a in California which do not consider the leaders of Cal State San Bernardino and global market to the person going to the economic interests of the Inland Empire. UC Riverside to help secure new fund- store for a bottle of milk. Transportation No one in the area is in favor of more ing that support the schools’ ongoing ef- is a huge part of the quality of life equa- pollution or willing to tolerate danger- forts to reduce the time it takes to earn a tion in Southern California. ous levels of emissions. But a one-sided degree and to make it easier to transfer policy that apparently does not consider from a community college. Less than Mobility 21 is a group that recognizes the economic survival of millions of In- one in five people in the Inland Empire that our transportation issues have to land residents is a severe problem for us. have college degrees, and an underedu- be solved with 21st Century solutions. It is, however, one we now feel we can cated workforce is one of the things that Not enough neighborhoods in the High counter because we now have a place at discourages next-generation investment Desert, or almost anywhere in the In- the table. in the region. land Empire, have good job opportuni- ties that are only a few miles away from Last April I led a delegation of Inland We are also working with educators and home. The era when a person can leave Empire business leaders to Washington health care groups to make it easier to his or her great job and drive 10 minutes and secured what we assumed would be train a next generation of health care to a great home is probably over. And a five-minute talk with U.S. Senator Di- workers, a profession that is expected to few people have public transportation anne Feinstein. Instead, California’s se- be in demand in the coming years. options that create a convenient way to nior senator gave our delegation 35 min- All told, we have almost returned from get to work or get almost anywhere. utes. The result: an increased awareness a long journey. There is still a distance on the part of one of the state’s leaders Much of the debate is traced back to the to travel, but we are going to continue on the needs of the Inland Empire. logistics industry, which plays a signifi- to fight for a better life for all our resi- cant role in the High Desert’s economy. Another aspect of political leadership dents. In the Inland Empire, the goods move- is our efforts to bring the area’s entire ment industry accounts for more than Congressional delegation together for Mobility 21 Helps Keep California 10% of all payroll jobs, and puts food an Inland Empire Caucus. Our organi- Moving, In More Ways Than One on the table for hundreds of thousands zation does not take political sides be- California is a place that almost literally of people. cause we recognize that the region has grew up on the road. The importance needs that really have nothing to do with of our car culture is in evidence every- But that industry often finds itself under party affiliation. where, and probably nowhere is this as continued on page 21 obvious as it is in Our region has seen its economy re- some of the more bound from the pummeling it took dur- remote areas of ing the Great Recession. There are about the region, like the 1.3 million people collecting regular Inland Empire and paychecks in the Inland Empire right the High Desert now, almost as many as eight years ago area. when the economic struggles began. That is one of the But, as some have said, keeping the reasons I became peace is often harder than waging the Chairman of Mo- war. A lot of work still needs to be done. bility 21, a nonpar- For one thing, cities such as Victorville, tisan partnership Hesperia and Barstow still have unem- of public officials, ployment rates that are higher than that civic leaders and of the nation, state and the overall In-

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 21 An economic overview In the Wake of Redevelopment: New Tools and IEEP Working To Put Collaborative Approaches to Economic Development Inland Empire... In the Wakefor of High Redevelopment: Desert Cities New Tools and Collaborative Continued ApproachesBy Larry J. Kosmont, to CRE, Economic Pres. & CEO Development – Kosmont Companies for High Desertsiege becauseCities of an attitude in Califor- Brandon Phipps, Project Analyst – Kosmont Companies nia that looks at the issues of congestion By Larry J. Kosmont, CRE, Pres. & CEO – Kosmont Companiesand automotive emissions and tries to Brandon Phipps, Project Analyst – Kosmont Companies As the Redevelopment dissolution pro- status of redevelopment dissolution in fix the problems by trying to slash the cess continues for the 14 former Re- High Desert cities: Inland Empire’s economic lifeline. developmentAs the Redevelopment Agencies comprising dissolution the process continues for the 14 former Redevelopment Agencies Highcomprising Desert Cities the High region, Desert new partnerCities region,- Individual new partnerships Successor between Agencies unlikely with- membersDuring my are tenure forming as Chairman of Mo- shipsand new between tools unlikelyfor regional members economic are developmentin the High are Desert being region explored. will need bility 21, we addressed those problems to achieve PMP approval prior to the forming and new tools for regional eco- from a responsible direction, one that nomic development are being explored. DOF’s new deadline of January 1, 2016, Redevelopment Dissolution Status inor the potentially High Desert be exposed Cities: to a loss of recognizes that people need to make a RedevelopmentThe 14 former Dissolution Redevelopment Status Agencies,in control now as the called unwinding “Successor process Agencies”, moves living located and in respects the High the quality of our Desertthe cities High region Desert are: Cities: forward. lives as well. The group’s summit last September, which was attended by more The 14 former• Redevelopment Adelanto Agen- Once these cities • complete Needles the wind- than 1,000 people, included discussions cies, now called• “Successor Apple Valley Agencies,” down process, they• can Palmdale begin working on new infrastructure investments, de- located in the High Desert cities region on new and existing economic develop- • Barstow • sign-build contracting and more express are: Adelanto, Apple Valley, Barstow, ment assets and implementing Ridgecrest new proj- • Bishop • Tehachapi lanes across Southern California’s free- Bishop, California City, Hesperia, Lan- ects of community-wide significance. ways, among many other issues. caster, Needles,• Cal. Palmdale, City Ridgecrest, • Twentynine Palms Tehachapi, Twentynine• Hesperia Palms, Victor- High Desert• Obstacles Victorville and Many of those issues will be advanced ville, and Yucca• Valley. Lancaster Opportunities:• Yucca Valley when the Inland Empire Economic The cities of the High Desert Region Partnership, the largest economic de- DuringDuring the the past past three three (3) years (3) since years the since the State-mandated redevelopmentvelop dissolution organization process in our area, hosts State-mandated redevelopment dissolu- share reasonably comparable demo- began, many cities, including some of the High Desert cities, still have muchthe toSouthern do before California their Logistics Sum- tion process began, many cities, includ- graphics in many categories, as well as mit, which will be held on April 23 at ingredevelopment some of the High wind-down Desert cities, process still is complete.fairly compatible The timeline regional forwater, winding sewer down former RDAs has, havefor manymuch to California do before cities,their redevelop been extended.- and transportation The Department issues. ofFor Finance’s years the deadlinethe Fairplex to review in Pomona. and A collaboration mentapprove wind-down Long Range process Property is complete. Management region wasPlans hit hard(PMPs) by the is recessionnow January and 1,with 2016, the per Drucker AB 1963 School of Manage- Theapproved timeline in for 2014. winding down former has experienced the impacts of dimin- ment at Claremont Colleges, this is the RDAs has, for many California cities, ishing revenues from falling property first time this important event has been beenOut extended. of the above The Department 14 listed of agencies, Fi- values, 6 have high rece foreclosureived their rates, PMP and approval an held fromin Los theAngeles State’s County, amplifying nance’sDepartment deadline of to Finance review and (DOF), approve 4 are unemployment still waiting to rate receive that peaked their Finding at ap- ofthat Completion these are critical (FOC), issues to everyone Longwhich Range is only Property the first Managementstep in the process,proximately and 16%. the remaining These issues, 4 coupled are somewhere in Southern in the California. middle, Plans (PMPs) is now January 1, 2016, with the loss of redevelopment funding, working on their PMP, waiting for the DOF’s approval, or working through litigation.The IEEP recognizes that transporta- per AB 1963, approved in 2014. continued on page 22 tion is a critical issue. Forums like those OutThe of following the above illustration 14 listed highlights the status of redevelopment dissolution in Highestablished Desert by cities: Mobility 21 ensure that agencies, 6 have received these issues will remain in the forefront their PMP approval from of regional discussions and that the so- the State’s Department of lutions will benefit all the communities Finance (DOF), 4 are still in Southern California. waiting to receive their Finding of Completion Paul Granillo, President and CEO, In- (FOC), which is only the land Empire Economic Partnership first step in the process, and the remaining 4 are somewhere in the middle, working on their PMP, waiting for the DOF’s approval, or working through litigation. Figure 1 highlights the

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 22 High Desert Report An economic overview In the Wake of Redevelopment: New Tools and Collaborative Approaches to Economic Development for High Desert Cities Continued have created cash flow problems for the OHD has experienced dramatic growth bond of over $7.5 billion); cap and trade area. Although the majority of Califor- since its inception. Interested businesses proceeds through the Greenhouse Gas nia cities and counties see redevelop- and developers appreciate the value of Reduction Fund (estimated to provide ment dissolution as unfavorable to fur- meeting with an entire business-friendly billions of funds annually in the coming thering economic development projects, region as opposed to meeting individu- years); infrastructure user fees; Vehicle for some regions like the High Desert ally with jurisdictions. As a result of the License Fee backfill; and private sector Cities, there may be a silver lining as program’s success, the collaboration is investment, among many other options. follows: expanding into other areas of govern- ment and may grow to include joint EIFDs can use any powers enumer- 1. Former RDAs are forced into maxi- public services and other cost-sharing ated under the Polanco Redevelopment mizing the value of their properties by endeavors. OHD serves as an example Act, which permits EIFDs to engage in preparing them for development oppor- for other regions in California on how brownfield remediation, as well -as ex tunities, primarily through a liquidation collaborative approaches to regional ercise eminent domain under specific or re-use strategy. economic development can be more ef- circumstances. With such a broad array fective than locally sourced endeavors. 2. Instead of jurisdictions acting as in- of funding sources, EIFDs are permit- dependent RDAs amidst fierce competi- ted to develop or implement a diverse EIFDs: A New Economic Develop- array of projects with “communitywide tion sometimes involving closed “nego- ment Tool for High Desert Cities: tiation” meetings, new and collaborative significance that provides significant regional solutions such as “Opportunity This shift in the High Desert Region benefits to the district or the surround- High Desert” (OHD) have an improved complements new economic develop- ing community.” Various infrastruc- chance of prevailing. ment tools such as Enhanced Infrastruc- ture projects may be eligible, including ture Financing Districts (SB 628), which storm water recharge and wastewater 3. A new economic development tool return the potential to secure and use tax treatment, transportation infrastructure, called Enhanced Infrastructure Financ- increment to California cities and coun- as exemplified by public light rail and ing Districts (EIFDs) is now available to ties (so long as school district property Bus Rapid Transit, affordable housing, communities in the High Desert which, tax is not touched) and demonstrate a childcare facilities, construction or ret- with some refinements, may emerge as trend towards creating collaborative and rofit of industrial structures, and open a viable economic development tool. sustainable funding mechanisms that space, just to name a few. promote cross-jurisdictional coopera- Taking the High Desert Cities’ new col- “Opportunity High Desert”— tion. Example of Regional Cooperation: laborative approach to development, Enhanced Infrastructure Financing Dis- EIFDs are one example of a regional OHD, the region’s newest economic de- tricts (EIFDs), through SB 628, were economic development tool that exem- velopment marketing entity, which is a signed into law on September 29, 2014. plifies a creative method of financing result of redevelopment dissolution, is The new legislation provides legislative that the state has approved since rede- one example of a creative regional so- bodies such as cities and counties with a velopment dissolution. Victorville’s lution to High Desert funding issues. potentially powerful tool to assist in the Southern California Logistics Airport, OHD promotes cross-jurisdictional col- economic development of their commu- a long-term economic development en- laboration between 5 communities with nities. Similar to former redevelopment gine, is just one project that could poten- one singular vision: to market the High agencies, EIFDs can use tax increment tially receive funding through an EIFD. Desert cities region to attract and retain financing (TIF) to fund projects or to business. Apple Valley Town Manager Sustainable Economic Development pay debt service on outstanding bonds. Frank Robinson spoke on OHD and re- without RDAs; A Bright Future for gional collaboration expounding on the Unlike former RDA’s, EIFDs cannot Cities & Counties: fact that: “Wherever a company locates, collect tax increment from K-12 School Although California lost its most pow- if they bring jobs to our citizens, we all Districts, Community College Districts erful economic development tool when benefit.” or County Offices of Education, so the Governor Brown and the legislature dis- amount of tax increment generated by The communities that consist of “Op- solved redevelopment, new tools such EIFDs will be relatively less. However, portunity High Desert” are: Adelanto, as Enhanced Infrastructure Financing in addition to tax increment financing, Apple Valley, Barstow, Hesperia and Districts demonstrate that there may be EIFDs can draw from numerous funding Victorville. a viable economic development project sources such as Proposition 1 (a water financing program that would enable cit- continued on page 23 The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 23 An economic overview Keeping the High Desert Moving in the Right Direction In the Wake of By Tim Watkins, Chief of Legislative and Public Affairs, Redevelopment... San Bernardino Associated Governments Continued The San Bernardino needed alternative for area residents, ies and counties to induce new projects Associated Govern- saving commuters time and money that generate jobs and taxes. In addition ments’ (SANBAG) from their daily travels. to EIFDs, there is a variety of recently approved legislation that promotes eco- commitment to the High Desert re- rd nd The afternoon of May 5, 2014, offered nomic development that reduces carbon San Bernardino Associated Governments „ 1170 W. 3 mainsStreet, 2 Floorstrong, „ San Bernardino,as evident CA 92410-1715 by four „ major www.sanbag.ca.gov „ Contact: Jane Dreher, Public Information Officer „ (909) 884-8276 the project team a seemingly devastating footprint impacts and advances environ- transportation improvements that are March 2012 For information: Jane Dreher, Public Information Officer blow to progress when a construction- mentally sustainable practices. currently 909‐884‐ 8276underway. or [email protected] Navigated by the related fire engulfed the falsework that SANBAGEllen Pollema, High Mountain/Desert Desert Projects Commit- Propelled by these recent legislative ap- 909‐884‐8276 or [email protected] was preparing for the concrete pour of provals, the High Desert cities region, tee, a sub-group of the SANBAG Board the new bridge. Swift response by San SANBAG/San Bernardino Associated Governments much like the rest of California, will of Directors, made up of representatives Bernardino County Fire, the contractor, High Desert Transportation Update from the municipalities in the Mountain soon be moving into a new era of “sus- and agencies like Caltrans and SAN- tainable” regional economic develop- San Bernardino Associated Governments (SANBAG) is the Counciland ofDesert Governments areas, and transportation as well agencyas two for San County BAG, enabled the team to get traffic ment, driven by regional collaboration Bernardino County. SANBAG is responsible for cooperative Supervisors,regional planning and furthering these an four efficient projects multi‐modal repre- transportation system countywide. SANBAG serves the 2.1 million residents of San Bernardino County. flowing on Interstate 15 again in about and sustainability, with an emphasis on sent improved mobility, increased ac- 24 hours. Good planning and coordina- infrastructure, which is motivated by a As the County Transportation Commission, SANBAG supportscess freeway to construction the region, projects, regionalbetter and goods local road move- collection of creative and progressive improvements, train and bus transportation, railroad crossings, call boxes, ridesharing, air quality and congestion tion moving forward allowed the team new tools and regulations as listed in management efforts, and long‐term planning studies. SANBAGment administers for Measure the economy, I, the half‐cent transportation and enhanced to get back on track to rebuilding the sales tax originally approved by county voters in 1989 and reapprovedconnectivity in 2004 to extendof the from High 2010‐2040. Desert. Figure 2. damaged area and, ultimately, deliver- SANBAG considers the transportation needs of the entire county,I-15/Ranchero with focused attention providedRoad by Interchange, specialized As development expands beyond the In- committees, one of which is the Mountain Desert Committee. Following is a summary of some of the projects being ing this highly anticipated interchange planned for the High Desert. Hesperia in February, just four months from the land Empire, High Desert Cities should original target date of completion. set their sites on regional collaboration La Mesa/Nisqualli Road Interchange After two years of construction, and such as the “Opportunity High Desert” After decades of development, officials from the City of Victorville,recovery County of from San Bernardino, a construction-related SANBAG, and Caltrans This $59 million project adds a new kicked off the construction of the new Interstate 15 ‐ La Mesa/Nisqualli Interchange with a bang in front of a crowd initiative, as well as EIFDs, as a way of nearly 200. fire in May of 2014, the Interstate 15 bridge over I-15, provides congestion to fund the necessary infrastructure im-

The Interstate 15 ‐ La Mesa/Nisqualli Interchange will provideRanchero a new east/west Road cross‐over Interchange, point for local traffic, located as in relief for the interstate and Main Street, provements needed to attract private well as a freeway access alternative to Bear Valley road to theHesperia, south and Palmdale has Roadopened to the north. to traffic.This significant improves drainage, and enhances safe- investment that will, in turn, bring new addition to the Victorville transportation infrastructure will ultimately ease congestion, improve local circulation and jobs and revenues to the region. enhance overall safety in and around Interstate 15 in that area.This interchange is part of a series of ty. The contractor began work on February 13, 2012. Since then,projects significant progress for has the been Hesperia made on the Oro area. Grande The I-15/I-215 Devore Interchange Wash; Mariposa Road has been realigned to allow for constructionRanchero of the eastern Road bridge Underpass abutment; and, utilities (grade sepa- (both private and public) have been relocated to make room for the new interchange configuration. Information Project, Cajon Pass updates about the project are available on the SANBAG websiteration) (www.sanbag.ca.gov to the east,) and combinedongoing outreach withto the future One of the more significant projects for community of Victorville will continue throughout the constructionimprovements period. Individuals to interested Ranchero in getting email Road, and alerts about the project, which will include schedule changes, traffic handling, and detour plans, can sign up from the drivencontinued by regional on collaborationpage 24 and sustainability, with an emphasis on infrastructure, which is this new interchange will offer a much- motivated by a collection of creative and progressive new tools and regulations as listed below. 1 | Page

Ranchero Road Interchange Concrete Pour

As development expands beyond the Inland Empire, High Desert Cities should set their sites on The Bradco Highregional Desert collaboration Report such as the “Opportunity High Desert” initiative, as well as EIFDs as a way to fund the necessary infrastructure improvements needed to attract private investment that will in 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.comturn bring new jobs and • revenuesemail: [email protected] to the region. 24 High Desert Report An economic overview Keeping the High Desert Moving in the Right Direction Continued the future of commuters through the Route 58 to the north of the Mojave on Yates Road, started in January 2014. Cajon Pass is the $324 million Devore River. SR 58 carries significant levels The bridge will connect Apple Valley Interchange Project that began in June of truck traffic from central California on the east side of the river to Victor- 2013. SANBAG and Caltrans have through to I-15. This project is con- ville on the west side. Ultimately, this partnered to deliver this innovative De- structing a grade separated crossing corridor will provide easier access to sign-Build Project that will reconfigure along Lenwood Road over the existing the I-15/LaMesa-Nisqualli Interchange the relationship between Interstate 15 BNSF tracks. These improvements in- in Victorville that was opened to traffic and Interstate 215, add additional lanes clude the widening of Lenwood Road in 2013. from two lanes to The project team will build the Yucca four lanes between Loma Bridge, widen Yates Road from Main Street and two lanes to four lanes, install a new Jasper Road. traffic signal at Park Road, and- con Lenwood Road struct new soundwalls on the south side currently carries of Yates Road. The new bridge will also approximately feature facilities such as Class II bike 4,200 vehicles per lanes, barrier protected sidewalk on the day, including a north side, and a barrier protected Class high percentage of I path on the south side. heavy trucks serv- The total construction cost is estimated ing commercial, at $37.3 million. The project received light industrial and funding from Measure I (the San Ber- residential develop- nardino County ½ cent sales tax for ments. The prima- transportation improvements), Town of ry objective of this project is to improve Apple Valley funds, State Local Trans- between the junction and State Route operation and safety by ensuring prompt 138, introduce truck by-pass lanes, and portation Partnership Funds and Propo- emergency response time to businesses sition 1B funds. reconnect old Route 66. and residents while eliminating the haz- The Devore Interchange is one of the ards and inefficiencies of trains passing worst grade-related bottlenecks in the through the flow of vehicular traffic. nation. Severe delays, with up to five As a result, impacts mile traffic queues, are common for the to air quality are re- more than one million vehicles travel- duced by eliminating ing through the corridor each week. The the volume of idling Devore Interchange Project has been vehicles. developed to reduce congestion, reduce Work is expected to accidents and improve freeway opera- be complete in the tion. summer of 2015. For regular updates on the project, Yucca Loma Bridge please visit the project site at www.de- over the Mojave voreinterchangeproject.com; or call the River, Apple Valley helpline at 855.415.4215. Construction of the Lenwood Road Grade Separation, Yucca Loma Bridge Barstow over the Mojave Lenwood Road is a major truck traffic River, which also in- connector route between I-15 and State cludes improvements Lenwood Road Grad Separation

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 25 An economic overview Employment Development Department, State of California AA AA* 2013 2014 2014* Preliminary 7.5 8.9 California ‐ Ont 8.5 ‐ SB MSA 10.2 city Riv Rates 10.2 2014* 12.2 to city Victorville 2013 10.9 13.0 Unemployment Average city Hesperia 10.5 Desert 12.6 Barstow Annual High 9.2 Valley town 11.0 city Apple 13.1 15.6 Adelanto

8.0 6.0 4.0 2.0 0.0

18.0 16.0 14.0 12.0 10.0 Percent

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 26 High Desert Report An economic overview Comparative Market Analysis: Does CMA Accurately Price Property to Meet Current Market Demands? By Bob Thompson We collect our just due when a listed mainly false. The CMA has evolved creeps in by a side door and undoes property closes. We want to tell all into a patchwork method in which the agent’s well thought-out pricing that our “Marketing Plan” will save the users have limited experience strategy. As the bard says, “It is not the day. But properties fail in droves in application and continuously fail in the stars to hold our destiny but in especially in times where there is an to achieve the expected outcome ourselves.” We failed to consider the excess of supply over demand. This is because of known, unknown, and important issue of property symmetry part 1 of a multi-part essay to look into unanticipated independent variables. in our original CMA estimates, and the scourge of expiration, cancellation now it is one of the forces that will and withdrawal. The concluding Our business is a theatre which paper offers a new method to price exhibits, in full operation, two undo our best laid plan. Watch for and manage listed property that moves radically different systems: the one part 2 in the next issue. the CMA into the background where it resting on the basis of what we think belongs. is happening, and the other which is 1 This assumes our listing agent An unmistakable outbreak of joy really taking place. We are experts has not sold out to the concept of occurs all around when a property on the first and painfully aware of the the marketing plan overcoming is listed. The agent is happy. He second, while our knowledge of this inaccurate pricing. looks forward to future income as alternative reality and its workings does the broker. The title company is shallow indeed. The aware agent looks forward to a new policy and has learned that all things: demand, all the other vendors sense higher supply, condition, location, fear, and times ahead. The seller anticipates greed are accounted for by the CMA moving to the next stage of his life, methodology and a little time and hopefully with the proceeds of a luck. favorable sale. Let us therefore, at Lamentably, our CMA methodology least for a time, pass all secondary falls short in times where the market and collateral questions and consider becomes testy for the seller. When the the main subject of the present supply side overwhelms the demand question. Will the property actually side, the Realtor notes that his time close and monies be collected? After on the market (DOM) is increasing all, in real estate transactions, money and his spirits falling as old man resolves all problems. time moves along. The tick tick tick The main subject, then, is whether of the clock passing is really the drip the property is priced to meet the drip drip of potential income leaking demands of the current market. In from his bank account. Worse, the attempting to prove the price is seller, certain that his home is special correct and worthy, the aware agent above all others, insists he have his utilizes the tried and true comparative way and holds his price or offers market analysis (CMA) due to the only a meager discount after much absence of any other dependable anguish. method for assigning a value to the Oh so subtly, lurking in the property. The principle of the system background unknown to the agent, a is that the CMA process is accurate hidden force is at work. This force and reasonable. This premise is

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 27 An economic overview Victor Valley Community College Serving the High Desert for 54 years By Robert Sewell, Director of Marketing & Public Information Officer / ASB Advisor | Public Relations / ASB VVC, now in its 54th year, serves an cessful full and comprehensive Win- than a plan, that will provide nearly area encompassing roughly 2,200 ter 2015 Intersession, serving 3,217 $1,000,000 in savings in the first year square miles and is located on a 253 students who were enrolled in 4,196 alone. acre campus at the center of the three classes. Students were/are enrolled in On March 25, 2015, the college will major communities of the Victor an average of 2.6 classes in both the host a visit by an accrediting team who Valley (Apple Valley, Hesperia and Fall 2014 and Spring 2015 Semesters, are charged with the responsibility to Victorville). VVC also features a 13 11,655 students taking 30,535 courses validate the information contained acre Regional Public Safety Center in in Fall and 11,515 currently enrolled in in this report. A letter from the Apple Valley. VVC serves a population 30,336 Spring classes. VVC employs Commission will be forthcoming in base of approximately 400,000 people over 800 employees. June 2015. and has over 20 feeder high schools During the 2013-14 academic year, Campus Updates and diploma-granting institutions. VVC conferred more than 1,100 Great strides have been made in the Associate Degrees and Certificates. A new partnership between the Auto Park at Valley Center and the Victor past year to complement our Academic Programs that are featured include but Programs and offerings. In addition to Valley College Automotive Program is are not limited to: Nursing, Liberal providing semester-long internships for the degrees, Associates in Science and Arts, Science and Math, and other Associate in Arts, offered in 23 different future automotive service technicians. Transfer Courses, along with 16 Building an economically viable disciplines the Chancellor’s office Career Technology Programs such as approved, beginning Spring 2015, four Victor Valley is not only beneficial to Computer-Aided Design, Airframe the Auto Park at Valley Center and new Associate Degrees for Transfer. and Power Plant Technology, Fire These degrees (Political Science, the residents of the Victor Valley as Technology, Administration of Justice, a whole, but it is also a core principle English, Geography, and Psychology) Digital Animation, Respiratory provide students guaranteed admission the organization holds as a goal for Technology, Paramedics, and the entire community. The pledge of with junior standing to the California Construction Technologies, etc. State University system. $50,000 through the VVC Foundation Certificates of Completion were was designed to enhance the efforts of Nursing students have three new issued in Administration of Justice, VVC to build a better work force in the opportunities to affordably obtain their Child Medical Assistant, Paralegal region. Bachelors of Science from Cal Baptist, Studies, Horticulture, Auto Specialist, Azusa Pacific, and Grand Canyon Last fall the Board of Trustees Business Administration, Building approved a Transportation Fee and University. In addition, VVC Students Inspection, Advanced Business Real can now take on-campus classes with agreement with Victor Valley Transit Estate, Construction Technology, Authority, providing VVC students Park University. The University offers Firefighter, Public Works, Welding, degrees as part of a 2 + 2 program. access to public transportation for $6 a Restaurant Management, and Pre- semester. Enrollment School Teaching. In 2014, Victor Valley College was For the 2014-2015 academic year, Accreditation awarded one of 40 California Career enrollment is approximately 17,000 The Accreditation Report was Pathways Trust grants statewide for its students, with a Full Time Equivalent submitted, on time, to the Accrediting RAMP UP consortium project. This Student target of 9,661. A full-time Commission for Community and Junior project was the only one funded in the equivalent student is a person tak- Colleges (ACCJC) on March 13, 2015. Inland Empire region and within the top ing more than 12 credit units, or three There is a high level of confidence that 12 funded at the highest level of grant part-time students taking a single 4 the Accreditation Report is on track, awards. It coordinates the efforts of 5 credit unit class. As the economy is as it includes a balanced budget (as community colleges, 19 high schools rebounding and state funding has im- submitted and approved by the Board and dozens of employers in establishing proved, VVC was able to offer a suc- of Trustees) and solutions, rather and streamlining career preparation

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 28 High Desert Report An economic overview Victor Valley Community College Serving the High Desert for 54 years Continued pathways in five industries important to White, the Rams Volleyball Team touched each of these areas. Examples our region. These include: Automotive earned their 7th Foothill Conference are the newly remodeled Music Repair, Aviation Maintenance, Energy, Championship. Outside hitter Courtney Building, which opened Fall 2014, the Healthcare, and Manufacturing. The Klein was named Foothill Conference soon-to-open Dr. Prem Reddy Health grant, which connects all education MVP and 6 Rams players were named and Sciences Building, opening Fall partners with a robust network of to the All-Foothill Conference team. 2015, and state-of-the-art Regional immersive teleconference classrooms, 2014 Coach of the year Dave Hoover Public Safety Training Center in Apple was secured by the VVC Foundation. guided the Rams Football Team to Valley. VVC is also participating in the Inland a perfect 10-0 record as they won Groundbreaking for the new Health and Empire Regional Training Consortium the American Mountain Conference Sciences facility took place on May 16, (IERTC) grant project led by Chaffey Championship and finished as the 25th 2014, and is on schedule to be completed College. This project was chosen best team in the nation. Led by 2014 by Summer 2015. The 25,000 square by the US Department of Labor for Offensive Player of the Year QB Paul foot building will feature several state- funding through its Trade Adjustment Mroz, the Rams had twelve players of-the-art labs dedicated to Health Assistance for Community College named All-Conference. Sciences. The project features highly Career Training (TAACCCT). This Veteran’s Resource Center specialized training labs for the Nursing project, backed by California Steel, Program that include: an anatomy lab, will help Victor Valley College and In Spring 2015, Victor Valley College chemistry lab, digital life and physical all Consortium Members to improve opened a much-needed Veterans science lab, and a simulation and its training programs in advancement Resource Center (VRC), located in fundamentals lab. The project will manufacturing. VVC’s participation the Student Activities Center. In be integrated with indoor/outdoor specifically focuses on improvements addition to helping veteran students gathering and study spaces for student to the college welding program with certifying VA education benefits, and faculty interaction to promote a and establishing a new machining the VRC provides counseling services, collaborative and technology-driven curriculum. The VVC Foundation tutoring, a computer lab, and community learning environment. workshops. worked with Chaffey College to secure In the coming year we will turn our this opportunity. This could not have been possible attention to the remodel and expansion Expanding its relationships with local without the dedication of the Veterans of our Vocational facilities on the high schools, VVC embarked on a new Services staff, VA student workers, lower campus. Welding, Automotive, partnership with Hesperia High School Veterans Club, VVC Foundation, as Animation, Electronics, as well as last fall to offer college courses to high well as Wal-Mart with its generous additional classroom space, will all see school students as part of their regular grant that helped buy computers and new, expanded or remodeled facilities school day. This program allows high furniture. within the next two years. school students to earn up to 30 units Construction of general education credit before they Victor Valley College Main graduate high school. Studies showing Campus and the Regional Public that students who complete their first Safety Training Center are valuable year of college are far more likely to community resources. The college complete a degree were the impetus offers relevant programs and services for the new partnership. The college to help students prepare for transfer has implemented similar partnerships and address workforce needs through with local charter schools,including career technical education and basic Excelsior and Options for Youth. skills instruction. And over the last six Student Athlete Success years, Measure JJ Bond dollars have Under 2014 Coach of the Year Christa The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 29 An economic overview Publishers Message Continued his elected service on the board, he con- Community College District went un- Bernardino County but through the en- tributed his time and talent as a board defeated, set a record, and was one of tire Inland Empire. If you drive the In- member for Job Opportunities and Ben- the top community colleges in the entire land Empire as much as I do, and even efits (JOB), assisting the disabled; was nation. The dedication of this football going into Orange County, you really a member of the Citizens Volunteer team was a part of their love and admi- have an appreciation of where some of Corps, the High Desert Diversity Coali- ration for Mr. Willie Pringle, as it was our gas tax dollars are being spent and tion; the Kiwanis; served on the super- for any of us that knew him. how important they are for the Inland visory committee at Victor Valley Fed- When I attended his service, I spoke to Empire growth and, most importantly, eral Credit Union; and the Desert Valley his wife, Mrs. Mary Pringle, who is also for the High Desert to be able to handle Charitable Foundation. an Associate at Victor Valley Commu- the anticipated growth over the next few Willie worked for decades for the San nity College District, and I told her that decades. Bernardino County Fair, served on the I wanted to dedicate the 54th edition of I wish to welcome Mr. Bob Dutton, our Hesperia Truancy Board, and had been a the Bradco High Desert Report to Mr. brand-new Assessor/Recorder/County member of the City of Victorville advi- Willie Pringle. I hope that you under- Clerk for San Bernardino County. I sory board and planning commission. stand that as Publisher of the Bradco have known Bob Dutton as long as I He volunteered his time on Thanksgiv- High Desert Report, we started to dedi- have known his father, Mr. Ted Dutton, ings and Christmases, serving meals to cate editions to people whom we have one of my all-time heroes. Bob Dutton the homeless with the Salvation Army. held in the highest esteem over many is a former Assemblyman, former State years in the High Desert region. We Senator, and a very respected business He was recognized by the Daily Press have honored Ms. Ira Norris, the Found- person within the Inland Empire. Mr. as one of the ten most influential Afri- er and Chairman of Inco Homes, For- Dutton brings to the San Bernardino can American men in the High Desert, mer Mayor and Co-Founder of the great County Assessor’s office a new and re- and was recognized by both the Los An- City of Adelanto, Ms. Mary Scarpa. We freshing way of thinking. As a current geles County Alliance of Black School now include Mr. Willie Pringle as one Tax Appeals Commissioner, I look for- Educators and the National Alliance of of our very special people to whom we ward to whatever positive changes Mr. Black School Educators for his service dedicate this edition. Dutton will make. I assure you that he as a school board member. Willie cur- While I will write some separate com- will make changes and they will all be rently served as a board member for the for the benefit of the tax payer. Excelsior Charter School. ments where I think the High Desert economy is as it relates to real estate, I A very exciting project, which I have I was humbled to be appointed as a do want to make a couple comments rel- been monitoring for nearly 30 years, is Trustee to Victor Valley Community ative to the article suppliers who made “Tapestry,” a master plan community College District on February 1, 2011, this edition (although late) as special that was originally called Las Flores and was successful in my bid for re- as any other edition that we have ever Ranch in South-East Hesperia. I have election in November of 2012. done. said many times that this property is not I remember a conversation I had with I wish to thank our friend Ms. Sheri Da- only the finest property in San Bernar- Mr. Willie Pringle while he was battling vis, Director of the Inland Empire Film dino County for the development of a the early stages of prostate cancer and Commission, who does such a great master plan community, it is one of the the encouragement he gave to continue job in generating monies to the Inland most gorgeous pieces of property for the to move forward for the advancement Empire and High Desert economies for development of a community. The City of education and, most importantly, for filming. of Hesperia is lucky that the develop- Victor Valley Community College Dis- ers, who have recently acquired it, are trict to be the premier educational insti- I wish to also thank Ms. Joy Sepulvada, in the midst of re-entitling it for nearly tution of the High Desert region. Public Information Officer, who works 19,300± homes. with my long-time friend Ms. Terri Whenever I called Mr. Pringle, he was Kasinga, and their soon-to-be-retired They are taking a long-term and very always there. The last time I saw him, I Executive Director Mr. Basem Mual- committed position within the High was taken aback by the amount of weight lem, of the State of California Depart- Desert region. I would be remiss in he had lost, but he made it an absolute ment of Transportation (Caltrans) for not mentioning the work that Mr. Don point to not miss any of Victor Valley the information that they have supplied. Hutchings did while he owned Las Community College District’s football There is a tremendous amount of work Flores Ranch. I would like to personally games this last year when Victor Valley underway by Caltrans, not only in San thank him for all of his work. To entitle continued on page 30 The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 30 High Desert Report An economic overview Publishers Message Continued a project of nearly 10,000± acres, and to ifornia. I have known the Golden family [email protected], so find the right “timing” to develop it, is a since 1984 when I met Mr. Ron Golden we can put you on a list of people who major league task. Mr. Don Hutchings, who was born and raised in Apple Val- we can call on when and if meetings are thanks for what you did, and I hope I ley and who was involved with a com- held by our city, county, and state offi- live long enough to see the final home mercial title representative in Southern cials. built and the commercial center devel- California; his son Mr. Brad Golden, We always appreciate the great work oped for this very exciting project. We with many family members located in that Ms. Debbie A. Cannon, and Ms. anticipate that approval for this project the High Desert area, including one that Vickie Nagel do for the non-profits will come during the summer of this is employed at Victor Valley Commu- through their Academy for Grassroots year and, hopefully, they will start mov- nity College District; Ms. Greta Moon, Organizations. It is one of the greatest ing ground within 2 years after its ap- who sent over information about the organizations that I have seen that deals proval. new change to the California revenue & with non-profits and how they can help I wish to welcome Mr. Larry Vaupel, the tax code and the new law about docu- truly direct monies to an area (every Economic Development Agency Ad- mentary tax transfer declarations. area needs money for non-profits). ministrator for San Bernardino County. In my business as a commercial real We thank our friends at the Inland Em- We have had a long-standing relation- estate practitioner, I am constantly at- pire Economic Partnership (IEEP), un- ship with San Bernardino County, as a tempting to find what the real prices are der the direction of Mr. Paul Granillo, member many many years ago of the for transferred property. Mr. Brad Gold- and their very strong Board of Directors Workforce Investment Board and also en’s article answers the question (please for everything that they do to promote of the Economic Development Com- see pg. 14). the Inland Empire through the Econom- mission. I recently met with Larry We re-welcome our County Sheriff, ic Partnership. We hope the day will Vaupel and he will be a great addition, John McMahon, with an update to the arise when all the cities throughout San someone who will take a very long-term High Desert Detention Center. Sheriff Bernardino County and the Inland Em- interest with his employer (5 very com- John McMahon, keep up the great job. pire are members of the IEEP. mitted Supervisors for San Bernardino County). Also a great job to Mr. Greg We are constantly asked about the I still remember when the original or- Devereaux in helping reposition and ad- amount of money spent by the federal ganization Inland Empire Economic vance the High Desert region so that we government through county govern- Council (IEEC) was formed by people get the appropriate amount of jobs and ment, which is disbursed to residents such Mr. Ted Dutton, Mr. Steve Pontell, job opportunities within San Bernardino throughout the High Desert who receive Dr. John Husing, and many other no- County. aid through local cities. While this is table individuals throughout the Inland not a popular issue to discuss, and many Empire who have always had a passion I wish to thank the Mojave Water Agen- would question my wisdom as Publisher about economic development and the cy, Mr. Kirby Brill, its General Manager, of the Bradco High Desert Report about economic development movement. Ms. Yvonne Hester, its Public Informa- publishing this, it is still an issue that I One of our keynote speakers for the tion Officer and its 7 member Board of believe needs to be debated within the Directors for the information about wa- 13 years that we held the High Desert High Desert region. It is one that all of Leaders Economic Summit, which ben- ter and the upcoming water symposium our readers should be keenly aware of. that will be held later this month. I assure efited the Red Cross, was Mr. Larry J. each and every one of our readers that While many of the numbers are rather Kosmont, CRE, President and CEO we will have a tremendous amount of larger than you see on the graphs on of the Kosmont Companies. Mr. Kos- information from the symposium to add page 15, 16, and 17, we are constantly mont’s article, “In The Wake of Rede- to the 55th edition, and I look forward urging our local officials, state officials velopment,” is an excellent discussion to adding 4 or 5 pages of content so that and federal officials to help create pro- about alternative methods of potential property owners, investors, and devel- grams that will help bring people back financing for projects that we will see opers can be assured of a long-term and to work, give them a greater education, in the upcoming years. Mr. Kosmont is sustainable water management program and give them the tools to prepare them- a leader in the industry and at one time that I believe is second to none in the selves for a workforce. was the youngest City Manager hired in State of California. I congratulate the I hope that those reading this take this California. Mr. Kosmont, thank you for Board of Directors at the Mojave Water data seriously, and I welcome each and all your work. Agency for their great leadership. every one of your comments to my per- We truly appreciate the relationship that We wish to welcome: our friend Mr. sonal email: Joseph W. Brady, Publisher we have not only with Caltrans, but more Brad Golden from Chicago Title in Cal- of the Bradco High Desert Report, at importantly, their partner SANBAG continued on page 31 The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 31 An economic overview Publishers Message Continued

Legislative Update – April 2015 (San Bernardino Associated Govern- tor Valley Community College as one of The 2015Legislative Legislative Session is in full swing andUpdate things are starting to get– very April busy in Sacramento. 2015 Once a bill is introduced, that piece of legislation is then referred to one of a number of different policy committees. Here, bills are thoroughly analyzed, debated, and often times killed before getting an opportunity to be presented to the entire California State ments). Having sat on the new Measure the premier community colleges in the Assembly.The Here 2015 is a list of some Legislative of the bills that I am working on andSession where they are at in the isprocess: in full Assembly Bill 203 – Fire Prevention Fee Due Dates I committee in 2005 (as I remember), state. Thisswing legislation extends and the period for thingspaying or disputing a fire are prevention starting fee from 30 days to 60 days to from the get date of assessment. AB 203 is set to be heard in the Assembly Natural Resources Committee on March 23, 2014. San Bernardino County voters passed Assemblyvery Bill 410 busy – Improving Government in Sacramento. Transparency Once a bill Lastly, we thank each one of our city This bill requires a state agency to post on its website any document that is mandated by law to be submitted to a legislative committee so that the public can freely access the information. It has also been included in the Assembly Republican Caucus a nearly $6 billion± highway improve- #MakeGovWorkis introduced, bill package. .AB 410 is currently that waiting pieceto be referred to a ofpolicy committee. legislation partners for their economic update. It

Assembly Bill 809 – Local Tax Measure Ballot Labels ment bill projected for 30 years. We can Thisis legislation then is sponsored referred by the Howard Jarvis toTaxpayers one Association of and requi ares localnumber tax ballot labels to stateof the was our local cities that urged me early amount of the tax to be raised, the rate, and the duration of the tax to better inform voters about the taxes they are being asked truly see the amount of work that SAN- todifferent approve. AB 809 is currently waiting policy to be referred to a policy committees. committee. Here, on that we needed a vehicle in order to Feel free to email me at [email protected] or contact my District Office at (760) 244-5277 with BAG and their partner Caltrans is doing anybills questions orare concerns youthoroughly may have. analyzed, debated, properly portray the High Desert econ- by the I-15/I-215 Interchange and by the Pleaseand visit myoftentimes website for additional updates: www.assembly.ca.gov/obernoltekilled before getting an omy and the work done by each one of opportunity to be presented to the entire I-15 resurfacing. the cities, their Mayors, their City Man- California State Assembly. Here is a list We have enclosed information that we agers, their Economic Development Di- of some of the bills that I am working on have received from our friends at the rectors. I thank each one of you for all and where they are in the process: State of California Employment Devel- that you do and look forward to a pros- Assembly Bill 203 – Fire Prevention opment Department that show the rela- perous 2015. Fee Due Dates tionship between unemployment rates To keep my opening comments as short and total industry employment in the This legislation extends the period for as possible, I would like to thank each paying or disputing a fire prevention fee High Desert region comparing 2009, and every one of our article suppliers from 30 days to 60 days from the date of 2010, 2011, 2012, and 2013. 2014 pre- ,who continually make the Bradco High assessment. AB 203 was set to be heard liminary numbers are still in the midst Desert Report the most unique economic in the Assembly Natural Resources of being adjusted and will be for the overview of the High Desert, the longest Committee on March 23, 2014. next few months. standing publication, and the one with Assembly Bill 410 – Improving I would be a little unbiased if I didn’t the most subscribers. Government Transparency compliment my friend and a gentlemen While we have transitioned away from who I enjoy working with, Mr. Robert This bill requires a state agency to post publishing our report on a quarterly ba- Sewell, the Director of Marketing and sis due to the protracted recession (de- on its website any document that is Public Relations at Victor Valley Com- mandated by law to be submitted to a pression), we continually see improve- munity College District where I now ment in the High Desert economy and legislative committee so that the public serve as President of the Board of Trust- can freely access the information. It has we look forward to an ever-improving ees. We have a great institution and have 2015 year. also been included in the Assembly Re- recently submitted our updated accredi- publican Caucus #MakeGovWork bill tation, which I strongly suspect will re- Lastly and most importantly, if you package. AB 410 is currently waiting to ceive a positive response before July 1, wish to continue to receive a copy of the be referred to a policy committee. 2015. I would like to thank Mr. Robert Bradco High Desert Report, any statisti- Assembly Bill 809 – Local Tax Sewell, who took over for our long-time cal reports, op-ed articles that we post Measure Ballot Labels friend Mr. William Greulich, who has to our website for free, please register at This legislation is sponsored by the since retired, and is enjoying playing our website at www.TheBradcoCompa- Howard Jarvis Taxpayers Association golf, spending time with his grandchil- nies.com/register. and requires local tax ballot labels to dren and his family. I would like to thank I always welcome people’s emails to state the amount of the tax to be raised, Mr. William Greulich for all that he did [email protected], your the rate, and the duration of the tax, to at Victor Valley Community College, phone calls to 760.951.5111 Ext 101 and better inform voters about the taxes they and for all the wisdom that he showed any comments that you have on how we are being asked to approve. AB 809 is me in my early years as a Trustee. can continually improve our content and currently waiting to be referred to a pol- I also wish to re-welcome our new our distribution. Thank you. icy committee. President and Superintendent Dr. Rog- Feel free to email me at Assemblymem- er Wagner, who was also the President [email protected] or con- and Superintendent at Copper Moun- tact my District Office at 760.244.5277 tain Community College (Yucca Valley/ with any questions or concerns you may Joshua Tree/29 Palms). He is doing an have. excellent job in leading our Board of Please visit my website for additional Trustees and helping to reposition Vic- updates: www.assembly.ca.gov/ober- nolte The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 32 High Desert Report An economic overview City of Adelanto – Progress by Design Town of Apple Valley City By Mike Borja, Sr. Management Analyst Update City of Adelanto, Development Services By Orlando Acevedo, Economic For 2015, new and cate and former member of SANBAG Development Manager exciting development for many years, was instrumental and Yucca Loma Bridge activities in Adelanto credited with seeing this project come began construction are moving forward as to the forefront. The project phase is in January 2014 planned. The city con- expected to be completed for beneficial and is expected to tinues to be focused on use in 2016. be completed by putting an end to its Retailers have now cemented them- September 2015. sales tax leakage to its neighboring cit- selves in Adelanto. Family Dollar, The $37 million ies, which is the highest leakage in the ranked 3rd amongst the top 10 retailers project will alleviate traffic congestion region. To help do that, continuous in- by store count in the nation, opened its along east/west regional arterials, frastructure improvements, either com- doors for business and is producing well including Bear Valley Road, and allow pleted or soon to begin, place Adelanto ahead of expectations. Dollar General, residents to travel to and from Apple one step closer to laying out the neces- the nation’s largest small-box discount Valley, Victorville and Spring Valley sary foundation from where the city store and #1 ranked store count retailer, Lake with more ease. needs to grow from. with more than 11,000 stores and 12 The Bridge will benefit bicyclists and As new development increases, the city’s distribution centers in 40 states, is final- pedestrians, as it features a Class II major roadways are crucial to its future izing construction and is anticipating its bikeway and barrier-protected sidewalks growth. US Highway 395, Adelanto’s doors to open in February/March 2015. along the north side of the bridge. major corridor, has become an inter- Both stores rank among the largest re- “The bridge construction is on schedule regional thoroughfare with increasing tailers of top-quality brands made by and under budget,” said Brad Miller, demand. Adelanto sees the economic America’s most-trusted manufacturers. Town Engineer. vitality for retail and commercial devel- Adelanto understands its fiscal status Yucca Loma Bridge will also pave the opment with endless opportunities. San and the importance of what develop- way for development of The Fountains Bernardino Associated Governments, ment means in these economic times. at Quail Ridge, a planned 33-acre mixed- SANBAG, the agency that’s respon- Although recent statistics show that use commercial center at the northeast sible for cooperative regional planning economic trends are on the rise, the city corner of Yucca Loma and Apple and furthering of efficient multi-modal studies and researches every develop- Valley Roads. Increased traffic counts transportation systems for the County of ment project that it receives for its full and nearby median household incomes San Bernardino, approved a $483 mil- potential, both short-term and long-term. near $100,000 offer great opportunities lion expansion project of Highway 395, Most recently, Adelanto City Council for future tenants. of which approximately $53 million approved a development agreement to will be used in Adelanto to add an ad- construct a new 125-acre prison with a Apple Valley will launch a ditional lane in both directions between 20-year contract to house overflow -in comprehensive recruitment program to Palmdale Road & Bartlett Road, helping mates from L.A. County. The project attract new hotel development thanks, to enhance areas along the highway for is estimated to cost $327 million, with in part, to local students participating in business attraction. Former Adelanto the potential gain of $1.2 million a year the Inaugural Mayor’s Youth Leadership Mayor Cari Thomas, a dedicated advo- in bed-tax revenue and additional incen- Summit. The students voted to support tives for the City of Ad- a hotel recruitment effort from a list of elanto. community projects and were invited to pitch their proposal to the Town Council For more information for funding, where it was unanimously on any of these proj- supported. ects, contact the city’s Economic Develop- “The students rallied behind this ment Team at eco- issue because, like so many of our nomicdevelopment@ residents and visitors, they see the ci.adelanto.ca.us. pent-up consumer demand we have for local overnight accommodations,” said Orlando Acevedo, Economic Development Manager. Look for more information to be released soon. In 2015, Apple Valley will unveil continued on page 35 The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report 33 An economic overview Barstow City Update By Gaither Loewenstein, Economic Development and Planning Manager

A f t e r northwest sector of the interchange. Residential Development Outlook s p e n d i n g In the same vicinity, taxable restaurant Negotiations are currently underway to m u c h sales have increased by 8.5 percent over secure an agreement with a builder to of 2014 the past year. Prompted by this rapid construct single-family homes within a completing the city’s long-range sales growth, restaurants have continued 147-lot subdivision on Rimrock Road, planning process, including approval to choose Barstow’s Lenwood Road and the first phase of this development of the 2015-2020 General Plan area for expansion. Panera Bread had could break ground by late 2015. A Revision and Master Environmental its “soft” opening in late October 2014 specific plan for Waterman Junction, a Impact Report, Barstow is anticipating and formal ribbon-cutting ceremony master-planned active senior community a significant increase in economic on December 3rd. Development of comprised of up to 579 single- development activity in 2015. Several the adjacent one-acre parcel is in the family homes, 469 townhomes and key macroeconomic trends augur well final stages of site approval, with condominiums, and a 228-bed assisted for Barstow’s development in the current construction expected to commence living facility, surrounding an 18- year. At the national level, with overall in early spring 2015. In January a new hole golf course, will be submitted for job increases exceeding 250,000 for Fatburger restaurant opened its doors in review in March 2015. Although active four straight months and GDP having a remodeled space formerly occupied development of the 315 acre community increased by over 2.5 percent in four of by Cold Stone Creamery. is not expected to occur in the immediate the last five quarters, it is clear that the future, this project is consistent with United States economic recovery is well Elsewhere, continuing progress is being made in acquiring lands within the the city’s long-term vision of Barstow underway. Economic growth in Barstow as a community in which families may has traditionally lagged the national Spanish Trail Specific Plan area (located at I-15 and L Street) from the State Lands spend their entire lives, with a range of economy by roughly two years; based housing products appealing to every age on this indicator, 2015/16 promises Commission and the Bureau of Land Management. Acquisition is anticipated cohort. In addition to these projects, the to be an optimal time period for local city continues to receive expressions economic expansion. to be finalized in the first half of 2015, and groundbreaking ceremonies for this of interest from smaller-scale builders Commercial Development Outlook exciting mixed-use lifestyle center are seeking to construct housing on infill A number of promising developments anticipated to occur shortly thereafter. sites throughout the community. suggest that the retail market in Barstow Strong leads have been developed Infrastructure Update is poised for significant growth in for a wide range of potential tenants, By the end of 2015, Barstow will be 2015. The long-awaited Montara Place and rapid construction and occupancy nearing completion of its ambitious shopping center, anchored by a new is anticipated once the issue of site capital improvement plans, resulting Super WalMart store, is scheduled to assembly has been fully addressed. in reconstruction or resurfacing break ground mid-year, with project Industrial Development Outlook of the majority of local roadways, completion anticipated in 2016. New The newly revised Barstow General Plan modernization of the city’s wastewater leases have been signed in existing treatment plant, circulation network shopping centers by national retailers, identifies a number of sites suitable for industrial development, several of which improvements in the vicinity of I-15 including Big 5 Sporting Goods and and Lenwood Road, and construction Harbor Freight, reducing the City’s are likely to experience construction activity within the Plan’s 2015-2020 of the $ 31.7 million Lenwood Road inventory of existing available retail Grade Separation Project. The $ 71 space. time horizon. A smaller scale version of the aluminum processing facility million reconstruction of the First Street The City’s hotel occupancy rates that was discussed throughout 2014, Bridge is in the final planning stages, improved dramatically over the past amounting to approximately 500,000 with construction scheduled to begin in several quarters, with occupancy in square feet and generating at least 300 2017. the vicinity of the Lenwood Road/ manufacturing jobs, will be submitted Through its integrated efforts at long- I-15 interchange now approaching for review and approval by mid-2015. range planning and infrastructure 92 percent. Encouraged by the recent Utilities have been extended to the improvement, Barstow has positioned increase in occupancy, Best Western Barstow Industrial Park, making it more itself to capitalize on the next wave Hotels recently submitted plans for a readily suitable for development and of economic growth as the national, 60-room property, featuring several numerous prospective tenants continue regional and local recovery from executive suites, to be constructed in the to express interest in this location. the Great Recession reaches peak momentum in 2015.

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] 34 High Desert Report An economic overview Hesperia City Update Ranchero Road Corridor Project: Phase II Completed By Lisa K. LaMere, Economic Development Management Analyst The completion of Hesperia’s Ranchero 2015 Development Bodes Well Federally Funded Loan Programs Road Interchange was celebrated with a The start of the New Year bodes well Available February ribbon cutting opening the six- for development activity in Hesperia, as The City of Hesperia is currently accept- lane bridge over Interstate 15 two years 2015 begins with over 84,000 square feet ing applications for its federal Commu- after breaking ground on January 11, of new, expansion and tenant improve- nity Development Block Grant (CDBG)- 2013. The Interchange was the second ments in the pipeline, much of which will funded Economic Development Loan phase of the three-phase Ranchero Road be open within the next several months. Program (EDLP) and its Microenterprise Corridor Project, a $60 million project, Encore Charter School is expanding by Assistance Program (MAP). Both pro- funded with a mix of federal, state, local 31,000 s.f. and San Bernardino County grams are designed to provide financial and Measure I monies, included utility Health Clinic has added 5,000 s.f. Expect assistance to new businesses seeking to relocations, flood control improvements, to also see ribbon cuttings for Hesperia establish themselves in the City of Hes- traffic signals, ramp metering, grading, Speedwash, Pacific Eye Institute and peria, or existing businesses seeking on- and off-ramps, and two realigned Arco AM/PM. to expand. EDLP and MAP funds may frontage roads. Last calendar year we saw over 187,000 be used to assist with a wide variety of The Ranchero Road Corridor Project, square feet completed, with almost expenditures, including machinery, fix- consisting of three phases, has long been 19,000 square feet of retail, restaurants tures, equipment, real estate, or working one of the city’s highest priority infra- and more, opening just this past Decem- capital. Funding is limited and awarded structure projects. Each is a separate and ber, including the 8,700 s.f. O’Reilly’s on a first-come, first-served basis. distinct project in and of itself, intercon- Auto Parts and the 5,900 s.f. Giuseppe’s Applications are open to private for¬- nected and crucial to the success of the Italian Restaurant. By Q2 2015, several profit business concerns, including- cor entire project. Collectively, all three other eateries will be open. Among them porations, limited liability companies, phases of the Ranchero Road Corridor are Hesperia’s second WaBa Grill, which partnerships (general and limited), or Project will provide significant mobility, is undergoing tenant improvements, and sole proprietorships located and licensed access, and safety improvements to an Flame Broiler’s second location in Hes- within Hesperia city limits. All applicants underserved, growing area of San Ber- peria, occupying a now fully-leased pad must meet minimum program eligibility nardino County. at Mountain Vista Plaza on Main Street criteria. Phase I, the installation of an undercross- and Escondido across from the Walmart Up to 25% of the approved EDLP or MAP ing at the BNSF Railway to connect Ran- Supercenter. funding is eligible for grant consideration chero Road where it ended at both sides Housing upon completion of all program require- of the railroad tracks, was completed in ments. The EDLP can provide loan fund- June of 2013 at a cost of $27 million. Hesperia’s housing permit numbers are on the rise. In FY 13-14, 63 permits ing of $25,000 to $70,000 for approved Phase I provides direct access for Phase applicants, who must meet job creation II, the Ranchero Road Interchange. were pulled; however, through the first week of February of this fiscal year, 55 requirements or other CDBG-approved Planning of the final phase for the- fu permits already have been issued. It has objectives. The Microenterprise Assis- ture widening of a five-mile stretch of been awhile since there has been any tance Program is open to businesses with Ranchero Road from two to four lanes housing tract development, but last year five (5) or fewer employees, one (1) or between I-15 and the Phase I undercross- Sorrento Homes was successful in sell- more of which must be the applicant(s) ing continues. Phase III is a joint project ing out Phase I of 16 homes in just seven who owns the business. MAP can pro- with San Bernardino County. Funding months. With three model homes ranging vide loan funding of $2,500 to $15,000 has been identified for the design and en- from 1,804 s.f. to 2,213 s.f. and lot reser- for approved applicants. All loan funds vironmental portion of the project. City vations available, Phase II infrastructure must be secured and guaranteed by the staff is working with the Department of improvement plans are underway. Sor- business owners and additional condi- Water Resources on the requirements for rento expects to break ground for these tions apply. widening the bridge over the California last 23 homes this summer. Sorrento also This loan program is but one example Aqueduct. Regulatory changes necessi- has seven lots in southwest Hesperia on illustrating that, quite simply, Hesperia tate the new bridge structure provide for which they will build 3,200 s.f. ranch- works for business! To see how Hesperia enhanced free-board vertical clearance style homes, with a late Spring release can work for you, contact Steven Lants- over the water surface. The final phase date. berger, CED, Economic Development of the Ranchero Road Corridor Project is Director, at [email protected] expected to cost approximately $18 mil- for more information lion.

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] exhaust air system. This capital improvement investment took SCLA’s and Leading Edge’s joint

efforts and commitment so that Leading Edge would be able to meet its customers painting

requirements when operating within a cold winter climate. The most recent of these paint jobs

include orders for Ethiopian Airlines, China Southern Airlines, Singapore Airlines, United

Airlines, and many more to come. Leading Edge employs an estimated 150 people at SCLA.

Other large investments made by SCLA include facility upgrades to occupied and unoccupied

facilities including hangars and office buildings, security upgrades which include the repair of 35 High Desertexisting Report fence, and covering dilapidated housing area in order to beautify the Airport. An economic overview More recently, in the last six months, The Boeing Company, a tenant of SCLA since 2003, has

Victorville Citybrought Update its 777 offload program to its facility in Victorville. Leading Edge and Boeing have Victorville is Leading The Way Towards a Strong Economic Recovery for The Region By Keith Metzlerteamed up in this program and continue to bring business to SCLA. In December 2013, the As the largest shoot was an all-dayBoeing shoot 787 and-900 SCLA Dreamliner (PART) landed at and SCLA M&M/Mars where it has tobeen name undergoing a a significant amount city in the High closed down one of its runways to few. of flight testing. Desert, Victorville accommodate the filming production. For more information regarding SCLA’s is leading the way Recently, the ChairmanTo stay of current the Board/ with excitinggrowth news developments, on SCLA or retail be sureand restaurant to visit growths in the City of towards a strong President of PacificVictorville follow Aerospace us on ourour social website media sites. at www.victorvillecity. economic recovery Resources and Technologies (PART), com or contact Keith Metzler at for the region. David Green, announcedBe sure their to visit new our [email protected] website at www.victorvillecity.com. Cont or act Keith Metzler at With a continuous contract with the [email protected] Group (HNA). call 760.955.5032. or call 760. 955. 5032. growing population of 115,000, there This year alone Southern California have been several projects completed Logistics Airport (SCLA) can expect an in the past year that sustain the growth. additional 50 aircraft to park, reposition Some well-known companies that have and repair, making the airport number searched for expansion opportunities in one for Maintenance, Repair and Victorville include the Tilted Kilt and Operations (MRO) business. With a Desert Fiat. world-class MRO program located in The Tilted Kilt recently opened in Victorville, David Green shares that, December 2014. The restaurant is “there’s no other place like it in the located on Mariposa Road between Bear world, it’s a one-stop-shop.” Since Apple Valley City Update Valley and Nisqualli Road in the old taking ownership in September 2013, Continued Red Robin building. With a multitude of PART has also partnered with two other developments expanding throughout the tenants at SCLA, including Boeing and another business development tool to city, the community can expect more Leading Edge, to help continue growth help small businesses fund employee job opportunities at the Crossroads throughout the aviation industry. training and/or finance new equipment Shopping Center and the Dunia Plaza in Aviation operations at SCLA continue purchases. For example, Microenterprise 2015. to grow. In 2014 alone, several Loan Program (MELP) utilizes Town In November 2014, the city welcomed companies extended their lease Council-approved federal grant dollars Desert Fiat to the Auto Park at Valley agreements for hangar and office space. to help grow local jobs and increase Center, conveniently located on the east Among these companies are Boeing, production in targeted sectors, including side of Interstate 15 and La Paz Drive, Pacific Aerospace and Technologies manufacturing, assembly and startups. directly across from McDonald’s. Fiat (PART) and Leading Edge, to name a Along with the MELP program, Apple is currently open and operating under a few. As the airport remains busy, its Valley will continue their Business temporary use permit while they finish lease occupancy is rapidly approaching Visitation Program, which the Town the building improvements. 100% leased status and is set to launch uses to connect local businesses in Southern California Logistics Phase 2 of its industrial growth plan Apple Valley with an array of business Airport, CA for the airport. SCLA’s leased out development resources. A “Shop Local, capacity demonstrates a demand for Think Apple Valley” marketing and SCLA filming activity also continues the installation and construction of educational campaign is set to launch in to remain strong. Recently, SCLA new capital improvements such as new the coming weeks, as well. hosted two notable filming activities. hangars, industrial warehouses and On December 9th, SCLA served as the Pieology Pizzeria is coming soon to office buildings for new and existing Apple Valley. Pieology joins Ulta set for a reality television show called tenants. Germany’s Next Top Model, believed Beauty, Osh Kosh B’Gosh, Carters, Burlington, Jersey Mike’s Subs and to be following the script of America’s Victorville is a pro-business community other chains and franchisees to select Next Top Model. Among those on set, offering many incentives, which has helped to attract corporate relocations Apple Valley as their first High Desert Heidi Klum was one of the hosts. This location. Pieology is slated to open this shoot was done around SCLA’s run-up from notable companies, including The Boeing Company, Dr. Pepper spring at Bear Valley and Apple Valley pad, close to where Southwest Airlines Roads near Home Depot. conducted its commercial shoot in Snapple Group (NYSE: DPS), Newell October 2014. On December 13th, Rubbermaid, GE Transportation, and SCLA hosted a music video shoot for Goodyear Tire & Rubber Company, pop singer Rhianna. The music video Pacific Aerospace and Technologies

The Bradco High Desert Report 760.951.5111 • Fax: 760.951.5113 • www.TheBradcoCompanies.com • email: [email protected] High Desert Report PRESORTED An economic overview STANDARD P.O. Box 2710 US POSTAGE Victorville, CA 92393-2710 PAID VICTORVILLE, CA Joseph W. Brady Inc., DBA The Bradco Companies, PERMIT #38 The High Desert Report, is a California Licensed Real Estate Broker No. 01057618

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