LONG BEACH RECOVERY PLAN
The Long Beach Recovery Plan focuses on various economic, fiscal and public health priorities that promote inclusive, effective, and prosperous economic and social recovery for Long Beach residents, business owners, and workers critically impacted by the COVID-19 pandemic.
On Tuesday, March 16, the Long Beach City Council voted to adopt the Long Beach Recovery Act to fund economic, public health and fiscal initiatives for Long Beach residents, business owners and workers critically impacted by the COVID-19 pandemic. The adopted $234 million plan includes additional funding provided by the American Rescue Act, including $15 million for the Long Beach Airport and $12.35 million for additional programs for businesses and residents.
Funding Focus Areas
The Recovery Plan allocates $51 million in total to the City’s Economic Recovery Strategy. Guiding the recommendations for an effective, efficient, and inclusive economic recovery are key principles and focus areas that are critical to recovering businesses and jobs lost to COVID19. The strategy focuses resources on the areas of the economy that have been most impacted, seeks to relaunch business sectors hardest hit by the pandemic, and proposes ways to strengthen revenue generation and leverage consumer spending to promote lasting economic growth. An effective and efficient economic response needs to be targeted, data driven, and equitable. The Recovery Plan recommends targeted investments in the following activities that will provide the most benefit to business owners, workers, and residents in Long Beach.
The Recovery Plan aims to address the highest needs of community members most adversely impacted by the COVID-19 pandemic. Creating a healthy and safe city for all Long Beach communities is the second pillar of the Recovery Plan, and the recommended programs and services in this section focus on addressing the underlying social determinants of health and prioritizing the needs of those who have been hit hardest by the pandemic.
Securing the City’s Future
The City, like communities across the country, has faced severe budget impacts due to the public health and economic malaise caused by the COVID-19 pandemic. The City budget relies in part on revenue streams such as sales tax, oil production, tourism, and fees, have dramatically decreased due to the pandemic. As described in the Fiscal Year 2020 Year End Budget Performance Report, the City ended FY 20 with a significant budgetary shortfall and has taken necessary actions to balance the budget, including drawing down operating and emergency reserves, cutting departmental budgets, and implementing up to 26 days of staff furloughs. In addition to these budget cuts and revenue losses, the City incurred substantial emergency expenditures for COVID-19 emergency response, given that the City operates its own public health jurisdiction. The fiscal stability of the City is critical to the long-term resiliency of our community.
Addressing new and historic inequities was critical to the development of the Long Beach Recovery Act. As a result, the plan emphasizes high-risk populations and the hardest-hit business sectors and workers, and incorporates key goals and objectives from the City’s Economic Development Blueprint, Everyone In, Digital Inclusion Roadmap, and the Framework for Reconciliation to ensure a racially equitable economic recovery.
The entire Long Beach Recovery Act, as it was proposed to Council, can be found here.
The City is currently designing programs and resources and expects to launch programs on x date. We encourage residents, business owners, and stakeholders to stay up to date, sign-up for our Business Brief and follow us on @LBEconDev on Facebook, Instagram, and Twitter for the latest news and info.