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Report regarding a resolution authorizing the City Manager or their designee to execute a one-year professional services contract with the South San Francisco Chamber of Commerce for enhanced economic development support services. (Ernesto Lucero, Economic Development Manager)
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RECOMMENDATION
Recommendation
Staff recommends that City Council adopt a resolution authorizing the City Manager or their designee to execute a one-year professional services contract with the South San Francisco Chamber of Commerce for enhanced economic development support services. In addition, staff is seeking a decision from City Council on whether to engage the Chamber in a contract with a $25,000 scope of work or a $50,000 scope of work. Two resolutions are attached to this staff report, asking the Council to approve one of the resolutions, depending on the dollar amount recommended for approval.
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BACKGROUND
The South San Francisco Chamber of Commerce (“Chamber”) is one of the City’s oldest institutions, and its most visible contribution is the installation of the letters on Sign Hill, “South San Francisco, The Industrial City.” Founded in 1913, the organization has ever since had a strong connection to local businesses, beginning with Western Meat Company and other heavy industries located in South San Francisco in the early twentieth century. By 1923, the Chamber ran promotional articles in the local newspaper promoting the community and its businesses, which led to the temporary letters in powdered lime on Sign Hill. By April 1929 the letters were made permanent in concrete.
The historic sign represents not only the City’s identity, but also one of the first major initiatives involving a local City-Chamber collaboration, with the Chamber generating the idea and advocating for the community to help fund the permanent version.
The Chamber, today, is a nonprofit 501(c)(6) that supports a member-based coalition of South San Francisco businesses and its supporters. Members include entrepreneurs, professionals, managers, and business owners that all invest in the Chamber to support efforts that make South San Francisco a place where businesses can succeed and thrive. The Chamber is governed by an 11-member Board of Directors (“Board”) and two City Ex-Officio staff that meet monthly, with a CEO and one part-time administrative staff member managing the operations. There is currently a strong volunteer base within the Chamber, and there continues to be strong collaboration and partnership with other nearby local and regional Chambers of Commerce.
The City regularly works with the Chamber in a variety of ways, however, there is no agreement formalizing how the City and Chamber collaboratively support the South San Francisco business community. A City-Chamber agreement is a common way many small to medium-sized cities collaborate on supporting the local business community. Some of the most common scopes of work include the installation of community events, downtown activation, outreach to local businesses, industry engagement, business promotions, shop local campaigns, or legislative affairs affecting businesses.
DISCUSSION
Council is being asked to consider two scopes of work for a professional services agreement with the Chamber of Commerce. The first is limited and would accompany a $25,000 budget. The second is more substantial and corresponds to a $50,000 budget. Below is a summary of the two scopes of work options for Council’s consideration.
Scope of Work A ($25,000)
1. Develop a formal partnership for core local business support and advocacy activities, including welcoming new businesses;
2. Feature City news, programs, events, or updates in the Chamber newsletter and digital communications, monthly;
3. Provide outreach to the business community on City economic development resources, including referrals to permitting assistance, New Business Advocate Program, New Business Welcome Program, and Launch Local;
4. Represent South San Francisco businesses at regional economic forums as applicable, which may include members and non-members;
5. Create a formal collaboration and connection to nonprofits within the Economic Advancement Center (“EAC”). This may include cross-promoting EAC programs and events that benefit small businesses and entrepreneurs;
6. Chamber to provide two of the following services:
a. Host two focus groups with South San Francisco legacy businesses as a needs assessment for the Legacy Business Program. The Chamber will organize a venue, vet and invite legacy businesses, in coordination with City staff. Legacy businesses are those that have been operational in South San Francisco for more than 20 years. The Chamber will organize the day-of logistics and provide documentation of feedback received. At the Council’s direction, the Chamber is requesting a fee waiver if the focus group is held at a City facility;
b. Conduct two business walks in commercial districts selected in partnership with City staff to share resources and receive feedback from businesses on the local business climate and needs they may have. The Chamber will summarize a report after the business walks to document what was learned and opportunities for enhanced services or programs; and
c. Facilitate an Off the Grid-style event featuring food trucks and restaurants from South San Francisco. The purpose would be to create an opportunity to draw community members to a new part of the City, such as east of Highway 101 in Oyster Point.
Scope of Work B ($50,000)
1. All services selected from Scope of Work A; and
2. Chamber to provide two of the following services:
a. Hold a free senior services showcase that highlights local businesses that provide services to senior community members;
b. Engage a new large employer to hold a shop local event, similar to Genentech Comes to Town, where employees are incentivized with “bucks” to spend at participating South San Francisco merchants. The Chamber currently administers the Genentech Comes to Town program; and
c. Hold a wine-walk or similar Downtown activation event featuring local businesses during an off-season period when businesses need foot traffic. The City’s funds will not be used to purchase alcohol, and each participating business must include a non-alcoholic alternative.
Under both scopes of work, the Chamber would also submit quarterly progress reports, present an annual report to the City Council, and attend a monthly standing City economic development and business liaison meeting. All services described would be intended for all businesses, regardless of Chamber membership affiliation.
City staff could greatly benefit from an established Chamber partnership by augmenting additional partners, such as the Chamber CEO, Chamber Ambassador Team, and their volunteer base, to carry out various economic development programs and initiatives. The current City Economic Development staff consists of 2.5 full-time equivalent (“FTE”), and the demand for business resources has not diminished, especially since the onset of the pandemic. By being able to leverage existing business organizations like the Chamber, a partnership can add additional value to supporting the local economy and allow City staff to expand how South San Francisco can continue to be as business friendly as possible.
At its October 20, 2026, Board of Directors meeting, the Chamber approved a motion for Council to consider a contract with Scope of Work B in the amount of $50,000.
FISCAL IMPACT
This professional services agreement would be funded under the City’s current professional services budget, and no additional budget amendment is being requested.
CONCLUSION
Staff recommends that City Council adopt a resolution authorizing the City Manager or their designee to execute a professional services agreement with the Chamber of Commerce with either scope of work, at the discretion of Council. If Council approves the associated resolution, the term of the agreement would commence on January 1, 2027, and end on December 31, 2027.