Business Group Asked to Come Up with Ways of Implementing Economic Plan

• Ad Hoc Marketing Committee to Investigate Proposals

BY BILL KOENEKER

The Malibu City Council recently agreed to move ahead with the economic services study by the Business Roundtable Study Group, which is looking at implementation measures of the comprehensive report.
The study group had met and discussed the report several months ago, talking mostly about how the information in the document could be utilized.
The discussions have touched on whether to establish a business enterprise zone or business improvement district or request the city require findings on commercial development projects to ensure long-term economic viability and or develop incentives based on floor area ratio scenarios.
At a second meeting, the business roundtable met to further discuss additional aspects of the study, including visitor spending, the creation of a visitors bureau and, most importantly, ways to capture what is called retail leakage, money spent outside of the local economy.
The group at that meeting in November decided that an ad hoc marketing committee should be formed, a subcommittee of the roundtable to continue investigating the document.
The planning staff, which has oversight of the matter, indicated once the marketing committee formulates implementation measures, planners will coordinate a review with the economic advisory committee’s findings prior to bringing those measures to the council.
The report left some jaws dropping, when it revealed it is estimated that Malibu families spend $276 million per year in retail establishments with 68 percent or $189 million spent outside of Malibu—retail leakage.
Visitors to Malibu also spend a great deal of money in Malibu, with an estimated $147 million spent by outsiders, folks living in the surrounding areas, tourists and day visitors.
The report states Malibu has 1479 businesses. Nine-hundred of those businesses are home occupied. The 1479 businesses produce $1.23 billion in revenue per year.
The report goes on to state there are 8900 households in the 90265 zip code and the average household income is $224,000.