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The Big Picture San Diego Blog


Propel San Diego

July 2, 2018

Are you a growing, San Diego-based company? Are you looking to expand into foreign markets? Or, are you a defense contractor looking to diversify revenue? San Diego Regional EDC can help.
 
Apply now to EDC's business support programs - MetroConnect and/or the Defense Innovation Voucher Program - which offer $10K-$15K grants and programmatic services to support your business' growth.

 
The details:
  • MetroConnect, World Trade Center San Diego’s flagship export assistance program, is now in its fourth year. Made possible through a grant provided by JPMorgan Chase & Co., small to mid-sized companies in San Diego will receive a $10K grant and programmatic services to assist with international expansion efforts. Learn more.
  • As part of the Department of Defense-funded Propel San Diego grant, the Defense Innovation Voucher Program will provide San Diego headquartered defense companies with $15K in consulting services in one of the following categories: marketing, strategic planning, accounting compliance, lean supply chain analysis and additive manufacturing, and certifications, as well as additional hands-on training for companies looking to diversify revenue. Learn more.
 
The application can be accessed here from July 2 - August 20, 2018.

 

February 14, 2018

Last week, President Trump signed a two-year budget deal that included a hike in the debt ceiling and agreements to raise spending caps for domestic and defense programs.

For San Diego, a community where 20 percent of our GRP is tied to the military, this bill provides some stability and relief from the constant threat of continuing resolutions and sequester.

In order to better understand how fluctuations in defense spending impact our regional economy, EDC has released “Mapping San Diego’s Defense Ecosystem,” as well as a data visualization tool at SanDiego.DoDspend.com. This is the first of its kind regional analysis that focuses on the industrial composition of the defense supply chain and quantifies the number of firms and jobs that are impacted by defense spending. This project was executed as part of phase one of Propel San Diego, a Department of Defense funded grant initiative awarded to the City of San Diego.  

Specifically, the web tool provides deal flow information at the zip code level and by industry across the county. Why this matters: the 2019 budget includes two Fleet Replenishment Oilers (T-AO) priced at $1.1 billion. These ships will likely be built by General Dynamics NASSCO here in San Diego. While those contracts are awarded over a period time, by using this new tool, users can see that this funding will have a direct impact in creating more than 1,000 jobs in the shipbuilding and repair industry.

Key study findings include:

  • San Diego is the second largest recipient of defense procurement dollars in the U.S. 
  • A strong network of suppliers and access to customers are key reasons that 71 percent of firms have a favorable view of San Diego as a place to do business.
  • Defense contractor jobs have grown 6.3 percent over the last three years, and are expected to grow another 9.3 percent over the next year.
  • Since 2012, the majority of contract dollars received by the region were awarded by the Department of the Navy, each year awarding between 44 and 55 percent of total awards.
  • The majority of contract dollars were awarded to companies in the manufacturing industry, each year receiving anywhere between 47 and 68 percent of total contract dollars.


These resources provide companies, city planners, workforce agencies and economic development organizations better insights into how legislation like the bill signed into law last week can impact the San Diego community. The data has the potential to help companies prepare for new market opportunities and help communities prepare for changes in workforce demands, as has helped inform how EDC can better prioritize our limited resources in support of the region’s defense industry.

Following the successful execution of Propel San Diego’s phase one, the City of San Diego has been awarded a phase two grant for an additional $1.7 million. For more information, visit sdmac.org/propel.

Read the full study here.

 

December 12, 2017


 


Propel San Diego is a federal grant - awarded to the city of San Diego - to boost the San Diego region's defense resiliency. The timeline below describes how we worked with and through partners, on the Propel San Diego initative.

  • 2012 - OPERATION SAN DIEGO COALESCES
     Amid discussions around the potential impact of sequestration, EDC and the San Diego Military Advisory Council (SDMAC) co-create the Operation San Diego initiative. Operation San Diego is a strategic plan to support the region's military and defense footprint – a key driver of the regional economy.
  • SEPTEMBER 2014 - EDC EXPLORES COLLABORATION WITH OEA
    Home to the largest concentration of military assets in the world, San Diego was a prime candidate for funding from the Department of Defense’s Office of Economic Adjustment (OEA), which had already been funding similar programs in other defense-heavy clusters across the country. The Office of Economic Adjustment urged San Diego to apply for the program, which would help boost San Diego’s defense resiliency.  
  • JANUARY 2015 - RESEARCH PROVES ELIGIBILITY FOR OEA FUNDING
    As a way to prove eligibility for the grant, EDC conducts an analysis of defense-related workforce trends. The research concludes that many small and medium-sized enterprises (SMEs) are dependent on military and defense funding. An OEA grant would help develop programming to diversify revenue streams. Now, EDC and SDMAC  must get the right regional partners onboard. 
  • AUGUST 2015 - CITY OF SAN DIEGO SPEARHEADS GRANT PROPOSAL 
    Recognizing the need to diversify our economy, the City of San Diego agreed to spearhead the grant proposal and act as the fiscal agent.
  • JULY 2016 - SAN DIEGO WINS $1.6M GRANT
    After a lengthy application, the City of San Diego, EDC and additional regional partners receive notification of a $1.6 million grant award for Phase I of the OEA project. Phase I of the project includes a defense industry survey and research report, overhaul of the SDMAC website and the creation of a regional asset map.
  • SEPTEMBER 2016 - PROPEL SAN DIEGO DEVELOPED AS ENTITY 
    The partners in charge of executing the OEA grant officially name the initiative Propel San Diego, and develop a logo and other supporting materials.
  • JANUARY 2017 - PROPEL SD RESEARCH IDENTIFIES DEFENSE ECOSYSTEM
    Research finds that small businesses often derive a large portion of their revenue from defense-related contracts, meaning downward adjustments in military spending at the federal level can have catastrophic impacts on the longevity of military-reliant small businesses. 
  • SEPTEMBER 2017 - PROPEL SD AWARDED $1.7M FOR PHASE II OF OEA GRANT
    Due to the success of the Phase I OEA work, Propel San Diego was granted $1.7 million to execute Phase II, which will begin in 2018. As part of the Propel San Diego deliverable, EDC and World Trade Center San Diego will run a MetroConnect defense cohort for defense-reliant companies looking to export and diversify their sales portfolio.
     

And we're just getting started. In 2018, we'll release our defense visualization tool. Stay tuned for updates from Propel SD.

In addition to San Diego Regional EDC, Propel SD partners include: