Inclusive Growth Spotlight: San Diego County Regional Airport Authority

To celebrate and inspire the efforts of regional employers, EDC’s new Inclusive Growth blog series will highlight San Diego companies helping to drive progress on the 2030 Inclusive Growth goals.

Launched in 2018 and informed by a partnership with the Brookings Institution, the Inclusive Growth initiative sets 2030 goals for San Diego related to increasing: 1) the supply of talent, 2) quality small business jobs, and 3) newly thriving households. The goals inform San Diego’s economic priorities and make the business case for economic inclusion.

Small businesses are the backbone of the economy

San Diego small businesses represent 98 percent of all firms and account for 59 percent of total employment, more than the national average. The impact that small business owners have on local jobs cannot be overstated, and yet, they struggle to keep up in an increasingly expensive market.

With a goal to add 50,000 new quality jobs in small businesses by the end of the decade, EDC data shows a surge in progress after years of steady recovery. In 2023, the region added 48,481 new quality* small business jobs, nearly surpassing the goal.

While the significant rise in quality jobs is reassuring, small businesses still struggle to compete. Employer-led efforts to support small businesses are critical to the future of the region’s economy, and the San Diego County Regional Airport Authority is among those contributing to the progress.

How SAN supports the ecosystem

As a regional anchor institution that generates more than $12 billion dollars in economic activity each year, the San Diego County Regional Airport Authority is a pillar of the economy. This fall will mark the completion of the first phase of the much-anticipated Terminal 1 at San Diego International Airport. The project will continue to generate economic opportunity for San Diego, primarily through jobs and contracting opportunities—key components of Inclusive Growth.

Learning to do business with the Airport can be difficult to navigate for small, local businesses. The Airport Authority’s Small Business Development (SBD) Program is the primary business unit responsible for opening the doors to smaller businesses so that they can compete for airport contracts.

The Airport Authority’s Procurement Department also maintains an outreach plan and tracks supplier diversity metrics for all solicitations. In collaboration with department contract owners, Procurement develops solicitations and facilitates the review, evaluation, selection, and onboarding of respondents. To engage local, small, and Veteran-owned businesses, the Airport Authority implements a variety of outreach strategies designed to ensure these businesses are informed of contracting opportunities and can be competitive when bidding on Airport projects.

Both SBD and Procurement, in partnership with all Airport Authority departments, encourage diversity in the Airport’s suppliers, professional services, contractors, and concessionaires.

The Airport Authority’s annual “Meet the Primes” event is open to the public and connects small businesses directly with prime contractors, airport staff, and other government agencies to learn how to navigate the contracting process. In addition, the Authority hosts various training and educational events throughout the year, covering how to work with the Airport and become certified for contracting opportunities.

“We also try to see if there are opportunities to unbundle projects to make certain aspects of the project smaller, so more businesses have the ability to compete,” said Craig Ruiz, Manager of the Airport Authority’s SBD Program. “We do targeted outreach to businesses in those different categories to ensure they are prepared to bid.”

On a project-specific level, the Procurement team proactively identifies businesses that can meet the needs of each project, ensuring all relevant vendors are informed and engaged through targeted outreach. The Procurement Department leverages platforms like PlanetBids, an e-procurement tool where businesses can register, access contracting opportunities, and connect with prime contractors for subcontracting opportunities, helping to broaden their reach and increase their chances of success. Small businesses are invited to signup for PlanetBids to access trainings and more information.

Small shifts in local spend by San Diego’s anchor institutions create quality jobs. EDC found that a one percent increase in local construction spending could generate more than 1,000 new quality jobs for the region.

“Supplier diversity provides a greater range of solutions to projects, and helps our community flourish,” said Airport Authority Director of Procurement Jana Vargas. “Investing in these businesses creates a ripple effect that allows them to reinvest in their communities, creating a cycle of opportunities.”

The Airport Authority’s efforts continue to show results. For 2023, there was a 21 percent year-over-year growth in major construction project spending to Local Business Certified (LBC) firms, with more than $32 million awarded to LBCs.

Businesses in the Small Business Enterprise (SBE) category were awarded contracts representing almost $28 million in 2023. The federally funded Quieter Home Program awarded $1.4 million to Small Business Enterprises (SBE).

Join the movement

Progress on EDC’s 2030 Inclusive Growth goals is only achievable with and through the region’s employers who must be committed to scaling innovative and intentional solutions in San Diego. Anchors like San Diego County Regional Airport Authority are helping to collectively pave the way toward a more inclusive regional economy.

*A quality small business job is defined as one provided by a company with fewer than 100 employees and that pays at least $23 per hour and provides healthcare benefits.

To learn more and get involved in EDC’s work, contact:

Teddy Martinez
Teddy Martinez

Sr. Manager, Research