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lbbusinessjournal.com

February 4-17, 2014

A Push For Transparency In Labor Negotiations

PART II IN SERIES

Mayoral Candidates – Except Lowenthal – Respond To Questions

Robert Garcia

Doug Otto

Gerrie Schipske

Turn To Pages 20-21 To Read Their Responses

fter the transparency of bargaining A collective negotiations between public

First Of 14 New Gantry Cranes Installed At Middle Harbor ■ By SAMANTHA MEHLINGER Staff Writer he first two of 14 gantry T cranes have been installed at the Port of Long Beach’s (POLB) Middle Harbor redevelopment project currently under construction. The cranes are for Long Beach Container Terminal, a division of OOCL.

Unlike other cranes in the port, these can pick up two containers off of a vessel at once, according to Art Wong, assistant director of communications for the POLB. “They are the biggest, fastest and most technologically advanced in North America,” and are able to work the world’s largest container ships, Wong added. Anthony Otto, president of

FOCUS ON BUSINESS AND EDUCATION

Entrepreneur Seed Funding Pilot Program To Begin Accepting Applications This Month

Question What experience do you have that enables you to understand challenges faced by businesses in Long Beach?

■ By SAMANTHA MEHLINGER Staff Writer

(Photograph by the Business Journal’s Thomas McConville)

Question

Damon Dunn

Councilmembers To Discuss At Tonight’s (February 4) Meeting

The tallest gantry cranes in the Port of Long Beach arrived recently from China for use by Long Beach Container Terminal upon completion of the Middle Harbor redevelopment project. The gantry cranes are manufactured by the Shanghai Zhenhua Heavy Industry Co., Ltd.

The Business Journal presents Part II in a series asking the top mayoral candidates to respond to two questions. Candidate Bonnie Lowenthal did not respond. All candidates were emailed the questions at the same time and were previously alerted about the process used.

The headline from the Long Beach Police Department read: “2013 Crime Statistics Show Lowest Reported Violent Crimes In 41 Years.” Does Long Beach need to hire more police officers?

10

Program Renamed Innovation Fund SoCal With Launch Of innovate!socal Conference ■ By TIFFANY L. RIDER Editor o help launch job-creating, T high-growth startups in the region, the entrepreneur seed funding pilot program at Long Beach City College (LBCC) is

Long Beach Business Journal 2599 E. 28th Street, Suite 212 Signal Hill, CA 90755-2139 562/988-1222 • www.lbbusinessjournal.com

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accepting applications for four $25,000 grants and one $100,000 interest-free loan starting February 21. The pilot program, which began in 2013, mirrors Lorain County Community College’s partnership with the Ewing Marion Kauffman Foundation. Originally called Innovation Fund America, the program has been renamed Innovation Fund SoCal, according to Sheneui Weber, executive director of LBCC’s Department of College Advancement and Economic Development. Weber and Jesse Torres, regional director for the California Small Business Development Center’s Los (Please Continue To Page 15)

Meet St. Anthony High’s Gina Rushing Maguire And New CSULB President Jane Close Conoley Pages 18-19

Long Beach Container Terminal, told the Business Journal that his company is proud to receive the first delivery of ship-to-shore cranes for the Middle Harbor project. “These cranes rank among the most sophisticated and largest container cranes in the world,” Otto said. “We’re proud of that fact and we’re preparing for our future.” The Middle Harbor project combines two aging terminals into one larger terminal that is able to accommodate the world’s largest ships. The project is currently in its first phase, which should be completed by May of 2015, according to Acting Executive Director Al Moro. Wong noted that $485 million of the project’s amended $1.314 billion budget has been expended up to this point. ■

employee labor groups and city management was questioned last year by some Long Beach City Councilmembers, including Gerrie Schipske and James Johnson, the city attorney may investigate the development of a city ordinance promoting civic openness in such negotiations, if directed by the city council at tonight’s (February 4) meeting. A recommendation from 3rd District Councilmember Gary DeLong and Schipske asks the city attorney to review the City of Costa Mesa’s “civic openness in negotiations” ordinance and report back on the feasibility of adopting a similar ordinance in Long Beach. Councilmembers have been talking about implementing such an ordinance for as many as five years, DeLong told the Business Journal. “I’m encouraged that with this plan, it appears there is momentum to create more transparency in the city’s labor negoti(Please Continue To Page 7)

PART III IN A SIX-PART SERIES

1984: Grand Prix Finds A New Formula For Success (Publisher’s note: To mark April’s 40th Toyota Grand Prix of Long Beach, the Business Journal has teamed up with the Grand Prix Association of Long Beach to present a series of articles highlighting America’s #1 street race.)

n the early 1980s, money and Imotorsports politics ruled the international world . . . and the

Beach (GPALB) found itself squarely in the middle of it all. A 1981 treaty between the two warring parties overseas – FISA and FOA – had resulted in the Concorde Agreement and two powerful men – Bernie Ecclestone and Jean-Marie Balestre – now ruled Formula One (F1) with iron fists. The Toyota Grand Prix of Long Beach contract with them expired in 1983, and GPALB President

Grand Prix Association of Long

(Please Continue To Page 23)

■ By GORDON MORRIS, Staff Writer, Grand Prix Association of Long Beach


INSIDE THIS ISSUE 2 Long Beach Business Journal

February 4-17, 2014

3 Newswatch • Minimum Wage Citations Against BYD Dropped • Beach Plaza Project Hearing Expected In March • Long Beach City Hall News In Brief • Update: Fire Department’s Rapid Medic Deployment Pilot • Organizations Invest In Common Operating Picture (COP) • Cyber Security: Keeping The Ones And Zeros Safe

14 Business & Education Focus • Schools, Organizations Working To Promote STEM • Entrepreneur Seed Funding, continued from Page 1 • Proposed State Budget: Funding Increases For Education • She Reinvigorated St. Anthony High School • Jane Close Conoley Named New President Of CSULB

20 PoliticalWire • Long Beach Mayoral Candidates Answer Questions • PoliticalWire News/Events

23 Grand Prix Highlights • Third In A Series, continued from Page 1

24 Photo Spreads • State Of The Port • State Of Trade And Transportation

26 Encore – People In The News

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NEWSWATCH February 4-17, 2014

Minimum Wage Citations For Chinese Bus Manufacturer Are Dropped Rulings On Other Citations Yet To Be Determined ■ By SAMANTHA MEHLINGER Staff Writer Bus manufacturer Build Your Dreams’ (BYD) claim that it had not violated California state labor laws by paying workers less than minimum wage was substantiated when the state dismissed the citation last week, BYD’s attorney Lanny Davis announced last Tuesday. Representatives of BYD, the company that holds a contract with Long Beach Transit to build 10 zero-emission buses, presented documents to the state department of industrial relations’ (DIR) labor standards enforcement division which Davis said proved that five Chinese BYD employees working temporarily at BYD’s plant in Lancaster last year were paid $12 to $16 an hour. The department was satisfied with the paperwork and dismissed the matter, according to a statement from Davis. However, Davis said the state contended the company should have paid the workers in U.S. currency rather than their home currency. BYD agreed to pay $1,900 “in the

Long Beach Business Journal 3 spirit of resolving this matter,” Davis said. The state has yet to rule on two other alleged labor law violations, according to Peter Melton, a public information officer for the DIR. At a hearing last Tuesday, BYD appealed a citation that alleged employees were “paid wages with itemized wage statements containing inaccurate or incomplete information,” which would result in a $74,500 penalty, Melton told the Business Journal via e-mail. BYD also appealed a citation for “failure to provide rest periods,” which would result in a $9,755 penalty, he added. Davis said that the employees in question “were permitted to take one 20-minute rest break” rather than two 10-minute rest breaks. Melton estimated that a decision on both citations should be made by February 20. ■

Beach Plaza Hotel Project Hearing Expected In March Ownership Could Pay Over $1 Million In Mitigation Fees To Move Forward On Modified Design ■ By TIFFANY L. RIDER Editor The California Coastal Commission is coming to Long Beach for its March 12-14 meeting, where the future of the proposed (Please Continue To Page 4)

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NEWSWATCH 4 Long Beach Business Journal

Beach Plaza Hotel (Continued From Page 3)

Students Handling Real Money The Student-Managed Investment Fund (SMIF) Program, created in 1995 with the vision and support of donors and faculty, enables graduate and undergraduate students at CSULB to participate in a team-oriented, real-world, investment manageBy Dr. Peter Ammermann, Director ment experience. This of the SMIF Program year, after three “boot camps” held over the summer, a final team of 22 students was selected to manage three portfolios worth over a quarter of a million dollars and invest in a variety of stocks, bonds, and ETFs. Team member Gregory Ross By Gregory Ross Candidate, College of reflects back on his Business Administration participation in this year’s program: “I was privileged to be accepted into the SMIF program and it has proven to be one of the most unique and challenging classes I have ever taken. Beyond the nerve-wracking experience of handling real money, we also participated in the Chartered Financial Analysts Society of Orange County Foundation’s (CFAOCF) Request for Proposal competition on November 22, 2013. The team researched and presented the evaluation of the economies of the world, and the specificity of the domestic or international industry funds and stocks selected as our choice of action. The outcome: after hundreds of hours of work and copious amounts of poor food and drink, we were chosen as the winners, beating out runnersup UCI, Chapman University, and Cal State Fullerton. As a result, the SMIF program will manage a portion of CFAOCF’s portfolio for another year.” “The required critical thinking skills, teamwork, and exposure to the world of finance and investments provide knowledge of such a broad array of financial concepts, reporting institutions, and several other actors that the world of investments becomes second nature. To hear members of a group talk to one another before taking this class is to listen in on some kind of foreign language, but in only a few months, the SMIF students are able to talk with industry professionals confidently, in networking and other financial events held by Bloomberg and CFAOCF.” (The College of Business Administration at Cal State Long Beach is an AACSB accredited business school that provides undergraduates and MBAs with the knowledge and skills necessary to be successful in their careers and to propel the economic development of our region.) ■

Beach Plaza Hotel project is likely to be discussed. The hearing, to be held at city council chambers in city hall, is expected to include vetting mitigation requirements for the project’s hotel rooms to ensure the proposed project, as designed, meets the city’s local coastal plan in terms of use. The project would convert the current hotel at 2010 E. Ocean Blvd. to a mixeduse, 72-unit hotel property with 33 residential condominiums, a beachside café and a street-level restaurant. Based on coastal zone requirements, the “affordable” room rates currently offered at the Beach Plaza Hotel should be applied to the new hotel rooms in the proposed mixed-use project because it lies within the coastal zone. Instead of applying an “affordable” room rate, ownership could pay a mitigation fee of $30,000 per room, plus cost of inflation going back to 2007, according to Mike Murchison, who represents Beach Plaza Hotel’s ownership. To avoid paying any mitigation fees, the hotel ownership is allowed to revert back to an earlier project design approved by the city council in 2007. That design included 40 hotel units and 56 condominiums. The commission’s vote in December triggered the 2007 entitlement, though it is unclear if the owners will utilize it. The project came before the commission due to an appeal from UNITE HERE Local 11, a labor group that represents hospitality workers at hotels in the Long Beach area. The appellant,

February 4-17, 2014 Rachel Torres, cited concerns with the modified project proposal – specifically parking, increased noise, traffic congestion, demolition and inconsistency with the California Coastal Act. Having garnered approval from the city council, the proposed project meets the city’s parking code requirements and will also have a valet service to further reduce congestion. The agenda for the commission’s March meeting should be available later this month. ■

Long Beach City Hall News In Brief ■ By SAMANTHA MEHLINGER Staff Writer Living Wages For Airport, Convention Center – The Long Beach City Council has a reading of a living wage ordinance for retail and food and beverage concessions employees of the Long Beach Airport and Long Beach Convention & Entertainment Center tonight (February 4). Last week, the council requested that the ordinance be amended to include retail workers. Because this was considered a substantive change to the ordinance, tonight counts as a first reading. The ordinance would require retail and food and beverage concessionaires to pay their fulltime and part-time workers $13.26 per hour. At the January 21 meeting, 3rd District Councilmember Gary DeLong noted that increasing workers’ wages would likely mean an increase in prices at related businesses.

Marijuana Tax Ballot Measure – Tonight the city council votes on a ballot label for Measure A, a marijuana tax initiative, to be included in the April 8 primary nominating election. The ballot label asks if the city should impose a general tax on marijuana businesses set at 6 to 10 percent of annual gross receipts. A tax on “cultivation sites” would be set at $15 to $50 per square foot annually. The purpose of the tax would be to “protect city services such as 911, police and fire, parks, libraries and public infrastructure.” SEADIP Outreach – The city has begun holding meetings to give the Long Beach community a chance to provide input on modifying the Southeast Area Development and Improvement Plan (SEADIP). The plan provides guidelines for developments in a 1,500-acre area of Southeast Long Beach. “The effort includes a community advisory committee, outreach events, community meetings and other online community engagement opportunities,” Mayor Bob Foster said in a statement. A city booth providing SEADIP project information is going to be at the Southeast Farmers’ Market at the Alamitos Bay Marina this Sunday, February 9, from 9-11 a.m. Contract To Replace City Systems – The city council is voting on a $457,620 contract with Plante & Moran, PLLC, for professional consulting services related to planning and acquiring replacement systems for the city’s finance and human resources departments. The council is also voting to increase appropriations in the general services fund by $10 million to transfer to already budgeted funds. As (Please Continue To Page 6)

Long Beach Fire Department Promotions, Honors Members of the Long Beach Fire Department (LBFD) gathered January 30 at department headquarters for a ceremony to recognize recently promoted employees. Pictured, top row, from left, are: newly promoted Assistant Chief Chris Rowe; Deputy Chief and Fire Marshal Rich Brandt; Administration Bureau Manager David Honey; Marine Safety Chief Randy Foster; Deputy Chief Mike Sarjeant; and Assistant Chief Dave Kean. Pictured, middle row, from left, are: newly promoted Deputy Chief Dave Segura; Marine Safety Chief Officer Kevin Bradley; Capt. Robbie Grego, firefighter of the year for 2013; Dan Cunningham, promoted to dispatch supervisor; and Administrative Analyst Arlen Crabtree, who is the employee of the year for 2013. Pictured, bottom row, from left, are: newly promoted Marine Safety Officer Tristan Balsillie, Capt. Jon Daniels; Battalion Chief Tim Rasmussen; Battalion Chief Jim Underwood; and Fire Chief Mike DuRee. The department headquarters are at 3205 Lakewood Blvd. (Photograph by the Business Journal’s Thomas McConville)


NEWSWATCH 6 Long Beach Business Journal

City Hall News In Brief (Continued From Page 4)

part of the fiscal year 2014 budget, the city council approved a plan to replace these departments’ management systems, which include accounting and financial reporting, budget development and management, account payables and receivables, fixed asset and inventory management, payroll and timekeeping, employee benefit management and other functions. The contract with Plante & Moran is for the selection of a replacement system and related initial work. $10 Million For Project Management Contracts – Councilmembers vote tonight on two-year contracts with five firms for project management services to oversee the

February 4-17, 2014 city’s capital improvement projects. Currently, the city has $100 million in capital improvement projects underway, according to a staff report from the city manager’s office. The report indicates that any work not currently budgeted may only proceed when appropriations are approved by the city council. Airport Tenant Lease Changes – The city council votes tonight on amendments to the Long Beach Airport’s Parcel J (located off of Spring Street and Temple Avenue) lease agreement. The amendments include changing the legal description of the parcels under the lease to reflect their true boundaries and adjusting a common area map to do the same. Insurance requirements in the lease are also going to be modified to align with current tenant

operations. Kerry Gerot, public affairs officer for the airport, told the Business Journal that the amendments are meant to “clean up” the lease agreement, which according to a staff report has some legally faulty language. Gerot added, “The tenants are in support of this and some will be at the city council meeting to speak in favor.” More Than $1 Million For Computers – The city council votes on a $1,157,552 contract with Paradigm System Solutions for 342 Toughpad mobile computers at tonight’s meeting. The devices are to be used in fire, harbor and police department vehicles. They are meant to improve “region-wide situational awareness, information sharing and operational efforts,” according to a staff report from the department of technology services. The contract

amount is funded by the Urban Area Security Initiative Grant. Medical Bill And Ballot Opposition – The city council votes tonight on whether or not to oppose bills or ballot measures that would weaken the Medical Injury Compensation Reform Act. The 1975 act consists of statutes meant to ensure that injured patients are fairly compensated, to keep medical liability rates in check and to limit frivolous law suits, according to the resolution drafted by the city attorney. Drought Presentation – The Long Beach Water Department reports to the city council tonight on the statewide drought and how Long Beach may prepare for potential impacts. Gov. Jerry Brown recently declared the statewide drought. Coastal Commission Ruling Delay – The California Coastal Commission is voting on February 13 to extend the time limit to act on an amendment to the City of Long Beach’s Local Coastal Program. Doing so allows time for a local hearing prior to approving the amendment, which pertains to new regulations addressing moratoriums, crematoriums and mortuaries as well as fortunetellers, secondhand dealers and home-based occupations. $13 Million For Mobile Home Park – Councilmembers on January 21 approved the issuance of $13 million in revenue bonds from the California Municipal Finance Authority (CMFA) to benefit Las Brisas Mobile Home Park. CMFA awarded the funds to Villa del Arroyo Moorpark, LLC, which wishes to purchase and make improvements to the mobile home park located at 400 E. Arbor St. A staff report from the city’s financial management department says the project “will help ensure the long-term protection of lowincome housing options.” More Than $2 Million For Bixby Park – The city council on January 21 approved a $2.45 million contract with Bitech Construction Company, Inc. for improvements to Bixby Park. Improvements are mostly concentrated to the bluffs along Ocean Boulevard from 1st Place to 36th Place. They include grading and installing retaining walls, railings, a concrete path, stairs, lighting, a recycled water irrigation system, drainage system and more. These improvements are meant to create better pedestrian access to the beach. ■

New State Law Makes Sales-Hiding Software Programs And Devices A Crime The California State Board of Equalization issued a press release last month reminding people that a new law (Assembly Bill 781) went into effect January 1 that “makes it a crime for anyone to knowingly sell, purchase, install, transfer or possess software programs or other electronic devices that are used to hide or remove sales and to falsify records.” Violators of the new law could be sentenced up to three years in country jail, fined up to $10,000 and be required to pay all illegally withheld taxes, including penalties and interest. ■


NEWSWATCH February 4-17, 2014

Collective Bargaining (Continued From Page 1)

ations,” DeLong said. “Long Beach residents deserve to know what is going on behind closed doors.” Costa Mesa’s ordinance requires that the city hire an independent negotiator when collectively bargaining with public employee labor groups. It also requires an economic impact analysis of each contract, the results of which must be publicly reported 30 days prior to negotiations. Another key component of the ordinance is that councilmembers must disclose if they have had communications about public employee labor negotiations with representatives of involved bargaining groups. The council must also publicly report prior offers or counter offers to contracts after closed session meetings and what the fiscal impact on those offers would be to taxpayers. Additionally, before the Costa Mesa City Council may vote on city employee contracts, those contracts must be discussed at a minimum of two city council meetings. “What’s positive about Costa Mesa is that they work through a collaborative process with their labor organizations,” DeLong said. “Both sides saw the benefit to this.” The request to investigate such an ordinance stems from the desire to “leave this city in good shape for the next council,” he explained. No councilmember or city representative had reached out to the Long Beach Police Officers Association (POA) about investi-

Long Beach Business Journal 7 gating such an ordinance for Long Beach, according to POA President Steve James. “It’s an absolutely ridiculous idea,” James told the Business Journal. “Contracts need to be negotiated between the two parties. . . . Trying to negotiate a contract in public would, first of all, take forever. Second of all, you would have an unbelievable amount of unrealistic expectations created on both sides where I may never be able to get it passed.” James added that he is “100 percent in favor” of publicly disclosing contracts once they are negotiated, but not before. “We don’t want to know how a sausage is made. We want to know how it tastes. I am all in favor of any sort of transparency where it provides the community more time to have input on our contract once it’s done, but not while we’re making the sausage.” Taking a place like Costa Mesa, “where their labor relations are at an alltime low and using that as an example for what we ought to follow” is unwise, James argued. “So, we’re 100 percent opposed to it,” he said. According to Dave Sterling, a representative of the International Association of Machinists and Aerospace Workers, the union was aware of the issue as of Friday and may address it at the council meeting tonight. There is no time requirement attached to the item, so at this time it is unclear when the city attorney must report back with his findings if the item is approved. ■


NEWSWATCH 8 Long Beach Business Journal

February 4-17, 2014

Long Beach Fire Department’s Rapid Medic Deployment Pilot Closer To Implementation ■ By TIFFANY L. RIDER Editor Sixteen months after the Long Beach City Council voted to allow the city’s fire department to pursue a new paramedic staffing model pilot program, rapid medic deployment (RMD) is just around the bend. The fire department’s biggest hurdle is implementing electronic patient care reporting, in addition to preparing a contingency plan and having the city manager submit a letter approving RMD. The RMD pilot program would temporarily change the current practice of having two paramedics arrive at a scene on a single advanced life support ambulance to having those two paramedics arrive in separate units – one on an ambulance and another on a fire vehicle. Long Beach Fire Chief Michael DuRee told the Business Journal that the department has contracted with the vendor ESO Solutions to provide hardware and software for electronic patient care reporting. The company promised to “create the program and modify the software to make sure that it suits our needs,’” DuRee said. The system is in place for testing and a

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software update is expected later this month. Once the software has been updated, DuRee said he expects the system to be functioning at the standards required to implement RMD by late February or early March – just before the next meeting of the Los Angeles County Emergency Medical Services (EMS) Commission on March 16. Those standards, to be set by the EMS Commission, are being finalized as part of an evaluation and monitoring draft plan. The draft was prepared using data on the proposed RMD pilot project submitted to the EMS Commission in May 2013. According to the draft plan, data was collected in calendar year 2012 using the current staffing pattern to create a baseline from which to compare data gathered during the RMD pilot. Three areas of clinical care criteria were selected to form the baseline data – cardiac arrest calls, chest pain calls and trauma calls. Data includes number of calls responded to, average response time and first arrival of on scene units. “What we’re defining in the plan now are things like the times the providers are collecting data,” Richard Tadeo, assistant director of the Los Angeles County EMS

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NEWSWATCH February 4-17, 2014

Long Beach Business Journal 9

Long Beach Fire Department Captain Dwayne Preston holds the paper form for patient medical recordkeeping while displaying the department’s new electronic patient care reporting device. The device is currently being tested for full implementation as soon as this spring. Inset photo: The system allows users to input data on injury or medical issues by pinpointing the affected area on the body. (Photographs by the Business Journal’s Thomas McConville)

Agency, told the Business Journal. “How we define on-scene time has to be the same parameter that the electronic medical record system is capturing.” The final plan is expected to come

before the EMS Commission for approval at the same time the Long Beach Fire Department provides evidence to the commission that it has met the three remaining requirements for implementing RMD.

When that would happen is hard to say, according to Tadeo. “It’s hard to guess at this point because their target date has changed so many times,” he said. ■


NEWSWATCH 10 Long Beach Business Journal

February 4-17, 2014

Long Beach Organizations Invest In Long Beach Common Operating Picture (COP) ■ By SAMANTHA MEHLINGER Staff Writer

“We wanted to give the police the best tools available so that if and

More business districts are investing in security cameras to integrate with the Long Beach Police Department’s (LBPD) Long Beach Common Operating Picture (LBCOP), a network of cameras used by the LBPD to address and prevent criminal activity. Last month, the city advisory commission for the Belmont Shore Parking and Business Improvement Area (BSBIA), which covers 2nd Street from Bay Shore Avenue to East Livingston Drive, approved using commission funds to purchase security camera equipment for the BSBIA. From 14 to 16 cameras are being purchased for $70,000 to $80,000, according to commission documents and William Lorbeer, commission chair. To his knowledge, criminal activity has not increased in the area, but having the cameras would give police an additional tool to prevent and deter crime, Lorbeer said. “I think the commission’s and the BSBA’s thought was that anything we could do to help the police do a better job and help protect our investments and businesses is a good thing,” he said. The city “will put a pair of cameras at

when there were incidents, they could easily and quickly go to the video to see what was done.” Steve Goodling, President/CEO Long Beach Area Convention & Visitors Bureau

every other intersection going along the entire 14-block strip,” Lorbeer explained. Once mounted to traffic light poles, the cameras will face the street and sidewalks, and have the ability to rotate and zoom in and out, he said. “That will allow the police to have a real time or live view, and will allow them to record events,” he added. The high-definition technology should allow the police to read license plates and identify suspects, if necessary. Funds to purchase the cameras come from city parking meter revenues that are part of the BSBIA Advisory Commission’s budget, according to Lorbeer. The Long Beach Area Convention & Visitors Bureau (CVB) and Downtown Long Beach Associates (DLBA) are also investing in the LBCOP system, having pooled funds last summer to purchase 60

Individuals and businesses may give the Long Beach Police Department access to their security cameras by signing up through the Community Camera Partnership at www.longbeach.gov/police/lbcop/. (Photograph by the Business Journal’s Thomas McConville)

security cameras for Pine Avenue to be used with the system. Thanks to downtown businesses joining the effort, there are now 75 to 80 cameras set for installation in Downtown Long Beach in March, according to Steve Goodling, president and CEO of the CVB. For instance, earlier this month the City

Place Long Beach shopping center in downtown donated seven cameras to the city for use in the LBCOP network. All of these cameras are being gifted to the city for the police department’s use. “We wanted to give the police the best tools available so that if and when there were incidents, they could easily and


NEWSWATCH February 4-17, 2014

quickly go to the video to see what was done,” Goodling told the Business Journal. “We also wanted to give the [city] prosecutor’s office the best digital information for prosecuting,” he added. Signs are to be placed in the area to alert the public to the cameras’ presence, which may also help to deter crime. Kraig Kojian, DLBA president and CEO, said that since investing in closed circuit television technology 10 years ago, the DLBA has seen a positive effect in the downtown area. Now, he said, “By partnering with the CVB and the Long Beach Police Department, we are able to contribute to a more global network that

Long Beach Business Journal 11

enhances the coverage to fight crime with advanced technology.” The cameras are not monitored 24/7, but are tapped into when LBPD is aware of an ongoing crime or needs to access a recording, according to Karen Owens, administrator for the community engagement division of LBPD. The cameras may also be accessed in real time during large city events, such as the Toyota Grand Prix, she added. Individuals and businesses may add their cameras to the LBCOP system by signing up for the Community Camera Partnership. Sign-up forms and camera system specification requirements are available at www.longbeach.gov/police/lbcop/.

“The forms are coming in. It is being encouraged through all the patrol divisions,” Owens said. Getting individuals and businesses to sign up is still “a slow build in the sense that not everyone is even aware that it exists,” she added. Lorbeer said that while he encourages Belmont Shore businesses to sign up for the camera partnership, many owners are reluctant to do so. “I think the business owners are fearful that somehow it could come back and hurt them,” he said. Owens pointed out that individuals or businesses signing up for the program can choose what access LBPD has to their cameras, if the cameras’ equipment is

sophisticated enough to allow for limited access. She said that feedback from those participating has been positive. Since implementation, investigators have requested video footage from the LBCOP network on 32 occasions in 2012 and 2013, according to Nancy Pratt, public information officer for LBPD. “It reduces the amount of investigative effort that needs to go in when you have a photo or video of a suspect,” Owens said. Total, there are about 400 cameras in the LBCOP system, but with investments from the downtown area and Belmont Shore, that number is soon to grow. ■


NEWSWATCH 12 Long Beach Business Journal

February 4-17, 2014

Cyber Security: Keeping The Ones And Zeros – And The Nation – Safe ■ By MICHAEL GOUGIS Contributing Writer Plans, documents, technical drawings – they’re not kept in safes anymore. No one locks them in their desk drawer as they leave the office at the end of the day. In most cases, they don’t “exist� in the sense that they have for thousands of years. Like so many other “things� of value today, more and more, plans, designs and drawings for everything are code, lines of ones and zeros on a computer screen. And trying to keep those digitalized files safe and out of the wrong hands forms the newest frontier of corporate and defense security.

Cyber security – the protection of technical data in a wide variety of forms – is so critical that some say that one of the biggest threats to the nation doesn’t come in the form of a bomb or a gun, but in the form of a computer hacker or a corrupted or stolen program file. And this is the thought behind the panel discussion on “Cyber Security, Counterfeit Parts & Materials: An Escalating Global Challenge for Aerospace & Defense Manufacturers,� scheduled for the upcoming AeroDef Manufacturing Summit and Exposition at the Long Beach Convention & Entertainment Center.

“A lot of people talk about the next cyber 9/11. When people think of attacks, they think of outwards attacks where you can see things like bombs going off or buildings collapsing,� said Jim Fisher, director of operations, National Center for Defense Manufacturing & Machining and one of the panelists at the event, scheduled for February 25-27. “But when you talk about cyber, it’s something you can’t necessarily see until it occurs. That can be very dangerous. It needs to be taken very seriously. It can have huge impacts on our economy and even our national security.� The issue is so critical that Pentagon

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officials have recently announced plans to step up the protection of even non-classified information. “Stolen data provides potential adversaries extraordinary insight into the United States’ defense and industrial capabilities and allows them to save time and expense in developing similar capabilities,� Secretary of Defense Chuck Hagel wrote in an October 10 memo on “Safeguarding Unclassified Controlled Technical Information.� In that memo, Hagel outlined several plans to increase the security on even uncontrolled technical information “that resides on or passes through defense contractor systems or networks,� and ordered the department to propose an amendment to federal security regulations for defense contractors. In November, Pentagon officials approved new rules that would require defense contractors to tighten their computer security procedures and to report any cyber intrusions that resulted in the loss of controlled technical information. But increasing the level of protection on electronic files isn’t easy. Just ask the Recording Industry Association of America (RIAA), which has seen file-sharing nearly destroy the entire entertainment recording business. (Things are so bad for the RIAA that the group has been reduced to begging schools to introduce anti-piracy lessons into kindergarten and elementary school curricula, and no, I’m not kidding). While it obviously is harder to steal the wing design of the next-generation fighter plan than it is to download a copy of or illegally stream the latest “Iron Man� movie, the problem at its core is the same. The “thing� in question is nothing more than a digital file, a collection of ones and zeros on a computer screen. “Everything is done by code. Everything is designed by machines. Nothing is designed by people drawing things with pencils. It’s all done mechanically. And that’s the problem,� said Richard “Dickie� George, senior advisor for Cyber Security at the John Hopkins University Applied Physics Laboratory. “What we find is that we don’t always know about where the parts come from, whether they provide all of the security they need, or even if they have other characteristics that you don’t know that they have,� Dickie added. “In some sense, it’s very hard to really certify, because if you look at the amount of code that we have in many of these products, it’s very hard to go in and see what all of the code is doing. When you think the code is doing one thing, it’s actually doing something else.� Protecting that code, obviously, presents challenges that are, simply put, unique in human history. It’s almost hard to fathom that someone halfway around the world could, without ever setting foot onto your property, steal not just the plans for a sophisticated piece of machinery, but the instructions to machining tools that will carve out or build the parts needed for that piece. “We’re moving more and more into a digital age when it comes to manufacturing, where hard copies, drawings, are no


NEWSWATCH February 4-17, 2014

Long Beach Business Journal 13 Precision machining and manufacturing is at the heart of the aerospace and defense contracting industry. Securing the computer code needed to program highly-sophisticated manufacturing machinery isn’t just a matter of protecting corporate intellectual property. It is a matter of national security. (Image courtesy of the Society of Manufacturing Engineers)

longer being sent to the shop floor to be manufactured into parts,” Fisher said. “They’re now sending down electronic manufacturing records and parts are being manufactured right off of those electronic drawings. If these things are compromised in any way, or someone gets access to these things, it can be detrimental. “Hackers are becoming better and better – these guys are good,” Fisher said. “And it’s a huge problem. I think that at every level of the supply chain, from the little guy making small components for the prime contractors, the whole way up to the prime contractor receiving those components for final assembly of the system, everyone’s at risk. You can’t think that because you’re making a small component that you’re not going to be looked at by hackers. Everyone needs to understand that they need to protect that information, all the way from the

little guy to the prime contractor who has to assemble that system.” Hagel’s memo pointed out that the threat isn’t just about defending the country from military or physical attack. It’s about protecting the intellectual wealth of the nation, the abilities to produce, the systems that allow the country to do the things that it does. Not only could an attack on those systems disrupt our lives, but protecting that knowledge “is critical to preserving the . . . competitive capabilities of our national industrial base," Hagel wrote. In other words, the threat isn’t just physical, but economic. That is why the issue is taking center stage at the AeroDef conference. “We have to remember that it’s an international world,” George said. “There are a lot of countries that make it by simply stealing what we create.” ■

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BUSINESS AND EDUCATION 14 Long Beach Business Journal

February 4-17, 2014

Working To Promote Science, Math, Technology And Engineering Education ■ By SAMANTHA MEHLINGER Staff Writer With industry research showing that careers in science, math, engineering and technology (STEM) are among the fastest growing and highest paying job sectors in the United States, efforts are being made in Long Beach not only to prepare students for careers in STEM, but also to get them interested in those fields. “All of the data and news reports that we are seeing are really telling us that STEM is the fastest growing field for jobs,” Pamela Seki, director of curriculum for the

Long Beach Unified School District (LBUSD), told the Business Journal. The technology sector alone is expected to add 1.4 million jobs to the national economy by 2020, according to STEM education advocate groups CODE2040 and the Level Playing Field Institute. The groups’ joint research also shows, however, that 70 percent of STEM jobs are predicted to remain unfilled within the same time period, illustrating either an anticipated lack of interest in these jobs or a lack of qualified candidates. A report released in January by the National Math + Science Initiative shows that only 44 per-

cent of U.S. high school graduates were ready for college level math in 2013, while only 36 percent were prepared for college level science courses. Seki said she believes the key is to expose students to the possibility of STEM careers early on to prepare them for and spark their interest in those fields. “Middle school is a critical point in education where students tend to lose interest in math and science,” Seki said. To combat this issue, LBUSD has implemented programs to try to keep stu- California Academy of Mathematics and Science (CAMS) students dents engaged in STEM. Kyler Harvey, left, and Lisa Hachmann work on a robot for the “The robotics program is an annual FIRST Robotics Competition (FRC). The students are competing in the FRC Los Angeles Regional at the Long Beach Arena on attempt to build awareness March 21 and 22. The event is free and open to the public. of STEM careers,” she (Photograph by the Business Journal’s Thomas McConville) explained, referring to elecSTEM Career Conference for LBUSD tive courses and afterschool programs in middle school girls at the liberal arts camrobotics at 12 LBUSD middle schools. pus of Long Beach City College (LBCC). Once in high school, LBUSD students The conference, organized by the Long have a variety of options to tailor their eduBeach chapter of the American Association cation to STEM careers via small learning of University Women (AAUW), brings community pathways. A pathway is a together local female leaders in STEM sequence of interconnected courses meant fields to give girls a real-life perspective of to address problem solving and real world what it’s like to pursue a STEM career. applications related to a certain career field. Alicia Kruizenga, director of student The school district has STEM pathways relations for LBCC, explained that the colgeared toward engineering and design, lege has partnered with AAUW on the conhealth science and medical technology, and ference for the past several years as part of information and communication technololarger college efforts to interest kids in colgies, Seki said. Several high schools have lege and STEM careers. One such effort is also integrated courses with curriculum partnering with LBUSD to provide every from the nonprofit organization Project fourth grader in the school district with a Lead The Way, which Seki said provides the tour of the LBCC campuses, she explained. leading curriculum in STEM. “It is very “Research shows that if you can get sturigorous,” she noted, adding that Project dents here three times before they are colLead The Way’s curriculum includes tech- lege students, they are more like to succeed nology-based coursework for students and and go to college,” she said. professional development for teachers. LBCC Foundation President Virginia Next year, coursework from the nonprofit Baxter, who is a 30-year member of AAUW, will be implemented for the first time at an said that donations from Southern LBUSD middle school, Lindbergh Middle California Edison are helping the school School in North Long Beach. promote STEM education. Last year, Edison Funding from Measure K, a bond initia- gave $25,000 to LBCC to fund scholarships tive passed in 2008, allows LBUSD to take for students entering STEM careers. Baxter small learning communities one step fur- said that the company also gave LBCC a ther by creating a series of smaller high $200,000 endowment to promote green schools built around career-centered learn- technology education. The Bernard Osher ing pathways. The first, Ernest McBride Foundation made a 50 percent matching High School, opened last fall. It was built donation about 5 years ago, Baxter said, around three distinct pathways, all of which bringing the total endowment to $300,000. are STEM related: engineering, health and Programs are also in place to aid students medicine, and criminal justice and educa- in STEM fields at CSULB, Bernal pointed tion with a focus on forensic science. out. Bernal works closely with the HispanicOver the next three years, Hill Classical Serving Institutions STEM program, which Middle School in East Long Beach will be helps first-generation Latino students purphased out and converted into a high school sue degrees in STEM fields by offering a similar to LBUSD’s California Academy of network of assistance. “They provide tutorMathematics and Science (CAMS), a ing, peer mentoring and mentoring from the LBUSD high school with national honors, faculty, such as myself,” Bernal explained. according to the school district. The hope in all of these efforts, Elaine Bernal, a professor of organic Kruizenga noted, is not only that Long chemistry and technical education at Beach students will become interested in California State University, Long Beach STEM careers, but also that those who (CSULB) who is engaged in a variety of choose a STEM path will stay and concitywide STEM education outreach efforts, tribute to the community. She said, “We said that LBUSD’s efforts are creating want to give them the tools that they need “rich opportunities for students to get to be successful, because we know that exposed to STEM careers.” they are going to be running this city pretty Later this month, Bernal is heading up a soon – and that’s what we hope for.” ■


BUSINESS AND EDUCATION February 4-17, 2014

Entrepreneur Seed Funding Pilot Program (Continued From Page 1)

Angeles Regional Network, serve as coleads for the program. She and Torres have been working on raising enough funds to kick off the program as well as building a network of organizations, incubators and accelerators as a referral database for Innovation Fund SoCal applicants who need additional support beyond what the fund can offer. Annette Barnett, who works in the medical industry in Long Beach, said she is planning to apply for funding to launch her startup – a sleep apnea testing and therapy business. “I’ve been working in this industry for 19 years,” Barnett told the Business Journal. “I have helped other business owners run and bring in clients and have helped individuals who have respiratory and sleep issues. I’ve been doing this for other people for a long time. I have a lot of innovative ideas and a lot of my ideas have worked to help other people be successful. At this stage I’m hoping I can do that for myself.” A $25,000 grant or $100,000 interestfree loan would give Barnett the opportunity to get a good start. “I want to make sure I do this right,” she said, noting she is looking at office space in Buena Park, Stanton, Cypress or Signal Hill. “Long Beach already has a large sleep lab at Long Beach Memorial Medical Center,” Barnett said. “You have to go where the needs are.” Since the pilot program’s launch, Weber and Torres were able to hold a conference called Innovate!SoCal, which is organized around the topics and themes of the program – entrepreneurship, job creation and economic development. The conference, held last month at the Long Beach Convention Center, marked the kickoff of the seed funding program and showcased Long Beach as a place where innovation happens, Torres told the Business Journal. “We pulled in partners and stakeholders from Long Beach, Santa Monica, Orange County and back East,” Torres said. “They spent time with us to talk about how to best support that [entrepreneur] community.”

Long Beach Business Journal 15 The three primary industry sectors of interest, Torres said, are advanced manufacturing, clean technology and medical. “Those three sectors are on the rise in our region and are important for job creation,” he said. Entrepreneurs selected for funding are required to participate in mentorship roles and, once profitable, contribute to the seed funding program so that it becomes a revolving fund. Doug Otto, a trustee for the Long Beach Community College District, told the Business Journal that four years ago he requested that an economic development conference be held. At the Innovate!SoCal conference, Otto was recognized for the idea. Otto described the Innovation Fund SoCal as special and cutting edge for its support of entrepreneurship and job creation. “This is what community colleges do,” Otto said. “We take economic development very seriously.” Lou Anne Bynum, executive vice president of LBCC, said this program aligns with the third mission of the college, which focuses on economic and workforce development. “Having Innovation Fund SoCal is one more rung that ensures we are catalyzing business growth and development,” she said. According to Weber, Innovation Fund SoCal applicants are educated on starting a business throughout the experience. “It’s about trying to provide as much education as we can to entrepreneurs,” she said. “Even if they’re not selected, they will get feedback on how to improve and reapply in the future. Those who are selected, we will help them move to the next level and build a successful business model that creates jobs.” The Innovation Fund SoCal is just one piece of the puzzle, Weber said. “It really is about building a community that will support entrepreneurship in the Southern California area because that is what will keep our economy healthy and vibrant,” she said. “We want to be part of the whole support structure to help build that community.” An Innovation Fund SoCal workshop is being held from 5-7 p.m. on February 18 at 309 Pine Ave. in Downtown Long Beach. For more information or to RSVP, e-mail Torres directly at jtorres@lbcc.edu. ■

Long Beach resident and future entrepreneur Annette Barnett said she plans on applying for startup funding through the Innovation Fund SoCal program. Barnett, who works in the medical field, said she plans to start her own sleep apnea testing and therapy business. (Photograph by the Business Journal’s Thomas McConville)

CALIFORNIA STATE UNIVERSITY, LONG BEACH •

U.S. News & World Report: America’s Best Colleges 2014 ranked CSULB fifth best public regional university in the west

Princeton Review’s “2014 Best Colleges: Region by Region” named CSULB one of the nation’s top 75 “Best Value” public universities and “Best in the West”

CSULB’s School of Art is the nation’s largest, publicly-funded art program, and first in the western U.S. to receive accreditation from the National Association of Schools of Art and Design

The College of Education is nationally recognized for its K-18 collaboration with Long Beach Seamless Education Partnership

U.S. News & World Report named CSULB’s undergraduate Engineering Program among the nation’s best

G.I. Jobs 2014 recognized CSULB as a Military Friendly School for embracing America’s veterans as students


BUSINESS AND EDUCATION 16 Long Beach Business Journal

February 4-17, 2014

Proposed Budget Includes Funding Increases For California’s Public Education Systems ■ By TIFFANY L. RIDER Editor Winding through rough waters, absorbing wave after wave of cuts, budgets for California’s educational institutions have taken a beating in the years since the Great Recession. Gov. Jerry Brown’s proposed budget for the coming fiscal year offers hope of stability and opportunity to better meet the rising demand for learning. Governor Brown issued his proposed budget for fiscal year 2014-15 to much fanfare last month. The proposal included, among other welcomed investments, an infusion of cash for public K-12 school districts, community colleges and universities. In his proposed budget for K-12 education, the governor would allocate $12,833 per pupil across the state’s 963 districts. That’s up nearly $1,000 per pupil over 201314. He has also proposed using about $5.6 billion from fiscal years 2012-13 to 2014-15 to eliminate all K-12 district outstanding deferral debt of state-mandated Proposition 98 (Classroom Instructional Improvement and Accountability Act) funding. Another $4.8 billion would pay to implement a local control funding formula, which allows each school district to prepare a local control accountability plan (LCAP) that outlines how state funding is allocated. John McGinnis, president of the Long Beach Unified School District (LBUSD)

Board, told the Business Journal that this budgeting model is a brand new way of funding schools. It replaces a system that has been in effect for decades, he said. A committee of about 50 to 70 people was formed last year, made up of district representatives, parents, business groups and others who have a stake in how LBUSD manages state funding. The committee has met four times, the most recent meeting was held last week at Stanford Middle School. Under the local control funding formula, every district gets a base amount, according to McGinnis. If a district has a higher percentage of students who are considered low income, foster children or limited English speakers, that district qualifies for additional funding. “With 68 percent lowincome students, we are going to be one of the districts that gets a lot of additional money,” McGinnis said. School districts determine the most pertinent needs by working with individual schools and community stakeholders to develop a spending plan. The LCAP holds districts accountable, McGinnis said. The LBUSD board is expected to direct staff to begin drafting the LCAP this month. It will make its way back to the board in late April/early May, just before the governor releases his revised budget proposal. “Long Beach has taken a very proactive approach to ensuring that stakeholders are

involved in every step of the way to ensure that the way we spend our resources matches the needs of our students and the sentiments of our parents, teachers and partners,” Robert Tagorda, director of the office of equity, access and college and career readiness at LBUSD, told the Business Journal. Tagorda is the facilitator of the LCAP committee. “Unlike many districts, which waited until the state board officially approved the template, we decided to start working with our stakeholders to understand what they value,” he said. “It adds an additional layer of stakeholder feedback for us. Most districts won’t be meeting with their stakeholders until March or April. But we’ve been soliciting input since September.” Proposed funding for the state’s public higher education institutions – community colleges, the California State University (CSU) system and the University of California (UC) system – amounts to approximately $26.3 billion in funding for fiscal year 2014-15, an increase of $1.1 billion year over year. For the state’s 72 community college districts, funding is expected to increase by 4.5 percent to $11.5 billion in 2014-15. Jeff Kellogg, president of the Long Beach Community College District Board of Trustees, told the Business Journal that Long Beach City College is very pleased with the initial budget proposal. “There are lots of

great opportunities for Long Beach with regards to the proposed budget,” he said. This proposed budget indicates that the coming fiscal year is going to be better compared to all the years in which the college endured cuts. Between 2008 and 2012, nearly $1 billion in Proposition 98 funding had been deferred statewide for community college. The direct impact on the community college system is a reduction in enrollment of 500,000 students, Kellogg said. Cash deferrals are at about $600 million right now, Kellogg said, and Governor Brown’s budget proposes to eliminate all outstanding cash deferrals. “It eliminates us from having to borrow money,” he said. “We borrow money when the state doesn’t give us our allotment, which is very expensive. It will have a tremendous impact on our budget.” Funding from the state always comes with performance strings attached, according to Kellogg. “The state legislature doesn’t just give you money to spend as you want,” he said. “This budget is no different. In all fairness, they’re talking about being accountable for how the tax dollars are being spent. It’s a very difficult argument to oppose. We are pleased and optimistic that this budget will support student success. But student success means different things to different people. What it means to faculty is pay raises. But it’s not free money. It’s tied to performance.” The CSU and UC systems benefitted last year from a $125.1 million increase, which was part one of a four-year investment plan to keep tuition rates flat at 2011-12 levels through 2016-17. This year’s investment is $142.2 million for each system. (To clarify, the proposed funding for the CSU, budgeted at $177 million, drops down to $142.2 million after subtracting funding allocated for full health care benefits of retired employees, according to CSU Spokesperson Mike Uhlenkamp.) According to the proposed budget, the UC and the CSU are required to provide annual reports “on measures that allow for monitoring the progress both segments have made in meeting expectations.” For the CSU, the funding falls short of the $237 million requested by the CSU Board of Trustees last year. “Ultimately the hope is that the economy continues to move in the direction that it has been and that when July comes around there is additional funding,” Uhlenkamp told the Business Journal. In the meantime, the CSU will use the proposed $142.2 million to design a framework for applying the funds to critical needs. “Had we gotten the full amount requested, we could meet our enrollment demands,” Uhlenkamp said. “We’ll have to pare that back.” CSU Long Beach Provost David Dowel said he does not expect proposed state funding to increase to the amount requested by the CSU Board of Trustees because the legislature “has other priorities.” “The state is moving in a positive direction with respect to higher education,” Dowel said. “We could productively use considerably more funding. We do appreciate the leadership the governor has played in turning around the state economy, bal-


BUSINESS AND EDUCATION February 4-17, 2014 ancing the state budget, and supporting higher education. We remain committed to ‘graduating students with highly valued degrees’ from CSULB.” William Hagan, president of CSU Dominguez Hills, said he is more hopeful that funding for higher education will increase. “The state has a pretty good surplus,” he said. “We’ve been talking to our legislators about the importance of higher education. We and the CSU folks are going all out to make sure that our needs are heard.” To date, CSU Long Beach has received some 83,500 undergraduate applications for the 2014-15 year. CSU Dominguez Hills has received about 26,000 undergraduate applications for fall 2014. From those pools of applicants, each university will accept approximately 4,000 students. “The demand to get in far exceeds the capacity of our institution or any of the CSU campuses,” Hagan noted. Neither Hagan nor Dowel would say exactly how much funding their universities need to address enrollment and other priorities, though both agreed that their needs continue to grow. To help meet those needs, CSU Chancellor Timothy White unveiled a $50 million plan to increase graduation rates by 10 percent for undergraduates and five percent for those who transfer from community colleges. In order to meet that plan, the CSU will commit to hiring more advisors and tenuretrack faculty, as well as increase online course availability and expand data collection for data-driven decision making. “I now know enough about us to report that the State of the California State University is strong, proud and aspirational,” White said during the CSU Board of Trustees meeting January 28. “What we do is simply remarkable – and California needs more of it. Our state needs one million more college graduates by 2025 to enable the health of the economy. This need is enormous, and we must intensify our efforts to do our part to meet that need.” The leadership at the UC appreciates the proposed additional funding for the UC, which represents a 5 percent increase in state funding over 2013, according to Patrick Lenz, vice president for budget and capital resources for the UC. Lenz said in a statement in response to Governor Brown’s proposed budget, “The University of California will continue working with the governor and the Legislature to recognize funding priorities for enrolling more California first-time freshmen and community college transfers as well as the critical need to reinvest in the academic quality that allows more faculty hiring, graduate student support, and funding for instructional equipment, technology and UC libraries.” At the university system level, UC President Janet Napolitano has taken steps to show fiscal responsibility by keeping the budget for the UC Office of the President flat in 2014-15. To do so means cutting up to 6.5 percent of funds to offset absorbing pension contributions and reducing the office’s travel by 10 percent. “We will undertake a priority-based budget process covering the next two years that, aligned with the ongoing efficiency review and in consultations with the campuses, will

Long Beach Business Journal 17 determine the appropriate size, shape and roles of the Office of the President,” she said in a statement. In the coming fiscal year, the California Middle Class Scholarship Program will begin to offset tuition and fee costs for UC and CSU students whose family incomes are at or below $150,000. The program phases in this coming year and runs over four years. By 2017-18 the maximum scholarship amount is equal to 40 percent of systemwide fees and tuition for families with incomes of up to $100,000 or between 10 percent and 40 percent for students whose families earn up to $150,000 per year. Students must apply for financial aid every year by March 2 in order to take advantage of the scholarship.

Though this scholarship is available only for students of the UC and CSU systems, other state-funded programs like the Cal Grant are available to students who attend private schools. American Career College Spokesperson Joe Cockrell told the Business Journal that the college does not receive any public funding for programs other than through student grants like the Cal Grant, which is based on income. “Any connection we would have is through financial aid dollars through the state,” Cockrell said. “Our students are eligible for federal financial aid, too.” American Career College, which opened its Long Beach campus about a year ago, has approximately 400 students enrolled.

Charles Hicks, dean of the Pacific Coast University School of Law in Long Beach, told the Business Journal that students enrolled in the university are eligible for financial aid. But tuition is kept at about $6,000 a year – on par with the average tuition at a CSU – by reducing overhead costs and not paying administrative staff six-figure salaries. “We are not interested in getting direct aid or support from the state or the federal government,” Hicks told the Business Journal. “The general cost associated with that, if we were to receive direct grant funds or support from the state, is the overhead required to manage and administer those funds. . . . It would cause the cost of our tuition to go up substantially.” ■


BUSINESS AND EDUCATION 18 Long Beach Business Journal

February 4-17, 2014

A BusinesswomAn’s Touch

How Gina Rushing Maguire Reinvigorated St. Anthony High School ■ By SAMANTHA MEHLINGER Staff Writer

When St. Anthony High School President Gina Rushing Maguire stepped back into this hallway at the school in 2001, she was struck by how, despite the school’s issues and the passage of time, everything seemed the same as when she was a student there years before. “The banging that was going on, the conversations, the shouting, the jumping, the running – the teenage energy was exactly the same. It was very powerful,” she recalled. Maguire is a graduate of St. Anthony’s class of 1967. (Photograph by the Business Journal’s Thomas McConville)

A little more than a decade after Gina Rushing Maguire was hired as president of St. Anthony High School, the Downtown Long Beach school that was once struggling to keep its doors open is now thriving. Enrollment continues to increase every year, according to Maguire, and for the past five years every graduate has either gone on to college or the military. When Maguire became president of St. Anthony in 2001, her background was not in education, but in business – she had spent the previous decade reinvigorating ailing companies. In an interview at her office at the high school, she told the Business Journal that when she headed her own marketing and image consultation firm, she “would go in and help companies figure out their strengths, weaknesses and needs” and “developed a specialty for troubled companies.” This specialty was precisely what St. Anthony needed in 2001, when enrollment had dipped and the Archdiocese of Los Angeles was considering closing the financially struggling school, according to Tim McBride, who was chair of the St. Anthony High School Foundation at the time. McBride, who remains on the school’s advisory council, was asked by the archdiocese to help turn things around in 2001. “My research showed that Catholic high schools across the country were struggling with enrollment, so we decided to do something different by creating a president-principal model of leadership,” McBride told the Business Journal in an e-mail. “Because Gina was perfect for this new president role, she was the only person we interviewed for the position.” Maguire has a wealth of experience in non-profit leadership and fundraising, having been president of an organization that raised funds for the John Tracy Clinic for hearing-impaired children and their families. She is also a former president of the Junior League of Long Beach and a founding member of Leadership Long Beach. McBride said her combined non-profit and for-profit experience made her an ideal candidate to lead St. Anthony into prosperity. When hired, the first action Maguire took was to commission a study of the public’s perception of the high school, which involved reaching out to alumni, teachers, parents and students. While the perception of the school’s ability to produce successful alumni was intact, she said, other problems remained. One issue was that the Downtown Long Beach area had been perceived as unsafe since the Rodney King riots of 1992, causing parents to choose other local Catholic high schools, Maguire explained. On top of that, cases of molestation by Catholic clergy were beginning to surface in the media, leaving “a lot of Catholics feeling disenfranchised” and wondering if Catholic environments were safe for children. St. Anthony was never implicated in any of those cases, Maguire added. Innovation in the Long Beach Unified School District also created challenges, Maguire said. St. Anthony did not have programs to compete with smaller learning communities developing at Long Beach schools such as Polytechnic High School or Wilson Classical High School. Perhaps the biggest problem of all, however, was “that nobody had really been paying attention to money,” Maguire said. The school had been operating on a deficit for some time and was not successfully reaching out to its vast alumni base for donations, she added. In the face of these issues, Maguire set out to do something that she said was not typical at the time: running a Catholic school like a business. “Every single day for a year, all the mail that came to this school was delivered to me,” she recalled. “I did not delegate anything. I read everything.” Maguire also set out to reconnect the school with its more than 11,000 alumni, Catholic feeder schools, community organizations and local colleges, McBride pointed out. “Gina’s impact was felt immediately,” McBride said. “She raised funds to keep the doors open in those early years.” During her tenure at St. Anthony, Maguire has raised more than $10 million for the school and its students, according to McBride. A list of donations in St. Anthony’s Christmas newsletter illustrates that fundraising efforts continue to pay off, with $1,295,333 donated to the school last year. Apart from fundraising, McBride said Maguire made many significant improvements to the school, such as developing specialized programs like the Marine Science Academy, which is a partnership with the Aquarium of the Pacific. “All the graduates of that program have gone on to major in science in college,” Maguire noted. The high school is now in its second year of its “iPads For All Program,” an effort more technologically advanced than other local high schools offer. All of St. Anthony’s students have their own iPads, which are fully integrated into coursework to the extent that bound textbooks are no longer necessary, Maguire said. Enrollment has increased since Maguire’s first year at the school, when the graduating class was a mere 38 students. Last year, St. Anthony graduated 97 students, and 510 students are currently enrolled. That number continues to increase incrementally, Maguire said. “That’s the way we like to grow. I don’t believe in super fast growth, because you can’t manage it well,” she added. As a former St. Anthony student, Maguire said she never would have pictured being back at the school at all later in life, let alone in this position. It seems to her now, looking back, that her life had been building up to this moment for some time. Even her first job out of college as an insurance claims adjuster for water-damaged properties proved useful. “When I came to St. Anthony, the very first year I was here we had a flood on the top floor of this building,” she said. “My background as a water damage claims adjuster came in handy.” Sitting in her now restored office, Maguire reflected, “I look at my life and I see that everything that has ever happened to me brought me here: all my experiences and all the jobs I’ve had.” ■


BUSINESS AND EDUCATION February 4-17, 2014

Jane Close Conoley Named President Of CSULB ■ By TIFFANY L. RIDER Editor Jane Close Conoley is bringing her passion for student success to California State University, Long Beach (CSULB) as the university’s 7th president and its first woman president. Her appointment by the California State University Board of Trustees was announced January 29. She is expected to assume the presidency in July. Conoley has served as dean of the Gevirtz Graduate School of Education at the University of California, Santa Barbara (UCSB) since 2006. Concurrently, Conoley has held the position of interim chancellor of University of California, Riverside (UCR) in the past year after Timothy White left the university to become chancellor of the CSU system. During a conference call with reporters the evening of the announcement, Conoley said she had made clear to UCR’s chancellor search advisory committee that she would not assume the chancellor role. “I was an interim,” she said. “They found a great chancellor.” Donald Para, who has served as interim president of CSULB since former president F. King Alexander left last summer to become president of the Louisiana State University system and chancellor of Louisiana State University A&M, expressed his excitement about Conoley’s appointment. “She is another in the line of outstanding presidents of this university,” he said. Though she and her husband, UCSB professor Dr. Collie Conoley, visited Long Beach for the first time only two weeks ago, Conoley said she has read about community partnerships with businesses and elected officials, as well as the Seamless Educational Partnership formed between CSULB, Long Beach City College (LBCC) and the Long Beach Unified School District (LBUSD) in the 1990s. “I was very impressed,” she said.

Long Beach Business Journal 19 A project of the Seamless Education Partnership is the Long Beach College Promise, established in 2008 to provide guarantees that help LBUSD students prepare for, attend and succeed in college. LBCC Superintendent-President Eloy Ortiz Oakley said in a statement he anticipates a positive working relationship with Conoley on this project. “I look forward to her leadership in helping to move the promise to the next level,” Oakley said. “Given her experience and stated desire to improve outcomes for all students, I believe she will do an outstanding job building upon the achievements of her predecessors.” Christopher Steinhauser, superintendent of LBUSD, extended a welcome to Conoley in a statement. “We look forward to building upon our successful partnerships,” he said. Prior to her service at UCSB, Conoley served as dean and professor of educational psychology at Texas A&M University from 1996 to 2005 and associate dean for research at the University of Nebraska-Lincoln’s Teachers College from 1989 to 1994. She has also been on faculty at Texas Woman’s University and Syracuse University. Conoley has authored and served as editor for 21 books. She holds a bachelor’s degree in psychology from the College of New Rochelle and a Ph.D. in school psychology from the University of Texas at Austin. ■

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POLITICALWIRE – LONG BEACH MAYORAL RACE 20 Long Beach Business Journal

February 4-17, 2014

Question: The headline from the Long Beach Police Department read: “2013 Crime Statistics Show Lowest Reported Violent Crimes In 41 Years.” Does Long Beach need to hire more police officers? DAMON DUNN

T

he officers, leadand ership, civilian personnel in the Long Beach Police Department should be commended for the remarkable job they have been doing in making our community a safer place to live. Violent crimes in 2013 were down 75% from their peak in 1991. Property crimes were down by nearly 2/3 from the 1990 peak. And this progress has come even as the Department has seen its resources cut as a result of our City’s finances – 200 fewer sworn officers and 21% fewer total personnel since 2008. But this is only part of the story. Property crimes in 2013 were still 12% above the previous low in 2010, a year when Long Beach had 160 more sworn officers on the streets. Crime clearance rates in the latest reporting year 2012 remained near long term averages for violent crimes, but were at their lowest level since 1990 for property crimes. And some of our neighborhoods still remain more prone to crime than others. These are the inevitable results of budget-driven priorities that have reduced the city’s commitment to public safety. The Long Beach Police Department has done well with the resource cuts they have faced, but there is more we can do to improve public safety in our community – more sworn officers, community policing, investigative resources, more anti-gang efforts. As I’ve walked around our neighborhoods and talked to over 12,000 people, I’ve heard many ask, “Is my neighborhood the safest it can be?” It’s a question people ask when they consider Long Beach as a place to live. It’s the same question people ask when they consider opening a business here or in a nearby city. While we have good news in the fight against crime, it must remain our top priority to keep people safe where they live, work and play in Long Beach. By creating more jobs and expanding our economy, we will generate the revenues needed to restore cuts to public safety and other important programs that make Long Beach such a special place to live. ■

ROBERT GARCIA

A

s chair of the City's Public Safety Committee, I am proud of the tremendous work the men and women of the Police Department do every day. We are safer today than at any point in the last 40 years, and that is due to great police work and dedicated leadership at the department. A huge thank you must also go out to the rank and file who led the way and worked with us on pension reform. Thanks to them and other employee groups, the city will save more than $250 million over 10 years. The pension and budget savings led us to re-start our Police Academy for the first time in years, and we now have 40 new recruits patrolling our streets. We will soon be launching another academy class with more new officers on the way. I do believe there is a need to hire more police officers, but we must take a thoughtful and measured approach. First, we must ensure that we are supporting our current officers with the training, equipment, and technology they need - our officers deserve to be compensated fairly and they must have our full support. As we grow, we must ensure that we only hire what we can afford. For many years, the city overspent and under delivered. Mayor Foster and I have a different approach - spend only what you have, and put some away for a rainy day. We now have an opportunity to reinvest in community policing. More cops on bikes, stronger community outreach, and an even safer city. Technology is also changing police work. As Mayor, I plan to expand our successful security camera network, and ensure that we are expanding communication to residents through social media and new smart phone apps. My priority has been, and will continue to be the safety of all Long Beach residents. ■

BONNIE LOWENTHAL

B

o n n i e Lowenthal did not submit a response to the question, despite sending the question to three separate e-mails involved with her campaign – as was done for her with the first go-around of questions two weeks ago to which she responded. The mayoral candidates (or a member of their campaign staff) were informed prior to beginning the series of questions that the Business Journal would not make reminder calls. The process was explained and the instructions are easy to understand. ■

DOUG OTTO

Y

es, Long B e a c h does need to hire more police officers. Thanks to the outstanding work of Chief McDonnell and our brave officers, statistics show that violent crime is down to its lowest level in decades, but those statistics don’t paint a full picture of whether our community is safe or is perceived by our residents to be safe. Both are necessary for a prosperous, livable city. Let me explain. I am the only mayoral candidate with any real experience with the police and the criminal justice system. I have been a lifelong student of criminal justice. I have tried over 100 criminal cases to verdict, both as a prosecutor and defense attorney. I taught criminal law for 16 years at Southwestern University Law School in Los Angeles. Budget cuts have caused a 20% drop in sworn police officers and a disintegration of investigation units, especially the Gang Unit. Although 40 new officers graduated from the academy recently, the number of sworn officers is still only 810, compared to 1,003 sworn officers in 2009. While the City Council restored half of the cuts to the Gang Unit, they did so only by allocating money, but did not re-establish the positions that had been eliminated. The Gang Unit is arguably the most important bureau we have, and it needs to be permanently restored as part of our budget as quickly as possible. It is a fact that violent crime is down to historically low levels, but crime is still a serious problem in many parts of our community. Drastic cuts to the police department over the last five years have eroded the ability of the police to do their job. There are not enough officers to address the “broken windows” of policing, such as the growth of the homeless population, increased speeding down residential streets, loitering, and the increase in response times from first responders. In order for Long Beach to be prosperous and livable, it must have safe streets and its residents must feel that they can move about the city, work, attend school, and recreate without fear. ■

GERRIE SCHIPSKE

M

a r k Tw a i n noted: “There are three kinds of lies: lies, damned lies and statistics.” It is true that when you include the entire City in the crime level calculation, violent crimes are at their lowest levels. That’s because of “safe” areas such as eastside Long Beach which lower the statistics. But this is not the case in all Council districts which continue to experience multiple shootings and assaults. The headline didn’t disclose that residential crimes increased on the eastside -- which is the target of recently released criminals who are back on the streets thanks to the California legislature that approved the “realignment.” Chief McDonnell tells me the LBPD is down 21 sworn officers and 25 non-sworn staff. This problem did not happen by accident. The Mayor consistently cut funding of both police and fire services in his “proportional cuts” scheme. As Vice Chair of the Public Safety Committee, I have repeatedly requested funding for more officers and to reinstate the cuts that were made to the gang unit and detectives. While a police academy was funded this budget year, it takes two years of additional training for police officers to be “street ready.” With the pending retirement of 25 officers, we need to get moving on replacements. The single most important “business friendly” step the City can take is to make all parts of the city safer by hiring more police officers. Those areas particularly hit with crime face high levels of unemployment because of a lack of jobs. Businesses will not locate here if the City is unsafe. For those who doubt the connection of more police with better economics for a city, the Rand Center on Quality Policing has an online “Cost of Crime Calculator” (http://www.rand.org/jie/centers/q uality-policing/cost-ofcrime.html) . Try it and plug in what a benefit it would be to have 100 more police officers in Long Beach. The City of Los Angeles funded more police by increasing trash collection fees. We could take a percentage each year of oil revenue above $70 a barrel and earmark it for public safety. We need this investment in safer neighborhoods. ■


POLITICALWIRE – LONG BEACH MAYORAL RACE February 4-17, 2014

Long Beach Business Journal 21

Question: What experience do you have that enables you to understand challenges faced by businesses in Long Beach? DAMON DUNN

I

bring a 360º perspective on the challenges businesses face in dealing with cities. I’ve worked with cities to develop projects that created jobs and a stronger tax base. I’ve worked to develop those projects, experiencing how the permitting, city planning departments, tax policy, and regulatory climate work in different cities nationwide. I have seen where this can work, where cities have made it possible to create jobs and tax base, and where businesses do a proper job in reaching out to neighborhoods they can benefit. I have also seen where it doesn’t work. The needless red tape, the long timelines for decisions, and the sheer number of logistical hoops businesses face. In California, I’ve experienced delays of 24-36 months just to open a drugstore, approvals that took 6 months or less in other states. Long Beach has done more than most cities in this region to cut the red tape that stands in the way of creating jobs, but there is more we can do locally. Consolidating and expediting local approvals. Taking a hard look at fees, especially conditional use permit fees, compared to our regional competitors. How our enterprise agencies can expand our competitiveness for jobs. Where better training with our schools can get our unemployed and youth back to work. We also need to be more forceful on the regional and state level. Businesses that want to create jobs in Long Beach should not be given the run around by the many agencies spread throughout the region. The City needs to run interference and bring those agencies in as partners through coordinated if not consolidated approvals. We also need to be more vocal with the state. The state Legislature continues to heap new regulations, fees and taxes, and new requirements that raise the cost of living to our residents and the cost of doing business to those who want to create jobs. We are a Charter City and not just a creation of the state. We need to make it known when burdensome rules created in Sacramento are hurting job creation in Long Beach. ■

ROBERT GARCIA

A

s Vice Mayor of Long Beach, I have been a strong advocate for business and job creation. I've led efforts to create good jobs at the Port, and have worked hard to attract new businesses to Downtown Long Beach. Thousands of workers are currently working on the Gerald Desmond Bridge, Port Middle Harbor complex, and in new small businesses throughout my Downtown City Council District. We also have large projects coming online like the new Molina Healthcare complex in North Pine and the new Downtown Courthouse. I'm also an entrepreneur and have started a successful small business. In 2007, I launched the Long Beach Post - a local online news site with more than 40,000 subscribers. The business continues to grow and I am proud of their work. I understand what it is like to sign the front of a paycheck, and the commitment it takes to start a business. Owning a small business is not easy, and we must do a better job of supporting business owners in Long Beach. In addition, I teach a course called Government and Business at the University of Southern California. In the course, we discuss and analyze small business regulations, law, microeconomics, and the effect policy has on businesses. The City of Long Beach needs to reinvent our permitting and licensing process - while some progress has been made, the process is still too cumbersome and slow. We must have a stronger customer service approach, and implement more online tools so business owners can do more of the process online and spend less time at city hall. New business owners need relief from some city fees and we must expand our economic development efforts. I'm confident that we can continue to create a better climate for business owners. ■

BONNIE LOWENTHAL

B

o n n i e Lowenthal did not submit a response to the question, despite sending the question to three separate e-mails involved with her campaign – as was done for her with the first go-around of questions two weeks ago to which she responded. The mayoral candidates (or a member of their campaign staff) were informed prior to beginning the series of questions that the Business Journal would not make reminder calls. The process was explained and the instructions are easy to understand. ■

See PoliticalWire News on next page

DOUG OTTO

I

have owned and operated a small business in the City of Long Beach for 30 years. I believe that I am the only mayoral candidate who has signed the front side of a paycheck. But I have also been deeply involved in business issues as they affect Long Beach as follows: • From 1996 to 2002, I chaired the City Manager’s Downtown Business & Development Advisory Committee, which sought to improve the business climate and business success Downtown. • I have worked to develop Long Beach City College as the hub for the Small Business Development Center Network for all of Los Angeles, Ventura, and Santa Barbara Counties. • I helped opened the Small Business Development Center in Downtown Long Beach and have worked with the Center for International Trade Development and the Long Beach International Trade Office to promote international trade in the City. • I worked with the Long Beach Chamber of Commerce to develop an economic development strategy for the City, which is about to be released. • I have worked tirelessly at Long Beach City College to start programs that lead to the improvement of small businesses in Long Beach, including the Goldman Sachs 10,000 Small Businesses Program and the Kauffman Foundation Innovation Fund America, which provides pre-seed stage access to capital and extensive coaching and mentoring for new Long Beach firms. • I have made it a written goal of the LBCC Board of Trustees to hold an Economic Development Conference and, this year, the Innovat!on Fund SoCal Conference brought more than 300 entrepreneurs and innovators to the City. • Most importantly, I have met regularly with the Long Beach business community and solicited their help in developing my 11point Jobs Plan for the City. Thanks to this collaboration, we have a roadmap that will grow jobs and make Long Beach vibrant, prosperous, and entrepreneurial. In every initiative that I have headed, and in every committee that I have chaired, I have reached out to the business community for their help and their input to solve the unique economic issues that our city faces. They have never let me down, and I look forward to a continued partnership as mayor. ■

GERRIE SCHIPSKE

I

have a long history of working with businesses. My downtown law practice represented small and large hospitals and physician businesses. As an elected member of the Long Beach Community College Board of Trustees, I worked with the businesses and schools to develop “The Compact” which surveyed businesses about their needs and then established a program that offered high school students summer jobs and job training if they stayed in school and maintained high academic standards. When first elected to City Council I formed a Small Business Advisory Committee so that I could listen to their concerns. I partnered with the Chamber of Commerce to bring information to local businesses. I also initiated a “Welcome to the 5th District” letter that thanks a business for opening in my council district and includes a list of important phone numbers to contact at City Hall. I introduced “Prime Time for Business” that allows each councilmember to highlight a local business owner in their district during a council meeting and was supportive of council action to remove the duplicative requirement that real estate agents have a business license as well as their brokers. Last year, I co-sponsored a free seminar for small businesses or those who wanted to open a small business, with State Board of Equalization Chairman, Jerome Horton, State Senator Ricardo Lara, and the California Chamber at Long Beach City College. This important workshop featured “success strategies” that every business owner should know about: New Permit Holder Training; Audit and Compliance Issues; Sources of Funding; Government Sub Contracting; Forms of Ownership; Employment Taxes; Business Marketing; Record Keeping and Tax Tips. I am the only City councilmember to participate in the L.A. Jobs Defense Council which is part of the Los Angeles Economic Development Corporation and is specifically working with the aerospace industry to retain jobs. I have been teaching employment law and practices at CSULB for several years. This expertise and my continued involvement mean that I can bring practical knowledge and sensitivity about the concerns of business to the office of Mayor. ■


POLITICALWIRE NEWS 22 Long Beach Business Journal

February 4-17, 2014

Endorsements Or ‘Supporters’?

an office and being a supporter? We’ll leave that up to readers to decide. To see Otto’s endorsements, go to: www.dougottoforlongbeach.com/endorsements. For Lowenthal’s list, go to: bonnieforlongbeach.com/supporters/.

Money, Money, Money

■ By GEORGE ECONOMIDES, Publisher Candidates continue to flood the local media with press releases announcing endorsements. One of the biggest announcements came from the Doug Otto camp. Former California Republican governor George Deukmejian, and his wife, Gloria, have endorsed Otto to be the next mayor of Long Beach. Otto, a Democrat, as are three of the other four top candidates for mayor, has amassed an impressive list of endorsements from local residents, local educators, local business people and local current and former elected officials – Democrats and Republicans, including Los Angeles County Supervisor Don Knabe. Mayoral candidate and Assemblywoman Bonnie Lowenthal also has an impressive list of what her website refers to as “supporters.” The contrast with Otto’s list is significant. Lowenthal’s has about 50 elected officials from throughout the state and about two-dozen labor unions, which are referred to as “labor allies.” She also has a list of about 140 individuals (“Environmental Leaders and Community Members”). The Business Journal reached out to three of these individuals, asking if they had endorsed Lowenthal for mayor. All three said no. Is there a difference between endorsing a candidate for

The filing period for candidates to show financial contributors to their campaign (as well as other items) was January 31, for the period ending December 31, 2013. At press time, among the top five mayoral candidates, only Robert Garcia’s report was not listed on the city’s website. Garcia did send out a press release announcing his campaign had raised just over $206,000 for the reporting period and, adding to previous contributions, over $220,000 to date. Garcia also reported that more than $50,000 in contributions came from online donations. Because the report was not available online, we do not know how much cash Garcia had available at the end of the reporting period. Garcia is also being supported by an independent expenditure committee known as “Friends Of Long Beach, A Committee Supporting Vice-Mayor Robert Garcia for Mayor 2014.” The group’s report listed $40,000 in contributions at the end of December. Otto raised $184,290 in monetary contributions during the reporting period. His campaign has raised $255,378 in cash to date. His ending cash balance as of December 31 was $168,198. Lowenthal’s report showed she raised $174,585 and had $143,011.40 cash on hand at the end of December. Gerrie Schipske raised $35,953.98 since July 1, for a

total of $59,151.79. She had $30,464.75 cash on hand at the end of December. Damon Dunn, who had raised $241,432 up through June 30 of last year (including more than $120,000 of his own money), added just $38,476 since then, for a total of $279,908. His cash balance as of December 31 was $41,407.23. Dunn is expected to put more of his own money into the campaign, but he also has support from an independent expenditure committee known as, “Long Beach For Damon Dunn For Mayor 2014, Sponsored By Long Beach Chamber of Commerce.” The committee raised $37,250 through January 21 and spent just under $31,000, primarily on mailings. The group raised another $5,000 on a January 27 filing.

Ballot Order/Candidate Forums Schipske got a boost in the race for mayor when her name was selected for the top spot on the ballot. Being first is considered a bonus since many voters are unsure for whom to vote and end up picking the first name. Of the 10 candidates for the office, Otto’s name is fourth, followed by Lowenthal at fifth, Dunn is listed seventh and Garcia ninth. The Long Beach Cambodian Community is hosting a mayoral candidate forum this Sunday, February 9, 5:30-7 p.m. at the Pka Roam Tek Roam Restaurant, 1360 E. Anaheim St., Suite 205. Limited seating; no walk-ins. Call 562/372-3761 to make a seating reservation. The YES WE CAN Democratic Club is hosting a mayoral debate on Friday, February 28, 7 p.m., at the First Congregational Church, 241 Cedar Ave. To reserve seats, visit: www.ywcdc.com.

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• Laura Doud – Even though she is running unopposed to continue as city auditor, she received the endorsement from the Long Beach Area Chamber Political Action Committee (PAC). • Charles Parkin – Former mayor Beverly O’Neill has endorsed Parkin for city attorney. • James Johnson – The city attorney candidate was endorsed by California Insurance Commissioner Dave Jones. • Gerrie Schipske – Was endorsed by the California Faculty Association-Long Beach Campus Chapter. She also issued a challenge to fellow mayoral candidates to disclose how much money each has raised from within Long Beach. She said 94 percent of her contributions are from people living in the city. “I think it is critical that the voters know here money is coming from in this election,” she said. • Damon Dunn – Former Long Beach vice mayor Doris Topsy Elvord and former fire chief Terry Harbour have endorsed Dunn for mayor. • Robert Garcia – The Long Beach Lambda Democratic Club endorsed him for mayor. • Doug Otto – Meet the mayoral candidate at Lola’s restaurant, 2030 E. 4th St., this Thursday, February 6, from 6-8 p.m. • Lena Gonzalez – The 1st District city council candidate was endorsed by the Long Beach Police Officers Association (LBPOA) and the Long Beach Firefighters Association (LBFFA). • Ricardo Linarez – The 1st District city council candidate was endorsed by the Mexican-American Democratic Club. • Suzie Price – The 3rd District city council candidate was endorsed by the LBPOA, LBFFA and the Chamber PAC. • Carl Kemp – The 5th District city council candidate was endorsed by former vice mayor Frank Colonna. • Robert Uranga – The 7th District city council candidate was endorsed by the LBPOA and LBFFA. • Rex Richardson – The 9th District city council candidate was endorsed by the L.A. County Democratic Party. • Uduak-Joe Ntuk – The 1st District school board candidate was endorsed by the L.A. County Democratic Party and the California School Employees Association Chapter 2. • Juan Benitez – The 3rd District school board candidate was endorsed by Bonnie Lowenthal, the L.A. County Democratic Party and the IBEW Local 11. • Community College District Board – The Long Beach City College PAC has endorsed Marshall Blesofsky in the 1st District board race; Sunny Zia for the 3rd District seat; and Gregory Slaughter in the 5th District. ■


GRAND PRIX HIGHLIGHTS February 4-17, 2014

Long Beach Business Journal 23

Celebrating 40 Years

CART (Championship Auto Racing Teams) replaced Formula One in 1984 in Long Beach. Pictured is the Shoreline Drive straightaway. (Photographs provided by Grand Prix Association)

(Continued From Page 1)

Chris Pook knew a hefty price escalation to hold the race was on its way. Earlier, Long Beach had been offered a deal to recoup its upcoming expenses: two weekends of racing in 1984, starting with a round of the World Sports Car Championship, a midweek round of the World Rally Championship and an F1 race to finish out the week. “We took the idea to city management and they liked it,� recalls Pook, “but added that it would require a city council vote.� Subsequently, the GPALB took their concept to the city manager and city council . . . and were turned down! The council not only nixed the deal, but wanted a one-weekend race, moved from Ocean Boulevard to Seaside Way, with Shoreline Drive serving as the main straight and pit lanes, and offered to broker a 10-year deal with the newly-formed Championship Auto Racing Teams (CART) to seal the bargain. In November 1982, Pook and Controller Jim Michaelian flew to New York to plead their case with Ecclestone. He wanted to help but, bound by the Concorde Agreement, any changes would have reopened the battle with Balestre. Pook and Michaelian then booked a flight to Detroit and, the next day, signed a Letter of Agreement with CART. The F1 era in Long Beach was over. Not all was gloom and doom, however, because the face of Long Beach was changing dramatically. Vacant lots were being replaced by gleaming new venues like the Hyatt Regency Hotel, Shoreline Village and Shoreline Marina. Howard Hughes’ famed “Spruce Goose� had taken up residence next door to the Queen Mary, adding yet another popular tourist attraction for the city. Automotive giant Toyota was now firmly entrenched as the race sponsor, plus CART IndyCar cockpits were filled mostly with American drivers, recognizable stars like Bobby Rahal, Rick Mears, Al Unser, Danny Sullivan, Gordon Johncock and, of course, Mario Andretti. Former F1 world champion Emerson Fittipaldi added some international spark when he joined the series for the 1984 season. Thus, the stage was set. The performers were in place. The only question was, to paraphrase an old show business axiom: “Would it play in Long Beach?� On Friday, March 30, 1984, IndyCar drivers took to the winding, 1.67-mile street circuit for their first practice sessions. Two former F1 drivers – Robert Guerrero (the March team) and Bruno Giacomelli (Theodore Racing) – were 1-2 in Friday qualifying, with promising young driver Michael Andretti (Mario’s son) third in a March, followed by Geoff Brabham (March) and Mario in his Lola. When Saturday’s qualifying sessions ended, however, Mario had the pole, fighting off all challenges with a fast lap of 90.772 mph. To Andretti, who had suffered through a long 1983 season with teething problems in his new Lola, it was a good sign: “This year, we hoped for much more and looks like we have it. You can nearly always get a message from a new car . . . the message we got today was good.�

First CART race in Long Beach is won by Mario Andretti

Long Beach grandstands were packed for the inaugural CART race in 1984. Mario Andretti RV section proved very popular

That was an understatement. When the green flag fell on Sunday’s race, the 44year-old Andretti ran off and hid from the rest of the 28-car starting field. He led wire-to-wire, averaging 82.898 mph for the race’s 112 laps. At the halfway mark, he led by 1-1/2 laps – almost two minutes! – over Fittipaldi. At one point, Andretti got on the radio to his crew chief, Darrell Soppe, and said, “Talk to me, Darrell, talk to me. Tell me what’s happening. It’s getting pretty lonely out here!� When the checkered flag fell, he was a whopping 63.2-seconds ahead of Geoff Brabham, whose March ran out of fuel as he crossed the finish line. Tom Sneva (March) finished third, followed by Jim Crawford (Theodore) and Fittipaldi (March). It was Andretti’s 37th career Indy Car win, and the significance was not lost on him. “I think we proved today that Indy Cars can handle this track quite well, because my car felt as good as any Formula One car I ever drove here,� he said. “It was one of those days you dream about as a driver. “I love it here.� So did the more than 55,000 people who showed up for race day, putting a smile on the face of Chris Pook, who had gambled and won, saving more than a million and a half dollars in expenses by switching to Indy cars. Yet, amid all the post-race celebrations, not many people noticed a 22-year-old driver named Al Unser Jr. He had quali-

Al Unser, Jr.

fied decently – fourth – but finished 17th, completing only 53 laps before exiting with electrical problems in his March. In the coming years, Long Beach race fans would get to know “Little Al� very well indeed! ■

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STATE OF THE PORT 24 Long Beach Business Journal

February 4-17, 2014

State Of The Port – January 23 At The Westin Long Beach

Port of Long Beach staff, international trade executives, local business executives and representatives from the City of Long Beach gathered at the Westin Long Beach on January 23 for the 2014 State of The Port event. Acting Executive Director Al Moro said that cargo volumes at the port increased by 11.3 percent in 2013, “but that this remains a challenging time for the port and our entire industry. . . . We’re rebounding, but other ports want to grab our business and jobs.” He noted that the $788 million approved this year for capital improvement projects “represents the port’s biggest-ever, one-year investment in infrastructure.” Harbor Commission President Doug Drummond told the gathering that the harbor commission is focused on hiring a permanent executive director and ensuring that the port’s capital improvement projects are delivered on time and on budget.

Al Moro, left, acting executive director of the Port of Long Beach, and David Thornburg, director of public affairs for SA Recycling.

Long Beach Police Chief Jim McDonnell, left, with Port of Long Beach Director of Security Randy Parsons.

Michelle Grubbs, left, of the Pacific Merchant Shipping Association, with Long Beach Assemblywoman Bonnie Lowenthal. Photographs by the Long Beach Business Journal’s Thomas McConville

Long Beach Harbor Commission President Doug Drummond and his wife, Linda, president-elect, Assistance League of Long Beach.

From left, Long Beach Board of Harbor Commissioners Rich Dines and Susan Wise; Jeff Burgin, senior vice president of Pasha Stevedoring & Terminals L.P.; Frank Capo, senior vice president and chief commercial officer of Total Terminals International, LLC; and Thomas Fields, owner of Thomas Fields Associates and former president of the Long Beach Board of Harbor Commissioners.

From left, Donald Snyder, director of trade development for the Port of Long Beach; Carolyn Martin, Former Long Beach mayor Beverly O’Neill is flanked Terry Junkins, left, and Don assistant vice president of customer service and publication relations for International by Rick Davis of Davis Consulting Group, and Cowan of OXY Long Beach. Transportation Service; and Cosmo Perrone, princiOrange County Deputy District Attorney Susan Price. pal of Cosmo Perrone & Associates, LLC and former director of security for the port.

From left, U.S. Coast Guard Capt. Jennifer Williams; Long Beach Fire Department (LBFD) Deputy Chief Mike Sarjeant; LBFD Marine Safety Chief Randy Foster; and LBFD Chief Michael DuRee.

Marianne Venieris, left, retired executive director of CSULB’s Center for International Trade and Transportation (CITT), and Angeli Logan, director of trade and transportation programs for CITT.

Scott Smith, left, president and CEO of Westbound Communications for the Port of Long Beach’s Gerald Desmond Bridge Replacement project, and Denis Wolcott, media relations manager with Westbound Communications.

From left, John Cruikshank, principal civil engineer of John M. Cruikshank Consultants; Scott Kurtz, director of environmental sciences at Ninyo & Moore Geotechnical & Environmental Sciences Consultants; and Andy Duong, president of The Alliance Group Consulting.

From left, Michael Ponce, day business agent for the International Longshore and Warehouse Union (ILWU) Local 63 Marine Clerks Association; Joe Mascola, vice president of ILWU Local 63; Domenick Miretti, senior liaison for ILWU; and Mike Trudeau, secretary-treasurer for ILWU Local 94.


STATE OF TRADE AND TRANSPORTATION February 4-17, 2014

Long Beach Business Journal 25

State Of Trade And Transportation – January 30 At The Hyatt Regency

More than 500 business and community leaders gathered at the Hyatt Regency on January 30 to hear the president of the Pacific Merchant Shipping Association discuss the “State of the Trade and Transportation” industry. John McLaurin said he was optimistic “as cargo volumes slowly creep back from the depths of the great recession;” innovative “as we see the implementation of new technologies moving greater volumes of cargo at far lower levels Current and former members of the Long Beach Board of Harbor Commissioners are, from left, Nick Sramek; Thomas Fields; James C. of pollution;” exciting “as our members con- Hankla; Mike Walter; Susan Wise; John Calhoun; and James Gray. tinue the job we take so much pride in – facilitating trade and commerce at some of the busiest ports in the world and moving goods that reach millions of American households and consumers, creating economic opportunity for so many;” and well positioned “as Southern California has all the elements needed to handle growing trade volumes and an evolving supply chain.” Noting April’s primary elections in Long Beach, McLaurin said, “Regardless of who is elected, the upcoming election will bring about change and hopefully a more civil diaGeraldine Knatz, former executive logue. People can agree to disagree, director of the Port of Los Angeles, but they should not be personally From left, Richard Steinke and Jim McCluskie of Moffatt & Nichol; LaDonna DiCamillo, BNSF; John McLauren, with Al Moro, interim executive attacked and smeared simply because Pacific Merchant Shipping Association and keynote speaker for the event; and Randy Gordon, director of the Port of Long Beach. they offer a differing opinion.” ■ president/CEO, Long Beach Area Chamber of Commerce, event organizer.

From left, Miguel Cordova, Carillo Strategies; Gwendolyn Parker, IMC Municipal Consultants; Carl Kemp, Kemp & Associates; and Vice Mayor Robert Garcia

Oxy Long Beach employees, from left, Hilario Camacho, Chris Valdez and Joel Scott. Photographs by the Long Beach Business Journal’s Thomas McConville

From left, Consultant Diane Jacobus, former Mayor Beverly O’Neill and Debbie Golian of Creative Productions.

Long Beach Container Terminal employees, from left, Dino Bon, director of human resources; Bill Madden, vice president operations; and Anthony Otto, president.

Long Beach Community College INCO Company employees, from left, Doug Shea, Brad Miles, Andrew Castro Trustees Roberto Uranga, left, and and Bill Townsend. Doug Otto.


ENCORE – PEOPLE IN THE NEWS 26 Long Beach Business Journal Personnel Announcements At MemorialCare – Rick Graniere, corporate treasurer for MemorialCare Health System has added the title of chief investment officer. MemorialCare also announed the appointment of Karen Testman, RN, as its Rick Graniere Wendy Dorchester Karen Testman new chief financial officer and Wendy Dorchester, Ph.D., as chief administrative officer for the company’s Seaside Health Plan. Graniere, a 30-year employee of MemorialCare, holds a bachelor’s of science in accounting from California State University, Northridge. Testman joined MemorialCare in 1998 and most recently served as senior vice president of financial operations. She received both her degree in nursing and bachelor’s degree in business administration from Loma Linda University. Dorchester has served in several executive positions at Long Beach Memorial, Miller Children’s Hospital Long Beach and Community Hospital Long Beach. Seaside Health Plan opened last September to, according to a statement, “serve individuals and families enrolled in Medicare, MediCal, Dual Eligibles and Commercial plans who are members of partner health plans and choose Seaside as their participating network.” New Environmental Chief At Port – Richard A. Cameron has been promoted to managing director of environmental affairs and planning for the Long Beach Harbor Department. He has been serving as acting director since July. Cameron joined the port in 1996 as an environmental specialist. He became director of environmental planning in 2007. In his new post, he oversees a bureau that includes 41 full-time budgeted employees within the environmental planning, transportation planning and master planning divisions. He is responsible for advancing the Port of Long Beach’s Green Port Policy. Doug Richard Cameron Drummond, president of the Long Beach Board of Harbor Commissioners, said Cameron has been “very instrumental in designing and building the signature programs that have made the Port of Long Beach a leader in environmental stewardship. He’s the right choice to help us make this port even greener.” F&M Chief Banking Officer – Kathryn Gonzales has been named senior vice president, chief banking officer, a newly created position at Farmers & Merchants Bank. Gonzales, with 33 years of banking experience, will work on the bank’s retail and sales strategies, with particular focus on growing core accounts and deepening relationships with the bank’s key customers, according to W. Henry Walker, F&M Bank president. “We couldn’t be more pleased to add Kathryn to our executive management team, as her career in banking is truly exceptional and includes a keen strategic vision combined with handsKathryn Gonzales on leadership,” Walker said. “As F&M enters its 107th year, we are embarking on new initiatives and planning for further growth in the century ahead, so a larger leadership team will play a very key role.” New VP Of Sales At Visitors Bureau – Jarrod Finley has been appointed vice president of sales for the Long Beach Area Convention & Visitors Bureau (CVB). For the past 13 years, Finley has held various positions with Marriott International. According to the press release announcing his appointment, he is responsible for implementing sales strategies to drive convention business into the City of Long Beach. He also provides leadership to 10 national sales directors and four business development managers with a focus on business generation and room night goal attainment. “Jarrod brings to Long Beach a Jarrod Finley solid background in hotel sales and management,” said CVB President/CEO Steve Goodling. “His expertise and enthusiasm will be a great benefit for our city’s convention business.” New President/CEO For Cushman & Wakefield – Edward C. Forst is the new president and CEO of Cushman & Wakefield (CW), the world’s largest privately-held commercial real estate services firm. He joined the company last month from Goldman, Sachs & Co., where he served as global co-head of the investment management division, as a member of its management committee and previously as the firm’s chief administrative officer. Forst has more than 30 years of experience working in international asset management, capital markets and operational leadership. CW has about 250 offices in 60 countries, Edward Forst employing more than 16,000 professionals. New Associates At Local Law Firm – Lauren M. Doyle and Brandon L. Fieldstad have become associates with the Long Beach law firm of Tredway Lumsdaine Doyle LLP. Doyle’s practice areas include corporate and business law, trust administration, probate, general civil and trust litigation. She is a graduate of Western State University College of Law. Fieldsted is a graduate of the University of Southern California Gould School of Law. His practice areas include general civil and trust litigation, personal injury and family law. The Klabin Company Purchased By Five Employees – The 54-year-old Klabin Company/CORFAC (Corporate Facility Advisors) Commercial Real Estate Brokerage has been purchased by five veteran principals of the firm from founder Stuart Klabin. The new shareholders are David Prior, who has served as president for 20 years, Todd Taugner,

February 4-17, 2014 David Grote, F. Ronald Radar and Doug Marshall. The new owners average 24 years of experience in commercial real estate. The firm has offices in Torrance and the Westside. Klabin returns to the position of chairman emeritus. For more information, visit www.klabin.com. New Dean For CSULB College – Cyrus Parker-Jeannette has been promoted to dean of the College of the Arts at California State University, Long Beach effective July 1. She is currently associate dean of the college. According to a statement, “The College of the Arts encompasses accredited and nationally recognized programs in the visual arts, industrial and interior design, dance, film and electronic arts, music and theatre, along with the Carpenter Performing Arts Center and the University Art Museum.” Parker-Jeannette holds a bachelor’s degree in Cyrus theatre/dance from CSU Fullerton and a masters in fine arts from Parker-Jeannette University of California Irvine. Tuckman Joins Psychiatric Staff – Dr. Alan Tuckman has joined the professional psychiatric staff at the Atherton Clinic of Memorial Psychiatric Health Services in Long Beach. Tuckman is board certified in forensic and general psychiatry. He had a practice in New York city for 40 years, and has evaluated, according to a press statement, more than 5,000 forensic cases dealing with criminal law, family law and many types of civil law matters. Sosa Joins Local YMCA – Emilio Sosa is the new senior executive director of the Weingart-Lakewood Family YMCA, located at 5835 E. Carson St. in the City of Lakewood. Most recently, Sosa had headed up the Early Childhood Education Depatment at the YMCA of Greater Long Beach since 2007. In his new role, he will oversee the expansion and renovation of the Weingart-Lakewood Family YMCA, which is estimated to be about a nine-month project and add about 10,000 square feet to the existing 25,000-squareEmilio Sosa foot facility. New Leader At Day Nursery – Whitney Leathers is the new executive director of the Long Beach Day Nursery (LBDN), having been appointed by the organization’s board of directors. Leathers most recently served as executive director of The Nevada Association for the Education of Young Children in Reno. She earned her bachelor’s in English from Western Illinois University. “The extensive search conducted by our board and community members included several talented executives,” Board Chair Jonathan Gotz said. “Whitney’s appointment refects our fundamenWhitney Leathers tal belief that LBDN is on track to continue its mission into the next century.” LBDN was founded in 1912. Joel Perler Joins Port Staff – Joel Perler has been appointed assistant business development manager at the Port of Long Beach. He most recently served as vice president of membership and business development for the Long Beach Area Chamber of Commerce, a position he held since March 2009. At the port, Perler is responsible for trade education and outreach programs to current and potential customers, including terminal operators, cargo owners and ocean carriers. Among his other responsibilities, he is to conduct research and analyze market strategies and industry trends. He Joel Perler earned a bachelor’s in humanities from USC and a masters from the school of public administration at the University of Illinois. Otto Leads Transit Board – Dr. Freda Otto, a consultant to nonprofits and businesses, is the new chair of the Long Beach Transit Board of Directors. Otto, a three-year member of the board, received her PhD from the USC School of Public Policy and Administration, and her bachelor’s and masters from California State University, Long Beach. She previously served as assistant vice chancellor for university advancement for the CSU System, and was a vice president at the St. Mary Medical Center Foundation. “Long Beach Transit is integral to the success and vitality of our city, especially as Freda Otto our youth become eco-conscious leaders and as our senior population continues to grow.” The seven-member board also elected Barbara Sullivan-George as vice chair and Maricela de Rivera as secretary-treasurer. Nakagawa Heads Portia Consulting – Jane Nakagawa, an executive with Long Beach-based InterTrend, has been tabbed to lead a new sister company called Portia Consulting, a boutique product and market strategy firm also based in Long Beach. Prior to joining InterTrend in 2009, Nakagawa worked for Nissan for 18 years, where she served as director of advanced planning and strategy, and was named by Automotive News as one of the “top 50 people who made enduring contributions to Nissan’s 50 years in America.” She earned a masters of architecture from UCLA. For more information, visit: Jane Nakagawa www.portiaconsulting.com Certification For Association Managers – The “Certified Community Association Manager (CCAM)” designation has been awarded to three Long Beach professionals: Rosalba Gonzalez and Richard Lucas of Pabst, Kinney & Associates; and John Witham of Tyler Management. About 1.18 million people live in homeowners associations (HOA) in Los Angeles County, according to Laguna Hills-based CCAM. The


ENCORE – PEOPLE IN THE NEWS February 4-17, 2014

Long Beach Business Journal 27

Historic Rancho Los Cerritos Under New Management According to a statement released last month, “the Rancho Los Cerritos Foundation entered into a 25-year Lease Agreement with the City of Long Beach to assume operational and managerial responsibility for the National and State Historic Landmark site” located in the Bixby Knolls/Virginia Country Club area of Long Beach. The announcement followed two years of negotiations after city officials approached the Foundation Board, which was formed in 1994, to take over operation of the site. Reasons cited for the switch include: hiring, purchasing, technology upgrades, site maintenance, volunteer services and other operations will be streamlined, and the Foundation will be eligible to apply for some new grants not open to government-run museums. The city, which will provide an annual management fee for upkeep of the site and collections, has been operating the Rancho since it acquired it in 1955. Pictured are the officers and directors of the Foundation Board. Front row, from left, are: Margie Newell, Chief Financial Officer John Fielder, Craig Smith, Chairman Kevin Kayse, Craig Carter and Richard Dempsey. Top row, from left, are: Dennis Eschen, Vicki Pard, Secretary Mary Hancock Hinds, Barbara Bixby Blackwell, Jean Bixby Smith, Vicki Holden, Lovetta Kramer and Lee Shoag. Not pictured are Vice Chairman William Lorbeer, Ron Arias, Alan Fox, David George, Bob Hagle and Bob Shannon. Located at 4600 Virginia Rd., the Rancho is open Wednesday through Sunday from 1-5 p.m. For more information, visit: www.rancholoscerritos.org. (Photograph by the Business Journal’s Thomas McConville)

organization reports that HOA management features more than 1,200 laws “pertaining to common interest developments.” Aquatic Capital Athlete Of The Year – The Long Beach Aquatic Capital of America Foundation announced that for the third time in five years, swimmer Jessica Hardy has been named Athlete of the Year. Hardy earned three medals at the 2013 FINA World Championships last summer. She and other winners are being recognized tomorrow evening during the group’s annual banquet at the offices of Keesal Young & Logan. Other winners are: Gary DeLong as Citizen of the Year; Ricardo Azevedo as Coach of the Year; the Long Beach City Council as the Organization of the Year; John Sangmeister for his Outstanding Achievement; and Kelsey O’Donnell is a Special Honoree. Community Service recognition goes to Kim Masoner, Stefanie Matthews, Robert Palmer, Justin Rudd and Laurel Terreri. Scholarships are being awarded to the California Aquatic Therapy and Wellness Program and to the Long Beach Junior Lifeguard Program. The Foundation was established to “communicate and promote Long Beach as an aquatic destination for business, education and sports.” Agent Joins Insurance Advisory Council – Chris Manoly of Mills Insurance Services in Los Alamitos has been named to the 2014 Safeco California Region Advisory Council. According to a statement, Safeco has been using advisory councils for more than 10 years to collaborate with agents on solutions that will improve the agent and customer experience. About 140 agents sit on eight regional councils. Tippers Elects New President – Nate Trimmer, co-founder of Omnibeat, a social media marketing firm in Los Alamitos, is the new president of The Tippers Club of Long Beach. Formed 34 years ago, the group of more than 75 members supports each other through business transactions, referrals and social activities. For more information, e-mail: info@thetippersclub.com.

Signal Hill Chamber Elects Officers – Realtor Terry Rogers is continuing another year as president of the Signal Hill Chamber of Commerce. Rogers is associated with Coldwell Banker Preview International. Other officers are Michael Coso of Allegra Marketing as 1st Vice President; Carlos Campos of Peculiar Solutions as 2nd Vice President; Amanda Kilpatrick of Signal Hill Petroleum as secretary; and Judie Johnson of Bookkeeping Services as treasurer. For more information about the chamber, visit www.signalhillchamber.org. LBS Financial Employees Donate Toys – During the recent holiday season, more than 175 employees at LBS Financial Credit Union donated hundreds of “toys, gifts, clothing and gift cards to the children and parents served by the Needy Family Project in Cerritos and surrounding areas.” According to LBS President/CEO Jeffrey Napper, “This was the seventh year where our employees donated gifts for children and needy families.” Molina Employees Help Seniors – Also during the holidays, employees from Long Beach-based Molina Healthcare brought gifts and sang for seniors and persons with disabilities. The employees visited four senior homes, each with at least 30 seniors at their site. Each senior received a back scratcher and blanket. “It’s an amazing experience and an immeasurable amount of joy to be able to see the smile on the resident’s faces as they opened up their gifts,” said Mona Tisdale, director of Molina. ■

New GM For Floyd’s 99 Barbershop Stephany Van Stone began duties last month as general manager of Floyd’s 99 Barbershop, a new barbershop for men and women at 4000 E. Ocean Blvd. The shop opened on January 9. Van Stone has been with Floyd’s 99 for seven years. She is transferring from the Hermosa Beach location, which she managed for five years. In her role in Long Beach, Van Stone is managing a staff of 16 in addition to styling hair. Floyd’s 99 has 75 locations in 11 states. (Photograph by the Business Journal’s Thomas McConville)

Mark Rhodes Leads Catalina Air Harbor At LGB Mark Rhodes is the CEO and majority owner of Catalina Air Harbor that recently began operating sightseeing tours of the Long Beach and Los Angeles Harbor areas and Catalina Island from the Long Beach Airport (LGB). The company operates a Dehavilland Beaver on amphibious floats, traveling from the LGB to Catalina in about 15 minutes. According to Rhodes, the firm plans on adding “flight instruction to our mix and ultimately air charter and aircraft maintenance.” He said their target market for sightseeing tours, air charter and scheduled service “are people that frequent the waterfront areas of Los Angeles and Long Beach Harbors. . . . Our goal is to give them another choice in entertainment that is affordable, memorable and safe.” For more information, visit: www.catalinaairharbor.com. (Photograph by the Business Journal’s Thomas McConville)



February 4-17, 2014 Section A