City Sees Campaign to Shed Bedroom Community Image Pay Dividends
In 1980, Simi Valley launched an aggressive campaign aimed at attracting new business to boost economic development in what was and still is considered a bedroom community.
During the past decade, the city added 1.8 million square feet of commercial space and 5.3 million square feet of industrial facilities, resulting in an estimated 15,000 new jobs, said Assistant City Manager Jay Corey.
The newly created jobs have had a significant effect on the number of residents who commute outside the city to work. In 1980, more than 70% of the work force in Simi Valley traveled to Los Angeles and elsewhere to earn a living. In 1989, with the city’s population at more than 103,000, the number of those commuting to work was 60%, Corey said.
For some, Simi Valley, which incorporated in 1969, is not progressing fast enough. When the east Ventura County city recently threatened to sue the City of Los Angeles to block a massive commercial and housing development in nearby Chatsworth, citing concerns about increased traffic and pollution, the issue of Simi Valley’s own economic development was thrust into the forefront.
Los Angeles City Councilman Hal Bernson charged that Simi Valley had failed to provide enough jobs for its own residents and should not complain about a development from which it would obviously benefit in terms of employment opportunities. Moreover, Bernson said Los Angeles was “sick and tired of supporting bedroom communities like Simi Valley and Santa Clarita” and suggested that Los Angeles impose an employment tax on those who come from outside the city to earn their living.
Simi Valley Mayor Greg Stratton, who works as an engineering manager at Teledyne Systems in Chatsworth, shrugged off Bernson’s remarks as nothing more than an emotional reaction to Simi Valley’s concerns over the planned Porter Ranch development.
“If he wants to ship some of his businesses to Simi Valley, we’ll take them,” Stratton said. “I’d love to pick up Teledyne and move the whole thing out to Simi Valley.”
Some San Fernando Valley firms have done just that. For example, Cardkey Systems Inc., with 220 employees, moved from Chatsworth to Simi Valley in 1989.
Tony Wilson, senior marketing specialist with the security firm, said the company had shopped around the San Fernando Valley for a site on which to build before deciding on Simi Valley. He said it was cheaper to lease space in Simi Valley.
“The San Fernando Valley is becoming very expensive to run a business in,” Wilson said. “Over the last few years, it has just skyrocketed.” Wilson attributed the high cost of leasing space, in part, to the advent of Warner Center in Woodland Hills.
He said about 30% of Cardkey’s employees live in the San Fernando Valley, with the rest in Simi Valley and other parts of Ventura County. When the company announced it was going to move, he said, only two employees left because of the commute.
Bugle Boy, a national clothing manufacturer, also made the move from Chatsworth to Simi Valley in 1989 for basically the same reason as Cardkey--it was cheaper, said Genevieze Squires, a company official. Bugle Boy employs about 500 people, she said.
Besides better land value, the city’s location and quality of life have played a big part in attracting new businesses, city officials said. For example, Simi Valley is within 30 minutes of Burbank Airport and about an hour from Los Angeles International Airport.
In addition, Simi Valley has consistently been listed among the safest cities of its size in the state in terms of major crimes committed each year, according to FBI statistics. The city also enjoys the highest median household income in Ventura County at $48,700.
Some of the other businesses that have located in Simi Valley since 1980 include Farmers Insurance Group; First Interstate Bancard Co.; Micom Systems Inc., a manufacturer of data communication systems; and Whittaker Corp., which makes air traffic control systems and radar tracking equipment. The Upjohn Co. also plans to build a plant in the city next year, and Volkswagen of America Inc. announced plans last week to open an automobile design center in the city.
“I think collectively we have done a very good job” of attracting business, said Nancy Bender, executive director of the Simi Valley Chamber of Commerce. “I think we have a very upscale and diverse type of industry, which was our goal.
