MEASURING OUR PROGRESS
CONNECTING OUR ECONOMY AND COMMUNITY
As Solano County, along with California and the Nation, responded to challenges of the Great Recession, overall employment declined and communities and families have suffered.
However, during this turbulent period, there have been important signs of resiliency. Some Solano industries have continued to grow. As an economy dominated by small business, local employment in microenterprises continues to outpace total employment gains. Even during the recession, the number of establishments opening has exceeded the number closing.
TRENDS
Economy: While monthly job losses in Solano County fared better than California during the recession, real per capita income has declined more than the state as earnings declined. One important source of income stability in Solano County has been the presence of Travis Air Force Base, which has resulted in personal income gains during the recession that have offset some earning declines.
Demographics: Solano County’s population continues to grow, driven primarily by foreign immigration. However, population growth today is slower than in the rest of the Bay Area and California.This changes the underlying drivers of the economy from the last decade, which resulted in a housing and construction boom.
Housing: After the mortgage crisis, Solano County like much of California, has been adjusting to the burdens of housing foreclosure. Marking the first year since the exponential growth of residential foreclosures in 2006, foreclosures in Solano County declined in 2009 and fell again in 2010. Housing sales fell in 2010 and prices are stabilizing – making housing more affordable in the county again.
Education: Education remains a major community concern in Solano County as the high school dropout rate continued to increase across almost all ethnicities and races.While today’s workforce is relatively highly educated, the county faces a challenge in preparing the future workforce.
Public Finance: Local finance to support community services are increasingly constrained as revenue has declined due to the recession and falling revenue from sales taxes and fees.While property taxes had been on the rise until 2008, they will likely now likely continue to fall as a result of declining housing assessments.
The economy and community are connected through a vital cycle. A strong economy needs a strong community, and a strong community needs a strong economy. In 2010, while both the economy and community have been hit by outside forces, Solano County has shown resiliency and has demonstrated that it can build a strong economic community through partnerships.
RETROSPECT
Statements made in the inaugural 2008 Index before the impacts of the recession were being seen in the data are worth repeating today. The statements about this emerging economy at the heart of the Northern California mega region are just as valid now, if not more so, as they were three years ago.
“None of these trends is inevitable or irreversible.They are signs that the connection between the economy and community could be stronger.This is a challenge for every region, county, and city—and one that never ends. Places that succeed create opportunity that is widely shared among their residents—and keep adjusting as realities change… Because of its diverse and resilient economy and residents, Solano County is not bound by the past to a predetermined future. It has proven that it can prosper in good times and bounce back from difficult times.”
“Solano County is a place that provides opportunity for local children to grow up, become educated, find a job, establish a career, raise a family, and build a life—if they are adequately prepared.This is not the case in every community across America.The Index provides a shared base of information that can help all the communities of Solano County work together to strengthen this connection between their residents and opportunities provided by the local economy.”