SCV Business Journal April 2020

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S A N TA C L A R I TA VA L L E Y

BUSINESS JOURNAL

The Official Publication of the Santa Clarita Valley Chamber of Commerce

APRIL 2020 | VOL. 12 | NO. 4 | SCVBJ.COM

BUILDING UP FOR RECOVERY

From the Experts:

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A MANUFACTURING MAVERICK IN OUR BACKYARD

8 CREATING CONTINUITY AMID CORONAVIRUS


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A P R I L 2020

C O N T E N T S SPOTLIGHTS 10

From the SCV Chamber of Commerce

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SCV Econowatch

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The List: Santa Clarita Valley’s hotels

NEWS & FEATURES 4

‘Legos,’ flames and other amusements

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Creating continuity amid coronavirus

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Superior courthouses re-open on restricted basis; State Department upgrades advisory; Federal government temporarily suspends student loan payments

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Santa Clarita Valley businesses respond; L.A. County issues eviction moratorium; USPS to continue;

SCV BUSINESS VOICES 3

Holly Schroeder, SCV Economic Development Corp.

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Dr. Kevin Bolder, Audiology Associates

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Patrick Moody, Henry Mayo Newhall Hospital

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Brian Koegle, Poole Shaffery & Koegle

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Marc Salata, Green Convergence

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Steve Nuñez, Mission Valley Bank

FROM THE EXPERTS 24

Ken Keller: What follows this crisis?

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Paul Butler: A few thoughts about ‘fringe benefits’

April 2020 | Vol. 12 | No. 4

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Santa Clarita Valley Business Journal (a Signal publication), © 2019, is published monthly by the Santa Clarita Valley Signal newspaper, Paladin Multi-Media Group, Inc., 26330 Diamond Place, Santa Clarita, CA 91350. The SCV Business Journal is intended to provide business executives with a cross-section of industry news and information, trends and statistics that impact our growing community. Information gathered in the pages of the SCV Business Journal has been collected from what are considered reliable sources, and is believed to be accurate, but cannot be guaranteed. Articles may not be reprinted without publisher’s written permission. For reprint requests, please call 661-259-1234.

COVER PHOTO BY DAN WATSON / THE SIGNAL


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SCV BUSINESS VOICES

SCV COMMUNITY STEPS-UP DURING CORONAVIRUS CRISIS HOLLY SCHROEDER President & CEO of SCVEDC

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he Santa Clarita Valley has had more than its fair share of challenges this year, and the current COVID-19 pandemic is certainly one of them. But despite it all, our tight-knit community has a reputation for stepping up and taking care of each other. From folks offering to run errands for the elderly to businesses finding creative solutions in the face of seemingly insurmountable obstacles, I am in awe of how our community responds to difficult situations. One such company that is providing resources in the face of this crisis is 24/7 Events. While their normal operations typically include happier events such as concerts, weddings, parties, and business conferences, they recently were able to acquire tents to help medical professionals and streamline drive-through COVID-19 testing. Partnering with Shelter Structures America, they can quickly construct comfortable and safe quarantine tents to isolate patients as they await test results. In addition, they are immediately available to provide drive-through testing structures and other tents to help hospitals and medical facilities expand their operations during this time. Another SCV company Lavi Industries, makes crowd control stanchions. They are ready and able to assist with orderly line queueing at testing facilities. SCV-based company Quest Diagnostics, a world leader in diagnostic testing services, is committed to providing fast action and laboratory testing on emerging health threats so scientists can gain critical insights to aid in the response. Quest Diagnostics is now receiving COVID-19 specimens from nationwide testing. SCV residents are also offering assistance with critical medical

needs. Henry Mayo Hospital and the Red Cross recently put out a call for blood donations due to a serious blood shortage due to COVID-19 and there was an outpouring of support. I have seen people come together like never before, from

impromptu “quarantine car parades� to book clubs discussing their latest read virtually, and free online dance and fitness classes by local studios to the Santa Clarita Library offering storytime and music for kids on Facebook Live.

For the latest information about COVID-19 check out our resource page: www.scvedc.org/corona virus. If your company needs assistance navigating this crisis the SCVEDC team is here to help. Contact us at scvedc@scvedc.org.

LiveWorkSCV.com FREE job board for SCV businesses & residents

Connecting SCV talent to SCV careers.

SCV companies can post jobs for FREE. Visit LiveWorkSCV.com to get started! scvedc.org | 661.288.4400


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‘LEGOS, ’ FLAMES AND OTHER AMUSEMENTS BY EMILY ALVARENGA

through constant use. “Gravity is the most reliable thing there is, period — I tell everybody that,” he said. “You still have to look at the best components to do the job and figure out what that is.”

Signal Staff Writer

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hen walking into The Attraction Services Company’s 45,000-square-foot warehouse in Valencia, what stands out first is the metal. A lot of it. Metal welded together to form what CEO Ron Griffin calls “Lego blocks,” metal parts, metal control panels and more. Though it may not look like much to the naked eye, these are the materials that come together to allow Griffin to build neat stuff. “This is the behind the scenes, and you get to see how it really comes to life,” said Tracy Klein, business development. “It definitely gives you a feel for how much goes into it.” Griffin and the employees at the Valencia-based company are special effects connoisseurs, able to create show action equipment, motionbased platforms and animated characters, from concept and design to fabrication and installation. ALWAYS BUILDING “My whole career has been about building things that other people would probably be afraid to build,” Griffin said. Griffin has worked on a full spectrum of projects in various industries, beginning his early career by building off-road racing ATVs before he moved into creating autonomous military vehicles and special effects movie props, such as the Energizer Bunny and the Johnny 5 robot that stars in “Short Circuit” to name a few. “So, no matter what industry I’ve been in, when somebody says they need something designed to be built, I’m not afraid to go do it, no matter how unusual it is,” he said. Ultimately, Griffin has learned that he doesn’t really care what the project is, the pleasure comes in figuring out how to build it, designing it and then making it come to life. “I think that’s my best talent,” he said, later adding, “And, I pride myself in coming up with the simplest way to do it.” It’s that reputation for getting his hands dirty and figuring out how to make something happen when no one else can that has propelled

Ron Griffin’s business, The Attraction Services Company, has called the Santa Clarita Valley home for more than 30 years. In that time he’s created some of the world’s most unique and innovative construction projects, including an 80-foot-tall electronic owl and other worldrenowned amusement park projects. PHOTO BY BOBBY BLOCK / THE SIGNAL Griffin and Attraction Services forward. FROM MOVIES TO REAL LIFE Nowadays, clients often come to them with a cool concept, but no idea how to do it or if it’ll work. That being said, they once built a prototype autonomous ride vehicle from scratch in eight weeks, just to see if the idea would work, and have also built motion bases holding 40,000 pounds, which tilt, rock and move. “And, we’ve managed to put together a team of great people that support that and work with that,” Klein added. One of the first jobs Griffin did outside of the movie industry was for Universal’s new Florida theme park. Since then, he’s been involved in each and every one of Universal’s theme parks across the globe. Right now, it’s all hands on deck as they work on Universal’s new Beijing park, but in addition to theme parks, Attraction Services creates exhibits for science centers and museums, and is also currently

working on an immersive project for the Georgia Aquarium. For each project, they make sure it fits the client’s needs, such as taking conservation efforts into account for the aquarium project and ensuring the safety of not only humans but the animals, as well. THE NUTS AND BOLTS “Ron really is a true driving force,” Klein said. “He doesn’t get too bogged down by the latest and greatest thing. He’s like, ‘What’s the best way to do it?’” Though technology has evolved and improved, the latest and greatest in that technology might not always be the best answer, according to Griffin. “Technology changes, but the law of physics never does … (it) governs 90% of what you have to do,” Griffin said. “It’s then the technology that might give you better methods of doing it than we had 20 years ago.” Much of their equipment must not only look realistic, but it also has to remain reliable and repeatable

A UNIQUE PROJECT When Attraction Services was contacted by Insomniac events back in 2013, they had just six weeks to create what would become the iconic symbol of the Electric Daisy Carnival in Las Vegas, a 40-foot tall moving, mechanical owl with an 80foot wingspan. “We built it, took it up to Vegas, had never put it together ‘til we got there and it ran for three nights from dusk ‘til dawn perfectly,” Griffin said. The owl’s head bobbed up and down while its eyes were animated using oversized TV screens, which Griffin did the artwork for. Its wings even opened and closed to reveal each DJ. “I was on a stage every night because I was actually operating him,” Griffin added. “I have this photo of Monday morning, 5:30 a.m., and there are still 80,000 kids out there jumping up and down.” Though the owl was only supposed to be used for one event, it became the mascot for EDC. “It was such a hit,” Klein added. “People were coming in with owl costumes and masks. Then, they asked us if we could make it so they could use it at other events, so we actually toured around with them, with the owl.” WHY SANTA CLARITA? Griffin has lived in the Santa Clarita Valley since 1988, and Attraction Services has always called the SCV home, as do many of its employees. “Doing business in Santa Clarita is very advantageous because of the abundance of machine shops and related companies, such as waterjet companies like Jet Technologies,” Griffin said. “It’s a very good friendship up here … All the companies are always helping each other out.” The company moved to a larger location right down the street about a year-and-a-half ago, giving them more room to work inside along See ATTRACTION, page 18


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SCV BUSINESS VOICES

HEARING LOSS AND OTHER CONDITIONS KEVIN BOLDER AuD, Audiology Associates

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ertain medical conditions may increase your risk for hearing loss. If you have impaired blood flow through the body, you’re more likely to develop hearing loss. Learn more about which conditions can affect your hearing.

DIABETES Around 30 million Americans have diabetes, and they are twice as likely to experience hearing loss. Diabetes leads to high blood pressure, which may result in blood vessel damage throughout your body. Your ears are particularly sensitive to blood flow, so damage there can quickly develop into hearing loss. You can help protect your

hearing health by controlling your diabetes with prescribed medications. Monitoring and keeping your blood pressure in check, exercising moderately each week, and eating a healthy diet to help manage your weight will also help reduce your risk. HEART DISEASE When your heart health suffers, plaque builds up in the arteries and disrupts blood flow. Similar to diabetes, this can cause damage to your inner

ear and result in hearing loss. Research suggests this hearing impairment could be one of the earliest signs of heart disease, making annual hearing exams is crucial to your overall health. HIGH BLOOD PRESSURE (HYPERTENSION) If you have hypertension, your hearing loss may result from the same blood vessel damage that affects diabetics. Acting early may help you maintain your hearing health, so speak to

your doctor about strategies for controlling your blood pressure. In addition to healthy diet and exercise habits, quitting smoking and avoiding alcohol can help many individuals achieve a healthier blood-pressure level. While you and your doctor can manage your symptoms to reduce health risks, you may have already suffered some degree of hearing loss. If you notice any changes in your hearing, come speak to us. To schedule a hearing evaluation today, please call Audiology Associates at (661) 284-1900. Kevin Bolder, Au.D., Patrice Rifkind, Au.D., and John David, Au.D. are three of the best in Santa Clarita and San Fernando Valley. Visit our website at www.Audiology Associates.net or stop by our office located at 23838 Valencia Blvd, Suite 100, Valencia. We are hearing healthcare excellence..


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SCV BUSINESS VOICES

A MESSAGE FROM HENRY MAYO NEWHALL HOSPITAL PATRICK MOODY Spokesman for Henry Mayo Newhall Hospital

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s I write this, events related to the COVID-19 outbreak are evolving rapidly. The

one constant is that Henry Mayo

Newhall Hospital is committed to caring for our community. As your healthcare provider, we believe it’s our duty to not only take care of our patients and their families, but also be a source of reliable information for our community. We encourage you to visit henrymayo.com or

our Facebook page regularly for up-to-date information. On our website you can also find the latest information on our visitor policies and other hospital-related information. We will always take whatever steps are necessary to keep our patients, visitors and staff safe.

It bears repeating the most common symptoms of COVID-19 are fever, cough, shortness of breath and breathing difficulties. Contact your primary care physician first if you are experiencing these symptoms, particularly if you have traveled internationally recently, or if you have been in contact with someone who tested positive for COVID-19. If your condition requires treatment in a hospital setting then your physician will refer you to Henry Mayo, in which case we are well-prepared to provide you with the highest level of care. Of course as always, if you are experiencing severe symptoms of any kind please call 9-1-1 immediately. As a reminder, the best prevention you can take includes: washing your hands frequently with warm water and soap; use hand sanitizer if out; cough into your elbow or a tissue; follow shelter-in-place recommendations from government authorities; and please don’t go out at all, if you’re sick. Finally, it’s been incredibly inspiring to see the many acts of generosity and selflessness by those in our community. We recently held a blood drive at Henry Mayo, right after the American Red Cross put out an urgent appeal for blood. Due to such an overwhelming response, the Red Cross was not able to accommodate all potential donors. As of this writing, further blood drives are scheduled. We’ve also received many offers of donated goods and services. We are very grateful and touched by our community’s generous spirit. To learn about other ways to support our notfor-profit hospital, please visit henrymayo.com/support-henrymayo. Thank you. It is our honor and privilege to serve the Santa Clarita Valley. Patrick Moody is the director of marketing and public relations at Henry Mayo Newhall Hospital. For more information about local community health programs, visit HenryMayo.com.


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SCV BUSINESS VOICES

ANOTHER BITE AT APPLE: DISCUSSING COMPENSABLE TIME BRIAN E. KOEGLE, ESQ.

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Partner for Poole, Shaffery & Koegle

ver the last several years, California courts have issued several rulings dealing with “compensable time” — specifically, when an employer is required to pay its employees for “hours worked.” The latest clarification comes from the California Supreme Court, with a broad reach and clarification of what is deemed to be “compensable time worked.” The plaintiff in Frlekin v. Apple worked in an Apple retail store. At the conclusion of every work shift, her personal property was searched pursuant to Apple’s bag search policy. The policy was designed to reduce losses based upon employee theft. Before leaving the Apple store after their shifts, employees were required to meet with a manager, who would inspect any purses, handbags or backpacks. Employees were required to clock out prior to submitting their personal belongings for a search. Employees estimated that they would have to wait, on average, between 5-20 minutes for a manager to conduct a bag search. Apple had relied on a longstanding principle that employee bag searches were NOT compensable time, but the California Supreme Court decided that Apple guessed wrong. The court found that the control exercised by Apple when administering its bag-check policy was time “controlled” by the employer, and thus was compensable time worked. The court looked at five factors to determine whether the employee’s time would be compensable:

1. whether an activity is required by the employer; 2. the location of the activity (e.g. on company property vs. remote); 3. the degree of the employer’s control;

4. whether the activity primarily benefits the employee or employer; 5. and whether the activity is enforced through disciplinary measures. The Supreme Court’s decision in Frlekin stands as a scary

reminder for California employers that if you guess wrong at the application of a given rule of law, substantial liability is ahead. Brian Koegle is a partner in the employment and labor law department of Poole & Shaffery,

LLP. He leads the transactional and litigation teams for the labor and employment division of the business law firm. For more information on Poole Shaffery & Koegle, call (855) 997-7522, or visit pooleshaffery.com.

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CONTINUITY AMID THE CORONAVIRUS BY EMILY ALVARENGA Signal Staff Writer

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s the Santa Clarita Valley Chamber of Commerce held its first in a series of teleconferences focused around coronavirus, or COVID-19, business leaders had the opportunity to discuss business continuity amid the growing impacts the virus has had on the economy. “Now is the time to come together as a community to support each other, which is what we’re focused on at the SCV Chamber,” said John Musella, spokesman for the chamber. “The chamber’s theme for 2020 has been building community, and we had no idea when we set our agenda for 2020 that our theme of building community would take on such an important meeting.” The chamber was joined by local experts to share the latest information on COVID-19, as well as information on what businesses need to do to support their employees, customers and each other. “First and foremost, you should be allowing your employees to use their accrued paid sick leave for any virus-related illnesses,” said Brian Koegle, a partner at Poole Shaffrey & Koegle LLP. “We encourage you, it is the best practice, to be flexible in allowing the use of the other available paid leave benefits, such as vacation or PTO.” Koegle went on to say that it is imperative to either develop or revise your written policy, outlining the steps employees need to take to help reduce the transmission of diseases in the workplace. “This includes making sure employees wash their hands, providing hand sanitizers at workstations where appropriate, encouraging and reminding social distancing,” he added. “These are all good, best practices for employers to remind their employees to abide by, but they should be in written format in order to protect you, the employer.” Though employers are permitted to ask their employees for a fitness for duty certification if they’re exhibiting symptoms, they cannot if they show no symptoms, nor can they ask specific questions of medical diagnoses. Due to current circumstances,

These challenging conditions are prompting businesses to create new ways to serve their customers. Grocery stores, which remain open as an essential service amid the coronavirus outbreak, have created hours to accommodate customers over 65 years old who are at particular risk of coronavirus. PHOTO BY BOBBY BLOCK / THE SIGNAL employers are allowed to ask for temperatures of their employees and customers as they walk in the door. “An employer is allowed to take all necessary precautions, not just to protect their business,” he said, “but to protect the employees that work there.” Koegle was followed by Paul and Lisa Raggio, brother and sister co-owners of One True North, a leadership and business coaching solutions company, who shared steps companies should take in order to get through this crisis, while still preparing for the future rebound. “Let’s face it, folks, business has changed forever,” Paul Raggio said. “We don’t know how radical, yet, but it has changed. And as we say in the Army, ‘We’re moving out,’ and we need to adapt, improvise and overcome existing conditions.” Businesses need to break from their old ways of thinking and start anew, according to the Raggios. “When doing business in times of incredible threat, it’s very easy to only be operating at the 15-foot level,” Lisa Raggio said. “While these moments compel us to troubleshoot

and triage all operations and productivity, commit to regularly thinking through the bird’s eye view of the business and the long term macro versus micro outputs.” Instead, focus on what you can do. “This is a time when we can easily get lost in all the things that cannot be done, but we only need a few things we can do to ensure that we survive, stay alive and thrive in the future,” Lisa said. Your job as a business owner is to stay above the chaos and lean into a calm approach, Lisa added. “In moments of crisis, people look for leaders to show them a way through it,” Paul said. “They want honesty and transparency, or understanding if you don’t have all the answers, but they do want to know what it is they need to do to get through it. You have to map that out for them.” That being said, communication is key. The Raggios suggest companies give their employees, customers and stakeholders regular updates, while also explaining how and why decisions are being made. “Be patient and empathetic,” Paul

added. “They’re all anxious, and uncertainty causes this. Re-assure them that together we will get through this and (that) you have their best interests at heart.” As the entire country, state of California and Los Angeles County continue to navigate through this crisis, Supervisor Kathyrn Barger, who represents the 5th District, which includes the SCV, is determined to cut through the bureaucracy and find solutions for local business owners who are struggling, according to Stephanie English, field deputy for Barger. In the meantime, English was able to discuss a number of programs available to businesses now, including the L.A. County Department of Consumer and Business Affairs’ Small Business Concierge service, which is a free consulting service available to businesses affected by the crisis, as well as the Procurement Technical Assistance Center, which helps businesses compete for government contracts. “Please take advantage of that now, because we will recover,” English said. “If you’re on this vendor list and you can get business with county, state and federal opportunities, you’ll be able to thrive as we move forward through this crisis.” In addition, the Los Angeles County Department Of Workforce Development, Aging and Community Services, or WDACS, has implemented a rapid response team that can help with the challenges businesses are facing right now. “Don’t limit yourself to just, for instance, calling the Department of Consumer and Business Affairs, but also reach out to WDACS,” English added. “If some of these challenges relate to you, connect with their rapid response team and find out how you can support your business and support your employees. These are very hands-on (opportunities and) these departments are ready to help, so we really want to make sure that you’re accessing some services from the county side.” While the situation continues to change rapidly, there are still a number of steps you can take to continue to protect your business, employees and customers, English said.


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SCV BUSINESS VOICES

BUYING SOLAR CAN BE LIKE BUYING A CAR BY MARC SALATA

Director of marketing for SunPower by Green Convergence

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robably more people experience buying a car than buying solar. Car buyers can research fuel efficiency, reliability and comfort to choose the right car for the right price. When most people consider going solar, they usually consider the equipment. However, in solar there are two important players in the process — the panel manufacturer and the installer. The car analogy breaks down here. When buying a certain car, most think about a fair deal and good service. But purchasers are usually more concerned with what they drive off the lot, than where they buy it. In solar, it is extremely important who sells and installs the system. That company is not going to just drop the panels off on the porch. They are going

to install them on the roof – the most important component of a family’s most important asset — their home. The best panels are worthless if someone with no experience or skill installs them. Bad installation could lead to leaks, poor design, and other headaches for years to come. SunPower arguably makes the best panel on the market. Their record-setting efficiency means more power generated with fewer panels. Equally important is their low degradation:

SunPower panels will maintain a greater production capacity over time. To jump back to car-talk — a cheap tire may be a bargain today but may go flat in 30,000 miles. The better tire might cost a few more bucks but last for 70,000 miles. The mark of a good solar panel is electrical production over time. When solar shoppers in the Santa Clarita Valley want the best installer, they come to Green Convergence. Founded by a roofing contractor and

electrical contractor, each with over thirty years of experience, Green Convergence has an attention to quality and workmanship not found in many dealers. If vent pipes on the roof would cause an ugly checkerboard pattern of panels, Green Convergence moves the vent pipes. They run wiring through the attic, rather than through an ugly maze of conduit across the roof, and install low-profile systems. They match the 25-year warranty of SunPower’s panel with an equal guarantee of workmanship. Panels installed beautifully, functionally and solidly for decades. Buying a car can be an afternoon at the dealership, then you drive it off the lot. When buying solar, the “machine” is only part of the story. The dealer matters. Visit GreenConvergence.com for more information.

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1/22/2020 11:28:27 AM


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ABOUT

SAN TA CLA RI TA VALL E Y

Chamber of Commerce

The Santa Clarita Valley Chamber of Commerce is the largest business membership organization in the Santa Clarita Valley representing more than 65,000 member employees. The Chamber serves as “The Voice of Business,” working as the SCV’s leading business advocacy organization in the third largest city in the County of Los Angeles. Founded in 1923, the Chamber works to advocate for, educate and connect the business community.

A LETTER FROM THE CHAMBER — WE’VE GOT THIS: BUILDING COMMUNITY,COMING TOGETHER

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riends, From the very beginning of the COVID-19 crisis, we have placed the health, safety and success of our business community as our main priority. When we started 2020 our theme for the year was Building Community. Little did we know how important that theme would be for the Chamber this year. While we have now begun to adjust to this temporary ‘new normal’ during these unimaginable times, your SCV Chamber has been working seven days a week to ensure we are getting the resources and information you need during the COVID-19 crisis. Earlier last month when we saw the crisis coming, we immediately drafted plans to be ready to move the Chamber into full crisis response mode for our members and the greater SCV business

community. We were ready to launch our Rapid Response Plans to ensure businesses would be getting the most critical information as quickly and accurately as possible. We were also one of the first organizations to begin rescheduling and postponing our events and launched a COVID-19 Business Webinar Series to continue providing value to our members. Generally we focus on providing our members valuedriven programming. However, during this crisis we felt it was important to provide free services and programming to every business in the SCV. We are all in this together and we all need these resources to best manage this unprecedented crisis. Thus, we have been currently providing all programming of the Chamber to every business in our community. We know these are challenging

times that have placed stress on our businesses and daily lives. The Chamber, with our member partner Schlick Art, created a video with community leaders and our elected officials with a positive, reinforcing message for our community. If you haven’t seen it, check it out on the SCV Chamber’s YouTube channel. As we move forward we will continue to work to provide our members and our community with the resources they need to meet the challenges at hand. If you have suggestions or questions, please continue to be part of the

conversation and reach out to us at hello@scvchamber.com. We can do this. We will survive. We’re #SCVPROUD! Onward!

Ivan Volschenk, managing partner, Evolve Business Strategies, representing the SCV Chamber of Commerce


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M A R C H 2020

THE VOICE OF BUSINESS

MEMBERSHIP

ADVOCATE | EDUCATE | CONNECT

MEMBER SPOTLIGHTS

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THE SANTA CLARITA VALLEY ECONOMIC DEVELOPMENT CORP. CELEBRATES 10 YEARS

he Santa Clarita Valley Economic Development Corporation (SCVEDC) is celebrating its 10-year anniversary as an independent organization having started under the umbrella of the SCV Chamber of Commerce. Founded in 2009, the SCVEDC is a unique private-public partnership representing the united effort of regional industry and government leaders, drawing support from the city of Santa Clarita, Los Angeles County, private sector business leaders and academic institutions, including College of the Canyons and California Institute of the Arts. The organization has attracted new businesses to the region in its target sectors of aerospace, biotechnology, advanced manufacturing, digital media and film, information technology, and corporate headquarters. Important new additions to the SCV business community include the corporate headquarters of Sunkist Growers, California Resources Corporation and Logix Federal Credit Union. In addition, each of SCV’s target business clusters are growing. In the technology sector, Scorpion grew from a startup to

Photo Courtesy Santa Clarita Valley Chamber of Commerce

Holly Schroeder leads the Santa Clarita Valley Economic Development Corp. as CEO at the 2019 Economic Outlook, one of the organization’s biggest events each year. expanding in their innovative, new HQ in 2018 and they are still growing, Avita Medical and Nusano join SCV-based biotech companies such as Boston Scientific, Advanced Bionics and Neotech Products. Aerospace and manufacturing also remain strong. Crissair relocated to SCV in 2013. Adept Fasteners built a new building to consolidate their operations into one facility. And Lief Organics has been growing so fast that they expanded in the SCV not once but twice! Of course, SCV is home to many film and TV productions based

in its many studios and movie ranches. This sector has been on fire in recent years with the addition of new companies and new studios, with nearly 40 soundstages in our community. Besides its work to support business attraction and expansion, SCVEDC works to assist and retain those businesses that are already operating in the SCV. Over the past 10 years, SCVEDC has assisted hundreds of SCV companies, demonstrating the business-friendly nature of the community and increasing business retention.

SCVEDC assists businesses in accessing and utilizing available incentives and resources. SCVEDC has grown its dynamic Board of Directors consisting of private and public sector leaders committed to a diverse, resilient economic future for SCV. Under the Board’s leadership, SCVEDC assists businesses in utilizing available incentives and training programs, develops and maintains partnership with public and private sector resources, markets the region as a favorable location for business,

provides accurate economic and demographic data to business decision-makers and site selectors, and fosters positive relationships with agencies and officials essential to the economic development process In 2019, SCVEDC launched LiveWorkSCV. com, a job board dedicated to matching SCV companies with residents in the Santa Clarita Valley. This new service is free both for companies and job seekers. During the past 10 years, the number of jobs in the Santa Clarita Valley has increased by 25%. SCVEDC’s economic development initiatives create new opportunities for SCV residents and generate wealth for the region by creating high-skilled and high-wage jobs. SCVEDC’s economic development efforts have generated a positive economic impact in the Santa Clarita Valley and is recognized as an outstanding organization of community leaders and a dynamic force striving to improve opportunities for businesses and SCV residents. SCVEDC is proud to celebrate 10 years of job growth and success.

NEW MEMBERS: OUR CHAMBER FAMILY IS GROWING

We would like to welcome the newest members to the SCV Chamber of Commerce. Costco Wholesale Santa Clarita www.costco.com

Racco Heating & Air Conditioning www.raccoservices.com

SCV Pediatric Dentistry & Orthodontics

Finally Family Homes www.finallyfamilyhomes.org

Real Estate Liz at Keller Williams VIP Properties Liz@RealEstateLiz.com

Simpson Employment Law

Scott Fairchild Agency https://agents.farmers.com/ca/ santa-clarita/scott-fairchild

Your CBD Store

LMB Development Services www.lmbdevelopment.com Pinned Up www.pinnedupbras.com

www.smilescv.com

www.simpsonemploymentlaw.com

www.cbdrx4u.com


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SA NTA CLAR I TA VA LLE Y

Chamber of Commerce

2020

ADVOCACY

This year is shaping up to be a busy year for the SCV Chamber’s pro-business, strategic advocacy program. Our February Government Affairs Council meeting had several presentations to members and our March 10, 2020 meeting will, as well. Below are some of the top advocacy items to share: GOVERNOR NEWSOM SIGNS ORDER TO PROTECT PUBLIC HEALTH BY EXPANDING VOTEBYMAIL OPTIONS AND EXTENDING DEADLINES FOR PRESIDENTIAL PRIMARY CANVASS Governor Newsom issued an executive order to permit vote-by-mail procedures to be used in three upcoming special elections, protecting public health and safety during the COVID-19 outbreak. The order also extends the deadlines for ballot counting, tabulation, and other responsibilities related to the official canvass of California’s Presidential Primary Election. 25TH CONGRESSIONAL SPECIAL ELECTION WILL BE VOTEBYMAIL Included in Newsom’s executive order was a directive making the 25th Congressional Special Election to be held on May 12, 2020 an “all-mail ballot” meaning LA County will be sending all registered voters a vote-by-mail ballot. SANTA CLARITA CITY COUNCIL REDISTRICTING: PUBLIC REVIEW TIME FRAMES SUSPENDED The executive order also suspends the, “timeframes for conducting the hearings required when a political subdivision changes from an at-large method of election to a district-based election.” This suspension would continue, “until such time as neither state nor local public health officials recommend or impose social distancing.” ‘ESSENTIAL SERVICES’ UPDATED BY GOVERNOR The SCV Chamber has been working with its advocacy partners to gain further clarification of “essential services” as it relates to business. Newsom’s office has now released its latest update which can be found on the state’s website under “See the List of Essential Critical Infrastructure Workers.” This clarification was needed to provide greater consistency in supply chain operations and are an important element for helping to keep our economy open during this crisis. Businesses can find more details online at: https://covid19.ca.gov/ stay-home-except-for-essential-needs/ SUPERVISOR BARGER SIGNS EVICTION MORATORIUM & OTHER RESOURCES FOR SMALL BUSINESSES The SCV Chamber appreciates that Supervisor Kathryn Barger, in her role as chair of the L.A. County Board of Supervisors, signed an Executive Order directing County Departments to mitigate the impact of the COVID-19 emergency, including a moratorium on residential and commercial evictions. The order also directs the creation of an emergency

office, comprised of multiple county departments, to provide rapid response and resources for small businesses impacted during the emergency. BUSINESS LOAN OPTIONS IN THE FACE OF COVID19 Sixty-five percent of businesses have no financial disaster plan in place. With the rapid onset of COVID-19 and the already devastating impact on business, it is crucial that you act as quickly as possible. There are options, you need to do the work to apply. Visit www.SBA.gov for all information on how to apply and programs that are being made available as a result of the COVID-19 Pandemic. Given the contagious nature of COVID-19, there will be NO field reps deployed into the business communities. Loan amounts of up to $2M are available to small businesses for “normal” business obligations. 1st payment can be deferred for up to 12 months. Interest rates vary from 2.75% for non-profits and up to 3.75% for small biz. Interest begins to accrue with first disbursement of funds. Loan Eligibility Must qualify as a “small business.” Churches and Synagogues do NOT qualify for “economic injury”. Repayment ability will be considered, but the SBA might be more flexible than other programs and realizes the COVID-19 has created unprecedented circumstances and that each case is unique. LA COUNTY ARTS FEE ON NEW HOUSING In March, the SCV Chamber’s Board of Directors took an oppose position on the proposed L.A. County Art Fee which would be assessed on all new housing construction in LA.. County, dramatically raising the cost of homes. The SCV Chamber is advocating to exempt all housing/residential development from the Arts Fee ordinance. If residential development is included, the chamber believes it should be in a voluntary, incentive-based process. SENATE BILL 1352 The SCV Chamber Board voted to support SB1352 which would establish a renewable procurement requirement for California natural gas utilities, much like the state requires electric utilities to procure renewable electricity under the Renewable Portfolio Standard. Currently, a significant share of California’s energy portfolio is natural gas. Although climate change goals may be able to reduce the need for natural gas, increasing renewable energy portfolio while cutting GHG emissions raises significant questions about how the state will accomplish energy system integration and reliability. Renewable Natural Gas (RNG) can help decarbonize households and commercial buildings, which is an area proving to be difficult to reduce emissions from. Nearly 90% of homes in the state of California rely on natural gas appliances — that is roughly 13 million homes and buildings that depend on natural gas for heating, drying and cooking.

COALITIONS JOINED| As part of our advocacy efforts, the SCV Chamber has joined the following coalitions to support our business community:


2020

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SCV WELL-POSITIONED FOR PANDEMIC RECOVERY BY PERRY SMITH Business Journal Editor

The Hyatt Regency Valencia accounts for 244 of the SCV’s 1,900 or so hotel rooms. Before the pandemic was announced, the hotel was part of a growing success the city has had in attracting visitors to the SCV. PHOTO BY BOBBY BLOCK / THE SIGNAL

T

he bad news is, COVID-19, or coronavirus, in less than a month, has devastated tourism and the hospitality industry in the Santa Clarita Valley, much like it has throughout the world. Only one month into a global pandemic, it’s hard to calculate the entirety of the toll this virus will take — but the early signs have been troubling. “This industry has been hit really hard,” said Jason Crawford, city of Santa Clarita planning, marketing and economic development manager, referring to tourism and hospitality. The first wave of unemployment resulted in more than 3 million people filing for unemployment in the first week of March, the highest number over that length of time, in U.S. history. By two weeks later, that number had more than doubled. In fact, on their website, the financial experts at J.P. Morgan Global Economics Research expect the global economy “to experience an unprecedented contraction during the first half of the year as containment measures are driving deep collapses in monthly economic activity,” at JPMorgan.com. The good news: Things will get better, and economists think that could start to happen as early as June, likely a little later. And the best news for SCV residents: When that happens, the Santa Clarita Valley is well-positioned to rebound when businesses and the economy start to bounce back. “Before (the pandemic) things were going really strong in the tourism and hospitality markets here,” Crawford said. And it’s not coincidental. Santa Clarita uses a coordinated effort to support the local economy with agencies like the Tourism Bureau, partnerships that help draw new business and investment in significant projects in construction, most of which are continuing throughout the shut down as an essential service. “Business travel and hotel occupancy have increased prior to (the recent coronavirus restrictions),” Crawford said. “And we’d expect to see that continue once we get past this COVID-19 crisis.”

STRATEGY Santa Clarita’s success in attracting hotel and tourism dollars comes from a number of efforts and partnerships, including the Santa Clarita Tourism Bureau, which is a part of the city’s holistic approach to encourage commerce in the city and in the areas in the SCV surrounding city limits all the same. City officials recognize that there’s much more impact than the 10% Transit Occupancy Tax hotel visitors pay, which benefits the city, or the small additional 2% fee that’s paid by travelers that supports Tourism Bureau efforts, like the city’s summer trolley. But whether a person stays at a hotel in the city or just outside, there’s still a direct benefit to the local businesses that will be visited, noted Evan Thomason, economic development associate for the city of Santa Clarita. “It’s really a combination of the business traveler and the sort of recreational tourist,” Thomason said, referring to the city’s primary tourism business. “Six Flags being open year-round has had a positive effect on hotels and overnight stays.” The city is also looking to attract more weekend sports tournaments, such as softball, golf and swim events. “We’ve been really targeting these sports tournaments in the fall and winter,” Thomason said, “those are

the times when the hotels have been a little less busy, and we’ve been trying to augment that.” To that end, the city’s Tourism Bureau, which regularly features about three dozen participants at the monthly meeting who range from representatives for the neighboring historic Fillmore and Western Railway Company to management from local hotels to tourism attractions like Magic Mountain and local entertainment spots like Mountasia. The meetings, which are currently on hiatus due to the pandemic, have helped the industry support itself with shared information, Thomason said, adding one of the realizations that came from the meeting was learning that the city of San Diego and the state of Arizona are the two of the city’s “larger feeder markets,” Thomason said, which helps all of those companies use their outside advertising dollars more efficiently. “That way we’re able to realize ways to work better together,” Thomason said. POSITIONED FOR SUCCESS Although the very short term looks challenging, history and market trends indicate that when the initial surge in coronavirus cases starts to decline or “flatten the curve,” as the experts call it, Santa Clarita is in a great spot to rebound and move ahead. “I think everybody, right now, we’re in survival mode, but I think

when we get to recovery mode, that’s what we’re looking forward to,” Thomason said. “We know the Santa Clarita way of attacking problems.” There’s a significant amount of investment behind this belief, Crawford said, noting a number of different places for people to stay in the pipeline in the various stages of construction. “We’re seeing the hotel brand betting on Santa Clarita for the long term by developing these new hotels,” Crawford said, referring to projects spanning from Vista Canyon on the eastern side of the SCV to the developments on the West Side not far from Interstate 5 that’s expected to add more than 700 rooms to the Santa Clarita Valley’s 1,900-or-so room inventory, about half of which is in city limits and half of which is outside. On the West Side, Thomason said, where there was previously a Best Western and Holiday Express, three hotels are in construction, which is going to add 530 rooms. The Vista Canyon development in Canyon Country has been approved for 200 rooms, although it’s not yet determined what that will look like. And there’s also the Lexen Hotel in Newhall, a 42-room boutique hotel under construction that’s been part of a successful effort by Santa Clarita City Council to attract businesses to revitalize Newhall.


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ECONOMIC DEVELOPMENT CORPORATION SANTA CLARITA VALLEY

26455 Rockwell Canyon Road | UCEN 263 | Santa Clarita, CA 91355 | (661) 288-4400 | www.scvedc.org

SCVEDC CREATES CORONAVIRUS RESOURCE PAGE BY HOLLY SCHROEDER

President and CEO of the Santa Clarita Valley Economic Development Corp.

S

CVEDC is committed to providing you with information and resources to help your company navigate the coronavirus crisis. The SCVEDC has created a coronavirus information page on our website. Here are some resources featured on the page to help your company during this challenging time: CALIFORNIA ISSUES “STAY AT HOME” ORDER Gov. Gavin Newsom has issued a “Stay at Home” order for CA residents to protect the health and well-being of all Californians and to establish consistency across the state in order to slow the spread of COVID-19. This order is in place until further notice. The order exempts 16 Critical Infrastructure Sectors as defined by the Cybersecurity and Infrastructure Security Agency (CISA). LA COUNTY ISSUES “SAFER AT HOME” ORDER LA County has issued a “Safer at Home” order closing all but essential services and businesses and limiting gatherings to fewer than 10 individuals. The order continues until April 19. The order defines essential services

and businesses and provides a list of essential business types. EDD OFFERS WORK SHARING PROGRAM Employers can apply for the Unemployment Insurance (UI) Work Sharing Program if reduced production, services, or other conditions cause them to seek an alternative to layoffs. The Work Sharing Program helps employers minimize or eliminate the need for layoffs, and helps employers retain trained employees and avoid costs of recruiting and hiring new employees as business conditions improve.

LAYOFF AVERSION AND BUSINESS TECHNICAL ASSISTANCE The Layoff Aversion Team is working with LA County’s Rapid Response team to service businesses at risk of closure and job loss, as well as those businesses where job losses are not avoidable. Email scvedc@scvedc.org for immediate assistance. SBA PROVIDES UP TO $2 MILLION IN DISASTER ASSISTANCE LOANS Businesses in Los Angeles County may be eligible for the Disaster Loan Assistance through a 3-step application process. As a unique private / public

partnership representing the united effort of regional industry and government leaders, the Santa Clarita Valley Economic Development Corporation (SCVEDC) adopts an integrated approach to attracting, retaining and expanding a diversity of businesses. Our overarching goal is to support the creation of high-paying jobs for our educated workforce, stimulate economic activity that grows the regional tax base, and strategically position the Santa Clarita Valley and its businesses to better compete in the global economy. Visit scvedc.org/coronavirus for more information.

Econo Watch Santa Clarita Valley

Q4 ’19

Q3 ’19

Q4 2019 Sq Ft

Office Space

11.82%

11.54%

2,782,785

Industrial Space

3.40%

4.20%

2,485,565

Commercial Vacancy Rates

Total Marked Sq. Ft. Vacancy Percentage: Office Space - as a % of Vacancy Industrial Space - as a % of Vacancy

52.57%

N/A

47.18%

47.43%

N/A

Feb ’20

Jan ’20

Feb ’19

New Commercial/Industrial Building Permits

3

0

1

Commercial Tenent Improvements/Alterations

47

35

30

Building Permits

Bank of Santa Clarita (BSCA) California Resources Corp (CRC) Carnival Corp. (CCL) FivePoint (FPH) Mission Valley Bank (MVLY) Six Flags * (SIX) Wesco (WAIR) Woodward (WWD)

Unemployment Rates

5,268,350 52.82%

Local Company Stock Prices

Santa Clarita Palmdale Lancaster Glendale Los Angeles County State

Housing Stats SCV Median Home Value SCV Median Condo Value SCV Home Sales SCV Condo Sales SCV Avg. # of Days on Market (SF) SCV Single Family Home Inventory

Feb ’20 12.41 6.35 33.06 6.96 14.3 25.28 N/A 103.2

Jan ’20 4.2% 6.5% 6.7% 4.1% 4.5% 4.3%

Jan ’20 689,900 397,200 118 54 68 202

Jan ‘20 12.86 7.34 45.53 8.11 14.3 38.13 11.02 116.31

Dec ’19 3.7% 5.8% 6.0% 3.6% 4.0% 3.7%

Dec ’19 643,500 432,500 200 59 87 75

% Change -3.50% -13.49% -27.39% -14.18 0.00% -33.70% -11.27%

% Change -13.51% 12.07% 11.67% 13.89% 12.50% 16.22%

Jan ’19 587,000 360,000 103 51 115 365


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SCV BUSINESS VOICES

ACCELERATE CASH FLOW TO ACCESS CAPITAL STEVE NUÑEZ Vice President, Relationship Manager, Mission Valley Bank

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ith the advent of a global pandemic, not only is personal health jeopardized, but so is the ability for many small businesses to endure amid market disruption and ongoing uncertainty. Converting assets into cash could help a business meet payroll, take advantage of trade discounts, extend credit to customers, cover expenses or fuel business sustainability. Accounts Receivable Financing is a popular option to accelerate cash flow. Many financially sound, small- to mid-sized businesses find it to be a great tool and choose it over more traditional forms of credit because of its flexibility. Example, a business generating $2,000,000 in gross annual sales invoices $166,000 per month. If receivables are paying in 30 days, then the business could improve its cash position by over $5,000 for every day it improves its AR turn. By obtaining cash for invoices within 24 hours, a business could replace a frozen asset on its books with a predictable source of working capital to run the business. What is AR Financing? Simply the selling of outstanding invoices or receivables at a discount to a bank, finance or factoring company. It is an assetbased financing arrangement where a company’s receivable accounts are used as collateral in exchange for cash, bridging the gap between payables due today and receivables remitted in 30 days or more. The value assigned to the account depends upon the age of a receivable; the more current the invoice, the more value it is assigned. How it works: The lender purchases a company’s qualifying current and future receivables at an agreed upon discount rate and immediately pays the company for all current receivables. The lender continues to pay the

company for new receivables as they are generated. This greatly enhances the reliability of cash flow, effectively allowing the borrower to operate as an all cash business. Before deciding whether AR Financing is right for your business, do your homework and

explore options, including traditional lines of credit, term loans, SBA Financing and personal financing. If you decide to pursue AR Financing, carefully select your lender. The right relationship makes a huge difference when it comes to the success — or survival — of your business.

Mission Valley Bank is a locallyowned, full service community business bank headquartered in Sun Valley, California with a business banking office in Santa Clarita. Steve Nunez can be reached at (661) 753-5681. For more information visit www. MissionValleyBank.com.

YOUR SUCCESS IS OUR MISSION

We’re here for you In these uncertain times, it is important you know your bank is here to help.

Mission Valley Bank is committed to doing everything we can to take care of your banking and borrowing needs. If you have concerns or questions about your loans, accounts, or business, CALL US. We are committed to aiding our

Banking Access For the safety of clients, team, and community, Mission Valley Bank encourages clients to utilize remote banking services whenever possible. When not possible, the Sun Valley office is available for Drive-Up Tellers during banking hours; ATM and Night Drop Box available 24/7. The Centre Pointe office will continue to service clients in-branch. To best protect both clients and staff, the number of individuals allowed within the branch at any given time will be limited. We will do our best to make your visit quick and convenient.

EMERGENCY HOURS ADJUSTMENT ARE MONDAY THRU FRIDAY 9AM-2PM. Call Us if you have questions or concerns about your loans or accessing your accounts. Contact your banker directly or dial (818) 394-2300. We’ll put you in touch with the right person to assist you quickly.

M I S S I O N VA L L E Y B A N K . C O M Branches located in:

SAN FERNANDO VALLEY CORPORATE HEADQUARTERS 9116 Sunland Blvd., Sun Valley 818.394.2300

SANTA CLARITA VALLEY CENTRE POINTE BUSINESS BANKING CENTER 26415 Carl Boyer Drive, Santa Clarita 661.753.5693

SOUTH BAY LOAN PRODUCTION OFFICE 21515 Hawthorne Blvd., Suite 211, Torrance 877.394.2306


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The List: S ANTA C LARITA V ALLEY H OTELS R ANK

HOTEL NAME

# ROOMS

YEAR BUILT

BUSINESS-RELATED ACCOMODATIONS AND CONTACT

CONTACT INFORMATION 24500 Town Center Dr., Valencia (661) 799-1234 www.valencia.hyatt.com

1

Hyatt Valencia

244

1998

Top to bottom renovation in 2018. 12,000 square feet of flexible indoor function space, including 8 ballrooms. Amenities: valet, business center, pool, fitness center, mini market and free Wi-Fi. New full-service restaurant, Greater Pacific.

2

Hilton Garden Inn Valencia Six Flags

152

2007

Four conference/ballrooms. $13.95 restaurant buffet. Amenities: free Wi-Fi, mini fridge, microwave, business center, pool, fitness center.

27710 The Old Rd., Valencia (661) 254-8800 www.hiltongardeninn3.hilton.com 28508 Westinghouse Pl., Valencia (661) 257-3111 www.embassysuites3.hilton.com

3

Embassy Suites Valencia

146

2007

Renovated in 2017. 4,456 square feet of flexible meeting room space. Amenities: free Wi-Fi, business center, fitness room and pool Complimentary evening reception and made-to-order breakfast.

4

Courtyard Valencia

140

2007

Boardroom for up to 10 people and meeting room for up to 50. Onsite catering available, plus restaurant and bar for breakfast and dinner. Free Wi-Fi and business center. Other amenities: heated outdoor pool, whirlpool and fitness center.

28523 Westinghouse Pl., Valencia (661) 257-3220 www.marriott.com/bursc

5

Hampton Inn Santa Clarita

128

1987

Currently one meeting room for up to 30 people, which will become a boardroom after renovation is completed. Free Wi-Fi, parking, breakfast, fitness room and pool.

25259 The Old Rd., Newhall (661) 253-2400 www.hamptoninn3.hilton.com

6

Rodeway Inn Magic Mountain Area

120

1989

Free Wi-Fi and continental breakfast. Outdoor pool, laundry facilities and pet-friendly.

31558 Castaic Rd., Castaic (661) 295-1100 www.choicehotels.com

7

Holiday Inn Express Valencia

118

2002

Two meeting rooms available for up to 50 people. Complimentary hot breakfast buffet. Free Wi-Fi, business center, outdoor pool, whirlpool, microfridge and fitness center.

27513 Wayne Mills Pl., Santa Clarita (661) 284-2101 www.ihg.com

8

La Quinta Inn & Suites Santa Clarita

112

2006

Free parking, Wi-Fi and breakfast buffet. 100% pet-friendly and 100% nonsmoking. Outdoor, heated pool open year-round. Business center

25201 The Old Rd., Stevenson Ranch (661) 286-1111 www.wyndamhotels.com/laquinta

9

Extended Stay America Hotel

104

2000

Free Wi-Fi and grab-and-go breakfast. Fully equipped kitchen and on-site guest laundry available.

24940 W. Pico Canyon Rd., Valencia (661) 255-1044 www.extendedstayamerica.com

1997

Free hot breakfast, weekday newspaper and Wi-Fi. Amenities: Business center, outdoor heated pool and whirlpool, fitness center.

25380 N. The Old Rd., Stevenson Ranch (661) 254-7700 www.choicehotels.com 25320 The Old Rd., Santa Clarita (661) 290-2800 www.marriott.com

10

Comfort Suites

11

Residence Inn Santa Clarita

90

1997

Boardroom for up to 8 people, 5 meeting spaces for up to 150 people. Full kitchens in suites. Pet friendly. Free Wi-Fi, parking, breakfast, heated outdoor pool, whirlpool and fitness center. Shuttle service within 5 miles.

12

Fairfield Inn Santa Clarita

66

1997

Shared meeting space with Residence Inn. Free Wi-Fi, parking, breakfast, outdoor pool, whirlpool. On-site coin-op laundry and pet friendly.

25340 The Old Rd., Santa Clarita (661) 290-2828 www.marriott.com

13

Days Inn Castaic

54

N/A

Free Wi-Fi, breakfast, business center and laundry facilities.

31410 Castaic Rd., Castaic (661) 295-1070 www.daysinn.com

14

Travelodge

54

N/A

Free breakfast and Wi-Fi. Outdoor pool, hot tub, continental breakfast

7843 Sierra Highway, Santa Clarita (661) 252-1716

100

15

Super 8 Motel

49

N/A

Free breakfast and Wi-Fi. Pet friendly.

17901 Sierra Highway, Santa Clarita (661) 252-1722

16

Santa Clarita Motel

34

N/A

Free Wi-Fi.

24971 Railroad Ave., Newhall (661) 259-2800

ATTRACTION

Continued from page 4

with 30,000 square feet outside, which Griffin considers a “play yard” where they often do mockup flame effects and one of the many reasons Klein says they appreciate the SCV. “Doing business here is nice because this is fairly close to where the theme park headquarters are, but we’re still far enough away that we can kind of operate by ourselves,” Klein added. “We can do things here that you couldn’t do down in Burbank and Glendale — we’re not going to do flame mockups down there.”

Attraction Services made this giant owl such a popular attraction at the Electric Daisy Carnival that it became a part of the show and even spurred tribute costumes. PHOTO COURTESY ATTRACTION SERVICES


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SUPERIOR COURTHOUSES REOPEN ON RESTRICTED BASIS BY CALEB LUNETTA AND EMILY ALVARENGA Signal Staff Writers

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residing Judge Kevin C. Brazile ordered an immediate three-day closure of the Sylmar Courthouse Sunday after a deputy public defender assigned to the courthouse tested positive for coronavirus, or COVID-19. This comes after the Los Angeles County Superior Court recently announced it would be temporarily suspending all infraction hearings, trials, arraignments and appearances for at least 30 days, from March 17 and April 16. Brazile was notified on Saturday that an attorney assigned to the Public Defender’s Office tested positive last week for COVID-19 after caring for a relative who also tested positive, according to a news release issued Sunday. Affected judges and staff were notified and are now expected to self-quarantine for 14 days following the Centers for Disease Control and Public Health Office’s guidelines, while both affected courtrooms have also been cleaned and disinfected thoroughly and are set to be cleaned again Monday. Brazile was then able to make the order for the closure of the Sylmar Courthouse with the emergency powers he obtained from Chief Justice Tani G. Cantil-Sakauye on March 16. The courthouse, which handles juvenile delinquency cases exclusively in two courtrooms, is set to reopen on Thursday. Cases on the calendar

until then are scheduled to be moved temporarily to the Michael D. Antonovich Antelope Valley Courthouse in Lancaster. Nearly 400 of the county’s courtrooms will remain closed at least through April 16, the date specified under the county’s “Safer at Home” directive. “The court is working with our judicial officers and employees on a court-wide operations plan designed to keep as many people out of our courthouses as possible to slow the spread of COVID-19, while prioritizing our time-sensitive, essential functions,” Brazile said in a prepared statement. “Although 36 of 38 courthouses in Los Angeles County will reopen (Saturday), our trial court operations will be downsized and scaled back substantially due to the closure of nearly 400 courtrooms starting Friday.” Brazile’s order also added to the list of essential services the court provides, and can begin working on, including emergency protective orders, proceedings under the Lanterman-Petris-Short Act, mental health condition commitments, parole and post-release revocation hearings, juvenile arraignment and hearings. “The court has used the last three days to plan for measures to adhere to and promote social distancing,” Brazile said. “The public is reminded that when they return for court business tomorrow, we are seeking their help to remain at least 6 feet away from any other person.” According to officials, the

following court services remain suspended: • All civil and criminal jury and non-jury trials are suspended. • Jury service is suspended temporarily. • No pre-trial conferences will be held.

Next week, more courtrooms and/or departments will be closed to reflect the Court’s reorganized functions and further. For more information, visit the Los Angeles County Superior Court’s website, https://www. lacourt.org/.

STATE DEPARTMENT UPGRADES ADVISORY: ‘DO NOT TRAVEL’ BY TAMMY MURGA

Signal Staff Writer

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he U.S. State Department upgraded its travel warning to the highest level Thursday, urging against all international travel due to the global impact brought on by the coronavirus outbreak. The alert advises Americans not to travel overseas and those who are out of the country to return immediately if they can, or, if unable to, shelter in place. “The Department of State advises U.S. citizens to avoid all international travel due to the global impact of COVID-19,” it said in the alert. “In countries where commercial departure options remain available, U.S. citizens who live in the United States should arrange for immediate return to the United States, unless they are prepared to remain abroad for an indefinite period. U.S. citizens who live abroad should avoid all international travel.” The “Level 4” travel warning is

considered unprecedented and the highest rating alert issued by the department, an upgrade that followed after a “Level 3” alert only advised citizens to “reconsider” traveling. For those who have decided to travel abroad or are already outside the country, the State Department asks citizens to: • Consider returning to your country of residence immediately using whatever commercial means are available. • Have a travel plan that does not rely on the U.S. government for assistance. • Review and follow the CDC’s guidelines for the prevention of coronavirus. • Check with your airline, cruise lines, or travel operators regarding any updated information about your travel plans and/or restrictions. Visit travel.state.gov to view individual travel advisories for the most urgent threats to safety and security.

FEDERAL GOVERNMENT TEMPORARILY SUSPENDS STUDENT LOAN PAYMENTS BY TAMMY MURGA Signal Staff Writer

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s economic repercussions continue amid the coronavirus outbreak, President Trump announced Friday a temporary suspension of federal student loan payments without penalty. The Department of Education offered details, following the president’s statement, saying that the administration would waive student loan interest for at least the next 60 days, starting retroactively March 13. In an effort to offer flexibility

amid global health emergencies, each borrower will have the option to suspend their payments for at least two months with no accrued interest. “These are anxious times, particularly for students and families whose educations, careers and lives have been disrupted,” Secretary of Education Betsy DeVos said in a statement on Friday. “Right now, everyone should be focused on staying safe and healthy, not worrying about their student loan balance growing. I commend

President Trump for his quick action on this issue, and I hope it provides meaningful help and peace of mind to those in need.” Forbearance, an option that already exists but has eligibility requirements, will not take effect automatically, however. Borrowers will have to contact their loan servicer online or by phone, the Department of Education said, adding that it has “directed all federal student loan servicers to grant an administrative forbearance to any borrower with a federal held loan who requests one.”

For additional information, borrowers can visit studentaid. gov/coronavirus and ed.gov/ coronavirus.


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WHAT FOLLOWS THIS CRISIS?

KEN KELLER SCVBJ Contributor

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s I write this, the economy, local, regional, national and global, is in turmoil. Entire industries are being shuttered and reliable sources say we’re in a recession. No client of mine, nor I, would have ever imagined listing “pandemic” as a threat while doing a SWOT analysis at a strategic planning session. This public health emergency should serve as a wake-up call for every business to have two plans. Wikipedia says that a disaster recovery plan (DRP) is a documented process or set of procedures to execute an organization’s disaster recovery processes and recover and protect a business IT infrastructure in the event of a disaster. It is “a comprehensive statement of consistent actions to be taken before, during and after a disaster.” Many companies are solely reliant on their information technology systems, making them vulnerable for hacking, phishing and ransom. Also, employees may, against policy and perhaps even illegally, download software to company servers making the system unstable. And

don’t think for a minute your firm is too small to be held hostage by hackers; two of my clients have endured the nightmare in the last 18 months. Both firms had under 70 employees. Most companies have a business continuity plan (BCP) in place and while it may not be completely current or include a public health emergency, the plans provide enough for people to execute to keep the business running. If you don’t have a written BCP, which can be invaluable when you think of all that could go wrong impacting your business, employees, supply chain and clients, it is past time to have someone create one. Reach out to your insurance broker as a starting point.

Is your business prepared? A disaster-recovery plan is a documented process or set of procedures to execute an organization’s disasterrecovery processes and recover and protect a business IT infrastructure in the event of a crisis. (MC)

Don’t lie to yourself. The first step is self-honesty. Look in the mirror and address the fundamental questions for business survival: How did we do through this health emergency? Do I have the right people on my team? Did we do the right things; what did we do that worked?

Let me share my thoughts on what every CEO should do once this emergency is in the rearview mirror. Don’t lie to yourself. The first step is self-honesty. Look in the mirror and address the fundamental questions for business survival:

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How did we do through this health emergency? Do I have the right people on my team? Did we do the right things; what did we do that worked? What should we have done differently? What didn’t work and why? Did we react fast enough? If you can’t answer these questions honestly, but pretend that you do, you’re only sabotaging yourself and endangering the future of your company. It’s a simple exercise: get out some paper and a pen and make your lists. Second for your company to handle future events like this better, you, the CEO, must become a better leader. Personal growth paves the way to business growth. Competitive advantages emerge as a result of taking time to think. Albert Einstein was credited with saying, “We can’t solve problems by using the same kind of thinking we used when we created them.”

This is one of those clichés that happens to be true. You need to set an example by continuing to learn so that you can become a better leader. You need to encourage the people around you to make learning a priority too. If you want a better company, defined as an organization that delivers better outcomes, you have an obligation and responsibility to “grow” your employees, which means making them better. The third step is simple. Measure what matters. What gets measured gets done, because what gets measured often improves. In a crisis, you figure out fast what really matters. You may or may not have been looking at all the vital signs necessary for your company to survive, and threats that surface often reveal what we didn’t see previously. Get down on paper what matters most to your business success and start tracking it. This health emergency should be a wake-up call for every CEO. Yes, you got through it okay, or maybe you didn’t. Regardless there are lessons to be learned from the experience that only the person at the top can own. Ken Keller is an executive coach who works with small and midsize B2B company owners, CEOs and entrepreneurs. He facilitates formal top executive peer groups for business expansion, including revenue growth, improved internal efficiencies and greater profitability. Email:Ken. Keller@strategicadvisoryboards.com. Keller’s column reflects his own views and not necessarily those of the SCVBJ.


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SANTA CLARITA VALLEY-AREA BUSINESSES RESPOND TO CORONAVIRUS CONCERNS BY EMILY ALVARENGA Signal Staff Writer

As Santa Clarita Valley residents continue to self-quarantine, many local “essential” businesses are doing what they can to remain open. Soapy Suds Car Wash in Valencia just went under a complete sanitization, both inside and out, just a few days ago, according to owner Armen Zargarian. “Since we’re obviously in the sanitation industry, we wanted to stay open and do what we can to help the community — as it is just as important to clean your cars as it is to wash your hands,” Zargarian said. “Being in the automotive industry and based on sanitation, we provide to customers’ cars, we were given the green light to remain open.” Not only are sanitation efforts at an all-time high at Soapy Suds, but Zargarian has also chosen to provide his employees and their families with N95 masks, hand sanitizer to take home, as well as some to keep with them as they clean customers’ cars, along with 5,000 pairs of gloves. In addition, all employees were given nonintrusive thermometers, so they can check themselves before they come in. “In times like these, everyone needs help,” he said. “And, it’s beneficial for us, so our customers feel safe coming in.” The car wash is also offering customers a free disinfectant wipedown for the interior. Zargarian believes it’s the rainy weather that’s keeping customers away for now, but still hopes the current health concerns won’t last long. They’ve chosen to remain closed through the rain, but are expected to open back up Thursday. Similarly, SCV Glassworks has increased sanitation in the workplace, instructing its employees to first clean themselves, then clean their equipment, before heading out at the start of each workday. “In a perfect world, we’d all like to shut down, but it doesn’t work that way in the real world with bills to pay,” said Todd Zwolensky, president and owner. “We’re just taking it day by day right now to see what we can do to mitigate the effects on our employees and meet obligations to vendors and customers.” GRAVITY OF THE SITUATION Still, they have seen a slight decline in business and expect it to continue

Old Town Junction, on Main Street in Newhall, is one of several local restaurants that have remained open for take-out and delivery despite closing their doors to sit-down customers in the face of new social distancing measures. PHOTO BY BOBBY BLOCK / THE SIGNAL to slow down as people finally realize the gravity of the situation, Zwolensky said. “Which is why it’s important that (we stay open),” he added. “We understand the gravity of this, so that’s how we’re approaching this thing right now, and we’re hoping that’s going to be enough.” Even so, Zwolensky has given some of his employees the opportunity to remain home with their vulnerable family members while still being paid. But, as a small business owner himself, Zwolensky knows that it’s the smaller businesses that are going to struggle. “We don’t make a tremendous amount of money, so you have to have some sort of passion (for what you do),” he said. “It’s the big companies that are going to survive this thing.” This is why Zwolensky is urging residents to continue to support their local small businesses. INCREASE IN BUSINESS On the other hand, Italia Panetteria & Deli in Valencia has seen an increase in business, though the tables that typically take up the majority of their business are now stacked in the corner. The restaurant offers some groceries, including freshly baked bread, pasta, sauces, sausage and other Italian staples, according to owner Victoria Magnanimo.

“As fast as we can make stuff, it’s going,” Magnanimo said. “We’re doing pretty good at keeping up on it so far.” The store has already had three deliveries since last week, only one of which was scheduled. “We’re trying to support our community and stay open as long as we can,” she added. “As long as people stay well behaved, we’ll keep doing that.” Magnanimo has had to put a limit on how many items a customer can buy and asks they be considerate of how much they’re taking. “Be kind and patient because we’re doing our best.” Still, things have begun to slow down as all non-essential businesses in the area have shut down, and they’ve had to reduce their hours to 10 a.m. to 5 p.m. Monday through Saturday. ‘IT’S BEEN TERRIBLE’ Advanced Audiology is in an interesting position, as a majority of its customers are senior citizens. “We’re in the hearing aid business, and patients don’t want to come in, everybody is canceling,” owner Nola Aronson said Thursday. “It’s been terrible.” Since then, Aronson was told the business was “non-essential” and had to make the difficult decision to suspend in-office services as of Monday. Still, Aronson is trying to be here

for the community, mailing batteries or any other needed supplies, making individual appointments for clients with issues and accepting calls from patients for any questions they may have. “We want to show them that we’re here for them.” Unfortunately, a majority of Aronson’s business cannot be done at home and she worries what will happen if this continues for longer than a month. “The problem is, if people don’t start to come in sooner or later, there won’t be a business here to come to,” she said. Regrettably, Smile City Dental chose to voluntarily close for two weeks as a precaution for staff and the community, according to office manager, Sarah, who declined to give her last name. “It’s pretty devastating,” she said. “We’ve got no income coming in at all and our margins are very thin as it is.” Though she’s still trying to sort through the incoming legislation that will hopefully provide some assistance, she said it will surely have a significant impact on the business. “I’m not sure how we’re going to stay afloat,” Sarah said. “I do hope the government and local authorities step up to help out small businesses. They need to, otherwise, we are not going to survive.”


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A FEW THOUGHTS ABOUT ‘FRINGE BENEFITS’ IN A MODERN ECONOMY PAUL BUTLER Signal Contributing Writer

I

’ve often wondered why “fringe benefits” are called “fringe benefits.” When something is “on the fringe,” it’s regarded as being “on the edge” and “not central” to the event or core purpose. Therefore in 2020, in a sophisticated economy and productive country like the United States, I personally think it’s rather sad that vacation pay and retirement benefits are still considered to be “fringe benefits.” Obviously, the job market will drive some employers to offer some benefits to some individuals as a way of attracting and retaining some staff. Yet therein lies the heart of issue — some will be recipients of the fringe benefits and some won’t. In a similar vein, I was shocked

Paul Butler believes that senior leaders should look closely at what they consider “fringe benefits” for some and, instead, provide them to all. at the excesses one company spent last week out in Palm Desert for the annual gathering of some of their employees from some parts of the world. There were about 1,400 employees (a fraction of their total employee head count) from around the world and from what I could

I’m no partypooper, but I just think it’s kind of obscene that on one hand an employer will regard vacation pay and retirement benefits as being “fringe benefits” and then on the other hand, spend close to a quarter of a million dollars for a corporate jolly. gather, what was spent was certainly way beyond the fringe. The company essentially took over this 5-star hotel and no expense seemed to be spared. It was a big hoopla, that’s for sure. From branded T-shirts to sumptuous buffets — the cash flowed out of the business. There was entertainment that went long into the night with cool DJ’s amping-up the crowd with their incessant, hypnotic beats. It felt like we were observing some weird cult gathering, especially when the leaders were conducting the award ceremony. Way over-the-top gifts and rewards were bestowed upon those

who had “gone over and beyond” or “put in endless hours” or “worked 24/7, 365” or “sacrificed so much of their lives” to achieve the goal. The cult executive officer — sorry, chief executive officer — wrapped up the evening’s ritualistic ceremony with the two words his followers all wanted to hear: “open bar.” Those two words of course didn’t conclude the evening and instead just extended it long into the early hours. Fellow hotel guests told us of having their sleep disturbed most of the night due to the drunken shouts, giggles and races up and down the hotel hallways. I’m no party-pooper, but I just think it’s kind of obscene that on one hand an employer will regard vacation pay and retirement benefits as being “fringe benefits” and then on the other hand, spend close to a quarter of a million dollars for a corporate jolly. I also wonder about the hidden costs in lost productivity for the time away from work, not just for the conference but all the related travel time. I also ponder the people who drank too much and may have regretted what they did or said as a result of the alcohol speaking through them. I also think companies such as the one I am describing ought to think long and hard about the image they portray to others at the hotel who may be their customers and in effect are helping pay for all this excess. My hope is that senior leaders would look closely at what they consider “fringe benefits” for some and, instead, provide them to all. I also hope leaders think carefully about how they spend company resources to celebrate success and rally some of the troops. I am sure by redirecting the latter for some they could help the former for all. Paul Butler is a Santa Clarita resident and a client partner with Newleaf Training and Development of Valencia (newleaftd. com). The views and opinions expressed in this article are those of the author and do not necessarily represent those of The Signal newspaper. For questions or comments, email Butler at paul.butler@newleaftd. com.


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