Global Urban Development Program Round Two South Stockton Revitalization Deliverable 4: Final Design May 4, 2015

1. FINAL DESIGN REPORT
MAY 4, 2015

2. EXECUTIVE SUMMARY
INTRODUCTION
We are the Global Urban Development Program: Stockton team, an international
partnership of undergraduate and graduate students of different academic and geographic
backgrounds. Our goal is to develop thoughtful and strategic solutions to revitalize South
Stockton in partnership with the City of Stockton Planning Commission, Councilmember
Michael Tubbs, and the Reinvent South Stockton Coalition (RSSC).
Our Project is structured into four phases: two phases of Research and two of Design. Our
first two phases developed a comprehensive understanding of South Stockton’s current
conditions, identifying areas of strength, opportunities for development, weaknesses, and
threats to progress, and established target goals to quantifiably measure the success of our
design proposals.
The second two phases focused on carving out said design proposals. This Final Design
deliverable provides an understanding of Stockton’s site conditions, our approach to
designing for said conditions, and the proposals we have selected which we believe
contribute to accomplishing our established goals.
RESEARCH PROCESS
We started our research phase with Deliverable 1, Draft Research, in which we tried to
identify key conditions and systemic challenges in Stockton. The work was distributed
among team members, which were divided into 5 research groups, each covering one of the
main topics in the city: Economic, Political/Legal, Cultural/Social, Environmental and
Urban. Conclusions based on the aforementioned analysis were gathered in a SWOT Analysis
(strengths, weaknesses, opportunities, threats). In Deliverable 2, Final Research, we
refined our research to identify the most important target goals using SWOT and PESTEL
Analysis. We focused more specifically on the current work of the RSSC and tried to come
up with quantifiable goals in several Quality-of-Life indicators of the city: Place, Movement,
Environment, Health & Safety, Community, Housing and Economic Development. Target
goals were given feasible timescales (immediate, short-term, long-term) and were used as a
basis for selecting design projects in the next phase.

3.
Portfolio of Target Goals from Final Research.
(Table continued on next page)

4.
DESIGN PROCESS
For the design phase of the project, we split up into four different teams in order to better
address specific issues: Industry Revitalization, Environmental Resiliency, Airport Way, and
CSU Stockton. The two “macro” level teams focused on industry revitalization and
environmental infrastructure/energy efficiency on a larger scale encompassing South
Stockton, while the “micro” level teams worked towards designing specific uses for empty
lots on Airport Way and planning for a potential CSU in South Stockton. Team members split
up based on interest, with 3-6 people in each. Rather than working specifically within our
disciplines, we used systems thinking, human-centered design, and holistic problem solving
to better understand and attempt to tackle deeply rooted problems. By doing so, we heard
from community members whose voices may have been unheard through a traditional
approach, and tackled problems from a variety of angles, from zoning to an outreach plan.
As team members were spread across Stanford, Stockton, and Ljubljana, meetings were
held online and utilized collaborative tools like Google Drive and Bluejeans Conferencing.

5. COMMUNITY ENGAGEMENT
Coming up with solutions for Stockton required that each team do extensive research, but
at the same time, we knew that in order to understand the whole picture, we needed to
ask the opinion of the people who actually lived in Stockton. Our community engagement
activity was coordinated with the RSSC and was held on February 7, 2015. We wanted it to
be a session in which the citizens could offer their ideas and solutions for the problems we
were researching and act as a sounding board for any ideas we might have. One concern
was to make sure that the activity did not just end up with us lecturing about problems the
city faces, but to encourage an open dialogue with the residents. The first half of the
activity was a general discussion, in which three teams (Airport Way, Energy Efficiency, and
CSU Stockton) each presented their topic and asked a question that everyone answered on
sticky notes and discussed for a few minutes. After all the topics were introduced, all the
participants introduced themselves. Then, the large group broke into smaller groups, and
the participants were told to join the topic they were most passionate about. For the next
45 minutes, participants talked about the specific topic they joined, and were also free to
move around to other topics. All the participants stuck with their topics the whole time,
and each of the teams got valuable ideas and feedback from the citizens. Factoring in the
perspective of the citizens is important in making sure that our solutions meet community
needs and are not just purely utilitarian solutions. Their input is taken into account in our
proposals for each of the topics.
Community engagement activity in South Stockton on February 7th, 2015.

6. INDUSTRY REVITALIZATION
The main goal of the Industry Revitalization team is to identify 3 industries to which
Stockton has the most to offer and which could be positioned in the South Stockton area.
The industries are strategically selected with regard to the resources, natural and
otherwise, locally available. After the selection of industries, a detailed analysis was
conducted into the internal incentives and external factors said industries find conducive.
This entailed an overview of the current, potential, and required incentives and accounts
for the external factors within the framework of PESTEL analysis. Urban and architectural
plans and models were constructed in order to best cater to the needs of the industries;
this point is crucial for the success of the project, as by far the greatest asset of the City is
the land which it can provide to potential investors in a fiscally attractive environment.
Using the PESTEL framework an analysis was conducted of the macroeconomic factors
affecting Stockton. This was then applied to the selection process for compatible industries
in which industries were assessed. The industries were evaluated based on their fit in the
South Stockton area. A matrix presenting mutually beneficial externalities was compiled to
showcase the synergistic influences of the industries and the City with an emphasis on
South Stockton.
Rendering of proposed industrial development for South Stockton.

7. ENVIRONMENTAL RESILIENCY
The Environmental Resiliency team focused on energy efficiency modeling and program
analysis in support of Stockton’s Climate Action Plan. To this end, an easily comprehensible
“typical home” energy model was generated to demonstrate the current standards of a
house typically encountered in South Stockton. The next step was to propose improvements
that would make it comply with the standards imposed by regulations. Benefits of the
improvements were quantified in terms of the average annual household electricity bill.
The main goal was to create a program that would aim to find the capital required to
implement the changes proposed, in a way that would be financially sustainable and better
meet stakeholder needs. In particular, the needs of South Stockton residents, many of
whom have a low or moderate income. They would benefit from alterations to their homes
with a small initial investment in terms of savings in energy costs and higher quality of life.
During the community engagement, the team recognized deeply rooted problems such as
unhealthy landlord/renter relationships, old housing stock, and budget constraints. As a
result, working to improve home energy use in a way that benefits traditionally underserved
communities requires rigorous and comprehensive problem solving. Key points discussed
include lack of awareness of available resources, distrust, and the need for better-designed
incentives. The implementation plan included a discussion of who the stakeholders are and
what role they might play, existing outreach strategy, incentive programs, and funding in
order to tackle some of the main concerns and challenges voiced at the community
engagement. One idea to improve energy efficiency engagement involved retrofitting an old
home into a demonstration center, bundling other services such as subsidized materials for
home improvement, meeting spaces, community garden, etc.
Possible home retrofit packages for an energy efficiency program in South Stockton.

8. AIRPORT WAY
The Airport Way team focused on the vacant lots along South Stockton’s Airport Way, which
many community members have described as a potential neighborhood center which is
currently severely underdeveloped. The goals of the team were to reduce the number of
vacant lots over the course of the next twenty years, to make the street safer for
pedestrians and bicyclists, to increase the use of bikes and public transportation, to find
options for financing the development, and to bring jobs to the area.
Some potential programs the team considered were recreation areas for sports and
afterschool activities, a public garden with adjoining market and restaurant, a grocery
store, an after school activities center, a public park, a shared tool shed, and overall street
infrastructure redesign.
The team gathered information needed to produce designs on key plots, made the program
list, consulted with local firm WMB Architects about zoning and building regulations, and
participated in the community engagement session.
Rendering of proposed community center on Airport Way in South Stockton.

9. CSU STOCKTON
The CSU Stockton team focused on the need for a public university in Stockton. To that
end, they examined the California Public State University system as a whole, determined
the financial feasibility of a CSU Stockton, and used CSU Stanislaus as a model to calculate
necessary factors, such as the optimal square footage for the campus. The team chose two
potential sites that seem the most realistic for a potential CSU institution: one along MLK /
Highway 99, as seen below, and one in North Stockton.
The team worked on individual projects such as engineering and design of the CSU, energy
analysis of the campus buildings, financial feasibility and funding, and potential
programs/courses that would meet the needs of the city and its economy. The team also
looked at public relations to advocate for CSU Stockton. This preliminary analysis will
hopefully serve as a stepping stone for the current bill under discussion in the California
State Assembly.
Proposed master plan for CSU Stockton on site in South Stockton.

10. TEAM MEMBERS
Organizers
Derek Ouyang, age 23, graduated from Stanford University in 2013 with dual
Bachelor’s in Civil Engineering and Architectural Design, and will return in the
fall for a Master’s in Structural Engineering. He co-created the Global Urban
Development Program in 2012. He was project manager of Stanford’s first-ever
entry to the U.S. DOE’s 2013 Solar Decathlon and has been featured as an
up-and-coming architect in the Los Angeles Times, in Home Energy magazine’s
“30 under 30”, and at TEDxStanford.
Sinan Mihelčič, age 32, graduated from Ljubljana University in Architectural
Design. He co-created the Global Urban Development Program in 2012, both
exploring digital collaboration tools in urban planning and architectural design.
He established Skupina Štajn in 2008, an emerging young architectural studio in
Kamnik, Slovenia. He is a technical assistant in architectural and urban planning
studios at the Faculty of Architecture in Ljubljana, as well as a mentor to the
AEC class at Stanford.
Klemen Kušar, age 28, graduated from Ljubljana University in 2012 in
Architectural design and in 2013 in Economics. In 2010 he was an exchange
student at Aalborg University and attended a summer workshop for the renewal
of favela Dona Marta in Rio de Janeiro. He participated in the Global Urban
Development Program in 2012. In 2008 and 2010 he was awarded 1st and 2nd
place in the Isover Multi-Comfort House Design, and in 2012 was awarded the
University of Ljubljana Prešeren Prize for his master’s thesis about public
participation in the process of gentrification of urban sprawl. He is author of
several articles regarding this matter.
Faculty Advisors
John Barton received his BA and M. Arch degrees from U.C. Berkeley. He worked
at a number of Bay Area firms before founding Barton Architect in 1990. John has
taught design and architecture at U.C. Berkeley, Cañada College, San Jose State
University and is currently the Director of the Architectural Design Program at
Stanford University. John enjoys cooking, playing lacrosse, and reading good
literature and history. He likes Saturdays when the Cal Bears play football.
Glenn Katz is an instructor in the Civil & Environmental Engineering Department
at Stanford University. He specializes in BIM education and was an AEC educator
for Autodesk. He is the primary advisor for the Global Urban Development
Program.
Andreja Cirman, PhD, is Associate Professor at the Department of Money and
Finance at the University of Ljubljana, Faculty of Economics (FELU) in Slovenia.
For six years she had served as associate dean for academic affairs at FELU and
since 2011 she serves as FELU MBA program director. Her main fields of expertise
in research and teaching are housing, real estate and public finance.

11. Mentors
Mikko Tuovinen, age 28, graduated from the UEF with M.Sc (“Master
of EU law”) degree. He is passionate about EU, energy, climate and competition
policies, and he is a substitute Member of the Municipal Council of Liperi
(Finland) and a substitute Member of the Technical Committee of Liperi. Mikko
has held also other positions of trust and chaired many associations, primarily in
Finland, and is doing an internship at the Court of Justice of the European Union.
His role in GUDP is to help with anything related to public relations.
Rob Best, age 26, is a Ph.D candidate in Sustainable Design and Construction
program of the Civil and Environmental Engineering department at Stanford
University. His research focuses on network planning, integration, and
optimization of urban infrastructure systems. He has a B.S. in Engineering from
Harvey Mudd College and an M.S. in Civil and Environmental Engineering from
Stanford. He was the Design and Construction Manager for the Stanford Solar
Decathlon Team, a student-driven project to build a net-zero energy home. Rob
is also the Projects and Education Director for Engineers for a Sustainable World,
a U.S. based nonprofit that advances project-based learning and knowledge
sharing on sustainability and engineering nationwide.
Dimitris Farmakis, age 29, graduated from Stanford University in 2012 with an
M.S. degree in Civil & Environmental Engineering (previous degrees in Business
and Operations Research). He participated with the Stanford team and took the
1st place in the 24th Annual ASC Construction Management competition.
Passionate about BIM and green architecture, after Stanford he founded his
startup in Greece offering BIM consulting services and participated as a speaker
in Design, Green Building and TEDx conferences in Greece. He occasionally
teaches remotely at Stanford’s BIM courses as a guest instructor, and works in
parallel with a Silicon Valley startup on developing the world’s first BIM based
automated construction scheduler.
Tina Vilfan, age 29, is writing her thesis on revitalisation of old town cores
through temporary usage of space at the Ljubljana Faculty of Architecture. She
has been working as an architect at Techline projekt d.o.o. for 5 years and has
constructed, managed and built projects. For the past year she has been living in
Copenhagen, Denmark where she worked at We Architecture and collaborated on
several open architectural competitions. She joined the team with participation
in the Global Urban Design Course in 2012.
Naseem Alizadeh was born in 1975 and completed a Bachelor of Architecture at
Cornell University (1998) and a Master of Architecture in Urban Design at Harvard
University (2002). Her practice, Bureau for Architecture and Urbanism, was
established in the year 2009. Development and design of environmentally
responsible spaces, buildings, and products is the philosophy of Bureau for
Architecture and Urbanism.

12. City Partners
Michael Tubbs was elected in 2012 as the youngest City Councilmember in
Stockton's history and one of the youngest elected officials in the nation. He
represents the 6th District of the City of Stockton, the district he grew up in.
Forrest Ebbs serves as the Planning Director for the City of Stockton, overseeing
all current and advanced planning efforts, managing the Planning and
Engineering Division staff, and creating new opportunities for hope and
prosperity for the City of Stockton.
Fred is the Administrator for STAND, a 25-year-old South Stockton neighborhood
based nonprofit that works on Community Policing, Affordable Housing and
Neighborhood Activities. Fred has studied and worked in international and
community development for 38 years. Many like to believe that poverty and
crime causes blighted neighborhoods. Wrong. The true cause is municipal neglect
in the form of weak code enforcement, absent legal action against slumlords,
and lack of public investment in housing in these areas. Our mission is to reverse
this decline.
Lange Luntao is the Youth Advisor for the Reinvent South Stockton Coalition and
a college sociology teacher at Aspire Langston Hughes Academy in Stockton. The
former Field Director of Councilmember Tubbs' successful campaign for City
Council, he is an active supporter of civic and youth engagement efforts in his
hometown of Stockton.
Melanie Vieux is a principal architect at WMB Architects. She received her BArch
in 1992 from the California Polytechnic State University at San Luis Obispo,
California. She is working on the First Credit Union project in South Stockton.
Doug Davis is a principal architect at WMB Architects. He received his BArch in
1997 from the California Polytechnic State University at San Luis Obispo,
California. He is working on the First Credit Union project in South Stockton.

13. Students
Marveliz Santos, age 21, is a senior majoring in Environmental Systems
Engineering at Stanford University. Having moved from the Dominican Republic
to New York City as a child, Marv was inspired by the difference of her two
homes to study the relationship between the built environment, the natural
environment, and the communities that live within them. She hopes to bring
some of the lessons learned working for NYC’s Department of Buildings and
California’s Coastal Commission back to the Dominican Republic.
Natalie Gonzalez, age 22, is a senior majoring in Architectural Design at
Stanford University. Natalie was born and raised in the Colorado Rockies, which
inspired her love of nature and desire to establish a more symbiotic relationship
between humans and the earth. Next year she will continue her studies at
Stanford through the Sustainable Design and Construction masters program and
hopes to establish a sustainable, intentional community in the future.
Mark Soendjojo, age 21, is a junior majoring in Civil Engineering Structures and
Construction at Stanford University. Mark is from Temple City, a suburb near Los
Angeles, where he was inspired by the development of various construction
projects, like the build-out of the light-rail Metro Gold Line. He is particularly
interested in private-public partnerships and transportation infrastructure, as he
has worked on the Rental Car Center with the San Diego International Airport.
He will be pursuing a master’s at Stanford.
Christina Zhou, age 22, is a master’s student majoring in Environmental
Engineering and Science at Stanford University. Christina hails from Port
Washington, New York and has long been passionate about environmental issues,
especially environmental justice, policy, and water resources. She is especially
interested in sustainable solutions with powerful socio-economic benefits, such
as affordability through energy efficiency and the role of vegetation to improve
urban air quality and filter stormwater.
Fotios Spartinos, age 25, is a master’s student in Environmental Fluid mechanics
and Hydrology in the department of Civil Engineering at Stanford University.
Fotios is from Agrinio, in Western Greece. He acquired his diploma in Civil
Engineering from the Aristotle University of Thessaloniki. He is mainly interested
in civil infrastructure development and managing risk for such systems and the
numerical modeling of flows. In the past, he has been an intern for the
Department of Works of the municipality of his home town.
Hailey Lang, age 24, is a master’s student in Urban and Regional Planning at San
Jose State University. A Stockton native, Hailey has always been interested in
the development of her community and has completed a multi-year study of her
own investigating the relationship between the foreclosure crisis and crime
within Stockton. She is active in academic conferences, and recently won the
best MA/MS student paper competition at the Association of Pacific Coast
Geographers annual conference where she presented her research titled, “The
Foreclosure and Crime Burden within Stockton, California”. She also interns with
the City of Stockton Planning Department.

14. Rok Perme, age 21, is a master student of architecture at the University of
Ljubljana. He grew up and attained elementary and high school in Ljubljana,
where he is now continuing his university education. Besides architecture he is
interested in construction, real estate development and finance. In the school
year 2015/2016 he is going to study in Muenchen, Germany as an exchange
student. He played football (soccer) for 10 years on a high level, before he
started studying.
Martin Valinger Sluga, age 20, is an undergraduate student in Urbanism on the
Faculty of Architecture at the University of Ljubljana, Slovenia. After applying
to the university, Martin instantly found himself in the various disciplines of
urban planning. He is particularly interested in sustainable urban development
and design. Urban research and revitalization in relation to connected
socio-economic factors are important to him as well. He is attending a student’s
exchange in the Netherlands in September and will pursue a master's in Urban
Design in a foreign country the following year.
Matjaž Dolenc, age 25, graduated from Ljubljana University in 2014 with a
Bachelor’s degree in Business and Economics and is currently attending the
university for a Master’s degree in International Business. In 2012 and 2013, he
participated in a student project which created a new regional development
strategy for the Nova Gorica region in Slovenia, focusing on developing
entrepreneurship, tourism and regional collaboration. From 2013 to 2014, he
was a member of Ustvarjalnik, an initiative aimed at helping creative students
develop their ideas, where he led entrepreneurship clubs at high schools in Nova
Gorica, Slovenia.
Črt Jaklič, age 23, is a masters student in architecture at the University of
Ljubljana. Črt, a Mirna Peč native, now lives and studies in Ljubljana. He has a
special affection for numbers, which resulted in various prizes at mathematical
competitions in high school. Now he is deepening his interest in residential and
public buildings and is preparing for his master’s thesis about primary schools. In
his free time he enjoys hanging with friends, playing basketball, and sleeping.
Matija Kuzman, age 23, is a masters student in architecture at the University of
Ljubljana. He has lived in Ljubljana since birth and is now thinking about going
abroad. His first destination is Istanbul, where he will study architecture at the
Istanbul technical university next year. He is interested in architecture as well
as urban design and interior design, and has yet to fully determine his career.
His second interest is music; he has been playing in different bands and
orchestras his whole life. He travels a lot and is interested in various cultures,
especially different genres of music that emerged in every larger culture.
Andrej Slemenjak, age 22, graduated from University of Ljubljana in Money and
Finance. He attended primary and high school and grew up in Velenje, Slovenia.
In his early years he was an active scout and trained handball and aikido. Andrej
also participated in several international projects, including Euroscola project.
Finance has been his great field of interest, but he enjoys in skiing, cycling and
reading a good book. Currently, he is working for a business consulting company
and a private equity fund.

15. Lovro Kajapi is a Croatian student currently studying at the Faculty of
Architecture in Ljubljana, majoring in Urbanism.
Samantha Konec, age 22, is a master’s student in architecture at the University
of Ljubljana. She comes from Tolmin, beautiful small town in Slovenia, and is
currently living in Ljubljana but going abroad next year; she wants to finish her
studies in Portugal. Beside architecture she is also very interested in product
design; her first collection of sunglasses is just on its way to be presented in
several optic stores and optic fairs in Milano and Paris. You can find her at
different fitness centers teaching aerobics every afternoon, or maybe at some
kite surfing spot every few months. Sport is her passion!
Teodor Hribovšek, age 23, is a master’s student in architecture at the University
of Ljubljana. He grew up in the alpine town of Kamnik. Soon he continued high
school in Ljubljana where he attained classical education, including Latin and
philosophy. It’s also when he showed keen interest in art and languages. Even
though he followed his passion for architecture, he’s currently fluent in 3
foreign languages. Later he studied abroad in Madrid and furthered interest in
design and architectural composition. He would like to promote simple solutions
and sustainable development to solve even the most complex problems and
hopes to do so throughout his career.
Žiga Hudournik, age 22, is a master’s student majoring in Bank and Financial
Management, attending the Double Degree Program at the University of
Ljubljana. His Bachelor studies include experiences from BI Norwegian Business
School, a prestigious Triple Crown institution, where he plans on returning to
finish his Master’s thesis. Žiga is currently employed as an analyst for a regional
private equity fund and is also actively involved in startups. In 2013 through
2014 he co-led the creation of a development strategy for the newly established
Slovenian municipality of Ankaran. In 2010 he led the Slovenian Euroscuola
project congregation in the European Parliament. He has served as the Slovenian
industry representative for a EU-funded environmental cluster co-op project. He
was a national champion competitive swimmer for over 10 years and still enjoys
swimming as well as sailing, scuba diving, skiing and tinkering with his old-timer
Jaguar.

16. INDUSTRY REVITALIZATION
INTRODUCTION
The main goal of the Industry Revitalization team was to identify 5 industries to which
Stockton has the most to offer and which could be positioned in the South Stockton area.
Due to the highly segmented nature of one of the industries, the choices were later on
limited to 3 recommendations.
The industries are strategically selected with regard to the resources, natural and
otherwise, locally available. After the preliminary listing of industries, a detailed analysis,
presented in Deliverable 3, was conducted into the internal incentives and external factors
said industries find conducive. This entailed an overview of the current, potential, and
required incentives and accounts for the external factors within the framework of PESTEL
analysis.
The aforementioned findings have been compiled and presented in a SWOT analysis format.
Using the PESTEL framework an analysis was conducted of the macroeconomic factors
affecting Stockton. This was then applied to the selection process for compatible industries
in which industries were assessed. The industries were evaluated based on their fit in the
South Stockton area. A matrix presenting mutually beneficial externalities was compiled to
showcase the synergistic influences of the industries and the City with an emphasis on
South Stockton. This matrix was presented in Deliverable 3 and formed the basis for final
selection of the 3 industries. Urban plans and models have been constructed in order to
best cater to the needs of these industries; this point is crucial for the success of the
project, as by far the greatest asset of the City is the land, which it can provide to
potential investors in a fiscally attractive environment.
Below we present the final 3 industry recommendations. These are assessed in terms of
business environment, labour force and investment needs. A cursory environmental impact
analysis is also included with each recommendation. Finally, we present a 10-year
forecasting model for the growth of the selected industries as a means of showcasing the
long-term economic benefits the aforementioned industries can bring to Stockton.

17. FOOD PROCESSING
Development strategy
What to produce? Choosing the exact area in the food processing industry, where the city
expects to achieve the highest results - the proximity of agricultural goods, along with the
favorable climate, allows wide choice when deciding on the precise area of food processing
to start the industry development in.
Market Research and Business Planning: Examine whether there is a market for the
product, obtaining ideas for fine-tuning of the product, decide how to distribute, price and
promote your product; gather information on the industry, competitors and customers.
Business Insurance, Regulations and Food Safety: Pay attention to the regulations and
requirements that are related to the area of food processing industry and more specifically
to the exact field of interest.
Manufacturing Strategies: Decide on the various factors, including construction or rental
cost, customer location, material availability, trucking access and zoning, production
processes and procedures, etc.
Marketing: In the first place, work on marketing strategy for the industry zone that will be
developed in the city. Clustering brings many benefits to all the companies involved, and
making connections between them is relevant for the development of both industry and the
geographical area. Once the industry is established, promoting activities that will bring the
products and their features closer to the public are needed.
Distribution: Use the benefits the city’s position provides to the industry; investigating
prospective buyers, determining customer needs and desires, demonstrating how your
product meets customer needs, and making the sale and following up.
Regulations and licensing
The US food system is regulated by numerous federal, state and local officials. At the
federal level, The Food and Drug Administration publishes the Food Code, which is a model
set of guidelines and procedures that assists food control jurisdictions by providing a
scientifically sound technical and legal basis for regulating the retail and foodservice
industries. The Food Code is then used by regulatory agencies to develop or update food
safety rules. There are 15 agencies sharing oversight responsibilities in the food safety
system, although the two primary agencies are the U.S. Department of Agriculture (USDA)
Food Safety and Inspection Service (FSIS), which is responsible for the safety of meat,

18. poultry, and processed egg products, and the Food and Drug Administration (FDA), which is
responsible for virtually all other foods. The Food Safety and Inspection Service has
approximately 7,800 inspection program personnel working in nearly 6,200 federally
inspected meat, poultry and processed egg establishments.
Besides the regulations on federal level, a number of U.S. states also have their own
regulations and codes; meat inspection programs for example, which substitute for USDA
inspection for meats that are sold only in-state. Certain state programs have been criticized
for undue leniency to bad practices. However, other state food safety programs
supplement, rather than replace, Federal inspections, generally with the goal of increasing
consumer confidence in the state's produce. In addition to the US Food and Drug
Administration, several states that are major producers of fresh fruits and vegetables
(including California, Arizona and Florida) have their own state programs to test produce
for pesticide residues. California has its own food codes that must be considered prior to
any engagement in the industry.
Employment
In 2011, the U.S. food and beverage manufacturing sector employed about 1.5 million
people, or just over 1 percent of all U.S. nonfarm employment. In almost 30,000 food
manufacturing plants (as of 2007) located throughout the country, these 1.5 million workers
were engaged in transforming raw agricultural materials into products for intermediate or
final consumption. Meat and poultry plants employed the largest percentage of food and
beverage manufacturing workers, followed by bakeries, and fruit and vegetable processing
plants. (USDA, 2012) As food processing is still a relatively labor-consuming industry, there
might be many career opportunities for locals. Processes tend to be less automatized,
leading the industry to demand more highly educated professional profiles for their
workers.
Within the food processing industry, there are different processes and procedures that are
to be respected, and that are related to the specific field of processing (for example,
processing almonds differs significantly from the procedures that are to be used when the
dairy products are concerned). Due to these differences, the number of workers and their
professional profiles vary as well. In general, we can expect every middle size factory in the
industry that would be located in this industrial area to employ 100-250 people.

19. Industry size and value
The US food industry represents around 16.5 million jobs, and the population spends around
$1 trillion per year on food products. In total, food manufacturing accounts for 14% of all
U.S. manufacturing employees.
Investments
The size and frequency of investments made in the food processing industry vary in
dependability of the exact industry concerned (for example, Blue Diamond invested
$31.78m in the equipment for the plant on 36.5 ha land related to almonds processing,
providing approximately 300 jobs, directly and directly; due to more complicated
procedures and regulations, the investments of similar size in dairy industry are almost 1.5
times bigger, etc. )
Environmental effects
The two major environmental issues concerning food processing plants are wastewater and
solid waste. Because wastewater generation is the industry’s biggest area of concern, new
clean technologies focus on source reduction, recycling and reuse of wastewater. The need
for an effective water treatment system is therefore a must. Another problem is the
discharge of large amounts of water; for example, one medium-sized plant can have a
major effect on local water supply and surface water quality. Large food-processing plants
will typically use more than 1,000,000 gallons of potable water per day.
The quantity of solid waste varies by the type of food the industry produces, from rinds,
seeds and skins in the fruit/vegetable industry to the fats and acids in the dairy industry.
The most effective method to preserve the environment and reduce the disposal costs is to
decrease the volume of waste material and by-products generated in the process. Common
source reduction methods employed at most plants include improving good housekeeping
practices, making process modifications, substituting more environmentally friendly raw
materials, and segregating waste streams. If source reduction is not a viable solution,
1
alternatives such as using the food by-product as an animal feed or composting it should be
used. The newest legislations are stipulating the presence of small recycling plants within
the industrial zones, such as ReConserve Inc. in the southern (industrial) part of Stockton,
specialized for the solid organic waste that the nearby plants produce.
The food processing factories should also follow the major technological innovations in the
industry, including those in clean technologies and processes. Clean technologies are
1
For more details, see http://www.unido.org/fileadmin/import/32129_25PollutionfromFoodProcessing.7.pdf ; useful
also for examining ways of environmental protection.

20. defined as "manufacturing processes or product technologies that reduce pollution or
waste, energy use, or material use in comparison to the technologies that they replace."
2
Clean technologies include:
● Advanced Wastewater Treatment Practices – use of wastewater technologies beyond
conventional secondary treatment,
● Improved Packaging – use of less excessive and more environmentally friendly
packaging products,
● Improved Sensors and Process Control – use of advanced techniques to control
specific portions of the manufacturing process to reduce wastes and increase
productivity,
● Water and Wastewater Reduction (Closed Loop/Zero Emission Systems) – reduction
or total elimination of effluent from the manufacturing process.
3
Because the food processing industry has special concerns about the health and safety of
the consumer, clean technologies are already being widely used. To run an environmentally
friendly plant, the presentation of the technological solutions to the potentially established
companies in South Stockton would be necessary as it would it be to inform them about
their future possibilities. The city and their partners would have to exercise a strict control
over the plants and the companies would have to carry out these regulations consistently.
Differentiation
For certain products in food processing industry, California and San Joaquin county have the
the positive origin effect that can be evoked. For example, the world’s most famous and
most dominant nuts (especially almonds and walnuts) come from this region. Furthermore,
the citrus fruits are some of the world’s most succulent.
“Know how” is present as well, due to the long tradition of excellence in the field of
agriculture and food industry in the state. Different professional profiles and education –
having long experience in the activities related to the agriculture and food processing
(directly or indirectly) make the Stockton area rich in experts, or at least experienced and
knowledgeable locals.
Affordable workforce: unlike many cities nearby, Stockton can offer a workforce whose
prices enable investors to be competitive in the market. Numerous food processing
companies are present in the state of California. The potential industry located in Stockton
would be able to offer companies:
2
http://www.sustainabletable.org/869/impacts-of-industrial-agriculture
3
http://www.unido.org/fileadmin/import/32129_25PollutionfromFoodProcessing.7.pdf

21. Good location: important for both transportation and distribution, and for quality of inputs;
connection to major state roads (not only land ones; port and airport are located in the city
as well, and they have the capacity to accommodate such undertakings).
Proximity of inputs: as the top 3 most important characteristics needed for successful
establishment of industry in a certain area.
TIRE RECYCLING
Tires are not desired at landfills, due to their large volumes and 75% void space, which
quickly consumes valuable space. Tires can trap methane gases, causing them to become
buoyant, or bubble to the surface. This ‘bubbling’ effect can damage landfill liners that
have been installed to help keep landfill contaminants from polluting local surface and
groundwater. California recycles almost 90% of all waste tires. The vast majority of the
tires are processed for further use, also for export to Vietnam, Indonesia, and China where
they are used as a fuel in their thermal power plants. The process of recycling (which is
divided in several sub-categories) is being done in special facilities where tires are
shredded, stamped or cut.
Industry overview
The industry shows great dynamics. The number of facilities involved in export shifts
rapidly; some of existing facilities ceased operations, while others are expanding them.
Waste tires can be processed in several different ways, for:
● export: waste tires and processed TDF (tire derived fuel)
● reuse: retread
● ground rubber: paving, athletic fields, loose-fill play/ bark/ mulch
● ADC (alternative daily cover)
● civil engineering: landfill applications
● landfill disposal
● TDF

22.
The graph above shows waste tire end-use trends by broad market category since 2002. In
recent years, rapid and unprecedented growth in exports of tires to Pacific Rim nations was
largely responsible for boosting the overall diversion rate beyond the 72-75 percent level
(where it had hovered for more than 10 years). The decline in diversion in 2013 was also
due in part to a drop in sales of crumb rubber produced from California tires of about 25
percent, caused by competitive pressures and soft markets, exacerbated by lingering
impacts from the collection revenue decline and tire supply shifts caused by the export
surge.
Supply and demand balance
California has a large, dynamic infrastructure for collecting and processing waste tires. In
2013, the vast majority of tires generated in California flowed to one of 14 processors or to
one of four exporter facilities (i.e., facilities that primarily or exclusively ship baled or
shred tires overseas). While export demand softened somewhat for a time in 2013 and
crumb rubber sales were down, overall competition for whole tires remained strong and
was apparently increasing again in 2014. Some established processors continue to be
severely impacted by the trend, with lower volumes and profitability.
It should also be noted that a number of developers are investigating the potential to
establish new facilities in California that could use significant quantities of

23. California-generated waste tires for crumb rubber production, pyrolysis, and other types of
processes and technologies. So far, none of these proposed or discussed facilities has
materialized on a commercial scale. However, if one were to be sited and compete for
tires, it could have a significant impact on the supply-demand balance and could negatively
affect existing firms involved in managing California scrap tires in terms of access to tires,
collection revenues, and competition for sales. Given the current strong demand for
California tires, such a venture would likely require attractive pricing to secure an
adequate feedstock supply, which can be achieved through the grant program.
Tire Incentive Program (TIP)
The TIP is focused on promoting feedstock conversion and market expansion by providing
payments of 10 cents per pound to manufacturers of established products that increase
sales, 20 cents per pound for manufacturers shifting feedstock from virgin rubber to crumb
rubber for at least 5 percent of feedstock needs, and 20 cents per pound for manufacturers
of compound plastic-rubber products (or other combinations of materials) or those using
fine crumb rubber of 50 mesh or greater mesh size. This can result in a combined incentive
of up to 40 cents per pound to select manufacturers.
What would the industry bring to Stockton?
The industry would turn one of the Stockton’s brownfields into their recycling facility and
would enhance the overall look of the city. Through operating activities there are expected
capital inflows to the city, which will also collect tax from industry’s revenue and other
activities. Tire recycling would boost people’s perception of the importance of recycling
and will decrease unemployment. One million invested in tire recycling facility creates, on
average, 6 jobs. Thus, the median income will increase and create, through the job
multiplier effect, other businesses, such as restaurants nearby. Tire recycling offers great
synergies with the logistics. It may also be upgraded to tire manufacturing as described
later.

24.
This is how a typical tire recycling facility looks like from inside. Man on the picture is
loading the shredded tires.
What would Stockton bring to the industry?
Stockton offers perfect positioning for such an industry due to its traffic connections. It also
has access to a deep-water port, so TDF and other products can be transported to Asia with
more competitive prices. Stockton also offers land that is currently completely unused. As
it is described in the document, the perfect location for such a facility has already been
selected based on numerous parameters such as proximity of residential objects, traffic
connections, and others. One of the most important factors is workforce. Tire recycling
demands relatively unskilled workers and some with basic knowledge of operating heavy
and light machinery.
Tire manufacturing
A possible alternative or even upgrade from tire recycling is tire manufacturing. The
demand of tires in the US was at 288 million units in 2013 (market size of ca. $40 billion), of
which 152 million units were imported. The industry is very competitive, with the four
biggest companies (Dunlop, Firestone, Michelin, Goodyear) having a market share of 83%.
Future projections suggest there will be a strong demand of tires in the next years, mostly
due to the recovery of American automobile industry. Some tire makers have already taken
into account future trends and invested heavily in the new production facilities in the US
which can be seen in the graph below.

25.
New investments in tire manufacturing from 2012 - 2013
The top states by daily production are Oklahoma (89k), South Carolina (84k), North Carolina
(73,2k), Alabama (46,8k), and Mississippi (42k).
Stockton may have a huge competitive advantage in tire supplying, having in mind there are
13 million automobiles registered in California. Also, Stockton’s unique location allows
export of tires to the west coast of Canada, Japan and Australia with lower costs and more
competitive prices.
The US produces mostly tires for trucks, buses and off-road vehicles, which are, due to
their dimensions, more difficult to ship, but can be sold at the higher margins,
compensating the relatively expensive domestic workforce. A typical manufacturing facility
with 1,000 employees produces 16,000 tires daily. Much like the tire recycling, tire
manufacturing offers important synergies with logistics, too.
Environmental effects
Due to the large volume produced, tires that are no longer suitable for use on vehicles are
among the largest and most problematic sources of waste in the world today. Although 42
states in U.S. regulate the disposal of tires to some degree, discarded tires still present a
serious environmental concern. From ca. 5 million tire waste that is generated annually,
only 35 percent of rubber from these tires is recycled. This means tons of tire waste goes
into already overcrowded landfills that are still being tolerated by the majority of states.
Due to the fact that tires contain a number of components that are ecologically
problematic, toxin release is the second major problem. Toxins, heavy metals and oils that
are released from decomposition, incineration or fire can pollute the groundwater, air and

26. soil. To avoid these, each site should be individually assessed determining if the shredding
is appropriate for given conditions. Another problem which doesn't necessarily reflect as an
environmental but more of a health issue, is the fact that waste tires can become a
breeding ground for pests (e.g. mosquitoes).
Tire shredding and the production of scrap tires is therefore the most environmentally safe
solution in disposal of worn-out tires. Tire scraps can be used in a number of productive
applications, such as tire-derived fuel, civil engineering applications and ground rubber
applications. Due to the unpleasant smell of shredded rubber, the tire shredding plant
4
should be located in the suitable industrial zone. Another regulation for this kind of industry
is the presence of a “dumping ground” or warehouse with sufficient ventilation, the
capacity of which is suitable to the quantity of tire scrap the plant produces. A sufficient
logistics center and transportation system for the regular removal of material is essential.
LOGISTICS
The logistics industry is a key element of the modern economy and its importance is set to
increase as globalization continues and trade increases. It is a highly location-specific
industry and is very competitive in the United States, yet companies on the logistics market
have access to the world’s largest consumer market.
The industry is divided into many subsectors:
● logistics services
● air and express delivery services
● freight rail
● maritime
● trucking
Industry size and value
The U.S. logistics and transportation spending totaled $1.35 trillion in 2013, and
represented 8.5 percent of the gross domestic product (GDP). While many businesses
perform this function in-house, others do not; instead, they outsource it to third-party
logistics (3PL) businesses. This subsector represented 10.6 percent of the industry in 2013
and has been steadily growing in recent years; market size has increased from $127.3 billion
in 2010 to $146.4 billion in 2013.
4
http://www.epa.gov/waste/scrap_tires

27. Investment
Investments in the industry vary in size significantly; they can range from a small
warehouse unit to a large distribution center worth hundreds of millions of dollars. There
have recently been logistics investments nearby. In Tracy, Amazon recently opened a 1
million sq. ft. fulfillment center, creating over 1500 jobs. On average, a $1 million dollar
investment in the industry generates 3.8 jobs. The type of investment most suited to
Stockton is a distribution center or warehousing facilities. However, as clustering is
beneficial to the development of the involved companies and results in a faster growth
rate, attempting to achieve this in Stockton would be advisable.
Regulation
The logistics industry in the United States is regulated in a similar manner as throughout the
developed world. There are many regulations applying to the transportation of goods and
the transportation sector in general, from hours of service limits to shipping container
sizes. Customs procedures also have a high impact on the logistics industry in terms of
international trade.
What would Stockton bring to the industry?
Choosing the right location is key when planning logistic centers. Stockton’s location is
ideally suited for logistics; it is close to fast-growing large population centers such as the
Bay Area and Greater Sacramento, it has relatively inexpensive and adequate land, it has
excellent access to highways and railways, with intermodal yards, a deep-water port and an
airport. The Central Valley’s suitability for logistics operations has not gone unnoticed;
logistics jobs have been steadily shifting there from the Bay Area, primarily due to lower
costs. The annual warehouse operating costs in Stockton are estimated at $18.5 million,
which compares favorably with Bay Area locations such as Richmond ($21.6 million) and
Oakland ($20.6 million). The main advantage Stockton has in comparison with other Central
Valley cities is its deep-water port, which other cities in the area lack. Another important
factor is the workforce. Logistics companies have a need to employ a range of diverse
profiles; however, a large share of jobs in the logistics industry require little to no
experience.

28. What would the industry bring to Stockton?
Besides filling vacant lots and increasing economic activity, the industry would decrease
unemployment, as locals can fill most of the new job positions, also increasing median
incomes in the city. The Bureau of Labor Statistics estimates employment in the area of
logistics may increase by 21.9 percent between 2012 and 2022, with 27,600 new jobs
added. The employment characteristics of the logistics industry make it especially suitable
for Stockton. Logistics companies have a need to employ a range of diverse profiles,
blue-collar and white-collar workers alike. For example, a distribution center requires
skilled managers but also warehousing staff such as material handlers; positions, which
have low job requirements, where no specialized skills or special licenses and certifications
are necessary. As Stockton has a relatively less educated workforce than the California
average, this represents an opportunity to increase the income of the most at-risk members
of the community.
New jobs in the logistics industry would also create new jobs elsewhere in the city economy
due to the job multiplier effect, from suppliers, subcontractors to the services sector,
which would benefit from an increased disposable income. Altogether, one new logistics job
results in 3.47 new jobs elsewhere in the economy. While a $1 million investment generates
on average 3.8 direct jobs, due to the job multiplier effect, 13.2 other jobs are also
created in the economy. Furthermore, as operational experience is valued in the field and
many companies promote from within, the resulting increased career opportunities for
lower-paid workers also positively affect the local community.
There is a long-term trend towards the creation of more high-skilled jobs in the logistics
industry, especially as companies start to make better use of information systems and apply
technological innovations to warehouse management and delivery systems. This represents
a unique opportunity for Stockton, should the proposed California State University campus
come to fruition, as the university could help the city provide a high-skilled workforce for
the industry in the long run through cooperation, the development of relevant study courses
and specialized logistics training.
Environmental effects
Environmental requirements and industry regulations among developed countries don’t
differ much one from another, so the environmental effect has been overlooked from the
point of developed countries as investment countries.
The issue with the environmental effects of FDI (foreign direct investment) is the transfer
of polluting industries and dividing those into positive and negative effects.
Correspondingly, the standards for the formation of environmental effects should be split

29. into two specific areas, where environmental standards influence the capital inflow among
countries, and pollution industries of high standard areas invest to slightly lower standard
areas, which contribute to transferred pollution.
There are many different impacts of the logistics industry on the environment. Firstly,
there is an impact while occupying land due to transport and storage, such as
transportation access, site, ground and material storage transportation and handling
facilities. Goods transportation consumes fuel the same as transport and storage
equipment. Material consumption and processing waste due to reverse logistics is also
problematic. All of these generate waste on different levels. There is also the possibility of
production loss and waste due to distribution processing. The way to fix these issues is
introduction to advanced logistics technology. This includes promotion of development of
green logistics, making efficient forward logistics and smooth reverse logistics in order to
form a positive environmental impact of the whole logistics process.
INDUSTRY GROWTH FORECAST
In order to present the long-term economic benefit of the selected industries to the City, a
projection of growth was computed with regard to relevant revenue and cost drivers of
each of the industries. Results in the form of yearly growth figures are summarized in the
graph below.
Food processing
A dominant part of the proposed food processing industry is almond and other nut
production, of which over 70% of the world’s total output is produced in California and
shipped globally, the proxy for the primary revenue driver is world GDP growth. Costs of the
industry are mostly dependant on input prices of raw material; these were proxied by
traded futures contracts on orange juice and almonds.
Projected growth closely follows the world GDP forecast and is expected to average
between 3.5% and 4%.
Tire recycling
Due to low procurement costs and plentiful supply the main growth drivers in this industry
are revenue based. Since the vast majority of revenue in this industry is created – directly
or indirectly - through sales to the Chinese energy market, the base proxy for revenue
growth used is the Chinese energy demand chain index. This is further adjusted for
petroleum fuel prices to account for transport costs in the form of crude oil price forecasts.

30. Chinese industrial ecological legislature is also taken into account to control for emission
regulation constraints.
The industry is characterised by high potential growth, which is set to increase in the first
5-year period, driven by the prevailing energy demand growth factor. In the second 5-year
period the growth starts to taper off with the energy demand index due to lower Chinese
economy growth rates and further augmented with implantation of emission control
regulations.
Logistics
The logistics industry presents significant revenue as well as cost driver effects. As in most
service industries, revenues are heavily dependant on current economic activity in the
relevant market. For this reason the primary revenue driver proxy is real US GDP growth.
The primary cost driver in the logistics industry is the cost of fuel. As such the proxy chosen
is real US petroleum price growth, which is itself highly correlated with the price of crude
oil.
Growth in this industry is highly correlated with real US GDP growth as is stated above and
is as such expected to remain in the 2% to 3% range for the forecasting period.

31. INDUSTRIES LOCATIONS
Industries locations in South Stockton
The implementation of selected key industries in South Stockton was made upon:
● existing land use (General Plan of Stockton),
● location of existing nearby industries,
● location of existing industries in Stockton with similar program,
● public transport/cycling accessibility,
● spatial needs of industry,
● transportation requirements,
● technology requirements,
● agricultural preservation limitations,
● South Stockton Land Use Strategy (mentioned later), etc.

34. Market research
Although the above mentioned factors are those upon which the relevant selection should
be made, the selection is of purely informative nature and for the purpose of the project.
Selected sites can only serve as a direct referential case. Due to limited sources, land value
of vacant lots, the cost of taxes and market value in the future were the only relevant
factors that were not taken into account entirely. The research was based on the
assumption that the city would offer the vacant lots they own (to potential investors and
buyers) for low purchase price or "pro bono". Low industrial property taxes and work costs
would aid to the willingness of investors to purchase this kind of land and the benefit from
the city's point of view would be the revitalization of brownfields and other degraded
industrial sites.
To include the above mentioned factors, a broader and more detailed research has to be
made. This would create a relevant and more accurate financial plan. Within the context of
our project this was not possible, so we compared the value of selected parcels to those
industrial lands in South Stockton that are currently on market, to try to appraise the
approximate value of lands. From the below table we can conclude that the prices for
vacant lots are extremely variable and can differ depending on their location, surrounding
environment, property type and the valuation of appraiser. The growth of land values is not
necessary proportional with the size of the parcel.
Location Area Land Value
3817 Farmington Rd. 4 ha $ 650,000
2025 E Weber Ave. 5 ha $ 975,500
Airport Way & Sperry Rd. 6 ha $ 1,250,000
715 W 8th St. 7,5 ha $ 1,750,000
4100 S Highway 99 9 ha $ 2,100,000
Airport Way & Zephyr St. 12,5 ha $ 2,000,000
3158 Acres El Pinal Dr. 14,5 ha $ 2,300,000
Land value for different vacant lots in South stockton (source: http://www.landandfarm.com)

35. SOUTH STOCKTON LAND USE STRATEGY
Directions of land use development
The aforementioned industries and their locations were also selected based upon a
strategy, which would bring more systematic and judicious development in pursuit of more
coherent and heterogeneous land use.
The development of the three main land uses in the city (residential, commercial,
industrial) would focus on infill, revitalization and mixed use, avoiding segregation of
program and low-density area. Commercial development would be concentrated along
three city major paths, connecting the city's southern part and downtown, while providing a
break through industry zone on the south (for possible future residential development).
Residential land use development would concentrate on the future connections between
certain neighborhoods providing a more compact shape, while the industry development
would concentrate on continuation of the outlined direction, but at the same time allowing
potential residential development on the degraded sites. The long red vector between the
two industrial (blue) vectors on the south is the area of Airport Way. Currently the area
intersects with industrial land use in the south, but in the further development we would
combine the two separated industrial areas with a commercial longitudinal line in between
them. This would also benefit the nearby residential part to have more areas of mixed use
as the opposite of the already existing singular use sites. The industrial parts would
continue to develop to the southwest of South Stockton, along the main railway in the south

36. and towards main port, thus creating the space for the development of the residential sites
inside the existing boundaries. These would be intersected by the commercial use roads and
streets.
The strategy could be developed in a real development plan of South Stockton as actual
mapping of several regions' growing boundaries. The plan would show detailed typological
examples of how to efficiently develop new factories within the area and would analyze the
benefits of this to the overall city land use. Collaboration and correspondence with the
present and future work of Stockton’s Planning Commision, Economic Development
Commission and Planning Staff would be crucial to create an effective and comprehensive
strategy.
CSU STUDY PROGRAMMES
During the fourth phase of our project, members of the Industry Revitalization team
considered the idea of connecting with the CSU team (see later section), creating several
study and educational programs which the CSU could offer the students. These programs
would serve as a direct connection with the proposed industries and would be designed in a
way that students from CSU would be most suitable for the jobs. Graduated students would
have a chance to be employed by one of the companies that would establish itself in the
city or would be offered a working experience during the course of the study.
There are several benefits of this kind of collaboration. Firstly, apart from the jobs in the
industries which would employ the majority of workforce with lower education (eg.
manufacturing), industries would also generate jobs which would demand a personnel with
higher (or technical) education. Higher paid jobs would also be beneficial for the industries
and the city itself, considering the benefits of the aforementioned "Job Multiplier Effect".
Another benefit of collaboration would be the employment of young personnel from city's
own student base (county, city or local area), thus benefiting the city's demographic and
educational parameters.
Suitable professions for proposed industries:
● Information Technology,
● Logistics,
● Operational Management,
● Business administration,
● Environmental Research,
● Food Technology,
● Biotechnology,
● Agricultural technology, etc

37. ENVIRONMENTAL RESILIENCY
OVERVIEW
Of the measures in Stockton’s Climate Action Plan, projected voluntary residential energy
efficiency savings account for 30-32% of total local reductions. This is both a daunting
challenge and an enormous opportunity to reduce energy bills, improve comfort/health,
and encourage clean energy jobs. Many inefficient homes are located in South Stockton,
simply as a result of the old housing stock, providing a unique opportunity to address many
issues while tackling Stockton’s climate goals.
In this section, a simplified model home will present savings values that make sense to
people per home rather than per city. Additionally, funding and financing options,
stakeholder goals and outreach strategies will be discussed. In particular, energy efficient
demonstration centers will be reviewed as an approach to improve outreach efforts while
serving community needs in a more accessible way, with case studies highlighting notable
examples.

38. COMMUNITY ENGAGEMENT
This work was guided heavily thanks to feedback from the Community Engagement
workshop. Attendees cited the poor state of homes, inaccessibility of outreach, disconnect
in incentives, inability to pay upfront, and lack of trust as barriers to acting on, or even
caring about energy efficiency to save bills, let alone environmental friendliness. These
considerations guided the team’s problem solving approach, and shaped our final proposal.
MODELLING APPROACH
In order to best illustrate the benefits of improving existing houses in terms of energy
efficiency, a “typical” home was modeled. The house was assumed to be built in the 1970’s
or earlier, before energy codes were developed, with dimensions and construction typical
of a home one might find in South Stockton. While not all homes fall into this category, a
sizeable portion of homes in South Stockton belong to this aging housing stock, with high
energy consumption and poor indoor air quality.

39. Baseline House Dimensions
Floor Area 1064 square feet
Ceiling Height 9 feet
Stories 1
Window area 143 square feet
Gross wall area estimate 1468 square feet
A reference floorplan from a recently constructed home was used to design the house, and
its Title 24 energy performance was compared with the baseline old home and old home
with energy saving upgrades.The following energy upgrades were applied to the home
individually and in combination with one another, and evaluated in terms of performance
and cost effectiveness:

40.
Measure Improvement Construction Cost
Window film Windows: R 1 -> R 5 1-2 years
Air sealing Infiltration: 1 ACH -> 0.6 ACH 1-2 years
Insulation Wall: R5 -> R15
Roof: R15 -> R40
1-3 years
For each case, energy performance, cost savings, and construction cost were estimated.
The cases above have been chosen in order to illustrate the impact of small changes that
can be easily carried out, and their combined impact if all are implemented. As seen in the
chart below, though not all of the following measures are modeled, many are simple to
install and/or require very little payback.

41. Measure Typical difficulty Typical Payback
Seal small air leaks Average homeowner 1-2 years
Insulate water heater Average homeowner 1-2 years
Energy-saving showerhead Average homeowner 1-3 years
Seal large air leaks Skilled homeowner 1-2 years
Seal ducts Skilled homeowner 1-2 years
Thermostat Skilled homeowner 1-2 years
Heating tune-up Expert technician 1-3 years
Ceiling Insulation Skilled homeowner 3-7 years5
5
https://www.xcelenergy.com/staticfiles/xe/Marketing/Files/SmartEnergyGuide.pdf

42. RESULTS
As expected, many of the improvements we tested were reasonably priced with significant
energy savings without too much additional cost. Simply by applying these three measures
alone, without changing any appliances or lights, about 30% energy savings are possible. A
new house, on the other hand, uses about half of the energy that the old house uses with
additional low-cost measures, such as water heater insulation/maintenance, thermostat
controls, energy saving showerheads, radiant barriers, and duct sealing.

43. One key finding evident from these figures is the significance of labor costs relative to
material costs. With the exception of window film, the majority of costs in all cases was
the labor component. This is especially true for sealing leaks, which has an extremely low
material cost.
Energy Assistance Programs
Name Sponsor Benefits Requirements
San Joaquin
County
Weatherizati
on Program
San
Joaquin
County
Human
Services
Agency
Free weatherizations -
measures include
insulation, repairs,
improved appliances,
etc.
A member of the household
receives temporary Aid for Needy
Families (TANF), Food Stamps, SSI
or SSP, Veterans and Survivors
Pension or if the household income
does not exceed a certain amount
http://www.benefits.gov/benefits
/benefit-details/1844
Energy
Savings
Assistance
Program
PG&E Repair or replacement
of refrigerators,
furnaces or water
heaters, insulation/
caulking, lighting,
showerheads, etc
Home 5 years or older, meets CARE
guidelines
http://goo.gl/8zvcu3
Valid through May 2015
Energy
Upgrade
California -
whole house
PG&E Up to $2500 in rebates PG&E Customers with single family
homes
Choose measures from a menu of
options
Appliance
rebates
PG&E Depends on the
appliance
Purchase of Energy Star or
approved appliance
Energy Efficiency Financing Options
Program type Pro Con
PACE (HERO, Figtree) Approved in Stockton
No upfront cost- pay with additional
property taxes
Vetted contractors (3 in Stockton)
Choice of payback (5/10/15/20 years)
Higher property
tax bills
Must pay property
tax (ineligible to
renters)
On-bill financing No upfront cost - pay using portion of
energy savings
Financing can stay with the property
Not available
Risk for utility if
bills are not paid
Loan (i.e. from the
Golden State Finance
Authority)
Up to $50,000 financing, 6.5% interest for
15 yr loan
Partner with approved contractor
Only one Stockton
based contractor
No flexibility for