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BACKGROUND The City's Economic Vitality Committee (EVC) is tasked with advising the City Council on trends and issues related to the City's business community. In recent years, the EVC has developed several priority items based on the strategies identified in the City's Economic Development Strategic Plan that are intended to provide ongoing enhancement of Pleasanton's commercial environment and support for local companies. Among the recent EVC priority items is a second survey of Pleasanton companies to gauge shifts in local businesses' needs and perceptions to inform the continued development of the city's commercial environment, and to develop a better understanding of how the City can support and retain local businesses as well as augment the City's efforts to attract new firms. This project is included in the 2015-2016 City Council Work Plan. DISCUSSION Focus Groups To assist in the development and implementation of the survey, and to ensure the survey would produce statistically valid results, JD Franz Research, Inc. was engaged to work with staff and the EVC to execute the project. Through preparative discussions, it was determined there would be continued value in conducting focus groups with representatives of local companies and then to adapt the initial survey instrument based on the input received by the focus group participants as well as the EVC members. A primary purpose of the groups was to update the City's understanding of business perceptions relative to a variety of issues impacting the economic climate in Pleasanton that was obtained from similar groups in 2012. A secondary objective was to explore the issue of broadband and cell phone connectivity and the role the City might have, if any, in addressing business concerns in this regard. Two business focus groups were hosted at Pleasanton-based Amplify Research in April 2015. The representatives were recruited using the City's business license listing and were from a variety of business types. One group included six representatives of medium- sized companies (21 to 99 employees) although no business in the group had more than 50 employees other than seasonally, and the second group included eleven representatives of small-sized companies (fewer than 21 employees). This reflects the composition of the city's business community as small to medium-sized companies represent more than 99% of the City's business population. Business types represented in the groups included technical training, website design and marketing, child care and education, alternative medicine, residential repair and construction services, promotional products, food production and dining, personal services, automotive care and retail. The focus groups explored such topics as reasons for locating in Pleasanton and the extent to which expectations have been met; assessment of Pleasanton as a place to do business; perspectives on conducting business in Pleasanton; desired types of businesses; importance and experience with cellular and broadband connectivity; and what the City might do to help local companies. Page 2 of 5