CITRUS HEIGHTS, CA (MPG) - At the March 11 meeting, the Citrus Heights City Council considered granting a $10,000 sponsorship to the Citrus Heights Chamber of Commerce. Meghan Huber, economic development and communications manager for the City of Citrus Heights, explained that the money would come from the City’s Economic Development Support Fund, which is designed to fund activities that “further our goals of diversifying our local economy and growing our business community.”

The Economic Development Support Fund is allocated $150,000 annually from the General Fund, and the current funding has already been accounted for in the 2020-2021 Budget. The Chamber submits one of the few consistent annual requests for funding from the Economic Development Support Fund, and the City has partnered with the Chamber for the last six years as a diamond-level sponsor.

In 2020, the Chamber’s top goals were to hire an executive director, increase membership, increase member participation, increase communication with members, increase the number of directors on the Board, and create a signature event for the Chamber. “Then COVID hit and just turned our world upside down. … But the Chamber did not turn upside down,” said Diane Ebbitt-Riehle, who was hired as the Chamber’s interim executive director last April.

Despite the challenges, Ebbitt-Riehle said the Chamber met almost all their objectives. During the pandemic, the Chamber welcomed 31 new members and the Board of Directors increased from 9 to 13 members. The Chamber improved communication with members by launching a weekly COVID update and a weekly Chamber newsletter, in addition to virtual events and luncheons that kept Chamber members involved and engaged.

Ebbitt-Riehle also listed a variety of Chamber events and fundraisers planned for 2021. Upcoming events include the Best of Citrus Heights and a drive-in concert at Sunrise Mall. Voting for the Best of Citrus Heights will run from April 1 through May 31, with winners announced June 8. The drive-in concert, featuring Journey Revisited, is scheduled for May 22, pending County approval. All money raised from the concert will be used to fund a grant program to help local businesses affected by the pandemic.

Mayor Steve Miller said, “The fact that you’ve been advocating and fighting for our small businesses explains why, during COVID, you’ve had an increase in membership and interest.” He urged residents looking for services to check the Chamber’s website for listings: “Let’s take care of our businesses and help them get back on their feet.”

Councilmember Jeannie Bruins applauded the Chamber for the improved level of communication and diligent promotion of members. “The Chamber is looking better than it has in a long time,” she said.

Citrus Heights resident David Warren submitted a public comment on this item, writing, “In light of the City Manager’s recent doomsday forecast of the City’s budget due to the failure to increase municipal sales tax rates, it is hypocritical that any payment, no matter how purportedly meritorious, of municipal funds would be made to the Chamber of Commerce.”

Warren said that the $150,000 Economic Development Support Fund could pay the salary of a staff member at City Hall or the Police Department, or it could be used to fund needed road repairs. He stated that with the City’s current budget issues, the City should “begin immediately to direct all discretionary revenue to maintain municipal activities and cease funding ancillary activities.”

He also pointed out that the California Chamber of Commerce does not receive funds from the State of California, asking, “Why should the Citrus Heights Chamber ask for a government subsidy? As advocates of private enterprise, the Chamber members should follow their own philosophy and be self-supporting.”

Warren objected to the idea of leaving staff positions vacant while providing funding to other organizations: “If the City has to tighten its belt, it should not be on the backs of our employees.”

Councilmember Jeannie Bruins responded to the public comment: “I don’t think that Mr. Warren recognizes the positive impact. … It’s not a subsidy, it’s a sponsorship. We get benefits in return for the economic investment we make in the business community through the Chamber of Commerce.”

Councilmember Bret Daniels said the public comment was well taken: “At a time when we’re not filling vacancies, we have budget issues … we should really be looking to cut as much as we can.” But he said that with the recent passage of the federal COVID relief bill, the City can expect to receive millions of dollars. “I want people to understand that even though we’ve done some things to kind of prop up our budget recently, it looks like we have relief coming for that.”

Councilmember Daniels agreed “it would not be prudent” to spend that money with the City’s current budget issues, and he wouldn’t support it without the additional funding coming in from the federal government. “The Chamber is extremely important to the City, and so it’s a good partnership. It’s a good use of the funds. But I just want to make sure people understand that money is coming to us, and this is not going to create an additional burden on us.”

Mayor Miller said the City will see “a lot of return on investment” with these funds. The Council voted unanimously to approve the sponsorship.