E c o n o m i c D e

ec

Sonoma County

Economic Development Board

EDB

oeconomy2010-11 City of SebastopolLocal Economic Report

0 wwwsonomaedborg v e l o p m e n t B o a r d 4 0 1 C o l l e g e Av e n u e S u i t e D S a n t a R o s a C A 9 5 4 0 1 ( 7 0 7 ) 5 6 5 - 7 1 7

Table of Contents

1 Letter amp Highlights

2 Population amp Employment

3 Projections

4 Residential Real Estate

5 Commercial Real Estate

6 Consumer Spending amp Taxable Sales

7 Education

8 Sponsors Page

2010City of SebastopolLocal Economic Report

September 2010

The Sonoma County Economic Development Board (EDB) in partnership with the Sonoma County Workshyforce Investment Board is pleased to bring you the 2010 City of Sebastopol Local Economic Report

Highlights from this Local Economic Report include

Between 2000 and 2009 median household income in Sebastopol increased 40 nominally or 12 in real (inflation-adjusted) dollars Over the same period the percentage of households making over $100000 increased by 127 percentage points Over the next five years median household incomes are projected to climb an additional 6 nominally to just below $70000

After four years of decline the number of home sales in Sebastopol rebounded 26 year-over between 2008 and 2009 Although wage growth is subdued decreasing home prices have increased affordability for potential homebuyers The Sebastopol economy is expected to track Sonoma Countyrsquos performance Improvements in the labor market will lag improvements in its core industries Current forecasts suggest the unemployment rate will start to see improvement during the latter half of 2010

Thank you for your continued interest in the EDB reports As always if you have any questions please feel ree to contact us at (707) 565-7170

incerely

en Stone xecutive Director

f

S

BE

copy2010 Sonoma County Economic Development Board The Economic Development Board (EDB) believes all data contained within this report to be accurate and the most current available but the EDB does not guarantee that this report is accurate or complete This report was prepared by Keith Butts and Greg Smith

Population amp Employment

Sebastopols seasonally unadjusted unemployment rate was 68 for June of 2010 lower than Sonoma Countyrsquos rate over the same quarter(104) Unemployshyment is up from the second quarter of 2009 when it regisshytered 61 Although Sebastopolrsquos unemployment has risen considerably over the past two years it is well below county state and national levels

Sebastopollsquos population plateaued in 2001 after steady growth during much of the 1990s and is currently in decline Between 2000 and 2009 the populashytion decreased by roughly 123 residents

Total employment in Sebastopol has been in decline for the past two years At 4000 the number of jobs in Sebastoshypol is down 77 from its peak in Q2 2008 Moodyrsquos Economycom has predicted that Sonoma Countyrsquos employshyment should start seeing improvement in the latter half of 2010 This could be a positive sign for Sebastopolrsquos employshyment profile which has strayed from that of Sonoma County over the past decade

Sebastopol Seasonally UnAdjusted Unemployment Rate

8

7

U

nem

ploy

ed

6

5

4

3

2

Source California Employment Development Department (wwweddcagov)

June 2010 68

2008 2009 2010

Thou

sand

s of

Res

iden

ts

60

2009 7649 70

65

City of Sebastopol Population

80

75

9091929394959697989900010203040506070809

Source California Dept of Finance Demographic Research Unit (wwwdofcagov) US Census Bureau (wwwcensusgov) amp ESRI Market Profile (wwwesricom)

40

5

Sebastopol Seasonally UnAdjusted Non-Farm Employment

(Thousands) 0

5

Q1 2010 4000

0 2008 2009 2010

Source California Employment Development Department (wwweddcagov)

3

5

4

3

wwwsonomaedborg

2

Table of Contents

1 Letter amp Highlights

2 Population amp Employment

3 Projections

4 Residential Real Estate

5 Commercial Real Estate

6 Consumer Spending amp Taxable Sales

7 Education

8 Sponsors Page

2010City of SebastopolLocal Economic Report

September 2010

The Sonoma County Economic Development Board (EDB) in partnership with the Sonoma County Workshyforce Investment Board is pleased to bring you the 2010 City of Sebastopol Local Economic Report

Highlights from this Local Economic Report include

Between 2000 and 2009 median household income in Sebastopol increased 40 nominally or 12 in real (inflation-adjusted) dollars Over the same period the percentage of households making over $100000 increased by 127 percentage points Over the next five years median household incomes are projected to climb an additional 6 nominally to just below $70000

After four years of decline the number of home sales in Sebastopol rebounded 26 year-over between 2008 and 2009 Although wage growth is subdued decreasing home prices have increased affordability for potential homebuyers The Sebastopol economy is expected to track Sonoma Countyrsquos performance Improvements in the labor market will lag improvements in its core industries Current forecasts suggest the unemployment rate will start to see improvement during the latter half of 2010

Thank you for your continued interest in the EDB reports As always if you have any questions please feel ree to contact us at (707) 565-7170

incerely

en Stone xecutive Director

f

S

BE

copy2010 Sonoma County Economic Development Board The Economic Development Board (EDB) believes all data contained within this report to be accurate and the most current available but the EDB does not guarantee that this report is accurate or complete This report was prepared by Keith Butts and Greg Smith

Population amp Employment

Sebastopols seasonally unadjusted unemployment rate was 68 for June of 2010 lower than Sonoma Countyrsquos rate over the same quarter(104) Unemployshyment is up from the second quarter of 2009 when it regisshytered 61 Although Sebastopolrsquos unemployment has risen considerably over the past two years it is well below county state and national levels

Sebastopollsquos population plateaued in 2001 after steady growth during much of the 1990s and is currently in decline Between 2000 and 2009 the populashytion decreased by roughly 123 residents

Total employment in Sebastopol has been in decline for the past two years At 4000 the number of jobs in Sebastoshypol is down 77 from its peak in Q2 2008 Moodyrsquos Economycom has predicted that Sonoma Countyrsquos employshyment should start seeing improvement in the latter half of 2010 This could be a positive sign for Sebastopolrsquos employshyment profile which has strayed from that of Sonoma County over the past decade

Sebastopol Seasonally UnAdjusted Unemployment Rate

8

7

U

nem

ploy

ed

6

5

4

3

2

Source California Employment Development Department (wwweddcagov)

June 2010 68

2008 2009 2010

Thou

sand

s of

Res

iden

ts

60

2009 7649 70

65

City of Sebastopol Population

80

75

9091929394959697989900010203040506070809

Source California Dept of Finance Demographic Research Unit (wwwdofcagov) US Census Bureau (wwwcensusgov) amp ESRI Market Profile (wwwesricom)

40

5

Sebastopol Seasonally UnAdjusted Non-Farm Employment

(Thousands) 0

5

Q1 2010 4000

0 2008 2009 2010

Source California Employment Development Department (wwweddcagov)

3

5

4

3

wwwsonomaedborg

2

2010City of SebastopolLocal Economic Report

September 2010

The Sonoma County Economic Development Board (EDB) in partnership with the Sonoma County Workshyforce Investment Board is pleased to bring you the 2010 City of Sebastopol Local Economic Report

Highlights from this Local Economic Report include

Between 2000 and 2009 median household income in Sebastopol increased 40 nominally or 12 in real (inflation-adjusted) dollars Over the same period the percentage of households making over $100000 increased by 127 percentage points Over the next five years median household incomes are projected to climb an additional 6 nominally to just below $70000

After four years of decline the number of home sales in Sebastopol rebounded 26 year-over between 2008 and 2009 Although wage growth is subdued decreasing home prices have increased affordability for potential homebuyers The Sebastopol economy is expected to track Sonoma Countyrsquos performance Improvements in the labor market will lag improvements in its core industries Current forecasts suggest the unemployment rate will start to see improvement during the latter half of 2010

Thank you for your continued interest in the EDB reports As always if you have any questions please feel ree to contact us at (707) 565-7170

incerely

en Stone xecutive Director

f

S

BE

copy2010 Sonoma County Economic Development Board The Economic Development Board (EDB) believes all data contained within this report to be accurate and the most current available but the EDB does not guarantee that this report is accurate or complete This report was prepared by Keith Butts and Greg Smith

Population amp Employment

Sebastopols seasonally unadjusted unemployment rate was 68 for June of 2010 lower than Sonoma Countyrsquos rate over the same quarter(104) Unemployshyment is up from the second quarter of 2009 when it regisshytered 61 Although Sebastopolrsquos unemployment has risen considerably over the past two years it is well below county state and national levels

Sebastopollsquos population plateaued in 2001 after steady growth during much of the 1990s and is currently in decline Between 2000 and 2009 the populashytion decreased by roughly 123 residents

Total employment in Sebastopol has been in decline for the past two years At 4000 the number of jobs in Sebastoshypol is down 77 from its peak in Q2 2008 Moodyrsquos Economycom has predicted that Sonoma Countyrsquos employshyment should start seeing improvement in the latter half of 2010 This could be a positive sign for Sebastopolrsquos employshyment profile which has strayed from that of Sonoma County over the past decade

Sebastopol Seasonally UnAdjusted Unemployment Rate

8

7

U

nem

ploy

ed

6

5

4

3

2

Source California Employment Development Department (wwweddcagov)

June 2010 68

2008 2009 2010

Thou

sand

s of

Res

iden

ts

60

2009 7649 70

65

City of Sebastopol Population

80

75

9091929394959697989900010203040506070809

Source California Dept of Finance Demographic Research Unit (wwwdofcagov) US Census Bureau (wwwcensusgov) amp ESRI Market Profile (wwwesricom)

40

5

Sebastopol Seasonally UnAdjusted Non-Farm Employment

(Thousands) 0

5

Q1 2010 4000

0 2008 2009 2010

Source California Employment Development Department (wwweddcagov)

3

5

4

3

wwwsonomaedborg

2

Population amp Employment

Sebastopols seasonally unadjusted unemployment rate was 68 for June of 2010 lower than Sonoma Countyrsquos rate over the same quarter(104) Unemployshyment is up from the second quarter of 2009 when it regisshytered 61 Although Sebastopolrsquos unemployment has risen considerably over the past two years it is well below county state and national levels

Sebastopollsquos population plateaued in 2001 after steady growth during much of the 1990s and is currently in decline Between 2000 and 2009 the populashytion decreased by roughly 123 residents

Total employment in Sebastopol has been in decline for the past two years At 4000 the number of jobs in Sebastoshypol is down 77 from its peak in Q2 2008 Moodyrsquos Economycom has predicted that Sonoma Countyrsquos employshyment should start seeing improvement in the latter half of 2010 This could be a positive sign for Sebastopolrsquos employshyment profile which has strayed from that of Sonoma County over the past decade

Sebastopol Seasonally UnAdjusted Unemployment Rate

8

7

U

nem

ploy

ed

6

5

4

3

2

Source California Employment Development Department (wwweddcagov)

June 2010 68

2008 2009 2010

Thou

sand

s of

Res

iden

ts

60

2009 7649 70

65

City of Sebastopol Population

80

75

9091929394959697989900010203040506070809

Source California Dept of Finance Demographic Research Unit (wwwdofcagov) US Census Bureau (wwwcensusgov) amp ESRI Market Profile (wwwesricom)

40

5

Sebastopol Seasonally UnAdjusted Non-Farm Employment

(Thousands) 0

5

Q1 2010 4000

0 2008 2009 2010

Source California Employment Development Department (wwweddcagov)

3

5

4

3

wwwsonomaedborg

2

Population amp Income Projection

The population of Sebastopol is projected to decrease by 8 over the next five years While Sonoma County is expecting slower growth during this period Sebastopol is the only city in the county with projected population decline

Between 2000 and 2009 median household incomes in Sebastopol grew 40 nominally In real dollars (adjusted for inflation) incomes increased 123 Over the next five years incomes are expected to continue to climb though at a slower rate By 2014 the median household income of Sebastopol is expected to climb 6 nominally just shy of $70000

As income in Sebastopol rose between 2000 and 2009 the percentage of households earn-ing less than $75000 was reduced by 189 percentage points While the percentage of households earning less than $15000 per year dropped by 57 points households making more than $100000 grew by 81 points

Over the next five years the percentage of households in Sebastopol earning between $75000 and $99999 is expected to increase 51 points Other income brackets are expected to remain relatively unchanged

Total Population City of Sebastopol

80k

78k 16 Decrease Since 2000 76k

74k

2014 Projection 72k

7593 70k

140900

2009 7649

$75k

$70k 40 $65k

Increase Since 2000

$60k

$55k 6 $50k Projected 5-year

Increase $45k

Median Household Income City of Sebastopol

2009 $65373

00 09 14

wwwsonomaedborg

3

lt$15000

$15000-$24999

$25000-$34999

$35000-$49999

$50000-$74999

$75000-$99999

$100000-$149999

$150000-$199999

$200000+

Households By Income City of Sebastopol lsquo00 rsquo09 lsquo14 30

25 2000Source All ESRI Business Analyst (wwwesricom)

20 2009 15

201410

5

0

CW

C SW S

Residential Real Estate

Sebastopolrsquos median home price decreased roughly $105000 or 208 on a year-over basis between 2008 and 2009 This is the second consecutive year of decline after nearly a decadersquos worth of strong price advances The housing affordability index is near its highest level in over two decades

Home sales in Sebastopol have seen a resurgence since the decade low in 2007 The price drops across Sonoma County have fueled house sales according to Moodyrsquos Economycom

The average Q2 2010 sales price of a home in Sebastopol was $653600 which is one of the most expensive areas in the county

Median Price of an Existing Home Sold In Sebastopol ($ Thousands)

$800

$700 535 $600

$500

$400

$300

$200

$100

$0

2009 $545000

99 00 01 02 03 04 05 06 07 08 09

Increase Since 1999

241

Decrease Since lsquo07

400

350

Total Number of Homes Sold

300

100

150

200

250

0908070605040302010099

Increase since lsquo08

Decrease Since lsquo04

425

2009 234

258

Source All Bay Area Real Estate Information Services Inc (httpwwwbareiscom)

$0

$200

$400

$600

$800

$1000

Healdsb

urg

Sea Ranch

ostal S

onoma

Sebastopol

Sonoma

Penngrove

est Petaluma

NE Santa Rosa

East Petaluma

Oakmont

Windsor

Cloverdale

SE Santa Rosa

Russian River

NW Santa Rosa

otatiRohnert

Park

anta Rosa

0

50

100

150

200

250

Average Sales Price ($ Thousands) and Total Sales by Sub-County Area Q2 2010 Total Unit Sales (Right Axis) Average Sales Price ($ Thousands) County Average Price ($ Thousands)

wwwsonomaedborg

4

Real Estate amp Construction

Sebastopol and Sonoma County Residential Housing Vacancy

10

8

Sebastopol 6

4

48 52

Sonoma County

2

0 00 09 14

21

Sebastopolrsquos residential vacancy rates remain below the county average Five-year projections see the rate remaining at near 52 Renter occushypancy decreased 7 from 2000 This decrease is expected to continue and could indicate a shift towards home ownership

trends in construction activity are near a decade low After a drop at the beginning of the decade

both residential and non-residential building permit values remained comparably stable Residential values have decreased roughly $3570000 (70) since 2007

401

21

553

401 Increase Since 2000

35 40

43

129

35 Sebastopol 30

Sonoma County 25

00 09 14 Source ESRI Business Analyst (httpwwwesricom)

Sebastopol and Sonoma County Renter-Occupied Housing

50

45

40 Vacancy

Mill

ions

of D

olla

rs

Value of Residential amp Non-residential Building Permits In Sebastopol Non-residential ($ Millions Includes Alterations and Additions)

$15

$12

$9

$6

$3

$0

2009 $1524900

2009 $1658900

00 01 02 03 04 05 06 07 08 09

Source Construction Industry Research Board (wwwcirbdatacom)

Residential

wwwsonomaedborg

5

Consumer Spending amp Taxable Sales

Sebastopolrsquos total taxable sales have remained relatively stagnant after strong growth ended in 2001 All across Sonoma County taxable sales have been falling Since 2007 sales have decreased by 9 in Sebastoshypol compared to a county-wide average decrease of 65

Compared to the national average Sebastoshypol residents spend considerably more per capita on housing computers education and food away from home They spend considerably less on apparel The largest consumer expenditures were on general retail goods shelter food at home and health care

Decrease Since lsquo07

Sebastopol Total Taxable Sales

$150m

$140m 9 $130m

$120m

$110m 226Increase $100m Since lsquo98

Source California Board of Equalization (wwwboecagov)

2008 Total $137976000

98 99 00 01 02 03 04 05 06 07 08

2009 City of Sebastopol Consumer Spending by Commodity

General Retail Goods $88000000

Shelter $61000000 Food at Home $16000000

Health Care $12000000

Food Away from Home $12000000

Entertainment amp Recreation $12000000

Household Furnishings amp Equip $7000000

Travel $7000000

Apparel amp Services $6000000

Investments $6000000

Education $4000000

TV Video amp Sound Equipment $4000000

Vehicle Maintenance $3000000

Computers amp Accessories $1000000

Shelter

General Retail Goods Entertainment amp Recreation

Apparel amp ServicesInvestments

Education TV Video amp Sound Equipment

Vehicle Maintenance Computers amp Accessories

HH Furnishings amp Equip

Travel

Health Care

Food Away from Home

Food at Home

Source ESRI Business Analyst (wwwesricom)

wwwsonomaedborg

6

ographics Unit CA Department of Education Source ALL Educational Dem

Education

The National Center for Education Statistics (NCES) adjusted high school dropout rate for the West Sonoma County Union District (61) is below the state average (189) Students identifying as Caucasian which make up 778 of the districtrsquos student population had a dropout rate of 55 These rates do not reflect student transfers to alternative schools

The percentage of English learners in the West Sonoma County District (33) is far below the county (26) and state (242) averages Over the past decade English learners in the West Sonoma County School District have decreased by 125 annually The percentage of English learners in Sonoma County has increased nearly 80 over the past decade In 2001 the percentage of English learners was just 151

SAT scores for college-bound high school graduates in West Sonoma County is the highest in the county and is above the state and national averages

Sebastopolrsquos high schools are calculated within West Sonoma County Union

919

16

Adjusted NCES High School Dropout Rate 2007-2008

West Sonoma County Union

Petaluma Joint Union

Cotati-Rohnert Park Unified

Sonoma Valley Unified

Cloverdale Unified

Windsor Unified

Healdsburg Unified

Santa Rosa City

98

61

97

105

118

155

16

114

The NCES defines dropout as students who do not achieve a diploma or GED during their first four years of high school

2008

Average Total SAT Scores by School District

1000 1250 1500 1750 2000

West Sonoma County Union

Santa Rosa City

Petaluma Joint Union

Sonoma County

Cotati-Rohnert Park Unified

Healdsburg Unified

Sonoma Valley Unified

Windsor Unified

US

State

Cloverdale Unified

Roseland Charter

1664

1654

1604

1601

1584

1582

1568

1531

1511

1500

1486

1194

649

He

Sono

C

o

st

C

We

tati-Roh

Peta

Sono

By District 2008-2009

Roseland Charter

aldsburg Unified

ma Valley Unified

loverdale Unified

Windsor Unified

nert Park Unified

Santa Rosa City

luma Joint Union

33

0 10 20 30 40 50 60 70

ma County Union

649

377

329

214

177

156

25

156

English Learners

wwwsonomaedborg

7

With Acknowledgment and Appreciation to Local Key BusinessesSupporting Sonoma County Economic Development

EDBSonoma County

Economic Development Board

Executive

Director

Sponsor

Sonoma County Health Services Sonoma County Transportation amp Public Works County of Sonoma Board of Supervisors

wwwsonomaedborg

County of Sonoma General Services Real Estate Division

• 2010-9-10 Sebastopol ADA
• • 2009SebastopolCoverSmaller
  • 2010CityReportsToC
  • 2009SebastopolCoverLetter
  • 2009SepastopolReport(p1)
  • 2009SebastopolReport(p2)
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  • 2009SebastopolReport(p5)
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