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Receive a report on the Solano County 2025 Index of Economic and Community Progress
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Published Notice Required? Yes ____ No _X _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
It is recommended that the Board of Supervisors receive a report on the Solano County 2025 Index of Economic and Community Progress.
SUMMARY:
The Solano County 2025 Index of Economic and Community Progress was prepared by Dr. Robert Eyler, President of Economic Forensics and Analytics in Petaluma, in collaboration with the Solano County Administrator’s Office and the Solano Economic Development Corporation. Commissioned by the Solano County Board of Supervisors, the Index provides a comprehensive overview of the economic and community trends shaping the county’s future. Now in its 18th edition, the Index tracks a broad range of indicators related to the labor market, business activity, income and wages, population trends, education, housing, and workforce readiness. The report is designed to help local leaders, businesses, and residents better understand the county’s economic conditions and long-term opportunities and challenges. The full report is available on the Solano County website in the Economic Reports section.
FINANCIAL IMPACT:
The cost to develop the report is $25,000 and is included in the County’s Promotion FY2025/26 Working Budget. The cost of preparing the agenda item is nominal and is included in the County Administrator’s FY2025/26 Working Budget.
DISCUSSION:
The Solano County Index of Economic and Community Progress was launched in 2007 following a series of economic summits sponsored by the Board of Supervisors. The purpose of the Index is to provide reliable, data-driven information to help guide decisions that support the long-term economic health of Solano County. The first editions of the report were prepared by Collaborative Economics for the County of Solano and the Solano Economic Development Corporation. Since 2013, the annual Index has been prepared by Dr. Robert Eyler of Economic Forensics and Analytics.
The Index tracks major economic and community trends in Solano County, including employment, income, inflation, housing, education, and workforce conditions. The 2025 report shows that the local economy continued to grow, although at a slower pace than in 2024. Local employers added approximately 1,100 jobs in 2025, while about 2,800 more county residents became employed. Employment levels also remained above the pre-pandemic levels seen in 2019. The report also notes several ongoing challenges. Solano County’s unemployment rate increased slightly to 5.3 percent in 2025 as labor force growth outpaced job growth. Inflation continued to affect households and employers, although wage growth has begun to improve purchasing power. Housing prices are forecast to decline modestly through early 2027, improving affordability, while commute times have improved slightly but remain among the longest in California.
The following highlights summarize several of the key findings from the 2025 Index of Economic and Community Progress. Additional analysis and detail will be presented in the full Index report and during the presentation to the Board of Supervisors on June 9, 2026.
Our Changing Economy
n Solano County’s economy continued to show moderate growth in 2025, despite ongoing shifts across major industries. Employers added approximately 1,100 payroll jobs in 2024, representing a 0.8 percent increase and bringing total farm and non-farm employment to 147,600 workers. The county’s labor force also expanded significantly, growing by 4,500 workers in 2025, a 2.1 percent increase from the prior year. At the same time, the number of employed Solano County residents rose to 209,100, reflecting an increase of 2,800 workers following revised labor market data.
n The County’s average unemployment rate increased slightly to 5.3 percent in 2025, compared with a revised 5.0 percent average in 2024. Employment gains were concentrated primarily in healthcare, leisure and hospitality, and construction industries, while manufacturing and retail sectors experienced declines. Industries serving markets outside Solano County, often referred to as “base” industries, declined by approximately 1,159 jobs in the second quarter of 2025 compared with the same quarter in 2024. In contrast, locally serving industries added approximately 3,249 jobs during the same period.
n Economic output also strengthened. Based on the latest available data, Solano County’s inflation-adjusted gross domestic product increased by 6.0 percent in 2024, outpacing both State and national economic growth following revised negative growth in 2023. Personal income per capita increased by $1,063 in 2023, a 4.6 percent gain, as inflation pressures moderated during 2024. However, median household income declined by 4.0 percent in inflation-adjusted 2017 dollars, falling to $77,223 based on five-year average estimates.
n Local wages continued to improve modestly. Median hourly wages for Solano County workers increased by $0.63 in 2025 and rose slightly above the statewide median wage. Poverty rates increased marginally in 2024 to approximately 10.0 percent of residents, compared with 9.7 percent in the previous year’s estimates. Meanwhile, the county’s cost of living rose by an estimated 0.3 percent in 2024, increasing at a faster pace than State and national averages.
n Agriculture experienced a slight decline, with total agricultural values decreasing by 4.9 percent in 2024 to just over $437.9 million.
n Social equity indicators showed improvement during 2024, particularly for African American residents based on five-year average measures.
Our Changing Community
n Solano County’s population continued to decline modestly in 2025. Following revised data released in April 2026, the county’s population decreased by 1,529 residents, or 0.34 percent, bringing the total population to 452,050. Long-range forecasts released in March 2026 estimate the county’s population will reach 507,104 by 2050, a notably lower projection than previous forecasts issued in 2025.
n Educational outcomes showed mixed results during the 2024-2025 academic year. Solano County’s high school graduation rate declined slightly to 89.1 percent, although it remained marginally higher than the statewide average.
n The housing market softened in 2025, with the county’s median home price decreasing by 3.1 percent to $577,800. As prices declined, housing affordability improved modestly for residents. Forecasts released in March 2026 projected an additional 2.8 percent decline in housing prices through March 2027.
n Development activity slowed but continued to progress toward regional housing goals. A total of 1,180 permits for new housing units were issued during FY2024/25, representing slower growth compared with the previous fiscal year. Commercial development also moderated, with approximately 156,720 square feet of new commercial space permitted during FY2024/25.
n Transportation and commuting patterns showed slight improvement. Estimated commute times declined to 31.0 minutes in 2024, approximately 0.8 minutes shorter than the previous year based on five-year average data. Solano County ranked 46th out of California’s 58 counties for longest commute times, an improvement from 49th place in 2023.
n Countywide property values continued to increase, with assessed property values exceeding $78.0 billion during FY2024/25. However, inflation-adjusted taxable sales declined by 3.1 percent in calendar year 2025, reflecting continued moderation in consumer spending.
ALTERNATIVES:
The Board could choose not to receive this report; however, this is not recommended, as this is an opportunity for the Board to learn about the economic indicators shaping the local economy.
OTHER AGENCY INVOLVEMENT:
The County Administrator’s Office prepared the Index in partnership with the Solano Economic Development Corporation (Solano EDC).
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION