City of Culver City, California
Agenda Item Report
Meeting Date: 11/01/10 Item Number: A-1
CITY COUNCIL AGENDA ITEM: (1) Approval of the Downtown Culver City Business
Improvement District Advisory Committee’s Annual Work Program and Budget,
and (2) Adoption of a Resolution of Intention to Conduct a Public Hearing for
Continuation of the Downtown Business Improvement District.
Contact Person/Dept.: Glenn Heald
Todd Tipton/Community Development
Phone Number: (310) 253-5752 and (310)
253-5783
Fiscal Impact: Yes [] No [X] General Fund: Yes [] No [X]
Public Hearing: [] Action Item: [X] Attachments: [X]
Commission Action Required: Yes [] No [X] Date: _______________
Public Notification: (E-Mail and Telephone) Downtown Business Association (09/05/10);
(E-Mail) Meetings and Agendas – City Council (10/27/10).
Department Approval:
Sol Blumenfeld (10/25/10)
City Attorney Approval:
Carol Schwab (by H. Baker) (10/27/10)
Chief Financial Officer Approval:
Jeff Muir (by M. Noller) (10/27/10)
City Manager Approval:
John M. Nachbar (10/27/10)
RECOMMENDATION:
Staff recommends the City Council approve the Downtown Culver City Business
Improvement District (BID) Advisory Committee’s annual Work Program and
Budget for 2011 (Report), and adopt a Resolution of Intention to conduct a public
hearing on November 22, 2010, to consider the continuation of the Culver City
Downtown BID (Attachment No. 1).
BACKGROUND:
A BID provides a mechanism for businesses to levy assessments on themselves
for, among other things, the maintenance of public spaces and the acquisition,
construction, installation and maintenance of specific improvements. The BID
allows downtown businesses to be more self-reliant, reducing their dependence on
the City and Redevelopment Agency.
Culver City’s Downtown BID was formed in September 1998, when the City
Council adopted Ordinance No. 98-011 in accordance with the Parking and
Business Improvement Area Law of 1989.
The BID Work Program is managed by the Downtown Business Association (DBA)
in accordance with the Management Agreement between the DBA and the City.
The Management Agreement requires the DBA to maintain tax-exempt status with
the Internal Revenue Service, maintain general liability insurance in an amount
specified by the City Attorney’s Office, and submit quarterly reports and budget City of Culver City, California
Agenda Item Report
updates to the Community Development Director describing progress toward
completing their approved work program.
In accordance with the legal process for renewing a BID, the City Council is
required to review and approve the BID Advisory Committee’s Report during a
public meeting. The Report describes any proposed changes in the BID
boundaries, a description of activities to be undertaken (a work program), an
estimate of the cost to provide the activities (a budget), the assessment formula,
the amount of surplus/deficit to be carried over from the previous year, and the
amount of other expected BID contributions. The City Council may modify any
particular element contained in the report and approve it as modified or determine
to not approve the Report.
At the conclusion of the public meeting, the City Council is requested to adopt a
Resolution of Intention to conduct a public hearing if the BID is to be continued for
2011. Upon completion of the public hearing, which has been tentatively
scheduled for November 22, 2010, the City Council is requested to consider a final
resolution to formally continue the BID. The public will be notified of the public
hearing in accordance with state law.
DISCUSSION:
Accomplishments 2010
The BID accomplished a great deal in 2010. The accomplishments (attached) are
extensive and relate to maintenance, communication and image, and advocacy and
administration.
BID Assessments 2010
During 2010, there were 136 businesses subject to the BID assessment. Of these,
the assessment was collected from 120 businesses (88%). The total amount
collected was approximately $154,518. The remaining 16 businesses owe part or
all of their assessment(s). If payment is not received after a delinquent notice, the
BID Advisory Committee has the option to enact further collection efforts pursuant
to the Management Agreement.
BID Activities Planned for 2011
In October, the BID Advisory Committee filed the attached 2011 Work Program
and Budget with the City Clerk. The Advisory Board proposes to continue its
activities related to maintenance, communication and image, and advocacy and
administration.
City of Culver City, California
Agenda Item Report
BID Assessments 2011
The proposed activities will be funded primarily through the assessment, which
applies to certain downtown businesses (attached). The Advisory Committee does
not propose any changes to the Advisory Committee structure nor to the
boundaries of the parking and business improvement area. A map illustrating the
BID boundaries is included as Exhibit “A” to the proposed resolution. The Advisory
Board recommends no increase in assessment rates for 2011 and that the
assessment schedule remain unchanged. The assessment rates are attached for
reference.
The BID activities and estimated costs for the coming year are set forth in Exhibit
“C” to the proposed resolution (Proposed 2011 Work Program Budget). All funds
collected are used for BID activities to enhance the business community within the
BID area, attract new investment, and improve the quality of life for all downtown
users.
Notes:
1. Business owners with multiple business licenses/operations at the same
address will be assessed only the single highest applicable rate.
2. Business owners with multiple business locations within the BID area will be
assessed separately at each location.
3. Commercial rentals will be assessed for each building location, not each tenant
space.
4. Multiple independent business owners at the same address will be assessed
separately at their respective rates.
FISCAL ANALYSIS:
The BID’s quarterly financial statements for 2010 are attached for reference.
These financial statements denote activities undertaken and funds expended
during the DBA’s 2010 fiscal year. As previously stated, funds from the 2011 BID
assessment are proposed to be used for business enhancement, marketing and
promotional activity and other items in accordance with Law. During 2011, the BID
anticipates assessment revenues of $164,000 and carry-over funds in the amount
of $29,640. The DBA funds the entire salary of the Executive Director.
There is no fiscal impact to the City for the approval of the BID Annual Work
Program or resolution of intention to conduct a public hearing for the continuation
of the BID for 2011.
City of Culver City, California
Agenda Item Report
ATTACHMENTS:
1. Resolution of Intention, including BID Boundary Map (Exhibit “A”), Proposed
Assessment Schedule (Exhibit “B”), and 2011 BID Work Program and Budget
(Exhibit “C”).
2. BID accomplishments during 2010.
MOTION:
That the City Council:
1. Approve the 2011 BID Advisory Committee’s Annual Work Program and
Budget as filed with the City Clerk; and,
2. Adopt a Resolution of Intention setting November 22, 2010, as the date for a
public hearing to consider the continuation of the Downtown Culver City
Business Improvement District.
MEETING DATE: 11/01/10
AGENDA ITEM: Approval of the Downtown Culver City Business
Improvement District Advisory Committee's Annual
Work Program and Budget, and Adoption of a
Resolution of Intention to Conduct a Public Hearing
for Continuation of the Downtown Business
Improvement District.
ATTACHMENTS
Pages
1. Resolution of Intention, including BID Boundary Map (Exhibit "A"),
1-9
Proposed Assessment Schedule (Exhibit "B"), and 2011 BID Work
Program and Budget (Exhibit "C").
2. BID accomplishments during 2010. 10-11Attachment 'I
RESOLUTION NO. 2010-R A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF CULVER CITY, CALIFORNIA, DECLARING
ITS INTENTION TO CONDUCT A PUBLIC HEARING
TO CONSIDER CONTINUATION OF THE
DOWNTOWN CULVER CITY BUSINESS
IMPROVEMENT DISTRICT ON NOVEMBER 22,
2010.
WHEREAS, the Parking and Business Improvement Area Law of 1989
(California Streets and Highway Code, sections 36500 et seq. (hereinafter, the
"Act")) authorizes cities to establish parking and business improvement districts for
the purpose of imposing assessments on businesses for certain purposes; and
WHEREAS, the City established by Ordinance No. 98-011 and
Ordinance No. 2000-027 the Downtown Culver City Business Improvement District
(the "District"); and
WHEREAS, on November 1, 2010 1 the City approved the District's
Annual Report (work program and budget), prepared by the Culver City Business
Improvement District Advisory Committee.
NOW, THEREFORE, the City Council of the City of Culver City DOES
HEREBY RESOLVE as follows:
1. Pursuant to the provisions of the Act, the City Council declares
its intent to levy and collect assessments for the year 2011 within the District.
2. The proposed boundaries of the District are set forth in Exhibit
"A," which is attached hereto and incorporated herein by reference, and are the
same as those contained in Ordinance No. 2000-027 and Ordinance No. 98-011.|101010101010101010 10
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283. The improvements and activities proposed for the District shall
be funded by the levy of assessments on businesses within the District
boundaries and may include, but are not limited to, the following:
a. General promotion of business activities within the
District;
b. Promotion of public events which benefit businesses in
the District and which take place on or in public places within the
District;
c. Decoration of any public place within the District; and,
d.
Acquisition, construction, installation or maintenance of
improvements identified in section 36510 of the Act.
4. The City Council intends to levy assessments on businesses
located within the boundaries of the District, in the amounts and on the business
classifications set forth in Exhibit "B," which is attached hereto and incorporated
by reference as though fully set forth herein.
5. Except where funds are otherwise available, an assessment to
pay for all specified improvements and activities within the District will be used to
fund the activities and improvements shown on Exhibit "C."
6. The District's Annual Report, on file with the City Clerk, should
be referred to for a full and detailed description of the improvements and
activities to be provided for the year 2011, the boundaries of the District and the
assessments proposed to be levied upon the businesses within this District.
7. Businesses commenced during the year following the renewal
of the District shall not be exempt from such assessments, but shall be assessed
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28the appropriate amounts as listed on Exhibit "B" in a prorated manner, based
upon the number of whole months remaining in the assessment period.
8. The City Council shall hold a public hearing on the 22 nd day of
November 2010, at 7:00 p.m., or as soon thereafter as this matter may be heard,
in the Culver City City Council Chambers at 9770 Culver Boulevard, Culver City,
California.
9. At the above-referenced public hearing, written and oral
protests may be made.
10. The City Clerk shall certify to the passage of this Resolution
and cause the same to be published once in a daily newspaper of general
circulation in the Culver City area, not less than seven days before the above-
referenced public hearing.
APPROVED and ADOPTED this day of 2010_
CHRIS ARMENTA, MAYOR
City of Culver City, California
ATTEST: APPROVED AS TO FORM:
CAROL A_ SCHWAB, City Attorney
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MARTIN COLE, City Clerk
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:-...........-- ... L- -,I- -,- jExhibit B
Downtown Culver City-Business Improvement District-
Report of Proposed Year 2011 Work Program and Budget
The Downtown Culver City Business Improvement District Advisory Committee ("Advisory
Committee") is pleased to present its Proposed Year 2011 Work Program and Budget. This
report is prepared in accordance with the requirement of Culver City Ordinance No. 98-011,
which established the Downtown Culver City Business Improvement District ("DCCBID"), the
Business Improvement District Management Agreement between the City of Culver City ("City")
and the Culver City Downtown Business Association ("CCDBA"), and the Streets and Highways
Coda, section 36533.
The Advisory Committee does not propose any changes to the Advisory Committee structure, nor
to the boundaries of the parking and business improvement area. A map illustrating BID
boundaries is included as Exhibit A. The Advisory Board recommends the assessment schedule
as follows:
Business Type
City Business License Code Annual BID Fee
TYPE A
Retail 1-1000 sq. ft. 036-144, 396, 399, 402
Retail 1001-2500 sq. ft.
Retail 2501-5000 sq. ft.
Retail > 5000 sq. ft.
Hotel 456, 480
Bar/Restaurant: Total Seats, both Indoor & Outdoor: 390, 654-690
0-50 seats
51-100 seats
>100 seats
Computer Graphics & Computer Services 152, 200
Martial Arts Studio, Health Studios, Hair Salon 744, 276
0-25,000 sq. ft.
> 25,000 sq. ft.
$ 351
$ 585
$ 877.50
$1170
$1755
$1170
$1755
$2340
$ 585
$ 585
$1170
TYPE B
Theaters
858
$2.34/seat
Live Performance
858
$1.17/seat
TYPE C
All others, not listed $351
TYPE D
Banking Institutions 0-7500 sq. ft. 342 $1170
Banking Institutions > 7500 sq. ft $1755
Film Studios 490, 498 $1170
Recording Studios 554 $1170
Utilities $1170
Hospitals > 20,000 sq. ft. 780 $2340
Hospitals and Clinics < 20,000 sq. ft. $1170
TYPE E
Commercial Rentals 432
<5,000 $1170
5,001-15,000 $1755
15,001-25,000 $2340
25,001-35,000 $2925
Over 35,000 $3510The DCCBID's activities and estimated costs for the coming year are set forth in Exhibit "B"
Proposed Year 2011 Work Program Budget. All funds collected are used for BID activities which
strengthen the business climate within the BID area, attract new investment and improve the
quality of life for all downtown users.
Note:
1. Fee for individual business owners with multiple business licenses/operations at the
same address will be based on the single highest category.
2. Business owners with multiple business locations within the BID area will be assessed
separately at each location.
3. Commercial rentals will be assessed for each building location, not each tenant space.
4. Multiple independent business owners at the same address will be assessed separately
at their respective rates.Exhibit C
The Advisory Board proposes the following Work Program for 2011:
MAINTENANCE
The DBA Clean Team will continue to provide downtown maintenance services per the
Memorandum of Understanding (MOU) between the City of Culver City and Culver City
Downtown Business Association. MOU services are separately funded by a separate agreement
between the City of Culver City and the DBA. Other Work Plan items outside of Maintenance are
not funded by MOU dollars. Downtown Maintenance services, including both MOU agreed and
DBA provided services, are as follows:
• Sidewalk maintenance program:
o Personnel to sweep litter, debris and refuse from sidewalks, alleys (paseos)
and gutters of the District
o Empty sidewalk trash receptacles throughout District daily
o Sweep and pressure wash District sidewalks, Town Plaza, paseos, alleys
and parking structure stairwells, landings, alleys and entrance ramps on a
monthly schedule throughout the year
o
Bi-annual pressure washing of parking structure stalls, floors and drive lanes
o Monthly pressure washing of parking structure entrances, landings and
stairwells; Wipe down of parking structure elevators to maintain a clean
appearance
o Sweep and maintain areas around trash compactors
o
Street furniture to be wiped and cleaned daily (benches, bike racks, parking
meters, mailboxes, and pay phones)
o DBA Clean Team on streets daily, 10arn to 4pm (Sun-Thurs) and 1pm to
7pnn (Fri and Sat)
• Landscape Program:
o Weed abatement in planters, medians, sidewalks and tree wells
o Trash and debris will be removed from planting areas
o Removal and replacement of dead vegetation
o Trimming of bushes and shrubs
o Plants and flowers to be provided in planting areas and pots on an annual
basis
• Graffiti reporting:
o Graffiti is logged and reported immediately to the City Graffiti Removal Team
for removal
o Paper signs and handbills will be removed
COMMUNICATION/IMAGE
• Continue and extend marketing efforts of Downtown Culver City; by creating marketing
partnerships with established and new downtown businesses, pursuing promotional
opportunities and actively seeking visibility with media outlets.
• Continue development of the
Downtown Third Wednesday Block Parties; increasing
participation of downtown businesses, expanding the scope of the event, raising
awareness and increasing attendance.
• Continue efforts to establish a lunchtime shuttle between Hayden Tract and Downtown
Culver City• Maintain, enhance and promote website, by increasing functionality and providing greater
services to members and the general public.
• Fully utilize social media networking (i.e. Facebook, Foursquare, etc) for the promotion of
Downtown Culver City.
• Creation and distribution of a new monthly e-newsletter, linked to the website
• Partner with the City of Culver City and the downtown business community to create a
festive holiday atmosphere for downtown
• Partner with City of Culver City to produce the annual Holiday Tree Lighting Ceremony
• Maintenance of year-round Culver Blvd. decorative tree lights (twinkle lights)
ADVOCACY & ADMINISTRATION
• Employ a full-time Executive Director in order to ensure the successful management and
administration of DBA programs and to provide efficient and timely communication to the
DBA constituency
• Continue management of the Culver City Downtown Valet Parking Program; working with
City of Culver City Engineering to determine best practices for a successful program-
•
Continue management of downtown maintenance program, includingincreased services
set forth by the IVIOU agreement with the City of Culver City
• Proactive communication with City Council, staff, and the community on policy and
development issues impacting Downtown Culver City.
• Continue to seek and support community fundraising opportunities, such as the
Community Garden project
• Proactive communication with City on violations of existing codes in relation to aesthetics
and safety of facades and streetscape
• Continuing coordination between City Sanitation Division and businesses to improve the
district dumpster/trash/recycling issue. Work to include increasing the quantity of
dumpsters and trash receptacles, adding recycling bins, as well as improving the
maintenance of trash compactors and dumpsters
• Partner with City of Culver City and other organizations (Culver City Chamber, Downtown
Residents' Association, etc.) on advocacy issues and initiatives that may impact the
quality of life for businesses and all users of downtown Culver City
•
Continue working with the City to develop additional funding to increase the maintenance
and landscape efforts in downtown
•
Fundraising effort will be explored to continue programs such as the Holiday Tree
Lighting and other programs deemed important to the success of downtown
•
Interacting with the City Finance Department to ensure timely assessment billing and
payment
• Day to day communication of programs with DBA constituencyDowntown Culver City-Business Improvement District
Proposed Year 2011 Work Program and Budget
Revenue
2011 BID Assessment Fees $164,000
Carry forward from 2010 assessments $ 29,639
Interest Income $ 60
Memorandum of Understanding (MOU) $122,100
Downtown Valet Revenue (estimated at $1500 @ 12mos) $ 18,000
Total Revenue $333,799
Expenses
Maintenance Management Contract ($2,060 @ 12mos) $ 24,720
-Labor ($1710 per month)
-Fuel ($350 per month)
MOU Maintenance Management ($10,175 © 12mos) $122,100
Uniforms $ 100
Beautification Management (twinkles, addI landscape, etc.) $ 3,500
Total Maintenance Management $150,420
Advocacy/Administration
Executive Director (full-time salary) $ 72,000
City BID Administration Fee (2%) $ 3,280
Professional Fees
$ 2,000
D & 0 Insurance
$ 1,450
Liability Insurance
$ 770
Tax Preparation, Dues, Permits $ 900
Bank Service Charges $ 0
Office Rent $ 0
Telephone $ 1,920
Office Supplies/Postage/Computer Services $ 1,500
Downtown Valet Parking Management
Valet Operations city permit ($300 per each 6mos) $ 600
Valet Stations city permit ($1,290 @ 12mos) $ 15,480
Lot leases ($2,000 @ 12m0s) $ 24,000
Total Administration $123,900
Communication/Image/Downtown Marketing $ 29,840
-Holiday Event ($4,300)
-Downtown Block Parties
-Website/e-newsletter
-Public Relations
-Shuttle Service
-Misc.
Total Communication/Image $ 29,840
2011 Reserves $ 29,639
Total Expenses $333,799Attachment 2
2010 ACCOMPLISHMENTS
MAINTENANCE
• Continuation of the DBA's sidewalk maintenance and landscape program
provided by the DBA Clean Team.
• Coordination with City of Culver City to implement a Memorandum of
Understanding (MOU) for downtown maintenance. The MOU transfers
funding to the DBA to perform increased maintenance and landscape
services in downtown. Beginning September 2008, the following services
are being provided by the DBA per the MOU agreement:
O A sidewalk maintenance program with the DBA Clean Team on the
streets daily conducting the following services: sweep litter, debris and
refuse from sidewalks, alleys (paseos) and gutters of the District, empty
sidewalk trash receptacles, sweep and pressure wash sidewalks, plaza,
paseos, and alleys, parking structure stalls, floors and drive lanes, as
well as entrances, landings and stairwells. Wipe down parking garage
elevators. Sweep and maintain areas around trash compactors, cleaning
of street furniture (benches, bike racks, parking meters, mailboxes, and
pay phones). DBA Clean Team on streets daily.
O A Landscape Program that includes the following: weed abatement in
planters, medians and sidewalks, trash and debris removed from
planting areas, removal and replacement of dead vegetation, trimming of
bushes and shrubs, plants and flowers to be provided in planting areas
and pots on an annual basis.
O Removal of paper handbills and signs, as well as logging and reporting
graffiti to City's Graffiti Removal Team.
• Established a "Maintenance Committee" of the Board of Directors to work on
recycling, sanitation, landscaping and other maintenance issues related to
downtown's business and pedestrian environment.
• Coordination with City Sanitation Division and businesses to improve the
district dumpster/trash/recycling issue. Worked to include increases in the
quantity of trash receptacles placed in the downtown district, as well as
improved maintenance of trash compactors and dumpsters.
COMMUNICATION & IMAGE
• Expanded the "Marketing Committee" of the Board of Directors to develop
programs for promoting Downtown businesses and marketing partnerships
with established and new downtown businesses, as well as seeking visibility
from media outlets.
• Produced the Downtown Third Wednesdays/Summer Block Parties, by
engaging downtown businesses to work collaboratively in order to attract
new visitors to Downtown and raise awareness of Downtown as an vibrant
and exciting nightlife destination.
10• Completed new design of website providing increased functionality and
greater services to members and the general public.
• Began utilizing social media networking for the promotion of Downtown
Culver City.
• Began investigating the possibility of implementing a lunchtime shuttle from
the Hayden Tract to Downtown, which would service both the downtown
businesses, as well as the Hayden Tract employees.
• Maintenance of downtown LED twinkle lights.
• Through development of an events MOU between the DBA and City
Redevelopment Agency, the Annual Holiday Tree Lighting was a co-
sponsored event between the DBA and the Agency.
ADVOCACY & ADMINISTRATION
• Employed a full-time Executive Director in October 2009 in order to ensure
the successful management and administration of DBA programs and to
provide efficient and timely communication to the DBA constituency.
• Established a "Community Relations Committee" of the Board of Directors to
create a vehicle for communication between the DBA, downtown business,
other Culver City organizations and City government.
• Sought to support community fundraising opportunities, such as the
Community Garden project.
• Continue management of the Culver City Downtown Valet Parking Program;
working with City of Culver City Engineering to determine best practices for
a successful program.
• Communicated and worked with City Council, staff, and the community on
policy and development issues impacting Downtown Culver City.
• Expedited communication with the City regarding violations of existing
codes in relation to aesthetics and safety of the downtown district.
• Coordinate with City of Culver City and other organizations (Culver City
Chamber, Downtown Residents' Association, etc.) on advocacy issues
including recycling, outdoor dining standards, smoking regulations and other
initiatives that may impact the quality of life for businesses and all users of
downtown Culver City.
• Established a garden project at Farragut Elementary School and will
continue with development of garden curriculum into next year.
• Enhanced day-to-day management of maintenance and communication
programs as well as constituency services.
• Improved interaction with City to ensure timely assessment billing and
payment.
• Day to day communication of programs with DBA constituency.