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CC - (1) Review and Approval of the Downtown Culver City Business Improvement District Advisory Board’s Annual Work Program and Budget; and (2) Adoption of a Resolution of Intent to Conduct a Public Hearing on December 12, 2016 to Consider Levy of the Downtown Business Improvement District Assessment for 2017.
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Meeting Date: November 14, 2016
Contact Person/Dept: Glenn Heald/CDD
Todd Tipton/CDD
Phone Number: (310) 253-5752
(310) 253-5783
Fiscal Impact: Yes [] No [X] General Fund: Yes [] No [X]
Public Hearing: [] Action Item: [X] Attachments: Yes [X] No []
Commission Action Required: Yes [] No [X]
Commission Name:
Public Notification:
(E-Mail) Meetings and Agendas - City Council (11/09/16); Mailing to all BID member businesses (10/26/16)
Department Approval: Sol Blumenfeld, Community Development Director (11/07/16)
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RECOMMENDATION:
Staff recommends the City Council (1) approve the Downtown Culver City Business Improvement District (BID) Advisory Board’s annual Work Program and Budget for 2017 (Report); and (2) adopt a Resolution of Intent to conduct a public hearing on December 12, 2016, to consider continuation of the Downtown Culver City BID (Attachment No. 1).
BACKGROUND AND DISCUSSION:
A BID provides a mechanism for businesses to levy assessments on themselves for, among other things, the maintenance and improvement of public areas and promotion of the business district, reducing their dependence on the City for services. The BID Work Program is managed by the Downtown Business Association (DBA) in accordance with the Management Agreement between the City and the DBA [Attachment No. 2(i)].
The Downtown Culver City BID was formed in September 1998 through the adoption of Ordinance No. 98-011 (superseded by Ordinance No. 2000-027) in accordance with the Parking and Business Improvement Area Law of 1989 within the California Streets and Highways Code (the Act).
In accordance with the legal process for renewing a BID specified in the Streets and Highways Code, the City Council is required to review and consider the BID Advisory Board’s Report during a public meeting [Attachment No. 2(ii)]. Upon completion of the public hearing, tentatively scheduled for December 12, 2016, the City Council is requested to consider a resolution to continue the BID and levy assessments. The public will be notified of the public hearing in accordance with state law.
The 2017 BID Report has been filed with the City Clerk, containing a proposed Work Program and Budget included as Exhibit “C” to the proposed Resolution. The Work Program includes:
• Marketing and promotional activities;
• Decoration; and
• Supplemental maintenance of the BID area in accordance with Law.
A map illustrating BID boundaries is included as Exhibit “A” to the proposed Resolution. No changes to the boundaries of the BID are proposed for 2017.
The Assessment Schedule is included as Exhibit “B” to the proposed Resolution (Attachment No. 1). The BID Advisory Board recommends no change to assessment rates for 2017.
FISCAL ANALYSIS:
During 2016, 145 businesses were subject to the BID assessment. Of these, the assessment was collected from 130 businesses (90%). The total amount collected was approximately $176,734. The remaining businesses owe part or all of their assessment(s). A delinquency notice is sent by the City to all BID accounts from which payment was not received on or before the payment deadline. Further collection efforts are then assumed by the DBA pursuant to the Management Agreement. The DBA is currently pursuing collection of delinquent fees for years 2014 through 2016 totaling approximately $35,005.
The 2017 BID budget estimates assessment revenues of approximately $201,854 and carry-over reserve funds in the amount of $38,500. Total anticipated revenue from all sources for 2017 is $278,061.
There is no fiscal impact to the City for the approval of the BID Annual Work Program and Budget or resolution of intent to conduct a public hearing for the continuation of the BID for 2017.
ATTACHMENTS:
1. Resolution of Intention, including BID Boundary Map (Exhibit “A”), Proposed 2017 BID Assessment Schedule (Exhibit “B”), and proposed 2017 BID Work Program and Budget (Exhibit “C”).
2. Notes.
MOTION:
That the City Council:
1. Approve the BID Advisory Board’s 2017 Annual Report as filed with the City Clerk; and,
2. Adopt a Resolution of Intention setting December 12, 2016, as the date for a public hearing to consider the continuation of the Downtown Culver City Business Improvement District for calendar year 2017; and.