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CC - PUBLIC HEARING: (1) Introduction of an Ordinance Confirming the Culver City Arts District Business Improvement District’s 2025 Work Program and the Levy of Assessments; (2) Appointment of Members to the Culver City Arts District Business Improvement District’s Advisory Board for Calendar Year 2025; and (3) Approval of an Extension of the Existing Management Agreement with the Culver City Arts District Through December 31, 2025.
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Meeting Date: November 11, 2024
Contact Person/Dept: Elizabeth Garcia/Office of Economic and Cultural Development
Phone Number: (310) 253-5708
Fiscal Impact: Yes [x] No [] General Fund: Yes [] No [x]
Attachments: Yes [x] No []
Public Notification: (E-Mail) Meetings and Agendas - City Council (11/07/2024); Notification to all CCAD Businesses (11/1/24); Notification in the Culver City News (11/7/24)
Department Approval: Jesse Mays, Assistant City Manager (10/30/2024)
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RECOMMENDATION
Staff recommends the City Council (1) introduce the proposed ordinance (Attachment No. 1) confirming the Culver City Arts District Business Improvement District (BID) 2025 Work Plan and the levy of assessments; (2) appoint members to the BID Advisory Board for calendar year 2025; and (3) approve an extension of the existing Management Agreement with the Culver City Arts District (CCAD) through December 31, 2025.
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PROCEDURE:
1. The Mayor announces that this is the time and place for the hearing of protests or objections to the continuation of the BID.
2. The City Clerk announces that the Resolution of Intention, which included notice of this public hearing, was mailed to all affected businesses.
3. The Mayor requests a staff report (if desired).
4. The Mayor seeks a motion to open the public hearing.
5. After receiving all public comments, the Mayor requests the City Clerk to report on any protests received and announce whether a majority protest exists.
6. The Mayor seeks a motion to close the public hearing.
7. (Absent a majority protest) The mayor seeks a motion to overrule and deny all protests.
8. (Absent a majority protest) The Mayor seeks a motion to adopt the proposed resolution.
BACKGROUND/DISCUSSION
The BID renewal process is governed by the California Streets and Highways Code, Sections 36500-36551 (the Law). In accordance with the process prescribed therein, on October 14, 2024, the City Council approved the 2025 BID Annual Report and Budget (Attachment 2) and adopted a Resolution of Intent to conduct a public hearing on November 11, 2024, to consider continuation of the BID work program and to allow public testimony regarding the proposed increased assessments on the BID for calendar year 2025.
CCAD 2025 Work Plan and Levy of Assessments
The proposed 2025 BID Annual Work Program includes:
• Marketing and promotional activities.
• Decoration and beautification and,
• Supplemental maintenance of the BID area in accordance with the Law.
Annual assessments are collected by the City and disbursed to the CCAD, which manages the Work Plan, in accordance with the Management Agreement (Attachment 3) between the City and the CCAD. The BID Advisory Board proposes an increase of 25% to the existing assessments for 2025.
Proposed Ordinance
Pursuant to California Streets and Highways Code Section 36541, an increased assessment requires the adoption of an ordinance after holding a public hearing. In accordance with subsection (b) of City Charter Section 619, the proposed Ordinance will become effective immediately upon adoption. If introduced by City Council at the November 11, 2024 meeting, the Ordinance will be considered for adoption on December 9th.
Advisory Board
State law requires the City Council to appoint an Advisory Board to prepare and submit the Annual Work Plan and Budget. The City Council may appoint the persons recommended by the CCAD or choose other individuals for appointment to the Board.
The CCAD recommends the following persons be appointed to the 2025 BID Advisory Board:
• Josetta Sbeglia
• Janiece Heyward
• Maya Roth
• Noah Baylin
• Lee Chernotsky
• Danaan Whitney
• Francesco Sinatra
• Carlo Marcucci
• Randell Baltazar
Management Agreement
The BID is managed by the Culver City Arts District Advisory Board in accordance with the Management Agreement between the City and the CCAD, which defines and denotes the responsibilities and duties of the City and the CCAD regarding administration of the BID. The CCAD is a nonprofit mutual benefit corporation that administers the annual work program developed by the BID Advisory Board and approved by Council. The current Management Plan expires on December 31, 2024. Staff recommends the City Council approve an extension to the existing Agreement through December 31, 2025.
FISCAL ANALYSIS
There is no fiscal impact to the City relative to the approval of the BID Report or the levy of assessments. Expenses to the City due to the collection and distribution of BID assessments and staff time spent preparing and presenting the two required staff reports are offset by the City’s two percent (2%) administrative fee included in the Management Agreement between the City and the CCAD.
ATTACHMENTS
1. Proposed Ordinance confirming the BID Advisory Board’s Annual Report and the levy of assessments for 2025; and
2. Culver City Art District BID Annual Report (Work Plan and Budget).
3. Culver City Arts District BID Management Agreement
MOTION
That the City Council:
1. (In the event a majority protest is received) Adopt a motion recognizing that protests have been received from the owners of businesses in the proposed district which represent 50 percent (50%) or more of the assessment proposed to be levied, and no further proceedings to continue the Culver City Arts District Business Improvement District shall be taken for a period of one year from the date of this meeting; OR
2. (Absent a majority protest) Introduce the proposed ordinance confirming the Culver City Arts District Business Improvement District Advisory Board’s Annual Report and the levy of the Culver City Arts District Business Improvement District Assessment for Calendar Year 2025; AND
3. Appoint the 2025 Advisory Board as recommended by the Culver City Arts District Business Improvement District;
4. Approve an extension of the existing Management Agreement between the City and the Culver City Arts District through December 31, 2025; AND
5. Authorize the City Attorney to review/prepare the necessary documents; AND
6. Authorize City Manager to execute such documents on behalf of the City.