TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary to enter into contracts, including any necessary subsequent amendments, in an aggregate total amount not to exceed $100,000, with organizations that manage Business Improvement Districts to deliver programs funded by the Long Beach Recovery Act Visual Improvement Program. (Citywide)
DISCUSSION
Long Beach Recovery Act
On March 16, 2021, the City Council adopted the Long Beach Recovery Act (LB Recovery Act) becoming one of the first major cities to approve COVID-19 recovery programs made possible through the federal American Rescue Plan Act (ARPA) and other federal and State funding sources. Additional adjustments to the LB Recovery Act were made as part of the Adopted Fiscal Year (FY) 2022 Budget and periodic adjustments will be brought to the City Council as needed. Additional information about the LB Recovery Act is available at www.longbeach.gov/recovery <http://www.longbeach.gov/recovery>. As part of the Long Beach Recovery Act, under the category of Economic Recovery, approximately $650,000 has been allocated for the Visual Improvement Program (VIP) to address the increase in property damages due to vandalism experienced by businesses during the pandemic.
Homelessness Emergency Proclamation: Small Business Recovery Support Programs
On January 10, 2023, the City Council adopted the City Manager’s proclamation of a local homelessness emergency. The declaration of a local emergency will strengthen the City of Long Beach’s (City) preparedness and ability to respond to homelessness. As a part of the emergency effort, the City Council requested that City staff work on establishing grant funds for local businesses that have been affected by impacts potentially related to the homelessness crisis. As the City focuses efforts on creating and strengthening structures, programs, and resources to assist people before they enter homelessness or to support them back into housing if they start to experience homelessness, the City will continue to support small businesses that may be affected by the crisis as many are still recovering from the events of the last two years. Supporting small businesses at this time is also a form of upstream prevention as many small businesses work from tight margins, and during times of emergency and crisis can use assistance to keep their businesses operating and people employed.
Staff looked at the Long Beach Recovery Act (LB Recovery Act), a combination of State, local, and federal funds, to determine which programs could afford a portion of their funding to be repurposed to support both the LB Recovery Act and these additional local emergency efforts. The city staff has identified $650,000 from repurposed LB Recovery Act funds to directly support small businesses through the VIP, including a total of $100,000 in funding for Business Improvement Districts (BID) to support sidewalk activation, special events, and clean and safe initiatives. Additional information regarding these programs was issued on February 1, 2023 through a memorandum from the City Manager to the Mayor and City Council and is also attached.
VIP BID Grant Funding
The VIP grants are available to BID Associations that have supported businesses and local economic recovery through the COVID-19 pandemic and that are/have been responsible for managing BIDs under contract with the City.
These VIP grants will be calculated to be proportionate with the previous LB Recovery Act BID Grant awards, accounting for the number of businesses served in each BID, and funding will be made available as quickly as possible. BID activities will be tracked through, reported on, and communicated via the LB Recovery Act website.
|
BID Organization |
Proposed |
|
Belmont Shore PBIA |
$9,192.65 |
|
Bixby Knolls PBIA |
$11,803.30 |
|
Downtown PBIA |
$11,803.30 |
|
Downtown PBID |
$11,803.30 |
|
Fourth Street PBIA |
$6,743.01 |
|
Long Beach TBIA |
$10,020.70 |
|
Magnolia PBID |
$9,181.15 |
|
Midtown PBID |
$8,330.11 |
|
Uptown PBID |
$9,319.16 |
|
Zaferia PBIA |
$11,803.30 |
|
Total |
$100,000.00 |
This matter was reviewed by Deputy City Attorney Marsha Yasuda and Recovery and Business Services Manager Tara Mortensen on February 2, 2023, and by Recovery Budget Officer Dee Okam on February 3, 2023
TIMING CONSIDERATIONS
Approval for this item is requested on February 21, 2023, to enable grant agreement execution with each association and funding distributed in a timely manner.
FISCAL IMPACT
The LB Recovery Act has identified $650,000 for the VIP. The contracts for the BID grants under this program will not exceed an aggregate total of $100,000 and will be funded through
the VIP of the LB Recovery Act. Sufficient funding for the contracts is currently budgeted in the General Fund Group in the Economic Development Department. For administrative efficiency and for reporting and auditing purposes, the funding source for this program is the General Fund based on funds made available as a result of the City’s approach to using the majority of federal ARPA funds to maintain existing City services in compliance with the U.S. Department of Treasury’s Final Rule, thereby freeing up General Fund monies for the LB Recovery Act programs. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
[Enter Body Here]
Respectfully Submitted,
BO MARTINEZ
DIRECTOR OF ECONOMIC DEVELOPMENT
APPROVED:
THOMAS B. MODICA
CITY MANAGER