TITLE
Recommendation to adopt resolution approving the Annual Report for October 1, 2019 to September 30, 2020, for the Fourth Street Parking and Business Improvement Area, declaring its intention to levy the annual assessment, and setting the date of hearing for Tuesday, November 19, 2019. (District 2)
DISCUSSION
The Fourth Street Parking and Business Improvement Area (FSPBIA) was established by the City Council in 2007, allowing for the levy of an annual business license assessment to be paid by businesses located in the FSPBIA. The City of Long Beach (City) contracts with the Fourth Street Business Improvement Association (FSBIA) to manage the FSPBIA and the FSBIA Board of Directors serves as the Advisory Board to the City Council on matters related to the FSPBIA. The FSBIA promotes and markets the FSPBIA using funds generated through the FSPBIA business license assessment.
State law governing Parking and Business Improvement Areas requires that an Annual Report be submitted to the City Council by the Advisory Board designated for this Assessment District. On September 26, 2019, the FSPBIA Advisory Board voted to recommend to the City Council approval of the 2019-2020 FSPBIA Annual Report (Annual Report) (Exhibit A to the Resolution).
The Annual Report describes boundaries, proposed activities, budgetary information, and provides a method and basis for continuation of the assessment. The Annual Report proposes no change to the FSPBIA boundaries or the method of levying the assessment and no significant change to proposed activities.
The Annual Report, transmitting the recommendations of the Advisory Board, proposes the following assessment rates:
Method of Assessment
Assessments are calculated as follows:
|
Business License Category |
Annual Rate |
|
Financial/Banking & Insurance |
$200 |
|
Service: Real Estate Offices |
$200 |
|
Retail: Restaurant w/Alcohol & RTE |
$200 |
|
Retail: Other |
$200 |
|
Consulting |
$200 |
|
Construction Contractor |
$200 |
|
Professional |
$200 |
|
Service: Other |
$200 |
|
Misc.: Recreation/Entertainment, Vendors, Manufacturing, Wholesale |
$100 |
|
Commercial Space Rental |
$100 |
|
Non-profit Business Operations |
$100 |
|
Residential Property Rental |
n/a |
|
All Secondary Licensees |
n/a |
Each year, the City calculates the Consumer Price Index (CPI) and applies the CPI to various City fees on July 1 of each year. Parking and Business Improvement Area Advisory Boards may request a CPI adjustment for business license assessments. The FSPBIA Advisory Board has decided not to request a CPI adjustment for July 2020.
The recommended Resolution grants approval of the Annual Report, declares the intention of the City Council to levy the assessment for proposed activities, and sets the date of the public hearing for November 19, 2019.
This matter was reviewed by Deputy City Attorney Amy R. Webber on September 30, 2019, and Budget Management Officer Rhutu Amin Gharib on October 3, 2019.
TIMING CONSIDERATIONS
City Council action is requested on October 22, 2019, to set the date of the public hearing for November 19, 2019. The new contract year begins on October 1, 2019.
FISCAL IMPACT
It is estimated that the FSPBIA will generate $14,195 in FY 20 through the proposed continuation of the assessment. Assessment funds are collected by the City on behalf of the FSPBIA through additional fees and passed directly through to the FSBIA for implementation of annual 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.
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Respectfully Submitted,
JOHN KEISLER
DIRECTOR OF ECONOMIC DEVELOPMENT
APPROVED:
THOMAS B. MODICA
ACTING CITY MANAGER