TITLE
Recommendation to approve the Midtown Business Improvement District Annual Report and Assessment for the period of January 1, 2019 through December 31, 2019, automatically extending the current agreement with the Midtown Property and Business Owners Association for a one-year period; and, authorize payment of $25,256 in City property assessments from the General Fund. (Districts 4,6)
DISCUSSION
Pursuant to the Property and Business Improvement Law of 1994 (Law), the Midtown Business Improvement District (MBID) was established by the City Council in 2015 for a five-year period. Under the Law, Midtown Property and Business Owners Association (MPBOA) property owners are assessed an additional fee to pay for various services beyond those provided by the City, including enhanced maintenance, public safety, beautification, marketing, and economic development programs within the MBID area.
The Law requires that the MPBOA Advisory Board (Board) approve and file an Annual Report describing their projected budget and expenditures. The Fiscal Year 2019 (FY 19) Annual Report is attached for City Council approval (Attachment A). The levy of assessment will cover the period of January 1, 2019 through December 31, 2019. There are no proposed changes to the boundaries, benefit zones, or assessment methodology of the MBID.
The Board-approved MBID rate of assessment is based on parcel size and use, as shown in Section 6 of the Annual Report. The MBID Management Plan allows up to a 4 percent annual cost-of-living increase in the assessment rate. For FY 19, the MBID Board voted to maintain the assessment at the same rate as in FY 18.
ASSESSMENT FORMULA
The MBID assessment area contains properties owned by private commercial owners and the City of Long Beach (City). The original assessment engineer determined the assessment should be allocated based on two parcel characteristics: lot square footage and building square footage. The original assessment rate per assess...
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