TITLE
Recommendation to declare ordinance approving the Belmont Shore Parking and Business Improvement Area program continuing the assessment for the period of October 1, 2006 through September 30, 2007 with an increased assessment rate, read and adopted as read. (District 3)
DISCUSSION
The Belmont Shore Business Association (BSBA) uses business license assessment funds to promote and market the commercial area along Second Street on behalf of businesses located in the Belmont Shore Parking and Business Improvement Area (BSPBIA). The BSBA governs the assessment to be collected. To continue the assessment levy, state law requires that a public hearing be held on the proposed program and assessment. A copy of the Assessment Report describing proposed activities and allocations is provided (Attachment A). These items were reviewed by the City Council at its meeting of August 22 2006. The Assessment Report describes boundaries, proposed activities and budgetary information , as well as the method and basis for continuation of the assessment. The report proposes changes to the assessment structure , for the first time in 14 years, for businesses located within the district. The change in assessment rate results in an increase in Fiscal Year 2007 revenue from an estimated $89 000 to an estimated
$153 000. As shown in the Assessment Report, the additional revenue wil be allocated primarily to regional marketing of the district. State law further provides that the City Council shall hear and consider all protests against the assessment, program , boundaries of the area , and/or any benefit zone as proposed in the Assessment Report. The Assessment Report, transmitting the recommendations of the BSPBIA Advisory Commission , proposes the following: Increasing the assessment rate shown in the attached resolution and annual report summarized as follows:
Make no significant changes in promotional events program. Increase regional marketing activities and expenditures. Make no changes in the existing boundaries. The law provides that protests may be made orally or in writing. Protests regarding the regularity or sufficiency of the proceedings shall be in writing. If written protests are received from area business owners representing 50 percent or more of the proposed assessments, the City Council shall not levy the assessment. If protests in such quantity are directed against a specific portion of the program , the City Council shall eliminate that portion. A copy of RES 06-0092 was mailed to all businesses in the district on August 30, 2006. A hearing notice and copy of the resolution was also published in local media as
required. The attached ordinance amends ordinance C-5963. Should the Assessment Report be approved , the City Council is requested Should the Assessment Report be approved , the City Council is requested to authorize the execution of an agreement with the BSBA for the use of assessment funds for promotional purposes. This letter was reviewed by Assistant City Attorney Heather Mahood on August 16 2006, Budget Management Officer David Wodynski on August 30, 2006, and the City Treasurer s Office on August 24, 2006.
TIMING CONSIDERATIONS
The BSBA contract year begins October 1 , 2006. City Council action is requested September 12, 2006 , to allow sufficient time to complete necessary documents before the beginning of the contract year.
FISCAL IMPACT
The recommended contract amount for Fiscal Year 2007 (FY 07) is $153 000. Sufficient funds will be appropriated in the FY 07 Budget in the Parking and Business Area Improvement Fund (SR 132) in the Department of Community Development (CD).
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
NAME |
APPROVED: |
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GERALD R. MILLER |
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CITY MANAGER |