Long Beach, CA
File #: 07-1076    Version: 1 Name: CD - Agreement with Bixby Knolls Business Association
Type: Resolution Status: Adopted
File created: 9/13/2007 In control: City Council
On agenda: 9/18/2007 Final action: 9/18/2007
Title: Recommendation to receive supporting documentation into the record, conclude the hearing, and adopt resolution adopting the Bixby Knolls Parking and Business Improvement Area program and assessment for the period of October 1, 2007 through September 30, 2008; and authorize City Manager to execute an agreement with the Bixby Knolls Business Association for a one-year term, (Districts 7,8)
Sponsors: Community Development
Attachments: 1. 091807-H-3sr&att, 2. 091807-H-3handout, 3. RES-07-0124.pdf
Related files: 09-0991
TITLE
Recommendation to receive supporting documentation into the record, conclude the hearing, and adopt resolution adopting the Bixby Knolls Parking and Business Improvement Area program and assessment for the period of October 1, 2007 through September 30, 2008; and authorize City Manager to execute an agreement with the Bixby Knolls Business Association for a one-year term,  (Districts 7,8)
 
DISCUSSION
The Bixby Knolls Business Improvement Association (BKBIA) uses assessment funds to promote and market the Bixby Knolls commercial area on behalf of businesses located in the Bixby Knolls Parking and Business Improvement Area (BKPBIA). The City contracts with the BKBIA annually using assessment revenue collected from BKPBIA members to govern the assessment to be collected and the activities to be funded by the assessment.
 
On July 26, 2007, the BKPBIA Advisory Commission voted to recommend to the City Council approval of the BKPBIA Assessment Report (Assessment Report). The Assessment Report (Attachment A) describes the boundaries, proposed activities and budgetary information, as well as the method and basis for continuation of the assessment.
 
To continue the assessment levy, State law requires that a public hearing be held on the proposed program and assessment. At its meeting of August 21,2007, City Council reviewed the Assessment Report and set a September 18, 2007 hearing date.
 
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 BKPBIA Advisory Commission proposes the following:
 
·      Continue the current year assessment at the following rates:
 
Type A                   $ 135.00 + $ 2.50/employee
Contractors, Manufacturing, Professions, Wholesale, Unique, Insurance
 
Type B                   $ 165.00 + $ 3.25/employee
Services, Vending Operations
Note: Independent contractors secondary to another service business located at the same address pay a discounted base fee of $100.65 (Municipal Code 3.80.243)
 
Type C                   $ 185.00 + $ 4.00/employee
Recreation & Entertainment, Retailing
 
 
Type D                   $ 548.00
Financial Institutions
 
·      Independent Contractors (per Municipal Code 3.80.243) in service-related retail businesses operating at the same address as the primary licensee pay $100.65 per year plus $3.25 per employee.
 
·      Make no significant changes in the activities program.
 
·      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 against a specific portion of the program, the City Council shall eliminate that portion.
 
A copy of RES 07-0113 was mailed to all businesses in the district on August 27,2007.
A hearing notice and copy of the resolution was also published in local media as required. The attached resolution approves the Assessment Report and levy for the period October 1, 2007 through September 30, 2008.
 
Should the Assessment Report be approved, the City Council is requested to authorize extension of the City's agreement with the BKBIA for the use of assessment funds for marketing and promotion activities within the business improvement area.
 
This letter was reviewed by Assistant City Attorney Heather Mahood on July 30, 2007, Budget and Performance Management Bureau Manager David Wodynski on September 10,2007, and the City Treasurer's Office on September 4,2007.
 
TIMING CONSIDERATIONS
The BKBIA contract year begins October 1, 2007. City Council action is requested following public hearing on September 18,2007, to allow timely contract renewal.
 
FISCAL IMPACT
It is estimated that the BKPBIA will generate $160,000 in Fiscal Year 2008 (FY 08) through the proposed continuation of the existing assessment. Assessment funds are collected through additional fees attached to BKPBIA business licenses and passed directly through to the Bixby Knolls Business Association for implementation of annual programs. $155,000 is included in the FY 08 proposed budget in the Parking and Business Area Improvement Fund (SR 132) in the Department of Community Development (CD). There is no fiscal impact to the General Fund.
 
SUGGESTED ACTION
Approve recommendation.
 
Respectfully Submitted,
 
PATRICK H. WEST
DIRECTOR OF COMMUNITY DEVELOPMENT