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Home My WebLink AboutCity Council - 2008-50 RESOLUTION NO 2008-50 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH DECLARING THE CITY'S INTENTION TO LEVY AN ANNUAL ASSESSMENT FOR FISCAL YEAR 2008-2009 WITHIN THE HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT WHEREAS, the California Legislature, in adopting the Parking and Business Improvement Area Law of 1989 (Streets and Highways Code §36500 et seq) found that cities are authorized to levy assessments on businesses in order to promote economic revitalization and tourism, create jobs, attract new businesses and prevent erosion of business districts, and The California Legislature found that cities are authorized to levy assessments on businesses which benefit from those improvements and activities, and A sizeable majority of the hotel and motel businesses within the City of Huntington Beach requested that the City Council commence proceedings under the Parking and Business Improvement Area Law of 1989 to establish a hotel and motel business benefit area within the City of Huntington Beach and to levy a special assessment to promote tourism and tourist related events, and The City Council formed a business improvement area, known as the Huntington Beach Hotel/Motel Business Improvement District (the "District"), by the passage of Ordinance No 3569 on August 19, 2002 The time has come to continue the existence of the District for fiscal year 2008-2009 by levying assessments on those businesses that benefit from the activities, and The District's Advisory Board has prepared and filed with the City Clerk an "Annual Report/Operating Budget 2007-2008 Fiscal Year to Date" and "Proposed Budget for Fiscal Year 2008-2009" (collectively, "Annual Report"), and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Huntington Beach does hereby resolve as follows SECTION 1 The City Council hereby approves the Annual Report filed by the Advisory Board in the City Clerk's office attached hereto as Exhibit A and incorporated herein by this reference, which includes a proposed budget for Fiscal Year 2008-2009 and a description of the improvements and activities to be provided for Fiscal Year 2008-2009 SECTION 2 To levy and collect assessments within the District area for Fiscal Year 2008-2009 in the amount of 1% on hotel and motel overnight room stays in hotels and motels listed in Exhibit B attached hereto and incorporated herein by this reference 08 1696/24297 1 Hotel#I Resolution No 2008-50 SECTION 3 The type or types of improvements and activities proposed to be funded by the levy of assessments on businesses within the business improvement area are specified in Exhibit A, attached hereto and incorporated herein by this reference SECTION 4 A public hearing shall be held before the City Council on September 15, 2008 , at 6 00 p in , or as soon thereafter as this matter may be heard, 1n the Council Chambers of the City Hall, 2000 Main Street, Huntington Beach, California, at which time the Council will hear all interested persons for or against levying of the assessment, and the furnishing of specified types of improvements or activities Protests may be made orally or in writing, but, if written, shall be filed with the City Clerk at or before the time fixed for the hearing and contain sufficient documentation to verify business ownership and validate the particular protest Any protest pertaining to the regularity or sufficiency of the proceedings shall be in writing and shall clearly set forth the irregularity or defect to which the objection is made The City Council may waive any irregularity in the form or content of any written protest, and at the public hearing, may correct minor defects in the proceedings A written protest may be withdrawn in writing at any time before the conclusion of the public hearing set forth above If written protests are received by the owners of businesses within the District, which will pay 50% or more of the total assessments to be levied, no further proceedings to levy the proposed assessment shall be taken for a period of one year from the date of the finding of a majority protest by the City Council If the majority protest is only against the famishing of a specified type or types of improvements or activity within the District, those types of improvements or activities shall be eliminated SECTION 5 The City Clerk is hereby directed to provide notice of the public hearing by causing the this resolution of intention to be published once in a newspaper of general circulation at least seven days before the public hearing SECTION 6 Further information regarding the proposed business improvement district may be obtained at the Huntington Beach City Hall, 2000 Main Street, Huntington Beach, California 92648, telephone (714) 536-5542, or from the Huntington Beach Conference and Visitors' Bureau, 301 Main Street, Suite 208, Huntington Beach, CA 92648, (714) 969-3492 SECTION 7 The City Clerk shall mail a complete copy of this resolution of intention by first-class mail to each business owner in this area within seven days after the Council's adoption of this resolution 08 1696/24297 2 Hotel#I Resolution No 2008-50 SECTION 8 This resolution shall take effect immediately upon adoption PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 18th day of August , 200$ 1&.4.A Mayor REVIE rD APPROVED INITIATED AND APPROVED City AdministratoK Director of Econo evelopment APPROVED AS TO FORM A,A,, L - �YY Ci< Attorney Mv- 08 1696/24297 3 Hotel#1 Resolution No 2008-50 Exhibit "A" HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007/08 Annual Report for Fiscal Year 2008/09 Operating Budget Request The Huntington Beach Conference and Visitors Bureau continued to upgrade its scope of activities and effectiveness as a destination marketing agency during 2007/08 fiscal year As the official advisory board for the Huntington Beach Hotel/Motel Business Improvement District which receives an assessment of one percent on all hotel/motel room purchases within the city that are under 30 days in duration the following highlights/programs would not have been possible without B I D funding Advertising • Produced cooperative full-page ad for California Visitors Guide with partners Hilton Waterfront Beach Resort Hyatt Regency Huntington Beach Resort & Spa and Bella Terra entertainment center The California Visitors Guide distributed 500 000 copies distributed annually through state tourism offices and another 100 000 though downloads from www visitcalifornia com • Finalized Orange County Tourism Council (OCTC) April/May 2008 print ad campaign including HBCVB s Y2 page cover ad on newspaper insert in five markets (Arizona Republic Las Vegas Journal Sacramento Bee, San Jose Mercury News, USA Today in Arizona and Northern California) with total circulation of 867 000 • Coordinated full-page OCTC ad plusl/2 Huntington Beach page ad in annual March 2008 Alaska Airlines in-flight magazine California Travel Planner insert The California Travel Planner insert featured a story on The OC and ran 10 000 overprints with a shelf life up to one year • Coordinated full-page OCTC ad in Southwest Airlines Spirit magazine The August 2008 destination-related editorial section Your Adventure In features Orange County and OC beaches and reaches 3 2 million readers The average time spent reading Spirit is 36 minutes and there is no other in-flight entertainment supplied onboard Southwest Airlines • Produced a '/2 page April 2008 ad for Oprah magazine and the affiliated www vacationfun com website and Reader Service Western US Region circulation of 600,000 included California (300 000) Arizona (41 000) Nevada (21 000) Oregon (32 000) Colorado (49 000) Washington (67 000) The ad also included two eCampaigns to 300 000 opt-in subscribers of vacationfun com Results thru 7/23/08 o Total Program Leads to Date 5 248 o Total Website Click-Throughs to Date 312 o Total www surfcityusa travel AdViews though 7/15/08 115 • Launched first HBCVB month-long online coop advertising campaign for Spring in Surf City with Travelocity Six hotels participated by offering added value components A Wait Screen ad unit was Geotargeted to individuals looking to travel to Orange County and Los Angeles (this ad unit is the most viewed ad unit on Travelocity), a key integrated placement on the Travelocity California Store an unit geotargeted in the Shopping Path to consumers looking to travel to Exhibit A Resolution No 2008-50, Exhibit "A" HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007/08 Annual Report for Fiscal Year 2008/09 Operating Budget Request Orange County and Los Angeles a landing page from our www surfcityusa com website to support all the six partner hotels Total Paid Impressions were 1 4 million and we received a bonus of 66k impression in the value of$1 254 Results 229% overall sales growth total in dollars for the four hotels that saw a sales increase (approximately $40-50,000) 287 additional room nights over June 2007 • Continued OCTC co-op National Geo magazine ad as well as radio promotional spots with OCTC and with Ronnie Kovach s Radio Fishing University on the Fox radio network Website • Introduced new green version of Virtual Visitors Guide online — downloadable or viewable with page-turning software • Continued to offer the most informative and reliable event information calendar in the city adding an average of 43 new events and updating eight existing events per month • Continued to book rooms online via Travelocity Last year s new www surfcityusa com website closes sales 504 have been booked from July 1 sc 2007 thru July 28 2008 These bookings are in addition to normal hotel click- thrus • Secured www huntingtonbeach com URL for the Bureau • Issued RFP and conducted review to select and contract vendor to develop next generation Bureau website launching Labor Day 2008 SurfCityUSA com s 2008 edition will boast state-of-the art search engine optimization, improved navigation an Immersive Beach Tour and the ability for bureau staff to manage content in-house on an ongoing basis E-Mail Marketing • Initiated HBCVB s first-ever monthly series of destination email newsletters distributed to more than 10 883 people who registered to receive more information on the www surfcityusacom website • Conducted year-long trial of contests on home page to build email subscription base before discontinuing Printed Collateral • Visitors Guide Produced the best Visitors Guide in Bureau history with an expanded distribution of 175,000 copies to local brochure racks local airports, California Welcome Centers, and selected locations in Phoenix & San Diego • Rack Brochure Produced 230 000 rack brochures with distribution to over 2,000 locations within 12-hour drive markets • Dining Guide Produced 20,000 dining guides in conjunction with HB Restaurant Association with local distribution including John Wayne Airport Exhibit A Resolution No 2008-50, Exhibit "A" HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007108 Annual Report for Fiscal Year 2008109 Operating Budget Request Public Relations • Laid groundwork for heightened local industry awareness during National Tourism Week with See My HB Photo and YouTube® video contests • Secured spot as one of the top pet-friendly cities for dogs in Fido Friendly magazine • Kite Party coverage in Westways and Highroads magazines • Produced five email newsletters for over 700 travel media to pitch story ideas • Participated in California Travel and Tourism Commission media receptions in LA New York and San Francisco OCeanfront press trips Society of American Travel Writers Marketplace and many other venues • Participated in the International Pow Wow Media Marketplace • Hosted OCeanfront Epicurean press trip travel journalist and photographer Trish Foxwell travel journalist Robert Painter Cooler a UK publication focusing on female surfing and snowboarding Up' WestJet in-flight magazine for Canada s second largest airline Karin Lepen Buffalo News a Travel Trade Media FAM for Black Meetings & Tourism Meetings & Incentive Travel and Travel Weekly Huell Howser Bruce Hawksbee UK publication Ranch & Coast Magazine GoNomad com editor Max Hartshorne and a May 4-6 press trip with seven journalists and one photographer Sales Support • Renewed Bureau participation in the 40th International Pow Wow in Las Vegas NV with partner OC coastal destinations Newport Beach and Laguna Beach Pow Wow is sponsored by the Travel Industry Association of America (TIA) and is the premiere international marketplace held in the United States for inbound USA travel where travel buyers from around the world and USA travel suppliers conduct business during three days of pre-scheduled appointments Met with more than eighty domestic and international travel buyers • Delivered 3 849 leads to hotels from leisure travelers planning to visit destination through June 2008 Visitor Center • Secured coastal development permits for construction of a new Pier Plaza Visitor Center where the current Citibank ATM kiosk exists now This project is on-track to open in January 2009 for year-round seven-day-per-week operation • Updated and refreshed Kiosk used in Pier Plaza summer program with tiki design and served a record 8 142 guests from July 1 2007 through June 30 2008 • Continued weekday visitor center in Bureau offices that o Served 1,144 walk in guests (7/1/07 thru 6/30/08) o Answered 924 visitor-related phone calls o Replied to 3 455 visitor inquiries via e-mail Exhibit A Resolution No 2008-50, Exhibit "A" HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Fiscal Year 2007/08 Annual Report for Fiscal Year 2008/09 Operating Budget Request Community Relations • Developed Tourism Works for Huntington Beach presentation and began to deliver it before civic and service organizations throughout the community • Obtained hard data from Dean Runyan & Associates about the economic impact of tourism within the City Brand Development • Increased total trademark registrations to 12 • Obtained principal register status for financial services trademark and three classes of products/services • Settled lawsuit attempting to cancel registration of Surf City USA® trademarks by exploiting supplemental status Administrative • To continue our goal of managing cash flow and providing financial stability in the event of inadvertent delays in the receipt of funding from the City in future years the Bureau maintained a yearend BID cash reserve of approximately $225 000 Note The boundaries of the improvement and benefit areas within the Hotel/Motel Improvement Distnct (which includes the City of Huntington Beach in its entirety) will not change dunng the upcoming fiscal year The Shorebreak Hotel is anticipated to open within the Improvement Distnct in late winter of 2009 Exhibit A Resolution NO 2008-50, Ex "A" HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT Administered by the Huntington Beach Conference and Visitors Bureau Proposed Fiscal Year 2008/09 for Fiscal Year 2008/09 Operating Budget Request INCOME Carryover/Reserve FY07/08 $ 225 000 00 Projected Assessment 750,000 00 TOTAL s 975,00000 EXPENSE Carryover/Reserve FY08/09 $ 225 000 00 Marketing/Promotion 720 000 00 Le al Ex enses 30,00000 TOTAL 975,000 00 Exhibit A Hotel/Motel BID List July 2008 Hotel Name Address City State Zip Beach Inn Motel 18112 Beach Boulevard Huntington Beach CA 92648 714 841 6606 Best Western Huntington Beach Inn 800 Pacific Coast Highway Huntington Beach CA 92648 714 536 7500 Best Western Regency Inn 19360 Beach Boulevard Huntington Beach CA 92648 714 962 4244 Comfort Suites 16301 Beach Boulevard Huntington Beach CA 92647 714 841 1812 Extended Stay America 5050 Skylab West Circle Huntington Beach CA 92647 714 799 4887 290 Monrovia Avenue Long Beach CA 92803 562 621 1910 Hilton Waterfront Beach Resort 21100 Pacific Coast Hi hw Huntington Beach CA 92648 714 845 8000 714 845 8407 Hotel Europa 7561 Center Avenue #46 Huntington Beach CA 92647 714 895 5860 Hotel Huntington Beach 7667 Center Avenue Huntington Beach CA 92647 714 891 0123 Howard Johnson Express Inn&Suites 17251 Beach Boulevard Huntington Beach CA 92647 714 375 0250 rD Ln Huntington Suites 727 Yorktown Avenue Huntington Beach CA 92648 714 969 0450 0 c+ Huntington Surf Inn 720 Pacific Coast Highway Huntington Beach CA 92648 714 536 2444 0 Hyatt Regency Huntington Beach Resort&Spa 21500 Pacific Coast Hi hw Huntington Beach CA 92648 714 374 7291 z 714 845 4604 0 Ocean View Motel 16196 Pacific Coast Highwz Huntington Beach CA 92649 562 592 2700 N 0 0 Pacific View Inn&Suites 16220 Pacific Coast Highwz Huntington Beach CA 92649 562 5924959 0O i cn Starlight Inn 18382 Beach Boulevard Huntington Beach CA 92648 714 848 8422 m Sun n Sands Motel 1102 Pacific Coast Hi hwa Huntington Beach CA 92648 714 5362543 x s J 777 Motor Inn 16240 Pacific Coast Hi hw Huntington Beach CA 92649 714 846 5561 c+ NEW Opening in early 2009 °J Shorebreak Hotel 500 Pacific Coast Highway Huntington Beach CA 92649 714 861 4470 Exhibit B Res No 2008-50 STATE OF CALIFORNIA COUNTY OF ORANGE ) ss CITY OF HUNTINGTON BEACH ) I JOAN L FLYNN the duly elected qualified City Clerk of the City of Huntington Beach and ex-officio Clerk of the City Council of said City do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at a regular meeting thereof held on August 18, 2008 by the following vote AYES Hansen, Hardy Bohr Cook Coerper, Green Carchio NOES None ABSENT None ABSTAIN None Clip,Clerk and ex-officio Jerk of the City Council of the City of Huntington Beach, California