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HomeMy WebLinkAboutApprove Huntington Beach Hotel/Motel Business Improvement Di in i Council/Agency Meeting Held: ,— Deferred/Continued to: Approved Ll Conditionally Approved LJ Denied Z ign Council Meeting Date: 8/15/2005 Departme" Number: ED 05-20 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION -- c:: SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS C5 C� SUBMITTED BY: PENEI OPEC ULBRETH-GkAFf, CITY ADMINISTRATOR PREPARED BY: ROBERT F. BEAR E AC TING DIRECTOR OF 1!!CON'ORC�> DEVELOPMENT SUBJECT: Approve Huntington Beach Hotel/Motel Business Improvement District 2004-2005 Annual Report, Adopt Resolution of Intention to Levy an Annual Assessment for Fiscal Year 2005-2006 and Schedule Public Hearing for September 6, 2005 Statement of issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s) Statement of Issue: On August 19, 2002, the City Council approved Ordinance No. 3569 to establish the Huntington Beach Hotel/Motel Business Improvement District to fund activities to promote Huntington Beach as an overnight tourist destination to benefit all of the hotels and motels in the City. The Parking and Business Improvement Law of 1989 requires an Annual Report be filed for each fiscal year, a Resolution of Intention be passed to levy an assessment for the next fiscal year, and a public hearing date be set. Funding Source: Not applicable. Recommended Action: 1. Approve the Huntington Beach Hotel/Motel Business Improvement District Annual Report for FY 2004-2005. 2. Adopt City Council Resolution No.1��, a Resolution of Intention of the City of Huntington Beach approving an annual assessment within the Huntington Beach Hotel/Motel Business Improvement District for FY 2005-2006. 3. Direct the City Clerk to schedule a public hearing to be held on September 6, 2005, and send copies of the Resolution of Intention and assessment formula to each business to be assessed. Alternative Action(s): 1. Return the 2004-2005 Annual Report of the Huntington Beach Hotel/Motel Business Improvement District to the Huntington Beach Conference and Visitors Bureau for additional information. 2. Deny the request to approve the Resolution of Intention. mac- REQUEST FOR ACTION MEETING DATE: 8/15/2005 DEPARTMENT ID NUMBERED 05-20 Analysis: The Huntington Beach Conference and Visitors Bureau originally requested the City Council form a Business Improvement District (BID) in 2002 to include all hotels and motels in the City for the purpose of funding activities to promote Huntington Beach as an overnight destination. This is the third annual renewal of the Huntington Beach Hotel/Motel Business Improvement District. The Huntington Beach Hotel/Motel Business Improvement District requires a 1% levy be assessed on all overnight room stays in Huntington Beach. These funds are collected as a separate itemization with monthly Transient Occupancy Taxes paid to the City of Huntington Beach. The Board of Directors for the Huntington Beach Conference and Visitors Bureau also serves as the BID Advisory Board. BID revenues supplement the annual City contract with the Conference and Visitors Bureau. Environmental Status: Not applicable. Attachment(s): City Clerk's Page Number No. Description 1. Resolution of Intention to Levy Assessments for Fiscal Year 2005-2006 Exhibit A - Huntington Beach Hotel/Motel Business Improvement District 2004-2005 Annual Report Exhibit B — List of Huntington Beach Hotels and Motels Exhibit C — Huntington Beach Hotel/Motel Business Improvement District Proposed Operating Budget 2005-2006 G:\Aaron\BID's\BID Renewals\Hotel Renewal\Hotel Renewal RCA 2005.doc -2- 8/2/200510:14 AM RESOLUTION NO. 2005-57 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 2005-2006 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 2005-06 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 2004-2005 Fiscal Year to Date" and"Proposed Budget for Fiscal Year 2005-2006" (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 2005-2006 and a description of the improvements and activities to be provided for Fiscal Year 2005-2006. SECTION 2. To levy and collect assessments within the District area for Fiscal Year 2005-2006 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. 05reso/hotel BID intent 1 Reso. 2005-57 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 C, attached hereto and incorporated herein by this reference. Further,the improvements, if any, to be acquired for the proposed business improvement area are specified in Exhibit C. SECTION 4. A public hearing shall be held before the City Council on September 6, 2005, at 6:00 p.m., or as soon thereafter as this matter may be heard, in 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 furnishing 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. 05reso/hotel BID intent 2 Reso. 2005-57 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 15th day of August , 2005. REVIEWED AND APPROVED: APPROVED AS TO FORM: �n C���.�� r V ►C �05 Xity Adm nistrator 0� Attorney INI/ ED A APPROVED: 1 Director of Economic Devel ent 05reso/hotel BID intent 3 �so . +100J -S-7 EXn eT '� Huntington Beach Hotel/Motel Business Improvement District Fiscal Year 2004-2005 Annual Report ? 0. HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT (Administered by the Huntington Beach Conference and Visitors Bureau) Annual Report/Operating Budget 2004-2005 Fiscal Year The Huntington Beach Conference and Visitors Bureau continued to escalate its scope of activities and effectiveness as a destination management agency during 2004/05. The stage was set for an even larger program of work and increased level of influence as a marketing entity in the future. The following highlights/programs would not have been possible without the establishment of the BID. • Completed branding initiative for Huntington Beach that led to the filing of nine Surf City USA TM trademark applications; development of a new Surf City USA logo; extensive worldwide publicity about the "feud" between Santa Cruz and Huntington Beach; a licensing agent agreement for Surf City USA merchandise with Global Icons; and the Bureau's first licensing contract with Felt Bicycles for Surf City USA bicycles to be marketed in up to 30 countries. The rationale for the trademark was based on additional research completed during the year including a visitor intercept survey at the pier; cooperative visitor study with the Orange County Tourism Council; brand distinction analysis; trademark search; SWOT (strengths, weaknesses, opportunities and threats) analysis; resident study and logo analysis which incorporated a highly publicized local survey. • Dramatically enhanced the Bureau's website with standardized and increased type and font sizes; automated page view/click through reports for all web pages; adoption of the surfcityusa.com URL (phasing out the old hbvisit.com URL); development of a new downtown locator map; extensive refinements to the annual events webpage; addition of 20+ new content pages from boating to local arts to city accolades; a new Media section including a press kit and all press releases issued for the past two years; and drop down menus to enhance navigation from the homepage. With on-going efforts to optimize search engine placement for key search terms, the website set another record in June with more than 79,000 unique viewers — an increase of 58 percent from the previous year and 438 percent higher than 2003. • Continued to issue a new press release every week to nearly 1,000 publications and broadcast media on a weekly basis. Hired Bureau's first Public Relations Manager after an extensive nationwide search. Expanded involvement in the California Travel & Tourism Commission's media receptions to include both New York and Los Angeles. • Developed the City's first Meeting Planners Guide, an upscale publication aimed at bringing additional groups to Huntington Beach and providing comprehensive planning information to assist meeting planners in booking engagements here. • The Bureau's 2004 Spring/Summer advertising campaign aimed at families was expanded to a year round program in five key publications: Arizona Highroads (AAA), Arizona Republic (newspaper), Sunset, VIA (AAA) and Westways (AAA). It was complemented by spot placements in Better Homes & Gardens, Ladies' yi�FS 0- ,;Poj- --11 Home Journal and What's On. At the same time, accountability standards were raised by utilizing unique toll free phone numbers and URLs in advertisements to enhance the ability to measure the impact and effectiveness of each publication. • Produced the Bureau's second rack "lure" brochure for distribution in 2,000 outlets in drive markets across the western U.S. Expanded distribution to include Orange County and San Diego for enhanced penetration in competitive markets. • Created five issues of the Bureau's first online newsletter developed for local residents and City officials entitled, "HB Pipeline." Each issue was posted to the City's website and promoted via an email sent to City newsletter subscribers. • Cataloged, organized, color-corrected and uploaded more than 3,800 separate high resolution Bureau photos to a digital asset management (DAM) system that permits staff to easily locate images for promotional efforts. A separate version of the DAM system with 1,000 of the best images was seamlessly integrated into the Bureau's website with password protection for use by the media. Hundreds of new images of the City were collected and added to the database. Releases were secured from the photographers of all 3,800 images to ensure the Bureau was legally entitled to use them and protected from the threat of future litigation. • Expanded the season for the City's first Visitor Center on the Pier by 19 days following a successful test run the previous year. The kiosk was open from May 28 to September 11, 2005. With 80 percent of the staff returning from the previous year, Visitor Information Specialists were well poised to handle guest inquiries and assist visitors with their needs. At yearend, the Bureau contracted Adams Associates to facilitate governmental approvals necessary to construct a new, permanent Visitor Center at the pier incorporating the Citibank ATM kiosk with the hope of opening the new facility during the spring of 2006. H.B. Conference and Visitors Bureau BID Balance Sheet �Xtfi�iT As of June 30,2005 ASSETS Current Assets Checking/Savings Business Checking-B.I.D. $ 10,644.42 Money Market-B.I.D. 97,176.85 Total Checking/Savings 107,821.27 Accounts Receivable 130,000.00 Prepaid Expenses 2,937.65 Total Current Assets 240,758.92 Fixed Assets Furniture&Fixtures 8,830.00 Accum.Depr. -Furniture&Fix. (4,915.25) Total Furniture&Fixtures 3,914.75 Equipment 16,079.01 Accum.Depr. -Equipment (4,484.48) Total Equipment 11,594.53 Total Fixed Assets 15,509.28 TOTAL ASSETS $ 256,268.20 LIABILITIES &EQUITY Liabilities Current Liabilities Accounts Payable $ 116,334.35 Accts Payable-Personnel 1,320.67 Total Current Liabilities 117,655.02 Total Liabilities 117,655.02 Equity General Unrestricted Net Assets 129,225.08 Net Income 9,388.10 Total Equity 138,613.18 TOTAL LIABILITIES&EQUITY $ 256 268.20 * B.I.D. receivable of$130,000 is estimated by management. s�- EXHIBIT B CITY OF HUNTINGTON BEACH HOTELS AND MOTELS INCLUDED IN HUNTINGTON BEACH HOTEL INDUSTRY BUSINESS IMPROVEMENT AREA The BID benefit zone encompasses the entire City of Huntington Beach boundaries. It is anticipated that the entire City including businesses and residents will benefit from increased revenues generated by the activities of the BID. The following businesses will be included in the business improvement area established pursuant to California Streets and Highways Code Section 36500 et. seq.: Hilton Waterfront Beach Resort Edelweiss Inn 21100 Pacific Coast Hwy. 7561 Center Ave.,#46 Huntington Beach,CA 92648 Huntington Beach,CA 92647 Business Owner/Operator: J.D. Shafer Business Owner/Operator: Alfred Skistimas Hyatt Regency Huntington Beach Spa and Resort Extended Stay America 21500 Pacific Coast Hwy. 5050 Skylab West Circle Huntington Beach,CA 92648 Huntington Beach,CA 92647 Business Owner/Operator: Cheryl Phelps Business Owner/Operator: Dev Chauhan Best Western Regency Inn Guest House International Inn 19360 Beach Blvd. 18382 Beach Blvd. Huntington Beach,CA 92648 Huntington Beach,CA 92648 Business Owner/Operator: Tonho Intl.-Diane Beadling Business Owner/Operator: Raju Patel Comfort Suites Huntington Suites 16301 Beach Blvd. 727 Yorktown Ave. Huntington Beach,CA 92647 Huntington Beach,CA 92648 Business Owner/Operator: Chandu Patel Business Owner/Operator: Young Ja Zahedi Hotel Huntington Beach Huntington Surf Inn 7667 Center Avenue 720 Pacific Coast Hwy. Huntington Beach,CA 92647 Huntington Beach,CA 92648 Business Owner/Operator: Ming Shin Kou Business Owner/Operator: Long Han,Jennifer Phi Howard Johnson Express Inn&Suites Ocean View Motel 17251 Beach Blvd. 16196 Pacific Coast Hwy. Huntington Beach,CA 92647 Huntington Beach,CA 92649 Business Owner/Operator: Kiran Patel Business Owner/Operator: Pravin Patel Beach Inn Pacific View Inn&Suites 18112 Beach Blvd. 16220 Pacific Coast Hwy. Huntington Beach,CA 92646 Huntington Beach,CA 92649 Business Owner/Operator: A.Lien Chao Business Owner/Operator: Khushbu,LLC—Jayesh Patel Sun`N Sands Motel Best Western Huntington Beach Inn 1102 Pacific Coast Hwy. 800 Pacific Coast Hwy. Huntington Beach,CA 92648 Huntington Beach,CA 9248 Business Owner/Operator: Jitendra P.Barot Business Owner/Operator: Ken Patel Colonial Inn Youth Hostel 777 Motor Inn 421—8 h St. 16240 Pacific Coast Hwy. Huntington Beach,CA 92648 Huntington Beach,CA 92648 Business Owner/Operator: James Parkinson Business Owner/Operator: Mulan Kuo,Victor Ali G:Uim\Hotel-Motel List.doc A00S -.S-;L We 41 HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT (Administered by the Huntington Beach Conference and Visitors Bureau) Proposed Operating Budget 2005-2006 Category Proposed Advertising $258,000.00 Exhibit/ Seminar/ Registration Fees 4,000.00 Fixtures / Furniture / Computer 2,500.00 Health Insurance 18,000.00 Liability Insurance 1,000.00 Payroll Taxes 18,000.00 Pension 18,000.00 Postage/Fulfillment 36,000.00 Salaries 170,000.00 Subscriptions / Dues 1,500.00 Travel Expenses 3,000.00 TOTAL $530,000.00 Res. No. 2005-57 STATE OF CALIFORNIA COUNTY OF ORANGE ) ss: CITY OF HUNTINGTON BEACH ) I JOAN L. FLYNN the duly elected, qualified Y ualified 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 CityCouncil at an regular meeting thereof held on the 15th d of eg ee g e e ay August, 2005 by the following vote: AYES: Hansen, Coerper, Sullivan, Hardy, Green, Bohr, Cook NOES: None ABSENT: None ABSTAIN: None CityUlerk and ex-officio djlrk of the City Council of the City of Huntington Beach, California RCA ROUTING SHEET INITIATING DEPARTMENT: Economic Development SUBJECT: Huntington Beach Hotel/Motel BID Annual Renewal COUNCIL MEETING DATE: August 15, 2005 RCA ATTACHMENTS STATUS Ordinance (w/exhibits & legislative draft if applicable) Attached ❑ Not Applicable ❑ Resolution (w/exhibits & legislative draft if applicable) Attached ❑ Not Applicable ❑ Tract Map, Location Map and/or other Exhibits Attached ❑ Not Applicable ❑ Attached ❑ Contract/Agreement (w/exhibits if applicable) Not Applicable ❑ (Signed in full by the City Attorney) Attached ❑ Subleases, Third Party Agreements, etc. Not Applicable ❑ (Approved as to form by City Attorne Certificates of Insurance (Approved b the City Attorne Attached ❑ ( pp Y Y Y) Not Applicable ❑ Attached ❑ Fiscal Impact Statement (Unbudget, over $5,000) Not Applicable ❑ Attached ❑ Bonds (If applicable) Not Applicable ❑ Attached ❑ Staff Report (If applicable) Not Applicable ❑ Commission, Board or Committee Re ort applicable If a Attached ❑ p ( pp ) Not Applicable ❑ s/Conditions for Approval and/or Denial Attached Find ings/Conditions ❑ 9 pp Not Applicable ❑ EXPLANATION FOR MISSING ATTACHMENTS REVIEWED RETURNED FORWARD Administrative Staff Assistant City Administrator Initial City Administrator Initial ( ) ) -City Clerk XPLAN6 ION'FOR RETURN OF ITE Only)(Below Space For City Clerk's Use RCA Author: Aaron Schulze X5183 -k, Council/Agency Meeting Held: Deferred/Continued to: �ppr Conditionally Approved Ll Denied ,zW&.ry C6/CW's Si0fiature Council Meeting Date: 9/6/2005 Department ID Number: ED 05-23 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: HONORABLE MAYOR CITY COU L EMBERS CULBRETH-Ge SUBMITTED BY: PEN��OPE F , CT ADMINISTRAT".. PREPARED BY: PAUL EMERY, ACTING DIRECTOR OF ECONOMIC :217 DEVELOPMENT 0— SUBJECT: Conduct Public Hearing and Adopt Resolution for Huntidgton Beach Hotel/Motel Business Improvement District Annual Assessment for Fiscal Year 2005-2006 Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s) Statement of Issue: At the City Council meeting of August 15, 2005, the City Council approved Resolution No. 2005-57. This action declared the City's intention to levy an assessment for the Huntington Beach Hotel/Motel Business Improvement District for 2005- 2006 and authorized the City Clerk to schedule a public hearing to be held on September 6, 2005. Copies of the Resolution, Boundary Map and assessment formula were sent to each business to be assessed. In follow-up to this action, the City Council must now hold a public hearing and pass a resolution approving an annual assessment for the 2005-2006 fiscal year. Funding Source: Not applicable. Recommended Action: Motion to: 1. Conduct the Public Hearing. 2. Adopt City Council Resolution No. 2005,6W , a Resolution of the City Council of the City of Huntington Beach approving an annual assessment within the Huntington Beach Hotel/Motel Business Improvement District for fiscal year 2005-2006. Alternative Action(s): Deny the request to approve the Resolution. REQUEST FOR ACTION MEETING DATE: 9/6/2005 DEPARTMENT ID NUMBER:ED 05-23 Analysis: At the request of the Huntington Beach Conference and Visitors Bureau, the City Council formed a Business Improvement District (BID) on August 19, 2002, including all hotels and motels in Huntington Beach for the purpose of funding activities to promote Huntington Beach as an overnight destination. This is the third annual renewal of the Huntington Beach Hotel/Motel Business Improvement District. The Huntington Beach Hotel/Motel Business Improvement District requires a 1% levy be assessed on overnight room stays in Huntington Beach. These funds are collected as a separate itemization with monthly Transient Occupancy Taxes paid to the City of Huntington Beach. The Board of Directors of the Huntington Beach Conference and Visitors Bureau also serve as the BID Advisory Board. BID revenues supplement the annual City contract with the Conference and Visitors Bureau. Environmental Status: Not Applicable Attachment(s): City Clerk's Page Number No. Description 1. Resolution No. 2005--57 Approving an Annual Assessment for Fiscal Year 2005-2006 to Fund Improvements Within the Huntington Beach Hotel/Motel Business Improvement District. 2. Resolution No. 2005-57 approved August 15, 2005, Declaring the City's Intention to Levy an Annual Assessment for Fiscal Year 2005- 2006 Within the Hotel/Motel Business Improvement District. 3. PowerPoint Presentation. G:\Aaron\l3lUs\BID Renewals\Hotel Renewal\RCA public hearing 90605.doc -2- 8/11/2005 9:38 AM ATTACHMENT # 1 4EFfhSc"v4' /D - /-aaoS RESOLUTION NO. 2005-58 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH APPROVING AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2005-2006 WHEREAS, the Parking and Business Improvement Area Law of 1989, codified at Streets and Highways Code § 36500 et seq. (the "Act")authorizes cities to establish parking and business improvement areas for the purpose of imposing benefit assessments on businesses for certain purposes; and The City Council formed a business improvement area, the Huntington Beach Hotel/Motel Business Improvement District(the "District"),by the passage of Ordinance 3569 on August 19, 2002. The time has come to continue the existence of the District for fiscal year 2005-06 by levying assessments on those businesses that benefit from the improvements, The District's Advisory Board has prepared and filed with the City Clerk a report an "Annual Report/Operating Budget 2004-2005 Fiscal Year to Date" and"Proposed Budget for Fiscal Year 2005-2006"(collectively, "Annual Report"); On A tog„s t 15, 2005 ,the City Council adopted a resolution declaring its intention to levy an annual assessment for Fiscal Year 2005-2006 as proposed by the District's Annual Report. NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby resolve, determine and find as follows: SECTION 1. The City Council hereby approves and adopts 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 report includes a proposed budget for Fiscal Year 2005-2006 and a description of the improvements and activities to be provided for Fiscal Year 2005-2006. SECTION 2. The City Council of the City of Huntington Beach hereby authorizes a levy and collection of assessments within the District for fiscal year 2005-06 as proposed by the Annual Report. The amount of the assessment shall be 1%on overnight room stays and is to apply to all hotel and motel businesses in Huntington Beach as shown in Exhibit B. SECTION 3. The assessments collected will be used to fund activities to increase overnight business stays and tourist visits to District businesses. 05reso/hotel BID assess 1 Res. No. 2005-58 SECTION 4. This resolution shall take effect on October 1 , 2005 PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 1 Ath day of�A ,2005. REVIEWED AND APPROVED: APPROVED AS TO FORM: �C ty Administrator 'OSJ ity Attorney INITI A APPROVED: Director of co mic Development 05reso/hotel BID assess 2 Res. No. 2005-58 Annual Report 2005-58 Exhibit "A" Huntington Beach Hotel/Motel Business Improvement District Fiscal Year 2004-2005 Annual Report Res. No. 2005-58 Exhibit "A" HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT (Administered by the Huntington Beach Conference and Visitors Bureau) Annual Report/Operating Budget 2004-2005 Fiscal Year The Huntington Beach Conference and Visitors Bureau continued to escalate its scope of activities and effectiveness as a destination management agency during 2004/05. The stage was set for an even larger program of work and increased level of influence as a marketing entity in the future. The following highlights/programs would not have been possible without the establishment of the BID. • Completed branding initiative for Huntington Beach that led to the filing of nine Surf City USATm trademark applications; development of a new Surf City USA logo; extensive worldwide publicity about the 'feud" between Santa Cruz and Huntington Beach; a licensing agent agreement for Surf City USA merchandise with Global Icons; and the Bureau's first licensing contract with Felt Bicycles for Surf City USA bicycles to be marketed in up to 30 countries. The rationale for the trademark was based on additional research completed during the year including a visitor intercept survey at the pier; cooperative visitor study with the Orange County Tourism Council; brand distinction analysis; trademark search; SWOT (strengths, weaknesses, opportunities and threats) analysis; resident study and logo analysis which incorporated a highly publicized local survey. • Dramatically enhanced the Bureau's website with standardized and increased type and font sizes; automated page view/click through reports for all web pages; adoption of the surfcityusa.com URL (phasing out the old hbvisit.com URL); development of a new downtown locator map; extensive refinements to the annual events webpage; addition of 20+ new content pages from boating to local arts to city accolades; a new Media section including a press kit and all press releases issued for the past two years; and drop down menus to enhance navigation from the homepage. With on-going efforts to optimize search engine placement for key search terms, the website set another record in June with more than 79,000 unique viewers —an increase of 58 percent from the previous year and 438 percent higher than 2003. • Continued to issue a new press release every week to nearly 1,000 publications and broadcast media on a weekly basis. Hired Bureau's first Public Relations Manager after an extensive nationwide search. Expanded involvement in the California Travel & Tourism Commission's media receptions to include both New York and Los Angeles. • Developed the City's first Meeting Planners Guide, an upscale publication aimed at bringing additional groups to Huntington Beach and providing comprehensive planning information to assist meeting planners in booking engagements here. • The Bureau's 2004 Spring/Summer advertising campaign aimed at families was expanded to a year round program in five key publications: Arizona Highroads (AAA), Arizona Republic(newspaper), Sunset, VIA (AAA) and Westways (AAA). It was complemented by spot placements in Better Homes & Gardens, Ladies' Res. No. 2005-58 Exhibit "A" Home Joumal and What's On. At the same time, accountability standards were raised by utilizing unique toll free phone numbers and URLs in advertisements to enhance the ability to measure the impact and effectiveness of each publication. • Produced the Bureau's second rack"lure" brochure for distribution in 2,000 outlets in drive markets across the western U.S. Expanded distribution to include Orange County and San Diego for enhanced penetration in competitive markets. • Created five issues of the Bureau's first online newsletter developed for local residents and City officials entitled, "HB Pipeline." Each issue was posted to the City's website and promoted via an email sent to City newsletter subscribers. • Cataloged, organized, color-corrected and uploaded more than 3,800 separate high resolution Bureau photos to a digital asset management (DAM) system that permits staff to easily locate images for promotional efforts. A separate version of the DAM system with 1,000 of the best images was seamlessly integrated into the Bureau's website with password protection for use by the media. Hundreds of new images of the City were collected and added to the database. Releases were secured from the photographers of all 3,800 images to ensure the Bureau was legally entitled to use them and protected from the threat of future litigation. • Expanded the season for the City's first Visitor Center on the Pier by 19 days following a successful test run the previous year. The kiosk was open from May 28 to September 11, 2005. With 80 percent of the staff returning from the previous year, Visitor Information Specialists were well poised to handle guest inquiries and assist visitors with their needs. At yearend, the Bureau contracted Adams Associates to facilitate governmental approvals necessary to construct a new, permanent Visitor Center at the pier incorporating the Citibank ATM kiosk with the hope of opening the new facility during the spring of 2006. Res. NO. 2005-58 Exhibit "A" H.B.Conference and Visitors Bureau BID Balance Sheet As of June 30,2005 ASSETS Current Assets Checking/Savings Business Checking-B.I.D. $ 10,644.42 Money Market-B.I.D. 97,176.85 Total Checking/Savings 107,821.27 Accounts Receivable 130,000.00 Prepaid Expenses 2,937.65 Total Current Assets 240,758.92 Fixed Assets Furniture&Fixtures 8,830.00 Accum.Depr. -Furniture&Fix. (4,915.25) Total Furniture&Fixtures 3,914.75 Equipment 16,079.01 Accum.Depr. -Equipment (4,484.48) Total Equipment 11,594.53 Total Fixed Assets 15,509.28 TOTAL ASSETS $ 256,268.20 LIABILITIES &EQUITY Liabilities Current Liabilities Accounts Payable $ 116,334.35 Accts Payable-Personnel 1,320.67 Total Current Liabilities 117,655.02 Total Liabilities 117,655.02 Equity General Unrestricted Net Assets 129,225.08 Net Income 9,388.10 Total Equity 138,613.18 TOTAL LIABILITIES &EQUITY $ 256,268.20 * B.I.D. receivable of$130,000 is estimated by management. Res. No. 2005-58 Exhibit "A" HUNTINGTON BEACH HOTEUMOTEL BUSINESS IMPROVEMENT DISTRICT (Administered by the Huntington Beach Conference and Visitors Bureau) Proposed Operating Budget 2005-2006 Category Proposed Advertising $258,000.00 Exhibit/ Seminar/ Registration Fees 4,000.00 Fixtures / Furniture / Computer 2,500.00 Health Insurance 18,000.00 Liability Insurance 1,000.00 Payroll Taxes 18,000.00 Pension 18,000.00 Postage/Fulfillment 36,000.00 Salaries 170,000.00 Subscriptions/ Dues 1,500.00 Travel Expenses 3,000.00 TOTAL $530,000.00 Res. No. 2005-58 Hotel/Motel List Res. No. 2005-58 EXHIBIT B CITY OF HUNTINGTON BEACH HOTELS AND MOTELS INCLUDED IN HUNTINGTON BEACH HOTEL INDUSTRY BUSINESS IMPROVEMENT AREA The BID benefit zone encompasses the entire City of Huntington Beach boundaries. It is anticipated that the entire City including businesses and residents will benefit from increased revenues generated by the activities of the BID. The following businesses will be included in the business improvement area established pursuant to California Streets and Highways Code Section 36500 et. seq.: Hilton Waterfront Beach Resort Edelweiss Inn 21100 Pacific Coast Hwy. 7561 Center Ave.,#46 Huntington Beach,CA 92648 Huntington Beach,CA 92647 Business Owner/Operator: J.D.Shafer Business Owner/Operator: Alfred Skistimas Hyatt Regency Huntington Beach Spa and Resort Extended Stay America 21500 Pacific Coast Hwy. 5050 Skylab West Circle Huntington Beach,CA 92648 Huntington Beach,CA 92647 Business Owner/Operator: Cheryl Phelps Business Owner/Operator: Dev Chauhan Best Western Regency Inn Guest House International Inn 19360 Beach Blvd. 18382 Beach Blvd. Huntington Beach,CA 92648 Huntington Beach,CA 92648 Business Owner/Operator: Tonho Intl.-Diane Beadling Business Owner/Operator: Raju Patel Comfort Suites Huntington Suites 16301 Beach Blvd. 727 Yorktown Ave. Huntington Beach,CA 92647 Huntington Beach,CA 92648 Business Owner/Operator: Chandu Patel Business Owner/Operator: Young Ja Zahedi Hotel Huntington Beach Huntington Surf Inn 7667 Center Avenue 720 Pacific Coast Hwy. Huntington Beach,CA 92647 Huntington Beach,CA 92648 Business Owner/Operator: Ming Shin Kou Business Owner/Operator: Long Han,Jennifer Phi Howard Johnson Express Inn&Suites Ocean View Motel 17251 Beach Blvd. 16196 Pacific Coast Hwy. Huntington Beach,CA 92647 Huntington Beach,CA 92649 Business Owner/Operator: Kiran Patel Business Owner/Operator: Pravin Patel Beach Inn Pacific View Inn&Suites 18112 Beach Blvd. 16220 Pacific Coast Hwy. Huntington Beach,CA 92646 Huntington Beach,CA 92649 Business Owner/Operator: A.Lien Chao Business Owner/Operator: Khushbu,LLC—Jayesh Patel Sun`N Sands Motel Best Western Huntington Beach Inn 1102 Pacific Coast Hwy. 800 Pacific Coast Hwy. Huntington Beach,CA 92648 Huntington Beach,CA 9248 Business Owner/Operator: Jitendra P.Barot Business Owner/Operator: Ken Patel Colonial Inn Youth Hostel 777 Motor Inn 421 -8d'St. 16240 Pacific Coast Hwy. Huntington Beach,CA 92648 Huntington Beach,CA 92648 Business Owner/Operator: James Parkinson Business Owner/Operator: Mulan Kuo,Victor Ali G:UWHotel-Motel Ust.doc Res. No. 2005-58 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 an regular meeting thereof held on the 19th day of September, 2005 by the following vote: AYES: Hansen, Coerper, Sullivan, Hardy, Green, Bohr, Cook NOES: None ABSENT: None ABSTAIN: None City Jerk and ex-officio rk of the City Council of the City of Huntington Beach, California ATTACHMENT #2 RESOLUTION NO. 2005-57 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 2005-2006 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 2005-06 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 2004-2005 Fiscal Year to Date" and"Proposed Budget for Fiscal Year 2005-2006"(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 2005-2006 and a description of the improvements and activities to be provided for Fiscal Year 2005-2006. SECTION 2. To levy and collect assessments within the District area for Fiscal Year 2005-2006 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. 05reso/hotel BID intent 1 Reso. 2005-57 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 C,attached hereto and incorporated herein by this reference. Further, the improvements, if any, to be acquired for the proposed business improvement area are specified in Exhibit C. SECTION 4. A public hearing shall be held before the City Council on September 6, 2005, at 6:00 p.m., or as soon thereafter as this matter may be heard, in 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 furnishing 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 clays 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. 05reso/hotel BID intent 2 Reso. 2005-57 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 1 5th day of August ,2005. REVIEWED AND APPROVED: APPROVED AS TO FORM: ✓n (,iLUGK.c,,.� � V 1C / ,City Adm nistrator ]�*&mtoey &, I INI ED A APPROVED: Director of Economic Devel ent 05resolhotel BID intent 3 �,50. Roos -s7- EX111eT 'H " Huntington Beach Hotel/Motel Business Improvement District Fiscal Year 2004-2005 Annual Report *S0. HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT (Administered by the Huntington Beach Conference and Visitors Bureau) Annual Report/Operating Budget 2004-2005 Fiscal Year The Huntington Beach Conference and Visitors Bureau continued to escalate its scope of activities and effectiveness as a destination management agency during 2004/05. The stage was set for an even larger program of work and increased level of influence as a marketing entity in the future. The following highlights/programs would not have been possible without the establishment of the BID. • Completed branding initiative for Huntington Beach that led to the filing of nine Surf City USATm trademark applications; development of a new Surf City USA logo; extensive worldwide publicity about the "feud" between Santa Cruz and Huntington Beach; a licensing agent agreement for Surf City USA merchandise with Global Icons; and the Bureau's first licensing contract with Felt Bicycles for Surf City USA bicycles to be marketed in up to 30 countries. The rationale for the trademark was based on additional research completed during the year including a visitor intercept survey at the pier, cooperative visitor study with the Orange County Tourism Council; brand distinction analysis; trademark search; SWOT (strengths, weaknesses, opportunities and threats) analysis; resident study and logo analysis which incorporated a highly publicized local survey. • Dramatically enhanced the Bureau's website with standardized and increased type and font sizes; automated page view/click through reports for all web pages; adoption of the surfcityusa.com URL (phasing out the old hbvisit.com URL); development of a new downtown locator map; extensive refinements to the annual events webpage; addition of 20+ new content pages from boating to local arts to city accolades; a new Media section including a press kit and all press releases issued for the past two years; and drop down menus to enhance navigation from the homepage. With on-going efforts to optimize search engine placement for key search terms, the website set another record in June with more than 79,000 unique viewers—an increase of 58 percent from the previous year and 438 percent higher than 2003. • Continued to issue a new press release every week to nearly 1,000 publications and broadcast media on a weekly basis. Hired Bureau's first Public Relations Manager after an extensive nationwide search. Expanded involvement in the California Travel & Tourism Commission's media receptions to include both New York and Los Angeles. • Developed the City's first Meeting Planners Guide, an upscale publication aimed at bringing additional groups to Huntington Beach and providing comprehensive planning information to assist meeting planners in booking engagements here. • The Bureau's 2004 Spring/Summer advertising campaign aimed at families was expanded to a year round program in five key publications: Arizona Highroads (AAA), Arizona Republic(newspaper), Sunset, VIA (AAA) and Westways (AAA). It was complemented by spot placements in Better Homes & Gardens, Ladies' J �0. vWoftj -•�T 4�E)WI617- 'W 4 Home Joumal and What's On. At the same time, accountability standards were raised by utilizing unique toll free phone numbers and URLs in advertisements to enhance the ability to measure the impact and effectiveness of each publication. • Produced the Bureau's second rack"lure" brochure for distribution in 2,000 outlets in drive markets across the western U.S. Expanded distribution to include Orange County and San Diego for enhanced penetration in competitive markets. • Created five issues of the Bureau's first online newsletter developed for local residents and City officials entitled, "HB Pipeline. Each issue was posted to the City's website and promoted via an email sent to City newsletter subscribers. • Cataloged, organized, color-corrected and uploaded more than 3,800 separate high resolution Bureau photos to a digital asset management (DAM) system that permits staff to easily locate images for promotional efforts. A separate version of the DAM system with 1,000 of the best images was seamlessly integrated into the Bureau's website with password protection for use by the media. Hundreds of new images of the City were collected and added to the database. Releases were secured from the photographers of all 3,800 images to ensure the Bureau was legally entitled to use them and protected from the threat of future litigation. • Expanded the season for the City's first Visitor Center on the Pier by 19 days following a successful test run the previous year. The kiosk was open from May 28 to September 11, 2005. With 80 percent of the staff returning from the previous year, Visitor Information Specialists were well poised to handle guest inquiries and assist visitors with their needs. At yearend, the Bureau contracted Adams Associates to facilitate governmental approvals necessary to construct a new, permanent Visitor Center at the pier incorporating the Citibank ATM kiosk P P P 9 with the hope of opening the new facility during the spring of 2006. S� H.B.Conference and Visitors Bureau g�S,. A®DS— BID Balance Sheet �,Ci,BiT As of June 30,2005 ASSETS Current Assets Checking/Savings Business Checking-B.I.D. $ 10,644.42 Money Market-B.I.D. 97,176.85 Total Checking/Savings 107,821.27 Accounts Receivable 130,000.00 Prepaid Expenses 2,937.65 Total Current Assets 240,758.92 Fixed Assets Furniture&Fixtures 8,830.00 Accum. Depr. -Furniture&Fix. (4,915.25) Total Furniture& Fixtures 3,914.75 Equipment 16,079.01 Accum.Depr. -Equipment (4,484.48) Total Equipment 11,594.53 Total Fixed Assets 15,509.28 TOTAL ASSETS $ 256,268.20 LIABILITIES&EQUITY Liabilities Current Liabilities Accounts Payable $ 116,334.35 Accts Payable-Personnel 1,320.67 Total Current Liabilities 117,655.02 Total Liabilities 117,655.02 Equity General Unrestricted Net Assets 129,225.08 Net Income 9,388.10 Total Equity 138,613.18 TOTAL LIABILITIES &EQUITY $ 256,268.20 * B.I.D. receivable of$130,000 is estimated by management. 4'so, 1a©s — 67 EXHIBIT B CITY OF HUNTINGTON BEACH HOTELS AND MOTELS INCLUDED IN HUNTINGTON BEACH HOTEL INDUSTRY BUSINESS IMPROVEMENT AREA The BID benefit zone encompasses the entire City of Huntington Beach boundaries. It is anticipated that the entire City including businesses and residents will benefit from increased revenues generated by the activities of the BID. The following businesses will be included in the business improvement area established pursuant to California Streets and Highways Code Section 36500 et. seq.: Hilton Waterfront Beach Resort Edelweiss Inn 21100 Pacific Coast Hwy. 7561 Center Ave.,#46 Huntington Beach,CA 92648 Huntington Beach,CA 92647 Business Owner/Operator: J.D.Shafer Business Owner/Operator: Alfred Skistimas Hyatt Regency Huntington Beach Spa and Resort Extended Stay America 21500 Pacific Coast Hwy. 5050 Skylab West Circle Huntington Beach,CA 92648 Huntington Beach,CA 92647 Business Owner/Operator: Cheryl Phelps Business Owner/Operator: Dev Chauhan Best Western Regency Inn Guest House International Inn 19360 Beach Blvd. 18382 Beach Blvd. Huntington Beach,CA 92648 Huntington Beach,CA 92648 Business Owner/Operator: Tonho Intl.-Diane Beadling Business Owner/Operator: Raju Patel Comfort Suites Huntington Suites 16301 Beach Blvd. 727 Yorktown Ave. Huntington Beach,CA 92647 Huntington Beach,CA 92648 Business Owner/Operator: Chandu Patel Business Owner/Operator: Young Ja Zahedi Hotel Huntington Beach Huntington Surf Inn 7667 Center Avenue 720 Pacific Coast Hwy. Huntington Beach,CA 92647 Huntington Beach,CA 92648 Business Owner/Operator: Ming Shin Kou Business Owner/Operator: Long Han,Jennifer Phi Howard Johnson Express Inn&Suites Ocean View Motel 17251 Beach Blvd. 16196 Pacific Coast Hwy. Huntington Beach,CA 92647 Huntington Beach,CA 92649 Business Owner/Operator: Kiran Patel Business Owner/Operator: Pravin Patel Beach Inn Pacific View Inn&Suites 18112 Beach Blvd. 16220 Pacific Coast Hwy. Huntington Beach,CA 92646 Huntington Beach,CA 92649 Business Owner/Operator: A.Lien Chao Business Owner/Operator: Khushbu,LLC—Jayesh Patel Sun`N Sands Motel Best Western Huntington Beach Inn 1102 Pacific Coast Hwy. 800 Pacific Coast Hwy. Huntington Beach,CA 92648 Huntington Beach,CA 9248 Business Owner/Operator: Jitendra P. Barot Business Owner/Operator: Ken Patel Colonial Inn Youth Hostel 777 Motor Inn 421—86'St. 16240 Pacific Coast Hwy. Huntington Beach,CA 92648 Huntington Beach,CA 92648 Business Owner/Operator: James Parkinson Business Owner/Operator: Mulan Kuo, Victor Ali G:UWHotel-Motel list.doc Jr HUNTINGTON BEACH HOTEUMOTEL BUSINESS IMPROVEMENT DISTRICT (Administered by the Huntington Beach Conference and Visitors Bureau) Proposed Operating Budget 2005-2006 Category Proposed Advertising $258,000.00 Exhibit/ Seminar/ Registration Fees 4,000.00 Fixtures / Furniture/Computer 2,500.00 Health Insurance 18,000.00 Liability Insurance 1,000.00 Payroll Taxes 18,000.00 Pension 18,000.00 Postage/Fulfillment 36,000.00 Salaries 170,000.00 Subscriptions / Dues 1,500.00 Travel Expenses 3,000.00 TOTAL $530,000.00 Res. No. 2005-57 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 an regular meeting thereof held on the 15th day of August, 2005 by the following vote: AYES: Hansen, Coerper, Sullivan, Hardy, Green, Bohr, Cook NOES: None ABSENT: None ABSTAIN: None CityUlerk and ex-officio rk of the City Council of the City of Huntington Beach, California ATTAC H M E N T #3 Huntington Beach Hotel/Motel Background Business Improvement District Formed 2002 • H.B.Conference&Visitors Bureau requested (BID) BID be formed to promote Huntinglon Beach as an overnight destination Annual Renewal for FY 2005-2006 This is thirdannual BID renewal September 6,2005 lull i�� IY� 4tY�l��i Background Huntington Beach Hotels/Motels August 15,2005 Hyatt Regency H.B.Spa&Resort Extended Stay America • Best Western Regency Inn Hilton Waterfront Beach Resort City Council Approved Comfort Suites Guest House International Inn • Hotel Huntington Beach Huntington Suites Resolution No. 2005-57 Howard Johnson Express Inn&Suites Huntington Surf Inn • Beach Inn Ocean View Motet Sands Motel Pacific View Inn&Suites Intention t0 Levy Assessment for Son"N San Colonial Inn Youth Hostel Best Western Huntington Beach Huntington Beach Hotel/Motel BID for Edelweiss Inn Inn 2005-2006 and Scheduled Public Hearing 777 Motor Inn 1 Current Status Process • Copies of Resolution and assessment formula were State BID law requires City Council to conduct a protest beating to sent to each business to be assessed consider all protests against the establishment of the BID. • Assessment is 1%levy on overnight room stays in If written protests are received from affected business owners of 50% AuntingtonBeach or more of assessments,no further proceedings to consider the Business Improvement District can be considered for one year. • Proposed Budget Approved by BID/CVB Board of At the conclusion of the protest>public hearing,the City Council may Directors reduce or modify the proposed assessment or types of activities to be funded with assessment revenues. • Proposed FY 2005 Budget of$530,000 • The City Council has the option of not renewing the Business Improvement • BID revenues supplement annual City Contract District. with the Conference and Visitors Bureau AW Recommended Action City Council Actions needed: •Hold Public Hearing •Pass Resolution to Approve Annual Assessment for FY 2005-2006 2 RCA ROUTING SHEET INITIATING DEPARTMENT: Economic Development SUBJECT: Huntington Beach Hotel/Motel BID Renewal Public Hearin COUNCIL MEETING DATE: September 6, 2005 RICA ATTACHMENTS STATUS Ordinance (w/exhibits & legislative draft if applicable) Attached ❑ Not Applicable Resolution (w/exhibits & legislative draft if applicable) Attached Not Applicable ❑ Tract Map, Location Map and/or other Exhibits Attached ❑ Not Applicable Attached Contract/Agreement (w/exhibits if applicable) Not Applicable Signed in full by the City Attorney) Attached ❑ Subleases, Third Party Agreements, etc. Not Applicable Approved as to form by City Attorney) Certificates of Insurance (Approved b the City Attorne Attached ❑ Pp Y Y Y) Not Applicable Fiscal Impact Statement Unbud et, over$5,000 Attached p ( 9 ) Not Applicable BondsIf applicable) Attached ( pp ) Not Applicable � Staff Re ort If applicable Attached p ( pp ) Not Applicable � Commission, Board or Committee Report If applicable) Attached ❑ p ( pp ) Not A plicable ❑ s/Conditions for Approval and/or Denial Attached ❑ Findin 9 pp Not Applicable EXPLANATION FOR MISSING ATTACHMENTS REVIEWED RETURNED FORWARDED ( y t Administrative Staff A ) U Assistant City Administrator Initial -City Administrator Initial City Clerk ( } EXPLANATIO14 FOR RETURN OF ITEM: Space . Only) RCA Author: Lamb,x 5186 Impression antibourrage et h s6chage rapide ® www.averycom AVERY®5960"'� Udlisez le gabwk 596V- 1-800-CG-AVERV 1J Hilton Waterfront Beach Resort Hyatt Regency Huntington Beach Best Western Regency Inn Attn: J. D. Shafer Spa and Resort Attn: Diane Beadling 21100 Pacific Coast Highway Attn: Cheryl Phelps 19360 Beach Blvd. g y 21500 Pacific Coast Highway Huntington Beach, CA 92648 Huntington Beach, CA 92648 Huntington Beach, CA 92648 Comfort Suites Hotel Huntington Beach Howard Johnson Express Inn &Suites Attn: Chandu Patel Attn: Ming Shin Kou Attn: Kiran Patel 16301 Beach Blvd. 7667 Center Ave. 17251 Beach Blvd. Huntington Beach, CA 92647 Huntington Beach, CA 92647 Huntington Beach, CA 92647 Beach Inn Sun `N Sands Motel Colonial Inn Youth Hostel Attn: A. Lien Chao Attn: Jitendra P. Barot Attn: James Parkinson 18112 Beach Blvd. 1102 Pacific Coast Highway 421 - 8th St. Huntington Beach, CA 92646 Huntington Beach, CA 92648 Huntington Beach, CA 92648 Edelweiss Inn Extended Stay America Guest House International Inn Attn: Alfred Skistimas Attn: Dev Chauhan Attn: Raju Patel 7561 Center Ave., #46 5050 Skylab West Circle 18382 Beach Blvd. Huntington Beach, CA 92647 Huntington Beach, CA 92647 Huntington Beach, CA 92648 Huntington Suites Huntington Surf Inn Ocean View Motel Attn: Young Ja Zahedi Attn: Long Han/Jennifer Phi Attn: Pravin Patel 727 Yorktown Ave. 720 Pacific Coast Highway 16196 Pacific Coast Highway Huntington Beach, CA 92648 Huntington Beach, CA 92648 Huntington Beach, CA 92649 Pacific View Inn & Suites Best Western Huntington Beach Inn 777 Motor Inn Attn: Khushbu,LLC-Jayesh Patel Attn: Ken Patel Attn: Mulan Kuo /Victor Ali 16220 Pacific Coast Highway 800 Pacific Coast Highway 16240 Pacific Coast Highway Huntington Beach, CA 92649 Huntington Beach, CA 92648 Huntington Beach, CA 92649 /M OTC �/ wi096s® d D AMAV-O�J'008-1. —og6s 3wmw31�e►v asn WowAso►e' mm ® 6unulid eam 94nws pue uief EFA6r.V v&r /o RESOLUTION NO. 2005-58 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH APPROVING AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2005-2006 WHEREAS, the Parking and Business Improvement Area Law of 1989, codified at Streets and Highways Code § 36500 et seq. (the "Act") authorizes cities to establish parking and business improvement areas for the purpose of imposing benefit assessments on businesses for certain purposes; and The City Council formed a business improvement area,the Huntington Beach Hotel/Motel Business Improvement District (the "District"), by the passage of Ordinance 3569 on August 19, 2002. The time has come to continue the existence of the District for fiscal year 2005-06 by levying assessments on those businesses that benefit from the improvements, The District's Advisory Board has prepared and filed with the City Clerk a report an "Annual Report/Operating Budget 2004-2005 Fiscal Year to Date" and "Proposed Budget for Fiscal Year 2005-2006" (collectively, "Annual Report"); On Aug ,st- 15� 2005 , the City Council adopted a resolution declaring its intention to levy an annual assessment for Fiscal Year 2005-2006 as proposed by the District's Annual Report. NOW, THEREFORE,the City Council of the City of Huntington Beach does hereby resolve, determine and find as follows: SECTION 1. The City Council hereby approves and adopts 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 report includes a proposed budget for Fiscal Year 2005-2006 and a description of the improvements and activities to be provided for Fiscal Year 2005-2006. SECTION 2. The City Council of the City of Huntington Beach hereby authorizes a levy and collection of assessments within the District for fiscal year 2005-06 as proposed by the Annual Report. The amount of the assessment shall be 1% on overnight room stays and is to apply to all hotel and motel businesses in Huntington Beach as shown in Exhibit B. SECTION 3. The assessments collected will be used to fund activities to increase overnight business stays and tourist visits to District businesses. 05reso/hotel BID assess 1 Res. No. 2005-58 SECTION 4. This resolution shall take effect on October 1 , 2005 PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the day of , 2005. REVIEWED AND APPROVED: APPROVED AS TO FORM: ty Administrator ��s' ity Attorney INITI A APPROVED: Director of 1co mic Development 05reso/hotel BID assess 2 Res. No. 2005-58 Annual Report 2005-58 Exhibit "A" Huntington Beach Hotel/Motel Business Improvement District Fiscal Year 2004-2005 Annual Report Res. No. 2005-58 Exhibit "A" HUNTINGTON BEACH HOTELIMOTEL BUSINESS IMPROVEMENT DISTRICT (Administered by the Huntington Beach Conference and Visitors Bureau) Annual Report/Operating Budget 2004 2005 Fiscal Year The Huntington Beach Conference and Visitors Bureau continued to escalate its scope of activities and effectiveness as a destination management agency during 2004/05. The stage was set for an even larger program of work and increased level of influence as a marketing entity in the future. The following highlights/programs would not have been possible without the establishment of the BID. • Completed branding initiative for Huntington Beach that led to the filing of nine Surf City USATm trademark applications; development of a new Surf City USA logo; extensive worldwide publicity about the 'feud" between Santa Cruz and Huntington Beach; a licensing agent agreement for Surf City USA merchandise with Global Icons; and the Bureau's first licensing contract with Felt Bicycles for Surf City USA bicycles to be marketed in up to 30 countries. The rationale for the trademark was based on additional research completed during the year including a visitor intercept survey at the pier, cooperative visitor study with the Orange County Tourism Council; brand distinction analysis; trademark search; SWOT (strengths, weaknesses, opportunities and threats) analysis; resident study and logo analysis which incorporated a highly publicized local survey. • Dramatically enhanced the Bureau's website with standardized and increased type and font sizes; automated page view/click through reports for all web pages; adoption of the surfcityusa.com URL (phasing out the old hbvisit.com URL); development of a new downtown locator map; extensive refinements to the annual events webpage; addition of 20+ new content pages from boating to local arts to city accolades; a new Media section including a press kit and all press releases issued for the past two years; and drop down menus to enhance navigation from the homepage. With on-going efforts to optimize search engine placement for key search terms, the website set another record in June with more than 79,000 unique viewers —an increase of 58 percent from the previous year and 438 percent higher than 2003. • Continued to issue a new press release every week to nearly 1,000 publications and broadcast media on a weekly basis. Hired Bureau's first Public Relations Manager after an extensive nationwide search. Expanded involvement in the California Travel & Tourism Commission's media receptions to include both New York and Los Angeles. • Developed the City's first Meeting Planners Guide, an upscale publication aimed at bringing additional groups to Huntington Beach and providing comprehensive planning information to assist meeting planners in booking engagements here. • The Bureau's 2004 Spring/Summer advertising campaign aimed at families was expanded to a year round program in five key publications: Arizona Highroads (AAA),Arizona Republic(newspaper), Sunset, VIA (AAA) and Westways (AAA). It was complemented by spot placements in Better Homes & Gardens, Ladies' Res. No. 2005-58 Exhibit "A" Home Joumal and What's On. At the same time, accountability standards were raised by utilizing unique toll free phone numbers and URLs in advertisements to enhance the ability to measure the impact and effectiveness of each publication. • Produced the Bureau's second rack "lure" brochure for distribution in 2,000 outlets in drive markets across the western U.S. Expanded distribution to include Orange County and San Diego for enhanced penetration in competitive markets. • Created five issues of the Bureau's first online newsletter developed for local residents and City officials entitled, "HB Pipeline." Each issue was posted to the City's website and promoted via an email sent to City newsletter subscribers. • Cataloged, organized, color-corrected and uploaded more than 3,800 separate high resolution Bureau photos to a digital asset management (DAM)system that permits staff to easily locate images for promotional efforts. A separate version of the DAM system with 1,000 of the best images was seamlessly integrated into the Bureau's website with password protection for use by the media. Hundreds of new images of the City were collected and added to the database. Releases were secured from the photographers of all 3,800 images to ensure the Bureau was legally entitled to use them and protected from the threat of future litigation. • Expanded the season for the City's first Visitor Center on the Pier by 19 days following a successful test run the previous year. The kiosk was open from May 28 to September 11, 2005. With 80 percent of the staff returning from the previous year, Visitor Information Specialists were well poised to handle guest inquiries and assist visitors with their needs. At yearend,the Bureau contracted Adams Associates to facilitate governmental approvals necessary to construct a new, permanent Visitor Center at the pier incorporating the Citibank ATM kiosk with the hope of opening the new facility during the spring of 2006. Res. NO. 2005-58 Exhibit "A" H.B.Conference and Visitors Bureau BID Balance Sheet As of June 30,2005 ASSETS Current Assets Checking/Savings Business Checking-B.I.D. $ 10,644.42 Money Market-B.I.D. 97,176.85 Total Checking/Savings 107,821.27 Accounts Receivable 130,000.00 Prepaid Expenses 2,937.65 Total Current Assets 240,758.92 Fixed Assets Furniture&Fixtures 8,830.00 Accum.Depr. -Furniture&Fix. (4,915.25) Total Furniture&Fixtures 3,914.75 Equipment 16,079.01 Accum.Depr. -Equipment (4,484.48) Total Equipment 11,594.53 Total Fixed Assets 15,509.28 TOTAL ASSETS $ 256,268.20 LIABILITIES&EQUITY Liabilities Current Liabilities Accounts Payable $ 116,334.35 Accts Payable-Personnel 1,320.67 Total Current Liabilities 117,655.02 Total Liabilities 117,655.02 Equity General Unrestricted Net Assets 129,225.08 Net Income 9,388.10 Total Equity 138,613.18 TOTAL LIABILITIES&EQUITY $ 256,268.20 * B.I.D. receivable of$130,000 is estimated by management. Res. No. 2005-58 Exhibit "A" HUNTINGTON BEACH HOTEL/MOTEL BUSINESS IMPROVEMENT DISTRICT (Administered by the Huntington Beach Conference and Visitors Bureau) Proposed Operating Budget 2005-2006 Category Proposed Advertising $258,000.00 Exhibit/Seminar/ Registration Fees 4,000.00 Fixtures /Furniture /Computer 2,500.00 Health Insurance 18,000.00 Liability Insurance 1,000.00 Payroll Taxes 18,000.00 Pension 18,000.00 Postage/Fulfillment 36,000.00 Salaries 170,000.00 Subscriptions/ Dues 1,500.00 Travel Expenses 3,000.00 TOTAL $530,000.00 Res. No. 2005-58 Hotel/Motel List Res. No. 2005-58 EXHIBIT B CITY OF HUNTINGTON BEACH HOTELS AND MOTELS INCLUDED IN HUNTINGTON BEACH HOTEL INDUSTRY BUSINESS IMPROVEMENT AREA The BID benefit zone encompasses the entire City of Huntington Beach boundaries. It is anticipated that the entire City including businesses and residents will benefit from increased revenues generated by the activities of the BID. The following businesses will be included in the business improvement area established pursuant to California Streets and Highways Code Section 36500 et. seq.: Hilton Waterfront Beach Resort Edelweiss Inn 21100 Pacific Coast Hwy. 7561 Center Ave.,#46 Huntington Beach,CA 92648 Huntington Beach,CA 92647 Business Owner/Operator: J.D.Shafer Business Owner/Operator: Alfred Skistimas Hyatt Regency Huntington Beach Spa and Resort Extended Stay America 21500 Pacific Coast Hwy. 5050 Skylab West Circle Huntington Beach,CA 92648 Huntington Beach,CA 92647 Business Owner/Operator: Cheryl Phelps Business Owner/Operator: Dev Chauhan Best Western Regency Inn Guest House International Inn 19360 Beach Blvd. 18382 Beach Blvd. Huntington Beach,CA 92648 Huntington Beach,CA 92648 Business Owner/Operator: Tonho Intl.-Diane Beadling Business Owner/Operator: Raju Patel Comfort Suites Huntington Suites 16301 Beach Blvd. 727 Yorktown Ave. Huntington Beach,CA 92647 Huntington Beach,CA 92648 Business Owner/Operator: Chandu Patel Business Owner/Operator: Young Ja Zahedi Hotel Huntington Beach Huntington Surf Inn 7667 Center Avenue 720 Pacific Coast Hwy. Huntington Beach,CA 92647 Huntington Beach,CA 92648 Business Owner/Operator: Ming Shin Kou Business Owner/Operator: Long Han,Jennifer Phi Howard Johnson Express Inn&Suites Ocean View Motel 17251 Beach Blvd. 16196 Pacific Coast Hwy. Huntington Beach,CA 92647 Huntington Beach,CA 92649 Business Owner/Operator: Kiran Patel Business Owner/Operator: Pravin Patel Beach Inn Pacific View Inn&Suites 18112 Beach Blvd. 16220 Pacific Coast Hwy. Huntington Beach,CA 92646 Huntington Beach,CA 92649 Business Owner/Operator: A.Lien Chao Business Owner/Operator: Khushbu,LLC—Jayesh Patel Sun`N Sands Motel Best Western Huntington Beach Inn 1102 Pacific Coast Hwy. 800 Pacific Coast Hwy. Huntington Beach,CA 92648 Huntington Beach,CA 9248 Business Owner/Operator: Jitendra P.Barot Business Owner/Operator: Ken Patel Colonial Inn Youth Hostel 777 Motor Inn 421—8'h St. 16240 Pacific Coast Hwy. Huntington Beach,CA 92648 Huntington Beach,CA 92648 Business Owner/Operator: James Parkinson Business Owner/Operator: Mulan Kuo,Victor Ali G:UimlHotel-Motel List.doc Res. No. 2005-58 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 an regular meeting thereof held on the 19th day of September, 2005 by the following vote: AYES: Hansen, Coerper, Sullivan, Hardy, Green, Bohr, Cook NOES: None ABSENT: None ABSTAIN: None City Jerk and ex-officio rk of the City Council of the City of Huntington Beach, California F �kh t PROOF OF PUBLICATION STATE OF CALIFORNIA) ) ss. COUNTY OF ORANGE ) am a Citizen of the United States and a resident of the County aforesaid; I am over the age of eighteen years, and not a party to or interested in the below entitled matter. I am a principal clerk of the HUNTINGTON BEACH INDEPENDENT, a newspaper of general circulation, printed and published in the City of Huntington Beach, County of Orange, State of California, and that attached Notice is a true and complete copy as was printed and published in the Huntington Beach issue of said newspaper to wit the Issue(s) of: August 25, 2005 1 declare, under penalty of perjury, that the foregoing is true and correct. Executed on August 25, 2005 at Costa Mesa, California. Signature SECTION 5. The City Clerk is hereby directed to provide notice of the public As of June 30,2005 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. ASSETS Current Assets SECTION 6. Further information regarding the proposed business CheckinglSnvings improvement district may be obtained at the Huntington Beach City Hall,2000 Main Business Checking-B.I.D. $ 10,644.42 Street,Huntington Beach,California 92648;telephone(714)536-5542;or from the Money Market•Bd D. 97,176.85 Huntington Beach Conference and Visitors'Bureau,301 Main Street,Suite 208, Total Checking/Savings 107,821.27 Huntington Beach,CA 92648,(714)969-3492. Accounts Receivable 130,000.00 + SECTION 7. The City Clerk shall mail a complete copy of this resolution of Prepaid Expenses 2,937.65 intention by first-class mail to each business owner in this area within seven days after the Council's adoption of this resolution. Total Current Assets 240,758.92 SECTION 8. This resolution shall take effect immediately upon adoption, Fixed Assets Furniture&Fixtures 8,830.00 PASSED AND ADOPTED by the City Council of the City of Huntington Beach Arcum.Dept.-Furniture&FL-. (4,915,25) at a regular meeting thereof held on the 15th day of A ugi-r 2005, Total Furniture&Fixtures 3,914.75 Equipment 16,079.01 /s/Jill Hardy Accum.Dept.-Equipment (4,494,48) Mayor Total Equipment 11,594.53 REVIEWED AND APPROVED: APPROVED AS TO FORM: Tom Fixed Assets 15,509.28 /s(Penelope CUlbieth-Graft TOTAL ASSETS $ 256,268.20 p /s/Jennifer McGrath City Administrator LIABILITIES City Attorney ABILITIES&EQUITY, Liabilities INITIATED AND APPROVED: Current Liabilities Accounts Payable $ 116,334.35 /s/R.E Beardsley Accts Payable-Personnel 1,320.67 Acting Director of Economic Development Total Current Liabilities 117,655.02 EXHIBIT A Total Liabilities 117,655.02 Huntington Beach Equity General Unrestricted Net Assets 129,225.08 Hotel/Motel Business Net Income 9,388.10 Improvement District Total Equity 138,613.18 Fiscal Year 2004-2005 TOTAL LTABILITIES&EQUITY $ 2s6,26s.20 p��i�ual Report • B.I,D.receivableof$130,000isestimatedbymanagement. R (Continued on next page) Legal Notices 1141 Legal Notices 2640 LegalNodtes 2640 1 LegalNoNces 2040 LegalNoOces 2640 LegalNdkes 2040 Legal 2W Le NAlNogces 204g Legal Notices 2640 1 LegalJt Kill . RESOLUTION N0.2005.57 EXHIBIT A HUNTINGTON BEACH HOTEUMOTEL BUSINESS IMPROVEMENT DISTRICT A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF (Administered by the Huntington Beach Conference and Visitors Bureau) HUNTINGTON BEACH DECLARING THE Cars Annual ReportlOpecaating Budget2004 2006 Flscai Year INTENTION TO LEVY AN ANNUAL ASSESSMENT FOR FISCAL YEAR 2005-2006 WITHIN THE HUNTINGTON The Huntington Beach Conference and Visitors Bureau continued to escalate Its scope BEACH HOTELJMOTELBUSINESS IMPROVEMENT DISTRICT of activities and effectiveness as a destination management agency during 2004/05, The stage was set for an even larger program of work and increased,level of influence as a marketing entity in the future,The following highlights/programs would not have WHEREAS,the California Legislature,in adopting the Parking and Business been possible without the establishment of the BID, Improvement Area Law of 1989 Streets and$i hw s Code 36500 et se , found that P ( 8 oY § 9) Completed branding initiative for Huntington Beach that led to the filing of nine cities are authorized to levy assessments on businesses in order to promote economic Surf City USA""trademark applications;development of a new Surf City USA revitalization and tourism,create jobs,attract new businesses and prevent erosion of logo;extensive worldwide publicity about the`feud"between Santa Cruz and business districts;and Huntington Beach;a licensing agent agreement for Surf City USA merchandise with Global Icons;and the Bureau's first licensing contract with Felt Bicycles for The California Legislature found that cities are authorized to levy assessments Surf City USA bicycles to be marketed In up to 30 countries.The rationale for on businesses which benefit from those improvements and activities;and the trademark was based on additional research completed during the year including a visitor intercept survey at the pier;cooperative visitor study with the A sizeable majority of the hotel and motel businesses within the City of Orange County Tourism Council;brand distinction analysis;trademark search; . Huntington Beach requested that the City Council commence proceedings under the SWOT(strengths,weaknesses,opportunities and threats)analysis;resident study and logo analysis which incorporated a highly publicized local survey. 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 Dramatically enhanced the Bureau's website with standardized and increased assessment to promote tourism and tourist related events;and type and font sizes;automated page view/cifck through reports for all web pages;adoption of the surfcNyusa.com URL(phasing out the old hbvisit.com The City Council formed a business improvement area,known as the URL);development of anew downtown locator map;extensive refinements to Huntington Beach Hotel/Motel Business Improvement District(the"District"),by the the annual events webpage;addition of 20+new content pages from boating to local arts to city accolades;a new Media section including a press kit and all passage of Ordinance No:3569 on August 19,2002. The time has come to continue the press releases issued.for the past two years;and drop down menus to enhance 1 existence of the District for fiscal year 2005.06 by levying assessments on those navigation from the homepage.With on-going efforts to optimize search engine businesses that benefit from the activities;and placement for key search terms,the websits set another record in June with more than 79,000 unique viewers—an increase of 58 percent from the previous The District's Advisory Board has prepared and filed with the City Clerk an year and 438 percent higher than 2003. "Annual Report/Operating Budget 2004-2005 Fiscal Year to Date"and"Proposed . Continued to issue anew press release every week to nearly 1,000 publications Budget for Fiscal Year 2005 2006"(collectively,"Annual Report");and and broadcast media on a weekly basis.Hired Bureau's first Public Relations Manager after an extensive nationwide search.Expanded involvement in the NOW,THEREFORE,BE IT RESOLVED that the City Council of the City of California Travel&Tourism Commission's media receptions to include both New Huntington Beach does hereby resolve as follows: York and Los Angeles, SECTION 1 The City Council hereby approves the Annual Report filed by the • Developed the City's first Meeting Planners Guide,an upscale publication aimed Advisory Board in the City Clerk's office attached hereto as Exhibit A and at bringing additional groups to Huntington Beach and providing comprehensive incorporated herein by this reference,which includes a proposed budget for Fiscal Year planning information to assist meeting planners in booking engagements here. 2005-2006 and a description of the improvements and activities to be provided for • The Bureau's 2004 Spring/Summer advertising campaign aimed at families was Fiscal Year 2005-2006, expanded to a year round program in five key publications:Arizona Highroads (AAA),Arizona Republic(newspaper),Sunset,VIA(AAA)and Westways(AAA). SECTION 2. To levy and collect assessments within the District area for Fiscal It was complemented by spot placements in Better Homes&Gardens,Ladies' Year 2005-2006 in the amount of 1%on hotel and motel overnight room stays in.hotels Home Journal and What's On.At the some time,accountability standards were and motels listed in Exhibit B attached hereto and incorporated herein by this reference, raised by utilizing unique toll free phone numbers and URLs in advertisements to enhance the ability to measure the Impact and effectiveness of each publication. SECTION 3; The type or types of improvements and activities proposed to be . Produced the Bureau's second rack"lure'brochure for distribution in 2,000 funded by the levy of assessments on businesses within the business improvement area outlets in drive markets across the western U.S.Expanded distribution to include are specified in ExhibitC,attached hereto and incorporated,herein by this reference. Orange County and San Diego for enhanced penetration in competitive markets. Further,the improvements,if any,to be acquired for the proposed business . Created five Issues of the Bureau's first online newsletter developed for local improvement area are specified in Exhibit C. residents and City officials entitled,'HB Pipeline."Each issue was posted to the SECTION 4. A public hearing shall be held before the City Council on City's website and promoted via an email sent to City newsletter subscribers. September 6,2005,at 6:00 p.m.,or as soon thereafter as this matter may be heard,in • Cataloged,organized,color-corroded and uploaded more than 3,800 separate the Council Chambers of the City Hall,2000 Main Street,Huntington Beach, high resolution Bureau photos to a digital asset management(DAM)system that California,at which time the Council will hear all interested persons for or against permits staff to easily locate images for promotional efforts.A separate version levying of the assessment,and the furnishing of specified types of improvements or of the DAM system with 1,000 of the best Images was seamlessly integrated into activities_ Prntects may he matte orally nr in writino-No if written chap he fiini with the Bureau's webeite with password protection for use by the media.Hundreds activities. Protests may be made orally or in writing;but,it written,shall be filed with of new Images of the City were collected and added to the database.Releases the City Clerk at or before the time fixed for the hearing and contain sufficient were secured from the photographers of all 3,800 Imager,to ensure the Bureau documentation to verify business ownership and validate the particular protest. Any was legally entitled to use them and protected from the threat of future litigation. 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 • Expanded the season for the City's first Visitor Center on the Pier by 19 days City Council may waive any irregularity in the form or content of any written protest, following a successful test run the previous year.The kiosk was open from May and at the public hearing,may correct minor defects in the proceedings. A written 28 to September 11,2005.With 80 percent of the staff returning from the protest may be withdrawn in writing at any time before the conclusion of the public previous year,Visitor Information Specialists were well poised to handle guest inquiries and assist visitors with their needs.At yearend,the Bureau contracted hearing set forth above.If written protests are received by the owners of businesses Adams Associates to facilitate governmental approvals necessary,to construct a within the District,which will pay 50%or more of the total assessments to be levied,no new,permanent Visitor Center at the pier incorporating the Citibank ATM kiosk further proceedings to levy the proposed assessment shall be taken for a period of one with the hope of opening the new facility during the spring of 2006. year from the date of the finding of majority protest by the City Council. If the majority protest is only against the furnishing ofa specified type or types of improvements or activity within the District,those types of improvements or activities EXHIBIT A shall be eliminated. H.B.Conference and Visitors Bureau SECTIONS. The City Clerk is hereby directed to provide notice of the public BID Balance Sheet As of June30,2005 hearing by causing the this resolution of intention to be published once in a newspaper j F of general circulation at least seven days before the public hearing. ASSETS Current Assets SECTION 6. Further information regarding the proposed business Checking/Savings improvement district may be obtained at the Huntington Beach City Hall,2000 Main Business Checking-B.I.D. S 10,644.42 Street,Huntington Beach,California 92648;telephone(714)536-5542;or from the Money Market-B.I.D. 97,176.85 Huntington Beach Conference and Visitors'Bureau,301 Main Street,Suite 208, Total Checking/Savings 107,821,27 Huntington Beach,CA 92648,(714)969-3492. Accounts Receivable 130,000.00 SECTION 7. The City Clerk shall mail a complete copy of this resolution of Prepaid Expenses 2,937.65 intention by first-class mail to each business owner in this area within seven days after the Council's adoption of this resolution. Total Current Assets 240,758.92 SECTION 8. This resolution shall take effect immediately upon adoption."` Fixed Assets Furniture&Fixtures 8,830.00 PASSED AND ADOPTED by the City Council of the City of Huntington Beach Accum Depr.,-Furniture&Fix. (4,915.25) at a regular meeting thereof held on the I Sth day of agg„sr ,2005. Total Furniture&Fixtures 3,914.75 Squipment 16,079.01 ' 7s/Jill Hardy Ace—Depr,-Eq-pment (4,484A8) Mayor Total Equipment 11, 94�.53eb 3— REVIEWED AND APPROVED: APPROVED AS TO FORM: T°ta1 Fized`''ss 15,509.28 /s/Penelope Culbreth-Graft /s/Jennifer McGrath TOTAL ASSETS s 256.268 20 i City Administrator City Attorney LI42111TIES&EQUITY Liabilities INITIATED AND APPROVED: Current Liabilities Accounts Payable S 116,334,35 R.F.Beardsley Aects Payable-Personnel 1,320,67 Acting Director of Economic Development Total Current Liabilities 117,655.02 EXHIBIT Total Liabilities ; 117,655.02 Huntington Bach Equity g General Unrestricted Net Assets 129,225.08 Hotel/Motel Business Net Income 138810 Total Equity 138,613.18 Improvement District Fiscal Year2004-2005 TOTAL LLIBBXMS&EQUITY $ 25626820 Annual Deport * ALD.recelvableoJs130,000isestimatedbymanagement. I' l R • (Continued on next page) z 60 gAy, all I y a g " a a LL 1 was fY1e� - : AoverusuxJ :Wbd,UUu.W Exhibit/Seminar/Registration Fees 4,000.00 Fixtures/Furniture 1 Computer 2,500,00 Health Insurance 18,000.00 Liability Insurance 1,000.00 Payroll Taxes 18,000.00 Pension 18,000.00 x Postage/Fulfillment 36,000.0001 � s ` Salaries 170,000.00 Subscriptions/Dues 1,500.00 Travel Expenses 3-000.00 TOTAL $530,000.00 I Res.No,2005fi7 STATE OF CALIFORNIA COUNTY OF ORANGE ) as: CITY OF HUNTINGTON BEACH 1 i 1,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 an regular meeting thereof held on the 15th day of August,2005 by the following vote: AYES: Hansen,Coerper,Sullivan,Hardy,Green,Bohr,Cook NOES: None ABSENT: None ABSTAIN: None r /s/Joan L.Flynn City CIerk and ex-officio Clerk of the City Council of the.City of Huntington Beach,California Published Huntington Beach Independent August 25,2005 084-206 T PROOF OF PUBLICATION STATE OF CALIFORNIA) ) ss. COUNTY OF ORANGE ) I am a Citizen of the United States and a resident of the County aforesaid; I am over the age of eighteen years, and not a party to or interested in the below entitled matter. I am a principal clerk of the HUNTINGTON BEACH INDEPENDENT, a newspaper of general circulation, printed and published in the City of Huntington Beach, County of Orange, State of California, and that attached Notice is a true and complete copy as was printed and published in the Huntington Beach issue of said newspaper to wit the Issue(s) of: August 25, 2005 1 declare, under penalty of perjury, that the foregoing is true and correct. Executed on August 25, 2005 at Costa Mesa, California. Signature slay,August 25,2005 - Irm of- 2640`LeP(it k- 2640)�Notices 26401 Legal Notices 2640 I litiaI iltiff- zs4o I Lega►N - 26401 Legal Nd- rA l Legal NOM 2640 f Legal Notices 2r>w Leal tkge4s RESOLUTION NO.2005-57 EXHIBIT A A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH HOTELIMOTEL BUSINESS IMPROVEMENT DISTRICT RESOLUTION F BEACH DECLARING THE E CITY (Administered by the Huntington Beads Conference and Visitors Bureau) Annual ReportOperadng Budget 2004-2005 Fiscal Year INTENTION TO LEVY AN ANNUAL ASSESSMENT FOR FISCAL YEAR 2005-2006 WITHIN THE HUNTINGTON The Huntington Beach Conference and Visitors Bureau continued to escalate its scol BEACH HOTELIMOTEL BUSINESS IMPROVEMENT DISTRICT of activities and effectiveness as a destination management agency during 2D04105- The stage was set for an even larger program of work and increased level of lodueno as a marketing entity in the future.The following highlights/programs would not have WHEREAS,the California Legislature,in adopting the Parking and Business been possible Without the establishment of the BID. iprovement Area Law of 1989(Streets and Highways Code§36500 et seq.)found that Completed branding initiative for Huntington Beach that led to the filing of nine ties are authorized to levy assessments on businesses in order to promote economic Surf City USATO trademark applications;development of a new Surf City USA vitalization and tourism,create jobs,attract new businesses and prevent erosion of _ logo;extensive worldwide publicity about the'fetid"between Santa Cruz and rsiness districts;and Huntington Beach,a Ncensuhg agent agreement for Surf City USA merchandr with Global icons;and the Bureau's first licensing contract with Felt Bicycles 6 The California Legislature found that cities are authorized to levy assessments Surf City USA bicycles to be marketed in up to30 countries:The rationale for h businesses which benefit from those improvements and activities;and the trademark was based on additional research completed during the year including a visitor intercept survey at the pier,cooperative visitor study with tr A sizeable majority of the hotel and motel businesses within the City of Orange County Tourism Council;brand distinction analysis;trademark sear dt ent waington Beach requested that the City Council commence proceedings under the SWOT a(strengths,n weaknesses'cop oratedes'asset threats)analysis;surresvey. irking and Business Improvement Area Law of 1989 to establish a hotel and motel Y analysis which incorporated a highly publicized local survey. tsiness benefit area within the City of Huntington Beach and to levy a special • Dramatically enhanced the Bureau's website with standardized and increased sessment to promote tourism and tourist related events;and type and font sizes;automated page view/dick through reports for all web pages,adoption of the surkrlyusa.com URL(phasing out the old hbvisdLcom The City Council formed a business improvement area,known as the URL);development of a new downtown locator map;extensive refinements to hntington Beach HotellMotel Business Improvement District(the—District),by the the annual events webpage;addition of 20+new contend pages from boating 1 ll hssage of Ordinance No.3569 on August 19,2002-The time has come to continue the local arts to city accolades a new Media section including do a press kit and a press releases issued lion the past two ears;and d down menus to enhhanr istence of the District for fiscal year 2005-06 by levying assessments on those navigationfrom the home page. Y hsinesses that benefit from the activities;and ement Pare-With ongoing efforts a record i search with placement for key search terms,the website set another record in June wNh more than 79,000 unique viewers—an increase of 58 percent from the prevb The District's Advisory Board has prepared and filed with the City Clerk an year and 438 percent higher than 2003. lnnuai Report/Operating Budget 2004 2005 Fiscal Year to Date"and Proposed Continued to issue a new press release every week to nearly 1,000 publkmtlo ad get for Fiscal Year 2005-2006 (collectively,"Annual Report");;and g ( Y and broadcast media on a weekly basis.Hired Bureau's first Public Relations Manager after an extensive nationwide search.Expanded involvement in the NOW,THEREFORE,BE IT RESOLVED that the City Council of the City of California Travel&Tourism Commission's media receptions to include botch N untington Beach does hereby resolve as follows: York and Los Angeles. SECTION 1. The City Council hereby approves the Annual Report filed by the • Developed the Cdty's fast Meeting Planners Guide,an upscale publication aim dvisory Board in the City Clerk's office attached hereto as Exhibit A and at bringing additional groups to Huntington Beach and providing comprahenst co rporated herein by this reference,which includes a proposed budget for Fiscal Year planning information to assist meeting planners li booking engagements here )05-2006 and a description of the improvements and activities to be provided for r The Bureau's 2004 Spring/Summer advertising campaign aimed at families w. scat Year 2005-2006. expanded to a year round program in five key publications:Arizona Mig/hr (AAA).Arizona RepubFc(newspaper),Sunset,WA(AAA)and Westways(AAA SECTION 2. To levy and collect assessments within the District area'far Fiscal It was complemented by spot placements in Better Homes&Gardens,Ladres ear 2005-2006 in the amohmt of 1%on hotel and motel overnight room stays in hotels Horne Joumal and Whdt's On.At the saran time,accountabidi•y standards wep id motels listed in Exhibit B attached hereto and incorporated herein by this reference. ratsed.by.ubTiang,unique toll free phone numbers and URLs in advertisements enhance the ability to measure the impact and effectiveness of each publicatic SECTION 3: The type or types of improvements and activities proposed to be . Produced One Bureaus second rack lure"brochure for distribution in 2,000 rnded by the levy of assessments on businesses within the business improvement area outlets in drive markets across tine western U.S.Expanded distribution to indu t specified in Exhibit C,attached hereto and incorporated herein by this reference. Orange County and San Diego for enhanced penetration aft competitive marke rather,the improvements,if any,to be acquired for the proposed business . Created Bye issues of the.Bureau's feat online newsletter developed for local iprovement area are specified in Exhibit C. residents and City officials entitled,-HB Pipeline."Each issue was posted to th SECTION 4. A public hearing shall be held before the City Council on City s websde and promoted via an small sent to City newsletter subscribers_ =ptember 6,2005,at 6:00 p.m.,or as soon thereafter as this matter may be heard,in Cataloged organize!,color-corrected and uploaded more than 3,8W separab &Council Chambers of the City Hall,2000 Main Street,Huntington Beach, high resolution Bureau photos to a digital asset management(DAM)system t alifomia,at which time the Council will hear all interested persons for or against permits staff to easdy locate images for promotional efforts.A separate version vying of the assessment and the furnishing of specified types of improvements or of the DAM system with 1,000 of the best images was seamlessly integrated it the Bureau's webshe with password protection for use by the media.Hundred: :tivities. Protests may be made orally or in writing;but,if written,shall be filed with of new images of the City were collected and added to the database.Release: to City Clerk at or before the time fixed for the heating and contain sufficient were secured from the photographers of all 3, M?images to ensure the Buren icumentation to verify business ownership and validate the particular protest_Any was legally entitled to use them and protected from the threat of future titigatio -otest pertaining to the regularity or sufficiency of the proceedings shall be in writing id shall clearly set forth the irregularity or defect to wlach,the objection is made.The Expanded the season for the City's first Visitor Center on the Pier by 19 days ity Council may waive any irregularity in the form or content of any written protest, following a successful test run the previous year.The kiosk was open from Ma id at the public hearing,may correct minor defects in the proceedings. A written 28 to September 11,ZOOS.With 80 percent of the staff returning from the rotest may be withdrawn in writing at any time before the conclusion of the public previous year,Visitor Information Specialists were well poised to handle guest eating set forth above_If written protests are received by the owners of businesses inquiries and assist visitors with tux needs.At yearend'the Bureau tontracto ithin the District,which will pay 50%or more offthe total assessments to be levied,no Adams Associates to facilitate governmental approvals necessary to ATM Must new,permanent V'�w Center at the pier incorporating dncorporatirg the C'�tibank ATM klosl hther proceedings to levy the proposed assessment shall be taken for a period of one with the hope of opening the new facility during the spring of 2006• ear from the date of the finding of a majority protest by the City Council. If the rajority protest is only against the famishing of a specified type.or:types of nprovernents or activity within the District,those types of improvements or activities EXHIBIT A hall be eliminated. RD.Conference and Visitors Bureau SECTION 5. The City Clerk is hereby directed to provide notice of the public BID Balance Sheet caning by causing the this resolution of intention to be published once in a newspaper As of nine 30'2005 f general circulation at least seven days before the public bearing. ASSETS ewTem Assef SECTION 6_ Further information regarding the proposed business p nprovement district may be obtained at the Huntington Beach City Hall,2000 Main Business Checivug-B.I.D. S 10,644.42 treet,Huntington Beach,California 92648;telephone(714)536-5542;or from the Money Market-Bd.D 97,176.85 untington Beach Conference and Visitors'Bureau,301 Main Street,Suite 208, Total Checkhm saviags 107,82127 untington Beach,CA 92648,(714)969-3492, Aexosats Receivable 130,000.00' SECTION 7. The City Clerk shall mail a complete copy of this resolution of prepaid E 2,937.65 uention by first-class mail to each business owner in this area within seven days after he Council's adoption of this resolution. -- Total Correct Assets 240,758.92 SECTIONS. This resolution shall take effect immediately upon adoption Fixed Aaseta Furniture&Fixaaes 8,930.00 PASSED AND ADOPTED by the City Council of the City of Huntinaton Beach Accum-Depr.-Furniture&Fnc_ (4,91525) Tht$II�'6eneficzdte enure��'A` e, � } ese�the �Y of flwLeglbn. lwundanEs.Tt� 4- d enUte.,,_ 6n�¢esses r svat basest�?otu inaessed revenues wtll be dela*d su tl bussa7civ eq�Trlis�PncntCao�g Sreef`: aid lftghwxys CDdde S=fion'36500 et.seq as a Ns .ahem W,aoerGoai,Beach Resat w .s= x 1, �ac}faecoauea�, � ,. '75&f EmxetA�./f4k � �j S�>mnesr,Uveaer(QPe�t' r D=tba• ,teems Alfitd.3kuh�aas- Fry�'F{ RwohSpi:mdRksai Esrom$ah Stay XmEnw. '. 21 'PBsd�C.tensE'Itsvy a SoSOSkyIgb Yl � au � 4z6as - � �� HunrH�.�"9�643i' t, T�a®emAw4par QK�}7�" `r,Eeavle�bRegehcyma gnat tt�s,Imemale�af mu CAW '10 as3Gae is3aza��a . a xummet spa+ ' uimea owoatucx.+ra-TmpoI�G-Diem Beedimg swea sn ` llbt.y 1°" . A,'_'Sy` 264 yap{'"6 if KO1et8E4Gb HaMi�taa Smfl® c;>" fl'43t '� ���if�'eplle rzareo>btat�. B eL:•'r�t 9764? xr Nom�gmeBeaci, A4�Gd8*`' iZ'm �__ _Ire"u QNOQ Gi•i£� `Q'}may. S ` Wt 17 Hl BTy w,,.n"APO" " '6E�6 PaU$�CwaiHerY ,{t r "�'. ' 1Ooq'BetogiCw.92bt7 Numieg(onHekb,.f.A 92649 �: ' B�6dlthvs - ICvmaPmd ,Busmega,0aaelQpanRa;PPaoel��',; d^+ &utr lm r+cdp Ye wlrm&R..sr a .' v e sxm taog , }IuotmgtonBear).Cp'926a4- z' _ BE_� ,���D suai�ss�owuer/opemtor zm�ut� � L qww saor. co aw eeaah.cn 9�5as xum�taaaeec6 G etas 7i0eofNe iF Bro't 'S, t,•a'r°'o6a DwuerlF Kea Paae� )-20 .�n �MB�KiPab sPRTrn'�t r s EXH LTC A�: silt OF im MO a Confer aqd a �r 6600 . 5 t Fees ..s-4 '"O F < w , a xr `s 16 low 1'77,WIN 77 J � ? 3 s00 � -Tore!�xR�iiSex 3©9K1.f1Q 'fi3,VVV.UV Postage/Fulfillment 36,000.00 Salaries 170,000.00 Subscriptions/Dues 11500.00 Travel Expenses 3,000.00 TOTAL $530,000.00 Res.No.2000-57 STATE OF CALIFORNIA COUNTY OF ORANGE ) as: CITY OF HUNTINGTON BEACH ) -I.JOAN L.FLYNN the duly elected,qualified City Clerk of the City of Huntington Beach,and ex officlo 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 an regular meeting thereof held on the 15th day of August,2005 by the following vote: AYES: Hansen,Coerper,Sullivan,Hardy,Green,Bohr,Cook NOES: None ABSENT: None ABSTAIN: None a /a/Joan L.Flynn City Clerk and ex-officio Clerk of the City Council of the,City of Huntington Beach;California Published Huntington Beach Independent August 25,2005 084-206