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HomeMy WebLinkAboutFY 2008-2009 Huntington Beach Auto Dealers Association Busin Council/Agency Meeting Held: Deferred/Continued to: Apixoved ❑ Conditionally Approved ❑ Denied �.SjL &PCity I k's natur Council Meeting Date: 9/15/2008 Department ID Number: ED 08-44 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMB S SUBMITTED BY: PAUL EMERY, INTERIM CITY ADMINISTRATORt PREPARED BY: STANLEY SMALEWITZ, DIRECTOR OF ECONOMIC DEVELOPMENT SUBJECT: Conduct Public Hearing and Adopt resolution approving an annual assessment within the Huntington Beach Auto Dealers Association Business Improvement District for fiscal year 2008-2009. Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s) Statement of Issue: On August 18, 2008, City Council approved the Resolution of Intent to No. 2008-49 to levy an assessment for the Huntington Beach Auto Dealers Business Improvement District for fiscal year 2008/09 and authorized the City Clerk to schedule a public hearing. The City Council will conduct a public hearing to consider a resolution to approve the annual assessment for the 2008/09 fiscal year. Funding Source: A carryover amount of $28,783 will be included in the 2008 Carryover Budget scheduled for City Council action on October 6, 2008. Recommended Action: Motion to: 1. Conduct the Public Hearing. 2. Adopt City Council Resolution No. 2008- 59 , a Resolution of the City Council of the City of Huntington Beach approving an annual assessment within the Huntington Beach Auto Dealers Association Business Improvement District for fiscal year 2008-2009. 3. Appropriate an additional $28,783 in the Auto Dealers BID account 70180101 to match the BID proposed budget. Alternative Action(s): 1. Deny the request to approve the Resolution; or 2. Modify elements of the proposed Resolution, such as: the proposed assessments, activities or improvements to be funded. REQUEST FOR CITY COUNCIL ACTION MEETING DATE: 9/15/2005 DEPARTMENT ID NUMBER: ED 08-44 Analysis: At the request of the Huntington Beach Auto Dealers Association, the City Council formed the Auto Dealers Business Improvement District (BID) in 1992 to fund the Dealers' obligation to operate and maintain the electronic reader board sign located just off the 405-freeway that was first constructed in 1992 and to fund other promotional activities that benefit the BID. The Auto Dealer BID Board of Directors approved the assessment formula at their August 13, 2008 meeting. For each auto dealer the assessment will include a $630 loan payment and a $725 assessment for promotional activities, for a total monthly cost of $1,355 per member. In order for the City to levy the BID assessment each fiscal year, City Council must conduct a public hearing before approving a Resolution confirming the Annual Report that was filed with the City Council Resolution 2008-49, approved on August 18, 2008. As required by the Streets and Highway Code §36500, et seq, copies of the Resolution of Intention that included the Annual Report and assessment formula was mailed to each business to be assessed and were also published in the Huntington Beach Independent. After the public hearing, City Council will consider adopting the Resolution. Upon approval of the Resolution, the 2008/09 assessment will become effective as of October 1, 2008. The Auto Dealers BID anticipates assessments of $177,903 for 2008-2009. The BID appropriation is currently $193,120 for FY 2008-2009. An additional $28,783 will be carried over in the 2008 Carryover Budget scheduled for City Council Action on October 6, 2008 to match the BID's proposed budget of$221,903. Strategic Plan Goal: F-1 "Create long-term financial strategies for funding the backlog of capital projects and maintenance requirements, and ensuring sufficient reserves to withstand major revenue fluctuations in order to ensure continuation of city services during economic downturns." BID activities that promote auto sales positively contribute to the city's general fund revenues. Environmental Status: Not applicable. Attachment(s): age UM Noi �be. a 1. Resolution No. 2008- 59 a resolution of the City Council of the City of Huntington Beach approving an annual assessment within the Huntington Beach Auto Dealers Association Business Improvement District for fiscal year 2008-2009. 2. Resolution No. 2008-49, approved on August 18, 2008, a Resolution of the City Council of the City of Huntington Beach Declaring the City's Intention to levy an annual assessment within the Huntington Beach Auto Dealers Business Improvement District for fiscal year 2008-2009. 3. 1 Power Point Presentation. -2- 9/4/2008 9:40 AM ATTACHMENT # 1 RESOLUTION NO. 2008-59 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH APPROVING AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2008-2009 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 has formed a business improvement area, the Huntington Beach Auto Dealers Association Improvement District (the "District"), by the passage of Ordinance 3175 on September 8, 1992. The time has come to continue the existence of the District for fiscal year 2008-2009 by levying assessments on those businesses that benefit from the improvements constructed; and The District's Advisory Board has prepared and filed with the City Clerk a report for Fiscal Year 2007-2008, ("Annual Report") which sets forth the amount and basis of levying the assessment for Fiscal Year 2008-2009. On August 18, 2008 , the City Council adopted a resolution declaring its intention to levy an annual assessment for Fiscal Year 2008-2009 as proposed in 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 2008-2009 and a description of the improvements and activities to be provided for Fiscal Year 2008-2009. 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 2008-2009 as proposed in the Annual Report. The levy is to apply to small businesses classified by the City of Huntington Beach License Code as Class A Retail Sales, (Al) Auto, New, Used, Parts, including new business of that classification located within the District in the amount of Seven hundred twenty five Dollars ($ 725.00 ) per month for fiscal year 2008-2009 plus an additional $ 630.00 for repayment of electronic reader board sign, for a total of$ 1355.00 per month, as set forth on Exhibit B, and incorporated herein by reference. 08-1696/24299 1 Auto#2 Resolution No. 2008-59 SECTION 3. The assessments collected shall be used to cover costs to operate, upgrade and maintain an electronic reader board located within the City of Huntington Beach west of the intersection of Beach Boulevard and Center Avenue and other promotional and advertising activities. SECTION 4. This resolution shall take effect on October 1, 2008 PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 15th day of September , 2008 . Mayor REVIEW ND APPROVED: INITIATED AND APP VED: /j City Ad inistrator Director of Economic elopment APPROVED AS TO FORM: AAk City Attorney AA,v Z-t� 08-1696/24299 2 Auto#12 Resolution No. 2008-59 EXHIBIT A HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT BUDGET/REPORT October 1, 2008 to September 30, 2009 REVENUE Budget 2007/08 Previous Year Carry Over $ 62,978 Business Improvement Assessment $ 177,903 Total Revenues: $ 240,881 EXPENSES Promotional Budgeted Exp thru July Exp Aug/Sept Total Difference Activities and Events $ 56,000 $ 28,199.00 $ 25,000.00 $ 53,199.00 $2,801.00 Management Services $ 26,000 $ 11,167.95 $ 2,600.00 $ 13,767.95 $12,232.05 Misc/Dues and Fees $ 1,000 $ 1.42 $ 1.42 $998.58 Office rent/Maintenance $ 14,477 $ 10,236.64 $ 2,245.28 $ 12,481.92 $1,995.08 Office Supplies $ 600 $ 1,929.74 $ 100.00 $ 2,029.74 -$1 429.74 Subtotal Promotional: $ 98,077 $ 51,534.75 $ 29,945.28 $ 81,480.03 $16,596.97 Reader Board Sign Maintenance Electricity $ 14,000 $ 11,625.95 $ 3,425.64 $ 15,051.59 -$1,051.59 Insurance $ 7,300 $ 1,827.00 $ 8,790.00 $ 10,617.00 -$3,317.00 Loan payment $ 83,093 $ 69,441.66 $ 13,833.34 $ 83,275.00 -$182.00 Maintenance $ 11,400 $ 9,500.00 $ 1,900.00 $ 11,400.00 Phone(data transmission) $ 850 $ 1,085.77 $ 200.00 $ 1,285.77 -$435.77 Programming for sign $ 5,760 $ 4,800.00 $ 960.00 $ 5,760.00 Subtotal Readerboard Sign: $ 122,403 $ 98,280.38 $ 29,108.98 $ 127,389.36 -$4,986.36 Total Expenses: $ 220,480 $ 149,815 $ 59,054 $ 208,869 $11,610.61 Resolution No. 2008-59 EXHIBIT A Huntington Beach Auto Dealer Business Improvement District Proposed Budget October 1, 2008 to September 30, 2009 REVENUE(') Previous Year Carry Over (estimated) $ 44,000 Business Improvement Assessment $ 177,903 Total Revenues: $ 221,903 EXPENSES Promotional Activities and events(2) $ 51,966 Management Services $ 27,000 Misc/Dues and Fees $ 500 Office rent/Maintenance $ 14,477 Office Supplies $ 1,000 Subtotal Promotional: $ 94,943 Reader Board Sign Maintenance Electricity $ 15,000 Insurance $ 10,600 Loan payment $ 83,000 Maintenance $ 11,400 Phone (data transmission) $ 1,200 Programming for sign $ 5,760 Subtotal Readerboard Sign: $ 126,960 Total Expenses: $ 221,903 NOTES: (1) Dealer assessments are based on $630 per month for each of the eleven dealer members. The operating assessment income is $725 per month per dealer. Net is $725 less 1% administrative charge for a total of $1,355 per dealer. Surplus Revenue represents excess aggregate loan assessment maintained by city finance dept. (2) HB Athletic Programs ($3,500); School Scholastic Programs($4,000);School Grad Nights ($2,500);Image advertising to buy at home ($12,000); Plus Misc. promotional activities and events ($29,996). Resolution No. 2008-59 EXHIBIT E I° UNTINGTON BEACH AUTO DEALER ASSOCIATION LIST OF MEMBER H.B. CHRYSLER-JEEP SATURNI OF HUNITINGTONI BEACH RICK EVANS-ROSS HELMANI TERRY BOOKER 16701 BEACH BLVD. 18801 BEACH BLVD. PHONE 841-3999 FAX 842-2903-841-9993 PHONE 841-9828 FAX 842-8499 H.B. MAZDA H.B. FORD CHAD CUSTERIJOHN PATTERSONI OSCAR BAKHTIARI/OMAR 16800 BEACH BLVD. 18255 BEACH BLVD. PHONE 848-7739 FAX 847-1265 PHONE 842-6611 FAX 847-8788 TOYOTA OF HB SURF CITY NIISSANI BOB MILLER/DENNIS PRADO STEVE NIICHOLSONI/ MARIO DIAZ 18881 BEACH BLVD. 17331 BEACH BLVD. PHONE 847-8555 FAX 847-1105 842-6666 F 375-0076/847-0759 DELILLO CHEVROLET HUNITINIGTON BEACH DODGE DAVE DELILLO/BILL DEMAREST CLAY .DAMES/LARRY SMITH 18211 BEACH BLVD. 16555 BEACH BLVD. PHONE 847-6087 FAX 847-6721 PHONE 847-5515 FAX 596-0230 NORM REEVES HONIDA H.B. MITSUBISHI DAN KLAWITTER/JOHN DALPE ABBAS AHMADI/CHUCK BIENI 19131 BEACH BLVD. 16751 BEACH BLVD. PHONE 842-5431 FAX 375-9783 375-9493 F/842-1563 (NOT MEMBER) MC KEN NA MOTORS ***** BILL NELSONS A/DLR DIRECTOR MARINI DELGADO/DANNIY MC KENINIA 714-536-8614 18711 BEACH BLVD surfhb@socal.rr.com 714-842-2000 FAX 714-843-8369 Res. No. 2008-59 STATE OF CALIFORNIA COUNTY OF ORANGE ) ss: CITY OF HUNTINGTON BEACH ) I, JOAN L. FLYNN the duly elected, qualified City Clerk of the City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven; that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at a regular meeting thereof held on September 15, 2008 by the following vote: AYES: Hansen, Hardy, Bohr, Cook, Coerper, Green, Carchio NOES: None ABSENT: None ABSTAIN: None Cit Clerk and ex-officio Vlerk of the City Council of the City of Huntington Beach, California ATTAC H M E N T #2 RESOLUTION NO 2008-49 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH DECLARING THE CITY S INTENTION TO LEVY AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2008-2009 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 has formed a business improvement area, known as the Huntington Beach Auto Dealers Association Business Improvement District (the "District"), by the passage of Ordinance 3175 on September 8, 1992 The time has come to continue the existence of the District for fiscal year 2008-2009 by levying assessments on those businesses that benefit from the improvements constructed, and The District's Advisory Board has prepared and filed with the City Clerk a report for Fiscal Year 2007-2008, ("Annual Report") which sets forth the amount and basis of levying the assessment for Fiscal Year 2008-2009 NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby resolve, determine and find as follows SECTION I The City Council hereby approves the Annual Report filed by the Advisory Board in the City Clerk's office attached hereto as Exhibit A and incorporated herein by this reference, which includes a proposed budget for Fiscal Year 2008-2009 and a description of the improvements and activities to be provided for Fiscal Year 2008-2009 SECTION 2 The City Council hereby declares its intent to levy and coIIect assessments within the District for Fiscal Year 2008-2009 The levy is to apply to small businesses classified by the City of Huntington Beach License Code as Class A Retail Sales (Al) Auto,New Used, Parts, including new business of that classification located within the Distnct as shown in Exhibit B in the amounts set forth therein,which exhibit is incorporated herein by this reference SECTION 3 The assessments collected will be used to cover costs to operate upgrade, and maintain an electronic reader board located within the City of Huntington Beach west of the intersection of Beach Boulevard and Center Avenue and other promotional and advertising activities SECTION 4 A public hearing shall be held before the City Council on September 15, 2008 , at 6 00 p in , or as soon thereafter as this matter may be heard, in the Council Chambers of the City Hall, 2000 Main Street, Huntington Beach, Cahforma, 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 08 1696/24296 1 Auto#I Resolution No 2008-49 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 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 Auto Dealers Association,Inc ,P O Box 2700,Huntington Beach, CA 92648,telephone (949) 831-3443 SECTION 7 The City Clerk shall mail a complete copy of this resolution of intention by first-class mad to each business owner in this area within seven days after the Council's adoption of this resolution SECTION 8 This resolution shall take effect immediately upon adoption PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 18th day of August 12008 A", &41L, Mayor REVIEWE AP ROVED INITIATED AND APPROVED City Administrator Director of Econorm evelopment APPROVED AS TO FORM M, �,k, 3ity Attorney UM� 7 is o$ g_ c D1W 68 3 696/24296 2 Auto#I Resolution No 2008-49 Exhibit A Huntington Beach Auto Dealers Business Improvement District Annual Report/Budget 2008/09 Business Improvement District Renewal This report contains the following 1 Assessment Map 2 Member List 3 2007/08 Budget Report 4 Proposed 2008/09 Budget untin ton Beach Boulevard of Cars Readerh®ard Site Bella Te�rc� Edinger Heil Dodge 'I Chrysler-Jeep & Hummer 2 4 Mazda Mitsubishi 3 Warner Nissan 5 dater Talbert Chevrolet 6 Ford 7 Ellis !/®lkswagen 8 Saturn 9 Toyota ® Garfield tD n P.. Not to scale HUNTINGT®N BEACH AUTO DEALER ASSOCIATION LIST OF MEMBER H.B. CHRYSLER-.DEEP SATURN OF HUINTIINGTOIN BEACH FLICK EVAINS-ROSS HELMAIN TERRY BOOKER 16701 BEACH BLVD. 18801 BEACH BLVD. PHONE 841-3999 FAX 842-2903-841-9993 PHONE 841-9828 FAX 842-8499 H.B. MAZ®A H.B. FOR® CHAD CUSTER/.DOHIN PATTERSOIN OSCAR BAKHTIARI/OMAR 16800 BEACH BLVD. 18255 BEACH BLVD. PHONE 848-7739 FAX 847-1265 PHONE 842-6611 FAX 847-8788 TOYOTA OF HE SURF CITY INISSAIN BOB MILLER/DENNIS PRA®O STEVE INICHOLSOIN/ MARIO DIAZ 18881 BEACH BLVD. 17331 BEACH BLVD. PHONE 847-8555 FAX 847-1105 842-6666 F 375-0076/847-0759 ®ELILLO CHEVROLET HUDNTIINGTOIN BEACH DODGE DAVE ®ELILLO/BILL ®EMAREST CLAY .DAMESILARRY SMITH 18211 BEACH BLVD. 16555 BEACH BLVD. PHONE 847-6087 FAX 847-6721 PHONE 847-5515 FAX 596-0230 WORM REEVES HORN®A H.B. MITSUBISHI DAN KLAWITTER/JOHIN ®ALPE ABBAS AHMA®I/CHUCK BIEIN 19131 BEACH BLVD. 16751 BEACH BLVD. PHONE 842-5431 FAX 375-9783 375-9493 F/842-1563 (NOT MEMBER) MC KENNA MOTORS *`*** BILL (NELSON A/®LR DIRECTOR MARIIN ®ELGA®O/®AININY MC KEININA 714-536-8614 18711 BEACH BLVD surfhb@socal.rr.com 714-842-2000 FAX 714-843-8369 EXHIBIT A HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT BUDGET/REPORT October 1, 2008 to September 30, 2009 REVENUE Budget 2007/08 Previous Year Carry Over $ 62,978 Business Improvement Assessment $ 177,903 Total Revenues: $ 240,881 EXPENSES Promotional Budgeted Exp thru July Exp Aug/Sept Total Difference Activities and Events $ 56,000 $ 28,199.00 $ 25,000.00 $ 53,199.00 $2,801.00 Management Services $ 26,000 $ 11,167.95 $ 2,600.00 $ 13,767.95 $12,232.05 Misc/Dues and Fees $ 1,000 $ 1.42 $ 1.42 $998.58 Office rent/Maintenance $ 14,477 $ 10,236.64 $ 2,245.28 $ 12,481.92 $1,995.08 Office Supplies $ 600 $ 1,929.74 $ 100.00 $ 2,029.74 -$1 429.74 Subtotal Promotional: $ 98,077 $ 51,534.75 $ 29,945.28 $ 81,480.03 $16,596.97 Reader Board Sign Maintenance Electricity $ 14,000 $ 11,625.95 $ 3,425.64 $ 15,051.59 -$1,051.59 Insurance $ 7,300 $ 1,827.00 $ 8,790.00 $ 10,617.00 -$3,317.00 Loan payment $ 83,093 $ 69,441.66 $ 13,833.34 $ 83,275.00 -$182.00 Maintenance $ 11,400 $ 9,500.00 $ 1,900.00 $ 11,400.00 Phone(data transmission) $ 850 $ 1,085.77 $ 200.00 $ 1,285.77 -$435.77 Programming for sign $ 5,760 $ 4,800.00 $ 960.00 $ 5,760.00 Subtotal Readerboard Sign: $ 122,403 $ 98,280.38 $ 29,108.98 $ 127,389.36 -$4,986.36 Total Expenses: $ 220,480 $ 149,815 $ 59,054 $ 208,869 $11,610.61 EXHIBIT A Huntington Beach Auto Dealer Business Improvement District Proposed Budget October 1 , 2008 to September 30, 2009 REVENUE(') Previous Year Carry Over (estimated) $ 44,000 Business Improvement Assessment $ 177,903 Total Revenues: $ 221,903 EXPENSES Promotional Activities and events(2) $ 51,966 Management Services $ 27,000 Misc/Dues and Fees $ 500 Office rent/Maintenance $ 14,477 Office Supplies $ 1,000 Subtotal Promotional: $ 94,943 Reader Board Sign Maintenance Electricity $ 15,000 Insurance $ 10,600 Loan payment $ 83,000 Maintenance $ 11,400 Phone (data transmission) $ 1,200 Programming for sign $ 5,760 Subtotal Readerboard Sign: $ 126,960 Total Expenses: $ 221,903 NOTES: (1) Dealer assessments are based on $630 per month for each of the eleven dealer members. The operating assessment income is $725 per month per dealer. Net is $725 less 1% administrative charge for a total of $1,355 per dealer. Surplus Revenue represents excess aggregate loan assessment maintained by city finance dept. (2) HB Athletic Programs ($3,500); School Scholastic Programs($4,000);School Grad Nights ($2,500);Image advertising to buy at home ($12,000); Plus Misc. promotional activities and events ($29,996). EXHIBIT B HUNTINGTON BEACH AUTO DEALER ASSOCIATION LIST OF MEMBER H.B. CHRYSLER-JEEP SATURN OF HUNTINGTON BEACH RICK EVANS-ROSS HELMAN TERRY BOOKER 16701 BEACH BLVD. 18801 BEACH BLVD. PHONE 841-3999 FAX 842-2903-841-9993 PHONE 841-9828 FAX 842-8499 H.B. MAZDA H.B. FORD CHAD CUSTER/JOHN PATTERSON OSCAR BAKHTIARI/OMAR 16800 BEACH BLVD. 18255 BEACH BLVD. PHONE 848-7739 FAX 847-1265 PHONE 842-6611 FAX 847-8788 TOYOTA OF HB SURF CITY NISSAN BOB MILLER/DENNIS PRADO STEVE NICHOLSON/ MARIO DIAZ 18881 BEACH BLVD. 17331 BEACH BLVD. PHONE 847-8555 FAX 847-1105 842-6666 F 375-0076/847-0759 DELILLO CHEVROLET HUNTINGTON BEACH DODGE DAVE DELILLO/BILL DEMAREST CLAY JAMES/LARRY SMITH 18211 BEACH BLVD. 16555 BEACH BLVD. PHONE 847-6087 FAX 847-6721 PHONE 847-5515 FAX 596-0230 NORM REEVES HONDA H.B. MITSUBISHI DAN KLAWITTER/JOHN DALPE ABBAS AHMADI/CHUCK BIEN 19131 BEACH BLVD. 16751 BEACH BLVD. PHONE 842-5431 FAX 375-9783 375-9493 F/842-1563 (NOT MEMBER) MC KENNA MOTORS ***** BILL NELSON AJDLR DIRECTOR MARIN DELGADO/DANNY MC KENNA 714-536-8614 18711 BEACH BLVD surfhb@socal.rr.com 714-842-2000 FAX 714-843-8369 ATTACHMENT #3 u '* ton each nting - - Auto Dealers Business is I prove ent District 20 Smw2009 Renewal ...:.: :.: ..:. /' /- ' n Auto ea ers BID ♦ 1992 : HB Auto Dealers Requested BID be Formed to Operate and Maintain Electronic Reader Board Sign ♦ Redevelo ment Agency Loaned p $474 ,, 000 to Auto Dealers for Electronic Reader Board Sign '` BID Members HB Chrysler Jeep HB Mazda Toyota of Huntington Beach DeLlllo Chevrolet Norm Reeves Honda McKenna Motors Saturn of Huntington Beach HB For Surf City Nissan Ad- Huntington Beach Dodge _ 0 ' s ® % I'- H Mi s ish� ��/' i jig j� Proposed Bud t a + Total Budget.o $221,903 $177,903 anticipated assessments ® Monthly assessment Of $1,347.75 per dealer — $44,000 carryover from reserves • Marketingand promotional activities • Reader and sign loan payments, maintenance and operations , i j j i j JAI, ................ . ..... dia / / / / W . , Renewal Scheduling of Public Hearing and Resolution f Intention to Levy Annual Assessment Adopted- August 18, 20o8 ® Copies and hearing notices nailed /published ® Public hearing required to consider all protests against BID renewal Council to consider written protests ® Options to renew, not renew, adjust BID "AP y /4 Ful"? V/ ANNE, OF IN",ID reMIRV, Publ *lc Hean*� ♦ written Protests: ® If written protests of assessments are received from 50% or more of the affected business owners, no further proceedings to consider the BID can be considered for one year / y 3 Recommended ® conduct the public hearing Determine percentage of written protests ♦ If more than 50% of assessments represented, Council cannot approve or consider again for one year ® consider Resolution to Approve Annual Assessment Within the Huntington Beach Auto Dealers Business Improvement District for 2008/2009VI ot .. ,,, ... RICA ROUTING T INITIATING DEPARTMENT: Economic Development SUBJECT: Conduct Public Hearing and Adopt Resoluton for HB Auto Dealers Business Improvement District 2008109 COUNCIL MEETING DATE: September 15, 2008 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 Contract/Agreement (w/exhibits if applicable) Attached ❑ (Signed in full by the City Attorney) Not Applicable Subleases,_Third Party Agreements, etc. Attached ❑ (Approved as to form by City Attorney) Not Applicable Certificates of Insurance (Approved by the City Attorney) Attached ❑ Not Applicable Fiscal Impact Statement (Unbudgeted, over $5,000) Attached ❑ Not Applicable Bonds (If applicable) Attached ❑ Not Applicable Staff Report (If applicable) Attached ❑ Not Applicable Commission, Board or Committee Report (If applicable) Attached ❑ Not Applicable Findings/Conditions for Approval and/or Denial Attached ❑ Not Applicable EXPLANATION FOR MISSING ATTACHMENTS REVIEWED RETURNED FOR A DED Administrative Staff ( ) Deputy City Administrator Initial ) City Administrator Initial ( ) " City Clerk ( ) EXPLANATION FOR RETURN OF ITEM: MOWS, RCA Author: Powell 1 r RESOLUTION NO. 2008-59 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH APPROVING AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2008-2009 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 has formed a business improvement area, the Huntington Beach Auto Dealers Association Improvement District(the"District"),by the passage of Ordinance 3175 on September 8, 1992. The time has come to continue the existence of the District for fiscal year 2008-2009 by levying assessments on those businesses that benefit from the improvements constructed;and The District's Advisory Board has prepared and filed with the City Clerk a report for Fiscal Year 2007-2008, ("Annual Report") which sets forth the amount and basis of levying the assessment for Fiscal Year 2008-2009. On August 18, 2008 ,the City Council adopted a resolution declaring its intention to levy an annual assessment for Fiscal Year 2008-2009 as proposed in 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 2008-2009 and a description of the improvements and activities to be provided for Fiscal Year 2008-2009. 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 2008-2009 as proposed in.the Annual Report. The levy is to apply to small businesses classified by the City of Huntington Beach License Code as Class A Retail Sales, (Al) Auto, New, Used, Parts, including new business of that classification located within the District in the amount of qfl Pule,dt�l �c11� Dollars ($��� ) per month for fiscal year 2008-2009 plus an additional $ G W for repayment of electronic reader board sign, for a total of$may per month, as set forth on Exhibit B, and incorporated herein by reference. 08-169624299 1 Auto#12 SECTION 3. The assessments collected shall be used to cover costs to operate, upgrade and maintain an electronic reader board located within the City of Huntington Beach west of the intersection of Beach Boulevard and Center Avenue and other promotional and advertising activities. SECTION 4. This resolution shall take effect on PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the day of ,200 . Mayor REVIE, ND APPROVED: INITIATED AND APP VED: U City AdKinistrator Director of EconomicAWelopment APPROVED AS TO FORM: • Coo$ sty Attorney Av 1-r54 �• 08-1696/24299 2 Auto#2 ,u CITY OF HUNTINGTON BEACH PUBLIC(NOTICE Huntington Beach Independent has been adjud = PUBLIC HEARING FOR THE AUTO DEALERS circulation in Huntington Beach and orange Coui BUSINESS IMPROVEMENT DISTRICT RENEWAL Court of Orange County, State of California, unde A50479. NOTICE IS HEREBY GIVEN THAT the City Council will hold its Public Hearing on the 2008-2009 renewal of the Auto Dealers Business Improvement District at its meeting scheduled on September 15,2008 at 6:00 PM or soon thereafter at the Huntington �j Beach Civic Center,2000 Main Street,Council Chambers as required by the Parking and Business Improvement Area Law of 1PROO989 as approved by City Council in Resolution No� ®A' 2008-49 as re-printed below: P lJ�L�L�ATA® RESOLUTION NO.COUNCIL 9 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF { HUNTINGTON BEACH DECLARING THE CITY'S INTENTION TO LEVY AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH AUTO DEALERS ASSOCIATION BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2008-2009 STATE OF CALIFORl`ii, 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 �+ T�Tr{��7 benefit assessments on businesses for certain purposes;and �l ®�J 1�1 JL 1 ®� ® l®T��[ The City Council has formed a business improvement area,known as the Huntington Beach Auto Dealers Associa- 1�1 $ tion Business Improvement District(the"District"),by the passage of Ordinance 3175 on September 8,1992. The time has come to continue the existence of the District for fiscal year 2008-2009 by levying assessments on those businesses that benefit from the improvements constructed;and am the Citizen of the United - The District's Advisory Board has prepared and filed with the City Clerk a report for Fiscal Year 2007-M08,("Annual resident of the Count aforesa Report")which sets forth the amount and basis of levying the assessment for Fiscal Year2008-2009 y NOW,THEREFORE,the City Council of the City of Huntington Beach does hereby resolve,determine and find as the age of eighteen years, an -follows: SECTION 1. The City Council hereby approves the Annual Report filed by the Advisory Board in the City to or interested in the below er Clerk's office attached hereto as Exhibit A and incorporated herein by this reference,which includes a proposed budget for Fis- cal Year 2008-2009 and a description of the improvements and activities to be provided for Fiscal Year 2008-2009. am a principal Clerk of the H SECTION 2. The City Council hereby declares its intent to levy and collect assessments within the District BEACH INDEPENDENT, a r1 for Fiscal Year 2008-2009. The levy is to apply to small businesses classified by the City of Huntington Beach License Code printed anC as Class A Retail Sales,(Al)Auto,New,Used,Parts,including new business of that classification located within the District as general circulation shown in Exhibit B,in the amounts set forth therein,which exhibit is incorporated herein by this reference. the City of Huntington Beacl SECTION 3. The assessments collected will be used to cover costs to operate,upgrade,and maintain an electronic reader board located within the City of Huntington Beach west of the intersection of Beach Boulevard and Center Orange, State of Californi, Avenue and other promotional and advertising activities. attached Notice IS a true and O SECTION 4. A public hearing shall be held before the City Council on September 15,2008 at 6.00 PM or as soon thereafter as this matter may be heard,in the Council Chambers of the City Hall,2000 Main Street,Huntington Beach, as was printed and pUbIIS California,at which time the Council will hear all interested persons for or against levying of the assessment,and the furnish- ing of specified types of improvements or activities. Protests may be made orally or in writing;but,if written,shall be filed with following date($). 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. 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 this reso- lution 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 September 4, 2008 Huntington Beach Auto Dealers Association,Inc.,P.O.Box 2700,Huntington Beach,CA 92648;telephone(949)831-3443. 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. SECTION 8. This resolution shall take effect immediately upon adoption. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 18th day of August,2008. The estimated cost of providing the improvements and activities for Fiscal Year 2008-2009 is$208,869. omP:o�of the exhibits referenced above are available in the office of the City Clerk or by calling Doris Powell,Assistant Project Manager (714)536-5457 or through the City's website at: http:/lwwwsurfcity-hb.org/Government/Agendas/sep1508.cfm I declare, under penalty of per,. .,, foregoing is true and correct. Executed on September 4, 2008 at Huntington Beach, California L'La�/ C � Sign re