HomeMy WebLinkAboutFY 2009-2010 Huntington Beach Downtown Business Improvement 4. (City Council) Public hearing to consider adoption of Resolution No.
2009-53 approving an annual assessment within the Huntington Beach
Downtown Business Improvement District (BID) for Fiscal Year 2009-2010.
Recommended Action:
a) Conduct the Public Hearing, and,
b) Adopt City Council Resolution No. 2009-53, "A Resolution of the City
Council of the City of Huntington Beach Approving an Annual
Assessment Within the Huntington Beach Downtown Business
Improvement District for Fiscal Year 2009/2010."
5 Speakers
Approved as amended to change language in Exhibit B of
Resolution 2009-53 as follows: Benefit Zone 1 Retail Businesses
(Proposed to include Nail/Hair/Skin Salons)1,000 sq. ft. or less $300;
Restaurants 1,000 sq. ft. or less $300; Hotels 20 rooms or less $180;
Benefit Zone 2 Hotels 20 rooms or less $180.
7-0
5. (Redevelopment Agency) Public hearing to consider purchase and
adoption of Agency Resolution No. 377 approving the Affordable Housing
Agreement for the sale of Emerald Cove Senior Apartments located at
18191 Parktree Circle to JHC-Acquisitions, LLC, by the Jamboree Housing
Corporation; authorize the Chairperson and Agency Clerk to execute the
Affordable Housing Agreement and any related documents; and, approve
budget appropriation $138,000 to continue operating the facility for a
maximum of four (4) months, through January 31, 2010.
Redevelopment Agency Recommended Action:
a) Approve Resolution No. 377, "Resolution of the Redevelopment Agency
of the City of Huntington Beach Approving An Affordable Housing
Agreement With JHC-Acquisitions, LLC and Approving the Sale of Real
Property;" and,
b) Authorize the Chairperson and Agency Clerk to execute the Affordable
Housing Agreement and any related documents; and,
c) Approve budget appropriation in order for the Agency to continue
operating the Emerald Cove Senior Apartments for a maximum of four
months after the new fiscal year begins October 1, 2009. Approval will
increase estimated revenue by $360,000 and appropriations by
$138,000.
1 Speaker
Approved 7-0
CONSENT CALENDAR (Items #6 through #9)
6. (City Council/Redevelopment Agency) Approve and adopt minutes.
Council/Agency Action Agenda— Monday, September 21, 2009
Council/Agency Meeting Held:
Deferred/Continued to:
Ap roved ❑ Co diti Hall Approved ❑ Denied it Clerk's ignatur
Council Meeting Date: 9/21/2009 Department ID Number: ED09=59
CITY OF HUNTINGTON BEACH
REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Cou cil Members
SUBMITTED BY: Fred A. Wilson, City Administ
PREPARED BY: Stanley Smalewitz, Director of conomic Development >
SUBJECT: Conduct Public Hearing and Adopt Resolution for the Huntington Beach
Downtown Business Improvement District Annual Assessment for Fiscal
Year 2009-2010
Statement ofissue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s)
Statement of Issue: On August 17, 2009, City Council approved Resolution of Intention
No. 2009-45 to levy an assessment for the Huntington Beach Downtown Business
Improvement District for Fiscal Year 2009-2010 and authorized the City Clerk to schedule a
public hearing. City Council will conduct the public hearing to consider a resolution to
approve the annual assessment for the 2009-2010 fiscal year.
Funding Source: Fund 710, Downtown Business Improvement District, account
71080101.
Recommended Action: Motion to:
1. Conduct the Public Hearing.
2. Adopt City Council Resolution No. 2009- 53 a Resolution of the City Council of the
City of Huntington Beach Approving an Annual Assessment within the Huntington
Beach Downtown Business Improvement District for Fiscal Year 2009-2010.
Alternative Action(s):
1. Deny the request to approve the Resolution; or
2. Modify elements of the Annual Report, such as: the proposed assessments, activities
or improvements to be funded, district boundaries, categories of assessments or
benefit zones.
REQUEST FOR CITY COUNCIL ACTION
MEETING DATE: 9121/2009 DEPARTMENT ID NUMBER: ED09-59
Analysis: In June 2002, downtown merchants approached the City of Huntington Beach to
form a Business Improvement District (BID) in the downtown commercial area. On
September 7, 2004, the City Council approved Ordinance 3661, establishing the Huntington
Beach Downtown Business Improvement District (HBDBID) as a method for marketing and
improving the downtown area. In order for the City to levy the BID assessment each fiscal
year, the City Council must conduct a public hearing before adopting a Resolution confirming
the coming year's assessments. On August 17, 2009, the City Council adopted Resolution
2009-45, affirming its intent to approve the proposed assessments for 2009-2010 and setting
the public hearing to approve the assessments for September 21, 2009. Copies of the
Resolution of Intention were mailed to each business and property owner to be assessed. A
Notice of Public Hearing and copy of the Resolution were published in the Huntington Beach
Independent on August 27, 2009.
The HBDBID has proposed minor changes to the Annual Report, including the boundary map
and the assessment formula for Fiscal Year 2009-2010. Subject to City Council's approval,
the boundary will expand in two areas and includes a zone change. The new area to be
included in the Downtown BID boundary is located along 6th Street between Main and Third
Street, the commercial area at Third Street and Walnut Street; and Sixth Street between
Olive Street and Orange Street. The added area only affects the commercial businesses
within that new boundary area. In addition, the area on Fifth Street between Walnut and
Orange Streets, including Helme's Antiques, will be changing from Zone 2 to Zone 1, due to
the immediate proximity to The Strand. Attachment 3 shows the existing boundaries and
Attachment 4 shows the proposed modifications to the BID boundary map. As in prior years,
apartments; nonprofits, home-based businesses, temporary vendors, and businesses located
outside of the area are exempted from assessments. However, these entities may join the
HBDBID with approval of the BID board by paying the equivalent fee for their business
category annually.
On August 25, 2009, the HBDBID met and recommended to amend the assessment formula
as seen in Attachment 1, Exhibit B. The HBDBID recommends amending the Annual Report
assessment formula to address ongoing billing issues for all salons and hair stylists.
Currently, Hair/Skin/Nails Salons are included in Services, paying a flat fee of $240 for
ground floor. Additionally, each individual stylist who has a business license is also charged
an assessment. Due to high turn over, the majority of the stylists downtown are part-time.
The HBDBID recommends eliminating the Hair/Skin/Nails Individual Stylist Category from
both zones. The HBDBID proposes to change the Hair/Skin/Nails Salon businesses from
paying a flat rate in the Services Category to the Retail Category in order to offset loss of
revenue from individual stylists. The elimination of the Individual Stylist Category will not
impact the budget projection due to moving Hair/Skin/Nails Salons into the Retail Category.
Salons will be expected to pay by square footage instead of a flat rate, which is more than
the 2008-2009 assessment.
During the public hearing, the City Council will hear all interested persons for or against
levying the assessment. Protests may be made verbally or in writing; however, written
protests shall be filed with the City Clerk at, or before, the time fixed for this hearing and
-2- 9/9/2009 1:56 PM
REQUEST FOR CITY COUNCIL ACTION
MEETING DATE: 9/21/2009 DEPARTMENT ID NUMBER: ED09-59
contain sufficient documentation to verify business ownership and validate the particular
protest. If written protests are received from the owners of businesses in the proposed area
that will pay 50% or more of the assessments, no further proceedings to approve the
assessment can be taken for a period of one year. Upon the approval of the Resolution, the
new assessment formula will become effective as of October 1, 2009.
The HBDBID anticipates assessments of approximately $90,000 for Fiscal Year 2009-2010,
along with projected event revenue in the amount of $54,000. The total HBDBID budget for
Fiscal Year 2009-2010 is $144,000. The HBDBID has $67,000 in reserves that are
unbudgeted. The combined proposed budget and reserves total is $211,000.
Strategic Plan Goal: Enhance Economic Development.
Environmental Status: N/A
Attachment(s):
Gkity
o - b Of, N6-� ® - o 0
1. Resolution No. 2009- 53 , a Resolution of the City Council of the City
of Huntington Beach Approving an Annual Assessment Within the
Huntington Beach Downtown Business Improvement District for Fiscal
Year 2008-2009
2. Resolution No. 2009-45, approved 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 for Fiscal Year 2009-2010
Within the Huntington Beach Downtown Business Improvement District
3. Existing BID Boundary Map (2008-09)
4. Proposed BID Boundary Map 2009-10)
5. PowerPoint Presentation
-3- 9/9/2009 1:56 PM
ATTACHMENT # 1
RESOLUTION NO. 2009-53
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
HUNTINGTON BEACH APPROVING AN ANNUAL ASSESSMENT
WITHIN THE HUNTINGTON BEACH DOWNTOWN BUSINESS
IMPROVEMENT'DISTRICT FOR FISCAL YEAR 2009-2010
WHEREAS, the larking 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
Downtown Business Improvement District (the "District"), by the passage of Ordinance 3661
on September 7, 2004. The time has come to continue the existence of the District for fiscal
year 2009-2010 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 2008-2009 Fiscal Year to Date" and "Proposed Budget for
Fiscal Year 2009-2010" (collectively, "Annual Report");
On August 17, 2009, the City Council adopted a resolution declaring its intention to
levy an annual assessment for Fiscal Year 2009-2010 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 Amended Annual
Report as changed at the conclusion of the Public Hearing held on September 21, 2009,
attached hereto as Exhibit A and incorporated herein by this reference, which report includes
a proposed budget for Fiscal Year 2009-2010 and a description of the improvements and
activities to be provided for Fiscal Year 2009-2010.
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 2009-2010 as proposed
by the Amended Annual Report. The amount of the assessment shall be as per the assessment
schedule and is to apply to all businesses in the Downtown District as shown in Exhibit B.
SECTION 3. The assessments collected will be used to fund activities to increase
commerce in the Downtown District area.
09-2124/38205 1
Resolution No. 2009-53
SECTION 4. The District's Amended Annual Report for fiscal year 2009-2010 as
proposed at the conclusion of the Public Hearing on September 21, 2009 is hereby adopted.
SECTION 5. This resolution shall tape effect on October 1, 2009
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a
regular meeting thereof held on the 21st day of September 00 9
•
Mayor
REVIE APPROVED: INITIATED AND APPROVED:
ity dministrator Director of Econoriic�Development
APPROVED AS TO FORM:
G
City Attorney -CR
09-2124/38205 2
Resolution No.2009-53
Resolution No.2009-53
IWO v Ely
I
I � y
a
fl
ot
2
1 _
r
i.
008- ' ' :
� r
HBDBID .AmN' ONUAL REPORT
t
3
� F
r 06-2W HBOBID Annual Report
Resolution No.2009-53
y E.4
f
j - 0 ti I�
Affk
c
fi
Established a C#y/BJD Downtown Maintenance, Partnership.
Open a downtown I e and equipment,
ent
4
Created
a new BID Logo
i
ontihue to communi ate out to BID Stakehdldeftvia etter
Periodic Willing to Stakeholders called "Did YoO Know,
Postihc all ID Board meetings agenda's minute's o the
BID Websffe of www,,hbdowntown.com
Continue td of ear infbrmoflon to create o�dv� ter n
5 ,Year Business Plan
,
Conducted quarterly BID stakeholders olders efin / oaial
t
v
2008-2DO9 HBDBID Annual Report
Resolution No.2009-53
tit
is
ci
;f t
r
J
µ
r xx
6 -A 0
COC
r
F