HomeMy WebLinkAboutPublic Hearing – Adopt Resolution No. 2007-65 Approving an Council/Agency Meeting Held: U T
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Council Meeting Date: 10/1/2007 Departmen ID Number: ED 07-27
CITY OF HUNTINGTON BEACH
REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: HONORABLE .MAYOR AND CITY COUNCIL MEMBERS
SUBMITTED BY: PENgLOPE CULBR R�A�F-�T, DPA, CITY ADMINISTRATOR
PREPARED BY: STANLEY SMALEWITZ, DIRECTOR OF ECONOMIC DEVELOPMENT"
SUBJECT: Conduct Public Hearing and Adopt Resolution for the Huntington Beach
Downtown Business Improvement District Annual Assessment for Fiscal
Year 2007/08
-11 Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s)
Statement of Issue: On September 17, 2007, City Council approved the Resolution of
Intent to No. 2007-61 to levy an assessment for the Huntington Beach Downtown Business
Improvement District for fiscal year 2007/08 and authorized the City Clerk to schedule a
public hearing. City Council will conduct a public hearing to consider a resolution to approve
the annual assessment for the 2007/08 fiscal year.
Funding Source: Fund 710, Downtown Business Improvement District, additional
revenues not included in original budget will fund additional expenditures in account
71080101.
Recommended Action: Motion to:
1. Conduct the Public Hearing.
2. Adopt City Council Resolution No. 2007- 65 , a Resolution of the City Council of the
City of Huntington Beach Approving an Annual Assessment for fiscal year 2007/08 to
fund improvements within the Huntington Beach Downtown Business Improvement
District.
3. Appropriate an additional $26,450 to the Downtown BID account 71080101 and add to
the revenue projection an additional $26,450 in Fund 710 to match the proposed new
assessment levels totaling $96,450.
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, district boundaries, categories of
assessments or benefit zones.
Resolution No.2007-65
Huntington Beach Downtown Business Improvement District
2007/2008 Budget Proposal
October 2007 through September 2008
Oct '07 - Sep 08
Ordinary Income/Expense
Income
Assessments & dues - BID 96,450.00
RDA Management Agreement 13,500.00
* Reserves Carried Forward from Prior Year 57,592.16
Total Income 167,542.16
Expense
Administrative 34,500.001
Consulting/Legal R&D 6,000.00
Marketing & Advertising 33,450.00 *2
Postage 2,500.00
Special Events Costs 35,000.00 *3
Steward Program/Cleaning 10,000.00 *4
Surf City Nights 30,000.00
Miscellaneous 1,670.00
Reserves to Carry Forward 14,422.16
Total Expense 167,542.16
Net 0.00
'1 Included is Executive Director's salary, 1/2 of which is directly related to SCN
'2 A portion of this budget item is allocated to SCN Marketing & Promotion
*3 A portion of this budget item is allocated to SCN event
*4 A portion of this budget item is allocated to SCN event
3:50 PM 08/16/07 Cash Basis Page 1 of 1
Resolution No.2007-65
PROPOSED 2007-08
Downtown Business Improvement District
Assessment Formula
;agg",
Retail Businesses 1,000 s . ft or less $300
1,001 s . ft. to 4,999 s . ft. $600
5,000 s . ft. or more $1,200
Restaurants 1,000 s . ft. or less $300
1,001 s . ft. to 4,999 s . ft. $600
5,000 s . ft. or more $1,200
Hotels Under 20 rooms $180
21-50 rooms $360
51+ rooms $600
Services/Office* First Floor $240
Second floor or higher $120
Real Estate Individual $60
Licensee
Nail/Hair/Skin $60
Stylist/Cart/Kiosk
Banks/ATM $600
Retail Businesses $300
Restaurants $300
Hotels Under 20 rooms $180
21-50 rooms $360
51+ rooms $600
Service/Office* First Floor $120
Second floor or higher $60
Real Estate Individual $60
Licensee
Nail/Hair/Skin $30
Stylist/Cart/Kiosk
Banks/ATM $600
• Assessments Excluded for Apartments, Non-profits, Home based businesses,
and Temporary vendors.
• Businesses outside the area may join with the approval of the BID Board by
paying the equivalent fee annually.
JCL 9/13/2007
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Resolution No.2007-65
Resolution 2007-65
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Resolution No.2007-65
PROPOSED 2007-08
Downtown Business Improvement District
Assessment Formula
e efit Zee 'I
r
Retail Businesses 1,000 s . ft or less $300
1,001 s . ft. to 4,999 s . ft. $600
5,000 s . ft. or more $1,200
Restaurants 1,000 s . ft. or less $300
1,001 s . ft. to 4,999 s . ft. $600
5,000 s . ft. or more $1,200
Hotels Under 20 rooms $180
21-50 rooms $360
51+ rooms $600
Services/Office* First Floor $240
Second floor or higher $120
Real Estate Individual $60
Licensee
Nail/Hair/Skin $60
Stylist/Cart/Kiosk
Banks/ATM $600
Retail Businesses $300
Restaurants $300
Hotels Under 20 rooms $180
21-50 rooms $360
51+ rooms $600
Service/Office* First Floor $120
Second floor or higher $60
Real Estate Individual $60
Licensee
Nail/Hair/Skin $30
Stylist/Cart/Kiosk
Banks/ATM $600
• Assessments Excluded for Apartments, Non-profits, Home based businesses,
and Temporary vendors.
• Businesses outside the area may join with the approval of the BID Board by
paying the equivalent fee annually.
JCL 9/13/2007
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REQUEST FOR CITY COUNCIL ACTION
MEETING DATE: 10/1/2007 DEPARTMENT ID NUMBER: ED 07-27
Analysis: In June 2002, downtown merchants approached the City of Huntington Beach
about forming 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 (BID) as a method for marketing and
improving the downtown area. 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 2007-61, approved on
September 17, 2007.
The Downtown Huntington Beach Business Association administers the Downtown Business
Improvement District which consists of approximately 250 businesses. They elect a seven
member Board of Directors at their December meeting. This past year the BID Board has
been actively working with the City on the Surf City Nights events. A few of the
accomplishments of the BID this past year include developing and marketing cable TV spots;
developing a website for local promotions; events marketing for the Pacific Shoreline
Marathon, Paintball, Halloween and Christmas promotions; and updating and re-printing of
the Downtown Business Brochure. The new assessment formula will increase the
assessments by 20% for all business types in both Benefit Zones. The Benefit Zones have
been modified as shown in the map in the BID report. The Annual Report shows that under
the new assessment formula, $96,450 in assessment revenue would be collected to carry out
these promotional activities during 2007/08.
As required by the Streets and Highway Code §36500, et seq, copies of the Resolution of
Intention, including the BID Boundary Map and assessment formula was mailed to each
business to be assessed and were also published in the Orange County Register.
At this public hearing the City Council will hear all interested persons for or against levying
the assessment. 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 this hearing and 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, 2007.
City Council is requested to increase the revenue projection for BID assessments by an
additional $26,450 in Fund 710 to total $96,450 as shown in the BID's budget proposal. As
$70,000 is already budgeted for the BID, an additional appropriation of $26,450 to account
71080101 will increase the appropriation to $96,450. Other revenues, including the BID's
carry over amount, provide sufficient funds to carry out the BID's activities for a total budget
of$167,542.
Strategic Plan Goal: "Create an environment that promotes tourism to increase revenues to
support community services and transform the city's economy into a destination economy".
-2- 9/14/2007 2:06 PM
REQUEST FOR CITY COUNCIL ACTION
MEETING DATE: 10/1/2007 DEPARTMENT ID NUMBER: ED 07-27
Environmental Status: Not applicable.
Attachment(s1:
City Clerk's
Page Number No. Description
1. Resolution No. 2007- 65 , approving an annual assessment for Fiscal
Year 2007/08 to Fund Improvements within the Huntington Beach
Downtown Business Improvement District.
2. Resolution No. 2007-61, approved on September 17, 2007, declaring
the City's Intention to Levy an annual Assessment for Fiscal Year
2007/08 for the Huntington Beach Downtown BID
3. Fiscal Impact Statement
4. PowerPoint Presentation.
-3- 9/14/2007 2:06 PM
ATTACHMENT
# 1
RESOLUTION NO. 2007-65
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 2007-2008
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
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 2007-2008 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 2006-2007 Fiscal Year to Date" and "Proposed Budget for
Fiscal Year 2007-2008" (collectively, "Annual Report");
On September 4, 2007 , the City Council adopted a resolution
declaring its intention to levy an annual assessment for Fiscal Year 2007-2008 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
2007-2008 and a description of the improvements and activities to be provided for Fiscal Year
2007-2008.
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 2007-2008 as proposed
by the 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.
08-1160/13396 1
Resolution No. 2007-65
SECTION 4. This resolution shall take effect on October 1, 2007
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a
regular meeting thereof held on the lst day of October ; 2007
Maybr-
REVIEWED AND APPROVED: INITIATED AND APPROVED:
Cio Administrator Director of rcooic De opment
AP' OVED AS TO FORM:
ity A orn y m v- $-Do-07
08-1160/13396 2
Resolution 2007-65
r&iiix
a
Resolution No.2007-65
Exhibit A
Huntington Beach Downtown
Business Improvement District
Annual Report/Budget
2007/08
Business Improvement District
Renewal
This report contains the following:
1. 2006/07 Report
2. 2007/08 Proposed Budget
3. Assessment Formula
4. Assessment Map
Resolution No.2007-65
Huntington Beach Downtown Business Improvement District
2006/2007 INCOME EXPENSE SUMMARY
October 2006 through September 2007
Budgeted Actual $ Over/Under
Oct'06 -Sep 07 Oct'06 -Sep 07
Ordinary Income/Expense
Income
Carry Over Prior Year 57,592.16 62,086.25 4,494.09
RDA Management Agreement 13,500.00 13,500.00 0.00
Assessments & dues - BID 69,000.00 56,763.50 -12,236.50
Donations 0.00 161.00 161.00
Special events 0.00 16,296.00 16,296.00
Total Income 140,092.16 148,806.75 4,220.50
Expense
Administrative 1,000.00 3,870.94 2,870.94
Advertising 15,000.00 14,912.69 -87.31
Directory Marquis 5,000.00 -5,000.00
Downtown Brochure 5,000.00 2,212.68 -2,787.32
Mail & Print 3,000.00 3,343.38 343.38
Main St Closure/Research/Legal 10,000.00 42,507.20 32,507.20
Maintenance/Stweard Program 5,000.00 -5,000.00
Promotional Marketing Events 20,000.00 11,860.00 -8,140.00
Special Events Costs 0.00 11,084.70 11,084.70
Temporary Staffing 5,000.00 1,423.00 -3,577.00
Total Expense 69,000.00 91,214.59 22,214.59
Reserves to Carry Forward 57,592.16
8:41 AM 08/16/07 Cash Basis Page 1 of 1
Res. No. 2007-65
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 the 1st day of October, 2007 by the
following vote:
AYES: Bohr, Carchio, Cook, Coerper, Green, Hansen, Hardy
NOES: None
ABSENT: None
ABSTAIN: None
City #rk and e_x-officio—C-10 of the
City Council of the City of
Huntington Beach, California
ATTACHMENT #2
RESOLUTION NO. 2007-61
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 2007-2008 WITHIN THE
HUNTINGTON BEACH DOWNTOWN 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 downtown 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 downtown 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
Downtown Business Improvement District (the "District"), by the passage of Ordinance No. 3661 on
September 7, 2004. The time has come to continue the existence of the District for fiscal year 2007-
2008 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 2006-2007 Fiscal Year to Date" and "Proposed Budget for Fiscal Year 2007-
2008" (collectively, "Annual Report"); and
NOW, THEREFORE, 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 2007-2008 and a description of the improvements and
activities to be provided for Fiscal Year 2007-2008.
SECTION 2. To levy and collect assessments within the District area for Fiscal Year 2007-
2008 as per the assessment schedule listed in Exhibit B attached hereto and incorporated herein by this
reference.
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
October 01, 2007 , 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
08-1160/13395 1
Resolution No. 2007-61
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 Downtown Huntington Beach Business Association, 412 Olive
Avenue, PMB 149, Huntington Beach, CA 92648, (714) 960-8600.
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 17th day of Septemher , 200L.
Ma
REV ED AND APPROVED:
INITIATED AND APPROVED:
City Administrator
Director of Econo evelopment
APPROVED AS TO FORM:
1 Y `
1.1
ty�ttorney
08-1160/13395 2
Resolution No.2007-61
.............
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c
Resolution No.2007-61
Huntington Beach Downtown
Business Improvement District
Annual Report/Budget
2007/08
Business Improvement District
Renewal
This report contains the following.
1. 2006/07 Report
2. 2007/08 Proposed Budget
3. Assessment Formula
4. Assessment Map
Resolution No.2007-61
Huntington Beach Downtown Business Improvement District
2006/2007 INCOME EXPENSE SUMMARY
October 2006 through September 2007
Budgeted Actual $ Over/Under
Oct'06 -Sep 07 Oct'06 -Sep 07
Ordinary Income/Expense
Income
Carry Over Prior Year 57,592.16 62,086.25 4,494.09
RDA Management Agreement 13,500.00 13,500.00 0.00
Assessments &dues - BID 69,000.00 56,763.50 -12,236.50
Donations 0.00 161.00 161.00
Special events 0.00 16,296.00 16,296.00
Total Income 140,092.16 148,806.75 4,220.50
Expense
Administrative 1,000.00 3,870.94 2,870.94
Advertising 15,000.00 14,912.69 -87.31
Directory Marquis 5,000.00 -5,000.00
Downtown Brochure 5,000.00 2,212.68 -2,787.32
Mail & Print 3,000.00 3,343.38 343.38
Main St Closure/Research/Legal 10,000.00 42,507.20 32,507.20
Maintenance/Stweard Program 5,000.00 -5,000.00
Promotional Marketing Events 20,000.00 11,860.00 -8,140.00
Special Events Costs 0.00 11,084.70 11,084.70
Temporary Staffing 5,000.00 1,423.00 -3,577.00
Total Expense 69,000.00 91,214.59 22,214.59
Reserves to Carry Forward 57,592.16
8:41 AM 08/16/07 Cash Basis Page 1 of 1
Resolution No.2007-61
Huntington Beach Downtown Business Improvement District
2007/2008 Budget Proposal
October 2007 through September 2008
Oct'07 - Sep 08
Ordinary Income/Expense
Income
Assessments & dues - BID 96,450.00
RDA Management Agreement 13,500.00
* Reserves Carried Forward from Prior Year 57,592.16
Total Income 167,542.16
Expense
Administrative 34,500.00 '1
Consulting/Legal R&D 6,000.00
Marketing & Advertising 33,450.00 `2
Postage 2,500.00
Special Events Costs 35,000.00 '3
Steward Program/Cleaning 10,000.00 '4
Surf City Nights 30,000.00
Miscellaneous 1,670.00
Reserves to Carry Forward 14,422.16
Total Expense 167,542.16
Net 0.00
.1 Included is Executive Director's salary, 1/2 of which is directly related to SCN
-2 A portion of this budget item is allocated to SCN Marketing & Promotion
-3 A portion of this budget item is allocated to SCN event
`4 A portion of this budget item is allocated to SCN event
150 PM 08/16/07 Cash Basis Page 1 of 1
Resolution No.2007-61
PROPOSED 2007-08
Downtown Business Improvement District
Assessment Formula
Retail Businesses 1,000 s . ft or less $300
1,001 s . ft. to 4,999 s . ft. $600
5,000 s . ft. or more $1,200
Restaurants 1,000 s . ft. or less $300
1,001 s . ft. to 4,999 s . ft. $600
5,000 s . ft. or more $1,200
Hotels Under 20 rooms $180
21-50 rooms $360
51+ rooms $600
Services/Office* First Floor $240
Second floor or higher $120
Real Estate Individual $60
Licensee
Nail/Hair/Skin $60
Stylist/Cart/Kiosk
Banks/ATM $600
Retail Businesses $300
Restaurants $300
Hotels Under 20 rooms $180
21-50 rooms $360
51+ rooms $600
Service/Office* First Floor $120
Second floor or higher $60
Real Estate Individual $60
Licensee
Nail/Hair/Skin $30
Stylist/Cart/Kiosk
Banks/ATM $600
• Assessments Excluded for Apartments, Non-profits, Home based businesses,
and Temporary vendors.
• Businesses outside the area may join with the approval of the BID Board by
paying the equivalent fee annually.
JCL 9/5/2007
Resolution No.2007-61
2006-07 Assessment Formula
Downtown Business Improvement District
Benefit Zone 1
Retail Businesses Less than 1,000 sq. ft $250
1,000 sq. ft .to 5,000 sq ft. $500
5,000 sq. ft. or more $1,000
Restaurants Less than 1,000 sq. ft. $250
1,000 sq. ft. to 5,000 sq. ft $500
5,000 sq. ft. or more $1,000
Hotels Under 20 rooms $150
21-50 rooms $300
51+ rooms $500
Services/Office* $200/$100 if on 2nd floor or higher
Real Estate Individual Licensee $50
Nail/Hair/Skin Stylist/Cart/Kiosk $50
Banks/ATM $500
Benefit Zone 2
Retail Businesses $250
Restaurants $250
Hotels Under 20 rooms $150
21-50 rooms $300
51+ rooms $500
Service/Office* $100/$50 if on 2"d floor or higher
Real Estate Individual Licensee $50
Nail/Hair/Skin Stylist/Cart/Kiosk $25
Banks/ATM $500
• Assessments Excluded for Apartments, Non-profits, Home based businesses,
and Temporary vendors.
• Businesses outside the area may join with the approval of the BID Board by
paying the equivalent fee annually.
JCL 9/5/2007
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Resolution No.2007-61
S
a
Resolution No.2007-61
PROPOSED 2007-08
Downtown Business Improvement District
Assessment Formula
t S
Retail Businesses 1,000 s . ft or less $300
1,001 s . ft. to 4,999 s . ft. $600
5,000 s . ft. or more $1,200
Restaurants 1,000 s . ft. or less $300
1,001 s . ft. to 4,999 s . ft. $600
5,000 s . ft. or more $1,200
Hotels Under 20 rooms $180
21-50 rooms $360
51+ rooms $600
Services/Office* First Floor $240
Second floor or higher $120
Real Estate Individual $60
Licensee
Nail/Hair/Skin $60
Stylist/Cart/Kiosk
Banks/ATM $600
Retail Businesses $300
Restaurants $300
Hotels Under 20 rooms $180
21-50 rooms $360
51+ rooms $600
Service/Office* First Floor $120
Second floor or higher $60
Real Estate Individual $60
Licensee
Nail/Hair/Skin $30
Stylist/Cart/Kiosk
Banks/ATM $600
• Assessments Excluded for Apartments, Non-profits, Home based businesses,
and Temporary vendors.
• Businesses outside the area may join with the approval of the BID Board by
paying the equivalent fee annually.
JCL 9/5/2007
Resolution No.2007-61
3
Resolution No.2007-61
Huntington Beach Downtown Business Improvement District
2007/2008 Budget Proposal
October 2007 through September 2008
Oct 107 - Sep 08
Ordinary Income/Expense
Income
Assessments & dues - BID 96,450.00
RDA Management Agreement 13,500.00
* Reserves Carried Forward from Prior Year 57,592.16
Total Income 167,542.16
Expense
Administrative 34,500.00 *1
Consulting/Legal R&D 6,000.00
Marketing & Advertising 33,450.00 -2
Postage 2,500.00
Special Events Costs 35,000.00 `3
Steward Program/Cleaning 10,000.00 -4
Surf City Nights 30,000.00
Miscellaneous 1,670.00
Reserves to Carry Forward 14,422.16
Total Expense 167,542.16
Net 0.00
*' Included is Executive Director's salary, 1/2 of which is directly related to SCN
`2 A portion of this budget item is allocated to SCN Marketing & Promotion
-3 A portion of this budget item is allocated to SCN event
`4 A portion of this budget item is allocated to SCN event
3:50 PM 08/16/07 Cash Basis Page 1 of 1
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Res. No. 2007-61
STATE OF CALIFORNIA
COUNTY OF ORANGE ) ss:
CITY OF HUNTINGTON BEACH )
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 a regular meeting thereof held on the 17th day of September, 2007 by the
following vote:
AYES: Bohr, Coerper, Green, Hansen, Hardy
NOES: None
ABSENT: Cook
ABSTAIN: Carchio
CV Clerk and ex-officio Jerk of the
City Council of the City of
Huntington Beach, California
ATTACHMENT #3
CITY OF HUNTINGTON BEACH
INTERDEPARTMENTAL COMMUNICATION
FINANCE DEPARTMENT
TO: PENELOPE CULBRETH-GRAFT,DPA, CITY ADMINISTRATOR
FROM: DAN T. VILLELLA, CPA, FINANCE DIRECTOR
SUBJECT: FIS 2007-08-2 Conduct Public Hearing and Adopt Resolution for the
Huntington Beach Downtown Business Improvement District Annual
Assessment for Fiscal Year 2007/08
DATE: SEPTEMBER 14, 2007
As required by Resolution 4832, this Fiscal Impact Statement has been prepared for"Conduct
Public Hearing and Adopt Resolution for the Huntington Beach Downtown Business
Improvement District Annual Assessment for Fiscal Year 2007/08"
If the City Council approves this action, there will be no effect on any fund balance since the new
appropriations are funded by revenues not anticipated in the original budget.
Dan T. Villella
Finance Director
ATTACHMENT #4
Downtown
Business Improvement District
Annual Renewal FY 2007-2008
October 1, 2007
s _
= Background
f}-w.
• On September 7, 2004, Downtown Huntington
Beach BID Established by City Ordinance 3661.
• September 17, 2007 - Intention to Levy
Assessment for Huntington Beach Downtown BID
for 2007-2008 and Schedule a Public Hearing
(Resolution No. 2007-61)
1
Assessments
• Propose 20% Increase in Assessments
• Assessment rates vary from $30 to $1,200
depending on type and location of business
• Tiered assessment schedule according to
type of business and benefit zone
• Annual assessments collected when
obtaining a Business License and upon
renewal
TZ
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xoit "Bus pfi erne tD�rrct�'
ah C&L genef�t Zs 1 `r
} 047
2
BID Goals
2007-08
• Surf City Nights events
• Continue Promotions: Marathon, Paintball,
Halloween, Christmas
• Advertising/Marketing
• Directory Marquis
• Email Database
• Web site
Public Protest Hearing
• Last step for BID Renewal
• If protests represent more than 50% of
assessments, City Council cannot approve
the annual BID assessments or consider
again for one year
• City Council has option of reducing
boundary area, assessment amounts or
categories of businesses included in BID
3
Recommended Action
• Open public hearing
• Written protests calculated, add any new
protests stated orally at meeting
• Close public hearing
• Calculate % Assessments protested
• Report on Protests and if less than 50%,
consider Resolution approving the 2007/08
BID assessment.
4
RCA ROUTING SHEET
INITIATING DEPARTMENT: Economic Development
SUBJECT: Conduct a Public Hearing and Adopt a Resolution for
the Downtown Business Improvement District 2007/08
COUNCIL MEETING DATE: October 1, 2007
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 Attorne ) 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 19
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 FORWARDED'
Administrative Staff ( ) ( kl
'`
Deputy City Administrator Initial '
City Administrator Initial
City Clerk ( )
EXPLANATION FOR RETURN OF ITEM:
rr
.� L
(Below Space For City Clerk's Use • r
`S Stp-'L 'bir ed'EZZ_ M
./ - C�
RCA Author: Iamb/runzel
HUNTINGTON BEACH DECLARINQ THE CftY'S INTENTION TQ.LEVY AN
AFFIDAVIT OF PUBLICATION HUNNTINGTOASSESSMENT
BBEEABCHD WNTOWN BUSINESS IMPROOVVEMENT DISTRICT. _
WHEREAS,the California Legislature,In adopting the Parking and Business ImpDrovement Area Law of 19M(Sheets and Highways Code§36600 et.aq J found that cities are i
thorized to levy assessments on businesses In order to promote economic revhalizatlon and tourism,create jobs,attract new businesses and prevent wool of business districts;sit
Tire CalHomle Le�gglelature found that miss we authorized to levy assessments on businesses which benefit from those Improvements and activities,and
STATE OF CALIFORNIA, A sizeable myomy of the downtown businesses within the City of Huntinggttoon Sewn requested that Me City Council commence proceedings under Me Perking and Business I
Prove
ment Area Law of 1989 to establish a downtown business benefit arse w6hIn Me City of Huntington Beach and to levy a special assessment to promote tourism and tourlat relat
Ss. aventxand - e '
The City Council formed■business Improvement arse,known m Me Huntington Beeofi Downtown Business Improvement District(then those
ct'1,ion the passage n Ordinance h
County Of DYaT1gG d38vrtB1',o September:7,2004.Thar time has Dome to continue Me existence of the Distdcl for fiscal year 2007-2008 by levying aeseeemente on those 6hue ne6nee that CbenelH from the t
71ie Olstriot's Advtsoi Board:has preppared and filed with the City Clerk an"Annual Report/Operating Budget 2006.2007 Fiscal Year to Date'and'Proposed Budget for Fiscal Ye
E
2007.2008"(collectla Annual Report")•and
I am a citizen of the United States find a resident NOW THEREFORMe City Council of the City of Huntington Beach does herehyyre�olve as follows:
SMOi'tON.1.The 6;�Council herby approve.the Annual Report filed by Me AtMsory Board in Me City Clerk's office allchad hereto ao dhlbM A and incorporated.herein
this reference which includes a proposed budget for Fiscal Year 2007-2008 end a description of the Improvements and aotWNies to be rovided for Fiscal Yaw 2007.2008
of the Count aforesaid; I am over the age of fN0111 iI N.To levy and collect assessments within Me District area for Fiscal Year 2007.2008 e.per the asea.ement schedule Paned In Exhibit Ill aftehed harefo and Inc.,;
Y g aced herein by this reference.
•NOTION 11h The type a types of improvements and aotWnbs proposed to be funded by the levy of assessments on businesses within the business improvement was are,ape
eighteen ears,and not a party to or interested m I:d in Nadi Ct attached hereto and Incorporetetl herein by this reference.Further,Me Improvements,N any,to be acquired for the proposed business Improvement area are ape
g Y P n' fled in NshIbN.O.
fNOT1ON 4.A public hearing shall be held before Me CHy Council on October 1,at 6:00 p.m.,or as soon in...f er as this matter may be heard,in Me Council Chambers of t
the above entitled matter.I am the principal Clerk fi Half,2000 Main Street,Huntngton Beach,Ce Momle,et wh(ch time the Council w ll hear all interee ad persons for
or against le¢yMg of the assessment;and Me furnishing of ape
P P fi Npes of Improvements or aetiwHea.,Protests may,be made orally or in writing;but.H written,shall be filed with Me City Clerk at a before Me time fixed for Me hearing and oont,
sulRcllenl documentation to verity business ownereNp and validate the particulw protest Any protew pertaining to the regularity or.sufNclenoy of the proceedingsshall be in writing ei
of The Orange County Register, a newspaper shell clewly aw font the Iuledy a defect to whbh the obJegfon ie made.The CNv Council may waits any i e9ulw ly In the form a content of any wrh on protest end et the putt
g Y Bfreer ng may coned minor erects In Me proceedinggs.A w rt en pro art may be tlrswn in writingg et en time before the conclu�on of Me public heenng sal forth above.HwrnG
protests are rxeWetl by Me ownero of bue{neasee within the Diahict,which will pay 60%or more of Me total eeeesemants tuba levied,no further procaetlinge fo levy Me proposed 1
OI general C17CU1at10ri, published lri the Clly Of easement shell be taken for a period o}one yew from tt1e date 6f Me finding of a mefority protest by4he Cily Council.If Me majority protestis only aganw the furnishing of a apeoNM1
type aryp ee of Improvements oyectivny within the OtsMof those Epee of Improvements or activities shell be eliminated.
fNOT10N f,The City Clerk ts heroby directadao provide no ce of the public hewing by causing Mts raeolution of intention to be published once in a newspaper of,generel clr<
Santa Ana, County o£ Orange, and which a"Onwlsaw seven tleyabwore me puolk free ng.
fit'. ON!.Fudller Information regeMin9 the proposed business Improvement district may be obtained et Me Huntington Beach City Hell,2000 Main Street Huntington Beat
CelHanla 92848•telephone(714)638-6642 a from the DowMowri muminppl1on Beach Business Association,412 Oil"Avenue,PM8149,Huntin ton Beach,CA Si 714 Ulm,
newspaper has been adjudged to be a newspaper fNn th The C ty Cle k shal mstla complete copy of Mi.aaoru ion of intention by first4ase mail to each business owner in this was within eeven days after the Counci
adoption of Mts resolution.
fNOTON f.This resolution shell take e.immediate)y upon adoption. -
of general circulation by the Superior Court of PASSED AND ADOPTED by the city Council of the City of Huntington Beach at a regutw meeft thereof held on the seventeen day of September,2007.
PROVOSAID 200740
the County of Orange,State of California,under D.Wnt lrItu loolosente I.E "mntmnet d
W.
the date of 1/18/52, Case No. A-21046,that the s b.NtNeeet
Retail Susineeaee 1,000 sq.ft or lose $30011001 _
notice, of which the annexed is a true printed 51000s•ft+oa,99e sq.n. $100
5,000 q ft.or more 31,200
Restaurants 1,001 p tL or leas $600
1,001 aq.k.to 4,999 sq,n. $600
copy, has been published in each regular and SAOOa20 ft.ormore $1,200
Hotel. Under room. $180
' 21-60 rooms $360
entire issue of said newspaper and not in any 61+rooms $$66WW
Swvicea/OMi - First Ftoa $240
Second floor or higher $120
supplement thereof on the following dates, to Row Estaa/gtte Individual Ucensee $60
BanNallksyATMin StyllsUCarVlOosk $88$80.0, "
WIC'.
Neent SNews.- Retail Businesses $300
September 21,2007 Restaurants $300
Hotels Under 20 room. $180
21-60 room$ $350
61+rooms $800
Service/OHl... First Floor $120
"I certify (or declare) under the penalty of Second flea or higher $60
- Real Estate Individual Ucensee $00
NafllHwrl$kM 3y§aVCKVKlosk III
perjury under the laws of the State of California aanke/ATM $coo
q.sesements Excluded for Apartments,Non-pronto,Home based businesses,and Temporary vendors.
that the foregoing is true and Correct": Businesses outside the area may Join with the approval of the BID Board by paying the equivalent fee annually.
Executed at Santa Ana, Orange County,
California,on `
Date: September 21,2007
lgnanlre
The Orange County Register
625 N.Grand Ave.
Santa Ana,CA 92701If
(714)796-7000 ext.2209
Co plea of the exhibits referenced above maybe.made available upon request by calling Carol Runzel,Senior Administrative P nalyst at(714)Si or through the City's weba8e at:
http://www.surfely-his.org Gmernmont/Agendo/sepl707.cfm.