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Approve the Huntington Beach Downtown Business Improvement D
Council/Agency Meeting Held: Deferred/Continued to: AAp roved ❑ Conditionally Approved ❑ Denied Ity CI k's Si n ture Council Meeting Date: 9/17/2007 Departme ID Number: ED 07-26 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: HONORABLE MAYOR AND CITX COUNCIL MEMBERS SUBMITTED BY: PEN �ELBCRe�JE�TH-GRAFT, 0PA, CITY ADMINISTRATOR PREPARED BY: STANLEY SMALEWITZ, DIRECTOR OF ECONOMIC DEVELOPMENT SUBJECT: Approve Downtown Huntington Beach Business Improvement District Annual Report, Adopt Resolution of Intention to Levy an Annual Assessment for Fiscal Year 2007/08 and Schedule Public Hearing for October 1, 2007 Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s) Statement of Issue: On September 7, 2004, the City Council approved Ordinance No. 3661 establishing the Huntington Beach Downtown Business Improvement District (BID) as a method of marketing the downtown area. The State of California 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 upcoming fiscal year, and a public hearing date be set. Funding Source: Revenues and expenses are included in the 2007/08 Downtown Business Improvement District Budget (Fund 710). Recommended Action: Motion to: 1. Approve the Huntington Beach Downtown Business Improvement District Annual Report for fiscal year 2007/08 BID Renewal. 2. Adopt City Council Resolution No. 2007-61, a Resolution of Intention of the City of Huntington Beach to levy an assessment for the Huntington Beach Downtown Business Improvement District for fiscal year 2007/08. 3. Direct the City Clerk to schedule a public hearing to be held on October 1, 2007, send copies of the Resolution of Intention, including the BID Boundary Map and assessment formula to each business to be assessed, and publish same in a newspaper of general circulation as required. a# MA s `4 a w f.... '✓ ;'..i. ,t�.... i i � .fit` ,+'' .. .. ..,- � �1. ('•pj�$t f. . m c: S \k AVA it � n0t n' h, ZOO 1fir ► � �� � r+ � Dt } �# BOW "� ise 5 HM ' 'T E"N' 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 Ol, 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 I 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 September ,2007 ' it A Ma REV D AND APPROVED: INITIATED AND APPROVED: City Administrator Director of Econon • evelopment APPROVED AS TO FORM: M 'tv Attorney M.v 08-1160/13395 2 kg 3 3 r J r i ids h REQUEST FOR CITY COUNCIL ACTION MEETING DATE: 9/17/2007 DEPARTMENT ID NUMBER: ED 07-26 Alternative Action(s): 1. Return the Annual Report of the Huntington Beach Downtown Business Improvement District for additional information. 2. Deny the request to approve the Resolution of Intention. Analysis: In June 2002, downtown merchants approached the City of Huntington Beach about forming a new Business Improvement District in the downtown commercial area. On September 7, 2004 the City Council approved Ordinance No. 3661 establishing the Huntington Beach Downtown Business Improvement District (BID) as a method of marketing the downtown area. Funding recommendations to the City Council are made by a seven-member BID Advisory Board which is selected by annual election by the businesses paying the assessments. State law requires that activities benefit businesses located and operating in the assessment area. Downtown businesses are assessed based on their size, location, and business type. Assessments currently range from $25 to $1,000 per annum. The attached Map/Assessment Formula includes proposed changes recommended by the BID Board from last year as follows: • A 20% across the board increase in assessments. • The Strand and its future tenants to be moved into the higher Benefit Zone 1 • An area of predominately service businesses along 3rd Street near Orange to be moved into lower Benefit Zone 2 • An expansion of Zone 2 of a few hundred feet to Acacia to include the Art Center (at its request) and the new adjacent commercial development. • A new retail/restaurant-size category to be created by splitting the existing three categories into four. It is estimated that the implementation of these proposed changes, and the spring 2008 opening of The Strand, will increase the Downtown BID annual revenues from approximately $66,000 to $96,450. These are the first substantial changes proposed in the assessment formula and map since the inception of the BID. This greater level of funding is necessary to support the higher level of activities being undertaken in the downtown, mostly connected with the continuation and expansion of the successful Surf City Nights. As required by State law, a protest hearing must be held to provide the opportunity for any affected businesses to voice their protests, or they can submit protests in writing before the public hearing. The Resolution of Intention sets this public protest hearing for October 1, 2007. At that time, the City Council will tally the percentage of assessments protested and will hear additional public comments on the renewal of the BID in the downtown commercial area. If the protests total less than 50% of the total amount of money to be collected, the City Council can approve the renewal of the BID. The City Council also has the option of reducing assessments or modifying the BID boundary area if public comments prompt adjustment. -2- 9/6/2007 8:42 AM REQUEST FOR CITY COUNCIL ACTION MEETING DATE: 9/17/2007 DEPARTMENT ID NUMBER: ED 07-26 Beginning in fiscal year 2007/08, the City will exercise greater fiduciary responsibility over all BIDs based on recent case law. Working with the BIDs, staff will ensure that the expenditures will not exceed the approved budgets as proposed in the respective annual reports without prior approval by City Council in a public hearing. 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". Environmental Status: Not applicable Attachment(s): NumberCity Clerk's Page Description1. Huntington Beach Downtown Business Improvement District Annual Report for FY 2006/07 BID Renewal 2. Resolution of Intention to Renew Huntington Beach Downtown Business Improvement District -3- 9/6/2007 8:42 AM ITAC HMENT # 1 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 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 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 3:50 PM 08/16/07 Cash Basis Page 1 of 1 PROPOSED 2007-08 Downtown Business Improvement District Assessment Formula 777777 en ne 1 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 BenefIt Zc�ne� 2 h 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 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 2nd 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 PROPOSED 2007-08 Downtown Business Improvement District Assessment Formula x Bp-nefift,b ©tM M ° 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 Benefit Zone 2 . 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 $600 • Assessments Excluded for Apartments, Non-profits, Home based businesses, and Temporary vendors. • Businesses outside the area may join with the approval of the BID Board by paying the equivalent fee annually. JCL 9/5/2007 hr sfiY£ 33 � �$ - 3 �� %' 3 --/ ''., 3'', c era �� 1 _ ��, � �� s 'e� eF :z Vie' y / �s' l�•:;}Gt� �� &.�c.�`� z � �� �3 � 3 ,_�„ h.,�su"�� .,� ;3.. �, ���j/� 1:1��.�i%iG,,, ,' ., �, .`xi�s`G e �� \� "'��5 ,: 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 3:50 PM 08/16/07 Cash Basis Page 1 of 1 n Oct i F t+ IrI "wt ••9"* »«, w 1114i4 I y � ,9w uu mks r 111 '' t::^ylFW .r I141 ill� yW^ F ,. .' .'�� r .'�,. .„',,.. �41� .,,, j ..,,, r Y,,: �I s •'•� a+,n+E ,`+` �4 a.� .:�'� "�„..., ,"�� n"'. „**. WI err. w. .....' .. I,.I x:x -, 41 h � ,,..•+' G; f r k' tlll nnlllhl t :u II ,,, x; II III � x. 1o,wVlu r V IIN mt 't> II Il,y i .real II IIy II N, 1 III l 1 r I I q ;., [� III .......I.. I + �rnu7� I w PII " ;�� "a,�,., � �AY�:. :�r rcyll 9 I ^,4p h .a. t I ,: .,. b , 1W1�, ;,�. ■.�... ■w 9w ,,. #. "� . ,:`�, +la I �.r''uE� r�� „P INII I I,IIIIII' I I 'I, I IMa uV yp y I II II ^<t•,` M ,�, �., :,� a `• � I i+ II wl tilt I�u -w,' ` t• IiWIIIP � I s u,^ w � II II III I e"I III u I p i � � II IlV �-�"�` ,r141 yN41h6 Id pE, r PIII " "+r"I F m IIIIII ' ,"'.»"""N III ' uR»9. 'w„.s ry'2..»..,'�`.'' ,4m,.� .,,a,,, .. I Res. No. 2007-61 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 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-offici lerk of the City Council of the City of Huntington Beach, California RCA ROUTING SHEET INITIATING DEPARTMENT: Economic Development SUBJECT: Approve Report and Resolution of Intent to Renew the Downtown Business Improvement District 2007108 COUNCIL MEETING DATE: September 17, 2007 RC,CA NATTACHMENTS , STAT'US 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 Appl!cable 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 Attorne ) 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 ED Administrative Staff ( ) Deputy City Administrator Initial City Administrator Initial City Clerk ( ) EXPLANATION FOR RETURN OF ITEM: Only)(Below Space For City Clerk's Use RCA Author: lamb/runzel CITY OF HUNTINGTON BEACH PUBLIC NOTICE PUBLIC HEARING FOR THE HUNTINGTON BEACH DOWNTOWN BUSINESS IMPROVEMENT DISTRICT RENEWAL NOTICE IS HEREBY GIVEN THAT the City Council will hold its Public Hearing on the 2007-08 renewal of the Huntington Beach Downtown Business Improvement District at its meeting scheduled on October 1,2007 at 6:00 PM or soon thereafter at the Huntington Beach Civic Center,2000 Main Street,Council Chambers as required by the Parking and Business Improvement Area Law of 1989 as approved by City Council in Resolution No 2007-61 as re- printed below: 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 1, 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. 08-1160/Public Notice-Downtown Intention Reso 1 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 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 seventeen day of September,2007. PROPOSED 2007-08 Downtown Business Improvement District Assessment Formula Benefit Zone 1 Retail Businesses 1,000 sq. ft or less $300 1,001 sq. ft.to 4,999 sq.ft. $600 5,000 sq. ft.or more $1,200 Restaurants 1,000 sq. ft. or less $300 1,001 sq.ft.to 4,999 sq.ft. $600 5,000 sq.ft. or more $1,200 Hotels Under 20 rooms $180 21-50 rooms $360 5 1+rooms $600 Services/Office* First Floor $240 Second floor or higher $120 Real Estate Individual Licensee $60 Nail/Hair/Skin Stylist/Cart/Kiosk $60 Banks/ATM $600 Benefit Zone 2 Retail Businesses $300 Restaurants $300 Hotels Under 20 rooms $180 21-50 rooms $360 5 1+rooms $600 Service/Office* First Floor $120 Second floor or higher $60 Real Estate Individual Licensee $60 Nail/Hair/Skin Stylist/Cart/Kiosk $30 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. 08-1160/Public Notice-Downtown Intention Reso 2 v � � pearl = Y! - _l O«os(e s A it nf 77 ail !, ;• u s�w c -lx iN � 66j - x p i I � 0+"L Y v•,, 1 { l ; 4, - x w a --71 AN f �' 'y, r Re" 1 . _ , z 4 Huntin�tonBeacfi 4 rX y Downtown Business (mprov,.ement Dis rich S .k J W ,ziW � aX wa.....v..>r .__. .,. _��.§. �an.-t e,,,..._...,_..... ......�;...+.«a�.__.....'ku 3 s..:..,'x�.............L..��.. - �'wy.�.-' .F �..:•.'. _W__,. v.�.......__..._.a..v.._an�&._..�_a�._,_._. ..ns._.._+u.e.._.3,...... .�_....c..c_��..�'....ws..._..w;'�`....ae_.... ..._.k«_.u:�...w.. ...:,] Copies of the exhibits referenced above may be made available upon request by calling Carol Runzel, Senior Administrative Analyst at(714)536-5224 or through the City's website at: http://www.surfcity- hb.org/Govemment/Agendas/sep 1707.cfm. 08-1160/Public Notice-Downtown Intention Reso 3 Impression antibourrage et a secha a rapide ww.avery.com �y ` AVERY@ 5960-c Utilisez!e gabarit 596011c �%/ ��C� �W� 1-800-GQ-AVERY 0000-8t79Z6 0000-8Z9Z6 8t,9Z6 VO `HOVHg NOIDNIZNIIH VO `HOVHg NO.IIDNIINDH VO `HOVHU NOIDMI_LKnH 8t7I#.LHJNIS NIVN 6I t, t I Z#.LFIJH LS HAI IO Zt t7 ICINIVM OZZ A111VAN NIIVM Q2IVOg SHSI2I NHZNH NMNM Hfl79 OI.L0V_HdONlHO N WNU T112 8t,9Z6 8t,9Z6 0000-MZ6 VD IIOVHg NO.I'DNI LNIIH VO `HOVHg NOJ DNIINIIH VO `HOVHg NOJ DNIJ NIIH I0I#1L MLLS NIVIN IO£ gLOl# AMH ISVOO OIAIOVd 00£ t,I I )Iufl NIVN OOZ "I71A9 SHI FlflHOVHg JHOIS HOVHH 38 2IVg IO£ IXONAHOVHg 8t,9Z6 0000-8t,9Z6 0000-LO8Z6 VO `WIHHVNV VO `HOVHg NO.L MINflH VO `HOVHU NO.LJNILNfIH 0 ltufl NOSNAAAHf OtzI IS NIVN LZI Q 1iufl is NiviN tog QNV'ISI HOVHg JMlJ I.flDNlVH A.I.IO HOVHg 89I9# SNIRUON-NINSVH 0000-L b9Z6 0000-8t9Z6 0000-8t9Z6 VO `HOVAU NO.I DNIINflH V0 `HOVHg NOIDNI.I N-M V0 `HOVHH NOIDNIINIlH 001 ziufl HOVHg Z919I NIvw 8I£ N liufl NIVN I ZZ VI2IHZZId ODVOIHO S,f g g H OIIHONV d 'IH S,V'IIAV ONI SDI.I.SIJO'I NO'IVAV 0000-8t79Z6 0000-8t,9Z6 8t'9Z6 VO `HOVHg NOIDNIINflH V0 `HOVgg NOJ DNIJ NIIH V0 `HOVHg NOIDNIINIIH 601 I?ufl LSVOO OIAIOVd OO£ IOZ }Iufl NIVW I0£ IN a?ufl NIV" WE ONI SGNVdq WIlIWH2id NVI'IV2I LSfIV OZZ NHMOd V81SV , 0NI ANVdWOD "IIO V Isv .LSflV 8t79Z6 0000-8t,9Z6 8t79Z6 VO `HOVHg NO.I JNI.LNf1H VO `HOVHg NO LDNIJ NIIH V0 `HOVHg NOIDNIP MH ZOI# 19THIS NIVIN 8Zt A liufl IS NIVW 109 OOI#AMH ISVOO OIAIOVd 00£ FI IHHOIN HOVg2IV S'IIVN HINNV S,HQNV 08Z06 VO `FIJ VJ HIfIOS IM-t,I9Z6 VO `HNIANI IZO06 VO `STlHJNV SO-1 CIA'J9 HNOISANIA J7I9tr OSOI#H.I.S VZV'ld XNVd Z IHHNIS HSflOHHUVM LtL ADV.I.NIA NVORIHINV SXOSIAQV 0NI -NIA SSANdXH NVORIHWV 'IIV LHH 'IHNVddV NVDINA HIV 0000-8t9Z6 8t,9Z6 8t 9Z6 VO `HOVHg VNfIDV'I VO `HOVHg NOJ DNI.LNIlH V0 `HOVHg NOJ DNI.LNfIH £tZ#AMH LSVOO N 899 A# is NIVIN IZZ 90£ #ISVOO OIAIOVd 00£ "I IRI�J VHO'IV ONI 'IV.I.IdVO HONVICIFI IV I IVH NV IV LZI8-8t,9Z6 0000-8t9Z6 8t'9Z6 VO `uoeag uoj�iutyunH VO `HOVHg NOLDNI.I.NIlH VO `HOVHU NOIDNILNIIH ObZ# `*is u'Uw IOt 0£Z# ,LHHNLS NIVw 101 ?I2IOM.I.HN HAI.I,OV ONI SH0IA2IHS 09Z �tufl NIVIN t 0 i 'IVOINHOH L INIVIOOV ?I2IOM LHN IVIONVNIA SSHOOV 8t,9Z6 Lt,9Z6 Lt9Z6 . 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2ND STREET#2 92648-5100 92648 NTA MONICA, CA 90403 H B PACIFIC COAST H B WAHINE H M R ARCHITECTS ENTERPRISE 301 MAIN STREET#102 221 MAIN ST#1 HUNTINGTON INGT N BE CR HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648 92648 92648-0000 HAIR BY KIER HAIR BY KRISTY HAIR BY MARY 2013 ALABAMA#A 227 ELMIRA Unit B 19175 ALLEGRA LANE HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648 92648-0000 92648 HAIR BY ROXANN HAIR DESIGN BY DEANNA HAMMERHEAD PROTECTIVE 9192 BROWNING DRIVE 230 2ND STREET#9 COATINGS HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 419 MAIN STREET#240 92646-0000 92648 HUNTINGTON BEACH, CA 92648 HB Skin Spa HIRSCH ENTERPRISES HOLLY'S YOGURT 212 Elmira Ave. 200 MAIN ST Unit 204B 213 MAIN Huntington Beach, CA 92648 HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648-0000 92648-0000 HUNT BCH REALTY INC HUNTINGTON BEACH BEER HUNTINGTON BEACH BICYCLE 322 MAIN COMPANY COMPANY INC HUNTINGTON BEACH, CA 201 MAIN #E 326 MAIN STREET#101 92648-5130 HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648 92648 HUNTINGTON BEACH HEALTH HUNTINGTON BEACH TECH C HUNTINGTON FINANCIAL ENTER INTERGRATION 428 MAIN STREET#205 305 ORANGE Unit E 417 MAIN STREET Unit 101 HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92646 92648 92648 HUNTINGTON SURF & SPORT HUNTINGTON SURF AND INC SPORT INC HUNTINGTON SURF INN INC 300 PACIFIC COAST Unit 408 300 PACIFIC COAST Unit 408 817 PONY LANE HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA NORTHBROOK, IL 60062 92648-5107 92648-0000 HURRICANES BAR& GRILL HYATT REGENCY HB RESORT 200 MAIN Unit 201 & SPA I H O P HUNTINGTON BEACH, CA 21500 PACIFIC COAST 11500 BARMAN STREET 92648 HUNTINGTON BEACH, CA CULVER CITY, CA 90230-0000 92648 INADA NATHAN INVESTMENT BUILDERS LLC IRIE STYLES 711 PACIFIC COAST HWY#331 101 MAIN STREET Unit 280 10542 WESTMINSTER AVE Unit HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 20 92648 92648-0000 GARDEN GROVE, CA 92843- / 0000 OAZI�/�d ® /��� AMMV-09-008-6 wi0965 31t11dW31�r(aany as(� w10965 a 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CO FURNISHING CO 419 MAIN ST Unit A 200 MAIN Unit 108 517 WALNUT HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648-5199 92648-5127 92648-0000 w.L0965 0"."" / A � AH3AV-09-008-L �� � —0965 31V IdUU31 @AJOAV asn wo:)-Raane-MMM 6ullu'Ad aaa3 a6pnwS pue we( impression antibourrage et a sechage rapide www.averyxom ' Utilisez le gabarit 5960mc ® 1-800-GO-AVERY � � 5960 MAIN STREET CLEANERS MAIN STREET MARKET MAIN STREET OPTICAL & 504 MAIN Unit A 508 MAIN BOUTIQUE HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 200 MAIN Unit 107 92648-0000 92648-0000 HUNTINGTON BEACH, CA 92648-0000 MAIN STREET TANNING SPA MAKIN WAVES MAKLEY & ELDER LLP INC 320 MAIN ST 428 MAIN ST #203 501 MAIN Unit B HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648 92648 92648 MARRIOTT'S NEWPORT COAST MARTIN& ASSOCIATES VILLAS 101 MAIN Unit 360 MARTONI 23000 NEWPORT COAST DR HUNTINGTON BEACH, CA OS S UNION , CA 19 Unit 4 L NEWPORT COARST, CA 92657 92648-0000 OS ANGELES CA 0007-0000 MCBRIDE 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PACIFIC COAST Unit 119 (CARTS) HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 300 PACIFIC COAST Unit 119 92648-5108 92648-0000 HUNTINGTON BEACH, CA 92648-0000 PLATINUM OFFICE SOLUTIONS PRIME SOURCE REALTY PSYCHIC BOUTIQUE 200 PACIFIC COAST Unit 250 326 MAIN STREET HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA P O BOX 92648 92648 SUNSET BEACH, CH, CA 90742 PSYCHIC BOUTIQUE PSYCHIC BOUTIQUE/ CART PO BOX 1662 PO BOX 1662 Pappa Joe's Pizza SUNSET BEACH, CA 90742 SUNSET BEACH, CA 90742- `lIq PCP i ZGY 0000 fly n fj'nc Rpm, e4- Pete's Mexic d Pristine Mo <Orts QUINONES VERUSKA 6049 LOYNES DRIVE LONG BEACH, CA 90803-0000 R P M ENTERTAINMENT RED PEARL KITCHEN REMAX SOUTH COUNTY 117 MAIN STREET#204 412 WALNUT REALTORS HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 301 MAIN Unit 112 92648 92648-0000 HUNTINGTON BEACH, CA 92648-0000 ROBERT KOURY PROPERTIES ROBERT KOURY PROPERTIES ROCKIN FIGS SURF 200 MAIN STREET Unit 206 13922 ERIN STREET Unit D HEADQUARTERS HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 316 MAIN ST 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(1 wi0965 ®Aa3A'%f , �/fJ ua03•AGane nnMM �) 6ullulad eaaA a6pnw5 pue we f Impression antibourrage et a sechage rapide www.avery com /fit A RYO 5960-1 Utilisez le gabarit 5960mc 1-800-GO-AVERY SHORE HOUSE CAFE SILVERA'S STEAK HOUSE & SHARKEEZ 520 MAIN LOUNGE 703 PIER AVE#13815 HUNTINGTON BEACH CA 126 MAIN Unit 201 HERMOSA BEACH, CA 90254 92648 HUNTINGTON BEACH, CA 92648 SMOKIN' MO'S BBQ SPARK WOODFIRE COOKING SPRINT NEXTEL 301 MAIN Unit 107 300 PACIFIC COAST Unit 202 6500 SPRINT PKWY HL 5A606 HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA OVERLAND PARK, KS 66251- 92648-0000 92647 5555 STARBUCKS COFFEE STEELE BRANDY STEPHANIE JAMES COUTURE COMPANY #575 1850 WHITTIER AVE Unit C109 438 MAIN STREET# 110 PO BOX 34067 - TAX DEPT COSTA MESA, CA 92627-0000 HUNTINGTON BEACH, CA SEATTLE, WA 98124-4067 92648 SUBWAY SUCCESS TRAK PROF SUNLINE ELECTRIC CHAIR/ EC SANDWICHES/SALADS#11473 TRAINING INS STAR 300 PACIFIC COAST HY Unit 221 MAIN Unit K 410 MAIN STREET 106B HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648-0000 92648-5132 SUNSHINE SUPREME DONUT SURF CITY CANDY INC 20142 MIDLAND LN 602 PACIFIC COAST 126 MAIN Unit 102 HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648-0000 92648-5033 92648 SURF CITY CHIROPRACTIC SURF CITY HARLEY- SURF CITY MARKET 411 MAIN STREET DAVIDSON OF HUNTINGTON 200 MAIN STREET#103 HUNTINGTON BEACH, CA BEACH HUNTINGTON BEACH, CA 92648-0000 13031 GOLDENWEST ST 92648 WESTMINSTER, CA 92683 SURF CITY TRADING CO BY SURF CITY WIRELESS SURF-CONNECTION LAMONTS 221 MAIN STREET#D P O BOX 456 3536 HARDING AVE#500 HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HONOLULU, HI 96816 92648 92648 SUSHI ON FIRE SWANK AUDIO VISUALS LLC SWARTZ, MEAGAN 301 MAIN STREET #103 9842 HAMILTON#25 ST LOUISIS M HUNTINGTON BEACH, CA S , MO 6ERSON AVE3103-0000 HUNTINGTON BEACH, CA 92648 92648 Surfline T K'S FAST GRILL Sugar S'hhck 300 Pacific Coast Highway, Unit 110 PACIFIC COAST HY , R h-<,_—¢ #310 HUNTINGTON BEACH, CA dill 29�_'Om 61 HUNTINGTON BEACH, CA 92648-0000 TEAM DESIGN & TEAM REAL ESTATE T'S TOE RINGS & GIFTS CONSTRUCTION 221 MAIN Unit S 600 E BAY AVE #C-7 221 MAIN Unit S HUNTINGTON BEACH, CA BALBOA, CA 92661 HUNTINGTON BEACH, CA 92648 92648-0000 213Atl-09-008-i. wi©965 31tf'IdW31®Kaany asn wi0965 ®A?J3Nt/ 16f/�d WO:)-faane-NLA n l���I � ' 6ullulad eaaj a6pnwS pue web Impression antibourrage et a sechage rapide www.avery.com AVERY@ 5960' Utilisez le gabarit 5960111 1-600-GO-AVERY l '� TELESIS AUTOMOTIVE THAI WAVE MARKETING SPEC 522 MAIN THE CLOSET 101 MAIN STREET Unit 200 HUNTINGTON BEACH, CA 729 WEST 16TH ST. #A1 HUNTINGTON BEACH, CA 92648-0000 COSTA MESA, CA 92627 92648-0000 THE GARDEN DESIGN GROUP THE HAYES ASSOCIATES THE LAW OFFICES OF ROBERT 221 MAIN Unit P 428 MAIN STREET#209 JAMES WINKLER HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 221 MAIN#M 92648-0000 92648 HUNTINGTON BEACH, CA 92648 THE NAIL AVENUE THE ROCK& ROLL EMPORIUM THE SHOE LAB 300 PACIFIC COAST HWY #114 205 MAIN STREET 200 MAIN Unit 112 HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648 92648 92648-0000 THE TRAINING SPOT THE UPS STORE#4482 THREE DICE 440 MAIN STREET 412 OLIVE 602 PACIFIC COAST Unit B HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA HUNTINGTON BEACH, CA 92648 92648-0000 92648 TOES ON THE NOSE TOMGIRL BAKING CO INC TRAVEL TRADERS #773 (1 lth Fl 1537 MONROVIA AVE 627 LAKE STREET HILTON) NEWPORT BEACH, CA 92663- HUNTINGTON BEACH, CA 6205 BLUE LAGOON DR#550 0000 92648 MIAMI, FL 33126 TROPICANA SHADES TROPICANA SHADES TRUE FIT 13922 ERIN Unit D 13922 ERIN STREET Unit D 116 1/2 MAIN STREET GARDEN GROVE, CA 92844 GARDEN GROVE, CA 92844 HUNTINGTON BEACH, CA 92648 TUNA TOWN TURNER HEIDI TWACOMM.COM INC 221 MAIN Unit U 4 VIA HUESCA 101 MAIN STREET#340 HUNTINGTON BEACH, CA SAN CLEMENTE, CA 92673 HUNTINGTON BEACH, CA 92648 92648 U-DOGGEE CATERING VERSON STUDIO INC WAHOOS FISH TACO 11672 GILBERT P0 BOX 7611 2855 PULLMAN STREET GARDEN GROVE, CA 92841 HUNTINGTON BEACH, CA SANTA ANA, CA 92705-5713 92648 WALLCON INC WATERFRONT HILTON BEACH WEAVER& ASSOCIATES P O BOX 7755 RESORT 101 MAIN STREET#220 HUNTINGTON BEACH, CA 21100 PACIFIC COAST HUNTINGTON BEACH, CA 92615-7755 HUNTINGTON BEACH, CA 92648 92648-5307 WELLS FARGO HOME W TLAND BUSI S MORTGAGE WESTERN EDITORIAL SE 'S IN ONE HM CMPS MACX2401 Unit 200 PACIFIC COAST HWY #348 428 MAI REET#202 04G HUNTINGTON BEACH, CA HUN GTO CH, CA DES MOINES, IA 50328 92648 �9264 � �12i3/�tf-09-008-1 �..... �C/�0(�''`�"' Wi0965 31t/1dW31®+�-zany as(� w10965 pAU=IA'V n 1 1/!J;7-- W0:)- Jane-MMAA �s� �/A 6u'4ulad aaa3 a6pnwS pue wet Impression antibourrage et a s6chage rapide > www_avery.com ( AVERY@ 5960-r Utilisez le gabarit 5960mc I 1-800-GO-AVERY i WETZEL'S PRETZEL YOGA PLACE Z& G BIKES 200 MAIN STREET Unit 109 2215 MAIN STREET 955 TOUR MALINE STREET HUNTINGTON BEACH, CA SANTA MONICA, CA 90405 SAN DIEGO, CA 92109 92648-0000 ZACKS PIER PLAZA City of Huntington Beach 8181 DEAUVILLE DR City Clerk' s Offi ce-Esparza HUNTINGTON BEACH, CA P. 0. Box 190 92646-0000 Huntington Beach, CA 92648 Pete's Mexican Grill 213 Fifth Street Huntington Beach, CA 92648 Pristine Motorsports 225 Fifth Street Huntington Beach, CA 92648 AHMV-09-008-1, w,0965 31V1dW31 @AjOAV asn wi0965 ®Aa3Ab W0ri(a9Ae-MAAM 6uqu1Jd aaaj e6pnwS pue user Council/Agency Meeting Held: 911441 ;- Deferred/Continued to: ❑Approved ❑ Conditionally Approved ❑ Denied City ler s natur Council Meeting Date: 9/4/2007 Department ID Number: ED 07-26 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS SUBMITTED BY: PENELOPE CULBRETH-GRAFT, DPA, CITY ADMINISTRATOR PREPARED BY: STANLEY SMALEWITZ, DIRECTOR OF ECONOMIC DEVELOPMENT SUBJECT: Approve Downtown Huntington Beach Business Improvement District Annual Report, Adopt Resolution of Intention to Levy an Annual Assessment for Fiscal Year 2007-2008 and Schedule Public Hearing for October 1, 2007 Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s) Statement of Issue: On September 7, 2004, the City Council approved Ordinance No. 3661 establishing the Huntington Beach Downtown Business Improvement District (BID) as a method of marketing the downtown area. The State of California 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 upcoming fiscal year, and a public hearing date be set. Funding Source: Revenues and expenses are included in the 2007/08 Downtown Business Improvement District Budget (Fund 710). Recommended Action: Motion to: 1. Approve the Huntington Beach Downtown Business Improvement District Annual Report for FY 2007/08 BID Renewal 2. Adopt City Council Resolution No. 2007-61, a Resolution of Intention of the City of Huntington Beach to levy an assessment for the Huntington Beach Downtown Business Improvement District for fiscal year 2007/08. 3. Direct the City Clerk to schedule a public hearing to be held on October 1, 2007, send copies of the Resolution of Intention, including the BID Boundary Map and assessment formula to each business to be assessed, and publish same in a newspaper of general circulation as required. REQUEST FOR CITY COUNCIL ACTION MEETING DATE: 9/4/2007 DEPARTMENT ID NUMBER: ED 07-26 Alternative Action(s): 1. Return the Annual Report of the Huntington Beach Downtown Business Improvement District for additional information. 2. Deny the request to approve the Resolution of Intention. Analysis: In June 2002, downtown merchants approached the City of Huntington Beach about forming a new Business Improvement District in the downtown commercial area. On September 7, 2004 the City Council approved Ordinance No. 3661 establishing the Huntington Beach Downtown Business Improvement District (BID) as a method of marketing the downtown area. Funding recommendations to the City Council are made by a seven-member BID Advisory Board which is selected by annual election by the businesses paying the assessments. State law requires that activities benefit businesses located and operating in the assessment area. Downtown businesses are assessed based on their size, location, and business type. Assessments currently range from $25 to $1,000 per annum. The attached Map/Assessment Formula includes proposed changes recommended by the BID Board from last year as follows: • A 20% across the board increase in assessments. • The Strand and its future tenants to be moved into the higher Benefit Zone 1 • An area of predominately service businesses along 3rd Street near Orange to be moved into lower Benefit Zone 2 • An expansion of Zone 2 of a few hundred feet to Acacia to include the Art Center (at its request) and the new adjacent commercial development. • A new retail/restaurant-size category to be created by splitting the existing three categories into four. It is estimated that the implementation of these proposed changes, and the spring 2008 opening of The Strand, will increase the Downtown BID annual revenues from approximately $66,000 to $96,450. These are the first substantial changes proposed in the assessment formula and map since the inception of the BID. This greater level of funding is necessary to support the higher level of activities being undertaken in the downtown, mostly connected with the continuation and expansion of the successful Surf City Nights. As required by State law, a protest hearing must be held to provide the opportunity for any affected businesses to voice their protests, or they can submit protests in writing before the public hearing. The Resolution of Intention sets this public protest hearing for October 1, 2007. At that time, the City Council will tally the percentage of assessments protested and will hear additional public comments on the renewal of the BID in the downtown commercial area. If the protests total less than 50% of the total amount of money to be collected, the City Council can approve the renewal of the BID. The City Council also has the option of reducing assessments or modifying the BID boundary area if public comments prompt adjustment. ( f An (t_�T �G E[M 8/20/2007 4:30 PM ARM REQUEST FOR CITY COUNCIL ACTION MEETING DATE: 9/4/2007 DEPARTMENT ID NUMBER: ED 07-26 Beginning in fiscal year 2007-08, the City will exercise greater fiduciary responsibility over all BIDs based on recent case law. Working with the BIDs, staff will ensure that the expenditures will not exceed the approved budgets as proposed in the respective annual reports without prior approval by City Council in a public hearing. 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". Environmental Status: Not applicable Attachment(s1: NumberCity Clerk's Page • Description 1. Huntington Beach Downtown Business Improvement District Annual Report for FY 2006 `07 BID Renewal 2. Resolution of Intention to Renew Huntington Beach Downtown Business Improvement District NO AC17'10N V t `0AK`H -3- 8/20/2007 4:30 PM ATTACHMENT # 1 Huntington Beach Downtown Business Improvement District Annual Report/Budget 2007/08 Business Improvement District Renewal NO ACTION TAKEN This report contains the following: 1. 2006/07 Report 2. 2007/08 Proposed Budget 3. Assessment Formula 4. Assessment Map 3:50 PM Huntington Beach Downtown Business Improvement District 08/16/07 Cash Basis 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 Consulting/Legal R&D 6,000.00 Marketing&Advertising 33,450.00 Postage 2,500.00 Special Events Costs 35,000.00 Steward Program/Cleaning 10,000.00 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 N 0 "A" C"T 10 TAKEH Pagel of 1 8:41 AM Huntington Beach Downtown Business Improvement District 08 2007 INCOME EXPENSE SUMMARY Cashh Basis a 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 4,220.150 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 HO ACTMN TAKEH Page 1 of 1 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 2"d floor or higher Real Estate Individual Licensee $50 Nail/Hair/Skin Stylist/Cart/Kiosk $50 Banks/ATM $500 Benefit Zone 2 NO ACTION Retail Businesses $250 a. Restaurants $250 T A Kk 3:Q 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 8/22/2007 PROPOSED 2007-08 Downtown Business Improvement District Assessment Formula Gene#i# Zone&1zj �, . Retail Businesses Less than 1,000 s . ft $300 1,001 s . ft. to 2,500 s . ft. $600 2,501 s . ft .to 4,999 sq ft. $900 5,000 s . ft. or more $1,200 Restaurants Less than 1,000 s . ft. $300 1,001 sq. ft. to 2,500 s . ft. $600 2,501 s . ft. to 4,999 s . ft $900 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 B.ene it Z011e 2 - 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. HO JCL � K=N 8/16/2007 •-F t F, �- 1.�t a� ,,!� � � ,tea,. qs s si w �. •�, ! r �41 _, �' l aific Coast Hf � '777,fir, IM 1� 6 As t 1 t � x i t �3+ Huntington Beach ©� W' Downtown . r Business improvement District Boundaries and Benefit Zones I & 2 HO ACVOM TAKEN T 'li AT.TA,.... HMEN2 NO ACTION RESOLUTION NO. 2007-61 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TAKEN 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 day of , 200 Mayor REV ED AND APPROVED: INITIATED AND APPROVED: { City Administrator Director of Econo evelopment HO ACTION APPROVED AS TO FORM: TAKEN rvvlq� ty ttorne mv- - -07 08-1160113395 2 Resolution No. 2007-61, Exhibit "A" Huntington Beach Downtown Business Improvement District Annual Report/Budget 2007/08 Business Improvement District Renewal NO ACTICK T "A' KEN This report contains the following: 1. 2006/07 Report 2. 2007/08 Proposed Budget 3. Assessment Formula 4. Assessment Map Resolution No. 2007-61, Exhibit "A" 8:41 AM Huntington Beach Downtown Business Improvement District 2007 INCOME EXPENSE SUMMARY Caashsh Basis a October 2006 through September 2007 Budgeted Actual $OverlUnder 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 42,50720 32,50720 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 NO ACTION T A KE-N Page 1 of 1 Resolution No. 2007-61, Exhibit "A" 3:50 PM Huntington Beach Downtown Business Improvement District 08/16/07 Cash Basis 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 Consulting/Legal R&D 6,000.00 Marketing&Advertising 33,450.00 Postage 2,500.00 Special Events Costs 35,000.00 Steward Program/Cleaning 10,000.00 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 NO ACTION TAKEN Page 1 of 1 Resolution No. 2007-61, Exhibit "B" PROPOSED 2007-08 Downtown Business Improvement District Assessment Formula � . air- y� xt 'y�. a: �. a s Retail Businesses Less than 1,000 s . ft $300 1,001 s . ft. to 2,500 s . ft. $600 2,501 s . ft .to 4,999 sq ft. $900 5,000 s . ft. or more $1,200 Restaurants Less than 1,000 s . ft. $300 1,001 s . ft. to 2,500 s . ft. $600 2,501 s . ft. to 4,999 s . ft $900 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. NO ACTION JCL 8/16/2007 Wy ... J. Y {Q N r � x O V I rT'I X J. kXe Huntington Beach - d� Downtown Business Improvement District Boundaries and Benefit Zones I & 2 CnETTR Resolution No. 2007-61, Exhibit "C" 3:50 PM Huntington Beach Downtown Business Improvement District 08/16/07 Cash Basis 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 Consulting/Legal R&D 6,000.00 Marketing&Advertising 33,450.00 Postage 2,500.00 Special Events Costs 35,000.00 Steward Program/Cleaning 10,000.00 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 NO ACT*iq 14-W TA Kkrl"'Mo N Page 1 of 1 RCA ROUTING SHEET INITIATING DEPARTMENT: Economic Development SUBJECT: Approve Report and Resolution of Intent to Renew the Downtown Business Improvement District 2007/08 COUNCIL MEETING DATE: September 4, 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 A plicable 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 Bonds (If applicable) Attached ❑ Not Applicable Staff Report (If applicable) Attached ❑ Not Applicable Commission, Board or Committee Report (If applicable) Attached ❑ Not A plicable Findings/Conditions for Approval and/or Denial Attached ❑ Not Applicable EXPLANATION FOR MISSING ATTACHMENTS REVIEWED RETURNED F0RW4kjADED Administrative Staff ( ) ( ) Deputy City Administrator Initial City Administrator Initial City Clerk ( ) EXPLANATION FOR RETURN OF ITEM: (Below Space For City Clerk's Use • RCA Author: lamb/runzel NO A' CT�ON TAKEN , CITY OF HUNTINGTON BEACH _ INTERDEPARTMENTAL COMMUNICATION FB;ajj09,,� ECONOMIC DEVELOPMENT TO: The Honorable Mayor and City Council Members VIA: Penny Culbreth-Graft, DPA, City Administrator FROM: Stanley Smalewitz, Director of Economic Development : 5 � DATE: September 4, 2007 SUBJECT: Late Communication — Downtown BID a Item E-9 on the City Council Agenda to approve the Huntington Beach Downtown Business Improvement District (BID) Annual Report for (FN) 2007-2008 BID Renewal; Adopt Resolution No. 2007-61, declaring the City's Intention to levy an annual assessment within the BID; and, direct the City Clerk to schedule a Public Hearing for October 1, 2007, and Notify Each Business to be Assessed and Provide Public Notification has been pulled from tonight's City Council Agenda. The Downtown BID is amending proposed budget allocations and the item will be presented on the September 17, 2007 City Council Agenda. c: Joan Flynn, City Clerk Az-A 3L &j Joan L. Flynn, City Clerk City of Huntington Beach t Office of the City Clerk 122 ' P.O. Box 190 . Huntington Beach, CA 92648 $00. s,9 09120f2 C . � Baked From 92648 E _ USt> POSTAGE LEGAL NOTICE - PUBLIC HEARING Oown Ow/j ROBERT KOURY PROPERTIES 13922 ER1N STREET Unit D i HUNTINGTON BEACH, CA 92648-51.28 Y 0 V ?'d I,:�:I S 927 s C: 1 t3 2 t3'�!^.c.6!CY7 RETURN 'T o SENDER MD SUCH STREET 41r3AfilmE TO f'C3R4ff§RD sfsh! :,dssHssls [(sss,sM Joan L. Flynn, City Clerk City of Huntington Beach Office of the City Clerk 012H16209 32 P.O. Box 190 -� Huntington Beach, CA 92648 , US POSTAGE E LEGAL NOTICE - PUBLIC HEARING X-, � OW W19 _ ,III,T CLOSET + 729 WEST 16TH ST. #Al o s f COSTA MES,^ mti')7 �/1 927 5E 1 C7 C79./28./07 RETURN TO SE I/ _ Q NOT DELL-VERAE�t-E ASNADDRl SSED Vile UNsADLE 3D (FORWARD ss I r J t Sc! 92649019090 *1100-14404-21--42