HomeMy WebLinkAboutCity Council - 2020-27 RESOLUTION NO. 2020-27
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH
ESTABLISHING CITY POLICY REGARDING THE DEFERRAL OF HUNTINGTON
BEACH TOURISM BUSINESS IMPROVEMENT DISTRICT ASSESSMENT IN RESPONSE
TO COVID-19
WHEREAS, the Parking and Business Improvement Area Law of 1994, codified at
Streets and Highways Code §36600 et seq. (the "Act") authorizes cities to establish property and
business improvement areas for the purpose of imposing benefit assessments on property and
businesses for certain purposes; and
The Huntington Beach Tourism Business Improvement District (HBTBID) was
established for a five (5) year term, beginning October 1, 2014 through September 30, 2019. And
subsequently renewed renewed for a nine (9) and five (5) months year term, beginning February
1, 2019 through June 30, 2028.
COVID-19 pandemic has cause tremendous negative impacts to the global and local
economies. Many of the Huntington Beach businesses experienced significant losses of income
as a result. The steep and sudden drop in revenues has made it extremely difficult for businesses
to keep up with ongoing costs. Many businesses have furloughed and/or laid off employees and
in some cases are at risk of going out of business. Hotels and motels have been particularly
harmed by the lack of travel and tourism created by COVID-19.
This deferral of assessments will give temporary relief to our valued hotels and motels
during these difficult economic times. The deferral of HBTBID assessments is contingent upon
written authorization and approval by the HBTBID.
In response to COVID-19, the date upon which the assessments are due to the City will
be temporarily extended until July 31, 2020 for assessments charged and/or collected from
March 1 to June 30, 2020. This will protect the health, safety and welfare of the citizens of
Huntington Beach by allowing downtown Huntington Beach businesses some temporary
financial security.
NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby
resolve as follows:
SECTION 1. The City Council of the City of Huntington Beach adopts the following
policy regarding the payment of assessment by hotels and motels within the Huntington Beach
Tourism Business Improvement District:
In the spirit of the Governor's Order N-28-20, the City will extend the time to pay
assessment on hotels and motels within the HBTBID area until July 31, 2020, because of the
hardships caused by the COVID-19 pandemic. City Council delegates to the City Manager the
authority to provide a program for the repayment assessments during this time period. City
RESOLUTION NO. 2020-27
Council also delegates to the City Manager the authority to extend the deferral period past July
31, 2020. In no event will the deferral extend beyond September 30, 2020. In any case, the City
will provide a no-interest repayment arrangement option for a period not to extend past June 30,
2021.
SECTION 2. If any action, subsection, sentence, clause or phrase of this Resolution shall
be held invalid or unconstitutional by a court of competent jurisdiction, such invalidity shall not
affect the validity of the remaining portions of this Resolution, the, or other attachments thereto
or fees levied by this Resolution.
SECTION 3. This Resolution shall take effect immediately and apply retroactively to
March 16, 2020.
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a
regular meeting thereof held on the 4th day of May , 2020.
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WED AND OVED: INITIATED AND APPROVED:
City Manager Chief Financial Officer
APPR J D AS TO FORM:
-�;Pf ity Attorney
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20-8607/228493
Res. No. 2020-27
STATE OF CALIFORNIA
COUNTY OF ORANGE ) ss:
CITY OF HUNTINGTON BEACH )
I, ROBIN ESTANISLAU, 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 May 4, 2020 by the following vote:
AYES: Posey, Delgleize, Hardy, Semeta, Peterson, Carr, Brenden
NOES: None
ABSENT: None
RECUSE: None
City Clerk and ex-officio Clerk of the
City Council of the City of
Huntington Beach, California