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Home My WebLink AboutCity Council - 2021-56 RESOLUTION NO. 2021-56 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH APPROVING AN ANNUAL ASSESSMENT \VITHIN THE HUNTINGTON BEACH DOWNTOWN BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2021-2022 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 City is proposing to leery an assessment for fiscal year 2021-2022 pursuant to the process detailed in Streets and Highways Code §36500, et seq.: and The District's Advisory Board has prepared and filed with the City Clerk a report an "Annual Report' and "Proposed Budget for Fiscal Year 2021-2022" (collectively, "Annual Report"): and On September 7, 2021, the City Council adopted a resolution declaring its intention to levv an annual assessment for Fiscal Year 2021-2022 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 2021-2022 and a description of the improvements and activities to be provided for Fiscal Year 2021-2022. SECTION 2. The City Council of the City of Funtington Beach hereby authorizes a levv and collection of assessments within the District for fiscal year 2021- 2022 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. 21-10271/266400 1 Resolution No. 2021-56 SECTION 4. This resolution shall take effect on nctnhnr a 2021. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the day of Ocftc,v ,� , 2021. ee,�, ec�- Mayor VIEWED N APP VED: APPROVE AS TO FORM: City Manager "City Attorney a-- 21-10271/266400 2 oeESUUJ77di9JNv. 262/ -Sjv \�Q7,0YE#£N4)crhelT A' a owr ' own s d H BDBI D ANNUAL REPORT HUNTINGTON BEACH DOWNTOWN BUSINESS IMPROVEMENT •. it. DISTRICT 2020 - 2021 ALONE, WE CAN DO SO ------ LITTLE; TOGETHER. WE _® CAN DO SO MUCH HUNTINGTON BEACH HELEN NELLER r EXECUTIVE BOARD: President: Dave Shenkman, The Kite Connection Vice President: y T, Stuart Goldberg. INNOCEAN USA fit. Secretary: Kelly Miller, Visit Huntington Beach Treasurer: Mike Williams. The Longboard A, Restaurant & Pub i� DIRECTORS: Danny Othman. 602 Coffee Janice Tugaoen. Kimpton Shorebreak Resort Jim Hall. Surf City Ale House Mary Eikenbary. Sandy's Beach Shack ' Sandra Schulz-Taylor, Model Citizen ,r STAFF: Executive Director: Sarah Kruer Marketing Manager: Jaime Strong Office Admin: Jaime Strong ABOUT: �� =_ Founded in 2004, the HBDBID is a private non-profit 501c6 business-based ^� organization, which is an all-inclusive __ collaborative advocate for the entire growing downtown region. We provide clearly defined value and benefits to our `:, ' 1 =;ems community and stakeholders. - Zi ffl �`•�`-= - WHAT WE DO Create a thriving Downtown business _ district that delivers on the Surf City USA brand and attracts a quality clientele year-round. In addition to r .� consumer marketing. events. and - member communications. the BID provides capital services to benefit - — _-- Downtown in conjunction with the City: Security Cleanliness r Signage = _ Beautification -- VISION: To be a sustainable catalyst for a thriving and livable downtown. nationally recognized for its diverse local businesses and authentic. unique culture. Known for being welcoming. accessible. clean. safe, fun, and environmentally conscious. MISSION: To be the advocate voice for our coastal downtown community creating economic vitality and the ;E + premier entertainment destination. VALUES: communication: Education and Service Representative: The advocate voice for all in our community Integrity: Transparency. Honesty. and Respect Strategic Results: Sustainable, ROI Focused. and Efficient Passion: Positivity and Unified in Cause d The Huntington Beach Downtown Business Improvement District exists to contribute to the continued economic growth of Downtown Huntington Beach. as well as the quality of the overall experience for both visitors and locals. These objectives are achieved through a combination of stakeholder communications. business and civic collaboration, positive marketing and promotions, event programming, safety. cleanliness and member engagement. The challenges brought on by COVID-19 continued through the end of 2020. spiking with an increase in cases and a second stay-at-home order during the holidays. Dining. previously limited to outdoor. was restricted to takeout only. Retail occupancy shrunk to 20%. posing a steep challenge during December. Offices continued with remote work plans for their employees. Rallies continued periodically at Pier Plaza, causing further disruption to businesses. Despite all these factors. 2021 dawned with a sense of resilience and optimism as cases began to decline and restrictions were slowly lifted. Gorgeous weather compelled locals and regional visitors to enjoy Surf City's 10 miles of coastline. biking and jogging paths. Outdoor dining patios were full (as were the adjacent trash cans) as local residents patronized Downtowns vibrant retail and restaurant scene. Savvy operators had continued to pivot throughout the preceding months and many (though not all) found themselves well-positioned for recovery with an ample number of economic programs including EIDL and PPP loans providing essential support. While vacancies plagued other destinations. Downtown HB was fortunate to have very few businesses close during the pandemic. Overall BID membership declined from 272 to 263 between 2020 and 2021. However. Downtown has seen a positive trend towards new businesses entering the district including restaurants like Jay Bird's and Mahkin and retail like SMKFLWR. Surf City Nights returned with great fanfare on March 16. 2021 and has continued to safely attract hundreds of visitors Downtown every Tuesday night. Looking ahead, there are significant opportunities to transform the positive lessons from COVID into lasting aspects of the Downtown experience including an emphasis on cleanliness and safety, an increase in outdoor dining and pedestrian areas, attracting locals and families throughout the year with signature events, and consistently providing an authentic. quality Surf City USA experience to visitors in collaboration with the hotels. SECURITY ; ; i AMBASSADORS The Ambassadors Security program through 12'0"27 Protective Services. aka Big Tony. officially started in 2017 after a pilot program in 2016 and continues to be vital to the weekend safety of Downtown HB. VHB and the BID continue to fund the Ambassadors though adjustments were made to accommodate reduced budgets including a 3-man team instead of the recommended 4-man team through the fall of 2020 and spring of 2021. A 4-man team will return Downtown every Friday. Saturday, and Sunday in 8-hour shifts from July 1st through the first weekend of October. After that they are projected to be on duty two weekends per month based on budgetary constraints. The purpose of the Ambassadors is to establish a rapport and presence with business owners. patrons. and residents of Huntington Beach in the Downtown area. The Ambassadors are not police officers. Their role is to observe and report situations concerning the well-being and safety within the surrounding area. They support the HBPD as needed and within their legal abilities under the law. Their goal is to ensure that all visitors to Downtown HB enjoy themselves and are provided with the safest environment possible. HBPD COMMUNICATIONS The BID appreciates a positive, collaborative relationship with the HBPD. Challenges associated with COVID and weekend rallies only served to increase the value of open, direct communication between organizations to ensure the safety of Downtown HB. In June 2021, the BID. VHB. and HBPD created an informal Downtown Communications Workgroup to foster proactive collaboration and processes between the three organizations. MAINTENANCE Et BEAUTIFICATION I i COVID placed a spotlight on the importance of cleanliness. Power washing and daily porter service are essential to the maintenance of Downtown HB, which is a very active destination throughout the year. MALCO continued to do an excellentjob providing power washing and porter services during the pandemic. During the mandate for restaurant takeout-only during the winter of COVID made trash collection and frequency even more vital to Downtown HB. While January is typically an off-peak month, mild weather and a dramatic increase in takeout trash prompted the BID and the City of HB to re-evaluate trash collection services, quickly shifting back to an on-peak collection schedule months ahead of time. The BID and the City of HB collaborated on a new RFQ for power washing and porter services in May with the goal of awarding a new contract by August 2021. The objective of the RFQ is to expand the footprint of cleaning services across a larger space while also strategically increasing power washing in the most heavily trafficked areas. TOURISM 011�-BE/4C H -' 7h I ounsm plays a Key role In hunzingzon beacn s current ano long-term economic prosperity and helps generate more business opportunities for Downtown. The decline in travel due to COVID-19 devastated the U.S. economy with a shocking impact of nearly $500 billion lost in travel spending - a decrease of 36% domestically and 79% internationally since the beginning of March 2020'. To encourage support for local HB businesses. the Downtown BID partnered with Visit Huntington Beach on local campaigns throughout 2020-2021 such as the OneHB Clean & Safe PI gg. -Masks Up. Surf City.- 12 Blocks of Cheer and Show Your HQ Love. As the vaccination rollout continues and infection rates are falling. Huntington Beach is well positioned to welcome visitors safely and has seen significant improvements in occupancy rates with weekends approaching pre- pandemic levels. The return of Huntington Beach's signature events and reopening of Southern California theme parks and attractions has brought strong visitation numbers to the destination. With travel momentum building and pent-up demand generating bookings. Visit Huntington Beach will continue to market and sell the Surf City USA brand experience to extend the length of overnight stays. rebuild workforce and increase visitor spending. ' Source US Travel Association BID MEMBER OVERVIEW AND ZONE ANALYSIS .!• _ 2 2 n^4 ew o- 2 j t r f fvv a 2 Huntington Beach Downtown Business Improvement District Boundaries and Benefit Zones /Bc2 THERE ARE CURRENTLY 261 ACTIVE BUSINESSES IN THE DOWNTOWN BID IN ZONE 1 AND 2 . BID ASSESSMENT CHART Assessment Chart Oct. 1, 2021 - Sept. 30, 2022 Category Benefit Zone 1 Benefit Zone 2 Retail 1,000 sq. ft. or less $351 $200 1,001 - 2,500 sq. ft. $702 $400 2,501 - 4,999 sq. ft. $1,053 $600 5,000+ sq. ft. $1,404 $800 Restaurants 1,000 sq. ft. or less $351 $200 1,001 - 2,500 sq. ft. $702 $400 2,501 - 4,999 sq. ft. $1,053 $600 5,000+ sq. ft. $1,404 $900 Hotels 20 rooms or less $468 $400 21 - 50 rooms $936 $800 51 rooms or more $1,404 $1,200 Services/ Office 1st Floor $281 $160 Basement, 2nd Floor or Higher 1,000 sq. ft. or less $120 $90 1,001 - 2,500 sq. ft. $150 $120 2,501 - 4,999 sq. ft. $300 $150 5,000+ sq. ft. $700 $3S0 Cart/ Kiosk $100 $80 Banks/ ATM $600 $400 Seasonal, 9 mos or less $500 $300 ZONE 1 ANALYSIS Of the 162 businesses in Zone 1. 103 - or 64% - are either a restaurant or retail establishment and they are almost evenly represented. Together, restaurants and retailers generate 86% of BID assessment fees in Zone 1. At 44, Offices/ Services represent the third largest category of business in Zone 1, indicating a vibrant mix of social and professional operations within the area. Employees returning to their offices after COVID will have a positive impact on Downtown as this audience contributes to meaningful dining and shopping revenue during the week. zone 1 Zone 1 Cans 13 5100 $1,300 Cans 13 $1,300 metal Hotels 1 $1,404 201 less Restaurants 53 543,173 21-SO so. 1 $1,404 SIAM Retail 50 532,292 Banks 1 %00 5600 Service/Office 44 $9,331 Resuurants Bank 1 $600 53S100 12 $4.212 162 588,100 $702 00 18 $14636 $1.053.00 17 $17,901 $1.404.00 6 $8.424 ZONE 1 S3 $43,17) $43,173 - Re1ail m $351.00 21 57,371 � 5702.00 20 514,040 a00° wm 51.053.00 5 $5,265 �w n4ao $1,404,00 4 $5,616 °°°0 syyw lss.an u r14 sow s0 $32,292 —J— te wr Yr�s r� Mnr 4e+ Senntej 011Ke $28100 11 $3.091 $12000 27 $3,240 5150 00 0 s0 5300 00 3 5900 S70000 3 $2,100 Y $9,331 $9,331 Su,I00 ZONE 2 ANALYSIS Of the 99 businesses in Zone 2, 54 - or 55% - are either a restaurant or retail establishment with the majority being retail at 45. Together, restaurants and retailers generate 68% of BID assessment fees in Zone 2. At 37, Offices/ Services represent the second largest category of businesses in Zone 2, indicating a shift to retail and professional operations within the area which is in easy walking distance from all areas of Downtown. Zone 2 Zone 2 Seasonal 6 $300 $1,800 Seasonal 6 $1,800 Hotel Hotels 1 S400 20/less 1 $400 $400 Banks 1 5400 21-50 Restaurants 9 $3,700 So- Retail 45 $12.400 Banks 1 $400 $400 Se"Ke/Office 37 S4,860 Restawants 99 S23,560 $200.00 3 5600.D0 5400.00 4 $1,600.00 in`r $600.00 1 $600.00 5900,00 1 S900.00 ' 9 $3,700.00 $3,700 Retail m $200.00 33 $6,600.DO m $400.00 9 $3,600.00 . —� —m —m • •• �• 5600.00 1 5600.DO c,.. SB00.00 2 51,600.D0 as S12,a00.D0 $12,400 Sernce/Office 5160.00 21 $3,360.00 S9000 14 $1,260,00 $120.00 2 5240.D0 $150.00 0 50.00 53 SO 00 0 50.00 37 54,860.00 UAW $23,560 BID MEMBERSHIP Outside of Zones 1 and 2, two hotels, the Hyatt Regency Huntington Beach Resort & Spa and The Waterfront Beach Resort, a Hilton Hotel, both elected to voluntarily rejoin the BID in January 2021. • There are no changes from the 2018-2019 Assessment Formula. • Assessments are paid annually as a mandatory requirement to receive and/or renew a business license for organizations operating within the Business Improvement District. • Assessment excluded for apartments, real estate agents, non-profits, home-based businesses and temporary vendors. • Business and non-profit organizations outside the area may join with the approval of the BID Board by paying the equivalent fee annually. • Non-profit organizations within the BID Assessment Zone can voluntarily participate by paying $30 to the HB Downtown BID directly. NEW BID MEMBERS: Jay Bird's: Nashville Hot Chicken, Mahkin (Opening Date July 2021 ), Diane's Bikinis (New Owners), Aloha Grill (New Owners), Haus of Bunnies (Opening 2021 ), Hidden Beauty OC, SMKFLWR FINANCIALS ASSESSMENTS As of June 30th, the BID had collected 55% of projected annual assessments. The City completed a much-anticipated integration of the annual business license fee and BID assessment fees into one invoice in May 2021. The BID anticipates this will help with monthly assessment collections bringing the total closer to the annual projected amount. rwr r rlrMRlr rrr M rr = rrr � rrr rYR IRYR } rrr � rr rr x.r r+ r+.rrR rr ,wow a.�xxr.r+r..rr rrr rwr MM errrrR' .1 •Y r rrrrxrrY•rr r.rr��rrr•�r 1 YJ..x•w.r Irrrrrr rYrY• Or• ,rrrr..+rr►r� rr.�rrtir�rrrr. rr a w� rev♦ rrr ro .rrr rrw Or. rrr EIDL LOAN In late October 2020, the BID applied for an EIDL loan, which was awarded in the amount of $150.000 on Dec. 31. 2020. $50,000 was placed in the BID's Main Account for use as operating capital. $100,000 was placed in the Reserve account to meet min. funding requirements. On June 19th, the BID began the process of requesting approx. $45,300 in additional EIDL funds. CITY OF HB COVID GRANT On May 24th, the BID applied for a COVID-19 Relief Grant through the City of Huntington Beach. The BID received confirmation that it would receive an award of $10,000 on June 14th. The funds will be placed in the BID's Main account to use for marketing and operating expenses for the 2021- 2022 fiscal year. Huntington Beach Downtown Business Improvement District Statement of Financial Position As of June 30, 2021 TOTAL ASSETS Current Assets Bank Accounts 1020 First Bank - Main Acct 1.274.11 1030 First Bank - MM 160.733.80 1040 First Bank - Malco 25.692.16 Total Bank Accounts $187.700.07 Other Current Assets 1330 Prepaid Rent 500.00 Undeposrted Funds 0.00 Total Ott w Currant Assails $5W.00 Total Current Assets $188,200.07 Fixed Assets 1640 Machinery&Equipment 11.651.68 1660 Office Equipment 538.74 1670 Computers 1.306.31 1700 Accumulated Depreciation -13.496.73 Total Fixed Assets $0 00 TOTAL ASSETS $188,200.07 LIABILITIES AND EQUITY Liabilities Current Liabilities Other Current Liabilities 2080 Payroll Clearing -185.08 2100 Payroll Tax Payable -853.29 Total Other Current Liabilities $-1,038.37 Total Current Liabilities $-1,038.37 Long-Term Liabilities 2400 Notes Payable - SBA EIDL 150.000.00 Total Long-Term Liabilities $150.000.00 Total Liabiltos $148,961.63 Equity 3100 Unrestricted Net Assets 122.544.38 Retained Earnings 0,00 Net Revenue -83.305.94 Total Equity $39,238.44 TOTAL LIABILITIES AND EQUITY $1 58.200,07 Cash Basis Monday, July 12.2021 04.52 PM GMT-07.00 - - Huntington Beach Downtown Business Improvement District Budget vs. Actuals: 2020-2021 Budget - FY21 P&L October 2020 - June 2021 TOTAL ACTUAL BUDGET OVERBUDGET %OF BUDGET Revenue 4050 BID Assessments 53,757.00 98,000.00 -44,243.00 54.85% 4100 Chili at the Beach 25,000.00 -25.000.00 4300 Surf City Nights 92,177.40 87.500.00 4,677A0 105.35% 4400 Surf City Days -10.000.00 -10.000.00 4500 Miracle on Main 5.000.00 -5.000.00 4600 Main St. Outdoors 3.000.00 -3.000.00 4650 Families Forward 11.000.00 -11,000.00 4800 City of HB Maintenance 128.276.00 133.578.00 -5302.00 96.03% Unapplied Cash Payment Revenue 0.00 0,00 Total Revenue $264,210.40 $363,078.00 $-98,867.60 72.77% Cost of Goods Sold 5100 Rental & Setup 7.583.00 15,000.00 -7,417.00 50.55% 5150 Parking 561_00 4,500.00 -3.939.00 12.47% 5200 Street Cleaning 1.600.00 -1,600.00 5250 Street Closure 2,400.00 -2,400.00 5300 Event Expenses 1.853.30 20,150.00 -18,296.70 9.20% 5330 Entertainment 143.12 143.12 Total 5300 Event Expenses 1,996.42 20.150.00 -18,163.68 9.91 % 5500 Miscellaneous 3,000.00 -3.000.00 5600 Holiday Beautification 15.105.00 35,000.00 .19.895.00 43.16%, 5800 Malco Maintenance 107.169.00 124,578.00 -17,409,00 86,03% Total Cost of Goode Sold $132,414.42 $206,228.00 $-73,813.58 64.21 % GROSS PROFIT $131.795.98 $156,850.00 $-25,054.02 84.03% Expenditures 7010 Advertising & Marketing 2.321.75 12.000.00 -9.678.25 1935% 7050 Bank Charges & Fees 462.81 6,900.00 -6,437.19 6.71 % 7070 Consultants 119,516.00 110,997.00 8.519,00 107.67% 7100 Dues& subscriptions 290.00 2.250.00 -1.960 00 12.89% 7150Insurance 3.115.56 1.900.00 1,215.56 163.98% 7155 Workers Comp Insurance 201,00 1.100.00 -899.00 18.27% Total 71501neuranoe 3,316.56 3,000.00 316.56 110.55% 7170 Legal & Accounting Services 4,955.00 5,450.00 -495.00 90,92% 7190 Meeting & Training 477,61 1,200.00 -722.39 39.80% 7191 Election 1.726.44 1,726.44 7200 Miscellaneous Expense 8.38 8.38 7210 Office Supplies 1.874.43 2,250.00 -375.57 83.31 % 7240 Payroll Expenses 7242 Wages - Administrative Assistant 6.984.67 11.700.00 -4.715.33 59.70%, 7250 Payroll Taxes 578.89 1,490.00 -911 11 38.85%, 7255 Payroll Processing Fees 968.91 1.250.00 -281 09 77.51 % Total 7240 Payroll Expenses 8.532.47 14,440.00 -5,907.53 59.09% Cash Basis Monday,July 12.2021 04:57 PM GMT-07:00 112 Huntington Beach Downtown Business Improvement District Budget vs. Actuals: 2020-2021 Budget - FY21 P&L October 2020 - June 2021 TOTAL ACTUAL BUDGET OVER BUDGET %OF BUDGET 7280 Postage 93.50 93.50 7290 Rent& Lease 11,700.00 12,200.00 -500.00 95.90% 7300 Repairs& Maintenance 50.00 360.00 -310.00 13,89% 7310 Security 7315 Ambassador Program 55,323.47 24.000.00 31,323.47 230.51 % Total 7310 Securty 55,323.47 24,000.00 31,323.47 230.51 % 7320 Taxes& Licenses 869.00 1,400.00 -531.00 62.07% 7330 Telephone 1,707,32 1.645.00 62.32 103.79% QwckBooks Payments Fees 1,891.43 1,891.43 Total Expenditures $215.116.17 $198,092.00 $17,024.17 108.59% NET OPERATING REVENUE $-83.320.19 $-41,242.00 s-42.078.19 202.03 % Other Revenue 8000 Interest Earned 14.25 1425 Total Other Revenue $14.25 $0.00 $14.25 0.009b NET OTHER REVENUE $14.25 $0.00 $14.25 0.00% NETREVENUE $-n305.94 $-41,242.00 $-42,063.94 201.99% Cash Basis Monday.July 12.2021 04.57 PM GMT-07.00 2/2 8889ap ap ap 8 8 a a8g a 88 a 888888 p888888888 88888888888888 8 R 95% aSt g % �. 9 St $ $ AAAAg s � 88 8 a 88888 88888p88888888 888888 .. 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Did You Know? and Member Newsletter TAKEOUT ALCOHOL POLICY • Consumer Messaging N �� •J'}: 11l 'i�f � �� 5' 2.-Wr a r IN Rca•c•N MEDIA COVERAGE �\IC3 BREA SAL 1NCi` Allr-=W QY Rockin Fig Surf Festival BREAK\NG • OC Register, Daily Pilot. Spectrum �� w News and KTLA Channel 5 BREAK�NC Surf City Nights • OC Register and Daily Pilot VAEVY �••••/vim �••oi1u�•w� •w�\� SOCIAL HIGHLIGHTS DINE . . PLAY URF CITY NIGHTS • jj }} S COMMUNITY t o AJ HBDBID EVENTS SURF CITY ' FARMERS' MARKET The Surf City Farmers' Market was �) opened in September of 2020 to provide essential needs for our community. Operating in a smaller t footprint. Main Street and Olive Ave. 10-12 vendors supported the t market through the re-opening of Surf City Nights in March 2021. ' Cl rrs SURF CITY MARKET PLACE The Surf City Marketplace was a •� new open-air boutique retail 1 * destination of 4-6 vendors from October December. The � Marketplace was located at the base of the 3rd block of Main Street 1 during its closure adjacent to the F Post Office. J KEEP ON CRUISIN NOV Based on the success of the Rockin Fig o 0 2,isz' event. the BID collaborated with _ HBBC.easyrider to produce a safe. family- friendly outdoor event that celebrated U cruising culture and thejoys of two wheels While November 14. 2020 was admittedly a - challenging date to navigate because of increasing COVID restrictions, the open air activation complied with all health and + - safety guidelines and was considered a F. success. ROCKIN ' FIG °gyro'.. VINTAGE SURF FESTIVAL � "N 1 � O N O 1 y � ` v � 1 H ceieoration or one or z)urr amity s great personaiities. KocKin rig. ano the 'local's block' of Main Street. the Rockin Fig Vintage Surf Festival was a block-wide activation that safely brought several hundred people to the 3rd block to enjoy entertainment. exhibits, shopping. and dining on Oct. 17, 2020. The event garnered lots of positive press coverage including the LA Times, OC Register and Spectrum News. All business on the 3rd block participated in the event by offering special and unique activities that demonstrated the creative collaboration businesses embraced during COVID. In 2021. the 2nd Annual Rockin Fig Vintage Surf Festival will be incorporated into Surf City Days. SURF CITY NIGHTS Surf City Nights successfully returned to Downtown HB on Tuesday. March 16th with a new footprint and reimagined vendor mix At approximately SO vendors. f the street fair is half the original size in terms of vendors. but occupies the same footprint creating a wonderful flow up Main Street from PCH to Orange. The outdoor dining patios on the 2nd block entice visitors to linger over dinner and the expanded vendor spacing has improved sightlines between vendors and " businesses Surf City Nights has three distinct zones. Surf City Farmers' Market. "Restaurant Row' on the 2nd Block of Main Street. and the Surf City Collective which features unique retail and lifestyle merchants that complement the 3rd block businesses. M� A commission structure was added to NI N r N'J �E► selected vendor categories which helped increase profitability of the event even at a reduced footprint. Local businesses embraced the return of Surf City Nights. The most notable being Avila s El Ranchito's introduction of the Mercado Margarita. a weekly flavor inspired by shopping the market each week, Available only on Tuesday _ nights. the Mercado Margarita often sells out. Another great example of creative collaboration to showcase Downtown HB in a fresh way. ve UPCOMING EVENTS SURF CITY MOVIE NIGHTS In partnership with the International Surfing Museum, Surf �. City Movie Nights is scheduled for Fall of 2021. Through the help of sponsorships. we will be able to bring classic surf cinema to Downtown Huntington Beach. SURF CITY DAYS Surf City Days were on hiatus in Fall y 2020. In October 2021, the event Will return to Main Street and Pier Plaza. Local's favorite. HSS Demo '- Days.will return to the first block of Main Street. The 2nd Annual Rockin Fig Vintage Surf Festival will be added to the event this year for more exposure to all of Downtown. HOLIDAYS 2021 Halloween and Miracle on Main Street, were on hiatus in Fall 2020. We are excited bring the spirit of the season back to Downtown in - 2021. Locals and guests will enjoy the annual Trick or Treating with our businesses and the return of Miracle on Main Street. oowmIown f, x D � A J� O� HBDBID ANNUAL REPORT HUNTINGTON BEACH j � DOWNTOWN BUSINESS IMPROVEMENT DISTRICT 2021 - 2022 HUNTINGTON BEACH ,l y ABOUT: 04 Founded in 2004. the HBDBID is a .� private non-profit 501c6 business based ��y� organization. which is an all-inclusive collaborative advocate for the entire _ growing downtown region. We provide ={r clearly defined value and benefits to ourz community and stakeholders. WHAT WE DO i create a innving uowniown ousrness district that delivers on the Surf City USA brand and attracts a quality clientele year-round. In addition to consumer marketing. events, and member communications. the BID provides capital services to benefit Downtown in conjunction with the City: Security - Cleanliness — Signage Beautification "- Via: VISION: To be a sustainable catalyst for a thriving and livable downtown, nationally recognized for its diverse local businesses and authentic, unique culture. Known for being welcoming, accessible, clean, safe, fun, and environmentally conscious. MISSION: i o oe ine aavocate voice Tor our coastal downtown community creating economic vitality and the premier entertainment destination. VALUES: communication: taucation ana z>ervice t.,. Representative: The advocate voice for J all in our community Integrity: Transparency, Honesty, and Respect Strategic Results: Sustainable. ROI Focused. and Efficient Passion: Positivity and Unified in Cause SECURITY , , i AMBASSADORS The Ambassadors Security program through 12-0-27 Protective Services. aka Big Tony. officially started in 2017 after a pilot program in 2016 and continues to be vital to the weekend safety of Downtown HB. The purpose of the Ambassadors is to establish a rapport and presence with business owners, patrons, and residents of Huntington Beach in the Downtown area. The Ambassadors are not police officers. Their role is to observe and report situations concerning the well-being and safety within the surrounding area. They support the HBPD as needed and within their legal abilities under the law. Their goal is to ensure that all visitors to Downtown HB enjoy themselves and are provided with the safest environment possible. VHB and the BID co-fund the Ambassadors. For 2021-2022 VHB will contribute $30.000 and the BID will contribute $40.200 based on current budget allocations. A 4-man team working an 8-hour shift is scheduled Downtown every Friday. Saturday. and Sunday through the weekend of Oct. 3rd to coincide with the Air Show. After that. the Ambassadors will be scheduled as a 3-man team on specific holiday and event weekends through the fall and spring of 2022. HBPD COMMUNICATIONS The BID communicates frequently and works in partnership with HBPD. In June 2021. the BID. VHB. and HBPD created an informal Downtown Communications Workgroup to foster proactive collaboration and processes between the three organizations. The BID attends HBPD security briefings related to events planned for Downtown. MAINTENANCE fr BEAUTIFICATION I 1 w- er• uowntown hrs is a very active destination ana requires rrequent. morougn cleaning. MCS was awarded the cleaning and maintenance contract after the City distributed a new RFQ in June 2021. The new contract provides increased frequency of power washing along heavily-trafficked areas of Downtown while also expanding the coverage area to reach more businesses. Daily porter service is the second component of the contract. The BID often increases porter staffing over holdiay and event weekend. MAINTENANCE & BEAUTIFICATION jq Zone 1 Power Washing: On Peak = 2 x week, Off Peak = 1 x week ` � EXNIBrT B Downtown Maintenance MAINTENANCE & BEAUTIFICATION J _ Ik�7 / Zone 2 Power Washing: On Peak = 2 x month, Off Peak = 1 x month ti1 1 +v i 1 _ T � 1 �, g, '`� 1♦ 1 i l 4 � y / � l I 01 4 �0/! EXHIBIT C nr•rnl..rr ar11y1 Downtown Maintenance I�us - _= 7 MAINTENANCE & BEAUTIFICATION s �1 , b I A. j7r .7 q17 = I y1 Zone 3 Power Washing: Monthly Alley and Gutters 4 � � � N �J R ' 1 1 `V/ ♦ 1 � I EXHIBIT D Downtown Maintenance •ar.b 6.v ale a,n �_- l BID MEMBER OVERVIEW AND ZONE ANALYSIS ! rNl[I 2 �� •u ti�� o-`arr..r,. 4cfi Iu 2 .•` qj Huntington Reach Downtown Business Improvement District Boundaries and Benefit Zones 1&2 THERE ARE CURRENTLY 261 ACTIVE BUSINESSES IN THE DOWNTOWN BID IN ZONE 1 AND 2 . BID ASSESSMENT CHART Assessment Chart Oct. 1, 2021 - Sept. 30, 2022 Category Benefit Zone 1 Benefit Zone 2 Retail 1,000 sq. ft. or less $351 $200 1,001 - 2,500 sq. ft. $702 $400 2,501 - 4,999 sq. ft. $1,053 $600 5,000+ sq. ft. $1,404 $800 Restaurants 1,000 sq. ft. or less $351 $200 1,001 - 2,500 sq. ft. $702 $400 2,501 - 4,999 sq. ft. $1,053 $600 5,000+ sq. ft. $1,404 $900 Hotels 20 rooms or less $468 $400 21 - 50 rooms $936 $800 51 rooms or more $1,404 $1,200 Services/ Office 1st Floor $281 $160 Basement, 2nd Floor or Higher 1,000 sq. ft. or less $120 $90 1,001 - 2,500 sq. ft. $150 $120 2,501 - 4,999 sq. ft. $300 $150 5,000+ sq. ft. $700 $350 Cart/ Kiosk $100 $80 Banks/ ATM $600 $400 Seasonal, 9 mos or less $500 $300 ZONE 1 ANALYSIS Of the 162 businesses in Zone 1. 103 - or 64% - are either a restaurant or retail establishment and they are almost evenly represented. Together, restaurants and retailers generate 86% of BID assessment fees in Zone 1. At 44, Offices/ Services represent the third largest category of business in Zone 1, indicating a vibrant mix of social and professional operations within the area. Employees returning to their offices after COVID will have a positive impact on Downtown as this audience contributes to meaningful dining and shopping revenue during the week. Zane 1 Zone I tarts 13 $100 $1,300 Carts 13 51,300 "*I Hotels 1 $1,404 201less Restaurants 53 $43,173 21-SO 50• 1 $1404 S1,404 Retail SO $32,292 Banks I 5600 $600 Service/Office 44 59,331 Rest""" Bank 1 $600 53S1.00 12 S4,212 162 $88,100 $702 00 18 $12.636 51.053,00 17 $17.901 $1.404.00 6 58,424 ZONE 1 $3 $0,173 $41,173 Rena 4me „aW 5351.00 21 $7.371 .me 5702.00 20 514,040 m >r 51,0S3.00 $ $5,265 Ulm 51.404.00 4 55,616 ,a take tyU, s0 $3Z,Z92 $32,292 -- fw 5lIVKt/OMKe e se $28100 11 $3,091 5120.00 27 $3,240 $I50.00 0 $o MOM 3 $900 $700.00 3 52.100 N $9,331 $9,331 $BB,100 ZONE 2 ANALYSIS Of the 99 businesses in Zone 2, 54 - or 55% - are either a restaurant or retail establishment with the majority being retail at 45. Together. restaurants and retailers generate 68% of BID assessment fees in Zone 2. At 37. Offices/ Services represent the second largest category of businesses in Zone 2, indicating a shift to retail and professional operations within the area which is in easy walking distance from all areas of Downtown. Zone 2 Zone 2 Seasonal 6 S300 $1,800 Seasonal 6 51,800 Hotel Hotels 1 $400 20/less 1 $400 5400 Banks 1 $400 21-50 Restaurants 9 S3,700 50* Retail 45 $12.400 Banks 1 5400 $400 Service/Office 37 54,860 Restaurants 99 523,560 S200.00 3 S600.00 S400.00 4 $1.600.00 ZONE 2 $600,00 1 $600.00 $900.00 1 S900.00 ` 9 $3,700.00 $3,700 Retail a S200.00 33 S6,600.00 am $400.00 9 $3,600.00 0 •in r!� 11� Mi tip• ti� h0 5600.00 1 $600.00 S800.00 2 S1,600.00 4S $12,400.00 $12,400 Service/Office S160.00 21 $3.360.00 $9000 14 $1,260.00 $120.00 2 5240.00 $150.00 0 $0.00 53S0.00 0 S0.00 37 $4,360.00 54,660 SZ3,S60 BID MEMBERSHIP Outside of Zones 1 and 2, two hotels, the Hyatt Regency Huntington Beach Resort & Spa and The Waterfront Beach Resort, a Hilton Hotel, both elected to voluntarily rejoin the BID in January 2021. • There are no changes from the 2018-2019 Assessment Formula. • Assessments are paid annually as a mandatory requirement to receive and/or renew a business license for organizations operating within the Business Improvement District. • Assessment excluded for apartments, real estate agents, non-profits, home-based businesses and temporary vendors. • Business and non-profit organizations outside the area may join with the approval of the BID Board by paying the equivalent fee annually. • Non-profit organizations within the BID Assessment Zone can voluntarily participate by paying $30 to the HB Downtown BID directly. NEW BID MEMBERS: Jay Bird's: Nashville Hot Chicken, Mahkin (Opening Date July 2021 ), Diane's Bikinis (New Owners). Aloha Grill (New Owners). Haus of Bunnies (Opening 2021 ), Hidden Beauty OC, SMKFLWR FINANCIALS ASSESSMENTS As of June 30th, the BID had collected 55% of projected annual assessments. The City completed a much-anticipated integration of the annual business license fee and BID assessment fees into one invoice in May 2021. The BID anticipates this will help with monthly assessment collections bringing the total closer to the annual projected amount. ----------------- rr M 4A• � YR �WTYx x� rr�xi •�M rew.s.aww•w 7 •Y wrwire�rw�xr•w. r. + ��r ww•rw.xw•w�•�e wwM•�YY ••r•ww.rr�rr r wrr x r.rw�• r<�w� rwr r.�•�rrwrrrrr�rrw rr.•rrrrwr� yr. r r w. 1�••Arr•r •�rr �� rIY YYI• Or1r�rl�x Mr.Y•�4r .�.� rw.0 wr.•r•ru EIDL LOAN In late October 2020. the BID applied for an EIDL loan, which was awarded in the amount of $150,000 on Dec. 31, 2020. On Jan. 5, 2021 $50.000 was placed in the BID's Main Account for use as operating capital to cover expenses such as rent and staff costs. $100,000 was placed in the Reserve account to meet min. funding requirements. On June 19, 2021, the BID began the process of requesting approx. $45,300 in additional EIDL funds. CITY OF HB COVID GRANT On May 24, 2021, the BID applied for a COVID-19 Relief Grant through the City of Huntington Beach. The BID received confirmation that it would receive an award of $10,000 on June 14th. The funds will be placed in the BID's Main account to use for marketing and operating expenses for the f«ai va zr Huntington Beach Downtown Business Improvement District Statement of Financial Position As of June 30, 2021 TOTAL ASSETS Current Assets Bank Accounts 1020 First Bank- Main Acct 1,274.11 1030 First Bank - MM 160.733.80 1040 First Bank - Malco 25.692,16 Total Bar*Aotxwrda $187,700.07 Other Current Assets 1330 Prepaid Rent 500.00 Undeposited Funds 0.00 Total Other Current Assets $500.00 Total Current Assets $188,2W.07 Fixed Assets 1640 Machinery& Equipment 11.651,68 1660 Office Equipment 538,74 1670 Computers 1,306.31 1700 Accumulated Depreciation -13.496.73 Total Fixed Assets $0.00 TOTAL ASSETS $188.200.07 LIABILITIES AND E.QUITY Liabilities Current Liabilities Other Current Liabilities 2080 Payroll Clearing -185,08 2100 Payroll Tax Payable -85329 Total Other Current Liabilities $•1,038.37 Total Current Liabilities $-1,038.37 Long-Term Liabilities 2400 Notes Payable SBA EIDL 150.000.00 Total Long-Term Liabilities $150,000.00 Total Liabilities $148.961.63 Equity 3100 Unrestricted Net Assets 122,544.38 Retained Earnings 0.00 Net Revenue -83.305.94 Taal Equity $39,238.44 TOTAL LIABILITIES AND EQUITY $1a8,200.07 Cash Basis Monday,July 12.2021 04:52 PM GMT-07 00 8 8 8 8 8 8 8 8 8 p 8p 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 ,. 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Did You Knov%P --~-Y---- and Member Newsletter Enhanced Website with Sections -.•- — for Businesses and Visitors and •I _ Event Calendar • Event Promotions MEDIA OUTREACH '�'^'� r •r•�cY1i:� �C R L+AK•NG t1�\ Wr�w� '� ♦ �� yG BREAKING\ 6 • Press Releases 4 � W aF - BREAKING 111111, • Media Alerts • FAM Tours _ • Media Event Invitations BREAK�N� �•'••ii•� llte!►e�.v� ttro� SURF CITY NIGH) ate, Surf City Nights successfully returned to Al Downtown HB on Tuesday. March 16th. 2021 with a new footprint and reimagined vendor mix. At approximately 50 vendors. the street fair is half the original size in terms of vendors. but occupies the same SURF CITY footprint creating a wonderful Flow up NIGHT S Main Street from PCH to Orange. The outdoor dining patios on the 2nd block entice visitors to linger over dinner and 5 MAY HKI T5 the expanded vendor spacing has °OVMTO' Nucor! GTO 6 CH improved sightlines between vendors and businesses. Surf City Nights has three distinct zones Surf City Farmers Market. 'Restaurant Row' on the 2nd Block of Main Street. and the Surf City Collective which features unique retail and lifestyle merchants that `. g complement the 3rd block businesses. fM.r,h�-A V A commission structure was added to selected vendor categories which helped increase profitability of the event even at a reduced footprint. Local businesses embraced the return 1 'r of Surf City Nights The most notable being Avila's El Ranchito's introduction of the Mercado Margarita. a weekly Flavor inspired by shopping the market each week. Available only on Tuesday nights. the Mercado Margarita often sells out: it's a great example of creative collaboration to showcase Downtown HB in a fresh way. s- r UPCOMING EVENTS SURF CITY MOVIE NIGHTS In partnership with the International Surfing Museum. Surf City Movie Nights is scheduled for 1!� Fall of 2021. Through the help of m� sponsorships. we will be able to bring classic surf cinema to Downtown Huntington Beach. 1 SURF CITY DAYS In October 2021. Surf City Days will return to Main Street and Pier Plaza. Local's favorite. HSS Demo Days, will return to the first block of i Main Street. The 2nd Annual Rockin Fig Vintage Surf Festival will be added to the event this year for more exposure to all of Downtown. HOLIDAYS 2021 The spirit of the season returns Downtown in 2021. Activities are being planned for both nights of Halloween weekend with the -- traditional trick-or-treating _ Downtown on the 31st. Enhanced r decorations and the return of - Miracle on Main Street is planned for Holiday 2021. LOOKING AHEAD CHALLENGES REVENUE Projected Annual BID Assessment Revenue isjust 18% of the budget. Recurring event revenue with Surf City Nights has proven to be very robust, but the total footprint is still about 50% of what it was pre-COVID. Surf City Nights revenue is projected to be 31% of the annual budget. Individual Signature Events like Surf City Days and Chili at the Beach are expected to be profitable, but frequent one-off events are not supportable with current BID staffing. IMPROVEMENTS • Rebrand BID with a user-friendly name, i.e. Explore Downtown HB, DTHB, or Experience Downtown HB • New Seasonal Events: examples include a Summer Kick-off event and possible monthly lifestyle events • Annualized Calendar of Events to Increase Shoulder Season Programming • Double Social Media Followers and Engagement • Redesign and Expand Website Content to Feature Different Sections for Businesses and Visitors • Increase Clarity and Value of BID Membership through Marketing. Member Communications, Services, and Programming aww-food illy. 2wl-S& BOUNDARY MAP `erg 1 s •t vr.... tiP 1{r... 2 .sr a 2 3 Huntington Beach Downtown Business Improvement District Boundaries and Benefit Zones 1&2 Businesses to be Assessed—FY 2021 -2022 Business Name: ZIMBABWE HB GIFTS & ACCESSORIES (CT) SHOREBREAK HOTEL THE IRISHMAN BOLTTOURS PEDEGO H B SALT HAIR LOUNGE ESTHETICS AND LASH EXTENSIONS BY HANNAH ARIA HOOKAH LOUNGE SALT LIFE LLC JACK'S SURFBOARDS CVS/PHARMACY #819 MODERN PARKING INC SMILES CAFE GENTLE DENTAL HUNTINGTON BEACH MAIN STREET CLEANERS BOGGELN & COMPANY CPA E J I DESIGNS STYLING BY STEPH / THE BLONDE ROAST COLOR ME ALLIE DASH OF SASS NAILED IT NAIL BAR MINDFUL LIVING EXPERT ANDE'S PERUVIAN ARTS AND CRAFTS (CT) ANDE'S PERUVIAN ARTS AND CRAFTS (CT) HOT TRENDS SUNGLASSES (CT) THE FUNNEL HOUSE NORTH SHORE POKE CO NO KA 01 SANCHO'S TACOS KILLARNEY'S TOP H B NAILS DARE ME BIKINI SMOKERZ LAND 3 SMOKE SHOP ZEPHYR BARBERSHOP CASSANDRA CAPRI HAIR COLDSTONE CREAMERY MIN'S DYNASTY PERMANENT MAKEUP/MD MEDICAL SPA DECO HAIR LOUNGE 7-ELEVEN STORE #2172-34653A BEACHISLAND JAX BICYCLE CENTER SAIL PROPERTIES INC INVESTMENT BUILDERS LLC WAVELENGTHS RECOVERY LLC PERFECTED WEALTH MANAGEMENT KOKOMOS SURF SIDE INDARRA MODERN INDIAN CUISINE MAIN ST BARBERS KENNETH BROWN SALONS HOT TRENDS SUNGLASSES (CT) HOT TRENDS SUNGLASSES (CT) GRATER GRILLED CHEESE CHARLIE'S GYROS ZACKS PIER PLAZA ZACKS TOO DWIGHT'S BEACH CONCESSION SURF CITY STORE BEACH WAVES SKIN REHAB SURF CITY SEGWAY HUNTINGTON SURF AND SPORT MAIN STREET DAY SPA BEAUTY BUNGALOWS BY PORCELAIN PRISTINE MOTORSPORTS VEGWARE PACKAGING INC PARKING CONCEPTS INC THE U P S STORE #4482 ROBINSON LEE TURN-KEY HOMES SPEEDY CREDIT REPAIR INC F H A REVIEW LUNA UNITED PACIFIC SOTHEBY'S INTERNATIONAL REALTY R M A INTERNATIONAL LANDSCAPE ARCHITECTURE & PLAN BREWSTER'S ICE HAUS OF BUNNIES MAHKIN THAI & SUSHI ZERO ZERO PIZZERIA WAHOO'S FISH TACO LONGBOARD RESTAURANT & PUB MANGIAMO GELATO NAUGLES ROCKIN FIGS SURF HEADQUARTERS MAKIN WAVES SALON BARE BUNNY AESTHETICS SOCK HARBOR AMERICAN VINTAGE BASKIN ROBBINS #362100 MODEL CITIZEN SURF CITY CHIROPRACTIC MAILBOX STATION INNOCEAN WORLDWIDE AMERICAS LLC ROBERT KOURY PROPERTIES STUDENT SUPPORT LIVE LP CELLORION (CT) HUNTINGTON SURF INN T K BURGERS RITTER'S STEAM KETTLE COOKING CRABBY'S BOAT HOUSE 2ND FLOOR FAD CRUISERS PIZZA BAR GRILL ALOHA GRILL MAIN STREET OPTICAL & BOUTIQUE THE BLOW DOWN LLC M E HELME HOUSE FURNISHING CO DING DR LLC BOW AND ARROW HAIR LOUNGE LOVE LOCKS HAVAIANAS SANDALS EL DON LIQUOR RAY'S RENTALS GALITZEN PROPERTIES A & S ACCOUNTING SOLUTIONS INC H M R ARCHITECTS INNOCEAN WORLDWIDE AMERICAS AMBIT CONSULTING LLC ZIGGYS ON MAIN SESSIONS WEST COAST DELI DAIRY QUEEN HURRICANES BAR & GRILL FRED'S MEXICAN CAFE CUCINA ALESSA HB JACK'S BEACH CONCESSION ROCKY MOUNTAIN CHOCOLATE FACTORY SAKALSURFBOARDS SALON RETRO NEIRA DESIGNS & FIX-IT ETC MONTGOMERY JEWELERS EV RIDEABLES LLC PACIFIC COAST BODY SCULPTING LLC JACKS SURF & SPORT HUNTINGTON BEACH EASY RIDER, DANK CLOTHING F45 TRAINING HUNTINGTON BEACH DOWNTOWN PIERSIDE COMMISSARY LAZ PARKING CALIFORNIA LLC FLYWHEEL WEAVER & ASSOCIATES GRUPO GALLEGOS SOLENA LANDSCAPE EIDO CELLORION (CT) MAIN ST LIQUOR MARKET Just Right Apparel HOT SPOT ZIMBABWE HB GIFTS & ACCESSORIES (CT) TZONE SUSHI ON FIRE THAI WAVE RESTAURANT HUNTINGTON BEACH BEER COMPANY SURF CITY ALE HOUSE LET'S GO FISHING & SURF CITY SNACK BAR LLC SURFBOARD AND BIKE RENTALS MOOD SWINGS HOSTETLER KERI SKINSATIONAL MAIN STREET WINE COMPANY PARLOUR ELEVEN HUNTINGTON SURF & SPORT COASTLINE REAL ESTATE INVESTMENTS LLC CONTINENTAL 1 HOUR CLEANERS INC CDA MARKETING GROUP INC P R TALENT HEADLINER SURF CITY SKATES JAY BIRD'S BEAUTY & THE BEACH STUDIO KUO JESSICA AUTOMATED CASH MANAGEMENT SYSTEMS (ACMS) POSITIVE THOUGHT BRAND (CT4) ZIMBABWE HB GIFTS & ACCESSORIES (CT) PETE'S MEXICAN FOOD ICECREAMTON - SOFTY ICECREAM & HANDCRAFTED CHURROS B J'S RESTAURANT & BREWHOUSE DUKE'S WATERFRONT BEACH CABANA BEE BEE NAILS DANIEL JAFFE DDS LUCY'S TAILORING & ALTERATIONS M C A TRADING LLC HAMLIN GOODING THE ICE CREAM WAY DING TEA JAN'S HEALTH BAR I H O P MAIN STREET HAIR COMPANY SUGAR CABANA CALI SHORE STORE HAVEN OF WELLNESS INC EUROPA NAIL STUDIO THE TRAINING SPOT HUNTINGTON BEACH REALTY HORN HOLISTIC ACUPUNCTURE DIRTY DOG WASH RIO MEDIA INC 221 N MAIN STREET BEACH PROPERTIES LLC GALLAGHERS IRISH PUB RACHEL IVERSEN LAC DIANE'S BIKINIS Healing Cryotherapy BOBASAUR SUGAR SHACK CAFE SHARKEEZ HQ GASTROPUB KITE CONNECTION CIO DAVE SHENKMAN ELEVATE SPA SERVICES SUITE INSPIRATION SURF CITY MARKET PORCELAIN HAIR STUDIO / PORCELAIN HAIR EXTENSIONS 7 ELEVEN STORE #35767B SUNWEST REALTY BRENT O NICHOLS DOS IPA 1031 GROUP LLC TEAM DESIGN & CONSTRUCTION RIPCORD DIGITAL INC W & R STUDIOS BANZAI BOWLS WET DOG TAVERN PERQS NIGHTCLUB & SPORTSBAR COACH'S MEDITERRANEAN GRILL SHABU ON FIRE BODHI TREE VEGAN CAFE ORANGE COUNTY BARBERS PARLOR JOLYN CLOTHING COMPANY RIP CURL SURF CENTER SIGNATURE PRINTING CORREA & ASSOCIATES J & J COASTAL LENDING HOWARD FISCHER DVM A PRO CORP 25DEGREES HIDDEN BEAUTY OC BY SHAUNA NASRI JPG Inc. dba Oak Leaf Productions MILK AND HONEY HB ARMIJO ANTHONY (CT) 602 COFFEE HOUSE STARBUCKS COFFEE COMPANY #575 AVILA'S EL RANCHITO H B DOS TOROS MEXICAN GRILL SANDY'S BEACH SHACK 1 LOOK VINTAGE LEATHER AND LACE O C MERRILEE'S INC CALIFORNIA CLOTHING STUDIO 37 SALON CAPITAL INVESTMENT NETWORK INC PHOTO HOUSE INC T R RANCH SERVICES LLC THE NEXT LEVEL W & R STUDIOS MAILPIX INC SURFLINE C B INVESTMENTS INC WESTLAND BUSINESS SERVICES INC PACIFIC RIM TAX & ACCOUNTING ATM GLOBAL INCORPORATED JUVE CREATIVE INC GUARANTEED RATE INC BOMBURGER BLUE CHAIR ACCOUNTING BID ASSESSMENT CHART Assessment Chart Oct. 1, 2021 - Sept. 30, 2022 Category Benefit Zone 1 Benefit Zone 2 Retail 1,000 sq. ft. or less $351 $200 1,001 - 2,500 sq. ft. $702 $400 2,501 - 4,999 sq. ft. $1,053 $600 5,000+ sq. ft. $1,404 $800 Restaurants 1,000 sq. ft. or less $351 $200 11001 - 2,500 sq. ft. $702 $400 2,501 - 4,999 sq. ft. $1,053 $600 5,000+ sq. ft. $1,404 $900 Hotels 20 rooms or less $468 $400 21 - 50 rooms $936 $800 51 rooms or more $1,404 $1,200 Services/ Office 1st Floor $281 $160 Basement, 2nd Floor or Higher 1,000 sq. ft. or less $120 $90 1,001 - 2,500 sq. ft. $150 $120 2,501 - 4,999 sq. ft. $300 $150 5,000+ sq. ft. $700 $3S0 Cart/ Kiosk $100 $80 Banks/ ATM $600 $400 Seasonal, 9 mos or less $500 $300 LOOKING AHEAD CHALLENGES REVENUE Projected Annual BID Assessment Revenue is just 18% of the budget. Recurring event revenue with Surf City Nights has proven to be very robust, but the total footprint is still about 50% of what it was pre-COVID. Surf City Nights revenue is projected to be 31% of the annual budget. Individual Signature Events like Surf City Days and Chili at the Beach are expected to be profitable, but frequent one-off events are not supportable with current BID staffing. IMPROVEMENTS • Rebrand BID with a user-friendly name, i.e. Explore Downtown HB, DTHB, or Experience Downtown HB • New Seasonal Events: examples include a Summer Kick-off event and possible monthly lifestyle events • Annualized Calendar of Events to Increase Shoulder Season Programming • Double Social Media Followers and Engagement • Redesign and Expand Website Content to Feature Different Sections for Businesses and Visitors • Increase Clarity and Value of BID Membership through Marketing. Member Communications, Services. and Programming Res. No. 2021-56 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 October 5, 2021 by the following vote: AYES: Peterson, Bolton, Delgleize, Carr, Moser, Kalmick NOES: None ABSENT: Posey RECUSE: None City Clerk and ex-officio Clerk of the City Council of the City of Huntington Beach, California