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Home My WebLink AboutCity Council - 2024-42 RESOLUTION NO. 2024-42 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH APPROVING AN ANNUAL ASSESSMENT WITHIN THE HUNTINGTON BEACH DOWNTOWN BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2024-2025 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 levy an assessment for fiscal year 2024-2025 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 an "Annual Report" and"Proposed Budget for Fiscal Year 2024-2025" (collectively, "Annual Report"); and On September 3, 2024,the City Council adopted a resolution declaring its intention to levy an annual assessment for Fiscal Year 2024-2025 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 confirms, 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 2024-2025 and a description of the improvements and activities to be provided for Fiscal Year 2024-2025. SECTION 2. The City Council of the City of Huntington Beach hereby authorizes a levy and collection of assessments within the District for Fiscal Year 2024- 2025 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 District as shown in Exhibit B. SECTION 3. The assessments collected will be used in part and as provided in the Annual Report. • 24-14974/347773 1 Resolution No. 2024-42 SECTION 4. This resolution shall take effect on October 1 , 2024. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 1st day of October , 2024. Mayor REVIEWED AND A" : •VED: INITIATED AND APPROVED: City Manager D re or of Community Development APPROVED AS TO FORM: City Attorney TTEST: (*70 fru 9.6Se City Clerk 24-14974/347773 2 EXHIBIT A Resolution No. 2024-42 Exhibit"A" a\ 0. f}•14 r rRl,�l f f ` •, \'\I �'i..li it '_. '"4•M 1 4 b ill � sty- Y. •1 .- \. :.1j 1 1 I , 4641 , ' ,4 , . ,' f.b _Lit iiirol.,__,.. Q lis . /ei a , \ r 1 �c�. 1 E �� t~ i1 irt r,-1 - sNtiu______ A .,-.,.7_ 6 Alia A 4 .1 ' — w� —`-- 4/ ^_ l HUNTINGTON BEACH • DOWNTOWN r BUSINESS IMPROVEMENT DISTRICT ANNUAL REPORT 2024-2025 1 ii� 1i -. Y q l Vt 4 : � t _ 1 �;11' � - --� .�'.. .. -- �._ - 10 L.---.1,, "Ill . siuwaenu ,,Mp ., ,-- ,k.,.. , _ - - 1 - , . .., , -:., A, 111 f..- el. 40 i Ll —i 'p HUNTINGTON BEACH DOWNTOWN _ � BUSINESS IMPROVEMENT , DISTRICT ANNUAL REPORT 2024-2025 WHAT IS A BUSINESS IMPROVEMENT DISTRICT? A Business Improvement District or BID is an area where business owners collectively agree to pay assessments to fund improvements and activities that benefit the district. In partnership with the downtown business owners, the Huntington Beach City Council formed a city program called the Huntington Beach Downtown Business Improvement District (District) in 2004 by approving ordinance No. 3661. One goal of establishing the District was to strengthen and improve the visitor experience in the downtown business district. In 2008, City Council appointed a non-profit organization, the HB Downtown Business Improvement District (Downtown HB), to serve as the District's Advisory Board. The Downtown HB acts to administer and manage activities and funding outlined in the ordinance and resolutions establishing the District. Downtown HB consists of a volunteer Board of Directors and administrative staff to support the goals of providing communication, marketing, and coordination of the Downtown HB's work. r r ;:f.:„„: . ii___117.-.41`5-... ---- ' 1 c _ n vi, „I- w 41 a. --'"'r. 1 _ 0 4,0:0; ' , '1, 41-r, t‘— - I 11 „! ni '' i 2024-2025 ANNUAL REPORT PAG1: I ABOUT DOWNTOWN HUNTINGTON t BEACH , ,, �1 • G ♦ 1 �• 1 jam•' • i � • n 1 ' ' i, V. r Irl t. ^ r � P Ir Is : Leta � --,:',..',A--„.-- • . :' v . '—�� •L YiS,j% ^� A r � Aye ;., , f e ' * ' 7 A shopping, dining and services r , +;''. i'- ! n,? -;>, '_ destination for locals and •'' � `- tourists visitingDowntown };.• �� Huntington Beach t `° , r't ' ' --:1.- iliA ' •J-2; 4' ' ' 1 41 ,p, ..„,,,,. . , . •r ,,. , _ - , ,.....m. - , i i , il i i _____ ABOUT The Huntington Beach Downtown Business Improvement District dba Downtown Huntington Beach is an independent nonprofit California corporation established under section 501(cX6)of the Internal Revenue Code. Its purpose, first established in 2004, shall be to improve the economic business environment of the District related to marketing, safety, maintenance, tourism,parking and special events. Downtown Huntington Beach is the Advisory Board for the City of Huntington Beach established under City Ordinance 3661, City Ordinance 3797, and California State Code 36500 et seq. Its purpose, first established in 2004, shall be to: (1) promote economic revitalization and physical maintenance of the District in order to create jobs, attract new businesses and prevent erosion of the District; (2) create revenue to fund improvements and activities through which the District benefits from those improvements and activities; and (3) promote the District's recreational, cultural and other attractions as a tourist destination. MISSION VISION To be the advocate for our coastal downtown To be a sustainable catalyst for a thriving community by creating economic vitality through improvements and activities; to and livable downtown, nationally establish the District as a shopping, dining and recognized for its diverse local businesses services destination for locals and tourists. and authentic, unique culture. Known for being welcoming, accessible, clean, safe, fun and environmentally conscious. 2024-2025 ANNUAL REPORT PAGE 2 BOARD OF DIRECTORS ' , AND COMMITTEES _4. - _ ,_ :"1".."110111114111.,.., ,,,,,,...„7.,,„,,.....,::4,,....,.; _,:f...4, ,, . . Willikr . , . .....4!-"sis.,....-_-84ti, } ti t "i- f F I ,!r,,,, Lid +,__ 1__ - ~;gym-, ..-'reAll a -ebi ... - 4 l -- - ,Y ; c E EXECUTIVE COMMITTEE COMMITTEES CONT'D President: Susanna Smith, Makin Waves Salon Events Committee Treasurer: Sandra Schulz Taylor, Model Citizen Co-Chairs:Bob Bolen,Darrick Hearn Secretary:Moe Kanoudi,Main Street Eyewear Finance&Governance Committee Co-Chair:Susie Smith BOARD OF DIRECTORS Sandy Taylor,Moe Kanoudi Bob Bolen,Huntington Beach Realty Marketing Committee Darrick Hearn,Sandy's Beach Shack Co-Chairs:PT Kari Ivey,Second Floor Nominating Committee Nicole Llido,Visit Huntington Beach Chair:TBD Peter"PT"Townend,International Surfing Museum Stakeholder Outreach Committee Co-Chairs:Nicole Llido,Susie Smith 2024-2025 COMMITTEES Surf City Artisan Fair Committee Co-Chairs:Susie Smith,Sandy Taylor, Beautification Committee Moe Kanoudi Chair:Bob Bolen Surf City Nights Committee Co-Chairs: Susie Smith, Sandy Taylor, Bylaws Committee Moe Kanoudi Co-Chairs:Nicole Llido,Darrick Hearn 2024-2025 ANNUAL REPORT PAGE 3 MEMBER OVERVIEW ,,,, .›. ,.„.1 \�� Ore I,. FranMrOA Ave e_ .,a 2.'9' a I xi y ren q 4j While Sano1-nT. Z �� QOe C i li sun \, sy h'� ,s Elmira Aver : C y _ 1,; - �+ �`\ 4 - n a C -` Sy,4`e ei _ N Coral In \\'v bx / Delrcrr Ave a N.: 1 _I PAM �lue.fin ymn O , L. y:i - ChlupO AYr MttmaiO '* O rn e - o` errc '4' y Eat Dr L ShHICh ., u o+ +m� � palh more Ave 2 1 4,s 4 e Deachcomtrl Or u `J.� 9ce Allanla Ava y (ESJ '' � ~ = » l4 sV rraa Cq 'ea b _ e w \a‘,N) ' : gc>-W all Cry m er A I' c _.1 r.;(-.City � 8 lr1 '17anrn ail Dr SawrAWlnO CIr ,., Porn o 5 C 51 +DSr Saltpoal Cr. Moanm:g/Cr, \\ E 51 ` F 51 Seabrect O1 — 14:, Y C - •,,, Larnia Or rQ A � \ r`�4`e ad''. vy ti e n N. MvM7bn Huntington Beach "° 4 Downtown Business Improvement District N. Boundaries and Benefit Zones 1&2 _ ''\ ,ti There are approximately 270 businesses in the District. Depending on the business type, square footage, and location, individual business assessments range from $80 to $1,404 per year. 2024-2025 ANNUAL REPORT PAGE 4 MEMBER ASSESSMENT CHART 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 Assessments excluded for apartments,real estate agents,non-profits,home-based businesses and temporary vendors. Businesses and non-profit organizations outside the area may join with the approval of the Downtown Huntington Beach Board by paying the equivalent fee annually.Non-profit organizations within the BID Assessment Zone can voluntarily participate by paying $30.00 to Downtown Huntington Beach directly. 2 0 2 4 -2 0 2 5 ANNUAL REPORT PAGE 5 MAINTENANCE REVIEW The Public Works department and Downtown Huntington Beach have an ongoing maintenance agreement. The initial Memorandum of Understanding (MOU)was established back in 2013,with a total value of$154,000. Presently,efforts are underway to update this agreement. However, the costs associated with the maintenance contract have surpassed the originally stipulated amount in the MOU. To address these supplementary expenses, the Public Works department has formally requested additional funding. Below is a breakdown of the supplementary funding provided by the Public Works department over the past five years: • 2023-2024: $44,000 • 2022-2023: $44,000 • 2021-2022: $34,430 • 2020-2021: $34,430 • 2019-2020: $34,430 • 2018-2019: $8,000 In the year 2022, a decision was reached to eliminate the administrative fee that was previously incorporated within the agreement. Instead, these funds were redirected to cover the current maintenance contract costs. Downtown Huntington Beach designates funds earmarked for specific purposes related to enhanced maintenance. These funds can be utilized to bridge the gap between the actual maintenance expenses and the amount specified in the existing MOU. Downtown Huntington Beach has also allocated additional funds specifically for the purpose of hiring more porters within the Downtown during events such as the 4th of July, US Open of Surfing and the Pacific Air Show. This proactive measure is intended to enhance the overall upkeep and functionality of the district during these events. 2 0 2 4-2 0 2 5 ANNUAL REPORT PAGE 6 MAINTENANCE SIDEWALK CLEANING MAP ,. . „:„. Ell ON ,,,,Ne w...\4 -•(. .* V .:-'4 to w/ii Sit, ,', . / • .,-,- lip s Itilli ni. ift. % , • 417 4,-\ :, ,, 4 . *,, ,. 0.,-4 V % *,,S - alL'I* 1** _ ,4'# 4',I1' • 1111711111 L..Vb 4. 4ZN ce,S *N4 s ' "V 4t7i;,'S WM ite ,,,t,,44, / ,F-1 1E-Trill" in or no Irmo .,' ,I 6 HI Er.-11 2 41.. „. .,,,,:. . ,. N 4440 V ti 4!4'N .to% 4p ._.,,.... ,„.„.....,„.. .„.,„ ..,.. flrEN WPM IN OAS 1=1-1= .• MI Mal 2.2. EMI NMI E NEEN orrum winos .1. ram 4.::... .4 ttl>V , , .ttV . S- E. 4, ,.Nr "mg sTIV . 40'V •>,* AP, MI MO go--... ai •47, 4.114c ,t... s 114vik4 ..:.. 4„:44. 4L •;*N4 SW, N.114 "- N. •% .4 Acacia Es EgAve. Hi 410 zn, -It ,...,-s s •..A v.,.: 4, ,..:, el TVit-4 ik • ,<-11, .,• s'?`4.4k AL. Ns ' 4,17 ,. Li • ', . .70 oas (7) A itikV12--4"---' 1.11 • ,01"11 Oil 1 la . 43'4t;:0% 4iih8 •W 6? N744441P 1".°... ". -- -0111 65 rir LI 2 ' ... i k44'iii:t<,.4,,',4 4‘4,,.4--.*74-•' i4./4.1,_,. ;4t%,11...t1.1l,b 4,•4 i,•i1 1l 1''''b 4. . *.,. .4",,.‘,4:4,-1. -4. WM_mAON_1 0 Nifr ,. 4 • 4 ki% o. . imeVRicnIu1a1 n mi1rAy.r-*ai"n. ln mo % Im-II' an1*li Il1In a E NMI • ‘"; N.,:"• 4h*,,,V ili,...a.. Alb,e,. -'"S • 111r1111 31, 4".*• 0 44, %745sA'-• 41111114 sTr= 101 WTI. 3E, 04 \0 44p \. 0 SAVS n e At7*". ‘71-t1 •-;‘, *-- '., ';'>1° c3' 4% Nip-, sd 217 O1177= P/6:77/1 a E /, ‘*„,:;,s ,Iik * .....,.,,- eet."4 44-I,* '''>11V W+N 4 .k 0 •ic :)•.. 4IISN,44<7bciVi l t<lAik.\1c .>SPt,141 PA,s0S 1'1N21.t`.':g.,,,+*lt\'/%•', .t 'b5 4 , a6FE=riPm.4r.1 4#%t s % r1 4 II% E-1I7I0,- ..-.-\ d • /\ tViiy A* ill. * 7\ •qifiiiiiiiiliaia4: s I 2024-2025 ANNUAL REPORT PAGE 7 DOWNTOWN HUNTINGTON BEACH WEEKLY EVENTS h: m/ -- Every Tuesday Surf City Nights Certified ° . s F '�� Farmers' Market and Street Fair draws both `�D fr '� locals and visitors to Main Street. The �^ 1 . atmosphere becomes vibrant with curated 4 ,-. t - -8,.s ' (_ vendors and local bands taking center stage. ` + • '.Iv The District businessess offer Surf City '' ` 4,4_1I'' r•: 4 '`41 Nights Specials. This event offers a unique 05 , (=1 4.1 a -44 shopping experience with a wide array of fresh .. �}p.. v 4. . 1a`-, -- — f ' produce and goods. It also serves as a platform .� A _ ;— i to engage with community partners and c_, r I f_-.i notable non-profits. iir SURF CITY NIGHTS TUESDAY NIGHTS `� "�'..` A recurring event crafted to highlight s, ii the exceptionally handmade and regional * . . artisans. Enriched by dynamic programming and community engagement, it embodies } the Four Corners concept: Gathering, ' �' ' Giving, Creative and Learning. These ,-311,--eor * , t . 4.-1' r i pillars foster an environment of i , 'Fit t ,R, '-4! t �p , �4:. ,' inspiration, philanthropy and knowledge- , I:1. �, = — - - sharing. Through art, music, non-profit i _ initiatives, community groups and educational experiences, the Surf City Artisan Fair `` creates a welcoming environment for all A attendees. SURF CITYARTISAN FAIR FRIDAY, SELECT WEEKENDS 2 0 2 4—2 0 2 5 ANNUA L REPORT PAGE 8 DOWNTOWN HUNTINGTON BEACH COMMUNITY EVENTS - .' ., A tradition started by Steve Daniels, Surf City �� , Spooktacular is a beloved community event. zr ' Downtown Huntington Beach provides over • ON ��r ,t J $2,000 worth of candy to participating ` MI $' .. businesses. The community dresses up in ' j 1---. costumes to enjoy trick-or-treating, engaging Pt ,' y Q I ' j; ;; with community partner and participaing in activities including the Main Street Costume '• f ''' Contest. Mayor Pro Tem Gracey Van Der Mark, v/' • :_, Chief Eric Parra, Division Chief Marty Ortiz and 1 ` ` a Lieutenant Roman Altenbach engaged with the `a community at the annual celebration. SURF CITY SPOOKTACULAR OCTOBER The annual tree lighting event, Magic on 1I ,,:� �ti � ,,_ Main Street marked the beginning of " H , '•- the holiday festivities at Surf City ® ,. — ,-, . ..; ; r; - ter rNights. Welcomed by Senator Janet m c Nguyen, Mayor Tony Strickland, Chief • r 'Y4 -_ , . P ' Eric Parra, City Council and Chief Scott y i 'i#M f( ,,:p. ,i Haberle, the crowd gathered for a ti ' ` '� =�' Y ' ' countdown to light the Main Street tree. 4$ *c a Rom.-- '�`, `" 'qt.. • The holiday magic filled the air with 3 ci' �, �r a - � ' `7t:;& , f'' " `PtP , lively music, unique vendors and even a u 1? -, special appearance by Santa himself .,, MAGIC ON MAIN STREET NOVEMBER 2024-2025 ANNUAL REPORT PAGE 9 DOWNTOWN HUNTINGTON BEACH COMMUNITY EVENTS -� Downtown Huntington Beach is a proud j sponsor of the Main Street Block Party on Friday, July 5th. A tradition of ouNAol`iiot ' - 'al' . Independence Day festivities, the event a. gn . •- .� 4.� features live music by the Ramsey ". " Brothers Band and Redneck Rodeo. The /;. ,, 6-` community comes together for an evening of I,'r ,, I �y ,�, •.. celebration and entertainment in the heart i *. i V. of downtown. 131 MAIN STREET BLOCK PARTY JULY ;t • Locals and visitors come together to celebrate the culture of Surf City USA! I Events include: t C --•.. I — ' Volleyball• Huntington TournamentBeachSurf Contes HuntingtonBVA • Surf&Sport Demo Day Rickin'Fig 4,a• — • Vintage Surf Festival Kowabunga Van r # Klan Bus Show s Whether you're a beach enthusiast or simply seeking a fun- filled weekend Surf City Days offers something for everyone! SURF CITY DAY HIATUS UNTIL 2025 Otr t ' i 'i.. The annual Chili at the Beach is on hiatus until s • '1• i 2025.While we wait for things to heat back up on Main Street, we look forward to reconnecting with ,k if / 'l our chili contestants, vendors and charity partners who ior • work hard to make the annual event a community favorite. i t.o iiiii r CHILI AT THE BEACH HIATUS UNTIL 2025 2 0 2 4-2 0 2 5 ANNUAL REPORT PAGE 10 IMPROVEMENTS AND ACTIVITIES The following are recommendations from the Advisory Board on the expenditure of revenues derived from the levy of assessments, estimated to total $117,000 for FY 2024-2025: AMBASSADOR PROGRAM $42,813 ENHANCED MAINTENANCE $20,000 HOLIDAY BEAUTIFICATION $20,000 MARKETING $15,027 COMMUNITY EVENTS $13,000 CRM $4,000 FINANCIAL SERVICES $2,160 Further Information More information regarding the allocation of funds follows on Page 12 through page 13. 2024-2025 ANNUAL REPORT PAGE I I 2024-2025 ACTIVITIES AND IMPROVEMENTS AMBASSADOR PROGRAM The primary purpose of the Ambassador program is to establish a positive rapport and visible presence among business owners, patrons and visitors in Downtown during peak season, holidays and special events. The program's overarching goal is to create an environment whee all visitors can enjoy their time in Downtown Huntington Beach. The ambassadors communicate through Whats App. The Ambassador program, funded by Downtown Huntington Beach Assessments and Visit Huntington Beach, has proven to be a valuable asset to the District. • Regular Patrolling - The Ambassadors patrol the District, maintaining a visible presence and establishing rapport with individuals in the community. • Observation and Reporting - The Ambassadors observe and report any potential safety concerns, disturbances or other incidents in the area. • Collaboration with HBPD - The Ambassadors worked closely with HBPD Downtown to address safety- related matters effectively. • Assistance and Guidance - The Ambassadors provide assistance and guidance to visitors,answering questions, providing directions and offering recommendations for local attractions and services. The Ambassadors' commitment to safety, community engagement, and collaboration with HBPD has made a positive impact the District. ENHANCED MAINTENANCE The Downtown District is a hub for both locals and visitors, especially during peak seasons and major events. Downtown Huntington Beach takes proactive measures to ensure a welcoming atomsphere and to ensure cleanliness. Funds are allocated for additional services during events and peak seasons to cover the difference between the City of Huntington Beach MOU and the current maintenance contract. Providing a positive and memorable experience for all attendees is essential and reinforces the Districts' reputation as a vibrant and welcoming destination. HOLIDAY BEAUTIFICATION The District is transformed during the holiday seasons with the addition of enchanted lighting and snowflakes above Main Street. The true star of the show is the decorated tree on the second block of Main Street which serves as the heart of the holiday magic and drawing the community and visitors together. 2 0 2 4-2 0 2 5 ANNUA L R E POR T PAGE 1 2 2024-2025 ACTiVITIES AND IMPROVEMENTS MARKETING Marketing and Events have been instrumental in promoting and shaping the story of the Downtown District. Our strategic approach to marketing, which includes utilizing variousrommunication channels and organizing community events, has allowed us to engagetakeholders effectively and establish a strong brand identity for Downtown Huntington Beach.Assessment Fees are used for advertising and marketing programs, including website, socialmedia and email outreach. COMMUNITY EVENTS Community Events such as the HB4TH of July Block Party, Surf City Spooktacular, and Magic on Main Street have become highly anticipated annual gatherings. These events have not only increased exposure but have also created memorable experiences, engaged oulcommunity, and enhanced the Downtown Huntington Beach brand. CRM In FY 2022-2023, The Huntington Beach City Council recommended that Downtown Huntington Beach adopt a Customer Relationship Management (CRM) program. The CRM serves as a tool for the organization's stability and longevity which benefits all stakeholders. The benefits of implementing this include: • Data centralization, encompassing contact information, communication history and other pertinent details. This comprehensive view of customer data guarantees up-to-date information enabling the organization to identify and address potential issues proactively before they escalate. • Improved stakeholder relationships are facilitated by a central database that provides a better understanding of their needs and preferences which enables more personalized interactions. Efficient marketing campaigns, empowered by tailored marketing messages that are specifically • targeted at distinct stakeholder groups leads to heightened engagement. Downtown Huntington Beach is leveraging Monday.com for their CRM, a tool they have already been using effectively for project management. FINANCIAL SERVICES Monthly financial services by a third party CPA, bank fees, and QuickBooks have streamlined our financial operations and enhanced transparency. 2 0 2 4 -2 0 2 5 ANNUA L REPORT PAGE 13 STATEMENT OF FINANCIAL POSITION Huntington Beach Downtown Business Improvement District Statement of Financial Position As of June :id 2024 TOTAL ASSETS Gwent Assets SankAc unls 1020 Fest Bank- Main Acct 115.186.76 1030 First Bank-MM '6C 806.05 104D First Bark- Maintenance 1 C 770.33 105D Assessment C4edung Aao1 2+:7t10.00 Total Bank Amounts 5288,763,14 Other Current Assets 1330 Pnopaid Rion! 500.00 zJndsposilr+d Funds 1.409.50 Total Other Current Assets $1,909.50 Total Current Aswe,bs $290,612.54 NOW d Assets 1640 Machinery&Equipment 11,651.55 1660 Office Equipment 535.74 1670 CeorrpJters 2,931.66 700 Acct.Tueted Oopreciaton -15,122.0E Total Fixed Assets $0.00 TOTAL ASSETS $290,672.64 — _IABILIT ES AND EQUITY liabilities Current Llabt4tles Other Current Liapiites 2060 Payroll Clearing -185.06 2100 Payroll Tax payable 886.35 Total Other Ct rerdL.iablilin 6-1,073,47 Total Current Liabilities $-1,073.47 l org Tr rri I iandtnna 24pp Ncri Payable SBA El Di. 150.000.00 Total Long-Term Liabilities $150,000.00 Total 4ilrbaRies $145,825.53 Equity 3100 Unrestncted Net Assets 78.974.00 Retained Earnings 0.00 Net Revenue 92.872.17 Total ESP", $141,746,11 TOTAL LIABILITIES AND EQUITY 6290,672.64 2024-2025 ANNUAL REPORT PAGE 15 BUDGET VS. ACTUAL _ _ 2024-2025 ANNUAL REPORT PAGE 16 Huntington Beach Downtown Business Improvement District Budget vs. Actuals: Budget_FY24_P&L - FY24 P&L ()deter 2023-June 2024 TOTAL ACTUAL 'BUDGET OVER BUDGET %OF BUDGET -...�u,..-..m ,...h...,_ .m,____ __.. Revenue 4050 81D Asseasrnen15 90,354.00 61,900.DD 3.454.00 110.32% 4100 GIi at ltie Beach 25.000 00 25.000 00 4200 Event Revenue 379,358.23 364.500 00 -5,`41.11 98.68% 4300 Surf Oily Nights -2,895.00 -2,995 00 4400 Sur City Days 0.00 C DO 4600 City if HB Mwu dear rdr Ka 148.30U 00 146,500.00 u.1A 1 uu.Uu% Total Revenue $615.31723 $639,900.00 $-24„ 82.77 96.16% Coat of Goods Sold 5100 Rental&,Setup 37.515.22 50,400,00 •12,884.78 74.43 4 5150 Perking 2,718.86 900.00 1,8113.86 302.10% 5200 Streel Cleaning 525.CC 22,350.00 •21,825.00 2 35% 5250 Street C.csvee 8,400.00 8,400.00 5300 Event Expenses 25,204.19 35.000.00 -9,795.81 72.01 % 5330 Entertaalrnenr 900.00 2250.00 -1,35D 00 40 CV% 5340 Event PV>Inni& 31,650.00 43,550.00 -11,70D 00 73 13% 5370 Outside Services 61,244.74 53,760.00 7,4134.74 1 13.92% 538D Printing 8 Protxuclinn 4,961.73 9,900.00 -4,938 27 50 12% Total 5300 Event Expenses 124.160.66 144,460.00 -20,299.34 85.96% 5500 Miscellaneous 4,000 00 MC OC 5600 Holiday 8eautilioal o+" 20.900.00 20,001100 5C0 CC 104.50% 58CC M3ironnaica 159,318.C(1 156,000.00 3 318 CC 102.13 Total Coat of Goods Sold 6357,537.74 $394,110.00 $-36,57226 90.72% GROSS P1101-11 $257,779.48 790-00 $11,969.46 104.88% Expetddures 7010 Adwrirsing 8 Marceong 337.95 9.300 DO 8.662 04 3.76% 7060 Bank Charges A Fees 383 31 900.00 -516.69 42.59% 7070 Consultants 96-179.65 151.650.M -55,470.35 63.42% 7100 Dues$subscrptcons 3.544 06 9.CC0 00 -5,455.94 39.38% 7150 Insurance 962 00 2,150.CC -1,198.00 44.28% 7160 Interim' 9,000.00 -9,000 00 7170 Legal&Accounting Services 5,533 00 4,800.00 733.0D 11527% 7190 Meeling 8 Training 146.0C 2,250.00 -2,104.00 649% 7191 Eleclian 0 00 0.00 7210 Office Supplies 1,740.C6 4,50110D -2.759.94 38.67% 7280 Postage 36.97 36.97 7290 Rent 8 Lease 14,100 00 '3.700.00 400_00 1 C2.92% 7300 Repairs&Ma.ntenanca 1,592.62 1.600.DD -207.36 88.48% 7310 Security 11,715.00 11.715 00 7315 Ambassador Program 39.171,16 7.661 00 31.310.16 a98.30 Total 7810 Okra* 60.686.18 7,861-00 43,021,16 647,32% 7320 Taxes&L4ariSes 6.$44_44 2.250.00 4,594.44 3t14.20% 2024-2025 ANNUAL REPORT PAGE 17 A surplus of approximately $5,000 to $6,000 in BID assessments is anticipated to be carried over from the previous year. The items listed in the assessment budget are separate from the Downtown Huntington Beach budget. 2024-2025 ANNUAL REPORT PAGE 18 2024-2025 BUDGET 2024-2025 ANNUAL REPORT PAGE 19 HUNTINGTON BEACH DOWNTOWN BUSNIESS IMPROVEMENT DISTRICT 2024-2025 BUDGET INCOME: OCT NOV DEC JAN FEB MAR ;APR MAY JUN JUL AUG SEP YEARLY TOTALS City of HB Maintenance $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $198,000 VHB Ambassador funding $3,000 $3,000 $3,000 $0 $0 $0 $3,000 $6,000 $6,000 $6,000 $5,000 $3,000 $38,000 Surf City Nights $20,000 $18,000 $20,000 $18,000 $18,000 $20,000 $24,000 $26,000 $27,000 $27,000 $27,000 $25,000 $270,000 Assessments 1 $117,000 Surf City Days $10,000 $10,000 Chili at the Beach $25,000 $25,000 Surf City Artisan Fair $21,000 $21,000 $24,750 $12,750 $10,875 $19,500 $24,750 $26,000 $22,000 $22,600 $22,000 $26,000 $252,625 Monthly Totals 560,500 $58,500 $64,250 $47,250 $45,375 $56,000 568,2501 574,500 571,500 $71,500 $70,500 $105,500 $910,625 EXPENSE: OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP YEARLY TOTALS City of HB Maintenance $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $16,500 $198,000 Assessments(see P.22) $117,000 Ambassadors Security $3,000 $3,000 $3,000 $0 $0 $0 $3,000 $6,000 $6,000 $6,000 $5,000 $3,000 $38,000 Bank Charges $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $1,200 Dues&Subscriptions $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $2,400 Insurance $0 $550 $0 $590 $0 $0 $1,010 $0 $0 $0 $0 $0 $2,150 Accounting $450 $1,200 $450 $450 Soso Saso $450 $450 Saso Saso $450 $450 $6,150 Legal fees $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $4,800 License&Fees $250 $250 $250 $250 $250 $250 $250 $250 $250 $250 $250 $250 $3,000 BOD Election $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,600 $1,600 Meeting/Training $1,500 $0 $0 $750 $0 $0 $0 $0 $0 $0 $0 $0 $2,250 BID Manager $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $6,250 $75,000 SCN Operator $6,042 $5,542 $6,042 $5,542 $5,542 $6,042 $7,042 $7,280 $7,542 $7,542 $7,542 $7,292 $78,992 SCN Support Staff $600 $600 $600 $600 $600 $600 $600 $600 $600 $600 $600 $600 $7,200 Social Media Coordinator $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $16,800 Admin $2,640 $2,640 $2,640 $2,640 $2,640 $2,640 $2,640 $2,640 $2,640 $2,640 $2,640 $2,640 $31,680 SCAF Operator $4,620 $4,620 $5,445 $2,805 $2,393 $4,290 $5,445 $5,720 $4,840 $4,840 $4,840 $5,720 $55,578 SCAF Support Staff $900 $1,200 $1,350 $750 $600 $1,200 $1,350 $1,050 $900 $900 $750 $1,050 $12,000 Office Supplies 5300 $300 $300 $300 $300 $300 $300 $300 $300 $300 $300 $300 $3,600 Repairs/Maintenance $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $1,200 Rent&Storage $1,050 $1,050 $1,050 $1,050 $1,050 $6,650 $1,050 $1,050 $1,050 $1,050 $1,050 $1,050 $18,200 Telephone/Internet $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $2,400 EIDL Repayment $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $12,000 $47,502 $47,102 $47,277 $41,877 $39,975 $48,572 $49,287 $51,490 $50,722 $50,722 $49,572 $50,102 $691,200 BID EVENTS SCN Set up(Malco) $3,030 $3,030 $3,030 $3,030 $3,030 $3,030 $3,030 $3,030 $3,030 $3,030 $3,030 $3,030 $36,360 SCN Set up(HE) $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $33,600 Parking $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $2,400 Market Taxes $1,900 $900 $900 $1,900 $5,600 SCN Marketing $1,000 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $4,850 SCN Quickbooks $640 $576 $640 $576 $576 $640 $768 $832 $864 $864 $852 $800 $8,628 $9,570 56,9561 $7,020 $7,856 $6,956 $7,020 $8,048 $7,212 $7,244 $9,144 $7,232 $7,180 $91,438 SCAF Facility Fee $4,550 $5,200 $5,850 $3,250 $2,600 $5,200 $5,850 $4,550 $3,900 $3,900 $2,600 $4,550 $52,000 SCAF Security/Set up $2,375 $2,700 $3,400 $1,700 $1,380 $2,700 $3,075 $2,350 $2,000 $2,000 $1,350 $2,350 $27,380 SCAF Marketing $1,000 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $4,850 SCAF Logistics $672 $922 $792 $658 $348 $624 $1,342 $832 $704 $704 $704 $932 $9,234 $8,597 $9,172 $10,392 $5,958 $4,678 $8,874 $10,617 $8,082 $6,954 $6,954 $5,004 $8,182 $93,464 Chili at the Beach $25,000 $25,000 Surf City Days $10,000 $10,000 MONTHLY TOTALS $65,669 $63,230 $64,689 $55,691 $51,609! $64,466_ $67,952 $66,784 $64,920 $66,820 $61,808� $100,464 $911,102 VARIANCE:INCOME VS EXPENSE -$477 2024-2025 ANNUAL REPORT PAGE 20 2024-2025 ASSESSMENT BREAKDOWN 2024-2025 ANNUAL REPORT PAGE 2 1 HUNTINGTON BEACH DOWNTOWN BUSINESS IMPROVEMENT DISTRICT 2024-2025 ASSESSMENT BREAKDOWN OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP TOTAL REVENUE $10,000 $5,800 $9,000 $13,000 $7,900 $10,000 $14,000 $10,800 $6,000 $12,000 $9,000 $9,500 $117,000 EXPENSES Financial Services $180 $180 $180 $180 $180 $180 $180 $180 $180 $180 $180 $180 $2,160 Maintainence $4,000 $1,202 $1,202 $1,202 $1,202 $1,202 $1,202 $1,202 $1,202 $1,202 $1,202 $1,202 $20,000 Marketing $1,400 $1,400 $1,400 $1,400 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,227 $15,027 Holiday $10,000 $10,000 $20,000 CRM $330 $330 $330 $330 $330 $330 $330 $330 $330 $330 $330 $370 $4,000 Community Events $5,000 $5,000 $3,000 $13,000 Ambassador $700 $5,113 $10,000 $14,000 $13,000 $42,813 $117,000 2024-2025 ANNUAL REPORT PAGE 22 THE ANNUAL ASSESSMENT PROCESS The District's Advisory Board, Downtown Huntington Beach is required to prepare an annual report to be submitted to the Huntington Beach City Clerk. The annual report contains a proposed work plan, a detailed budget for the upcoming year,a summary of accomplishments and the following information: • Proposed changes in the boundaries of the parking and business improvement areas or in any of the benefit zones within the area in FY 2024-2025 (no proposed changes) • Improvements and activities to be provided for FY 2024-2025 (page 11) • The estimate of the cost of providing the improvements and the activities for FY 2024-2025 (page 11) • Method and basis of levying the assessment for FY 2024-2025 (page 4&5,under BID member Overview and Assessment Chart) • Amount of any surplus or deficit revenues to be carried over from previous year(page 20)Amount • of additional contributions to be made from sources other than assessments(page 20.) The annual assessment process requires City actions,including two City Council meetings,where the City Council must adopt resolutions approving the assessment for the upcoming year. 1st City Council Meeting(Tuesday, September 3rd) • Presentation of the FY 2024-2025 Annual Report and proposed budget and action by Council on a Resolution of Intention to levy assessments Public Notice • Publish Resolution of Intention to Levy an Annual Assessment in a newspaper(at least 7 days prior to the public hearing) 2nd City Council Meeting(Tuesday,October 1st) • Public hearing on the annual assessment and to receive protests against levy of assessments and Council action confirming the levy of assessments At or before the public hearing, all members of the District and public are welcome to protest the annual assessment. Each protest vote is weighted based on the amount of the assessment paid by the business. If the City receives written protests totaling 50% or more of the total assessment,the assessment will not be levied for that year. Even if there is not an assessment for a particular year, the Downtown BID remains, and the annual process to levy the assessment will start over in the next year. 2024-2025 ANNUAL REPORT PAGE 23 PUBLIC HEARING PROCESS How can I provide Public Hearing Comments For or Against the Assessment? At the annual public hearing,all members of the District and the public are welcome to speak to the City Council regarding the annual assessment.A protest against the levy assessment may be: • made orally or in writing • made at the public hearing;however,in order to count in calculating whether businesses paying 50%or more of the proposed assessments are against the assessment,a protest must be in writing and received before the public hearing Each written protest must be received by the City Clerk no later than the public hearing.Written protest against the benefit assessments to be levied may be: • mailed to the City Clerk of the City of Huntington Beach at 2000 Main Street,Huntington Beach, California 92648 • emailed to juan.esquivel@surfcity-hb.org(Assistant City Clerk)with the subject line: Downtown BID Assessment Protest submitted to the City Clerk before the public hearing Each written protest must be filed by a District business owner and signed by the person shown on the official records of the City as being the owner or designated agent of that business. For purposes of District protests, the official records are the City business license database. If the person signing the protest is not shown on the official records of the City of Huntington Beach as the owner of the business, then the protest shall contain or be accompanied by written evidence that the person is the designated agent for the corporation or entity. A written protest may be withdrawn from record at any time before the conclusion of the public hearing. If there are a large number of written protests submitted on a timely basis, the City Council has the option to close the public hearing and then continue the matter to its next regularly scheduled meeting to allow for a thorough counting of the submitted written protests. If written protests have been timely submitted by the owners of the businesses within the District that will pay fifty percent(50%)or more of the total assessments of the entire District,then no further proceedings to levy the assessments shall occur for the FY 2024-2025 year and any new proceedings to levy assessments shall not be undertaken again for a period of at least one (1) year from the date of the finding of the 50% or more written protest by the City Council. If the 50%or more written protest is only as to an improvement or activity proposed in the annual report, then that type of improvement or activity shall not be included in the upcoming year. 2024-2025 ANNUAL REPORT PAGE 24 EXHIBIT B Resolution No. 2024-42 Exhibit "B" DISTRICT BOUNDARY MAP FY 2023-2024 y >„ cr 9Ye I r {�, �1. Ov rr��„1 Frankfort Ave o o C 'J y r u n �. 'eq` O Whife SaId tin_ ;', v m E „c a l I Sun: °i qie Elmira Avern 1.7, v a I3 p`r z o 5„r''9Y0 h m o` el w Col al Ln I. 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BEAUTY BUNGALOWS BY PORCELAIN BELWOOD INVESTMENTS LLC BLUE CHAIR ACCOUNTING BO BASAU R BOGGELN &COMPANY CPA BOMBURGER BREWSTER'S ICE BROAD STREET OYSTER COMPANY SURF CITY BRUNO'S BAR & GRILLE LLC C B INVESTMENTS INC C NEW LAND DESIGN CENTER CA ACCESSORIES LLC CA ACCESSORIES LLC CA ACCESSORIES LLC CALI SHORE STORE CALIFORNIA CLOTHING CAPITAL INVESTMENT NETWORK INC CENTER FOR ORAL HEALTH CHARLIE'S GYROS CHICKEN IN A BARREL BBQ CLUB TRILLY LLC COACH'S DELI COACH'S MEDITERRANEAN GRILL COASTAL SKIN REVIVE COASTLINE REAL ESTATE INVESTMENTS LLC COLDSTONE CREAMERY COMPASS CONTINENTAL 1 HOUR CLEANERS CORREA&ASSOCIATES CRABBY'S BOAT HOUSE CREACTIVE INC CROWN BEAUTY ATELIER CRUISERS PIZZA BAR GRILL CTA REVIEW INC CUCINA ALESSA HB CVS/PHARMACY#819 D30 DAIRY QUEEN DARE ME BIKINI DENTAL URGENT CARE DIANE'S BIKINIS DING DR SURFBOARD AND BIKE RENTALS DIRTY DOG WASH DUKE'S DWIGHT'S BEACH CONCESSION EL DON LIQUOR EUROPA NAIL STUDIO EXCELL LUXE LAB F H A REVIEW FIRST BANK F45 DOWNTOWN HB FOUR SONS BREWING FRED'S MEXICAN CAFE FREIGHTSAVER.COM GALITZEN PROPERTIES GRUPO GALLEGOS G'S BOATHOUSE H M R ARCHITECTS HANDEL'S HUNTINGTON BEACH HAVENMD HB MAIL BOX INC HEADLINER HEADSPA HB HORN HOLISTIC HEALTH HOT SPOT PIZZA HOWARD FISCHER DVM A PRO CORP HQ GASTROPUB HUNTINGTON BEACH BEER COMPANY HUNTINGTON BEACH EASY RIDER, DANK CLOTHING HUNTINGTON BEACH REALTY HUNTINGTON SURF&SPORT HUNTINGTON SURF AND SPORT HUNTINGTON SURF INN HURRICANES BAR&GRILL IHOP IMAGINCY INDARRA MODERN INDIAN CUISINE INFINITYU INIS THE ENERGY OF THE SEA INNOCEAN WORLDWIDE AMERICAS INNOCEAN WORLDWIDE AMERICAS LLC INVESTMENT BUILDERS LLC IPA 1031 GROUP LLC J &J COASTAL LENDING JACK'S BEACH CONCESSION JACK'S SURFBOARDS JAN'S HEALTH BAR JAX BICYCLE CENTER JAY BIRD'S JOLIE &THE BELLE JPG Inc. dba Oak Leaf Productions KELSEY SHAYE HAIR LLC KILLARNEY'S KITE CONNECTION C/O DAVE SHENKMAN KOAH HEALTH KOKOMOS SURF SIDE KRISTINA B SALON KUO JESSICA LA MOME SPA LeDONNE AESTHETICS LOCAL MOTION INC LONGBOARD RESTAURANT& PUB LUCY'S TAILORING &ALTERATIONS LUNA UNITED M E HELME HOUSE FURNISHING CO MAHKIN THAI &SUSHI MAILBOX STATION MAIN ST BARBERS MAIN ST LIQUOR MARKET MAIN STREET CLEANERS MAIN STREET HAIR COMPANY MAIN STREET OPTICAL& BOUTIQUE MAIN STREET WINE COMPANY MAKIN WAVES SALON MANGIAMO GELATO MERRILEE'S INC MILK AND HONEY HB MISFIT STUDIO MJM CONSTRUCTION MODEL CITIZEN MODERN PARKING INC MONTGOMERY JEWELERS MUSTARD CAFE NEIRA DESIGNS& FIX-IT ETC NESTOR SOLUTIONS LLC NO KA 01 NORTH SHORE POKE CO ODDBYTES LLC ORANGE COUNTY BARBERS PARLOR PACIFIC COAST ARCHITECTS PACIFIC RIM TAX&ACCOUNTING PACIFIC SOTHEBY'S INTERNATIONAL REALTY PALADIN LEGAL DEFENDERS PARKING CONCEPTS INC PERQS NIGHTCLUB &SPORTSBAR PETE'S MEXICAN FOOD PHO BULOUS PHOTO HOUSE INC PIERSIDE COMMISSARY POLY CONSULTING INC PORCELAIN HAIR STUDIO/ PORCELAIN HAIR EXTENSIONS POSITIVE THOUGHT BRAND (CT4) PREMIER CUSTOMS BROKERS INC PRIMECUTTAQUERIA INC PRISTINE MOTORSPORTS PURE BLISS MAIN STREET DAY SPA R M A INTERNATIONAL LANDSCAPE ARCHITECTURE & PLAN RED PERSIMMON NAILS &SPA RENOWNED RECRUITMENT GROUP LLC RINV.10 RIO MEDIA INC RIP CURL SURF CENTER RIPCORD DIGITAL INC ROBERT KOURY PROPERTIES ROBINSON LEE ROCKIN FIG SURF SHOP ROCKY MOUNTAIN CHOCOLATE FACTORY SAIL PROPERTIES INC SAKAL SURFBOARDS SALON RETRO SALON SOLEIL SALT HAIR LOUNGE SALT LIFE LLC SANCHO'S TACOS SANDBAR COCINAYTEQUILA SANDY'S BEACH SHACK SCHELIN ULDRICKS &CO SESSIONS WEST COAST DELI SHABU ON FIRE SHARKEEZ SHOREBREAK HOTEL SMILES CAFE SMKFLWR SMOKERZ LAND 3 SMOKE SHOP SOCK HARBOR SOUTHNORTE BEER CO SPECIALIZED SURFACES SPEEDY CREDIT REPAIR INC STARBUCKS COFFEE COMPANY#575 STEWARDSHIP WEALTH MANAGEMENT SOLUTIONS STILL NOVEL SUGAR CABANA SUGAR SHACK CAFE SUITE INSPIRATION SUNGLASS HUT#F557 SUNWEST REALTY SUR COFFEE SURF CITY CHIROPRACTIC SURF CITY MARKET SURF CITY SEGWAY SURF CITY SKATES SURF CITY STORE SURFLINE SURGICAL REPUBLIC SUSHI ON FIRE SWING SET LLC T K BURGERS T R RANCH SERVICES LLC TAI SOFTWARE TE BAY TARA TERESITA'S MEXICAN RESTAURANT TEXT KEVIN ACCIDENT ATTORNEYS THAI WAVE THE BEAUTOX PLACE THE BLOW DOWN LLC THE CHEMISTRY LOUNGE SALON THE FUNNEL HOUSE THE HOUSE SALON THE IRISHMAN THE MEDSPA THE NEXT LEVEL THE RIA PIZZERIA THE SALTY B THE TRAINING SPOT THE UPS STORE 7820 TITAN'S PHO TOP DOG BARKERY TOP DOG BARKERY BATH & BOUTIQUE TRIPLE NEEDLE TRADING TRU BOWL SUPERFOOD BAR II TWO HANDS CORN DOGS TZO N E WAHOO'S FISH TACO WATERFRONT BEACH CABANA WAVES WBE TRAFFIC CONTROL INC WEAVER CONSULTING GROUP LLC WESTLAND BUSINESS SERVICES INC WINDHORSE WINDOW KING ZACKS PIER PLAZA ZACKS TOO ZEPHYR BARBERSHOP ZERO ZERO PIZZERIA ZIGGYS ON MAIN ZIMBABWE HB GIFTS&ACCESSORIES (CT) ZIMBABWE HB GIFTS&ACCESSORIES (CT) ZIMBABWE HB GIFTS&ACCESSORIES (CT) ASSESSMENT FORMULA 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 EXHIBIT C Resolution No. 2024-42 Exhibit"C" IMPROVEMENTS AND ACTIVITIES The following are recommendations from the Advisory Board on the expenditure of revenues derived from the levy of assessments, estimated to total $117,000 for FY 2024-2025: AMBASSADOR PROGRAM $42,813 ENHANCED MAINTENANCE $20,000 HOLIDAY BEAUTIFICATION $20,000 MARKETING $15,027 COMMUNITY EVENTS $13,000 CRM $4,000 FINANCIAL SERVICES $2,160 Further Information More information regarding the allocation of funds follows on Page 12 through page 13. 2024-2025 ANNUAL REPORT PAGE 11 2024.2025 ACT1V1IES AND IMPROVEMENTS AMBASSADOR PROGRAM The primary purpose of the Ambassador program is to establish a positive rapport and visible presence among business owners, patrons and visitors in Downtown during peak season, holidays and special events. The program's overarching goal is to create an environment whee all visitors can enjoy their time in Downtown Huntington Beach. The ambassadors communicate through Whats App. The Ambassador program, funded by Downtown Huntington Beach Assessments and Visit Huntington Beach, has proven to be a valuable asset to the District. • Regular Patrolling - The Ambassadors patrol the District, maintaining a visible presence and establishing rapport with individuals in the community. • Observation and Reporting - The Ambassadors observe and report any potential safety concerns, disturbances or other incidents in the area. • Collaboration with HBPD - The Ambassadors worked closely with HBPD Downtown to address safety- related matters effectively. • Assistance and Guidance - The Ambassadors provide assistance and guidance to visitors,answering questions, providing directions and offering recommendations for local attractions and services. The Ambassadors' commitment to safety, community engagement, and collaboration with HBPD has made a positive impact the District. ENHANCED MAINTENANCE The Downtown District is a hub for both locals and visitors, especially during peak seasons and major events. Downtown Huntington Beach takes proactive measures to ensure a welcoming atomsphere and to ensure cleanliness. Funds are allocated for additional services during events and peak seasons to cover the difference between the City of Huntington Beach MOU and the current maintenance contract. Providing a positive and memorable experience for all attendees is essential and reinforces the Districts' reputation as a vibrant and welcoming destination. HOLIDAY BEAUTIFICATION The District is transformed during the holiday seasons with the addition of enchanted lighting and snowflakes above Main Street. The true star of the show is the decorated tree on the second block of Main Street which serves as the heart of the holiday magic and drawing the community and visitors together. 2 0 2 4-2 0 2 5 ANNUA L REPORT PAGE 12 2021-2025 ACT1V1IES AND IMPROVEMENTS MARKETING Marketing and Events have been instrumental in promoting and shaping the story of the Downtown District. Our strategic approach to marketing, which includes utilizing various;ommunication channels and organizing community events, has allowed us to engagetakeholders effectively and establish a strong brand identity for Downtown Huntington Beach.Assessment Fees are used for advertising and marketing programs, including website, socialmedia and email outreach. COMMUNITY EVENTS Community Events such as the HB4TH of July Block Party, Surf City Spooktacular, and Magic on Main Street have become highly anticipated annual gatherings. These events have not only increased exposure but have also created memorable experiences, engaged ourcommunity, and enhanced the Downtown Huntington Beach brand. CRM In FY 2022-2023, The Huntington Beach City Council recommended that Downtown Huntington Beach adopt a Customer Relationship Management (CRM) program. The CRM serves as a tool for the organization's stability and longevity which benefits all stakeholders. The benefits of implementing this include: • Data centralization, encompassing contact information, communication history and other pertinent details. This comprehensive view of customer data guarantees up-to-date information enabling the organization to identify and address potential issues proactively before they escalate. • Improved stakeholder relationships are facilitated by a central database that provides a better understanding of their needs and preferences which enables more personalized interactions. Efficient marketing campaigns, empowered by tailored marketing messages that are specifically • targeted at distinct stakeholder groups leads to heightened engagement. Downtown Huntington Beach is leveraging Monday.com for their CRM, a tool they have already been using effectively for project management. FINANCIAL SERVICES Monthly financial services by a third party CPA, bank fees, and QuickBooks have streamlined our financial operations and enhanced transparency. 2 0 2 4-2 0 2 5 ANNUA L REPORT PAGE 13 Res. No. 2024-42 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 1, 2024 by the following vote: AYES: Moser, Bolton, Burns, Van Der Mark, Strickland, McKeon, Kalmick NOES: None ABSENT: None ABSTAIN: None 9'644401 ii2,241-444) City Clerk and ex-officio Clerk of the City Council of the City of Huntington Beach, California