HomeMy WebLinkAbout19 - Balboa Village Business Improvement District�eWOOq, CITY OF NEWPORT BEACH Hearing Date: March 14, 2000
COMMUNITY AND ECONOMIC DEVELOPMENT Agenda Item No.: 19
PLANNING DEPARTMENT Staff Person: Dan Trimble
3300 NEWPORT BOULEVARD 644 -3230
NEWPORT BEACH, CA 92658
(949) 644 -3200; FAX (949) 644 -3250
REPORT TO THE MAYOR AND CITY COUNCIL
SUBJECT: Balboa Village Business Improvement District Renewal,
Annual Report for 2000 -2001 Fiscal Year, and
Adoption of Resolution of Intention to Levy for 2000 -2001 Fiscal Year
SUMMARY: The Balboa Village Business Improvement District was established
April 1, 1995. This report summarizes the District's accomplishments
during the 1999 - 2000 fiscal year, its fifth year of operation, and the
proposed activities and budget for the coming year. The Balboa
Village Business Improvement District Board of Directors, which
serves as the District Advisory Board, requests City Council approval
of the Annual Report and scheduling of the public hearing for March
28, 2000.
SUGGESTED ACTION: 1. Approve the Balboa Village Business Improvement District
2000 -2001 Annual Report; and
2. Adopt Resolution of Intention to Levy and set public
hearing for March 28, 2000.
Background
The Balboa Village Business Improvement District is nearing the end of its fifth year of
operation and requests renewal of the District for the fiscal year April 1, 2000 to March 31, 2001.
The boundaries of the benefits zone remain unchanged: generally located on the Balboa
Peninsula between A Street and Coronado Street, as set forth with greater specificity in the map
attached as Exhibit A. State law requires that an annual report be prepared and a public hearing
be held each year prior to renewal of the District. A summary of accomplishments during the
1999 - 2000 fiscal year and proposed activities for the new fiscal year are provided below.
Fifth Year District Accomplishments
The Balboa Village Business Improvement District has sponsored the following promotions and
activities during the past year:
Purchasing and installing 20 trash containers and six planters on Main Street, the Public
Parking Lot on Balboa Blvd. and Palm Street.
• Providing seasonal decorations and lighting to promote business during the holiday season
• Producing monthly newsletters from the Board of Directors to all members.
• Providing materials free of charge to the public to control pet nuisance.
• Maintaining membership with the Newport Harbor Chamber of Commerce and the Newport
Beach Conference and Visitors Bureau, and participating in a cooperative advertising
program with the Bureau.
• Raising over $1,000 in contributions for the Balboa Theater Restoration.
• Raising over $1,000 for the Newport Elementary School.
• Participating in Balboa Peninsula Parking Study, the Parking Management Study, the design
of the Balboa• and Main Street Intersection, and the Balboa Streetscape Study. The BID was
also actively involved in the ongoing PROP meetings.
Fiscal Year Revenues
During the 1999 - 2000 fiscal year the district collected approximately $9,370 in member
assessments with over $7,600 yet to be collected. It received $14,322 in matching funds from
the City and has spent approximately $19,162 for approved activities. It is anticipated that a
remaining balance of approximately $5,000 will be carried over into the 2000 - 2001 fiscal year.
Proposed Improvements. Activities and Budget
The Priorities and Budget Outline for the 2000 -2001 fiscal year, including specific goals within
each category, has been submitted by the Balboa Village Business Improvement District
Advisory Board as part of the attached Annual Report. The identified priorities for the upcoming
fiscal year are:
1. Marketing and Advertising
50%
• Continue old and develop new annual special events
• Maintain Memberships with Newport Harbor Area Chamber of Commerce and the Newport
Beach Conference & Visitors Bureau
• Print advertising (newspapers, magazines, cooperative advertising)
• Two direct mail pieces to local residents
• Install a kiosk directory system for better merchant visibility
2. Physical Improvements
• New benches
• Continue siting and installing new trash cans as needed
• Continue decorative sidewalk / potted plant program
30%
Balboa Village BID Renewal
March 14, 2000
Page 2
3. Outreach Program
7%
Monthly newsletter
Communicate with merchants, residential associations, and other BIDS and City Council
4. Administration 8%
• Association Insurance
• Accounting (tax returns)
5. Special Projects 5%
• Historic Walk Program
Assessment Collection
The current and proposed benefit assessment is equal to the City's usual annual business license
fee as established pursuant to Chapter 5.08 of the Municipal Code. In most cases the business
license tax is comprised of $106 plus an additional amount for each employee. This rate is
consistent with what has been paid since the beginning of the Balboa Village Business
Improvement District in 1995. Banks and financial institutions that are exempt from City
business license regulations shall be assessed $500 per year. Insurance agencies that are exempt
from City license regulations shall be assessed $250 per year. Persons operating one of the
following businesses as an independent contractor in an establishment owned by another person
shall be exempt from this assessment:
1. Hair stylists
2. Nail technicians
3. Real estate agents
The penalty for delinquent payments will be twenty-five percent per month, provided that the
penalty amount added shall in no event exceed one hundred percent of the assessment amount
due. Assessments would be collected in one installment at the beginning of the fiscal year, and
would be pro -rated for new businesses that open during the year.
The advisory group of the Balboa Village Business Improvement District does not expect to raise
funds in addition to the assessments levied for the upcoming year. Matching funds, if approved
by the City Council for fiscal year 2000 -2001, will be designated for physical improvements.
The attached Annual Report further describes the budget and activities for the upcoming year,
and has been filed with the City Clerk's office as required by State law.
Balboa Village BID Renewal
March 14, 2000
Page 3
Submitted by:
SHARON Z. WOOD
Assistant City Manager
Attachments:
Exhibit A (Boundary Map)
Resolution of Intention 00 -_
Annual Report and Budget by BID Advisory Board
Prepared by:
DANIEL TRIMBLE
Associate Planner
With assistance from:
CLINTON SCOTT PALMER
Inc., BID Administrator
Balboa Village BID Renewal
March 14, 2000
Page 4
RESOLUTION NO.00-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT
BEACH STATING ITS INTENTION TO LEVY ASSESSMENTS FOR THE
BALBOA VILLAGE BUSINESS IMPROVEMENT DISTRICT FOR THE
FISCAL YEAR OF APRIL 1, 2000 TO MARCH 31, 2001 AND FIXING THE
TIME AND PLACE OF A PUBLIC HEARING.
WHEREAS, the Balboa Village Business Improvement District was
established in 1995 pursuant to the Parking and Business Improvement Area Law of
1989, California Streets and Highways Code, Section 36500 et seq., (hereinafter the
"Act "), which requires an annual report to be filed and approved by the City Council for
each fiscal year; and
WHEREAS, the Advisory Board has prepared an Annual Report for the
2000 -2001 fiscal year which is on file in the Office of the City Clerk; and
WHEREAS, on March 14, 2000 the Balboa Village Business
Improvement District annual report was filed and approved by the City Council.
WHEREAS, the Act requires the City Council to declare its intention to
levy and collect assessments within the Business Improvement District for the next fiscal
year.
NOW, THEREFORE, the City Council of the City of Newport Beach
resolves as follows:
Section 1: The City Council hereby approves the renewal of the Balboa
Village Business Improvement District for the 2000 -2001 fiscal year pursuant to the Act.
5
Section 2: The City Council hereby declares the intention to levy
assessments for the Business Improvement District for the fiscal year April 1, 2000 to
March 31, 2001 pursuant to the Act. Such benefit assessment shall be as follows:
A. Banks and financial institutions that are exempt from City business
license regulations shall be assessed $500 per year.
B. Insurance agencies that are exempt from City business license
regulations shall be assessed $250 per year.
C. Persons operating one of the following types of businesses as an
independent contractor in an establishment owned by another person shall be exempt
from this assessment:
1. Hair stylists
2. Nail technicians
3. Real estate agents
D. The assessment for all other businesses within the District shall be 100
percent of the annual business license tax as established pursuant to Chapter 5.08 of the
Municipal Code.
Section 3: The penalty for delinquent payments shall be twenty -five
percent per month, providing that the penalty to be added shall in no event exceed one
hundred percent of the assessment amount due.
Section 4: The benefit assessments shall be collected by the City in one
annual installment, with collections for new businesses in the District on the day of the
issuance of a business license by the City. The assessment for new businesses shall be
pro -rated according to the number of full months remaining in the District's fiscal year.
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s
Section 5: The improvements and activities to be funded by the benefit
assessments shall include only the following:
1. Marketing and advertising
2. Physical improvements
3. Communications and Outreach Program
4. Administration
Section 6: The location of the District will remain the same: generally
located on the Balboa Peninsula between A Street and Coronado Street, as set forth with
greater specificity in the map attached as Exhibit A and incorporated herein.
BE IT FURTHER RESOLVED, that the City Council of the City of
Newport Beach shall conduct a public hearing on March 28, 2000 at 7:00 p.m., or as soon
thereafter as this matter may be heard, in the Council Chambers located at 3300 Newport
Boulevard, Newport Beach, California at which time the Council will hear all interested
persons for or against the renewal of the District, the extent of the District and the
specific types of improvements or activities to be funded by the benefit assessment.
Protests may be made orally or in writing, but if written, shall be filed with the City Clerk
at or before the time fixed for the Hearing and contain sufficient documentation to verify
business ownership and validate the particular protest. If written protests are received by
the owners of businesses within the District which pay fifty percent or more of the total
assessments to be levied, no further proceedings to renew the District shall be taken for a
period of one year from the date of the finding of a majority protest by the City Council.
If the majority protest is only against the furnishing of a specific type or types of
1
improvements or activity or benefit within the District, those types of improvements or
activities or benefit zones shall be eliminated.
Further information regarding the proposed Business Improvement
District renewal may be obtained at the Newport Beach City Hall, 3300 Newport
Boulevard, Newport Beach, California, 92658. Telephone (949) 644 -3225.
The City Clerk shall cause this resolution of intention to be published once
in a newspaper of general circulation in the City at least seven days before the public
hearing.
This resolution shall take effect immediately upon adoption. Passed and
adopted by the City Council of the City of Newport Beach at a regular meeting held on
the day of 2000.
MAYOR
ATTEST:
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ATTACHMENT: Exhibit A (Boundary Map)
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BALBOA VILLAGE BUSINESS IMPROVEMENT DISTRICT
ANNUAL REPORT FOR 2000 -2001 FISCAL YEAR
Overview
This is the annual report for the Balboa Village Business Improvement District, as
required by Section 36533 of the California Streets and Highways Code, for fiscal year
April 1, 2000 to March 31, 2001.
Boundaries
The boundaries of the benefit zone remain the same: generally located on the Balboa
Peninsula between A Street and Coronado Street, as set forth with greater specificity in
the map attached as Exhibit A.
Proposed Activities
The improvements and activities to be provided for the fiscal year include:
1. Marketing, advertising, and promotion of Balboa Village
2. Physical Improvements within Balboa Village
3. Balboa Village BID Member and Community Outreach
4. Balboa Village BID Tax Preparation and Insurance
Proposed Budget
The estimated cost of providing the proposed improvements and activities in this report is
approximately $35,000. The implementation of these actions is more fully described in
the attached Priorities and Budget Outline for the 2000 -2001 fiscal year.
Assessments
Assessments shall be collected in one annual installment at the beginning of the fiscal
year, and shall be pro -rated for new businesses that open during the fiscal year. The
benefit assessment shall be equal to the City's usual annual business license tax as
established pursuant to Chapter 5.08 of the Municipal Code. The penalty for delinquent
payments will be twenty -five percent per month, providing that the penalty amount added
shall in no event exceed one hundred percent of the assessment amount due. Banks and
financial institutions that are exempt from City business license regulations shall be
assessed $500 per year. Insurance agencies that are exempt from City business license
regulations shall be assessed $250 per year. Persons operating one of the following types
of businesses as an independent contractor in an establishment owned by another person
shall be exempt from this assessment:
1. Hair stylists
2. Nail technicians
3. Real estate agents
16
Account Status
The District's current account balance is approximately $5,000 at the end of the first ten
months of the fiscal year. It is anticipated the balance will be approximately $4,000 at the
fiscal year end, March 31, 2001. Matching funds, if approved by the City Council for
fiscal year 2000 -2001, will be added to the amount designated for physical
improvements.
The advisory board of the Balboa Village Business Improvement District may
raise additional funds through various events and fund- raisers in addition to the
assessments levied. At this time they do not anticipate additional funds for the 2000-
2001 fiscal year budget.
Prior Year Accomplishments
The merchants of Balboa Village have found their fifth year as a Business
Improvement District to be very successful and have achieved several accomplishments
including:
* Purchasing and locating upgraded trash cans on Main Street, the Public Parking
Lot on Balboa Blvd. and throughout the district to improve the visual appearance.
* Providing seasonal decorations and lighting to promote business during the
holiday season.
* Producing monthly newsletters from the Board of Directors to all members.
* Maintaining membership with the Newport Harbor Chamber of Commerce and
the Newport Beach Conference and Visitors Bureau, and participating in a cooperative
advertising program with the Bureau.
* Raising over $1,000 in contributions for the Balboa Theater Restoration.
*Raising over $1,000 for the Newport Elementary School.
* Paid for insurance coverage for the association as well as preparation of the
federal tax return.
* Participating in Balboa Peninsula Parking Study, the Parking Management
Study, the design of the Balboa and Main Street Intersection, and the Balboa Streetscape
Study. The BID was also actively involved in the ongoing PROP meetings.
The merchants of Balboa have worked hard to promote their village and wish to express
their appreciation for the City Council's continued support of the Balboa Village Business
Improvement District.
Balboa Village
Business Improvement District
Priorities and Budget Outline
April 1, 2000 - March 31, 2001
Funds Available FY End 2000 $ 5,000
Funds to be Collected April 2000 $16,390
Matching Funds from City (subject to City Council approval $14,300
Total Anticipated Funds $35,690
Marketing & Advertising 50%
1.Maintain memberships with NHA CofCNB CVB
2.Print advertising
3. Kiosk
4. Direct -mail
5. Special events
Physical Improvements
1. Trash cans, Planters and Benches
30%
Outreach Programs 7%
1. Monthly newsletter
2. Meeting notices
3. Maintain the open communication with the residents, the BIDS and City
Council
Administration 8%
1. Insurance
2. Accounting
3. Other
Special Projects 5%
1. Historic walk program
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