HomeMy WebLinkAbout03 - Corona del Mar Business Improvement DistrictCITY OF NEWPORT BEACH
�dpoR @ COMMUNITY AND ECONOMIC Hearing Date: July 25, 2000
0. r DEVELOPMENT
PLANNING DEPARTMENT Agenda Item No.: 3
c9a * 3300 NEWPORT BOULEVARD Staff Person: Daniel R. Trimble
uc °aN NEWPORT BEACH, CA 92658 (949) 644 -3230
(949) 644 -3200; FAX (949) 644 -3250
REPORT TO THE MAYOR AND CITY COUNCIL
SUBJECT: Corona del Mar Business Improvement District Renewal,
Annual Report for 1999 -2000 Fiscal Year, and Adoption of
Resolution of Intention to Levy for 2000 -2001 Fiscal Year.
SUMMARY: The Corona del Mar Business Improvement District was established
September 1, 1996. This report summarizes the District's
accomplishments during the 1999 -2000 fiscal year, its fourth year of
operation, and the proposed activities and budget for the coming
year. The Corona del Mar 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 August 22, 2000.
SUGGETED ACTION:
2.
Background
Approve Corona del Mar Business Improvement District
1999 -2000 Annual Report; and
Adopt the Resolution of Intention to Levy for 2000 -2001
Fiscal Year and set the public hearing for August 22, 2000.
The Corona del Mar Business Improvement District is nearing the end of its fourth year of
operation and requests renewal of the District for the fiscal year September 1, 2000 to August 31,
2001. The boundaries of the benefits zone remain unchanged: generally located on East Coast
Highway from Hazel Drive to Avocado Avenue 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.
Fourth Year District Accomplishments
The Corona del Mar Business Improvement District has sponsored the following promotions,
physical improvements, and activities during the past year:
• Replacement of cracking and decomposing green asphaltic medians with bomanite paving in
the western area of the BID.
• Engineering to replace the painted medians with new raised bomanite medians.
• New lighting, irrigation and quarterly maintenance of decorative bedding at the Marguerite
and Coast Highway intersection.
• Completed Phases 1 & 2 of the Corona del Mar Reforestation Program, including irrigating
and planting 100 King Palm and Hong Kong Orchid trees.
• Initiated efforts to dedicate East Coast Highway to the City of Newport Beach from CalTrans,
therefore paving the way for installation of an Area Plan.
• Began preparation of a Specific Area Plan (Vision 2004) to promote increased pedestrian
access to the village and to increase the "quality of experience" for local residents and
visitors alike. This plan will incorporate elements from the Village Deign Charette from the
previous fiscal year
• Steam cleaned the sidewalks in the District for the first time in 40 years.
• Removed 2/3 of unlicensed newsracks in the District, reducing visual blight.
• Prepared 3rd phase of reforestation plan — calling for an additional 140 trees (King Palms and
Hong Kong Orchids), of which 100 are to be installed this year.
• Hosted an Open House for all Corona del Mar BID members to present the Vision 2004
plans.
• Mailed quarterly newsletters from the Advisory Board to all members.
• Supported the Corona del Mar Chamber of Commerce with the Annual Christmas Walk
• Participated with the Corona del Mar Chamber of Commerce and the Newport Beach
Conference and Visitor's Bureau to bring visitors to Corona del Mar.
Fiscal Year District Revenues
During the 1999 - 2000 fiscal year the district collected approximately $62,900 in member
assessments with over $8,000 yet to be collected. It received $49,100 in matching funds from the
City and has spent approximately $93,524 for approved activities. It is anticipated that a
remaining balance of approximately $99,000 or less will be carried over into the 2000 - 2001
fiscal year. It is anticipated that this amount will be further reduced as additional promotions and
landscaping projects are implemented over the next two years.
Proposed Improvements, Activities and Budget
The Priorities and Budget Outline for the 2000 -2001 fiscal year, including specific goals within
each of the categories, has been submitted by the Corona del Mar Business Improvement District
Advisory Board as part of the attached Annual Report.
Page 2
The highest priorities for the upcoming fiscal year are:
1. Vision 2004
• Represent area business interests in governmental affairs
• Develop a Specific Area Plan for the Corona del Mar Business Improvement District
• Work with the City of Newport Beach in implementing the improvements called forth by the
Specific Area Plan
2. Physical Improvements
• Implement third phase of the reforestation program, site and plant 100 more trees along Coast
Highway
• Engineer and build new medians in place of painted medians
• Install and maintain decorative / informative banner program
• Evaluate and install when appropriate new landscaping, site furniture, trash cans, bike racks,
etc.
3. Communications / Special Events
• Maintain Memberships with Newport Chamber and Newport Conference & Visitors Bureau
• Continue old and develop new annual special events in conjunction with the Corona del Mar
Chamber
• Quarterly newsletter
• Communicate with merchants, residential associations, and other BIDS and City Council
4. Maintenance
• Maintain lighting and seasonal color for Marguerite /Coast Highway intersection
• Maintain backflow devices as needed for tree irrigation
• Maintain sidewalks and benches as needed
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 $110 plus an additional amount for each employee. This rate is
consistent with what has been paid since the beginning of the Corona del Mar Business
Improvement District in 1996. 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
Page 3
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 Corona del Mar Business Improvement District does not expect to
raise funds in addition to the assessments levied for the upcoming year. Matching funds have
been approved by the City Council for fiscal year. 2000 -2001, with the additional funds added to
the amount designated for marketing activities and 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.
Submitted by:
SHARON Z. WOOD
Assistant City Manager
Prepared by:
DANIEL R. TRIMBLE
Associate Planner
With assistance from:
CLINTON SCOTT PALMER
Cathimarie's Inc., BID Administration
Attachments: 1999 -2000 Annual Report
Resolution of Intention to Levy 2000 -.
Exhibit A - Boundary Map
Page 4
REPORT TO THE MAYOR AND CITY COUNCIL
CORONA DEL MAR BUSINESS IMPROVEMENT DISTRICT
ANNUAL REPORT FOR 1999 -2000 FISCAL YEAR
Overview
This is the annual report for the Corona del Mar Business Improvement District, as required by
Section 36533 of the California Streets and Highways Code, for fiscal year September 1, 1999 to
August 31, 2000.
Boundaries
The boundaries of the benefits zone remain unchanged: generally located on East Coast Highway
from Hazel Drive to Avocado Avenue 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. Development and Implementation of a Specific Area Plan
2. Physical Improvements within Corona del Mar
3. Corona del Mar BID Member and Community Outreach
4. Maintenance of Existing Corona del Mar BID Improvements
Proposed Budget
The estimated cost of providing the proposed improvements and activities in this report is
approximately $140,000. 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
Account Status
The District's current account balance is approximately $99,000 at the end of the first ten months
of the fiscal year. It is anticipated the balance will be approximately $107,000 or less at the fiscal
year end, August 31, 2001. Matching funds, have been approved by the City Council for fiscal
year 2000 -2001, will be added to the amount designated for marketing activities and physical
improvements. 5
The advisory board of the Corona del Mar 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 Corona del Mar have found their fourth year as a Business Improvement
District to be very successful and have achieved several accomplishments including:
• Replacement of cracking and decomposing green asphaltic medians with bomanite paving in
the western area of the BID.
• Engineering to replace the painted medians with new raised bomanite medians.
• New lighting, irrigation and quarterly maintenance of decorative bedding at the Marguerite
and Coast Highway intersection.
• Completed Phases 1 & 2 of the Corona del Mar Reforestation Program, including irrigating
and planting 100 King Palm and Hong Kong Orchid trees.
• Initiated efforts to dedicate East Coast Highway to the City of Newport Beach from CalTrans,
therefore paving the way for installation of an Area Plan.
• Began preparation of a Specific Area Plan (Vision 2004) to promote increased pedestrian
access to the village and to increase the "quality of experience" for local residents and
visitors alike. This plan will incorporate elements from the Village Deign Charette from the
previous fiscal year
• Steam cleaned the sidewalks in the District for the first time in 40 years.
• Removed 2/3 of unlicensed newsracks in the District, reducing visual blight.
• Prepared 3rd phase of reforestation plan — calling for an additional 140 trees (King Palms and
Hong Kong Orchids), of which 100 are to be installed this year.
• Hosted an Open House for all Corona del Mar BID members to present the Vision 2004 plans
• Mailed quarterly newsletters from the Advisory Board to all members.
• Supported the Corona del Mar Chamber of Commerce with the Annual Christmas Walk
• Participated with the Corona del Mar Chamber of Commerce and the Newport Beach
Conference and Visitor's Bureau to bring visitors to Corona del Mar.
The merchants of Corona del Mar have worked hard to promote their village and wish to express
their appreciation for the City Council's continued support of the Corona del Mar Business
Improvement District, especially the $50,000 allocated in this years budget for additional
trees/landscaping in Corona del Mar.
Page Y
Corona del Mar
Business Improvement District
Priorities and Budget Outline
September 1, 2000 - August 31, 2001
Funds Available FY End 2000
Funds to be Collected September 2000
Anticipated Matching Funds from City
Total Available Funds
Priorities
1. Vision 2004
Percent of Budget
►TIVA
Represent area business interests in governmental affairs
$99,000
$80,000
$49,900
$228,900
Budget Amount
$45,780
Develop a Specific Area Plan for the Corona del Mar Business Improvement District
Work with the City of Newport Beach in implementing the improvements called forth by
the Specific Area Plan
2. Physical Improvements
.I',
$137,340
• Implement third phase of the reforestation program, site and plant 100 more trees along
Coast Highway
• Engineer and build new medians in place of painted medians
• Install and maintain decorative /informative banner program
• Evaluate and install when appropriate new landscaping, site furniture, trash cans, bike
racks, etc.
3. Communications / Special Events 10%
$22,890
• Maintain Memberships with Newport Chamber and Newport Conference & Visitors
Bureau
• Continue old and develop new annual special events in conjunction with the Corona del
Mar Chamber
• Quarterly newsletter
• Communicate with merchants, residential associations, and other BIDS and City Council
4. Maintenance
10%
$22,890
• Maintain lighting and seasonal color for Marguerite /Coast Highway intersection
• Maintain backflow devices as needed for tree irrigation
• Maintain sidewalks and benches as needed
Page,Y I
RESOLUTION NO. 2000-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT
BEACH STATING ITS INTENTION TO LEVY ASSESSMENTS FOR THE
CORONA DEL MAR BUSINESS IMPROVEMENT DISCTRICT FOR THE
FISCAL YEAR SEPTEMBER 1, 2000 TO AUGUST 31, 2001.
WHEREAS, the Corona del Mar Business Improvement District was
established in 1997 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, on September 1, 1996 the City Council approved the
establishment of the Corona del Mar Business Improvement District; and
WHEREAS, on July 25, 2000 the Corona del Mar Business Improvement
District 1999 -2000 Annual Report was filed and approved by the City Council.
NOW, THEREFORE, the City Council of the City of Newport Beach
resolves as follows:
Section 1: The location of the District will remain the same: generally
properties along East Coast Highway from Hazel Drive to Avocado Avenue, as set forth
with greater specificity in the map attached as Exhibit A and incorporated herein.
Section 2: The City Council hereby declares the intention to levy
assessments for the Business Improvement District for the fiscal year 2000 -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 150
percent of the annual business license tax as established pursuant to Chapter 5.08 of the
Municipal Code.
Section 3: The benefit assessments shall be collected by the City or an
assigned contractor in one annual installment. Assessments will be levied on the date the
annual District renewal becomes effective, and 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.
Section 4: The penalty for delinquent payments shall be twenty -five
percent of the assessment amount per month, providing that the penalty to be added shall
in no event exceed one hundred percent of the assessment amount due.
Section 5: The improvements and activities to be funded by the benefit
assessments shall include only the following:
Physical improvements, Maintenance, Marketing and promotions, Special events,
Representation of area business interests in governmental affairs, and Member
business communications.
Resolution No. 2000
Corona del Mar Business Improvement District
Page 21
BE IT FURTHER RESOLVED, that the City Council of the City of
Newport Beach shall conduct a public hearing on August 22, 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
improvements or activity within the District, those types of improvements or activities
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.
Resolution No. 2000 -_
Corona del Mar Business Improvement District
Pag
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:
CITY CLERK
ATTACHMENT: Exhibit A - Boundary Map
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Resolution No. 2000 -
Corona del Mar Business Improvement District /
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