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HomeMy WebLinkAbout19 - Renewal of the CdMBID for Fiscal Year 2015 -2016 and Board Appointments for Fiscal Year 2015-2016CTY OF F NEWPORT BEACH City Council Staff Report May 26, 2015 Agenda Item No. 19 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Dave Kiff, City Manager — (949) 644 -3002, dkiff @newportbeachca.gov PREPARED BY: Mary Locey, Public Information Specialist PHONE: (949) 644 -3031 TITLE: Resolution No. 2015 -41: Renewal of the Corona del Mar Business Improvement District for Fiscal Year 2015 -2016 and Board Appointments for Fiscal Year 2015- 2016 ABSTRACT: The annual renewal of the Corona del Mar Business Improvement District (Corona del Mar BID) requires a public hearing to determine if there is a majority protest against the levied assessments or a specific improvement, activity or benefit proposed by the BID for Fiscal Year 2015 -16. The California Streets and Highways Code Sections 36500 et seq., grants the City Council the authority to appoint an advisory board for Business Improvement Districts formed under the Parking and Business Improvement Area Law of 1989. Following renewal of the BID, the City Council may appoint an advisory board to serve the BID in Fiscal Year 2015 -2016. RECOMMENDATION: a) Hold a public hearing regarding the renewal of the Corona del Mar Business Improvement District; b -1) If protests represent less than 50 percent of the total assessment amount, adopt Resolution No. 2015 -41, A Resolution of the City Council of the City of Newport Beach Confirming the Levying of Assessments for the Fiscal Year of July 1, 2015 to June 30, 2016 for the Corona del Mar Business Improvement District; OR b -2) If protests represent 50 percent or more of the total assessment, abandon the proceedings to renew the Corona del Mar Business Improvement District; OR b -3) If the majority protest is only against the furnishing of a specific type or types of improvements or activity or benefit within the BID, those types of improvements or activities or benefit zones shall be eliminated; and 19 -1 c) Appoint the following to the Corona del Mar Business Improvement District Advisory Board of Directors for Fiscal Year 2015 -2016: Keith Dawson, Dawson & Dawson Hamid Kianipur, 76 Gas Station Scott LaFleur, Sherman Library & Gardens, representing Cafe Jardin Scott Laidlaw, Laidlaw Schultz Architects Shawn Lim, Rose Bakery Caf6 Michelle Peschel, Villa Real Estate Jessica Prause, The Port Theatre Bernie Svalstad, BPS Financial Jim Walker, The Bungalow Restaurant FUNDING REQUIREMENTS: The City of Newport Beach (City) collects the member assessments on behalf of the Corona del Mar BID and remits the monies directly to the BID for funding the activities described in its annual report that was filed with the City Council. In addition to the member assessments collected, it was agreed that the City would provide the Corona del Mar BID with annual funding in the amount of $20,000. City staff also provides accounting and administrative support to the BID. DISCUSSION: The Corona del Mar Business Improvement District (Corona del Mar BID) was formed pursuant to the Parking and Business Improvement Area Law of 1989 (1989 Law), codified in Streets and Highways Code Sections 36500 et seq., for the purpose of financing activities and programs to benefit businesses located and operating in the area. In accordance with the 1989 Law, a public hearing must be held each year prior to the renewal of a BID. If written protests are received from the owners of the businesses within the BID which pay 50 percent or more of the total assessment to be levied, no further proceedings to renew the BID 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 or benefit within the BID, those types of improvements or activities or benefit zones shall be eliminated. If protests represent less than 50 percent of the total assessment, the City Council may renew the BID. The Corona del Mar BID is nearing the end of its FY 2014 -2015 and the Board of Directors has requested renewal of the BID for FY 2015 -2016. Pursuant to the 1989 Law, an annual report must be prepared and a public hearing must be held prior to the BID's renewal. During its May 12, 2015 regular meeting, the City Council approved the Corona del Mar BID Fiscal Year 2014 -2015 Annual Report, adopted a Resolution of Intention to levy and collect assessments for the BID in FY 2015 -2016, and set a public hearing for the BID renewal to take place on May 26, 2015. (Attachment A - Staff report without attachments) A public notice of the Resolution of Intention to levy and collect assessments for the renewal of the Corona del Mar BID and the time and place of the public hearing was published in the Daily Pilot newspaper on May 16, 2015. It was also posted on the City's website ( newportbeachca .gov /publicnotices) and a copy was mailed to each Corona del Mar BID member. As of the time this report was published by the City Clerk, no letters of opposition to the BID's renewal have been received by the City. Any subsequent correspondence, with a tabulation of the protests, will be provided to the City Council at its May 26, 2015 meeting. The City Council has the authority to appoint an advisory board to the BID. The City may limit membership on the advisory board to persons subject to the BID assessment, or a designated representative of a member business. The board that serves the Corona del Mar BID is different and distinct from other City advisory bodies and is not appointed in the same manner. The City relies upon the Streets and Highways Code for BID board appointments rather than Council Policy A -2. The Corona del Mar BID's bylaws allow for nine board members to be appointed. 19 -2 The City Clerk posted a vacancy announcement for the nine seats available on the Corona del Mar BID's Advisory Board of Directors. In addition, a notice of the vacancies was mailed to all BID members. By the April 1 deadline, 12 applications were received and confirmed as being submitted by BID members in good standing and eligible to serve. The Corona del Mar BID Board met on April 23 to review the applications and nominate up to nine applicants for City Council appointment. The nominees for the FY 2015 -2016 Corona del Mar BID Advisory Board of Directors are as follows: Keith Dawson, Dawson & Dawson Hamid Kianipur, 76 Gas Station Scott LaFleur, Sherman Library & Gardens, representing Cafe Jardin Scott Laidlaw. Laidlaw Schultz Architects Shawn Lim, Rose Bakery Cafe Michelle Peschel, Villa Real Estate Jessica Prause, The Port Theatre Bernie Svalstad, BPS Financial Jim Walker, The Bungalow Restaurant If a majority protest does not exist, City staff recommends the adoption of Resolution No. 2015 -41, a Resolution Confirming the Levying of Assessments for the Fiscal Year 2015 -2016 for the Corona del Mar Business Improvement District (Attachment B) and subsequent approval of the proposed Board of Directors. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act ( "CEQA ") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENTS: Description Attachment A - Staff Report from May 12. 2015 (without attachments) Attachment B - Resolution Confirming the Levying of Assessments 19 -3 ATTACHMENT A CITY OF NEWPORT REACH T City Council Staff Report May 12, 2015 Agenda Item No. 5 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Dave Kiff, City Manager — (949) 644 -3002, dkiff @newportbeachca.gov PREPARED BY: Mary Locey, Public Information Specialist PHONE: (949) 644 -3031 TITLE: Resolution of Intention to Renew the Corona del Mar Business Improvement District and Levy Assessments in Fiscal Year 2015 -2016 ABSTRACT: The Corona del Mar Business Improvement District (Corona del Mar BID) Board of Directors has submitted the BID's fiscal year (FY) 2014 -2015 Annual Report for City Council approval and has requested renewal of the BID for FY 2015 -2016. RECOMMENDATION: a) Approve the Corona del Mar Business Improvement District FY 2014 -2015 Annual Report; and b) Adopt Resolution No. 2015 -31, A Resolution of the City Council of the City of Newport Beach Declaring its Intention to Renew the Corona del Mar Business Improvement District and Levy Assessments for the Fiscal Year of July 1, 2015 to June 30, 2016, and Fix the Time and Place of a Public Hearing for May 26. 2015. FUNDING REQUIREMENTS: The City of Newport Beach collects the member assessments on behalf of the Corona del Mar BID and remits the monies back to the BID for funding the activities described in the attached annual report. In addition to the member assessments, in 2013, the City Council agreed to provide $40,000 each year for five years (ending in FY 2017 -18) to support the Corona del Mar BID for marketing and public area improvements. Last year (2014), the Corona del Mar BID board requested additional assistance from the City to fund the necessary consultants that provided BID administration and accounting for an estimated total of $61,000 (this funding would have been in addition to the $40,000 for a total of $101,000 in City funding support). In an effort to help the Corona del Mar BID achieve its goals, it was agreed that the BID accounting (assessment billing, collection, financial reporting) and minimal administrative support would be brought in- house to be performed by City staff. To help offset the cost for providing these in -house services, it was agreed that the City's annual funding would be reduced to $20,000. 19 -4 DISCUSSION: The Corona del Mar Business Improvement District (Corona del Mar BID) was formed pursuant to the Parking and Business Improvement Area Law of 1989 (1989 Law), codified in Streets and Highways Code Sections 36500 et seq., for the purpose of financing activities and programs to benefit businesses located and operating in the area. The Corona del Mar BID territory encompasses the area generally located on East Coast Highway from Hazel Drive to Avocado Avenue in Corona del Mar. (A Boundary Map is attached to the Resolution as Exhibit A.) The Corona del Mar BID is nearing the end of its FY 2014 -2015 and the Board of Directors has requested renewal of the BID for FY 2015 -2016. Pursuant to the 1989 Law, an annual report must be prepared and a public hearing must be held prior to the BID's renewal. The Corona del Mar BID Board of Directors, which serves in an advisory capacity to the City Council, has prepared and submitted the attached annual report (Attachment A) for the Council's review and approval. The report includes a summary of the BID's FY 2014 -2015 accomplishments and revenues as well as its proposed activities and budget for the new fiscal year. The report does not contain recommendations to alter the BID boundaries or the method and basis for levying assessments. BID Budget Issues SSprina 2013 On March 26, 2013, the City Council provided staff direction on the amount of administrative and financial support to provide to the City's BIDS. At that time, the City had four BIDs that were formed under the 1989 Law during the mid to late 1990s. The City had spent several years trying to identify a plan — acceptable to the BID Boards — that would lessen the amount of City staff time and resources dedicated to the BIDs and give the BIDs more autonomy. The proposals considered included disestablishing and reforming the BIDs under the Property and Business Improvement District Law of 1994 (1994 Law) which allows for longer terms and greater independence from the City. Another option for the BIDs was to disestablish to clear the way for the business owners to form merchants associations, completely independent of the City. The Balboa Village BID and the Marine Avenue BID opted to disband and form merchants associations during the summer of 2013. The Newport Beach Restaurant Association BID and Corona del Mar BID decided to maintain their status as BIDs formed under the 1989 Law. The City agreed to fund each of these four entities $40,000 per year for up to five years (through FY 2017 -2018) and an additional $10,000 each, payable directly to Newport Beach and Company (NB &Co.), for the first year only should any of them choose to work with NB &Co. on marketing and branding efforts. Because the Corona del Mar BID chose to remain a BID under the 1989 Law, the City Council and the BID Board further agreed that the BID would assume more responsibility for its own administration. The Corona del Mar BID Board agreed to assume the cost of a BID administration consultant starting in FY 2013 -2014 and the cost of the accounting services consultant starting in FY 2014 -2015. Spring 2014 In March 2014, the Corona del Mar BID board chair met with City staff and relayed his concerns about having the BID cover those costs (approximately $61,000 in FY 2014 -2015) in relation to the Corona del Mar BID's total annual budget of approximately $213,000. He asked if the City would consider paying for these services in the new fiscal year and into the future. At the May 27, 2015 City Council meeting, staff proposed an alternative solution designed to reduce the administrative and accounting costs for both the BID and the City. It was agreed that the City would hire a part-time fiscal clerk, solely responsible for handling the bookkeeping services for the Corona del Mar BID and the Newport Beach Restaurant Association BID and the agreements with the BID administration consultant and the BID accounting consultant would be terminated. 19 -5 In exchange, the BID Board was to assume more administrative responsibility including developing its own meeting agendas, taking the meeting minutes and preparing other memos and /or reports (such as the annual report and budget). In addition, it was agreed that City staff would not routinely attend BID Board meetings and a post- meeting list of requests and follow -up items would be relayed to the City Manager's Office for action. The cost to the City for hiring a part-time fiscal clerk was estimated to be $45,000 per year. Therefore, it was agreed to reduce the City funding for the BID from $40,000 per fiscal year to $20,000 per fiscal year. Shortly after City Council's approval of the plan, the Finance Department offered to share an existing staff member to assist with the BID accounting (coordinating the assessment billing and collection efforts, accounts receivable and payable, and preparing the monthly financial reports). In addition to the BID accounting, additional staff is still responsible for a variety of BID activities including posting meeting agendas and minutes, coordinating consultant contracts and vendor services, IT related support services and general liaison support. From July 2014 through May 1, 2015 approximately 722 staff hours have been expended to both BIDs. Another part of the plan was for the City to facilitate a Board training session (paid for by the City) for the BID Board members to learn more about conducting public meetings, the Brown Act and other applicable laws and City policies. This training was completed in September 2014 and has aided the board members in successfully conducting their meetings with limited staff oversight. In addition, the City also expressed its interest in conducting a BID membership survey. Due to time constraints, a survey was not completed this past fiscal year. The goal is to have a survey developed and sent to all BID members in the next fiscal year. FY 15 Accomplishments The Corona del Mar BID has been hard at work this past fiscal year further refining it Vision 2020 revitalization projects and maintenance programs. The board developed a priority list of projects that are detailed in the attached annual report. A few highlights are noted below: . Gateway Improvement Project — This project has been a top priority for the BID for many years. The project would improve the entrance at MacArthur Boulevard and East Coast Highway with a widened sidewalk, dramatic landscape and the relocation of eight parking spaces. This past fiscal year, the BID contributed $50,000 to the City to cover part of the project's final design services. The BID and many community members are appreciative of the City Council's support proposing that project construction be part of the FY 20155 -16 Capital Improvement Program. . Marguerite Beautification Project — The Corona del Mar BID plans to pay 100% of the Phase I costs for this beautification project in FY 2015 -16 and has budgeted $32,000 toward this goal. Phase I of this beautification project includes community outreach workshops, pavers or similar treatment at the four sidewalk corners of Marguerite Avenue and East Coast Highway and street sign enhancements for the flower named streets where they intersect East Coast Highway. The Corona del Mar BID will continue to work closely with the City on project feasibility, timing and implementation. . Marketing Efforts — The Corona del Mar Chamber of Commerce (Chamber) is under contract with the City to provide marketing services for the Corona del Mar BID; these services are directly funded by the BID. The Chamber oversees the development of advertising campaigns to promote the economic growth of the business district, serves as a coordinator for the BID's holiday d6cor and street light banner program and coordinates the BID's website and member communications. Last year, the Chamber amended it contract to include BID administrative services and it will continue to provide these services next year. The remainder of the FY 2015 -2016 activities listed in the annual report includes the ongoing and regular efforts of the Corona del Mar BID for the general maintenance of the tree well landscaping and street furniture (benches, trash receptacles and bicycle racks) and the community outreach of events and activities that occur within the Corona del Mar BID boundaries. 19 -6 City staff is recommending adoption of Resolution 2015 - _, a Resolution of Intention to renew the Corona del Mar Business Improvement District (Attachment B) and levy assessments in Fiscal Year 2015 - 2016 and setting the public hearing date for renewing the Corona del Mar BID for May 26, 2015. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act ( "CEQA ") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENTS: Description AUa Ghmen4 A A. Rual R..peFt 4 Budeiet AttaAh. ARtQ RASA' ldiAre 19 -7 ATTACHMENT B RESOLUTION NO. 2015- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH CONFIRMING THE LEVYING OF ASSESSMENTS FOR THE FISCAL YEAR OF JULY 1, 2015 TO JUNE 30, 2016 FOR THE CORONA DEL MAR BUSINESS IMPROVEMENT DISTRICT WHEREAS, on May 12, 2015 the Corona del Mar Business Improvement District annual report and budget was filed and approved by the City Council; WHEREAS, on May 12, 2015 the City Council adopted and published a Resolution of Intention (No. 2015 -31) declaring the intention to levy assessments for the Corona del Mar Business Improvement District for fiscal year July 1, 2015 to June 30, 2016; and WHEREAS, a public hearing regarding the renewal of the Corona del Mar Business Improvement District was held on May 26, 2015 without a majority protest. NOW, THEREFORE, the City Council of the City of Newport Beach hereby confirms the levy of assessments as described in the Resolution of Intention, dated May 12, 2015, for the Corona del Mar Business Improvement District for the fiscal year July 1, 2015 to June 30, 2016. 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 26th day of May 2015. ATTEST: Leilani I. Brown, City Clerk Edward D. Selich, Mayor Resolution No. 2015 - Corona del Mar Business Improvement District PUBLIC HEARING NOTICE � 1� RESOLUTION NO. 2015-31 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH DECLARING ITS INTENTION TO RENEW THE CORONA DEL MAR BUSINESS IMPROVEMENT DISTRICT AND LEVY ASSESSMENTS FOR THE FISCAL YEAR OF JULY 1, 2015 TO JUNE 30, 2016, AND FIX THE TIME AND PLACE OF A PUBLIC HEARING. WHEREAS, the Corona del Mar Business Improvement District ("CdM BID") 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 "1989 Law"), which requires an annual report to be filed and approved by the City Council for each fiscal year; and WHEREAS, the Advisory Board, known as the Corona del Mar Business Improvement District Board of Directors, has prepared an Annual Report for the 2014- 2015 fiscal year which is on file in the Office of the City Clerk; and WHEREAS, on May 12, 2015, the CdM BID 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 City Council hereby declares its intention to renew the CdM BID for fiscal year 2015-2016 pursuant to the 1989 Law. Section 2: The City Council hereby declares the intention to levy assessments for the CdM BID for the fiscal year July 1, 2015 to June 30, 2016 pursuant to the 1989 Law. Such benefit assessment shall be as follows: A. Banks and financial institutions that are exempt from City business license regulations shall be assessed Five Hundred Dollars ($500) per year. B. Insurance agencies that are exempt from City business license regulations shall be assessed Two Hundred Fifty Dollars ($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 PUBLIC HEARING NOTICE Resolution No. 2015-31 Page 2of3 2. Nail technicians 3. Real estate agents. D. The assessment for all other businesses within the CdM BID shall be one hundred fifty percent (150%) of the annual business license tax as established pursuant to Chapter 5.08 of the Newport Beach Municipal Code. Section 3: The penalty for delinquent payments shall be equal to that established for delinquent business license fees pursuant to Chapter 5.04 of the Newport Beach Municipal Code, providing that the penalty to be added shall in no event exceed one hundred percent (100%) of the assessment amount due. Section 4: The benefit assessments shall be collected by the City, or its designee, in one annual installment. The assessment for new businesses shall be pro- rated according to the number of full months remaining in the CdM BID's fiscal year. Section 5: The improvements and activities to be funded by the benefit assessments shall include only the following: 1. Marketing, advertising, and public relations 2. Public area improvements and maintenance programs 3. Promotion of public events that are to take place on or in any public places in the area 4. General promotion of retail trade activities 5. Administration. The implementation of these actions is more fully described in the CdM BID Fiscal Year 2014-2015 Annual Report, which is on file with the Office of the City Clerk. Section 6: The location of the CdM BID will remain the same: 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, and incorporated herein by reference. PUBLIC HEARING NOTICE Resolution No. 2015-31 Page 3of3 BE IT FURTHER RESOLVED, that the City Council of the City of Newport Beach shall conduct a public hearing on May 26, 2015 at 7 p.m., or as soon thereafter as this matter may be heard, in the Council Chambers located at 100 Civic Center Drive, Newport Beach, California at which time the Council will hear all interested persons for or against the renewal of the CdM BID, the extent of the CdM BID and the specific types of improvements or activities to be funded by the benefit assessment. During the public hearing, the City Council shall hear and consider all protests against the establishment area, or the furnishing of specified types of improvements or activities within the area. 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 the businesses within the CdM BID which pay fifty percent (50%) or more of the total assessments to be levied, no further proceedings to renew the CdM BID 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 or benefit within the CdM BID, those types of improvements or activities or benefit zones shall be eliminated. Further information regarding the proposed CdM BID renewal may be obtained at the City Manager's Office, 100 Civic Center Drive, Newport Beach, CA 92660; 949-644- 3031. 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 12th day of May, 2015. /s/ Edward D. Selich, Mayor ATTEST: /s/ Leilani I. Brown, City Clerk Attachment: Exhibit A (Boundary Map) NOTICE OF A PUBLIC HEARING RESOLUTION NO. 2015-31 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH DECLARING ITS INTENTION TO RENEW THE CORONA DEL MAR BUSINESS IMPROVEMENT DISTRICT AND LEVY ASSESSMENTS FOR THE FISCAL YEAR OF JULY 1, 2015 TO JUNE 30, 2016, AND FIX THE TIME AND PLACE OF A PUBLIC HEARING. WHEREAS, the Corona del Mar Business Improvement District ("CdM BID") 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 1989 Law"), which requires an annual report to be filed and approved by the .City Council for each fiscal year; and WHEREAS, the Advisory Board, known as the Corona del Mar Business Improvement District Board of Directors, has prepared an Annual Report for the 2014- 2015 fiscal year which is on file in the Office of the City Clerk; and WHEREAS, on May 12, 2015, the CdM BID 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 City Council hereby declares its intention to renew the CdM BID for fiscal year 2015-2016 pursuant to the 1989 Law. Section 2: The City Council hereby declares the intention to levy assessments for the CdM BID for the fiscal year July 1, 2015 to June 30, 2016 pursuant to the 1989 Law. Such benefit assessment shall be as follows: A. Banks and financial institutions that are exempt from City business license regulations shall be assessed l=ive Hundred Dollars ($500) per year. B. Insurance agencies that are exempt from City business license regulations shall be assessed Two Hundred Fifty Dollars ($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 Resolution No. 2015-31 Page 2 of 3 2. Nail technicians 3. Real estate agents. D. The assessment for all other businesses within the CdM BID shall be one hundred fifty percent (150%) of the annual business license tax as established pursuant to Chapter 5.08 of the Newport Beach Municipal Code. Section 3: The penalty for delinquent payments shall be equal to that established for delinquent business license fees pursuant to Chapter 5.04 of the Newport Beach Municipal Code, providing that the penalty to be added shall in no event exceed one hundred percent (100%) of the assessment amount due. Section 4: The benefit assessments shall be collected by the City, or its designee, in one annual installment. The assessment for new businesses shall be pro- rated according to the number of full months remaining in the CdM BID's fiscal year. Section 5: The improvements and activities to be funded by the benefit assessments shall include only the following: 1. Marketing, advertising, and public relations 2. Public area improvements and maintenance programs 3. Promotion of public events that are to take place on or in any public places in the area 4. General promotion of retail trade activities 5. Administration. The implementation of these actions is more fully described in the CdM BID Fiscal Year 2014-2015 Annual Report, which is on file with the Office of the City Clerk. Section 6: The location of the CdM BID will remain the same: 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, and incorporated herein by reference. BE IT FURTHER RESOLVED, that the City Council of the City of Newport Beach shall conduct a public hearing on May 26, 2015 at 7 p.m., or as soon thereafter as this matter may be heard, in the Council Chambers located at 100 Civic Center Drive, Newport Beach, California at which time the Council will hear all interested persons for Resolution No. 2015-31 Page 3 of 3 or against the renewal of the CdM BID, the extent of the CdM BID and the specific types of improvements or activities to be funded by the benefit assessment. During the public hearing, the City Council shall hear and consider all protests against the establishment area, or the furnishing of specified types of improvements or activities within the area. 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 the businesses within the CdM BID which pay fifty percent (50%) or more of the total assessments to be levied, no further proceedings to renew the CdM BID 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 or benefit within the CdM BID, those types of improvements or activities or benefit zones shall be eliminated. Further information regarding the proposed CdM BID renewal may be obtained at the City Manager's Office, 100 Civic Center Drive, Newport Beach, CA 92660; 949-644- 3031. 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 a -7regular m et'ng held on the 12th day of May, 2015. Edward D. Selich" Mayor ATTEST: ,l� Leilani I. Brown City Clerk oy Attachment: Exhibit A (Boundary Map) STATE OF CALIFORNIA } COUNTY OF ORANGE } ss. CITY OF NEWPORT BEACH } I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the whole number of members of the City Council is seven; that the foregoing resolution, being Resolution No. 2015-31 was duly and regularly introduced before and adopted by the City Council of said City at a regular meeting of said Council, duly and regularly held on the 12ffi day of May, 2015, and. that the same was so passed and adopted by the following vote, to wit: AYES: Council Member Peotter, Council Member Petros, Council Member Curry, Council Member Duffield, Council Member Muldoon, Mayor Pro Tem Dixon, Mayor Selich NAYS: None IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of said City this 13th day of May, 2015. kk-p- City Clerk Newport Beach, California Laser/ Inkjet Labels ® Use 3M Template 3100-A Compatible with Avery® 51609'Template Feed Paper 2443 East Coast Highway LLC 4GVerizon Wireless 2443 East Coast Highway LLC 4GVerizon Wireless 2443 Coast Hwy E 8871 Research Dr Corona del Mar, CA 92625 Irvine, CA 92618 800 RoseBig Natural Floral Wholesale 3800 East Coast Hwy Corona Del Mar, Ca. 92625 Acacia Pacific Investments, LLC Acacia Pacific Investments, LLC 2737 E. 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I am a principal clerk of the Newport Harbor News Press Combined With Daily Pilot, which was adjudged a newspaper of general circulation on June 19, 1952, Cases A24831 for the City of Newport Beach, County of Orange, and State of California. Attached to this Affidavit is a true and complete copy as was printed and published on the following date(s): May 16, 2015 I certify (or declare) under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Dated at Chicago, Illinois on this i W day of PA&A , 20 . [signature] 435 N. Michigan Ave. Chicago, IL 60611 3288101- Newport Harbor News Press Combined With Daily Pilot Page 1 of 2