HomeMy WebLinkAbout21 - Marine Avenue BIDCITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item No. 21
June 24, 2008
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Community & Economic Development, Planning Department
Kathlyn Bowden, AICP, Economic Development Coordinator
kbowden aacity.newi)ort- beach.ca.us
SUBJECT: Marine Avenue Business Improvement District Renewal: Conduct
Public Hearing and Adopt Resolution for Renewal of the Business
Improvement District for Fiscal year 2008 — 2009.
ISSUE:
Annual renewal of the Marine Avenue Business Improvement District.
RECOMMENDATION:
1. Conduct the Public Hearing regarding the renewal of the Marine Avenue Business
Improvement District; and
2. Adopt Resolution for the renewal of the Marine Avenue Business Improvement
District confirming the levy of the BID assessment for the 2008 -2009 fiscal year, unless
during the Public Hearing the Council receives protests representing 50 percent or more
of the total assessment amount.
DISCUSSION:
Background:
On June 10, 2008, City Council approved the Marine Avenue Business Improvement
District Fiscal Year 2007 - 2008 Annual Report, and adopted a Resolution of Intention to
levy and collect assessments for the District for the Fiscal Year of July 1, 2008 to June 30,
2009. Details regarding the proposed renewal of the District and annual report are
provided in the attached June 10, 2008 staff report.
A protest hearing must be held each year prior to renewal of a Business Improvement
District. If protests are received from business owners representing 50 percent or more of
the total assessment amount, the proceedings to renew the District must be discontinued
Marine Avenue BID Renewal Hearing
June 24, 2008
Page 2
for at least one year. If protests represent less than 50 percent of the total assessment,
the City Council may renew the District.
At the time this report was prepared, no letters of opposition to the District had been
received. Staff will provide an oral update on any subsequent correspondence and a
tabulation of protests at the City Council meeting.
Fiscal Year District Revenues:
During 2007 — 2008, the District collected approximately $11,600 in member assessments
with $4,000 in additional funds remaining to be collected. Its account balance at the
beginning of the year was $512. The BID received $8,813.00 in funds from the City.
The BID has spent approximately $10,308.00 for approved activities, and anticipates
spending an additional $4,000.00 by fiscal
balance of approximately $6,300.00 will be
budget.
Proposed Activities and Budqet:
year end. It is anticipated that a remaining
carried over into the 2008 - 2009 fiscal year
The activities proposed for the next year include marketing, advertising, public relations,
and public improvements and maintenance to benefit Marine Avenue businesses. The
estimated budget for these activities is approximately $27,050.
PUBLIC NOTICE:
Public notice of the protest hearing and the Resolution of Intention to levy and collect
assessments for the renewal of the Marine Avenue Business Improvement District has
been published in the Daily Pilot in compliance with state law.
Prepared by:
Submitted by:
j,ATHLYN B EN SHARON Z. W OD
/Economic Developme t Coordinator t Assistant City Manager
With Assistance from:
CLINTON SCOTT PALMER
B.I.D. Systems, Inc., BID Administration
Attachments: Resolution of Confirmation 2008 -
June 10, 2008 Staff Report (recycled)
2--
ATTACHMENT A
RESOLUTION NO. 2008-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT
BEACH CONFIRMING THE LEVYING OF ASSESSMENTS FOR THE
FISCAL YEAR OF JULY 1, 2008 TO JUNE 30, 2009 FOR THE MARINE
AVENUE BUSINESS IMPROVEMENT DISTRICT.
WHEREAS, on June 10, 2008 the MARINE AVENUE Business
Improvement District annual report was filed and approved by the City Council;
and
WHEREAS, on June 10, 2008 the City Council adopted and ordered to be
published a Resolution of Intention declaring the intention to levy assessments
for the MARINE AVENUE Business Improvement District for the fiscal year July
1, 2008 to June 30, 2009; and
WHEREAS, a public hearing regarding the renewal of the MARINE
AVENUE Business Improvement District was held on June 24, 2008 without a
protest of majority of the assessment.
NOW, THEREFORE, the City Council of the City of Newport Beach
hereby renews the MARINE AVENUE Business Improvement District for the
fiscal year July 1, 2008 to June 30, 2009, and confirms the levy of assessments
as described in the Resolution of Intention dated June 10, 2008 and published
June 14, 2008.
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 24`" day of June, 2008.
MAYOR
ATTEST:
CITY CLERK
"
ji la4 .ij'J:.
CITY OF NEWPORT BEACH�(>
CITY COUNCIL STAFF REPORT
Agenda Item No. 7
June 10, 2008
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Community & Economic Development, Planning Department
Kathlyn Bowden, AICP, Economic Development Coordinator
kbowden(cacity.newport- beach.ca.us
SUBJECT: Marine Avenue Business Improvement District Renewal: Annual
Report for Fiscal Year 2007 - 2008, and Adoption of Resolution of
Intention to Levy for the Fiscal Year 2008 -2009.
ISSUE:
Should the City Council renew the Marine Avenue Business Improvement District
for its 13th year of operation, for the BID's fiscal year of July 1 't, 2008 to June 30"',
2009?
RECOMW- NDATION:
1. Approve the Marine Avenue Business Improvement District Year 2007 - 2008
Annual Report; and
2. Adopt the Resolution of Intention to Levy Assessments and set the public
hearing for June 24, 2008.
DMAJ 1,ON:
Background:
The Marine Avenue Business Improvement District (BID) is nearing the end of its
twelfth year of operation and requests renewal of the District for the fiscal year
July 1, 2008 to June 30, 2009. The Marine Avenue BID was established January 1,
1996. This report summarizes the District's accomplishments during the fiscal
year 2007 - 2008, its twelfth year of operation, and the proposed activities and
budget for the coming year. The BID's Board of Directors, which serves as the
District Advisory Board, requests City Council approval of the annual report and
Marine Avenue BID Renewal Hearing
June 10, 2008
Page 2
scheduling of the public hearing for June 24, 2008. The District includes the 200
and 300 blocks of Marine Avenue as set forth with greater specificity in the map
attached as Exhibit A. California 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 2007 -2008 and proposed activities for the
fiscal year 2008 - 2009 are provided below. The District's 2008 - 2009 activities are
proposed to remain the same as in the fiscal year 2007 - 2008.
Twelfth Year District Accomplishments:
The Marine Avenue Business Improvement District has sponsored the following
promotions and activities during the past year:
• Placement of advertisements in several tourist related publications.
• Implementation and improvement of a BID sponsored website,
www.balboa-island.net.
• Christmas decorations and lighting to enhance holiday shopping along
Marine Avenue.
• Participation with the Anaheim /Orange County Visitors and Conference
Bureau to more widely encourage county -wide tourists to visit Balboa
Island
• Participation with the Newport Beach Conference and Visitors Bureau,
particularly in the installation of a directory at the ferry landing directing
people to Marine Avenue.
• Preparation and display of Balboa Island flag campaign in conjunction
with the Balboa Island Improvement District.
• Moved to secure insurance coverage for the association.
Fiscal Year District Revenues:
During 2007 — 2008, the District collected approximately $11,600 in member
assessments with $4,000 in additional funds remaining to be collected. Its account
balance at the beginning of the year was $512. The BID received $8,813.00 in
funds from the City. The BID has spent approximately $10,308.00 for approved
activities, and anticipates spending an additional $4,000.00 by fiscal year end. It
is anticipated that a remaining balance of approximately $6,300.00 will be carried
over into the 2008 - 2009 fiscal year budget.
Proposed Activities and Budget:
The activities proposed for the next year include marketing, advertising, public
relations, and public improvements and maintenance to benefit Marine Avenue
businesses. The estimated budget for these activities is approximately $27,050.
Marine Avenue BID
FUNDING AVAILABILITY:
Renewal Hearing
June 10, 2008
Page 3
Business Improvement District matching funds are included in City Budget
Account No. 2720 -8250.
Prepared by:
Submitted by:
r
KATHLYN BOWDEN SHARON-Z. WO
Economic Development Coordinator Assistant City MaAager
With Assistance from:
CLINTON SCOTT PALMER
B.I.D. Systems, Inc., BID Administration
Attachments: Exhibit A — BID Boundary Map
Exhibit B — FY 07 -08 Annual Report and FY 08 -09 Priorities & Budget
Exhibit C — Resolution of Intention to Levy 2008 -
8
EXHIBIT B
MARINE AVENUE BUSINESS IMPROVEMENT DISTRICT
FISCAL YEAR 2007 - 2008 ANNUAL REPORT
This is the annual report for the twelfth year of the Marine Avenue Business
Improvement District, as required by Section 36533 of the California Streets and
Highways Code. This report covers the District's accomplishments for the fiscal year
(July 1, 2007 to June 30, 2008) and the proposed activities and budget for the 2008 —
2009 fiscal year.
2007 — 2008 Accomplishments
Among the Marine Avenue Business Improvement District (BID) accomplishments
during 2007 — 2008 are the following:
1. Placement of advertisements in several tourist related publications.
2. Implementation and Improvement of a BID sponsored website, www.balboa- island.net
3. Christmas decorations and lighting to enhance holiday shopping along Marine Avenue.
4. Participation with the Anaheim /Orange County Visitors and Conference Bureau to more
widely encourage county -wide tourists to visit Balboa Island
5. Participation with the Newport Beach Conference and Visitors Bureau, particularly in
the installation of a directory at the ferry landing directing people to Marine Avenue.
6. Preparation and display of Balboa Island flag campaign in conjunction with the
Balboa Island Improvement District.
7. Moved to secure insurance coverage for the association.
Fiscal Year District Revenues
During 2007 — 2008, the BID collected approximately $11,600 in member assessments with
$4,000 in additional funds remaining to be collected. Its account balance at the beginning
of the year was $512. The BID received $8,813 in funds from the City. The BID has
spent approximately $10,308 for approved activities, and anticipates spending an
additional $4,000 by fiscal year end. It is anticipated that a remaining balance of
approximately $6,300 will be carried over into the 2008 - 2009 fiscal year budget.
Renewal of District
S
The boundaries of the benefit zone will remain the same as fiscal year 2007 - 2008 as set
forth with greater specificity in the map attached as Exhibit A and incorporated herein.
The benefit assessments will be collected by the City in one installment. The benefit
assessment shall be equal to one hundred percent (100 %) of the City's annual business
license fee as established pursuant to Chapter 5.08 of the Municipal Code if the business
is located in a downstairs space; if upstairs, a flat $25.00 fee will be assessed. The
penalty for delinquent payments shall be equal to that established for delinquent business
license fees pursuant to Chapter 5.08 of the Municipal Code, providing that the penalty
amount added shall in no event exceed one hundred percent of the assessment amount
due. Individuals with more than one business entity within the assessment boundaries
shall only be required to pay the District assessment for the largest business, shall be
exempt from assessments on additional businesses within the District, and shall continue
to pay required business license fees in accordance with Chapter 5.08 of the Municipal
Code. 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. Assessments shall be
collected in one annual installment at the beginning of the fiscal year, and be pro -rated for
new businesses that open during the fiscal year.
Proposed Improvements, Activities and Budget
The BID Advisory Board as part of the attached Annual Report submits the 2008 -2009
Priorities and Budget Outline, including specific goals for each category. The highest
priorities for the upcoming fiscal year are:
1. Marketing, advertising and public relations.
2. Promotion of public events that are to take place on or in any public places in area.
3. Decoration of any public place in the area.
4. Public area improvements and maintenance activities.
5. The general promotion of retail trade activities.
The estimated cost of providing the proposed improvements and the activities described
in this report are approximately $27,050. The implementation of these actions is more
fully described in the attached Priorities and Budget Outline for the 2008 — 2009 fiscal
year. The merchants of Marine Avenue appreciate the efforts of the City Council and
your continued support of Balboa Island.
2 /
Marine Avenue
Business Improvement District
Priorities and Budget Outline
. July 1, 2008 — June 30, 2009
Funds Available FISCAL FY End 2007 $ 6,300
Funds to be Collected July 2008 .$13,100
Anticipated Matching Funds from City $ 8,000
Total Available Funds $ 27,400
Priorities Percent of Budget Amount
1. Marketing 72% $19,800
• Continue to develop and market website
• Place advertising in tourist related publications
2. Memberships 5% $1,300
• Newport Beach Visitor and Convention Bureau
3. Administration 8% $2,116
• Mailing and Postage Costs
4. Flag Program 11% $3,000
5. Seasonal Decor 4% $1,200
3
EXHIBIT C
RESOLUTION NO. 08-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT
BEACH DECLARING ITS INTENTION TO LEVY ASSESSMENTS FOR THE
MARINE AVENUE BUSINESS IMPROVEMENT DISTRICT FOR THE
FISCAL YEAR OF JULY 1, 2008 TO JUNE 30, 2009, AND FIXING THE
TIME AND PLACE OF A PUBLIC HEARING.
WHEREAS, the Marine Avenue Business Improvement District was
established in 1996 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
Fiscal Year 2007 - 2008 which is on file in the Office of the City Clerk; and
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 Annual Report filed by the Advisory Board is
hereby approved. The Annual Report contains a description of improvements
and activities to be provided for 2008 - 2009, the area boundaries, and the
annual assessment within the District.
Section 2: The City Council hereby declares it intention to renew
the Business Improvement District for the fiscal year July 1, 2008 to June 30,
2009 pursuant to the Act.
NO
Section 3: The location of the District will remain the same:
generally the 200 and 300 blocks of Marine Avenue as set forth with greater
specificity in the map attached as Exhibit A and incorporated herein.
Section 4: The City Council intends to levy and impose and order
the collection of a benefit assessment upon persons. conducting business in the
District. 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 benefit assessment shall be equal to one hundred
percent (100 %) of the City s annual business license fee as established pursuant
to Chapter 5.08 of the Municipal Code if the business is located in a downstairs
space; if upstairs, a flat $25.00 will be assessed.
Section 5: The benefit assessments shall be collected by the City
in one 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.
Section 6: 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 7. An owner of more than one business within the District
shall only be required to pay the assessment for the largest business, and shall
be exempt from assessments on additional businesses within the District.
Resolution No. 08 -_
Marine Avenue Business Improvement District
Section 8: The improvements and activities to be funded by the
benefit assessments shall include only the following:
1. Marketing, advertising and public relations;
2. Brochure development and distribution;
3. Promotion of public events that are to take place on or in any
public places in the area;
4. Decoration of any public place in the area;
5. Public area improvements and maintenance activities;
6. The general promotion of retail trade activities.
BE IT FURTHER RESOLVED, that the City Council of the City of Newport
Beach shall conduct a public hearing on June 24, 2008 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 establishment 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 that 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.
Resolution No. 08-
Marine Avenue Business Improvement District
/v
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
and thereon held on the day of
MAYOR
ATTEST:
CITY CLERK
ATTACHMENT: Exhibit A - Boundary Map
OM
Resolution No. 08--
Marine Avenue Business Improvement District
Authorized to Publish Advertisements of all kinds including public notices by
Decree of the Superior Court of Orange County, California. Number A -6214,
September 29, 1961, and A -24831 June 11, 1963.
PROOF OF PUBLICATION
STATE OF CALIFORNIA)
) ss.
COUNTY OF ORANGE )
I am a Citizen of the United States and a
resident of the County aforesaid; I am
over the age of eighteen years, and not a
party to or interested in the below entitled
matter. I am a principal clerk of the
NEWPORT BEACH - COSTA MESA
DAILY PILOT, a newspaper of general
circulation, printed and published in the
City of Costa Mesa, County of Orange,
State of California, and that attached
Notice is a true and complete copy as
was printed and published on the
following dates:
June 14, 2008
I declare, under penalty of perjury, that
the foregoing is true and correct.
Executed on June 16, 2008 at
Costa Mesa, California.
Signature
a,
a1
—�" -- --
A RESOLUTION Of THE CITY COUNCIL esowfaNxo, �7
OF THE CITY OF NEWPORT BEACH
DECLARING ITS INTENTION TO LEVL ASSESSMENTS FOR THE MARINE
AVENUE BUSINESS IMPROVEMENT DISTRICT FOR THE FISCAL YEAR OF
OF A PUBLLIC IC H EARING. '
JULY 1, TRI JUNE 30, 5000, AND FIXING THE TIME AND PLACE
H
WHEREAS, the Marine Avenue Business Improvement District was
established in 1996 pursuant to the Parking and Business Improvement
Area Law of 1989, California Streets and Highways Code, Section 36500
at 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
Fiscal Year 2007 - 2008 which is on file in the Office of the City Clerk; and
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:
SOC"ce, 1: The Annual Report filed by the Advisory Board is hereby
approved. The Annual Report contains a description of improvements and
activities to be provided for 2008 - 2009, the area boundaries, and the
annual assessment within the District.
Business Improvement District) for fiscal declares
year July 1`12008 toeJune 30,
2009 pursuant to the Act.
Section 3: The location of the District will remain the same: generally
the 200 and 300 blocks of Marine Avenue as set forth with greater
specificity in the map attached as Exhibit A and incorporated herein.
Section 4: The City Council intends to levy and impose and order the
collection of a benefit assessment upon persons conducting business in
the District. 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 Me 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 benefit assessment shall be equal to one hundred percent (100 %)
of the City's annual business license fee as established pursuant. to Chapter
5.08 of the Municipal Code if the business is located in a downstairs
space; if upstairs, a flat$25.DO will be auessed.
S"Inext 5: The benefit assessments shall be collected by the City in one
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.
Saxtlon 6: 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 1. An owner of more than one business within the District shall
only be required to pay the assessment for the largest business . and shall
be exempt from assessments on additional businesses within the District.
SecXOn 8: The improvements and activities to be funded by the benefit
assessments shall include only the following:
1. Marketing, advertising and public relations;
2. Brochure development and distribution;
3. Promotion of public events that are to take place on or in any public
places in the area;
4. Decoration of any public place in the area:
5. Public area improvements and maintenance activities;
6. The general promotion of retail trade activities.
BE IT FURTHER RESOLVED, that the City Council of the City at Newport
Beach shall conduct a public hearing on June 24, 2008 at 7:
as soon thereafter as this matter may be heard, In 00 00 New rt or
Council Chambers
located at 3300 Newport Boulevard, Newport Beach, California at which
time the Council will hear all interested persons for or against the
establishment 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 that pay fifty percent or more of the total I
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 Crly Hall, 3300 Newport
Boulevard, Newport Beach, California, 92658. Telephone (949) 644-3225
300 N.
The City Clerk shall cause this resolution of intention to be pubfished
once in a newspaper of general circulation in the Ctty 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 and thereon held on the 10th day of June 2008.
MAYOR, Ed Selich
ATTEST:
CITY CLERK, LaVonne M. Harkless
Exhibit A (Boundary Map) is available in the City Clerk's office for viewing.
Published Newport Beach/Costa Mesa Daily Pilot June 14. 2008 Sa522