(a) 
This Article outlines the procedure for establishing areas and/or imposing new or increased assessments. The City Council may commence this process on its own initiative.
(b) 
Resolution of Intention to Establish Area. Proceedings to establish an area shall be instituted by City Council adoption of a resolution of intention to establish the area. The resolution of intention shall do all of the following:
(1) 
State that an area is proposed to be established pursuant to this Chapter and describe the boundaries of the territory proposed to be included in the area and the boundaries of each separate benefit zone to be established within the area. The boundaries of the area and of each separate benefit zone may be described by reference to a map on file in the office of the City Clerk, showing the proposed area and zones;
(2) 
State the name of the proposed area;
(3) 
State the type or types of improvements and activities proposed to be funded by the levy of assessments on businesses or properties in the area. The resolution of intention shall specify any improvements to be acquired;
(4) 
State that, except where funds are otherwise available, an assessment will be levied annually to pay for all improvements and activities within the area;
(5) 
State the proposed method and basis of levying the assessment in sufficient detail to allow each business or record property owner to estimate the amount of the assessment to be levied against his or her business or property;
(6) 
State whether any businesses or properties will be exempt from the levy of the assessment;
(7) 
Fix a time and place for a public hearing on the establishment of the area and the levy of assessments, if any, which shall be consistent with the requirements of Sections 3.28.050 and 3.28.060;
(8) 
State that at the hearing the testimony of all interested persons for or against the establishment of the area, the extent of the area, the furnishing of specified types of improvements or activities, or the levy of assessments, if any, will be heard;
(9) 
Describe, in summary, the effect of protests made by business or property owners against the establishment of the area, the extent of the area, the furnishing of a specified type of improvement or activity, or the levy of assessments, as provided in Section 3.28.070.
(c) 
Establishment of Separate Benefit Zones. The City Council may establish one or more separate benefit zones within an area based upon the degree of special benefit derived from the improvements or activities to be provided within the benefit zone and may impose a different assessment within each benefit zone. All provisions of this Chapter applicable to the establishment, modification, or disestablishment of an area apply to the establishment, modification, or disestablishment of benefit zones and the City Council shall follow those procedures.
(Ord. 673 § 1, 2013)
(a) 
If the City intends to levy a new or increased assessment on businesses or property in an area, the City Council shall adopt an assessment engineer's report, either at the meeting on which the resolution of intention is adopted or at a prior meeting.
(b) 
The assessment engineer's report shall be prepared by a registered professional engineer and shall do all of the following:
(1) 
Identify all businesses or parcels of property within the area which will have a special benefit conferred upon them and upon which an assessment will be imposed;
(2) 
Calculate the total amount of assessments chargeable to the entire area;
(3) 
Calculate the amount of assessments chargeable to each identified business or parcel of property;
(4) 
Calculate the duration of assessment payments;
(5) 
Calculate the proportionate special benefit derived by each identified business or parcel of property in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the services being provided;
(6) 
Separate the general benefits to the public from the special benefits conferred upon businesses or parcels of property within the area, and confirm that only special benefits will be assessable.
(c) 
Prior to the City Council's adoption of the assessment engineer's report, it shall be reviewed and approved by the City Attorney's office to verify its compliance with this Chapter and applicable law.
(Ord. 673 § 1, 2013)
(a) 
If the City intends to establish an area or modify the boundaries of an area, and does not intend to levy new or increased assessments, notice of a public hearing shall be given by the following means:
(1) 
Publishing the resolution of intention in a newspaper of general circulation in the City once, for at least seven days before the public hearing;
(2) 
Mailing of a complete copy of the resolution of intention by first-class mail to each business owner in the area within seven days after the City Council's adoption of the resolution of intention;
(3) 
Notwithstanding subsection (a)(2), in the case of an area established primarily to promote tourism, a copy of the resolution of intention shall be mailed by first-class mail within seven days after the City Council's adoption of the resolution of intention, to the owner of each business and property in the area which will be subject to assessment.
(b) 
If the City intends to levy a new or increased assessment upon businesses, notice of a public meeting/public hearing shall be given by the following means:
(1) 
Mailing of a complete copy of the resolution of intention by first-class mail to each business owner in the area within seven days after the City Council's adoption of the resolution of intention;
(2) 
Mailing a joint notice of public meeting and public hearing by first-class mail to each business owner in the area proposed to be subject to the new or increased assessment, as their names and addresses appear on the City's records pertaining to business ownership, at least 45 days prior to the date of the public hearing. The face of the envelope shall include the City's name and return address. The text of the mailed notice shall be in at least 10-point type and shall include the following:
(i) 
The reason for the assessment and the proposed method and basis of levying the assessment in sufficient detail to allow each business owner to calculate the amount of assessment to be levied against each business, including the owner's business. This may incorporate by reference the assessment engineer's report. If the assessment is proposed to be increased from any previous year, the joint notice shall separately state both the amount of the existing assessment and the proposed assessment increase,
(ii) 
A general description of the improvements and activities that the assessment will fund, including the total amount chargeable to the entire area,
(iii) 
The duration of the assessment payments,
(iv) 
A proposed assessment formula or range, if applicable,
(v) 
The address to which business owners may mail a protest against the assessment,
(vi) 
The telephone number and address of an individual, office, or organization that interested persons may contact to receive additional information about the assessment,
(vii) 
A statement that the assessment shall not be imposed if there is a majority protest as set forth in Section 3.28.070,
(viii) 
The dates, times, and locations of the public meeting and hearing described above.
(c) 
If the City intends to levy a new or increased assessment upon property, notice of a public meeting/public hearing shall be given by the following means:
(1) 
Mailing of a complete copy of the resolution of intention by first-class mail to each property owner in the area within seven days after the City Council's adoption of the resolution of intention;
(2) 
Mailing a joint notice of public meeting and public hearing by first-class mail to each record property owner in the area at least 45 days prior to the date of the public hearing. The face of the envelope shall include the City's name, return address and the phrase, in no smaller than 16-font bold type - "OFFICIAL BALLOT ENCLOSED." The text of the mailed notice shall be in at least 10-point type and shall be given to all record property owners proposed to be subject to the new or increased assessment, as their names and addresses appear on the last equalized county assessment roll. The joint notice shall include the following:
(i) 
The reason for the assessment and the proposed method and basis of levying the assessment in sufficient detail to allow each property owner to calculate the amount of assessment to be levied against each property, including the owner's property. This may incorporate by reference the assessment engineer's report. If the assessment is proposed to be increased from any previous year, the joint notice shall separately state both the amount of the existing assessment and the proposed assessment increase,
(ii) 
A general description of the purpose or improvements that the assessment will fund, including the total amount chargeable to the entire area,
(iii) 
The duration of the assessment payments,
(iv) 
A proposed assessment formula or range, if applicable,
(v) 
The telephone number and address of an individual, office, or organization that interested persons may contact to receive additional information about the assessment,
(vi) 
In a conspicuous place, a summary of the procedures for the completion, return and tabulation of assessment ballots, including a statement that the assessment shall not be imposed if the ballots submitted in opposition to the assessment exceed the ballots submitted in favor of the assessment, with ballots weighted according to the proportional financial obligation of the affected property,
(vii) 
The dates, times, and locations of the public meeting and hearing described above;
(3) 
The City shall also include an assessment ballot with the mailed joint notice. The ballot must include the City's address for receipt of the ballot and a place where the person returning the ballot may indicate his or her name, reasonable identification of the parcel of property, and his or her support or opposition to the proposed assessment. Each ballot shall be in a form that conceals its contents once it is sealed by the person submitting the ballot. Each ballot shall be signed and either mailed or otherwise delivered to the address indicated on the ballot. The City may provide an envelope for the return of the ballot, provided that if the return envelope is opened by the City prior to the tabulation of ballots, the enclosed ballot shall remain sealed.
(d) 
Any notice by mailing pursuant to this Section shall be deemed given when deposited in the mail.
(Ord. 673 § 1, 2013)
(a) 
If the City intends to establish an area or modify the boundaries of an area, and does not intend to levy new or increased assessments, the City may conduct a public hearing at any time not earlier than seven days after the resolution of intention is published pursuant to Section 3.28.050(a).
(b) 
If the City intends to levy new or increased assessments upon either businesses or property, the City shall hold a public meeting prior the public hearing not earlier than 10 days after the mailing of the joint notice pursuant to Section 3.28.050(b)(2)3.28.050(b)(2) or (c)(2). The City Council shall take no final action on the area or assessment at the public meeting but may introduce the ordinance establishing the area and imposing the assessment. The City Council shall thereafter hold a public hearing which shall be not earlier than 45 days after the mailing of the joint notice pursuant to Section 3.28.050(b)(2)3.28.050(b)(2) or (c)(2) and also shall not be earlier than seven days after the public meeting.
(c) 
At the public hearing, the City Council shall hear and consider all objections or protests against the establishment or modification of the area, the extent of the area, the furnishing of specified types of improvements or activities within the area, or the proposed assessment. An objection or protest may be made orally or in writing by any interested person. Any protest pertaining to the regularity or sufficiency of the proceedings shall be in writing and shall clearly set forth the irregularity or defect to which the objection is made.
(d) 
During the public hearing, the City Council may consider revising, reducing, or modifying the boundaries of the area, proposed assessments, or the type or types of improvements and activities to be funded with the revenues from the assessments. The City Council may only make changes in, to, or from, the boundaries of the proposed area that will exclude businesses or property which will not specially benefit from the proposed improvements or activities and may not include any businesses or properties that will not, in its judgment, specially benefit by the improvement or activity. Businesses or properties may not be added to the proposed boundaries of the area unless new notice is given to the business or property owners proposed to be added to the area, pursuant to Section 3.28.050(b) or (c), and upon a new public hearing on the addition of territory, as provided in this Section. Proposed assessments may only be revised by reducing any or all of them.
(e) 
With respect to assessments upon businesses, a written protest shall contain a description of the business which the protestor owns sufficient to identify the business and, if a protestor is not shown on the official records of the City as the business owner, the protest shall contain or be accompanied by written evidence that the protestor is the owner of the business. A written protest shall be filed with the City Clerk prior to the conclusion of the public hearing. A written protest which does not comply with this subsection shall not be counted in determining a majority protest pursuant to Section 3.28.070(b).
(f) 
With respect to assessments upon property, a ballot shall be signed, sealed and either mailed or otherwise delivered to the address indicated on the ballot in order to be included in the tabulation of a majority protest pursuant to Section 3.28.070(c).
(g) 
The City Council may waive any minor irregularity in the form or content of any written protest or ballot and at the public hearing may correct minor defects in the proceedings.
(h) 
The City Council may continue a public hearing from time to time.
(i) 
At any time prior to the conclusion of the public hearing, business owners may submit, change or withdraw written protests and property owners may submit, change or withdraw assessment ballots.
(Ord. 673 § 1, 2013)
(a) 
If the City intends to establish an area or modify the boundaries of an area, and does not intend to levy new or increased assessments, there shall be no majority protest process. After hearing and considering all oral and written objections or protests, the City Council may decide to establish an area or modify the boundaries of an area in the best interests of the City.
(b) 
Majority Protest for Assessments upon Businesses.
(1) 
At the conclusion of the public hearing, the City Clerk shall calculate the total number of written protests that have been submitted and not withdrawn.
(2) 
If written protests are received from business owners in the proposed area which will pay 50% or more of the proposed assessments, the City shall not establish the area or levy the proposed new or increased assessment.
(3) 
If the majority protest is only against the furnishing of a specified type or types of improvement or activity within the area, those types of improvements or activities shall be eliminated.
(4) 
If a majority protest does not exist, the City Council may establish the area and impose the new or increased assessment upon businesses pursuant to Section 3.28.080.
(c) 
Majority Protest for Assessments upon Property.
(1) 
At the conclusion of the hearing, the City Clerk or another impartial person designated by the Council with no vested interest in the outcome of the assessment shall tabulate the ballots submitted and not withdrawn. If the City uses City personnel or contracts with a vendor for ballot tabulation, and that vendor participated in the research, design, engineering, public education or promotion of the assessment, the ballots shall be unsealed and tabulated in public view at the conclusion of the public hearing so as to permit all interested persons to meaningfully monitor the accuracy of the tabulation process. The City Council may, if necessary, continue the tabulation at a different time or location accessible to the public view, provided that the City Council announces the time and location at the hearing. Technological methods (e.g., "punchcard" or optical readers) may be used for tabulation.
(2) 
Ballots for and against the assessment shall be weighted according to the proportional assessment obligation of the affected property corresponding to the ballot, as documented in the assessment engineer's report (e.g., a one thousand dollar ($1,000.00) assessed property will receive 10 times as much weight as a one hundred dollar ($100.00) assessed property). In the event that more than one of the record owners of an identified parcel of property submits an assessment ballot, the weight of each ballot shall be based upon each record owner's proportional ownership interests or, if the ownership interests are not shown on the record, as established to the satisfaction of the City by documentation provided by those record owners.
(3) 
A majority protest exists if the assessment ballots submitted, and not withdrawn, opposed to the proposed assessment exceed those in its favor, as weighted pursuant to subsection (c)(2). If there is a majority protest, the City shall not establish the area or levy the proposed new or increased assessment.
(4) 
If a majority protest does not exist, the City Council may establish the area and levy the new or increased assessment upon property pursuant to Section 3.28.080.
(Ord. 673 § 1, 2013)
If the City Council, following the public hearing and no majority protest, decides to establish the proposed area and/or impose new or increased assessments, it shall adopt an ordinance to that effect. The ordinance shall contain all of the following:
(a) 
The number, date of adoption, and title of the resolution of intention.
(b) 
The time and place where the public hearing was held concerning the establishment of the area.
(c) 
A determination regarding any protests received at the public hearing.
(d) 
The description of the boundaries of the area and of each separate benefit zone established within the area.
(e) 
A statement that a parking and business improvement area has been established and the name of the area.
(f) 
A statement that the businesses and/or properties in the area established by the ordinance shall be subject to any amendments to this Chapter.
(g) 
The description of the method and basis of levying assessments, if any, with a breakdown by classification of assessed businesses and/or properties if a classification is used.
(h) 
A statement that the improvements and activities to be provided in the area will be funded by the levy of the assessments, if applicable. The revenue from the levy of any assessments within an area shall not be used to provide improvements or activities outside the area or for any purpose other than the purposes specified in the resolution of intention, as may be modified by the City Council at the public hearing concerning establishment of the area.
(i) 
A finding that the businesses and/or the property within the business and improvement area will be specially benefited by the improvements and activities funded by the assessments proposed to be levied, if any. In the case of an area formed to promote tourism, only businesses and properties that benefit from tourist visits may be assessed.
(j) 
The time and manner of collecting assessments, if any.
(Ord. 673 § 1, 2013)
The collection of the assessments levied pursuant to this Chapter shall be made at the time and in the manner set forth by the City Council in the ordinance establishing or modifying the area.
(Ord. 673 § 1, 2013)
The City Council may, but is not required to, appoint an advisory board for an area which shall make recommendations to the City Council on the expenditure of revenues derived from the levy of assessments pursuant to this Chapter, on the classification of businesses and properties, as applicable, and on the method and basis of levying the assessments. The City Council may designate existing advisory boards or commissions to serve as the advisory board for the area or may create a new advisory board for that purpose. The City Council may limit membership of the advisory board to persons paying the assessments under this Chapter. The City Council may appoint the advisory board prior to adoption of the resolution of intention to create the area, so that the advisory board may recommend the provisions of the resolution of intention, or at any other time.
(Ord. 673 § 1, 2013)
Once an area is established, in addition to the power to levy assessments, the City Council, on behalf of the area, shall have the authority to: (a) acquire, improve, lease, encumber and sell real and personal property for the benefit of the area; (b) impose fees, tolls or charges for the use of improvements or activities within the area and use those revenues for the benefit of the area, provided such fees, tolls or charges do not exceed the City's reasonable costs of providing the improvements or activities; (c) issue bonds secured by area revenues (including assessments) in accordance with applicable law; and (d) do all other acts and things necessary and convenient for the accomplishment of the purposes of this Chapter.
(Ord. 673 § 1, 2013)