A business improvement area to be designated as the Atascadero Tourism Business Improvement District ("ATBID") is hereby established pursuant to the Parking and Business Improvement Area Law of 1989 (California Streets and Highways Code Section 36500 et seq.) (the "BID Law").
(Ord. 568 § 1, 2013)
The boundaries of the Atascadero Tourism Business Improvement District are the same boundaries as the corporate boundaries of the City.
(Ord. 568 § 1, 2013)
The following words and phrases used in this chapter will have the meaning set forth in this section:
"Lodging business"
has the same meaning as "hotel" in Section 3-3.02 of Chapter 3 (Transient Occupancy Tax) of this code.
"Occupancy"
has the same meaning as in Section 3-3.02 of Chapter 3 (Transient Occupancy Tax) of this code.
"Operator"
has the same meaning as in Section 3-3.02 of Chapter 3 (Transient Occupancy Tax) of this code.
"Rent"
has the same meaning as in Section 3-3.02 of Chapter 3 (Transient Occupancy Tax) of this code.
"Tax Administrator"
means the City Finance Director.
"Transient"
has the same meaning as in Section 3-3.02 of Chapter 3 (Transient Occupancy Tax) of this code.
"Transient occupancy tax"
has the same meaning as in Section 3-3.02 of Chapter 3 (Transient Occupancy Tax) of this code.
(Ord. 568 § 1, 2013)
(a) 
Assessment. Each lodging business will collect and remit to the City an ATBID assessment equal to 2.5% of the rent charged by the business per occupied room or space per night for transient occupancies.
(b) 
New Lodging Business Subject to Assessment. Any new lodging business established within the boundaries of the ATBID subsequent to its formation will be required to collect and remit the applicable ATBID assessment.
(c) 
Exemptions. No assessment will be imposed on a lodging business for any rent paid by a transient who is exempt by law from paying any transient occupancy taxes as provided in Section 3-3.04 of this code.
(d) 
Extended Stays. No assessment will be imposed on any lodging business for any rent paid by a person who is not deemed a "transient" (as defined in Section 3-3.02 of this code) when such person's stay is longer than 30 consecutive calendar days.
(e) 
Payment of Assessments. Each lodging business must remit the assessment at the time the business pays its transient occupancy taxes to the City and must complete and provide such form detailing the applicable rent received and assessment as may be required by the City. The assessment will not be included in gross room rental revenue for the purpose of determining the amount of transient occupancy taxes due.
(f) 
Payment Prerequisite to Business License and Penalties and Procedures for Unpaid Assessments.
(1) 
No business license or tax certificate will be issued under Chapter 5 of this title unless the ATBID assessment payment is current.
(2) 
Penalties and interest will be assessed upon any unpaid assessment in manner specified in Section 3-3.08 of this code until such time as the current assessment is paid in full; provided, however, that if there is concurrently a delinquency of the transient occupancy tax as well as the assessment, a single penalty of $200 will be imposed under Section 3-3.08(a) in addition to the 10% penalty on the amount of the unpaid assessment.
(g) 
City Administrative Fee. The City will retain 1% of the collected assessments as and for its administrative fees and costs.
(Ord. 568 § 1, 2013; Ord. 681, 12/10/2024)
The services to be funded by the assessments against lodging businesses include tourism promotions and marketing programs to promote the City as a tourism destination and such other tourism related projects, programs, and activities that are directed at increasing transient stays at lodging businesses in the ATBID and for such other tourism, branding and marketing purposes as the City and the ATBID Advisory Board may determine.
(Ord. 568 § 1, 2013)
There is created a special fund designated as the "Atascadero Tourism Business Improvement District Fund" into which all revenues derived from the ATBID assessments under this chapter will be placed. Such funds may only be used only for the purposes specified in this chapter and the approved annual reports.
(Ord. 568 § 1, 2013)
The City Council will appoint an Advisory Board for the ATBID under the following procedures:
(a) 
The ATBID Advisory Board will be comprised of five members, with four members representing lodging businesses with twenty-five rooms or more in a commercial zone and one member representing vacation rental lodging businesses that are not hotels as that term is defined in Chapter 9 of this code.
(b) 
Membership on the ATBID Advisory Board is limited to lodging business owners or other representatives named in writing as an empowered designee by a lodging business owner within the ATBID area. To sponsor a member on the ATBID Advisory Board, each lodging business must have fully paid its ATBID assessment at the time of appointment, and remain fully paid during the term of that representative's membership on the Board.
(c) 
All Advisory Board members will serve staggered terms of two years, with three board members being appointed in one year, and two board members being appointed in the following year.
(d) 
The ATBID Advisory Board will be appointed at the discretion of the City Council, following a nomination process facilitated by the lodging businesses. Each February, the current Advisory Board will mail a letter to all lodging business owners in the ATBID announcing the ATBID Advisory Board seats that are scheduled to become vacant as of July 1st of that calendar year and requesting nominations for the Board from such lodging businesses. Board nominations must meet the qualifications to maintain the composition of the Board as set forth in subsection (a). The Board shall establish its own internal procedures to make nominations and vote for candidates to be recommended to the City Council, but only those lodging businesses with twenty-five rooms or more in a commercial zone shall be eligible to vote for the four Board members representing lodging businesses with twenty-five rooms or more in a commercial zone, and only those vacation rental lodging businesses that are not hotels as that term is defined in Chapter 9 of this code shall be eligible to vote for the one Board member representing vacation rental lodging businesses that are not hotels as that term is defined in Chapter 9 of this code.
(e) 
If the City Council rejects the recommendations of the ATBID Advisory Board, the City Council will request a new recommendation from the lodging businesses for consideration. The ATBID Advisory Board members serve at the pleasure of the City Council. The Council may, by majority vote, remove any Advisory Board member with or without cause.
(f) 
If the City Clerk does not receive sufficient nominations of potential Board members by April 30th of any applicable years, the open positions on the ATBID Advisory Board will be appointed by the process set forth for appointing boards and commissions in Title 2 Chapter 2.08 of this code.
(Ord. 568 § 1, 2013; Ord. 592 § 1, 2015; Ord. 684, 3/11/2025)
The ATBID Advisory Board will prepare, or cause to be prepared, and file an annual report with the City regarding the activities and finances of the ATBID. The report must, among other things, itemize the following: (a) proposed activities, programs and projects for the fiscal year; (b) the approximate cost of such activities, programs and projects for the fiscal year; (c) the amount of surplus or deficit revenues carried over from a previous fiscal year; and (d) contributions received other than assessments. The report must meet the requirements of California Streets and Highways Code Section 36533. The City Council will review each report, and may approve the report as filed or modify any portion of the report and approve it as modified.
(Ord. 568 § 1, 2013)
The City Manager may, by contract, authorize expenditures to be made in accordance with the annual ATBID program and budget as recommended by the Advisory Board and approved by the City Council.
(Ord. 568 § 1, 2013)
After approving the annual report, the City will adopt an annual resolution of intention to levy the ATBID assessment for that fiscal year, and publish a notice of and hold a public hearing on the proposed annual assessment in accordance with the BID Law.
(Ord. 568 § 1, 2013)