The purpose of this chapter is to enhance the ability of the city and businesses therein to establish property and business improvement districts pursuant to the Property and Business Improvement District Law of 1994 (Streets & Highways Code Section 36600 et seq.) by: (1) reducing the percentage of property owners whose signatures are required to initiate formation of a property and business improvement district ("Property BID") from 50%, as authorized by the Property and Business Improvement District Law of 1994, to 30%; (2) extending the period for which a property BID may exist from five years, as authorized by the Property and Business Improvement District Law of 1994, to 20 years; and (3) authorizing the reimbursement of formation costs.
(Ord. 5771, § 1, 4-3-2012)
A. 
The procedures established in this chapter shall be additional or alternative to any other procedure established by ordinance or state law, and are intended to supplement those procedures.
B. 
In forming assessment districts to fund activities and improvements that confer a special benefit on property, the city council may elect to use the procedures set forth in the Property and Business Improvement District Law of 1994 (Streets & Highways Code §§ 36600 et seq. (the "PBID Law") as modified by this chapter. The city council shall be bound by, and comply with, applicable state law governing the establishment and operation of property and business improvement districts in all respects not inconsistent with this chapter.
C. 
An assessment district established pursuant to this chapter shall be denominated a "community benefit district" or "district" and the assessment levied in connection with such a district shall be denominated a "community benefit assessment."
D. 
Except where otherwise provided in this chapter, "community benefit district" shall have the meaning given to "Property and Business Improvement District" by Section 36611 of the PBID Law and each reference in the PBID Law to a "property and business improvement district" or a "district" shall be deemed also a reference to a "community benefit district."
E. 
Except where otherwise provided in this chapter, "community benefit assessment" shall have the meaning given to "assessment" by Section 36606 of the PBID Law and each reference in the PBID Law to an "assessment" shall be deemed also a reference to a "community benefit district."
(Ord. 5771, § 1, 4-3-2012)
Upon the written petition, signed and acknowledged, of the property owners in the proposed district who will pay more than 30% of the assessments proposed to be levied, the city council may initiate proceedings to form a property BID by adopting a resolution expressing its intention to form a property BID. The amount of assessment attributable to property owned by the same property owner which is in excess of 20% of the amount of all assessments proposed to be levied shall not be included in determining whether the petition is signed by property owners who will pay more than 30% of the total amount of assessments proposed to be levied.
(Ord. 5771, § 1, 4-3-2012)
A. 
The city council may authorize a district formed pursuant to this chapter to recover through assessments the costs incurred in forming the district, including:
1. 
The costs of preparation of the management plan and engineer's report required by state law;
2. 
The cost of circulating and submitting the petition to the city council seeking establishment of the district;
3. 
The costs of printing, advertising and the giving of published, posted or mailed notices;
4. 
Compensation of any engineer or attorney employed to render services in proceedings under this chapter or the PBID Law; and
5. 
Costs associated with any ballot proceedings required by law for approval of a new or increased assessment.
If the district will be authorized to recover these costs, the management plan required pursuant to Streets & Highways Code Section 36622 shall specify the formation costs eligible for recovery through assessments, the schedule for recovery of those costs, and the basis for determining the amount of the additional assessment for recovery of costs, including the maximum amount of the additional assessment, expressed either as a dollar amount, or as a percentage of the underlying assessment.
B. 
The city may advance funds for the first year of a district so that the district can commence work prior to the initial collection of the assessments. The funds advanced will not exceed the total assessment for the first year. The funds advanced shall be repaid, with interest, within five years of the collection of the first annual assessment.
(Ord. 5771, § 1, 4-3-2012)
A property BID established pursuant to this chapter may have a duration of up to 20 years, if so specified in the resolution of intention.
(Ord. 5771, § 1, 4-3-2012)