A business improvement district (hereinafter district) is established pursuant to the authority of the Parking and Business Improvement Area Law of 1979, Section 36500 et seq., of the California Streets and Highways Code.
(Ord. 1491 § 1)
Revenues produced by the district shall be used for programs which benefit the district. The authorized uses for the district's revenue are as follows:
(a)
Promotion of business activities within the district;
(b)
Promotion of public events which are to take place on or in public places within the district;
(c)
Furnishing of music in any public place in the district;
(d)
Decoration of any public place in the district; and
(e)
Acquisition, construction or maintenance of parking facilities for the benefit of the district.
(Ord. 1491 § 1)
As used in this article:
means a described portion of the district receiving different benefits from another portion of the district.
means all types of businesses, excluding not-for-profit charitable organizations, including, but not limited to, the leasing of each separate property or space leased to separate businesses.
means all commercially used property located within certain designated areas of the city, more specifically described in Sections 15.10.040(a), (b) and (c) of this article and Exhibits A, B and C attached to Ordinance Nos. 1491 and 1687 and on display in the city clerk's office.
means a levy for the purpose of providing services and for programs which will benefit the district.
(Ord. 1491 § 1; Ord. 1687 § 1)
Within the district, three benefit zones are established as follows:
(a)
Core area benefit zone , which shall include all businesses maintaining a place of business within the area shown on Exhibit A, attached to Ordinance 1687 and incorporated herein by this reference, and generally described as that area beginning at the intersection of the centerline of First Street and A Street, following along the centerline of First Street to the centerline of D Street, extending south to the railroad tracks, then east along the railroad tracks to the centerline of Richards Boulevard, then north along the centerline of Richards Boulevard to the centerline of First Street, then following easterly along the centerline of First Street to the south side of G Street, to the Southern Pacific Transportation Company's westerly railroad tracks, following along the western boundary of said railroad tracks north to the centerline of Fifth Street, then following the centerline of Fifth Street extend west to the centerline of G Street, following south along the centerline of G Street, then follow the north side of Fourth Street following westerly along, the rear, or northern property line of properties adjoining the northern side of Fourth Street to C Street, then following southerly along the centerline of C Street to the centerline of Fourth Street, then following westerly along the centerline of Fourth Street to the centerline of A Street, and following southerly along the centerline of A Street to the centerline of First Street.
(b)
Periphery core benefit zone , which shall include all businesses maintaining a place of business within the area shown by Exhibit B, attached to Ordinance 1687 and incorporated herein by this reference, and generally described as that area beginning at the centerline of the southern end of I Street bounded by property of the Southern Pacific Transportation Company, moving north along the centerline of I Street to the centerline of Fifth Street, following westerly along the centerline of Fifth Street to the centerline of Rowe Place, then north along the centerline of Rowe Place to the intersection of the rear or northern property line of properties adjoining the northern end of the centerline of Rowe Place, following westerly along the rear or northern property line of said properties, continuing westerly to the intersection of the centerline of Sixth Street and the Southern Pacific Transportation Company's railroad tracks, following along the western boundary of said railroad tracks northerly to East Eighth Street, following along the centerline of East Eighth Street to the rear (west) property line of those properties adjoining the westerly side of G Street, south to the centerline of Fifth Street, following along the centerline of Fifth Street westerly to the centerline of Russell Boulevard, following along the centerline of Russell Boulevard to the intersection of the centerline of Russell Boulevard and A Street, and following southerly along the centerline of A Street to Fourth Street, then following easterly along the centerline of Fourth Street to C Street, then north along the centerline of C Street to the rear or northern property line of properties adjoining the north side of Fourth Street, following easterly along said rear or northern property line to the centerline of G Street, then following the centerline of Fifth Street to the Southern Pacific Transportation Company's railroad tracks, following the western boundary of said railroad tracks southerly to Third Street, then proceeding along said railroad tracks southeasterly to the intersection with the centerline of I Street.
(Ord. 1491 § 1; Ord. 1687 §§ 2—4; Ord. 1836 § 2; Ord. 1921, 1998)
(a)
The provisions of this article shall apply to all businesses maintaining a place of business within the district, except not-for-profit charitable organizations, which shall be exempt.
(b)
It is found that zone A, zone B and zone C businesses will benefit from the provision of eligible promotional activities in varying degrees. Fees applied to businesses within the benefit zones will be established in relation to the anticipated benefit to be derived by the business from the district.
(c)
The core area benefit zone shall be the primary benefit zone of the district. This is consistent with city policies to maintain this area as the commercial center of the city.
(d)
The periphery core benefit zone shall be a secondary benefit zone of the district. Participating businesses of the periphery core benefit zone will benefit from the district in the same manner as businesses in the core area benefit zone but to a lesser extent due to their distance from the center of the core area.
(Ord. 1491 § 1; Ord. 1687 § 5; Ord. 1836 § 2)
The businesses within the district are classified so as to promote the equitable imposition of assessments. The classifications shall be as follows:
Group I—Individual licenses held. Individually licensed agents, including, but not limited to, real estate and insurance agents.
Group II—Retail, manufacturing and utilities. Businesses including, but not limited to, retail sales, restaurants, hotels and motels, art galleries, commercial printing, newspaper publishing, manufacturing or processing, utilities, etc.
Group III—Services. Businesses including, but not limited to, building contractors, handy-persons, repair, maintenance, or cleaning services, secretarial services, recreation halls, theaters, other entertainment events, travel agencies, service stations, equipment leasing, locksmiths, photocopying services, commercial and portrait photography, and businesses or personal services not otherwise specified.
Group IV—Professional and wholesalers. Businesses including, but not limited to, appraisers, accountants, advertising agents, architects, attorneys, brokerage firms, designers, dentists, consultants, physicians, optometrists, veterinarians, etc., and wholesale businesses which sell, handle, or store merchandise solely for the purpose of resale in the regular course of business.
Group V—Financial institutions. Financial institutions including, but not limited to, banks, credit unions, and savings and loan associations.
Group VI—Branch locations. Businesses qualify as a branch business when both the primary and the branch are under the same name and both are located within the boundaries of the core area benefit zone.
Group VII—Commercial leasing businesses. Commercial leasing businesses located in and/or leasing property within the downtown district. An assessment shall be levied for each separate property leased to a business within the downtown district.
(Ord. 1491 § 1; Ord. 1635 § 1; Ord. 1677 § 1; Ord. 2195, 2004)
Separate assessment schedules shall be used to levy assessments for businesses within each benefit zone and each business group. The following schedule of assessment shall apply in the core area benefit zone, except that not-for-profit charitable organizations shall be exempt. The finance director shall maintain a current schedule of assessments based upon the yearly increase specified herein and shall make such schedule available to any interested party upon request.
(a)
Core area benefit zone annual assessment rates.
Group I | 2008 Group I | 2009 Group I | 2010, thereafter |
$41.00 | $42.23 | Previous Year + 3% |
Group II-IV | 2008 Group II | 2009 Group II | 2010, there-after | 2008 Group III | 2009 Group III | 2010, there-after | 2008 Group IV | 2009 Group IV | 2010, there-after |
|---|---|---|---|---|---|---|---|---|---|
Group Receipts Bracket ($) | Retail Rate ($) | Service Rate ($) | Professional/Wholesale Rate ($) | ||||||
0- 100,000 | 74.00 | 76.22 | Previous Year + 3% | 74.00 | 76.22 | Previous Year + 3% | 74.00 | 76.22 | Previous Year + 3% |
100,001- 150,000 | 108.00 | 111.24 | 96.00 | 98.88 | 85.00 | 87.55 | |||
150,001- 200,000 | 142.00 | 146.26 | 119.00 | 122.57 | 96.00 | 98.88 | |||
200,001- 250,000 | 175.00 | 180.25 | 142.00 | 146.26 | 108.00 | 111.24 | |||
250,001- 300,000 | 211.00 | 217.33 | 164.00 | 168.92 | 119.00 | 122.57 | |||
300,001- 350,000 | 244.00 | 251.31 | 187.00 | 192.61 | 130.00 | 133.90 | |||
350,001- 400,000 | 278.00 | 286.34 | 210.00 | 216.30 | 142.00 | 146.26 | |||
400,001- 450,000 | 312.00 | 321.36 | 232.00 | 238.96 | 153.00 | 157.59 | |||
450,001- 500,000 | 346.00 | 356.38 | 255.00 | 262.65 | 164.00 | 168.92 | |||
500,001- 550,000 | 380.00 | 391.40 | 278.00 | 286.34 | 176.00 | 181.28 | |||
550,001- 600,000 | 412.00 | 424.36 | 300.00 | 309.00 | 187.00 | 192.61 | |||
600,001- 650,000 | 448.00 | 461.44 | 323.00 | 332.69 | 198.00 | 203.94 | |||
650,001- 700,000 | 479.00 | 493.37 | 345.00 | 355.35 | 210.00 | 216.30 | |||
700,001- 750,000 | 515.00 | 530.45 | 368.00 | 379.04 | 221.00 | 227.63 | |||
750,001- 800,000 | 550.00 | 566.50 | 391.00 | 402.73 | 232.00 | 238.96 | |||
800,001- 850,000 | 583.00 | 600.49 | 414.00 | 426.42 | 244.00 | 251.32 | |||
850,001- 900,000 | 618.00 | 636.54 | 436.00 | 449.08 | 255.00 | 262.65 | |||
900,001- 950,000 | 651.00 | 670.53 | 459.00 | 472.77 | 266.00 | 273.98 | |||
950,001- 1,000,000 | 685.00 | 705.55 | 482.00 | 496.46 | 278.00 | 286.34 | |||
1,000,001- 1,050,000 | 721.00 | 742.63 | 504.00 | 519.12 | 289.50 | 298.19 | |||
1,050,001- 1,100,000 | 754.00 | 776.62 | 526.50 | 542.30 | 301.00 | 310.03 | |||
1,100,001- 1,150,000 | 787.00 | 810.61 | 549.00 | 565.47 | 312.50 | 321.88 | |||
1,150,001- 1,200,000 | 820.00 | 844.60 | 571.50 | 588.65 | 324.00 | 333.72 | |||
1,200,001- 1,250,000 | 853.00 | 878.59 | 594.00 | 611.82 | 335.50 | 345.57 | |||
1,250,001- 1,300,000 | 886.00 | 912.58 | 616.50 | 635.00 | 347.00 | 357.41 | |||
1,300,001- 1,350,000 | 919.00 | 946.57 | 639.00 | 658.17 | 358.50 | 369.26 | |||
1,350,001- 1,400,000 | 952.00 | 980.56 | 661.50 | 681.35 | 370.00 | 381.10 | |||
1,400,001- 1,450,000 | 985.00 | 1,014.55 | 684.00 | 704.52 | 381.50 | 392.95 | |||
1,450,001- 1,500,000 | 1,018.00 | 1,048.54 | 706.50 | 727.70 | 393.00 | 404.79 | |||
1,500,001- 1,550,000 | 1,051.00 | 1,082.53 | 729.00 | 750.87 | 404.50 | 416.64 | |||
1,550,001- 1,600,000 | 1,084.00 | 1,116.52 | 751.50 | 774.05 | 416.00 | 428.48 | |||
1,600,001- 1,650,000 | 1,117.00 | 1,150.51 | 774.00 | 797.22 | 427.50 | 440.33 | |||
1,650,001- 1,700,000 | 1,150.00 | 1,184.50 | 796.50 | 820.40 | 439.00 | 452.17 | |||
1,700,001- 1,750,000 | 1,183.00 | 1,218.49 | 819.00 | 843.57 | 450.50 | 464.02 | |||
1,750,001- 1,800,000 | 1,216.00 | 1,252.48 | 841.50 | 866.75 | 462.00 | 475.86 | |||
1,800,001- 1,850,000 | 1,249.00 | 1,286.47 | 864.00 | 889.92 | 473.50 | 487.71 | |||
1,850,001- 1,900,000 | 1,282.00 | 1,320.46 | 886.50 | 913.10 | 485.00 | 499.55 | |||
1,900,001- 1,950,000 | 1,315.00 | 1,354.45 | 909.00 | 936.27 | 496.50 | 511.40 | |||
1,950,001- 2,000,000 | 1,348.00 | 1,388.44 | 931.50 | 959.45 | 508.00 | 523.24 | |||
2,000,001 and above | 1,381.00 | 1,422.43 | 954.00 | 982.62 | 519.50 | 535.09 | |||
Group V | 2008 Group V | 2009 Group V | 2010, thereafter |
$464.00 | $477.92 | Previous Year +3% |
Group VI | 2008 Group VI | 2009 Group VI | 2010, thereafter |
$15.50 | $15.97 | Previous Year +3% |
Group VII | 2008 Group VII | 2009 Group VII | 2010, thereafter |
First parcel leased | $100.00 | $103.00 | Previous Year +3% |
Additional parcels leased | $50.00 | $51.50 | Previous Year +3% |
(b)
Periphery core benefit zone. For businesses located within the periphery core benefit zone, assessments shall be at amounts equal to seventy-five percent of rates to be assessed the same types of businesses in the core area benefit zone.
(Ord. 1491 § 1; Ord. 1677 § 2; Ord. 1687 § 6; Ord. 1836 § 1; Ord. 2195, 2004; Ord. 2330 § 1, 2008)
Assessments imposed by this article are not for the purpose of obtaining funds to acquire or construct capital improvements. Fees may be established for each benefit zone for the purpose of acquisition of land, and construction and maintenance of parking facilities which will benefit the particular zone, under the procedures for modification of fees and uses pursuant to the Parking and Business Improvement Area Law of 1979, Streets and Highways Code Section 36561.
(Ord. 1491 § 1)
(a)
Establishment or modification of benefit zones; modification of district boundary. The city council may establish additional benefit zones or modify district or benefit zone boundaries following the same procedure as provided by Streets and Highways Code Sections 36520 through 36525 for the establishment of a parking and business improvement area.
(b)
Changes in fees or uses. The city council may make changes in the fees or in the uses to which the revenue shall be put. Such changes shall be made by ordinance adopted after a hearing before the city council. The city council shall adopt a resolution of intention to change fees or the uses to which the revenue shall be put at least fifteen days prior to said hearing. The resolution shall specify the proposed changes and shall give the time and place of the hearing.
(c)
Disestablishment of district or benefit zones. The city council may disestablish the district or a benefit zone within the district by ordinance after a hearing before the city council. The city council shall adopt a resolution of intention to disestablish the area at least fifteen days prior to the hearing. The resolution of intention shall include the time and place of the hearing.
(Ord. 1491 § 1)
(a)
For the annual assessment levied for the 2007 year only, one quarter (twenty-five percent) of the annual assessment shall be payable along with, and at the same time as, business license taxes. The remaining three quarters (seventy-five percent) shall be payable upon adoption of the ordinance codified in this article. Fees are payable at the city finance department. Fees not received within thirty days from the date on which they are due, unless under appeal consideration, shall be subject to a late penalty of ten percent of the amount due for the period, plus an additional ten percent per month for each month delinquent thereafter.
(b)
For businesses subject to fees on the basis of gross receipts, each business license record shall contain the basis for the fee calculation. The basis is defined as gross receipts. This information shall be provided by each business license applicant upon renewal or application for a new license. In the case of existing businesses, this shall be annual gross receipts for the year preceding that for which the fee is due. The basis of fees may be adjusted upon renewal of the business license.
(c)
In the event of a business leaving the district, or closing and reopening within the district, proration of the annual fee due hereunder shall be made for any portion of the period for which a parking and business improvement district fee is payable, on a quarterly basis.
(d)
A business newly established in the district is exempted from paying the district fee for a period from the date of opening until the end of that calendar year.
(Ord. 1491 § 1; Ord. 2274 § 2, 2006; Ord. 2279 § 2, 2007; Ord. 2280 § 1, 2007)
Owners of home-based businesses as defined by Section 40.26.150, home occupations, of the city zoning code, may receive an exemption from the assessment for each year that they qualify under one of the following:
(a)
A home-based business netting less than five thousand dollars per year; or
(b)
A home-based business in compliance with the following four conditions:
(Ord. 1635 § 2)
In the event that it can be demonstrated that the imposition of fees would create an economic hardship for a particular business, the city council may, upon appeal, reduce the basis of the fee for any business which has filed for bankruptcy. The city shall require documentation of such status to process an appeal.
(Ord. 1635 § 3)
(a)
All revenues received under this article shall be deposited by the director of the city finance department into a special fund of the city. No moneys shall be disbursed from this fund except for the purposes set forth in this article.
(b)
Each benefit zone shall be accounted for separately. The city council shall consider a recommended budget of the estimated expenditures for use of the revenues of each benefit zone on an annual basis. The city council may contract with an independent agent(s) for administration of the revenue proceeds in accordance with an approved budget.
(Ord. 1491 § 1)
Any business which is exempt from the payment of fees imposed by this article may make a voluntary contribution to the fund established for this article.
(Ord. 1491 § 1)