In order to distinguish between district businesses and for the purpose of calculating and applying the amount of assessments owed, the following definitions shall apply:
(a) 
"Billing period"
shall refer to the calendar year.
(b) 
"Calendar year"
means January 1st to, and including, December 31st of the same year.
(c) 
"Financial"
means banks, savings and loans, credit unions, etc.
(d) 
"Lodging"
businesses include inns, hotels, motels, RV Parks and other similar businesses.
(e) 
"Professional"
includes attorneys, architects, accountants, engineers, surveyors, physicians, dentists, optometrists, chiropractors and others in a medical/health service field, consultants, real estate brokers, financial advisors, laboratories (including dental and optical), hearing aid services, artists and designers.
(f) 
"Restaurant"
businesses include cafes, eating establishments, sandwich shops, dinner houses, restaurants and fast food services and other similar businesses.
(g) 
"Retail businesses"
include all businesses not covered by other definitions set out in this section, at least fifty percent (50%) of whose gross income is derived from "retail sales" as that term is defined under the California Sales and Use Tax Law. The fact that a substantial part of its business consists of sales other than retail sales does not exclude said business from this classification so long as such other business component does not account for more than fifty percent (50%) of said business' gross income.
(h) 
"Service"
businesses include general office, news and advertising media, printers, photographers, personal care facilities and outlets, entertainment uses, service stations, repairing and servicing businesses, renting and leasing businesses, utilities, vending machine businesses, household finance companies, and other similar businesses not otherwise included in subsections (a), (b), (c), (e), or (f) of this section.
(Ord. 1740 § 2, 10-5-1999)
A parking and business improvement district is hereby established pursuant to the Parking and Business Improvement Area Law of 1989, Streets and Highways Code Section 36500 et seq. The boundaries of the district and the benefit zones within the district shall be as set forth on Exhibit "A," attached hereto and incorporated herein by reference. The district shall be known as the "Santa Clara Downtown Business Improvement District" (the "district").
(Ord. 1740 § 2, 10-5-1999)
There shall be a board of directors of the district ("board") to administer the affairs of the district. Said board shall consist of businesses within the district. Within the board there shall be a president, vice-president, secretary and treasurer elected by the membership, and such other officers as deemed necessary by the board. Such other officers shall be appointed by the board of directors at their discretion. All voting within the district regarding election of board members and any actions regarding the normal and routine conducting of district business shall be based on one vote per assessed dollar, and said business must be current in payment of their district assessment(s) to participate in such votes.
(Ord. 1740 § 2, 10-5-1999)
All businesses, trades, and professions located within the district boundaries shown on Exhibit "A" shall, commencing January 1, 2000, pay an annual benefit assessment to the district in the following amounts:
Type of Business
Zone A
Zone B
Retailers and restaurants
$150.00 (1-3 emp.)
$225.00 (4-6 emp.)
$300.00 (7+)
$ 75.00
$112.50
$150.00
Service businesses
$150.00 (1-3 emp.)
$250.00 (4+ emp.)
$ 75.00
$125.00
Professional businesses
$100.00
$ 75.00
Financial institutions
$500.00
$500.00
Lodging, per complex
(bed/breakfast)
(Hotels, motels)
$150.00
$200.00
$150.00
$200.00
Note: Retail, restaurant and service businesses will be charged based upon the number of employees, either full-time or the equivalent made up of multiples of part-time employees.
(Ord. 1740 § 2, 10-5-1999)
The types of improvements and activities proposed to be funded by the levy of assessments on businesses in the district, including but not limited to the following:
(a) 
Promotion of public events which benefit businesses in the area and which take place on or in public places within the area;
(b) 
Furnishing of music in any public place in the area;
(c) 
Promotion of tourism within the area; and
(d) 
Activities which benefit businesses located and operating in the area, including but not limited to commercial shopping and promotional programs.
The assessment levied hereunder must be used for the purpose specified in this article and the proceeds shall not be used for any other purpose.
(Ord. 1740 § 2, 10-5-1999)
No person or business in the district shall be required to pay an assessment based on:
(a) 
A residential use of the property; or
(b) 
A nonprofit organization as defined by Section 501(C)(3) or (C)(6) of the Internal Revenue Service Code.
(Ord. 1740 § 2, 10-5-1999)
Any new business established within the district shall not be required to pay an assessment for the billing period during which said business is initiated. The business will have been considered initiated on the date of issuance of the business tax certificate. This waiver shall not apply to an existing business that has changed ownership or location within the district.
(Ord. 1740 § 2, 10-5-1999)
(a) 
The benefit assessment authorized by this article for Santa Clara businesses shall be billed and collected each calendar year and due on January 1st for that calendar year. City will bill and collect the assessments, at no charge to the district and forward all funds collected to the district within thirty (30) days of said collections.
(b) 
Late payment penalties shall be applied to businesses that do not provide their respective assessment payments on the dates provided for herein at a rate of ten percent per month. At such time as late payment penalties equate to fifty percent (50%) of the total annual assessment, action shall be taken to recover said delinquent assessments. Costs of this recovery shall be borne by the business owing the assessment and late penalties.
(Ord. 1740 § 2, 10-5-1999)
Contributions from businesses outside the district boundaries shall be permitted on a voluntary basis. The boundary of the district shall not be modified as a result of the contribution, nor shall said contributing business be considered a member of the district for voting or other purposes. However, said business making a voluntary contribution may be entitled to participate in the programs of the district upon a finding by the board of directors that the district derives a benefit from said business' participation in the program.
(Ord. 1740 § 2, 10-5-1999)
Pursuant to the California Streets and Highways Code, Sections 36533, 36534, 36535, it shall be necessary for the board to present an annual budget for City Council review and approval prior to the beginning of each fiscal year.
(Ord. 1740 § 2, 10-5-1999)
City specifically finds and declares that the funds derived from the district shall not be used to offset or diminish current maintenance, capital improvement programs, including but not limited to, public property and sidewalk cleaning, street cleaning and maintenance, tree maintenance, restroom cleaning and maintenance. The City declares its intent to provide at least the same level and standard of maintenance and repair of public property within the district as are available from year to year.
(Ord. 1740 § 2, 10-5-1999)
Proceeding to disestablish the district shall be initiated by the City Council following the procedures set forth in the California Streets and Highways Code, Section 36550. In the event of disestablishment of the district, remaining revenues of the district shall be refunded to paying business owners as set forth in the California Streets and Highways Code, Section 36551.
(Ord. 1740 § 2, 10-5-1999)