HomeMy WebLinkAboutRESO 9332Resolution No. 9332
Resolution of the Council of the City of Palo Alto Confirming the Report of
the Advisory Board and Levying an Assessment for Fiscal Year 2014 on
the Downtown Palo Alto Business Improvement District
THE CITY COUNCIL OF THE CITY OF PALO ALTO DOES HEREBY FIND, DECLARE,
AND ORDER AS FOLLOWS:
SECTION 1. The Parking and Business Improvement Area Law of 1989,
California Streets and Highways Code Sections 36500 et seq. (the IILaw"), authorizes the
City Council to levy an assessment against businesses within a parking and business
improvement area which is in addition to any assessments, fees, charges, or taxes
imposed in the City.
SECTION 2. Pursuant to the Law, the City Council adopted Ordinance No. 4819
establishing the Downtown Palo Alto Business Improvement District (the "District") in
the City of Palo Alto.
SECTION 3. The City Counci" by Resolution No. 8416, appointed the Board of
Directors of the Palo Alto Downtown Business & Professional Association, a California
nonprofit mutual benefit corporation, to serve as the Advisory Board for the District (the
"Advisory Board").
SECTION 4. In accordance with Section 36533 of the law, the Advisory Board
prepared and filed with the City Clerk a report entitled "Downtown Palo Alto Business
Improvement District, Annual Report 2013-2014" (the "Report"L and, by previous
resolution, the City Council preliminarily approved such report as filed.
SECTION 5. The boundaries of the District are within the City limits of the City of
Palo Alto (the "City") and encompass the greater downtown area of the City, generally
extending from EI Camino Real to the West, Webster Street to the East, Lytton Avenue
to the North and Addison Avenue to the South (east of Emerson Street, the boundaries
extend only to Forest Avenue to the South). Reference is hereby made to the map of the
District attached hereto as Exhibit "A" and incorporated herein by reference for a
complete description of the boundaries of the District.
SECTION 6. The City Council has adopted a Resolution of Intention, Resolution
No. 9329 declaring its intention to levy and collect an assessment for fiscal year 2014
against the businesses in the District.
SECTION 7. . Following notice duly given pursuant to law, the City Council has
held a full and fair public hearing regarding the levy and collection of an assessment
within the District for fiscal year 2014. All interested persons were afforded the
opportunity to hear and be heard regarding protests and objections to the levy and
collection of the assessment for fiscal year 2014 .. The City Council finds that there was
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no majority protest within the meaning of the Law. All protests and objections to the
levy and collection of the assessment and any and all protests and objections are hereby
overruled by the City Council.
SECTION 8. Based on its review of the Report, a copy of which has been
presented to the City Council and has been filed with the City Clerk, and other reports
and information, the City Council hereby finds and determines that (i) the businesses in
the District will be benefited by the expenditure of funds raised by the assessment (ii)
the District includes all of the businesses so benefited; and (iii) the net amount of the
assessment levied within the district for the 2014 fiscal year in accordance with the
Report is apportioned by a formula and method which fairly distributes the net amount
in proportion to the estimated benefits to be received by each such business.
SECTION 9. The City Council hereby confirms the Report as originally filed by the
Advisory Board. New businesses established in the District after the beginning of any
fiscal year shall be exempt from the levy of the assessment for that fiscal year. In
addition, non-profit organizations,newspapers and professional "single-person
businesses," defined as those businesses which have 25% or less full time equivalent
employees, including the business owner, shall be exempt from the assessment.
SECTION 10. The Adoption ofthis·resolution constitutes a levy of an assessment
for the fiscal year 2014 (commencing July 1, 2013, and ending June 30, 2014). The
assessment formula, including the method and basis of levying the assessment, is set
. forth Exhibit "B" attached hereto and incorporated herein by reference. New businesses
established in the District after the beginning of any fiscal year shall be exempt from the
levy of. the assessment for that fiscal year. In addition, non-profit organizations,
newspapers and professional "single-person businesses," defined as those businesses
which have 25% or less full time equivalent employees, including the business owner,
shall be exempt from the assessment.
SECTION 11. The City Council hereby declares that the proposed uses of the
revenues derived from the assessments levied against the businesses in the District are
for the following facilities and activities: The types of improvements to be funded by the
levy of an assessment against businesses within the District are the acquisition,
construction, installation or maintenance of any tangible property with an estimated
useful life of five years or more. The types of activities to be funded by the levy of an
assessment against businesses within the District are the promotion of public events
which benefit businesses in the area and which take place on or in public places within
the District; the furnishings of music in any public place in the District; and activities
which benefit businesses locating and operating in the District.
II
II
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RetaOen
and Restaurants
(100%)
Service
Businesses
(75%)
Professional
Businesses
(50%)
Lodging
Businesses
(100%)
Financial
Institutions
EXHlBITB
Downtown Palo Alto Business Improvement Distriet
, Annual BID Assessments -
ZONE A
$225.00 (Under 6 PTE employees) (50%)
$340.00 (6 to under 11 PTE employees) (75%)
$450.00 (11+ FTE employees) (100%)
5170.00 (Under 4 FTE employees) (50%)
$260.00 (4 to under 7 PTE employees) (75%)
$340.00 (7+ FTE employees) (JO(JOA,)
ZONEB
(75%)
$170.00
$260.00
$340.00
$130.00
$200.00
$260.00
EXEMPT (25% or fewer FTE employees, including the business owner) _
$ 60.00 (26% to under 1 PTE employees) (25%) $ 50.00
$110.00 (2 to 4 PTE employees) (50%) $ 90.00
$170.00 (5 to 9 PTE employees) (75%) $130.00
$225.00 (10+ FTE employees) (100%) $170.00
$225.00 (up to 20 rooms) (50%)
$340.00 (21 to 40 rooms) (75%)
$450.00 (41+ rooms) (100%)
5500.00
$170.00
$260.00
$340.00
$500.00
Note 1: For retail, restaurant, service, and professional businesses, size will be determined by
number of employees either full-time or equivalent (PTE) made up of multiples of part-time
employees. A full PTE equals approximately 2000 hoW'S annually. Lodging facilities will be
charged by number of rooms available and financial institutions will be charged a flat fee.
Note 2: Second floor (and higher) businesses located within Zone A, will be assessed the same
as similar street-level businesses located within Zone B.
Note 3: Assessment amounts are rounded to the nearest ten dollars. The minimum assesSment
will be $50.00.