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Staff Report 11219
City of Palo Alto (ID # 11219) City Council Staff Report Report Type: Action Items Meeting Date: 5/4/2020 City of Palo Alto Page 1 Council Priority: Fiscal Sustainability Summary Title: BRC Fee Waiver Resolution Title: Adoption of a Resolution Waiving the Business Registration Fee Including Late Fees for Calendar Year 2020; Adoption of a Resolution Rescinding the Levy of Assessments for the Downtown Business Improvement District (BID) for FY20; and Approval of the Reimbursement of Business Registration Fees and BID Assessments Due in 2020 From: City Manager Lead Department: Administrative Services Recommendation Staff recommends that the City Council: 1) Adopt a resolution waiving the business registration fee (Palo Alto Municipal Code Chapter 4.60) due and payable in calendar year 2020 and waiving all late fees for the 2020 collection cycle (Attachment A); 2) Adopt a resolution rescinding the approval of the levy of assessments for the Downtown Business Improvement District (BID) for FY20 (Attachment B); and, 3) Approve the reimbursement of business registration fees and BID assessments due in 2020 that have been paid by businesses. Background During the March 23, 2020 Council meeting, in response to the current public health emergency, Council approved a motion to discontinue work on the local business tax measure for the November 2020 election and to have Staff focus on the business registry certificate program with specific goals outlined. This report is in response to the goal directing Staff to consider waiving the business registration fee. Staff is also proposing rescission of the levied FY 2020 Downtown Business Improvement District (BID) assessment for the Council’s consideration. Business Registry The Business Registration Program requirements in Palo Alto Municipal Code Chapter 4.60 (commonly referred to as the “Business Registry”) apply to all businesses located in Palo Alto, City of Palo Alto Page 2 with the exception of nonprofits and businesses with less than one full-time equivalent employee, home-based or transitory businesses, a religious organization with no ancillary business on-site, businesses who relocated outside of Palo Alto in the past year, and businesses that are permanently closed. Most exempt businesses need to annually claim their exemption through the application but do not pay the fees. The $50 business registration fee is for cost recovery purposes and the $4 certified access specialist (CASp) fee is a State requirement (SB1186 and AB1379) for local jurisdictions to collect a $4 fee from new or renewal applicants for a local business license or equivalent instrument or permit. This fee is for the purposes of increasing CASp services and compliance with construction-related accessibility requirements in Palo Alto and cannot be waived by the City. Business Improvement District The Downtown Business Improvement District (BID) was established to promote the economic revitalization and physical maintenance of the Palo Alto Downtown Business Improvement District. The City contracts with Palo Alto Downtown Business and Professional Association (PADBPA) to provide services to businesses in the BID. Examples of services that have been completed and services that were anticipated for FY 2020 can be seen in Attachment C. The BID assessment is levied on and paid by businesses in the district boundary to provide these services. The assessment ranges between $50-$500 based on the location of the business in the BID, type of business, and number of employees (or number of rooms for a lodging business). The assessment schedule can be seen in Attachment C. In June 2019, Council adopted a resolution approving the annual levy of the BID assessments for FY 2020. Discussion Based on the City Council action take on March 23, 2020, staff is bringing forward the following actions: 1) Waive the FY 2020 Business Registry Fee of $50; 2) Rescind the FY 2020 BID assessment that ranges between $50-$500 depending on the business; and 3) Reimburse business registration fees and BID assessments due in 2020. Staff was in the process of issuing and collecting both the BID and BRC assessments and fees when COVID-19 began, in coordination with the City’s vendor Avenue Insights & Analytics that manages BID assessment and Business Registry application and fee collections. Invoices for both the Business Registry and BID assessment were sent to businesses in the beginning of March 2020. The collection process for both programs have been underway with the original due dates of March 31st for the Business Registry, and April 13th for BID assessments. The City Manager extended both deadlines at the end of March to June 30, 2020. Because of COVID-19 and in efforts to assist business during this time, these waivers are recommended. Rescinding the approval of the levy of assessments for the BID as well as waiving the business registration fee are included in this recommendation to further assist businesses during this time. The BID assessment can be a larger amount for many businesses in the district compared City of Palo Alto Page 3 to the Business Registry fee. With the Business Registry and BID assessment collections administered together, implementing refunds for both would not require additional resources. If the proposed resolution (Attachment A) is approved, the City would not collect the $50 registration fee from businesses due for 2020. Businesses would still pay the state-mandated $4 CASp fee, a portion of which is remitted to the State and the balance maintained in a restricted City fund. All businesses are still required to register; however, staff recognizes that with the waiver of the fee and late fees, there is potentially a disincentive for businesses to register in FY 2020. Staff will work to encourage this through other methods such as potentially requiring registry for any grant or loan assistance as part of the business support program the City Council is considering in response to the COVID-19 emergency. Providing refunds is the recommended method to waive fees for those who have already paid for the 2020 collection cycle as opposed to providing fee and assessment credits. Providing credits for 2021 was determined to be administratively too complex after consulting with Avenu Insights & Analytics, on details required for implementation. Additionally, issuing refunds as opposed to credits for the current collection cycle would make it easier to make changes, if needed, to the 2021 cycle. Additionally, if a business closes or moves, the business would not use the credit for 2021, making a refund now more useful. Refunds would be issued by mail to all those businesses that have already paid, no action will be required by these organizations to receive this refund. Businesses that are still unregistered will be encouraged to register through the available downloadable application form so that they are charged only for the $4 CASp fee before July. Also, due to resource constraints impacting Avenu Insights & Analytics’s ability to update the online registration website, all businesses who continue to register online will need to be refunded for waived fees. At this time, Avenu Insights & Analytics is unable to commit to any online changes and is putting all resources into prioritizing processing payments, disbursing funds, and providing customer support. Those who have not registered yet would be sent an application with updated fee calculation. Resource Impact Fees collected through the BID assessment are typically used by the Palo Alto Downtown Business and Professional Association (PADBPA) for programs and activities. Not collecting the BID assessment will impact the ability to fund the anticipated work for FY20 that can be seen in Attachment C. An average of approximately $76,000 is collected from a BID assessment cycle. $73,000 was collected for the 2017 assessment, the 2018 assessment was moved to 2019 to align fee collection with the Business Registry, and approximately $79,000 was collected for the 2019 assessment. Assuming no new BID expenditures for FY20, there would still be a negative available BID fund balance of approximately $65,000 by the end of FY20 and around $3,000 left available in cash if we reimbursed for 2020 assessments. There will be new expenditures for April-June for Avenu Insights & Analytics invoices for collections. The amount of the invoices depends on how many City of Palo Alto Page 4 businesses submit the combined Business Registry and BID application because there is a charge per initial application a business submits per year. Staff continues to work to confirm the expenditures that will be needed in FY20 and will return to Council, as needed, to recommend a budget adjustment to address any negative fund balance. This amount is not expected to be greater than $70,000. Staff will continue to work with PADBA to understand actual expenses, however, to the extent there is insufficient funding, a subsidy from the General Fund may be necessary to keep this fund solvent. This recommendation will also impact the Business Registry fees collected for cost recovery. For the Business Registry fee, approximately $117,000 has been collected for 2018 and approximately $110,000 has been collected for 2019. Approximately $15,000 of the total Business Registry fee collections in 2018 and 2019 were collected from of late fees. It is expected that this action will result in a loss in revenues of approximately $100,000, this is based on prior year average collections, and approximately $32,000 of which has already been collected by Avenu Insights & Analytics and will be refunded. Avenu Insights & Analytics Contract Avenu Insights & Analytics bills the City $12 per initial registry payment from each business per registry period. This will still be owed by the City to Avenu Insights & Analytics even if no registration payments are collected from businesses to defray that cost. The General Fund would need to cover this cost. The proposed plan to have Avenu Insights & Analytics issue refunds to businesses comes at no additional cost. Stakeholder Engagement The City contacted representatives of PADBPA who expressed support for not collecting the assessment for FY20. Avenu Insights & Analytics has confirmed other jurisdictions are also implementing extended timelines and/or penalty waivers for business license and certificate registrations, although no other jurisdiction has waived the fee entirely. Environmental Review The proposed actions are not a project under the California Environmental Quality Act. Attachments: • Attachment A: RESO Waiving Business Registry Fees for 2020 • Attachment B: RESO Rescinding Levy of Downtown BID Assessment for FY20 • Attachment C: Levy of Proposed FY20 BID Assessments NOT YET ADOPTED ATTACHMENT A 2020040702 1 Resolution No. Resolution of the Council of the City of Palo Alto Waiving the 2020 Business Registration Fee (Palo Alto Municipal Code Chapter 4.60), and Waiving All Business Registration Late Fees for the 2020 Collection Cycle The Council of the City of Palo Alto hereby DECLARES as follows: SECTION 1. Under the City of Palo Alto Business Registry Program (Palo Alto Municipal Code (PAMC) Chapter 4.60), Palo Alto businesses are required to annually register and submit an application for a business registration certificate, together with payment of a registration fee, which is currently $50. In compliance with state law, the City also collects with each business certificate application a $4 fee to support the Certified Access Specialist (CASp) program. SECTION 2. Due to the substantial detrimental impacts on businesses in Palo Alto resulting from the ongoing coronavirus (covid-19) pandemic and state of emergency, including the effects of the Shelter in Place public health orders still in effect, the Council desires to waive payment of the business registration fee by businesses that are otherwise in compliance with PAMC Chapter 4.60. SECTION 3. The City Council hereby authorizes and approves the waiver of the 2020 business registration fee. This waiver applies only to the $50 registration fee and not to the $4 state-mandated CASp fee which remains due and payable with each application. SECTION 4. The City Council hereby authorizes and directs the City Manager to return or reimburse any payments of the business registration fee already made by businesses for 2020. SECTION 5. The City Council hereby authorizes and approves the waiver of late payment fees for business registration fees initially due and payable in 2020. // // // NOT YET ADOPTED ATTACHMENT A 2020040702 2 SECTION 6. The Council finds that the adoption of this Resolution does not meet the definition of a project under Section 21065 of the California Environmental Quality Act and, therefore, no environmental impact assessment is necessary. INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: City Clerk Mayor APPROVED AS TO FORM: APPROVED: Assistant City Attorney City Manager Director of Administrative Services NOT YET ADOPTED ATTACHMENT B 2020040702 1 Resolution No. Resolution of the Council of the City of Palo Alto Rescinding the Levy of Assessment Against Businesses Within the Downtown Palo Alto Business Improvement District for Fiscal Year 2020 The Council of the City of Palo Alto hereby DECLARES as follows: SECTION 1. On June 24, 2019, the City Council adopted Resolution No. 9851 approving the levy and collection of the annual assessment for fiscal year 2020 (July 1, 2019 to June 30, 2020) (“FY20”) against businesses within the Downtown Palo Alto Business Improvement District (the "District"), in accordance with Ordinance No. 4819 and the Parking and Business Improvement Area Law of 1989 (the "Law"), California Streets and Highways Code Sections 36500 et seq. Resolution No. 9851 is attached hereto as Exhibit A. SECTION 2. Due to the substantial detrimental impacts on businesses in Palo Alto resulting from the ongoing coronavirus (covid-19) pandemic and state of emergency, including the effects of the Shelter in Place public health orders still in effect, the Council desires to cease collection of the levied assessment for FY20, and rescind said levy of assessment. SECTION 3. The City Council hereby rescinds the approval of levy of assessment for the District for FY20 only. SECTION 4. The City Council hereby authorizes and directs the City Manager to cease collection efforts for the District’s FY20 assessment and to return or reimburse any payments already made by businesses for FY20. // // // // // // // NOT YET ADOPTED ATTACHMENT B 2020040702 2 SECTION 5. The Council finds that the adoption of this Resolution does not meet the definition of a project under Section 21065 of the California Environmental Quality Act and, therefore, no environmental impact assessment is necessary. INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: __________________________ _____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: __________________________ _____________________________ Assistant City Attorney City Manager _____________________________ Director of Administrative Services 2019060301 1 Resolution No. 9851 Resolution of the Council of the City of Palo Alto Confirming the Report of the Advisory Board and Levying an Assessment for Fiscal Year 2020 on the Downtown Palo Alto Business Improvement District R E C I T A L S The Council of the City of Palo Alto hereby DECLARES as follows: SECTION 1. The Parking and Business Improvement Area Law of 1989, 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 Council, 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 and Professional Association Annual Report 201920 regarding the District (the Resolution No. 9851, 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 El 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. 9851, declaring its intention to levy and collect an assessment for fiscal year 2020 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 (SGY7MKR)RZIPSTI-( ') *%(% *&%% & Exhibit A 2019060301 2 within the District for fiscal year 2020. 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 2020. The City Council finds that there was 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 2020 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 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, nonprofit organizations, newspapers and professional "singleperson 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 of this Resolution constitutes a levy of an assessment for the fiscal year 2020 (commencing July 1, 2019, and ending June 30, 2020). The assessment formula, including the method and basis of levying the assessment, is set forth Ex 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, nonprofit organizations, newspapers and professional "singleperson 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 marketing activities which benefit businesses in the area and which take place on or in public places within the District; improvement and maintenance of public spaces; and activities which benefit businesses locating and operating in the District. (SGY7MKR)RZIPSTI-( ') *%(% *&%% & 2019060301 3 SECTION 12. The Council finds that the adoption of this Resolution does not meet the definition of a project under Section 21065 of the California Environmental Quality Act and, therefore, no environmental impact assessment is necessary. INTRODUCED AND PASSED: June 24, 2019 AYES: CORMACK, DUBOIS, FILSETH, FINE, KNISS, KOU, TANAKA NOES: ABSENT: ABSTENTIONS: ATTEST: City Clerk Mayor APPROVED AS TO FORM: APPROVED: Assistant City Attorney City Manager Director of Administrative Services (SGY7MKR)RZIPSTI-( ') *%(% *&%% & 233 281 327 427-453 362 370 471 459 400 451453 559563 536 526 483 468 537 505-507 519-521518-520 539541543 515-517 420 376 370 34 354 326 426 4 448 471 483 425-443 463-465 458 460 440 428426 527-533 543 551 510520 558-560 581 575 556 596 561-567 569 580 574 566 116-122 150 140 102 116 124 167 180 164 158156 151-165 200 151 115 125 135 208 228220 240-248 177 156 229 180 172-174 230-238 220-244 221-225 205 201203 209 219 221 233 235 185 165 181 250 245 171-169 222 240 278 250 251 255 271 281 300 310 301 259-267 271 281 252 270 240-248 251 337339 323317 332330 314 305 265272-278 366369 390 325 361 338 340 345 321325 315 385 365 375380 300 318-324 326 352 425 415-419 405403 499 467 459 439 425400 436-452 456 370-374 376 380-382 384-396 364 360 423 499 432 428 460-476 450 512 518 482486 496 455 400 532534 542544 470 313 334 333 325326 342 303301 336 308 310 312 316 318 311 331 315 319 317 321 335 356-360 347-367 351357 369-379360 350 379 437 412 404 407 401 411 452 360 - 1A - 1C360 - 2A - 2C360 - 3A - 3C360 - 4A - 4C360 - 5A - 5C360 - 6A 418420 482 456 477 475 467 457 453 60 505-509 513-519 460 474472 535 558 16 12 20 521 80 530-540 544-554 457451 465463 489-499 530 480 463 451 480-498 525 570568 556 550 543 515 551 555 518-528 536-540 552-554 558-562 573 A-E 591-599 557-571 568 524 550 500-528 578 564 550 546 540 530 505 525 537 555 565 571 610 600 566 579 575 565 559 604 576 566 02 600 137 111 100100 160 181 145 165 190 203 209 219 225 240 270 171 130 186 192 151 131 129 163 115 64 177 251-257 205 70 2 183 241-247 54 52 50 313-317318 542-550 532 188 190 202 206 208 210 212 216 220 302 324 340 483A - F 532 350 441 441A 230 325 420 424 430 351A 351 355A 355 359A 359 363A 363 367A 367 271 253 241 319 264 423425413 - 419 457-467 469-471473-481 328 590 507 561 536 200 150 276 127 180 345 336 321 140 350 255 260 375 560564568572 576580584588592594 423 405 352354 484 528 426 264 549 151 160 257 433-457 482 312 202 262 335 218 Alma Street Kipling Street Scott Street Ramona Street Lane 15 E CalTrain ROW Emerson Street Waverley Street Kipling Street Bryant Street Ramona Street Lane 5 E This map is a product of the City of Palo Alto GIS This document is a graphic representation only of best available sources. Legend abc Zone A (Ground Floor) - Zone B (Upper Floors) abc Zone B 0' 500' Downtown Palo Alto Business ImprovementDistrict Area MapP a l o A l t oT h e C i t y o f 6 The City of Palo Alto assumes no responsibility for any errors ©1989 to 2012 City of Palo Alto rrivera, 2012-04-30 16:57:54CPA BID (\\cc-maps\gis$\gis\admin\Personal\rrivera.mdb) )<,-&-8 %DocuSign Envelope ID: 722301CE-08FA-4D20-A260-9FB505AA68B4 DocuSign Envelope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ity of Palo Alto (ID # 10315) City Council Staff Report Report Type: Action Items Meeting Date: 6/24/2019 City of Palo Alto Page 1 Summary Title: Downtown Palo Alto Business Improvement District Title: PUBLIC HEARING: to Hear Objections to the Levy of Proposed Assessments on the Palo Alto Downtown Business Improvement District; Adoption of a Resolution Confirming the Report of the Advisory Board and Levying Assessments for Fiscal Year 2020 on the Downtown Palo Alto Business Improvement District and Adoption of a Budget Amendment in the Business Improvement District Fund From: City Manager Lead Department: City Manager Recommendation 1.Hold a public hearing on the levy of proposed assessments in Fiscal Year 2020 in connection with the Downtown Palo Alto Business Improvement District (BID); and 2.Approve the resolution (Attachment B) confirming the report of the Advisory Board and levying an assessment for Fiscal Year 2020 on the Downtown Palo Alto Business Improvement District. 3. Amend the Fiscal Year 2020 Budget Appropriation Ordinance for the Business Improvement District (BID) Fund by: a. Decreasing the revenue estimate by $52,500; and, b. Decreasing the expense appropriation by $60,500; and, c.Increase the ending fund balance by $8,000. Background On June 3, 2019, the Council preliminarily approved the BID Advisory Board’s 2020 Annual Report and adopted a Resolution of Intention to Levy Assessments in the BID for Fiscal Year 2020, setting a date and time for the public hearing on the levy of the proposed assessments for June 24, 2019, at 6:00 PM, or thereafter, in the City Council Chambers (link to staff report). The City contracts with Palo Alto Downtown Business and Professional Association (PADBPA) to provide services to businesses in the BID. (A copy of the contract between the City and PADBPA is attached as Attachment F). PADBPA addresses issues facing downtown businesses such as cleanliness, safety, and attractiveness. PADBPA also assists downtown businesses with Attachment C City of Palo Alto Page 2 communication about the City’s capital improvement projects such as Upgrade Downtown, the new parking garage, mobility projects and other City policy matters affecting downtown businesses. Assessments for BID businesses are based on the size, type and location of the business. Assessments range from $50 for individually owned professional businesses to $500 annually for financial institutions. The BID was established by the City Council in 2004 pursuant to the California Parking and Business Improvement Area Law to promote the economic revitalization and physical maintenance of the Palo Alto Downtown business district. The Council appointed the Board of Directors of PADBPA, a non-profit corporation, as the Advisory Board for the BID. The Board’s purpose is to advise the Council on the method and basis for levy of assessments in the BID and the expenditure of revenues derived from the assessments. PADBPA in its capacity as the BID Advisory Board has monthly open meetings governed by the Brown Act which any business or individual can attend. After an initial 10-year term, running from 2004 to 2014, the agreement between the City and PADBPA has been renewed annually for a one-year period through approval of the Annual Report (subject to termination by either party on 90 days written notice). If Council declines to approve PADBPA’s Annual Report as filed, Council may propose amendments to PADBPA’s budget and proposed activities for FY 2020. If the Council proposes modifications to the Annual Report, the agreement between the City and PADBPA provides that final approval should be stayed for a period of up to 30 days to provide time for PADBPA to respond to Council’s concerns and for City staff and PADBPA to confer. Discussion The PADBPA Annual Report is attached and provides a summary of activities from Fiscal Year 2019 and presents the proposed activities and budget for Fiscal Year 2020. The PADBPA Annual Report includes $104,500 in revenue and a corresponding amount of expenses. Included in this amount is an expense appropriation of $17,000 for the cost of collecting the BID assessments. In FY 2019, the City’s General Fund covered these costs. The FY 2020 budget also proposes the City’s General Fund continue to cover collection costs through an operating transfer of $17,000 in order to ensure that all revenues generated by the assessment are committed to the goods, services, and programs that serve businesses within the boundaries of the BID. In future years, staff anticipate the BID Fund will be able to pay for these costs as a result of operational adjustments and more effective collection efforts. PADBPA will explore operating models in the coming year in order to determine the most sustainable operating model that will allow PADPBA and the BID to serve the downtown business community now and into the future. BID fee collection has been conducted by MuniServices, LLC for the last several years. To save costs, streamline efforts and provide businesses with one annual invoice, PADBPA and city staff aligned the BID and Business Registry Certificate (BRC) fee collection timeline. In Fiscal Year 2019, the BID invoice was sent in late April along with the BRC invoice to businesses within the BID boundaries. Through this streamlined collection process, the City anticipates increased City of Palo Alto Page 3 revenue. In FY2020, the City plans to identify means and methods to further enhance collection of the assessment in order to increase revenues. Absent a majority protest at the public hearing, the Council may adopt the attached resolution approving the report for Fiscal Year 2020 as filed or as modified by the Council at the conclusion of the public hearing. (As noted above, if PADBA requires time to respond to any modification, the Council action would be deferred.) The adoption of the resolution constitutes the levying of the BID assessments for Fiscal Year 2020. Resource Impacts At the timing of the development of the FY 2020 Budget the assessments and proposed PADBPA budget for the BID was not yet available. For budgeting purposes staff maintained FY 2019 funding levels, pending the submission of the PADBPA Annual Report for City Council review and approval. The action recommended in this report will amend the FY 2020 Budget to align the revenue and expense appropriations to $104,500, as outlined in the 2019-2020 PADBPA Annual Report. This amount assumes a $17,000 transfer from the General Fund to the BID Fund in FY 2020 for the cost of collecting the BID assessments, which was recommended as an amendment to the FY 2020 Proposed Budget at the May 28th, 2019 Finance Committee meeting. The FY 2020 Budget, including budgetary actions for the General Fund transfer and corresponding expense appropriation is scheduled for adoption by the City Council on June 17th, 2019. Adoption of the proposed BID budget does not impact City revenue. BID assessments are restricted for use exclusively by the BID. A healthy BID will encourage vitality in the retail community and consequently result in additional sales tax revenue for the City. Staff time from the City Manager’s Office and Development Services Department will be utilized to provide oversight to the BID, administer the contract with MuniServices, liaise with stakeholders and prepare the annual reauthorization. The Attorney's Office will continue to provide legal oversight to the BID during the annual reauthorization process. Attachments: • Attachment A - Annual Report • Attachment B - Resolution Confirming Report and Levying Assessment for Downtown Business Improvement District Fiscal Year 2020 • Attachment C - Exhibit A - BID Map • Attachment D - Exhibit B - BID Fee Schedule • Attachment E - BID Agreement Attachment A – PAD Annual Report 2019-2020 2 Introduction This report from the Advisory Board of the Palo Alto Downtown Business & Professional Association (“PADB&PA”) was prepared for City Council to review for the annual reauthorization of the Downtown Palo Alto Business Improvement District (“BID”) pursuant to Section 36533 of the Parking and Business Improvement Law of 1989 (Section 36500 and following of the California Streets and Highways code) (the “Law”). This report is for the proposed fiscal year for the BID commencing July 1, 2019 and ending June 30, 2020. (“Fiscal Year 2019-20”). As required by the Law, this report contains the following information: I. Any proposed changes in BID boundaries and benefit zones within the BID; II. The improvements and activities to be provided for Fiscal Year 2019-20; III. An estimate of the cost of providing the improvements and the activities for Fiscal Year 2019- 20; IV. The method and basis of levying the assessment in sufficient detail to allow each business owner to estimate the amount of the assessment to be levied against his or her business for Fiscal Year 2019-20. V. The amount of any surplus or deficit revenues to be carried over from a previous fiscal year. VI. The amount of any contributions to be made from sources other than assessments levied pursuant to the Law. Submitted by Brad Ehikian, Chair of the Advisory Board (“Advisory Board”) of the Palo Alto Downtown Business & Professional Association (“PADB&PA”). The Advisory Board approved this report on May 8, 2019. Received on file in the Office of the City Clerk of the City of Palo Alto on May 8, 2019. The Immediate Future Upon the departure of the Executive Director in June of 2018, the Palo Alto Business and Professional Association Board of Directors developed several forward-looking scenarios, which are described below in no particular order: 1. Replace the existing full time Executive Director position with another full-time Executive Director 2. Replace the existing full-time Executive Director position with a part-time Executive Director 3. Form a partnership with the City of Palo Alto, in which the City would provide some administrative support and the PADBPA board would provide guidance of downtown programs and improvements 4. Form a partnership with the Palo Alto Chamber of Commerce in which the Chamber would provide administrative support and the PADB&PA board would provide leadership and funding for downtown improvements and programs 5. Do not have paid staff, use assessments to fund projects in the downtown that would support retail businesses PADB&PA proposes to use the next year to thoroughly assess these options in order to determine which model is the most sustainable. This assessment will include identifying the goals of the BID and PADB&PA, understanding the revenue generation and expenses of each 3 model, the impact of each model on achieving the stated goals, and the feasibility of each model in the local context. During the coming months it is the board’s intention to pursue and engage in a consultative approach to determine the most appropriate course of action. At the same time, we will continue identifying and executing programs, special projects, and partners that can enhance the downtown experience. Historical Perspective PADB&PA’s takes great pride in the programs and services that it has contributed since inception. Several are listed here: • Creation of the Downtown Streets Team (PADB&PA started the effort in 2005) with continued support through 2019 • Display of American Flags during national holidays ( began in 2012) and continues to present. • Holiday Tree Lighting (this program was brought back in 2011 after a long hiatus.) • “Art” benches and replacement of the over twenty year old utilitarian benches (these programs were initiated with both Public Works and Public Arts in 2015.) • Free summer concerts (began in 2013) and continued through 2018 • Increase the frequency of steam-cleaning sidewalks, replacement of trashcans and increase in patrols of the parking garages (all programs initiated by PAd in conjunction with Public Works, PAPD, Downtown Streets Team and the Parking Assessment District.) • Streetlight banner program branding and promoting downtown as a great destination (began in 2012) and continues to present • Collaborated on “No smoking” ordinance and “no amplified music” ordinance (both initiated in 2014) • Lytton Plaza umbrellas and new foliage (partnership with the PAd, City and the Friends of Lytton Plaza, beginning in 2014) and continues to present. • University Avenue Tunnels repainting. ( initiated and completed in 2013) • Additional partnerships between the City of Palo Alto and the business community for communications about encroachment permit enforcement, downtown infrastructure improvement impacts, Residential Permit Parking issues, TMA, World Music Day and other street closure events. PADB&PA’s contribution illustrates the ongoing benefit of an organization dedicated to enhancing the quality of life for residents and patrons of Downtown Palo Alto. Further accomplishments for Fiscal Year 2019 are listed below in the Annual Report. 4 Section I: BID boundaries and Benefit Zones There have been no changes in the BID boundaries or benefit zones within the BID and no changes are proposed. The current boundaries are depicted on the map below. The area of the BID is referred to as “Downtown.” 934-944 927 932 233 281 933-937 943 327 1001 942 469 475 744 459 832 801 APT 1-5 427-453 920 912 362 370 900 838 846 471 459 835-855460 815 840836 834 845 400 803 928930 931933 835-837 831-833 451453 802800 810-816 818-820 828-830 817-819 823-825 567-569 559563 536 526 1001 1011- 540 483 904 912 468 918 926 537 965-971505-507 519-521 939-945 931-935 923-925518-520 539541543 515-517 809811 420 1001 1011 1010 376 370 980960 990 34 354 326 426 4 1000 448 944 471 483948952 959947925 915 933935 425-443 451449 463-465 936-940 458 460 440 428426 527-533 543 551 510520 558-560 903 825 837 581 575940934 813-823 501-509 511-519 521-529 531-539 541-547 556 596 904 926 561-567 569 845 580 574 566 991- 997 136 610 116-122 150 535529525 542516140 102 116124 163 145 566556 167 528 643635 635 645- 685 660-666 620 180 164 158156 624628 632636640 644 617621 151-165 171-195 203 642640636 200 151 115 125 135 514 101 440 444 436432 427 425 117119 630616 208 228220 240-248 575 530-534 536540 552 177 156 201209215 225 595 229231 611-623 180 508500 625-631 170172-174 542544 538- 542 552548546 541- 547 230-238 734 723 721 702-730220-244 744 701 731 755757 771 200 160 728-732 762- 776740-746 250 275 270 255741 265 724 730 651 221-225 227 668 707 205 201203451449 209219 221 233235450460470442444 400 420 430 411 425 429 185 165 181 412 250 420 245 171-169 441-445 435- 439 346344 333335 342 344 431 460 450 235530 220 220 B 222 240 514278 274270 250 545 540 251485255 271 281 300310 301 581 259-267 533535537 261 267 518-526 532-536 520-526 530-536 271 281 252 270 240-248 202- 216 228226 234238 244242 210-216 228-234 223-229 209215 247-259 240 232230 311-317 251 344326340 337339 323317 400 420 332330 314 353 355 367 305 347 265272-278 418 319 321-341 328 330 300- 310 431401 366 436 426 #1-7 369 335 319 390 301 315 375 307-311 325330 332 1&2330 1-3 324 326316 318 373- 377 416- 424 361 338 340 560 345 321325 315 529 285 555 650636 628 1-12 628 A-E 385 365 375380 345 664 325650-654 661635300 690 675 555541-549533 535- 539 318-324 326 352 425 439-441 435429425 415-419 405403453 461 383460 502 510 526 520 540 499 467 459 439 425 555 400 436-452 456 379 370-374376 380-382 384-396 550-552 364 360 431 440-444 423 499 475 421-423 431-433 432428 460-476 450 635 446 430 400 745 720706 385744734 724-730 720712704 360 351 315737 332 300 653 -681 683685 512 501619 609605 518 482486496 610 630 455 400 651-687 543-545 532534 542544 550 552 554556 558560562564 635-6 643-6 470 313 334 333 325326 342 303301 229 336 308 310312 316 318 311 331 315 319 317 321 335 228220 356-360 347-367 351357 369-379360 258- 296 350 210204 302-316 379310 320 328 332 340 437 412 311 A-B 404 313 325 327 333 407401385 411 452 378-390 360 - 1A - 1C360 - 2A - 2C360 - 3A - 3C360 - 4A - 4C360 - 5A - 5C360 - 6A 344-348 418420 482 328 456 321 325 330204218 236 240 250- 252 477 475 467 457 453249235 225221 201 60 275505-509 239- 243209-213 210-214 513-519 460 474472228- 230 535 558 201 1612 20 209 215 223 231 521 80 239-245 530-540 544-554 212- 216 218-222 333 335-337 351 457451 465463 489-499360 530 480 420 430 480 463 451443437411405 419405401 441 480-498 347 351 355 359 525 430 473 332-342 425415 400 570568 556 550 543 327321315305 343 515 525 551 555 328 309-311 518-528 536-540 552-554 558-562 573 A-E 591-599 557-571 330-332 318-320 406-418 417 542548568 524 550 500-528 578 564 550 546 540 530 531-535 541 505 525 537 555 565 571530 619-6 520 440-446 579 567 523610 600 555 581 420-438 437 566 224 228 A-F 244 579 575 565 559 251 355 A-J 335329604 576 566 345-347 243245 25725920921922723502 505 610-616 727 678 676 674672 642 636-638 567 555 711 701705 725 525 759 730718 734 738-740 760 746-750 701 721-7 600 827 835 899 850 530 609 759 7517537737-62611 601 600 1013 10041000 1006 1001 623 137 145 700 780 790 744 111700 753100 825805 33 51 75 63 841 44675 49 41 711 799 703 100 101 139654 625 160 1001 1005 1009 1010 1004 930 975945929931 948 181 940 960 145900 955 999875 853 925 81 855 901-907 909 87 98 917 921 925 735 849 707 847 842828 820248 230-232 212 825 829833 839 800 812818 882 165831 801 815 809801 841 791153 718 774 761 795745 201 209 834836 845 895 926 190 934 942 948 203 209 219 225 929200 240 904 910 926 270 935 904 909 909A 217 222 148 171 421 130 312 318 324 317 301 186 192 323 329 151 325 329 334 131129 355301 235 258 212 163 115 291247 210 201207 64 202 235 251249 252 247 244 250 177220 261 251-257 205245231225213205 70 2 206 234240 183 251 270 241-247 215-237 210- 216 219 235 62 202 245 5452 50 203 215 221 313-317318 220-224 238 542-550 531-539 532 759 223-239 905 911-917907 188190 251-293 202 206 208 210 212 216220 1008 275 539 201 400 27 168 865857 302 324 340 795 848 918 903 903A 408412 440 483A - F 435 751 735 745 532 210 727 733 335 328 330 345 214 350 800 806 441441A 230302306308312316 301 303 305307309 325 251 807 821 829 801 818-824 420 424 430 832A 832 842A 842 852A 852 862A 862 872A 872 351A 351 355A 355 359A 359 363A 363 367A 367 425 911 943 951 918 936 940 944 271 253 241 301 319 919A 919 935 949 928 936 940-946 353 264 367 361 310 1005 1010 423425413 - 419 457-467 469-471473-481 454 729 A-D 733-743 734-740 724-732 936 824-828 920 949 943941 715 95 445 324 328 545 590 425447 827 565585595 904 315 507 561 706 536 200 100 280-290 150 158164 276 516 698 161 159 157777 132 127 180 528 120 247 372 524 548550 538 152 345 336 515 658 227 27 29 539 115 135 321 558 #200-202 558 #C & D 965 140 350 808 915 461 435433 945 1012 421 727 A-C 218 255 206 739 260 840 650 642 351 451 551 375 530 643 415 12 700 802 99 89 87 901 560564568572576580584588592594 906908 910 912914 916 918920 922924 548 423 668 901 305 -313 423 405 352354 611 320322 346 323 471 484 528 426 264 430 1001 508 756 - 760 940 930 544546 515 7 7457 549 211213 151 160 257 433-457 482 330 349 401 539 440 691 755 67 312 202 651 443445 447 716 218 398 998 262 335 218 640-646506 327 469 303 401 403 254 401 91 40 101 819 301 725 595 705 541 Quarry Road Homer Avenue Lane 8 West Medical Foundation Way Lane 7 West Lane 7 East Encina Avenue El Camino Real Urban Lane Wells Avenue Forest Avenue High Street Emerson Street Channing Avenue Alma Street El Camino Real Mitchell Lane Everett Avenue Lytton Avenue Lane 15 E High Street Alma Street Bryant Street Lane 6 E Lane 11 W Lane 21 High Street Gilman Street Hamilton Avenue University Avenue Bryant Court Lane 30 Florence Street Kipling Street Tasso Street Cowper Street Everett Avenue Waverley Street Cowper Street Webster Street Everett Court Lytton Avenue Lane A West L L La Addison Avenue Forest Avenue Downing Lane Homer Avenue La Lane 39 Lane 56 Hamilton Avenue Webster Street Waverley Street Kipling Street Bryant Street Ramona Street Addison Avenue Scott Street Webster Street Cowper Street Addison Avenue Channing Avenue Ramona Street Paulsen Ln Lane 15 E Lane 20 W Lane 20 E University Avenue CalTrain ROW Emerson Street Waverley Street Kipling Street Bryant Street Ramona Street Palo Road ay Pear Lane Lane 12 W Lane 5 E Everett Avenue Homer Avenue Emerson Street talm D riv e Alma Street Lytton Avenue This map is a product of the City of Palo Alto GIS This document is a graphic representation only of best available sources. Legend abc Zone A (Ground Floor) - Zone B (Upper Floors) abc Zone B 0'500' Downtown Palo AltoBusiness ImprovementDistrictArea Map CITY O F PALO A LTO IN COR PORAT E D CALIFOR NI A P a l o A l t oT h e C i t y o f APRIL 16 1894 The City of Palo Alto assumes no responsibility for any errors ©1989 to 2012 City of Palo Altorrivera, 2012-04-30 16:57:54CPA BID (\\cc-maps\gis$\gis\admin\Personal\rrivera.mdb) EXHIBIT A 5 Section II: Improvements & Activities Downtown Palo Alto is a far different place than it was when the organization was founded in 2004. Downtown is a dynamic, entrepreneurial neighborhood that boasts clean and safe walkable streets, a well balanced confluence of small, medium and large businesses and an almost even balance of independently owned retail and restaurants operating along side national chains. It is a globally recognized mecca for innovating the social and the technical. However, we are currently noticing difficulty in attracting retail businesses. We have heard from several sources that retail spaces are not filling due to lack of parking, the tenant improvement process and higher than anticipated rent. Restaurants are also suffering due to the increased number of restaurants at the Stanford Shopping Center competing for our business. Several restaurants have closed while others have reduced hours. Despite these challenges, PADBPA operate a number of programs and activities in the past year. 2018-19 Programs that help the public good as well as members: • Spearheaded the effort on the systematic replacement of downtown benches to both enhance the esthetics of downtown and inhibit loitering. A combination of a more utilitarian bench design along with a small variety of artful benches have been installed, this in partnership with City of Palo Alto Public Works Division and the Public Arts Commission. Funding to keep and maintin these benches has been secured through a partnership with the Arts Commission and the Public Utilities Department. This project is complete. • Worked with a variety of city staff to help communicate and mitigate the impacts of downtown construction related to the Upgrade Downtwon Utilities project. • Initiated a plan to partner with Zero Waste to enhance the cleanliness of the alleyways throughout downtown. • Designed and managed the downtown lamppost banner program which provided Holiday, Spring and Summer banners along University, Lytton and Hamilton as well as site specific banners for Bryant, Emerson, Waverly and Ramona as well as Lyton Plaza. Downtown now has compiled a library of banner designs that can be used in years to come. This brand building program continues to promote downtown as the special place it is. No new banner designs are planned for 2019-20. • Initiated, developed, managed and promoted the 6 week long Summer concert series, “Music On the Plaza” including the development and design of social media, web and print efforts as well as raising the $20K in sponsorships needed to execute the series. We have moved the series to Lytton Plaza and closed a small section of Emerson to accommodate staging in order to accommodate partipants. This move resulted in larger crowds and even larger crowds are anticipated this year. Continuing the series in 2019- 20 is under consideration but not likely given the absence of leadership. • Partnered with the Friends of Lytton Plaza and the City of Palo Alto to maintin umbrellas, foliage, public art and banners to the plaza to enliven and soften the hardscape of the plaza. Further efforts will continue in 2019-20. • Initiated a comprehensive review of all newsrack conditions. Provided City Engineering staff with this report. Met with other municipalities to compare those city’s newsrack ordninaces in order to make recommendations regarding how to refine our current ordinance. 6 Looking ahead to Fiscal Year 2019-2020 As previously stated, PADBPA and the City will work together to identify and implement a sustainable operating model for both PADBPA and the BID Fund. While the strategic planning is underway, PADBPA will continue programs and activities that benefit the businesses within the BID boundaries. These programs and activities include: • Improvement and maintenance of public spaces, including public plazas, streets, and sidewalks; • Acquisition, construction, installation or maintenance of physical property intended to improve the public spaces of downtown; • Collaborating with the City to redesign and refresh the public newsracks; • Marketing activities, including the downtown banner program and consideration of events to promote and market downtown Palo Alto; • Activities and programs that benefit the member businesses. 7 Section III. Budget for 2019-20 The total funds available for activities for this fiscal year are estimated to be $104,500. The budget for providing the activities is set forth as follows: BID 2019/20 Budget INCOME Total Non-Assessment Sources Assessments $112,500 Allowance for Uncollectible Assessments ($25,000) Other Revenue $0 $0 City of Palo Alto $17,000 $17,000 TOTAL INCOME $104,500 EXPENSES Operating Expenses Staff Salaries Executive Director Salary - Part Time $35,000 Payroll taxes and expense $3,500 Invoicing $17,000 $17,000 Office Supplies & Expenses $150 Internet/Website/ Phone Maintenance $1,000 Reauthorization Advertising $2,690 Audit-Tax Returns $6,500 Legal $1,000 $1,000 Insurance - Liability $2,300 Nominating $1,500 Contingencies $500 Subtotal -- Operating Expenses $71,140 $35,000 Programs, Marketing and Events Banners $1,000 Location Specific Banners $0 Outreach & Communication $0 Downtown Streets Team $3,000 District Opportunity Reserve $29,360 Subtotal --Programs, Marketing & Events $33,360 $35,000 Total Expenses $104,500 8 Section IV: Method and Basis of Levying the Assessment Cost Benefit Analysis / Bid Assessments The method and basis of levying the assessment is provided in sufficient detail to allow each business owner to estimate the amount of the assessment to be levied against his or her business for Fiscal Year 2018-19 and is not changed from the FY 2019-20 assessment. There have been no changes made to the Cost-Benefit Analysis or to the BID Assessments since they were approved by City Council on February 2, 2004. Any change to the assessment would require a formal vote of all businesses in the district. We are confident that our reasonable apporach to this subject is thoughtful and well valued. The method of calculation used to determine the cost and benefit to each business located in the BID is described below. The BID assessments are based on three criteria: the type of business, the location of the business and the size of the business. It has been consistently demonstrated that the typical BID program places a higher priority on activities such as commercial marketing. As a result, the retail and restaurant establishments in the BID are assessed more than service and professional businesses in the district. While service-oriented businesses benefit from a BID less than retailers and restaurateurs, they benefit more than professional businesses such as medical, dental, architectural, consultant and legal offices with their minimal advertising and promotion needs. For these reasons, various business types are assessed according to the benefit that they receive from the BID, as follows: ➢ Retail and Restaurant 100% of base amount ➢ Service 75% of base amount ➢ Professional 50% of base amount Exceptions to this rule include financial institutions that are traditionally charged a flat rate regardless of location or size and lodging businesses that are typically charged by total rooms. The location of a business also determines the degree of benefit that accrues to that business. Centrally located businesses tend to benefit more, as do businesses located on the ground floor. For this reason, A and B benefit zones have been identified for the BID. In Palo Alto, Zone A benefit businesses are assessed 100% of the base benefit assessment while Zone B businesses are assessed 75%. A third criterion is used in the BID to determine benefit. This criterion, the size of the business, takes into consideration the number of full time employees employed by the business. Please refer to Attachment 1 for a more complete understanding of the application of these three variables to establish BID benefit. Attachment 2 is the BID assessment for each business located within the BID boundaries. Applying the criteria identified in Attachment 1, a summary of the assessment that applies to each business by size, type and location is outlined. In addition to the Cost-Benefit Analysis, the assessments include the following criteria: 9 ➢ An exemption for “single person professional businesses” that have 25% or fewer full time equivalent (“FTE”), including the business owner. This covers employees who work less than 10 hours a week (based on a 40 hour work week; an FTE equals approximately 2000 hours annually) ➢ An assessment specifically for “single person businesses” that have 26% FTE to 1 FTE in the professional business category of the BID (An FTE equals approximately 2000 hours annually) ➢ The tiering of other professional businesses by size based (according to benefit) on the “single person business” criteria This outline provides information by which a business can determine its annual assessment based on objective criteria. Except where otherwise defined, all terms shall have the meanings identified below: Definitions of Business Types in the Downtown Business Improvement District Retailers and Restaurants: Businesses that buy or resell goods such as clothing stores, shoe stores, office supplies as well as businesses that sell prepared food and drink. Service Businesses: Businesses that sell services such as beauty or barber shops, repair shops, most automotive businesses, dry cleaners, art and dance studios, printing firms, film processing companies, travel agencies, entertainment businesses such as theatres, etc. Hotel and Lodging: These include businesses that have as their main business the lodging of customers. This is restricted to residential businesses that provide lodging services to customers for less than 30 days. Professional Businesses: Businesses that require advanced and/or specialized licenses or academic degrees such as architects, engineers, attorneys, chiropractors, dentists, doctors, accountants, optometrists, realtors, insurance brokers, venture capital firms, consultants, advertising and marketing professionals and mortgage brokers and similar professions. Financial Institutions: Includes banking, savings and loan institutions and credit unions. Additional clarification on business definitions will be defined according to Section 18.04.030 (Definitions) of the Palo Alto Municipal Code. The Advisory Board recommends that the following businesses be exempt from the BID assessment: ➢ New businesses established in the BID area following the annual assessment for the year in which they locate in the BID area ➢ Non-profit organizations ➢ Newspapers ➢ “Single person professional businesses” that have 25% or less FTE, including the business owner 10 Section V: Revenue Deficit The Assessment calculated shall be paid to the City no later 30 days after receipt of the invoice with the amount of the annual assessment sent by the City. A second notice will be mailed as a reminder to businesses that have not remitted payment by that date. Late payment will be subject to a 10% late fee. Expected expenses for the remainder of FY 2019 are as follows: Operating Expenses Staff Salaries $0 Invoicing $17,000 Office Supplies & Expenses $0 Internet/Website/ Phone Maintenance $0 Reauthorization Advertising $2,690 Audit-Tax Returns $6,500 Legal $1,000 Insurance - Liability $2,300 Nominating $0 Contingencies $0 Subtotal -- Operating Expenses $29,490 Programs, Marketing and Events Banners $0 Location Specific Banners $0 Outreach & Communication $0 Downtown Streets Team $0 District Opportunity Reserve $0 Subtotal --Programs, Marketing & Events $0 Total Remaining Expenses $29,490 Section VI: Non-assessment Income: It is estimated that $1,000.00 will be raised in fundraising, and sponsor support. Additionally, we anticipate in kind contribution towards expenses for fiscal year 2019-20. Projected Additional/In-kind Income for Fiscal Year 2019-20 Legal (donation) $1,000 Banners $0 Summer Concert Series $ Events $0 Total $1,000 11 Section VI: PADB&PA Board of Directors by Business Type Retailers and Restaurants Georgie Gleim, Gleim the Jeweler Jill Bibo, McRoskey Mattress Rob George, Lemonade Jeff Selzer, Palo Alto Bicycles Nancy Coupal, Coupa Cafe Hospitality Barbara Gross, Palo Alto Hotel Council Stephanie Wansek, Cardinal Hotel Financial Institutions Ali Agah, Boston Private Bank & Trust Company Katie Seedman, Presidio Private Bank and Trust Professional Organizations Brad Ehikian, Premier Properties Patty McGuigan, Cornish & Carey Commercial Non Profit Organizations [vacant], Downtown Street Team COMMUNITY PARTNERS Palo Alto Chamber of Commerce Judy Kleinberg, President & CEO Downtown Streets Team Eileen Richardson, Executive Director City Of Palo Alto Greg Tanaka, Palo Alto City Council Liaison Michelle Flaherty, Deputy City Manager, City Manager’s Office Rachael Tanner, Assistant to the City Manager, City Manager’s Office ATTACHMENT 1 A General Statement Regarding Cost-Benefit Analysis For BID Businesses Using The Traditional Three Criteria Formula Criteria 1) Type of Business: Statement Concerning Cost-Benefit Formula For BID Businesses Regarding Type Of Business: In a review of 200 California Business Improvement Districts, it is consistently demonstrated that the typical BID Program places a higher priority on Commercial Marketing Programs than on Civic Beautification and Commercial Recruitment Programs. With that trend in mind, retail and restaurant businesses, with their emphasis on, and need for, commercial marketing, are traditionally assessed more than less marketing-sensitive service-oriented or professional-oriented businesses. However, while service-oriented businesses benefit from a BID less than retailers and restaurateurs, they benefit more, (from commercial marketing programs), than professional businesses such as medical, dental and legal offices with their minimal advertising and promotion needs. Therefore, set forth below, is an example of how various business types might be considered regarding the computation of the annual benefit assessment. • Retail and Restaurant: 100% of base amount • Service: 75% of base amount • Professional: 50% of base amount Exceptions to this rule include financial institutions that are traditionally charged a flat rate regardless of location or size and lodging businesses that are typically charged by total rooms. Lodging businesses are assessed based on the total number of rooms because it is a more equitable manner of determining size. Many lodging businesses have many part time employees, but revenues are based on the room occupancies of the hotel, not the goods sold or serviced provided by employees. Criteria 2) Location of Business: Statement Concerning Cost-Benefit Formula For BID Businesses Regarding Location of Business: It has also been consistently demonstrated that the more centrally located businesses tend to benefit from BID activities and services to a greater degree than businesses located toward the periphery of the proposed BID boundaries. Events and activities tend to originate in the central core of the Downtown area and spread benefit to the outer areas with diminishing energy and impact, much like the ripple effect of a stone tossed into a body of calm water. Furthermore, ground floor businesses tend to benefit to a greater degree than businesses located in upper floors. Therefore, in some cases, a new BID's annual benefit assessment formula also takes these street level criteria into account. As mentioned above, special events, fairs, festivals and other activities tend to take place within, or along, the Main Street core rather than in the areas at the periphery of the Downtown core. Additionally, BID- sponsored seasonal decorations, public art projects, street banners and street furniture tend to be located within the immediate core area. Therefore, businesses located within the most central area of the proposed BID are considered to be within "Zone A" which should be considered the primary benefit zone. There is typically a "secondary zone" or "Zone B" within most proposed BID areas. This area receives less benefit than Zone A and should be assessed accordingly. An example of how different zones might be treated regarding the computation of the annual benefit assessment is as follows. • Zone A: 100% of base benefit assessment • Zone B: 75% of base benefit assessment In the case of Downtown Palo Alto, it is recommended that all Zone A upper floor businesses, as well as any other businesses located at the periphery of the proposed BID, be considered as Zone B businesses. Please refer to the map in Attachment I. Criteria 3) Size of Business: Statement Concerning Cost-Benefit Formula For BID Businesses Regarding Size of Business: In approximately 50% of newly established BIDs, a third assessment criterion is used. This criterion involves the size of each individual business that is based upon the businesses’ total number of full-time employees. Full-time employees are those working a total of 2,000 hours per year. Part-time employees are grouped into full-time job positions, i.e., two half-time employees total one full-time. Fractions are rounded down to the nearest whole number with no less than one person as a minimum for business. An example of how various business sizes might be treated regarding the computation of the annual benefit assessment is as follows: Retail/Restaurants Service Businesses Small 50% of base amount Under 6 FTE* Under 4 FTE Medium 75% of base amount 6 to under 11 FTE 4 to under 7 FTE Large 100% of base amount 11 or more FTE 7 or more FTE * FTE = full time employees Additionally, an exemption was established for “single person professional businesses” that have 25% or less FTE, including the business owner. This covers employees who work less 10 hours a week (based on a 40 hour work week) Since “single person businesses” that have 26% FTE to 1 FTE in the professional business category of the BID benefit the very least from the assessment, their assessments have been tiered by size based (according to benefit) on the new “single person business” criteria. ATTACHMENT 2 Downtown Palo Alto Business Improvement District Annual BID Assessments ZONE A ZONE B (75% of Zone A amount) Restaurants & Retailers Under 6 FTE (50% of base amount) $225 $170 6 to under 11 FTE (75% of base amount) $340 $260 11 or more FTE (100% of base amount) $450 $340 Service Businesses Under 4 FTE (50% of base amount) $170 $130 4 to under 7 FTE (75% of base amount) $260 $200 Over 7 FTE (100% of base amount) $340 $260 Professional Businesses 25% or fewer FTE, including owner (0% of base amount) Exempt Exempt 26% FTE to under 1 FTE (25% of base amount) $60 $50 2 to 4 FTE (50% of base amount) $110 $90 5 to 9 FTE (75% of base amount) $170 $130 10+ FTE (100% of base amount) $225 $170 Lodging Businesses Up to 20 rooms (50% of base amount) $225 $170 21 to 40 rooms (75% of base amount) $340 $260 41+ rooms (100% of base amount) $450 $340 Financial Institutions $500 $500 Note 1: For retail, restaurant, service, and professional businesses, size will be determined by number of employees either full-time or equivalent (FTE) made up of multiples of part-time employees. A full FTE equals approximately 2000 hours 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. 2019060301 1 Not Yet Approved Resolution No. ______ Resolution of the Council of the City of Palo Alto Confirming the Report of the Advisory Board and Levying an Assessment for Fiscal Year 2020 on the Downtown Palo Alto Business Improvement District R E C I T A L S The Council of the City of Palo Alto hereby DECLARES as follows: SECTION 1. The Parking and Business Improvement Area Law of 1989, California Streets and Highways Code Sections 36500 et seq. (the “Law”), 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 Council, 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 and Professional Association Annual Report 2019-20” regarding the District (the "Report”), and, by Resolution No. _______ [insert number after resolution approved on consent], 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 El 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. _____ [insert number after resolution approved on consent], declaring its intention to levy and collect an assessment for fiscal year 2020 against the businesses in the District. 2019060301 2 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 2020. 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 2020. The City Council finds that there was 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 2020 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 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 of this Resolution constitutes a levy of an assessment for the fiscal year 2020 (commencing July 1, 2019, and ending June 30, 2020). 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 marketing activities which benefit businesses in the area and which take place on or in public places within the District; improvement and maintenance of public spaces; and activities which benefit businesses locating and operating in the District. 2019060301 3 SECTION 12. The Council finds that the adoption of this Resolution does not meet the definition of a project under Section 21065 of the California Environmental Quality Act and, therefore, no environmental impact assessment is necessary. INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: __________________________ _____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: __________________________ _____________________________ Senior Assistant City Attorney City Manager _____________________________ Director of Administrative Services 934 - 9 4 4 927 932 233 281 933 - 9 3 7 943 327 1001 94 2 469 475 74 4 459 832 801 A P T 1 - 5 427-453 920 912 362 370 900 838 846 471 459 835 - 8 5 5 460 81 5 840 836 834 845 400 803 928930 931 933 835 - 8 3 7 831 - 8 3 3 451453 802800 81 0 - 8 1 6 81 8 - 8 2 0 82 8 - 8 3 0 817 - 8 1 9 82 3 - 8 2 5 567-569 559563 536 526 100 1 101 1 - 540 483 904 912 468 918 926 537 965-971505-507 519-521 939-945 931-935 923-925 518-520 539541543 515-517 809 811 420 1001 1011 1010 376 370 980960 990 34 354 326 426 4 1000 448 944 471 483948952 959947925 915 933 935 425-443 451449 463-465 936-940 458 460 440 428426 527-533 543 551 510520 558-560 903 825 837 581 575 940934 813-823 501-509 511-519 521-529 531-539 541-547 556 596 904 926 561-567 569 845 580 574 566 991- 997 136 610 116-122 150 535529 525 542516140 102 116 124 163 145 566 556 167 528 643635 635 645- 685 660- 666 620 180 164 158156 624628 632 636 640 644 617 621 151-165 171-195 203 642640 636 200 151 115 125 135 514 101 440 444 436432 427 425 117119 630616 208 228220 240-248 575 530- 534 536 540 552 177 156 201 209215 225 595 229231 611-623 180 508500 625-631 170 172-174 542544 538- 542 552 548 546 541- 547 230-238 734 723 721 702- 730220-244 744 701 731 755757 771 200 160 728-732 762- 776740-746 250 275 270 255 741 265 724 730 651 221-225 227 668 707 205 201203 451449 209 219 221 233 235450 460 470 442 444 400 420 430 411 425 429 185 165 181 412 250 420 245 171-169 441- 445 435- 439 346344 333 335 342 344 431 460 450 235530 220 220 B 222 240 514278 274270 250 545 540 251485255 271 281 300 310 301 581 259-267 533535537 261 267 518-526 532- 536 520-526 530-536 271 281 252 270 240-248 202- 216 228226 234238 244 242 210- 216 228- 234 223- 229 209215 247-259 240 232230 311-317 251 344 326 340 337339 323317 400 420 332330 314 353 355 367 305 347 265272-278 418 319 321- 341 328 330 300- 310 431401 366 436 426 #1-7 369 335 319 390 301 315 375 307- 311 325330 332 1&2330 1-3 324 326316 318 373- 377 416- 424 361 338 340 560 345 321325 315 529 285 555 650636 628 1-12 628 A-E 385 365 375380 345 664 325650-654 661635300 690 675 555541-549533 535- 539 318-324 326 352 425 439-441 435429425 415-419 405403453 461 383460 502 510 526 520 540 499 467 459 439 425 555 400 436-452 456 379 370-374 376 380-382 384-396 550-552 364 360 431 440-444 423 499 475 421-423 431-433 432428 460-476 450 635 446 430 400 745 720706 385744 734 724-730 720 712 704 360 351 315737 332 300 653 -681 683 685 512 501619 609605 518 482486 496 610 630 455 400 651-687 543-545 532534 542544 550 552 554556 558560562564 635-6 643-6 470 313 334 333 325326 342 303301 229 336 308 310 312 316 318 311 331 315 319 317 321 335 228220 356-360 347-367 351357 369-379360 258- 296 350 210 204 302- 316 379310 320 328 332 340 437 412 311 A-B 404 313 325 327 333 407 401385 411 452 378-390 360 - 1A - 1C360 - 2A - 2C360 - 3A - 3C360 - 4A - 4C360 - 5A - 5C360 - 6A 344-348 418420 482 328 456 321 325 330204 218 236 240 250- 252 477 475 467 457 453249235225221 201 60 275 505-509 239- 243 209- 213 210- 214 513-519 460 474472228- 230 535 558 201 16 12 20 209 215 223 231 521 80 239-245 530-540 544-554 212- 216 218-222 333 335- 337 351 457451 465463 489-499360 530 480 420 430 480 463 451443437411 405 419405401 441 480-498 347 351 355 359 525 430 473 332- 342 425415 400 570568 556 550 543 327321315305 343 515 525 551 555 328 309-311 518-528 536-540 552-554 558-562 573 A-E 591-599 557-571 330-332 318-320 406-418 417 542 548568 524 550 500-528 578 564 550 546 540 530 531-535 541 505 525 537 555 565 571 530 619-6 520 440-446 579 567 523610 600 555 581 420-438 437 566 224 228 A-F 244 579 575 565 559 251 355 A-J 335329 604 576 566 345-347 243245 25725920921922723502 505 610-616 727 678 676 674672 642 636-638 567 555 711 701705 725 525 759 730 718 734 738-740 760 746-750 701 721-7 600 827 835 899 850 530 609 759 751753 7 737-62611 601 600 1013 10041000 1006 1001 623 137 145 700 780 790 744 111700 753100 825805 33 51 75 63 841 44 675 49 41 711 799 703 100 101 139654 625 160 1001 1005 1009 1010 1004 930 975 945929931 948 181 940 960 145900 955 999875 853 925 81 855 901-907 909 87 98 917 921 925 735 849 707 847 842828 820248 230-232 212 825 829 833 839 800 812 818 882 165831 801 815 809801 841 791153 718 774 761 795745 201 209 834836 845 895 926 190 934 942 948 203 209 219 225 929200 240 904 910 926 270 935 904 909 909A 217 222 148 171 421 130 312 318 324 317 301 186 192 323 329 151 325 329 334 131 129 355301 235 258 212 163 115 291247 210 201 207 64 202 235 251 249 252 247 244250 177220 261 251-257 205245 231225213205 70 2 206 234240 183 251 270 241-247 215- 237 210- 216 219 235 62 202 245 54 52 50 203 215 221 313-317318 220- 224 238 542-550 531-539 532 759 223-239 905 911-917907 188 190 251- 293 202 206 208 210 212 216 220 1008 275 539 201 400 27 168 865857 302 324 340 795 848 918 903 903A 408 412 440 483A - F 435 751 735 745 532 210 727 733 335 328 330 345 214 350 800 806 441 441A 230302 306 308 312 316 301 303 305 307 309 325 251 807 821 829 801 818-824 420 424 430 832A 832 842A 842 852A 852 862A 862 872A 872 351A 351 355A 355 359A 359 363A 363 367A 367 425 911 943 951 918 936 940 944 271 253 241 301 319 919A 919 935 949 928 936 940-946 353 264 367 361 310 1005 1010 423425413 - 419 457-467 469-471473-481 454 729 A-D 733-743 734-740 724-732 936 824-828 920 949 943941 715 95 445 324 328 545 590 425447 827 565 585 595 904 315 507 561 706 536 200 100 280-290 150 158164 276 516 698 161 159 157777 132 127 180 528 120 247 372 524 548550 538 152 345 336 515 658 227 27 29 539 115 135 321 558 #200-202 558 #C & D 965 140 350 808 915 461 435433 945 1012 421 727 A-C 218 255 206 739 260 840 650 642 351 451 551 375 530 643 415 12 700 802 99 89 87 901 560564568572576580584588592594 906 908 910 912 914 916 918920 922 924 548 423 668 901 305 -313 423 405 352354 611 320322 346 323 471 484 528 426 264 430 1001 508 756 - 760 940 930 544546 515 7 745 7 549 211 213 151 160 257 433-457 482 330 349 401 539 440 691 755 67 312 202 651 443 445 447 716 218 398 998 262 335 218 640-646506 327 469 303 401 403 254 401 91 40 101 819 301 725 595 705 541 Quarry Road Homer Avenue Lane 8 West Medical Foundation Way Lane 7 West Lane 7 East Encina Avenue El Camino Real Urban Lane Wells Avenue Forest Avenue High Street Emerson Street Ch a n n i n g A v e n u e Alma Street El Camino Real Mitchell Lane Everett Avenue Lytton Avenue Lane 15 E High Street Alma Street Bryant Street Lane 6 E Lane 11 W Lane 21 High Street Gilman Street Hamilton Avenue University Avenue Bryant Court Lane 30 Florence Street Kipling Street Tasso Street Cowper Street Everett Avenue Waverley Street Cowper Street Webster Street Everett Court Lytton Avenue Lane A West L L La Addison Avenue Forest Avenue Downing Lane Homer Avenue La Lane 39 Lane 56 Hamilton Avenue Webster Street Waverley Street Kipling Street Bryant Street Ramona Street Addison Avenue Scott Street Webster Street Cowper Street Addison Avenue Channing Avenue Ramona Street Paulsen Ln Lane 15 E Lane 20 W Lane 20 E University Avenue CalTrain ROW Emerson Street Waverley Street Kipling Street Bryant Street Ramona Street Palo Road ay Pear Lane Lane 12 W Lane 5 E Everett Avenue Homer Avenue Emerson Street tal m D r iv e Alma Street Lytton Avenue This map is a product of the City of Palo Alto GIS This document is a graphic representation only of best available sources. Legend abc Zone A (Ground Floor) - Zone B (Upper Floors) abc Zone B 0' 500' Downtown Palo AltoBusiness ImprovementDistrictArea Map CITY O F PALO A L TO I N C O R P O R ATE D C ALIFOR N IA P a l o A l t oT h e C i t y o f A P RIL 16 1894 The City of Palo Alto assumes no responsibility for any errors ©1989 to 2012 City of Palo Alto rrivera, 2012-04-30 16:57:54CPA BID (\\cc-maps\gis$\gis\admin\Personal\rrivera.mdb)