Chapter 4.04
DOWNTOWN BUSINESS IMPROVEMENT DISTRICT
4.04.010 Resolution of intention, public hearing and findings.
4.04.020 Definitions.
4.04.030 Establishment of boundaries.
4.04.040 Establishment of district board of directors.
4.04.050 Establishment of benefit assessment.
4.04.060 Purpose and use of benefit assessments.
4.04.070 Exclusions from benefit assessment.
4.04.080 New business assessment waiver.
4.04.090 Collection of benefit assessment.
4.04.100 Voluntary contributions to district.
4.04.110 Annual budget process.
4.04.120 Decisions regarding expenditure of funds.
4.04.130 District proceeds do not offset city services.
4.04.140 Public parking.
4.04.150 Disestablishment of the district.
4.04.010 Resolution of intention, public hearing and findings.
The recitals hereof, which set forth facts regarding the adoption of council resolutions, the conduct of public hearings and certain findings of the city council, are true and correct and incorporated herein by reference. (Ord. 1233 § 1 (part), 1998).
4.04.020 Definitions.
In order to distinguish between district businesses and for the purpose of calculating and applying the amount of assessments owed, the following shall apply:
(a) "Retail businesses" include all businesses not covered by other definitions set out in this section, at least fifty percent 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 of said business’ gross income;
(b) "Restaurants" businesses include cafes, eating establishments, sandwich shops, dinner houses, restaurants, and fast food services and other similar businesses;
(c) "Service" businesses include general office, news and advertising media, printers, photographers, personal care facilities and outlets, service stations, repairing and servicing businesses, renting and leasing businesses, utilities, vending machine businesses, household finance companies, entertainment businesses, theaters, lodging, and other similar businesses not otherwise included in subsections (a) through (f) of this section;
(d) "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;
(e) Financial. Banks, savings and loans, credit unions, etc.;
(f) "Fiscal year" may mean July 1st to and including June 30th of the following year or January 1st to and including December 31st of the following year;
(g) "Billing period" shall refer to the: (Ord. 1233 § 1 (part), 1998).
4.04.030 Establishment of boundaries.
A parking and business improvement district is hereby established pursuant to the Parking and Business Improvement District 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 in Exhibit "A", attached hereto and incorporated herein by reference. This district shall be known as the "Downtown Marysville Business Improvement District" ("the district"). (Ord. 1233 § 1 (part), 1998).
4.04.040 Establishment of district board of directors.
There shall be a board of directors ("board") of the district to administer the affairs of the district. Said board shall be constituted by member businesses of the district. The initial board shall be approved by the city council from a list of business operators located in the district that is submitted by the business improvement district formation committee. 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. 1233 § 1 (part), 1998).
4.04.050 Establishment of benefit assessment.
All businesses, trades, and professions located within the district boundaries shown on Exhibit "A" shall, commencing July 1, 1998, pay an annual benefit assessment to the district in the following amounts:
|
Zone A
|
Zone B |
|
Retailers and Restaurants |
|
|
$200 (1—3 emp) |
$100 |
|
$300 (4—6 emp) |
$150 |
|
$400 (7+ emp) |
$200 |
|
Service Businesses |
|
|
$150 |
$75 |
|
Professional Businesses |
|
|
$100 |
$50 |
|
Financial Institutions |
|
|
$500 |
$500 |
(Ord. 1233 § 1 (part), 1998).
4.04.060 Purpose and use of benefit assessments.
The types of improvements and activities proposed to be funded by the levy of assessments on businesses in the district are as follows:
(A) Improvements including the acquisition, construction, installation, or maintenance of any tangible property with an estimated useful life of five years or more including, but not limited to, the following improvements: (1) benches; (2) trash receptacles; (3) decorations; (4) facade improvements; and (5) permanent landscaping.
(B) Activities including but not limited to the following: (1) promotion of public events which benefit businesses in the district and which take place on or in public places within the district; (2) furnishing of music in any public place in the district; and (3) activities which benefit businesses located and operating in the district, including but not limited to downtown image building and commercial marketing programs. (Ord. 1233 § 1 (part), 1998).
4.04.070 Exclusions from benefit assessment.
No person or business shall be required to pay an assessment based on: (a) a residential use of the property within the district, or (b) a nonprofit organization as defined by Section 501(c)(3) or 501(c)(6) of the Internal Revenue Service Code located within the district. (Ord. 1233 § 1 (part), 1998).
4.04.080 New business assessment waiver.
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 license. This waiver shall not apply to an existing business that has changed ownership or location within the district. The city agrees to supply the district board with timely information regarding new businesses initiated within the district. (Ord. 1233 § 1 (part), 1998).
4.04.090 Collection of benefit assessment.
The benefit assessment authorized by this chapter for Marysville businesses (Section 4.04.050) shall be billed and collected once each fiscal year on July 1st. The city will bill and collect the assessments, at no charge to the district and forward all funds collected to the district within thirty days of said collections. 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 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. 1233 § 1 (part), 1998).
4.04.100 Voluntary contributions to District.
Contributions to the district 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. 1233 § 1 (part), 1998).
4.04.110 Annual budget process.
Pursuant to the Act, it shall be necessary for the district board of directors to present an annual budget for city council review and approval prior to the beginning of any fiscal year. The purpose of this process is to comply with the Act provisions regarding public notice and hearing prior to establishing the benefit assessment for the following fiscal year. The city shall not adopt, modify or otherwise amend any fiscal year budget of the district that is inconsistent in any way with said fiscal year’s budget as agreed to and presented by the district board of directors except in the case of a written majority protest (regarding elimination or modification of any specific budget item) from business owners which will pay fifty percent or more of the assessments proposed to be levied as to any specific budget item. In such case the written protest regarding any specific budget item shall be grounds to eliminate or modify said expenditure from the district’s proposed budget pursuant to the written protest. (Ord. 1233 § 1 (part), 1998).
4.04.120 Decisions regarding expenditure of funds.
As provided for within the guidelines of SB1424, decisions of the district board of directors regarding expenditure of all funds generated under this program shall be final. (Ord. 1233 § 1 (part), 1998).
4.04.130 District proceeds do not offset city services.
The 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 providing city funds are available from year to year. (Ord. 1233 § 1 (part), 1998).
4.04.140 Public parking.
The proceeds of the benefit assessments established hereunder shall not be used to acquire and/or construct additional public parking, unless such use of the funds is first approved by a majority vote of the district members voting. (Ord. 1233 § 1 (part), 1998).
4.04.150 Disestablishment of the district.
Proceedings to disestablish the district shall be initiated by the city council following the presentation of a petition to the city council signed by business owners paying fifty percent or more of the assessments levied in the district. Proceedings to disestablish the district shall follow the procedures set forth in Section 36550. The city council shall disestablish the district if, following the public hearing prescribed in Section 36556(b), written protests are not withdrawn as to reduce the protests below the fifty percent level.
In the event of disestablishment of the district, remaining revenues of the district shall be refunded to paying business owners in a pro-rata manner calculated in the same manner as was used to establish the most recent assessment applied in the district. (Ord. 1233 § 1 (part), 1998).