HomeMy WebLinkAbout11/14/1988, 1 - JOINT MEETING OF THE CITY COUNCIL AND DOWNTOWN BIA MEETING DATE
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COUNCIL AGENDA REPORT Now ITEM NUMBER:
FROM: Dodie Williams, BIA Administrator
SUBJECT: Joint meeting of the City. Council
and Downtown BIA
BACKGROUND
The economic viability of downtown San Luis Obispo is
central to the economic viability of the entire area -
downtown is the heart of the City. The Downtown Business
Improvement Area of San Luis Obispo was organized in 1975,
with an overall goal to maintain a commercially healthy,
vibrant, clean downtown, as well as serve as the voice of
the business community to the Council and City staff.
The BIA is funded by a double business license fee for those
businesses within the designated area. Uses for revenues
are prescribed in Section 6101 of the municipal code. They
include parking, decoration of public areas, promotion, and
furnishing music in public places.
The four BIA committees and their basic programs are:
Beautification - Cleanliness, Flower Baskets, Merchant
Awards, Bulbouts
Parking - Parking Policies and Programs
Promotion - Advertising, Sales, Events, Education
Thursday Night Activities - Downtown and Community Public
Relations, Events
Thursday Night Activities has become a regular weekly event
for both community residents and tourists. It is viewed by
all who experience it as the finest event of its type in the
nation. Originally created to enhance shopping downtown, it
is now one of the top ranking San Luis Obispo attractions.
This program has resulted in expanded weekends for local
motels and restaurants, as many visitors spend extra time
here - which results in substantial additional revenue for
local government.
FISCAL CONSIDERATIONS
. Sources of BIA revenues have not changed, except that in
1985, the City agreed to subsidize the salary of a full time
administrator, who would also serve as Main Street project
manager. Revenues were adequate until 1986, when fees were
assessed for banner installation/removal ( $2,200 per annum)
and street barricades on Thursday nights ( $2,340 per annum) .
To mitigate the fiscal impact, fees were introduced for
participation in Thursday nights in 1986. Fees have been
increased each year since. The fees also pay for other
services, such as trash pickup, garbage collection,
promotion, entertainment, and an event coordinator.
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COUNCIL AGENDA REPORT
In October, barbecuers were assessed increases which ranged
from 100% to over 500% - so that other services, such as
porta-potties, and extra trash collection could be provided.
Due to this increase, one barbecuer has given up his space.
In September, the Council approved the revised rules and
regulations governing Thursday Night Activities. In a
separate action, it also eliminated the limitation on the
number and collection of fees from informational groups.
This action effectively reduced BIA revenues a minimum of
$2,000 per year, and has resulted in more of these groups
seeking 'space on the street - some assuming that
applications are no longer necessary. Staff time to handle
requests and monitor spaces has increased commensurately.
The City is considering imposing fees for public safety
services for local events. The BIA has strong concerns in
this regard, and questions its ability to continue the same
level of service if such fees are imposed. Since 1986, the
BIA has faced increased annual costs. amounting to over
$4, 500, and revenue loss of over $2,000. This situation has
made it difficult to retain current programs, and impossible
to add new services.
The stated goals of the BIA have not changed, but program
costs continue to rise. If the downtown is to be maintained
as the centerpiece of San Luis Obispo, some financial
assistance from the City, along with continued cooperation
and coordination between the BIA and other City agencies, is
essential.
Rey issues for discussion from each committee include:.
Beautification:
1. Appearance of streets/sid&walks - litter, cleanliness.
2. Banner fees (charge imposed by Public Works in 1986) .
3 . Full time street sweepers.
Parking:
1. Policy statement and circulation graphic.
2. BIA suggestion for increasing City revenues for downtown
improvements.
Thursday Nights:
1. Trash collection.
2. Need for porta-potties.
3 . Loss of revenue (re informational groups) .
4. Barricade fees (charge imposed by Public Works in 1986. )
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COUNCIL AGENDA REP `` RT
Promotion:
1. Lack of adequate promotional funds.
General:
1. Budget (need for additional revenue) .
2. Better coordination between BIA and City on downtown
issues.
POLICY OPTIONS
1. The Council may direct the Downtown BIA to pay the full
charges associated with City services. The BIA would need
to modify the existing fee schedule for Thursday Night
Activities to accommodate current and new expenses.
2. The Council may direct the CAO's office to develop a
recommendation for partial or complete forgiveness of
charges for City provided services. This would include
street blockage, banner hanging and police and fire
services. This might necessitate an additional
appropriation from the general fund to reimburse the
departments for those costs.
3. The Council may direct the BIA to review the current fee
structure and increase fees for those participants which
generate considerable business revenue (barbecuers, etc. )
4. The Council could reconsider the limitation on the
number of informational groups and/or the reinstitution of
the $5. 00 fee per informational group, both as revenue for
the BIA and as a means to better monitor the number and
activities of these groups. .
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