Consent 1.J.
Regular City Council Meeting
- Meeting Date:
- 10/27/2014
- TITLE
- Resolution of Intent to Create Downtown Business Improvement District 1
- PRESENTED BY:
- Bruce McCandless
- Department:
- City Hall Administration
Presentation:
PROBLEM/ISSUE STATEMENT
The City Council created the downtown Business Improvement District (BID) No. 0001 in August, 2005. State law sunsets districts after 10 years and re-creating them requires the same procedure as the original. Owners of at least 60% of the proposed district property must sign and submit a petition to initiate a district. Downtown and east Billings property owners have submitted a petition with signatures that represent 61.1% of the property within the proposed district. The first step toward re-creating this district is for the City Council to accept the petition and adopt a Resolution of Intent to create the BID. The resolution also sets a public hearing for November 24, 2014. If the Council adopts the resolution, present BID managers will send all owners of property within the district a notice regarding the Council's intentions and that they may submit written comments or verbal testimony at the hearing.
ALTERNATIVES ANALYZED
City Council may:
- Approve the resolution stating the Council's intent to create a downtown BID and setting a public hearing for November 24, or;
- Disapprove the resolution. The present BID will terminate in August 2015 and the City will not charge tax year 2015 assessments against the downtown properties. The BID services such as downtown police officers, snow removal, trash service and landscaping maintenance will be terminated as soon as the tax year 2014 assessments and any reserves are expended.
FINANCIAL IMPACT
If the Council creates the new district, the City's properties will be assessed equally with private property. The BID assessment for tax year 2014 will be approximately $30,000. Tax year 2015 assessments should be similar. The City's Finance Department prepares the assessments for the BID, sends that information to the County for billing and collection and then distributes the funds to the BID. By State law, Finance may not recover its costs by charging the BID.
RECOMMENDATION
Staff recommends that the City Council adopt the Resolution of Intent to create the downtown Business Improvement District No. 0001 and setting a public hearing for November 24, 2014.