HomeMy WebLinkAboutAgenda Report - December 17, 1997 (89)AGENDA TITLE: Ordinance No. 1654 Entitled, "An Ordinance of the City Council of Lodi Amending Title 12 -
Streets, Sidewalk and Public Places Adding Chapter 12.06 to the Lodi M ni
Establishing the Downtown Lodi Business Improvement Area"
MEETING DATE: December 17, 1997
PREPARED BY: City Clerk
RECOMMENDED ACTION: Following reading by title, it would be appropriate
Ordinance No. 1654.
BACKGROUND INFORMATION: Ordinance No. 1654 entitled, "An Ordinance of the City Council of Lodi
Amending Title 12 - Streets, Sidewalk and Public Places Adding Chapter
12.06 to the Lodi Municipal Code Establishing the Downtown Lodi Business
Improvement Area" was introduced at the regular City Council meeting of
December 3, 1997.
Pursuant to State statute, ordinances may be adopted five days after their introductions following reading by title.
This Ordinance has been approved as to form by the City Attorney.
FUNDING: None required.
Attachment
Alice M. Rei the
City Clerk
APPROVED:
H. Don Flynn -- City Manager,
ORDINANCE NO. 1654
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LODI
AMENDING TITLE 12 — STREETS, SIDEWALKS AND PUBLIC
PLACES ADDING CHAPTER 12.06 TO THE LODI MUNICIPAL
CODE ESTABLISHING THE DOWNTOWN LODI BUSINESS
IMPROVEMENT AREA. _
NOW THEREFORE the City Council of the City of Lodi does ordain as follows
SECTION 1. Chapter 12.06 is hereby added to the Lodi Municipal Code, to read as follows:
CHAPTER 12.06 DOWNTOWN LODI BUSINESS IMPROVEMENT AREA NO. 1.
1.0 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.
2.0 Definitions. In order to distinguish between Area businesses and for the purpose
of calculating and applying the amount of benefit fees owed, the following
definitions shall apply:
(a) Retail Businesses: "Retail Businesses" include all businesses not covered
by other definitions set out in this section, at least fifty percent (50%) 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 (50%) of said
business' gross income;
(b) Restaurants: "Restaurant" businesses include cafes, eating
establishments, sandwich shops, dinner houses, restaurants and fast food
services and other similar businesses;
(c) Lodging: "Lodging" businesses include inns, hotels, motels, RV Parks and
other similar businesses;
(d) Service: "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 and other similar
businesses not otherwise included in types 1, 2, and 4 hereof definitions a,
b, c, e, or f of this Section;
(e) Professional: "Professional" includes attorneys, architects, accountants,
engineers, surveyors, physicians, dentists, optometrists, chiropractors and
others in a medicallhealth service field, consultants, real estate brokers,
financial advisors, laboratories (including dental and optical), hearing aid
services, artists and designers.
(f) Financial: Banks, savings & loans, credit unions, etc.
(g) Billing Period: "Billing Period" shall refer to the period beginning January 1
to and including December 31 of any year.
3.0 Establishment of Boundaries. A parking and business improvement Area is hereby
established pursuant to the Parking and Business Improvement Area Law of 1989,
Streets and Highways Code §36500 et seq. (The Act). The boundaries of the Area
and the benefit zones within the Area shall be as set forth on Exhibit "A", attached
hereto and incorporated herein by reference. This Area shall be known as the
"Downtown Lodi Business Improvement Area No. 1" (the "Area").
4.0 Establishment of Area Board of Directors. There shall be a Board of Directors
("Board") of the Area to administer the affairs of the Area. Said Board shall be
composed of no less than 10 nor more than 25 member businesses of the Area.
The initial Board shall be approved by the City Council from a list of business
operators located in the Area that is submitted by the Business Improvement Area
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 Area regarding election
of Board Members and any actions regarding the normal and routine conducting of
Area Business shall be based on one (1) vote per benefit fee dollar, and said voting
business must be current in payment of their Area benefit fee(s) to participate in
such votes.
5.0 Establishment of Benefit Fee. All businesses, trades, and professions located
within the Area boundaries shown on Exhibit "A" shall, commencing January 1,
1998, pay an annual benefit fee in the following amounts:
Lodi Area Annual Benefit Fee
Institutions
Zone A
Zone B
Retailers and
Restaurants
$ 200. (1-3 emp.)
$ 100.
300. (4-6 emp.)
150.
400. (7 + emp.)
200.
Service
$ 150.
$ 75.
Businesses
Professional
$ 100.
$ 50.
Businesses
Financial
$ 500.
$ 500.
Institutions
6.0 Purpose and Use of Benefit Fees. The types of improvements and activities
proposed to be funded by the benefit fee paid by businesses in the Area 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;
(5)
Permanent landscaping
b Activities including but not limited to the following:
(1) Promotion of public events which benefit businesses in the area and
which take place on or in public places within the area;
(2) Furnishing of music in any public place in the area;
(3) Activities which benefit businesses located and operating in the
area, including but not limited to downtown shopping and
promotional programs.
7.0 Exclusions From Benefit Fees. No person or business shall be required to pay a
fee based on: (a) a residential use of the property within the Area, or (b) a non-
profit organization as defined by §501 (C) (3) or 501 (C) (6) of the Internal Revenue
Service Code located within the Area.
8.0 New Business Fee Waiver. Any new business established within the Area shall not
be required to pay a fee 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 Area. City agrees to supply the Area
Board with timely information regarding new businesses initiated within the Area.
9.0 Collection of Benefit Fee. The benefit fee authorized by this Ordinance for Lodi
businesses (Section 5.0 hereof), shall be billed and collected once each Billing
Period on January 1. City will bill and collect the fees, at no charge to the Area and
forward all funds collected to the Area within 30 days of said collections. Late
payment penalties shall be applied to businesses that do not provide their
respective fee payments on the dates provided for herein at a rate of 10% per
month. At such time as late payment penalties equate to 50% of the total annual
fee, action shall be taken to recover said delinquent fees. Costs of this recovery
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shall be borne by the business owing the fee and late penalties. The Board and
City shall develop collection procedures to implement the provisions of this
paragraph.
10.0 Voluntary Contributions to Area. Contributions to the Area and its Board shall be
permitted on a voluntary basis. The boundary of the Area shall not be modified as
a result of the contribution, nor shall said. contrib0ting business be considered a
member of the Area for.voting or other purposes. However, said business making
a voluntary- contribution may be entitled to participate in the programs of the Area
upon a finding by the Board of Directors that the Area derives a benefit from said
business' participation in the program.
11.0 Annual Budget Process. Pursuant to the Act, it shall be necessary for the Board to
present, by September 1, an annual budget for City Council review and approval
prior to the beginning of any Billing Period. The purpose of this process is to
comply with the Act provisions regarding public notice and hearing prior to
establishing the benefit fees for the following Billing Period. City shall not adopt,
modify or otherwise amend any Billing Period budget of the Area that is
inconsistent in any way with said Billing Period's budget as agreed to and
presented by the Board except in the case of a written majority protest (regarding
elimination or modification of any specific budget item) from business owners which
will pay 50% or more of the fees proposed to be levied as to any specific budget
item pursuant to Streets and Highways Code §36525 (b). In such case the written
protest regarding any specific budget item shall be grounds to eliminate or modify
said expenditure from the Area's proposed budget pursuant to the written protest.
12.0 Decisions Regarding Expenditure of Funds. As provided for within the guidelines
of The Act, decisions of the Board regarding expenditure of all funds generated
under this program shall be final.
13.0 Area Proceeds Do Not Offset City Services. City specifically finds and declares
that the funds derived from the Area 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 Area providing City funds are available from year to year.
14.0 Public Parking. The proceeds of the benefit fees 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 Area members voting.
15.0 Disestablishment of the Area. Proceeding to disestablish the Area shall be initiated
by the City Council following the presentation of a petition to the City Council
signed by business owners paying 50% or more of the fees levied in the Area.
Proceedings to disestablish the Area shall follow the procedures set forth in Streets
and Highways Code § 36550. The City Council shall disestablish the Area if,
following the public hearing prescribed in §36550 (b), written protests are not
withdrawn so as to reduce the protests below the 50% level. In the event of
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disestablishment of the Area, remaining revenues of the Area maintained by the
Board 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 fees applied in the
Area.
Section 2. - No Mandatory Duty of Care. This ordinance is not intended to and shall not be construed or
given effect in a manner which imposes upon the City, or any officer or employee thereof, a mandatory
duty of care towards persons or property within the City or outside of the City so as to provide a basis of
civil liability for damages, except as otherwise imposed by law.
Section 3. - Severability. If any provision of this ordinance or the application thereof to any person or
circumstances is held invalid, such � invalidity shall not affect other provisions or applications of the
ordinance which can be given effect without the invalid provision or application. To this end, the
provisions of this ordinance are severable. The City Council hereby declares that it would have adopted
this ordinance irrespective of the invalidity of any particular portion thereof.
Section 4. All ordinances and parts of ordinances in conflict herewith are repealed insofar as
such conflict may exist.
Section 5. This ordinance shall be published one time in the "Lodi News Sentinel', a daily
newspaper of general circulation printed and published in the City of Lodi and shall be in force and
take effect thirty days from and after its passage and approval.
Ap roved this 0 17t ay of D cem r, 1997
e
JACK A. SIEGLOCK
Mayor
Attest:
OC.. RMV,0�
ALICE M, R IMCHE
City Clerk
State of California
County of San Joaquin, ss.
I, Alice M. Reimche, City Clerk of the City of Lodi, do hereby certify that Ordinance No. 1654 was
introduced at a regular meeting of the City Council of the City of Lodi held December 3, 1997 and
was thereafter passed, adopted and ordered to print at a regular meeting of said Council held
December 17, 1997 by the following vote:
Ayes: Council Members - Land, Mann, Pennino, Warner and Sieglock
(Mayor)
Noes:
Council Members - None
Absent:
Council Members - None
Abstain:
Council Members - None
I further certify that Ordinance No. 1654 was approved and signed by the Mayor on the date of its
passage and the same has been published pursuant to law.
A&—,rn - de)
ALICE M. REI CHE
City Clerk `
Approved as to Form:
NDALL A. HAYS
City Attorney