Ione Municipal Code Ch. 5.02 Downtown Business Improvement District

The recitals hereof, which set forth facts regarding the adoption of the council resolution, the conduct of public hearings and certain findings of the city council, are true and correct and incorporated herein by reference.

(Ord. 374 §1(part), 2001)

In order to distinguish between district businesses and for the purpose of calculating and applying the amount of assessments owed, the following definitions 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 such business from this classification so long as other business component does not account for more than fifty percent of such business' gross income.

B. "Restaurant businesses" include cafes, eating establishments, sandwich shops, dinner houses, restaurants and fast food services and other similar businesses.

C. "Service businesses" include businesses that combine retail and product services. Examples are appliance stores, most automotive-oriented businesses, repair shops, repairing and service businesses and service stations. Other businesses of a general service-type such as general office, news and advertising media, printers, renting and leasing businesses, utilities, vending machine businesses, household finance companies, entertainment businesses and other similar businesses not otherwise included in categories a, b, d, e or f are included in this section.

D. "Lodging businesses" include inns, hotels, motels, RV Parks and other similar businesses.

E. "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, photographers and designers.

F. "Financial" includes banks, savings and loans and credit unions.

G. "Calendar year" means January 1st to and including December 31st of the same year.

H. "Billing Period" shall refer to the period of January 1st to December 31st of each year.

(Ord. 374 §1(part), 2001)

A parking and business improvement district is hereby established pursuant to the Parking and Business Improvement Area Law of 1989, Streets and Highway Code Section 36500 et seq. The boundaries of the district shall be as set forth on Exhibit "A," attached hereto and incorporated herein by reference. This district shall be known as the "Downtown Ione Business Improvement District" (the "district").

(Ord. 374 §1(part), 2001)

There shall be a board of directors ("board") of the district to administer the affairs of the district. The board shall be constituted of businesses within the district. 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 vote.

(Ord. 374 §1(part), 2001)

All businesses, trades, and professions located within the district boundaries shown on Exhibit "A" shall, commencing on January 1, 2002, pay an annual benefit assessment to the district in the following amounts:

Note: Retail, restaurant and service businesses will be charged on size which will be determined by number of employees/operators either full-time or the equivalent made up of multiples of part-time employees/operators.

(Ord. 374 §1(part), 2001)

The types of improvements and activities proposed to be funded by the levy of assessments on businesses in the district are as follows:

A. 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 commercial shopping and promotion programs.

(Ord. 374 §1(part), 2001)

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 non-profit organization as defined by Section 501(C)(3) or (C)(6) of the Internal Revenue Service Code located within the district.

(Ord. 374 §1(part), 2001)

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 with timely information regarding new businesses initiated within the district.

(Ord. 374 §1(part), 2001)

The benefit assessment authorized by this ordinance for downtown Ione businesses (Section 5.0 hereof) shall be billed and collected each calendar year. The BID advisory board may, from time to time, assess late charges on unpaid BID assessment charges.

(Ord. 374 §1(part), 2001)

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. 374 §1(part), 2001)

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 each fiscal year. The purpose of this process is to comply with the Act provisions regarding public notice and hearing prior to establishing the benefit assessments 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 upon 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 pursuant to Government Code Section 36525(b), 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. 374 §1(part), 2001)

As provided for within the guidelines of SB 1424, decisions of the district board of directors regarding expenditure of all fund generated under this program shall be final.

(Ord. 374 §1(part), 2001)

The city specifically finds and declares that the funds derived from the district shall not be used to offset or diminish current maintenance or 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. 374 §1(part), 2001)

Proceeding 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 assessment levied in the district. Proceedings to disestablish the district shall follow the procedures set forth in Government Code Section 36550. The city council shall disestablish the district if, following the public hearing, prescribed in Section 36550(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 assessments applied in the district.

(Ord. 374 §1(part), 2001)

If any section, subsection, sentence, clause or phrase of this ordinance is, for any reason, held to be invalid or unconstitutional, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance, it being expressly declared that this ordinance and each section, subsection, clause and phrase hereof would have been prepared, proposed, adopted, approved and ratified irrespective of the fact that any one or more other sections, subsections, sentences, clauses, or phrases be declared invalid or unconstitutional.

(Ord. 374 §1(part), 2001)