Madera County Municipal Code Ch. 3.90 Madera County Tourism Business Improvement District

The County of Madera hereby renews the Madera County Tourism Business Improvement District (MCTBID), for a ten year life, beginning January 1, 2025, or as soon as possible thereafter, and ending ten years from its start date, under the provisions of the Property and Business Improvement District Law of 1994, as set forth in the Streets and Highways Code of the state, Section 36600 et seq.

(Ord. No. 707, § 1, 5-21-24)

The Management District Plan (Plan) dated December 11, 2023, is hereby adopted and approved.

(Ord. No. 707, § 1, 5-21-24)

A. The activities to be provided to benefit businesses in the MCTBID will be funded by the levy of the assessment. The revenue from the assessment levy shall not be used: to provide activities that directly benefit businesses outside the MCTBID; to provide activities or improvements outside the MCTBID; or for any purpose other than the purposes specified in this chapter, the Resolution of Intention, the Resolution of Formation, and the Plan. Notwithstanding the foregoing, improvements and activities that must be provided outside the MCTBID boundaries to create a specific benefit to the assessed businesses may be provided but shall be limited to marketing or signage pointing to the MCTBID.

B. The board of supervisors finds as follows:

1. The activities funded by the assessment will provide a specific benefit to assessed businesses within the MCTBID that is not provided to those not paying the assessment.

2. The assessment is a charge imposed for a specific benefit conferred or privilege granted directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of conferring the benefit or granting the privilege.

3. The assessment is a charge imposed for a specific government service or product provided directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of providing the service or product.

4. Assessments imposed pursuant to the MCTBID are levied solely upon the assessed business, and the business owner is solely responsible for payment of the assessment when due. If the owner chooses to collect any portion of the assessment from a transient or customer, that portion shall be specifically called out and identified for the transient or customer in any and all communications from the business owner as the "MCTBID Assessment" or "Tourism Assessment" as specified in the Plan.

C. The assessments levied for the MCTBID shall be applied toward sales and marketing, and other improvements and activities as set forth in the Plan.

D. Assessments levied on lodging businesses pursuant to this chapter shall be levied on the basis of benefit. Because the services provided are intended to increase room rentals, an assessment based on short term room rental revenue is the best measure of benefit.

(Ord. No. 707, § 1, 5-21-24)

The assessments for the entire MCTBID will total approximately one million, seven hundred and fifty thousand dollars in year one. A similar budget is expected to apply to subsequent years, but this budget is expected to fluctuate as room sales do and as lodging businesses open and close.

(Ord. No. 707, § 1, 5-21-24)

Bonds shall not be issued to fund the MCTBID.

(Ord. No. 707, § 1, 5-21-24)

The renewed MCTBID includes all lodging businesses, existing and in the future, available for public occupancy within the boundaries of the unincorporated areas of the County of Madera, as described in the Plan.

(Ord. No. 707, § 1, 5-21-24)

A. The annual assessment rate is two and one half of one percent of gross short-term sleeping room rental revenue. Based on the benefit received, assessments will not be collected on stays of more than thirty consecutive days, nor on stays by any officer or employee of a foreign government who is exempt from transient occupancy taxes by reason of express provision of international treaty.

B. The assessments shall be used for the purposes set forth herein and any funds remaining at the end of any year may be used in subsequent years in which the MCTBID assessment is levied as long as they are used consistent with the requirements set forth herein.

(Ord. No. 707, § 1, 5-21-24)

The MCTBID assessment will be implemented beginning January 1, 2025, or as soon as possible thereafter, and ending ten years from its start date. The County of Madera will be responsible for collecting the assessment on a quarterly basis from each assessed lodging business. The County of Madera shall take all reasonable efforts to collect the assessments from each assessed lodging business. The County of Madera shall forward the assessments collected to the owners' association.

(Ord. No. 707, § 1, 5-21-24)

The board of supervisors through adoption of this chapter and the Plan, has the right pursuant to Streets and Highways Code § 36651, to identify the body that shall implement the proposed program, which shall be the Owners' Association of the MCTBID as defined in Streets and Highways Code § 36612. The board of supervisors has determined that the Southern Yosemite Visitors Bureau dba Visit Yosemite Madera County (YVMC) shall be the MCTBID Owners' Association.

(Ord. No. 707, § 1, 5-21-24)

The YVMC, pursuant to Streets and Highways Code § 36650, shall cause to be prepared a report for each fiscal year, except the first year, for which assessments are to be levied and collected to pay the costs of the improvement and activities described in the report. The first report shall be due after the first year of operation of the MCTBID.

(Ord. No. 707, § 1, 5-21-24)

The MCTBID renewed pursuant to this chapter shall be subject to any amendments to the Property and Business Improvement District Law of 1994 (California Streets and Highways Code § 36600 et seq.)

(Ord. No. 707, § 1, 5-21-24)