Earlier editions: 2026-09
Sacramento Municipal Code Ch. 3.96 Old Sacramento Business Improvement Area
Sacramento Municipal Code · 2026-10 edition · updated 2026-10-04 · Sacramento
Cite as: Sacramento Municipal Code Chapter 3.96 · Text as of 2026-10-04
3.96.010 Authority.¶
This chapter is adopted pursuant to the "Parking and Business Improvement Area Law of 1979," being Section 36500 et seq. of the California Streets and Highways Code, and Resolution of Intention No. 84-874, adopted by the city council on October 16, 1984, and entitled "A resolution of the city council of the city of Sacramento, California, declaring its intentions to establish business improvement area in the Old Sacramento area, to provide for the levying of charges on specified businesses conducted within such area, classifying various businesses for such purposes, describing the boundaries of the proposed area, the authorized uses to which the proposed revenues shall be put, the rate of such charges, fixing the time and place of a hearing to be held by the city council to consider the establishment of such an area, and directing the giving of notice of such hearing." Such resolution was published and mailed as provided by law, and hearings thereon were held by the city council at its regular meeting on October 30, 1984, at which time all persons desiring to be heard, and all objections made or filed, were fully heard. The city council duly concluded the hearing on October 30, 1984, and determined that protests objecting to the formation of the area have not been made by a majority of the businesses within the area and that such protests are overruled and denied. The city council finds that the businesses and improvement area, in the opinion of the city council, will be benefited by the expenditure of the funds raised by the charges proposed to be levied. (Prior code § 23.08.725)
3.96.020 Area established-Description.¶
There is established a business improvement area which shall be known as the "Old Sacramento business improvement area of the city of Sacramento," herein referred to as the "area" for brevity and convenience. The description of the area is as follows:
Beginning at the intersection of the westerly city limits of the City of Sacramento and the center line of the "I" Street Bridge; thence easterly along the center line of the "I" Street Bridge and Viaduct to its intersection with the continuation of the easterly line of Third Street; thence southerly along said easterly line of Third Street to the point of intersection with the northerly line of Capitol Mall; thence westerly along said northerly line of Capitol Mall to the point of intersection with the westerly city limits of the City of Sacramento; thence northerly along said westerly city limits to the point of beginning.
The businesses located in the area shall be subject to any future amendments to the "Parking and Business Improvement Area Law of 1979" (commencing with Section 36500 of the Streets and Highways Code). (Prior code § 23.08.726)
3.96.030 Authorized uses.¶
The authorized uses to which the additional revenue shall be put are as follows:
A. The general promotion of business activities in the area;
B. Promotion of public events which are to take place on or in public places in the area;
C. Decoration of any public place in the area;
D. Furnishing of music in any public place in the area. (Prior code § 23.08.727)
3.96.040 Levy of charge in addition to business license tax.¶
There is imposed a charge for the purposes authorized in Section 3.96.030 of this chapter, which charge is in addition to the ordinary business license tax as it is imposed upon businesses conducting their activities within the area by Chapter 3.08 of this code. Such additional charge is imposed at the rates set forth in Section 3.96.050 of this chapter for the specified business classifications regardless of whether the business is taxed upon a flat rate or gross receipts or other basis under the provisions of Chapter 3.08 of this code. (Prior code § 23.08.728)
3.96.050 Classification of businesses and charges imposed.¶
The businesses conducted in the area are classified as follows so as to promote the equitable imposition of the additional charge hereunder in relation to the relative benefits to be derived. The charge shall be as follows:
A. Retailing activity which does not include the sale of distilled spirits: the Mills per dollar of gross receipts exclusive of gross receipts for sales of alcoholic beverages shall be as follows:
Beginning July 1, 1996-3.1 mills
Beginning July 1, 1997-4.1 mills
Beginning July 1, 1998-5.4 mills
B. Retailing activity which includes the sale of distilled spirits: the Mills per dollar of gross receipts exclusive of gross receipts for the sale of alcoholic beverages shall be as follows:
Beginning July 1, 1996-3.8 mills
Beginning July 1, 1997-5.1 mills
Beginning July 1, 1998-6.8 mills
("Distilled spirits" means an alcoholic beverage obtained by the distillation of fermented agricultural products, and includes alcohol for beverage use, spirits of wine, whiskey, rum, brandy, and gin, including all dilutions and mixtures thereof.)
("Alcoholic beverages" includes alcohol, spirits, liquor, wine, beer, and every liquid or solid containing alcohol, spirits, wine, or beer, and which contains one-half of one percent or more of alcohol by volume and which is fit for beverage purposes either alone or when diluted, mixed, or combined with other substances.)
C. Nonretail. Flat fee of fifty dollars ($50.00).
D. There shall be a minimum charge of fifty dollars ($50.00) per year for any business conducting business in the area and a maximum charge of four thousand five hundred dollars ($4,500.00) per year.
The determination of the type or class of business or businesses a charge payer is engaged in or about to engage in shall be an administrative function of the revenue manager of the city. In cases where a charge payer believes he or she is placed in the wrong business or class of business or businesses, he or she may apply in writing to the revenue manager for a change in his or her classification, setting forth in full his or her reason for requesting such change. The revenue manager shall conduct an investigation and shall thereupon render his or her decision in writing as to the proper classification or classifications.
If the charge payer is aggrieved by the revenue manager's decision, he or she shall have the right of appeal to the director of finance. The appeal shall be filed with the director of finance within ten (10) days of the date of the revenue manager's decision, and shall be heard by the director of finance within thirty (30) days thereafter. The charge payer shall be given at least seven days notice of the hearing by the director of finance.
On July 1, 1997, and each July 1st thereafter, the amount of the nonretail charge in subsection C of this section, and the maximum and minimum charges in subsection D of this section, shall be automatically increased by the amount of increase in consumer price index, San Francisco area, all items, most recently available prior to the date of increase, provided, however, that in no event shall any automatic increase hereunder exceed ten (10) percent, and provided further that the amounts of the charges which result from the application of the automatic increases hereunder shall be rounded to the nearest whole dollar. (Prior code § 23.08.729)
3.96.060 Exemption-Voluntary contribution.¶
Any business, person or institution located in the area, which is exempt from the payment of the ordinary business license tax of the city by reason of the provisions of the laws of the United States or the city or by reason of the provisions of the United States or California Constitutions, is not to be charged under this proceeding but may make a voluntary contribution to the city. Such contributions shall be used for the purposes provided in this chapter. (Prior code § 23.08.730)
3.96.070 Modification or disestablishment of the area.¶
The city council, by ordinance, may modify the provisions of this chapter and may disestablish the area, after adopting a resolution of intention to such effect. Such resolution shall describe the proposed change or changes, or indicate that it is proposed to disestablish the area, and shall state the time and place of a hearing to be held by the city council to consider the proposed action.
If a majority of the businesses in the area file a petition with the city clerk requesting the council to adopt a resolution of intention to modify or disestablish the area, the council shall adopt such resolution and act upon it as hereinafter provided. Signatures on such petition shall be those of a duly authorized representative of businesses in the area; and the petition shall be filed with the city clerk within six weeks of the date on which the first signature was affixed.
The city clerk shall cause such resolution to be published at least once in the official newspaper of the city, and shall also mail a complete copy thereof, postage prepaid, to each business in the area, or, if it is proposed to enlarge the boundaries of the area, to each business in the area as it is proposed to be enlarged. Such publication and mailing shall be completed at least fifteen (15) days prior to the date of the said hearing.
In the event the resolution proposes to modify any of the provisions of this chapter, including changes in the existing charges or in the existing boundaries of the area, such proceedings shall terminate if protest is made by a majority of the businesses in the area, or in the area as it is proposed to be enlarged, provided that the city council may modify the boundaries or charges as specified in Streets and Highways Code Section 26528.
In the event the resolution proposes disestablishment of the area, the city council shall disestablish the area; unless at such hearing, protest against disestablishment is made by a majority of the businesses in the area.
At the hearing, the city council shall hear all protests and receive evidence for and against the proposed action; shall rule upon all protests. The council's determination in this regard shall be final. The council may continue the hearing from time to time. (Prior code § 23.08.731)
3.96.080 Administration.¶
The council may provide for the administration of the area's activities by entering into a contract with an entity that in the opinion of the city council will have the capability of representing the interests of the businesses in the area, whose general objectives will be consistent with the purposes of this chapter, and who will provide the resources to effectively achieve those objectives. However, in such event the city council shall reserve onto itself sole discretion as to how the revenue derived from the charges hereunder shall be used within the scope of the said authorized purposes. (Prior code § 23.08.732)
3.96.090 Payment of charge-Effective date.¶
The collection of the charges imposed hereunder shall be made at the same time and in the same manner as the general business license tax under Chapter 3.08 of this code, commencing January 1, 1985.
A special fund is created, known as the "Old Sacramento business improvement area fund," and the charges imposed by this chapter shall be deposited in such fund. (Prior code § 23.08.733)
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