Meeting_Body
FINANCE, BUDGET AND AUDIT COMMITTEE
MARCH 20, 2019
Subject
SUBJECT: NORTH HOLLYWOOD TRANSIT BUSINESS IMPROVEMENT DISTRICT PARTICIPATION
Action
ACTION: APPROVE RECOMMENDATION
Heading
RECOMMENDATION
Title
AUTHORIZE the Chief Executive Officer (CEO) to sign the Petition to Renew the North Hollywood Transit Business Improvement District (BID) for a period of five years commencing January 1, 2020 through December 31, 2024, for an estimated amount not to exceed $699,294 over the life of the BID renewal.
Issue
ISSUE
This North Hollywood Transit BID petition will provide a renewal for an additional five years if a majority of BID petitions consent to the special benefit assessment. LA Metro is included in the list of renewal petitions as it owns 20 percent of the assessed properties within the BID's boundaries. BID renewals over $500,000 require board approval.
Background
BACKGROUND
Under the 1994 Property and Business Improvement District law, the State of California provided a legal basis for the formation of property-based assessment districts if a petition sent to the property owners residing in the district's boundaries is approved by a majority. Any approved district requires renewal after its term expires.
Metro policy, passed at the June 1998 regular Board meeting and last updated in May 2014, created an established procedure for the evaluation of benefits derived from participation in any proposed benefit assessment district. The Real Estate Department is required to provide an analysis of the benefit in participating in BID programs given the type of property owned by the agency within the BID's boundaries (Attachment A - General Guidelines for Participation in Proposed Assessment Districts).
Discussion
DISCUSSION
Business improvement district participation by Metro is an ongoing cost to the agency, paid annually to the BID upon assessment of real property ownership in the BID's defined assessment area. BID assessments,...
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