HomeMy WebLinkAbout16-23 - Annual Assessment for FY 2016-2017
tourism, to create jobs, attract new businesses, and prevent erosion of business districts;
and
WHEREAS, on 5, 1995, by Ordinance No. 95-9, the City Council adopted a
business improvement area, commonly known as the Costa Mesa Tourism & Promotion
Business Improvement Area (the "BIA"), the purpose of which is to promote tourism to
the City and to fund programs and activities that benefit the hotel and motel businesses
within the City of Costa Mesa; and
WHEREAS, the owners of the BLVD Hotel requested a modification to the
boundaries of the BIA so that it would include the BLVD Hotel and make the BLVD Hotel
voluntarily subject to the BIA assessment; and
WHEREAS, on January 20, 2015, by Ordinance No. 15-01, the City Council
adopted an amendment to the BIA which expanded its boundaries making the BLVD
Hotel subject to the BIA assessment; and
Resolution No. 16-23 Page 1 of 11
WHEREAS, the City Council appointed the general managers of the now 11 hotels
and motels subject to the assessment area, to serve as the advisory board as required by
California Streets and Highways Code Section 36530; and
WHEREAS, said advisory board is known as the Costa Mesa Conference and Visitor
Bureau (the "CMCVB"); and
WHEREAS, the City Council has voted to continue the special assessment for the
BIA each year since its inception, and it has been levied upon the 11 hotel and motel
businesses listed on Exhibit A, attached hereto and incorporated herein by this reference;
and
WHEREAS, in January 2000, the City Council approved an increase in the
assessment, raising the assessment from one percent (1%) to two percent (2%) based
on the sale of overnight room stays; and
WHEREAS, in November 2010, the City Council approved an increase in the
assessment, raising the assessment from two percent (2%) to three percent (3%) based
on the sale of overnight room stays; and
WHEREAS, this Resolution of Intention will commence proceedings under the
Parking and Business Improvement Area Law of 1989 (Streets & Highways Code § 36500
et seq.) to levy the annual assessment of the Costa Mesa Tourism & Promotion Council
Business Improvement Area for the 2016-2017 fiscal year; and
WHEREAS, the Agenda Report, and its attachments, for the May 3, 2016 City
Council Meeting filed with the City Clerk sets forth a detailed description of the activities
to be provided in the 2016-2017 fiscal year, the boundaries of the Business Improvement
Resolution No. 16-23 Page 2 of 11
Area, the benefit zone of the area, and the proposed assessments to be levied upon the
businesses within the area for the coming fiscal year.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Costa
Mesa as follows:
Section 1. Assessment. An annual assessment for the Costa Mesa Tourism &
Promotion Council Business Improvement Area is proposed to be levied pursuant to
Streets & Highways Code § 36500 et seq. The proposed boundaries of the territory are
the 11 motels and hotels listed in Exhibit A, attached hereto and incorporated herein by
this reference. The proposed amount of the annual assessment is three percent (3%).
The three percent (3%) assessment is based on the sale of overnight room stays. New
hotel and motel businesses commenced after the effective date of the ordinance levying
the assessment will be exempt from the levy of assessment, pursuant to Streets &
Highways Code § 36531 and § 36535.
Section 2. Annual Report. An annual report on the Business Improvement Area
has been prepared by the Costa Mesa Conference & Visitor Bureau, acting as the
advisory board as required by Streets & Highways Code § 36533 and § 36534. Said
report is on file in the City Clerk's Office.
Section 3. Types of Activities To Be Funded. The proposed type or types of
activities to be funded by and through the annual levy of assessments on businesses
within the Costa Mesa Tourism & Promotion Council Business Improvement Area are
specified in the referenced annual report and Exhibit B.
Section 4. Method and Basis of Levy. The proposed method and basis of levying
Resolution No. 16-23 Page 3 of 11
the assessment to allow each business owner to estimate the amount of the assessment
to be levied against his or her business is set forth in the Costa Mesa Conference & Visitor
Bureau's annual report relative to the Business Improvement Area.
Section 5. Time and Place of Public Hearing. The time and place of the public
hearing on the business improvement area and the annual levy of assessments shall be
at 7:00 p.m., June 7, 2016, at the Costa Mesa City Hall, City Council Chambers, 77 Fair
Drive, Costa Mesa, California. At the public hearing set forth above, the testimony of all
interested persons for or against the annual levy of assessment for the business
improvement area, the extent of the area, or the furnishing of specific types of
improvements or activities will be heard by the City Council.
Section 6. Protests. The following rules shall apply to all protests:
(a) A protest may be made orally or in writing by any interested person. Any
protest pertaining to the regularity or sufficiency of the proceedings shall be
in writing and shall clearly set forth the irregularity or defect to which the
objection is made.
(b) Every written protest shall be filed with the City Clerk's Office, Costa Mesa
City Hall, Room 101, 77 Fair Drive, Post Office Box 1200, Costa Mesa,
California 92626-1200, at or before the time fixed for the public hearing as
set forth above.
(c) The City Council may waive any irregularity in the form or content of any
written protest, and at the public hearing, may correct minor defects in the
proceedings.
Resolution No. 16-23 Page 4 of 11
(d) Each written protest shall contain a description of the business in which the
person subscribing the protest is interested sufficient to identify the business
and, if a person subscribing is not shown on the official records of the city as
the owner of the business, the protest shall contain or be accompanied by
written evidence that the person subscribing is the owner of the business. A
written protest which does not comply with this section shall not be counted
in determining a majority protest.
(e) If written protests are received from the owners of businesses in the
proposed business improvement area which will pay fifty percent (50%) or
more of the assessments to be levied and protests are not withdrawn so as
to reduce the protests to less than the fifty percent (50%), no further
proceedings on the proposal to continue the business improvement area
assessment, as specified by this Resolution, shall be taken by the City
Council for a period of one year from the date of the filing of a majority
protest.
BE IT FURTHER RESOLVED THAT the City Council of the City of Costa Mesa,
California, does hereby adopt the annual report by the Costa Mesa Conference & Visitor
Bureau acting as the advisory board on the business improvement area (referenced
report on file in the City Clerk's Office), and this Resolution, including all exhibits.
PASSED, APPROVED, AND ADOPTED this 3rd day of May, 2016.
Resolution No. 16-23 Page 5 of 11
4
Stephen M. Inger, Mayor
ATTEST:
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Brenda Green City Clerk
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF COSTA MESA )
ss
APPROVED ALTO FORM:
City Attorney
I, BRENDA GREEN, City Clerk of the City of Costa Mesa, DO HEREBY CERTIFY that
the above and foregoing is the original of Resolution No. 16-23 and was duly passed and
adopted by the City Council of the City of Costa Mesa at a regular meeting held on the
31d day of May 2016, by the following roll call vote, to wit:
AYES: COUNCIL MEMBERS: Foley, Genis, Monahan, Righeimer, Mensinger
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: NONE
IN WITNESS WHEREOF, I have hereby set my hand and affixed the seal of the City of
Costa Mesa this 4th day of May 2016.
61 / v n'
Brenda Green, City Clerk
Resolution No. 16-23 Page 6 of 11
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The Business Improvement Area ("BIA") benefit zone encompasses the entire City of
Costa Mesa boundaries. It is anticipated that the entire City, including businesses and
residents, will benefit from increased revenues generated by the activities financed by the
BIA assessment.
The following businesses will be included in the BIA that is established pursuant to Streets
& Highways Code § 36500 et seq., the businesses commonly known as:
Ayres Country Inn & Suites
Property Address: 325 and 345 Bristol Street, Costa Mesa
Business Owner: Newport Country Inn & Suites, Inc.
355 Bristol Street, Suite A
Costa Mesa, CA 92626
Property Owner: Newport Country Inn & Suites, Inc.
355 Bristol Street, Suite A
Costa Mesa, CA 92626
Best Western Plus Newport Mesa Inn
Property Address: 2642 Newport Boulevard, Costa Mesa
Business Owner: James Hsuen
Shang -Pu Lee
2642 Newport Boulevard,
Costa Mesa, CA 92627
Property Owner: James Hsuen
Shang -Pu Lee
2642 Newport Boulevard,
Costa Mesa, CA 92627
Hilton Costa Mesa
Property Address: 3050 Bristol Street, Costa Mesa
Business Owner: Ashford Hospitality Trust
14185 Dallas Parkway, Suite 1100
Dallas, TX 75254
Resolution No. 16-23 Page 7 of 11
Property Owner: Remington Lodging & Hospitality LP
14185 Dallas Parkway, Suite 1100
Dallas, Texas 75254
Crowne Plaza
Property Address: 3131 Bristol Street, Costa Mesa
Business Owner: Brighton Management
1901 Main Street, Suite 150
Irvine, CA 92614
Property Owner: 3131 Bristol Property UC, LLC
2711 Centerville Road, Suite 400
Wilmington, DE 19808
Holiday Inn Express Hotel & Suites
Property Address: 2070 Newport Blvd., Costa Mesa
Business Owner:
Property Owner:
Narendra B. Patel
2070 Newport Blvd.
Costa Mesa, CA 92667
Narendra B. Patel
2070 Newport Blvd.
Costa Mesa, CA 92667
Costa Mesa Marriott
Property Address: 500 Anton Boulevard, Costa Mesa
Business Owner: Marriott International
10400 Fernwood Rd.
Bethesda, MD 20817
Property Owner: Host Hotels & Resorts
6903 Rockledge Dr., Suite 1500
Bethesda, MD 20817
Ramada Inn & Suites Costa Mesa
Property Address: 1680 Superior Ave., Costa Mesa
Resolution No. 16-23 Page 8 of 11
Business Owner: B.D. Inns Inc./Ramada Ltd.
1680 Superior Ave.
Costa Mesa, CA 92627
Property Owner: B.D. Inns Inc./Ramada Ltd.
1680 Superior Ave.
Costa Mesa, CA 92627
Residence Inn by Marriott
Property Address: 881 Baker Street, Costa Mesa
Business Owner: Marriott International
10400 Fernwood Rd.
Bethesda, MD 20817
Property Owner: ING Clarion Partners
2650 Cedar Springs Road, Suite 850
Dallas, TX 75201-1491
The Westin South Coast Plaza Hotel
Property Address: 686 Anton Boulevard, Costa Mesa
Business Owner: Host Hotels & Resorts
6903 Rockledge Dr., Suite 1500
Bethesda, JD 20817
Property Owner: CJ Segerstrom & Sons
c/o South Coast Plaza
686 Anton Boulevard
Costa Mesa, CA 92626
Avenue of the Arts Wyndham Hotel
Property Address: 3350 Avenue of the Arts, Costa Mesa
Business Owner: Rosanna Inc.
3350 Avenue of the Arts
Costa Mesa, CA 92627
Resolution No. 16-23 Page 9 of 11
Property Owner: Rosanna Inc.
3350 Avenue of the Arts
Costa Mesa, CA 92627
BLVD Hotel
Property Address: 2430 Newport Blvd, Costa Mesa
Business Owner: Hollywood Corner Inc.
2430 Newport Blvd
Costa Mesa, CA 92627
Property Owner: Shyamal Patel, CA 92782
16609 Honeybee Dr.
Tustin, CA 92682
Resolution No. 16-23 Page 10 of 11
EXHIBIT B
The BIA assessment will be used to fund the Costa Mesa Conference & Visitor Bureau
(CVB). The CVB will fund activities to promote tourism in Costa Mesa and will sponsor
related tourist events that benefit the hotel and motel businesses within the City.
The specific improvements and activities to be funded by this assessment are outlined in
the CMCVB's 2013-2014 Annual Report.
Revenue
A three percent (3%) levy will be assessed against each of the 11 hotels listed in Exhibit
A, based on the net revenue from the sale of overnight room stays.
Business owners shall pay the assessment to the Costa Mesa City Finance Department
on a monthly basis. A penalty and interest shall be assessed on late payments.
Note: New hotel and motel businesses commenced after the effective date of this
resolution will be exempt from the levy of assessment.
Resolution No. 16-23 Page 11 of 11