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Home My WebLink About00-01 Increasing Annual Business Improvement Area Assessment; Seven Largest HotelsORDINANCE NO. 00-1 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA INCREASING THE ANNUAL BUSINESS IMPROVEMENT AREA ASSESSMENT LEVIED ON THE CITY'S SEVEN LARGEST HOTELS. THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY ORDAIN AS FOLLOWS: Section 1. The City Council of the City of Costa Mesa does hereby find and declare as follows: A. WHEREAS, the California Legislature in adopting the Parking and Business Improvement Area Law of 1989 (Streets & Highways Code § 36500 et. seq.) authorized cities to levy assessments on businesses in order to promote economic revitalization and tourism, to create jobs, attract new businesses and prevent erosion of business districts; B. WHEREAS, on July 5, 1995, by Ordinance No. 95-9, the City Council adopted a business improvement area, commonly known as the Costa Mesa Tourism & Promotion Council business improvement area, the purpose of which is to fund programs to promote tourism to the City; C. WHEREAS, the City Council has voted to continue the special assessment each year since its inception, including the adoption in July 6, 1999 of Resolution No. 99-47, authorizing the assessment for fiscal year 1999-2000; D. WHEREAS, the major hotels within the City of Costa Mesa have since requested that the City Council commence proceedings under the Parking and Business Improvement Area Law of 1989 to increase the business improvement area assessment to raise additional funds; E. WHEREAS, the hotels have requested that the City Council increase the assessment, which is based on the sale of overnight guest room stays, from one percent (1 %) to two percent (2%); F. WHEREAS, the additional funds raised are to be used to enhance the programs and activities of the Costa Mesa Tourism & Promotion Council, including the hiring of additional staff to promote Costa Mesa as a tourist destination, including a full-time sales representative and administrative assistant; G. WHEREAS, on December 3, 1999, the City Council adopted and published a Resolution of Intention declaring the intention to increase the business improvement area assessments for the Costa Mesa Tourism & Promotion Council; and H. WHEREAS, a public hearing on the proposed increase was held on January 3, 2000 without protest. Section 2. The annual 'assessment on the business improvement area known as the Costa Mesa Tourism and Promotion Council shall be increased from one percent (1 %) to two percent (2%), effective March 1, 2000. This assessment shall be based on the sale of overnight room stays. It shall be levied on the owners .of the seven hotels listed in Exhibit A, which is attached hereto and incorporated herein by this reference. New hotel and motel businesses that commence after the effective date of the ordinance will be exempt from the levy of assessment, P" pursuant to Streets & Highways Code § 36531 and § 36535. Section 3. The type or types of programs and activities to be funded by the assessment are listed in Exhibit B and C attached hereto and incorporated herein by this reference. Section 4. The method and basis of levying the Costa Mesa Tourism & Promotion Council business improvement area assessment is set forth in Exhibit B. The assessment shall be collected at the same time and in the same manner as the Costa Mesa Transient Occupancy Tax is collected pursuant to the Costa Mesa Municipal Code. Section 5. This Ordinance shall take effect and be in full force and effect thirty (30) days from and after its passage and, before the expiration of fifteen (15) days after its passage, shall be published once in the NEWPORT BEACH -COSTA MESA PILOT, a newspaper of general circulation printed and published in the City of Costa Mesa, or, in the alternative, the City Clerk may cause to be published a summary of this Ordinance and a certified copy of the text of this Ordinance shall be posted in the office of the City Clerk five (5) days prior to the date of adoption of this Ordinance, and within fifteen (15) days after adoption, the City Clerk shall cause to be published the aforementioned summary and shall post in the office of the City Clerk a certified copy of this Ordinance together with the names of the members of the City Council voting for and against the same. 3 PASSED AND ADOPTED this 17"' day of January, 2000. ATTEST: T-. Deputy City Jerk of the City of Costa Mesa STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF COSTA MESA ) n .._1 Mayor of the City of Costa Mesa APPROVED AS TO FORM CITY ATTOR d� I, MARY T. ELLIOTT, Deputy City Clerk and ex -officio Clerk of the City Council of the City of Costa Mesa, hereby certify that the above and foregoing Ordinance No. 00-1 was introduced and considered section by section at a regular meeting of the City Council held on the V day of January, 2000, and thereafter passed and adopted as a whole at a regular meeting of the City Council held on the 17'' day of January, 2000, by the following roll call vote: AYES: Monahan, Cowan, Erickson, Somers, Dixon NOES: None ABSENT: None IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of the City of Costa Mesa this 18t" day of January, 2000. 4 Deputyity Clerk and ex -officio Clerk of the Cit ouncil of the City of Costa Mesa EXHIBIT A The 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. The following businesses will be included in the business improvement area that is established pursuant to Streets & Highways Code § 36500 et seq., the businesses commonly known as: 1. Country Inn & Suites by Ayres Property Address: 325 and 345 Bristol Street, Costa Mesa Corporate Office: Ayres Hotel Group 355 S. Bristol St., Ste. A Costa Mesa, Ca. 92626 2. Doubletree Hotel Property Address: 3050 Bristol Street, Costa Mesa Corporate Office: Promus Hotel Corporation 755 Crossover Lane Memphis, Tennessee 38117 3. Holiday Inn Costa Mesa Property Address: 3131 Bristol Street Costa Mesa, Ca. 92626 Corporate Office: Hanford Hotels 4 Corporate Plaza # 102 Newport Beach, CA 92660 4. Marriott Suites Costa Mesa Property Address: 500 Anton Boulevard Costa Mesa, Ca. 92626 Corporate Office: Marriott International P.O. Box 98213 Washington, D.C. 20077-7339 5. Residence Inn - Costa Mesa Property Address: 881 Baker Street Costa Mesa, Ca. 92626 Corporate Office: Marriott International P.O. Box 98213 Washington, D.C. 20077-7339 6. Westin South Coast Plaza Hotel Property Address: 686 Anton Boulevard Costa Mesa, Ca. 92626 Corporate Office: Westin Corporate Office 2001 6th Avenue Seattle, WA 98121 7. Wyndham Garden Hotel Property Address: 3350 Avenue of the Arts Costa Mesa, Ca. 92626 Corporate Office: Wyndham Hotels & Resorts 1950 Stemmons Freeway Ste. 6001 Dallas, Texas 75207 M �1 ja I I_7 L�-1 The BIA assessment will be used to fund The Costa Mesa Tourism and Promotion Council (CMTPC). The CMTPC will actively fund activities to promote tourism and related tourist events that benefit the, hotel and motel businesses within the City of Costa Mesa. The specific improvements and activities to be funded by this assessment are outlined in the 1999-2000 fiscal year budget attached hereto as Exhibit C. Revenue A two percent (2%) assessment will be levied on the sale of overnight room stays at the seven hotels listed in Exhibit A. Note: New Hotel/Motel businesses commenced after the effective date will be exempt from the levy of assessment. I Jul Aug! Sep: Oct! NOVI Decl Jaw Feb I Mart Apr Maryl Jun! Total Meft Cam n: 1 32445 38218 5743! 27440 62151 62151 4000 5524 191321 13001 364771 46SUI 240998 PM2%a hy 2000 : 1 SOOT 25DO Creativ Desi n 50001 3000 i — 8000 Production I _ _ _: 1 1000 25001 1 2500 25001 2500 1 11000 Answer Network: 1 1400' 1400 1400 1400 14001 14001 1400 1400 1400 1400 14001 16800 Spongorships 22500 2500 � 8000 5000 1 4500'142500 Cert, Brochure Dist. I : I 600 600° 600 600 60-01 6001 3600 Trd" Brochure Dist _ I -r 500 ! -35D 5MI Sw: 50 1900 MecW Relation: I i 0 Retainer 5000 5000' 25001 2500: 25002500 25001 2500 25001 2500! 2500; 25001 35000 OCPAC Brochure 1 I 36WI, 44001 1 1 1 1 8000 Consultant I 30001 30001 i 500 —_� SWI ! 7000 Barter/Commission 5000 5000y 10000 TOTAL EXPENSE 26 1 X591 71 tat , 7 7 IM1_0 ! 0 I $,74,M Gift Certificate Pkg 1 1 13100 Motel Promotions: Country Inn ) ( $3,821 E3,821 53,821 $3,821 ! 15284 Doubletree _ I _�_ I 1 $6,114 -' _ I - _ $6,114' 52,802 _ $6,114 $2.802 ��£6,114 I 52,802 _ i 24456 111208 1---�- $2,802 1$01$44 Inn- 1 ) Marriott Suites I 1 I I $3.0571 - +�_53 057 $3.057: $3,0571 12228 Residence Inn Westin ! - W m Conti ent Items: S ial ProwaioRa Total AU Ex nses Netlncome -- - 1 Balance fwd - FY4 Cash on hand at 1 —T 1 $1.7831 I -- - - 34,&$0 ------ -- L.... 1-- ---- -- - -- - } S3 057 ----- --- ------•-� -----•---��-- --- 1 900 -_ itt - - 0 - - - ----- 0 4 4! 644142, �7 `� $ 4 t .$6,732 -58,004 :$12,122' -522,780 .$19,292 $2,962 -321,254 _-i-..------I---- I — ---- --i - —i 669241 _ { --$40.0661 61.71331 51,7631 I $1,7831 — 54.840' 54.840 I $4,8401 -- - ----- ..... -- - $:5,057! 53.Q57 _ ___ __- 1 53.0571 -•--- � 1 Q� ------ -� _ -- —r— - 76 6 3"550 86 066: r $3,136 £25.950 522,540 55,234 - ----.._.�� 1 -- _ 7132 193W I 12228 1 7 7 61 -$14,0 -$8,131 $66.924 End Of Each Month 560.192$ 552188` 540066 517,306 51,986� $976- $22,2301 519,094. 545,0411 $67,584 $72,8181 5587931 $58.793