Agenda — Avalon City Council, February 15, 2022 (part 2 of 2)

Julie Gilbert
subcontract to another environmental consulting firm, to prepare the Preliminary Environmental Study (PES), coordinating environmental technical studies, and authoring the CEQA Initial Study, Mitigated Negative Declaration.

CEQA, NEPA, Jurisdictional Waters Permitting, Biological Opinion Input - San Sevaine Creek Water Project. (2000). While with San Bernardino County Flood Control District, Ms.

Gilbert completed an 18-month successful effort to negotiate all permits and mitigation requirements with the Bureau of Reclamation, Flood Control District operations staff, and the US Fish and Wildlife Service (USFWS) for the construction of the $40 million regional flood control facility. Ms. Gilbert had been assigned to the project after it had been halted for two years due to stalled environmental negotiations over a newly listed species over which the USFWS had previously issued a jeopardy opinion. As the new project manager, Ms. Gilbert worked directly with engineers to re-design a section of the channel to accommodate the environmental sensitivites and still maintain hydraulic capacity. She then gained concurrence Trom regulatory agencies regarding mitigation land set-asides and mitigation measures, and prepared the Mitigation Monitoring and Reporting Program plan (MMRP). Ms. Gilbert then prepared amended CEQA and NEPA documents and jurisdictional waters permitting documentation, all of which were also approved. The project was later constructed.

Antelope Valley - East Kern Water Agency (AVEK), West Avenue H Wellfield Project:

Initial Study/Mitigated Negative Declaration. (2014). AVEK proposed to construct three potable groundwater wells, associated delivery and transmission pipelines and modifications to existing chlorination facilities on two sites in order to provide an additional supply of groundwater to meet demands during periods of below average allocation of imported water from the State Water Project as well as use as an emergency supply. For this project, Ms. Gilbert, prior to forming Compass, was the lead author, working as the CEQA subconsultant to the prime engineering firm, prepared a thorough initial Study / Mitigated Negative Declaration (IS/MND) in accordance with CEQA. The reduced water supply in the region due to the drought was a significant issue, resulting in the need to demonstrate that the project would not result in overdraft significant enough to cause subsidence. Other complex issues included but were not limited to aesthetics, agricultural, air quality, biological resources, floodplain, and land use. Ms.

Gilbert worked with the clients to develop solutions and mitigation measures to ensure that the project would have a less than significant effect on the environment with the mitigation incorporated. The Initial Study received few and minor comments, and the AVEK Board publicly adopted the Mitigated Negative Declaration.

Initial Study/Mitigated Negative Declaration - New Groundwater Production Well No. 3, Three Valleys Municipal Water District (TVMWD). (2016). Prepared this CEQA compliance document for the TVWD to construct a new groundwater production well. The project contained several key complex issues including that the site was on a large lot in a residential area, several groundwater production wells in the vicinity, and a groundwater table that had been impacted by the drought and high nitrate levels. Ms. Gilbert assisted the project team and the TVMWD to develop a project that would meet TVMWD's needs and still have a less than significant effect on the environment. Key issues included strategies to modify the well house building to reduce nose impacts to nearby residents, developing mitigation measures to alleviate resident concems about noise during construction, and modifying the pumping parameters to reduce potential impacts to the groundwater table.

Mojave Water Agency - Groundwater Replenishment Program - Off Channel Environmental Impact Report Addendum. The Mojave Water Agency (MWA), the lead agency under the Califoria Environmental Quality Act (CEQA), certified the Water Supply Reliability and Groundwater Replenishment Program Final Project Environmental Impact Report

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Julie Gilbert
in January 2006 (SCH Number 2005041103, referred to as the R3 PEIR). The Project included the construction of recharge areas, siting of approximately 22 extraction wells, construction of conveyance pipelines, and construction of a disinfection facility. Since the adoption of the R3 PEIR, the MWA purchased two properties that were not within the area directly analyzed by the R3 PER, but which were immediately adjacent to the areas analyzed in the R3 PEIR, in order to develop the two off-channel recharge areas envisioned in the R3 PEIR. Jericho was asked to assist the MWA in complying with CEQA so that they could develop the newly-purchased parcels into the projects envisioned in the R3 PEIR. Ms. Gilbert thoroughly reviewed the R3 PEIR, the CEQA Guidelines and statutes, along with the recent biological and jurisdictional waters resources report and was able to determine that though the new parcels recently purchased for the off-channel recharge were not directly identified in the R3 PEIR, the adjacent areas were similar enough in character that MWA could prepare an Addendum to the EIR to comply with CEQA and allow the projects to move forward. Ms. Gilbert then prepared a thorough EIR Addendum that assessed the two new sites consistent with the R3 PEIR. The Addendum was successfully adopted by the MWA Board.

Initial Study/Mitigated Negative Declaration and Jurisdictional Waters Permitting - Routine Maintenance of City's Drainage Facilities, City of Highland. (January 2017).

Prepared the CEQA document for the City of Highland to conduct routine maintenance work within the City's existing 25 storm drain facilities located in the City of Highland to maintain public safety. Work necessary generally consists of vegetation management, vector control, excavation to reestablish flowline and design capacity, bank repair and concrete repair. To conduct the work, the City is required to comply with the California Environmental Quality Act (CEQA) and obtain permits from multiple agencies. For this project, Ms. Gilbert, prior to forming Compass, worked with the City Public Works staff and prepared a complete inventory of all the facilities, noting any endangered species and special vegetation communities such as wetlands and riparian areas. Ms. Gilbert also worked with the staff to identify the type of maintenance, acreage, equipment, satety measures, and avoidance and minimization measures for each facility. As of January 2017, the CEQA documents were being circulated for public review by the State, various stakeholders, and more than 400 adjacent property owners.

New Program and Public Policy Development, Various. Throughout her career, Ms. Gilbert has utilized her organizational, public engagement and public policy knowledge to help develop programs, projects and public policy for public benefit from conception to construction, including but not limited to:
• Preliminary Jurisdictional Determination Development with Corps of Engineers.

Several key court decisions in 2006 significantly affected the Corps of Engineers wetland permitting regulations. As the senior planner overseeing jurisdictional waters permitting for several hundred San Bernardino County Flood Control District facilities, Ms. Gilbert worked directly with the Los Angeles Region of the Corps of Engineers and developed draft "Preliminary Jurisdictional Determination" rules and forms, to reduce permitting complexities where there was no dispute as to the presence of Corps jurisdictional waters. The Los Angeles Region of the Corps of Engineers then implemented this process and continues to use it. This now federal process originated out of Ms. Gilbert's efforts to assist both permittees and the Corps with streamlining the jurisdictional permitting process.
• Cell Tower Ordinance, San Bernardino County. While working as the County Supervisor liaison in the late 1990s and early 2000s, the region's cell tower network was rapidly blooming. Due to significant public outcry by residents over the poor placement choices and aesthetics of the construction of numerous towers, Ms. Gilbert worked directly with

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Julie Gilbert
residents and County Planning staff to develop the County's first cell tower siting ordinance to prevent cell towers being located adjacent to residences. Also, co-authored with County Planning, guidelines requiring cell towers to reduce visual impacts to the community by incorporating camouflaging features, such as disguising the tower as a tree or placement within existing structures such as bell towers where applicable. San Bernardino County's ordinance was the first of its kind, and other counties and cities followed the County's example.

Lake Gregory Regional Park Outer Trail. While working as the County Supervisor liaison In 2002, Ms. Gilbert brought together County engineers and the community to design a $1.2 million walking and bicycling trail around Lake Gregory Regional Park in Crestline.

Ms. Gilbert also authored the federal grant application, which resulted in the trail's construction in 2003. Work included: stakeholder collaboration, leading public meetings, development of trail alternatives, assisted with the environmental negotiations for the removal and replacement of native trees to facilitate the final trail route. • Old Fire Disaster Cleanup Program - County of San Bernardino. The Old Fire burned nearly 300 homes throughout the San Bemardino Mountains in October 2003. At the time of the fire, the County did not have a disaster debris management program. Responsible for developing the County's first Fire Disaster Cleanup Program that took place between January 5, 2004 and March 30, 2005. Ms. Gilbert, as the senior solid waste planner, personally developed the program concepts then worked with FEMA staff and County engineers to implement a "block removal" program where the contractors could work in whole neighborhoods thereby reducing costs in a manner that was FEMA-compliant for reimbursement. Program included establishing a customer call center to be staffed by recipients of the County's Welfare-to-Work program. Responsible for personnel interviewing, selection, and personnel management of the call center employees, as well as interviewing, selection, and managing contract program staff. Also, actively program for asbestos and burned vehicle removal. Program implementation included developing the policy, negotiating with applicable regulatory agencies, developing public service announcements, and leading the contractor bid process, and tracked contract performance. The policies and procedures developed during this program have been formally integrated into a formal County policy for disaster debris management program that has been used in several other County disasters since 2003.

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Julie Gilbert

RECEIVED
02-09-222
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CITY OF AVALON
Commission/Committee Application Form
If you are interested in serving on one of the various commissions or committees, please complete heaton Cadyop koad, Post Surce ox 07, Avilon, CA 90704. This applicaty of lad availa 1, Avalon, CA 90704. This application is also available on the City's website www.cityofavalon.com
If possible, applicants are asked to attend at least one meeting of the commission or committee for which they are applying prior to participating in the application process.

The City of Avalon is an equal employment opportunity employer and does not discriminate in making appointments upon any basis prohibited by law, including race, color creed, religion, age, sex, national origin, ancestry, sexual orientation, marital status, military status, or disability. None of the questions or information sought in this application are intended to discriminate based upon any status protected by law.

Please print if filling by hand:

COMMISSION/COMMITTEE FOR WHICH YOU ARE APPLYING:

Planning Commission
MS)MRS./MR: Mary Schickling
TELEPHONE: 310.592.0173 310.903.2456
Home: Work or Cell:

HOME STREET ADDRESS: 139 whittley Ave #1
MAILING ADDRESS:_ Po Box 83
YEAR YOU BECAME AN AVALON RESIDENT: 1994
ARE YOU A REGISTERED VOTER IN THE CITY OF AVALON? YES
WOULD YOU BE ABLE TO ATTEND DAYTIME MEETINGS? Mondays only WOULD YOU BE ABLE TO ATTEND EVENING MEETINGS? YES
DESCRIBE YOUR INTEREST IN THE PLANNING COMMISSION:
l've been an active member of this
commonity tor 28 years and have a
passion tor preserving the charm & integrity of affordabke this town, while recognizing the need for growth s housin

WHAT PERSONAL STRENGTHS DO YOU HAVE THAT WOULD MAKE YOU QUALIFIED FOR THIS POSITION?
I'm very logical minded, organized, Smart & hove
great people skills. I can separate myself from
personal beliets for the benefit of the graster good.

WHAT HAS BEEN YOUR EXPERIENCE WITH OTHER BOARDS/ORGANIZATIONS THAT YOU BELIEVE WOULD BE BENEFICIAL TO YOU SERVING IN THIS POSITION? I've been on the board of the Art Association for the
last 10 yis. This resuires much planning d consideration for Safety i comfort of our guests when planning 2 festvalslyr.

CURRENT OCCUPATION AND LAST TEN YEARS EMPLOYMENT HISTORY:

I'm currently employed with Southern California
Edr son and have been Since 2007
EDUCATIONAL BACKGROUND: BA Degree

WHAT ADDITIONAL INFORMATION WOULD YOU LIKE US TO KNOW TO BETTER ASSESS YOUR SUITABILITY FOR THIS APPOINTMENT?
I love this town # recognize our onig ve confines
when it comes to growth while maintaining the
Charm that attracts visitors of pleases the papulous
at the sume time
REFERENCES: (Provide Name and Phone Number)
• 1. Mike Maber (So.Cal. Edison) 619.2066789

2. Evin Eubanks (cookie Co, Poose Tours...) 310.968.1243

3. Megan wright (cate Metropok, Pancake (ott) 562-544.4236 DATE: 2|8|22
i illit.

CITY OF AVALON
Commission/Committee Application Form
If you are interested in serving on one of the various commissions or committees, please complete the attached application and supplemental questionnaire and return it to the City of Avalon, 410 Avalon Canyon Road, Post Office Box 707, Avalon, CA 90704. This application is also available on the City's website www.cityofavalon.com
If possible, applicants are asked to attend at least one meeting of the commission or committee for which they are applying prior to participating in the application process The City of Avalon is an equal employment opportunity employer and does not discriminate in making appointments upon any basis prohibited by law, including race, color creed, religion, age, sex, national origin, ancestry, sexual orientation, marital status, military status, or disability. None of the questions or information sought in this application are intended to discriminate based upon any status protected by law.

Please print if filling by hand:

COMMISSION COMMITTEE FOR WHICH YOU ARE APPLYING:

Planning Commission
MS /MR$/MR : Mr. Steven Remery
714-501-4203 562-430-7555
TELEPHONE:

Home Work or Cell:

HOME STREET ADDRESS: 210-A Metropole, Avalon, CA 90704
MAILING ADDRESS 216 Main Street, Seal Beach, CA 90802
YEAR YOU BECAME AN AVALON RESIDENT: n/a
ARE YOU A REGISTERED VOTER IN THE CITY OF AVALON? na
WOULD YOU BE ABLE TO ATTEND DAYTIME MEETINGS? Yes
WOULD YOU BE ABLE TO ATTEND EVENING MEETINGS? Yes
DESCRIBE YOUR INTEREST IN THE PLANNING COMMISSION:

As a businessman, I am experienced in strategic planning, therefore, my interest in the pianning commission is very serious. I am the publisher of the Catalina Islander, therefore, Avalon's social and economic prospects are closely aligned with the future of our business.

WHAT PERSONAL STRENGTHS DO YOU HAVE THAT WOULD MAKE YOU QUALIFIED FOR THIS POSITION?
I believe that I have all the skills required for the planning commission. My experience at the Islander provides a real-time snapshot of Avalon's social and economic activities. This gives me the qualifications to judge the viability of projects presented to the commission.

WHAT HAS BEEN YOUR EXPERIENCE WITH OTHER BOARDS/ORGANIZATIONS THAT YOU BELIEVE WOULD BE BENEFICIAL TO YOU SERVING IN THIS POSITION? For years, I have served on more than a dozen corporate boards and commissions. In addition, I have served on a number of ad-hoc planning entities that provide strategic planning for the various community initiatives and projects served by our company.

CURRENT OCCUPATION AND LAST TEN YEARS EMPLOYMENT HISTORY:
2015 to current - Group Publisher of Orange County Neighborhood Newspapers 2009 to current: Managing Member, Albaugh One, LLC
2010 to current: Managing Member, UPD, Inc.; 2010 to current: CEO, Tracer Corporation EDUCATIONAL BACKGROUND: _
B.S. Paralegal Studies, University of La Verne, La Verne B.A. Business Administration, University of California, Irvine

WHAT ADDITIONAL INFORMATION WOULD YOU LIKE US TO KNOW TO BETTER ASSESS YOUR SUITABILITY FOR THIS APPOINTMENT?
In addition, I manage a portfolio of companies and have for over a decade. Most of which, have multi-million doliar budgets. This provides valuable experience that would be useful in making decisions for this commission.

REFERENCES: (Provide Name and Phone Number)

1. Chad Berlinghieri 949-584-2636

2. Aaron Hills 562-355-3884
3 Ignacio Ocequera 310-968-5593
02/08/2022
DATE:

CITY OF AVALON CITY COUNCIL
MEETING DATE: February 15, 2022 AGENDA ITEM: 10
ORIGINATING DEP: Administration CITY MANAGER OMel
PREPARED BY: Devin Hart, Administrative Analyst & Deputy City Clerk Matt Baker, Finance Director
SUBJECT: Consider Resolution of Intention to Establish the Catalina Island Tourism Business Improvement District
RECOMMENDED ACTION(S): Discuss. If consensus, adopt a resolution of intention to establish the Catalina Island Tourism Business Improvement District and direct Staff to schedule a public meeting on March 15, 2022, and a public hearing for April 19, 2022.

REPORT SUMMARY: This item appears on the agenda at the request of Love Catalina - Catalina Island Tourism Authority.

On December 13, 2021, City Staff, on behalf of Love Catalina, submitted a mailer to affected business owners describing Love Catalina's desire to establish the Catalina Island Tourism Business Improvement District (CITBID). The CITBID is a business improvement district proposed to levy assessments on businesses to generate revenue to help fund sales, marketing & communications and destination development programs for Catalina Island area lodging businesses and golf cart rental companies. The proposed CITBID includes all lodging businesses available for public occupancy, as well as all golf cart rental companies within the boundaries of Catalina Island, including the City of Avalon and the unincorporated area of Los Angeles County. Any future lodging and golf cart rental companies would be included in the CITBID.

The CITBID assessment rate for lodging businesses is one percent (1%) of gross short-term room rental revenue. Based on the benefit received, assessments will not be collected on: stays of more than thirty (30) consecutive days; any federal or state officer or employee when on official business; any officer or employee of a foreign government who is exempt by reason of express provision of federal law or international treaty; and stays pursuant to contracts executed prior to June 1, 2022. The assessment rate for golf cart rental businesses is one dollar ($1.00) per rental.

Love Catalina projects the CITBID may generate approximately $540,000 annually. Currently, Love Catalina receives 22% of the City's Transient Occupancy Tax (TOT) collected for promotion and music and as provided in Government Code Section 37110. Below is the amount of Love Catalina's TOT revenue received and as a percentage of Love Catalina's Total Support and Revenue for the last three fiscal years:
• 2019 Allocation: $1,187,900 (68.2% of Total Support and Revenue) • 2020 Allocation: $ 985, 100(65.2% of Total Support and Revenue) • 2021 Allocation: $1,323, 100(87.7% of Total Support and Revenue) In order to begin the process of formally establishing the CITBID, Love Catalina was required to receive signed written petitions in support of the assessment from business owners representing more than fifty percent (50%) of the proposed assessments to be levied. The estimated share of the proposed assessment for lodging businesses was determined based on the business's gross receipts subject to TOT for the fiscal year ended June 30, 2021 (FY21) as reported to the City on the monthly transient tax forms. The estimated share of the proposed assessments for golf cart rental companies was determined based on the numbered receipts reported on the monthly admission tax report for FY21.

The CITBID petition mailer was sent to 368 lodging operators, as well as both golf cart rental businesses, with active business licenses with the City of Avalon.

To meet the City Council agenda timeline, the stated deadline for petition submission outlined in the petition mailer was January 7, 2022; however, Love Catalina did not amass the required 50% support by that time and the deadline was extended. At the time this report was authored, Love Catalina had received affirmative support from 21 respondents for 30 properties and one of the two golf cart rental companies - representing 50.36% of the proposed assessment.

Respondents in support of the formation of the CITBID are listed below in alphabetical order:

Banning House Lodge (Two Harbors) Hotel Atwater
Bellanca Hotel Hotel Mac Rae
Mesa Bradley (107b and 107c Pebbly Hotel Vista Del Mar
Beach Road) Clarence Hunt (330 Whittley)
Casa Santa Cruz (Two Harbors) Island Express Helicopters (59 Camino de Casa Santa Rosa (Two Harbors) Flores)
Catalina Dream Vacations (15 Camino de Kellogg Trust (315-3161/2 Catalina Ave) Flores) Nancy McClintock (29 Camino de Flores)
Catalina Island Inn Debra Markey, Big Blue House
Catalina Canyon Inn Mt. Ada
Catalina Island Golf Carts Jason Paret (134 Whittley Ave) Leslie and Mel Dinkel (360 Clemente, 40 Pavilion Hotel
Camino de Flores) Alan and Helen Petersen (310 Descanso) El Terado Terrace Hotel Peter Shusterman (2-36 Camino de Flores) Estimos Pecdidos LLC (305 Sumner) Snug Harbor Inn
Hermosa Hotel Zane Grey Pueblo Hotel
It should be noted, after receiving a signed petition of affirmative support, one property owner submitted a written communication indicating they were not in favor of the CITBID. The property owner did not indicate they would like to rescind their previously submitted petition in support of the CITBID; however, if the petition was removed from consideration, Love Catalina would have amassed approximately 50.24% support from assessed businesses.

As the overall level of support is greater than 50%, the City Council may consider adopting a resolution of intention to establish CITBID and direct City Staff to schedule a public hearing on March 1, 2022.

BACKGROUND
In California, TBID's are primarily formed pursuant to the Property and Business Improvement District Law of 1994 (94 Law). This law allows for the creation of a special benefit assessment districts to raise funds within a specific geographic area. The key difference between TBID's and other special benefit assessment districts is that funds raised are returned to the private non- profit corporation governing the TBID.

MANAGEMENT DISTRICT PLAN
The Management District Plan includes the proposed boundary of the CITBID, a service plan and budget and a proposed means of governance.

Love Catalina will serve as the Owner's Association and will form a CITBID Committee comprised of 5 seats - three Hotel owners/owner representatives, one golf cart rental owner/owner representative, and one vacation rental owner/owner representative. Love Catalina and the CITBID Committee will be in charge of managing funds and implementing programs in accordance with the CITBID's Management District Plan.

Per CITBID's Management District Plan, "The 'baseline level of services' is those tourism marking services, provided by the Bureau [Love Catalina], funded by the City. The CITBID funded services will supplement, not supplant, the City's pre-existing tourism marketing funding to the Bureau [Love Catalina]. In the event the City reduces Bureau [Love Catalina] funding to a level below the baseline subsequent to the formation of the CITBID, assessed businesses will gather petitions to disestablish the CITBID pursuant to Streets and Highways Code 36670 (a) (2)."
The established CITBID will have a five (5) year term, beginning June 1, 2022, or as soon as possible thereafter, and end five (5) years from its start date. If approved, the assessment will be implemented beginning June 1, 2022. Once per year beginning on the anniversary of CITBID establishment there is a thirty (30) day period in which business owners paying fifty percent (50%) or more of the assessment may protest and begin proceedings to terminate the CITBID.

The City of Avalon and Los Angeles County will be responsible for collecting the assessment on a monthly basis (including any delinquencies, penalties and interest) from each assessed business located within their respective jurisdictions in the boundaries of the CITBID. The City and the County shall take all reasonable efforts to collect the assessments from each assessed business within their respective jurisdictions in the boundaries of the CITBID.

FISCAL IMPACTS: None.

CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION:

FOLLOW UP ACTION: Implement City Council direction.

ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.

ATTACHMENTS:

1. December 13, 2021 Petition Mailer

2. Written Communications

3. CITBID Management District Plan
Resolution of Intention

LONE COTALE
•ISLAND
Tourism Authority
December 13, 2021
Dear Catalina Island Business Owner:

Over the last few years, a committee of Catalina Island lodging businesses and industry stakeholders have been working together to create a Tourism Business Improvement District (TBID) for Catalina Island. Efforts to do so were initially recommended at a Catalina Island Chamber of Commerce & Visitors Bureau (now Love Catalina Island) Board Retreat in 2019. The proposed district would provide sales, marketing and destination development programs, designed to increase demand for occupancy and increase room rates for lodging businesses, and increase golfcart rental sales. Funds would be raised through a small assessment on lodging stays and golfcart rentals, paid by the visitor, and are used to provide services directly benefitting the assessed businesses in the district.

We all know that the pandemic has had a significant impact on the tourism industry.

However, year-long lockdowns have created pent-up demand, which has brought us some return to "normal". The TBID will be crucial as we look to the future, as we will need funding to compete with the array of recovery-messaging in the marketplace to ensure that Catalina Island is top-of-mind when it comes to travel.

We understand that this is a very uncertain time right now. However, we believe that now, more than ever is when our industry should do everything that we can to secure dedicated and stable funding for promoting Catalina Island in the coming years. We need your help to make it a reality!
You are receiving this letter because you represent a business within the proposed district.

We need your support to begin the process of district formation. Enclosed for your review and signature is a petition asking the City of Avalon to begin the district formation orocess.

There are currently 114 TBIDs in California that have provided remarkably stable revenue for tourism promotion. TBID funding cannot be diverted for any use beyond the tourism priorities which have been established by our Steering Committee, and will ultimately be approved by the City through the hearing process.

Please show your support for making Catalina Island an even better place to live, work and do business by signing and returning your petition today. Please review and sign the enclosed petition asking the City to begin the district formation process. Complete your petition by:

1. Providing the name and address of your business.

2. Signing the petition. (Only the business owner/authorized representative may sign

3. Dating the petition.

Petitions must be completed and returned by January 7, 2022. We ask you to review the petition, sign and date it, and return to the Catalina Island Tourism Authority (CITA) in one of the following ways:

1. Scan and email your signed and dated form to Jim Lüttjohann at [email protected]

2. Drop your form off at the Catalina Island Visitor Center, located at 1 Green Pleasure Pier, Avalon, CA 90704.

3. Ask us to personally stop by your hotel/business and pick up your form. We'll gladly stop by. For this, call or email:

Jim Lüttjohann [email protected] 310-510-7643
Nicole Hohenstein [email protected] 310-510-0311
Tim Kielpinski [email protected] 310-510-2595 x 105 Thank you in advance for your time and dedication to building a stronger destination! If you have any questions about the proposed District or your petition, please visit https://www.lovecatalina.com/tbid/ or contact any of the committee leaders below.

Regards,
Jim Lüttjohann
Love Catalina Island Tourism Authority, President & CEO [email protected]
310.510.7643
Tim Kielpinski
Love Catalina Island Tourism Authority, Chair
Chief Operating Officer
Catalina Island Conservancy
[email protected]
310.510.2595 x105
Nicole Hohenstein
Love Catalina Island Tourism Authority, Past Chair
General Manager Catalina Canyon Inn/Catalina Island Inn [email protected]
310.510.0311

PETITION TO THE CITY OF AVALON

TO FORM THE CATALINA ISLAND TOURISM BUSINESS IMPROVEMENT DISTRICT We petition you to initiate proceedings to form a Tourism Business Improvement District in accordance with the Property and Business Improvement District Law of 1994, Streets and Highways Code section 36600 et seq., for the purpose of providing services as described in the summary of the Management District Plan attached hereto as Exhibit A.

Lodging Establishment Name & Address Business Owner
The undersigned is the business owner or the authorized representative of the business owner and is the person legally authorized and entitled to sign this petition.

Owner/Representative Name (printed) Title
Owner/Representative Signature Date
A complete copy of the Management District Plan will be furnished upon request. Requests for a complete copy of the Management District Plan should be made to:

Catalina Island Chamber of Commerce and Visitors Bureau, dba Catalina Island Tourism Authority 1 Green Pleasure Pier, P.O Box 217
Avalon, CA 90704
(310) 510-1520

EXHIBIT A

MANAGEMENT DISTRICT PLAN SUMMARY
Location: The CITBID will include all lodging businesses, existing and in the future, available for public occupancy and all golf cart rental companies, existing and in the future, within the boundaries of the City of Avalon (City) and nearby portions of the unincorporated area of Los Angeles County (County), as shown on the map below.

Services: The CITBID is designed to provide specific benefits directly to payors by increasing awareness and demand for room night sales and golf cart rentals. Sales, marketing & communications and destination development programs will increase demand for overnight tourism and market payors as tourist, meeting and event destinations, thereby increasing demand for room night sales and golf cart rental sales.

Budget: The total CITBID annual assessment budget for the initial year of its five (5) year operation is anticipated to be approximately $540,000. A similar budget is expected to apply to subsequent years, but this budget is expected to fluctuate as room sales and golf cart rental sales do.

Cost: The assessment rate for assessed lodging businesses is one percent (1%) of gross short- term room rental revenue. Based on the benefit received, assessments will not be collected on: stays of more than thirty (30) consecutive days; any federal or state officer or employee when on official business; any officer or employee of a foreign government who is exempt by reason of express provision of federal law or international treaty; and stays pursuant to contracts executed prior to April 1, 2022.

The assessment rate for assessed golf cart rental businesses is one dollar ($1.00) per rental for assessed golf cart rental businesses.

Collection: The City will be responsible for collecting the assessment on a monthly basis (including any delinquencies, penalties and interest) from each assessed business located within their respective jurisdiction in the boundaries of the CITBID. The Owners Association will be responsible for collecting the assessment on a monthly basis (including any delinquencies, penalties and interest) from each assessed business located within the portion of the unincorporated area of Los Angeles County. The City and the Owners Association shall take all reasonable efforts to collect the assessments from each assessed business within their respective jurisdictions in the boundaries of the CITBID.

Duration: The CITBID will have a five (5) year life, beginning April 1, 2022, or as soon as possible thereafter, and end five (5) years from its start date. Once per year, beginning on the anniversary of CITBID formation, there is a thirty (30) day period in which owners paying fifty percent (50%) or more of the assessment may protest and initiate an Avalon City Council hearing on CITBID termination.

EXHIBIT A

MANAGEMENT DISTRICT PLAN SUMMARY
accordance with the Management District Plan (Plan), and must provide annual reports to the Avalon City Council. CITA shall form a CITBID Committee with full authority to manage the CITBID and implement the programs and services as provided in the Management District Plan.

EXHIBIT A

MANAGEMENT DISTRICT PLAN SUMMARY
Boundary Map
- Los Angeles
PACIFIC OCEAN Orange
County
county
Two Harbors
Catalina/sland
City of Avalon
TBID Boundaries
LA County Land
CiViTAS San Clemente Island
CLIVE
DEC 2 9 2022
December 23, 2021 By Di Haut
Mayor Ann Marshall & City Council Members
410 Avalon Canyon Road
PO Box 707
Avalon, CA 90704
Re: Tourism Business Improvement District (TBID)
Dear Mayor Marshall and Avalon City Council Members,
I-received the letter from Love-Catalina Island Tourism Authority explaining the Tourism Business Improvement District (TBID), along with a request to sign a PETITION TO THE CITY OF AVALON, in support of the City of Avalon initiating proceedings to form a TBID.

I am 100% AGAINST the TBID this group has put forth.
• Love Catalina should NOT be provided a special assessment/funds to do as they please. They currently get a portion of the Transient Occupancy Tax (TOT) and they should live within what is provided.
• An option would be to raise the TOT and provide Catalina Island Tourism Authority an appropriate increase from that portion of the General Fund. • All businesses within the proposed TBID (retail, restaurants, bars and attractions) benefit from the assessment, not just the hotel/short term rental and golf cart rental • businesses. If there is to be an assessment, all businesses within the district should pay their fair share.
• A "one size fits all" model does not apply to the City of Avalon. • This issue should be on the ballot. ALL residents of Avalon should have a VOTE on this, not just an opportunity to address the City Council. Let ALL our residents decide if this approach to funding Love Catalina is the right one.

Unfortunately, neither those owning short-term rentals nor the residents of Avalon have at the City Counced me the to provide he opposition are to see the Love aren Island Tourism Authority push for their petition.

Respectfully,
Lane Knoci
Louis Kridle, Owner
Eagles Nest Apartments
CC: Jim Luttjohann
From: Lisa Wilson <[email protected]>
Sent: Thursday, January 13, 2022 4:25:51 PM
To: [email protected] < [email protected]> Subject: Vote to create a TBID
Dear Council Member De La Rosa,
It is our understanding that the Council will soon vote on whether or not to approve the formation of a Tourism Business Improvement District (TBID) to be funded by an additional 1% bed tax (with an option to increase the additional bed tax to 2%) that will solely benefit the Chamber of Commerce. Currently, the Chamber of Commerce is funded by its members and a portion of the 12% bed tax already in place.

As owners of a Hamilton Cove vacation rental, we strongly encourage you to vote NO on this proposition. The proposed increase in taxes will benefit a private enterprise with absolutely no public input or oversight. This is especially egregious when the City of Avalon is struggling with financial issues, which include massive layoffs. None of the proposed tax increase will directly benefit the City of Avalon.

Again, we urge you to STOP the formation of this TBID.

Thank you for your consideration,
Hugh and Lisa Wilson
8 Camino de Flores
Avalon, CA
February 4, 2022
City of Avalon, City Council
P.O. Box 707
Avalon, CA 90704
Dear Council Members,
We just received a postcard notice alerting us of an up coming vote by the council about TBID.

We as property owners are not in favor of the City and/or the Chamber pursuing this idea.

Who does it really benefit ????? What is the cost to the City and Chamber??? And home owner???? Please vote no on this proposal.

Thank you.

Alan and Helen-Marie Petersen
310 Descanso
Avalon, CA
FEB 0 9 2022
y Dittout

2022-2027

CATALINA ISLAND

TOURISM BUSINESS IMPROVEMENT DISTRICT

MANAGEMENT DISTRICT PLAN
Prepared pursuant to the Property and Business Improvement District February 8, 2022 Law of 1994, Streets and Highways Code section 36600 et seq.

Contents
OVERVIEW ...3
Il. BACKGROUND ...5
Ill. BOUNDARY.. 6
IV. ASSESSMENT BUDGET AND SERVICES..

A. Baseline Level of Services
B. Annual Service Plan....

C. Annual Budget
D. California Constitutional Compliance.

E. Assessment.

G. Penalties and Interest
H. Time and Manner for Collecting Assessments.. ..14
V. GOVERNANCE ...15
A. Owners' Association 15
B. Brown Act and California Public Records Act Compliance.. 15 C. Annual Report ...15
APPENDIX 1 - LAW. ...17
APPENDIX 2 - ASSESSED BUSINESSES .. ..29
APPENDIX 3 - BENEFITS BY BUSINESS CATEGORY 40
Prepared by
Civitas

CIVITAS
PARTNERSHIPS • PROGRESS • PROSPERITY
(800)999-7781
www.civitasadvisors.com

1. OVERVIEW
Developed by the Catalina Island Chamber of Commerce and Visitors Bureau, dba Catalina Island Tourism Authortity (CITA), and the tourism community, the Catalina Island Tourism Business Improvement District (CITBID) is an assessment district proposed to provide specific benefits to payors, by funding marketing and sales promotion efforts for assessed businesses. This approach has been used successfully in other destination areas throughout the country to provide the benefit of increased demand and sales to assessed businesses.

Location: The CITBID will include all lodging businesses, existing and in the future, available for public occupancy and all golf cart rental companies, existing and in the future, within the boundaries of the City of Avalon (City) and nearby portions of the unincorporated area of Los Angeles County (County), as shown on the map in Section III.

Cost: The assessment rate for assessed lodging businesses is one percent (1%) of gross short-term room rental revenue. Based on the benefit received, assessments will not be collected on: stays of more than thirty (30) consecutive days; any federal or state officer or employee when on official business; any officer or employee of a foreign government who is exempt by reason of express provision of federal law or international treaty; and stays pursuant to contracts executed prior to June 1, 2022.

The assessment rate for assessed golf cart rental businesses is one dollar ($1.00) per rental for assessed golf cart rental businesses.

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February 8, 2022 OH CATALI
The City and the Owners Association shall take all reasonable efforts to collect the assessments from each assessed business within their respective jurisdictions in the boundaries of the CITBID.

Duration: The CITBID will have a five (5) year life, beginning June 1, 2022, or as soon as possible thereafter, and end five (5) years from its start date. Once per year, beginning on the anniversary of CITBID formation, there is a thirty (30) day period in which owners paying fifty percent (50%) or more of the assessment may protest and initiate an Avalon City Council hearing on CITBID termination.

Management: Catalina Island Chamber of Commerce and Visitors Bureau, dba Catalina Island Tourism Authority (CITA), will serve as the Owners' Association for the CITBID. The Owners' Association is charged with managing funds and implementing programs in accordance with this Management District Plan (Plan), and must provide annual reports to the Avalon City Council. CITA shall form a CITBID Committee with full authority to manage the CITBID and implement the programs and services as provided in this Plan, as described in Section V.

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II. BACKGROUND
TBIDs are an evolution of the traditional Business Improvement District. The first TBID was formed in West Hollywood, California in 1989. Since then, over 100 California destinations have followed suit. In recent years, other states have begun adopting the California model - Montana, South Dakota, Washington, Colorado, Texas and Louisiana have adopted TBID laws. Several other states are in the process of adopting their own legislation. The cities of Wichita, Kansas and Newark, New Jersey used an existing business improvement district law to form a TBID. And, some cities, like Portland, Oregon and Memphis, Tennessee have utilized their home rule powers to create TBIDs without a state law.

California's TBIDs
Number of Districts Operating in California collectively raise over 120 95 102109.114 $300 million annually for
local destination
100
75 marketing. With
80 64 competitors raising their
60 46 budgets, and increasing
38 rivalry for visitor dollars, it is
40 19 25 29 32
important that Catalina
20 4 6 9 12 Island businesses invest in
1 2
stable marketing
1989 1008. 1,00 рот. programs.

TBIDs utilize the efficiencies of private sector operation in the market-based promotion of tourism districts. TBIDs allow assessed business owners to organize their efforts to increase demand for room night sales and golf cart rental sales. Business owners within the TBID pay an assessment and those funds are used to provide services that increase demand for overnight visitation and sales to the TBID.

In California, many TBIDs are formed pursuant to the Property and Business Improvement District Law of 1994. This law allows for the creation of a benefit assessment district to raise funds within a specific geographic area. The key difference between TBIDs and other benefit assessment districts is that funds raised are returned to the private non-profit corporation governing the district.

There are many benefits to TBIDs:
• Funds must be spent on services and improvements that provide a specific benefit only to those who pay;
• Funds cannot be diverted to general government programs; • They are customized to fit the needs of payors in each destination; They allow for a wide range of services;
• They are designed, created and governed by those who will pay the assessment; and • They provide a stable, long-term funding source for tourism promotion.

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February 8, 2022 LOVE STANDA
III. BOUNDARY
The CITBID will include all lodging businesses existing and in the future, available for public occupancy and all golf cart rental companies, existing and in the future, within the boundaries of the City of Avalon and nearby portions of the unincorporated area of Los Angeles County, as shown on the map below.

Lodging business means: any structure, or any portion of any structure, which is occupied, or intended or designed for occupancy, by transients for dwelling, lodging, or sleeping purposes and shall include any hotel, inn, tourist home or house, motel, studio hotel, bachelor hotel, lodging house, rooming house, apartment house, dormitory, public or private club, and mobile home or house trailer at a fixed location, Golf cart rental business means: any commercial golf cart rental business and/or vendor, that is located within or doing business within the geographical limits of the CITBID boundary, and sells the following experiences, including, but not limited to, excursions, daily rentals and packaged rental products, guided tours, or similar services.

The boundary, as shown in the map below, currently includes three hundred and eighty- six (386) businesses. A complete listing of assessed businesses within the CITBID can be found in Appendix 2.

PACIFIC. OCEAN
Two Harbors
City of Avalon
70 Montmas

CIVITAS
CITBID Management District Plan 6
February 8, 2022
ISLAND
IV. ASSESSMENT BUDGET AND SERVICES
A. Baseline Level of Services
The "baseline level of services" is those tourism marketing services, provided by the Bureau, funded by the City. The CITBID funded services will supplement, not supplant, the City's pre-existing tourism marketing funding to the Bureau. In the event the City reduces Bureau funding to a level below the baseline subsequent to the formation of the CITBID, assessed businesses will gather petitions to disestablish the CITBID pursuant to Streets and Highways Code §36670(a) (2).

B. Annual Service Plan
Assessment funds will be spent to provide specific benefits conferred or privileges granted directly to the payor that are not provided to those not charged, and which do not exceed the reasonable cost to the City and the County of conferring the benefits or granting the privileges. The privileges and services provided with the CITBID funds are sales, marketing & communications and destination development programs available only to assessed businesses.

A service plan assessment budget has been developed to deliver services that benefit the assessed businesses. A detailed annual assessment budget will be developed and approved by the CITBID Committee. The table below illustrates the initial annual assessment budget allocations. The total initial assessment budget is $540,000.

Initial Annual Assessment Budget - $540,000
Destination
Development,
$54,000, 10%
Administration &
Operation,
Sales, Marketing & $48,600, 9%
Communications,
$378,000, 70%
Contingency/Reserve
, $54,000, 10%
Collection Fee,
$5,400, 1%
Although actual revenues will fluctuate due to market conditions, the proportional allocations of the budget shall remain the same. However, the CITBID Committee shall have the authority to adjust budget allocations between the categories by no more than CITBID Management District Plan 7
February 8, 2022 TALI
fifteen percent (15%) of the total budget per year. A description of the proposed improvements and activities for the initial year of operation is below. The same activities are proposed for subsequent years. In the event of a legal challenge against the CITBID, any and all assessment funds may be used for the costs of defending the CITBID. In the first two years of operation, the costs of creating the CITBID may be repaid by deducting repayment funds proportionally from budget categories. Repayment costs shall not exceed $70,000. All monies raised from the CITBID shall be used towards the activities and improvements described in this Plan. Revenue generated shall never exceed the cost of activities and improvements described in this Plan.

Each budget category includes all costs related to providing that service. For example, the sales, marketing & communications budget includes the cost of staff time dedicated to overseeing and implementing the sales, marketing & communications program. Statt time dedicated purely to administrative tasks is allocated to the administrative portion of the budget. The costs of an individual staff member may be allocated to multiple budget categories. The staffing levels necessary to provide the services below will be determined by the CITBID Committee on an as-needed basis.

Sales and Marketing
A sales, marketing and communications program will promote assessed businesses as tourist, meeting, and event destinations. The sales, marketing and communications program will have a central theme of promoting the destination as a desirable place for overnight visits. The program will have the goal of increasing demand for overnight visitation and sales at assessed businesses, and may include the following activities.

Assessed businesses will receive services commensurate with the benefit received as shown in Appendix 3.
• Development of a marketing plan to ensure district funds are strategically spent to market assessed businesses;
• Internet marketing efforts to increase awareness and optimize internet presence to drive overnight visitation and sales to assessed businesses; • Content Development for photoshoots and video shoots for digital promotion, featuring assessed businesses to drive overnight visitation and sales to assessed businesses;
• Advertising targeted at potential visitors to drive overnight visitation and sales to assessed businesses;
• Expand and implement a public relations and communications strategy, inclusive of social media outlets and press release distribution designed to drive overnight visitation and increase sales at assessed businesses;
• Partnership with both local and state tourism organizations to target key international markets to increase overnight visitation and sales at assessed businesses;
• Attendance of professional industry conferences and affiliation events to promote assessed businesses;
• Attendance of trade shows to promote assessed businesses; • Director of Sales and General Manager meetings to plan and coordinate tourism promotion efforts for assessed businesses; and
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February 8, 2022 LOVE ISID
• Lead generation activities designed to attract tourists and group events to assessed businesses; and
• Familiarization tours of assessed businesses.

Destination Product Development
The Destination Project Development projects may include:
• Infrastructure improvements that enhance the destination competitive position to attract visitors and special events year-round, to increase sales at assessed businesses;
• Comprehensive and integrated wayfinding. signage system and/or banner program targeted to increase demand for visitation and increase sales at assessed businesses;
• Art and cultural projects, to attract overnight visitors; • Gateway enhancements, to attract overnight visitors;
• Enhancements to environmental experiences which attract overnight visitors; and
• Other programs and activities that will enhance the visitor experience to increase sales at assessed businesses.

Administration and Operations
The administration and operations portion of the budget shall be utilized for administrative staffing costs, office costs, and other general administrative costs, such as insurance, legal, and accounting fees.

Staff time dedicated purely to administrative tasks is allocated to this portion of the budget. The staffing levels necessary to provide the services will be determined by the CITBID Committee on an as-needed basis. Additionally, the CITBID Committee shall have the authority to adjust budget allocations between the categories by no more than fifteen percent (15%) of the total budget per year.

Additionally, a portion of the administration and operations budget may be allocated towards the cost of an audit of the Owners' Association's allocation of CITBID funds.

Contingency/Reserve
The budget includes a contingency line item to account for uncollected assessments, or higher than anticipated program costs, if any. If there are contingency funds collected, they may be held in a reserve fund or utilized for other program or administration costs at the discretion of the TBID Committee. Policies relating to contributions to the reserve tuna, the target amount of the reserve fund, and expenditure of monies from the reserve fund shall be set by the TBID Committee of the Owners' Association.

Collection Fee
The City shall retain a fee equal to one percent (1%) of the amount of assessments collected in their respective jurisdiction, to cover collection and administration costs.

CITBID Management District Plan 9
February 8, 2022
C. Annual Budget
The total five (5) year improvement and service plan budget is projected at approximately $540,000 annually, or $2,866,933 through 2027. A similiar budget is expected to apply in subsequent years, but is expected to fluctuate as room sales and golf cart rental sales do.

The table below demonstrates the estimated maximum budget. Additionally, a three percent (3%) annual increase in the total budget is also shown, to account for estimated increased sales revenue as a result of CITBID efforts. This three percent (3%) annual increase is a conservative estimate based on the effects of similarly sized TBID budgets.

Estimated Annual Budget
2022-2027
Year Sales, Marketing & Destination Admin & Contingency/ Collection Total Communications Development Operation Reserve Fee
FY22/23 $378,000 $54,000 $48,600 $54,000 $5,400 $540,000 FY23/24 $389,340 $55,620 $50,058 $55,620 $5,562 $556,200 FY24/25 $401,020 $57,289 $51,560 $57,289 $5,729 $572,886 FY25/26 $413,051 $59,007 $53,107 $59,007 $5,901 $590,073 FY26/27 $425,442 $60,777 $54,700 $60,777 $6,078 $607,775 Total $2,006,853 $286,693 $258,024 $286,693 $28,669 $2,866,933 D. California Constitutional Compliance
The CITBID assessment is not a property-based assessment subject to the requirements of Proposition 218. Courts have found Proposition 218 limited the term 'assessments' to levies on real property.! Rather, the CITBID assessment is a business-based assessment, and is subject to Proposition 26. Pursuant to Proposition 26 all levies are a tax unless they fit one of seven exceptions. Two of these exceptions apply to the CITBID, a "specific benefit" and a "specific government service." Both require that the costs of benefits or services do not exceed the reasonable costs to the City or the County of conferring the benefits or providing the services.

1. Specific Benefit
Proposition 26 requires that assessment funds be expended on, "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 conterring the benefit or granting the privilege."2 The services in this Plan are designed to provide targeted benefits directly to assessed businesses, and are intended only to provide benefits and services directly to those businesses paying the assessment. These services are tailored not to serve the general public, businesses in general, or parcels of land, but rather to serve the specific businesses within the CITBID. The activities described in this Plan are specifically targeted to increase demand for room night sales and golf cart rental sales for assessed businesses within the boundaries of the CITBID, and are narrowly tailored. CITBID funds will be used exclusively to provide the specific benefit of "Jarvis v. the City of San Diego 72 Cal App. 4*h 230
2 Cal. Const. art XIII C § 1(e)(1)
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February 8, 2022 OVE
increased demand for room night sales and golf cart rental sales directly to the assessees. Assessment funds shall not be used to feature non-assessed businesses in CITBID programs, or to directly generate sales for non-assessed businesses. The activities paid for from assessment revenues are business services constituting and providing specific benefits to the assessed businesses.

The assessment imposed by this CITBID is for a specific benefit conferred directly to the payors that is not provided to those not charged. The specific benefit conferred directly to the payors is an increase in demand for room night sales and golf cart rental sales. The specific benefit of an increase in demand for room night sales and golf cart rental sales for assessed businesses will be provided only to businesses paying the district assessment, with sales, marketing & communications and destination development programs promoting businesses paying the CITBID assessment. sales, marketing & communications and destination development programs will be designed to increase room night sales and golf cart rental sales at each assessed business. Because they are necessary to provide the sales, marketing & communications and destination development programs that specifically benefit the assessed businesses, the administration and contingency services also provide the specific benefit of increased demand for room night sales and golf cart rental sales to the assessed businesses.

Although the CITBID, in providing specific benefits to payors, may produce incidental benefits to non-paying businesses, the incidental benefit does not preclude the services from being considered a specific benefit. The legislature has found that, "A specific benefit is not excluded from classification as a 'specific benefit' merely because an indirect benefit to a nonpayor occurs incidentally and without cost to the payor as a 13 consequence of providing the specific benefit to the payor.

2. Specific Government Service
The assessment may also be utilized to provide, "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 The legislature has recognized that marketing and promotions services like those to be provided by the CITBID are government services within the meaning of Proposition 265. Further, the legislature has determined that "a specific government service is not excluded from classification as a 'specific government service' merely because an indirect benefit to a nonpayor occurs incidentally and without cost Do the payor as a consequence of providing the specific government service to the

3. Reasonable Cost
CITBID services will be implemented carefully to ensure they do not exceed the reasonable cost of such services. The full amount assessed will be used to provide the 3 Government Code § 53758(a)
4 Cal. Const. art XIII C § 1(e)(2)
S Government Code § 53758(b)
6 Government Code § 53758(b)
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services described herein. Funds will be managed by the CITBID Committee, and reports submitted on an annual basis to the City. Only assessed businesses will be featured in marketing materials, receive sales leads generated from CITBID-funded activities, be featured in advertising campaigns, and benefit from other CITBID-funded services. Non- assessed businesses will not receive these, nor any other, CITBID-funded services and benefits.

The CITBID-funded programs are all targeted directly at and feature only assessed businesses. It is, however, possible that there will be a spill over benefit to non-assessed businesses. If non-assessed businesses receive incremental room nights or golf cart rental sales, that portion of the promotion or program generating those room nights or golf cart rental sales shall be paid with non-CITBID funds. CITBID funds shall only be spent to benefit the assessed businesses, and shall not be spent on that portion of any program which directly generates incidental room nights or golf cart rental sales for non-assessed businesses.

E. Assessment
The assessment rate for assessed lodging businesses is one percent (1%) of gross short- term room rental revenue. Based on the benefit received, assessments will not be collected on: stays of more than thirty (30) consecutive days; any federal or state officer or employee, when on official business; any officer or employee of a foreign government who is exempt by reason of express provision of federal law or international treaty; and stays pursuant to contracts executed prior to June 1, 2022.

The assessment rate for assessed golf cart rental businesses is one dollar ($1.00) per rental for assessed rental cart businesses.

The term "gross room rental revenue" as used herein means the consideration charged, whether or not received, for the occupancy of space in a lodging business, valued in noney, whether to be received in money, goods, labor or otherwise, including all receipts, cash credits and property and services of any kind or nature, without any deduction therefrom whatsoever. "Gross room rental revenue" includes the consideration charged for occupancy, as defined, regardless of whether named a fee, assessment, service charge, management fee, cleaning fee, or other expense. Gross room rental revenue shall not include any federal, state or local taxes collected, including but not limited to transient occupancy taxes.

The term "golf cart rental sales revenue" as used herein means: the amount of the consideration charged or chargeable to the consumer for the rental of a golf cart at an assessed golf cart rental business, valued in money whether received in money, goods, labor or otherwise, including in full value of receipts, cash, credits, property or services of any kind or nature, without any deduction whatsoever. Golf cart rental sales revenue shall not include any federal, state or local taxes collected.

The assessment is levied upon and a direct obligation of each assessed business.

However, the assessed business may, at its discretion, pass the assessment on to consumers. The amount of assessment, if passed on to each consumer, shall be disclosed CITBID Management District Plan 12
February 8, 2022
SLANI
in advance and separately stated from the amount of rent charged and any other applicable taxes, and each consumer shall receive a receipt for payment from the business. If the CITBID assessment is identified separately it shall be disclosed as the "CITBID Assessment." As an alternative, the disclosure may include the amount of the CITBID assessment and the amount of the assessment imposed pursuant to the California Tourism Marketing Act, Government Code §13995 et seq. and shall be disclosed as the "Tourism Assessment." The assessment is imposed solely upon, and is the sole obligation of the assessed business even if it is passed on to consumers. The assessment shall not be considered revenue for any purpose, including calculation of transient occupancy taxes.

Bonds shall not be issued.

F. Proportionality
The determination of the assessment rates of one percent (1%) on lodging businesses and one dollar ($1.00) per rental for assessed golf cart rental businesses was calculated based on benefit received by the payors. The services provided are targeted to benefit payors, however not all programs benefit payors equally. Although approximately the same number of visitors rent hotel rooms (apprx 25% of visitors for both activities) lodging businesses receive a proportionately greater benefit from the revenue raised by the CITBID, and therefore shall be assessed at a higher rate.

1. Estimated Benefit to payors
The Average Daily Rate (ADR) for Catalina Island lodging businesses in FY19 was approximately $168.00, while a golf cart rental costs approximately $55.00. Visitors to the area within the CITBID pay approximately 3.05 times more for a lodging business than for a golf cart rental. Furthermore, according to recent visitor profile study, on average, visitors spend two (2) days at a lodging business, and one (1) day renting a golf cart.

Based on the previous calculation that indicates that visitors pay approximately 3.05 times more for a lodging business stay than a golf cart rental, and using the ratio of two (2) days spent at a lodging business to one (1) day spent renting a golf cart, we see that overall, visitors spend approximately 5.5 - 6.5 times more overall for a lodging business stay than for a golf cart rental.

Based on the calculations above, we can estimate that lodging businesses should pay approximately 5.5 - 6.5 times more in CITBID assessments than golf cart rental businesses.

2. Total projected assessments by payor category
The assessment rates of one percent (1%) on lodging businesses and one dollar ($1.00) per rental for assessed golf cart rental businesses is projected to raise approximately $540,000 annually. Of the $540,000, approximately $460,000 will be raised by lodging businesses and approximately $80,000 will be raised by golf cart rentals. The ratio of these revenue amounts is approximately 5.75:1. This ratio is within the benefit ratio of 5.5-6.5 times discussed above.

G. Penalties and Interest
The CITBID shall reimburse the City for any costs associated with collecting unpaid assessments. If sums in excess of the delinquent CITBID assessment are sought to be CITBID Management District Plan 13
February 8, 2022 LOVE STAND
recovered in the same collection action by the City, the CITBID shall bear its pro rata share of such collection costs. Assessed businesses which are delinquent in paying the assessment shall be responsible for paying:

1. Original Delinquency. Any owner who shall fail to remit any assessment imposed by the provisions of this Plan within the time required shall pay a penalty in the amount of ten percent (10%) of the assessment in addition to the amount of the assessment. No penalty shall accrue where the regulations in effect at the time the consumer's payment was received by the owner did not provide for the application of the assessment to such payment or where the owner has obtained a written ruling from the City regarding the application of the assessment to a particular charge. The City shall provide a written ruling within five (5) days of their receipt of a written request for a ruling. The City's rulings shall be kept on file in a separate book and shall be made available upon request. The City may waive any or all of a penalty imposed where, in the sole discretion of the City, the City deems it to be appropriate.

2. Continued Delinquency. Any owner who shall fail to remit any delinquent remittance on or before a period of thirty. (30) days following the date on which the remittance first became delinquent shall pay a second delinquency penalty in the amount of ten percent (10%) of the assessment in addition to the amount of the assessment and the ten percent (10%) penalty first imposed.

3. Fraud. If the City shall determine that the nonpayment of any remittance due pursuant to the provisions of this Plan is due to fraud, a penalty in the amount of twenty-five percent (25%) of the amount of the assessment shall be added thereto in addition to the penalties set forth in subsections (1) and (2) of this section.

4. Interest. In addition to the penalties imposed, any owner who shall fail to remit any assessment imposed by the provisions of this Plan shall pay interest at the rate of one half of one percent (0.05%) per month, or fraction thereof, on the amount of the assessment, exclusive of penalties, from the date on which the remittance first became delinquent until paid

5. Penalties Merged with Assessment. Every penalty imposed, and such interest as accrues, pursuant to the provisions of this Plan shall become a part of the assessment required to be paid by the provisions of this Plan.

H. Time and Manner for Collecting Assessments
The CITBID assessment will be implemented beginning June 1, 2022, or as soon as possible thereafter, and will end five (5) years from its start date. The City of Avalon (City) and the Owners Association will be responsible for collecting the assessment on a monthly basis (including any delinquencies, penalties and interest) from each assessed business located in their respective jurisdictions. The City and the Owners Association shall take all reasonable efforts to collect the assessments from each assessed business located in their respective jurisdictions. The City shall forward the assessments collected in their respective jurisdiction, less the 1% collection fees, to Catalina Island Tourism Authority.

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V. GOVERNANCE
A. Owners' Association
Avalon City Council, through adoption of this Plan, has the right, pursuant to Streets and Highways Code §36651, to identify the body that shall implement the proposed programs, which shall be the Owners' Association of the CITBID as defined in Streets and Highways Code §36612. The City Council has determined that the Catalina Island Chamber of Commerce and Visitors Bureau, dba Catalina Island Tourism Authority (CITA), will serve as the Owners' Association for the TBID. Upon successful formation, CITA shall form a TBID Committee. The TBID Committee shall be made up of 5-7 members and shall be comprised solely of the owners or owner representatives of assessed businesses. The criteria for the TBID Committee is shown below. The TBID Committee shall have full authority to manage matters related to the CITBID including, but not limited to, management of assessment funds and full decision-making authority regarding CITBID programs in accordance with this Plan.

TBID Committee Representation Minimum Number of Seats
Hotel/Motel Owner / Owner Representative 3
Golf Cart Rental Business Owner / Owner Representative 1 Vacation Rental Owner / Owner Representative 1
B. Brown Act and California Public Records Act Compliance An Owners' Association is a private entity and may not be considered a public entity for any purpose, nor may its board members or staff be considered to be public officials for any purpose. The Owners' Association is, however, subject to government regulations relating to transparency, namely the Ralph M. Brown Act and the California Public Records Act. These regulations are designed to promote public accountability. The Owners' Association acts as a legislative body under the Ralph M. Brown Act (Government Code §54950 et seq.). Thus, meetings of the CITA Board and certain committees must be held in compliance with the public notice and other requirements action of each member present for the action.

C. Annual Report
CITA shall present an annual report at the end of each year of operation to Avalon City Council pursuant to Streets and Highways Code §36650 (see Appendix 1). The annual report shall include:
• Any proposed changes in the boundaries of the improvement district or in any benefit zones or classification of businesses within the district. • The improvements and activities to be provided for that fiscal year. • An estimate of the cost of providing the improvements and the activities for that fiscal year.

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• The method and basis of levying the assessment in sufficient detail to allow each ousiness owner to estimate the amount of the assessment to be levied against his or her business for that fiscal year.
• The estimated amount of any surplus or deficit revenues to be carried over from a previous fiscal year.
• The estimated amount of any contributions to be made from sources other than assessments levied pursuant to this part.

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February 8, 2022 CATALINE

LOVE ISLAND
APPENDIX 1 - LAW
*** THIS DOCUMENT IS CURRENT THROUGH THE 2021 SUPPLEMENT *** (ALL 2020 LEGISLATION)

STREETS AND HIGHWAYS CODE
DIVISION 18. PARKING
PART 7. PROPERTY AND BUSINESS IMPROVEMENT DISTRICT LAW OF 1994 CHAPTER 1. General Provisions
ARTICLE 1. Declarations
36600. Citation of part
This part shall be known and may be cited as the "Property and Business Improvement District Law of 1994." 36601. Legislative findings and declarations; Legislative guidance The Legislature finds and declares all of the following:
1) Businesses located and operating within business districts in some of this state's communities ai conomically disadvantaged. are underutilized. and are unable to attract customers due to inadequal facilities, services, and activities in the business districts. (b) It is in the public interest to promote the economic revitalization and physical maintenance of business districts in order to create jobs, attract new businesses, and prevent the erosion of the business districts. (c) It is of particular local benefit to allow business districts to fund business related improvements, maintenance, and activities through the levy of assessments upon the businesses or real property that receive benefits from those improvements.
businesses, or persons not assessed receive incidental or collateral effects that benefit them. (e) Property and business improvement districts formed throughout this state have conferred special benefits upon properties and businesses within their districts and have made those properties and businesses more useful by providing the following benefits:
l) Crime reduction. A study by the Rand Corporation has confirmed a 12-percent reduction in th cidence of robbery and an 8-percent reduction in the total incidence of violent crimes within th 30 districts studied.
(2) Job creation.
(3) Business attraction.
(4) Business retention.
(5) Economic growth.
(6) New investments.
(t) With the dissolution of redevelopment agencies throughout the state, property and business improvement districts have become even more important tools with which communities can combat blight, promote economic opportunities, and create a clean and safe environment. (g) Since the enactment of this act, the people of California have adopted Proposition 218, which added Article XIII D to the Constitution in order to place certain requirements and restrictions on the formation of, and activities, expenditures, and assessments by property-based districts. Article XIII D of the Constitution provides that property-based districts may only levy assessments for special benefits. (h) The act amending this section is intended to provide the Legislature's guidance with regard to this act, its interaction with the provisions of Article XIII D of the Constitution, and the determination of special benefits in property-based districts.

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36602. Purpose of part
The purpose of this part is to supplement previously enacted provisions of law that authorize cities to levy assessments within property and business improvement districts, to ensure that those assessments conform to all constitutional requirements and are determined and assessed in accordance with the guidance set forth in this act. This part does not affect or limit any other provisions of law authorizing or providing for the furnishing of improvements or activities or the raising of revenue for these purposes.
36603. Preemption of authority or charter city to adopt ordinances levying assessments Nothing in this part is intended to preempt the authority of a charter city to adopt ordinances providing for a different method of levying assessments for similar or additional purposes from those set forth in this part. A property and business improvement district created pursuant to this part is expressly exempt from the provisions of the Special Assessment Investigation, Limitation and Majority Protest Act of 1931 (Division 4 (commencing with Section 2800)). 36603.5. Part prevails over conflicting provisions
Any provision of this part that conflicts with any other provision of law shall prevail over the other provision of law, as to districts created under this part.
36604. Severability
This part is intended to be construed liberally and, if any provision is held invalid, the remaining provisions shall remain in full force and effect. Assessments levied under this part are not special taxes.

ARTICLE 2. Definitions
36606. "Activities"
"Activities" means, but is not limited to, all of the following that benefit businesses or real property in the district:
(a) Promotion of public events.
(b) Furnishing of music in any public place.
(c) Promotion of tourism within the district.
(d) Marketing and economic development, including retail retention and recruitment. (e) Providing security, sanitation, graffiti removal, street and sidewalk cleaning, and other municipal services supplemental to those normally provided by the municipality. (f Other services provided for the purpose of conferring special benefit upon assessed real property or specific benefits upon assessed businesses located in the district.

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36606.5. "Assessment"
Assessment" means a levy for the purpose of acquiring, constructing, installing, or maintaining improvements an roviding activities that will provide certain benefits to properties or businesses located within a property and busines improvement district.
36607. "Business"
"Business" means all types of businesses and includes financial institutions and professions. 36608. "City"
to near ari, er fly into a or ring overty raced unant mice came or with includes only cities, counties, or a city and county, or the State of California. 36609. "City council"
"City council" means the city council of a city or the board of supervisors of a county, or the agency, commission, or board created pursuant to a joint powers agreement and which is a city within the meaning of this part. 36609.4. "Clerk"
"Clerk" means the clerk of the legislative body.
36609.5. "General benefit"
"General benefit" means, for purposes of a property-based district, any benefit that is not a "special benefit" as defined in Section 36615.5.
36610. "Improvement"
"Improvement" means the acquisition, construction, installation, or maintenance of any tangible property with an estimated useful life of five years or more including, but not limited to, the following:
(a) Parking facilities.
(b) Benches, booths, kiosks, display cases, pedestrian shelters and signs. (c) Trash receptacles and public restrooms.
(d) Lighting and heating facilities.
(e) Decorations.
(f) Parks.
(g) Fountains.
(h) Planting areas.
(i) Closing, opening, widening, or narrowing of existing streets. (i) Facilities or equipment, or both, to enhance security of persons and property within the district. (k) Ramps, sidewalks, plazas, and pedestrian malls.
(I) Rehabilitation or removal of existing structures.
36611. "Management district plan", "Plan"
"Management district plan" or "plan" means a proposal as defined in Section 36622. 36612. "Owners' association"
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"Owners' association" means a private nonprofit entity that is under contract with a city to administer or implement improvements, maintenance, and activities specified in the management district plan. An owners' association may be an existing nonprofit entity or a newly formed nonprofit entity. An owners' association is a private entity and may not be considered a public entity for any purpose, nor may its board members or staff be considered to be public officials for any purpose. Notwithstanding this section, an owners' association shall comply with the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5 of the Government Code), at all times when matters within the subject matter of the district are heard, discussed, or deliberated, and with the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code, for all records relating to activities of the district. 36614. "Property"
"Property" means real property situated within a district. 36614.5. "Property and business improvement district"; "District" "Property and business improvement district," or "district," means a property and business improvement district established pursuant to this part.
36614.6. "Property-based assessment"
"Property-based assessment" means any assessment made pursuant to this part upon real property. 36614.7. "Property-based district"
"Property-based district" means any district in which a city levies a property-based assessment. 36615. "Property owner"; "Business owner"; "Owner"
"Property owner" means any person shown as the owner of land on the last equalized assessment roll or otherwise known to be the owner of land by the city council. "Business owner" means any person recognized by the city as the owner of the business. "Owner" means either a business owner or a property owner. The city council has no obligation nd conclusive for the purposes of this
in tune us the fut thriurpages of the property over this be suefcient. the erever this path repriest e sign, tr of the business owner, the signature of the authorized agent of the business owner shall be sufficient. 36615.5. "Special benefit"
"Special benefit" means, for purposes of a property-based district, a particular and distinct benefit over and above general benefits conferred on real property located in a district or to the public at large. Special benefit includes incidental or collateral effects that arise from the improvements, maintenance, or activities of property-based districts even if those incidental or collateral effects benefit property or persons not assessed. Special benefit excludes general enhancement of property value.
36616. "Tenant"
"Tenant" means an occupant pursuant to a lease of commercial space or a dwelling unit, other than an owner.

ARTICLE 3. Prior Law
36617. Alternate method of financing certain improvements and activities; Effect on other provisions This part provides an alternative method of financing certain improvements and activities. The provisions of this part shall not affect or limit any other provisions of law authorizing or providing for the furnishing of improvements or activities or the raising of revenue for these purposes. Every improvement area established pursuant to the Parking CITBID Management District Plan 20
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and Business Improvement Area Law of 1989 (Part 6 (commencing with Section 36500) of this division) is valid and effective and is unaffected by this part.

CHAPTER 2. Establishment
36620. Establishment of property and business improvement district A property and business improvement district may be established as provided in this chapter. 36620.5. Requirement of consent of city council
A county may not form a district within the territorial jurisdiction of a city without the consent of the city council of hat city. A city may not form a district within the unincorporated territory of a county without the consent of the boar if supervisors of that county. A city may not form a district within the territorial jurisdiction of another city withou 36621. Initiation of proceedings; Petition of property or business owners in proposed district (a) Upon the submission of a written petition, signed by the property or business owners in the proposed district who will pay more than 50 percent of the assessments proposed to be levied, the city council may initiate proceedings to form a district by the adoption of a resolution expressing its intention to form a district.

The amount of assessment attributable to property or a business owned by the same property or business owner that is in excess of 40 percent of the amount of all assessments proposed to be levied, shall not be included in determining whether the petition is signed by property or business owners who will pay more than 50 percent of the total amount of assessments proposed to be levied. (b) The petition of property or business owners required under subdivision (a) shall include a summary of the management district plan. That summary shall include all of the following:
(1) A map showing the boundaries of the district.
(2) Information specifying where the complete management district plan can be obtained. (3) Information specifying that the complete management district plan shall be furnished upon request.
(c) The resolution of intention described in subdivision (a) shall contain all of the following:
(1) A brief description of the proposed improvements, maintenance, and activities, the amount of the proposed assessment, a statement as to whether the assessment will be levied on property or businesses within the district, a statement as to whether bonds will be issued, and a description of the exterior boundaries of the proposed district, which may be made by reference to any plan or map that is on file with the clerk. The descriptions and statements do not need to be detailed and shall be sufficient if they enable an owner to generally identify the nature and extent of the improvements, maintenance, and activities, and the location and extent of the proposed district. (2) A time and place for a public hearing on the establishment of the property and business improvement district and the levy of assessments, which shall be consistent with the requirements 36622. Contents of management district plan
The management district plan shall include, but is not limited to, all of the following:
(a) If the assessment will be levied on property, a map of the district in sufficient detail to locate each parcel of property and, if businesses are to be assessed, each business within the district. If the assessment will be levied on businesses, a map that identifies the district boundaries in sufficient detail to allow a business owner to reasonably determine whether a business is located within the district boundaries. If the assessment will be levied on property and businesses, a map of the district in sufficient detail to locate each parcel of property and to allow a business owner to reasonably determine whether a business is located within the district boundaries.

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(b) The name of the proposed district.
(c) A description of the boundaries of the district, including the boundaries of benefit zones, proposed for establishment or extension in a manner sufficient to identify the affected property and businesses included, which may be made by reference to any plan or map that is on file with the clerk. The boundaries of a proposed property assessment district shall not overlap with the boundaries of another existing property assessment district created pursuant to this part. This part does not prohibit the boundaries of a district created pursuant to this part to overlap with other assessment districts established pursuant to other provisions of law, including, but not limited to, the Parking and Business Improvement Area Law of 1989 (Part 6 (commencing with Section 36500)). This part does not prohibit the boundaries of a business assessment district created pursuant to this part to overlap with another business assessment district created pursuant to this part. This part does not prohibit the boundaries of a business assessment district created pursuant to this part to overlap with a property assessment district created pursuant to this part. (d) The improvements, maintenance, and activities proposed for each year of operation of the district and the maximum cost thereof. If the improvements, maintenance, and activities proposed for each year of operation are the same, a description of the first year's proposed improvements, maintenance, and activities and a statement that the same improvements, maintenance, and activities are proposed for subsequent years shall satisfy the requirements of this subdivision.
(e) The total annual amount proposed to be expended for improvements, maintenance, or activities, and debt service in each year of operation of the district. If the assessment is levied on businesses, this amount may be estimated based upon the assessment rate. If the total annual amount proposed to be expended in each year of operation of the district is not significantly different, the amount proposed to be expended in the initial year and a statement that a similar amount applies to subsequent years shall satisfy the requirements of this (f) The proposed source or sources of financing, including the proposed method and basis of levying the assessment in sufficient detail to allow each property or business owner to calculate the amount of the assessment to be levied against his or her property or business. The plan also shall state whether bonds will be issued to finance improvements.
(g) The time and manner of collecting the assessments.
(h) The specific number of years in which assessments will be levied. In a new district, the maximum number of years shall be five. Upon renewal, a district shall have a term not to exceed 10 years. Notwithstanding these limitations, a district created pursuant to this part to finance capital improvements with bonds may levy assessments until the maximum maturity of the bonds. The management district plan may set forth specific increases in assessments for each year of operation of the district. (i) The proposed time for implementation and completion of the management district plan. (i) Any proposed rules and regulations to be applicable to the district. (k) (1) A list of the properties or businesses to be assessed, including the assessor's parcel numbers for properties to be assessed, and a statement of the method or methods by which the expenses of a district will be imposed upon benefited real property or businesses, in proportion to the benefit received by the property or business, to defray the cost thereof. (2) In a property-based district, the proportionate special benefit derived by each identified parcel shall be determined exclusively in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the activities. An assessment shall not be imposed on any parcel that exceeds the reasonable cost of the proportional special benefit conferred on that parcel. Only special benefits are assessable, and a property-based district shall separate the general benefits, if any, from the special benefits conferred on a parcel. Parcels within a property-based district that are owned or used by any city, public agency, the State of California, or the United States shall not be exempt from assessment unless the governmental entity can demonstrate by clear and convincing evidence that those publicly owned parcels in fact receive no special benefit. The value of any incidental, secondary, or collateral effects that arise from the improvements, maintenance, or activities of a property-based district and that benefit property or persons not assessed shall not be deducted from the entirety of the cost of any special benefit or affect the proportionate special benefit derived by each identified parcel. (I) In a property-based district, the total amount of all special benefits to be conferred upon the properties located within the property-based district.
(m) In a property-based district, the total amount of general benefits, if any.

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(n) In a property-based district, a detailed engineer's report prepared by a registered professional engineer certified by the State of California supporting all assessments contemplated by the management district plan. (o) Any other item or matter required to be incorporated therein by the city council. 36623. Procedure to levy assessment
(a) If a city council proposes to levy a new or increased property assessment, the notice and protest and hearing procedure shall comply with Section 53753 of the Government Code. (b) If a city council proposes to levy a new or increased business assessment, the notice and protest and hearing procedure shall comply with Section 54954.6 of the Government Code, except that notice shall be mailed to the owners of the businesses proposed to be assessed. A protest may be made orally or in writing by any interested person. Every written protest shall be filed with the clerk at or before the time fixed for the public hearing. The city council may waive any irregularity in the form or content of any written protest. A written protest may be withdrawn in writing at any time before the conclusion of the public hearing. 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 or the authorized representative. A written protest that does not comply with this section shall not be counted in determining a majority protest. If written protests are received from the owners or authorized representatives of businesses in the proposed district that will pay 50 percent or more of the assessments proposed to be levied and protests are not withdrawn so as to reduce the protests to less than 50 percent, no further proceedings to levy the proposed assessment against such businesses, as contained in the resolution of intention, shall be taken for a period of one year from the date of the finding of a majority protest by the city council. (c) If a city council proposes to conduct a single proceeding to levy both a new or increased property assessment and a new or increased business assessment, the notice and protest and hearing procedure for the property assessment shall comply with subdivision (a), and the notice and protest and hearing procedure for the business assessment shall comply with subdivision (b). If a majority protest is received from either the property or business owners, that respective portion of the assessment shall not be levied. The remaining portion of the assessment may be levied unless the improvement or other special benefit was proposed to be funded by assessing both property and business owners.
36624. Changes to proposed assessments
At the conclusion of the public hearing to establish the district, the city council may adopt, revise, change, reduce, or modify the proposed assessment or the type or types of improvements, maintenance, and activities to be funded with the revenues from the assessments. Proposed assessments may only be revised by reducing any or all of them. At the public hearing, the city council may only make changes in, to, or from the boundaries of the proposed property and business improvement district that will exclude territory that will not benefit from the proposed improvements, maintenance, and activities. Any modifications, revisions, reductions, or changes to the proposed assessment district shall be reflected in the notice and map recorded pursuant to Section 36621. 36625. Resolution of formation
(a) If the city council, following the public hearing, decides to establish a proposed property and business improvement district, the city council shall adopt a resolution of formation that shall include, but is not limited to, all of the following:
(1) A brief description of the proposed improvements, maintenance, and activities, the amount of the proposed assessment, a statement as to whether the assessment will be levied on property, businesses, or both within the district, a statement on whether bonds will be issued, and a description of the exterior boundaries of the proposed district, which may be made by reference to any plan or map that is on file with the clerk. The descriptions and statements need not be detailed and shall be sufficient if they enable an owner to generally identify the nature and extent of the improvements, maintenance, and activities and the location and extent of the proposed district. (2) The number, date of adoption, and title of the resolution of intention.

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(3) The time and place where the public hearing was held concerning the establishment of the district.
(4) A determination regarding any protests received. The city shall not establish the district or levy assessments if a majority protest was received.
(5) A statement that the properties, businesses, or properties and businesses in the district established by the resolution shall be subject to any amendments to this part. (6) A statement that the improvements, maintenance, and activities to be conferred on businesses and properties in the district will be funded by the levy of the assessments. The revenue from the levy of assessments within a district shall not be used to provide improvements, maintenance, or activities outside the district or for any purpose other than the purposes specified in the resolution of intention, as modified by the city council at the hearing concerning establishment of the district.

Notwithstanding the foregoing, improvements and activities that must be provided outside the district boundaries to create a special or specific benefit to the assessed parcels or businesses may be provided, but shall be limited to marketing or signage pointing to the district. (7) A finding that the property or businesses within the area of the property and business improvement district will be benefited by the improvements, maintenance, and activities funded by the proposed assessments, and, for a property-based district, that property within the district will receive a special benefit.
(8) In a property-based district, the total amount of all special benefits to be conferred on the properties within the property-based district.
(b) The adoption of the resolution of formation and, if required, recordation of the notice and map pursuant to Section 36627 shall constitute the levy of an assessment in each of the fiscal years referred to in the management district plan.
36627. Notice and assessment diagram
Following adoption of the resolution establishing district assessments on properties pursuant to Section 36625, the clerk shall record a notice and an assessment diagram pursuant to Section 3114. No other provision of Division 4.5 (commencing with Section 3100) applies to an assessment district created pursuant to this part. 36628. Establishment of separate benefit zones within district; Categories of businesses The city council may establish one or more separate benefit zones within the district based upon the degree of benefit derived from the improvements or activities to be provided within the benefit zone and may impose a different assessment within each benefit zone. If the assessment is to be levied on businesses, the city council may also define categories of businesses based upon the degree of benefit that each will derive from the improvements or activities to be provided within the district and may impose a different assessment or rate of assessment on each category of business, or on each category of business within each zone. 36628.5. Assessments on businesses or property owners
The city council may levy assessments on businesses or on property owners, or a combination of the two, pursuant to this part. The city council shall structure the assessments in whatever manner it determines corresponds with the distribution of benefits from the proposed improvements, maintenance, and activities, provided that any property- based assessment conforms with the requirements set forth in paragraph (2) of subdivision (k) of Section 36622. 36629. Provisions and procedures applicable to benefit zones and business categories All provisions of this part applicable to the establishment, modification, or disestablishment of a property and business improvement district apply to the establishment, modification, or disestablishment of benefit zones or categories of business. The city council shall, to establish, modify, or disestablish a benefit zone or category of business, follow the procedure to establish, modify, or disestablish a property and business improvement district. 36630. Expiration of district; Creation of new district CITBID Management District Plan 24
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If a property and business improvement district expires due to the time limit set pursuant to subdivision (h) of Section 36622, a new management district plan may be created and the district may be renewed pursuant to this part.

CHAPTER 3. Assessments
36631. Time and manner of collection of assessments; Delinquent payments The collection of the assessments levied pursuant to this part shall be made at the time and in the manner set forth by (a) The assessments levied on real property pursuant to this part shall be levied on the basis of the estimated benefit to the real property within the property and business improvement district. The city council may classify properties for purposes of determining the benefit to property of the improvements and activities provided pursuant to this part.
(b) Assessments levied on businesses pursuant to this part shall be levied on the basis of the estimated benefit to the businesses within the property and business improvement district. The city council may classify businesses for purposes of determining the benefit to the businesses of the improvements and activities provided pursuant to this part.
c) Properties zoned solely for residential use, or that are zoned for agricultural use, are conclusivel resumed not to benefit from the improvements and service funded through these assessments, and shall no be subject to any assessment pursuant to this part.
36633. Time for contesting validity of assessment
The validity of an assessment levied under this part shall not be contested in an action or proceeding unless the action or proceeding is commenced within 30 days after the resolution levying the assessment is adopted pursuant to Section 36625. An appeal from a final judgment in an action or proceeding shall be perfected within 30 days after the entry of judgment.
36634. Service contracts authorized to establish levels of city services The city council may execute baseline service contracts that would establish levels of city services that would continue after a property and business improvement district has been formed. 36635. Request to modify management district plan
The owners' association may, at any time, request that the city council modify the management district plan. Any modification of the management district plan shall be made pursuant to this chapter. 36636. Modification of plan by resolution after public hearing; Adoption of resolution of intention (a) Upon the written request of the owners' association, the city council may modify the management district CITBID Management District Plan 25
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(1) The resolution of intention shall be published in a newspaper of general circulation in the city once at least seven days before the public hearing.
2) A complete copy of the resolution of intention shall be mailed by first class mail, at least 10 day efore the public hearing, to each business owner or property owner affected by the propose modification.
(b) The city council shall adopt a resolution of intention which states the proposed modification prior to the public hearing required by this section. The public hearing shall be held not more than 90 days after the adoption of the resolution of intention. 36637. Reflection of modification in notices recorded and maps Any subsequent modification of the resolution shall be reflected in subsequent notices and maps recorded pursuant to Division 4.5 (commencing with Section 3100), in a manner consistent with the provisions of Section 36627.

CHAPTER 3.5. Financing
36640. Bonds authorized; Procedure; Restriction on reduction or termination of assessments (a)The city council may, by resolution, determine and declare that bonds shall be issued to finance the estimated cost of some or all of the proposed improvements described in the resolution of formation adopted pursuant to Section 36625, if the resolution of formation adopted pursuant to that section provides for the issuance of bonds, under the Improvement Bond Act of 1915 (Division 10 (commencing with Section 8500)) or in conjunction with Marks-Roos Local Bond Pooling Act of 1985 (Article 4 (commencing with Section 6584) of Chapter 5 of Division 7 of Title 1 of the Government Code). Either act, as the case may be, shall govern the proceedings relating to the issuance of bonds, although proceedings under the Bond Act of 1915 may be modified by the city council as necessary to accommodate assessments levied upon business pursuant to this part.
(b) The resolution adopted pursuant to subdivision (a) shall generally describe the proposed improvements specified in the resolution of formation adopted pursuant to Section 36625, set forth the estimated cost of those improvements, specify the number of annual installments and the fiscal years during which they are to be collected. The amount of debt service to retire the bonds shall not exceed the amount of revenue estimated to be raised from assessments over 30 years.
(c) Notwithstanding any other provision of this part, assessments levied to pay the principal and interest on any bond issued pursuant to this section shall not be reduced or terminated if doing so would interfere with the timely retirement of the debt.

CHAPTER 4. Governance
36650. Report by owners' association; Approval or modification by city council (a) The owners' association 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 improvements, maintenance, and activities described in the report. The owners' association's first report shall be due after the first year of operation of the district. The report may propose changes, including, but not limited to, the boundaries of the property and business improvement district or any benefit zones within the district, the basis and method of levying the assessments, and any changes in the classification of property, including any categories of business, if a classification is used.
(b) The report shall be filed with the clerk and shall refer to the property and business improvement district by name, specify the fiscal year to which the report applies, and, with respect to that fiscal year, shall contain all of the following information:
(1) Any proposed changes in the boundaries of the property and business improvement district or in any benefit zones or classification of property or businesses within the district. (2) The improvements, maintenance, and activities to be provided for that fiscal year.

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(3) An estimate of the cost of providing the improvements, maintenance, and activities for that fiscal (4) The method and basis of levying the assessment in sufficient detail to allow each real property or business owner, as appropriate, to estimate the amount of the assessment to be levied against his or her property or business for that fiscal year.
(5) The estimated amount of any surplus or deficit revenues to be carried over from a previous fiscal year.
(6) The estimated amount of any contributions to be made from sources other than assessments levied pursuant to this part.
(c) The city council may approve the report as filed by the owners' association or may modify any particular contained in the report and approve it as modified. Any modification shall be made pursuant to Sections 36635 and 36636.

The city council shall not approve a change in the basis and method of levying assessments that would impair an authorized or executed contract to be paid from the revenues derived from the levy of assessments, including any commitment to pay principal and interest on any bonds issued on behalf of the district. 36651. Designation of owners' association to provide improvements, maintenance, and activities The management district plan may, but is not required to, state that an owners' association will provide the improvements, maintenance, and activities described in the management district plan. If the management district plan designates an owners' association, the city shall contract with the designated nonprofit corporation to provide services.

CHAPTER 5. Renewal
36660. Renewal of district; Transfer or refund of remaining revenues; District term limit (a) Any district previously established whose term has expired, or will expire, may be renewed by following the procedures for establishment as provided in this chapter. (b) Upon renewal, any remaining revenues derived from the levy of assessments, or any revenues derived from the sale of assets acquired with the revenues, shall be transferred to the renewed district. If the renewed district includes additional parcels or businesses not included in the prior district, the remaining revenues shall be spent to benefit only the parcels or businesses in the prior district. If the renewed district does not include parcels or businesses included in the prior district, the remaining revenues attributable to these parcels shall be refunded to the owners of these parcels or businesses. (c) Upon renewal, a district shall have a term not to exceed 10 years, or, if the district is authorized to issue bonds, until the maximum maturity of those bonds. There is no requirement that the boundaries, assessments, improvements, or activities of a renewed district be the same as the original or prior district.

CHAPTER 6. Disestablishment
36670. Circumstances permitting disestablishment of district; Procedure (a) Any district established or extended pursuant to the provisions of this part, where there is no indebtedness, outstanding and unpaid, incurred to accomplish any of the purposes of the district, may be disestablished by resolution by the city council in either of the following circumstances:
(1) If the city council finds there has been misappropriation of funds, malfeasance, or a violation of law in connection with the management of the district, it shall notice a hearing on disestablishment. (2) During the operation of the district, there shall be a 30-day period each year in which assessees may request disestablishment of the district. The first such period shall begin one year after the date of establishment of the district and shall continue for 30 days. The next such 30-day period shall begin two years after the date of the establishment of the district. Each successive year of operation of the district shall have such a 30-day period. Upon the written petition of the owners or authorized representatives of real property or the owners or authorized representatives of businesses in the CITBID Management District Plan 27
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district who pay 50 percent or more of the assessments levied, the city council shall pass a resolution of intention to disestablish the district. The city council shall notice a hearing on disestablishment. (b) The city council shall adopt a resolution of intention to disestablish the district prior to the public hearing required by this section. The resolution shall state the reason for the disestablishment, shall state the time and place of the public hearing, and shall contain a proposal to dispose of any assets acquired with the revenues of the assessments levied within the property and business improvement district. The notice of the hearing on disestablishment required by this section shall be given by mail to the property owner of each parcel or to the owner of each business subject to assessment in the district, as appropriate. The city shall conduct the public hearing not less than 30 days after mailing the notice to the property or business owners. The public hearing shall be held not more than 60 days after the adoption of the resolution of intention. 36671. Refund of remaining revenues upon disestablishment or expiration without renewal of district; Calculation of refund; Use of outstanding revenue collected after disestablishment of district (a) Upon the disestablishment or expiration without renewal of a district, any remaining revenues, after all outstanding debts are paid, derived from the levy of assessments, or derived from the sale of assets acquired with the revenues, or from bond reserve or construction funds, shall be refunded to the owners of the property or businesses then located and operating within the district in which assessments were levied by applying the same method and basis that was used to calculate the assessments levied in the fiscal year in which the district is disestablished or expires. All outstanding assessment revenue collected after disestablishment shall be spent on improvements and activities specified in the management district plan. (b) If the disestablishment occurs before an assessment is levied for the fiscal year, the method and basis that was used to calculate the assessments levied in the immediate prior fiscal year shall be used to calculate the amount of any refund.

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APPENDIX 2 - ASSESSED BUSINESSES
Business Name Business Address
128 CLARISSA 128 CLARISSA
214 BEACON-VACATION RENTAL 1510 S BASCOM AVE # 7
217 BEACON STREET UNIT A 217 BEACON ST UNIT A
302 CLARESSA 302 CLARESSA
317 CLEMENTE AVENUE 317 CLEMENTE AVE
324 DESCANSO AVENUE 324 DESCANSO AVE
327 CLARISSA AVENUE 327 CLARESSA
329 CATALINA 329 CATALINA
334 WHITTLEY AVENUE 334 WHITTLEY
339 DESCANSO 339 DESCANSO
342 EUCALYPTUS - UPPER UNIT 342 EUCALYPTUS - UPPER UNIT 351 CATALINA 351 CATALINA
351 DESCANSO 351 DESCANSO
360 CLEMENTE C-54 360 CLEMENTE C-54
48 PLAYA AZUL 48 PLAYA AZUL
51 CAMINO DE FLORES 51 CAMINO DE FLORES
55 PLAYA AZUL 55 PLAYA AZUL
69 CAMINO DE FLORES 69 CAMINO DE FLORES
69 GAVIOTA 69. GAVIOTA
74 CAMINO DE FLORES 74 CAMINO DE FLORES
80 CAMINO DE FLORES, LLC 80 CAMINO DE FLORES
91 PLAYA AZUL 91 PLAYA AZUL
97 PLAYA AZUL, LLC 38 PLAYA AZUL
ADARGO, EVERETT 244 DESCANSO AVE
ADRIANNE DUMOND : 63 SOL VISTA
AEJ PROPERTIES, LLC 27 CAMINO DE FLORES
ALBANO, MICHAEL & MARY 360 CLEMENTE Al
ALEGRIA, ERIC 53 CAMINO DE FLORES
ALEXANDER ISLAND PROPERTIES 718 CRESCENT AVE.

ALVARADO RESOURCES, LLC 355 CLEMENTE AVE
ALVIS, SARAH 47 PLAYA AZUL
ANDERSON, WILLIAM & SUSAN 330 SUMNER
ANDERSON, WILLIAM R. 122 CLARESSA AVE.

CITBID Management District Plan 29
February 8, 2022 LOVE AND
ARINEW INVESTMENTS INC. 308 CLEMENTE
ARTHUR, LEE & ED 67 SOL VISTA
AVALON 3 PARTNERS 410 TREMONT ST
AVALON OCEAN VIEW VACATION RENTALS 11 LOWER TER
AVALON OCEAN VIEW VACATION RENTALS 32 CAMINO DE FLORES
AVALON VALLEY RANCHES 310 E WHITTLEY
AVILA, MANUEL L. 61 SOL VISTA
BAKER, BRAD 38 CAMINO DE FLORES
BAKER, IRWIN 360 CLEMENTE A11
BAKHSHI, ALIREZA 45 PLAYA AZUL
BARAN, SHU-HWA 63 PLAYA AZUL
BARBIERI, KENT & ROXANNE 229 BEACON #A
BARNETT, RICK & LORI 63 GAVIOTA
BARON, STUART 36 PLAYA AZUL
BEACHY RENTALS 206 MAR DE CORTEZ
BEAL, GREG 331 DESCANSO
BEE CATALINA, L.P. 76 GAVIOTA
BELLANCA HOTEL 111 CRESCENT AVE
BEVINS, HUGH 37 CAMINO DE FLORES
BEVINS, HUGH/BEVINS, MARY CELESTE 360 CLEMENTE A-7
BEYMA, AMBER 33 CAMINO DE FLORES
BEYMA, AMBER 15 CAMINO DE FLORES
BEYMA, AMBER 97 PLAYA AZUL
BIEBER, RON 360 CLEMENTE C50-CIVR
BIGENHO, DORRIS 62 PLAYA AZUL
BITTNER, TOM 343 CATALINA AVE
BLUE DOLPHIN HOUSE 603 BEACON
BORREN, DYLAN & STEVE 242 CLARESSA
BOULTINGHOUSE, BRIAN & DIANE 315 MARILLA AVE
BOURASSA FAMILY TRUST 225 CLARESSA
BOUTILLIER, BLAKE & LESLIE 80 SOL VIS
BOWERS, G & BOWERS, C 126 CLARESSA
BRADLEY, MESA 107 PEBBLY BEACH ROAD
BRENDA NICHOLS VACATION RENTAL 83 PLAYA AZUL
BRENNEMAN, CINDY & THOMAS 222 CATALINA AVE
BRENNER, GREG 211 WHITTLEY AVE
BREWER, MARCIA H. 201 E. WHITTLEY
CITBID Management District Plan 30
February 8, 2022

BRODERICK, DAVID & EDWINA 360 CLEMENTE B39
BROOKS, GARY 324 SUMNER AVE
BROOKS, KEVIN & BRANDI 60 PLAYA AZUL
BROWER, SANDRA 5 CAMINO DE FLORES
BROWN FAMILY TRUST 19 CAMINO DE FLORES
BUENA VISTA 122 WHITTLEY AVE.

BUMBARGER FINANCIAL PARTNERS INC. 150 MIDDLE TER
BUTKYS, RIMAS 66 CAMINO DE FLORES
BUTKYS, RIMAS 58 CAMINO DE FLORES
BUTKYS, RIMS 65 GAVIOTA
BUTLER COURT APARTMENTS 338 EUCALYPTUS
CAMPBELL, GLADE 90 PLAYA AZUL
CASA DE CHAOS 212 CLARESSA
CASA MARIQUITA HOTEL P.O. BOX: 1021
CASA SANTA CRUZ & CASA SANTA ROSA 1 BANNING HOUSE RD
CASILLAS, EZEQUIEL & JUANITA 242 MARILLA

CASINO BALLROOM CASINO BALLROOM
CASTIGLIONE, STEVE & JANET 321 EUCALYPTUS
CASTIGLIONE, STEVE & JANET 316 CLARESSA AVE
CATALINA BEACH HOUSE, LLC 200 MARILLA AVE
CATALINA HOTSPOTS-APARTMENT RENTAL 129 WHITTLEY AVE
CATALINA ISLAND GOLF CART RENTALS PO BOX 1919
CATALINA ISLAND INN 125 METROPOLE
CATALINA LODGE 237 SUMNER AVE.

CAUDILL, PAULETTE 318 METROPOLE AVE
CHAMBERLAIN, CRAIG 360 CLEMENTE B45
CHAMBERLAIN, CRAIG 360 CLEMENTE B-37
CHRISPEN, LAURIE 360 CLEMENTE B46
CHURTON, TIMOTHY 57 SOL VISTA/AVALON TERRACE
CLARK, JULIAN 360 CLEMENTE AVE B-04
CLARKE, LINDA 304 SUMNER
CLASEN, AUDREY & CHRIS 6 CANYON TERRACE
CMMII PARTNERSHIP 81 CAMINO DE FLORES
COAST VIDEO, INC. 224 1/2 WHITTLEY AVE
COBB, SHARI 37 PLAYA AZUL
COLVIN, DEAN E. 310 SUMNER AVE.

COMSTOCK, ROGER & KAREN 328 CLARESSA
CITBID Management District Plan 31
February 8, 2022 LOVE SRID
CONRAD, JEREMY 1 CAMINO DE FLORES
COTTER, CAROLE 360 CLEMENTE AVE A-2
CRAMMER, ANDREA 67 CAMINO DE FLORES
CRUISE INVESTMENT TRUST 360 CLEMENTE C56
D.R. & JEAN CLEM FAMILY TRUST 119 SUMNER AVE
DAFFURN, RICHARD TRUST 358 DESCANSO
DAHLSTROM, BERL 360 CLEMENTE A-10
DARRAH VACATION RENTAL 334 CATALINA AVE
DEKLEINHANS, JAMES CO TR 319 CATALINA ST.

DESPUES FAMILY TRUST 78 PLAYA AZUL
DINKEL, MEL 360 CLEMENTE A05
DINKEL, MEL & LESLIE 40 CAMINO DE FLORES
DRENTH, ANTON 373 E WHITTLEY
DREW, BARBARA 359 CATALINA
DUNN, JERRY DEVELOPMENT 128 HIAWATHA
EAGLES NEST APARTMENTS 300 MARILLA
EL TERADO TERRACE 230 MARILLA
ERICKSON, KARIN & BILL 360 CLEMENTE C-64
ETHERIDGE, JOHNNY 342 1/2 EUCALYPTUS
EUCALYPTUS COTTAGE 337 EUCALYPTUS
EVANS, FRED 219 WHITTLEY AVE.

EVANS, FRED & LYNDA 217 WHITTLEY
FAIRWEATHER COTTAGE 234 CLARESSA
FERGUSON, ELAINE DIANE 338 SUMNER AVE
FILIPPONE, REGINA / KAREN 224 CLARESSA AVE.

FISCHER, JULIE 229 BEACH UNIT A
FOX-WIELAND, BARBARA 44 CAMINO DE FLORES
FOX-WIELAND, BARBARA 54 GAVIOTA
FREEMAN/FREEMAN 236 CATALINA
GABLEDON, BERT 4 CAMINO DE FLORES
GAGNIER, RANDY & AMY 357 SUMNER (FRONT & BACK)
GAGNIER-CRINER, CINDY 359 SUMNER AVE UNITS B &
GAINES, JERRY 357-357 1/2 DESCANSO AVE.

GASPARIAN, JOHN 360 CLEMENTE A16
GAZIS, GUS & OLIVIA 84 PLAYA AZUL
GEHRET, DAVID & KAREN 89 PLAYA AZUL
GENTILE, RICHARD 39 CAMINO DE FLORES
CITBID Management District Plan 32
February 8, 2022
GENTILE, RICHARD 85 PLAYA AZUL
GEORGE, MARY E. 7 LOWER TERRACE
GLASS, BART M. 45 GAVIOTA
GLENMORE HOTEL 118 SUMNER AVE
GOODGAME, GARY 309 CLEMENTE
GORDON, ALBERT 350 EUCALYPTUS AVE
GORDON, HUNTLEY 319 CLEMENTE AVE.

GORDON, MARK 350 EUCALYPTUS
GOUGH, WILLIAM & HANNAH 358 SUMNER AVE.

GREENWOOD, JAMES 221/223 CLARESSA
GRIMMETT, DAVID 360 CLEMENTE C63
GRIMMETT, DAVID 360 CLEMENTE A-23
GRISHAM, RANDY 357 CLEMENTE
GRISHAM, W. & D. & HANDLEY, E. 101 PEBBLY BEACH RD.

GUALCO, JACK & BARBARA • 55 GAVIOTA
H & L WILSON REVOCABLE TRUST 8 CAMINO DE FLORES
HAGUE, CLIFF 79 PLAYA AZUL
HALL, KENNETH & LYNDA 322 SUMNER
HANDY, JOSEPH & HELEN 219 BEACON UNIT B
HANSEN, HUGH 85 GAVIOTA
HARRIS, LARRY 360 CLEMENTE A24
HARRISON, TIMOTHY 336 - 338 DESCANSO
HASKIN, CARRIE 211 DESCANSO AVE.

HAYES, LINDA E. TRUST 309 CLARESSA
HAYES, STEVE 323 EUCALYPTUS
HAYES, GLORIA/MOORE,MARGARET 1 UPPER TER
HEILGENMANN, HELMUT 70 CAMINO DE FLORES
HEILIGENMANN, HELMUT 44 CAMINO DE FLORES
HEIM, MARTY 121 CLARESSA
HEIN, GREG & WENDY 310 CLARISSA AVE
HERBERT, ALAN & LORRY 349 EUCALYPTUS
HICKAM, VICKI 103 VIEUDELOU
HOGG'S RIDGE HOUSE 257 E WHITTLEY
HOLIDAY INN 888 COUNTRY CLUB DR.

HOTEL ATW ATER 125 SUMNER
HOTEL CATALINA 129 WHITTLEY AVE & 108 MARILLA
HOTEL CATALINA 129 WHITTLEY AVE & 108 MARILLA
CITBID Management District Plan 33
February 8, 2022 LOVE SEAND'A
HOTEL MAC RAE, INC. 409 CRESCENT AVE.

HOTEL METROPOLE 205 CRESCENT
HOTEL VISTA DEL MAR 417 CRESCENT
HUGO, HOWARD 341 EUCALYPTUS
INN ON MT. ADA 398 WRIGLEY RD
ISLAND COTTAGE 134 WHITTLEY
ISLAND EXPRESS HELICOPTERS - 1/59 59 CAMINO DE FLORES
ISLAND RENTALS PO BOX 711
IVEY, MARIANNE 155 MARILLA
JACKSON, PETER / JOAN PRICE 337 CATALINA
JACKSON, STEPHEN & ROSALIND 77 PLAYA AZUL
JERRY DUNN DEVELOPMENT/RENTALS 133 UPPER TERRACE
JESS II LLC 70 GAVIOTA
JOHN STAFF & 4 SISTERS 119 MAIDEN LANE
JOHNSON, JAMES W. 360 CLEMENTE B31
JONES, RAYMOND 58 CANYON TERRACE
JONES-93 CANYON TERRACE 93 SOL VIS
JUANA & EZEQUIEL CASILLAS 211 CLARESSA
KALKUS, PAMELA 87 PLAYA AZUL
KAMAR, DIMITRY 34 CAMINO DE FLORES
KATHLEEN LAURIN 315 1/2 EUCALYPTUS
KELLEY-CLINE, LORRY 80 SOL VISTA
KELLOGG, R.& N. FAMILY TRUST 316-316 1/2 CATALINA
KERSCHER, SARA & THOMAS 315 CLEMENTE
KETCHUM, BETTY & RALPH 40 PLAYA AZUL
KIDD, PATRICK 227 DESCANSO AVE.

KINCANNON, ROSALYNE 123 UPPER TER
KINCART, ROBERT 72 PLAYA AZUL
KINDNESS, JEFF 341 CLARISSA AVE
KING, PATRICIA 42 CAMINO DE FLORES
KIRKPATRICK COTTAGE 153 UPPER TER
KIRSCHNER, RICHARD 58 GAVIOTA
KLINGENSMITH, PATRICIA 11 CANYON TER
LA GAVIOTA, LLC 348 SUMNER AVE
LA PALOMA-LAS FLORES, LLC. 328 METROPOLE
LAMB, KATHRYN TRUST 360 CLEMENTE C49
LAMONT REEVES 71 PLAYA AZUL
CITBID Management District Plan 34
February 8, 2022 LOVE SCANDA
LAMONTE, HELEN & GREGORY 76 CAMINO DE FLORES
LANGLOIS, WILLIAM 351 EUCALYPTUS AVE.

LARSON, MARGARET 335 EUCALYPTUS AVE.

LEBRENTON, THOMAS 317 CATALINA AVE
LEFEBVRE, C. & BECHTOLD, J. 219 CLARESSA
LIBERATORE, PHIL & DANA 49 GAVIOTA
LIEBERSBACH, RICHARD 30 CAMINO DE FLORES
LINDER, LANCE & SHERRY 26 CAMINO DE FLORES

LIROCCHI ENTERPRISES, LLC FREELANCE
LONG, JEB/PIERONI, MARILYN 12 CANYON TERRACE
LONGYEAR, WILLIS & JUDITH 239 DESCANSO
LOUGH, RICH 222 CLARISSA
LOUGH, RODGER 220 CLARISSA AVE
LTO & ASSOCIATES INC. 300 CLARISSA
LUND, JOAN 90 PLAYA AZUL
LYON, CHRISTINE 227 BEACON UNIT A
M&M'S CATALINA AIR INVESTMENTS LLC 80 GAVIOTA
MAEDER, GARY & SUE 360 CLEMENTE B47
MANI, DANIEL 77 GAVIOTA
MANOUKIAN, ARAM 6 CAMINO DE FLORES
MARCHETTI, MARK & PAM 360 CLEMENTE A-4
MARILLA, INC. DBA AURORA HOTEL 137 MARILLA AVE
MARKEY, WILLIAM & DEBBI 202 CLARESSA
MARSAGLIA, VINCE 322 SUMNER AVE
MARTINEZ, EDUARDO ESTEBAN 343 CATALINA AVE
MARTINEZ, LINDA 50 PLAYA AZUL
MATSUMOTO, BRIAN 360 CLEMENTE C51
MATTERA, ANGELA 360 CLEMENTE A17
MCCARTNEY, FORREST 80 PLAYA AZUL
MCCLINTOCK, REED & NANCY 29 CAMINO DE FLORES
MCCONICA, DONNA 219 DESCANSO
MCCONICA, JIM 329 DESCANSO
MCCONICA, JIM 357 CLARESSA
MCCONICA, JIM 334 EUCALYPTUS
MCINDOO, JEFF 75 CAMINO DE FLORES
MCKINNEY. CAPITAL HERMOSA PARTNERS 131 METROPOLE AVE
MCKOWN, JOEL & SARA 218 CLARESSA
CITBID Management District Plan 35
February 8, 2022 LOVE SURINA

MCMILLAN, PATRICIA A. 360 CLEMENTE A9
MCMILLAN, PATRICIA A. 360 CLEMENTE AVE A-09
MCNEIL, RALPH & CONNIE 216 WHITTLEY AVE.

MEISSNER, MARY GAYLE 94 PLAYA AZUL
MELLO, JOHN 300 CATALINA STREET
MELLO, JOHN 122 MIDDLE TER
MIGUELEZ 236 - 238 CLARESSA
MILLER, JOHN & TERESA 203 DESCANSO
MK GATES PROPERTIES AVALON LLC 153 CRESCENT AVE
MOORE, DAVE & VALLI 336 SUMNER
MORAN, GARY & NANCIE 360 CLEMENTE AVE UNIT C-48
MORGAN, ROBERT B. 224 WHITTLEY AVE.

MUSLIN, SAM & CATHY 360 CLEMENTE C65
NADSADY, KEN 326 EUCALYPTUS AVE.

NAMIHAS, IVAN 227 BEACON #B
NGUYEN, VAN 124 CLARISSA
NIZICH 28 CAMINO DE FLORES
NOLAN, SANDRA 61 GAVIOTA
NUTTALL, DOUG & FRANCES 94 CANYON TERRACE
OLSEN, KURT 312 CATALINA AVE
O'ROURKE, CRAIG 243 CLARESSA-LOWER
OSTERGARD TRUST 82 GAVIOTA
OSTLUND VACATION PROPERTIES, LLC. 16 CAMINO DE FLORES
OSTLUND VACATION PROPERTIES, LLC. 17 CAMINO DE FLORES
OWENS, MICHAEL & MELANIE 79 CAMINO DE FLORES
PACIFIC ISLE APARTMENTS 330 & 332. WHITTLEY
PAIGE, JEANNE 358 CLARESSA
PARRY, DEBORAH 360 CLEMENTE A13
PAVILION LODGE 513 CRESCENT
PCF PROPERTIES 360 CLEMENTE B37
PECK, CAROL 50 GAVIOTA
PEDLEY, P & F/MCALONEY, H & B 71 CAMINO DE FLORES
PEDROZA, SALVADOR 89 SOL VIS
PEET, ROBERT 339 CLARESSA
PERRAULT FAMILY TRUST 78 CAMINO DE FLORES
PETERSEN, ALAN M. 310 DESCANSO
PETRE, CHARLES 216 CLARESSA
CITBID Management District Plan 36
February 8, 2022 LOVE SLAND'A
PHILLIP BRYER 53 PLAYA AZUL
PIERONI, MARILYN 10 CANYON TER
PIPER, ANGELA 207 CLARESSA AVE
PUTNAM, SANDRA 108-112 MAIDEN LANE
PUTNAM, SANDRA 109 MAIDEN LANE
QIAN, YI 92 PLAYA AZUL
R. MOGUEL/J. VANDERWIEL 61 SOL VIS
RAMESON FAMILY TRUST 345 EUCALYPTUS
RANA PARTNERS 114 MARILLA UNIT 1
RANDALL, FRANK 56 GAVIOTA
RANDALL, ROD 124 HIAWATHA
REID, STEWART & KELLY 87 GAVIOTA
RICHARD & CAROL DINKIN TRUST 323 CLEMNETE AVE
RODRIGUEZ, J. / CAROTHER J. DALE 31 CAMINO DE FLORES
RODRIGUEZ, ROSALVA 360 CLEMENTE # C53
RODRIQUEZ, JOSE & ANGELICA 360 CLEMENTE A-6
ROGERS, GLEN 347 CATALINA AVE
RUDDON, KATE 95 PLAYA AZUL
RUSHING, ROBERT 72 CAMINO DE FLORES
SALDANA, JOE & TRUDY 355 METROPOLE AVE.

SANGSTER, WILLIAM/W. SANGSTER 360 CLEMENTE B-42
SANTOS, TOM 35 CAMINO DE FLORES
SANTOS, TOM 40 CAMINO DE FLORES
SAVAGE, PETER 155 OLIVE ST
SAY LA VIE 232 CLARISSA - BTM UNIT
SCHAACK, TERRY 340 SUMNER AVE
SCHAPIRO, MELVIN & BARBARA 65 PLAYA AZUL
SCHATAN, JUDY 305 SUMNER AVE
SCHEDING, WILLIAM & SUSAN 334 SUMNER AVE
SCHMITZ, DAVE & DIANE 84 GAVIOTA
SCHOENDORFER, DONALD & LAURIE 176 MIDDLE TERRACE
SCHULTZ, ANDREW & LAURIE 78 GAVIOTA
SCOTT, JOHN & MAGGIE 234 CLARESSA
SEACREST INN 201 CLARISSA AVE
SEAPORT VILLAGE INN 119 MAIDEN LANE
SEGREST, MIKE & DEBBIE 219 BEACON UNIT B
SELLAS, JIM 59 GAVIOTA
CITBID Management District Plan 37
February 8, 2022 LOVE SLAND
SELTZER MAZIARZ 312 SUMNER AVE.

SERPELL-MORRIS, DAVID 360 CLEMENTE B44
SHECKLER FAMILY TRUST 354 DESCANSO
SHELTON, DOUGLAS & REGINA 316 SUNNY LANE
SHUSTERMAN, PETER 36 CAMINO DE FLORES
SILVERBERG, MARK ALLEN 337 SUMNER
SKYES, MARILYN 59 PLAYA AZUL
SNUG HARBOR INN 108 SUMNER AVE.

SNYDER, GAIL LAMONT 344/344 1/2 SUMNER
SOTO, RONALD & JANIS 79 GAVIOTA
SPEIDEL, ELBERT 45 CAMINO DE FLORES
ST. LAUREN HOTEL 231 BEACON
STERMAN, BARRY & LORRAINE 130 MIDDLE TERRACE
STEWART, DEBORAH 333 CATALINA AVE.

STOCK, CLIFF AND MARCIE 360 CLEMENTE AVE # B36
STOFER, SUZANNE 318 CLARESSA-UPPER UNIT
STOJKA, ANDRE & LESLIE 360 CLEMENTE C59
STOLT, LISA M. 68 CAMINO DE FLORES
SULICK, FRANK & LORALEE • 360 CLEMENTE A19
SUMNER COTTAGE 337 SUMNER
TAMAYO, JAVIER & ALICIA 360 CLEMENTE AVE A-3
TAN EXEMPTION EQUIVALENT TRUST 360 CLEMENTE C58
TEJEDA, JUDY 58 PLAYA AZUL
TEJEDA, JUDY 65 CAMINO DE FLORES
TERRELL, DEBRA & RICHARD 360 CLEMENTE B-41
THE AVALON 124 WHITTLEY AVE
THE BANNING HOUSE 1 BANNING HOUSE RD.

THE EDGEWATER 415A CRESCENT AVE
THE OLD TURNER INN 232 CATALINA
THOMAS, BRAD 14 CAMINO DE FLORES
TSAI, PAUL 57 CAMINO DE FLORES
TUNA CLUB 100 ST CATHERINE WAY
TURBVILLE, PAMELA 75 GAVIOTA
TURK, TERRY & JOANN 61 PLAYA AZUL
TURLEY, FRANK 52 GAVIOTA
TUSAK, JOHN 355 1/2 CLEMENTE
VAN DER AHE, WILL 68 GAVIOTA
CITBID Management District Plan 38
February 8, 2022 LOVE SLAND
VAWTER, SHERI 50 GAVIOTA
VENER, AMANDA 232 WHITTLEY AVE
VENTURA TRANSFER CO 360 CLEMENTE A20
VR PROPERTIES 334 EUCALYPTUS AVE
WALKER, CRAIG 205 CALLE DEL SOL
WALLACE, BRUCE 18 CAMINO DE FLORES
WASKO, JIM 49 CAMINO DE FLORES
WATERS - AVALON LLC 210 CLARESSA AVE
WAY-SMITH TRUST 12 CAMINO DE FLORES
WEINREB, MICHAEL 60 CAMINO DE FLORES
WILLS, JOANN 353 EUCALYPTUS AVE.

WILSON, EDGAR MICHAEL 116 MAIDEN LN
WINDSOR, KATHLEEN 339 CLARESSA
WRIGHT, ANN M. 212 DESCANSO
WRIGHT, CHARLES M. 210 DESCANSO AVE.

WRIGHT, G.G. 74 GAVIOTA
WRITER, THOMAS 315 EUCALYPTUS
WULBRECHT, DOREEN 68 PLAYA AZUL
WULBRECHT, DOREEN 51 GAVIOTA
ZANE GREY PUEBLO HOTEL 199 CHIMES TOWER RD
*List as of March 2021
CITBID Management District Plan 39
February 8, 2022 TALI

OVEISLAN
APPENDIX 3 - BENEFITS BY BUSINESS CATEGORY
Lodging Golf Cart
Programs and Activities Businesses Rentals
Implementation and maintenance of a Destination Marketing Plan designed to increase overnight visitation and sales at assessed businesses
Destination industry advocacy and communications to educate elected officials, affected stakeholders and the public on key issues V
and initiatives designed to increase overnight visitation and room sales or cart rentals at assessed businesses
Digital marketing efforts to increase awareness of and drive sales to V V assessed businesses
Advertising and editorial placements in magazines and
newspapers, television/video, radio and other media targeted at V potential visitors to drive overnight visitation..

Industry research designed to increase the effectiveness of District V V
programs
Public Relations and Communications activities to increase awareness and drive overnight visitation to the assessed businesses V V and golf cart rentals
Industry membership and tradeshow/convention participation with organizations including Cruise the West, Florida Caribbean Cruise Association, Mainstreet USA, and others that educate on the V effectiveness of District programs and visitor attraction for those market segments.

Air service promotion designed to increase overnight visitation, V V
group sales, filming and sales to assessed businesses
Visitor access and wayfinding development that make it easier for visitors to get to Catalina Island and find their way to key attractions V V Attendance of professional industry conferences and affiliation events to promote overnight visitation.

Cultural tourism programs, events attraction and marketing sponsorship initiatives designed to increase overnight visitation and V V room sales to assessed businesses
Workforce development and training programs designed to V
benefit the assessed businesses
Continued development and maintenance of a website designed V V
to promote assessed businesses
Familiarization tours of assessed businesses V
Preparation and production of promotional materials such as V brochures, flyers and maps featuring assessed businesses Enhanced digital presence expanding awareness and optimizing V V
the electronic online footprint of assessed businesses
Attendance of consumer trade shows to promote assessed V V businesses
CITBID Management District Plan 40
February 8, 2022 LOVE SADN
Group sales programs and initiatives designed to increase overnight visitation and room sales at assessed businesses V Marketing meetings to plan and coordinate tourism promotion V Lead generation activities designed to attract visitors and group events to assessed businesses
Cruise Committee plans and coordinates tourism promotion efforts and maintains positive working relationships with the industry CITBID Management District Plan 41
February 8, 2022 LOVE CATALIN
RESOLUTION NO. _

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AVALON

DECLARING ITS INTENTION TO ESTABLISH THE CATALINA ISLAND

TOURISM BUSINESS IMPROVEMENT DISTRICT (CITBID) AND FIXING

THE TIME AND PLACE OF A PUBLIC MEETING AND A PUBLIC HEARING THEREON AND GIVING NOTICE THEREOF.

WHEREAS, the Property and Business Improvement Law of 1994, Streets and Highways Code § 36600 et seq., authorizes the City to establish business improvement districts for the purposes of promoting tourism; and
WHEREAS, Catalina Island Chamber of Commerce and Visitors Bureau, dba Catalina Island Tourism Authority (CITA), lodging business owners, and representatives from the City of Avalon have met to consider the formation of the CITBID; and
WHEREAS, the CITA has drafted a Management District Plan (Plan) which sets forth the proposed boundary of the CITBID, a service plan and budget, and a proposed means of governance; and WHEREAS, the proposed CITBID includes all lodging businesses, existing and in the future, available for public occupancy and all golf cart rental companies, existing and in the future, within the boundaries of the City of Avalon (City) and nearby portions of the unincorporated area of Los Angeles County (County); and
WHEREAS, businesses who will pay more than fifty percent (50%) of the assessment under the CITBID have petitioned the City Council to establish the CITBID.

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL THAT:

The recitals set forth herein are true and correct.

2. The City Council finds that businesses that will pay more than fifty percent (50%) of the assessment proposed in the Plan have signed and submitted petitions in support of the formation of the CITBID. The City Council accepts the petitions and adopts this Resolution of Intention to establish the CITBID and to levy an assessment on certain lodging businesses and golf cart rental companies within the CITBID boundaries in accordance with the Property and Business Improvement District Law of 1994.

The City Council finds that the Plan satisfies all requirements of Streets and Highways Code § 36622.

4. The City Council declares its intention to establish the CITBID and to levy and collect assessments on businesses within the CITBID boundaries pursuant to the Property and Business Improvement District Law of 1994.

5. The CITBID shall include all lodging businesses, existing and in the future, available for public 65059.00000\34810431.1
occupancy and all golf cart rental companies, existing and in the future, within the boundaries of the City of Avalon and nearby portions of the unincorporated area of Los Angeles County, as shown in the map attached as Exhibit A.

6. The name of the district shall be Catalina Island Tourism Business Improvement District (CITBID).

7. The assessment rate for assessed lodging businesses is one percent (1%) of gross short-term room rental revenue. Based on the benefit received, assessments will not be collected on: stays of more than thirty (30) consecutive days; any federal or state officer or employee when on official business; any officer or employee of a foreign government who is exempt by reason of express provision of federal law or international treaty; and stays pursuant to contracts executed prior to June 1, 2022.

The assessment rate for assessed golf cart rental businesses is one dollar ($1.00) per rental for assessed golf cart rental businesses.

The assessments levied for the CITBID shall be applied toward sales, marketing & communications and destination development programs to market assessed businesses within the boundaries of the CITBID as tourist, meeting, and event destinations, as described in the Plan, thereby increasing demand for room night sales and golf cart rental sales. Funds remaining at the end of any year may be used in subsequent years in which CITBID assessments are levied as long as they are used consistent with the requirements of this resolution and the Plan.

The CITBID will have a five (5) year life, beginning June 1, 2022, or as soon as possible thereafter, and end five (5) years from its start date, unless renewed pursuant to Streets and Highways Code § 36660.

10. Bonds shall not be issued.

11. The time and place for the public meeting to hear testimony on establishing the CITBID and levying assessments are set for March 15, 2022, at 5:00 PM, or as soon thereafter as the matter may be heard, at the Council Chambers located at 410 Avalon Cyn Rd, Avalon, CA 90704. In the event that the City determines to conduct the meeting exclusively virtually, or to provide a virtual option for attendance due to public health concerns, the City will provide information on its website on how to attend as soon as such information becomes available.

12. The time and place for the public hearing to establish the CITBID and the levy of assessments are set for April 19, 2022, at 5:00 PM, or as soon thereafter as the matter may be heard, at the Council Chambers located at 410 Avalon Cyn Rd, Avalon, CA 90704. In the event that the City determines to conduct the hearing exclusively virtually, or to provide a virtual option for attendance due to public health concerns, the City will provide information on its website on how to attend as soon as such information becomes available. The City Clerk is directed to provide written notice to the businesses subject to assessment of the date and time of the meeting and hearing, and to provide that notice as required by Streets and Highways Code § 36623, no later than February 28, 2022.

At the public meeting and hearing the testimony of all interested persons for or against the establishment of the CITBID may be received. If at the conclusion of the public hearing, there are of record written protests by the owners of the businesses within the proposed CITBID that will pay more than fifty percent (50%) of the estimated total assessment of the entire CITBID, no further proceedings to establish the CITBID shall occur for a period of one (1) year.

14. The complete Plan is on file with the City Clerk and may be reviewed upon request.

15. This resolution shall take effect immediately upon its adoption by the City Council.

I HEREBY CERTIFY that the foregoing Resolution of Intention was introduced and adopted at a regular meeting of the City Council on the day of 2022 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Ann H. Marshall, Mayor
ATTEST:

Gabrielle Morones, Deputy City Clerk/Senior Administrative Analyst 65059.00000\34810431.1

EXHIBIT A
District Boundaries
PACIFIC OCEAN Los Angeles Orange
County County
Two Harbors
Catalina Island
City of Avalon
TBID Boundaries
LA County Land
CiviTAS San Clemente /sland
RESOLUTION NO.

RESOLUTION REQUESTING CONSENT OF THE COUNTY OF LOS

ANGELES TO ESTABLISH THE CATALINA ISLAND TOURISM BUSINESS

IMPROVEMENT DISTRICT
WHEREAS, the City Council of the City of Avalon desires to begin proceedings to establish the Catalina Island Tourism Business Improvement District (CITBID); and WHEREAS, certain tourism business owners have requested that the City Council (Council) of the City of Avalon (City) establish the CITBID; and WHEREAS, a portion of the territory proposed to be included in the CITBID lies within the boundaries of the the unincorporated area of Los Angeles County (County), as shown on the map attached hereto as Exhibit A and incorporated herein by such attachment; and
WHEREAS, the area of the County which lies within the boundaries of the proposed CITBID will, in the opinion of the Council, be benefited by the improvements and activities, and the purpose sought to be accomplished by the work can best be accomplished be a single comprehensive scheme of work;
NOW, THEREFORE, be it resolved by the City Council of the City of Avalon that:

Section 1: The above recitals are true and correct.

Section 2: Consent of the County, through their Board of Supervisors, is hereby requested to establish the CITBID, and to grant to the Council jurisdiction for all the purposes in connection with this and future renewals and operations of the renewed Section 3: The Clerk of the Council is hereby directed to transmit a certified copy of this Resolution to the County Clerk of Los Angeles County.

ON MOTION duly made, seconded, and carried the foregoing resolution was passed and adopted by the City Council of the City of Avalon, State of California, this day of_ , 2022 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Ann H. Marshall, Mayor
ATTEST:

Gabrielle Morones, Deputy City Clerk/Senior Administrative Analyst 2 Exhibit A
Boundary Map
LOS Angeles Orange
PACIFIC OCEAN Count
County
Two Harbors
Catalina Island
City of Avalon
TBID Boundaries
LA County Land
San Clemente Island

CIVITAS

Avalon City CouncilFebruary 15, 2022

Avalon City Council
February 15, 2022