1 STAFF REPORT
DATE: May 7, 2024
TO: Justin Hess, City Manager
FROM: Patrick Prescott, Community Development Director VIA: Simone McFarland, Assistant Community Development Director, Economic Development and Housing
BY: Mary Hamzoian, Economic Development Manager
SUBJECT: Approval of the Downtown Burbank Property Based Business Improvement District Fiscal Year 2024 Annual Report
RECOMMENDATION
Approve the Downtown Burbank Property Based Business Improvement District’s (PBID) Fiscal Year (FY) 202 4 Annual Report (Attachment 1) pursuant to Section 36650 of the California Streets and Highways Code.
BACKGROUND
The Downtown Burbank Property Based Business Improvement District (PBID) was established by the City Council in 2003 and has been renewed three times, most recently in 2018 for a 10- year term through 2028. The 2018 renewal extended the PBID boundaries of Downtown Burbank (Downtown) south to Alameda Avenue and increased the budget by 48%, which now totals approximately $1,024,000 annually.
The PBID is a non- profit organization governed by the Downtown Burbank Partnership, a Board of volunteer members comprised of brokers, property owners, and business owners in Downtown. The City’s Economic Development Team manages the operations of the PBID , creating projects and programs that enhance the economic wellbeing of Downtown, and ultimately increase consumer spending, visitation, and property values for the area . The PBID continues to be a prime example of a successful public/private partnership between the City and the property owners in Downtown.
COMMUNITY
DEVELOPMENT
2 The goals of the PBID are to:
• Preserve and improve the aesthetics of Downtown through enhancements to capital infrastructure and maintenance.
• Market Downtown as a destination to increase visitation, consumer spending, and events.
• Enhance safety and provide hospitality and social outreach services through StreetPlus.
• Maintain a low vacancy rate through leasing support, broker outreach, and advocacy.
• Streamline processes and provide business concierge services to support businesses.
• Support the formation of a livable and walkable neighborhood.
Since 2003, the PBID has been a driving force in supporting the evolution of Downtown into a vibrant, mixed-use urban neighborhood with housing, entertainment, shopping, and dining establishments for residents, visitors, and employees. Many of the improvements and programs seen today would not have been possible without the continued investment and commitment of the PBID. As Downtown continues to evolve and grow , so do its visitors, with an estimated 4.1 million visitors in 2023 versus 3.8 million visitors in 2022.
DISCUSSION
The Annual Report (Attachment 1) is required by the California Streets and Highways Code § 36650 and provides an outline of the programs and services that the PBID will offer in FY 2024, which runs from January 1, 2024 to December 31, 2024. The Downtown Burbank Partnership 2023 Year in Review and 2024 Looking Ahead M arketing Report (Attachment 2 ), provides highlights of the PBID’s accomplishments in FY 2023 and discusses plans for 2024.
In FY 2022/ 23, Council voted to allocate much needed funding for maintenance and repairs in Downtown through mid-year funding. Several of these projects were completed and are mentioned below ; the remaining projects will be completed in FY 2024 /25.
Highlights from the 2023 Year in Review include the following:
• The extension of outdoor dining, including the installation of semi -permanent decking for in communal in-street dining parklets and expanded sidewalk dining; • Continuation of enhanced weekly maintenance services and additional monthly power washing services;
• Enhanced special events program ming including two arts festivals, the Burbank Winter Wine Walk, weekly Farmer’s Market, and weekly Downtown Burbank Cultural Market, which alone has attracted more than 80,000 visitors annually; • The addition of a new ‘postcard’ mural by local artist Cailey Elliot; 3 • Enhanced digital and social media marketing campaigns promoting new restaurants, retailers, shopping and dining establishments, events, entertainment, and hospitality options reaching an audience of more than 17 million; • Enhanced holiday décor with median displays including new nutcracker statues, 188 light poles wrapped with refreshed gold garland, and custom photo-op holiday displays with lighting and festive characters;
• Implemented a new wayfinding signage program to enhance aesthetics and support traffic and pedestrian flow;
• Supported outreach and marketing for the San Fernando Reconfiguration Project; • Continued Hospitality and Social Outreach Services staffed by StreetPlus; • Provided business concierge and attraction efforts with new retailers and restaurants including Republik Coffee, PokiTomik, BB.Q Chicken, and Café Grano, with additional tenants including Kalaveras opening in 2024; • Installed new k -rail wraps for communal in-street dining parklets funded through the mid-year request; and
• Painted more than 600 light p oles in Downtown, funded through the mid- year request.
Looking Ahead 2024
For the past 21 years, the PBID has been the only constant Downtown funding mechanism in place dedicating approximately $17 million to Downtown through capital improvements, maintenance, infrastructure enhancements, event s, social services, marketing, advocacy, and leasing support. The ongoing efforts of the PBID have shaped the evolution of Downtown to a cleaner, safer, and thriving neighborhood. This would not be possible w ithout the dedication from the property owners to maintain and grow the PBID. Looking ahead, the PBID plans to carry out the following initiatives in FY 2024:
• Updating the yellow pots and planters in the paseos with new plants throughout Downtown;
• Adding one or two new murals to enhance walkability and aesthetics; • Upgrading the AMC Walkway and Palm Avenue paseos;
• Upgrading of outdoor dining furniture and umbrellas in communal dining areas; • Continuing dedicated social media and digital marketing campaigns to promote Downtown as a destination for shopping, dining, and entertainment; • Focusing dedicated public relations strategy on enhanced business attraction and greater investment in Downtown;
• Maintaining and sponsoring events in Downtown to increase pedestrian traffic and consumer spending;
• Maintaining Hospitality and Social Outreach Services with a focus on safety, district maintenance, homeless outreach, and street performer management; 4 • Supporting continued outreach and marketing for the San Fernando Reconfiguration Project and the Downtown Burbank Parking Management Plan; and, • Maintaining a holiday décor program and year-round ambient outdoor lighting.
California Street and Highways Code § 36650 Requirement The California Streets and Highways Code § 36650 requires an owners’ association to prepare a report for each fiscal year, except the first year, for which assessments are to be levied and collected to pay the cost of the improvements, maintenance, and activities described in the report. 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.
In compliance with the State law and the Management District Plan for the PBID, the FY 2024 Annual Report outlines the boundaries of the PBID, the method and basis of levying the assessment for each property owner, plans for 2024, and other statutorily required provisions.
ENVIRONMENTAL REVIEW
This activity has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, and as such, is not a “project” subject to the requirements of the California Environmental Quality Act (CEQA) 14 Cal. Code Regs § 15378.
FISCAL IMPACT
There is no fiscal impact to the City’s General Fund by approving the FY 2024 Annual Report. However, the efforts of the PBID are expected to continue to maintain or increase sales tax revenue for the General Fund. The PBID continues to fund maintenance and capital improvement projects in Downtown that would not otherwise be possible without the investment from the PBID . A dditionally, the PBID contribut es $ 170,772 annually towards Economic Development staff salaries.
CONCLUSION
For the past 21 years, t he PBID has invested more than $1 7 million in private funding to help with the transformation and evolution of Downtown Burbank. The PBID concluded another successful year in 2023 with multiple projects and programs that enhanced visitation, maintained events, and attracted new businesses to the area.
Downtown Burbank’s successful evolution would not have been possible without the support and collaboration of the City of Burbank, the Community Development Department’s Economic Development Team, and the PBID. Together, these 5 organizations work to attract new businesses and development, enhance consumer spending and visitation, facilitate jobs, and maintain a vibrant urban neighborhood that is safe and thriving.
Looking ahead, 202 4 will be focused on continued upgrades to Downtown Burbank to ensure residents, visitors, and employees can continue to live, work, and explore this vibrant destination. The past 21 years of determination and work from the PBID to further manage the progression and success of Downtown, coupled with the new mixed-use housing developments and hotels , provides a unique opportunity for growth and expansion. The PBID looks forward to continuing to work collaboratively with the City’s Economic Development Division to create a safe, beautiful, and thriving community.
ATTACHMENT
Attachment 1 – Downtown Burbank Property Based Business Improvement District (PBID) Annual Report FY 2024
Attachment 2 – Downtown Burbank Partnership Accomplishments for 2023 and Looking Ahead 2024