Item 6.2
Community Benefit
Districts: Adopt an
Ordinance Adding Chapter
5.14 (Community Benefit
Districts) to the Chula
Vista Municipal Code
Establishing Procedures
for the Formation of
Community Benefit
Districts
March 17, 2026
David Graham, Economic Development Director
Recommended Action
Conduct the public hearing and place
an ordinance on first reading adding
Chapter 5.14 (Community Benefit
Districts) to the Chula Vista Municipal
Code to establish procedures for the
formation of Community Benefit
Districts in the City of Chula Vista.
Background
• January 14, 2025 - Western Chula Vista Economic
Development Subcommittee created
• November 18, 2025 – Council approves
subcommittee recommendations including
pursuing a Community Benefit Districts Ordinance
• Research, engagement, and ordinance
development
Property and Business Improvement Districts
Legislative Authority
• 1994 PBID Law allows for the formation of districts
to allow property and business owners to fund
improvements, maintenance, and activities that
benefit a geographic area
• Charter cities are allowed to supplement state law
with local regulations to enhance opportunities to
use this tool to support economic development and
vibrant business districts
Property and Business Improvement Districts
Property and Business Improvement Districts
PBID and Community Benefit Districts
• Over 200 districts in California ranging in size and activity • Alameda, Burbank, Fresno, Glendale, Los Angeles, San
Diego, Santa Ana, Santa Monica, San Francisco, San
Jose, Stockton
• Community Benefit District is a common term
• Assessment of property or business owners
• Petition requirements from 30% to 50%
• Duration from 10 years to 20 years
Property and Business Improvement Districts
City Name Type of District Petition Threshold Term
San Diego Maintenance Assessment District 30% No Term
Whittier Community Benefit District 30% No Term
Alameda Community Benefit District 30% 20 Year
Arcadia Community Benefit District 30% 20 Year
Downey Community Benefit District 30% 20 Year
El Cajon Community Benefit Improvement District 30% 20 Year Glendale Community Benefit District 30% 20 Year
Modesto Community Benefit District 30% 20 Year
Oakland Business Improvement Management District 30% 20 Year Redwood City Community Benefit Improvement District 30% 20 Year Santa Rosa Community Benefit District 30% 20 Year
Stockton Community Improvement District 30% 20 Year
San Francisco Property and Business Improvement District 30% 15 Year San Jose Community Benefit Improvement District 30% 15 Year Santa Barbara Community Benefit District 30% 5 + 15 Year Business Districts
MapKey
Retail 10.5M SF
Office4M+ SF
Industrial 8.8M SF
Hospitality 3,700+ Rooms
Downtown Chula Vista PBID
• July 24, 2001 - Downtown PBID established for a five-year term • Corridor from E St. to I St. along Third Ave.
• Formed to provide economic development,
marketing, enhanced maintenance, and other services
• 2006 PBID renewed for ten years
• 2016 PBID renewed for ten years
• Existing PBID has kicked off its renewal process
Chula Vista Community Benefit District Ordinance
• 1994 PBID Law formation process with local enhancements • Petition signed by property or business owners paying more than 30% of assessments like other CBDs versus 50% in PBID • Exclude a single owner petition if their assessment exceeds 20% of total assessments
• Certain formation costs may be recovered
• Term set by Council but not to exceed 20 years like other CBDs versus 10 years in PBID
• Written legal objection required before challenging assessment Chula Vista Community Benefit District Ordinance
Benefits
• Consistent with similar regulations in California
• Property and business owners self-assess to create vibrant business districts
✓ Economic Development
✓ Improvements
✓ Enhanced Maintenance
✓ Activities
Chula Vista Community Benefit District Ordinance
Benefits
• Allows for an appropriate petition threshold for Council consideration
• Streamline renewal process with up to 20-year term
• Provides a tool to support economic development and vibrant business districts
Recommended Action
Conduct the public hearing and place
an ordinance on first reading adding
Chapter 5.14 (Community Benefit
Districts) to the Chula Vista Municipal
Code to establish procedures for the
formation of Community Benefit
Districts in the City of Chula Vista.
Item 6.2
Community Benefit
Districts: Adopt an
Ordinance Adding Chapter
5.14 (Community Benefit
Districts) to the Chula
Vista Municipal Code
Establishing Procedures
for the Formation of
Community Benefit
Districts
March 17, 2026
David Graham, Economic Development Director