Item 7.2
Community Benefit District:
Preliminary Approval of the Final Assessment
Engineer’s Report; Expressing Intention to Establish
the Downtown Chula Vista Community Benefit District
for Twenty years; and Setting the Public Hearing on
Such Establishment
David Graham, Director of Economic Development Chula Vista City Council September 1, 2026
6 Recommended Actions
• Adopt a resolution preliminarily
approving the final Assessment
Engineer’s Report
• Expressing the intention to establish the
Downtown Chula Vista Community
Benefit District for a period of twenty
(20) years
• Setting the public hearing on such
establishment (for November 10)
• Authorizing the City Manager to vote in
favor of establishing the district for all
parcels within the district boundaries
owned by the City.
3 Existing District
• Over 200 similar districts in CA
• 16 Blocks along Third Ave
• Assessment of property owners
towards special benefit
• Downtown PBID formed in 2001
• Renewed in 2006 and 2016
• Expires December 31, 2026
6 5
District Structure & Management
6 District Formation
• Only property owners are assessed
• Petition exceeding 30% of property
owners weighted assessment
• Role of the City
o Receive and confirm petitions
exceed threshold
o Call a public hearing
o Send ballots to all affected
property owners
• Limited to determining sufficient
property-owner support to call
public hearing and send ballots
7 Proposed District Formation
• DVCA - Greater Third Avenue
Improvement Association
approved renewal plan in January
• Petition drive May through August
• Engineers Report submitted
• Petitions sent to all affected
property owners
o Boundaries, specifying location
of district plan
o Management District Plan
posted to DVCA
• Petitions represent 34.1% of
weighted property owner support
8 Petition Results
• Approval by 34.1% of the weighted
assessed property owners
• Exceeds required threshold of 30%
• Petitions include the County of San
Diego and Sweetwater Authority
• City approved 2001, 2006, and 2016
• City properties represent 17.5% of the
district
• Action to have City support represents
51.6% district support
10 Existing vs. Future District
Existing
• 251 parcels
• Along 3rd Ave. bounded by E St.
(north), I St. (south
• Formula: Street Frontage & Land Area
• $461,849 - 2026 Assessment Revenue
• Services include Civil Sidewalks, Clean
& Safe, District Identity, Placemaking,
and Special Events
Proposed
• 253 parcels
• Mirrors existing district along 3rd Ave.
bounded by E St. (north), I St. (south)
• Completes the midblock extension to
4th Ave. on H St. (west)
• Formula: Street Frontage, Land Area,
Building Square Footage
• $693,762 – 2027 Assessment Revenue
• Services include Civil Sidewalks, Clean
& Safe, District Identity, Placemaking,
and Special Events
11 Existing vs. Proposed District
Proposed
• 253 parcels
• Mirrors existing district
• Three parcels north of E. added to
include properties that benefit
• Eight parcels north and south of H St.
include properties that benefit and
complete 3rd Ave. to 4th Ave. block
o Support – Edward Arms Apts.
Urbana, First Citizens Bank
o Oppose – No opposition.
• Thirteen parcels that are single-family
residential excluded from the district
12 Existing vs. Proposed
• Assessment formula includes
o Building Area
o Land Area
o Street Frontage
o Residential Condo Building Area
• Excludes single-family residential
• Continuation of services with benefit
to approximately 11 new properties
13 Proposed Activities & Benefits
• Special benefit services for property
owners in a defined geographic area
• Expansion of sidewalk sweeping,
pressure-washing, graffiti removal,
and trash removal
• Enhanced landscaping &
maintenance
• Hyper-local engagement
• Special events partner
• District non-assessment revenue
effectively doubles the value of
assessments
13 Next Steps
• Send ballots to affected property owners
• Conduct Public Hearing on Nov. 10
o Public ballot counting
o Review the Management District Plan
o Approve the final Engineers Report
• Evaluate existing operating agreement
• Assessment commences on Jan. 1, 2027
14 Recommended Actions
• Adopt a resolution preliminarily
approving the final Assessment
Engineer’s Report
• Expressing the intention to establish the
Downtown Chula Vista Community
Benefit District for a period of twenty
(20) years
• Setting the public hearing on such
establishment (for November 10)
• Authorizing the City Manager to vote in
favor of establishing the district for all
parcels within the district boundaries
owned by the City.
Thank You
Existing vs. Proposed
District
Proposed District
• Bounded on the West by 4th Ave.
• Exclude single-family residential
• Include two properties on E St.
• Include remaining H St. frontage
properties between 3rd Ave. & 4th Ave.
o Urbana, Citibank, 7-11, Offices
• Provides substantially the same
services as the existing district
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