Rancho Cordova City Council
June 15, 2026

BENEFITS OF THE CURRENT SERVICE MODEL
• Staffing services are adjusted annually through the Service Plan • City can increase/decrease service levels bason on budget availability and community needs • Current staff levels at RCPD reflect a functional zero vacancy rate Flexibility & Scalability
*Vacancy Rate data pulled from Staff Reports for AB 2561 Compliance ** City of Citrus Heights & Sacramento County Sheriff have not posted their AB 2561 reports for 2025 as of 6.3.26

10.80%

7.00%

7.00%

13.00%

9.68%

11.10%

7.20%

7.00%

7.00%

17.00%

17.82%

9.28%

CITY OF CITRUS

HEIGHTS POLICE

CITY OF ELK GROVE
POLICE

CITY OF FOLSOM
POLICE

CITY OF SACRAMENTO
POLICE

CITY OF WEST

SACRAMENTO POLICE

PLACER COUNTY

SHERIFF

SACRAMENTO COUNTY

SHERIFF

VACANCY RATES
Vacancy Rates 2024 Vacancy Rates 2025
** **
ITEM 12.2.

ATTACHMENT 3

BENEFITS OF THE CURRENT SERVICE MODEL
City pays actual costs of services
Shared County infrastructure of administrative services (HR, Training, Facilities, Fleet, Equipment) Annual Service Plan Process
Reduction of complex labor management, risk/liability exposure for the City Financial Predictability
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 Added 2 HOT
Officers/ 1 RTIC
Analyst (Shared)
Police Services Contract
Added 2 Patrol
Officers
Added 2
Motor/Traffic
Officers
Average Annual Cost Deputy Sheriff = $250,481
ITEM 12.2.

ATTACHMENT 3

BENEFITS OF THE CURRENT SERVICE MODEL
Immediate Access to Specialized Units
Ability to scale resources during emergencies or major incidents

Access to Regional Resources & Expertise
Specialized Tools/Resources/Teams
Specialized Tools
• SWAT
• Explosive Ordinance
Detail
• Full-Time K9 Unit
• Drone Team
• Air Operations -
Helicopter & Fixed
Wing
(Surveillance/Transpor
t)
Investigative Teams
• Internal Affairs
• Homicide
• Sex-Assualts
• High-Tech/Internet
Crimes Against
Children
• SAFE Team (Sex
Offender
Management/Registrat
ion)
Fleet Management
• Vehicle Builds
• Vehicle
Service/Maintenance
• In Car Radio – In Car
Computer (Installation
& Maintenance)
Technology
• In-Car Camera & Body
Worn Camera
(Management of Data)
• Records Management
(Crime Reports)
• Records Database
(Criminal)
• Vendor Management
for Technology
• Report Writing
Program
ITEM 12.2.

ATTACHMENT 3

BEYOND ENFORCEMENT: RANCHO CORDOVA’S

EXPECTATIONS OF RCPD
• Overall High Performance
• Proactive Pub lic Safety (Patrol)
• Continuity Consistency of Service Delivery t hrough personnel changes
• Innovation and Pilot Program Leadership
• Data-D riven Performance Management
• Strong C ommunity Engagement and Visibility
• Responsive C ommunication and Follow-Through with the Community
The City is responsible for establishing, monitoring, and enforcing service expectations under the contract. Effective contract management ensures RCPD services align with the Rancho Cordova’s priorities and community expectations.

Managed by the City through Oversight of the Contract
ITEM 12.2.

ATTACHMENT 3

RECOMMENDATION
• By Resolution authorize the City Manager to execute
Contract No. 2026-83 with Sacramento County for
Law Enforcement Services from July 1, 2026 through
June 30, 2031.

ITEM 12.2.

ATTACHMENT 3

MEMORANDUM

City Council Staff Report - Page 1 of 3

ITEM 12.3.

DATE: June 15, 2026

TO: Honorable Mayor and Council Members

FROM: Amanda Norton, Economic Development Director

SUBJECT: RANCHO CORDOVA TOURISM BUSINESS IMPROVEMENT

DISTRICT MANAGEMENT DISTRICT PLAN

RECOMMENDATION

Receive public testimony on the modification to the Rancho Cordova Tourism Business Improvement District (RCTBID).

RESULT OF RECOMMENDED ACTION

Receiving public testimony will result in a public hearing on July 6, 2026 on the modification of the RCTBID.

BACKGROUND

The Rancho Cordova Tourism Business Improvement District (RCTBID) is a benefit assessment district proposed to continue a revenue source to help fund marketing and sales promotions and destination development programs for assessed Rancho Cordova lodging businesses. This approach has been used successfully in other destination areas throughout the state to improve tourism and drive additional room nights to assessed businesses.

The Property and Business Improvement District Law of 1994, Streets and Highways Code §36600 et seq., allows for the Owners’ Association to request that the city modify the Management District Plan (Plan). As the RCTBID Owners’ Association, Rancho Cordova Travel and Tourism Corporation (RCTTC) provided a written request to the City Council to modify the RCTBID Plan. This written request was submitted on February 17, 2026. The proposed modification of the RCTBID Plan will include modifying the boundaries of the RCTBID to establish two benefit zones and increasing the assessment rate within DOVA Zone from four and one-half of one percent (4.5%) to six percent (6%). The modified RCTBID will continue to include all lodging businesses with two (2) rooms or more located within the boundaries of the City of Rancho Cordova.

To continue the modification process, the City Council adopted a Resolution of Intention to Modify the RCTBID on May 18, 2026. Pursuant to that action, a public meeting is now being held to allow for public testimony on the proposed modification, prior to the public hearing.

City Council Staff Report - Page 2 of 3

Tourism Business Improvement Districts

Tourism Business Improvement Districts (TBIDs) utilize the efficiencies of private sector operation in the market-based promotion of tourism. These special assessment districts allow assessed business owners to organize their efforts to increase tourism. Business owners within the TBID fund the TBID, and those funds are used to provide services that are desired by and benefit the assessed businesses within the TBID.

TBID benefits:
• Funds cannot be diverted for other government programs; • They are customized to fit the needs of each destination; • They allow for a wide range of services; including: destination marketing, tourism promotion, and sales lead generation;
• They are designed, created and governed by those who will pay the assessment; and • They provide a stable funding source for tourism promotion.

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

RCTBID MODIFICATION PROCESS
May 18,
2026

Adopt Resolution of Intention to Modify
(COMPLETED)
Upon the submission of a written request from the
Owners’ Association of the RCTBID, the City
Council (Council) may initiate proceedings to
modify the RCTBID by the adoption of a resolution
expressing its intention to modify the RCTBID.

No later
than
May 22,
2026

NOTICE (COMPLETED)
The 94 Law requires the City to mail written notice
to the owners of all businesses proposed to be
assessed within the RCTBID. Mailing the notice
begins a mandatory forty-five (45) day period in
which assessed business owners may protest
RCTBID modification.

June 15,
2026

PUBLIC MEETING

City Council Staff Report - Page 3 of 3

Allow public testimony on the modification of the
RCTBID and levy of assessments. No Council
action required.

July 6,
2026

FINAL PUBLIC HEARING

If written protests are received from the owners of
businesses in the modified RCTBID which will pay
fifty percent (50%) or more of the assessments
proposed to be levied, and protests are not
withdrawn so as to reduce the protests to less
than fifty percent (50%), no further proceedings to
levy the proposed assessment against such
businesses shall be taken for a period of one (1)
year from the date of the finding of a majority
protest by the Council.

If the Council, following the public hearing,
decides to establish the modified RCTBID, the
Council shall adopt a resolution of modification.

FISCAL IMPACT AND FUNDING SOURCE

None immediately. The city will continue to receive a fee of two percent (2%) of the amount collected to cover its costs of administration. Because the RCTBID programs are intended to increase visitation to the city, there may be an increase in transient occupancy tax and sales tax collections.

ATTACHMENT(S)

1. Presentation

2. Resolution No. 69-2026

3. RCTBID Management District Plan

1 Public Meeting
to Modify the Rancho Cordova
Tourism Business Improvement
District
June 15, 2026
CityOfRanchoCordova.org
ITEM 12.3.

ATTACHMENT 1

2 Rancho Cordova Tourism Business Improvement
District (RCTBID)
The Rancho Cordova Tourism Business Improvement District (RCTBID) is a benefit assessment district proposed to continue a revenue source to help fund marketing and sales promotions and destination development programs for assessed Rancho Cordova lodging businesses. This approach has been used successfully in other destination areas throughout the state to improve tourism and drive additional room nights to assessed businesses. • The RCTBID was established on December 6, 2010
• On April 19, 2021
, the Management District Plan was renewed, thereby renewing the RCTIB for an additional 10 years
ITEM 12.3.

ATTACHMENT 1

3 Proposed Rancho Cordova Tourism Business
Improvement District (RCTBID) Modifications
Zone Assessment
Rate
DOVA Zone 6.0%
Zone 1 4.5%
ITEM 12.3.

ATTACHMENT 1

4 Rancho Cordova Tourism Business Improvement
District (RCTBID) Modification Process
RCTBID Modification Process
May 18, 2026 RESOLUTION OF INTENTION
Upon the submission of a written request from the Owners’ Association of the RCTBID, the City Council (Council) may initiate proceedings to modify the RCTBID by the adoption of a resolution expressing its intention to modify the RCTBID.

No later than
May 22, 2026

NOTICE
The 94 Law requires the City to mail written notice to the owners of all businesses proposed to be assessed within the RCTBID. Mailing the notice begins a mandatory forty-five (45) day period in which assessed business owners may protest RCTBID modification.

June 15, 2026 PUBLIC MEETING
Allow public testimony on the modification of the RCTBID and levy of assessments. No Council action required.

July 6, 2026 FINAL PUBLIC HEARING
If written protests are received from the owners of businesses in the modified RCTBID which will pay fifty percent (50%) or more of the assessments proposed to be levied, and protests are not withdrawn so as to reduce the protests to less than fifty percent (50%), no further proceedings to levy the proposed assessment against such businesses shall be taken for a period of one (1) year from the date of the finding of a majority protest by the Council.

ITEM 12.3.

ATTACHMENT 1

5 Next Steps in the RCTBID Process
Receive public testimony of the proposed modifications to the RCTBID • No Council action is required at this m eeting
The proposed modifications would:
• Establish two benefit zones: Zone 1 and the DOVA Zone • Set assessment rates of 4.5% for Zone 1 and 6.0% for the DOVA Zone The
next steps include:
• A final public hearing (July 6, 202 6)
• Allow for public testimony and the required business-o wner protest period • Final action would occur only after the public hearing process is c omplete ITEM 12.3.

ATTACHMENT 1

6 THANK YOU
CityOfRanchoCordova.org
ITEM 12.3.

ATTACHMENT 1

ITEM 12.3.

ATTACHMENT 2

ITEM 12.3.

ATTACHMENT 2

Rancho Cordova TBID
Eld r Creek Rd
lorin Rd
1111Dova Zone
� Zone 1
""O
O'.'. ...... 0
"cii
Q)
X
w
""O
O'.'.
"'in
Q)
••• • •

CIVITAS
Exhibit A to Resolution No. 69-2026
ITEM 12.3.

ATTACHMENT 2

Photo Credit: City of Rancho Cordova

RANCHO CORDOVA TOURISM BUSINESS

IMPROVEMENT DISTRICT

MANAGEMENT DISTRICT PLAN
May 12, 2026 Prepared pursuant to the Property and Business Improvement District Law of 1994, Streets and Highways Code section 36600 et seq.
2021-2031
ITEM 12.3.

ATTACHMENT 3

Contents
I. OVERVIEW ..................................................................................................................... 3 II. BACKGROUND ............................................................................................................... 5 III. RANCHO CORDOVA TRAVEL & TOURISM CORPORATION ACCOMPLISHMENTS ...... 6 IV. BOUNDARY .................................................................................................................. 10 V. BUDGET AND SERVICES .............................................................................................. 12 A. Annual Service Plan ........................................................................................................... 12 B. California Constitutional Compliance ................................................................................... 18 C. Assessment ...................................................................................................................... 19 D. Penalties and Interest ......................................................................................................... 20 E. Time and Manner for Collecting Assessments ....................................................................... 21 VI. GOVERNANCE ............................................................................................................. 21 A. Owners’ Association .......................................................................................................... 21 B. Brown Act and California Public Records Act Compliance ...................................................... 22 C. Annual Report .................................................................................................................. 23 APPENDIX 1 – LAW ................................................................................................................. 24 APPENDIX 2 – ASSESSED LODGING BUSINESSES*................................................................ 40 Prepared
by Civitas
www.civitasadvisors.com
ITEM 12.3.

ATTACHMENT 3

RCTBID Management District Plan
May 12, 2026
3 I. OVERVIEW
Developed by Rancho Cordova Travel & Tourism Corporation (RCTTC) and Rancho Cordova hoteliers, the Rancho Cordova Tourism Business Improvement District (RCTBID) is an assessment district proposed to provide specific benefits to payors by funding marketing, sales promotion efforts, and destination development for assessed businesses. This approach has been used successfully in other destination areas throughout the country to provide the benefit of additional room night sales directly to payors.

This Management District Plan, as modified in 2026, reflects updates to the structure, assessment methodology, and programmatic elements of the RCTBID, including the establishment of benefit zones to reflect differing levels and types of benefit expected to be received by assessed lodging businesses.

Dova Zone is intended to accommodate concentrated visitor-serving, hospitality, entertainment, event, and related destination development anticipated to generate overnight visitation and room -night demand.

Location: The RCTBID includes all Lodging Businesses with two (2) rooms or more located within the boundaries of the City of Rancho Cordova, as shown on the map in Section IV. The RCTBID includes two benefit zones; assessments, services, and expenditures shall be administered in a manner consistent with the benefits anticipated to be conferred within each benefit zone.

Services: RCTBID is designed to provide specific benefits directly to payors by increasing awareness and demand for room night sales. Marketing and sales promotions 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. For Dova Zone, such destination development programs may include visitor-serving capital improvements, public realm improvements, event and entertainment infrastructure, transportation and mobility improvements, programming, marketing, and related facilities, uses, and activities intended to support overnight visitation and lodging demand.

Budget: The total RCTBID annual assessment budget for the initial year of its ten (10) year operation is anticipated to be approximately $2,464,000. This amount may fluctuate as room sales do, as businesses open and close, and if the assessment rate is increased pursuant to this Plan. At the time of this modification, this budget reflects assessments generated from existing Lodging Businesses and does not include revenues attributable to Dova Zone, for which assessments will commence upon the operation of Lodging Businesses within Dova Zone.

Cost: The annual assessment rate is a percentage of gross room rental revenue, varied by benefit zone. The initial annual assessment rate for each benefit zone is shown in the table below.

Zone Assessment Rate
Dova Zone 6.0%
Zone 1 4.5%
ITEM 12.3.

ATTACHMENT 3

RCTBID Management District Plan
May 12, 2026
4 At the City of Rancho Cordova City Council’s discretion, assessments collected may be used to repay a capital infrastructure bond if the City Council chooses to issue bonds. Until and unless bonds are issued, any funds collected by the RCTBID will be used towards the services outlined in this Plan. The assessment levied pursuant to this Plan will also not be collected on stays pursuant to contracts executed prior to July 1, 2021. Stays pursuant to contracts executed between September 1, 2013 and June 30, 2021 shall instead be subject to assessment at the rate of $1.50 per paid occupied room per night. During the ten (10) year term, the assessment rate may be increased annually by the RCTBID Owners’ Association by a maximum of one percent (1%) of gross room rental revenue per year, as described in Section IV. The total assessment rate may not exceed ten percent (10%) in any zone.

Collection: The City of Rancho Cordova (City) will be responsible for collecting the assessment on a monthly basis (including any delinquencies, penalties and interest) from each assessed Lodging business located in the boundaries of the RCTBID. The City shall take all reasonable efforts to collect the assessments from each Lodging Business.

Duration: RCTBID will have a ten (10) year life, beginning July 1, 2021 through June 30, 2031.

Once per year, beginning on the anniversary of RCTBID renewal, there is a thirty (30) day period in which owners paying fifty percent (50%) or more of the assessment may protest and initiate a City Council hearing on RCTBID termination. This provision shall be read together with the governance provisions applicable to Dova Zone pursuant to Section VI.

Management: Rancho Cordova Travel and Tourism Corporation (RCTTC) will continue to serve as the RCTBID Owners’ Association. The Owners’ Association is charged with managing funds and implementing programs in accordance with this Plan and must provide annual reports to the City Council. This provision shall be read together with the governance provisions applicable to Dova Zone pursuant to Section VI.

ITEM 12.3.

ATTACHMENT 3

RCTBID Management District Plan
May 12, 2026
5 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 collectively
raise over $300 million annually
for local destination marketing.

With competitors raising their
budgets, and increasing rivalry
for visitor dollars, it is important
that Rancho Cordova Lodging
Businesses continue to invest in
stable, lodging-specific marketing
programs.

TBIDs utilize the efficiencies of
private sector operation in the
market-based promotion of
tourism districts. TBIDs allow
lodging business owners to
organize their efforts to increase
demand for room night sales.

Lodging business owners within the TBID pay an assessment and those funds are used to provide services that increase demand for room night sales.

In California, most 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.

ITEM 12.3.

ATTACHMENT 3

6 RCTBID Management District Plan
May 12, 2026

III. RANCHO CORDOVA TRAVEL & TOURISM CORPORATION

ACCOMPLISHMENTS

Established in 2010, but formally organized in 2011, the Rancho Cordova Tourism Business Improvement District (RCTBID) set out to increase the number of district visitors, improve the brand of the destination and increase market share for the hotels in Rancho Cordova. Through robust marketing, business development, brand positioning and consistent relationship management, the Visit Rancho Cordova brand, managed by Rancho Cordova Travel & Tourism Corporation (RCTTC) has accomplished these goals and continues to serve as an asset to the Rancho Cordova community.

Since the formation of RCTBID in 2011 through year - end 2019, Occupancy rate increased 49.2%, Average Daily Rate (ADR) increased by 44.1%, and RevPAR increased by 77.6%. Over this same timeframe, nationally the Occupancy rate increased 15.1%. At the time of the 2026 modification of this Plan, occupancy has trended close to national averages with a slight decrease to 61.1%, while ADR has continued to climb, resulting in flat RevPAR for hotels. (Source: Statista).

Mission:

To drive sustainable tourism in Rancho Cordova that increases economic impact, supports local hotels and businesses, and enhances the quality of life for residents and visitors alike.

Vision:

To put Rancho Cordova on the map as a must-visit hidden gem destination.

Values:

Ambassadors of Community, Collaboration -Fueled, Inclusive at the Core, Always Trustworthy, Possibility-Minded, Unapologetically Joyful.

Brand Promise:

Stunning landscapes, cultural richness, and quirky experiences make Rancho Cordova one-of-a-kind.

Visitor Promise:

In Rancho Cordova, every traveler belongs and there is something for everyone.

Marketing Impact:
• Website impact of 1.4 million sessions, 1.9 million views, and engagement rate of 32.7% since January 1, 2019; influencing, from July-December 2025, over $1,318,321.25 in visitor spending. • Social media impact of 37,000+ followers across all channels, including a reach of 888,000 on Meta platforms since January 2023 and 1.7 million views on Instagram collaboration posts from 2024-2025.
• Paid commercial CTV advertisement impact surpassing 174,229 total plays since November 2025. • Ongoing direct booking campaigns with Expedia, resulting in over 2,048,466 impressions, 1,845 hotel nights, and $247,514 in bookings from 2024-2025.
• Leisure media and PR impact resulting in a printed distribution of more than 1.5 million and more than a digital distribution of 1.8 million from 2024-2025. • Promotional impact of over 30,000 items distributed to assessed hotels, residents, travelers, and Sacramento International Airport from 2024-2025.
• UGC (User Generated Content) online photo galleries garnered 196,700 views since January 1, 2025.
• Virtual tour impact of 2,794,838 Google views and 876,887 clicks via Threshold 360 since January 1, 2023.

ITEM 12.3.

ATTACHMENT 3

7 RCTBID Management District Plan
May 12, 2026
Sales & Business Development Impact:
• Since 2022, we have hosted 40 meeting and event planners from 11 states across the U.S. and Mexico for Meeting Planner Familiarization Trips
• Since 2022, we have hosted 5 partner Destination Analysis immersions • Since 2022, we have conducted over 700 tradeshow appointments • In 2025 generated 195 leads consisting of 76,785 room nights and $51,083,905.38 in potential economic impact and support 14,064 jobs
RCTTC staff volunteered on the following boards and committees:
• California Capital Airshow
• Rancho Cordova Area Chamber of Commerce
• California Travel Association
• Meeting Professionals International Sacramento Sierra Nevada Chapter • Associations West ELEVATE Steak Committee
• Associations West Capital Regional Counsel
• Gold Country Visitors Association
• Destinations International
• Cordova Recreation & Parks Foundation
• U.S. Travel
• Visit California CEO Committee
• Associations West Membership Advisory Group
• Associations West ELEVATE Sizzle Committee
• OneWest Disaster Recovery Committee
• OneWest Event Committee
• Leadership Rancho Cordova
• STAR Communities
• RCPD Citizen’s Academy
• Sacramento Metro Fire
Industry Recognition and Organization Awards and Certificates:
• Marc Sapoznik Class X Leadership Rancho Cordova graduate 2015 • Marc Sapoznik awarded CHIA (Certification in Hotel Industry Analytics) 2023 • Dawn Hall inducted into Chamber of Commerce Hall of Fame 2023 • Maggie Thyken Huss Class XVII Leadership Rancho Cordova graduate 2024 • Kristen Achziger Class XVIII Leadership Rancho Cordova graduate 2025 • Dawn Hall Class XVIII Leadership Rancho Cordova honorary graduate 2025 • Aubrey Hall awarded PDM (Professional in Destination Management) Certification 2023 • Kristen Achziger awarded PDM (Professional in Destination Management) Certification 2023 • Maggie Thyken Huss awarded PDM (Professional in Destination Management) Certification 2025 • HSMAI International Marketing Campaign Award – Silver 2020 • Smart Women in Meetings Rising Star Award 2022 – Maggie Thyken Huss • CalTravel Association 30 and Under Emerging Leader Award 2023 – Aubrey Hall • Community Partner Award 2024 – Sacramento Telangana Association • Associations West Emerging Professional Rising Star Industry Professional of the Year 2026 – Maggie Thyken Huss
ITEM 12.3.

ATTACHMENT 3

8 RCTBID Management District Plan
May 12, 2026
Event Sponsorships
• Barrel District Events
• CA Capital Film Office
• California Capital Airshow
• Cordova Community Council Events
• Leadership Rancho Cordova
• Hangtown Motocross Classic
• Intercollegiate Rowing Association Championships
• Paddle Splash Water Festival
• Rancho Cordova In Action Day of Service
• Rio Strada Racing
• Sac State Athletics
• California Mermaid Convention
• Sac State Aquatic Center
• Soil Born Farms
• Community Food Hub
• American River Parkway Foundation
• Sacramento State Athletics
• Golden West Track & Field
• The Picklr
• Sacramento Children’s Museum
• Sacramento Pride Festival
• The MACC
• Police Activities League Christmas Toy Drive
Memberships & Partnerships
• Rancho Cordova Chamber
• Cordova Community Council
• California Black Chamber
• Hispanic Chamber
• Sacramento Rainbow Chamber
• Visit Sacramento
• Sacramento LGBT Center
• Sac Metro Chamber
• Visit California
• STR (Smith Travel Research)
• US Travel Association
• Cal Travel Association
• Sports Events & Tourism Association (Sports ETA)
• Gold Country Visitors Association
• CalSAE
• American River Parkway Foundation
• Destinations International
• HelmsBriscoe
• HPN Global
ITEM 12.3.

ATTACHMENT 3

9 RCTBID Management District Plan
May 12, 2026
• MPI SSN & NCC Chapters
• Civitas
• One West Tourism Alliance
• California Hotel & Lodging Association
• PCMA
• SITE
• ASAE
• SGMP
• California DMO Alliance
• California Sports Alliance
• Sac State Athletics
• CA Capital Film Office
• Sac State Aquatic Center
• The Picklr
• The MACC
• Visit California Meetings
• Visit California LA28
• American River Parkway Foundation
• Regional collaborations for sports shows with Visit Sacramento, Explore Elk Grove, Visit Stockton and Visit Bakersfield
Tradeshows and Conferences:
• Associations West Seasonal Spectacular
• Associations West ELEVATE Annual Conference
• Northstar Small & Boutique Meetings
• TEAMS Annual Conference + Expo
• All Things Meetings Tradeshow and Reception
• Northstar Destination California
• HPN Annual Partner Conference
• ASAE Annual Meeting
• IPW
• Northstar IPEC
• SITE SoCal Holiday Event
• HelmsBriscoe Annual Business Conference
• CA Cup Golf Invitational
• Destinations International Convention Sales & Services Summit • Connect Spring Marketplace
• MPI Northern California Chapter ACE
• PCMA Convening Leaders
• Smart Meetings National Extraordinary Experience
• Connect Marketplace (main convention)
• Destinations International Annual Convention
• Visit California Outlook Forum
• Cal Travel Sumit
• MPI World Education Congress
• IMEX
• Smart Meetings Smart Woman Summit
• CVENT Connect
ITEM 12.3.

ATTACHMENT 3

10 RCTBID Management District Plan
May 12, 2026

IV. BOUNDARY

The RCTBID will include all Lodging Businesses existing and in the future that have two (2) rooms or more, available for public occupancy within the boundaries of the City of Rancho Cordova. The RCTBID is divided into two (2) benefit zones based on the benefits conferred on Lodging Businesses within each zone. Lodging Businesses in Dova Zone are assessed at a higher rate due to their location within Dova Zone and the greater benefit they are expected to receive from RCTBID funded services.

Dova Zone is intended to include concentrated visitor -serving and destination -generating development, including future lodging, hospitality, entertainment, event, meeting, sports, mobility, and related improvements, all of which are expected to materially enhance overnight visitation and lodging demand. Any future Lodging Businesses located within Dova Zone, whether or not affiliated with any existing Dova Zone development, shall be subject to the Dova Zone assessment structure and governance provisions set forth in this Plan.

“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 includes any hotel, inn, tourist home or house, motel, studio hotel, bachelor hotel, lodging house, rooming house, apartment house, dormitory, public or private club, mobile home or house trailer at a fixed location, or other similar structure or portion thereof.

The boundary, as shown in the map below, currently includes seventeen (17) Lodging Businesses. A complete listing of Lodging Businesses within the RCTBID can be found in Appendix 2.

ITEM 12.3.

ATTACHMENT 3

11 RCTBID Management District Plan
May 12, 2026

ITEM 12.3.

ATTACHMENT 3

12 RCTBID Management District Plan
May 12, 2026

V. BUDGET AND SERVICES

A. Annual Service Plan
Assessment funds will be spent to provide specific benefits conferred or privileges granted directly to assessed Lodging Businesses , that are not provided to those not charged, and which do not exceed the reasonable cost to the City of conferring the benefits or granting the privileges. The privileges and services provided with the RCTBID funds are sales and marketing promotions and d estination development programs available only to assessed Lodging Businesses. Funds attributable to each benefit zone shall be administered in a manner consistent with the specific benefits to be conferred on assessed Lodging Businesses within that benefit zone.

A service plan assessment budget has been developed to deliver services that benefit the assessed Lodging Businesses. A detailed annual assessment budget will be developed and approved by RCTTC.

The table below illustrates the initial annual assessment budget allocations. The total initial assessment budget is $2,464,000. Assessments for Dova Zone are not reflected in the initial assessment budget because there are currently no operating businesses within the Zone.

ITEM 12.3.

ATTACHMENT 3

13 RCTBID Management District Plan
May 12, 2026

Although actual revenues will fluctuate due to market conditions, the proportional allocations of the budget shall remain the same. However, the City and the RCTTC board shall have the authority to adjust budget allocations between the categories by no more than fifteen percent (15%) of the total budget per year; provided, however, that any exercise of such authority by RCTTC with respect to Dova Zone funds shall be subject to the Dova Zone governance provisions of this Plan. Dova Zone funds shall not be commingled with Zone 1 funds. 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 RCTBID, any and all asses sment funds may be used for the costs of defending the RCTBID.

Each budget category includes all costs related to providing that service. For example, the sales and marketing budget includes the cost of staff time dedicated to overseeing and implementing the sales and marketing program. Staff 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 RCTTC on an as- needed basis.

Sales and Marketing
A sales and marketing program will promote assessed Lodging Businesses as tourist, meeting, and event destinations. The sales and marketing program will have a central theme of promoting Rancho Cordova as a desirable place for overnight visits. The program will have the goal of increasing demand for overnight visitation and room night sales at as sessed Lodging Businesses, and may include the following activities:
• Internet marketing efforts to increase awareness and optimize internet presence to drive demand for overnight visitation and room sales to assessed Lodging Businesses; • Print ads in magazines and newspapers, television ads, and radio ads targeted at potential visitors to drive demand for overnight visitation and room sales to assessed Lodging Businesses;
• Attendance of trade shows to promote assessed Lodging Businesses; • Sales blitzes for assessed Lodging Businesses;
• Familiarization tours of assessed Lodging Businesses; • Preparation and production of collateral promotional materials such as brochures, flyers and maps featuring assessed Lodging Businesses;
• Attendance of professional industry conferences and affiliation events to promote assessed Lodging Businesses;
• Lead generation activities designed to attract tourists and group events to assessed Lodging Businesses;
• Director of Sales and General Manager meetings to plan and coordinate tourism promotion efforts for assessed Lodging Businesses;
• Development and maintenance of a website designed to promote assessed Lodging Businesses;
• Coordination of press pitching, curated media trips, and influencer opportunities to drive visitation to assessed Lodging Businesses;
• Development of social media, video, and photography content to promote assessed Lodging Businesses; and
• Strategic development and maintenance of e-newsletters for leisure, meeting, and advocacy audiences to drive visitation to assessed Lodging Businesses.

ITEM 12.3.

ATTACHMENT 3

14 RCTBID Management District Plan
May 12, 2026

Destination Development
Destination Development (“DD”) shall be administered separately for Dova Zone and Zone 1 in a manner consistent with the benefit zone structure and governance provisions set forth in this Plan.

DD funded from Zone 1 or other non -Dova Zone revenues will be eighteen percent (18%) of the applicable annual budget, unless otherwise adjusted in accordance with this Plan. As the total number of rooms sold and room prices increase over time, the amount of available funds for projects is anticipated to increase. With respect to DD projects funded from Zone 1 or other non -Dova Zone revenues, RCTTC, working collaboratively with the City Manager, shall develop specific DD funding criteria. The City and RCTTC may provide input regarding such projects, and any public work s project contract shall be awarded in accordance with Public Contract Code and Municipal Code requirements.

Notwithstanding the foregoing, DD projects, improvements, activities, programs, and related expenditures funded in whole or in part from Dova Zone revenues shall be governed in accordance with the Dova Zone governance provisions of this Plan. With respect to Dova Zone funds, the Dova Zone Special Committee shall establish project criteria, priorities, and approvals for Dova Zone improvements, activities, programs, and related expenditures funded from Dova Zone 1 revenues.

RCTTC shall have a role limited to administration, implementation, and compliance with this Plan and applicable law, and shall not have discretion to approve, deny, reallocate, or reprioritize Dova Zone projects, activities, programs, or expenditures except as directed by the Dova Zone Special Committee or as required for compliance with applicable law. These DD projects may include:

• Comprehensive and integrated wayfinding signage system including signage to parking decks and lots;
• Transportation programs connecting hotels with downtown and other attractions, to increase room night sales at assessed Lodging Businesses; • Art and cultural projects, to attract overnight visitors; • Gateway enhancements, to attract overnight visitors;
• Enhancements to environmental experiences which attract overnight visitors, and shall expose visitors to the value of the vital ecosystems;
• Improvements to existing parks and sports facilities utilized by overnight visitors; • Safe and fun entertainment complex for young teens and adults utilized by overnight visitors;
• Live music venue which attracts overnight visitors;
• Infrastructure improvements that enhance Destination competitive position to attract desirable special events year around and attract overnight visitors; • Public gathering and festival spaces;
• Convention, meeting, and conference facilities;
• Youth and amateur sports facilities and complexes;
• Mobility, circulation, and transportation improvements, including innovative transportation systems intended to improve access to visitor-serving destinations; • Structured parking, utilities, security, lighting, wayfinding, public realm, and related visitor- serving infrastructure; and
• Other facilities and improvements designed to support tourism, events, entertainment, and overnight visitation.

ITEM 12.3.

ATTACHMENT 3

15 RCTBID Management District Plan
May 12, 2026

Dova Zone Use of Funds
Dova Zone funds shall be used for any improvements, activities, and programs permitted under this Plan and applicable law, including, without limitation, capital improvements, destination development, and other visitor -serving uses, in each case designed t o drive overnight visitation to assessed Lodging Businesses. Funds raised within the Dova Zone are authorized for disbursement and/or allocation if approved by the Dova Zone Special Committee. Dova Zone expenditures may fund, but are not limited to, the fo llowing: financing, bonding, or other funding mechanisms associated with the development, construction, or operation of arena or stadium facilities, meeting and conference spaces, youth sports facilities, and ancillary visitation infrastructure situated wi thin the Dova Zone and benefitting assessed Lodging Businesses. Dova Zone funds shall be separately accounted for. Permitted Dova Zone uses may include, without limitation, visitor -serving capital improvements, destination development improvements, and related infrastructure designed to drive overnight visitation to assessed Lodging Businesses within Dova Zone, including event venues, public plazas and festival areas, convention and meeting facilities, youth and amateur sports facilities, transportation and mobility improvements, parking, utilities, lighting, security, signage, wayfinding, public realm improvements, programming, marketing, operations, and related visitor -serving facilities, improvements, and activities. Dova Zone funds may be used for constr uction, programming, marketing, operations, financing, and other permitted uses within Dova Zone, including associated debt repayment. An amount equal to five percent (5%) of the revenue derived from the Dova Zone assessment in any year shall be allocated to RCTTC to pay for renewal and benefits received from the RCTTC programming including, but not limited to, sales activities related to the proposed arena.

Administration and Operations
The administration and operations portion of the budget shall be utilized for administrative staffing costs, office costs, advocacy, and other general administrative costs such as insurance, legal, and accounting fees. Shared staffing, contracting, administrative services, programs, and other resources may be used for Dova Zone, Zone 1, or both benefit zones, provided that all costs are separately accounted for and charged or allocated on a reasonable basis consistent with the benefits conferred on each be nefit zone, including direct charges for costs attributable solely to Dova Zone and incremental shared costs reasonably allocable to Dova Zone based on the direct benefits conferred on Dova Zone.

City Administration Fee
The City of Rancho Cordova shall be paid a fee equal to two percent (2%) of the amount of assessment collected, to cover its costs of collection and administration.

Contingency/Reserve
The budget includes a contingency line item to account for uncollected assessments, if any. If there are contingency funds collected, they may be held in a reserve fund or utilized for other program, administration or renewal costs at the discretion of the RCTTC Board. Policies relating to contributions to the reserve fund, the target amount of the reserve fund, and expenditure of monies from the reserve fund shall be set by the RCTTC Board. Contingency/reserve funds may be spent on District programs or adm inistrative and renewal costs in such proportions as determined by the RCTTC Board. The reserve fund from both zones shall be used for the costs of renewing the RCTBID. Any contingency or reserve funds attributable to Dova Zone shall be separately accounted for.

ITEM 12.3.

ATTACHMENT 3

16 RCTBID Management District Plan
May 12, 2026

Annual Budget
The total ten (10) year improvement and service plan budget is projected at approximately $2,464,000 annually, and for a total amount of $64,760,489 through 2031 if the maximum assessment rate increases are adopted. This budget is expected to fluctuate as room sales change and if the assessment rate is increased. The initial annual assessment rate is a percentage of gross room rental revenue, varied by benefit zone.

The initial annual assessment rate for Dova Zone is six percent (6%) of gross room rental revenue and for Zone 1 is four and one half of one percent (4.5%) of gross room rental revenue. At the time of the 2026 modification of this Plan, the projected budget does not reflect any adjustment attributable to Dova Zone, as there are currently no operational Lodging Businesses subject to the Dova Zone 1 6% assessment. The absence of currently operating Dova Zone Lodging Businesses shall not limit the future administration, segregation, budgeting, governance, or use of Dova Zone funds once assessments are generated within Dova Zone. Separate Dova Zone budget reporting shall commence upon the first collection of Dova Zone assessments.

The Owners’ Association may increase the assessment rate by a maximum of one percent (1%) per year to a maximum rate of ten percent (10%) for any zone. If the maximum annual assessment increases are adopted by the Owners’ Association upon approval from City Council, the annual budget will increase as illustrated in the table below. The assessment rate might not increase starting in 2022, the increases may be implemented in later years at the discretion of the Owners’ Association. The table below demonstrates the maximum with the assumption that the rates will be increased in annually from 2022 through 2027 as it is a required disclosure, it is not the anticipated course of action. Alternate courses of action may be taken in regards to implem enting the assessment rate increase other than what is demonstrated in the chart below, within the parameters of this Management District Plan. For example, increases may be implemented in years 2028-2031, with the stipulation that each annual increase is no more than one percent (1%) and that the total assessment rate may not exceed ten percent (10%) for any zone.

Tables A and B below reflect the historical budget from 2021 through 2025. Beginning in 2026 as a result of the modification of this Plan, the budget structure has been updated to consolidate Destination Recovery and Crisis Response funding into the Sales and Marketing category, and this revised structure is reflected in Tables C and D on the following pages. Additionally, a three percent (3%) annual increase in the total budget is shown, to account for estimated increased room night sales as a result of RC TBID efforts. This three percent (3%) annual increase is a conservative estimate based on the effects of similarly sized TBID budgets.

ITEM 12.3.

ATTACHMENT 3

17 RCTBID Management District Plan
May 12, 2026

Table A
Estimated Annual Budget If Maximum Assessment Rates Are Adopted 2021-2026

Year Sales &
Marketing Administration Destination
Development
Destination
Recovery
Contingency/
Reserve City Fee Total
2021-22 $1,158,080 $492,800 $443,520 $197,120 $123,200 $49,280 $2,464,000 2022-23 $1,457,868 $620,369 $558,332 $248,148 $155,092 $62,037 $3,101,846 2023-24 $1,774,595 $755,147 $679,632 $302,059 $188,787 $75,515 $3,775,734 2024-25 $2,109,136 $897,505 $807,754 $359,002 $224,376 $89,750 $4,487,524 2025-26 $2,461,993 $1,047,657 $942,891 $419,063 $261,914 $104,766 $5,238,283 Total $8,961,672 $3,813,478 $3,432,129 $1,525,392 $953,369 $381,348 $19,067,387 The table below demonstrates the annual improvement and service plan budget with the assumption that the rates will not be increased during years 2021 -2026 of the district’s ten (10) year term.

Additionally, a three percent (3%) annual increase in the total budget is shown to account for estimated increased room night sales as a result of RCTBID efforts.

Table B
Estimated Annual Budget If Maximum Assessment Rates Are Not Adopted 2021-2026

Year Sales &
Marketing Administration Destination
Development
Destination
Recovery
Contingency
/Reserve
City
Fee Total
2021-22 $1,158,080 $492,800 $443,520 $197,120 $123,200 $49,280 $2,464,000 2022-23 $1,192,822 $507,584 $456,826 $203,034 $126,896 $50,758 $2,537,920 2023-24 $1,228,607 $522,812 $470,530 $209,125 $130,703 $52,281 $2,614,058 2024-25 $1,265,465 $538,496 $484,646 $215,398 $134,624 $53,850 $2,692,479 2025-26 $1,303,429 $554,651 $499,186 $221,860 $138,663 $55,465 $2,773,254 Total $6,148,403 $2,616,343 $2,354,708 $1,046,537 $654,086 $261,634 $13,081,711

The following tables reflect the consolidation of the Destination Recovery and Crisis Response category as a result of the 2026 modification of this Plan.

Table C
Estimated Annual Budget If Maximum Assessment Rates Are Adopted 2026-2031

Year Sales &
Marketing Administration Destination
Development
Contingency/
Reserve City Fee Total
2026-27 $3,316,760 $1,206,095 $1,085,485 $301,524 $120,609 $6,030,473 2027-28 $5,214,242 $1,896,088 $1,706,479 $474,022 $189,609 $9,480,441 2028-29 $5,370,669 $1,952,971 $1,757,674 $488,243 $195,297 $9,764,854 2029-30 $5,531,790 $2,011,560 $1,810,404 $502,890 $201,156 $10,057,800 2030-31 $5,697,744 $2,071,907 $1,864,716 $517,977 $207,191 $10,359,534 Total $25,131,205 $12,952,098 $11,656,888 $3,238,024 $1,295,210 $45,693,102 The table below demonstrates the annual improvement and service plan budget with the assumption that the rates will not be increased during years 2026 -2031 of the district’s ten (10) year term.

Additionally, a three percent (3%) annual increase in the total budget is shown to account for estimated increased room night sales as a result of RCTBID efforts.

ITEM 12.3.

ATTACHMENT 3

18 RCTBID Management District Plan
May 12, 2026

Table D
Estimated Annual Budget If Maximum Assessment Rates Are Not Adopted 2026-2031

Year Sales &
Marketing Administration Destination
Development
Contingency/
Reserve City Fee Total
2026-27 $1,571,048 $571,290 $514,161 $142,823 $57,129 $2,856,451 2027-28 $1,618,180 $588,429 $529,586 $147,107 $58,843 $2,942,145 2028-29 $1,666,725 $606,082 $545,474 $151,520 $60,608 $3,030,409 2029-30 $1,716,727 $624,264 $561,838 $156,066 $62,426 $3,121,321 2030-31 $1,768,229 $642,992 $578,693 $160,748 $64,299 $3,214,961 Total $8,340,909 $5,649,400 $5,084,460 $1,412,350 $564,940 $15,165,287

B. California Constitutional Compliance
The RCTBID 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.1 Rather, the RCTBID 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 RCTBID, 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 of conferring the benefits or providing the services . The assessment imposed by this Plan is a business-based assessment used to provide specific benefits directly to assessed Lodging Businesses.

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 conf erring the benefit or granting the privilege.”2 The services in this Plan are designed to provide targeted benefits directly to assessed Lodging Businesses, and are intended only to provide benefits and services directly to those Lodging Businesses paying the assessment. These services are tailored not to serve the general public, businesses in general, or parcels of land, but rather to ser ve the specific businesses within the RCTBID. The activities described in this Plan are specifically targeted to increase demand for room night sales for assessed Lodging Businesses within the boundaries of the RCTBID, and are narrowly tailored. RCTBID funds will be used to provide specific benefits directly to the assessees that increase room night demand. Assessment funds shall not be used to feature non-assessed Lodging Businesses in RCTBID programs, or to directly generate sales for non - assessed businesses. The activi ties paid for from assessment revenues are business services constituting and providing specific benefits to the assessed Lodging Businesses.

The assessment imposed by this RCTBID is used to provide specific benefits directly to the payors that are not provided to those not charged. Those specific benefits include increased demand for room night sales for assessed Lodging Businesses. Those specific benefits, including increased demand for room night sales for assessed Lodging Businesses, will be provided only to Lodging Businesses paying the district assessment, with marketing and sales programs promoting Lodging Businesses paying the RCTBID ass essment. The marketing and sales programs will be designed to

1 Jarvis v. the City of San Diego 72 Cal App. 4th 230
2 Cal. Const. art XIII C § 1(e)(1)
ITEM 12.3.

ATTACHMENT 3

19 RCTBID Management District Plan
May 12, 2026

increase room night sales at each assessed Lodging Business. Because they are necessary to provide the marketing and sales promotions and destination development programs that provide specific benefits to assessed Lodging Businesses, the administration and contingency services are also necessary to provide those specific benefits, including increased demand for room night sales, to assessed Lodging Businesses

Although the RCTBID, 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 consequence of providing the specific benefit to the payor.”3

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 serv ice or product.” 4 The legislature has
recognized that marketing and promotions services like those to be provided by the RCTBID are government services within the meaning of Proposition 26 .5 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 to the payor as a consequence of providing the specific government service to the payor.”6

3. Reasonable Cost
RCTBID 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 services described herein. Funds will be managed by the RCTTC, and reports submitted on an annual basis to the City. Only assessed Lodging Businesses will be featured in marketing materials, receive sales leads generated from RCTBID-funded activities, be featured in advertising campaigns, and benefit from other RCTBID- funded services. Non- assessed Lodging Businesses will not receive these, nor any other, RCTBID- funded services and benefits.

The RCTBID-funded programs are all targeted directly at and feature only assessed businesses. It is, however, possible that there will be a spillover benefit to non -assessed businesses. If non-assessed Lodging Businesses receive incremental room nights, that portion of the promotion or program generating those room nights shall be paid with non- RCTBID funds. RCTBID 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 for non-assessed businesses.

C. Assessment
The annual assessment rate is a percentage of gross room rental revenue, varied by benefit zone. The initial annual assessment rate for each zone is shown in the table below.

Zone Assessment Rate
Dova Zone 6.0%
Zone 1 4.5%

3 Government Code § 53758(a)
4 Cal. Const. art XIII C § 1(e)(2)
5 Government Code § 53758(b)
6 Government Code § 53758(b)
ITEM 12.3.

ATTACHMENT 3

20 RCTBID Management District Plan
May 12, 2026

At the City Council’s discretion, assessments collected may be used to repay a capital infrastructure bond if Council chooses to issue bonds. Until and unless bonds are issued, any funds collected by the RCTBID will be used towards the services outlined in this Plan. Based on the benefit received, assessments will not be collected on: charges incurred by a person in the performance of official duties as an officer or employee of a local, state or federal government entity, or by government-sponsored corporate charge card. The assessment levied pursuant to this Plan will also not be collected on stays pursuant to contracts executed prior to July 1, 2021. Stays pursuant to contracts executed between September 1, 2013 and June 30, 2021 shall instead be subject to assessment at the rate of $1.50 per paid occupied room per night. During the ten (10) year term, the assessment rate may be increased annually by the Owners’ Association by a maximum of one percent (1%) of gross room rental. The total assessment rate may not exceed ten percent (10%) for any zone. Assessments collected from Lodging Businesses within Dova Zone shall constitute Dova Zone funds and shall be separately accounted for in accordance with this Plan. This requirement shall apply to all Lodging Businesses located within Dova Zone, whether or not affiliated with any existing Dova Zone development.

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 money, 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 a ny deduction therefrom whatsoever. Gross room rental revenue shall not include any federal, state or local taxes collected, including but not limited to transient occupancy taxes.

The assessment is levied upon and a direct obligation of the assessed Lodging Business. However, the assessed Lodging Business may, at its discretion, pass the assessment on to transients. The amount of assessment, if passed on to each transient, shall be disclosed in advance and separately stated from the amount of rent charged and any other applicable taxes, and each transient shall receive a receipt for payment from the business. If the RCTBID assessment is identified separately it shall be disclosed as the “RCTBID Assessment.” As an alternative, the disclosure may include the amount of the RCTBID 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 Lodging Business even if it is passed on to transients. The assessment shall not be considered revenue for any purpose, including calculation of transient occupancy taxes.

Bonds may be issued.

D. Penalties and Interest
The RCTBID shall reimburse the City of Rancho Cordova for any costs associated with collecting unpaid assessments. If sums in excess of the delinquent RCTBID assessment are sought to be recovered in the same collection action by the City, the RCTBID shall bear its pro rata share of such collection costs. Assessed Lodging Businesses which are delinquent in paying the assessment shall be responsible for paying:

1. Original Delinquency. When an assessment becomes delinquent, any owner who fails to remit any assessment imposed by this Plan within the time required shall pay a penalty of 10 percent (10%) of the amount of the assessment in addition to the amount of the assessment.

2. Continued Delinquency. Any owner who fails 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 of ten percent (10%) of the ITEM 12.3.

ATTACHMENT 3

21 RCTBID Management District Plan
May 12, 2026

amount of the assessment in addition to the amount of the assessment and the ten percent (10%) penalty first imposed.

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

4. Interest. In addition to the penalties imposed, any owner who fails to remit any assessment imposed by this Plan shall pay interest at the rate of one and one -half percent (1.50%) per month or fraction thereof, compounded, 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 under the provisions of this section shall become a part of the assessment herein required to be paid.

E. Time and Manner for Collecting Assessments
The RCTBID assessment will be implemented beginning July 1, 2021 and will continue for ten (10) years through June 30, 2031. The City will be responsible for collecting the assessment on a monthly basis (including any delinquencies, penalties and interest) from each Lodging Business. The City shall take all reasonable efforts to collect the assessments from each Lodging Business. The City shall forward the assessments collected to the Owners’ Association. The City’s monthly remittance and reporting shall separately identify collections, penalties, interest, delinquencies, and other amounts attributable to each benefit zone, including Dova Zone. Funds attributable to Dova Zone shall be deposited into the separate Dova Zone account or sub fund maintained pursuant to this Plan.

Concurrent with the remittal of assessment funds to the Owners Association, the City shall also provide monthly reports stating details surrounding businesses that are default on expected payments, as well as the term of their delinquency and any other relevant information for the Owners Association to reasonably determine which assessed L odging Businesses are in compliance with the RCTBID assessment.

VI. GOVERNANCE

A. Owners’ Association
The City Council, through adoption of this Management District Plan, has the right, pursuant to Streets and Highways Code §36651, to identify the body that shall implement the proposed program, which shall be the Owners’ Association of the RCTBID as defined in Streets and Highways Code §36612. The City Council has determined that Rancho Cordova Travel and Tourism Corporation (RCTTC) will serve as the Owners’ Association for the RCTBID.

1. Dova Zone Special Committee . Notwithstanding RCTTC’s role as the Owners’ Association, and unless and until the Dova Zone Lodging Businesses elect an alternative governance structure pursuant to the Future Governance Flexibility provisions below, all Dova Zone funds shall be administered pursuant to this subsection. The Dova Zone Special Committee shall have primary authority over Dova Zone fund governance as provided herein. The D ova Zone Special Committee is required to pay its proportionate fair share of any litigation costs regarding the district and any city collection costs for collecting and enforcing the assessment, identified as no more than 2% in the budget. A Dova Zone Special Committee shall be established consisting of not fewer than three (3) members, all of whom shall be appointed by the assessed Lodging Business within. If the Dova Zone Special Committee consists of three (3) members, at least one (1) member shall also be a current member of the RCTTC Board. If the Dova Zone Special ITEM 12.3.

ATTACHMENT 3

22 RCTBID Management District Plan
May 12, 2026

Committee consists of five (5) members, at least two (2) members shall also be current members of the RCTTC Board. In all cases, appointment authority shall remain solely with the Dova Zone assessed Lodging Businesses. Any such member or members who are also current members of the RCTTC Board shall nevertheless serve on the Dova Zone Special Committee solely by appointment of the Dova Zone assessed Lodging Businesses. The Dova Zone Special Committee may be established and convened earlier with the consent of the City and the Owners’ Association and shall be established and convened no later than upon when construction breaks ground of a Lodging Business within Dova Zone. Subject to the general provisions in this plan requiring all district funds be available for legal defense of the district, and renewal. The Dova Zone Special Committee shall have primary authority over the budgeting, prioritization, approval, allocation, commitment, and expenditure of Dova Zone funds, including approval of Dova Zone projects, activities, programs, project criteria, annual budgets, reallocations within Dova Zone, reserves, and the use of Dova Zone funds to support financing or debt for permitted Dova Zone uses.

RCTTC shall administer and implement the determinations of the Dova Zone Special Committee and shall not reallocate, encumber, expend, or otherwise commit Dova Zone funds except as directed by the Dova Zone Special Committee, subject only to compliance with applicable law, public contracting requirements, financing requirements, bond covenants, and related ministerial or compliance obligations. No action of the RCTTC Board shall be required to approve, r atify, or validate any determination of the Dova Zone Special Committee with respect to Dova Zone funds. No action of the Dova Zone Special Committee is intended to and does not supersede the City’s legislative and land use authority under state law and its municipal code. This includes, but is not limited to, the requirement for Dova Zone projects to receive all required and applicable City approval and entitlements.

2. RCTTC Board . RCTTC shall include at least one member of its Board of Directors who is appointed by the owners of Lodging Businesses located within Dova Zone, effective upon no later than upon when construction breaks ground of a Lodging Business within Dova Zone. Any such member or members who are also current members of the RCTTC Board shall nevertheless serve on the Dova Zone Special Committee by appointment of the Dova Zone Owners.

3. Future Governance Flexibility. In light of the anticipated phased development of lodging within Dova Zone, including the possibility that Dova Zone Lodging Businesses may not commence operations immediately, the Dova Zone Special Committee shall serve as the governance structure for Dova Zone. Upon the commencement of operations of any Lodging Business within Dova Zone, the appointment structure of the Dova Zone Special Committee may be revised by amendment to this Plan; provided, however, that Dova Zone funds shall remain subject to Dova Zone governance.

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 RCTTC board and certain committees must be held in compliance with the public notice and other requirements of the Brown Act. The Owners’ Association is also subject to the record keeping and disclosure require ments of the California Public Records Act. Accordingly, the Owners’ Association shall publicly report any action taken and the vote or abstention on that action of each member present for the action.

ITEM 12.3.

ATTACHMENT 3

23 RCTBID Management District Plan
May 12, 2026

To the extent applicable, the Dova Zone Special Committee shall be treated as a committee of the Owners’ Association for purposes of transparency, recordkeeping, and public meeting requirements relating to matters within the subject matter of the district.

C. Annual Report
The RCTTC shall present an annual report at the end of each fiscal year of operation to the City Council and shall file the annual report with the City of Rancho Cordova City Clerk, 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. • The method and basis of levying the assessment in sufficient detail to allow each business 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.
• Separate reporting for Dova Zone revenues, expenditures, reserves, carryovers, and commitments.
• A description of Dova Zone projects, activities, and financing approved or proposed for the applicable fiscal year.
• Any proposed changes to the governance, budgeting, or administration of Dova Zone, including any election by the Dova Zone assessed Lodging Businesses to pursue a separate Dova Zone owners’ association or successor governance structure.

ITEM 12.3.

ATTACHMENT 3

24 RCTBID Management District Plan
May 12, 2026
APPENDIX 1 – LAW

CURRENT THROUGH CH. 790 OF THE LEGISLATION FROM THE 2025-2026 REGULAR SESSION, EFFECTIVE AS OF OCTOBER 13, 2025

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:
(a) Businesses located and operating within business districts in some of this state’s communities are economically disadvantaged, are underutilized, and are unable to attract customers due to inadequate 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. (d) Assessments levied for the purpose of conferring special benefit upon the real property or a specific benefit upon the businesses in a business district are not taxes for the general benefit of a city, even if property, 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:
(1) Crime reduction. A study by the Rand Corporation has confirmed a 12-percent reduction in the incidence of robbery and an 8-percent reduction in the total incidence of violent crimes within the 30 districts studied.
(2) Job creation.
(3) Business attraction.
(4) Business retention.
(5) Economic growth.
(6) New investments.
(f) With the dissolution of redevelopment agencies throughout the state, property and ITEM 12.3.

ATTACHMENT 3

25 RCTBID Management District Plan
May 12, 2026
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. (1) The lack of legislative guidance has resulted in uncertainty and inconsistent application of this act, which discourages the use of assessments to fund needed improvements, maintenance, and activities in property-based districts, contributing to blight and other underutilization of property.
(2) Activities undertaken for the purpose of conferring special benefits upon property to be assessed inherently produce incidental or collateral effects that benefit property or persons not assessed. Therefore, for special benefits to exist as a separate and distinct category from general benefits, the incidental or collateral effects of those special benefits are inherently part of those special benefits. The mere fact that special benefits produce incidental or collateral effects that benefit property or persons not assessed does not convert any portion of those special benefits or their incidental or collateral effects into general benefits.
(3) It is of the utmost importance that property-based districts created under this act have clarity regarding restrictions on assessments they may levy and the proper determination of special benefits. Legislative clarity with regard to this act will provide districts with clear instructions and courts with legislative intent regarding restrictions on property-based assessments, and the manner in which special benefits should be determined.

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 ITEM 12.3.

ATTACHMENT 3

26 RCTBID Management District Plan
May 12, 2026
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.

36606.5. “Assessment”

“Assessment” means a levy for the purpose of acquiring, constructing, installing, or maintaining improvements and providing activities that will provide certain benefits to properties or businesses located within a property and business improvement district.

36607. “Business”

“Business” means all types of businesses and includes financial institutions and professions.

36608. “City”

“City” means a city, county, city and county, or an agency or entity created pursuant to Article 1 (commencing with Section 6500) of Chapter 5 of Division 7 of Title 1 of the Government Code, the public member agencies of which includes only cities, counties, or a city and county, or the State of California.

36609. “City council”

ITEM 12.3.

ATTACHMENT 3

27 RCTBID Management District Plan
May 12, 2026
“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. (j) Facilities or equipment, or both, to enhance security of persons and property within the district.
(k) Ramps, sidewalks, plazas, and pedestrian malls.
(l) 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”

“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 (Division 10 ITEM 12.3.

ATTACHMENT 3

28 RCTBID Management District Plan
May 12, 2026
(commencing with Section 7920.000) 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 to obtain other information as to the ownership of land or businesses, and its determination of ownership shall be final and conclusive for the purposes of this part. Wherever this part requires the signature of the property owner, the signature of the authorized agent of the property owner shall be sufficient. Wherever this part requires the signature of the business owner, the signature of the authorized agent of the business owner shall be sufficient.

36615.5. “Special benefit”

(a) “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.

(b) “Special benefit” also includes, for purposes of a property-based district, a particular and distinct benefit provided directly to each assessed parcel within the district. Merely because parcels throughout an assessment district share the same special benefits does not make the benefits general.

ITEM 12.3.

ATTACHMENT 3

29 RCTBID Management District Plan
May 12, 2026

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 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 that city. A city may not form a district within the unincorporated territory of a county without the consent of the board of supervisors of that county. A city may not form a district within the territorial jurisdiction of another city without the consent of the city council of the other city.

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:

ITEM 12.3.

ATTACHMENT 3

30 RCTBID Management District Plan
May 12, 2026
(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 of Section 36623.

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. (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 estimated cost thereof. If the improvements, maintenance, and activities proposed for each year of operation are the same, a description of the first ITEM 12.3.

ATTACHMENT 3

31 RCTBID Management District Plan
May 12, 2026
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 subdivision.
(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 their 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.
(j) 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. (3) In a property-based district, properties throughout the district may share the same special benefits. In a district with boundaries that define which parcels are to receive ITEM 12.3.

ATTACHMENT 3

32 RCTBID Management District Plan
May 12, 2026
improvements, maintenance, or activities over and above those services provided by the city, the improvements, maintenance, or activities themselves may constitute a special benefit. The city may impose assessments that are less than the proportional special benefit conferred, but shall not impose assessments that exceed the reasonable costs of the proportional special benefit conferred. Because one or more parcels pay less than the special benefit conferred does not necessarily mean that other parcels are assessed more than the reasonable cost of their special benefit. (l) 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.
(m) 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
ITEM 12.3.

ATTACHMENT 3

33 RCTBID Management District Plan
May 12, 2026

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 36627.

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. (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 ITEM 12.3.

ATTACHMENT 3

34 RCTBID Management District Plan
May 12, 2026
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

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.

ITEM 12.3.

ATTACHMENT 3

35 RCTBID Management District Plan
May 12, 2026
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 the city council in the resolution levying the assessment.

Assessments levied on real property may be collected at the same time and in the same manner as for the ad valorem property tax, and may provide for the same lien priority and penalties for delinquent payment. All delinquent payments for assessments levied pursuant to this part may be charged interest and penalties.

36632. Assessments to be based on estimated benefit; Classification of real property and businesses; Exclusion of residential and agricultural property

(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 conclusively presumed not to benefit from the improvements and service funded through these assessments, and shall not 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.

ITEM 12.3.

ATTACHMENT 3

36 RCTBID Management District Plan
May 12, 2026
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 plan after conducting one public hearing on the proposed modifications. The city council may modify the improvements and activities to be funded with the revenue derived from the levy of the assessments by adopting a resolution determining to make the modifications after holding a public hearing on the proposed modifications. If the modification includes the levy of a new or increased assessment, the city council shall comply with Section 36623. Notice of all other public hearings pursuant to this section shall comply with both of the following:
(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 days before the public hearing, to each business owner or property owner affected by the proposed 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.

36638. Assessment as government imposed fee on Civ C § 1770 transaction

(a) A business assessment pursuant to this part is a fee imposed by a government on the transaction for purposes of paragraph (29) of subdivision (a) of Section 1770 of the Civil Code.
(b) This section shall become operative on July 1, 2024.

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 ITEM 12.3.

ATTACHMENT 3

37 RCTBID Management District Plan
May 12, 2026
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. (3) An estimate of the cost of providing the improvements, maintenance, and activities for that fiscal year.
(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, ITEM 12.3.

ATTACHMENT 3

38 RCTBID Management District Plan
May 12, 2026
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 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.

ITEM 12.3.

ATTACHMENT 3

39 RCTBID Management District Plan
May 12, 2026
(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.

ITEM 12.3.

ATTACHMENT 3

40 RCTBID Management District Plan
May 12, 2026
APPENDIX 2 – ASSESSED LODGING BUSINESSES*

*List as of February 26, 2026
Business
Name
Address
Best Western Plus Rancho Cordova Inn 10713 White Rock Rd Rancho Cordova Rancho Cordova Inn near Lake Natoma 12249 Folsom Blvd Rancho Cordova Courtyard Sacramento Rancho Cordova 10683 White Rock Rd Rancho Cordova Days Inn & Suites Rancho Cordova 3240 Mather Field Rd Rancho Cordova Townplace Suites by Marriott 11212 Point East Dr Rancho Cordova Extended Stay America 10721 White Rock Rd Rancho Cordova Fairfield Inn & Suites Rancho Cordova 10745 Gold Center Dr Rancho Cordova Hampton Inn Sacramento Rancho Cordova 10755 Gold Center Dr Rancho Cordova Holiday Inn Sacramento Rancho Cordova 11269 Point East Dr Rancho Cordova Studio 6 11299 Point East Dr Rancho Cordova
Homewood Suites by Hilton Rancho
Cordova Sacramento

10700 White Rock Rd

Rancho Cordova
Hyatt Place Sacramento Rancho Cordova 10744 Gold Center Dr Rancho Cordova La Quinta Inn & Suites -Rancho Cordova 11131 Folsom Blvd Rancho Cordova Motel 6 Rancho Cordova 10694 Olson Dr Rancho Cordova
California Inn Rancho Cordova 10800 Olson Dr Rancho Cordova Residence Inn Sacramento Rancho Cordova 2779 Prospect Park Dr Rancho Cordova Sacramento Marriott Rancho Cordova 11211 Point East Dr Rancho Cordova ITEM 12.3.

ATTACHMENT 3