Administrative
Report
L.1., File # 22-4617 Meeting Date: 12/6/2022
To: MAYOR AND CITY COUNCIL
From: GREG KAPOVICH, WATERFRONT AND ECONOMIC DEVELOPMENT DIRECTOR TITLE
PUBLIC HEARING TO CONSIDER THE FISCAL YEAR 2023 ANNUAL REPORT OF THE RIVIERA
VILLAGE BUSINESS IMPROVEMENT DISTRICT ADVISORY BOARD AND THE LEVYING OF AN ASSESSMENT FOR FISCAL YEAR 2023
ADOPT BY TITLE ONLY RESOLUTION NO CC-2212-107, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDONDO BEACH, CALIFORNIA, CONFIRMING THE 2023 REPORT
OF THE RIVIERA VILLAGE BUSINESS IMPROVEMENT DISTRICT ADVISORY BOARD AND LEVYING AN ASSESSMENT FOR FISCAL YEAR 2023
PROCEDURES:
A. OPEN THE PUBLIC HEARING, TAKE TESTIMONY;
B. CLOSE THE PUBLIC HEARING; AND
C. ADOPT RESOLUTION NO CC-2212-107
EXECUTIVE SUMMARY
In accordance with State law pertaining to business improvement districts, the Riviera Village Business Improvement District (BID) is required to prepare an Annual Report (Report) for the upcoming Fiscal Year (2023) that identifies improvements, activities, and associated costs proposed by the BID and which also includes highlights and accomplishments for the current Fiscal Year (2022). On November 1, 2022, the City Council adopted Resolution No. CC-2211-089 which included a preliminary approval of the Report which is on file with the City Clerk. Final approval of the Report requires a Public Hearing prior to the City Council taking action to approve the Report and levying an assessment for the Riviera Village BID.
The BID Advisory Board recommends that the BID boundaries and the method and basis for levying assessments remain unchanged. Absent a majority protest at the conclusion of the Public Hearing, the City Council may adopt a resolution confirming the report for Fiscal Year 2023 as filed, or as modified by the City Council. The adoption of the Resolution also constitutes the levying of the BID assessment for Fiscal Year 2023.
The BID Advisory Board proposes that the Riviera Village Association (RVA) - a non-profit corporation - continue to manage the contracts and funding on behalf of the BID. A resolution is attached to recognize and approve a contract with the RVA as the non-profit corporation for the BID.
BACKGROUND
The Riviera Village BID was established by the City Council in 2003, pursuant to the California
L.1., File # 22-4617 Meeting Date: 12/6/2022
The Riviera Village BID was established by the City Council in 2003, pursuant to the California Parking and Business Improvement Area Law of 1989 to promote the economic revitalization and physical maintenance of the Riviera Village Business District. The City Council formed an Advisory Board for the BID to advise the City Council on the method and basis for the levy of assessments within the BID and the expenditure of revenues derived from those assessments.
In accordance with State law pertaining to business improvement districts, the Riviera Village BID Advisory Board prepared its annual report for Fiscal Year 2023 Report, which is attached. The Report was received and filed by the City Council on November 1, 2022, and is on file with the City Clerk. The Report identifies improvements, activities, and associated costs proposed within the BID for Fiscal Year 2023 (January 1, 2023 - December 31, 2023); and includes highlights and accomplishments to date for Fiscal Year 2022. The Advisory Board recommends the BID boundaries and the method and basis for levying assessments remain unchanged for Fiscal Year 2023. The proposed assessments within the BID have remained unchanged since Fiscal Year 2005.
Absent a majority protest at the conclusion of the Public Hearing, the City Council may adopt a resolution confirming the report for Fiscal Year 2023 as filed, or as modified by the City Council. The adoption of the Resolution also constitutes the levying of the BID assessments for Fiscal Year 2023.
The BID Advisory Board proposes that the RVA, a non-profit corporation, continue to manage contracts and funding on behalf of the BID. A resolution is attached to recognize and approve a contract with the RVA as the non-profit corporation for the BID.
The annual renewal of the BID and the related assessment requires City Council action. In preparation for the public hearing, the City Council took the following actions on November 1, 2022, as required by BID law:
· Adopted Resolution No. CC-2211-088 appointing an Advisory Board for the Riviera Village Business Improvement District and directing the preparation of the Annual Report for Fiscal Year 2023;
· Adopted Resolution No. CC-2211-089 preliminarily approving the Riviera Village Business Improvement District Advisory Board’s Annual Report for Fiscal Year 2023; and · Adopted Resolution No. CC-2211-090 declaring its intention to levy an assessment for Fiscal Year 2023, and setting December 6, 2022, at 6:00 p.m. as the date and time for the Public Hearing on the proposed assessments
Pursuant to State law, notice for the Public Hearing was given to all interested parties. The Public Notice for this Public Hearing and the Resolution of Intention was published in The Easy Reader on November 17, 2022. The Resolution of Intention was also mailed to each business within the BID during the week of November 7, 2022.
ANNUAL REPORT
As noted above, the Report is required to list the accomplishments of the BID for current Fiscal Year 2022 and projects for Fiscal Year 2023.
L.1., File # 22-4617 Meeting Date: 12/6/2022
Parklet Program
The Parklet Program was initiated in July, 2020 by the RVA in response to the COVID-19 pandemic.
The program continued to run successfully in 2022 by creating a thriving restaurant scene, attracting more guests to Riviera Village and increasing tax revenue to the City. In 2022 the RVA covered expenses to demolish four underutilized Parklets and repair vehicle damage to one Parklet. On June 21, 2022 the City Council passed Resolution No. 2206-04, changing the financial landscape of the program. Effective July 1, 2022, the City instituted a $2 per square foot rental fee that was collected by the RVA and paid to the City’s General Fund. In order to cover the costs related to the Parklets program, including rental billing, rent collections, oversight, maintenance, cleaning, pest control, insurance and administration, the RVA instituted an additional fee of $0.36 per square foot.
The RVA will assess the feasibility of continuing the program over the coming months in anticipation of the permit expiration date of December 31, 2023 and has requested the City to reimburse the RVA for a mid-term renovation/improvement to the Parklets not to exceed $80,000. The RVA has since invested in the services of a local architect to design and develop a long-term solution should Riviera Village seek to apply for permanent parklets, along with the City, to the Coastal Commission. Thus far, conceptual Parklets design renderings have been presented to the RVA Board but not voted on or approved. In the meantime, the RVA will continue to work with the City for financial assistance to aid in the refurbishment of all temporary Parklets due to wear and tear over the years.
FISCAL YEAR 2022 ACCOMPLISHMENTS
Recovery Committee
Through the Recovery Committee, the BID continues to provide a bridge between restaurants and businesses to address topics such as organizing the Village’s recovery efforts due to COVID-19, mitigating parking issues, monitoring Parklets stakeholders and enhancing the restaurant-to-business communications. The RVA also hired a Parklets liaison to conduct visual inspections of parklets to ensure they are meeting the program standards.
Beautification Funds
The BID continues to work with its landscaping company to maintain/replenish the hanging pots and sidewalk pots along Catalina Ave, Avenue I, Avenida del Norte and Elena which enhance the look of Riviera Village. The BID also continues to look at ways to improve the appearance of the hardware located on the map posts that secure the hanging plants.
Joint Projects with the City
The RVA continues to meet with City staff, including the monthly RVA BID meetings which are also attended by the District 1 Councilman, Nils Nehrenheim. In addition to the successful implementation and maintenance of the Parklets, the RVA has been working on the following projects/items:
· Supporting the City’s effort to create a permanent, community and coastal commission approved version of the Parklet Program
· Installing permanent retractable bollards in key areas of the Riviera for pedestrian safety during community events
· Continuing to work with the City to help and assist with the sidewalk paver program
L.1., File # 22-4617 Meeting Date: 12/6/2022
· Continuing to work with Public Works staff to paint the asphalt under the bike corrals. The project costs will be eligible for reimbursement through funds earmarked for Riviera Village public art.
Village Banners
The “SHOP, DINE, RELAX” banners have been reprinted and are in the process of being installed.
The RVA holiday banners and tinsel will be on all lamp poles during the holiday season. The BID is responsible for the costs associated with the banners and installation; the City provides the mounting hardware for the poles.
Art Wrap Project
The well-received art wrap project of seven junction boxes was completed in May, 2022. Designed by Amie Chessmore, the project is titled “Riviera Village by the Sea” and is a lighthearted collection of art reflecting the activities, nature and lifestyle of coastal Redondo Beach.
MARKETING/PROMOTIONAL FUNDS
RVA marketing is managed by a paid local professional who focuses on raising awareness of Village businesses. The marketing efforts include social media, email marketing, website content management, project management and content creation through photography and videography that conveys Riviera Village products/services, people, lifestyle and surrounding beauty. In 2022, video content trended especially well with the opportunities presented by Instagram Reels and IGTV. Year to date, sixty-four (64) video posts have yielded over 228,000 views*. Riviera Village’s social media is showing positive gains and reach as follows:
January 2022 - September 2022
INSTAGRAM FOLLOWERS 8,271 + 1,628 |
+ 24%
FACEBOOK FOLLOWERS 8,099 +564 | +
7.5%
Reach (the number of people who saw any content from RVA accounts pages or about RVA pages) INSTAGRAM 192,541 | +172% FACEBOOK 430,162 | +128%
*Instagram counts multiple video views from the same user
SIGNATURE EVENTS
Halloween Trick or Treat
The community welcomed back the Halloween Trick or Treat event in 2021 with COVID-19 protocols in place. The 2022 Halloween Trick or Treat once again welcomed thousands of visitors to Riviera Village. The event was well organized, safe and memorable for all involved.
Holiday Stroll
The 2022 Holiday Stroll will be similar to the 2021 event that included a more dynamic environment with enhanced colorful lighting, a DJ that encourages families to dance with holiday characters and Santa’s arrival via horse drawn carriage. The historical parade has been discontinued to focus on
L.1., File # 22-4617 Meeting Date: 12/6/2022
retailers that depend heavily on holiday sales.
Riviera Village Summer Festival
This event returned in June, 2022 after a three-year hiatus due to COVID-19. Due to the Parklet Program there was a 30% decrease in the number of booth spaces but the event was thoroughly enjoyed by the community and turned a significant profit for the BID.
Certified Farmers Market
The BID continues to support the Certified Farmers Market located in the Triangle Parking Lot on Sundays between 9:00 A.M. 2:00 P.M., which attracts many visitors to the Riviera Village. The manager of the Farmers Market has excelled in dynamically planning the layout of the market to comply with ever-changing conditions, curating a higher caliber and diverse vendor selection, focusing on organic farmers and a quality shopping experience. The market continues to be a growing source of income for the BID.
ADMINISTRATIVE FUNDS
In January, 2022 the RVA Board hired a coordinator who is responsible for handling tasks relating to the board and board meetings and other tasks as needed. For greater efficiency, board members volunteered to manage specific Village tasks and projects, such as plant maintenance, lamp post banners/holiday decor, insurance and events.
INSURANCE POLICIES
The RVA has secured the following insurance coverage as required by the City of Redondo Beach:
· General Liability Insurance;
· Officers and Directors Liability Insurance; and
· Certificate of Insurance for Events (Outside Dining Parklets & Sidewalk Sale during COVID19).
BUSINESS LICENSE VERFICATIONS
The Annual Business License verification walkthrough procedure began in late 2018 and resulted in a dramatic improvement of paid business license taxes and fees benefiting both the BID as well as the City bringing businesses into compliance (see Fiscal Year breakdown below of BID fees collected - data provided from Finance Department/ Business Licenses). The BID will continue to execute this process and anticipates to collect fees of approximately $79,000 for Fiscal Year 2023.
FY 16-17 = $74,943
FY 17-18 = $76,491
FY 18-19 = $78,945
FY 19-20 = $87,494
FY 20-21 = $75,650
FY 21-22 = $78,729
PROJECTS/GOALS ANTICIPATED FOR FISCAL YEAR 2023
· RVA to work with the Police and Public Works Departments to create a cohesive plan to
L.1., File # 22-4617 Meeting Date: 12/6/2022
· RVA to work with the Police and Public Works Departments to create a cohesive plan to identify, seek grants for, and install retractable bollards in the Riviera Village with a phased approach
· RVA to work with City Staff and the Coastal Commission to present a scope and vision for “permanitizing” the Parklet Program in some manner, while mitigating the parking effects · RVA to work with the City to complete the Sidewalk Pavers Capital Improvement Project (CIP) throughout the Village
· RVA to work towards improving safety of Village visitors while also adding a unique feature to the Village with a Roundabout at Catalina Ave & Avenue I · RVA to work on possible solutions to the short-term and long-term parking challenges in the Village
· RVA to review the method and basis for levying assessments to businesses within the BID in order to determine a possible fee increase for Fiscal Year 2024 · RVA to research the possibility of transitioning from an annual process to a multi-year contract for the renewal of the RVA BID
COORDINATION
The Riviera Village BID renewal is coordinated by the Waterfront and Economic Development Department with assistance from the City Manager’s Office, City Attorney’s Office, and the Financial Services Department.
The Financial Services Department will continue assist with annual BID assessment, receipt of payments and the processing of these assessments and payments. The Waterfront and Economic Development Department has taken the lead in the annual renewal process with assistance from the City Manager’s Office.
FISCAL IMPACT
BID assessments are restricted for use exclusively by the BID and must be reported to the City Council annually. The BID encourages activity and retail growth, potentially resulting in additional sales tax revenue for the City. BID funds are often directed towards projects that improve City rightof-way areas and, as a result, offset City expenses.
APPROVED BY:
Mike Witzansky, City Manager
ATTACHMENTS
· Reso - Confirming Board Report / Levying Assessment and RVA Contract (Ex. C) · FY 2023 Annual Report - Riviera Village Business Improvement District
L.1., File # 22-4617 Meeting Date: 12/6/2022
· FY 2022 Annual Report - Riviera Village Business Improvement District · Public Hearing Notice - The Easy Reader, November 17, 2022 · Presentation to City Council, December 6, 2022