DOWNTOWN SAN BERNARDINO
PROPERTY & BUSINESS IMPROVEMENT
DISTRICT FORMATION
City of San Bernardino
March 19, 2026
Dear Ms. Machuca and Ms. Castro,
I am pleased to present to you our enclosed proposal for the formation of the Downtown San Bernardino Property and Business Improvement District (“DSBPBID”). Civitas has been forming and renewing Property and Business Improvement Districts ("PBIDs") since the Property and Business Improvement District Law of 1994 ("'94 Law") was established, and will provide expert advice and guidance throughout the project.
During our recent conversation, you expressed stak eholders remain engaged from the 2022 F easibility Study and support remains intact. With continued property owner support, the City of San Bernardino has an exciting opportunity to pursue the DSBPBID formation.
We are excited to continue work with the City of San Bernardino, property owners, and stakeholders on the formation of the DSBPBID. Our process is designed to continue to secure significant support for the project while complying with applicable laws. In concert with the City of San Bernardino (“CSB”), City officials, and stakeholders, the Civitas team will guide an owner outreach program to successfully form a PBID for the Downtown San Bernardino area. Civitas will draft all required documents for a successful formation, guide stakeholders in a successful petition and ballot drive, and assist with the hearing and ballot process.
Thank you for the opportunity to submit this proposal. We look forward to continuing our work with you on this exciting project.
Best Regards,
Civitas | City of San Bernardino 1
Kelly Rankin
Senior Project Manager & Director of Team Engagement
THE OPPORTUNITY
Civitas | City of San Bernardino 2
Based on feedback from the Downtown San Bernardino community during the 2022 F easibility Study, the PBID would focus on activities and improvements such as: providing clean and safe progr ams, capital improvements, and providing a unified voice for owners to represent the needs of the community.
The '94 Law empowers private property owners to work with local government officials and establish higher levels of services. Those services are specifically tailored to the needs of the area, and dedicated solely to improving the ph ysical environment of the District, benefiting property owners.
Hundreds of property owners in commercial and industrial areas throughout the state have used the '94 Law to create a stable funding source for much needed activities and improvements. As with man y downtowns and commercial areas, there is a greater need for services in the City of San Bernardino than can be provided with limited government funds. Without an investment from the private sector, property owners ma y find themselves at a competitive disadvantage to other areas. The proposed DSBPBID can address this gap and provide owners and businesses a well-managed, inviting atmosphere for conducting business.
Step 1
Initiation & Infrastructure
Civitas will work with CSB, property owners, and
City staff to define their respective roles in the
formation process. During this step, Civitas will
also begin developing and refining the project
database, including property ownership data,
assessment scenarios, and boundary maps.
Civitas will provide ongoing technical support
throughout the DSBPBID formation process.
Civitas | City of San Bernardino 3
Consensus Building & Education
Civitas will lead outreach efforts to connect
with property owners and build support for the
DSBPBID. Working in close coordination with
CSB, k ey property owners, and stak eholders,
Civitas will develop a comprehensive project
framework that includes forming a steering
committee to serve as the project's leadership
body. Civitas will provide str ategic guidance to
ensure the committee is well-positioned to
socialize the DSBPBID formation across the
community.
Document Preparation & Revision
Civitas will dr aft all required legal documents
for the DSBPBID formation, including the
Management District Plan, resolutions, staff
reports, petition, and ballot. Civitas will work
with the steering committee and City staff to
review and refine these documents as needed
to ensure stak eholder alignment. Civitas will
not prepare the required engineer's report but
can recommend a qualified engineer to do so.
Petition & Ballot Preparation
SCOPE OF SERVICES & SCHEDULE
Civitas will prepare all petition and ballot materials and advise on the design of an effective petition and ballot str ategy. In close coordination with the steering committee, Civitas will help identify high-priority stak eholders and assign petition circulation roles.
Civitas will also provide ongoing support, messaging guidance, and tracking tools to ensure the necessary thresholds are met. As needed, Civitas will update petitions and ballots to reflect changes in property ownership and may coordinate the printing and mailing of ballots with a mailing house.
Step 2 Step 3
Step 5Step 4
City Council Meetings & Ballot Process
Civitas will support the steering committee and City staff throughout the public approval process, including the ballot process required b y Proposition 218. Civitas ma y attend hearings and will prepare the necessary materials to complete a successful ballot process. Civitas will also coordinate with the City Attorney's office and City Clerk to ensure procedur al compliance and timely advancement of the formation process.
At Civitas, we specialize in igniting local
economies, creating jobs and establishing
stable funding for destination promotions
and downtown improvements throughout
the United States. With more than 20
years of experience, we provide expertise
in all aspects of forming, modifying, and
renewing improvement districts. With
offices in Sacramento, Los Angeles, and
New York, our team of professionals has
guided over 150 districts through the
formation, modification or renewal
process. With its deep experience and
expertise, Civitas has been commissioned
by the U.S. Travel Association to conduct
nationwide studies.
Civitas also provides research, consulting,
and district formation services to
destinations located around the world,
including Canada, South America, Europe,
and Asia. We have also worked in Japan,
where Civitas clients include Nomura
Research Institute, Japan Area-Based
Management Organization Network,
Japan Travel Bureau, and Setouchi
Tourism Authority. For its groundbreaking
work, Civitas has been featured in
publications such as Forbes and Skift.
CIVITAS - PBID CONSULTANT TEAM
Civitas | City of San Bernardino 4
Kelly Rankin
Senior Project Manager &
Director of Team Engagement
Mr. Lambeth specializes in creation and operation of improvement districts.
He is a special districts attorney and was the primary author of the Property and Business Improvement District Law of 1994. He assisted with creation of the first property-based business improvement district in California. He is an expert in all aspects of improvement district formation, including outreach to property owners, plan development, and petition and ballot campaigns. He formerly served as clerk to the Honorable Malcolm M. Lucas, Chief Justice of the California Supreme Court.
Select Relevant Management Experience:
- Main Street Oceanside PBID Formation
- North Park MAD Formation
- Sacramento Downtown Partnership PBID Renewal
- San Diego PBID Renewal
- Sunrise PBID Renewal
Ms. Rankin is Civitas' Project Manager in Los Angeles. K elly joined the Civitas team in 2018. Prior to Civitas, K elly attended California State University, Fresno where she earned her bachelor's degree in A dvertising.
She started her career in the travel industry, then continued on in television advertising sales in New York City. Upon her return to California five years later, she joined the Civitas team with experience in oper ations, client relations, and media expertise.
Select Relevant Management Experience::
- Downtown Morgan Hill PBID Formation
- Downtown Fresno Renewal
- Downtown Richmond PBID Renewal
- Arden-Arcade PBID Formation
- Oceanside PBID Renewal
John Lambeth
Founder & CEO
Civitas | City of San Bernardino 5
Sean Pratt
GIS & Database Specialist
Mr. Pratt specializes in creating, updating, and managing property owner information databases. He earned a Bachelor of Arts degree at UC Davis. He began his GIS career while working for UC Davis Plant Sciences, and earned an Associate degree at American River College in GIS. He volunteers at the UCD Medical Center researching new wa ys to identify regions of California’s at-risk teen population using GIS to do spatial analysis. He has a tr ack record of building accur ate PBID databases and maps for the last eight (8) years.
Select Relevant Support Experience:
- Carmichael PBID Renewal
- Downtown Fresno PBID Renewal
- Power Inn Sacramento PBID Renewal
- Alum Rock PBID Formation
- Arden - Arcade PBID Formation
- Sunrise Market Place PBID Renewal
- Stockton Blvd PBID Renewal
- Franklin Blvd PBID Renewal
- Watt Avenue PBID Renewal
- 16th Street Midtown Sacramento PBID Formation
Madison Deschamps
Senior Legal Analyst
Ms. Deschamps is a graduate of the University of California, Davis, where she earned her bachelor ’s Degree in Political Science as well as a minor degree in W omen’s Studies. Her coursework emphasized American Politics and Institutions, and she followed her academic experiences centered around policy and legislation with an internship at the California State Assembly. She joins Civitas following professional experiences in the legal field, administr ative work, as well as membership in on-campus organizations that fostered her passion for community development.
Select Relevant Support Experience:
- Carmichael PBID Renewal
- Franklin Blvd PBID Renewal
- Power Inn PBID Renewal
- Stockton Blvd PBID Renewal
- Watt Avenue PBID Renewal
INVESTMENT PROVISIONS
Description Price
Professional Fees $67,500
Additional Expense Not Included: Engineer's
Report
$5,000
Additional Expense Not Included: Ballot
Mailing
$2,000
Total $74,500
Investment
CSB's investment for professional fees for the scope of services described herein shall be $67,500.
CSB’s investment includes three (3) trips to meet with the key stakeholders, local government officials, or to attend City Council meetings. If additional trips are necessary, we would be happy to make additional trips for a professional fee of $1,500 per trip, plus expenses. This proposal is based on the understanding that the CSB and stakeholders will provide assistance and time needed to facilitate the process on the local level, including time devoted to outreach meetings, and gathering support and signed petitions and ballots from businesses.
Expenses
CSB will be responsible for all costs and expenses in addition to the professional fees. Ordinary costs and expenses, including telephone charges, postage, and photocopying will be billed at four percent (4%) of professional fees. Other costs, such as travel, overnight shipping, bulk mailing and printing costs (over 100 pages) shall be billed at Civitas’ actual cost.
Civitas' fees and costs do not include the cost to mail ballots, however we can coordinate the ballot mailing and bill at the actual cost, which may range from $1,500 - $2,000.
Civitas’ fees and costs do not include the cost of a professional engineer to prepare the required engineer’s report; however, we can recommend an engineer to prepare the report whose fees typically range from $4,500 - $5,000.
An intercept survey may also be necessary; we can recommend firms to assist with the intercept survey.
Civitas | City of San Bernardino 6
Billing
Civitas proposes a fixed monthly fee of $7,500 per month for nine (9) months, plus expenses. A start-up fee of ten percent (10%) of project costs, $6,750, will be due and payable upon execution of an agreement for services between Civitas and the CSB. The amount of the start-up fee will be deducted from the final invoice, which will also be adjusted to account for the total contr act price. Civitas will send the CSB a monthly invoice for the fees and costs incurred. Invoices will include the fixed professional fee and expenses. The basis of calculation or other methods of determining expenses will be clearly identified by item and amount.
INVESTMENT PROVISIONS
Cost Assumptions and Guidelines
We have projected a specific amount of time for the DSBPBID formation. It is assumed that the project will not exceed the budgeted amount of time. If unanticipated matters result in additional time beyond that which has been projected, we would continue billing professional fees of $7,500 per month, plus expenses, for the project duration. Factors that could increase the scope of work and estimated costs outlined above include additional meetings not described in this proposal, analysis of additional issues above those described in this proposal, or a lack of steering committee and property owner involvement in the project.
When Civitas' services conclude, all unpaid charges will immediately become due and payable. In the event the project is completed before the nine (9) month time frame, the CSB will only be invoiced for the professional fees corresponding to the months worked, with payment due within thirty (30) days of project completion. If the project is completed prior to the nine (9) month time frame, the remaining balance of professional fees will be due and payable within thirty (30) days of project completion.
As you know, there are many unknown variables in a project of this nature. Although we would work diligently to form the DSBPBID, factors outside Civitas and the CSB's control could delay or thwart even the best-developed plans. We will work to minimize risks and complete the project at the earliest possible date.
The pricing and scope outlined in this agreement will expire upon sixty (60) days post delivery of this proposal.
Civitas | City of San Bernardino 7
Property Information
The database for this project will rely on information from local government sources. While Civitas will do its utmost to identify and correct any errors, it is acknowledged that data from local government sources ma y contain errors. W e recommend CSB continue to pursue data correction str ategies during and after renewal, including mailings and error checking b y local officials.