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T-289.007\2159423 1
Council Agenda: 12/10/2024
Item Number: 8.1(a)
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF SAN JOSE
ESTABLISHING THE MONTEREY CORRIDOR BUSINESS
IMPROVEMENT DISTRICT PURSUANT TO THE PARKING
AND BUSINESS IMPROVEMENT AREA LAW OF 1989
WHEREAS, under and pursuant to the provisions of the Parking and Business Improvement Area Law of 1989, Section 36500 et seq. of the California Streets and Highways Code (“’89 Law”), the City Council of the City of San José (“City”) on October 8, 2024 adopted Resolution No. RES2024-354, titled “A RESOLUTION OF THE
COUNCIL OF THE CITY OF SAN JOSE DECLARING ITS INTENTION TO ESTABLISH
THE MONTEREY CORRIDOR BUSINESS IMPROVEMENT DISTRICT PURSUANT TO THE PARKING AND BUSINESS IMPROVEMENT AREA LAW OF 1989; FIXING THE
TIME AND PLACE OF A PUBLIC MEETING AND PUBLIC HEARING AND GIVING NOTICE THEREOF; AND APPOINTING AN ADVISORY BOARD TO ADVISE THE CITY
COUNCIL ON ALL ISSUES RELATED TO THE MONTEREY CORRIDOR BUSINESS IMPROVEMENT DISTRICT”; and
WHEREAS, Resolution No. RES2024-354 was duly published, and copies of Resolution No. RES2024-354 were mailed to the affected businesses, as required by the ‘89 Law; and
WHEREAS, as specified in Resolution No. RES2024-354, a public meeting concerning the formation of the Monterey Corridor Business Improvement District (“MCBID”) was held before the City Council on October 29, 2024 at the hour of 1:30 p.m. in the Council Chambers of the City of San José, located at 200 East Santa Clara Street, San José, California; and
WHEREAS, as specified in Resolution No. RES2024-354, a public hearing concerning the formation of the MCBID was held before the City Council on December 10, 2024 at NVF:KMM:KMF
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Council Agenda: 12/10/2024
Item Number: 8.1(a)
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
the hour of 1:30 p.m. in the Council Chambers of the City of San José, located at 200 East Santa Clara Street, San José, California; and
WHEREAS, written protests from the affected businesses in the proposed MCBID paying fifty percent (50%) or more of the proposed assessment have not been received; and
WHEREAS, at said public hearing, ____ written protests were filed, ____ oral protests were made, such protests were considered and duly overruled and denied, and the City Council determined that there was no majority protest within the meaning of Section 36525 of the ‘89 Law; and
WHEREAS, on December 10, 2024, the City Council authorized the City Manager or her designee to negotiate and execute an agreement with Monterey Corridor Business Association (MCBA) for the administration of the MCBID; and
WHEREAS, pursuant to the provisions and requirements of the California Environmental Quality Act of 1970, together with related State CEQA Guidelines and Title 21 of the San José Municipal Code (collectively, "CEQA"), the Director of Planning, Building and Code Enforcement has determined that the provisions of this Ordinance do not constitute a project, under File No. PP17-004 (Government Funding Mechanism or Fiscal Activity with no commitment to a specific project which may result in a potentially significant impact on the environment); and
WHEREAS, the City Council of the City of San José is the decision-making body for this Ordinance; and
WHEREAS, this Council has reviewed and considered the "not a project" determination under CEQA prior to taking any approval actions on this Ordinance;
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Council Agenda: 12/10/2024
Item Number: 8.1(a)
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF SAN JOSE:
1. Pursuant to the ‘89 Law, a parking and business improvement area is hereby established, to be known as the Monterey Corridor Business Improvement District (“MCBID”).
2. The boundaries of the MCBID are described below, and are shown on the map attached hereto as Exhibit A and incorporated herein:
Street Odd Side of the Street Even Side of the Street
10TH 1515 S 10TH ST - 2177 S
10TH ST
1500 S 10TH ST - 2380 S
10TH ST
1ST None 1610 S 1ST ST - 1610 S 1ST
ST
7TH 1555 S 7TH ST - 2345 S 7TH
ST
1404 S 7TH ST - 2070 S 7TH
ST
ALMA None 210 E ALMA AV - 588 E
ALMA AV
ALMADEN None 1550 ALMADEN RD - 1550
ALMADEN RD
BARNARD 111 BARNARD AV - 291
BARNARD AV
64 BARNARD AV - 298
BARNARD AV
BURKE 477 BURKE ST - 577 BURKE
ST None
Capitol 175 W Capitol Expy - 175 W
Capitol Expy None
CIMINO None 270 CIMINO ST - 280
CIMINO ST
CREEK 335 CREEK CT - 355 CREEK
CT
320 CREEK CT - 360 CREEK
CT
CURTNER 1 CURTNER AV - 2199
CURTNER AVE None
DAYLIGHT 2915 DAYLIGHT WY - 2969
DAYLIGHT WY
2912 DAYLIGHT WY - 2994
DAYLIGHT WY
EXPY 1401 EXPY - 1401 EXPY 1492 EXPY - 1680 EXPY
FORD None 1422 FORD AV - 1498 FORD
AV
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Item Number: 8.1(a)
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
Street Odd Side of the Street Even Side of the Street
HILLCAP 3517 HILLCAP AV - 3517
HILLCAP AV
3408 HILLCAP AV - 3630
HILLCAP AV
HILLSDALE None 192 HILLSDALE AV - 198
HILLSDALE AV
HOPE 3065 HOPE ST - 3089 HOPE
ST
3040 HOPE ST - 3060 HOPE
ST
KENBROOK 299 KENBROOK CL - 425
KENBROOK CL None
KYLE PARK 1925 KYLE PARK CT - 1985
KYLE PARK CT None
LA ROSSA 1551 LA ROSSA CL - 1607
LA ROSSA CL
1508 LA ROSSA CL - 1640
LA ROSSA CL
LEO 215 LEO AV - 285 LEO AV 220 LEO AV - 260 LEO AV
LEWIS 33 LEWIS RD - 33 LEWIS RD 130 LEWIS RD - 130 LEWIS RD
LITTLE
ORCHARD
1493 LITTLE ORCHARD ST -
2011 LITTLE ORCHARD ST
1590 LITTLE ORCHARD ST -
1990 LITTLE ORCHARD
MONTEREY 1401 MONTEREY RD - 3111
MONTEREY RD
0 MONTEREY RD - 3930
MONTEREY RD
NEEDLES None 470 NEEDLES DR - 470
NEEDLES DR
PARROTT 499 PARROTT ST - 543
PARROTT ST
480 PARROTT ST - 580
PARROTT ST
PERRYMONT 411 PERRYMONT AV - 475
PERRYMONT AV
426 PERRYMONT AV - 468
PERRYMONT AV
PHELAN 75 PHELAN AV - 365 Phelan
Ave
88 PHELAN AV - 544
PHELAN AV
POMONA 1617 POMONA AV - 1697
POMONA AV
1646 POMONA AV - 1700
POMONA AV
PULLMAN 99 PULLMAN WY - 111
PULLMAN WY
70 PULLMAN WY - 92
PULLMAN WY
SAN JOSE 55 SAN JOSE AV - 359 SAN
JOSE AV
6 SAN JOSE AV - 358 SAN
JOSE AV
SENTER 1661 SENTER RD - 2395
SENTER RD
None
SEVENTH None 1620 SOUTH SEVENTH -
1620 SOUTH SEVENTH
SMITH 1741 SMITH AV - 1801
SMITH AV
1720 SMITH AV - 1802
SMITH AV
SNELL None 3550 SNELL AV - 3620
SNELL AV
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Item Number: 8.1(a)
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
Street Odd Side of the Street Even Side of the Street
SOUTHSIDE 151 SOUTHSIDE DR - 151
SOUTHSIDE DR
None
STAUFFER 189 STAUFFER BL - 193
STAUFFER BL
188 STAUFFER BL - 198
STAUFFER BL
STONE 1815 STONE AV - 2185
STONE AV
1712 STONE AV - 1990
STONE AV
TULLY 85 TULLY RD - 585 TULLY
RD
88 TULLY RD - 150 TULLY
RD
TULLY OLD 55 TULLY OLD RD - 131
TULLY OLD RD
None
UMBARGER None 50 UMBARGER RD - 100
UMBARGER RD
3. The purpose for forming the BID is to provide revenues for physical maintenance, marketing, and promotion efforts to increase commercial activity in the Monterey Road business corridor between Capitol Expressway and Alma Avenue in central San José. The improvements and activities to be provided in the MCBID will be funded by the levy of assessments. The revenue from the levy of assessments shall not be used to provide improvements or activities outside the MCBID or for any purpose other than the purposes specified in the MCBID’s annual budget as approved by the City Council.
4. All businesses operating within the MCBID will be charged an assessment rate of $250.00 annually.
5. Initially, assessments will be billed and collected through the City’s general invoicing system, separate from the annual business tax. Once the City’s new business tax system is implemented, assessments will be collected from the MCBID businesses at the same time and in the same manner as the City’s business tax.
6. Any MCBID business who fails to remit the assessments within the time required shall pay a first penalty of ten percent (10%) of the amount of the delinquent NVF:KMM:KMF
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Council Agenda: 12/10/2024
Item Number: 8.1(a)
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
assessment in addition to the amount of the delinquent assessment. Any MCBID business who fails to remit any assessment on or before thirty (30) days after its due date shall pay a second penalty of ten percent (10%) of the amount of the delinquent assessment in addition to the amount of the delinquent assessment and the first penalty. If the City’s Director of Finance or MCBA determines that the failure to remit the assessment is because of an intentional, material misrepresentation or omission, or fraud by the MCBA business, an additional penalty will be imposed on the MCBA business in the amount of twenty-five percent (25%) of the delinquent assessment. Any business who fails to remit on or before the due date any assessment shall pay interest on the delinquent assessment and on any assessed penalty or penalties as set forth in Chapter 1.17 of Title 1 of the San José Municipal Code. Any penalty or interest collected by the City from delinquent assessments shall be forwarded to MCBA. If a business does not pay the total amount of the outstanding combined business tax and assessments, the City shall send up to two delinquent notices to collect any past due assessments. If the City takes any action on business tax delinquencies against a business with delinquent assessments, the City shall also attempt to collect the delinquent assessments. After one hundred twenty (120) days of delinquency, the City shall have the option to refer accounts to a collection agency.
7. The City shall disburse to MCBA all collected MCBID assessments and all penalties and interest collected on delinquent MCBID assessments.
Disbursements shall be made in such manner as the parties mutually agree upon in writing. MCBA may expend any funds received only for the purposes authorized by this Ordinance and only in accordance with the budget as approved by the City Council.
8. The City will charge an administrative fee for its costs to collect the MCBID assessment. The City’s monthly administrative charge will be one percent (1.0%) NVF:KMM:KMF
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Council Agenda: 12/10/2024
Item Number: 8.1(a)
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
of the assessment collected by the City, and the amount will be reviewed annually as part of the annual report submitted by the Board of Directors of MCBA (“Advisory Board”) to the City. The administrative charge will be made to the City as a deduction from the assessments the City will forward to MCBA.
9. The MCBID’s fiscal year shall be from July 1 through June 30. Funds remaining at the end of any fiscal year may be used in the subsequent fiscal year if the levy of an assessment is approved by the City Council for that fiscal year and the funds are used in accordance with the ‘89 Law.
10. New businesses within the MCBID will not be exempt from the levy of assessments as authorized by Section 36531 of the ‘89 Law.
11. The City Council finds that the businesses within the MCBID will be benefited by the improvements and activities funded by the assessment to be levied.
12. All protests, both written and oral, are overruled and denied, and the City Council finds that there is no majority protest within the meaning of Section 36525 of the ‘89 Law.
13. All of the businesses in the MCBID established by this Ordinance shall be subject to any amendments to the provisions of the ‘89 Law.
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Council Agenda: 12/10/2024
Item Number: 8.1(a)
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
PASSED FOR PUBLICATION of title this _____ day of ___________, 2024, by the following vote:
AYES:
NOES:
ABSENT:
DISQUALIFIED:
MATT MAHAN
Mayor
ATTEST:
TONI J. TABER, MMC
City Clerk
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11/20/2024
T-289.007\2159423 A-1
Council Agenda: 12/10/2024
Item Number: 8.1(a)
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.
EXHIBIT A
DISTRICT BOUNDARIES