TO: HONORABLE MAYOR
AND CITY COUNCIL
FROM: Lee Wilcox
SUBJECT: See Below DATE: May 27, 2025
Approved
Date:
5/30/25
COUNCIL DISTRICT: 7,8
SUBJECT: Public Hearing on the Tully Road Eastridge Business Improvement District and Levy of Assessments for Fiscal Year 2025-2026
RECOMMENDATION
Conduct a Public Hearing and adopt a resolution approving the Tully Road Eastridge Business Improvement District Budget Report for Fiscal Year 2025-2026 as filed or modified by City Council and levying the Tully Road Eastridge Business Improvement District assessments for Fiscal Year 2025-2026.
SUMMARY AND OUTCOME
Approval of this action will result in the levy of assessments for the upcoming fiscal year of the Tully Road Eastridge Business Improvement District (Tully Road Eastridge BID).
BACKGROUND
The Tully Road Eastridge BID was established by City Council in 2024 pursuant to the California Parking and Business Improvement Area Law of 1989 (BID Law) to promote the economic revitalization and physical maintenance of the Tully Road - Eastridge Business District service area as shown in Attachment A – TREBID Boundary Map. City Council appointed the Tully Road Eastridge Business Association as the Advisory Board for the Tully Road Eastridge BID, to advise City Council on the levy of assessments in the Tully Road Eastridge BID and manage the expenditure of revenues derived from the assessments for the benefit of the Tully Road Eastridge BID.
On June 3, 2025, the City Council preliminarily approved the Fiscal Year 2025-2026 Budget Report as filed by the Advisory Board shown in Attachment B – Budget Report, adopted a resolution of intention to levy the annual assessments for Fiscal Year 2025- COUNCIL AGENDA: 6/17/25
FILE: 25-721
ITEM: 8.4
HONORABLE MAYOR AND CITY COUNCIL
May 27, 2025
Subject: Public Hearing on the Tully Road Eastridge Business Improvement District and Levy of Assessments for Fiscal Year 2025-2026
2026 for the Tully Road Eastridge BID, and set June 17, 2025, at 1:30 p.m. as the date and time for the required Public Hearing on the levy of the proposed Fiscal Year 2025- 2026 assessments. In accordance with BID Law, the City Clerk published the required legal notice on the levy of assessments for Fiscal Year 2025-2026.
ANALYSIS
Under BID law, when a Public Hearing is held to levy assessments of a BID, the City Council shall hear and consider all protests against the continued authorization of the BID, the extent of the area, the assessments, and the furnishing of specified improvements or activities. Protests may be made orally or in writing. Written protests must be filed with the City Clerk at or before the time fixed for the public hearing. BID Law also requires that the proceedings shall terminate if protests are made in writing against the continued authorization of the BID by businesses or property owners in the proposed district that will pay a majority of the assessed charges. If the majority protest is only against the furnishing of a specified type or types of improvement or activity within the area, those improvements or activities shall be eliminated.
As required by the BID Law, the Budget Report has been filed with the City Clerk and contains a list of the improvements and activities proposed to be provided in the Tully Road Eastridge BID in Fiscal Year 2025-2026 and an estimate of the cost of providing the improvements and activities. The Advisory Board has recommended no change in the Tully Road Eastridge BID boundaries or the method and basis for levying assessments. Therefore, the proposed assessments in the Tully Road Eastridge BID for Fiscal Year 2025-2026, described in the Budget Report, are the same as the assessments for Fiscal Year 2024-2025.
During the course of or upon the conclusion of the public hearing City Council may order changes in any of the matters provided in the Advisory Board’s report. At the conclusion of the public hearing, City Council may adopt a resolution confirming the Budget Report as originally filed or as modified by City Council. The adoption of the resolution constitutes the levy of the assessment for the Fiscal Year 2025-2026.
EVALUATION AND FOLLOW-UP
The Advisory Board will come before City Council next year to present a report that proposes a budget for the Fiscal Year 2026-2027.
HONORABLE MAYOR AND CITY COUNCIL
May 27, 2025
Subject: Public Hearing on the Tully Road Eastridge Business Improvement District and Levy of Assessments for Fiscal Year 2025-2026
COST SUMMARY/IMPLICATIONS
The Tully Road Eastridge BID assessments are restricted for use exclusively by the Tully Road Eastridge BID. It is anticipated that a healthy Tully Road Eastridge BID will encourage the growth of the retail community, which indirectly generates business tax and sales tax for the City. The Fiscal Year 2025-2026 Proposed Operating Budget, subject to City Council approval, includes projected assessment revenue and corresponding expenses totaling $108,000, as detailed in the Source and Use Statement for the Business Improvement District Fund (351). The City will retain an administrative fee equal to one percent of the amount of the assessment revenue collected, estimated at $1,080 for Fiscal Year 2025-2026. The total payment to the Advisory Board from the levying of assessments in the Fiscal Year 2025-2026 is forecast at $106,920.
COORDINATION
This memorandum has been coordinated with the City Attorney's Office, City Clerk's Office, City Manager's Budget Office, Finance Department, Planning, Building, and Code Enforcement Department, and the Tully Road Eastridge Business Association.
PUBLIC OUTREACH
In accordance with BID Law, the City Clerk published the required legal notice with regard to the levy of assessments for Fiscal Year 2025-2026. The budget for Fiscal Year 2025-2026 was reviewed and approved by the Advisory Board on May 9, 2025 as shown in Attachment C – TREBA Board Minutes.
This memorandum will be posted on the City’s website for the June 17, 2025 City Council meeting agenda.
COMMISSION RECOMMENDATION AND INPUT
No commission recommendation or input is associated with this action.
CEQA
Not a Project, 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.
HONORABLE MAYOR AND CITY COUNCIL
May 27, 2025
Subject: Public Hearing on the Tully Road Eastridge Business Improvement District and Levy of Assessments for Fiscal Year 2025-2026
PUBLIC SUBSIDY REPORTING
This item does not include a public subsidy as defined in section 53083 or 53083.1 of the California Government Code or the City's Open Government Resolution.
LEE WILCOX
Assistant City Manager
Acting Director, City Manager’s Office of
Economic Development and Cultural
Affairs
The principal authors of this memorandum are Minh Tran, Executive Analyst, City Manager’s Office of Economic Development and Cultural Affairs, and Victor Farlie, Assistant to the City Manager, City Manager’s Office of Economic Development and Cultural Affairs. For questions, please contact Minh Tran, at [email protected] or 408-535-8100.
ATTACHMENTS
A: TREBID Boundary Map
B: Budget Report
C: TREBA Board Minutes
Attachment A: TREBID Boundary Map
Attachment B: Budget Report
Tully Road Eastridge Business Improvement District FY 2025-26 Budget Amount
$108,000
$64,800
$1,080
$8,000
$27,500
Revenue
BID FY 2025-26 (Estimated)
Expenses
Clean and Safe
Business License
Administration
Events and Activation
Board Meeting/Reserves
$6,000
Total Expenses $107,380
Attachment C: TREBA Board Minutes
Tully Road-Eastridge Business Association
(TREBA) Tully Rd. –Eastridge Business Association
(TREBA) Special Board Meeting Friday,
May 9 2025 | 11AM Whatsapp Call
Start meeting 11am
1. Present:
a. Christina Bui, Owner of Christina Ao Dai & Designs, Board Chair b. An Ngo, Cathay Bank, Board Treasurer
c. Dilpreet Bhandal, Lion Liquors, Board Member
d. Ken Bhatti, SBA and Business Lender of Cathay Bank, Board Member e. Eric Perez, Eastridge Mall – Board Member
f. Vic Ram, AAA Auto Repair, Board Member
g. Isabel Sarellano, Xclusive Events Décor, Board Member
I. Consent Action item(s):
a. Approve TREBA’s annual budget 2025-2026
Motion made by: Eric Perez
Motion Second by: An Ngo
Motion Second by: Dilpreet Bhandal
All in favor motion Passed