TO: HONORABLE MAYOR
AND CITY COUNCIL
FROM: John Ristow
Matt Loesch
SUBJECT: See Below DATE: May 27, 2025
Approved
Date:
6/3/25
COUNCIL DISTRICT: 3 and 6
SUBJECT: Actions Related to the Downtown San José Property-Based Business Improvement District Annual Report for Fiscal Year 2025- 2026
RECOMMENDATION
Adopt a resolution:
(a) Approving the Downtown San José Property-Based Improvement District Annual Report prepared by the Downtown San José Property Owners’ Association for Fiscal Year 2025-2026, as filed or modified by City Council;
(b) Confirming the individual assessments as proposed by the Downtown San José Property Owners Association, or as modified by City Council; and
(c) Directing the Director of Public Works to deliver the assessment roll to the County of Santa Clara for collection with the property taxes.
SUMMARY AND OUTCOME
The Downtown San José Property-Based Improvement District (PBID) annual report describes the planned activities for the district for the upcoming fiscal year. The report also details how the assessment rate is calculated, the percentage increase in the assessment rate, and justification for the increase. The Downtown San José PBID is recommending an assessment increase of 2.5% on all parcels for the 2025-2026 fiscal year to keep pace with anticipated cost increases. Acceptance of the annual report ensures that there is no disruption of Downtown San José PBID services and allows the Department of Public Works to authorize the County of Santa Clara to continue the collection of district assessments on the County of Santa Clara property tax rolls.
COUNCIL AGENDA: 6/17/25
FILE: 25-711
ITEM: 2.43
HONORABLE MAYOR AND CITY COUNCIL
May 27, 2025
Subject: Actions Related to the Downtown San José Property-Based Business Improvement District Annual Report for Fiscal Year 2025-2026
BACKGROUND
The Downtown San José PBID was originally approved by property owners and adopted by the City Council on August 7, 2007, for an initial five-year period to raise funds for enhanced services and improvements for the district above those services provided by the City from generally available funds. The PBID was expanded and renewed on June 19, 2012, for a 10-year term, which ended on December 31, 2022, and was again renewed on June 14, 2022, for a second 10-year term, which began January 1, 2023, and will run through December 31, 2032.
Since the enhanced services directly benefit individual parcels within the district rather than the City as a whole, the costs are assessed to these benefiting parcels. The current voter-approved assessment formula provides for an annual rate increase not to exceed 5% for all parcels and an additional 5% on commercial and enterprise government parcels per year to keep pace with the Bay Area Consumer Price Index for all urban consumers and/or other changes in program costs.
ANALYSIS
On May 5, 2025, the San José Downtown Property Owners’ Association (POA) submitted the Downtown San José PBID Annual Report for Fiscal Year (FY) 2025-26 (Annual Report) to the City Council (Attachment A). Submittal of the Annual Report meets the requirements of Part 7 of Division 18 of the California Streets and Highways Code “Property and Business Improvement District Law of 1994” for reporting and is in accordance with the agreement between the City and the POA. This Annual Report will be on file in the City Clerk’s Office prior to the City Council meeting, and contains the following information, which is consistent with the Engineer’s Report for the Downtown
San José PBID:
1. Declaration of no material changes to the district.
2. FY 2025-2026 improvements and activities.
3. Cost estimates for FY 2025-2026 improvements and activities.
4. Method and basis of levying FY 2025-2026 assessments.
5. Amount of surplus revenue to be carried over.
6. Non-assessment revenue.
Highlights of services that will be provided by the Downtown San José PBID in FY 2025-2026 are outlined below.
Groundwerx Enhanced Cleaning Program: District priorities for the cleaning program will continue to focus on graffiti removal, debris removal, sidewalk sweeping, and sidewalk cleaning/stain removal. The program continues to be effective and popular with members, earning a 94% approval rating in the recent November 2024 member
HONORABLE MAYOR AND CITY COUNCIL
May 27, 2025
Subject: Actions Related to the Downtown San José Property-Based Business Improvement District Annual Report for Fiscal Year 2025-2026
annual survey. Since 2022, the renewed district features one benefit zone along an expanded downtown footprint, that requires 25 to 28 full-time equivalent maintenance staff. Downtown San José PBID cleaning services are provided 20 hours each day.
Groundwerx Ambassador Program: Groundwerx ambassadors greet and offer information to downtown pedestrians and work with partner agencies to connect the downtown homeless population to available resources. The Ambassador Program received a 95% approval rating from downtown property owners. The POA is not proposing any significant changes to the Groundwerx Ambassador Program in FY 2025-2026.
District Enhancements – Business Development and Enhanced Security Programs:
Year to date, the Downtown San José PBID has assisted 100+ small businesses on permitting issues, identifying available space, assessing the downtown market, and understanding relevant regulations. This service will continue in the upcoming year.
The Downtown San José PBID Budget for FY 2025-2026 (Attachment B) allocates $200,000 in funding to continue the Enhanced Security program utilizing on-duty San José police officers to provide supplemental security within the district. This program is budgeted for 50 hours of weekly coverage with the Downtown San José PBID boosting a standard roster of 10 on-duty officers that can be utilized to staff each shift and with eight additional officers available to fill in as needed.
Street Tree and Enhanced Maintenance: The Downtown San José PBID will continue its Street Tree and Enhanced Maintenance services in FY 2025-2026, which provide pruning of downtown street trees, replanting trees, and implementation of pest control measures to ensure a healthy downtown community forest. In 2024, the tree maintenance service received a 90% approval rating from downtown property owners and will focus its efforts in the upcoming year on trees contained in the expansion area.
The Downtown San José PBID anticipates pruning approximately 700 - 800 trees in the next year.
Downtown Street Life Projects: The design, implementation, and ongoing maintenance of Street Life activation projects is an important function of the Downtown San José PBID. These projects provide a direct benefit to the downtown area and will improve its image as a local destination. Completed Street Life projects received a 95% approval rating in the annual survey.
In FY 2022-2023, the Downtown San José PBID produced a Comprehensive Lighting Plan for the downtown core that identified a variety of lighting projects that range in size, scope, and cost. These projects were intended to attract more people to the downtown by making the streets more vibrant, while also providing pedestrians with a heightened sense of comfort as they explore downtown. The Downtown San José PBID will continue to work towards advancing these efforts in the next year.
HONORABLE MAYOR AND CITY COUNCIL
May 27, 2025
Subject: Actions Related to the Downtown San José Property-Based Business Improvement District Annual Report for Fiscal Year 2025-2026
Murals have also been a big part of previous Downtown San José PBID Street Life efforts and will continue to play a prominent role in the upcoming year. The Downtown San José PBID anticipates working with professional muralists but will emphasize lower-cost, volunteer mural opportunities resulting from increased demand for community engagement and art-focused activities for the district.
The Downtown San José PBID’s volunteer program, Volunteer-Powered Beautification, will continue in FY 2025-2026. Two different projects are offered: park/trail clean ups and mural/furniture paintings. PBID staff build awareness and recruit volunteers for these community-based opportunities.
A new component of Street Life will be introduced called “Stitching Districts.” The “Stitching Districts” concept envisions lighting to create a pedestrian corridor from San Pedro Street along West St. John through Little Italy and reaching the SAP Center at Barack Obama Boulevard. The goal is to identify and enhance the traveling experience at key areas. For instance, planters are planned to be placed beneath Highway 87. The Downtown San José PBID will use pedestrian traffic data to guide these efforts.
Social Impact Team: Homeless concerns still rank high on the Downtown San José
PBID’s priorities as indicated by 81% of those completing the annual survey. The Downtown San José PBID has implemented a Social Impact Team to work with the downtown homeless population to ensure this population is connected to housing programs and services provided by the City of San José and County of Santa Clara.
The Social Impact Team may employ up to four full-time equivalent positions, including a trained social worker and outreach case managers.
Proposed Downtown San José PBID Assessment for FY 2025-2026
The San José Downtown POA Board of Directors recommends a 2.5% assessment increase on all parcels for FY 2025-2026 and estimates this assessment will generate approximately $129,925 in additional revenue. Increased assessment funds will offset the costs associated with additional cleaning, maintenance, and beautification coverage in the Downtown San José PBID areas.
The San José Downtown POA is projecting that the total maximum assessment levy for FY 2025-2026, including some new development and assessments on City properties, is estimated to be $5,233,637, net of fees. It is possible that less than this amount will be collected due to delinquencies, property transfers, and other non-payments. As a property owner within the district, the City’s assessment will be $824,656.
In addition, the City’s annual baseline service contribution is $490,149. Funds are included in the City’s FY 2025-2026 Proposed Operating Budget to provide a base level of cleaning in certain areas of downtown, such as SoFa (S. First Street area), San Pedro Square, along the Transit Mall, and the Center for Performing Arts. Baseline
HONORABLE MAYOR AND CITY COUNCIL
May 27, 2025
Subject: Actions Related to the Downtown San José Property-Based Business Improvement District Annual Report for Fiscal Year 2025-2026
services in these areas include emptying public trash cans, pressure washing, sidewalk cleaning, graffiti removal, and ambassador services. The City’s additional services contribution for paseo maintenance and supplemental services is $74,246 and the general benefit contribution is $52,309 for FY 2025-2026. The baseline service, additional services, and general benefit contributions are adjusted annually by the Consumer Price Index. The current Downtown San José PBID agreement commenced in January 2023 and covers a 10-year term that will end on December 31, 2032.
The Downtown San José PBID service area map (Attachment C) will be on file in the City Clerk’s office prior to the June 17, 2025 City Council meeting.
EVALUATION AND FOLLOW-UP
The attached Annual Report by the San José Downtown POA sets the budget and proposed assessments for FY 2025-2026 and is consistent with the approved PBID Management Plan/Engineer’s Report. The current agreement between the City and the San José Downtown POA also requires the San José Downtown POA to submit an Annual Financial Report containing an independent Certified Public Accountant Review Report in October of each year after the close of the fiscal year.
COST SUMMARY/IMPLICATIONS
If the Downtown San José PBID Annual Report for FY 2025-2026 is accepted, the City assessment will be $824,656. In addition, the City, subject to appropriation of funds, would continue baseline funding for the Downtown San José PBID of $490,149, additional services funding of $74,246, and general benefit contribution of $52,309. The funding for these items is included in the 2025-2026 Proposed Operating Budget.
COORDINATION
This memorandum has been coordinated with the City Attorney’s Office, the City Manager’s Budget Office, and the Planning, Building and Code Enforcement Department.
PUBLIC OUTREACH
This memorandum will be posted on the City’s Council Agenda website for the June 17, 2025 City Council meeting. The Downtown San José PBID Annual Report and PBID Budget are filed in the City Clerk’s Office for public review and will also be made available to the property owners within the districts upon request.
HONORABLE MAYOR AND CITY COUNCIL
May 27, 2025
Subject: Actions Related to the Downtown San José Property-Based Business Improvement District Annual Report for Fiscal Year 2025-2026
COMMISSION RECOMMENDATION AND INPUT
No commission recommendation or input is associated with this action.
CEQA
Categorically Exempt, File No. ER23-096, Citywide Downtown Property-Based Improvement District CEQA Guidelines Section 15301(c), Existing Facilities. .
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.
/s/ /s/
JOHN RISTOW MATT LOESCH
Director of Transportation Director of Public Works
For questions, please contact Eric Hon, Division Manager, Department of Transportation, at (408) 794-1987.
ATTACHMENT:
A – Downtown San José PBID Annual Report for FY 2025-2026 B – Downtown San José PBID Budget for FY 2025-2026
C – Downtown San José PBID Service Area Map
Dow
ntown San Jose Property-Based Improvement District
Annual Report for Fiscal Year 2025-26
by the Downtown San Jose Property Owners’ Association
May 5 2025
1. Property-Based Improvement District
The Downtown San Jose Property-Based Improvement District (PBID) is a special benefit assessment district (District) that conveys special benefits to the properties located within the District boundaries.
The PBID encompasses the core of the downtown area bounded approximately by Fourth Street and Seventh Street to the east, St. James, Devine and Julian streets to the north, Highway 87 and the SAP Center to the west and Market and First streets south to Reed Street. The PBID was renewed on June 14, 2022.
The new term began on January 1, 2023 and runs through December 31, 2032.
2. Improvements and Activities to be provided in FY 2025-26 There are no significant service level changes for the Groundwerx cleaning program in fiscal year 2025-26.
Service levels will continue to be consistent with the benchmarks identified in the PBID management plan, however, the daily deployment may vary slightly throughout the year to accommodate special events and other district needs.
The overall security of downtown is a top priority for downtown property owners. In the November 2024 member survey, 84 percent of respondents indicated that this was the most important downtown issue.
Groundwerx will continue to proactively address graffiti, sidewalk debris and provide regular sidewalk cleaning/stain removal to ensure that downtown is maintained at the highest level.
The Groundwerx
cleaning program continues to impress members as evidenced by a 94 percent approval rating in the recent survey.
Downtown business and property owners also continue to see value in the Groundwerx ambassador program.
Ambassadors received a 95 percent approval rating in the 2024 survey. Groundwerx 1/7
ATTACHMENT A
PBID Annual Report for FY 2025-2026
ambassadors provide a wide range of services within the district such as disseminating downtown information to visitors, reporting issues to property owners and serving as the “eyes and ears” of the district by reporting security issues.
Ambassadors assist the clean team by abating small graffiti and reporting messes to their cleaning counterparts.
Results from the 2024 survey indicate that businesses and property owners remain concerned about the downtown homeless population with 87 percent of the respondents identifying working with homeless individuals and service providers as a priority.
To address this concern, the PBID has established a
Social Impact Team in 2023. 78 percent of members are still unfamiliar with the Social Impact Team.
Street Life projects and downtown image enhancements continue to receive high marks from PBID members.
A 95 percent approval rating was given to previous projects, and multiple PBID members and organizations outside the District have reached out to discuss potential Street Life collaborations in the near future. The PBID continues to apply for grants, seek private contributions and lean on established relationships to better leverage assessment funding to implement more projects.
In FY 25-26, SJDA will advance the implementation of the Comprehensive Lighting Plan for the downtown core—a strategic, multi-year initiative designed to enhance street vibrancy and improve nighttime safety for pedestrians. Each installation will rely on partnerships with property owners, City staff, local artists, and community stakeholders. As part of this phased approach, PBID staff will also conduct follow-up assessments on energy usage and costs associated with recent upgrades along Santa Clara Street and Circle of Palms, recognizing the importance of aligning with the City's infrastructure capacity. Data collection will be essential to guide future phases.
Additionally, SJDA will support the City of San Jose’s “Stitching Districts Together” initiative by installing new string lighting to create a continuous, welcoming pedestrian corridor from San Pedro Street through St. John, Little Italy, and to the SAP Center. Unlike previous lighting efforts, these fixtures will wrap around street lamps to form a cohesive, illuminated pathway for both Sharks fans and everyday pedestrians. Efforts will extend to SoFA District, also referred to as our Art District, lighting up tree canopy with programmable lighting to support yearly events and activations.
Complementing these lighting improvements, landscaping efforts will also be integrated into the activation of the Highway 87 underpass through the installation of planters, further supporting the “Stitching Districts Together” program. Following a recent restructuring of our landscape deployment plan using Placer.ai heat maps, we are now better equipped to make data-informed decisions on planter placement that will enhance the pedestrian experience in high-traffic zones. To further strengthen our approach to urban greening, we are also digitizing the downtown tree canopy using the TreePlotter Software Suite.
A full inventory of all 2,500 trees is scheduled for June 2025, enabling SJDA to leverage the system’s web-based GIS tools for asset management, mobile data collection, and strategic urban forestry planning. Used globally by governments, private enterprises, and nonprofits, TreePlotter Projects offers a robust platform for planning, tracking, and visualizing the long-term health and distribution of urban trees—positioning us to manage and expand our canopy with greater accuracy and impact.
As part of its continued commitment to placemaking and beautification, the Street Life Program will further activate downtown San Jose through the expansion of its mural initiatives, incorporating both large-scale professional works and smaller, community-driven pieces. In response to growing interest 2/7
ATTACHMENT A
PBID Annual Report for FY 2025-2026
from residents and local employees for arts-based engagement, the PBID team is placing particular emphasis on low-cost, volunteer-powered murals in collaboration with San Jose artists. These efforts not only activate blank walls and underutilized spaces but also foster civic pride and a sense of ownership among community members. A key upcoming project includes the transformation of Botown—soon to be a vibrant pickleball court—through a collaborative mural effort involving local stakeholders and property owners. Central to this work is the identification and inclusion of San Jose’s artistic subcultural bearers, whose unique voices and perspectives will help shape murals that reflect and celebrate the city’s evolving identity. By weaving together art, community, and place, the Street Life Program continues to build a more colorful, welcoming, and representative downtown experience.
The PBID’s volunteer program, volunteer-powered beautification, will continue in FY 25-26. Two different types of volunteer efforts are offered: park/trail clean ups and mural/furniture paintings. Volunteers are recruited via social media, website, direct promotion, town halls, Eventbrite, and VolunteerMatch.
Park and Trail clean ups: PBID staff co-host a trail and park clean up with Guadalupe River Park Conservancy (GRPC) for Earth Day. Volunteers focus on collecting litter in the park, trail, and occasionally in the creek. PBID staff provides water and snacks, while GRPC provides supplies and instruction.
Painting: PBID staff co-host painting events with multiple organizations to paint murals or public furniture such as benches.
In FY 25-26, PBID staff plan on hosting 2-3 volunteer opportunities for the community. Two of these volunteer events include a mural painting for Post St and furniture painting on the Paseo de San Antonio.
PBID staff will be partnering with neighboring council district offices, neighboring academic institutions, and residential organizations to promote the events.
The PBID’s street tree and enhanced maintenance (minor public space repairs) services will continue in the new fiscal year.
The PBID street tree program was implemented in 2010 and remains a popular service with property owners (89.9 percent approval in 2024). In the upcoming FY 25-26, the PBID will assess the needs of the District with emphasis on the expansion areas. The tree pruning schedule will maintain an estimated 700-800 trees and ungirdling work will be ongoing as needed. The PBID will continue to provide supplemental pruning, implement disease control measures, monitor conditions at the base of the trees and replant or plant new trees to ensure a healthy street tree canopy.
The PBID will continue its District Enhancements, which includes the Business Development program and Enhanced Security.
The Economic Development Director and Community Engagement Manager work closely with the City’s Planning Department and Office of Economic Development to assist business and property owners in the permitting and development process. Year to date in FY 2025-26, the PBID has assisted 100+ small businesses in varying stages of permitting, identifying space, assessing the downtown market and understanding relevant regulations.
The PBID has budgeted for a five-day a week Enhanced Security program that provides 50 hours of weekly deployment hiring off-duty San Jose police officers. At this time, the PBID has ten on-duty officers to staff each shift, with eight alternate officers. For FY 2025-26, the budget for this program is $200,000.
3/7
ATTACHMENT A
PBID Annual Report for FY 2025-2026
The Downtown San Jose Property Owners’ Association (SJPOA) Board of Directors recommends an assessment increase of two and a half percent for FY 2025-26 to keep pace with projected service cost increases, such as the City of San Jose’s mandated living wage requirement.
With the renewal of the District, the PBID board moved forward with retaining the Community Engagement Manager (CEM) role for the duration of the new District. The new CEM's area of operation has placed a special emphasis on highlighting and promoting the many small businesses in Downtown San José.
District assessment revenue is projected to increase by $129,925. In the wake of the COVID-19 pandemic and slow return of office workers, the demand for PBID services remains high including: higher demand for Groundwerx, small business support and business development services, as many retail businesses are likely to need direct assistance. Street life projects will also be in demand, from activating vacant storefronts to enhanced and decorative lighting, projects that draw people into the District will be needed more than ever.
The table below reflects clean team and ambassador services for FY 2025-26, as well as the proposed service output in the District Management Plan (Management Plan).
Clean Management Plan Proposed FY
25-26
Maintenance F.T.E. 25 to 28 25 to 28
Average weekly coverage 7 days 7 days
Pan & Broom, Litter Removal/All-Terrain Litter
Vacuum/Machine Sweeping/Transit Stop Maintenance *
20 hours/day 20 hours/day
Steam Cleaning/Pressure Wash Six to Twelve
times per year
Six to Twelve
times per year
Graffiti Reporting/Cleaning Daily as Needed Daily as Needed Light Landscape/Weeds As Needed As Needed
SWAT Patrol or “emergency cleaning” As Needed As Needed Tree Maintenance Approx ¼ of street
trees/year
Approx ¼ of
street trees/year
Safe (Information and Safety Ambassadors)
Ambassadors F.T.E.** 9-14 9-14
Coverage in all areas 24-32 hours 24-32 hours
Social Impact Team F.T.E. Approx 5 4
4/7
ATTACHMENT A
PBID Annual Report for FY 2025-2026
Outreach Not quantified 16-22 hours/day
*For FY 25-26 this includes one full time painter to mitigate graffiti within the PBID.
**Under the current service deployment model there are 9 regular ambassadors. This number may vary as a result of changes in District needs. The implementation of new programs could also potentially impact the FTE range for ambassadors.
PBID administrative costs account for 15-20% percent of revenue received, as approved by the POA Board of Directors and reflected in the Management Plan. Administrative costs include dedicated staff (Operations Manager, PBID Coordinator, Street Life Manager, Economic Development Director, and part of the Community Engagement Manager), the San Jose Downtown Association management fee, office supplies, postage, professional services and other miscellaneous costs.
3. Estimate of Costs for Improvements and Activities in FY 2025-26
The estimated total cost for improvements and activities for FY 2025-26 is $6,311,925.
The table below summarizes the total estimated costs for providing the services to meet the needs of the District in FY 2025-26:
Improvements & Activities Estimated costs
Cleaning $2,155,746
Information/Safety Ambassadors $1,321,264
Social Impact Team $440,556
Image Enhancements (Street Life/Beautification)/Tree Maintenance/Enhanced Maintenance
$1,056,500
Business Development and Community Engagement $230,000
Enhanced Security (SJPD Secondary Employment) $200,000
District Enhancements (Supplies, PBID Coordinator) $63,800 Administration $671,728
Fee for Service Contracts $122,331
Communications $50,000
TOTAL $6,311,925
5/7
ATTACHMENT A
PBID Annual Report for FY 2025-2026
Revenue Source Projected Revenue
Assessments $ 5,233,637
City of San Jose Baseline Funding $490,150
Other Contracts/Miscellaneous $611,011
TOTAL $ 6,334,799
The attached proposed District budget provides detailed estimates of revenues and expenses, including use of beginning fund balance.
4. Method and Basis of Levying FY 2025-26 Assessments
The methodology for levying District assessments will remain the same for FY 2025-26. Service benefits are distributed to the lot and building square footage through a “cost allocation” approach – the costs of specific services are allocated to the assessment variables that benefit most from services.
The sum of lot and building square footage are the primary assessment variables for cleaning, ambassador and beautification/image enhancement costs.
Benefits from all District activities are
designed to improve ease of use, image, occupancy, and sales and are distributed to all properties and those using and occupying those buildings.
The inclusion of lot square footage in the calculation
acknowledges the greater benefits of these services to the ground level of property. With the renewed District, the distinction between premium and basic levels of clean and safe services has been discontinued.
The table below reflects proposed assessment increases for the FY 2025-26: a two and a half percent increase for Residential, Government-Traditional and Non-Commercial parcels.
Area Per square
foot
of Lot
FY 2025-26
Per square
foot
of Building
FY
2025-26
Commercial, Enterprise Government $ 0.14696 $ 0.14696
Residential, Traditional Gov’t, Other Non-Commercial (image enhancement assessment not included)
$ 0.11658 $ 0.11658
5. Amount of Surplus Revenue to be carried over from previous fiscal year
6/7
ATTACHMENT A
PBID Annual Report for FY 2025-2026
The PBID will carry over a projected fund balance of $906,799. The PBID receives a two percent discount by paying Block by Block, its primary Groundwerx service provider, on a quarterly schedule.
Each FY 2025-26 quarterly installment is approximately $835,164 (with discount).
The carry over may also be used to fund unanticipated program costs, such as new Downtown Street Life projects and other District enhancements.
Additional dollars from the fund balance may also be
needed to cover expenses such as repair or replacement of equipment.
6. Contributions from non-assessment revenue
The City of San Jose will contribute baseline service funding in the amount of approximately $490,150 for FY 2025-26. With the renewed District, the City of San Jose will also contribute $52,309 to cover half of the estimated general benefit created by the District, and $25,184 for portering services along Paseo de San Antonio.
Each of these contributions represent a 2.76% CPI increase for FY 25-26, as determined by the Department of Public Works.
Smaller scale fee for service work on private property on a regular and as-needed basis makes up a small portion of the fee for service work the PBID currently provides.
To ensure the success of the new initiative of Stitching Districts, the SJPOA Board has committed to raising $150,000 from property owners and private philanthropy. The Board is also pursuing a one-time contract with the Office of Economic Development for additional funds to cover the cost of the project. At this time, that contract has not been finalized but is anticipated to be an approximately $200K passthrough from SJDA to PBID.
SJDA will enter Year 5 of the Beautiful Tableau Grant in FY 25-26. This grant from the Knight Foundation bolsters new and existing services of the SJDA including PBID Street Life projects, marketing efforts, accounting systems, and pilot lighting projects recommended by the Comprehensive Lighting Plan. The Beautiful Tableau grant distributes $994,500 over a 5 year transition period for Downtown San Jose in an effort to recover from the effects of COVID-19.
7/7
ATTACHMENT A
PBID Annual Report for FY 2025-2026
REVENUE
Assessments
Assessments - thru sec
less assessment charges sec
Assessments - exempt thru SJ
less assessment charges SJ
Assessment - thru PBID
Net Assessments
City baseline
General Benefit
PaseotParks Maintenance
Contracts
Grants
Miscellaneous & Interest
TOTAL REVENUE
!EXPENSES
CLEAN TEAMS
Contract service
Contract baseline
Subtotal
SAFETY AMBASSADOR TEAMS
Contract Service
Subtotal
Total GW Contract
IMAGE ENHANCEMENTS
Street Life Plan Projects
Maintenance completed projects
Enhanced Maintenance
Street Tree maintenance
Subtotal
DISTRICT ENHANCEMENTS
Business development program
Secondary Employment Unit
Fee for Service Contracts
Community Engagement
Social Impact Team
Communications
Miscellaneous
Subtotal
ADMINISTRATION
SJDA Management
Insurance
Professional Services
Office Supplies
Misc
less 2% prepay contracts
Subtotal
TOTAL EXPENSES
REVENUE NET OF EXPENSES
Beginning Fund Balance
Projected Ending Fund Balance
FY25-26
2.5% Assesment
Additional assessment even in the "no increase year'' is 4,163,199 due to a new parcel getting an occupancy permit. (41,632)
1,127,016
(20,000)
5,053
5,233,637
490,150 Includes 2. 76% CPI Increase
52,309 Includes 2.76% CPI Increase
Includes 2. 76% CPI Increase
25,184 Only Paseo at this time pulled from contract directly.
Includes proposed Saint James
2026 Event Clean up at 10 events at $500 each = $5000
133,408 revenue
$202K passthrough from OED funding, $SOK
passthrough for Street Life from Beautiful Tableau. With an estimation of raising an additional $14BK towards
400,000 Stithcing Districts and other beautification projects 110
1,665,596 This is pre-discount
490,150
2,155,746
1,321,264
11321,264
Chloe recommends 4% increase to be safe as the Living
Wage Ordinance Increase will not be ready until May.
BBB Contract was negocaited to a lower rate in 2024,
quanty prepayment discounts.
Block by Block prepaid (quaterly with discount)=
3,4n1010 $835,164.15 which equals an annual $3,340,656.61 579,500 No captial funds proposed for this year.
277,000
landscaping increased to new sites added, potential part so,ooo time worker needed (outlined in last PBID report) 150,000
11oss,soo
160,000
This number does not change year over year and is a set and calcualted amount of hours. Payrate set by CoSJ and 200,000 does not require increases.
lncudes anticipated Saint James Park service which
would come with signfigant increases
122,331 2026 Event Clean Up for 10 events is $4,563
70,000
440,556 3.5% increase for salaries
Spend was not indivigually tracked against PBID and
instead was lumped in with general funds in SJDA, would like to keep as we have a new Head of Marketing and
Communications who can property use these funds for
the marketing and communication of the PBID, original
50,000 goal was $100K+ so this is still conservative
Increase due to PBID coordinator annual salary increase, 63,800 other expenses anticipated to remain flat
1,106,687
696,828 11 % of total revenue per new management plan
10,240 10% antipcated increase on actuals
Increase based on actuals and adjusted slightly for
21,000 inflation, CEO change fees
7,000
6,200
(69,540) discount applied to BBB payments (prepay discounts) 671,728
6,311,925
22,874
883,925
906,799
ATTACHMENT B
Downtown San José PBID Budget for FY 2025-2026
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{3) CITY COUNCIL
BYRESOLUTION NUMBER __ , ON THE_DAYOF __
20_, AN ASSESSMENT WAS LEVIED BY THE CITY COUNCIL ON THE LOTS, PIECES, ANO PARCELS OF LANO SHO'o"M OH THIS DIAGRAM. THE APPROVED DIAGRAM ANO ASSESSMENT ROLL FILED IN THE OfflCE OF THE DIRECTOR OF PUBLIC WJRKS CONTAINS THE EXACT AMOUNT OF EACH ASSESSMENT LEVIED AGAINST EACH PARCEL OF LAND SHO'MI ON THIS DIAGRAM. {4) COUNTY RECORDER
TONI J. TABER, MMC
CITY CLERK
FILEDTHIS_ OAYOF __ ,20_,ATTHEHOUR OF_O'CLOCK_.M. IN
OOO<_OF MAPS OF ASSESSMENT ANO COMMUNITY FACILITIES DISTRICTS PAGE(S)_, IN THE OFFICE OF THE COUNTY RECORDER OF THE COUNTY OF SANTA CLARA RECORDER'S SERIESNO. ___ FEEPAID: __
. ,,� �· �i
REGINAALCOMENDRAS, COUNTY RECORDER
COUNTY OF SANTA Cl.ARA
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O' 500' 1,000' 1,500'
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SCALE: 1 � = 500'
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LOCATION MAP
CITY OF SAN JOSE, COUNTY OF SANTA CLARA
STATE OF CALIFORNIA
DOWNTOWN SAN JOSE
PROPERTY-BASED BUSINESS IMPROVEMENT DISTRICT
FISCAL YEAR 2025-2026 SHEET1 OF1
ATTACHMENT C
Downtown San José PBID Service Area Map