TO: HONORABLE MAYOR
AND CITY COUNCIL
FROM: John Ristow
Matt Loesch
SUBJECT: See Below DATE: April 6, 2026
Approved
Date:
4/15/26
COUNCIL DISTRICTS: 3, 6
SUBJECT: Downtown San José Property-Based Business Improvement District Financial Report for Fiscal Year 2024-2025
RECOMMENDATION
Approve the Downtown San José Property-Based Improvement District Financial Report for Fiscal Year 2024-2025 prepared by the Downtown San José Property Owners’ Association, as filed or modified by City Council.
SUMMARY AND OUTCOME
The Downtown San José Property-Based Improvement District (PBID) financial report (Financial Report) describes the operations and outcomes of activities for the previous fiscal year. The Financial Report also details how the PBID assessment funds and non- assessment funds were expended.
BACKGROUND
The 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 provided by the City of San José (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 again on June 14, 2022, for a second 10-year term, which began January 1, 2023, and will run through December 31, 2032. The Owners’ Association submits two reports annually to the City, the first is an annual report, which anticipates the PBID’s activities for the upcoming year and proposes any associated assessment rate increase. The second is the Financial Report, which serves as the outcomes report and the PBID certifies that it COUNCIL AGENDA: 4/28/26
FILE: 26-464
ITEM: 2.13
HONORABLE MAYOR AND CITY COUNCIL
April 6, 2026
Subject: Downtown San José Property-Based Business Improvement District Financial Report for Fiscal Year 2024-2025
conducted its business per the PBID Management Plan and agreement with the City.
The San José Downtown Association oversees the delivery of services and manages the contracts of the service providers.
ANALYSIS
As required by the agreement between the Owners Association, San José Downtown Association and the City, on or before October 1 of each year, the Owners Association shall submit to the City, for review and approval by the City Council, an annual Financial Report that shall include all items described below:
1. Status Report summarizing the assessed services provided to by the PBID for the previous fiscal year.
2. Certification that all agreements entered into during the previous fiscal year between the Owners Association/Downtown Association and any other entity are in substantial compliance with San José Municipal Code Section 4.12 and Section 7 (Procurement and Contract Process Integrity and Conflict of Interest) of the City of San José Consolidated Open Government and Ethics Provisions.
3. List of Owners Association Board meetings held during previous fiscal year.
4. Budget Report certifying that all district funding were expended in accordance with the agreement and in compliance with all laws and regulations and detailing of those expenditures for that year.
5. An independent certified public accountant’s review report on the finances of the PBID.
The Financial Report, which includes details for items one through four, is attached as Attachment A - PBID Financial Report FY 2024-2025, and item five, the certified public accountant’s review report, is attached as Attachment B - PBID Financial Statements.
The report submitted for FY 2024-2025 meets the requirements of the agreement.
The table below reflects a summary of the clean team and ambassador services for FY 2024-2025, as well as the proposed service output described in the PBID Management Plan. The Financial Report also describes in greater detail, other services provided within the district boundaries, such as Beautification, Social Impact and Business Development to name a few.
HONORABLE MAYOR AND CITY COUNCIL
April 6, 2026
Subject: Downtown San José Property-Based Business Improvement District Financial Report for Fiscal Year 2024-2025
Clean Management Plan FY 2024-2025
Maintenance (full-time equivalent) 25 to 28 16 to 24
Average weekly coverage 7 days 7 days
Pan and Broom, Litter Removal/ Transit
Stop Maintenance
20 hours/day 20 hours/day
All-Terrain Litter Vacuum/Machine
Sweeping
Daily as Needed 8 hours/day
Steam Cleaning/Pressure Wash 6 to 12 times per year 12 times per year Graffiti Reporting/Cleaning Daily as Needed Daily as Needed Light Landscape/Weeds As Needed Daily and as Needed
SWAT Patrol or “emergency cleaning” As Needed Daily and as Needed Tree Maintenance Approximately ¼ of
street trees/year
Approximately ¼ of
street trees/year
Safe (Information and Safety
Ambassadors)
Management Plan FY 2024-2025
Ambassadors (full-time equivalent) 5-9 5-10
Coverage in all areas 12-16 hours/day 12-16 hours/day
Social Impact Team (full-time
equivalent)
Approximately 5 5
Outreach Not quantified 16-22 hours/day
EVALUATION AND FOLLOW-UP
No additional follow-up action with the City Council is expected at this time.
FISCAL IMPACTS
There are no costs associated with this action.
HONORABLE MAYOR AND CITY COUNCIL
April 6, 2026
Subject: Downtown San José Property-Based Business Improvement District Financial Report for Fiscal Year 2024-2025
COORDINATION
This memorandum has been coordinated with the City Attorney’s Office, City Manager’s Budget Office, and the Planning, Building, and Code Enforcement Department.
PUBLIC OUTREACH
This memorandum will be posted on the City Council Agenda website for the April 28, 2026 City Council meeting. The Financial Report and PBID Financial Statements 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.
BOARD, COMMISSION, COMMITTEE RECOMMENDATION AND INPUT
No board, commission, or committee recommendation or input is associated with this action.
CEQA
Not a Project, File No. PP17-009, Staff Reports, Assessments, Annual Reports, and Informational Memos that involve no approvals of any City action.
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 [email protected] or (408) 794-1987.
ATTACHMENTS:
Attachment A - PBID Financial Report FY 2024-2025
Attachment B - PBID Financial Statements