TO: HONORABLE MAYOR
AND CITY COUNCIL
FROM: Jen Baker
SUBJECT: See Below DATE: May 11, 2026
Approved
Date:
5/14/26
COUNCIL DISTRICT: 7
SUBJECT: Public Hearing on the Monterey Corridor Business Improvement District and Levy Assessments for Fiscal Year 2026-2027
RECOMMENDATION
Conduct a public hearing and adopt a resolution approving the Monterey Corridor Business Improvement District Budget Report for Fiscal Year 2026-2027, as filed or modified by City Council and levying the Monterey Corridor Business Improvement District assessments for Fiscal Year 2026-2027.
SUMMARY AND OUTCOME
Approval of this action will result in the levy of assessments for the upcoming fiscal year of the Monterey Corridor Business Improvement District (MCBID).
BACKGROUND
The MCBID 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 Monterey Road business corridor. City Council appointed the Monterey Corridor Business Association (MCBA) as the Advisory Board (Advisory Board) for the MCBID, to advise City Council on the levy of assessments in the district, and the expenditure of revenues derived from the assessments for the benefit of the district. The MCBID boundary map is shown in Attachment A – MCBID Boundary Map.
Pursuant to BID Law, an annual public hearing is required to approve an annual budget report and levy the annual assessments. On May 19, 2026, the City Council COUNCIL AGENDA: 6/2/26
FILE: 26-663
ITEM: 8.3
HONORABLE MAYOR AND CITY COUNCIL
May 11, 2026
Subject: Public Hearing on the Monterey Corridor Business Improvement District and Assessments for Fiscal Year 2026-2027
preliminarily approved the Fiscal Year (FY) 2026-2027 Budget Report (Budget Report) as filed by the Advisory Board and shown in Attachment B, adopted a resolution of intention to levy the annual assessments for FY 2026-2027 for the MCBID, and set June 2, 2026, at 1:30 p.m., as the date and time for the required public hearing on the levy of the proposed FY 2026-2027 assessments. In accordance with BID Law, the City Clerk published the required legal notice regarding the levy of assessments for FY 2026- 2027.
ANALYSIS
Under BID Law, when a public hearing is held to levy assessments of a BID, 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 types of 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 made in writing against the continued authorization of the BID are from 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 of improvement or activity within the area, those improvements or activities shall be eliminated.
As required by BID Law, the Budget Report has been filed with the City Clerk and contains, among other things, a list of the improvements and activities proposed to be provided in the MCBID in FY 2026-2027, and an estimate of the cost of providing the improvements and activities. The Advisory Board has recommended no change in the MCBID boundaries or the method and basis for levying assessments. Therefore, the proposed assessments in the MCBID for FY 2026-2027, described in the Budget Report, are the same as the assessments for FY 2025-2026.
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 Budget 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 FY 2026-2027.
EVALUATION AND FOLLOW-UP
The Advisory Board will come before City Council in May 2027 to present a report that proposes a budget for FY 2027-2028.
HONORABLE MAYOR AND CITY COUNCIL
May 11, 2026
Subject: Public Hearing on the Monterey Corridor Business Improvement District and Assessments for Fiscal Year 2026-2027
FISCAL IMPACTS
Adoption of the proposed MCBID budget does not directly impact City revenue. The Fiscal Year 2026-2027 Proposed Operating Budget, subject to City Council approval, includes projected assessment revenue and corresponding expenses totaling $252,000, as detailed in the Source and Use Statement for the Business Improvement District Fund (Fund 351).
The City will charge an administrative fee to collect the MCBID assessment. The City’s administrative fee will be one percent of the assessments collected by the City, and the amount will be reviewed annually as part of the annual report submitted by the Advisory Board to the City. The administrative fee will be made to the City as a deduction from the assessments the City will forward to the MCBID.
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 MCBA.
PUBLIC OUTREACH
The budget for FY 2026-2027 was reviewed and approved by the Advisory Board on February 23, 2026, as shown in Attachment C - MCBA Board of Directors Meeting Minutes, March 12, 2026. This memorandum will be posted on the City Council Agenda website for the June 2, 2026 City Council meeting.
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. PP17-004, 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 11, 2026
Subject: Public Hearing on the Monterey Corridor Business Improvement District and Assessments for Fiscal Year 2026-2027
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.
JEN BAKER
Director of the City Manager’s
Office of Economic Development
and Cultural Affairs
For questions, please contact Jessica Munoz, Senior Executive Analyst, City Manager’s Office of Economic Development and Cultural Affairs, at [email protected] or (408) 535-8181.
ATTACHMENTS:
Attachment A – MCBID Boundary Map
Attachment B – MCBID Budget Report for FY 2026-2027
Attachment C – MCBA Board of Directors Meeting Minutes, March 12, 2026
Association Boundary Map
Attachment A: MCBID Boundary Map
The Monterey Corridor Business Association consists of
1,500 business within the City of San Jose, Council District 7. 1 Association Boundary Map
2026 MCBA Annual Report
395
2 Association Boundary Map
2026 MCBA Annual Report
3 FY 2025-26
Camera System Installation
The Association invested $62,000 in the purchase of three security camera trailer systems to support public safety and deter illegal activity in areas that have historically experienced challenges.
Marketing and Beautification Support
The San José Office of Economic Development and Cultural Affairs provided $5,000 in support for marketing and beautification efforts. These funds will be used to produce mailers and support a FIFA watch party activation at The Plant, helping promote the district and encourage community engagement.
Administration and Consulting Services
The Monterey Corridor Business Association retained Community Strong Strategies to provide administrative support and consulting services. These services include governance support, meeting facilitation, financial coordination, and program implementation assistance.
Attachment: B MCBID Budget Report for FY 2026-2027
Financials
1 FY 2026-27
The annual assessment remains $250 per business tax license. The proposed budget for the upcoming fiscal year is $252,000 and is organized into three primary service categories:
Clean and Safe - $147,000 (58%)
Funding in this category will support initiatives aimed at improving safety, cleanliness, and overall district conditions. Planned activities include contracting a cleaning and safety service provider to reduce blight and maintain public spaces throughout the corridor and continued deployment and management of mobile security camera trailer systems and exploration of additional fixed camera placements on buildings facing public spaces that have historically experienced issues.
Growth and Engagement - $50,000 (20%)
This category focuses on strengthening the district’s visibility and supporting local businesses through marketing and engagement efforts, including Community promotions and district visibility efforts through digital marketing and Marketing campaigns to highlight businesses and events within the corridor
Governance and Administration - $55,000 (22%)
This category supports the operational needs of the Association and ensures compliance with governance and reporting requirements, including Administrative and consulting services and Financial management and reporting, meeting coordination, and regulatory compliance
Service Allocation
Clean and Safe $147,000
Growth and Engagement $50,000
Governance and
Administration $55,000
Total Expenses $252,000
MCBA Budget Report for FY 2026-2027
Financials
2 2026 MCBA Annual Report
Highlights
Board meetings
The Association has maintained consistent monthly board meetings with quorum achieved each month, reflecting strong board engagement. These meetings create an ongoing forum for communication, coordination, and feedback among the district’s partners and members.
Meetings regularly include participation from partners such as:
- Councilmember’s Office
- San José Police Department
- San José Office of Economic Development and Cultural Affairs - Local Business Owners and Stakeholders
Camera System Installation
The Association purchased three mobile
security camera trailer systems to support
public safety initiatives within the district.
Flyers and mailers were created with a QR
code allowing businesses to request
services and inquire about camera
deployment for extended monitoring
periods.
Website: www.mcbasj.com
The Association also launched an Instagram account, @montereycorridorba, which shares updates on board meetings, district projects, and community initiatives.
Website and Social Media
A new website was launched to provide updated information about the Association, its board members, and the Business Improvement District.
The website includes a FAQ section, budget overview, and program information, helping both existing and prospective members understand the work of the association.
Website: www.mcbasj.com
The Association also launched an Instagram account,
@montereycorridorba, which shares updates on board
meetings, district projects, and community initiatives. 3 Sean Panchal (Board Chair) - Business and Property Owner Dave Lujan (Secretary) - Stucco Supply
Beth Seibert (Co-Treasurer) - Property Owner
Melissa Volau (Co-Treasurer) - Little Orchard Self Storage Mike McGrath, Board Member - Graniterock
Chad Erickson, Board Member - Angelicakes
Caroline Niemiec, Board Member - Premier Recycle
Eire Stewart, Board Member - JP Dinapoli Companies
Nicole Youngblood, Board Member - Western Site Services MCBA Budget Report for FY 2026-2027
Board of Directors
4 Monterey Corridor Business Association (MCBA) Meeting Thursday, March 12, 2026
Closed Session: Adopt 26-27 Budget (11 a.m. - 12 p.m.)
Board meeting: 12 p.m. - 1:30 p.m.
Clarion Inn Silicon Valley,
3200 Monterey Hwy, San Jose, CA, 95111, US
Zoom (click here)
Agenda
I. Roll call
Sean Panchal (chair), Beth Seibert (co-treasurer), Athena Ushana, Melissa Volau (co-treasurer), Dave Lujan (secretary), Caroline Niemiec (co-secretary), Mike McGrath, Eire Stewart, Nicole Youngblood, Chad Erickson, Dave Galetto The Plant, Tara Dang City of SJ Mayors office, Juan Borrelli City of SJ OED, Deanne Everton Rebuilding Together, Cindy Feng CSS, Frank Arevaco Western Site Services, Bea Ramos HomeFirst, Jessica Munoz City of SJ OED, Nathan Ulsh CSS, Mike Medina County of Santa Clara, Patrick Bielejec Glencore Recycling, Steve Preminger Santa Clara County, Paul’s iphone, Anthony Gonzales City of SJ BeautifySJ, Salene Duarte SCCFMC
II. Introductions
III. Updates
A. Mayor’s Office (Tara Dang)
Lunar New Year next Tuesday story Road asked if they want to be to do anything like murals or trash pick-up. Let Tara know. State of the city last Saturday had a great crowd. Service project mural project tree, planting Guadalupe cleanup and downtown areas. June budget Council approved. March 17 need support public speakers $60 million in deficit. 13% cut across the board. San Jose PD no cuts. Upcoming public town hall after Mar town halls usually they would be in each district this year. They’re adding multiple districts to the town halls information to come, but it’ll be district 1336 and seven in April. Continuing to fight for the encampments on Little Orchard Self Storage come to the Mar council meeting. The San Jose PD tour had 10 associations attending. Great success, and new neighborhood associations.
Council meeting 10 districts for 1 million people. 11 votes at council. Every Tuesday, they are meeting on policy changes and setting the agenda. Last Tuesday was supposed to vote on the flock cameras.
Attachment C: MCBA Board of Directors Meeting Minutes, March 12, 2026 1 They want to boost up to 1000 cameras. Temporarily shut down due to privacy concerns.
Mountain View shut down their Flock Cams. 50 speakers came out to protest. SJPD has less than 1000 officers and really needs the cams. They use AI to track. Come to council to support or discuss on Tuesday at 1:30 PM. Check agenda for the line item. Next Tuesday Mayor’s March budget vote. Public speaking. 56 million in deficit. Item 3.3 on the agenda, homelessness and public safety concerns. When speaking you have approximately one minute time limit, sometimes only 45 seconds. Have script and practice. Rob and Wes Malik from Valley images have sent in serious concerns about the fight. The railroad tracks have been abated hundreds of times now, the cleaning and abating continues. Life Moves and HomeFirst staff and executives present at recent meetings B. Council District 7 (Councilmember Doan)
N/A
C. County District 2 (Supervisor Duong)
Mike Medina received letter from the board. Trying to get supervisor to attend. She wants to meet the Mcba board. Coordinating a town hall in March possibly. Will send us an invitation. All business and neighborhood associations will get invited. One shared document showed concerns that they are focused on economic impact and about having a new homeless facility.
The supervisor would like to thank everyone for coming to visit her yesterday. She is opposed to any housing or safe parking spaces in district 7, or in the corridor or fairgrounds. We have shouldered the largest burden in San Jose. Holding a State of the District 3/18/26. Center for Employment Training at 701 Vine St. in San Jose from 5:30 to 8 PM. Discuss budget cuts and activity events. District 2 grant program for small business activation apply online.
D. SJPD (Captain Tran)
N/A
E. OED (Jessica Munoz)
Jessica is having a budget renewal for bid. Start working on budget to submit to council. Working with finance, they are reconciling everything. Trying to assume the right amount is being distributed. OED needs our deposits from the city so that they can reconcile. Send breakdown to Jessica. Please let them know if there are any changes they should know about. Jessica needs financials as soon as possible. Team is getting their software system and we should be able to distribute large disbursement. Rolling out new grant for neighborhoods. Large pool of applicants, only 20 grants awarded. Currently collecting data. System will be updated. Finance will be getting up-to-date. Four new bids now. Need to have a large enough body of businesses to have a bid. We’ll get paid out quarterly. Small Business Ally: has an informational pamphlet for the new streamline restaurant permits all food and beverage services. Expedited plan permit program. One of the most complicated permits because the city AND the county are involved. For tenant improvements, not ground up. Send any new business owners to Juan Borelli. They do not charge extra for expedited reviews.
2 F. BeautifySJ (Anthony Gonzalez)
Work along Monterey and the railroad tracks on February 4, 2026 Union Pacific’s last visit.
Data receive said the issue has improved. But want to hear from MCBA membership. From downtown to Coyote. They have been coming more frequently as of late BeautifySJ appreciates the continued support from the City, County and SJPD. 10% improvement, but not to level their data claims. 10% are on the railroad tracks. Lots of foot traffic disregarding safety.
Slight improvement around the fairgrounds.
G. Homefirst (Beatriz Ramos)
Shelter 250 beds 96% occupancy for 365 days a year. Referral based only. 5 Perimeter walks per day. They do ask people to clean up their spaces and move along.. If they see animals off leash, they call animal services. Looking to identify how they can reduce reciprocity. Continue to engage partners like SJPD, DOT, City and County of Santa Clara, Beautify SJ. Expecting new resources that may come online soon. They don’t typically call 911 immediately they may call outreach first if they come across an issue that requires the assistance of San Jose PD then they will call 911 but if they can call in somebody from outreach to help somebody in distress, they usually go that route first.
IV. Old Business
A. Advocacy
B. Business Improvement District
1. Mailers for membership and security camera
Need to get the draft mailers quoted and we also need to get addresses and number of businesses that have actually paid their fees so that way we know how many mailers to order we don’t want to order too many. The mailers will have information about the MCBA and our new crime deterrent cameras, and their ability to be placed on property free of charge.
2. Camera order update (OnView vendor)
Cameras are ready dispatch we have checked the list of people that wanted a camera and they’ve provided their information on our sign-up sheet that is linked on our webpage. We hope to be able to gather data and provide content to the City and SJPD and the County that may help create some policy change. We need to create a form for OnView and the customers so that way we can share information have emergency contacts, etc. It will take some time to get people to notice, but it will increase the more we get outreach.
3 C. Events/Activations
1. FIFA Watch Parties update (CSS)
Talking to The Plant activating their space (the lawn area). Tickets are very high for the actual games, so some people are not attending the physical games. They will definitely want to check out any watch parties. Earthquakes and the City are discussing soccer youth programs.
We should have a booth, possibly some games from 10 AM to 8 PM, maybe gift bags for the kids with some MCBA branding. We will be providing the deposit to the planner. Applying for grant from the county. Thinking of having a VIP area for the watch party. Town Square lawn will have a 17 foot screen and can possibly accommodate up to 1K people. $33,000 for one day or $46,000 for two, we plan on two.
2. Mayor clean-up/beautification (i.e. utility boxes)
We should connect with the Mayor’s Office and staff for a Mayor cleanup beautification with the community possibly April Earth Day as a good window. The great American pick up. Over 100 sites. BeautifySJ provides all materials, gloves, vests, etc.
3. Summer Mixer
N/A
V. New business
A. Advocacy
1. Meeting with Supervisor Duong
Met with her on March 11, 2026 in her office spent an hour with her. Talked at length about our challenges. We touched on fairgrounds plan for the future. She is strongly opposed to any homeless services or safe parking. We have carried the majority of the burden. Wants to develop the fairgrounds into a destination for music, sports events, etc. Revitalize the property. Back portion of property ready for redevelopment.
Fairgrounds needs to be financially stable. Fairgrounds do use some acreage for overflow at times for equipment and vehicle storage during big events like the Super Bowl. 40 K people to the fair, 83 events this year.
B. Fundraising
1. District 2 Grant
Diana will fill out the application for the District 2 grant from the county 4 VI. Reports
A. President’s Report (Sean)
Sean created some slides 13,000 people came to downtown San Jose Friday night and 15,000 on Saturday night. Very positive in regards to activation. The idea being we want to do some programming and activation. Talking to The Plant activating their space (the lawn area). Tickets are very high for the actual World Cup games, so some people are not attending the physical games. They will definitely want to check out any watch parties.
B. Treasurer's Report (Beth/Melissa)
Finalize upcoming budget. It’s a little different than last year. Will have it ready by next week. Our paperwork can be submitted for approval to Jessica.
C. Secretary’s Report (Dave)
Need more attendance and outreach. We should be allocating some of our budget for outreach, brand awareness and possibly advertising to get the word out.
D. Safety Committee
Not in service yet. Cameras will be deployed early to mid April.
VII. Consent items
A. Approve Minutes -
1. January 8, 2026
2. February 12, 2026
3. November 11, 2025
No quorum
VIII. Next board meeting (Second Thurs of the Month @ noon): A.
Date – April 9, 2026 (Zoom)
IX. Any other business/topics
X. Adjournment
1:38pm
5