NOTICE IS HEREBY GIVEN, that the undersigned Mayor Bill Velto of the City of Upland, pursuant to legal requirements, does hereby call a special workshop of the Upland City
Council.
Monday, February 27, 2023
6:00 p.m.
City Council Chamber
Bill Ve to, Mayor
AGENDA ATTACHED
Special Meeting
February 27, 2023
6:00 P M
City Council Chamber
***************
CIT Y COUNCIL WORKSHOP
1.C A L L TO O R D E R A ND R O L L C A L L
2.O R A L C O MMUNI C AT I O NS
P ursuant to Government Code S ection 54954.2, any member of the public may address any item listed on the agenda. A nyone wishing to address the legislative body should submit a speaker card to the City Clerk at or prior to speaking. S peakers shall keep their comments to no more than three (3) minutes.
3.R E P O RT O N D O W NTO W N PA R K I NG A ND B US I NE S S I MP R O V E ME NT
A R E A (P B I A) F UND S
C E Q A: Not a project.
Receive and file this report and provide direction to staff if the City Council wishes to pursue a different approach in the use of Parking and B usiness I mprovement Area funds in the Downtown. (S taff P erson: Robert Dalquest)
4.A D J O UR NME NT - The next regularly scheduled City Council meeting is Monday, F ebruary 27, 2023, at 7 p.m.
NOT E: A ll Agenda items and back-up materials are available for public review at the U pland P ublic Library, downstairs reference desk at 450 N orth E uclid Avenue, the C ity C lerk's O ffice at 460 N orth E uclid Avenue and the C ity website at www.uplandca.gov .
I n compliance with the A mericans with D isabilities Act, if you need special assistance to participate in this meeting, please contact the C ity C lerk's Office at 909.931.4120. N otification 48 hours prior to the meeting will enable the C ity to make reasonable arrangements to ensure accessibility to this meeting. [28 C F R
35.102-35.104 A DA Title I I ]
P O S T I N G S T A T E M E N T : O n Fe b ru a ry 22, 2023 a t ru e a n d co rre ct co p y o f t hi s a g e nd a w a s p o s t e d a t 450 N . E ucl i d A ve nue (U p l a n d P ub l i c L i b ra ry) a n d 4 6 0 N . E u cl i d Ave n u e (U p l a nd C i t y H a l l ) a n d t he C i t y W e b s i t e a t w w w.up l a n d ca .g o v
S T A F F R E P O R T
I T E M N O . 3.
D A T E :Feb ruary 27 , 20 23
T O :M A YO R A N D C I T Y C O U N C I L
F R O M : M I C H A E L B L A Y, C I T Y M A N A G E R P R E P A R E D B Y : R O B E R T D. D A L Q U E S T, D E V E LO P M E N T S E R V I C E S D I R E C TO R S U B J E C T :R E P O R T O N D O W N TO W N PA R K I N G A N D B U S I N E S S
I M P R O V E M E N T A R E A (P B I A ) F U N D S
R E C O M M E N D E D A C T I O N
I t is recom m end ed th at th e C ity C oun cil receive and file th is rep ort and p rovid e d irection to staff if t h e C ity C ou n ci l w ishes to p u rsue a d ifferen t ap p roach in t he u se of Parki ng an d B u siness I m p rovem ent A rea fun d s in th e D ow ntow n.
G O A L S T A T E M E N T
Th e p rop osed act ion su p p orts th e C ity’s g oal t o m on it or the u s e of P B I A fu n d s for ad h eren ce to the cond ition s for fun d ing and transp arency.
B A C K G R O U N D
Th e D ow n tow n Parki n g and B u si ness I m p rovem ent A rea (th e “P B I A ”) w as fi rst estab lish ed in 19 66 w it h th e C it y C ou n ci l’s ad op t ion of O rd in an c e N o. 77 3, p u rsuan t to th e C aliforn ia S treets and H i g h w ays C od e (t he “S H C ”). Th e O rd in anc e est ab lished a t ax levy t o b u siness licenses for b usin esses w i th in t he P B I A , est ab lished rat es and zon es of assessm en t, an d uses t hat the ad d ition al tax reven ue is ap p lied . Th e S H C §§36 00 0 th rou g h 3 60 81 d escrib es the P B I A Law of 19 65 , as am end ed , b y w hich th e D ow ntow n P B I A was form ed .
O n D ecem b er 2 0, 19 94 , the C ity C ou ncil ad op ted O rd in ance N o. 16 12 wh ich cod ified am en d m ents to th e P B I A c ons is ti ng of: (1 ) d is est ab l is h ed p ortions of th e P B I A ; (2 ) ch ang ed th e rat es of the ad d i ti on al t ax levy im p os ed on b u sinesses w it h i n th e P B I A ; an d , (3) ch ang ed th e u ses to wh ich t he p roceed s from t h e t ax levy ap p ly. O rd i n an ce N os . 77 3 an d 1 61 2 com p rise th e P B I A reg ulations an d are cod ified in S ect ion s 5 .04 .43 0 th rou g h 5 .04 .52 0 (Parking an d B u siness I m p rovem en t A rea) of th e U p land M un icip al C od e (S ee E xhibit A ).
A lso, in clud ed for th e C it y C oun ci l’s referen ce is m ap of t h e P B I A b ou n d aries , w h ic h d ep icts th e two assessm ent zon es with in th e P B I A (S ee E xhibit B ).
S ection 5 .04 0.4 60 of t h e U p lan d M u nicip al C od e sp ecifies t h e foll ow in g u ses t hat the ad d ition al tax levy shall b e used for:
Th e ac q u is it ion , con st ru ct ion , or m ai nt enan ce of p arkin g facilit ies for th e b en efi t of the area;
D ecoration of an y p u b lic p lace in the area;
P rom otion of p u b lic events wh ich are to take p lace on or in p ub lic p laces in the area; F u rn ishing of m u sic in an y p lace in the area;
Th e g en eral p rom otion of retail trad e activities in th e area; Th e g en eral p rom oti on of service-orien ted b u si n es ses i n th e area. For p urp os es of this ch ap ter, “service-oriented b u sinesses” m ean and inclu d es, b ut n ot lim ited to, b usin esses eng ag ed in com m ercial, lig ht in d u strial an d m ixed uses; an d P rovid in g ad m in istrative an d fin an c ial su p p ort t o t he d es ig n at ed org an i zat ion (s) fu lfillin g th e g oals an d ob jectives of th e area.
Th e ab ove is c ons is ten t wi th th e u ses th e tax l evy can b e ap p lied u nd er t h e S tat e S H C .
H istorically, variou s non -p rofit b oard s of D own town m erc h an ts h ave b een res p on si b l e for usin g fun d s rec eived an n u all y from th e C it y t o c reat e p rog ram s to p rom ot e D own town activities an d w ork coop eratively with staff to p rovid e econom ic d evelop m ent activities with in th e P B I A .
I n earl y 2 01 9, s taff w as d irect ed t o n eg ot iat e an op erating ag reem en t w ith H i st ori c D ow ntow n Up lan d , I n c . (H D U ) t o u tilize th e P B I A fu n d s. O n A p ril 2 2, 2 0 1 9 , th e C it y C oun ci l ap p roved a Policy and P lan ag reem ent (S ee E xhibit C ), wh ich d esig nates H D U as th e M erchan t B oard to receive P B I A fu n d i n g , s ets forth t he C ity’s exp ec tat ion s of H D U, est ab lishes p erform an ce m easures to b e foll ow ed b y H D U, and th e con d itions for fu n d i n g . Th e Poli cy an d P lan d id n ot lim it th e C it y’s aut horit y t o d is est ab l is h th e P B I A , eli m i n at e or m od i fy t h e C ity’s resp on sib ilities in th e Policy an d P l an, an d /or d is con ti n u e P B I A fun d ing t o H D U at an y tim e in th e C it y’s sole and ab solu te d i sc ret ion . E c onom ic d evelop m ent s taff is res p on si b l e for im p lem en ting th e Policy an d P lan , an d m on i torin g and w orki n g wi th H D U on th e ap p roved b u d g et it em s . E xh i b i t C also con tains th e ap p roved b u d g et s from F Y1 9-2 0 throug h F Y2 2-2 3 for the C oun cil’s in form ation.
I S S U E S /A N A L Y S I S
At the J anu ary 9 , 20 23 , C i ty C ou ncil m eet in g t he C oun ci l d irect ed s taff t o p rovid e the follow in g :
B alance in th e P B I A accoun t;
H ow fun d s are d issem in ated ; and
D iscu ss a p lan for th e D ow ntow n to m ove forw ard in a b etter m an ner.
C u rrently, t he C ity’s P B I A revenu e acc ou n t has an “avail ab l e b alan ce” of $7 9,3 59 .00 . T his am ou nt is avai lab le to b e exp en d ed on aut horized P B I A activities con tai n ed i n th e ap p roved ann ual b ud g et an d sc op e of services, u n les s am end ed . T h e fu n d b alan ce in H D U ’s b ank accoun t as of their J an u ary 20 23 st atem ent i s $39 ,56 0.4 5. T h eir b al anc e has g rown over the p ast two years as H D U h as h eld on ly on e s p ec ial event (O l d M ag n olia Fes ti val) d ue in p art from C O V I D -1 9, and the H D U B oard n ot b ein g ab l e to fil l vacan ci es w hich h ave p ersist ed for som e tim e. C u rren tl y, on ly fi ve (5) of th e n i n e (9) B oard p os it ion s are filled wh ic h in clud es th e on e p osit ion reserved for a d esig nat ed C ity s taff p erson, p ursu ant t o H D U ’s B ylaw s.
Attach ed as E xhibit D is a sum m ary of w hat H D U h as sp ent the P B I A fu nd s in the th ree q u arters in 2 02 2. A s of th e d ate of t hi s st aff rep ort, s taff h as n ot received t he 4th Q u arter 20 22 accoun ting , b an k statem ents an d recip es for staff to review and reconcile th e accoun t.
Th e P B I A reven u e the C i ty rec eives averag es ap p roxi m at ely ±$58 ,00 0 p er year. T h e am oun t p ayab le t o th e M erchan t B oard is ei g h ty-fi ve p ercent (85 %), of t he ac tu al am ou nt of P B I A fun d s collected in a fi sc al year u p t o $6 0 ,0 0 0 , p ursu ant to S ect ion V I I I (P B I A F u n d s an d
D istrib ution ) of t he Policy an d P l an. A n y fu n d s collected over $6 0,0 00 rem ain wi th t he C ity and are to b e sp en t on rep l acem en t of b an n ers, lan d s cap e m ain ten ance, t ree lig h ting , etc.
Th e rem aining fifteen p ercent (1 5%) of t h e an n u al P B I A fu n d s are kep t b y th e C it y t o p ay for staff’s cost s i n ad m i n i st rat ion an d im p lem entation, g eneral accou nt in g , an d c oll ect ion of the fun d s.
S ection V I I I of t h e Policy an d P lan als o p rovid es th e m an ner in wh ich t he P B I A fu n d s are d istrib u ted t o th e d esi g n ated m erch ant b oard . T hi s is d on e on a q u arterly b asi s an d d ep end ent up on the revenu es collected from the P B I A . T he am oun t is n ot fixed an d req u ires H D U to b u d g et b ased u p on h is toric al averag es. P rior t o rec eivi n g rei m b u rsem en t from the p rior q u arter’s exp end it ures, H D U i s req u ired to sub m it th eir com p l ete acc ou n ti n g for the P B I A fun d s exp en d ed , w hi ch in cl u d es b an k statem ents an d receip t s s o st aff can rec on c il e the exp en d itu res to en su re the P B I A fu nd s h ave b een exp en d ed on au th orized exp en d itu res.
D I S C U S S I O N O F O P T I O N S TO M O V E F O R W A R D
Th e W orks h op is in ten d ed t o p rovid e th e s ett in g for t h e C it y C ou ncil t o d iscuss p oten tial op tion s i n exp en d ing P B I A fu nd s w h ic h m ay b e m ore effect ive i n ful fil li ng th e g oals an d ob jectives t o en han ce th e D ow n t ow n ’s econom ic vitality an d p ub lic in frastructu re/p ub lic realm . T h e Policy an d P l an contain s p erform ance m easu res th at H D U is req uired t o m eet in ord er to con tinu e to receive future P B I A fun d ing , th ey in clud e:
D evelop q u ality even ts th at will d raw p eop le to th e D ow ntow n area; M aintain a fam ily atm osp h ere for all events h eld ; C reate a q u arterly D ow n tow n n ew sletter t o en g ag e M erc h an ts an d keep th e p ub lic in form ed on th e M erch ant B oard activities and p rom otion of up com in g even ts; C on tinu e to facilitate reg u lar M erch ant B oard m eeting s; S u b m it m inu tes and ag en d as from M erch ant B oard m eeting s; M aintain a q u oru m at M erch ant B oard m eeting s; P rovid e a cop y of th e B ylaw s an nu ally and notify C ity of any chan g es; O th er p erform an ce m easu res as id en tified b y the C ity from tim e to tim e.
B elow, staff h as p rovi d ed th ree p ossib le ap p roaches for d iscu ssion p u rp oses for t h e C ity C ou ncil to contem p late:
1. M aintain t h e exi st in g Policy and P lan an d con ti nu e to d esig n ate H D U t o receive P B I A f u n d s . T he curren t H D U B oard has b een b eset b y setb acks d ue t o C O V I D -19 an d the in ab ility to recrui t an d m ai n t ain a full m em b ersh ip of th e B oard to h elp d evelop and p u t on sp eci al even ts an d c om p let e th e s cop e of w ork in th e Pol ic y and P lan. Th ey have in stead p rovid ed P B I A fu n d s t o ass is t t h e C it y’s S cary A ffair (p urch ased can d y an d ren ted a b ou nce hou se) an d was ab le to p ut on t h e O l d M ag n oli a Fest ival las t year. T he su ccess of t he curren t ap p roac h i s contin g en t u p on a consisten t com p os it ion of H D U B oard m em b ers t hat collectively p u rs u e t he scop e of work an d c om p let ion of t h e item s in th e an n u al b ud g et . Th us, w it h th e s ub st ant ial n ew b usin esses t h at wi ll b e com ing in D ow ntow n in t h e n ext 12 m on t h s to 18 m on th s, th is m ay p rovid e t he n ew talen t, lead ership , an d energ y for H D U to fu lfi ll t he p erform an ce m easures an d scop e of w ork req uired in t he Policy an d P l an. T h erefore, i t m ay b e worth g iving th e exist in g ap p roach a ch ance b efore m aking any chan g es.
2. Revise th e Pol ic y an d P l an ’s s cop e of w ork and p erform an ce m easures to focu s less on H D U cond ucting sp eci al even ts an d p lace an em p h asi s on H D U com p l eti ng several m ain p riorities i n t he D ow n t ow n . T his cou ld ent ail: (1 ) m ore rob ust m arketi n g cam p aig n to p rom ote t h e D own town b u s in ess es, (2 ) fixing t h e elect rical s yst em t hat t h e t ree lig hts and s p eakers are con n ec ted to s o th at t h ey are on sep arate syst em s and w ork in d ep end ent of one an oth er; (3 ) lan d scap e and sid ewalk m aintenan ce; an d /or (4) sp ecific im p rovem ents to th e D own town infrastru cture/p u b lic realm . G iven the sp ecial events t h at t h e C i ty con d u ct s an d t h e rec en t s u c ces sfu l rel ocat ion of S at urd ay M arket to
th e D own town every w eek, i s th ere a need t o p lace an em p h as is for H D U to cond uct m ore sp ecial even ts w h i ch take a con si d erab l e am oun t of t im e an d exp ense to p lan an d con d u ct?
3. Term inate th e Policy an d P lan and d esig nate staff to sp en d the P B I A fu nd s on :
Th e item s in th e cu rrent Policy an d P lan b u d g et or a revised b u d g et;
Focu s P B I A fun d s on several p riorit y item s c on t ain ed in the F in al Rep ort of th e A d H oc C om m ittee on D own town , contin g en t u p on th e tax levy b ein g ab le to ap p l y to th ese item s p u rsuan t to th e S tate S H C . I n 20 19 , t he C ity C ou nc il form ed t h e A d H oc C om m ittee to eval uat e w h at is n ecessary to retai n and att ract b us in ess es t o the D ow ntow n A rea. Th is C om m i tt ee was m ad e-up of D own town stakeh old ers w ho w ere ap p oin ted b y the C oun cil. A cop y of th e A d H oc C om m ittee’s F inal Rep ort is attached for th e C i ty C ou ncil’s referen ce as E xhibit E . F rom this rep ort, this cou ld inclu d e a few in frastructu re p riorities to im p rove th e P B I A . For exam p le, in stallin g l ig ht in g to m inim ize d ark areas i n D ow n tow n was id ent ified b y th e A d H oc C om m ittee. S taff w ould con tinu e to m eet and con fer w ith H D U to ob t ain th eir inp ut on it em s to b e fu nd ed b y P B I A fun d s.
E N V I R O N M E N T A L D E T E R M I N A T I O N
Th e P B I A im p os es an ad d i ti onal tax levy on b u si n es ses with in th e D ow n t ow n area an d i s used to p rom ot e th e D ow n t ow n b usin esses, im p rove an d m ai n t ain in fras tru c tu re, an d im p rove the econ om ic vit ality in th e D own town area. Th is p rog ram is n ot con si d ered a “p roject ” u n d er the C alifornia E n viron m en t al Q u ality A ct (C E Q A ) p ursu ant to S ec ti on 1 53 78 of t he C E Q A G uid elin es. U n d er t h i s sec ti on, a p roject d oes n ot i n c lu d e a g overn m en tal fu nd in g m echan ism or ot h er g overn m en t fi sc al act ivi ty w hich d oes n ot i n vol ve an y com m itm en t t o an y sp ecific p roject w hich m ay resu lt in a p otentially sig nificant p h ysical im p act on th e environ m en t.
F I S C A L I M P A C T S
Th e p rop os ed act ion d oes n ot p ose a fi sc al im p ac t on th e G en eral fu nd . P B I A fu nd s are restricted and can only b e u sed in th e P B I A . F ift een p ercent (15 %) of th e P B I A fu nd s collected an n u al ly rem ain with th e C it y t o p ay for st aff’s costs in ad m inist rat ion an d im p lem en tation of th e p rog ram .
A L T E R N A T I V E S
P rovid e altern ative d irection to staff.
AT TAC HM E NT S :
Description
Exhibit A: Copy of 5.04.430 to 5.04.520 (Parking and Business Improvement Area) Exhibit B: M ap of the P B I A
Exhibit C: Approved P olicy and Plan, dated April 22, 2019, and Budgets from F Y19-20 through F Y22-23
Exhibit C1: HD U Budget F Y20-21 Budget
Exhibit C2: HD U Budget F Y21-22
Exhibit C3: HD U Budget F Y22-23
Exhibit D: S ummary of HD U expenditure for 2022
Exhibit E: Ad Hoc Committee on Downtown F inal Report
5.04.430 Parking and business improvement area—Creation—Business license for.
Pursuant to the Parking and Business Improvement Act law of 1965, being Part 5 of Division 18 of the Streets and Highways Code, Sections 36000 through 36081, there is established a business license for the parking and business improvement area, which is hereinafter in this chapter referred to simply as “said area.” (Prior code § 6430.1)
5.04.440 Parking and business improvement area—Boundaries and assessment zones.
The boundaries of the proposed area are formed by two assessment zones:
Zone “A”
All of the area within the following boundaries: Beginning at a point where the centerline of Euclid Avenue intersects the centerline of “D” Street; thence easterly along the centerline of “D” Street to the centerline of Third Avenue; thence southerly along the centerline of Third Avenue to the centerline of AT & SF Railroad right-of-way; thence westerly along the AT & SF Railroad right- of-way to the centerline of Second Avenue; thence northerly along the centerline of Second Avenue to the centerline of “A” Street; thence westerly along the centerline of “A” Street to the centerline of Euclid Avenue; thence northerly along the centerline of Euclid Avenue to the point of beginning.
Zone “B”
All of the area within the following boundaries:
Area 1:
Beginning at a point where the centerline of Euclid Avenue intersects the centerline of “D” Street; thence northerly along the centerline of Euclid Avenue to the centerline of “F” Street, thence easterly to the centerline of First Avenue, thence southerly 283.00 feet to the northern property line of Parcel 13 of Block 20, of the Town of Magnolia, as recorded in Book 9, Page 15, of maps as recorded in the County of San Bernardino, State of California; thence easterly along the north property line of Parcels 13 and 6 of Block 20, and Parcels 13 and 6 of Block 19, of the Town of Magnolia, as recorded in Book 9, Page 15, of maps as recorded in the County of San Bernardino, State of California, to the centerline of Third Avenue; thence southerly 133 feet to the centerline of Arrow Highway; thence easterly to a point 305 feet east of the centerline of Third Avenue; thence southerly 311 feet to the north line of Lot 1 of Tract No. 10407 as recorded in Map Book 149, Pages 77 and 78 of maps as recorded in the County of San Bernardino, State of California; thence westerly 305 feet to the centerline of Third Avenue; thence southerly along the centerline of Third Avenue to the centerline of “D” Street; thence westerly along the centerline of “D” Street to the point of beginning.
Area 2:
Beginning at a point where the centerline of Third Avenue intersects the centerline of Southern Pacific Railroad right-of-way; thence easterly along the centerline of the Southern Pacific Railroad right-of-way to the centerline of Sixth Avenue; thence southerly along the centerline of Sixth Avenue to the centerline of Ninth Street; thence westerly along the centerline of Ninth Street to the centerline of Sixth Avenue; thence southerly along the centerline of Sixth
Avenue to the centerline of the AT & SF Railroad right-of-way; thence westerly along the centerline of the AT & SF Railroad right-of-way 281.75 feet; thence southerly along the east property line of Parcel 2 of Parcel Map No. 3741, as recorded in Map Book 37, Page 44, of maps as recorded in the County of San Bernardino, State of California, to the centerline of Eighth Street; thence westerly along the centerline of Eighth Street to a point 225 feet west of the centerline of Euclid Avenue; thence northerly along the west property line of Lots 14 through 22 of Clubine and Oakley’s Subdivision as recorded in Map Book 5, Page 17, of maps as recorded in the County of San Bernardino, State of California, to the southern property line of Lot 3, Block 2, of a portion of the Euclid Subdivision, as recorded in Map Book 18, Page 57, of maps as recorded in the County of San Bernardino, State of California; thence 17.5 feet west along said property line; thence north to the centerline of the alley running north and south between Palm Avenue and Euclid Avenue; thence northerly along the centerline of said alley to the centerline of Euclid Place; thence westerly along the centerline of Euclid Place to the west property line of Parcel 1 of Tract 8529, as recorded in Map Book 89, Pages 68 and 69 of maps as recorded in the County of San Bernardino, State of California; thence northerly along said property line to the centerline of the AT & SF Railroad right-of-way; thence easterly 122.96 feet; thence northerly to the centerline of “A” Street; thence easterly along the centerline of “A” Street to the center of the alley running north and south between Laurel Avenue and Euclid Avenue; thence northerly along the centerline of said alley to the centerline of Southern Pacific Railroad right-of-way; thence easterly 256 feet to the centerline of Euclid Avenue; thence southerly along the centerline of Euclid Avenue to the centerline of “A” Street; thence easterly along the centerline of “A” Street to the centerline of Second Avenue; thence southerly to the centerline of AT & SF Railroad right-of-way; thence easterly along the centerline of AT & SF Railroad right-of-way to the centerline of Third Avenue; thence north to the point of beginning.
(Prior code § 6430.2)
5.04.450 Parking and business improvement area—Delineation.
For purposes of graphic illustration, the boundaries of said area as described in Section 5.04.430 are delineated on the following map of the area:
Map Delineating Boundaries and Assessment Zones of Parking and Business Improvement Area
(Prior code § 6430.3)
5.04.460 Parking and business improvement area—Uses and purposes.
The uses and purposes to which the additional revenue emanating from said area pursuant to and as a result of this chapter shall be used for any one or more of the following:
A. The acquisition, construction or maintenance of parking facilities for the benefit of the area;
B. Decoration of any public place in the area;
C. Promotion of public events which are to take place on or in public places in the area; D. Furnishing of music in any public place in the area; E. The general promotion of retail trade activities in the area; F. The general promotion of service-oriented businesses in the area. For purposes of this chapter, “service-oriented businesses” means and includes, but is not limited to, businesses engaged in commercial, light industrial and mixed uses; G. Providing administrative and financial support to the designated organization(s) fulfilling the goals and objectives of the area. (Prior code § 6430.4)
5.04.470 Parking and business improvement area—Business classification and rate of levy.
The additional levy of the general business license tax imposed upon businesses within the said area over and above the general business license tax imposed on such businesses commencing with January 1, 1967, with the breakdown by class of business and assessment zone are fixed, levied, determined and established as follows:
AMOUNT OF ADDITIONAL BUSINESS LICENSE TAX FOR
THOSE BUSINESSES LOCATED IN ZONES A AND B OF
THE PARKING AND BUSINESS IMPROVEMENT AREA
CLASSIFICATION OF BUSINESS ZONE A ZONE B
Class A
Business of selling at wholesale An additional tax equal to
61.11 percent of the
business license tax
applicable to each such
respective business
An additional tax equal to
20.36 percent of the
business license tax
applicable to each such
respective business
Mail order/catalog stores
Manufacturing and processing
Medical, dental and optical laboratories
Newspapers and magazine agencies
Undertaking establishments
Class B
Advertising agencies An additional tax equal to
122.24 percent of the
business license tax
applicable to each such
respective business
An additional tax equal to
40.73 percent of the
business license tax
applicable to each such
respective business
Apartments, hotels, motels, etc.
Attorneys
Auto dealers
Automotive repair
Contractors and engineers
Doctors and dentists
Newspaper publishers
Printers
Psychoanalysts, chiropractors, optometrists
CLASSIFICATION OF BUSINESS ZONE A ZONE B
Public bookkeeping, accounting
Public utilities
Real estate offices
Retail sales of newspapers, magazines, tobacco
and other items incidental thereto.
Service stations
Veterinarians
All other professionals licensed and regulated
by the state of California and not specifically
otherwise
classified herein
Class C
All other businesses not otherwise provided for
in Classes A, B or D, including, but not limited
to, the following:
An additional tax equal to
183.37 percent of the
business license tax
applicable to each such
respective business
An additional tax equal to
61.11% of the business
license tax applicable to
each such respective
business
Appliance service
Bakeries
Barbershops
Bars
Beauty shops
Cleaners and cleaners agents and agencies
Department and dry goods
Drug stores
Furniture stores
General merchandise stores
Grocery and food stores
Jewelry
Laundry agents and agencies
Laundromats and self-service laundries and
cleaners
Liquor stores
Lumber and building materials
Massage parlors
Miscellaneous services
Nurseries and flower shops
Nursing homes
Personal and real estate loan agents and
agencies
Photo studios
Rental agents and agencies
Rental leasing companies
Restaurants and eating places
Secondhand dealers and stores
Shoe repair shops
Sign service
Sporting goods stores
CLASSIFICATION OF BUSINESS ZONE A ZONE B
Tailors and tailor shops
Theaters
Trade schools
Trading stamp agencies and redemption centers
TV and radio repair
Class D
Master operators/merchants who lease space or
otherwise permit the use of space to a minimum
of 5 independent contractors, or individual
operators, booths, stations, offices, desks
including, but not limited to, legal real estate,
grooming and mortgage services
An additional tax equal to
244.66 percent of the
business license tax
applicable to each such
respective business
An additional tax equal to
122.32 percent of the
business license tax
applicable to each such
respective business
(Prior code § 6430.5)
5.04.480 Parking and business improvement area—Multiple businesses.
Whenever a business is susceptible to more than one business classification under this title of the Upland Municipal Code or under any of the classifications hereinabove set forth, the highest business license tax applicable under the Upland Municipal Code and the classifications hereinabove set forth which produces the greatest additional tax shall be used and applied to such businesses. (Prior code § 6430.6)
5.04.490 Parking and business improvement area—Payment of tax.
The additional tax levied shall be due and payable and shall be paid at the same time and in the same manner that the business license tax imposed by this chapter is due and payable in accordance with the terms of this chapter. (Prior code § 6430.7)
5.04.500 Parking and business improvement area—Applicability of general business license provisions.
A. The provisions of this title relating to business licenses, permits, and regulations shall be applicable to all businesses in the area described in Section 5.04.440. The additional parking assessment levy of the general business license tax imposed by Section 5.04.470 shall also apply to all such businesses except as set forth in this section. In each case where more than one person or entity is subject to the requirement of a business license for the same business premises, the additional parking assessment levy set forth in section 5.04.470 shall be applicable only to the principal business operator provided that each other person subject to the business license requirements for that business premises is engaged in either:
1. The same business classification and type as the principal business operator, such as beauticians in a beauty salon, barbers in a barbershop or antique dealers doing business cooperatively in one business premises; or
2. A business classification and type commonly accepted as incidental to that of the principal business operator, such as shoe shine service in a barbershop or a manicurist in a beauty salon.
B. The examples provided in this section are by way of illustration, not limitation.
C. For purposes of this section: “Business premises” means the smallest division, or subdivision of a parcel, lot and/or building held out to the public, by means of signage, physical segregation or otherwise, to be one store, shop or other place of business. “Principal business operator” means the owner of or other person or entity having primary rights of management and control over business conducted on the business premises, whether or not such rights be delegated or shared. Each business premises must have a principal business operator. In the event that no person or entity can be determined to be the principal business operator after reasonable inquiry, the finance director shall designate the principal business operator from among the persons and/or entities known to be doing business at the business premises based upon a reasonable inference from the known facts concerning such primary rights of management and control.
D. Any person subject to business license requirements other than one described in subsection (A)(1) or (2) of this section, doing business at a business premises shall be subject to the additional parking assessment levy. (Prior code § 6430.8)
5.04.510 Parking and business improvement area—Payment prerequisite to license.
No business license shall be issued pursuant to this title unless the additional business license imposed by Section 5.04.470 is paid together with the business license pursuant to and imposed by this title. (Prior code § 6430.9)
5.04.520 Parking and business improvement area—Refusal to pay tax.
No person shall fail or refuse to pay the additional business license tax imposed by Section 5.04.470. (Prior code § 6430.10)
REVENUE
PBIA Funds $49,300.00
Irish Festival & Other Events $10,000.00
Miscellaneous ( Donations, Grants, Etc. )$1,000.00
TOTAL REVENUE $60,300.00
EXPENSES
Event Fees $15,000.00
Administration Expenses $1,200.00
PO Box $152.00
Bank Fees $200.00
Office Supplies $1,200.00
Computers & Electronics $3,000.00
Inventory (Merchandise for Promo & Fundraising)$2,000.00 Permits & Licenses $100.00
Insurane $4,000.00
Internet & Phone $1,500.00
Marketing $14,188.00
Legal $1,200.00
Bookkeeper $300.00
Web Maintenance $800.00
Seasonal Decor $10,000.00
Kisok Maintenance $1,000.00
Sidewalk Cleaning $1,600.00
Street Cleaning $1,600.00
Storage Fees $1,260.00
TOTAL EXPENSES $60,300.00
NET OPERATING REVENUE $0.00
HISTORIC DOWNTOWN UPLAND, INC
Annual Budget
July 1, 2021 - June 30, 2022
Historic Downtown Upland
HDU Expenditures using PBIA funds from January 2022 to September 2022
For January – March 2022
• City Reimbursed HDU with $9,504 in PBIA funds for January – March 2022 • HDU paid $3,088 in Advertising and Marketing expenses (i.e. banner prep, Old Magnolia Festival brochure prep, event coordinator)
• Paid $239 in Computer/ Internet expenditures for website maintenance (i.e. monthly maintenance, promotion of event)
• Paid $3,204 for Insurance costs (i.e. commercial umbrella policy) • Paid $674 for legal costs
• Paid $399 for Supplies and Software (i.e. QuickBooks, Staples, Best Buy) • Paid $550 for Permit fees (i.e. Planning fees)
• Paid $447 for Rent/Lease expenditures (i.e. Extra Space storage/Mailbox) • Paid $565 for Taxes and Licenses (i.e. San Bernardino County) • Paid $332 for Utilities (i.e. Verizon Wireless)
For April – June 2022
• City Reimbursed HDU with $15,369 in PBIA funds for April – June 2022 • HDU paid $14,709 in Advertising and Marketing expenses (i.e. Old Magnolia Festival event/car show, entertainment, music, BMX, Meridian, Event Coordinator) • Paid $315 in Computer/Internet expenditures (i.e. Verizon, Frontier) • Paid $140 for Business Expenses (i.e. event signage)
• Paid $40 for QuickBooks fees
• Paid $366 for Rent/Lease expenditures (i.e. Extra Space storage) For July – September 2022
• City Reimbursed HDU with $3,155 in PBIA funds for July – September 2022 • HDU paid $2,132 in Advertising/Marketing expenses (i.e. HDU website, Chamber of Commerce) • Paid $458 in Computer/Internet costs (i.e. Mo. maintenance, Frontier, Spotify, QuickBooks) • Paid $55 for Office Supplies (i.e. Intuit Fee)
• Paid $366 for Rent/Lease expenditures (i.e. Extra Space storage) • Paid $94 for Utilities (i.e. Verizon Wireless)
FINAL REPORT TO THE CITY COUNCIL ON
HISTORIC DOWNTOWN UPLAND
SUBMITTED BY
HISTORIC DOWNTOWN UPLAND AD HOC COMMITTEE
February 10, 2020
Ad Hoc Committee Members: Staff Liaisons:
Helen Bouquet Robert D. Dalquest, AICP, MPA, MURP
Jason Gaudy Development Services Director
Raymond Podesta
Oscar Quiroz Mel Picazo,
Carlos Velastegui Economic Development Coordinator
Giovanni Arellano, Rehab Program
Administrator
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I. INTRODUCTION
This report is submitted to the City Council to fulfill the mission of the Historic Downtown Upland Ad Hoc Committee (the “Ad Hoc Committee”). On February 25, 2019, the City Council authorized the formation of an Ad HOC Committee for the purpose of addressing specific concerns related to Historic Downtown Upland. The Council directed that an Ad Hoc Committee address the following two matters: 1). Evaluation of concerns affecting businesses in Downtown Upland; and, 2). Discussion of alternatives for funding aging or insufficient infrastructure.
The Ad Hoc Committee met from April 2019 to December, 2019 and reviewed a number of land use and planning documents, received presentations from staff and outside speakers, and obtained input from the public attending the meetings, as well as from the Chamber of Commerce. Through this effort the issues and recommendations in this report reflect a candid effort to discuss and analyze the matters affecting Historic Downtown Upland.
II. CONCERNS AFFECTING BUSINESSES IN DOWNTOWN UPLAND
The Ad Hoc Committee identified twenty-nine (29) concerns that collectively inhibit efforts to revitalize the Downtown through business attraction and retention. The list of issues identified fall into four (4) basic categories, they are: 1.) Infrastructure deficiencies; 2.) Code Enforcement and Property Maintenance; 3.) Marketing and Operational issues; and, 4.) Land Use and Parking. Below provides a summary of the list of issues, and the Ad Hoc Committee’s recommended actions to address these issues.
A. Infrastructure Issues:
The overall condition of streets, parkways and parking lots are in poor condition or are not being maintained.
Rock curbs are not being repaired when broken are a mess, and the patchwork is bad.
The alleyway behind my (Jason Gaudy) office on Third Avenue was in bad shape, so I decided to pave it myself.
The parking lots in the Downtown are in bad shape.
The City needs to build-up basic infrastructure and improve the parking lots.
Trash facilities in Downtown are a problem with illegal dumping and trash spread around the facilities. They create an undesirable aesthetic impact.
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The aesthetics in Downtown need improvements with nice trash receptacles, landscape planters, pedestrian benches, and decorative walkways to form a more pedestrian-oriented environment. Security is a big concern in Downtown. There is not enough lighting in parking lots and alleys, or adequate security patrols between 3:00 am to 5:30 am.
The City should identify the dark spots in Downtown and install lighting to improve security in the evenings.
Recommendations:
a) Consider supporting the proposed Sales Tax Initiative with a portion earmarked for the Downtown area to help fund deficient infrastructure. b) Consider the formation of a Business Improvement District (BID)1 that levies an assessment on property owners in the Downtown to fund basic services and infrastructure improvements, such as lighting, security, trash facilities, parking enforcement and certain infrastructure in order to create a positive and prosperous business environment.
c) Form a public-private partnership with Upland Heritage to develop a more aggressive fundraising effort to generate funding to replace, repair and restore rock curbing in the Historic Districts within the Historic Downtown Upland Specific Plan area.
d) Pursue grant funding through regional, state and federal programs to implement streetscape improvements, including pedestrian and bicycle improvements and “greening” of the alleys in the Downtown. e) Implement a campaign for business owners and residents to “adopt” a part of the Downtown amenities to maintain, such as benches, trash reciprocals, and landscape planters in an effort to beautify the Downtown environment.
f) Partner with the Upland Kiwanis, Rotary, or other service organizations and Downtown Businesses to conduct fundraising efforts to fund Downtown amenities and improvements, such as trash enclosures in key areas.
1 Ad Hoc Committee member Jason Gaudy wanted the Final Report to include a statement that he was not in support of any tax increase to accomplish the recommendations in this report unless the City pursued and exhausted all other funding options including cuts to the City’s current spending, and unless its shown that residents are paying lower tax rates compared to other local cities who’ve had success revitalizing their downtown areas.
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B. Code Enforcement and Property Maintenance Issues:
There is a lack of Code Enforcement in the Downtown Upland Specific Plan area:
1. Some single family homes have weeds that are not being maintained.
2. Landscaping is not being maintained on certain properties. The buildings in Downtown need attention and are not being maintained.
The overall aesthetics in the Downtown need to be addressed.
Businesses want to go where the environment is positive. Some of the buildings in Downtown need to be painted which will make a big difference aesthetically.
Businesses in the Downtown need to take responsibility and clean-up the area around their businesses.
On Third Avenue, south of Arrow Highway, it is congested as there are a lot of people and cars parked within this area.
Recommendations:
a) Continue funding the Commercial Rehabilitation Program (CRP) to restore and enhance Downtown storefronts which will increase the aesthetics and sense of place, as well as stimulate private investment in the Downtown.
b) Develop a focused code enforcement effort in the Historic Downtown Upland Specific Plan area to address the identified building and property maintenance issues.
c) Continue funding the Emergency Repair Program (ERP) and the Home Improvement Programs (HIP) funded by the State and federal agencies to repair and rehabilitate the affordable housing stock of older single family homes in the Historic Downtown Upland Specific Plan.
C. Marketing and Operational Issues:
The Downtown needs an advertising program.
A lot of the Downtown businesses are closed in the evening hours which affect the efforts to increase nighttime activity.
There is inconsistency in business hours within the Downtown which is a problem.
Businesses located in the alleyways are not visible and need better identification.
Data from my business (Raymond Podesta) shows that Metrolink only accounts for about 10% of sales.
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Residents don’t tend to venture to the Downtown area as a destination; particularly North Upland residents.
Vacancy rate in the Downtown is a big issue, and is exacerbated by absentee building owners who do not proactively market their properties. San Antonio Hospital employees/families of patients don’t venture to the Downtown.
Recommendations:
a) The City should continue to develop its partnership with Historic Downtown Upland (HDU) in their efforts to promote and market the Downtown area, which includes creating successful special events for Downtown to help existing businesses prosper, and to enhance patronage of the Downtown.
b) Work with the Chamber of Commerce and Historic Downtown Upland in the formulation of a Shop Upland marketing program that promotes and markets the Downtown, and to encourage businesses to stay open in the evening.
c) Create a Visitation Program for staff to visit the owners of vacant buildings and assist them in re-tenanting their buildings, and to solicit ways to enhance the business climate in Downtown.
d) Establish a policy to fast-track projects through the entitlement process and plan check process to help support and quickly advance new business and development opportunities in the Downtown. e) Create a marketing/directory brochure with a list of businesses, the reasons to visit Downtown, and encourage the businesses to offer discounts/incentives to encourage San Antonio Hospital employees and patient families to patron the Downtown. The brochure could be provided in the Hospital’s employee breakrooms or placed on bulletin boards.
f) Establish a banner program to market Downtown events in key areas of the City.
g) Highlight Downtown improvements and activities in City newsletters and on social media.
h) The City or merchant board should host decoration contests for Downtown Businesses.
i) Install an interactive fountain in the Downtown area for people to congregate and socialize (Similar to the Shoppes at Chino Hills or Citrus Plaza in Redlands).
j) Establish a Visitor’s Information Center in the Downtown.
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D. Land Use and Parking Issues:
There are a lot of hair salons and antique shops in the Downtown. The Downtown needs more businesses that draw people to the Downtown for a specific purpose; for example a business that offers cooking classes or painting lessons, or other types of classes.
Residential development is okay to be built within the Downtown area but there is a need to attract specific businesses that draw people to the Downtown.
Parking in the Downtown is being taken-up by business owners, employees and people who live in the area.
Our Downtown draws from all over the area, and more parking is needed in the Downtown.
A number of businesses are using their tenant spaces to store items and do not open their doors for business. This is contrary to the intent and purpose of the Downtown Specific Plan which seeks to develop a pedestrian-oriented and active shopping and dining environment.
Recommendations:
a) As part of developing the Economic Development Action Plan, specific programs and goals should be developed for Downtown Upland to serve as a roadmap to transform the Downtown into a vibrant mixed- use urban and transit-oriented district.
b) Continue funding the Business Assistance and Attraction Program (BAAP) to attract businesses that draw people to the Downtown, and to promote expansion of existing retail and restaurant businesses in the Downtown.
c) Amend the Historic Downtown Upland Specific Plan to only allow salons on the second floor or the non-frontage ground floor within the Old Town District.
d) Amend the Historic Downtown Upland Specific Plan to discern direct retail sales from businesses that sell through the internet and do not open their doors for business, or only use the space for storage. e) Obtain more parking in Downtown by implementing parking strategies such as converting on-street parallel parking to angled-parking where right-of-way permits in those areas of the Downtown where parking is needed.
III. ALTERNATIVES FOR FUNDING AGING OR INSUFFICIENT
INFRASTRUCTURE
The infrastructure within the Historic Downtown Upland Specific Plan area has significant deficiencies and was identified by the Ad Hoc Committee as an
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impediment to attracting development at the densities envisioned in the Downtown Specific Plan. This would entail new and upgraded public improvements including but not limited to: street improvements (surface maintenance and reconstruction), curb, gutter and sidewalk (maintenance, reconstruction and rock curb restoration), water system improvements (upgrades and replacement), sewer system improvements (upgrades and replacement), parking lot improvements (maintenance, pavement reconstruction, restriping, lighting, landscaping and trash enclosures, etc.).
In November 2018, the Public Works Department prepared an in-depth assessment of the public improvements that are necessary to revitalize and build-out the Downtown area. Based on this analysis, approximately $11.5 million worth of public improvements are necessary to restore the public infrastructure in the Downtown area. The public infrastructure deficiencies in Downtown were discussed in November 2018 as part of a policy discussion by the City Council regarding the decision to continue collecting the Parking a nd Business Improvement Area (PBIA) assessment. Because the PBIA assessment only generates approximately $46,000 annually, the City Council decided to continue collecting the assessment and select a merchant board to spend the assessment on marketing and promoting the Downtown, funding special events and funding limited public improvements. The long-term solution to fund deficient infrastructure in Downtown will necessitate a collective effort with Downtown property owners, the City, and other outside available resources from the State and federal agencies.
In general, local governments rely on two methods of financing infrastructure:
1.) pay-as-you-go infrastructure financing refers to using cash or other current assets (i.e., general fund, development impact fees, etc.) rather than debt issuance; and, 2.) Pay-as-you-use infrastructure financing which refers to issuance of long-term debt generally in the form of bonds. There are only a few good options for local government to finance public infrastructure investment. Staff discussed a number of current and recent options with the City’s financial advisor, as well as conducted a literature review on infrastructure financing options and came up with the below methods. The discussion that follows outlines the identified funding options which were reviewed by the Ad Hoc Committee to address the deficient infrastructure.
Although this is not an exhausted list, they are potentially viable mechanisms for local government that offer creative ways in leveraging new resources to funding public infrastructure investments and complement the traditional “pay-as-you-go” resources.
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A. Enhanced Infrastructure Financing District (EIFD)
The Enhanced Infrastructure Financing District law (beginning with Section 53398.50 of the California Gov’t. Code) provides broad authority for local agencies to use tax increment to finance a wide variety of projects, including:
Infrastructure, such as roads, utilities, bridges and wastewater and groundwater facilities; affordable housing, mixed-use development and sustainable development; transit-oriented development; Parks and open space; and Brownfields remediation.
The EIFD provides broad flexibility in what it can fund. No public vote is required to establish an authority, although a fifty-five (55) percent vote is required to issue bonds, as well as other financing alternatives exist. Unlike former redevelopment, this tool imposes no geographic limitations on where it can be used, and no blight findings are required. An EIFD can be used on a single street, in a neighborhood or throughout an entire city. It can also cross jurisdictional boundaries and involve multiple cities and county. While an individual city can form an EIFD without participation from other local governments, the flexibility of this tool and the enhanced financial capacity created by partnerships will likely generate discussions between local agencies on how the tool can be used to fund common priorities. The downside is that you must have “buy-in” from the taxing entities within the EIFD area.
The City of La Verne recently became one of the State’s first cities to form an EIFD within and around their future Downtown Gold Line station. La Verne hopes the EIFD will provide the revenue to issue bonds to fund approximately $33 million for public infrastructure projects. The expenditures for improvements would then be paid back by capturing some of the tax increment that will result from new development. The city hopes this will attract private developers to build a mix of rental and owner-occupied housing, retail, a business park and a hotel; as well as a pedestrian bridge to connect the station area with the Fairplex. La Verne will likely be a test case to determine the success of this recent funding mechanism.
Strengths:
Could attract private sector investment that would otherwise not be possible but for public subsidy for infrastructure investment. Recreates revenue stream through tax increment that can be used to issue bonds to invest in public infrastructure in substandard areas. New financing tool that has not been widely used or tested.
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Weaknesses:
Primary obstacle is getting other taxing agencies to cooperate. Must overcome other taxing agencies suspicions of giving up a portion of their property tax share given their past experience with redevelopment tax increment.
B. Assessment Districts
An Assessment District is a financing mechanism under the California Streets and Highways Code which enables cities, counties and special districts organized for the purpose of aiding in the development or improvement within the district, to designate specific areas as Assessment Districts. The formation requires approval of a majority of the landowners based on financial obligations, and allows these Districts to collect special assessments to finance the improvements constructed or acquired by the District. Assessment Districts help each property owner pay a fair share of the costs of such improvements over a period of years at reasonable interest rates and insures that the cost will be spread to all properties that receive direct a nd special benefit by the improvements constructed.
Assessment Districts account for a substantial amount and share of local public infrastructure spending, and more cities have utilized this funding mechanism to address their public infrastructure deficiencies. An Assessment District can finance improvements that provide a direct and special benefit such as streets, sidewalks, curbs and gutters, water, sewer, gas, electric, lighting, drainage or flood control facilities. An Assessment District cannot finance anything that provides general public benefit such as parks, schools, libraries, jails, childcare and administrative facilities.
Strengths:
Matches payments with benefits within a designated geographic area. No requirement of voter approval.
Weaknesses:
Administration and assessment burden.
Requires legislative approval.
C. Total Road Improvement Program (TRIP)
The Total Road Improvement Program ("TRIP") is a financing program through the California Statewide Community Development Authority (CSCDA), and is
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intended to help local agencies to "catch up" with their street repairs/transit projects by funding more projects upfront. Through TRIP, local agencies borrow against a portion of their Transportation Sales Tax to finance street and highway maintenance and reconstruction projects such as street reconstruction, rehabilitation, resurfacing and new construction in support of economic development activities at low interest rates for up to 30 years.
The concept being that the cost of street repairs increases dramatically after a ten (10) to fourteen (14) year window. Repairing roads with a simple slurry seal is relatively inexpensive (usually falling around $1 per square foot).
However, as soon as the road begins to degenerate somewhere between the fourteenth (14th) to seventeenth (17th) year of use, the cost soars to over $8 per square foot. Leveraging future transportation sales tax revenues for street projects today saves money simply by staying ahead of more expensive repairs. Projects funded by TRIP receive more competitive bids, have no impact on the general fund, and increase property values.
Strengths:
Enables local agencies to "catch up" with their street repairs/transit projects by funding more projects upfront.
New financing program offering low interest rates for up to a 30 -year period of time.
Weaknesses:
Borrowing against a city’s future Measure I transportation sales tax revenue restricts any future use of this revenue during the amortization period.
If the State reduces the transfer of funds the City is still obligated to pay the debt.
D. Community Revitalization and Investment Authority
The Community Revitalization and Investment Authorities (CRIAs) law (beginning with Section 62000 of Gov’t. Code) authorizes tax increment to be used in combination with the powers of former redevelopment agencies. A CRIA focuses on assisting with the revitalization of poorer neighborhoods and former military bases. While similar to redevelopment, a CRIA is more streamlined. Accountability measures are included to ensure that the use of the CRIA remains consistent with community priorities, and a twenty-five (25) percent set-aside is included for affordable housing. Although an initial protest opportunity exists, no public vote is required to establish an authority, and bonds and other debt can be issued after a CRIA is established.
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Strengths:
Issuance of bonds by CRIA does not require voter approval; as compared to an EIFD which requires 55% voter approval.
CRIA must dedicate 25% of tax increment revenue on affordable housing which will assist a city in meeting is RHNA requirements.
Weaknesses:
Adoption of a CRIA Plan is subject to majority protest; whereas, adoption of an EIFD is not.
CRIA operates solely within specifically defined area characterized by quantifiable social and economic deterioration, whereas an EIFD can be established anywhere within a city.
E. Grant Funding
In this era of dissolution of redevelopment agencies and subsequent elimination of tax increment financing, as well as other diminished local government revenue, there are grant opportunities that the City can continue to pursue. Grants offered by the State and federal government agencies can be used to fund infrastructure investments, such as: a.) public infrastructure that supports active transportation that encourages the use of alternative transportation modes, such as walking, bicycling and public transit; b.) urban greening grants, which provide funds to preserve, enhance, increase or establish community green areas and trails; and, c.) grants that link housing with transit to reduce Greenhouse Gas emissions. As part of a comprehensive funding approach to addressing the public infrastructure deficiencies in the Downtown Area, the Ad Hoc Committee recommends that the City aggressively pursue grants as a layered strategic approach.
Strengths:
Variety of federal and State grant programs available for helping fund local infrastructure.
Grants enable sharing cost of needed infrastructure projects.
Weaknesses:
Federal and State governments often impose stringent restrictions on local government’s use of funds.
Competitive process and no guarantee of receiving funding for infrastructure projects.
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Grants target funding of capital construction rather than funding maintenance of the infrastructure.
Recommendation
Funding aging and deficient public infrastructure in the Downtown area is one of the significant challenges confronting revitalization efforts to achieve the mix of uses and the densities envisioned in the Historic Downtown Upland Specific Plan. The Ad Hoc Committee acknowledges the importance that adequate public infrastructure investment will play in the future revitalization of Downtown. However, the important challenges in financing Downtown public infrastructure will require a wise and determined approach which necessitates an experienced financing professional to evaluate the best option(s) for the Downtown area and the City. Based on this, the Ad Hoc Committee recommends that the City Council pursue the following:
a) The City should obtain the services of a consultant who specializes in public infrastructure financing to prepare a feasibility study for the Downtown area that evaluates the identified options, and/or other funding options available to local government. The desired outcome is to determine the most viable option(s) to address the deficient public infrastructure challenges that the City should pursue, while considering the City’s financial situation and viewpoints of property owners, businesses and residents in the Downtown area.
b) As part of undertaking a feasibility study to fund Downtown public infrastructure, a community outreach program is necessary to ensure transparency and inform Downtown area stakeholders in the process of evaluating and selecting a financing option(s) for public infrastructure investment, understand how they may be affected and an opportunity to offer their input.