Approval of BIA Budgets

ADMINISTRATIVE REPORT
Date: February 23, 1998
Author/Local: A.McAfee/7451
CC File No. 8000

TO:

Standing Committee on Planning and Environment

FROM:

Director of City Plans

SUBJECT:

Approval of Business Improvement Area (BIA) Budgets

RECOMMENDATION
THAT Council approve the BIA Business Promotion Schemes and Budgets for the 1998-1999 year listed below and instruct staff to bring forward the appropriate rating by-laws:

LEVY
$705,000
248,500
132,000
98,000
199,000

BIA
Downtown
Robson
Kerrisdale
Mount Pleasant
Gastown
GENERAL MANAGER'S COMMENTS
The General Manager of Community Services RECOMMENDS approval of the foregoing.
COUNCIL POLICY
Each year, BIA Boards are required to obtain approval of their forthcoming year's promotion plan and budget from their members at a general meeting and from City Council.
PURPOSE
The purpose of this report is to request Council's approval of the 1998-1999 budgets for the five BIAs and to instruct staff to prepare appropriate rating by-laws.
BACKGROUND
Funding for Business Improvement Areas is advanced by Council and recovered through property taxes. Each year Council approves BIA budgets and staff prepare rating by-laws for Council's enactment. After the rating by-laws are enacted, funds are released to the BIA societies in April and recovered through subsequent property taxes. The 1998-99 budgets for the five BIAs are presented in this report.
DOWNTOWN BIA BUSINESS PROMOTION SCHEME AND BUDGET 1997-98
The Downtown Vancouver Business Improvement Association (DVBIA) has submitted the following business promotion scheme and budget for Council's approval. They request a recoverable grant of $705,000 for 1998-1999 -- $500,000 for the original BIA area and $205,000 for the recently approved expansion area.

REVENUE
a.Levy Request
b.Carried over funds, projected interest, GST rebate
c.Transfer from surplus reserves

$705,000
25,000
30,979
TOTAL

$760,979

EXPENDITURES
a. Retail Marketing and Promotion
b. Research
c. Commercial/Business Development
d. Communications
e. Office Expenses & Administrative Costs
Projected Operating Fund at Year End

$184,588
8,000
325,587
88,404
154,400
TOTAL

$760,979
$ 90,378
The business promotion scheme was approved by the majority of members present at the annual general meeting held on September 30, 1997, subject to approval of the BIA area expansion. Council considered the expansion at a Court of Revision on January 20, 1998. Council approved the expansion and directed staff to prepare the by-law to establish the new BIA boundary and funding ceiling.
The Downtown Vancouver BIA accrued a surplus in its first year of operation. The DVBIA has been slowly consuming its surplus by spending the funds on additional programs. Details of the budget are provided in Appendix A. This is the fourth year of the BIA’s second five-year mandate.
ROBSON STREET BIA BUSINESS PROMOTION SCHEME AND BUDGET 1998-1999
The Robson Street Business Association has submitted the following business promotion scheme and budget for Council's approval and has requested a recoverable grant of $248,500 for 1998-1999.

REVENUE
a.Levy Request
b.Carried over funds projected interest & GST rebate

$248,500
8,100
TOTAL

$256,600

EXPENDITURES
a. Marketing,
b. Community Relations
c. Street Enhancement
d.Office Expenses, Administrative Costs, and Contingency
Projected Operating Fund at Year End

$100,000
31,300
48,800
76,500
TOTAL

$256,600
$ 67,000
The business promotion scheme was approved by the majority of members present at the annual general meeting held on September 16, 1997. (Budget details are attached as Appendix B.) This is the third year of their second five-year mandate.
KERRISDALE BIA BUSINESS PROMOTION SCHEME AND BUDGET FOR 1998-99
The Kerrisdale Business Association has submitted the following business promotion scheme and budget for Council's approval and has requested a recoverable grant of $132,000 for 1998-1999.

REVENUE
a. Levy Request
b.Carried over funds, projected interest,and GST rebate
EXPENDITURES
a. Marketing, Promotions, Communications
b. Planning, Beautification
c. Office Expenses & Administrative Costs
Projected Operating Fund at Year End

$132,000
1,000
TOTAL
$66,000
28,000
39,000
TOTAL

$ 133,000
$133,000
$ 19,000
The business promotion scheme was approved by the majority of members present at the annual general meeting held on September 24, 1997. Further details of the budget are provided in Appendix C. This is the third year of their second five-year mandate.
GASTOWN BIA BUSINESS PROMOTION SCHEME AND BUDGET FOR 1998-99
The Gastown Business Improvement Society has submitted the following business promotion scheme and budget for Council's approval and has requested a recoverable grant of $199,000 for 1998-1999.

REVENUE
a. Levy Request
b.Carried over funds, projected interest, and GST rebate
EXPENDITURES
a.Marketing and Promotion, Research
b. Street Enhancement, Security Program
c. Salaries and Operating Expenses
d. Contingency
Projected Operating Fund at Year

$199,000
51,000
TOTAL
$ 75,000
86,000
84,000
5,000
TOTAL

$250,000
$250,000
$ NIL
The business promotion scheme was approved by the majority of members present at the annual general meeting held on September 35, 1997. Details of the budget are provided in Appendix D. This is the fifth year of their second five-year mandate. The BIA will be undertaking renewal activities this year.
MOUNT PLEASANT BIA BUSINESS PROMOTION SCHEME & BUDGET FOR 1998-99

The Mount Pleasant Commercial Improvement Society has submitted the following business promotion scheme and budget for Council's approval and has requested a recoverable grant of $98,000 for 1998-1999.

REVENUE
a.Levy Request
EXPENDITURES
a.Marketing & Promotions, Communications
b.Street Enhancement
c. Office Expenses
Projected Operating Fund at Year End

$98,000
TOTAL
$22,200
20,000
55,800
TOTAL

$ 98,000
$98,000
$ NIL
The business promotion scheme was approved by the majority of members present at the annual general meeting held on October 8, 1997. Details of the budget are provided in Appendix E. This is the fifth year of their second five-year mandate. As part of the renewal process, the BIA is considering expanding its boundaries one block to the east (Guelph Street) and one block to the west (Ontario Street) along Broadway.
SUMMARY
All the BIAs have complied with the requirements set out in the City's BIA Grant Allocation By-law and the City's operational guidelines (see Appendices F and G). City staff have reviewed the audited financial statements of all the BIAs. The proposed Business Promotion Schemes are in keeping with the spirit of BIA legislation. Staff recommend approval of the BIAs' 1998-1999 budgets.
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NO ELECTRONIC COPY AVAILABLE FOR APPENDICES A THROUGH G.
APPENDICES ON FILE IN CITY CLERK’S OFFICE.
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TO:	Standing Committee on Planning and Environment
FROM:	Director of City Plans
SUBJECT:	Approval of Business Improvement Area (BIA) Budgets