ADMINISTRATIVE REPORT

TO:

Standing Committee on Planning and Environment

FROM:

Director of City Plans

SUBJECT:

Approval of Council Initiative - Gastown BIA Renewal

 

RECOMMENDATION

GENERAL MANAGER'S COMMENTS

COUNCIL POLICY

Council policy for the renewal of a BIA was approved on July 30, 1992 as follows:

A BIA is renewed (re-established) by Council Initiative process; property owners and commercial tenants receive notification of the Initiative. The renewal will not be approved if one third or more of the owners, representing one third of the assessed property value, or one third of the tenants, counted separately, are in opposition. An outline of the process is attached as Appendix A.

Section 462 of the Vancouver Charter was amended on September 23, 1998 to permit BIA renewal terms of up to 20 years. Council has exercised its authority under the amendment by approving ten year renewal terms for the Mount Pleasant and Downtown Vancouver BIAs.

PURPOSE

The Gastown BIA was re-established in 1999 for a third 5-year term which expires March 31, 2004. The BIA must now be re-established (renewed) for a further term to continue to operate. The Gastown Business Improvement Society (GBIS) has completed the first step in the BIA renewal process. The purpose of this report is to commence the second step, which is to re-confirm the GBIS as BIA sponsor, to approve a Council Initiative to renew the BIA, to forward the renewal application to the Court of Revision, and to approve the proposed 5 year funding ceiling.

BACKGROUND

The Gastown BIA is one of the City's two oldest BIAs. It was first established in 1989, for a 5 year term. Further 5-year renewal terms were approved in 1994 and in 1999. The Gastown Business Improvement Society wishes to renew the BIA for a fourth 5 year term (April 1 2004 - March 31 2009). No boundary changes are proposed at this time.

DISCUSSION

The BIA boundary comprises the area generally bounded by Richards St. on the west, Columbia St. on the east, the CPR right-of-way on the north, and the lane north of Hastings. A map of the boundary is attached as Appendix A.

The GBIS proposes a Year 1 renewal budget of $370,000.00, representing an annual levy rate of $2.25 per $1,000.00 of assessed property value. A copy of the proposed budget is attached for information as Appendix B. If Council approves the Gastown BIA renewal at the Court of Revision, staff will report back for approval of the Year 1 budget along with all of the other BIAs' 2004 -2005 budget requests.

The proposed funding-ceiling of $1,850,000 is the sum of the projected $370,000 annual budgets over 5 years, and is the maximum amount that may be levied over the Gastown BIA renewal term. This figure reflects an increase of 21.7% over the previous 5 year ceiling.

Membership Outreach Activities

Outreach to the BIA membership commenced with a meeting with property owners on January 16th 2003, to review BIA activities over the current 5-year term, and to receive feedback and input on priorities for the next 5-year mandate.

In May 2003, the GBIS Board participated in a facilitated strategic planning session for the new 5-year term. During the month of August 2003, a membership survey was conducted to seek feedback on BIA programs, gather input regarding future activities, and determine level of support for BIA renewal. The survey was accompanied by a two page background document about the BIA and its activities. The survey and backgrounder were sent by a combination of mail, fax, e-mail and hand-delivery to all 370 property owners and business tenants within the BIA (96 property owners and 274 business tenants). A total of 163 responses were received (44.1% of total), including 46 property owners (47.9% of owners) and 117 businesses (42.7% of businesses). In answer to the question `Do you support the renewal of the GBIS?', all 46 responding property-owners (100%) answered `yes'. Of the 117 business (tenant) responses, 113 (96.6%) answered `yes', 1 (0.9%) answered `no' and 2 (1.7%) were `not sure'.

On September 4 2003, the GBIS held a renewal information meeting open to all property owners and businesses. Sixteen people were in attendance, including the GBIS Manager, a few GBIS Directors, and the City's BIA Coordinator, who explained the BIA renewal process. The proposed renewal plan and budget was circulated for discussion. None of the participants expressed opposition to the proposed BIA renewal.

In early September, 2003, the GBIS formally notified all of the property owners and tenants of its upcoming September annual general meeting (AGM). 41 voting members (11% of total property owners and business tenants) were in attendance at the AGM, including16 property owners (16.7% of total) and 25 business tenants (9.1% of total). The proposed renewal, 5-year budget, and 2004-2005 budget were approved unanimously.

Based on the AGM results and member input received to date, the GBIS is confident that the 2004-2009 renewal proposal, the proposed 5-year funding ceiling, and the Year-1 budget are generally supported. The GBIS formally applied to the City for renewal of its mandate on November 21, 2003. A copy of their application letter, a further letter outlining their outreach process, and documentation of their outreach material, is attached as Appendix C.

Staff Comments - Membership Outreach and Support

Staff are satisfied that the GBIS has notified all commercial property owners and tenants within the proposed renewal area. The GBIS was able to generate a high rate of return on the August 2003 survey (41%). The survey indicates a 100% BIA approval rating from responding property owners and close to 97% approval from responding businesses, which appears to be confirmed by the significant number of support forms submitted, and the unanimous renewal vote at the Annual General Meeting. Although only 41 members (11% of BIA property owners and merchants) attended the meeting, this number is well above the required quorum of 15 members, and the meeting was well attended relative to other BIAs.

The GBIS reports that as of the date of this report, no property owners or businesses, other than the one negative survey respondent, have contacted the BIA to express opposition to the renewal proposal. Staff have received no telephone calls or correspondence from individuals expressing opposition or concern regarding the renewal proposal; however, the City's BIA Coordinator was not listed as a contact in the GBIS's literature.

CONCLUSIONS

The Gastown Business Improvement Society is requesting that Council consider approval of its proposed 5 year renewal term and 5 year funding ceiling of $1,850,000, and has asked that their application be forwarded by way of Council Initiative to a Court of Revision. The results of GBIS outreach activities indicate minimal opposition at this stage in the process. If Council approves the Gastown BIA renewal at the Court of Revision, staff will report back for approval of the Year 1 budget along with all of the other BIAs' 2004 - 2005 budget requests.

APPENDICES FOR THIS REPORT ARE AVAILABLE FOR VIEWING IN CITY CLERK'S OFFICE OR COUNCILLORS' SECRETARIAT.

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