ADMINISTRATIVE REPORT

TO:

Standing Committee on Planning and Environment

FROM:

Director of City Plans

SUBJECT:

Approval of Council Initiative - South Granville 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 South Granville BIA was approved in 1999 for an initial 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 South Granville Business Improvement Association (SGBIA) 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 SGBIA 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 South Granville BIA was one of the first three BIAs established under the Council Initiative process in 1999, along with the Davie Village and Yaletown BIAs. The South Granville Business Improvement Association wishes to renew the BIA for a second 5 year term (April 1, 2004 - March 31, 2009). No boundary changes are proposed at this time.

DISCUSSION

The BIA boundary comprises eleven blocks of Granville Street between W. 5th Ave., at the north end, and W. 16th Ave, on the south. A map of the boundary is attached as Appendix A.

The SGBIA proposes a Year 1 renewal budget of $362,250.00, representing an annual levy rate of $1.73 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 South Granville 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 $2,200,000 is the maximum amount that may be levied over the South Granville BIA renewal term, and reflects an increase of 22.2% over the previous 5 year ceiling.

Membership Outreach Activities

Discussion of the upcoming BIA renewal began with the Summer 2003 edition of the `Word on the Rise' Newsletter, which included material explaining the BIA process and indicating the SGBIA would be seeking a renewal of its mandate.

In early July, correspondence regarding BIA renewal was sent to all 434 property owners and business tenants within the BIA. The correspondence included background information about BIAs and an explanation of the BIA renewal process. Members also received a document which outlined BIA accomplishments over the current 5 year term, provided a summary of the 2004-2009 Strategic Plan /budget allocation, and introduced a proposed funding-ceiling and Year 1 budget. The package also included an SGBIA membership form, and an invitation to two renewal `open houses' to be held in late July.

In mid-July, the SGBIA formally notified all of the property owners and business tenants of its upcoming September annual general meeting (AGM). The AGM notice included a second invitation to the renewal open houses.

On July 22 and 23, the SGBIA held two informal general meetings (open houses) for property owners and businesses to discuss renewal issues. A total of thirty-two people attended the two meetings, including SGBIA Directors and the City's BIA Coordinator, who explained the BIA renewal process. There was no evidence of opposition to the proposed renewal at either open house. An informal show of hands at the conclusion of the July 23rd meeting was unanimous in support for the draft renewal proposal.

In mid-August, the SGBIA distributed its Annual Report to all property owners and business tenants. A significant portion of the Report was devoted to discussing BIA renewal, the renewal process, and the related items for approval at the AGM, including the proposed 5 year funding-ceiling and Year 1 renewal budget.

The SGBIA AGM was held on September 4, 2003. 22 voting members (5.1% of total property owners and business tenants) were in attendance at the AGM, including 6 property owners (6.6% of total owners) and 16 business tenants (4.7% of total tenants). Fifteen proxies were also exercised. The proposed renewal, 5-year funding ceiling, and 2004-2005 budget were approved unanimously.

In mid October, a `renewal support' survey was sent to all 434 property owners and business tenants within the BIA (91 property owners and 343 tenants). A covering letter (reprinted in the Fall 2003 newsletter) summarized the AGM resolutions approving the proposed BIA renewal, and explained the balance of the renewal process. The accompanying survey asked respondents to indicate whether they `support' or `do not support' BIA renewal. Respondents could also choose `don't know' or `need more information' A total of 74 responses were received (22.2% of total property owners and business tenants), including 26 property owners (28.6% of owners) and 48 businesses (14% of businesses). The distribution of responses was: `Support': 63 responses (85.1%), `Do not support': 3 responses (4.1%) , and `Don't know /Need more information': 8 responses (10.8%). By category, 23 property owners (88.4% of owners) indicated support; one owner indicated non-support (3.8% of owners). Renewal was supported by 40 business tenants (83.3% of businesses); two businesses (4.2%) indicated non-support.

Based on the AGM results and member input received to date, the SGBIA is confident that the 2004-2009 renewal proposal, the proposed 5-year funding ceiling, and the Year-1budget are generally supported. The SGBIA formally applied to the City for renewal of its mandate on November 12, 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 SGBIA has notified all commercial property owners and tenants within the proposed renewal area. The SGBIA was able to generate a relatively high rate of return on the `renewal support' survey (20%). The survey indicates an 88% BIA approval rating from property owners and an 83% approval rating from 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 about 5% of BIA property owners and businesses were represented at the meeting, the attendance was above the required quorum of 15 present in person. While low AGM attendance is a challenge for many BIAs, the AGM results would carry greater weight if attendance had been better.

The SGBIA reports that as of the date of this report, no property owners or businesses, other than those returning `non-support' surveys, 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 SGBIA's literature.

CONCLUSIONS

The South Granville Business Improvement Association is requesting that Council consider approval of its proposed 5 year renewal term and 5 year funding ceiling of $2,200,000, and has asked that their application be forwarded by way of Council Initiative to a Court of Revision. The results of SGBIA outreach activities indicate minimal opposition at this stage in the process. If Council approves the South Granville 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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