Vancouver City Council |
ADMINISTRATIVE REPORT
Date: November 16, 2004
Author/Local: P. Vaisbord/6304
RTS No. 04626CC File No. 8305
Meeting Date: November 30, 2004
TO:
Vancouver City Council
FROM:
Director of City Plans
SUBJECT:
Approval of Council Initiative - Chinatown BIA Renewal
RECOMMENDATION
A. THAT Council re-confirm the Vancouver Chinatown BIA Society as sponsor for the Chinatown BIA.
B. THAT Council approve the commencement of a Council Initiative to re-establish (renew) the Chinatown BIA, for a second five-year term commencing April 1, 2005; AND THAT Council forward the application of the Vancouver Chinatown BIA Society to a hearing of the Court of Revision.
C. THAT the City notify property owners and tenants within the area, outlined in Appendix A (LIMITED DISTRIBUTION - ON FILE IN CITY CLERK'S OFFICE) of the proposed BIA renewal and levy.
D. THAT Council approve a 5 year (2005 -2010) funding-ceiling of $1,037,867 for the Chinatown BIA, subject to Council approval of the renewal at the Court of Revision.
GENERAL MANAGER'S COMMENTS
The General Manager of Community Services RECOMMENDS approval of the foregoing.
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 generally 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.
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 Chinatown BIA was approved in 2000 for an initial 5-year term which expires March 31, 2005. The BIA must now be re-established (renewed) for a further term to continue to operate. The Vancouver Chinatown BIA Society (VCBIA) 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 VCBIA 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 Chinatown BIA was one of five BIAs established under the Council Initiative process in 2000, along with the Commercial Drive, Fraser Street*, Marpole and Strathcona BIAs. The Vancouver Chinatown BIA Society wishes to renew the BIA for a second 5 year term (April 1, 2005 - March 31, 2010). No boundary changes are proposed at this time.
*The Fraser Street BIA has been inactive, has not received funding, and will not be renewed.
DISCUSSION
The BIA boundary comprises the traditional Chinatown area bounded roughly by Hastings, Gore, Union, Columbia and Carrall. A map of the boundary is attached as Appendix A.
The VCBIA proposes a Year 1 renewal budget of $170,000, representing an annual levy rate of $1.10 per $1,000.00 of assessed property value. A copy of the proposed budget is attached for information as Appendix B (LIMITED DISTRIBUTION - ON FILE IN CITY CLERK'S OFFICE). If Council approves the Chinatown 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' 2005 - 2006 budget requests.
The proposed funding-ceiling of $1,037,867 is the maximum amount that may be levied over the Chinatown BIA renewal term, and reflects an increase of 89.2% over the previous 5 year ceiling.
Membership Outreach Activities
Renewal Outreach commenced in April 2004 after a consultant was retained to assist with the outreach process. The consultant was jointly funded through BIA and Vancouver Agreement funding.
Between April 27 and May 19, five Renewal focus groups were held to generate initial feedback regarding the BIA's past work, and to gather issues and ideas toward a new 5 year Workplan. The April 27 focus group was a Board of Directors workshop. The remaining sessions were open to all property owners and merchants, each attracting 6-7 participants. Three sessions were conducted in Chinese, one in English.
In mid-May, 2004, a survey in English and Chinese was sent to all property owners and businesses within the BIA (158 property owners and approximately 300 businesses). As some businesses own their premises, the total number of recipients was approximately 400. Of the over 100 responses received, 85.5% were business tenants or managers, and 14.5% were property owners or managers. Averaged responses in three subject categories indicate that 85% of respondents were satisfied with BIA accomplishments in its initial 5-year term, and 98% of respondents supported the BIA `doing more' in the next five years.
Three Renewal Open Houses were held in Chinese and English on May 6th, June 8th and July 21st, 2004. A total of 125 people attended over the three evenings, with about 45 in attendance at each of the May and June meetings, and about 35 at the July meeting. The numbers include VCBIA Directors and the City's BIA Coordinator, who explained the BIA renewal process. A significant number of people attended more than one meeting. Of the 125 persons attending, thirty registered as property owners, seven of which registered as both property owners and merchants.
The May Open House introduced the subject of BIA renewal and sought discussion on issues and priorities. The June Open House presented the Renewal Survey results, introduced a draft 5-year Workplan with alternative budgets, and elicited comments. Although there were some negative comments regarding competition from the Chinatown Night Market, the meeting was generally positive.
The final Open House presented a revised 5-year Workplan and sought further input on the alternative budgets ($170,000 and $196,000). An informal show of hands at the conclusion of the July 21st meeting indicated strong support for the higher of the two budget options, with some participants favouring even higher annual expenditures. There was no open opposition to the proposed renewal at any of the open houses.
In late August 2004, the VCBIA formally notified all of the property owners and business tenants of its upcoming September annual general meeting (AGM). The VCBIA AGM was held on September 16, 2004. Forty-one voting members (10.3% of total property owners and business tenants) attended the AGM, including 23 property owners (14.6% of total owners) and 18 business tenants (7.4% of total tenants). Because of multiple property holdings and businesses, 60 property-owner ballots and 27 tenant ballots were represented. The proposed renewal, 5-year funding ceiling, and 2005-2006 budget were overwhelmingly approved. Of the 72 votes cast, there were 5 votes opposed to the BIA renewal motion, 3 votes opposed to the renewal plan and funding ceiling, and 2 votes opposed to the 2005-06 budget.
Based on the AGM results and member input received to date, the VCBIA believes that the 2005-2010 renewal proposal, the proposed 5-year funding ceiling, and the Year-1 budget are generally supported. The VCBIA formally applied to the City for renewal of its mandate on November 10, 2004. A copy of their application letter, a further letter outlining their outreach process, and documentation of their outreach material, is attached as Appendix C (LIMITED DISTRIBUTION - ON FILE IN CITY CLERK'S OFFICE).
Staff Comments - Membership Outreach and Support
Staff are satisfied that the VCBIA has notified all commercial property owners and tenants within the proposed renewal area. As the VCBIA was able to generate a high rate of return on the BIA renewal survey (25%), the results are statistically significant. The survey indicates an overall 85% BIA approval rating among respondents; however, fewer than 15% of respondents were property owners or managers, indicating a much lower response rate from owners. At the Open Houses, fewer than 25% of the participants were property owners. However, participation at the AGM was reversed: Fifty-six percent of members in attendance were property owners. Although only 10% of BIA property owners and businesses were represented at the meeting, the number in attendance was well above the required quorum of 15 present in person, and better than average for BIAs. As the participation rate at BIA AGMs is generally low, AGM results are not necessarily an indicator of general property owner/merchant support for renewal.
In early September, an anonymous letter in Chinese was faxed to Chinatown merchants and property owners. The letter is critical of the VCBIA and calls for removal of the BIA levy. A copy of the letter, and English translation, is attached as Appendix D (LIMITED DISTRIBUTION - ON FILE IN CITY CLERK'S OFFICE).
Staff have had telephone conversations with three persons within the BIA critical of the VCBIA and/or requesting `how to' information regarding objections. The individuals appear to be part of a group of property owners. On September 9, staff convened an informal meeting with one of the group members, the VCBIA President, and a VCBIA Director. The result of the meeting was inconclusive. In 1999, a BIA proposal was defeated by a majority of Chinatown property owners; in 2000 a modified BIA proposal was approved, but with very close to one-third of property owners opposed.
Staff conclude there may be a significant number of non-participating property owners and/or merchants motivated to oppose BIA renewal, notwithstanding the positive Outreach results and the near-unanimous renewal vote of VCBIA members at the Annual General Meeting.
CONCLUSIONS
The Vancouver Chinatown BIA Society is requesting that Council consider approval of its proposed 5 year renewal term and 5 year funding ceiling of $1,037,867, and has asked that their application be forwarded by way of Council Initiative to a Court of Revision. Staff have been contacted separately by individuals, perhaps part of a larger group, who may actively oppose BIA renewal; there is some cause for concern, as a significant number of non-participating property owners and/or merchants may be opposed to the BIA levy, notwithstanding the positive Outreach results and the near-unanimous renewal vote of VCBIA members at the Annual General Meeting. If Council approves the Chinatown 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' 2005 - 2006 budget requests.
LINK TO APPENDICES A, B, C AND D
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