Agenda Index City of Vancouver

ADMINISTRATIVE REPORT

TO:

Standing Committee on Planning and Environment

FROM:

Director of City Plans

SUBJECT:

Approval of Council Initiative - BIA Expansions and Renewals

 

RECOMMENDATION

GENERAL MANAGER'S COMMENTS

COUNCIL POLICY

Section 462 of the Vancouver Charter was recently amended to permit BIA renewal terms of up to 20 years -- proclaimed in force September 23, 1998. The current terms for the existing BIAs were approved under the previous legislation and must be renewed after 5 years.

Council policies with respect to the renewal and expansion of a BIA include:

· July 30, 1992: A BIA is renewed (re-established) by Council Initiative process; property owners and commercial tenants receive notification of the Initiative, and 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.

· October 14, 1997: Council revised the process for establishment and expansion of a BIA. The previous process required a Petition representing 50% of the affected property owners. The new process deletes the petition requirement, proceeding by way of Council Initiative -- the formation or expansion request will not be approved if one-third or more of the property owners, representing one-third of the assessed property value, or one-third of the tenants, counted separately, are in opposition.

PURPOSE

The Gastown BIA has voted to renew its mandate for a further 5-year term. The Mt. Pleasant BIA has completed the first step in a combined renewal and expansion process. The Kerrisdale BIA proposes to expand in a non-renewal year, and has completed the first step in the expansion process. The purpose of this report is to commence Council Initiatives forthe renewal of the Gastown BIA, renewal/expansion of the Mt. Pleasant BIA, and mid-term expansion of the Kerrisdale BIA.

BACKGROUND

Expansion Process

In October 1997, Council approved a simplified BIA process which proceeds by way of a Council Initiative that does not require a petition. The new process is similar to the pre-existing process for BIA renewals, i.e. if Council approves a Council Initiative, the City mails notices to all commercial property owners and tenants with instructions to register support or opposition. The BIA proposal will be defeated if one-third or more of the property owners (representing one-third of the assessed property value) or one-third of the commercial tenants, object. The owners and tenants are counted separately, so that one-third opposition from either group can defeat the BIA.

The revised process applies also to BIA expansions. In an expansion proposal, only the owners and tenants within the expansion area are polled, as the other property owners and members would have had notice of the proposal as members of the existing BIA, through their AGM notification. However, if the expansion application is accompanied by an application for a mid-term funding-ceiling increase, then property owners and tenants within the existing area would also be notified.

Renewals

Until recently, the Vancouver Charter required BIAs to renew their mandate every five years. Provincial amendments to the Charter proclaimed in force on September 23 of this year empower Council to consider renewal terms of up to 20 years.

DISCUSSION

1. Gastown Renewal Application

In August 1998, the Gastown BIA notified all of the property owners and tenants of its upcoming September annual general meeting (AGM). The notice stated that a vote would be taken on whether or not the BIA should renew its mandate for a third 5-year term. At the annual general meeting there was unanimous support for BIA renewal.

At the annual general meeting, the members also unanimously approved an expansion proposal, but because of difficulties contacting the expansion-area property owners, the BIA board has decided not to proceed with the proposed expansion at this time.

Staff Comments

The Gastown BIA membership has given the BIA a unanimous mandate for renewal. Staff observed no dissent at the AGM except for a single dissenting vote regarding balloting for the election of directors. Although the membership also approved a modest boundary expansion, staff believe the BIA has acted prudently to delay implementation of the expansion until the support of expansion-area properties can be assured.

Notification

If Council approves the Council Initiative, staff will notify all commercial property owners and tenants within the existing BIA boundaries.

2. Mt. Pleasant Applications

a) Renewal

In August 1998, the Mount Pleasant BIA notified all of the property owners and tenants of its upcoming September annual general meeting (AGM). The notice stated that a vote would be taken on whether or not the BIA should renew its mandate for a third term and stipulated a renewal option of 10 years, subject to passage of the Provincial amendments to the Vancouver Charter permitting longer renewal terms. At the annual general meeting there was unanimous support for BIA renewal. The proposed renewal term of ten years was also supported unanimously.

b) Expansion

The AGM notice stated that a vote would be taken on whether or not the BIA should expand its boundaries. At the annual general meeting, the members unanimously approved the proposed expansion. A map showing the proposed expansion is attached as Appendix B.

The BIA has been canvassing property owners and business tenants located in the proposed expansion area, and believes that expansion is generally supported. Documentation of their outreach activities is attached to this Report as Appendix C.

Staff Comments

Based on observations at the AGM, staff believe that the membership strongly support their BIA and its management. The members' confidence in the BIA is evident in its unanimousapproval of a 10-year mandate -- the first BIA in Vancouver to approve a renewal term longer than 5 years.

Staff are satisfied that the BIA has made every effort to contact expansion-area property owners and tenants, and are not aware of significant opposition. To date, staff have received two telephone calls from property owners expressing opposition to their property being included in the expansion.

Notification

If Council approves the Council Initiative, staff will notify all commercial property owners and tenants as follows:

a) Renewal - All properties within the existing BIA boundaries

b) Expansion - All properties within the expansion area only.

3. Kerrisdale Applications

a) Expansion

In August 1998, the Kerrisdale BIA notified all of the property owners and tenants of its upcoming September annual general meeting (AGM). The notice stated that a vote would be taken on whether or not the BIA should expand its boundaries. At the AGM, the members unanimously approved the proposed expansion. The KBA board subsequently resolved to reduce the proposed expansion because of significant opposition along West Boulevard between 37th and 39th Avenues. A map showing the revised expansion area is attached as Appendix D. (The Kerrisdale BIA is not seeking renewal at this time, as it is in the third year of a five-year mandate.)

The KBA has been canvassing property owners and business tenants located in its proposed expansion area. Within the revised expansion area, a survey of owners and tenants indicated 75% in favour of inclusion, and 0 opposed (with a 37% response rate). Based on the survey results and the KBA's outreach activities, the KBA believes that expansion is generally supported. Documentation of their outreach activities is attached to this Report as Appendix E.

b) Funding Ceiling Increase

The Kerrisdale BIA has developed a highly successful private security program which has been funded by voluntary contributions from some of the members. At the AGM, the members approved a motion increasing the annual budget for the final two years of the renewal period to bring funding for security patrols into the BIA budget, subject to Council approval of the proposed expansion. For year 4, the difference between the proposed non-expansion budget and the proposed expansion budget is $77,000.00, of which $20,000 would be generated by the new expansion area levies, and the balance by increased levies from existing area properties.

The BIA is therefore requesting that Council approve a mid-term increase in their 5-year funding ceiling to accommodate the proposed budget increase. The Council-approved 5-year funding ceiling for the Kerrisdale BIA is $669,000. The proposed funding ceiling is $823,000., an increase of $154,000( or approximately 23%).

Staff Comments

Based on staff observation at the AGM, and the unanimous approval of all motions, the membership appear to be strongly supportive of their BIA and its management.

Staff are satisfied that the BIA has made every effort to contact expansion-area property owners and tenants, and are not aware of significant opposition. To date, staff have not been contacted by any expansion-area owners or tenants expressing opposition to inclusion in the BIA. As the BIA has been careful to propose expansion only in locations where it is assured of support, staff anticipate minimal, if any, opposition to the proposed expansion.

Notification

If Council approves the Council Initiative, staff will notify all commercial property owners and tenants as follows:

a) Expansion - All properties within the expansion area only.

b) Increase in Funding Ceiling - All properties within the existing BIA boundary.

SUMMARY OF PROPOSED COUNCIL INITIATIVES

The Gastown, Kerrisdale and Mt. Pleasant BIAs have requested that Council commence Council Initiative processes as follows:

Gastown: a) Renewal 5 year term (1999 - 2004)

Mt. Pleasant: a) Renewal 10 year term (1999 - 2009)

Kerrisdale: a) Expansion only Boundaries attached as Appendix D

When considering a BIA renewal, Council would normally approve the BIA boundaries and proposed funding ceiling at the time it commences the Council Initiative. Where renewal applications are coupled with expansion proposals, as in the present Mt. Pleasant application, the procedure for forming a new BIA should govern, ie. the boundaries and funding ceiling should be approved at the Court of Revision. This sequence is necessary because the BIA's renewal boundaries are necessarily contingent on the approval of the expansion at the Court of Revision. Similarly, the Kerrisdale BIA has requested that the proposed increase in its funding ceiling be contingent on Council approval of its intended expansion.

Details on each BIA's budget and activities are attached for Council's information. In the event that Council approves the renewals and/or expansions at a Court of Revision, staff will report back for approval of each BIA's 1999 - 2000 budget requests.

CONCLUSION

This Report deals with applications from the Gastown, Mt. Pleasant, and Kerrisdale BIAs. Gastown is a renewal application. Mt. Pleasant and Kerrisdale are proposing boundary expansions. In the case of Mt. Pleasant, the expansion initiative is coupled with their upcoming renewal application. As permitted under the recent Charter amendments, Mt. Pleasant is seeking a 10-year renewal term.

The Kerrisdale BIA is seeking a mid-term boundary expansion, and is requesting a mid-term increase in its current 5-year funding ceiling if the expansion is approved.

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