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SR-022796-8A 8A F:\atty\muni\strpts\mox\assesbus City Council Meeting 2-27-96 . FEB 2 7 1996 Santa Monica, Cal~forn~a TO: Mayor and city council FROM: City Attorney SUBJECT: Amendment of Ordinance Number 1606 (CCS) Pertaining to Assessments on Businesses within a Parking and Business Improvement Area INTRODUCTION This staff report presents for introduction and first reading, an ordinance amending Ordinance Number 1606 (CCS) pertaining to the establishment of business improvement areas and the levy of assessments for specified purposes within such areas. BACKGROUND In 1991, after review and analysis of state law procedures for changes in uses of assessment revenues and types of uses permitted under such laws, it was determined that more flexibility could be achieved by adoption of a separate City procedure for establishment of business improvements areas exclusive of state law procedures. On November 26, 1991, the City Council adopted Ordinance Number 1606 (CCS) (the "Ordinance"), which incorporated portions of the state procedures while providing a broader range of purposes for establishing parking and business improvement areas and levying assessments in such areas. 1 8A FEB 2 7 1996 This enabling legislation has not yet been used to establish any new business improvement districts. However, it is now desired that a new business improvement area be established for Main street in connection with the proposed Main street streetscape Improvement Project. city staff has met with business leaders from the existing Main Street Assessment District to discuss creation of a new district under Ordinance Number 1606 (CCS) and disestablishment of the existing assessment district established under state law. As a result of such discussions, it was determined that Ordinance Number 1606 (CCS) requires amendment to clarify and expand the nature of permitted uses. For example, although one permitted use under the Ordinance is the ". acquisition, construction or maintenance of parks and fountains", there was concern that various landscaping improvements may not be covered under the Ordinance. Therefore, the attached ordinance would amend Ordinance Number 1606 (CCS) to expressly add "landscaping and related improvements, including, without limitation, irrigation, lighting, signage, fencing, walkways and similar improvements. ." as permitted uses. In addition, the attached ordinance would add security operations as a permitted use of the assessment revenues. 2 BUDGET/FINANCIAL IMPACT There will be no direct bUdget/financial impact resulting from the recommended action. RECOMMENDATION It is respectfully recommended that the accompanying ordinance be introduced for first reading. PREPARED BY: Marsha Jones Moutrie, City Attorney Jeff Mathieu, Director of Resource Management Linda A. Moxon, Deputy City Attorney Howard Robinson, Real Estate/Economic Development Manager ATTACHMENT: Ordinance Amending Ordinance Number 1606 (CCS) 3 CA:f:atty\muni\laws\mox\main.1 city council Meeting 2-27-96 Santa Monica, California ORDINANCE NUMBER CCS (city council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING ORDINANCE NUMBER 1606 (CCS) TO CLARIFY AND EXPAND THE USES OF ASSESSMENTS LEVIED WITHIN A BUSINESS IMPROVEMENT AREA WHEREAS, on November 26, 1991, the City Council of the City of Santa Monica adopted Ordinance Number 1606 (CCS), authorizing the City of Santa Monica to establish parking and business improvement areas in accordance with the procedures set forth in said ordinance; and WHEREAS, Ordinance Number 1606 (CCS) authorizes the city of Santa Monica to impose an assessment for specified purposes on businesses within any parking and business improvement area established thereunder; and WHEREAS, the specified purposes for uses of assessment fees enumerated in Ordinance Number 1606 (CCS) were selected in conjunction with discussions among City staff and business leaders in the City'S commercial districts; and WHEREAS, further discussions among City staff and business leaders in the community has led to a recommendation to clarify and expand the range of purposes for which assessments imposed pursuant to Ordinance Number 1606 (CCS) may be utilized, 1 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES ORDAIN AS FOLLOWS: SECTION 1. The title of Ordinance Number 1606 (CCS) is amended to read as follows: ORDINANCE NUMBER 1606 (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA TO IMPOSE AN ASSESSMENT ON BUSINESSES WITHIN A ~~~~I~~ ~~!~ BUSINESS IMPROVEMENT AREA SECTION 2. section 1 of Ordinance Number 1606 (CCS) is amended to read as follows: SECTION 1. Purpose. The purpose of this Ordinance is to authorize the City of Santa Monica to impose an assessment on businesses within a p~~~~~; ~~~ business improvement area for the following purposes: (a) The acquisition, i nst.l1 ~at ion, construction or maintenance of parking facilities, benches, l!llot";"'.:Jtirm kiorr:~', trash receptacles, street lighting, parks, --~ fountains~ IM:<J:<t"lpill<j <In'] rcl.ltC'd impruvC'."C'lit;;. In:;luciin<lo ,.:ith"~lt 1 i1- it..t ion, i rrJ :I"tion, L j ght i nq, f'.<J.1"CJc, I <'IIC i nq, 111.11 k.".i~'" and t:d ~i l..r impcov(';.:t.nt.c; for the benefit of the area. (b) Decoration of any public place in the area. (c) Promotion of public events which are to take place on or in pUblic places in the area, inclUding the provision of 2 security for such public events. (d) Furnishing of music in any pUblic place in the area. (e) The general promotion of :::-::t.::..:.::' c:o,nml'rcial trade activities in the area. (f) Activities to manage traffic generated by employees and customers of businesses within the area. (q) Security operatiorG. SECTION 3. Any provision of the Santa Monica Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, are hereby repealed or modified to that extent necessary to affect the provisions of this Ordinance. SECTION 4. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance, and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the Ordinance would be subsequently declared invalid or unconstitutional. SECTION 5. The Mayor shall sign and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption. This Ordinance shall become 3 effective 30 days from its adoption. APPROVED AS TO FORM: hft-u 4