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2012 IDA Conference & Trade Show Trends and Hot Topics: How Cities Encourage BIDs: Trends and Challenges Saturday, September 22, 2012 10:30am – 12:00pm.

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Presentation on theme: "2012 IDA Conference & Trade Show Trends and Hot Topics: How Cities Encourage BIDs: Trends and Challenges Saturday, September 22, 2012 10:30am – 12:00pm."— Presentation transcript:

1 2012 IDA Conference & Trade Show Trends and Hot Topics: How Cities Encourage BIDs: Trends and Challenges Saturday, September 22, 2012 10:30am – 12:00pm

2 Panelists Miranda Paster, Senior Management Analyst City Clerk, City of Los Angeles Elizabeth De Leon, Esq., Deputy Commissioner Neighborhood Development Division, City of New York James Mettham, Executive Director BID Program Management, NYC Department of Small Business Services Gina M. Caruso, AICP, Assistant Commissioner Economic Development Bureau, Department of Housing and Economic Development, City of Chicago Annie Coakley, Assistant to the Commissioner Economic Development Bureau, Department of Housing and Economic Development, City of Chicago Adjunct Panelist: Emily Yen, Doctoral Candidate, Department of Sociology, UCLA Rena Leddy, Vice President Progressive Urban Management Associates (PUMA) Moderator

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6 SSA #49 South Shore & SSA Stats 44 active SSAs; 54 created since 1977 City contracts with 35 non-profits 300 Appointed SSA Commissioners 2012 Budgets = $25 million

7 2012 SSA Budgets by Category (44 SSAs) Total Budgets: $25 million $2.8m (12%) Ads/Promos $5.9m (25%) Maintenance $4.6m (20%) Aesthetics $548k (2%) Business Attraction $836k (4%) Façade Programs $940k (4%) Parking/Transit $2.9m (13%) Security $960k (5%) District Planning $2.1m (9%) Admin $1.5m (6%) Loss Collection $194k (1%) Other Top 3 Programs Maintenance (25%) Aesthetics (20%) Safety (13%)

8  Mayor Bloomberg recognized the impact BIDs have on the economic development of New York City and created a 5-point plan to re-energize the BID Program: 1.Simplify formation and expansion procedures and create one-stop, user- friendly BID Formation guide 2.Allow BIDs to increase budgets and boundaries 3.Streamline the assessment collection and distribution process 4.Provide grants to spearhead formation targeting neighborhoods outside Manhattan 5.Allow issuance of long-term debt “In these tough times, we must strengthen business improvement districts and local economic development corporations throughout the City.” - Mayor Michael Bloomberg 2002 State of the City Address The Bloomberg Administration and BIDs

9 Under $250K 180th Street East Brooklyn Bayside Village North Flatbush White Plains Road Forest Avenue 165th Street Montague Street Grand Street Graham Avenue Southern Boulevard Jerome Gun Hill 86th Street Bay Ridge Sutphin Boulevard Flatbush-Nostrand Woodhaven Brighton Beach 161st Street Pitkin Avenue 82nd Street Columbus-Amsterdam Atlantic Avenue $250K - $500K Church Avenue Kings Highway FAB Alliance Queens Plaza (LIC) Sunnyside Park Slope Kingsbridge Flatbush Avenue Myrtle Avenue (BK) Bay Ridge 5th Avenue Myrtle Avenue (QN) Belmont HUB/Third Avenue Steinway Street Flushing NoHo Westchester Square $500K - $1M DUMBO Washington Heights Sunset Park Fordham Road Bed-Stuy Columbus Avenue Court-Livingston West 47th Street Jamaica Center 125th Street $1M - $5M Lower East Side Village Alliance Chinatown Fulton Street Mall Hudson Square Madison Avenue Union Square Flatiron/ 23rd Street Lincoln Square East Midtown Fifth Avenue Metrotech Above $5M Fashion Center Bryant Park 34th Street Partnership Grand Central Times Square Alliance Alliance Downtown Business Improvement Districts in New York City Under Mayor Bloomberg, 23 new BIDs have been created, 20 of which are in boroughs outside of Manhattan. 39 BIDs have budgets under $500,000. BID created before Bloomberg administration (44) BID created under Bloomberg administration (23)

10 BID Spending by Budget Size Although BIDs vary greatly in size, they provide comparable services and pay for an executive director and office space. Smaller BIDs pay a much higher percentage to administrative costs and much lower to service delivery. Administrative costs are a high hurdle for smaller commercial corridors to overcome.

11 Creation Trends: View & Political Research: surprising role of civic pride/ engagement coupled with long-term financial interests

12 Creation Trends: Financial

13 Creation Trends: Legal

14 Creation Trends: Unique

15 Government vs BID Roles

16 Optimal Government & Taxpayer Roles for BID Oversight

17 Recap and Forecast Navigate BID use as an economic development tool in larger context of place-making and civic pride mitigate resident stakeholder lawsuits with focus on enhancing place as well as economy (encourage “ land use blindness ” ) Reduce barriers to creating BIDs, but expect more accountability by stakeholders

18 Recap and Forecast Government can/should: first cultivate excellence and innovation breed consistency rely on laws and cultivate strong partnerships Stakeholders can/should: know and respond to their needs establish expectations and assessment set value and willingness to pay

19 Recap and Forecast Need for smarter collaborations and partnerships inter-department, inter-governmental, and public/private partnerships BID collaborations, BID Consortiums Need for enhanced localized and industry-wide best practices builds predictability locally, nationally and internationally more affordable oversight with “ off the shelf ” policies/procedures and assessment tools

20 Thank You Q & A


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