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HomeMy WebLinkAboutcclc.min.01192005COMMERCIAL CORE & LODGING COMMISSION MINUTES OF JANUARY 19~ 2005 Chairperson, Bill Dinsmoor called the meeting to order at 8:30 a.m. Commissioners in attendance: Mark Goodman, Mark Breslin, Shea Singer, Stan Hajenga. Excused were John Starr, Don Sheeley and Terry Butler. Presentation - Jane Jenkins - Director of the Boulder BID Jane said she has been the director for 5 years. She did not set up the BID but was hired to facilitate it. She has 19 years in experience in small downtown revitalization. Why was the BID created - For years Boulder was the big dog in downtown development and they had the money and was swimming in sales tax money. As the economy changed "big boxes" became the way to get sales tax in smaller areas. Boulder then decided that they needed to do something. Broomfield Flat Iron Crossing was the looming major competition which spurred the BID as a marketing tool to be competitive with Flat Irons. Boulder did not feel the city was providing the level of service to be competitive. The ideas were to enhance service and maintenance. FYI, a BID does not replace the base line services. Those are still provided by the City or Town. Police can be an enhancement of basic services. Jane said they had a graffiti problem downtown. If you can't get it removed within 24 hours it becomes a signature issue. That is hard for the private sector to accomplish. The BID took on graffiti removal. The property owner absorbs the cost after the first few times. The other need was to offer a clean environment. The BID was formed to address those two issues. Jane said the City of Aspen should contract with someone to walk us through the process. The private sector has the leadership. Government has to be Supportive of the BID. The formation of a BID is an intensive process. Staff and financial resources need to be established. BID voting: If you owned property but your residence was not there you didn't vote. Off site property owners should be communicated to so that when they get that tax bill they are familiar with it. COMMERCIAL CORE & LODGING COMMISSION MINUTES OF JANUARY 19~ 2005 You need a good public private partnership. A downtown alliance was formed in Boulder. Convening o£neighbors, property owners, businesses, arts, anyone who had a stake in the downtown got involved. Colorado statutes enable a BID. If it is formed it is governed by state statutes. This is not just like forming a non-profit. The BID was overwhelnfing passed in Boulder. In Boulder the City buys the trashcans and the BID enforces them. Boulder has a DBI 501C6. This equates you as a chamber o£commerce and gives you a lot o£ freedom. Voluntary membership with a tee o£$100, a year. They manage events and promotions and whatever little o£marketing they had. Economic vitality. For 34 months Boulder had a decline in sales tax. They became a camellion. DMC is a 5 member board appointed by council. DBI has a 25 member board appointed by the nominating committee. BID has a 9-member board selected by the public and the city council approves them. The BID bridged the two different organizations. Council can be the nominating board but Boulder did not want that. Jane said she works with all three organizations. The BID provides bus passes for all business employees. There is an agreement with the city signed yearly indicating what the city will provide and what the BID will provide regarding base line services. The operating plan and the budget is provided to the city yearly. Rick Jones inquired about Boulder's budget. The budget is 1.2 million dollars and 873 thousand comes from the assessments. 2 COMMERCIAL CORE & LODGING COMMISSION MINUTES OF JANUARY 1% 2005 Boulder has 300 businesses in the downtown area. The BID is based on assessed value of the building. The property owner is hilled and passes it on to a triple net lease. Property owners have to keep their building occupied. There are 1,200 property owners. Boulder's BID has a ten year sunset. The mill levy tax establishes the base for Tabor. You can only grow what the Tabor amendment allows. CPI grown was only 1.1% this year. There was talk about de-brucing the downtown. Housing prices are going up. Condos are selling for 700 a foot and 900 a square foot on our west end. A City of town needs a creditable shopping mix. It is good to have a few chains. It adds instant creditability to your district. We are identifying good and bad chains to the town. Chains are comfortable. Boulder is an activist community. Online sales are competitive for bookstores. Boulder has an economical development manager that recruits businesses for downtown. The BID mission is very focused. Staff- Jane has six full time employees. The BID contracts out on special events May through December. She has a bonus structure based on achievements. The Boulder Boulder expo on the Pearl street mall is contracted with the Boulder Creek Events. Jane said Art festivals bring people into downtown and it does brand your town for that event. In reference to Aspen's Saturday market. She recommends that a businesses owner should market their business during the Saturday market. It is conducive to bring special events toward town. One idea is to promote future visits into town. No one collectively markets Boulder. Boulder is marketed through KBCO...be Boulder bound! Banners were handled through Clear channel. Cards were handled out to all hotels and concierges. The face of the business should be connected with the logo. Connect the face with the business. You need visible advertising. Brad Siegel of PUMA puts together BID's. COMMERCIAL CORE & LODGING COMMISSION MINUTES OF JANUARY 19~ 2005 No one predicted the fall in 2001 and if the BID were not in place Boulder would have had trouble. Everybody paid per their value. Bill said in the Ford Frick and Henry Beer report it was suggested that Aspen look into a BID. Lisa Baker said this is going to be driven by the property owners. This needs talked up from the bottom. Hana Pevny, Aspen Chamber Resort director said we are different. Boulder is marketing downtown. We have other avenues to potentially raise a broad base tax. It has to happen at ground level. Bill said Aspen needs to "Creating ground swells." Jane said you could do the BID for everyone except the residential owners. The BID can evolve. You need to rally support for local businesses. An example, the Fresh produce clothing store was assessed at $232,870 dollars. The assessment is 29% of the market value. The BID tax was around $1,210 per year. Meeting adjourned at 11:00 a.m. Kathleen J. Strickland, Chief Deputy Clerk 4