8.1 Levy 2002 BID Fees CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION
DATE TIME
11/19/01 4:00 P.M.
AGENDA SECTION: ORIGINATING DEPARTMENT: APPROVED FOR
NO. 8 AGENDA:
CITY MANAGER
NO. 1 & la BY: Jason Gag BY:
Item:
First reading for Ordinance 01-10062 levying 2002 service fees for Business Improvement District No. 1.
Background:
Annually, the Salina Business Improvement District (B.I.D.) No. I submits a budget and recommended
program of services for the following calendar year. The budget was submitted earlier this year and was
taken under advisement by the City Commission. It is also the responsibility of the B.I.D. Board to
recommend the levying of Business Improvement District fees adequate to fund the proposed program of
services.
Enclosed is the recommended fee structure. The proposed fees are recommended to be unchanged from
prior years. This is assuming the City assists the B.I.D. with meeting their 2002 year-end fund balance
target, if needed, while the current fee structure and rates are being reviewed by an outside party. A
representative from the B.I.D. will be present to answer questions.
Under state law, there is a protest period for Business Improvement District fees. If a majority of business
owners in the district sign a petition opposing the fees within a 45-day period after passage and
publication (approximately November 26), the B.I.D. is dissolved. Based on this timetable, an opposition
petition would have to be submitted by approximately January 10, 2002.
Recommendation:
Consider Ordinance 01-10062 on first reading.
Item:
Acknowledgement of amended 2002 budget for Business Improvement District (B.I.D.) Number I
Background:
In mid-July of this year, the City Commission acknowledged the receipt of the preliminary 2002 budget for
the Business Improvement District (BID) Number 1. State law requires the budget be submitted to the
City Commission by May 15th of each year. This included a recommended $5,000 (13%) increase in the
City contribution and a $7,300 (10%) increase in assessment fees. Since that time, the B.I.D. has
approved some changes to the budget. As a result, the Board of Advisors has submitted an amended
2002 budget for acknowledgement by the City Commission. The amended budget does not include any
changes to either the City's contribution or assessment fees as previously recommended. The
recommendation of this revised budget is also based on the City assisting the B.I.D. with meeting their
2002 year-end fund balance target, if needed.
Recommendation:
Motion to acknowledgement receipt of amended 2002 budget for Business Improvement District No. 1.
Attachments:
Attachment A - BID No. 1 Requested Schedule of Fees for 2002
Attachment B - Preliminary 2002 Budget
Attachment C - Final 2002 Budget
Attachment D - Ordinance Number 01-10062
SALINA
BUSINESS IMPROVEMENT DISTRICT NO. 1
Established in 1983 by the City of Salina for Downtown Economic Revitalization
October 29, 2000
Mr. Jason Gage
City of Salina
300 West Ash
Salina, KS 67401
Dear Mr. Gage:
At their regular monthly meeting on October 9th, the Salina Business District No. 1 Advisory
Board approved the annual BID District No. 1 service fees for Fiscal Year 2002. The motion specified
that the schedule of fees remain the same as in,2001, but only if the City of Salina will ensure that the
organization meets its 2002 year-end fund balance target of $15,000 by providing financial assistance
either through its direct contribution and/or adjustment of the maintenance agreement.
Location Fixed Rate General Rate Office Rate Assessment Cap
Area 1 $160.00 $ 8.79/ft. $125.46/prof. $ 850.01
Area 2 80.00 3.29/ft. 46.95/prof. 338.25
Area 3 40.00 0.93/ft. 13.23/prof. 112.76
If the City is unable to approve additional financial assistance, then the Board recommends a 10% in-
crease across the board of the assessment fees, plus a 10% increase in the caps. The Advisory Board
realizes that an increase in the assessment rates is needed to meet the SDI budgetary requirements for
2002; however, the Board would like the opportunity to review the recommendations of PUMA. Once
PUMA completes its rate structure review, the Board will re-evaluate the service fees for further action.
If you have any questions or need any furthers information, please don't hesitate to contact me.
Sincerely,
Melinda Lingle
Executive Director
cc: Dennis Kissinger, City Manager
Lieu Ann Nicola, City Clerk
114-A South Seventh Post Office Box 1065
Facsimile 785/825.7216
Salina, Kansas 67402-1065 785/825.0535
www.salinadowntown.com
Wayne DeBey - President, Tom Bell - Vice President, Louise Appleby - Secretary, Melissa Goetz - Treasurer,
Andy Anderson, Kent Buer, Liz Carroll, Harold Cooley, Jerry Hinrikus, Jim Loader, David Moody,
Jim Ravenkamp, Ken Wasserman, Jason Gage - City Liaison, Melinda Lingle - Executive Director
Salina Downtown, Inc.
Preliminary 2002 Budget
INCOME
BID Asses,%menls
Organization Contribution
Annual Meeting
Santa Fe Days
partnerships
Interest
Special Projects
Contributions In-Kind
Miscellaneous
IITOTAL NCOME .... I
1999 Budget 2000 Budget April 2001 2001 2002
· ..(Audit. ed) ... (Re...v..ised) 2001 Budge.t. ....(Actual) Est!mated Budget
73,386 73.000 73,000 26,750 73,000 80,300
35,000 36,000 38,000 38,000 38,000 43,000
1,253 600 1,000 0 0 0
9,860 8,500 8,500 0 8,500 8,500
2,855 4,000 4,000 0 4,000 6,000
2,601 3,000 2,000 767 2,300 2,300
14,427 5,000 9,000 164 9,000 9,000
34,822 0 0 0 0 0
(886) 100 100 139 100 100
$173,318 I $130,200 I $135,600 I $65,820 I $134,900 I $149,200]
Salaries 52,423 59,000 58,200 18,320 55,000 55,600
Payroll Taxes 4,212 4,520 4,450 3,142 4,500 4,545
Health Insurance 3,000 4,310 8,000 2,747 8,250 8,250
Travel 442 500 500 169 500 500
Outside Professional Services 0 400 400 0 400 400
Rent 4,800 4,900 5,100 1,700 5,100 5,100
Office Expense/Supplies 1,622 1,600 1,700 963 1,700 1,700
Telephone 1,322 1,500 1,200 206 1,200 1,200
Postage 1,795 1,500 1,800 446 1,800 1,800
Copies 413 300 300 236 700 700
Printing 0 400 400 0 400 400
Computer Supplies 658 500 500 432 450 450
Internet Expense 189 600 700 70 700 700
Advertising 95 100 100 0 100 100
Equipment Repairs 264 300 300 46 300 300
Building Repair/Maintenance 159 300 300 0 300 300
Accounting 2,260 2,400 2,600 0 2,600 2,600
Insurance 736 900 2,000 391 2,000 2,000
Dues/Subscriptions 957 900 900 495 900 900
Newsletter 1,342 1,200 1,400 406 1,400 1,400
Conferences/Board Training 1,516 1,200 1,200 1,423 2,500 2,500
Meeting Expenses 980 900 900 184 900 900
Annual Meeting 1,692 900 1,600 0 1,600 1,600
Depreciation 1,965 0 0 396 1,200 1,200
Utilities 1,352 1,200 1,400 799 1,500 1,500
Taxes 205 200 250 0 250 250
BID Marketing Agreement 17,000 17,000 17,000 0 17,000 17,000
Other Organization Expenses 2,986 2,000 3,000 931 3,000 3,000
BID Expenses 210 500 250 80 250 250
Attorney Fees 0 500 250 0 250 250
Office Equipment Replacement 0 0 0 0 0 0
~ii~~:.~i $104,595 $110,530 $116,700 $33,582 $116,750 $117,395
DESIGN EXPENSE (Au. dited)
Design Committee ExpenSe "" 600
Banner Project 0
Christmas Decorations 1,094
Other Design Expense 149
(Revised). -..2.001 B.u. dget., (Act. ual) Estimated Budget
200 200 0 200 200
0 0 0 0 0
1,200 2,000 0 2,000 2,000
2,100 2,000 0 2,000 1,500
$3,500 $4,200 $0 $4,200 $3,700
Downtown Marketing 1,412
Other Marketing Expense 1,276
Community Education 0
1,100 3,000 300 3,000 2,000
1,000 2,000 0 2,000 1,000
0 100 0 100 100
$2,100 $5,100 $300 $5,100 $3,100
Generic Advert. & Misc. Projects
Private Promotion & Pgm. Activ.
Santa Fe Day
Christmas Promotion, BID
Expenses Paid w/Contr. In-Kind
IExcess (Deficit)
Prey. Year Estimated Reserve
4,008 3,100
12,827 5,000
11,131 10,000
873 800
34,822 0
$63,661 $18,900
$172,787I $135,030I
$531
$29,oool ($4,83o)1
$29,5311
4,000 -176 4,000 4,000
9,000 0 9,000 9,000
11,000 100 11,000 9,000
900 300 900 900
0 0 0 0
$24,900 $224 $24,900 $22,900
$150,9001 $34,106I $150,9501 $147,095 Ir
($15,300) ($16,050) $2,105
$24,701 I $24,701 $8,65, I
Expenditures
2002 Budget Business Improvement District #1
1999 Budget Audited 2000 Budget Revised 2001 Budget Proposed 2002 Budget
BID Assessments
Organization Contribution
Annual Meeting
SI: Days
Partnership
Interest
Special Projects
Mixcellaneous
Contributions in-Kind
Total Income
73.38G 73,000 73,000 73,000
35,000 36,000 38.000 38.000
1,253 6OO 0 0
9.860 8,500 8,500 8.500
2,855 4,000 4,000 6,000
2,601 3,000 2,300 2,300
14,427 5.000 9.000 9.000
(886) 100 100 100
34.822 0 0 0
173.318 . 130,200 134,900 136,900
Salaries
Payroll Taxes
Health insurance
Travel
Outside Professional Services
Rent
Office Expense/Supplies
Telephone
Postage
Copies
Printing
Computer Supplies
Internet Expense
Advertising
Equipment Repairs
Building Repair/Maintenance
Accounting
Insurance
Dues/subscriptions
Newsletter
Conferences/State & National/Board Training
Meeting Expenses
Annual Meeting
Depreciation
Utilities
Taxes
BID Maintenance Agreement
Other Organization Expenses
BID Expenses
Attorney Fees
Office Equipment Replacement
52,423 59,000 55,000 55,600
4,212 4,520 4.500 4,545
3,000 4,3t0 8.250 8.250
442 500 500 500
0 400 400 400
4,800 4,900 5,100 S, 100
1,622 1.600 1,700 1,700
1.322 1.500 1,200 1,200
1,795 1.500 1.800 1,800
413 300 700 700
0 40O 400 4OO
658 500 450 450
189 600 700 700
95 1 O0 1 O0 1 O0
264 300 300 300
159 300 300 300
2,260 2,400 2,600 2.600
736 900 2,000 2,000
957 900 900 900
1,342 1,200 1.400 1,400
1.516 1,200 2.S00 2.500
980 900 900 900
1,692 900 1,600 1,600
1,965 0 1,200 1.200
1,352 1,200 1,500 1.500
205 200 250 250
17,000 17.000 I 7,000 17.000
2,986 2.000 3.000 3.000
210 500 250 250
0 500 250 250
0 0 0 0
Expenditures
2002 Budget Business Improvement District #1
1999 Budget Audited 2000 Budget Revised 2001 Budget
Proposed 2002 Budget
Total organizational expense
104,595 110,530 116,750 117.395
Design Committee expenses
Banner ProJect
Christmas Decorations
Other Design Expense
Total design expense
600 200 200 200
0 0 0 0
1.094 1,200 2.000 2,000
149 2,100 2,000 1,500
1.843 3.500 4.200 3,700
Downtown marketing
Other marketing expense
Community education
Total economic restructuring expense
1,412 1,100 3,000 2.000
1,276 1.000 2,000 1,000
0 0 100 100
2,688 2.100 5.100 3.100
Generic Advertising & Misc. ProJects
Private Promotion & Program Activities
Santa Fe Day
Christmas Promotion, BID
Expenses paid with contributions in-kind
Total promotion expense
· 4,008 3,100 4,000 4.000
12,827 5,000 9,000 9,000
11.131 10,000 I1,000 9,000
873 800 900 900
34.822 0 0 0
63,661 18,900 24,900 22.900
Total Expense
172,787 135,030 150.950 147,095
Excess (deficit) revenue over expense
Previous Year estimated Reserve
531 (4,830) (16,050) (10,195)
29.000 29.531 24,701 8,651