TITLE:
title
BUSINESS IMPROVEMENT AREA (BIA) REAUTHORIZATION TO LEVY ANNUAL ASSESSMENT
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DEPARTMENT: CITY MANAGER'S OFFICE
PRESENTED BY: HADASSA JAKHER, ASSISTANT TO THE CITY MANAGER
CONTACT INFORMATION: HADASSA JAKHER, ASSISTANT TO THE CITY MANAGER (714) 754-4885
RECOMMENDATION:
recommendation
Staff recommend the City Council:
1. Conduct a public hearing regarding the Business Improvement Area (BIA) reauthorization and levy of the annual assessment for Fiscal Year 2026-2027.
2. Adopt Resolution No. 2026-XX, confirming the annual report filed by Travel Costa Mesa and levying an annual assessment for Fiscal Year 2026-2027 for the Business Improvement Area covering certain Costa Mesa hotels and motels (Attachment 1).
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BACKGROUND:
California's Parking and Business Improvement Area Law of 1989 (Streets and Highways Code ? 36500, et seq.) enables cities to impose an assessment fee on businesses within an area designated by the City.
On July 5, 1995, the Costa Mesa City Council adopted Ordinance No. 95-9 to establish a Business Improvement Area (BIA) for the purpose of assisting the hotel and motel industry in its promotion of tourism within the city. The City Council authorized the City Manager to enter into an agreement with the Costa Mesa Tourism and Promotion Council to develop and administer the BIA. In 2001, the Costa Mesa Conference & Visitor Bureau (CVB), now known as Travel Costa Mesa (TCM), became the administrator of the BIA. In accordance with Travel Costa Mesa bylaws, Travel Costa Mesa's Board of Directors is currently comprised of eleven (11) General Managers from the eleven (11) participating hotels and motels, one member of the City Council, and the City Manager's designee.
Since November 2010, the City has annually levied a three percent (3%) special assessment on eleven (11) participating hotels, based on the sale of overnight guestroom stays (2,375 total available rooms) in the partner hotels. The levy is transmitted by the hotels...
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