HomeMy WebLinkAbout11. 18-522 OCTOBER 23, 2018 18-522 RESOLUTION
(CARRIED 6-0 LOST LAID OVER WITHDRAWN )
PURPOSE: APPROVE 2019 BUSINESS IMPROVEMENT DISTRICT
OPERATING PLAN AND BUDGET
INITIATED BY: DOWNTOWN OSHKOSH BUSINESS IMPROVEMENT
DISTRICT BOARD
BID BOARD RECOMMENDATION: Approved
BE IT RESOLVED by the Common Council of the City of Oshkosh that the
attached Downtown Oshkosh Business Improvement District 2019 Operating Plan and
Budget with an assessment amount of $140,610.00 and carried forward estimated 2018
reserves and revenues is hereby approved and adopted.
TO: Honorable Mayor and Members of the Common Council
FROM: Jeffrey Nau
Associate Planner
DATE: October 18, 2018
RE: Approval 2019 Downtown Oshkosh Business Improvement District Operating
Plan and Budget
BACKGROUND
The Downtown Oshkosh Business Improvement District (BID) Board is required to develop an
annual Operating Plan which includes a budget and calculation of assessment according to the
statutory formula. The contents of the Plan are mandated by Statute and have been approved
by the City Attorney as consistent with statutory requirements. The BID is a self -assessing entity
and receives no direct City funding for their operating budget. The Common Council's role is
to review and approve or deny the planibudget as presented. Any suggested changes or
alterations to the plan or budget must be referred back to the BID Board for their consideration.
ANALYSIS
The BID Board approved their 2018 Operating Plan and Budget at their regular meeting on
October 161h. The proposed assessment for the BID is $140,610.00, which is an increase of
$7,750.00 (5.83%) from their 2018 assessment. The Board approved a 5.00% increase to their
minimum and maximum assessments, from $400.00 to $420.00 and $8,000.00 to $8,400.00,
respectively. The remainder of the properties will have increases ranging from 5.00% to 6.00%
with exception of a few properties due to changes of their assessed value.
The BID will continue its efforts of enhancing and promoting the Downtown through its
beatification and advertising/marketing programs as well to assist new and existing BID
businesses with its Recruitment and Retention Fund Grant programs. New for 2019, the BID
will make available five $1,000.00 mural grants for artists. The BID will also continue support
of key downtown events including the Saturdays Farmers Market, Waterfest, UnWINEd, Live
at Lunch, Chalk Walk and Holiday events. In 2017, the BID assumed organization and planning
of the Downtown Holiday Parade from the Oshkosh Chamber of Commerce. This year the
City Hall • 215 Church Avenue • P.O. Box 1 130 • Oshkosh, WI 54903-1130
http://www.ci.oshkosh.wi.us
Holiday Parade will be held on Tuesday, November 131h at 6:15 p.m. with The Howard serving
as the title sponsor.
In 2018 the BID implemented a new Downtown Oshkosh website. The BID contracted with
Candeo Creative which did a complete redesign from the previous website. The new website is
now mobile friendly and easier to navigate to find upcoming events, restaurant and shopping
choices and BID resources.
For 2019, the BID Board has approved $15,000 to continue support of the City's Parking Utility.
This amount will be funded the from the BID's reserve fund as was done in 2018. In addition,
the BID has budgeted $5,000.00 to do a makeover of the landscaping within the bump -outs along
N. Main Street.
As a whole, the assessed property value of the BID is currently $60,494,300 which is an increase
of $525,600 over 2018. Property improvements to the Washington Building and 110 Algoma
Boulevard are the biggest contributors to this increase.
FISCAL IMPACT
The BID is a self -assessing entity and receives no direct City funding for their operating budget.
In terms of fiscal impact on BID property owners, most assessable properties will have 5% to 6%
increases to their assessments. As part of the downtown beautification efforts, the BID will
continue annual maintenance of the planters and landscaping located throughout the BID
including public parking lots.
RECOMMENDATION
The BID Board approved their 2019 Operating Plan and Budget at its regular meeting on October
16, 2018.
WY
bmitted,
Jeffrey Nau
Associate Planner
Approved,
City Manager
City Hall • 215 Church Avenue • P.O. Box 1 130 • Oshkosh, WI 54903-1130
http://www.ci.oshkosh.wi.us
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Downtown Oshkosh Business Improvement District Boundaries
In general, the boundaries of the Downtown Oshkosh Business Improvement District are the Fox
River on the south, Division Street on the west, Parkway Avenue on the north, and Jefferson
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Street/State Street on the east.
INTRODUCTION
In 1980, the Common Council adopted the Downtown Redevelopment Plan and Implementation
Strategy. The Plan recommended increasing organizational efforts between the public and
private sectors as well as establishing a voluntary special assessment district. A follow-up study,
Planning Report - Central City Oshkosh, approved by the Common Council in 1987, expanded
various elements of the previous plan and in particular recommended the creation of a
management vehicle and funding base to serve the downtown area. The management tool
recommended was a Business Improvement District.
The Downtown Oshkosh Business Improvement District (BID) is an essential entity to the
Central Business District of Oshkosh. The BID, created in 1987, has maintained its initial
premise to retain available free parking in the downtown, as well as proactively support
revitalization efforts. Through the BID, property owners assess themselves to pay for activities
to enhance and improve the downtown and to bring customers to the area.
The downtown continues to change as the mix of residential, commercial and professional
occupants fill the district. The BID welcomes these changes as opportunities to continue
economic development in our central city.
BID LAW
On April 6, 1984, the State of Wisconsin passed a law (Act 184), which allows for the creation
of Business Improvement Districts. The law authorizes cities, villages, and towns to create one
or more business improvement districts to allow businesses within those districts to develop,
manage, maintain, and promote their districts and to establish an assessment method to fund
these activities. A BID must be a geographic area within a municipality consisting of contiguous
parcels that are subject to real estate taxes.
The formation of a Business Improvement District allows downtown business people, property
owners, merchants, City officials and others to work together to determine what needs to be done
to upgrade and strengthen the downtown and to pay the cost of those efforts, in whole or in part.
It is a way for downtown stakeholders to decide what they want and to finance it.
A BID is the best available method for business people to organize, coordinate marketing and
promotion efforts, provide management and maintenance programs, and encourage business
development. It affords property owners and business people a viable role in directing those
affairs within the district. It also ensures that all beneficiaries of District programs participate in
the funding of the programs.
Appendix C is a copy of the Wisconsin Statutes Section 66.1109, regarding business
improvement districts.
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DOWNTOWN OSHKOSH BUSINESS IMPROVEMENT DISTRICT
2019 OPERATING PLAN AND ASSESSMENT
The Downtown Oshkosh BID has established allocations for the 2019 Operating Plan for each
program category after reviewing previously supported activities and soliciting proposals for
events. All costs related to the program categories listed below will be incurred in the calendar
year 2019.
The Downtown Oshkosh Business Improvement District Board will carry out the proposed
program of activities listed below and as shown on the Budget in Appendix A of this Plan. The
budget is separated into the following categories; Leadership, Recruitment/Retention/Mural
Grants, Events, Advertising, Gift Card Program, Marketing Consortium, Beautification, Parking,
Storage Unit, and Reserves/Capital Improvements.
The BID will assess itself $140,610.00 in 2019.
PROGRAM CATEGORIES
Leadership $68,000
Oshkosh Chamber of Commerce Service Contract (BID Manager) $63,000
The BID contracts with the Oshkosh Chamber of Commerce for the services of the BID Manager
who is a full time employee of the BID. Expenses from this line item also include postage,
employment benefits, and other payroll/salary related expenses. This category also covers the
BID Manager participation in professional development opportunities, such as conferences,
expos, and business meetings.
Website Maintenance & Office Supplies $5,000
Expenses from this line item will cover any costs associated with the downtownoshkosh.com
website. This line item will also cover any needed office supply cost such as (but not limited to)
envelopes, business cards, folders, etc.
Recruitment/Retention/Mural Grant Programs $12,000
Money to be divided based on applications submitted; no set amount for each grant
Recruitment Fund Grant
The Recruitment Fund Grant is offered as an incentive to recruit small businesses to fill vacant
spaces and energize the downtown. This grant can be used for leasehold improvements, signage,
fixtures, and inventory/equipment. This grant is one of the ways the Business Improvement
District can partner with you to increase the value of locating your business in Downtown
Oshkosh. Recruitment print materials are also taken from this line item.
Retention Grant Program
The Retention Grant Program was put into place to provide funds to businesses/property owners
within the BID to assist with facade improvements. The purpose of this grant is to improve the
business climate in Downtown Oshkosh, enhance the quality of life, and to encourage the
development and maintenance of the buildings within the Business Improvement District.
Retention print materials are also taken from this line item.
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Mural Grant Program
The Mural Grant Program was put into place to provide funds to property owners/artists within
the BID to encourage exterior artwork that contributes to the beautification and economic vitality
of the Downtown Oshkosh BID.
Events $4,500
Waterfest $2;000
Waterfest is a summer concert series that occurs on Thursday nights, at the Leach Amphitheater,
brought to the community by the Oshkosh Chamber of Commerce. The event brings a
significant number of visitors to the downtown area, many of whom patronize downtown
businesses before and after the event.
Live at Lunch $500
Live at Lunch takes place every Wednesday, June through August and is put on by the Oshkosh
Chamber of Commerce. BID support reflects the increased traffic generated by this event to the
downtown area.
unWINEd-Wine Walk $1000
This is a BID event that happens two times throughout the year. The purpose of this event is to
have attendees shop & explore Downtown Oshkosh while enjoying samples of wine within each
participating business.
Holidav Parade $500
This event was previously run by the Oshkosh Chamber of Commerce for many years. The BID
will continue the tradition of holding a night time parade in Downtown Oshkosh during the
month of November. This is a great community event that brings thousands of people to the
downtown area.
Gallery Walk $500
This event happens the 1St Saturday of every month from 6-9pm in Downtown Oshkosh. BID
support is for promotion of this event, which includes the printing of maps & website fees.
Advertising $15,000
Funds used to promote and market downtown Oshkosh throughout the 2019 year.
Gift Card Program $1,050
Funds used to support the ACH pooling account, including the monthly fee of the program and
transaction fees.
Marketing Consortium $3,000
Membership Donations
Fees collected from businesses who want to be a part of the Marketing Consortium group. These
funds are primarily used for promotional materials.
Additional Activities & Marketing Materials $850
Seed money to be used for any additional activity ideas generated in 2019. In addition these
funds are to be used for marketing materials, such as block captain brochures & holiday
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passports.
Holiday $2,000
Holiday is a combination of events and marketing pieces put together in November and
December. The main event of Whoville Holiday featuring Breakfast with the Grinch is where the
majority of this fund goes toward. The holiday committee promotes shopping local for the
holiday season.
Downtown Chalk Walk $150
This will be the 6th annual chalk walk event in Downtown Oshkosh. The money on this line item
is used to cover street barricade cost for the day of the event.
Beautification $36,400
Contracted Services $24,300
The BID contracts with a private contractor to undertake certain routine cleaning pick up and
landscape maintenance. This also includes the watering of our 104 flower pots, and removal of
holiday boughs. A portion of these funds are also used for expenses relative to maintaining and
improving landscaped areas.
Holiday $0
Zero dollars will be assessed for the overall 2019 budget. However, $7500.00 of the revenues
brought in from the Holiday Parade in 2018 will go towards the holiday beautification elements.
These funds will be used for holiday decorations including the tree for Opera House Square,
holiday decor for 104 flower pots, lighting of the 9 trees around Opera House Square, and
replacement light strands.
Planter Maintenance $12,100
These funds will be used for contracted maintenance and plant materials for spring planting of
the 104 flower pots, and plantings/maintenance of the clock and sign area in Opera House
Square. These funds will also be used to re -do and maintain the bump outs within the BID.
Parking $0
Zero dollars will be assessed for the overall 2019 budget. However, $15,000 will come out of
reserves/capital improvements to be provided to the parking utility.
Storage Unit $660
This line item is to cover the cost of the BID acquiring a storage unit to store Marketing
Consortium event materials and any additional materials.
Reserves/Capital Improvements
These funds have been set aside by the Board for projects and programs to support BID
businesses. Any unspent funds from 2018 will be transferred into this account, unless otherwise
mentioned as a rollover or transfer onto a different line item.
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ORGANIZATION
Pursuant to Section 66.1109(3), Wisconsin Statutes, a Downtown Business Improvement District
Board has been appointed by the Mayor and confirmed by the Common Council. The Board is
comprised of ten (13) members and two (2) alternates representing the following interests:
3 Owner/Non-Occupant
5 Non-Owner/Occupant
4 Owner/Occupant
*2 Persons -At -Large (Alternates)
* 1 TBD in the 2019 year
*By -Laws Amended October 16, 2018
The distribution of non -occupant owners and owners/occupants may vary from time to time, as
members are reappointed or as new members join the Board. Per section 66.1109 (3a),
Wisconsin Statutes, a majority of the board members shall own or occupy real property in the
business improvement district. Nonresidents of the City of Oshkosh are permitted as members
of the Downtown Oshkosh Business Improvement District Board. Other membership
requirements may apply per the "By -Laws of the Downtown Oshkosh Business Improvement
District" (dated December 19, 1989, Amended June 15, 2004, Amended October 16, 2018).
In addition, Board members represent different areas within the District, including large and
small businesses. As a City entity, the Board will conduct its affairs under the open meetings
law and public record requirements. The Director of Community Development or designee
serves as the Secretary of the Board. Board meetings are held the third Tuesday of the month,
starting at 8:00am, at Becket's Restaurant and/or City Hall. A roster of the 2019 BID Board
members is included as Appendix E.
The Board is responsible for the management of the Business Improvement District.
Responsibilities of the Board include implementing the Operating Plan and preparing annual
reports on the District. The Board will also annually consider and make changes to the
Operating Plan and submit the Operating Plan to the Common Council for approval.
RELATIONSHIP TO DOWNTOWN PLANNING
Creation of the business improvement district promotes the orderly development of the
municipality by implementing recommendations of the City Comprehensive Plan, Downtown
Action Plan and Imagine Oshkosh that contain various elements related to downtown design and
development with prominent focus on beautification in BID areas as well as the promotion of
downtown tourism. In 2000, the Common Council adopted the Downtown Action Plan, which
contains various elements related to downtown design and development with prominent focus on
redevelopment and beautification in BID areas. In November of 2017, the Common Council
adopted Imagine Oshkosh, A Master Plan for our Center City. Imagine Oshkosh is an update
and expansion to the Downtown Action Plan and serves as a policy guide and action framework
for the center city which includes the BID. The Downtown Oshkosh Business Improvement
District is consistent with and critical to the continued successful implementation of these
downtown plans. The BID enables the private sector to undertake promotion, management,
marketing, and other programs essential to a prosperous downtown.
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DOWNTOWN OSHKOSH BID ASSESSMENT METHOD
The Downtown Oshkosh Business Improvement District special assessment method utilizes
assessed value information and property street footage data, both of which are available from the
City Assessor's Office. As the absolute values of assessed value and footage cannot be
combined, the values are calculated as a percentage of the total assessed value and a percentage
of the street footage. The two percentages are added with the sum divided by 200 percent, which
results in a proportionate value of the total district.
In 2019, the BID increased the minimum special assessment from $400.00 to $420.00 and the
maximum special assessment from $8,000.00 to $8,400.00, a 5% increase.
Properties with a proportionate value between 0.0000% and 0.258% are assessed the minimum
special assessment of $420.00.
Properties with a proportionate value greater than 4.821 % are assessed the maximum special
assessment of $8,400.00.
For properties with a proportionate value between 0.259% and 4.822% - The property's
proportionate value is multiplied by $1,638.865, resulting in the special assessment for the
property.
For example, 101 Algoma Blvd. has a Proportionate Value of 0.332465%. When
multiplied by $1,638.865, the special assessment is $544.87.
0.332465% x $1,638.865 = $544.87.
The raw data, assessment calculations, and proposed District assessment for each property in the
Downtown Oshkosh Business Improvement District are presented in Appendix B. The data for
the assessment method have been obtained from the files of the City Assessor and are subject to
final tabulation by the City. To account for street front footages, the frontage of the property's
primary address as identified by the City Assessor is used. Properties with more than one street
frontage are not combined.
Only property used for commercial and manufacturing purposes, including real property used
exclusively for manufacturing purposes, in the District will be assessed. Real property used
exclusively for residential (single and two-family) purposes will not be assessed.
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APPENDIX A
2019 BUSINESS IMPROVEMENT DISTRICT BUDGET
2019 Estimated Revenue
2019 Allocation
2019 Available Funds
REVENUE - 2019 ASSESSMENT
$
140,610.00
$
140,610.00
ESTIMATED REVENUE - 2019 Donations/Fees $ 52,000.00
$
52,000.00
Prior Year Carried Forward/ Reserves & Revenues
$
52 000.00
$
52 000.00
$
244 610.00
Anticipated Expenditures
Leadership
$
63,000.00
$
63,000.00
Oshkosh Chamber of Commerce Service Contract
Website/ Office Supplies
$
5,000.00
$
5,000.00
Recruitment/ Retention/ Mural Grant Programs
$
12,000.00
$
12,000.00
Recruitment/ Retention Fund
2018 Encumbered Retention Grant Funds
Events
Waterfest
$
2,000.00
$
2,000.00
Live at Lunch
$
500.00
$
500.00
unWINEd- Wine Walk
$
1,000.00
$
1,000.00
Holiday Parade
$
500.00
$
500.00
Gallery Walk
$
500.00
$
500.00
Advertising
$
15,000.00
$
15,000.00
Gift Card Program
$
1,050.00
$
1,050.00
Marketing Consortium
Membership Fees (expenses not to exceed membership fees received
Additional Activities & marketing Materials
$
850.00
$
850.00
Holiday
$
2,000.00
$
2,000.00
Chalk Walk
$
150.00
$
150.00
Beautification
Contracted Services
Holiday (Funding Source from Carried Forward Revenues/ Reserves)
Planter Maintenance/ Bump Outs
$
$
$
24,300.00
7,500.00
12,100.00
$
$
$
24,300.00
7,500.00:
12,100.00
Parking (Funding Source from Carried Forward Revenues/ Reserves)'
$
15,000.00
$
15,000.00
Storage Unit
$
660.00
$
660.00
EXPENSES TOTAL Based on 2019 Assessment
$
140,610.00
2019 Estimated Revenues $ 52,000.00
$
52,000.00
Balance Prior Year Carried Forward Reserves/Revenues
$
52,000.00
$
29,500.00
2019 Anticipated Expenditures
$
192,610.00
2019 Available Funds
$
244,610.00
APPENDIX E
Downtown Oshkosh Business Improvement District Board Members
Board Member
Category
Term Expires
Marlo Ambas
Owner/Occupant
6/1/21
Chanda Anderson
Non-Owner/Occupant
6/1/21
Megan Lang, Chair
Owner/Non-Occupant
6/1/19
Kris Larson, Vice Chair
Owner/Occupant or Non-
6/1/19
Owner/Occupant
Ben Rennert
Non-Owner/Occupant
6/1/20
Sandy Prunty
Owner/Occupant
6/1/19
David Krumplitsch
Non-Owner/Occupant
6/1/20
David Sparr
Owner/Occupant
6/1/20
James Stapel
Owner/Non-Occupant or
6/1/20
Owner/Occupant
Kay Bahr
Non-Owner/Occupant
6/1/21
Andy Ratchman
Non-Owner/Occupant
6/1/21
James Evans
Owner/Occupant
6/1/20
TBD
TBD
TBD
Alternate #1
TBD
Alternate #2
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