Tag Archives: CF 96-1972

Business Improvement Districts, Los Angeles City Government

It Appears That The City Of Los Angeles Will No Longer Sign Petitions For BID Establishment Or Renewal Until 50% Of Non-City Petitions Have Come In — If True This Would Be A Radical Change In The City’s BIDscape — Just For Instance The Venice Beach BID Would Never Have Been Established — San Pedro Would Never Have Been Renewed — If This Is True It Would Seem To Be Impossible For Venice Or San Pedro To Renew Again In Their Present Forms

July 21, 2018 Mike Leave a comment

I just wrote this morning on the surprising fact that it seems the LAUSD will no longer automatically approve BID establishment/renewal petitions. This in itself is a monumental development, which may make it somewhat more difficult for BID establishment to happen. The emails on which that earlier post were based, between staffers at the Byzantine Latino Quarter BID and various parties including their renewal consultant Don Duckworth, are available here on Archive.Org, are an extremely rich set, and there is much of interest in there.

Now, recall that in order for the City to move forward with the BID renewal process it’s required by the Property and Business Improvement District Act of 1994 for the proponents to collect petitions in favor of renewal signed by property owners holding more than 50% of the proposed assessed value, which is known in the jargon as 50%+.¹ Hitherto, in accordance with an ordinance adopted by the City Council in 1996, the City of Los Angeles would always sign petitions for establishment.

However, at least according to what is clearly the most consequential item in this release, and one of the most consequential records in my entire collection, which is this May 1, 2018 email from BID consultant Don Duckworth to BLQ BID staffers Moises Gomez and Rebecca Drapper, that policy may no longer apply. Therein Duckworth is informing his clients of the status of their ongoing petition drive. Up until May 1, Don Duckworth and the staffers working with him had taken the City’s support for granted, as would be expected. However, that morning, says Duckworth, everything changed:

The City Clerk’s Office informed me this AM that the City Petitions count [sic] not be counted until the overall total of all other Petitions was 50% or more. (That’s a new practice.) This does affect our methodology for completion of the Petition Drive as shown below. We still have some work to do!

If this is accurate, and I don’t know why it wouldn’t be, it raises two monumental questions. First of all, how is it legal for the Clerk to adopt a policy like this without City Council approval given that it seems to contradict the 1996 policy, which was approved by the City Council? I am in the process of investigating this and I’ll get back to you on it if I learn anything.

Second, what will happen to BIDs with extraordinarily high proportions of City property, included by BID proponents to take advantage of the City’s automatic approval policy? The BLQ BID only has around 2.5% City property in it, so it wasn’t hard for the proponents to get to 50%+ without the City’s petitions.

However, some BIDs, and the Venice Beach BID and the San Pedro Historic Waterfront BID are two of the most egregious examples, don’t seem to have any hope at all of hitting 50% approval without the City’s petitions. What will happen to BIDs like this when they come up for renewal? Turn the page for more detailed analysis and some speculation!
Continue reading It Appears That The City Of Los Angeles Will No Longer Sign Petitions For BID Establishment Or Renewal Until 50% Of Non-City Petitions Have Come In — If True This Would Be A Radical Change In The City’s BIDscape — Just For Instance The Venice Beach BID Would Never Have Been Established — San Pedro Would Never Have Been Renewed — If This Is True It Would Seem To Be Impossible For Venice Or San Pedro To Renew Again In Their Present Forms →

Business Improvement Districts, Los Angeles City Government

Has The Los Angeles Unified School District Turned Against BIDs? — At Its May 8, 2018 The School Board Voted Against A Staff Recommendation To Support Seven Renewals — On The Grounds That The Money Would Be Better Used For — Gasp!! — Educating Students

July 21, 2018 Mike Leave a comment

It’s well-known that the City of Los Angeles always votes its property in favor of BID formation. In fact, an ordinance passed in 1996 directs the Clerk to vote yes on both petitions and ballots unless the City Council specifically directs otherwise. And to my knowledge, the same has been true of the Los Angeles Unified School District. There have been signs, albeit not dispositive, of some LAUSD discontent with the policy, e.g. the probably intentional voiding of all petitions, but no open rebellion that I’m aware of.

And BIDs are evidently used to taking LAUSD petitions and ballots for granted. For instance, the Byzantine Latino Quarter BID is currently in the process of renewing.² And I just received a huge release of emails about the renewal from BLQBID director Moises Gomez, which you can look at here on Archive.Org. It’s clear from the discussion that Don Duckworth and Moises Gomez were counting the LAUSD petitions as already-hatched chickens³ but, amazingly, it was not to be.

In April 2018 LAUSD staff prepared a report recommending that the Board sign petitions approving seven BIDs in Los Angeles. But at its May 8, 2018 meeting, the LAUSD Board voted down the staff proposal, and, according to staffer Yekaterina Boyajian, writing in an email to Moises Gomez on May 21, this is how it went down:

The proposal for the District to sign these petitions in support of the BIDs was not approved. The Board expressed the desire to support the BID petitions, and staff spoke to the positive relationships schools have with existing BIDs, but the Board felt that they could not justify supporting the expenditure of public education funds for purposes other than education in a time when the District is facing historic budget deficits.

It wasn’t just the BLQ BID that got its hopes dashed, either. The other BIDs whose petitions were rejected were the Arts District, the Fashion District, the Hollywood Entertainment District, the Hollywood Media District, the Lincoln Heights Benefit District, and the Melrose BID. Quite a distinguished list, eh?

And turn the page for a detailed explanation of the BLQ BID’s evolving thinking about these LAUSD petitions between February and May 2018, along with the usual links to and transcriptions of any number of really interesting emails!
Continue reading Has The Los Angeles Unified School District Turned Against BIDs? — At Its May 8, 2018 The School Board Voted Against A Staff Recommendation To Support Seven Renewals — On The Grounds That The Money Would Be Better Used For — Gasp!! — Educating Students →

Business Improvement Districts, Los Angeles City Council, Los Angeles City Government

What Does The City Of Los Angeles Consider “A Significant Number Of Protests” Against BID Formation Or Renewal? A Tragic Lesson From A Failed 2016 Attempt To Disestablish The Los Feliz Village BID

January 21, 2017 Mike Leave a comment

Looking south along Vermont Avenue from Russell Avenue in 1974 (with a good old triangular RTD sign in the foreground!). The trees are bigger now, but otherwise is Los Feliz Village really better off 43 years later?

Long-time readers of this blog will recall that the locus classicus of operational BID policies in the City of Los Angeles is to be found in Council File 96-1972, which is too old to have actual documents online, but I scanned and published a number of them last year.⁴ Therein may be found the City’s BID Policy and Implementation Guidelines, which are meant to provide an L.A.-specific implementation of the Property and Business Improvement Law of 1994.

Chapter 2 of that law describes the process for establishment and renewal of a BID,⁵ and it’s remarkable how tentative, how conditional the process is. It’s well-known by this point that in order for a BID to be formed it’s necessary that property owners representing more than 50% of the assessed value be in favor.⁶ It’s necessary, but it by no means sufficient. Section 36625(a) very clearly leaves the question of formation up to the Council:

If the city council, following the public hearing, decides to establish a proposed property and business improvement district, the city council shall adopt a resolution of formation…

The only mandatory requirement with respect to BID establishment in the whole Chapter is found in Section 36623(b), which says that if owners holding 50% or more of the assessed value are opposed to the BID, not only can it not be formed, but no further attempts can be made to form it for a year.

And the discretionary nature of the process is reflected in the City’s BID Policy and Implementation Guidelines as well. Therein it states:⁷
The City Council can proceed with the BID if the protest is less than 50%. However, BID proponents are cautioned that they should not expect a favorable vote from the City Council with a significant number of protests.

From the context it’s clear that the policy means that there is some threshold of protest less than 50% with respect to which the Council will not establish the proposed BID even though the Property and BID Act would allow them to do so.

Thus the question arises as to what this threshold is. Well, it turns out that an episode early last year involving the Los Feliz Village BID sheds some light on this question.⁸ The short answer is that business owners⁹ representing 16.95% of the assessed value protested, an unprecedented number,¹⁰ and yet City Council renewed the BID unanimously. Turn the page for a detailed recounting of the tragic details!
Continue reading What Does The City Of Los Angeles Consider “A Significant Number Of Protests” Against BID Formation Or Renewal? A Tragic Lesson From A Failed 2016 Attempt To Disestablish The Los Feliz Village BID →

Announcements, Historical and Theoretical Perspectives, Los Angeles City Government

Scanned Archival Documents About BID Implementation and Policy From 1998 Now Available

September 29, 2016 Mike Leave a comment

Somehow BIDs, like everything else, are all Richard Riordan's fault. — Somehow BIDs, like everything else, are all Richard Riordan’s fault.

Recall that last month last month I raised the question of where the City Clerk gets the authority to vote all of the City’s property in favor of BID formation, and about two weeks ago, this question was answered by Miranda Paster, who pointed me towards Council File 96-1972, part of which is the ordinance that directs the Clerk how to vote the City’s parcels. Well, the file is too old to include online material, but a couple days ago I had a chance to visit the L.A. City Archives over on Ramirez Street to look through the file. There was a lot of stuff, most of it not that interesting,¹¹ but I did copy a few items, and here they are for your sake and the sake of history! You can get them at Archive.Org for one thing. Also here in the menu structure, and finally directly here. They’re also linked-to and discussed a little bit after the break.
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Los Angeles City Government

Revealed: Why The City Always Votes Yes on BID Formation. Also Some Speculation On The Shady Reasons Why The City Prefers Property-Based BIDs Over Merchant-Based BIDs Despite The Fact That They Instantiate Peak White Supremacy

September 17, 2016 Mike Leave a comment

You may recall that last month I raised the question of where the City Clerk gets the authority to vote all of the City’s property in favor of establishing BIDs. That the Clerk does this is undisputed. It’s so reliable that BID proponents are famous for gerrymandering in as much City property as possible to improve their chances of hitting the 50.1% approval needed to start the BID formation process.

Well, of course, I filed a CPRA request on the matter and Miranda Paster, however conflicted her interests may be when it comes to her darling baby BIDs, is by far one of the most reliable and honest City officials with whom I deal with respect to public records, yesterday pointed me to the now twenty year old Council File 96-1972. This file is too old to have documents online¹² but there are some summary notes on what went on. In particular, the ordinance passed includes an instruction¹³ to:

REQUIRE the City Clerk to sign off on Proposition 218¹⁴ ballots and support petitions for property-based BIDs, unless the Council directs otherwise.

So I was right. There had to be a law, and there is a law. It’s pleasant to speculate on the possibility of exploiting this to add some democratic sauce to the BID formation process. For instance, as I’ve suggested before, it would be much more fair to let residents of the BID area vote on BID formation and apportion the City’s ballots proportionally to the wishes of the residents. This wouldn’t be perfect, but it would be far, far more fair that what’s done now. Of course given the degree to which our Council worships BIDs, and given the wildly disproportionate influence that BIDs have on City policy, this is not likely to happen except through the courts. As I said, though, it’s nice to think about.
Continue reading Revealed: Why The City Always Votes Yes on BID Formation. Also Some Speculation On The Shady Reasons Why The City Prefers Property-Based BIDs Over Merchant-Based BIDs Despite The Fact That They Instantiate Peak White Supremacy →