HomeMy WebLinkAboutReso - CC - 120-20231
RESOLUTION NO. 120-2023
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BURLINGAME DECLARING
RESULTS OF MAJORITY PROTEST PROCEEDINGS AND ESTABLISHING THE SAN
FRANCISCO PENINSULA TOURISM MARKETING DISTRICT (SFPTMD)
WHEREAS, in 2001, the San Mateo County Tourism Business Improvement District
(SMCTBID) was formed pursuant to the Parking and Business Improvement Area Law of 1989
(89 Law) by Ordinance No. 1648; and
WHEREAS, the City of Burlingame (City), San Mateo County/Silicon Valley Convention
and Visitors Bureau dba The San Francisco Peninsula (SFP), and San Mateo County lodging
businesses seek to modernize the SMCTBID by forming a new District, the San Francisco
Peninsula Tourism Marketing District (SFPTMD), pursuant to the Property and Business
Improvement District Law of 1994 (94 Law); and
WHEREAS, lodging business owners who will pay more than fifty percent (50%) of the
proposed assessment, as weighted according to the amount of the assessment to be paid by the
petitioner, within the boundaries of the SFPTMD have petitioned the City Council to establish the
SFPTMD; and
WHEREAS, the proposed SFPTMD includes all lodging businesses, existing and in future,
in the cities of Belmont, Brisbane, Burlingame, East Palo Alto, Half Moon Bay, Millbrae, Pacifica,
Redwood City, San Bruno, San Carlos, San Mateo, South San Francisco, and the unincorporated
area of San Mateo County; and
WHEREAS, consent to include lodging businesses in their respective jurisdictions has
been received from the cities of Belmont, Brisbane, East Palo Alto, Half Moon Bay, Millbrae,
Pacifica, Redwood City, San Bruno, San Carlos, San Mateo, South San Francisco, and the
unincorporated area of San Mateo County; and
WHEREAS, included with the petitions was a Management District Plan (Plan) summary
that describes the proposed assessment to be levied on all lodging businesses existing and in
future within the SFPTMD to pay for sales, marketing, and advocacy programs, and other
improvements and activities set forth in the Plan; and
WHEREAS, the assessed lodging businesses within the SFPTMD will receive a specific
benefit from the activities and improvements set forth in the Plan; and
WHEREAS, pursuant to the 94 Law, on May 15, 2023 the City Council adopted a
Resolution of Intention, Resolution No. 049-2023 and set a public hearing for June 20, 2023; and
WHEREAS, the public meeting and public hearing to consider the establishment of the
SFPTMD have been properly noticed in accordance with Streets and Highways Code §36623;
and
WHEREAS, pursuant to Resolution No. 049-2023, on June 20, 2023, at 7:00 PM at the
City Hall, 501 Primrose Road, Burlingame, CA 94010, the City Council held a public meeting
regarding the formation of the SFPTMD, and the Council heard and received objections and
protests, if any, to the formation of the SFPTMD and the levy of the proposed assessment; and
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also to consider and adopt the first reading of an ordinance (Ordinance) establishing Chapter 6.55
of Title 6 of the Burlingame Municipal Code regarding formation of the SFPTMD; and
WHEREAS, on July 5, 2023, the City Council continued the public hearing to September
5, 2023; and
WHEREAS, on September 5, 2023 at 7:00 PM at the City Hall, 501 Primrose Road,
Burlingame, CA 94010, the Council held a public hearing regarding the formation of the SFPTMD
and the Council heard and received all objections and protests, if any, to the formation of the
SFPTMD and the levy of the proposed assessment; and also to adopt the Ordinance; and
WHEREAS, the City Clerk has determined that there was no majority protest. A majority
protest is defined as written protests received from owners of lodging businesses in the proposed
SFPTMD which would pay fifty percent (50%) or more of the assessments proposed to be levied.
Protests are weighted based on the assessment proposed to be levied on each lodging business;
and
WHEREAS, adoption of this Resolution does not diminish the legal effect of the adoption
of the Ordinance to; and
WHEREAS, the City bears the burden of proving by a preponderance of the evidence that
an assessment imposed for a specific benefit or specific government service is not a tax, that the
amount is no more than necessary to cover the costs to the City in providing the specific benefit
or specific government service, and that the manner in which those costs are allocated to a payor
bear a fair or reasonable relationship to the specific benefits or specific government services
received by the payor.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL THAT:
1. The recitals set forth herein are adopted by the City Council as findings and they
are true and correct.
2. The SFPTMD is hereby established for a five (5) year life, beginning January 1, 2024,
or as soon as possible thereafter, and ending five (5) years from its start date.
3. The Plan dated August 14, 2023 is hereby adopted and approved.
4. The activities to be provided to benefit lodging businesses in the SFPTMD will be
funded by the levy of the assessment. The revenue from the assessment levy shall not be used:
to provide activities that directly benefit businesses outside the SFPTMD; to provide activities or
improvements outside the SFPTMD; or for any purpose other than the purposes specified in this
Resolution, the Resolution of Intention, and the Plan. Notwithstanding the foregoing,
improvements and activities that must be provided outside the SFPTMD boundaries to create a
specific benefit to the assessed lodging businesses may be provided, but shall be limited to
marketing or signage pointing to the SFPTMD.
5. The City Council determines and finds as follows:
a) The activities funded by the assessment will provide a specific benefit to assessed
lodging businesses within the SFPTMD that is not provided to those not paying the
assessment.
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b) The assessment is a charge imposed for a specific benefit conferred or privilege
granted directly to the payor that is not provided to those not charged, and which does not
exceed the reasonable costs to the local government of conferring the benefit or granting
the privilege.
c) The assessment is a charge imposed for a specific government service or product
provided directly to the payor that is not provided to those not charged, and which does
not exceed the reasonable costs to the local government of providing the service or
product.
d) Assessments imposed pursuant to the SFPTMD are levied solely upon the
assessed lodging business, and the lodging business owner is solely responsible for
payment of the assessment when due. If the owner chooses to collect any portion of the
assessment from a transient, that portion shall be specifically called out and identified for
the transient in any and all communications from the business owner as the “SFPTMD
Assessment” or “Tourism Assessment” as specified in the Plan.
6. The assessments levied for the SFPTMD shall be applied towards sales,
marketing, and advocacy programs to market San Francisco Peninsula lodging businesses as
tourist, meeting and event destinations, and other improvements and activities as set forth in the
Plan.
7. Assessments levied on lodging businesses pursuant to this resolution shall be
levied on the basis of benefit. Because the services provided are intended to increase sleeping
room rentals, an assessment based on gross short-term sleeping room rental revenue is the best
measure of benefit.
8. The assessments for the entire SFPTMD will total approximately $10,336,711 in
year one (1).
9. Bonds shall not be issued to fund the SFPTMD.
10. The SFPTMD shall include all lodging businesses, existing and in the future,
located within the boundaries of the cities of Belmont, Brisbane, Burlingame, East Palo Alto, Half
Moon Bay, Millbrae, Pacifica, Redwood City, San Bruno, San Carlos, San Mateo, South San
Francisco, and the unincorporated area of San Mateo County. A boundary map is attached hereto
and incorporated herein by reference.
11. The assessments shall be used for the purposes set forth above and any funds
remaining at the end of any year may be used in subsequent years in which the SFPTMD
assessment is levied as long as they are used consistent with the requirements set forth herein.
12. The assessments to fund the activities and improvements for the SFPTMD will be
collected by the City of Burlingame on a monthly basis, and in accordance with Streets and
Highways Code §36631.
13. The City Council, through adoption of this Resolution and the Plan, has the right
pursuant to Streets and Highways Code §36651, to identify the body that shall implement the
proposed program, which shall be the Owners’ Association of the SFPTMD as defined in Streets
and Highways Code §36612. The City Council has determined that San Mateo County/Silicon
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Valley Convention and Visitors Bureau dba The San Francisco Peninsula (SFP) shall be the
SFPTMD Owners’ Association.
14. SFP, pursuant to Streets and Highways Code §36650, shall cause to be prepared
a report for each fiscal year, except the first year, for which assessments are to be levied and
collected to pay the costs of the improvement and activities described in the report. The first
report shall be due after the first year of operation of the SFPTMD.
15. The SFPTMD established pursuant to this resolution will be subject to any
amendments to the Property and Business Improvement District Law of 1994 (California Streets
and Highways Code §36600 et. seq.).
16. The City Clerk, or his or her designee, is directed to take all necessary actions to
complete the establishment of the SFPTMD and to levy the assessments.
17. Pursuant to Streets and Highways Code section 36625 of the 94 Law, the City
Council finds and determines as follows:
a) The activities funded by the assessment will provide a specific benefit to assessed
lodging businesses within the SFPTMD that is not provided to those not paying the
assessment, including marketing and promotion of the businesses within the district.
The assessments levied for the SFPTMD shall be applied towards sales, marketing,
and advocacy programs to market San Francisco Peninsula lodging businesses as
tourist, meeting and event destinations, and other improvements and activities as set
forth in the Plan. The assessment will be levied on businesses withing the district, and
bonds shall not be issued. The exterior boundaries of the district shall be as depicted
on Boundary Map attached hereto and incorporated herein by reference.
b) The number, date of adoption, and title of this Resolution of Intention is as provided
herein.
c) The public hearing concerning the establishment of the district was held on June 20,
2023, August 21, 2023, and September 5, 2023, each at 7:00 p.m. at the City of
Burlingame Council Chambers, 501 Primrose Road, Burlingame, California.
d) The City Council determines that after the conclusion of the public hearing, there was
no majority protest received.
e) The SFPTMD established pursuant to this Resolution will be subject to any
amendments to the Property and Business Improvement District Law of 1994
(California Streets and Highways Code §36600 et. seq.
f) The activities to be provided to benefit lodging businesses in the SFPTMD will be
funded by the levy of the assessment. The revenue from the assessment levy shall
not be used: to provide activities that directly benefit businesses outside the SFPTMD;
to provide activities or improvements outside the SFPTMD; or for any purpose other
than the purposes specified in this Resolution, the Resolution of Intention, and the
Plan. Notwithstanding the foregoing, improvements and activities that must be
provided outside the SFPTMD boundaries to create a specific benefit to the assessed
lodging businesses may be provided, but shall be limited to marketing or signage
pointing to the SFPTMD.
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g) The businesses within the SFPTMD will be benefited by the improvements,
maintenance, and activities funded by the proposed assessments.
18. This Resolution shall take effect immediately upon its adoption by the City Council.
______________________________
Michael Brownrigg, Mayor
I, MEAGHAN HASSEL-SHEARER, HEREBY CERTIFY that the foregoing Resolution was
adopted at a regular meeting of the City Council on the 5th day of September 2023 by the following
vote:
AYES: COUNCIL MEMBERS: BEACH, BROWNRIGG, COLSON, ORTIZ, STEVENSON
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: NONE
ABSTAIN: COUNCIL MEMBERS: NONE
_____________________________
Meaghan Hassel-Shearer, City Clerk
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Boundary Map
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