HomeMy WebLinkAboutReso - CC - 028-20241
RESOLUTION NO. 028-2024
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BURLINGAME DECLARING
RESULTS OF MAJORITY PROTEST PROCEEDINGS AND MODIFYING 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 modernized 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), by adoption Resolution No. 120-2023, on September 5, 2023; 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 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, following formation of the SFPTMD, the City of Foster City requested to be
included in the District, and adopted Resolution No. 2023-94, granting consent to the City of
Burlingame to include the City of Foster City in the SFPTMD, and thereafter the SFP requested
the City of Burlingame to modify the SFPTMD to include the City of Foster City; and
WHEREAS, a Management District Plan (Plan) dated January 3, 2024, modified to include
the City of Foster City, has been prepared which describes the proposed assessment to be levied
on all lodging businesses existing and in future within the modified 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 modified SFPTMD will receive a
specific benefit from the activities and improvements set forth in the Plan; and
WHEREAS, pursuant to the 94 Law, on January 16, 2024 the City Council adopted a
Resolution of Intention, Resolution No. 002-20204 and set a public meeting on February 5, 2024,
and a public hearing for March 4, 2024, to consider the modified SFPTMD and Plan; 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
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WHEREAS, pursuant to the Resolution of Intention and the 94 Law, the City Council held
a public meeting on February 5, 2024 to consider the proposed amended SFPTMD; and
WHEREAS, pursuant to the Resolution of Intention and the 94 Law, on March 4, 2024, at
7:00 PM at the City Hall, 501 Primrose Road, Burlingame, CA 94010, the Council held a public
hearing regarding the modification of the SFPTMD and the Council heard and received all
objections and protests, if any, to the modification of the SFPTMD and the modified levy of the
proposed assessment; 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, 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 modified to add the City of Foster City to SFPTMD, with
assessments on lodging businesses in the City of Foster City beginning April 1, 2024. All other
provisions of the SFPTMD, including its ending date of December 31, 2029, which is five (5) years
from the beginning of the January 1, 2024 beginning date, remain unchanged.
3. The modified Plan, dated January 3, 2024 and includes the City of Foster City, 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:
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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.
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 modified SFPTMD will total approximately
$10,432,625 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, Foster City, 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.
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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
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 meeting concerning the establishment of the district was held on February
5, 2024, and the public hearing was held on March 4, 2024, 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.
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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.
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.
________________________
Donna Colson, Mayor
I HEREBY CERTIFY that the foregoing Resolution was adopted at a regular meeting of the City
Council on the 4th day of March, 2024 by the following vote:
AYES: COUNCILMEMBERS: BEACH, BROWNRIGG, COLSON, ORTIZ, STEVENSON
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: NONE
ABSTAIN: COUNCILMEMBERS: NONE
_________________________________
Meaghan Hassel-Shearer, City Clerk
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Boundary Map
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