To: Honorable Mayor and Members of City Council
From: Molly Rattigan, Interim Community Development Director
Prepared By: Jennifer Owen, Economic Development Program Coordinator
TITLE:
Title
Oxbow Business Promotions Assessment Area - FY 2025-2026 Annual Report and Budget
LABEL
RECOMMENDED ACTION:
Recommendation
(1) Receive an annual report from Napa Downtown Association’s Executive Director, Bill La Liberte; and
(2) adopt a resolution approving the FY 2025-2026 Annual Report and Budget for the Oxbow Business Promotions Assessment Area; declaring its intent to levy assessments and authorizing the City Clerk to schedule a public hearing on June 17, 2025 to levy assessments in accordance with Napa Municipal Code Chapter 3.29; and determining that the actions authorized by this resolution are exempt from CEQA.
Body
DISCUSSION:
The Napa Downtown Association (“NDA”) has submitted the annual budget, programs and promotional events, and roster of officers for the period July 1, 2025 to June 30, 2026, for the Oxbow Business Promotions Assessment Area (Oxbow BPAA), which is identified in the Napa Municipal Code Chapter 3.29 as the “Oxbow Business Improvement Area.” The Oxbow BPAA boundaries include businesses east of Soscol Avenue, generally bounded by River Terrace Way, Silverado Trail, Third Street and Soscol Avenue (see map on Exhibit “A” to Attachment 1).
In accordance with the contract obligations contained in City Agreement 9354, “Napa Downtown Association Agreement, Management of Assessment Districts”, the NDA must prepare and file with the City an annual report which describes improvements and activities that will be performed by the NDA in the upcoming fiscal year using assessment revenues generated by the Oxbow BPAA. The California Streets and Highways Code require that these reports be approved by the City Council, along with a resolution of intention to authorize the levying of assessments through the end of the NDA’s fiscal year.
The City collects Oxbow BPAA from merchants within the Oxbow BPAA boundaries and pays those assessment revenues to the NDA, and the NDA manages expenditures of the assessment revenues for improvements and activities identified in the annual report, all under the terms of Agreement 9354.
Summary of Annual Report
A summary of the full annual report (see Exhibit “A” to Attachment 1) is as follows:
1. There have not been any boundary changes or proposed boundary changes for the 2025-2026 fiscal year.
2. The NDA plans to produce the following events and activities in FY 2025-2026. These events and activities are available for all participating Oxbow BPAA businesses and promote the area (see Exhibit “A” to Attachment 1 for a full listing of events and activities).
• Fridays in the Park - Running July 11th-August 1st, Fridays in the Park is a free event, open to the public in Veterans Park. Guests are encouraged to bring food from Oxbow and Downtown merchants to be enjoyed while listening to two bands each night.
• Show & Shine - Scheduled for August 15th, 2025 in parking lot X, this community-facing, free event will feature 150 pre-1978 cars.
• Hometown Halloween - Scheduled for October 25th, 2025, this beloved annual free event offers community members of all ages safe trick-or-treating at 100+ downtown businesses across the Oxbow and Downtown. In 2024, 118 businesses participated and an estimated 2300 lbs. of candy was handed out.
• Napa Tree Lighting Ceremony - Held in Veterans Park the day before Thanksgiving (Nov. 26th, 2025 at 6 PM), this free community event features entertainment from local children’s groups and Mayor Sedgley, leading the children to count down the lighting to the Christmas Tree.
• Napa Christmas Parade - This community event welcomes one and all, encouraging all community members to either march along or come out and join their friends. This year’s event is scheduled for December 6th, 2025 at 5 PM.
• Napa’s Table - Originally a celebration of Napa’s 175th anniversary, this now-annual event features dinner for 400 at a long table on Main Street between First and Third Streets. The event serves as a fundraiser for both the Downtown Napa Association and CANV Napa Food Bank. It will be held on June 6th, 2026.
• Shop, Sip & Stroll - This promotion features retail locations paired with tasting rooms, a hybrid happy hour/shopping experience. Light outdoor music will play on sidewalks that are wide enough to support that. Each month a different district of downtown will be featured. The four districts are First Street, Second and Third Streets, Oxbow District, and Main Street. This will run the third Wednesday of each month starting on June 18th through September 17th from 5 to 7 PM and will feature approximately 30 merchants each month.
• Event Sponsorship - The NDA has approved $50,000 to support third party events in the FY 25-26 budget. The NDA board has already approved funding of $30,000 to support First Thursdays in the Oxbow Commons. First Thursday’s take place on the first Thursday of each month, commencing May 1st 2025 through October 2nd 2025. The NDA has approved funding of $7,500 for SoFi Battle of the Bands on July 27th 2025 from this fund. As part of our sponsorship the NDA will also support these events by assisting in the permitting process and ABC licensing as needed.
3. The NDA estimates it will cost $919,625.00 to manage and promote the DBPTA and the Oxbow District. The DBPTA tax revenue of $256,830 funds approximately 28% percent of the overall program, the Oxbow BPAA tax revenue of $52,840 funds approximately 6%. The remaining 66% comes from TID and PBID grants as well as event sponsorships, fundraisers and PBID administration fees. The Oxbow and Downtown districts benefit from these additional funds through events targeting locals and visitors to shop, eat and drink locally.
4. The method and basis of levying taxes remains the same as prior years and equals 40 percent of the business license tax (imposed on each business pursuant to Napa Municipal Code Chapters 3.29 Oxbow Business Improvement Area and 5.04 Business Licenses Generally).
5. The carryover from the 2024-2025 fiscal year is $27,900.42.
FINANCIAL IMPACTS:
The recommended action results in no financial City obligation or impact to its General Fund, but there are costs related to City staff time for financial accounting and preparation of staff reports and resolutions. The Oxbow BPAA assessment revenue, equal to 40 percent of the business license tax, is collected by the Finance Department and remitted to the NDA on a monthly basis.
CEQA:
City staff recommends that the City Council determine that the Recommended Action described in this Staff Report is exempt from CEQA, pursuant to CEQA Guidelines Section 15323 (normal operation of facilities for public gatherings). City staff also recommends that the City Council determine, on a separate and independent basis, that the Recommended Action is also exempt from CEQA pursuant to CEQA Guideline 15301 as the operation and maintenance of an existing business area with negligible expansion of use.
DOCUMENTS ATTACHED:
ATCH 1 - Resolution - FY 2025-2026 Annual Report and Budget for the Oxbow BPAA
EX A - FY 2025-2026 Annual Report for the DBPTA + Oxbow Districts
EX B - FY 2025-2026 Budget for the Oxbow BPAA
NOTIFICATION:
City staff notified the Napa Downtown Association of this agenda item before the meeting date.