To: Honorable Mayor and Members of City Council
From: Vin Smith, Community Development Director
Prepared By: Neal Harrison, Development Project Coordinator
TITLE:
Title
Downtown Business Promotions Tax Area - 2021 Annual Report and Budget
LABEL
RECOMMENDED ACTION:
Recommendation
Adopt a resolution approving the 2021 Annual Report and Budget for the Downtown Business Promotions Tax Area; authorizing the City Clerk to schedule a public hearing on June 16, 2020 to levy taxes in accordance with Napa Municipal Code Chapter 3.28; 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 January 1- December 31, 2020, for the Downtown Business Promotions Tax Area ("DBPTA"), which is identified in the Napa Municipal Code Chapter 3.28 as the "Napa Parking & Business Improvement Area 1, Benefit Zone 2." The DBPTA boundaries include the downtown core generally between Jefferson Street, Soscol Avenue, Yount Street and Division Street (see boundary map on Exhibit "E" 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 tax revenues generated by the DBPTA.
The City collects DBPTA taxes from merchants within the DBPTA boundaries and pays those tax revenues to the NDA, and the NDA manages expenditures of the tax revenues for improvements and activities identified in the annual report, all under the terms of Agreement 9354.
Merchants in the DBPTA pay a promotional tax equal to 40 percent of the business license tax, paid when business licenses are renewed. Therefore, tax rates that are ...
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