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Transmittal - 6/28/2021DEPARTMENT of ECONOMIC DEVELOPMENT ERIN MENDENHALL MAYOR BEN KOLENDAR DIRECTOR CITY COUNCIL TRANSMITTAL ________________________________ Date Received: ___________ Lisa Schaffer, Chief Administrative Officer Date sent to Council: ____________ _______________________________________________________________________________ TO: Salt Lake City Council DATE: June 22, 2021 Amy Fowler, Chairperson FROM: Benjamin Kolendar, Director of the Department of Economic Development SUBJECT: Resolution of Intention to Designate Central Business Improvement Area – 22 (CBIA-22) STAFF CONTACT: Lorena Riffo Jenson, Deputy Director, Department of Economic Development, lorena.riffojenson@slcgov.com; William Wright, Project Coordinator, william.wright@slcgov.com; Jolynn Walz, Office Manager, jolynn.walz@slcgov.com 801.535.7200 DOCUMENT TYPE: Resolution RECOMMENDATION: Administration recommends City Council adopt the Resolution of Intention to designate the Central Business Improvement Area 2022 (CBIA-22). This continues a funding mechanism for downtown promotions, marketing, and advocacy established in 1991. It re-establishes a special assessment on property in the boundary area map attached (same boundaries as 2019) for a three-year period as well as breaks out a second assessment for Holiday lighting, map attached. BUDGET IMPACT: The budget summary for the City is detailed starting on page 2 under the section “Financial Summary for CBIA–22.” BACKGROUND/DISCUSSION: Salt Lake City established the Central Business Improvement Area (CBIA) in 1991 as a mechanism to fund marketing, promotions, advocacy, and other initiatives in Downtown Salt Lake City through a special assessment on property within a designated area. Lisa Shaffer (Jun 28, 2021 16:30 MDT) 06/28/2021 06/28/2021 The current assessment area, CBIA-19, expires April 21, 2022. The Administration wishes to initiate another assessment area, CBIA-22, by April 22, 2022 to continue the collection of assessment funds within a defined downtown boundary area. This allows for the continuation of marketing, promotion, advocacy, and other benefits that have and will accrue to the City and downtown property owners and businesses through services provided by the RFP recipient contractor (currently the Downtown Alliance). The special assessment also funds an ambassador’s program in Downtown Salt Lake City. The goal of the program is to promote economic growth by increasing local business activity through in-person wayfinding assistance for visitors and connecting the City’s homeless population with available resources. If approved, the Administration would like to continue this program and use the downtown special assessment area as a continued funding source. Since the inception of the CBIA, commonly known as a Business Improvement District, the funds collected for the Area have been used to fund the Downtown Alliance under a contract with Salt Lake City Corporation. The contract with the Downtown Alliance will expire with the current CBIA-19 and the Administration will announce an RFP which will use the proceeds of this assessment for a contractor to do the work the Downtown Alliance currently does. The Downtown Alliance will be able to submit for the RFP. The creation of the CBIA is a lengthy and complex process that is governed by State law, has numerous noticing provisions, public hearings, and other requirements that involve a variety of City Council actions over the next nine months in order to meet the deadline for continuous funding from the Area. The Department of Economic Development, in cooperation with Engineering, City Attorney’s Office, City Treasurer’s Office, Bonneville Research, and the Downtown Alliance, would like to brief the City Council on the “Resolution of Intention to Designate the Central Business Improvement Area” on July 13, 2021, with a formal action item on July 20, 2021. The action by the City Council allows the notification of property owners to begin and keeps the process on target to meet the April 2022 deadline for expiration of the current. Ben Kolendar & Lorena Riffo Jenson (Department of Economic Development), and Jonathan Springmeyer (Bonneville Research) plan to be at the table for the discussion. Financial Summary for CBIA-22 Revenue for CBIA-22 2020 Taxable Property Valuation $3,573,174,176 Proposed Taxable Value Assessment Rate .00142 Taxable Value Assessment Subtotal $5,073,907 2018 Linear Footage for Holiday Lights $13,870 Proposed Holiday Light Rate per Foot $12.79 Holiday Light Assessment Subtotal $177,378 Total Assessment Revenue $5,251,285 Budget for CBIA-22 Salt Lake City Expenses DED Management $ 120,000 Reserve withheld (3%) $ 157,539 Professional and Technical $ 30,000 Legal Fees $ 20,000 Printing $ 5,000 Postage Fees $ 3,000 Contingency $ 18,5000 Salt Lake City Subtotal $ 354,039 RFP Recipient Budget Economic Development Activities (27%) $ 1,293,000 Marketing and Events (16%) $ 776,000 Administration (24%) $ 1,164,000 Ambassador Program Homeless Services (33%) $ 1,512,000 RFP Recipient Subtotal $ 4,745,000 Total Use of Funds $ 5,099,039 Adoption Process and Timeline If the City Council adopts the proposed “Resolution of Intention to Designate CBIA-22,” the additional steps toward final implementation are: ●Property owners in the Area are mailed a Notice of Intention with a description of the boundaries and an assessment rate ●Property owners have opportunities to protest (in writing) the creation of the Area or inclusion in it ●Public hearings and informational meetings are held ●Board of Equalization hearings are held to hear factual issues on the amount of benefit received and the amount of the proposed assessment ●City Council adopts an ordinance to create CBIA-22 ●CBIA-22 takes effect April 22, 2022 Special Stipulations Parcels under $20,000 in valuation as well as residential, ecclesiastical and government owned properties are exempt from the assessment, except those whose owners agree in writing to be assessed. By State law, properties that are not included in the initial Notice of Intent cannot be added at a later date unless the property owner consents. However, properties may be removed from the Area at the Council’s discretion prior to assessment. Property owners are assessed the full amount but may pay the assessment in three annual installments. If owners of 40% or more of the valuation in the Area boundaries protest the creation of the CBIA- 22, the Area cannot be created. No more than 30% of the assessment funds can be spent on administrative expenses. Public Process If the City Council adopts the Notice of Intention as recommended, copies of the notice will be mailed to all property owners in the Area, as well as to the physical property address (if it differs from the address of the property owner), along with a notice of an open house/hearing. Written protests may then be filed with the City, and a protest hearing should be scheduled by the City Council before the adoption of the ordinance creating the CBIA-22. If the City Council creates the Area, it would appoint a Board of Equalization that may recommend adjusting the assessment rate higher or lower from that indicated in the Notice of Intention. The City Council then may accept, reject, or modify that recommendation before adoption of the Assessment Ordinance. Relevant Statutes and Ordinances The definition of "economic promotion activities" in the SAA statute, Utah Code Section 11-42- 102(18) is as follows: (18) "Economic promotion activities" means activities that promote economic growth in a commercial area of a local entity, including: (a) sponsoring festivals and markets; (b) promoting business investment or activities; (c) helping to coordinate public and private actions; and (d) developing and issuing publications designed to improve the economic well-being of the commercial area. ATTACHMENTS: A.Boundary Map & Holiday Lighting Map B.Timeline C.Resolution INTERSTATE 15REGENT STEDISON STRICHARDS STVIN E A L M O N DQUINCE STALMOND30 0 N CANYONALAME DA STANTON BELD ON GALE STPACIF ICAVE700 WWASHINGTONLACONIAHOYT PL QUINCECOTTAGE STRINGFELLOWGR EGORYWAYNEDELMARPOPLAR A R N O L D DUBEICHATMANCANYON SIDE LNOR PHEUM ROADSPENCER CTJACK SON AV EMERIL AVE ELDER CTPIERP ON T TEMPLE PACIF IC AVPACIFIC 600 S MOFFATT CTNORT H TEMPLE PLUM ALLEYPIERP ON T MA RKET S T SHELMERDINEBLAIR STIVERSONCONWAYSOCIAL H ALL WOODBINEBUTTERWORTHMARGUERITEFLORALPLEASANTTEMPLESOUTH EAST200EDMONDSARGYLEBLISS CTRENDON CTSEWARD JACKSON AV ECCLE S EXCHANGE PL GA LL IVAN AVLOMAGRAY EASTHILLSIDE AV CAPITOL STRIO GRANDECTOR CHARD P L MORTENSENCTWALL50 N SQUARE SQUARE LIBRARYWASHINGTON PIONEER PARKGATEWAYTHEDANSIE DR 40 0 S400 S 500 S500 S 200 W400 W500 W300 W200 W600 S600 S600 WMAIN ST300 E400 E40 0 S 10 0 S 30 0 S 300 S300 S 200 S MAIN ST300 N 20 0 N 200 E300 E400 E700 W600 W500 W400 W(HWY 89)3RD AVE B STC STD STA ST1ST AVE 600 W500 W200 N 300 N (HWY 186 ) 30 0 S 200 S 10 0 S 700 WINTERSTATE 15WESTTEMPLESTATE STSTATE STWEST TEMPLE300 W200 W400 WWEST TEMPLESal t La ke CityCBIABoundary Ma p 4 50 51 299 375 80 255 131 222206 324 215 380 220 60 61 128 175 111 7 310 8 136 15 9 132 201 316 77 185 36 120 360 102 75 161 170 15 375 15 307 0 10 248 306 122 311 10 10 110 69 239 335 100 111 175 26 250 311 143 48 334322 341 342 360 79 360 51 185 10 163 150 144 334 320 149 321326 135 160165 75 262 149 330 357 319 155 328 260 163151 145 158156 159 323 155 268 159 338 327 331 225 18 149 124 160 325 122 118 270 120116 315 370 317 30 50 55 50 55 55 30 55 50 50 30 99 50 50 555550 5550 5045 55 50 44 44 44 99 9945 55 45 50 994450 65 505065 515151 51 5050 51 50 50 50 51 65 50 50 51 50 51 50 51 50 21 51 51 50 50 655051 200 S200 S 400 S400 S 300 S300 S 200 E200 E400 W400 W300 W300 W200 W200 W100 S100 SMain St Main St State St State St So u th Templ e St South Te m p le S t West Temple St West Temple St Rio Grande St Rio Grande St Edison St Edison St Regent St Regent St Exc hange Pl E xc h an ge Pl Pi e r pont Ave Pier po n t Ave Plum Aly Plum Aly Floral St Floral St Soc ial H all Ave Soci al Hall Ave Gal livan Av e Gal liva n Ave Poplar Ct Poplar Ct Wayne Ct Wayne Ct Moffatt Ct Moffatt Ct Marguerite Ct Marguerite Ct Shelmerdine Ct Shelmerdine Ct 100 S100 S Pi e rpont Ave Pie r po n t Av e CBIA 16: Holiday Lighting Parcels (Preliminary)July 29, 2015Salt Lake City Geographic Information Systems OHoliday Lighting Streets Included Parcels CBIA ‐ 22 Tentative Timeline Step Action Description Group/Lead Deadlines 1 Consultant Contract Contract with a consultant to provide guidance throughout process.DED 2/1/21 ‐ 4/30/2021 2 Technical Description of the CBIA Technical Description of the CBIA provided to Engineering. Engineering prepares tax roll based on this data. Consultant 3/12/2021 3 Develop assessment methodology that conforms to Assessment Area Act. Develop assessment methodology concerning Economic Promotion & Lighting Assessment.DED 3/24/2021 4 Salt Lake County Property Tax Information. Numbers should be available by May 22, 2021. Consultant 5/28/2021 5 Bond Counsel Description & Improvement Review Bond Counsel reviews the description of Improvements and Areas to be Improved.DED 6/1/2021 6 Resolution of intent to designate. Bond Counsel drafts resolution of Intent to Designate. Bond Counsel 6/15/2021 7 Resolution of Intent to Designate and Justification transmittal. (Mayor) Resolution of Intent to Designate and justification documentation transmitted to Mayor’s Office. DED 6/22/2021 8 Resolution of Intent to Designate and Justification transmittal. (Council Office) Resolution of Intent to Designate and justification documentation transmitted to Council Office. Mayor’s Office 6/29/2021 9 City Council Meeting DED will brief the City Council on CBIA‐22 Information. DED 7/13/2021 10 Property Owner Letter Property Owner letter includes verbiage of preliminary estimate, rate, notice of intent to designate, common question and map finalized. DED 7/17/2021 11 Tax roll prepared for DED approval. Assess County Data. Engineering 7/17/2021 12 DED approval of tax roll. DED approves county data. DED 7/17/2021 13 City Council Meeting City Council adopts the resolution of Intent to Designate the assessment area.City Council 7/20/2021 14 Draft/Create Notice of Intent to Designate Letter Engineering 7/22/2021 15 Post Notice of Intent to Designate Post notice of intent to designate in at least three public places within boundaries of jurisdiction DED 8/16/2021 16 Mail out Notice of Intent to Designate Mail out Notice of Intent to Designate to go out within 10 days of notice posting. DED sends via State Mail 8/19/2021 17 Minutes prepared for use at protest hearing Distribute to team SAA. Bond Counsel 8/30/2021 18 City Council Meeting City Council Protest Hearing City Council 9/7/2021 19 Draft Resolution to Designate the Assessment Area and appoint the Board of Equalization (BOE).Bond Counsel 9/14/2021 20 Resolution to Designate the Assessment Area and appoint the Board of Equalization Transmittal (Mayor’s Office) Resolution to Designate the Assessment Area and appoint the Board of Equalization Transmited to Mayor’s Office. DED 9/21/2021 21 Resolution to Designate the Assessment Area and appoint the Board of Equalization (City Council). Resolution to Designate the Assessment Area and appoint the Board of Equalization Transmited to the Council Office. Mayor’s Office 9/28/2021 22 Publish Notice of Intent to Designate Publish Notice of Intent to Designate on the Utah Public Notice Website DED 10/4/2021 23 Property Owners Written Protests Filing Deadline Property owners who are protesting the assessment area. Also, the end of 60‐day written protest period.Engineering 11/8/2021 24 Compile Written Protests.Engineering 11/9/2021 25 RFP: Center Business Improvement Assessment Area Management Request For Propsal (RFP) Solisitation to find a vendor to manage the assessment area once approved. DED 11/9/2022 26 Delivery of Compilation of Protests Compilation of protests sent to City Council. Engineering 11/9/2021 27 Publishing of Written Protests Publishing of Written Protests on City & State public notice website.DED 11/9/2021 28 City Council Meeting City Council announces the protest tally and if it exceeds 40% threshold.City Council 11/16/2021 29 City Council Meeting City Council adopts the Resolution to Designate the Assessment Area and appoints the Board of Equalization. City Council 11/16/2021 30 Recording of the Resolution to Designate the Assessment Area & Notice of Proposed Assesment Record Resolution to Designate the Assessment Area and Notice of Proposed Assessment with Salt Lake County Recorder, within 15 days of adoption. Salt Lake City Recorders 11/16/2021 ‐ 12/1/2021 31 BOE Notice and Dates of BOE Meetings.Finalize Verbiage for BOE notice and dates of BOE meetings.Bond Counsel 11/24/2021 32 Mailing process for the BOE notice. Begins 2 weeks before mailing date. Engineering 12/3/2021 33 RFP: Center Business Improvement Assessment Area Management submissions Proposals/submission due from interested vendors DED 12/7/2021 34 Publication of the BOE hearings. Publication and posting of time and location of the 3 consecutive meetings. Posted in at least 3 public places at least 20 days, but not more than 35 days from the first BOE hearings dates. Published on the Utah Public Notice Website. DED 12/7/2021 35 Mailing due to Recorder’s Office for review. Due 1 week before mailing date. Engineering 12/10/2021 36 Mailing of preliminary assessment & notice of BOE hearings Mailing sent to each property owner and each street address. DED 12/17/2021 37 BOE hearings 9:00 am to 10:00 am (public meeting). Held on consecutive days by statute.Salt Lake City Recorders 1/11/2022 38 BOE hearings 10:00 am to 11:00 am (public meeting). Held on consecutive days by statute.Salt Lake City Recorders 1/12/2022 39 BOE hearings 1:00 pm to 2:00 pm (public meeting). Held on consecutive days by statute.Salt Lake City Recorders 1/13/2022 40 Finalization of BOE Hearings Finalize the report DED 1/18/2022 41 RFP: Center Business Improvement Assessment Area Management Selection Selection is made from the proposals submitted DED 1/21/2022 42 BOE Report Completion BOE report completed, signed, and forwarded to City Council and Bond Counsel.DED 1/21/2022 43 Mailing of BOE Final Report BOE report mailed to objecting property owners. Begins 15 day appeal period. Engineering 1/21/2022 44 Assessment Ordinance Bond Counsel Draft Assessment Ordinance Bond Counsel 1/28/2022 45 Assessment Ordinance Transmittal (Mayor’s Office).Assessment Ordinance transmitted to the Mayor's Office. DED 2/1/2022 46 Assessment Ordinance Transmittal (Council Office).Assessment Ordinance transmitted to the Council Office. Mayor’s Office 2/8/2022 47 City Council Meeting City Council accepts or modifies BOE recommendations and adopts or rejects Assessment Ordinance.City Council 3/1/2022 48 RFP: Center Business Improvement Assessment Area Management Contract drafting and Execution Agreement between Salt Lake City and the vendor to manage the assesment area. DED 3/4/2022 49 Budget or budget amendment submittion for CBIA Submit budget to SLC Finance Department DED 3/17/2022 50 Transfer properties into billing status.Engineering 3/17/2022 51 Assessment Invoices and Billing Mail assessment notices and invoices to Property Owners by April 5, 2022 the latest.Treasurer 3/18/2022 52 Publication & Posting of the Assessment Ordinance 1. Publication of the Assessment Ordinance on the Utah Public Notice Website. 2. Post a copy of the Assessment Ordinance in at least three public places within the jurisdiction boundaries. For at least 21 days Bond Council 3/20/2022 53 Certificate of Project Engineer Certificate of Project Engineer Signed by DED DED 3/25/2022 54 Record Notice of Assessment Interest with Salt Lake County Recorder. I note that Utah Code 11‐42‐404(4)(b)(iii) requires the notice of assessment interest to “describe the property assessed by legal description and tax identification number.” Metes and Bounds legal description provided by Recorder’s Office. Salt Lake City Recorders 4/21/2022 55 Effective start date of the Assessment Ordinance Must be specified in the Assessment Ordinance DED 4/21/2022 56 Assessment Payments Due Invoice Payments due from property owners [15 days after effective date of Assessment Ordinance]Treasurer 5/6/2022 Notice of Intent Resolution Salt Lake City, Utah July 20, 2021 A regular meeting of the City Council of Salt Lake City, Utah, was held on Tuesday, July 20, 2021, at the hour of 7:00 p.m. via electronic means, at which meeting there were present and answering to roll call the following members who constituted a quorum: Amy Fowler Chair James Rogers Vice-Chair Dan Dugan Councilmember Ana Valdemoros Councilmember Dennis Faris Councilmember Darin Mano Councilmember Chris Wharton Councilmember Also present: Erin Mendenhall Mayor Katherine Lewis City Attorney Cindy Lou Trishman City Recorder Absent: Thereupon the following proceedings, among others, were duly had and taken: The following resolution was introduced in writing, was read by title, and Councilmember ____________ moved its adoption: 2 Notice of Intent Resolution 4839-8274-5316, v. 4 RESOLUTION NO. ___ of 2021 A Resolution of intention of the City Council of Salt Lake City, Utah (the “City”), to designate an Assessment Area for the purpose of levying assessments against properties within the Assessment Area to continue to promote business activity and economic development in the central business area of downtown Salt Lake City by assessing benefited properties within the Assessment Area for the costs of such economic promotion activities for a period of three years (the “Assessments”); and to fix a time and place for protests against the Assessment Area and its assessments, and related matters. BE IT RESOLVED by the City Council of Salt Lake City, Utah, as follows: Section 1. The City Council (the “Council”) of Salt Lake City, Utah (the “City”), hereby determines that it will be in the best interest of the City to continue to promote economic growth activities in the central business area of downtown Salt Lake City. The proposed activities are more specifically described hereafter, but generally will include, but will not be limited to, advertising, marketing, special events, festivals, transportation, newsletters, publications, banners, Christmas lighting, homeless services, security, special projects, housing, town meetings, government policy, cultural promotion, reports, surveys and other promotional activities (the “Economic Promotion Activities”) in the downtown area as described hereafter and more specifically identified on maps and plans on file in the Office of the City Recorder of the City. In order to accomplish the Economic Promotion Activities, the City proposes to designate the Salt Lake City, Utah Central Business Improvement Assessment Area No. DA-CBIA-22 (the “Assessment Area”) pursuant to Title 11, Chapter 42, Utah Code Annotated 1953, as amended (the “Act”), the area of which is more particularly described in the Notice of Intention to Designate Assessment Area set out hereafter. Section 2. A portion of the cost of the Economic Promotion Activities shall be paid by a special assessment to be levied against business and commercial properties situated within the Assessment Area that are specially benefited by the Economic Promotion Activities. The assessment will have two components: (i) an assessment based on the 2021 taxable property values (the “Base Assessment”), plus (ii) an assessment on certain properties by linear feet for special holiday lights (the “Holiday Lighting Assessment” and together with the Base Assessment, the “Assessment”). Attached hereto as Exhibit A is a list of the properties within the Assessment Area and the proposed Assessment related to each property. The Assessment may be paid when assessed or, at the option of the property owner, in three (3) annual installments with interest on any delinquent installment until paid. Section 3. The Council shall hold a public hearing on September 7, 2021 at 7:00 p.m. via electronic means or, as determined by the City Council Chair, at the physical location of the Council Chambers at 451 South State Street in Salt Lake City, Utah to hear all objections related to the Assessment Area as set forth in the Act. Thereafter, written protests from property owners against the proposed assessments may be filed in the Office 3 Notice of Intent Resolution 4839-8274-5316, v. 4 of the City Recorder of the City, whose permanent address is 451 South State Street, Room 415; however, due to the emergency circumstances, is temporarily located at 349 South 200 East and by appointment only, for a period of 60 days after the date of the public hearing. On Tuesday, November 16, 2021 (such date being within 15 days after the date the protest period expires), at 7:00 p.m. via electronic means or, as determined by the City Council Chair, at the physical location of the Council Chambers at 451 South State Street in Salt Lake City, Utah, the Council shall count the written protests filed and calculate whether adequate protests have been filed and hold a public meeting to announce the protest tally and whether adequate protests have been filed. The Council may thereafter adopt a resolution abandoning or creating the proposed Assessment Area depending on whether adequate protests have been filed. The City Recorder is hereby directed to give notice of intention to designate the Assessment Area (the “Notice of Intention”) to finance and support the Economic Promotion Activities. The Notice of Intention shall specify the date of the public hearing and the time within which protests against the proposed assessments may be filed. The Notice of Intention shall be (a) posted in at least three public places within the City’s boundaries at least 20 but not more than 35 days prior to the public hearing date and (b) published on the Utah Public Notice Website described in Utah Code section 63A-16-601 for four consecutive weeks before the deadline for filing protests. In addition, the City Recorder shall mail a copy of the Notice of Intention by United States Mail, postage prepaid, to each owner of property to be assessed within the Assessment Area at the last known mailing address of such owner, using for such purpose the names and addresses of said owners appearing on the last completed real property assessment rolls of Salt Lake County, Utah, and, in addition, a copy of the Notice of Intention shall be mailed, postage prepaid, addressed to “Owner” at the street number of each piece of improved property to be affected by the assessment, said Notices to be so mailed not later than ten (10) days after the first publication or posting of the Notice of Intention. If a street number has not been so assigned, then the post office box, rural route number, or any other mailing address of the improved property shall be used for the mailing of the Notice of Intention. Said Notice of Intention shall be in substantially the following form: 4 Notice of Intent Resolution 4839-8274-5316, v. 4 NOTICE OF INTENTION TO DESIGNATE ASSESSMENT AREA PUBLIC NOTICE IS HEREBY GIVEN that on July 20, 2021, the City Council of Salt Lake City, Utah, adopted a resolution (the “Resolution”) declaring its intention to designate the Salt Lake City, Utah Central Business Improvement Assessment Area No. DA-CBIA-22 (the “Assessment Area”) to finance a portion of the cost of economic promotion activities, which are more specifically described hereafter (the “Economic Promotion Activities”) in the area of downtown Salt Lake City within the Assessment Area and to levy a special assessment (the “Assessment” or “Assessments”) for a period of three years as provided in Title 11, Chapter 42, Utah Code Annotated 1953, as amended (the “Act”), on real property situated within the Assessment Area for the benefit of which such assessments are to be expended in the management and costs of the Economic Promotion Activities. DESCRIPTION OF ASSESSMENT AREA The Assessment Area is described by reference to the following streets (the “Reference Streets”): A – North Temple from State Street to the East right-of-way line of I-15 (includes parcels on both sides of the street) B – East right-of-way line of I-15 from North Temple to 400 South C – 400 South from the East right-of-way line of I-15 to 300 East (includes parcels on both sides of the street) D – 300 East from 400 South to South Temple (includes parcels on both sides of the street) E – South Temple from 300 East to State Street (includes parcels on both sides of the street) F – State Street from South Temple to North Temple (includes parcels on both sides of the street) The area of the Assessment Area shall include all property bounded by Reference Streets A through F described above. In addition, it shall include parcels of property, subject to the exceptions set out hereafter, which abut the Reference Streets plus all corner parcels which have a corner touching any of the Reference Streets. The Holiday Lighting Assessment (as described herein) shall apply to the following streets (collectively, the “Holiday Lighting Streets”): A – 200 South between 300 West and 400 West B – 200 South between West Temple and 200 West (South side only) C – Pierpont Street between West Temple and 200 West D – West Temple between 400 South and 200 South E – Main Street between 400 South and South Temple F – Market Street between West Temple and Main Street (North side only) G – State Street between 400 South and South Temple 5 Notice of Intent Resolution 4839-8274-5316, v. 4 The Resolution, maps, and other information about the Assessment Area are available for examination during business hours in the offices of the Salt Lake City Recorder, whose permanent address is 451 South State Street, Room 415, Salt Lake City, Utah or, if such offices are closed, the temporary location of 349 South 200 East, Salt Lake City, Utah. ACTIVITIES AND MANAGEMENT OF THE ASSESSMENT AREA The Economic Promotion Activities shall include advertising, marketing, special events, festivals, transportation, newsletters, publications, banners, Christmas lighting, homeless services, security, special projects, housing, town meetings, government policy, cultural promotion, reports, surveys and other promotional activities. The Economic Promotion activities will take place within the boundaries of the Assessment Area for the benefit of business and commercial property owners within the Assessment Area. Since 1992, the Downtown Alliance has managed promotional activities for Central Business Improvement Assessment Areas (or districts) Numbers DA-8690-A, DA-8690- B, DA-8690-97, DA-CBID-00, DA-CBID-03, DA-CBID-06, DA-CBIA-10, DA-CBID- 13, DA-CBID-16 and DA-CBID-19. The City intends to solicit proposals for a management contract to manage the Assessment Area through April 2025, subject to the creation of the Assessment Area. The Downtown Alliance has submitted a proposed budget estimating the costs (the “Estimated Costs”) of Economic Promotion Activities within the Assessment Area. Information from the proposed budget is included in the following section. ASSESSMENT RATE, FINANCIAL PLAN AND SOURCES AND USES OF FUNDS Funding from Assessments provides only a portion of the total budget for the Assessment Area’s programs and activities. The City anticipates that the manager of the Assessment Area will secure non-assessment funds from other sources such as grants, foundations, promotions, contributions, earned income, and sponsorships. In addition, the City anticipates that sponsors and contributors will pay directly to third-party providers a portion of the costs of some Economic Promotion Activities. These supplemental third- party payments are not reflected in the projected budget of the Assessment Area. Most, if not all, of these other sources of funds would not be available without the funding from the Assessments or the Economic Promotion Activities of the Assessment Area. Funds received from the Assessments and the estimated cost of the Economic Promotion Activities, as determined by a project engineer, are as follows: 6 Notice of Intent Resolution 4839-8274-5316, v. 4 Sources of Funds (for 3-year period) Base Assessment Revenue $5,073,907 Holiday Lighting Assessment Revenue 177,378 Total $5,251,285 Uses of Funds (annual basis) Contractor: Marketing and Events $776,000 Economic Development 1,293,000 Ambassador Program Homeless Services 1,512,000 General and Administrative 1,164,000 Contractor Total $4,745,000 Salt Lake City Administrative Costs and Reserve 354,039 Total $5,099,039 The Assessment is proposed to be levied on benefited property within the Assessment Area to pay for a portion of the Economic Promotion Activities according to the estimated benefits to the property from such activities. The Economic Promotion Activities will not be financed with bonds. PROPERTIES EXCLUDED FROM ASSESSMENT AREA ASSESSMENTS Residential, ecclesiastical, and government-owned properties shall be excluded from Assessments unless otherwise agreed to in writing by the City and the owners of such properties. Subject to the foregoing sentence, only business and commercial properties shall be assessed. In addition, any properties having a taxable value of less than $20,000 based upon the most recent real property assessment roll of Salt Lake County shall be excluded from Assessments. The determination of qualification for exclusion for ecclesiastical and government-owned property shall be based upon exemptions from ad valorem real property taxes for properties used by churches for non-commercial purposes and for properties owned and operated by governmental agencies. Inasmuch as the Assessment is intended to fund economic promotion activities, the City does not find any benefits for residential, ecclesiastical and/or governmental property excluded from the Assessment. BASIS FOR ASSESSMENT It is proposed to levy a one-time Assessment for a three-year period on property in the Assessment Area to pay all or a portion of the Estimated Costs of the Economic Promotion Activities. The Assessment shall not exceed the benefits derived by the properties within the Assessment Area. There shall be two assessment components: (i) an assessment based on the 2021 taxable property values (the “Base Assessment”), plus (ii) an assessment based on linear feet (except that corner lots will not be assessed for both frontages as applicable, only one) on certain properties with frontage on the Holiday Lighting Streets for special holiday lights (the “Holiday Lighting Assessment” and together with the Base Assessment, the “Assessment”). The City anticipates that, in addition to 7 Notice of Intent Resolution 4839-8274-5316, v. 4 revenues from the Assessment, the manager of the Assessment Area will utilize other funding resources, including revenues from grants, promotions, contributions, foundations, earned income, and sponsorships. PAYMENT OF ASSESSMENTS Assessments shall be payable in full or in three (3) annual installments (the “Assessment Installment” or “Installments”). If payable in three (3) Installments, the first Installment will fall due fifteen (15) days after the effective date of the ordinance levying the Assessment (the “Assessment Ordinance”). The total Assessment for the benefited property related to this notice is detailed in the cover letter accompanying this notice. The first Installment is currently estimated to be due on approximately May 6, 2022. The second and third Installments will fall due on the first and second anniversary dates of the first Installment. If any Installment is not paid by the due date, the unpaid Installment(s) will accumulate delinquent interest and/or charges in accordance with the Assessment Ordinance and State law. The Assessments will be collected by directly billing property owners. The City doesn’t currently expect any adjustments to the Assessments for changes in costs associated with Economic Promotion Activities. The City will ensure that no Assessments will be collected and used for purposes other than those described in this Notice. PUBLIC HEARING The City Council shall hold a public hearing on September 7, 2021 at 7:00 p.m. via electronic means or, as determined by the City Council Chair, at the physical location of the Council Chambers at 451 South State Street in Salt Lake City, Utah to hear all objections related to the Assessment Area and all persons desiring to be heard, as set forth in the Act. TIME FOR FILING PROTESTS PROTESTS FROM PROPERTY OWNERS OBJECTING TO THE ASSESSMENT AREA DESIGNATION OR OBJECTING TO BEING ASSESSED FOR THE PROPOSED ECONOMIC PROMOTION ACTIVITIES MUST BE FILED IN WRITING WITH THE CITY RECORDER OF SALT LAKE CITY EITHER IN PERSON BY APPOINTMENT AT THE TEMPORARY OFFICE OF 349 SOUTH 200 EAST, OR BY MAIL (PO BOX 145515) ON OR BEFORE 5:00 P.M. ON NOVEMBER 8, 2021. To be counted against the creation of the Assessment Area, protests or objections MUST BE IN WRITING, signed by the owners of the property proposed to be assessed. The written protest must describe or otherwise identify said property. If the aggregate taxable value of property that is the subject of timely filed written protests represents at least 40% of the aggregate taxable value of all property within the Assessment Area, the City Council will not impose the Base Assessment and if the linear feet frontage of the Holiday Lighting Streets (except that corner lots will not apply for both frontages as applicable, only one) that is the subject of timely filed written protests represents at least 40% of the aggregate linear feet frontage of Holiday Lighting Streets assessed within the 8 Notice of Intent Resolution 4839-8274-5316, v. 4 Assessment Area, the City Council will not impose the Holiday Lighting Assessment. Protests withdrawn prior to the expiration of the protest period and protests from areas deleted from the Assessment Area will not be counted against the creation of the Assessment Area. On Tuesday, November 16, 2021 (such date being within 15 days after the date the protest period expires), at 7:00 p.m. via electronic means or, as determined by the City Council Chair, at the physical location of the Council Chambers at 451 South State Street in Salt Lake City, Utah, the City Council shall count the written protests filed and calculate whether adequate protests have been filed and hold a public meeting to announce the protest tally and whether adequate protests have been filed. To stay informed on the electronic means or physical location of the City Council’s hearings and meetings, please visit www.slc.gov/council/agendas. The City shall post the total and percentage of the written protests it has received on its website at least five days before such meeting. BY RESOLUTION OF THE CITY COUNCIL OF SALT LAKE CITY, UTAH /s/ Cindy Lou Trishman City Recorder 9 Notice of Intent Resolution 4839-8274-5316, v. 4 Councilmember __________ seconded the motion to adopt the foregoing resolution. The motion and resolution were unanimously adopted on the following recorded vote: AYE: NAY: 10 Notice of Intent Resolution 4839-8274-5316, v. 4 After the conduct of other business not pertinent to the above, the meeting was, on motion duly made and seconded, adjourned. (SEAL) By:_________________________________ Chair ATTEST: By: City Recorder 11 Notice of Intent Resolution 4839-8274-5316, v. 4 PRESENTATION TO THE MAYOR The foregoing resolution was presented to the Mayor for her approval or disapproval on July ___, 2021. By: Chair MAYOR’S APPROVAL OR DISAPPROVAL The foregoing resolution is hereby approved on this July ___, 2021. By: Mayor 12 Notice of Intent Resolution 4839-8274-5316, v. 4 STATE OF UTAH ) : ss. COUNTY OF SALT LAKE ) I, Cindy Lou Trishman, the duly chosen, qualified, and acting City Recorder of Salt Lake City, Utah, do hereby certify as follows: (a) That the foregoing typewritten pages constitute a full, true, and correct copy of the record of proceedings of the City Council at a regular meeting thereof held in Salt Lake City on July 20, 2021, at 7:00 p.m., insofar as said proceedings relate to the consideration and adoption of a resolution declaring the intention of the City Council to designate the Salt Lake City, Utah Central Business Improvement Assessment Area No. DA-CBIA-22 to provide economic promotion activities therein described as the same appears of record in my office; that I personally attended said meeting, and that the proceedings were in fact held as in said minutes specified. (b) That due, legal, and timely notice of said meeting was served upon all members as required by law and the rules and ordinances of Salt Lake City. (c) That the above resolution was provided to my office on July 20, 2021, has been recorded by me, and is a part of the permanent records of Salt Lake City, Utah. IN WITNESS WHEREOF, I have hereunto subscribed my official signature and affixed the seal of Salt Lake City, Utah, this ___________, 2021. (SEAL) By: City Recorder 13 Notice of Intent Resolution 4839-8274-5316, v. 4 STATE OF UTAH ) AFFIDAVIT OF MAILING : ss. NOTICE OF INTENTION COUNTY OF SALT LAKE ) I, Cindy Lou Trishman, the duly chosen, qualified, and acting City Recorder of Salt Lake City, Utah (the “City”), do hereby certify that a Notice of Intention to Designate Assessment Area (the “Notice of Intention”) was approved and adopted in the proceedings of the City Council held on Tuesday, July 20, 2021. I further certify that the Notice of Intention was posted in at least three public places within the City’s boundaries at least 20 but not more than 35 days prior to the date of the public hearing (September 7, 2021). I further certify that the Notice of Intention was published on the Utah Public Notice Website for four weeks before the deadline for filing protests (November 8, 2021). I further certify that on August ___, 2021 (a date not later than ten (10) days after the first publication or posting of the Notice of Intention), I mailed a true copy of the Notice of Intention by United States Mail, postage prepaid to each owner of land to be assessed within the proposed Assessment Area at the last known address of such owner, using for such purpose the names and addresses appearing on the last completed real property assessment rolls of Salt Lake County, and in addition I mailed on the same date a copy of said Notice of Intention addressed to “Owner” addressed to the street number, post office box, rural route number, or other mailing address of each piece of improved property to be affected by the assessment. I further certify that a certified copy of said Notice of Intention, together with profiles of the improvements or economic promotion activities and a map of the proposed Assessment Area, was on file in my office for inspection by any interested parties. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the corporate seal of Salt Lake City, Utah, this ___________, 2021. (SEAL) By: City Recorder 14 Notice of Intent Resolution 4839-8274-5316, v. 4 CERTIFICATE OF COMPLIANCE WITH OPEN MEETING LAW I, Cindy Lou Trishman, the undersigned City Recorder of Salt Lake City, Utah, do hereby certify, according to the records of the City Council of Salt Lake City, Utah (the “City Council”) in my official possession, and upon my own knowledge and belief, that in accordance with the requirements of Section 52-4-202, Utah Code Annotated 1953, as amended, I gave not less than twenty-four (24) hours public notice of the agenda, date, time, and place of the July 20, 2021, public meeting held by the City Council as follows: (a) By causing a copy of such Notice, in the form attached hereto as Schedule 1, to be delivered to the Salt Lake Tribune on July ___, 2021, at least twenty-four (24) hours prior to the convening of the meeting; and (b) By causing a copy of such Notice to be posted on the Utah Public Notice Website (http://pmn.utah.gov) at least twenty-four (24) hours prior to the convening of the meeting. In addition, the Notice of 2021 Annual Meeting Schedule for the City Council (attached hereto as Schedule 2) was given specifying the date, time, and place of the regular meetings of the City Council to be held during the year, by causing said Notice to be (a) provided to at least one newspaper of general circulation within Salt Lake City, Utah, on ___________, 2021, and (b) published on the Utah Public Notice Website (http://pmn.utah.gov) during the current calendar year. IN WITNESS WHEREOF, I have hereunto subscribed my official signature this July 20, 2021. (SEAL) By: City Recorder 15 Notice of Intent Resolution 4839-8274-5316, v. 4 SCHEDULE 1 MEETING NOTICE 16 Notice of Intent Resolution 4839-8274-5316, v. 4 SCHEDULE 2 ANNUAL MEETING NOTICE A-1 Notice of Intent Resolution 4839-8274-5316, v. 4 EXHIBIT A