More than 30 businesses have failed to pay assessments

By Keri Luiz
Assistant Editor

A recurring question arose again at Monday’s monthly meeting of the Downtown Benicia Alliance: How to compel reluctant business owners to pay their share in Business Improvement District fees.

Benicia Economic Development Manager Mario Giuliani, who acts as an adviser to the DBA, told members during an update on the budget that of the projected annual revenue of $30,480 in BID fees, $23,478 has been collected — leaving a balance of $7,002 from 31 businesses that have yet to pay.

The Benicia BID is a self-taxing area that keeps the money it raises for improvements within the district. First-floor businesses are assessed $192 a year; second-floor businesses are charged $60.

Giuliani said some leeway should be given in collecting assessments because the BID is new to First Street businesses. “I’m sure some received the invoice and didn’t realize what it was, and probably put it in the circular file,” he said.

“So they will be getting a second notice.”

DBA member Carl Lucca, owner of Lucca Bar and Grill, 439 First St., wondered about publishing the names of businesses that had not paid.

Giuliani said that was up to the DBA.

“I deliberately withheld the information this go-round, just to give you the total number, in part because I didn’t have any guidance or direction from you, so I’m looking for that now,” Giuliani said. “I just determined that it wasn’t appropriate at this stage to publish the list of businesses that have not paid.”

He said before publicizing names, he thought it advisable to have the opportunity to have face-to-face contact with each business owner, to make them aware of what they are being charged for. “But I will leave that decision up to this board,” he said.

Christine Meade, owner of Capitol Café, 104 West G St., suggested the need for a collections policy.

DBA Vice Chair and Treasurer Eric Hoglund of Estey Real Estate, 935 First St., suggested that a collections policy for businesses that haven’t paid on the BID assessment be put on the agenda for the June meeting.

“We’ll have another report next month, and we’ll have discussion on collection policy,” Giuliani said.

“As we move forward, what we will probably do is schedule some type of either quarterly payments or biannual payments, because we are going to have situations where we are going to have new businesses that come in,” he said. “We don’t want to have (a situation) where we are going to turn over a check for a small amount every month.”

He said the first check will be given to the DBA this week, and the funds will go toward insurance and consulting expenses, with the balance going to the city as a payment for the downtown tree lights that were installed last fall.

In other business, the DBA heard a report by Meade on a possible motorcycle show in downtown Benicia, an idea first raised before the DBA in April.

“The idea would be to have it in July,” Meade said. “Realistically year one is not going to be like we would want it on year five.”

She suggested creating a five-year plan, with the first year focused on “showing off” the bikes with a simple rating system, and year two a more competitive show.

“By year five it is … the major destination of the Bay Area for bikes,” she said.

“We did an inventory of activities that people along the merchant streets would be interested in having, to not only build tourism but also to enhance a community environment,” Meade added. “One of the keys was not shutting down First Street, making it where certain activities … are going to help businesses that are all around.”

Meade said a large number of motorcycle enthusiasts who participate in similar events have an average income of more than $100,000 a year, and they usually bring their spouse or girlfriend who likes to be pampered. “It hits the hair salons, the day spas, the boutique shops, the restaurants, the bars — all of that.

“They also drop an average of $1,200 a day in purchases,” she said. “That’s a big chunk of money that could be brought in.”

July, however, might pose a problem because of the short turnaround time for getting permits in place, Meade acknowledged.

DBA member Tom Hamilton, co-owner of The Rellik Tavern, 726 First St., suggested having the show in October, during “Indian Summer” and before people put their motorcycles away for the winter.

DBA Chair Leah Shelhorn, owner of Studio 41, 700 First St., said October tends to be a dead month for retail.

However, “People did say on that inventory that in October is when they would like to see some sort of event,” Meade said.

The matter will be discussed when the DBA meets again June 10 at 9 a.m. at the Rellik.

Also Monday, the DBA welcomed its newest member following the resignation of Pat Ryll.
Christine Mayall, owner of Bookshop Benicia, 636 First St., was unanimously approved.