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Term In accordance with the Property and Business Improvement District Law of 1994 under which the TVTBID was established, TVTBID was formed with a Management District Plan guiding its operations. The 1994 Act allows the City Council to modify the Management District Plan upon request of the owners' association, here the CVB Board of Directors. The TVTBID was originally established for a five -year term, with termination on February 2, 2011. The CVB board wishes to modify the Management District Plan to allow for renewal of the TVTBID at the same time as the Resolution of Intention to renew the district. As this proposed renewal of the TVTBID would go into effect prior to the ending date of the five -term term, the Council is being asked to modify the TVTBID's Management District Plan to shorten the term of the district to four years and six months, effectively causing the existing TVTBID to expire on July 14, 2010 to coincide with the creation of the renewed TVTBID, which is scheduled to begin on July 15, 2010. This will be accomplished though the attached Resolution of Intention to Modify the TVTBID Management District Plan. Additionally, the Management District Plan incorporates the consolidation of the two existing tourism districts. Thus the Danville Town Council will be undertaking a similar action to terminate its existing tourism business improvement district on July 14, 2010 to coincide with the renewal of the TVTBID which it will join. Structure /budget The TVTBID will maintain its existing governance structure with the CVB board of directors acting as the board of directors for the tourism district; as such, at least half of the voting board members must represent TVTBID lodging businesses. The Management District Plan details the operational specifications and budget of the proposed district. Based on $1.00 per paid occupied room night, the TVTBID had been raising approximately $1,000,000 annually from the lodging businesses in the Tri- Valley cities, although over the past two years the decrease in tourism travel brought about by the difficult economic climate has decreased this to about $840,000. The CVB estimates that with the increase to $2.00 per paid occupied room night, the annual TVTBID budget will be $1,520,000. Of this anticipated $1,520,000 in total district assessments approximately 38 or $577,600, will come from lodging businesses in Pleasanton; approximately 27 or $410,400, will come from lodging businesses in Livermore; approximately 22 or $334,400, will come from lodging businesses in San Ramon; approximately 12 or $182,400, will come from lodging businesses in Dublin; and approximately 1%, or $15,200, will come from lodging businesses in Danville. This augmented budget is anticipated to realize a 17% increase in generated leads and a 22% increase in trackable potential room nights as a result of added marketing and promotional activities. Page 4 of 6