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BACKGROUND The PDA serves as the manager of the Downtown Pleasanton BID. At the November 19, 2019, City Council meeting, the City Council approved a renewal of the agreement between the City and the PDA under which the City contributes funds to match the annual BID assessment revenue. These City funds are remitted to the PDA and used to conduct promotions, programs and activities that benefit downtown Pleasanton. As the agreement expires on December 31 , 2024, City staff will begin working with the PDA on the development of the next agreement in early 2024 to ensure updated terms reflect the current needs of downtown businesses and the City; the agreement will be formally considered for approval by the PDA Board of Directors and the City Council. The assessment formula is based on the annual business license payment and is calculated as follows: • businesses located curbside and downstairs on Main Street are assessed at two times (2X) their business license; • businesses with a Main Street address located upstairs, or not curbside, are assessed at a rate of one and a half times (1'/2X) their business license; • all other businesses (those located off Main Street) pay an amount equal to one times (1X) their business license. The minimum assessment is $50 and the maximum is $350. Non-profit businesses within the district are not assessed. For 2024, there are no proposed boundary changes or proposed changes in the method of levying the assessment. The Downtown Pleasanton BID annual assessment revenue in 2024 is provisionally projected by City staff to be approximately $80,000. Under the current agreement between the PDA and the City, the City will match the annual BID assessment, estimated at an additional $80,000. This combined $160,000 is projected to account for approximately 34 percent of the PDA's total 2024 funding sources. The PDA provided a provisional budget including events planned during the year, which are projected to generate approximately 55 percent of the total 2024 revenue for the PDA. Corporate sponsorships, farmers market, and other miscellaneous revenues account for the remaining 11 percent of the 2024 funding sources. DISCUSSION Per Chapter 3, Section 36530 of the Parking and Business Improvement Area Law of 1989, the City Council must complete the following three steps to levy the annual assessment for the Downtown Pleasanton BID: 1 . Appoint an advisory board to prepare the annual budget with a report describing the programs and activities of the downtown business improvement district and the related funding sources (completed on September 9, 2023); 2. Accept the annual report and budget and set a public hearing to levy the assessments (completed on October 5, 2023); and 3. Open and close a public hearing and adopt by resolution the assessments (to be completed on November 7, 2023). Page 2 of 3