Burlingame business owner eyes reviving Downtown Business Improvement District (by Christine Morente,
San Mateo County Times)
BURLINGAME Business owner Kevin Osborne has an idea that might stir up some controversy he wants to resurrect the Downtown Business Improvement District, a tax that was shot down by local merchants four years ago.
Osborne, the president of the voluntary Downtown Burlingame Business Association, said the annual assessments are necessary to improve the area's infrastructure and pay for marketing projects.
"The economy, the way it is, we're not foreseeing dollars in the near future," Osborne said last week. "We have to be creative in how we upgrade our downtown."
He said a new district would be carried out in a fair and equitable way. He proposes a tiered program: Stores on the ground floor of Burlingame Avenue would be Zone A. Street-level businesses on Lorton Avenue and Park and Primrose roads would be Zone B. Those on the second floor of these side streets Zone C would pay a flat fee of $50 a year.
Fees for businesses on the Avenue would be based on the square footage, sales or number of employees. He is still working out the fees for zones A and B as well as which zone second-story businesses on the Avenue would belong to. Corporate stores such as the Gap, Apple, J.Crew and Banana Republic also would pay their fair share, he said.
For now, the Downtown Burlingame Business Association has 120 active members that each pay $50 a year. Ninety percent of its budget comes from the Burlingame Art & Jazz Festival.
This year, the association contributed $7,500 for the Burlingame Trolley and maintains the planters on Burlingame Avenue.
One project Osborne would like to see completed under a new business district is a community information sign that would list all the businesses and their locations.
Osborne, owner of Osborne Insurance Agency, said he believed in the old district but felt the cost was neither reasonable nor equitable. He paid $200 a year, even though his office is on the second floor of Fox Mall on Burlingame Avenue, he said. While Osborne did not have any major objections to the old organization, other merchants felt differently.
In May 2005, the City Council stopped the collection of fees after 284 business owners protested the assessment, which was paid along with business license fees. The protests included a little more than 53 percent of the district's membership.
The district officially dissolved a year later, despite a new fee structure that lowered costs for businesses with one to four employees located off the main drag.
Merchants who were opposed to the district did not like that their money was going to the creation of a Web site and the purchase of holiday and farmers market banners. Also, there was a perceived lack of accountability regarding the district's expenditures.
Ashok Patel, owner of the Burlingame Smoke Shop on Burlingame Avenue, said the district operated like a "multi-million dollar company," and most of the funds went to the administration.
Quent Cordair of Quent Cordair Fine Arts and Isabelle de Paz of All that Glitters vehemently opposed the old model; however, neither remains in downtown Burlingame. Cordair moved his gallery to Napa, while de Paz's shop is now on Broadway.
Osborne said businesses will have a voice if there is a new district. Volunteers within the district would control and decide where the money would go.
He is working on a proposal to submit to the City Council. If approved, the downtown association would be merged into the district.
"This is a real tough time to bring (the plan) to businesses," Osborne said. "But we really aren't doing justice to our downtown. "If we had more funds to develop more projects to bring more business and activity, it would do better justice to businesses as a whole," he added.
Patricia Love, the city's economic development specialist, said a new district would be a good idea for all businesses, despite a difficult economy. "It's real money that you can get so real things can get done," she said Thursday. "It's a great opportunity for the businesses to be a part of something that's bigger than something they can do on their own."
Patel doesn't see it that way. He has owned a business on Burlingame Avenue since 1987, and said it is a "dead street."
The most recent casualties include Ann Taylor and Bebe, as well as Babystyle. The clothing chain for infants and toddlers has filed for Chapter 11 bankruptcy protection, according to its Web site. "Business is bad all around the world," Patel said Thursday. "People don't have the resources to rekindle the BID. Money was mismanaged before and money will be mismanaged again"
- Written by Fiona
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Posted by: Dan Partridge | April 22, 2009 at 12:50 PM
Burlingame has turned into a Millbrae. Nail shops, liquor stores, etc..
Trailer Park..Who would pay a penny.
I should open a RV Sales Lot...
Crazy: All those whacy libs who delayed Safeway...and now take a look at the garbage new Walgreens blocking the main street...
Posted by: Mohamed Zahari | September 12, 2009 at 07:14 PM
Thanks for the reminder of when we had spam problems 5 months ago.
You may be unaware that there is a new Safeway plan that is in the Planning Dept. right now. Stop by and take a look. Perhaps you could be specific about what you dislike about the Walgreen's. It was reviewed and approved by people with pretty good senses of what works in Burlingame and that happened without delay.
And where is the trailer park you refer to? I missed that.
Posted by: joe | September 12, 2009 at 10:54 PM