A tourism improvement district plan must include specified planning details, including boundaries, the district name, the business owners’ association, yearly activities and costs, financing and assessment methods, collection timing, the term of assessments, rules, and a business classification definition.
A tourism improvement district plan shall include, but not be limited to, all of the following: (1) A map that identifies the district boundaries in sufficient detail to allow a business owner to reasonably determine whether a business is located within the district boundaries. The boundaries of a district may overlap with other districts established pursuant to this subpart. (2) The name of the proposed district. (3)a. The name of the business owners’ association. b. In the case of a newly formed nonprofit corporation designated as the business owners’ association, the certificate of incorporation or by-laws shall provide that a majority of the business owners’ association’s governing board shall be business owners, or their authorized representatives, who pay the district benefit assessment. c. Where an existing nonprofit corporation is designated as the business owners’ association, the nonprofit corporation shall create a committee, with a majority of members being business owners, or their authorized representatives, who pay the district benefit assessment, and who shall be charged with managing the funds raised by the district and fulfilling the obligations of the district plan. d. A business owners’ association shall have full discretion to select the specific activities and improvements within the authorized parameters of the district plan which shall be funded with district benefit assessment revenue, provided that there is a rational relationship between the benefit of the activities and improvements to each business and the assessment amount levied on the business. (4) The activities and improvements proposed for each year of operation of the district and the estimated cost of those activities and improvements. Improvements must have an estimated useful life of five years or more. If the activities and improvements proposed for each year of operation are the same, the plan shall include a description of the first year’s proposed activities and improvements and a statement that the same activities and improvements are proposed for subsequent years. (5) The estimated annual amount proposed to be expended for activities and improvements during each year of operation of the district. This amount may be estimated based upon the assessment rate. If the estimated annual amount proposed to be expended in each year of operation of the district is not significantly different from year to year, the amount proposed to be expended in the initial year and a statement that a similar amount applies to subsequent years shall satisfy the requirements of this subdivision. (6) The source or sources of financing, including the proposed method and basis of levying the assessment, in sufficient detail to allow each business owner to calculate the amount of the assessment to be levied against his or her business. The assessment may be based on a percent of gross business revenue, a fixed dollar amount per transaction, or any other reasonable method approved by the city. If the assessment is based on a percent of gross business revenue, the rate may not be greater than four percent. The district plan may set forth increases in assessments for any year of operation of the district, except that any assessment based on a percent of gross business revenue may not exceed four percent. (7) The time and manner of collecting the benefit assessments and any interest or penalties for nonpayment. (8) The specific number of years, not to exceed 10, during which benefit assessments will be levied, except that a district that finances improvements with bonds may levy assessments during the time to maturity of the bonds if that period exceeds 10 years. (9) Any proposed rules to be applicable to the district. (10) A definition describing the type or class of businesses to be included in the district and subject to the district benefit assessment. (11) Any other item or matter required to be incorporated in the plan by the city council.