CITY COUNCIL REGULAR MEETING AGENDA PACKET

Page 1 of 10 Item #17 CITY COUNCIL AGENDA REPORT September 16, 2025 Community and Economic Development TITLE: ADOPT A RESOLUTION ACCEPTING AND APPROVING THE DOWNTOWN PLEASANTON BUSINESS IMPROVEMENT DISTRICT 2025 ANNUAL REPORT AND 2026 BUDGET, AND DECLARING THE INTENTION TO AMEND PLEASANTON MUNICIPAL CODE SECTION 5.28.080 SYSTEM OF ASSESSMENTS TO PERMIT CHANGES TO THE MANNER IN WHICH THE ANNUAL ASSESSMENT IS LEVIED, AND TO LEVY THE ASSESSMENT FOR 2026 SUMMARY The Downtown Pleasanton Business Improvement District (BID) assessment is collected annually as part of a three-step process described under State law. The City Council approved the first step on August 19, 2025, appointing an advisory board to prepare the annual budget and report describing the programs and activities of the BID. The Downtown Pleasanton BID Advisory Board has submitted its year-to-date 2025 report and budget for 2026. The Advisory Board is recommending modifications to the method of levying the assessment for 2026 that will increase the assessment for participating businesses to provide a more robust and stable funding base for the Pleasanton Downtown Association (PDA). There are no modifications recommended to the district boundaries. An ordinance will be introduced at the October 7, 2025 City Council meeting to amend the Pleasanton Municipal Code (PMC) to change the method of levying the assessment, and a public hearing will be held at the November 4, 2025, City Council meeting for formal adoption of the 2026 BID budget and assessment levy. RECOMMENDATION Adopt a resolution accepting and approving the Downtown Pleasanton Business Improvement District 2025 Annual Report and 2026 Budget, and declaring the intention to amend Pleasanton Municipal Code Section 5.28.080 System of Assessments to permit changes to the manner in which the annual assessment is levied, and to levy the assessment for 2026. BACKGROUND Over three decades ago, the City established a Downtown Pleasanton Business Improvement District (BID), the purpose and boundaries of which are set forth in Chapter 5.28 of the Pleasanton Municipal Code. The Pleasanton Downtown Association (PDA) serves as the manager of the Downtown Pleasanton BID. At the January 21, 2025, City Council meeting, the City Council approved a one-year agreement, set to expire on December 31, 2025, between the City and the PDA under which the City matches the funding generated by the BID with General Fund dollars. These City- contributed funds are remitted to the PDA and used to support promotions, programs and activities that benefit downtown Pleasanton. Over the decades, it has become apparent that the funding generated through the annual BID assessment, even with a City match, does not provide sufficient revenue to support the PDA at the level where it can meet the expectations Page 142 of 264