CITY COUNCIL REGULAR MEETING AGENDA PACKET

Page 4 of 10 nor has the annual fee changed. The BID boundary was last updated in 2016 to exclude residential properties. The Downtown Pleasanton BID annual assessment revenue in 2026 is provisionally projected by City staff to be approximately $80,000. As the amount has not changed or increased substantially in several years, it is proving increasingly difficult for the PDA to sustain its efforts and activities at a level that can effectively support its members and its efforts to help the downtown to thrive. While it may be appropriate to re-examine the formation of a PBID at some point, since it reflects a more up-to-date model for supporting business districts, it does not appear to be feasible to implement a PBID at this time, due to lack of property owner support. Instead, given the relatively modest current assessment, PDA believes there is sufficient potential support among businesses for an increased assessment, implemented within the current BID structure, to support PDA and its work. While no formal vote of business owners is required to modify the assessment, only an action of the City Council, identifying support among the downtown business community is important to the PDA and the City. BID Assessment Renewal for 2026 Per Chapter 3, Section 36530 of the Parking and Business Improvement Area Law of 1989, the City Council completed the first step of three to levy the annual assessment for the Downtown Pleasanton BID, by appointing an advisory board to prepare the annual budget with a report describing the programs and activities of the BID and the related funding sources and outline any recommended changes to the boundaries of the district and/or the methodology of assessing each business. The next steps in the process include: 1. Accept the report and budget and set a public hearing to levy the assessments. 2. Open and close the public hearing and adopt by resolution the assessments. DISCUSSION On August 19, 2025, the City Council appointed the members of the advisory board, which has since met and is recommending acceptance of the 2025 Annual Report and the 2026 budget for the Downtown Pleasanton Business Improvement District assessments and other revenues (the PDA budget), provided as Attachment 1. The attached report and budget contain the following required information: 1. Any proposed changes in the boundaries of the District. (For 2026, there are no proposed boundary changes.) 2. The activities to be funded during the calendar year, and an estimate of the cost of providing those activities. 3. Any proposed changes in the method of levying the assessment in sufficient detail to allow each business owner to estimate the amount to be levied against the business for the year. For 2026, the Advisory Board is recommending a change to the method of levying the assessment as discussed below. 4. Contributions to be made from sources other than the assessments levied. Page 145 of 264