CITY COUNCIL REGULAR AGENDA PACKET

Page 4 of 5 assessment had not been increased in almost three decades and the added benefits the additional funding would provide for the District. The City Council approved the Advisory Board's recommendation and adopted a resolution to declare the intention to amend the PMC Section 5.28.080 to permit changes to the manner in which the annual assessment is levied within the District, and to levy the annual assessment for 2026. An ordinance, provided as Attachment 1, is introduced at this meeting, and the second reading is scheduled for November 4, 2025, to hear any protest. In accordance with the procedures for modifying the BID Assessment, mailed notices outlining the proposed amendments were sent to all Downtown businesses (approximately 600 businesses) on September 19, 2025. On November 4, at the same meeting as the second reading, a public hearing will be held to hear any protests of the proposed amendments. EQUITY AND SUSTAINABILITY Ensuring the vitality and sustainability of Pleasanton's downtown benefits all of the City's diverse community. The scaled nature of the BID structure, based on gross receipts, provides an equitable methodology to assess small and larger businesses based on their size and total revenues. OUTREACH A public notice which outlines the current BID assessment structure and proposed BID changes was mailed to all businesses in the downtown District following the City Council’s adoption of a resolution accepting and approving the 2025 annual report and 2026 budget of the Downtown Pleasanton BID, declaring the intention to amend PMC Section 5.28.080 System of Assessments to permit changes to the manner in which the annual assessment is levied, and to levy the annual assessment for 2026 on September 16, 2025. The resolution accompanied the public notice. STRATEGIC PLAN ALIGNMENT Approval of this action advances the ONE Pleasanton strategic plan goal of Building a Community Where Everyone Belongs by ensuring the vibrancy of Pleasanton’s downtown as prioritized in the City's Economic Development Strategic Plan. FISCAL IMPACT The current agreement between the PDA and the City requires the City to match the annual assessments paid by businesses in the BID. In 2025, the City's match from the General Fund is estimated to be approximately $80,000. Considering the proposed BID restructuring, staff anticipates the 2026 annual assessments will be around $140,000. However, given the City's budget constraints, matching the new increased BID assessment is unlikely to be feasible. The current agreement expires on December 31, 2025; an updated agreement will be presented for the City Council's consideration at the end of 2025 once the BID renewal process is completed. The new agreement will provide an opportunity for re-evaluation of the City's direct financial contribution and other support for PDA, to ensure it remains in line with the City's current and projected budget conditions, while also recognizing that support for PDA supports the important community goal of maintaining the vitality of the downtown. While a 5-Year Page 105 of 376