Officials To Discuss Repeal of Business Improvement District

The Business Improvement District could be a thing of the past, that is, if some area merchants get their way.

The BID Advisory Board will discuss, Thursday, the possibility of disbanding the BID after a merchant presented officials with a petition allegedly signed by 250 business operators requesting the BID be disbanded, officials said.

Some merchants feel the BID provides little benefit to their business, while some see a benefit in the BID's efforts, but feel a lack of communication and some of the BID's actions are undesirable, officials said.

The petition was brought forth to City Hall Oct. 8. Within a week of its creation, over 100 signatures were collected said the man behind the petition, Michael Allawos, owner of Allawos and Company, LLC.

"You have an option. This is a referendum," Allawos told officials at the Oct. 8 City Council meeting. "We have collected over 5 percent, which is all we need for a referendum vote. To undo the BID, you need 50 percent, plus one. I would hope that you would be wise enough and not spend city dollars to do the referendum and then still have to do the resolution all over again."

Carol Gill, owner of Undercovers, said she fought hard to form the BID in the hopes that it would bring prosperity to downtown, but said now the BID hinders businesses.

"I used my money, my time and my staff to help propagate these ideas. To my dismay, the interests and concerns of a few have dominated over the needs of the majority, creating animosity and anger," Gill said.

Annette Nemeth, Business improvement District board member, was shocked at the response by area merchants.

"From what I've heard, a lot of people in the Village don't even know about the BID. They're very unaware of what it does," Nemeth said. "Everything that happens in the Village, other than the Flashback, everything is produced and funded by the Business Improvement District."

Nemeth said despite some merchants not being aware of the BID, the city has greatly improved communication between the BID and other merchants.

"I am taxed enough in Glendora and I support the city and the things that it does for us as a community, but I do not need to be a part of a group that is not voluntary, but required," said Kathy Marchetti, owner of Far Beyond Pearls.

The BID was conceived of by the former Village Business Association to bring in more customers, make the Village more attractive, bring more businesses, create and strengthen business relationships and expand current revenue, officials said.

Businesses within the BID boundaries pay assessments, which range from $50 to $600 per year. These assessments have not changed since the BID's creation in 2009.

Officials state that steady economic growth in the Village comes as a direct result of the BID's activities and that customer presence in the Village has also increased as a result.

Sales tax data collected and compiled over a 13-year period reportedly shows the Village has seen steady growth in sales tax receipts following the wake of the economic recession, officials said. However, they stated that BID activities were not the sole reason for financial growth.

The Advisory Board may consider any of the following actions:

• Do nothing in response to the petition.
• Hold a general session and listen to the concerns of BID members.
• Recommend the City Council repeal the BID.
• Recommend that the City Council put the 2014-2015 fiscal year assessment up for a vote in or around April or May 2014.
• Amend the BID boundaries and/or assessments.