HomeMy WebLinkAbout2017-06-05; Carlsbad Golf Lodging Business Improvement District; Resolution 2017-9G1
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EXHIBIT 1
RESOLUTION NO. 2017-9G
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ADVISORY
BOARD OF THE CARLSBAD GOLF LODGING BUSINESS
IMPROVEMENT DISTRICT (CGLBID) OF THE CITY OF CARLSBAD,
CALIFORNIA, TO APPROVE THE ANNUAL REPORT
WHEREAS, the CGLBID was formed in accordance with the California
Government Code Parking and Business Improvement Area Law of 1989 (Sections
36500, et. Seq. of the Streets and Highways Code), and
WHEREAS, Section 36533 of the Code requires the CGLBID Advisory
Board to present an annual report to the City Council's for their review and approval for
each fiscal year for which assessments are to be levied and collected to pay the cost for
the improvements and activities described in the report; and
WHEREAS, an Annual Report has been prepared for the 2017-18 fiscal
year, and
WHEREAS, the Board of Directors of the Carlsbad Golf Lodging Business
Improvement District wishes to approve the Annual Report; and
WHEREAS, the Board of Directors of the Carlsbad Golf Lodging Business
Improvement District wishes to submit the report to the City Council for approval; and
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the
Carlsbad Golf Lodging Business Improvement District of the City of Carlsbad, California,
as follows:
1. That the above recitations are true and correct.
2. That the Annual Report shown at Exhibit A is approved in its entirety by
the Board of Directors of the Carlsbad Golf Lodging Business Improvement District.
1 3. That the approved Annual Report of the Carlsbad Golf Lodging Business
2 Improvement District will be presented to the City Council for their approval at a June
3 2017 meeting.
4 PASSED, APPROVED AND ADOPTED at a regular meeting of the Board of
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Directors of the Carlsbad Golf Lodging Business Improvement District of the City of
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Carlsbad held on the --.;;51-4.t-4,hb----day of __ J_u_n_e _______ , 2017 by the
8 following vote, to wit:
9 AYES: Board Members Stripe, Becerra and Samietz
10 NOES:
11 ABSENT: Board Member Stull
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ATTEST:
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ProTem lerk of the
21 Carlsbad Golf Lodging Business Improvement District
22 Ill
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Carlsbad Golf Lodging Business Improvement District (CGLBID)
Annual Report
2017-2018
EXHIBIT A
Method of Assessment: The CGLBID includes all hotel businesses in the City of Carlsbad that have
elected to participate in the district. The assessment shall be levied on all hotel businesses, that
have elected to participate in the district, within the City of Carlsbad based upon a flat fee of $2.00
per occupied room per night for all transient occupancies as defined in section 3.12.020(7) of the
Carlsbad Municipal Code. The amount of assessment shall be separately stated from the amount
of the rent and other taxes charged, and each transient shall receive a receipt for payment from
the operator. The assessment will be remitted monthly, based on $2.00 per occupied room per
night in revenues for the previous month.
Assessment Funding Purpose: The proceeds of the CGLBID assessment shall be spent to promote
golf-related tourism within the boundaries of the CGLBID, as well as marketing related capital
improvements such as golf-related signage, golf related equipment and to pay for related
administrative costs.
2016-17 Work Plan: The CGLBID was established in January 1, 2013. For the initial period the
district, Fiscal Year 2012-2013 (1/1/13-6/30/13) and the next fiscal year 2013-14, three hotels;
the Sheraton Carlsbad, the Park Hyatt Aviara and the Grand Pacific Palisades Hotel, opted into the
district. In 2014-15 the Carlsbad by the Sea Resort opted into the district. These four hotels are
expected to collect a total of $427,000 in CGLBID Assessments in Fiscal Year 2016-17. Each
assessed business determines how to spend the funds collected by their respective property
provided the expenditures are for an approved golf related expense. Reimbursement of these
expenses are made quarterly upon approval from the advisory board up to the amount collected
per property minus administrative fees. The administrative fees pay for the collection of
assessments and administration of the district. Monies not spent by the end of the fiscal year will
carry forward to the next fiscal year.
For Fiscal Year 2017-18, Omni La Costa Resort has elected to participate in the district so the
district will have five hotels as Fiscal Year 2017-18. It is estimated that these five hotels will collect
a total of $700,000 in CGLBID assessments. Based on this revenue estimate, the budgeted amount
for reimbursement to the hotels is $672,000. This amount plus any carry forwards from the
previous fiscal year will be available to the assessed hotels for reimbursement. Administrative
fees for Fiscal Year 2017-18 are budgeted at $28,000, which is 4% of the revenues.
Detail of the 2017-18 budget is shown on the following page.
2017-18 CGLBID Budget
2014-15 2015-16 2016-17 Actuals as of Projected Recommended
Program Areas Description Actuals Actuals Budget 4/30/2017 2016-17 Actuals 2017-18 Budget
Carryover Fund Balance $158,637 $149,264 $169,707 149,264 149,264 128,224
Revenues:
CGLBID Assessment * $2 per room night 440,239 428,675 450,000 395,323 427,000 700,000
Interest Earnings 1,043 2,283 0 1,222 1,500 0
Total Estimated Revenues 441 ,282 430,958 450,000 396,545 428,500 700,000
Expenditures:
2% Admin. Fee -City For collection of CGLBID assessment and accounting
for CGLBID-2% of CGLBID assessment revenue 8,804 8,574 9,000 6,324 8,540 14,000
Reimbursements Reimbursement to member hotels for golf related
expenditures 433,447 392,354 432 ,000 415,978 432,000 672,000
Staff support Staff support to the CGLBID-2% of CGLBID
assessment revenue 8,404 9,587 9,000 5,149 9,000 14,000
Total Expenses 450,655 410,515 450,000 427,451 449,540 700,000
Ending Fund Balance Contingency for Revenue shortfall $149,264 $169,707 $169,707 $118,358 128._224 128,224
*Member hotels for FY2014-15 thru FY 2016-1 7 in clude Sheraton Carlsbad , Park Hyatt Aviara, Grand Pacific Palisades, and Carlsbad by the Sea Resort.
* Member hotels for FY2017 -18 include Sheraton Carlsbad, Park Hyatt Aviara, Grand Pacific Palisades, Carlsbad by the Sea Resort, and Omni La Costa Resort.