Title
City Signatory Authority for City Property: Northgate Boulevard Property and Business Improvement District No. 2026-02
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FileID
File ID: 2025-01864
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Location
Location: District 3
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Recommendation
Recommendation: Adopt a Resolution authorizing the City Manager or designee to sign a petition supporting formation of the Northgate Property and Business Improvement District No. 2026-02 (District), and if formation proceedings are initiated, vote for the eight City properties listed on the accompanying Resolution to be included in the District.
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Contact
Contact: Susanne Tam, Development Project Manager, (916) 808-7535, stam@cityofsacramento.org; Eric Frederick, Special Districts Manager, (916) 808-5129, efrederick@cityofsacramento.org; Department of Finance
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Presenter
Presenter: None
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Attachments
Attachments:
1-Description/Analysis
2-Resolution
3-Exhibit A: Proposed District Map with City Parcels
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Description/Analysis
IssueDetail
Issue Detail: The District is a new property and business improvement district (PBID) proposed to be formed within the Northgate Boulevard commercial corridor. It would be formed under the Property and Business Improvement District Law of 1994 (California Streets and Highways Code section 36600 et seq.). A map of the proposed District is provided in Exhibit A to the attached Resolution. If formation efforts are successful, this new District will be in place for a five-year term beginning January 1, 2027. The City currently owns eight parcels within the proposed District and will benefit from the services of the District. If petitions are submitted by property owners who will pay more than 50% of the assessment proposed to be levied within the District, Council may initiate proceedings to form the District by adopting a Resolution of Intention. This Resolution of Intention will, among other things, set the time and place of a future public hearing on the proposed establishment of the District and the levy of assessments. Upon conclusion of that public hearing, ballots submitted by property owners within the District on the formation of the District and the levy of assessments will be tallied to determine if the District will be established.
City participation in the District will serve the public interest because the proposed services provided by the District are the following: maintenance and security crews to keep the corridor clean and safe, beautification and placemaking improvements that improve the appearance and walkability of the corridor, and support services to help businesses thrive. These efforts will help make the District more attractive, encourage more visitors, and bring new business investment to the corridor. The District, if formed, will be managed by an owners’ association that will be under contract with the City to administer and implement the maintenance and activities specified in the management district plan of the District.
If the City Council wants to support formation of the District, the Council may delegate to the City Manager or City Manager’s designee the authority to sign the property owner’s petition and assessment ballot on behalf of the eight City-owned properties that are within the proposed District boundaries. The City-owned properties are detailed in Exhibit A to the Resolution.
The total District assessment for the first year of the proposed NPBID would be approximately $383,802 and is currently anticipated to be levied on 110 assessed parcels. Of these 110 assessed parcels, the City currently owns six parcels within the District, which would be assessed. The City also owns two additional parcels that are anticipated to not have an assessment. The City’s assessment for the first year of the NPBID’s term would be $49,048. City-owned parcels are assessed in other PBIDs within the City and have benefitted from PBID services. Staff is recommending that City parcels be included in the District.
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PolicyConsiderations
Policy Considerations: The proceedings under which a PBID is established are set forth in California Streets and Highways Code section 36600 et seq., referred to as the “Property and Business Improvement District Law of 1994.”
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EconomicImpacts
Economic Impacts: None.
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EnvironmentalConsiderations
Environmental Considerations: The actions in this report concerns administrative activities that will not result in direct or indirect physical changes in the environment and governmental fiscal activities which do not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment. Therefore, the actions described in this report do not constitute a “project” under the California Environmental Quality Act (CEQA) Guidelines Section 15378(b)(4) and Section 15378(b)(5) and are not subject to the provisions of CEQA (CEQA Guidelines Section 15060(c)(3)).
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Sustainability
Sustainability: Not applicable.
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Commission/Committee Action
Commission/Committee Action: Not applicable.
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RationaleforRecommendation
Rationale for Recommendation: The recommended actions authorize the City Manager or designee to sign the property owner’s petition and assessment ballot in the affirmative on behalf of the City properties that are located within the District.
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FinancialConsiderations
Financial Considerations: If the District is established, the City will participate as a property owner, with the City paying a total assessment of $49,048 in the first year of the five-year initial period for City properties in the District. Future increases in the District’s assessment rates are capped at 5% annually. Assessment payments would be funded by the General Fund.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): Not applicable.
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