Explained: What’s a Business Improvement District + does NOOGA need one?

A city view — Some officials believe a Business Improvement District could help manage downtown. (Photo: @stefanheldzinger, Instagram)

Table of Contents

BID overview

Chattanooga BID

Other possible BID uses:

Quoteworthy

“The way I look at it, [the business district] is an investment. It's an investment in a better downtown. It's an investment in the businesses we already have and want to continue to grow and invest in." – Mitch Patel, president and CEO of Vision Hospitality (Chattanooga Times Free Press)

“We don't need ambassadors. I picked up the garbage before I came over here today. I stopped in the street for the day. I do it regularly. My mother Mrs. Peggie did it regularly, she taught us to do that. I pressure wash. We remove the graffiti.” – Pamela Riemer, property owner (NewsChannel 9)

How other cities used their BIDs

Question

It was the talk of the town last month and it’s about to be a hot topic again with the proposed Business Improvement District for downtown on the July 23 + 30 City Council agendas.

The central questions: who is responsible for our urban spaces + what do we want them to become?

But what exactly is a BID? How have other cities used BIDs? And why are they so controversial among local property owners and citizens? Let’s break it down. 🤔

BID overview

Business Improvement Districts are “organizations formed by private property owners and businesses within a legally constituted city district.”

Basically, property owners pay a small tax for a variety of services that go beyond what the government offers. For example: San Francisco’s BID installed safety cameras + organized the clean-up of graffiti, trash + other debris, among other things.

A board of directors would be appointed to oversee the BID, comprised of property and business owners within the district, among other city leaders. All BID board meetings will be open to the public as well. Check out a fact sheet here.

More than 1,000 U.S. cities/towns have used BIDs with larger cities having more. New York City has 67 BIDs, for example.

Chattanooga BID

In Chattanooga, River City Co. is proposing a BID that would encompass the downtown footprint from 13th Street to the Riverfront + between Georgia Ave./Lindsay St. and US-27. If approved, officials said the BID would most likely start with “clean and safe services” and an ambassador program featuring volunteers who would “serve as the ‘eyes and ears’ … to keep the area safer for residents, workers + visitors.”

During a motion in early June, the BID failed at City Council after at least a dozen property owners + citizens addressed the council. This was also after at least seven amendments were made.

This month, the council approved a resolution to have public hearings about the BID proposal at the Tuesday night sessions. The BID ordinance first reading and vote will be July 23 at 6 p.m. + a required public hearing will be July 30., followed by a final reading and vote. Only property owners within the proposed district footprint can address the council.

Other possible BID uses:

Welcoming services + extra security for public spaces and private businesses.
Champion + lobby on behalf of all downtown businesses.
Raise money for special infrastructure (e.g. public stages, street lighting).
Commission research + marketing services, analyze economic and demographic data.
Innovate + implement strategies without the “full mechanisms of local government.”