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Downtown San Jose You're Invited

BID Q&A's

What is a BID?

BID stands for Business Improvement District. A BID is authorized by state law and created by the City Council. Its purpose is to promote and improve a specific area for the benefit of businesses there. The BID fee is a benefit assessment; the city assesses all business license holders a BID fee annually, based on anticipated benefits. The San Jose Downtown BID is bounded roughly by Julian Street, Fourth Street, and Highways 280 and 87. It also jogs west to include the arena and surrounding area, and north around San Jose MarketCenter.

Who manages the BID?

Every year since 1989, the San Jose Downtown Association (SJDA), a nonprofit organization, has been selected by the City Council to manage the Downtown BID. Every business that pays the BID is automatically a member of the Downtown Association. The members elect a board of directors to determine budgets and programs.

What does it cost?

The annual fees are calculated on expected benefit. For example, retail pays more than non-retail and large businesses pay more than small businesses. The current rate schedule is: retail $26.40 per employee/$240 minimum; non-retail $15.60 per employee/$150 minimum; apartments and hotels $7.20 per room/$240 minimum; parking lots $300; property owners range from $400 (less than 10,000 square feet) to a $6,000 maximum charge per year depending on square footage.

Is the BID rate raised every year?

No. The BID formed in 1989 and rates increased in 1994, when the BID boundaries extended to include the area around the arena, and again in 2003.

How is the BID money used?

For 2006-07, BID fees generated about $548,000, and for this year, projections are about $600,000, about 20 percent of SJDA’s budget. The rest of SJDA revenue comes from earned income through events and sponsorships, plus contracts and fees for services. For every dollar the business community puts into the BID, eight more dollars are leveraged by SJDA to improve downtown. By state law, the BID money can only be used to support general business activities, promote public events, decorate public places and provide music and entertainment in the BID area.

What do I get for my BID fees?

In general, BID funds are spent on a variety of projects including marketing brochures, maps, websites, weekly e-letters, holiday street lighting and the DASH shuttle, and events such as the Farmers' Market, Music in the Park, Music in the Other Park and Downtown Ice. SJDA advocates on behalf of BID members for a vital and vibrant Downtown for businesses and their clients, customers and employees. Association staff members are available to assist BID business and property owners and address their individual concerns. SJDA provides a strong voice for Downtown to the media, government officials and policy-makers.

BID Benefits

Make downtown a desirable destination and good business address

• Work with police on crime prevention and homeless issues
• Lead campaign for additional parking garages and business loans
• Champion plentiful, low-cost and convenient parking
• Promote validated parking program for retail businesses
• Offer free DASH shuttle service
• Clean up vacant historic buildings and install art exhibits
• Upgrade lighting to make streets look, feel and be safer
• Add decorative and tree lighting, and kiosk information
• Provide holiday lights, banners, and seasonal promotions
• Convene information forums and town hall meetings
• Coordinate regular street and sidewalk cleanliness
• Host orientation meetings for new businesses locating downtown
• Staff more than a dozen ongoing committees working on downtown promotions or solutions to specific downtown issues

Promote downtown as a business and entertainment destination

• Upgrade downtown’s image as clean, safe and fun
• Arrange media coverage of positive news
• Write Op/Ed editorials and frame downtown issues
• Promote the arts and special events
• Produce cooperative advertising for print, TV, and radio
• Produce brochures, rack cards, fliers, gift certificates and special offers
• Promote free parking program with signs, ads and brochures
• Provide parking directions and maps at sjdowntownparking.com
• Maintain downtown web site sjdowntown.com and links to members
• Produce Downtown Dimension newsletter and Downtowner Online calendar
• Co–produce and distribute Official Visitors Guide, maps, and posters
• Organize special promotions for downtown retailers and districts
• Produce an online downtown Business Directory
• Provide a one–stop–shop for downtown information to serve developers, employers and visitors

Bring people downtown and make it a positive experience

• SJDA produces events more than 100 days a year
• Music in the Park series (Plaza de Cesar Chavez)
• Downtown Farmers’ Market (San Pedro Square)
• Downtown Ice Rink (Circle of Palms)
• Music in the Other Park series (St. James Park)
• Phantom Art Galleries (in vacant store windows)
• Outdoor Cinemas (San Pedro Square and St. James Park)

More questions and concerns?

• If you have questions about BID. fees or want more information, call Scott Knies, 279-1775.
• To become a member, email Amber Ufford at aufford@sjdowntown.com, and include the name of your business, contact name, address, phone number and web information, if you have a website.
• Si tiene alguna pregunta acerca del BID, o si necesita mas informacion, llame a Jan Schneider, 295-3610.
• Ñeå ñöôïc theâm chi tieác veà BID, xin goïi 408-279-1775. Ñeå ñöôïc phuïc vuï baøng tieáng Vieät, xin lieân laïc Ong Scott Knies ñeå gaëp vôùi thoâng dòch vieân.