Agenda item

This report to the Executive seeks agreement from them for a ballot to take place in November 2015 to allow local businesses to decide whether they would like to form a Business Improvement District for York City Centre.

Members considered a report which was due to be presented to the Executive on 30 July. The paper asked the Executive to agree to a ballot to take place in November 2015 to allow city centre businesses to decide whether they would like to form a Business Improvement District in York city centre.

Adam Sinclair, from City Team York and Steve Hughes, York Business Improvement District Manager, presented the report and gave Members some background to the proposals for the Business Improvement District (BID).

They reported that businesses had concerns about cleanliness of streets, Christmas lights and shopping experience. The expensive cost of rent to occupy listed buildings also discouraged business. They explained that BIDs attracted funding by charging a levy on businesses within the BID area (approximately 1% based on rateable value with a threshold of £12,500) and this would generate income for the city. BIDs, once established, were also successful in attracting more funding.

Regarding the governance arrangements it was reported that Luton, Leeds and Newcastle had all recently voted to have BIDs and that terms were five years and renewable. It was often found on the renewal election that the percentage to keep the BID in place increased. It was reported that the average turnout for these elections was 40%.

Questions from Members related to;

·        The boundaries of the BID

·        The composition of the BID governance structure in relation to levy payers and non levy payers

·        Waste Collections

·        City Centre Parking

It was reported that the proposed BID area is largely within the boundary of the inner ring road, but includes businesses facing the inner ring road.

One Member asked how the BID would balance levy payers with non levy payers and was assured businesses below the threshold will still benefit from investment in the BID.

If a BID was approved then a not for profit limited by guarantee company would be established, an AGM would be held along with an election for Directors. There was also the opportunity for there to be cross sector BID champions (or a steering group) in the public, cultural and private sectors. It was noted that churches were not subject to rates and so did not pay the levy, and as a result of this they did not get a vote on the BID proposal. However, the City Team York had consulted the Dean and Chapter of York Minster on the proposals, as they ran some commercial properties.

Members welcomed the BID proposal to have Street Ambassadors in the city centre to assist police officers and the proposal to introduce new city centre waste collection arrangements which would bring economies of scale.

It was reported that some professional firms had stated that they would not return to the city centre due to parking charges and would remain on the outskirts due to free parking. The installation of ‘pay on exit’ and pay by credit card charges were discussed along with the early closing hours at night of the Park and Ride service.

Resolved: That the report be noted.

Reason:   To support the continuing development of a Business Improvement District in York, and subsequent progression to ballot stage.