City Clerk report relative to the Fiscal Year 2026 Annual Planning Report for the Downtown Center, Property-Based, Business Improvement District.

Summary

The City Council is reviewing the Fiscal Year 2026 Annual Planning Report for the Downtown Center Business Improvement District (DCBID). This report outlines the planned activities and budget for the district, which provides supplemental clean, safe, and economic development/marketing services across 65 blocks of downtown Los Angeles. The DCBID operates on a 10-year term (2018-2027), with its current term ending in 2027.The total estimated budget for FY2026 is $9,617,825.05. Key allocations include Clean & Safe ($6,431,115.25 or 66.87%), Economic Development/Marketing ($1,761,073.76 or 18.31%), and Management/City Fees ($1,425,636.04 or 14.82%).For 2026, the Clean & Safe programs will see the purchase of new vehicles for safety and clean teams, and the ACTION program will continue its homeless outreach with two certified PATH Navigator-case managers. The Economic Development/Marketing initiatives include publishing various market reports, promoting the "DTLA Forward" content strategy, and launching the "DTLA Welcomes the World" initiative in preparation for the FIFA World Cup and LA28 Olympic Games. Placemaking efforts will involve new street pole banners, murals, and signature events.Funding for these services comes from property assessments, which are based on assessable square footage across two benefit zones. A 5% CPI increase has been approved for 2026, setting Zone 1 at $0.11715934/sqft and Zone 2 at $0.14654862/sqft. A $22,163.53 surplus from 2025 will be rolled over, primarily to support homeless outreach and staffing costs. Additionally, $439,247.36 in other revenues, including $251,930.60 from The Grand LA (back-billed assessments), will contribute to the budget. The report confirms the budget complies with State Law and the District's Management Plan.

Citizen Impact

Residents and businesses within the Downtown Center BID will benefit from enhanced public safety patrols, cleaner streets, and expanded homeless outreach services. The district's economic development and marketing efforts aim to attract new businesses and residents, potentially leading to more amenities and increased property values in the area. Property owners in the district contribute to these services through annual assessments, which will see a 5% increase in FY2026.

Confidence

high