Lowell update: steering committee advances downtown business improvement district plan

Ali Carter, a staff member in the City of Lowell Department of Economic Development, updated the Economic Development Subcommittee Tuesday on a volunteer-led effort to form a Business Improvement District, or BID, covering much of downtown Lowell.

Carter said the steering committee has drafted boundary maps, a benefits package and preliminary fee models, and that volunteers have done outreach to property owners. “So right now, the numbers that we’re looking at are 0.35%,” Carter said, referring to the assessment rate under current figures; she said some figures in the presentation were dated and that final numbers remain subject to change.

The BID concept would use a small special assessment on property value to fund services beyond city responsibilities. Carter described likely services as marketing, street ambassadors, coordinated street activity and enhanced beautification and maintenance. The proposed BID boundary runs roughly from Market Street to the Merrimack River and up to the canal along Dutton Street, excluding many small residential condo parcels from the assessment calculation.

Why it matters: a BID concentrates resources paid by downtown property owners to deliver services and marketing tailored to that district; supporters said pooled funds could produce programming and amenities beyond routine city services, potentially accelerating business recruitment and foot traffic downtown.

Councilors pressed for details on outreach, governance and effects on tenants. Councilor Corey Belanger praised the work and asked how many building owners the committee had contacted; Carter said volunteer steering-committee members have been tracking outreach and that the committee believes it has reached enough owners comfortable with the concept to clear a 60% owner-count threshold tied to a separate requirement that participating owners represent at least 51% of assessed value. Carter said the steering committee and department staff will begin signature collection “this summer or fall.”

Several councilors raised tenant concerns. Councilor Robinson asked whether business tenants could opt in directly; Carter said Massachusetts law ties BID formation to property assessments, so only property owners can sign the formation agreement, but she added that many business owners have advocated to their landlords to sign and that businesses would be represented on the BID board if formed.

Councilors also urged the BID effort to address parking, weekend access and city coordination. Councilor Melanter, a downtown business owner, urged the city and BID to consider weekend garage access and parking solutions for customers and employees. Carter said the BID board and staff could coordinate on such operational questions and that the city and BID would formalize roles in a memorandum of understanding.

Carter described next steps as: finalizing BID boundaries and the BID improvement plan; developing a budget and fee structure; creating an MOU with the city to delineate responsibilities; and launching a petition campaign to collect property-owner signatures required by state statute. She said the steering committee has received a state grant to work with a consultant during planning.

The subcommittee did not take formal action; members received the report as a progress update and asked staff to accelerate outreach and return with additional detail. Councilors suggested the model could be replicated in other parts of the city if successful.

Ending: Carter said the steering committee hopes to complete boundary and budget work this year, then begin signature collection. The subcommittee adjourned after the report.