Council pauses Atascadero TBID ordinance change, asks staff to clarify how lodging owners select advisory‑board representatives

The City Council opened a public hearing on proposed edits to the ordinance governing the Atascadero Tourism Business Improvement District advisory board and paused action to ask staff to clarify how lodging owners would select representatives.

Community Services and Promotion Director Terry Banish summarized the proposed ordinance change, which defines the AtBid advisory board as five members: four members representing lodging businesses with 25 rooms or more (hoteliers) and one member representing short‑term or vacation rental lodging businesses that are not hotels (vacation rentals, B&Bs, short‑term rentals). Banish said the board sends a notice to lodging owners each February and that nominations typically are finalized at a March or April meeting for terms beginning July 1.

Council members raised questions about how voting would be organized among lodging categories. Council member Funk and others asked whether hoteliers would vote only for hotel seats and short‑term rental owners only for the vacation‑rental seat or whether the AtBid meeting would allow all lodging owners to vote for all seats. City staff and the city attorney said the ordinance change sets membership qualifications but leaves the internal election mechanics to the advisory board; they noted weighted voting based on assessment would be complicated to implement and the draft language aimed to keep the process simple.

Members of the public asked clarifying questions. Consultant Jeff Osland (representing several businesses) said a rule that allows one entity to effectively control nominations would be unfair and asked for clearer limits so no single lodging owner could dominate representation. Staff estimated there are about nine hotels and roughly 30 short‑term rental properties in town, and council members discussed the policy goal of aligning board representation with assessment revenue rather than an equal‑per‑unit measure.

After discussion the council directed staff to return with revised ordinance language that explicitly clarifies who is eligible to vote for each category’s seats (or to specify the process the advisory board will use to nominate its representatives). The council continued the public hearing to its next meeting, scheduled for February 25, so staff can bring back amended language for first reading.

Council did not adopt the ordinance at this hearing; it asked staff to consult with AtBid members and the hotel and short‑term rental communities when preparing revised language.