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Consultant presents preliminary University Hill funding options; tourism district, DDA and parking revenue share flagged as opportunities

2537769 · March 11, 2025
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Summary

Amanda (a consultant with Progressive Urban Management Associates) presented preliminary results of a study of existing general improvement districts (GIDs) on University Hill, saying the districts are not generating enough revenue to implement community priorities such as streetscape work, lighting, drainage and improved connectivity to downtown.

Amanda (a consultant with Progressive Urban Management Associates) presented preliminary results of a study of existing general improvement districts (GIDs) on University Hill, saying the analysis shows the districts are not generating enough revenue to implement community priorities such as streetscape work, lighting, drainage and improved connectivity to downtown.

Amanda said the team has compiled district profiles, market indicators and revenue/expense information and is developing scenarios the commission will review at a joint special meeting in April. "These are very preliminary opportunities," she said, and the consultant will return with more concrete recommendations at the April 8 joint session and as part of a city council study session on April 24.

The consultant and staff identified two buckets of options: near‑term actions (the next two years) and longer‑term structural changes. Near term, presenters flagged a potential revenue share with the newly formed tourism improvement district (a fee on hotel room nights being collected citywide) and administrative or rebalancing alternatives to how general fund and on‑street parking revenues are used. Longer term options discussed included formation of a downtown development authority (DDA) that would span downtown and University Hill, site‑specific urban renewal for the Fourteenth Street lot, and on‑street parking/parking lot revenue sharing.

City staff and the consultant noted that on‑the‑ground priorities—safer streets, pedestrian and bicycle connectivity, reduced business turnover and better integration with adjacent neighborhoods—are well documented in past planning work, but the current property assessment structure and district assets will not cover the costs needed to deliver those improvements. The consultant said property tax assessments and district asset revenues are unlikely to close the identified funding gaps given current real estate dynamics.

Commissioners and staff asked questions about how the tourism improvement district (TID) operates, who decides spending, and whether short‑term placemaking actions (wayfinding, signage) could be funded quickly. Staff said the TID is administered by the visitor organization and that city council enabled the district; details about board composition and exact governance remain to be clarified. A commissioner noted an approximate 2% room‑night fee figure was being discussed in other meetings; staff and the consultant agreed to gather definitive details for the April discussion.

Staff asked commissioners to attend the April 8 joint special meeting to review refined recommendations; the consultant and staff will refine technical scenarios between now and April.

Why this matters: The Hill’s public realm and safety needs are immediate, but the district’s fiscal structure limits what the GID can fund. The consultant’s work is meant to identify realistic near‑term revenue sources and longer‑term governance changes to support the Hill’s physical and economic goals.

Ending: The commission will hear a fuller presentation at a joint special meeting on April 8 and a staff/consultant presentation to City Council at a study session on April 24. Staff said it will provide more detail about the tourism improvement district, potential revenue shares, and any recommended changes to how general fund and parking revenues are allocated to GIDs.