Business Improvement District (BID)

What is a BID and how does it work?

A Business Improvement District (BID) is a defined area where businesses choose to pay an additional fee to fund projects that benefit the district. Here's a breakdown of key aspects:  

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What it is:

• Self-funded improvements: Businesses within a BID agree to a special assessment (not a tax) on top of their regular taxes. This money is pooled together and used solely for projects within the district's boundaries.  

• Locally driven: BIDs are managed by a board that's typically made up of local business owners, property owners, and sometimes residents. This ensures that the funds are used in a way that directly addresses the needs of the area.  

• Supplement to city services: BIDs don't replace city services; they enhance them. They often focus on areas where the city may have limited resources or where businesses feel additional attention is needed.  

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What BIDs do:

BIDs can engage in a wide range of activities, depending on the needs of the district. Common examples include:

• Enhanced security: Private security patrols, improved lighting, and coordination with local law enforcement.  

• Cleanliness and maintenance: Sidewalk cleaning, graffiti removal, landscaping, and trash collection.  

• Marketing and promotion: Branding campaigns, events, and initiatives to attract customers to the district.  

• Capital improvements: Streetscape improvements, public art installations, and façade renovations.  

• Advocacy: Representing the interests of businesses in the district to local government and other stakeholders.

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Benefits of BIDs:

• Improved business environment: BIDs can create a more attractive and welcoming environment for businesses, customers, and residents.  

• Increased property values: By improving the overall appearance and functionality of the district, BIDs can help boost property values.

• Stronger sense of community: BIDs can foster collaboration and communication among businesses, leading to a stronger sense of community.  

• Economic development: BIDs can attract new businesses and investment to the district, contributing to economic growth.