Brooklyn's Progress
July 2002

Mayor Michael R. Bloomberg and Department of Business Services (DBS) Commissioner Robert Walsh announced eight new policies and initiatives designed to boost the positive impact of Business Improvements Districts (BIDs) on the City’s economy and its neighborhoods. The City’s plan, highlighted by Mayor Bloomberg on May 14, includes assessment increases for qualified BIDs, a streamlined process for forming new BIDs, lengthened contract renewals, and the reduction of red tape and paperwork. In his State of the City address in January, the Mayor pledged his support for strengthening New York’s BIDs and stressed the important role that local businesses play in the City’s economic health. Brooklyn Borough President Marty Markowitz, Deputy Mayor for Economic Development and Rebuilding Daniel Doctoroff, and representatives of the BIDs from across the City attended the announcement in Brooklyn. “Business Improvement Districts have played a fundamental role in the renaissance of New York City,” said Mayor Bloomberg. “By working to improve business conditions and quality of life, BIDs are a proven example of how public/private partnerships can promote economic development. The City is committed to working with the BIDs to ensure that small businesses, and the neighborhoods in which they operate, are given every opportunity to succeed. These proposals seek to empower the BIDS so their partnership with the City can continue to grow and improve.” There are currently 44 BIDs located throughout the City. Formed out of public/private initiatives, BIDs complement commercial districts and neighborhoods with supplemental services like sidewalk sweeping, public safety officers, street landscaping and guides for restaurants and shopping. “From the heart of Times Square to Kingsbridge Road in the Bronx, New York City’s BIDs have made the city a better place to work, shop and play,” said Deputy Mayor Doctoroff. “BIDs have played an integral role in the economic development of our neighborhoods and the BID policy we announced today is indicative of the great work they have done to date and the key role BIDs will play in the City’s future growth.” “By embracing business improvement districts early on, the Mayor has delivered,” said DBS Commissioner Walsh. “Working in partnership with the private sector, we will make New York City the premiere place in the country to own and operate a small business. The actions outlined today will be implemented and will produce real results for our City’s small business community and neighborhoods.” “We appreciate the City’s recognition of our value and our contributions, and we fully accept the Mayor’s invitation and challenge to continue to make our communities better places to live and do business,” said President of the BID Managers Association Carl Weisbrod. Building on the impressive track record of New York City’s BIDs, the Department of Business Services will implement eight initiatives, which include: Allow qualified BIDs to increase annual assessments. The City anticipates that approximately twenty existing BIDs will request assessment increases in the coming fiscal year. DBS will review requests from all qualified BIDs and submit those requests to the City Council for approval. These increases will allow the BIDs to maintain current levels of service and in some cases, expand. Streamline the process for BID formation and expansion. The City will be a proactive partner in guiding BID steering committees through the planning and development process. It often takes years to move a BID through planning and outreach. The City is committed to dramatically reducing that timeline and improving the effectiveness of planning and outreach. Provide matching grants to spearhead BID-planning initiatives. The value of the City’s BIDs has been proven in communities both large and small. However, smaller commercial districts, particularly in low to moderate-income neighborhoods have often had difficulty funding the BID planning process. To that end, DBS has committed a limited amount of seed funding, available as part of a competitive matching grant program, to sponsors in low to moderate income neighborhoods that are working on the development of a new BID. Permit qualified BIDs to issue long-term debt financing for capital projects. BIDs can play an important role in the development of capital improvement projects above and beyond those undertaken by the City. The scope of certain projects calls for more funds that what is available through the BID assessment alone. Working together, the Office of Management and Budget, the Industrial Development Agency and the Department of Business Services will review requests on behalf of BIDs to raise capital through long-term debt. Award up to five-year contracts for BID renewal. Qualified BIDs deserve longer contracts so that they are better able to negotiate favorable terms with their sub-contractors. To that end, BIDs who receive exemplary evaluations will be eligible for five-year contract renewals, extending the maximum contract term by one year. Increase effectiveness of BID senior management through training and the creation a BID best practices forum . City will provide technical assistance to BID boards and managers, with a particular emphasis on smaller BIDs, to insure that BIDs work effectively in their roles. In addition, there is a wealth of best practices among the City’s forty-four BIDs. To build on this experience, DBS is creating an innovation center to showcase New York’s accomplishments in commercial district development. Create borough-focused teams internally to support BIDs. The DBS Neighborhood Development Office is reorganizing strategically by borough and will be trained on the unique opportunities and challenges of their distinct borough’s neighborhoods. By doing so, DBS will be able to better help BIDs and other commercial revitalization groups solve problems more quickly, and determine what mix of services best meets their particular needs. Promote tourism and shopping in all of the BIDs. In partnership with NYC & Co. and the BID Managers’ Association, DBS will spearhead the development of the NYC Passport, a comprehensive guide to attractions and businesses across the City, especially those outside of the central business districts. The NYC Passport will combine the marketing information of all forty-four bids into one volume, an innovative way to promote the undiscovered New York to shoppers and tourists. The Department of Business Services serves New York City businesses with particular emphasis on small, minority and women-owned businesses. DBS provides a variety of services including technical and business assistance, while administering neighborhood development programs and encouraging small businesses to participate in the City’s procurement process.