Frequently Asked Questions (FAQ)
This page will be updated with new FAQs, so be sure to check back in!
How is a BID formed?
BIDs are created through a petition process that is supported by at least 60% of real property owners and at least 51% of the assessed value represented. In addition to the signatures, the petition includes a map of the district, plan of services, and fee structure.
The petition is sent to the City Council for a public hearing and final vote.
Who determines the boundaries, plan for services and fee structure?
A steering committee is formed to meet with property owners and engage with stakeholders to determine the most appropriate strategy for the boundaries, types of services and fee structure. The steering committee aggregates and analyzes the input from stakeholders. Boundary decisions are often influenced by geographic and physical barriers that create a natural, practical boundary.
How is the BID managed?
The BID is controlled and financed by the district’s property owners. A board of
directors representing a diverse mix of property owners, retailers, residents,
businesses, municipal representatives and institutions makes decisions with regard to program, budget and personnel decisions. BIDs typically hire at least 1 full-time manager to implement the BID plan.
Is this just a new tax?
No, this is a vehicle through which property owners can choose to pool their resources to improve their district, above and beyond what the city can supply.
Shouldn't our tax dollars cover these services?
All of the services provided through a BID are supplemental in nature. These are not
services provided by the municipality, but property owners and other stakeholders
recognize both the need for and the value of these services in the district. The
municipality continues to render the services already provided to the district.
Is a BID forever?
BID property owners vote at least once every 5 years to reauthorize the BID for the subsequent 5 years. At any time a BID can be dissolved with a petition of at least 50% of property owners and a final vote of the City Council.
Is participation mandatory?
Once formed, participation by all property owners in the district is mandatory
(including non-profit organizations) unless the fee structure provides for certain exemptions, or through established hardship criteria. It is common for single-family residential properties, including condos, to be exempt.
Over the past 25 years, successful Business Improvement Districts have been established in cities and towns across the US. Above are three established BIDs in Massachusetts, which provide great examples of the benefits a BID will bring to downtown Brockton!