Board approved authorization of a budget adjustment of $12,383,000 from internal loans for 2023 storm repair
SAN LUIS OBISPO COUNTY — At their meeting on Tuesday, May 14, the San Luis Obispo County Board of Supervisors held a hearing regarding public testimonies and protests towards renewing the San Luis Obispo County Tourism Business Improvement District (CBID).
“What is a business improvement district? It is a district created to provide revenue that benefits a specific group. In our case, it is motels, hotels, beds and breakfasts, vacation rentals, and homestays,” said Tessa Cornejo from the Administrative Offices.
The CBID was formed under the Parking and Business Improvement Law of 1989. All bids are subject to Prop 218, and a vote is needed to get the assessment. The formations and renewals of the bids are subject to written protests from businesses. The CBID was formed in May 2009, with the first assessment being held in July of that same year.
“The mission and vision of the CBID is to promote memorable visitor experiences, and the uniqueness of our district is marketed by focusing on high-value experiences along the Highway 1 road trip,” added Cornejo.
In 2024, the CBID has 1,488 lodging businesses within the district:
- 64 hotels/motels
- 34 bed and breakfasts
- 1,277 vacation rentals
- 113 homestays
“To date, we’ve gathered approximately $30.3 million in assessments since inception (in 2009),” continued Cornejo.
Since 2010, approximately 662 programs and projects have been funded through the CBID for a total of $12.3 million. In 2023, 45 projects were funded for a total of $1.8 million.
No written protests or in-person protests took place during the meeting. The motion to renew the CBID passed unanimously. This was the 15th renewal since inception since there was no majority protest.
Later in the meeting, Public Works addressed the Board of Supervisors with a bi-annual updated report on road maintenance and the status of their response efforts following the winter 2023 storms.
“Before we jump into 2023, though, I wanted to do a quick review of 2024 since it was pretty wet out there, even up until recently,” said Transportation Division Manager Joshua Roberts. “2024 was actually pretty notable. We saw rains across the county, an average of about 20 percent over what we typically see, but still, really nothing compared to last year.”
During his presentation, Roberts showed these stats in the 2023-24 report:
- Roads are back open
- Return to routine maintenance on roads
- No major impacts from the 2024 storms
- No increase in cash flow needs
- Only 166 of 879 repair sites remaining
- Work is expected to last into 2027
- All damage sites are uploaded to FEMA
Public Works has commenced work on debris removal, emergency protection, and permanent repair consistent with FEMA and FHWA recovery methods.
The Public Works teams were about to complete all of their debris removal and emergency opening work within the short FEMA timeline and were able to be eligible for reimbursement.
Total gross cost that the county is projected to spend on repairs created by the 2023 storms is $55 million.
“Last year, your board approved a $12 million cash infusion in addition to about $5.2 million that was spent for the road fund towards those recovery efforts. This year, and again as part of this item, we’re going to need to start drawing down on those internal loans,” said the supervising engineer on the project. “Of course, depending on how fast FEMA and FHWA reimbursements show up, we may end up needing to take advantage of that full loan amount. Hopefully, that’s not the case.”
Staff recommendations aside from the receive and file also included the authorization of a budget adjustment request to increase appropriations in Fund Center – 24502 Roads Maintenance, for storm repair projects, in the amount of $12,383,000 from internal loans as detailed in the approved 2023 funding plan, by 4/5 vote.
Both parts of the item passed unanimously.
The next county supervisors meeting was held on Tuesday, May 21.
