AN ORDINANCE AMENDING TITLE 2 OF THE METROPOLITAN CODE OF LAWS
AND AUTHORIZING THE CREATION OF A CENTRAL BUSINESS IMPROVEMENT
DISTRICT FOR METROPOLITAN NASHVILLE AND DAVIDSON COUNTY, TENNESSEE,
AND TO APPOINT A CORPORATION TO ACT AS AN ADVISORY BOARD TO THE
DISTRICT WITH THE NECESSARY POWERS AND AUTHORITY TO CARRY OUT
THE PURPOSES AND INTENT OF THE DISTRICT.
pursuant to the Central Business Improvement District
Act of 1990, property owners in a confined area within downtown
Nashville representing at least 51% of the real property owners
and at least 67% of the assessed value of all real property
within that area, have presented petitions to the Metropolitan
Government of Nashville and Davidson County requesting creation
of a Central Business Improvement District (the "District")
for downtown Nashville; and
this effort is the culmination of more than one year
of hard work and effort on the part of numerous individuals and
entities which included detailed meetings with real property owners
and dissemination of information prior to submission of this request
to the Metropolitan Government, and
the creation of a downtown District will enhance the
local business climate and help manage the area and ensure that
it is clean, safe and vibrant and will bring more people to the
downtown Nashville area to work, live, shop and play; and
among the services and improvements to be funded by
the District will be security enhancement, beautification efforts,
business recruitment and retention services and overall downtown
NOW, THEREFORE, BE IT ENACTED BY THE METROPOLITAN COUNCIL OF
THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:
SECTION 1. Title 2 of the Metropolitan Code of Laws is hereby
amended by adding the following new chapter relative to the establishment
of a central business improvement district and appointing a management
corporation to act as an advisory board to the district with the
necessary powers and authority to carry out the purposes of the
Section 2.174.010 District Created; Boundary.
There is hereby created a central business improvement district
(CBID) which shall include all properties within that area of
the city bounded and generally described as follows:
Beginning at the northeast corner of the intersection of Eighth Avenue South at Demonbreun Street, northeastwardly to the northwest corner of the intersection of Demonbreun Street and First Avenue South; thence northwestwardly on First Avenue South to the intersection of First Avenue South and the underpass of Shelby Avenue; thence northeastwardly with Shelby Avenue to the west bank of the Cumberland River; thence northwestwardly along said river bank to a point where the Woodland Street Bridge crosses the Cumberland River; thence southwestwardly to the intersection of Woodland Street (also known as Public Square and/or Deaderick Street) and First Avenue North; thence northwestwardly along First Avenue North to the southerly margin of James Robertson Parkway; thence southwestwardly to the intersection of James Robertson Parkway and Third Avenue North; thence southeastwardly to the intersection of Third Avenue North and Charlotte Avenue; thence southwestwardly on Charlotte Avenue to the intersection of Charlotte Avenue and Sixth Avenue North; thence southeastwardly on Sixth Avenue North to the intersection of Sixth Avenue North and Union Street; thence southwestwardly on Union Street to and around a curve where Union Street becomes Ninth Avenue North, continuing southeastwardly to the intersection of Ninth Avenue North and Church Street; thence northeastwardly on Church Street to the intersection of Church Street and Eighth Avenue North; thence southeastwardly across Broadway to the intersection of Demonbreun Street being the point of beginning.
Section 2.174.020 Purposes and Mission.
A. The Metropolitan Council hereby finds and declares that the establishment of a CBID will promote the successful revitalization of downtown Nashville thereby furthering the health, safety, morals and general economic welfare of Metropolitan Nashville and Davidson County.
B. The purpose and mission of this CBID is hereby declared to
To undertake and provide an enhanced level of programs and services
not provided by the Metropolitan Government which will help maintain
downtown Nashville as a clean, safe and vibrant place to work,
live, shop and play.
Section 2.174.030 Liberal Construction.
This ordinance, being necessary to secure and preserve the public
health, safety, convenience and welfare, shall be liberally construed
to effectuate its purposes.
Section 2.174.040 Definitions.
A. As used in this ordinance, unless a contrary meaning clearly
1. "Assessed value" means value as assessed for municipal
2. "District" or "Central Business Improvement
District" or "CBID" means the central business
improvement district created by this ordinance.
3. "District Management Corporation" means the board
or organization created or the organization appointed to act as
an advisory board for the purpose of making and carrying out recommendations
for the use of special assessment revenues, and for the purpose
of administering activities within and for the District and the
provision of services and projects within and for the District.
4. "Initiating petition" means the petition filed in
the office of the Metropolitan Clerk requesting the establishment
of the CBID.
5. "Owner" means the record owner of real property in fee or a representative of such owner duly authorized to act for and on behalf of said owner.
Section 2.174.050 District Management Corporation.
A. There is hereby authorized a District Management Corporation
to be chartered pursuant to the provisions of the Nonprofit Corporation
Act of Tennessee for the purpose of administering the special
assessment revenues and the activities within and for the District,
the making of improvements within and for the District, and the
provision of services and projects within and for the District.
B. The District Management Corporation shall be governed by a board of directors consisting of at least twelve (12) members. At least three (3) members shall be appointed as provided in sub-section C below. The Mayor of the Metropolitan Government of Nashville and Davidson County
shall appoint one of the eleven members who shall serve an initial
two-year term. The Nashville Downtown Partnership shall
appoint the remaining eight members who shall serve staggered,
three-year terms. All eight members shall be property owners or
have offices within the District. At least two of these eight
members shall be large property owners and at least two shall
be small property owners, as defined in the corporate charter
of the district management corporation. One of the eight members
shall be a commercial tenant. Four of the members appointed by
the Downtown Partnership shall be appointed for an initial one-year
term and four of the members appointed by the Downtown Partnership
shall be appointed for an initial two-year term. At the
end of these initial terms these seats shall then be filled at
an annual meeting upon nomination by the outgoing board members
and confirmation by a majority of the owners of real property
in the District voting in the election. A property owner may vote
by proxy vote.
C. The Speaker of the Senate of the State of Tennessee shall appoint
the senator whose senate district includes the majority of the
area contained within the CBID to serve as an ex officio member
and the Speaker of the House of Representatives of the State of
Tennessee shall appoint the representative whose house district
includes the majority of the area contained with the CBID as an
ex officio member. In addition, any member of council whose council district includes any of the area contained within the CBID shall serve as an ex officio member. The ex officio members shall serve for
the term for which they are elected and shall not be counted
in determining the presence of a quorum.
D. Vacancies on the board for elected members shall be filled
by the remaining board members present and voting to fill the
Section 2.208.060 District Management Corporation Powers.
A. In furtherance and not in limitation of the general powers
conferred upon a CBID by Chapter 84 of Title 7 of the Tennessee
Code Annotated and in keeping with the purposes of the CBID set
forth herein it is expressly provided that the district management
corporation shall have the following powers which shall
be exercised at the discretion of the District Management Corporation
acting through its Board of Directors, as follows:
1. To acquire, construct or to maintain parking facilities;
2. To acquire, construct or maintain public improvements;
3. To acquire real property or an interest therein connection
with a public improvement;
4. To provide services for the improvement and operation of the
District, to supplement those provided by the Metropolitan Government,
5. To enter into contracts and agreements with other persons or
6. To hire employees or retain agents, engineers, architects,
planners, consultants, attorneys and accountants.
7. To acquire, construct, install and operate public improvements contemplated by this Ordinance and all property rights or interests incidental or appurtenant thereto, and to dispose of real and personal property and any interest therein including leases and easements in connection therewith.
8. To manage, control and supervise:
9. To construct and install improvements across and along any public street, alley, highway, stream of water or water course in accordance with state and local laws, rules or regulations.
10. To construct and operate child care facilities.
11. To accept, administer and comply with the conditions and requirements respecting any appropriation of funds or any gift, grant or donation of property or money to the Central Business Improvement District; and
12. To exercise all rights and powers necessary or incidental
to or implied from the specific powers granted in this section.
B. All services to the District listed above shall be provided
by the District Management Corporation as a service to and in
support of the Metropolitan Government and such services are to
be paid for out of revenues from the special assessment. Revenues
from special assessments shall be used to supplement and not to
pay for the same level of services provided by the Metropolitan
Government within the District as are provided throughout the
urban services district. In no event will the level of urban
services provided to the District be decreased as a result of
the enhanced level of services provided through the special assessment
revenues; provided, however, the level of urban services may be
decreased for other reasons. In carrying out these responsibilities,
District Management Corporation must comply with all applicable
provisions of law, including Chapter 84 of Title 7 of Tennessee
Code Annotated, all city resolutions and ordinances and all regulations
lawfully imposed by the state auditor or other state agencies.
C. Initial Improvements: The following improvement programs are
examples of services authorized to be undertaken within the District
during its first year of operation:
Section 2.174.070 Annual Budget.
The District Management Corporation shall annually submit to the
Metropolitan Council a financial report and a written report
of its activities for the preceding year together with a proposed
budget for the next year. The annual budget shall include a projection
of revenues from the special assessment and a projection of expenditures
for projects, services and activities of the District Management
Corporation and shall be reviewed and approved by the Metropolitan
Council, or if not approved shall be returned to the Board
of Directors for revision and resubmission until the Metropolitan
Council shall approve the annual budget.
Section 2.174.080 Estimated Costs and Rate of Levy; Special
A. The estimated costs of the initially proposed improvements,
services projects and other permitted uses of special assessment
revenues is $500,000.
B. The initial rate of levy of the special assessment for the
CBID shall be fifteen cents ($.15) per $100 of assessed value
of real property. Such rate of levy shall continue in force until
changed by the Metropolitan Council in accordance herewith.
A change in the rate of levy of such special assessment may be
initiated only by a resolution of the District Management Corporation
requesting that the rate be changed. Further, this resolution
must be approved in an election held by the District Management
Corporation by not less than a majority in number of the owners
of real property in the District voting in said election. In
addition, the assessed value of the property in the District owned
by all of the persons voting affirmatively must equal or exceed
at least two thirds of the assessed value of the property in the
District owned by all persons voting. Upon receipt of this resolution
from the District Management Corporation, the Metropolitan Council
must hold a public hearing on whether there should be a change
in the rate of levy for the special assessment.
C. Beginning in 1998, special assessments shall be levied against
all taxable real property within the CBID pursuant to a special
assessment roll of all owners of real property within the District
as shown in the records of the Assessor of Property for the Metropolitan
Government of Nashville and Davidson County, including owners
of leaseholds on property owned by the Industrial Development
Board of the Metropolitan Government of Nashville and Davidson
D. Notice of the special assessment shall be issued simultaneously
with tax notices for regular Metropolitan Nashville real property
taxes, and revenues from the special assessment shall be collected
by the Metropolitan Trustee and placed into a segregated account
subject to the direction of the Metropolitan Council and the District
Management Corporation to the extent it is empowered by this ordinance.
E. Special assessments shall be imposed and collected annually
as set forth hereinabove and changes in the rate or additions
to the rate of the special assessment may be made only on an annual
basis and only in accordance with the procedure set forth in Section
F. Penalty and interest in the amount permitted by state law shall
be added to any such assessment or installment thereof
not paid on or before the date prescribed by the Metropolitan
Government of Nashville and Davidson County.
Section 2.174.090 Dissolution of the District Management
The District shall be dissolved without further action by the District Management
Corporation or the Metropolitan Council on January 1, 2003. However, the District
shall not be dissolved if, prior to that date the Metropolitan Council, by ordinance,
determines that the District should be continued and a petition that satisfies
the requirements of the Central Business Improvement Act, T.C.A. § 7-84-501
et seq. is filed requesting that the District be continued.
Council may dissolve the District upon
receipt of a written petition filed either: (a) by the owners
of 75% of the assessed value of the taxable real property
in the District based on the most recent certified City property
tax rolls; or (b) by 50% of the owners of record within the District.
The District may not be dissolved if the Metropolitan Government has outstanding any bonds, notes or other obligations payable solely from the special assessment revenues levied on the real property within the District in which case such dissolution may occur only at such time as such bonded indebtedness has been repaid in full or the Metropolitan Government pledges to the payment of such indebtedness its full faith and credit and unlimited taxing power. Upon dissolution of the District, any unencumbered assessment proceeds remaining under the control of the District shall be disbursed to the owners of District real property pro rata based upon the amounts of the respective assessments.
SECTION 2. The Metropolitan Council of the Metropolitan Government
of Nashville and Davidson County hereby authorizes the Metropolitan
Mayor to execute a memorandum of agreement between the Metropolitan
Government and the District Management Corporation specifying
the level of urban services currently being provided and making
assurances consistent with this Ordinance. The Director of the
Department of Finance shall approve the method of collection,
administration and distribution of the special assessment revenue
SECTION 3. This Ordinance shall take effect from and after its passage, the welfare of the Metropolitan Government of Nashville and Davidson County requiring it.
Requested by: Julius Sloss
AMENDMENT NO. 1
ORDINANCE NO. 098-1037
I move to amend Ordinance No. 098-1037 by amending Section 1
thereof by amending Section 2.174.050 relating to District Management
Corporation as follows:
(1) By amending paragraph one of Section 2.174.050 by deleting the first two
sentences and substituting in lieu thereof the following:
"The District Management Corporation shall be governed by a board of directors consisting of at least twelve (12) members. At least three (3) members shall be appointed as provided in sub-section C below."
(2) By amending paragraph C of Section 2.174.050 by inserting the following
provision after the first sentence thereof, and before the second sentence thereof:
"in addition, any member of council whose council district includes any of the area contained within the CBID shall serve as an ex officio member."
INTRODUCED BY: Julius Sloss