San Mateo scopes downtown business association priorities

With improvements to the Hillsdale Shopping Center taking shape, Cohen said he worried about the impacts of those changes on downtown businesses. Revitalizing its marketing efforts and exploring a potential increase in its assessments are among the priorities the DSMA has pegged in the next year, noted Cohen. With even more office space slated to come online downtown in the coming months, Cohen expected an uptick of pedestrian activity and felt a full-time executive director could help the DSMA make the most of future challenges and opportunities.

“Downtown San Mateo faces similar challenges that many downtowns across the country are experiencing — a change from retail to service-, lifestyle- and experience-based retail,” he said, according to a video of the City Council’s June 17 meeting.

Though the association is set to collect an estimated $190,025 in assessments next year, its expenditures are expected to reach $237,500, requiring the DSMA to use its reserves in the coming year. The DSMA plans to continue dedicating a portion of its funds — to the tune of some $80,000 annually — on a daytime porter who picks up trash and debris as well as wipes down trash cans and news racks, according to a staff report.

Though he acknowledged that some of the association’s savings in the past year stem from not paying an executive director, Cohen said the board felt a full-time staff member could focus on scoping how the assessments could be more equitable across downtown businesses, which would generate more revenue for the DSMA.

Cohen added that the DSMA has been able to accomplish a lot in the past year because of the efforts of its members, who are volunteering their time, but said he didn’t think the association’s current operations were sustainable, noting members have their hands full with running their businesses and trying to keep up with their DSMA duties.

Though he acknowledged the efforts of the DSMA’s board of directors and its limited budget, Councilman Joe Goethals voiced concerns about devoting a significant portion of its funds toward hiring an executive director. By spending its funds on cleaning and marketing efforts in the last year, Goethals felt the organization could clearly articulate members’ return on investment but was less convinced it would be able to demonstrate its value if funds were spent on a staff member.

“If you’re spending the money on an [executive director] you can’t make that pitch,” he said. “If you’re spending the money on beautification and marketing, then there’s definitely return on investment.”

Cohen acknowledged the support of the City Manager’s Office and City Council as the DSMA adjusted to not having an executive director in the past year, but also emphasized the district’s role in monitoring downtown changes and the need for active members who are stationed downtown and ready to meet emerging needs.

For Mayor Diane Papan, whether the association could consider taxing property owners in addition to business owners was a focus. Though she acknowledged the establishment of a property-based business improvement district could be time-intensive, Papan wondered if exploring the steps required could shed light on another source of funding to support downtown cleanliness.

Cohen said exploring the distribution of assessments across the businesses in the district has been pegged as a focus for the DSMA since there are tech companies paying nearly $100 annually toward the district while businesses like his bookstore, which he noted generates much less in revenue, pay some $500 a year in assessments. Having spoken with those managing some of the downtown tech companies, Cohen felt several would be open to contributing more toward downtown maintenance given its role in attracting and retaining employees.

Councilman Eric Rodriguez voiced support for exploring increases to the district’s assessments as a way of helping the DSMA reach its full potential and also chart a vision for the downtown. In addition to an ongoing process to update the city’s General and Downtown Specific plans, Rodriguez encouraged the DSMA and city officials to dedicate time to discuss what they want San Mateo’s downtown experience to look like.

“I really think our city needs to set aside some time and focus on what we want our downtown to be,” he said. “We need to look at the whole experience of being downtown.”

anna@smdailyjournal.com

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