ARLINGTON COUNTY, VIRGINIA
2004 STRATEGIC INITIATIVE PROPOSAL
Overview of Strategic Initiative
Department: Economic Development
Strategic Initiative: Economic Sustainability
Two strategic initiatives are
proposed that will contribute to Arlington being a world class sustainable
urban community: The Rosslyn Business
Improvement Service District (BID), and the Arlington Conference Center. These two initiatives do not utilize general
funds but are reliant on the creation of a special assessment district in
Rosslyn and increases in the transient occupancy tax. These two high-priority strategic initiatives will enhance the
economic sustainability and vitality of the County.
Rosslyn Business Improvement Service District (BID): In December 2002, the County Board exercised
its authority to establish service districts by designating the Rosslyn Metro
Station area as such a district. By
definition, service districts are eligible to receive "additional, more complete
or more timely services of government than are desired in the locality as a
whole." The goal of creating such
districts is to stimulate smart growth that will contribute to the economic
sustainability of the County. The
newly-established Rosslyn Business Improvement Service District is located in
an approximate 17 block area of the Rosslyn Metro Station. The creation of the Business Improvement Service District in Rosslyn
legitimized the establishment of a 501 (c) 6 corporation (known as
the Rosslyn Business Improvement Corporation) to oversee and manage a service
plan as a contractor for the County.
A proposed supplemental tax of $0.048 per $100 of assessed value of
taxable real estate is recommended to fund services in the Rosslyn BID area
that include but are not limited to:
1) beautification, cleaning and maintenance; 2) community
activities and events; 3) transportation, parking, pedestrian and safety
programs; 4) marketing and promotion; and 5) social programs. The additional tax revenue will fully fund
the BID services.
Arlington Conference
Center: In 1998, the Economic
Development Commission approached the County Board on the merits of
constructing a conference center in Arlington.
The conference center would draw local, national and international
business to Arlington as a conference site that could provide a high-tech
facility for meetings, conventions and other gatherings. Dialogue between the County and the Economic
Development Commission has continued over the past five years. Numerous studies on market conditions, physical
components of the center, costs and financing strategies have concluded the
economic feasibility of pursuing the venture within Arlington. Since that determination, further site
studies have concluded that there are three desirable sites within Arlington. The additional revenues generated by a 2
percent increase in the County's transient occupancy tax (from 5.25 percent to 7.25 percent) will
fund the initiative.
Performance Measures
|
Performance Measure
|
FY 2001
|
FY 2002
|
FY 2003
|
FY 2004
|
Analysis
|
|
At Place Employment
|
203,060
|
204,920
|
206,200
|
207,900
|
An additional 1,020 jobs will be created as a result of
operation of Conference Center (FY 2008)*
|
|
Increased other local tax revenues, including transient
occupancy tax
|
$67.7M
|
$63.0M
|
$64.1M
|
$67.2M
|
Additional County local tax revenues of $2.6 million are
estimated as a result of Conference Center (FY 2008)*
|
Funding Information
|
FTEs
|
Year 1 Costs
|
Year 2 Costs
|
|
Rosslyn Business Improvement Service
District (BID)
|
|
$ 950,000*
|
$ 950,000*
|
|
Arlington Conference Center
|
|
$1,653,475
|
$4,755,687
|
|
TOTAL STRATEGIC
INITIATIVE
|
|
$2,603,475*
|
$5,705,687*
|
-
NOTE: As of January
29, 2003, the final agreement between Arlington County and the Rosslyn Business
Improvement Corporation (RBIC) had not been finalized. The information presented in this Strategic
Initiative is based on estimates and assumptions that have not yet been
finalized at the time the FY 2004 Proposed Budget document was
prepared. Upon completion of the final
agreement between the County and RBIC, the estimates will be further refined.
