BIAs becoming more of a political force, say directors
Ottawa is home to 12 BIAs, with another in the works, and there are approximately 240 across Ontario. Each group has individual goals and mandates, allowing the area's business owners to create an organization that is tailored to their needs. "Essentially BIAs from the inception were really a mechanism to bring about physical improvements," says Gerry LePage, executive director of the Bank Street Promenade BIA, which started in 1977 and is the oldest in the city. "The organization has evolved since then where we still look at physical elements, along with promotion and marketing for a geographic and trade area, but now advocacy is our major role." The first BIA in Ontario was created in 1970 at the request of Bloor West Village merchants in west Toronto because local businesses were struggling. BIAs across the province are involved in marketing, business recruitment, streetscape improvement, seasonal decoration and special events. Each BIA is formed by an association of businesses within a specific area who join together, with city hall approval, in a self-help program aimed at simulating economic activity. The BIAs are funded through a special levy to the property taxes paid by every property owner designated as industrial or commercial within its boundaries. Mr. LePage says the change in the role of the BIA overall has occurred because small businesses are so over-burdened by regulations, detrimental policies and red tape. "The advocacy we do primarily for our particular BIA (on Bank Street) is for economic development because that allows us to have a sustainable trade area, which is what it's really all about," he says. "However, our successes are usually measured incrementally and not by quantum leaps for business." Ottawa's BIAs have banned together in recent years when certain issues have had negative affects on the business community, such as when city hall gave only 30 days notice of a garbage service cut in 2004. Mr. LePage says the BIAs had to scramble to make an advantageous deal with an independent supplier for all of their members. "One of the major criticisms from the business community in Ottawa is that government hasn't been exceptionally friendly or responsive to business interests and consequently it makes our role even more important," he says, adding that he doesn't foresee any big changes happening with the upcoming municipal election. "I don't think there will be a huge change with (city) council and I don't think the direction of council will alter significantly." This perceived disconnect between city hall and the business community has given BIAs a vital role, says Christine Leadman, executive director of the Westboro Village BIA. She is also running for a seat on city council in the city's Kitchissippi ward. "BIAs have become very effective tools for the business community that they haven't had in the past, particularly with a council that hasn't been biz friendly," she says. "Those areas that don't have BIAs don't have the one central point of contact that is so needed. The Glebe and Elgin Street don't have a voice and that's unfortunate." Ms. Leadman says not every business owner sees the value of a BIA in their community because many see the BIA levy as just another payment. "Some people are still close-minded to it in terms of seeing it as a tax, instead of them investing in the betterment of a whole area and providing them with the kind of support they need," she says. "When someone is having trouble dealing with the city, without a BIA they don't have anyone to go to other than their councillor and that can depend on your relationship with that councillor." The city's BIAs are often perceived as the first-stop for business queries, says Peggy DuCharme, executive director of the Downtown Rideau Street BIA. "We're becoming much more a pivotal part of the community, especially as awareness rises," she says. "People call us first, sometimes more often than they would call the municipality when they are trying to find out an answer to a business question." Ms. DuCharme is also the president of Ontario Business Improvement Area Association. Last month, Ottawa was the site of its annual conference. Representatives from BIAs and municipalities from around the province gathered at the Chateau Laurier for four days to talk about the trends and issues facing BIAs. "I lobbied hard to bring it to Ottawa because I knew our local municipal staff hadn't been able to attend the conference or professional development courses in years." Ms. DuCharme says BIAs have been struggling with a lack of awareness regarding their value, but the province of Ontario has started to promote the programs. In Toronto, a BIA association has been formed. "It was a successful event because we did have a lot of senior management from the city come to the conference and now we have a meeting arranged by the city's planning department," she says. "They were very enthused by what they learned and we're going to meet soon to discuss a number of ideas and initiatives they would like to pursue in support of BIAs in Ottawa." Mr. LePage points out that the city's BIAs are becoming an important entity because they will soon represent more than 3,000 businesses in Ottawa. By comparison, the Ottawa Chamber of Commerce only has about 750 members. "I think BIAs need to consolidate our power because 3,000 businesses is a sizable chunk of assessment for the city and then we'll be an even more of an effective voice," he says. |
(Mon, Apr
24, 2006 by Kristin Harold, Ottawa Business Journal ) --
The value of a business improvement area (BIA) can't be
underestimated as a tool to encourage development and
help businesses adapt to shifting economic and political
trends, say the directors of the city's oldest BIAs.