Special Improvement DistrictFrequently Asked Questions
DOWNTOWN NEWARK SPECIAL IMPROVEMENT DISTRICT (SID)
Under an agreement, the Newark Development Partners (NDP) administers the services plan for the Downtown Newark Special Improvement District (SID).
The SID is a private, not-for profit organization through which property owners assess themselves to provide funding for district-wide parking enforcement program, business resources, physical environment enhancement services, safety, marketing and promotion, as well as special project services.
WHAT IS A SPECIAL IMPROVEMENT DISTRICT?
A Special Improvement District (SID) is a private, not-for-profit organization established under state law. A SID is a mechanism through which downtown property owners assess themselves to provide funding for extended services aimed at the economic enhancement of the area. The need for such services has arisen as traditional U.S. cities have faced competition from shopping malls, out-of-town business/shopping centers and other new business districts. The experience of more than 1,000 existing SIDs throughout the United States has demonstrated the effectiveness of this mechanism in addressing the present economic and social challenges of urban development.
WHO MANAGES THE SID?
To maximize accountability to ratepayers, the SID operating plan provides criteria for a SID board of directors (link to exofficio under board of directors) that will consist of property and business owners representing different geographic areas, property and business types from the district. The five-member board includes three property owners and two city representatives (one designated by the mayor, and one designated by city council). The board is determined by an election of the members. The SID awarded a contract to the Newark Development Partners (NDP), to fulfill the services plan. Additionally, NDP has a board of directors that is established to monitor NDP’s Executive Director daily operations of the organization.
WHAT PROPERTIES ARE INCLUDED?
Assessments are levied and all the services will be provided within the approved borders of the SID. See SID map for boundaries.
WHAT KINDS OF PROGRAMS DOES SID FUND?
Improvement programs and services funded by the SID have been developed and provided according to the SID Services Plan approved by the board of trustees. The services plan is designed to effectively meet the unique improvement needs of Downtown Newark and the surrounding area.
ISN’T THAT WHAT MY PROPERTY TAXES ARE ALREADY PAYING FOR?
No. SIDs are designed to boost and reinforce economic enhancement of downtown areas by providing a range of focused services customized to local needs in addition to standard municipal services. No municipal services are replaced. SID dollars are used to enhance existing services or create new ones.
WHAT IS THE RETURN ON THIS INVESTMENT?
The returns on this investment are high. Through the SID, the Downtown Newark Special Improvement District concentrates on long-term development, as well as short-term goals.
Among other results of the SID improvement activities, property owners will see:
- Parking Enforcement in the Downtown Business District
- A safe, clean and secure downtown environment
- Increased property values
- Increased occupancy rates in downtown buildings
- Working with other Downtown Groups to coordinate marketing programs
- Larger downtown employee base—more customers
- A consistent and positive image of downtown
- An organization in place to concentrate on long-term development, as well as on short-term goals.