Many San Diego County BIDs are considering formation using funds generated through an increase in the property tax, similar to an assessment district. Until two years ago, California did not have the enabling legislation to provide for this type of funding of BIDs and their programs. San Diego's BIDs have primarily used the business-license tax as a major source of funding with some additional funding being generated through events and activities as well as through block grants and other public funding. The state constitution amendment requires voter approval to levy or raise a variety of local taxes. BID lines may need to be redrawn, fees reassessed or a vote taken.
BIDs provide a much-needed opportunity for the small business owner.
Working with the city or a redevelopment agency, these districts are able to revitalize their immediate area, local economy and community identity.