There’s been a lot of news about Business Improvement Districts, or BIDs, throughout the city lately. RiNo renewed its BID for 10 years; Broadway is looking to create a General Improvement District; and the Downtown Denver BID is part of the efforts to revive 16th Street, including supporting the Summer Kickoff. So, what is a BID?
What is a BID?
A BID is a special taxing entity that can be formed by a petition of commercial property owners and the approval of City Council. A majority of the owners of commercial property in the designated area must petition for the BID.
Once formed, a BID can collect fees from businesses or ask voters to levy special taxes on consumers to fund improvements and services within the designated area in an effort to benefit the community. Some areas with BIDs include RiNo, Cherry Creek, Colfax, and Downtown.
BIDs are led by an elected board and executive director.
What does a BID do?
BIDs can use the funding they raise to pay for services like security, marketing, additional trash collection, snow removal, and event management. The funds can also pay for capital improvements like sidewalk enhancements, crosswalks, signs, and wayfinding.
The services and improvements are in addition to regular services and maintenance provided by the city.
BIDs vs. GIDs
In addition to BIDs, neighborhoods can implement General Improvement Districts (GIDs), which work similarly, but include residential property owners as well as commercial.
GIDs levy taxes on all property owners within the district to pay for local improvements — think the Ballpark Ambassadors, who pick up trash and deter crime.
Another example would be if a Broadway GID is formed, it could help finance the annual neighborhood Broadway Halloween Parade by covering parade barriers and event security.
Denver has 12 BIDs and 5 GIDs.
Correction: An earlier version of this article incorrectly identified the type of special district that the Broadway neighborhood is trying to implement. The Broadway area is hoping to create a General Improvement District. We apologize for the error.
