ABSTRACT

This chapter provides an overview of the business improvement districts (BID) model, describing how BIDs are formed and funded, what they do, and how they are governed. It examines who BID officials are accountable to and for, identifying three categories of stakeholders impacted by BID activities—property and business owners, BID residents, and city residents—and arguing that BID accountability should be measured in relation to these groups. The chapter looks at the BID model and how it makes BID officials accountable. It addresses the general question of BID accountability, acknowledging that local variations in stakeholders and BID structures and explains more closely on a case-by-case basis. The BID model of sublocal governance is a unique mixture of public and private: public funds generated by district-only taxes are channeled into the hands of private entities that manage district affairs. While BID boards are largely controlled by representatives of owners, seats are apportioned among various classes of stakeholders.