20-19 DWOA 2019 BUDGET NARRATIVE.pdf

1 Downtown WO Alliance 2019 Budget Narrative Revenue This year’s budget totals $238,000 and provides for an efficient and effective year full of planning, promotion and organization. The revenue contained in this budget is derived from a combination of Special Improvement Assessments, Township of West Orange Contributions, Fundraising Efforts and Surplus from the 2018. The assessment portion of this budget totals $101,000.001 utilizing a 3- tier system as sanctioned by ordinance2. The tiers are based on the type and location of the commercial properties located in the downtown corridor. There is a total of 180 properties3 that provide commercial space for over 300 businesses. These businesses consist of Restaurants, Retail Stores, Personal and Professional Services companies. This year’s income is broken out into the following categories; Township contribution of Cash and In-Kind4 Services, Fundraising efforts generated from the Mayors 5K Run (5K), Street Fair (SF) & Interest income and Surplus5. Assessment Income $ 101,000.00 Township Contribution Cash $ 40,809.00 Township Contribution In-Kind $ 28,000.00 Prior Year Surplus $ 20,000.00 Fundraising Efforts SF, 5K & others $ 48,091.00 Interest Income $ 100.00 TOTAL 0 $238,000.00 Expenses 1. Total Administration & Office Operations Expenses relating to the Township’s contribution include; rent, utilities, telephone, postage, printing, supplies and monetary contribution towards the overall budget. The Special Improvement District (SID) office is located in Township Hall. Cash Contribution $40,809.00 In-Kind office expenses $28,000.00 Total Twp Contribution $68,809.00 Total Administration & Office Operations $ 103,440.00. 1 Estimated assessment amount as of December 2018 2 Ordinance # 1534-98 3 Block & Lots adjustments 4 In-kind = $28,000 for office space and supplies 5 Surplus = Estimated funds remaining at the end of 2018

2 The administrative and office operation line item includes $28,000 of In-Kind expenses received from the Township. The other expenses relating to Administration and Office Operations include Executive Director salary, payroll fees and taxes, office equipment and supplies. We have continued to utilize the software program; Member 365 (M365) which is a sophisticated membership management tool. The streamlining benefit of M365 cannot be overemphasized and has provided a better organizational tool for managing the database of business and property owners. Administrative Expense Executive Director $ 45,000.00 Employee Taxes (estimated) $ 15,000.00 Payroll Fees & Employer Taxes $ 6,300.00 Intern Staff $ 2,000.00 Sub-Total Admin Expense $ 68,300.00 Office Expenses Directors Cell Phone $ 500.00 Annual Report fees $ 100.00 Office Equipment & Software $ 2,740.00 Printing (Letterhead & Brochures) $ 500.00 Supplies & Board Mtg Exp $ 3,300.00 Sub-Total Office Expenses $ 7,140.00 In-kind $ 28,000.00 Total Administrative & Office $103,440.00 2. Economic Revitalization (ER) $3,000.00 Monies budgeted for ER will continue to provide for business retention and recruitment. This year the ER team will take a more personal approach to meeting with our stakeholders. The team has identified key property owners and locations within the SID Corridor and will concentrate efforts on creating more retail ready store fronts and properties. The ER Team will continue to create an environment for recruiting and retaining business within the downtown corridor. 3. Professional Services & Insurance $5,000.00 The Downtown WO Alliance will distribute funds for Professional Services that include; Directors & Officers Insurance, Worker’s Compensation Insurance, Accounting Services for total budgeted amount of $5,000.00. D&O Insurance $ 1,500.00 Worker’s Compensation $ 500.00 Accounting $ 3,000.00 Total $ 5,000.00

3 4. Marketing & Promotions $57,460.00 This budget amount has been decreased from last year. The Alliance will continue to support the production of Discovery WO - the TV show and our engagement with Joe Fagan, Township Historian. We will continue to manage several promotional events and fundraisers. These include but not limited to West Orange Street Fair, West Orange Idol, Downtown Thursday events, a Harvest concert and the annual Holiday Open. The remaining monies in this category will support The Mayors 5K and other special events with the goal of bringing people into the downtown corridor. Below please find a breakdown of these expenses. Joseph Fagan $ 18,000.00 TV Show Production $ 1,500.00 Downtown Holiday Open House $ 5,750.00 Edison Day Street Festival $ 10,000.00 Social Media & Newsletter $ 6,000.00 Website Branding Design & M365 $ 3,550.00 Print Media $ 500.00 Shop WO Card $ 2,350.00 Other Promotion $ 9,810.00 Total Marketing & Promotions $ 57,460.00 5. Organization $6,600.00 The Organization category provides for the basic structure for the Alliance and allows for the many committees to work together. This line item allows the DWOA to promote our programs as well as the creation for sponsorship opportunities. It is important for the Alliance to have positive relationships with local organizations and groups such as The Chamber of Commerce, Friends of Edison, Friends of the Public Library, Public Relations Commission, the Rotary Club and many others. It is a goal of the Alliance to attend meetings and continue to be a working partner with other organizations. In addition, the Alliance will participate in all training and resources the National Main Street organization has to offer and continue the next phase of our strategic plan. Community Events- OSPAC, WOCC $ 100.00 Dues & Subscriptions $ 1,000.00 Main St. NJ -National Conference $ 5,000.00 Trade Shows/Seminars $ 500.00 Total Organization $ 6,600.00

4 6. Visual Improvement $62,500.00 This line item remains unchanged from last year. We have dedicated a lot of resources to the design committee in 2018. The chairman of this committee have been actively engaging the public in conversations about design downtown and improvement. The recently adopted downtown design guideline have proven to be a great asset to the stake holders as they undertake creating better buildings and store fronts. The design team comprised of residents and business owners are meeting on a regular basis to create programs that support visual improvements downtown. This line item will fund more way finding signs, the holiday decorations and the façade grant reimbursement programs. The DWOA continues to support maintenance and clean- up of the downtown corridor. Landscaping and beautification of the planters continue to be a priority for the downtown alliance. Specific support for this category is as follows; Banners $ 2,500.00 Design Improvements $ 3,000.00 Capital Expense & Signage $ 3,000.00 Façade Grant Program $ 20,000.00 Holiday Decorations $ 9,000.00 Landscaping/Streetscape $ 15,000.00 Maintenance Worker/Supplies $ 10,000.00 TOTAL $62,500.00 In summary The Downtown Alliance board is committed to promoting and supporting the business’ and property owners along the Main Street Corridor. We will remain steadfast in evaluating every program we support and each dime we spend to assure there’s a benefit to our business and property owners as well as for our community. Allocation Summary Revenue Assessment Income $ 101,000.00 Township Contribution - Cash $ 40,809.00 Township Contribution – In Kind $ 28,000.00 Prior Year Surplus $ 20,000.00 Fundraising Effort SF, 5K & others $ 48,091.00 Interest Income $ 100.00 TOTAL Revenue $ 238,000.00

5 EXPENSES 1. Admin & Office Operations $ 103,440.00 2. Economic Development $ 3,000.00 3. Ins. & Professional Services $ 5,000.00 4. Marketing & Promotion $ 57,460.00 5. Organization $ 6,600.00 6. Visual Improvement $ 62,500.00 Total Expenses $ 235,000.00 In-Kind office Operations ($ 28,000.00) TOTAL Budget $ 210,000.00 In Summary, this year’s total proposed cash budget is $210,000.00. I respectfully request that your vote yes on this year’s budget. Thank you for your time and attention to this matter.