Assessment Rate and Costs
The BID operating budget is distributed on a cost allocation basis to a database that contains assessed valuations for all assessable properties in the proposed LV Arts District BID area. The following table demonstrates the rates different property owners within the BID will pay into the district:

‍ ‍Commercial Property Owners, Apartment Building Owners, Non-Profit Owners, Governmental Owners
‍ ‍All commercial, apartment building, non-profit property owners and governmental owners will pay 6.5 mills based upon the assessed value of the
property (or $6.50 per $1,000 of assessed value of the property).

‍ ‍Residential Condo/Household Property Owners
‍ ‍All residential condo/household property owners will pay 3.25 mills based upon the assessed value of the property (or $3.25 or $1,000 of assessed value
of the property).

These rates will be capped as the maximum mill levy rate during the life of the BID. They may never increase above this rate, but may be decreased and subsequently increased by vote of the Board of Directors during the annual budgeting cycle so long as the rate never exceeds what is shown in the table above. The BID assessment roll will be updated annually to incorporate new values and new development that comes online.

Value Cap
A value cap for individual parcels will be set at $5 million of assessed value. This is to ensure that no individual parcel ever contributes a disproportionate amount towards the total BID budget. The value cap will be applied to individual parcels, not to collective ownership. Any parcel exceeding $5 million of assessed value will only pay an assessment on the assessed value of that parcel up to $5 million. Any assessed value beyond $5 million will not have the BID mill levy applied to it.

Additional Assessment for Underutilized Properties
At the lower end of the valuation spectrum, vacant and underutilized parcels are assessed using a minimum utilization standard. Underutilized parcels often have relatively low assessed value today but are expected to receive economic benefits consistent with their fully developed potential over time. In addition, these parcels frequently require greater levels of cleaning, security, and maintenance services in their current underutilized state.

To address both the long-term benefit and current service demands, underutilized parcels are assessed at a level equivalent to the fee that would be applied if the parcel were developed at the minimum improvement-to-land value ratio required to be classified as utilized. This creates a proportional “floor” that ensures underutilized parcels contribute an equitable share while maintaining consistency with the overall assessment structure. The following chart demonstrates the assessment structure for underutilized properties:

‍ ‍Underutilized Commercial Properties
‍ ‍12.025 mills based upon the assessed value of the land ONLY

‍ ‍Underutilized Residential Properties
‍ ‍4.875 mills based upon the assessed value of the land ONLY

Estimated Operating Budget
The total assessment amount for FY2026/2027 is $1,796,119.95. Additional revenues from City partnerships and other fundraising are estimates that bring the total operating budget to approximately $2 million. The estimated Year 1 BID Operating Budget is detailed below: