Abstract
Commercial district organizations have been established to enhance public services, area appearance, security and economic viability. The research reported here examines two common models of commercial business district organizations, Downtown Development Authorities (DDAs) in Michigan and Business Improvement Areas (BIAs) in Canada. DDAs and BIAs typically have similar operational profiles, including marketing campaigns, events to bring customers to the area, beautification projects and member services. There are important differences, however. Business development activities are a higher priority among BIAs while capital improvements are the highest priority for DDAs. A mature DDA may face the “problem” of determining how the available funds should be spent; BIAs must find funds for the projects that they wish to undertake.
Highlights
Across North America, cities large and small face financial problems that range from serious to crisis, from short term to chronic
This research is based on a survey of Downtown Development Authorities in Michigan and Business Improvement Areas across Canada
Many of the observed differences between Business Improvement Associations and Downtown Development Authorities are related to their governance structures and their primary funding sources
Summary
Across North America, cities large and small face financial problems that range from serious to crisis, from short term to chronic. Business districts have created mechanisms to enhance public service levels related to area appearance, security and economic viability. Recent research on commercial districts has focused on three major themes: theoretical works discussing the implications and nature of the district organization as a public-private partnership; enumeration of the activities and services of business district associations; and, assessments of their efficiency and effectiveness (Stokes, 2007). Research on commercial district organizations (CDOs) has tended to be static and cross-sectional; the current literature does not address the key criterion of economic restructuring, let alone potential changes in district organizational structure, financing, and activities in the wake of increasing economic stress in cities and to their constituent business base. Have CDOs responded effectively to contextual changes and new economic realities?
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