After yet another push to get an Old Town Business Improvement District (BID) off the ground in Old Town failed, business advocacy group Old Town Business is shutting down.
Old Town Business was launched 40 years ago and helps to oversee advocacy, events and marketing for shops around Old Town. The group was one of the driving forces behind the latest in a series of efforts to launch a more formal, taxpayer-funded effort to take over for marketing and representing Old Town Businesses.
The plan to create a Business Improvement Service District (BISD) started last February but, despite a change to the voting requirement from City Council to make it easier for the plan to get the necessary support, the proposal still failed to meet the required support threshold.
A release from the organization said the decision to end Old Town Business was unanimously decided by the board of directors.
“This decision will have a regrettable impact on Old Town,” said Amy Rutherford, owner of Red Barn Mercantile, Penny Post, and Pippin Toy Co. and OTB chairwoman. “Old Town is integral to Alexandria’s success in a myriad of ways. It’s the heart of the city, home to city government and a magnet for 4 million tourists annually. Unfortunately supporting post-pandemic economic development for an entire community using only volunteer help and dues from a few dedicated members is not a viable solution nor an equitable one.”
The guidelines required 60% approval from commercial property owners — who would have an additional $0.10 service tax added to the real property tax, currently $1.11 per $100 of assessed value — before going to City Council. The proposal only received 34% support, even after the changed process excluded “no response” votes from the total.
The release about Old Town Business’ closure carried notes of bitterness about the BID/BISD’s failed vote. The release noted that “City Council can create a Business Improvement Service District without these obstacles. State law does not require approval by property owners.”
“More than half of commercial property owners didn’t care enough about Old Town’s future to even respond and the others see Alexandria as a small line item on a balance sheet,” Rutherford said. “We just didn’t matter to them. Hopefully, we still matter to our new mayor and city council members, because now the choice is theirs.”
