BID Association co-chair Jeffrey LeFrancois testifies on permitting failures
Jeffrey LeFrancois represents 78 business improvement districts and says the World Cup boosted foot traffic and spending. He says many BIDs faced severe SAPO permitting obstacles, late approvals, and lost commercial activations to other host cities, and recommends streamlining permits and engaging BIDs early.
Good afternoon, Chair Maloney, Chair Thomas Henry.
Great to see you both again.
My name is Jeffrey LaFrancois, president of the Meatpacking District Bid and co-chair of the New York City Bid Association, representing 78 business improvement districts across all five boroughs.
Thanks for the opportunity to testify today.
The World Cup was a success, as we have heard.
It brought an influx of international visitors, domestic too, generated widespread media coverage, and boosted foot traffic and spending across commercial corridors from Harlem to Flushing and downtown Brooklyn to the South Bronx.
Given that tourism overall is down in New York City, this event came at a great time.
And let's not forget to thank the Knicks for truly making it a summer of sports as well.
Bids embraced the cup to showcase our diverse neighborhoods, encourage exploration beyond traditional tourist hubs, and demonstrate that New York is truly the world's city.
However, the citywide economic benefits could have been even broader.
And that's unfortunate because we had years to plan for this global event.
Many bids attempted to organize public watch parties, outdoor screenings, cultural festivals, and family programming to drive activity directly to local merchants.
Unfortunately, many organizations faced severe permitting obstacles through the Street Activity Permit Office, SAPO.
Permitting timelines were uncertain, and late approvals compromised planning, sponsorship, recruitment, marketing, and production.
Because many of these proposed activations were privately organized and funded, the city may...
missed an opportunity to maximize economic return for local small businesses.
The SAPO permitting process also lost the city money.
For bids that have plazas that support commercial activations, there were several instances where large-scale commercial activations chose to take their money to another host city because our city's unnecessarily slow permitting process.
In many cases, SAPO doesn't issue a permit until 24 hours before an event, which is no way to do business given the time and investment it takes to stand up a brand program or activation.
That poor process has cost the city and our communities a lot of money, money that went on to be spent elsewhere.
To ensure future global events deliver economic benefits across all five boroughs, the BID Association recommends the city do the following.
Update and streamline permitting for event-related neighborhood activations, especially for organizations who have existing contracts with the city.
Designate an interagency coordinator to help community organizations navigate approvals.
Engage bids early in the event planning process.
Support public viewing events and cultural programming that drive spending to local businesses.
And recognize neighborhood activations as highly cost-effective tools for economic development.
Major international events are major economic engines and should benefit every neighborhood.
By making it easier for bids to activate public spaces, the city can unlock additional economic activity, empower small businesses, create jobs, and ensure the success of future major host events, which
the city should certainly continue to pursue.
Business improvement districts stand ready to serve as key economic development partners in this effort.
Thank you.