Downtown Huntington Beach group backs outside review of its business practices

Amid months of increased scrutiny, the Huntington Beach Downtown Business Improvement District board voted Thursday for an external review of the organization’s business practices.

The $15,000 review will be conducted by the International Downtown Assn., which provides studies and recommendations to business improvement districts worldwide.

The BID board had voted at its April 13 meeting to temporarily table the review so BID President Steve Daniel could try to renegotiate the cost. But the IDA denied that request.

A business improvement district is a public-private partnership that aims to revitalize a commercial area. Huntington Beach has three such districts, including the Auto Dealers BID and the Hotel/Motel BID.

The City Council requested that the Downtown BID hire the IDA to conduct an analysis of operations and provide advice on improvements following a separate financial review by the city Finance Commission.

The commission review was intended to address potential improper use of funds or assets, but it found no evidence of that.

At Thursday’s meeting, BID board members voted in favor of the new review, citing a need to improve the organization and instill public confidence in the group, though some were wary of the price tag and skeptical of the benefit.

Members Nicole Thompson and Keith Breiter said they hope the review doesn’t focus too much on the board rather than on how to go about improving downtown, which is the BID’s goal.

Daniel, who has supported the review since the council’s request, said after the meeting that it should be underway shortly.

benjamin.brazil@latimes.com

Twitter:@benbrazilpilot