HomeMy WebLinkAbout101-Fee Update Report.pdfSARATOGA CITY COUNCIL
MEETING DATE: April 7, 2010 AGENDA ITEM:
DEPARTMENT: Finance & Admin Services CITY MANAGER: Dave Anderson
PREPARED BY: Mary Furey DIRECTOR: Mary Furey
SUBJECT: Proposed Fee Schedule Update for FY 2010/11
RECOMMENDED ACTION:
Hold public hearing to review recommendations for proposed fee changes, provide direction, and
approve resolution amending the City’s Fee Schedule effective for Fiscal Year 2010/11.
REPORT SUMMARY:
The City Council annually holds a public hearing to review recommendations and provide the community
an opportunity for input on proposed changes to the City’s Fee Schedule per California Government
Code Section 66018:
Prior to adopting an ordinance, resolution, or other legislative enactment adopting a
new fee or approving an increase in an existing fee to which this section applies, a local
agency shall hold a public hearing, at which oral or written presentations can be made,
as part of a regularly scheduled meeting.
After holding the public hearing the Council will consider adopting a resolution which approves changes
to the FY 2010/11 Fee Schedule. Upon Council approval of the proposed fee schedule and adoption of
the “Resolution of the City Council of the City of Saratoga Establishing a Schedule of Fees”, staff will
publish the FY 2010/11 Fee Schedule to be effective July 1, 2010.
Each year, fee adjustment recommendations result from staff’s review of current fees, and from new or
amended services. Proposed fee updates are based on a combination of factors, including the actual costs
to provide a service or use, and on similar fees charged in comparable local cities. This year’s fee
schedule update is limited to the publication of the new Administrative Citation violation fee schedule to
become effective July 1, 2010, changing the false alarm fine schedule to be in alignment with the
County’s fine schedule, establishing fees for two new Community Development Department services,
and an increase in the Recreation and Facility Department’s rental processing fee.
Administrative Fees
Under the newly adopted Administrative Citations Ordinance, the Administrative Citation’s violation fee
schedule is to be set in a schedule of fines and adopted from time to time by resolution by the City
Council in accordance with State law. This Annual Fee Schedule Update serves as the Council’s vehicle
to adopt these fines though approval of the fee resolution each year. The administrative citation fee
schedule is recommended to be adopted at the maximum levels established in the ordinance, and applies
to any violation cited. The recommended fines are as follows:
1. A fine of $100 per day for the first violation;
2. A fine of $200 per day for the second violation of the same ordinance or permit within one year
from the date of the first violation, and;
3. A fine of $500 per day for each additional violation of the same ordinance or permit within one
year from the date of the first violation.
The ordinance states that separate fines shall apply for each separate violation, however in the event that
multiple violations are found to occur as a result of an investigation, each such violation listed in the first
citation following the investigation shall be considered a “first violation”.
The ordinance also states the schedule of fines shall specify the amount of late payment penalty owed for
any fine not paid when due. Staff recommends establishing a late payment penalty consistent with the
Business License Tax delinquent penalty schedule as Administrative Citations are analogous in that they
are issued as a direct result of violating a city ordinance and the late penalty is an additional enforcement
measure, not a simple late payment charge on an invoice/billing matter. Therefore, the recommended
Administrative Citation late penalty payment schedule is:
Within 30 days after due date: 10% of the penalty due
Exceeding 30 days after due date: Additional 10% of penalty due for each month
thereafter, with penalty not to exceed 100% of the
penalty due.
While the City’s Administrative Citation Ordinance provides for fines to be established in the annual fee
schedule, the 1998 municipal code ordinance that prohibits false alarms (Article 6-10) embedded a fine
schedule within the city ordinance. Code Compliance staff will bring an ordinance amendment to
Council before the end of this fiscal year to remove the embedded fine schedule, and provide language
that fines are set by resolution in the annual fee schedule.
The City’s False Alarm Fines are set by ordinance at:
• 1st and 2nd false alarms within a calendar year are not charged
• 3rd false alarm within a calendar year is $75
• 4th false alarm within a calendar year is $100
• 5th false alarm within a calendar year is $200
• 6th and subsequent false alarm within a calendar year is $250
With Council approval, and contingent upon Council’s adoption of the false alarm ordinance amendment,
staff is recommending False Alarm Fines be adopted by resolution to be in alignment with Santa Clara
County’s fine schedule. The County’s rates quickly intensify a resident or business’ accountability for
false alarm calls, thereby reducing unnecessary response calls from the Sheriff’s Department.
The County’s current fine schedule is as follows:
• 1st false alarm within a calendar year is not charged
• 2nd false alarm within a calendar year is $100
• 3rd and subsequent false alarm response within a calendar year increases by an additional $100
for each subsequent call
Development Fees
The Community Development Department is recommending two additional fees for new development
services established over the last fiscal year:
With council’s approval to expedite the Conditional Use Permit (CUP) review process for uses in
commercial districts which do not exceed 4,000 square feet, and for the installation or replacement of a
generator in any A, R-1, HR, R-OS, or commercial district, the Administrative CUP was established.
Within these project limitations, staff may review an applicant’s proposed use, thereby reducing the
process time required with bringing a Conditional Use Permit item to the Planning Commission for
decision. Staff recommends establishing the Conditional Use Permit – Administrative Review fee at
$3,400 in alignment with the Administrative Review Fee for a design application. The Conditional Use
Permit – Planning Commission Review Fee is currently set at $4,400.
The second new development fee was established with Council’s approval to create an exception process
that would allow the Planning Commission to approve variations from the site coverage standards upon
making specific findings. Staff anticipates the time required to prepare the Site Coverage Exception
Application for Planning Commission review will be comparable to other specific exception reviews
such as Fence Exception or Grading Exception, and is therefore recommending the new fee be set at the
same amount of $1,800.
Facility Rental Fees
Staff time incurred on renting facilities to the community is recouped in part through a Facilities Rental
Processing Fee. The current non-refundable fee of $25 has been in place for a number of years, however
staff recommends increasing the fee to $35 to more fully compensate the city for staff time incurred on
the rental process.
The fee equates to roughly ½ hour of combined staff time for both Facility Rental staff and Finance staff
at the City’s staff billing rate. The rental process involves walking the renter through facility availability
and booking, explaining the rules and requirements of facility rentals, the collection and processing of
the rental receipt, and the subsequent close out of the facility rental with the processing of the rental
deposit return and assessment of overage or damage charges if applicable. The processing fee is non-
refundable as staff costs are still incurred even if the rental is cancelled. Facility usage costs, attendant
time, and janitorial services are accounted for through the rental fee and are refundable if cancelled.
FISCAL IMPACTS
Staff reviewed current fees and associated expenditures, and concluded that the proposed revisions to the
Fee Schedule are necessary for the City to maintain its approach toward a cost recovery position for the
provided development and facility rental services, and the Administrative Citation and False Alarm fine
schedules would be in compliance with newly adopted ordinances. Additionally, the Staff Billing Rate
Schedule is updated each year in conjunction with increases in labor and benefit costs.
The recommended fee increases are directly related to costs that either support related functions; reflect
an assessment of the time spent providing the service, or fines for violation of city ordinances. Staff has
maintained proper documentations to support and justify the proposed new fees.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION
The City would not establish: the fee schedule for the administrative citations; changes to the false alarm
fine schedule; fees for two new development services; or increase the Rental Processing Fee.
ALTERNATIVE ACTION
N/A
FOLLOW UP ACTION
Staff will update the current Fee Schedule for FY 2010/11, to be effective July 1st, 2010.
ADVERTISING, NOTICING AND PUBLIC CONTACT
March 23, 2010 – Notice of Public Hearing Published
April 7, 2010 – Council to hold a Public Hearing and consider adoption of the Fee Schedule Resolution
July 1, 2010 – Effective date for the FY 2010/11 Fee Schedule
ATTACHMENTS
1. Proposed FY 2010/11 Fee Schedule Resolution
2. Proposed FY 2010/11 Fee Schedule
RESOLUTION NO.2010-
RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF SARATOGA ESTABLISHING A SCHEDULE OF FEES
WHEREAS, the City Council annually adopts a resolution that establishes the fee schedule for
the ensuing fiscal year,
NOW, THEREFORE, the City Council of the City of Saratoga hereby resolves as follows:
Section 1: The fees set forth in the Annual Fee Schedule are hereby established pursuant to the
Saratoga City Code and shall be paid to or collected by the City for each of the applications, permits,
extensions, renewals, services or other matters enumerated therein. No application shall be deemed filed
or complete until all required fees have been paid in full to the City.
Section 2: Resolution Number 2009-019 and all amendments thereto are hereby repealed in their
entirety, it being the intent of the City Council that the fee schedule adopted by this resolution shall
supersede all prior schedules pertaining to the same subject matter.
Section 3: This resolution shall become effective on July 1, 2010, and shall be applicable to all
fees and deposits which are payable to the City from and after the effective date hereof.
The above and foregoing resolution was passed and adopted at a regular meeting of the Saratoga
City Council held on the 7th day of April, 2010, by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Kathleen King, Mayor
Attest
Ann Sullivan, City Clerk