DATE:
May 2, 2023
TO:
Paul Buddenhagen, City Manager
FROM:
Lawrence Chiu, Finance Director
SUBJECT:
Resolution Of The City Council Of The City Of Emeryville Amending The City Of Emeryville Master Fee Schedule For Fiscal Year 2024 Recommendation
Staff recommends that the City Council hold a Public Hearing and thereafter approve the resolution updating the Master Fee Schedule effective July 1, 2023.
Background
The City of Emeryville charges fees for a variety of specific services offered by City departments. These fees are intended to recover the costs of services provided, to the extent possible. Services for which fees are charged are those performed by a governmental agency for the benefit of an individual community member or group. The costs of services benefiting individuals and not the community at large should be borne by the individuals receiving the service. The City may only set fees at a level to recover the full cost of providing the service and may not make a “profit” on fees. However, in certain circumstances for policy reasons, it is reasonable to set fees at a level that does not recover the full cost of the service, thereby resulting in a General Fund subsidy.
The last comprehensive fee analysis for Emeryville was conducted in Fiscal Year 2015-16 by NBS and adopted by the City Council on July 19, 2016. The Master Fee Schedule attached to the proposed resolution has been updated with the San Francisco Bay Area Consumer Price Index (CPI), or, in certain cases as mandated by the Municipal Code, the Engineering News Record Construction Cost Index for San Francisco.
DISCUSSION
The Master Fee Schedule attached to the proposed resolution identifies fee changes and additions proposed by City departments. The tables contain a description of the fee, the current level of the fee and the proposed change. Primarily the proposed changes reflect adjustments of 5.3% as measured by the average change in the San Francisco Bay Area Consumer Price Index from February 2022 to February 2023.
Proposed increases for fees in the City Manager & City Clerk, Fire, Economic Development & Housing Departments and Child Development were based on the annual CPI changes. Other new or significantly revised updates are detailed by department below.
The proposed changes will take effect on July 1, 2023 if approved by the City Council. Please note that Government Code Section 66017(a) provides that new or increased fees relating to the filing, accepting, reviewing, approving or issuing of an application, permit, or entitlement of a development project shall become effective 60 days after adoption of the new fee or increase.
Highlights of Proposed Changes
Building Division
Sewer Connection Fees
The sewer connection fee is a one-time fee that is paid to the City when a property owner/developer pulls a building permit that includes new connections to the Sanitary Sewer collection system. The fee is used to make capital improvements to the sewer collection system. Section 7-8.306 of Chapter 8 of Title 7 of the Emeryville Municipal Code provides that the rate “shall be adjusted annually on July 1 by resolution of the City Council to reflect the change in the Engineering News Record (ENR) Construction Cost Index during the preceding twelve (12) months. The March ENR Construction Cost Index value shall be used as the basis of adjustment.” Sewer Connection Fees have been updated per EMC Section 7-8.306, "Amount of Charge", this is to be based on the change in the Engineering News Record (ENR) Construction Cost Index for March 2022 - March 2023, which is 1.56%.
Planning Division
In February 2023, the City Council passed an ordinance repealing the Bay Shellmound Assessment District because the bonds have all been paid off. West Emeryville and East BayBridge Assessment District bonds have also been paid off. The Assessment District Apportionment fees can now be removed from the Master Fee Schedule.
Staff proposes to update the Alameda County filing fees for environmental documents. These fees, set by the State Department of Fish & Game, increase every year on January 1st. The fees shown are as of January 1, 2023. They will go up again on January 1, 2024.
Finance Department
On March 2, 2023, City Hall began accepting credit and debit card payments, both in-person and online. A non-refundable 2.5% service fee is added to the payment transaction to offset banking fees.
Police Department
Although the designation for false alarms has been on the Master Fee Schedule since 2020, the Police Department has not charged residents or business owners for false alarms activations. Over the past three years the Police Department has conducted education with city residents and businesses by way of false alarm letters being mailed out when there are over three false activations within 120 days. The Police Department is proposing fees now be assessed to false alarm activations at the rate of $75 for the third false alarm activation within 120 days. At the fourth and subsequent activations within 120 days, the assessed fee would be $100. The fees will cover police administrative costs and responding officer’s time responding to habitual false alarm calls for service.
Public Works
Staff is proposing the Dockless Mobility System fees be set to the initial cost from the 2019 Master Fee (Ord.19-005). These fees are designed in large part to comport with fees in our neighboring jurisdictions, which are not increasing.
Public Works is proposing to revise the prior color curb application fees and installation fees to one flat rate fee for all applications (for yellow, red, green, white zones) except for blue zones.
Community Services Department
In general, community service programs are subsidized by the General Fund. It has been the City’s longstanding policy to keep the fees low to ensure programs are affordable to residents and non-residents. Community Services Department fees have been adjusted to reflect the CPI increase.
Community Services Division
Staff is proposing Facilities Rentals (except Park, Athletic Field and Pool) Cleaning and Setup flat fee change to a fee range to cover all the different sizes of the various rooms for rent. This fee range would also apply to the Senior Center Cleaning and Setup fee. Eliminating the Bridgecourt Room rental fees, as this space is no longer available to rent.
Youth Services Division
The Middle School Afterschool Program fees increased to reflect additional use of the Teen Center and cover added staff hours. New fee added for the High School Afterschool program.
Adult Services Division
Adding an Annual Pass to the ECCL Fitness Passport set of fees. This fee is based on 80% of full year use.
Fiscal Impact
The recommended actions will provide the City an opportunity to recover costs for providing services.
ADVISORY BODY REVIEW
The proposed Master Fee Schedule was reviewed by the Budget & Governance and Budget Advisory Committees on April 25th and 27th respectively.
Conclusion
Staff recommends that the City Council approve the proposed revisions to the Master Fee Schedule for FY2024.
PREPARED BY: Andrea Arriaga, Accounting Technician
REVIEWED BY: Lawrence Chiu, Finance Director
Approved and Forwarded to the
City Council of the City of Emeryville:
Paul Buddenhagen, City Manager
Attachments
Draft Master Fee Schedule (Redline)
Draft Resolution
Exhibit A – FY 2023-24 Proposed Master Fee Schedule (Clean) Master Fee Schedule FY 2024
City Council Meeting | May 2, 2023
City of Emeryville
CALIFORNIA
MEMORANDUM