DATE:
July 2, 2024
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 2025 Recommendation
Staff recommends that the City Council conduct a public hearing and adopt the attached resolution amending the City of Emeryville’s Master Fee Schedule for Fiscal Year 2025.
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. Fees are charged for services 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.
DISCUSSION
On May 7, 2024, a public hearing was held, and the City Council approved the Fiscal Year 2025 Master Fee Schedule (FY 2025 MFS) effective July 1, 2024. Since that time, the Finance Department has received several requests from City departments to add or amend existing fees in the FY 2025 MFS. Therefore, staff recommends the following changes to the FY 2025 MFS:
New Fee - Tobacco Retailer License Fees (FY 2025 MFS, page 8, Planning Section) On May 7, 2024, the City Council adopted the Tobacco Retailer License Requirements Ordinance. This ordinance requires all retailers of tobacco products, as defined by the ordinance, to obtain a license from the City annually. The proposed fees of $367 for the initial application and $267 for subsequent renewal applications are based on the estimated staff time required to review and issue these licenses and conduct compliance reviews of licensees, which includes staff from the Community Development, Police, and Finance Departments.
Amended Fee - Concealed Weapon Permit Fees (FY 2025 MFS, page 15, Police Department) Staff recommends lowering the Background Investigation and Application Review fee from $1,022 to $500. The reduced price is more aligned with the standard fees for similar services provided by other Alameda County law enforcement agencies.
Amended Fee - Dockless Mobility System and Vehicle Share Fees (FY 2025 MFS, page 18, Public Works Department) Dockless Shared Mobility Programs have been operating in the City successfully since 2021, and the City’s costs for implementing the programs have been lower than originally anticipated. As program elements have been negotiated and as the shared mobility sector has matured, system operators have streamlined the right-sized fleets and operational procedures, leading to lower oversight costs for the City. As a result, staff recommends that the Operator Permit Application Fee be reduced from $2,500 to $1,000. The Permit Issuance Fee of $5,000 annually would also be reduced to $2,500 annually.
The new and amended fees listed below would go into effect 60 days after the public hearing of July 2, 2024.
FISCAL IMPACT
The recommended changes will provide the City an opportunity to recover its costs for providing City services.
ADVISORY BODY REVIEW
The Master Fee Schedule was reviewed by the Budget & Governance and Budget Advisory Committees on April 29th and 30th respectively. There has been no communication with the budget committees on the amended Master Fee Schedule.
CONCLUSION
Staff recommends that the City Council conduct a public hearing and adopt the attached resolution amending the City of Emeryville’s Master Fee Schedule for Fiscal Year 2025.
PREPARED BY: Andrea Arriaga, Accountant
REVIEWED BY: Lawrence Chiu, Finance Director
Approved and Forwarded to the
City Council of the City of Emeryville:
Paul Buddenhagen, City Manager
Attachments
Draft Resolution
Draft Master Fee Schedule (Redline)
Exhibit A – Fiscal Year 2025 Amended Master Fee Schedule (Clean) Fiscal Year 2025 Amended Master Fee Schedule
City Council Meeting | July 2, 2024
City of Emeryville
CALIFORNIA
MEMORANDUM