Date:
To:
Via:
From:
Subject:
March 5, 2024
Mayor and Members of the City Council
Stefan Chatwin, City Manager
Marlene Subhashini, Assistant City Manager
Derek Schweigart, Parks and Recreation Director
Tiffany Oren, Recreation Manager
Proposed changes to the Master Fees and Charges Schedule for FY 2024- 2025:
Parks and Recreation Department
RECOMMENDATION
It is recommended that the City Council provide policy direction regarding proposed changes to the Master Fee and Service Charges Schedule (MFS) pertaining to the Parks and Recreation (Department) for Fiscal Year (FY) 2024-2025 budget.
EXECUTIVE SUMMARY
Parks and Recreation fees and charges are a critical component in cost recovery for services in the Special Recreation Fund. The Department seeks to maintain competitive charges and fees for facilities, programs and services while achieving maximum cost re covery for the City. The following fee changes are recommended for FY 2024-2025:
1. Remove Recreation Center rooms due to building renovation.
2. Increase Community Center reservation rates by 5%.
3. Add temporary modular units to Facility reservations.
4. Modify Vibe reservation areas to expand rental options.
5. Material Based Fees: new items added.
6. Increase Park reservation rates by 5%.
7. Add reservation fees for basketball courts.
8. Add fees for Community Garden.
9. Round up current reservation fees to nearest whole dollar amount.
BACKGROUND
The Special Recreation Fund is a General Fund that is used to account for the expenses and revenue in the following program areas:
• Facility Operations (including rentals for facilities, parks, and sports fields) • Adult Sports
• Youth Camps
• Adult Contract Classes
• Special Events (City events like Summer Concerts and Fourth of July) • Youth Contract Classes
• Advertising
• Seniors/Volunteers
• Teen Programs
The Department’s fees and charges are a critical component in cost recovery for services in both the General Fund (Parks) and the Special Recreation Fund (Recreation).
The Department actively identifies programs that can be partially or completely self - supporting, and regularly reviews and adjusts program fees in accordance with market conditions and trends to remain competitive with fees charged by neighboring cities.
ANALYSIS
For FY 2024-2025 the following changes are recommended to Parks and Recreation Fees on City’s MFS:
Rentals and Reservations (Change):
Remove the Recreation Center rooms due to site closure
Recreation Center reservations will be removed from the Master Fee schedule due to site closure.
Estimated facility rental revenue loss of $68,307 for Lagoon Room rentals for events over 115 people is projected due to the closure of the center. This information was included in the November 6, 2023 staff report to Council.
Increase Community Center reservation rates by 5% (excl. non-profit rentals) Community Center rental rates remained the same rate for FY 19/20, FY 20/21 and FY 21/22.
Fees were increased by 4% in FY 22/23 . Staff proposes a rate increase of 5% due to overall increased expenses in hourly staffing, supplies and utilities. Projected additional revenue = $4,400.
Room Day of the
Week
FY 23/24 FY 24/25 FY 23/24 FY 24/25
Resident Resident Non-Resident Non-
Resident
Port,
Starboard,
Sail, Conf.
Mon-Thurs $52/hr. $55/hr. $78/hr. $82/hr.
Fri ‐ Sun $88.40/hr. $94/hr. $109/hr. $104/hr.
Wind
Mon-Thurs $78/hr. $82/hr. $104/hr. $109/hr.
Fri ‐ Sun $130/hr. (5 hr.
min.)
$137/hr. (5
hr. min.)
$188/hr. (5 hr.
min.)
$197/hr. (5
hr. min.)
Custodial Fee For groups of
over 80 $52 (flat fee) $55 (flat fee) $52 (flat fee) $55 (flat fee) Patio (with
Wind Room) $104 (flat fee) $109 (flat fee) $104 (flat fee) $109 (flat fee)
Add Temporary Modular Units
The Department plans to lease three (3) modular units to accommodate programming and rental space during the Recreation Center closure. Two (2) 24’x40 ’ classroom size units and one (1) 48’x40' classroom size unit. To determine the rental rate, staff reviewed the San Mateo -Foster City School District’s published fair market rate for modular units of similar size to use as a base rate. The School District’s pricing is for space available “as is” so renters are not able to move desks, tables and chairs from the room rented. Our pricing is slightly higher since renters receive an open space with accommodation available for setup of tables and chairs to their needs.
Demand for modular units as a rental option is unknown as these are not typically offered by Parks and Recreation. Staff anticipates renting the smaller units for meetings, and the larger unit could function well for larger meeting groups or classes and programs . Projected revenue:
$30,680 to $39,104.
Resident Non-Resident
24’x40’ classroom size
units
Mon-Thurs $50/hr $77/hr
Fri-Sun $89/hr $104/hr
48’x40' classroom size unit Mon-Thurs $60/hr $92/hr
Fri-Sun $107/hr $125/hr
Modify Vibe Reservation Areas
The Vibe facility currently has two reservation area options. Renters had the option of booking a small area of the Vibe (kitchen, small activity room and patio), or the entire facility at batched rates. Staff proposes the following changes to expand renta l options and add a flat rate kitchen fee (same rate we charged for to reserve the Recreation Center kitchens). Projected additional revenue for expanded reservation areas: $6,240-$12,480.
Current Vibe Rental Structure Resident
Non-
Resident
VIBE‐ Kitchen, Small Activity Rm, and
Patio Monday – Sunday $74.80/hr. $91.50/hr.
The VIBE‐ (Entire Facility:
includes Kitchen, Small Activity Rm,
Main Floor, and Patio)
Monday – Sunday $156/hr. $208/hr.
Administrative Fee $26 (flat fee) $26 (flat fee)
Custodial Fee For groups of over
100 $52 (flat fee) $52 (flat fee)
Proposed Vibe Rental Structure Resident
Non-
Resident
VIBE Main floor = dance floor, patio
and adjacent carpeted area Monday – Sunday $156/hr $208/hr.
Small Activity Room Monday – Sunday $52/hr. $78/hr.
Study Room Monday – Sunday $42/hr. $68/hr.
Kitchen $78 (flat fee) $78 (flat fee)
Administrative Fee $26 (flat fee) $26 (flat fee)
Custodial Fee For groups of over
100 $52 (flat fee) $52 (flat fee)
Material Based Fees: New Items Added
New items were added to the list of materials available for customers at a small fee, including barricades, easels, stanchions, etc. These items are frequently requested, adding them as reservable items ensures they are set aside and ready for customers at the time of their rental.
Revenue impact is minimal.
Increase Park reservation rates by 5%
Park rental rate s were last increased b y 4% in FY 22/23. Staff propose s a rate increase of 5% due to increased overall expenses in park maintenance. Projected additional revenue: $2,232.
Add Basketball Court Reservation Fees
Basketball courts at Boothbay, Catamaran, Edgewater, Ketch, Leo J. Ryan, Port Royal, Shad, Sunfish, and Turnstone parks will be available to reserve at the same rates charged for the tennis, pickleball, and volleyball courts ($26/hr). Revenue impact is minimal (estimated additional revenue less than $400); however, staff recommend adding the option to the fee schedule due to inquiries from the public to reserve courts.
Add Community Garden Fees
Staff will present a Pilot Community Garden for Council approval at the City Council meeting on April 1, 2024. If approved, fees will be $120.00 per year to rent a garden plot plus an additional $100.00 deposit. Projected additional revenue: $1,440 per year.
Round up current reservation rates to whole dollar amounts Reservation rates for some facilities and parks were increased by exactly 4% in FY 22/23. This resulted in odd reservation rates that included small change, i.e. $36.40/hr for the Clipper room.
For simplicity, the rates were rounded up to whole dollar amounts. Revenue impact is minimal.
FISCAL IMPACT
Facility rental revenue loss of $68,307 is projected due to the closure of the Recreation Center due to loss of revenue for Lagoon Room rentals for events over 115 people. This information was included in the November 6, 2023 staff report to Council.
All other proposed change s to the Par ks and Recreation fee s would add a revenue increase estimated between $37,372 to $51,112 per year.
CITY COUNCIL VALUE/PRIORITY AREAS
This item aligns with the City Council’s Public Safety and Social Equity and Staff Empowerment and Operational Excellence priority areas. Updating Park and Facility Rental Procedures promotes staff efficiency and establishing fair market value rates ensures amenities are accessible to the entire community.
• Please refer to Attachment 1 to the Summary Staff Report for the Proposed Fee Schedule