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Agenda Report
November 25, 2024
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TO: Honorable Mayor and City Council
THROUGH: Finance Committee
FROM:
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Department of Finance
SUBJECT: ANNUAL ADJUSTMENTS TO THE FISCAL YEAR 2025 SCHEDULE OF
TAXES, FEES, AND CHARGES RELATED TO NEW YEAR'S DAY AND
THE ROSE BOWL
RECOMMENDATION:
It is recommended that the City Council:
1. Find that the action proposed herein is statutorily exempt from the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines Section 15273 (Rates, Tolls, Fares, and Charges); and
2. Approve the scheduled rate increases effective February 1, 2025, for the Grandstand Permit Application, the Rose Bowl Admission Tax, and for the New Year's Day Related Business Grandstand Seat Surcharge as set forth in the body of this report.
BACKGROUND:
Pursuant to Pasadena Municipal Code (PMC) Section 1.08.060, the Rose Bowl Admission Tax, the Grandstand Seat Surcharge, and the Grandstand Permit Application Fee are to be presented to City Council no later than December 15th and adjusted on February 1st of each year. PMC also states that these taxes and fees are adjusted by an amount equal to the change in the Consumer Price Index (CPI) for the Los Angeles- Long Beach-Anaheim metropolitan area for the preceding twelvemonth period ending October 1st. The change in CPI for all urban consumers in the Los Angeles-Long Beach-Anaheim metropolitan area increased by 2.8121 percent between October 1, 2023 and October 1, 2024; accordingly, it is proposed that the Rose Bowl Admission Tax, the Grandstand Seat Surcharge, and the Grandstand Permit Application Fee be increased by a like amount on the Fiscal Year (FY) 2025 Revised Schedule of Taxes, Fees, and Charges as indicated below.
MEETING OF 11/25/2024AGENDA ITEM NO.9
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Annual Adjustments to the Fiscal Year 2025 Schedule of Taxes, Fees, and Charges November 25, 2024
Municipal Code Section 3.12.040 - Grandstand Permit Application Tax This fee is charged for each seat in each grandstand designed or used for seating for a person viewing the Tournament of Roses parade.
Adopted
FY 2025
Rate
Proposed
FY 2025
Rate
Per Seat$0.86$0.88
Minimum$55.33$56.88
Municipal Code Section 4.48.040 -Amendment of Taxes - Rose Bowl Admission Tax
This tax is levied upon all admission tickets to the Rose Bowl.
Adopted
FY 2025
Rate
Proposed
FY 2025
Rate
Tax on first dollar of ticket price$0.09$0.09
*
Charge per each additional $1 .00 or fractional
part of a dollar on ticket price exceeding $1.00$0.12$0.12 *
Maximum Rate$2.12$2.17
*CPI increase results in a change of less than one half of one cent; therefore, the rate does not change.
Municipal Code Section 5.16.070-B - New Year's Day Related Business - Grandstand Seat Surcharge
This is a special business license tax levied upon every vendor engaged in the current business of selling seats for viewing the Tournament of Roses parade.
Per Seat
Adopted
FY 2025
Rate
$7.41
Proposed
FY 2025
Rate
$7.61
Annual Adjustments to the Fiscal Year 2025 Schedule of Taxes, Fees, and Charges November 25, 2024
COUNCIL POLICY CONSIDERATION:
The proposed actions are consistent with the City Council's strategic planning goals of maintaining fiscal responsibility, supporting and promoting the quality of life, and local economy.
ENVIRONMENTAL ANALYSIS:
Amending the City's FY 2025 Adopted General Fee Schedule is statutorily exempt from CEQA pursuant to State CEQA Guidelines Section 15273 (Rates, Tolls, Fares, and Charges), which provides a statutory exemption for the establishment, modification, structuring, restructuring, or approval of rates, tolls, fares, or other charges by public agencies, which the public agency finds are for the purpose of:
(1) Meeting operating expenses, including employee wage rates and fringe benefits; (2) Purchasing or leasing supplies, equipment, or materials; (3) Meeting financial resen/e needs and requirements;
(4) Obtaining funds for capital projects, necessary to maintain service within existing service areas; or
(5) Obtaining funds necessary to maintain such intra-city transfers as are authorized by City Charter.
Annual Adjustments to the Fiscal Year 2025 Schedule of Taxes, Fees, and Charges November 25, 2024
FISCAL IMPACT:
In FY 2025, the additional revenue generated by the proposed rate adjustments will not have a material impact to the current Operating Budget. Also, there is no anticipated impact to other operational programs or capital projects as a result of this action.
Respectfully submitted,
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\E\N E./HAWKESWORTH
Director of Finance
Prepared by:
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Byanca Banaga
Senior Administrative Analyst
Department of Finance
Approved by:
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^RQUEZ
City Manager
Attachment: (1)
1) Attachment A - Fiscal Year 2025 Schedule of Taxes, Fees, and Charges