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2 Table 1 – Comparative Costs Incurred
Line Item
2022
July 4th Holiday
2023
July 4th Holiday
1 Public service announcement $1,423.44 $972.49
2 Police pre & post July 4th education and enforcement 6,236.79 14,677.43 3 Fire administrative and inspection 5,713.66 2,358.66
July 4th staffing and logistics
4 Police 33,603.95 49,239.55
5 Fire 13,210.50 16,709.40
6 Community Services 1,365.00 7,598.90
7 Public Works cleanup 4,787.95 7,597.04
Total $66,341.29 $99,153.47
The permittees have voiced concerns about the amount of and the significant increase in the City's cost recovery fee since the 2022 Independence Day holiday. Exacerbating the concerns about the increase in year-over-year costs is that the permittees did not expect the 2023 cost recovery fee would total $99,153.47 and did not collect a surcharge from sales in an amount that would offset the increase. Due to the insufficient surcharge, permittees did not pass through the full cost recovery fee to their customers and must pay the difference from funds that would otherwise be used for community-based programs.
On May 17, 2024, City staff met with some nonprofits to discuss the City's costs incurred in 2023. The discussion ended with a request that the City Council adjust the 2023 cost recovery fee to 50 percent of costs incurred, or $49,577. For 2024, the nonprofits requested that the cost recovery fee be capped at 7 percent of gross sales. Applying the proposed 2024 methodology to 2023 results in a slightly higher cost recovery of $49,797 compared to the 50 percent proposal for 2023. Staff recommends the cost recovery for 2023 use the same methodology proposed for 2024 which equals total cost recovery of $49,797.
The proposed cap aligns with the new Government Code that took effect on January 1, 2024, and represents a partnership between the nonprofits and the City to contribute some, however not all, of City costs incurred on the Independence Day holiday public education, enforcement, and cleanup of illegal and safe and sane fireworks.
The recommended Resolution imposes a cap on the cost recovery fee at seven percent (7%) of gross sales for 2023 and 2024. City staff has already prepared its operations and public education plan for 2024, which maintains the traditional level of public education, enforcement, and cleanup, and anticipated to cost approximately $110,000. City staff will transmit a written post-event report in August that details the costs incurred and the estimated net impact on the General Fund for FY25 using preliminary gross receipts reports from the permittees. Beginning in the FY26 budget process, the City Manager’s recommended budget will include a discussion of the cost to maintain the traditional level of public education, enforcement, and cleanup services and a recommendation on the continuation or modification of the services in FY26. 507
Honorable Mayor and Members of the City Council
May 28, 2024
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2 FISCAL IMPACT:
Resolution No. 2008-67 requires 13 fireworks stand permittees to reimburse the City 100 percent of the cost incurred for the 2023 holiday, $99,153. The recommended Resolution reduces the 2023 cost recovery fee to $49,767, allocated to each nonprofit based on their pro- rata share of gross sales and capped at seven percent (7%) of each group's gross sales. The difference of $49,386 will be included in the year-end budget amendment using the one-time revenue reserve. The Resolution further applies the cap to the 2024 holiday, requiring an estimated $60,000 in General Fund reserves, which will be included in the mid-year FY25 budget amendment once final accounting is complete.
ENVIRONMENTAL IMPACT:
The action is not a project subject to CEQA. City Council’s action is not considered a “Project” per CEQA Guidelines and therefore no further environmental analysis is required.
RECOMMENDATION:
Adopt a Resolution establishing a cap on the fireworks stand permit cost recovery fee in the amount of seven percent (7%) of each permittee’s gross fireworks sales for the 2023 and 2024 Independence Day holidays and waive collection of the non-refundable application fee for all previous years.
ALTERNATIVES:
1. Maintain the cost recovery methodology established by Resolution 2008-67 for 2023 and 2024.
2. Waive 50 percent of the cost recovery fee for 2023 and return to full cost recovery for 2024.
3. Approve recommendation and direct staff to conduct an in-depth analysis of safe and sane enforcement costs for the 2026 holiday.
ATTACHMENTS:
1. 2005 Measure G Ballot Language
2. Resolution 2008-67
3. City Council presentation on 2023 Independence Day Holiday Enforcement
4. Resolution
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ATTACHMENT 1
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ATTACHMENT 2
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ATTACHMENT 3
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• 4th of July presents safety challenges
• Use of illegal fireworks before, during and after the 4th of July • Noise, animal impacts, PTSI residents, risk of injury, etc. • Fire hazards
• Large, unruly gatherings
• Increased alcohol use
• Expansive education, prevention and enforcement operations annually • Funded by Safe and Sane Fireworks sales
• Does not stop rampant illegal fireworks use
• This is not stoppable, only reduceable
521
• Average number of fireworks-relat ed calls for service on July 4th • San Mateo: 122
• East Palo Alto: 131
• South San Francisco: 188
• Daly City: 95
• None of these Cities allow safe and sane fireworks
• None of these Cities have a funding source for large-scale en forcement • Generally do NOT respond to fireworks complaints
• Pacifica: 104
• Only other SM County City allowing safe and sane fireworks use/sales • Enforcement efforts similar to San Bruno
• Funded with fees imposed on safe and sane firework sales 522
• All Police Department personnel ordered to work
• Robust Incident Action Plan created and approved
• Joint Fire/Police PSA created and disseminated
• Fireworks Safety Postcard to all residents
• Safety meetings with all booth operators
• Educational flyers provided with every fireworks sale • Informational warning notices to all City Facilities
• Advance police contact at known violation locations
• Use of data to focus resource deployment
• Dedicated enforcement details prior to 4th
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• All SBPD personnel ordered to work
• 55 staff (Officers, Dispatchers, Clerks, CSOs)
• 40 sworn and 15 non-sworn
• M
any worked 16 consecutive hours
• All beats staffed as usual, plus dedicated
enforce
ment units deployed
• Marked and unmarked units
• Uniformed and plain clothes personnel
• Undercover surveillance
• Drones/UAS
• Dedicated Fire Department Staff
• Dedicated Parks Department Staff
• Dedicated Public Works Department Staff
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• SBPD handled 255 calls for service on the 4th of July • 22 fewer than in 2022
• Peak activity period – 8:30p m to 11:15pm
• 144 calls were fireworks related
• 35 fewer than last year
• Most reports vague and marginally workable
• Officers must “on-view” viola tions to cite
• Observationally…
• Illegal fireworks lighter this year than most years
• Fewer unruly gatherings/parties than typical
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• $1,000 Administrative Citation
• Citing Officer must direc tly observe a specific
person committing a specific violation
• Officer must then safely detain the violator
• Municipal Code infraction doesn’t justify
comprom
ised safety
• Violator must be cited, not physically arrested
• Only evidence in plain view can be seized
• Resident-provided video can help identify
susp
ects, but cannot replace “in presence” legal
requirement
• Person(s) in control of a gathering can be cited
• Must prove knowledge (warning)
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2023 2022 2021 2020 2019 2018 2017 2016 2015
Admin Cites 26 25 17 38 21 25 22 11 11
Arrests 4 2 2 2 0 1 0 0 0
• 1 more than last year
• Second most ever issued
• About 8/hour during peak period
• Of the 26 people cited 16 were San Bruno residents
• 155 pounds over the annual average
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Department Nature Cost
Police Department Public Service Announcement (PD & FD) $972.49 Community Services Additional Staff/Equipment on the 4th $7,598.90 Fire Department Fire Marshal Administrative and Inspection Hours $2,358.66 Fire Department 4th of July Staffing and Logistics $16.709.40 Police Department 4th of July Staffing and Logistics $49,239.55 Police Department Pre and Post 4th Education and Enforcement / Logistics $14,677.43 Public Works Cleanup Costs (Labor & Equipment) $7,597.04 Total $99,153.47
528
529
4th of July Staffing
• Fire Chief
• 1 Additional BC
• All fire prevention staff on duty
• Education / Enforcement
• 1 extra ALS Type VI Engine Company
• (3 Engines, 1 Truck in the city)
11 530
Calls for Service
• San Bruno Fire Department handl ed 26 calls
for service on the 4th of July a slight decrease
from last year
• Peak activity period – 8:30pm to 11pm
• Three calls were fireworks related (3)
12 531
Calls for Service
• San Bruno Fire Department noticed an increase in fire related calls during the week leading up to July 4th
Date Fireworks related Total Calls
June 13 - June 19 0 107
June 20 - June 26 0 93
June 27 – July 3rd 2 92
July 4th - July 5 5 50
13 532
Observations
• Illegal fireworks use was consistent with prior years • Education and Prevention was critical
• Weed abatement efforts were made prior to the 4th
San Bruno Public Works and San Bruno Parks Department
Contract for weed abatement during the year
• No injuries from July 4th activities
14 533
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RESOLUTION NO. 2024 - ______
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN BRUNO ESTABLISHING A
CAP ON THE FIREWORKS STAND PERMIT COST RECOVERY FEE IN THE AMOUNT OF SEVEN PERCENT (7%) OF EACH PERMITTEE’S GROSS FIREWORKS SALES FOR THE 2023 AND 2024 INDEPENDENCE DAY HOLIDAYS AND WAIVE COLLECTION OF THE
NON-REFUNDABLE APPLICATION FEE FOR ALL PREVIOUS YEARS
WHEREAS, on June 28, 2008, the City Council adopted Resolution No. 2008-67 amending rules and regulations pertaining to temporary fireworks stands pursuant to San Bruno Municipal Code Section 6.50.060;
WHEREAS, Section 4 of Resolution 2008-67 sets forth a cost recovery fee requiring a non-refundable application fee and a requirement that permit recipient reimburse the City their pro rata portion of the costs incurred by the city for fireworks public education, enforcement of the requirements of San Bruno Municipal Code Chapter 6.50 and Resolution 2008-67, and fireworks cleanup “Cost Recovery Fee”;
WHEREAS, on September 26, 2023, the City Council adopted Resolution 2023-105 to clarify that the cost recovery fee includes fire prevention and fire suppression costs; WHEREAS, City Council adopted a non-refundable application fee on April 23, 2024; WHEREAS, the City Council has considered input from representatives of nonprofit groups who operate the fireworks stands regarding the local community benefit from capping the 2023 and 2024 Independence Day holiday Cost Recovery Fee; NOW, THEREFORE, BE IT RESOLVED that the City Council hereby: (i) establishes a cap on the Fireworks Stand Permit Cost Recovery fee in the amount of seven percent (7%) of each permittee’s gross fireworks sales for the 2023 and 2024 Independence Day holidays, and (ii) directs staff to waive collection of the non-refundable application fee for all previous years. ---oOo---
I hereby certify that foregoing Resolution No. 2024 - ____ was introduced and adopted by the San Bruno City Council at a regular meeting on May 28, 2024, by the following vote:
AYES:
NOES:
ABSENT:
_________________________________
Lupita Huerta, City Clerk
ATTACHMENT 4
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