SAN CLEMENTE, CA
REPORT ON BEACHES, PARKS &
RECREATION COST OF SERVICES
(USER FEE) STUDY
SEPTEMBER 2025
Attachment 3
INTRODUCTION AND EXECUTIVE SUMMARY 1
LEGAL FRAMEWORK 3
USER FEE STUDY METHODOLOGY 4
FEE SCHEDULE MODIFICATIONS 6
DETAILED RESULTS 10
COST RECOVERY 15
APPENDIX A – COST RECOVERY GUIDELINES 18
APPENDIX B – COMPARATIVE SURVEY 20
TABLE OF CONTENTS
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 1
The report that follows presents the results of the Beaches, Parks & Recreation specific Cost of Services (User Fee) Study conducted by the Matrix Consulting Group for the City of San Clemente, California.
PROJECT BACKGROUND AND OVERVIEW
The City of San Clemente last conducted a formal fee study of its Beaches, Parks, and Recreation fees in 2009 and has not updated its fees since. The purpose of this study is to evaluate and determine the full cost (direct and indirect) of providing a variety of parks and recreational services. The Matrix Consulting Group analyzed the cost-of-service relationships that exist between fees for service activities department-wide. The results of this study provide a tool for understanding the current cost associated with these services and activities.
GENERAL PROJECT APPROACH AND METHODOLOGY
The work accomplished by the Matrix Consulting Group in the analysis of the proposed fees for service involved the following steps:
• Staff Interviews: The project team interviewed department / program staff regarding their needs for clarification to the structure of existing fee items or for the addition of new fee items. • Data Collection: Data was collected for each service, including time estimates and material costs. In addition, all budgeted costs and staffing levels for Fiscal Year 2025 were entered into the Matrix Consulting Group’s analytical software model.
• Cost Analysis: The full cost of providing each service included in the analysis was established. • Review and Approval of Results with City Staff: Department management has reviewed and approved these documented results.
A more detailed description of user fee methodology and legal and policy considerations is provided in subsequent chapters of this report.
SUMMARY OF COST RECOVERY
The project team evaluated the cost recovery for the Beaches, Parks & Recreation Department by assessing its direct operational costs while also factoring in indirect expenses, including departmental
INTRODUCTION AND EXECUTIVE SUMMARY
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 2
administration and citywide overhead. The table below compares FY24 Revenue to FY25 Expenditures and Indirect Costs (Full Cost), highlighting the difference and associated cost recovery percentage.
TABLE 1: FULL COST RECOVERY
Program FY24 Revenue FY25 Exp Difference Cost Recovery
Ole Hanson Beach Club (OHBC) $351,735 $503,798 ($152,063) 70% Community Center $332,326 $1,238,796 ($906,470) 27%
Aquatics $840,117 $1,712,597 ($872,480) 49%
VH Sports Field / SC Aquatics Facility $70,321 $1,125,660 ($1,055,339) 6% Steed Park Operations $1,158,004 $1,511,939 ($353,934) 77% Recreation Programs / Events $351,735 $503,798 ($152,063) 70% Total $3,321,672 $8,679,450 ($5,357,779) 38%
Beaches, Parks & Recreation is at a 38% cost recovery. The cost recovery for park and recreation services typically falls between 20% and 50%, and at 38% the City is within this range.
The display of the cost recovery figures shown in this report is meant to provide a basis for policy development discussions among Council members and City staff, and it does not represent a recommendation for where or how Council should act. The setting of the “rate” or “price” for services, whether at 100 percent full cost recovery or lower, is a policy decision to be made only by Council, with input from City staff and the community
These measures align with GFOA best practices for Establishing Government Charges and Fees, which state that governmental entities should review and update charges and fees periodically based on factors such as the impact of inflation, other cost increases, adequacy of cost recovery, use of services, and the competitiveness of current to avoid large infrequent fee increases. Additionally, adopting the practice of conducting comprehensive analyses every five to seven years allows for any changes to organizational structures, processes, or any new service areas to be captured.
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 3
This section of the report is intended to provide an overview regarding overall legal rules and regulations for fees for service. A “user fee” is a charge for service provided by a governmental agency to a public citizen or group. In California, several constitutional laws such as Propositions 13, 4, and 218, State Government Codes 66014 and 66016, and more recently Prop 26 and the Attorney General’s Opinion 92- 506 set the parameters under which user fees typically administered by local government are established and administered. Specifically, California State Law, Government Code 66014(a), stipulates that user fees charged by local agencies “…may not exceed the estimated reasonable cost of providing the service for which the fee is charged”. However, in the case of Parks and Recreation fees Proposition 26 allows for fee amount(s) to be based upon the rates that the market can bear. There are specific rules and regulations within the State Law that impact Parks and Recreation related activities directly. These can be separated into two categories – rental rates and recreation programs. The following points provide further information regarding these items:
• Rental Rates: One of the exceptions to the tax category under Proposition 26 is a charge imposed for entrance to or use of local government property, or the purchase, rental, or lease of local government property1
. There is no requirement that these rates must be limited to the cost of service, as they can be dependent upon a variety of features of the facility or park being rented. • Recreation Programs: Under Proposition 26, the exception to the tax category is a charge that is “imposed”. Based upon the League of California Cities implementation guide for Proposition 26, as well as other legal opinions, recreation classes, youth sports, and adult sports are not a charge that is “imposed upon residents”. Rather, residents have the option to voluntarily participate in those programs and utilize a private entity (non-governmental entity) for those activities. Therefore, these rates are allowed to be set based upon the market options within the area rather than being restricted to the cost of service being provided.
Utilizing these two principles is key to understanding the results generated through this analysis. As such, any over-recoveries reflected in the report do not need to be reduced to the cost of service, as the fee amount(s) should be based upon rates that the market can bear, as they are not a charge that is “imposed upon residents.” Rather, residents can rent facilities or participate in the recreational programs offered by local governments or utilize a private (non-governmental) entity for those activities / services.
As such, rental rates can depend upon a variety of features of the facility or park being rented, and recreation program rates can be set based on the combination of the cost of administering the program and the demand for the program (estimated participation). 1 Proposition 26 Article XIII C(1)(e)(4)
LEGAL FRAMEWORK
USER FEE STUDY METHODOLOGYLEGAL
FRAMEWORK
USER FEE STUDY METHODOLOGYLEGAL
FRAMEWORK
USER FEE STUDY METHODOLOGYLEGAL
FRAMEWORK
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 4
The Matrix Consulting Group utilizes a cost allocation methodology commonly known and accepted as the “bottom-up” approach to establishing User Fees. The term means that several cost components are calculated for each fee or service. These components then build upon each other to comprise the total cost for providing the service. The following chart describes the components of a full cost calculation:
The two identified components were used to calculate the full cost to the City of providing various services. The following sections detail each component.
STAFF COST
Calculate This cost component reflects the cost associated with staff time and effort associated with administering and providing these services. The cost is based upon two factors:
• Time Assumptions: This reflects the time associated with processing, reviewing, intaking, answering questions, set up / clean up, and other support activities. • Fully Burdened Hourly Rates (FBHR): This represents the full cost to the City of an employee existing and providing services. It consists of direct cost components such as salaries, benefits, and productive hours2
. It also includes costs associated with internal citywide overhead3.
The time assumption is multiplied by the FBHR to arrive at the total staff cost associated with providing or administering a particular fee-related activity.
MATERIAL COST
Certain fees include costs associated with materials that might be necessary to provide the service.
These material costs generally include items such as the cost of equipment or use of space / impact to the space sustained by the permitted activity.
PARTICIPATION / AVERAGE UTILIZATION COST
The two prior cost components (staffing and material) generate the total cost of a program or activity.
For recreation, the majority of activities or rentals are based on the average participation or utilization of 2 Productive hours refer to 2,080 hours of a full-time position reduced by sick, vacation, and holidays. 3 The citywide overhead value used was determined through the City’s cost allocation plan.
DIRECT
(Salaries, Benefits,
Productive Hours,
Overhead, etc.)
MATERIAL COST
(Cost of Space, Licensing
or Contract Cost, etc.)
Total Cost
USER FEE STUDY METHODOLOGY
RESULTS OVERVIEWUSER FEE STUDY
METHODOLOGY
RESULTS OVERVIEWUSER FEE STUDY
METHODOLOGY
RESULTS OVERVIEWUSER FEE STUDY
METHODOLOGY
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 5
hours / space. Therefore, a key assumption in this analysis has been the use of average participation or rental hours when determining the cost per participant or cost per hour. As such, if a service has more or less participants or is used for more or less hours that can directly impact the per unit result. Some items in this analysis may show an over-recovery or under-recovery, but that can be directly impacted based on the level of utilization of the program or the rental space. If it is used more frequently or has higher participation, the cost will decrease. For participation-based programs (i.e. camps & classes, afterschool sports, etc.), we take into consideration the max number of participants. For space rental we look at the total hours the space was available for rent. Therefore, when evaluating the results of this analysis, it is important to remember that the level of utilization (hours and participants) directly influences the per-unit results calculated through this analysis.
SUMMARY OF COST COMPONENTS
Together, these two cost components ensure that all costs involved in operating and providing services to the public have been accounted for in the calculation of the full cost of the fees.
The following sections provide a summary of fee schedule modifications and a comparison of the full cost of providing services to the current fee for services. The total cost does not represent what fees will actually be charged, rather the column represents what fees were calculated based on the components outlined in the User Fee Methodology chapter of this report. It is ultimately up to the City Council to set the rates to be charged.
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 6
The first step undertaken during the fee study was to evaluate the Department’s current fee schedule.
Fees that are set by agreements (i.e., contract instructors, outside agencies, etc.) were not evaluated in the scope of this study; as such, they are not addressed in this document. To assess potential adjustments, the project team met with various staff members responsible for administering fees and services. Below is a summary of the proposed modifications to the Department’s fee schedule:
• New Fees: Staff proposed the addition of the following fees to recover costs for the new rental spaces and programs offered to the community:
o Community Center
§ ‘Full Center’
§ ‘Lobby’
§ ‘Outdoor Courtyard’
§ ‘Building Monitor’
o Ole Hanson Beach Club
§ ‘Upstairs Room + Terraces’
§ ‘Ground – Weekday’
o Park Rentals
§ ‘Other Contract Services (i.e. petting zoo, laser tag, characters, etc.)’ o Field Rentals:
§ ‘Field Rental Application’
§ ‘Snack Bar / Storage Facility Fee’
o Pool Rentals
§ ‘Diving Board (Including 3 Lanes)’
§ ‘Water Polo Cage (Including 2 Lanes)’
§ ‘Scoreboard’
§ ‘Deck’
§ ‘25-Yard Pool Lane Rental with Diving Blocks’
§ ‘SCAC Front Grounds’
o Special Events
FEE SCHEDULE MODIFICATIONS
MODIFICATIONS
DETAILED RESULTSMODIFICATIONS
MODIFICATIONS
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 7
§ ‘Vendor Shows’:
• ‘1-10 vendors’
• ’11-25 vendors’
• ‘26-50 vendors’
• ’51-75 vendors’
• ‘76-100 vendors’
• ‘101+ vendors’
§ Misc. Permits
• ‘Street Closure’
• ‘Late Filing Fee (After 60 Days)’
• ‘Alcohol Permit’
o Special Use Rental Locations
§ ‘Skate Park Rental Fee’
§ ‘Pickleball’
§ ‘Sand Volleyball Courts’
§ ‘Tennis Courts’
§ ‘North Beach Dirt Lot’
o Street Banner – ‘Banner Fix Fee’
o Commercial Film Permits - ‘Drone Permitting’
• Consolidated: In an effort to streamline the fee schedule, the following services were proposed for consolidation
o Staff proposed consolidating the weekday and weekend rental rates for Ole Hanson Beach Club ‘Club Room’ and all of the Community Center rates, thus providing applicants with a single rate regardless of the date of the rental. o Ole Hanson Beach Club ‘Bridal Room Suite’ was consolidated under the ‘Upstairs Room’ rental, as these spaces are now rented in tandem.
o Pool Party Package rentals were consolidated; SCAC rentals are now a single fee weekend and weekday rental regardless of play structure, and OHBC deluxe rentals are a single fee regardless of play structure.
o The Beach Event categories where consolidated into two categories; ‘Use of More than 250 ft. of beach’ and ‘Less than or equal to 250 ft. of beach’ Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 8
o All fees within the ‘Beach Events – Lifeguard Assistance’ category were consolidated into a single ‘Lifeguard Staff Support’ fee. This fee is pass-through and is determined by the Marine Safety Division on a case-by-case application basis. • Expanded Fees: Due to variability in how the fees are administered, staff proposed expanding the following fee categories:
o Change Fees: Were expanded into various categories; ‘Facility Rentals’, ‘Park Rentals’, ‘Pool Rentals’, and ‘Special Events’. ‘Special Events’ was further parsed out into; ‘Simple Event’, ‘Complex – Single Day’, and ‘Complex – Multi-Day’. o Refund Processing: Was expanded into two categories; based on the tender used to pay for the classes; ‘Credit Card’ and ‘Check’.
o Food Vendor / Truck: Was parsed into two categories based on the type of applicant:
‘Current Vendor’ and ‘New Vendor’.
o Steed Park Tournament: Was parsed into two categories: ‘Weekday Tournament’ and ‘Weekend Tournament’
o All Pools and Deck: Was parsed into two categories based on the location of the pool rented: ‘Aquatics Center’ and ‘Beach Club’.
o Per Lane: Was parsed into two categories based on the length of the lane rented: ’50 Meter’ and ’25 Yard’.
o Tournaments / Meets / Competition: Was parsed into two categories based on the type of event: ‘Swim Meet Fee – Short Course’, ‘Swim Meet Fee – Long Course’, and ‘Water Polo Match Fee’.
o Category II (Complex Events): Was expanded into two categories; ‘Single-Day’ and ‘MultiDay’. o Sounds Amplification Permit: Was parsed into two categories based on the type of amplified sound: ‘Standard’ and ‘Live Music’.
• Eliminated Fees: The following fees were proposed for elimination as the city no longer offers these services or deposits.
o All Community Center Locker fees, ‘Closets in Auditorium’ and ‘Cabinets in Multi-Purpose Room / Kitchen’.
• Modified Fees: Various miscellaneous modifications were made to the fee schedule; these are outlined below:
o All deposit-based fees where consolidate under the deposits category. o Staff proposed revising Field Rental rates to better reflect the type of field being rented rather than its location. The prior categories — ‘Neighborhood,’ ‘Community,’ and ‘Sports’ have been modified to more descriptive classifications: ‘Multi-Purpose Field – Grass,’ ‘Multi-Purpose Field – Synthetic Turf,’ and ‘Baseball / Softball.’ Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 9
o The fee name ‘Scoreboard Use at Vista Hermosa Sports Park’ was modified to ‘Scoreboard’ and transitioned from a deposit to a per hour rate that can be used for the rental of any scoreboard.
The modifications noted above ensure that the proposed fee schedule better reflects the services being provided by the City.
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 10
The motivation behind a cost of services (User Fee) analysis is for Department staff to maintain services at a level that is both accepted and effective for the community, and to maintain control over the policy and management of these services. It should be noted that the results presented in this report are not a precise measurement. In general, a cost-of-service analysis takes a “snapshot in time”, where a fiscal year of financial and operational information is utilized. Changes to the structure of fee names, along with the use of time estimates, allow only for a reasonable projection of subsidies and revenue.
As stated previously, the total cost calculated for each service includes direct staff, material, use of space, departmental, and Citywide overhead. The following section provides a comparison of the full cost of providing services to the current fee for service and the resulting difference.
TABLE 2: TOTAL COST PER UNIT RESULTS
Fee Name Current Fee Total Cost Difference
Change Fee
Facility Rentals $50 $59 ($9)
Park Rentals $50 $38 $12
Pool Rentals $50 $58 ($8)
Field Rentals $50 $32 $18
Change Fee - Special Events
Category I (Simple Event) $50 $64 ($14)
Category II (Complex Event) - Single Day $50 $86 ($36)
Category III (Complex Event) - Multi-Day $50 $129 ($79) Refund Processing
Refund Processing Fee - Credit Card $8 $9 ($1)
Refund Processing Fee - Check $8 $13 ($5)
Facility Rentals
Community Center
Auditorium (4000 sq ft)-2 Hour min $300 $315 ($15)
Kitchen (based on availability) $100 $44 $56
Ole Hanson Fireside Room, Terrace, & Kitchen (1200 sq ft) $150 $256 ($106) Multi-Purpose Room (900 sq ft) $75 $150 ($75)
Lower Dance Room Multi-Purpose (900 sq ft - Dance) $75 $95 ($20) Grounds $50 $78 ($28)
Full Center New $1,450 N/A
Lobby New $33 N/A
Outdoor Courtyard New $256 N/A
Building Monitor New $78 N/A
Tierra Grande Park
Meeting Room $100 $246 ($146)
Ole Hanson Beach Club
Club Room $75 $181 ($106)
Upstairs Room + Terraces New $353 N/A
Grounds - Weekday New $197 N/A
Wedding Event: Venue
Weekday Rental
DETAILED RESULTS
DETAILED RESULTS
COST RECOVERYDETAILED RESULTS
DETAILED RESULTS
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 11
Fee Name Current Fee Total Cost Difference
Upstairs Room $250 $394 ($144)
Grounds $50 $408 ($358)
Weekend Rental
Upstairs Room $259 $537 ($278)
Grounds $50 $486 ($436)
Park Rentals
Food Vendors / Truck
Current Vendor $50 $82 ($32)
New Vendor $50 $150 ($100)
Bounce House $0 $64 ($64)
Other Contract Services (i.e. petting zoo, laser tag, characters, etc.) New $76 N/A Picnic Area and Open Space Rental Fees
1-49 People $50 $59 ($9)
50-99 People $75 $118 ($43)
100-199 People $100 $176 ($76)
200-299 People $200 $233 ($33)
Each Additional 100 People $50 $41 $9
Fun on the Run Party Packages
Party Package
12 Children $180 $238 ($58)
Each Additional Child $5 $11 ($6)
Field Rentals
Field Rental Application New $32 N/A
Multi-Purpose Field - Grass Modified $94 N/A
Multi-Purpose Field - Synthetic Turf Modified $123 N/A
Baseball / Softball Modified $102 N/A
Scoreboard New $41 N/A
Light Fee $15 $24 ($9)
Steed Park Tournament
Weekday Tournament $3,000 $4,766 ($1,766)
Weekend Tournament $3,000 $4,766 ($1,766)
Vista Hermosa Meadows $250 $177 $73
Snack Bar Facility Fee New $362 N/A
Pool Rentals
Pool Rentals
All Pools and Deck - Aquatic Center $500 $501 ($1)
All Pools and Deck - Beach Club New $381 N/A
Per Lane - 50 Meter $55 $70 ($15)
Per Lane - 25 Yard $25 $48 ($23)
50 Meter $250 $249 $1
25 Yard $125 $181 ($56)
Play Structure $200 $157 $43
Cabana $50 $46 $4
Grass Event Space at the Aquatics Center (200 Capacity) $200 $187 $13 Additional Lifeguard Rental $15 $25 ($10)
Diving Board (Including 3 lanes) New $93 N/A
Water Polo Cage (Including 2 lanes) New $78 N/A
Scoreboard New $18 N/A
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 12
Fee Name Current Fee Total Cost Difference
Deck New $33 N/A
25-Yard Pool Lane Rental with Diving Blocks New $58 N/A 50 Meter Pool Entry $25 $27 ($2)
SCAC Front Grounds Modified $28 N/A
Beach Club Teaching Pool $125 $143 ($18)
Pool Party Package
SCAC Rentals
Weekday Rentals - Play Structure $150 $261 ($111)
Weekend Rentals - Play Structure $300 $429 ($129)
OHBC
Standard (Pool Only) $100 $235 ($135)
Deluxe - Inflatable Dolphin or Obstacle Course $150 $405 ($255) Tournaments/Meets/Competition
Swim Meet Fee - Short Course $400 $517 ($117)
Swim Meet Fee - Long Course $400 $686 ($286)
Water Polo Match Fee $400 $208 $192
Aquatics Center
Friends Room $150 $187 ($37)
Special Events
Application Fees
Category I (Simple Event) $110 $466 ($356)
Category II (Complex Event): Single Day $240 $1,430 ($1,190) Category III (Complex Event): Multi-Day $240 $2,435 ($2,195) Vendor Shows:
1-10 vendors (Single Day) New $119 N/A
11-25 vendors New $381 N/A
26-50 vendors New $633 N/A
51-75 vendors New $1,014 N/A
76-100 vendors New $1,329 N/A
101+ vendors New $1,568 N/A
Misc. Permits & Fees
Street Closure New $1,028 N/A
Late Filing Fee (After 60 Days) New $0 N/A
Block Party Permit $100 $515 ($415)
Sound Amplification Permit:
Standard $60 $77 ($17)
Live Music $60 $94 ($34)
Parking Lot $25 $42 ($17)
Parking Pass Actual Cost
Beach Events
Use of More than 250 ft. of beach $400 $644 ($244)
Less than or equal to 250 ft. of beach $150 $387 ($237) Lifeguard Staff Support Actual Cost Pass Through
Special Use Rental Locations
Skate Park / Pump Track Rental Fee New $65 N/A
Pickleball New $60 N/A
Sand Volleyball Courts New $60 N/A
Tennis Courts New $61 N/A
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 13
Fee Name Current Fee Total Cost Difference
North Beach Dirt Lot New $63 N/A
Street Banner
Banner Hanging Permit (El Camino Real) $367 $593 ($226) Banner Fix Fee New $120 N/A
Commercial Film Permit
Application Fee $50 $129 ($79)
Film Permit Fee:
Still Photography $100 $142 ($42)
Motion Photography $200 $255 ($55)
Motion & Still Photography $300 $341 ($41)
Drone Permitting New $94 N/A
Pool Fees
Swim Fees: (Lap Swim and Rec Swim)
Resident:
Youth 0-17 and Senior 60+ $2 $8 ($6)
Adult 18-59 $4 $8 ($4)
Non-Resident:
Youth 0-17 and Senior 60+ $6 $8 ($2)
Adult 18-59 $8 $8 $0
Swim Passes
Monthly Pass:
Resident
Youth 0-17 and Senior 60+ $40 $83 ($43)
Adult 18-59 $55 $83 ($28)
Non-Resident
Youth 0-17 and Senior 60+ $55 $83 ($28)
Adult 18-59 $70 $83 ($13)
Quarterly Pass (3 Months):
Resident
Youth 0-17 and Senior 60+ $75 $246 ($171)
Adult 18-59 $100 $246 ($146)
Non-Resident
Youth 0-17 and Senior 60+ $150 $246 ($96)
Adult 18-59 $200 $246 ($46)
Annual Pass:
Resident
Youth 0-17 and Senior 60+ $150 $983 ($833)
Adult 18-59 $200 $983 ($783)
Non-Resident
Youth 0-17 and Senior 60+ $300 $983 ($683)
Adult 18-59 $400 $983 ($583)
Program Fees
Sports
Youth:
Flag Football League $200 $205 ($5)
Adult:
Softball $750 $998 ($248)
Soccer $650 $752 ($102)
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 14
Generally, the total costs calculated are higher than the fees currently charged by the City.
Staff proposed expanding ‘Change Fees’ into various categories to reflect the different levels of effort required to modify existing rental and event applications. The cost differences range from $129 for ‘Category III (Complex Event) - Multi-Day’ to $32 for ‘Field Rentals,’ supporting staff’s recommendation to categorize fees based on the complexity of services provided.
For facility and park rentals, the current fees are roughly aligned with the calculated full cost. This is typical, as rental fees are voluntary and are often set based on market demand rather than the actual cost of providing the service. At $278, the largest difference within the Facility Rentals category is in relation to ‘Ole Hanson Beach Club – Wedding Event: Venue – Weekend Rental – Upstairs Room’. At $1,766, the largest under-recovery within the Field Rental category is in relation to the daily fee for ‘Steed Park Tournament’. Within Pool Rentals, the Pool Party Packages section has the largest deficits, ranging from $255 to $111 per package. Staff proposed expanding the Tournaments/Meets/Competition category to reflect varying levels of staff time and effort based on the type of event. The range of resulting differences supports staff’s recommendation to parse out these services.
The Special Events category was expanded to allow for more flexibility in recovering the costs associated with coordinating and administering these events. Similar to the ‘Change Fees,’ the varied cost differences support the staff’s recommendation to expand fees based on the complexity of the event.
Overall, pool fees generally align with total calculated costs. The main exception is ‘Annual Pass’ fees, which are subsidized to encourage year-long memberships over seasonal or monthly options.
In Programming, the gap between current fees and total costs is common, as these fees are often subsidized to improve accessibility. It is important to note that again these differences are directly dependent on the level of participation in these programs.
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 15
The typical cost recovery for parks and recreation services is between 20% and 50%4. This range reflects the belief that these services primarily benefit the community at large and therefore should be subsidized by taxpayers. As part of this analysis, the project team calculated the cost recovery for the Beaches, Parks & Recreation department based on its direct costs of operations and accounting for any indirect costs (Departmental administration and Citywide). The following subsections provide the detailed programmatic cost recovery based on direct and total cost calculations.
DIRECT PROGRAM COST RECOVERY
Direct cost recovery compares budgeted programmatic costs against generated revenues associated with that specific program. To determine direct programmatic cost recovery, the project team compared budgeted revenues to budgeted costs associated with all Beaches, Parks & Recreation programs. The following table shows by program: FY24 Revenue, FY25 Budget5, the associated difference, and cost recovery percentage.
TABLE 3: DIRECT PROGRAM COST RECOVERY
Fee Program FY24 Revenue FY25 Budget Difference
Direct Cost
Recovery %
Ole Hanson Beach Club (OHBC) $351,735 $247,310 $104,425 142% Community Center $332,326 $602,440 ($270,114) 55%
Aquatics $569,168 $1,437,120 ($867,952) 40%
VH Sports Field / SC Aquatics Facility $840,117 $1,032,110 ($191,993) 81% Steed Park Operations $70,321 $630,220 ($559,899) 11%
Recreation Programs / Events $1,128,162 $790,410 $337,752 143% Total $3,291,829 $4,739,610 ($1,447,781) 69%
The Department is at a 69% cost recovery level on a direct cost basis. This direct cost recovery is above the typical cost recovery (20-50%). The large range of cost recovery levels between programs is typical for parks and recreation fees. For example, the optional nature of fees related to recreation services usually equates to those fees being set closer to cost recovery. On the other hand, services provided in relation to youth or senior services tend to be subsidized to account for the community benefit.
TOTAL PROGRAM COST RECOVERY
Total cost recovery looks at direct program costs, departmental administration, and citywide overhead and compares those costs against generated revenues. For programmatic services to be provided, 4 This 20% to 50% range generally includes Library and Senior services. As these are currently not services offered through this department cost recovery may exceed this typical range, as both services tend to be heavily subsidized due to the nature of the services provided. 5 The FY25 Budget does not include Beach, Parks, Rec Admin costs, as those are considered part of the overhead.
COST RECOVERY
COST RECOVERY
APPENDIX A – COST RECOVERY
GUIDELINESCOST RECOVERY
COST RECOVERY
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 16
recreation management and administration staff support is needed. Furthermore, support services are also needed from other City departments, including Finance, Human Resources, City Attorney, Facilities, Maintenance, and so forth. The following table shows by category, the indirect costs included:
TABLE 4: INDIRECT OVERHEAD COSTS BY PROGRAM
Fee Program Admin OH6 Citywide OH7 Total OH
Ole Hanson Beach Club (OHBC) $96,657 $131,609 $228,266
Community Center $235,453 $332,155 $567,608
Aquatics $561,672 $423,869 $985,541
VH Sports Field / SC Aquatics Facility $403,381 $159,325 $562,707 Steed Park Operations $246,310 $177,212 $423,522
Recreation Programs / Events $308,917 $322,413 $631,330 Total $1,852,390 $1,546,583 $3,398,973
The project team accounted for roughly $3.4 million in indirect overhead costs. The table below compares FY24 Revenue to FY25 Total Direct and Indirect Costs (Full Cost), highlighting the difference and associated cost recovery percentage.
TABLE 5: FULL COST RECOVERY
Program FY24 Revenue FY25 Exp Difference Cost Recovery
Ole Hanson Beach Club (OHBC) $351,735 $475,576 ($123,841) 74% Community Center $332,326 $1,170,048 ($837,721) 28%
Aquatics $569,168 $2,422,661 ($1,853,493) 23%
VH Sports Field / SC Aquatics Facility $840,117 $1,594,817 ($754,700) 53% Steed Park Operations $70,321 $1,053,742 ($983,421) 7%
Recreation Programs / Events $1,128,162 $1,421,740 ($293,578) 79% Total $3,291,829 $8,138,583 ($4,846,754) 40%
Based on the analysis, the Department has a Full Cost recovery level of 40%, which is within the typical range of 20-50% for parks and recreation services. Of the total direct and indirect expenditures, approximately 58% are direct expenditures, 23% are Administrative costs, and 19% are Citywide overhead.
In addition to the overall cost recovery range typically seen in relation to parks and recreation fees, there are typical cost recovery target ranges based upon the Matrix Consulting Group's experience conducting recreation fee studies. The following table highlights these ranges.
TABLE 6: TYPICAL COST RECOVERY RANGES
Fee Program Cost Recovery Range
Ole Hanson Beach Club (OHBC) 70% - 100%
6 This represents the FY25 budgeted expenditures for the Beaches, Parks, & Recreation Admin and Community Services programs, which were distributed to all programs based upon proportional expenditures. 7 This represents the citywide overhead assigned to each program based on the City’s FY25 cost allocation plan.
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Fee Program Cost Recovery Range
Community Center 70% - 100%
Aquatics 50% - 70%
VH Sports Field / SC Aquatics Facility 50% - 80%
Steed Park Operations 30% - 50%
Recreation Programs / Events 50% - 80%
Generally, programs with a larger community impact (e.g., senior services, youth recreation) tend to have lower cost recovery, while programs with a larger individual benefit (e.g., rentals, adult recreation) tend to have higher cost recovery. The following table takes these cost recovery ranges and compares them to programs that are specific to the City of San Clemente.
TABLE 7: TYPICAL COST RECOVERY RANGES BY PROGRAM
Fee Program
Typical Cost
Recovery Range
Cost
Recovery %
Ole Hanson Beach Club (OHBC) 70% - 100% 74%
Community Center 70% - 100% 28%
Aquatics 50% - 70% 23%
VH Sports Field / SC Aquatics Facility 50% - 80% 53%
Steed Park Operations 30% - 50% 7%
Recreation Programs / Events 50% - 80% 79%
Recreation Programs / Events, VH Sports Field / SC Aquatics Facility, and Ole Hanson Beach Club (OHBC) are within the typical cost recovery range, and all other programs are lower than the typical ranges. The department should utilize the target cost recovery ranges as a guideline to setting rates.
Within these larger program categories, there can be different cost recovery targets for sub-programs or subsections. For example, within Recreation Programs / Events, there would be different cost recovery goals for adult athletics vs. youth athletics.
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This study has identified areas where the City is under-collecting the cost associated with providing parks and recreation services. This known funding gap is, therefore, being subsidized by other City revenue sources. However, Beaches, Parks, & Recreation is unique and unlike other city services, in which there is a strong community benefit along with individualized benefits.
For parks and recreation services, we typically see the cost recovery policy developed at the service type and community benefit factor. The following graphic shows the cost recovery pyramid:
The Department should determine, based upon the fee / service area the level of benefit and utilize that to determine the level of subsidy. For example, special event permits are more of an individual benefit, so it should be less subsidized, whereas for something such as youth sports services, the City may consider subsidizing that more heavily. Therefore, when setting fees, the City must consider the following key components:
• Level of Benefit: Who is the beneficiary of the service, and does it only impact the individual, or does it have a larger community benefit? This allows the City and the department to set fees based on a conscientious decision and determine the level of subsidy. • Alternate Funding Sources: If other funding sources are available to offset programs (either annually or one-time), make use of those to be able to provide more services at a more cost-effective approach.
• Equity and Inclusion: Ensuring that services and programs are accessible to all community members.
If fee waivers, discounts, or scholarships are needed, those are also available to make activities and APPENDIX A – COST RECOVERY GUIDELINES
APPENDIX A – COST RECOVERY GUIDELINES
APPENDIX A – COST RECOVERY GUIDELINES
APPENDIX A – COST RECOVERY GUIDELINES
Highly
Individual
Mostly Individual
Individual / Community
Benefit
Community / Individual Benefit No Cost recovery
Community Benefit Full Subsidy
Full Recovery No
Subsidy
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programs accessible. There should be clear policies and procedures to ensure consistent application of the waivers, discounts, and scholarships.
• Cost Recovery: For programs that are unique or have significant individualized benefits, it is important to aim for cost recovery or even an over-collection to continue to provide other services at a subsidized rate. Different cost recovery goals should be set for each division and within each division for the different fee-related programs and services.
• Market Rate: Annual market surveys should be done to ensure that prices are competitive for programs and services. High demand activities should be set at higher than market rate, while low demand should be set at a lower rate to encourage participation.
The department should utilize these guidelines to develop a cost recovery policy. The Government Finance Officers Association’s (GFOA) best practices for Establishing Government Charges and fees state that governmental entities should adopt formal policies regarding charges and fees which include the jurisdiction’s intention to recover the full cost or partial costs of providing services, set forth circumstances under which the jurisdiction might set a charge or fee at less than or more than 100% of full cost and outlines the considerations that might influence the jurisdiction’s pricing decision.
The development of cost recovery policies and procedures will serve to ensure that current and future decision makers understand how and why fees were determined and set, as well as provide a road map for ensuring consistency when moving forward.
Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 20
Matrix Consulting Group conducted a comparative market rate survey as part of this analysis. A comparative survey of parks and recreation fees provides the City and various stakeholders with a snapshot of what the market can bear. These types of fees are not static. They are reactive to economic conditions and public demands, balancing the community's needs with accessibility. When assigning fees, the department must strike a delicate balance, ensuring the fees are reasonable for users and generating sufficient revenue to support ongoing operations and improvements.
A comparative survey provides additional context for stakeholders and staff regarding the current market and its potential. The City identified 17 jurisdictions to be included in the comparative survey. The following eight beach cities: Carlsbad, Dana Point, Encinitas, Huntington Beach, Laguna Beach, Newport Beach, Oceanside, and San Marcos, along with the following nine non-beach cities Costa Mesa, Fountain Valley, Laguna Niguel, Lake Forest, Mission Viejo, Orange, Tustin, Vista, and Westminster. The following points provide a high-level comparative look at several fee-related services provided by the City.
AQUATICS
The following points provide an overview of the categories of aquatic-related services that were surveyed as part of the comparative analysis:
• Lap & Recreation Swim: The city currently charges residential and non-residential lap and recreational swim fees. Adults are charged $4-$8 per visit, while youth and seniors are charged $2-$6 per visit.
Oceanside most closely resembles San Clemente’s cost tiers. They charge resident and non-resident fees at $3 to $4 per visit for adults and $1 to $2 per visit for youth and seniors. However, this is only for recreational swim, for lap swim, they charge $4 to residents and $7 to non-residents. Carlsbad also charges based on residency but does not delineate between lap or recreational swim. Adults are charged $4 to $5, and youth are charged $2 to $3. The cities of Costa Mesa, Laguna Niguel and Mission Viejo charge adult and youth / senior fees per visit; ranging from $4 to $10 per visit for adults and $2 to $5 for youth and seniors. Huntington Beach ($3), Orange ($3), and San Marcos ($4) all charge a single fee for open swim regardless of residency or age. • Pool Passes & Memberships: The City currently offers various monthly ($40-$70), seasonal ($75- $200), and annual ($150-$400) swim passes with cost varying based on residency and age.
Oceanside offers monthly swim passes based on residency and age; adult passes are $50 to $60, and youth passes are $30 to $40. They also offer a family pass ($100 to $110) and a lap swim specific pass ($330 to $310). The city of Carlsbad offers individual and family passes on a monthly and quarterly basis. Individual passes are $40 per month or $116 per quarter, while family passes (two adults and two children) are $62 per month or $174 per quarter. They also offer a Master pass, which allows for unlimited access to aquatic fitness, lap swim, and recreational swim for $70 per month or $196 per quarter. San Marcos offers an annual family pass (five people) for $270 and an annual individual pass for $90. Costa Mesa, Laguna Niguel, and Orange offer passes based on the number of APPENDIX B – COMPARATIVE SURVEY
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visits. Costa Mesa offers three passes which vary in cost based on visits and age: 10 visits ranges from $18 to $38, 20 visits range from $34 to $79, and 30 visits ranges from $42 to $90. Laguna Niguel offers a single 20-visit pass that varies in cost based on residency and age: an adult pass ranges from $60 to $80, and youth and senior passes range from $40 to $60. The city of Orange offers a single 15 visit pass for $30.
• Swim Lessons: Currently, San Clemente offers three types of swim lessons on a per participant per session basis: 25-minute lessons at $42, Summer lessons at $56, and private lessons at $80. Of the jurisdictions that do not contract their swim lessons they either charge based on age of the participant or the type of lesson offered. Carlsbad ($28 to $56) and Costa Mesa ($53 to $55) charge based on the age of the participant. Huntington Beach offers group classes at $106 (roughly 12 classes) and private sessions for $126 (two classes). Orange offers nine group sessions for $45 and a single private lesson for $30. Additionally, they offer a parent and child class at $22 for four lessons.
San Marcos offers group classes that range from $40 for four lessons to $80 for eight lessons and private classes that range from $100 for four lessons to $200 for eight lessons. • Pool Rentals: The City currently offers various pool rentals. Of the surveyed jurisdictions that rent their pools, it was common to see entire pool rentals, per lane rentals, and cabana rentals.
San Clemente currently offers their entire pool rental at $500 per hour. Carlsbad, Huntington Beach, Laguna Niguel, and Oceanside offer entire pool rentals with costs varying based on the type of applicant, ranging from a low of $75 to $80 for non-profit applicants to a high of $120 to $150 for commercial entities. Orange offers its pool rentals based on the size of the group, residency, and type of applicant. For groups of one to 100 people costs range from $165 to $435 per hour, for groups of 101 to 120 people costs range from $235 to $765.
Carlsbad offers a per lane rental ranging from $8 to $12, based on whether the applicant is a nonprofit, individual, or commercial entity. Laguna Niguel also offers a per lane rental ranging from $9 for youth competitive or residential adults to $20 for non-resident adults. Oceanside offers a single per lane rental at $8.75 per hour. At $25 per hour, the City’s current cost is the highest rental rate.
Carlsbad charges $18 per hour for a cabana rental, which is lower than San Clemente’s current rental rate of $50 per hour. San Marcos offers a cabana rental at a flat rate of $180, which includes pool admission for 25 people.
Additionally, staff proposed implementing a spectator fee for pool rentals for tournaments / competitions; Oceanside charges a similar fee at $1.50 for residents and $2 for non-residents and Carlsbad charges $60 annual fee for unlimited spectator admissions to their aquatic center. • Pool Party Packages: Only two of the surveyed jurisdictions, Carlsbad and Oceanside, offer specific pool party packages that bundle admission cost, exclusive use of the pool, and aquatic structures or floats. Carlsbad’s pool packages range from $250 to $400 for two hours of exclusive use. Costs range based on the aquatic structure or float requested; however, all packages include admission for 20 adults and 20 children. Oceanside offers a single package for $200 that includes admission for 25 children and 5 adults for two hours of exclusive use. At $150 to $175, San Clemente’s current package is less than both survey jurisdictions.
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Overall, based on the comparative analysis, San Clemente’s fee structure for aquatics is in alignment with other jurisdictions, and it has the potential to charge higher for certain services to keep in alignment with the market for these services.
RENTALS
The following points provide an overview of the categories of rental-related services that were surveyed as part of the comparative analysis:
• Facility Rentals: San Clemente currently offers various rentals within their Community Center on a per hour basis with costs varying based on the day of the rental. All surveyed jurisdictions charge their facility rentals on a per hour basis, with most requiring a two-hour minimum length of the rental.
Costs range primarily based on the type of applicant (residential, non-profit, commercial, etc.). The below dot points highlight common rentals seen across all surveyed jurisdictions:
o Auditorium / Hall / Banquet Room / Full Site Rental: This fee accounts for rental spaces for over 100 attendees; per-hour costs range from a low of $33 for non-profit, residents to a high of $798 for commercial, non-residents. At $300 per hour, San Clemente’s current fee is within the range of surveyed jurisdictions.
o Kitchen: Per-hour rentals ranged from a low of $6 to a high of $93. The City’s current fee of $100 per hour is higher than surveyed jurisdictions. Additionally, various jurisdictions charge a single flat rate for kitchen rentals ranging from $45 to $105, increasing in costs based on the extent of the kitchen amenities.
o Multi-Purpose Room: This fee accounts for rental spaces for 20 to 80 occupants; per-hour costs range from a low of $8 for non-profit, residents to a high of $144 for commercial, non-residents based on surveyed jurisdictions. At $75 per-hour, San Clemente’s current fee is within the range of surveyed jurisdictions.
o Courtyard / Patio: Staff proposed adding an hour rental of the Community Center courtyard. Various jurisdictions charge this fee on a per hour basis ranging from $20 to $250. The primary reason for the price variance is the type of applicant renting the space. • Picnic & Open Space Rentals: Encinitas charges a combined picnic and open space rental based on group size, similar to San Clemente, but they charge their fee per use rather than per hour. Their fees range from $26 to $68 for a group of 25 to 50 people, to $58 to $131 for a group of 101 to 499 people.
Dana Point, Mission Viejo, and Newport Beach all administer their picnic and open space rentals as a combined hourly rate, which varies based on applicant type. Dana Point ($33 to $132) charges the least per hour, while Mission Viejo ($75 to $255) charges the highest per hour rate. These rates align with the City’s current rates ($50 to $200 per hour).
Various jurisdictions charge a separate rate for picnic shelter and open space rentals. Carlsbad charges their picnic rentals based on the number of tables with one to two tables costing $14 to $23 per half hour and seven to eight tables costing $23 to $33 per half hour. The city of Orange offers picnic table rentals in five-hour blocks. Their cost is based on the group size (in increments of 50 or 100 people) and type of applicant, ranging from a low of $60 to $410 for a resident or non-profit to a Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 23
high of $240 to $1,290 for a non-resident or commercial entity. The cities of Tustin and Vista both offer per-hour picnic table rentals based on group size (either 1 to 50 people or 51 to 100 people) ranging from a low of $37 to a high of $272. Carlsbad charges an open space specific fee ranging from $13 to $23 per half hour. The city of Orange charges based on the group size (in increments of 50 or 100 people) and type of applicant, ranging from a low of $30 to $205 per hour for a resident or non-profit to a high of $120 to $645 per hour for a non-resident or commercial entity. • Field Rentals: All surveyed jurisdictions that rent fields administer their fee on a per-hour basis. Costs vary based on residency and type of applicant. On the low end, fees associated with residents or nonprofit organizations range from $5 to $79, while on the high end, fees associated with non-residents or commercial entities range from $18 to $335. San Clemente’s current per-hour fees range from $40 to $60 per hour, which are within the range of surveyed jurisdictions.
In addition to the field rentals, San Clemente charges a light fee of $15 per hour. Light fees in other jurisdictions range from $9 to $35 per hour. The City’s current fee is on the lower end of surveyed jurisdictions.
Mission Viejo, Lake Forest, and Orange combine light fees with their field rentals. Lake Forest ($8 to $75) charges the least per hour, while Orange ($25 to $145) charges the highest per hour rate.
Based on the comparative analysis, San Clemente’s rental fees are generally in line with those of other jurisdictions. Facility rentals, including banquet halls and multi-purpose rooms, fall within surveyed ranges, though kitchen rental fees are higher. Picnic and open space rentals vary by location and group size, with San Clemente's fees aligning with those of nearby cities. Field rental fees are also within the surveyed range, while the city’s light fees are on the lower end compared to other jurisdictions.
Additionally, the analysis supports the market viability of various newly proposed fees.
PROGRAMMING
The following points provide an overview of the categories of programming-related services that were surveyed as part of the comparative analysis:
• Camps: Various jurisdictions offer week-long (Spring Break, Summer Camps, etc.) or day camps. The week-long camps range in cost from $109 to $527 due to the residency of the applicant. San Clemente currently offers camps for $172 to $268, which is within the range of surveyed jurisdictions.
In addition, jurisdictions also offer single-day camps, which range in cost from $10 to $51 per participant
• Classes: Similar to San Clemente, most jurisdictions contract their classes, with the exception of Early Childhood and Afterschool Programs. Most administer their Early Childhood program on a monthly basis, ranging from $70 to $347. San Clemente’s current fee ranges from $84 to $94 and is on the lower end of the surveyed fee range. Similar to San Clemente’s Fun on the Run; Costa Mesa, Tustin, and Westminster offer free afterschool programs. Lake Forest offers an afterschool program for $860 per year or $430 per semester. Similarly, New Port offers an afterschool program for $1,185 per year or $395 per trimester. At $310, San Clemente’s GAP Program is below the surveyed rates.
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• Sports: Most youth sports are hosted by outside agencies (i.e. AYSO, Seahawks, etc.) or are volunteerled. Of the jurisdictions that offer city-run youth sports most offer basketball and volleyball. Costa Mesa offers all youth sports free of charge. Vista offers Flag Football at $130 per child for residents and $156 per child for non-residents. Currently, San Clemente offers a youth Flag Football League at $130 per team per session.
Adult sports leagues primarily included men’s and coed softball and basketball. Similar to San Clemente, these leagues charged per team rather than per participant. Surveyed costs ranged from $250 to $600, at $600 to $700 San Clemente is on the higher end of the cost range.
The comparative analysis shows that San Clemente's camp, class, and sports program fees generally align with those of other jurisdictions. While its camp and youth sports fees fall within typical ranges, its Early Childhood and GAP Program fees are on the lower end. Adult sports league fees, however, are among the highest surveyed.
SPECIAL EVENT PERMITS
Most jurisdictions indicated that special event permits were needed for events with 50 or more people that occurred on city property or in the public right-of-way. Some jurisdictions have the permitting of these events under the purview of the Planning or Police Department. Various jurisdictions required a non-refundable application fee, ranging from $25 to $100 per application. The special event permit itself ranged in cost from $200 to $400, not including any staff time or rental of space. Carlsbad distinguishes between a minor event ($158) and a major event ($474). Similar to San Clemente, Newport Beach parses out its special event permits based on days the event is running and attendees. Fees range from $1,043 for a single day event or an event with less than 1,000 people to $5,973 for a four plus day event with or an event with more than 5,000 people. At $240, San Clemente’s current fee is below that of surveyed jurisdictions.
FILMING PERMITS
Most jurisdictions charge a permit fee for filming and still photography and in addition charge the cost of any space or facility rented in relation to the permit. Commercial filming permits ranged from $150 to $300 per day. Student filming ranged from $28 to $50 per day and still photography permits ranged from $100 to $150 per day. The City’s current fees of $100 for photography and $200 to $300 for filming align with the costs in surveyed jurisdictions.
CONTRACT INSTRUCTOR SPLITS
The most common contractor revenue split is 70/30, with contractors retaining 70% of resident fees collected. This matches San Clemente’s current 70/30 split. Other common arrangements include 60/40 and 65/35 splits. Some jurisdictions adjust rates by up to 10% based on factors such as whether the contractor uses a City facility or whether the class is held in person or virtually. Huntington Beach, Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 25
Laguna Niguel, and Lake Forest follow a 70/30 split, while Encinitas, Oceanside, and San Marcos use a 60/40 split. Laguna Beach, Newport Beach, and Tustin operate under a 65/35 split.
DISCOUNTS AND SCHOLARSHIPS
It is common practice in park and recreation services to discount fees based on the type of applicant requesting the services. The following points outline common discount pricing structures observed in the surveyed jurisdictions:
• Adult vs. Youth & Senior: Mission Viejo and Laguna Niguel have this type of tier in relation to aquatic services, while all jurisdictions have this tiered approach when administering court and field rentals. • Resident vs. Non-Resident: Oceanside has this type of delineation in relation to aquatic services, while all jurisdictions have this tiered approach when administering court and field rentals. • Competitive Youth vs. Non-Competitive Youth: Laguna Niguel, in particular, distinguishes between the type of youth sport renting their fields or pools.
• Non-Profit vs. Private vs. Commercial / Business: All jurisdictions have this tiered approach when administering all types of rentals.
• Peak vs. Non-Peak: park rentals – San Marcos in particular distinguishes the difference between the peak and non-peak days when renting picnic shelters and open spaces. • Percentage-based discounts: Similar to San Clemente's current discount structure, various jurisdictions offer a percentage discount based on applicant type. Below are some examples:
o 10% sibling discount for classes
o 30% senior discount on rentals
o 10% discount for veterans and seniors
o 10% resident discount for rentals
Generally, these pricing structures are layered onto of one another; for example: Residential Non-Profit entities are charged a lower fee than a Non-Resident Non-Profit organization, and both are charged a lower fee than a Non-Resident Commercial / Business entity.
Various jurisdictions also offer a fee assistance program or scholarship based on the applicant's income.
Primarily, it’s $500 per year and is available to applicants who qualify; the criteria include being a resident and being able to provide documentation of acceptance into other governmental assistance programs.
Applicants can then use this scholarship to offset the costs of recreational programs and camps. The City of San Clemente offers a scholarship of $100 per household per year and a ‘CAMPERship’ of $400 per child exclusively intended for use in registering for spring break and summer camps.
SUMMARY
Most surveyed jurisdictions provide services comparable to those offered in San Clemente. The structure and costs of Aquatic services align closely with those in Oceanside and Carlsbad, while Encinitas' rental Beaches, Parks & Recreation Cost of Service (User Fee) Study Report MATRIX CONSULTING GROUP 26
offerings most closely resemble the City’s current fees. Recreational programs follow a flat participant fee model, with weekly camps structured similarly to those in other cities. This survey reflects only the current fees charged and does not account for the cost recovery goals of these jurisdictions.
Additionally, fee structures may be influenced by factors such as user volume, service demand, and unique amenities. City staff should utilize the survey results as a secondary tool for fee setting.