Agenda Item: 2
CITY OF SANTA CLARITA
AGENDA REPORT
PUBLIC HEARINGS
CITY MANAGER APPROVAL:
DATE: May 27, 2025
SUBJECT: ANNUAL ADJUSTMENT OF FEES AND AMENDMENTS TO THE
FEE SCHEDULE
DEPARTMENT: Administrative Services
PRESENTER: Amy Seyerle
RECOMMENDED ACTION
City Council:
1. Conduct the public hearing on the proposed fee adjustments.
2. Adopt a resolution establishing a schedule of fees and charges for City services.
BACKGROUND
In 1990, the City Council directed staff to prepare a study identifying the full cost of providing services. The result of this effort was the adoption of City Council policy establishing cost- recovery standards, adoption of the City's first full-cost-based fee schedule, and an ongoing mechanism to assess the cost of City of Santa Clarita (City) services and to adjust fees accordingly.
Propositions 4 and 13 establish the "costs reasonably borne" philosophy. The philosophy necessitates the determination of the full business cost of each City-provided service, the identification of the beneficiary of each service, and the evaluation of services to determine an appropriate level of cost recovery for each. "Costs reasonably borne" implies a direct relationship between payment of fees and charges and receipts of services. The direct fee/service and tax equity relationship does not exist when tax monies are used to subsidize services received by only a small portion of the taxpaying public, or by non-residents.
As a best practice, the City conducts a comprehensive fee study every five years to ascertain and recover the costs associated with providing services to the public. Fiscal Year (FY) 2023-24 was the last time the comprehensive f e e study was conducted. Annually, thereafter, staff examines the fees to ensure accuracy of cost for providing such services and applies the Consumer Price
Index (CPI) percentage to those fees reasonably determined necessary.
Proposed Fees and Charges for Fiscal Year 2025-26
Development-Related Fees:
For FY 2025-26, staff recommends the majority of development-related fees and charges be increased by the December 2024 year-end CPI for the urban consumers of the Los Angeles-Long Beach-Anaheim area. The percentage increase, as reported by the United States Department of Labor, is 3.42 percent. Several fees are restricted by state legislation or City Council resolutions, and will be adjusted in accordance with those restrictions. Examples include the Photovoltaic Plan Check fee as well as certain Impact fees such as Bridge and Thoroughfare fees.
Other Miscellaneous Non-Development Related Fees:
Like development-related fees, the City’s fee schedule identifies other miscellaneous non- development related fees, including film fees, needing to be adjusted by CPI. Several of these fees will remain unchanged, such as the Vehicle Impound Release, False Alarm Response, and Noise Disturbance Response fees. Others will see a reduction due to reductions in staff time required to perform the service; these fees include the Handicap Parking Citation Process and Marriage Services Ceremonies. Library Service fees will remain unchanged.
Transit Fees:
Transit fees that were adopted with an effective date of January 1, 2025, have not yet gone into effect due to a delay in the necessary technology from the Los Angeles County Metropolitan Transportation Authority. Once the technology is available, monthly passes would be eliminated, and daily and weekly fare capping would be introduced for riders paying with their TAP card.
The daily fare cap for local service is $3.00 per day, with a weekly cap of $10.00. Once those levels are reached, additional trips would be free within the corresponding daily or weekly timeframe. The greatest advantage of fare capping for riders is the ability for them to “pay as they go,” rather than paying for a monthly pass upfront.
Recreation, Community Services, Facility Rentals and Events Fees:
Most recreation fees will not be increased by CPI, such as Aquatics, City Sports, and Camp Clarita. New programs being included are Little Adventures Camp, Primetime Preschool Early Learners, and a new Buddies program that will be offered at both the Newhall Community Center as well as the Canyon Country Community Center. Most facility rental fees will be increased by CPI including Park Field Use, Santa Clarita Sports Complex, Newhall Community Center, and Canyon Country Community Center. Fees for new facilities, including William S.
Hart Park and the Valencia Community Center, have been added to the schedule. Special Event and City Event fees have been restructured, with revisions including the removal of half-day rentals and the addition of fees for food truck vendors at City-hosted events. The majority of The Cube facility rental and programs rates will be increased by CPI, with the Public Admissions, Figure Skating Freestyle, and Hockey Stick Time rates increasing by $1.00 across the board.
Fees being recommended to increase remain at or below market.
Parking Violation Fees:
The majority of Parking Violation Fees will increase by the December CPI of 3.42 percent.
When compared to the benchmark average, the fees being recommended for an increase continue to be lower than most cities. Those that are at or above the benchmark average are not being recommended for an increase. New to the schedule is CVC 22500(n), which enforces Assembly Bill 413, concerning vehicles parked within two feet of a marked or unmarked crosswalk.
Effective Dates:
This resolution shall go into full force and shall be effective immediately, subject to the terms and conditions of Chapter 3.32 of the Santa Clarita Municipal Code. Development-related and Impact fees will go into effect August 25, 2025; The Cube’s fees will go into effect across two dates: July 1 and September 1, 2025; Recreation fees will go into effect October 1, 2025; Aquatics and Special Events fees will go into effect January 1, 2026; while Transit and all other fees will go into effect on July 1, 2025.
The Building Industry Association, Santa Clarita Valley Chamber of Commerce, Santa Clarita Valley Economic Development Corporation, Southern California Edison, Southern California Gas Company, and Valley Industry Association were directly contacted regarding the proposed development-related fees and industrial waste fees. The California Government Code Section 66017(a) requires a development-related fee to be effective no sooner than 60 days following adoption of the fee, charge, or increase. The City historically has allowed for a 90-day waiting period between fee adoption and implementation; therefore, development-related fees will have an effective date of August 25, 2025.
ALTERNATIVE ACTION
Other action as determined by the City Council.
FISCAL IMPACT
It is estimated that if adopted and implemented, the proposed schedule of fees and charges for service will result in additional annual revenue to the General Fund of approximately $345,800.
Revenues will be reviewed at mid-year, and adjustments deemed appropriate will be recommended at such time.
ATTACHMENTS
Notice of Public Hearing
Resolution