City Council and Concurrent Authorities
April 28, 2026

FIRE PLAN CHECK FEE STUDY
C I T Y O F S T O C K T O N F I R E D E P A R T M E N TA P R I L 2 8 , 2 0 2 6A G N E D A I T E M # 1 5 . 1

2 Why Conduct a User Fee Study?A user fee study documentsfee-related services and service-level assumptions and identifies the full cost (direct and indirect) associated with each permit, unit, or service.Ensures compliance with State laws (Props 218 and 26)Aligns with financial best practicesFIRE PLAN CHECK FEE STUDY RESULTS OVERVIEW 3 Building Plan ReviewLand Use / Entitlement ReviewSprinkler, Alarm, and Other Extinguishing SystemsUnderground Fire ServicesMiscellaneous Services Scope of Services

FIRE PLAN CHECK FEE STUDY RESULTS OVERVIEW
4 Time Estimate (by Position)Fully BurdenedHourly RatesFull Cost of Service •Average hours required per service type •Developed with Fire Prevention staff•Reviewed for reasonablenessSalaries, Benefits, Productive hours adjustment, and Departmental and Citywide overhead.•The total cost of providing one unit of service.•The legal ceiling for any user fee.

How the Full Cost Was Calculated

FIRE PLAN CHECK FEE STUDY RESULTS OVERVIEW
5 Annual Revenue$841KAnnual Cost$1.31MAnnual Deficit$472K The City is currently recovering approximately 65%of its costs.Typical Cost Recovery: 80% - 100% Cost Recovery Snapshot

FIRE PLAN CHECK FEE STUDY RESULTS OVERVIEW
What the city currently collectsTotal cost to deliver the serviceSubsidized by other revenue sources 6 Fee Proposal of 100% Cost Recovery
31 fees will increaseMinimumincrease is $12Averageincrease is $355Largestincrease is $1,262Increase 10 fees will decreaseLargestdecrease is $413Averagedecrease is $173Smallestdecrease is $36Decrease

FIRE PLAN CHECK FEE STUDY RESULTS OVERVIEW
7 Recommendations

FIRE PLAN CHECK FEE STUDY RESULTS OVERVIEW
Adopt Fees at 100% Cost Recovery01Document any circumstances under which fees may be set below 100% cost recovery.GFOA best practiceAdopt an Annual Fee-Increase Mechanism02Implement an adjustment factor to raise fees annually and prevent erosion of cost recovery over time.CPI, COLA, or another regional factorSchedule a Comprehensive Update Every 5 – 7 Years03Revisit time estimates, cost components, and organizational structures to ensure alignment.GFOA best Practice