City Council Staff Report Page 1 of 2 July 14, 2026
Staff Report
Agenda Item No. 3.2
DATE: July 14, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Kris Kokotaylo, City Attorney
SUBJECT: Conduct a Public Hearing and Adopt a Resolution Approving the Adjusted Stormwater Fee and Ordering the Collection of the Fee on the Tax Roll
EXECUTIVE SUMMARY
Staff recommends that the City Council conduct a public hearing and adopt a Resolution approving the proposed adjusted Stormwater Fee and ordering collection of the fee on the property tax roll.
STRATEGIC PLAN ALIGNMENT
This report is in alignment with the following City Council priority:
Goal D: Environmental Sustainability and Infrastructure
BACKGROUND
The City of Union City (“City”) has historically collected the stormwater fee (the “Stormwater Fee”) with the solid waste fees on the property tax roll. Last year, the City transitioned the collection of the solid waste fees from the property tax roll to direct billing performed by Republic Services.
The City has collected its Stormwater Fee since 1994 or earlier. The City has consistently collected the Stormwater Fee and increased it pursuant to a schedule of adjustments, as further outlined below, since at least 1994. In some years, the City has elected not to increase the Stormwater Fee, even though it could have, pursuant to the established schedule of adjustments.
DISCUSSION
The City established a schedule of adjustments for the Stormwater Fee aligned with the annual index-based adjustment (the “CPI”). In some years, the City has elected not to adjust the fee. Staff recommends an adjustment to the fee for FY 2026-2027, consistent with the previously approved schedule of adjustments. The CPI increase for FY 2026- Agenda Item No. 3.2
City Council Staff Report Page 2 of 2 July 14, 2026 6
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2027 is 2.72%. This results in an increase to the Stormwater Fee from $84.26 per parcel to $86.55 per parcel.
Health & Safety Code Sections 5470, et seq. authorize the City Council to collect stormwater fees on the property tax roll with a two-thirds vote. This would require 4/5 of the City Council to vote for collection on the property tax roll. The City Council can simultaneously set the fee, based on the established schedule of adjustments, and vote to place the fee on the property tax roll.
The City has caused a written report to be prepared that includes a description of each parcel subject to the Stormwater Fee and the amount of the charge for each parcel for FY 2026-2027. The report will be filed with the City Clerk and maintained on file; it is not included as an attachment to this staff report.
FISCAL IMPACT
The proposed FY 2026-2027 Stormwater Fee levy is $1,377,876, based on the billing detail report prepared for filing with the City Clerk. This is an increase of $54,035 over the FY 2025-2026 levy. Actual collections may vary from the levy amount due to delinquencies, late payments, and other County collection adjustments.
RECOMMENDATION
Staff recommends that the City Council conduct a public hearing, adopt a Resolution approving the adjusted Stormwater Fee, and order collection of the fee on the property tax roll.
Prepared by: Juliet Vaughn, Associate
Submitted by: Kristopher Kokotaylo, City Attorney
Attachments
1. Draft Resolution