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HomeMy WebLinkAbout13 - Approval of the Fee Study UpdateQ SEW Pp�T CITY OF z NEWPORT BEACH c�<,FORN'P City Council Staff Report March 9, 2021 Agenda Item No. 13 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Scott Catlett, Finance Director/Treasurer - 949-644-3323, scatlett@newportbeachca.gov PREPARED BY: Theresa Schweitzer, Senior Accountant, tschweitzer@newportbeachca.gov PHONE: 949-644-3140 TITLE: Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update ABSTRACT: The City of Newport Beach's consultant, MGT of America (MGT), has updated the Finance, Harbor, Public Works, and Utilities Department portions of the fee study following a cost recovery analysis. Staff recommends fee changes effective July 1, 2021, for the majority of the fees, with the exception of the following: 1. Electric Vehicle (EV) Chargers per kWh fee — effective March 10, 2021; and 2. EV Chargers Surcharge — effective April 22, 2021 (30 days after the second reading of the ordinance). RECOMMENDATION: a) Conduct a public hearing; b) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; c) Adopt Resolution No. 2021-21, A Resolution of the City Council of the City of Newport Beach, California, Adopting and Revising Certain Fees Within the Schedule of Rents, Fines, and Fees and Updating the Methodology for Annual Consumer Price Index Calculations; d) Waive full reading, direct the City Clerk to read by title only, introduce Ordinance No. 2021-7, An Ordinance of the City Council of the City of Newport Beach, California, Amending Exhibit A to Newport Beach Municipal Code Section 3.36.030 Related to Cost Recovery, and pass to second reading on March 23, 2021; and e) Waive full reading, direct the City Clerk to read by title only, Introduce Ordinance No. 2021-8, An Ordinance of the City Council of the City of Newport Beach, California, Enacting Newport Beach Municipal Code Section 12.44.111 to Permit the Establishment of Overstay Charges for Parking Spaces Designated for Use of Public Electric Vehicle Charging Stations, and pass to second reading on March 23, 2021. 13-1 Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update March 9, 2021 Page 2 FUNDING REQUIREMENTS: Staff estimates that these fees, if approved by the City Council as recommended, will amount to approximately $216,000 in additional revenues for the Water or Sewer Funds and a decrease in revenues of approximately $65,000 in the General Fund. However, this projection does not account for any fees where volume statistics are unavailable. The fiscal impact of any newly proposed fee or fee increase that is not approved will be absorbed either through General Fund, Water Fund, or Sewer Fund subsidy. Removing the General Fund subsidy for the Junior Lifeguard Program fee will generate approximately $174,000 in additional revenue per year that would be used to contribute towards a portion of the capital costs for the new Junior Lifeguard facility. BACKGROUND: Newport Beach Municipal Code (NBMC) Section 3.36, City Council Policy F-4 (Revenue Measures) and Item 12 of the Fiscal Sustainability Plan (FSP) provide staff and the City Council with policy guidance related to setting cost recovery targets and updating user fees. User fees, or cost -of -service fees, are charged to a private citizen or group for services performed or provided by a government agency on their behalf. If the service benefits primarily an individual or group of people, then the burden of that cost should be borne by the person or group receiving the benefit. NBMC Section 3.36.030 sets the cost recovery for user fees at one hundred percent (100°/x), with the exception of the subsidized fees listed in Exhibit "A" of that same section, as well as those limited by California or Federal statutes. A recommendation for less than one hundred percent (100%) cost recovery rate may occur when a service is beneficial to the community at large along with specific individuals or groups, and/or when there is an economic incentive, or disincentive, to do so. In these cases, the General Fund typically subsidizes the service. Any newly proposed fee or fee increase that is not approved will be absorbed through General Fund, Water Fund, or Sewer Fund subsidy. NBMC Section 3.36.030 Exhibit "A" subsidy changes can be found in Attachment D. The Schedule of Rents, Fines, and Fees (SRFF) is a customer service document maintained by the Revenue Division, available online, which includes cost -of -services fees, as well as fines and penalties, rents, and other charges imposed by the City of Newport Beach (City) or mandated by the State of California. Fees approved by City Council update the cost -of -services fees within the SRFF. This latest fee study was conducted by the City's consultant, MGT of America (MGT). In order to establish fees on the basis of full cost recovery, it is necessary to determine the cost of services. MGT conducts a comprehensive review and update of the City-wide cost allocation plan and direct user fee calculations for each department on a rotating basis every three to five years. MGT uses well-established cost accounting methodologies to calculate our municipal fees on a full cost recovery basis and contracts with a significant number of municipalities in California. 13-2 Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update March 9, 2021 Page 3 This year, MGT studied the following departments: • Finance • Harbor • Public Works • Utilities The complete list of studied fees can be found in Exhibit 1 within Attachment A. There are also a few fee updates outside of these departments: • All Departments — Lobbyist registration fee, Public Records Act Request (PRAR), photocopies, and flash drive • Community Development Department — Title 17 related appeals fees • Library — Black & white and color copies On February 18, 2021, staff presented the fee study updates to the Finance Committee as a receive and file item. The following additional updates are recommended either as a result of discussion at the Finance Committee meeting or due to further information provided by staff after the meeting. 1. Dog License — Tag Replacement — Additional information was provided by staff that these tag replacements are handled either by Animal Control in the Police Department or Revenue staff, not both. The fee study was updated resulting in the proposed fee going from $10 to $7. The current fee is $7, so this results in no change to the fee. 2. EV Chargers Surcharge — To encourage turnover of vehicles at EV charging stations, staff recommends implementing a surcharge of $0.10 per minute, after a 10 -minute grace period, capped at $61, for vehicles that remain plugged in at the EV charging station after charging is complete. If a vehicle is either unplugged or blocking the EV charging station, the current parking citation penalty of $61 would apply. 3. Junior Lifeguard Fee — The Junior Lifeguard fee is currently set at $727 per participant within NBMC Section 3.36.030 Exhibit "A", while the current full cost of the Junior Lifeguard program is $856 per participant. This results in a General Fund subsidy of $129 per participant. Typical annual volume for the Junior Lifeguard program is around 1,350 participants, resulting in a total subsidy of approximately $174,150 each year. Staff recommends removing the subsidy from NBMC Section 3.36.030, which would increase the Junior Lifeguard fee to its full cost of $856 effective July 1, 2021, for the 2022 Summer Program. Starting with next year's program, this would generate approximately $174,000 in additional revenue per year that would be used to contribute towards a portion of the capital costs for the new Junior Lifeguard facility. The General Fund contribution to the Facilities Financial Plan (FFP) will be increased by a like amount annually until such time as the $1.1 million additional costs for the Junior Lifeguard facility beyond what has already been allocated in the FFP has been recovered, after which time the funds will remain in the General Fund in subsequent fiscal years to cover the higher operating and maintenance costs for the facility. 13-3 Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update March 9, 2021 Page 4 4. RGP Dredging Permit — The RGP Dredging Permit is a five-year permit that the City procures on behalf of the residents. Managing and administering the permit is complex, especially during the reauthorization and sediment characterization process. Over the last five years there have been 122 dredging projects (27 City/95 Applicant). The City has staff time assigned to this process and pays over $750,000 in consulting fees over a five-year period for application processing, sediment testing, and program management. The studied cost of the RGP Dredging Permit fee presented at the Finance Committee meeting on February 18, 2021, was $3,203, up from the current fee of $1,900. However, after the Finance Committee meeting, the fee consultant discovered a formula error in the allocation of consultant costs to projects; Anchor QEA refined the breakdown of their costs, which increased the originally projected costs; and finally, time estimates for the City's Administrative Manager were reviewed and reduced. These adjustments resulted in the cost of the RGP Dredging Permit increasing to $7,766. However, staff recommends adding a recovery percentage of 42% to maintain the fee at $3,262, more closely aligned to the amount reviewed and approved by the Finance Committee. DISCUSSION: MGT meets with each of the studied departments to discuss the services provided, the annual volume for those services, and the staff and time estimates for working on said services. MGT then calculates the department staff's fully burdened hourly rate, which includes both internal administrative as well as citywide overhead costs. The fully burdened hourly rates are applied to the time estimates provided by staff and the fee is calculated. MGT reviews and cross checks the results to ensure the data is valid and asks each department to review the calculations for accuracy and reasonableness. Once the calculations are confirmed, department staff then recommends that the fee should either be fully recovered or subsidized. An example of this process is provided in Attachment E. The most common reasons for fees to go up or down are: 1) costs changing over time, most often increasing 2) the staff performing the service changes, and/or 3) the amount of time to perform the service changes. Below is a summary of how studied department fees are changing: Department Increasing Decreasing Eliminated No Chane New Fees Totals Finance 18 5 1 7 6 37 Harbor 18 2 0 0 5 25 Public Works 18 12 3 5 2 40 Utilities 7 4 2 5 4 22 Total 61 23 6 17 17 124 PCT of Total 49% 19% 5% 13% 13% 100% 13-4 Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update March 9, 2021 Page 5 Finance The Revenue Division of the Finance Department maximizes and safeguards the City's revenues by implementing and enforcing Municipal Code revenue programs. These programs include, but are not limited to, tax collection, short term lodging, film permitting and parking. The Revenue Division was last studied in 2016. The results of the Finance fee study updates are as follows: Department Increasing Decreasing Eliminated No Chane New Fees Totals Finance 18 5 1 7 6 36 PCT of Total 50% 13% 3% 17% 16% 100% Staff recommends changes to the following fees: • Delinquent Transient Occupancy Tax (TOT) Payment fee ($54) — Delete. A 10% penalty, as well as interest at the rate of 11/2% per month, is already charged when TOT payments are submitted past the due date. • TOT Reprint fee ($14) - Rename to "Zero Bill Reprints" and add fee as subsidy to NBMC Section 3.36.030 that will establish the recovery at 0% to reflect current administrative practice. Zero bills are based on forms that customers complete to calculate the tax owed. Staff time to process is minimal and current practice is not to charge the fee. The following new fees are recommended - 1 . ecommended: 1. Short Term Lodging Permit (STLP) Reinstatement ($91) — Applies if an owner's short term lodging permit is suspended and after the designated time within NBMC Section 5.95.065 the owner wishes to reapply. This fee covers staff time to reinstate the permit. 2. STLP Suspension or Revocation Hearing ($509) — Pursuant to NBMC Section 5.95.065, an owner may request a hearing after their permit is suspended or revoked. This fee covers staff time as well as the cost of the hearing officer. Staff recommends subsidizing this fee at 50% so there is equal cost sharing between the City and the appellant; and subsidizing this fee at 100% if the appellant is successful. 3. Film Permit — Review (5 or fewer cast & crew) ($12) — The City has a contract with FilmLA to process film permits; however, all permits require staff review prior to final approval. Smaller shoots with five or fewer cast and crew, like family portraits and school photos, take less staff time to review. 4. Film Permit — Review Fee (6 or more cast & crew) ($51) — Larger productions, those with 6 or more cast and crew, may require additional department review, have multiple locations, and/or parking requirements. 5. Film Permit Staff Time Outside of Permit Application (fully burdened hourly rate of staff and actual time) — Some film permits require scheduling and coordinating Police and Fire — Lifeguard staff or other City staff to be present at the production. 13-5 Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update March 9, 2021 Page 6 6. Film Permit — Cancellation (for permits requiring additional City services) (fully burdened hourly staff rate and actual time) — at times a permittee will decide they no longer require additional City services at the production or reduce the amount of time staff are required to be present. These amendments or cancellations require administrative staff time to coordinate the staff cancellation and scheduling. Harbor On July 1, 2017, the City took over responsibility for managing harbor operations from the Orange County Sheriff. Initially, the City utilized the fee schedule from the County of Orange to charge for fees. A fee study was conducted about a year later after staff was able to evaluate the services provided. The last Harbor Department fee study update was adopted January 22, 2019, through Resolution No. 2019-03. This Harbor Department fee study was taken to the Harbor Commission on January 13, 2021. The results of the Harbor fee study updates are as follows: Department Increasing Decreasing Eliminated No Chane New Fees Totals Harbor 18 2 0 0 5 36 PCT of Total 72% 8% 0% 0% 20% 100% Staff recommends changes to the following fees: Appeals or Calls for Review ($1,250 for appeals to Harbor Commission; $940 for appeals to City Council) - Harbor appeal fees are currently set to charge on an hourly basis at staff's 100% fully loaded hourly rate. NBMC Section 17.65 was revised last year to outline the procedures for appealing a decision from the Community Development Director, Public Works Director, Harbormaster, and Harbor Commission. The studied fees varied between departments due to different staff and time estimates (shown in the table below). In order to provide continuity and remain in line with other subsidized appeals fees within the City, staff recommends a flat appeal fee which is approximately 50% of the average fee between departments. Staff also recommends a subsidy of 100% if the appellant is successful. Service Full Cost 50% Subsidy Recommended Flat Rate a. Appeal of CDD Director Decision to Harbor Commission 3,030 1,515 1,250 b. Appeal of Harbor Commission Decision to City Council (CDD) 2,073 1,036 940 c. Appeal of Harbormaster Decision to Harbor Commission 1,796 898 1,250 d. Appeal of Harbor Commission Decision to City Council (Harbor Dept) 1,551 775 940 e. Appeal of PW Director Decision to Harbor Commission 2,699 1,350 1,250 f. Appeal of Harbor Commission Decision to City Council (PW) 2,030 1,015 940 g. Average Appeal to Harbor Commission (a+c+e)/3=g 2,509 1,254 1,250 h. Average Appeal to City Council (b+d+f)/3=h 1,885 942 940 13-6 Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update March 9, 2021 Page 7 Harbor Special Events — Simple ($95) - Staff recommends changing the "Raft Up Permit" name to "Harbor Special Events — Simple" in order to expand permit approvals to include events such as boat races and raft ups. Marine Activities Permit (MAP) application (initial) — Service Provider ($365); MAP application (initial) — Charters ($1,137); MAP application (initial) - Boat Rentals ($1,137); MAP application (initial) - Human -Power Rentals ($1,137) - NBMC Section 17.10 was recently revised to require most commercial activity in Newport Harbor to obtain a MAP. Staff worked with the Harbor Commission to identify the most common business types, listed above in bold, in the harbor that would be required to obtain a MAP pursuant to the new ordinance. Staff recommends adding the following new fees: 1. Environmental Response ($73 per hour plus actual materials cost) - Applies when a boater experiences mechanical or vessel system failure that results in hazardous materials being introduced into the harbor, necessitating staff to contain the hazardous material and a contractor to clean it. 2. Harbor Special Events — Complex ($491) - Large scale harbor events require assignment of Harbor Department resources during the planning and execution of the activity. 3. Large Boat Permit 1(>_ 80 Linear Feet), Requiring Interagency Coordination ($736) — Applies when a large motor yacht or vessel requests temporary mooring permits within the harbor, where coordination with the owners' representatives, the United States Coast Guard, and/or third -party service providers is required. 4. Large Boat Escort (per escort and per vessel) ($102) — Applies when Harbor Department vessels are required to provide escort services to large vessels entering or departing the harbor. 5. Multiple Vessel Mooring System Application ($503) — Applies to permittees requesting consideration for the installation of approved float systems on a permitted off -shore mooring. Due to the recent updates to Title 17, staff recommends deleting the current subsidy of $100 for "Appeal of lease/permit under Chapter 17.65". This subsidy was intended for appealing a lease/permit decision rendered by a hearing officer. Because hearing officers are no longer hearing these appeals, this subsidy is no longer relevant. Public Works The Public Works Department is responsible for managing a comprehensive capital improvement program, including the promotion of a safe and efficient transportation system. Public Works also manages public property through permitted encroachments; ensures the safety of utility company activities, private construction and special events in the public right-of-way; reviews plans for residential and commercial development as they relate to the public right of -way; and oversees activities that protect and improve the harbor and upper bay. The proposed changes to the Public Works fees cover the following areas which have not been updated since 2015: Engineering & Transportation, Refuse, and Water Quality. 13-7 Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update March 9, 2021 Page 8 The results of the Public Works fee study updates are as follows: Public Works Department Increasing Decreasing_Eliminated No Change New Fees Totals Engineering & Transportation 12 12 3 5 2 34 Refuse 2 0 0 0 0 2 Water Quality 41 0 01 0 01 4 Total 181 12 31 5 21 40 PCT of Total 45% 30% 8%1 13% 5%1 100% Engineering & Transportation Staff recommends changes to the following fees: • Encroachment with Other Department/Division Review and the Encroachment Without Other Department/Division Review — NBMC Section 3.36 currently subsidizes these services at 57% and 88% recovery. Staff recommends removing both subsidies so these fees can be charged at full cost recovery. • Engineering Field Inspection ($138) — Currently, there are three separate fees at the same cost for engineering field inspections. Staff recommends combining them into one fee. • Plan Check with Pre -Permit Review ($155) — Delete. There is no material difference in staff time or process from that of a regular plan check. • The same recommendation for Chapter 17.65 appeals as described under the Harbor Department applies to appeals related to Public Works Director decisions. Staff recommends adding the following new fees 1. Encroachment & Engineering Agreement Prep — Planning Commission ($3,139) — The City currently has an Encroachment & Engineering Agreement Prep fee; however, some agreements require Planning Commission Review while others do not. Creating a separate fee when Planning Commission review is required applies a fairer distribution of costs. This new fee covers the increased amount of staff time required, coordination between multiple departments, and public hearing expenses, such as the cost of mailings and the posting of the public notice. The current Encroachment & Engineering Agreement Prep fee will decrease as a result of this split. 2. Plan Check (new construction) add-on for Harbor Commission Public Hearings ($2,130) — The City currently has a Plan Check Fee; however, similar to the fee above, some plan check fees require Harbor Commission review while others do not. The addition of this fee ensures that costs are more fairly distributed based on the complexity of the project. Municipal Operations (Sections: Refuse and Trees The fees in this latest study were updated based on current staff and time estimates appropriate for those services. 13-8 Ordinance Nos. 2021-7 and 2021-8 Approval of the Fee Study Update March 9, 2021 Page 9 Staff recommends adding the following pass-through fees: 1. Tree Planting/Removal (actual contract expense) 2. Supplemental Tree Trimming (actual contract expense) Water Quality Activities within this service area are designed to maintain compliance with state and federal permits and regulations that promote clean water environments for the Newport Bay, ocean, shoreline, and other sensitive areas. Staff recommends changes to the following fees: 1. Water Quality Construction Site Inspections — Staff recommends a tiered fee structure based on the complexity and size of the project. The number of inspections required can be as low as just one during the life of the project and other circumstances can require as many as eight or more. In order to ensure full cost recovery, staff recommends this tiered fee structure. 2. EV Chargers ($0.46 per kWh) — Historically, this fee only included the pass-through cost of electricity and the cost of the EV provider contract agreement. Staff recommends updating the fee to include staff time for the administration of the EV program. Utilities The Utilities Department provides clean, safe, and responsive utility and infrastructure maintenance services to the community. The fees were last studied in 2016. The results of the Utilities fee study updates are as follows: Department Increasing Decreasing Eliminated No Chane New Fees Totals Utilities 7 4 2 5 4 22 PCT of Total 32% 18% 9% 23% 18% 100% Staff recommends changes to the following fees: Lifting Eye for Trench Plates ($121) and Trench Plate Delivery ($452) — Delete. The Utilities Department no longer provides or delivers trench plates for construction projects because they are provided by a contractor. Construction Water Meter — Per Month ($99.89) — This fee is the same as the 2 -inch water meter within the water rate study and should be updated in conjunction with that rate each year. • Utilities water meter and water and sewer meter box and lids (actual cost) - These charges are detailed in Exhibit 1 of Attachment A. 13-9 Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update March 9, 2021 Page 10 Staff recommends adding the following new fees: 1. Sewer Only Establishment Fee ($49) — This fee would apply when a property owner receives their water supply entirely from an entity other than the City (e.g. Mesa Water or Irvine Ranch Water District) but their property connects into the City sewer system. This fee would cover the cost of the initial access into the sewer system and setting up the customer's account. 2. FOG (Fats, Oils, and Grease) Non -Compliance (additional inspections) ($70) - The City currently covers the cost of the initial annual inspection. This fee would cover the cost of additional inspections should they remain non-compliant with NBMC. 3. Water and Sewer Service Establishment — Non -Business Hours (turn -ons) ($321) - This fee would apply when a customer requests their services be turned on outside of normal business hours. The City is required to pay overtime to the on-call employee tasked with performing this service and this additional fee would help recover that cost. 4. Re -Inspection Fee (hourly) ($165) - This fee will be charged when re-inspection(s) are required due to non-compliance with prior inspection instructions or the terms and conditions of the permit have not been met. Other Fee Updates Staff recommends the following: 1. Lobbyist Registration (pass through contractor cost) - Currently, the contractor does not charge a fee to register lobbyists, but if the contractor does charge a fee in the future, that cost would be passed to the individual registering. 2. Regular Photocopies ($5 per 5 minutes) — Delete. The current $5 per increment charge was calculated using the Deputy City Clerk salary and benefits. The staff positions can vary and are calculated using the appropriate staff who conducts the copies. With advancements in technology this fee is rarely charged as most PRAR requests are no longer copied, but rather emailed or loaded onto a flash drive. 3. Flash Drive ($6) — At times the City Clerk's Office is requested to provide documentation for PRARs on flash drives. Adding this pass-through fee will make the amount of the fee available to the public. 4. Appeals or Calls for Review ($1,250 for appeals to Harbor Commission; $940 for appeals to City Council) — As stated above, the revised NBMC Chapter 17.65 addresses appeals of the Community Development Director decisions to the Harbor Commission and Harbor Commission decisions to City Council. 13-10 Ordinance Nos. 2021-7 and 2021-8: Approval of the Fee Study Update March 9, 2021 Page 11 5. Library Per Page Copies ($0.35 black and white; $0.45 color) — The Library provides copiers to the public for making black and white and/or color copies. The per copy cost for Library copies is different than the average cost of copies for City departments. The cost is calculated using the replacement cost of the copier, its useful life, the annual number of copies, the maintenance cost of the copiers, and paper costs. The study calculated the cost of Library black and white copies at $0.39 per copy and color copies at $0.49. Staff recommends these costs be rounded down to the nearest nickel for easy application. The Library currently charges $0.15 per black and white copy and $0.75 per color copy. Resolution No. 2018-55 provides that Harbor rents (approved by Resolution No. 2019- 3) and facility rentals (approved by Resolution No. 2018-55) shall increase annually by changes to the Consumer Price Index (CPI), but limits the annual increases to three consecutive increases. The limitation was to ensure that cost of service fees is studied within the 5 -year timeframe as directed in NBMC Section 3.36.010. However, because rental fees are outside of the rotating comprehensive fee studies, staff recommends clarifying the CPI language to exclude those charges from the 3 -year cap. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. The agenda item has been noticed according to Government Code Section 66018(a) (two publications with at least five days intervening between the two dates), Government Code Section 66016(a) (notice mailed at least 14 days prior to the meeting to any interested party who files a written request) (mailed notice to Building Industry Association of Southern California, AT&T, Southern California Edison, and Southern California Gas Company on February 23, 2021), and the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENTS: Attachment A —Resolution No. 2021-21 Attachment B —Ordinance No. 2021-7 Attachment C — Ordinance No. 2021-8 Attachment D — Redline Amended Newport Beach Municipal Code Section 3.36.030 Attachment E — Application of Indirect Costs to the Calculation of Fees for Services 13-11 ATTACHMENT A RESOLUTION NO. 2021- 21 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, ADOPTING AND REVISING CERTAIN FEES WITHIN THE SCHEDULE OF RENTS, FINES, AND FEES AND UPDATING THE METHODOLOGY FOR ANNUAL CONSUMER PRICE INDEX CALCULATIONS WHEREAS, Section 3.36.010 of the Newport Beach Municipal Code ("NBMC") provides that services and programs that primarily benefit a person requesting the service are traditionally funded in whole, or in part, from fees charged to the person who initiates the service; WHEREAS, Subsection 3.36.010(C) of the NBMC further provides that to ensure fees charged for services are an accurate reflection of costs, the City should conduct a fee study at least once every five years; WHEREAS, contemporaneous with this resolution the City Council introduced Ordinance No. 2021-_, amending Exhibit A to Section 3.36.030 (Cost Recovery for User Services) of the NBMC; WHEREAS, Exhibit A to Section 3.36.030 of the NBMC contains cost recovery percentages for specific services, and provides that the City Council may modify the fee resolution upon a determination that there has been an increase or decrease in one or more cost factors relevant to the calculation of the actual cost of providing the service; WHEREAS, in 2019, the City retained MGT of America, Inc. ("MGT') to prepare the cost allocation plan and cost -of -services studies for the City ("Agreement"), WHEREAS, pursuant to its Agreement, MGT has conducted cost -of -services studies on a rotating basis by department, WHEREAS, pursuant to its Agreement, MGT prepared cost -of -service studies for the Harbor, Finance, Public Works, and Utilities Departments; WHEREAS, pass through costs for actual services or tangible goods do not include staff time; WHEREAS, statutory fees are mandated or capped by another authority, such as the state; 13-12 Resolution No. 2021 - Page 2 of 4 WHEREAS, the City Council adopted Resolution No. 2018-55, minimizing the percent increase and fiscal impact to the customer and maximizing the recapture of funds to the City through automatic annual Consumer Price Index ("CPI") adjustments using April of the prior year to April of the current year; WHEREAS, the City Council adopted Resolution No. 2020-29, updating the methodology for annual CPI adjustments using March of the prior year to March of the current year; WHEREAS, rental rates are not always studied at the same time as the cost of service fees and should not be limited to a maximum number of CPI adjustments; and WHEREAS, the City desires such studied fee changes and annual CPI adjustments become effective on a uniform date, beginning July 1 of each year. NOW, THEREFORE, the City Council of the City of Newport Beach resolves as follows: Section 1: The City Council does hereby revise the Schedule of Rents, Fines, and Fees ("SRFF"), in part, as set forth in Exhibit 1, attached hereto and incorporated herein by reference. Except where prohibited by law, all cost of service fees of five dollars or more shall be rounded down to the nearest dollar and cost of service fees less than five dollars shall be rounded down to the nearest quarter, except Library Department per copy fees shall be rounded down to the nearest nickel. Any rounding providing by this Section shall not apply to Electric Vehicle (EV) chargers per kWh as set forth in the SRFF. Except as explicitly revised by Exhibit 1, all other provisions of the SRFF shall continue in full force and effect. Section 2: Direct pass through, or actual, fees may be updated, without further action by the City Council, by the Finance Director as necessary to ensure recovery of cost. Section 3: For those fees and charges modified by this resolution which have an implementation date of July 1, 2021, as set forth in the SRFF, Exhibit 1, the current fees and charges shall continue in full force and effect through June 30, 2021 and the modified fees or charges shall take effect on July 1, 2021. Section 4: The City Council hereby reaffirms all CPI adjustments to the SRFF that occurred prior to the adoption of this resolution. 13-13 Resolution No. 2021 - Page 3 of 4 Section 5: Except as provided in Section 6, beginning July 1, 2021, all fees and charges within the SRFF indicated by "Yes" under the CPI column shall be automatically adjusted to reflect the percentage change, from March of the prior year to March of the current year, as it may be prorated from the fee approval date, in the cost of doing business measured by the CPI, all cost of service fees of five dollars or more shall be rounded down to the nearest dollar and cost of service fees less than five dollars shall be rounded down to the nearest quarter dollar, except Library Department per copy fees shall be rounded down to the nearest nickel. Any rounding providing by this Section shall not apply to Electric Vehicle (EV) chargers per kWh as set forth in the SRFF. "CPI" shall mean the Los Angeles -Long Beach -Anaheim, CA Area, All Urban Consumers, All Items, Base Period (1982-84=100), or successor index, as published by the United States Department of Labor, Bureau of Labor Statistics. Automatic CPI adjustments to cost of service fees and/or charges, by department, shall occur annually on July 1 for a period of three (3) consecutive years following adoption of the studied department fees and/or charges. After the third (3rd) consecutive annual increase, automatic CPI adjustments shall cease until the departments' fees and/or charges are updated and adopted, at which time the automatic CPI adjustments will reset, commencing the following July 1. CPI adjustments shall be automatically adjusted for rental rates listed in the SRFF that are not adjusted by a separate resolution, and shall occur annually on July 1, 2021 and indefinitely beyond. This automatic CPI adjustment shall not apply to any fee that is subject to Proposition 218 (California Constitution Article XIIIC and Article XIIID, Government Code Section 53750.). Section 6: The first CPI adjustment to fees and charges adopted by this resolution, as set forth in Exhibit 1, shall occur on July 1, 2022. Section 7: Any portion of any prior resolution, the SRFF or Master Fee Schedule including, but not limited to, Section 4 of Resolution 2018-55 and Section 8 of Resolution 2020-29, that conflicts with this resolution or Exhibit 1, is hereby repealed as of the effective / implementation date of the applicable provision, fee or charge that is in conflict. Section 8: The recitals provided in this resolution are true and correct and are incorporated into the operative part of this resolution. Section 9: If any section, subsection, sentence, clause or phrase of this resolution is, for any reason, held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this resolution. The City Council hereby declares that it would have passed this resolution, and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. 13-14 Resolution No. 2021 - Page 4 of 4 Section 10: The City Council finds the adoption of this resolution is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 11: This resolution shall take effect immediately upon its adoption by the City Council, and the City Clerk shall certify the vote adopting the resolution. ADOPTED this 9th day of March 2021. Brad Avery Mayor ATTEST: Leilani I. Brown City Clerk APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Aarcln C. Harp City Attorney Attachment: Exhibit 1 — 2021 Update to Fees and Charges 13-15 V, 21C 211 212 213 271 err 273 274 275 278 279 280 2M 285 2a6 287 288 321 322 123 f Exhibit 1 -Fee Study Update Current Charges Proposed Charges SENYICE NAME DESCRIPTION Inueme Mel TosaF or Bau Faa T-1 ar Base Fee IB applltable) Total ec Neu Ft. I......1.1 REFERENCE Tolel pt Base - TYPE Fee LN coolie blfncramenlale) CPI N.- Implementetlen Oat. ALLOEPARTMENTS Flash Driv. Per 5 6.00 S 6.00 $ M.C. 3.36.030 P.n Thru No 71112021 Lpbbyisl Reeistradon N/A net. M. C. 3.35.030 Past TNrp No ]OG%o FC -bad., Cost 7/1/2021 ReRWanpbete{epks DEIETE �Y.geeaK ; 6,00 ; F.00 S Y.R.Ae4 i/e1W. 5 n9 Maiw�k W ucbcrawwn W ru.;aF.wn/i yaK sstiaukwW-cwvico 7f 8fa0}y COMMUNm NEMELOPMENT- PLANNING s-NffMC Chapter 17.65(Applicant Successful: Appeal to Harbor Commisslen N/A $ M.C. 1765 COS -F.. S 3,029.73 Yes C% Recavery per M.C. 3.36.030 Fshibft A 7/1/2021 Appeals - NEW Chapter 17.651Applicant Um- ... Nil Appeal to Harbor Commission WA $ 1,250.00 M.C. 17.65 WSFaa S 3,029.73 Yes $1,250 Reweery per M.C. 3, 36.030 Echibit A 7/1/2021 Appeals NBMCChapter17651Applicent Succesifpll Appeal to City C....11 N/A $ M.C. 1785 COSh. $ 2,072.68 Yes M Reopvery pen M.C_ 3, 96 DW Evh lh l r A 7/1/2021 Appeals -NBMC Chapter 27,65(A, plin nt U n.-Isirbil Ap peal to CRY Council N/A 5 940.00 M.C. 17.65 COSF.a $ 207268 Yes $940 Recovery per M,C, 336030 Fvhibit A 7/1/3021 FINANCE R.wnu• Adult 06 -bed Business Permits Permit $ 1,138.00 $ 1,308,00 $ 170.00 M.C. S.%02018) COSF.a $ 1,30&43 Yes 7/1/7071 Buslnessllc......haeBe Ee lnf-tips $ 2400 S 24,00 $ M.C. 5.04,310 COST.. $ 24.13 Yes 7/1/2021 15,51 ss Lk- -dupllwle Repnlnt Certitlrata $ 11,00 S 11.00 $ M.C. 5.04.200 COST.. S 1162 Yts 7/1/2021 Business LbensehUal Application ApAElnVt ProceWF&fee S 62.00 $ 60.00 $ (2.00) MC_a 36030 cvSF.. $ 60,45 Yes 7/1/2021 Dance Permit Pelmit $ 172.00 $ 176.00 $ 4W M.C. 5.32.4 COSF.e $ 17&63 Yes 7/1/2021 OalioVoenLTOr Paymuu DELETE ; i4LG j iam Y,L.a..ii,pi0 LpB.F.. $ Eq,70 yea ]{k{�0]y Dog License Taj Replacement Tat Replacement 5 7,00 5 7.00 S M.[. 7.04"60 COS F.. $ 7.31 Yes SSrN. is Pm Wf dby arertdor. 7/1/2021 On Llcense Unalt.red PenYear 5 44D0 S 50.00 S 6"0 M.C.7.OBA60 COS F.. 5 50,20 Yes Service is mwlded by a vendor. 7/1/2021 D.& Llcense^SWrhlled Per -Year $ 22.00 $ 25.00 $ 3.00 Fond and Agdcullural Code 30804.5 MC. 7.04060 MSF.. 5 50.20 SerWu Is prodded by a vender. SO%Recovery Yes per Food and Agricultural Cod.30604.5 7)1/2021 Esrnsl Service Per Empbyee Escort Empbyee S 507.00 $ 57500 $ 6800 M C. 5.90035 MS -F.. S 575.99 Yes 7/1/2021 EsmH Service Permit Permit To Conduct Escort Services $ 937.[10 $ 1,121,00 S 134.00 M.C. 5.90.020 C SSF_ $ 1121.46 Yes 7/1/2021 GV-C14er6.as MOVE TO PUBLIC WORKS Yes-kWA ; --Or E p�dig, E pya q.salWlaNptL}I pyaiitns = p,iGli rye A4011 - %a/]9jFR.Prodbcuen FR. N.dbcV..Appllcation-Wllhout FBm Lhs- $ 284.00 $ 395.00 $ 7.13c M.C. 5,46030 C SSFae S 296.01 Yes 7/112021 FII. Permh-GnrNhtlon Fee lfer permits req add'( CW SVa) N/A st. notes M,C, 5.46074 COS -F.. seenotes ]t%rf6 Fu1iy Loaded HOudy Rare - New Fee Yes 2021 7/1/2022 FII. Permit- Rtvlrn Fee 15 er fewer nsl &crew) N/A S 1200 M.C. 5.46D30 COS Fa. $ 1289 Yes New Fee 2071 1/1/2021 Film Permit- ReNew Fee I6 or marc cast &crewl N/A $ 51.00 M.C. 5.46.1130 COSF.a 5 51,57 Yes New Fee 2021 7/1/2071 Film Permit- Staff Tl,, Outsideef Pe it Appllcation Revb,w N/A notes M.C. 5.45070 W5,F.a u notes 10096 fully Leaded Hourly Rate - New Fee Yes 2021 711/3021 Fina Arms Sales Permh Permit For Red115ales $ Imon $ 108.00 $ 17.00) M.C. 5.80.040 CasF.. $ 108,60 Yes 711/2021 Live Entertainment Permit Permit $ 172.10 $ 174.10 $ 2.00 M.C. 5.28.030 COSF- $ 174,61 Yes 7/1}2021 Parklnj Permit Replacement Fee $ 11,{0 $ 12,00 $ 1,00 MC. 3.36.030 COS -Fat $ 12.04 +-maw-iae,-Tete-SirJied-alterwewrawlsaaFin Yes .Feer 7/1/2021 Payment Pian levicepl Parkfnjl $ 2500 S 25"0 S MC. 3.36.030 COSF.. $ 2921 NewFee 2018 $25 Recovery per M.C. Yes 3, 36030EchIb1tA 7/11Z021 Payment Plan 1pekinjl SS lndfgent1525 All Dther$5Rd em/S25AIIOther S5lndigernl/$25ARCRhe7 CVC40220(a111)fAllllllp) COSiF.. $ 34,45 $51ndlgml1$25 All Other Re ry per CVC Yes 40220!.1{II(A){flpBl 7/1/3071 Pneferenhsl Parking Permu $ IBM 5 1900 $ 1.00 MC. 126&040 COIF.. S 19.60 Yes 7/172021 13-16 331 333 334 335 Au 331 338 339 34l gm 561 562 563 SSa 565 566 561 568 569 510 571 572 533 s7. Exhibit 1 -Fee Study Update Current Charges Proposed Charges SERVICE NAME DFSCgIP7/0N Toui gti9.Se Ha Tp[el Ina.m.nt.l- pr Bas. F.e (R eppliu6fr) Tptel pr Mw Fee Inatemanul REFERENCE Totel TYPE or 3ese Innementel- tee {H appliubla] [PI !blas ImPLemerWh. >Ab Re iewof Hote]Spe ial Package Appllc.tion Hotrlf Special Package Deals 5 199.00 $ 194.00 $ 15.001 M.C.3.16050M COSF.. 5 194.82 Yes 7/1/2021 Sidewalk Vending Permlt Appli-l- 5 15900 5 173W 5 14.00 M.C.S.97.030 i C5 COSF.. S 173.53 New 2019, adopted 1/22/19 Resolution 2019 Yes 4 7/1/2021 Shq Term Lgdging Permlh -Inhal ftr l 5 169.00 5 1d5.00 S (4.001 M,C.5.95D40 CDSFae $ 155.91 Yes 7/1/2021 Short Term Lodging Permlh- reinsletement N/A $ 91A0 M.C.5.95465 COS Fea S 91.58 Yes New Fer 2021 7/1/2021 Short Term Lodging P -its -renewal P -it $ %.OD $ 87.00 $ 19001 MX5.95040 COWFee 5 VA3 Yrs New Fee 2020 7/1/2021 Short Term lodgEng Permits - reprint Repent Cr t -I $ 1300 $ 13.00 S M.C.3.36.030 COSF.. $ 13.20 Yes 7/1/2021 Short Term lodgEng Permits-suspe,sl,n orre mllon hearing- Appkra,t Su[ ful NIA S M.C,5.95065 COSF.. $ 3,036.91 New Fee 20210%Re ., per M.C. Yes 3.36.030 Eehlblt A 7/1/2021 Short Tenn Lgdg[ng PermlK-suspenflpn -m-u­ head,&- ApPliu.I Unsuccessful NIA $ 50900 M.C. 5.95.065 COSF.e S 1,01&.91 New Fee 2021 SD% Recovery per M. C. Yes 3 35 030 FrhlbitA 7/1/2021 Sound Amp Permit Permit $ 7200, $ 73.00 $ 1.00 ML, 1032020 COSF.. $ 73.76 7/1/2021 Vehicles Fqr Hire- Annual Per Vebide Fee Annual P.r Vehicle $ 202M 5 236,00 S 34.00 M.C. 5.12.130 COS,F.. S 236.74 Yes 7/1/2021 Vehicle$ Foe Hire-Certifirne CemnOa iPlus Fee For Each Vehide5hown Below) $ 2,000,00 S 2.156.00 5 156.00 M.C. 5.12.030 COSF_ $ 2,156.58 Yes 7/1/2021 Vehicles F.,Hhr-,,[uses Permit Odver's Permit $ 379.W $ 429.00 $ 5000 M.C. 5.12.230 co,_ F.. $ 429.57 Yes 7/1/2021 Vehides For Hlre- Orlveis Permll Renewal Or1Ve/} Permit Renewal $ 369.00 $ 419.00 5 50.0(! M.C. 5.12.230 LOSE. $ 419.44 Yes 7/1/2021 Vehicles Fqr Hke - Fee Per V.h[Cle Fee For Each Vehicle 5 202.00 $ 73600 S 3400 M.C. 5.12.030 COS•F.. S 236.74 Yrs 7/1/2021 ]rm BRl Reprints iPi+eprwl $ 14,00 $ $ 114,001 M.C. 3.36.030 COSF.. S 1429 Y.s 0%R.-, per M.C. 3.36, 030 Eah[bll A 7/1/2021 FIRE OE PARFMENTS LI F EG UAWS T-1.,UF.E..rdsPro,- sumer Guard Per P,Mdpant $ 727.00 $ B5600 5 12900 Mt, 3, 36030 MS -FM S 656.87 Yes 404-Nawvesype•J,4,G.a.3GAi4EaMWM 7/1/2021 K4MR DEPARTMENT Appeals NBMC Chapter 17.65(Appll... t 5ucoes,M) Appeal to Harbor Commission 1006 Loaded Hourly Ratr $ M.C. 17.65 OOSFee $ 179643 Ve$ 0% Recgvery per M C_ 3.36030"bit A 7/112021 Appeals- NEMC Chapter 17.65(AppliC tUpsuc4e}stull Appeal W Harbor CommhAs 300% Loaded HoOV Rale $ 11250,00 M.C. 17,65 005 -Fe. S 1.796.43 Yrs $1.250 Recovery per M.C. 3.36, 030 Exhibk A 7/1/1021 Appeals-N8MCChapter 17.65(Appllunt 5 .... sstul) Appeal to City Coundl 100% Leaded Howdy gate $ M.C. 17.65 WSfe. $ 1,550.29 Yes 0% Recovery per M.C. 3.36.030 MIM A 7/1/2023 Appeals- NOWChip- 17AS(Appliunt U,suoo-1,I) Appeal lq CitV Coundl 300% L.Wdd H.udy Rate $ 940,00 M.C. 17.65 COW- $ 1,550.89 Yes $940 Recovery per M.C. 3.16, 030 Fahibil A 7/11;021 APpealllNdnB DELETE ;GqL-NatlK-HwNy.Aata 400141.adedal..dy Acte M.6.3 J.6S,Ba0 mg.ir uo.dv X. m_._i..._.__.__.,__ 7,"DELETE i 100.00 6-----10f10� $ M.GiFF$ f4FFe. Mwrly Yes J}3pGi; Ofnghy Rack Renul Apouuo, Fee Appllcation Fee to process monthly rental agreement S 17,EO 5 1900 5 2.00 M.C. 3.36A3D COSSF.e $19.29 Y.s 7/1/2021 EnvEronmenul Response N/A $73.00 M.C. 3.36030 WO F.e Pea Th. $7332 Hew Fee 2021- Proposed char¢. plus pass Yes through wntm,t wshandfor materials 7/1/2021 H.r .r 5pec[al EVent}-C-pl.s N/A $493110 M.C. 3.36.030 COSF.. $491.07 Yes New Fee 7021 711/2021 Harhor Spec[al Events - Simpir (Raft Up, Boat Rac., etc.) A -W p Peswrita--GctAasha+�ga Cost t. proses permlls la� $ 63.00 S 95A0 5 32.00 M.C.3.36030 COSF.e $95.53 Yes 7/112023 Impound Fee-milial Cpttp[mpound avec I..the Rrstday. $69.00 $104110 $ 35 AO M,C, 3,36030 COW.. $104.33 Yes 7/1/2021 Impound Fee- Loose or Lost and Found Ooats/Ve... Is Cost to Impound a v,ssei an the First day. Typically -ls under 20 feet. 5 47W $ 52.70 5 5.00 M.C. 3.36.030 COSH. $52.93 Yes Free riut 5 days then charged per dry 711/2021 Key Card Replacement The cost to replam the key Wthe Mad -Park ladlltles $ 23.00 S 12.00 5 (11.001 M[, 3.36030 COWF.. $12,s6 Y.s 7/1/2021 Lac&e Boat Escort per -n par vessel N/A 3 102M M.C. 3.36 03C COSH. $102.05 Y.s New Fee 2021 7/1/2021 Large 6w1 Permit 1220 Lineal Feet) Fee W rev[ew epplfc.tl.. -d ..W *g. boats In Harbor M anchorage or mood,& S 65.00 S 73.00 5 8.00 M.C-3.36.030 COS F.. $73.79 Yes 7/1/2021 large Bgat Permit (2 80 L[neal Feet], Requ[n,g Interagency [oordinatbn N/A $ 736.00 M.C. 3.36.030 COiFe. $736.61 Yet New Fee 2021 7/SR021 2 13-17 P 577 519 SBJ 58l 582 SE3 Sit 585 Sib 587 Su 589 590 670 62i GM 697 698 70l 107 703 704 105 706 N7 708 Exhibit 1 -Fee Study Update Current Charges Proposed Charges SERVICE NAA DI![RIpTMN Total or Base Fe9 T-1 or Des. F.. hiuemeutal- Tenl Ill apolc.sla) er B.. F.. Incr.m.ni•I REFERENCE Total of My TYPE F.. Increm.ntal- (d •PP'ka bl.) [PI Nbu, Implama MMI" M. uve Aboard Pe 11 pvr Year $ 18200 $ 373.00 $ 91 W M.C. 3.36030 C Fw $37355 Yes 7/3/20]1 L-VBr k -Line Cost to nplacea IE"Pea [o•ranler that Ii ole"' mtumwbmken os swtntum d -I $ 1D/.W S 60.00 5 INAOI M.C. 3.36030 C F.e 560.86 Yes 7111=1 Madna Park C -44"n Fee Fee chai,w 11 rexrvatbn is onuMd 5 1100 S 12,00 5 1.00 M C_ 3 mzw C F« Mm Cancel 72 Noun or more -.Md the Cancel4lkn Fea, 4u than 72 boon losfee Yes depestt 7/V21Q1 Marina P� Flat Ra4larEk:Wdty Aetual cess $11 pluswwm per kWh S12 plus Lct9,l pM utagr kWh M.C-3.36030 C F« Pass Thep $13.10 $0.13 Yes 71UM21 Marine Aaivrs Permit - Initial Service Provider $ 350.0 $ 36500 S 1500 M.C. 3.36.030 C Fea $36579 Yes 7/1/'1021 Marine MhvlVes Permit-Inl9al Chadors, Boat Renuls, Numan.POWerad Renlala S 350,00 S 1137.0 $ ]87.00 M.C. 3.36.030 C F.. $1,137,45 Yes 7/1/2021 Marina Acttyld,% Permit- renewal noel $ 282,0 $ 439.00 $ 157.00 M.C. 3.36030 C F.. $439,78 Yes 7/1/2021 M -d,, E. -k. P, -rt Cost to tvaluale lh. Posdblflty pl ertendlnL a m4odn, 4nLM S 335 0 $ 503.00 S 168.00 M.C. 3.36030 C F.e $503,93 Yes 711/2021 Multiple Vessel Mooring Syst.m Appliraden Fee N/A $ 5030D M.C. 3.36030 CE75F1. $503,93 Yes New Fee 2021 7/1/1@1 Temponry Sea Lien Deterrent Cast of Butt to put In P""aPP+ Pd•t4 sea Ikn deterrent and remove wN-ownermmpl1.1 $ 1390 S 1.0,00 $ 1.W M,C. 3,36.00 Col F.. $1a0,85 TCS 7/7/2021 Towle, Fee SBaats aver 147 Con0an ,Ihr gh $23 Plks 30A Coen C t 525 w. iW COntrattplCm M. C. 3.36.0',0 C Fee PassT m 525.72 Yes 7/1/2021 TWIns Fr.(awu uPdtf 14'1 Clly Rall $ 6900 $ 7000 M.C. 3.36030 C Fee $70,43 Yes 7/1f3021 WNL Llst fm Balboa Ymhl Basin SNps and Gara,H S 28.0 S 33,00 5 5.00 M.C.3.36.030 CO55FM 5 33.W Y.. 7/If2D21 WFIt Ll.1fpr0a1baa Yacht BasinlMrdna park Oinghy Racks 5 2300 S 75.0 5 2.0 M.C. 3.36.030 COW- $ 35,72 Yes 7/1/2021 W.It L lst fee Llve Aboard $ 5.0 $ MOD $ 2090 M. C. 17:10.I101b} COiFee $ 25,72 Yes 7/1/2031 UgR DEPAWMEW Llbnry Servkes Bkck and While Cepks Pe"M C.15 $ 0.35 S 0.20 Pass Thry S 0.39 No 7/l/2021 W.C.P4s W.Py S 0.75 S 0.45 $ (0.30) P..Mt 5 0t9 No 7/,/2011 P12,1FC WORKS. E.GINEERlNG Covenant A,reemrnL Research 8 aevie Fee Charges hourly $ 15500 $ Ifisw $ 13.0 02[.336030 C Fee 5 168-10 7/312031 Dining FncroaNmenl Permit Applkaden S 417,00 S 459.0 S 42.00 Council Polity L-21 M.C. 13 fe03G Raw 95266 20046D GOS-Fee S 459.91 Yes 7/1/3021 Dlnln, Encroachment Permit Transfer S 232.W $ 211.90 5 (23.W1 Ceuncll P.Hi L-21 Re 9526&2000-60 COS•FM $ 231.23 Yes 71WO21 Document Re..rdarlon Fee S 213.0 $ 204.0 $ 19.0) M.C. 336.030 M&Faa $ 204.45 Yes 7/1/2021 Ease m Dead Res.areh, Revi IProcessln, $ 237.0 $ 252.0 $ 20.0 M.C. 3.36.030 WS.F- $ 252.14 Y., 7IV2021 Enuoachment & Erg. Apeemert Pn 5 909.00 S 57600 S 1333.00 M -C. 3r36 030 COW- S 576.31 Yes 71,2021 Enr+each-L Eng -Agreement Prep - PlWnl"Co isiloa 5 909.0 $ 313900 $ 2,230.00 M.C. 3.36030 [ Fee $ 3,139.99 Y. New Fee 2021 7/1/2021 Enwaohmart Permit WRh Other Drpt/p N. Review $ 306,W $ 412.0 $ 136.00 M.C. 1306.020 C Fee $ 142.92 Yes 7(1/2021 Encroachment Permfl Wlt WDefier DeptjDrv-Review 5 268,00 S 252.00 5 116.0 M.C. 13.6.020 COW- S 252.14 Yrs 7/1/2023 E.& ... I, Field lm esd9n Cort/GvtW/SitlewalkfOrivrwaYiNonsLnd•rd imp. - Each I.Pecttun 1/30/5ewer/Water Meter/Fke 54Nce/Undergmun4 UVRIe ExL InsP/locaifon/Parkway Orelna-Each lns don $ 163.0 $ 138.0 5 145.0) M.C. 3.36 030 COSH. $ 136.01 Yes 7/1/2023 SwgAtaarl.xF4WMepecxa. bELETE cxhlnsp(iocalbn i 16300 - 1Q]AO 5 A..C.S,i509G CQ"- g 1g1Og 3t.F 3/,/3021 gwLhaarML II -Id o..Yaw DELETE cosi- S Lgb.L: Yea 7/ii]Wi Escrow Aoc mAdminkVxlon E., -Ac ... tAdminutntlon $ 109.00 5 125.00 5 1G.0 Secthn 22WO CAPuhfic Contra.Cad. [ Faa $ 125.66 Yes 7/1/2031 13-18 71[ 711 712 711 7M 719 776 721 7. 771 719 733 734 735 736 13T Y. 739 140 741 743 7u 745 7°A 757 T57 753 Exhibit E -Fee Study Update C. -t Charges Pmpos.d Charges SERVICE NAME pESCAIPTION !.tel or Bele Ft• Twlor Wse lea Incemanlal- T.talor Bas, (gapplkubl,) Fn Incnmanlal REFEREPK£ Tottl.r ft.. Inc..menul TYPE Ftp (d �ppllc. bl.} WI Nat., knplamente11" Det. Lot line Adusment ChKkkg Ftr 5 1.20100 5 1,174.0 5 127031 M.C. 3.36.030 Cade. 5 1,174.21 Yn 7/1/2021 Monlmdng Wells Perm1U IEPTEA) 5 SSS.m 5 347.00 5 1212m01 M.C.3.36.030 COS -r" S 347.53 Yes 7/1/2025 News Rack P.rm16 Permll 5 120.0 $ GLm0 $ 59110] M.C. 5.70020([) CDSfee S 61.37 Yes 7/mo71 Parcel Mep Cher.- 5 2,768 a0 3,107.0 5 33900 M,C 3.36,030 COS.FN S 3.107.25 Yrs 7/1/2021 Plan Check Ehgi... Hng Plan Check Fee - Charged hourly S 172,00 5 703.00 5 33.00 M.C. 3.36.030 COSF" $ 203.91 Yes 7/1/2021 OELETE -5609 6 M.G.7.u.cia CQ&4 • i acc.]c w. a}ay02E ShortCl-1. P.rmg with E.glneennl R.view Ttmporary Cl. ­& of Pub9c P(.penv $ 73,00 S 78.00 5 Sm M.C. 17.62L020M) [os F.. 5 78.36 Yef 7/1!3021 StrutCbsure Permll wlthous EI9iI11119 Review 7tmparary Cl o'm Of public Property $ 30,0 S 30.00 5 M.C. 12.62.020(E] OOSLFar 5 30.59 Y., 7)1/2021 Street Eanment and V -d.. Pr. WI, Fee $ 1,137.m $ 1,015.0 $ 122.00) M.C. 3, 36,030 COSFer S 1,015.23 Yes Bases hourly We if 6.75 haurs 7/1/2021 T7glfk CoM1t.el Pre, Check B% -e 11-!11^a1T; per shoe[ 5 73,00 S 78.00 $ SAO M.C. 3 36L COSFee 5 7636 Yes 7/1/2071 7l.fTP: C.,U.l Pleas t Fe:k 24-x36-; Per shoe[ 5 I59.m j 173,00 $ 1400 M.C. 3.36030 CDSFee $ 173.76 Trf 7/1/702% T,Ifl. Subd'r .anI ., Cnl:r. Char rd h -Hy S 155.0 $ 168110 $ 13m MC_3-36m30 CO FN 5 16a.10 Yrs 7/1/2021 PUDtKWORl6 HARBORRESOURCIS pl.. R..kw Appeals - NBMCChapt,r 17.65(AppU... t Succes5luH Apls,ai to Harbor Commissi.n 100% L.adrd Hb.H, Rite $ M.C. 17, 65 COSF•e $ 2,13066 Yes O'%At..v per M[_ 3,36030 E.hlhi% A 711/2021 Appeals -N5MCChapler 17.65(Aapllunt Unsucceutul] Apptal to Hub., Ca 1m ,ion 100% Loaded Hourly Rale $ 1,750.DD MC, 17.65 ms.F 5 2,130.66 YES S1,250 AtWwy per M.C. 3.36030 E,hlblt A 7/1/2021 Ap"A,. NEMC Chtpter 17 65 S- 1,1) Appeal 1p City C....11 100% Loaded Hourly Rate 5 M.C. 17, 65 COYFee 5 1,461.45 Yes 0%R ... v,r per M.C. 3.36.030 Exhibit A 7/1/2021 A-11 NEMC Cbbptw 17.65 IAP01-tUrtsursnst.l} Appeal Lo Oly Counrll lW% Leaded Hourly Aas! 5 940.0 M.C. 17.65 MO Fre $ 1463AB Yes $9409 ... very per M C. 1 MOW W lbll A 771/2021 4p•eeLNeeriy DEIETE IMa•IM WA M.G.10.6gA3p ami .a g•s 1001Ltuad•dJlpu4s•a••- 3/1/]021 BELEM i 3Gcw 6-100.07 6 Mi1J.6CCiG GOil�a ku. 4 xea 610p^---� Nk P. -It Transfer Com v.1..d nen rommrreal pkn $ Z60.m $ 245 m 5 (15,010} M.C.17,60= 01 [ F•t S 245.-9 Yes 7/1/2021 Plan Check Fel New Consop.si.n w/ Agency Approval 5 SB2m S 245.00 S 337.0 M.C. 1750.020(01 [OSP_ S 24549 Yes 7/2/2021 Plt, Check Fn add.., for Harbor C - mm- P.bllc Hearing New Cmibtr tfp w/Aa,n Approval NA 5 2.130.0 M.C. 1730,=)[D} COSFee $ 2,130.66 Yrs New Fee 2021 711/2021 Pr,, Check Fee Malnlenan.t 5 136m $ 61.00 S (75.001 M.C. 1750m2xa; COSF.. 5 61.37 Yes 7/2/2ozl AGP Dredging Permit 5 2.90O.m S 3,262.0 $ 1,367.0 M.C. 1735 020(01 Coy F.. $ 7,766.69 Yes 4Z%ArcaYrryp,r M.C.3.36m30E,hlb11A 7/1/2021 PHRLK WONIO - MUNICIPAL OPEP.4T1ON5 Solid Wast, Fr ... hhr App6utian S E37.m 5 95(1.0 $ 113.0 M.C. 12.63.0517 CDsr" 5 950.51 Y., 712twn 5pol.m.W Tree Tdmmbg Ser Notes SeeHolts M,C_3MO30 Pass Thep Sea Nolrf No 100% O1 C..b•dar C.s1 711/21321 tree Plbrting/Ar l Set Ncrl4 See MHm M.C-3.36.030 Pau 7hry Sea Notes No 100%xf C.nUlCtOr COR 7/1)'2021 M dhkon Waste M anagement Admrnlsvateon F!! Admi btr mn Fre Demali0pn 5 219.0 $ 265.0 $ 46,0 M, Cr 1507.035 C06-Fw $ 265.94 Yn 7/I/2021 PUBLIC WORMS - WATER QUALR /00NSFRVATION/EhNIRONMENTAL EVCharye, Per kWh $ 0.366 $ 0.466 5 0.10 M.C-3,36030 co"_ 5 0.466 (orlgrnally adopted lhrpvgh re3plptlan 2015- Y.1 DI 3/10/2021 EV Charge, 0vprsu Charge Per W.W. •Nrr 10 minu[e gra.. period N/A $ O,1m Ptruhv Moved out ar EYOverstay ad,Wslndv! No dladpn, --ty 561 4/33/3021 WQ ConfUulsbn Sht lnflwrfl.M1S-low Inspecibn 5 1200 5 152.90 $ 3200 M[_35-10070 Osr.. 5 152.56 Yes 7/1/2021 I 13-19 E lblt 1 -Fee Study Update Current Charges Propomd Charges Sik7FLCE 1"9 DEEC61PT10N Tor,l or ft. I-Tebl In -i-I- or a.tr F.r (P •Pplk.bw) Ta,l ,Base F.a Inrr.ment,l wFoomm Tot.tor e.0 Insr.... t.1 IYK F.. (a •Pplkabiel CPI Not. ImPl.-tante Da'. WGCona ctlonsft,h wdrns Medium J.q cthn 5 Imoo 5 457.60 s -3111, MC.15.10OX COY I- 5 A57.74 Yes 711/2021 WDCan5buc1P Silelnsper Vons Nigh I -P-1- $ 120.00 $ 1.220.00 5 152.00 $ 1.1CD.w MC_"AD070 co". $ 1,220.64 $ 152.Se Raw fee Plus In,rymenul to, each i,so,ctW Ye greaser than B lnspettions 7/112021 L3EgIi18f 114L1D Mimall.n.nu, DELETE I Fy- i -I= i�� j aA,G.i2Gyy yMry 6;21yp Al. DELETE i 410 $ IEi90 f-� Pfa. Idi.hAas Mnu.l GmIll Dlsoosal MN .tion Fee Annual Fee $ 576.00 $ $99.00 $ 23.00 M.C.14.wmc WSf_ $ 599A6 Yet 7/1/2021 FDG Ann Pennll Annual Fee 5 $ S M.C.1430 CDs.T.e $ 179.74 Yes 0% Recovary wr M.C. 3.36.030 Eahlbit A 7/3/2021 FOG Non0om0un,e wr.d4Nfen.l lntpKTfon FI/A $ Am M.C.1430 DOSE. 5 70.00 Yes New Fee 7021 7/3/7971 Re-lnspectian Fee Hourly N/A 5 165m MC. 3.36030 co"_ 5165.68 Yrs New Fee 2023 711/2021 O1111des Field Ins Ce Sewer C.n .i.n/Waler Service A..Ay P., Inspect- 5 135.00 5 26990 $ 134.00 M.C. 336.030 COS4.. $2tmiA Yes 712m21 S..e.T (pond F..a Sawsr 417 Boa (Mph Line) se-, Clean a., $ 34.00 $ 38.79 $ 4.79 M.C. 3.36930 P.n Th,, $ 38.79 Na Aetu.l rods 711IM21 Sewer ATT Baa Lid IMaln Lhe) SM Clan Out 5 30.00 5 MAIL 5 448 M.G 336930 Past Thn, $ MAI Na AR w -U 71112021 3awer Only EmbOshment Fe, NIA 5 4990 M.C. 3.3693o COSFee $ 49.22 Yet New Fee 2021 7/1/2021 W.I., N.3.nd F.n 3/41n,h Meter Ba. DEW, Muhl Purpose 9.25 $ 52.79 N/A M.C. 336930 P..Th. S 52.79 Na .-I Torts 7f1nom ij4awaA#N..ei.a DELETE W1N18a-A.Aller ( -- i G.ei I:A MC.3-A8.080 P_ _ -A_ i e+r 3/4 Inch Meer Bw Lid OFW, Mu6I Purpose FarRxhway-Lild.walY $ is 25 $ 2585 N/A M.C. 3.36, 030 P.. Th- A Z5, Be No Ad..l cotlt 7/112021 7,W1.4bJ.g4{.c8.4yd DELETE Fat3a.IN.iAllay i 20.jtl i +'pE{I 49A ab ACLwLws[s ZAOQW4 S/Bg 3/4 IT& W.I., Meter Nuel! -AMI $ 5015 5 172.-0 S 122.15 M.C. 3.16 ow P.t,Thn, S 172 AO Na Arcual costs 7/1/2021 I L,,h Meter Boa Df IV, MOV P.10- $ 6318 $ 7b.32 5 17.14 M C. 3.36 030 P.0 Th- 5 7837 1M Aaual cetq 7/112021 1 1-0 Meer li 4 L14 OFW. Mull! P.-,. $ 3548 $ 4202 S 6.54 M C. 3-36.030 Pa.. Thea 5 4292 No Am.1 CvA, 7/1/2021 &&Ial AaMr-6a. DELETE j� f ;3,00 i 164.G.8AfA30 Vwa-ilw ( 33.W IN JlsWal.wia 3/bGDii 7J..h Ma4.F8.. DELETE G.Hr.AieJ.Mey i 38.W L 57.00 t A444 64m A...mbw. i •^ ^0 13p JL.{NaLa..tt J1177WL DELETE Fa.R..1w.e.8.eid.welk i i:L7 C :J+Oti i F.IL. 3AiOa0 A.er->ir ( 7790 io aw..aLrW�p9aE DELETE Fer-irNN.g..4N.y i�5890 i -- iem f MSG-i.iFGJ4 AawTFws ( 74.06 aN 4..Ne.0 7jil�Qii S Inch Water Men, M..11e NAI $ 121.50 $ 193.95 $ 72.45 M. C. 3.36930 Pao Thm $ 193.95 No Actual wtu 7/1/7921 1.5 1,& Turbr-Wade, Meier MJe11rr AMI $ 700.00 491.34 $ (xeiz M.C. 3.36930 P..s Thnl 5 491.34 No A,I..l tuft. 7/112021 LSM,h Water Matar MuetlerAMI 5 28590 5 463.33 $ 178.33 M.C. 3.36930 Past That S 463.33 No A,lu.l,mu 7/1/2021 21x1, Meter Boa DEW, Mufti Purpose 5 17553 $ 138.69 5 13.36 M.C. 336.030 1,n Thn, 5 13669 No Attu.! rust. 71112021 21MCh Mater BJ, Lid DEW, MURI Purpose $ 77.71 $ ]2.19 $ 5.521 MC -3 Isomo Pan Thn, 5 72.19 Nu Att0.1.,b 7/1/2021 7lnaMA4eer-Bw DELETE FwJWAw.yiiW.wWa j 0009 i M,G.i.A8,W9 Ar.4iw.: :7.79 Fla .P.tN+Fa.an 313176}7 DELETE FnaT U.l.Aik,, i 72.90 i Nva i M.c.i.76.Gw h.Ms3w i i7.pD No -0d..F..aL. }1y12o=y 54. a, 4a4e.$a.W DELRE pie -A"..L .t. a{i/7WL 13-20 1031 1032 s®3 1 o3s 1095 1936 6037 IMS IM 1100 tt01 1107 3176 1127 IIT 1129 1130 Exhi hit 1 -FDD Study Update Current Charges 1 Proposed Cherg- und.ddow• I F..® Pallc. -.1 1 Ad- _..rI .rfra.. SEAYICE NAME DESCRIPTIDN Total or B.sr F.e Total or Biu Fa! IncnmennlTehl Ilf applluhW) or 0aa! fn•••ment.l Fee FVIRENCE TYPE Total ar 9.s. InlremenhI Fn {H aPP0u61e1 CPI N­.h6pl_Mal . 1Ma i-IwcAAaeM+{wW DELETE Gw.1.sFFci.Wer G :t7.N i usa9 I.I,G.i.iFCa7 w.silrw. i KiAO F1n-A�ual+osts 7/E{iPii 2 Inch Turblrle WM MeM, Mueller AMI $ 34500 $ 573.23 $ 071.77] MC. 3.36030 Pan Thnt $ 573.33 No ACWlI [MU 711%2021 1 Inch Water Melff Mua3,AMl 5 425-00 5 565.69 5 14069 MO 336030 PeuTM 5 565.69 No Att.id COtt4 7/1JZlR1 YWI.NaNe.A4eIw DELETE F iiY9� G ir4i000 M..a,fcABY paer9lrwr F--�337.W Na J1ci.a4wsa 3(ij1G�,l 4,.*V h.4.4a DELETE 6 p1 S 4r749 = 6 M.6,-3�3LAt0 Paas-T1w G k7i0.00 Ne �SWlFsosFa Jfl/els &4w 6� DEC ETE G 7i1WA0 G irID000 6 aAie3.lGOiO aa•r-m- 4_440000 NW �Si.M wrta 3HF2Wi 11aeMWWM A4.l.r DELETE G Sd46 : 6--&84F,M. C - M.G.3,ii3Ota 3aaer44- ii-� 49-A..Aeesle aFL/wu CanstruaOgn Water Mehr Esta511ahment Charle $ 114.00 $ LOOM $ (14001 M.C.la.79.070 COSFee $ 2DOA/ Yes 50%R...v ,,,,M.C.3.36,D30EaWWA 7/1/3021 ConsVuclfpn Water Meter Mltef DfMIR $ 973.00 $ 1,2som $ 277.00 M.C.1410070 Dap -h $ 1250.00 Nn 7/1/7021 Cane _ W.- Merl, Monthly Char. See Nolen Sae lhl e, M.C.14.20--070 C Fee See Nele Same mst es 2" math 7/1(2021 Cl3rulurnl Wal, S,var Olacent(n.- 5 303.00 $ 14D.00 S 3700 M C. 1412090 COSF.. 5 140.21 Its 7/1(2021 Oe9•tquenl W.I. Semice Arsloration BuilmuHoun S 18100 $ 26000 5 72.06 M.C. 14.12.125 ODSF.. ➢unlSlve $ 160.24 Yes A Me of 5100 h included In the IoW amount. 7/112021 DeYnR... t WaSer Sernce neamneloar Law Income Hww"d (babw 20M f the laden l poverty lim) 6uyMUHaury $ 5000 5000 5 M0. 31.12.125 COSree Punlelve 5 195.36 SSD recovery per CA HIaI1N end Safety Code Yet 116914(apll 7/1/2071 Delinquent Wain Servfm Rtmntfn NOn Busl-Hwn $ 314.00 $ 279.00 5 (35.001 M.C. 14.12.125 CDiFee Pu.W- S 17901 Yes Aline of$100 h Included in thelqul amount. 7/1/2021 D.Iinquent Water Seryicl Alsmratlpo - LOW IMOmr HOulrhald IbeleW 300%CFthf ledrril puvrrty liner Non 6uslnns Hwra $ lww $ IMOD, $ MC. 14.17.125 COS -F" Punhlw 5 314.13 5150 recovery 9e, CA Hl41M aad $afaly Cede Tes 1169144)(11 7/1(2021 Hydrant Flaw Test- Hfghwey Test lhllghl Tlmel 5 558,00 5 50&00 5 152.00 M.C. 3.36030 COiF.. 5 506.3) Yea 7/l/7D21 Hydrant Flow Test- Non Highway JReeular Houn) $ 37600 44900 5 7300 M.C. 3.36.030 00SFee $ 449.17 Yes 7/1/2021 Malo floe Yalve Boa Watef YHvrBaa fir -=:"'-.°-q $ 36.00 $ 38.79 $ 2.79 M.C. 3.36030 Pau Th. 5 39.79 Ne A .w _u 7/112021 Mafn Lina V.1 -11 -Lid WaL, Yelvr Ms L id'---�"e�Al:p $ 32W $ 34,111 $ 2A3 M.C. 3.36030 MUTMu 5 31411 No ACtWl-U 7/1/2021 Wel, erM Sewer Service EshbFshment Fee -Business Houn 5 7400 S 170D0 5 4600 M{. 14.12065 CW -F- 5 120.25 Ye. 7/7/2021 Wat,and5 .,S."M-fsrab5shmena Fee-9uilneu Hwm 0,1L $ 7400 5 116.00 5 42,00 M.C. 14.12.035 [ Fea 5 116.66 Yes 7/1(1021 Wa twd Sewer Se . Euah4shment Fee -Non Bur2neFa Hours N/A $ 32100 M.C. 14.12085 COSFee 5 321.30 Yes New Fee 2021 711(2021 Watar Sf vilf IOstallatf- Fm New 0, Enlarged Waley Service $ 587,00 $ 713,00 $ 126,00 M.C. 14.13.010 COSF_ 5 713.31 VH 711IM21 Water Shut Off -Tag Placement Pfnk Notin $ 3700 $ 3200 $ M4,14,12.120 C054. $ 3204, Yes 7/1/2021 13-21 ATTACHMENT B ORDINANCE NO. 2021- 7 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, AMENDING EXHIBIT A TO NEWPORT BEACH MUNICIPAL CODE SECTION 3.36.030 RELATED TO COST RECOVERY WHEREAS, Section 200 of the City of Newport Beach ("City") Charter vests the City Council with the authority to make and enforce all laws, rules and regulations with respect to municipal affairs subject only to the restrictions and limitations contained in the Charter and the State Constitution, and the power to exercise, or act pursuant to any and all rights, powers, and privileges, or procedures granted or prescribed by any law of the State of California; WHEREAS, the City funds certain municipal services, which are typically performed without request by the user, benefit the public generally and are traditionally funded by tax revenue; WHEREAS, the City performs other services which are funded in whole, or in part, by a person requesting the service; WHEREAS, Subsection 3.36.030(A) of the Newport Beach Municipal Code ("NBMC") provides the cost recovery for user service fees specifically requested by a person shall be at one hundred percent (100%), unless the amount is modified by the City Council in Exhibit A to Section 3.36.030 (Cost Recovery Percentages) of the NBMC; WHEREAS, the Finance Department conducts regular fee studies and makes recommendations to the City Council regarding adjustments that may be made to the cost recovery amounts provided in Exhibit A to Section 3.36.030 (Cost Recovery Percentages) of the NBMC, to ensure compliance with the law, consistency with current practices, and the maintenance of a high level of customer service for our residents, WHEREAS, on February 18, 2021, the proposed revisions to Exhibit A to Section 3.36.030 (Cost Recovery Percentages) of the NBMC, were presented as a receive and file to the City's Finance Committee; and WHEREAS, City staff recommends the City Council adopt the proposed revision as depicted in Exhibit A to Section 3.36.030 (Cost Recovery Percentages) of the NBMC. NOW THEREFORE, the City Council of the City of Newport Beach ordains as follows: 13-22 Ordinance No. 2021 - Page 2 of 7 Section 1: Exhibit "A" to Section 3.36.030 (Cost Recovery Percentages) of the NBMC, is hereby amended to read as follows: Exhibit A The City's cost of providing the following services shall be recovered through direct fees charged for services. Exhibit "A" limits cost recovery fees to the percentages or dollar amounts indicated below. Service Percentage of Cost or Amount to Be Recovered from Direct Fees Community Development Department Chapter 17.65 Appeal—Applicant Successful 0% Chapter 17.65 Appeal to City Council — Applicant Unsuccessful $940 Chapter 17.65 Appeal to Harbor Commission — Applicant Unsuccessful $1,250 Building Appeals Board Hearing—Applicant Successful 0% Appeals Board Hearing—Applicant Unsuccessful $1,715 Harbor Construction 50% Preliminary Plan Review First Two Hours Free, Full Cost Thereafter Planning Appeals to City Council $1,715 Appeals to Planning Commission $1,715 Coastal Development Permit Application Appeals from Zoning Administrator to Planning Commission 0% Reasonable Accommodation 0% Finance Department Admin. Cite Hearings 0% Parking Hearings 0% Payment Plans (Except Parking) $25 Short Term Lodging Permit Suspension or Revocation Hearing — Applicant Successful 0% 13-23 Ordinance No. 2021 - Page 3 of 7 Service Percentage of Cost or Amount to Be Recovered from Direct Fees Short Term Lodging Permit Suspension or Revocation Hearing— Applicant Unsuccessful 50% Zero Bill Reprint 00/0 Fire Department Emergency Medical Services Advanced Life Support (ALS)— Nontransport $400 Basic Life Support (BLS)—Nontransport $400 ALS First Responder Fee $400 BLS First Responder Fee $400 Fire Prevention Candle Permit Program 76% Care Facilities 7-99 Clients 36% Care Facilities > 99 Clients 40.8% Commercial Day Care Facilities 360/6 Hotels/Motels 50-299 Rooms 36% Hotels/Motels 300 or More Rooms 92.4% Operational Permits—Level 1 40% Operational Permits—Level 2 38.1% Residential Care Facility Prelicense Inspection 96% Special Event Permits—Single Event 88% State Fire Clearance 82% Harbor Department Chapter 17.65 Appeal—Applicant Successful 0°/U Chapter 17.65 Appeal to City Council – Applicant Unsuccessful $940 Chapter 17.65 Appeal to Harbor Commission – Applicant Unsuccessful $1,250 Library Services Department Passport Photo $10 Use Fees—Materials $1 Inter -Library Loan $5 13-24 Ordinance No. 2021 - Page 4 of 7 Service Percentage of Cost or Amount to Be Recovered from Direct Fees Police Department Bike Licenses 17% Secondhand/Pawn Dealer Tag Check 0% Registrant—Narcotics 0% Animal Shelter Adoption Fee—Dogs $150 Adoption Fec—Puppies $225 Adoption Fcc--Cats $90 Adoption Fee—Kittens $110 Adoption Fee—Small Animals $45 Boarding Fee (per day)—Animals $25 Boarding Fee (per day}—Small Animals $10 Owner Turn -In Fee $100 Impound Fee—Dogs, Cats, Small Animals $55 Public Works Department Chapter 17.65 Appeal—Applicant Successful 0% Chapter 17.65 Appeal to City Council – Applicant Unsuccessful $940 Chapter 17.65 Appeal to Harbor Commission –Applicant Unsuccessful $1,250 RGP Dredging Permit 42% Recreation and Senior Services Department Adult Sports 500/0--95% Administrative Processing Fee $5 Badge Replacement $5 After School/Camp Programs Camps 20%50% After-School/teen Program 20%50% Pre -School Program 200/o-50% Aquatics 200/6-50% Contract Classes 50°/a---95% 13-25 Ordinance No. 2021 - Page 5 of 7 Service Percentage of Cost or Amount to Be Recovered from Direct Fees Class Refunds $74 or less $10 $75 or more $20 Youth Sports 200/6-50% Special Events—Levels 1, 2, and 3 Resident, Level I and Late Fees for Level 1 01/,20% Resident, Levels 2-3 and Late Fees for Levels 2-3 200/6-50% Nonresident, Levels 1-2 and Late Fees for Level I 200/6-50% Nonresident, Level 3 and Late Fees for Levels 2-3 50°/a-95% Appeal to City Council 500/6-95% Natural Resources Programs 00/6-20% Senior Services Oasis Transportation $1—$3 each way Contract Classes 200/&-50% Fitness Center 500/0---95% Utilities Department Construction Water Meter Establishment 50% Fats, Oils, and Grease (FOG) Annual Permit 0% City Council, Board, Commission, Committee or Any Individual Member Thereof When Acting within the Scope of Their Official Duties Review from a Lower Body or Official $0 Section 2: The recitals provided in this ordinance are true and correct and are incorporated into the substantive portion of this ordinance. 13-26 Ordinance No. 2021 - Page 6 of 7 Section 3: If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this ordinance. The City Council hereby declares that it would have passed this ordinance and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Section 4: The City Council finds the introduction and adoption of this ordinance is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 5: Except as expressly modified in this ordinance, all other Sections, Subsections, terms, clauses and phrases set forth in the Newport Beach Municipal Code shall remain unchanged and shall be in full force and effect. Section 6: The Mayor shall sign and the City Clerk shall attest to the passage of this ordinance. The City Clerk shall cause the ordinance, or a summary thereof, to be published pursuant to City Charter Section 414. This ordinance shall be effective thirty (30) calendar days after its adoption. 13-27 Ordinance No. 2021 - Page 7 of 7 This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the 9th day of March, 2021 and adopted on the 23rd day of March, 2021, by the following vote, to -wit: AYES: NAYS: ABSENT: BRAD AVERY, MAYOR ATTEST: LEILANI 1. BROWN, CITY CLERK APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE A A^--- C_ ( 01-- AARON 1—^AARON C. HARP, CITY ATTORNEY 13-28 ATTACHMENT C ORDINANCE NO. 2021- 8 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, ENACTING NEWPORT BEACH MUNICIPAL CODE SECTION 12.44.111 TO PERMIT THE ESTABLISHMENT OF OVERSTAY CHARGES FOR PARKING AT PUBLIC ELECTRIC VEHICLE CHARGING STATIONS WHEREAS, Section 200 of the City of Newport Beach ("City") Charter vests the City Council with the authority to make and enforce all laws, rules and regulations with respect to municipal affairs subject only to the restrictions and limitations contained in the Charter and the State Constitution, and the power to exercise, or act pursuant to any and all rights, powers, and privileges, or procedures granted or prescribed by any law of the State of California; WHEREAS, the City currently owns and operates electric vehicle charging stations at various City owned properties including: Civic Center, Newport Coast Community Center, Oasis Senior Center, and Marina Park; WHEREAS, the number of electric vehicle owners and demand for public electric vehicle charging stations continues to grow; WHEREAS, parking spaces designated for use of public electric vehicle charging stations are intended to be occupied only while the station is in active use; WHEREAS, encouraging turnover at parking spaces designated for use of public electric vehicle charging stations is necessary to maximize station access; WHEREAS, the City's current Parking Violation Penalty Schedule adopted through Resolution No. 2020-30 includes a fine of $61 for parking at a public electric vehicle charging station while not charging or blocking a public electric vehicle charging station, which would be issued through a parking citation; WHEREAS, new "smart" public electric vehicle charging stations (i.e. network - connected) are equipped with technology to automatically charge drivers for overstaying in a parking space designated for use of a public electric vehicle charging station beyond the charging session; WHEREAS, although a parking citation may be issued to electric vehicles that are not plugged into and actively charging from the public electric vehicle charging station, to encourage turnover at parking spaces designated for use of public electric vehicle charging stations, staff recommends adoption of an automatic overstay charge. 13-29 Ordinance No. 2021 - Page 2 of 3 NOW THEREFORE, the City Council of the City of Newport Beach ordains as follows: Section 1: Newport Beach Municipal Code Section 12.44.111 is hereby added to read as follows: 12.44.111 Public Electric Vehicle Charging Station Parking. No person owning or operating a vehicle shall cause such vehicle to remain parked at a public electric vehicle charging station after the vehicle has completed charging. An overstay charge shall automatically apply to vehicles that remain plugged into the public electric vehicle charging station when the charging session has already been completed. Such overstay charge may be on a per -minute basis after a designated grace -period, which may be established and changed, from time to time, by resolution. Section 2: The recitals provided in this ordinance are true and correct and are incorporated into the substantive portion of this ordinance. Section 3: If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this ordinance. The City Council hereby declares that it would have passed this ordinance and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Section 4: The City Council finds the introduction and adoption of this ordinance is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 5: Except as expressly modified in this ordinance, all other Sections, Subsections, terms, clauses and phrases set forth in the Newport Beach Municipal Code shall remain unchanged and shall be in full force and effect. 13-30 Ordinance No. 2021 - Page 3 of 3 Section 6: The Mayor shall sign and the City Clerk shall attest to the passage of this ordinance. The City Clerk shall cause the ordinance, or a summary thereof, to be published pursuant to City Charter Section 414. This ordinance shall be effective thirty (30) calendar days after its adoption. This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the 9th day of March, 2021, and adopted on the 23rd day of March, 2021, by the following vote, to -wit: AYES: NAYS: ABSENT: BRAD AVERY, MAYOR ATTEST: LEILANI I. BROWN, CITY CLERK APPROVED AS TO FORM: CITY TTORNEY'S OFFICE C_ / ot"_ AARON C. HARP, CITY AfTORNEY 13-31 Attachment D Redline Amended Newport Beach Municipal Code Section 3.36.030 13-32 Newport Beach Municipal Code Page 1/6 3.36.030 Cost Recovery Percentages. A. The municipal functions the City Council has determined to be user services and for which the City Council has initially determined the actual costs and the appropriate cost recovery percentage are described in the fee resolution. The cost recovery percentage appropriate for each user service shall be one hundred (100) percent with the exception of the user services listed in Exhibit "A" and those services for which the fee is limited by statute. The City Council may include in the fee resolution a schedule to phase in specific fee increases over a period not to exceed four years. B. The City Council shall establish, pursuant to the fee resolution, the actual fee or charge for each user service described in the fee resolution. The fee or charge shall be based upon the actual cost of providing the user service, multiplied by the relevant cost recovery percentage. C. The City Council may, without amending this chapter, modify (increase or decrease) the fee resolution to amend the amount of any fee or charge for, and the actual cost of providing, any user service upon a determination that there has been an increase or decrease in one or more of the cost factors relevant to the calculation of the actual cost of providing that service. D. The City Council may modify the municipal functions determined to be user services in the fee resolution and the cost recovery percentage for any service only by amending this chapter. E. Fees for service established in the fee resolution may be waived by the City Council. The City Manager may waive fees imposed on nonprofit organizations for nonprofit sponsored events in an amount not to exceed one thousand dollars ($1,000.00) per year. Exhibit A The City's cost of providing the following services shall be recovered through direct fees charged for services. Exhibit "A" limits cost recovery fees to the percentages or dollar amounts indicated below. Service Percentage of Cost or Amount to Be Recovered from Direct Fees Community Development Department Chapter 17.65 Appeal—Applicant 0% Successful Chapter 17.65 Appeal to City Council – S940 Applicant Unsuccessful Chapter 17.65 Appeal to Harbor Commission – Applicant Unsuccessful $1,250 Building Appeals Board Hearing—Applicant Successful 0% Appeals Board Hearing—Applicant Unsuccessful $1,715 Harbor Construction 50% Preliminary Plan Review First Two Hours Free, Full Cost Thereafter Planning Appeals to City Council $1,715 Appeals to Planning Commission $1,715 The Newport Beach Municipal Code is current through Ordinance 2020-28, passed November 10, 2020. 13-33 Newport Beach Municipal Code Service Percentage of Cost or Amount to Be Recovered from Direct Fees Coastal Development Permit Application Appeals from Zoning Administrator to Planning Commission 0% Reasonable Accommodation 0% Finance Department - Admin. Cite Hearings 0% Parkin Hg earing_s 0% Payment Plans (Except Parking) $25 Short Term Lodging Permit Suspension or Revocation Hearing - 0% Applicant Successful Short Term Lodging Permit Suspension or Revocation Hearing= 50% Applicant Unsuccessful Zero Bill Reprint 0% Fire Department - Emereencv Medical Services Advanced Life Support ALS) Nontransport S400 Basic Life Support (BLS)--Nontranspo S400 ALS First Responder Fee S400 BLS First Responder Fee S400 Fire Prevention Candle Permit Program 76% Care Facilities 7-99 Clients 36% Care Facilities > 99 Clients 40.8% Commercial Day Care Facilities 36% Hotels/Motels 50-299 Rooms 36% Hotels/Motels 300 or More Rooms 92.4% Operational Permits—Level 1 40% Operational Permits—Level 2 38.1% Residential Care Facility Prelicense 96% Inspection Special Event Permits—Single Event 88% State Fire Clearance 82% Harbor Department The Newport Beach Municipal Code is current through Ordinance 2020-28, passed November 10, 2020. Page 2/6 13-34 Newport Beach Municipal Code Service Percentage of Cost or Amount to Be Recovered from Direct Fees Chapter 17.65 Appeal—Applicant 0% Successful Chapter 17.65 Appeal to City Council - S940 Applicant Unsuccessful Chapter 17.65 Appeal to Harbor Commission - Applicant Unsuccessful $1,250 Library Services Department - Passport Photo slo Use Fees—Materials Sl Inter -Library Loan S5 Police Department Bike Licenses 17% Secondhand/Pawn Dealer Ta Cg heck 0% Reeistrant—Narcotics 0% Animal Shelter Adoption Fee—Dogs S150 Adoption Fee—Puppies S225 Adoption Fee—Cats S90 Adoption Fee—Kittens 110 Adoption Fee—Small An-imals 45 Boarding Fee (per dayl—Animals S25 Boarding Fee (per day)—Small Animals SIO Owner Turn -In Fee 100 Impound Fee Dogs, Cats, Small S55 Animals Public Works Department - Chapter 17.65 Appeal—Applicant 0% Successful Chapter 17.65 Appeal to City Council - 940 Applicant Unsuccessful Chapter 17.65 Appeal to Harbor Commission - Applicant Unsuccessful $1,250 RGP Dredging Permit 42% Recreation and Senior Services Department Adult Sports 500/-95% Administrative Processing Fee $5 The Newport Beach Municipal Code is current through Ordinance 2020-28, passed November 10, 2020. Page 3/6 13-35 Newport Beach Municipal Code Service Percentage of Cost or Amount to Be Recovered from Direct Fees Badge Replacement $5 After School/Camp Programs Camps 200/o-50% After-School/Teen Program 200/-50% Pre -School Program 200/-50% Aquatics 200/-50% Contract Classes 500/-95% Class Refunds $74 or less $10 $75 or more $20 Youth Sports 200/o-50% Special Events—Levels 1, 2, and 3 Resident, Level 1 and Late Fees for Level 1 0%-20% Resident, Levels 2-3 and Late Fees for Levels 2-3 200/-50% Nonresident, Levels 1-2 and Late Fees for Level 1 200/-50% Nonresident, Level 3 and Late Fees for Levels 2-3 500/-95% Appeal to City Council 500/o-95% Natural Resources Programs 00/-20% Senior Services Oasis Transportation $1—$3 each way Contract Classes 200/-50% Fitness Center 500/-95% Passpott Photo 94-0 Inter- Tr�oari 5 Fire nmet - A dyaneed Life C....pott (ALS) T C'\ r]. sie Life Support (BLS) Nentfans..o $400 The Newport Beach Municipal Code is current through Ordinance 2020-28, passed November 10, 2020. Page 4/6 13-36 Newport Beach Municipal Code Service Percentage of Cost or Amount to Be Recovered from Direct Fees ATC First Responder Cee $400 BLS First Despnnde« Cee $400 T.i..e D.. ntie Candle Defmit D«......e.« -7"0 Care C eil:t:e:1:«:e.. 99rc,...t,. Cafe C�seil:t:eiliti... > 99 rre«t.. �� p 40 904 romme.e:el Day Cafe C„e:rties CHetel s n.4atel s JV 299 Ree iii Hetel. Betels A 0 or Mere n e, ms- 9'1A04 Oper tie«el ne.-...:u r e .el 1 Operational ne.-...:tq r e .el 2 D esi d-entiel Care Cee:l:ty D«elieense laspeefie 9"0 C"0 Junior- bifeguards - .fiffin:e u ffirasPart:eipa tion Fee V-17 De1Cee Tepa -toren Bike Lieenses 4-7-% Seee..,17...«,1/D......, Dealer Tag Cheek "�0�� tl0 Aminal Shelter - Adoption Fee Dogs 84-50 Adoptiefi Fee Puppies 92 -LS Adoption Fee EusS SW Adoption Cee T7�tte« �e Adoption Fee C.......1l An imal:.«..1s W D,....., ing Cee (per day) Animals als SM Bearding Fee (per day) Small Animals &9 Tiifn in 814-W impoundOwnef ee Dogs, is Small 44;ima19 The Newport Beach Municipal Code is current through Ordinance 2020-28, passed November 10, 2020. Page 5/6 13-37 Newport Beach Municipal Code Service Percentage of Cost or Amount to Be Recovered from Direct Fees Engineering - L'«..4:sa .1.«.ent Permit without Od er Tlepai4ment/lliyisien Revs.... " L'n........ hMP'nt De.....:t .:d, Othp'r ----------- Department/DivisionDe.: 57-O Harbor- Departmen Appeal a f T ..ase/D, emit .....,1.... !`hapt.... 1'7.65 M -N 3�4� Finance Department Payment Plans (Exeent Par4 ng) SW Pafking14 1 - Admin. in Cite u, .frogs 11-% Munieipal Utilities Department Construction Water Meter Establishment 50% Fats, Oils, and Grease (FOG) Annual Permit 0% City Council, Board, Commission, Committee or Any Individual Member Thereof When Acting within the Scope of Their Official Duties Review from a Lower Body or Official $0 Page 6/6 (Ord. 2020-10 § 1, 2020; Ord. 2020-5 § 4, 2020; Ord. 2018-15 § 1, 2018; Ord. 2018-13 § 1, 2018; Ord. 2016-14 § 1, 2016; Ord. 2015-29 § 1, 2015; Ord. 2015-9 § 1, 2015; Ord. 2013-18 §§ 1, 2, 2013; Ord. 2013-1 § 1, 2013; Ord. 2011-28 § 1, 2011; Ord. 2011-10 § 1, 2011; Ord. 2009-32 § 1 (Exh. A), 2010; Ord. 2009-21 § 1 (Att. 1), 2009; Ord. 2008-14 § 1 (Exh. 1) (part), 2008: Ord. 2004-4 § 3, 2004; Ord. 2002-26 Exh. A, 2002; Ord. 2000-24 § 1, 2000; Ord. 98-18 § 1, 1998; Ord. 97-8 §§ 1 (part), 2, 1997) The Newport Beach Municipal Code is current through Ordinance 2020-28, passed November 10, 2020. 13-38 Attachment E Application of Indirect Costs to the Calculation of Fees for Services 13-39 The purpose of this exhibit is to provide a detailed explanation of the methodology used by the City of Newport Beach to incorporate indirect overhead costs in the development of the municipal fee schedule, using the Harbor Department, Special Event Permit — Simple fee as the example. Permitted special events held on the waters of Newport Harbor allow for an array of unique organized programs and activities to take place in the bay. Sailing race events, rowing regattas, fishing tournaments, and anchorage raft -up activities are just a few examples. In order to ensure that a special event can take place safely and ". W+ successfully, staff collects information about the scope of the event, time, dates, and other important event details. The Harbor Department staff will review details of the program, confirming, among other things, naftupeven bailoworganizationstotic vessels tooneanother, for that the proposed program: does not conflict svciaiiringwhile using the public anchorage. Permit conditions forraft-up events include: total numberof allowable vessels, permissab le tim es for use with other previously approved special uses of gene rators,amphifiedmusic,and safety relatedterms. of the Harbor; unreasonably impact regular activities on the bay; or impose on the neighboring residents. Following the review of application materials and planned activities, specific conditions are incorporated into the permit as part of the approval process. These conditions provide guidance for issues such as: use of amplified music, locations, set up requirements, etc. On the day of the scheduled events, Harbor Service Workers will check with event organizers to ensure the terms and conditions set for the event to be successful are being met. The following steps demonstrate how the Harbor Department, Special Event Permit — Simple fee is derived: Step 1: Calculate Hourly Staffing Rates and Burdened Factors The first step is to determine the hourly rates of staff providing the services associated with the fee. Table 1 below provides the hourly salary and benefit rates plus the hourly burden factors for the staff that are responsible for performing this task within Harbor Department. Indirect overhead costs or "burdened factors" are costs that are not directly accountable to the expenses incurred for a user fee service, but are necessary and contribute to the total cost of that service delivery, i.e. - managerial administration, utilities, insurance, legal, information technology, payroll, and finance, which are all valid components to the analysis of what it costs the City to provide municipal services. 13-40 Table 1- Hourly Rates for Salary, Benefit and Overhead Factors Salary and Benefits Burdened Factors Total Burdened Hourly Rate Hourly Rate Rate Harbor Services Worker $29.85 + $34.14 = $63.99 Harbormaster $114.53 + $131.00 = $245.53 Department Assistant $35.99 + $41.17 = $77.16 The City's cost allocation plan consultant uses the Federal Office of Management and Budget (OMB) Super Circular 2 CFR Part 200 as a guideline to determine the allowable burdened, or indirect, cost elements. The Super Circular is a document that state and local governments use to identify allowable indirect costs when applying for reimbursement of cost from state or federal programs. Although the calculation of user fee services is not specific to applying for reimbursement from any state or federal program, the underlying methodology of identifying costs is much the same. The relevant sections of the Super Circular that specify how direct and indirect costs shall be applied to the calculation of the Fee follows below. Composition of Cost Direct Costs 1. General. Direct costs are those that can be identified specifically with a particular final cost objective. 2. Application. Typical direct costs include: a) Compensation of employees for the time devoted and identified specifically to the performance of the operation. b) Cost of materials acquired, consumed, or expended specifically for the purpose of fulfilling the mission of the operation. c) Equipment and other approved capital expenditures.' d) Travel expenses incurred specifically to carry out the operation. Using the personnel identified in Table 1, the direct costs for the Special Event Permit — Simple fee are found on line 1.1 (total salary and benefits on an hourly basis) in Table 1 a below. 1 Includes maintenance and/or depreciation expense only, not equipment purchases, which are capitalized over a number of years. 4 13-41 Table 1 a Fully Burdened Hourly Rates Harbor Services Worker Harbormaster Department Assistant Annual Salary & Benefits: $ 51,426 $ 197,306 $ 62,000 1. Calculate hourly salary & benefits 1.1 Divide annual cost by direct hours available (1723) $29.85 $114.53 $35.99 Total Salary and Benefits $29.85 $114.53 $35.99 2. Indirect Overhead 2.1 Compensated Absences 13.4% $4.01 $15.35 $4.83 (vacation, sick leave) 2.2 General Administration 14.7% $4.39 $16.84 $5.29 (supervision, support services) 2.3 Operating Expense 32.7% $9.75 $37.41 $11.76 (training, supplies, maint & repair) 2.4 Citywide Overhead 53.6% $16.00 $61.40 $19.29 (Finance, City Manager, Human Resources) Total Indirect Overhead 114.4% $34.15 $131.00 $41.17 Total Burdened Rate: $64.00 $245.54 $77.16 Indirect Costs General. Indirect costs are those: (a) incurred for a common or joint purpose benefiting more than one cost objective, and (b) not readily assignable to the cost objectives specifically benefitted. The term "indirect costs," as used herein, applies to costs of this type originating from staff within Harbor Department, their operating expenditures and administration support, as well as those incurred by administrative departments in supplying goods, services, and facilities. The cost of service analysis includes four types of indirect overhead categories or "cost pools" consisting of compensated absences, general administration, operating expenses, and citywide overhead. a) Compensated Absences - The compensated absences cost pool is used to account for employees' time off with pay for vacations and sick days. The City is obligated to pay for these days off and is required by the matching principle to record the expense when the employees are working, since the benefits are a part of the employees' compensation. It is estimated that 280 out of 2,080 total available hours per year per full-time equivalent (FTE) are taken as compensated absences. This translates into a 13.4% burden factor applied to the hourly salary and benefit rate as indicated on line 2.1 in Table 1 a above. 3 13-42 b) General Administration — The general administration cost pool includes the cost of staff time spent on such activities as budget planning and staffing allocations; public counter and telephone time, meetings, and training and education. The wages of management staff and the workers engaged in administration and support activities are considered an indirect labor cost. It is calculated that 14.7% of Harbor Department's overall workload is spent on this general administrative function as indicated on line 2.2 in Table 1 a above. c) Operating Expenditures — The operating expenditure cost pool consists largely of Internal Service Fund (ISF) charges to the divisions on a cost reimbursement basis. The City's internal service funds are used to allocate the cost of providing general liability insurance and workers' compensation; maintaining and replacing the City's rolling stock fleet; and the cost of maintaining and replacing the City's computers, printers, copiers, and telecommunication services. This cost pool also includes other general operating expenses such as publications, supplies, and training. The operating expenditure burden factor of 32.7% for Harbor Department as indicated on line 2.3 in Table la above is calculated by comparing the total cost of (allowable indirect) operating expenditures to the total (allowable direct) labor pool. d) Citywide Overhead - The Cost Allocation Plan (CAP) distributes the costs of City departments that serve a central service function supporting Harbor Department operations. These "Central Service Departments/Divisions" include: City Council, City Clerk, City Manager, Finance & Treasury Financial Planning, and Financial Reporting, as well as Human Resources Risk Management. The citywide overhead burden factor of 53.6% for Harbor Department is calculated by comparing the total cost of Harbor Department's share of citywide overhead to the total (allowable direct) labor pool (see line 2.4 in Table 1 a above). Step 2: Calculate Time Spent on the Service The second step is to calculate the time spent on the service. The task and time in minutes estimated to complete the task is captured in Table 2 below. Table 2: Task Description & Time Estimates in minutes Step 3: Calculate the Cost to Provide the Service The third and final step is to calculate the cost to provide the service by converting the total minutes to hours per unit (or staff person). The product of the hourly rate calculation times the time spent yields the cost of providing the service (see Table 3 below). 59 13-43 Time Estimate Harbor Services Worker 20 minutes Harbormaster 15 minutes Department Assistant 10 minutes Step 3: Calculate the Cost to Provide the Service The third and final step is to calculate the cost to provide the service by converting the total minutes to hours per unit (or staff person). The product of the hourly rate calculation times the time spent yields the cost of providing the service (see Table 3 below). 59 13-43 Table 3 — Fee is Product of Times and Rates Summary The purpose of a CAP is to accurately, fairly, and reasonably distribute the City's central administrative costs to the operating departments in the City. The development of a CAP follows a series of general guidelines and principles, which originate from federal guidelines established in OMB Super Circular. These principles ensure that allocated costs are necessary and reasonable to the operation of the government. A cost analysis study is almost entirely reliant upon the data provided by the City. Since all study components are interrelated, bad data at any step in the process will cause the ultimate results to be flawed. To avoid accuracy problems and other quality flaws, the study included a series of quality control measures including reasonableness tests and validation; balance and cross checks; and internal City review. Finally, it should be noted that private businesses typically add a layer of profit margin to their cost analysis, public agencies are not allowed to do so. 5 13-44 Total Fully Total Cost Total Hours per Burdened to Provide Minutes Unit Hourly Rates the Service Harbor Services Worker 20.00 0.33 $63.99 $21.33 Harbormaster 15.00 ♦ 0.25 X $245.53 - $61.38 Department Assistant 10.00 0.17 $77.16 $12.86 $95.57 Proposed Fee $95.00 Summary The purpose of a CAP is to accurately, fairly, and reasonably distribute the City's central administrative costs to the operating departments in the City. The development of a CAP follows a series of general guidelines and principles, which originate from federal guidelines established in OMB Super Circular. These principles ensure that allocated costs are necessary and reasonable to the operation of the government. A cost analysis study is almost entirely reliant upon the data provided by the City. Since all study components are interrelated, bad data at any step in the process will cause the ultimate results to be flawed. To avoid accuracy problems and other quality flaws, the study included a series of quality control measures including reasonableness tests and validation; balance and cross checks; and internal City review. Finally, it should be noted that private businesses typically add a layer of profit margin to their cost analysis, public agencies are not allowed to do so. 5 13-44