HomeMy WebLinkAbout19 - Approval of Master Fee Schedule and Change in Subsidies - HandoutReceived After Agenda Printed
July 14, 2015
Item No. 19
Presentation Overview
Background (authority, Council policy, fee
administration)
Fee for Service Methodology
Summary of Proposed Changes
Proposed Fees by Department
1
Background Summary of Proposed Fee
Schedule
❑ In furtherance of Council policy, the fee schedule aligns
revenues with the actual (direct and indirect) costs of providing
services.
❑ Each department gets "studied" every 3-7 years whereby fees
are updated to the costs of providing services.
❑ Proposed fees are better defined to reflect the nature of work
performed.
❑ All fees not studied are updated by the Consumer Price Index
(CPI).
Authority
❑ Authority — NBMC 3.36.030 mandates 100% cost recovery (except for subsidies
identified in the code)
Council Policy Directive — Fiscal Sustainability Plan:
Establish appropriate cost -recovery targets and adjust fee structure to ensure that the
fees continue to meet cost recovery targets.
❑ Council Policy Directive — F-4 Revenue Measures:
The City will establish appropriate cost -recovery targets for its fee structure and will
annually adjust its fee structure to ensure that the fees continue to meet cost recovery
targets.
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2
Tax
❑ A monetary imposition
by a government on
persons or property
for the purpose of
raising revenue to
support the purposes
of the government.
A tax need not be
levied in proportion to
a specific benefit to a
person or property.
VS. Fee
- Charge imposed for a specific benefit
conferred, benefit, or product to the
payer that is not provided to those not
charged (should not exceed
reasonable cost of service).
- Charge imposed for reasonable
regulatory costs to a local government
for issuing licenses and permits,
investigations, etc.
- Charge imposed for entrance, use, or
lease of government property.
Fine, penalty, or charge imposed as a
result of violation of law.
Fee for Service Methodology
❑ MGT of America performs cost of service
analysis for developing user fees.
❑ MGT Scope of Work:
® Calculate the fully burdened (labor and
overhead)cost of providing user fee
services;
o Applied fully burdened labor rates to time
requirement estimates and annual
workload figures.
o Calculate the cost of providing the service.
E3 Review and cross check results to ensure
data validity.
Fee Schedule
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3
7/14/2015
Fee Calculation
Example
(Police Department- Jail
Booking Fee Example)
Step 1: Calculate Hourly Staffing Rates and Burdened Factors
Salary and Benefits Burdened Factors
Total Burdened
Houdy Rate Hourly Rate
Rate
Custody Officer
$52.61 + $64.17 =
SI36.78
Police C50 (incl PartTiae(P/r)&Senior(Sr)C50)
$41.18 a $50.23 =
$91.41
PoliceOfficer
$78.04 + $95.20 -
$173.24
Fee Calculation Example
(Police Department- Jail Booking Fee Example)
Step 2: Calculate Time Spent on the Service
Task l)escdp0on&Tnae F nnates Qnn nutes):
Uponentry, artesae
searchedhytr.,Ielg MWtlplesystemcheckon Tawortation to Orarpe
offker arrestees tackgouM County Jail
Custo M Officer 60.00
Police CSO (incl PT & Sr CSO) 20.00
Police Officer 7200
Fee Calculation
Example
8
(Police Department- Jail
Booking Fee Example)
0
Step 3: Calculate the Cost to Provide the Service
36
Public Warks
Tool Fwi,
Toolcost
3
Tool
HoursW Bur4ene4
to Provide
49
Woo.
urvt Hourly Rids
CN, &,..
0
Custody Officer GOOD
IAO SIMM
$116.M
10
Mike M nrcl P/T6 Y 6O) 20.M
0.33 X $91.41 =
$30.47
3
fk4ke OMYer nm
1.20 5173.24
$207.0
193
Development
$365.14
Pro dFee
$355.00
Step 4: Review for Accuracy and Reasonableness
99
Fee Change Summary — All Departments
Police
10
8
1
17
0
0
36
Public Warks
18
18
3
7
2
1
49
Fir. (EMS)
5
1
0
0
4
0
10
Community
66
67
3
52
2
3
193
Development
TOTAL
99
94
7
76
B
4
268
PCT OF TOTAL
35%
33%
2%
26%
3%
1%
100%
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Reasons for Change
❑ Increasing — due to the increase of any service
delivery cost component (e.g. hourly staffing rates,
benefits, supplies, materials, indirect costs)
❑ Decreasing or Eliminated — due to lower cost of
service resulting from gained efficiencies,
technological improvements, combined with other
existing fees, or service outsourcing
❑ Combined with Existing Fees — due to
opportunities for simplifying and standardizing the
fee schedule
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0
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Police Department Fees
Polk. 10 8 1 17 0 0 36
General
PCT OF 28% 22% 3% 47% 0% 0% ]Do%
TOTAL
Fee Areas Under Study: Fees Last Updated:
• Administration 2010
• Support Services
• Animal Control Services Description:
• Patrol These fees cover costs to provide requested
• Detective services such as, animal control, voluntary bike
licenses, finger printing, copies of reports,
animal control, and alarm monitoring
Public Works
Fees
MM.
���MM MM
Eng. and Transp. 16
13 2 3 2 1 37
Harbor Resources 1
5 1 4 0 0 11
Water Quality 1
0 0 0 0 0 1
TOTAL 18
18 3 7 2 1 49
PCT OF TOTAL 37%
37% 6% 14% 4% 2% 100%
Fee Areas Under Study:
Fees Last Updated:
• Engineering and
2010
Transportation Development
• Harbor Resources
Services Description:
• Water Quality
Plan check services, encroachment permits,
field inspections, pier, marina, and mooring
permit issuance, and water quality
construction site inspection
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0
Fire Department EMS Fees
Emergency 5
Medical
Services
PCT OF 50%
TOTAL
Fee Area Under Study:
Emergency Medical Services
1
0
0
4
0
10
10%
0%
0%
40%
0%
100%
Fees Last Updated:
2008 for EMS , 2003 for Paramedic Subscription Service
Services Description:
Emergency medical service transportation for both
advanced and basic life support, including staff time,
equipment, and materials
EMS Fee Changes
ALS with Transport $1,244 $1,654 $410 32.96%
BLS with Transport $1,095 $1,434 $339 30.96%
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Community
Development Fees
Building 30
62 2 51 2 3 150
Planning 36
5 1 1 0 0 43
TOTAL 66
67 3 52 2 3 193
PCT OF 34%
34% 2% 27% 1% 2% 100%
TOTAL
Fee Areas Under Study:
Fees Last Updated:
• Building
2008
• Planning
Services Description:
Plan reviews, permits and inspections, and
various development related services
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Conclusion and Questions
Municipal Fee Schedule Update
City Council
July 14, 2015
7/14/2015
11