AGENDA ITEM
TO: HONORABLE MAYOR
AND MEMBERS OF THE CITY COUNCIL
FROM: CARLO TOMAINO
CITY MANAGER
BY: ALFA LOPEZ
ASSISTANT TO THE CITY MANAGER
ECONOMIC DEVELOPMENT MANAGER
SUBJECT:
title
PUBLIC HEARING - A RESOLUTION AMENDING RESOLUTION NO. 2023-06-6743, AMENDING THE UNIFORM SCHEDULE OF SERVICE FEES AND CHARGES
summary
Summary:
Notice was published in the Signal Tribune newspaper per Government Code Section 65091(a) (4) on January 26 and February 2, 2024; and posted the notice in accordance with Signal Hill Municipal Code Section 1.08.010 on January 26, 2024.
Consistent with State law, the City adopts a resolution approving adjustments to its Schedule of Fees and Charges, based on annual changes in the Consumer Price Index (CPI). On December 12, 2023, the City adopted Ordinance No. 2023-11-1545, resulting in amendments and additions to the Signal Hill Municipal Code. With the adoption of Ordinance No. 2023-11-1545, the City Council approved new applications pertaining to filming activities, code enforcement, vending regulations, and other areas of health and safety. The City expects to receive applications related to these recent code updates; the proposed amendment to the City’s fee schedule would ensure the City recovers the cost associated with providing these services.
Subject to City Council approval, and as provided for under State law, cities may collect user fees to recover costs incurred in providing a specific discretionary service. Pursuant to Government Code Section 660016, et seq., the specific fees to be charged for services must be adopted by the City Council by resolution, and upon approval would need to be incorporated into the Schedule of Fees and Charges.
Strategic Plan Goal(s):
Goal No. 1 Financial Stability: Ensure the City’s long-term financial stability and resilience.
Goal No. 3 Economic & Downtown Development: Improve the local economy, support local businesses, and create a vibrant downtown core.
Goal No. 4 Infrastructure: Maintain and improve the City’s physical infrastructure, water system, and recreational spaces.
recommendation
Recommendations:
1. Staff recommends the City Council open a public hearing, consider public testimony, approve the proposed service fees and charges.
2. Adopt the resolution, entitled:
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SIGNAL HILL, CALIFORNIA, AMENDING RESOLUTION NO. 2023-06-6743, AMENDING THE UNIFORM SCHEDULE OF SERVICE FEES AND CHARGES
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Fiscal Impact:
The proposed updates are consistent with the City’s cost recovery model and are not revenue generating fees. The revised proposed fee schedule represents the cost for services that are discretionary in nature. As such, the fiscal impact will be based on activity levels after the new fees are adopted and implemented, effective immediately after adoption.
Background:
Consistent with State law, on an annual basis, the City adopts a resolution approving adjustments to the Schedule of Fees and Charges, based on changes in the Consumer Price Index (CPI). On December 12, 2023, the City Council adopted Ordinance No. 2023-11-1545, resulting in amendments and additions to the Signal Hill Municipal Code (SHMC). The adoption of this Ordinance created cost-recovery based fees pertaining to filming activities, code enforcement, vending regulations, and other areas of health and safety.
As provided for under State law, cities may collect user fees to recover costs incurred in providing a specific discretionary service. State law, including Propositions 26 and 218, sets parameters under which user fees may be established and administered by public agencies. User fees may not exceed the estimated reasonable cost of providing the service for which the fee is charged. As such, fees are set based upon an analysis of the cost of providing specific discretionary services, including direct support costs.
Pursuant to Government Code Section 660016, et seq., the specific fees to be charged for services must be adopted by the City Council by resolution, and upon approval would need to be incorporated into the Schedule of Fees and Charges (Attachment A).
Analysis:
ClearSource Financial Consulting, the City’s fee consultant, prepared a Cost-of-Service Analysis for each activity within the adopted Ordinance (Attachment B). The proposed permit fees are directly connected to the City’s costs and represent a full-cost recovery model. The Consultant analyzed the cost-of-service service activities in the following areas: Filming Activities, Police Response Service Charge, Boarding Permits, Sidewalk Vending, Mobile Vending Permits and Administrative Citations. The resulting fees are based on time estimates to complete each task, multiplied by a fully burdened labor rate of $150 per hour. A summary description of the proposed activities are listed below by Department:
Parks, Recreation and Library Services Department
Filming Activities (Chapter 5.14.010)
The adoption of SHMC Section 5.14.010 stipulates a written application for filming activities must be completed and filed on a form supplied by the Parks, Recreation and Library Services Department, prior to the first day of the proposed filming activities. A total of seventeen (17) new fees, deposits, and fines are proposed to segment the various types of permit applications that may differ by location and crew size, and help recover the costs of personnel, equipment and facilities.
Police Department
Police Response Service Charge (Chapter 9.18.060)
With exemptions, the owner of premises or responsible party, on private property within city limits, may be held personally liable for the costs of providing subsequent police personnel resulting from an unruly party, gathering, event, or assemblage of persons. The City shall have the authority to impose an administrative fine for multiple response services on any persons who qualify as a responsible party for the event.
Community Development Department
Boarding Permits and Regulations (Chapter 8.58.090)
No person may erect, install, place, or maintain boards or similar coverings over the doors, windows, or other openings of any building or structure or otherwise secure such openings without a valid boarding permit from the City. The fees proposed help recover the City’s costs related to Boarding Permits.
Sidewalk Vending (Chapter 5.06.030)
The adoption of the SHMC Section 5.06.030 stipulates all sidewalk vendors must obtain a Sidewalk Vending Permit from the Community Development Department prior to engaging in any sidewalk vending activities. The proposed fees aim to recover staff costs related to the Sidewalk Vending Permit application and enforcement requirements.
Mobile Food Vending (Chapter 5.36)
It shall be unlawful to engage in any operation of Mobile Food Vending within the City without a valid Mobile Food Vendor Permit issued by the Community Development Department. The term of a Mobile Food Vendor Permit, unless sooner suspended or revoked, is one year from the date of issuance. The fees proposed aim to recover staff costs related to the Mobile Vending Permit application and enforcement requirements.
Administrative Citations-Chapter 8.13.030
Any violation of the SHMC; condition of approval of a permit, license, or entitlement; condition of environmental review; or city agreement is subject to the administrative citation process. The Director of Community Development may issue administrative citations as provided by this Chapter. The fees proposed to recover staff costs related to Administrative Citations requirements.
Revised Fees
The proposed updates are consistent with the City’s cost recovery model and are not revenue generating fees. The proposed new fees can be found in Exhibit A of the Resolution. If approved, the fees would become effective immediately following City Council’s adoption of the resolution and incorporated in the City’s Master Schedule of Service Fees and Charges by April 2024.
Reviewed for Fiscal Impact:
_________________________
Sharon del Rosario
Attachments:
Attachment A: Resolution and Exhibit A
Attachment B: Cost-of-Service Analysis