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SR-400-004-04 (4) f:\atty\muni\strpts\mjm\publicpropertyfee.wpd City Council Meeting 6-10-03 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Ordinance Amending Santa Monica Municipal Code Section 2.72.010 Regarding Fees for Systematic Inspections and Enforcement on Private Property and for Commercial Use of Public Property Introduction The attached, proposed ordinance would amend the Municipal Code by adding language authorizing fees for systematic inspections and enforcement on private property and for the commercial use of public property. Background In keeping with ongoing efforts to preserve services and City programs during the present economic downturn, staff has been evaluating the Citys user fees to identify possible = enhancements to cost recovery efforts. This process identified two noteworthy possibilities for passing costs through to those receiving particular benefits: programs affording routine and systematic inspections of private property and situations in which public property is utilized for private commercial benefit. 1 City safety and enforcement personnel conduct various types of systematic inspections of private property to ensure that the property owner is maintaining the property in compliance with legal requirements which protect safety and health. Such inspection programs include the Fire Department program for inspecting commercial structures to ensure the fire safety of those structures. Similarly, enforcement personnel from Planning and Community Development have proposed operating a routine inspection program to ensure that the holders of various discretionary permits comply with permit conditions which ensure that particular uses of property are undertaken in a manner consistent with the general welfare. Various commercial uses occur in City parks and on City streets and other public property. These uses include filming and conducting various business operations, including sports instruction, physical training, day camps, and other private, corporate activities. The cost to the City of some of these activities is currently recouped through existing fees. As part of its effort to protect City revenues and preserve existing programs and services, City staff is considering proposing some additional fees. Discussion The attached, proposed ordinance would authorize fees which would recoup the cost to the City of routine inspection programs and commercial operations on public property. The ordinance would not result in any particular fee being charged. Rather, it would merely provide legal authorization for such fees. Specific proposals as to amounts of particular 2 fees would have to be considered and approved by the Council. Some proposals will be presented at the June 17, 2003 Council meeting with the adoption of the budget. Financial/Budget Impact The proposed ordinance would have no financial impact because it merely provides authorization for the City Council to establish specific fees by separate action. Recommendation It is respectfully recommended that the accompanying ordinance be introduced for first reading. PREPARED BY: Marsha Jones Moutrie, City Attorney 3