SR-10-22-2013-8BCity Council Meeting: October 22, 2013
Agenda Item: LL
To: Mayor and City Council
Chairperson and Redevelopment Successor Agency Members
Chairperson and Housing Authority Members
From: Gigi Decavalles- Hughes, Director of Finance
Martin Pastucha, Director of Public Works
Donna Peter, Director of Human Resources
Subject: FY 2012 -13 Year -End Changes and Fee Changes; FY 2013 -14 and FY
2014 -15 Expenditure Changes
Recommended Action
Staff recommends that the City Council, Housing Authority, and Successor Agency to
the Santa Monica Redevelopment Agency:
1) Approve changes to the Fiscal Year 2012 -13 Revised Budget as detailed in
Attachment Al;
2) Approve changes to the Fiscal Year 2013 -14 Adopted Budget and FY 2014 -15
Budget Plan as detailed in Attachment A2.
Staff recommends that the City Council:
1) Review the City's year -end financial status;
2) Adopt a Resolution establishing classification and salary rates for various positions
detailed in Attachment B;
3) Approve the position and classification changes detailed in Attachment C; and
4) Adopt a resolution of the City of Santa Monica setting various rates and fees
detailed in Attachment E.
Executive Summary
Staff recommends various changes to the FY 2012 -13 Revised Budget to reflect
significant events and to adjust capital improvement program budgets, and fee revisions
to correct or clarify the comprehensive fee resolution adopted on June 25, 2013. Finally,
staff recommends changes to the FY 2013 -14 Adopted Budget and FY 2014 -15 Budget
Plan for General Fund expenditure control savings allocations and for position and
classification changes based on changes in operations.
Including the changes recommended in this report, the General Fund ended
FY 2012 -13 with revenues $9.0 million greater than estimated actuals, and operating
expenditures $4.6 million below budget, for a net $13.6 million positive impact
1
compared to projections. These savings will be used for expenditure control budgeting,
the parking access revenue control equipment to be purchased in FY 2013 -14, to
further protect the General Fund in the event of State clawbacks related to
redevelopment dissolution, and to prefund and paydown the City's retirement benefit
liabilities.
Including the changes recommended in this report, Non - General funds ended the year
with operating expenditures $14.1 million below budget, and revenues $1.3 million
greater than estimated actuals, for a $15.4 million positive impact versus budget. These
funds will be used to build reserves, fund ongoing operations, and plan for future legal
costs.
In this report, staff recommends $4.0 million in total expenditure adjustments for
FY 2012 -13: $6.1 million in the General Fund offset by a $2.1 million decrease in other
funds. The majority of the changes are related to the winding down of redevelopment.
Another significant change is due to the closure of the Civic Auditorium, while the
remaining changes adjust capital project budgets.
This staff report also recommends FY 2013 -14 changes: $14,580 in revenue and $2.1
million in expenditure adjustments. Revenue adjustments are in the General Fund.
Expenditure adjustments include $1.9 million in the General Fund, and $0.1 million in
other funds. These changes make staffing and classification - related adjustments and
allocate expenditure control budget amounts.
Background
On June 12, 2012, Council adopted the FY 2012 -13 Budget as the second year of the
FY 2011 -13 Budget; and adopted the first year and approved the second year of the FY
2012 -14 Capital Improvement Program Budget. On October 23, 2012 and January 22,
2013, Council approved certain revisions to the FY 2012 -13 Revised Budget that
adjusted revenues, expenditures and staffing. Changes included in this staff report
represent the final modifications to the 2012 -13 fiscal year.
On June 25, 2013, Council adopted the FY 2013 -14 Budget and approved the FY 2014-
15 Budget Plan as part of the City's biennial budget process. Council also adopted the
second year of the FY 2012 -14 Capital Improvement Program budget. Staffing changes
and expenditure control savings allocations are the first modifications to this budget.
`a
On December 29, 2011, the California Supreme Court issued its decision in the case of
California Redevelopment Association et al. v. Matosantos et al., requiring
redevelopment agencies throughout the State to dissolve according to AB1x26.
AB1484, passed in June 2012, set forth the process to wind down all redevelopment
activities. The new statutes require Successor Agencies to submit Recognized
Obligation Payment Schedules (ROPS) to the State Department of Finance (DOF)
every six months. These schedules request funding for enforceable obligations. While
staff had previously adjusted the FY 2012 -13 budget to reflect known DOF funding
decisions, the status of a number of enforceable obligations has only recently been
clarified and can now be reflected in the City's budget.
Discussion
The year -end report provides Council with an overview of the City's financial
performance as compared to budget, and aligns budgets with significant operational
shifts whose impacts were not known until the last half of FY 2012 -13. The information
gathered during staff's review of year -end budget performance will inform the upcoming
financial status update, to be presented to Council in January 2014, as well as the
exception -based budget process that will be completed in June 2014.
During FY 2012 -13, the most significant impact on the City's finances came from the
dissolution of the Redevelopment Agency (RDA), which affected a number of funds in
addition to the General Fund. Foremost among the funds affected was the Civic
Auditorium, which was forced to cease full operations without the benefit of RDA
funding to renovate the seismically - unstable facility. In addition, without redevelopment
funding to support the administration of senior housing vouchers, the General Fund
must subsidize the Housing Authority Fund. The General Fund also absorbed
additional costs resulting from the elimination of redevelopment agency reimbursements
for project, administration, and debt service expenditures.
3
Fiscal Year 2012 -13 Budget Year -End Status
Despite the difficulties with redevelopment, the City ended the year with greater
revenues and lower expenditures than budgeted.
General Fund revenues were $9.0 million, or 2.8 %, higher than the FY 2012 -13
estimated actual amount. This increase was driven by $3.0 million in property tax pass -
through payments that were related to the dissolution of redevelopment: These
payments, called `residuals" per AB1484, are a portion of the remaining property tax
increment after enforceable obligations have been paid. Measure Y Transaction and
Use Taxes were also $1.1 million higher than anticipated (50% of this amount was paid
to the Santa Monica /Malibu Unified School District), due to the improving economy and
improved collection by businesses. The Transaction and Use Tax is applied differently
than the base sales tax and it often takes businesses time to catch up to proper
collection after imposition of a new tax. Parking revenue was $1.7 million more than
budget, reflecting parking rate increases in the middle of the fiscal year.
Including the adjustments in this report, General Fund expenditures were $4.6 million,
or 1.7 %, below budget. This amount includes $6.2 million from Department savings,
offset by a negative $1.6 million in other adjusting transactions. Over 71% of
Department savings was due to 103 vacant positions. Remaining supplies and
expenses savings indicate more efficient energy use, decreased reliance on
consultants, lower than projected maintenance and equipment purchasing needs, and
conservative spending on ongoing operations. Department savings were offset by $1.6
million, primarily due to additional Measure YY payments to the Santa Monica /Malibu
Unified School District as a result of the City receiving higher Transaction and Use Tax
revenues than anticipated and accounting adjustments relating to savings from the
paydown of the retirement unfunded liability.
Including adjustments recommended in this staff report, other funds ended the fiscal
year with revenues $1.3 million, or 0.5% above estimated actual receipts, and
►.l
expenditures $14.1 million, or 7.3 %, below budget, for a net positive impact of $15.4
million. As projected, the Housing Authority Fund required a General Fund operating
subsidy, included in the recommended year -end changes. Funds historically requiring
General Fund support, including the Pier, Airport, and Cemetery Funds, ended the year
with a positive balance. The Resource Recovery and Recycling Fund ended the year
better than projected due to operational cost saving measures and one -time revenues;
this will help the fund maintain a positive balance pending the Zero Waste Strategic
Operations Plan recommendations. The Big Blue Bus Fund experienced maintenance
and fuel expenditure savings which, along with one -time revenue increases, allowed the
fund to keep reserves intact.
Non - General Fund savings of $15.4 million will contribute towards enterprise and
internal service fund reserves (Water, Wastewater, Resource Recovery and Recycling,
Big Blue Bus, Vehicle Management and Self- Insurance funds, $14.2 million); pay for
grant- funded projects (Special Revenue, Community Development Block Grants and
Miscellaneous Grants funds, $1.1 million); and support future capital projects (Airport,
Beach, Beach House, Pier funds, $0.1 million.
On May 28 2013, staff presented Council with the five -year forecast that projected a
General Fund structural deficit beginning in FY 2015 -16. Fiscal year 2012 -13 year -end
results are better than projected, but are not sufficient to indicate a change in
forecasting at this time. This lower rate of spending is continued in the FY 2013 -15
biennial budget that is included in the forecast, as General Fund departments reduced
operating budgets by $5.5 million in FY 2013 -14 and $6.2 million in FY 2014 -15.
Additionally, approximately $13.3 million of the $13.6 million FY 2012 -13 savings will be
set aside for expenditure control budgeting, the parking access revenue control
equipment to be purchased in FY 2013 -14, to further protect the General Fund in the
event of State clawbacks related to redevelopment dissolution and to prefund and
paydown the City's retirement benefit liabilities.
Fiscal Year 2012 -13 Operating Budget Changes
Recommended changes include $4.1 million in adjustments: $6.2 million in the General
Fund, offset by a $2.1 million decrease in other funds.
Recommended FY 2012 -13 operating budget adjustments include the changes below:
® Housing Authority Fund Subsidy ($87,410) — The Housing Authority Fund has
lost significant revenue from redevelopment agency dissolution as well as
decreasing Housing and Urban Development (HUD) allocations. In particular,
this impacts the amount that Housing has available to cover administrative costs.
The Housing Authority Fund requires a transfer from the General Fund to offset
these funding losses and ensure continued HUD funding.
® Redevelopment Transfers ($3.7 million) — The General Fund did not receive
budgeted transfers from the Ocean Park, Downtown, and Earthquake Project
Area Redevelopment Funds to cover General Fund loan repayments, lease and
property based assessment district payments, staffing costs, and debt service for
Civic Center bonds. To recognize the funding source loss, staff recommends
removing the associated reimbursement budgets from FY 2012 -13.
® Redevelopment Reimbursement ($3.5 million) — The State Department of
Finance (DOF) has approved the use of $3.5 million in former redevelopment
funds held in the General Fund for the High Place East project. Pending DOF
approval, other housing funds had been temporarily accessed and must now be
reimbursed through an interfund transfer from the General Fund to the Special
Revenue (04) Fund.
2
Year -end Changes
GENERALFUND
Operating
Capital
TOTAL
6,107,732
38,003
$ 6,145,735
OTHER FUNDS
Operating
Capital
TOTAL
(3,587,410)
1,488, 506
$ (2,098,904)
CITYWIDE TOTAL
$ $4,046,831'
Recommended FY 2012 -13 operating budget adjustments include the changes below:
® Housing Authority Fund Subsidy ($87,410) — The Housing Authority Fund has
lost significant revenue from redevelopment agency dissolution as well as
decreasing Housing and Urban Development (HUD) allocations. In particular,
this impacts the amount that Housing has available to cover administrative costs.
The Housing Authority Fund requires a transfer from the General Fund to offset
these funding losses and ensure continued HUD funding.
® Redevelopment Transfers ($3.7 million) — The General Fund did not receive
budgeted transfers from the Ocean Park, Downtown, and Earthquake Project
Area Redevelopment Funds to cover General Fund loan repayments, lease and
property based assessment district payments, staffing costs, and debt service for
Civic Center bonds. To recognize the funding source loss, staff recommends
removing the associated reimbursement budgets from FY 2012 -13.
® Redevelopment Reimbursement ($3.5 million) — The State Department of
Finance (DOF) has approved the use of $3.5 million in former redevelopment
funds held in the General Fund for the High Place East project. Pending DOF
approval, other housing funds had been temporarily accessed and must now be
reimbursed through an interfund transfer from the General Fund to the Special
Revenue (04) Fund.
2
® Civic Auditorium Transfer ( -$1.2 million) —The Civic Auditorium ended regular
operations as of June 30, 2013. As part of this closure, the remaining Civic
Auditorium Fund assets are transferred to the General Fund. The recommended
adjustment would add an interfund transfer budget appropriation for this
transaction.
Fiscal Year 2012 -13 Capital Improvement Program (CIP) Budget Changes
Requested changes to the CIP budget include a $38,003 General Fund increase, and a
$1.49 million increase in other funds, for a net citywide $1.53 million increase. The
changes reflect:
• Increasing capital budgets for eligible projects based on available developer
agreement and grant funds.
• Returning the unused portion of developer agreement funds intended for
community outreach related to the redevelopment of Santa Monica Place to
Macerich.
• Returning the unused portion of developer agreement funds to St. John's Health
Center after eligible project work was either completed or budgeted. Additional
funds may be repaid at a later time depending on actual expenditures of current
projects.
• Restoring budgets of two projects, reduced during the zero -based capital
budgeting process to the amount originally authorized by Council.
• Transferring operating funds for the cashiering station at City Hall.
• Establishing a capital budget for the Transit Bike Center project.
The entire list of changes and adjustments is shown in Attachment Al.
Fund Consolidation
In FY 2012 -13, the City satisfied all remaining requirements of the Methyl Tertiary Butyl
Ether (MTBE) Pollution Remediation Settlement Agreement, and as a result moved its
remaining assets and operations into the Water fund. The City combined the Beach
and Beach House funds to simplify operations, budgeting and reporting. Finally, staff
7
closed the Civic Auditorium fund following the end of full time operations in June 2013;
remaining balance in the Civic Auditorium fund will be set aside to cover expenditures
related to future use. These changes are effective in the FY 2013 -14 operating and
capital budgets.
Fees
During FY 2012 -13, a comprehensive City -wide fee study was conducted.
Recommendations for adjustments to existing fees and for addition of new fees were
presented to Council during the May 2013 Budqet Study Sessions. As part of the
adoption of the FY 2013 -15 budget, Council adopted three comprehensive fee /fine /rate
resolutions which, for the first time, allowed staff to develop a comprehensive list of all
City charges for fees, fines, and rates, providing a valuable resource for both the public
and City staff. The list is now published on the City's website.
Subsequent to Council adoption of these resolutions, staff became aware of a number
of minor inconsistencies between the intended recommendations and the language
included in the fee resolution, adopted as Resolution Number 10753 (CCS) (the "Fee
Resolution "). In addition, in response to community input, staff is recommending a new
fee for limited Planning Division review of business licenses applications from certain
home occupation businesses. The recommended changes are discussed in detail in
Attachment D. Staff estimates that these changes will have a nominal impact on
revenues.
Fiscal Year 2013 -14 Operating Budget Changes
Recommended changes include a $14,580 General Fund revenue adjustment, and $2.1
million in expenditure adjustments: a $2.0 million one -time increase to the General
Fund, and a $0.1 million ongoing increase in other funds. Additional changes, including
a $15,388 revenue increase and $27,294 expenditure decrease overall, are
recommended for FY 2014 -15 to reflect staffing changes and associated revenue. The
budget adjustments are detailed in Attachment A2.
c,
Staffing changes
This report includes staffing adjustments to reflect ongoing operational changes, and
the results of classification and compensation studies. The primary reason for each
change is listed in Attachment C. These changes result in a 0.8 Full Time Equivalent
employee (FTE) increase. Together, position changes result in an estimated $16,594
decrease in FY 2013 -14 ($0.12 million General Fund decrease, offset by a $0.1 million
increase in other funds) and $27,294 decrease in FY 2014 -15 ($0.13 million General
Fund decrease, offset by a $0.1 million increase in other funds).
Expenditure Control Budgeting
On February 8, 2011, Council authorized staff to implement expenditure control
budgeting, a cost - saving strategy that provides an incentive for departments to save
budget appropriations. This process continues to yield benefits as General Fund
departments saved a total of $6.2 million in FY 2012 -13 operating expenses. One -third
of the savings, or $2.07 million, will go back to departments to spend on activities
furthering each department's mission.
Next Steps
As the final step in the close of FY 2012 -13, Council will receive the Comprehensive
Annual Financial Report later this fiscal year. Staff will consider impacts of year -end
results and any other significant budget adjustments with its regular six month financial
status update to Council in January 2014.
0
FY 2093 -14
Changes
FY 2094 -15
Changes
REVENUE
General Fund
14,580
15,388
REVENUE TOTAL
$14,680
$15,388
EXPENDITURE
General Fund
Other Funds
1,944,919
107,769
(135,625)
108,331
EXPENDITURE TOTAL
$2,052,688
$(27,294)
Staffing changes
This report includes staffing adjustments to reflect ongoing operational changes, and
the results of classification and compensation studies. The primary reason for each
change is listed in Attachment C. These changes result in a 0.8 Full Time Equivalent
employee (FTE) increase. Together, position changes result in an estimated $16,594
decrease in FY 2013 -14 ($0.12 million General Fund decrease, offset by a $0.1 million
increase in other funds) and $27,294 decrease in FY 2014 -15 ($0.13 million General
Fund decrease, offset by a $0.1 million increase in other funds).
Expenditure Control Budgeting
On February 8, 2011, Council authorized staff to implement expenditure control
budgeting, a cost - saving strategy that provides an incentive for departments to save
budget appropriations. This process continues to yield benefits as General Fund
departments saved a total of $6.2 million in FY 2012 -13 operating expenses. One -third
of the savings, or $2.07 million, will go back to departments to spend on activities
furthering each department's mission.
Next Steps
As the final step in the close of FY 2012 -13, Council will receive the Comprehensive
Annual Financial Report later this fiscal year. Staff will consider impacts of year -end
results and any other significant budget adjustments with its regular six month financial
status update to Council in January 2014.
0
Financial Impacts & Budget Actions
The budget changes recommended for FY 2012 -13 result in a $4.0 million, or 1.0 %, net
increase over the FY 2012 -13 General Fund Revised Budget. Detail for these changes
is in Attachment Al. Recommended FY 2013 -14 changes result in a $14,580 increase
over the adopted revenue budget, and expenditure changes result in a $2.0 million or
0.6% increase over the expenditure budget. Recommended FY 2014 -15 changes result
in a $15,388 revenue increase and $27,294 expenditure decrease from the FY 2014 -15
Budget Plan. Detail for FY 2013 -14 and FY 2014 -15 changes is in Attachment A2.
Prepared by: Stephanie Lazicki, Senior Budget Analyst
Approv ;d•
i
Gigi ecavalles- ughes
Director of Finance
LQ:aL
Martin Pastucha
Director of Public Works
Donna Peter
Director of Human Resources
Attachments:
Attachment Al
Attachment A2
Attachment B
Attachment C
Attachment D
Attachment E
Forwarded to Council:
Rod Gould
City Manager
FY 2012 -13 Budget Adjustments
FY 2013 -15 Budget Adjustments
Resolution for Position Changes
Position and Classification Changes Q1 FY 2013 -14
Revised Fee Details
Revised Fee Resolution
10
FY 2012-13 Attachment Al
Budget Adjustments - Operating and Capital
FY 2012-13 Budget Adjustments
Department/ Division
Description
FY 12-13 Amount
Project Name
Increase (Decrease)
General Fund
Department Operating
—Budget--------
Public Works - Transfer to fund City Hall cashiering station
(3,143)
Planning and Community Development -
Transfer to fund City Hall cashiering station
(14,000)
$
(17,143)
--- — -------
Non-Departmental Transfers
Reimbursement of Special Revenue Fund for funds accessed pending
DOF approval of use of RDA assets.
3,500,000
Transfer in of Civic Auditorium assets due to the closure of the Civic
Auditorium Fund
(1,155,684)
Elimination of reimbursement from RDA to Parking Authority for lease
payment related to Ocean Park Housing Project
166,349
Elimination of reimbursement from RDA Earthquake Project Area fund for
assessment costs for downtown parking structures
252,805
Increase in General Fund subsidy to Housing Authority Fund due to
elimination of RDA support for staff costs
87,410
Elimination of reimbursement from the RDA Downtown Project Area fund
for General Fund administrative costs
202,609
Elimination of reimbursement from the RDA Earthquake Project Area fund
for General Fund administrative costs
226,394
Elimination of reimbursement from the RDA Ocean Park Project Area fund
for General Fund administrative and project costs
293,487
Elimination of RDA - supported payment from the Parking Authority to the
General Fund for debt service on Civic Center Parking Structure bonds
2,551,505
$
6,124,875
tal Gperating ud, t Ad �tments
$ ................
6,107,732
Capital improvement Projects
Transfer of available operating budgets to fund City Hall cashiering station
17,143
Restoring budgets of two projects, reduced during the zero based capital
9,249
budgeting process, back to the amount originally authorized by Council.
3,172
General Fund funds used to complete Transit Bike Center
8,438
- ------ -
--------- ------ Total Capital Budget Adjushnerits-
_38,003
TOTAL GENERAL FUND EXPENDITURE ADJUSTMENTS
$
6,145,735
FY 2012 -13
Budget Adjustments - Operating and Capital
Attachment Al
Department/ Division/ Description FY 12 -13 Amount
Project Name Increase / (Decrease)
Other Funds
Non - Departmental Transfers
SPECIAL REVENUE FUND (04) Reimbursement for funds accessed pending DOF approval of use of RDA (3,500,000)
assets held in the General Fund.
HOUSING AUTHORITY FUND (12) General Fund Subsidy to Housing Authority Fund (87,410)
Capital Projects
SPECIAL REVENUE FUND (04) Increase budget for eligible capital projects based on available developer
2,839
funds
94,626
194,578
136,680
Special Revenue Fund interest used to complete Transit Bike Center
45,913
Returning unused portion of developer agreement funds intended for
119,254
community outreach related to the redevelopment of Santa Monica Place
to Macerich.
Returning unused portion of developer agreement funds to St. John's after
93,957
eligible project work was either completed or budgeted. Additional funds
may be repaid at a later time depending on actual expenditures of current
projects.
$
687,847
MISCELLANEOUS GRANTS FUND Increase budget for eligible capital projects based on available grant funds 782,562
(20) 203
5,959
650
11,285
I TOTAL OTHER FUNDS EXPENDITURE ADJUSTMENTS $ (2,098,904)1
FY 2013 -14 / FY 2014 -15
Budget Adjustments
FY 2013 -14 / FY 2014 -15 Budget Adjustments
Department / Division / Description FY 13 -14 Amount
Project Name Increase /(Decrease)
REVENUE
Finance Revenue increase due to additional staff capacity. 14,580
Attachment A2
FY 14 -15 Amount
Increase/ (Decrease)'
15,388
EXPENDITURE
General Fund
Staffing Changes
City Manager's Office
Staff transfer to the Resource Recovery and
Recycling Fund related to Household Hazardous'..,
!Waste activities relocation.
(107,262)
_(111,090)
Community and Cultural Services
Cultural Affairs staffing increase to oversee
,activities at 1450 Ocean and to support interim
Civic Auditorium use activities.
18,912
- 24,466
Finance
'Operational changes to increase revenue;
collections capability.
14,580
15,388
Human Resources
Operational changes to align positions with'.
Department needs.',
..(21,822)
- .(32,000)
Public Works
Operational change to define position scope and
broaden supervisory responsibilities
(28,742)
(32,389)
$ -. -._
__(124,333)
$ _._.
--- (135,625)
Expenditure Control Savings
General Fund Departments
Represents one -third of General Fund
Department savings, to spend towards the
!Department's mission. '�..
$
2,069,252
$
-
TOTAL GENERAL FUND EXPENDITURE
$
1,944,919
$
(135,625)
Other Funds
Staffing Changes
(25) Water
Operational changes to reflect new processes and
16,902
15,488
increase supervisory capacity.
(27) Resource Recovery and
Staff transfer from the City Manager's Office
107,262
111,090
Recycling
related to Household Hazardous Waste activities
relocation.
(30) Pier
';Operational change to reflect redefined position
(26,167)
(28,329)
responsibilities.
(54) Fleet Management
Operational change to reflect increased
3,571
3,419
,supervisory needs.
(58) Risk Management -
Operational change to reflect redefined position
6,200
6,664
Administration
responsibilities.
$
107,769
$
108,331
TOTAL OTHER FUNDS EXPENDITURE
$
107,769
$
108,331
TOTAL EXPENDITURE BUDGET
$
2,052,688
$
(27,294)'
1 / For staffing, amounts represent the change from positions as currently budgeted. A decrease may indicate a retirement
and filling the position at a more junior level, rather than indicating lower salary and benefits for the new position or title.
Differences in salary only appear next to each position change in Attachment C.
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resolution incorrectly shows the fee at $344. A revision to this fee to reflect the amount
recommended by the fee study and approved in concept by the Council is now
recommended.
5. Various miscellaneous changes – Although the underlying fee amounts are not being
revised, the descriptions for several fees in both the Planning and Community
Development as well as the Public Works Departments are being revised slightly for
specificity and accuracy. In addition, two fees for over the counter plan checks in the
Public Works were listed twice. Deletion of those duplicate entries is now being
recommended. Also, some language in the footnotes regarding Taxi fees has been
updated.
6. New fee - Limited Business License Review – Home Occupations – In addition to the
revisions listed above, staff also recommends adoption of a new fee for the Planning and
Community Development Department for Limited Business License Review —Home
Occupations. The City conducts home occupation reviews to determine if the home
occupation business meets the City's requirements for businesses located in residential
districts. Currently, there is a fee of $127 for this service. However, there are instances
where the City would only be conducting what is considered a limited review, particularly
when a home occupation moves location to any other residential location. Based upon
community input and analysis by staff, a reduced fee is being recommended for those
limited reviews. The proposed fee for such a limited review is $47. Although not
originally studied in the fee study, staff calculated this fee by reducing the fee for a full
home occupation review by the same percentage as the fee study reduced the business
license planning review fee (for all businesses other than home occupations) for the
limited business license review fee. Based on staff's analysis, this reduction is reflective
of, and in any case does not exceed, the City's actual costs incurred when conducting
this sort of limited review.
ATTACHMENT D
Revised Fee Details
1. The fee for Council Meeting Packet subscriptions (City Clerk's Office - $758 per year),
although part of the fee study, was inadvertently omitted from the Fee Resolution and is
now recommended for inclusion.
2. At the Budget Study Sessions in May 2013, Council directed staff to eliminate the fee
for Agenda subscriptions (City Clerk's Office - $11.04), but it was inadvertently included
in the Fee Resolution. The fee is now recommended for deletion per Council directive.
3. Resource Recovery and Recycling:
• Fee for Container Rentals /Events — ($168 — 2 hour minimum; 4 hour maximum)
was repealed by, but inadvertently not included in the Fee Resolution, and is now
recommended for inclusion.
• The fee for Event Rental /Party Truck is subject to a 2 hour minimum and 4 hour
maximum, but the Fee Resolution did not include this limitation. The full
description of the fee is now recommended for inclusion.
• The fee for Curby Rental is subject to a 2 hour minimum and a 4 hour maximum,
but the Fee Resolution did not include this limitation. The full description of the
fee is now recommended for inclusion.
• Residential Clean -A -Can Program — The following fees, although previously
adopted by the City Council, were inadvertently not included in the Fee
Resolution and are now recommended for inclusion.
Annual Service (12 times per year) - $120
Quarterly Service (4 times per year) - $60
Semi - annual Service (2 times per year) - $30
Additional Cans $10 per can, per cleaning
• Pursuant to the fee study, the fee for sales of compost bin is $11 plus bin charge.
The Fee Resolution omitted the "plus bin" notation, which is now being
recommended for inclusion.
4. Planning and Community Development — The fee for Business License — Limited Review
recommended by the fee study and approved in concept by Council was $109. The fee
Reference:
Resolution No. 10777 (CCS) &
Resolution No. 10778
(CCS)