To: Board of Supervisors
Department or Agency Name(s): County Administrator’s Office
Staff Name and Phone Number: Peter Bruland, 565-3086
Vote Requirement: Majority
Supervisorial District(s): All
Title:
Title
Fiscal Year 2019-20 Consolidated Fee Hearing Overview
End
Recommended Actions:
Recommended action
Receive the adjustments to department and agency user fees and charges included in this agenda, reflecting new or updated user fee and charge schedules to be effective on July 1, 2019, unless otherwise noted.
end
Executive Summary:
The Constitution and laws of the State of California allows for the collection of certain fees and charges for cost recovery of government activities that provide a specific benefit or service or are in place for regulatory purposes such as issuing licenses or performing inspections. Each year the County departments and agencies adjust and/or add service delivery user fees, rates, and charges based on actual costs incurred to provide service and projected costs estimates for the coming fiscal year. This year 8 departments are submitting 975 adjustments to fee amounts as part of this package. The total estimated revenue change for FY 2019-20 is $2,083,392. The largest share, $930,600, is related to a 3.9% increase in Permit Sonoma fees, which have not increased for two years. Subsequent individual agency reports highlight the specific changes to fees and program impacts. An executive summary of the changes is attached to this item.
Discussion:
Fee Adjustments
On June 14, 2018 the Board ratified the Budget and Financial Revenue Management Policy, which states “Programs financed by charges for services, fees, grants, and special revenue fund sources shall pay their full and fair share of all direct and indirect costs to the extent feasible and legally permitted, including cost recovery towards future assets and/or system replacement.”
Annually, staff presents for the Board’s consideration ordinances and resolutions adjusting and adding user fees, rates, and charges based on operating cost estimates for the coming fiscal year. In accordance with Government Code 6062(a) public notice was given through publication of notice of the fee hearing on two successive weeks with at least five days between publications. In addition, all materials for this item were available online on April 19, 2019 to give additional time for public review, and were noted in the “Items of Significant Public Interest” section of the County’s website.
The attached staff reports include the following departments: Agriculture/Weights and Measures, Clerk-Recorder-Assessor, County Administrator’s Office, Department of Health Services, Permit Sonoma, Regional Parks, the Sheriff’s Office, and Transportation and Public Works - Airport. Attachment A includes and executive summary of these changes and Attachment B includes a numerical summary of the fee adjustments, including percentage changes and anticipated Revenue changes.
Departments are proposing a total of 31 new fees. Of these, 16 are in the Department of Health Services, primarily to allow new categories of food service operations allowed under changes to state law and to account for new testing that is offered at the Public Health Laboratory. The Airport is proposing 8 new fees, the most significant of which is a Customer Facility Charge of $10 on rental contracts that would generate an estimated $387,000 annually to go toward construction of a new consolidated car rental facility. They also have new fees related to uncovered aircraft storage on newly constructed unpaved storage areas, ground lease rental rates for non-aeronautical use, and other storage and commercial tenant parking fees. Regional Parks is proposing 5 new fees for new recreation programs that they plan to offer, and Permit Sonoma is requesting 2 new fees for Sewer Pump System Review fee, a one-time plan review fee to ensure sewer permit applications comply with County and Water Agency Sanitation codes, and a state-mandated fee for Certified Access Specialist Training.
In addition to the new fees, Departments are making adjustments to 944 additional fee items (note that a single fee that includes multiple categories, such as a permit fee with different amounts depending on the size of the project reviewed, would count as multiple fee items). The Department of Health Services is eliminating two fees for testing no longer offered at the Public Health Lab. An additional 18 fees are being decreased, primarily in the Sheriff’s Office, and 924 fees are being increased. Each fee change is justified based on the changes to the costs of providing a service, however one baseline for comparison is the general increase in expected departmental costs. The January 2019 Consumer Price index for the San Francisco Bay Area all urban consumers was 4.5%. Across the County, budgeted Salary and Benefits for Fiscal Year 2019-20 are also anticipated to increase by an average of approximately 4.5%.
Of the 924 fees that are increasing, 83% are increasing by the CPI of 4.5% or less. This includes all fees in the Department of Agriculture/Weights and Measures and nearly all in Permit Sonoma. Of the remainder, 13% are going up by between 4.5% and 6% due to greater cost increases in specific programs. In particular, fees in the Department of Health Services - Environmental Health division are going up by 4.8% to reflect greater expected labor increases in that division. Of the 39 fees going up by more than 6%, 15 are at the Airport, primarily on fees related to penalties for vendors at the airport. An additional 15 fees are in the Sheriff’s Office and 9 in the Clerk-Recorder-Assessor, and are related to updated time studies.
Individual departmental reports provide additional information on the changes.
Prior Board Actions:
6/14/2018 - Adoption of the Budget and Financial Revenue Management Policy
5/8/2018 - Adoption of FY 2018-19 User Fee and Charges Schedules
Fiscal Summary
|
Expenditures |
FY 18-19 Adopted |
FY19-20 Projected |
FY 20-21 Projected |
|
Budgeted Expenses |
|
$2,083,392 |
|
|
Additional Appropriation Requested |
|
|
|
|
Total Expenditures |
|
$2,083,392 |
|
|
Funding Sources |
|
|
|
|
General Fund/WA GF |
|
|
|
|
State/Federal |
|
|
|
|
Fees/Other |
|
$2,083,392 |
|
|
Use of Fund Balance |
|
|
|
|
Contingencies |
|
|
|
|
Total Sources |
|
$2,083,392 |
|
Narrative Explanation of Fiscal Impacts:
The fee changes associated with the attached items have a total net impact on revenues of $2,083,392. Individual departmental reports lay out the fiscal and programmatic impacts on the departments.
|
Staffing Impacts: |
|
|
|
|
Position Title (Payroll Classification) |
Monthly Salary Range (A - I Step) |
Additions (number) |
Deletions (number) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Narrative Explanation of Staffing Impacts (If Required):
Click or tap here to enter text.
Attachments:
Attachment A: Executive Summary of Fee Changes
Attachment B: Numerical Summary of Fee Changes
Related Items “On File” with the Clerk of the Board:
Click or tap here to enter text.