CC 06-06-2023 Item No. 11. Storm Drain Fees_Supplemental Report
CITY COUNCIL STAFF REPORT
SUPPLEMENTAL
Meeting: June 6, 2023
Agenda Item #11
Subject
Consider approval of the renewal (with no increase) of the 1992 Storm Drain Fee and renewal of the
2019 Clean Water and Storm Protection Fee with a 3% increase.
Recommended Action
Adopt and approve:
1. Resolution No. 23‐XXX (Attachment A) approving the renewal and collection of the 1992 Storm
Drain Fee with no increase in rates for Fiscal Year (FY) 2023‐24;
2. Resolution No. 23‐XXX (Attachment B) approving the renewal and collection of the 2019 Clean
Water and Storm Protection Fee with a 3% increase in rates for FY 2023‐24;
3. Adjust the annual budget allocation for the cost‐share program from $14,000 to $2,000 to better
fit the realistic need for new applicants receiving 20% refunds in a single year;
4. Adjust the re‐certification period to be four years for all approved participants with an
attestation protocol to affirm continued cost‐share eligibility; and
5. Discontinue the $12,500 per year pervious pavement rebate program for lack of participation
and use the funds for support of required activities.
Correction needed to the table on page eight of the staff report
The table on page eight shows an incorrect projected General Fund subsidy. The table below shows the
correct amount in red. The original amount shown in the staff report was the shortfall before use of the
estimated remaining balance in Fund 230 and without the additional revenue that would be generated
from the proposed 3% increase.
FY 2022‐23 FY 2023‐24 (proposed)
Fund Balance (previous FY) $917,878 $369,464
Revenue 1992 Fee $375,569 $375,569
Revenue 2019 Fee $1,101,239 $1,101,239
3% increase to 2019 Fee $ ‐ $33,037
General Fund $ ‐ $188,900
Total Program Funding $2,394,686 $2,068,209
Program Expenses* $2,025,222 $2,068,209
Remaining Fund Balance at end of FY $369,464 $ ‐
The following questions were received from Councilmembers:
Q1: Storm Drain Fee ‐ The staff report states, ʺFor this cycle, the 2022 (AUP) report was not made
available in time for Audit Committee reviewʺ. What is the impact, if any, of reviewing it only in
2024? If any issues are raised at that time, how will it impact the ACFR for 21‐22? (Mohan)
There are no anticipated issues from the delayed review.
Q2: Under Recommended Action # 3: Can you explain the adjustment to the cost‐share program?
(Mohan)
There is no adjustment to the program itself. The recommended action will just free up general fund dollars
that are not needed. When the cost‐share program was approved by Council in 2019, it came with an approved
annual budget of $14,000. The $14,000 originally budgeted for the cost‐share program would have covered
20% refunds for all applicable residents in one year, but the reality is that applications are incremental. We
have promoted the program in various ways, including partnering with Silicon Valley Clean Energy to send a
mailed notice to any customer receiving a low‐income CARE discount from PG&E, but to date we have never
had more than 100 applicants in one year. The rebate sent to approved owners is 20% of their annual fee. For
a typical home paying $44.42/year, that 20% rebate is $8.88, so a $2000 budget allows us to provide rebates to
all who are likely to apply in one year and get approved for rebate checks.
Attachments Provided with Original Staff Report:
A – Draft Resolution 1992 Fee from published agenda
B – Draft Resolution 2019 Fee from published agenda
C ‐ Clean Water and Storm Protection Fee Ordinance with Fee Report from published agenda
D – Calendar Year 2021 Storm Drain AUP Reports from published agenda