CC 04-16-19 #7 Fiscal Year 2019-20 Fee Schedule PresentationFY 2019-20
Fee Schedule Update
April 16, 2019
City of Cupertino
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Agenda
What is a Fee?
Fees for City Services
Fee Development
New Fees
Fiscal Impact
Recommendations
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What is a Fee?
A “user fee” is:
A fee or rate charged to an individual or group that receives a private benefit from services provided by the City.
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Fees for City Service
Schedule A includes more of a miscellaneous selection of fees that is not associated with one department or division (abatement fees, false alarms, PRA requests, etc.
Schedule E Recreation is market driven and applies for purposes of cost recovery for various programs, activities, services offered by the Department
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Fee Development
Consumer Price Index (CPI) – bureau of labor statistics (US Department of Labor). Change over the last 12 months as of February 2019. Change from 281.308 to 291.227
Construction Cost Index (CCI) – obtained from the Engineering News Record. 12000 - 12114
Calculation: 200 hours of common labor at the 20-city average of common labor rates, plus 25 cwt (hundredweight) of standard structural steel shapes at the mill price prior to 1996 and
the fabricated 20-city price from 1996, plus 1.128 tons of Portland cement at the 20-city price, plus 1,088 board ft of 2x4 lumber at the 20-city price.
In other words, it calculates by pricing a representative non-residential construction project in geographies throughout the country
Change in compensation included step increases and changes in retirement and health care (fixed). Due to labor negotiations, staff did not include any of the variable components such
as cola and special pay items. This will be taken into consideration during the FY 20-21 estimate.
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New Fees and Changes – General
Political Reform Act – photocopies for public record requests
Community Festivals – Non-profit partners and additional space
Pursuant to CA Gov’t Code Title 9, Chapter 1, Section 81008 – allow for charging 10 cents per page for every report and statement filed pursuant to public record open for public inspection
and reproduction
Consistently, City is proposing to recover costs more sufficiently for records requests older than 5 years). $5 per request “a request for more than one report or statement or report
and statement at the same time shall be considered a single request
Community Festivals - $10 for non-profits partners to clarify as only “businesses” were included at 55.45.
$10 Adding an additional 10x10 space rentals for all
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New Fees and Changes – Engineering
Revisions to Plans and Permits
Certificates of Compliance
Small Banners on Light Poles
(New Fee) Revisions to Plan and Permits is being added for cost recovery purposes and at a PW staff rate of 204/hr. $165 in FY 16-17.
Certificates of Compliance is being clarified and broken out between initial review and finalizing certificates 1854 broken out to 927. Only one or two per year and instances where
an initial review will be completed and never finalizing the certificate.
Small banners have not been used historically and is proposed to be taken off the fee schedule for clarity purposes. Only large banner used is over Stevens Creek and charged separately
at $541.
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New Fees and Changes – Building
“New Type” Removed
Whole-House Re-Plumbing & Re-Wire
Demolition
Plan Review – Pre-Submittal
New Type fees is proposed to be removed. When the fee study was last performed in FY 16-17, the “New Type” fees were included as a placeholder; however, they have not been used and
should be removed for clarity purposes.
Electrical Unit fees - rewiring – included “whole-house” for clarification purposes on the residential rewire fee . While there are a number of per fixture rates staff are proposing
to charge the lesser
Plumbing/Gas Unit Fees - replumbing – For clarity and convenience purposes, staff are proposing to include a “whole-house” fee in addition to the per fixture fee of $12 that existed
previously. Staff propose to charge the lesser of…
Multi-Family demolition – added to provide clarification that multi family was to be considered consistently with commercial fee rates rather than residential
Pre-Submittal Plan Review – added for cost-recovery of staff time. Minimum of 2 hours at 178/hr
Solar water heating was moved from miscellaneous schedule to mechanical, electrical, and plumbing schedule (MEP)
R-3 Occ where occupants are primarily permanent in nature
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New Fees and Changes – Recreation
Overtime charges for staff time
Fitness packages
Blackberry Farm Golf Course
Security staff
Bounce House at Memorial and Creekside Park
Staff overtime charges are more clearly indicated on the schedule (room rentals)
Fitness Packages – Day Pay Pack, Drop-Fitness packs, body fat testing
BBF GC - Annual GC rates, power cart rentals, foot golf.
Security staff is through a third party contractor. Staff are proposing a $10 increase to recuperate increases in contract over the past years. Contract is increasing their hourly
rate from 28.50 to 34.50
(NEW FEE): Bounce House at memorial and Creekside park is proposed to have a $25 fee for both Resident and Non-Resident. This is not a city-owned piece of equipment, rather a fee for
a permit to use a bounce at these various parks. Monitoring health and safety, minimum insurance requirements, etc.
Volunteer Membership* - must have volunteered 20+ hours in the previous calendar year to qualify for the discounted rate
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Fiscal Impact
Overall estimated increase in fee revenues of $215,000
General revenue increased 100% over FY 16-17 to 259,149 in FY 17-18
Engineering revenue increased 11% over FY 16-17 to 1,044,056 in FY 17-18
Planning fee revenues decreased approximately $1M or 42% to $1.38M in FY18 due to Apple completing construction and opening occupancy. However, due to increase in volume of plan check
applications, similar increase in FY 19-20 is anticipated.
Building revenue increased 9% over FY 16-17 to 2,728,491 in FY 17-18
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Recommendation
Approve the FY 2019-20 Proposed Fee Schedules, effective July 1, 2019 – June 30, 2020
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Questions?
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