HomeMy WebLinkAboutAGENDA REPORT 1990 1219 CC REG ITEM 08OMOORPARK
ITEM •
PAUL W. LAWRASON JR.
Mayor
BERNARDO M.PEREZ
Mayor Pro Tern
SCOTT MONTGOMERY
Councilmember
JOHN E. WOZNIAK
Councilmember
LILLIAN KELLERMAN
City Clerk
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M E M O R A N D U M
The Honorable City Council
STEVEN KUENY
City Manager
CHERYLJ.KANE
City Attorney
PATRICK RICHARDS, A.I.C.P.
Director of
Community Development
JOHN F. KNIPE
City Engineer
JOHN V. GILLESPIE
Chief of Police
RICHARD T. HARE
City Treasurer
Donald P. Reynolds, Jr., Management Analyst
December 13, 1990
Consider Setting Public Hearing Date for Revisions
to City Planning Fee Resolutions
The following report will provide the Council with a preliminary
estimate of the proposed revisions for Resolution 89-605, which
provides the City with the authority to collect fees for planning
services, (or land use development permits). If the Council
concurs with the methodology described in this report, staff has
proposed that pursuant to Government Code 54992, the matter be
scheduled for consideration January 9, 1991, so that the related
fee resolution can be updated in order to allow the City to recover
its costs for this service.
Background
On April 5, 1989, staff reported to the Council that the City was
not recovering 100% of the cost of processing land use development
permits. This was because the previous rate of $45/hr had not been
revised since 1984. On May 15, 1989, staff presented an analysis
of related costs which resulted in the City's interim adoption of
an $85/hr fee. During the period between Council meetings, staff
was directed to meet with concerned parties and discuss the City's
methodology in its analysis of City planning costs. As a result of
this meeting, staff returned to the Council with a compromise
between the City and the Building Industry Association; a fee of
$65/hr.
The Council accepted this fee, contingent upon staff procuring a
professional consulting firm to develop a methodology to set the
fee. The City's firm would also analyze the related costs and
recommend a fee to recover 100% of the City's expense, based on
cost recovery principles.
799 Moorpark Avenue Moorpark, California 93021 (805) 529-6864
FEE1
December 13, 1990
Page 2
On April 22, 1990, the Council appropriated funds for this purpose.
Discussion
The City procured a reputable consulting firm to analyze the City's
planning functions, indirect Department costs, and City overhead.
The consultant initiated its endeavor in early May of 1990.
The report approaches the analysis by dividing different aspects of
the City's cost into four categories; direct Department costs,
indirect Department costs, general City overhead, and a use
allowance. Each category was carefully developed, applying
deductions when appropriate in order to avoid double counting or
the counting of non -applicable items. The sum of the four
categories is divided by the total hours directly related to permit
processing by the Department, to arrive at a cost per hour.
Based on the consultant's work, the 1989/90 fee should have been
$69 per hour, and staff has been working with this methodology in
order to make adjustments for fiscal year 1990/91.
Many changes are reflected in the 1990/91 budget, which has
increased the consultant's 1989/90 fee recommendation by
approximately 13%. Department staff increased by one 1.6
positions, with an upgrade of one position. The Assistant Planner
position has been added to the direct costs of the Department
whereas in 1989/90, the Planning Technician ('89/90 title) position
was part of the indirect costs. The Code Enforcement Technician,
and increase of the secretary position (from 40% in 1989/90 to 100%
in 1990/91) costs have been reflected in changes to the indirect
Department overhead. City benefits increased, slightly increasing
all aspects of the calculations. City overhead has increased
because of recent capital improvements and related maintenance and
insurance provisions. The cumulative result of these changes is an
estimated fee for fiscal year 1990/91 of $78/hr.
The City's effort to apply a methodology that is common and
acceptable to all concerned parties, and allows the City to
potentially recover 100% of its current cost for this fiscal year,
is very close to completion. The new methodology will allow the
fees to be routinely adjusted at the beginning of each fiscal year.
The completed report will be available December 19, 1990, and be
made available to the public and special interest groups. The
Building Industry Association and Chamber of Commerce will be
provided copies. Staffs intention is to make the new planning
rates effective January 1, 1991.
Fee 1
December 12, 1990
Page 3
Recommendation
That the City Council authorize staff to schedule to a public
meeting pursuant to Government Code 54992, for January 9, 1991, in
order to consider revising the current rates for planning fees.