Title
Resolution to Approve FY 2022 Fee Adjustments for the Community Services Area
Memorandum
Attached for your consideration and approval is a resolution authorizing fee adjustments and new fees for FY 2022. Annually, in conjunction with the preparation of the budget, Service Units review fee revenues to determine if the costs of the services rendered are covered by their fees or are appropriate in relation to comparative data.
When determining cost to serve, Service Units consider when fees were last increased and increases in expenses such as labor, materials and supplies, equipment, and overhead costs.
Community Services is proposing fee increases in Parks and Recreation Services for boat rentals at Argo and Gallup Liveries, various swimming fees, weekend golf fees at Leslie Park Golf Course, stall rentals at the Farmers Market, rental room rates at the Senior Center and Gallup Livery, rental rates at Cobblestone Farm, ice skating lessons at Veterans Memorial Ice Arena, public skate admissions at Buhr and Veterans Memorial Ice Arenas, and rental fees of athletic fields.
The attached proposed fee increases document shares the date the proposed fees were last increased and for many of them it has been several years. While the percentage rate increase is in some cases large, when it is considered over the length of time since the last fee increase most of them are less than 3% annually. For example, daily admission rates at the pools are proposed to move from $5.00 to $6.00, a 20% increase. However, fees were last increased in 2011, so this amounts to roughly a 2% annual increase.
All proposed fee increases have a corresponding comparative data document. These documents compare our proposed fees to those charged in other communities for similar programs or services. The proposed fees, when compared to those charged by other communities are competitive and typically more affordable than most. As a reminder, Parks & Recreation awards scholarships to income eligible Ann Arbor resident families. Scholarships are awarded based on need and there is not a limit on the number awarded.
Community Services is also proposing fee changes in the Planning Services Unit. For adjustments proposed, the fees are based on analysis, including measurement of actual cost incurred for similar petitions, and estimated cost of petitions for some petition types that are infrequent. A few fees are being eliminated for site compliance work, which is supported through the applicable building permit fees for this work.
Community Services is also proposing fee changes in the Building and Development Unit. These include a short-term rental registration fee and a ticket administration fee, and simplification of existing fee titles and descriptions for better navigation in the new permitting software.
Attached are the recommended fee changes for Planning Services, Building and Parks and Recreation Services. Staff is recommending that Council approve these fee changes.
The Park Advisory Commission will review fees at their April 20, 2021 meeting and provide a written recommendation in a separate communication to Council.
Attachments: FY2022 Fees Planning
FY2022 Fees Building and Rental
FY2022 Park Use Fees
Parks Comparative Fees
Staff
Prepared by: Colin Smith, Parks and Recreation Manager
Reviewed by: Derek Delacourt, Community Services Area Administrator
Approved by: Tom Crawford, City Administrator
Body
Whereas, All Service Units of the City review their fees each year as part of the budget process;
Whereas, Parks and Recreation Services, Planning Service, and Building Services have reviewed their fees as part of the FY2022 budget submittal; and
Whereas, The proposed fees are based upon the cost of providing services or on market comparative data;
RESOLVED, That fees for Parks and Recreation Services, Planning Services, and Building Services be adjusted according to the attached schedules;
RESOLVED, That the attached fee schedules become effective according to the dates in the attached schedules; and
RESOLVED, That City Council authorize the City Administrator to take necessary administrative actions to implement this resolution.