Title
Resolution to Approve Fiscal Year 2010 Fee Adjustments for Public Services Project Management, Customer Service, Systems Planning and Field Operations Units
Memorandum
Mayor and Council, attached for your consideration and approval is the resolution approving fee adjustments for Public Services Area-Service Units for the 2010 fiscal year. The anticipated increase in revenue resulting from the fee adjustments is crucial to balancing expenditures and revenues in the proposed fiscal year 2010 budget.
Each year in conjunction with the preparation of the budget, Service Area/Service Units are requested to review license and fee revenues to determine if the cost of the services rendered are covered by the charges. When determining these costs, Service Units take into account increase in expenses such as: labor, material and supplies, equipment, and overhead cost. The increases are in the range of 3% and are intended as adjustments for inflation. In some cases where fees are proposed to be higher than the nominal 3%, explanations are provided to give a rational for the increase. In other cases, efficiencies in operations are resulting in fee decreases. Based on the fee analysis, revenues are then budgeted.
The Public Services Area is recommending approval of fees for activities in the Service Units in order to recover fully burdened costs for ancillary services provided to the customers. These fully burdened costs were based upon estimated time spent providing the service, vehicle expenses, IT costs, materials & supplies, and the municipal service charge.
In the prior years, the Project Management Services Unit has raised its Private Development fees incrementally to recover its annual fully burdened costs for the services provided. In order to avoid a large fee increase from one fiscal year to the next, the fees have been adjusted annually. However to date, the annual revenue from the collected fees continues to remain below all fully burdened cost...
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