Title
Resolution to Approve FY 2012 Fee Adjustments for the Community Services Area
Memorandum
Attached for your approval is the resolution authorizing fee adjustments for FY 2012 for the Community Services Area. Each year, in conjunction with the preparation of the budget, Service Units are requested to review all fees to determine that the costs of the services rendered are either covered by the fees or are appropriate in relation to comparative data.
When determining cost to serve, Service Units take into account increases in expenses such as labor, materials and supplies, equipment, and overhead costs. Some Service Unit costs to serve analysis resulted in an increase from the prior fiscal year and the recommended increase in fees reflects the higher cost to serve. Revenues are then budgeted based on the fee analysis. The proposed FY 2012 budget reflects these revenues.
Parks and Recreation Services
Community Services is proposing both fee increases and new fees for new programs in Parks and Recreation Services. Each year, as part of the budget process, Parks staff perform a comparative fee analysis to determine if fees charged for services are competitive.
Proposed fee increases include the following activities: alcohol permit fees for facility rentals, youth and senior daily admission to Buhr Park Ice Arena, and daily admission increases for the swimming pools. Alcohol permit fees were last increased in 2005, while daily admission for the pools was last increased in 2001. The daily admission fee increase for the swimming pools would not go into effect until the 2012 season. The proposed increase in admission for Buhr Park Ice Arena is to achieve consistency at both ice arenas, currently Veterans charges $4.00 while Buhr Park charges $3.75 for the same activity.
New fees include a host of new activities such as raft rentals, white water kayaking, and inner tubes expected to be available in 2012 as a result of the Argo Headrace Improvements. Other new fees include single stall fees for the Pilot Wednesday Night Market, a parent/child golf instruction program to help further promote junior and family golf at Huron Hills Golf Course, and a team fee for a new program for inline hockey at Buhr Park.
These fee proposals were shared with the Park Advisory Commission for their recommendation at their April 19th meeting.
Planning and Development Services
Proposed changes for Construction fees address the need to continue to match fees to costs and mirror the State of Michigan fee schedule. Comparative fees are included, however it is difficult to compare, because some cities charge less for certain inspections as they have large base fees, or they may charge additional fees for various aspects of the development process. For example, Madison, Wisconsin charges higher fees for new construction, supplementing the cost of smaller permits. Most of the municipalities in Michigan do not have a dedicated enterprise fund for construction; being part of the general fund does not require they fully recover their cost of service.
The rental housing inspection fee schedule has been overhauled. Property categories have been consolidated from six to three and the fee structure has been simplified. The proposed fee structure will also result in reduced re-inspection fees. These changes are a result of efficiencies gained by implemented changes in the rental housing inspection program while maintaining safe housing and improved customer service.
Planning is requesting the addition of six new fees to better clarify their current fee schedule.
Attached are the proposed fee changes for Parks and Recreation, Construction, Rental Housing, and Planning.
Staff is requesting your approval of these changes.
Attachments: Parks and Recreation FY 2012 Comparable Fees
Parks and Recreation FY 2012 Proposed Fee Changes
Construction FY 2012 Comparable Fees
Construction FY 2012 Proposed Fee Changes
Rental Housing FY 2012 Comparable Fees
Rental Housing FY 2012 Proposed Fee Changes
Planning FY 2012 Proposed Fee Changes
Staff
Prepared by: Sumedh Bahl, Community Services 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 and Planning and Development Services have reviewed all of their fees as part of the 2012 budget submittal;
Whereas, Fees have been adjusted, both increased and decreased, based upon the cost of providing services or remaining competitive with the market; and
Whereas, Various new fees have been created to reimburse costs for services proposed or to remove ambiguity;
RESOLVED, That fees for Parks and Recreation Services and Planning and Development Services in the attached schedules which are new be approved and adopted and existing fees be adjusted as stated in the schedules;
RESOLVED, That the attached fee schedules become effective according to the dates in the attached schedules; and
RESOLVED, That City Council authorizes the City Administrator to take necessary administrative actions to implement this resolution.