Agenda Item Wording:
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Fiscal Year 2025-26 Rates and Fees - Receive, review, and discuss proposed new fees, increases, and adjustments to the City's Rates and Fees Schedule for Fiscal Year 2025-26.
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Prepared by: Jana Ferguson, Financial Analyst 559-713-4429, jana.ferguson@visalia.gov; Renee Nagel, Finance Director 559-713-4375, renee.nagel@visalia.gov
Department Recommendation: It is recommended that the City Council receive, review, and discuss the proposed new fees, increases, and adjustments to the City's Rates and Fees Schedule for Fiscal Year 2025-26.
Summary:
Each year, all City's fees, except Impact Fees and Business Tax, are reviewed for annual cost of living adjustments for the upcoming fiscal year. Annual inflationary adjustments help Departments cover costs and lessen the burden on the General Fund so that the fund will be available to cover critical operations, including public safety. City ordinances adjust Impact Fees and Business Tax fees annually by specific CPI indices.
There are two meetings to review the Rates and Fees for Fiscal Year 2025-26. The first meeting, on June 2nd, is to receive, review, and discuss the proposed changes to the City's Rates and Fees Schedule. The second meeting, on June 16th, is to conduct a Public Hearing and take action to adopt the City's Rates and Fees Schedule for Fiscal Year 2025-26. If approved, the effective date is July 1st, 2025, for all rates and fees except Impact Fees, which require a 60-day notice, making the effective date for these fees August 16th, 2025.
Background Discussion:
Fee increases are based on established indexes. The City uses the California Consumer Price Index for All Urban Consumers (CCPI-U) as the basis for most fee adjustments. Impact Fees are required by City ordinance to use a building industry index known as the Engineering News Record Construction Cost Index (ENRCCI). In like manner, City ordinance dictates that the Business Tax fees will be adjusted by the CPI using the U.S. City Average for all items (USCPI-U) using the average for the most recent 3 years. Impact Fees and Business Tax fees are adjusted annually as directed by ordinance. Table 1: Proposed Index Period Changes lists the indices and the fee effective date.
This report explains in detail the following fee changes:
• New Fees
• Fee Increases Exceeding CPI
• Adjusted Fees
• Existing Fees - Previously Not Listed in the Document
• Deleted Fees
This staff report does not discuss existing rates proposed to increase by the allowable indices (shown above) or those with minor adjustments to the CPI for cash handling purposes. Cash handling adjustments are rounding to the nearest dollar and range from $0.01 to $0.79. Attachment A, "Fiscal Year 2025-26 Proposed Rates and Fees Document," lists all rates and fees and includes the current fiscal year's rates and fees for comparison purposes. Changes other than the CPI adjustment are highlighted for easy reference. These are also the fees discussed in this report.
Throughout the Rates and Fees document, there are times when some or all of the departments' Rates and Fees are not increased for specific circumstances and reasons. The following are instances when rates and fees might not increase.
• Ordinances and Fees set by other Governmental Agencies - Some fees, such as Code Enforcement, may require an ordinance change. In addition, other governmental agencies may set some fees and, therefore, may not be changed, as in the case of some Police Fees.
• Legal Requirements (Prop. 218 Fees) - Some fees may require the department to go through a Prop. 218 notification processes before they can increase, as is the case for most Solid Waste and Sewer fees.
• Contracted - Some fees are based on contracted services charged at contracted prices, such as Sidewalks & Drive Approach Improvement fees.
• Minor Administrative Fees - Some fees are for minor administrative tasks that are minimal and/or rarely occur and are therefore not being increased, as in the case of copy fees, payroll fees, and report fees.
• Department - Some fees are not being increased per the department's recommendation. For instance, a department may want to remain competitive within its industry, where an increased fee could be detrimental to the business.
NEW FEES
The following are proposed new fees for the upcoming fiscal year, effective July 1, 2025. Note: The page numbers referenced for each fee refer to the page number in the Proposed Rates & Fees Document, which is attached.
General Government & Finance - General Fees (pg 9)
Finance is proposing two new fees for the General Government & Finance section. These fees will apply to any department throughout the City for the described services.
The first proposed fee is for the Removal or Change to Tax Roll fee of $50 per parcel. This fee allows the recovery of City administrative costs and fees incurred from Tulare County to remove or change an item previously placed on the county tax roll. Several departments use the tax roll process annually to recover delinquent accounts or by citizen requests for services such as sewer connections or sidewalk repairs done by the city contractor. The fee includes the actual cost from the county and City employee time required to process any request.
The second fee is a Service Fee for any payment made by Credit Card or ACH (Automatic Clearing House) through online payment portals for various City services. The City has several online services, such as utility billing and permits, and it will soon launch a business tax platform. These systems utilize payment processors that charge fees. This new fee is a pass-through of the actual cost only from these companies. The fee is calculated at the time of payment and disclosed to citizens before completing their online payment transaction. The fee will vary by department due to different payment processors associated with software systems, and it will be included as new systems come online. These fees typically range from 2.5% to 3%.
Animal Services - Enterprise Fees (pg 45)
In a direct response to feedback from Community Town Hall meetings, increased reports from concerned citizens about breeding, and to encourage responsible breeding within the City, Animal Services is proposing a new fee, Illegal Breeding Fee. This fee would be applied to anyone breeding animals without an active Breeder's Permit or a permitted breeder with more than two litters per year. Animal Services staff surveyed the surrounding areas to determine the pricing for this fee and chose to match the listed fees of Tulare County and Fresno County. This fee will impose a significant cost to curb breeding.
Animal Services FY 25-26
Illegal Breeding Fee - Per Litter without a Permit $1,000.00
Illegal Breeding Fee - Permitted Breeder -more than 2 litters $1,000.00
Convention Center - Enterprise Fees (pg 55)
The Convention Center would like to add a fee for Piano Lifting to the Rates & Fees. This fee would be applied when a customer requests that a piano be elevated onto a platform or stage. Due to the complexity of the piano's inner workings and the potential injury to staff due to the size and weight of the piano, an outside service professional would be hired to perform this service, and this fee will cover the associated expenses.
Staff Services FY 24-25 FY 25-26
Piano Lifting - Elevating to platform or stage N/A $470.00
Sanitary Sewer (Wastewater) - Enterprise Fees (pg 68)
The Public Works department is proposing a new fee for Special Services performed by the Wastewater Maintenance staff. Occasionally, there is a need to clear debris from catch basins and sewer mains or clean up spills such as grease in or around the City Right of Ways. Blockages and dumping of inappropriate materials affect the city's storm drain and wastewater systems, and the city staff is best suited to perform this corrective work. Charges are billed to the citizen or business that caused the issue. Because each incident varies from another, the charge is calculated per incident using the City's Direct and Indirect Rates and the Cal Trans Equipment Rate publication.
Special Services Fee FY 25-26
Fees for work such as, but not limited to, debris removal, Direct Rate
Clearing of catch basins, sanitary sewer mains, or spill (Salary & Benefits)
Clean up in and around storm gutters, drains, and and Indirect Rate
City Right-of-Way. Equipment charged at listed Cal Trans Rates
FEE INCREASES EXCEEDING CPI
General Government & Finance - General Fees (pg 9)
The Finance Department proposes increasing the charge for Placing an Item on the Tax Roll from $1.00 to $25.00. Placing items on the County tax roll takes several months of preparation and multiple City staff members. Staff must generate accounts and property APNs, verify ownership, mail 45-day notices, and follow up for accuracy. The original $1.00 fee is what is charged to the City by the County, and by adding the additional administrative fee for this process, the City will be able to recoup the processing costs, excluding Lighting & Landscaping District assessments.
Tax Roll FY 24-25 FY 25-26
Placing Item on Property Tax Roll for Collection $1.00 $25.00
Engineering - General Fees (pg 14)
The Pavement Maintenance Fee is proposed to be increased above the standard CPI as an adjustment for the last four (4) years. The fee has consistently been "rounded down" for cash handling purposes. Most payments are now collected via credit card. The calculated increase considers the prior 4 years of CPI and the FY 2025-26 rate. The increase is 22% or $0.66 total.
Pavement Maintenance Fee FY 24-25 FY 25-26
Per Linear Foot $3.00 $3.66
Parks and Recreation - General Fees (pg 18-19)
The Parks and Recreation Department has proposed raising the cost of an Alcohol Permit for Indoor Facilities. The proposed increase is $1.24 over CPI, or 8.0%. They want to match the current published price of the same permit available for Picnic Areas.
An increase is also proposed for Tennis and Pickleball Court rental rates. The increase would be 16.67%, equating to $0.82 per hour per court. The increase will help pay for ongoing court maintenance and net replacements.
Indoor Facility Fees FY 24-25 FY 25-26
Additional Fees
Indoor Facility Alcohol Permit $25.00 $27.00
Athletic & Miscellaneous Facility Fees
Park Athletic Courts
Tennis Courts-Per Hour $6.00 $7.00
Pickleball Courts-Per Hour $6.00 $7.00
Sidewalks & Drive Approach Improvements - General Fees (pg 29)
The cost for Major Commercial Drive Approach 20' Radius Curb Return is increasing by 17.77% or $5.15 per square foot. This increase is due to a typographical error with last year's submission. The contractual price should have been entered as $40.00 instead of $35.00. The correction for this year includes the allowable CPI increase.
Material, Labor and Overhead Cost FY 24-25 FY 25-26
Major Commercial Drive Approach 20’ Radius Curb Return $35.00 $41.22
-Per Square Foot
Animal Services - Enterprise Fees (pg 45)
Animal Services staff is proposing to increase the Vaccination fee. This fee includes the cost of the vaccine itself and administrative fees. This year, the price of the vaccines has increased by 60%. The proposed fee increases for the three vaccinations available at the Animal Care Center will help cover the increased medicine cost while keeping it affordable to citizens recovering their lost pets or adopting a new pet.
Animal Services FY 24-25 FY 25-26
Miscellaneous
Rabies Vaccination $16.00 $18.00
DHPP/FVRCP Vaccination $16.00 $18.00
Bordatella Vaccination $16.00 $18.00
Convention Center - Enterprise Fees (pg 54-55) The Convention Center is seeking the City Council's approval to increase the rental rates of many rooms above the approved CPI. Our Convention Center has established itself as one of the safest convention centers in the Central Valley. Staff is hearing directly from customers that this fact has often weighed heavily into their decision to move their conventions and events to Visalia. Staff is proposing to reinforce this quality by providing enhanced security to all events at the Center. This service would utilize the most recent security services contract. Extra security would be provided inside and outside the facility, and a safe and secure environment would be provided for all. The proposed rental rate increases will recover the increased security cost. These increases range from 7.75% to 8.42% or $3.66 to $198.92 on the per day rates.
There is also a proposed increase for Piano Tuning services. The increase proposed is 12.53%, equating to $16.82 over the approved CPI, and will cover actual outside vendor costs.
|
FACILITY RENTAL |
|
FY 24-25 |
FY 25-26 |
|
Charter Oak Ballroom for banquet (5:30pm-Midnight Mon-Fri, 3:30pm-Midnight Sat & Sun.) * |
Per Day |
$3,017.38 |
$3,261.00 |
|
Charter Oak Ballroom for meeting (6am-4pm Mon-Fri, 6am-2pm Sat & Sun.) * |
Per Day |
$1,902.10 |
$2,055.00 |
|
Charter Oak Ballroom ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$3,971.55 |
$4,292.00 |
|
Charter Oak Ballroom move in/out |
Per Day |
$1,506.09 |
$1,627.00 |
|
Charter Oak Ballroom turnaround reset |
Per Day |
$947.93 |
$1,024.00 |
|
Charter Oak Ballroom “E” for banquet (5:30pm-Midnight Mon-Fri, 3:30pm-Midnight Sat & Sun.) * |
Per Day |
$1,009.26 |
$1,091.00 |
|
Charter Oak Ballroom “E” for meeting (6am-4pm Mon-Fri, 6am-2pm Sat & Sun.) * |
Per Day |
$635.07 |
$686.00 |
|
Charter Oak Ballroom "E" ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$1,322.12 |
$1,429.00 |
|
Charter Oak Ballroom “E” move in/out |
Per Day |
$502.03 |
$542.00 |
|
Charter Oak Ballroom “E” turnaround reset |
Per Day |
$317.02 |
$343.00 |
|
Charter Oak Ballroom A, B, C or D for banquet (5:30pm-Midnight Mon-Fri, 3:30pm-Midnight Sat & Sun.) * |
Per Day |
$502.03 |
$542.00 |
|
Charter Oak Ballroom A, B, C, or D for meeting (6am-4pm Mon-Fri, 6am-2pm Sat & Sun.) * |
Per Day |
$317.02 |
$343.00 |
|
Charter Oak Ballroom A, B, C or D ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$657.94 |
$711.00 |
|
Charter Oak Ballroom A, B, C or D move in/out |
Per Day |
$245.30 |
$265.00 |
|
Charter OakBallroom A, B, C, or D turnaround reset |
Per Day |
$149.67 |
$162.00 |
|
San Joaquin Ballroom (6am-4pm or 5:30pm-Midnight Mon-Fri, 6am-2pm or 3:30pm-Midnight Sat & Sun.) * |
Per Day |
$1,087.21 |
$1,175.00 |
|
San Joaquin Ballroom ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$1,622.50 |
$1,753.00 |
|
San Joaquin Ballroom move in/out & turnaround reset |
Per Day |
$540.49 |
$584.00 |
|
San Joaquin Ballroom A, B, C or D (6am-4pm or 5:30pm-Midnight Mon-Fri, 6am-2pm or 3:30pm- Midnight Sat & Sun.) * |
Per Day |
$267.13 |
$289.00 |
|
San Joaquin Ballroom A, B, C or D ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$401.21 |
$434.00 |
|
San Joaquin Ballroom A, B, C or D move in/out & turnaround reset |
Per Day |
$133.04 |
$144.00 |
|
Sequoia A or B (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun) * |
Per Day |
$267.13 |
$289.00 |
|
Sequoia A or B ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$401.21 |
$434.00 |
|
Sequoia A or B move in/out & turnaround reset |
Per Day |
$133.04 |
$144.00 |
|
Sequoia A & B (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun.) * |
Per Day |
$540.49 |
$584.00 |
|
Sequoia A & B ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$808.65 |
$874.00 |
|
Sequoia A & B move in/out & turnaround reset |
Per Day |
$ 267.13 |
$289.00 |
|
Sierra A (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun.) * |
Per Day |
$200.60 |
$217.00 |
|
Sierra A ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$300.39 |
$325.00 |
|
Sierra A move in/out & turnaround reset |
Per Day |
$99.78 |
$108.00 |
|
Sierra B (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun) * |
Per Day |
$267.13 |
$289.00 |
|
Sierra B ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$401.21 |
$434.00 |
|
Sierra B move in/out & turnaround reset |
Per Day |
$133.04 |
$144.00 |
|
Sierra A & B (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun.) * |
Per Day |
$467.73 |
$506.00 |
|
Sierra A & B ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$701.60 |
$759.00 |
|
Sierra A & B move in/out & turnaround reset |
Per Day |
$232.83 |
$252.00 |
|
Mineral King / Kaweah A or B (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun.) * |
Per Day |
$200.60 |
$217.00 |
|
Mineral King / Kaweah A or B ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$300.39 |
$325.00 |
|
Mineral King / Kaweah A or B move in/out & turnaround reset |
Per Day |
$99.78 |
$108.00 |
|
Mineral King / Kaweah A & B (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun.) * |
Per Day |
$278.56 |
$301.00 |
|
Mineral King / Kaweah A & B ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$401.21 |
$434.00 |
|
Mineral King / Kaweah A & B move in/out & turnaround reset |
Per Day |
$139.28 |
$151.00 |
|
Kings Canyon (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun.) * |
Per Day |
$267.13 |
$289.00 |
|
Kings Canyon ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$401.21 |
$434.00 |
|
Kings Canyon move in/out & turnaround reset |
Per Day |
$139.28 |
$151.00 |
|
Executive Board Room (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun.) * |
Per Day |
$328.45 |
$355.00 |
|
Executive Board Room ALL-DAY(6am-Midnight Mon-Sun) |
Per Day |
$490.60 |
$530.00 |
|
Executive Board Room move in/out & turnaround reset |
Per Day |
$167.34 |
$181.00 |
|
Grand Board Room (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun.) * |
Per Day |
$351.32 |
$380.00 |
|
Grand Board Room ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$518.66 |
$560.00 |
|
Grand Board Room move in/out & turnaround reset |
Per Day |
$177.74 |
$192.00 |
|
Courtyards - Eucalyptus and Plaza |
Per Day |
$1,656.80 |
$1,790.00 |
|
Courtyards move in/out & turnaround reset |
Per Day |
$830.48 |
$897.00 |
|
Lobby Areas |
|
|
|
|
Lobby (each) registration or pre-function space |
Per Day |
$356.51 |
$385.00 |
|
Exhibit Lobby for banquets or meetings (6am-4pm Mon-Sun or 5:30pm-Midnight Mon-Sun) * |
Per Day |
$813.85 |
$879.00 |
|
Exhibit Lobby for banquets/meetings ALL-DAY (6am-Midnight Mon-Sun) |
Per Day |
$1,226.49 |
$1,325.00 |
|
Kitchen Rental - 2 hour minimum |
Per Hour |
$111.22 |
$120.00 |
|
Parking lot rental |
Per Day |
$1,277.42 |
$1,380.00 |
|
Show Manager’s office |
Per Day |
$77.96 |
$84.00 |
|
* Limited Occupancy Times |
|
|
|
Solid Waste - Enterprise Fees (pg 67)
The proposed new costs for 3 Yard & 30 Yard Bins are based on our latest purchase prices. This fee is listed as the "actual replacement cost to the City" and includes the bin cost, sales tax, and shipping, plus ½ hour of staff and vehicle time. The rate increases range from 3.76% to 6.94% and amounts over the CPI range from $7.76 to $328.41.
Transit - Enterprise Fees (pg 72-74)
Due to a new contract for bus services, Transit is proposing to increase the Trolley/Bus Rental fees. The two-tiered system will remain with City and Non-City rates. The increase equals 25.04% and 20.09%, respectively, and $25.94 and $22.92.
Based on the recommendation of the contracted advertising agency, Transit staff would like to increase the Interior Ad space advertising rates for buses and the VLine. The bus increases are 5.88% or $0.48, and the VLine rates would increase 7.32% or $0.87 over the approved CPI.
ADJUSTED FEES
The following are the proposed fees that have increased by less than the annual CPI, decreased, changed based on the City's salary and benefit changes, or have a change in the fee description.
Public Works - Impact Fees (pg 33)
The title for Groundwater Impact Fee is proposed to change to Groundwater Pumping Fee to describe the purpose of the fee more accurately. At this time, the fee is proposed to increase by the allowable CPI. The department is working through a study to determine the most effective rates and may return later with changes to this fee.
Solid Waste - Enterprise Fees (pg 67)
The Replacement Costs for 1 Yard & 2 Yard Bins are proposed to decrease due to the reduction in the City's actual cost for these container sizes. The reduction accounts for
-1.19% & -0.18% or $-11.58 and $-1.80 respectively.
Transit - Enterprise Fees (pg 72-74)
On the advice of the advertising agency working with Transit, the department proposes increasing the majority of the advertising rates by 2% instead of the approved 3.06%. This proposal is to stay competitive within the industry. With rounding for cash handling, the increases are between 1.90% and 2.58%, ranging from $-2.39 to $-18.46, less than the approved CPI.
Due to changes in the pickup and drop-off locations, schedule changes, and the delay in the launch of the reservation website, Transit is proposing to reduce the cost of the Sequoia Shuttle round-trip ticket price. The drop is -25% or $-5.00.
Salary & Benefit Changes
The following rates are associated with a specific job position and have been adjusted based on salary and benefit contractual increases for the budget year. Rate increases range from 3.09% to 15.00%, and amounts over CPI range from $0.04 to $165.07.
Engineering & Building - General Fees (pg 15)
Parks and Recreation - General Fees (pg 18)
Planning - General Fees (pg 22)
Fire - General Fees (pg 26)
Police - General Fees (pg 28)
Building Safety - Enterprise Fees (pg 51)
Solid Waste - Enterprise Fees (pg 66-67)
EXISTING FEES - PREVIOUSLY NOT LISTED IN THE DOCUMENT
General Government & Finance - General Fees (pg 9)
There are two existing parking permits available for purchase. Residential Parking Permits were established on February 1, 1999, when the City Council adopted Ordinance No. 99-01, adding Chapter 10.18, Residential Parking Program, to the Municipal Code. This ordinance created a procedure to establish restricted parking areas in residential neighborhoods near the College of the Sequoias to provide preferential on-street parking for residents living within the boundaries of the areas approved by Resolution No. 99-48, 99-124, 2002-46, and 2012-30. The permit fees were established at $25.00 per month and $10.00 for any replacement permit. No change to these fees is requested.
There are also Reserved Parking Permits for the West Acequia Parking Structure. On August 21, 2000, the Council adopted Ordinance 2000-10, adding Section 10.16.145 Downtown Parking Permits to Chapter 10.16 of the Municipal Code. This ordinance created a Downtown Parking Permit Program. On March 19, 2007, the Council approved a fee for Reserved parking spaces in the West Acequia Parking Structure. On August 16, 2010, the Council approved an updated parking permit fee of $25.00 per month and $10.00 for a replacement permit. No change to these fees is requested.
Planning - General Fees (pg 22)
On November 6, 2023, the City Council adopted Ordinance 2023-11 and approved Zoning Text Amendment No. 2023-01 for the Short Term Rental Permit. Included in those amendments were changes to Title 17 (Zoning) Chapter 17.32 Special Provisions, which requires a permit fee to be charged to anyone engaging in the business of Short Term Rental. This fee is aligned with the Home Occupancy Permit managed by the Planning Department and will now appear in the Rates & Fees document.
Sidewalks & Drive Approach Improvements - General Fees (pg 29)
The City maintains a contract for Sidewalk & Drive Approach improvements with a local company. This contract is maintained not only for city use but also published as a part of the Rates & Fees document because many of these services are available to our citizens if they would like to use them. The City also offers these services for mandated repairs, with the option of having the expenses placed on the property tax rolls to spread the costs over 10 years. Three fees on this contract were not published last year, and the Public Works Department believes it would be beneficial to include them in this document.
Convention Center - Enterprise Fees (pg 54, 56-57)
During the review process this year, Convention Center staff realized that several amenities available for clients were not listed in the Rates & Fees document, so these will all be added to this year's document.
DELETED FEES
General Government & Finance - General Fees (pg 9)
The City is no longer a Passport Acceptance Facility, so the fees for Passport Application Execution Service Fee, Passport Photos, and Passport Application Overnight Postage Fee no longer need to be listed in the Rates & Fees document. These fees can be reintroduced if the City begins processing passports in the future.
Convention Center - Enterprise Fees (pg 56-57)
The Convention Center no longer offers to process and provide Event Insurance for those hosting events. Event insurance is still required; however, staff now directs clients to an outside service provider if requested. The lowest tier Wi-Fi Services speed at the Convention Center is now 5000kbs, so the listing for Wi-Fi Services up to 512kbs is being removed from the Rates & Fees document.
ANNUAL ADJUSTMENTS - AUTHORIZED BY ORDINANCE
The following is a listing of proposed fees where fee increases are required by ordinance.
Business Tax
Annual increases are calculated with the three-year average of the Consumer Price Index for All Urban Consumers (CPI-U) - U.S. City Average as previously approved by Council and authorized by City Ordinance. This adjustment is not subject to Proposition 26 rules, as this is an automatic inflationary adjustment and not a new imposition of a tax levy, charge, or exaction because a fee is imposed when the governing body approves it, not when the fee takes effect. An inflationary adjustment to a levy, charge, or exaction, including a fee, is merely a fee category set to begin at a specific future effective date. The fee is not considered an increase when it is adjusted for inflation (see Government Code Section 53750(h) (2) (A). The index applicable to Fiscal Year 2025-26 is 5.02%. These fees will be in effect on July 1, 2025.
Impact Fees
The ordinance that approved cost of living increases for Impact Fees is based on the Engineering and News Record Construction Cost Index (ENRCCI). The index applicable to Fiscal Year 2025-26 is 1.68%. These fees require a sixty-day notice and will be effective on Aug 16, 2025.
Fiscal Impact: Proposed increases in City rates and fees will help Departments cover costs and lessen the impact on the General Fund.
Prior Council Action: The Council reviewed and approved new fees and adjustments to the Rates and Fees on June 17, 2024, for Fiscal Year 2024-25.
Other: The following committees and commissions have reviewed the proposed rate and fee adjustments and recommend to the City Council the adoption of the adjustments to the City's Rates and Fees for Fiscal Year 2025-26.
Alternatives: N/A
Recommended Motion (and Alternative Motions if expected):
recommendation
There is no motion tonight. Review and discussion only; Council comments and direction are requested. Action will be taken following the public hearing at the June 16, 2025, Council meeting.
Environmental Assessment Status: N/A
CEQA Review: N/A
Deadline for Action: 6/2/2025
Attachments: Attachment A - Fiscal Year 2025-26 Proposed Rates and Fees Document
Attachment B - Power Point Presentation