CITY COUNCIL AGENDA ITEM
Meeting Date: September 13, 2005
Subject/Title: Approve a resolution adopting the 2005/06 Cost Allocation
Plan & Schedule of City Fees
Prepared by: Kerry Breen, Financial Services Manager
Submitted by: Pamela Ehler, Director of Finance and Information Systems
Approve a Resolution adopting the 2005/2006 Cost Allocation Plan, and
revising the City’s Service Fees.
In April of 2000, the City contracted with DMG-Maximus to update current
City fees & charges. DMG-Maximus worked with City staff in Community
Development, Engineering, Parks & Recreation, and Police in order to develop
a system for updating the fee-for-service charges provided by these
departments. City staff provided information relating to the actual time it
takes to produce or complete each user fee or permit service. The hourly
rate calculations were applied to the actual time estimates to come up with
a total cost of providing each user fee activity. The total costs were then
compared to the current fees to yield an over or under-recovery of costs.
Fees can then be adjusted up or down to equal cost. A model was developed to
calculate these fees. This model is updated annually.
On November 14, 2000, by Resolution No. 2198 the City Council adopted the
DMG-Maximus Report for computing fees for City services and revising the
City services fees.
On September 14, 2004, by Resolution No. 2004-222, the City Council adopted
the 2004/2005 Cost Allocation Plan and revised the City’s Service Fees.
The City Council has periodically revised development impact fees for public
facilities, including the most recent revisions contained in Resolution
2004-32 adopted on February 10, 2004.
A copy of the 2005/2006 Cost Allocation Plan is available for public review
in the City Clerk’s office, Engineering Department lobby, Community
Development lobby, Parks and Recreation lobby and at the Brentwood Library.
State law requires that fees be reasonably related to the actual cost of
providing the service. The purpose of a cost allocation plan is to conform
to state law and to have a method to recover direct and indirect costs
associated with providing services and establish a framework for computing
fees and charges. The Cost Allocation Plan computes two overhead factors,
departmental and City-wide, both of which are applied against direct costs
to determine the total cost of providing a given unit of service.
Departmental and City-wide overhead factors are based on the distribution of
expenditure categories including personnel, operating and ongoing capital
costs as outlined below:
Departmental and Other
Community Development 49.11%
Public Works 112.52%
Parks and Recreation 100.02%
Redevelopment Agency 72.66%
Other City-wide 33.48%
The Department has added a new line item for the Adult Oriented Business
Permit in order to comply with newly adopted Section 17.690.040 of the
Brentwood Municipal Code.
Fees for books and plans are now stated to be at actual cost. Examples
include the CIP book, Development Fee Book, and Street Index.
Fees for books and plans are now stated to be at actual cost. Examples
include the General Plan, CAFR, and Operating Budget.
Parks and Recreation Program Fees
The Department has added a number of new programs and a number of programs
have been revised to recover direct costs and Department/Citywide overhead
to meet the cost recovery levels as accepted by the City Council on February
Picnic Table and Field Rentals
Park and Recreation staff has determined that there is a need for the
ability of residents to reserve picnic areas within the City of Brentwood.
Staff surveyed eight cities to find out their fee structures for such
rentals. Cities polled include Antioch, Concord, Dublin, Pittsburg, Pleasant
Hill, San Ramon, Tracy, and Walnut Creek. While specific areas of certain
parks can be reserved, there will always be areas remaining in those parks
that are still first-come, first-serve. The new fees being recommended by
staff are similar to the surveyed cities and include the cost of a part-time
staff person to make sure the facility is ready for the rental and check the
facility afterwards to make sure it is clean.
In addition to picnic areas, Parks and Recreation is recommending several
other new types of rentals including “party packs” of recreation/sports
equipment, rental of bocce courts and equipment, as well as rental of the
horseshoe courts. Staff would like to introduce a new service to the renters
of the Brentwood Community Center and Women’s Club in the form of set-up and
take-down packages for rentals of the facilities. These packages, which are
voluntary options for renters, would provide for part-time staff to setup
and/or take down tables, chairs, and other equipment in relation to a rental
for a nominal fee. This service, while being convenient for the users, will
also help to extend the life of rental equipment.
Parks and Recreation department staff is also recommending fees for the
rental of field space. Staff continues to get requests for the ability for
teams to rent spaces for practices and staff has developed an inventory of
some specific fields that can be available for rent. Other related new fees
are for an optional scorekeeper that the department can provide, as well as
a part-time staff fee for supervision of field rentals when necessary.
Fees are also being proposed for the rental of the entire Sunset Park
Athletic Complex, City Park, and Brentwood Skate Park for events. In
addition, Parks and Recreation has developed proposed deposits for all of
the above rentals and a cancellation fee for rentals that are cancelled with
less than 14 days notice.
The City will review and update these fees and charges on an annual basis.
All Fees are proposed to be adjusted at the beginning of each fiscal year by
the annual changes to the Consumer Price Index (CPI), unless a fee is tied
to an alternate index. A CPI of 2.4% was used for all applicable fees in the
Cost Allocation Plan.
Unknown at this time, however, fiscal impact will be reflected in the
financial reports given to Council every quarter.
2005/06 Cost Allocation Plan
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BRENTWOOD ADOPTING THE
2005/06 COST ALLOCATION PLAN.
WHEREAS, Government Code Sections 65104, 65909.5, 66014 and 66451.2 allow
the City to establish fees to offset the City’s administrative costs in
processing permits, licenses, subdivision maps and entitlements; and
WHEREAS, Brentwood Municipal Code § 17.800 requires payment of such
processing fees in conjunction with any application submitted for permits,
licenses, subdivision maps and entitlements; and
WHEREAS, On November 14, 2000, by Resolution No. 2198 the City Council
adopted the DMG-Maximus Report for computing fees for City services and
revising the City services fees; and
WHEREAS, the City has compiled certain Cost Allocation Plans, the most
recent of which was adopted September 14, 2004, to compare direct and
indirect administrative costs in providing various services to the
WHEREAS, the City Council has periodically revised development impact fees
for public facilities, including the most recent revisions contained in
Resolution 2004-32 adopted on February 10, 2004.; and
WHEREAS, on May 24, 2005, the City Council adopted the 2005/06 – 2009/10
Capital Improvement Program which is an integral part of the overall system
of public facility development; and
WHEREAS, the City Finance Department researched and developed the Cost
Allocation Plan and City Fees, Fiscal Year 2005/06 report, which develops a
model for computing fees to cover the City’s direct and indirect (overhead)
administrative costs incurred in response to requests for permits, maps,
licenses and entitlements, and which proposes a revised schedule of such
WHEREAS, the Report and supporting data were available for public inspection
and review for ten (10) days prior to this public hearing; and
WHEREAS, a public hearing has been noticed and held in accordance with
Government Code Section 66018; and
WHEREAS, the City Council has considered the information provided to it by
those testifying, and has reviewed and considered the information provided
in the staff report and staff presentation and has read and considered the
Report and supporting data.
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Brentwood:
Section 1. Findings:
The Council makes each of the following findings:
A. The purpose of the processing fees is to support those City services
which are undertaken as a direct or indirect result of members of the public
using the services of the City, in particular the services of permits,
licenses, subdivision maps and entitlements.
B. After considering the Report and supporting data and the testimony
received at this public hearing, the Council approves and adopts the 2005/06
Cost Allocation Plan and the Report, and incorporates them herein, and
further finds that future development in the City of Brentwood will generate
a continued need for the services specified in the Report.
C. The Report and the testimony establish:
1. That there is a reasonable relationship between the need for the fee and
the type of service for which the fee is imposed; and
2. That there is a reasonable relationship between the amount of the fee and
the estimated reasonable cost of providing the type of service for which the
fee is imposed; and
3. The amount of service provided does not exceed what is reasonably
necessary in order to process the requested service;
4. That the cost estimates set forth in the 2005/06 Cost Allocation Plan and
the Report are reasonable and best approximate the direct and indirect
(overhead) costs of City staff and consultants for providing the necessary
service to respond to the public’s requests
D. The method of allocating the City’s administrative costs of processing
service bears a fair and reasonable relationship to each member of the
public’s burden on, and benefit from, the services requested by that member.
E. The fees do not exceed the estimated reasonable cost of providing the
service for which the fee is charged.
Section 2. Fees Imposed:
A. Each person requesting a service in the City of Brentwood for which a fee
is imposed pursuant to the Report shall pay the processing fee set forth in
B. On July 1 of each year, all fees not tied to an alternate index shall be
automatically adjusted by an amount equal to the percentage of increase or
decrease in the consumer price index for this region, as last computed
before the July 1 date.
C. The fees may also be adjusted if the City updates or modifies the Cost
Allocation Plan or the Report and conducts a public hearing to implement a
new or revised fee or fees based upon such update or modification.
D. The applicable fee shall be determined on the basis of the fee schedule
in effect at the time the application is submitted to the City for the
requested service. The fee shall be payable in full at the time the
application is submitted.
E. The adoption of this Resolution does not affect the ability of the City
to request an agreement between the applicant and the City to pay
extraordinary processing costs and to establish deposit accounts.
F. Notwithstanding anything to the contrary herein, the fee for copying
public records requested by a member of the public, shall not exceed the
direct costs of duplication.
Section 3. Fee Adjustment or Waiver or Reimbursement:
A person subject to the fee imposed pursuant to this Resolution may apply to
the City Council for adjustment to that fee, or a waiver of that fee, or
reimbursement of part or all of the fee, solely by following the written
protest procedure in the time and manner provided by Government Code Section
66020 and detailing the reasons for the adjustment, waiver or reimbursement.
A. A person subject to the fees imposed pursuant to this Resolution that
desires an adjustment or waiver of such fees shall follow the protest
procedure contained in Government Code Section 66020 (as may be amended),
and within the time frame set forth in subsection (d) thereof (as may be
amended) or risk the loss of the legal ability to request such adjustment or
waiver. In no event shall the City waive its right to rely on other
applicable limitations periods, including without limitation those set forth
in Government Code Section 66022 (as may be amended).
B. A person may apply to the City Council for an adjustment to the fees by
filing an application with the City Clerk. The application shall be made in
writing and must identify the reasons why the City’s processing fees should
be adjusted. At a minimum, the reasons should explain why a reasonable
relationship is lacking between the service provided by the City, the costs
incurred by the City for such service and the fees imposed by the City for
C. The application shall be filed with the City Clerk no later than the
deadline for filing protests as mentioned in subpart A. above. The City
Clerk will present the application to the City’s Finance Director or
D. The City’s Finance Director, or designee, shall make a written
determination on the application. The City’s Finance Director, or designee,
may authorize an adjustment so long as the adjustment does not exceed Ten
Percent of the total amount of fees sought to be imposed by the City.
Recommendations by the City’s Finance Director, or designee, for adjustments
in excess of Ten Percent will be forwarded to the City Council for final
determination. The method and timing of implementing the adjustment is
subject to the discretion of the City’s Finance Director (or designee) or
City Council where applicable.
E. Any adjustment granted is limited to the project as proposed. If there is
any change in the project, the fee adjustment is suspended so that the
City’s Finance Director, or City Council where applicable, may re-evaluate
where the adjustment is still appropriate.
F. Decisions of the City’s Finance Director, or designee, are subject to
appeal to the City Council so long as such appeal is made in writing and
within 10 days of the decision.
Section 4. Use of Fee Revenues:
The revenues raised by payment of these fees, along with any interest
earned, shall be used to pay for the City’s administrative costs spelled out
in the Report, including without limitation the capital costs and labor and
contract costs directly or indirectly associated with providing the
Section 5. Subsequent Analysis of the Fees:
The fees established herein are adopted and implemented by the Council in
reliance on the comprehensive studies that have been prepared by the City
and consultants to the City. During the coming years, the City will continue
to gather additional information that may affect the nature, scope and type
of services to be provided in response to requests of the public.
Notwithstanding any term or condition of any permit, subdivision map,
license or entitlement granted by the City, it is existing policy that the
City Council may revise the fees to incorporate the findings and conclusions
of further studies, as well as increases due to inflation, and that such
revisions shall apply to any prior approved projects, as well as new
Section 6. Effective Date of Revised Fees:
Fees governed by Government Code 66000-66025 shall be effective sixty (60)
days after the adoption of this Resolution provided, however, that, upon
enactment of this Resolution, any person may pay the revised fees instead of
the current fees. All other fees set forth in the 2004/2005 Cost Allocation
Plan were increased by the CPI or appropriate percentage on July 1, 2005 per
Resolution 2004-222. Newly established fees in the 2005/2006 Cost Allocation
Plan shall be effective immediately.
Section 7. Severability:
Each component of the fees and all portions of this Resolution are
severable. Should any individual component of the fee or other provision of
this Resolution be adjudged to be invalid and unenforceable, the remaining
provisions shall be and continue to be fully effective, and the fee shall be
fully effective except as to that portion that has been judged to be
Section 8. Repeal of Inconsistent Resolutions
Resolution No. 2004-222 is hereby repealed.
Section 9. Exemption from California Environmental Quality Act (CEQA):
The City Council finds that CEQA does not apply to the adoption of this
Resolution, pursuant to Sections 15061 and 15273 of the State CEQA
A. The fees established by this Resolution will be collected for the
purposes of meeting operational expenses and maintaining service to those
that request it; and
B. Because the fees authorized by this Resolution will be collected at the
application stage of the project, CEQA review will take place during the
processing of the project. Therefore, it can be seen with certainty that the
adoption of this Resolution establishing processing fees will not have a
significant effect on the environment.
Section 10. Statute of Limitations:
Any judicial action or proceeding to attack, review, set aside, void, or
annul the fees established by this Resolution, or the Resolution itself,
shall be commenced within one hundred twenty (120) days of the passage of
this Resolution. Any action to attack an adjustment adopted pursuant to
Sections 2 or 5 shall be commenced within one hundred twenty (120) days of
PASSED, APPROVED AND ADOPTED by the City Council of the City of Brentwood at
a regular meeting held September 13, 2005 by the following vote: