Norwalk Municipal Code Ch. 3.40 Fee and Service Charge Revenue/Cost Comparison System

The City Manager, Finance Director and each City department head, under the direction of the City Manager, shall review annually the fees and service charges and provide an adjusted fee and/or charge schedule to the City Council for its consideration. Unless otherwise required by State law, the City Council shall adopt the fee and service charge schedule by resolution.

(Prior code § 3-7.1; Ord. 07-1587 § 1; Ord. 07-1600 § 1; Ord. 21-1722 § 2)

A. The City Manager is delegated the authority and directed to provide documents to the City Council to implement its enumerated policy to adjust fees and charges to recover the percentage of costs reasonably borne as established by this chapter, in providing the regulation, product or service enumerated in this chapter in the percentage of costs reasonably borne and on the schedule of rate review and revision as established in this chapter.

B. The City Manager is delegated authority to issue executive orders defining terms, setting out administrative, fee collection, and financial procedures, definitions, and establishing effective dates of all fees set by the City Council by resolution. All executive orders shall be originated and signed by the affected department head, shall be signed by the Finance Director certifying that the financial requirements of this chapter are complied with, and shall be signed by the City Manager connoting the effective date of the executive order and new or revised rate structure, procedure or definition.

C. "Costs reasonably borne" shall be as defined in Section 3.40.030. In adjusting fees and charges, the City Manager shall act in an administrative and ministerial capacity and shall consider only the standards and criteria established by this chapter, and the procedures set by this chapter and by applicable State law. All executive orders issued hereunder shall comply in all respects with this chapter, and the several schedules of fees and rates as set by the City Council by resolution.

(Prior code § 3-7.2; Ord. 21-1722 § 2)

"Costs reasonably borne,"

as used and ordered to be applied in this chapter are to consist of the following elements:

A. All applicable direct costs including, but not limited to salaries, wages, overtime, employee fringe benefits, services and supplies, maintenance and operation expenses, contracted services, special supplies, and any other direct expense incurred;

B. All applicable indirect costs including, but not restricted to, building maintenance and operations, equipment maintenance and operations, communications expenses, computer costs, printing and reproduction, vehicle expenses, insurance, debt service, and like expenses when distributed on an accounted and documented rational proration system;

C. Fixed asset recovery expenses, consisting of depreciation of fixed assets, and additional fixed asset expense recovery charges calculated on the current estimated cost of replacement, divided by the approximate life expectancy of the fixed asset. A further additional charge to make up the difference between book value depreciation not previously recovered and reserved in cash and the full cost of replacement, also shall be calculated and considered a cost so as to recover such unrecovered costs between book value and cost of replacement over the remaining life of the asset;

D. General overhead, expressed as a percentage, distributing and charging the expenses of the City Council, City Attorney, City Administration, City Clerk, City Treasurer, Economic Development, Finance Department, Personnel Office and City Promotion, and all other staff and support service provided to the entire City organization. Overhead shall be prorated between tax-financed services and fee-financed services on the basis of such percentage so that each of taxes and fees and charges shall proportionately defray such overhead costs;

E. Departmental overhead, expressed as a percentage, distributing and charging the cost of each department head and his or her supporting expenses as enumerated in subsections A, B, C and F of this section;

F. Debt service costs, consisting of repayment of principal, payment of interest, and trustee fees and administrative expenses for all applicable bond, certificate, note or securities issues or loans of whatever nature or kind. Any required or established reserves beyond basic debt service costs shall also be considered a cost if required by any ordinance, resolution, indenture or general law applicable to the City.

(Prior code § 3-7.3; Ord. 21-1722 § 2)