Ridgecrest Municipal Code § 2-324 Periodic review

The city council intends to ascertain and recover costs incurred by the city in providing regulations, products or services from fees as hereinafter enumerated for the user of the products and services. The revenue/cost comparison system set forth below provides a mechanism for ensuring fees adopted by the city do not exceed the reasonably estimated cost for providing the services or products for which the fees are charged.

(Code 1980, § 3-10.101; Ord. No. 94-08, § 2)

The city manager shall adjust fees and charges to recover the percentage of costs reasonably borne in providing regulations, products or services enumerated below in the percentage of costs reasonably borne and on the schedule of rate review and revision as hereinafter established. 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 herein and applicable state law.

(Code 1980, § 3-10.102; Ord. No. 94-08, § 3)

The following words, terms and phrases, when used in this division, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:

Costs reasonably borne means the sum of the following:

(1) 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.

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

(3) 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.

(4) General overhead, expressed as a percentage, distributing and charging the expenses of the city council, city attorney, city manager, 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 the percentage so each of taxes and fees and charges shall proportionately defray such overhead costs.

(5) Departmental overhead, expressed as a percentage, distributing and charging the cost of each department head and supporting expenses as enumerated above.

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

(Code 1980, § 3-10.103; Ord. No. 94-08, § 4)

(a) The city manager, finance director and each department head, under the direction of the city manager, shall annually review the following fees and service charges, and provide an adjusted fee or charge schedule to the city council for its consideration to recover the listed percentage of costs reasonably borne:

FEES AND SERVICE CHARGES

I. Development Services

Notes:

1. Staff is to restructure service to make it less expensive.

2. The council goal for the recreation staff is to achieve in three years an average recovery of 75 percent from adult and senior programs and 35 percent from youth programs.

3. Staff is to recover at least the minimum required by law.

4. Staff is to pursue the creation of a 1972 Act Assessment District to recover these costs.

5. Staff is to recover the maximum consistent with maximizing use of the facility and market limitation.

(b) A minimum fee in the amount established by resolution shall be charged in all instances except in the cases of numbers 64, 65—82, 86, and 102 of the schedule of fees in subsection (a) of this section.

(c) The services listed above are further defined in the certain document entitled Cost Control Study for the City of Ridgecrest, dated February 9, 1994, as produced by Management Services Institute, Inc., of Anaheim, California.

(d) The schedule of frequency of rate adjustments may be varied by the city manager to adjust revenues sufficient to meet debt service coverage requirements of any bond, certificate, or ordinance, resolution, indenture, contract, or action under which securities have been issued by the city containing coverage requirements.

(e) The city manager may vary the review schedule if a gross inequity would be perpetrated by not revising the rate schedule. Any such rate revision which deviates from the review schedule as set herein shall be reported to the city council at its next succeeding meeting.

(Code 1980, § 3-10.104; Ord. No. 94-08, § 5)

The city council shall at least annually receive oral and written evidence concerning changes in the amount or type of fee. A duly noticed public meeting shall be held prior to council action. Appropriate data indicating the cost, or estimated cost required to support the fees, general explanation of proposed changes and a summary of the present and proposed fees shall be made available for public inspection at least ten days prior to consideration by the council.

(Code 1980, § 3-10.101; Ord. No. 94-08, § 6)