Rocklin Municipal Code Ch. 3.32 Service Fee Revenue/Cost Comparison System

A. By enacting this chapter, the city council establishes a policy of recovering the costs of providing services of a voluntary and limited nature from those utilizing those services, so that general tax revenues are not diverted from general services of a broad nature to be used to subsidize such limited benefit services.

B. To implement this policy, this chapter establishes a service fee revenue/cost comparison system to ascertain and provide for the recovery of the cost of providing services through user service fees.

C. The service fee revenue/cost comparison system provides a mechanism for ensuring that fees adopted by the city council do not exceed the costs reasonably borne of providing the services for which the fees are charged.

(Ord. 717 § 1 (part), 1995).

A. To the extent that this chapter establishes a fee for services for which an identical fee is already required by another provision of this code, or by regulation, ordinance, statute or otherwise, the authority in this chapter shall be deemed supplementary.

B. This chapter does not apply to, and does not affect in any manner, the following taxes and fees:

1. Capital expenditures and park and recreation tax—Chapter 3.16, Article I.

2. Traffic circulation surcharge—Chapter 3.16, Article II.

3. Fee for traffic signalization and control—Chapter 3.16, Article III.

4. Traffic impact fee—Chapter 3.16, Article IV.

5. Real property transfer tax—Chapter 3.20.

6. Sales and use tax—Chapter 3.24.

7. Business license tax—Chapter 5.04.

8. Transient occupancy tax—Chapter 5.24.

9. Community facilities district taxes.

10. Lighting district No. 1, landscaping and lighting district No. 2, and park development and maintenance district assessments.

11. Park fees—Chapter 16.28, Article II; Chapter 17.71.

12. Dry Creek watershed drainage fees—Ordinance No. 703, as amended.

13. Oak tree mitigation fee—Chapter 17.77.

(Ord. No. 1181, § 3, 10-8-2024)

Editor's note— Ord. No. 1181, § 3, adopted October 8, 2024, repealed the former §§ 3.32.020 and 3.32.030, and enacted a new §§ 3.32.020 and 3.32.030 as set out herein. The former §§ 3.32.020 and 3.32.030 pertained to similar subject matter and derived from Ord. No. 717 § 1 (part), 1995).

A. There is hereby established a service fee revenue/cost comparison system by which the amount of each service fee shall first be calculated at the cost reasonably borne to provide the service, and then set at a designated percentage of that cost, as determined by the city council. "Costs reasonably borne" shall be as defined in Section 3.32.040 below. The city council shall generally seek one hundred percent cost recovery for these services. However, the percentage of the cost to be recovered by the fee shall be in the sole discretion of the city council, provided that such percentage shall not exceed one hundred percent cost recovery.

B. The city council shall periodically review and may make adjustments to all services provided by the various city departments to all users and the fees and charges associated with those services.

C. Prior to levying, adopting, amending, or increasing any fee amount or service charge, the city council shall conduct a noticed public hearing in compliance with Government Code Sections 66016 through 66018. At the conclusion of the hearing and after consideration of all oral and documentary evidence received, the city council may adopt, by resolution, a service fee schedule (Schedule of Fees) setting fee amounts at a designated percentage of costs reasonably borne.

(Ord. No. 1181, § 3, 10-8-2024)

Note— See editors note on § 3.32.20

"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 manager, city clerk, city treasurer, finance department, and personnel office, and all other staff and support services provided to the entire city organization. Overhead shall be prorated between tax-financed services and fee-financed services on the basis of said percentage so that each of taxes and fees 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 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.

(Ord. 717 § 1 (part), 1995).

All new or increased fees and charges and their effective dates shall be established pursuant to this chapter by resolution of the city council.

(Ord. No. 1181, § 3, 10-8-2024)

Editor's note— Ord. No. 1181, § 3, adopted October 8, 2024, repealed the former § 3.32.050, and enacted a new § 3.32.050 as set out herein. The former § 3.32.050 pertained to similar subject matter and derived from Ord. No. 1172, § 3, 10-10-2023; Ord. No. 1172, § 3, adopted October 10, 2023; Ord. 937, §§ 1—3, 2008; Ord. 928, § 2, 2008; Ord. 919, § 1, 2007; Ord. 911, §§ 1—3, 2006; Ord. 896, §§ 1—3, 2005; Ord. 875 § 2, 2003; Ord. 869, §§ 1—3, 2003; Ord. 842, §§ 1, 2, 2001; Ord. 786, § 1, 1998; Ord. 778, § 3, 1998; Ord. 761, § 2, 1997; Ord. 717, § 1 (part), 1995; Ord. No. 955, §§ 1, 2, adopted November 10, 2009; Ord. No. 972, §§ 1—3, adopted February 8, 2011; Ord. No. 1104, § 3, adopted September 11, 2018; Ord. No. 1126, § 4, adopted June 9, 2020; Ord. No. 1137, § 3, adopted October 26, 2021; Ord. No. 1119, § 3, adopted September 24, 2019; and Ord. No. 1161, § 3, adopted October 25, 2022.

A. Any person subject to payment of a service fee authorized by this chapter who desires to protest the amount of the service fee on the basis it exceeds the council designated percentage of costs reasonably borne in providing the service shall tender to the city full payment of the fee when due accompanied by a written appeal of the amount of the fee, stating the payment is tendered under protest and the factual basis and reasons supporting the appellant's protest. If the amount by which the fee exceeds what the appellant claims is the correct amount is two hundred dollars or less, the appeal shall be filed with and considered by the city manager or his/her designee. If over two hundred dollars, the appeal shall be filed with and considered by the council.

B. If to be heard by the council, the appeal shall be placed on the next available council meeting agenda.

C. Any judicial action or proceeding to attack, review, set aside, void, or annul the imposition of a fee for which an appeal has been denied in whole or in part shall be filed no later than ninety days after a decision to the appeal is made.

(Ord. 875 § 3, 2003: Ord. 841 § 1, 2001; Ord. 717 § 1 (part), 1995).