TO:
Honorable Mayor and Members of the City Council
THROUGH:
Bruce Moe, City Manager
FROM:
Steve S. Charelian, Finance Director
Henry Mitzner, Controller
SUBJECT:Title
Conduct Public Hearing Regarding the Annual Stormwater Service Fee for Fiscal Year 2019-2020 (Finance Director Charelian).
a) CONDUCT PUBLIC HEARING
b) ADOPT RESOLUTION NO. 19-0060
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council conduct a public hearing regarding the annual stormwater service fee for fiscal year 2019-2020 and adopt Resolution No. 19-0060.
FISCAL IMPLICATIONS:
The FY 2019-2020 Stormwater fund budget is estimated to receive $368,633 in revenue ($349,484 in service charges and $19,149 in interest). As indicated in the Adopted 2019-2020 Budget, a General Fund subsidy of $1,270,456 will be required to fund operations of $929,089 and capital improvements of $710,000.
The projected cumulative subsidy over the next five years is $7,115,752. Under present conditions, the General Fund subsidy offsetting stormwater deficits will be ongoing. As costs escalate due to mandates for clean water and stormwater treatment, General Fund transfers may grow, unless action is taken to increase the fee or alternative revenue sources are identified and approved by voters. .
BACKGROUND:
The City levies an annual stormwater service fee on each parcel of real property in the City. The fee is levied to finance the costs of on-going operations and maintenance of stormwater facilities and services. The fee is based on an engineering analysis of the City's storm drain requirements performed in 1996 by an outside engineering group. The typical annual fee is $19.12 per year per single family residence. The fee has remained unchanged since the passage of Proposition 218 in 1996. A Proposition 218 voter approval process will need to be conducted in order to increase fees.
DISCUSSION:
The stormwater fee is collecte...
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