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HomeMy WebLinkAboutItem 8 City of Lakeville  Finance Department Memorandum To: Mayor and City Council  From: Jerilyn Erickson, Finance Director  Copy: Justin Miller, City Administrator  Date: October 22, 2018  Subject: 2019 Proposed Fee Schedule   Introduction  The purpose of this agenda item is to discuss the proposed changes to the City of Lakeville 2019  Fee Schedule.    Summary  Annually staff reviews the fee schedule as part of the budget process and makes  recommendations to the City Council for changes or additions as needed. The Council is required  to announce the time and place of the council meeting at which the 2019 official fee schedule  would be discussed, and which would allow for citizen input. A public hearing as required by  State Statute 462.353 is being held on December 3, 2018. The requirements to adopt a fee  schedule set out in Minnesota Statute 462.353 subd. 4 will be met at the December 3, 2018  Council meeting.    The public hearing will allow citizens and other interested parties to voice their opinions  regarding the fees and charges. The input received from the October 22nd work session and  public hearing on December 3rd will be incorporated into the 2019 Official Fee Schedule.     Conclusion  The input received from City Council on December 3, 2018 will be incorporated in the proposed  changes. The 2019 Official Fee Schedule will be incorporated into the City Code with an effective  date of January 1, 2019 unless noted otherwise. New fees, including fees that have historically  been charged but haven’t been reflected on the fee schedule, and proposed changes are  indicated in the table on the following pages alongside their present amount. Please see the  description of the changes following the table.    Attachments:  1) Proposed Fee Schedule Changes and Explanations        # FEE DESCRIPTION Jan 1 2018 Fee Jan 1 2019 Fee Connection charges and Development fees 1 Residential (High-Density) $2,134 per dwelling unit $2,240 per dwelling unit Residential (Medium-Density) $2,783 per dwelling unit $2,922 per dwelling unit Residential (Low-Density) $4,090 per dwelling unit $4,294 per dwelling unit Commercial $7,693 per acre $7,693 per acre Industrial $4,558 per acre $4,558 per acre Engineering Charges Engineering and Construction Services Staff Services 2 Wetland Delineation $250.00 Minimum Fee plus Hourly Staff Fee $325.00 Minimum fee plus any incremental hourly staff fee 3 Property Data and Asset/Infrastructure Management Fee (GIS Fee). Preparation of addressing, property data, record construction drawings and city base map updating. $90.00 parcel/lot (.PDF file provided) $60.00 parcel/lot (.SHP file provided) $90.00 parcel/lot (.PDF file provided) $60.00 parcel/lot (.SHP file provided) 4 Feasibility report- Services performed by City's consultants will be based on consultant's hourly fee. 20% of project design fee if performed by City staff. Services performed by consultants will be based on consultant's hourly rate. Services performed by City personnel will be hourly and billed at 2.5 times staff hourly rate. Design- Services performed by City's consultants will be based on consultant's hourly fee. Per standard ASCE fee curve if performed by City staff. Services performed by consultants will be based on consultant's hourly rate. Services performed by City personnel will be hourly and billed at 2.5 times staff hourly rate. 5 Engineering and Construction Services Staff Services (Hourly fees) City Engineer $153.00 $158.00 Assistant City Engineer $127.00 $131.00 Senior Project Engineer $121.00 $124.00 Project Engineer $110.00 $113.00 Civil Engineer $95.00 $98.00 Graduate Engineer $75.00 $77.00 GIS Manager $110.00 $113.00 GIS Analyst $79.00 $81.00 Environmental Resources Manager $110.00 $113.00 Environmental Resources Specialist $79.00 $81.00 Environmental Resources Technician $105.00 $108.00 Forester $100.00 $103.00 Administrative Assistant $72.00 $74.00 Construction Services Superintendent $121.00 $124.00 Senior Construction Representative $95.00 $98.00 Construction Representative $73.00 $77.00 General Government services 6 Other general government fees Recycling of box springs and mattresses for residents (on Household Hazardous Drop-off Day only)$15/unit $30/unit Recycling of computer monitors, televisions, and microwaves for residents (on Household Hazardous Drop-off Day only)$10/unit $10/unit 7 City Code Violations - Special Assessment Fee $90.00/lot $90.00/lot plus 18% interest per year Parks & Recreation- Field Rental fees Other shelter-related fees 8 Youth Athletic Association Participation Fee (Non-Lakeville)$100 per field, per season Heritage Center 9 Member/ Lakeville Resident/ Business Heritage Room $160.00/ 4hr, $30 add'l hours $160.00/ 4hr, $40 add'l hours Heritage Room and Kitchen $275.00/4hr, $45 add'l hours $275.00/4hr, $55 add'l hours Heritage Room and Kitchen $500.00 per 10 consecutive hrs (all day) $575.00 per 10 consecutive hrs (all day) 10 Facility Attendant $35.00/hour $45.00/hour Other Heritage Center charges Parks & Recreation Staff Services (hourly fees are associated with staff time to facilitate rentals when the building would not otherwise be open). Park Dedication Fee City Installed Public Improvements (non-development) # FEE DESCRIPTION Jan 1 2018 Fee Jan 1 2019 Fee Arts Center 11 Heated $28.00/hour $30.00/hour Non-heated $11.00/hour $15.00/hour 12 INDOOR Set-up day (up to 12 hours)$300.00/day $325.00/day Event day (up to 12 hours)$900.00/day $950.00/day OUTDOOR Set-up day (up to 12 hours)$100.00/day $125.00/day Event day (up to 12 hours)$300.00/day $325.00/day Permits Construction application fees 13 Residential Curb-cut Application Fee $50.00 $50.00 14 Grading Permit Application Fee and escrow $75.00 application fee plus $200 refundable escrow per LOT; OR $75.00 application fee plus $3,000 refundable escrow per ACRE $150.00 application fee plus $200 refundable escrow per LOT; OR $150.00 application fee plus $3,000 refundable escrow per ACRE Planning & Zoning 15 Associate Planner $90.00/hour $108.00/hour Planning Director $140.00/hour $158.00/hour Public Safety 16 SCBA / Airpack Filling Fee $50.00 Other public safety charges 17 Police Officers $88.00/hr.$90.00/hr. Community Service Officers $45.00/hr.$46.00/hr. Fire inspection services (provided to other cities) Regular time Overtime $83.00/hour $103.00/hour $86.00/hour $107.00/hour Public Works 18 Service Tech $78.00 $80.00 Maintenance II $74.00 $76.00 Lead Maintenance $79.00 $81.00 Lead Service Tech $83.00 $85.00 Fleet, Streets, Parks Supervisor $100.00 $103.00 Superintendent $121.00 $124.00 Administration $65.00 $67.00 Utilities staff services (per hour) Maintenance II $74.00 $76.00 Lead Maintenance $79.00 $81.00 Supervisor $100.00 $103.00 Superintendent $121.00 $124.00 Administration $65.00 $67.00 19 Equipment Use Fees (per hour) (Hourly fees are typically charged in cases where FEMA is involved, or if City staff assists another community/agency in an emergency situation). Motor Grader $55.00 $58.00 Dump Truck Tandem $45.00 $61.00 Dump Truck Single Axle $33.00 $48.00 Skid Steer with attachments $25.00 $37.00 Street Sweeper $50.00 $55.00 Tree Chipper $25.00 $50.00 Other public works fees 20 Valve replacement (fee includes cost of the valve and staff time to replace the valve; typically completed only as needed at the time of water meter replacement) N/A $29.00 per valve replacement 21 SEWER USAGE RATES- Quarterly Charges Residential, Apartments and Manufactured Homes (Apartment & Manufactured Homes Base charge and consumption limits are multiplied by the # of units at the time the meter is read) Base Charge- per dwelling unit, per quarter $8.38 $9.05 Usage Charge • Based on actual consumption during the first quarter of the year, or actual water consumption during the billing period, whichever is less • When an account is newly established, the maximum sewer usage charge shall be set at 18,000 gallons. Sewer for the remainder of the year will be set at this figure or actual usage, whichever is less. • Residential customers shall be billed for a minimum of 5,000 gallons per quarter. • For apartments and manufactured homes served by a single meter, the usage charge is determined by dividing the total gallons of water by the # of units. $4.15/1000 Gal $4.48/1000 Gal Flat rate- per dwelling unit, per quarter shall be charged to those residential customers who do not have metered water. $83.10 $89.69 Staff Services (planning and zoning) Response fees/fire Streets and Parks staff services (per hour) Garage rental WEDDINGS/SPECIAL & LARGE EVENT RENTAL # FEE DESCRIPTION Jan 1 2018 Fee Jan 1 2019 Fee Commercial, Industrial and Institutional Base Charge- per account, per quarter $8.38 $9.05 Usage Charge • Based on actual consumption during the first quarter of the year, or actual water consumption during the billing period, whichever is less • When an account is newly established, the maximum sewer usage charge shall be set at 18,000 gallons. Sewer for the remainder of the year will be set at this figure or actual usage, whichever is less. • Industrial, Institutional, and Commercial customers shall be billed for a minimum of 5,000 gallons per quarter. $4.15/1000 Gal $4.48/1000 Gal 22 WATER USAGE RATES- Quarterly Charges Residential, Apartments and Manufactured Homes Base Charge- per dwelling unit, per quarter $6.90 $7.25 Usage Charge • Based on actual metered gallons consumed each quarter Tier 1- up to 30,000 gallons per quarter $1.38/1000 Gal $1.45/1000 Gal Tier 2- over 30,000 gallons up to 49,000 gallons per quarter $2.19/1000 Gal $2.30/1000 Gal Tier 3- over 49,000 gallons per quarter $3.75/1000 Gal $3.94/1000 Gal Irrigation sprinkler meters $3.75/1000 Gal $3.94/1000 Gal Commercial, Industrial and Institutional Base Charge- per account, per quarter $6.90 $7.25 Usage Charge • Based on actual metered gallons consumed each quarter Tier 1- up to 30,000 gallons per quarter $1.38/1000 Gal $1.45/1000 Gal Tier 2- over 30,000 gallons per quarter $2.19/1000 Gal $2.30/1000 Gal Irrigation sprinkler meters $3.75/1000 Gal $3.94/1000 Gal Bulk Water Accounts Usage Charge o Based on actual metered gallons consumed each quarter $4.21/1000 Gal $4.42/1000 Gal 23 STREET LIGHTS Utility accounts served by water and/or sanitary sewer Residential and multiple family units $8.85/dwelling unit/quarter $9.12/dwelling unit/quarter Commercial, Industrial and Institutional $0.2477/front foot/quarter $0.2551/front foot/quarter New subdivisions, as part of development contract $35.40/residential dwelling unit $36.48/residential dwelling unit Utility accounts NOT served by water and/or sanitary sewer shall be billed annually Residential and multiple family units $35.40/dwelling unit $36.48/dwelling unit 24 Third and subsequent out of cycle meter reads $52.00/visit $54.00/visit 25 Testing of Water Meters (only if meter tests correct, in accordance with Ordinance 7-5-4-6) 5/8" to 1"$54.00 $55.00 26 Water Disconnection, Reconnection or other Service Call During normal business hours $52.00/visit $54.00/visit After normal business hours $107.00/visit $111.00/visit Other 27 Mini Manhole Cover plus installation *Includes cost of mini manhole plus an additional 15% for staff administrative processing time, and staff time to install (including staff use of City patch truck). Actual cost of mini manhole cover + 15%; plus $212 for installation Actual cost of mini manhole cover + 15%; plus $224 for installation 28 Utility Bill Refunds (for customers no longer requiring utility services at a particular property) No refunds issued for balances under $5.00 29 ENVIRONMENTAL RESOURCES FEE Utility accounts served by water and/or sanitary sewer -Single family (residential equivalent utility factor) Environmental Resources Fee $10.42/dwelling unit/quarter $14.38/dwelling unit/quarter Utility accounts not served by water and/or sanitary sewer shall be billed annually. -Residential equivalent utility factor Environmental Resources Fee $41.68/dwelling unit/year $57.52/dwelling unit/year New subdivisions, as part of development contracts; one-time fee $41.68/dwelling unit $57.52/dwelling unit Other Out of Cycle Meter Read (during normal business hours only) Utility accounts NOT served by water and/or sanitary sewer Explanations of Fee Changes    1. The residential park dedication fees are proposed to increase by 5.0% as of January 1,  2019, in accordance with the increase in estimated market value of unplatted land.   2. Increased the Wetland Delineation fee to more accurately recover City costs in  administering wetland delineation applications.   3. Removed the reduced rate for Property Data and Asset/Infrastructure Management Fee.  A reduced rate was offered in 2018 to encourage the submittal of SHP files instead of PDF  files with developments. No SHP files were submitted, so PDF files will be accepted at the  regular rate.   4. Updated the feasibility report and design fees for City Staff to reflect hourly billing at 2.5  times the hourly staff rate in the fee schedule, which reflects current practice.   5. Revised the staff hourly fees to reflect estimates for 2019 cost of living adjustments.  Consistent with prior years, the rates are calculated using 2.5 times payroll costs (to  account for benefit and other indirect costs).  6. Added separate fees for recycling of box springs and mattresses, as well as computer  monitors, televisions, and microwaves for residents. These fees are for recycling services  performed on the city’s Household Hazardous Drop‐off Day, and the fees are designed to  recover a substantial portion of the city’s cost to dispose of these items. In the prior year,  Dakota Valley Recycling subsidized the mattress/box spring recycling cost for residents in  order to encourage participation, and will not be doing this in 2019. This resulted in a  necessary increase from $15/unit to $30/unit to cover the City’s costs.   7. Added 18% interest per year to the $90/lot City Code Violation‐ Special Assessment Fee.  This interest charge is reflective of historical and current practice, but was not previously  noted in the fee schedule.  8. Added a separate fee for Youth Athletic Association Participation for non‐Lakeville  customers. The intent is to distinguish between Lakeville Athletic Associations and non‐ Lakeville Athletic Associations.   9. Increased the costs for the Heritage Room rental at the Heritage Center, in order to  distinguish between the larger size of the Heritage Room compared to the Atrium Room.  10. Increased the hourly rate for the Facility Attendant staff, to better recover City  payroll/benefit costs for these employees.  11. Increased the Garage rental fees at the Arts Center to be closer to current market rates.  12. Increased the Weddings/Special & Large Event Rental fees at the Arts Center in order to  be closer to current market rates.  13. Removed the Residential Curb cut Application fee, as this permit is no longer applicable.  Applications are historically rare, and any future requests will be addressed through the  City’s right‐of‐way permit program.  14. Increased the Grading Permit Application Fee and escrow to more accurately recover City  costs incurred in administering grading permit applications.  15. Revised the Planning and Zoning Staff Services rates for the Associate Planner and the  Planning Director to be consistent with the other staff rates in the fee schedule (payroll  rates multiplied by 2.5x to cover benefits and other indirect costs).  16. Added a SCBA/Airpack Filling Fee to cover costs of filling a SCBA bottle for businesses  who request this service.  17. Increased the Public Safety Staff Services (Police Officers, Community Service Officers,  and Fire Inspection Services) for estimated 2019 cost of living adjustments, the goal being  to ensure City costs are recovered for when these services are billed.  18. Updated staff rates to reflect estimated 2019 payroll changes. Staff rates continue to be  calculated using 2.5 times payroll costs, consistent with prior fee schedule methodology.  19.  Updated equipment fees for Motor Grader, Dump Truck Tandem, Dump Truck Single  Axle, Skid Steer with attachments, Street Sweeper, and Tree Chipper, based on the  current FEMA schedule of equipment rates.  20. Added a fee for valve replacement to recover city costs (cost of the valve itself plus 15%  for City staff time to replace the valve) when utility customers request a valve  replacement.  21. Sewer rates are proposed to increase in order to cover infrastructure improvements to lift  stations in the 2019‐2023 Capital Improvement Plan, as well as a 3.89% increase in the  MCES charges, which are not controllable by the City. The recommended increase is a  $.67 per quarter for the basic sewer charge and $.33 per thousand gallons of discharge.  For the average residence using 18,000 gallons, the increase in the quarterly bill is $6.65.  More detail is provided in the October 22 Utility Budget/Rate memo.  22.  Water rates are proposed to increase to cover infrastructure improvements and future  debt payments associated with those improvements as proposed in the 2019‐2023 Capital  Improvement Plan. The recommended increase is $0.35 per quarter for the basic water  charge and $0.07 per thousand gallons of consumption (tier 1), $0.11 per thousand gallons  of consumption (tier 2), and $0.19 per thousand gallons of consumption (tier 3). For the  average residence using 18,000 gallons of water, the increase in the quarterly bill is $1.59.  More detail is provided in the October 22 Utility Budget/Rate memo.  23.  Street lights rates are proposed to increase to finance the cost of operating City street  lights and will increase a resident’s quarterly bill by $0.27. More detail is provided in the  October 22 Utility Budget/Rate memo.  24.  Increased the fee for third and subsequent out of cycle meter reads to be $54/visit,  consistent with the utility service call fees (during normal business hours).   25.  Increased the water meter testing fee for 5/8” to 1” meters to ensure we are recovering  costs incurred on water meter testing.  26.  The water service call fees are proposed to be increased from $52/visit to $54/visit for calls  during normal business hours and from $107/visit to $111/visit for service calls after normal  business hours. The purpose of these increases is to better reflect the actual costs incurred  by the City in performing the service calls. These fees are charged for water disconnection,  water reconnection, other service calls, and for meter reading of customers who have  opted out of the radio‐read type meters (meter must be read manually).   27.  Increased fees for mini manhole cover installation to ensure we are recovering costs  incurred in providing these services (increase due to increase in staff costs).  28.  Added note about utility bill refunds not being processed for any final balances less than  $5.00. This is consistent with historical and current practice, however, it hasn’t previously  been reflected in the fee schedule.  29. The Environmental Resources Fee is proposed to be increased $3.96 per quarter to offset  the costs associated with environmental and forestry related programs. More detail is  provided in the October 22 Utility Budget/Rate memo.