HomeMy WebLinkAboutAgenda - 05-26-1998 - 10dORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: May 19, 1998
REFERRED TO MAY 26, 1998 QUAmRLY FDBLIG BEARING Action Agenda
Item No. C 43 _Cl
ITEM D
SUBJECT: User Fee Review
DEPARTMENT: Finance/Budget PUBLIC HEARING: (Y/1)
BUDGET AMENDMENT: (Y/1)
ATTACHMENT(S):
Report
Spreadsheets - Costs and Fee Schedule Options
Fee Comparisons from Other Jurisdictions
(under separate cover)
INFORMATION CONTACT:
Ken Chavious Ext. 2453
Donna Dean Ext. 2150
TELEPHONE NUMBERS:
Hillsborough 732 -8181
Chapel Hill 968 -4501
Durham 688 -7331
Mebane 227 -2031
PURPOSE: To receive the second in a series of two reports from staff on proposed adjustments to
the County's schedule of user fees.
BACKGROUND: At the request of the County Commissioners, County staff undertook a review
of certain user fees charged by Orange County. There were two specific areas of Board interest. A
report on the first - fees related to development, such as Planning, Inspections, Environmental
Health, and Soil and Erosion - was presented at the Board's meeting on May 6. The second area of
Board interest was fees that had not been examined in detail within the past five years.
Fees have been reviewed and analyzed during the past two months by MPA interns with guidance
provided by the Finance and Budget Directors. Fees that have not been reviewed in recent years
are related to Recreation and Orange Public Transportation (OPT). A survey of corresponding fees
from surrounding jurisdictions was also conducted. A summary of the findings in these program
areas, and changes to recreation fees recommended by staff is included in the attached report from
the Finance Director. Unless the Board provides direction to the contrary, staff will prepare the
1998 -99 operating budget to include the revenue anticipated from implementing on July 1, 1998 the
revised recreation fees recommended by staff. Staff needs direction from the Board concerning the
level of recovery that should be incorporated into the 1998 -99 fee schedule and budget for certain
Transportation services.
Followup information requested by the Board regarding certain aspects of development related fees,
is provided in the attached Finance Director's report. The Board expressed interest in ensuring that
sufficient staff are available to provide timely and effective oversight of all soil and erosion control
activities, and to ensure that intense urban development pays an appropriate share of the cost for that
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oversight. Staff needs direction from the Board as to revised soil and erosion control fees that
should be incorporated into the Manager's Recommended Budget for 1998 -99 to accomplish this
level of oversight. The Manager will also include reasonable adjustments to other fees in the area
of Planning and Inspections, and will incorporate the revised environmental health fee schedule
approved by the Orange County Board of Health in March, 1998, unless the Board indicates
otherwise.
Final decisions related to all fee adjustments for 1998 -99 can be made during the Board's budget
work sessions in June, as needed. As has been the practice the past two years, the Manager will
include an updated version of the comprehensive Orange County fee schedule for formal adoption
by the Board at the same time it adopts the 1998 -99 Budget Ordinance on June 22, 1998.
RECOMMENDATION(S): The Manager recommends that the Board of Commissioners receive
the report as information and provide direction to staff concerning adjustments to fees that would
take effect on July 1, 1998 and be included in the 1998 -99 budget.
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USER FEE REPORT II
May 19,1998
This is a continuation of the report given to the County Commissioners during the May
6, 1998 meeting. Report II focuses on fees charged for services or programs in the areas
of Recreation and Parks and the Transportation Division of the Department on Aging. In
addition, this report provides the requested follow -up information on the Erosion Control
Division of the Planning Department. Also provided, under separate cover, is
information requested on comparable fees charged by other local jurisdictions. As
mentioned in the previous report, fees in program areas that have been recently adjusted,
as well as regulated fees, were not included in the scope of the review.
Recreation and Parks
The services provided within Recreation and Parks include an extensive range of cultural
and athletic activities designed to serve the leisure and recreational needs of a broad cross
section of County residents. In considering the recovery of costs within this program
area, attention must be given to the nature of the activity, target population served, and
other related factors which affect both the feasibility and desirability of imposing fees.
Since it is a common practice to subsidize recreation and parks programs in most local
government jurisdictions, full cost recovery was not considered in reviewing these fees.
Fees within this area have been constant since the mid 1980s, except for summer camp
fees which were adjusted in 1997 -98. Fee increases were recommended by David M.
Griffith, Inc. in the user fee study of 1989, however, none were implemented by the
County.
Since full cost recovery was not the objective in reviewing these fees at this time,
increases based on inflation were considered. The resulting fees adjusted for inflation are
included on the attached "Schedule I ".
Aging Transportation
In the Transportation area, the current fees charged to users are for vehicles and drivers
based on County established mileage charge back rates, and actual drivers costs. These
fees include an additional amount to cover administrative overhead. In addition,
transportation vehicles provide a shuttle service to and between Towns for which tickets
are sold. Certain transportation provided by the public shuttles are medical trips that are
funded in part by grants which limit the amount of fees that can be assessed.
Transportation fees that can be adjusted currently recover 48% of the full costs. The
attached "Schedule II" reflects these fees at various levels of cost recovery.
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USER FEE REPORT II (CONTINUED)
Planning — Erosion Control
In follow up to the May 6, 1998 report on user fees, we have further reviewed the fees in
this program area. Concerns related to the time and effort spent on intense urban projects,
the possible need for additional staff to increase the level of oversight that can be
provided in the field for erosion control activities, and changes to the current fee schedule
that would be needed to fund this higher level of oversight, have been discussed in detail
with the appropriate Planning Department Staff.
Categorization of Erosion Control Sites
Erosion Control Supervisor Warren Faircloth has provided the following information
regarding disturbance classifications used and changes in the nature of development over
the years that should be considered in deliberations about changes to the County's current
erosion control fee schedule:
• Rural: outside of municipalities; only a small portion of the site will be disturbed;
typically a private, gravel road.
• Urban: those that do not clearly meet the definition of a rural disturbance; located
within a municipality; less than 50% of tract disturbed; and a paved road to NC DOT
standards.
• Intense Urban: 50% or more of the tract uncovered; typically apartments and
commercial sites.
Concerning the burden placed on "mom and pop" developers, there are few of these.
Most private roads (a rural disturbance) in the past few years have been built by
developers who subdivided and then sold the lots. The erosion control plan preparation
by a surveyor is probably a more substantial cost ($500 to $1,000) than the fees (currently
about $62 + $132 = $194) for a 1,000' long road. The occasional "mom and pop"
situations can usually be handled by phasing the road construction so that permits are not
required.
The rural and urban projects, in general, take less time because there is room for the
required erosion and sediment control devices to be putout of the way of construction
and are less likely to be damaged. On the Intense Urban sites this is not the case due to
the density; therefore, more frequent inspections are needed to ensure devices have not
been damaged or removed.
Raising only the Intense Urban fee could pose a problem if there is a down turn in the
economy and this type of development stops, as it did a few years ago when commercial
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and multi - family projects disappeared. Such a set of circumstances would substantially
reduce County revenue.
There have been few complaints about the fees Orange County charges. Most have come
from the family type subdivisions. The big developers seem to assume it is the cost of
doing business in Chapel Hill and the potential return is worth it.
Out of necessity, the County provides a lot of service on these sites that should be
provided by the developer, so an increase in fees seems reasonable.
Staffing
Warren advises that in order to increase oversight, additional staff is needed in the
Erosion Control Division. The projects received in the past five years are more intensely
developed on more difficult land, requiring more involvement and time on the site. Staff
have not been able to keep up with reviewing and responding to proposed development
plans and commenting on erosion and sediment control. This is an important function so
that problems are caught early in the design process and corrected. County standards have
not been able to keep up with the increased level of development and the more difficult
sites that cause most problems and take up much staff time. The current level of plan
review, supervision, administration, and experiments do not allow adequate time to
ensure that the plans presented are not just compliant, but also successful in controlling
sediment pollution.
A new position soon would help address new, large projects, like additional phases of
Southern Village and the proposed Meadowmont that are starting and will require more
review and inspections. In addition, more time and effort is needed to address violation
and citizens complaints about sites not under County jurisdiction, such as those
conducted by the Department of Transportation, school sites, timbering, and claims of
agricultural exemption.
Warren says that current sediment control measures, particularly sediment basins,
perform poorly. The standards used in Orange County are an effort to improve
performance but there is still need for improvement. The State's standards are even more
out of date than the County's, and the State is slow in moving to improve their standards.
So, the County needs to move forward on its own. There are no jurisdictions using more
effective controls, that he is aware of and has examined, that Orange County can just
copy. During the past four years, the County has been conducting experiments to improve
sediment basin performance and has seen great improvement using these devices. In
some cases these devices can save developers money. Additional experiments are being
performed on measures that can further reduce sediment pollution. However, time and
effort are required to write the standards and specifications needed to formally adopt
these measures so that the water quality benefits can be provided on all sites.
Warren indicates that the person in a new position would perform inspections and review
erosion and sediment control plans submitted for permitting. The grade for the position
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should be higher than a starting inspector position because it is more technical and
requires knowledge and experience with the engineering and construction side of erosion
and sediment control.
The benefits expected are: more and closer inspections, particularly sites with a higher
potential for problems and off site damage; replacement of out dated, ineffective erosion
and sediment controls with effective, economical controls; and more effective pollution
control and protection of local and downstream water resources.
Fees
In reviewing the related fees, the attached "Schedule III" illustrates two possible
scenarios to address the addition of new staff.
An across the board increase in all Erosion Control fees at the 60% recovery level would
pay for a new position. If more focus is placed upon the intense urban category, the
schedule reflects a scenario that would place these fees at the 70% recovery level while
increasing all other fees to the 50% recovery level. A number of other combinations are
possible.
RECREATION AND PARKS FEES
SCHEDULEI
Activity
Current Fee
Participants
Current Revenue
New Fee (Inflation)
New Fee Revenue
Wrestling
$25.00
25
$625
$30
$750
Football
$30.00
60
$1,800
$40
$2,400
Basketball
$25.00
490
$12,250
$30
$14,700
Girls Softball
$25.00
210
$5,250
$30
$6,300
Soccer
$25.00
125
$3,125
$30
$3,750
Music/Piano
$30.00
20
$600
$40
$800
Arts/Craft
$15.00
50
$750
$20
$1,000
Aerobics
$25.00
30
$750
$30
$900
Summer Cam
$50.00
560
$28,000
*$50
$28,000
Carnival Fees
$0.25
4000
$1,000
$0.30
$1,200
Senior Games Fees
$6.00
160
$960
*$6
$960
Trip Tickets
$5.00
200
$1,000
$6
$1,280
Camp Part. Shirts
$5.50
250
$1,375
$7
$1,750
Sports Shirts
$5.00
525
$2,625
$6
$3,360
Contracted Fees
Tae Kwon Do
$30.00
430
$12,900
$40
$17,200
T'ai Chi
$35.00
60
$2,100
$45
$2,700
Youth Self Defense
$4.00
2000
$8,000
$5
$10,000
Jazz Dance
$4.00
1000
$4,000
$5
$5,000
Baton
$4.00
1000
$4,000
$5
$5,120
Cheerleading
$4.00
1000
$4,000
$5
$5,120
Sports Camps
$40.00
100
$4,000
$50
$5,000
Rentals
Gyms (groups)
$20.00
30
$600
$25
$750
Gyms (individuals)
$2.00
300
$600
*$2
$600
Centers
$20.00
30
$600
$30
$900
Ball Fields
$100.00
2
$200
$125
$250
Equipment
$200.00
1
$200
$250
$250
Totals
$101,310
$120,041
* Fee was not changed
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AGING - OPT FEES
SCHEDULE H
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Aging
Driver Lease Fees
Current Fees (48 %)
50%
70%
90%
100%
Business Hours
$11.00/hr
$12.00/hr
$16.00/hr
$21.00/hr
$23.00/hr
Non - business Hours
$16.50/hr
$18.00/hr
$25.00/hr
$32.00/hr
$35.00/hr
Vehicle Lease Fees
County Internal
Charges
Cents per mile
35(van) /45(minibus)/
55(bus)
Ticket Sales
One Way in Town
$0.50
$0.50
$0.70
$0.90
$1.00
One Way Between To
$1.00
$1.00
$1.40
$1.80
$2.00
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EROSION CONTROL FEES WITH NEW POSITION
SCHEDULE III
Fees: 60% Recovery
Current Fees
60% Recove
100% Recove
Erosion Control Plan Review
per acre
Intense Urban
$200
$292
$486
per acre
Urban
$155
$226
$377
per acre
Rural
$88
$128
$214
Grading Permits
per acre
Intense Urban
$490
$714
$1,191
per acre
Urban
$365
$532
$887
per acre
Rural
$88
$128
$214
flat
Private Roads
$109
$159
$265
flat
Stormwater Mngt. Plans
$78
$114
$190
Total Revenue with-New Fees
$142,060
Fees with New Position: Mixed Recovery
Erosion Control Plan Review
New Fees
per acre
Intense Urban (@70%)
$340
per acre
Urban (@ 50 1/6)
$188
per acre
Rural (@ 50 %)
$107
Grading Permits
per acre
Intense Urban (@701/6)
$833
per acre
Urban (@ 50 1/6)
$443
per acre
Rural (@ 50 %)
$107
flat
Private Roads (@ 50 %)
$132
flat
Stormwater Mngt. Plans (@ 50 1/6)
$95
Total Revenue with new tees
$142,060
* This current recovery assumes a new position at $36,060 in salary and $9,015 in benefits. Additional
costs to
the county would be $45,075.
Fees would have to be raised on average, to the 60% recovery level just to make up for the new position.
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