CITY OF GLENDALE CALIFORNIA REPORT TO CITY COUNCIL

Transcription

1 CITY OF GLENDALE CALIFORNIA REPORT TO CITY COUNCIL March 15, 2005 AGENDA ITEM Motion to Set a Time and Place for a Public Meeting on a Proposed Resolution to Increase Fees for Excavation and Public Right ofway Improvement Permits. 1. Motion to Set Time and Place for a Public Meeting COUNCIL ACTION Public Hearing [] Ordinance [ ] Consent Calendar [X] Action Item [] Report Only [ ] Resolution [] Approved for March 15,2005 calendar ADMINISTRATIVE ACTION Submitted Stephen M. Zurn, Director of Public Works..:-:-=!ff==l~ --Io1L1l'r'-'===_::::.. Prepared Negin Salimipour, Deputy City Attorney ~ ~:~~=j~; ;:~Tk==- Gary Edsall, Sf. Executive Analyst ~:Id~~~~~A~ _ Approved James E. Starbird, City Manager... _~&''''k'~--+--,--+- _ Reviewed Scott H, Howard, City Attorney...,,/" ~...~...? RECOMMENDATION It is requested that the Council adopt the Motion to set a time and place for a public meeting on a proposed resolution to increase fees for excavation and public right of way improvement permits. Notice and a public meeting are required pursuant to Cal. Gov. Code section C

2 SUMMARY The City of Glendale (the "City") has not increased fees for excavations and public right of way improvement permits since June 19, The current fee schedule does not recover the City's costs and expenses associated with the administration of these permits. The proposed fees are based on an independent consultant's fee study report as well as the Engineering Section's report which takes into account the increases in labor and inflation as well as the fee schedules in surrounding cities. FISCAL IMPACT The fees collected will be deposited into a special revenue account to cover the costs associated with providing these services. Staff anticipates that the proposed increase in these permit fees will enable the City to fully recover the expenses associated with administering these permits. BACKGROUND The City has not increased fees for excavations and public right of way improvement permits since June 19, The City's costs associated with the administration of these permits have significantly increased. Such administration includes both processing, plan checking and inspection. The City's current permit fees do not accurately reflect the increases in labor costs over time and inflation. Initially, the City's PUblic Works Division retained a consultant, Berryman & Henigar, to review the process for street cuts and to analyze the City's excavation permit fees. In the 2001 Report, the consultant concluded that the City's fees are much less than the actual costs of administering the street cut program. The consultant also compared the City's excavation permit fees and deposits with eight (8) comparable cities. Each city surveyed was attempting to recover the costs associated with administering their individual programs. However, the comparison showed that the City ranked from low to the medium range for its cost recovery. Subsequently, the City'S Public Works Engineering Section conducted a follow-up study to update the consultant's report by multiplying current labor rates for classifications associated with processing, plan checking and inspection with a time factor for each process, Additionally, the 1991 fee schedule was calculated against the 2004 Consumer Price Index (CPI) to determine a measure ofinflation. The proposed fee schedule will also request that the fees be CPI adjusted on an annual basis. Finally, staff compared the City's excavation and right of way improvement fees to five (5) comparable cities: Burbank, Los Angeles, Monterey Park, Pasadena, and Santa Monica. Staff concluded that the City'S existing application and inspection fees were considerably lower than comparable cities. To bring the fees up-to-date, the following changes are proposed:

3 GMC Chapter Excavation Fees Currently, applicants pay a $40.00 non-refundable excavation application fee and a $70.00 flat rate inspection charge for minor excavations. Staff proposes that these fees be raised to a $ non-refundable fee, as recommended by the consultant's fee study. Incidental expenses in connection with major excavations would continue to be charged at the current labor rate. Blanket excavation permit charges would increase from $40.00 to $ In the event an excavation permit is not commenced within 60 days from the date of issuance, any extension granted by the Director of Public Works would require a non-refundable extension fee to cover administrative costs. Penalty fees for obtaining a permit after an excavation has commenced would remain at three times the non-refundable application amount. Special deposit charges for excavation permits are equal to the quantity of work proposed multiplied by square foot unit pricing. Cun'ently, the minimum deposit is $ per permit. It is proposed that there be a one time and an annual cpr adjustment to the minimum deposit. Thus, the minimum deposit would be raised to $ and the square and lineal foot pricing would be adjusted by the CPI factor of 37 %. GMC Chapter Improvements Requiring Deposits Currently, improvement permit fee applicants requiring major construction-type projects pay a permit fee of $ It is proposed that this amount be adjusted to $60.00 to cover costs associated with the permits' administration and approval. The inspection hourly rate is proposed to be adjusted from $32.00 an hour to $60.00 an hour, which is the standard average hourly rate for si milar inspection-type work in the community. GMC Chapter Improvements Requiring Fixed Fees Currently, improvement permit fee applicants requiring simple sidewalk, driveway, and basic curb and gutter projects pay a permit fee of $6.50. It is proposed that this amount be adjusted to $ This adjustment allows the City to recover costs associated with the administration, design, and approval of the permit. The inspection rates are proposed to be adjusted using a CPI factor as well as an average of the hourly rates for these types of inspection-type work in the community. The proposed fee resolution increases specific fees to establish a more realistic Fee Schedule that is comparable to rates of adjacent cities, reflective of the market value and inflation, and reflective of the current value of the permit services provided by the City's Public Works Division, Engineering Section. Notice and Hearing ReqUirements Pursuant to Cal. Gov. Code section 66016, prior to approving increases to certain specific fees or service charges, the City must hold at least one open and public meeting, at which oral or written presentations can be made, as part of a regularly scheduled meeting. Notice of the time and place of the meeting, including a general explanation of the matter will be mailed to those who have filed a written request with the City for such mailings at least 14 days prior to the said meeting. It is recommended that the public meeting be set for April 12,2005.

4 On April 12, 2005, an Ordinance for Introduction regarding certain modifications to the GMC on excavations, encroachments, and improvements in the public right of way will also be available. Moreover, the proposed fee information and data will be available at least 10 days before the public meeting at the City Clerk's office. Thereafter, the proposed fee increase shall be taken by resolution of the City Council. EXHIBITS 1. Engineering Section's Fee Schedule Comparison Study 2. Compatison Chart of Fees in Surrounding Cities 3. Proposed Fee Resolution (DRAFT) J:\FlLESIDOCFlLES\OlW\ExC<lv<ttiQn OrJ.\SlllJfReport Motion for date and meeting,doc

5 CITY OF GLENDALE INTERDEPARTMENTAL COMMUNICATION To: From: Stephen Zum, Director of Public Works Negin Salimpour, Deputy City Attorney Gary Edsall, Sr. Executive Analyst Date: December 6, 2004 Subject: Excavation Permit, Fee Schedule Comparison At our November 22, 2004 review meeting for the proposed Excavation/Encroachment Permit Ordinance and relato::d Fee Schedule, I was requested to update the City of Glendale's excavation fee comparison with the Cities of Los Angeles Burbank and Pasadena. The City oflos Angeles is in the process of changing their fee structure, the City of Burbank revised their schedule, effective July 1,2003 and Pasadena's fee schedule was effective May 2004 for Fiscal Year The Cities of Burbank and Pasadena utilize personnel within Public Works Engineering to permit and calculate excavation pennit fees for utility and non-utility excavators. Each of the Cities has a trio of inspectors that follow the permit from issuance to final paving. The following is a general overview of the Cities of Burbank and Pasadena's excavation policy and fee requirements; City ofburbank 'Utilities are charged a $25 fee for the excavation penni!. The inspection hours are calculated at $58 per hour with a basis of one hourfor each 120 square feet of paving. 'Non-utilities are also charged a $25 processing fee. Minimum inspection is one hour for utility and non-utility excavators..utilities are billed after-the-fact. Inspectors maintain a permit file and calculate inspection time on the back of the pennit. Upon completion, inspector tallies time and folwards paperwork to Engineering for billing preparation. 'City of Burbank, Power & Water, provides a daily line-up of crews excavating within the lights of way to inspection. Gas Company does not.

6 'Paveco Construction Inc. presently has the paving contract for Gas Company paving repairs. The company does not provide advance notice of paving locations or provide a cut size report and final repair to Public Works Engineering..Refundable Deposits are required for non-utility excavators based the construction cost estimate of the permit work. Minimum deposit is $500, with a refund processing charge of $25. 'Blanket excavation permits are issued for City of Burbank-Water and Gas Company. The permit is for residential streets only. Basic one hour inspection rate is charged. City of Pasadena 'Processing fees are waived for Pasadena Water & Power excavation permits. All other excavators, including utilities, are charged $25.80.Inspection fees are included in the square footage of pavement cut calculation. 'Utilities are billed after paving repairs are finalized. City Inspectors calculate final paving repair dimensions and enter square footage data in their computer spreadsheet application. The square footage dollar amount is sent to Finance for billing. 'Pasadena Water & Power is billed under same fee schedule as any other utility. 'Deposits are not required of utilities. 'City of Pasadena does not issue blanket excavation permits.. Paveco Construction Inc. presently has the paving contract for Gas Company paving repairs. The company does not provide advance notice of paving locations or provide a cut size report and final repair to Public Works Engineering. City of Glendale excavation fees by comparison, with the Cities of Burbank and Pasadena. Average Gas Company blanket excavation permit (type "A" permit) cut repair is 30 sq. ft. Cost ofexcavation Permit City of Burbank Ci ty of Pasadena City of Glendale $25 fee + $58 inspection fee $ $121 (0-50 sq. ft.) fee $40 each cut, blanket fee = $83.00 $ $40.00

7 (average number of annual cuts, 257 x $40 =: $10,280) (proposed fee increase is $110 per permit x 235 permits =: $25,850) Average GWP-Water, excavation pennit (type "A" permit) cut repair is 27 sq. ft. Cost of excavation Permit City of Burbank Ci ty of Pasadena City of G1enda!e $25 fee + $58 inspection fee $ $121 (0-50 sq, ft.) fee $40 each cut, blanket fee = $83.00 $ $40.00 (average number ofpermits, 216 x $40 =: $8640) (proposed fee increase is $110 per permit x 216 = $23,760) Average Gas Company standard type "B" excavation permit cut repair =: 44 sq. ft. Cost of excavation Permit City of Burbank City of Pasadena City of Glen dale $25 fee + $58 inspection fee $25,80 + $121 (0-50 sq, ft.) fee $40 application + $70 inspection =: = =: $83.00 min. $146,80 $ (average number of permits, 30 x $110 =: $3,300) (proposed fee increase is $220 x 30 =: $6,600) Average GWP-Water and Crescenta Valley Water District excavation permit (type "B" permit) cut repair is 73 sq, ft. Cost of excavation Permit City of Burbank City of Pasadena City of Glendale-GWP -CVWD $25 fee + $58 inspection fee $191 ( sq. ft.) fee $191 + $25,80 $40 rate fee $40 application + $70 inspection = = = =: $83,00 min. $ $ $40,00 $ (average number of permits, 36 x $110 =: $3,600) (average number of permits, 42 x $40 =: $1680)

8 (proposed fee increase is $220 x 78 '" $17,160) A type "CO' excavation pennit cost comparison, actual completed utility project. Gas Company, San Fernando Rd.lMiljord 1521' cut & bore Main Replacement Total square footage cut repair '" 1220 sq. jt. Cost of excavation Pennit City ofburbank City of Pasadena City of Glendale $25 + $590 inspection ($58/120 sq.ft.lhr) = $ $1403 inspection ($115 per 100 sq.ft)(l2.2) = $40 application + $120 computed + $750 inspection '" $ $ $ (proposed fee =$220 application +$750 inspection'" $970 + computed charges) CVWD EI CamintolCloudsdale 850' open trench Main Replacement Total square footage cut repair = 2837 sq. ft. Cost of excavation Permit City of Burbank City of Pasadena City ofglendale $25 + $1371 inspection ($58/120 sq.ft.lhr) = $ $ inspection ($115 per 100 sq.ft) = $40 application + $20 computed + $500 inspection = $ $ $ (proposed fee" $220 application + $500 inspection = $720 + computed charges) GWP-Water Water-Phase 1 6,850'open trench Main Replacement Total square footage cut repair = 17,125 sq.ft Cost ofexcavation Permit City of Burbank City of Pasadena City of Glendale $25 + $ inspection ($58/120 sg.ft.lhr) " $ 8, $ $19, inspection ($115 per 100 sq.ft) = $19, $40 application = $ (proposed fee = $220 application + inspection; presently minimum time is provided)

9 The Berryman & Henigar "Review of Street Cut Permit Program" report, proposed a non-refundable $ charge for each permit type (A, B & C). In addition, to recover associated costs for processing, plan checking and inspection, an additional $500 (type A & B pennit) and $2,080 (type C permit) would be added to the cost as a deposit. However, the City's present Excavation Ordinance and the proposed Ordinance exempt "Utilities" from deposits. Ifchallenged by the non-refundable fee of $220,00, the inspection percentage is approximately 75-80% of the non-refundable fee cost, based on labor hours associated with inspection responsibility. Increasing the City's inspection labor rate to $60 per hour and calculating actual inspection hours, will bring the City in line with cost recovery. Cc: Christine Sansone, Senior Assistant City Attorney

10 City of Glendale Public Works Fee Schedule Comparison Public Improvement City Permit Deoosits Excavation Permit Public Improvement Permit City of Application $12.00 Application fee $40.00 Inspection labor ra1e G/endale (1991 Fee Schedule) Admin/Inspection $70.00 Driveway (1St. 16") $85.00 Computed fee for 'Ie" permits Ea. FI. over 16' $3.25 Blanket permit $40.00 Curb & Gutter (1st. 10') $32.00 lnspeclion fee $32 hr. Ea. Ft. over 10' $0.85 Deposit $375 min. Sidewalk (1st. 100 sq.ft.) $32.00 Penalty fee $1201?1 Ea. Sq. ft, over 100' $0.25 Curb Drain, each $32.00 Permit fee $6.50 City of Application $60.00 Standard Application Fee $22000 Inspection labor rate Glendale (Proposed Feel Inspection $60 hr Blanket permit $110 per sljb~number Driveway (1st. 16") $ Inspection fee $60 per hr. Ea. Ft. over 16' $4.30 Minimum Deposit $ Curb & Gutter (1st. 10') $75.00 Penalty lee $ Ea. Ft. over 10' $4.00 Sidewalk (1st. 100 sq.tt.) $90.00 Ea. Sq. ft. over 100' $0.75 Curb Draln. each $70.00 Permit fee $50.00 City of Application Fee $25.00 Inspection labor rate Burbank (2003 Fee Schedufe) $58 hr. Inspection fee $58 min. Driveway (2 hr. min) $ Processing fee $25.00 Curb & Gutter (1 hr. 50') $58.00 Deposit Sidewalk (lhr. 120 sq. ft.) $58.00 Per sq. ft. asphalt $6.00 $ Curb Drain Per sq. ft. concrete $9.00 Pennitfee $25.00 Minimum Deposit $ Min. Deposit $ U:\Engineering\lnspection\GEdsall\Fees\FeeComp-excavation improvement.xls

11 City of Glendale Public Works Fee Schedule Comparison City oflos Angeles (2003 Fee Schedule) Utility Permits E;.:cavations of 1,000 sq. It. $ or less Excavations greater than 1,000 sq. ft. Street Restoration fees Actual Cost Sewer Permits Application $ $ $3.43 sq. ft. City of Processing Permits $28.50 Inspection labor rate Pasadena (2004 Fee Schedule) 0-50 sq. It $ R-esidenlial Driveway sq. ft. $ ' $ sq. ft. $ Over 16' $ Inspection fee included Cammerical Driveway 12 16' $ Over 16' $ Curb & Gutter (1 st 10') $88.00 Ea. Ft. over 10' $4.90 Sidewalk (1st 100 sq.ft.j $95.00 Ea. Sq. Ft. over 10' $1.10 Curb Drain, each $ Permit fee $28.50 City of Monterey Park Permit $50.00 Permit $75.00 Per sq. ft. $2,00 Driveway sq. It. $0.50 cash deposit or bond required Sidewalk sq. ft. $0,50 I Curb & Gutter In It. $1.75 U:\Engineering\lnspection\GEdsall\Fees\FeeComp excavation improvement.xls

12 City of Glendale Public Works Fee Schedule Comparison City of Santa 0-24 sq. ft. $ Monica (2001 Fee Schedule) sq. ft $ sq. ft. $1, & over $2, U~\Englneering\ln$pection\GEdsall\Fe8s.\FeeComp-excavation improvement.xls

13 RESOLUTION NO. _ A RESOLUTION OF THE COUNCIL OF THE CITY OF GLENDALE ESTABLISHING FEES TO BE CHARGED FOR PERMITS PROVIDED BY THE PUBLIC WORKS, ENGINEERING SECTION BE IT RESOLVED BY THE COUNCIL OF THE CITY OF GLENDALE WHEREAS, Sections of the Glendale Municipal Code, 1964 as amended, provides for the establishment or modification of Excavation Permit Fees and Rate Charges by Resolution of the City CounciL WHEREAS, Sections of the Glendale Municipal Code, 1964 as amended, provides for the establishment or modification of Excavation Pennit - Special Deposit Fee or Rates by Resolution ofthe City CounciL WHEREAS, Sections 12.08,090 of the Glendale Municipal Code, 1964 as amended, provides for the establishment or modification of Charges for Replacement of Damaged Pavement. WHEREAS, Sections 12.16,040 of the Glendale Municipal Code, 1964 as amended, provides for the establishment or modification of Improvements Requiring Deposits by Resolution of the City CounciL WHEREAS, Sections and of the Glendale Municipal Code, 1964 as amended, provides for the establishment or modification of Permit and Inspection Fees for Public Right ofway Improvements. NOW, THEREFORE, be it resolved by the Council of the City of Glendale as follows: SECTION 1. The following fees are established for the application, processing and inspection related to Excavation Pennits in accordance with Section of the Glendale Municipal Code. Application for Pennit (non-refundable) Blanket Pennit Late Application Fee (non-refundable) Inspection Fee $ $ $ $60.00 per hour

14 SECTION 2. The following fees are established for Excavation Permit - Special Deposit Fee or Rates in accordance with Section of the Glendale Municipal Code. Asphalt Pavement Concrete Pavement & Gutter Concrete Driveway, Sidewalk & Apron Concrete Sidewalk Concrete Curb Saw Cutting Non-Standard Sidewalk Minimum Deposit $8.00 per S.F. $11.25 per S.F. $10.60 per S.F. $8.00 per S.F. $27.75 perl.f. $2.00 per L.P. $26.50 per S.F. $ * Applicants making continuous or frequent applications to excavate, may in lieu of making individual minimum deposits, maintain on account with the city a refundable special deposit in an amount of not less than $3,200. SECTION 3. The following fees are established for Charges for Replacement of Damaged Pavement in accordance with Section of the Glendale Municipal Code. Asphalt Pavement Concrete Pavement & Gutter Concrete Driveway, Sidewalk & Apron Concrete Sidewalk Concrete Curb Saw Cutting Non-Standard Sidewalk Barricades Minimum Charge $8.00 per S.P. $11.25 per S.F $10.60 per S.P. $8.00 per S.P. $27.75 per L.F. $2.00 per L.F. $35.00 per S.F. $85,00 pickup and delivery charge $ SECTION 4. The following fee is established for the permit application for Engineering and inspection for the purpose of design, plan checking, surveying, setting stakes, inspection, supervision, correction of plans to show improvements as built, testing of materials and appurtenant work, in accordance with Section of the Glendale Municipal Code. Permit application fee $60.00 SECTION 5. The following fees are established for Pemlit and Inspection Fees for Right of Way Improvements in accordance with Section and 12.20,040 of the Glendale Municipal Code. PcrmilFee $50.00

15 Each Driveway _I;t. 16' of width at curb Each Driveway - over 16' Curb & Gutter - I". 10 lineal feet Curb & Gutter - over 10' Sidewalk - I't 100 sq.ft. Sidewalk- over 100 sq. ft. Drain Repair or Installation - I" drain Drain Repair or Installation - each additional Asphalt Driveway (Temporary Permit) Minimum Inspection Fee $ $4.30 per L.P. $75.00 $4.00 per L.F. $90.00 $0.75 per S.P. $70.00 $70.00 $75.00 $60.00 SECTION 6. The above mentioned fees will be adjusted each subsequent calendar year using the most current U.S. Department of Labor, Bureau of Labor Statistic, Consumer Price Index ('CPI") for all Urban Consumers in Los Angeles-Riverside-Orange County. SECTION 7. This Resolution shall take effect 60 days after its adoption. Adopted this day of,2005. ATTEST: DORIS TWEDT Mayor, City ofglendale City Clerk STATE OF CALIFORNIA COUNTY OF LOS ANGELES ) ) ) SS I, DORIS TWEDT, Ci ty Clerk of the City of Glendale, certify that the foregoing Resolution No. was adopted by the Council of the City of Glendale, California, at a regular meeting held on the day of,2005, by the following vote: Ayes: Noes: Absent: City Clerk

16 MOTION Moved by Council Member seconded by Council Member ~~, that the City Council hereby sets the date of April 12, 2005 at or after 6:00 p.m. as the date and time for a public meeting On a proposed resolution to increase excavation and public right of way improvement permit fees. Vote as follows: Ayes: Noes: Absent: Abstain: \I'PROVED AS TO FO~ ''=~ ~~ity Attorney "" DATL..~2f/c2 s.: J:iFILESIJ)OCFILES\,QRD\Ex~~"ulil)" Ord\.'I1otion to Set Public Mce-Ling for.el:.cav~tioll.and PUllllc lmprgvem:ofl! f"es,wpd 5 c 1