HomeMy WebLinkAboutItem 5i - Authorization to Continue the Collection of Multi Dwelling Property Fire and Life Safety Inspection Fees Item 5i
Department: Fire
Cost Center: 8503
For Agenda of: 6/7/2022
Placement: Consent
Estimated Time: N/A
FROM: Keith Aggson, Fire Chief
Prepared By: Rodger Maggio, Fire Marshal Chief Building Official
SUBJECT: AUTHORIZATION TO CONTINUE THE COLLECTION OF MULTI-
DWELLING PROPERTY FIRE AND LIFE SAFETY INSPECTION FEES
RECOMMENDATION
Adopt a Resolution entitled, “A Resolution of the City Council of the City of San Luis
Obispo, California, authorizing the San Luis Obispo County Auditor to collect fees for
2022-23 Fire and Life Safety Inspections of Multi-Dwelling Properties containing three or
more dwelling units on the Secured Property Tax Roll pursuant to California Government
Section 54988, Et Seq.”
DISCUSSION
Background
In May 2005, the City Council approved a cost recovery program for State-mandated fire
and life safety inspections for multi-dwelling properties with three or more units. In June
2017, the Council approved a change on how fees for apartment buildings, hotels/motels,
and sorority/fraternity inspections are calculated. This change is reflected in Exhibit A to
the Resolution (Attachment A). The result was an increase from approximately $194,000
per year in gross revenue to approximately $260,000 at the time of change in the fee
schedule. Since the adoption of the new fee schedule, revenue under this program has
increased to $325,000 for fiscal year 2021-22 due to the increase in the number of units
for each category and the annual Consumer Price Index (CPI) adjustment to the fee. Staff
is not recommending any further changes in the fees for 2022-23, however, the County
requires an annual resolution adopted by the Council authorizing the continued collection
of those fees on the property tax roll. Staff is recommending that the fee collection
continue to be done through the secured property tax role in 2022-23 and is requesting
that Council adopt the required resolution to authorize that collection.
Policy Context
California Health & Safety Code Section 13146. 2(b) authorizes cities to charge property
owners to recover the reasonable costs of providing these annual inspections. As part of
this program, on June 7, 2005, the Council adopted Ordinance No. 1472 authorizing the
collection of annual fees for these inspections through the secured County property tax
roll as the most cost-efficient method for fee collection (City Municipal Code Section
3.50.01(c)).
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Item 5i
Public Engagement
This item is on the agenda for the June 7, 2022, City Council meeting and will follow all
required postings and notifications. The public will have the opportunity to provide
comment on this item at or before the meeting.
ENVIRONMENTAL REVIEW
The California Environmental Quality Act does not apply to the recommended action in
this report, because the action does not constitute a “Project” under CEQA Guidelines
Sec. 15378.
FISCAL IMPACT
Budgeted: Yes Budget Year: 2022-23
Funding Identified: N/A
The Finance Department will work with the County of San Luis Obispo to place the fees
on the annual tax rolls.
Fiscal Analysis:
Funding
Sources
Total Budget
Available
Current
Funding
Request
Remaining
Balance
Annual
Ongoing
Cost
General Fund N/A N/A N/A N/A
State
Federal
Fees
Other:
Total N/A N/A N/A N/A
In fiscal year 2021-22, the City is scheduled to collect roughly $325,000 in multi-dwelling
property fire and life safety inspection fees . As of May 9, 2022, the City had collected
$297,859 with the remaining amount expected to be posted in the near future as the
deadline to pay property taxes was April 10, 2022 and tax payments are now delinquent.
Projected revenue for fiscal year 2022-23 is expected to increase due to the increased
number of multi-dwelling properties within the City and applicable CPI increases which
stood at 7.9% at the end of April.
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Item 5i
ALTERNATIVES
Do not adopt the Resolution and go to a less cost-effective billing system by the
Finance Department. This is not recommended as it would be counter to fiscal
sustainability.
ATTACHMENTS
A - Draft Resolution authorizing collection of fees for 2022 -23 Fire and Life Safety
Inspections
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R ______
RESOLUTION NO. _____ (2022 SERIES)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS
OBISPO, CALIFORNIA, AUTHORIZING THE SAN LUIS OBISPO
COUNTY AUDITOR TO COLLECT FEES FOR 2022-23 FIRE AND LIFE
SAFETY INSPECTIONS OF MULTI-DWELLING PROPERTIES
CONTAINING THREE OR MORE DWELLING UNITS ON THE SECURED
PROPERTY TAX ROLL PURSUANT TO CALIFORNIA GOVERNMENT
SECTION 54988, ET SEQ.
WHEREAS, the City of San Luis Obispo is required by California Health & Safety
Code Section 17921 annually to inspect multi-dwelling properties containing three or
more dwelling units, including apartments, certain residential condominiums, hotels,
motels, lodging houses and congregate residences; and
WHEREAS, California Health & Safety Code Section 13146.2 authorizes cities to
charge property owners in recovering the reasonable costs of providing these annual
inspections; and
WHEREAS, in accordance with this policy, the Council adopted Resolution Nos.
9799 (2006 Series) and 10790 (2017 Series) updating the master fee schedule, as
specifically set forth in “Exhibit A” hereto, and authorizing the collection of these fees on
the secured property tax roll; and
WHEREAS, the Council desires to continue collection of these fees on the secured
property tax roll for 2022-23.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis
Obispo as follows/or that:
SECTION 1. Pursuant to California Health & Safety Code Section 13146.2(b) and
Municipal Code Section 3.50, the Council hereby authorizes and directs that Fire and Life
Safety Inspection fees shall be collected on the secured property tax roll by the San Luis
Obispo County Auditor-Controller for fiscal year 2022-23. A listing of fees by assessor’s
parcel number shall be provided to the County Auditor -Controller for collection on the
2022-23 secured property tax roll in accordance with their schedule and data format
requirements, pursuant to California Government Code 54988, et seq.
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Resolution No. _____ (2022 Series) Page 2
R ______
SECTION 2. Resolution Number 11256 (2021 Series) is hereby repealed and
superseded to the extent inconsistent herewith.
Upon motion of Council Member ___________, seconded by Council Member
___________, and on the following roll call vote:
AYES:
NOES:
ABSENT:
The foregoing resolution was adopted this _____ day of _______________ 20 22.
___________________________
Mayor Erica A. Stewart
ATTEST:
______________________
Teresa Purrington
City Clerk
APPROVED AS TO FORM:
______________________
J. Christine Dietrick
City Attorney
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the
City of San Luis Obispo, California, on ______________________.
___________________________
Teresa Purrington
City Clerk
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Resolution No. _____ (2022 Series) Page 3
R ______
EXHIBIT A
Multi-Dwelling Fire and Life Safety Inspection Fee Schedule
Administrative Fee
Processing per facility $93.54
Each Additional Owner $11.10
Apartment Houses
Up to 10 Units $374.17
11- 20 Units $561.26
21- 50 Units $748.35
51- 100 Units $935.43
101- 200 Units $1,496.69
Every additional 100 $374.17
Units over 200
Condominiums
Up to 10 Units $374.17
11- 20 Units $561.26
21- 50 Units $748.35
51- 500 Units $1,122.52
Fees are waived for units that are built, owned and managed by the San Luis Obispo
Housing Authority, other governmental agencies or not-for-profit housing organizations.
Hotels, Motels, Lodging Houses, Bed & Breakfast Facilities, Youth Hostel Facilities,
Senior Facilities, Sororities, Fraternities and Other Congregate Residences
1 - 20 units $374.17 per year per facility
21 - 50 units $561.26 per year per facility
51-100 units $935.43 per year per facility
101-200 units $1,496.69 per year per facility
Sorority, Fraternity,
Congregate house $748.35
These fees are applicable to all multi-dwelling units in the City based on the following
definitions as set forth in the 2016 California Building Code, Chapter 2: Definitions and
Abbreviations, Section 202 and Chapter 3, Section 310.
Apartment house is any building, or portion thereof, which contains three or more
dwelling units, including R-2 residential condominiums.
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Resolution No. _____ (2022 Series) Page 4
R ______
Congregate residences are any building or portion thereof that contains facilities for
living, sleeping and sanitation, as required by this code, and may include facilities for
eating and cooking, for occupancy by other than a family. A congregate residence may
be a shelter, convent, monastery, dormitory, fraternity, or sorority house, but does not
include jails, hospitals, nursing homes, hotels, or lodging houses.
Dwelling unit is any building or portion thereof that contains living facilities, including
provisions for sleeping, eating, cooking and sanitation, as required by this code, for not
more than one family, or a congregate residence for ten or less persons.
Hotel is any building containing six or more guest rooms intended or designed to be use,
or which are used, rented, or hired out to be occupied, or which are occupied for sleeping
purposes by guests.
Lodging house is any building or portion thereof containing not more than five guest
rooms where rent is paid in money, goods, labor or otherwise. (A lodging house includes
bed & breakfast facilities and hostels but excludes single family dwellings).
Motel shall mean the same as hotel as defined in this code.
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