HomeMy WebLinkAboutItem 5c Authorization to Continue Collection of Multi Dwelling Property Fire and Life Safety Inspection Fees Item 5c
Department: Fire
Cost Center: 8503
For Agenda of: 6/17/2025
Placement: Consent
Estimated Time: N/A
FROM: Todd Tuggle, Fire Chief
Prepared By: Nicole Vert, Business Analyst
SUBJECT: AUTHORIZATION TO CONTINUE THE COLLECTION OF MULTI-
DWELLING PROPERTY FIRE AND LIFE SAFETY INSPECTION FEES
RECOMMENDATION
Adopt a Draft 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
2025-26 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
Code Section 54988, et seq.”
POLICY CONTEXT
California Health & Safety Code Section 13146.2(b) authorizes cities to charge property
owners to recover the reasonable costs of providing mandated Fire and Life Safety annual
inspections for multi-dwelling properties with three or more units.
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)). A
listing of fees by Assessor’s Parcel Number will be submitted to the County Auditor-
Controller for collection on the 2025 -26 secured property tax roll in accordance with the
County’s schedule and data format requirements, pursuant to California Government
Code 54988, et seq. The County requires an annual resolution adopted by the Council
authorizing the continued collection of those fees on the property tax roll.
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 2024
the City conducted a fee study and changed how fees for apartment buildings,
hotels/motels, and sorority/fraternity inspections are calculated, removing the costs of
suppression staff, resulting in a reduction in most fees. The reduction varies by fee with
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Item 5c
the average change being -11%. Staff estimates the resulting revenue reduction to be
$41,800. FY2023-24 revenue from these inspections was $380,309. FY2025-26 revenue
is estimated to be $338,509 after the fee adjustments.
Staff is recommending that the fee collection continue to be done through the secured
property tax roll in 2025-26 and is requesting that Council adopt the required resolution
to authorize that collection.
Previous Council or Advisory Body Action
On June 4, 2024, the City Council authorized the continued collection of multi -dwelling
property Fire and Life Safety Inspection Fees with the adoption of Resolution No. 11496
(2024 Series).
On July 2, 2024, the City Council adopted revised Citywide user and regulatory fees with
the adoption of Resolution No. 11507 (2024 Series).
Public Engagement
This item is on the agenda for the June 17, 2025 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: 2025-26
Funding Identified: N/A
Fiscal Analysis:
Funding
Sources
Total Budget
Available
Current
Funding
Request
Remaining
Balance
Annual
Ongoing
Cost
General Fund $N/A $ $ $
State
Federal
Fees
Other:
Total $ $ $ $N/A
As of May 21, 2025, the City had collected $275,123.62 of the expected $380,000 for
fiscal year 2024-25, with the remaining amount expected to be posted in the near future
as the deadline to pay property taxes was April 10, 2025, and the County remits payment
to the City in June. Any unpaid taxes are now delinquent.
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Item 5c
ALTERNATIVES
Do not adopt the Resolution and go to a less cost-effective billing system by the
Finance Department. Finance would become responsible for billing, increasing both
workload and processing costs with individual mailings. Potential for non-payments would
increase and Finance would be tasked with following up with non -payments. This would
be counter to fiscal sustainability.
ATTACHMENTS
A - Draft Resolution authorizing collection of Multi-Dwelling Property Fire and Life Safety
Inspection Fees
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R ______
RESOLUTION NO. _____ (2025 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 2025-26 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(b) authorizes cities
to charge property owners in recovering the reasonable costs of providing these annual
inspections; and
WHEREAS, the City of San Luis Obispo first authorized fee placement on the
secured property tax roll with adoption of Ordinance No. 1472 on June 7, 2005.
WHEREAS, Resolution No. 11496 (2024 Series) adopted on June 4, 2024
authorized the continued collection of multi-dwelling property Fire and Life Safety
Inspection Fees.
WHEREAS, the Council desires to continue collection of these fees on the secured
property tax roll for 2025-26.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis
Obispo as follows
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 2025-26. A listing of fees by assessor’s
parcel number shall be provided to the County Auditor -Controller for collection on the
2025-26 secured property tax roll in accordance with their schedule and data format
requirements, pursuant to California Government Code 54988, et seq.
SECTION 2. Resolution Number 11496 (2024 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:
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Resolution No. _____ (2025 Series) Page 2
R ______
AYES:
NOES:
ABSENT:
The foregoing resolution was adopted this _____ day of _______________ 20 25.
___________________________
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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