HomeMy WebLinkAboutItem 5d. Authorize the collection of multi-dwelling property fire and life safety inspection fees Item 5d
Department: Fire
Cost Center: 8503
For Agenda of: 6/2/2026
Placement: Consent
Estimated Time: N/A
FROM: Randy Harris, Interim Fire Chief
Prepared By: Nicole Vert, Business Analyst
SUBJECT: AUTHORIZE 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.”
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 amended the master fee schedule for the recovery of costs
related to state-mandated fire and life safety inspections for multi-dwelling properties with
three or more units. In FY 2025-26, the City submitted $343,826.62 to the County to be
billed on tax rolls based on the fee schedule in place at the time of submission. The City’s
adopted fee schedule is adjusted annually by the All-Urban Consumer Price Index, Los
Angeles area based on the change from April to April. The current fee schedule was
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Item 5d
increased three percent (3%) from the previous fiscal year and the expected revenue for
FY 2026-27 will be $354,141.42 from 1,433 properties.
There are several options for collecting these fees: individual billings through our account
receivable system, including those amounts with utility bills; or adding these fees to the
property tax rolls. Both of those options would require additional staff time for billing and
payment processing and increased administrative effort to track and pursue delinquent
accounts. Collection through the County property tax roll provides a more efficient and
reliable method for recovering the program costs.
State law (Government Code 54988) establishes the process by which cities may collect
certain inspection fees on the County property tax roll. The statute requires Council to
annually review and approve the charges proposed for collection through the tax roll and
authorize their transmittal to the County. Council adopts a resolution each year
authorizing placement of eligible Fire and Life Safety Inspection Program fees on the
secured property tax roll.
Staff is recommending that the fees for these inspections continue to be collected through
the secured property tax roll in 2026-27 and is requesting that Council adopt the required
resolution to authorize that collection.
Previous Council or Advisory Body Action
On June 17, 2025, the City Council authorized the continued collection of m ulti-dwelling
property Fire and Life Safety Inspection Fees with the adoption of Resolution No. 11572
(2025 Series).
Public Engagement
This item is on the agenda for the June 2, 2026, 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: 2026-27
Funding Identified: N/A
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Item 5d
Fiscal Analysis:
Funding
Sources
Total Budget
Available
Current
Funding
Request
Remaining
Balance
Annual
Ongoing
Cost
General Fund $N/A $ $ $
State
Federal
Fees
Other:
Total $ $ $ $
As of May 4, 2026, the City had collected $245,000 of the expected $343,826.62 for fiscal
year 2025-26, with the remaining amount expected to be posted in the near future as the
deadline to pay property taxes was April 10, 2026, and the County remits payment to the
City in June. Any unpaid taxes are now delinquent.
ALTERNATIVES
Do not adopt the Resolution and go to a less cost-effective billing system
administered by the City’s Finance Department. Finance would become responsible
for billing property owners for the inspection fees, 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.
ATTACHMENTS
A - Draft Resolution authorizing collection of Multi-Dwelling Property Fire and Life Safety
Inspection Fees
Page 25 of 454
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R ______
RESOLUTION NO. _____ (2026 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 2026-27 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.
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; and
WHEREAS, Resolution No. 11572 (2025 Series) adopted on June 17, 2025,
authorized the continued collection of multi-dwelling property Fire and Life Safety
Inspection Fees; and
WHEREAS, the Council desires to continue collection of these fees on the secured
property tax roll for 2026-27.
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 continue to be collected on the secured property tax roll by
the San Luis Obispo County Auditor-Controller for fiscal year 2026-27. A listing of fees
by assessor’s parcel number shall be provided to the County Auditor -Controller for
collection on the 2026-27 secured property tax roll in accordance with their schedule and
data format requirements, pursuant to California Government Code 54988.
Upon motion of Council Member ___________, seconded by Council Member
___________, and on the following roll call vote:
AYES:
NOES:
ABSENT:
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Resolution No. _____ (2026
Series) Page 2
R ______
The foregoing resolution was adopted this _____ day of _______________ 20 26.
___________________________
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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