HomeMy WebLinkAbout07/05/2011, B 7 - REQUEST TO AMEND THE CITY FIRE DEPARTMENT FEE SCHEDULE FOR ABOVE GROUND STORAGE TANKS ADcouncil M u�Dae
ac,Enaa Report
C ITY O F S AN L U IS O B I S P O
FROM: Charlie Hines, Fire Chief CH
Prepared By: Kent'Boyle, Hazardous Materials Coordinator
SUBJECT: REQUEST TO AMEND THE CITY FIRE DEPARTMENT FEE SCHEDULE
FOR ABOVE GROUND STORAGE TANKS
RECOMMENDATION
Revise the current fee structure for facilities storing regulated fuels in quantities greater than
1,320 gallons, as per State regulations. Staff is recommending the following fee structure for all
facilities in the Aboveground Petroleum Storage Act (APSA) program: $125.00 for one tank;
$250.00 for two tanks; $300.00 for more than two tanks.
DISCUSSION
In 2007 the State Water Resources Control Board transferred the responsibility for the
implementation, enforcement, and administration of the Aboveground Petroleum Storage Act
(APSA) to the Certified Unified Program Agencies (CUPA), such as San Luis Obispo City Fire
or San Luis Obispo County Environmental Health. Initial funding for the program was in the
form of grants to local agencies from the State in order to reimburse billable time to local
agencies for plan review, inspections, meetings, etc.
Both San Luis Obispo County Environmental Health and San Luis Obispo City Fire enacted fees
based on staff billable time for program oversight. County Environmental Health selected a
facility based fee of$281.00 per facility. City Fire chose to bill $125.00 per tank based on time
needed to inspect facility, resulting in a typical fee of$125.00 or $250.00 per facility. Based on
a recent analysis of the fee structure, staff is recommending the following fee structure for all
facilities in the APSA program: $125.00 for one tank; $250.00 for two tanks; $300.00 for three
or more tanks. The reason that the fee for three or more tanks will be capped at $300 is the time
need to inspect a facility diminishes with each additional tank. Program fees will be monitored
and modified over time depending on staff costs, complexity of facility operations, length of field
inspections, and other factors. Please note that many of the facilities regulated by the APSA
program also pay fees for other regulatory programs. A Fire Prevention inspection is also
conducted annually at each facility. Depending on the nature of chemical storage one or more of
the following programs would require an inspection at the same time: the storage and use of
hazardous materials; hazardous waste; underground storage tanks; aboveground storage tanks;
large quantity storage of chlorine or ammonia.
Fees are billed and collected by the County of San Luis Obispo. If the new fee schedule is
adopted it will take effect January 1, 2012. Fees are collected on a calendar year basis. Currently
this fee amendment will impact one business. It will be a fee reduction.
T:\Council Agenda ReponsTire CARTY 2011-12
B7-1
Amendment of Fire Dept. Permit Fees for Aboveground Storage Tanks
Page 2
CONCURRENCES
Finance concurs with the recommendation.
FISCAL IMPACT
Adoption of the modified fee schedule is based on more accurate accounting of staff expenses for
program implementation. If adopted, the new fees would result in a decrease in Fire Department
APSA program revenue of approximately $1,500.00.
ALTERNATIVES
Do not approve modification of the APSA fees as proposed in this memo. This alternative is not
recommended because regulatory citations require the City to collect fees only as justified by
Agency expenses.
B7-2