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HomeMy WebLinkAbout05/15/1990, 7 - FEES FOR WATER CONSERVATION OFFSETS (RETROFITTING). MEETING DATE: Iilfl�� ����IIIIII`IIII� IIIIBI city Of San LUIS OBISPO May 15, 1990 COUNCIL AGENDA REP®RT ITEM NUMBER FROM: Arnold Jonas, Community Development Director PREPARED BY: Glen Matteson, Associate Planner cA'''1 SUBJECT: Fees for water conservation offsets (retrofitting) . CIAO RECOMMENDATION By resolution, set a fee of $50.00 for each retrofit proposal plus $10.00 for each dwelling or motel room being retrofitted. DISCUSSION Summary Staff wants to change the fees for retrofit proposals from $15. 00 per dwelling or motel room being retrofitted, to $50.00 per proposal plus $10.00 for each dwelling or motel room. Staff thinks the new fees will more accurately reflect the city's costs. Situation The city's Water Allocation Regulations allow a builder who is not willing to wait for water allocation to make the proposed project exempt, by changing fixtures in existing development so twice the expected water use of the proposed project will be saved. For about one year, staff has been evaluating retrofit proposals, conducting "before" and "after" inspections, and keeping track of "offset" credits. To help cover the city's costs, builders have paid a fee of $15.00 per dwelling or motel room being retrofitted. The $15.00-per-unit fee was an expedient choice when all the initial details of the program had to be decided quickly; it was the amount the Building Division charged for a "miscellaneous inspection. " Now, staff is refining the program, and shifting inspections from Building Division to Water Conservation, to help process the backlog of proposals. staff ,proposes that the council formally endorse a fee which should more equitably cover the city's costs in the wide range of retrofit proposals. Evaluation Staff estimates that, on average, a planner spends about one hour checking each retrofit proposal, working with the applicant as questions arise, and. documenting completion and clearance of the building permit. Also; clerical staff spend about one hour creating files and scheduling inspections at the applicant's request. The city's average costs for these activities, including overhead, come to about $50. 00 for any retrofit 7-/ 111111111IIII$II1KIp city of san Luis omspo COUNCIL. AGENDA REPORT proposal. Further, inspectors spend about one-half hour checking each unit before and after it is retrofitted (including travel time, call-backs, and office work) . Once the inspection function is transferred, the city's average cost to inspect a unit is expected to be about $10.00. Individual retrofit proposals have ranged from five dwellings to hundreds of apartments and motel rooms. In some proposals, each retrofit location is different; in others all the retrofits are in uniform facilities at one location. About 500 units have been retrofitted, and about 1,000 are in process. Staff expects interest in the retrofit program to remain high, as water allocations will be limited for the next several years. The city has not required plumbing permits for retrofits, nor are they proposed. FISCAL IMPACTS Staff foresees no significant net cost or revenue as a result of the proposed fee. While this would probably be true of maintaining the current fee, staff believes the proposed fee will more fairly reflect the costs of processing the wide range of retrofit proposals. ,I ALTERNATIVES The council may adopt the fee as recommended, adopt a different fee with a reasonable relationship to city costs, or continue action. ATTACHMENT Draft resolution setting fee gmD: rtro-fee.wp U RESOLUTION NO. (1990 SERIES) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO SETTING FEES FOR RETROFIT PROPOSALS The Council of the City of San Luis Obispo resolves as . follows: The city's fee schedule shall be amended to include fees for water conservation offsets (retrofit proposals) of $50.00 for each proposal plus $10. 00 for each dwelling, motel room, or commercial restroom to be retrofitted. Additional fees may be charged for other types of retrofit proposals, according to the hourly rates of appropriate city staff. On motion of seconded by , and on the following roll call vote: AYES: NOES: ABSENT: the foregoing resolution was passed and adopted this day of , 199.0. Mayor ATTEST: City Clerk 7-3 Resolution No.. (1990 Series) Retrofit fees Page 2 APPROVED: City Ad inistrative Officer ti t r y / Community Deve o ent Director Utilities Director Finance Director gmD: rtro-fee.wp