Public Works is proposing an updated right-of-way fee schedule and resolution to the City Council to modify both the fee structure and amounts for Fiscal Year 2019.  Staff has performed an analysis of the costs of administration and inspection services incurred with regards to right-of-way permits and is recommending changes to the fee structure and amounts to more appropriately assign costs to the services provided.  The recommended structure and fees are based on full cost recovery principles.  Public Works last increased its right-of-way fees five years ago and an overall 9% increase in fees is needed to offset inflationary increases in the costs of providing these services.  The following is a summary of fee changes:

• Excavation fees for utility repairs increase from $0 to $35, depending on the type of surface.
• Fees for boring will be based on the number of excavations required instead of the length of the bore.  Generally, short borings increase by $35 and fees for longer bores decrease.
• Fees for sidewalks, approaches, and curb and gutter increase by $25.
• Storm drain connection permits increase by $65.
• Staking fees are modified from a per foot fee basis to an hourly rate of $80.
• Encroachments permits increase by $10.

City Council may:

• Approve the resolution to update the existing fee schedule for right-of-way fees, or;
• Disapprove the resolution to updated the existing fee schedule for right-of way fees, or;
• Modify and approve the resolution to update the existing fee schedule for right-of-way fees.

The modified right-of-way fees will provide approximately $45,000 of revenue to the Public Works Engineering Division in FY 2019. 

Staff recommends that the City Council approve the resolution revising Public Works right-of-way fees.