7.
City Council Work Session
- Meeting Date:
- 09/26/2023
- From:
- Rick Tadder, Management Services Director
- Department:
- Management Services
Co-Submitter:
TITLE:
Discussion on the Development of the Citywide Comprehensive Cost Recovery Policy
DESIRED OUTCOME:
Council direction on the cost recovery policy setting.
EXECUTIVE SUMMARY:
A Future Agenda Item Request (FAIR) was brought forward by Councilmember Regina Salas on February 16, 2021, and later recommended by City Council on November 9, 2021, to have City staff develop a Citywide Comprehensive Cost Recovery Policy. City staff have engaged the services of MGT America to help develop and present a policy to City Council for approval. This is one of the initial steps of this process where we look to provide some information on cost recovery policies and gather City Council comments on what they would like to see in our policy.
INFORMATION:
The City of Flagstaff does not currently have a city-wide policy related to cost recovery. Historically, discussions related to cost recovery occurred when the staff brought forward formal user fee studies and were seeking Council adoption of increased and new fees. The City charges fees for many services it provides to the community and the City must have statutory authority to adopt fees. Per state law, fees must be reasonable and related to the services being received by the individual.
The City has engaged the services of MGT America to help the City create a Citywide Comprehensive Cost Recovery Policy at Council's request. MGT America has already met with all Divisions of the City to understand their revenues sources and discuss how they see revenues fall within the levels of cost recovery.
At this Council Work Session, MGT will present information on cost recovery policy and timelines for our current policy. We will be seeking Council input to see if there are any specifics Council would like to see in a policy document before we start drafting the citywide policy. Staff will take this guidance and continue to work with the Divisions to formulate the policy and come back to Council this fall for a review of the draft policy.
The City has engaged the services of MGT America to help the City create a Citywide Comprehensive Cost Recovery Policy at Council's request. MGT America has already met with all Divisions of the City to understand their revenues sources and discuss how they see revenues fall within the levels of cost recovery.
At this Council Work Session, MGT will present information on cost recovery policy and timelines for our current policy. We will be seeking Council input to see if there are any specifics Council would like to see in a policy document before we start drafting the citywide policy. Staff will take this guidance and continue to work with the Divisions to formulate the policy and come back to Council this fall for a review of the draft policy.