10.F.
City Council Meeting - FINAL
- Meeting Date:
- 05/05/2015
- From:
- Barbara Goodrich, Management Services Director
Information
TITLE:
Consideration and Adoption of Ordinance No. 2015-06: An ordinance of the City Council of the City of Flagstaff, amending the Flagstaff City Code, Title 3, Business Regulations, Chapter 3-10, User Fees, Section 3-10-001-0006, City Clerk, by increasing the Liquor License fee from $560.00 to $815.00; Providing for penalties, repeal of conflicting ordinances, severability, authority for clerical corrections, and establishing an effective date. (Increasing the Liquor License application fee.)
RECOMMENDED ACTION:
At the Council Meeting of May 5, 2015
1) City Clerk to read Ordinance No. 2015-06 for the first time by title only
2) City Clerk reads Ordinance No. 2015-06 by title only (if approved above)
At the Council Meeting of May 19, 2015
3) City Clerk to read Ordinance No. 2015-06 for the final time by title only
4) City Clerk reads Ordinance No. 2015-06 by title only (if approved above)
5) Adopt Ordinance No. 2015-06
1) City Clerk to read Ordinance No. 2015-06 for the first time by title only
2) City Clerk reads Ordinance No. 2015-06 by title only (if approved above)
At the Council Meeting of May 19, 2015
3) City Clerk to read Ordinance No. 2015-06 for the final time by title only
4) City Clerk reads Ordinance No. 2015-06 by title only (if approved above)
5) Adopt Ordinance No. 2015-06
Executive Summary:
At the February 11, 2015 Council Budget Retreat, the Council expressed support to increase the Liquor License application fee from a 70% cost recovery to 100% cost recovery based on the cost established in the City 2009 User Fee Study. The City has provided the required 60 day notification on the City website of this potential fee increase. Staff proposes a July 1, 2015 effective date.
Financial Impact:
The City of Flagstaff receives approximately $13,000 per year in Liquor License application fees. The proposed fee increase is estimated to generate an additional $6,000 per year in revenue for the General Fund.
Connection to Council Goal and/or Regional Plan:
Has There Been Previous Council Decision on This:
No.
Options and Alternatives:
1) Approve the fee increase to set cost recovery at 100% based on the 2009 User Fee Study and generate an estimated $6,000 new revenue to the General Fund.
2) Do not approve the fee increase leaving cost recovery at 70% based on the 2009 User Fee Study.
2) Do not approve the fee increase leaving cost recovery at 70% based on the 2009 User Fee Study.
Background/History:
As part of the City of Flagstaff annual budget process, certain user fees are brought forward to Council for consideration to increase. For FY2016, City staff provided information to Council on the Liquor License Application fee. The Liquor License Application Fee was first established in 2009 for $560 representing 70% cost recovery.
At the February 11, 2015/ City Council Budget retreat, the Council reviewed several user fees. One staff proposal was to consider increasing the Liquor License Application fee from a 70% recovery to 100% recovery based on the 2009 City of Flagstaff user fee study. This recovery increase takes the fee amount from its current $560 to $815 per application. It is estimated this will generate an additional $6,000 per year in revenue that will be deposited into the General Fund.
With six Council members in full support and one Council member providing tentative support, City staff posted the statutorily required 60 day notice on the City website and stated this fee increase would be considered at the May 5, 2015 Council meeting. Staff is recommending that it become effective on July 1, 2015.
At the February 11, 2015/ City Council Budget retreat, the Council reviewed several user fees. One staff proposal was to consider increasing the Liquor License Application fee from a 70% recovery to 100% recovery based on the 2009 City of Flagstaff user fee study. This recovery increase takes the fee amount from its current $560 to $815 per application. It is estimated this will generate an additional $6,000 per year in revenue that will be deposited into the General Fund.
With six Council members in full support and one Council member providing tentative support, City staff posted the statutorily required 60 day notice on the City website and stated this fee increase would be considered at the May 5, 2015 Council meeting. Staff is recommending that it become effective on July 1, 2015.
Key Considerations:
The estimated new revenue of $6,000 has been included in the total ongoing resources used to balance the FY2016 City of Flagstaff budget proposal.
Community Involvement:
Consult
The public has been notified through the website post that the City is considering this fee increase. The public will have the opportunity to provide feedback to the Council as the proposed Ordinance is considered by Council for approval.
The public has been notified through the website post that the City is considering this fee increase. The public will have the opportunity to provide feedback to the Council as the proposed Ordinance is considered by Council for approval.