Report Prepared by: Joey Chavez, Director of Parks and Community Services
Title
SUBJECT: Request to Set a Public Hearing for Monday, April 6, 2020, to Consider Parks and Community Services Fee Schedule Updates
REPORT IN BRIEF
Request to set a Public Hearing for Monday, April 6, 2020, to consider the Parks and Community Services fee schedule modification.
RECOMMENDATION
City Council - Adopt a motion setting a Public Hearing for Monday, April 6, 2020, to consider the Parks and Community Services fee schedule modification.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions other than recommended by staff; or,
3. Deny; or,
4. Refer to the City Manager for reconsideration of specific items (specific items to be addressed in the motion); or,
5. Continue to a future meeting (date and time to be specified in the motion).
AUTHORITY
Charter of the City of Merced, Section 200
DISCUSSION
Staff is requesting Council to set a Public Hearing to consider the Parks and Community Services Fee Schedule Modification. The Parks and Community Services fees were last updated on June 2, 2008. Since then, California minimum wage has increased six times, raising from $8.00 per hour in 2008 to $13.00 per hour in 2020. The minimum is set to increase to $15.00 per hour by 2022. The result will be an hourly rate for part-time staff that has nearly doubled since the last department fee increase.
Raising minimum wage coupled with increasing cost to provide public recreation services and makes it necessary for the parks and Community Services Department to increase a number of fees for programs and services to reduce its strain on the City’s General Fund. While the department does its best to recruit volunteers for special events, youth sports and other services, extra staff are required for nearly all programs and activities. Full-time staff oversee regular and after-hour activities, but at least two part-time staff are needed at each function to assist with growing number of participants and attendees.
One example of a much-needed increase is in the Summer Playground Program. Currently, participants pay $25 per week to attend camp from 8:00 AM to 12:30 PM. Children are provided free play time, organized activities, arts and crafts, visits from Mobile Library and free lunch daily. The hourly fee collected for one child to attend for all five days of the week is roughly $1.11. The average hourly rate for part-time staff is $14.20, a difference of $13.09 per hour. The Summer Playground Program is one of the most popular, highly attended youth services provided by the department.
Contracted services have also increased in cost, widening the gap between revenue and expenses. Staff has been notified by multiple contractors that in 2020 they will likely need to increase their charges to the department to remain competitive and maintain revenue.
Consequently, staff recommends a modification to the fees approved in 2008. The attached fee schedule addresses the proposed modification and increase.
The Public Hearing on April 6, 2020 will allow for public input and Council discussion on the proposed fees.
IMPACT ON CITY RESOURCES
No appropriation of general fund is needed.
ATTACHMENTS
1. Draft Fee Schedule