Report Prepared by: Joey Chavez, Director of Parks and Community Services
Title
SUBJECT: Public Hearing to Consider Parks and Community Services Facilities and Programs Service Fee Schedule Increases
REPORT IN BRIEF
Public Hearing to consider the Parks and Community Services Facilities and Programs fee schedule modification.
RECOMMENDATION
City Council - Adopt a motion adopting Resolution 2020-19, a Resolution of the City Council of the City of Merced, California, approving Parks and Recreation program and service fees.
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 that Council conduct a Public Hearing to consider the modification of the Parks and Community Services Facilities and Programs Fee Schedule. 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 California minimum wage is set to increase to $15.00 per hour by 2022.
In addition to the increase in the California minimum wage, the City has also experienced an increase in costs to provide public recreation services. One example 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 in operation.
These changing business needs make it necessary for the Parks and Community Services Department to increase a number of fees for programs and services to lessen the impact of providing services to 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.
It is for these reasons that staff recommends a modification to the fees last approved in 2008. The attached fee schedule addresses the proposed modification and increase.
IMPACT ON CITY RESOURCES
No appropriation of general fund is needed. If approved, increase in revenue will offset future General Fund supplement of the Parks and Community Services Department.
ATTACHMENTS
1. Resolution 2020-19