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<br /> Summary of Findings
<br /> User Fee Financial Overview
<br /> The study's primary objective was to provide County decision-makers with the analysis needed
<br /> to make informed user fee pricing decisions. This report details the full cost of each service for
<br /> which a user fee is charged and presents current subsidy levels for user fee activities.
<br /> At 100% cost recovery, fees attached to a particular service would cover all labor and indirect
<br /> costs associated with providing that service. If a fee is set below 100% cost recovery,the cost to
<br /> provide the service would be subsidized through other funding sources such as the General Fund.
<br /> The exhibit below shows the annual costs and revenues for County user fees included in this
<br /> analysis. MGT based the annual cost on the full cost for each fee analyzed multiplied by the
<br /> annual volume statistics provided. Similarly, current revenues are based upon the current set fee
<br /> multiplied by the annual volume statistics. Exhibit 1 below displays this information at the
<br /> Department or Division level. Information on a per fee basis is displayed in Appendix 1 of this
<br /> report.
<br /> As requested, specific fee categories were broken out for both Planning and Inspections and
<br /> Emergency Services.
<br /> Exhibit 1: User Fee Study Results
<br /> Current Cost and •
<br /> DepartmentCurrent Re 4
<br /> Full Cost of User Fee venue %roCurrent Subsidy
<br /> User Fee
<br /> Emergency Services
<br /> EMS $ 16,013,368 $ 4,523,767 28% $ 11,489,601 72%
<br /> Fire Marshal $ 371,965 $ 74,765 20% $ 297,200 80%
<br /> Sub Total $ 16,385,333 $ 4,598,532 28% $ 11,786,801 72%
<br /> DEAPR $ 1,299,321 $ 419,645 32% $ 879,676 68%
<br /> Planning and Inspections
<br /> Current Planning $ 1,078,336 $ 332,627 31% $ 745,709 69%
<br /> Erosion Control $ 897,300 $ 1,242,105 138% $ (344,805) -38%
<br /> Inspections $ 2,011,503 $ 1,003,529 50% $ 1,007,974 50%
<br /> Sub Total $ 3,987,139 $ 2,578,261 65% $ 1,408,878 35%
<br /> Grand Total: $ 21,671,793 $ 7,596,438 35% $ 14,075,355 65%
<br /> The results in each column include the following:
<br /> Column A, Full Cost of User Fee Services — This column represents the actual cost for
<br /> each department to provide user fee services based on annual volume statistics. In total,
<br /> this study identified approximately $21.7 million in costs to provide user fee services. It
<br /> is this amount that was the focus of this study and represents the total potential for user
<br /> fee-related revenues for the County.
<br /> ♦ Column B, Current Revenue —This column shows what the County is currently recovering
<br /> in revenue for these same services based on average volumes. Based on current fees,the
<br /> County receives fee-related cost recovery revenue of approximately $7.6 million which is
<br /> MCIT PAGE 2
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