HomeMy WebLinkAbout28-City Manager ORIGINAL
CITY OF SAN BERNARDINO — REQUEST FOR COUNCIL ACTION
From: Charles McNeely, City Manager Subject: Resolution of the Mayor and
Common Council of the City of San
Dept: City Manager's Office Bernardino setting the 2011 Regulatory Fee
for the sale of fireworks.
Date May 22, 2011 Meeting Date: June 6, 2011
Synopsis of Previous Council Action
5/16/2011 - Mayor and Common Council continued item to June 6, 2011 meeting.
5/4/2011 — The Ways and Means Committee recommended item be brought forward to Mayor
and Common Council.
6/30/2010 — The Mayor and Common Council adopted resolution 2010-216 setting the 2010
Regulatory Fee.
6/29/2009 — The Mayor and Common Council adopted resolution 2009-176 setting the 2009
Regulatory Fee for the sale of fireworks and amending resolution 2009-122.
6/15/2009 — The Mayor and Common Council adopted an Urgency Ordinance amending San
Bernardino Municipal Code Section 8.60.095 regarding regulatory fees for the sale
of fireworks.
Recommended Motion:
Adopt Resolution 4
Charles M eel
CONTACT PERSON: Tait Ecklund, Management Analyst II Phone: 384-5122
SUPPORTING DATA: Staff Report, Resolution, Ward: All
Reference Attachments
FUNDING REQUIREMENTS:
Source: N/A
Council Notes:
Agenda Item No. �a
GYP-oCP-�` �l
Ain—. Q/1/ b///n
CITY OF SAN BERNARDINO—REQUEST FOR COUNCIL ACTION
Staff Report
Subject:
Resolution of the Mayor and Common Council of the City of San Bernardino setting the 2011
regulatory fee for the sale of fireworks.
Background:
The Mayor and Common Council continued this item from the May 16, 2011 meeting so that
staff could research alternatives to the public outreach campaign for safe and sane fireworks
within the City of San Bernardino. To that end, the advertising plan has been amended to
include advertisements in The Black Voice and El Chicano weekly publications. Advertisements
will also be added in La Prensa, which is a Spanish language version of the San Bernardino Press
Enterprise, and La Opinion, which is the largest Spanish language daily newspaper in the Los
Angeles area. Along with this effort, the advertisement in the San Bernardino Sun Newspaper
will be enlarged. To offset the cost of these measures, the advertisements in the Pennysaver and
the water bill inserts have been eliminated from the plan.
Further, staff found excess posters used in last year's public outreach efforts that can be re-used
this year, saving the City from the cost to print posters. With this savings, yard signs providing
warning of the fireworks restrictions will be purchased and placed, with property owner
persmission, along 301" street, which is roughly the border, north of which, no fireworks are
allowed.
By making these changes, the estimated regulatory costs have risen by $577 to a total of
$73,721.82. This amount includes staff time incurred by the Police Department, Fire
Department, and City Clerk's Office, as well as other administrative services and the public
education outreach campaign. A complete itemization by department is attached to the
Resolution as Exhibit A.
The San Bernardino Municipal Code (SBMC) Section 8.60.095(B) states that to ensure that the
organizations that sell fireworks earn a profit, the City may collect no more than 10% of the total
gross sales of the fireworks sold in order to pay for this regulatory fee. Due to a decline in
fireworks sales, it is estimated that the City will collect approximately $67,000 through this
regulatory fee, although the City's educational and enforcement costs will likely exceed $73,000.
The Municipal Code also states that the Mayor and Common Council shall adopt a resolution
adopting the regulatory fee no later than the last meeting prior to the first day of firework sales,
which is June 20, 2011.
Financial Impact:
It is estimated that this action will generate approximately $67,000 from regulatory fees. This
revenue will be used to offset the City's costs for awareness/education and enforcement costs.
Recommendation:
Adopt Resolution.
COPY
1
RESOLUTION NO.
2
3 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO SETTING THE 2011 REGULATORY FEE FOR THE SALE OF
4 FIREWORKS.
5 WHEREAS, on June 15, 2009, the Mayor and Common Council adopted an urgency
6 ordinance amending Section 8.60.095 of the San Bernardino Municipal Code, requiring half of
7 the fireworks regulatory fee to be paid by the licensee(the non-profit) and half to be paid by the
8 fireworks company that supplies the product; and
9 WHEREAS, prior to imposing the fee, the City is required to prepare a study of the
10
anticipated costs associated with fireworks education, awareness, and enforcement; and
Il
WHEREAS, the City has prepared a study of the anticipated costs for fireworks
12
13 education, awareness and enforcement for the 2011 season, a copy of which is attached hereto
14 as Exhibit"A"and by reference made a part here of
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May 26,2011
1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO SETTING THE 2011 REGULATORY FEE FOR THE SALE OF
2 FIREWORKS.
3 NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON
4 COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS:
5 SECTION 1. That the Mayor and Common Council of the City of San Bernardino has
6 determined that the total anticipated costs for the City to provide services to support the sale of
7 fireworks for the 2011 season has been calculated at$73,721.
8 SECTION 2. The Finance Department shall determine the proportion of the
9 regulatory fee owed to the City based on the licensee's fireworks sales financial statements.
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The regulatory fee charged by the City shall not exceed 10% of the total gross sales of the
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fireworks sold in the city by the licensee.
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SECTION 3. This fee shall take effect upon the adoption of this resolution.
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May 26,2011
i
1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO SETTING THE 2011 REGULATORY FEE FOR THE SALE OF
2 FIREWORKS.
3 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor
6
4 and Common Council of the City of San Bernardino at a meeting thereof, held
5 on the day of , 2011 by the following vote,to wit:
6
Council Members: AYES NAYS ABSTAIN ABSENT
7
MARQUEZ
8
9 VACANT
10 BRINKER
11 SHORETT
12 KELLEY
13 JOHNSON
14 MCCAMMACK
15
16
Rachel G. Clark, City Clerk
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The foregoing resolution is hereby approved this day of
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19 . 2011.
20 Patrick J. Morris,Mayor
21 City of San Bernardino
Approved as to form:
22
B&ESF. `
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24 J MAN,
C
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May 26,2011
e _ _
- w
Fireworks 2011 Exhibit A
Expenditure Estimates
Police Department: T��Iliu7lT'uit r _ i geBetLa _3 y �
July 2 personnel $ 9,910.00 $ 173.43 $ 10,083.43 $ 1,008.34 $ 11,091.77
July 3personnel $ 9,805.00 $ 171.59 $ 9,976.59 $ 997.66 $ 10,974.25
July 4 personnel $ 10,340.00 $ 180.95 $ 10,520.95 $ 1,052.10 $ 11,573.05
Equipment/vehicles $ 1,698.00
Fire Department:
July 1 personnel $ 872.00 $ 251.00 $ 1,123.00 $ 112.30 $ 1,235.30
July 2 personnel $ 1,981.00 $ 529.00 $ 2,510.00 $ 251.00 $ 2,761.00
July 3 personnel $ 1,981.00 $ 529.00 $ 2,510.00 $ 251.00 $ 2,761.00
July 4 personnel $ 1,981.00 $ 529.00 $ 2,510.00 $ 251.00 $ 2,657.60
Public Information Officer $ 1,981.00 $ 544.00 $ 2,525.00 $ 252.50 $ 2,777.50
City Clerk's Office:
Business Registration Representative $ 2,220.54 $ 666.16 $ 2,886.70 $ 288.56 $ 3,175.26
Business Registration Manager $ 950.64 $ 285.19 $ 1,235.83 $ 123.51 $ 1,359.34
Materials $ 70.25
Public Education:
Electronic Billboard on 1-215 June 6-July 4,Messa a loo s continuously throughout day $25
La Opinion June 28-July 4,7"x 3"ad $2,000
La Maquina Musical June 28-Jul 4-Will run 47,30-second ads $520
4th of July flyers 40,000 flyers to be made and passed out at schools $1,625.05
June 21 -July 4-Place 120 Yard signs along 30th Street with
4th of July yard signs property owners'permission $545.44
Radio ads-KCXX 103.9 June 28-Jul 4-Will run 64,30-second ads $2,710
SB Sun ad June 21 -July 4, 1/4 page,full-color ad. Includes online ad $4,400
El Chicano June 23 -July 7,2 weeks,7"x 4"ad $336
Black Voice June 23 -July 7,2 weeks,7"x 4"ad $512
La Presna-ad June 24-July 6,half page,full color $1,638
Press Enterprise-ad June 24-July 3,3"x 5"ad $690
Total Service Direct Cost $ 67,135.80
Gen. &Admin. Rate @ 9.81% $ 6,586.02
Total Service Cost $ 73,721.82
i50 1OWWO E k v; eu '':X" a
Police department: $ 35,337
Fire department: $ 12,192
City Clerk's Office $ 4,605
Public Education Total: $ 15,001
Total Service Direct Cost $ 67,136
Gen.&Admin.Rate @ 9.81% $ 6,586
Total Service Cost $ 73,722
City Manager's Office
5/26/2011
CITY OF SAN BERNARDINO — REQUEST FOR COUNCIL ACT N
From: Charles McNeely, City Manager Subject: Resolution of th Mayor and
Common Council of t City of San
Dept: City Manager's Office Bernardino setting the 11 Regulatory Fee
for the sale of firewo s.
Date May 5, 2011 Meeting Date: ay 16, 2011
Synopsis of Previous Council Action
5/4/2011 — The Ways and Means Committee recommen ed item be brought forward to Mayor
and Common Council
6/30/2010 — The Mayor and Common Council ad ted resolution 2010-216 setting the 2010
Regulatory Fee.
6/29/2009 — The Mayor and Common Coun 1 adopted resolution 2009-176 setting the 2009
Regulatory Fee for the sale of reworks and amending resolution 2009-122.
6/15/2009 — The Mayor and Common ouncil adopted an Urgency Ordinance amending San
Bernardino Municipal Co e Section 8.60.095 regarding regulatory fees for the sale
of fireworks.
Recommended Motion:
Adopt Resolution
Charle c
CONTACT PERSON- ait Ecklund, Management Analyst II Phone: 384-5122
SUPPORTtaff Report, Resolution, Ward: All
Reference Attachments
FUNDING Source: N/A
Council No
Agenda Item No.
05-1Ce-OD C
CITY OF SAN BERNARDINO—REQUEST FOR COUNCIL ACTION
Staff Report
Subject:
Resolution of the Mayor and Common Council of the City of San Bernardino setting the 2011
regulatory fee for the sale of fireworks.
Background:
The City of San Bernardino is one of only seven cities in the County of San Bernardino that
allows safe and sane fireworks. Within City limits, fireworks are permitted in all areas south of
the 210 Freeway. In order for the City to generate sufficient funds to pay for fireworks
education/awareness and enforcement, the licensees and the vendors of fireworks booths are
required to pay a regulatory fee, set annually by resolution by the Mayor and Common Council.
The amount of the regulatory fee is determined by a study of the anticipated costs associated
with fireworks education/awareness, and enforcement. This includes additional personnel time
for inspection and enforcement, enhanced policing in firework prohibited areas, and staff time
associated with the overall management of the program by the City Clerk's Office. The Police
Department, Fire Department and City Clerk's Office have calculated their costs in association
with sale of fireworks in the City; a breakdown by department is attached to the Resolution as
Exhibit A. The total estimated cost for the 2011 season is $73,087; this is the maximum amount
the City can collect for firework related details.
The total portion of the fee owed to the City by each licensee/vendor is based on the vendor's
financial statements, which are required to be submitted to the City Clerk's Office no later than
August 31 st. To ensure that the organizations earn a profit, the amount they are required to pay
to the City can not exceed 10% of the total gross sales of the fireworks sold. Staff will not know
the total amount of billable fees until the groups file their financial statements in August. The
gross sales have been declining every year; so the amount paid to the city has also declined.
Although the City's costs will likely exceed $73,000, the revenue collected is estimated to be
approximately $67,000.
After receiving the financial statements, the City's Finance Department calculates the amount to
be paid by each booth and invoices 50% of the fee to the licensee (the non-profit operating the
booth) and 50% of the fee to the fireworks vendor. This payment is due to the City within 30
days following the issuance of the invoice.
Section 8.60.095(B) of the SBMC states that the Mayor and Common Council shall adopt a
resolution adopting the regulatory fee no later than the last meeting prior to the first day of
firework sales; June 20, 2011.
A number of challenges have been identified during the past few years associated with collecting
required documents and fees from vendors and licensees. Once the fees for the 2011 season have
been collected from the licensees and vendors, staff recommends that this item be placed on the
Ways and Means Committee agenda for further review and possible modification.
Financial Impact:
It is estimated that this action will generate approximately $67,000 from regulatory fees. This
revenue will be used to offset the City's costs for awareness/education and enforcement costs.
There will be no net impact to the general fund by this action.
Recommendation:
Adopt Resolution.
i
Fireworks 2011 Exhibit A
Expenditure Estimates
Total i.
Police Department: Labiiir/Time Fringe Benefits Labo ;d 1?otal
July 2 personnel $ 9,910.00 $ 173.43 $ 10,083.43 $ 1,008.34 $ 11,091.77
July 3personnel $ 9,805.00 $ 171.59 $ 9,976.59 $ 997.66 $ 10,974.25
July 4 personnel $ 10,340.00 $ 180.95 $ 10,520.95 $ 1,052.10 $ 11,573.05
Equipment/vehicles $ 1,698.00
Fire Department:
July 1 personnel $ 872.00 $ 251.00 $ 1,123.00 $ 112.30 $ 1,235.30
July 2 personnel $ 1,981.00 $ 529.00 $ 2,510.00 $ 251.00 $ 2,761.00
July 3 personnel $ 1,981.00 $ 529.00 $ 2,510.00 $ 251.00 $ 2,761.00
July 4 personnel $ 1,981.00 $ 529.00 $ 2,510.00 $ 251.00 $ 2,657.60
Public Information Officer $ 1,981.00 $ 544.00 $ 2,525.00 $ 252.50 $ 2,777.50
City Clerk's Office:
Business Registration Representative $ 2,220.54 $ 666.16 $ 2,886.70 $ 288.56 $ 3,175.26
Business Registration Manager $ 950.64 $ 285.19 $ 1,235.83 $ 123.51 $ 1,359.34
Materials $ 70.25
Public Education:
General Public Education: 67 hrs
Water bill inserts/Water Dept $ 1,000.00
La Maquina Musical $ 720.00
4th of July posters/flyers/inserts/print $ 3,188.21
4th of July banners/print $ 1,569.60
Radio ads-KCXX 103.9 $ 2,990.00
SB Sun ad $ 3,198.00
Pennysaver ad $ 1,068.00
La Presna-ad NA
Press Enterprise-ad $ 690.00
Total Service Direct Cost $ 66,558.12
Gen. & Admin. Rate @ 9.81% $ 6,529.35
Total Service Cost $ 73,087.47
ta►xl ni ry ZOtI Total „:
Police department: $ 35,337
Fire department: $ 12,192
City Clerk's Office $ 4,605
Public Education Total: $ 14,424
Total Service Direct Cost .$ 66,558
Gen.&Admin. Rate @ 9.81% $ 6,529
Total Service Cost $ 73,087
City Manager's Office
5/5/2011
RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO SETTING THE 2011 REGULATORY FEE FOR THE SALE OF
FIREWORKS.
WHEREAS, on June 15, 2009, the Mayor and Common Council adopted an urgency
ordinance amending Section 8.60.095 of the San Bernardino Municipal Code, requiring half of
the fireworks regulatory fee to be paid by the licensee (the non-profit) and half to be paid by the
fireworks company that supplies the product; and
WHEREAS, prior to imposing the fee, the City is required to prepare a study of the
anticipated costs associated with fireworks education, awareness, and enforcement; and
WHEREAS, the City has prepared a study of the anticipated costs for fireworks
education, awareness and enforcement for the 2011 season, a copy of which is attached hereto
as Exhibit "A" and by reference made a part here of.
May 5,2011
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO SETTING THE 2011 REGULATORY FEE FOR THE SALE OF
FIREWORKS.
NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON
COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS:
SECTION 1. That the Mayor and Common Council of the City of San Bernardino has
determined that the total anticipated costs for the City to provide services to support the sale of
fireworks for the 2011 season has been calculated at $73,087.
SECTION 2. The Finance Department shall determine the proportion of the
regulatory fee owed to the City based on the licensee's fireworks sales financial statements.
The regulatory fee charged by the City shall not exceed 10% of the total gross sales of the
fireworks sold in the city by the licensee.
SECTION 3. This fee shall take effect upon the adoption of this resolution.
May 5,2011
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO SETTING THE 2011 REGULATORY FEE FOR THE SALE OF
FIREWORKS.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor
and Common Council of the City of San Bernardino at a meeting thereof, held
on the day of , 2011 by the following vote, to wit:
Council Members: AYES NAYS ABSTAIN ABSENT
MARQUEZ
VACANT
BRINKER
SHORETT
KELLEY
JOHNSON
MCCAMMACK
Rachel G. Clark, City Clerk
The foregoing resolution is hereby approved this day of
, 2011.
Patrick J. Morris, Mayor
City of San Bernardino
Approved as to form:
By: , le�t�
J S F. PENMAN,
y Attorney
May 5,2011
RESOLUTION NO. COPY
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO SETTING THE 2011 REGULATORY FEE FOR THE SALE OF
FIREWORKS.
WHEREAS, on June 15, 2009, the Mayor and Common Council adopted an urgency
ordinance amending Section 8.60.095 of the San Bernardino Municipal Code, requiring half of
the fireworks regulatory fee to be paid by the licensee (the non-profit) and half to be paid by the
fireworks company that supplies the product; and
WHEREAS, prior to imposing the fee, the City is required to prepare a study of the
anticipated costs associated with fireworks education, awareness, and enforcement; and
WHEREAS, the City has prepared a study of the anticipated costs for fireworks
education, awareness and enforcement for the 2011 season, a copy of which is attached hereto
as Exhibit"A" and by reference made a part here of.
May 5,2011
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO SETTING THE 2011 REGULATORY FEE FOR THE SALE OF
FIREWORKS.
r
NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON
COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS:
f SECTION 1. That the Mayor and Common Council of the City of San Bernardino has
determined that the total anticipated costs for the City to provide services to support the sale of
fireworks for the 2011 season has been calculated at $73,087.
SECTION 2. The Finance Department shall determine the proportion of the
regulatory fee owed to the City based on the licensee's fireworks sales financial statements.
The regulatory fee charged by the City shall not exceed 10% of the total gross sales of the
fireworks sold in the city by the licensee.
SECTION 3. This fee shall take effect upon the adoption of this resolution.
May 5,2011
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO SETTING THE 2011 REGULATORY FEE FOR THE SALE OF
FIREWORKS.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor
and Common Council of the City of San Bernardino at a meeting thereof, held
on the day of , 2011 by the following vote, to wit:
Council Members: AYES NAYS ABSTAIN ABSENT
MARQUEZ
VACANT
I BRINKER
SHORETT
KELLEY
JOHNSON
MCCAMMACK
Rachel G. Clark, City Clerk
The foregoing resolution is hereby approved this day of
, 2011.
Patrick J. Morris, Mayor
City of San Bernardino
Approved as to form:
By:
J S F. PENMAN,
y Attorney
May 5,2011