Each year the Master Fee Schedule is reviewed and updated as necessary. The City performs a review of the fees to 1) determine the average cost of providing every service, and 2) to decide the extent to which the City will subsidize the cost of the services provided. The City Council desires to maintain a policy of recovering the costs reasonably borne for providing special services of a voluntary and limited nature, such that general taxes are not diverted from necessary general services to subsidize special services provided to individuals or businesses.
The City of Ojai has conducted an analysis of its services, the costs reasonably borne for providing those services, and the revenues produced by those paying fees and charges for those services. The hourly rate for contractors and employees providing services plus overhead constitutes the full cost of providing a service plus costs of materials, if used. These costs were compared to published benchmarks from appropriate sources and to the maximum levels dictated by federal, state, and local statutes.
The City Council ultimately determines the level of cost recovery that the City will seek for each type of fee. Typically, full cost recovery is expected for services that benefit an individual person or a business; however, some fees may be reduced for public benefit services and /or to incentivize programs. Fees charged for services may not exceed the cost to provide the service.
Pursuant to Government Code Section 66018, the fees to be charged for services must be adopted by the City Council by Resolution, after providing notice and holding a public hearing. The current Master Fee Schedule was adopted by Resolution 19-18 on February 12, 2019 and became effective July 1, 2019.