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7. B. - Page 2 Report). A majority of the current fees are from a resolution adopted in 1991 and do not cover the cost of providing the services. If the Redwood City Fire Department were able to begin charging for inspections, a significant amount of revenue could be raised that would enable the Department to recover more of the cost of carrying out these mandatory inspections. The attached resolution contains the fee recommendations. The fees are structured as hourly charges ($167.00) based on the current cost for fire prevention personnel in Redwood City Fire Department. Effective January 1, 2013 and each January 1 thereafter, the then current fees (as listed above) shall be revised by a percentage equal to the percentage change in the annual San Francisco-Oakland-San Jose consumer Price Index — All Urban consumers (CPI-U-SF) for the previous 12-month period comprised of July 1 st through June 30th. At least sixty days prior to each year's fee adjustment, the Fire Chief shall calculate the fee adjustment and report the revised fee amount to the City Council. ALTERNATIVES 1. Receive and file the MAXIMUS Consulting Services, Inc. nexus report and adopt the new fees with modifications. 2. Receive and file the MAXIMUS Consulting Services, Inc. nexus report and do not make any changes to the current fire prevention fees. FISCAL IMPACT Based on the nexus analysis, if the Redwood City Fire Department began charging fees for inspections, the Department would be able to recover approximately four hundred thousand dollars ($400,000) in the next fiscal year. (��.s�..�_.._. JIM PALISI FIRE MARSHAL S� -- --- �io � ��/ JAMES F. SKINNER FIRE CHIEF �� r�� ROBERT B. BELL CITY MANAGER ATTACHMENT (1) Resolution (2) MAXIMUS Consulting Services, Inc. Nexus Analysis