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TRICOUNTY COUNTY TRI
ENTRY ENTRY VOL. XXVI NO. 42
2018-2019 Fee Schedule OKed By Council By Chris Frost Special to the Tri-County Sentry
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he Oxnard City Council adopted new fees for the fiscal year 2018-2019 during it’s July 24, meeting. There was little debate about the changes, as the council appreciated the effort put forward by the city staff for the difficult task. Under state law, cities are entitled to recover the costs (fees for service) associated with providing services, as long as the amount of the fee does not exceed the reasonably estimated cost of providing the service. According to city documents, staff recommends an adjustment to fees for the following departments: Development Services, Public Safety (Fire, CUPA, Police), Cultural & Community Services, Maintenance Services, and Administrative Services (Treasurer, Information Technology). The recommended fees represent the estimated cost of providing the service and are not Consumer Price Index (CPI) adjustments. Assistant City Manager Jesus Nava said the city is pulling fee rentals for College Park events and barbeque area rentals. “Those are pulled because we are currently looking at fees for all rental opportunities at our parks,” he said. “We are pulling public works items S243 to S255 because those are in a municipal code in an ordinance. These will be reviewed over the next 12 months, and we will be changing the process where they will be removed from the ordinance and made part of a resolution so that they can change on an annual basis. That change can take effect immediately by the city council approval. “ He said the staff would come back with the service meter installation fees, water meter abandonment fees, hydrant flow inspection fees, temporary hydrant meter rental fees, damaged hydrant rental repair fees and the rest are listed there for you all relating to public works utilities. Eric Johnson from Revenue Cost Specialists spoke about the item and said his company started in 1980 with two former city managers and they pioneered matching fee revenue with service costs. “It saw the passage of Proposition 13, and a year later, I saw the passage of Proposition 4, which talked about the cities only charging the reasonably born for services they provide,” he said. The company recast the city’s budget as a business, he said, and they won’t see a city council service or a finance service within those departments. “You’ll see services provided to the customers,” he said. “All the other support services will be part of the overhead cost.” He said the company matches revenues to costs. “You’re not going to stay in business very long if you don’t know how much revenue you’re bringing in relative to your costs,” Johnson said. “It’s a business model you are applying to city government.” To accomplish this, he said it was a long process, and they met with the departments to establish the services they provide and how much time it takes to produce them. “We’ve identified 100 percent of the city’s employees,” he said. “We’re going to have tax-supported services, fee-supported services, and we’re going to have overhead supported services.” He said the company did a cost allocation plan. “We did a very finely detailed overhead rate, so we allocated out city council, we allocated out the city manager, the city attorney, and finance department. With every service in those departments, we came up with a method to allocate those costs back that made sense.” Most of the services provided by the city fall into the cost recovery service, he said, but some services are not, like recreation, library services, and animal control services the company recommends subsidizing those departments. “As the assistant city manager (Jesus Nava) said, some services are rentals of city assets, whether it would be a park rental the PAC (Performing Arts Center) or community center rentals.” He said people pay tax services for community supported items like police, fire and street maintenance. “Personal choice services or fee services are things where the customer is identifiable, the service is measurable, and it benefits a specific individual or group,” he said. “Subsidy levels may be based on social safety or welfare reasons. You may decide to subsidize certain services within that; recreation is a good example.” The city currently subsidizes personal choice services through $7.8 million in taxes and grants. “We also identify new revenue if the council adopts all the recommendations in here,” he said. “That would come to about $2 million.” He said the council must decide which services get subsidized. During public comments, Lawrence Stein said he’s concerned the report doesn’t cover all the costs involved with city services. “A case and point are development impact fees,” he said. “Who’s developing a report on the impact fees. This n Fee Schedules, see page 2
FRIDAY, JULY 27, 2018
Inside This Issue
Rapper Common Goes Back to School to Help Teachers n See page 12
Council Approves Internal Control Standards
Action sets in motion fixes for critical findings by the city’s independent auditor By Chris Frost Special to the Tri-County Sentry OXNARD—The Oxnard City Council approved new internal control standards designed to move the community forward on the administrative level and get the finance and city manager’s office back on track during the July 24, meeting. The framework components are the control environment for the city council, risk assessment which looks toward the future and responds, to control activities that specifically addresses the risks you identify and threats to its achievement, information, and communication, so everyone understands the expectations and monitor the system to make sure it works. The council adopted the internal control integrated framework, the internal control oversight responsibilities, assigning finance committee duties and responsibilities, authority, and responsibility for achieving operational, reporting and compliance objectives and performance evaluation for the city manager and city attorney, specific to the areas of control re-
sponsibilities they carry. The report was prepared to address critical audit findings by the city’s independent auditor Internal control is a process affected by
as a major priority for the chief financial officer,” he said. “It’s one that Mr. Troup (former finance director) and Miss Purcell (interim finance director) worked hard on, as have their managers and members of the finance department staff.” The report sets two clear guidelines, he said, including policies for the city council and define its role with internal control and instructions for the city manager to implement at the organizational level. Millican said after years of neglect, the council hired a new city manager and contracted for studies to look at what’s going on in the city’s administrative systems. “As a result of that, Management Partners gave you a report with 128 recommendations,” he said. “One of the things we did as part of the first year working with Mr. Whitney (Police Chief and former interim city manager) is to change auditors, and the new auditors identified 110 recommendations in the audit report.” Since then, he said the staff has been coming in from different agencies and finding additional items that need fixing. “There were consulting studies that n Standards, see page 7
Internal control is a process affected by the city council, city manager, and other city personnel to provide assurances of the achievement of objectives relating to operations, reporting and compliance. the city council, city manager, and other city personnel to provide assurances of the achievement of objectives relating to operations, reporting and compliance. Management Partners Inc. Special Advisor David Millican has worked with the city manager’s office in the past as they assumed the role of chief financial officer and was the chief financial officer for the city in the past. “This project I identified just before I had to leave the city (due to an accident)
City Approves Regional Homeless Shelter Support
By Chris Frost Special to the Tri-County Sentry
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XNARD—The Oxnard City Council authorized Mayor Tim Flynn to sign a letter of intent expressing the city’s support to partner with the city and county of Ventura on the development and operations of a year-round homeless shelter and directed the city manager and housing director to work with Ventura County to develop an agreement, July 24. Both cities and Ventura County, have set forth several preliminary agreements that will point and guide the next steps. Housing Director Arturo Casillas said homelessness
needs a comprehensive approach to make a difference, and he has confidence the police department has the aggressive leadership to take on the challenge.
homelessness, and all three entities have been working on a tri-party agreement to develop two year-round homeless shelters, one in each city, since March 2018.
“Oxnard’s goal is to approve a year-round shelter, preferably in a state-approved SB-2 emergency shelter overlay zone that permits that purpose.” Housing Director Arturo Casillas “They can carry out these actions,” he said. For the last two decades, he said the City of Oxnard and the city and county of Ventura have partnered to address
“Oxnard’s goal is to approve a year-round shelter, preferably in a state-approved SB-2 emergency shelter overlay zone that permits that purpose,” he said. “The facility will
evolve into a full-service homeless shelter/navigation center with comprehensive wraparound services. The operation will apply a no-walk-in model by using a coordinated entry system and work closely with the Oxnard P.D., local service providers, and stakeholders.” He said the three entities would work together and secure proposals from qualified shelter operators through a request for proposal (RFP) process which is already in operation. “Each city will have a separate agreement with Ventura County and also with a shelter operator, selected by the city,” Casillas said. The current funding for the two proposed shelters is $1 million from Measure O n Shelters, see page 3