City of Alexandria, Virginia
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MEMORANDUM
DATE: APRIL 23, 2024
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
THROUGH: JAMES F. PARAJON, CITY MANAGER /s/
FROM: JAMES SPENGLER, DIRECTOR,
DEPARTMENT OF RECREATION, PARKS AND CULTURAL ACTIVITIES
DOCKET TITLE:
TITLE
Consideration of a Resolution to Adopt Fee Changes to Increase Cost Recovery for the Department of Recreation, Parks and Cultural Activities Programs for FY 2025. [ROLL-CALL-VOTE]
BODY
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ISSUE: Consideration of a resolution to adopt fee changes to increase cost recovery for the Department of Recreation, Parks, and Cultural Activities (RPCA) programs for FY 2025 by establishing fees for Minnie Howard Aquatic Center, an increase for Out-Of-School-Time (OSTP) programs, and a new rate for rental of waterfront parks.
RECOMMENDATION: That City Council adopt the attached Resolution (Attachment) as part of the FY 2025 Approved Budget. The new fees will be effective on July 1, 2024.
BACKGROUND: The Department of Recreation, Parks and Cultural Activities regularly adjusts program and activity fees that include classes, camps, workshops, admissions and other programs as needed to stay in line with market trends and cost recovery efforts. As part of the FY 2008 budget process, the Council provided the City Manager with the authority to adjust RPCA non-programmatic fees annually, with a maximum increase equal to the annual rate of inflation (CPI-U). Within this authority, the actual fee may be rounded to an administratively convenient amount to assume efficient assessment and collection of fees. Increases in fees exceeding this amount will continue to be considered by the Council. On September 24, 2013, the Council adopted the Resource Allocation and Cost Recovery Policy that guides the department’s resource allocation and will continue setting fees based on the adopted model. The recommended fee changes included in this resolution maintain the process to have the department’s fees at the appropriate cost recovery tier level. The department expects to adjust fees over time to adjust to the market and updates to the cost recovery model.
DISCUSSION: Staff proposes 1) to establish admission, class, and rental rates at the new Minnie Howard Aquatic Center at the same rate as currently charged at Chinquapin Aquatic Center. 2) To increase the full fee rate for OSTP by $100 holding all fee assistance rates the same. 3) Establish a new rate of $400 per hour for use of waterfront parks. Current rates charged of $117 (non-profit) and $157 (private) have not changed since 2008.
FISCAL IMPACT: The FY 2025 Budget includes estimated revenues of $844,189 for Minnie Howard Aquatic Facility, $70,000 for OSTP increased revenue, and $50,000 for waterfront parks.
ATTACHMENT: Resolution
STAFF:
Emily A. Baker, Deputy City Manager
Morgan Routt, Director, Office of Management and Budget