COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Health Department

DATE:

October 29, 2007

BOARD MEETING DATE:

November 6, 2007

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Four-fifths vote

TO:

Honorable Board of Supervisors

FROM:

Charlene A. Silva, Director, Health Department

Brian J. Zamora, Director, Public Health and Environmental Protection Division

SUBJECT:

Environmental Health Program Fees for 2008 through 2011: Amendment to sections of the San Mateo County Ordinance Code, Approval of an Appropriation Transfer Request (ATR)

RECOMMENDATION:

A.

Adopt an Ordinance repealing and replacing sections of San Mateo County Ordinance Code, Title 5, which include Environmental Health Program fees for 2008 through 2011; and

B.

Approve an Appropriation Transfer Request (ATR), recognizing unanticipated revenue in Licensing, Permits, and Franchises ($72,697) and Charges for Services ($98,652) and increasing appropriations in Other Charges ($171,349).

VISION ALIGNMENT:

Commitment: Ensure basic health and safety for all.

Goal 7: Maintain and enhance the public safety of all residents and visitors.

The fee increases contribute to this commitment and goal by assuring that those who use Environmental Health services pay the cost of providing those services. Programs that provide services that benefit the entire community are partially subsidized by taxes and grant funding.

Performance Measures:

Measure

FY 2006-07
Actual

FY 2007-08
Target

Number of permitted facilities regulated

17,763

17,800

Percentage of permitted facilities receiving an annual inspection

87%

92%

BACKGROUND:

Section 510 of the California Health and Safety Code permits recovery of costs incurred in enforcing county ordinances and state laws. Environmental Health fees are established by ordinance of the Board of Supervisors and are effective for both cities and unincorporated areas of the County.

In 2003 your Board approved a four-year fee package. The existing fees sunset on December 31, 2007.

DISCUSSION:

Environmental Health provides unique public health services, community and business education, and regulatory oversight through the technical expertise and consultation of professional staff. Environmental Health relies on revenue from permits, fees for service, and grants to offset the majority of program costs.

Environmental Health conducted a survey of other counties of similar size and location. A comparison of the proposed San Mateo County fees with other Bay Area counties reveals that the proposed fees are generally less than the Bay Area average. The table below provides examples of proposed fee increases compared to the average existing fees in Bay Area counties.

Fee

Category

San Mateo (Current)

Percent Increase

San Mateo (Proposed 2008)

Santa Clara (Current)

Alameda (Current)

Contra Costa (Current)

Bay Area Average

Market < 2000 sq ft

369

20%

443

723

504

470

566

Market 2001-6000 sq ft

671

20%

805

1044

751

765

853

Restaurant <10 seats

431

20%

517

723

513

503

580

Restaurant 101-150 seats

1002

20%

1202

1321

1237

765

1108

Stores HazMat <1,199 gals

408

20%

490

542

653

489

561

Underground Tank 1st Tank

532

10%

585

929

578

548

685

Med Waste - Lrg Generator

674

40%

944

977

957

1213

1049

Med Waste - Dental Office

270

40%

378

390

302

387

360

First Pool/Spa

352

10%

387

514

619

604

579

Additional Pool/spa

178

10%

196

514

619

174

436

State Small Water System

250

100%

500

558

200

422

393

Hourly Rate

110

27%

140

138

121

158

139

The proposed fees were reviewed with staff in the County Manager’s Office, and the fee ordinance was reviewed by County Counsel.

The proposed Ordinance establishes fee increases in two phases: (1) an increase effective January 1, 2008, to better align program fees to program expenses, and (2) annual fee increases of 3% effective January 1, 2009, 3% effective January 2010, and 3% effective January 2011, to offset anticipated cost-of-living adjustments.

This proposed four-year fee package recovers the costs of increases in staff salaries and benefits and program delivery costs, including information technology, equipment, and office space. The proposed fee schedule includes several new categories and adjustments in the Medical Waste and Groundwater Protection Programs and eliminates two fee categories in the Hazardous Materials Program.

Food Program

Environmental Health staff members inspect approximately 3,500 restaurants, retail markets, and other food facilities in 20 cities and the unincorporated County to ensure that safe and wholesome food is available to the public. Food establishments with major repeat violations are published on the Internet on a weekly basis. In 2001 online food inspection information was made available to the public for all food facilities. To improve data accuracy, provide online data, and improve inspection efficiency, staff began using handheld inspection tablets in 2007.

The recommended changes to the Food Program fees include a 20% increase effective January 1, 2008, and subsequent increases of 3% annually, effective January 1, 2009, January 1, 2010, and January 2011.

The following examples illustrate the impact of the Food Program fee increases:

Current Fee

Proposed fee as of 1/01/08
(20% increase)

Proposed fee as of 1/01/09

(3% increase)

Proposed fee as of 1/01/10

(3% increase)

Proposed fee as of 1/01/11

(3% increase)

Safeway

1,303

1,564

1,611

1,659

1,709

Safeway with Starbucks & China Express

1,704

2,045

2,107

2,170

2,235

Fresh Choice

1,303

1,564

1,611

1,659

1,709

Ice Cream cart

226

271

279

288

296

Land Use and Public Pool Programs

The Health and Safety Code requires an annual inspection of over 1,000 public swimming pools and spas, beach (ocean and bay) sampling, and water supply systems. Staff members from the Land Use Programs ensure residents in the County have quality drinking water and proper disposal of waste products so that the public health and the environment are not endangered.

Although the recommended fee increase for Public Swimming Pools is below the Bay Area average, the associated revenue will fully support program costs.

The fees for the Small Water Systems have remained flat for ten years at a level originally prescribed by the State. Additional unfunded mandates, such as the Lead and Copper Rules, Surface Water Treatment, and Source Assessments have resulted in increased staff time per inspection. In addition, the State terminated a $12,000 annual grant from the State Drinking Water Augmentation Fund. A review of fee categories for the Groundwater Protection Program resulted in the elimination of unused excavation fees.

The recommended changes to the Land Use and Public Pool Program fees are a 100% increase in Small Water System fees and a 10% increase in fees for Land Use and Public Swimming Pools effective January 1, 2008, and subsequent increases of 3% annually, effective January 1, 2009, January 1, 2010, and January 2011.

The following examples illustrate the impact of the Land Use and Public Pool Program fee increases:

Current

Fee

Proposed fee as of 1/01/08

Proposed fee as of 1/01/09

(3% increase)

Proposed fee as of 1/01/10

(3% increase)

Proposed fee as of 1/01/11

(3% increase)

Community Water System (15-24 Connections)

250

500*

515

530

546

Community Water System (100+ Connections)

500

1,000*

1,030

1,061

1,093

Public Pool and spa

530

583**

601

619

637

Plan Check
(pool & spa)

1,678

1,846**

1,902

1,958

2,017

Percolation Test

1,401

1,541**

1,587

1,635

1,684

Site Investigation

770

847**

872

899

926

Well Permit

1,050

1,155**

1,190

1,225

1,262

* Fee Increase is 100% as of 01/01/08

** Fee Increase is 10% as of 01/01/08

Solid and Medical Waste Programs

The Solid Waste Program is mandated by California Code of Regulations, Title 14, Chapter 5, Articles 2.1 and 2.2, and is responsible for permitting, inspection, and enforcement of active and inactive solid waste facilities. Staff members in the Solid Waste Program conduct monthly inspections of landfills and garbage transfer stations, provide oversight of closed landfills, and permit post-closure development. In addition, staff members investigate approximately 400 complaints annually concerning animal nuisances, garbage, and illegal dumping.

The Medical Waste Program oversees facilities which generate medical waste, including body art establishments, to ensure protection of public health and safety through proper handling, storage, transfer, treatment, and disposal of infectious waste. New categories in the Medical Waste Program include “Small Quantity Generator- Dental facility (1-199 lb/mo)” and “Small Quantity Generator, member of common storage building (1-199 lb/mo).” These new categories are established to enable staff to track time spent in various types of facilities and adjust future fees.

The recommended changes to the Solid and Medical Waste Program fees are a 20% increase in Solid Waste fees and a 40% increase in Medical Waste fees effective January 1, 2008, and subsequent increases of 3% annually, effective January 1, 2009, January 1, 2010, and January 2011.

The following examples illustrate the impact of the Solid and Medical Waste Program fee increases:

Current Fee

Proposed fee as of 1/01/08

Proposed fee as of 1/01/09

(3% increase)

Proposed fee as of 1/01/10

(3% increase)

Proposed fee as of 1/01/11

(3% increase)

Post Closure building Annual Inspection Fee >5001 sq ft

781

937*

965

994

1,024

On-site treatment of Medical Waste Large Quantity Generator

674

944**

972

1,001

1,031

Body Art Annual Permit Fee

135

189**

195

201

207

* Fee Increase is 20% as of 01/01/08

** Fee Increase is 40% as of 01/01/08

Housing Program

Housing Program staff members inspect approximately 900 apartment houses, trailer parks, labor camps, hotels/motels, and employee housing facilities each year. In addition, staff members respond to public nuisance complaints including poor housing conditions in single-family dwellings, garbage and refuse accumulations, sewage spills, and other conditions that may threaten the public’s health.

The recommended changes to the Housing Program fees are a 10% increase effective January 1, 2008, with subsequent increases of 3% annually, effective January 1, 2009, January 1, 2010, and January 2011.

The following examples illustrate the impact of the Housing Program fee increases:

Current

Fee

Proposed fee as of 1/01/08

(10%increase)

Proposed fee as of 1/01/09

(3% increase)

Proposed fee as of 1/01/10

(3% increase)

Proposed fee as of 1/01/11

(3% increase)

Apartment House

(4 units)

114

126

129

133

137

Best Western Inn

750

825

850

875

901

Hazardous Materials Program

In 1997 the State designated Environmental Health as the Certified Unified Program Authority (CUPA) for San Mateo County. This designation provides for streamlined implementation of hazardous materials regulations on a Countywide basis. Environmental Health staff conduct approximately 3,000 hazardous materials storage and hazardous waste generator inspections each year, provide oversight of over 1,000 underground fuel tanks Countywide, conduct annual storm water (illicit discharge) inspections within the unincorporated areas and some cities, and inspect facilities for proper handling and disposal of waste tires. Two hazardous waste generator fee categories were eliminated. These fee categories are no longer needed as there are no facilities within the County that generate the quantity of waste.

The recommended changes to the Hazardous Materials Program fees are a 20% increase in Hazardous Materials Business Plan and Generator fees and a 10% increase in Underground Tank fees effective January 1, 2008, and subsequent increases of 3% annually, effective January 1, 2009, January 1, 2010, and January 2011.

The following examples illustrate the impact of the Hazardous Materials Program fee increases:

Current Fee

Proposed fee as of 1/01/08

Proposed fee as of 1/01/09

(3% increase)

Proposed fee as of 1/01/10

(3% increase)

Proposed fee as of 1/01/11

(3% increase)

Gas Station with 2 tanks

953

1,074

1,106

1,139

1,172

Jiffy Lube

1,170

1,404

1,446

1,490

1,534

Public Notification

Environmental Health staff have notified the Tri-County Apartment Association, the California Restaurant Association, the Grocers Association, the Peninsula Industrial Business Association (PIBA), the Harbor Industrial Association, the Industrial Emergency Council, and the Real Estate Association regarding these proposed fee increases. In addition, all public notification requirements have been met.

FISCAL IMPACT

The proposed fee ordinance takes effect thirty (30) days after adoption. During preparation of the Environmental Health FY 2007-08 Budget, a cost-of-living increase in fees was anticipated and included in the budget. The balance of the increase in revenues ($171,349) is included in the Appropriation Transfer Request (ATR) and will be set aside to meet costs associated with relocating Environmental Health. There will be no change in Net County Cost as a result of this action.