Council Directs Staff to Study Possible Revisions to City Operations Fee
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Summary
Council voted to direct staff to prepare options for redesigning the city operations fee to make it fairer and more proportional using upgraded billing software; staff will present options during the FY27 budget process.
Councilor Teigen moved Dec. 8 to direct staff to prepare information and options for updating the city operations fee. The motion, seconded by Vice Chair Gwynn, passed by roll call.
Teigen framed the request as a long-overdue opportunity to redesign the fee structure, saying the city's older utility-billing software historically limited the fee to three tiers (single-family, multifamily, commercial) and that upgraded software can recognize more customer classes. "This allows us to design a fee structure that is fairer and more proportional to the actual use of city services," Teigen said.
Council discussion emphasized the need for clarity about what any new revenue would be used for and for a work session to evaluate options and impacts. Councilor Nishioka and others urged staff to schedule a work session and said the finance department will provide data for the Fiscal Year 2027 budget deliberations.
Staff did not present specific fee schedules or revenue projections at the meeting; the motion directs city staff to bring options and analysis back to the council and Budget Committee for consideration.
