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Springfield staff outline proposed fee increases; council asks staff to return full package for June public hearing
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Summary
City staff presented the annual master fees and charges review, proposing most fees rise using a labor-driven escalator (~4.5%) or a West Region CPI (2.7%). Staff said a 1% fee change equals about $69,000 citywide and projected roughly $190,000 in merchant credit-card fees next year; staff will return with a complete package and a June public hearing is scheduled.
City staff presented proposed changes to Springfield's master fees and charges and asked the council for guidance on how to proceed ahead of a public hearing scheduled for June. Jeff Paschal led the review and described the proposed approach and projected fiscal impacts.
Paschal told the council that fees were reviewed department by department and that most would be adjusted by one of two escalators: a primarily cost-driven labor factor (about 4.5 percent) and a West Region CPI figure of 2.7 percent. He said the city uses a master fee schedule for ease of public and staff use, and that "for every change in 1%, this is what you see as the impact in revenue" — later noting, "If we were to increase them by 1%, you'd see a 69,000 dollar increase." The presentation also flagged that merchant credit-card processing fees are rising: staff projected about $190,000 in merchant fees next year and discussed options to reduce the city's exposure to those costs.
During questions, councilors asked about year-to-year fluctuations in the CPI and labor-rate trends; staff cited staggered labor-contract renewals across four bargaining groups and pandemic-era inflation as drivers. Councilor Rodley pressed on ambulance transport billing and whether higher fees would be recouped. John Follett of Eugene Springfield Fire said reimbursement depends on insurance and programs such as FireMed and that "about 77%" of runs in FY25 involved Medicaid or Medicare billing, meaning raising transport fees alone would not fully recover the city's costs.
Staff described options to address merchant fees: reinstate a pre-COVID credit-card cap (past practice capped card transactions around $10,000), set a floor before charging a convenience fee, or expand online payment options to favor electronic checks. Paschal asked the council for consensus guidance; the council provided general support and head-nods for staff to return with a complete package for the June public hearing and the formal public hearing and any related ordinance or rate schedule will be presented at that time. No formal motion or council vote on the fee changes was recorded in the transcript.
Next steps: staff will bring the consolidated fee package to council in time for the June public hearing for formal consideration.
