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ITEM #9 CITY OF COLTON AGENDA REPORT FOR COUNCIL MEETING OF OCTOBER 20, 2009 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Captain Steve Ward, Colton Police Department SUBJECT: Resolution Establishing a Fee for the Registration and Maintenance of Abandoned and Distressed Properties Pursuant to Chapter 8.05 of the Colton Municipal Code DATE: October 13, 2009 BACKGROUND: On June 2, 2009, the City Council passed the second reading of Ordinance No. 0-04-09, which added Chapter 8.05 to the Colton Municipal Code. Chapter 8.05 — the "Abandoned and Distressed Property Ordinance" — established a program that requires owners of abandoned residential properties to: (1) register their properties with the Colton Police Department, (2) pay a registration fee each year, (3) hire a local property management company to inspect and maintain the property, and (4) provide security in order to prevent unauthorized persons from accessing the property. DISCUSSION/ANALYSIS : Regarding the yearly registration fee, Section 8.05.110 of Chapter 8.05 states that the fee will be set by resolution of the City Council. The City has the authority to impose fees under the police power granted by Article XI, Section 7 of the California Constitution. Such fees must be fair and equitable in nature may not exceed the estimated reasonable cost of providing the service for which the fee is charged. To this end, the Police Department has calculated the costs for administering the Abandoned and Distressed Property program as shown in the fee schedule attached to this report as Exhibit "A." The proposed registration fee is $150.00 and the re - registration fee is $75.00. The proposed fees will reimburse the City for staff time and materials used for processing registration applications, site inspections and administrative costs. In accordance with State law and case law, the proposed fees do not exceed the estimated reasonable cost for administering the Abandoned and Distressed Property program. FISCAL IMPACT: Adoption of the proposed Resolution will provide a beneficial fiscal impact to the City, because the proposed fee will provide a source of revenue to offset the City's costs in administering the program under Chapter 8.05 of the Colton Municipal Code.