You need revenue.
You need a plan.
You need to get your organization’s finances in order, but you don’t know where to start. Not only do you need to identify your costs, fees, and overhead, but you need to organize fee structures for on-going revenue and one-time fees.
Cost Allocation Plans & Fee Studies
Let us guide you through those first steps to identify where the costs lie and from where the revenue will flow. We will define alternatives, review various industry practices and local perspectives, and consider both strengths and opportunities in existing systems. We will help you put in place sustainable and defensible revenue streams through Federal or State grant reimbursements, inter-fund transfers, and comprehensive fee programs. We use this “financial road map” in our approach to every project.
Cost Allocation Plans
We provide analysis in the form of an Overhead Cost Allocation Plan, which distributes the general governmental and support services costs of the city to the direct municipal services and activities provided to the public. We prepare plans for California cities and counties that comply with federal regulations for purposes of audit and/or reimbursement, as well as plans intended for use as a budgetary tool for inter-fund cost recovery.
Cost of Service Analyses
Cost of Service Analyses identify the full cost of service eligible for recovery from fees and translate those costs into a fee structure for various programs and/or services. The full cost of service is derived for each service or activity from expenditure and organizational information and, in most cases, is first expressed as a fully-burdened hourly rate applicable to the time necessary to perform the service or activity.
Development Impact Fees
Development Impact Fees (DIF) are a one-time fee imposed to generate funds for the new or expanded infrastructure required because of development, whether commercial or residential. They are not to be used for ongoing operations and maintenance needs. We help local governments to identify the areas where such fees are needed, and develop the rigorous study to justify such fees.
User Fee Studies
A User Fee Study identifies the full costs of service eligible for recovery from fees and translates those costs into a fee structure for various programs and/or services. The full cost of service is derived for each service or activity for city expenditure and organizational information and, in most cases, is first expressed as a fully burdened hourly rate applicable to the time necessary to perform the service or activity. It is important to have a strong overall understanding of an agency’s cost structure before designing these fees, and then to have a dialogue about cost recovery policies for them. We guide public agencies through these processes with in-depth analysis and recommendations.
- San Francisco Municipal Transportation Agency
- Contra Costa County
- Los Angeles
- Sacramento Metropolitan Fire District