Chapter 3.25
PUBLIC SAFETY FEE

Sections:

3.25.010    Short title.

3.25.020    Purpose.

3.25.030    Definitions.

3.25.040    Establishment and revision of public safety fee.

3.25.050    Imposition of public safety fee.

3.25.060    Dedication and use of funds.

3.25.070    Billing and collection of public safety fee.

3.25.080    Exemptions.

3.25.090    Appeal process.

3.25.100    Enforcement.

3.25.010 Short title.

The provisions of this chapter shall be known and may be cited as the "City of Phoenix Public Safety Utility Fee Ordinance."

(Ord. 1004 § 1 (part), 2019)

3.25.020 Purpose.

A.    The principal purpose of this public safety fee is to help provide funding to safeguard the health, safety, and welfare of the citizens, businesses, and visitors of the city of Phoenix. The city of Phoenix finds that providing funding for public safety helps accomplish a variety of important economic and social benefits to the community, including, but not limited to:

1.    Prevention, detection, and prosecution of crime.

2.    Response to natural disasters and injuries.

3.    Protection of people and property.

4.    Enhancement of property value.

5.    Safety and efficiency of community services.

6.    Promotion of business and industry.

7.    Promotion of community spirit and development.

8.    General community pride and well-being.

B.    It is the intent of this public safety fee to provide a funding mechanism to help pay for the benefits conferred on city residents and businesses by the city’s provision of adequate public safety.

C.    The structure of this public safety fee is intended to be a fee for service within the city limits; however, it is not intended to provide full funding for the city’s police department. Additional funding will be allocated by the city council from other nondedicated city funds to fully operate the police department.

(Ord. 1004 § 1 (part), 2019)

3.25.030 Definitions.

As used within this chapter, the words and phrases below have the following definitions and meanings:

Accessory Dwelling Unit (ADU). An accessory dwelling unit on a single-family parcel shall be considered as a separate residential unit for purposes of assessment of this fee.

"Apartment house" means any building, or portion thereof, which contains three or more individual dwelling units, regardless of the ownership arrangement. In determining the number of units to be assessed the fee, an eighty percent rate of occupancy shall be used in the calculation. (Total units in complex times eighty percent equals number of units assessed fee. Billable units shall be based on whole numbers; therefore, rounding up or down shall occur to achieve a whole number.)

"Developed property" means a parcel or portion of real property on which an improvement exists. Improvements on developed property include, but are not limited to, buildings, parking lots, utilities infrastructure, and outside storage.

"Duplex" means a two-family dwelling. In determining the number of units to be assessed the fee, an eighty percent rate of occupancy shall be used in the calculation. (Total two units times eighty percent equals number of units assessed fee. Billable units shall be based on whole numbers only.)

"Hotel/motel" means a part of a structure that is occupied or designed for occupancy by transients for lodging or sleeping, including a hotel, inn, tourist home or house, a bed and breakfast, motel or hotel studio, bachelor hotel, lodging house, rooming house, dormitory, public or private club (that provides lodging), and trailer or recreational vehicles providing transient housing.

"Mobile home park" means any lot on which two or more mobile homes are located and being used for residential purposes, other than as an approved guest house, and where the primary purpose of the property owner is to rent or lease the spaces and related or necessary facilities to the owners or occupants of the mobile homes, or to offer same in exchange for trade of services. Each space within the mobile home park is determined to represent a unit for assessment of the fee.

"Multiple-family" means a building, or portion thereof, designed or used as a residence by two or more families or individual households, and containing two or more dwelling units. In determining the number of units to be assessed the fee, an eighty percent rate of occupancy shall be used in the calculation. (Total units in complex times eighty percent equals number of units assessed fee. Billable units shall be based on whole numbers; therefore, rounding up or down shall occur to achieve a whole number.)

"Multiple-family complex" means a group of two or more detached buildings used for residential purposes and located on a single tax lot with yard areas shared as common areas for all dwelling group occupants.

"Nonresidential unit" means a use of property such as a business or commercial enterprise that is primarily not for personal, domestic accommodations. A nonresidential structure that provides facilities for one or more businesses shall have each distinct business occupation considered as a separate nonresidential unit. The conducting of a business or businesses at two or more locations shall, for the purposes of this chapter, be deemed to be separate businesses and each thereof shall be subject to the fee provided for in this chapter. If two or more differently classified but otherwise related businesses are carried on in the same premises by the same owners, then the business shall be considered one nonresidential unit; provided, however, any business activity leased under concession to or owned, wholly or in part, by a different person or persons on the same premises shall be considered a separate nonresidential unit. In determining whether different activities on the same premises are related to the primary use within the meaning of this section, normal and ordinary customs and usages of businesses of like nature shall be considered.

In addition to a single unit charge per business, an additional fee shall be required based on the number of employees as reported in their business license registration. Each increment of ten employees shall constitute one additional unit for the assessment of the fee, with no limit on the number of units. A part-time employee shall be considered a full-time employee for purposes of the calculation of the number of employees hereunder. Business license registration shall be reviewed annually in May to determine if there have been any changes to the number of employees. Adjustments shall be made as required to comply with this chapter.

"Person" means a natural person; unincorporated association; tenancy in common; partnership; corporation; limited liability company; cooperative; trust; any governmental agency, including the state of Oregon but excluding the city of Phoenix; and any other entity in law or in fact.

"Recreational vehicle park" or "campground" means an area designated to accommodate recreational vehicles and/or tent campers and provide related and needed facilities and services. The fee assessed for such facilities shall be based on the number of spaces established for this purpose with each space equaling a unit for purposes of assessment of the fee.

"Residential unit" means a residential structure that provides complete living facilities for one or more persons, including, but not limited to, permanent provisions for living, sleeping, and sanitation. A home occupation business in a residential zone will be regarded only as a residential unit, not as a nonresidential unit. An accessory dwelling unit on a single-family parcel shall be considered a separate residential unit. Multifamily residential property consisting of two or more dwelling units, condominium units, or individual mobile home units shall have each unit considered as a separate residential unit.

Responsible Party. The person owing the public safety fee is considered to be the responsible party. Two or more persons may be jointly and severally liable for payment of this fee.

Transient Lodging. See "Hotel/motel" definition.

(Ord. 1004 § 1 (part), 2019)

3.25.040 Establishment and revision of public safety fee.

The city council hereby establishes a public safety fee to be paid by the responsible party for each developed property within the corporate limits of the city. Such fee shall not be imposed in amounts greater than that which is necessary, in the judgment of the city council, to provide sufficient funds for public safety. Collection of the fee for each property shall be made by a monthly charge which shall commence on the first day of July 2019. The city council may, from time to time, by resolution, change the fee based upon revised estimates of the costs, or other factors identified in the chapter.

(Ord. 1004 § 1 (part), 2019)

3.25.050 Imposition of public safety fee.

A.    There is hereby created a public safety fee to accomplish the purposes described in this chapter.

B.    There is hereby imposed upon the responsible party for each developed property in the city limits a public fee of up to three dollars per unit per month (as set by the city) for each residential and nonresidential unit existing on that property. This actual fee established shall help to maintain existing levels of service provided by the Phoenix police department. Billing shall be as a line item on the city’s utility bill unless otherwise specified below.

C.    Except as the fees may be reduced or eliminated under Sections 3.25.080 and 3.25.090, the obligation to pay a public safety fee arises when a responsible party uses or otherwise benefits from the police department located in Phoenix. It is presumed that all city residents and nonresidential uses benefit from the services provided by the police or that a benefit otherwise arises whenever the subject real property is a developed property.

D.    Although this chapter refers to "units" as a basis for calculating a public safety fee, the fees are not imposed on a property or on any portion thereof. The units are merely the measurement for determining the fee. The fee does not in any way create an in rem obligation in respect of property. The obligation to pay the fee is a personal obligation of the responsible party.

(Ord. 1004 § 1 (part), 2019)

3.25.060 Dedication and use of funds.

The fee paid and collected by virtue of this chapter shall not be used for any general or other governmental or proprietary purposes of the city except to pay for the equitable share of the cost of accounting, management and government that is attributable to the fund, which shall not exceed five percent of the gross revenues of the fund during any fiscal year. The city council may adopt more restrictive uses of fee funds by resolution or by ordinance, but may not broaden the use of fee funds to include general or other governmental or proprietary purposes of the city.

(Ord. 1004 § 1 (part), 2019)

3.25.070 Billing and collection of public safety fee.

A.    Public safety fees shall be collected monthly. Statements for the fee shall be included as an additional item on the city monthly water utility billing wherever feasible, unless otherwise specified below.

B.    Unless another person responsible has properly agreed in writing to pay, and a copy of that writing is properly filed with the city, the person(s) normally responsible for paying the city’s water utility charges is responsible for paying the public safety fee.

C.    In the event a developed property is not served by a domestic water meter, or if water service is discontinued, the persons having the right to occupy the property shall pay the public safety fee.

D.    The connection of a water meter or issuance of a building permit for a change of use will automatically initiate appropriate billing to the responsible party for fees under the public safety fee. There shall otherwise be no charge for persons who have the right to occupy an undeveloped property until such time as a structure is built and a water meter is connected on that property.

E.    The imposition of fees shall be calculated on the basis of the number of residential or nonresidential units supported, without regard to the number of water meters serving that property.

F.    At those times that a property is not occupied, no fee shall be assessed.

G.    When a tenant or property owner moves out mid-month, the public safety fee shall be prorated based on the days of occupancy.

H.    The obligation to pay the public safety fee is personal to the responsible party. The city of Phoenix will not assess a subsequent owner of a property for uncollected amounts due from a previous owner (or responsible party under a lease or rental agreement), and will not withhold utility services to a subsequent owner.

(Ord. 1004 § 1 (part), 2019)

3.25.080 Exemptions.

A.    The only exemption to collection of the fee under this chapter shall be schools and water accounts where there are no structures (i.e., irrigation uses only). All other uses not defined above shall be subject to the fee.

B.    The city council may, by ordinance, exempt any additional class of users when it determines that the public interest deems it necessary or that the contribution to the police department use by such class is insignificant.

(Ord. 1004 § 1 (part), 2019)

3.25.090 Appeal process.

A.    A public safety fee may be appealed for change or relief in accordance with the following criteria:

1.    Classification of Property. Any responsible party who disputes any interpretation given by the city as to property classification may appeal such interpretation. If the appeal is successful, appropriate relief will be granted. In such instances, reimbursement will be given for any overpayment, retroactive to the filing date of the appeal. Factors to be taken into consideration include, but are not limited to, availability of more accurate information; equity relative to billing classifications assigned to other developments of a similar nature; changed circumstances; and situations uniquely affecting the party filing the appeal.

2.    Financial Hardship. Any responsible party may claim a financial hardship. The city will determine financial hardship based on established guidelines. Any relief will be secondary to all other financial resources available to the responsible party. To be presumptively eligible for relief, the responsible party’s total family assets must not exceed fifteen thousand dollars, and the responsible party’s gross family income must not be more than the federal poverty level. The city may request verification of income, including, but not necessarily limited to, W-2 employment wage forms, payroll stubs, and tax returns. The city may also request verification of assets, including, but not limited to, bank statements, mortgage statements, and other information useful to the city, to determine net assets.

B.    An application for appeal shall state the reason(s) for appeal, and must include supporting documentation to justify the requested change or relief. An application will not be deemed complete until all information requested by the city has been provided.

C.    The city manager shall be responsible for evaluating appeals.

D.    The city manager will make all reasonable attempts to resolve appeals utilizing available existing information, including supporting documentation filed with the appeal, within thirty days of the date the appeal was filed. If, however, more detailed site-specific information is necessary, the city manager may request that the applicant provide additional information.

E.    In any event, the city manager will render a decision within ninety days of the date the appeal was filed, explaining the disposition of the appeal, along with the rationale and supporting documentation for the decision reached.

F.    Decisions of the city manager may be appealed to the city council, and shall be heard at a public meeting. Upon such appeal, the city council shall at its first regular meeting thereafter set a hearing date. The matter shall be heard solely upon the record. In no event shall a final decision be made later than ninety days after the matter was formally appealed to the city council.

G.    Appeals filed within one hundred twenty days of the effective date of the ordinance codified in this chapter shall not be subject to a filing fee. For new residents, the payment of a filing fee for an appeal will begin one hundred twenty days after establishing a water service account. A fee for an appeal shall be fifty dollars. Should the appellant adequately justify and secure the requested change or relief, no fee will be assessed. If a decision is not in favor of the appellant, a fee for an appeal shall be assessed and may be added to the utility bill.

(Ord. 1004 § 1 (part), 2019)

3.25.100 Enforcement.

A.    In addition to other lawful enforcement procedures, the city may enforce the collection of charges required by this chapter by withholding delivery of water to any premises where public safety fees are delinquent or unpaid.

B.    Notwithstanding any provision herein to the contrary, the city may institute any necessary legal proceedings to enforce the provisions of this chapter, including, but not limited to, injunctive relief and collection of charges owing. The city’s enforcement rights shall be cumulative.

(Ord. 1004 § 1 (part), 2019)