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HomeMy WebLinkAboutI1 Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Anna Rosenberry, Finance Director Chris Kukulski, City Manager SUBJECT: Commission Resolution No. 3916 – Amending the Cemetery Fees Charged for the Sunset Hills Cemetery. MEETING DATE: May 15, 2006 BACKGROUND: The last time fees for the Sunset Hills Cemetery were increased was April 2003. To date, approximately $70,000 is generated annually from lot sales, grave permits, and other related fees, which is deposited to the General Fund. Approximately $4,000 is generated that is deposited to the Cemetery Perpetual Care fund. Since April 2003, cemetery operating costs have moved from $346,000 (FY03) to $399,000 (FY06) – an increase of 15% over a four year period. When comparing the City’s cemetery fees with those of other City owned cemeteries around the state (Lewistown, Missoula, Billings), we found that Bozeman’s fees were significantly lower than those charged in other communities. The proposed fee schedule puts us in line with these other city cemeteries. Under the proposed fee schedule, revenues of $96,000 are estimated for the fiscal year. This represents a 37% increase over current fees. One of our funding goals for FY07 was to raise cemetery fees to the level equal to 50% of annual cemetery costs. Currently, fees cover 17% of the annual cemetery costs. The proposed fees equate to approximately 23% of cemetery operating costs. (When Perpetual Care Interest income is added, those percentages are 18% and 28% respectively.) In order to meet the funding goal, the proposed fee amounts would need to be doubled – with lots costing in excess of $1,050 and opening fees of $800-1,150. We are uncertain what effect those prices would have on demand for Sunset Hills burials and the affordability of cemetery service for our citizens. We have proposed a more moderate approach that is based on other cemetery fees in the state. Cemetery Board: The Cemetery Board was considering a modest 6-8% increase in the existing fee schedule for the coming year. However, with our funding goal in mind, staff proposed the new rate schedule to the Cemetery Board. On May 4, 2006, the Board approved staff’s proposed rate schedule as outlined in the attached resolution. RECOMMENDATION: Adopt Commission Resolution No. 3916 – Amending the Cemetery Fees Charged for the Sunset Hills Cemetery. FISCAL EFFECTS: Under the proposed fee schedule, related revenues of $96,000 are estimated for the fiscal year. ALTERNATIVES: As suggested by the City Commission. Respectfully submitted, _________________________________ ____________________________ Anna Rosenberry, Finance Director Chris A. Kukulski, City Manager Report compiled on May 9, 2006 COMMISSION RESOLUTION NO. 3916 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, AMENDING THE CEMETERY FEES CHARGED FOR THE SUNSET HILLS CEMETERY. WHEREAS, the City Commission did, on the 7th day of April 1986, adopt Ordinance No. 1200, establishing the Cemetery Board, which is an advisory board to the Bozeman City Commission; and WHEREAS, the Cemetery Board was created for the purpose of assisting the Commission in the operation of the Sunset Hills Cemetery by making investigations and giving recommendations; and WHEREAS, the City Commission did, on the 15th day of November 1999 adopt Commission Resolution No. 3335, establishing the fees recommended by the Cemetery Board for the sale of niches in the columbarium; and WHEREAS, the City Commission did, on the 20th day of March 2000, adopt Commission Resolution No. 3351, establishing the fees recommended by the Cemetery Board; and WHEREAS, the City Commission did, on the 28th day of April 2003, adopt Commission Resolution No. 3590, establishing the fees recommended by the Cemetery Board; and WHEREAS, at its meeting held on the 4th day of May 2006, the Cemetery Board did vote to recommend that specified fees, as proposed by staff, for maintenance and opening and closing of lots be increased. NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of Bozeman, Montana: Section 1 That the following schedule of fees shall be effective for the sale of cemetery lots and other cemetery activities, as of July 1, 2006. Description Fee Deed & Current Maintenance Fees (General Fund – 010) Regular lot $482.00 Ashes lot 315.00 Infant lot 54.00 Columbarium 428.00 Second Urn 135.00 Perpetual Care Maintenance (Permanent Fund – 800) Regular lot $53.00 Ashes lot 35.00 Infant lot 6.00 Wooden box 25.00 Columbarium 47.00 Second Urn 15.00 Opening and closing Regular lot Weekdays $400.00 Saturdays, Sundays, evenings and holidays $575.00 Ashes lot Weekdays $200.00 Saturdays, Sundays, evenings and holidays $285.00 Infant lots Weekdays $80.00 Saturdays, Sundays, evenings and holidays $115.00 County and MSU Weekdays $200.00 Saturdays, Sundays, evenings and holidays $285.00 Columbarium Weekdays $100.00 Saturdays, Sundays, evenings and holidays $150.00 Miscellaneous Fees Disinterment Triple opening and closing fee Reinterment Triple opening and closing fee Extra depth burial Double opening and closing fee Monument setting permit $15.00 Monument setting permit for veteran No Fee Administrative fee for reconveyance to City $25.00 Lowering device rental $30.00 Disinterment/reinterment within one week of original interment $350.00 County interment for infants or ashes $50.00 Payment in lieu of vault $350.00 Section 2 Pursuant to Section 2.76.050 of the Bozeman Municipal Code, the Director of Finance, or his designee, shall receive and have custody of all cemetery monies. PASSED AND ADOPTED by the City Commission of the City of Bozeman, Montana, at a regular session thereof held on the 15th day of May 2006. _____________________________________ JEFFERY K. KRAUSS, Mayor ATTEST: _____________________________________ DEVIN HARBOUR Acting Clerk of the Commission APPROVED AS TO FORM: ___________________________________ - 3 - PAUL J. LUWE City Attorney - 4 -