DATE: September 22, 2026
TO: Board of Supervisors
SUBMITTED BY: Daniel Lynch, Interim Director of General Services
SUBJECT: First Hearing to Amend the Master Schedule of Fees, Charges and Recovered Costs, Section 3800 - General Services
RECOMMENDED ACTION(S):
TITLE
1. Conduct first hearing to amend the Master Schedule of Fees, Charges, and Recovered Costs, Section 3800 - General Services, where Subsection 3803(a) - Fuel Tank Inspection Rate is to be amended; waive reading of the proposed Ordinance in its entirety, and set the second hearing for October 6, 2026;
2. Designate County Counsel to prepare a fair and adequate summary of the proposed Ordinance; and
3. Direct the Clerk of the Board to post and publish the required summary in accordance with Government Code, Section 25124(b)(1).
REPORT
There is no additional Net County Cost associated with the recommended actions. Approval of the recommended actions will amend the Master Schedule of Fees, Charges, and Recovered Costs (MSF) Ordinance, Section 3800 - General Services, based on anticipated General Services Department (GSD) - Fleet Services costs for FY 2026-27. The proposed 56% rate decrease for Subsection 3803(a) - Fuel Tank Inspection Rate is a result of a one-time cost recovery amount added last fiscal year, which is no longer necessary. This item is countywide.
ALTERNATIVE ACTION(S):
Your Board may direct staff not to change the rate; however, this will likely result in excess collections, requiring customer refunds.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended actions. Amending the rate charged to public agencies will result in the collection of a portion of the revenues needed to operate Internal Service Fund 1000, Subclass 10000, Fleet Services, Org 8910.
DISCUSSION:
As an Internal Service Fund, GSD must recover all operating expenses by charging user departments and public agencies for services ordered and rendered. The last update to MSF Ordinance Section 3800 was approved by your Board on October 21, 2025.
If approved by your Board, the recommended amendment to the MSF would update Subsection 3803(a) - Fuel Tank Inspection Rate from $0.62 to $0.27. The Fuel Tank Inspection Rate is passed onto public agencies that utilize the County’s fuel stations and recovers costs related to the fuel program administered by GSD-Fleet Services. The primary reason for the rate change is the removal of a one-time cost recovery associated with the purchase of fuel inventory needed to fill the County’s storage tanks. Removing this amount lowers the rate, while all other eligible program costs remain unchanged and continue to be recovered through the Fuel Tank Inspection Rate. The remaining MSF Section 3800 rates were reviewed and determined to remain applicable by GSD and the Auditor-Controller/Treasurer-Tax Collector, and no updates to those rates are necessary at this time.
Attachment A illustrates a comparison between the current and proposed rate. The rate has been reviewed and approved by the Auditor-Controller/Treasurer-Tax Collector. GSD has been given recommended instructions to ensure continued accuracy, including conducting a mid-year review of expenditures and making rate adjustments as needed to address material variances.
If the recommended actions are approved by your Board, the second hearing will be scheduled for October 6, 2026. If your Board adopts the recommended MSF rates at the second hearing, the change would take effect after 30 days.
ATTACHMENTS INCLUDED AND/OR ON FILE:
Ordinance
Attachment A
On file with Clerk - Summary of Ordinance
CAO ANALYST:
Amy Ryals