A fire protection fee charged for new development might drop dramatically, as it is being recalculated by Hermosa Beach city officials.
Fire Chief David Lantzer told the City Council that the “fire flow fee” could drop from $10,000 to $2,300 for a 20,000 square-foot commercial building, from $2,500 to $575 for a 5,000 square-foot commercial building, and from $1,300 to $236 for a single-family home.
“I’m sorry, did you say lowering fees?” City Councilman Michael DiVirgilio asked in emphasis.
Lantzer said some details are being worked out, such as whether the residential fees should be charged on a flat rate or based on the size of the home.
A private consultant told the council that the fee rate had not been recalculated in 20 years. Now, he said, the fee can be reduced because the potential is smaller for development “build-out” in the city, and the fire department is no longer considering adding new facilities.
The Hermosa Beach City Council will schedule a public hearing before any change in the fees.
“In order to avoid such large fluctuations in the future, it is recommended the city conduct a study of the fire flow fee every three to five years,” Lantzer wrote in a report to the council.