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<br />e Boles added that the criteria for judging the quality of the applicant's plan <br /> and their product will not change under this proposal. <br /> With regard to the modification requiring loan recipients to use affirmative <br /> hiring practices, Mr. Bennett argued that business persons who qualify for <br /> these loans are already sensitive to issues of affirmative hiring. He <br /> emphasized that letting these businesses select their own employees will be <br /> an important key to their success. Mr. Boles stressed that the affirmative <br /> hiring requirement will apply to all loan recipients in the BDF, not just to <br /> those who are found to face extraordinary credit barriers. <br /> II. AUTHORITY TO SET LAND USE FEES--CODE REVISION <br /> Tony Mounts, Finance Division, gave the staff report. He said that in August <br /> 1987, council adopted Ordinance No. 19494 amending Section 2.020 of the City <br /> Code delegating to the City Manager the authority to set certain fees. At <br /> the time of adoption it was known that numerous sections of the code would <br /> need to be amended to conform with the intent of the ordinance. It was <br /> agreed that sections of the code would be amended as fees were updated. Mr. <br /> Mounts said the Planning and Development Department has updated its fees and <br /> would like to use the administrative procedure to complete their adjustment. <br /> Sections of the code dealing with the setting of land use application fees <br /> need to be changed. <br /> Mr. Holmer asked whether staff salaries had really increased by 17 percent <br />e over the past three fiscal'years. Assistant City Manager Dave Whitlow said <br /> annual merit raises for City employees accounts for some of the increase, as <br /> does the cost of living adjustment in wages. He assured councilors that the <br /> base pay of these employees has not increased by 17 percent over the past <br /> three years. Ms. Ehrman suggested that this statement be either deleted or <br /> explained. <br /> Mr. Holmer asked whether the City's fee level acts as a deterrent to economic <br /> development in the area. Abe Farkas, Director of Planning and Development <br /> Department, said the fees have not been a deterrent to economic development. <br /> He noted that while the City's fees may be higher than some other <br /> jurisdictions, the City's staff is more responsive to the needs of the <br /> developer. <br /> Mr. Boles asked how much the City is recovering of the actual costs of <br /> processing land use applications. Hillary Kittleson, Department of Planning <br /> and Development, said that by council policy, the City recovers approximately <br /> 21 percent of its costs. She said the proposed fee increases maintain this <br /> level of recovery. Mr. Whitlow added that the council can choose to change <br /> this level of fee recovery. <br /> Mr. Bennett thought that the City's fees should be based on a policy of <br /> recovering no less than 20 percent, but more than this when the market would <br /> permit a higher recovery rate. Mr. Boles agreed. <br />e MINUTES--City Council-- June 26, 1989 Page 3 <br /> Dinner/Work Session <br />