LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
ANALYSIS OF
BUSINESS LICENSE FEES
CITY OF MIDVALE
10 FEBRUARY 2016
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
EXECUTIVE SUMMARY
SUMMARY OF COMMERCIAL AND HOME OCCUPATION BUSINESSES
Midvale City requires commercial and home occupation businesses to be licensed. The following table shows the base cost for obtaining a renewal
and new business or home occupation license.
TABLE E.1: BASE COST FOR COMMERCIAL AND HOME OCCUPATION BUSINESSES
RENEWAL APPLICATIONS
Commercial & Home Occupation
NEW
APPLICATIONS
Commercial & Home Occupation
Solicitor
BASE
COST
$49
BASE
COST
$114
$90
The tables below illustrate the disproportionate regulatory costs related to commercial businesses. These costs are in addition to the base cost for
commercial renewals or new applications. There are no disproportionate regulatory costs for home occupation businesses.
TABLE E.2: COMMERCIAL REGULATORY DISPROPORTIONATE COSTS
DISPROPORTIONATE
TYPE
REGULATORY COST
RENEWAL
Address Change
Alcohol & Beer
Automobile Repair
Bars
Behavioral Health Care Provider
DISPROPORTIONATE
REGULATORY COST
NEW APPLICATION
$6
N/A
$35
$35
$103
$64
$55
$35
$66
$28
$215
$176
$85
$46
Escort Services (Business)
$777
$777
Escort Services (Employee)
$65
$65
Entertainment
$39
$0
Fireworks Vendor
NA
$28
Fireworks in Grocery Store
$38
$0
Big Box
Commercial Day Care
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
Full Service Grocery
$97
$58
Handyman
$12
$12
Hazardous Materials Permit
$97
$59
$127
$89
Manufacturing/Industrial
$97
$59
Massage Therapist
$35
$35
Nursing Homes & Assisted Living
$39
$0
Pawn Shops
$35
$35
Restaurants
$68
$29
Seasonal/Temporary
NA
$29
Taxi/Business
$52
$52
Taxi/Employee
$18
$18
Vending
$52
$52
Hotel/Extended Stay
Table E.3 summarizes the disproportionate police and fire service call cost for each commercial business class. Disproportionate service call costs are
in addition to the base and any regulatory costs.
TABLE E3: DISPROPORTIONATE COSTS BY COMMERCIAL BUSINESS CLASS
BUSINESS CLASS
Adult Activity Center
POLICE DISP. COST
W/O OUTLIERS
$548
FIRE DISP. COST
W/O OUTLIERS
$0
TOTAL COST
$548
Automobile
$308
$60
$368
Bar/Lounge
$11,451
$1,528
$12,979
Big Box
$34,369
$8,217
$42,586
$99
$0
$99
$701
$0
$701
$57
$80
$137
Convenience Stores w/o gas
$5,474
$2,315
$7,789
Convenience Stores w/gas
$3,271
$1,471
$4,742
Car Wash
Commercial Day Care
Contracted Services
Distributors
Entertainment
$5
$0
$5
$546
$347
$893
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
BUSINESS CLASS
10 FEBRUARY 2016
POLICE DISP. COST
W/O OUTLIERS
FIRE DISP. COST
W/O OUTLIERS
TOTAL COST
Escort Service
$443
$0
$443
Financial Services
$446
$171
$617
Fish & Game
$249
$0
$249
$19,148
$5,856
$25,004
$281
$249
$530
Full Service Grocery
Gas Station
Health Center
$77
$0
$77
Health Clinics
$16,826
$10,972
$27,798
Hospital
Hotel/Extended Stay
Markets/Specialty Food
Manufacturing/Industrial
Mobile Home Parks
Pawn Shops
$16,632
$12,152
$28,784
$87/Room
$74/Room
$161/Room
$238
$0
$238
$8
$0
$8
$22/Unit
$0
$22/Unit
$2,994
$85
$3,079
Personal Services
$24
$9
$33
Professional/Business Services
$18
$64
$82
Private Clubs
$1,378
$937
$2,315
Residential Care
$120
$0
$120
Restaurants/Fast Food
$865
$317
$1,182
Small Retail/Wholesale Sales
$193
$114
$307
$2,044
$828
$2,872
$238
$0
$238
$74
$0
$74
$0
$0
$0
Medium Retail/Wholesale Sales
Storage Units
Telecommunications
Transportation
Utility Sales/Service
$56
$0
$56
Vending
$0
$0
$0
Warehousing/Supplies
$0
$0
$0
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
SUMMARY OF RENTALS
Table E.4 summarizes the base cost for a renewal and new application for rental units.
TABLE E.4: RENTAL BASE COST SUMMARY
RENEWAL
& NEW APPLICATION
BASE COST
$63
Rentals
Table E.5 summarizes the disproportionate costs for rental units.
TABLE E.5: RENTAL COST ANALYSIS
BASE COST
RENEWALS & NEW
APPLICATIONS
Single Family
Detached Residential
Rentals
Duplex
3+ Apartments
BASE
COST
DISP. SERVICE COST
TOTAL COST
CODE
ENFORCEMENT
POLICE/UNIT
FIRE/UNIT
$63
$5
$44
$37
$149
$63
$5/Unit
$21
$74
$263
$63
$5/Unit
$65
$69
$63 + $139/Unit
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
ANALYSIS OF BUSINESS LICENSE FEES
INTRODUCTION AND DEFINITIONS
Lewis Young Robertson & Burningham Inc. (“LYRB”) was retained by Midvale City (“Midvale” or the “City”) to complete an analysis of business
license fees that meets the requirements of Utah law as established by Utah Code 10-1-203. The law provides that fees charged reflect the amount
necessary to reasonably regulate business activity, including the costs of disproportionate and enhanced levels of municipal services required by
some business classes, geographic locations, number of business employees, etc. The framework for business license fees is based upon a
reasonableness test to determine appropriate distribution of costs.
The analysis considers costs to businesses under three main categories as follows:
Disproportionate Services
1. Special Regulatory
Services
2. Disproportionate Calls for
Service (Fire, EMS and
Police)
Enhanced Services
Basic Administrative
Higher Service Level
Standards
Administrative, Bookkeeping,
Basic Regulatory, Inspections,
etc.
(i.e. signage, planters, snow
removal, etc.)
ANALYSIS
OF BUSINESS
LICENSE
FEES
BASIC ADMINISTRATIVE charges include the costs incurred to register, oversee and maintain records on licensed businesses within the city. Some
regulatory services and accompanying costs are essential to all businesses while others (such as inspections and premises checks) are unique to
certain types of business activity. In short, basic administrative costs include the standard labor for all businesses: i) business license application and
registration process, ii) issuance of license, iii) collection of fees, iv) maintenance of records, v) preparation of business reports and required
verifications.
In order to estimate the basic administrative costs of a business license, our primary source of information has been Midvale City. Costs have been
evaluated based on time spent by employees, wages and benefits involved for these employees, and cost of materials and equipment used. The cost
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
of administering a business license also accounts for the business license department’s fair share of indirect administrative costs that benefit the
business license department.
DISPROPORTIONATE SERVICES include the additional costs which some businesses generate in excess of their proportionate presence in the
community. This includes the additional regulatory services that are required by some classes of businesses such as day-care and establishments
selling alcohol, as well as businesses with a disproportionately high demand for municipal services (i.e. fire, police). In order to identify
disproportionate service levels, LYRB has interviewed city officials and service providers and has obtained data regarding calls for service from the
Midvale City Police and Fire Departments. Costs were applied based on the estimated cost of services calculated from the Fiscal Year 2009 Budget.
ENHANCED SERVICE levels are generally those services which are increased in a particular geographic location of town, such as downtown, or the
town center of a resort community. These may include services for enhanced levels of snow removal, police patrol, streetscape design, more frequent
trash removal, more signage, etc. If these services are provided, appropriate fees may be charged to compensate the City for the related costs.
Midvale City has indicated that, at this point in time, the City does not provide enhanced service levels to any areas of the community and has no
immediate plans to do so. Therefore, no fees have been calculated for enhanced levels of service.
All businesses in Midvale City have been classified as either “Commercial,” “Home Occupation” or “Rentals.” Utah legislation allows cities wide
latitude in defining the business classes and groupings which are most appropriate for each locality. Based on discussions with Midvale City, a
review of the calls for service and a review of the distinctions used by other cities, we feel that type of business activity is the most accurate means of
calculating the true costs associated with various businesses. By law, “all license fees and taxes shall be uniform in respect to the class upon which
they are imposed” [Utah Code 10-1-203(6)]. Appendix A contains a list of all business classes established in Midvale City.
BASIC ADMINISTRATIVE SERVICES
All businesses, whether home occupation, commercial, or rental must be licensed. The basic administrative costs associated with licensing a business
stem from two main sources – 1) direct business license costs; and 2) administrative (“indirect” costs).
DIRECT BUSINESS LICENSE COSTS
Direct business license costs include labor costs and department overhead required for all processes included in issuing and overseeing business
licenses in the City of Midvale. The following departments are involved in business licensing: 1) Business Licensing; 2) Treasurer; 3) Planning; 4)
Code Enforcement; 5) Police; and 6) Fire. A direct per minute cost was calculated for each employee involved in the business licensing process using
the following method:
1.
2.
3.
Labor Cost per Minute = (Salary + Benefits)/ Total annual minutes worked
Department Overhead Cost per Minute = Total department overhead applicable to business licensing /Total annual minutes worked.
Direct Business License Costs = Labor Cost Per Minute + Department Overhead Cost Per Minute
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
Due to salary confidentiality, this report does not include figures for City personnel labor costs per minute. However, Table 1.1 shows the total per
minute direct costs for all departments involved in business licensing. All figures used in calculating direct costs were provided by Midvale City.
TABLE 1.1: SUMMARY OF DIRECT BUSINESS LICENSE COSTS
DIRECT BUSINESS LICENSE COSTS
Business Licensing
$0.48
Code Enforcement
$0.55
Fire (Crew)
$1.71
Fire
$0.88
Police
$1.21
Police (Vice Officers)
$0.71
Planning
$0.65
Treasurer
$0.84
Source: Midvale City
INDIRECT COSTS
In addition to the direct costs associated with business licensing, each department must pay for its fair share of the City’s indirect costs. Indirect costs
are services provided to all departments such as legislative, executive and financial services as well as non-departmental and building costs. These
indirect costs of $1,886,200 are shown in Table 1.2 below. Indirect costs are divided into two separate costs: 1) fixed costs; and 2) variable costs.
Fixed costs represent administrative services provided to each department regardless of size. Variable costs represent administrative services
provided to each department in proportion to the number of employees in the department. Based on the City’s ratio of total fixed costs to total
variable costs for each department, we have calculated fixed costs to be approximately 12 percent ($226,345), with the remaining 88 percent
($1,659,855) of administrative services assigned as variable costs.
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
TABLE 1.2: SUMMARY OF TOTAL INDIRECT COSTS
TOTAL INDIRECT COSTS
General & Administrative Services
$1,054,000
Legislative
$175,900
Administrative Services
$133,800
Government Buildings
$409,500
Non-Departmental
$113,000
Total Indirect Costs
$1,886,200
Source: Midvale City Budget (FY 09)
Table 1.3 shows the variable and fixed costs allocated to each of the five City departments.
TABLE 1.3: ALLOCATION OF INDIRECT COSTS BY DEPARTMENT
TOTAL INDIRECT
DEPARTMENT ALLOCATED COSTS
FIXED
VARIABLE
COSTS
Police
$45,269
$649,509
$694,778
Fire
$45,269
$514,195
$559,464
Public Works
$45,269
$279,649
$324,918
Judicial
$45,269
$81,188
$126,457
Community/Economic Development
$45,269
$135,314
$180,583
$226,345
$1,659,855
$1,886,200
Total
The total indirect cost for each department is divided by the total minutes worked in each department to arrive at an indirect cost per minute. The
indirect costs for each department are shown in table 1.4.
TABLE 1.4: SUMMARY OF BUSINESS LICENSE COSTS
INDIRECT COSTS
Business Licensing
$0.10
Code Enforcement
$0.10
Fire
$0.08
Fire (Crew)
$0.24
Police
$0.08
Planning
$0.10
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
TOTAL PER MINUTE COSTS
The following table shows the total cost per minute for all departments involved in the business licensing process.
TABLE 1.5: SUMMARY OF OTHER PER MINUTE COSTS
DIRECT COST
Business Licensing
Code Enforcement
Fire (Crew)
Police
Police (Vice Officers)
Planning
Treasurer
$0.48
$0.55
$1.71
$1.21
$0.71
$0.65
$0.84
INDIRECT COST
$0.10
$0.10
$0.24
$0.08
$0.08
$0.10
NA
TOTAL COST
$0.58
$0.65
$1.95
$1.29
$0.79
$0.75
$0.84
COMMERCIAL, HOME OCCUPATION AND RENTAL
BUSINESS LICENSE ANALYSIS
The Business Licensing, Fire Department and the Treasurer provide services for processing business license renewals. The Business Licensing
department takes applications, copies documents, prepares and mails business licenses, and distributes appropriate forms to assisting personnel.
Midvale City estimates that it takes roughly 25 minutes per business license renewal in order to adequately perform the previously identified tasks.
The Treasurer deposits and records payment. The Fire department conducts inspections approximately every four years on all commercial
businesses. However, some businesses require annual inspections. The additional costs associated with these annual inspections are included in the
commercial business regulatory costs listed in table 1.11. Additionally, code enforcement costs associated with commercial businesses are divided
equally among all commercial businesses. The code enforcement cost per commercial business is $6.00.
Also included in the costs of a renewal and new application are supply costs. Supply costs per license are shown in table 1.6.
TABLE 1.6: TOTAL BUSINESS LICENSE SUPPLY COSTS
BUSINESS LICENSE SUPPLIES
COST
Fee Schedules
$.06
Paper/Notice
$.02
Business License Renewal Envelopes
$.09
Business License Renewal Postage
$.44
Business License Certificate
$.06
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS LICENSE SUPPLIES
COST
Business License Certificate Envelope
$.09
Business License Certificates Postage
$.44
Total Cost for Supplies per License
$1.20
The basic costs for renewal of a commercial business are summarized in the table below. Note that the renewal time includes the direct time for
processing the paperwork for renewal of a business license (previously identified at 25 minutes), plus each license’s fair share of all business license
activities on an annual basis (i.e., customer service, reports, meetings, phone calls, etc.).
TABLE 1.7: COMMERCIAL BASE COST (RENEWAL)
TIME ALLOCATION
COST PER MINUTE
ESTIMATED COST
30
$0.58
$17.50
5
$0.84
$4.20
Business License Costs (prepares forms, review
returned application, prepare business license,
obtain signatures, respond to phone calls, etc.)
Deposits
Supplies
$1.20
Code Enforcement
$6.00
Fire
$20
Commercial Renewal Base Cost
$48.90
New commercial business license applications require additional services above and beyond those required for commercial business license
renewals. First-time applications require more time than renewals due to 1) the explanation of the application procedure; and 2) the additional review
required for each new application. Additional costs for first-time business licenses include an on-premise fire inspection, police and planning
application review. New business license application costs for commercial businesses are shown in table 1.8 below.
TABLE 1.8: COMMERCIAL BASE COST (NEW APPLICATION)
Business License Costs (prepares forms, review
returned application, prepare business license,
obtain signatures, respond to phone calls, etc.)
Deposits
TIME ALLOCATION
COST PER MINUTE
ESTIMATED COST
40
$0.58
$23.20
5
$0.84
$4.20
Supplies
$1.20
Code Enforcement
$6.00
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
Planning & Zoning
10
$0.75
$7.50
Police
10
$1.29
$12.90
Fire
$59
Commercial New Application Base Cost
$114
Table 1.9 shows the cost of a renewal/ new application for a solicitor.
TABLE 1.9 SOLICITORS (RENEWAL/NEW APPLICATION)
Business License Costs (prepares forms, review
returned application, prepare business license,
obtain signatures, respond to phone calls, etc.)
Deposits
TIME ALLOCATION
COST PER MINUTE
ESTIMATED COST
100
$0.58
$58
5
$0.84
$4.20
Supplies
$1.20
Code Enforcement
$6.00
Planning & Zoning
10
$0.75
$7.50
Police
10
$1.29
$12.90
Solicitor Base Cost
$89.80
The basic cost for a rental renewal and new application is shown in table 1.10. One item included in the cost of a rental renewal/new application
license that is not included in commercial/home occupation licenses is the cost of the Good Landlord Program. The Good Landlord program offers a
reduced business license fee for landlords who actively participate in the program. This program has been proven effective in reducing illegal
activities and code violations on rental properties whose landlords implement the procedures learned in the Good Landlord training seminars. The
Good Landlord program cost includes the cost of the training seminars and other administrative work required to administer the Good Landlord
program. Also included in the cost of a renewal/new application is the cost of the monthly crime reports the police departments runs for each rental.
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
TABLE 1.10: RENTAL UNIT BASE COST (RENEWAL AND NEW APPLICATION)
Business License Costs (prepares forms, review
returned application, prepare business license,
obtain signatures, respond to phone calls, etc.)
Deposits
TIME ALLOCATION
COST PER MINUTE
ESTIMATED COST
30
$0.58
$17.50
5
$0.84
$4.20
Supplies
$1.20
Monthly Crime Reports
$30
Good Landlord Program
$10
Total Rental Renewal Base Cost
$62.90
DISPROPORTIONATE SERVICES
Disproportionate fees include additional services required for: 1) special regulations and inspections; and/or 2) calls for police and fire services that
exceed the base level of services provided in the community.
SPECIAL REGULATORY SERVICES
Special regulatory costs have been considered for both commercial businesses and rentals. These costs include services provided by the business
license, police, code enforcement and fire departments and are in addition to the base cost of a renewal/new application business license. Some
businesses require special regulatory services from only one of the above sources, while others require services from more than one source.
Therefore, the following table shows regulatory costs by business type rather than by service provider.
TABLE 1.11: COMMERCIAL DISPROPORTIONATE REGULATORY COSTS
NEW
APPLICATION
RENEWAL
Address Change
Business License
$6
NA
Total
$6
NA
$35
$35
$35
$35
Alcohol & Beer
Business License
Automobile Repair
Business License
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
Fire
$68
$29
$103
$64
Business License
$35
$35
Fire
$20
$0
Total
$55
$35
Fire
$66
$28
Total
$66
$28
Fire
$215
$176
Total
$215
$176
Business License
$17
$17
Fire
$68
$29
Total
$85
$46
Total
Bars
Behavioral Health Care Provider
Big Box
Commercial Day Care
Escort Services (Business)
Business License
$17
$17
Vice Officers
$760
$760
Total
$777
$777
Vice Officers
$47
$47
Police Card & Paperwork
$18
$18
Total
$65
$65
Fire
$39
$0
Total
$39
$0
Fire
NA
$28
Total
NA
$28
Fire
$38
$0
Total
$38
$0
Escort Services (Employee Charge)
Entertainment
Fireworks Vendor
Fireworks in Grocery Store
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
Full Service Grocery
Fire
$97
$58
Total
$97
$58
Business License
$12
$12
Total
$12
$12
Fire
$97
$59
Total
$97
$59
$97
$59
Handyman
Hazardous Materials Permit
Hotel/Extended Stay
Fire
Police (Monthly Crime Reports)
$30
$30
$127
$89
Fire
$97
$59
Total
$97
$59
Business License
$35
$35
Total
$35
$35
Fire
$39
$0
Total
$39
$0
$35
$35
Fire
$68
$29
Total
$68
$29
NA
$88
Business License
$52
$52
Total
$52
$52
Total
Manufacturing/Industrial
Massage Therapist
Nursing Home & Assisted Living
Pawn Shops
Business License
Total
Restaurants
Seasonal
Fire
Taxi/Business
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
Taxi/Employee
Police (Card & Paperwork)
$15
$18
Total
$18
$18
Business License
$52
$52
Total
$52
$52
Vending
CALLS FOR SERVICE
In order to calculate disproportionate costs and fees, cities must first establish what constitutes the base level for each of the varying services they
provide – such as the number of calls for service to the police department or fire department, business-related paperwork and administrative
oversight, inspections, etc. According to Utah Code 10-1-203(5)(iii)(c), “Before the governing body of a municipality imposes a license fee or tax on a
business that causes disproportionate costs of municipal services under Subsection (5)(a)(iii), the governing body of the municipality shall adopt an
ordinance defining the purposes of the tax under Subsection (5)(a)(iii) that constitutes disproportionate costs and what amounts are reasonably
related to the costs of the municipal services provided by the municipality.”
Calls for fire and police were obtained from the Midvale City Police and Fire Departments for the 2007 and 2008 calendar years. The data was then
analyzed to calculate the average annual number of calls to owner occupied residential units. The average annual number of calls to owner-occupied
residential units was then divided by the number of owner-occupied residential units to arrive at the base level of service ratio. The base level of
service for police calls was determined to be an average of 0.5692 calls per unit per year. The annual base level of service for fire is estimated at 0.0590
calls for service for each single family owner-occupied residential unit. It was found that the average number of calls per business for police and fire
exceeded the average number of calls per residence. Therefore, it was determined that businesses as a “class” require a higher level of police and fire
services and have disproportionate calls for service when compared to owner-occupied residential calls for service. The average police and fire calls
per owner-occupied residence was the base figure used for determining what constituted a disproportionate number of calls for service and further
distinctions were then drawn between “types” of businesses within the overall business “class.”
TABLE 1.12: RESIDENTIAL CALL DATA – BASELINE LEVEL OF SERVICE
2007/2008
AVERAGE
POLICE
CALLS
2007/2008
AVERAGE
FIRE
CALLS
Owner-Occupied Single Family Residential Calls
3,041
315
Number of Owner-Occupied Single Family Residential
Units
5,343
5,343
0.5692
0.0590
Base Level of Service Ratio
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
Estimated Cost per Call1
2007/2008
AVERAGE
POLICE
CALLS
2007/2008
AVERAGE
FIRE
CALLS
$129
$787
DISPROPORTIONATE CALLS FOR SERVICE: COMMERCIAL AND RENTAL
For businesses, the calls for service were determined by matching the location of each service call to a list of business addresses. 2 For each business
type, the total number of calls was divided by the total number of businesses, resulting in an annual average number of calls for service per business
type. To calculate the average calls above the base level of service, the base level of service ratio (shown in table 1.12) was subtracted from the average
calls per business type. The average police calls for commercial businesses above the base level of service are shown in table 1.13. The average fire
calls for commercial businesses above the base level of service are shown in table 1.14.
Within a business type, there may be a few businesses with a much higher number of service calls than the majority of business establishments in
that particular business type. These businesses excessively skew the average disproportionate cost per business and are referred to as statistical
outliers. When calculating the business license fee, it is recommended the City consider setting the disproportionate fee to be on par with
disproportionate costs per business without the statistical outliers.
TABLE 1.13: AVERAGE POLICE DISPROPORTIONATE CALLS FOR SERVICE BY COMMERCIAL BUSINESS CLASS
AVERAGE
POLICE
BUSINESS TYPE
CALLS ABOVE
BASE
W/ OUTLIERS
1
2
AVERAGE
POLICE CALLS
ABOVE BASE
COMMENTS
W/O OUTLIERS
Adult Activity Center
4.25
4.250
Automobile
2.384
2.384
Bar/Lounge
88.76
88.76
Big Box
266.4
226.4
Car Wash
.7641
.7641
Commercial Day Care
5.430
5.430
Contracted Services
.4421
.4421
The cost per call for police and fire services was determined using the FY2009 budget data.
For apartments each “unit” address was matched to the business address for the entire complex.
There are three businesses in this category. Two
have a significantly higher call volume than the
third business.
There is only one business in this category
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
AVERAGE
POLICE
BUSINESS TYPE
CALLS ABOVE
BASE
W/ OUTLIERS
AVERAGE
POLICE CALLS
ABOVE BASE
COMMENTS
W/O OUTLIERS
Convenience Stores w/o gas
42.43
42.43
Convenience Stores w/gas
43.81
25.36
Distributors
.0419
.0419
Entertainment
4.231
4.231
Escort Service
3.431
3.431
Financial Services
3.457
3.457
Fish & Game
1.931
1.931
Full Service Grocery
148.4
148.4
Gas Station
2.180
2.180
Health Center
.5975
.5975
Health Clinics
130.4
130.4
Hospital
128.9
128.9
Hotel/Extended Stay
.6703
.6703
Markets/Specialty Food
1.847
1.847
Manufacturing/Industrial
.0623
.0623
Mobile Home Parks
.4853
.1674
Pawn Shops
23.21
23.21
Personal Services
.1888
.1888
Professional/Business Services
.5734
.1369
There is one statistical outlier in this category that is
responsible for nearly half of the total calls for
businesses in this category.
Health Clinics often have a high disproportionate
call volume because crimes are often reported by
victims at health clinics.
Hospitals often have a high disproportionate call
volume because it is where crimes are reported
rather than where crimes are happening.
Of the three businesses in this category, one has a
significantly higher call/unit ratio than the other
two businesses.
There are nine total businesses in this category.
Although none have been removed as statistical
outliers, it is of interest to note that five of the nine
businesses have a higher call ratio than the other
four.
Of the 210 businesses in this category, four
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
AVERAGE
AVERAGE
POLICE
BUSINESS TYPE
CALLS ABOVE
BASE
W/ OUTLIERS
POLICE CALLS
COMMENTS
ABOVE BASE
W/O OUTLIERS
statistical outliers have been removed.
Private Clubs
24.43
10.68
Residential Care
.9308
.9308
Restaurants
8.386
6.708
Small Retail/Wholesale Sales
1.493
1.493
Medium Retail/Wholesale
Sales
28.93
15.85
Storage Units
1.847
1.847
Telecommunications
2.243
.5753
Transportation
1.306
0.000
Utility Sales/Service
.4308
.4308
Vending
0.000
0.000
Warehousing/Supplies
3.597
0.000
Of the five businesses in this category, one has been
removed as a statistical outlier.
Two statistical outliers out of 67 businesses in this
category have been removed.
One statistical outlier has been removed from this
category.
One business has been removed as a statistical
outlier.
One statistical outlier has been removed from this
category.
Of the three businesses in this category, one has
been removed as a statistical outlier.
The following table shows the disproportionate fire calls for commercial businesses with and without the statistical outliers.
TABLE 1.14: AVERAGE FIRE DISPROPORTIONATE CALLS FOR SERVICE BY COMMERCIAL BUSINESS CLASS
BUSINESS TYPE
AVERAGE
AVERAGE
FIRE CALLS
FIRE CALLS
ABOVE BASE
ABOVE BASE
W/ OUTLIERS
W/O OUTLIERS
Adult Activity Center
0.000
0.000
Automobile
.0754
.07541
Bar/Lounge
1.940
1.940
Big Box
10.44
10.44
Car Wash
0.000
0.000
Commercial Day Care
0.000
0.000
COMMENTS
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS TYPE
AVERAGE
AVERAGE
FIRE CALLS
FIRE CALLS
ABOVE BASE
ABOVE BASE
W/ OUTLIERS
W/O OUTLIERS
Contracted Services
.1012
.1012
Convenience Stores w/o gas
2.941
2.941
Convenience Stores w/gas
2.754
1.869
Distributors
0.000
0.000
Entertainment
.4441
.4441
Escort Service
0.000
0.000
Financial Services
.2173
.2173
Fish & Game
0.000
0.000
Full Service Grocery
7.441
7.441
Gas Station
.3160
.3160
Health Center
0.000
0.000
Health Clinics
13.94
13.94
Hospital
15.44
15.44
Hotel/Extended Stay
.0934
.0934
Markets/Specialty Food
0.000
0.000
Manufacturing/Industrial
0.000
0.000
Mobile Home Parks
0.000
0.000
Pawn Shops
.1077
.1077
Personal Services
.0115
.0155
Professional/Business Services
.2005
.0818
Private Clubs
1.441
1.191
Residential Care
0.000
0.000
Restaurants
.4857
.4025
Small Retail/Wholesale Sales
.1447
.1447
Medium Retail/Wholesale
Sales
1.414
1.052
COMMENTS
One statistical outlier has been removed
from this category
Of the 210 businesses in this category, four
have been removed as statistical outliers.
One business was removed as a statistical
outlier in this category.
Two statistical outliers were removed from
this category.
One statistical outlier has been removed
from this category.
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS TYPE
AVERAGE
AVERAGE
FIRE CALLS
FIRE CALLS
ABOVE BASE
ABOVE BASE
W/ OUTLIERS
W/O OUTLIERS
Storage Units
0.000
0.000
Telecommunications
0.000
0.000
Transportation
0.000
0.000
Utility Sales/Service
0.000
0.000
Vending
0.000
0.0000.000
Warehousing/Supplies
0.000
COMMENTS
If a business type had a higher average number of calls than the base (average call per non-rental residence), the difference was multiplied by the
average cost of a service call shown in table 1.15 below.3 Table 1.16 summarizes the disproportionate costs for each business type identified for
Midvale City. The fees shown represent the maximum disproportionate fees that can be supported by the data. The City may choose not to enact the
full fee in some business categories, as a matter of policy, in order to encourage the development of certain business types. Note that fees for all
businesses within a given business type must be constant.
TABLE 1.15: AVERAGE COST PER CALL
Cost per Call
POLICE
FIRE
$129
$787
TABLE 1.16: DISPROPORTIONATE POLICE AND FIRE COSTS BY COMMERCIAL BUSINESS CLASS
POLICE DISP.
TOTAL
FIRE DISP. COST
BUSINESS TYPE
COST
DISPROPORTIONATE
W/O OUTLIERS
W/O OUTLIERS
SERVICE CALL COST
Adult Activity Center
$548
$0
$548
Automobile
$308
$60
$368
Bar/Lounge
$11,451
$1,528
$12,979
Big Box
$34,369
$8,217
$42,586
$99
$0
$99
Car Wash
3
The cost per call for each police and fire services was determined using the FY2009 budget data.
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS TYPE
POLICE DISP.
COST
W/O OUTLIERS
Commercial Day Care
$701
Contracted Services
FIRE DISP. COST
W/O OUTLIERS
$0
TOTAL
DISPROPORTIONATE
SERVICE CALL COST
$701
$57
$80
$137
Convenience Stores w/o gas
$5,474
$2,315
$7,789
Convenience Stores w/gas
$3,271
$1,471
$4,742
$5
$0
$5
Entertainment
$546
$347
$893
Escort Service
$443
$0
$443
Financial Services
$446
$171
$617
Fish & Game
$249
$0
$249
$19,148
$5,856
$25,004
$281
$249
$530
Distributors
Full Service Grocery
Gas Station
Health Center
$77
$0
$77
Health Clinics
$16,826
$10,972
$27,798
Hospital
Hotel/Extended Stay
Markets/Specialty Food
Manufacturing/Industrial
Mobile Home Parks
Pawn Shops
$16,632
$12,152
$28,784
$87/Room
$74/Room
$161/Room
$238
$0
$238
$8
$0
$8
$22/Unit
$0
$22/Unit
$2,994
$85
$3,079
Personal Services
$24
$9
$33
Professional/Business Services
$18
$64
$82
Private Clubs
$1,378
$937
$2,315
Residential Care
$120
$0
$1,182
Restaurants
$865
$317
$1,182
Small Retail/Wholesale Sales
$192
$114
$306
$2,044
$828
$2,872
$238
$0
$238
$74
$0
$74
$0
$0
$0
$56
$0
$56
$0
$0
$0
Medium Retail/Wholesale Sales
Storage Units
Telecommunications
Transportation
Utility Sales/Service
Vending
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS TYPE
POLICE DISP.
COST
W/O OUTLIERS
Warehousing/Supplies
$0
FIRE DISP. COST
W/O OUTLIERS
TOTAL
DISPROPORTIONATE
SERVICE CALL COST
$0
$0
DISPROPORTIONATE CALLS FOR SERVICE: RENTAL UNITS
The City currently has approximately 90 3+ apartment complexes, with 4,237 units. In addition, there are approximately 1,077 unlicensed rental
single family homes, condos, and PUD’s, and 315 unlicensed rental duplexes.
All rental types including homes, condos, PUD’s, duplexes and 3+ rental units have a disproportionate level of calls for both fire and police services.
The disproportionate call ratio is the average call ratio less the base call ratio for owner-occupied residential homes as summarized in table 1.12. The
disproportionate call data for rentals, with estimated costs, is summarized in table 1.17.
TABLE 1.17: DISPROPORTIONATE COSTS BY RENTAL CLASS
AVERAGE CALL
DISPROPORTIONATE
RATIO
CALLS PER UNIT
PER UNIT
RENTAL TYPE
FIRE/
POLICE
POLICE
FIRE/EMS
EMS
Homes, Condos,
PUD’s
Duplex
3+ Rentals
DISPROPORTIONATE
COSTS PER UNIT
POLICE
FIRE/EMS
TOTAL
DISPROPORTIONATE
COST PER UNIT
.9067
.1058
.3375
.0468
$44
$37
$81
.7326
.1532
.1634
.0942
$21
$74
$95
1.070
.1461
.5008
.0871
$65
$69
$134
It is important to note that the City does not currently assess a business license fee for single family detached residential rental units or rental
duplexes. Due to the size of this rental class, it is anticipated that the City will experience a higher workload related to processing this new class.
DISPROPORTIONATE CALLS FOR SERVICE: HOME OCCUPATION
There are no disproportionate calls for service for home occupation businesses.
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
COST/FEE COMPARISON
The following table shows the total cost to the city for a renewal business license for commercial and home occupation businesses. These costs represent the maximum
amount the City may charge for business license renewal fees.
TABLE 1.18: COST/FEE COMPARISON FOR RENEWAL LICENSES
BASE FEE
BUSINESS TYPE
Adult Activity Center
RENEWAL
DISP.
COST
REGULATORY
$49
Alcohol & Beer
TOTAL
BASE
COST
DISP. SERVICE COST
POLICE
TOTAL
DISPROPORTIONATE
FIRE
Total Cost
EXISTING FEE
COST PER UNIT
$0
$49
$548
$0
$548
$597
$75+ Employee Fee
$35
$35
$0
$0
$0
$35
$80
Automobile
$49
$0
$49
$308
$60
$368
$417
$75 + Employee Fee
Automobile Repair
$49
$103
$151
$308
$60
$368
$417
$75 + Employee Fee
Bar/Lounge
$49
$55
$104
$11,451
$1,528
$12,979
$13,083
$75 + Employee Fee
Big Box
$49
$215
$264
$34,369
$8,217
$42,568
$42,832
$75 + Employee Fee
Car Wash
$49
$0
$49
$99
$0
$99
$148
$75 + Employee Fee
Commercial Day Care
$49
$85
$133
$701
$0
$701
$835
$75 + Employee Fee
Contracted Services
$49
$0
$49
$57
$80
$137
$186
$75 + Employee Fee
Convenience Stores w/o gas
$49
$0
$49
$5,474
$2,315
$7,789
$7,838
$75 + Employee Fee
Convenience Stores w/gas
$49
$0
$49
$3,271
$1,471
$4,742
$4,791
$75 + Employee Fee
Distributors
$49
$0
$49
$5
$0
$5
$54
$75 + Employee Fee
Entertainment
$49
$39
$88
$546
$347
$893
$981
$75 + Employee Fee
Escort Service
$49
$777
$826
$443
$0
$443
$1,269
$240 + Employee Fee
Escort Service/Employee
$49
$65
$114
$0
$0
$0
$114
$255
Financial Services
$49
$0
$49
$446
$171
$617
$666
$75 + Employee Fee
Fish & Game
$49
$0
$49
$249
$0
$249
$298
$75 + Employee Fee
Fireworks Vendor
$49
$28
$77
$0
$0
$0
$77
$40
Full Service Grocery
$49
$97
$146
$19,148
$5,856
$25,004
$25,150
$75 + Employee Fee
Fireworks in Grocery Story
$49
$38
$87
Gas Station
$49
$0
$49
$281
$249
$530
$579
$75 + $5 per Pump
Handyman
$49
$12
$61
$57
$80
$137
$198
$75 + Employee Fee
Hazardous Material
$49
$97
$146
$0
$0
$0
$146
$90
Health Center
$49
$0
$49
$77
$0
$77
$126
$75 + Employee Fee
Health Clinics
$49
$0
$49
$16,826
$10,972
$27,798
$27,847
$75+ Employee Fee
Home Occupation
$49
$0
$49
$0
$0
$0
$49
$40
$87
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BASE FEE
BUSINESS TYPE
RENEWAL
DISP.
COST
REGULATORY
TOTAL
BASE
COST
DISP. SERVICE COST
POLICE
TOTAL
DISPROPORTIONATE
FIRE
Total Cost
EXISTING FEE
COST PER UNIT
Hospital
$49
$0
$49
$16,632
$12,152
$28,784
$238
$28,833
$176+
$161/Room
$287
$75 + Employee Fee
$75 + .001 of Gross
Sales + Employee Fee
$75 + Employee Fee
Hotel/Extended Stay
$49
$127
$176
$87/Room
$74/Room
$161/Room
Markets/Specialty Food
$49
$0
$49
$238
$0
Manufacturing/Industrial
$49
$97
$146
$8
$0
$8
$154
$75 + Employee Fee
Massage Therapist
$49
$35
$84
$24
$9
Mobile Home Parks
$49
$0
$48
$22/Unit
$0
$33
$117
$75 + Employee Fee
$22/Unit
$49 + $22/Unit
$75 + Employee Fee
Pawn Shops
$49
$35
$84
$2,994
$85
$3,079
$3,163
$340
Personal Services
Professional/Business
Services
Private Clubs
$49
$0
$49
$24
$9
$33
$82
$75 + Employee Fee
$49
$0
$49
$18
$64
$82
$131
$75 + Employee Fee
$49
$0
$49
$1,378
$937
$2,315
$2,364
$75 + Employee Fee
Residential Care
$49
$0
$49
$120
$0
$120
$169
$75 + Employee Fee
Restaurants
$49
$68
$117
$865
$317
$1,182
$1,299
$75 + Employee Fee
Small Retail/Wholesale Sales
Medium Retail/Wholesale
Sales
Solicitor
$49
$0
$49
$192
$114
$338
$387
$75 + Employee Fee
$49
$0
$49
$2,044
$828
$2,872
$2,921
$75 + Employee Fee
$90
$0
$90
$0
$0
$0
$90
$140
Storage Units
$49
$0
$49
$238
$0
$238
$287
$75 + Employee Fee
Taxi/Business
$49
$52
$101
$0
$0
$0
$101
$75 + $35/Vehicle
Taxi/Employee
$49
$18
$67
$0
$0
$0
$67
Telecommunications
$49
$0
$49
$74
$0
$0
$123
$75 + Employee Fee
Transportation
$49
$0
$49
$0
$0
$0
$49
$75 + Employee Fee
Utility Sales/Service
$49
$0
$49
$56
$0
$56
$105
$75 + Employee Fee
Vending
$49
$52
$101
$0
$0
$0
$101
$90
Warehousing/Supplies
$49
$0
$49
$0
$0
$0
$49
$75 + Employee Fee
The following table shows the total cost to the city for new application business license for commercial and home occupation businesses. These costs represent the
maximum amount the City may charge for business license new application fees.
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
TABLE 1.19 COST/FEE COMPARISON FOR NEW APPLICATION LICENSES
BASE FEE
BUSINESS TYPE
Adult Activity Center
Alcohol & Beer
Automobile
Automobile Repair
Bar/Lounge
Big Box
Car Wash
Commercial Day Care
Contracted Services
Convenience Stores w/o
gas
Convenience Stores
w/gas
Distributors
Entertainment
Escort Service
Escort Service/Employee
Financial Services
Fish & Game
Fireworks Vendor
Fireworks in Grocery
Store
Full Service Grocery
Gas Station
Handyman
Hazardous Material
Health Center
Health Clinics
Home Occupation
RENEWAL
DISP.
COST
REGULATORY
TOTAL
BASE
COST
$114
$114
$114
$114
$114
$114
$114
$114
$114
$0
$35
$0
$64
$35
$176
$0
$46
$0
$114
$114
TOTAL
DISP. SERVICE COST
DISPROPORTION
POLICE
ATE COST PER
FIRE
Total Cost
EXISTING FEE
UNIT
$114
$178
$149
$290
$114
$160
$114
$548
$0
$308
$308
$11,451
$34,369
$99
$701
$57
$0
$0
$60
$60
$1,528
$8,217
$0
$0
$80
$548
$0
$368
$368
$12,979
$42,568
$99
$701
$137
$596
$482
$546
$13,128
$42,858
$213
$861
$251
$90+ Employee Fee
$80
$90 + Employee Fee
$90 + Employee Fee
$90 + Employee Fee
$90 + Employee Fee
$90 + Employee Fee
$90 + Employee Fee
$90 + Employee Fee
$0
$114
$5,474
$2,315
$7,789
$7,903
$90 + Employee Fee
$114
$0
$114
$3,271
$1,471
$4,742
$4,856
$90 + Employee Fee
$114
$114
$114
$114
$114
$114
$114
$0
$0
$777
$65
$0
$0
$28
$114
$114
$891
$179
$114
$114
$142
$5
$546
$443
$0
$446
$249
$0
$0
$347
$0
$0
$171
$0
$0
$0
$893
$443
$0
$617
$249
$0
$114
$1,007
$1,334
$179
$731
$363
$142
$90 + Employee Fee
$90 + Employee Fee
$225 + Employee Fee
$240
$90 + Employee Fee
$90 + Employee Fee
$90
$114
$0
$114
$0
$0
$0
$114
$90
$114
$114
$114
$114
$114
$114
$114
$58
$0
$12
$59
$0
$0
$0
$172
$114
$126
$173
$114
$114
$114
$19,148
$249
$57
$0
$77
$16,826
$0
$5,856
$530
$80
$0
$0
$10,972
$0
$25,004
$779
$137
$0
$77
$27,798
$0
$25,176
$893
$263
$173
$191
$27,912
$114
$90 + Employee Fee
$90 + $5 per Pump
$90 + Employee Fee
$90
$90 + Employee Fee
$90 + Employee Fee
$40
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BASE FEE
BUSINESS TYPE
RENEWAL
COST
DISP.
REGULATORY
TOTAL
BASE
COST
TOTAL
DISP. SERVICE COST
DISPROPORTION
POLICE
ATE COST PER
FIRE
Total Cost
EXISTING FEE
UNIT
Hospital
$114
$0
$114
$16,632
$12,152
$28,784
$90 + Employee Fee
$90 + .001 of Gross
Sales
$90 + Employee Fee
$90 + Employee Fee
$90 + Employee Fee
$2,379
$33
$28,898
$203 +
$161/Room
$352
$181
$182
$114 +
$22/Unit
$2,528
$147
Hotel/Extended Stay
$114
$89
$203
$87/Room
$74/Room
$161/Room
Markets/Specialty Food
Manufacturing/Industrial
Massage Therapist
$114
$114
$114
$0
$59
$35
$114
$173
$149
$238
$8
$24
$0
$0
$9
$238
$8
$33
Mobile Home Parks
$114
$0
$114
$22/Unit
$0
$22/Unit
Pawn Shops
Personal Services
Professional/Business
Services
Private Clubs
Residential Care
Restaurants
Seasonal
Small Retail/Wholesale
Sales
Medium
Retail/Wholesale Sales
Solicitor
Storage Units
Taxi/Business
Taxi/Employee
Telecommunications
Transportation
Utility Sales/Service
Vending
Warehousing/Supplies
$114
$114
$35
$0
$149
$114
$2,294
$24
$85
$9
$114
$0
$114
$18
$64
$82
$196
$90 + Employee Fee
$114
$114
$114
$114
$0
$0
$29
$29
$114
$114
$143
$202
$1,378
$120
$865
$0
$937
$0
$317
$0
$2,315
$120
$1,182
$0
$2,429
$234
$1,325
$202
$90 + Employee Fee
$90 + Employee Fee
$90 + Employee Fee
$40
$114
$0
$114
$192
$114
$338
$452
$90 + Employee Fee
$114
$0
$114
$2,044
$828
$2,872
$2,986
$90 + Employee Fee
$90
$114
$114
$114
$114
$114
$114
$114
$114
$0
$0
$52
$18
$0
$0
$0
$52
$0
$90
$114
$166
$132
$114
$114
$114
$166
$114
$0
$238
$0
$0
$74
$0
$56
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$238
$0
$0
$74
$0
$56
$0
$0
$90
$352
$218
$132
$188
$144
$170
$166
$114
$125
$90 + Employee Fee
$90 + $35/Vehicle
$90 + Employee Fee
$325
$90 + Employee Fee
$90 + Employee Fee
$90 + Employee Fee
$90 + Employee Fee
$90
$90 + Employee Fee
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
GOOD LANDLORD PROGRAM
According to current legislation, a municipality may collect a disproportionate rental fee if the municipality: 1) adopts an applicable ordinance; 2)
conducts a municipal services study (contained herein); 3) provides any updates to the municipal services study; and, 4) establishes a Good Landlord
program.4
The Good Landlord program is designed to provide a reduction in the disproportionate rental fee for landlords who complete the following
requirements:
Good landlord training program approved by the City;
Implement measures to reduce crime in rental housing as specified in municipal ordinances; and
Operate and manage rental housing in accordance with municipal ordinances.
The Good Landlord program provides an incentive for landlords to improve the overall quality of each rental unit, reduce crime and reduce noncompliance with municipal ordinances. Given the high disproportionate cost to the City for Hotel/Extended Stay facilities, the City may want to
consider a “Good Landlord” fee reduction program for these types of businesses.
The following table shows the maximum fees the City may charge to rental units.
TABLE 1.20: TOTAL COST FOR RENTAL UNITS
BASE FEE
RENTAL TYPE
RENEWAL
COST
4
COMPLIANCE
COST PER
DISP. SERVICE
COST
TOTAL
DISPROPORTIONATE
POLICE
FIRE
TOTAL COST
EXISTING FEE
$149
N/A
COST PER UNIT
UNIT
Homes, Condos,
PUD’s
$63
$5/Unit
Duplexes
$63
$5/Unit
3+Units
$63
$5/Unit
UCA 10-1-203(5)(e)(ii)(A)
TOTAL
BASE
COST
$68
$63 +
$5/Unit
$63 +
$5/Unit
$44
$37
$81
$21
$74
$95
$65
$69
$134
$63 +
$100/Unit
$63 +
$139/Unit
N/A
$75 +
$7/Unit
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
ENHANCED SERVICE LEVELS
Enhanced service levels reflect a higher level of service that is desired by a specific portion of the
business community (whether it is a business class, business location, etc.). In comparison,
disproportionate service levels reflect higher levels of services that are required by a distinct portion of
the business community. Examples of enhanced service levels include more landscaping, hanging
baskets, more or higher quality signage, increased police patrols (a visible police presence), more
frequent snow removal, etc. Generally, these types of services are increased in a particular
geographic location of town, such as downtown, or the town center of a resort community but they
may also be specific to a particular type of business activity, the number of employees in a company,
etc.
Midvale City currently does not have any geographic areas or business classes for which the City
provides enhanced service levels.
PER EMPLOYEE CHARGE
Midvale City has decided not to charge disproportionate fees based on the number of employees per
business and therefore a per employee charge analysis in not included in this report.
RELIANCE ON CITY DATA
LYRB, Inc. has relied on information provided by city staff, including time estimates for tasks
performed as part of the business license process and the costs associated with providing city
services. LYRB, Inc. assumes no responsibility for the accuracy of information provided by Midvale
City.
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
APPENDIX A
BUSINESS CLASS
BUSINESS TYPE
Adult Activity Center
Automobile
Car Sales
Car Paint/Repair
Car Rental
Recreations Vehicle Sales
Towing
Bar/ Lounge
Big Box
Car Wash
Commercial Day Care
Contracted Services
HVAC Contractors
Electrical Contractors
Plumbing Contractors
Mechanical Contractors
Construction Related Businesses
Concrete
Kitchen & Bath
Cabinetry
Lawn Care/Maintenance
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS CLASS
BUSINESS TYPE
Pools
Pest Control
Art Restoration
Windows
Learning Center
Signage Companies
Convenience Stores w/o Gas
Convenience Stores w/Gas
Distributors
Entertainment
Movie Theaters
Bowling
Amusement Centers
Golf/Mini-Golf
Escort Service
Financial Services
Banks
Mortgage Centers
Check Cashing
Pay-Day Loans
Fish & Game
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS CLASS
BUSINESS TYPE
Full Service Grocery
Gas Station
Health Center
General Nutrition
Skin Care
Home Health Care
Health Clinic
Hospital
Hotel/Extended Stay
Markets/Specialty Food
Ice Cream Parlors
Bagels
Small Specialty Markets
Manufacturing/Industrial
Manufacturing & Sales
Clothing Manufacturing & Sales
Assembly
Machine Shops
Testing Labs
Drilling
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS CLASS
BUSINESS TYPE
Mobile Home Parks
Pawn Shops
Personal Services
Beauty Salons
Barber Shops
Dry Cleaners/Laundromat
Printing
Photography
Nails
Catering
Dance /Gymnastics Studio
Fitness Centers
Animal Services
Alterations
Tattoo Parlors
Tanning Salons
Acupuncture
Mortuary
Recording Studios
Martial Arts
Educational Training
Artist
Professional/Business Services
Doctors
Dentists
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS CLASS
BUSINESS TYPE
Accountants
Engineers
Attorneys
Drafting
Orthodontists
Consultants
Therapists
Office Services
Real Estate Services
Management Services
Computer Related Services
Advertising
Dermatology
Title Companies
Private Clubs
Residential Care Facility
Restaurants
Retail/Wholesale Sales
Small Retail/One line of products
Medium Retail/One or more line
Medium Retail
of products
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
BUSINESS CLASS
BUSINESS TYPE
Storage Units
Telecommunications
Telephone Systems
Telecommunication
Satellite Communications
Cellular Services
Transportation
Taxis
Trucking
Utility Sales/Service
Warehousing/Supplies
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016
LYRB
BUSINESS LICENSE FEE ANALYSIS
MIDVALE, UTAH
10 FEBRUARY 2016