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I I I Council Meeting Minutes April 22, 1986 Kelley responded that it doesn't imply that, rather the two are just different ways of calculating fees (one is based on a flat fee, the other is based on interior); and feels current and proposed are both equitable because there is a rational basis for both systems. Brandt feels the policy of setting fees should be looked at more thoroughly, perhaps by FPAB; Kelley felt the proposal was a jumping-off point for further study. Benke questioned the cost of investigation involved for a small restaurant versus a large restaurant; Kelley believes the real issue is the number of people who are on the board and where they are located, rather than the classification of the facility (ie. several owners living in California would be more costly to investigate than a single local owner). Schmidt stated that, in looking at past practices in conducting surveys for various fees, we always want to be consistent with what the other communities are doing; feels it is important that, whatever the philosophy, we at least adopt a procedure to that we don't go 14 years to conduct a review again; and stated we did have the Financial Policy Advisory Board take a look at the application fee structure for IRB's, applications, etc. Schmidt asked what our precedent had been for the last few years, asking if we have consistently sent them to advisory boards or have they been researched by staff through surveys; Sinda stated that in the last two years the City has attempted to review fee structures on an annual basis by resolution; on the larger policy issue questions, they have been looked at by committees. Motion by Brandt, seconded by Gunderman, to REFER THE LIQUOR- RELATED FEES STUDY TO THE FINANCIAL POLICY ADVISORY BOARD FOR REVIEW AND RECOMMENDATION. Williams stated he was comfortable with the staff report and asked what the committee was to specifically look at and felt the motion should include those concerns. Brandt stated she would like the Board to identify what factors need to be considered in setting an equitable and economically feasible fee structure for this particular kind of a license activity; thinks they might look at factors that have been considered in the past which included the square footage of the operation; and should look at what should be considered under the proposed plan, which seems to be more related to how much of an effort it is for the City to issue the permission that is required (if it only takes a certain amount of effort, then it doesn't matter whether you have a very small or a very large operation, the fee might be the same). Page Six