ITEM 9-C

Council Mtg:  November 10, 1992

TO:       Mayor and City Council

FROM:     City Staff

SUBJECT:  Recommendation to Adopt Resolution Exempting Owners  of
          Large Family Day Care Centers from Any Planning Fee

INTRODUCTION

This report recommends the adoption of a  resolution  eliminating
the  planning  fee  for Large Family Day Care Centers (facilities
with from seven to twelve children).  At the City Council hearing
on  revisions  to  the  Zoning  Ordinance  relating to child care
facilities held on September 22, 1992, the Council directed staff
to  return to Council with the appropriate action eliminating the
fee charged by the City for processing of a Performance Standards
Permit   for   Large  Family  Day  Care  Centers.   The  attached
resolution does this.

DISCUSSION

On  September  11,  1990,  the  Council  adopted  Resolution  No.
8082(css)  amending an earlier Council resolution (Resolution No.
7607(ccs) and setting  the  application  fee  for  a  variety  of
permits, including the Performance Standards Permit (PSP).  Under
the provisions of Resolution 8082 and until the Council made  the
recent  changes  to  the  Zoning Ordinance relating to child care
facilities, a $350 fee was charged for the PSP required for Large
Family Day Care Centers.

As the Council heard during testimony at  its  hearing  regarding
child care facilities, Large Family Day Care Centers are marginal
business operations which have minimal discretionary funds to use
in  opening  their  doors to accommodate the children who will be
cared for.  The Council was convinced that it would be prudent to
eliminate  the  current fee to help encourage those interested in
starting child care facilities.  Therefore, the Council  directed
staff to return with this action, eliminating the application fee
for Large Family Day Care Centers.

BUDGET/FINANCIAL IMPACT

It is anticipated that there may be three to  five  Large  Family
Day Care Centers started per year.  Thus, the loss in revenues to
the City from elimination of the fee should be minimal  ($1050  -
$1750 per year).

RECOMMENDATION

It  is  respectfully  recommended  that  the  Council  adopt  the
attached  resolution  eliminating  the  fee  for  the Performance
Standards Permit for Large Family Day Care Centers.

Attachment:   Proposed Fee Resolution

Prepared by:  Paul V. Berlant, Director
              Land Use and Transportation Management Department


                     RESOLUTION NUMBER ____

                      (City Council Series)

             A RESOLUTION OF THE CITY COUNCIL OF THE
         CITY OF SANTA MONICA EXEMPTING OWNERS OF LARGE
             FAMILY DAY CARE CENTERS FROM PAYING ANY
                        APPLICATION FEES

      WHEREAS, the City Council has  adopted  Resolution  Numbers
7607  and  8082 (CCS), which establish fees for the processing of
various  applications  and  permits  handled  or  issued  by  the
Planning  Division  of the Land Use and Transportation Management
Department, including those necessary to open and operate a large
family day care center; and

      WHEREAS, there is a shortage of family day care centers  in
the City of Santa Monica; and

      WHEREAS, prospective owners and operators of  large  family
day care centers are often discouraged from pursuing applications
to open these centers because of the cost involved; and

      WHEREAS, the City Council  of  the  City  of  Santa  Monica
wishes  to  encourage the creation of additional large family day
care centers in the City of Santa Monica and wishes to remove any
unnecessary obstacles to their development,

      NOW, THEREFORE, THE CITY  COUNCIL  OF  THE  CITY  OF  SANTA
MONICA DOES RESOLVE AS FOLLOWS:

      SECTION 1.  Owners or operators of large  family  day  care
centers  shall be exempt from paying any applications fees, which
would otherwise be required to be  paid  pursuant  to  Resolution
Numbers 7607 (CCS) and 8082 (CCS), in conjunction with the owners
or operators seeking City approval or  permission  to  open  such
centers.

      SECTION 2.  Any Resolutions of the City of Santa Monica, or
any  parts  thereof,  inconsistent  with  the  provisions of this
Resolution are hereby repealed.

      SECTION 3.  The City Clerk shall certify to the adoption of
this Resolution, and thenceforth and thereafter the same shall be
in full force and effect.

APPROVED AS TO FORM:

__________________________________
JOSEPH LAWRENCE
Acting City Attorney