Placer County California

Auburn Journal

4/29/08

Supervisors order restaurant fee hike

Eatery owners argue increase will hurt customers

By Gus Thomson, Journal Staff Writer

Already hit with skyrocketing food prices, Placer County restaurant owners will now have to factor in rising health inspection fees.

Placer County supervisors served up an inspection-fee increase to restaurant owners Tuesday, with a side order of budgetary prudence.

The board voted 4-1 to phase in fee increases over three years to a point where it estimates no further subsidization would be necessary. That would raise the county’s example of a typical inspection charge from $500 this year to $903 by 2010.

The vote by supervisors was recommended by Health & Human Services Department staff and opposed by several speakers from the restaurant industry and Supervisor Bruce Kranz.

Restaurateurs said that the county should either phase the increase in over five years or continue to have the inspections subsidized with money from the general fund. The county estimates that just under $2 million of the inspection budget is being paid for through the general fund.

Supervisor Kirk Uhler said that with an expected $23 million deficit this year that would likely go higher as the state develops a better picture on its shortfall, the county can’t afford to hold off on what he described as tough financial decisions.

“I refuse to allow this county let things get out of control,” Uhler said, pointing to fiscal problems at the state level and noting that building inspection and other fees are covered fully by other sectors of the economy without subsidies.

Supervisor Robert Weygandt said that he understood restaurant customers would ultimately pay for the fee-increase costs but the reality for the county is that it is mandated by the state to perform inspection services.

“Philosophically, it’s a no-brainer,” Weygandt said. “Inspection fees shouldn’t be subsidized by the general taxpayer.”

Kranz made a plea for partial subsidies, saying the full increase would “put an undue burden on our small businesses.”

“The taxpayer is going to pay one way or another,” Kranz said.

The county inspects 1,796 retail food facilities. Dr. Richard Burton said that over the past five years, inspection staff has grown 7 percent while the number of permitted facilities grew by 50 percent.

Burton said the environmental health inspection division is doing the minimal number of inspections and has left six positions unfilled.

As a reward for eateries that pass inspection with no major or minor violations, food facilities achieving 100 percent compliance will not be charged any fee increase for the 2008-09 fiscal year and then be charged 50 percent of the proposed fee increase. About 6 percent of all food facilities reach that level.

Food facilities with no more than two minor violations but in compliance with all major criteria will be charged 75 percent of the proposed increases. About 12 percent qualify.

Nell Curran of Bootlegger’s in Old Town Auburn asked the board to consider a split between what restaurants pay and the county contribution.

After the meeting, she said that the inspection fees will put more pressure on restaurants when it’s hard to raise prices because customers are also feeling the pinch.

“Our bread company just raised bread prices because of the cost of wheat,” Curran said. “The cost of

seafood is up. Every delivery has a surcharge to cover fuel costs. We have to make it work somehow.”

The Journal’s Gus Thomson can be reached at gust@goldcountrymedia.com.

Home > Board of Supervisors > District 5 > Bruce In The News > > April 29, 2008 - Auburn Journal - Supervisors order restaurant fee hike
	Auburn Journal 4/29/08 Supervisors order restaurant fee hike Eatery owners argue increase will hurt customers By Gus Thomson, Journal Staff Writer Already hit with skyrocketing food prices, Placer County restaurant owners will now have to factor in rising health inspection fees. Placer County supervisors served up an inspection-fee increase to restaurant owners Tuesday, with a side order of budgetary prudence. The board voted 4-1 to phase in fee increases over three years to a point where it estimates no further subsidization would be necessary. That would raise the county’s example of a typical inspection charge from $500 this year to $903 by 2010. The vote by supervisors was recommended by Health & Human Services Department staff and opposed by several speakers from the restaurant industry and Supervisor Bruce Kranz. Restaurateurs said that the county should either phase the increase in over five years or continue to have the inspections subsidized with money from the general fund. The county estimates that just under $2 million of the inspection budget is being paid for through the general fund. Supervisor Kirk Uhler said that with an expected $23 million deficit this year that would likely go higher as the state develops a better picture on its shortfall, the county can’t afford to hold off on what he described as tough financial decisions. “I refuse to allow this county let things get out of control,” Uhler said, pointing to fiscal problems at the state level and noting that building inspection and other fees are covered fully by other sectors of the economy without subsidies. Supervisor Robert Weygandt said that he understood restaurant customers would ultimately pay for the fee-increase costs but the reality for the county is that it is mandated by the state to perform inspection services. “Philosophically, it’s a no-brainer,” Weygandt said. “Inspection fees shouldn’t be subsidized by the general taxpayer.” Kranz made a plea for partial subsidies, saying the full increase would “put an undue burden on our small businesses.” “The taxpayer is going to pay one way or another,” Kranz said. The county inspects 1,796 retail food facilities. Dr. Richard Burton said that over the past five years, inspection staff has grown 7 percent while the number of permitted facilities grew by 50 percent. Burton said the environmental health inspection division is doing the minimal number of inspections and has left six positions unfilled. As a reward for eateries that pass inspection with no major or minor violations, food facilities achieving 100 percent compliance will not be charged any fee increase for the 2008-09 fiscal year and then be charged 50 percent of the proposed fee increase. About 6 percent of all food facilities reach that level. Food facilities with no more than two minor violations but in compliance with all major criteria will be charged 75 percent of the proposed increases. About 12 percent qualify. Nell Curran of Bootlegger’s in Old Town Auburn asked the board to consider a split between what restaurants pay and the county contribution. After the meeting, she said that the inspection fees will put more pressure on restaurants when it’s hard to raise prices because customers are also feeling the pinch. “Our bread company just raised bread prices because of the cost of wheat,” Curran said. “The cost of seafood is up. Every delivery has a surcharge to cover fuel costs. We have to make it work somehow.” The Journal’s Gus Thomson can be reached at gust@goldcountrymedia.com.