The URL can be used to link to this page

Home My WebLink About14.A. Proposed Fee Reduction Program /1 fro CITY OF SHAKOPEE COf~SE~JT MEMORANDUM To: Mayor and City Council Mark McNeill, City Administrator From: Travis Karlen, Recreation Supervisor Meeting Date: February 4, 2003 Subject: Proposed Fee Reduction Program INTRODUCTION We are proposing changes to the existing financial aid program to make it more user friendly, to track the program more effectively, and to provide assistance for programs that have not been included in the past. After comparing our program to those in other communities, we came up with several changes. BACKGROUND For many years the City has offered financial assistance for youth programs and the learn-to-swim program. Participants are able to sign up each child in their family for one swimming lesson and one youth program per session at a reduced price. The price of the program is charged at the rate of 45% of the actual cost. The minimum payment is $16 for any programs. To qualify for the existing program, participants must fall into the income guidelines that are noted on the application (Attachment #1 ). Over the past few months, I have been reviewing our current financial aid program (Attachment #1), and comparing it to programs from other communities. Some of the concerns identified with our current program are as follows: 1. Because of the way the program was designed, families that are experiencing temporary financial hardship are not eligible due to their income level from the previous year. 2. Families are required to provide us with the previous years tax information. a. Some families could not find the information we were looking for. b. In the case of divorced families, it was difficult to determine whether to use the father's income or the mother's income from the previous year. 3. The program was not available for memberships to the Community Center, and some other programs. 4. The program is only available to youth in our community. We came to the consensus that revising the policy to model a program used by Eden Prairie would be beneficial. The program they offer provides flexibility to determine levels of financial hardship by means other than tax information. It also increases the number of eligible programs and services. DISCUSSION Changes being proposed to the current policy include the following: 1. The program would be renamed the Fee Reduction Program to reflect that it may be used for all ages. 2. Instead of deducting a percentage off of the actual cost, each eligible participant would have an annual financial assistance account for $100. These funds can be used for any eligible program after the initial 50% is paid in full. 3. A separate application would be filled out for each individual participant. This would be beneficial for separated families. 4. Memberships, adult registrations, and the aquatic park would be added to the program. (Participants would be able to use the program to purchase one 20- punch card annually to use at the Aquatic Park and Jr. High.) 5. In place of using tax information, we would be using other means to determine if a patron qualifies for the program: . The first is the free and reduced lunch program, through the school district, which follows the same sliding income scale that we have used in the past. The table below shows the comparison of the reduced school lunch program to our program. . If they do not have a child in school, they may also qualify by providing proof of participation in Scott County's financial assistance program. These income guidelines are a lower than the reduced lunch program; therefore if we were using free and reduced lunches as a standard, it would include families receiving financial assistance through the county. Income Guidelines ComDarison Family Proposed 2003 Guidelines Existing 2002 Guidelines Size (Reduced Lunch) (Parks and Recreation Fee Reduction) Yearly Monthly Weekly Yearly Monthly Weekly 2 22098 1841 425 20461 1706 394 3 27787 2316 535 25678 2140 494 4 33485 2791 644 30895 2575 595 5 39183 3266 754 36112 3010 695 6 44881 3741 864 41329 3445 795 7 50579 4215 973 46546 3879 896 8 56277 4690 1083 51763 4314 996 Each 5698 475 110 5217 435 101 Additional BUDGET IMPACT Funding for financial assistance is obtained through our operating revenues. The average participant in the current program is using approximately $16 - $30 for each session. If they use that same amount for all 4 sessions of programs, annually they are deducting $64 - $120 from the actual fees for a total amount of $834 for 2002. With the proposed program, we would be allocating $100 annually to the participants. Since the income guidelines for the proposed program are similar to the existing program, we do not anticipate a significant increase in the amount of financial aid being issued. Our overall goal is to simplify the process by using existing financial assistance standards. RECOMMENDATION The Parks and Recreation Advisory Board reviewed the proposed program on January 2th and recommend its approval with the following consideration. . Sports associations should consider providing financial assistance based on this program. We will be meeting with associations later this spring and will discuss this with them. REQUESTED ACTION City Council is asked to adopt the new Fee Reduction Program and recommend its implementation. Attachment # 1 Current Youth Activity Fee Reduction Application Attachment #2 Proposed Fee Reduction Program Information Sheet Attachment #3 Proposed Fee Reduction Program Application Attachment #4 Vouchers Used for the Program ~ Jvr1 /C~ Travis M. Karlen Recreation Supervisor CurreN Po \I Cj Aftd.Lh me n,i #/ 2002 CiTY OF SHAKOPEE PARKS AND RECREATION YOUTH ACTIVITY FEE REDUCTION APPLICATION PARTICIPANT ACTIVITY REDUCED FEE WIN/SPR FALL SUM PARTICIPANT ACTIVITY REDUCED FEE WIN/SPR FALL SUM PARTICIPANT ACTIVITY REDUCED FEE WIN/SPR FALL SUM PARTICIPANT ACTIVITY REDUCED FEE WIN/SPR FALL SUM PARTICIPANT ACTIVITY REDUCED FEE WIN/SPR FALL SUM The City of Shakopee provides recreational programs for the youth of Shakopee. The City Council is concerned that not all residents can take advantage of these programs, due to economic reasons. The Park and Recreation Department offer fee reductions for families meeting the following requirements; 1. Applicant is a resident ofthe City of Shakopee ') Family income falls with the guidelines listed below or families are ..... receiving benefits from Scott County Human Services (AFDC). Verification is required. .. FAMIL Y SIZE INCOME revised 1/2002 Yearly Month Week Yearly Month Week INCOME 2 20,461 1,706 394 6 41 ,329 3,445 795 GUIDELINES 3 25,678 2,140 494 7 46,546 3,879 896 4 30,895 2,575 595 8 51,763 4,314 996 5 36,112 3,010 695 For each additional family member, add 5,217 435 101 STATEMENT OF ELIGIBILITY: I have read and understand the requirements to be eligible for a reduced fee. I have provided the City of Shakopee with verification of my eligibility. My signature verifies my child's eligibility. I understand that falsification of any information provided will result in cancellation of this privilege. Print Name Address (MUST BE WITHIN THE CITY LIMITS) Home Phone Work Phone Household Size Signature of Parent or Guardian Date Activity fees will be charged at the rate of 45% of the actual cost. Minimum payment $16. FEE REDUCTIONS ARE NOT POSSIBLE FOR SKI CLUB. TRIPS OR SPECIAL EVENTS. For Approval - One of the following must be attached Most Recent Income Tax Form OR AFDC Case # -p(\ \ ; O:j Att~h mlV\ f #~ Yrof~ - What is the Fee Reduction Program? The Fee Reduction Program enables people to participate in City of Shakopee recreation programs who may otherwise be unable, due to fmancial constraints. How does the program work? Participants will receive an account with $100 credit per year. Participants can register for qualified programs by paying the first half of the program and deducting the remainder from their account (up to $100). How can the program be used? Participants may use their credit account to receive a reduced rate on recreation programs priced at more than $10. Programs that do not qualify for the program are: . Programs which fees are already under $10. . Special Events . Facility Rentals . Additional Fees in programs (supplies, tripor equipment rental) . Birthday Party Packages . Adult Team Registrations Participants may use this program for one 20 punch cardfor the Aquatic Park annually. Who is eligible to participate in this program? To qualify, applicants must be a Shakopee Resident. Applicants must meet one of the following criteria and submit supporting documentation. . Participation in a Free or Reduced Lunch Program through the Shakopee School District. . Eligibility to receive fmancial aid from Scott County. . Eligibility to receive Social Security Disability. . A financial hardship that prevents full payment of a program fee (short term or long term). How do I apply? Each applying individual fills out the Fee Reduction Application (one per person), attaches verification material and mails it to Shakopee Parks and Recreation, Judy Techam, 1255 Fuller Street South, Shakopee, MN 55379. When your eligibility has been verified (usually within a week), you will receive a letter of notification. You will then need to take that letter to the Community Center, 1255 Fuller Street South, to have your account set up for each individual. This account may only be used (Monday - Friday: 8:00 a.m. - 4:30 p.m.) for a recreation program and it cannot be transferred to another individual. How often must I apply? Each year program participants must obtain a new application and renew their accounts, if they choose. Why is the City offering this program? It is the City's belief that all people should be encouraged to participate in recreation programs: the City is committed to helping people overcome financial limitations that may make participation difficult. Who do I contact with questions? Contact Judy Techam at 952-233-3832. A -t+O-.c~ 'Me I'd :# 3 - ,----- ,--, Participant Name Address (MUST BE WITHIN CITY LIMITS) Home Phone Work Phone The City of Shakopee Parks and Recreation provides recreational programs for the residents of Shakopee. It is the City's belief that all people should be encouraged to participate in recreation programs. The City is committed to helping people overcome fmanciallimitations that may make participation difficult. The Program may be offered for individuals meeting one or more of the following requirements: 1. Participation in a Free or Reduced Lunch Program through the Shakopee School District. 2. Eligibility to receive fmancial aid from Scott County. 3. Eligibility to receive Social Security Benefits. 4. A financial hardship that prevents full payment of a program fee (short term or long term). STATEMENT OF ELIGIBILITY: I have read and understand the requirements to be eligible for the Reduced Fee Program. I have provided the City of Shako pee with verification of my eligibility. My signature verifies my child'slmy own eligibility. I understand that falsification of any information provided will result in cancellation of this privilege. Signature (parent or guardian if under 18) Date FEE REDUCTIONS DO NOT QUALIFY FOR SOME SERVICES (SEE FEE REDUCTION INFORMATION SHEET) OFFICE USE ONLY For approval - One of the Following must be attached. Proof of Free or Reduced Lunch _Eligibility to receive financial aid through Scott County - Case # _Eligibility to receive Social Security Disability Financial Hardship Af+O-cV\~ tf L/ - NAME: DATE PROGRAM NAME PROGRAM # FEE FOR COURSE FEE PAID ACCOUNT $ USED SIGNATURE DATE ------------------------------------------------------------------------------------------------------------ - NAME: DATE PROGRAM NAME PROGRAM # FEE FOR COURSE FEE PAID ACCOUNT $ USED SIGNATURE DATE ----------------------------------------------------------------------------------------------------------------------------- - NAME: DATE PROGRAM NAME PROGRAM # FEE FOR COURSE FEE PAID ACCOUNT $ USED SIGNATURE DATE ------------------------------------------------------------------------------------------------------------------------ - NAME: DATE PROGRAM NAME PROGRAM # FEE FOR COURSE FEE PAID ACCOUNT $ USED SIGNATURE DATE