Folsom adopts updated hall rental fee schedule

The Folsom City Council adopted a new facility rental fee schedule July 8 to increase revenue from city venues amid budget woes. "Many of the rental fees have not increased for over 10 to 14 years," said Parks & Recreation Department Director Kelly Gonzalez in her council report. Folsom offers a broad range of indoor and outdoor facilities for rent for special events, meetings and other gatherings, like the Community Center. In 2023-24, the department generated $443,839 in rental fee revenue from indoor facilities. Staff estimates an increase in annual rental revenue of $44,300 with the proposed fee increases. "The department values its commitment to the community but also recognizes that certain services primarily benefit individuals and the user should pay a higher cost recovery," staff said in the report. Staff did an additional review of the nonprofit rates. In review, the Rotary Clubhouse and Community Center Full Ballroom had the largest discount in comparison to other rental programs for parks and recreation departments. The city of Folsom's nonprofit rate discounts ranged between 46 and 64 percent. In comparison to other rec facility fee programs nearby, Folsom has the highest discounted nonprofit rate. The average nonprofit discount is between 12 and 35 percent at other local agencies in the region, staff said. On an ongoing basis, the department will review and adjust fees and create new fees based on trends in the market, staff said. On the motion of District 2 Councilmember and Vice Mayor Justin Raithel, the council voted 4-1 to adopt the new fee schedule, including an amendment giving staff the power to adjust posted prices up to 20 percent on any given day, on top of a 10-percent annual flexibility. For example, popular Folsom dates are booked up to a year in advance, but there may be 70 inquiries later for the same day, explained Raithel. "We should respond to market demand," he said. "If we're in a budget crisis, we should start running this place like a business."