GRIDLEY, CA (MPG) - The Gridley City Council has awarded a $34,000 contract to Matrix Consulting Group to complete a comprehensive cost allocation and master fee study, a long-needed review of the city’s fee structure that officials said has not been updated in years.

Finance Director Martin Pineda, who made the request, said the study will examine the full range of administrative, public safety, business licensing and service fees to determine whether they reflect the city’s true cost of providing those services. The analysis will also identify areas where the city may be under recovering revenue or missing fees that comparable agencies routinely charge.

Pineda said the city received only one proposal after issuing a request for proposals late last year. He noted, however, that Matrix has more than two decades of experience working with local governments and received strong recommendations from the Town of Paradise and the City of Chico.

“This will really focus on our master fee schedule, which to my knowledge has not been updated,” Pineda said. “There may be fees we are not charging for, or fees that are outdated. This gives us a chance to get everything current.”

City Administrator Elisa Arteaga said the study is not intended solely to increase fees. Instead, she said it will give the city accurate information about staff time, administrative costs and service demands. Some fees may decrease, while others may be restructured to better reflect workload.

Council members asked how the study might affect low-income residents and whether planning related pass-through costs should be included. Arteaga clarified that the contract does not include impact fees or consultant driven development costs, which are handled separately and billed directly to applicants.

“This is about transparency and making sure our fees are defensible,” Arteaga said. “It is time for an overhaul.”

The study will include meetings with department heads and is expected to return to the council for review later this summer. Matrix will also provide the city with tools to update the schedule annually, officials said.