Community Development Department DEVELOPMENT FEE STRUCTURE.
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Transcript of Community Development Department DEVELOPMENT FEE STRUCTURE.
Community DevelopmentDepartme
nt
DEVELOPMENT FEE STRUCTUREDEVELOPMENT FEE STRUCTURE
Community DevelopmentDepartme
nt
FINAL USER FEE STUDYJUNE 2007
Surplus/Deficit
Building Permits& Inspections
$2,509,634.76
Fire Permits $(32,067.45)
Engineering Permits $(270,739.60)
Community Development
$(453,684.38)
Community DevelopmentDepartme
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Why the Surplus?Why the Surplus?
$5,329,978
$4,300,389
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
Revenues Expenditures
Building Division Revenue/ExpenditureFiscal Year 2004
*Planned Revenues for Building Division Start-Up Costs
$1,029,588
Building Division Staffing
0 5 10 15 20 25 30 35 40
2009
2005
Number of Staff
20 Inspectors
6 Inspectors
Building Off icial
Building Off icial
3 Plans Examiners
3 Plans Examiners
7 Permit Techs
4 Permit Techs
3 Supervisors
2 Supervisors
Administrative Assistant
Data Clerk
Technical Capabilities - 43 Inspector/Examiner Licenses
Investment in Cross Training
$5,413,488
$2,392,501
$5,350,970
$2,351,981
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
Sept. 30, 2005 Sept. 30, 2006
Fiscal Year Ending
Building Division Revenue/Expenditure
Revenues
Expenditures
*Fastest Grow ing City/County in the United States*
$489,000*
$940,000
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
$800,000
$900,000
$1,000,000
Revenues Expenditures
Building Division Revenue/ExpenditureFiscal Year 2009 Year-to-Date
*Fee Reduction 7/15/08
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
Sept. 30, 2004 Sept. 30, 2005 Sept. 30, 2006 Sept. 30, 2007 Sept. 30, 2008
Fiscal Year Ending
Building Division Revenue/Expenditure
Revenues
Expenditures
$1.02 M*
$3.0 M$3.02 M
$98 K - $186 K*
*Planned Revenues for Start-Up Costs
*Fee Reduction 7/15/08
Community DevelopmentDepartme
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Why the deficit?
Surplus/Deficit
Building Permits& Inspections
$2,509,634.76
Fire Permits $(32,067.45)
Engineering Permits $(270,739.60)
Community Development
$(453,684.38)
Community DevelopmentDepartme
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Why the Deficit?• Adopted the Flagler County Land Development Code in 2000 and related fee schedule.• City Council adopted its first Unified Land Development Code on August 19, 2008.
Land Development Revenue/Expenditures • Salary and Wages (FY 08): $860,021• Fees Collected (FY 08): $55,157• Percent of labor cost offset by collection of fees 6.4% Site Development Revenue/Expenditures• Salary and Wages (FY 08): $598,697• Fees Collected (FY 08): 0• Percent of labor cost offset by collection of fees 0%
Community DevelopmentDepartme
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Land Development Code Services without Established Fees
• Vacation of Easement/Street/Plat• Administrative Deviation of
Development Standards• Concurrent Application• Transportation Deferral Affidavit
or Evaluation• Proportionate Fair Share
Agreement Application• Environmental, Landscape and
Arborist Services• Nonresidential Tree Removal• Technical Review for FEMA Map
Revisions and Base Flood Elevations
• Tree Bank Fund• Site Development Application• Site Development Re-Inspection
• Inspection fee• Roadway Inspection• Abated Application• Binding Lot Rescission• State Application Zoning Review• Flood Zone Determination Letter• Land Use Verification Letter• Master Site Plans• Subdivision Nonstatutory• Pre-Application Compliance
Review• Land Development Resubmittal
Fees• Development Order Modification• Development Order Extension• Appeals
Note: No Fee increases proposed for previously approved application types
Community DevelopmentDepartme
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Fee Schedule ProposalFee Schedule Proposal
Community DevelopmentDepartme
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Initial Fee Proposal to Builders
• The following is the proposed plan for reducing building department reserves (revenues minus expenditures) accumulated since October 2004. As of January 31, 2009 this reserve contains $6,745,990.
• Maintain an emergency reserve of $2 million.• Set aside $2 million for construction of the building department space
within a new city hall facility. Any unexpended portion of the $2 million will remain in the building department reserves.
• Discount building permit fees for new construction by 50% and remodeling and other ancillary building permits by 90%. These discounts are expected to reduce the reserve by more than $1 million per year. When the building department reserves reach the level needed to maintain the emergency reserve and provide the necessary funding for the construction of the building department space in city hall, then the discounts will be removed.
• Other fees such as development fees and engineering fees will be adjusted to reflect actual cost as determined by the rate study completed in June 2007.
• Depending on the amount of building permit activity, it is expected that it will take two to three years to reduce the building department reserves to the desired level.
Community DevelopmentDepartme
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Counter-Proposal from Homebuilders
Community DevelopmentDepartme
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Fee Proposal• 90% Discounted Building Permit Fees• Immediate Implementation• January 1, 2012 Automatic Sunset Date• $2 Million Dedicated Reserve
– Cost of Building Division Space in City Hall– Balance for Emergency Permitting
• Promote as Economic Stimulus for Construction Industry with Emphasis on Home Repair, Improvements, etc…
Now’s the time to build!
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
Sept. 30,2004
Sept. 30,2005
Sept. 30,2006
Sept. 30,2007
Sept. 30,2008
Sept. 30,2009
Sept. 30,2010
Sept. 30,2011
Fiscal Year Ending
Building Division Revenue/Expenditure
Revenues
ExpendituresProjected
With 90% Fee Reduction
Building Division Fund Surplus
Operating Reserves
Capital Reserves
Surplus
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
Sept. 30, 2004 Sept. 30, 2005 Sept. 30, 2006 Sept. 30, 2007 Sept. 30, 2008 Sept. 30, 2009 Sept. 30, 2010 Sept. 30, 2011
Fiscal Year Ending
With 90% Fee Reduction
Community DevelopmentDepartme
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Land Development Fee Schedule
• No Fee Increases for Established Fees• Establish Fees for Site Development
Permitting (Engineering/Fire)• Establish Fees for All Development
Review Services. . . Equity• Delayed Implementation for 60 Days
Community DevelopmentDepartme
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Residential Fee Examples
Now’s the time for home improvements!
Permit Type CurrentFee
ProposedFee
FeeReduction
Single Family Residential
1,178 117 1,060
Building Addition/Alteration
277 27 249
Swimming Pool 220 22 198
Shed 40 4 36
Fence 40 4 36
Community DevelopmentDepartme
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Commercial Fee Examples
Now’s the time to invest!
Permit Type CurrentFee
ProposedFee
FeeReduction
New Construction 55k s.f. Hotel
54,087 5,408 48,678
New Construction 11k s.f. Restaurant
7,292 729 6,562
Addition/Alteration Valuation $200k
2,080 208 1,872
Addition/Alteration Valuation $37k
583 58 525