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Item No. <br /> Staff Report No. <br /> Meeting Date: 11/1/99 <br /> Type of Business: WK <br /> WK: Work Session;PH:Public Hearing; <br /> CA:Consent Agenda;CB:Council Business <br /> City of Mounds View Staff Report <br /> To: Mayor and City Council Members <br /> From: Rick Jopke, Community Development Director <br /> Item Title/Subject: Discussion of Fee Increases for Year 2000 <br /> Date of Report: October 28, 1999 <br /> BACKGROUND <br /> As part of the year 2000 budget process staff has reviewed the fees that the City charges for various <br /> permits issued by the Community Development Department. Fees have not been changed since <br /> 1998. Attached is a list of fees that are proposed to be changed effective January 1,2000.A number <br /> of the fees are proposed to be changed to reflect typical project values as suggested by the Uniform <br /> Building Code. Others are being adjusted to better cover City review costs. <br /> The proposed fee change will also incorporate additional plan check fees as was previously <br /> discussed with the City Council. Community Development Department staff has some concerns <br /> about this increase. It would result in a substantial increase in permit fees paid by home owners <br /> and/or their contractors. It could discourage property owners from improving their property. There <br /> currently are no plan check fees charged for projects under$10,000. The City Council has directed <br /> staff to bring forward a proposal to charge a plan check fee on all projects. The plan check fee would <br /> be equal to 65%of the project value. Other concerns would be that the amount of review required <br /> for small projects may not justify a full plan check fee and that such a large fee increase all at once <br /> may be a problem. Alternative strategies would be to lower the threshold from$10,000 to $5,000 <br /> and/or to implement the fee increase over a two or three year period instead of all at once. <br /> STAFF RECOMMENDATION <br /> Staff recommends that the City Council review the proposed fee increases, determine how the plan <br /> check fee should be implemented and direct staff to prepare a fee increase resolution for Council <br /> consideration at the November 15, 1999 City Council meeting. <br /> Rick Jopke, Co munity Development Director <br /> N:\DATA\USERS\Rickj\SHARE\11199 fee report.doc <br />