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Item No. io B Staff Report No. Meeting Date: 11/15/99 Type of Business: CB WK: Work Session;PH:Public Hearing; CA:Consent Agenda;CB:Council Business City of Mounds View Staff Report To: Mayor and City Council Members From: Rick Jopke, Community Development Director Item Title/Subject: Discussion of Fee Increases for Year 2000 Date of Report: November 9, 1999 BACKGROUND At the November 1, 1999 work session staff discussed proposed year 2000 fee increases with the City Council for various permits issued by the Community Development Department. Fees have not been changed since 1998. Attached is a list of fees that are proposed to be changed effective January 1,2000. A number of the fees are proposed to be changed to reflect typical project values as suggested by the Uniform Building Code. Others are being adjusted to better cover City review costs. The City Council also discussed options for implementing additional plan check fees. Community Development Department staff indicated some concerns that this increase could result in a substantial increase in permit fees paid by homeowners and/or their contractors. It could discourage property owners from improving their property. There currently are no plan check fees charged for projects under$10,000. The plan check fee would be equal to 65%of the building permit amount. Alternative strategies considered would be to lower the threshold from $10,000 to $5,000 , implement the fee increase over a two or three year period instead of all at once and to charge plan check fees based on the type of project. The City Council directed staff to bring forward a proposal to charge a plan check fee based on the amount of plan check that is actually required. After further discussion with Connie Forsythe,the plan check fee alternative that makes the most sense to staff would be to charge the plan check fee only on projects that require a substantial amount of staff review. These would include commercial projects,projects over$10,000, garages, garage additions, house additions, decks, large sheds, and major remodeling where structural alterations are proposed. Roofing, siding,window replacement, driveways, fences, and similar projects don't require a plan review and therefore will not require a plan check fee. STAFF RECOMMENDATION Staff recommends that the City Council approve the attached resolution No. 5382 amending the City of Mounds View Schedule of Fees and Charges. Rick Jopke, Community Development Director N:\DATA\USERS\Rickj\SHARE\111599 fee report.doe