HomeMy WebLinkAboutMemo - Mail Packet - 12/7/2021 - Memorandum From Rebecca Everette And Monica Martinez Re: Development Review And Building Permit Fee Effective Dates
Community Development & Neighborhood Services
281 North College Avenue
P.O. Box 580
Fort Collins, CO 80522.0580
970.416.2740
970.224.6134- fax
fcgov.com
Planning, Development & Transportation Services
MEMORANDUM
DATE: December 2, 2021
TO: Mayor Arndt and City Councilmembers
THRU: Kelly DiMartino, Interim City Manager
Kyle Stannert, Deputy City Manager
Caryn Champine, Planning, Development & Transportation Director
Paul Sizemore, Community Development & Neighborhood Services Director
FROM: Rebecca Everette, Planning Manager
Monica Martinez, Financial Planning & Analysis Manager, PDT
RE: Development Review and Building Permit Fee Effective Dates
Summary
The purpose of this memo is to provide an update to Council about the new Development Review and
Building Permit fees that will take effect on January 1, 2022. This will conclude a multi-year project to
ensure that building and development fees provide cost recovery for City services.
Outreach over the past three years has included a fee advisory group, boards and commissions,
development stakeholders, and Council Finance Committee. The proposed fee changes have been
thoroughly vetted, validated for cost recovery, and reviewed through an “equity lens” to ensure small
projects are not disproportionately impacted.
Background
The current building and development review fee schedule has been in effect since January 2000, and it
has not been holistically reviewed and updated since then. Meanwhile, the City’s costs to process
applications have risen significantly, particularly as code requirements have evolved and development
has increased in complexity.
A fee study was conducted in 2019, and results were reviewed through a robust public outreach process
and with the Council Finance Committee, who supported the changes. Building and development review
fees are approved administratively by the City Manager, but due to the nature of the changes (both in
methodology and in amounts), Council has been informed of the changes and impacts throughout the
project. Detailed information on the fee study, methodology changes, stakeholder outreach, and Council
Finance Committee review can be found in Attachment 3.
The new building and development review fees are grounded in the following principles:
Fees should be set to recover costs for the services provided. Cost recovery should be as close
to 100% as possible.
Fees should reflect the staff time required for all departments that review projects, including
Planning, Building, Historic Preservation, Engineering, Utilities, Traffic Operations, Forestry,
Parks, IT, City Attorney, City Clerk, and administrative support functions.
The fee methodology should account for the variability in size and scope of projects, to ensure
small projects are not disproportionately impacted.
The fees should be clear, predictable and easy for customers to calculate themselves.
2
Because the fees have not been updated in many years and several fee methodology inputs have
changed, fee amounts are generally increasing. Due to the methodology shift, it is not possible to do a
fee-by-fee comparison; however, a development-by-development comparison was done to demonstrate
the impacts on individual projects. These comparisons are provided in the PowerPoint presentation
included with Attachment 3 of this memo.
The updated fees were originally scheduled to take effect April 1, 2020. Implementation was delayed to
allow more time for the fees to be programmed in the City’s Accela permitting system and to ensure all
fees had been validated and reviewed through an equity lens. As a result, the fee schedule has been
slightly revised from what was presented to the Council Finance Committee in 2020. The revisions are
intended to:
Account for additional reviewing departments that were not initially included
Ensure fees for small projects are reasonable and equitable, including the creation of reduced fee
option for “limited-scope projects.”
Ensure final quality control of all data inputs.
The final fee amounts are included as Attachment 1.
Code Requirements and Authority for Fee Updates
The City Manager is authorized to set fees based on the costs of providing development and building
permit review services, pursuant to City Code Sec. 7.5-2. The Land Use Code (Sec. 2.2.3.D) establishes
the cost recovery model for development and building permit fees:
1. Recovery of Costs. Development review fees are hereby established for the purpose of
recovering the costs incurred by the City in processing, reviewing and recording applications
pertaining to development applications or activity within the municipal boundaries of the City, and
issuing permits related thereto. The development review fees imposed pursuant to this Section
shall be paid at the time of submittal of any development application, or at the time of issuance of
the permit, as determined by the City Manager and established in the development review fee
schedule.
2. Development Review Fee Schedule. The amount of the City's various development review fees
shall be established by the City Manager and shall be based on the actual expenses incurred by
or on behalf of the City. The schedule of fees shall be reviewed annually and shall be adjusted, if
necessary, by the City Manager on the basis of actual expenses incurred by the City to reflect the
effects of inflation and other changes in costs. At the discretion of the City Manager, the schedule
may be referred to the City Council for adoption by resolution or ordinance.
Developer and Builder Cost Impacts
In order to understand and quantify the impact on development, staff did a comparative study on existing
developments. Samples were chosen based upon common application types including: Infill
development, Single Family Homes, Multi-family, Affordable Housing, Commercial Buildings and
Industrial Uses. Fees within this study generally increased ~30%; however, as part of the overall fee
stack, the updates resulted in minor changes (from less than 1% to 10% of total City Fees). Additional
details are provided in the PowerPoint presentation included with Attachment 3 of this memo.
City Cost and Revenue Impacts
Since the fees charged are intended to cover the costs to provide the service, an analysis was done to
evaluate the costs to the City of development review and building permits based on the 2018 volume of
permit applications. In 2018, the City collected $5.6 million in development related fees, which were
intended to cover the costs of those services. The actual total cost of the services provided by the City in
2018 was closer to $7.6 million. Even with the implementation of the new fees, total cost recovery is not
3
currently anticipated, as certain development review fees were adjusted downward to ensure that they
are reasonable for the customer. All fees will be subject to additional review in two years' time.
*Infrastructure Inspection fees were implemented in 2021 and are on track to exceed revenue projections
Next Steps
In October 2019, Council Finance Committee was supportive of the fee updates and recommended
adoption of the updated methodology and fee schedule by the City. If no other major concerns are
brought forward, the City Manager will administratively approve the fee changes, and the new fees will
take effect January 1, 2022.
Notice of the upcoming fee changes has been posted on the City’s website since November 2020, and
staff have also shared information about upcoming fee changes directly with applicants. Additional email
and online communication will ensure all stakeholders are informed of the new effective date immediately.
Staff is also available for 1-on-1 conversations with any customers who would like more information.
Online notice provided in November 2020: https://www.fcgov.com/building/files/january-2021-fee-
updates-memo-with-attachments.pdf?1606854786
Attachments
Attachment 1: Updated Development Review and Building Fee Schedule
Attachment 2: March 2020 Memo to City Manager Re: Development Review Fees Effective Date
Attachment 3: January 2020 Memo to City Council Re: Development Review and Building
Permit Fee Updates, including Council Finance Presentation and additional attachments
City of Fort Collins Development Review Fees
Service Name Fee Notes
Planning Services
Annexation $5,825
Rezoning $4,800
Plan Amendment $11,150 Applies to requested amendments to City Plan, Structure
Plan or adopted Subarea Plans.
Text Amendments $3,200 Applies to requested amendments to Land Use Code.
Planned Unit Development (PUD)$54,475
Overall Development Plan $11,775
Project Development Plan (PDP) $27,675 For combined PDP/FDP projects only the PDP fee is
assessed (not the FDP fee).
Final Development Plan (FDP) $21,575 For combined PDP/FDP projects only the PDP fee is
assessed (not the FDP fee).
Basic Development Review (BDR) $16,900
Major Amendment $18,975
Minor Amendment / Change of Use $1,500
Minor Subdivision $2,300 For projects that include subdivision only, no land use
approval.
Infrastructure Project $13,625 For projects that include grading or infrastructure only, no
land use approval.
Extra Occupancy Unit $2,025 Fee assessed per unit.
Modification of Standards $1,675
Applies to stand-alone modification requests (not in
conjunction with a development plan). Fee assessed for
each modification requested.
Addition of Permitted Use (APU) $3,500 Applies to stand-alone APU requests (not in conjunction with
a development plan).
Additional Rounds of Review $3,000 Charged once for projects that require 4 or more rounds of
review.
Preliminary Design Review (PDR) $1,000
Appeal of Administrative Decision $100
For appeals of Basic Development Review, Minor
Amendment, Administrative Interpretation, or other decisions
by the Director.
Limited-Scope Project $6,925 Director approval required based on project-specific criteria.
Engineering Services
Development Construction Permit (DCP) $2,425
Easement/Right-of-way Dedication $725
Easement Vacation $1,300
Right of Way Vacation $2,050
Zoning Services
Off-site Construction Staging $475
Variance $300
Short Term Rental Denial Appeal $100
Zoning Verification Letter $100
Parkway Landscape Amendment No fee
*All fees effective January 1, 2022.
**Fees cover costs of all departments involved in reviewing or processing the project (including Planning, Engineering, Utilities,
Forestry/Parks, administrative support, mailings, sign postings, and other functions).
City of Fort Collins Building Permit Fees
New Buildings
Service Name Fee
A (Assembly)$0.40
B (Business)$0.50
E (Educational)
Set by State, not
assessed by City
F (Factory)$0.35
I (Institutional)$0.50
M (Mercantile) $0.40
R-1 (Hotel)$0.35
R-2 (Apartment)$0.35
R-3 (Single Family Detached/Duplex)$0.65
$0.55 (stock plan)
R-4 (Assisted Living)$0.55
S (Storage)$0.40
U (Utility) $0.40
Tenant Improvements
Valuation Fee
Valuation up to: $2,000 $105
$25,000 $105 for the first $2k, then $15.5 for each $1k after
$50,000 $462.5 for the first $25k, then $10.5 for each $1k after
$100,000 $725 for the first $50k, then $6.5 for each $1k after
$500,000 $1050 for the first $100k, then $60 for each $10k after
Greater than $500,000 $3450 for the first $500k, then $55 for each $10k after
Flat Fees
Service Name Fee
Air Conditioner Replacement $65.00
Antennas $65.00
Basement Finish $155.00
Boiler Replacement $65.00
Commercial Roof Replacement $210.00
Commercial Signs $65.00
Demolition $65.00
Fireplace (Wood burning, pellet, gas, log)$65.00
Furnace Replacement $65.00
Gas Pipe Installation $65.00
Mobile Home Setup $85.00
Pool/Spa $110.00
Rooftop Unit Replacement $85.00
Single Family Deck or Patio Cover $110.00
Residential Roof Replacement $85.00
Solar PV Systems $65.00
Temporary Sales or Construction Trailer Setup $85.00
Upgrade/ Replace Electrical Service $65.00
Water Heater Replacement $65.00
Window Installation $65.00
Stock Plans:
Single Family Attached $550.00
Single Family Detached $550.00
Duplex $550.00
fcgov.com
fcgov.com
Recovery of Costs.
Development Review Fee Schedule
Development Review Fees
Infrastructure Inspection Fees
Building Permit Fees
Planning, Development & Transportation
Community Development & Neighborhood Services
Collins
www.fcgov.com
MEMORANDUM
DATE:
TO:
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CONSTRUCTION OF NEW BUILDINGS (Permit and Plan Check):Total Cost
/ Sq Ft
Total Cost
/ Sq Ft
Stock Plan
Staff
Recommended
Stock Plan -
Staff
Recommended
A (Assembly) 0.37$ 0.40$
B (Business) 0.46$ 0.50$
E (Educational) (set by State, not able to allocate)
F (Factory)0.33$ 0.35$
I (Institutional)0.46$ 0.50$
M (Mercantile)0.37$ 0.40$
R-1 (Hotel)0.30$ 0.35$
R-2 (Apartment) 0.32$ 0.35$
R-3 (Single Family Detatched/Duplex) 0.62$ 0.51$ 0.65$ 0.55$
R-4 (Assisted Living)0.52$ 0.55$
S (Storage)0.37$ 0.40$
U (Utility) 0.36$ 0.40$
New Building Pricing
Up to Value:Scale
2,000$ $105
25,000$ $105 for the first $2k, then $15.5 for each $1k after
50,000$ $462.5 for the first $25k, then $10.5 for each $1k after
100,000$ $725 for the first $50k, then $6.5 for each $1k after
500,000$ $1050 for the first $100k, then $60 for each $10k after
1,000,000$ $3450 for the first $500k, then $55 for each $10k after
Tenant Improvements
Project Type:Cost/Service Staff
Recommended
Air Conditioner Replacement 60.04$ 65.00$
Antennas 60.04$ 65.00$
Basement Finish 150.11$ 155.00$
Boiler Replacement 60.04$ 65.00$
Commercial Roof Replacement 200.14$ 210.00$
Commercial Signs 60.04$ 65.00$
Demolition 60.04$ 65.00$
Fireplace (Wood burning, pellet, gas, log) 60.04$ 65.00$
Furnace Replacement 60.04$ 65.00$
Gas Pipe Installation 60.04$ 65.00$
Mobile Home Setup 80.06$ 85.00$
Pool/Spa 100.07$ 110.00$
Rooftop Unit Replacement 80.06$ 85.00$
Single Family Deck or Patio Cover 100.07$ 110.00$
Residential Roof Replacement (under XXX square feet) 80.06$ 85.00$
Solar PV Systems 60.04$ 65.00$
Temporary Sales or Construction Trailer Setup 80.06$ 85.00$
Upgrade/ Replace Electrical Service 60.04$ 65.00$
Water Heater Replacement 60.04$ 65.00$
Window Installation 60.04$ 65.00$
Stock Plans:Cost/Service Staff
Recommended
Single Family Attached 529.60$ 550.00$
Single Family Detached 529.60$ 550.00$
Duplex 529.60$ 550.00$
Flat Fee Services
INSPECTION FEES: Measure Cost/Service
Staff
Recommended
Minimum
Charge
Boring linear ft. (NEW) 0.35$ 0.40$ 50.00$
Concrete or asphalt square yards 2.50$ 2.55$ 50.00$
Drive Approach square yards 1.39$ 1.40$ 50.00$
Fire Access Grass Crete square yards 0.63$ 0.65$ 50.00$
Fireline Fitting ( Bend, Tee, Cross ) each 83.37$ 85.00$
Gutter CrossPans square yards 2.50$ 2.55$ 50.00$
Meter Pit (1 1/2") each 125.05$ 130.00$
Meter Pit (3" ) each 396.00$ 400.00$
Meter Pit (3/4" ) each 125.05$ 130.00$
Pedestrian Ramps each 97.26$ 100.00$
Potholes each 27.79$ 30.00$ 50.00$
Reinforced Concrete Pipe linear ft. 1.46$ 1.50$ 50.00$
Sanitary Sewer Main linear ft. 2.24$ 2.25$ 50.00$
Sewer Connection/Disconnect each 229.26$ 230.00$
Sewer Manhole each 166.74$ 170.00$
Sewer Service Line Stub each 416.85$ 150.00$
Sidewalk, trails, curb/gutter, curb/gutter w sidewalk linear ft. 2.50$ 2.55$ 50.00$
Stormwater Manhole each 166.74$ 170.00$
Structural concrete, masonry or stone work for retaining
walls, box culverts, wing walls, drop structures or other linear ft. 2.92$ 2.95$ 50.00$
Trench linear ft. 2.29$ 2.30$ 50.00$
Water Connection/Disconnect each 250.11$ 255.00$
Water Fitting ( Bend, Tee, Cross ) each 83.37$ 85.00$
Water Main linear ft. 2.40$ 2.45$ 50.00$
Water Main (Fire Line)** linear ft. 2.40$ 2.45$ 50.00$
Water Service Line Stub each 416.85$ 150.00$
APPURTENANCES:
Fire Hydrant each 250.11$ 255.00$
Fittings each 83.37$ 85.00$
Inlet each 229.26$ 230.00$
Valve and Valve Box each 104.21$ 105.00$
DRIVEWAY PERMIT:
For driveway up to 15' wide each -$ 75.00$
EXCAVATION PERMITS:
Application Fee each 41.68$ 45.00$
Infrastructure Construction Inspection
Service Name: Cost/Service
Staff
Recommended
Addition of Permitted Use 5,807$ 5,825$
Additional Rounds of Review 6,629$ 6,650$
Annexation 5,103$ 5,125$
Basic Development Review 13,783$ 13,800$
Change of Use 4,793$ 4,800$
Development Construction Permit (DCP): 2,001$ 2,025$
Easement Vacation 1,018$ 1,025$
Easement/Right-of-way Dedication 672$ 675$
Extra Occupancy Rental 1,730$ 1,750$
Final Plan 17,242$ 17,250$
Limited-Scope Project (Director Discretion) -$ 5,600$
Lot Line adjustments 329$ 350$
Major Amendment 15,379$ 15,400$
Minor Amendment 4,769$ 4,775$
Modification of Standards 1,559$ 1,575$
Off-site construction Staging 431$ 450$
Overall Development Plan 10,274$ 10,275$
Plan Amendment (for deviations from City Plan or Sub Area Plans) 10,419$ 10,425$
Prelminary Development Review 2,542$ 2,550$
Project Development Plan(PDP) Initial 22,406$ 22,425$
PUD Large +640 acres 109,656$ 109,675$
PUD Small 50 - 640 acres 42,155$ 42,175$
Reasonable Accomodation Request 519$ 525$
Rezoning 4,776$ 4,800$
Right of Way Vacation 1,593$ 1,600$
Road Project 11,640$ 11,650$
Short Term Rental Denial Appeal 182$ 200$
Text Amendments 2,973$ 2,975$
Variance 412$ 425$
Wireless telecomm - Final 3,148$ 3,150$
Wireless telecomm - Initial 2,991$ 3,000$
Zoning Verification Letter 140$ 150$
Planning Fees
Dependent on number of lots, acres of site disturbance and expected years of inspection
Erosion Control
Feature Type Measure C ost
Pourous Pavers quantity of instances 365$
Bioretention quantity of instances 315$
Extended Detention Basin quantity of instances 250$
Ungerground Treatment quantity of instances 415$
Stormwater Infrastructure
Detailed fee studies:In years without updates, an annual inflation adjustment occursPhase 1Phase 2Phase 32019 Fee Group – Development Review/Building Fees only
Development ReviewDevelopment Construction PermitBuilding Permit
Fee Type DescriptionWhen is it Paid?# of Application Types/Fees/Measures
Fee Type Methodology ChangesCost RecoveryImpact to Fees
Two FeesWhy NeededFees are Paid at Development Construction Permit
Fee Type Current Collections*Future*Total
Fee Comparison:For Median New Home Sales Price $488K* Fort Collins Proposed Fees in the Lower-Middle of the Pack
Neighboring CitiesNew Median Sales Comparison with FeesFort Collins Fees are Inline with Neighboring Cities
Fort Collins Fee StackMedian New Home SalesFort Collins Fees & Code Cost Impact is Leveling % of Median New Home Sales Price
UDevelopment Review Fee Study Outreach Summary (Any questions
that were not answered in person during the presentation have
responses from Staff in bold below)
Rev 12/10/2019 – Noelle A Currell
Fort Collins Board of Realtors – 10/8/2019
Feedback:
o Extra occupancy rental – seems like it could impact attempts to create more affordable
housing
o Feels like there is “fee creep” and that smaller homes are impacted more than larger
home
o Can we charge attainable housing less than the proposed flat fees for development
review – would need to take this up w/ Council or City Manager
Questions: none that were not answered during the presentation
Northern Colorado Homebuilders Association – 10/9/2019
Feedback:
o Any increase in fees on single family homes is hard to swallow
Questions:
o Could Fort Collins collect certain fees (e.g. capital expansion fees) at time of CO instead
of at time of building permit? This would be impactful to builders and their cash flow.
Local Legislative Affairs Committee – 10/11/2019
Feedback:
o It would be interesting to see the historical cost/unit increase not just in Fort Collins, but
in surrounding communities (Staff noted this would be an intense analysis with many
moving parts).
o Global concern about ever growing fee stack
o Hope that once the City hits buildout of the GMA there is a way to reduce the size and
workload of the department
Questions:
o Why are we charging a Stormwater and Erosion Control Fee on top of what the State
deems as necessary? Fort Collins has an MS4 (Municipal Separate Storm Sewer
System) permit that allows our stormwater to flow straight to the river as opposed to
needing to go through our municipal sewer system. To maintain this permit, we are
mandated to do these types of inspections.
o For the Timbervine development, were water inspection fees charged? – No.
Confirmed via the Engineeing Cost Estimate that is part of the DCP.
o Fees as 10-14% of new home Sales price – more information please
Planning & Zoning Board – 10/11/2019
Feedback: none specifically (or that wasn’t captured earlier)
Questions: none outstanding from the meeting
Affordable Housing Board – 10/15/2019
Feedback:
o Concern for affordable housing, thought they feel like they have been heard.
o Pleased to hear what goes into each review and what is happening on the City side to
ensure quality.
o Concern over cost for Extra Occupancy Rental (similar to discussion at Board of Realtors)
This process is too substantial
Could it be handled differently? Code Change?
o Want to avoid negative consequences concerning affordability
o Utilities fees, there is a level of service that affordable housing is not getting. We are
very far away from meeting anything affordable housing in this City. This is part of CEF's
conversation. There is sticker shock across the board.
o This is a good direction, but we want to know exactly how long it took an employee to
do the work. This will come up potentially the next go around. Time tracking should be
done.
o Better predictability
o Any thoughts on how staff may track their time?
o Like the change from value to square foot
Questions: none outstanding from the meeting
Water Board – 10/17/2019
Feedback:
o Good from bigger picture standpoint – financial sustainability
o People may be driven to build multi-family because the pricing can be kept lower
o Make sure we have good data validation points for assumptions on time to do processes
Questions:
o Erosion Control and Stormwater Infrastructure – if the project finishes early, is there a
refund? If the project goes over, do we charge more?
Building Review Board – 10/31/2019
Feedback: none specifically that had not been addressed/discussed prior
Questions: none outstanding from the meeting
Downtown Development Authority – 11/14/2019
Feedback: Big accomplishment to get all these fees updated
Questions:
o 34TWhat is the process moving forward to get the new fees and everything out there for
everyone to see what is coming? Mailings, email blasts, front counter. 16T34T
Economic Advisory Committee – 11/20/2019
Feedback: none specifically; committee will send a recommendation to approve to City Council
Questions: none outstanding from the meeting
UAll unedited notes taken by CDNS Administrative Manager during
outreach (note that full notes from many of the meetings are publicly
available online and only the items relevant to the staff working on
this topic were captured by Shar during the presentations):
Fort Collins Board of Realtors – 10/8/2019
34TAttendance:16T34T
34TTom Leeson16T34T
34TNoelle 34T40TCurrelle16T40T
34TShar 34T40TManno16T40T
34TSuzan Koran16T34T
34TAdam 34T40TEggelston16T40T
34TTravis16T34T
34TNick Vorrath16T34T
34TBarbara 34T40TKelzer16T40T
34TDustin Jansen16T34T
34TCassie Sutton16T34T
40TRomia34T40T 34T40TPrichart16T40T
34TMary Ann16T34T
34TColby Sterling16T34T
34TJeffery Markham?16T34T
34TSean Daugherty16T34T
34TBeth16T34T
16T
34TTime given 40-45 minutes16T34T
16T
34TPaper copy of slides given to each attendee.16T34T
16T
34TTom and Noelle gave a brief verbal/visual presentation16T34T
16T
34TQuestions/Comments/Concerns16T34T
16T
34THow high are the Erosion and Stormwater fees? Stormwater $75k to $100K per year – This
covers the total cost to complete all required inspections.16T34T
16T
34THow does this impact the price of a home? Noelle went through comparison slides. Less than
1% change. Seems like a huge increase? Yes, but not everyone involved was included and costs
not recovered previous. Building permit fee income has been subsidizing Development
Review.16T34T
16T
34TDo you actually have it broken out per unit so that we can see square footage per home? This
will affect lower income and obtainable housing. Council stated previous that they want
development review to pay for itself, this does effect single-family costs. Need to have talking
points for Council, we cannot rely on Council to get it.16T34T
16T
34TAffordable housing – What is covered by the waivers. There are opportunities for waivers
throughout the process.16T34T
16T
34TExtra occupancy fee – Takes away affordability, please explain. Goes to public hearing, it is the
staff time involved in the entire process of approval. Would we have to go to Council to request
that no hearing is requested? We would have to change the land use code and go before
Council to change. Seems as though it will hamper the affordability of rental rooms. Tom
showed list of application types and explained what the process is to complete the application
type. Feels it is an absorbent amount of time for the low number of this type of review and on
the affordable side, people may not want to jump through the hoops, or they will charge more
for the unit/bedroom. Could the City front load with literature? This is a sensitive subject. 16T34T
16T
34TCapital Expansion fees – erosion and stormwater, is the money going to one bucket, are we
double dipping. No, this is paying for the engineers and inspectors directly related to
development review. Noelle explained where/what the expansion fees go toward.16T34T
16T
34TExplain where the $900k transportation fees are going to go to. Boring is an example, Noelle
explained contractual and the up and down of the fees. Wherever the deficit was, sales tax and
other covered our expenses.16T34T
16T
34TFee creep that is happening only has a small % increase. We should make sure the smaller
homes are not impacted as much.16T34T
16T
34TOTC's are more streamlined.16T34T
16T
34TStreamlining and automizing will make it better.16T34T
16T
34TSuggest to Council - can they address not having flat line fees that will harm obtainable
housing. They will be emailing Council that they want something like this. 16T34T
Northern Colorado Homebuilders Association – 10/9/2019
34TAttendees:16T34T
34TTom Leeson16T34T
34TNoelle 34T40TCurell16T40T
34TShar 34T40TManno16T40T
34TDoug 34T40TBuler16T40T
34TJerry Rutha16T34T
34TJames Miller16T34T
34TSteve Smith16T34T
34TNick Richardson16T34T
34TNewton 34T40TWhayler16T40T
34TDoug Braden16T34T
34TDana 34T40TSpainger16T40T
34TJulie Ann16T34T
34T1 other16T34T
16T
34TTime given: 60 minutes16T34T
16T
34TDoug Braden explained reason for the City's visit. Tom and Noelle gave a brief verbal/visual
presentation. Paper copy of slide presentation given to each attendee.16T34T
16T
34TQuestions/comments/concerns16T34T
34TIs this review and methodology to keep prices down? Yes16T34T
16T
34TWhat are the efficiencies? A tremendous amount of time and effort has gone into Lean
processes. The time savings will be included in fee updates.16T34T
16T
34TWhat are permit trends and what is the projection? Based on development activity, recent
years have seen increase. How is the fee sustainable as we reach build out and permit numbers
decrease? Based on how long it takes for each person involved. if numbers go down the fees go
down.16T34T
16T
34TClarification on erosion and stormwater – based on size of site and duration of project? Based
on projected for each of these. 16T34T
16T
34TLooking at this going from $5.6 to $7mil. Fees aren't going up much, where is that coming
from? Development Review fees themselves are going up a good percentage.16T34T
16T
34TDoes 34T40TFoCo34T40T collect up front? Yes. Could 34T40TFoCo34T40T collect at time of CO? At least those that do
not need to be collected upfront.16T34T
16T
34TSingle-family homes – any increase is hard to swallow.16T34T
16T
34TWhat factors did staff or the decision makers use to establish cost to City for that
employee? Referenced slide –salary, benefits and anything associated with the individual. Fully
burdened cost. Indirect costs included are admin., attorney time, software (including support
staff) and manager's help. Each fee has a breakdown associated as all are not the same.16T34T
Local Legislative Affairs Committee – 10/11/2019
34TAttendees16T34T
34TTom Leeson16T34T
34TNoelle 34T40TCurrell16T40T
34TShar 34T40TManno16T40T
34TEric Lee16T34T
34TMike Brown16T34T
34TBrandon G16T34T
34TMichael Bello16T34T
34TAngela 34T40TMillewski16T40T
34TRalph Waldo 16T34T
34TPatrick McMeekin16T34T
34TKevin Jones16T34T
34TBrian 34T40TMannlein16T40T
34TCarrie Gillis16T34T
34TSam 34T40TSolt16T40T
34TBob 34T40TCarnnigan16T40T
34TJeff Jensen16T34T
34TMatt 34T40TWeaval16T40T
34TDoug Braden16T34T
34TDan 34T40TOhenshire16T40T
34TDan Betts16T34T
34TVincent Shower16T34T
16T
34TTime given:16T34T
34T60 minutes16T34T
16T
34TMike Brown explained reason for the City's visit. Tom and Noelle gave a brief verbal/visual
presentation. Paper copy of slide presentation given to each attendee.16T34T
16T
34TQuestion/Comments/Concerns16T34T
34TWith fees being consolidated, is it the same dollar amount that the customer is paying?16T34T
34TTom - Yes, unless fee should not happen16T34T
16T
34TSince 1987, with tech. changes, you should see a reduction in FTEs and time to process, did you
find this to be the case?16T34T
34TTom explained our lean process and reorg with changes still happening. Noelle explained the
human involvement factor, inspections.16T34T
16T
34TIf you have a house that is going to sell for $450K with a same house selling for $900, are they
going to be paying the same cost? Basically, will it drop down to where the $450K sits? Yes 16T34T
34TTom explained the time involved with producing a permit.16T34T
16T
34TIs this a regressed tax? No, it is not a tax, it is a fee to recover our costs. Same size house is
paying the same fee.16T34T
16T
34T***(Tom) Stormwater inspection private permit inspection, would this be a layering of
inspections? Do we also inspect it? Yes, this is an additional fee, layered. (Pat McMeekin) This
is a State mandated step, the City has its own process. Could the City say it is handled by the
State? Tom will look into this.16T34T
16T
34T***(Noelle)34T40TTimbervine34T40T - Was this on the development portion or on the vertical
building? The increase comes on the development side, not the permit side, correct? Yes. You
would not charge the fee if the City did not do the inspections, correct? This is correct 16T34T
34TEverything. ***Boxelder did the sewer and water – Noelle to check what City did and if fees
were charged correctly.16T34T
16T
34TIndustrial slide- What does the level of the finish have to do with it? 16T34T
34TNoelle gave an example – by adding a sprinkler system, AC, etc. This will add to the cost, due to
number of inspections. How does this work with methodology change? You apply the building
category type.16T34T
16T
34TWhat is the IT fund?16T34T
34TThe City has a fund to cover the software used, annual maintenance fees and three dedicated
resources. Why are we paying for aspects of Broadband? Broadband pays the City to inspect,
the City is paying the City. This is not a cost to developers, correct? No (Mike Brown) If you
present this elsewhere, you might want to pull this number out. Tom explained the chart on the
City Revenue Impact slide for better clarity. The $2M increase does not include boring? A
portion is included. (Kevin Jones) There might be a better way to present this information, just
so people know there is a separation from Broadband boring. Makes sure Utilities is not in the
rate base, we are not double dipping between the two. Noelle explained the moving parts and
that the rates are peeled out.16T34T
16T
34TDoug Braden spoke to the Fee Committee involvement and the fee stack for obtainable
housing. The standardization of time frame for fees, more regular basis is good. Pat agrees
these fee changes are insignificant in their process. The TCF's are much more significant.16T34T
16T
34T***Because of the focus of obtainable housing, it would be interesting to see the historical cost
per unit increase. What is happening in other communities. How do we retain individuals in our
community as opposed to them moving someplace cheaper. Tom – This would be an intense
analysis. We could look at the trend line from a fee standpoint. Noelle – There are a
challenges. Communities around us have metro districts. It's been awhile, Darren was
here. the fees and permits costs have stayed at 10%, we are staying even, but cost to build has
doubled. Is this still true. This is more relevant to TCF's. Comparison should not be from local
communities, but rather places like Austin. (Kevin Jones) The number is not 10% but rather 14%,
did I hear this correctly? Noelle - there was a Council work session where in Jennifer P.
presented. (Pat) We don't pay these on the permit side, you will not see these. Tom - Old fees
vs new fees vs peer cities, we do have this fees stack. ***Kevin Jones would like more
information on the increase to 14%.16T34T
16T
34TGlobal concern is about the fee stack. 16T34T
16T
34TOn low income housing – this is a value of our City. Is there a way to look at the numbers and
we are willing to absorb from the gen fund. housing up to a certain amount, we would still
absorb. .09% is nothing we should be willing to cover and hold the price down per unit. Tom –
two points – We could look at the waivers to see if they are adequate or perhaps not applying
uniformly, we should stratify. 16T34T
16T
34TCheck with 34T40TBeckstead34T40T, why do we apply uniformly or not at all? What are the Nexis
requirements? Tom – increasing the waivers might a better way to go.16T34T
16T
34TDo you look at fixed and variable costing, what is fixed and what is variable? Noelle – if all
development were to stop, it would be $6-7M. Fixed cost is not that much. There are semi-
variable costs. 16T34T
16T
34TWe hope you find a way as we hit build out to reduce the size of the department.16T34T
Planning & Zoning Board – 10/11/2019
34TAttendees:16T34T
34TTome Leeson16T34T
34TNoelle 34T40TCurell16T40T
34TShar 34T40TManno16T40T
34TBill Whitley16T34T
34TMichelle 34T40THaefele16T40T
34TMichael Hobbs16T34T
34TJeff Hansen16T34T
34TRebecca Everette16T34T
34TDavid Katz16T34T
34TPar 34T40THogestad16T40T
34TBrad 34T40TYatabe16T40T
34T2 citizens16T34T
34TKia 34T40TKleer16T40T
34TDave 34T40TBetley16T40 T
40TKacee34T40T 34T40TScheidenhelm16T40T
34TMeghan Overton16T34T
34TRyan Mounce16T34T
34TKelly 16T34T
34TNoah 34T40TBeals16T40T
34T+516T34T
16T
34TTime given:16T34T
34T60 minutes16T34T
16T
34TTom and Noelle gave a brief verbal/visual presentation. Paper copy of slide presentation given
to each attendee.16T34T
16T
34TQuestion/Comments/Concerns16T34T
34TIt was pointed out that the math was wrong on slide 4. 16T34T
16T
34TOn sq. ft., how does it work with smaller projects? The same.16T34T
16T
34TWill monthly stormwater bills go down? 16T34T
16T
34TWho paid for the short coming in 2018?16T34T
16T
34TDoes the whole fee stack include street assessment? No, this is an impact fee 16T34T
16T
34TIT individuals - They are not doing review, they are just managing software? Correct16T34T
Affordable Housing Board – 10/15/2019
Attendees:
Sue Beck-Ferkiss
Jeff Johnson
Catherine Costlow
Diane Chon
Jennifer Bray
Rachel Auldridge
Jennifer Baker
Kristin Fritz
Tom Leeson
Noelle Currell
Shar Manno
Time given:
40 minutes
Tom and Noelle gave a brief verbal/visual presentation. Paper copy of slide presentation given
to each attendee.
Question/Comments/Concerns
The fees are specifically only to cover costs, no revenue, correct?
Before you knew how the fees were figured, how did we know they were correct and that we
were recovering the correct amount?
What is included in infrastructure development inspections?
Public infrastructure escrow, affordable housing is exempt from this fee.
What is the sq. ft. fee based off of what? Building type. What is the definition of sq. ft., is it
outer wall, center of wall, inner wall? We will base it on the exterior of the wall.
Are dust issues covered within erosion control and stormwater inspections?
Fees did not actually go down, correct, it only looks as though they have because you are just
removing/taking away some items?
What will you do with the $2M? So, this money will be free to go back to the general fund?
Were examples used common building types?
Do these tables take into account the changes to CEF's? Chatter in the community is that these
will be going way up. This is a direct impact to affordable housing.
What you are telling us is encouraging, this will make a difference.
How much of the Utilities, percentage, makes up?
What is the IT fund?
So roughly $4m will go into the general fund?
The approval process does not have to go through Council? This is not true of CEF's?
Will they decide on Monday (Council Finance) to whether or not the City Manager can
administratively approve?
Acknowledgement of concern toward affordable housing, we feel like we have been heard. Fee
might need to be adjusted. This is not as big of an impact to developers. End users, we do not
want to have people not doing inspections, how will this be kept affordable? Pleased with
knowing what goes into each review.
The plan is to implement and the review in one year to make sure everything is matching up.
Extra occupancy became a heated conversation. People will take the chance and not get a
permit.
There is predictability. The calculator will be very useful.
Is there any thought to changing how the City staff tracks their time? This will be the next
logical questions to be asked. Engineers and lawyers to this. This could be a 6-month pilot.
Generally speaking the Board would like for us to take away:
Extra occupancy, feels that it is too substantial of a process. Can it come before this Board
for feedback? No idea why this has been mixed in with all the others, could it be handled
differently. The process needs to be looked, U Plus 2, etc.
We want to avoid negative consequences concerning affordability.
Utilities fees, there is a level of service that affordable housing is not getting. We are very
far away from meeting anything affordable housing in this City. This is part of CEF's
conversation. There is sticker shock across the board.
This is a good direction, but we want to know exactly how long it took an employee to do
the work. This will come up potentially the next go around. Time tracking should be done.
The Board likes the change from value to sf
Water Board – 10/17/2019
34TAttendees16T34T
34TNoelle 34T40TCurrell16T40T
34TShar 34T40TManno16T40T
34T7 board members16T34T
34TKatherine Martinez16T34T
16T
34TTime given:16T34T
34T30 minutes16T34T
16T
34T Noelle gave a brief verbal/visual presentation. Paper copy of slide presentation given to
attendees.16T34T
16T
34TQuestion/Comments/Concerns16T34T
34TIs it an exact sq. ft. percentage, or is there a cut off? It is based on building type.16T34T
16T
34TThe State has stormwater limits, are we crossing over? MS4 permit, the State deals with
another.16T34T
16T
34THow many projects enter the review stage that do not go to permit? Do you think the number
of projects will go down because of a fee increase?16T34T
16T
34THave we gotten feedback from the development community? Yes. We understand and this is a
small part.16T34T
16T
34TAre there any parts of this that developers may feel we could do better? Efficiency and code
changes is what would change the fee, not anything a developer could do. If it doesn't rain, do
they have to do an inspection, if a project is delayed. Will we refund if ahead of time or charge
more if delayed?16T34T
16T
34TUtilities only collecting 50% of cost before, the new fee structure seems good for Utilities
moving forward.16T34T
16T
34TEveryone goes through the data collection, over time things change, seems like we have backed
off, figure out how we are going to keep up to date. Let it lead to greater transparency. WE will
have a sanity check in two years.16T34T
16T
34TPeople may be driven to multi-family because the pricing can be kept lower.16T34T
16T
34TThere could be a rub with developers because of the square footage base fee. It depends on
the type.16T34T
16T
34TFrom a bigger picture standpoint this is excellent. Financial sustainability.16T34T
Building Review Board – 10/31/2019
34TAttendees16T34T
34TTom Leeson16T34T
34TNoelle 34T40TCurrell16T40T
34TBrad 34T40TYatabe16T40T
34TRuss 34T40THovland16T40T
34TGretchen 34T40TSchaiger16T40T
34TAllan Cram16T34T
34TRichards16T34T
34TEric 34T40TMarzone16T40T
34TKatherine16T34T
34T1 Board member not present16T34T
34T1 Board member late16T34T
34TShar 34T40TManno16T40T
16T
34TTime given16T34T
34TUntil complete16T34T
16T
34TQuestions/Comments/Concerns16T34T
34TTom and Noelle gave a brief verbal visual presentation.16T34T
16T
34TComment about sq. ft. vs valuation – high end home vs not, how will this even out? Tom –it
takes the same amount of time to inspect.16T34T
16T
34TVillage on Redwood, fee waiver – The rest of the development community picks up the
difference? Noelle – This comes out of CIP funds before general fund is hit. 16T34T
16T
34T5.6 to 7.6 is roughly 35%, it seemed like the examples were in the 10-15%, where does this
really fall? Noelle – it is getting spread across the board, also not everything happens within the
same year. 16T34T
16T
34TUtilities has only been covering 50% of costs? Noelle, they have not updated for a very long
time and moving to 100% cost recovery. 16T34T
16T
34TWill rate payers see any benefit? Noelle, all else being equal, this would make it so your rates
do not go up as much.16T34T
16T
34TWhat is covered by Utilities? Noelle, water, wastewater and storm water. 16T34T
16T
34TDoes Utilities back their costs? Noelle, yes, they have dedicated revenue sources.16T34T
Downtown Development Authority – 11/14/2019
34TEntire group present with the exception of one16T34T
16T
34TTime given16T34T
34T20 minutes16T34T
16T
34TTom and Noelle gave a brief verbal visual presentation.16T34T
16T
34TQuestions/Comments/Concerns16T34T
16T
34TWith sq. Ft., does that account for different types of construction? Tom - Based on building
type.16T34T
16T
34TWhat cost recovery method is typical of other communities?16T34T
16T
34TOne of the things liked is the viewing of the models to show the full stack. What's going up,
what's going down and how it will effect.16T34T
16T
34TExperience with Tom and Noelle – approached, anything is on the table, no stone left
unturned. It was very thorough. 16T34T
16T
34TWhat is the process moving forward to get the new fees and everything out there? Mailings,
email blasts, front counter. 16T34T
16T
34TWill the fee calculator be updated?16T34T
16T
34TIs there a clear path online for developers to see? Like, these are not all the fees, go check out
what's next. 16T34T
16T
34THuge accomplishment to update all of the fees. developers get ¾ of answer and then get
surprises. He commends us for address the issues and a reasonable way of looking at it. Good
job.16T34T
Economic Advisory Committee – 11/20/2019
34TTime given16T34T
34T20 – 30 minutes16T34T
16T
34TTom and Noelle gave a brief verbal visual presentation.16T34T
16T
34TQuestions/Comments/Concerns16T34T
16T
34TThere is a fee schedule for all the builders? Tom explained yes, but confusing and that there
will be a fee calculator16T34T
16T
34TFor clarity – starting in 2021 there will be a review every 4 years?16T34T
16T
34TCan the City not make a profit? This is the difference between a fee and a tax. The City cannot
collect more than it costs, or rather we cannot make a profit.16T34T
16T
34TFees are charged on the front end, not on the back end. If there are issues, like more
inspections, will this then change the cost?16T34T
16T
34TIf the fee structure is cost recovery, then we will break even next year, however, won't we not
fall behind at the end of the third year because costs will go up.16T34T
16T
34TCosts will rise with inflation. Have you explored funding source where we could pool money to
help with computer system costs, etc.? BFO takes care of this. Tax payers end up paying for the
costs as opposed to development if it comes from budget?16T34T
16T
34TStormwater fees going forward, are there any other fees that were not approved, etc. We
extensively analyzed fees for this update and now on a 4 year schedule.16T34T
16T
34TDo we have comparisons against other cities? WE do and show roughly currently in the
middle.16T34T
16T
34TTime scale to when the fee is incurred. Dev. Application etc. Are there instances when a fee is
paid and the project does not happen, you get to keep the fee.? Yes, the project moves through
process and the time is spent by staff. Some fees are collected later, after the work has been
completed, this happens as well. what is the balance of projects? Roughly 90% do proceed to
development.16T34T
16T
34TCommittee experienced shared by 34T40TBrauilo34T40T. Very positive. Others were impressed with the
work completed and presented. The committee gives a thumbs up and would recommend that
Council approve.16T34T
16T
34TA motion was made to recommend to City Council approval of this fee and methodology
change. The motion was passed.16T34T
16T