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City officials assess fee increases for building projects amid budget planning

September 20, 2023 | San Francisco City, San Francisco County, California


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City officials assess fee increases for building projects amid budget planning
The recent meeting of the San Francisco City Commission focused on critical discussions surrounding the city’s budget and fee structures for the upcoming fiscal year. Key topics included the timeline for budget preparation, the implications of a proposed fee increase, and the potential need for annual fee adjustments.

Commission members expressed concerns about a projected 15% increase in fees, which could significantly impact homeowners and small businesses. Discussions highlighted the importance of understanding the legality and necessity of such increases, with a suggestion to consult city attorneys for clarity. The commission noted a spike in permit applications in June and July, speculating whether this was a reaction to the anticipated fee hike.

The internal budget timeline was outlined, indicating that departments should begin preparing their proposals by November, with a focus on prioritizing requests amid challenging financial conditions. By January, the commission aims to finalize revenue projections to inform the budget submission. It was emphasized that any new programs or fee structures would need to be integrated into the budget process, requiring close collaboration with the mayor's office.

A significant point of discussion was the recommendation from the Citizens Advisory Committee (CAC) to revisit fees annually. The commission is exploring ways to streamline this process, potentially allowing for administrative adjustments to fees without the need for extensive legislative changes each year. This approach aims to provide flexibility in managing costs, particularly in light of fluctuating expenses.

The commission also requested access to the full consultant study on fees, rather than just a summary presentation, to ensure thorough understanding and analysis of the proposed changes. Overall, the meeting underscored the city's commitment to balancing fiscal responsibility with the needs of its residents and businesses as it navigates upcoming budgetary challenges.

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