On Oct. 8, 2025 the Community Development Committee reviewed the department’s proposed 2026 budget, a presentation that covered major projects, proposed fee adjustments across planning and permit services, federal and state grant allocations, and status reports on multiple tax increment financing (TIF) districts.

The department highlighted several “big-ticket” items for 2026: continued planning and implementation work for the Thrive in Ballard community (referred to in discussion as Wilden Portfolio Park), comprehensive-plan implementation and zoning/code updates following the plan update, and the enterprise permitting conversion to the Tyler Munis web-based system intended to replace the AS/400 permitting processes. Staff also noted ARPA-funded projects remain in implementation and must be closed out by the U.S. Department of the Treasury’s ARPA spend-down deadline in 2026.

Staff told the committee the assessor plans about 1,600 home inspections tied to the lead-up to a full revaluation planned for 2028. The department said that work and other capital or review efforts will proceed alongside budgeted permitting and planning activity.

The department proposed multiple fee adjustments intended to better align user charges with processing costs and peer communities. Examples cited in the presentation include raising the lot-line-adjustment fee from $30 to $200 and increasing certified survey map (CSM) fees from $150 to $250. Staff said property records maintenance fees and several assessor and inspection permit fees are proposed to increase by roughly 30% on average, and inspection minimum fees would rise from $50 to $75 in some categories. The department estimated additional revenue on the order of $110,000 tied to these changes and wage and benefit increases.

Committee member Dave (staff member) and Director Homan explained the lot-line adjustment increase by noting the city processes only one to two of those a year and that work often involves more staff time than previously recognized; staff said the fee had been historically low relative to the effort required. Alderperson Olsen and Alderperson Hartzheim questioned whether fee increases could discourage development; Director Homan said the proposed increases are small relative to total project costs for most developments and that builders prefer timely, predictable service even if fees are higher.

On grants, staff summarized CDBG planning and passthroughs, estimating next year’s CDBG entitlement at about $576,000 (final amounts typically known in March or April). The housing-rehab program had required a $200,000 replenishment in the prior year because loan repayments had slowed after interest rates rose; for 2026 staff proposed $65,000 from CDBG to the rehab program based on repayments returning toward prior levels.

The committee received updates on TIF districts. Staff said TID 3 is a distressed district with increment currently used to repay advances and loans and is anticipated to close in 2029. TID 7 covers the Valley Fair Mall corridor and continues to fund developer incentives, while TID 8 supports riverfront projects with annual PayGo incentive payments. TID 9 and TID 10 were described as quieter districts but with potential redevelopment sites; staff noted that the former CVS site in TID 10 now houses a wholesale operation and should be updated in the budget materials. TID 13 (Southpointe) recently completed final-phase infrastructure; staff are marketing approximately 14 acres and estimated sale proceeds of about $602,000 tied to that acreage.

No formal votes were taken on the budget at this meeting; staff said they will address follow-up questions in the Q&A period before budget Saturday and bring any required amendments to the full council.