Code enforcement proposes cuts, shifts electrical inspector to part‑time; council questions third‑party inspection fees

Code enforcement presented a proposed budget that reduces staff positions and relies more on third‑party inspection services, prompting several council members to press staff on how the city charges for inspections and whether residents are double‑billed.

Rajen, the code enforcement director, told the workshop the department will eliminate two code enforcement officer positions and a support position, and is proposing to convert the electrical inspector from a full‑time to a part‑time role with a salary of about $35,000. Rajen explained that civil service and retirement rules limit how much certain retirees can earn: “he is limited to earning only $35,000 a year,” Rajen said of a recently hired, retired firefighter candidate who passed the civil service exam.

The staffing shift comes with an increased reliance on third‑party inspection agencies. Councilmembers asked whether the city pays those firms or the applicant does. Rajen said third‑party inspection fees are paid by applicants in current practice: “Sreed does not charge when we're outsourcing it to the third party currently, we do not charge a homeowner or a contractor a fee. Yes. So that fee is paid directly to the third party.” He added that during an earlier transition period the city had paid some invoices to third parties while open permits were closed out.

Councilmembers pressed the department on an apparent double charge where applicants pay the city an application/permit fee (including a $75 administrative fee for stop‑work orders) and then pay a third‑party inspection charge. Rajen said double permit fees and stop‑work penalties are set in Schenectady’s ordinance: “So that's in the ordinance that, when there's a stop work order issue, there's double permit fees.” Council members requested a report quantifying—over the last six months or year—how much inspection work was billed to the city versus directly to applicants, and how much revenue the city collected for permits and stop‑work administrative fees.

The budget item for third‑party services (fees for service) also covers other code enforcement expenses — process servers, engineering firms, and other contract services — and staff noted it has been used to cover shortfalls while positions have been vacant. Several council members called for follow‑up to ensure applicants are not being charged the city fee plus third‑party charges for the same inspection work.

No formal action was taken; council asked staff for a written report showing invoicing, who paid inspection fees, and the scope of the third‑party contracts.