Ithaca council approves revised housing inspection fees after split vote

The Ithaca Common Council voted 6-4 on March 5 to adopt an ordinance that adjusts housing inspection fees citywide, the first substantial revision the council has approved since 2009.

Council members said the ordinance updates fees to reflect new software, modest increases in some categories, and a revised fee model intended to better align charges with inspection activity. The vote followed more than an hour of debate focused on whether the new schedule shifts costs onto small property owners while lowering or holding flat fees for some large properties and dormitories.

Supporters said the city needs updated fees after a long pause in adjustments and noted the Building Division flagged the need for cost recovery. Opponents argued the schedule is inequitable in its current form and urged delay or a broader fee study conducted by an outside consultant. "If you are a small property owner, this year after we pass this today ... you will get a bill in the mail for more than your COC cost last time," said Alderperson Kiel, who opposed the ordinance. Several council members and public speakers urged the city to examine whether the New York State Office of Fire Prevention and Control (OFPC) inspections could be accepted in lieu of annual city dormitory inspections to avoid duplicated work.

The ordinance passed on a recorded roll-call vote. Immediately afterward the council considered a separate resolution directing staff to implement a broader cost-recovery policy and to recalculate the schedule so no fee would reflect a per-unit decrease; that resolution failed on a separate recorded vote.

What changed: The ordinance revises the code's fee schedule and consolidates some categories; staff said the adjustments reflect a new software platform and moderate increases overall. Opponents highlighted examples of per-unit disparities aired in council discussion (for example, one council member noted a per-unit comparison showing $20 per unit per year for a single-family residence versus about $2.33 per unit per year for a 200-unit building).

How council members argued: Supporters said the city must make fees transparent and update a schedule that had not been revised in many years. Alderperson Britzio noted that the fee schedule had not been changed since 2009 and that the department had done needed work to post the schedule publicly. Critics repeatedly pressed for a fuller cost study and said the current schedule creates a regressive effect on small landlords while benefitting large property owners and dormitories; they urged a consultant review before adopting permanent rates.

Dormitory inspections and state rules: City staff told council that state law requires municipalities to inspect residential properties for fire safety and safe occupancy, but the city may accept OFPC inspections instead. Staff said the municipality has not chosen that option and that Cornell has requested the city continue conducting annual dormitory inspections. That choice, staff said, affects workload and whether some dormitory fees should be different in practice.

Vote and next steps: The ordinance passed 6-4 (roll call recorded below). The accompanying resolution directing immediate recalculations and broader application of a cost recovery policy failed on a 6-4 vote. Council members said they expect continued review: some urged a consultant-led fee study covering multiple fee categories; others asked staff to return with clearer cost-accounting data for building inspections.

Quote: "These inspection fees have not been raised since 02/2009," said Alderperson Britzio during debate, framing the supporters' argument for change.

Why it matters: The fee schedule change affects landlords, renters and institutional property managers (including dormitories). Council members who opposed the ordinance warned that higher fees for small rental units could raise costs for tenants or reduce housing stock if owners exit the market, while proponents said the city must recover a fair share of the costs for services it provides.

Votes at a glance

- Ordinance adjusting housing inspection fees — Outcome: Approved (6-4) on roll call. No effective date specified in discussion. - Resolution directing cost-recovery policy and recalculation to avoid per-unit decreases — Outcome: Failed (6-4).

Ending: Council members said work on fees will continue, with some members pressing for an external fee study and others asking for additional cost accounting from staff before further adjustments are made.