Rathdrum council adopts updated fee schedule, delays final decision on plan-review multiplier

The Rathdrum City Council on Sept. (date not specified) approved a new city fee schedule after a public hearing, with one reservation: council asked staff to return next month with a cost-comparison analysis of the plan-review multiplier used to set building permit fees.

The adopted resolution updates fees across departments for fiscal year 2026, including building-permit calculations, park rental rates and new or adjusted charges for services the city provides. Council held a public hearing before the vote; no members of the public spoke in favor or against the update during the hearing portion.

Council members and staff discussed several elements of the schedule at length. Staff explained the building permit multiplier is calculated from the building department's budget divided by total annual construction value, and said the city used last year's expenditures, adjusted for staffing and inspection changes, to arrive at the proposed multiplier.

Council raised concerns about one specific item: a commercial plan-review fee set at 65% of the total plan-review fee. One council member said the 65% figure follows local practice but questioned whether Rathdrum should charge based on local actual cost rather than mirroring neighboring jurisdictions. Staff said the 65% figure aligns with nearby jurisdictions and noted the council could direct staff to recompute the multiplier based on Rathdrum's precise costs.

To avoid leaving the city without an applied fee, staff advised that rejecting the schedule entirely would remove the line item rather than revert it to a previous number. Council approved the resolution but made a formal, recorded exception: the plan-review line would remain at 65% for now and staff were directed to return next month with a cost comparison and recommendation for possible revision.

Councilor roll call on the motion to adopt the fee schedule as amended recorded the following votes: John Hodgkin — Aye; John Hatcher — Yes; Heather Sanders — Yes; Mayor Sanders — Yes. The motion passed.

The updated schedule will be effective Oct. 1 (effective date as stated in staff materials). Staff also noted the council traditionally reviews fee schedules semiannually and that further changes could be made in March or at any future meeting if cost information supports adjustment.

Why it matters: permit and service fees affect development costs, business operating expenses and residents who use city amenities. The council's request for a cost-comparison analysis aims to ensure fee levels reflect Rathdrum's actual delivery costs rather than outside norms.

What happens next: staff will prepare the requested cost analysis for council review at the next monthly meeting; the adopted fee schedule (with the plan-review exception) remains in effect pending that follow-up.