Council reviews proposed building and planning fee updates aimed at faster permitting

Mountlake Terrace staff presented proposed updates to the Community and Economic Development fee schedule aimed at streamlining permitting and better aligning fees with actual processing times.

Building-side changes would cut low-voltage electrical permit costs (data from new software showed less staff time required), add residential and commercial interior-demolition permits, and create an over-the-counter remodel permit (flat fee of $465 per altered space, up to three spaces) for work that does not alter framing or load-bearing elements. The plan also adds a minimum two-hour site-plan review for modular ADU applications so planning can verify setbacks and design compatibility even when labor and industries inspects modular components.

On the planning side, staff recommended removing a land-use review requirement for ADUs (reflecting state law changes), adding annexation recording-fee language, and reducing estimated hours for SEPA/DNS reviews where data show faster processing. Staff said applicants would receive refunds of unused deposit hours when actual review takes less time.

Council asked about prior community engagement on permitting processes; staff said inspectors and front-line staff conduct thousands of interactions annually and that the department will add four community touch points in 2026 to educate residents on permit readiness and offer pre-stamped plans for common ADU layouts to expedite over-the-counter reviews.

No formal council action was taken; staff will bring refined fee-resolution language forward for council consideration at a subsequent meeting.