DBI reports higher revenues, outlines $8M permit-center and multi‑million digital permitting costs

Taris Madison, deputy director of the Department of Building Inspection, told the Building Inspection Commission on May 15 that DBI’s April revenue total put the department briefly above last year’s pace, with year‑to‑date revenues at about $63,000,000 compared with roughly $60,000,000 last year. "For the first time in a very long time, we actually have exceeded our prior year amount," Madison said, noting unusually large plan‑check receipts in April, about $2,800,000 attributable to a few big projects.

Madison said expenditures are also up — roughly $56,000,000 this year versus about $51,000,000 last year — driven largely by higher salary costs and more consistent interdepartmental billing. "Salaries are up, because we're hiring, and services of other departments...are up because they're billing on a more consistent basis," she said.

The deputy director outlined budget items tied to the department’s move and permit center at 49 South Van Ness: furniture, fixtures and equipment estimated at about $7.99 million (reported as roughly $8,000,000), a one‑time move cost of about $616,000, and ongoing costs (including permit‑center staff) of about $1.3 million. Madison said DBI hopes to repurpose previously budgeted funds for part of the cost but acknowledged that additional funding requests may still be needed.

DBI also described an expected multiyear digital permitting effort. Madison said the Digital Services team and the City Administrator’s office estimate a total DBI cost of about $7,700,000 over two years; the first fiscal‑year request could be roughly $3,800,000. "We are working closely with the mayor's office and so when we come back in June, I will have specifically what was included in the mayor's budget for you and we'll have the details and also the sources of those funding too," she said.

Commissioner Lee asked whether the revenue bump was driven by large projects or a change in smaller project activity; Madison replied that permit counts and valuations across many bands remain steady and that several large projects in the month accounted for the spike in plan‑check revenue.

Madison said the department is still factoring in potential legislative changes — such as fee waivers tied to 100% affordable housing or ADU incentives — but does not plan to reduce the current revenue forecast based on those proposals because any full effect would likely be phased in and some projects already receive deferrals. The mayor’s proposed budget will be submitted to the Board on June 1.

The Commission requested further budget details when DBI returns in June, including the mayor’s adopted proposals and any identified funding sources.