DBI reports steep revenue drops; inspectors and stakeholders warn layoffs will risk safety and slow construction

Summary

DBI staff told the Building Inspection Commission that construction valuation fell 45% and permits 11% year-over-year, and that operating revenue projections dropped $2.2 million in one month. Department leaders and dozens of inspectors, trade groups and residents urged alternatives to planned May 1 layoffs.

Vivian Day, director of the Department of Building Inspection, opened the commission’s update with a financial briefing that showed sharply lower revenues and proposed short-term spending controls to avoid a year-end deficit. Pamela Levin, DBI finance services manager, said a comparison of the first nine months of the current fiscal year with the first nine months of FY2008 showed a 45% drop in valuation and an 11% drop in permits issued. "The operating revenue projection in February was $40,600,000 and now in March it's $38,400,000," Levin said, "which is a $2,200,000 drop in one month."

The department outlined immediate measures: freeze nonessential encumbrances, approve only critical materials and supplies, hold work orders to budget, and set an earlier deadline for expenditures (no spending after May 1) so year-end obligations are clearer. Levin also described…

DBI reports steep revenue drops; inspectors and stakeholders warn layoffs will risk safety and slow construction

Summary

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