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Builders and developers urge council to pause steep Development Services fee increases
Summary
Homebuilders, engineers and advocates told council proposed Development Services fee hikes would sharply raise costs for ADUs and small infill projects, citing examples of hundreds-percent increases on review fees and a DSD enterprise fund deficit; staff said many fees were adjusted after cost-of-service analysis and proposed pilots to speed reviews.
Hundreds of builders, engineers and housing advocates told the Austin City Council during public comment on July 29 that proposed Development Services (DSD) fee increases in the FY2026 budget risk pricing small projects and accessory dwelling units out of the market.
Bridal Wallace, a home builder and Austin Infill Coalition board member, pointed to examples in the budget backup where erosion hazard zone review jumped from $332 to $813 (a 144% increase) and tree preplan review rose dramatically; she and others asked council to delay implementation until staff explain what has changed and provide a total cost estimate for typical single-family and small-multiplex…
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