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Lynnwood to shift fire‑related permit fees to Regional Fire Authority under proposed ILA amendment
Summary
A proposed amendment to Lynnwood's interlocal agreement with the Regional Fire Authority would move permit and plan‑review fee revenue to the RFA and change funding structure; staff said the change would produce net savings for the city and preserve co‑located permitting operations and oversight via SmartGov reporting.
City staff and Regional Fire Authority representatives briefed the Lynnwood City Council on Oct. 7 about a proposed amendment to the interlocal agreement (ILA) that would formalize the RFA's delivery of fire prevention services for Lynnwood and change how those services are funded.
Director Claes and RFA representatives described the amendment as clarifying responsibilities (code enforcement, permit plan review and inspections, fire prevention, investigations and existing building inspections) while changing the funding model so permit fees collected by the city would be remitted to the RFA for those services. Staff said that under the recommended agreement the existing biennial payment arrangement would be replaced by a fee‑for‑service approach and that the effective date in the draft would be July 1, 2024.
Councilors asked whether the change meant an overall increase or decrease in funding; RFA reps said the proposal would result in a net decrease to the city compared with the prior model because the RFA would take on personnel costs while the city would remit most permit revenues (staff indicated the city would retain about 10% of permit fees for administration). Staff estimated the revised flow would produce about $1,000,000 in annualized savings for Lynnwood while the city would pay roughly $150,000 for the second half of the fiscal year to square the retroactive period.
Council members also asked who would be accountable for service‑level agreements (SLAs) and customer service; staff said the ILA includes reporting requirements and performance goals and that the RFA would operate in SmartGov using the city's permit system, allowing the city to monitor SLAs and require corrective reporting to the council if goals are not met. Fire authority officials emphasized the operational efficiencies and value of co‑locating fire prevention staff with city planners for day‑to‑day collaboration.
The amendment will be up for review and action at the council's next business meeting, staff said.
