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City updates license, permit and application fees to reflect costs; council approves 6% baseline increases

Bloomington City Council · April 28, 2026

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Summary

Bloomington adopted amendments to Appendix A on April 27 to raise many license, permit and development fees to reflect labor and operating costs, with specific larger increases for off-sale liquor, tobacco and gas station licenses; council asked staff to review fee formulas regularly.

Deputy City Clerk Brillert presented proposed updates to Appendix A of the city code, recommending across-the-board increases to many license and permit fees to reflect inflation, staffing and operating costs. Brillert said some fee increases exceed the 6% baseline because peer comparisons and statutory limits justify larger adjustments for specific license types.

Notable proposed changes described to council included raising off-sale liquor fees from $200 to $380 (statutory maximum permitting the change), tobacco sales fees from $180 to $350, and increasing a gas station license fee from $57 to $300. Building and inspection fees were updated to adjust base fees and valuation-based permit charges; Brillert showed examples suggesting limited impacts on typical single-family permit fees and small increases for large commercial projects.

Council members asked staff to confirm that fees are intended to cover actual costs (labor and operations); staff affirmed the principle and noted building permit valuation-based fees already track construction cost changes. Several members urged a regular schedule (every two years) to review fees rather than sporadic large increases, and suggested making the underlying calculations transparent so adjustments are predictable.

Council member Lohmann moved to adopt the ordinance amending Appendix A. The motion passed 7–0 and the council authorized summary publication. Staff said they will aim for a two-year review cycle.

The council framed the change as cost-recovery—not a revenue grab—and asked staff to provide formulas or public reporting that would make future adjustments routine and understandable.