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Council advances ordinance to allow up to 50% permit‑fee waivers for schools and select nonprofits (first reading)

Michigan City Common Council · April 7, 2026
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Summary

On first reading April 7, council members supported an ordinance authorizing the city to waive up to 50% of building permit and inspection fees for qualifying 501(c)(3) affordable‑housing projects, Michigan City Area Schools and the public library. The item drew public comment opposing waivers for certain nonprofits and was held for a second reading.

The Michigan City Common Council heard the first reading April 7 of an ordinance to amend section 22‑83 of the municipal code to permit the council to waive up to 50% of building permit and inspection fees for specified entities.

Sponsors Councilmen Beatatri and Dabney said the change would provide the council flexibility to support affordable‑housing projects, the Michigan City Area Schools and the Michigan City Public Library. "This ordinance would waive 50% of the fees for the school corporation, the building permit fees for school corporation and for the library," Councilman Beatatri said, arguing the measure balances support for public institutions with fiscal constraints.

Public comment included objections to extending fee waivers broadly to every 501(c)(3). Tommy Kavik urged caution, citing a proposed men’s rehabilitation house that already receives other public funding and saying "no permit fee waivers for the men's rehab house". Supporters, including the school district's director of facilities, described pressing needs for school renovations and mechanical upgrades; the director said the district seeks to renovate aging facilities and that one project under discussion could carry building‑permit fees in the six‑figure range.

Council members clarified the ordinance is permissive — the council "may waive up to 50%" by separate resolution for individual projects rather than granting automatic waivers. Several council members also stressed they expect to review each request case‑by‑case and that organizations must apply for relief.

The item was held for a second reading; sponsors said administrative details and eligibility criteria will be refined before final approval.