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Franklin staff propose higher plan-review fees, board presses for waiver authority and clearer resubmittal rules
Summary
City staff proposed Ordinance 2026-13 to raise the minimum nonresidential plan-review fee, add residential and fire plan-review fees, and implement a 50% fee for third and subsequent resubmittals; aldermen questioned state limits, cost-recovery goals and whether authority to waive fees should be added to the code.
Tom Marsh presented Ordinance 2026-13, explaining the city's plan-review costs exceed current fee collections and proposing three primary changes: raise the minimum nonresidential plan-review fee from $50 to $250; create a residential plan-review fee (flat $100 for new construction 2,000 ft2 or larger); and create a flat fire protection plan-review fee ($50).
Marsh said his office's review-cost estimate for nonresidential projects is about $1,650 per project while current average collections are roughly $255, leaving a sizable shortfall. "Our nonresidential plan review fee has not been increased for probably 20 years," Marsh said, noting the proposal would move the average collected closer to cost (projected average collections around $1,045 under the change).
Board members probed process details: timing commitments (a 20-business-day initial review and 10 business days for follow-ups were cited), circumstances that trigger repeated resubmittals, and whether staff could waive the 50% third-submittal charge in cases where staff failed to provide complete comments. Several aldermen asked whether state law limits fee increases; staff said they would check on statutory limits before second reading.
Finance staff provided fiscal estimates: nonresidential plan-review collections for 2025 were reported at about $114,564; the combined fee changes were estimated to generate up to $470,000 in a full year, though budget planners were conservative and anticipated an additional $200,000—230,000 in fiscal 2027 during the initial implementation year.
Marsh and department staff said the aim is to more closely align fees with service cost, encourage more complete first submissions and improve predictability for applicants. Several board members urged explicit authority to waive fees for fairness and customer service in one-off cases; staff said code language could be drafted for consideration before second reading.
The ordinance presentation was informational at the work session; the item will appear on the formal meeting agenda for further action and readings.
