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Orange City adopts updated building and development fees to comply with HB 803
Summary
On June 23 the council adopted Resolution 438‑26 to amend development and building-permit fees for compliance with House Bill 803. Changes include flat inspection fees, new administrative and zoning permits for low-value exemptions, prior‑provider discounts, and a refundable security deposit to ensure compliance.
The Orange City Council on June 23 adopted Resolution 438‑26, updating the city's fee schedule for development review and building permits to comply with recent state legislation (House Bill 803).
The changes staff proposed and the council approved include moving certain inspection fees to flat, at‑cost fees (use‑permit inspections set at a $100 flat fee), establishing a $40 administrative determination fee for projects claiming the new $7,500 exemption, and adding a $150 zoning permit for items that no longer require a building permit but still fall under local land development regulations. For commercial applicants who use certified private prior providers, the schedule codifies a minimum 25% discount for plan review and a 50% discount where the private provider performs both plan review and inspections. Staff also introduced a $1,000 refundable security deposit for use permits to ensure compliance on large utility and fiber projects.
Joe Ruiz, Development Services Director, told the council the fee changes reflect statutory direction: "We codified the 25% and 50% reductions on commercial permits for prior providers," he said, and added the $40 administrative fee as a low‑cost way to determine whether a project truly meets the $7,500 exemption.
Council questions focused on implementation and revenue impacts. Finance Director Devlin Moore said some bills could reduce city revenues and that the net effect will depend on how many projects use prior providers; he flagged scenarios where commercial prior‑provider use could reduce fee revenue significantly. The resolution includes direction for staff to implement fees consistent with statute and to return with more detailed estimates as permit data accumulate.
The resolution passed on a council vote at the June 23 meeting and is intended to provide compliance with House Bill 803 effective July 1, 2026, as staff finalizes operational procedures for online submittals and prior‑provider registration.
