Development Services proposes phased 35% permit fee increase to stabilize fund

Amin Thomas, Director of Development Services, presented the department’s FY2027 budget proposal of $74,000,000 and detailed a three‑divisional structure covering land development, building development, and code enforcement. "Our proposed budget for '27 is 74,000,000," Thomas said, outlining 507 authorized positions and 67 vacancies.

Thomas said the department faces an imbalance driven by a decline in permits and rising operating costs and described a consensus solution among stakeholders to implement a 35% permit increase phased over three years (15% in year one, 12% and 8% thereafter). He also described specific fee adjustments in the general fund (for proactive apartment inspections, dangerous premise administration fees, used auto parts and metal recycling facilities and short‑term rental surcharges) intended to improve cost recovery for code and permitting services.

Council members requested data transparency and granular performance measures. Councilmember White urged inclusion of clear cost‑of‑service information in the revenue manual so the public can see current costs and the percentage of cost recovery for each fee. Thomas and budget staff said a separate revenue manual exists and that the city reviews revenue annually and will add requested breakdowns online.

Councilors also pressed on code enforcement impacts tied to proposed reductions: Thomas said eliminating two vacant neighborhood enhancement code officer positions would reduce proactive sweeps from 20 to 10 annually, shifting some work to reactive 311 calls and increasing case counts handled reactively.

Next steps: Staff committed to provide breakdowns of fees, district‑level case and performance metrics, unpaid fee balances and the stakeholder consultation materials used to craft the phased fee schedule.