Submitted By
Ahmad M. Zayyad, Deputy Village Manager / Interim Director of Development Customer Services
Reviewed By
LKS
Agenda Item Title
Title
Second Reading and Adoption of an Ordinance Establishing the Annual Building and Construction Permit Fees and the Zoning Application Fees of the Village of Oak Park
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Overview
Overview
Per the ordinance, building codes have to be reviewed annually. Staff reviewed our current fees and current budget and proposed the following: (1) Adopt the updated International Code Council (ICC) Building Validation Data (BVD) chart; (2) Keep the current permit fee multiplier as it reflects the Village’s actual costs to administer the permit processing division; (3) Clarify the Village fee chart by removing obsolete and duplicate fees; and (4) Make adjustments to the Village’s demolition fees based upon Village Board feedback regarding that fee and its increase to support the Village’s Housing Trust Fund.
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Recommendation
Recommendation
Adopt the Ordinance.
Background
Annually, the Village Board adopts an updated fee schedule for permit fees to reflect annual adjustments.
The International Code Council (ICC) updates and publishes the Building Validation Data (BVD) chart every year. The BVD is a square foot cost based on the national average of the construction cost for projects of different construction types. It provides a simplified method to determine the estimated value of a building that does not rely on the permit applicant to determine the cost of construction. The use of ICC data provides for a fair assessment of construction valuation. Village Staff propose keeping the multiplier the same.
An annual clarification of the Village fee chart is completed by removing obsolete and duplicate fees. Public Works had requested some adjustments, reflected in the fee chart. Administration plan review fees for additions are the same for family dwelling units and commercial. This leads to a simplified method to estimate costs for permit applicants.
Finally, staff has adjusted the demolition fee per direction provided to the Village Board on October 30, 2023. This ordinance will change demolition fees for single-family dwellings, multifamily dwellings, non-residential commercial buildings, mix-use buildings, and institutional buildings from the current $.35xSF to the new $5,000 for each structure or $.35xSF, whichever is greater. Accessory structures (Examples: Garages and Sheds) and Right-Of-Way obstructions will remain $.35xSF. By approving this ordinance, the Board will ensure that the lowest amount paid for a demolition of single-family dwellings, multifamily dwellings, non-residential commercial buildings, mixed-use buildings, and institutional buildings will be $5,000 each. If a demolition involves a large structure and $.35xSF would result in an amount higher than $5,000, then this larger amount would be paid. It is understood that all demolition fees, beginning January 1, 2024, shall be deposited into the Village’s Housing Trust Fund.
Fiscal Impact
Fees remain linear to the 2023 permit fee schedule, with the exception of the Planning Division Adaptive Reuse fee. The Building Construction Permit Fees and Zoning Application Fee Schedule have been revised to reflect the cost of providing services and should, result in a revenue-neutral state for the Permit Processing Division’s annual budget. It is understood that all demolition fees, beginning January 1, 2024, shall be deposited into the Village’s Housing Trust Fund.
DEI Impact
The consistent permit fees proposed lessen the financial burden of Village residents.
Alternatives
Continue with the current 2023 permit fees with changes.
Previous Board Action
N/A
Citizen Advisory Commission Action
N/A
Anticipated Future Actions/Commitments
The fees are reviewed annually to reflect any fluctuation in the ICC Permit Fee Multiplier and the Building Validation Data. These two items directly tie into determining the cost of providing our services to the public. The schedule may be easily revised to reflect the current cost of providing services by applying a percentage charge factor to each line item.
Intergovernmental Cooperation Opportunities
N/A