The Planning Division and Public Works Department are presenting an updated fee schedule and associated resolution to the City Council for approval. The resolution reflects new fees and increases in existing fees in an effort to continue to cover the costs of providing services to the community.

The Planning Division is proposing a 4% increase in most of its fees. The Planning Division’s overall fees were last increased in 2008. At that time, the fees were increased 10% since it had been five years since the last increase. At the direction of the City Council, the Division is proposing fee increases on a more regular basis to reduce the impact of larger increases on the community and to better keep up with increases in the costs of providing these services. The 4% increase would help offset a 2% increase in operations and maintenance costs and about a 3% increase in personnel costs for the Division for FY11. The 4% increase in fees means that minor subdivision application process costs would increase a total of $43.00, while the cost for a major subdivision application process for a 41 – 200 Lot Subdivision would increase a total of $188.00. Attachment B provides a full comparison between current fees and the proposed fees with minor and major subdivisions.

Public Works is proposing a series of new fees for service for site plan review, traffic accessibility studies, traffic and/or queuing mitigation, parking variance review and special events permits within the city rights-of-way.

The City Council may choose to:
1. Approve the resolution to add new fees and update existing fee schedules for the Planning Division and Public Works Department.
2. Deny the resolution to add new fees and update existing fee schedules for the Planning Division and Public Works Department.
3. Modify the resolution to add new fees and update existing fee schedules for the Planning Division and Public Works Department.

Should the City Council approve the new fees and changes to existing fees, they will more accurately reflect the costs to provide services, resulting in additional revenues for this City Department and Division when services are delivered to customers.

The Planning Division and Public Works Department continue to strive to provide the best customer and application review services in a cost-effective and timely manner. The new fees proposed by the Public Works Department and the fee increases proposed by the Planning Division are in response to the ongoing and increasing costs to provide services to the development community and the community at large.

The Planning Division’s overall fees were last increased in 2008 by the City Council. At that time, the fees were increased 10% since it had been five years since the last increase and a 2% per year increase seemed reasonable. At the direction of the City Council during the fee process in 2008, the Division is proposing fee increases on a more regular basis to reduce the impact of larger increases on the community and to better keep up with increases in the costs of providing these services. The 4% increase in Planning Division fees would help offset a 2% increase in operations and maintenance costs and about a 3% increase in personnel costs for the Division for FY11.

The new fees proposed by Public Works:
 

• Traffic accessibility studies (TAS) that are required when a development results in 500 trip ends per day or more.  This will include the larger commercial developments.
• Traffic and/or queuing mitigation required when a TAS is not needed but the development affects traffic in the right of way.  This item would address developments adding amenities such as a drive through that would or could impact traffic in the right of way.
• Site plan review.  Currently, Public Works is reviewing these site plans without compensation.
• Parking variance review.  This item will address businesses that request a variance from the number of parking stalls required for a given development.
• Special Events Permit for City Rights-of Way.  This item addresses street closure permits that are reviewed by staff and presented to city council for action.

Staff is recommending that existing fees not be increased in FY 2011 for the Public Works department.

The proposed changes to the fee schedules for the Planning Division and Public Works Department have been discussed with the Billings Homebuilders Association, Development Process Advisory Review Board (DPARB), Planning Board (Planning fees only), Board of County Commissioners (Planning fees only), and the public hearing has been legally advertised.