New and remodel residential and commercial construction projects that are not completed in a timely manner create hardships for neighboring properties and residents. Unfinished construction projects are perceived to reduce adjacent property values, may be potentially dangerous, and result in an unattractive nuisance. Billings City Code does not have any provision for construction time limits. Existing code only specifies the expiration time of a building permit when work has not commenced or is delayed. The expiration time is based either on the date the permit was issued or the date of the last inspection. The new ordinance would require the exterior of a structure to be completed within 18 months of the building permit issuance date. An extension, not to exceed twelve months, could be granted for unique circumstances, such as product shortages, inclement weather, labor disputes or financial difficulties. Violations would be treated as municipal infractions, punishable by civil penalties.

The proposed ordinance was presented to the Development Process Advisory Review Board in July and August, 2009.  The Board's discussion and minor modifications resulted in consensus of the draft ordinance.  An article was published in the Billings Homebuilder's Association Newsletter in November, providing a link to the proposed ordinance on the City's website.  Notification was also provided on the City's home website of the pending Council's action on the ordinance.  No comments have been received.  The City Council also reviewed the proposed ordinance at its October 19, 2009, work session.  The City Council is requested to hold a public hearing and act on the first reading of the ordinance on January 25, 2010. A second reading is scheduled for February 8, 2010.

City Council must hold a public hearing and then may:

• Approve the proposed ordinance;
• Deny the proposed ordinance; or
• Modify the proposed ordinance upon first reading.

There will be no financial impact to the City as a result of this ordinance.

Staff recommends that Council hold a public hearing and approve the proposed Construction Time Limit Ordinance on first reading.