TC Res. No. 2010-03 Readopting a temporary fee reduction and waiver program for zoning,design review and bulding permit applications collected by the town of avonTOWN OF AVON
RESOLUTION NO. 10 -03
SERIES OF 2010
A RESOLUTION READOPTING A TEMPORARY FEE REDUCTION AND WAIVER
PROGRAM FOR ZONING, DESIGN REVIEW AND BUILDING PERMIT
APPLICATIONS COLLECTED BY THE TOWN OF AVON
WHEREAS, the Town of Avon experienced a significant reduction in development activity
and related fees collected by the Community Development Department in the 2009 calendar year;
WHEREAS, the Avon Town Council held a public meeting on July 28, 2009 to discuss the
merits of a permit fee reduction or waiver policy in an effort to stimulate development and
building activity and found that the temporary waiver of zoning and design review fees and
certain building permit fees would encourage development and building activities and will
thereby promote the economic recovery and health of the Avon community;
WHEREAS, the Avon Town Council held a public meeting on January 12, 2010 to consider
the results of the fee reduction and waiver program initiated via Resolution No. 09 -25 on August
11, 2009; and, after said consideration directed staff to bring forward this Resolution to officially
readopt the fee reduction and waiver program discussed herein, and;
WHEREAS, the Town Council may enact and update fee schedules by resolution to respond
to changing market conditions for application processes as set forth in the Avon Municipal Code
Section 15.08.050(a) (Building), Title 17 (Zoning) of the Avon Municipal Code and in the Town
of Avon Residential, Commercial, and Industrial Design Review Guidelines.
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE
TOWN OF AVON, COLORADO:
The Town Council hereby adopts the following Temporary Fee Reduction and Fee
Waiver Schedule as set forth and incorporated herein as "Exhibit A to Resolution 10 -03"
reducing or waiving fees related to the processing of zoning, design review and building permit
applications.
ACCEPTED, APPROVED AND ADOPTED ON JANUARY 26, 2010.
NU- h(%Nti,
N C UNCIL /moo`'. •'v ATTEST:
onald C. Wolfe, Mayo �� By Pa McKe wn Clerk
q0 L
6"'
EXHIBIT A to RESOLUTION 10 -03
Town of Avon Community Development Department
Temporary Fee Reduction and Fee Waiver Schedule
Adopted January 26, 2010
The following fees shall be temporarily eliminated or reduced until May 12, 2010, as
described below and subject to the conditions and exclusions stated in this Temporary Fee
Reduction and Fee Waiver Schedule. The fees established by Resolution No. 06 -01 for
Zoning review, Design review and Building Permit review shall be automatically reinstated
and effective on May 12, 2010, and thereafter, unless and until further modified by
resolution of the Avon Town Council.
Temporarily Reduced or Waived fees:
(1) 100% of all Zoning fees are waived until May 12, 2010.
(2) 100% of all Design Review fees are waived until May 12, 2010.
(3) 100% of all Building Permit fees for interior remodels, replacement of exterior stucco
and/or siding, and roof covering repair and replacement are waived until May 12, 2010.
(4) 10% for all other Building Permit fee are waived until May 12, 2010.
Conditions and Exclusions:
(a) All plan submittals must be deemed complete by the Community Development
Department on or prior to 5:00 p.m. May 12, 2010 in order to qualify for any fee
reduction or fee waiver. Plan submittals which are complete, eligible and received timely
by the Town of Avon shall be eligible for the fee waiver or fee reduction throughout the
zoning and/or design review process or throughout the period of the issued building
permit in accordance with procedures and regulations adopted by the Town of Avon and
as may be amended from time to time by the Town of Avon.
(b) The temporary fee reduction or fee waiver shall not apply to any outsourced plan check
fees, water tap fees, the Eagle County Fire Protection District Impact Fee, legal fees, any
other impact fees imposed by the Town of Avon, and any other direct costs borne by the
Town of Avon in reviewing applications for Zoning, Design Review and Building
Permits.
(c) In all instances, the fee waiver must be approved by both the Chief Building Official and
the Community Development Director.
• Memo
r�
•
To:
Thru:
Legal Review:
Approved by:
From:
Date:
Re:
Honorable Mayor and Town Council Initials
Larry Brooks, Town Manager
Eric Heil, Town Attorney 'It
Sally Vecchio, Asst Town Manager, Com Dev
Matt Gennett, AICP, Planning Manager
January 21, 2010
Resolution No. 10 -03, Series of 2010
Summary:
Staff recommends the Council DENY Resolution No. 10 -03, Series of 2010, citing the
findings contained herein which indicate the fee waiver program adopted by Resolution No.
09 -25, Series of 2009, did not produce the stated, intended results.
Previous Council Action:
On January 12, 2010, the Town Council directed staff to bring forward a Resolution to
effectively extend the fee waiver program citing that the reduction and waiving of fees
normally collected by the Community Development Department achieved the intended effect
of stimulating development activity in the Town of Avon; and, that doing so would constitute a
symbolic gesture to the citizenry.
On July 28", 2009 the Town Council approved Resolution No. 09 -25, establishing a
temporary fee reduction and waiver program as follows:
1. 100% of all Zoning fees
2. 100% of all Design Review fees
3. 100% of all Building Permit fees for interior remodels, replacement of
exterior stucco and /or siding, and roof covering repair and replacement
4. 10% for all other Building Permit fees
Background:
The waiver program was intended to jump start a lagging local construction industry and
related businesses. The fee waiver program was initiated via Resolution No. 09 -25 on
August 1, 2009 and is set to expire on February 12, 2010.
Discussion:
After reviewing the construction activity indicators for 2009 (Tables 1.1, 1.2 and 1.3, below), it
is apparent that the fee waiver program did not encourage new construction activity that
would have otherwise not occurred without the program. Overall revenues from permit fees
fell 24% between 2008 and 2009; and building permits were down 58% during the same
period. Building additions and remodels represent the majority of building permits issued in
2009. Only four permits were issued for new residential construction, and no new
commercial construction occurred in 2009.
t
Financial Implications: •
Thus far in January 2010, $2,100 in fees has been waived. Between January 1, 2009 and
May 1, 2009, our fees totaled over $15,000, which suggests that even if local development
activity remains flat, the Community Development Department will be unable to collect a
substantial amount of revenue we would otherwise provide to the Town of Avon.
Permit Revenues
2006 —2009
Table 1.1
2009 Building Pen-nit Revenue
By Type
Table 1.2
Building Addition /Remodel
Zoos
2007
2008
Revenues Received
Waived Revenues
Percent Change
$600
New Residential Construction Valuation
$11,165,780
$3,521,000
Jan -Au 2009
(Aug-Dec 2009
2008 -09
4
(73.7%
Total Permits Issued
143
60
(58 %)
Contractor's
License
$17,605.00
$18,478.00
$15,109.00
$5,205.00
0
(65.5 %)
Fees
Pe Building
$587,775.61
$282,928.52
$181.467.35
$43,097.62
$25,849.37
(62 %)
Plan Check
$598,828.91
$231,438.38
$88,966.81
$12,609.79
0
(85 %)
Subdivision
Review Fees
$111,750.74
$48,347.51
$9,874.39
$4,627.50
$877.50
(44 %)
Design
Review Fees
$48,965.00
$40,400.65
$34,585.00
$12,925.00
$7,886.17
(39 %)
Totals
$1,366,931.26
$623,600.06
$150,725.017
$78,464.91
$34,613.04
24%
2009 Building Pen-nit Revenue
By Type
Table 1.2
Building Addition /Remodel
$25,803
New Building
$14,418
Mechanical
$1,430
Plumbing
$600
Building Permits Processed
2008-2009
Table 1.3
• Page 2
•
•
2008
2009
Percent
Change
New Commercial Construction Valuation
$2,525,749
$o
(100
New Residential Construction Valuation
$11,165,780
$3,521,000
(68.4%
New Residential Permits Issued
15
4
(73.7%
Total Permits Issued
143
60
(58 %)
• Page 2
•
•
• Recommendation:
Citing the findings detailed above, which indicate the fee waiver program did not
produce the intended result of stimulating or incentivizing development activity in the
Town of Avon, staff recommends the Council DENY Resolution 10 -03, Series of 2010,
as written and attached hereto.
•
Alternatives:
Council may also APPROVE Resolution No. 10 -03, Series of 2010; TABLE the subject item
with further direction to staff; or, take no action on the subject item.
Proposed Motion:
"I move to DENY Resolution No. 10 -03, Series of 2010, with the findings provided by staff in
their memorandum to council dated January 21, 2010."
Town Manager Comments: , o �/�� ♦ /i�� /��/�Y/ I ' -
• Page 3
TOWN OF AVON •
RESOLUTION NO. 10 -03
SERIES OF 2010
A RESOLUTION READOPTING A TEMPORARY FEE REDUCTION AND WAIVER
PROGRAM FOR ZONING, DESIGN REVIEW AND BUILDING PERMIT
APPLICATIONS COLLECTED BY THE TOWN OF AVON
WHEREAS, the Town of Avon experienced a significant reduction in development activity
and related fees collected by the Community Development Department in the 2009 calendar year;
WHEREAS, the Avon Town Council held a public meeting on July 28, 2009 to discuss the
merits of a permit fee reduction or waiver policy in an effort to stimulate development and
building activity and found that the temporary waiver of zoning and design review fees and
certain building permit fees would encourage development and building activities and will
thereby promote the economic recovery and health of the Avon community;
WHEREAS, the Avon Town Council held a public meeting on January 12, 2010 to consider
the results of the fee reduction and waiver program initiated via Resolution No. 09 -25 on August
11, 2009; and, after said consideration directed staff to bring forward this Resolution to officially
readopt the fee reduction and waiver program discussed herein, and;
WHEREAS, the Town Council may enact and update fee schedules by resolution to respond •
to changing market conditions for application processes as set forth in the Avon Municipal Code
Section 15.08.050(a) (Building), Title 17 (Zoning) of the Avon Municipal Code and in the Town
of Avon Residential, Commercial and Industrial Design Review Guidelines.
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE
TOWN OF AVON, COLORADO:
The Town Council hereby adopts the following Temporary Fee Reduction and Fee
Waiver Schedule as set forth and incorporated herein as "Exhibit A to Resolution 10 -03"
reducing or waiving fees related to the processing of zoning, design review and building permit
applications.
ACCEPTED, APPROVED AND ADOPTED ON JANUARY 26, 2010.
TOWN COUNCIL
ATTEST:
By: Ronald C. Wolfe, Mayor By: Patty McKenny, Town Clerk
• EXHIBIT A to RESOLUTION 10 -03
Town of Avon Community Development Department
Temporary Fee Reduction and Fee Waiver Schedule
Adopted January 26, 2010
The following fees shall be temporarily eliminated or reduced until May 12, 2010, as
described below and subject to the conditions and exclusions stated in this Temporary Fee
Reduction and Fee Waiver Schedule. The fees established by Resolution No. 06 -01 for
Zoning review, Design review and Building Permit review shall be automatically reinstated
and effective on May 12, 2010, and thereafter, unless and until further modified by
resolution of the Avon Town Council.
Temporarily Reduced or Waived fees:
(1) 100% of all Zoning fees are waived until May 12, 2010.
(2) 100% of all Design Review fees are waived until May 12, 2010.
(3) 100% of all Building Permit fees for interior remodels, replacement of exterior stucco
and /or siding, and roof covering repair and replacement are waived until May 12, 2010.
(4) 10% for all other Building Permit fee are waived until May 12, 2010.
•
Conditions and Exclusions:
(a) All plan submittals must be deemed complete by the Community Development
Department on or prior to 5:00 p.m. May 12, 2010 in order to qualify for any fee
reduction or fee waiver. Plan submittals which are complete, eligible and received timely
by the Town of Avon shall be eligible for the fee waiver or fee reduction throughout the
zoning and/or design review process or throughout the period of the issued building
permit in accordance with procedures and regulations adopted by the Town of Avon and
as may be amended from time to time by the Town of Avon.
(b) The temporary fee reduction or fee waiver shall not apply to any outsourced plan check
fees, water tap fees, the Eagle County Fire Protection District Impact Fee, legal fees, any
other impact fees imposed by the Town of Avon, and any other direct costs borne by the
Town of Avon in reviewing applications for Zoning, Design Review and Building
Permits.
(c) In all instances, the fee waiver must be approved by both the Chief Building Official and
the Community Development Director.
•