A five-year schedule to phase Community Development Department (CDD) fees from their current, Council-adopted rates toward updated cost of service targets, including adoption of an annual fee increase based on CPI (Consumer Price Index), is proposed to address the gap in cost recovery while avoiding a single large increase in fees. Year 1 fees take effect immediately and each subsequent year's fees taking effect automatically on February 1 of that year.

If it pleases Council, adopt Resolution 26-30 amending the city's fee schedule which includes the full five-year schedule with and an annual fee increase based on CPI (Consumer Price Index). 

At Council’s July 21, 2026, meeting, staff presented an analysis of Community Development Department (CDD) fees compared to actual costs of service.  Note: Building Division fees are excluded from this analysis and proposal.  The current adopted fees are below the current cost of services as well as below comparable cities; the gap in cost recovery, anywhere from 50% - 76%, is subsidized by the General Fund (GF).  A phased-in cost recovery approach is proposed to close the cost recovery gap.

The General Fund (GF) currently subsidizes Community Development Department fees.  These changes will decrease the current subsidy to close the gap on cost recovery.