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V.1. First Reading Ordinance Amending Fees in Appendix A of the Hopkins City Code; Imihy BeanNovember 16, 2021 Council Report 2021-110 Ordinance Amending Fees in Appendix A of the Hopkins City Code Staff recommends approval of the following motion: Move to approve the first reading of Ordinance 2021-1076 Amending Fees in Appendix A of the Hopkins City Code. Overview The common fees for all City departments are adopted by resolution and included in the City Code. Staff presented at the August 10 2021, Work Session that they have been working to establish baseline charges that included calculated amounts of staff time and overhead costs involved for each fee. It is anticipated this review will happen every October going forward, and fee changes recommended tonight are proposed to take effect January 1, 2022. Planning and Zoning Application Fees Since the August work session, staff has begun reviewing the amount of combined time spent on all types of applications between the Community Development Director, City Planner, Community Development Coordinator, and the department’s Administrative Assistant. Staff also consulted with the City Attorney for best practice advice on establishing new fees. As proposed in Appendix A, Staff recommends an increase in base application fees as well as a base application fee + an escrow fee for several applications, to cover any legal and administrative fees associated with the application. At the closure of a planning application, any escrow amount not used is returned to the applicant or additional costs incurred by the City will be billed to the applicant. This escrow account is addition to any escrows collected for traffic studies, environmental assessments, or similar circumstances. Staff has also included a number of new fees related to review of traffic studies, environmental studies, and applications for city financial assistance. These are all currently items which significant staff time from various departments spend time reviewing and incur legal and consultant fees. Staff also recommends creating a fee of $100 for Zoning Verification Letters. These are letters requested by title companies during the sale or refinancing of property which clear the property of any zoning or building permit issues. It is standard in most communities to charge a flat fee in this amount to offset the cost of research associated with issuing these letters. Solar Fees As part of the City’s ongoing sustainability efforts, the City is pursuing a SolSmart certification which establishes a points-based participation process awarded on a variety of metrics, such as cost of fees. To follow the best practices of SolSmart, staff is recommending that permits not exceed the cost of $400 for residential solar and continuing to charge commercial and industrial solar permits based on cost recovery. Park Dedication Fees Also discussed at the August meeting, Staff recommends raising the Park Dedication Fee as allowed by MN Statute 456.358. Staff finds that commercial and industrial fees are commensurate with adjacent cities but recommends raising fees associated with residential development to $5000 per unit, regardless of if the unit is a single family or multiple family development. This is change from our current fee structure as there is not evidence to indicate that single-dwelling units use parks and trails less frequently than those living in multi-family units and is consistent with comparison cities fee structures. Primary Issues to Consider •The proposed fee changes more accurately reflect the City’s staff time and costs associated for services. Staff Recommendation Staff recommends adjusting fees as outlined in Ordinance 2021-1076. Supporting Documentation •Ordinance 2021-1076 PeggySue Imihy Bean, Management Analyst Financial Impact: $___N/A______ Budgeted: Y/N ____ Source: ________________ Related Documents (CIP, ERP, etc.): ____________________________________ Notes: _____________________________________________________________ CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA ORDINANCE 2021-1076 RESOLUTION AMENDING FEES IN APPENDIX A OF THE HOPKINS CITY CODE WHEREAS, the City of Hopkins has reviewed Appendix A of the Hopkins City Code in order to establish logical and defensible fees; and WHEREAS, The City of Hopkins has found certain fees and rates in need of adjustments and is hereby amended to add the double-underlined language and delete the stricken language as follows: Zoning and Planning Planning & Zoning Base Fee Escrow* Concept review $250.00 $350.00 As per ordinance Site plan review $500.00 As per ordinance (with C.U.P. application) Conditional use permit: Conditional Use Permit $800.00 $1000.00 As per ordinance Conditional Use Permit for fences, signs, and other uses: $150.00 As per ordinance Construction projects valued up to $1,000,000.00 $400.00 As per ordinance Construction projects valued over $1,000,000.00 $800.00 As per ordinance Variance $150.00 $500.00 As per ordinance Vacate street or alley $250.00 $500.00 As per ordinance Rezoning or text amendment $350.00 $1000.00 $3000.00 As per ordinance Zoning amendment $300.00 As per ordinance Waiver of platting requirements Administrative Subdivision $200.00 $300.00 As per ordinance Subdivision approval, preliminary $150.00 $1000.00 $1500.00 As per ordinance Subdivision approval, final $100.00 $1000.00 $1500.00 As per ordinance Subdivision, Combined Application $1800.00 $3000.00 As per ordinance Planned unit development $300.00 $2500.00 $5000.00 As per ordinance Comprehensive plan amendment $200.00 $2000.00 $3000.00 As per ordinance Park dedication fee per residential unit $1,000.00 $5000.00 Per unit Multiple units (three or more) $3,000.00 Per unit Environmental Review $1000.00 $10,000 or based on estimate As per ordinance Traffic / Travel Demand Management Study $500.00 $5000.00 or based on estimate As per ordinance Zoning Verification Letter $100.00 per parcel As per ordinance Extension of Approvals $250.00 As per ordinance Application for City Financial Assistance $2000.00 $25,000 or based on estimate As per ordinance Zoning Appeal $350.00 As per ordinance Interim Use Permit $800.00 As per ordinance *Escrow may be adjusted as needed dependent on project size and scope at staff discretion Solar Permit Fees Residential Units Based on valuation, not to exceed $400.00 As per ordinance Commercial or Industrial Based on valuation As per ordinance NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Hopkins hereby adopts the fee adjustments as outlined above. Adopted by the City Council of the City of Hopkins this 7th day of December 2021. By:___________________________ Jason Gadd, Mayor ATTEST: _______________________________ Amy Domeier, City Clerk