St. Cloud Weighs First Building Permit Fee Increases In Nearly Two Decades

(KNSI) – It could cost more to make improvements to properties in the City of St. Cloud as the council considers its first building permit fee increases in nearly two decades.

The topic was discussed during a study session late Monday afternoon. The presentation compared St. Cloud’s current and proposed fees against peer cities including Sartell, Sauk Rapids, Waite Park, Mankato, Brainerd, Rochester and Duluth.

The proposed increases touch nearly every permit category the city issues, including building, electrical, plumbing, HVAC, roofing, siding, signs and moving permits.

According to the city’s estimates, existing fees generate about $1.08 million annually. Under the proposed fee structure, that figure would rise to roughly $1.58 million, a difference of about $498,000.

Community Development Director Matt Glaesman told KNSI why city staff is asking for the changes. “One of the key considerations is really how much of that cost of providing the service is generated by the applicant for the permit and how much is being covered by the general taxpayer. Right now, we are not at full cost recovery where the applicant is paying for it.”

Glaesman explained further. “By adopting new standards for those valuation table and the actual cost of a permit, we can increase staffing, we can increase software enhancements, it will make better customer service.”

No decisions were made. The session was informational, and a public hearing would be required before any changes take effect. The earliest that hearing could occur would be mid-May or June. Builders, contractors and the public would have the opportunity to weigh in during that process.

Among the most visible changes for homeowners, residential roofing and siding permits would jump from $60 to $100. A combined roofing and siding permit would go from $75 to $200. Electrical circuit fees would double from $6 to $12, and electrical inspection fees would rise from $35 to $55. Residential new home minimum electrical permit fees would increase from $135 to $200.

On the plumbing side, fixture fees would rise from $10.50 per fixture with a $30 minimum to $15 per fixture with a $50 minimum. Residential plumbing inspections tied to water and sewer hookups, disconnects and repairs would go from $19 per inspection to $50.

HVAC permits for furnaces, air handlers and ductwork would increase from $40 per unit to $50 per unit. Residential HVAC alteration fees would jump from $75 to a proposed level in line with peer communities.

For commercial projects, building permit fees at higher valuations would also rise. The base fee schedule at some tiers would remain the same, but proposed changes to the underlying valuation table would increase the effective cost of those permits.

Sign permits would see increases as well. A wall sign up to 100 square feet would go from $33 to $50. Temporary sign permits would rise from $67 to $75.

Moving permits for structures in the first 400 square feet would increase from $17 to $20, with each additional 400 square feet going from $11 to $12.

Permit refund policies would also shift. The city currently refunds 80% of a permit fee, excluding plan review costs. The proposed policy would lower that to 60%.

The largest revenue gains would come from commercial building permits, which would jump from about $354,000 to nearly $580,000, and commercial plan review fees, which would rise from about $230,000 to roughly $377,000. Residential roofing, siding, windows and doors permits would increase from about $56,400 to nearly $98,000.

Glaesman said the city is not trying to price itself above neighboring communities but rather align with what they already charge.

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