HomeMy WebLinkAboutFND-008-08
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REPORT
FINANCE DEPARTMENT
Meeting:
GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
MONDAY MARCH 31, 2008 Resolution #: ~ Pth~ I.f1f- QS
Date:
Report #: FND-008-08
File#:
By-law #:
Subject:
BUILDING PERMIT FEES ANNUAL REPORT
Recommendations:
It is respectfully recommended that the General Purpose and Administration Committee
recommend to Council the following:
1. THAT Report FND-008-08 be received for information; and
2. That existing building division fees be confirmed with no change required.
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Reviewed by: U -
Franklin Wu,
Chief Administrative Officer.
A.S. Cannella, C.E.T.
Director of Engineering Services.
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REPORT NO.: FND-008-08
PAGE 2
BACKGROUND AND COMMENT:
Under the Building Code Act, 1992 and the passing of subsequent amendments, The
Building Code Statute Law Amendment Act, 2002 and Ontario Regulation 305/03,
municipalities are required to prepare an annual report that records the amount of
building permit fees collected and the costs incurred during the process.
Article 2.23.1.1 of the Building Code Act specifies what is to be included in the annual
report as follows:
(1) The report referred to in Subsection 7 (4) of the Act shall contain the following
information in respect of fees authorized under Clause 7 (1) (c) of the Act:
(a) total fees collected in the 12-month period ending no earlier than three
months before the release of the report,
(b) the direct and indirect costs of delivering services related to the
administration and enforcement of the Act in the area of jurisdiction of the
principal authority in the 12-month period referred to in Clause (1) (a),
(c) a break-down of the costs described in Clause (1) (b) into at least the
following categories:
(i) direct costs of administration and enforcement of the Act, including
the review of applications for permits and inspection of building,
and
(ii) indirect costs of administration and enforcement of the Act,
including support and overhead costs, and
(d) if a reserve fund has been established for any purpose relating to the
administration or enforcement of the Act, the amount of the fund at the
end of the 12-month period referred to in Clause (a).
(2) The principal authority shall give notice of the preparation of a report under
Subsection 7 (4) of the Act to every person or organization with such notice and
has provided an address for the notice.
The requirement to issue an annual report on building permit fees came into effect
for the 2006 year which means the first report was required by March 31, 2007.
It is unclear in the regulations as to how the annual report is to be reported; i.e. via
Council meeting, newspaper advertising, municipal website, etc.
CONCLUSION:
In accordance with the Building Code Act as amended, staff have prepared this
report to Council on an informational basis and Attachment "A" was posted on the
municipality's website on March 31, 2008.
REPORT NO.: FND-OOB-OB
PAGE 3
On the Attachment "A" for the summary of the 2007 Annual Report for Building
Permit Fees, the total of the direct and indirect costs exceeds the total building
permit fees revenue by $32,832.00. This over expenditure is insufficient in nature
and is offset by the general fund. Staff recommend that the current fee structure in
the municipal by-law for the building permit fees By-Law Number 2005-145 be status
quo.
Attachment "A" is a summary of the 2007 building permit fees revenue and related
expenditures with the expenses broken down into direct and indirect costs along with
the balance of the building division reserve fund and reflects that the total amount of
the fees do not exceed the costs to administer and enforce the Act.
Attachments:
Attachment "A": Summary of 2007 Building Permit Fees Revenue & Expenditures
CORPORATION OF THE MUNICIPALITY OF CLARINGTON
40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L 1C 3A6 T (905)623-3379 F (905)623-4169
ATTACHMENT "A"
MUNICIPALITY OF CLARINGTON
Building Permit Fee Annual Report for 2007
TOTAL FEES:
Total Building Permit fees collected during 2007 year under the Municipality of
Clarington's Bylaw Number 2005-145 is $1,695,850.00.
DIRECT COSTS:
Direct costs are deemed to include the costs of the Building Division of the
Engineering Department for the processing of building permit applications, the
review of building plans conducting inspections and building-related enforcement
duties. Total Direct Costs: $1,070,392.00.
INDIRECT COSTS:
Indirect costs are deemed to include the costs for support and overhead services to the
Building Division. Total Indirect Costs: $658,290.00.
Grand Total of Direct and Indirect Costs: $1,728,682.00.
Costs over Revenue as of December 31, 2007 - $ 32,832.00.
STATEMENT OF RESERVES:
Building Division Reserve Fund balance as of December 31, 2007 - $108,300.00
NOTE: Unaudited Figures.