City Beat: Council adopts fee changes

The cost of doing business for area contractors is on the rise following Springfield City Council’s unanimous approval Jan. 14 to adjust most of the city’s service fees beginning July 1. In all, the city established 15 new fees, reduced 80 charges, held constant 37 and increased 77.

The changes, which came without public discussion at the meeting, are estimated to generate $22,323 in new revenue for city departments, according to information provided to council members before the vote.

As part of its electronic plan submission and review system, Building Development Services was granted a technology fee of 1 cent per square foot, with a minimum charge of $50 for plans submitted electronically.

Increases for 27 zoning and subdivision case review fees were approved, generating $10,176 at fiscal 2012 activity levels. Land disturbance permits have increased to $350 from $300, and preliminary planned development review fees increased 5.3 percent to $2,116. In addition, the fee for conditional use permits jumped to $1,355 from $1,272 in the current fiscal year.

The price for a burning permit is among the 80 charges to be reduced. The new permit cost is $72, down from $79. Several blasting and fireworks permits also went down around 2 percent to better reflect the cost to the city.

Among the 37 fees that remained unchanged are the after-hours establishment fee, at $137, and the rates for Fire Department staff and equipment at events.  

According to the city’s findings and recommendations to council, “Charges for municipal services, where appropriate, should recover 100 percent of the related cost of providing the service.” The adjustments bring recovery of costs to 97.5 percent in fiscal 2014 from 96.6 percent in the current fiscal year.

“The folks at City Hall have got to pay bills just like I’ve got to pay mine,” said Rick Quint, president of Springfield-based general contractor Q & Co., who doesn’t advocate for fee increases but said he understands Building Development Services has to cover its costs. “We’re seeing increases in raw materials and almost every finished good, so to say it’s OK for industry to raise prices, but it’s not OK for the city, I think, is an unfair statement.”

In particular, Quint said he approved of charges associated with electronic submission of plans given that they help speed up the review process for contractors.

The bill to adjust fees was previously introduced in June, but complaints from members of the business community – including Richard Brownsberger of Strafford-based Hometown Disposal Inc. – led the city to introduce upcoming changes at the end of the calendar year so companies could have plenty of time to adjust their budgets, according to city Finance Director Mary Mannix Decker. Decker brought the bill before council at its Dec. 17 meeting. Brownsberger had protested an 8 percent hike in landfill fees for the current fiscal year, saying he didn’t have time to adjust his rates, but didn’t speak out against the bill during the December meeting. The city delayed implementing the new landfill fee until Jan. 1.

C-Street storage
Reed’s Plumbing, Heating & Excavating has asked council to approve a conditional-use permit on a vacant lot at 624 W. Commercial St., where it plans to house a fleet of service vehicles across the street from the company’s 611 W. Commercial St. office. During the Jan. 14 public hearing, a real estate broker representing Reed’s and a residential neighbor asked the city to approve the measure.

Murney Associates, Realtors broker Bart Collins said he was assisting in the sale of the nearly half-acre lot formerly occupied by Sonic Drive-In, which has moved to 635 W. Commercial St. Collins said property owner Thomas Dunivant has wanted to sell it since Sonic moved about 12 years ago. Reed’s Plumbing owner Herb Reed has been the first person to express interest in the property.

To comply with zoning rules on Commercial Street, Reed needs a conditional-use permit to build a fence around the property and house vehicles there. Collins said it would be a better use of the lot, which he said is a frequent hangout for drug users and transients.

Charles Gross, a resident on nearby North Main Avenue, agreed.

“The lot seems to draw all kinds, and they leave anything and everything there,” Goss said, adding he often walks behind the property to shop at Price Cutter on North Grant Avenue and he’d feel safer if the lot had a proper use.

Commercial Club, which represents businesses and residents in the Commercial Street district, requested in writing the Planning & Zoning Commission require Reed erect a wrought iron fence on the lot. Collins said Reed felt wrought iron was too expensive, and he planned to install a metal fence coated in plastic. No members of the public spoke against the proposal. A call to Reed for comment was not returned by press time.

Council is scheduled to vote on the ordinance Jan. 28.

Reimbursement plan eliminated
Springfield Economic Development Director Mary Lilly Smith introduced a bill to remove an ordinance designed to eliminate a cooperative agreement between Hickory Hills Marketplace developer Paul Larino of Larino Properties LLC, the city of Springfield and Greene County regarding reimbursements of public funds collected through a Community Improvement District and a proposed Neighborhood Improvement District.

Smith said Larino never signed the agreement formalizing the plan because provisions were in place to keep Larino from receiving CID funds until certain conditions were met. According to the ordinance, conditions included developer improvements to the property.

The measure introduced at the Jan. 14 meeting, Smith said, would remove the agreement from the books.

In December, Larino walked away from plans to build Hickory Hills Marketplace, a retail center that was to be anchored by Menards until officials with the Eau Claire, Wis.-based home improvement store chain said they would not pursue plans to build two stores in the area.

Councilman Jeff Seifried praised Smith for putting conditions in place that kept a district from being established without developer action.

“I appreciate your diligence in this matter because we could be sitting in a very different place without your ability to structure a safety net,” Seifried told Smith.