Norwalk updates fees for coming fiscal year

Councilmember Margarita Rios discusses implementing fees to incentivize redevelopment on vacant properties with consultant Brian Brown from Clear Source during the city council meeting on Tuesday, April 1. (Photo by Vince Medina)

The Norwalk City Council unanimously approved the resolution to update and establish user and regulatory fees for the next fiscal year during a public hearing last week.

Jennifer Hernandez, senior management analyst in the finance department, introduced the item, explaining that the study was a collaborative effort to assess the relevance of existing fees and determine the cost of providing services. The last time Norwalk conducted a user and regulatory fee study was in May 2007.

The city’s consultant, Brian Brown from Clear Source said the study focused on service-based user and regulatory fees involving building permits, plan reviews, and permit processing. He emphasized that the fees are intended to recover the costs of providing direct benefits to the receiver of the service but are not intended to be profit-generating.

The proposed fee schedule includes new fees to offset the costs of development-related technology, advanced planning documents and a credit card processing fee.

“The proposed fees that are before you in the city of Norwalk are in the mid-range of the regional spectrum,” said Brown. “So you’re going from the low-end to the mid-end of the region.”

The adoption of the fees is expected to cost $1.4 million in additional annual cost recovery, which aims to offset costs the city is already incurring. The fees will be effective July 1.

Councilmember Ana Valencia expressed concern about the number of fees, particularly those related to home improvements.

“We have to abide by certain regulations, but it’s just a lot, especially for people’s homes,” said Valencia. “I don’t think it’s all that great, but I get it. We run a city, and there are certain things that we have to go through.”

Councilmember Margarita Rios raised the issue of vacant properties and the potential for implementing fees to incentivize redevelopment.

Brown said that some cities, such as Oakland, have explored similar measures, but the administration of such fees can be challenging.

Councilmember Rick Ramirez suggested revisiting the city’s property maintenance ordinance to explore options for penalizing or incentivizing property owners to address vacant properties. The council directed staff to look into the matter and consult with the city attorney.

The council then unanimously approved the resolution, updating the user and regulatory fees.