Explanation
BACKGROUND: The Transportation Division within the Public Service Department has, among other duties, the coordination, direction, inspection and supervision of the construction of streets, highways, bridges, storm sewers, sanitary sewers, street lighting, water distribution lines, traffic control devices and any other city-owned or operated facility and such other related matters as may arise in connection with such construction.
The Development Services Special Revenue Fund was created to support the construction inspection activities of Transportation Division of the Department of Public Service. This fund is supported partly by the construction inspection fees collected by the Transportation Division from customers of its inspection services, including private developers and city agencies.
Expenses relating to the operation of construction inspection have increased yearly. For instance, collective bargaining agreements have obligated the City to wage increases ranging from 2% to 4% per year. Similarly, other operating expenses such as health insurance, workers compensation, information technology, fuel for vehicles, and utility expenses increase every year.
In reviewing revenues and expenses in conjunction with key customer base representatives, the Public Service Department finds that construction inspection rates must be increased to balance expenses with revenues. As result of this review, an interim schedule of implementation to revise current fees has been effected administratively, with a future fee schedule proposed herein for codification. This codified fee schedule will not only allow the Division to better budget and project revenue, but also will allow customers to better prepare for future changes and adjust their bidding processes accordingly. As implementation of these fees occurs, further minor modifications and refinements that prove necessary for continued customer service improvements will be evaluated and possibly s...
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