City hikes permit costs for new homes

It will cost more to build a new home in the city of Medford.

At Tuesday’s city council meeting, council members approved a new fee schedule that doubles the cost of the needed permits rather than one previously proposed by the city building inspector Bob Christensen which would have tripled the fees.

The city had last adjusted the permit fee schedule in March 2011. At last month’s committee of the whole meeting, Christensen had proposed a fee schedule based on a flat cost for the first 850 square feet of finished space and then go up from there based on the amount of finished space in the home.

Council member Mike Bub said that he reviewed that proposal and felt that the fees were going up too high.

The fee for a 1,500 square foot home has been $350 for more than a decade. Under the initially proposed rate hike, it would go to $680, while a 2,400 square foot home would go from $400 currently to $1,040 under the proposed rate increase.

“I thought those were a little excessive,” Bub said. He also sought to simplify the fees staying with flat amounts rather than have a formula for people to figure out their rate.

Bub proposed the following fee changes: Modular home $400; New home 1,500 square feet or less $650, New home 2,500 square feet or less $700, and for larger than 2,500 square feet $750.

Council members supported Bub’s proposed changes, however, much of the discussion at the meeting centered on the permit fees, and even if permits See PERMIT FEES on page 4 should be needed for replacing existing furnaces and hot water heaters.

Council member Laura Holmes said she questioned the furnace and hot water heater fees saying she thought they were new fees and was concerned about the extra burden this would put on homeowners and contractors who would have to get a permit before work could begin. She noted that when a furnace goes out on a weekend when it is 20 below zero, it is not practical to wait to get a permit.

According to Christensen, the permit requirements for a new furnace or hot water heater have always been on the books.

“Just because you have something in writing doesn’t mean it is being enforced,” Christensen said. “It has always been on the books,” he said.

He said that if anyone had an emergency they should go ahead with the replacement and then afterward come in and get the permit. He said he has never penalized someone in those situations.

However, the city’s permit fee schedule lists penalties of $50 per day for violating the permit rules with the fines doubling if work is started before the permit is applied for.

Council members continued to question the need for permits, equating things like the replacement of an existing furnace or hot water heater to replacing a stove in a kitchen. There was also concern that despite Christensen saying otherwise, that this was a new requirement.

“I can tell you Merrill Sheet Metal out of Merrill has been doing a lot of furnace replacements and they always get a permit,” Christensen said.

Others noted that at a prior meeting Christensen said he seldom inspected the work being done, although he has the ability to do so.

“What is the purpose of the permit then?” Holmes asked.

“If there is a substantial change in the house you would want the assessor to be aware,” Christensen said, noting the information is used to determine if the taxable value of the home has changed. He also said there are code issues with how furnaces and water heaters need to be installed.

Holmes said that if someone was a licensed plumber they would know those codes and install them correctly.

“Wouldn’t you want someone to come in and verify it,” Christensen said.

However Bub noted that Christensen previously said he probably wouldn’t go inspect it. He said it sounded like they wanted to collect a fee for not doing anything.

Holmes and council member Christine Weix compared replacing furnaces and water heaters with replacing stoves and refrigerators.

“We aren’t going to make someone get a building permit for K& B to put in a refrigerator with a water line,” Weix said.

The question was raised of who pays the fine if they didn’t get a permit or how it is enforced. Christensen said the city does not go around looking at seeing when plumbing and heating contractor trucks are parked at people’s houses and asking to see their permit.

He said the city code says the contractors are supposed to get the permits but ultimate responsibility goes to the homeowners.

Council member Greg Knight said the issue is wanting to make sure they are installed correctly, noting there can be catastrophic issues if they are not done right. “You want to make sure consumers are protected too,” he said.

He said that people do not necessarily know a quality plumber or heating person when they call someone to come make a repair. “You learn from experience who is doing it right and who is not,” he said.

Christensen also clarified that when he is going into a home to inspect something like a furnace or a hot water heater, he is going to inspect that item and not other things while he is there. He said he may comment saying “Oh by the way” they should do other things, but said he is not there to inspect their entire home.

The new permit fee schedule was approved on a 6-2 vote with Weix and Holmes opposed.