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Public Improvement Contract Each new developmentor redevelopment is required to enter into a public improvement contract with the City. The purpose of the public improvement contract is to ensure that the infrastructure is built according to submittedplans and City specifications. At a minimum, City Staff and the City Attorney spend approximately 5-6 hours and 1-2 hours respectively, to develop and review the contract. In addition, City Staff spend time on-site observing and reviewing the construction of the improvements as they occur. Therefore it is also recommended that in addition to the $500 application fee, the public improvement contract also calls for an on-site review fee that is equal to 1-2% of the total cost of the improvement. Currently, the associated Staff and City Attorney costs are being funded by properiy taxes. To maintain consistency with building permit and plan review funding mechanisms, it is proposed that the properiy owners andlor their contractor pay for all associated costs. This will provide greater assurance that new growth will pay for itself. Building Permit Fees While many of the City's building permit and plan review fees were adjusted last year, the associated costs have continued to increase and have reached a point that warrants an increase in the fees. The proposed fee increases are consistent with the current Uniform Building Code. Financial Impacts Based on the recommended fee adjustments, it is projected that revised fees will generate revenues sufficient to cover the City's added regulatory costs. The applicable revenues and expenditures have been included in the 2006 Budget. Attachments a) 2006 Proposed Fee Schedule Council Action Requested Provide direction to Staff as to the appropriate fees and charges for City regulatory functions for 2006, and direct Staff to bring forth a resolution to adopt the 2006 Fee Schedule at the next available Council Meeting. �