Costs for new developments and alterations are adjusted for the first time since 1991 to reflect equitable fee structure. On May 10, 2016, Mayor Bill de Blasio signed Local Law 56, which will alter building construction permit filing fees. Local Law 56, previously City Council Introduction 831, was introduced by Council Member Jumaane Williams at the request of the Mayor in June of 2015, and passed on April 20, 2016, to provide for a more equitable fee structure.
Local Law 56 will cut fees in half for projects at one-to-three family homes (new projects and alterations), while major developments (those that are seven stories or 100,000 square feet or greater) will be subject to increased fees reflecting the amount of resources provided by the Department of Buildings to review and regulate these projects.
Before signing the new law, Mayor Bill de Blasio stated, “fees paid to the City for major developments have not been adjusted in a quarter century – since 1991. We’ve seen a boom in construction over the past couple of decades – more development projects and bigger, more complex projects. Today, it costs the City significantly more to ensure that projects are safe and compliment with building codes, so we must make sure that fees for large and complicated development are updated to reflect this evolution.”
This new law is part of the Department of Buildings: Building One City Plan. “These fee reductions are a win for homeowners,” said Commissioner Rick Chandler, of the Department of Buildings. “With new construction at a record high across the City, fees for major developments will now reflect the increased service levels required to bring them to fruition, allowing us to cut fees in half for simple projects filed by homeowners.”
“Modernizing the fee structure for permits filed to the Department of Buildings will make it less onerous for small property owners to obtain permits. We want to also encourage them to engage in construction work safely. I look forward to working with the Administration and the Speaker on safe development throughout our city,” said Council Member Jumaane D. Williams.
“New York City is always under construction, and we depend on inspections from the Department of Buildings to keep us safe. Thank you to Mayor Bill de Blasio and Council Member Jumaane Williams for finding a way to reduce the burden of fees on homeowners while remaining fiscally responsible to maintain the resources that protect New Yorkers,” said Council Member Helen Rosenthal.
“This bill will have a positive effect towards encouraging homeowners to file proper permits rather than cutting corners,” said Council Member Paul Vallone. “It is also a win for homeowners who will pay smaller fees on simple projects. I was proud to sponsor this bill and thank Mayor de Blasio for signing it into law.”
“Intro 831 is a responsible recalculation of fees for building permits – reducing the burden on homeowners and requiring developers to pay their fair share,” said Council Member Ritchie Torres. “This new fee structure will improve DOB oversight on construction sites across New York City – making residents and workers safer as a result. I am proud to have co-sponsored the legislation, and applaud Council Member Williams for taking initiative on the issue.”
Local Law 56 (2016): A Local Law to amend the administrative code of the city of New York, in relation to permit filing fees for new buildings and alterations.
By: Brian Kaszuba (Brian is the CityLand Editor and New York Law School Graduate, Class of 2004).