Fees and Real Estate Development

The Cost of Doing Business: Raleigh to Increase Development Services User Fees

On February 21, 2017, after study and public hearing, the Raleigh City Council voted to increase development permitting fees in the City of Raleigh.  The current fee schedule is viewable here.  However, after Tuesday’s vote by the Raleigh City Council, those fees will change in the near future.  How much will they change?  Well, that depends.  Overall, the changes will hike fees for landowners and developers across the board by $6 million annually to meet what the City considers to be the cost of doing the permitting work.  Accordingly, with these changes, the City’s Development Services Department would increase its budget from $13 million to $15.4 million.

Why these changes?  The City Council has not revisited its fee schedule in some time, there is significant public interest in the proper handling of continued, intense development in the City, and Raleigh’s current fee schedule compares unfavorably to comparable American cities.

For a good read on the analysis and discussion, you can view the City’s minutes from the January 17, 2017 “working session” here.

The Raleigh newspaper, The Independent Weekly – a favorite of the North Carolina Land Use Litigator – put together a good (and, frankly, the only) series here and here on these fee increases.

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