Fees charged and collected by the Planning Division of the City of Helena Community Development Department have not changed in over 27 years. In 1997, when the fees were last adjusted, an analysis was done that estimated the average planning staff time to review the various land use applications. An estimate of the staff time-cost was then calculated for each land use application. The application fee amount was based on recovery of related costs (legal advertisement, notifications, etc.) and an estimate of half of staff costs. A survey of other communities was also conducted and, at the time of that analysis, Helena’s fees “appeared to represent an average.”
In conjunction with the FY 25 budget process, to further coincide with the implementation of our new, online application submittal process, and in preparation of full implementation of SB 382, staff has once again conducted a thorough review of our fee schedules relative to land use and subdivision applications. As in 1997, staff conducted an analysis of our current fee structure and the cost for the City of Helena to provide services to receive, review, process, and present for action those applications and requests. Again, like in 1997, reviews and surveys were conducted of various Montana cities and their fee structures. This time around, however, it was evident that fees charged by the City of Helena for planning services have been drastically outpaced by all our sister cities.
As part of the departmental budget presentation to City Commission, staff provided an overview of proposed fee increases and the analysis used to draft the proposed departmental fee schedule. Taking into consideration the increased cost of providing our planning services since the establishment of the current land use fees, approximately 27 years, the requirements in state law for additional and new subdivision processes, the land use fees charged by other jurisdictions in Montana, and compatibility with the new online application process, staff is proposing changes to the City of Helena’s land use application fees.