HomeMy WebLinkAbout55B - RESO - ADD PLANNING REVREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
NOVEMBER 18, 2014
TITLE:
APPROPRIATION ADJUSTMENT TO
RECOGNIZE ADDITIONAL PLANNING AND
BUILDING AGENCY REVENUE AND
RESOLUTION TO ADD BUILDING SAFETY
POSITIONS TO THE FY 14 -15 BUDGET
(STRATEGIC PLAN NOS. 3, C; 5, 3; 4, 2A}
CITY MANAQ#k
RECOMMENDED ACTION
CLERK OF COUNCIL USE ONLY:
APPROVED
❑ As Recommended
❑
As Amended
❑
Ordinance on 1° Reading
❑
Ordinance on 2"0 Reading
❑
Implementing Resolution
❑
Set Public Hearing For
CONTINUED TO
FILE NUMBER
Approve an Appropriation Adjustment recognizing $393,000 in additional Planning and
Building Agency Revenue.
2. Adopt a resolution amending the City's basic classification and compensation plan and to
amend the Fiscal Year 2014 -2015 annual budget to create four Building Safety positions.
DISCUSSION
For many years the Building Division met or exceeded a turnaround time of three weeks or less
for over 90 percent of plan check submissions. This level of service compared favorably with
surrounding municipalities and represented the generally accepted performance goal for plan
review in the County. The Building Division had attained this level of service with seven in -house
plan check staff, a contract plan checker at the public counter, streamlined internal processes,
and outsourcing plan checking services during especially high volume months.
Beginning in 2009, budget constraints resulted in the reduction of over 50 percent of in -house
plan check staff, as well as the cancelation of both the contract plan checker and outsourced plan
check services. These reductions negatively impacted plan check turnaround times. Although the
impact was lessened by a concurrent reduction in plan check submittals due to the economic
downturn, the addition of new state regulations pertaining to Green Building, Energy, Accessibility
and evolving provisions of existing codes further increased the review time required for most
projects.
Building permit applications and inspection activity have steadily increased since 2010 as major
development projects that were put on hold during the recession have restarted and new projects
are being proposed. There are a number of large residential and commercial projects in various
phases of the planning, design and construction process within the City including:
55B -1
Appropriation Adjustment and Building Safety Positions
November 18, 2014
Page 2
,,,,,Project
Name
Address
Project Description
Legado at the
200 E. First American
5 -story, 281 -unit multi - family residential project
MET
Way
Lyon
5 -story, 256 -unit multi- family and 3 -story
Communities
1901 E. 1" Street
townhouse project
200 N. Cabrillo Park
6 -story, 219 -unit multi - family residential project
The Madison
Drive
with 6,325 square feet of retails ace
The 301 by
301 E. Jeanette Lane
4 -story, 182 -unit multi - family residential project
Le ado
above 2- levels of parking
C &C
1206 N. Harbor
112 -unit residential project with a mix of single -
Development
Boulevard
family and livelwork units
The Depot at
923 N. Santiago Street
70 -unit multi - family residential project with 9,000
Santiago
square feet of retail/office space
Parkview Town
555 E. Memory Lane
8 -story, 174 -unit independent senior living facility
and Country
Renovation of the food court area and Macy's
Main Place
2800 N. Main Street
building to add entertainment/restaurant uses and
Mall Remodel
a 24 -hour Fitness
Discovery
Science Center
2500 N. Main Street
53,868 square foot expansion of exhibit space
Expansion
C &C Single
520 S. Harbor Boulevard
35 Single Family Homes
Family Homes
Santa Ana
1200 N. Main Street
9 -story, 149 -unit Residential Lofts, Adaptive Reuse
Lofts
— existing building conversion
70-unit Multi- family Residential project with 6,170
Harbor Court
815 N. Harbor Boulevard
square feet of commercials ace mixed use
Development Projects submitted to the Planning Division for design review has increased 12.7
percent from September 2012 -2013 compared to September 2013 -2014. This increase is an
indicator of continued future growth as development projects start with the Planning Division
before progressing into building plan check and ultimately, permit issuance and construction.
Additionally, the valuation of permits issued has also increased over the last year by 9.6 percent
over that same period. This increase in building valuation indicates that the scope and scale of
projects is also increasing as larger, and thus higher valuation, projects are being developed.
These indicators of continued growth further underscore the need for adequate staffing levels to
meet the needs of the development community.
The Planning and Building Agency currently offers an accelerated plan check program for
customers wanting expedited plan check service however the majority of submitted projects do
not pursue this option due to the additional costs associated with this service when compared to
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Appropriation Adjustment and Building Safety Positions
November 18, 2014
Page 3
the project's size. Projects not wanting to pay the additional fees for accelerated plan check are
then consigned to the current eight to twelve week turnaround time. Outsourcing plan check
services during especially high volume periods or for projects which require specific knowledge or
expertise is a common practice amongst cities, but is not a viable replacement for in -house plan
check staff which can ultimately provide greater availability to walk -in customers, offer increased
local knowledge, and provide more consistent code and policy application.
Economic Development Task Force
On October 14, 2014, a presentation regarding building plan check service levels was given to
the Economic Development Task Force, a panel consisting of local and regional economic
development and business owners. The purpose of the presentation was to review current
staffing and service levels and receive feedback from the panel regarding staff recommendations
for ways to improve plan check turnaround times.
Following the presentation, many of the Task Force members expressed concerns regarding the
negative impacts that delayed plan check turnaround times cause. Most notably among these
were the added costs to the developer that result from delays in the plan check and permitting
process. The Task Force agreed with the recommended staffing increases in order to return to a
15- working day turnaround level of service.
Conclusion / Recommendation
Following a thorough review of current and projected workloads and staffing levels, in order to
return to a 15- working day plan review turnaround level of service for Building Plan Check, it is
anticipated that four additional Building Safety staff are required. This will include three Senior
Plan Check Engineers and one Senior Plumbing/Mechanical Systems Specialist.
The additional staffing will return the City's plan check service levels back to the gold standard of
15- working days or better. It will provide full time counter plan check services, greatly assist in
streamlining the permitting process, decrease reliance on accelerated outsource review, increase
availability of in house expedite service, increase availability of permit by appointment program,
manage and afford greater flexibility in reviewing major projects, provide consistent application of
building codes and state laws, and overall, afford applicants /constituents increased staff
availability in realizing development objectives.
The Building Division is also implementing a number of technology and process enhancements to
maximize the efficiency of both current and proposed plan check staff. These innovations include
the development of online services such as online permitting and the development of electronic
plan review which will allow customers to submit, track, and communicate on projects
electronically.
55B -3
Appropriation Adjustment and Building Safety Positions
November 18, 2014
Page 4
Providing adequate staffing to offer 15- working day plan check turnaround and increased over
the counter review not only improves customer service and efficiency but also increases the
safety and quality of construction by eliminating a common reason why small residential and
commercial contractors pursue work without permits.
STRATEGIC PLAN ALIGNMENT
Approval of this item supports the City's efforts to meet Goal No. 3 Economic Development,
Objective No. 3 (promote a solutions -based customer focus in all efforts to facilitate development
and investment in the community), Strategy C (explore opportunities to encourage a business
friendly environment within the city through the reduction of non - essential regulatory
requirements, improved coordination between agencies for development review and addition of
monetary incentives); Goal No. 5 Community Health, Livability, Engagement & Sustainability,
Objective No. 3 (facilitate diverse housing opportunities and support efforts to preserve and
improve the livability of Santa Ana neighborhoods). Additionally, by utilizing ongoing revenue
that exceeds projected revenues this action also supports Goal No. 4 City Financial Stability,
Objective No. 2 (provide a reliable five -year financial forecast that ensures financial stability in
accordance with the strategic plan), Strategy A (adopt a budget that is in alignment with the
financial forecast and strategic plan).
FISCAL IMPACT
Increased development activity in Fiscal Year 2013 -2014 resulted in approximately $772,000
additional Planning and Building Agency revenue. While construction activity is variable based
on market conditions, the number and scope of new residential, commercial and industrial
projects received to date indicate a further increase in Planning and Building revenues. of
$393,000 above the projected amounts for Fiscal Year 2014 -2015 and the foreseeable future.
This additional recognized revenue combined with the remaining balance ($207,000) from the
previously recognized revenue on September 16, 2014 will be used to offset the cost increased
costs associated with additional Building Division Plan Check staff (4 positions) in the amount of
$600,000 in salaries and benefits (Account 01116530).
Karen Haluza
Interim Executive Director
Planning and Building Agency
APPROVED AS TO FUNDS AND ACCOUNTS:
Francisco Gutierrez
Executive Director
Finance and Management Services
MF:rb
rb /Reports- MatttBuilding Safety Plan Check Positions RFCA 11.1 8-2014
55B -4
RESOLUTION NO. 2014-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA TO AMEND THE CURRENT ANNUAL BUDGET
TO ADD FOUR FULL TIME POSITIONS IN THE PLANNING
AND BUILDING AGENCY.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS
FOLLOWS:
Section 1: The City Council hereby finds, determines and declares as follows:
A. On July 1, 2014, the City Council passed and adopted Ordinance No.
NS -2867, establishing the City's Budget and authorizing position
allocations for Fiscal Year 2014 -2015, and requiring that alterations in the
allocation of authorized positions be reviewed and approved by the City
Council.
B. On March 18, 2014, the City Council adopted the 5 -year Santa Ana
Strategic Plan. This plan established specific goals, objectives and
strategies to guide the Citys major efforts during the next five years.
C. In keeping with the goals, objectives and strategies outlined in the Santa
Ana Strategic Plan, along with recommendations from the Economic
Development Task Force, the Interim Executive Director of the Planning
and Building Agency proposes adding four (4) full time positions in the
Planning and Building Agency budget. The addition of these four (4)
positions will assist in returning the City's plan check service levels back to
the standard of 15- working days or better turn -around time and assist with
providing improved customer service.
D. It is now desired to amend the Adopted Budget for Fiscal Year 2014 -2015,
as amended, to effect these changes.
Section 2: That Ordinance No. NS -2867, the Annual Budget for Fiscal Year
2014 -2015, as amended, shall be further amended by adding four (4) full time positions
in the Planning and Building Agency, at the monthly seven -step salary rate ranges as
indicated:
7 -Step Salary Rate Range Effective 11/18/14
Number of Monthly Salary
Classification Title Positions Added SRR Minimum - Maximum
Senior Plan Check Engineer 3 754 $8269 - $11086
Senior Plumbing /Mechanical
Systems Specialist 1 663 $5304 - $7107
55B -5
Section 3: That except as amended by this Resolution, all other provisions of
Ordinance No. NS -2867 setting forth the Annual Budget for Fiscal Year 2014 -2015, as
amended, shall remain in full force and effect.
2014.
Section 4: This Resolution shall be operative from and after November 18,
ADOPTED this 180 day of November, 2014.
Miguel A. Pulido
Mayor
APPROVED AS TO FORM:
Sonia R. Carvalhoo,, City Attorney
By:
/�Josejilh Straka
Assistant City Attorney
AYES:
NOES:
ABSTAIN:
NOT PRESENT:
Councilmembers
Councilmembers
Councilmembers
Councilmembers
CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, MARIA D. HUIZAR, Clerk of the Council, do hereby attest to and certify the attached
Resolution No. 2014 -_ to be the original resolution adopted by the City Council of the
City of Santa Ana on November 18, 2014.
Date:
55B -6
Clerk of the Council
City of Santa Ana