The new head of Leelanau County's Building Inspections department, Robert Meyer, said he has heard a few complaints from contractors about an increase in building permit fees that took effect Sept. 1

Nonetheless, his main concern is how his department will continue to provide quick and reliable service to its customers in the face of a continuing drop in the department’s revenues. The department’s budget is so strapped right now, Meyer said, that he was forced to reduce two full-time employees to part-time status last month.

Although the County Board of Commissioners approved an average 25 percent increase in building permit fees on Meyer’s recommendation earlier this year, the overall amount of revenue being generated from the fees is down about 35 percent compared to last year. That’s because the actual number of permits issued is down about 25 percent from last year, along with the dollar values associated with the permits.

“A 35 to 40 percent loss in revenues would be catastrophic for any business,” said Meyer, who was hired this summer following the firing of former Leelanau County building official Robert VanDyke. “Even with the recent increase in permit fees,” Meyer said, “this department has been bleeding about $9,000 per month.”

He said a $169,000 fund balance at the beginning of calendar year 2007 was down to less than $90,000 and will be even lower before he takes the issue to county commissioners at a Nov. 7 “Inspections Department subcommittee” meeting.

“We’re still deficit spending, and we won’t see any effect from the layoffs or the fee increases anytime soon,” Meyer said.

The department is still processing permits from several years ago – when permit fees were even lower than they were before this year’s increase – all while the department’s expenses have gone up.

The Inspections Department – now officially called the Leelanau County Construction Code Authority – is entirely self-funded, primarily through permit fees, Meyer noted.

“No county funds are used to supplement our budget,” Meyer said. “And under state law, the monies generated by this department can only be used to pay for the service we provide. My goal is to make this the finest building department in northern Michigan, not at the expense of the contractors and residents, but rather because of them and, in a few cases, in spite of them. They all deserve prompt, friendly and courteous service,” Meyer said.

The fee increases brought Leelanau County into line with most other counties in northern Michigan in terms of the amount charged to contractors and builders for permits. And like most counties, Leelanau now charges a $75 “plan review” fee on residential homes.

The changes in various permit fees and other charges levied by the Inspections Department have amounted to an overall 25 percent increase in fees. Before the fee increase, it would cost about $952 for the permits necessary to construct a 2,000-square-foot home. Now, fees for the same home would be around $1,285.

“Why should Leelanau County be the bargain basement of building permit fees?” Meyer asked rhetorically. “I wish it had been done sooner.”