City of Morgan Hill Fiscal Years 2020- 2022 Recommended Operating and CIP Budgets

Building (continued)

 Continue to refine the website and applications for ease of use by the public (Supporting our Youth, Seniors and Entire Community; Preserving and Cultivating Public Trust)  Modify the policies and procedures manual for code compliance post administrative citation process approval (Preserving and Cultivating Public Trust) Financial Comments Through the FY 18-19 and FY 19-20 budget cycle, residential plan review and permit activity continued to dominate the Building division workload, however, commercial plan review and building permit activity have continued to increase, accounting for roughly 27% of overall Building Division revenue. Below is a breakdown of building permit revenue by permit type:

 50% Residential  27% Commercial  7% Fire Prevention  6% Grading  5% Solar

 2% Electrical  2% Plumbing  1% Mechanical

With the recent implementation of SB330, the City will see a major increase in permit activity in the second year (FY 21-22) of the budget cycle. Current expectations are a tripling of the number of units allotted per year in previous RDCS cycles. While the entitlement process is compressed under new housing laws, there is still a process to complete which pushes building permits for SB330 projects into FY 21-22.

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