HomeMy WebLinkAboutItem 16 Second Reading of Ordinance to Amend Chapter 51 of the City Code of Ordinances to Enact Fees Pertaining to Private Providers for Building Plan Reviews and Inspections t I
Ocoee
florida
AGENDA ITEM COVER SHEET
Meeting Date: June 2, 2020
Item # 110
Reviewed By
Contact Name: Michael Rumer Department Director:
Contact Number 1018 City Manager:
Subject: Second Reading of Ordinance Amending Chapter 51 to Enact F Pertaining to
Private Provider for Building Plan Reviews and Inspections
Background Summary:
House Bill 7103, effective July 1, 2019, includes changes to Florida Statute 553.791 regarding the
outsourcing of inspections and plan examination to private providers In response, the Ocoee Building
Division is seeking to implement changes to fees and business processes in order to facilitate and
comply with the new law The attached ordinance sets up applicable permit fees and administrative fees
that shall be charged to property owners or applicants when such owners or applicants use private
providers for these services as a new Section 128.1 of Chapter 51 of the City of Ocoee Code of
Ordinances.
The new State Law requires fees for Plan Review and Inspections to be reduced if a Private Provider is
being used. The fees for Plan Review have to be reduced based on a calculated cost savings to the
local government. The new law also stipulates that a local government may not charge fees for building
inspections if a Private Provider is used and may only charge an Administration Fee.
For reference, Florida Statute 553.791, Section 2(b) of the law states the following. It is the intent of the
Legislature that owners and contractors pay reduced fees related to building permitting requirements
when hiring a private provider for plans review and building inspections. A local jurisdiction must
calculate the cost savings to the local enforcement agency, based on an owner-builder or contractor
hiring a private provider to perform plan reviews and building inspections in lieu of the local building
official, and reduce the permit fees accordingly. The local jurisdiction may not charge fees for building
inspections if the fee owner or contractor hires a private provider; however, the local jurisdiction may
charge a reasonable administrative fee.
Development Services Department Staff has reviewed how processing and maintaining files for Private
Provider plans review and Inspections will provide cost savings and has reviewed adopted fees from
local governments around the state. The attached ordinance proposes to reduce/discount the Building
Plan Review Fee by 25% to cover costs associated with Private Provider Plans review. The ordinance
also proposes a Building Permit Inspection Administration fee which will be calculated at 50% of the
normal fee regular Building Permit Inspections These fees and discounts reflect resources that will still
be used in the processing of each permit. Even with the use of a Private Provider, the City will still
expend resources taking in and managing documents with tasks to include auditing reviews and
inspections to ensure compliance, managing file and documents to ensure they are complete and
retrievable for public record requests, covering the cost to license, maintain, and advance the online
systems processes; and finally, to provide the Building Official the information needed to issue a
Certificate of Occupancy.
The law also provides that the Private Provider may be audited by the Building Official up to four times
per year in accordance with the statute and provides that Building Permits can have placed on them an
acknowledgment for using a private provider. The approved language reads:
All permits using a Private Provider will have the following acknowledgment:
I have elected to use one or more private providers to provide building code plans review and/or
inspection services on the building or structure that is the subject of the enclosed permit application,
as authorized by s. 553.791, Florida Statutes. I understand that the local building official may not
review the plans submitted or perform the required building inspections to determine compliance with
the applicable codes, except to the extent specified in said law. Instead, plans review and/or required
building inspections will be performed by licensed or certified personnel identified in the application
The law requires minimum insurance requirements for such personnel, but I understand that I may
require more insurance to protect my interests. By executing this form, I acknowledge that I have
made inquiry regarding the competence of the licensed or certified personnel and the level of their
insurance and am satisfied that my interests are adequately protected. I agree to indemnify, defend,
and hold harmless the local government, the local building official, and their building code
enforcement personnel from any and all claims arising from my use of these licensed or certified
personnel to perform building code inspection services with respect to the building or structure that is
the subject of the enclosed permit application.
Issue:
Should the Honorable Mayor and City Commission adopt an ordinance amending Chapter 51 of the City
Code of Ordinances to enact fees pertaining to Private Providers for Building Plan Review and
Inspections?
Recommendations:
Staff recommends the Honorable Mayor and City Commission adopt an ordinance amending Chapter
51 of the City Code of Ordinances to enact fees pertaining to Private Providers for Building Plan
Review and Inspections.
Attachments:
Ordinance
Table of Fees from Other Local Governments
Financial Impact:
Impacts to Building Permit and Inspection Revenues is anticipated to be minimal.
Type of Item: (please mark with an "x
Public Hearing For Clerk's Dept Use.
Ordinance First Reading Consent Agenda
X Ordinance Second Reading X Public Heanng
Resolution Regular Agenda
X Commission Approval
Discussion&Direction
1
Original Document/Contract Attached for Execution by City Clerk
Original Document/Contract Held by Department for Execution
Reviewed by City Attorney Dana Crosby-Collier, Assistant City Attorney N/A
Reviewed by Finance Dept. Rebecca Robert, Finance Director N/A
Review ed by ( ) N/A
3
ORDINANCE 2020-
AN ORDINANCE OF THE CITY OF OCOEE, FLORIDA,
AMENDING CHAPTER 51 OF THE CITY OF OCOEE CODE OF
ORDINANCES; CREATING A NEW SECTION 128.1 TO
ADDRESS THE USE OF PRIVATE PROVIDERS FOR PLAN
REVIEW AND BUILDING INSPECTION SERVICES;
ESTABLISHING PERMIT FEES AND AN ADMINISTRATIVE
FEE WHERE A PRIVATE PROVIDER IS UTILIZED;
PROVIDING FOR SEVERABILITY; PROVIDING FOR
CODIFICATION;AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, section 553.791. Florida Statutes, allows property owners to use a private
provider to provide both plan review and building inspection services; and
WHEREAS,the City of Ocoee City Commission("City Commission")desires to establish
the applicable permit fees and administrative fees that shall be charged to property owners or
applicants when such owners or applicants use private providers for these services as a new Section
128.1 of Chapter 51 of the City of Ocoee Code of Ordinances; and
WHEREAS,the City Commission may exercise any power for municipal purposes,except
as expressly prohibited by law, and
WHEREAS, the City Commission in good faith determines that this Ordinance is in the
best interest of the City and its residents and promotes the health. safety,and welfare of the public.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF OCOEE, FLORIDA, AS FOLLOWS:
SECTION 1. Authority. The City Commission of the City of Ocoee has the authority to adopt
this Ordinance pursuant to Article VIII of the Constitution of the State of Florida and Chapters 166
and 553, Florida Statutes.
SECTION 2. Amendment. A new Section 128.1. Chapter 51, City of Ocoee Code of
Ordinances, is added to read as follows, with underlines indicating new language:
51-128.1 Plan Review and Building Inspection Services by Private Provider.
A. Registration and Insurance.
1. Any private providers and duly authorized representatives working within the City shall
register with the City in order to verify compliance with the licensure and insurance requirements
set forth herein. Once the registration form and the certificate of insurance.in the amounts set forth
herein, have been submitted to the City Building Official, the City shall provide written
notification to the private provider of the approved registration and the private provider may
thereafter provide building code inspection services pursuant to this Code.
a. A private provider shall mean a person licensed as a building code administrator underpart
XII, Chapter 468, Florida Statutes, as an engineer under Chapter 471, Florida Statutes, or as an
architect under Chapter 481, Florida Statutes. For purposes of performing inspections under this
section for additions and alterations that are limited to 1,000 square feet or less to residential
buildings,the term 'private provider' also includes a person who holds a standard certificate under
part XII of Chapter 468.
b. A private provider performing building code inspection services on a building project shall
obtain and maintain insurance for professional liability covering all services performed as a private
provider. Such insurance shall have minimum policy limits of$1 million per occurrence and $2
million in the aggregate for any project with a construction cost of$5 million or less and$2 million
per occurrence and $4 million in the aggregate for any project with a construction cost of over $5
million. If the private provider chooses to secure claims-made coverage to fulfill this requirement
the private provider must also maintain coverage for a minimum of five (5) years subsequent to
the performance of building code inspection services. The insurance required under this
subsection shall be written only by insurers authorized to do business in the state of Florida with
a minimum A.M. Best's rating of A. Before providing building code inspection services within
the City, the private provider must provide to the City Building Official a certificate of insurance
evidencing that the required coverages are in force.
B. Building Code Inspection Services and Plans Review.
1. The fee owner of a building or structure, or the fee owner's contractor upon written
authorization from the fee owner, may choose to use a private provider to provide building code
inspection services with regard to such building or structure and may make payment directly to
the private provider for the provision of such services. All such services shall be the subject of a
written contract between the private provider, or the private provider's firm, and the fee owner or
the fee owner's contractor, upon written authorization of the fee owner. The fee owner may elect
to use a private provider to provide plans review or required building inspections or both.
However, if the fee owner or the fee owner's contractor uses a private provider to provide plans
review, the City Building Official may require the fee owner or the fee owner's contractor to use
a private provider to also provide required building inspections.
2. Plan Review. The permit fees to be charged to owners and contractors utilizing a private
provider for plans review shall be reduced by 25% of the totalplan check fee.
3. Inspection Fee. The City will not charge fees to owners and contractors utilizing a private
provider for building code inspection services, however, the City shall charge a reasonable
administrative fee for owners and contractors utilizing a private provider for building code
inspection services in an amount equivalent to 50% of the building permit inspection fee.
4. A fee owner or the fee owner's contractor using a private provider to provide building code
inspection services shall notify the City Building Official in writing at the time of permit
application, or by 2 p.m. local time, not less than two (2) business days before the first scheduled
inspection by the City Building Official, on the form adopted by the City at Exhibit A, attached
hereto, which includes the following information.
a. The services to be performed by the private provider
b. The name, firm, address. telephone number, and facsimile number of each private
provider who is performing or will perform such services,his/her professional license certification
number, qualification statement/resumes, and, if required by the City Building Official. a
certificate of insurance evidencing the appropriate coverage is in place.
c. An acknowledgement by the fee owner in substantially the following form:
"I have elected to use one or more private providers to provide building code plans review
or inspection services on the building or structure that is the subject of the enclosed permit
application, as authorized by section 553.791, Florida Statutes. I that the local building
official may not review the plans submitted or perform the required building inspections to
determine compliance with the applicable codes, except to the extent specified in the law.
Instead,plans review or required building inspections will be performed by the licensed or
certified personnel identified in the application. The law requires minimum insurance
requirements for such personnel, but I understand that I may require more insurance to
protect my interests. By executing this form, I acknowledge that 1 have made inquiry
regarding the competence of the licensed or certified personnel and the level of their
insurance and am satisfied that my interests are adequately protected. I agree to indemnify,
defend, and hold harmless the City of Ocoee, the City Building Official, and their building
code enforcement personnel from any and all claims arising from my use of these licensed
or certified personnel to perform building code inspection services with respect to the
building or structure that is the subject of the enclosed permit application."
5. If the fee owner or the fee owner's contractor makes any changes to the listed private
providers or the services to be provided by those private providers,the fee owner or the fee owner's
contractor shall, within one (I) business day after any change, update the notice to reflect such
changes. A change of a duly authorized representative named in the permit application does not
require a revision of the permit.
6. The fee owner or the fee owner's contractor shall post at the project site, before the
commencement of construction and updated within one (1) business day after any change, the
name, firm, address, telephone number, and facsimile number of each private provider who is
performing or will perform building code inspection services,the type of service being performed
and the primary contact information for the private provider on the project.
7. After construction has commenced and if the City Building Official is unable to provide
inspection services in a timely manner, the fee owner or the fee owner's contractor may elect to
use a private provider to provide inspection services by notifying the City Building Official of the
owner's or contractor's intention to do so in writing by 2p.m. local time, two (2) business days
before the next scheduled inspection.
8. A private provider performing plans review under this section shall review the plans to
determine compliance with the applicable codes. Upon determining that the plans reviewed
comply with the applicable codes, the private provider shall prepare an affidavit or affidavits on a
form reasonably acceptable to the City,certifying, under oath,that the following is true and correct
to the best of the private provider's knowledge and belief:
a. The plans were reviewed by the affiant, who is duly authorized to perform plans
review pursuant to this section and holds the appropriate license or certificate.
b. The plans comply with the applicable codes.
9. The City Building Official shall issue the requested permit or provide written notice to the
permit applicant identifying the specific plan features that do not comply with the applicable codes
as well as the specific code chapters and sections no more than twenty (201 business days after
receipt of a permit application and the affidavit from the private provider. If the City Building
Official does not provide a written notice of plan deficiencies within this twenty (20) day period
the permit application shall be deemed approved and the permit shall be issued by the City Building
Official on the next business day.
10. If the City Building Official provides a written notice of plan deficiencies to the permit
applicant within the twenty (20) day period, the permit applicant may either elect to dispute the
deficiencies as provided herein or to submit revisions to correct the deficiencies.
11. If the permit applicant submits revisions, the City Building Official has the remainder of
the tolled twenty 120) day period plus five 15) business days from the date of resubmittal to issue
the requested permit or to provide a second written notice to the permit applicant stating which of
the previously identified plan features remain in noncompliance with the applicable codes, with
specific reference to the relevant code chapters and sections Any subsequent review by the City
Building Official is limited to the deficiencies cited in the written notice. If the City Building
Official does not provide the second written notice within the prescribed time period, the permit
shall be deemed approved and the City Building Official must issue the permit on the next business
day.
12. If the City Building Official provides a second written notice of plan deficiencies to the
permit applicant within the prescribed time period, the permit applicant may elect to dispute the
deficiencies pursuant to this Ordinance or to submit additional revisions to correct the deficiencies.
For all revisions submitted after the first revision,the City Building Official has an additional five
(5)business days from the date of resubmittal to issue the requested permit or to provide a written
notice to the permit applicant stating which of the previously identified plan features remain in
noncompliance with the applicable codes,with specific reference to the relevant code chapters and
sections.
13. A private provider performing required inspections shall inspect each phase of construction
as required by the applicable codes and shall provide notice to the City Building Official of the
date and approximate time of any such inspection no later than the prior business day by 2p.m.
local time. The City Building Official may visit the building site as often as necessary to verify
that the private provider is performing all required inspections. A deficiency notice must be posted
at the job site by the private provider, the duly authorized representative of the private provider,or
the building department whenever a noncomplying item related to the building code or the
permitted documents is found. After corrections are made, the item must be re-inspected by the
private provider or representative before being concealed.
14. Upon completing the required inspections at each applicable phase of construction, the
private provider shall record such inspections on a form acceptable to the City Building Official.
Such form shall be signed by the provider or the provider's duly authorized representative. The
private provider, before leaving the project site, shall post each completed inspection record
indicating pass or fail, at the site and provide the record to the City Building Official within two
f2) business days. The City Building Official may waive the requirement to provide a record of
each inspection within two (2) business days if the record is posted at the project site and all such
inspection records are submitted with the certificate of compliance. Records of all required and
completed inspections shall be maintained at the building site at all times and made available for
review by the City Building Official. The private provider shall report the City any condition that
poses and immediate threat to public safety and welfare.
15. Upon completion of all required inspections,the private provider shall prepare a certificate
of compliance, on a form acceptable to the City Building Official, summarizing the inspections
performed and including a written representation, under oath,that the stated inspections have been
performed and that, to the best of the private provider's knowledge and belief, the building
construction inspected complies with the approved plans and applicable codes. The statement
required of the private provider shall be substantially in the following form and shall he signed
and sealed by the private provider:
"To the best of my knowledge and belief, the building components and site improvements
outlined herein and inspected under my authority have been completed in conformance with
the approved plans and the applicable codes."
16. Within two (2) business days after receipt of a request for a certificate of occupancy or
certificate of completion and the applicant's presentation of a certificate of compliance and
approval of all other government approvals required by law, the City Building Official shall issue
the certificate of occupancy or certificate of completion or provide a notice to the applicant
identifying the specific deficiencies, as well as the specific code chapters and sections. If the City
Building Official does not provide notice of the deficiencies within such period, the request for a
certificate of occupancy or certificate of completion shall be deemed granted and the certificate of
occupancy or certificate of completion shall be issued by the City Building Official on the next
business day. 'fo resolve any identified deficiencies, the applicant may elect to dispute the
deficiencies pursuant to the process contained herein or to submit a corrected request for a
certificate of occupancy or certificate of completion
17. If the City Building Official determines the building construction or plans do not comply
with the applicable codes,the Building Official may deny the permit or request for a certificate of
occupancy or certificate of completion, as appropriate. If the Building Official determines that the
noncompliance poses an immediate threat to public safety and welfare,he or she may issue a stop-
work order for the project or any portion thereof as provided by law, subject to the following:
a. The City Building Official shall be available to meet with the private provider
within two (2) business days to resolve any dispute after issuing a stop-work order or providing
notice to the applicant denying a permit or request for a certificate of occupancy or certificate of
completion.
b. If the City Building Official and prri ate provider are unable to resolve the dispute
the matter shall be referred to the Board of Adjustment, which shall consider the matter at its next
scheduled meeting or sooner. Any decisions by the Board of Adjustment may be appealed to the
City Council.
c. Notwithstanding any provision of this section,any decisions regarding the issuance
of a building permit, certificate of occupancy, or certificate of completion may be reviewed by the
Board of Adjustment. Any decision by the Board of Adjustment may be appealed to the City
Council which shall consider the matter at the City Council's next scheduled meeting.
18. Any notice to be provided by the City Building Official shall be deemed to be provided to
the person or entity when successfully sent via facsimile to the number listed in the permit
application or revised permit application or, if no facsimile number is stated, when actually
received by that person or entity.
SECTION 3. Severability. If any section,subsection, sentence,clause,phrase or portion
of this Ordinance is for any reason held invalid or unconstitutional by any court of competent
jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such
holding shall not affect the validity of the remaining portion hereto.
SECTION 4. Codification. It is the intention of the City Commission of the City that the
provisions stated in this Ordinance shall become and be made a part of the Code of Ordinances of
the City; and that sections of this Ordinance may be renumbered or relettered and the word
"ordinance" may be changed to 'chapter," "section," "article," or such other appropriate word or
phrase in order to accomplish such intentions;and regardless of whether such inclusion in the Code
is accomplished, sections of this Ordinance may be renumbered or relettered and the correction of
typographical errors which do not affect the intent may be authorized by the City Manager,without
need of public hearing, by filing a corrected or recodified copy of same with the City Clerk.
SECTION 5. Effective Date. This Ordinance shall become effective immediately upon
passage and adoption.
PASSED AND ADOPTED this day of , 2020.
APPROVED:
ATTEST: CITY OF OCOEE, FLORIDA
Melanie Sibbitt, City Clerk Rusty Johnson, Mayor
(SEAL)
ADVERTISED , 2020
READ FIRST TIME , 2020;
READ SECOND TIME AND
ADOPTED , 2020
UNDER AGENDA ITEM NO.
FOR USE AND RELIANCE ONLY BY THE
CITY OF OCOEE,FLORIDA; APPROVED
AS TO FORM AND LEGALITY
this day of , 2020
SHUFFIELD, LOWMAN & WILSON
By:
City Attorney
These are some of the surrounding Cities I have spoken to about the Private Provider fee reduction:
City %reduced for Plan Review %for inspections
1. City of Sanford 15 35= 50% Retains 50%
2. City of Altamonte 25 25= 50% Retains 50%
3. Winter Park 25 25 =50% Consider,Case by case.
4. Coconut Creek 18 18 =36% City retains 64%
5 Sunny Isle's 18 18= 36% City retains 64%
6 Winter Garden 15 15=30% Retains 70%
7 Maitland 35 35=70% Retains 30%
* Please note that these building Departments all calculate the Building Fees different.
**Just like Ocoee,they don't separate their inspection fees.They are calculated in the percentages of
%%-2.0%.
COPY OF ADVERTISEMENT
Date Published and Media Name
[4C The West Orange Times Thursday.May 21.2020
Advertisement or Article
FIRST INSERTION
CITY OF OCOEE
NOTICE OF PUBLIC HEARING
AMENDMENT TO THE CITY OF OCOEE ORDINANCE
SPECIFIC TO CHAPTER 51 TO ENACT FEES PERTAINING
TO PRIVATE PROVIDERS FOR BUILDING PLAN
REVIEW AND INSPECTIONS
NOTICE IS HEREBY given that the City of Ocoee City Commission will consider a
proposed amendment to the City of Ocoee Land Development Code.
The OCOEE CITY COMMISSION will hold a public hearing on the proposed
amendment on TUESDAY,JUNE 2,2020,AT 6:16 PM or as soon thereafter as
practical.The public hearing will be held in the City Hall Commission Chambers
located at 150 North Lakeshore Drive,Ocoee.
AN ORDINANCE OF THE CITY OF OCOEE,FLORIDA,AMENDING
CHAPTER 51 OFTHE CITY OF OCOEE CODE OF ORDINANCES;CRE-
ATING A NEW SECTION 128.1 TO ADDRESS THE USE OF PRIVATE
PROVIDERS FOR PLAN REVIEW AND BUILDING INSPECTION SER-
VICES;ESTABLISHING PERMIT FEES AND AN ADMINISTRATIVE
FEE WHERE A PRIVATE PROVIDER IS UTILI7FD;PROVIDING FOR
SEVERABILITY;PROVIDING FOR CODIFICATION;AND PROVID-
ING FOR AN EFFECTIVE DATE.
Interested parties are invited to be heard during the public hearing portion
of the proposed actions. Due to the current State of Emergency regarding
COVID-19,City Hall is closed to the public;however,the City request the public
to call or email comments and/or questions to 407-554-7118 or CITIZENS®
OCOEE.ORG.The complete case file,including a complete legal description by
metes and bounds,may be examined upon request by phone or email through
the Ocoee Planning Department at 407-905-3157 or MRIVERA®OCOEE.
ORG.The Ocoee City Commission may continue the public hearing to other
dates and times,as it deems necessary. Any interested party shall be advised
of the dates,times,and places of any continuation of these or continued public
hearings shall be announced during the hearing and no further notices regard-
ing these matters will be published.You are advised that any person who desires
to appeal any decision made at the public hearings will need a record of the
proceedings and for this purpose may need to ensure that a verbatim record of
the proceedings is made which includes the testimony and evidence upon which •
the appeal is based. In accordance with the Americans with Disabilities Act,
persons needing a special accommodation or an interpreter to participate in
this proceeding should contact the City Clerk's Office 48 hours in advance of the
meeting at(407)905-3105.
May 21,2020 20-01987W