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HomeMy WebLinkAboutPermit Correspondence 1989-7-18 DEVELOPMENT SERVICES ADMINISTRATION PLANNING I BUILDING PUBLIC WORKS METROPOLITAN WASTEWATER MANAGEMENT 225 FIFTH STREET SPRINGFIELD. OR 97477 (503) 726.3753 July 18, 1989 Mr. John Edlund Target stores Inc. P.O. Box 70066 Eugene, Or.' 97401 Dear Mr. Edlund: My attention was recently directed to the status of building permit fees and system development charges for your project. The building valuation which was used as the basis for computing these fees and charges appear to be significantly undervalued. As a result, the fees collected by the City for the project are incorrect. Permit fees were based on a $2.3 million valuation. This represents approximately 1/3 less than the average building cost of similar retail buildings in the Northwest. Our staff assumed at the time the permits were issued that additional permits would be obtained at a later date to make up the difference in value. However, It now appears that larger fees and charges should have been collected when the permits were originally issued to reflect the actual building valuation. In order to correct documentation which for your facility. Code, 1986 edition, the discrepancy, I ask that you provide us with reflects the true value of the permanent improvements Section 304(b) of the State Structural Specialty provides in part: "...The value to be used in computing the building permit and plan review fees shall be the total value of all construction work for which the permit is issued as well as all finish work, painting, roofing, electrical, plumbing, heating, air conditioning, elevators, fire extinguishing systems and any other permanent equipment." Items such as the low voltage control wiring, alarm systems, and snack bar equipment are considered a part of the permanent improvements and should be included in your documentation for valuation. The building permit/plan review fees as well as the Systems Development Charge are based on the valuation of the total building improvements. The Systems Development Charge is a one-time charge that is collected for . . all new buildings and commercial building additions to help offset the cost of providing and maintaining public facilities which serve the project, such as road widening, main sewer lines and storm drains, traffic signals, etc. Revenues from the Gateway Mall facilities, including Target, are allocated toward a portion of the City's share of the public improve~ents required to serve the mall. It has been a distinct pleasure to have had the opportunity to work with you and your contractor on this building project. I regret to have to present you with this matter, but I trust we will have your continued cooperation in its resolution. If you need further clarification, please contact ma at (5031 726~1623. ~~ Donald Moore Construction Representative cc. Dave Puent, Building Official Lorne Pleger, Plans Examiner