Agenda - Council - 02/08/2022 - Laserfiche WebLink

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inspector service would be reduced. However, what was seen this year was that building permits are still high and 1,900 hours were contracted over the last 12 calendar months, which equates to a full-time position. Looking ahead to what is coming up in the future regarding preliminary platted lots and final platted lots, ready to build new homes, and commercial projects, there is work that is coming that would support another full-time position. Also, if contracts need to be adjusted for various reasons, the new contracted hourly rates are nearly double what is being paid now. Firms are also starting to ask for multi -year commitments. If the City were to bring in a second full-time building inspector and considering what that would do from a budgeting standpoint, there would be a cost savings to bring in an in-house building inspector versus a new contract. Mayor Kuzma commented if a move would have to be made to a multi -year contract and the rates are being doubled, it makes sense to bring in an in-house person. Councilmember Howell questioned if the standing contract is good to continue or is the firm asking to revisit it. Deputy City Administrator/ Community Dev. Director Hagen replied right now they are operating under the existing contract which has been unchanged for a few years. The individual that is being received for those services is very competent and does the work with little or no guidance but it is unknown how long he will continue to work. If a different employee does the work, they have been told the rate will likely go up. That would also pose a time to look for another company that would provide that service, maybe more efficiently or effectively. Preliminary investigations have shown that the hourly rate for some companies is close to $100 and up to $150 with other companies. If someone were hired who could come in doing all residential, commercial, and septic reviews, that person would be higher in the pay range. Calculations were done at Step 6 with wages and medical coverage, it would be just under $120,000 a year. If 1,900 hours of contracted service at $100, it is right in line. Councilmember Musgrove referenced the case where it is written a full -year hire is $120,000, as mentioned, but the contracted is $95,000. She questioned if that is how the numbers in the case are supposed to be understood. She also questioned if the current contracted worker is no longer available are there other contract services for inspectors. She asked Community Development Director Hagen to talk about how difficult it is to find contracted services and if contracted workers are typically qualified to do all three types of inspections. Building Official Szykulski commented that the $95,000 included in the case is based off the 1,900 hours that was mentioned at a rate of $50 an hour, which is in the current standing contract. If the contract were to change, that is where new contracted services are going to be substantially different. Bids last year that were in writing are not being honored now. If the current company is continued, it could easily go up to $65 or $70 an hour, which is an estimate based on last year's proposal. Councilmember Musgrove questioned if the Council could get some more of that detail. She also asked how fees cover the inspection because the fees for inspections were increased. City Council Work Session / September 14, 2021 Page 4 of 15