Chesterton’s town council unanimously approved an increase in building permit fees, as a way to address financial challenges posed by the state legislature’s changes to property tax law.
Clerk-Treasurer Courtney Udvare told the council in October that the town needed to consider finding new revenue sources because of the loss of property tax funds, due to reforms enacted by Senate Enrolled Act 1.
Associate Town Attorney Charles Parkinson said that the new fee schedule should take effect in 90 days, which allows for the proper legal notification about the increase.
Town Engineer Mark O’Dell had noted that Chesterton charged significantly lower building fees compared to surrounding communities.
For a new home construction, the fee will increase to 32 cents a square foot from 22 cents per square foot. That means Chesterton will charge for a 2,625 square foot house $2,116.32, compared to $1,114,72 in fees under the current schedule.
Some of the other increases include the commercial new construction costs increasing from 27 cents to 40 cents per square foot. Residential remodeling permits will rise from 15 cents to 25 cents per square foot.
