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The number of building permits issued dropped in 2020

Manager says the department is performing at a 'notable loss'
2020-07-02 Popeyes site MH
A Popeyes Restaurant is slated for the Highway 655 and Algonquin intersection in Timmins. Maija Hoggett/TimminsToday

The number of building permits issued last year in Timmins dropped. 

At this week's council meeting, manager of building services and chief building officer Esa Saarela talked about the 2020 building activity in the city.

Last year, 315 building permits were issued — 237 residential and 78 non-residential. The city collected $301,596 in building permit fees from $23.98 million in construction values. 

The year prior a total of 412 permits were issued — 316 residential and 96 non-residential.

“Obviously this was a large drop in permit construction value numbers, which were likely enhanced by the worldwide COVID-19 pandemic,” Saarela told council.

Since 2016, the report shows there has been a decline in the number of residential permits issued every year.

In 2016, 424 residential permits and 130 non-residential permits issued. The numbers drop a little every year except 2017 in the non-residential category there were 135 permits. Saarela noted that's when the new emergency services facility was being built at Northern College.

The pandemic and the short supply of building materials are factors he said potentially affected 2020 building projects.

While more than $300,000 in permit fees were collected last year, the cost to administer and enforce the Ontario Building Code Act was $802,441.

Saarela said the department is performing at a "notable loss" of $393,944. The delivery of services costs residents $18.59 each or $42.67 per household.

"Clearly the permit fees collected do not cover the costs of the services being provided. For every $1 spent in the division in 2020, a total of 51 cents is collected in offsetting revenues,” he said.

Other highlights of the report include:

  • $98,921 in revenue was generated from Chapleau, Iroquois Falls and Matheson. The City of Timmins extends its building department services to these municipalities.
  • The average turn-around time for residential permits was 2.98 days. That's well below the required timeline of 10 to 15 days. Of 237 residential permits issued last year, 225 (94.9 per cent) met the timeline.
  • The average turn-around time for non-residential permits was 7.7 days, which is less than the required 15 to 30 day. Of the 78 permits issued, 72 (93.3 per cent) met the timeline.

Key 2020 building permit activities are:

  • Five new dwelling permits and two new seasonal dwelling permits were issued.
  • Most residential permits were smaller renovations and additions to accessory buildings. The exceptions were a permit for a construction value of $1.5 million for interior renovations at a Kirby Avenue property, and a fire restoration permit with a construction value of $665,000 on Sterling Avenue.
  • Two new building permits were issued at 681 Algonquin Blvd. E. for a Popeye's Restaurant and addition of an LCBO. Saarela said these were issued late in the year and construction did not start in 2020.
  • Commercial renovations permits included Kunuwanimano for $475,000 of work at 168 Third Ave., McDonald's for $225,000 of interior renovations, Don's Pizzeria interior renovations for $320,000, Tisdale Plumbing interior renovations at 757 Algonquin Blvd. E. for $400,000. Planet Fitness also has over $1 million in renovations at the Timmins Square that did not start in 2020.
  • There were 23 institutional section permits issued for a total construction value of $6.7 million. There was one permit for a new building (the mausoleum at the Timmins cemetery).
  • For institutional renovations, permits included Knachichi Healing Lodge on Highway 101 West for $500,000, and interior renovations totalling $4 million at seven Northeastern Catholic District School Board schools. Northern College also did an exterior renovation with a construction value of $900,000.
  • There were three new building permits for the industrial sector — a farm building for Agrade Cannabis on Jaguar Road North, a wash bay building at Lakeshore Gold, and an addition to Steelworks on Highway 101 West.

If construction hasn't started on a project, Saarela said the city can revoke a permit after six months. 

"Typically every municipality will give a year. We’ve basically given a year and half due the circumstances,” he said, noting 18 months may not be long enough knowing what's going on this year and that lumber is still scarce.

The department may have to look at further extending permits, he said.

The full 2020 building department report is available here.