A 100 percent surcharge on building permit fees in Minot’s extra-territorial area will be getting a second look from the Minot City Council after a resident brought it to the council’s attention Monday.

“I along with the other property owners incur a huge price on our building permits compared to what you would if you lived in the city limits,” said Patti Eisenzimmer, a resident of the two-mile area around Minot in which the city has zoning authority.

“What we are trying to find out – myself and other property owners – is why was this implemented?” she said. “Why would Minot do this?”

She listed county building permit fees as $4.50 per $1,000 of building value. In comparison, the city charges $5 to city residents and $10 to residents in the extra-territorial area.

She said residents outside the city don’t benefit from city services yet must pay permit fees that are doubled. A check with some other cities in the state found none who charge more for permits in their extra-territorial areas, she said.

The council had passed a resolution in July 1986 that provided for doubled fees.

“The resolution and the intent behind it was to discourage rural developments. In addition, to collect the additional costs of the inspection and other fees associated with providing the service,” City Manager Tom Barry said.

Rural developments impact the city’s ability to grow, he explained. Infrastructure and densities often must be managed around those rural residents if they don’t want to be annexed as the city grows, he said. There also are additional costs in having city building personnel drive farther into the county to conduct inspections, he added.

Another reason for the higher fees is because half the costs of the city’s building department are property-tax subsidized, Barry said. Rural residents do not pay those taxes so they are charged more in fees to make up for that difference, he said.

“I understand this was implemented years ago, but the City of Minot itself has expanded,” Eisenzimmer said. “Why would we still keep this in effect? That’s my question to you. You may have justified it 30 years ago, but I think it’s time to re-look at things.”

Mayor Shaun Sipma said the city will consider whether the current fees are appropriate.

“It is a good point of discussion, and we can certainly look into it in the near future,” he said.