DALLAS — The City of Dallas will forgo $8.6 million in permitting fees after a staff error lowered the charge for a commercial remodel permit instead of raising it, city staff told council members Monday. The City is missing out on $1.
1 million per month that the error remains in place, according to Dallas Planning and Development Department Assistant Director Catherine Lee. The Economic Development Committee unanimously approved a request to revert to the previous permit fee structure for commercial remodels on Monday, with the addition of a 33 percent inflation adjustment. Council members did not ask questions or raise concerns about the mistake at Monday's committee meeting.
"Once we realized that we had this issue, we took proactive measures," Lee said. The planning department has frozen hiring for non-inspector positions, deferred vehicle replacement, cut overtime and stopped travel and training, she said. "These cost savings measures, along with utilization of a portion of the departmental fund balance, will offset the revenue loss," the City presentation said .
This is not the first mistake for the beleaguered department charged with leading the City's zoning and permitting. In 2024, the city faced ridicule after it moved a building permit office out of a newly purchased building along the Stemmons Freeway because the building did not have the proper permits. Dallas permitting became embroiled in a controversy in the Elm Thicket/Northpark neighborhood last year after it mistakenly allowed the construction of homes that did not comply with updated zoning restrictions.
The head of the department at the time was laid off as part of City Manager Kimberly Tolbert's re-organization of the planning and permitting arms of the City. In January, city staff announced the wait for a building permit in Dallas had decreased — in some categories by as much as 50% — in a win for the troubled department..
Politics
Dallas is out $8.6 million after city permit error

This is not the first mistake for the beleaguered department charged with leading the City's zoning and permitting.