Olympia City Council OKs updates to permit processing timelines 

To align with recent changes in state law, the Olympia City Council approved amendments to the city's municipal code (OMC 18.70), which addresses project permitting timelines.

A resolution pertaining to the amendments was unanimously approved during its second reading at the council's meeting on Tuesday, Jan. 21.  

The city's principal planner Nicole Floyd presented the updates at an earlier city council meeting on Jan. 14.  

Floyd explained the changes stem from regulatory reforms enacted in 1995, which established a 120-day clock for permit processing across Washington state. It applies equally to all project types, sites and communities.  

Floyd discussed how Olympia has approached permit processing from 1995 to present day.

Floyd said the city emphasizes factors like accuracy, public engagement and customer service. These priorities reflect Olympia's values, ensuring projects meet the city's codes and standards, and support the community.  

While the review speed was important, Floyd said Olympia had not placed it as the top priority above all else.

"It is very important. It is just that we have not placed it as the number one above everything else," the city planner explained.

"It has played an equal layer, in part because there were no repercussions for a lack of compliance."  

The 1995 regulations set up reporting procedures, but there were no penalties or consequences for the city if it failed to meet the 120-day permit processing timeline.  

The Olympia City Council approved amendments to the OMC 18.70, which address project permitting timelines on its second reading. The council made the …

New state legislation aims to modernize the approach to permit processing, including establishing specific timelines for different types of permits.  

Under the approved amendments, the city will move to a "bucket" system. Floyd explained that the state has categorized different types of permits into groups with associated timeline goals: 

• Type 1 permits. These are permits that do not require a public process, such as boundary line adjustments. The state recommends a 65-day timeline for these Type 1 permits.  

• Type 2 permits. These are land use applications, like conditional use permits. The state recommends a 100-day timeline permit process. The Olympia Planning Commission is proposing to retain a 120-day timeline to uphold the city's commitment to a more robust public process. 

• Type 3 permits. These are permits that require a public hearing, not with the city council but with a hearing examiner. The state recommends 170 days.  

In addition to the new "bucket" system, Floyd mentioned that the new state law establishes incentives for meeting permit processing timelines.

If jurisdictions meet timelines, they would not have to provide funds. However, if they exceed the timelines, they would be required to provide refunds of 10-20% of the permit fees.  

Councilman Jim Cooper asked why Olympia would not face penalties for maintaining a 120-day timeline for Type 2 permits rather than the state's recommended 100-day goal.  

Floyd explained that the state's 100-day recommendation was based on an expectation of less public process.

She noted the new state law recognizes different communities may have varying approaches and allows for flexibility in setting timelines.

Olympia is departing from the 100-day state goal to accommodate its robust public engagement process, saying that public involvement takes more time.  

Councilman Robert Vanderpool inquired as to how the proposed permit timeline changes fit with the city's Affordable Housing Emergency ordinance that the council recently passed.

Vanderpool said some partners like Habitat for Humanity had expressed concerns about the length of the permitting process.  

Floyd stated that affordable housing projects would be expedited under the new system.

The principal planner added that these applications would be "put to the front of the line" to ensure faster review despite the timeline changes.