A new report by Dallas’ Development Services Department reveals precisely why an efficient permit process is critical to maintaining the city’s long-term growth.
During fiscal year 2022-2023, Dallas issued building permits on approximately 3,100 residential projects and about 1,700 commercial projects. Based on project valuations, the construction valuation economic impact of these 4,800 permits was estimated at $5.1 billion, according to a new report published by the Development Services Department (DSD).
DSD Director Andrew Espinoza said the report was intended to track the department’s annual performance and development outcomes, document results, and create a tool for accountability.
“When I joined the Development Services Department in the summer of 2022, I took on the challenges of improving our customer service delivery, response times, consistency, and permitting software platforms,” Espinoza said in the report.
“I am extremely proud of the work our team has accomplished in FY 2022-23 and am grateful for their efforts,” he continued. “Many of the objectives and goals we set out to accomplish were fulfilled. I am pleased with the direction and trajectory of our organization and am 100% confident we will steadily improve.”
In terms of residential projects, DSD issued permits on about 1,800 new single-family projects and 1,300 residential additions. The economic impact of these permits was approximately $833 million and $120 million, respectively.
During this period, DSD reduced its residential pre-screen process from 12 days to two days and its initial review process from 17 days to eight days.
Prior to Espinoza becoming DSD director, the City of Dallas had become synonymous with long review times, annoying permitting delays, and poor customer service under City Manager T.C. Broadnax. These issues were so prevalent that they nearly cost Broadnax his job in 2022, as previously reported by The Dallas Express.
Broadnax did, however, end up offering his resignation last week, following a number of blunders involving City data and relatively broad dissatisfaction with his performance on the part of residents and businesses.
While DSD now issues most residential permits in a timely manner, challenges remain on the commercial side of development.
Overall, DSD issued permits on approximately 400 new commercial projects and 1,300 commercial additions. Based on project valuation, the economic impact of these permits was estimated at $887 million and $85 million, respectively.
Despite issuing the same number of permits for residential and commercial add-ons, the total valuation estimated for all residential additions was roughly $35 million higher than the combined value of all commercial additions.
During this period, DSD reduced its commercial pre-screen process from 24 days to one day and its initial review process from 12 days to 10 days.
“’Together we are building a safe and united Dallas!’ and it is demonstrated in this Annual Report,” Espinoza said, per the report. “As a Department, we have embraced a ‘Service First’ philosophy, and it is reflected in our meaningful customer outreach, stakeholder engagements, staff and customer training, implementation of performance goals and metrics, and a responsible approach to the utilization of our department budget.”
Although DSD’s annual report details and highlights the department’s work since 2022, more progress is needed to ensure long review times and permit delays are a thing of the past, especially in the commercial sector.