TO: Mayor and City Council
THROUGH: Krishna Namburi, City Manager
FROM: Kristin Retherford, Community Planning and Development Department Director
SUBJECT:
title
Permitting process improvement updates and Housing Production Strategy monitoring results.
Ward(s): All Wards
Councilor(s): All Councilors
Neighborhood(s): All Neighborhoods
Result Area(s): Welcoming and Livable Community.
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SUMMARY:
summary
City Council directed staff to prioritize two key actions in the Housing Production Strategy (HPS): zoning code updates, which were presented to Council in December 2025, and permit process improvements. This report summarizes progress on permit process improvements and provides the first annual monitoring results for the HPS.
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ISSUE:
Information only.
RECOMMENDATION:
recommendation
Information only.
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FACTS AND FINDINGS:
The City began the Housing Code Project in summer 2025 to identify potential zoning code revisions and permit process improvements that could better support housing development in Salem. A key goal of this project is to evaluate existing permitting practices, identify barriers, and improve efficiency to better support Salem’s housing needs.
Prior Permitting Improvements (Since 2022)
Since 2022, the City has taken a phased approach to improving the permitting process. Initial feedback from the development community identified concerns related to lengthy timelines, inconsistent communication, and process complexity. In response, the City commissioned the 2023 Permitting Efficiency Study and implemented foundational changes, including the consolidation of permitting functions into the Community Planning and Development Department, upgrades to plan review systems, and a shift toward more coordinated and concurrent review processes. In 2024, the City further advanced this work through participation in the Bloomberg Harvard City Leadership Initiative Data Track to better understand permitting timelines and customer experience through data.
Stakeholder Engagement and Outreach
As part of this effort, staff have collaborated closely with the development community, conducted research, and gathered feedback to assess whether the action items identified in the City of Salem 2023 Permitting Efficiency Study <https://www.cityofsalem.net/home/showpublisheddocument/24777/638651213824600000>, and prioritized by staff, remain appropriate and on track. Outreach has included meetings with developers, architects, engineers, surveyors, homebuilders, land use professionals, attorneys, and other stakeholders. In addition, Community Planning and Development staff coordinated internal discussions and hosted an open Final Plat Process Forum in November of 2025 and a Permit Process Forum in February of 2026 to collect focused input on both short and long term improvement opportunities.
Connection to Housing Production Strategy (HPS)
Improving the permitting process is one of the 17 actions included in Salem’s HPS. Staff will continue to monitor and refine strategies outlined in both the HPS and the Permitting Efficiency Study, and community members will continue to have opportunities to contribute feedback as improvement work progresses.
Permitting Process Improvements Ideas
Permitting Efficiency Study Overview
The Permitting Efficiency Study identifies 17 observations and recommendations across three major areas:
1. Organizational structure of permitting functions
2. Process efficiency and system capabilities
3. Customer service efficiency and effectiveness
Organizational Improvements and Outcomes
A key outcome of this work has been a shift in organizational structure and culture. By consolidating permitting functions within a single department, the City has reduced silos, improved internal coordination, and established a more unified customer service approach. Regular cross-division coordination and shared review expectations are helping move toward more consistent and predictable outcomes for applicants.
The status of the 17 observations and recommendations are included in Attachment 1, along with next steps and a summary of more recent permit process improvements.
Priority Actions Identified in HPS
From these recommendations and building on the City’s opportunity to participate in the Bloomberg Harvard City Leadership Initiative Data Track in 2024, the HPS highlights several priority actions for the permitting process improvement initiative:
• Implementing a permit timeline dashboard and improving process clarity
• Expanding the project coordinator role
• Updating and modernizing website resources
• Adopting a "one voice" approach to permit reviews
• Increasing transparency through online data dashboards
Current and Ongoing Implementation Actions
Staff reviewed these items along with other recommendations in the study and prepared a prioritized list for development community review. Based on feedback received, staff identified specific action items to pursue over the next year. A summary of the key actions that are underway, under review, or recently completed is provided below:
1. Permit Timeline Dashboard and Process Clarity
A new Development Application Dashboard was created to show average review timelines for planning applications, commercial permits, subdivisions, multifamily housing, and residential construction. Visual process timelines for common development types have also been created. Custom timelines are available for complex projects to ensure clarity on each step of the permitting process.
2. Expanded Project Coordinator Role
The Project Coordinator position now supports both large and complex development proposals and housing projects. This role provides a single point of contact, coordinates inter-departmental meetings, and tracks review progress and milestones. Services are assigned based on capacity and managed by the Building and Safety Division.
3. Updated and Modernized Website Resources
The Community Planning and Development Department (CPD) will update permit-related webpages to improve usability, reflect organizational changes, and provide clearer development resources. Updates are scheduled for completion before summer 2026.
4. "One Voice" Approach to Permit Reviews
Staff are working toward more unified communication with applicants. Plan review memorandums are being updated to present coordinated comments while still identifying technical contacts for specific disciplines.
5. Increased Transparency Through Online Dashboards
The new Development Application Dashboard publishes monthly metrics including average review times, active applications by type, approval rates, and the number of review cycles. Upcoming enhancements will include housing unit counts and additional summary features.
6. Developer Bulletin and Training Opportunities
CPD launched a semi-annual Developer Bulletin to improve communication and provide timely updates on code changes, process improvements, and standards. The bulletin will also advertise training sessions and forums to support consistent project planning.
7. Access to Plan Review Comments in the PAC Portal
The Permit Application Center portal formerly did not allow applicants to view or download plan review comments. This was recently prioritized and project applicants can now access review status and comments directly through the PAC Portal.
8. Comprehensive First-Cycle Comments
Feedback indicates frustration when new comments appear in second review cycles. Staff will continue exploring improvements such as additional reviewer training, adequate review time, and clearer completeness checks to reduce second-cycle surprises.
9. Faster Plat Review Timelines
Staff are evaluating options for early technical plat reviews, concurrent review processes, updated checklists, and additional transparency through dashboard reporting based on feedback from housing code outreach and the Final Plat Process Forum.
10. Stormwater Fee-in-Lieu Options
Stakeholders encouraged the City to expand fee-in-lieu options for stormwater facility requirements, especially for infill housing where construction costs can be prohibitive.
11. System Development Charge (SDC) Evaluation
With new middle housing standards, SDC methodologies need review. Staff will begin a comprehensive evaluation in 2026, expected to take two years, to ensure SDCs reflect current housing needs and infrastructure demands.
12. Infrastructure Requirement Adjustments
As highlighted in the Housing Code Changes summary, proposed revisions include easing certain utility and boundary street improvement requirements to support infill housing and reduce barriers for middle housing development.
Stakeholder Feedback and Input
Permit Process Forum Outcomes
The February 2026 Permit Process Forum was well attended and included strong participation and engagement from the development community. Key themes that emerged included the need for clearer communication, more consistent expectations during prescreening and plan review, improved overall process transparency, coordinated and comprehensive review comments, and accessible communication channels between staff and applicants.
Survey Feedback Summary
Following the forum, staff distributed a follow-up survey to a broader group of development community participants to further refine and prioritize identified improvement areas. The survey was distributed broadly to over 300 participants and included reminder notifications; however, twelve responses were received. While limited, the responses were generally consistent with feedback shared during the forum. These themes are reflected in the priority actions identified in this report and will continue to inform ongoing permitting process improvements. A summary of the survey results is included in Attachment 2. To support continued feedback, the survey will remain open and is available on the City’s website.
Analysis of Influences and Data Insight on Timelines
Factors Influencing Development Timelines
While the actions outlined above represent meaningful progress, it is important to understand the broader factors influencing development timelines and what current data tells us about overall performance.
Development timelines are influenced by a range of factors beyond the City’s control, including site complexity, infrastructure requirements, market conditions, financing, and applicant responsiveness during review cycles. Project scale can also significantly affect timelines; for example, smaller infill developments may move through permitting much faster than large, phased subdivisions with complex site constraints.
In addition to these external factors, it is important to recognize the nature of the permitting process itself. While often described as lengthy, the permitting process is not solely regulatory. It is a design and coordination process where City staff and applicants work together to refine development proposals. This iterative process helps ensure projects meet adopted standards and function effectively for future residents and businesses.
Data Insights and Timeline Findings
In response to these dynamics, the City has focused on improving how timelines are measured and understood. Early analysis of permitting data indicates that, for housing-related subdivision developments, the average time from initial land use application to the first building permit approval has historically been approximately three years. Data also shows that a significant portion of total project time occurs outside of City review periods, including applicant revisions, design changes, and coordination between project phases. The City also recognizes that there are opportunities to improve clarity, consistency, and understanding of the process, including better communication, guidance, and expectations throughout each stage. These findings have helped inform current efforts to reduce review cycles, improve prescreening, and provide clearer timelines.
Insights, combined with community feedback, have directly informed the priority actions outlined in this report, including improvements to prescreening, coordinated review comments, improved transparency, and efforts to reduce review cycles.
Housing Production Strategy Monitoring Report
2025 Monitoring Report Overview
To support ongoing evaluation of the HPS, staff have prepared a monitoring report that provides a 2025 update on each of the 17 actions included in the plan. The report focuses on the metrics established in the HPS to track progress toward increasing housing production and improving process efficiency. Attachment 3 includes a summary of these metrics and implementation status, identifying areas for continued focus, and informing future policy and process adjustments as implementation advances.
BACKGROUND:
In May 2025, the City adopted its first Housing Production Strategy, a six-year plan outlining 17 actions to encourage new housing, preserve existing units, and support fair and equitable housing outcomes. At the time of adoption, City Council identified housing code revisions and related permitting process improvements as top priorities. Council directed staff to return by the end of the year with an update summarizing feedback received through early outreach.
This report responds to that direction by summarizing outreach and implementation progress to date. It provides an overview of the feedback gathered during engagement on potential housing code revisions, with a specific focus on comments related to permitting process improvements and opportunities to streamline development review. It also includes a monitoring report summarizing progress on HPS implementation over the past ten months.
This work reflects a broader shift toward a more transparent, data-informed, and collaborative permitting process. The City continues to balance the need for efficiency with its responsibility to ensure development meets adopted standards that support safe, functional, and livable communities.
Robin Dalke
Development Services Assistant Director
Attachments:
1. Permitting Efficiency Study Implementation Status and Updates
2. Development Community Process Improvement Survey
3. Housing Production Strategy 2025 Update