Item 4.1 2026 Proposed Fee Schedule
Request for
City Council Action
DEPARTMENT INFORMATION
ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE:
Administration City Administrator/Finance Director Flaherty 8 December 2025
PRESENTER(s) REVIEWED BY: ITEM #:
Administration 4.1 – 2026 Fee Schedule
STRATEGIC VISION
MEETS: THE CITY OF OTSEGO:
X Is a strong organization that is committed to leading the community through innovative communication.
X Has proactively expanded infrastructure to responsibly provide core services.
Is committed to delivery of quality emergency service responsive to community needs and expectations in a
cost-effective manner.
Is a social community with diverse housing, service options, and employment opportunities.
Is a distinctive, connected community known for its beauty and natural surroundings.
AGENDA ITEM DETAILS
RECOMMENDATION:
City staff recommends the City Council adopt an ordinance establishing the 2026 fee schedule.
ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED?
No Yes, will be held December 8, 2025
BACKGROUND/JUSTIFICATION:
Title 3, Chapter 1 of the City Code establishes a schedule of fees and charges for various City services and facilities known
as the Fee Schedule. The City Council annually reviews the proposed fee schedule to be adopted as part of the City Code
for the upcoming year to ensure that the established fees are consistent with the City’s intent to recover costs incurred
for the specific activities from those benefited. A redlined version of the proposed 2026 Fee Schedule is attached with
major changes summarized below:
▪ License Fees. Separation of investigation fees into new and renewal applications for liquor licenses. The fee for
a license renewal is to be established at a lower amount of $100 versus the current fee of $500 for all
applications.
▪ Plan Review. Proposed increase in the plan review fee for deck permits from 10% of the permit fee to 25%.
▪ Water Meters. The fee schedule includes a charge for water meters for new construction. These fees are
proposed to be increased based on the cost incurred by the City to obtain the meters and adding clarification
that purchases of water meters are subject to sales tax.
▪ Park Shelter Reservations. Clarification added that only the shelters at Carrick’s Landing, Norin Landing, and
Prairie Park may be reserved, identifying the duration of reservations and that rentals are subject to sales tax.
▪ Candidate Filing Fee. Proposed increase in the fee to file for City office from $5.00 to $25.00.
▪ City Equipment. Proposed adjustments to hourly rates of City equipment and vehicles.
▪ Utility Fees. Title 8, Chapter 1 of the City Code establishes requirements for utility availability and connection
charges to be paid by system users as the utilities are funding entirely by system users and not through general
property taxes. Availability charges fund construction of water distribution and sewer collection pipes.
Connection charges fund construction of the operational components of the water and sewer systems such as
wells, water towers, pressure stations, lift stations, and wastewater treatment facilities. Availability charges are
collected at the time of final plat approval and connection charges are collected at the time a building permit is
issued. The total water utility fee is divided equally between availability and connection charges, whereas the
total sewer utility fee is divided approximately 1/3 and 2/3s, respectively.
The basis of the fees collected is a Residential Equivalent Connection (REC) to establish an equitable means of
estimating the demand or contribution to the water and sewer systems, respectively, for various land uses. One
REC is equal to the average sewer discharge of a single family dwelling of 175 gallons per day and for water use is
899 gallons per day. The number of RECs for other uses is based upon a schedule developed by Metropolitan
Council Environmental Services. The RECs system ensures that the payment of availability and connection
charges is proportional to the utility services delivered for a specific use. A high-water user like a car wash or
restaurant will pay availability and connection fees higher than that of a residential dwelling, commercial office,
or industrial warehouse.
The utility availability and connection charges are adjusted each year to account for construction cost increases.
The City in 2023 engaged utility engineering consultant AE2S to evaluate the City availability and connection fees
based on the existing system and future system investments programed by the Capital Improvement Plan. The
result of this analysis establishes a maximum justifiable fee of a total availability and connection charge for sewer
and water utilities. The study identified that the sewer utility fees only need to be adjusted with inflation. A
more significant increase is necessary for the water utilities, based in part on plans to add water treatment. In
order to ensure that the utility fees charged by Otsego remain competitive with surrounding cities with similar
growth characteristics, the increase in the water availability and connection charges is being phased in between
2024 and 2028 to meet the targeted fee necessary to fund the system.
▪ Park Dedication. Minnesota Statutes 462.358, Subd. 2b enables the City to require dedication of a portion of a
subdivision to the public for parks, recreational facilities, playgrounds, trails, wetlands, or open space to be
received as land or as a proportional cash fee in lieu of land to be placed in a specific fund used only for park
development. Minnesota Statutes 462.358,Subd 2c. further requires that there be a nexus between the
dedication of land or payment of fees based upon the City’s purpose for the dedication and that the dedication
must be roughly proportional to the need created by the development.
The percentage of land required to be dedicated to the City for new subdivisions is established in Section 11-8-15
of the Subdivision Ordinance as range between 12 percent and 17 percent for residential subdivisions and 10
percent for commercial and industrial subdivisions.
The park dedication fees for residential, commercial, or industrial subdivisions are established as part of the fee
schedule reviewed annually. The Wright County Assessor’s office indicates that they are proposing no changes to
the value of undeveloped land with access to sewer and water utilities to allow for planned development. As
such, City staff recommends no change to the fees for park dedication in lieu of land for 2026.
▪ Stormwater Impact Fees. The City has completed stormwater management plans for the Otsego Creek, Lefebvre
Creek, and North Mississippi River. The stormwater management plans direct public stormwater system
improvements within the respective watersheds to be implemented as development occurs. Fees are collected
from subdivisions within the watersheds to fund the improvements necessary to allow for the development to
occur with adequate stormwater management. Changes in the fee from year-to-year are based upon
construction cost inflation measured by the Engineering News Record. The impact fees for the respective
watersheds are, therefore, to be increased by 3.41 percent from the 2025 fees.
▪ Stormwater Utility Fees. The City has developed a fee structure to outline stormwater utility fees in accordance
with a stormwater utility study designed to allocate costs accordingly amongst different property types and their
contributions to the stormwater utility system. These fees are applicable to any lot platted within the City after
November 15, 1990 and pay for the operations and maintenance of the stormwater utility system.
SUPPORTING DOCUMENTS ATTACHED:
• Ordinance 2025-12 (redline to show changes)
• Ordinance 2025-12 (clean)
• Summary of Ordinance 2025-12
POSSIBLE MOTION
PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES:
Motion to adopt Ordinance 2025-12 amending the City Code establishing the 2026 fee schedule and approve
publication in summary form.
BUDGET INFORMATION
FUNDING: BUDGETED:
N/A
N/A
1
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
ORDINANCE NO.: 2025-12XX
AN ORDINANCE ESTABLISHING A FEE SCHEDULE FOR CITY SERVICES, PERMITS AND LICENSES FOR 20252026.
THE OTSEGO CITY COUNCIL ORDAINS:
Section 1. Section 3-1-2 of the City Code (Finance and Taxation – Fee Schedule) is hereby amended
establishing a fee schedule for City services, permits and licenses for 2026:
3-1-2: SCHEDULE OF FEES: The City Council hereby establishes the following schedule of fees:
Item City Code
Reference
2026 Fee
A. Licenses
Liquor Sec. 4-1-8.A.3
On-Sale 3.2 Liquor $100.00
Off-Sale 3.2 Liquor $100.00
Club $75.00
On-Sale Intoxicating Liquor $4,500.00
Off-Sale Intoxicating Liquor $150.00
Intoxicating Liquor (Sunday) $200.00
Investigation Fee - New (single or corporation) $500.00
Investigation Fee – Renewal (single or corporation) $100.00
Set-Ups No Cost
Consumption and Display $300.00
Wine $150.00
Temporary Liquor $75.00
Small-Brewer (Off-Sale) $150.00
Brewpub (On-Sale) License $200.00
Brewpub (Off-Sale) License $150.00
Taproom License
Cocktail Room $4,500.00
Microdistellery Microdistillery (Off-Sale) $150.00
Farm Winery $0.00
Garbage Hauler Sec. 5-3-4.B
License $100.00
Bond $0.00
Dynamic Display Signs Sec. 4-11-4.B No Cost
Mobile Food Unit Sec. 4-12-3.D $50.00
Peddlers and Transient Merchants Sec. 4-5-2.C $100.00/applicant
Rental Housing License Title 4, Chapter 6
License (initial/renewal) $100.00/du
2
Inspection; Single Family, Two-Family,
Townhouse, or Condominium Apartment
$65.00, plus $65.00/hr
(minimum 1 hr) after 2
inspections for initial
license or renewal
Inspection; Multiple Family Building Under Single
Ownership
$65.00/hr (minimum 1 hr)
Pawnbrokers, precious metals dealers and/or
second- hand goods dealers
Sec. 4-4-4
Annual License $500.00
Investigation Fee $200.00 + cost incurred
Reportable Transaction Fee $50.00/transaction
Daily Reporting Penalty $50.00/day
Massage Services Sec. 4-8-4.E
Business License $500.00
Personal License $100.00
Application Investigation Business License $100.00/operator
Application Investigation Personal License $100.00
Compost Facility License Sec. 5-3-8.C $200.00
B. Permits
Building Permits Sec. 9-1-1.B
Building Permit Refund Fee Sec. 9-1-2.B.2.b $30.00
Building Permit Fees
Total Valuation
$1.00 to $1,200.00 $50.00
$1,201.00 to $2,000.00 $50.00 for the first
$1,200.00 plus $3.27 for
each additional $100.00, or
faction thereof, to and
including $2,000.00
$2,001.00 to $25,000.00 $76.18 for the first
$2,000.00 plus $15.40 for
each additional $1,000.00,
or fraction thereof, to and
including $25,000.00
$25,001.00 to $50,000.00 $430.38 for the first
$25,000.00 plus $11.11 for
each additional $1,000.00,
or fraction thereof, to and
including $50,000.00
$50,001.00 to $100,000.00 $708.13 for the first
$50,000.00 plus $7.70 for
each additional $1,000.00,
or fraction thereof, to and
including $100,000.00
$100,001.00 to $500,000.00 1,093.13 for the first
$100,000.00 plus $6.16 for
each additional $1,000.00,
or fraction thereof, to and
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including $500,000.00
$500,001.00 to $1,000,000.00 $3,557.13 for the first
$500,000.00 plus $5.23 for
each additional $1,000.00,
or fraction thereof, to and
including $1,000,000.00
$1,000,001.00 and up
$6,169.63 for the first
$1,000,000.00 plus $4.02
for each additional
$1,000.00, or fraction
thereof
Plan Review A plan review fee shall be
collected on all permits
issued for work governed
by Chapter 4, Section 1 of
the City Code in accordance
with Minnesota Statutes
§326B.153. This fee is
based on 65% of the
building permit fee.
Basement finish permit
plan review fees are 10% of
the building permit fee,
and deck permit plan
review fees are 1025% of
the building permit fee.
State of Minnesota Surcharge A surcharge fee shall be
collected on all permits
issued for work governed
by Chapter 4, Section 1 of
the City Code in accordance
with Minnesota Statutes
§16B.70.
Special Investigation Fee The fee for a special
investigation shall be equal
to (but in addition to) the
building permit fee.
Electrical Permits and Inspections Sec. 9-3-5.C The fee schedule set forth
in Minnesota Statutes
§326B.37 is adopted by
reference and incorporated
herein.
Water Connection Charge Sec. 8-1-5.C $3,830.004,596.00/REC
Sewer Connection Charge Sec. 8-1-6.C $9,147.009,513.00/REC
Water Meter Assembly: Sec. 8-2-2.D
5/8-inch $432.82500.21/each +
sales tax
1-inch $672.65714.94/each +
sales tax
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1 ½-inch $1,095.701,245.97/each +
sales tax
2-inch $1,341.641,455.72/each +
sales tax
Over 2-inch Quote
Other Permit Fees (Flat Fee) Sec. 9-1-1.B
Item Fee Surcharge Total
Fireplace $75.00 $1.00 $76.00
Roof $150.00 $1.00 $151.00
Siding $150.00 $1.00 $151.00
Windows $75.00 $1.00 $76.00
Furnace $75.00 $1.00 $76.00
Air Conditioner $75.00 $1.00 $76.00
Furnace & Air Conditioner (same
house)
$100.00 $1.00 $101.00
Septic Install/Repair $250.00 $0.00 $250.00
Septic Tank (only) Replace $75.00 $0.00 $75.00
Water Softener $75.00 $1.00 $76.00
Water Heater $75.00 $1.00 $76.00
Door Replacement (same opening
size)
$75.00 $1.00 $76.00
Lawn Irrigation $75.00 $1.00 $76.00
Construction Escrows Sec. 11-19-2.E
Landscape/As-Built Grading $3,000/lot
Driveway/Sidewalk
Urban Lot $2,000/lot
Rural Lot $5,500/lot
Burning Permit Sec. 5-5-4 No cost
Fence Permit Sec. 11-19-4.A
Basic Permit $50.00
Easement Encroachment $100.00
Second Driveway Permit Sec. 11-21-6.D.4 $100.00
Home Occupation Permit Sec. 11-28-3.A $50.00
Sign Permit Sec. 11-37-7.A.3 $50.00
Natural Landscaping Permit Sec. 5-2-3.F.1 $100.00
Sewer and Water Hook-Up Sec. 8-1-4.A
Permit Included w/building permit
Inspection $50.00/hr.
New Construction Assessor’s Valuation
Estimated Construction Value<$499,999 $60.00
Estimated Construction Value>$500,000 $160.00
Swimming Pool Administrative Permit Sec. 11-18-5.B $50.00
Lawful Gambling Sec. 4-7-6.D
Investigation Fee $100.00
Archery Permit Sec. 6-3-3.L No cost
Play Field Use Res #2013-65
City Sponsored Users No charge
5
Recognized Youth Associations:
Ballfield $300.00/seasonal field
assignment
Soccer (4v4 size field) $150.00/seasonal field
assignment
Soccer (Full size field) $300.00/seasonal field
assignment
Soccer (Lights) $4.00 per hour
All Other Users:
Athletic Tournaments $150.00 Per Tournament
Day Camps $20.00 Per Day
Monday-Thursday; Baseball $50.00/field/day
Monday-Thursday; Field game $50.00/field/day
Saturday/Sunday; Baseball $100.00/field/day
Saturday/Sunday; Field game $100.00/field/day
Other Charges:
Public Works Staff/Equipment Refer to Sec. 3-1-2.E.9
Portable Toilets/Trach Containers Cost incurred
Clean up of Site and/or Equipment
Replacement
A deposit may be required
in an amount approved by
the Parks and Recreation
Commission.
Park Living Memorials: Res #2012-08 Cost Incurred
Prairie Park Veterans Memorial Paver: Res #2018-43 $50.00
Engraved Bench: Res #2021-78 $2,000.00
Park Shelters: Res #2013-13
Reservable shelters are located at Carrick’s
Landing, Norin Landing, and Prairie Park
Residents $20.00/per 2-hour
reservation + sales tax
Non-Residents $40.00/per 2-hour
reservation + sales tax
Prairie Center: Res #2014-21
Activity Room
Resident $40.00/hr. + sales tax
Non-Resident $55.00/hr. + sales tax
Conference Room 1 (Fireplace)
Resident $20.00/hr + sales tax
Non-Resident $30.00/hr + sales tax
Conference Room 2 (Northeast)
Resident $15.00/hr + sales tax
Non-Resident $20.00/hr + sales tax
Conference Room 3 (Small)
Resident $10.00/hr + sales tax
Non-Resident $15.00/hr + sales tax
Conference Room 4 (Southwest)
Resident $20.00/hr + sales tax
Non-Resident $30.00/hr + sales tax
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There shall be a $15.00/hour surcharge for room rentals after 5:00P Monday through Thursday, after
12:00 Noon on Friday or on Saturday or Sunday.
The City may charge additional fees (and sales tax when required) for a security officer to be present
or unusual or extra-ordinary services or facilities as determined by the Parks and Recreation Director.
Nonprofits serving the Otsego area will have the opportunity to rent space at Prairie Center once per
month for a fee of 50% of the regular residential fee rate for that space.
Special Event Permit
City Property Sec. 8-7-6 $25.00
All Others Sec. 4-2-4 $500.00
Outdoor Entertainment Permit Sec. 4-3-4
Single Event $50.00
Reoccurring Event on the same day (s) of week
each calendar year
$50.00
C. Development Applications
Comprehensive Plan Amendment
Base Fee $500.00
Escrow – Single Family $1,000.00
Escrow – All Others $3,000.00
Zoning Amendment (map or text): Sec. 11-3-2.A.1
Base Fee $500.00
Escrow – Single Family $1,000.00
Escrow – All Others $3,000.00
Variance: Sec. 11-6-4.C.1
Base Fee $500.00
Escrow – Single Family $1,000.00
Escrow – All Others $5,000.00
Conditional Use Permit: Sec. 11-4-2.A.1
Base Fee $500.00
Escrow – Single Family $1,000.00
Escrow – All Others $5,000.00
Interim Use Permit: Sec. 11-5-2.A.1
Base Fee $500.00
Escrow $5,000.00
Administrative Permit and Appeals: Sec. 11-8-2.A.1/
Sec. 11.7-3.D
Base Fee $200.00
Escrow $400.00
Site Plan Review: Sec. 11-9-3.A.1
Base Fee $500.00
Escrow $5,000.00
Concept Plan/PUD Concept Plan: Sec. 11-3-2.A.1
Base Fee $500.00
Escrow $5,000.00
PUD Development Stage Plan: Sec. 11-36.4.D
Base Fee $500.00
Escrow $5,000.00
PUD/CUP/IUP Approval Extension: Sec. 11-4-5.B.3/
7
11-5-6.B.3
Base Fee $200.00
Escrow $1,000.00
Sketch Plan/Preliminary Plat: Sec. 10-5-2.A.2
Base Fee $500.00
Escrow $5,000.00
Final Plat: Sec. 10-5-3.A.4
Base Fee $500.00
Escrow $5,000.00
Administrative Subdivision: Sec. 10-4-2.C
Base Fee $200.00
Escrow $800.00
Environmental Assessment Worksheet Review
Base Fee $500.00
Escrow $2,000.00
Development Contract/SIPA – Minimums
Legal Escrow $1,500.00
Engineering / Construction Observation Escrow $10,000.00
City Administrative Fee $1,500.00
D. Development Fees
Water Availability Charge Sec. 8-1-5.B $3,830.004,596.00/REC
Sewer Availability Charge Sec. 8-2.5.B $3,049.003,171.00/REC
Storm Water Impact: Sec. 8-4-1
Lefebvre Creek $3,061.003,165.00/gross
acre
Otsego Creek $4,808.004,972.00/net acre
North Mississippi Watershed $8,559.008,851.00/gross
acre
Park Land Fee in Lieu of Land Dedication: Sec. 10-8-15
Residential Development $3,950.00/du
Commercial Development $10,680.00/gross acre
Industrial Development $2,418.00/gross acre
Street Lighting Sec. 10-9-11
Street Light Operation (new installation) $500.00/fixture
Decorative Street Light (Parkview Retail & GRC) $8,200.00/fixture
CSAH 39/TH 101 AUAR NA $280.00/gross acre
E. General Government Services
General Labor (minimum 15 minutes) $30.00/hr.
Copies:
Black & White $0.25/per page
Color $0.50/per page
Zoning Confirmation Letter $60.00/parcel
Special Assessment Search $35.00/parcel
Returned Check Fee $30.00
Assessment Administration Fee $100.00/parcel
Assessment Roll Copy $100.00
Special Meeting $500.00
8
Candidate Filing Fee $5.0025.00
Radon Test Kits $5.00/each
Inspection Fee Sec. 9-4-3
Fire Sprinkler Inspections Residential (townhomes) $1.50/per square foot
Fire Sprinkler Inspections Commercial Based on Valuation
Other (non-permit) Building Safety Inspections $150.00 + $75.00 for each
re-inspection
Biannual Fire Inspection (commercial, industrial,
and institutional uses)
No charge for the first two
inspections/costs incurred
for any other inspection
FOG Interceptor/Separator Inspection Sec. 8-3-11.E No charge
Public Works (not otherwise specified)
Labor per Employee – Full Time $50.00/hour + overtime
per City Policy
Labor per Employee – Seasonal $25.00/hour + overtime
per City Policy
Equipment:
Tandem Axle Dump Truck $75.00140.00/hr.
Single Axle Dump Truck $55.00/hr.
Front-End Loader (3 Yard) $110.00/hr.
Front-End Loader (1.5 Yard) $80.00/hr.
Grader $168.00/hr.
Excavator $95.00/hr.
Skid Loader $55.00/hr.
Skid Loader (Large) $80.0070.00/hr.
Tractor with Attachment $50.00/hr.
Utility Terrain Vehicle (UTV) $25.0040.00/hr.
Message Board Trailer $12.0013.00/hr.
Portable Generator Trailer (150 kW) $85.00/hr.
Portable Generator Trailer (200 kW) $100.00115.00/hr.
Crane Truck $40.0055.00/hr.
Wood Chipper Trailer $75.00/hr.
Water Tanker Truck $62.00/hr.
Pickup (1/2 Ton) $30.00/hr.
Pickup (3/4 Ton) $35.00/hr.
Pickup (1 Ton) $40.00/hr.
Zero Turn Lawn Mower $30.00/hr.
Bucket Truck $45.00/hr.
Walk Behind Snowblower $17.00/hr.
Utility Trailer $20.00/hr.
Trash Pump (w/ Hoses) $25.00/hr.
Hand Tools $5.00/hr.
Jet-Vac Combo Truck $125.00/hr.
Jetter Truck $100.00/hr.
Front-End Loader & Snowblower $210.00/hr.
Street Sweeper $180.00/hr.
Sandbags/Sand $10.00/bundle of 30
9
sandbags
Items Not Listed:
City Equipment FEMA schedule of
equipment rates
Rental Costs incurred
Minimum Charge One (1) hour
Expenses, Services, Supplies Actual cost + 15% + sales
tax
F. Animals
Impound/Release Permit Sec. 6-2-11.C All costs incurred
Fowl Keeping License Sec. 11-26-4.G.9 $20.00
G. Public Safety
Administrative Enforcement Civil Penalties Sec. 1-5-3.B
Class A (animal violations) $50.00
Class B (zoning violations- except signs) $200.00
Class C (nuisance, sign ordinance, business license,
and building regulation violations)
$200.00
Nuisance Abatement Fee $200.00 + costs incurred
False Alarm Charge: Sec. 3-2-4
Fire No charge for first three (3)
alarms, $200.00 for fourth
(4) alarm, $200.00 + $50.00
for each successive alarm
per calendar year
Other No charge for first three(3)
alarms, $50.00 for fourth(4)
alarm, $100.00 for each
successive alarm per
calendar year
Fire Services Charges Sec. 3-2-3
Mutual Aid:
Agriculture, Residential Building, Vacant Parcel Cost incurred
Commercial, Industrial, Institutional Building Cost incurred
H. Engineering
Wetland Delineation Review Sec. 11-16-5.B
Base Fee $200.00
Escrow $2,000.00
Water Tower/Antenna Review $3,500.00 escrow
Street Sign (sign + installation of new sign) Engineering
Manual
$250.00/sign
Certification of Grading: Sec. 11-16-5.G
Initial Survey Review $150.00/lot
Each Re-Inspection $125.00/lot
Petition for R.O.W. or Easement Vacation: Sec. 8-6-19
Base Fee $500.00
Escrow $1,000.00
Total $1,500.00
R.O.W. Permit: Sec. 8-6-7.A
10
Excavation Fee $200.00 + cost incurred
Obstruction Fee $2,000 or $2.50/ft
whichever is greater
Obstruction Escrow $5,000 or $2.50/ft
whichever is greater
Small Wireless Facility:
Management Fee $200.00
Annual lease fee for use of City structure $150.00
Annual collocation maintenance fee $25.00
Electrical service fee Cost incurred
Site Development (Grading) Permit: Sec. 9-6-3.D
Up to five (5) acres $500.00 escrow
More than five (5) acres $1,000.00 escrow
GIS Data Entry: Engineering
Manual
Residential $100.00/acre
Commercial, Industrial, Other $250.00/lot
Public Improvement Assessments: Sec. 3-1-2.I
Single family, two-family, and townhouse dwelling
street assessment in accordance with the adopted
Public Improvement Assessment Policy.
Not to exceed $1,092.00
I. Public Utilities
Municipal Water and Sewage Usage Rate Sec. 8-1-5.B Water and Sewer usage
rates are established by the
City Council with passage of
a separate resolution on an
annual basis. Any usage
rate increases will be
effective with the March
billing
Watering Ban Violation Fee Sec. 8-2-6.E $50.00
Delinquent Account Late Fee Sec. 8-1-9.A 5.00% on the unpaid
portion of the account
Delinquent Account Administration Fee Sec. 8-1-9 $100.00
Water Disconnect/Reconnect At Service Valve
Fees
Sec 8-2-3.B A minimum of $75.00 will
be charged, which included
includes one hour of labor.
Additional labor will be
charged in 15- minute
increments at the Public
Works labor rate.
Equipment and material
charges will apply as
necessary
Annual Storm water District Utility Fee for lots of
final platted after November 15, 1990
Sec. 8-4-2
Agricultural Districts:
A-2 District $39.4643.74/parcel
11
Residential Districts:
R-C, R-1, R-2, R-3 Districts $42.3246.91/lot
R-4A, R-4 Districts $20.4422.66/lot
R-5 Districts $16.2017.96/unit
R-MH District $10.9212.10/unit
R-6 District
Single Family lot $16.2017.96/unit
Other dwelling unit $8.459.37/unit
R-7 District
Single Family lot $16.2017.96/unit
Twin home or townhouse dwelling unit $8.459.37/unit
Multiple family dwelling unit $3.804.21/unit
Business Districts $87.3996.87/gross acre
Industrial Districts $87.3996.87/gross acre
Storm Sewer Surcharge (Sump Pump) Sec. 8-3-7.D.4.b $50.00/month
J. Franchise Fees
Cable franchise application Sec. 4-10-9 $5,000.00
Section 26. This Ordinance shall become effective January 1, 2026, upon its passage and publication
according to law.
(Remainder of page intentionally blank signatures follow)
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ADOPTED by the Otsego City Council this 8th day of December, 2025.
MOTION BY:
SECONDED BY:
IN FAVOR:
OPPOSED:
CITY OF OTSEGO
__________________________________
Jessica L. Stockamp, Mayor
ATTEST:
__________________________________
Audra Etzel, City Clerk
1
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
ORDINANCE NO.: 2025-12
AN ORDINANCE ESTABLISHING A FEE SCHEDULE FOR CITY SERVICES, PERMITS AND LICENSES FOR 2026.
THE OTSEGO CITY COUNCIL ORDAINS:
Section 1. Section 3-1-2 of the City Code (Finance and Taxation – Fee Schedule) is hereby amended
establishing a fee schedule for City services, permits and licenses for 2026:
3-1-2: SCHEDULE OF FEES: The City Council hereby establishes the following schedule of fees:
Item City Code
Reference
2026 Fee
A. Licenses
Liquor Sec. 4-1-8.A.3
On-Sale 3.2 Liquor $100.00
Off-Sale 3.2 Liquor $100.00
Club $75.00
On-Sale Intoxicating Liquor $4,500.00
Off-Sale Intoxicating Liquor $150.00
Intoxicating Liquor (Sunday) $200.00
Investigation Fee - New (single or corporation) $500.00
Investigation Fee – Renewal (single or corporation) $100.00
Set-Ups No Cost
Consumption and Display $300.00
Wine $150.00
Temporary Liquor $75.00
Small-Brewer (Off-Sale) $150.00
Brewpub (On-Sale) License $200.00
Brewpub (Off-Sale) License $150.00
Taproom License
Cocktail Room $4,500.00
Microdistillery (Off-Sale) $150.00
Farm Winery $0.00
Garbage Hauler Sec. 5-3-4.B
License $100.00
Bond $0.00
Dynamic Display Signs Sec. 4-11-4.B No Cost
Mobile Food Unit Sec. 4-12-3.D $50.00
Peddlers and Transient Merchants Sec. 4-5-2.C $100.00/applicant
Rental Housing License Title 4, Chapter 6
License (initial/renewal) $100.00/du
2
Inspection; Single Family, Two-Family, Townhouse,
or Condominium Apartment
$65.00, plus $65.00/hr
(minimum 1 hr) after 2
inspections for initial
license or renewal
Inspection; Multiple Family Building Under Single
Ownership
$65.00/hr (minimum 1 hr)
Pawnbrokers, precious metals dealers and/or
second-hand goods dealers
Sec. 4-4-4
Annual License $500.00
Investigation Fee $200.00 + cost incurred
Reportable Transaction Fee $50.00/transaction
Daily Reporting Penalty $50.00/day
Massage Services Sec. 4-8-4.E
Business License $500.00
Personal License $100.00
Application Investigation Business License $100.00/operator
Application Investigation Personal License $100.00
Compost Facility License Sec. 5-3-8.C $200.00
B. Permits
Building Permits Sec. 9-1-1.B
Building Permit Refund Fee Sec. 9-1-2.B.2.b $30.00
Building Permit Fees
Total Valuation
$1.00 to $1,200.00 $50.00
$1,201.00 to $2,000.00 $50.00 for the first
$1,200.00 plus $3.27 for
each additional $100.00, or
faction thereof, to and
including $2,000.00
$2,001.00 to $25,000.00 $76.18 for the first
$2,000.00 plus $15.40 for
each additional $1,000.00,
or fraction thereof, to and
including $25,000.00
$25,001.00 to $50,000.00 $430.38 for the first
$25,000.00 plus $11.11 for
each additional $1,000.00,
or fraction thereof, to and
including $50,000.00
$50,001.00 to $100,000.00 $708.13 for the first
$50,000.00 plus $7.70 for
each additional $1,000.00,
or fraction thereof, to and
including $100,000.00
$100,001.00 to $500,000.00 1,093.13 for the first
$100,000.00 plus $6.16 for
each additional $1,000.00,
or fraction thereof, to and
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including $500,000.00
$500,001.00 to $1,000,000.00 $3,557.13 for the first
$500,000.00 plus $5.23 for
each additional $1,000.00,
or fraction thereof, to and
including $1,000,000.00
$1,000,001.00 and up
$6,169.63 for the first
$1,000,000.00 plus $4.02
for each additional
$1,000.00, or fraction
thereof
Plan Review A plan review fee shall be
collected on all permits
issued for work governed
by Chapter 4, Section 1 of
the City Code in accordance
with Minnesota Statutes
§326B.153. This fee is
based on 65% of the
building permit fee.
Basement finish permit
plan review fees are 10% of
the building permit fee,
and deck permit plan
review fees are 25% of the
building permit fee.
State of Minnesota Surcharge A surcharge fee shall be
collected on all permits
issued for work governed
by Chapter 4, Section 1 of
the City Code in accordance
with Minnesota Statutes
§16B.70.
Special Investigation Fee The fee for a special
investigation shall be equal
to (but in addition to) the
building permit fee.
Electrical Permits and Inspections Sec. 9-3-5.C The fee schedule set forth
in Minnesota Statutes
§326B.37 is adopted by
reference and incorporated
herein.
Water Connection Charge Sec. 8-1-5.C $4,596.00/REC
Sewer Connection Charge Sec. 8-1-6.C $9,513.00/REC
Water Meter Assembly: Sec. 8-2-2.D
5/8-inch $500.21/each + sales tax
1-inch $714.94/each + sales tax
1 ½-inch $1,245.97/each + sales tax
2-inch $1,455.72/each + sales tax
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Over 2-inch Quote
Other Permit Fees (Flat Fee) Sec. 9-1-1.B
Item Fee Surcharge Total
Fireplace $75.00 $1.00 $76.00
Roof $150.00 $1.00 $151.00
Siding $150.00 $1.00 $151.00
Windows $75.00 $1.00 $76.00
Furnace $75.00 $1.00 $76.00
Air Conditioner $75.00 $1.00 $76.00
Furnace & Air Conditioner (same
house)
$100.00 $1.00 $101.00
Septic Install/Repair $250.00 $0.00 $250.00
Septic Tank (only) Replace $75.00 $0.00 $75.00
Water Softener $75.00 $1.00 $76.00
Water Heater $75.00 $1.00 $76.00
Door Replacement (same opening
size)
$75.00 $1.00 $76.00
Lawn Irrigation $75.00 $1.00 $76.00
Construction Escrows Sec. 11-19-2.E
Landscape/As-Built Grading $3,000/lot
Driveway/Sidewalk
Urban Lot $2,000/lot
Rural Lot $5,500/lot
Burning Permit Sec. 5-5-4 No cost
Fence Permit Sec. 11-19-4.A
Basic Permit $50.00
Easement Encroachment $100.00
Second Driveway Permit Sec. 11-21-6.D.4 $100.00
Home Occupation Permit Sec. 11-28-3.A $50.00
Sign Permit Sec. 11-37-7.A.3 $50.00
Natural Landscaping Permit Sec. 5-2-3.F.1 $100.00
Sewer and Water Hook-Up Sec. 8-1-4.A
Permit Included w/building permit
Inspection $50.00/hr.
New Construction Assessor’s Valuation
Estimated Construction Value<$499,999 $60.00
Estimated Construction Value>$500,000 $160.00
Swimming Pool Administrative Permit Sec. 11-18-5.B $50.00
Lawful Gambling Sec. 4-7-6.D
Investigation Fee $100.00
Archery Permit Sec. 6-3-3.L No cost
Play Field Use Res #2013-65
City Sponsored Users No charge
Recognized Youth Associations:
Ballfield $300.00/seasonal field
assignment
Soccer (4v4 size field) $150.00/seasonal field
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assignment
Soccer (Full size field) $300.00/seasonal field
assignment
Soccer (Lights) $4.00 per hour
All Other Users:
Athletic Tournaments $150.00 Per Tournament
Day Camps $20.00 Per Day
Monday-Thursday; Baseball $50.00/field/day
Monday-Thursday; Field game $50.00/field/day
Saturday/Sunday; Baseball $100.00/field/day
Saturday/Sunday; Field game $100.00/field/day
Other Charges:
Public Works Staff/Equipment Refer to Sec. 3-1-2.E.9
Portable Toilets/Trach Containers Cost incurred
Clean up of Site and/or Equipment
Replacement
A deposit may be required
in an amount approved by
the Parks and Recreation
Commission.
Park Living Memorials: Res #2012-08 Cost Incurred
Prairie Park Veterans Memorial Paver: Res #2018-43 $50.00
Engraved Bench: Res #2021-78 $2,000.00
Park Shelters: Res #2013-13
Reservable shelters are located at Carrick’s
Landing, Norin Landing, and Prairie Park
Residents $20.00/per 2-hour
reservation + sales tax
Non-Residents $40.00/per 2-hour
reservation + sales tax
Prairie Center: Res #2014-21
Activity Room
Resident $40.00/hr. + sales tax
Non-Resident $55.00/hr. + sales tax
Conference Room 1 (Fireplace)
Resident $20.00/hr + sales tax
Non-Resident $30.00/hr + sales tax
Conference Room 2 (Northeast)
Resident $15.00/hr + sales tax
Non-Resident $20.00/hr + sales tax
Conference Room 3 (Small)
Resident $10.00/hr + sales tax
Non-Resident $15.00/hr + sales tax
Conference Room 4 (Southwest)
Resident $20.00/hr + sales tax
Non-Resident $30.00/hr + sales tax
There shall be a $15.00/hour surcharge for room rentals after 5:00P Monday through Thursday, after
12:00 Noon on Friday or on Saturday or Sunday.
The City may charge additional fees (and sales tax when required) for a security officer to be present
or unusual or extra-ordinary services or facilities as determined by the Parks and Recreation Director.
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Nonprofits serving the Otsego area will have the opportunity to rent space at Prairie Center once per
month for a fee of 50% of the regular residential fee rate for that space.
Special Event Permit
City Property Sec. 8-7-6 $25.00
All Others Sec. 4-2-4 $500.00
Outdoor Entertainment Permit Sec. 4-3-4
Single Event $50.00
Reoccurring Event on the same day (s) of week
each calendar year
$50.00
C. Development Applications
Comprehensive Plan Amendment
Base Fee $500.00
Escrow – Single Family $1,000.00
Escrow – All Others $3,000.00
Zoning Amendment (map or text): Sec. 11-3-2.A.1
Base Fee $500.00
Escrow – Single Family $1,000.00
Escrow – All Others $3,000.00
Variance: Sec. 11-6-4.C.1
Base Fee $500.00
Escrow – Single Family $1,000.00
Escrow – All Others $5,000.00
Conditional Use Permit: Sec. 11-4-2.A.1
Base Fee $500.00
Escrow – Single Family $1,000.00
Escrow – All Others $5,000.00
Interim Use Permit: Sec. 11-5-2.A.1
Base Fee $500.00
Escrow $5,000.00
Administrative Permit and Appeals: Sec. 11-8-2.A.1/
Sec. 11.7-3.D
Base Fee $200.00
Escrow $400.00
Site Plan Review: Sec. 11-9-3.A.1
Base Fee $500.00
Escrow $5,000.00
Concept Plan/PUD Concept Plan: Sec. 11-3-2.A.1
Base Fee $500.00
Escrow $5,000.00
PUD Development Stage Plan: Sec. 11-36.4.D
Base Fee $500.00
Escrow $5,000.00
PUD/CUP/IUP Approval Extension: Sec. 11-4-5.B.3/
11-5-6.B.3
Base Fee $200.00
Escrow $1,000.00
Sketch Plan/Preliminary Plat: Sec. 10-5-2.A.2
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Base Fee $500.00
Escrow $5,000.00
Final Plat: Sec. 10-5-3.A.4
Base Fee $500.00
Escrow $5,000.00
Administrative Subdivision: Sec. 10-4-2.C
Base Fee $200.00
Escrow $800.00
Environmental Assessment Worksheet Review
Base Fee $500.00
Escrow $2,000.00
Development Contract/SIPA – Minimums
Legal Escrow $1,500.00
Engineering / Construction Observation Escrow $10,000.00
City Administrative Fee $1,500.00
D. Development Fees
Water Availability Charge Sec. 8-1-5.B $4,596.00/REC
Sewer Availability Charge Sec. 8-2.5.B $3,171.00/REC
Storm Water Impact: Sec. 8-4-1
Lefebvre Creek $3,165.00/gross acre
Otsego Creek $4,972.00/net acre
North Mississippi Watershed $8,851.00/gross acre
Park Land Fee in Lieu of Land Dedication: Sec. 10-8-15
Residential Development $3,950.00/du
Commercial Development $10,680.00/gross acre
Industrial Development $2,418.00/gross acre
Street Lighting Sec. 10-9-11
Street Light Operation (new installation) $500.00/fixture
Decorative Street Light (Parkview Retail & GRC) $8,200.00/fixture
CSAH 39/TH 101 AUAR NA $280.00/gross acre
E. General Government Services
General Labor (minimum 15 minutes) $30.00/hr.
Copies:
Black & White $0.25/per page
Color $0.50/per page
Zoning Confirmation Letter $60.00/parcel
Special Assessment Search $35.00/parcel
Returned Check Fee $30.00
Assessment Administration Fee $100.00/parcel
Assessment Roll Copy $100.00
Special Meeting $500.00
Candidate Filing Fee $25.00
Radon Test Kits $5.00/each
Inspection Fee Sec. 9-4-3
Fire Sprinkler Inspections Residential (townhomes) $1.50/per square foot
Fire Sprinkler Inspections Commercial Based on Valuation
Other (non-permit) Building Safety Inspections $150.00 + $75.00 for each
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re-inspection
Biannual Fire Inspection (commercial, industrial,
and institutional uses)
No charge for the first two
inspections/costs incurred
for any other inspection
FOG Interceptor/Separator Inspection Sec. 8-3-11.E No charge
Public Works (not otherwise specified)
Labor per Employee – Full Time $50.00/hour + overtime
per City Policy
Labor per Employee – Seasonal $25.00/hour + overtime
per City Policy
Equipment:
Tandem Axle Dump Truck $140.00/hr.
Single Axle Dump Truck $55.00/hr.
Front-End Loader (3 Yard) $110.00/hr.
Front-End Loader (1.5 Yard) $80.00/hr.
Grader $168.00/hr.
Excavator $95.00/hr.
Skid Loader $55.00/hr.
Skid Loader (Large) $70.00/hr.
Tractor with Attachment $50.00/hr.
Utility Terrain Vehicle (UTV) $40.00/hr.
Message Board Trailer $13.00/hr.
Portable Generator Trailer (150 kW) $85.00/hr.
Portable Generator Trailer (200 kW) $115.00/hr.
Crane Truck $55.00/hr.
Wood Chipper Trailer $75.00/hr.
Water Tanker Truck $62.00/hr.
Pickup (1/2 Ton) $30.00/hr.
Pickup (3/4 Ton) $35.00/hr.
Pickup (1 Ton) $40.00/hr.
Zero Turn Lawn Mower $30.00/hr.
Bucket Truck $45.00/hr.
Walk Behind Snowblower $17.00/hr.
Utility Trailer $20.00/hr.
Trash Pump (w/ Hoses) $25.00/hr.
Hand Tools $5.00/hr.
Jet-Vac Combo Truck $125.00/hr.
Jetter Truck $100.00/hr.
Front-End Loader & Snowblower $210.00/hr.
Street Sweeper $180.00/hr.
Sandbags/Sand $10.00/bundle of 30
sandbags
Items Not Listed:
City Equipment FEMA schedule of
equipment rates
Rental Costs incurred
Minimum Charge One (1) hour
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Expenses, Services, Supplies Actual cost + 15% + sales
tax
F. Animals
Impound/Release Permit Sec. 6-2-11.C All costs incurred
Fowl Keeping License Sec. 11-26-4.G.9 $20.00
G. Public Safety
Administrative Enforcement Civil Penalties Sec. 1-5-3.B
Class A (animal violations) $50.00
Class B (zoning violations- except signs) $200.00
Class C (nuisance, sign ordinance, business license,
and building regulation violations)
$200.00
Nuisance Abatement Fee $200.00 + costs incurred
False Alarm Charge: Sec. 3-2-4
Fire No charge for first three (3)
alarms, $200.00 for fourth
(4) alarm, $200.00 + $50.00
for each successive alarm
per calendar year
Other No charge for first three(3)
alarms, $50.00 for fourth(4)
alarm, $100.00 for each
successive alarm per
calendar year
Fire Services Charges Sec. 3-2-3
Mutual Aid:
Agriculture, Residential Building, Vacant Parcel Cost incurred
Commercial, Industrial, Institutional Building Cost incurred
H. Engineering
Wetland Delineation Review Sec. 11-16-5.B
Base Fee $200.00
Escrow $2,000.00
Water Tower/Antenna Review $3,500.00 escrow
Street Sign (sign + installation of new sign) Engineering
Manual
$250.00/sign
Certification of Grading: Sec. 11-16-5.G
Initial Survey Review $150.00/lot
Each Re-Inspection $125.00/lot
Petition for R.O.W. or Easement Vacation: Sec. 8-6-19
Base Fee $500.00
Escrow $1,000.00
Total $1,500.00
R.O.W. Permit: Sec. 8-6-7.A
Excavation Fee $200.00 + cost incurred
Obstruction Fee $2,000 or $2.50/ft
whichever is greater
Obstruction Escrow $5,000 or $2.50/ft
whichever is greater
Small Wireless Facility:
10
Management Fee $200.00
Annual lease fee for use of City structure $150.00
Annual collocation maintenance fee $25.00
Electrical service fee Cost incurred
Site Development (Grading) Permit: Sec. 9-6-3.D
Up to five (5) acres $500.00 escrow
More than five (5) acres $1,000.00 escrow
GIS Data Entry: Engineering
Manual
Residential $100.00/acre
Commercial, Industrial, Other $250.00/lot
Public Improvement Assessments: Sec. 3-1-2.I
Single family, two-family, and townhouse dwelling
street assessment in accordance with the adopted
Public Improvement Assessment Policy.
Not to exceed $1,092.00
I. Public Utilities
Municipal Water and Sewage Usage Rate Sec. 8-1-5.B Water and Sewer usage
rates are established by the
City Council with passage of
a separate resolution on an
annual basis. Any usage
rate increases will be
effective with the March
billing
Watering Ban Violation Fee Sec. 8-2-6.E $50.00
Delinquent Account Late Fee Sec. 8-1-9.A 5.00% on the unpaid
portion of the account
Delinquent Account Administration Fee Sec. 8-1-9 $100.00
Water Disconnect/Reconnect At Service Valve
Fees
Sec 8-2-3.B A minimum of $75.00 will
be charged, which includes
one hour of labor.
Additional labor will be
charged in 15-minute
increments at the Public
Works labor rate.
Equipment and material
charges will apply as
necessary
Annual Storm water District Utility Fee for lots of
final platted after November 15, 1990
Sec. 8-4-2
Agricultural Districts:
A-2 District $43.74/parcel
Residential Districts:
R-C, R-1, R-2, R-3 Districts $46.91/lot
R-4A, R-4 Districts $22.66/lot
R-5 Districts $17.96/unit
R-MH District $12.10/unit
R-6 District
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Single Family lot $17.96/unit
Other dwelling unit $9.37/unit
R-7 District
Single Family lot $17.96/unit
Twin home or townhouse dwelling unit $9.37/unit
Multiple family dwelling unit $4.21/unit
Business Districts $96.87/gross acre
Industrial Districts $96.87/gross acre
Storm Sewer Surcharge (Sump Pump) Sec. 8-3-7.D.4.b $50.00/month
J. Franchise Fees
Cable franchise application Sec. 4-10-9 $5,000.00
Section 2. This Ordinance shall become effective January 1, 2026, upon its passage and publication
according to law.
(Remainder of page intentionally blank signatures follow)
12
ADOPTED by the Otsego City Council this 8th day of December, 2025.
MOTION BY:
SECONDED BY:
IN FAVOR:
OPPOSED:
CITY OF OTSEGO
__________________________________
Jessica L. Stockamp, Mayor
ATTEST:
__________________________________
Audra Etzel, City Clerk
1
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
SUMMARY OF ORDINANCE NO.: 2025-12
ORDINANCE AMENDING THE CITY CODE REGARDING THE 2026 FEE SCHEDULE.
NOTICE IS HEREBY GIVEN that on December 8, 2025 the City Council of the City of Otsego,
Minnesota adopted Ordinance 2025-12.
NOTICE IS FURTHER GIVEN that the ordinance adopted by the City Council amends City Code
establishing advisory compensation and the 2026 schedule of fees, charges, and expenses for various City
services and facilities.
ADOPTED by the City Council of the City of Otsego this 8th day of December, 2025.
CITY OF OTSEGO
BY: Jessica L. Stockamp, Mayor
ATTEST: Audra Etzel, City Clerk
Pursuant to Minnesota Statutes 412.191, Subd. 4 and 331A.01, Subd.10, this Ordinance is published in
summary form. Complete copies of the ordinance are available for inspection by contacting the City Clerk,
Otsego City Hall, 13400 90th Street NE, Otsego, Minnesota 55330 during regular office hours.