Council advances planning and zoning fee changes; public hearing set for UDO short‑term rental registration

The City Council moved ordinance 2026‑10C to second reading on April 21 after Deputy Mayor Tony Steinhardt described proposed changes to the City of Madison building regulations fee schedule.

Steinhardt said the fee updates follow the city’s recent Unified Development Ordinance (UDO) update and a review of comparable communities. “One of the fees that I want to highlight is the short‑term rental permit fee. That is set by the state of Indiana as a maximum. It’s a one‑time fee,” he told the council, adding the city will require annual registration for short‑term rentals and that the initial registration will be set at the $150 state maximum.

He said the planning commission unanimously recommended the fee updates and that the city will post comparative charts and a time‑cost analysis at the public hearing. Steinhardt also said a state statute passed in the last session limits a municipality’s ability to review certain rates to once every five years; the city plans to align its fee‑review cycle with that change.

Council members asked for an estimate of revenue the changes might generate; Steinhardt said staff will prepare revenue comparisons and figures for the council and for public distribution ahead of the May 6 public hearing. The council scheduled that hearing for May 6; consultant Amy Williams will present the analysis at that meeting.

No final vote was taken on April 21; the ordinance advanced from first reading to a May public hearing and further consideration.