In May, 2020, the Board of Health approved Resolution 20-12, which waived the fee for late renewal of Water Recreation Facility operating permits. The proposed resolution rescinds Resolution 20-12 and expands the scope of the late fee waiver to include all annual operating permits. This includes permitting of Food Service Establishments, Water Recreation Facilities, and Group Camps. There is a sunset clause that is timed to coincide with the ending of the declared COVID-19 emergency in Snohomish County.
Most food service establishment annual operating permits expire on December 31. Permits not renewed prior to expiration are subject to an additional $300 late fee as of January 1. With the reinstatement of “dining in” restrictions it is anticipated that some food service establishments may not be able to operate, even at reduced capacity. Staff are proposing to waive late fees for permit renewals in cases where the food service establishment is completely closed and not operating after the expiration date. Operating without a valid permit would continue to be prohibited. Existing procedures would remain in that food service establishments found to be operating without a valid permit would be subject to closure (Health Officers Order) and would be responsible for the $390 fee for permit reinstatement following closure by Health Officers Order.
In addition, communications with the Washington Hospitality Association have given us the understanding that a temporary grace or deferment of the due date for permit fees for food establishments could be greatly appreciated by the food service industry. Historically, January is a difficult month for food service establishments, and will be particularly so this year as holiday parties and catering for major events will be curtailed. As such, we propose deferring the requirement to have payment for permit fees in place by January 1, giving food establishments approximately 90 additional days to pay their fee. Along with this, enforcement actions in the form of closures dictated by Health Officer Order for unpaid annual permits would also be deferred 3 months.
The Snohomish Health District is interested in assisting with relief measures for industries we regulate whenever feasible. There have been other ideas regarding relief measures for annual fees that have been proposed to EH staff. One idea that has come up a number of times is the idea of a payment plan for annual fees or being able to accept payments in installments. The software the District uses to accept Environmental Health fees is not designed primarily as a point of sale tool, but rather for tracking EH permits and activities. It is also no longer supported by the development company from which it was purchased. As such, although we use it to accept payments, its functionality is very limited. Unfortunately, accepting partial payments, payments in installments, or pro-rating payments is not logistically feasible.
Temporary discontinuation of late fees will have a negligible effect on the Environmental Health Divisions budget. Because most of the annual food permits are due in January, the District normally receives a large amount of revenue right at the beginning of the calendar year. Deferring the due date until the end of March may result in some temporary disruption to normally expected cash flow.