HB 405: Florida Contractors to Receive 50-75% Permit Fee Discounts Starting July 1, 2026
Key Takeaways
- HB 405 requires Florida building departments to reduce permit fees by 50-75% when contractors use private providers for commercial projects
- 50% minimum discount when a private provider handles part of plan review or inspections; 75% when they handle all of it
- Effective July 1, 2026 -- applies to all local enforcement agencies statewide
- Building departments are barred from collecting full fees if they fail to apply the discount
- Amends Florida Statute 553.791, which already gives property owners the right to choose private providers
- FCC is registered in 47 Florida counties with 150+ building department registrations and can serve as your private provider under HB 405
What is HB 405 and how does it reduce permit fees for Florida contractors?
HB 405 is a Florida law (effective July 1, 2026) that requires local building departments to reduce permit fees by at least 50% when a contractor uses a private provider for part of plan review or inspection services, and by at least 75% when a private provider handles all of that work. This amends Florida Statute 553.791 and applies to commercial construction projects statewide.
Every Florida contractor knows the feeling. You pull a commercial permit, write the check, and watch thousands of dollars disappear into fees for plan reviews and inspections that take weeks to get back. That money comes straight off your margins — and the delays cost even more in carrying costs, idle crews, and frustrated clients.
Starting July 1, 2026, the math changes. HB 405 requires every local building department in Florida to cut your permit fees by 50-75% when you use a private provider for plan review or inspection services on commercial projects.
Here is what the law says, who qualifies, and exactly how to use it.
If you already know the background and just want the numbers, skip to the savings breakdown by project size or the county-by-county estimates.
What Is HB 405?
House Bill 405 is a Florida law that amends Florida Statute 553.791 — the statute that authorizes private providers as an alternative to local building departments for plan reviews and inspections.
The bill does something building departments have resisted for years: it puts specific, mandatory fee reduction percentages into law.
Under HB 405, local enforcement agencies must reduce permit fees for commercial construction projects based on a two-tier structure:
| Private Provider Scope | Minimum Fee Reduction |
|---|---|
| Part of plan review or inspections handled by private provider | At least 50% off applicable fees |
| All plan review or inspections handled by private provider | At least 75% off applicable fees |
The law also includes enforcement teeth: if a building department fails to reduce the fees, they are barred from collecting those fees at all.
The bill was sponsored by Representatives Griffitts, Barnaby, Mooney, and Salzman, with a companion bill (SB 526) in the Florida Senate. The bill analysis from the Commerce Committee provides additional background on the legislative intent.
How Much Will Contractors Save?
The short answer: far more than most contractors realize — and most of it has nothing to do with permit fees.
The Real Savings: Time, Not Fees
Every week a commercial project sits waiting on a plan review or inspection, the meter is running. Insurance premiums, equipment rentals, loan interest, overhead costs, and crew wages do not stop because the building department is backed up.
Industry estimates put the cost of permitting and inspection delays at roughly $30,000 per single-family home. For commercial projects, those numbers scale significantly. A 3-week delay on a $5M commercial build can easily cost $15,000 — $25,000 in carrying costs alone, not counting the opportunity cost of crews that could be on the next job.
That is where FCC changes the math:
- 2-day average plan review turnaround for commercial projects — versus 3-6 weeks (or longer) at most building departments
- Instant live virtual inspections — request an inspection, get matched with a licensed inspector in minutes, have your result before the call ends. No scheduling windows, no inspector no-shows, no idle crews.
- Offline inspection option — submit photos and videos through the app, get results in 1-2 hours. Your crew keeps working.
On a mid-size commercial project where building department plan reviews take 4 weeks and inspections add another 2-3 weeks of cumulative delays, switching to a private provider like FCC can eliminate $15,000 — $30,000+ in carrying costs. That is real money — the kind that hits your bottom line harder than any permit fee.
HB 405 Permit Fee Discounts: Additional Savings on Top
On top of the time savings, HB 405 mandates permit fee reductions for any contractor using any private provider — not just FCC, but any firm authorized under Florida Statute 553.791. This is law, not a promotion.
Permit fees vary significantly by county and municipality, but the math is straightforward. Take your current permit fee amount that covers plan review and inspection services, then apply the 50% or 75% reduction depending on how much work your private provider handles.
Here are three realistic scenarios:
Scenario 1: Small Commercial Buildout ($500K project value)
Typical permit fees: ~$4,000 — $6,000
Plan review and inspection portion: ~$2,500 — $4,000
- Private provider handles part of services (50% reduction): Save $1,250 — $2,000
- Private provider handles all services (75% reduction): Save $1,875 — $3,000
Scenario 2: Mid-Size Commercial Project ($2M project value)
Typical permit fees: ~$12,000 — $18,000
Plan review and inspection portion: ~$7,500 — $12,000
- Partial private provider (50% reduction): Save $3,750 — $6,000
- Full private provider (75% reduction): Save $5,625 — $9,000
Scenario 3: Large Commercial Build ($10M+ project value)
Typical permit fees: ~$40,000 — $60,000+
Plan review and inspection portion: ~$25,000 — $40,000
- Partial private provider (50% reduction): Save $12,500 — $20,000
- Full private provider (75% reduction): Save $18,750 — $30,000
The total picture: FCC saves you $15,000 — $30,000+ in time and carrying costs by eliminating weeks of delays. HB 405 adds thousands more in mandated permit fee discounts on top. Combined, the savings on a single mid-to-large commercial project can easily exceed $20,000 — $40,000.
Who Qualifies for the HB 405 Discount?
The discount applies when:
- The project is a commercial construction project in Florida
- The owner or contractor retains a private provider for plan review services, building inspection services, or both
- The private provider is authorized under Florida Statute 553.791
The effective date is July 1, 2026. After that date, all local enforcement agencies — every county and municipal building department in Florida — must apply the fee reductions.
Important distinction: HB 405 specifically addresses commercial construction. Residential projects already benefit from the existing private provider framework under F.S. 553.791, where property owners typically receive 25-40% fee reductions. If you are a residential contractor using private provider plan reviews, those existing discounts continue to apply.
How to Use a Private Provider Under HB 405
If you have never used a private provider, the process is simpler than most contractors expect. Here is the step-by-step:
- Choose a private provider. Select a firm registered with the building department in your project's jurisdiction. FCC is registered in 47 Florida counties with 150+ building department registrations.
- Submit your plans for review. Send your construction documents to your private provider. FCC averages 2-day turnaround on commercial plan reviews.
- Receive approved plans and paperwork. Your private provider returns stamped plans, the Notice to Building Official (NTBO), and any required private provider documentation.
- File with the building department. You (the contractor) submit the NTBO, private provider paperwork, permit application, and any other required documents to the building department. This is your responsibility — the private provider does not file permits.
- Request the fee reduction. When paying permit fees, present your private provider documentation. Under HB 405, the building department must reduce the applicable fees by at least 50% (partial services) or 75% (all services).
- Schedule inspections through your private provider. As your project progresses, request virtual inspections through your private provider instead of the building department. FCC offers instant live virtual inspections — no scheduling delays, no waiting windows.
- Close the permit. Upon completion of all required inspections, your private provider files the Certificate of Compliance (COC) with the building department.
County-by-County: What HB 405 Means for Your Projects
Permit fees vary widely across Florida. Here is a look at what HB 405 fee reductions could mean in some of the state's busiest commercial markets. These are illustrative ranges based on published fee schedules — your actual savings will depend on your specific project and jurisdiction.
Miami-Dade County
Miami-Dade has some of the highest permit fees in the state. Commercial permit fees are calculated based on project valuation and can easily reach $15,000 — $50,000+ on mid-to-large projects. The plan review and inspection component often represents 50-65% of the total fee.
- HB 405 fee savings (partial): $4,000 — $16,000+
- HB 405 fee savings (full): $6,000 — $24,000+
Time savings value: Miami-Dade commercial plan reviews routinely take 6-10 weeks. FCC averages 2 days. On a project with $10,000/week in carrying costs, that is $56,000 — $96,000 in time savings from plan review alone — before you add the HB 405 fee discount. Combined with instant inspections that eliminate another 2-4 weeks of cumulative scheduling delays, the total value dwarfs the permit fee reduction.
Miami-Dade has historically been one of the more restrictive counties for private providers, making the mandatory nature of HB 405 particularly significant here.
Broward County
Broward County calculates commercial permit fees as a percentage of job value — typically 3% for mechanical, plumbing, and similar trades. Premium plan review services add additional hourly charges. Total permit fees on a $2M commercial project often land between $10,000 — $20,000.
- HB 405 fee savings (partial): $2,500 — $6,500
- HB 405 fee savings (full): $3,750 — $9,750
Time savings value: Broward commercial plan reviews average 4-6 weeks. FCC averages 2 days. On a project with $8,000/week in carrying costs, that is $24,000 — $40,000 in time savings from plan review alone, plus the HB 405 fee discount on top. Add instant inspections eliminating 2-3 weeks of scheduling delays, and total savings on a single project can reach $40,000 — $55,000+.
Broward recently lifted its ban on virtual inspections, opening the door for contractors to take full advantage of HB 405 with a private provider like FCC.
Hillsborough County (Tampa)
Hillsborough County’s commercial permit fees are based on a sliding scale tied to construction valuation. A $1M — $5M commercial project typically generates $6,000 — $25,000 in permit fees.
- HB 405 fee savings (partial): $1,500 — $8,000
- HB 405 fee savings (full): $2,250 — $12,000
Time savings value: Hillsborough commercial plan reviews typically take 3-5 weeks. FCC averages 2 days. On a $3M project with $6,000/week in carrying costs, that is $15,000 — $27,000 in time savings from the plan review turnaround difference. Instant inspections through FCC cut another 1-3 weeks of scheduling gaps that would otherwise keep your crews waiting.
Orange County (Orlando)
Orange County is one of Florida's fastest-growing commercial markets. Permit fees on commercial projects typically range from $5,000 — $30,000 depending on project scope and valuation.
- HB 405 fee savings (partial): $1,250 — $10,000
- HB 405 fee savings (full): $1,875 — $15,000
Time savings value: Orange County plan reviews on commercial projects average 3-6 weeks depending on complexity and backlog. FCC averages 2 days. On a $5M project with $8,000/week in carrying costs, that is $20,000 — $44,000 in time savings. With Orlando’s commercial construction pipeline showing no signs of slowing down, building department backlogs are only getting longer — making the time savings of a private provider increasingly valuable.
Note: These are illustrative estimates based on typical fee ranges. Actual savings depend on your project’s specific permit fees and which services your private provider performs. Contact your local building department for exact fee schedules, or reach out to FCC and we will help you calculate your savings.
The Bigger Picture: Why HB 405 Matters
HB 405 is part of a broader trend in Florida toward making private providers a legitimate, cost-effective alternative to building departments — not just for speed, but financially.
Florida Statute 553.791 has given property owners the right to choose private providers since 2002. But for years, the fee reduction component was vague. Building departments had discretion over how much (if any) discount to apply, and many dragged their feet or offered token reductions that did not reflect the actual cost savings.
HB 405 removes the ambiguity. Fifty percent. Seventy-five percent. Minimum. These are not suggestions — they are mandates with enforcement provisions.
The practical effect is significant. Before HB 405, a contractor using a private provider on a commercial project might receive anywhere from 0% to 40% off permit fees depending on which building department they were dealing with. Some jurisdictions cooperated. Others made it difficult, charging full fees while a third party did the actual work. That inconsistency added uncertainty to project budgets and discouraged contractors from using private providers even when speed was a priority.
Under HB 405, the floor is 50%. For contractors who use a private provider for the full scope of plan review and inspections, that floor jumps to 75%. These are statewide minimums — individual jurisdictions can offer more, but they cannot offer less.
For contractors, this means:
- Lower project costs — Permit fee savings go directly to your bottom line
- Faster timelines — Private providers like FCC deliver plan reviews in days, not weeks
- On-demand inspections — No more scheduling delays or inspector no-shows
- Competitive advantage — Lower costs and faster delivery let you bid more competitively
- Predictability — Known turnaround times mean you can actually plan your project schedule
Key Takeaways
- HB 405 is law, effective July 1, 2026. Local building departments must comply.
- 50% minimum fee reduction when a private provider handles part of plan review or inspections on commercial projects.
- 75% minimum fee reduction when a private provider handles all plan review or inspection services.
- Building departments cannot collect fees if they refuse to apply the reductions.
- This applies statewide — every county and municipality in Florida.
- You still pull your own permit. The private provider handles plan reviews and inspections; the contractor handles the permit application and NTBO filing.
- The fee savings are on top of the time savings. FCC averages 2-day commercial plan review turnaround and offers instant virtual inspections.
Ready to Stop Losing Money to Delays?
FCC is the only company in Florida that offers instant live virtual inspections via mobile app. Contact FCC, request an inspection, get matched with a licensed inspector in minutes, and have your result before the call ends. No phone calls to an office. No scheduling windows. No inspector no-shows. No competitor and no building department offers this.
Our commercial plan reviews average a 2-day turnaround — while most building departments take 3-6 weeks. On a project with $8,000/week in carrying costs, that is $16,000 — $40,000 you keep in your pocket instead of burning while you wait.
And starting July 1, 2026, HB 405 adds mandatory 50-75% permit fee discounts for any contractor using a private provider on commercial projects. That is thousands more in savings on top of the time you already saved.
We are registered in 47 Florida counties with 150+ building department registrations. We handle plan reviews, virtual inspections (live or offline, from your phone), and everything in between.
Contractors who set up with a private provider now will be ready to claim the HB 405 discount from day one — no learning curve, no scrambling. Your team will already know the workflow, and you walk into any building department with your paperwork ready.
Stop waiting. Start saving.
Submit your plans or call us directly. Real people answer the phone.
Frequently Asked Questions
What is HB 405 in Florida?
HB 405 is a Florida law (effective July 1, 2026) that requires local building departments to reduce permit fees for commercial construction projects when the owner or contractor retains a private provider for plan review or building inspection services. The fee reduction must be at least 50% when a private provider handles part of the work, and at least 75% when the private provider handles all plan review or inspection services. The bill amends Florida Statute 553.791.
How much will contractors save under HB 405?
The savings depend on local fee schedules and how much of the work your private provider handles. If a private provider handles part of your plan review or inspections, you receive at least 50% off those permit fees. If the private provider handles all of it, you receive at least 75% off. On a commercial project with $8,000 in permit fees where 60% relates to plan review and inspections, that translates to $2,400 to $3,600 in savings.
When does HB 405 take effect?
HB 405 takes effect on July 1, 2026. Starting on that date, all local enforcement agencies in Florida must apply the mandated fee reductions for contractors and owners who use private providers on commercial construction projects.
Does HB 405 apply to residential projects?
HB 405 specifically targets commercial construction projects. However, property owners on residential projects already have the right to use private providers under Florida Statute 553.791 and typically receive a 25-40% fee reduction from building departments. Residential contractors still benefit from faster plan reviews and on-demand inspections through private providers, even without the HB 405 discount.
What is a private provider under Florida law?
A private provider is a licensed engineer or architect (or their firm) authorized under Florida Statute 553.791 to perform plan reviews and building inspections as an alternative to local building departments. Property owners have the legal right to choose a private provider, and building departments are required to accept their work. Freedom Code Compliance is a private provider registered in 47 Florida counties.
What happens if a building department refuses to reduce fees under HB 405?
HB 405 bars local enforcement agencies from collecting permit fees for plan review and inspection services if they fail to apply the required fee reductions. This means building departments cannot simply ignore the law -- if they do not reduce fees as mandated, they lose the right to collect those fees entirely.
How do I use a private provider to get the HB 405 discount?
To qualify for the HB 405 fee reduction, retain a private provider like Freedom Code Compliance for plan review, building inspections, or both on your commercial project. Submit your plans through the private provider, then file the Notice to Building Official (NTBO) and private provider paperwork with the building department when you apply for your permit. The building department is required to reduce the applicable fees based on which services your private provider is handling.
