Housing development often faces delays due to cumbersome permitting processes. Cities are now leveraging artificial intelligence (AI) to address one of the main culprits: incomplete applications. New federal funding initiatives aim to support these efforts, providing a boost to local government resources.
AI is equipped to handle labor-intensive tasks such as scanning applications for errors, minimizing the need for multiple corrections. This approach retains human oversight for final decisions. A recent federal housing law has introduced an Innovation Fund allocating $200 million annually to accelerate permitting processes, while the U.S. Department of Housing and Urban Development (HUD) is granting up to $3 million to jurisdictions implementing automated permitting systems.
Syracuse, New York, and other cities like Coeur d’Alene, Idaho, and Richland, Washington, have sought HUD grants. Syracuse’s Chief Information Officer, Vincent Scipione, emphasized the need for data governance and algorithm transparency in their AI systems. The goal is to facilitate more accurate applications from developers, thus curbing prolonged revision periods.
Major cities such as Baltimore, Denver, and Los Angeles have adopted AI tools to streamline housing permits. Smaller cities like Everett, Washington, and Lebanon, New Hampshire, are following suit. In March, Denver approved a five-year contract for an AI Guided Plan Review platform to tackle backlogs, aiming to improve first-round application acceptance from 37% to 80%.
Despite AI’s potential, there are concerns about its accuracy and ability to handle complex zoning issues, as voiced by Denver Council member Flor Alvidrez. Meanwhile, Louisville, Kentucky, is piloting an AI-assisted system that uses GIS data to flag incomplete applications, potentially reducing resubmissions by over 50%.
CivCheck
Honolulu pioneered AI in permitting with CivCheck, which automates application reviews against local codes. Director Dawn Takeuchi Apuna emphasized that AI isn’t replacing staff but rather augmenting efficiency by eliminating manual checks of incomplete applications. A Civil Beat review reported a 40% reduction in median wait times for permits.
CivCheck has significantly decreased review cycles and correction numbers, with Honolulu reporting a drop from 73 days to 32.5 days in average application processing time. However, Seattle’s pilot of CivCheck, while promising, has not yet been fully adopted due to logistical considerations. CivCheck continues to collaborate with multiple cities, achieving a 50% reduction in permit review times.
A two-way street
Zhenia Dulko from the American Planning Association highlights that AI allows planners more time for human-centric tasks. An Urban Economics paper suggests that reducing permit approval times by 25% could boost housing production by 24%. Nonetheless, some officials stress that applicant errors contribute significantly to delays.
Saf Rabah, CEO of Govstream.ai, underscores the need for better guidance in the permitting process. Missteps often occur when applicants choose incorrect permits, lacking validation and guidance. AI tools like CivCheck aim to mitigate these issues by streamlining the application process.
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