Someone here must start talking about the naked king… Everyone is talking lately about the decline at the beginning…

Someone here has to start talking about the naked king ... everyone is talking about the decline in the beginning ...

Someone here has to start talking about the naked king… Everyone has been talking recently about the decline in construction starts, but for some reason, the main cause of this decline is ignored, which is the delusional (!) Situation that exists in the country today in the licensing sector. Remember Amendment 101 that was supposed to streamline processes? So it is, not. It turns out that this is not a fix but more of a fix, and the situation is only becoming unbearable day by day. Desperate architects, stunned lawyers, developers are moving to invest abroad, and even licensing engineers on helpless committees….

Something has to be done to put some sanity and judgment into the regulation of building licensing. For those who are not really savvy, here are some points from the field of folly of the field, the State of Israel 2018:

1. Portfolio only after planning:
The information file, which was submitted to applicants by the licensing committees, is a binding document that has formed the basis for both proprietary transactions and architectural design over the years. Following the reform, the information file can only be ordered by the requesting editor (architect). The requested design so that it can actually order the information portfolio only after it has already collected all the information itself and after completing the initial planning of the project… So to whom and why is the information intended if the project is already planned? Why can't reliable information be obtained for real transactions? " Nate? And why lay the responsibility on the architects?
* Selected quote: "Forget about the information portfolio that used to be, today's information portfolio is no longer really supposed to give you information ..."

2. The time frame for the authorities actually works against the entrepreneurs:
The new law grants the authorities a 45-day timeframe for delivering the information file (about three calendar months). And what happens if the committee does not meet the deadlines and fails to provide the information in the allotted time? Apparently, the request simply closes and an "exemption" is obtained from an information file ... The planner and the developer have to decide whether to restart the entire information request process, and wait another three months, or to bet and apply for a permit without an information file. Although the architect has already obtained all the necessary information himself, here lies the trap: he does not have any binding document from the committee, and during the examination of the application the committee can come up with various and different requirements that have never been published and even reject the application outright after many months of waiting ...
* Selected quote: "How dare you submit without a briefcase? If you only had a briefcase you would know that ..."

3. Inconsistencies and frequent policy changes:
The lawsuits and policy documents are full of unclear, contradictory, non-applicable instructions, and those that are subject to different interpretations. In some committees, in recent years, the possibility to meet with the licensing engineers for consultation before submission has been canceled, and there is no one to ask, no one to check with... even if the planner has done research and plan in accordance with the precedents, it turns out that the committee can demand otherwise... it is not obliged to be consistent, and may change the planning policy just like that without publishing or warning, even if the result from the developer's point of view is re-planning, a delay of years or a loss of millions...
* Selected quote: "Yes, it was approved in the past, but just last month the department manager made a decision that he no longer approves…."

4. Automatic refusal of request instead of permit:
The 101 amendment establishes rigid schedules that require planning committees in the licensing process. But again, what happens if the committee doesn't meet the deadlines? Even if the application is perfectly valid and deserves a permit, an automatic decision is made: refusal. The application editor and entrepreneur are required to decide whether to go through the whole process again from the beginning and wait months for further review, or to go to a district appeals committee, and there to linger for months. Instead of licensing procedures becoming shorter and more efficient, they only get longer and cumbersome!
* Selected quote: "Sorry, we currently have a large load of cases, and one of the examiners went on maternity leave, so we can't stand the times ..."

5. The eases that complicate the licensing process:
Anyone who hoped that Amendment 101 would reduce uncertainty by eliminating relief and inserting rights into the Plaintiffs was also sued on this issue: The amendment to the law does not prohibit or restrict the use of reliefs, and many of the committees even deliberately toughen the Plaintiffs' provisions, allowing them to apply for permits More and more ease that could greatly improve the design, simply to increase revenue from the improvement levies. Instead of setting uniform and clear criteria, uncertainty only increases, and every project developer has to gamble, and allocate considerable time and resources on advertising, objections, appeals, and improvements.
* Selected quote: "You can ask for relief, it is impossible to know in advance whether it will be approved ..."

6. Improvement levies are calculated a moment before receiving the permit:
The improvement levies are calculated by the municipalities just a moment before the permit is received. There are no mandatory collection criteria and it is not possible to ascertain the level of the levy during the process, although it was appropriate to make the calculation when the relief was published or at the latest with the decision of the committee. Only after the developer has passed seven sections of hell, and just before arriving to take from the committee the signed permit, is he required to pay a hefty levy (which sometimes reaches a million shekels), depending on the assessment of the assessor acting on behalf of the municipality. An appeal can be filed with a counter-appraisal (and usually the amount of the levy can be reduced by tens of percent), but that means a delay of at least a few more months. The developer becomes a captive customer, so he wants to get the permit already, and has to pay whatever amount he needs, Even if it's not justified ...
* Selected quote: "Before treatment is over we cannot transfer the case to the improvement department ..."

And that's just the tip of the iceberg. Instead of addressing the root of the problem, and producing licensing efficiency and transparency, in order to encourage entrepreneurs and increase supply, the State of Israel is doing exactly the opposite (and at the same time, it is busy lowering the construction standard for "cost-per-mortgage" projects, and causing young homeless people to invest everything they earn. Once to grill a cat in a sack…)

Friends, how in 2018 do we let all this happen? Where will we go? And what to do to change that ??

The original link to a Facebook post

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  1. As a member of the committee I agree with your words, on the other hand it is the law and our hands are also tied, by the way, with us the request is forwarded immediately after the request is approved for an appraiser's inspection, and not at the last minute... before receiving the permit.

  2. Dana you wrote so right.
    I think a good part of this problem is as a result of the following:
    1. The licensing officials in most cases are people with no experience in the field - they have not worked for enough time outside and they do not have enough knowledge and understanding to make decisions and understand what is really essential to the inspection.
    2. No clerk including commission engineer has any responsibility for decision / comment / delay they take / factors
    3. The person who actually manages the committees and makes the decisions is the Attorney General, and so often decisions are made that are in the right, an angle and a legal interpretation rather than the planning.

  3. Hello everyone
    Dana Cohen and Yeshkin's article is amazing.
    I do not know it, but from more than 35 years in the construction industry of which last 25 years in residential construction entrepreneurship I can say unequivocally that I have not heard in any of the seminars to which hundreds of architects and developers who are trying to hear practical lectures and truth data, review So interesting, professional
    Sharp and exhaustive of all the torture mask we go through until we hold the building permit in hand.
    And to Dana I was surprised by what you wrote in a way that was absorbed so quickly by the blood of the architects and engineers.
    And for anyone who wants to hear a unique and engaging professional and practical course on how to approach all the issues of entrepreneurship in residential construction
    Welcome to join the Technion Certificate Course at the Sharona Complex in Tel Aviv in a new and unique course that will open at 30.5.18.
    There you can hear a practical lecture that has already been heard in the Technion's Masters degree and has received excellent echoes.
    Anyone interested in more details to contact me in private or email
    Or 0509-497085 mobile.
    Writer Ze'ev Ginsburg is a graduate of the Technion in Haifa, the CEO of an entrepreneurial company mainly engaged in the demolition and rebuilding of 38-2.

  4. disgrace
    Shadow Government
    The left hand does not know what the right hand is doing
    Instead of encouraging and simplifying processes as well as setting a reasonable time of up to 18 months for a building permit for large projects and any committee that does not comply with the law, then the mayor of the committee in question will have to give explanations for this and will even be required to provide a compensation mechanism for the developer
    All this implies
    Many projects went on sale
    And will affect housing prices in the near and far term

  5. Every time they try to give the impression that something good is going to happen, they send a referent that declares that you will work according to the law, I am with you in every question. And when you get to the referent question, it is not exactly found and you have to ask the licensing inspectors to understand what the policy is and what can be submitted. It will be possible to open, and what will happen, they explained better than me

  6. Dana, you managed to describe well the indescribable - the "Kafkaesque" reality in which we architects are forced to act. It is sad that every time they try to reform the planning process, there is the bureaucratic way of complicating everything again. It's time for a real change!

  7. Dana Cohen-Vishkin Architects (Dana Cohen Vishkin) Dear Dana, You expressed the feelings of the crowd (architects, developers, contractors, tenants) excellently… We have meetings with the appropriate parties. When there is news in my mouth, I will answer you here. In the meantime, you are more than welcome to join us in the "Association of Independent Engineers and Architects in Israel" and make an impact…

  8. We will not talk about the "cherry on the whipped cream" spatial guidelines designed to make it easier (I wish) to become an easy and convenient legislative tool to add more difficulties and more obstacles in planning and licensing, it's a pity that this is the case in a startup Nation !!

  9. Tzvika Lissak
    There are people who understand and live the domain of price to the user
    Is more of a risk to the risk
    Cost-Dependent Quality You Will Not Get Good Quality At The Zero Price The Builder Will Save Only Where Possible And So You Will See The Apartment If You Win
    Second-hand apartment deals are there and the market is not frozen at all
    It is all political and Kahlon's interest to overthrow the contractors and cause grief for the young couples

  10. Infuriating and infuriating with all the technological changes you still have to deal with bureaucrats and cumbersome inefficient bureaucracy if you don't have personal connections you are marginalized
    What exactly is proud of the 70 celebrations for the country

  11. You do not want to design,
    Do not want you to submit,
    Do not want you to build,
    Won't help you,
    It won't be easy for you,
    Will not make sense,
    Do not want, do not want, do not want, do not want !!!!!

    I have submitted several permit applications in the last two years in several different committees (in different cities), there is not a single municipal employee in any municipal authority who is interested in helping, so this is my information file to you - for all processes from now until forever !!!

  12. I couldn't put it any better. The blame is on the lack of management of the licensing departments and the poor wages of the employees. The 101 Amendment, with an emphasis on online licensing, only exacerbated the problem that was always there: Except for Tel Aviv, the licensing departments and the city engineers did not manage the licensing. He goes on his own.