
It is estimated that, nationally, there is a shortage of between 1.5 to 3.8 million housing units. States have explored numerous methods to address this crisis, such as grant programs, zoning reforms, and permitting changes, but with local control overseeing much of the building and code review process, states may need to engage with and approve local changes to “build their way out” of this crisis. In addition to local efficiency and support proposals, many states have trended towards allowing third-party inspections and plan reviewers in recent years, but only a few have taken the innovative step of allowing qualified third-party experts to issue building permits—in certain specific use cases, with time requirements, and subject to government review.
Though nearly all states still require local building officials to sign off or leave the permitting process in the hands of county and municipal governments, some states, like Florida, allow for residential property owners to bypass the local building official issuance process for a building permit. This process requires that specific qualifications are met in order to approve the private provider this alternative form of permit. For example, the owner and/or their agents must agree not to hold the local jurisdiction accountable. Other states, such as Wisconsin, establish statewide building standards and processes to allow for approved third-party inspectors to be utilized across the state upon being registered with the State Department of Safety and Professional Services.