As local governments confront increasing pressure to expedite the review process for residential projects, a surge of AI-driven reforms is showcasing how modern tools can significantly reduce approval times, potentially accelerating housing development. Over the past 15 years, a dwindling and aging municipal development workforce has struggled under a heavier, more complex regulatory burden, leading to a de facto national underinvestment in permitting and inspection capacity, with missing labor and delayed construction value amounting to tens of billions of dollars.
This situation is unlikely to improve in the near future. However, at the city, county, and state levels, government agencies are increasingly adopting AI technologies to streamline the development review and permitting processes. Notably, municipalities from California to Florida are utilizing AI to expedite permit issuance in the aftermath of natural disasters.
Hernando County, Florida, located north of Tampa, experienced extensive damage during Hurricane Helene last year, resulting in a surge of permit applications from residents and developers eager to rebuild. To address this influx, local officials partnered with Swiftbuild.ai and their SwiftGov application, which is designed to review lengthy application documents for compliance with building codes and zoning standards. The platform automates many tedious tasks associated with the initial zoning review process, such as evaluating landscaping requirements and measuring setbacks.
Florida law mandates that municipalities assess the status of land use applications and identify deficiencies within 30 days, a substantial challenge for a county recovering from a hurricane. SwiftGov enabled Hernando County officials to provide feedback to applicants in an average of two days, a significant reduction from the previous 30-day timeframe. A county spokesperson confirmed that zoning review times have decreased dramatically, sometimes by several weeks.
“There was a huge influx of permits, and they also had a lot of outdated systems. It was kind of the perfect storm for us to help them out, so that’s where we achieved the savings,” said John Mirkin, Co-Founder at Swiftbuild.ai.
In April, following multiple fires that damaged homes across Los Angeles County, Governor Gavin Newsom announced the launch of a new AI software created by Archistar. This initiative aims to help the city and county expedite the approval process for rebuilding permits. LA County officials stated that the AI software can review and generate reports for many building plans in just one business day.
As AI adoption spreads, Altamonte Springs, Florida, launched a pilot program with AutoReview.AI in 2023, becoming one of the first municipalities in the state to implement automated reviews of site and landscape plans. Although the pilot has concluded and the company is no longer in operation, city manager Frank Martz noted that the technology significantly improved the efficiency of the initial site plan review process, reducing the time taken from a week to just three to four minutes.
“What we found was a highly accelerated review that became possible because of the software. When you can cut days, in some cases weeks, off of site plan review, you have helped a developer save money,” Martz said.
Several large municipalities have announced similar partnerships with AI platforms this year. In June, Seattle Mayor Bruce Harrell signed an executive order mandating that all development applications in the city be reviewed through an AI pilot program led by a dedicated Permitting and Customer Trust (PACT) team, with a full rollout expected by 2026. Bellevue, a large suburban city near Seattle, has also initiated a pilot partnership with Govstream.ai.
The City of Austin, Texas, introduced an AI tool in September, in collaboration with Archistar, aimed at expediting the zoning review process for residential developers. Currently in its beta phase, city officials anticipate wider adoption soon. Earlier this year, Honolulu also announced plans to enhance its permitting process using AI technologies.
On a federal level, the Council on Environmental Quality has proposed a Permitting Technology Action Plan to leverage AI in expediting federal environmental reviews and permitting processes for a range of infrastructure projects.
Sabrina Duga, Co-Founder at Swiftbuild.ai, pointed out that government officials have shown increasing interest in AI over the past year or two—a stark contrast to the skepticism prevalent several years ago. “Imagine talking about AI to the government six years ago,” she remarked.
Despite growing acceptance, Mirkin cautioned that local governments must understand the substantial backend work required for a successful AI rollout. “Some of them are expecting that, once we have this, it’s just instant permits,” he explained. “It’s a way to enhance efficient operations, but it’s not an automatic fix. If you have inconsistent data and you throw it into AI, you’re just getting inconsistent output. There’s a lot of structure that goes into it.”
The implications for homebuilders are clear: if more municipalities can effectively reduce review times and issue permits more rapidly through AI, builders will be able to develop housing with greater speed and efficiency. The ongoing adoption of AI among local governments indicates that this technology could become increasingly prevalent in the years to come.
Mirkin emphasizes that organizations, whether local governments, nonprofits, or private sector companies, must plan thoroughly before implementing AI. “It’s not like you just click a button and it’s going to save time. You have to really take a look at processes and how it’s going to integrate into your systems,” he advised.
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