AUSTIN — Austin City Council is scheduled to vote Sept. 24 on two contracts that would bring Clariti enterprise permitting software to the city in a potential overhaul of how Austin handles permits, licenses, inspections, enforcement and land management. The agreements could cost as much as $60 million combined. One contract would authorize the software at an estimated cost of about $10 million for its first three years, with the option to extend the agreement for up to six additional years. A separate contract valued at $31 million would cover professional services to implement the system. City staff said Austin’s existing system has accumulated extensive customization over more than a decade, creating maintenance and development problems. The proposed replacement is intended to reduce that customization, automate more processes and create a more scalable and transparent system. The timing matters for Austin’s housing market. Data from the city and an analysis by Team Price Real Estate indicate that the city issued about 14% fewer building permits in June than it did in June 2025. Jason Haskins, director of construction and design for Foundation Communities, said permitting has consistently been among the biggest challenges facing the nonprofit affordable-housing developer. Foundation Communities is preparing to complete Burleson Studios, a 104-unit affordable-housing project, around October. Haskins said the city’s Development Services Department has made progress, but construction projects still require coordination among numerous departments, including Austin Water, Energy and Fire. That complexity, he said, is part of why permitting delays can be difficult to address. He initially expressed concern when he learned the proposed system could include artificial-intelligence plan review. After hearing from developers involved in pilot programs, however, Haskins said he came to view the technology as a tool that could shorten reviews and improve efficiency rather than a cure-all for the city’s development challenges. “Any permitting delay actually leads to more cost for affordable housing and just housing in general,” said Awais Azhar, executive director of HousingWorks Austin. Azhar said Austin appears to be moving in a better direction on housing affordability, but argued that reducing the time projects spend in permitting and development services could produce savings for developers. Housing advocates hope those savings would ultimately reach property owners and renters. The contracts would still require council approval. The city did not provide a comment before the vote, and Clariti had not responded to a request for comment.