I assume that you have zoning and that your property is zoned residential. If so, I would have pointed to that and told them that per zoning they will not let you build a commercial storage warehouse in the first place...
In Pennsylvania they recently went to a statewide Code based on the International Construction Code (ICC). Used to be that you could build something in one place and be required to build to BOCA (Building Officials Code Administrators) and less than a mile away the same exact building had to be built to UBC (Uniform Building Code) - or even if they were both BOCA, each municipality had their own laundry list of clauses, addenda, and such. And Pennsylvania is divided up by town, borough, township, and such instead of counties or larger governing bodies. From my house, I can drive a five mile loop and pass through four different jurisdictions.
Anyway, the statewide code was supposed to eliminate a lot of this confusion. To some extent it has. Everyone is starting with the same basic code, but there are still some of the clauses, addenda, and all of that. They also required the jurisdictions to either have a municipal employee who is a certified code official or they have to contract out to have a certified code official do the reviews.
One thing that it has cut down on is the small town code officials picking favorites and such as the small towns really cannot afford to have a dedicated code official and end up contracting out to engineering firms. But I have run into some rural areas where the local engineering firm is the big fish in a small pond and decides that he's going to dictate everything.
The downside to all of this is that if you make it more difficult than it needs to be, then people do what you're saying you'll do next time - just don't apply for a permit. In a lot of cases, that isn't going to make much of a difference. But then you'll also get someone in there who has no idea what they are doing that will end up building something dangerous and you'll have a fire, it'll fall down, or something else will happen and there will be injuries.
As an architect, I take my profession seriously. Just as you'll bandage up minor injuries yourself or go before the judge for a traffic ticket on your own or do your own taxes, you'll probably also reach a certain point with these things where you'll go to a doctor, get a lawyer, or get an attorney when you get in over your head. And I see all too regularly when people are in over their head with building issues - mold, leaks, bouncy floors, sagging roofs, and an endless host of other issues.
Ok... I've rambled on long enough...
