Transportation Impact Fee Study

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Transportation Impact Fee Study

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Related Presentation Materials:

February 15, 2017: Infrastructure Cash Flow Discussion (Town Council Meeting)

February 25, 2017: Infrastructure Funding Source Summary (Town Council Strategic Planning Session)

March 1, 2017:  Initial Discussion of Impact Fees (Town Council Meeting)

March 15, 2017: Proposed Calendar & Public Input Process (Town Council Meeting)

April 5, 2017: Presentation & Discussion of Transportation Impact Fee Report (Town Council  Meeting)

April 5, 2017:  Traffic Flow Analysis Presentation (Town Council Meeting)

April 10, 2017: Corrected slide (slide #66) for April 5 presentation

Due to the need for new and improved roadways, the Town conducted a Transportation Impact Fee Study to identify funding for the new roadways and projects listed in the unanimously approved Queen Creek Transportation Master Plan. The 10-year plan totals $195 million for 41 projects and builds 91 new lane miles.

The study analyzes the Town’s transportation impact fee, a one-time fee assessed to new development (residential and commercial) to pay for necessary public services needed to accommodate growth. The preliminary findings of the study indicate that in order to build the $195 million roadway plan, the fee charged to new growth may possibly need to increase.

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Changing the transportation impact fee requires a series of public hearings held over several months.

July 19 - First Public Hearing

The study identifies $195 million of costs for roadway projects divided between non-growth (existing residents and visitors) and growth (new residents and developments); the non-growth portion is $79 million, or 40%, which will be funded through the Town’s operating budget. The growth portion is $116 million (60%), funded through transportation impact fees, construction sales tax and other governmental entity contributions.

The Town’s current transportation impact fee, adopted in 2014, is $1,263 for a single-family home. The study concludes the Town’s transportation impact fee could be $3,927 per home for new growth to pay their proportionate share of new roadways. The study also accounts for non-residential growth as part of the fee structure.

The study’s findings to possibly increase to the transportation impact fee are based on a variety of factors, all of which have increased, including population, miles traveled and new lane miles.

Other funding methods are also being considered; no changes can be made to the transportation impact fee until approved by the Town Council at the yet to be scheduled fourth public hearing.

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