Public Hearing Set for Land Use Assumptions and Infrastructure Improvement Plan for Impact and Capacity Fee Update
The Queen Creek Town Council recently approved a motion to publish the Land Use Assumptions (LUA) and Infrastructure Improvement Plan (IIP), and set a public hearing for June 5, 2019. Posting the LUA and IIP is the first step in updating the Town’s impact fees.
Impact and capacity fees are one-time fees assessed to new development to pay for critical infrastructure. The fees pay for growth’s proportionate share of the necessary public services. The Town currently assesses six impact fees: parks and recreation; transportation; fire; public safety; library; and Town facilities. The Town also assesses two capacity fees, water and wastewater.
After evaluating the impact and capacity fees, there is a proposed reduction to single-family and multi-family impact and capacity fees and an increase in non-residential fees. The updated fees are based on variety of factors, including 10-year population growth projections. With an estimated population of 84,000 in 2027, $448.7 million of new infrastructure is needed. The growth portion is $246.7 million (55%). The following financial changes also affect the amount of the Town’s impact and capacity fees:
- In 2016, the Town saved $5.2 million after refinancing debt related to transportation, the library, parks and Town-owned buildings. The Town is in the process of paying off $20.8 million in wastewater debt.
- In 2018, the Town issued a $75 million bond to fund transportation, fire and public safety.
- Reconciliation of the impact and capacity fee accounts resulted in adjustments that lowered the amount needed from fees.
The public hearing on June 5 provides an opportunity for input on the LUA, IIP and draft fees. The remaining steps in the impact fee process, guided by state law, are outlined below:
- July 17 - Possible approval of LUA and IIP
- Sept. 4 - Public Hearing regarding fee study
- Oct. 16 - Possible approval of impact fee ordinance
- January 2020 - Proposed impact fee effective date
The process to update capacity fees is shorter with a proposed effective date of July 1, 2019. To view the LUA, IIP and draft fees visit QueenCreek.org. To stay updated on events and activities in the community, follow the Town on Facebook.com/QueenCreek or Twitter.com/TownofQC.
Constance Halonen-Wilson, Public Information Officer