Attachment A- Impact Fee Report 2-11-2025.pdf

City of Phoenix — Formal (2025-02-19)

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ATTACHMENT A 
(10 Pages) 
 
 
 
City of Phoenix 
2025 Development Impact Fee Update 
DEVELOPMENT IMPACT FEE REPORT 
 
 
 
 
 
DRAFT 
2-11-2025 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Prepared by: 
Business & Strategy Division 
Growth, Infrastructure & Financial Stability SecƟon

1 
 
 
 
 
TABLE OF CONTENTS 
 
 
 
Overview  
2 
 
 
 
Impact Fee Area Map  
3 
 
Service Area Building Blocks 
 
4 
 
 
 
Proposed Net Fee 
Changes by Category 
 
5 
 
 
 
Fire Protection & Police 
Parks & Library 
 
5 
 
 
 
Major Arterial & Storm Drainage 
Wastewater Collection & Treatment 
 
6 
 
 
 
Water Transmission & Treatment 
Water Resources Acquisition 
 
7 
 
Proposed Total Net Fees 
 
8

2 
 
OVERVIEW 
 
The following Impact Fee Report contains descripƟons of the development impact fee area ‘building 
blocks’ and service area boundaries, a summary of growth projecƟons for each area, and the 
recommended changes to the net impact fees. 
 
IMPACT FEE AREA MAP

3 
 
IMPACT FEE AREA BUILDING BLOCKS AND SERVICE AREA BOUNDARIES 
 
Land use assumpƟons have been summarized in geographic building blocks that can be aggregated to 
the impact fee service areas applicable to each impact fee program. The impact fee service areas 
described in this report are based on the areas established in previous plans. The only notable change 
is a proposed ‘citywide’ impact fee service area for Water Treatment and Wastewater Treatment that 
would be assessed in the ‘Balance of City’ area. 
 
The following table displays how the impact fee “building block” areas are combined to make 
designated impact fee service areas for each fee category. The building block geographies are shown 
on the map on the following page. 
 
Impact Fee Category 
Impact Fee Service Area 
Building Block 
Fire Protection, 
Police, 
Parks, 
Library 
Northwest 
Northwest & Deer Valley 
Northeast 
Northeast & Paradise Ridge 
Southwest 
Estrella N, Estrella S, 
Laveen W & Laveen E 
Ahwatukee 
Ahwatukee 
Major Arterials 
Northern 
Northwest, Deer Valley, 
Northeast & Paradise Ridge 
Southwest 
Estrella N, Estrella S, 
Laveen W & Laveen E 
Storm Drainage 
Paradise Ridge 
Paradise Ridge 
Estrella 
Estrella N & Estrella S 
Laveen 
Laveen W & Laveen E 
Water Transmission 
Northern 
Northwest, Deer Valley, 
Northeast, & Paradise Ridge 
Southern 
Estrella N, Estrella S, Laveen W, 
Laveen E, & Ahwatukee 
Wastewater Collection 
Northern - WW 
Northwest, Northeast 
& Paradise Ridge 
Estrella South 
Estrella South 
Wastewater Treatment 
North of CAP Canal 
Northwest, Northeast, 
& Paradise Ridge  
South of CAP Canal 
Deer Valley, Balance of City, 
Estrella N, Estrella S, Laveen W, 
Laveen E, & Ahwatukee 
Water Treatment 
Citywide 
All ‘Building Blocks’ 
& Balance of City 
Water Resources Acquisition 
Off-Project 
Off-Project 
On-Project 
On-Project

4 
 
LAND USE ASSUMPTION QUANTITIES BY BUILDING BLOCK 
 
It is necessary to esƟmate development units at the beginning of the planning horizon. For this update 
the starƟng point or “esƟmate year” is assumed to be 2025. At the Ɵme Applied Economics, LLC, 
iniƟated their study the best available data for exisƟng development units was for 2023. The 2025 
esƟmated development units are used to calculate current Levels of Service (LOS) for certain impact 
fee categories. 
 
Estimate Year Land Use Assumptions (2025) 
  
(Dwelling Units) 
  
(000's Square Feet) 
  
SFR 
MFR 
  
Retail 
Office 
Industrial  
Public 
Other 
Northwest 
10,004 
5,108 
  
2,152 
263 
4,059 
1,534 
478 
Deer Valley 
5,195 
1,558 
  
5 
0 
27 
188 
12 
Northeast 
20,790 
5,680 
  
2,300 
1,150 
1,556 
1,805 
1,397 
Paradise Ridge 
262 
4,130 
  
1,542 
1,803 
0 
108 
2,244 
Estrella North 
2,353 
657 
  
1,774 
12 
47,308 
621 
143 
Estrella South 
17,128 
1,379 
  
1,623 
9 
18,433 
1,552 
34 
Laveen West 
22,435 
1,420 
  
2,677 
118 
1,088 
2,135 
552 
Laveen East 
6,851 
575 
  
882 
7 
285 
597 
35 
Ahwatukee 
24,405 
9,913 
  
3,015 
1,661 
1,201 
2,316 
1,135 
Balance of City 
295,911 
244,960 
  
80,067 
110,563 
114,560 
86,994 
57,187 
Citywide 
405,334 
275,380 
  
96,037 
115,586 
188,517 
97,850 
63,217 
Off-Project 
209,093 
105,345 
  
40,821 
38,736 
49,216 
24,103 
25,394 
On-Project 
196,264 
170,035 
  
55,217 
76,851 
139,301 
73,748 
37,879 
 
10-Year Land Use Assumptions (2035) 
 
  
Dwelling Units 
  
000's Square Feet 
  
SFR 
MFR 
  
Retail 
Office 
Industrial  
Public 
Other 
Northwest 
13,047 
10,822 
  
3,052 
2,388 
11,509 
1,644 
716 
Deer Valley 
5,281 
1,558 
  
5 
0 
27 
316 
12 
Northeast 
33,783 
10,696 
  
3,221 
2,512 
1,819 
1,818 
1,754 
Paradise Ridge 
3,200 
5,236 
  
1,644 
3,934 
0 
800 
2,676 
Estrella North 
2,765 
1,002 
  
1,828 
12 
51,802 
621 
143 
Estrella South 
20,640 
3,221 
  
2,042 
61 
22,292 
1,904 
34 
Laveen West 
25,639 
4,569 
  
3,759 
433 
3,144 
2,135 
1,384 
Laveen East 
7,887 
715 
  
882 
7 
285 
597 
35 
Ahwatukee 
25,195 
9,913 
  
3,015 
1,661 
1,201 
2,316 
1,135 
Balance of City 
300,735 
271,170 
  
85,080 
116,414 
123,898 
87,984 
58,846 
Citywide 
438,172 
318,902 
  
104,528 
127,422 
215,977 
100,135 
66,735 
Off-Project 
234,060 
131,988 
  
45,261 
47,335 
60,589 
25,163 
26,680 
On-Project 
204,135 
186,914 
  
59,267 
80,088 
155,388 
74,972 
40,110

5 
 
15-Year Land Use Assumptions (2040) 
 
  
Dwelling Units 
  
000's Square Feet 
  
SFR 
MFR 
  
Retail 
Office 
Industrial  
Public 
Other 
Northwest 
15,286 
13,179 
  
3,600 
4,138 
12,509 
1,644 
1,021 
Deer Valley 
5,521 
1,558 
  
5 
0 
27 
316 
12 
Northeast 
39,090 
12,589 
  
3,437 
4,115 
1,819 
1,930 
2,022 
Paradise Ridge 
4,725 
5,471 
  
1,701 
4,303 
0 
989 
2,676 
Estrella North 
2,904 
1,002 
  
1,828 
12 
51,926 
621 
143 
Estrella South 
21,112 
3,507 
  
2,222 
61 
23,476 
2,009 
34 
Laveen West 
25,759 
5,375 
  
4,128 
599 
4,244 
2,135 
1,498 
Laveen East 
7,907 
715 
  
882 
7 
285 
597 
35 
Ahwatukee 
26,121 
9,913 
  
3,015 
1,661 
1,201 
2,316 
1,135 
Balance of City 
301,164 
280,493 
  
88,093 
119,305 
127,760 
88,459 
59,662 
Citywide 
449,589 
333,802 
  
108,911 
134,201 
223,247 
101,016 
68,238 
Off-Project 
244,762 
144,550 
  
46,582 
52,547 
63,398 
25,465 
27,323 
On-Project 
204,850 
189,252 
  
62,329 
81,655 
159,849 
75,551 
40,972 
 
 
 
Buildout Land Use Assumptions (Full Absorption of Undeveloped Land within Building Block Areas) 
 
  
Dwelling Units 
  
000's Square Feet 
  
SFR 
MFR 
  
Retail 
Office 
Industrial  
Public 
Other 
Northwest 
61,155 
33,533 
  
11,655 
17,177 
42,984 
3,789 
1,541 
Deer Valley 
5,534 
1,623 
  
5 
0 
27 
316 
13 
Northeast 
54,850 
16,924 
  
7,436 
11,444 
3,568 
3,383 
2,389 
Paradise Ridge 
5,355 
6,734 
  
3,360 
16,140 
0 
989 
2,676 
Estrella North 
3,205 
1,002 
  
1,947 
12 
51,979 
621 
143 
Estrella South 
22,551 
3,649 
  
2,452 
61 
25,559 
2,253 
56 
Laveen West 
26,158 
6,257 
  
5,549 
2,267 
7,058 
2,385 
2,411 
Laveen East 
8,768 
715 
  
934 
7 
285 
607 
51 
Ahwatukee 
26,941 
9,913 
  
3,325 
1,661 
1,201 
2,316 
1,135 
Balance of City 
302,008 
291,038 
  
97,458 
126,908 
141,371 
89,821 
61,438 
Citywide 
516,525 
371,388 
  
134,121 
175,677 
274,032 
106,480 
71,853 
Off-Project 
310,372 
177,104 
  
62,507 
89,740 
102,070 
29,472 
28,391 
On-Project 
206,819 
194,284 
  
72,287 
85,937 
171,962 
77,008 
43,581

6 
 
PROPOSED DEVELOPMENT IMPACT FEE CHANGES BY FEE CATEGORY 
 
The following tables compare the current net fee per Equivalent Demand Unit (EDU) that took effect 
on April 13, 2020, with the proposed net fee per EDU pursuant to the Infrastructure Improvements 
Plans that were adopted by City Council on December 18, 2024. The net fee per EDU includes 
adjustments for qualifying fund balances and alternaƟve revenue offsets. Fee assessments are based 
on land use and will be calculated as the net fee per EDU, mulƟplied by the applicable EDU Factor. 
 
 
Fire Protection 
Police 
Impact Fee Area 
Current Fee 
Proposed 
Current Fee 
Proposed 
Northwest 
516 
1,282 
293 
348 
Deer Valley 
516 
1,282 
293 
348 
Northeast 
551 
1,165 
314 
348 
Paradise Ridge 
551 
1,165 
314 
348 
Estrella North (Off Project) 
487 
1,625 
285 
348 
Estrella North (On Project) 
487 
1,625 
285 
348 
Estrella South (Off Project) 
487 
1,625 
285 
348 
Estrella South (On Project) 
487 
1,625 
285 
348 
Laveen West (Off Project) 
487 
1,625 
285 
348 
Laveen West (On Project) 
487 
1,625 
285 
348 
Laveen East (Off Project) 
487 
1,625 
285 
348 
Laveen East (On Project) 
487 
1,625 
285 
348 
Ahwatukee (Off Project) 
470 
1,833 
342 
348 
Ahwatukee (On Project) 
470 
1,833 
342 
348 
Balance of the City (Off Project) 
0 
0 
0 
0 
Balance of the City (On Project) 
0 
0 
0 
0 
 
 
 
Parks 
Library 
Impact Fee Area 
Current Fee 
Proposed 
Current Fee 
Proposed 
Northwest 
1,368 
1,409 
105 
216 
Deer Valley 
1,368 
1,409 
105 
216 
Northeast 
1,236 
1,474 
105 
133 
Paradise Ridge 
1,236 
1,474 
105 
133 
Estrella North (Off Project) 
1,241 
2,082 
105 
205 
Estrella North (On Project) 
1,241 
2,082 
105 
205 
Estrella South (Off Project) 
1,241 
2,082 
105 
205 
Estrella South (On Project) 
1,241 
2,082 
105 
205 
Laveen West (Off Project) 
1,241 
2,082 
105 
205 
Laveen West (On Project) 
1,241 
2,082 
105 
205 
Laveen East (Off Project) 
1,241 
2,082 
105 
205 
Laveen East (On Project) 
1,241 
2,082 
105 
205 
Ahwatukee (Off Project) 
1,225 
1,094 
105 
0 
Ahwatukee (On Project) 
1,225 
1,094 
105 
0 
Balance of the City (Off Project) 
0 
0 
0 
0 
Balance of the City (On Project) 
0 
0 
0 
0

7 
 
 
Major Arterials 
Storm Drainage 
Impact Fee Area 
Current Fee 
Proposed 
Current Fee 
Proposed 
Northwest 
3,080 
2,330 
0 
0 
Deer Valley 
3,080 
2,330 
0 
0 
Northeast 
3,080 
2,330 
0 
0 
Paradise Ridge 
3,080 
2,330 
1,715 
3,094 
Estrella North (Off Project) 
1,928 
0 
770 
1,207 
Estrella North (On Project) 
1,928 
0 
770 
1,207 
Estrella South (Off Project) 
1,928 
0 
770 
1,207 
Estrella South (On Project) 
1,928 
0 
770 
1,207 
Laveen West (Off Project) 
1,928 
0 
1,037 
1,401 
Laveen West (On Project) 
1,928 
0 
1,037 
1,401 
Laveen East (Off Project) 
1,928 
0 
1,037 
1,401 
Laveen East (On Project) 
1,928 
0 
1,037 
1,401 
Ahwatukee (Off Project) 
0 
0 
0 
0 
Ahwatukee (On Project) 
0 
0 
0 
0 
Balance of the City (Off Project) 
0 
0 
0 
0 
Balance of the City (On Project) 
0 
0 
0 
0 
 
 
 
 
 
Wastewater Collection 
Wastewater Treatment 
Impact Fee Area 
Current Fee 
Proposed 
Current Fee 
Proposed 
Northwest 
1,923 
5,127 
1,380 
3,824 
Deer Valley 
0 
0 
1,380 
1,190 
Northeast 
1,923 
5,127 
1,380 
3,824 
Paradise Ridge 
1,923 
5,127 
1,380 
3,824 
Estrella North (Off Project) 
0 
0 
1,380 
1,190 
Estrella North (On Project) 
0 
0 
1,380 
1,190 
Estrella South (Off Project) 
2,407 
5,409 
1,380 
1,190 
Estrella South (On Project) 
2,407 
5,409 
1,380 
1,190 
Laveen West (Off Project) 
2,250 
0 
1,380 
1,190 
Laveen West (On Project) 
2,250 
0 
1,380 
1,190 
Laveen East (Off Project) 
0 
0 
1,380 
1,190 
Laveen East (On Project) 
0 
0 
1,380 
1,190 
Ahwatukee (Off Project) 
0 
0 
1,380 
1,190 
Ahwatukee (On Project) 
0 
0 
1,380 
1,190 
Balance of the City (Off Project) 
0 
0 
0 
1,190 
Balance of the City (On Project) 
0 
0 
0 
1,190

8 
 
 
 
Water Transmission 
Water Treatment 
Impact Fee Area 
Current Fee 
Proposed 
Current Fee 
Proposed 
Northwest 
5,497 
14,046 
833 
4,387 
Deer Valley 
5,497 
14,046 
833 
4,387 
Northeast 
5,497 
14,046 
833 
4,387 
Paradise Ridge 
5,497 
14,046 
833 
4,387 
Estrella North (Off Project) 
3,183 
1,703 
833 
4,387 
Estrella North (On Project) 
3,183 
1,703 
833 
4,387 
Estrella South (Off Project) 
3,183 
1,703 
833 
4,387 
Estrella South (On Project) 
3,183 
1,703 
833 
4,387 
Laveen West (Off Project) 
3,183 
1,703 
833 
4,387 
Laveen West (On Project) 
3,183 
1,703 
833 
4,387 
Laveen East (Off Project) 
3,183 
1,703 
833 
4,387 
Laveen East (On Project) 
3,183 
1,703 
833 
4,387 
Ahwatukee (Off Project) 
3,183 
1,703 
833 
4,387 
Ahwatukee (On Project) 
3,183 
1,703 
833 
4,387 
Balance of the City (Off Project) 
0 
0 
0 
4,387 
Balance of the City (On Project) 
0 
0 
0 
4,387 
 
 
 
 
 
Water Resource 
Acquisition 
Impact Fee Area 
Current Fee 
Proposed 
Northwest 
583 
2,009 
Deer Valley 
583 
2,009 
Northeast 
583 
2,009 
Paradise Ridge 
583 
2,009 
Estrella North (Off Project) 
583 
2,009 
Estrella North (On Project) 
0 
0 
Estrella South (Off Project) 
583 
2,009 
Estrella South (On Project) 
0 
0 
Laveen West (Off Project) 
583 
2,009 
Laveen West (On Project) 
0 
0 
Laveen East (Off Project) 
583 
2,009 
Laveen East (On Project) 
0 
0 
Ahwatukee (Off Project) 
583 
2,009 
Ahwatukee (On Project) 
0 
0 
Balance of the City (Off Project) 
583 
2,009 
Balance of the City (On Project) 
0 
0

ATTACHMENT A 
(10 Pages) 
PROPOSED TOTAL NET FEES BY DEVELOPMENT IMPACT FEE AREA 
 
Impact Fee Area 
Fire 
Police 
Parks 
Library 
Major 
Arterials 
Storm 
Drainage 
Wwtr 
Collection 
Wwtr 
Treatment 
Water 
Transmission 
Water 
Treatment 
Water 
Resources 
Total 
Northwest 
$1,282 
$348 
$1,409 
$216 
$2,330 
$0 
$5,127 
$3,824 
$14,046 
$4,387 
$2,009 
$34,978 
Deer Valley 
$1,282 
$348 
$1,409 
$216 
$2,330 
$0 
$0 
$1,190 
$14,046 
$4,387 
$2,009 
$27,217 
Northeast 
$1,165 
$348 
$1,474 
$133 
$2,330 
$0 
$5,127 
$3,824 
$14,046 
$4,387 
$2,009 
$34,843 
Paradise Ridge 
$1,165 
$348 
$1,474 
$133 
$2,330 
$3,094 
$5,127 
$3,824 
$14,046 
$4,387 
$2,009 
$37,937 
Estrella N. (On Project) 
$1,625 
$348 
$2,082 
$205 
$0 
$1,207 
$0 
$1,190 
$1,703 
$4,387 
$0 
$12,747 
Estrella S. (Off Project) 
$1,625 
$348 
$2,082 
$205 
$0 
$1,207 
$5,409 
$1,190 
$1,703 
$4,387 
$2,009 
$20,165 
Estrella S. (On Project) 
$1,625 
$348 
$2,082 
$205 
$0 
$1,207 
$5,409 
$1,190 
$1,703 
$4,387 
$0 
$18,156 
Laveen W. (Off Project) 
$1,625 
$348 
$2,082 
$205 
$0 
$1,401 
$0 
$1,190 
$1,703 
$4,387 
$2,009 
$14,950 
Laveen W. (On Project) 
$1,625 
$348 
$2,082 
$205 
$0 
$1,401 
$0 
$1,190 
$1,703 
$4,387 
$0 
$12,941 
Laveen E. (Off Project) 
$1,625 
$348 
$2,082 
$205 
$0 
$1,401 
$0 
$1,190 
$1,703 
$4,387 
$2,009 
$14,950 
Laveen E. (On Project) 
$1,625 
$348 
$2,082 
$205 
$0 
$1,401 
$0 
$1,190 
$1,703 
$4,387 
$0 
$12,941 
Ahwatukee (Off Project) 
$1,833 
$348 
$1,094 
$0 
$0 
$0 
$0 
$1,190 
$1,703 
$4,387 
$2,009 
$12,564 
Ahwatukee (On Project) 
$1,833 
$348 
$1,094 
$0 
$0 
$0 
$0 
$1,190 
$1,703 
$4,387 
$0 
$10,555 
Balance (Off Project) 
$0 
$0 
$0 
$0 
$0 
$0 
$0 
$1,190 
$0 
$4,387 
$2,009 
$7,586 
Balance (On Project) 
$0 
$0 
$0 
$0 
$0 
$0 
$0 
$1,190 
$0 
$4,387 
$0 
$5,577 
1) Fees are based on inflation-adjusted unit costs estimated at 2028 dollars. 
2) The offset for Water and Sewer Development Occupational Fees is not included. Staff recommend striking PCC Chapters 19A - 19D, thereby eliminating the DOF fee and the associated offset.