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Biennial Certified Audit of Land Use
Assumptions, Infrastructure
Improvement Plan, and Development
Fees (July 1, 2018 – June 30, 2020)
Final Report / June 1, 2021
CITY OF
Glendale
5619 DTC Parkway, Suite 850
Greenwood Village, CO 80111
www.raftelis.com
June 1, 2021
Rebecca Chitwood, CPA
Controller
Budget & Finance
City of Glendale
5850 West Glendale, Suite 302
Glendale, AZ 85301
Subject: Biennial Certified Audit of Land Use Assumptions, Infrastructure Improvements Plan and
Development Fees (July 1, 2018 – June 30, 2020)
The City of Glendale (City) retained Raftelis Financial Consultants Inc. (Raftelis) to complete an audit of the
City’s land use assumptions (LUA), infrastructure improvement plan (IIP), and development impact fee (DIF)
revenues and expenditures over the period of July 1, 2018 through June 30, 2020 (Audit Period) per Arizona
Revised Statutes (ARS) §9-463.05. This report summarizes the results of the LUA, IIP, and DIF audit.
The scope of the audit is limited to an audit of the LUA, IIP, and DIF assessments and expenditures outlined in
the Accounting for the Collection and Use of Development Impact Fees Annual Report for Fiscal Years (FY)
2018-19 and 2019-20. All fee amounts assessed and expenditures outlined are audited pursuant to the provisions in
in the City Code Section 28 Article VI. (Development Impact Fees), as supported by the Land Use Assumptions,
Infrastructure Improvements Plan, and Development Fees that took effect July 2014 (2014 LUA, IIP, and DIF
Report)1, and the updated report that that took effect December 2019 (2019 LUA, IIP, and DIF Report)2.
Per the statuary requirements of ARS §9-463.05, the study focused on charges assessed consistent with the adopted
DIF schedules. The City maintains DIF assessment schedules varying by land use designation and/or customer
classification and amongst multiple service areas. The 2014 LUA, IIP, and DIF Report provides for up to three (3)
service areas within the City and up to six (6) service categories, based on the characteristics of development and
services provided. New DIFs were implemented for up to seven (7) service categories using two (2) service areas
beginning December 9, 2019.
An additional provision of ARS §9-463.05 includes a “grandfathering” clause whereby a new or increased DIF is
not assessed against a new development for a period of up to 24-months after:
•
the City issues the final approval for a commercial, industrial, or multifamily development OR
•
the date that the first building permit is issued for a residential development pursuant to an approved site
plan or subdivision plat, provided that no subsequent changes are made to the approved site plan or
subdivision plan that would increase the service units.
The City has administered this provision by assessing previously adopted DIFs until the grandfathering period
expires for applicable development(s). Additionally, the City has entered into various developer credit agreements
whereby the DIF was referenced and the City has administered those agreements. The application of developer
credits and grandfathering provisions is beyond the scope of the Biennial Audit requirements, but Raftelis worked
1 Land Use Assumptions, Infrastructure Improvements Plan, and Development Fee Report, February 10, 2014.
2 Land Use Assumptions, Infrastructure Improvements Plan, and Development Fee Report, September 24, 2019.
with City staff to identify instances where either the grandfathering provision or developer credit agreements were
applied to permits during the Audit Period in situations where the assessed DIFs varied from the adopted DIFs.
The City deposits DIF revenues into separate funds for each fee category and each fee area. Accordingly, the City
maintains unique funds which are updated as new and/or amended LUA, IIP, and DIF Reports are completed.
For example, additional funds were created following the 2019 LUA, IIP, and DIF Report and associated fees that
were effective beginning December 9, 2019. Expenditures or uses of DIFs by category over the Audit Period are
consistent with the uses documented in the adopted LUA, IIP, and DIF Reports.
The overall audit approach followed by Raftelis was to:
1. Review the reported Audit Period growth by each land use classification against the categories provided
for in the LUA, IIP, and DIF Report.
2. Review the DIF revenues reported against independently calculated amounts based on the appropriate
criteria, to check the accuracy of assessed charges.
3. Compare the actual expenditures reported over the Audit Period against the LUA, IIP, and DIF Report to
verify that funded projects were included in each report.
Raftelis worked with City staff following the initial identification of calculated permit revenues that varied from
reported DIF revenues provided by the City over the Audit Period. Additional discussion regarding the process of
the Biennial Audit of the DIF, LUA, IIP, revenues, and expenditures is detailed in the body of this report.
The following provides a summary of each of the study elements.
•
LUA Audit: The permit data provided by the City are used to review actual growth over the Audit Period to
the forecasted level of growth in the City’s LUA, IIP, and DIF Report.
•
IIP Audit: The City met the requirements of the IIP as part of the LUA, IIP, and DIF Report previously
identified which support the DIFs in place over the Audit Period. The IIP related audit requirements are
limited to confirming actual uses of DIF revenues over the Audit Period were consistent with the
improvements identified, and fees were assessed to development by fee category and/or service area as
detailed within the LUA, IIP, and DIF Report.
•
Revenue Audit: To test for revenue assessment accuracy, the DIFs identified in the LUA, IIP, and DIF Report
were applied by Raftelis to each of the permits, based on the service area, fee category, Equivalent
Development Units (EDUs) and land use classification provided. These calculated DIF revenues were
compared to the DIF amount reported by the City during the Audit Period. Any record showing a difference
was considered a potential error, subject to additional review and validation.
•
Expense Audit: Audit Period expenditures are identified in the Accounting for the Collection and Use of
Development Impact Fees Annual Report for Fiscal Years (FY) 2018-19 and 2019-20.
Pursuant to the discussion and analysis contained in this report the following findings are provided:
1. The difference between growth forecasted in the LUA as part of the 2020 LUA, IIP, and DIF Reports and
the actual growth experienced by the City should be monitored but is not an area of immediate concern.
Growth often occurs less linearly as certain development may occur more rapidly than others and can be
influenced by various external factors. If the actual growth continues to be significantly lower than
anticipated in the LUA, IIP, and DIF Report, the City should consider updating the LUA forecast to reflect
more appropriate growth levels.
2. The completed revenue audit has not found any material discrepancies when compared to the DIFs
identified in the LUA, IIP, and DIF Reports.
3. Based on the information obtained through the City’s Accounting for the Collection and Use of
Development Impact Fees Annual Report for FY 2018-19 and 2019-20, there are no discrepancies between
expenditures identified in the LUA, IIP, and DIF Reports.
Raftelis is pleased to present our findings and analysis of the Biennial Audit of the City’s DIF program to the City.
Please contact Andrew Rheem regarding this report.
Sincerely,
RAFTELIS
Andrew Rheem
Senior Manager
CITY OF GLENDALE
BIENNIAL CERTIFIED AUDIT
Table of Contents
1.
INTRODUCTION AND BACKGROUND .................................... 9
1.1.
SCOPE OF WORK ................................................................................... 9
1.2.
ARS §9-463.05 SUMMARY ..................................................................... 9
1.2.1.
Grandfather Provisions............................................................................................ 10
1.2.2.
Designated DIF Funds .............................................................................................. 10
1.3.
EXISTING DIFS ...................................................................................... 12
2.
STUDY PROCESS ................................................................... 18
2.1.
AUDIT APPROACH ............................................................................... 18
2.2.
DATA PROVIDED BY CITY ................................................................... 18
2.3.
LAND USE ASSUMPTIONS AUDIT ...................................................... 19
2.4.
INFRASTRUCTURE IMPROVEMENTS PLAN AUDIT .......................... 21
2.5.
IIP EXPENSE AUDIT ............................................................................. 22
2.6.
DIF REVENUE AUDIT ........................................................................... 23
2.7.
ADJUSTMENTS AND FEEDBACK FROM CITY .................................. 24
2.8.
OVERALL FINDINGS ............................................................................ 25
CITY OF GLENDALE
BIENNIAL CERTIFIED AUDIT
List of Tables
Table 1: 2003 Fees Fund Summary .............................................................................................................. 10
Table 2: 2012 Fees Fund Summary .............................................................................................................. 11
Table 3: 2014 Fees Fund Summary .............................................................................................................. 11
Table 4: 2019 Fees Fund Summary .............................................................................................................. 11
Table 5: Fire Protection DIFs prior to 12/9/2019 .......................................................................................... 13
Table 6: Fire Protection DIFs effective 12/9/2019 ........................................................................................ 14
Table 7: Police DIFs prior to 12/9/2019 ........................................................................................................ 14
Table 8: Police DIFs effective 12/9/2019 ...................................................................................................... 14
Table 9: Parks and Recreation DIFs prior to 12/9/2019 .............................................................................. 14
Table 10: Parks and Recreation DIFs effective 12/9/2019 .......................................................................... 15
Table 11: Streets DIFs prior to 12/9/2019 ..................................................................................................... 15
Table 12: Streets DIFs effective 12/9/2019 ................................................................................................... 15
Table 13: Library DIFs effective 12/9/2019 ................................................................................................... 15
Table 14: Water DIFs prior to 12/9/2019 ....................................................................................................... 16
Table 15: Water DIFs effective 12/9/2019 ..................................................................................................... 16
Table 16: Wastewater DIFs prior to 12/9/2019 ............................................................................................. 17
Table 17: Wastewater DIFs effective 12/9/2019 ........................................................................................... 17
Table 18: Audit Period DIF Charges, EDUs, and Revenues by Fee Category .......................................... 19
Table 19: Single Family Residential Non-Utility LUA Audit ....................................................................... 20
Table 20: Multifamily Residential Non-Utility LUA Audit ............................................................................ 20
Table 21: Industrial Non-Utility LUA Audit .................................................................................................. 20
Table 22: Commercial Non-Utility LUA Audit .............................................................................................. 20
Table 23: Institutional Non-Utility LUA Audit .............................................................................................. 20
Table 24: Office & Other Services Non-Utility LUA Audit .......................................................................... 20
Table 25: Wastewater Residential LUA Audit .............................................................................................. 20
Table 26: Wastewater Non-Residential LUA Audit ..................................................................................... 21
Table 27: Water Residential LUA Audit ....................................................................................................... 21
Table 28: Water Non-Residential LUA Audit ............................................................................................... 21
Table 29: DIF Expenditures, FY 2018 - 2019 ................................................................................................ 22
Table 30: DIF Expenditures, FY 2019 - 2020 ................................................................................................ 23
Table 31: DIF Records for Additional Review ............................................................................................. 24
List of Figures
Figure 1: DIF Service Zones effective prior to December 9, 2019 ............................................................. 12
Figure 2: DIF Service Zones effective December 9, 2019 ........................................................................... 13
List of Appendices
APPENDIX A: DIF Records Subject to Additional Review with Response from City
CITY OF GLENDALE
BIENNIAL CERTIFIED AUDIT
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BIENNIAL CERTIFIED AUDIT 9
1. Introduction and
Background
1.1. Scope of Work
The City of Glendale (City) retained Raftelis Financial Consultants Inc. (Raftelis) to complete an audit of the
City’s Land Use Assumptions (LUA), Infrastructure Improvement Plan (IIP), and Development Impact Fee (DIF)
revenues and expenditures over the period of July 1, 2018 through June 30, 2020 (Audit Period) per Arizona
Revised Statutes (ARS) §9-463.05. The scope of the audit is limited to an audit of the LUA, IIP, and DIF
assessments and planned expenditures outlined in the Accounting for the Collection and Use of Development
Impact Fees Annual Report for Fiscal Year (FY) 2018-19 and FY 2019-20. All fee amounts and expenditures
outlined are audited pursuant to the provisions in the City Code Section 28 Article VI. – Development Impact
Fees, as supported by the Land Use Assumptions, Infrastructure Improvements Plan, and Development Fees that
took effect July 2014 (2014 LUA, IIP, and DIF Report)3, and the updated report that that took effect December
2019 (2019 LUA, IIP, and DIF Report)4.
The three areas of focus of the audit include:
•
A review and comparison of the LUA forecast within the 2014 LUA, IIP, and DIF Report to actual
development by classification and service area.
•
An audit of the DIF revenues assessed as authorized by DIF category and/or service area match the adopted
DIF assessment schedule.
•
An audit to confirm the expenditures or use of funds from DIFs by fee category and/or service area were
identified within the 2014 LUA, IIP, and DIF Report.
1.2. ARS §9-463.05 Summary
ARS §9-463.05 contains the Arizona statutory guidance, restrictions and requirements governing assessment,
collection, and reporting of DIFs. Per ARS §9-463.055, as a condition of assessing DIFs, the City is required to
either:
•
Establish an infrastructure improvements advisory committee or
•
Complete a biennial audit
The City did not establish an infrastructure improvement advisory committee and is therefore completing the
biennial audit for the 2-year audit period. The most recent audit for FY 2016-17 and FY 2017-18 was completed by
Heinfeld, Meech & Co., P.C. with the results documented in the report dated January 30, 2020. The statutory
requirements for the audit per ARS §9-463.056 is detailed as follows.
3 Land Use Assumptions, Infrastructure Improvements Plan, and Development Fee Report, February 10, 2014.
4 Land Use Assumptions, Infrastructure Improvements Plan, and Development Fee Report, September 24, 2019.
5 Subsection G, paragraphs 1 and 2.
6 Subsection G, paragraph 2.
10 CITY OF GLENDALE
In lieu of creating an advisory committee pursuant to paragraph 1 of this subsection, provide for a biennial
certified audit of the municipality’s land use assumptions, infrastructure improvements plan and development
fees. An audit pursuant to this paragraph shall be conducted by one or more qualified professionals who are not
employees or officials of the municipality and who did not prepare the infrastructure improvements plan. The
audit shall review the progress of the infrastructure improvements plan, including the collection and expenditures
of development fees for each project in the plan, and evaluate any inequities in implementing the plan or
imposing the development fee. The municipality shall post the findings of the audit on the municipality’s
website or the website of an association of cities and towns if the municipality does not have a website and shall
conduct a public hearing on the audit within sixty days of the release of the audit to the public.
Based on the statuary requirements, the study focused on charges assessed consistent with the adopted DIF
schedules. The City maintains DIF and assessment schedules varying by land use designation and/or customer
classification and amongst multiple service areas. Figures 1, and 2 detail the service area boundaries for DIFs.
Expenditures or uses of DIFs by category over the Audit Period are consistent with the uses documented in the
adopted 2014 LUA, IIP, and DIF Report.
1.2.1. GRANDFATHER PROVISIONS
As will be presented and discussed in this report, the City implemented the grandfather provisions over the course
of the audit period pursuant to subsection F of ARS §9-463.05 that reads in part:
A municipality's development fee ordinance shall provide that a new development fee or an increased portion of
a modified development fee shall not be assessed against a development for twenty-four months after the date
that the municipality issues the final approval for a commercial, industrial or multifamily development or the
date that the first building permit is issued for a residential development pursuant to an approved site plan or
subdivision plat, provided that no subsequent changes are made to the approved site plan or subdivision plat
that would increase the number of service units.
1.2.2. DESIGNATED DIF FUNDS
The City deposits DIF revenues into separate funds for each fee category and each fee area. Following the 2012
modifications of ARS §9-463.05, the City has followed a practice of creating unique funds tied to each LUA, IIP,
and DIF study update. Fund numbers reflect the date ranges for which DIF revenues were collected. Table 1
through Table 4 summarize the fund names and numbers for the DIF revenues collected since the 2003 when
stand-alone DIF funds were first established.
Table 1: 2003 Fees Fund Summary
Fund Name
Fund Number
2003-DIF Library Blding sb1525
4120
2003-DIF Fire Prot Fac sb1525
4130
2003-DIF Police Facilit sb1525
4180
2003-DIF Citywide Parks sb1525
4230
2003DIF CitywideREC/FACsb1525
4250
2003-DIF Libraries sb 1525
4270
2003-DIF Citywide Open Space
4290
2003-DIF Parks Dev Zn 1 sb1525
4300
2003-DIF Parks&Rec Zn 2 sb1525
4350
2003-DIF Parks Dev Zn 3 sb1525
4370
2003-DIF RoadwayImprove sb1525
4390
2003-DIF General Government
4440
BIENNIAL CERTIFIED AUDIT 11
Table 2: 2012 Fees Fund Summary
Fund Name
Fund Number
2012-DIF Fire Protection Facil
4140
2012-DIF Police Facilities
4190
2012-DIF Citywide Parks
4240
2012-DIF Citywd Recreation Fac
4260
2012-DIF Libraries
4280
2012-DIF Parks Dev Zone 1
4310
2012-DIF Parks Dev Zone 2
4360
2012-DIF Parks Dev Zone 3
4380
2012-DIF Roadway Improve
4400
Table 3: 2014 Fees Fund Summary
Fund Name
Fund Number
2014-DIF Fire Zone 1 East
4150
2014-DIF Fire Zone 2 West 101
4160
2014-DIF Fire Zone 3 West 303
4170
2014-DIF Police Zone 1 East
4200
2014-DIF Police Zn 2 West 101
4210
2014-DIF Police Zn 3 West 303
4220
2014-DIF Parks & Rec Zn 1 East
4320
2014-DIF Parks&Rec Zn 2 W 101
4330
2014-DIF-Parks&Rec Zn 3 W 303
4340
2014-DIF Streets Zone 1 East
4410
2014-DIF Streets Zn 2 West 101
4420
2014-DIF Streets Zn 3 West 303
4430
2014-Water DIF Zone 1 East
6050
2014-Water DIF Zone 2 West 101
6060
2014-Water DIF Zone 3 West 303
6070
2014-Sewer DIF Zone 1 East
6080
2014-Sewer DIF Zone 2 West 101
6090
2014-Sewer DIF Zone 3 West 303
6100
Table 4: 2019 Fees Fund Summary
Fund Name
Fund Number
2019-DIF-Fire East
4171
2019-DIF-Fire West
4172
2019-DIF-Police East
4221
2019-DIF-Police West
4222
2019-DIF-Libraries East
4281
2019-DIF-Libraries West
4282
2019-DIF-Parks & Rec East
4381
2019-DIF-Parks & Rec West
4382
2019-DIF-Streets East
4431
2019-DIF-Streets West
4432
2019-Water DIF East
6071
2019-Sewer DIF East
6101
12 CITY OF GLENDALE
1.3. Existing DIFs
The 2014 LUA, IIP, and DIF Report provides for up to three service zones within the City and up to six service
categories, based on the characteristics of development and services provided. The service zones prior to
December 9, 2019 are depicted within Figure 17. New DIFs were implemented using two (2) service zones and up
to seven (7) service categories beginning December 9, 2019 as shown in Figure 28.
Figure 1: DIF Service Zones effective prior to December 9, 2019
7 Map used in Figure 1 obtained from Accounting for the Collection and Use of Development Impact Fees Annual
Report as of June 30, 2019.
8 Map used in Figure 2 obtained from Accounting for the Collection and Use of Development Impact Fees Annual
Report as of June 30, 2020.
BIENNIAL CERTIFIED AUDIT 13
Figure 2: DIF Service Zones effective December 9, 2019
For fire protection, police, park, and streets, DIFs for residential development are assessed per dwelling unit. DIFs
for non-residential classes (commercial, office/ other, industrial, and institutional) are assessed per 1,000 square
feet of building space.
DIFs were adjusted effective December 9, 2019 and include a new fee for libraries. Permits issued before
December 9, 2019 were subject to the previous DIF, while those issued since December 9, 2019 were subject to the
amended DIFs. The original and amended fees are shown in Table 5 through Table 17.
Table 5: Fire Protection DIFs prior to 12/9/2019
Description
Unit
Residential
Single Unit
Per Dwelling
Residential 2+
Units per
Structure
Per Dwelling
Commercial
Per 1000 sqft
Office/
Other
Industrial
Per 1000
sqft
Institutional
Per 1000 sqft
Per 1000
sqft
East Glendale [1]
$1,146
$652
$239
$563
$129
$166
West 101 Glendale [2]
1,146
652
239
563
129
166
West 303 Glendale [3]
--
--
239
563
129
166
__________
[1] From 75th avenue east to Glendale’s city limits.
[2] 75th Avenue west to 115th Avenue
[3] West of 115th Avenue.
14 CITY OF GLENDALE
Table 6: Fire Protection DIFs effective 12/9/2019
Description
Unit
Residential
Single Unit
Per Dwelling
Residential 2+
Units per
Structure
Per Dwelling
Commercial
Per 1000 sqft
Office/Other
Per 1000 sqft
Industrial
Per 1000 sqft
Institutional
Per 1000 sqft
East Glendale [1]
$655
$433
$789
$308
$106
$408
West Glendale [2]
655
433
789
308
106
408
__________
[1] East of 115th Avenue
[2] West of 115th Avenue
Table 7: Police DIFs prior to 12/9/2019
Description
Unit
Residential
Single Unit
Per Dwelling
Residential 2+
Units per
Structure
Per Dwelling
Commercial
Office/
Other
Industrial
Institutional
Per 1000
sqft
Per 1000
sqft
Per 1000
sqft
Per 1000
sqft
East Glendale [1]
$339
$193
$99
$39
$12
$36
West 101 Glendale [2]
339
193
99
39
12
36
West 303 Glendale [3]
--
--
99
39
12
36
__________
[1] From 75th avenue east to Glendale’s city limits.
[2] 75th Avenue west to 115th Avenue
[3] West of 115th Avenue.
Table 8: Police DIFs effective 12/9/2019
Description
Unit
Residential
Single Unit
Per Dwelling
Residential 2+
Units per
Structure
Per Dwelling
Commercial
Per 1000
sqft
Office/Other
Per 1000 sqft
Industrial
Per 1000
sqft
Institutional
Per 1000
sqft
East Glendale [1]
$719
$475
$867
$339
$117
$448
West Glendale [2]
719
475
867
339
117
448
__________
[1] East of 115th Avenue
[2] West of 115th Avenue
Table 9: Parks and Recreation DIFs prior to 12/9/2019
Description
Unit
Residential
Single Unit
Per Dwelling
Residential 2+
Units per
Structure
Per Dwelling
Commercial
Per 1000
sqft
Office/ Other
Per 1000 sqft
Industrial
Per 1000 sqft
Institutional
Per 1000
sqft
East Glendale [1]
$909
$517
$43
$101
$23
$30
West 101 Glendale [2]
909
517
43
101
23
30
West 303 Glendale [3]
--
--
0
0
0
0
__________
[1] From 75th avenue east to Glendale’s city limit.
[2] 75th Avenue west to 115th Avenue
[3] West of 115th Avenue.
BIENNIAL CERTIFIED AUDIT 15
Table 10: Parks and Recreation DIFs effective 12/9/2019
Description
Unit
Residential
Single Unit
Per Dwelling
Residential 2+
Units per
Structure
Per Dwelling
Commercial
Per 1000 sqft
Office/Other
Per 1000 sqft
Industrial
Per 1000
sqft
Institutional
Per 1000 sqft
East Glendale [1]
$936
$618
$97
$123
$48
$38
West Glendale [2]
936
618
97
123
48
38
__________
[1] East of 115th Avenue
[2] West of 115th Avenue
Table 11: Streets DIFs prior to 12/9/2019
Description
Unit
Residential
Single Unit
Per Dwelling
Residential
2+ Units per
Structure
Per Dwelling
Commercial
Per 1000 sqft
Office/ Other
Per 1000 sqft
Industrial
Per 1000
sqft
Institutional
Per 1000 sqft
East Glendale [1]
$1,551
$865
$2,210
$957
$308
$883
West 101 Glendale [2]
3,522
1,963
5,017
2,172
701
2,005
West 303 Glendale [3]
--
--
8,260
3,575
1,154
3,301
__________
[1] From 75th avenue east to Glendale’s city limits.
[2] 75th Avenue west to 115th Avenue
[3] West of 115th Avenue.
Table 12: Streets DIFs effective 12/9/2019
Description
Unit
Residential
Single Unit
Per Dwelling
Residential 2+
Units per
Structure
Per Dwelling
Commercial
Per 1000
sqft
Office/Other
Per 1000
sqft
Industrial
Per 1000
sqft
Institutional
Per 1000
sqft
East Glendale [1]
$3,635
$2,819
$4,806
$1,831
$634
$2,422
West Glendale [2]
[3]
[3]
[3]
[3]
[3]
[3]
__________
[1] East of 115th Avenue
[2] West of 115th Avenue
[3] Determined on a case-by-case basis.
Table 13: Library DIFs effective 12/9/2019
Description
Unit
Residential
Single Unit
Per Dwelling
Residential 2+
Units per
Structure
Per Dwelling
Commercial
Per 1000 sqft
Office/Other
Per 1000
sqft
Industrial
Per 1000
sqft
Institutional
Per 1000
sqft
East Glendale [1]
$195
$129
$19
$24
$9
$7
West Glendale [2]
195
129
19
24
9
7
__________
[1] East of 115th Avenue
[2] West of 115th Avenue
16 CITY OF GLENDALE
For utility service, new development is generally responsible for purchasing capacity in the system based on
potential demand. Potential demand is measured in many ways throughout the water and wastewater utility
industry, with meter size serving as a relatively simple and commonly used assessment option. For the water and
wastewater services identified in Table 14 through Table 17, DIFs are based on water meter size and are the same
regardless of development type.
Water and wastewater DIFs are assessed in up to three service areas which are comprised of sub-areas shown in
Figures 1 and 2 and summarized below:
•
Prior to December 9, 2019:
o
East Glendale and West 101 Glendale, covering the area east of 115th Avenue.
o
West 303 Glendale, covering the area west of 115th Avenue.
•
From December 9, 2019 onwards:
o
East Glendale, covering the area east of 115th Avenue.
o
West Glendale, covering the area west of 115th Avenue.
Table 14: Water DIFs prior to 12/9/2019
Meter Size (all
development types)
East Glendale &
West 101 Glendale [1]
West 303
Glendale [2]
0.75 inch
$2,761
$0
1.0 inch
4,607
0
1.5 inch
9,183
0
2.0 inch
14,695
0
3.0 inch
29,413
0
4.0 inch
45,950
0
6.0 inch
91,867
0
8.0 inch
146,991
0
__________
[1] East from 115th Avenue to city limits.
[2] West of 115th Avenue.
Table 15: Water DIFs effective 12/9/2019
Meter Size (all
development types)
East Glendale [1]
West Glendale
[2]
0.75 inch
$2,923
$0
1.0 inch
4,878
0
1.5 inch
9,722
0
2.0 inch
15,558
0
3.0 inch
31,139
0
4.0 inch
48,647
0
6.0 inch
97,259
0
8.0 inch
155,617
0
__________
[1] East of 115th Avenue
[2] West of 115th Avenue
BIENNIAL CERTIFIED AUDIT 17
Table 16: Wastewater DIFs prior to 12/9/2019
Meter Size (all
development types)
East Glendale &
West 101 Glendale [1]
West 303
Glendale [2]
0.75 inch
$1,944
$0
1 inch
3,243
0
1.5 inch
6,462
0
2.0 inch
10,341
0
3.0 inch
20,696
0
4.0 inch
32,331
0
6.0 inch
64,637
0
8.0 inch
103,420
0
__________
[1] East from 115th Avenue to city limits.
[2] West from 115th Avenue
Table 17: Wastewater DIFs effective 12/9/2019
Meter Size (all
development types)
East
Glendale [1]
West
Glendale [2]
0.75 inch
$1,609
$0
1 inch
2,684
0
1.5 inch
5,346
0
2.0 inch
8,553
0
3.0 inch
17,117
0
4.0 inch
26,739
0
6.0 inch
53,456
0
8.0 inch
85,530
0
__________
[1] East of 115th Avenue
[2] West of 115th Avenue
18 CITY OF GLENDALE
2. Study Process
2.1. Audit Approach
Raftelis first reviewed the DIF revenues reported against independently calculated amounts based on the
appropriate criteria to check the accuracy of assessed charges. Next, the actual expenditures reported over the
Audit Period were compared against the LUA, IIP, and DIF Report to verify that funded projects were included.
Finally, the reported Audit Period growth by each land use classification was reviewed against the categories
provided for in the LUA, IIP, and DIF Report.
2.2. Data Provided by City
To assist with the review of the DIF charges, Raftelis requested permit data that could be used to recalculate the
DIFs assessed by the city. Necessary data fields required to independently recalculate and review the assessed DIFs
include:
•
Permit Number
•
Issue Date
•
Paid Date
•
Fee Category
•
Customer Type
•
Fee Area
•
Quantity
•
EDUs
o
Residential Dwelling Units
o
Square Feet of Floor Area
o
Meter Size
•
Fee Amount
•
Paid Amount
The City was unable to provide a single report with all the required data, and thus provided three separate data
sources with unique permit identifiers enabling the reports to be merged. Because the Certified Audit of Land Use
Assumptions, Infrastructure Improvements Plan and Development Fees is a biennial requirement, Raftelis
recommends the City consider investing time into developing a permit data tracking tool to ensure the data identified
above is available in a single report to streamline future audits.
One of the reports included a field titled “Fee Description” which identifies the fee category, fee area, and customer
classification. The one exception is non-residential utility DIFs (water and wastewater) are not distinguishable by
customer classification, thus we reviewed non-residential utility DIFs in aggregate.
The DIF charges provided span seven fee categories and total approximately $12.3 million in DIF revenues over
the Audit Period. The DIF revenue over the Audit Period per the Accounting for the Collection and Use of
Development Impact Fees Annual Reports totals $12,251,880 compared to $12,336,929 based on the permit level
detail provided by the City. This difference of $85,048, or 0.7%, was deemed immaterial for purposes of this audit
and Raftelis relied on the detail provided by the City for review. The DIF revenue was calculated using the DIF
assessment schedules identified in the LUA, IIP, and DIF Reports. DIF revenues may then be adjusted by the City
to account for grandfathering provisions (per ARS §9-463.05F) and/or developer credits. The total impact fee
BIENNIAL CERTIFIED AUDIT 19
charges, DIF revenues per the Permit Detail, and DIF revenues per the Accounting for the Collection and Use of
Development Impact Fees Annual Reports for the Audit Period are provided in Table 18.
Table 18: Audit Period DIF Charges, EDUs, and Revenues by Fee Category
Description
DIF Charges
DIF
Revenues -
Permit Detail
DIF Revenues -
Annual
Reports
Parks
569
$957,280
$951,153
Libraries
209
58,664
57,689
Police
576
755,956
751,114
Fire
574
1,650,126
1,652,972
Streets
575
4,401,592
4,394,009
Water
659
2,939,171
2,895,162
Wastewater
590
1,574,140
1,549,782
Total
3,752
$12,336,929
$12,251,880
2.3. Land Use Assumptions Audit
The permit data provided by the City were used to compare actual growth over the Audit Period to the forecasted
level of growth in the City’s LUA, IIP, and DIF Report. The growth identified in the report was provided for each
year, Raftelis reviewed the projected growth for 2019 and 2020 as expected over the Audit Period. Non-utility DIF
EDU growth is projected in housing units for residential and floor area for non-residential customer classes. Utility
DIF EDU growth is projected based on number of new connections, broken out between residential and non-
residential. A table is provided for each customer fee category that compares the actual growth in EDUs, EDUs
forecast by the LUA, and the actual growth as a percentage of the LUA forecast growth.
The LUA forecast is compared to actual development over the two-year Audit Period for the following:
Non-Utility LUA Projections
•
Single Family Residential – Table 19
•
Multifamily Residential – Table 20
•
Industrial – Table 21
•
Commercial – Table 22
•
Institutional – Table 23
•
Office & Other Services – Table 24
Utility LUA Projections
•
Wastewater Residential – Table 25
•
Wastewater Non-Residential – Table 26
•
Water Residential – Table 27
•
Water Non-Residential – Table 28
20 CITY OF GLENDALE
Table 19: Single Family Residential Non-Utility LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
216
417
51.8%
FY 2019-20
295
420
70.2%
Total
511
837
61.1%
Table 20: Multifamily Residential Non-Utility LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
564
202
279.2%
FY 2019-20
74
204
36.3%
Total
638
406
157.1%
Table 21: Industrial Non-Utility LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
134
197
67.8%
FY 2019-20
3,611
200
1805.4%
Total
3,745
397
943.2%
Table 22: Commercial Non-Utility LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
31
371
8.4%
FY 2019-20
57
378
15.0%
Total
88
749
11.7%
Table 23: Institutional Non-Utility LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
93
37
250.3%
FY 2019-20
33
37
88.9%
Total
126
74
169.6%
Table 24: Office & Other Services Non-Utility LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
193
342
56.4%
FY 2019-20
302
355
85.1%
Total
495
697
71.0%
Table 25: Wastewater Residential LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
210
312
67.3%
FY 2019-20
293
316
92.7%
Total
503
628
80.1%
BIENNIAL CERTIFIED AUDIT 21
Table 26: Wastewater Non-Residential LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
45
136
33.1%
FY 2019-20
43
139
30.9%
Total
88
275
32.0%
Table 27: Water Residential LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
210
343
61.2%
FY 2019-20
293
345
84.9%
Total
503
688
73.1%
Table 28: Water Non-Residential LUA Audit
Fiscal Year
Actual EDUs
LUA Forecast
EDUs
Actual as % of
LUA
FY 2018-19
69
107
64.5%
FY 2019-20
88
110
80.0%
Total
157
217
72.4%
As shown in Table 19 though Table 28, the overall growth in EDUs for the study period is generally lower than the
forecast provided in the City’s LUA, IIP, and DIF Report. Despite this trend, several land use categories
experienced more growth than anticipated. Growth in industrial and institutional land use, or square footage of
floor area, was higher than anticipated. Similarly, growth in multifamily land use, or number of units, was 157.1%
of forecast for the Audit Period.
The differences in actual and forecast growth are not a cause for immediate concern or action as growth is not
always consistent. The City should continue to monitor this trend in future audits. If the actual growth continues to
be significantly lower than anticipated in the LUA, IIP, and DIF Report, the City should consider updating the
LUA forecast to reflect more appropriate growth levels.
2.4. Infrastructure Improvements Plan Audit
Multiple elements are required to be included as part of the IIP per ARS §9-463.05. These elements include
identifying existing facilities with available capacity to serve new customers, documenting the respective service
levels, and identifying future improvements and capacity added which may also be necessary to serve future
customers over a 10- to 15-year period. The City met the requirements of the IIP as part of the LUA, IIP, and DIF
Report previously identified which support the DIFs in place over the Audit Period.
Many aspects of the IIP will be updated in future DIF updates as required by ARS §9-463.05, similar to the process
the City completed as documented within the 2019 LUA, IIP, and DIF Report. This audit is focused on how the
City has administered the DIF in assessing new and increased development consistent with the adopted fee
schedules and using the restricted revenues for the purpose stated within the adopted reports. As a result, the IIP-
related audit requirements are limited to:
22 CITY OF GLENDALE
1. DIFs were assessed to development by fee category and service area as detailed within the adopted IIP and
2. Confirming that actual uses of DIF revenues over the Audit Period were consistent with the improvements
identified. Raftelis compared DIF revenues and expenses against the IIP section of the LUA, IIP, and DIF
Report.
2.5. IIP Expense Audit
During the Audit Period, there were several expenditures from the DIF funds associated with the LUA, IIP, and
DIF Report. The expenditures are identified in the Development Impact Fee Annual Reports for FY 2018-19 and
FY 2019-20. Pages 6-10 and 7-11 of the FY 2018-19 and FY 2019-20 Accounting for the Collection and Use of
Development Impact Fees Annual Reports identify the government funds DIF project expenditures by fee
category, fund number, expenditure amount, and a few additional items. Pages 12-13 and 13-14 of the FY 2018-19
and FY 2019-20 Accounting for the Collection and Use of Development Impact Fees Annual Reports identify the
enterprise funds DIF project expenditures by fee category, fund number, expenditure amount, and a few additional
items. These DIF government and enterprise funds are the focus of this audit summarized in the following two
tables. Raftelis reviewed all the expenditures in the FY 2018-19 and FY 2019-20 Annual Development Impact Fee
Reports, including those funded from DIF revenues collected prior to the Audit Period.
Table 29: DIF Expenditures, FY 2018 - 2019
Program
Area
Service Area
Fund
Project Description
Total
Impact
Fee Fund
Uses
Library
N/A - Pre SB1525
4120
Heroes Regional Park Library - 83rd Avenue and
Bethany Home Rd.
$1,815,156
Parks
N/A - Pre SB1525
4230
Heroes Regional Park Library - 83rd Ave. &
Bethany Home Road
4,360
Parks
N/A - Pre SB1525
4230
Orangewood Vista Park - 78th Ave. &
Orangewood Ave.
225,010
Parks
N/A - 2012 City Wide
4240
Heroes Regional Park Library - 83rd Ave. &
Bethany Home Road
2,040
Parks
N/A - Pre SB1525
4250
Heroes Regional Park Library - 83rd Ave. &
Bethany Home Road
139,838
Parks
N/A - Pre SB1525
4250
Heroes Regional Park - 83rd Ave. & Bethany
Home Road
333,376
Parks
N/A - Pre SB1525
4250
Development Impact Fee Study
19,949
Library
N/A - Pre SB1525
4270
Heroes Regional Park Library - 83rd Avenue and
Bethany Home Rd.
1,092,821
Library
N/A - Pre SB1525
4270
Library Books
241,734
Library
N/A - Pre SB1525
4270
Development Impact Fee Study
18,322
Library
N/A - 2012 City Wide
4280
Heroes Regional Park Library - 83rd Avenue and
Bethany Home Rd.
164,691
Parks
N/A - Pre SB1525
4290
Heroes Regional Park Library - 83rd Ave. &
Bethany Home Road
11,281
Parks
N/A - Pre SB1525
4290
Pasadena Park - 87th Avenue & W Pasadena Ave
123,883
Parks
N/A - Pre SB1525
4290
Discovery Park - 6416 N 79th Lane
126,445
Parks
N/A - Pre SB1525
4300
Orangewood Vista Park - 78th Ave. &
Orangewood Ave.
65,043
Parks
N/A - Pre SB1525
4300
Development Impact Fee Study
10,267
BIENNIAL CERTIFIED AUDIT 23
Parks
East
4320
Bike Park-Foothill Park - 57th Ave and Union
Hills Rd.
5,000
Parks
West 101
4330
Heroes Regional Park Library - 83rd Ave. &
Bethany Home Road
284,770
Parks
N/A - Pre SB1525
4370
Development Impact Fee Study
589
Streets
N/A - Pre SB1525
4390
Development Impact Fee Study
36,046
Streets
N/A - 2012 City Wide
4400
Traffic Intersection Improvement - 95th Ave. &
Camelback Rd.
442,604
Streets
N/A - 2012 City Wide
4400
Traffic Intersection Improvement - 59th Ave. &
Olive
628,813
Streets
West 101
4420
Street Improvement - 83rd through 91st Ave. &
Bethany Home Rd.
181,925
Total
$5,973,964
Table 30: DIF Expenditures, FY 2019 - 2020
Program
Area
Service Area
Fund
Project Description
Total
Impact
Fee Fund
Uses
Police
N/A - Pre SB1525
4180
Distribution to various DIF Funds
$6,318
Police
N/A - 2012 City Wide
4190
Building Maintenance Reserve
71,746
Parks
N/A - Pre SB1525
4230
Parks Master Plan
2,662
Parks
N/A - Pre SB1525
4230
Distribution to Various DIF Funds
1,208
Parks
N/A - 2012 City Wide
4240
Heroes Regional Park Library - 83rd Ave. &
Bethany Home Road
42,858
Parks
N/A - Pre SB1525
4250
Parks Master Plan
16,925
Library
N/A - 2012 City Wide
4280
Heroes Regional Park Library - 83rd Avenue and
Bethany Home Rd.
1,417
Parks
N/A - Pre SB1525
4290
Distribution to Various DIF Funds
266,650
Parks
N/A - Pre SB1525
4300
Parks Master Plan
3,891
Parks
N/A - Pre SB1525
4300
Orangewood Vista Park - 78th Ave. &
Orangewood Ave.
50,239
Parks
East
4320
Bike Park-Foothill Park - 57th Ave and Union
Hills Rd.
7,211
Parks
West 101
4330
Ballpark Boulevard - Ballpark Blvd and Maryland
Rd.
35,701
Parks
N/A - Pre SB1525
4350
Parks Master Plan
176,608
Streets
N/A - Pre SB1525
4390
Ballpark Blvd. and Maryland Rd.
147,836
Streets
N/A - 2012 City Wide
4400
Ballpark Blvd. and Maryland Rd.
300,347
Streets
West 101
4420
Ballpark Blvd. and Maryland Rd.
1,471,812
Streets
West 101
4420
83rd Ave to 91st Ave
1,041,246
Water
West 101
6060
Ballpark Boulevard and Maryland Road
1,347,518
Wastewater West 101
6090
Ballpark Boulevard and Maryland Road
1,040,717
Total
$6,032,909
2.6. DIF Revenue Audit
Using the DIF charges discussed in Section 2.2, the DIF amount for each of the 3,752 charges provided was re-
calculated by Raftelis and compared to the amount reported. To test for revenue assessment errors, the DIFs
identified in the applicable LUA, IIP, and DIF Reports were applied to each of the charges by Raftelis, based on
24 CITY OF GLENDALE
the service area, DIF category, EDUs, and land use classification provided. These re-calculated DIF revenues were
compared to the DIF amount reported. Any record showing a discrepancy was considered a potential inaccuracy
subject to additional review and validation.
As shown in Table 31, 160 DIF records or approximately 4.3% of all DIF charges were initially identified for
additional review within the various DIF categories.
Table 31: DIF Records for Additional Review
Description
Number of
Records
Parks
27
Libraries
13
Streets
20
Fire
25
Police
25
Water
26
Wastewater
24
Total
160
As previously discussed, Raftelis compared independent calculations of DIF amounts to the amount provided by
the City. The preliminary records identified for further review for DIFs have been discussed with the City and
addressed in further detail in the “Adjustments and Feedback from City” subsection. Appendix A includes the
validation for all records subject to additional review.
2.7. Adjustments and Feedback from City
A majority of permit records subject to additional review were the result of lack of data used by Raftelis to calculate
the appropriate charges. Although the data provided by the City included land use type, square footage of enclosed
structures of non-residential properties were not available. This is particularly problematic with non-utility DIFs,
which are calculated based on square footage of enclosed structure for non-residential customers. Appendix A
details each DIF record subject to additional review and includes City feedback and comments.
With this response from the City, Raftelis could validate each of the 160 records identified for additional review.
Non-Residential Utility DIFs – 19 permits subject to review (18 water DIF; 16 wastewater DIF variances)
•
11 permits were related to meter upsizing, thus only the difference between the original meter and upsized
meter was assessed.
•
3 permits were related to meter size corrections.
•
2 permits were assessed the 2014 DIFs as approved by economic development due to the project being
approved 24-months before the DIF increase in 2019.
•
1 permit was an irrigation meter and thus not assessed a wastewater DIF.
•
1 permit was a wastewater only as it was related to a customer converting from a septic tank, thus no water
DIF was assessed.
•
1 permit was assessed incorrect DIF charges totaling $34,427. The City intends to reimburse the over
payment.
BIENNIAL CERTIFIED AUDIT 25
Non-Residential Non-Utility DIFs – 21 permits subject to review (20 parks DIF; 6 libraries DIF; 13 streets
DIF; 17 fire DIF; and 17 police DIF variances)
•
9 permits were related to lack of data used by Raftelis to assess a fee. The permit data provided included
square footage that was not related to the enclosed area of the building, which is how the DIFs are
assessed.
•
4 permits were related to schools which are exempt from all DIFs except for water, sewer, and streets.
•
2 permits were adjusted based on developer agreements.
•
2 permits were assessed incorrect DIFs. One totaling $323, the other totaling $407.
•
1 permit was related to an accessory dwelling unit which is not assessed DIFs.
•
1 permit was assessed the 2014 DIFs as approved by economic development due to the project being
approved 24-months before the DIF increase in 2019. This same permit included an error where the streets
DIF was overcharged by $106,899.
•
1 permit included multiple building permits within the same development multi-family and non-residential
development under a single permit.
•
1 permit was related to a development that was exempt from all non-utility DIFs except for fire, police, and
streets.
Residential Utility DIFs – 12 permits subject to review (12 water DIF; 12 wastewater DIF variances)
•
8 permits were related to properties where the water tap already existed and the water and wastewater
DIF’s had already been paid.
•
4 permits were related to multifamily residential permits, which are assessed water and wastewater DIFs
on a separate backflow permit.
Residential Non-Utility DIFs – 2 permits subject to review (1 parks DIF; 1 libraries DIF; 1 streets DIF; 2 fire
DIF; and 2 police DIF variances)
•
2 permits were assessed incorrect DIFs, one totaling an under-assessment of $64 the other totaling an
under-assessment of $3,332.
2.8. Overall Findings
Pursuant to the discussion above the following findings are provided:
1. The difference between growth forecasted in the LUA as part of the 2020 LUA, IIP, and DIF Reports and
the actual growth experienced by the City should be monitored but is not an area of immediate concern.
Growth often occurs less linearly as certain development may occur more rapidly than others and can be
influenced by various external factors. If the actual growth continues to be significantly lower than
anticipated in the LUA, IIP, and DIF Report, the City should consider updating the LUA forecast to reflect
more appropriate growth levels.
2. The completed revenue audit has not found any material discrepancies when compared to the DIFs
identified in the LUA, IIP, and DIF Reports. Raftelis recommends pursuing refunds for the six permits which
were assessed in excess of the applicable fees equal to the amount overcharged.
3. Based on the information obtained through the City’s Accounting for the Collection and Use of
Development Impact Fees Annual Report for FY 2018-19 and 2019-20, there are no discrepancies between
expenditures identified in the LUA, IIP, and DIF Reports.
APPENDIX A:
DIF Records Subject to
Additional Review with Response
from City
City of Glendale, AZ
DIF Revenue Audit
Impact Fee Recalculation Variances
List 1
Impact Fee Assessed
Raftelis Recalculated
Difference
Permit
Number
Customer Type
Meter Size
Issue Date
Fee Area
Water
Sewer
Water
Sewer
Water
Sewer
City Explanation
110258
UNDEFINED
1
5/22/2018
East
1,846
$
1,299
$
4,607
$
3,243
$
2,761
$
1,944
$
Customer upsized the domestic meter from 3/4" to 1" so this is the fee differe
111974
UNDEFINED
1
10/2/2018
East
1,846
$
1,299
$
4,607
$
3,243
$
2,761
$
1,944
$
Customer removed the existing 3/4" domestic meter and replaced with 1" meter so
fee is based on size difference.
113160
UNDEFINED
1
10/25/2018
East
1,846
$
1,299
$
4,607
$
3,243
$
2,761
$
1,944
$
Customer removed the existing 3/4" domestic meter and replaced with 1" meter so
fee is based on size difference.
111878
UNDEFINED
1
9/5/2018
East
1,846
$
1,299
$
4,607
$
3,243
$
2,761
$
1,944
$
Customer upsized the domestic meter from 3/4" to 1" so this is the fee differe
113826
UNDEFINED
1.5
12/3/2018
East
5,512
$
3,879
$
9,183
$
6,462
$
3,671
$
2,583
$
Customer upsized the domestic meter from 1.5" to 2.0" so this is the fee difference
116492
UNDEFINED
1.5
4/9/2019
East
4,607
$
3,243
$
9,183
$
6,462
$
4,576
$
3,219
$
Fees in Hansen reflect the correct DIF fees were paid for a 1" domestic met
122764
UNDEFINED
2
12/26/2019
East
31,116
$
17,106
$
15,558
$
8,553
$
(15,558)
$
(8,553)
$
Hansen reflects the correct DIF fee for 2‐2" domestic water meters
122946
UNDEFINED
1.5
1/3/2020
East
6,799
$
‐
$
9,722
$
‐
$
2,923
$
‐
$
DIF is based on upsizing irrigation meter from 3/4" to 1" so this is the fee difference
123273
UNDEFINED
1
1/16/2020
East
1,955
$
1,075
$
4,878
$
2,684
$
2,923
$
1,609
$
Customer upsized the domestic meter from 3/4" to 1" so this is the fee differe
124598
UNDEFINED
1
3/12/2020
East
1,995
$
1,075
$
4,878
$
2,684
$
2,883
$
1,609
$
Customer upsized the domestic meter from 3/4" to 1" so this is the fee differe
123122
UNDEFINED
2
2/25/2020
East
9,722
$
5,346
$
15,558
$
8,553
$
5,836
$
3,207
$
Customer upsized the domestic meter from 1.5" to 2.0" so this is the fee difference
123125
UNDEFINED
2
2/25/2020
East
9,722
$
5,346
$
15,558
$
8,553
$
5,836
$
3,207
$
Customer upsized the domestic meter from 1.5" to 2.0" so this is the fee difference
124867
UNDEFINED
n/a
3/27/2020
East
4,878
$
‐
$
‐
$
‐
$
(4,878)
$
‐
$
Installation of a 1" irrigation meter. Only Water DIF fee applie
125637
UNDEFINED
1.5
4/29/2020
East
4,844
$
2,662
$
9,722
$
5,346
$
4,878
$
2,684
$
Customer upsized the domestic meter from 1.0" to 1.5" so this is the fee difference
125818
UNDEFINED
n/a
5/1/2020
East
‐
$
2,684
$
‐
$
‐
$
‐
$
(2,684)
$
Customer tied into City Sewer and abandoned septic tank. DIF fee charged is for sew
only based on an existing 1" water meter.
125668
UNDEFINED
1.5
5/5/2020
East
15,558
$
8,553
$
9,722
$
5,346
$
(5,836)
$
(3,207)
$
124107
UNDEFINED
2
3/5/2020
East
14,695
$
10,341
$
15,558
$
8,553
$
863
$
(1,788)
$
If the project was approved 24‐months before a DIF fee increase, the owner/develop
can request that the fee be calculated under the previous DIF fee schedule. In this case,
the request was made and approved by Econ. Dev.
124108
UNDEFINED
1
3/5/2020
East
4,607
$
‐
$
4,878
$
‐
$
271
$
‐
$
If the project was approved 24‐months before a DIF fee increase, the owner/develop
can request that the fee be calculated under the previous DIF fee schedule. In this case,
the request was made and approved by Econ. Dev.
117508
UNDEFINED
1.5
5/20/2019
West 101
29,390
$
20,682
$
9,183
$
6,462
$
(20,207)
$
(14,220)
$
DIF charged incorrectly. Note in Hansen on 6‐5‐19 states refund to applicant from
overpayment.
Page A - 1
City of Glendale, AZ
DIF Revenue Audit
Impact Fee Recalculation Variances
List 2
Impact Fee Assessed
Raftelis Recalculated
Variance
Permit
Number
Customer Type
Sq Ft
(1,000)
Issue Date
Fee
Area
Parks
Libraries
Streets
Fire
Police
Parks
Libraries
Streets
Fire
Police
Parks
Libraries
Streets
Fire
Police
City Explanation
110678
Commercial
5.65
7/23/2018
East
10
$
‐
$
513
$
55
$
23
$
243
$
‐
$
12,487
$
1,350
$
559
$
233
$
‐
$
11,974
$
1,295
$
536
$
DIF FEES CHGD ON ENCLOSED STRUCT @ 232 SF. OPEN
CANOPY SF DOES NOT APPLY TO DIF
117950
Commercial
10.05
6/6/2019
East
201
$
‐
$
10,316
$
1,116
$
462
$
432
$
‐
$
22,206
$
2,401
$
995
$
231
$
‐
$
11,890
$
1,286
$
533
$
DIF FEES CHGD ON ENCLOSED STRUCT @ 4668 SF. OPEN
CANOPY SF DOES NOT APPLY TO DIF
111912
Commercial
11.06
10/18/2018
East
254
$
‐
$
13,068
$
1,413
$
585
$
476
$
‐
$
24,445
$
2,644
$
1,095
$
221
$
‐
$
11,377
$
1,230
$
510
$
DIF FEES CHGED ON ENCLOSED STRUCT @ 5193 SF. DIF'S
FOR OPEN CANOPY DOES NOT APPLY
118455
Commercial
4.59
8/22/2019
East
55,915
$
‐
$
97,473
$
70,854
$
21,026
$
55,915
$
‐
$
97,473
$
70,854
$
21,026
$
0
$
‐
$
‐
$
(0)
$
(0)
$
ALL DIF FEES CALCULATED AND PLACED UNDER THIS PERMIT
IN LIEU OF EA. BLDG PERMIT FOR MULTI‐FAMILY AND
COMMERCIAL PORTIONS OF THIS DEVELOPMENT
122404
Commercial
6.35
12/12/2019
East
1,350
$
265
$
66,909
$
10,984
$
12,070
$
616
$
121
$
30,518
$
5,010
$
5,505
$
(734)
$
(144)
$
(36,391)
$
(5,974)
$
(6,565)
$
DIF FEES BASED ON FOOTPRINT SF OF SHELL BLDG @ 13,922
SF
124101
Commercial
38.08
3/5/2020
East
1,638
$
‐
$
191,062
$
9,102
$
3,770
$
1,638
$
‐
$
84,163
$
9,102
$
3,770
$
0
$
‐
$
(106,899)
$
0
$
0
$
DIF FEES CALCULATED UNDER OLD SCHDULED DUE TO D.R.
APPVD WITHIN THE LAST 24‐MOS. FEES WERE MANUALLY
CALCULATED AND AN ERROR ON THE STREET FEE WAS
MADE RESULTING IN THAT PORTION BEING OVERCHARGED
113173
Commercial
6.73
10/25/2018
West
101
205
$
‐
$
23,911
$
1,139
$
472
$
289
$
‐
$
33,759
$
1,608
$
666
$
84
$
‐
$
9,848
$
469
$
194
$
DIF FEES BASED ON 4766 SF OF COMMERCIAL USE
114658
Industrial
3.15
1/22/2019
East
118
$
‐
$
1,580
$
662
$
62
$
72
$
‐
$
970
$
406
$
38
$
(46)
$
‐
$
(610)
$
(255)
$
(24)
$
DIF FEES BASED ON 5130 SF UNDER OLD DIF SCHEDULE
124812
Industrial
76.53
3/26/2020
East
7,003
$
1,313
$
92,495
$
15,464
$
17,069
$
3,674
$
689
$
48,522
$
8,112
$
8,954
$
(3,329)
$
(624)
$
(43,973)
$
(7,352)
$
(8,115)
$
DIF FEES BASED ON TOTAL SF OF SHELL BLDS C & D @
145,891 SF INDUST. EAST
124692
Industrial
901.20
3/18/2020
West
101
‐
$
‐
$
‐
$
116,255
$
10,814
$
43,258
$
8,111
$
‐
$
95,527
$
105,440
$
43,258
$
8,111
$
‐
$
(20,728)
$
94,626
$
DEVELOPMENT AGREEMENT STATES DIF FEES TO BE
CALCULATED UNDER 2014 DIF FEES
118583
Industrial
722.48
7/1/2019
West
303
‐
$
‐
$
‐
$
93,199
$
8,670
$
‐
$
‐
$
833,736
$
93,199
$
8,670
$
‐
$
‐
$
833,736
$
(0)
$
‐
$
DEVELOPMENT AGREEMENT STATES DIF FEES TO BE
CALCULATED UNDER 2014 DIF FEES
124493
Industrial
705.30
3/10/2020
West
303
‐
$
‐
$
‐
$
74,762
$
82,521
$
33,855
$
6,348
$
‐
$
74,762
$
82,521
$
33,855
$
6,348
$
‐
$
0
$
(0)
$
SCHOOLS ARE EXEMPT FROM ALL DIF FEES EXCEPT WATER,
SEWER & STREETS
124489
Industrial
487.42
3/10/2020
West
303
‐
$
‐
$
‐
$
51,666
$
57,028
$
23,396
$
4,387
$
‐
$
51,666
$
57,028
$
23,396
$
4,387
$
‐
$
‐
$
(0)
$
DIF FEES BASED ON OLD SCHEDULE WEST 303 FIRE AND
POLICE ONLY & STREETS *
111646
Institutional
38.17
8/10/2018
East
‐
$
‐
$
33,702
$
‐
$
‐
$
1,145
$
‐
$
33,702
$
6,336
$
1,374
$
1,145
$
‐
$
0
$
6,336
$
1,374
$
DIF FEES BASED ON 11,392 SF AS DIF FEES DO NOT APPLY TO
CANOPY OF 216 SF
113428
Institutional
11.61
11/9/2018
East
‐
$
‐
$
10,250
$
1,834
$
398
$
348
$
‐
$
10,250
$
1,927
$
418
$
348
$
‐
$
0
$
93
$
20
$
SCHOOLS ARE EXEMPT FROM ALL DIF FEES EXCEPT WATER,
SEWER & STREETS
114271
Institutional
30.79
12/27/2018
East
‐
$
‐
$
27,188
$
‐
$
‐
$
924
$
‐
$
27,188
$
5,111
$
1,108
$
924
$
‐
$
0
$
5,111
$
1,108
$
SCHOOLS ARE EXEMPT FROM ALL DIF FEES EXCEPT WATER,
SEWER & STREETS
114272
Institutional
30.79
12/27/2018
East
‐
$
‐
$
33,402
$
‐
$
‐
$
924
$
‐
$
27,188
$
5,111
$
1,108
$
924
$
‐
$
(6,214)
$
5,111
$
1,108
$
SCHOOLS ARE EXEMPT FROM ALL DIF FEES EXCEPT WATER,
SEWER & STREETS
119088
Institutional
0.60
7/23/2019
East
‐
$
‐
$
530
$
‐
$
‐
$
18
$
‐
$
530
$
100
$
22
$
18
$
‐
$
‐
$
100
$
22
$
NO DIF FEES SHOULD HAVE BEEN PAID DUE TO ASSESSORY
BLDG
121435
Institutional
10.77
11/5/2019
East
‐
$
‐
$
9,511
$
1,788
$
388
$
323
$
‐
$
9,511
$
1,788
$
388
$
323
$
‐
$
0
$
(0)
$
(0)
$
NO EXPLANATION HOW THE FEES WERE CALCULATED
114713
Office & Other
Services
1.09
1/29/2019
East
86
$
‐
$
812
$
477
$
33
$
110
$
‐
$
1,046
$
615
$
43
$
25
$
‐
$
234
$
138
$
10
$
UNABLE TO DICIFER HOW FEES WERE ASSESSED
116701
Office & Other
Services
6.00
5/1/2019
East
93
$
‐
$
877
$
516
$
36
$
606
$
‐
$
5,742
$
3,378
$
234
$
513
$
‐
$
4,865
$
2,862
$
198
$
DIF FEES BASED ON NEW ADDITION OF 916 SF ONLY BASED
ON OLD SCHEDULE TI IS N/A
Page A - 2
City of Glendale, AZ
DIF Revenue Audit
Impact Fee Recalculation Variances
List 3
Impact Fee Assessed
Raftelis Recalculated
Variance
Permit
Number
Customer
Type
Meter
Size
MF
Units
Issue Date
Fee
Area
Parks
Libraries
Streets
Fire
Police
Water
Sewer
Parks
Libraries
Streets
Fire
Police
Water
Sewer
Parks
Libraries
Streets
Fire
Police
Water
Sewer
City Explanation
110047
Residential
5/24/2018
East
909
$
‐
$
1,551
$
1,146
$
339
$
‐
$
‐
$
909
$
‐
$
1,551
$
1,146
$
339
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
W & S DIF DOES NOT APPLY WHEN TAPS ARE
EXISTING ONLY BLDG DIF APPLY
110108
Residential
5/24/2018
East
909
$
‐
$
1,551
$
1,146
$
339
$
‐
$
‐
$
909
$
‐
$
1,551
$
1,146
$
339
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
W & S DIF DOES NOT APPLY WHEN TAPS ARE
EXISTING ONLY BLDG
111121
Residential
0.75
8/9/2018
East
909
$
‐
$
1,551
$
1,146
$
339
$
‐
$
‐
$
909
$
‐
$
1,551
$
1,146
$
339
$
2,761
$
1,944
$
‐
$
‐
$
‐
$
‐
$
‐
$
2,761
$
1,944
$
W & S DIF DOES NOT APPLY WHEN TAPS ARE
EXISTING ONLY BLDG DIF APPLY
114585
Residential
1/15/2019
East
909
$
‐
$
1,551
$
1,146
$
339
$
‐
$
‐
$
909
$
‐
$
1,551
$
1,146
$
339
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
W & S DIF DOES NOT APPLY WHEN TAPS ARE
EXISTING ONLY BLDG DIF APPLY
114586
Residential
1/15/2019
East
909
$
‐
$
1,551
$
1,146
$
339
$
‐
$
‐
$
909
$
‐
$
1,551
$
1,146
$
339
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
W & S DIF DOES NOT APPLY WHEN TAPS ARE
EXISTING ONLY BLDG DIF APPLY
123995
Residential
0.75
2/20/2020
East
936
$
195
$
3,635
$
‐
$
1,438
$
2,923
$
1,609
$
936
$
195
$
3,635
$
655
$
719
$
2,923
$
1,609
$
‐
$
‐
$
‐
$
655
$
(719)
$
‐
$
‐
$
POLICE DIF WAS CHRGD TWICE & FIRE NOT
CHRGD. OVERAGE OF $64
124946
Residential
0.75
3/30/2020
East
936
$
195
$
3,635
$
655
$
719
$
‐
$
‐
$
936
$
195
$
3,635
$
655
$
719
$
2,923
$
1,609
$
‐
$
‐
$
‐
$
‐
$
‐
$
2,923
$
1,609
$
DIF FEES ARE CORRECT ‐ SEWER DIF N/A AS
SEWER SVC EXISTING
127011
Residential
6/25/2020
East
936
$
195
$
3,635
$
655
$
719
$
‐
$
‐
$
936
$
195
$
3,635
$
655
$
719
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
W & S DIF DOES NOT APPLY WHEN TAPS ARE
EXISTING ONLY BLDG DIF APPLY
114342
Residential
6/10/2019
West
101
909
$
‐
$
3,522
$
1,146
$
339
$
‐
$
‐
$
909
$
‐
$
3,522
$
1,146
$
339
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
‐
$
NO SEWER DIF AS TAP IS EXISTING, REVIEWER
DIDN'T REQ. WATER TAP FEE
115967
Residential ‐
MF
324
3/19/2019
East
167,508
$
‐
$
280,260
$
211,248
$
62,532
$
‐
$
‐
$
167,508
$
‐
$
280,260
$
211,248
$
62,532
$
#N/A
#N/A
‐
$
‐
$
‐
$
‐
$
‐
$
#N/A
#N/A
W & S DIF ARE ASSESSED ON THE BACKFLOW
PERMITS
124051
Residential ‐
MF
0.75
2
2/23/2020
East
1,872
$
390
$
7,270
$
1,310
$
1,438
$
‐
$
‐
$
1,236
$
258
$
5,638
$
866
$
950
$
2,923
$
1,609
$
(636)
$
(132)
$
(1,632)
$
(444)
$
(488)
$
2,923
$
1,609
$
SHOULD HAVE BEEN MULTI‐FAMILY. W & S
TAPS EXIST.
125227
Residential ‐
MF
72
4/29/2020
East
44,496
$
9,288
$
202,968
$
31,176
$
34,200
$
‐
$
‐
$
44,496
$
9,288
$
202,968
$
31,176
$
34,200
$
#N/A
#N/A
‐
$
‐
$
‐
$
‐
$
‐
$
#N/A
#N/A
W & S DIF ARE ASSESSED ON THE BACKFLOW
PERMITS
113168
Residential ‐
MF
240
10/25/2018
West
101
124,080
$
‐
$
471,120
$
156,480
$
46,320
$
‐
$
‐
$
124,080
$
‐
$
471,120
$
156,480
$
46,320
$
#N/A
#N/A
‐
$
‐
$
‐
$
‐
$
‐
$
#N/A
#N/A
W & S DIF ARE ASSESSED ON THE BACKFLOW
PERMITS
Page A - 3