PowerPoint Presentation

City Council Work Study Session
Glendale, Arizona
January 28, 2025
DRAFT Land Use Assumptions, 
Infrastructure Improvements Plan, 
and Development Fees

2
Overview
•
Development Fee Basics
•
Land Use Assumptions (LUA)
•
Infrastructure Improvements Plan (IIP)
•
Proposed Fee Summary
•
Proposed Fee Comparison

3
Development Fee Basics
•
One-time payment for growth-related infrastructure
•
Collected when building permit issued
•
Can’t fund operations, maintenance, or replacement
•
Not a tax, but a contractual arrangement to build 
infrastructure with three requirements:
•
Need for infrastructure (system-level improvements, not project-level improvements)
•
Benefit to fee payer (service areas, accounting and expenditure controls)
•
Proportionate to demand
• Level of Service (LOS)
•
May not exceed what is provided to existing development
•
Higher LOS must be paired with non-development fee funding source to cover existing 
development’s share
DRAFT

4
Fee Methodologies
TischlerBise  |  www.tischlerbise.com
•
Cost Recovery Approach (Past)
•
Future development is “buying in” to the cost the community has already 
incurred to provide growth-related capacity
•
Common in communities approaching buildout
•
Incremental Expansion Approach (Present)
•
Formula-based approach based on existing levels of service
•
Fee is based on the current cost to replicate existing levels of service 
(i.e., replacement cost)
•
Plan-Based Approach (Future)
•
Usually reflects an adopted CIP or master plan
•
Growth-related costs are more refined
DRAFT

5
Evaluate Need for Credits
•
Site Specific
•
Developer constructs a capital facility included in fee calculations
•
Debt Service
•
Avoid double payment due to existing or future bonds
•
Dedicated Revenues
•
Property tax, local option sales tax, gas tax, etc.
DRAFT

6
Arizona Legislation
•
Three Integrated Documents
•
Land Use Assumptions (LUA): 10+ years
•
Infrastructure Improvements Plan (IIP): limited to 10 years
•
Development Fees: updated every 5 years
•
Limitations on Necessary Public Services
•
Library: Limited to 10,000 square feet
•
Parks: 30 acres unless direct benefit to development
•
Public Safety: No regional training facilities
•
Useful life of 3 or more years
DRAFT

7
Necessary Public Services
•
Adopted 2022
•
Street
•
Adopted 2024
•
Water
•
Wastewater
•
2025 Update
•
Fire
•
Library
•
Parks
•
Police
DRAFT

8
Project Timeline
• March 2024: Project Initiation Meeting 
• Dec 11: Advertise (60 days)
• Jan 28, 2025: Work Session
• Feb 11: Public Hearing (30 days)
• March 25: Adoption
• March 26: Advertise (30 days)
• May 15: Public Hearing (30 days)
• June 24: Adoption (75 days)
• Sept 8: Fees Effective
Land Use 
Assumptions (LUA) 
& Infrastructure 
Improvements 
Plan (IIP)
Development Fees
DRAFT

9
Land Use Assumptions
DRAFT
Multi-Family and Employment: Maricopa Association of Governments (MAG) 2023 Socioeconomic Projections
Single Family: Glendale staff based on available land 
2024
2025
2026
2027
2028
2029
2030
2031
2032
2033
2034
Base Year
1
2
3
4
5
6
7
8
9
10
Population
261,600
263,766
265,545
266,860
269,026
271,115
272,256
274,363
276,294
277,875
279,104
17,504
Housing Units
Single Family
67,500
67,947
68,315
68,586
69,034
69,465
69,577
69,784
69,974
70,129
70,249
2,750
Multi-Family
29,376
29,792
30,134
30,387
30,803
31,205
31,607
32,350
33,031
33,588
34,021
4,645
Total
96,875
97,739
98,449
98,973
99,837
100,670
101,184
102,134
103,004
103,717
104,270
7,395
Employment
Industrial
22,292
23,837
25,382
26,927
28,471
30,016
31,561
32,353
33,144
33,936
34,727
12,435
Commercial
27,841
28,259
28,676
29,093
29,510
29,927
30,344
30,473
30,601
30,730
30,858
3,017
Office & Other Services
30,230
30,970
31,710
32,450
33,191
33,931
34,671
35,431
36,191
36,952
37,712
7,482
Institutional
10,378
10,570
10,762
10,955
11,147
11,340
11,532
11,629
11,725
11,822
11,918
1,540
Total
90,741
93,636
96,530
99,425
102,319
105,214
108,108
109,885
111,661
113,438
115,215
24,474
Nonres. Floor Area (x1,000)
Industrial
28,946
30,281
31,616
32,951
34,285
35,620
36,955
37,639
38,322
39,006
39,690
10,744
Commercial
13,113
13,310
13,506
13,703
13,899
14,096
14,292
14,353
14,413
14,474
14,534
1,421
Office & Other Services
9,281
9,508
9,735
9,962
10,190
10,417
10,644
10,877
11,111
11,344
11,578
2,297
Institutional
3,425
3,488
3,552
3,615
3,679
3,742
3,806
3,837
3,869
3,901
3,933
508
Total
54,765
56,587
58,409
60,231
62,052
63,874
65,696
66,706
67,715
68,725
69,735
14,970
10-Year 
Increase
Glendale, Arizona

10
Fire IIP
•
Service Area
•
Citywide
•
Fee Components
•
Fire Facilities: Incremental
•
Fire Apparatus: Incremental
•
10-Year Demand
•
Fire Facilities: 12,000 square feet, $6.9 million
•
Fire Apparatus: $3.2 million
DRAFT

11
Proposed Fire Fees
DRAFT
Fee Component
Cost per Person
Cost per Trip
Fire Facilities
$211.31
$61.30
Fire Apparatus
$97.44
$28.27
Development Fee Report
$1.29
$0.12
Total
$310.04
$89.69
Single Family
Housing Unit
2.97
$921
$655
$266
Multi-Family
Housing Unit
2.01
$623
$433
$190
Industrial
1,000 Sq Ft
1.69
$152
$106
$46
Commercial
1,000 Sq Ft
12.21
$1,095
$789
$306
Office & Other Services
1,000 Sq Ft
5.42
$486
$308
$178
Institutional
1,000 Sq Ft
7.45
$668
$408
$260
Assisted Living
Bed
1.30
$117
N/A
N/A
Lodging
Room
4.00
$359
N/A
N/A
1. See Land Use Assumptions
Development Type
Persons
per Dev. Unit1
Proposed
Fees
Current 
Fees
Difference
Development
Unit
Development Type
Vehicle Trips
per Dev. Unit1
Proposed
Fees
Current 
Fees
Difference
Development
Unit
Residential Fees per Development Unit
Nonresidential Fees per Development Unit

12
Library IIP
•
Service Area
•
Citywide
•
Fee Components
•
Library Facilities: Incremental
•
10-Year Demand
•
Library Facilities: 2,900 square feet, $2.5 million
DRAFT

13
Proposed Library Fees
DRAFT
Fee Component
Cost per Person
Cost per Job
Library Facilities
$118.02
$17.91
Development Fee Report
$1.61
$0.06
Total
$119.63
$17.97
Single Family
Housing Unit
2.97
$355
$195
$160
Multi-Family
Housing Unit
2.01
$240
$129
$111
Industrial
1,000 Sq Ft
1.16
$21
$9
$12
Commercial
1,000 Sq Ft
2.12
$38
$19
$19
Office & Other Services
1,000 Sq Ft
3.26
$58
$24
$34
Institutional
1,000 Sq Ft
3.03
$54
$7
$47
Assisted Living
Bed
0.61
$11
N/A
N/A
Lodging
Room
0.56
$10
N/A
N/A
1. See Land Use Assumptions
Development Type
Persons
per Dev. Unit1
Proposed
Fees
Current 
Fees
Difference
Development Type
Jobs
per Dev. Unit1
Proposed
Fees
Development
Unit
Development
Unit
Residential Fees per Development Unit
Nonresidential Fees per Development Unit
Difference
Current 
Fees

14
Parks and Recreational IIP
•
Service Area
•
Citywide
•
Fee Components
•
Park Amenities: Incremental
•
10-Year Demand
•
Park Amenities: $8.5 million
DRAFT

15
Proposed Parks and Recreational Fees
DRAFT
Fee Component
Cost per Person
Cost per Job
Park Amenities
$400.44
$60.76
Development Fee Report
$1.61
$0.06
Total
$402.05
$60.82
Single Family
Housing Unit
2.97
$1,194
$936
$258
Multi-Family
Housing Unit
2.01
$808
$618
$190
Industrial
1,000 Sq Ft
1.16
$70
$48
$22
Commercial
1,000 Sq Ft
2.12
$129
$97
$32
Office & Other Services
1,000 Sq Ft
3.26
$198
$123
$75
Institutional
1,000 Sq Ft
3.03
$184
$38
$146
Assisted Living
Bed
0.61
$37
N/A
N/A
Lodging
Room
0.56
$34
N/A
N/A
1. See Land Use Assumptions
Development
Unit
Residential Fees per Development Unit
Nonresidential Fees per Development Unit
Difference
Development Type
Jobs
per Dev. Unit1
Proposed
Fees
Current 
Fees
Development Type
Persons
per Dev. Unit1
Proposed
Fees
Current 
Fees
Difference
Development
Unit

16
Police IIP
•
Service Area
•
Citywide
•
Fee Components
•
Police Facilities: Incremental
•
Police Vehicles: Incremental
•
Police Equipment: Incremental
•
10-Year Demand
•
Police Facilities: 4,000 square feet, $4.2 million
•
Police Vehicles: $1.6 million
•
Police Equipment: $1.8 million
DRAFT

17
Proposed Police Fees
DRAFT
Fee Component
Cost per Person
Cost per Trip
Police Facilities
$129.10
$37.45
Police Vehicles
$50.40
$14.62
Police Equipment
$55.68
$16.15
Development Fee Report
$1.29
$0.12
Total
$236.47
$68.34
Single Family
Housing Unit
2.97
$702
$719
($17)
Multi-Family
Housing Unit
2.01
$475
$475
$0
Industrial
1,000 Sq Ft
1.69
$115
$117
($2)
Commercial
1,000 Sq Ft
12.21
$834
$867
($33)
Office & Other Services
1,000 Sq Ft
5.42
$370
$339
$31
Institutional
1,000 Sq Ft
7.45
$509
$448
$61
Assisted Living
Bed
1.30
$89
N/A
N/A
Lodging
Room
4.00
$273
N/A
N/A
1. See Land Use Assumptions
Residential Fees per Development Unit
Nonresidential Fees per Development Unit
Development Type
Persons
per Dev. Unit1
Proposed
Fees
Current 
Fees
Difference
Development Type
Vehicle Trips
per Dev. Unit1
Proposed
Fees
Current 
Fees
Difference
Development
Unit
Development
Unit

18
Fee Summary (Excludes Street & Utility Fees)
Proposed
Current
DRAFT
Single Family
Housing Unit
$921
$355
$1,194
$702
$3,172
Multi-Family
Housing Unit
$623
$240
$808
$475
$2,146
Industrial
1,000 Sq Ft
$152
$21
$70
$115
$358
Commercial
1,000 Sq Ft
$1,095
$38
$129
$834
$2,096
Office & Other Services
1,000 Sq Ft
$486
$58
$198
$370
$1,112
Institutional
1,000 Sq Ft
$668
$54
$184
$509
$1,415
Assisted Living
Bed
$117
$11
$37
$89
$254
Lodging
Room
$359
$10
$34
$273
$676
Development
Unit
Development Type
Fire
Parks & 
Recreational
Police
Library
Proposed
Fees
Single Family
Housing Unit
$655
$195
$936
$719
$2,505
Multi-Family
Housing Unit
$433
$129
$618
$475
$1,655
Industrial
1,000 Sq Ft
$106
$9
$48
$117
$280
Commercial
1,000 Sq Ft
$789
$19
$97
$867
$1,772
Office & Other Services
1,000 Sq Ft
$308
$24
$123
$339
$794
Institutional
1,000 Sq Ft
$408
$7
$38
$448
$901
Development
Unit
Development Type
Fire
Library
Parks & 
Recreational
Police
Current
Fees
Single Family
Housing Unit
$266
$160
$258
($17)
$667
Multi-Family
Housing Unit
$190
$111
$190
$0
$491
Industrial
1,000 Sq Ft
$46
$12
$22
($2)
$78
Commercial
1,000 Sq Ft
$306
$19
$32
($33)
$324
Office & Other Services
1,000 Sq Ft
$178
$34
$75
$31
$318
Institutional
1,000 Sq Ft
$260
$47
$146
$61
$514
Development
Unit
Difference
Development Type
Fire
Library
Parks & 
Recreational
Police
Increase / 
(Decrease)

19
$0
$5,000
$10,000
$15,000
$20,000
$25,000
$30,000
$35,000
$40,000
Gilbert
Phoenix - NW (Proposed)
Phoenix - NE (Proposed)
Peoria - West
Phoenix - Deer Valley (Proposed)
Buckeye - Central (Proposed)
Peoria - North
Surprise - SPA 2
Apache Junction
Surprise - SPA 3
Surprise - SPA 4
Chandler
Goodyear - South
Surprise - SPA 1
Buckeye - Tartesso West (Proposed)
Goodyear - North
Buckeye - Central (Current)
Phoenix - NW (Current)
Phoenix - NE (Current)
Glendale - East (Proposed)
Avondale
Buckeye - Tartesso West (Current)
Glendale - East (Current)
Phoenix - Deer Valley (Current)
Queen Creek
Maricopa - South
Maricopa - North
Glendale - West (Proposed)
Glendale - West (Current)
Buckeye - Festival Ranch (Proposed)
Buckeye - Festival Ranch (Current)
Single-Family Fee Comparison
Non-Utility
Utility
Single-Family Fee Comparison
DRAFT
$14,567
$13,900
$7,747 $7,080

20
$0
$5,000
$10,000
$15,000
$20,000
$25,000
$30,000
$35,000
$40,000
Gilbert
Peoria - West
Peoria - North
Maricopa - South
Chandler
Buckeye - Central (Proposed)
Maricopa - North
Avondale
Glendale - West (Proposed)
Glendale - East (Proposed)
Queen Creek
Glendale - West (Current)
Glendale - East (Current)
Apache Junction
Phoenix - Deer Valley (Proposed)
Phoenix - NW (Proposed)
Phoenix - NW (Current)
Phoenix - Deer Valley (Current)
Buckeye - Festival Ranch (Proposed)
Phoenix - NE (Proposed)
Buckeye - Tartesso West (Proposed)
Phoenix - NE (Current)
Buckeye - Central (Current)
Surprise - SPA 2
Surprise - SPA 3
Surprise - SPA 4
Surprise - SPA 1
Goodyear - North
Goodyear - South
Buckeye - Tartesso West (Current)
Buckeye - Festival Ranch (Current)
Single-Family Fee Comparison (Non-Utility Only)
Non-Utility
Single-Family Fee Comparison (Non-Utility Only)
DRAFT
$7,080 $6,775
$7,747 $7,442
Includes Required Credit for 
Excess Construction Sales Tax