Heads Up – Tucson Impact Fees

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By Shawn Cote, SAHBA’s Government Affairs Director

In 2014, the Tucson City Council adopted new impact fee studies which resulted in significant increases to the total fee schedule. At that time, SAHBA engaged legal counsel and an impact fee consultant to highlight various potential statutory concerns with the approved studies as well as highlight the adverse impact such a fee increase would have on housing starts. As a result, the City did not implement the full increase and maintained fees at the existing level. This was expected to be a one-time delay. However, over the next three years, SAHBA was successful in encouraging Mayor & Council to take action to delay implementing the full fee increases.

 

In a recent meeting, City Manager Mike Ortega informed SAHBA that he will be recommending to Mayor Rothschild and City Council that they do not delay the increase again, thereby allowing the previously adopted full amount to be charged. Should Mayor and Council follow his recommendation, impact fees will increase effective July 01, 2018. 

 

  • For current impact fee schedule, click here.
  • For 2014 fully adopted impact fees, click here.
  • The original ordinance can be located here.

 

At this time, SAHBA will continue to advocate for maintaining the existing impact fee amount as well as requesting that the City initiate new impact fee studies that are statutory compliant.
Please plan as if the fees will go up. Additionally, if you have a development where a building permit has yet to be pulled, please consider doing so as soon as possible and prior to the July 01, 2018 deadline in order to delay the effect of any increase on the project.
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