Payson council tables hotel impact-fee agreement; staff to negotiate payment terms

Payson City Council on Aug. 20 voted to table a draft agreement with Payson Hospitality Group that would let the hotel developer pay impact fees over time instead of in a single upfront payment. David Tuckett, a city staff member, told the council the developer cannot have fees waived but the city had offered a deferred payment option: "We indicated that we cannot waive impact fees...we offered that we could have the impact fees paid over monthly fee on the utility bill until it's paid," Tuckett said. Council members debated how broadly the city should allow extended payment of impact fees and whether a full deferral would set a precedent. Some members said they were open to limited, short-term deferral options for large commercial projects but opposed spreading the full impact-fee obligation across many years. After discussion, a council member moved to table the resolution "to allow staff and others to meet with them to come up with hard numbers and look at these impact fees," and the motion carried on a roll call vote. Staff said they will draft guidelines for when and how deferred or installment impact-fee agreements could be allowed and return with those numbers for council consideration. The council did not approve any fee deferral at the meeting.