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City proposes phased increase in development impact fees after stakeholder feedback
Summary
After stakeholder meetings raised concern about housing cost impacts, staff recommended phasing residential impact fee increases (80% first year, 90% second year, 100% third year) while immediately implementing reductions for certain nonresidential fees that are lower than current levels.
City staff on Tuesday presented a revised proposal to update Tucson’s development impact fees and outlined a phased implementation schedule after developers and housing advocates urged caution about near‑term cost impacts.
Planning and Development staff told the council the fee study results showed residential impact fees would increase by roughly 41%–46% from current levels if fully implemented. Stakeholders asked the city to adopt lower fees, to phase increases over time and to expand development incentives such as mixed‑use incentives. In response,…
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