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Phoenix holds public hearing on proposed impact fee increases; developers seek grandfathering for affordable projects
Summary
Developers and council members debated the timing and fairness of proposed impact fee increases at a public hearing; staff explained statutory timelines and grandfathering rules, and the council closed the hearing for a later vote.
Phoenix City Council held a public hearing on Feb. 19 on a proposed update to development impact fees that would raise charges assessed on new development to pay for capital projects such as water, wastewater, streets and public safety facilities.
Matthew Klein of Lincoln Avenue Communities, an affordable-housing developer, told the council proposed fee increases would threaten projects already under contract. Klein said a multifamily site he contracted for in third quarter 2024 had been modeled under prior impact fees and that increases — he estimated an earlier fee of $3.5 million could rise to more than $7.5 million — would jeopardize feasibility. He asked the council to extend…
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