Arizona Senate Bill 1406 addresses development fees that a municipality like Oro Valley can charge home builders. This Bill, introduced by Tim Bee passed 25-3 with 2 no votes, one of which was our representative, Charlene Pesquiera. On March 20, the bill was sent on to the Az House for approval.
On page 4, Paragraphy 3F, noted below, an amendment to the final bill states:
"PURSUANT TO SUBSECTION G OF THIS SECTION, A MUNICIPALITY'S DEVELOPMENT FEE ORDINANCE SHALL PROVIDE THAT A NEW DEVELOPMENT FEE OR AN INCREASED PORTION OF A MODIFIED DEVELOPMENT FEE SHALL NOT BE ASSESSED AGAINST A DEVELOPMENT FOR TWENTY-FOUR MONTHS AFTER THE DATE OF THE MUNICIPALITY'S FINAL APPROVAL OF THE DEVELOPMENT, PROVIDED THAT NO MATERIAL CHANGES SITE PLAN OR SUBDIVISION PLAT THAT WAS THE SUBJECT OF THE FINAL APPROVAL. THE TWENTY-FOUR MONTH PERIOD SHALL NOT BE EXTENDED BY A RENEWAL OR AMENDMENT OF THE SITE PLAN OR THE FINAL SUBDIVISION PLAT THAT WAS THE SUBJECT OF THE FINAL APPROVAL. THE MUNICIPALITY SHALL ISSUE, ON REQUEST. A WRITTEN STATEMENT OF THE DEVELOPMENT FEE SCHEDULE APPLICABLE TO THE DEVELOPMENT."
David Andrews, Oro Valley Town Manager, points out that this bill, if passed, will have a major detrimental impact on Oro Valley. Mr. Andrews states: "This 24 month waiting period would be applied to any new fees that become effective after Jan. 1,2009. This 24 month waiting period has the potential to cause both administrative and budgetary consequences."
The Oro Valley Council plans on having a Study Session on April 23 to discuss the proposed development impact fees. Click here to read the bill,including the amendments.