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Input sought from residents, developers on proposed revisions to Chandler’s fee system

Chandler’s annual system development-fee update will be the subject of a public meeting at 6 p.m. Wednesday, Aug.24, at the Hamilton Branch Library, 3700 S. Arizona Ave. 

Members of the public and development community are encouraged to attend in order to understand the methodology used for the update.

System development fees are assessed one time for every new building constructed and are intended to help offset costs incurred by a city when growth occurs. The fees help the
city recover the costs of providing water, sewer, fire, police and other services to new developments. 

The city is proposing to update the fees as of Feb. 1.

Currently each single-family home incurs $9,771 in system development fees; builders of multi-family housing pay $6,436 per unit. 

The updated fees include an option to include growth-related capital equipment costs for certain fee categories. Under the new fee structure, a developer would pay the city $14,185 in system development fees for each single-family home ($14,243 in fees if the option to include growth-related capital equipment costs is selected) and $8,791 for each multi-family unit ($8,847 in fees if the option to include growth-related capital equipment costs is selected). 

Developers of new non-residential properties would pay increased fees as well.

The city has charged system development fees since January 1997 and has collected an average of $19 million a year. 

A formal public hearing regarding the fee update is scheduled for the Sept. 29 Chandler City Council meeting.  Council members will vote at their Oct. 13 meeting on an ordinance reflecting the new fee schedule, which will include a decision on whether to include growth-related capital equipment costs. 

The new fees will be adopted at the Oct. 27 council meeting and will go into effect Feb. 1.

Persons with questions or comments regarding the meetings or proposed fee update should contact Pat Walker, management services director, (480) 782-2252.

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