Fountain Hills Eyes Fee Hike For Growth Projects

Fountain Hills is on track for a sharp jump in its development fees. The Town Council approved a consultant’s report but won’t vote on adopting the higher rates until December. The move could more than triple what builders pay to support fire, park, & street projects.

Quick Points

• Town Council approved study, vote on fees in December

• Fees fund fire, parks, & street projects only

• Single-family rate could rise from $3,973 to $12,314

• Consultant: TischlerBise, hired earlier this year

• Fee cuts discussed but not adopted

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How Fees Work & Who Pays

Town fees help pay for public infrastructure that serves new growth. State law says they can’t cover regular maintenance or unrelated capital projects - only costs tied directly to new residents & demand.

• 3 fee areas: fire, parks & recreation, streets

• Fee structure differs by property type

• Commercial: based on square footage

• Multi-family: per housing unit

• Consultant: TischlerBise, conducted the study

• 10-year plan required for growth assumptions

These fees can only fund projects that serve that growth—not fix what’s already built.

The Jump In Numbers

The proposed rate hikes are steep. Single-family homes would go from $3,973 to $12,314, roughly a 210% jump.

• Fire: $1,303 (up 969%)

• Parks & Recreation: $4,014 (up 109%)

• Streets: $6,997 (up 262%)

Each category reflects the town’s expected future costs. Consultants said the fire component rose the most because it hadn’t been updated in years.

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Past & Planned Projects Using Fees

The town already used or planned to use these funds for key public projects.

• Adero Canyon Trailhead (built)

• Panorama Park (built)

• Pleasantville Park (planned)

• Shea Boulevard widening (planned, town share from fees)

These examples show how fees support long-term amenities, not day-to-day upkeep.

Council Debate & Next Steps

Finance Director Paul Soldinger backed the consultant’s proposal. The council, however, discussed scaling it back.

• Option 1: remove fire facility cost

• Option 2: stretch Shea Boulevard recovery from 10 to 15 years

• Option 3: combine both for deeper cuts

Councilmember Gayle Earle moved to approve the study itself—meaning the rate framework is now on deck for formal adoption later this year.

The real decision lands in December, when the council must choose whether to accept, trim, or delay the new fees.

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