Development Impact Fees
Development Impact Fees for water infrastructure, wastewater infrastructure and water resources are assessed to contribute to costs associated with various infrastructure and necessary public service improvements that need to be expanded as a direct result of development within the City of Prescott. New development areas can require substantial investment and construction of capital facilities before or in conjunction with future development depending on the location of the development and existing infrastructure.
Since not all areas within the City have the same capital facility requirements, the City is divided into separate fee areas so that the fees charged in any one fee area pay only for infrastructure which provides a direct benefit to that particular fee area. For example: the Water System Impact Fee for Service Area ‘F'(SR69 corridor) funds only water system improvements that directly benefit that area. It does not fund water system improvements in Water System Impact Fee Service Area ‘J'(Copper Basin Road), which do not directly benefit from water system improvements in Water System Impact Fee for Service Area ‘F’. In addition, fees vary by infrastructure needs identified in the Infrastructure Improvement Plan (IIP) and growth potential.