Development Fee & Valuation Table Frequently Asked Questions

On Tuesday, June 18, 2024, City of Tucson Mayor and Council adopted Planning and Development Services (PDSD) development review fee adjustments. The development review fee increases affect PDSD, the Department of Transportation and Mobility (DTM), and Tucson Fire. The fee increase is generally 3.5% in FY2025 and 3.5% in FY2026.

The fee changes are effective as of Monday, July 1, 2024.

What are Development Review Fees?

Development review fees are charges local governments assess to cover the cost of reviewing and processing development applications.

What are the International Code Council (ICC) Valuation Tables?

The Building Valuation Data is a resource used by jurisdictions across the U.S. as a benchmark for determining building permit fees. The Code Council has produced this document for over 20 years, updating it every six months (twice a year).

When did the new fees go into effect?

The new development fees and adjusted valuation tables went into effect on Monday, July 1, 2024.

The development review fee increases affect Planning and Development Services (PDSD), the Department of Transportation and Mobility (DTM), and Tucson Fire. The fee increases will generally be 3.5% in FY2025 and 3.5% in FY2026.

Additionally, PDSD will be adjusting the valuation tables. The department has chosen to phase in the adjustments over a three-year period, aiming to align with the latest ICC Valuation Table by FY2027. These changes are made at the discretion of the Director and do not require approval from the Mayor and Council.

Which City of Tucson departments are affected by the changes?

Planning and Development Services (PDSD), the Department of Transportation and Mobility (DTM), and Tucson Fire are the three affected departments.

For PDSD, the service fees include staff review and building permits for all new developments, site review (including floodplain and grading permits), signs, historic review, special district review, rezonings, and special exceptions.

For DTM, the service fees include right-of-way (ROW) permitting and staff review, small wireless facility fees, annual utility permits, annual scooter fees, and other related permits.

For Tucson Fire, the service fees include fire construction permit fees, fire review fees, automatic extinguishing systems, fire alarm systems, above-ground and underground storage tanks, other fire construction permits, fire operational permits, state-licensed facility operational permits, special event operational permits, and fire code appeals.

How were the new development fees determined?

In 2022, a Berry Dunn Cost of Service Survey was completed for Planning and Development Services (PDSD). The survey determined that development review fees needed to be evaluated for an increase to maintain and improve service levels.

During the January 9, 2024, meeting, City of Tucson Mayor and Council gave notice of their intention to revise rates and fees for PDSD, Parks and Recreation, and Park Tucson. Through the initial outreach process, PDSD identified an inconsistency in the fee structure and delayed the public hearing to allow for additional community and stakeholder engagement regarding the proposed development fee changes.

On April 9, 2024, Mayor and Council gave notice of their intention to revise development rates and fees for PDSD customers. PDSD conducted outreach to development stakeholders and the community over the following 60 days to gather feedback about the proposed fee increase before Mayor and Council adopted them on June 18, 2024.

How will the revenue generated from the new fees be used?

The fee adjustments will enable PDSD to make significant strides in its ongoing commitment to improving the development process in the City of Tucson, ensuring better support and service for the community's needs. The additional revenue will facilitate the hiring of new staff, fund previously approved positions by Mayor and Council, and provide continuous training for current department staff.

What are some examples of the new fee changes?

Below are examples of common projects and how the fee adjustments will affect them.

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Where can I find the new fee schedule?

Adopted Year 1 Fee Schedule

  


Adopted Year 2 Fee Schedule

 

When can I find the valuation table for FY2025?

Planning and Development Services has chosen to phase in the adjustments over a three-year period, aiming to align with the latest ICC Valuation Table by FY2027. These changes are made at the discretion of the Director and do not require approval from the Mayor and Council. Minor yearly adjustments, whether higher or lower, will be based on the ICC Valuation Table released each February until FY2027. The intent is to evenly distribute the adjustments over the three-year period until aligned with the most current table.

Does this affect impact fees?

No. Impact fees are not part of the development fee increase.

Will any projects be grandfathered under the previous fee structure?

No, the new development fees and adjusted valuation tables will apply to any project reviewed, with fees assessed beginning Monday, July 1, 2024.

Who can I contact if I still have questions?

Please email pdsdinquiries@tucsonaz.gov. Questions will be directed to the appropriate individual.