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Archive for the 'Queen Creek' Category

Queen Creek defends hefty impact fees

August 17th, 2009, 5:02 pm by Le Templar
John Kross

Queen Creek Town Manager John Kross

Right or wrong, Queen Creek and its development impact fees totaling $16,000 for a single-family home have become a prime example used by Arizona’s homebuilders this year as they lobbied the state Legislature for a moratorium on such fees for a couple of years. The homebuilders viewed the move as Arizona’s own economic stimulus.

I discovered today just how much that argument irritates Queen Creek leaders during a meeting at their town hall between some Tribune journalists and a couple of top administrators.

Town Manager John Kross and assistant manager Patrick Flynn (who oversees town finances) were discussing the status of Queen Creek’s budget, which has shrunk from around $30 million in 2008-09 to $20.1 million this fiscal year. They mentioned an unexpected rebound in new home building permits (59 since July 1 compared to near zero before) could be a real boon. Unexpected revenue from a surge in home sales could offset likely funding cuts from the state, picking up bond payments on capital projects that Queen Creek has been covering from the General Fund because of the lack of impact fees in the past 18 months.

I asked if Queen Creek officials had learned anything from that experience with an eye toward better matching impact fees with one-time expenditures that could be delayed or canceled when bottom falls out of the housing market. Kross realized my question was prompted by how often homebuilders mentioned Queen Creek’s impact fees when they asked state lawmakers for some relief. Kross decided he was going to fix my thinking then and there.

“There has been a commitment, going back to when this community was incorporated, that growth was going to pay for itself,” Kross said. “I think today you can go down the list of every existing resident, and none of them want to subsidize the cost of building streets and water infrastructure to serve a new development.”

As with every municipality with impact fees, Queen Creek has to go through an extensive study process to determine what each fee will cost and what it will fund. Queen Creek currently has fees for site engineering, planning, building safety, fire prevention and construction monitoring. Flynn said Queen Creek also has a working committee that includes homebuilder representatives to advise the town.

Queen Creek’s process is fairly easy to understand when it’s applied to construction of streets and water utility infrastructure. Queen Creek comes up with a multi-year construction plan, determines what percentage is driven by new growth, and sets impact fees to cover the costs of that percentage (either in cash or in bond payments over time). But the process is harder to grasp when it’s applied to a single facility or structure that’s intended to serve the entire community at once. In fact, impact fee critics point to the Horseshoe Park & Equestrian Centre as a municipal project that meets a quality-of-life desire but isn’t a need that can be placed at the feet of community growth.

Queen Creek wants to add a new impact fee for water services. The Tribune Editorial Board questioned the timing of that move, considering the current heat at the state Capitol. But Kross said the new fee would fund $45 million of improvements to the water delivery system that the town acquired last year.

Gov. Jan Brewer has twiced blocked legislative attempts to limit the ability of municipalities to collect impact fees. Kross and other Queen Creek officials are crossing their fingers that she will do it one more time if the Legislature sends her a new state budget that bars any new fees for the next three years.

‘Price is Right’ Drew Carey profiles Pinal County dance story

January 16th, 2008, 4:13 pm by Le Templar

 

Spencer (left) and Dale Bell at San Tan Flat restaurant, as posted at www.ij.org 

The story of a Western steakhouse south of Queen Creek, Ariz., called San Tan Flat that’s being fined $700 a day because some people like to dance has caught the attention of comedian/game show host Drew Carey.

Carey hosts a Web broadcast through reason.tv which promotes libertarian and free-market causes. In the latest episode, Carey’s film crew interview San Tan Flat owners Dale and Spencer Bell (father and son). In 2005, the Bells received a standing ovation for bringing a restaurant to a rapidly growing area near the San Tan Mountains. A year later, Pinal County was looking for a way to put the Bells out of business because some residents in the area don’t like the nature of the place. These neighbors have signaled out as noise from live bands playing on the outdoor patio as the main problem. But Pinal County never has measured any violations despite having one of the toughest noise ordinances in the state.

So the county has focused on an obscure, 60-year-old ordinance that forbids outdoor dance halls. Apparently, it’s against the law in Pinal County for a single person to stand up and shuffle his or her feet while listening to music outside.

In the Web video, Carey hints he didn’t personally make the trip to see San Tan Flat. “I hear it’s a great place to dance.” But he does a good job of summarizing the issue and lets the Bells have their say. The video concludes with a statement that Pinal County officials refused to comment for the story. I never have heard a defense of the county’s ridiculous fine that makes much sense anyway.

The Bells are fighting the county’s action in court with the help of the Institute for Justice.

Queen Creek takes another step away from limited government

November 6th, 2007, 2:07 pm by Le Templar

Queen Creek officials view Wednesday night’s pending council vote to purchase the town’s private water company as the right move at the right time. It also serves to grow the size of Town Hall and violates a principle of limited government that the public sector should provides essential services only when the private sector is unable or unwilling to do so.

By all accounts, the Queen Creek Water Co. has done a great job of serving the area since it was created in 1954. The owners for the past 35 years, the Gardner family, have properly maintained and updated the water system. Today, the company operates 11 water wells and serves about 9,500 customers, Tribune writer Sarah Boggan reported Monday. The owners have decided it’s time to sell, and water company president Paul Gardner told Boggan he gets about one phone call a month from potential private buyers. But the family wanted to give the town of Queen Creek the first opportunity.

It just so happens that Queen Creek’s strategic documents over the 10 years have called for the town to someday own its own water department, assistant town manager Patrick Flynn told the Editorial Board in a meeting Monday. Actually, Flynn and Queen Creek Mayor Art Sanders called this purchase a long-range plan, but that’s a stretch since the town hasn’t saved any money for this purpose. Instead, Queen Creek would borrow $40 million from a state revolving fund for water projects, and would raise the current customer water rates to repay that debt.

Like the rest of the East Valley, Queen Creek has grown rapidly in the past decade. It won’t ever get as big as its neighbors, as officials expect the population to reach a limit around 35,000. But Sanders and Town Manager John Kross emphasized throughout Monday’s meeting that many of Queen Creek’s newer residents have an urban mindset that prefers government operation of key services, including the drinking water supply. I can’t deny that’s the standard practice for larger municipalities. But often cities step in when a water company is failing to meet local demands. Once in control, a city never considers whether the water utility could operate better under the authority of a more responsible private provider. Sanders pointed out the main reason government officials don’t consider possible alternatives: A city has far more influence over how and where development occurs when it owns the water supply. The city can dictate (or facilitate) when major employers can hook into the system and what rates they will pay.

The mayor admitted city officials are nervous about the Queen Creek Water Co. possibly being sold to an out-of-state buyer, a concern that comes up frequently when growing communities debate the future of private utilities. It’s funny how city officials rarely complain when out-of-state retailers and manufacturers want to do business in their community, but such owners are automatically unsafe when it comes to utilities.

To be fair, Sanders and Kross made a good point that this appears to be the best time, and perhaps the last opportunity, for Queen Creek to buy the existing water system. The current owners are willing, but future ones might not be. Also, the water company’s value might climb to a point that a public purchase would become too pricey. And if Queen Creek elected officials are feeling as much pressure from residents as Sanders hinted at, Town Hall might have little choice but to follow their wishes.

But it’s a shame that we Americans continue to praise free markets and private enterprise with our words, and then repeatedly reject it with our actions in favor of government intervention.

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