Despite election promises, our newly elected City Council is looking closer at the economic impact of reducing construction impact fees. At a recent special meeting of Council, City Finance Director, Carol Lloyd's presentation convinced 5 of the seven members that reducing Impact Fees would hurt revenues.
In her presentation, Ms. Lloyd presented three alternatives to raising revenue for long term development if Impact Fees were cut. Option 1, raise sales taxes. Option 2. Eliminate future capital projects such as Rattlesnake Wash. Option 3. initiate a city primary property tax.
Newly elected Mayor Salem and newly elected Councilman Walker argued for a reduction of fees to spur economic growth, while remaining council members feared the burden of future growth would be a burden to Kingman citizens in the form of higher taxes, reduction in projected services and a new property tax.
Council has recommended that the alternative ideas be brought to the next council meeting for public reivew.
