CC - Minutes - City Council - 9/19/2006

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Prescott City Council Study Session—September 19,2006 Page 10 • a location payment fee of$63,000 would be paid upfront to offset kir► lost revenue of the three parking spaces; • rent would begin at$21,012.00 per annum and increase annually by 5%over the term of the lease; • the total lease payments over 30 years would be$1,396,017.12; • there would be 4 antennas placed on the exterior of the building,4 on the south side and 4 on the north side of the building. Mike Gallagher was present from Nextel. Council congratulated staff on negotiating a good contract and said they would like to see more unobtrusive cell sites in the city. Councilman Luzius asked where the money would go and Manager Norwood replied the annual gees went in to the General Fund and the $53,000 went into the Garage Fund. Councilman Luzius added he would like to see some of the money go to security because there were problems with the theft of fire extinguishers, people urinating in corners, etc., and Mr. Norwood responded staff was addressing the vandalism problems. I. Adoption of Ordinance No. 4557—An ordinance of the Mayor and Council of the City of Prescott, Yavapai County, Arizona adopting new impact fees. Budget/Finance Director Mark Woodfill explained a study of city service levels was done in 2005; the Council adopted a Notice of Intent to increase impact fees on June 13, 2006 and set a public hearing for August 29; the adoption of an ordinance could take place September 26; the impact fees being considered were police and fire to maximum recommended levels and Library, Parks, Recreation, and Public Buildings to be raised 25%; police would increase from $84 to$589 and fire would increase from $167 to$525; the recommended increases would raise the total of the impact fees from the current amount of$2,365 to $3,638, a 54%increase. The Streets impact fee was not recommended for increase at this time and would wait until the Growth Strategy Plan was completed. An inflation escalator was proposed based on the change in construction costs, with the first escalation imposed on January 1, 2007 and each succeeding January 1. Mayor Simmons commented Manager Norwood was recommending increasing just police and fire impact fees and Mr. Norwood added "and modest increases for the others of 25°/d'and Council had the authority and discretion to do what they wanted.