FY2014 Recommended Budget - City of Surprise

Police Development Fee Fund
Description
The police development fee fund is established to account for the inflow of police development fees levied
on new residential and commercial construction. This fee can only be used for the purchase, construction,
financing, and furnishing of new capital or one-time items directly related to the increased demand on
police services caused by growth. Development fees cannot be used to subsidize operational needs.
Revenues are based upon an estimated issuance of 250 single family residential permits and the
estimated square feet of 217,800 non-single family residential permits in FY2013. On April 26, 2011
Senate Bill 1525 was signed into law and changed the method the city used to calculate development
impact fees. Arizona Revised Statutes §9-463.05.K requires municipalities planning to continue assessing
development impact fees complete an interim study effective January 1, 2012 and an updated
development impact fee study effective August 1, 2014. The city has revised fees based on the interim
study and plans on meeting the requirements of the August, 2014 deadline. The police development fee
for single family residential permits was revised from $372 to $371 as of January 1, 2012.
Major Budget Changes
With minimal forecasted development revenue for the funds, the only programed expenditures are for the
impact fee study and rental payments. Fund balance and remaining available revenue is programmed as
contingency at $978,800. The city will continue to review and evaluate potential projects through the
preparation of the Infrastructure Improvement Plan (IIP) for the impact fee study update.
FY2011 FY2012 FY2013 FY2014 Amended to
Expenditures
By category
Actual Actual Amended Budget Budget
Services 13,861 8,599 20,000 20,000 0%
Capital 0 0 0 0 0%
Contingency 0 0 8,500 978,800 11415%
Transfer Out 245,400 246,098 246,000 245,800 0%
Total
By department
259,261 254,697 274,500 1,244,600 353%
Finance 13,861 8,599 28,500 20,000 -30%
General Operations 0 0 0 0 0%
Police 245,400 246,098 246,000 1,224,600 398%
Total 259,261 254,697 274,500 1,244,600 353%
Revenues
By fund source
Charges for Svcs/Oth 215,053 127,158 107,300 240,700 124%
Transfer In 0 0 0 0 0%
Total 215,053 127,158 107,300 240,700 124%
220