After weeks of discussion over proposed increases to Sedona’s development impact fees, which would double them by an estimated 106% to 139%, and statements by multiple members of the Sedona City Council that the proposed fees were too high, the council voted 4-3 on Dec. 10 to direct staff to proceed with implementing the full fees as proposed by city staff and their consultant.

Council members had previously requested additional information on how the proposed fees could be implemented over an extended period on a phased schedule, and City Manager Anette Spickard presented the council with three options to phase in the fees over periods of three or four years, in each case beginning at 50% of the full amount before rising to 75% and 100% at the next two intervals, with two years at either 50% or 75%.

With regard to the proposed phase-in of the increased fees, “are we allowed to slam the brakes on this after year one?” Councilman Derek Pfaff asked.

Spickard replied in the affirmative, noting that “future councils can decide in those out years not to apply that amount.”

“I would just go with it as it is,” Councilwoman Melissa Dunn said of the proposed fees, referring to “huge impact” and “small money.”

“They’re not that much money, we heard last time,” Dunn said.

“Ditto what Councilor Dunn just said,” Councilman Brian Fultz said.

“I don’t support increasing the fees. I think it has a very negative impact,” Vice Mayor Holli Ploog said. “It’s a little bit of money, the general fund can pay for it. Our fees are beyond anywhere else in the entire Verde Valley.”

“People don’t want more development in Sedona,” Pfaff said. “If we discourage other kinds of development [than workforce housing], so what? … I don’t have any problem discouraging development.”

Pfaff added that while he supported raising the fees, he would prefer to do it over an extended period rather than all at once. “This doesn’t incentivize what we want incentivized and decentivize [sic] what we want decentivized [sic],” Councilwoman Kathy Kinsella said, expressing her support for keeping the current fee levels. “That’s the only way that I can sleep at night on this one, by not changing it on what I believe is a faulty formula.”

“I don’t agree that our fees are out of alignment with other cities and towns,” Mayor Scott Jablow said. “I don’t like the idea to raise these fees. I think it is counterproductive to housing … it’s really a tossup for me, I have no idea.”

“Which king is it that wanted to split the baby?” Kinsella asked.

The council then split as Fultz proposed implementation of the full fees, seconded by Dunn. The motion was approved 4-3, with Fultz, Dunn, Jablow and Councilman Pete Furman in favor, and Kinsella, Pfaff and Ploog in opposition.

The fees will be subject to one more public hearing for final approval on Tuesday, Jan. 14.