By Kristena Hansen | Phoenix Business Journal
One of the largest construction trade associations in Arizona is up in arms about a fee it believes the city of Surprise has been collecting illegally from its members for the past year and a half.
The Home Builders Association of Central Arizona says its members have been illegally charged nearly $500,000 during that time frame,
and earlier this year it filed a lawsuit in Maricopa County Superior Court asking for a declaratory judgment and injunction against the Northwest Valley city.
Cities collect fees from builders and developers to fund infrastructure needed for new subdivisions and businesses, such as roads, utilities, and police and fire stations.
In 2011, state lawmakers made it illegal to charge home builders such fees to build city halls, courthouses and similar facilities.
Since that law took effect in January 2012, Surprise has continued collecting fees from home builders specifically to repay the $40 million tied to construction of its City Hall building, completed in 2009.
