Peoria, AZ Accessory Structures: ADU Impact Fees (2026)

Arizona's HB 2720 (Ariz. Rev. Stat. section 9-461.18) restricts municipalities from imposing fees on ADUs that would effectively prohibit their construction or that exceed the actual cost of services provided. State law also expressly prohibits requiring off-site street improvements as a condition of ADU approval. Peoria does not impose a dedicated ADU impact fee. Applicants pay standard building, plumbing, mechanical, electrical, and fuel-gas permit fees through the Peoria Development and Engineering Department, scaled to construction valuation under the City's adopted fee schedule. Peoria Utilities may assess water and sewer development fees if the ADU triggers a new meter or service connection; sharing the primary dwelling's existing service typically avoids those charges. Peoria's adopted development impact fees for parks, public safety, and library facilities are scaled to dwelling unit type, but ARS 9-461.18 limits any fee that effectively prohibits ADU construction. Applicants who believe a fee is excessive may seek administrative review.