| ITEM #: 6. DATE: 07/06/2026 AI #:3347 |
 |
CITY COUNCIL ACTION REPORT
| SUBJECT: | APPROVAL OF LETTER OF AGREEMENT WITH KB HOME FOR REIMBURSEMENT OF CERTAIN DEVELOPMENT FEES RELATED TO THE CONSTRUCTION OF A SINGLE-FAMILY HOME |
| STAFF PRESENTER(S): | Kini Knudson, Deputy City Manager |
OTHER PRESENTER(S):
David Corley, KB Home Arizona
SUMMARY
KB Home is constructing a residential subdivision within the Ventana de Estrellas community located in Goodyear, Arizona. As part of KB Home's partnership with Building Homes for Heroes, KB Home will construct and convey a single-family home within the Ventana de Estrellas community to a qualifying U.S. military veteran and their family. In recognition of the public benefit derived from providing housing support to veterans, the city of Goodyear intends to reimburse KB Home for certain development-related fees associated with the construction of the donated home via a letter agreement (Attachment A). The reimbursement is contingent upon the successful conveyance of the home to an eligible recipient under the Building Homes for Heroes program.
STRATEGIC PLAN ALIGNMENT
.png) |
.png) |
RECOMMENDATION
Approve the letter of agreement to reimburse certain fees paid for a single-family home that will be conveyed to a U.S. military veteran as part of the Building Homes for Heroes program and provide authorization and direction to the City Manager, or their designee, to take actions and execute documents necessary to carry out the intent of the agreement. (Kini Knudson, Deputy City Manager)
STIPULATIONS
FISCAL IMPACT
The city will use the City Council’s special project budget for fiscal year 2027 to reimburse KB Home $21,525 in fees paid to the city. The city will reimburse KB Home:
- Permit Fees totaling $4,554;
- Water Meter Fees totaling $563; and
- Development Impact Fees totaling $16,408.
BACKGROUND AND PREVIOUS ACTIONS
Building Homes for Heroes is a national nonprofit organization that builds, modifies, and gifts homes at no cost to injured and disabled veterans and their families. KB Homes is a major residential developer in Goodyear and surrounding communities, and has a partnership with Building Homes for Heroes to donate a newly constructed home to an eligible veteran. In this instance, KB Homes is constructing a single‑family residential lot identified as Lot 276 within the residential subdivision of Ventana de Estrellas, in Goodyear, Arizona specifically for donation. The construction process requires payment of standard building permit fees, water meter fees, and development impact fees to the city.
To support the partnership and recognize the benefit, the city has determined that reimbursement of these fees is appropriate and consistent with past cooperative efforts to assist veteran housing initiatives.
There are no previous Council actions associated with this letter agreement and reimbursement request.
To support the partnership and recognize the benefit, the city has determined that reimbursement of these fees is appropriate and consistent with past cooperative efforts to assist veteran housing initiatives.
There are no previous Council actions associated with this letter agreement and reimbursement request.
STAFF ANALYSIS
Staff recommends that the Council authorize the City Manager or designee to execute an agreement with KB Homes providing for reimbursement of eligible fees associated with the construction of a single‑family home donated through the Building Homes for Heroes program, subject to the terms outlined in this report.