Salt Lake Tribune
Weekly Ad Specials
Time running short for S.L. City, Council to solve Palace issue
This is an archived article that was published on sltrib.com in 2005, and information in the article may be outdated. It is provided only for personal research purposes and may not be reprinted.

Lawmakers in Salt Lake County are rooting for their Salt Lake City brethren to get the Salt Palace expansion bill included in the April 19-20 special legislative session.

But, time is running short - on multiple fronts.

A meeting with Gov. Jon Huntsman Jr. to ensure the bill is heard is not scheduled until Friday. And, just before the special session, ordering deadlines for millions of dollars worth of steel come due. The supplies are necessary to meet the expansion timetable set by the lucrative Outdoor Retailers Convention.

At issue is what mechanism the city and county will agree on to fund the city's portion of the $82 million upgrade.

On Tuesday, the County Council passed a resolution declaring its support for a downtown taxing district, which the city wants to create to protect its general fund. Officials want to hike the sales tax roughly 1.2 cents on every $10 purchase.

Boundaries for such a district would extend from South Temple to 600 South and 700 East to 500 West. It would exclude auto sales and auto repair shops but include all retail at the Salt Lake City International Airport, according to Salt Lake City Deputy Mayor Rocky Fluhart.

If the district is approved, the city would give the $13.8 million to $15.6 million in sales tax revenue to the county for the convention center project.

"It's clear in one scenario that would work for us," County Councilman Joe Hatch said Tuesday as the council authorized bonding for $75 million for the expansion. The body also granted a $13 million budget adjustment for the steel.

Now, the deal may hinge on inclusion at the special session.

If the city is denied - and withholds its currently collected innkeeper's tax - county fiscal analyst Darrin Casper warned the expansion could "fall apart."

But Mayor Peter Corroon insisted "the risk is minimal that Salt Lake City would bow out."

Councilwoman Jenny Wilson sounded less optimistic.

"We're still in a political dance on this whole thing."

djensen@sltrib.com

---

Tribune reporter Heather May contributed to this story.

Article Tools

 
Affiliates and Partners