From Deseret News archives:
Put a lid on RDAs
Look at it this way: The more dogs you own, the more dog food you'll need. Buying more dog food in and of itself is not going to bring you more dogs.
By the same token, real economic development involves getting companies or manufacturers to move into a community, provide more wealth and jobs, which attract an influx of people. Once they are in place, retailers will naturally follow, bringing the goods and food that the new residents want to buy. When cities use tax incentives to lure retailers into their borders, they are on a fool's errand.
And that's why a bill sponsored by Sen. Curtis Bramble, R-Provo, which in its latest form would slap a one-year moratorium on the use of RDAs for retail projects, is a good idea. It ought to be a permanent ban, but that may not be politically feasible at the moment.
Bramble's bill, as refreshing as it is, tackles only one of the reasons why Utah's cities are in a mad scramble to lure big-box retailers from each other. The bigger reason lies in the state's tax structure. Cities get to keep half of all the sales-tax money that is generated within their borders, and that is a powerful incentive for them to do whatever it takes so that they, and not their neighbors, get the next strip mall. Until lawmakers change that formula, distributing sales taxes primarily by population, cities aren't likely to change.
To be clear, no retailer or existing company should be blamed for accepting these deals. As a point of disclosure, this newspaper is a partner in a new printing press in West Valley City that is benefiting from RDA money. This is, rather, a systemic problem. Taken to its extreme, the fight over retail can have some ugly consequences.
In Ogden, about 50 people recently staged a protest over plans to condemn homes and businesses to make room for a new Wal-Mart. According to the Associated Press, the city says it needs to rip property out of the hands of individuals and hand it to the retail giant because of the jobs and sales-tax money it will generate.
Clearly, that kind of madness has to stop.
Comments
- NBA roundup: Mavs halt Pistons 10:20 p.m.
- Pondexter leads No. 14 Huskies 10:17 p.m.
- Lakers booed at home in loss 10:16 p.m.
- Colts take advantage of Pats' gamble 10:13 p.m.
- Serbian Orthodox Patriarch dies 10:13 p.m.
- World datelines 10:12 p.m.
- French, Afghan troops face danger 10:12 p.m.
- U.N. may get plea to intervene 10:11 p.m.
- Photo: Rally in Honduras 10:10 p.m.
- Kennecott smelter turns 35 10:10 p.m.
- BYU happy to escape with victory
228 - TCU creams U.
222 - Editorial: Mormons and gay rights
206 - Will state consider gay rights law?
149 - Letters: Strange breed in Utah
133 - Can BYU root for (ick) Utah Utes?
131 - RSL heads to MLS title game
124 - Utes remain silent about BCS
120 - Celtics crush Jazz
104 - TCU stays 4th in AP; Y. 19th, U. 23rd
91
Maybe someone out there can help me understand how raising the state...
Bennett is a conservative Bennett is NOT a lifetime politician Bennett...
I agree, time for a change. Lose Sloan or lose the fans,,,,real soon.
im not some BYU posing as a Utah fan, im a huge Utah fan and hate seeing them...
I've followed BYU sports for over 50 years and was very excited by the '84...
CNN is hardly raw news free of analysis and without bias.
Playing lousy is never good. If it were, BYU would have been a monster after...
TCU's footballers aren't any better than BYU's or Utah's, but they are better...
Hey all of you 2A teams and fans. Is San Juan so predictable? Im not sure....
BYU has been up and down under the watch of Bronco. IF I hear them say "its...
Thank you Jerry Sloan for 20 years of coaching the Jazz. But it is time to...


You can be the first to comment on this story.