From Deseret News archives:
Salt Palace gets expansion funds
Nevertheless, the last day of the general legislative session was a nail-biter, including last-minute negotiations, apologies and changes to the funding package.
The Senate approved the bill less than 90 minutes before the Legislature adjourned.
County Mayor Peter Corroon called the final changes "positive," saying he was pleased with the final version of the bill.
Many legislators thought they had a deal earlier this week with an amended version of SB211, which reduced Salt Lake City's required contributions to Salt Palace Convention Center expansion, through diversion of the city's innkeeper tax, to only six years rather than 10.
Corroon had expressed approval of the earlier change, but Tuesday the County Council came down hard on the funding package as a whole, calling it "a really bad deal for the county," in the words of Councilman Mark Crockett.
County auditors said the funding was so insufficient that it would endanger the county's jealously guarded AAA bond rating, and Corroon himself joined council members in opposing it.
County officials hurriedly met with legislative officials Wednesday morning to try to soothe ruffled feathers and get more money out of the funding package. In response, the House Wednesday night, later approved by the Senate, reinstated Salt Lake City's 10-year innkeeper tax requirement, increasing the city's funding contribution from $11.4 million to $19 million unless the city and county work out a separate deal.
The House also opted to keep the state's existing car-rental tax structure (rejecting a proposed change that would funnel more funds to Salt Lake County at the expense of other counties), instead allowing the county to get more funds from transient-room taxes, raising their portion from 3.5 percent to 4.75 percent.
About 87 percent of that tax is paid by visitors to Utah, according to Sen. Michael Waddoups, R-Taylorsville, the bill's sponsor.
That change was made in response to what Utah County Commissioner Stephen White said was "picking someone else's pockets" to finance the expansion. Corroon said he was OK with it, since it actually increases the funds available to his county.
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