More gyms the better?

Poll shows 75% OK with public/private business competition

Published: Friday, Jan. 18, 2008 12:53 a.m. MST
 |  E-MAIL | PRINT | FONT + - 
An overwhelming majority of Utah residents don't care if the local public recreation center is competing with the private gym down the street.

In total, 75 percent of Utahns surveyed in a recent Deseret Morning News/KSL-TV poll believe the Legislature should refrain from passing any legislation that would ban local governments from building their own recreational facilities, even if those facilities compete with private businesses.

Just 18 percent of the 413 Utahns polled by Dan Jones & Associates think a ban should be in place. The poll, conducted Jan. 8-10, has a 5 percent margin of error.

Lawmakers aren't considering an outright ban on government-owned recreation centers, golf courses or reception halls, but they are considering a bill this year that would force local government leaders to consider the impacts of their projects on private businesses.

HB76 would require cities and counties to create a commission to whom businesses could appeal the operations of publicly funded projects that compete with them, including golf courses, reception halls and recreation centers.

If the commission finds that a public project is improperly competing with private business and the local government doesn't cease the project's operations, the commission could ask the district court for an injunction.

Story continues below

The bill, sponsored by Rep. Craig Frank, R-Pleasant Grove, would also require the state to set up a similar commission.

Sen. Howard Stephenson, R-Draper, said at a recent Government Competition and Privatization Subcommittee meeting that he wants to make sure local government cannot harm the private sector with its ventures, which have built-in advantages because of their tax-exempt status and the ability to cover shortfalls with taxpayer money.

The commissions would help protect the private sector from unfair and inappropriate competition from the public sector, Stephenson said.

In Davis County, such complaints about unfair competition arose when the Davis Conference Center and the South Davis Recreation Center were built. In October, the owner of Xcel Spa and Fitness sold his Bountiful facility to Gold's Gym, saying in a letter to Xcel members that the location had struggled because of the competition from the taxpayer-funded recreation center that had opened last April.

Salt Lake County Mayor Peter Corroon said he agrees that government shouldn't compete with the private industry.

Even so, "private industry, unfortunately, doesn't always and can't always serve the needs of the community," Corroon said.

Salt Lake County runs three ice-skating centers, 12 recreation centers, 17 aquatic centers and six golf courses. Corroon admits that a few of the golf courses are probably not needed, because the private sector is fulfilling the needs of the communities where those courses are located. But generally, "the courses we have serve people who otherwise couldn't afford to join a country club," Corroon said.

Recent comments

I would have a major problem if the legislature prohibited cities...

Lori | Jan. 19, 2008 at 4:48 p.m.

I'm a bit taken aback by the comments on this message board. I wonder...

Derek | Jan. 18, 2008 at 11:11 a.m.

The Legislature's time would be better spent on conflict of interest...

James | Jan. 18, 2008 at 9:58 a.m.

Image
Mike Terry, Deseret Morning News

After the South Davis Recreation Center opened, the owner of a nearby gym complained it hurt his business.

previousnext

Latest comments

CougarKeith, people don't know how to properly retire the flag, what they did...

It is just talk but since it was brought up: IF we can get Prizbilla &...

If Boozer plays this season in a Jazz uniform the Jazz cannot resign Millsap....

This is good move because the contract is only for 2 years. He turns 31 and...

Let's just retire the Stadium of Fire, it is truly out of control...imho!

"reformed repub": "her rightful place?" Is this now an aristocracy where...

Bowls all about money

Do you really think they would have the bowl system and then distribute the...

To Idea: Seize the property? You must be a democrat. Isn't there enough...

If the Property Company is waiting for the Economy to show signs of renewal...

The Northern Virginia suburbs of Washington, DC were deserted since everyone...

Advertisements