Sandy moving forward without county funds for Real stadium
City plans to borrow $10 million from redevelopment areas
The city plans to create a commercial development area to fund a 20-year bond for the money, economic development director Randy Sant told the City Council in a work session Tuesday.
Money that might have come from the county will instead be borrowed from other redevelopment areas in Sandy.
The $10 million deal was part of the Real development agreement the city agreed to last year. The soccer company will be required to finalize parking arrangements and complete commercial development guidelines in order to receive the money, Sant said.
The $10 million is the last step in a $45 million public funding package for the $110 million sports stadium.
If the new plan is approved, the bond would be paid through money Real would have paid in property taxes, Sant said. The borrowed money would be backed up by a pledge of franchise taxes.
Property-tax money would fund about half the payments, at least at first, Sant said. The rest of the payment would be borrowed from property-tax funding being raised by places such as the South Towne Mall. That money will be eventually be repaid.
The plan hinges on a lot of unknowns, but Sant said he is very comfortable with it. Financial advisers have looked at worse-case scenarios, he said.
Only Sandy and a few small taxing entities such as the water and district will forego their portion of property taxes to fund the bond. The school district and county also collect property taxes, but neither is expected to offer its portion.
Annually, the commercial development agreement will garner at least $150,000, Sant projected.
Sandy City has been tweaking its plan since Salt Lake County Mayor Peter Corroon notified the city in late April that the county would not contribute.
Council members Tuesday expressed frustration at the county's opting out but were amenable to Sant's plan.
The City Council could take action on the plan as early as June 10.
E-mail: rpalmer@desnews.com
Recent comments
I think Sandy is moving in the right direction. They will rival...
Congrats Sandy | May 29, 2008 at 11:41 a.m.
Nancy Workman-- Real credibility there. One politician giving her...
Reader | May 28, 2008 at 3:10 p.m.
To Nancy Workman.... Just another politician... good luck with that
I wonder as well | May 28, 2008 at 12:11 p.m.
- 3 reservations get money for water 11:51 p.m.
- Stop-sign thief mails $600 check 11:50 p.m.
- Officer dragged by fleeing suspect 11:49 p.m.
- World datelines 11:40 p.m.
- Corroon and council compromise 11:39 p.m.
- Climate talks show poverty gap 11:37 p.m.
- Photo: Holy tree stump? 11:36 p.m.
- New cry rises in Tehran protests 11:29 p.m.
- Worst violence in Iraq since pullback 11:23 p.m.
- Admiral warns of arms race in Asia 11:05 p.m.
- Blazers may offer Millsap a contract
- Utah's top 10: Wealth of recreation
- Restaurant destroyed by fire
- Send Boozer to the Bulls?
- MWC, WAC rushed into BCS
- O'Connor unhappy Fes not with team
- Jazz in back of line for free agents
- Keeping golf light on the wallet
- Fatigued Jazz no match for Pacers
- Teen injured in fall from waterfall
- Bronco collecting a galaxy of recruits
138 - Letters: Palin mistreated
136 - Teachers struggle with district cuts
134 - Blazers may offer Millsap a contract
121 - 'Tea party' protesters unhappy
107 - Fairness of BCS debated
81 - Stadium of Fire lights up the 4th
79 - Send Boozer to the Bulls?
78 - Moon landing: Let's hear from you
73 - Chaffetz eyes challenging Bennett
72
As more and more dads are put out of work in this economy, I've been...
The photographs are mysterious, brooding, dark. They show dimples and...
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...
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...
and, most importantly, Glenn Beck cried. I was moved.
You thought AK was a lightweight? Thomas is the same height and even...
I recall hanging with a couple thousand buddies, saying, "Dude! Don't go into...

