Incorporation could cost Fairfield

Study says current tax revenues not enough for a city

Published: Wednesday, Aug. 18 2004 9:28 a.m. MDT

Mike Burch of Fairfield says, "Without incorporation, we have no power." The community in Cedar Valley has about 100 residents. The feasibility study suggests that an incorporated Fairfield cannot be run on what the area currently generates in sales tax and property tax revenue alone.

Stuart Johnson, Deseret Morning News

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FAIRFIELD — It's always tough to get 100 percent agreement on anything, so for those pushing for the incorporation of the tiny town of Fairfield in Cedar Valley to be able to say everybody's behind the effort is impressive.

The question now is whether that will continue following Tuesday's release of a feasibility study on the proposed incorporation. A spokesman for the company conducting the report made it clear that current tax revenues generated in the area are woefully inadequate for starting a city and that a major tax increase looms should Fairfield become the county's 24th city.

That prospect hasn't dampened the spirit of the initiative's leader, Lynn Gillies.

"There is 100 percent of the residents who live in Fairfield who are in favor of this," said Gillies, representing the town at the County Commission meeting on Tuesday.

The county's three commissioners were presented with the feasibility study results compiled by Civil Science engineers of American Fork. They accepted the report and scheduled two public hearings for the Fairfield area to allow those who will be affected to discuss and comment on the findings.

Rob Brocious, representing Civil Science, said the report looked at the area's history which includes the Johnston's Army encampment (then known as "Frogtown") the population rate which has increased from 117 people in 1990 to 150 in 2002, the fiscal impact of incorporation and the costs of providing services.

The report suggests that an incorporated Fairfield cannot be run on what the area currently generates in sales tax and property tax revenue alone. The costs would outstrip the revenue, since much of the area property is currently designated as agricultural greenbelt or tax-exempt land.

Allowing development to convert much of the agricultural land for residential use would help increase revenues, but funding the needed infrastructure for development will also prove costly.

Substantial property tax increases are a real possibility, according to the report.

Those cost could be partially offset if fees are attached to loads going to the Cedar Valley Landfill (which would be located within the boundaries of the new town), generating up to $82,000 a year. That could go a long way towards creating a viable revenue stream for the city.

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