Huntsman budget calls for hefty pay hikes

Boosting the salaries of state employees, funding for construction projects and hiking advertising budgets for Utah's tourism industry are among the primary focuses of the first budget delivered Friday to state legislators by Gov. Jon Hunstman Jr.

Deseret Morning News graphic Governor's budget Requires Adobe Acrobat.

With so much new money to spend — an estimated $237 million in new, one-time dollars and another $370 million in new, ongoing revenue — Huntsman's proposed $8.6 billion spending plan for fiscal year 2005-06 includes a lot of winners, especially among those groups that have suffered cuts during the recent lean budget years. There is also funding for needed renovations to the University of Utah's Marriott Library, road improvements in "critically congested" areas and an expansion of educational programs.

In many ways, the budget is similar to the one proposed by former Gov. Olene Walker last month. During a subdued mid-afternoon news conference in a room at the state Capitol — a setting that contrasted greatly with Walker's enthusiastic December news conference in front of a packed auditorium — Huntsman placed particular emphasis on his proposals to improve Utah's image with businesses and tourists, concerns that essentially doubled the economic development budget. His proposals include $10 million for tourism promotion, a $2 million increase to help attract new business and $4.8 million in one-time money to help keep Hill Air Force Base open.

The tourism promotion budget represents "a sizable change" in what is now actually spent, Huntsman said, as less than $900,000 of the $3 million currently allocated toward developing the travel industry is spent on advertising. His proposal would help Utah compete more effectively for visitors in comparison with surrounding states, especially Colorado, Huntsman said.

The announcement that the governor is seeking a nearly $17 million increase in spending for economic development comes after the controversy caused by his decision last week to fire 33 political appointees in the Department of Community and Economic Development. It also reflects the new governor's plan to dismantle the department and take over the selling of the state himself, which will result in significant growth in the size of the governor's office.