Waddoups bill would redirect restaurant-tax revenue

The Legislature is trying to meddle with Salt Lake County's $15 million a year in restaurant-tax revenues.

A bill filed late Tuesday by Sen. Michael Waddoups, R-Taylorsville, would redirect all of the county's restaurant-tax revenue and give it to cities, based on population and point-of-sale figures.

For Waddoups, it's an issue of fairness. He says the county gives too much money to Salt Lake City for tourism, arts and recreational facilities — ultimately hanging the suburbs out to dry.

"The others would like to have some, and they are not getting any help from the county," Waddoups said. "These funds are being raised by county residents throughout the county. Why shouldn't they be able to use some of it on things closer to home?"

Salt Lake County Mayor Peter Corroon said the county has historically done a good job of making sure both the suburbs' and downtown's needs are met.

"We do as much for the suburbs as we do for Salt Lake City," Corroon said. "There are needs throughout the county. We base our decisions on where the needs are."

Corroon said SB64 is just another bill to punish the county for several perceived misdeeds, such as "foot-dragging" during the debate over public funding for a Sandy stadium for Real Salt Lake.

He knew for months that the restaurant-tax legislation was coming, and in November he pleaded with Gov. Jon Huntsman Jr. to use his political weight to stop the bill in its tracks. After the bill was filed Tuesday, Corroon lobbied Senate leadership to ax the bill.

"A few legislators don't like us," Corroon said. "The rest of them will hopefully be sane."

When asked if the bill had anything to do with the county's role in the soccer-stadium negotiations, Waddoups said, "I don't see how that has anything to do with it." He insisted he would continue pushing the legislation, no matter what happens with the stadium negotiations.

Waddoups said he intends to eventually give the county half of the restaurant-tax revenue, which comes out to about $7.5 million a year. The other half would be split between the cities and unincorporated county through population and point-of-sale figures.

However, as it currently stands, the bill would have to be amended to give the county any share of the restaurant tax.