Provo divvying $4.9 million windfall

Both sides propose to hold the final $340,000 for next year, when they want to put money toward a new recreation center and a city investment fund that would purchase land for future economic and community development.

The mayor and council expect sales tax revenues to be strong again next year and they agreed to plan for $1.2 million in income beyond what was proposed in the original budget.

If that money in fact comes in, both sides agree they will use it and the last $340,000 from this year to set aside $750,000 toward a new recreation center and $750,000 for the land investment fund.

The mayor's original budget proposal called for $1 million toward a new recreation center.

The city has used land it purchased to spawn development and redevelopment, especially in downtown, where city leaders are investing heavily in the future.

The city owns some of the land on the block between 100 North and 200 North on University Avenue, where a developer recently announced it would build University Tower. The tower will add 10 stories of office and commercial space next to the two-year-old Wells Fargo building.

The tower redevelopment proposal wouldn't have been possible, Billings told the council last week, if the council hadn't approved the purchase of the land years earlier.

The City Council must approve a budget tonight. It is expected to largely adopt the mayor's proposed budget of $141.5 million.

The budget conservatively estimates sales tax revenue for the coming year.

"If we were to have another bumper year in sales tax, we'd be facing this situation again," Borget said.

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