Huntsman rejects idea of land 'gift' for Real S.L.

Gov. Jon Huntsman Jr. has shot down an idea that Sandy officials had discussed that involved using public money to buy six acres from Real Salt Lake and then giving the land back to the team so it could use the property for a hotel and broadcast studio.

The item was pitched as a "gift" by Sandy city officials and was meant to cover Real's $6 million funding gap. That gap was a shortfall left after the budgeting of $35 million in hotel room tax dollars, which the Legislature approved earlier this year for use on the stadium site in Sandy.

Sandy's plan to cover that shortfall was to spend $25 million on 29 acres for the stadium site. That would leave $10 million for surrounding infrastructure improvements.

The idea was that Real had to develop at least $25 million on the acreage that would be used for economic development purposes. Real has planned on using the six acres for a hotel and broadcast studio.

Huntsman, however, would not consider it.

"There are $35 million of public funds that were allocated by the Legislature for this project, and the governor made commitments and promises to the public on what those funds can be used for," said Jason Perry, executive director of the Governor's Office of Economic Development.

Although not written up in any sort of proposal or presented formally to him, Huntsman rejected the idea because it was not in the bill that legislators passed in February. Perry said Huntsman wants the $35 million to go toward items that benefit the public, such as land, parking and area improvements.

Randy Sant, Sandy's economic development director, who pitched the six-acre idea to the council in July, said the governor's refusal of his solution was "no big deal. It was one of many ideas."

Instead, Sandy will buy the 23 acres of land where the stadium will sit from Real for $20 million, giving the city and state ownership. Now, $15 million will be used for infrastructure, with the extra money being used for parking improvements.

"The bottom line is all the governor did is he said, 'You cannot spend $25 million on property, you can only spend $20 million on property,"' Sant said.

Sant added that a recent site analysis found $14.5 million is needed in site improvements, not including the additional parking.