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HB 562: UTAH FAIRPARK AREA INVESTMENT AND RESTORATION
Background:
The Miller family has been trying to get a Major League Baseball franchise to come to Utah, either by attracting a team away from another city, or by being awarded one of the expansion franchises that are rumored to be awarded before 2032. The consensus location for a Major League Ballpark is the “power district” which is just south of the existing State Fairpark area where the Power Plant on North Temple is scheduled to be demolished.
The vision is to completely redevelop the area around the Fairpark, which is dilapidated and in serious need of revitalization. The Jordan River runs through this area and there are plans to create a riverwalk area with restaurants and walkways.
The bill creates a state district to oversee the area called the Utah Fairpark Authority Investment and Restoration District. Because of concerns about safety and enforcement in the area, the District will also have the ability to contract with a state law enforcement agency to oversee, enforce code, and improve public safety in this neglected area of Salt Lake City.
What I liked about the bill:
1. No state money would go directly to corporations or wealthy families.
2. The stadium would not be built and the state wide car rental tax and 1% resort tax would not be imposed unless a franchise agreement is signed with MLB by 2032.
3. The private sector will make the majority of the investment in the stadium
4. The revised version of the bill changed the tax structure to allow the State’s portion of the sales tax collected in the district to go towards local investments in the district (which is much better than a statewide hotel tax).
5.If the baseball team moves out of the area, then the owners would be required to pay back any tax investment made in the area.
What I didn’t like about the bill:
1. The first version of the bill included a statewide TRT tax on every hotel stay in the state. Taxing hotel rooms in Blanding and St. George to pay for a stadium in SLC was not great policy — Thankfully, the 2nd version of the bill fixed that problem.
2. The State would own the baseball stadium. While the private ownership are responsible to pay for the operations and maintenance while they lease the stadium for baseball, I don’t see any advantage to having the State own the stadium long term. Owning the stadium means that the State ends up being responsible for repairs, upgrades, and finding a new lease if baseball is not as successful as projected.
3. I simply don’t like the State being in the land and entertainment development business. I don’t think it’s the role of government to compete with private developments and I worry about the State government being incentivized to grow and take over more and more land and development responsibility whenever there is a laudable project.
4. While I understand why the bill includes the ability to contract with a law enforcement agency (because Salt Lake City leaders refuse to enforce drug laws and homeless ordinances)—I don’t like the State taking over local control of law enforcement. I’d prefer to find other ways to ensure local agencies perform their responsibilities instead of simply having the state take over.
How did I vote?
I voted No on HB562. I wasn’t convinced that we had to act immediately, or we would lose the opportunity to compete for a baseball franchise in 2030.
The bill passed without my support, and now that the decision has been made I’m excited for the possibility of Major League Baseball coming to Utah. I think the improvements to the Fairpark & Jordan River will be fantastic and a great benefit to the area. I hope that I was wrong and that baseball and the development around it will be wildly successful.
Utah has a long history of fiscal responsibility, awarding us accolades from Best Economic Outlook and Overall Best Economy for several years running. Achievements like this would not be possible without our commitment to passing a balanced budget. This year's budget truly is a reflection of what matters to Utah: investing in education, protecting our natural resources, and providing tax relief for Utah families. You can learn more about the budget for fiscal year 2025 here or by listening to this week’s episode of our House podcast.
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