Wanted: ideas for potential Inland Port Authority project
The UIPA hopes to bring in new jobs that Green River wants
After listening to Jenna Draper and Scott Wolford of the Utah Inland Port Authority (UIPA), the City Council voted to pursue a UIPA project area in Green River. Draper and Wolford talked about the opportunities a project area could offer the city, and emphasized the Authority’s focus on projects “of regional significance” across the state.
The UIPA is a quasi-governmental organization that spent its early years mired in controversy for its original plan to take one fifth of Salt Lake City and turn it into a 16,000 acre international shipping facility. Draper explained that more recently, the UIPA has shifted to be an economic development engine for communities across the state. They have “tools” to “go after large projects, or help businesses expand or grow”. Once the UIPA board approves a Green River project area, the Authority can help determine the best and most desired industries for the area, create cost projections for new developments, figure out financing like tax differential funding, and promote the area to new businesses. Wolford mentioned the UIPA has a large network of companies looking to move or grow “in whatever industries you guys are looking to target”.
Since the UIPA is trying to start project areas across the state, City Councilors Bo Harrison and Guy Webster asked if any potential advantage for a Green River project would be watered down. Wolford responded that the UIPA wants to help fund and guide development so small towns aren’t competing with each other for big companies to move in. Companies can also be required to provide a certain number of internships for high school students.
The project area location has not been selected yet, but will be discussed at the May 14th City Council meeting. Locals are encouraged to come and give your input on location and the kinds of companies you want to see in town, since the UIPA wants to pursue what Green River wants. According to Wolford, if the UIPA comes to town, “we’re going to put more worms on the hook in the pond to get good jobs into Green River City than we think you could do on your own”.
WHAT’S TAX DIFFERENTIAL FUNDING?
Any amount of taxes generated in the UIPA project area greater than the pre-UIPA amount are split between local taxing entities (like the City, the School Board, and the County, for instance) and the UIPA for the next 25 years. 25% goes to the local entities and 75% goes to the UIPA, but 70% of what the UIPA gets must be spent on infrastructure or some similar expense that benefits the project area.
So that means 95% of the tax differential would stay in the City and County. Tax differential money is also more flexible than tax increment financing or Community Reinvestment Act money.