Salt Lake County officials broke ground Wednesday afternoon for the new Salt Palace Convention Center, saying it will take the old one's place as the "single most influential civic structure in this valley."
Before that happens, however, the county must hire someone to build it, and Commission Chairman Jim Bradley announced at the ceremony that officials are close to awarding the contract to the firm that submitted the low bid three weeks ago.County officials had hoped to have a firm under contract and construction under way prior to the groundbreaking, but unexpectedly high bids thwarted their plans.
"Some might think it a little unusual to be breaking ground prior to entering a construction contract. Heck, that didn't stop us from knocking down the building," Brad-ley quipped.
Submitted by Hughes-Hunt Construction, a joint venture firm, the low bid of $70.6 million exceeded the architect's estimate by a whopping $15 million. Combined with non-construction costs, the total bill for the new Salt Palace could exceed $85 million.
However, the county has already taken steps to restructure a proposed bond issue to pay for the project and is negotiating with Hughes-Hunt to trim some of the costs. The project is being financed by a $15 million contribution from the state, $15 million from Salt Lake City and the rest from bonds that will be repaid mostly from hotel, restaurant and rental-car taxes.
In his remarks at the ground-breaking ceremony, Gov. Mike Leavitt said the project is worth the expenditure because it will attract enough convention and tourism business to more than offset its cost. Also, he said it will "showcase our state."
According to Bradley, conventions that have already been booked for the new Salt Palace for 1996 will add $83 million to the state's economy. With the construction yet to begin and 1996 only 20 months away, he added that the bookings were the result of "sheer strength of the promise and willingness" to get the job done.
"To date, through the year 2000, we have now booked conventions that will generate over $200 million worth of spending in our communities," Bradley said. "Fur-ther-more, when these people come to our beautiful state, they're impressed, they love it and they come back."
The new Salt Palace will have 256,000 square feet of exhibit space, including a 36,000 square-foot ballroom with a seating capacity of 4,500. Also, 54,000 square feet will be available for meetings, providing 53 rooms in different configurations.
Though not as imposing as the 110-foot high Acord Arena that was demolished last month, the new Salt Palace will feature a 100-foot-high glass-and-steel tower - or lighted beacon - at West Temple and 100 South. Designers say it will be a more functional building than the old palace and will complement its downtown surroundings.
Mayor Deedee Corradini praised the project as a "great thing for our city, for our state." She said it was further indication that "we are on the move."
Bradley alluded to the controversy surrounding the project - including his dispute with contractors over proposed wage rules - by recalling some of the controversies that surrounded the construction of the old Salt Palace 25 years ago. The original proponents of the project had to overcome stiff opposition from former Salt Lake Mayor J. Bracken Lee as well as some political mudslinging.