Salt Lake County officials have a name these days for the fly in their various ointments: Doug Short.
The controversial county attorney has yelled "But wait!" on yet another county issue. Short believes it may be illegal for the county to give $3 million in tax breaks to a major office project being built near I-215 and 3000 East.The tax break, similar to those routinely given redevelopment projects, may violate the uniform taxation law, Short said. "I have a real concern that if you tax someone, make them pay the tax, but give a portion of the tax back, you are not taxing them at the same rate as another property owner."
The Salt Lake County Commission wants to give the $3 million to the developers of the Cottonwood Corporate Center, a project that includes 10 office buildings and a 250-room hotel.
The developers want $2 million in tax breaks to compensate them for the extraordinary work needed to turn the old gravel pit into an office park. They want an additional $1 million to compensate them for offsite work required by the county, including curb, gutter and sidewalk along parts of 3000 East.
The complex is a county economic development project and eligible for such assistance under state law. The developers would likely pay a full property tax but have $3 million returned to them over a span of several years.
Short's concern surprised Salt Lake County Commission Chairman Brent Overson. The commission asked Short's office for a legal opinion on the tax break, "and we're still waiting for a response. You know it before we do," Overson said. "This is a case where the county attorney briefed the press before briefing the County Commission."
Lehi business owner Richard W. Smith sued Lehi city in January for giving $125.2 million in tax breaks and incentives to Micron in October. In his pro se suit, Smith says the RDA package violates Utah Constitution provisions on unequal taxation and debt limits. The suit says Lehi tax revenue will be used for Micron's private purposes, placing an unfair burden on taxpayers.