There has been some confusion and significant misinformation regarding the proposed creation of an economic development area (EDA) at the Cottonwood Corporate Center in Salt Lake County. We believe that it is in the best interests of the public and private sectors to have accurate information and a more complete understanding of the project.
1. The Salt Lake County proposed EDA for the Cottonwood Corporate Center would essentially be a joint venture between the public and private sectors to improve the quality of life and opportunity in our neighborhood and create additional tax revenues for our schools and the county.2. The EDA would act as a public/private partnership.
3. The Cottonwood Corporate Center will invest substantial capital to generate a return on its investment. The EDA will invest some of the future property taxes created by the new buildings to generate a return on its investment.
4. The total amount of the tax increment to be invested by the county in the EDA is $8.37 million. Of that total amount, $2.4 million would reimburse the county for the cost of improvements to 3000 East and the 6200 South intersection; $4.22 million would provide housing assistance in the county; and $1.75 million would reimburse Cottonwood Corporate Center developers for extraordinary site costs.
5. Cottonwood Corporate Center is willing to take the risk of investing the capital necessary to build the buildings and lease the space. If we are successful, we will create a substantial increase in property taxes. It is only from these additional property taxes produced by the project that the developer would receive partial reimbursement of its extraordinary site costs.
6. Approval of the proposed EDA will result in the following benefits for county residents, schools and our community:
- An estimated increase of $21 million in revenue for schools, other public agencies and infrastructure
- No tax increase to pay for the needed improvements
- Increased capacity to meet requirements of growth.
- The creation of high-quality jobs from both local and national businesses
- Increased safety on pedestrian thoroughfares
- Improved public transportation
- Housing assistance (which would generate an additional estimated $19 million of new property tax revenue)
- Trail system and other public amenities.