PROVO -- Local government leaders are eyeing projected Olympics-related tax revenue with caution.
Utah County stands to gain about $3.3 million in various taxes, while Provo could get about $1.2 million, according to a report the Governor's Office of Planning and Budget released late last month. The Peaks Ice Arena in Provo is scheduled to host women's hockey during the 2002 Winter Games."Those are probably the best numbers we have so far," said Mayor Lewis Billings. "Unfortunately, we haven't been able to project the expense side of the equation. There are so many questions."
County Commissioner Gary Herbert hasn't had a chance to analyze the report.
"I want to see the study and see if they left anything out," he said.
Nevertheless, he said he feels good about the preliminary numbers he has seen.
"I think there is going to be revenue over expenses. I believe that," he said.
Billings isn't so sure, especially in Provo's case.
"Utah County really doesn't have the direct impact that Provo has in hosting the venue," he said. Emergency services, public safety and traffic control will fall primarily to the host city.
Herbert concurs that the city stands to take a bigger hit than does the county.
Provo and Utah County, however, have taken steps to ensure security costs don't skyrocket during the Olympics. Their contract with the Salt Lake Organizing Committee caps those costs at a combined $160,000, or $80,000 each. The city and county will bill SLOC for services beyond that amount.
According to the report, property tax will be the county's greatest source of Olympics-related income between 1996 and 2002, followed by local charges such as water and garbage fees. It can anticipate $1.4 million in property tax and $900,000 in various fees.
"I think it bodes well for us with that kind of impact," Herbert said.
Meanwhile, Provo can anticipate about $700,000 in sales tax, its greatest source of projected revenue. Sales tax figures to generate about $240,000, the report says.
Billings said the city intends to confer with other venue cities as well as crunch its own numbers to estimate what it will cost Provo to host an Olympic event. He expects a report in mid- to late January at the earliest.
"I really think there are some difficult issues that need to be looked at," Billings said.