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City compliance rules threaten vital transportation funding

September 03, 2024 | Draper City Council, Draper , Salt Lake County, Utah


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City compliance rules threaten vital transportation funding
In a recent government meeting, officials discussed significant changes to transportation funding in Salt Lake County, particularly regarding the allocation of a proposed general sales tax. The new law, negotiated by the Wasatch Front Regional Council (WFRC), allows for a restructured distribution of funds generated by the tax, known as the \"fifth fifth.\" Under this arrangement, 50% of the revenue will be directed to transit, while 25% will be allocated to the cities within the county, and the remaining 25% will stay with the county.

However, cities must comply with moderate income housing plans (MIHP) to qualify for their share of the funds. Currently, only Summit and Utah counties have implemented this tax, and the county has yet to impose it. Officials emphasized that non-compliance with MIHP could jeopardize access to these funds, highlighting the financial implications for cities like Draper.

Additionally, a daily fee will be introduced for cities that fail to comply, starting at approximately $90,000 in the first year and increasing thereafter. This move reflects a broader trend across the country, where states are imposing stricter penalties related to compliance in land use and housing policies.

The meeting also touched on ongoing discussions about land use planning, with officials advocating for patience as the new funding structure is rolled out. They urged stakeholders to allow the process to unfold before implementing further incentives or penalties. The meeting concluded with a focus on refining planning areas, particularly around the UTA site and the K9 lifeline site, as part of ongoing development efforts.

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Scribe from Workplace AI
Scribe from Workplace AI