Committee adopts substitute to change tax split and coordination rules for Point of the Mountain development

Senator Stevenson told the House Economic Development and Workforce Services Committee that SB 278 modifies the Point of the Mountain State Land Use Authority’s redevelopment rules, clarifies coordination with Draper City and adjusts how tax increments are distributed.

“The prison has been completely torn down,” Stevenson said, summarizing the project’s status and the authority’s role in redevelopment. He said the first phase will focus on 105 acres in the center of a more than 700‑acre site and that the substitute clarifies that privilege tax captured during phase one is restricted to that acreage.

Stevenson explained a substantive change in the substitute: reversing the standard split so 25% of the privilege tax on transferred land remains with the Point of the Mountain Development Authority for operational and maintenance needs while 75% goes to taxing entities or the state. “The 25% will stay with the Point of the Mountain Development Authority,” he said.

Jordan Tuscher, who identified himself as co‑chair of the project, told the committee the amendment will help the overall program by freeing funds for parks and infrastructure and said vertical construction could begin in June. Committee members asked about the privilege tax mechanism on state land and whether Draper City coordination was required when the authority disposes of parcels; the sponsor confirmed the updated language requires coordination with Draper when land is transferred to a private party.

Representative Jack moved to adopt the second substitute and to favorably recommend SB 278; both motions carried in committee action. The committee adopted the substitute and gave the bill a favorable recommendation by voice vote.

What happens next: SB 278 will go to the full House with the committee’s favorable recommendation; the substitute will be the version forwarded unless sponsors amend it on the floor.