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SB80 To Switch Taxes Set Aside For Transportation Projects To Water Projects

A proposal that might ultimately end up funding large water-infrastructure projects like the Lake Powell and Bear River pipelines advanced out of a House committee Wednesday evening.  

 

SB80, an update to current state code, would take the 1/16th percent sales tax now set aside for transportation projects and move it into a fund for water projects. The bill, by Davis County Republican Sen. Stuart Adams, is described by its sponsor as a way to set aside funding for the future, and not as something to fund specific water projects, per se. Here's Adams at a meeting of the House Revenue and Taxation Committee on Wednesday evening:

"One thing I hope we all remember is we can't spend any of this money till we take legislative action."

During the hearing, various members of the public spoke against the bill, saying it would set aside funding for controversial water pipeline projects opponents call expensive, unneeded and environmentally disastrous. Also among those opposing the measure were industry representatives worried that the construction of the Bear River Pipeline in particular would put further pressure on an already-stressed Great Salt Lake. The Bear River is the largest tributary of the lake.

Tom Tripp, Director of Technical Services for US Magnesium, which is located on the western shores of the Great Salt Lake said that diverting the Bear River would have a negative impact on minerals extraction.

"All the mineral extraction companies are based on having their infrastructure close to the water. When the water goes away, it's an expensive and torturous exercise to get there. You don't just extend the canal, you also have to deepen it the whole length of the canal."

That sentiment was echoed by Don Leonard, Chairman and CEO of Great Salt Lake Brine Shrimp Cooperative.

"We are in a situation where we are approaching record lows on the Great Salt Lake. It's really simple math - less water, less brine shrimp, less economic benefit to the state and our companies. And eventually no water, no brine shrimp, no revenue from that resource out there."

Those concerns are distinct but intimately tied to arguments environmentalists have been making that further lowering the lake will have devastating consequences for millions of migratory birds, and, conceivable for air quality in northern Utah, as a result of an increase in dust storms from the dry lake bed.

During the hearing, Adams again defended the measure by stressing that the bill was intended as a way to save for the future, but that the money wouldn't be spent, at least until the legislature signs off on the projects it is meant to fund.

"Much of the discussion about these projects should be had ... if we ever allow that money to be spend on those projects."

In addition to environmental and industry concerns, some lawmakers on the committee questioned the impact reallocating the money would have on planned transportation projects. In response, Carlos Braceras of the Utah Department of Transportation testified that SB80 could delay projects such as the Mountain View Corridor freeway and construction of the West Davis Corridor freeway.

In the end, the concerns expressed at the long-running hearing weren't enough for lawmakers to shelve the measure. SB80 passed the committee with a favorable recommendation on a 7-5 vote. It now awaits its final vote on the House floor.