Utah House adopts HB 562 creating Fair Park investment district; removes proposed 1.5% rental-car tax

The Utah House of Representatives on the floor adopted the second substitute to House Bill 562, establishing the Utah Fair Park Area Investment and Restoration District and changing the bill’s funding and governance details, the sponsor said. The chamber approved the substitute by voice vote that closed with a recorded tally of 51 yes votes and 21 no votes.

Supporters said the revised substitute removes the previously proposed 1.5% transient room (rental-car) tax (TRT) and instead directs the state portion of sales-tax revenue generated within the district to pay for redevelopment, environmental remediation and safety work around the State Fair Park. Representative Thomas Wilcox, the bill’s sponsor, told members the change reflects ‘‘a lot of the work and the feedback that we’ve had’’ and emphasized that the Fair Park is a state-owned asset the Legislature has an obligation to preserve.

Opponents and skeptics focused on who pays and whether public resources will benefit a Salt Lake City–based development. Representative Abbott said he opposed the bill in part because a 1.5% rental-car tax would have spread costs statewide — “people in Kanab or… Saint George will be contributing to help pay for this ballpark,” he said — and because monthly payments planned by the district (about $150,000, he said) appeared below market rent for a facility owned by the state.

Proponents pushed back on those concerns in debate. Representative Clancy asked how much taxpayer money would go to a private entity; the sponsor responded: “That’s $0,” and said the state would retain full ownership of Fair Park. Wilcox also described board membership changes that add a voting community representative from the West Side and said the district’s board will be able to contract with law enforcement to address public-safety issues.

Members for the substitute — including legislators representing southern and West Side districts — described broader state benefits, cleanup of a blighted area and the potential to show Major League Baseball that Salt Lake City is prepared for expansion. Representative Peterson argued Utah is among the top contenders for MLB expansion and that adopting the authority and cleanup plan is necessary to remain competitive.

The House also received a certification from Chief Clerk Megan Selene Allen that the electronic security code on the substitute’s flash drive matches the printed bill; the printed bill and associated electronic files were made available on the Legislature’s website immediately after the vote. The adopted substitute will be sent to the Senate for its consideration.

The House’s final action on the substitute was procedural and binding: the presiding officer announced the vote total — "Second substitute, HB 562, passes this body with 51 yes votes, 21 no votes, and will be sent to the Senate for its consideration." The House then recessed until 6 p.m.

What happens next: The second substitute to HB 562 will be transmitted to the Utah Senate. If passed there, the substitute will define the funding, governance and public-safety authorities for the new Utah Fair Park Area Investment and Restoration District.