Port board greenlights PID

By Brice Wallace

Despite lingering questions about its purpose and composition, the Utah Inland Port Authority board last week voted to create a Crossroads Public Infrastructure District (PID) that will receive some port revenues in order to bond for several infrastructure projects.

As spelled out in a pair of resolutions adopted by the UIPA board, the PID board will be subordinate to the port authority board and finance infrastructure projects by issuing bonds — up to $150 million — repayable from property taxes or assessments on the property within the PID. It will not create new taxes.

The PID board will consist of the port authority’s chair, vice chair and executive director, plus two subject-matter experts that the three will select.

Dennis Faris, a new member of the inland port authority board and a member of the Salt Lake City Council, tried to amend the resolutions in several ways but was unsuccessful. Among his suggestions were that the PID board contain an elected official “to represent the impacted voters” of the port area.

But Gregg Buxton, the UIPA board vice chair and a Utah state senator, said the PID board needs the two professionals. “I believe that putting more politics into this is the wrong thing to do,” Buxton said.

UIPA board member Jevon Gibb, Salt Lake County’s economic development director, suggested that the UIPA board serve as the PID board.

Board member Ben Hart, deputy director at the Governor’s Office of Economic Opportunity, made the motion to approve the PID board creation without amendments.

“I think that the board has done a very thorough job in terms of explaining why we have the PID and why it’s set up the way that it is,” Hart said. “I know that it’s not going to settle every question. I am very sensitive to those who feel like this is an ‘us versus them.’ I think it’s unfortunate that we have gotten to that point. But at the same time, I think this is the right move for the district.”

Five members of the public spoke during last week’s meeting. They criticized the resolutions, saying the PID would “take public input out of the equation,” the PID board would have no accountability to the public, and that port activities should be left to the private sector.

Both PID-related resolutions were adopted by a 9-2 vote, with Faris and Rachel Otto, the Salt Lake City mayor’s chief of staff, voting no.

Salt Lake City has sued over whether the Legislature’s creation of the port authority violated the state Constitution. It is pending before the Utah Supreme Court and its decision could set a precedent for municipal land use and taxing authority matters in the state.

Among the proposed projects being considered for bonding is a transloading facility to ease the movement of imports and exports through Utah. It would be on 43 acres adjacent to the Union Pacific intermodal hub and transfer goods from inbound rail containers to larger containers for domestic movement by rail or truck. Currently, 90 percent of cargo entering the market comes by truck, so the facility’s use of rail would reduce the truck traffic into the market.

Other projects being contemplated are a renewable refueling station, a public-private partnership with Stadler Rail to provide a site for day care and dining options during off-hours, turning an existing building into a U.S. Customs bonded warehouse, a North Temple rail line and the buildout of 7200 West.

The port authority board will retain the ability to appoint members to the PID board and to reverse or suspend the PID board’s votes. The PID board’s meetings will be open to the public.