City: includes , depending on population, a metro township as defined in Section 10-3c-102. See Utah Code 68-3-12.5
Claim: means a written document submitted by a qualified hotel owner or host local government to request a convention incentive. See Utah Code 63N-2-502
Convention incentive: means an incentive for the development of a qualified hotel, in the form of payment from the incentive fund as provided in this part, as authorized in an agreement. See Utah Code 63N-2-502
Eligibility period: means :
(a)
the period that:
(i)
begins the date construction of a qualified hotel begins; and
(ii)
ends:
(A)
for purposes of the state portion, 20 years after the date of initial occupancy of that qualified hotel; or
(B)
for purposes of the local portion and incremental property tax revenue, 25 years after the date of initial occupancy of that hotel; or
(b)
as provided in an agreement between the office and a qualified hotel owner or host local government, a period that:
(i)
begins no earlier than the date construction of a qualified hotel begins; and
(ii)
is shorter than the period described in Subsection (10)(a). See Utah Code 63N-2-502
Endorsement letter: means a letter:
(a)
from the county in which a qualified hotel is located or is proposed to be located;
(b)
signed by the county executive; and
(c)
expressing the county's endorsement of a developer of a qualified hotel as meeting all the county's criteria for receiving the county's endorsement. See Utah Code 63N-2-502
Host agency: means the community reinvestment agency of the host local government. See Utah Code 63N-2-502
Host local government: means :
(a)
a county that enters into an agreement with the office for the construction of a qualified hotel within the unincorporated area of the county; or
(b)
a city or town that enters into an agreement with the office for the construction of a qualified hotel within the boundary of the city or town. See Utah Code 63N-2-502
Incremental property tax revenue: means the amount of property tax revenue generated from hotel property that equals the difference between:
(a)
the amount of property tax revenue generated in any tax year by all taxing entities from hotel property, using the current assessed value of the hotel property; and
(b)
the amount of property tax revenue that would be generated that tax year by all taxing entities from hotel property, using the hotel property's base taxable value. See Utah Code 63N-2-502
Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
New tax revenue: means construction revenue, offsite revenue, and onsite revenue. See Utah Code 63N-2-502
Qualified hotel: means a full-service hotel development constructed in the state on or after July 1, 2014 that:
(a)
requires a significant capital investment;
(b)
includes at least 85 square feet of convention, exhibit, and meeting space per guest room; and
(c)
is located within 1,000 feet of a convention center that contains at least 500,000 square feet of convention, exhibit, and meeting space. See Utah Code 63N-2-502
Qualified hotel owner: means a person who owns a qualified hotel. See Utah Code 63N-2-502
State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
State portion: means the portion of new tax revenue that is generated by state taxes. See Utah Code 63N-2-502
(a)
for the development of a qualified hotel; and
(b)
to authorize a convention incentive:
(i)
to the qualified hotel owner or host local government, but not both;
(ii)
for a period not to exceed the eligibility period;
(iii)
in the amount of new tax revenue, subject to Subsection (2) and notwithstanding any other restriction provided by law;
(iv)
if:
(A)
the county in which the qualified hotel is proposed to be located has issued an endorsement letter endorsing the qualified hotel owner; and
(B)
all applicable requirements of this part and the agreement are met; and
(v)
that is reduced by $1,900,000 per year during the first two years of the eligibility period, as described in Subsection (2)(c).
(2)
An agreement under Subsection (1) shall:
(a)
specify the requirements for the qualified hotel owner or host local government to qualify for a convention incentive;
(b)
require compliance with the terms of the endorsement letter issued by the county in which the qualified hotel is proposed to be located;
(c)
require the amount of certified claims for the first two years of the eligibility period to be reduced by $1,900,000 per year;
(d)
with respect to the state portion of the convention incentive:
(i)
specify the maximum dollar amount that the qualified hotel owner or host local government may receive, subject to a maximum of:
(A)
for any calendar year, the amount of the state portion in that calendar year; and
(B)
$75,000,000 in the aggregate for the qualified hotel owner or host local government during an eligibility period, calculated as though the two $1,900,000 reductions of the convention incentive amount under Subsection (1)(b)(iv) had not occurred; and
(ii)
specify the maximum percentage of the state portion that may be used in calculating the portion of the convention incentive that the qualified hotel owner or host local government may receive during the eligibility period for each calendar year and in the aggregate;
(e)
establish a shorter period of time than the period described in Subsection 63N-2-502(10)(a) during which the qualified hotel owner or host local government may claim the convention incentive or that the host agency may be paid incremental property tax revenue, if the office and qualified hotel owner or host local government agree to a shorter period of time;
(f)
require the qualified hotel owner to retain books and records supporting a claim for the convention incentive as required by Section 59-1-1406;
(g)
allow the transfer of the agreement to a third party if the third party assumes all liabilities and responsibilities in the agreement;
(h)
limit the expenditure of funds received under the convention incentive as provided in Section 63N-2-512; and
(i)
require the qualified hotel owner or host local government to submit to any audit and to provide any audit level review or other level of review the office considers appropriate for verification of any claim.
(3)
Notwithstanding any other provision of law, a county or city in which a qualified hotel is located may contribute property to the qualified hotel owner or host local government without consideration, to be used as provided in Subsection 63N-2-508(3)(a).
