Thursday, July 14, 2011

Orem City Used Redevelopment Agency Money for fiber optic connection to UTOPIA

Redevelopment agencies (RDAs) are a tool used by local government to clean up blight and to implement the development goals of communities. Each RDA consists of the elected council or commission which is the RDA Board by state statute. (Title 17C, Utah Code)  Utah State Annotated Code 17C
The RDA Board adopts the plans, policies and budgets which are implemented by the agency.

Senator Bramble's Senate Bill 205 passed by the 2009 Legislature states that an RDA Agency:
758          Section 11. Section 17C-1-415 is enacted to read:
             759          17C-1-415. Obligations of agencies that use tax increment to pay for
             760      communication infrastructure or facility.
             761          An agency that uses tax increment on or after the effective date of this bill to pay for
             762      communication infrastructure or a communication facility:
             763          (1) may not make or grant any undue or unreasonable preference or advantage to a
             764      provider of communication service with respect to the communication infrastructure or
             765      communication facility for which the tax increment is used; and
             766          (2) shall allow the communication infrastructure and facilities for which tax increment
             767      is used to be used by any other provider of communication service on a fair, equitable, and
             768      nondiscriminatory basis.

"Using RDA funds for telecommunications raises serious questions," Bramble said. He said that he would like the Legislature to take another look at the bill and shore up any holes that may give cities the wrong interpretation.
"The bill prohibits RDA money for broadband deployment. How can they use RDA funds for UTOPIA when the 2009 legislation prohibits it? This raises concerns," he said.  Daily Herald Newspaper


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