Utah Lawmakers Pass Bill for Downtown NBA/NHL Arena; Moves to Governor's Desk for Final Approval

SALT LAKE CITY - A bill that could pave the way for a new arena in downtown Salt Lake City to potentially house the Utah Jazz and a National Hockey League (NHL) team has been approved by Utah lawmakers. The bill, known as SB272, received a 50-20 vote in favor in the House of Representatives and a 22-4 vote in the Senate. It now awaits final approval from Governor Spencer Cox.

The bill, introduced by Representative Jon Hawkins, underwent last-minute changes that included renaming it from a reinvestment zone to a revitalization zone. It also incorporated language addressing downtown safety concerns, such as improvements in public safety, homelessness mitigation, transportation, and parking. These changes, however, did not alter the fundamental purpose of the bill, which is to create a framework for an NBA or NHL owner, such as Ryan Smith and the Smith Entertainment Group, to collaborate with Salt Lake City and the state in revitalizing the area, including the construction of a new arena for the Utah Jazz and a potential NHL franchise. Additionally, updates to the Salt Palace Convention Center and Abravanel Hall could be included in the plan. Funding for the project would be secured through government-issued bonds and private investments.

The next step involves the collaboration of various entities to develop a master plan for the proposed changes. This plan will require approval from both the Salt Lake City Council and a zone committee that will be formed specifically for this purpose. The goal is to create a vibrant and attractive downtown area, especially with the upcoming 2034 Winter Olympics.

The bill also introduced the option for Salt Lake City to implement a 0.5% sales tax increase, which would generate an estimated $54 million to $83 million annually, depending on whether it is imposed only in Salt Lake City or across three qualifying cities.

Utah Jazz owner Ryan Smith, along with Salt Lake City Mayor Erin Mendenhall and Salt Lake County Mayor Jenny Wilson, expressed their support for the bill's passage. They believe that a thriving downtown is crucial for the city's growth and are excited about the opportunity to reimagine the downtown experience. They envision a vibrant and activated downtown area that not only retains the Utah Jazz but also welcomes an NHL team, while also providing a wide range of arts, culture, and entertainment opportunities.

The Church of Jesus Christ of Latter-day Saints also voiced its support for the bill, emphasizing the importance of maintaining a vibrant and family-friendly downtown area.

This comes just days after another bill, HB562, was passed, which lays out a similar structure for the potential construction of a Major League Baseball stadium in Salt Lake City's Fairpark neighborhood.

Governor Spencer Cox has until March 21 to sign or veto both bills, which hold the potential to significantly transform Utah's sporting and entertainment landscape.