The Spanish Fork City Council has approved a sales tax revenue bond of up to $65 million for the construction of the new recreation center. The bond was approved after a public hearing during Tuesday’s council meeting.

The new rec center began construction last fall and also is funded by property taxes and RAP taxes, which is a portion of sales tax dedicated to recreation, arts and parks.

About 15 city residents provided comments during the public hearing, with a majority of those against the bond.

Before the public hearing began, City Manager Seth Perrins addressed common questions from residents regarding the recreation center and how it is being funded.

Forty percent of the rec center will be funded by property taxes, 40% by RAP tax and the remaining amount through sales tax, impact fees and other sources, he said.

Perrins clarified that approving the bond does not mean a tax increase for residents, including the sales tax, and added that, so far, the city hasn’t budgeted for a tax increase for next year.

Property taxes in Spanish Fork were increased in 2022 to help fund the recreation center. At the time, the increase raised taxes for homeowners by about $60 a year for a home valued at $460,000 and $107 for a business valued the same.

Perrins said the city is bonding now instead of earlier because they still had to finalize construction costs and a building design but also were watching federal interest rates.

Finance Director Jordan Hales explained why the city issues a bond instead of saving up for the construction costs, saying that it would take years to save enough.

“In order to save up $65 million, you’d be saving up for years to be punching the past generation for a project that’s going to benefit the future generation,” he said in the meeting. “When you issue debt, you have those that benefit from the project over the next three decades pay for the project.”

Many public commenters mentioned the general obligation bond to fund a life center that residents voted against in 2015, saying they felt the council and mayor were undermining the public’s will in approving the new bond.

Some people referred to the city’s approval of the new rec center as a “bait and switch” due to the 2015 vote against the bond, with some residents saying they interpreted that outcome as voting against a recreation center, not just against a bond.

Perrins countered that the ballot vote in 2015 was not about whether or not residents wanted a recreation center but was a vote on a general obligation bond.

State law requires that citizens vote on general obligation bonds before they are issued. Other bonds, like a sales tax revenue bond, are approved by a governing body with some public hearing requirements.

One resident, Jonathan Baird, spoke against the city acquiring more debt, saying the city should pay for the new sewer plant first, which the city bonded for as well.

“My neighborhood clearly voted against a rec center. And they clearly voted against debt,” he said, referring to the 2015 election.

In January, the city approved a $50 million sewer revenue bond for the updated water reclamation facility that also is currently under construction.

While some residents spoke against the bond, some said they are in favor of the city building a recreation center, but they just want it done “responsibly.”

Concerns about cost of living, inflation and transparency from the city government also were a recurring theme during the public hearing.

Not all residents who spoke were against the bond or the project, with some noting that a rec center provides a space for the community, specifically families and children.

Chad Argyle said he was apprehensive of the cost of the new library, but he saw how many people were using it, specifically teenagers. He said he’s grateful for that new building and he’s going to be grateful for the rec center.

“I’m excited for the rec center in this community,” Argyle said. “The demographics have changed since 2015. The way we can fund it has changed.”

The new center will include community and competitive swimming pools, a senior center, and gym and fitness areas, including an indoor track.

Spanish Fork has been without a city pool since 2021, when the city’s outdoor water park closed as the new Spanish Fork High School began construction.

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