Rich County Economic Update

Rich County Better Off Than It Looks in Early 2015

By Matt Schroeder

Rich County appeared a little slow out of the gate in early 2015, but this is primarily due to a single employer and does not suggest broad concern for the overall economy. In fact, other indicators suggest that the outlook for Rich County is quite good. Employment in leisure and hospitality is growing quickly, taxable sales are up, and new construction of retail structures signals increasing consumer demand. Overall, the indicators are reaffirming that the long term trajectory of economic performance for the county is positive.

Cache County Economic Update

Cache County Continues Steady Growth in Early 2015

By Matt Schroeder

Cache County began 2015 with solid, consistent economic performance. Taxable sales were up more than 7.3 percent with particular strength in retail markets. Employment growth was steady and broad-based at 2.6 percent despite an extremely low unemployment rate. Wages are still relatively flat, but overall, the indicators are reaffirming that the long term trajectory of economic performance for the county is still positive.

Box Elder County Economic Update

Box Elder County Picking Up Steam in Early 2015

By Matt Schroeder

Box Elder County has picked back up in early 2015. Employment growth improved markedly after a lull in late 2014. Taxable sales were up with particular strength in motor vehicles thanks in part to low oil prices. Unemployment remained low and initial unemployment insurance claims are back to pre-recession levels. Wages are still flagging a bit, but overall, the indicators are reaffirming that the long term trajectory of economic performance for the county is still positive.

Box Elder County Economic Update

Box Elder County Ends 2014 with Solid Economic Performance

By Matt Schroeder

Despite a little slowing in job growth, Box Elder County ended 2014 on a relatively positive note. Wages, which have been slow to keep up with the rest of the recovering labor market, finally turned a corner. Taxable sales were up with particular strength in motor vehicles thanks in part to falling oil prices. Unemployment continues to fall and initial unemployment insurance claims are back to pre-recession levels.  Employment growth slowed a bit, but overall, the roots of recovery appear to be firmly set in the region and Cache County’s economic performance at the end of 2014 leaves continued-optimism for 2015 as the rational expectation.

Cache County Economic Update

Cache County Ends 2014 with Solid Economic Performance

By Matt Schroeder

Cache County ended 2014 with steady job growth and deepening consumer confidence. Taxable sales were up more than 5 percent with particular strength in retail markets. Motor vehicle sales were particularly strong thanks in part to falling oil prices. Unemployment in Cache is the lowest in the state.  Employment growth was not particularly impressive, but it was consistent and relatively broad based.  Wages, which have been slow to keep up with the rest of the recovering labor market, are still exhibiting lackluster growth, but overall, the roots of recovery appear to be firmly set in the region and Cache County’s economic performance at the end of 2014 leaves continued-optimism for 2015 as the rational expectation.

Rich County Economic Update

Rich County Ends 2014 with Solid Economic Performance

By Matt Schroeder

Rich County ended 2014 with stable job expansion and encouraging signs for 2015. Wages, which have been slow to keep up with the rest of the recovering labor market, finally turned a corner. Taxable sales were up more than 30 percent with particular strength in retail markets suggesting that consumer confidence continues to build. Motor vehicle sales were particularly strong thanks in part to falling oil prices. Unemployment continues to fall and initial unemployment insurance claims are back to pre-recession levels. Employment growth was not particularly impressive, but it was consistent. Overall, the roots of recovery appear to be firmly set in the region and Rich County’s economic performance at the end of 2014 leaves continued-optimism for 2015 as the rational expectation.

USU Breaks Ground on Electric Roadway Test Facility

Utah State University broke ground Sept. 23 for its Electric Vehicle and Roadway (EVR) Research Facility and Test Track, the first facility of its kind in the United States.

The complex will include a 4,800-square-foot research building and electrified quarter mile oval-shaped test track designed to demonstrate in-motion wireless power charging for electric vehicles. The EVR will be located near the existing USU Power Electronics Lab at USU’s Innovation Campus to leverage the combined capabilities of the two facilities.

The EVR will work toward developing electric vehicles with unlimited range. Using wireless inductive power transfer pads embedded in the roadway, electric vehicles can seamlessly charge while in motion, drastically reducing the need for large battery packs and cumbersome charging stations. Utah Business

Annual Profiles

The Workforce Research and Analysis division has updated information in the county Annual Profiles.

The information available in these Annual Profiles are separated by county and state and include:

• quick facts
• nonfarm employment
• unemployment
• major employers
• population
• demographics
• income and wages
• construction
• gross taxable sales
• county rankings

This data is updated on an annual basis, and dates can be found at the bottom of each tab. To print any of the visualizations, see the instructions here. For more information about this data, contact your regional economist.

New County Pages

See our new County Pages, each with their own URL for easy bookmarking. Find labor market information that has been divided into counties and regions for a quick look at each area.

Also find a new look for the Current Economic Snapshots (Box Elder, Cache and Rich). These are economic snapshots are a two-page look at the current information for labor force, sales, building and unemployment insurance for each county in Utah, and are updated monthly after the Employment Situation.

These can be accessed on the Utah Economic Data page or on the Labor Market page under the "County Snapshots" link.

2 Northern Utah projects among UDOT's top 10 for 2013

UDOT plans to continue repaving U.S. 89/91 from the Sardine Canyon summit to State Road 23, also known as Center Street in Wellsville. Daytime lane closures will be taking place throughout the summer. This project is number six on UDOT's top 10.

Next on the list is a unique interchange for Northern Utah. UDOT is planning on constructing what it refers to as a diverging diamond interchange, or DDI, on the I-15 and 1100 South interchange in Brigham City [see the related YouTube video below for a simulation of how a diverging diamond interchange works]. Cache Valley Daily

Joseph Genest, an employment service facilitator

Al’s Sporting Goods in Logan has announced the purchase and immediate development of the former Bridgerland Square property located at 1000 North and Main Street in Logan, Utah.

Al’s plans for the 10-acre site to house a 130,000-square foot retail shopping center development, including a new 60,000-square foot Al’s Sporting Goods retail storefront, restaurant pad sites and additional retail shops. The project is slated to begin construction June of 2013 and open early spring of 2014.

The new Al’s Sporting Goods facility is planned to more than double the size of the existing store and include an expanded assortment in every department, including hunting, fishing, archery, camping and a specialty “summit” cycling shop, a community classroom, a 10-lane indoor commercial gun and archery range. Utah Business

Utah Senate committee debates prison relocation

Utah lawmakers are considering a plan to relocate the state prison in southwest Salt Lake County.

Sen. Scott Jenkins introduced legislation that creates an authority to manage the relocation of the Utah State Prison and evaluate proposals from companies seeking to build a new prison or develop the old site.

The Utah State Prison occupies about 700 acres in Draper where tech companies such as eBay and Microsoft have opened offices.

Gov. Gary Herbert has called on lawmakers to fund the relocation so the corridor can develop as a technology hub. State officials have been weighing relocation for several years.

The Utah State Prison was built in 1951 and houses about 4,500 inmates. Before that, Utah's state prison was at what is now Sugar House Park.

The state also operates a prison in Gunnison, the Central Utah Correctional Facility.

The goal is to get the legislation passed quickly so the authority can get up and running by April 15, as required by the bill, Sen. Scott Jenkins said.

The authority would then seek proposals from companies and come back to the Legislature and governor with a viable option.

It's unlikely any proposal would be ready to come before the Legislature by the time next year's session concludes, but the governor could convene lawmakers in a special session to approve the plan.

Some of the possible sites that have been considered for the new prison are in northwest Utah _ specifically Box Elder County, Juab County and Tooele County. Cache Valley Daily

Canal rebuilding digs up negative reactions

Construction to rebuild the Logan northern canal enclosed in six miles of underground pipe is ongoing.

Andy Neff, a contractor with JUB Engineers and a member of the Cache Water Restoration Project Team, said the story goes back to July 2009 when the landslide caused a breach in the canal.

After the disaster, Neff said the first step to reconstruction was to work with the Natural Resource Conservation Service to prepare an environmental impact statement, and the statement was finished in 2011 and construction has since begun. Rebuilding the canal is a very important project for the City of Logan.

Mark Nielson, public works director for the city of Logan, said the canal is used for irrigation in most of Cache Valley.

Neff said farmers with fields along the canal have been affected the worst by the broken canal, and because of the strain on the farmers for the last three years, the canal team hopes to have the project completed by spring. There are several other benefits to containing the canal in an underground pipe.
While many residents realize the canal must be fixed, some are upset about the way things have been going.

Nielson said citizens are mostly upset about the changes enclosing the canal will make in their yards.
Neff said the city wishes to appease the wishes of the residents as much as possible, but legal rights to the canal belong to the canal companies who built the sections of canal affected by the incident. Utah Statesman

Sod fills site in lieu of science building

On a campus filled with buildings, two trees spring up from an empty site just east of the University Inn. Unfortunately for students, the allotment of funds needed to construct a building here could be just as sparse as the site’s vegetation.

USU is asking legislature for $45 million in order to construct a new biological sciences building on the location, but according to some campus officials, the outlook does not look good.

“It didn’t score real high on the statewide priority list,” said Ben Barrett, director of Facilities Planning, Design and Construction. “It’d be a long shot this year for that project. This is the first year we’ve submitted for that project. Quite often that’s something you kind of have to get in line for.”
While $45 million would help the project, Jim MacMahon, dean of the College of Science, said it would take even more money to fund the building’s construction.

Barrett and MacMahon said it is possible USU will get partial funding for the project this year, which will allow them to begin design work. Barrett said the design work alone on a building of this size would take almost a year to complete.

Knowing it was not likely the project would be approved its first year of submission, Barrett said they laid sod and installed an irrigation system in order to make the land available for campus activities, as well as to provide an environmental benefit and save time spraying weeds. USU Statesman

Aggies ask legislature for building funds

Students lobbying for USU during the Utah state legislative session this year plan to try a more positive approach than in previous years with the politicians who decide how much money higher education receive and what projects do and do not get a stamp of approval.

USU will ask the legislature this year for $60 million to build a new biological sciences building and renovate labs in the Biology and Natural Resources building, as well as seek approval to bond money to build a student recreation center, said Neil Abercrombie, director of government relations. The university also has plans for a $20 million instructional building at USU Eastern.

Public colleges and universities around the state, including USU, send student-staffed lobbyist groups like the GRC to the state capitol every year to lobby for funding and projects. These schools use events like the annual Research On Capitol Hill Day, where student research projects go on display in the state capitol rotunda to persuade legislators their projects are worth funding.

Wilson said the GRC’s approach to legislators will be more positive this year, explaining the great things USU does rather than why it needs more money. Utah Statesman

Brigham City OKs Controversial Hotel for Downtown

The city council approved a development agreement with Western States Lodging to bring a Hampton Inn, part of the Hilton chain, to downtown. The nearly $6 million hotel will be connected to the proposed Academy Square.

David Webster, CEO of Western States Lodging and a resident of Mantua, said the management company is aiming for construction to begin in late spring, with the hotel set to open before year’s end. Under that agreement, it will purchase the ground surrounding the Academy Square building for $500,000.

As part of the financing, the city will host a loan for $400,000 from the U.S. Department of Agriculture that is designed to encourage development in rural areas.

Concerns about the city’s financial dealings in bringing the hotel to the city, as well as the issue of fairness to existing Brigham City hotels, has prompted continued public comment about the project at city council meetings over the last few months.


Paul Larsen, Brigham City’s director of community and economic development, said the architecture of the Hampton Inn will be designed to match the flavor of Academy Square.

At the center of the Academy Square project is the Academy Building, also known as the Christensen Academy of Music and Dance, which was built in 1903 as a dance and arts academy by the Christensen brothers. One brother, Bill Christensen, went on to found Ballet West.

The restoration of the old academy is projected to cost about $2 million.

Councilwoman Ruth Jensen reminded the council that the Academy Square project was to be paid for through private fundraising, but the city’s involvement, she said, has been expensive in areas such as land purchases and time spent by city employees facilitating the development.

As part of the development agreement, Western States Lodging will oversee daily management of the Academy Square. It will serve as a convention and reception facility that, Webster said, will be available for wedding receptions and high school events. Standard Examiner

Utah Theatre Hopes to Finish Renovations with $1 million donation

After about a year of no progress, renovations on the Utah Theatre are starting again thanks to a $1 million donation by Gail Miller.

Utah Festival Opera and Musical Theatre Managing Director Gary Griffin said the widow of Larry H. Miller gave the company the donation —in two parts — within the last month.

“Hopefully, that will be enough to finish it, open it up,” Griffin said of the project. “We couldn’t have done anything without that (donation). That was what got us started again.”

Construction of the entire Center Street project — which includes an annex — should be finished by the end of 2013.

Right now, crews are installing the sprinklers and the heating and air conditioning system, Griffin said. Crews will install a fly system so the theater can be used for both classic movies and live performances. The interior still needs to be refinished, and seats will be reinstalled before the historic building will once again open to the public.

Crews framed the annex to the east of the theater, where the restrooms and elevator will be located, Griffin said. The addition will include new, modern restrooms and a modern concession area. There will be a rehearsal space on the second floor of the new addition. Eventually, they would like to add a rooftop garden on the addition.

Construction on the Utah Theatre — located at 18 W. Center St. in Logan —began in January 2008, but when excavating for the organ chamber, construction crews hit the water table at a depth of 12 feet, Griffin said.

Waterproofing the chamber and weighing it down — to keep it from floating in the aquifer —cost the opera company an extra $500,000, Griffin said. With a shortage of funds, the project was put on hold, and the theater was used for storage space until January 2011, when construction resumed.

After that, crews put the organ in and did more work on the annex after the organization received more cash. Other than that, not much has been done on the theater in 2012, said Griffin.

Officials at Utah Festival Opera and Musical Theatre envision doing live productions year-round once the renovations of the original building — and the addition — are complete. So performances won’t just be at the Ellen Eccles Theatre during the summer.

“We’ll be doing live performances there at the same time we’re doing them at the Eccles, so instead of doing four productions, we’ll be doing eight,” Griffin said.

The last movie shown at the theater was "Casablanca," Griffin said. He isn’t sure which classic movie will be shown at the theater's reopening, but he said, "We'll probably open with a silent movie, with that organ accompanying." Herald Journal

West Liberty Foods to Expand in Tremonton

West Liberty Foods is about to launch another major expansion at its Tremonton plant.

The company, whose headquarters are in West Liberty, Iowa, said it is planning to add more than 34,000 square feet of manufacturing and storage space to its Utah facility. The expansion is expected to be completed in August 2013.

The expansion will be the third addition to the facility since it opened in 2007.

Ed Garrett, president and CEO for West Liberty Foods, said in a statement announcing the expansion that the company needed the additional space because of increasing sales volume. He said the addition will bring an estimated 10 million pounds of additional manufacturing capabilities to the Tremonton facility.

"The expansion of the Tremonton, Utah facility is part of our company’s continued success, and the additional space will serve to benefit our customers," he said in the statement.

West Liberty Foods is a co-packer and private label manufacturer of sliced deli meats and other fully-cooked products.

The Tremonton plant employs 530 Utahns. Salt Lake Tribune

Brigham City releases more hotel loan detail

Two weeks ago Brigham City Council voted to approve an application to the United States Department of Agriculture (USDA) to facilitate a $1 million interest free loan for an as yet unnamed hotelier to locate at the city's Academy Square. If the application is approved and the loan is dispersed, the city will be effectively on the hook to ensure its repayment.

"This is not a grant – the money has to be paid back," said Paul Larsen, Brigham City's economic development director.

The USDA's Rural Economic Development Loan and Grant (REDLG) program offers and provides zero percent interest rate loans or grants to qualifying rural telephone and electric cooperatives for use in economic and community development projects. The fact that Brigham City has a population of less than 25,000 and an electric utility cooperative initially qualifies the city for the loan program, according to city officials and the USDA's rural development website.

Larsen acknowledged the concern of a developer defaulting on a loan that could leave taxpayers to foot the $1 million bill and explained that the city has plans to protect against this risk. The city would create a "community development project area" in the vicinity of the Academy Square as well as utilize tax increment financing to back the loan in the event of the hotel defaulting. 

The tax increment, Larsen said, would act as collateral for the loan as part of the inter-local participation agreement. This would serve to hold the developer accountable and ultimately ensure that any incentives, such as a $1 million loan with the city's name on it, be performance based. Box Elder News


Related post: If you build it, will they come?

If you build it, will they come?

Brigham City Council voted last week to approve an application to facilitate a $1 million interest free loan that would pass through the city to the developer for the development and funding of a hotel in conjunction with the Academy Square project.

"There is need and room in the market for an additional hotel in Brigham City," said economic development director Paul Larsen.

However, some local business persons feel that this might be an example of putting the cart before the horse. Tim Haderlie, general manager of the Logan and Brigham City Crystal Inns, says that by helping to fund hotels and restaurants in the area the city is setting an "unfair playing field."

The downtown Brigham City project has been a long time coming and the Academy Square building has been vacant since the early 1980s with Brigham City purchasing the building over 15 years ago. Many city officials, including the community and economic development department see the opportunity to create jobs and thereby increase the tax base. One agent who has been involved in securing properties for the Academy Square project has said that he has "strived to be fair and advise in a professional way to provide elected officials with the keys to make the decisions." Box Elder News