KAYSVILLE -- A recent retail-leakage study concluded that Kaysville residents are traveling to Layton, Centerville and Farmington to spend much of their disposable income.
To battle that, city officials recently adopted an ordinance which allows the council to function as the Kaysville City Redevelopment Agency.
The city is capturing only 24 percent of all retail sales that could occur within its boundaries, according to a presentation by Jason Burningham, of Lewis, Young, Robertson and Burningham, the company that performed the study.
Currently the city receives 34.4 percent of its revenue from sales tax, which is lower than many other Utah cities, according to the report.
"We are not capturing all that we can within our community. Our goal is to put a program together that will help capture some of that. So that the tax dollars stay within the community and the property taxes can stay down," said Randy Sant, economic development coordinator for the city.
Kaysville would benefit from additional retail and office development in order to promote economic sustainability, according to Burningham.
The city's population is estimated to grow by 5,800 by the year 2020. As the number of residents increase there will be a proportionate demand on services, said Sant. He said the buying power of the increased population is estimated to be around $7.6 million.
"The goal is to try to get things in place so that as the population increases and the buying power increases, it can be captured here and that not be leaked out," said Sant. "If you can capture that $7.6 million spending power, it can go a long way in helping you with your budgets."
The RDA will now take steps to evaluate and address needs within the city. The council favored an approach termed "economic cluster areas," in which areas are developed with multiple smaller businesses rather than one large business.
This approach would help balance and maintain sustainable revenue sources, according to Sant.
The RDA will next create and review a survey area that members deem as potentially needing improvement. Each property within the area will be evaluated and the results will be presented to the RDA, which will then determine if any steps need to be taken.
Mayor Steve Hiatt emphasized that no residential areas are involved at this time.
"Adopting this ordinance and taking these steps certainly doesn't compel us to use any certain area," Hiatt said. "It puts the tools in our tool bag so that we can access them if the time is appropriate."