Orem council adopts 2020-21 budget with no property tax rate increase; delays Canyon Crossing storage rule
June 16, 2020 · Held electronically (56 North State Street, Orem)
The council adopted the fiscal 2020-21 budget, which holds the property tax rate and transfers $1,072,000 from utility funds to the general fund, approved drive-thru windows in the PD-21 zone, and updated the flood damage prevention ordinance. It continued a Canyon Crossing District storage-building amendment to July 14 after Council Members David Spencer and Terry Peterson raised concerns. All votes were unanimous.
From the approved minutes. Updated October 14, 2026.
Decisions at a glance
Agenda, item by item
Item Public hearing · Budget
Fiscal year 2020-21 budget, fees and tax rates
Approved · 6-0
Finance Manager Brandon Nelson said property taxes would not increase, franchise and municipal energy taxes stay at 6 percent, transient room tax at 1 percent and the telecommunications tax at 3.5 percent. Staff estimated about a 1.7 percent decrease in sales tax revenue and expected a large drop in building permit revenue. Dave Busath asked that the water fund be used wisely. Council Member David Spencer questioned Library Hall rental fees and the fees charged to co-sponsored youth sports groups, calling the schedule out of balance; City Manager Jamie Davidson said the fees are far below the cost of maintaining the fields. Council Member Debby Lauret asked about a federal Justice Department grant for three officers; Davidson said it was not budgeted until the terms are understood.
- BudgetAmount not given
Item Public hearing · Budget
Enterprise fund transfers to the general fund
Discussed
Because the State Auditor requires cities to pay retail rates for their own use of city-owned utilities, the budget transfers $900,000 from the water fund, $16,000 from sewer, $141,000 from storm water and $15,000 from street lighting, $1,072,000 in all. Staff said the alternatives were raising property taxes or cutting services. No one spoke.
- Budget$1.07 million
Item Public hearing · City code
Canyon Crossing District accessory buildings
Continued · 6-0
Planning Division Manager Jason Bench said a business owner wanted a large storage building behind existing buildings, which the zone's two-story and 10-foot setback rules effectively prevent. Staff proposed allowing one storage-only, one-story accessory building up to 15 percent of a primary building's floor area, behind the primary building and without water or sewer. Council Member David Spencer called the limits anti-business, wanted a higher percentage and said he did not like the district's current boundaries; Council Member Terry Peterson agreed businesses need support. Development Services Director Ryan Clark said the State Street districts came from extensive public outreach. A business representative said the storage was vital to operations. Mayor Brunst moved to continue the hearing to July 14 so the parties could meet.
- Proposed cap: 15% of primary building floor area
- Planning Commission: recommended approval
Item Public hearing · Zoning
Allow drive-thru windows in PD-21 zone (1296 West University Parkway)
Approved · 6-0
The PD-21 Student Housing Village zone at 1200 South Geneva Road barred drive-thru windows. An applicant wants a drive-thru soda store at 1296 West University Parkway, replacing a natural gas fuel station. Staff supported the change because a Subway next door got a drive-thru in 2012 and because pandemic habits favor drive-thru and curbside service. Council Member Debby Lauret said such a business fits what has developed nearby; Council Member Brent Sumner raised parking-lot congestion, and Bench said site plans will be checked for safety. No one spoke.
- Planning Commission: recommended approval
Item Public hearing · City code
Flood damage prevention ordinance update
Approved · 6-0
The ordinance updates Chapter 10 to meet state and FEMA standards, adding definitions, a floodplain administrator and hazard-reduction standards, so the city stays eligible for the National Flood Insurance Program. New flood maps take effect June 19, 2020. Staff said most Orem homes are unaffected.
Item Public hearing · Budget
CDBG-CV coronavirus relief funding and action plan amendment
Approved · 6-0
Of Orem's $411,983 in CARES Act CDBG-CV funds, about $30,000 would go to administration and planning, about $42,950.34 to public services, and about $339,032.66 would be allocated later. An executive director of a family support and treatment center spoke in favor, citing increased mental health crises, substance abuse and domestic violence.
- Grant$411,983 to U.S. Department of Housing and Urban Development
Budget
Public safety Tier II retirement contribution pick-up
Approved · 6-0
The city will pay the 2.27 percent employee contribution to the Tier II public safety and firefighter retirement system, about $150,000 a year, and committed to continue it. Council Member Terry Peterson asked how other cities handle it; Davidson said practices vary.
- Payment$150,000 to Utah Retirement Systems
Item Consent · Budget
Consent: CARE grant amounts and risk management interlocal agreement
Approved · 6-0
The consent agenda approved an ordinance setting 2020 CARE grant awards (amounts are not in the minutes) and the amended interlocal agreement creating the Utah Risk Management Agency.
Contract
Interlocal agreement with Utah County for Coronavirus Relief Fund
Continued · 6-0
Staff recommended continuing the item to the next meeting or a special meeting; the council continued it.
Item Work session · Public safety
Police accountability update and gang loitering report (work session)
Discussed
Police Chief Gary Giles said Orem employs two full-time mental health officers and a part-time social worker, that about 80 percent of officers are Crisis Intervention Team certified, and that state law and Orem policy already require warnings before shooting where feasible and exhaust alternatives. He said a chokehold ban needs study and condemned the Minneapolis officer's actions. He said Orem has had no major gang problems and the 2009 loitering areas remain. Council members thanked him on his announced retirement.
Item Work session · Roads and utilities
Storm water code amendment and retention schedule (work session)
Discussed
Public Works previewed Chapter 23 changes from state HB 226 moving the on-site retention standard from the 90th to the 80th percentile storm, to come to the next meeting. The city recorder also reviewed the records retention schedule project. Council consensus favored naming Terry Peterson Mayor Pro Tem for July through December.
What residents said
Use of water fundRocky Mountain Power solar program
An anonymous comment asked about a Rocky Mountain Power program and mandatory solar panels; Mayor Brunst said the council voted not to move forward with it. Dave Busath spoke at the budget hearing about use of the water fund.