Washington County considers $20M bond to prepare Boulevard building for federal court

ST. GEORGE — The Washington County Commission is in the process of considering a $20 million bond for the internal renovation of its Boulevard Office Building, which hasn’t seen a major remodel in decades and is seen as increasingly necessary as it could serve as a new home for the United States Court in Southern Utah.

The Washington County Commission discusses a proposed $20 million bond for the renovation of the interior of the Boulevard Office Building, St. George, Utah, Feb. 21, 2023 | Photo courtesy of the Washington County Commission / CEC, St. George News

The county’s intention to consider a multimillion-dollar bond for its Boulevard Office Building, located on the corner of St. George Boulevard and 200 East in St. George, was posted Jan. 23 and noted it was the subject of a public hearing.

That hearing was held during a County Commission meeting Tuesday and ran for an hour as people either asked questions or denounced the idea of the debt the issuance of the bond would create.

“We are not issuing these bonds today,” Commission Chair Adam Snow said prior to opening the hearing to comment, and explained the hearing was to gauge the public’s thoughts on the matter.

Snow said the $20 million bond the county is considering would be used to remodel and upgrade the inside of the Boulevard Office Building so it can better serve the county’s Justice Court, which is already housed in that building, as well as another potential tenant – the federal court.

The Southwest Utah branch of the federal court is currently housed in 5th District Courthouse in downtown St. George. Due to the state expanding its own court services, Snow said the federal court is being moved out. Federal officials have since expressed interest in leasing space at the Boulevard Office Building for a new home.

Built in 1966, the building originally served as a Ford Motors dealership until it became the home of Boulevard Home Furnishings in the mid-1970s. The furniture store relocated to a new building across town in 2000 with the county claiming the old building next.

While the county remodeled the roof of the old Boulevard building in 2019, the interior, which Snow described as “dilapidated,” remains in need of renovation and structural upgrades whether or not the federal court takes up residence there.

The Washington County Boulevard Office Building in St. George, Utah, Feb. 23, 2023 | Photo by Mori Kessler, St. George News

“The building is not structurally sound,” Snow said. “We will have to do something regardless.”

A remodel of the Boulevard building falls in line with the overall plans the county has for moving the majority of its departments and services into the new Washington County Administration Building next door.

Many departments have already made the move, Commissioner Victor Iverson said.

The county’s own justice court will stay in the Boulevard building as some court-related infrastructure is already in place there. However, it will also be temporarily housed elsewhere once an interior remodel begins.

So far, adoption of the $20 million bond, which is set for 25 years, is contingent on the federal court moving ahead with becoming a tenant of the Boulevard building. While the federal government seemingly has no timetable on when they would finally agree to lease the space, once they do, the commissioners said the federal government likes to move fast. That is why the county is in the process of getting plans and resources lined up.

Some residents still didn’t like the idea and asked why the building couldn’t be either sold off or torn down and rebuilt for cheaper.

“We looked at this from every angle,” Commissioner Gil Almquist said. “This was the best option.”

Residents also disliked the idea of saddling the county taxpayers with the additional debt that would come with the bond.

Entry to the Washington County Justice Court, St. George, Utah, Feb. 23, 2023 | Photo by Mori Kessler, St. George News

“I hate debt,” resident Dan Cooper said. “I think we should get rid of some of the other debt first.”

The other debt Cooper referred to are outstanding bonds the county will carry, which amounts to around $6 million, Snow said. Some of that debt is set to be paid off over the next few years, he said.

The new bond would also be up to $20 million, Snow said, with the actual amount needed for the remodel $13-14 million. However, inflation, material shortages and other factors may continue to plague the economy and impact prices, he said.

Whatever the end amount may be, the commissioners said the lease the federal court would sign will pay for the bulk of the bond, the commissioners said during the hearing.

“After a while, the residents of Washington County will be making money on the lease,” Iverson said.

If the federal court pulls back on leasing the space, Iverson added, the county will put the breaks on issuing on the bond and reevaluate its plans.

No vote was made Tuesday regarding the proposed bond and will be the subject of a future County Commission meeting.

Copyright St. George News, SaintGeorgeUtah.com LLC, 2023, all rights reserved.

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