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HELPING UTAH TO BE THE PLACE OF UNMATCHED OPPORTUNITY AND LIVABILITY

2026

Annual Report

CONTENTS

ABOUT US

FOCUS AREAS

BUDGET

TAX CREDITS

COMMISSIONS, BOARDS & COMMITTEES

About Us INTRODUCTION

COMMISSIONER’S MESSAGE

VISION, MISSION & STRATEGIC PLAN

Introduction The Utah Governor’s Office of Economic Development (GOED) prepares an annual report for the Utah Legislature and the public. Published annually on October 1 for the previous fiscal year, the report details the office’s programs, initiatives and priorities. The 2026 Annual Report covers June 2025 to June 2026, known as Fiscal Year (FY) 2026.

Commissioner’s Message Securing Utah’s economic future requires an agency that is as agile, accountable, and ambitious as the communities and businesses it serves. Over the past year at the GOED, we have re-engineered our operational approach to meet this moment. Guided by our Opportunity Framework and the Utah Elevated Strategic Plan that launched in late May, our mission is clear: we are here to advance Utah’s long-term economic success so people and businesses can thrive. This begins with rigorous internal development and oversight. In FY 2026, we fortified our executive team by structuring the office under two exceptionally capable deputy commissioners and a chief compliance officer. We’ve recalibrated the makeup and reporting lines of our teams to improve our ability to be responsive, proactive and accountable. Importantly, we’ve worked to foster a culture and team that are increasingly capable and passionate about our mission. Our path forward is both data-driven and community-aligned. In order to establish Utah as the place of unmatched opportunity and livability, we will leverage three foundational pillars — Innovation, Capital, and Life Quality — applied across strategic focus areas. These include social, physical and human capital; projects of statewide significance; outbound recruitment; rural development; elevating economies within Utah; energy and the upcoming Utah 2034 games. In practical terms, this means that GOED is recapturing its legacy, along with its former name, to build economic momentum and drive opportunities in the state with a generational focus and in close coordination with communities, economic development partners, and other state agencies. We thank you for your consideration of this report.

JEFFERSON MOSS Commissioner Utah Governor’s Office of Economic Development (801) 538-8794 | jrmoss@utah.gov 9

Vision, Mission & Strategic Plan VISION Be the place of unmatched opportunity and livability.

MISSION We advance Utah’s long-term economic success so people and businesses can thrive — through innovation, capital, and quality of life.

GUIDING PRINCIPLES Free Enterprise

Collaboration

Limited and Effective Government

Data Informed

Future Mindset

Prudent Investment

GOED Teams & Structure ▶ EXECUTIVE

▶ OPERATIONS

• Commissioner • Deputy Commissioners ◦ Chief Operating Officer (COO) ◦ Deputy Commissioner & Managing Director of Tourism & Film • Center for International Business & Diplomacy

• Finance • APEX Accelerator • Business Intelligence

▶ COMPLIANCE • Audit • Community Grants • Compliance • Contracts • Regulatory Relief & Research

▶ ECONOMIC GROWTH • Business Recruitment & Expansion • Center for Rural Development & Community Outreach

• Global Talent & UPSTART • Utah Small Business Credit Initiative (USBCI)

▶ WORKFORCE ENGAGEMENT ▶ MARKETING & COMMUNICATIONS ▶ TOURISM & FILM • Community & Partner Relations • Marketing Analytics & Research • Customer & Team Success • Global Markets • Communications • Marketing • Utah Film Commission

▶ HOUSING & COMMUNITY DEVELOPMENT ▶ ENTREPRENEURSHIP & ECOSYSTEM DEVELOPMENT • Startup State Initiative

• Housing Programs – Multi-Family Housing • Housing Programs – Private Activity Bonds • Housing Programs – Deeply Affordable & Attainable Housing Programs • Housing Programs – State and Federal Reporting (MIH) • Community Development • Land & Infrastructure Programs

Strategic Plan In May of 2026 to a standing-room-only audience at the Michael O. Leavitt Building, Governor Cox and GOED launched the Utah Elevated Strategic Plan. Utah Elevated is meant to guide not only our office, but to proactively champion and coordinate economic development activity throughout the state. In this plan, GOED acts as a central guide and resource for statewide economic development, coordinating, convening and catalyzing Utah’s economy. We invite you to review the plan at business.utah.gov/utahelevated. 11

Focus Areas SUPPORTING UTAH ENTREPRENEURS & BUSINESSES

RURAL UTAH SUPPORT

HTRZ & FHIZ

BUSINESS RECRUITMENT & EXPANSION CENTER FOR INTERNATIONAL BUSINESS & DIPLOMACY

23 24

TARGETED INDUSTRIES

TOURISM

FILM PRODUCTION

OFFICE OF REGULATORY RELIEF

UPSTART

UTAH SMALL BUSINESS CREDIT INITIATIVE

UTAH CENTER FOR GLOBAL TALENT

UTAH REDEVELOPMENT AGENCY PORTAL

CONTRACT COMPLIANCE

We Support Utah Entrepreneurs & Small Businesses GOED’s Economic Growth team collaborates with a robust network of partners to provide comprehensive resources and support for Utah’s small businesses. Key partners include: •

Statewide Chambers of Commerce

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World Trade Center Utah

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U.S. Small Business Administration

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Utah Microloan Fund

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Utah Small Business Development Center

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Suazo Business Center

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Women’s Business Center of Utah

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*The Center for Economic Opportunity & Belonging

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Higher Education Business & Innovation Centers

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U.S. Treasury

These partnerships enable us to provide vital resources such as technical assistance, training, access to capital, grants, and other essential tools to support Utah business success. *Contract confluded at end of FY 2026

State-Sponsored/GOED Programs & Services BUSINESS RECRUITMENT & EXPANSION The Economic Growth team manages GOED’s corporate recruitment activities and incentives, attracting local and outof-state companies to expand or relocate within Utah. This team is crucial in supporting regional economic development across the state. GOED empowers local communities by: • Promoting local strategies around the development of targeted industries on a national platform • Fostering collaboration among state agencies, local governments, and private sector partners • Providing training and tools to develop a strong ability to respond to company or site selectors’ RFI requests

CENTER FOR RURAL DEVELOPMENT The Center for Rural Development (CRD) works with Utah’s rural counties, communities, and businesses, providing economic development resources that lead to prosperity. These resources include job creation incentives, grants, tax credit incentives, and skilled guidance that act as a force multiplier, accelerating economic projects in Utah’s 24 rural counties. GOED significantly expanded its CRD service model in 2023, embedding five rural economic development managers across the state who act as vital regional account managers with a business retention, expansion, and attraction focus. Since then, the program has evolved from a marketing and

outreach concentration into a robust economic development engine essential to implementing the GOED strategic plan statewide. Today, these CRD team members provide hands-on, day-to-day support, including strategic grant management, business expansion activities, infrastructure expansion planning, and workforce development coordination. By working closely with local leaders to align community goals with state initiatives, the CRD team brings targeted industries and high-wage jobs to rural Utah, helping local partners move from project concept to reality — all at no cost to participating communities.

CENTER FOR INTERNATIONAL BUSINESS & DIPLOMACY The Center for International Business & Diplomacy team manages diplomatic engagements within Utah and internationally. In collaboration with local partners, including World Trade Center Utah, the team actively promotes Utah’s business community and attracts foreign direct investment and trade.

STARTUP STATE INITIATIVE The Startup State Initiative creates opportunities for advancement by celebrating, inspiring, and empowering Utah entrepreneurs. It aims to champion the state as the Startup Capital of the World by providing consistent leadership, unifying key business resources on one platform, and amplifying support organizations. With the end goal of fostering new business formations, it supports entrepreneurs throughout their startup journeys. Learn more at startup.utah.gov.

UTAH APEX ACCELERATOR The Utah APEX Accelerator program offers free consulting services to help Utah businesses successfully identify and secure government contracts. Its expertise prepares businesses to compete in federal, state, and local marketplaces. From July 1, 2025, to June 30, 2026, the APEX Accelerator achieved significant milestones: • Completed 2,564 hours of consulting services • Consulted 551 new clients • Helped Utah companies win $1.94 billion in federal, state, and local contract awards • Sponsored or participated in 139 in-person and virtual events, including the APEX Accelerator Symposium with 300 attendees and the Hill Industry Partner Exchange with 600+ attendees, co-hosted by GOED, APEX Accelerator, and others

UTAH FILM COMMISSION The Utah Film Commission supports Utah businesses engaged in film, television, and commercial production — from catering to equipment rental — by promoting and incentivizing film production across the state.

UTAH OFFICE OF REGULATORY RELIEF The Utah Office of Regulatory Relief enables organizations, including businesses and nonprofits, to temporarily experiment with new products, production methods, or services, allowing stakeholders and entrepreneurs to assess their effectiveness with clients. This office also provides policymakers with valuable insights regarding the appropriate scope and scale of regulation for these innovations.

UTAH OFFICE OF TOURISM The Utah Office of Tourism elevates life in Utah by advancing the visitor economy through marketing, development and stewardship. The office promotes statewide visitation, strengthening Utah’s economy and directly supporting local businesses. By encouraging responsible exploration and fostering collaboration with local communities, the office expands economic opportunities for residents and visitors.

UTAH SMALL BUSINESS CREDIT INITIATIVE The Utah Small Business Credit Initiative (USBCI) is a federal loan program under the U.S. Treasury’s State Small Business Credit Initiative. Funded with $69 million, USBCI aims to expand access to capital for Utah small businesses. These provisions and resources enable underserved small businesses and rural community entrepreneurs to access essential capital and other resources crucial for business growth. USBCI remains a powerful catalyst for entrepreneurial success, directly advancing GOED’s strategic vision to cultivate unmatched economic opportunity and capital access statewide. By bridging critical funding gaps and mitigating lending risks, the initiative provides the essential financial runway local businesses need to scale their operations and sustain longterm employment. To date, the program’s collaborative lending framework has leveraged $128.5 million in private capital while delivering vital coaching and resources to 430 businesses through its technical assistance program. Most importantly, these strategic investments translate into tangible community impact, having already created or preserved 1,800 jobs across Utah. As USBCI continues to expand its reach and unlock new pathways for entrepreneurs, we are incredibly excited about the program’s future growth and its ongoing role in elevating Utah’s dynamic and resilient economic landscape.

Courtesy of Scott Markewitz/Utah Office of Tourism 16

Rural Utah Support The Center for Rural Development (CRD) works with Utah’s rural counties, communities, and businesses — providing economic development resources that lead to prosperity. These resources include job creation incentives, grants, tax credit incentives, and skilled guidance that act as a force multiplier, accelerating economic projects in Utah’s 24 rural counties. CRD expanded its service model in FY 2025/2026. A key achievement was launching the Rural Economic Blueprint Program and facilitating a planning process in 17 rural communities over the past two years. Empowered by their new blueprint, these communities took action to reinvigorate economic development activities and make their vision a reality, receiving ongoing support from regional CRD managers. Guided by county blueprints and the GOED strategic plan, the CRD team applied grant programs to the highestpriority projects. This led to increased utilization of the Rural County Grant (RCG) and Rural Communities Opportunity Grant (RCOG) programs, as well as the state Rural Economic Development Tax Incentive Financing (REDTIF) and Rural Employment Development Incentive (REDI) tools, and organized outreach activities to maximize return on time and money investments. The following are CRD programs that served rural Utah in FY 2026.

Rural Opportunity Program U.C.A 63N-4-802 The Rural Opportunity Program includes three grant funding opportunities that benefit rural Utah: RCG, RCOG, and the REDI Grant. The Rural Opportunity Advisory Committee oversees the program — advising the office and making recommendations on awarding grants and loans under the Rural Opportunity Program. These three grants awarded over $7 million in FY 2026.

RURAL COUNTY GRANT

The RCG program awards $200,000 in each of Utah’s 24 rural counties. With the advice of its county economic opportunity advisory boards, each county plans and implements projects and activities that enhance business and economic development. These projects and activities include business recruitment, development, and expansion; workforce training and development; infrastructure, industrial building development, and capital facilities improvements for business development. In FY 2026, GOED distributed $4.8 million directly to the rural counties. CHALLENGES & ACHIEVEMENTS In its fifth year of administering the RCG, GOED saw more engagement and activity from each county’s economic opportunity advisory board due to increased interaction with locally embedded rural economic development managers. These boards contribute significantly to the economic development decisions made by county commissions. CRD and the Grants Administrative team retrained advisory boards and commissions in face-to-face meetings on their responsibilities and proper use of funds throughout FY2026. OUTCOMES Rural counties have used RCG funds for a variety of economic development projects and activities, such as: •

Industrial infrastructure improvements for targeted industries

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Workforce development to obtain licensures and certifications

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Customer service training in practical business skills and sales techniques

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Business leadership and training academies

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Event amenities and venue improvements

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Subgrants to businesses for capital investments

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Market research and economic development master planning

RURAL COMMUNITIES OPPORTUNITY GRANT

The RCOG is a competitive funding program that expands opportunities for rural communities — not just counties but also the individual cities and towns within them. Rural Associations of Governments can also apply for RCOG for regional projects. Rural communities may receive awards up to $600,000. In FY 2026, CRD awarded over $2.5 million to eight rural communities. This year, all awards were for infrastructure, industrial building development, and capital facilities improvements for business development. CHALLENGES & ACHIEVEMENTS CRD spent much of its time retraining County Economic Opportunity Advisory Boards, county commissions, and town councils on which project types qualify for RCOG awards and their roles in preparing for, reporting on, and being accountable for grant funding. An RCOG Intent-to-Apply pre-application has been developed to support consultation and project advice before the program application. OUTCOMES Examples of economic development projects and activities by rural communities using RCOG funds are: •

Industrial Park infrastructure improvements for business development

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Phase 2 expansion of an industrial park for business attraction

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Roadways and infrastructure for new industrial property

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Retail commercial block improvement

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Build-out of a Business Innovation Center

RURAL ECONOMIC DEVELOPMENT INCENTIVE GRANT (U.C.A. 63N-4-403 )

The REDI grant offers direct support to businesses. Growing companies in rural Utah that create and retain new, highpaying jobs can apply for $5,000 to $6,000 per position, provided they maintain the job for at least 12 months. This program defines high-paying jobs as paying 100% of a rural county’s annual wage. CHALLENGES & ACHIEVEMENTS One challenge REDI participants faced during FY 2026 was complying with baselining requirements. As a result, the program was adjusted to support businesses struggling to file employment records within the REDI application period. The REDI application opens and closes every quarter to ease baselining constraints. CRD rural economic development managers have also been assigned to help businesses with their applications and carry them through the grant life cycle. OUTCOMES In FY 2026, 29 businesses applied for a REDI grant. Of those, 24 entered into performance contracts. The REDI grant currently has obligations of nearly $1.5 million, projecting the creation of 256 new full-time positions in rural communities over the next few years. In FY 2026, applications were submitted by businesses located in the following rural counties: •

Beaver

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Emery

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San Juan

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Box Elder

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Garfield

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Sevier

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Cache

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Grand

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Tooele

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Carbon

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Iron

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Washington

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Duchesne

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Sanpete

Reimbursement is issued after verifying that each new position has been created and the annual gross wage meets the required criteria at the end of 12 consecutive months. As a post-performance program, contracts for this grant extend across fiscal years.

Rural Revolving Loan Fund Program funds may be used to award loans to rural communities or rural health care special districts to finance qualified projects. Before it may qualify for a loan, a rural community or rural health care special district must exhaust all other means of securing funding from the state. The entity then enters into a loan contract with the office. CHALLENGES & ACHIEVEMENTS This funding opportunity is the first of its kind that GOED administers. The revolving loan fund requires established administrative rules and application procedures, as well as cooperation with the state treasurer for loan processing. OUTCOMES In FY 2025, the office entered into a 30-year, $17.5 million loan agreement and contract with San Juan Hospital to replace its critical access hospital building, originally constructed in 1958. The hospital will make loan payments in monthly installments. The first annual report was collected in FY 2026. San Juan Hospital serves as a primary facility for inpatient and outpatient healthcare services in a rural county of over 14,000 residents, and employs more than 130 people. No additional loan funds were disbursed in FY 2026.

Rural Coworking And Innovation Center Grant U.C.A. 63N-4-503 The Rural Coworking and Innovation Center Grant assists in creating facilities designed to provide individuals working within designated rural areas with the infrastructure and equipment needed to participate in today’s online workforce. Funding previously allocated to this program has been redirected to RCOG. Future requests for the development of coworking and innovation centers will be made through an RCOG application. Coworking and innovation centers are now in the following locations: •

Blanding, San Juan County

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Hanksville, Wayne County

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Escalante, Garfield County

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Cedar City, Iron County

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Moab, Grand County

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Panguitch, Garfield County

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Fountain Green City, Sanpete County

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Monticello, San Juan County

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Price, Carbon County

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Green River, Emery County

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Orangeville, Emery County

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Vernal, Uintah County

Rural Economic Blueprint Program This program rollout followed the FY 2025 finding that communities across Utah needed cost-effective economic development planning services in order to execute robust rural economic development activities. Many rural communities have motivated stakeholders with strong ideas for prosperity but often lack the internal capacity and specialized expertise to effectively collect, document, and prioritize strategies. By facilitating this planning process through GOED’s CRD at no cost to participating communities, the program helps local leaders align community goals with regional and state initiatives, secure vital project funding, and gain the buy-in needed to turn their vision into reality. CHALLENGES & ACHIEVEMENTS In January 2025, the department hired new economic development planning staff with experience in rural Utah to build and pilot the program in its first year. In FY 2025/26, nine communities were served, and in FY 2026/27 eight communities were selected to participate in the Rural Economic Blueprint Program. OUTCOMES Building upon the program’s demonstrated success and strong stakeholder demand, the Rural Economic Blueprint Program evolved from its FY 2025/26 pilot phase into a permanent fixture of GOED’s CRD service offerings in FY 2026/27.

The initiative successfully launched with an inaugural cohort of nine communities, followed by an additional eight communities in its second year, underscoring the vital need for this targeted planning support. Moving forward, we remain committed to fostering rural economic vitality through this program, with ongoing implementation contingent upon available funding and staffing capacity. FY 2026/27 PARTICIPANTS (YEAR 2) COHORT 1

COHORT 2

COHORT 3

COHORT 4

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Nibley City

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Kanab City

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LaVerkin City

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Wayne County

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Milford City

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East Zion, Kane County

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Piute County

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Torrey Town

FY 2025/26 PARTICIPANTS (YEAR 1) COHORT 1

COHORT 2

COHORT 3

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Emery County

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San Juan County

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Daggett County

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Green River City

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Monticello City

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Town of Dutch John

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Fillmore City

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Blanding City

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Morgan County

APEX Accelerator (Rural Report) The APEX Accelerator program helps Utah businesses compete in the government marketplace by providing consulting services, workshops, webinars, and networking opportunities. From July 1, 2025, to June 30, 2026, APEX Accelerator: •

Consulted 97 new clients in rural Utah (18% of all new clients).

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Helped rural Utah companies receive $333,473,785 in federal, state, and local contract awards.

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Was present at 55 events in rural Utah (40% of APEX Accelerator events this year occurred in rural Utah).

Examples of events from this fiscal year include the One Utah Summit, the Carbon County Chamber of Commerce APEX presentation, San Juan Business Basecamp, Vernal Area Chamber of Commerce Business Development Seminar, Green River Business Alliance Meet, Eastern Utah Economic Summit, Meet the Resource Partner - Garfield and Beaver Counties, and the Emery County Business Chamber Presentation.

Housing & Transit Reinvestment Zone Act, First Home Investment Zone Act, and Regionally Significant Development Zone U.C.A. 63-23-2, 63-23-7, AND 63N-3A GOED administers the Housing and Transit Reinvestment Zone (HTRZ), the Housing First Investment Zone (HFIZ), and the Regionally Significant Development Zone (RSDZ) programs to support municipalities in tackling housing affordability challenges. As of June 2026, the office has reviewed 11 HTRZ proposals submitted by local

public entities, and the HTRZ board has approved nine of them. The nine approved proposals are located in Farmington, Lehi, Salt Lake City (two), Sandy, South Jordan, South Salt Lake, Summit County, and Vineyard, and provide a total of 50,430 housing units, a 149% increase over marketdriven plans. The proposed HTRZ

developments include 6,988 affordable units, accounting for 13.9% of the total housing units. Because they are newer programs, the office has not yet received an FHIZ or RSDZ proposal, but like HTRZs, they are designed to promote affordable housing and homeownership.

Business Recruitment and Expansion UTAH CODE TITLE 63N, CHAPTER 2, PART 1 The Business Recruitment and Expansion team helps accelerate business growth and job creation through sustainable, targeted expansions and relocations. The team’s primary economic development tool is Utah’s Economic Development Tax Increment Financing (EDTIF) program. Through this program, financial incentives are available for select companies that: •

Create new, high-paying jobs

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Attract and retain top-level management

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Help improve the standard of living

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Diversify the state’s economy

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Increase the tax base

Using the criteria listed above, the team recommends financial incentives for local and out-of-state companies seeking to expand in or relocate to Utah. The GOED board votes on all proposed incentives in a public meeting, and the office’s executive director provides the final sign-off on all awarded incentives. Incentives are offered as post-performance tax credits or grants. The state disburses them only after the company meets contractual performance benchmarks, including job creation, capital expenditure, and payment of new state taxes. Since its inception in 2005, approximately two-thirds of the companies participating in the state’s tax credit incentive program are Utah-based.

FY 2026 EDTIF/REDTIF HIGHLIGHTS Projections based on the FY 2026 EDTIF/REDTIF approvals

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22 participating companies

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Over $23.51 billion in projected capital investment

An expected 10,486 new high-paying jobs created

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Over $1.49 billion in projected new state revenue

Over $18.68 billion in projected new state wages in the next 20 years

Trends for the year included more projects off the Wasatch Front and into rural Utah, as well as investments in industries such as aerospace & defense, advanced manufacturing, technology, and financial services. Thanks to modifications of the EDTIF program for rural areas, titled the Rural Economic Development Tax Increment Financing (REDTIF) tax credit program, projects located in rural areas of the state qualified for more significant incentives. With this tool, Utah has seen unprecedented economic opportunities flow to its more rural communities, with 10 of 22 approved projects this year choosing a rural site. The projected capital investment in rural Utah from announced projects in FY 2026 exceeds $17.98 billion.

Center for International Business & Diplomacy UTAH CODE TITLE 63N, CHAPTER 19 GOED’s Center for International Business & Diplomacy is responsible for four diplomacy business streams: 1) Inbound Diplomatic Delegation Programs; 2) Outbound Diplomatic Delegation Programs; 3) Trade Missions; and 4) MOU’s, Proclamations, and Declarations. The business of diplomacy advances trade opportunities for Utah and its businesses, building a deeper understanding of shared cultural ties to achieve mutual economic goals, solve sub-national and international economic concerns, and clear business and diplomatic hurdles. It opens the door for productive government-to-government relationships, provides Utah with access to foreign markets, increases foreign direct investment and Utah exports, and creates jobs at home. International stakeholders include Heads of State, Embassies, Ambassadors, Consuls General, Trade Commissioners and international trade organizations. Utah stakeholders include

Governor Spencer J. Cox and his team, the Lt. Governor Diedre Henderson and her team, the Commissioner of GOED, internal teams, such as Marketing, Regulatory, Division of Natural Resources, Tourism, Community and Culture, Nucleus and external NGO partners such as Higher Education, Innovation and Incubators, Utah Global Diplomacy, World Trade Center Utah, Utah Consular Corps, the Church of Jesus Christ of Latter-day Saints, the Bennett Group and Stirling Foundation to name just a few. Throughout the year, the Center convenes multiple meetings between visiting foreign delegations, the State of Utah, and other countries and provinces, as well as the above internal and external stakeholders — where we conduct many meetings in the form of roundtable and panel discussions and presentations that result in referrals and introductions to our GOED team or Utah businesses in the areas of Aerospace and Defense, Life Sciences and Health Care, FinTech, Tech, and Energy and Minerals.

In FY 2026, GOED and the Center for International Business and Diplomacy facilitated: Inbound Diplomatic Delegations: 43 Inbound foreign delegations and programmed and facilitated over 60 Inbound meetings with various internal and external stakeholders. Outbound Diplomatic Delegations: Seven Outbound Diplomatic Delegations and curated and facilitated 69 meetings Governor-led Trade Missions: Three Trade Missions and programmed and facilitated over 98 meetings MOU’s, Declarations and Proclamations: Seven MOU’s, Three Declarations Countries included: New Zealand, Australia, Peru, Switzerland, Germany, Japan, Korea, Ireland, Argentina, and the UK. Finally, the link between Diplomacy and Economic Development is sometimes vague and hard to quantify, so this year the Center for International Business and Diplomacy launched a project with the Business Intelligence team to produce trackable, reportable data across all of its business streams.

Targeted Industries Utah strengthens new and established workforce sectors by investing in key industries. This approach creates lasting advantages, allowing Utah to capitalize on opportunities while maintaining diversity and resilience in its economy. Utah’s targeted industries are reevaluated every five years by an independent third-party firm to ensure alignment with emerging market trends, economic impact potential, and the state’s long-term strategic objectives. This regular analysis helps Utah remain competitive by prioritizing industries with the greatest opportunity for sustainable growth, innovation, and job creation. While the last formal reassessment was scheduled for FY 2026, the following represent the areas GOED is actively focused on today.

AEROSPACE & DEFENSE Utah’s Aerospace & Defense industry has become a statewide powerhouse, growing rapidly and becoming a vital pillar of the region’s economy. With a remarkable 41% employment increase between 2020 and 2025, the sector now supports over 33,000 employees, accounting for 1.7% of all Utah employment. Beyond workforce expansion, the sector generates more than $6.08 billion in total Utah GDP — representing 2.1% of the state’s entire economic output. This momentum reinforces Utah’s position as an essential hub for national security, advanced manufacturing, and technological innovation. Industry metrics on the sector’s overall impact project a significantly larger economic contribution.

FINANCIAL SERVICES (FINTECH) Utah’s financial services industry and workforce include commercial and industrial banks, credit unions, fintech businesses, insurance organizations, and other financial services enterprises. The sector generates over $30.48 billion in GDP, accounting for a solid 10.4% of Utah’s overall economy. Backed by a workforce of more than 97,000 employees, the industry represents 5% of all job holders in the state and experienced a steady 5% employment growth between 2020 and 2025. This reliable infrastructure ensures local businesses and residents have direct access to robust, comprehensive financial solutions. FinTech is a particular focus area, though current methodologies don’t allow it to be understood outside the broader financial services ecosystem.

TECH (AI, QUANTUM, BLOCKCHAIN) Utah’s technology industry — now a statewide epicenter in the Silicon Slopes region in and around Draper and Lehi — is a crucial economic engine for the state. Generating $25.42B in total GDP, the high-paying sector accounts for 8.3% of Utah’s overall economy. The industry directly supports more than 83,000 employees, representing 4.3% of statewide employment. Driven by strong venture capital investment and an expanding ecosystem of software, hardware, and IT companies, the technology sector experienced steady 12% employment growth from 2020 through 2025, further solidifying Utah’s position as a prominent tech hub. Tech job growth in 2025 was the strongest in the nation based on an analysis of Bureau of Labor Statistics data by the Thunderbird School of Global Management.

LIFE SCIENCES & HEALTHCARE Utah’s life sciences and healthcare industry is one of the nation’s fastest-growing life science communities. Employing over 46,000 workers — representing 2.4% of total employment across the state — the sector achieved an impressive 8% growth rate between 2020 and 2025. Beyond expanding its workforce, the industry generates $11.76 billion in total value, accounting for 4% of Utah’s overall GDP. This steady momentum underscores life sciences as an essential pillar of innovation, employment, and Utah’s overall economic strength.

ENERGY & MINERALS Utah’s energy and minerals industry is a vital economic driver, generating $10.6 billion in total GDP and accounting for 3.6% of Utah’s overall economy. Employing over 17,000 workers — representing 0.9% of statewide employment — the sector has gained significant momentum, highlighted by strong employment growth of 26% from 2020 to 2025. This rapid workforce expansion underscores Utah’s expanding role in powering energy production and supplying essential materials critical for future technologies.

Courtesy of Scott Markewitz/Utah Office of Tourism

Tourism U.C.A. 63N-7-102 The Utah Office of Tourism (UOT) plays an integral role at GOED by stimulating traveler spending. It partners with local communities to market the state and to enhance and develop experience economies to benefit residents, visitors, and stakeholders. The office created the Red Emerald Strategic Plan to guide these efforts, identifying five imperatives for promotion and product development: •

Continue powerful branding

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Distribute visitation

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Prioritize quality visitation

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Improve organizational effectiveness

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Enable community-led visitor readiness

The FY 2026 marketing campaigns attracted travelers willing to spend more money and participate in more activities. The campaigns also educated visitors on how to travel responsibly and engage thoughtfully in our local communities. The Parks & Beyond and Urban & Outdoor advertising campaigns influenced an estimated 1.5 million leisure trips in Utah and over $3.3 billion in visitor spending. The Ski campaign was affected by unusually low regional snowfall, several ski resorts ending operations earlier than normal, and a reduced media budget. Additionally, this was the first year using new creative for the campaign, and new creative usually takes time to wear in with target audiences. Despite all of these factors, the campaign influenced approximately 439,000 trips, resulting in approximately $1.2 billion in visitor spending. Funded by a federal Economic Development Administration grant, UOT launched its “Always Adventure Safe” campaign from May to July 2026. Featuring two lovable, bantering vulture puppets, the humorous campaign urged residents to prepare for outdoor safety and practice stewardship. To kick off the initiative, Always Adventure Safe Day on May 16 featured interactive displays at businesses, state parks, and outdoor venues statewide. Despite running for only three months, the campaign achieved a 54% ad recall rate among Utah outdoor enthusiasts. According to Strategic Marketing & Research Insights, ad-aware residents showed higher participation across key safety behaviors, particularly in checking conditions, carrying emergency supplies, sharing locations, and adjusting plans when necessary. The results demonstrate that the campaign successfully reached its target audience and drove meaningful behavioral changes toward safer recreation.

Utah’s international visitor economy continues to be a powerful economic driver, contributing an estimated $986.2 million to the state in 2025. These exports account for 7.2% of all visitor spending, with the average international visitor spending $1,398. International visitors typically stay longer and spend more money than domestic visitors. Spending by international visitors to Utah declined by 6.1% in 2025. Tariffs and political rhetoric led to a 21.9% drop in Canadian traveler spending in Utah. Increased visa fees, stricter border procedures and perceived lack of safety, strong U.S. dollar and high travel costs, cuts to federal travel promotion, and increased competition are also factors that have likely contributed to lower international visitation to the U.S. and Utah overall. Despite those headwinds, the state engaged in strategic international outreach: Hosting 30 familiarization tours and press trips brought international journalists and tour operators to Utah. These efforts created new itineraries and marketing opportunities to promote responsible exploration of Utah, generating over $5 million in earned media from publications like France National TV, The Daily Mail UK, and Condé Nast/Travel & Leisure India. Participating in nine international missions and global trade shows, targeting key markets in Europe, Asia, and the Americas, including the Brand USA Mexico Mission, Brand USA Travel Week EU, and India, Brand USA Korea/ Japan Mission, and the Utah Office of Tourism-led missions in the UK, France, China, and Canada. The office continued to engage and support local communities and destinations through several programs and grants. In FY 2026, 49 grants totaling nearly $4 million were awarded from

the Traditional Cooperative (Co-Op) Marketing Program. Of these grants, 26 were awarded to destination marketing organizations (country tourism offices, Convention and Visitor Bureaus, etc.) and 24 were awarded to non-profit organizations that attract visitors (Tuacahn, National Ability Center, Heber Historic Railroad, etc.). Since its creation in FY 2006, the program has funded 1,156 applications totaling $70.3 million and extended the state’s brand to $140.6 million in out-of-state marketing dollars. The Utah Office of Tourism staff meets regularly with local officials to understand their needs and how best to assist in developing their visitor economies. As the Economic Development Administration (EDA) American Rescue Plan Act (ARPA) grant prepares to close out this September, 29 of the 32 originally approved subgrantees, representing $1,003,198.42 — or 26.62% — of the state’s total ARPA award, successfully finished their projects. This federal funding enabled counties, cities, and non-profits to complete feasibility and economic impact studies (such as Blanding City’s Main Street improvements), implementation projects (including Tremonton City’s wayfinding signage), and product development initiatives (like the Utah Valley Convention and Visitors Bureau’s tri-county agritourism study). The office completed its fifth wave of a statewide resident sentiment survey conducted by the Kem C. Gardner Policy Institute to gauge residents’ attitudes regarding travel and tourism. While there are concerns about housing prices and environmental impact — particularly in communities that serve as gateways to Utah’s most visited attractions — most Utah residents have favorable views of tourism and recognize its positive impact on Utah’s economy.

Film Production UTAH CODE TITLE 63N, CHAPTER 8 The Utah Film Commission plays a vital role in GOED’s success by promoting the state as a destination for film, television, and commercial productions, as well as fostering the growth of the local film industry. This investment in a strong film industry drives our broader creative economy and inspires the next generation of artists and audiences. Film production spending generates significant impact and provides economic diversification for communities across the state. In fact, 73% of production dollars go to businesses outside the film industry; in the last 10 years, Utah’s film incentive has created over $736 million in direct spending by productions and related vendors. A 2026 study from Olsberg SPI, commissioned by the Motion Picture Association of Utah, revealed the value of film production in the state: Utah’s economy receives $5 for each tax dollar spent on the film incentive tax credit.

The Rural Utah Film Incentive Program provides additional funding for productions that shoot at least 75% of their production days in a rural county. Since 2022, 30 productions have utilized the Rural Utah Film Incentive Program, collectively spending over $260 million in Utah. This economic impact is vital to our rural communities, specifically for local businesses ranging from accommodations and restaurants to transportation and construction. The Utah Film Commission also serves as a liaison to the broader entertainment industry by supporting local film events and working with higher education to create workforce training opportunities around the state. By cultivating a thriving ecosystem of talent, infrastructure, and incentives, Utah continues to attract filmmakers and productions to our state.

NOTABLE ACHIEVEMENTS •

$20.2 million in state film incentives was awarded during FY 2026 to 32 productions shooting in Utah — including a mix of local and out-of-state feature films and TV series, yielding a total estimated spend of $111.1 million.

•

Film production spending took place across the state in 18 of 29 counties.

•

Utah welcomed major productions, including the CBS Original television series Marshals, which filmed in Summit and Wasatch counties, and Legendary Pictures’ Godzilla x Kong: Supernova, filmed in Moab.

•

The statewide Film Ready Utah program has 29 Utah counties prepared to support film productions with locations, local coordination, and community readiness.

•

The Utah Film Commission established a Memorandum of Understanding with the Navajo Nation TV and Film Office to promote the Navajo Nation as a filming destination, and to enhance the skill sets and talents of their respective production professionals.

•

A 2024 Strategic Marketing and Research Insights study estimated $600 million per year in Utah film-motivated tourist spending over 10 years, with up to 46% of visitors indicating in a recent study that a film or television series was a primary motivator for visiting a particular destination in the state.

•

The Utah Film Trail, established by the Utah Film Commission in partnership with the Utah Office of Tourism, now features 30 physical markers around the state that guide travelers off the beaten path to discover the real-world locations featured in some of their favorite films and television shows.

“Marshals” Season 1 (2026) / CBS 31

Utah’s Office of Regulatory Relief UTAH CODE TITLE 63N, CHAPTER 16 The Office of Regulatory Relief administers a general regulatory sandbox created by the Utah Legislature in 2021. The regulatory sandbox gives organizations, including businesses and nonprofits, one year to experiment with new and innovative ideas, without the burden of regulatory barriers. Possible one-year extensions are also available. Organizations with products,

services, or business models that don’t neatly fit into the state’s current regulatory framework can submit ideas they would like to test in the sandbox to the Office of Regulatory Relief. As a sandbox participant tests its idea, state regulators collect data about how well the organization and idea work without regulations. Regulators evaluate the experiment’s results at the

end of the predetermined term. Once regulators have gathered all the facts, they provide them to the Legislature. The office invites residents and organizations to suggest laws and regulations that could be modified or eliminated to reduce their regulatory burden. Please send feedback and suggestions to regrelief@utah.gov.

UPSTART Program UTAH CODE TITLE 63N, CHAPTER 20 First developed and implemented in 2009, UPSTART is a legislatively funded statewide program that uses home-based educational technology with strong parental involvement and engagement to develop preschool children’s school readiness. UPSTART delivers an individualized reading, math, and science curriculum — emphasizing reading to preschool children across the state. Selected through the Request for Proposal (RFP) process, Waterford Research Institute manages the UPSTART program as an independent contractor for the state of

Utah, now through June 2029. The institute has successfully enrolled students across Utah, with an increased focus on reaching individuals from rural areas. Additionally, they have expanded their partnerships with various organizations to enhance support for rural and underserved populations across the state. The 2026 audit of the UPSTART program conducted by the Office of the Utah State Auditor was completed successfully, with no reported findings.

LEARN MORE AT BUSINESS.UTAH.GOV/UPSTART

Utah Small Business Credit Initiative Fund — Rev. 2.0 UTAH CODE TITLE 63N, CHAPTER 3, PART 8 The Utah Small Business Credit Initiative (USBCI), funded by the U.S. Department of the Treasury, enhances access to capital for small businesses throughout Utah that cannot obtain standard commercial financing. The initiative aims to spur job creation, drive business growth, and broaden economic opportunities statewide. At the close of FY 2026, USBCI achieved a significant milestone by committing a cumulative $42,920,130 — or 62.1% of Utah’s overall $69 million funding allocation. Building upon the $26.6 million committed through FY 2025, this continued expansion underscores the program’s growing momentum

in providing capital to local enterprises. To date, USBCI support has assisted 105 small businesses, preserved or generated 1,868 jobs, and mobilized $128.5 million in private financing. USBCI generates substantial economic returns for Utah, currently delivering a 3-1 impact ratio by leveraging $3 in private capital for every dollar of public investment. Building on this foundation, USBCI aims to secure approximately $690 million in private funding statewide to achieve a 10-1 ratio by 2030.

To accomplish these goals, USBCI lowers financial risk for lending partners through two core credit enhancement initiatives: • Loan Participation Program (LPP): Provides up to 40% of the loan amount alongside lenders, mitigating their financial exposure while enabling business owners to secure reduced interest rates. • Capital Access Program (CAP): Supplies up to 7% in loan-loss reserves per approved loan, offering lender protection against potential defaults and minimal to zero collateral requirements for small businesses.

Since its inception in 2022, USBCI has collaborated with 16 community banking institutions and five economic development entities to distribute funds statewide. USBCI is dedicated to ensuring equitable economic opportunities across all regions of Utah, with a focus on expanding access to capital in both rural and urban underserved communities. The program has produced substantial geographic reach, supporting small enterprises across 17 of Utah’s 29 counties and directing 47% of total committed capital to rural areas. These investments have fueled economic expansion and employment in key sectors, including healthcare, construction, education, freight trucking, convenience stores, shelters, hospitality (hotels, motels, RV parks), and repair services. Capital allocations were primarily directed toward acquiring fixed assets, meeting working capital requirements, and funding facility purchases or construction. USBCI remains committed to rigorous financial management. Despite the significant expansion in funding allocation and operations, administrative expenditures for

FY 2026 decreased to $350,740 — a 41.2% reduction from $596,947 in FY 2025. In FY 2026, USBCI broadened its services by securing $1.2 million in U.S. Treasury funds to establish the Technical Assistance (TA) Program. Formulated to enhance operational capability and capital readiness, the program offers small businesses free or affordable consulting in financial, legal, and accounting fields. To execute the TA initiative, USBCI formed a state-contracted partner network including the Suazo Business Center, the Women’s Business Center of Utah, and Small Business Consulting. During the year, this network provided 1,604 hours of targeted consulting to 430 small businesses. By providing up to $2,000 per business for professional services, the program ensures participants are well positioned to access USBCI financing and external capital sources. By strategically deploying capital during critical early-stage venture growth, USBCI will continue to stimulate economic development across Utah, foster job growth, and consistently attract private investment capital.

In FY 2026, administrative expenditures for all USBCI programs dropped 33.4% ($176,207) from FY 2025 peak levels to $350,740 – below FY24 scaling costs – bringing cumulative program administrative spend to $1,402,945.

In FY 2026, program activity reached $20,623,141, comprising $19,899,526 in direct loan expenditures and $723,615 in committed obligations. Cumulative program activity across FY24-FY 2026 totals $42,920,130 (62.2% of total $69M U.S. Treasury allocation).

Utah Center for Global Talent UTAH CODE TITLE 63N, CHAPTER 18 The Utah Center for Global Talent was established in 2021 under S.B. 53 to empower individuals and businesses by streamlining the recruitment and retention of global talent. The center collaborates with state and federal partners to advise on immigrant integration strategies, and enhancing economic opportunities for New Americans and foreign-born individuals residing in Utah.

ACCOMPLISHMENTS In the past year, the center focused on key initiatives to expand Utah’s global workforce. It coordinated Global Talent Pathways events — both in person and virtually — to educate businesses on leveraging a global workforce. These events addressed high-demand sectors such as advanced manufacturing, healthcare, and education, providing information on various employment-based visa pathways. Through its efforts, it provided immigration-related resources to over 371 individuals and businesses.1 A significant area of progress has been in citizenship, where the number of newly naturalized citizens residing in Utah increased from 4,787 to 6,650 between 2022 and 2023 (the latest U.S. citizenship data), due in part to the efforts of the center’s Utah Citizenship Initiative.

The center’s work is further advanced through the New Americans Task Force, a collaboration with The Center for Economic Opportunity & Belonging, established in 2022. This task force, which includes over 200 stakeholders from diverse sectors, advises on issues related to immigrant integration. A recent outcome of this coalition was a report addressing employment barriers for internationally trained professionals. The report’s findings were based on a statewide survey that garnered over 6,000 responses from internationally trained professionals representing various industries and careers. It also highlighted five recommendations from respondents to increase opportunities for professionals seeking licensure in Utah.

CORE INITATIVES The center’s work includes: •

Expanding business access to employment-based visas

•

Increasing coordination between the state and organizations working with Utah’s New American population

•

Encouraging citizenship and naturalization as a key integration strategy

In May 2025, the center contracted its work to The Center for Economic Opportunity & Belonging through June 2026, which continues to drive these initiatives in collaboration with the broader GOED team. The contractual agreement between COEB and GOED concluded on June 30, 2026. Consequently, the Office of Global Talent is now under the direct operation of GOED.

1 The number reflects engagement from the work of the New Americans Task Force, which GOED’s Center for Global Talent administers with The Center for Economic Opportunity & Belonging.

Utah Redevelopment Agency Portal U.C.A. 17C-1-603 As outlined by the Utah Legislature, GOED maintains a database for community reinvestment agencies to track financial details for each project area and the taxing entities they partner with. This marks the final year GOED will administer the database. Reporting is transitioning to the Utah Association of Counties’

(UAC) Statewide Tax Administration and Technology Solutions (STATS) program, which is expanding to cover all entities using tax increment financing. The Utah Redevelopment Agency database is available at goedcommunity.utah.gov/RDA/s.

Contract Compliance GOED’s compliance team works to ensure that companies receiving a tax credit or cash payment have met legislative, regulatory, and contractual requirements before receiving tax incentives. The team includes members with training and experience in accounting, finance, and business economics. By applying best practices for collecting, verifying, and storing statutorily required performance metrics, the team strives to ensure the proper use of taxpayer funds. GOED manages and executes tax incentives, pass-through appropriations, and other economic incentive contracts. With assistance from the Utah Attorney General’s Office, GOED ensures that agreements capture legislative direction and intent and are legally sound. Awards are typically post-performance and require each recipient’s participation through accurate reporting, assisted by data-sharing agreements with the Utah Department of Workforce Services and the Utah State Tax Commission. GOED utilizes the Salesforce platform to create contracts, collect electronic signatures, retain relevant documents, and manage contracts. In FY 2026, the office processed 286 contracts. 37

Budget & Grants FY 2026 OPERATIONS BUDGET

FY 2026 FUND BUDGET

FY 2026 OPERATIONS PROGRAM EXPENSES

INDUSTRIAL ASSISTANCE ACCOUNT

ECONOMIC ASSISTANCE GRANT PROGRAM

STRATEGIC INNOVATION PILOT PROGRAM

MANUFACTURING MODERNIZATION GRANT

REDEVELOPING MATCHING GRANT

INNOVATION IN ARTIFICAL INTELLIGENCE GRANT PILOT PROGRAM

FY 2026 Operations Budget

BUDGET ITEM

GENERAL FUND

GENERAL FUND ONE TIME*

GF RESTRICTED

INCOME TAX FUND

DEDICATED CREDIT

TRANSPORTATION

FEDERAL

TOTAL BUDGET***

PERCENT OF TOTAL

FILM

$926,000

$62,400

–

$988,400

INCENTIVES & GRANTS

$2,011,100

$106,900

–

$212,900

$2,330,900

BUSINESS SERVICES

$1,779,100

$1,484,400

–

$754,200

$4,017,700

OPERATIONS

$2,861,800

$1,732,200

–

$4,594,000

TOURISM

$4,378,600

$1,177,900

–

$155,700

$118,00

$1,460,200

$7,290,400

SYSTEMS & CONTROL

$3,798,500

$4,127,300

–

$69,100

–

$7,994,900

****PASSTHROUGH

$9,845,700

$28,517,400

$500,000

–

$38,863,100

22%

***OTHER

$14,351,100

$10,150,000

$6,332,300

–

$20,872,800

–

$51,706,200

29%

STRATEGIC INITIATIVES

$9,269,400

$25,861,800

$2,300,200

$24,267,000

$93,000

–

$61,791,400

34%

GOED BUDGET

$49,221,300

$73,220,300

$9,132,500

$24,267,000

$21,190,600

$118,000

$2,427,300

$179,577,000

100%

*Includes one time and nonlapsing/carryforward balances **Restricted fund balances reported separately (see FY2026 Fund Budget) ***Other includes Hotel Impact, Inland Port, Innovation Lab, Point of the Mountain, Utah Sports Commission, World Trade Center, State Fair Park, UFAIR, and TRT ****Pass-Through includes Economic Assistance Grants

FY 2026 Fund Budget

BUDGET ITEM

GENERAL FUND

GENERAL FUND ONE TIME*

GF RESTRICTED

DEDICATED CREDIT

TRANSPORTATION

FEDERAL

TOTAL BUDGET***

PERCENT OF TOTAL

MOTION PICTURE INCENTIVE

–

$1,362,300

$1,420,500

–

$2,782,800

TMPF

–

$3,918,800

$18,290,500

–

$22,209,300

29%

USBCI

–

$26,320,900

–

$910,200

–

$24,172,800

$51,403,900

67%

GOED BUDGET

–

$31,602,000

$19,711,000

$910,200

–

$24,172,800

$76,396,000

100%

*Includes one time and nonlapsing/carryforward balances

FY 2026 Operations Program Expenses

BUDGET ITEM

PERSONNEL

TRAVEL

**CURRENT EXPENSE

DATA PROCESSING DTS

GRANTS/PASS THROUGH

NONLAPSING

*TOTAL EXPENSE

PERCENT OF TOTAL

INCENTIVES & GRANTS

$1,373,800

$61,100

$234,100

$33,100

$50,300

$578,600

$2,331,000

FILM

$757,700

$22,300

$94,100

$59,200

$935,300

$1,902,600

$3,771,200

BUSINESS SERVICES

$1,027,800

$9,600

$1,132,500

$51,700

$1,324,500

$471,600

$4,017,700

OPERATIONS

$1,543,800

$60,300

$1,290,400

$68,300

$145,100

$1,486,100

$4,594,000

SYSTEMS & CONTROL

$2,890,400

$52,000

$834,200

$372,500

$2,100

$3,843,700

$7,994,900

TOURISM

$3,639,000

$259,900

$16,453,400

$177,800

$3,606,000

$5,363,600

$29,499,700

12%

–

$14,163,700

$24,699,400

$38,863,100

15%

$553,700

$16,700

$20,398,000

$22,200

$226,500

$30,186,800

$51,403,900

20%

***OTHER

–

$22,610,800

$29,095,400

$51,706,200

20%

STRATEGIC INITIATIVES

$1,487,400

$24,600

$23,892,400

$41,600

$8,860,400

$27,485,000

$61,791,400

24%

GOED BUDGET

$13,273,600

$506,500

$64,329,100

$826,400

$51,924,700

$125,112,800

$255,973,100

100%

****PASS-THROUGH USBCI

*Total expense includes operations and fund budgets **Current Expense includes 1x Capital Expense ***Other includes Hotel Impact, Inland Port, Innovation Lab, Point of the Mountain, Utah Sports Commission, World Trade Center, State Fair Park, UFAIR and TRT ****Pass-Through includes Economic Assistance Grants

Industrial Assistance Account UTAH CODE TITLE 63N, CHAPTER 3, PART 1 GOED manages the Legislature-funded Industrial Assistance Account (IAA). It has three primary purposes: 1. Provide grants and loans to entities that provide a unique economic opportunity and contribute to the state’s financial well-being. The unique opportunity must be in concert with other state, federal, or local agencies’ economic benefits and act in concert with free-market principles. 2. Allocate funds to support for-profit businesses for the costs incurred to recruit, hire, and train employees in a newly created job. 3. Grant funds to an entity offering technical assistance to a municipality in connection with housing, transportation, and growth planning.

FY 2026 INDUSTRIAL ASSISTANCE ACCOUNT CHANGE IN POSITION FY 2025 Expenditure Summary IAA Allocations Economic Opportunities

Budget $33,739,172

Expended $9,513,891

Encumbered $19,187,323

Avail. Balance $5,037,958

FY 2026 Expenditure Summary IAA Allocations Economic Opportunities

Budget $28,710,649

Expended $6,181,567

Encumbered $9,326,756

Avail. Balance $13,202,326

Fund Change in Position IAA Allocations Economic Opportunities

Budget ($5,028,523)

Expended ($3,332,324)

Encumbered ($9,860,567)

Avail. Balance $8,164,368

IAA expense is shown on a cash basis from July 1 to June 30 each year

REPORT ON IAA ACTIVITY ECONOMIC IMPACT – 63N-3-103-(7)(7) Due to the transition of Executive Leadership, new IAA The high-profile gathering of filmmakers, investors, and grants were paused. executives generated significant hospitality revenue During the FY 2026 time period, only one grant was through lodging, dining, and venue rentals, and created approved by GOED to the 2026 Harbor Film Forum over 186 temporary jobs during the event. By facilitating at Sundance Mountain Resort. This event provided a high-stakes film pitches and networking, the forum direct economic boost to Utah by driving immediate catalyzed future production investments and directly local spending and cementing the state’s position as a supported Utah’s film ecosystem. premier hub for the creative economy, which is a key part of the GOED strategic plan. 44

Economic Assistance Grant Program U.C.A. 63N-3-1002 The Economic Assistance Grant is a $4.5 million program that supports economic opportunities in Utah, with a focus on industry, education, community development, and infrastructure. Projects that align

with Utah’s five targeted industries — Aerospace and Defense, FinTech, Tech (AI, Quantum, Blockchain), Life Sciences and Healthcare, and Energy & Minerals — are given priority. This competitive grant program draws

hundreds of applications every cycle. Every award is designated exclusively for one-time projects. During FY 2026, the program fully allocated its appropriation across 22 selected projects.

Strategic Innovation Grant Pilot Program UTAH CODE 63N, CHAPTER 3, PART 9 The Strategic Innovation Grant pilot program, better known as the Air & Water Grant, awarded grants to Utahbased businesses in FY 2023 and FY 2024 to implement strategic, innovative solutions that address air quality or water conservation. The companies that were awarded project funding worked with third-party organizations to track results and complete final reports assessing outcomes and viability.

reports from the FY 2024 cohort, with the remaining three pending. Projects with submitted reports have either received their final reimbursement or are currently under review for payout. These projects underwent third-party evaluations from the Institute of Land, Water & Air and the Bingham Research Center at Utah State University to ensure they met air quality or water conservation benchmarks, offered strategic and As of Fiscal Year 2026, GOED has received all 11 final innovative solutions, and demonstrated potential for reports from the FY 2023 cohort and nine of the 12 scalability across state industries.

Manufacturing Modernization Grant U.C.A. 63N-3-1102 The Manufacturing Modernization Grant incentivizes Utah businesses to modernize, establish, relocate, retain, or develop manufacturing in the state. Its goal is to increase Utah’s manufacturing capacity, reduce supply chain setbacks, and lessen American dependence on foreign manufacturing. During FY 2023 and FY 2024, $19.8 million in

appropriated funds was allocated across 42 funded projects. By the end of FY 2026, all 42 projects were completed. Final grant reimbursements are pending for four contracts undergoing final review. All remaining grant contracts have received their full disbursements. This initiative has effectively enabled Utah to expand its domestic manufacturing operations and retain industry within the state.

Redeveloping Matching Grant UTAH CODE 63N, CHAPTER 3, PART 12 The Redeveloping Matching Grant awarded funding to local governments to support projects or services, such as water conservancy districts and special services districts, that increase the supply of affordable, highquality living units and conserve or develop water assets. Qualified entities must provide an equal amount 46

of matching funds and comply with the American Rescue Plan Act. Eight entities received a total of $29.7 million across FY 2021 and FY 2022. All awardees are required to submit annual reports, and all projects were completed by 2025. Final reports for two awards are pending.

Innovation in Artificial Intelligence Grant Pilot Program U.C.A 63N-3-1502 The Artificial Intelligence (AI) grant pilot program supports the development of a program, materials, and curriculum focused on: 1. Teaching an AI course to students, emphasizing practical training that prepares students for careers in technology. 2. Funding a business partner to support its implementation. The program bridges academic learning with industry needs, building a workforce ready to advance AI and related fields. Three entities received awards of $400,000, $600,000, and $1,000,000. All awardees were required to submit midyear and annual reports.

progress. Each met the required timelines. The pilot program ends in September 2026. All grantees must submit a final report before the project deadline.

Out of the three grantees, two grantees have already completed the project and submitted the final reports In June 2025, all three grantees submitted written in FY 2026, while one grantee is preparing to submit midyear reports to GOED summarizing their project theirs by the end of September 2026.

Tax Credits ECONOMIC DEVELOPMENT TAX INCREMENT FINANCING

ENTERPRISE ZONE TAX CREDIT

NEW CONVENTION FACILITY DEVELOPMENT INCENTIVE HOTEL IMPACT MITIGATION FUND

56 57

TECHNOLOGY & LIFE SCIENCE ECONOMIC DEVELOPMENT ACT

MOTION PICTURE TAX CREDIT

UTAH RURAL JOBS ACT

Economic Development Tax Increment Financing UTAH CODE TITLE 63N, CHAPTER 2, PART 1 The Economic Development Tax Increment Financing (EDTIF) program helps develop key industry sectors in Utah, provides additional employment opportunities, and improves the state’s economy. Introduced in late FY 2021, the Rural Economic Development Tax Increment Financing (REDTIF) tax credit program is a rural modification of the EDTIF program

that allows projects located in rural companies must create jobs that areas to qualify for more significant pay 110% of the county average incentives. for urban areas. Under REDTIF, The state uses the EDTIF/REDTIF companies must create jobs that program for corporate retention pay 100% of the county wage in and recruitment. The program rural areas. offers a tax rebate to companies of up to 30% in urban areas (EDTIF) and 50% for specific rural areas (REDTIF) of new state taxes paid for up to 20 years. Under EDTIF, these

EDTIF/REDTIF contracts are postperformance, and provide a state tax credit only if the company meets at least 50% of its promised obligations.

OPPORTUNITIES In FY 2026, the GOED board approved 22 companies to participate in the EDTIF/REDTIF program. The program’s participants this fiscal year are collectively projected over the next 20 years to create:

High-paying jobs:

10,486

With the REDTIF tool, the state has seen

Capital investment:

$23,514,494,447

communities. The three approved REDTIF

State tax revenue: In-state wages:

$1,499,269,654 $18,688,701,521

economic opportunities flow to its rural projects in FY 2026 project more than $17.98 billion in capital investment and more than $435 million in new state wages from highpaying jobs.

OUTCOMES Companies participating in the EDTIF program may be required to contractually report the number of employees and state taxes paid. Our office reviews these post-performance reports (called assessments) annually before issuing a tax credit. Assessments generally lag by two calendar years to accommodate corporate filings and tax reporting. Completion of an assessment is contingent on the time and accuracy of the company-provided data. An assessment’s completion date may impact data reported by the program in year-over-year comparisons. During the calendar year 2024 reporting period, the program completed 45 audits. Of these, 40%, or 18 companies, did not qualify for a tax credit. 50

AUDIT STAGE

Among the approved and disqualified incentives, most companies belong to an industry different from GOED’s five targeted industries. After that, the leading industry is information technology, followed by financial services. “Other” refers to projects approved before the change to the program that created the REDTIF and that do not fit into an industry. “Other” projects from that time can occur in any county, urban or rural.

INDUSTRIES ASSESSED

Since the EDTIF program’s inception in 2005, GOED’s compliance team has assessed 159 companies and verified the creation of 67,087 new full-time jobs. For companies that did not have an audit year assessment, we assume there was no increase or decrease in employee count for reporting purposes. This data represents annual incremental increases or decreases.

ANNUAL INCREMENTAL INCREASE IN JOBS

For audits completed in CY 2024, new high-paid employees who received a paycheck above 110% of the county average wage were identified across all areas of the economy.

110% WAGE NEW FULL-TIME EMPLOYEES SUM OF 110% FT JOB COUNT

AVERAGE SALARY OF NEW 110% FT JOBS

AEROSPACE

11,559

$101,976.75

FINANCIAL SERVICES

2,483

$152,836.44

INFORMATION TECHNOLOGY

3,250

$201,328.60

LIFE SCIENCES

1,779

$146,919.25

OTHER

879

$100,326.17

OUTDOOR RECREATION

$140,130.00

20,064

$139.477.31

INDUSTRY

TOTAL

REVENUE

NEW STATE REVENUE CY 2024

Compliance receives many requests to calculate new state revenue for companies with an EDTIF award. GOED calculates new state revenue using paid and remitted employee withholdings, sales and use tax, and corporate tax that has increased since board approval. These calculations are verified using information from the Utah State Tax Commission.

Over the program’s history, EDTIF-assessed companies have created $1,365,576,668.18 in new state revenue and $1,023,073,498.15 in new state revenue after tax credits.

A percentage of these new state revenues can be credited to the EDTIF program if the company meets its contractually defined number of new, high-paying jobs. The chart below shows the dollar amount by type of cumulative new state revenue and new state revenue for CY 2024. CUMULATIVE NEW STATE REVENUE CY 2004-2024

EMPLOYEE WITHHOLDING REVENUE

$919,805,034.61

SALES AND USE TAX REVENUE

$185,194,545.01

CORPORATE INCOME TAX REVENUE

$292,647,640.95

NEW STATE REVENUE CY 2024

EMPLOYEE WITHHOLDING REVENUE

$102,818,074.54

SALES AND USE TAX REVENUE

$11,900,427.92

CORPORATE INCOME TAX REVENUE

$4,804,939.20

The difference between these two amounts represents tax credits awarded based on the percentage of new state revenue incentivized by the EDTIF program, which is $342,503,170.03.

YEAR

EW REVENUE ELIGIBLE FOR REBATE

APPROVED DISBURSEMENT

NEW STATE REVENUE AFTER REBATE

2004

$96,975.00

$52,367.00

$44,608.00

2005

$438,418.00

$236,746.00

$201,672.00

2006

$4,590,428.00

$1,952,651.00

$2,637,777.00

2007

$15,435,264.50

$5,537,467.00

$9,897,797.50

2008

$22,623,060.50

$7,368,698.00

$15,254,362.50

2009

$21,481,293.50

$6,725,684.00

$14,755,609.50

2010

$36,758,489.25

$10,846,194.00

$25,912,295.25

2011

$39,070,846.78

$11,767,769.00

$27,303.077.78

2012

$49,616,522.05

$15,207,871.00

$34,408,651.05

2013

$52,877,075.17

$15,670,607.18

$37,206,467.99

2014

$57,697,016.04

$16,673,597.53

$41,023,418.51

2015

$69,425,367.60

$19,504,481.34

$49,920,886.26

2016

$70,564,539.56

$18,084,515.75

$52,480,023.81

2017

$84,743,334.15

$20,838,720.77

$63,904,613.38

2018

$102,070,271.01

$24,169,058.82

$77,901,212.19

2019

$141,881,356.00

$34,998,706.34

$106,882,649.66

2020

$121,253,076.75

$27,287,917.95

$93,965,158.80

2021

$133,436,447.32

$30,167,875.44

$103,268,571.88

2022

$122,620,347.00

$25,214,135.02

$97,406,211.98

2023

$102,921,639.00

$25,354,026.88

$77,567,612.12

2024

$115,974,901.00

$24,844,080.01

$91,130,820.99

Total

$1,365,576,668.18 $342,503,170.03 $1,023,073,498.15

Enterprise Zone Tax Credit UTAH CODE TITLE 63N, CHAPTER 2, PART 2 Enterprise Zones are economic areas designated by local governments and approved by the GOED. Eligible businesses within Enterprise Zones can apply for state income tax credits to invest in depreciable assets, including machinery and equipment, to help create new, above-average wage jobs and to rehabilitate older facilities.

INITIATIVES The GOED compliance team reviews and approves business applicant claims for Enterprise Zone Tax Credit certificates. The team also cooperates with the Automated Geographic Reference Center to update and refine all Enterprise Zone designation maps throughout the year.

CHALLENGES & ACHIEVEMENTS No new Enterprise Zone designation applications were accepted after Dec. 31, 2020, ultimately leading to the program’s sunset. All designations have expired as of Dec. 31, 2024. The program now only accepts applications to amend tax filings from the previous three years.

OUTCOMES For tax year 2024, 471 Enterprise Zone Tax Credits were issued, compared to 820 for tax year 2023. Applications are made available every January for the previous three calendar years. GOED provides eligible entities with a tax credit for the calendar year in which the depreciable asset(s) were placed into service, as reported in the table below.

Tax Year

Sum of Disbursement Amount

Sum of Total Property Investment

Sum of New FTE ($750 Credit)

EZ Count

2016

$1,522,582.00

$22,362,764.30

120

2017

$9,928,509.27

$163,684,941.08

132

838

2018

$11,969,949.00

$164,902,819.91

126

1132

2019

$11,763,724.00

$171,911,079.45

1117

2020

$6,513,696.50

$150,754,584.00

917

2021

$7,440,764.00

$155,339,928.36

959

2022

$8,421,935.00

$185,550,626.63

913

2023

$7,831,208.00

$178,630,241.33

820

2024

$4,801,388.00

$101,589,790.14

471

Total

$70,193,755.77

$1,294,726,775.20

525

7287

New Convention Facility Development Incentive U.C.A. 63N-2-510 The New Convention Facility Development Incentive encourages the development of co-located hotels and convention spaces in Utah. It provides a postperformance tax rebate of up to $75 million for up to 20 years. In October 2018, GOED’s Business Development Board approved the developer, Salt Lake City CH, to receive a post-performance tax credit to build a new Salt Palace Convention Center hotel in Salt Lake City. The hotel broke ground in spring 2020 and, when completed in fall 2022, provided approximately 700 rooms and added 62,000 square feet of meeting space to attract larger conferences, meetings, and conventions.

With the assistance of a third-party auditor, GOED and the Utah State Tax Commission are validating and transferring the rates of state, county, and local sales taxes paid on the materials used in the hotel’s construction to the Convention Incentive Fund. After the hotel began receiving the incentive, GOED and the Utah State Tax Commission successfully validated and processed $19.13 million in sales tax revenue. The hotel receives an incentive equal to 95% of sales tax claimed, validated, and paid, with 5% going to the Stay Another Day and Bounce Back fund. The amount collected for the Stay Another Day and Bounce Back fund is $686,480.29.

Hotel Impact Mitigation Fund U.C.A. 63N-2-512 In fall 2022, GOED and the Salt Lake Convention Center accepted applications through a Request for Information process to determine how best to administer the Hotel Impact Mitigation Fund. Affected hotels were provided an application starting in August 2023 to enter into a contract and submit a claim for up to $2.1 million annually for the first four years following the Salt Palace Convention Center hotel’s opening. Per statute, any additional funds not claimed in this annual process, plus 5% of sales tax revenue generated from the hotel, will go toward the Stay Another Day and Bounce Back fund to help pay for the state’s tourism advertising, marketing, and branding. Salt Lake County is responsible for replenishing this account to a $2.1 million balance by providing supplemental funding in years two through four. In FY 2025, legislative changes created a program focused on qualified hotels’ losses specific to city-wide events. In FY 2026, seven qualified hotels applied for funds, with five qualifying for the total $2.1 million available.

Technology & Life Science Economic Development Act U.C.A. 63N-2-801 The Technology and Life Science Economic Development Act, commonly known as the life sciences tax credit, encourages investment and job creation in Utah’s life sciences industry. It offers life sciences companies a postperformance tax credit up to 35% of equity for as long as three years. No new applicants or tax credits have been issued in FY 2026.

Motion Picture Tax Credit UTAH CODE TITLE 63N, CHAPTER 8 The Motion Picture Tax Credit supports a strong film industry by incentivizing productions to film in Utah, hire local crew, and support businesses across the state. The program allocates $6.79 million in annual tax credits, plus an additional $12 million dedicated to film production in rural counties. (See pg. 30 for more information.)

Utah Rural Jobs Act UTAH CODE TITLE 63N, CHAPTER 4, PART 3 The Utah Rural Jobs Act provides flexible and affordable capital, enabling eligible small businesses in rural Utah to expand and create high-wage jobs. Similar to the New Markets Tax Credit program, tax credits are provided to investors in the program. The program has three types of participants: 1. Investors who provide capital investment to a Rural Investment Company (RIC) 2. RICs that raise funds from investors to be invested in eligible small businesses 3. Eligible small businesses that may receive up to $5 million in capital through equity or debt loans for business development and expansion In CY 2017, three RICs applied for and received investment authority over approximately $42 million, creating the first round of Rural Jobs Act (RJA) support. During the 2022 General Session, the Legislature passed an update to allow more RICs to enter the program for an additional investment authority of $42

million, creating the second round of RJA support. Four applicants were selected in CY 2022 as part of the second round of RJA support. Over the program’s life, the RJA will provide $84 million in potential investment loans to Utah businesses in exchange for $48.72 million in tax credits.

INITIATIVES Businesses that fall within the following industry types are encouraged to connect with RICs as they consider making investments in their growth: •

Advanced manufacturing

•

Financial services

•

Aerospace and defense

•

Life sciences

•

Agribusiness

•

Outdoor products

•

Energy and natural resources

•

Software and information technology

OUTCOMES The original three RICs reached the investment threshold required to qualify for tax credits by the end of CY 2020 by providing $42 million to Utah businesses. Phase two tax credits will not commence until the fourth anniversary of the closing date. Phase I has officially been completed, and all RICs have exited the program. GOED receives reports from an independent third party that include two types of job creation metrics: 1. New Annual Jobs — A statutory formula calculates aggregate new annual jobs reported in all prior annual reports to determine whether recapture would be needed upon the RIC’s exit from the program. Phase 2

Phase 1 2018 Annual Report

29.7

2023 Annual Report

2019 Annual Report

111.5

2024 Annual Report

27.4

2020 Annual Report

131.8

2025 Annual Report

66.87

2021 Annual Report

114.5

Total

97.27

2022 Annual Report

138.2

2023 Annual Report

129.1

Total

654.8

2. New High-Paying Jobs — The prorated net number of new high-paying jobs from the time of investment. Phase 2

Phase 1 Total

151.5

Total

45.28

No tax credits were issued this fiscal year. 61

Commissions, Boards & Committees ECONOMIC DEVELOPMENT BOARD

UTAH BOARD OF TOURISM DEVELOPMENT

GENERAL REGULATORY SANDBOX PROGRAM ADVISORY COMMITTEE

RURAL OPPORTUNITY ADVISORY COMMITTEE

Economic Development Board U.C.A. 63N-1A-401 GOED’s Board is a nine-member board appointed by Gov. Cox and confirmed by the Senate. Board members serve four-year terms and represent key segments of Utah’s economy. The board consists of: • • •

Five leaders from targeted industries One representative of rural communities One individual with direct entrepreneurial experience

• •

One representative from higher education One at-large member

This board is crucial in fostering economic growth and opportunity for all Utah residents. Their responsibilities include advising GOED team members on strategies for attracting, retaining, and expanding businesses, industries, and commerce throughout the state.

FY 2026 Board Members Carine Clark, Board Chair Chief Executive Officer

Vic Hockett Associate Commissioner

Jeremy Andrus Chief Executive Officer

Jesse Turley Managing Director

Clint Morris Senior VP of Marketing

Judd Cook AVP of Equipment

Geri Gamber Executive Director

Brigham Tomco Partner & CEO

Nate Walkingshaw Founder & Chief Executive Officer

First Colony Mortgage

Private Banking

Southeastern Utah Assocation of Local Governments

Talent Ready Utah

Lifetime Products

Resilience Health

Traeger Grills

Clyde Companies, Inc.

Torus

Utah Board of Tourism Development UTAH CODE 63N, CHAPTER 7, PART 2 The Utah Board of Tourism Development has 15 members, appointed by Gov. Cox and confirmed by the Senate. Members represent all geographic areas and ownership or executive management of tourism-related industries. The board members advise the Utah Office of Tourism (UOT) on planning, policies, and strategies, as well as trends and opportunities for tourism development that may exist in various areas of the state. The board also reviews and approves film incentives.

FY 2026 Board Members Nathan Rafferty, Board Chair Represents: Ski Industry Film Incentive Committee nato@skiutah.com Term Expires June 30, 2029

Jessica Merrill Represents: Box Elder, Cache, Davis, Rich, and Weber counties Marketing Committee jessicam@discoverdavis.com Term Expires June 30, 2029 Lesha Coltharp, Board Vice Chair Jason Murray Represents: Carbon, Daggett, Duchesne, Emery, Represents: Ownership of business, finance, Grand, and Uintah counties economic policy, or the academic media marketing Cooperative Marketing Committee, Chair community Film Incentive Committee Marketing Committee lcoltharp@uintah.utah.gov jason@southwestadventuretours.com Term Expires June 30, 2029 Term Expires June 30, 2027 Kaitlin Eskelson Represents: Morgan, Salt Lake, and Tooele counties Film Incentive Committee keskelson@visitsaltlake.com Term Expires June 30, 2027

Graydon Pearson Represents: Lodging industry Film Incentive Committee graydon.pearson@genhg.com Term Expires June 30, 2027

Joan Hammer Represents: Utah Tourism Industry Association Cooperative Marketing Committee jhammer@boxeldercounty.com Term Expires June 30, 2027

Harold Simpson Represents: Garfield, Kane, Piute, San Juan, and Wayne counties mvsttours2005@yahoo.com Term Expires June 30, 2029

Victor Iverson Represents: Utah Association of Counties Film Incentive Committee victor.iverson@washco.utah.gov Term Expires June 30, 2029

Melva Sine Represents: Restaurant Industry msine1952@hotmail.com Term Expires June 30, 2027

Jordan Smith Represents: Outdoor Recreation Cooperative Marketing Committee jordan.smith@usu.edu Term expires: June 30, 2027 Kevin Smith Represents: Arts and Culture Cooperative Marketing Committee KSmith@tuacahn.org Term expires June 30, 2027 CJ Wade Represents: Motor Vehicle Rental Industry cjwade@stgshuttle.com Term expires June 30, 2027

Jennifer Wesselhoff Represents: Juab, Summit, Utah, and Wasatch counties Marketing Committee Chair Film Commission Incentive Committee jennifer@visitparkcity.com Term expires June 30, 2029 Shayne Wittwer Represents: Beaver, Iron, Millard, Sanpete, Sevier, and Washington counties Marketing Committee shaynew@wittwerhospitality.com Term expires June 30, 2027

General Regulatory Sandbox Program Advisory Committee U.C.A. 63N‑16‑104 The General Regulatory Sandbox Program Advisory Committee includes up to 12 members appointed by the Office of Regulatory Relief director. This committee advises the office on the merits of admitting sandbox applicants.

FY 2026 Board Members Rep. A. Cory Maloy Bill Sponsor Sen. Ann Millner Bill Floor Sponsor Blake Young Deputy Director

Utah Department of Commerce

David S. Hunt Corporate Counsel

XCR Diagnostics, Inc., KwikClick, Inc., LFTD Partners, Inc.

John R. Lund Chair, Past Chair

Legal Sevices Innovation Committee

Amanda Slater Assistant Deputy Director

Department of Health & Human Services

Reed Stringham Deputy Commissioner

Utah Insurance Department

Noella Sudbury Founder & CEO

Rasa Public Benefit Corporation

Troy Keller Partner

Dorsey & Whitney LLP

Rural Opportunity Advisory Committee UTAH CODE 63N, CHAPTER 7, PART 2 The advisory committee is composed of seven members, appointed by the GOED commissioner. At least five of these members must reside in a rural county. Each member is appointed to serve a four-year term. The advisory committee advises and makes recommendations to the office regarding the awarding of grants and loans under the Rural Opportunity Program.

FY 2026 Board Members Brigham Tomco, Committee Chair Wasatch County

Kori Ann Edwards Weber County (Hooper)

Jared Nielson Utah County (rural, at-large)

Meghan McFall San Juan County

Monica Holdaway Cache County

Sylvia Wilkins, Committee Vice Chair Uintah County

Paul Hill Washington County (Hurricane)

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