Bullfrog Spas to Expand in Utah

Pete CodellaNews, Tax Credits

The Governor’s Office of Economic Development (GOED) today announced Bullfrog Spas will expand their headquarters in Utah adding up to 150 jobs, $2.2 million in state revenue and an estimated $20 million in capital investment.

“Bullfrog Spas is a locally grown company that has quickly become one of the largest manufacturers for hot tubs globally and has a presence in 22 countries,” said Val Hale, executive director of GOED. “They are committed to the community and impact Utah’s manufacturing industry.”

Founded in 1996, Bullfrog Spas is based in Bluffdale. They design, manufacture and market hot tubs and outdoor spas. They focus on advanced product engineering and offer their various spa models and other products through dealers in the United States, Canada, Australia, New Zealand, Asia, Brazil and Europe. Bullfrog Spas’ products are consistently rated as some of the most innovative and high-quality in the hot tub market.

“As we expand our global distribution, we’re proud to continue to manufacture 100 percent of our products in Utah.  We believe in the sustainability of the Utah manufacturing environment and we’re grateful for programs like the Governor’s Office of Economic Development that help organizations like ours to grow even deeper roots in a community that we love and are pleased to call home.” says Bullfrog Spas CEO Jerry Pasley.

Bullfrog Spas will create up to 150 jobs throughout the next five years. The total wages in aggregate are required to exceed 110 percent of the average county wage. Projected new state wages over the life of the agreement may be up to $35,790,789, which includes wages, salaries, bonuses and other taxable compensation. Projected new state revenues, as a result of corporate payroll and sales tax, are estimated to be $2,230,885 over five years.

“More hot tubs in Utah? Of course we’re thrilled Bullfrog Spas is expanding here!” said Theresa Foxley, president and CEO of the Economic Development Corporation of Utah. “On a serious note—Bullfrog is an impressive innovator in its product category, and its commitment to keeping jobs in the U.S. is commendable. We’re glad they’re continuing to call Utah home.”

Bullfrog Spas may earn up to 15 percent of the new state taxes they will pay over the five-year life of the agreement in the form of a post-performance Economic Development Increment Finance (EDTIF) tax credit. As part of the contract with Bullfrog Spas, the GOED Board of Directors has approved a post-performance tax credit not to exceed $334,633. Each year that Bullfrog Spas meet the criteria in its contract with the state, it will earn a portion of the total tax credit.