Saturday, July 18, 2026

GOEO Ignored State Requirements to Approve a $2 Million Grant

If you pay taxes in Utah, here’s a question worth asking: should the state approve a $2 million grant for an unqualified recipient based on an incomplete application?

The following is based on information available to the general public.

On January 8, 2026, the Board of the “Governor's Office of Economic Opportunity” (“GOEO”)—it’s name reverted to the Governor’s Office of Economic Development (GOED) effective May 6, 2026—unanimously approved a $2 million Industrial Assistance Account (IAA) grant for Nuovo Film Festival, Inc. (”Nuovo”), a Utah nonprofit registered barely two months after Sundance announced its move to Colorado.

The Industrial Assistance Account is a restricted state account that funds economic-development projects, and the law sets minimum requirements an applicant must meet before any money is awarded.

The public agenda for that Board meeting said almost nothing about it, describing the item only as an “Industrial Assistance Account (IAA) Grant” the board would “vote to approve.” On July 8, 2026, after a state records order, GOED released some of the emails and documents behind that decision, and they tell a more revealing story.

GOED’s own staff were not sure the proposal even counted as an application. Days before the vote, the office’s Director of Industry Partnerships forwarded the draft and asked colleagues whether it could be used “as their application.” A staff member listed items missing from it, including a signed W-9 and confirmation of whether Nuovo had other funding. On January 7, 2026, a staffer noted the formal application had not been entered into the system “because some of the items are still being discussed,” adding that the item could move forward “with or without their formal application on file.” As late as February 2, 2026,—nearly a month after the vote—a contract manager reported seeing nothing in the system requesting a contract.

The projected benefits (up to $12 million in impact, 50–75 jobs, more than $200 million a year by year five) were described as estimates “based on comparable film ecosystem investments in other states,” not documented figures specific to Nuovo. And the released budget shows the single largest line—$750,000—going to a “Robert Redford Memorial” rather than to matched, in-state economic spending.

Utah law generally requires IAA applicants to spend at least a dollar in-state for every grant dollar. The records do not show that match was demonstrated. The only clear legal path for the award would be a discretionary exemption for nonprofits that provide “significant economic stimulus”—but no documented finding invoking that exemption appears in the records. Even if the exemption was declared, it would not waive the other minimum requirements, which apply regardless of whether the applicant is a business or a nonprofit.

This is $2 million in public money. The records raise a fair, factual question about whether GOED followed its own qualification process before approving it. A Petition for Judicial Review is now pending in the Third Judicial District Court, Salt Lake County (Case No. 260905225), challenging the atypically worded, and confusing, June 8, 2026, order and the conduct of GOED staff and leadership, noting possible violations of the Open and Public Meetings Act, the Board Conflicts Act, and the Public Officers’ and Employees’ Ethics Act.

Additional records have yet to be released and others remain redacted, so the picture is incomplete.

It should also be noted that this post is informational, not to be construed as legal advice or an accusation. Still, based on the public records available today, the paperwork the law calls for was not finished when the money was approved.

Here’s a link to a deeper analysis on whether or not this grant proposal should have been considered for a vote in the first place.

Friday, July 10, 2026

Renewed Request...for GOED audit

From: Joe Puente <joe@joepuente.com>
Subject: UPDATE: Re: Request... [GOED] Performance Audit / Fwd: Courtesy Copy...
Date: July 10, 2026 at 1:13:29 PM MDT
To: [Rep. Romero]
Cc: [Sen. Plumb],[Counsel for the Petitioner]

Dear Representative Romero and Senator Plumb,

In my previous correspondence, on June 22, 2026, I stated that:

“...as the Petitioner, I am not presently involved in any litigation on this matter… I would also ask that the Legislative Auditor General’s office be informed that this request arises in a context where administrative and oversight channels are already active and not in parallel with any court case at this time.”

As of July 7, 2026, all oversight and administrative options at my disposal have been exhausted. On July 8, 2026, a Petition for Judicial Review of the Government Records Office Director’s Decision and Order regarding Appeal Req. #2026-058 was filed on my behalf by legal counsel with the Third Judicial District - Salt Lake County District Court, docketed as case #260905225 and assigned to Judge Laura Scott.

The focus of the petition remains on the release of the records sought in my original February 9, 2026, GRAMA Request. However, throughout my interactions with GOED, in addition to their complete disregard for their clear instructions in S.B. 2, §1(1)(a), it.22, other statutory violations by GOED and its staff have come to light and are noted in our petition under our Statement of Facts. These include violations of Utah Code § 52-4 (the Open and Public Meetings Act), Utah Code § 63G-24-301 (the Board Vacancies and Conflicts Act, Board Member Disclosure Requirements), and Utah Code § 67-16 (the Public Officers’ and Employees’ Ethics Act).

With that, I wish to renew my request for the sponsorship of a performance audit of the Governor's Office of Economic Development (GOED) through the Legislative Audit Subcommittee.

Respectfully,

Joseph L. Puente

Wednesday, July 8, 2026

Comparative Analysis: Relief Sought vs. Order “Compliance” (FACSIMILE)

 

Comparative Analysis of the Relief Sought
vs. GOED’s Order “Compliance”
DECISION and ORDER: Appeal No. 2026-058


Current Revision: 2026-07-08

(Download PDF version)

1.0 Executive Summary

This report compares the relief sought in the March 16, 2026, Notice of Appeal (Docketed Appeal Req. #2026-058) with what the Governor’s Office of Economic Development (GOED) has documented and submitted as post-order compliance.

The comparison shows that GOED appears to have complied with the core production requirement recognized in the June 8, 2026 Decision and Order by producing records on July 6, 2026 and filing a Certificate of Compliance on July 7, 2026, but the available compliance filing does not establish that every item of relief requested in Section VI of the Notice of Appeal was granted or implemented.

The June 8 order required release of the reviewed records as public records, subject only to redaction of attorney-client privileged portions identified during in camera review. The later clarification reflected in the Government Records Office correspondence indicates that relief not expressly granted in the written order should be treated as denied at the administrative level, which is significant when comparing the broader relief sought in the Notice of Appeal against the narrower relief embodied in the order and GOED’s subsequent compliance filing.

2.0 Background

The underlying GRAMA request sought three categories of records: the complete Industrial Assistance Account grant application and attachments submitted under the name Nuovo Film Festival, Inc.; written documentation related to the IAA grant and applicant; and any award letters, scoring sheets, or executed contracts for fiscal years 2025 and 2026. GOED denied the request, maintained on appeal that no formal application had been submitted, and asserted that related records either did not exist or were protected. The GRO Director rejected those classifications after in camera review and concluded that the records were essentially an application or proposal that should be released as public records.

At the May 28 hearing, the GRO Director stated that he was granting the appeal, directed that the records reviewed in camera be produced, and allowed only attorney-client redactions marked by GOED’s counsel. The written Decision and Order entered on June 8, 2026 then stated that the appeal was “GRANTED in part, and DENIED in part,” while explaining that the reviewed records should be released and that only specific attorney-client privileged portions should be redacted prior to disclosure.

The GRO Director’s statement “I’m granting this appeal” indicates that GOED must comply with the full relief sought in §VI of the appeal, particularly since, unlike prior rulings explicitly “granted in part and denied in part,” the GRO Director provided no indication that any portion was denied; however, the additional directive that only “the records that I’ve reviewed in camera are produced” raises concern because neither the Petitioner nor the public knows what records were submitted for that review, and GOED has demonstrated a pattern of selective disclosure, vague production, and even denial of records’ existence despite contrary evidence. GOED has not confirmed that its in-camera submission was comprehensive, and its counsel stated only that “protected/confidential records” would be provided separately, leaving open the possibility that responsive records were withheld from both the GRO and the Petitioner. Given this history, the Petitioner expressed concerns of a substantial risk that GOED may interpret the ruling narrowly and produce only those records it chose to submit, rather than complying with the full scope of §VI. The Petitioner’s concerns were validated by GOED’s actions on July 7, 2026.

3.0 Analysis

3.1 Issue Presented

The question is whether GOED’s July 2026 compliance satisfied the relief sought in the Notice of Appeal, or only the narrower production obligation specifically embodied in the Director’s written order.

3.1.1 Findings

The hearing record shows that the relief sought in Section VI was broader than simple release of the in camera records. In the hearing, the appeal was described as seeking reversal of GOED’s denial together with the other stipulations in Section 6, and the requested scope was framed to begin no later than March 27, 2025 and include all records and communications related to the post-Sundance replacement effort, its funding, the Governor’s involvement, relevant communications with third parties, and all information available to the Board when it approved the January 8, 2026 expenditure.

The written order did not expressly grant that broader search-and-production formulation. Instead, it focused on the records actually reviewed in camera, found that those records were responsive, ordered them released as public records, and allowed attorney-client redactions for specific portions marked during in camera review. The later GRO clarification states that what is explicitly granted in the order is the measure of compliance and that anything sought in the requested relief but not expressly granted should be considered denied at the administrative level.

GOED’s Certificate of Compliance is similarly narrow on its face. It states only that, in compliance with the Decision and Order, GOED’s counsel provided records to petitioner’s counsel on July 6, 2026 and that those records were in addition to records already publicly available on the Utah Public Notice website for the January 8, 2026 Board meeting. The certificate does not state that GOED conducted any broader supplemental search beginning March 27, 2025, produced all communications concerning the wider post-Sundance effort, identified all withheld records by category, or supplied a detailed written explanation for each redaction.

The produced material reflected in the compliance filing appears to confirm compliance with the core premise of the GRO Director’s decision that there were responsive records functioning as an application or proposal. The materials include internal communications asking whether a proposal could be used as the application, staff comments about what was needed “to have a complete application before Thursday,” a proposal seeking $2,000,000 in immediate funding, presentation materials, and communications about the January 8 board meeting and motion language.

Even so, the currently available compliance record does not by itself establish full satisfaction of the broader relief sought in the appeal. The hearing transcript reflects an effort to secure a wider time frame and broader categories of communications than the three categories stated in the original request, while the GRO Director repeatedly signaled that he was looking at the terms of the request itself and at the records actually submitted for in camera review. The written order followed that narrower path, and the compliance certificate tracks the written order rather than the broadest version of the requested relief advanced at hearing.

3.1.2 Implications

As a comparison between requested relief and documented compliance, the strongest conclusion is that GOED appears to have complied with the specific production duty imposed by the June 8 order, but not necessarily with every item of broader relief sought in Section VI of the Notice of Appeal. That distinction matters because the appeal materials and hearing presentation sought not only disclosure of the proposal/application records, but also a broader understanding of related communications, funding-source records, and records bearing on the full timeline of the Nuovo matter.

It also matters that the written order’s “granted in part, denied in part” language was never fully itemized by requested-relief category. The later GRO clarification indicates that silence in the order should be treated as denial of unmentioned relief, which means the administrative outcome is best understood as narrower than the full menu of requested remedies in the Notice of Appeal. Under that reading, GOED’s compliance may have been adequate as to the order while still falling short of the full relief originally sought.

4.0 Findings

Relief sought in Notice of Appeal

What the order expressly granted or denied

What GOED’s compliance shows

Release of records responsive to the request, subject only to lawful redactions

Granted as to the records reviewed in camera; denied only as to attorney-client privileged portions marked for redaction.

GOED certified that records were produced on July 6, 2026.

Treatment of the Nuovo proposal as an application or functionally equivalent application material

Effectively granted; the Director found the records were essentially an application or proposal and should be released.

Produced records include proposal materials and internal emails discussing use of the proposal as an application.

Broader search beginning no later than March 27, 2025 and including all post-Sundance replacement communications and related third-party communications

Not expressly granted in the written order; later clarification indicates ungranted relief should be treated as denied.

Certificate of Compliance does not state that such a broader search was conducted.

Detailed written explanation justifying each redaction

The order authorizes redaction of attorney-client privileged portions identified in camera, but the compliance certificate does not describe any redaction log or detailed written justification.

Not established by the certificate itself.

Production of funding-source, legal-review, or fiscal-review records to the extent sought through the broader framing of the appeal

Not expressly granted beyond the responsive records actually reviewed in camera.

The current compliance filing does not demonstrate separate production of those categories as distinct relief items.

Preservation of the right to seek costs and attorney fees in judicial review

Not something the Director expressly granted; later GRO correspondence states that attorney fees are for the court, not the Director.

Not part of GOED compliance; remains outside the scope of the administrative compliance certificate.


5.0 Next Steps

For reporting purposes, the cleanest characterization is that GOED documented compliance with the order’s record-production command, but the available compliance filing does not prove that GOED satisfied every broader component of relief sought in the Notice of Appeal. Any statement that GOED achieved full compliance with the entire appeal should therefore be qualified, because the controlling administrative order appears narrower than the full relief requested, and the GRO’s own clarification instructs that ungranted requested relief should be treated as denied.

A careful final formulation would distinguish between compliance with the June 8 order and satisfaction of the full requested relief. The first appears supported by the Certificate of Compliance; the second does not appear fully established on the face of the referenced documents.

Prepared by:

Joseph L. Puente

Sole Proprietor

Puente Media