Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 78 (2015GS)

Sponsor

Sen. Stephenson, H.

Final action

Governor Signed 3/31/2015

Outcome

Became law — signed by Gov. Gary R. Herbert

Summary

What it does

• This bill:
• removes the time limit on the requirement that a new district and remaining district continue to impose property tax levies that were imposed by the divided school district in the taxable year prior to the calendar year in which a new district begins to provide educational services.

Every vote on this bill

Bill text

SCHOOL DISTRICT PROPERTY TAX AMENDMENTS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Howard A. Stephenson
House Sponsor: 
David E. Lifferth
LONG TITLE
General Description:
This bill modifies requirements for the imposition of property taxes in a new district
and remaining school district after a school district split.
Highlighted Provisions:
This bill:
▸ removes the time limit on the requirement that a new district and remaining district
continue to impose property tax levies that were imposed by the divided school
district in the taxable year prior to the calendar year in which a new district begins
to provide educational services.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
53A-2-118.4
, as last amended by Laws of Utah 2012, Chapter 116
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
53A-2-118.4
 is amended to read:
53A-2-118.4.
Property tax levies in new district and remaining district --
Distribution of property tax revenue.
(1) As used in this section:
(a) "Divided school district" or "existing district" means a school district from which a
new district is created.
(b) "New district" means a school district created under Section 
53A-2-118.1
 after May
10, 2011.
(c) "Property tax levy" means a property tax levy that a school district is authorized to
impose, except:
(i) the minimum basic rate imposed under Section 
53A-17a-135
;
(ii) a debt service levy imposed under Section 
11-14-310
; or
(iii) a judgment levy imposed under Section 
59-2-1330
.
(d) "Qualifying taxable year" means the calendar year in which a new district begins to
provide educational services.
(e) "Remaining district" means an existing district after the creation of a new district.
(2) A new district and remaining district shall[
, for a period of five consecutive years
beginning in the qualifying taxable year,
] continue to impose property tax levies that were
imposed by the divided school district in the taxable year prior to the qualifying taxable year.
(3) Except as provided in Subsection (6), a property tax levy that a new district and
remaining district are required to impose under Subsection (2) shall be set at a rate that:
(a) is uniform in the new district and remaining district; and
(b) generates the same amount of revenue that was generated by the property tax levy
within the divided school district in the taxable year prior to the qualifying taxable year.
(4) (a) Except as provided in Subsection (4)(b), the county treasurer of the county in
which a property tax levy is imposed under Subsection (2) shall distribute revenues generated
by the property tax levy to the new district and remaining district in proportion to the
percentage of the divided school district's enrollment on the October 1 prior to the new district
commencing educational services that were enrolled in schools currently located in the new
district or remaining district.
(b) The county treasurer of a county of the first class shall distribute revenues
generated by a capital local levy of .0006 that a school district in a county of the first class is
required to impose under Section 
53A-16-113
 in accordance with the distribution method
specified in Section 
53A-16-114
.
(5) On or before March 31, a county treasurer shall distribute revenues generated by a
property tax levy imposed under Subsection (2) in the prior calendar year to a new district and
remaining district as provided in Subsection (4).
(6) (a) Subject to the notice and public hearing requirements of Section 
59-2-919
, a
new district or remaining district may set a property tax rate higher than the rate required by
Subsection (3), up to:
(i) the maximum rate, if any, allowed by law; or
(ii) the maximum rate authorized by voters for a voted local levy under Section
53A-17a-133
.
(b) The revenues generated by the portion of a property tax rate in excess of the rate
required by Subsection (3) shall be retained by the district that imposes the higher rate.