Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 443 Third Substitute (2022GS)

Sponsor

Rep. Schultz, M.

Final action

Governor Signed 3/21/2022

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• modifies definitions applicable to code provisions governing the Utah Inland Port Authority, including modifying and expanding the definition of publicly owned infrastructure and improvements to include certain privately owned facilities;
• modifies provisions relating to the Authority policies and objectives;
• eliminates language making an intermodal facility owned by the Authority subject to a privilege tax;
• modifies provisions relating to the Authority board;
• removes a primary municipality's property tax revenue from property tax differential, upon certain conditions;
• requires the primary municipality, the primary municipality's community development and renewal agency, and the Authority to enter into an agreement relating to the distribution of certain property tax revenue for specified purposes;
• modifies a provision relating to the Authority executive director;
• modifies allowable uses of property tax differential;
• authorizes the Authority to use property tax differential for business recruitment incentives and establishes provisions governing business recruitment incentives;
• modifies provisions relating to the Authority budget;
• authorizes the Authority to use an automatic license plate reader system under certain circumstances; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

UTAH INLAND PORT AUTHORITY AMENDMENTS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Mike Schultz
Senate Sponsor: 
Jerry W. Stevenson
LONG TITLE
General Description:
This bill modifies provisions relating to the Utah Inland Port Authority. 
Highlighted Provisions:
This bill:
▸ modifies definitions applicable to code provisions governing the Utah Inland Port
Authority, including modifying and expanding the definition of publicly owned
infrastructure and improvements to include certain privately owned facilities;
▸ modifies provisions relating to the Authority policies and objectives;
▸ eliminates language making an intermodal facility owned by the Authority subject
to a privilege tax;
▸ modifies provisions relating to the Authority board;
▸ removes a primary municipality's property tax revenue from property tax
differential, upon certain conditions;
▸ requires the primary municipality, the primary municipality's community
development and renewal agency, and the Authority to enter into an agreement
relating to the distribution of certain property tax revenue for specified purposes;
▸ modifies a provision relating to the Authority executive director;
▸ modifies allowable uses of property tax differential;
▸ authorizes the Authority to use property tax differential for business recruitment
incentives and establishes provisions governing business recruitment incentives;
▸ modifies provisions relating to the Authority budget;
▸ authorizes the Authority to use an automatic license plate reader system under
certain circumstances; and
▸ makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
Utah Code Sections Affected:
AMENDS:
11-58-102
, as last amended by Laws of Utah 2021, Chapter 415
11-58-106
, as enacted by Laws of Utah 2021, Chapter 415
11-58-202
, as last amended by Laws of Utah 2020, Chapters 126 and 263
11-58-203
, as last amended by Laws of Utah 2020, Chapter 126
11-58-205
, as last amended by Laws of Utah 2020, Chapter 126
11-58-302
, as last amended by Laws of Utah 2020, Chapter 126
11-58-303
, as last amended by Laws of Utah 2020, Chapter 126
11-58-304
, as last amended by Laws of Utah 2021, Chapter 415
11-58-305
, as last amended by Laws of Utah 2020, Chapter 126
11-58-601
, as last amended by Laws of Utah 2020, Chapter 126
11-58-602
, as last amended by Laws of Utah 2020, Chapter 126
11-58-801
, as last amended by Laws of Utah 2021, Chapters 84 and 345
17D-4-102
, as last amended by Laws of Utah 2021, Chapter 415 and renumbered and
amended by Laws of Utah 2021, Chapter 314
17D-4-203
, as last amended by Laws of Utah 2021, Chapters 414, 415 and renumbered
and amended by Laws of Utah 2021, Chapter 314
35A-16-304
, as renumbered and amended by Laws of Utah 2021, Chapter 281
41-6a-2003
, as last amended by Laws of Utah 2020, Chapter 68
59-12-205
, as last amended by Laws of Utah 2021, Chapter 281
63A-3-401.5
, as enacted by Laws of Utah 2021, Chapter 415
63H-1-102
, as last amended by Laws of Utah 2021, Chapters 314, 414, and 415
63H-1-502
, as last amended by Laws of Utah 2021, Chapter 414
ENACTS:
11-58-603
, Utah Code Annotated 1953
11-58-604
, Utah Code Annotated 1953
REPEALS:
11-58-101
, as enacted by Laws of Utah 2018, Chapter 179
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
11-58-102
 is amended to read:
11-58-102.
Definitions.
As used in this chapter:
(1) "Authority" means the Utah Inland Port Authority, created in Section 
11-58-201
.
(2) "Authority jurisdictional land" means land within the authority boundary
delineated:
(a) in the electronic shapefile that is the electronic component of H.B. 2001, Utah
Inland Port Authority Amendments, 2018 Second Special Session; and
(b) beginning April 1, 2020, as provided in Subsection 
11-58-202
(3).
(3) "Base taxable value" means:
(a) (i) except as provided in Subsection (3)(a)(ii), for a project area that consists of the
authority jurisdictional land, the taxable value of authority jurisdictional land in calendar year
2018; and
(ii) for an area described in Subsection 
11-58-601
(5), the taxable value of that area in
calendar year 2017; or
(b) for a project area that consists of land outside the authority jurisdictional land, the
taxable value of property within any portion of a project area, as designated by board
resolution, from which the property tax differential will be collected, as shown upon the
assessment roll last equalized before the year in which the authority adopts a project area plan
for that area.
(4) "Board" means the authority's governing body, created in Section 
11-58-301
.
(5) "Business plan" means a plan designed to facilitate, encourage, and bring about
development of the authority jurisdictional land to achieve the goals and objectives described
in Subsection 
11-58-203
(1), including the development and establishment of an inland port.
(6) "Development" means:
(a) the demolition, construction, reconstruction, modification, expansion, or
improvement of a building, utility, infrastructure, landscape, parking lot, park, trail,
recreational amenity, or other facility, including [
publicly owned
] 
public
 infrastructure and
improvements; and
(b) the planning of, arranging for, or participation in any of the activities listed in
Subsection (6)(a).
(7) "Development project" means a project for the development of land within a
project area.
(8) "Inland port" means one or more sites that:
(a) contain multimodal [
transportation assets and
] 
facilities, intermodal facilities, or
other facilities that:
(i) are related but may be separately owned and managed; and
(ii) together are intended to:
(A) allow global trade to be processed and altered by value-added services as goods
move through the supply chain;
(B) provide a regional merging point for transportation modes for the distribution of
goods to and from ports and other locations in other regions;
(C) provide cargo-handling services to allow freight consolidation and distribution,
temporary storage, customs clearance, and connection between transport modes; and
(D) provide international logistics and distribution services, including freight
forwarding, customs brokerage, integrated logistics, and information systems; and
(b) may include a satellite customs clearance terminal, an intermodal facility, a
customs pre-clearance for international trade, or other facilities that facilitate, encourage, and
enhance regional, national, and international trade.
(9) "Inland port use" means a use of land:
(a) for an inland port;
(b) that directly implements or furthers the purposes of an inland port, as stated in
Subsection (8);
(c) that complements or supports the purposes of an inland port, as stated in Subsection
(8); or
(d) that depends upon the presence of the inland port for the viability of the use.
(10) "Intermodal facility" means a facility for transferring containerized cargo between
rail, truck, air, or other transportation modes.
[
(10) "Intermodal facility"
] 
(11) "Multimodal facility"
 means a hub or other facility for
trade combining any combination of rail, trucking, air cargo, and other transportation services.
[
(11)
] 
(12)
 "Nonvoting member" means an individual appointed as a member of the
board under Subsection 
11-58-302
[
(6)
]
(3)
 who does not have the power to vote on matters of
authority business.
[
(12)
] 
(13)
 "Project area" means:
(a) the authority jurisdictional land; or
(b) land outside the authority jurisdictional land, whether consisting of a single
contiguous area or multiple noncontiguous areas, described in a project area plan or draft
project area plan, where the development project set forth in the project area plan or draft
project area plan takes place or is proposed to take place.
[
(13)
] 
(14)
 "Project area budget" means a multiyear projection of annual or cumulative
revenues and expenses and other fiscal matters pertaining to the project area.
[
(14)
] 
(15)
 "Project area plan" means a written plan that, after its effective date, guides
and controls the development within a project area.
[
(15)
] 
(16)
 "Property tax" includes a privilege tax and each levy on an ad valorem basis
on tangible or intangible personal or real property.
[
(16)
] 
(17)
 "Property tax differential":
(a) means the difference between:
(i) the amount of property tax revenues generated each tax year by all taxing entities
from a project area, using the current assessed value of the property; and
(ii) the amount of property tax revenues that would be generated from that same area
using the base taxable value of the property; and
(b) does not include property tax revenue from:
(i) a county additional property tax or multicounty assessing and collecting levy
imposed in accordance with Section 
59-2-1602
;
(ii) a judgment levy imposed by a taxing entity under Section 
59-2-1328
 or 
59-2-1330
;
or
(iii) a levy imposed by a taxing entity under Section 
11-14-310
 to pay for a general
obligation bond.
[
(17)
] 
(18)
 "Public entity" means:
(a) the state, including each department, division, or other agency of the state; or
(b) a county, city, town, metro township, school district, local district, special service
district, interlocal cooperation entity, community reinvestment agency, or other political
subdivision of the state, including the authority.
[
(18) "Publicly owned
] 
(19) "Public
 infrastructure and improvements":
(a) means infrastructure, improvements, facilities, or buildings that:
(i) benefit the public; and
(ii) (A) are owned by a public entity or a utility; or
(B) are publicly maintained or operated by a public entity;
(b) includes:
(i) facilities, lines, or systems that provide:
(A) water, chilled water, or steam; or
(B) sewer, storm drainage, natural gas, electricity, energy storage, renewable energy,
microgrids, or telecommunications service; [
and
]
(ii) streets, roads, curb, gutter, sidewalk, walkways, solid waste facilities, parking
facilities, [
and
] 
rail lines, intermodal facilities, multimodal facilities, and
 public transportation
facilities[
.
]
;
(iii) an inland port; and
(iv) infrastructure, improvements, facilities, or buildings that:
(A) are privately owned;
(B) benefit the public;
(C) as determined by the board, provide a substantial benefit to the development and
operation of a project area; and
(D) are built according to the applicable county or municipal design and safety
standards for public infrastructure.
[
(19)
] 
(20)
 "Shapefile" means the digital vector storage format for storing geometric
location and associated attribute information.
[
(20)
] 
(21)
 "Taxable value" means the value of property as shown on the last equalized
assessment roll.
[
(21)
] 
(22)
 "Taxing entity":
(a) means a public entity that levies a tax on property within a project area; and
(b) does not include a public infrastructure district that the authority creates under Title
17D, Chapter 4, Public Infrastructure District Act.
[
(22)
] 
(23)
 "Voting member" means an individual appointed or designated as a member
of the board under Subsection 
11-58-302
(2).
Section 2. Section 
11-58-106
 is amended to read:
11-58-106.
Loan approval committee -- Approval of infrastructure loans.
(1) As used in this section:
(a) "Borrower" means the same as that term is defined in Section 
63A-3-401.5
.
(b) "Infrastructure loan" means the same as that term is defined in Section
63A-3-401.5
.
(c) "Infrastructure project" means the same as that term is defined in Section
63A-3-401.5
.
[
(d) "Inland port fund" means the same as that term is defined in Section 
63A-3-401.5
.
]
[
(e)
] 
(d)
 "Loan approval committee" means a committee consisting of[
:
] 
the individuals
who are the voting members of the board.
[
(i) the two board members appointed by the governor;
]
[
(ii) the board member appointed by the president of the Senate;
]
[
(iii) the board member appointed by the speaker of the House of Representatives; and
]
[
(iv) the board member appointed by the chair of the Permanent Community Impact
Fund Board.
]
(2) The loan approval committee may approve an infrastructure loan from the inland
port fund
, as defined in Section 
63A-3-401.5
,
 to a borrower for an infrastructure project
undertaken by the borrower.
(3) (a) The loan approval committee shall establish the terms of an infrastructure loan
in accordance with Section 
63A-3-404
.
(b) The loan approval committee shall require the terms of an infrastructure loan
secured by property tax differential to include a requirement that money from the infrastructure
loan be used only for an infrastructure project within the project area that generates the
property tax differential.
(c) The terms of an infrastructure loan that the loan approval committee approves may
include provisions allowing for the infrastructure loan to be forgiven if:
(i) the infrastructure loan is to a public university in the state;
(ii) the infrastructure loan is to fund a vehicle electrification pilot project;
(iii) the amount of the infrastructure loan does not exceed $15,000,000; and
(iv) the public university receives matching funds for the vehicle electrification pilot
project from another source.
(4) (a) The loan approval committee shall establish policies and guidelines with respect
to prioritizing requests for infrastructure loans and approving infrastructure loans.
(b) With respect to infrastructure loan requests for an infrastructure project on authority
jurisdictional land, the policies and guidelines established under Subsection (4)(a) shall give
priority to an infrastructure loan request that furthers the policies and best practices
incorporated into the environmental sustainability component of the authority's business plan
under Subsection 
11-58-202
(1)(a).
(5) Within 60 days after the execution of an infrastructure loan, the loan approval
committee shall report the infrastructure loan, including the loan amount, terms, and security,
to the Executive Appropriations Committee.
(6) (a) Salaries and expenses of committee members who are legislators shall be paid
in accordance with Section 
36-2-2
 and Legislative Joint Rules, Title 5, Chapter 3, Legislator
Compensation.
(b) A committee member who is not a legislator may not receive compensation or
benefits for the member's service on the committee, but may receive per diem and
reimbursement for travel expenses incurred as a committee member at the rates established by
the Division of Finance under:
(i) Sections 
63A-3-106
 and 
63A-3-107
; and
(ii) rules made by the Division of Finance pursuant to Sections 
63A-3-106
 and
63A-3-107
.
Section 3. Section 
11-58-202
 is amended to read:
11-58-202.
Authority powers and duties.
(1) The authority has exclusive jurisdiction, responsibility, and power to coordinate the
efforts of all applicable state and local government entities, property owners and other private
parties, and other stakeholders to:
(a) develop and implement a business plan for the authority jurisdictional land, to
include an environmental sustainability component, developed in conjunction with the Utah
Department of Environmental Quality, incorporating policies and best practices to meet or
exceed applicable federal and state standards, including:
(i) emissions monitoring and reporting; and
(ii) strategies that use the best available technology to mitigate environmental impacts
from development and uses on the authority jurisdictional land;
(b) plan and facilitate the development of inland port uses on authority jurisdictional
land and on land in other authority project areas;
(c) manage any inland port located on land owned or leased by the authority; and
(d) establish a foreign trade zone, as provided under federal law, covering some or all
of the authority jurisdictional land or land in other authority project areas.
(2) The authority may:
(a) facilitate and bring about the development of inland port uses on land that is part of
the authority jurisdictional land or that is in other authority project areas, including engaging in
marketing and business recruitment activities and efforts to encourage and facilitate:
(i) the development of an inland port on the authority jurisdictional land; and
(ii) other development of the authority jurisdictional land consistent with the policies
and objectives described in Subsection 
11-58-203
(1);
(b) facilitate and provide funding for the development of [
the authority jurisdictional
land and land in other authority project areas
] 
land in a project area
, including the development
of [
publicly owned
] 
public
 infrastructure and improvements and other infrastructure and
improvements on or related to [
the authority jurisdictional land
] 
land in a project area
;
(c) engage in marketing and business recruitment activities and efforts to encourage
and facilitate development of the authority jurisdictional land;
(d) apply for and take all other necessary actions for the establishment of a foreign
trade zone, as provided under federal law, covering some or all of the authority jurisdictional
land;
(e) as the authority considers necessary or advisable to carry out any of its duties or
responsibilities under this chapter:
(i) buy, obtain an option upon, or otherwise acquire any interest in real or personal
property;
(ii) sell, convey, grant, dispose of by gift, or otherwise dispose of any interest in real or
personal property; or
(iii) enter into a lease agreement on real or personal property, either as lessee or lessor;
(f) sue and be sued;
(g) enter into contracts generally;
(h) provide funding for the development of [
publicly owned
] 
public
 infrastructure and
improvements or other infrastructure and improvements on or related to the authority
jurisdictional land or other authority project areas;
(i) exercise powers and perform functions under a contract, as authorized in the
contract;
(j) receive the property tax differential, as provided in this chapter;
(k) accept financial or other assistance from any public or private source for the
authority's activities, powers, and duties, and expend any funds so received for any of the
purposes of this chapter;
(l) borrow money, contract with, or accept financial or other assistance from the federal
government, a public entity, or any other source for any of the purposes of this chapter and
comply with any conditions of the loan, contract, or assistance;
(m) issue bonds to finance the undertaking of any development objectives of the
authority, including bonds under Chapter 17, Utah Industrial Facilities and Development Act,
bonds under Chapter 42, Assessment Area Act, and bonds under Chapter 42a, Commercial
Property Assessed Clean Energy Act;
(n) hire employees, including contract employees;
(o) transact other business and exercise all other powers provided for in this chapter;
(p) engage one or more consultants to advise or assist the authority in the performance
of the authority's duties and responsibilities;
(q) work with other political subdivisions and neighboring property owners and
communities to mitigate potential negative impacts from the development of authority
jurisdictional land;
[
(r) own and operate an intermodal facility if the authority considers the authority's
ownership and operation of an intermodal facility to be necessary or desirable;
]
[
(s) own and operate publicly owned
] 
(r) own, lease, operate, or otherwise control
public
 infrastructure and improvements in a project area [
outside the authority jurisdictional
land
]; [
and
]
[
(t)
] 
(s)
 exercise powers and perform functions that the authority is authorized by
statute to exercise or perform[
.
]
;
(t) develop and implement world-class, state-of-the-art, zero-emissions logistics to:
(i) support continued growth of the state's economy;
(ii) promote the state as the global center of efficient and sustainable supply chain
logistics;
(iii) facilitate the efficient movement of goods on roads and rails and through the air;
and
(iv) benefit the commercial viability of tenants and users; and
(u) attract capital and expertise in pursuit of the next generation of logistics solutions.
(3) (a) Beginning April 1, 2020, the authority shall:
(i) be the repository of the official delineation of the boundary of the authority
jurisdictional land, identical to the boundary as delineated in the shapefile that is the electronic
component of H.B. 2001, Utah Inland Port Authority Amendments, 2018 Second Special
Session, subject to Subsection (3)(b) and any later changes to the boundary enacted by the
Legislature; and
(ii) maintain an accurate digital file of the boundary that is easily accessible by the
public.
(b) (i) As used in this Subsection (3)(b), "split property" means a piece of land:
(A) with a single tax identification number; and
(B) that is partly included within and partly excluded from the authority jurisdictional
land by the boundary delineated in the shapefile described in Subsection 
11-58-102
(2).
(ii) With the consent of the mayor of the municipality in which the split property is
located, the executive director may adjust the boundary of the authority jurisdictional land to
include an excluded portion of a split property or exclude an included portion of a split
property.
(iii) In adjusting the boundary under Subsection (3)(b)(ii), the executive director shall
consult with the county assessor, the county surveyor, the owner of the split property, and the
municipality in which the split property is located.
(iv) A boundary adjustment under this Subsection (3)(b) affecting the northwest
boundary of the authority jurisdictional land shall maintain the buffer area between authority
jurisdictional land intended for development and land outside the boundary of the authority
jurisdictional land to be preserved from development.
(v) Upon completing boundary adjustments under this Subsection (3)(b), the executive
director shall cause to be recorded in the county recorder's office a map or other description,
sufficient for purposes of the county recorder, of the adjusted boundary of the authority
jurisdictional land.
(vi) The authority shall modify the official delineation of the boundary of the authority
jurisdictional land under Subsection (3)(a) to reflect a boundary adjustment under this
Subsection (3)(b).
(4) (a) The authority may establish a community enhancement program designed to
address the impacts that development or inland port uses within project areas have on adjacent
communities.
(b) (i) The authority may use authority money to support the community enhancement
program and to pay for efforts to address the impacts described in Subsection (4)(a).
(ii) Authority money designated for use under Subsection (4)(b)(i) is exempt from
execution or any other process in the collection of a judgment against or debt or other
obligation of the authority arising out of the authority's activities with respect to the community
enhancement program.
(c) On or before October 31, 2020, the authority shall report on the authority's actions
under this Subsection (4) to:
(i) the Business, Economic Development, and Labor Appropriations Subcommittee of
the Legislature;
(ii) the Economic Development and Workforce Services Interim Committee of the
Legislature; and
(iii) the Business and Labor Interim Committee of the Legislature.
[
(5) An intermodal facility owned by the authority is subject to a privilege tax under
Title 59, Chapter 4, Privilege Tax.
]
Section 4. Section 
11-58-203
 is amended to read:
11-58-203.
Policies and objectives of the authority -- Additional duties of the
authority.
(1) The policies and objectives of the authority are to:
(a) maximize long-term economic benefits to the area, the region, and the state;
(b) maximize the creation of high-quality jobs;
(c) respect and maintain sensitivity to the unique natural environment of areas in
proximity to the authority jurisdictional land and land in other authority project areas;
(d) improve air quality and minimize resource use;
(e) respect existing land use and other agreements and arrangements between property
owners within the authority jurisdictional land and within other authority project areas and
applicable governmental authorities;
(f) promote and encourage development and uses that are compatible with or
complement uses in areas in proximity to the authority jurisdictional land or land in other
authority project areas;
(g) take advantage of the authority jurisdictional land's strategic location and other
features, including the proximity to transportation and other infrastructure and facilities, that
make the authority jurisdictional land attractive to:
(i) businesses that engage in regional, national, or international trade; and
(ii) businesses that complement businesses engaged in regional, national, or
international trade;
(h) facilitate the transportation of goods;
(i) coordinate trade-related opportunities to export Utah products nationally and
internationally;
(j) support and promote land uses on the authority jurisdictional land and land in other
authority project areas that generate economic development, including rural economic
development;
(k) establish a project of regional significance;
(l) facilitate an intermodal facility;
(m) support uses of the authority jurisdictional land for inland port uses, including
warehousing, light manufacturing, and distribution facilities;
(n) facilitate an increase in trade in the region and in global commerce;
(o) promote the development of facilities that help connect local businesses to potential
foreign markets for exporting or that increase foreign direct investment;
(p) encourage all class 5 though 8 designated truck traffic entering the authority
jurisdictional land to meet the heavy-duty highway compression-ignition diesel engine and
urban bus exhaust emission standards for year 2007 and later; [
and
]
(q) encourage the development and use of cost-efficient renewable energy in project
areas[
.
]
;
(r) aggressively pursue world-class businesses that employ cutting-edge technologies to
locate within a project area; and
(s) pursue land remediation and development opportunities for publicly owned land to
add value to a project area.
(2) In fulfilling its duties and responsibilities relating to the development of the
authority jurisdictional land and land in other authority project areas and to achieve and
implement the development policies and objectives under Subsection (1), the authority shall:
(a) work to identify funding sources, including federal, state, and local government
funding and private funding, for capital improvement projects in and around the authority
jurisdictional land and land in other authority project areas and for an inland port;
(b) review and identify land use and zoning policies and practices to recommend to
municipal land use policymakers and administrators that are consistent with and will help to
achieve:
(i) the policies and objectives stated in Subsection (1); and
(ii) the mutual goals of the state and local governments that have authority
jurisdictional land with their boundaries with respect to the authority jurisdictional land;
(c) consult and coordinate with other applicable governmental entities to improve and
enhance transportation and other infrastructure and facilities in order to maximize the potential
of the authority jurisdictional land to attract, retain, and service users who will help maximize
the long-term economic benefit to the state; and
(d) pursue policies that the board determines are designed to avoid or minimize
negative environmental impacts of development.
[
(3) (a) The authority may use property tax differential and other authority money to
encourage, incentivize, or require development that:
]
[
(i) mitigates noise, air pollution, light pollution, surface and groundwater pollution,
and other negative environmental impacts;
]
[
(ii) mitigates traffic congestion; or
]
[
(iii) uses high efficiency building construction and operation.
]
[
(b) (i) In consultation with the municipality in which development is expected to
occur, the authority shall establish minimum mitigation and environmental standards that a
landowner is required to meet to qualify for the use of property tax differential in the
landowner's development.
]
[
(ii) The authority may not use property tax differential for a landowner's development
in a project area unless the minimum mitigation and environmental standards are followed with
respect to that landowner's development.
]
[
(c) The authority may develop and implement world-class, state-of-the-art,
zero-emissions logistics that support continued growth of the state's economy in order to:
]
[
(i) promote the state as the global center of efficient and sustainable supply chain
logistics;
]
[
(ii) facilitate the efficient movement of goods on roads and rails and through the air;
]
[
(iii) benefit the commercial viability of developers, landowners, and tenants and users;
and
]
[
(iv) attract capital and expertise in pursuit of the next generation of logistics
solutions.
]
(3) The board may consider the emissions profile of road, yard, or rail vehicles:
(a) in determining access by those vehicles to facilities that the authority owns or
finances; or
(b) in setting fees applicable to those vehicles for the use of facilities that the authority
owns or finances.
Section 5. Section 
11-58-205
 is amended to read:
11-58-205.
Applicability of other law -- Cooperation of state and local
governments -- Municipality to consider board input -- Prohibition relating to natural
resources -- Inland port as permitted or conditional use -- Municipal services --
Disclosure by nonauthority governing body member.
(1) Except as otherwise provided in this chapter, the authority does not have and may
not exercise any powers relating to the regulation of land uses on the authority jurisdictional
land.
(2) The authority is subject to and governed by Sections 
63E-2-106
, 
63E-2-107
,
63E-2-108
, 
63E-2-109
, 
63E-2-110
, and 
63E-2-111
, but is not otherwise subject to or governed
by Title 63E, Independent Entities Code.
(3) A department, division, or other agency of the state and a political subdivision of
the state shall cooperate with the authority to the fullest extent possible to provide whatever
support, information, or other assistance the board requests that is reasonably necessary to help
the authority fulfill its duties and responsibilities under this chapter.
(4) In making decisions affecting the authority jurisdictional land, the legislative body
of a municipality in which the authority jurisdictional land is located shall consider input from
the authority board.
(5) (a) No later than December 31, 2018, the ordinances of a municipality with
authority jurisdictional land within its boundary shall allow an inland port as a permitted or
conditional use, subject to standards that are:
(i) determined by the municipality; and
(ii) consistent with the policies and objectives stated in Subsection 
11-58-203
(1).
(b) A municipality whose ordinances do not comply with Subsection (5)(a) within the
time prescribed in that subsection shall allow an inland port as a permitted use without regard
to any contrary provision in the municipality's land use ordinances.
(6) The transporting, unloading, loading, transfer, or temporary storage of natural
resources may not be prohibited on the authority jurisdictional land.
(7) (a) A municipality whose boundary includes authority jurisdictional land shall
provide the same municipal services to the area of the municipality that is within the authority
jurisdictional land as the municipality provides to other areas of the municipality with similar
zoning and a similar development level.
(b) The level and quality of municipal services that a municipality provides within
authority jurisdictional land shall be fairly and reasonably consistent with the level and quality
of municipal services that the municipality provides to other areas of the municipality with
similar zoning and a similar development level.
(8) (a) As used in this Subsection (8):
(i) "Direct financial benefit" means the same as that term is defined in Section
11-58-304
.
(ii) "Nonauthority governing body member" means a member of the board or other
body that has authority to make decisions for a nonauthority government owner.
(iii) "Nonauthority government owner" mean a state agency or nonauthority local
government entity that owns land that is part of the authority jurisdictional land.
(iv) "Nonauthority local government entity":
(A) means a county, city, town, metro township, local district, special service district,
community reinvestment agency, or other political subdivision of the state; and
(B) excludes the authority.
(v) "State agency" means a department, division, or other agency or instrumentality of
the state, including an independent state agency.
(b) A nonauthority governing body member who owns or has a financial interest in
land that is part of the authority jurisdictional land or who reasonably expects to receive a
direct financial benefit from development of authority jurisdictional land shall submit a written
disclosure to the authority board and the nonauthority government owner.
(c) A written disclosure under Subsection (8)(b) shall describe, as applicable:
(i) the nonauthority governing body member's ownership or financial interest in
property that is part of the authority jurisdictional land; and
(ii) the direct financial benefit the nonauthority governing body member expects to
receive from development of authority jurisdictional land.
(d) A nonauthority governing body member required under Subsection (8)(b) to submit
a written disclosure shall submit the disclosure no later than 30 days after:
(i) the nonauthority governing body member:
(A) acquires an ownership or financial interest in property that is part of the authority
jurisdictional land; or
(B) first knows that the nonauthority governing body member expects to receive a
direct financial benefit from the development of authority jurisdictional land; or
(ii) the effective date of this Subsection (8), if that date is later than the period
described in Subsection (8)(d)(i).
(e) A written disclosure submitted under this Subsection (8) is a public record.
(9) No later than December 31, 2022, a primary municipality, as defined in Section
11-58-601
, shall enter into an agreement with the authority under which the primary
municipality agrees to facilitate the efficient processing of land use applications, as defined in
Section 
10-9a-103
, relating to authority jurisdictional land within the primary municipality,
including providing for at least one full-time employee as a single point of contact for the
processing of those land use applications.
Section 6. Section 
11-58-302
 is amended to read:
11-58-302.
Number of board members -- Appointment -- Vacancies.
(1) The authority's board shall consist of [
] 
five voting
 members, as provided in
Subsection (2).
(2) (a) The governor shall appoint [
two
] 
as
 board members 
two individuals who are not
elected government officials
:
(i) one of whom shall be an individual engaged in statewide economic development or
corporate recruitment and retention; and
(ii) one of whom shall be an individual engaged in statewide trade, import and export
activities, [
or
] foreign direct investment
, or public-private partnerships
.
(b) The president of the Senate shall appoint [
one
] 
as a
 board member 
one individual
with relevant business expertise
.
(c) The speaker of the House of Representatives shall appoint [
one
] 
as a
 board member
one individual with relevant business expertise
.
[
(d) The mayor of Salt Lake County, or the mayor's designee, shall serve as a board
member.
]
[
(e) The chair of the Permanent Community Impact Fund Board, created in Section
35A-8-304
, shall appoint one board member from among the members of the Permanent
Community Impact Fund Board.
]
[
(f) The mayor of Salt Lake City, or the mayor's designee, shall serve as a board
member.
]
[
(g) A member of the Salt Lake City council, selected by the Salt Lake City council,
shall serve as a board member.
]
[
(h) The city manager of West Valley City, with the consent of the city council of West
Valley City, shall appoint one board member.
]
[
(i) The director of the Salt Lake County office of Regional Economic Development
shall serve as a board member.
]
[
(j) The mayor of the Magna metro township, or the mayor's designee, shall serve as a
board member.
]
(d) The president of the Senate and speaker of the House of Representatives shall
jointly appoint as a board member one individual with relevant business expertise.
(3) (a) The board shall include three nonvoting board members.
(b) The board shall appoint as nonvoting board members two individuals with
expertise in transportation and logistics.
(c) One of the nonvoting board members shall be a member of the Salt Lake City
Council, designated by the Salt Lake City Council, who represents a council district whose
boundary includes authority jurisdictional land.
(d) The board may set the term of office for nonvoting board members appointed under
Subsection (3)(b).
[
(3)
] 
(4)
 An individual required under Subsection (2) to appoint a board member shall
appoint each initial board member the individual is required to appoint no later than June 1,
[
] 
.
[
(4)
] 
(5)
 (a) A vacancy in the board shall be filled in the same manner under this
section as the appointment of the member whose vacancy is being filled.
(b) A person appointed to fill a vacancy shall serve the remaining unexpired term of
the member whose vacancy the person is filling.
[
(5)
] 
(6)
 A member of the board appointed [
by the governor, president of the Senate, or
speaker of the House of Representatives
] 
under Subsection (2)
 serves at the pleasure of and
may be removed and replaced at any time, with or without cause, by the [
governor, president of
the Senate, or speaker of the House of Representatives, respectively
] 
individual or individuals
who appointed the member
.
[
(6) The authority may appoint nonvoting members of the board and set terms for those
nonvoting members.
]
(7) Upon a vote of a majority of all board members, the board may appoint a board
chair and any other officer of the board.
[
(8) (a) An individual designated as a board member under Subsection (2)(g), (i), or (j)
who would be precluded from serving as a board member because of Subsection
11-58-304
(2):
]
[
(i) may serve as a board member notwithstanding Subsection 
11-58-304
(2); and
]
[
(ii) shall disclose in writing to the board the circumstances that would otherwise have
precluded the individual from serving as a board member under Subsection 
11-58-304
(2).
]
[
(b) A written disclosure under Subsection (8)(a)(ii) is a public record under Title 63G,
Chapter 2, Government Records Access and Management Act.
]
[
(9)
] 
(8)
 The board may appoint one or more advisory committees that may include
individuals from impacted public entities, community organizations, environmental
organizations, business organizations, or other organizations or associations.
Section 7. Section 
11-58-303
 is amended to read:
11-58-303.
Term of board members -- Quorum -- Compensation.
(1) The term of a board member appointed under Subsection 
11-58-302
(2)[
(a), (b), (c),
(e), (g), or (h)
] is four years, except that the initial term of one of the two members appointed
under Subsection 
11-58-302
(2)(a) and of the [
members
] 
member
 appointed under [
Subsections
11-58-302
(2)(e) and (g)
] 
Subsection 
11-58-302
(2)(d)
 is two years.
(2) Each board member shall serve until a successor is duly appointed and qualified.
(3) A board member may serve multiple terms if duly appointed to serve each term
under Subsection 
11-58-302
(2).
(4) A majority of board members constitutes a quorum, and the action of a majority of
a quorum constitutes action of the board.
(5) (a) A board member who is not a legislator may not receive compensation or
benefits for the member's service on the board, but may receive per diem and reimbursement
for travel expenses incurred as a board member as allowed in:
(i) Sections 
63A-3-106
 and 
63A-3-107
; and
(ii) rules made by the Division of Finance according to Sections 
63A-3-106
 and
63A-3-107
.
(b) Compensation and expenses of a board member who is a legislator are governed by
Section 
36-2-2
 and Legislative Joint Rules, Title 5, Chapter 3, Legislator Compensation.
Section 8. Section 
11-58-304
 is amended to read:
11-58-304.
Limitations on board members and executive director.
(1) As used in this section:
(a) "Direct financial benefit":
(i) means any form of financial benefit that accrues to an individual directly, including:
(A) compensation, commission, or any other form of a payment or increase of money;
and
(B) an increase in the value of a business or property; and
(ii) does not include a financial benefit that accrues to the public generally.
(b) "Family member" means a parent, spouse, sibling, child, or grandchild.
(2) An individual may not serve as a voting member of the board or as executive
director if:
(a) the individual owns real property, other than a personal residence in which the
individual resides, within a project area, whether or not the ownership interest is a recorded
interest;
(b) a family member of the individual owns an interest in real property, other than a
personal residence in which the family member resides, located within a project area; or
(c) the individual or a family member of the individual owns an interest in, is directly
affiliated with, or is an employee or officer of a private firm, private company, or other private
entity that the individual reasonably believes is likely to:
(i) participate in or receive a direct financial benefit from the development of the
authority jurisdictional land; or
(ii) acquire an interest in or locate a facility within a project area.
(3) Before taking office as a voting member of the board or accepting employment as
executive director, an individual shall submit to the authority[
: (a)
] a statement verifying that
the individual's service as a board member or employment as executive director does not
violate Subsection (2)[
; or
]
.
[
(b) for an individual to whom Subsection 
11-58-302
(8) applies, the disclosure
required under that subsection.
]
(4) (a) An individual may not, at any time during the individual's service as a voting
member or employment with the authority, acquire, or take any action to initiate, negotiate, or
otherwise arrange for the acquisition of, an interest in real property located within a project
area, if:
(i) the acquisition is in the individual's personal capacity or in the individual's capacity
as an employee or officer of a private firm, private company, or other private entity; and
(ii) the acquisition will enable the individual to receive a direct financial benefit as a
result of the development of the project area.
(b) Subsection (4)(a) does not apply to an individual's acquisition of, or action to
initiate, negotiate, or otherwise arrange for the acquisition of, an interest in real property that is
a personal residence in which the individual will reside upon acquisition of the real property.
(5) (a) A voting member or nonvoting member of the board or an employee of the
authority may not receive a direct financial benefit from the development of a project area.
(b) For purposes of Subsection (5)(a), a direct financial benefit does not include:
(i) expense reimbursements;
(ii) per diem pay for board member service, if applicable; or
(iii) an employee's compensation or benefits from employment with the authority.
(6) Nothing in this section may be construed to affect the application or effect of any
other code provision applicable to a board member or employee relating to ethics or conflicts
of interest.
Section 9. Section 
11-58-305
 is amended to read:
11-58-305.
Executive director.
(1) [
On or before July 1, 2019, the
] 
The
 board shall hire 
and oversee
 a full-time
executive director.
(2) (a) The executive director is the chief executive officer of the authority.
(b) The role of the executive director is to:
(i) manage and oversee the day-to-day operations of the authority;
(ii) fulfill the executive and administrative duties and responsibilities of the authority;
and
(iii) perform other functions, as directed by the board.
(3) The executive director shall have the education, experience, and training necessary
to perform the executive director's duties in a way that maximizes the potential for successfully
achieving and implementing the strategies, policies, and objectives stated in Subsection
11-58-203
(1).
(4) An executive director is an at-will employee who serves at the pleasure of the board
and may be removed by the board at any time.
(5) The board shall establish the duties, compensation, and benefits of an executive
director.
Section 10. Section 
11-58-601
 is amended to read:
11-58-601.
Port authority receipt and use of property tax differential --
Distribution of property tax differential.
(1) As used in this section:
(a) "Designation resolution" means a resolution adopted by the board that designates a
transition date for the parcel specified in the resolution.
(b) "Exempt area" means the authority jurisdictional land that is within a primary
municipality, excluding areas described in Subsection (5)(a) and parcels of land described in
Subsection (5)(b).
(c) "Exempt area property tax" means the same as that term is defined in Section
11-58-604
.
[
(b)
] 
(d)
 "Post-designation differential" means 75% of property tax differential
generated from a post-designation parcel.
[
(c)
] 
(e)
 "Post-designation parcel" means a parcel within a project area after the
transition date for that parcel.
[
(d)
] 
(f)
 "Pre-designation differential" means 75% of property tax differential generated
from all pre-designation parcels within a project area.
[
(e)
] 
(g)
 "Pre-designation parcel" means a parcel within a project area before the
transition date for that parcel.
(h) "Primary municipality" means the municipality that has more authority jurisdictional
land within the municipality's boundary than is included within the boundary of any other
municipality.
[
(f)
] 
(i)
 "Transition date" means the date after which the authority is to be paid
post-designation differential for the parcel that is the subject of a designation resolution.
(2) (a) The authority shall be paid pre-designation differential generated within the
authority jurisdictional land:
(i) for the period beginning November 2019 and ending November 2044; and
(ii) for a period of 15 years following the period described in Subsection (2)(a)(i) if,
before the end of the period described in Subsection (2)(a)(i), the board adopts a resolution
extending the period described in Subsection (2)(a)(i) for 15 years.
(b) The authority shall be paid pre-designation differential generated within a project
area, other than the authority jurisdictional land:
(i) for a period of 25 years beginning the date the board adopts a project area plan
under Section 
11-58-502
 establishing the project area; and
(ii) for a period of 15 years following the period described in Subsection (2)(b)(i) if,
before the end of the period described in Subsection (2)(b)(i), the board adopts a resolution
extending the period described in Subsection (2)(b)(i) for 15 years.
(3) The authority shall be paid post-designation differential generated from a
post-designation parcel:
(a) for a period of 25 years beginning on the transition date for that parcel; and
(b) for a period of an additional 15 years beyond the period stated in Subsection (3)(a)
if the board determines by resolution that the additional years of post-designation differential
from that parcel will produce a significant benefit.
(4) (a) For purposes of this section, the authority may designate an improved portion of
a parcel in a project area as a separate parcel.
(b) An authority designation of an improved portion of a parcel as a separate parcel
under Subsection (4)(a) does not constitute a subdivision, as defined in Section 
10-9a-103
 or
Section 
17-27a-103
.
(c) A county recorder shall assign a separate tax identification number to the improved
portion of a parcel designated by the authority as a separate parcel under Subsection (4)(a).
(5) The authority may not receive:
(a) a taxing entity's portion of property tax differential generated from an area included
within a community reinvestment project area under a community reinvestment project area
plan, as defined in Section 
17C-1-102
, adopted before October 1, 2018, if the taxing entity has,
before October 1, 2018, entered into a fully executed, legally binding agreement under which
the taxing entity agrees to the use of its tax increment, as defined in Section 
17C-1-102
, under
the community reinvestment project area plan; or
(b) property tax differential from a parcel of land:
(i) that was substantially developed before December 1, 2018;
(ii) for which a certificate of occupancy was issued before December 1, 2018; and
(iii) that is identified in a list that the municipality in which the land is located provides
to the authority and the county assessor by April 1, 2020.
(6) (a) Subsection (6)(b) applies if:
(i) the primary municipality, the primary municipality's agency, as defined in Section
11-58-604
, and the authority have entered into the agreement described in Section 
11-58-604
;
and
(ii) the primary municipality and the authority have entered into the agreement
described in Subsection 
11-58-205
(9).
(b) If the conditions under Subsection (6)(a) have been met, beginning with the first tax
year that begins on or after January 1, 2023:
(i) the distribution of exempt area property tax to the authority:
(A) is not governed by Subsections (2) and (3); and
(B) is governed by Section 
11-58-604
; and
(ii) the primary municipality shall be paid, for the primary municipality's use for
municipal operations, all exempt area property tax remaining after the payment of exempt area
property tax as required under Section 
11-58-604
.
[
(6)
] 
(7)
 (a) As used in this Subsection [
(6)
] 
(7)
:
(i) "Agency land" means authority jurisdictional land that is within the boundary of an
eligible community reinvestment agency and from which the authority is paid property tax
differential.
(ii) "Applicable differential" means the amount of property tax differential paid to the
authority that is generated from agency land.
(iii) "Eligible community reinvestment agency" means the community reinvestment
agency in which agency land is located.
(b) The authority shall pay 10% of applicable differential to the eligible community
reinvestment agency, to be used for affordable housing as provided in Section 
17C-1-412
.
[
(7)
] 
(8)
 (a) Subject to Subsection [
(7)
] 
(8)
(b), a county that collects property tax on
property within a project area shall [
pay and distribute to the authority the property tax
differential that the authority is entitled to collect under this chapter
], in the manner and at the
time provided in Section 
59-2-1365
[
.
]
:
(i) pay and distribute to the authority the property tax differential that the authority is
entitled to collect under this chapter, including exempt area property tax the authority is
entitled to collect under Section 
11-58-604
;
(ii) pay and distribute to a primary municipality's agency, as defined in Section
11-58-604
, the exempt area property tax that the primary municipality's agency is required to
use for affordable housing, as provided in Subsection 
11-58-604
(4)(c); and
(iii) pay and distribute to a primary municipality the exempt area property tax
described in Subsection (6)(b)(ii).
(b) For property tax differential that a county collects for tax year 2019, a county shall
pay and distribute to the authority, on or before June 30, 2020, the property tax differential that
the authority is entitled to collect:
(i) according to the provisions of this section; and
(ii) based on the boundary of the authority jurisdictional land as of May 31, 2020.
(9) Notwithstanding any other provision of this chapter, beginning with the first tax
year that begins on or after January 1, 2023, the authority may not use the portion of property
tax differential generated by a property tax levied by a primary municipality on the exempt area
unless the primary municipality, the primary municipality's agency, as defined in Section
11-58-604
, and the authority have entered into an agreement as provided in Section 
11-58-604
.
Section 11. Section 
11-58-602
 is amended to read:
11-58-602.
Allowable uses of property tax differential and other funds.
(1) 
(a)
 The authority may use [
the
] 
money from
 property tax differential, money the
authority receives from the state, money the authority receives under Subsection
59-12-205
(2)[
(b)(iii)
]
(a)(ii)(C)
, and other [
funds
] 
money
 available to the authority:
[
(a)
] 
(i)
 for any purpose authorized under this chapter;
[
(b)
] 
(ii)
 for administrative, overhead, legal, consulting, and other operating expenses of
the authority;
[
(c)
] 
(iii)
 to pay for, including financing or refinancing, all or part of the development
of land within a project area, including assisting the ongoing operation of a development or
facility within the project area;
[
(d)
] 
(iv)
 to pay the cost of the installation and construction of [
publicly owned
] 
public
infrastructure and improvements within the project area from which the property tax
differential funds were collected;
[
(e)
] 
(v)
 to pay the cost of the installation of [
publicly owned
] 
public
 infrastructure and
improvements outside a project area if the board determines by resolution that the
infrastructure and improvements are of benefit to the project area;
[
(f)
] 
(vi)
 to pay to a community reinvestment agency for affordable housing, as
provided in Subsection 
11-58-601
[
(6)
]
(7)
; [
and
]
[
(g)
] 
(vii)
 to pay the principal and interest on bonds issued by the authority[
.
]
; and
(viii) subject to Subsection (1)(b), to encourage, incentivize, or require development
that:
(A) mitigates noise, air pollution, light pollution, surface and groundwater pollution,
and other negative environmental impacts;
(B) mitigates traffic congestion; or
(C) uses high efficiency building construction and operation.
(b) (i) The authority shall establish minimum mitigation and environmental standards
that a landowner is required to meet to qualify for the use of property tax differential under
Subsection (1)(a)(viii) in the landowner's development.
(ii) In establishing minimum mitigation and environmental standards, the authority
shall consult with:
(A) the municipality in which the development is expected to occur, for development
expected to occur within a municipality; or
(B) the county in whose unincorporated area the development is expected to occur, for
development expected to occur within the unincorporated area of a county.
(iii) The authority may not use property tax differential under Subsection (1)(a)(viii)
for a landowner's development in a project area unless the minimum mitigation and
environmental standards are followed with respect to that landowner's development.
(2) The authority may use revenue generated from the operation of [
publicly owned
]
public
 infrastructure operated by the authority or improvements, including an intermodal
facility, operated by the authority to:
(a) operate and maintain the infrastructure or improvements; and
(b) pay for authority operating expenses, including administrative, overhead, and legal
expenses.
(3) The determination of the board under Subsection [
(1)(e)
] 
(1)(a)(v)
 regarding benefit
to the project area is final.
(4) The authority may not use property tax differential revenue collected from one
project area for a development project within another project area.
(5) Until the authority adopts a business plan under Subsection 
11-58-202
(1)(a), the
authority may not spend property tax differential revenue collected from authority jurisdictional
land.
(6) (a) As used in this Subsection (6):
(i) "Authority sales and use tax revenue" means money distributed to the authority
under Subsection 
59-12-205
(2)[
(b)(iii)
]
(a)(ii)(C)
.
(ii) "Eligible county" means a county that would be entitled to receive sales and use tax
revenue under Subsection 
59-12-205
(2)[
(b)(i)
]
(a)(ii)(A)
 in the absence of Subsection
59-12-205
(2)[
(b)(iii)
]
(a)(ii)(C)
.
(iii) "Eligible municipality" means a municipality that would be entitled to receive
sales and use tax revenue under Subsection 
59-12-205
(2)[
(b)(i)
]
(a)(ii)(A)
 in the absence of
Subsection 
59-12-205
(2)[
(b)(iii)
]
(a)(ii)(C)
.
(iv) "Point of sale portion" means:
(A) for an eligible county, the amount of sales and use tax revenue the eligible county
would have received under Subsection 
59-12-205
(2)[
(b)(i)
]
(a)(ii)(A)
 in the absence of
Subsection 
59-12-205
(2)[
(b)(iii)
]
(a)(ii)(C)
, excluding the retail sales portion; and
(B) for an eligible municipality, the amount of sales and use tax revenue the eligible
municipality would have received under Subsection 
59-12-205
(2)[
(b)(i)
]
(a)(ii)(A)
 in the
absence of Subsection 
59-12-205
(2)[
(b)(iii)
]
(a)(ii)(C)
, excluding the retail sales portion.
(v) "Retail sales portion" means the amount of sales and use tax revenue collected
under Subsection 
59-12-205
(2)[
(b)(i)
]
(a)(ii)(A)
 from retail sales transactions that occur on
authority jurisdictional land.
(b) Within 45 days after receiving authority sales and use tax revenue, the authority
shall:
(i) distribute half of the point of sale portion to each eligible county and eligible
municipality; and
(ii) distribute all of the retail sales portion to each eligible county and eligible
municipality.
Section 12. Section 
11-58-603
 is enacted to read:
 11-58-603.
Use of authority money for business recruitment incentive.
(1) As used in this section:
(a) "Business recruitment incentive" means the post-performance payment of property
tax differential as an incentive for a capital expenditure or for the creation of high-paying jobs
within a project area, as provided in this section.
(b) "Capital expenditure" means an expenditure of money, other than property tax
differential:
(i) by an applicant under an incentive application; and
(ii) for the development of capital facilities that are:
(A) constructed within a project area; and
(B) focused on value-added manufacturing that optimizes the use of rail facilities.
(c) "High-paying job" means a job:
(i) created because of development activity within a project area; and
(ii) that pays at least 130% of the average for all wages within the county in which the
project area is located for the year during which an incentive application is submitted.
(d) "Incentive application" means an application for a business recruitment incentive.
(e) "Tax differential parcel" means a parcel of land:
(i) on which capital facilities are constructed from a capital expenditure; or
(ii) where development activity occurs that results in the creation of high-paying jobs.
(2) The authority may use property tax differential as a business recruitment incentive
as provided in this section.
(3) The board shall establish the application timeline, documentation requirements, and
approval criteria applicable to an incentive application and approval of an incentive
application, consistent with this section.
(4) (a) Subject to Subsection (4)(b), a person may qualify for a business recruitment
incentive if:
(i) the person submits an incentive application according to requirements established
by the board;
(ii) the person meets the requirements under Subsection (5) or (6) for a business
recruitment incentive; and
(iii) the board approves the incentive application.
(b) A person may not qualify for a business recruitment incentive if the person's
development project relates primarily to retail operations or the distribution of goods.
(5) The authority may pay a person, on a post-performance basis:
(a) up to 20% of the property tax differential generated from a tax differential parcel
for a period of 20 years, if the person demonstrates that at least $1,000,000,000 of capital
expenditure will occur on the tax differential parcel due to the person's development project;
(b) up to 15% of the property tax differential generated from a tax differential parcel
for a period of 15 years, if the person demonstrates that at least $500,000,000 of capital
expenditure will occur on the tax differential parcel due to the person's development project; or
(c) up to 10% of the property tax differential generated from a tax differential parcel
for a period of 10 years, if the person demonstrates that at least $100,000,000 of capital
expenditure will occur on the tax differential parcel due to the person's development project.
(6) The authority may pay a person, on a post-performance basis:
(a) up to 10% of the property tax differential generated from a tax differential parcel
for a period of 20 years, if the person demonstrates that the person's development activity on
the tax differential parcel will result in the creation of at least 1,000 high-paying jobs;
(b) up to 8% of the property tax differential generated from a tax differential parcel for
a period of 15 years, if the person demonstrates that the person's development activity on the
tax differential parcel will result in the creation of at least 500 high-paying jobs; or
(c) up to 5% of the property tax differential generated from a tax differential parcel for
a period of 10 years, if the person demonstrates that the person's development activity on the
tax differential parcel will result in the creation of at least 250 high-paying jobs.
(7) Subject to the limits stated in Subsections (5) and (6), the amount of property tax
differential to be paid under this section and the timing of any payment are at the discretion of
the board.
(8) A person may not receive a business recruitment incentive under both Subsection
(5) and Subsection (6).
Section 13. Section 
11-58-604
 is enacted to read:
 11-58-604.
Agreement relating to expenditure of mitigation money -- Distribution
and use of exempt area property tax.
(1) As used in this section:
(a) "Exempt area" means the same as that term is defined in Section 
11-58-601
.
(b) "Exempt area property tax" means the portion of property tax differential generated
by a property tax levied by a primary municipality on property in the exempt area.
(c) "Mitigation money" means the exempt area property tax required to be used as
provided in Subsections (6)(a) and (b).
(d) "Participating entities" means a primary municipality, the primary municipality's
agency, and the authority.
(e) "Primary municipality" means the same as that term is defined in Section
11-58-601
.
(f) "Primary municipality's agency" means the community development and renewal
agency created by a primary municipality.
(2) (a) No later than December 31, 2022, participating entities shall enter into an
agreement as provided in this section.
(b) An agreement under Subsection (2)(a) shall:
(i) provide:
(A) how the authority is to spend mitigation money; or
(B) a process for determining how the authority is to spend mitigation money;
(ii) include a requirement that the authority consult with the primary municipality in
determining how to spend mitigation money; and
(iii) require the primary municipality's agency to spend money the primary
municipality's agency receives under Subsection (4)(c) for affordable housing, as provided in
Section 
17C-1-412
.
(3) If participating entities enter into an agreement under this section, beginning
January 1, 2023:
(a) Subsections 
11-58-601
(2) and (3) do not apply to exempt area property tax; and
(b) exempt area property tax shall be paid and distributed as provided in Subsection
11-58-601
(8) and in accordance with Subsections (4) and (5).
(4) If participating entities enter into an agreement under this section, beginning the
first tax year that begins on or after January 1, 2023:
(a) the authority shall be paid 25% of the exempt area property tax:
(i) for the authority's use as provided in Subsection (6); and
(ii) (A) for a period of 25 years beginning January 1, 2023; and
(B) for a period of time not exceeding an additional 15 years beyond the period stated
in Subsection (4)(a)(ii)(A) if the board determines by resolution, adopted before the expiration
of the 25-year period under Subsection (4)(a)(ii)(A), that the additional years will produce a
significant benefit to the uses described in Subsection (6) and if the primary municipality and
the authority agree to the additional period of time;
(b) the authority shall be paid, in addition to the amounts under Subsection (4)(a), a
percentage, as defined in Subsection (5), of the exempt area property tax for the authority's use
as provided in Subsection (6); and
(c) the primary municipality's agency shall be paid, for the same period of time that the
authority is paid exempt area property tax under Subsection (4)(a), 10% of exempt area
property tax, to be used for affordable housing as provided in Section 
17C-1-412
.
(5) The percentage of the exempt area property tax paid to the authority as provided in
Subsection (4)(b):
(a) shall be 40% for the first tax year that begins on or after January 1, 2023,
decreasing 2% each year after the 2023 tax year, so that in 2029 the percentage is 28;
(b) beginning January 1, 2030, and for a period of seven years, shall be 10%;
(c) beginning January 1, 2037, and for a period of 11 years, shall be 8%; and
(d) after 2047, shall be 0%.
(6) Of the exempt area property tax the authority receives, the authority shall use:
(a) 40% for environmental mitigation projects within the authority jurisdictional land;
(b) 40% for mitigation projects, which may include a regional traffic study and an
environmental impact mitigation analysis, for communities that are:
(i) within the primary municipality;
(ii) adjacent to the authority jurisdictional land; and
(iii) west of the east boundary of the right of way of a fixed guideway used, as of
January 1, 2022, for commuter rail within the primary municipality; and
(c) 20% for economic development activities on the authority jurisdictional land.
Section 14. Section 
11-58-801
 is amended to read:
11-58-801.
Annual port authority budget -- Fiscal year -- Public hearing required
-- Auditor forms -- Requirement to file annual budget.
(1) The authority shall prepare and its board adopt an annual budget of revenues and
expenditures for the authority for each fiscal year.
(2) Each annual authority budget shall be adopted before June [
] 
, except that the
authority's initial budget shall be adopted as soon as reasonably practicable after the
organization of the board and the beginning of authority operations.
(3) The authority's fiscal year shall be the period from July 1 to the following June 30.
(4) (a) Before adopting an annual budget, the board shall hold a public hearing on the
annual budget.
(b) The authority shall provide notice of the public hearing on the annual budget by
publishing notice:
(i) at least once in a newspaper of general circulation within the state, 
at least
 one week
before the public hearing; and
(ii) on the Utah Public Notice Website created in Section 
63A-16-601
, [
for
] at least
one week immediately before the public hearing.
(c) The authority shall make the annual budget available for public inspection at least
three days before the date of the public hearing.
(5) The state auditor shall prescribe the budget forms and the categories to be contained
in each authority budget, including:
(a) revenues and expenditures for the budget year;
(b) legal fees; and
(c) administrative costs, including rent, supplies, and other materials, and salaries of
authority personnel.
(6) (a) Within 30 days after adopting an annual budget, the board shall file a copy of
the annual budget with the auditor of each county in which the authority jurisdictional land is
located, the State Tax Commission, the state auditor, the State Board of Education, and each
taxing entity that levies a tax on property from which the authority collects property tax
differential.
(b) The requirement of Subsection (6)(a) to file a copy of the annual budget with the
state as a taxing entity is met if the authority files a copy with the State Tax Commission and
the state auditor.
Section 15. Section 
17D-4-102
 is amended to read:
17D-4-102.
Definitions.
As used in this chapter:
(1) "Board" means the board of trustees of a public infrastructure district.
(2) "Creating entity" means the county, municipality, or development authority that
approves the creation of a public infrastructure district.
(3) "Development authority" means:
(a) the Utah Inland Port Authority created in Section
 11-58-201
; or
(b) the military installation development authority created in Section 
63H-1-201
.
(4) "District applicant" means the person proposing the creation of a public
infrastructure district.
(5) "Division" means a division of a public infrastructure district:
(a) that is relatively equal in number of eligible voters or potential eligible voters to all
other divisions within the public infrastructure district, taking into account existing or potential
developments which, when completed, would increase or decrease the population within the
public infrastructure district; and
(b) which a member of the board represents.
(6) "Governing document" means the document governing a public infrastructure
district to which the creating entity agrees before the creation of the public infrastructure
district, as amended from time to time, and subject to the limitations of Title 17B, Chapter 1,
Provisions Applicable to All Local Districts, and this chapter.
(7) (a) "Limited tax bond" means a bond:
(i) that is directly payable from and secured by ad valorem property taxes that are
levied:
(A) by a public infrastructure district that issues the bond; and
(B) on taxable property within the district;
(ii) that is a general obligation of the public infrastructure district; and
(iii) for which the ad valorem property tax levy for repayment of the bond does not
exceed the property tax levy rate limit established under Section 
17D-4-303
 for any fiscal year,
except as provided in Subsection 
17D-4-301
(8).
(b) "Limited tax bond" does not include:
(i) a short-term bond;
(ii) a tax and revenue anticipation bond; or
(iii) a special assessment bond.
(8) "Public infrastructure and improvements" means:
(a) [
publicly owned infrastructure and improvements, as
] 
the same as that term is
defined in Section 
11-58-102
, for a public infrastructure district created by the Utah Inland Port
Authority created in Section 
11-58-201
; and
(b) the same as that term is defined in Section 
63H-1-102
, for a public infrastructure
district created by the military installation development authority created in Section 
63H-1-201
.
Section 16. Section 
17D-4-203
 is amended to read:
17D-4-203.
Public infrastructure district powers.
A public infrastructure district shall have all of the authority conferred upon a local
district under Section 
17B-1-103
, and in addition a public infrastructure district may:
(1) issue negotiable bonds to pay:
(a) all or part of the costs of acquiring, acquiring an interest in, improving, or extending
any of the improvements, facilities, or property allowed under Section 
11-14-103
;
(b) capital costs of improvements in an energy assessment area, as defined in Section
11-42a-102
, and other related costs, against the funds that the public infrastructure district will
receive because of an assessment in an energy assessment area, as defined in Section
11-42a-102
;
(c) public improvements related to the provision of housing;
(d) capital costs related to public transportation; and
(e) for a public infrastructure district created by a development authority, the cost of
acquiring or financing public infrastructure and improvements[
, as defined in Section
63H-1-102
];
(2) enter into an interlocal agreement in accordance with Title 11, Chapter 13,
Interlocal Cooperation Act, provided that the interlocal agreement may not expand the powers
of the public infrastructure district, within the limitations of Title 11, Chapter 13, Interlocal
Cooperation Act, without the consent of the creating entity;
(3) acquire completed or partially completed improvements for fair market value as
reasonably determined by:
(a) the board;
(b) the creating entity, if required in the governing document; or
(c) a surveyor or engineer that a public infrastructure district employs or engages to
perform the necessary engineering services for and to supervise the construction or installation
of the improvements;
(4) contract with the creating entity for the creating entity to provide administrative
services on behalf of the public infrastructure district, when agreed to by both parties, in order
to achieve cost savings and economic efficiencies, at the discretion of the creating entity; and
(5) for a public infrastructure district created by a development authority:
(a) (i) operate and maintain public infrastructure and improvements the district
acquires or finances; and
(ii) use fees, assessments, or taxes to pay for the operation and maintenance of those
public infrastructure and improvements; and
(b) issue bonds under Title 11, Chapter 42, Assessment Area Act.
Section 17. Section 
35A-16-304
 is amended to read:
35A-16-304.
Homeless Shelter Cities Mitigation Restricted Account.
(1) As used in this section:
(a) "Annual local contribution" means:
(i) for a participating local government, the lesser of $200,000 or an amount equal to
1.8% of the participating local government's tax revenue distribution amount under Subsection
59-12-205
(2)(a)
(i)
 for the previous fiscal year; or
(ii) for an eligible municipality or a grant eligible entity that is certified in accordance
with Section 
35A-8-609
, $0. 
(b) "Eligible municipality" means the same as that term is defined in Section
35A-16-305
.
(c) "Grant eligible entity" means the same as that term is defined in Section
35A-16-306
.
(d) "Participating local government" means a county or municipality, as defined in
Section 
10-1-104
, that is not an eligible municipality or grant eligible entity as certified by the
department in accordance with Section 
35A-16-307
. 
(2) There is created a restricted account within the General Fund known as the
Homeless Shelter Cities Mitigation Restricted Account.
(3) The account shall be funded by:
(a) local sales and use tax revenue deposited into the account in accordance with
Section 
59-12-205
; and
(b) interest earned on the account.
(4) (a) The office shall administer the account.
(b) Subject to appropriation, the office shall disburse funds from the account to:
(i) eligible municipalities in accordance with Sections 
35A-16-305
 and 
63J-1-802
; and
(ii) grant eligible entities in accordance with Sections 
35A-16-306
 and 
63J-1-802
.
Section 18. Section 
41-6a-2003
 is amended to read:
41-6a-2003.
Automatic license plate reader systems -- Restrictions.
(1) Except as provided in Subsection (2), a governmental entity may not use an
automatic license plate reader system.
(2) An automatic license plate reader system may be used:
(a) by a law enforcement agency for the purpose of protecting public safety, conducting
criminal investigations, or ensuring compliance with local, state, and federal laws;
(b) by a governmental parking enforcement entity for the purpose of enforcing state
and local parking laws;
(c) by a parking enforcement entity for regulating the use of a parking facility;
(d) for the purpose of controlling access to a secured area;
(e) for the purpose of collecting an electronic toll;
(f) for the purpose of enforcing motor carrier laws;
(g) by a public transit district for the purpose of assessing parking needs and
conducting a travel pattern analysis; [
or
]
(h) by an institution of higher education within the state system of higher education as
described in Section 
53B-1-102
:
(i) for a purpose described in Subsections (2)(a) through (d); or
(ii) if the data collected is anonymized, for research and educational purposes[
.
]
; or
(i) by the Utah Inland Port Authority, created in Section 
11-58-201
, or by a contractor
of the Utah Inland Port Authority with the approval of the board of the Utah Inland Port
Authority, if:
(i) the automatic license plate reader system is used only within a project area, as
defined in Section 
11-58-102
, of the Utah Inland Port Authority;
(ii) the purpose of using the automatic license plate reader system is to improve supply
chain efficiency or the efficiency of the movement of goods by analyzing and researching data
related to commercial vehicle traffic; and
(iii) specific license plate information is anonymized.
Section 19. Section 
59-12-205
 is amended to read:
59-12-205.
Ordinances to conform with statutory amendments -- Distribution of
tax revenue -- Determination of population.
(1) To maintain in effect sales and use tax ordinances adopted pursuant to Section
59-12-204
, a county, city, or town shall adopt amendments to the county's, city's, or town's
sales and use tax ordinances:
(a) within 30 days of the day on which the state makes an amendment to an applicable
provision of Part 1, Tax Collection; and
(b) as required to conform to the amendments to Part 1, Tax Collection.
(2) 
(a)
 Except as provided in Subsections (3) through (5) and subject to Subsection (6):
[
(a)
] 
(i)
 50% of each dollar collected from the sales and use tax authorized by this part
shall be distributed to each county, city, and town on the basis of the percentage that the
population of the county, city, or town bears to the total population of all counties, cities, and
towns in the state; and
[
(b) (i)
] 
(ii) (A)
 except as provided in Subsections [
(2)(b)(ii) and (iii)
] 
(2)(a)(ii)(B) and
(C)
, 50% of each dollar collected from the sales and use tax authorized by this part shall be
distributed to each county, city, and town on the basis of the location of the transaction as
determined under Sections 
59-12-211
 through 
59-12-215
;
[
(ii)
] 
(B)
 50% of each dollar collected from the sales and use tax authorized by this part
within a project area described in a project area plan adopted by the military installation
development authority under Title 63H, Chapter 1, Military Installation Development
Authority Act, shall be distributed to the military installation development authority created in
Section 
63H-1-201
; and
[
(iii)
] 
(C) beginning July 1, 2022,
 50% of each dollar collected from the sales and use
tax authorized by this part within a project area under Title 11, Chapter 58, Utah Inland Port
Authority Act, shall be distributed to the Utah Inland Port Authority, created in Section
11-58-201
.
(b) Subsection (2)(a)(ii)(C) does not apply to sales and use tax revenue collected before
July 1, 2022.
(3) (a) Beginning on July 1, 2017, and ending on June 30, 2022, the commission shall
distribute annually to a county, city, or town the distribution required by this Subsection (3) if:
(i) the county, city, or town is a:
(A) county of the third, fourth, fifth, or sixth class;
(B) city of the fifth class; or
(C) town;
(ii) the county, city, or town received a distribution under this section for the calendar
year beginning on January 1, 2008, that was less than the distribution under this section that the
county, city, or town received for the calendar year beginning on January 1, 2007;
(iii) (A) for a county described in Subsection (3)(a)(i)(A), the county had located
within the unincorporated area of the county for one or more days during the calendar year
beginning on January 1, 2008, an establishment described in NAICS Industry Group 2121,
Coal Mining, or NAICS Code 213113, Support Activities for Coal Mining, of the 2002 North
American Industry Classification System of the federal Executive Office of the President,
Office of Management and Budget; or
(B) for a city described in Subsection (3)(a)(i)(B) or a town described in Subsection
(3)(a)(i)(C), the city or town had located within the city or town for one or more days during
the calendar year beginning on January 1, 2008, an establishment described in NAICS Industry
Group 2121, Coal Mining, or NAICS Code 213113, Support Activities for Coal Mining, of the
2002 North American Industry Classification System of the federal Executive Office of the
President, Office of Management and Budget; and
(iv) (A) for a county described in Subsection (3)(a)(i)(A), at least one establishment
described in Subsection (3)(a)(iii)(A) located within the unincorporated area of the county for
one or more days during the calendar year beginning on January 1, 2008, was not the holder of
a direct payment permit under Section 
59-12-107.1
; or
(B) for a city described in Subsection (3)(a)(i)(B) or a town described in Subsection
(3)(a)(i)(C), at least one establishment described in Subsection (3)(a)(iii)(B) located within a
city or town for one or more days during the calendar year beginning on January 1, 2008, was
not the holder of a direct payment permit under Section 
59-12-107.1
.
(b) The commission shall make the distribution required by this Subsection (3) to a
county, city, or town described in Subsection (3)(a):
(i) from the distribution required by Subsection (2)(a); and
(ii) before making any other distribution required by this section.
(c) (i) For purposes of this Subsection (3), the distribution is the amount calculated by
multiplying the fraction calculated under Subsection (3)(c)(ii) by $333,583.
(ii) For purposes of Subsection (3)(c)(i):
(A) the numerator of the fraction is the difference calculated by subtracting the
distribution a county, city, or town described in Subsection (3)(a) received under this section
for the calendar year beginning on January 1, 2008, from the distribution under this section that
the county, city, or town received for the calendar year beginning on January 1, 2007; and
(B) the denominator of the fraction is $333,583.
(d) A distribution required by this Subsection (3) is in addition to any other distribution
required by this section.
(4) (a) As used in this Subsection (4):
(i) "Eligible county, city, or town" means a county, city, or town that:
(A) for fiscal year 2012-13, received a tax revenue distribution under Subsection (4)(b)
equal to the amount described in Subsection (4)(b)(ii); and
(B) does not impose a sales and use tax under Section 
59-12-2103
 on or before July 1,
2016.
(ii) "Minimum tax revenue distribution" means the total amount of tax revenue
distributions an eligible county, city, or town received from a tax imposed in accordance with
this part for fiscal year 2004-05.
(b) An eligible county, city, or town shall receive a tax revenue distribution for a tax
imposed in accordance with this part equal to the greater of:
(i) the payment required by Subsection (2); or
(ii) the minimum tax revenue distribution.
(5) (a) For purposes of this Subsection (5):
(i) "Annual local contribution" means the lesser of $200,000 or an amount equal to
1.8% of the participating local government's tax revenue distribution amount under Subsection
(2)(a) for the previous fiscal year.
(ii) "Participating local government" means a county or municipality, as defined in
Section 
10-1-104
, that is not an eligible municipality or grant eligible entity certified in
accordance with Section 
35A-16-307
.
(b) For revenue collected from the tax authorized by this part that is distributed on or
after January 1, 2019, the commission, before making a tax revenue distribution under
Subsection (2)(a) to a participating local government, shall:
(i) subtract one-twelfth of the annual local contribution for each participating local
government from the participating local government's tax revenue distribution under
Subsection (2)(a); and
(ii) deposit the amount described in Subsection (5)(b)(i) into the Homeless Shelter
Cities Mitigation Restricted Account created in Section 
35A-16-304
.
(c) For a participating local government that qualifies to receive a distribution
described in Subsection (3) or (4), the commission shall apply the provisions of this Subsection
(5) after the commission applies the provisions of Subsections (3) and (4).
(6) (a) Population figures for purposes of this section shall be based on the most recent
official census or census estimate of the United States Bureau of the Census.
(b) If a needed population estimate is not available from the United States Bureau of
the Census, population figures shall be derived from the estimate from the Utah Population
Committee.
(c) The population of a county for purposes of this section shall be determined only
from the unincorporated area of the county.
Section 20. Section 
63A-3-401.5
 is amended to read:
63A-3-401.5.
Definitions.
As used in this part:
(1) "Borrower" means a person who borrows money from an infrastructure fund for an
infrastructure project.
(2) "Independent political subdivision" means:
(a) the Utah Inland Port Authority created in Section 
11-58-201
;
(b) the Point of the Mountain State Land Authority created in Section 
11-59-201
; or
(c) the Military Installation Development Authority created in Section 
63H-1-201
.
(3) "Infrastructure fund" means a fund created in Subsection 
63A-3-402
(1).
(4) "Infrastructure loan" means a loan of infrastructure fund money to finance an
infrastructure project.
(5) "Infrastructure project" means a project to acquire, construct, reconstruct,
rehabilitate, equip, or improve public infrastructure and improvements:
(a) within a project area; or
(b) outside a project area, if the respective loan approval committee determines by
resolution that the public infrastructure and improvements are of benefit to the project area.
(6) "Inland port" means the same as that term is defined in Section 
11-58-102
.
(7) "Inland port fund" means the infrastructure fund created in Subsection
63A-3-402
(1)(a).
(8) "Military development fund" means the infrastructure fund created in Subsection
63A-3-402
(1)(c).
(9) "Point of the mountain fund" means the infrastructure fund created in Subsection
63A-3-402
(1)(b).
(10) "Project area" means:
(a) the same as that term is defined in Section 
11-58-102
, for purposes of an
infrastructure loan from the inland port fund;
(b) the point of the mountain state land, as defined in Section 
11-59-102
, for purposes
of an infrastructure loan from the point of the mountain fund; and
(c) the same as that term is defined in Section 
63H-1-102
, for purposes of an
infrastructure loan from the military development fund.
(11) "Property tax revenue" means:
(a) property tax differential, as defined in Section 
11-58-102
, for purposes of an
infrastructure loan from the inland port fund; or
(b) property tax allocation, as defined in Section 
63H-1-102
, for purposes of an
infrastructure loan from the military development fund.
(12) "Public infrastructure and improvements":
(a) 
means the same as that term is defined in Section 
11-58-102
,
 for purposes of an
infrastructure loan from the inland port fund[
:
]
; and
[
(i) means publicly owned infrastructure and improvements, as defined in Section
11-58-102
; and
]
[
(ii) includes an inland port facility; and
]
(b) means the same as that term is defined in Section 
63H-1-102
, for purposes of an
infrastructure loan from the military development fund.
(13) "Respective loan approval committee" means:
(a) the committee created in Section 
11-58-106
, for purposes of an infrastructure loan
from the inland port fund;
(b) the committee created in Section 
11-59-104
, for purposes of an infrastructure loan
from the point of the mountain fund; and
(c) the committee created in Section 
63H-1-104
, for purposes of an infrastructure loan
from the military development fund.
Section 21. Section 
63H-1-102
 is amended to read:
63H-1-102.
Definitions.
As used in this chapter:
(1) "Authority" means the Military Installation Development Authority, created under
Section 
63H-1-201
.
(2) "Base taxable value" means:
(a) for military land or other land that was exempt from a property tax at the time that a
project area was created that included the military land or other land, a taxable value of zero; or
(b) for private property that is included in a project area, the taxable value of the
property within any portion of the project area, as designated by board resolution, from which
the property tax allocation will be collected, as shown upon the assessment roll last equalized:
(i) before the year in which the authority creates the project area; or
(ii) before the year in which the project area plan is amended, for property added to a
project area by an amendment to a project area plan.
(3) "Board" means the governing body of the authority created under Section
63H-1-301
.
(4) (a) "Dedicated tax collections" means the property tax that remains after the
authority is paid the property tax allocation the authority is entitled to receive under Subsection
63H-1-501
(1), for a property tax levied by:
(i) a county, including a district the county has established under Subsection 
17-34-3
(2)
to levy a property tax under Title 17, Chapter 34, Municipal-Type Services to Unincorporated
Areas; or
(ii) an included municipality.
(b) "Dedicated tax collections" does not include a county additional property tax or
multicounty assessing and collecting levy imposed in accordance with Section 
59-2-1602
.
(5) "Develop" means to engage in development.
(6) (a) "Development" means an activity occurring:
(i) on land within a project area that is owned or operated by the military, the authority,
another public entity, or a private entity; or
(ii) on military land associated with a project area.
(b) "Development" includes the demolition, construction, reconstruction, modification,
expansion, maintenance, operation, or improvement of a building, facility, utility, landscape,
parking lot, park, trail, or recreational amenity.
(7) "Development project" means a project to develop land within a project area.
(8) "Elected member" means a member of the authority board who:
(a) is a mayor or member of a legislative body appointed under Subsection
63H-1-302
(2)(b); or
(b) (i) is appointed to the authority board under Subsection 
63H-1-302
(2)(a) or (3); and
(ii) concurrently serves in an elected state, county, or municipal office.
(9) "Included municipality" means a municipality, some or all of which is included
within a project area.
(10) (a) "Military" means a branch of the armed forces of the United States, including
the Utah National Guard.
(b) "Military" includes, in relation to property, property that is occupied by the military
and is owned by the government of the United States or the state.
(11) "Military Installation Development Authority accommodations tax" or "MIDA
accommodations tax" means the tax imposed under Section 
63H-1-205
.
(12) "Military Installation Development Authority energy tax" or "MIDA energy tax"
means the tax levied under Section 
63H-1-204
.
(13) "Military land" means land or a facility, including leased land or a leased facility,
that is part of or affiliated with a base, camp, post, station, yard, center, or installation under the
jurisdiction of the United States Department of Defense, the United States Department of
Veterans Affairs, or the Utah National Guard.
(14) "Municipal energy tax" means a municipal energy sales and use tax under Title
10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act.
(15) "Municipal services revenue" means revenue that the authority:
(a) collects from the authority's:
(i) levy of a municipal energy tax;
(ii) levy of a MIDA energy tax;
(iii) levy of a telecommunications tax;
(iv) imposition of a transient room tax; and
(v) imposition of a resort communities tax;
(b) receives under Subsection 
59-12-205
(2)[
(b)(ii)
]
(a)(ii)(B)
; and
(c) receives as dedicated tax collections.
(16) "Municipal tax" means a municipal energy tax, MIDA energy tax, MIDA
accommodations tax, telecommunications tax, transient room tax, or resort communities tax.
(17) "Project area" means the land, including military land, whether consisting of a
single contiguous area or multiple noncontiguous areas, described in a project area plan or draft
project area plan, where the development project set forth in the project area plan or draft
project area plan takes place or is proposed to take place.
(18) "Project area budget" means a multiyear projection of annual or cumulative
revenues and expenses and other fiscal matters pertaining to a project area that includes:
(a) the base taxable value of property in the project area;
(b) the projected property tax allocation expected to be generated within the project
area;
(c) the amount of the property tax allocation expected to be shared with other taxing
entities;
(d) the amount of the property tax allocation expected to be used to implement the
project area plan, including the estimated amount of the property tax allocation to be used for
land acquisition, public improvements, infrastructure improvements, and loans, grants, or other
incentives to private and public entities;
(e) the property tax allocation expected to be used to cover the cost of administering
the project area plan;
(f) if the property tax allocation is to be collected at different times or from different
portions of the project area, or both:
(i) (A) the tax identification numbers of the parcels from which the property tax
allocation will be collected; or
(B) a legal description of the portion of the project area from which the property tax
allocation will be collected; and
(ii) an estimate of when other portions of the project area will become subject to
collection of the property tax allocation; and
(g) for property that the authority owns or leases and expects to sell or sublease, the
expected total cost of the property to the authority and the expected selling price or lease
payments.
(19) "Project area plan" means a written plan that, after the plan's effective date, guides
and controls the development within a project area.
(20) (a) "Property tax" includes a privilege tax imposed under Title 59, Chapter 4,
Privilege Tax, except as described in Subsection (20)(b), and each levy on an ad valorem basis
on tangible or intangible personal or real property.
(b) "Property tax" does not include a privilege tax on the taxable value:
(i) attributable to a portion of a facility leased to the military for a calendar year when:
(A) a lessee of military land has constructed a facility on the military land that is part of
a project area;
(B) the lessee leases space in the facility to the military for the entire calendar year; and
(C) the lease rate paid by the military for the space is $1 or less for the entire calendar
year, not including any common charges that are reimbursements for actual expenses; or
(ii) of the following property owned by the authority, regardless of whether the
authority enters into a long-term operating agreement with a privately owned entity under
which the privately owned entity agrees to operate the property:
(A) a hotel;
(B) a hotel condominium unit in a condominium project, as defined in Section 
57-8-3
;
and
(C) a commercial condominium unit in a condominium project, as defined in Section
57-8-3
.
(21) "Property tax allocation" means the difference between:
(a) the amount of property tax revenues generated each tax year by all taxing entities
from the area within a project area designated in the project area plan as the area from which
the property tax allocation is to be collected, using the current assessed value of the property;
and
(b) the amount of property tax revenues that would be generated from that same area
using the base taxable value of the property.
(22) "Public entity" means:
(a) the state, including each department or agency of the state; or
(b) a political subdivision of the state, including a county, city, town, school district,
local district, special service district, or interlocal cooperation entity, including the authority.
(23) (a) " Public infrastructure and improvements" means infrastructure,
improvements, facilities, or buildings that:
(i) benefit the public, the authority, the military, or military-related entities; and
(ii) (A) are publicly owned by the military, the authority, a public infrastructure district
under Title 17D, Chapter 4, Public Infrastructure District Act, or another public entity;
(B) are owned by a utility; or
(C) are publicly maintained or operated by the military, the authority, or another public
entity.
(b) "Public infrastructure and improvements" also means infrastructure, improvements,
facilities, or buildings that:
(i) are privately owned; and
(ii) provide a substantial benefit, as determined by the board, to the development and
operation of a project area.
(c) "Public infrastructure and improvements" includes:
(i) facilities, lines, or systems that harness geothermal energy or provide water, chilled
water, steam, sewer, storm drainage, natural gas, electricity, or telecommunications;
(ii) streets, roads, curb, gutter, sidewalk, walkways, tunnels, solid waste facilities,
parking facilities, public transportation facilities, and parks, trails, and other recreational
facilities;
(iii) snowmaking equipment and related improvements that can also be used for water
storage or fire suppression purposes; and
(iv) a building and related improvements for occupancy by the public, the authority, the
military, or military-related entities.
(24) "Remaining municipal services revenue" means municipal services revenue that
the authority has not:
(a) spent during the authority's fiscal year for municipal services as provided in
Subsection 
63H-1-503
(1); or
(b) redirected to use in accordance with Subsection 
63H-1-502
(3).
(25) "Resort communities tax" means a sales and use tax imposed under Section
59-12-401
.
(26) "Taxable value" means the value of property as shown on the last equalized
assessment roll.
(27) "Taxing entity":
(a) means a public entity that levies a tax on property within a project area; and
(b) does not include a public infrastructure district that the authority creates under Title
17D, Chapter 4, Public Infrastructure District Act.
(28) "Telecommunications tax" means a telecommunications license tax under Title
10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act.
(29) "Transient room tax" means a tax under Section 
59-12-352
.
Section 22. Section 
63H-1-502
 is amended to read:
63H-1-502.
Allowable uses of property tax allocation and other funds.
(1) Other than municipal services revenue, the authority may use the property tax
allocation and other funds available to the authority:
(a) for any purpose authorized under this chapter;
(b) for administrative, overhead, legal, and other operating expenses of the authority;
(c) to pay for, including financing or refinancing, all or part of the development of land
within the project area from which the property tax allocation or other funds were collected,
including assisting the ongoing operation of a development or facility within the project area;
(d) to pay the cost of the installation and construction of public infrastructure and
improvements within the project area from which the property tax allocation funds were
collected;
(e) to pay the cost of the installation and construction of public infrastructure and
improvements, including a passenger ropeway, as defined in Section 
72-11-102
, outside the
project area if:
(i) the authority board determines by resolution that the infrastructure and
improvements are of benefit to the project area; and
(ii) for a passenger ropeway, at least one end of the ropeway is located within the
project area;
(f) to pay the principal and interest on bonds issued by the authority;
(g) to pay for a morale, welfare, and recreation program of a United States Air Force
base in Utah, affiliated with the project area from which the funds were collected; or
(h) to pay for the promotion of:
(i) a development within the project area; or
(ii) amenities outside of the project area that are associated with a development within
the project area.
(2) The authority may use revenue generated from the authority's operation of public
infrastructure and improvements to:
(a) operate and maintain the public infrastructure and improvements; and
(b) pay for authority operating expenses, including administrative, overhead, and legal
expenses.
(3) For purposes of Subsection (1), the authority may use:
(a) tax revenue received under Subsection 
59-12-205
(2)[
(b)(ii)
]
(a)(ii)(B)
;
(b) resort communities tax revenue;
(c) MIDA energy tax revenue, received under Section 
63H-1-204
, which does not have
to be used in the project area where the revenue was generated;
(d) MIDA accommodations tax revenue, received under Section 
63H-1-205
;
(e) transient room tax revenue generated from hotels located on authority-owned or
other public-entity-owned property;
(f) municipal energy tax revenue generated from hotels located on authority-owned or
other public-entity-owned property; or
(g) payments received under Subsection 
63H-1-501
(4).
(4) The determination of the authority board under Subsection (1)(e) regarding benefit
to the project area is final.
Section 23. 
Repealer.
This bill repeals:
Section 
11-58-101
,
Title.
Section 24. 
Effective date.
If approved by two-thirds of all the members elected to each house, this bill takes effect
upon approval by the governor, or the day following the constitutional time limit of Utah
Constitution, Article VII, Section 8, without the governor's signature, or in the case of a veto,
the date of veto override.