Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 330 First Substitute (2024GS)

Sponsor

Rep. Teuscher, J.

Final action

Governor Signed 3/18/2024

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• provides for unincorporated islands within a county of the first class to be automatically annexed to an adjoining municipality;
• allows a community council area within a county of the first class to incorporate as a municipality;
• modifies provisions relating to a feasibility study for a proposed incorporation; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

UNINCORPORATED AREAS AMENDMENTS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Jordan D. Teuscher
Senate Sponsor: 
 Kirk A. Cullimore
LONG TITLE
General Description:
This bill modifies provisions relating to unincorporated areas of a county of the first
class.
Highlighted Provisions:
This bill:
▸ provides for unincorporated islands within a county of the first class to be
automatically annexed to an adjoining municipality;
▸ allows a community council area within a county of the first class to incorporate as
a municipality;
▸ modifies provisions relating to a feasibility study for a proposed incorporation; 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:
10-2-403
, as last amended by Laws of Utah 2023, Chapters 16, 34 and 478
10-2-425
 (Superseded 07/01/24)
, as last amended by Laws of Utah 2023, Chapters 16,
327
10-2-425
 (Effective 07/01/24)
, as last amended by Laws of Utah 2023, Chapters 16,
310 and 327
10-2a-102
, as last amended by Laws of Utah 2023, Chapter 224
10-2a-103
, as last amended by Laws of Utah 2023, Chapter 224
10-2a-201.5
, as last amended by Laws of Utah 2023, Chapter 224
10-2a-202
, as last amended by Laws of Utah 2023, Chapter 224
10-2a-204.5
, as renumbered and amended by Laws of Utah 2023, Chapter 224
10-2a-205
, as last amended by Laws of Utah 2023, Chapters 16, 224
10-2a-210
, as last amended by Laws of Utah 2023, Chapters 16, 224 and 435
17B-1-414
, as last amended by Laws of Utah 2023, Chapter 15
17B-1-512
, as last amended by Laws of Utah 2023, Chapter 15
ENACTS:
10-2-429
, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
10-2-403
 is amended to read:
10-2-403.
Annexation petition -- Requirements -- Notice required before filing.
(1) Except as provided in Section 
10-2-418
and except for an automatic annexation
under Section 
10-2-429
, the process to annex an unincorporated area to a municipality is
initiated by a petition as provided in this section.
(2) (a) (i) Before filing a petition under Subsection (1), the person or persons intending
to file a petition shall:
(A) file with the city recorder or town clerk of the proposed annexing municipality a
notice of intent to file a petition; and
(B) send a copy of the notice of intent to each affected entity.
(ii) Each notice of intent under Subsection (2)(a)(i) shall include an accurate map of the
area that is proposed to be annexed.
(b) (i) Subject to Subsection (2)(b)(ii), the county in which the area proposed to be
annexed is located shall:
(A) mail the notice described in Subsection (2)(b)(iii) to:
(I) each owner of real property located within the area proposed to be annexed; and
(II) each owner of real property located within 300 feet of the area proposed to be
annexed; and
(B) send to the proposed annexing municipality a copy of the notice and a certificate
indicating that the notice has been mailed as required under Subsection (2)(b)(i)(A).
(ii) The county shall mail the notice required under Subsection (2)(b)(i)(A) within 20
days after receiving from the person or persons who filed the notice of intent:
(A) a written request to mail the required notice; and
(B) payment of an amount equal to the county's expected actual cost of mailing the
notice.
(iii) Each notice required under Subsection (2)(b)(i)(A) shall:
(A) be in writing;
(B) state, in bold and conspicuous terms, substantially the following:
"Attention: Your property may be affected by a proposed annexation.
Records show that you own property within an area that is intended to be included in a
proposed annexation to (state the name of the proposed annexing municipality) or that is within
300 feet of that area. If your property is within the area proposed for annexation, you may be
asked to sign a petition supporting the annexation. You may choose whether to sign the
petition. By signing the petition, you indicate your support of the proposed annexation. If you
sign the petition but later change your mind about supporting the annexation, you may
withdraw your signature by submitting a signed, written withdrawal with the recorder or clerk
of (state the name of the proposed annexing municipality) within 30 days after (state the name
of the proposed annexing municipality) receives notice that the petition has been certified.
There will be no public election on the proposed annexation because Utah law does not
provide for an annexation to be approved by voters at a public election. Signing or not signing
the annexation petition is the method under Utah law for the owners of property within the area
proposed for annexation to demonstrate their support of or opposition to the proposed
annexation.
You may obtain more information on the proposed annexation by contacting (state the
name, mailing address, telephone number, and email address of the official or employee of the
proposed annexing municipality designated to respond to questions about the proposed
annexation), (state the name, mailing address, telephone number, and email address of the
county official or employee designated to respond to questions about the proposed annexation),
or (state the name, mailing address, telephone number, and email address of the person who
filed the notice of intent under Subsection (2)(a)(i)(A), or, if more than one person filed the
notice of intent, one of those persons). Once filed, the annexation petition will be available for
inspection and copying at the office of (state the name of the proposed annexing municipality)
located at (state the address of the municipal offices of the proposed annexing municipality).";
and
(C) be accompanied by an accurate map identifying the area proposed for annexation.
(iv) A county may not mail with the notice required under Subsection (2)(b)(i)(A) any
other information or materials related or unrelated to the proposed annexation.
(c) (i) After receiving the certificate from the county as provided in Subsection
(2)(b)(i)(B), the proposed annexing municipality shall, upon request from the person or persons
who filed the notice of intent under Subsection (2)(a)(i)(A), provide an annexation petition for
the annexation proposed in the notice of intent.
(ii) An annexation petition provided by the proposed annexing municipality may be
duplicated for circulation for signatures.
(3) Each petition under Subsection (1) shall:
(a) be filed with the applicable city recorder or town clerk of the proposed annexing
municipality;
(b) contain the signatures of, if all the real property within the area proposed for
annexation is owned by a public entity other than the federal government, the owners of all the
publicly owned real property, or the owners of private real property that:
(i) is located within the area proposed for annexation;
(ii) (A) subject to Subsection (3)(b)(ii)(C), covers a majority of the private land area
within the area proposed for annexation;
(B) covers 100% of all of the rural real property within the area proposed for
annexation; and
(C) covers 100% of all of the private land area within the area proposed for annexation
or a migratory bird production area created under Title 23A, Chapter 13, Migratory Bird
Production Area; and
(iii) is equal in value to at least 1/3 of the value of all private real property within the
area proposed for annexation;
(c) be accompanied by:
(i) an accurate and recordable map, prepared by a licensed surveyor in accordance with
Section 
17-23-20
, of the area proposed for annexation; and
(ii) a copy of the notice sent to affected entities as required under Subsection
(2)(a)(i)(B) and a list of the affected entities to which notice was sent;
(d) contain on each signature page a notice in bold and conspicuous terms that states
substantially the following:
"Notice:
• There will be no public election on the annexation proposed by this petition because
Utah law does not provide for an annexation to be approved by voters at a public election.
• If you sign this petition and later decide that you do not support the petition, you may
withdraw your signature by submitting a signed, written withdrawal with the recorder or clerk
of (state the name of the proposed annexing municipality). If you choose to withdraw your
signature, you shall do so no later than 30 days after (state the name of the proposed annexing
municipality) receives notice that the petition has been certified.";
(e) if the petition proposes a cross-county annexation, as defined in Section 
10-2-402.5
,
be accompanied by a copy of the resolution described in Subsection 
10-2-402.5
(4)(a)(iii)(A);
and
(f) designate up to five of the signers of the petition as sponsors, one of whom shall be
designated as the contact sponsor, and indicate the mailing address of each sponsor.
(4) A petition under Subsection (1) may not propose the annexation of all or part of an
area proposed for annexation to a municipality in a previously filed petition that has not been
denied, rejected, or granted.
(5) If practicable and feasible, the boundaries of an area proposed for annexation shall
be drawn:
(a) along the boundaries of existing special districts and special service districts for
sewer, water, and other services, along the boundaries of school districts whose boundaries
follow city boundaries or school districts adjacent to school districts whose boundaries follow
city boundaries, and along the boundaries of other taxing entities;
(b) to eliminate islands and peninsulas of territory that is not receiving municipal-type
services;
(c) to facilitate the consolidation of overlapping functions of local government;
(d) to promote the efficient delivery of services; and
(e) to encourage the equitable distribution of community resources and obligations.
(6) On the date of filing, the petition sponsors shall deliver or mail a copy of the
petition to the clerk of the county in which the area proposed for annexation is located.
(7) A property owner who signs an annexation petition may withdraw the owner's
signature by filing a written withdrawal, signed by the property owner, with the city recorder or
town clerk no later than 30 days after the municipal legislative body's receipt of the notice of
certification under Subsection 
10-2-405
(2)(c)(i).
Section 2. Section 
10-2-425 (Superseded 07/01/24)
 is amended to read:
10-2-425 (Superseded 07/01/24).
Filing of notice and plat -- Recording and notice
requirements -- Effective date of annexation or boundary adjustment.
(1) [
The
] 
As used in this section:
(a) "Annexation action" means:
(i) the enactment of an ordinance annexing an unincorporated area;
(ii) an election approving an annexation under Section 
10-2a-404
;
(iii) the enactment of an ordinance approving a boundary adjustment by each of the
municipalities involved in the boundary adjustment; or
(iv) an automatic annexation under Section 
10-2-429
.
(b) "Applicable legislative body" means:
(i) the
 legislative body of each municipality that enacts an ordinance under this part
approving the annexation of an unincorporated area or the adjustment of a boundary[
, or
]
;
(ii)
 the legislative body of an eligible city, as defined in Section 
10-2a-403
, that
annexes an unincorporated island upon the results of an election held in accordance with
Section 
10-2a-404
[
,
]
; or
(iii) the legislative body of a municipality to which an unincorporated island is
automatically annexed under Section 
10-2-429
.
(2) An applicable legislative body
 shall:
(a) within 60 days after [
enacting the ordinance or the day of the election or, in the case
of a boundary adjustment, within 60 days after each of the municipalities involved in the
boundary adjustment has enacted an ordinance
] 
an annexation action
, file with the lieutenant
governor:
(i) a notice of an impending boundary action, as defined in Section 
67-1a-6.5
, that
meets the requirements of Subsection 
67-1a-6.5
(3); and
(ii) a copy of an approved final local entity plat, as defined in Section 
67-1a-6.5
;
(b) upon the lieutenant governor's issuance of a certificate of annexation or boundary
adjustment, as the case may be, under Section 
67-1a-6.5
:
(i) if the annexed area or area subject to the boundary adjustment is located within the
boundary of a single county, submit to the recorder of that county the original notice of an
impending boundary action, the original certificate of annexation or boundary adjustment, the
original approved final local entity plat, and a certified copy of the ordinance approving the
annexation or boundary adjustment; or
(ii) if the annexed area or area subject to the boundary adjustment is located within the
boundaries of more than a single county:
(A) submit to the recorder of one of those counties the original notice of impending
boundary action, the original certificate of annexation or boundary adjustment, and the original
approved final local entity plat;
(B) submit to the recorder of each other county a certified copy of the documents listed
in Subsection (1)(b)(ii)(A); and
(C) submit a certified copy of the ordinance approving the annexation or boundary
adjustment to each county described in Subsections (1)(b)(ii)(A) and (B); and
(c) concurrently with Subsection (1)(b):
(i) send notice of the annexation or boundary adjustment to each affected entity; and
(ii) in accordance with Section 
26B-4-168
, file with the Department of Health and
Human Services:
(A) a certified copy of the ordinance approving the annexation of an unincorporated
area or the adjustment of a boundary
, if applicable
; and
(B) a copy of the approved final local entity plat.
[
(2)
] 
(3)
 If an annexation or boundary adjustment under this part or Chapter 2a, Part 4,
Incorporation of Metro Townships and Unincorporated Islands in a County of the First Class
on and after May 12, 2015, also causes an automatic annexation to a special district under
Section 
17B-1-416
 or an automatic withdrawal from a special district under Subsection
17B-1-502
(2), the municipal legislative body shall, as soon as practicable after the lieutenant
governor issues a certificate of annexation or boundary adjustment under Section 
67-1a-6.5
,
send notice of the annexation or boundary adjustment to the special district to which the
annexed area is automatically annexed or from which the annexed area is automatically
withdrawn.
[
(3)
] 
(4)
 Each notice required under Subsection (1) relating to an annexation or
boundary adjustment shall state the effective date of the annexation or boundary adjustment, as
determined under Subsection [
(4)
] 
(5)
.
[
(4)
] 
(5)
 An annexation or boundary adjustment under this part is completed and takes
effect:
(a) for the annexation of or boundary adjustment affecting an area located in a county
of the first class, except for an annexation under Section 
10-2-418
:
(i) July 1 following the lieutenant governor's issuance under Section 
67-1a-6.5
 of a
certificate of annexation or boundary adjustment if:
(A) the certificate is issued during the preceding November 1 through April 30; and
(B) the requirements of Subsection (1) are met before that July 1; or
(ii) January 1 following the lieutenant governor's issuance under Section 
67-1a-6.5
 of a
certificate of annexation or boundary adjustment if:
(A) the certificate is issued during the preceding May 1 through October 31; and
(B) the requirements of Subsection (1) are met before that January 1; and
(b) subject to Subsection [
(5)
] 
(6)
, for all other annexations and boundary adjustments,
the date of the lieutenant governor's issuance, under Section 
67-1a-6.5
, of a certificate of
annexation or boundary adjustment.
[
(5)
] 
(6)
 If an annexation of an unincorporated island is based upon the results of an
election held in accordance with Section 
10-2a-404
:
(a) the county and the annexing municipality may agree to a date on which the
annexation is complete and takes effect; and
(b) the lieutenant governor shall issue, under Section 
67-1a-6.5
, a certification of
annexation on the date agreed to under Subsection [
(5)(a)
] 
(6)(a)
.
[
(6)
] 
(7)
 (a) As used in this Subsection [
(6)
] 
(7)
:
(i) "Affected area" means:
(A) in the case of an annexation, the annexed area; and
(B) in the case of a boundary adjustment, any area that, as a result of the boundary
adjustment, is moved from within the boundary of one municipality to within the boundary of
another municipality.
(ii) "Annexing municipality" means:
(A) in the case of an annexation, the municipality that annexes an unincorporated area
or the municipality to which an unincorporated island is automatically annexed under Section
10-2-429
; and
(B) in the case of a boundary adjustment, a municipality whose boundary includes an
affected area as a result of a boundary adjustment.
(b) The effective date of an annexation or boundary adjustment for purposes of
assessing property within an affected area is governed by Section 
59-2-305.5
.
(c) Until the documents listed in Subsection [
(1)(b)(i)
] 
(2)(b)(i)
 are recorded in the
office of the recorder of each county in which the property is located, a municipality may not:
(i) levy or collect a property tax on property within an affected area;
(ii) levy or collect an assessment on property within an affected area; or
(iii) charge or collect a fee for service provided to property within an affected area,
unless the municipality was charging and collecting the fee within that area immediately before
annexation.
Section 3. Section 
10-2-425 (Effective 07/01/24)
 is amended to read:
10-2-425 (Effective 07/01/24).
Filing of notice and plat -- Recording and notice
requirements -- Effective date of annexation or boundary adjustment.
(1) [
The
] 
As used in this section:
(a) "Annexation action" means:
(i) the enactment of an ordinance annexing an unincorporated area;
(ii) an election approving an annexation under Section 
10-2a-404
;
(iii) the enactment of an ordinance approving a boundary adjustment by each of the
municipalities involved in the boundary adjustment; or
(iv) an automatic annexation under Section 
10-2-429
.
(b) "Applicable legislative body" means:
(i) the
 legislative body of each municipality that enacts an ordinance under this part
approving the annexation of an unincorporated area or the adjustment of a boundary[
, or
]
;
(ii)
 the legislative body of an eligible city, as defined in Section 
10-2a-403
, that
annexes an unincorporated island upon the results of an election held in accordance with
Section 
10-2a-404
[
,
]
; or
(iii) the legislative body of a municipality to which an unincorporated island is
automatically annexed under Section 
10-2-429
.
(2) An applicable legislative body
 shall:
(a) within 60 days after [
enacting the ordinance or the day of the election or, in the case
of a boundary adjustment, within 60 days after each of the municipalities involved in the
boundary adjustment has enacted an ordinance
] 
an annexation action
, file with the lieutenant
governor:
(i) a notice of an impending boundary action, as defined in Section 
67-1a-6.5
, that
meets the requirements of Subsection 
67-1a-6.5
(3); and
(ii) a copy of an approved final local entity plat, as defined in Section 
67-1a-6.5
;
(b) upon the lieutenant governor's issuance of a certificate of annexation or boundary
adjustment, as the case may be, under Section 
67-1a-6.5
:
(i) if the annexed area or area subject to the boundary adjustment is located within the
boundary of a single county, submit to the recorder of that county the original notice of an
impending boundary action, the original certificate of annexation or boundary adjustment, the
original approved final local entity plat, and a certified copy of the ordinance approving the
annexation or boundary adjustment; or
(ii) if the annexed area or area subject to the boundary adjustment is located within the
boundaries of more than a single county:
(A) submit to the recorder of one of those counties the original notice of impending
boundary action, the original certificate of annexation or boundary adjustment, and the original
approved final local entity plat;
(B) submit to the recorder of each other county a certified copy of the documents listed
in Subsection (1)(b)(ii)(A); and
(C) submit a certified copy of the ordinance approving the annexation or boundary
adjustment to each county described in Subsections (1)(b)(ii)(A) and (B); and
(c) concurrently with Subsection (1)(b):
(i) send notice of the annexation or boundary adjustment to each affected entity; and
(ii) in accordance with Section 
53-2d-514
, file with the Bureau of Emergency Medical
Services:
(A) a certified copy of the ordinance approving the annexation of an unincorporated
area or the adjustment of a boundary
, if applicable
; and
(B) a copy of the approved final local entity plat.
[
(2)
] 
(3)
 If an annexation or boundary adjustment under this part or Chapter 2a, Part 4,
Incorporation of Metro Townships and Unincorporated Islands in a County of the First Class
on and after May 12, 2015, also causes an automatic annexation to a special district under
Section 
17B-1-416
 or an automatic withdrawal from a special district under Subsection
17B-1-502
(2), the municipal legislative body shall, as soon as practicable after the lieutenant
governor issues a certificate of annexation or boundary adjustment under Section 
67-1a-6.5
,
send notice of the annexation or boundary adjustment to the special district to which the
annexed area is automatically annexed or from which the annexed area is automatically
withdrawn.
[
(3)
] 
(4)
 Each notice required under Subsection (1) relating to an annexation or
boundary adjustment shall state the effective date of the annexation or boundary adjustment, as
determined under Subsection [
(4)
] 
(5)
.
[
(4)
] 
(5)
 An annexation or boundary adjustment under this part is completed and takes
effect:
(a) for the annexation of or boundary adjustment affecting an area located in a county
of the first class, except for an annexation under Section 
10-2-418
:
(i) July 1 following the lieutenant governor's issuance under Section 
67-1a-6.5
 of a
certificate of annexation or boundary adjustment if:
(A) the certificate is issued during the preceding November 1 through April 30; and
(B) the requirements of Subsection (1) are met before that July 1; or
(ii) January 1 following the lieutenant governor's issuance under Section 
67-1a-6.5
 of a
certificate of annexation or boundary adjustment if:
(A) the certificate is issued during the preceding May 1 through October 31; and
(B) the requirements of Subsection (1) are met before that January 1; and
(b) subject to Subsection [
(5)
] 
(6)
, for all other annexations and boundary adjustments,
the date of the lieutenant governor's issuance, under Section 
67-1a-6.5
, of a certificate of
annexation or boundary adjustment.
[
(5)
] 
(6)
 If an annexation of an unincorporated island is based upon the results of an
election held in accordance with Section 
10-2a-404
:
(a) the county and the annexing municipality may agree to a date on which the
annexation is complete and takes effect; and
(b) the lieutenant governor shall issue, under Section 
67-1a-6.5
, a certification of
annexation on the date agreed to under Subsection [
(5)(a)
] 
(6)(a)
.
[
(6)
] 
(7)
 (a) As used in this Subsection [
(6)
] 
(7)
:
(i) "Affected area" means:
(A) in the case of an annexation, the annexed area; and
(B) in the case of a boundary adjustment, any area that, as a result of the boundary
adjustment, is moved from within the boundary of one municipality to within the boundary of
another municipality.
(ii) "Annexing municipality" means:
(A) in the case of an annexation, the municipality that annexes an unincorporated area
or the municipality to which an unincorporated island is automatically annexed under Section
10-2-429
; and
(B) in the case of a boundary adjustment, a municipality whose boundary includes an
affected area as a result of a boundary adjustment.
(b) The effective date of an annexation or boundary adjustment for purposes of
assessing property within an affected area is governed by Section 
59-2-305.5
.
(c) Until the documents listed in Subsection [
(1)(b)(i)
] 
(2)(b)(i)
 are recorded in the
office of the recorder of each county in which the property is located, a municipality may not:
(i) levy or collect a property tax on property within an affected area;
(ii) levy or collect an assessment on property within an affected area; or
(iii) charge or collect a fee for service provided to property within an affected area,
unless the municipality was charging and collecting the fee within that area immediately before
annexation.
Section 4. Section 
10-2-429
 is enacted to read:
 10-2-429.
Automatic annexations in county of the first class.
(1) As used in this section:
(a) "Most populous bordering municipality" means the municipality with the highest
population of any municipality that shares a common border with an unincorporated island.
(b) "Unincorporated island" means an area that is:
(i) within a county of the first class;
(ii) not within a municipality; and
(iii) completely surrounded by municipalities within the county of the first class.
(2) (a) Notwithstanding any other provision of this part, on July 1, 2027 an
unincorporated island is automatically annexed to the most populous bordering municipality.
(b) The effective date of an annexation under Subsection (2)(a) is governed by Section
10-2-425
.
Section 5. Section 
10-2a-102
 is amended to read:
10-2a-102.
Definitions.
(1) As used in this [
part and Part 2, Incorporation of a Municipality
] 
chapter
:
(a) "Community council area" means the cumulative areas within the geographic
boundary of a community council that is formally recognized by a county of the first class
pursuant to county ordinance.
[
(a)
] 
(b)
 "Contact sponsor" means the person designated in the feasibility request as the
contact sponsor under Subsection 
10-2a-202
(2)(d).
[
(b)
] 
(c)
 (i) "Contiguous" means, except as provided in Subsection (1)(b)(ii), the same
as that term is defined in Section 
10-1-104
.
(ii) "Contiguous" does not include a circumstance where:
(A) two areas of land are only connected by a strip of land between geographically
separate areas; and
(B) the distance between the geographically separate areas described in Subsection
[
(1)(b)(ii)(A)
] 
(1)(c)(ii)(A)
 is greater than the average width of the strip of land connecting the
geographically separate areas.
[
(c)
] 
(d)
 "Feasibility consultant" means a person or firm:
(i) with expertise in the processes and economics of local government; and
(ii) who is independent of and not affiliated with a county or sponsor of a petition to
incorporate.
[
(d)
] 
(e)
 "Feasibility request" means a request, described in Section 
10-2a-202
, for a
feasibility study for the proposed incorporation of a municipality.
[
(e)
] 
(f)
 (i) "Municipal service" means any of the following that are publicly provided:
(A) culinary water;
(B) secondary water;
(C) sewer service;
(D) storm drainage or flood control;
(E) recreational facilities or parks;
(F) electrical power generation or distribution;
(G) construction or maintenance of local streets and roads;
(H) street lighting;
(I) curb, gutter, and sidewalk maintenance;
(J) law or code enforcement service;
(K) fire protection service;
(L) animal services;
(M) planning and zoning;
(N) building permits and inspections;
(O) refuse collection; or
(P) weed control.
(ii) "Municipal service" includes the physical facilities required to provide a service
described in Subsection [
(1)(e)(i)
] 
(1)(f)(i)
.
[
(f)
] 
(g)
 "Private," with respect to real property, means taxable property.
(2) For purposes of this part:
(a) the owner of real property shall be the record title owner according to the records of
the county recorder on the date of the filing of the feasibility request or petition for
incorporation; and
(b) the assessed fair market value of private real property shall be determined
according to the last assessment roll for county taxes before the filing of the feasibility request
or petition for incorporation.
(3) For purposes of each provision of this part that requires the owners of private real
property covering a percentage or fraction of the total private land area within an area to sign a
feasibility request or a petition for incorporation:
(a) a parcel of real property may not be included in the calculation of the required
percentage or fraction unless the feasibility request or petition for incorporation is signed by:
(i) except as provided in Subsection (3)(a)(ii), owners representing a majority
ownership interest in that parcel; or
(ii) if the parcel is owned by joint tenants or tenants by the entirety, 50% of the number
of owners of that parcel;
(b) the signature of a person signing a feasibility request or a petition for incorporation
in a representative capacity on behalf of an owner is invalid unless:
(i) the person's representative capacity and the name of the owner the person represents
are indicated on the feasibility request or petition for incorporation with the person's signature;
and
(ii) the person provides documentation accompanying the feasibility request or petition
for incorporation that substantiates the person's representative capacity; and
(c) subject to Subsection (3)(b), a duly appointed personal representative may sign a
feasibility request or a petition for incorporation on behalf of a deceased owner.
Section 6. Section 
10-2a-103
 is amended to read:
10-2a-103.
Incorporation of a contiguous area -- Incorporation involving more
than one county.
(1) 
(a)
 [
A
] 
An unincorporated
 contiguous area of a county not within a municipality
may incorporate as a municipality as provided in this chapter.
(b) Two or more noncontiguous unincorporated areas within a county of the first class
may incorporate as a municipality, as provided in this chapter, if those areas constitute a
community council area.
(2) If a proposed incorporation relates to an area in more than one county:
(a) the individual who files the feasibility request shall file the request with each
county containing a portion of the area proposed for incorporation; and
(b) the counties shall work together, in accordance with direction given by the
lieutenant governor, to complete the actions required by this chapter.
Section 7. Section 
10-2a-201.5
 is amended to read:
10-2a-201.5.
Qualifications for incorporation.
(1) (a) An area may incorporate as a town in accordance with this part if the area:
(i) 
(A)
 is contiguous; 
or
(B) is a community council area;
(ii) has a population of at least 100 people, but fewer than 1,000 people; and
(iii) is not already part of a municipality.
(b) An area may incorporate as a city in accordance with this part if the area:
(i) 
(A)
 is contiguous; 
or
(B) is a community council area;
(ii) has a population of 1,000 people or more; and
(iii) is not already part of a municipality.
(2) (a) An area may not incorporate under this part if:
(i) the area has a population of fewer than 100 people; or
(ii) except as provided in Subsection (2)(b), the area has an average population density
of fewer than seven people per square mile.
(b) Subsection (2)(a)(ii) does not prohibit incorporation of an area if:
(i) noncompliance with Subsection (2)(a)(ii) is necessary to connect separate areas that
share a demonstrable community interest; and
(ii) the area is contiguous.
(3) An area incorporating under this part may not include land owned by the United
States federal government unless:
(a) the area, including the land owned by the United States federal government, is
contiguous; and
(b) (i) incorporating the land is necessary to connect separate areas that share a
demonstrable community interest; or
(ii) excluding the land from the incorporating area would create an unincorporated
island within the proposed municipality.
(4) (a) Except as provided in Subsection (4)(b), an area incorporating under this part
may not include some or all of an area proposed for annexation in an annexation petition under
Section 
10-2-403
 that:
(i) was filed before the filing of the request for a feasibility study, described in Section
10-2a-202
, relating to the incorporating area; and
(ii) is still pending on the date the request for the feasibility study described in
Subsection (4)(a)(i) is filed.
(b) A feasibility request may propose for incorporation an area that includes some or
all of an area proposed for annexation in an annexation petition described in Subsection (4)(a)
if:
(i) the proposed annexation area that is part of the area proposed for incorporation does
not exceed 20% of the area proposed for incorporation;
(ii) the feasibility request complies with Subsections 
10-2a-202
(1) through (4) with
respect to excluding the proposed annexation area from the area proposed for incorporation;
and
(iii) excluding the area proposed for annexation from the area proposed for
incorporation would not cause the area proposed for incorporation to not be contiguous.
(c) Except as provided in Section 
10-2a-206
, the lieutenant governor shall consider
each feasibility request to which Subsection (4)(b) applies as not proposing the incorporation of
an area proposed for annexation.
(5) (a) An area incorporating under this part may not include part of a parcel of real
property and exclude part of that same parcel unless the owner of the parcel gives written
consent to exclude part of the parcel.
(b) A piece of real property that has more than one parcel number is considered to be a
single parcel for purposes of Subsection (5)(a) if owned by the same owner.
Section 8. Section 
10-2a-202
 is amended to read:
10-2a-202.
Feasibility request -- Requirements -- Limitations.
(1) The process to incorporate [
a contiguous area of a county
] 
an unincorporated area
as a municipality is initiated by an individual filing a feasibility request, with the county clerk
of the county where the area proposed to be incorporated is located, that includes:
(a) the signatures of the owners of private real property that:
(i) is located within the area proposed to be incorporated;
(ii) covers at least 10% of the total private land area within the area; and
(iii) is, as of January 1 of the current year, equal in assessed fair market value to at least
7% of the assessed fair market value of all private real property within the area; and
(b) the typed or printed name and current residence address of each owner signing the
request.
(2) The feasibility request shall include:
(a) a description of the [
contiguous
] 
unincorporated
 area proposed to be incorporated
as a municipality;
(b) a designation of up to five signers of the request as sponsors, one of whom is
designated as the contact sponsor, with the mailing address and telephone number of each;
(c) an accurate map or plat, prepared by a licensed surveyor, showing a legal
description of the boundaries of the proposed municipality; and
(d) a request that the lieutenant governor commission a study to determine the
feasibility of incorporating the area as a municipality.
(3) The individual described in Subsection (1) shall, on the day on which the individual
files the feasibility request with the county clerk, provide to the lieutenant governor:
(a) written notice that the individual filed the feasibility request that indicates the day
on which the individual filed the feasibility request; and
(b) a complete copy of the feasibility request.
(4) A feasibility request may not propose for incorporation an area that includes some
or all of an area that is the subject of a completed feasibility study or supplemental feasibility
study whose results comply with Subsection 
10-2a-205
(5)(a) unless:
(a) the proposed incorporation that is the subject of the completed feasibility study or
supplemental feasibility study has been defeated by the voters at an election under Section
10-2a-210
; or
(b) the time described in Subsection 
10-2a-208
(1) for filing an incorporation petition
based on the completed feasibility study or supplemental feasibility study has elapsed without
the sponsors filing an incorporation petition under Section 
10-2a-208
.
(5) Sponsors may not file a feasibility request relating to the incorporation of a town if
the cumulative private real property that the sponsors own exceeds 40% of the total private
land area within the boundaries of the proposed town.
Section 9. Section 
10-2a-204.5
 is amended to read:
10-2a-204.5.
Notice to owner of property -- Exclusion or inclusion of property
from or in proposed municipality.
(1) As used in this section:
(a) "Owner" means a person having an interest in real property, including an affiliate,
subsidiary, or parent company.
(b) "Specified landowner" means a record owner of real property:
(i) who owns more than:
(A) 1% of the assessed fair market value, as of January 1 of the current year, of all
property within the boundaries of a proposed incorporation; or
(B) 10% of the total private land area within the boundaries of a proposed
incorporation; or
(ii) located in a mining protection area as defined in Section 
17-41-101
.
(2) Within 30 calendar days after the day of the first public hearing described in
Section 
10-2a-204.3
:
(a) a specified landowner may request that the county clerk exclude all or part of the
land owned by the specified landowner from the area proposed for incorporation by filing a
request for exclusion with the county clerk that describes the land for which the specified
landowner requests exclusion; or
(b) any owner of land located within the county where the area proposed for
incorporation is located may file a request that all or part of that land be included in the area
proposed for incorporation by filing a request for inclusion with the county clerk that describes
the land that the landowner desires to include.
(3) The county clerk shall exclude the land identified by a specified landowner under
Subsection (2)(a) from the proposed incorporation boundaries unless the county clerk finds by
clear and convincing evidence that:
(a) 
except for a proposed incorporation of a community council area,
 the exclusion will
leave an unincorporated island within the proposed municipality; and
(b) the land receives from the county a majority of currently provided municipal
services.
(4) The county clerk shall include land identified by a landowner under Subsection
(2)(b) in the area proposed for incorporation unless the county clerk finds by clear and
convincing evidence that:
(a) 
except for a proposed incorporation of a community council area,
 the land will not
be contiguous with the area of the proposed municipality, taking into account other requests for
inclusion or requests for exclusion received before the deadline described in Subsection (2); or
(b) the inclusion will cause the area proposed for incorporation to violate a requirement
for incorporation described in this part.
(5) The county clerk shall:
(a) no earlier than 30 days after, but no later than 44 days after, the day of the first
public hearing described in Section 
10-2a-204.3
, make a determination on all timely requests
for exclusion or inclusion;
(b) forward to the lieutenant governor for review:
(i) all timely requests for exclusion or inclusion;
(ii) the county clerk's determination on each of the requests described in Subsection
(5)(b)(i); and
(iii) the reasons, including the supporting data, for each determination described in
Subsection (5)(b)(ii); and
(c) within five days after the day on which the lieutenant governor makes a final
determination on whether to include or exclude land under Subsection (7), the county clerk
shall mail or transmit written notice of whether the land is included or excluded from the
proposed incorporation boundaries to:
(i) for a request for exclusion, the specified landowner that requested the exclusion;
(ii) for a request for inclusion, the owner of land that requested the inclusion; and
(iii) the contact sponsor.
(6) For a request for exclusion or inclusion that is denied, the county clerk shall
include, in the written notice described in Subsection (5)(c), a detailed explanation of the
reason for the denial and the facts supporting the denial.
(7) Within 14 days after the day on which the lieutenant governor receives the
information described in Subsection (5)(b) the lieutenant governor shall:
(a) review each determination;
(b) uphold or reverse each determination; and
(c) forward to the county clerk:
(i) the lieutenant governor's final determinations; and
(ii) if the lieutenant governor reverses a determination of the county clerk, the reason
for the reversal and the supporting facts.
Section 10. Section 
10-2a-205
 is amended to read:
10-2a-205.
Feasibility study -- Feasibility study consultant -- Qualifications for
proceeding with incorporation.
(1) Unless the lieutenant governor rescinds the certification under Subsection
10-2a-204
(7)(b), the lieutenant governor shall, within 90 days after the day on which the
lieutenant governor certifies a feasibility request under Subsection 
10-2a-204
(5)(a), in
accordance with Subsection (2), engage a feasibility consultant to conduct a feasibility study.
(2) The lieutenant governor shall:
(a) select a feasibility consultant in accordance with Title 63G, Chapter 6a, Utah
Procurement Code;
(b) ensure that the feasibility consultant:
(i) has expertise in the processes and economics of local government; and
(ii) is not affiliated with a sponsor of the feasibility request or the county in which the
proposed municipality is located; and
(c) require the feasibility consultant to:
(i) submit a draft of the feasibility study to each applicable person with whom the
feasibility consultant is required to consult under Subsection (3)(c) within 90 days after the day
on which the lieutenant governor engages the feasibility consultant to conduct the study;
(ii) allow each person to whom the consultant provides a draft under Subsection
(2)(c)(i) to review and provide comment on the draft;
(iii) submit a completed feasibility study, including a one-page summary of the results,
to the following within 120 days after the day on which the lieutenant governor engages the
feasibility consultant to conduct the feasibility study:
(A) the lieutenant governor;
(B) the county legislative body of the county in which the incorporation is proposed;
(C) the contact sponsor; and
(D) each person to whom the consultant provided a draft under Subsection (2)(c)(i);
and
(iv) attend the public hearings described in Section 
10-2a-207
 to present the feasibility
study results and respond to questions from the public.
(3) (a) The feasibility study shall include:
(i) an analysis of the population and population density within the area proposed for
incorporation and the surrounding area;
(ii) the current and projected five-year demographics and tax base within the
boundaries of the proposed municipality and surrounding area, including household size and
income, commercial and industrial development, and public facilities;
(iii) subject to Subsection (3)(b), the current and five-year projected cost of providing
municipal services to the proposed municipality, including administrative costs;
(iv) assuming the same tax categories and tax rates as currently imposed by the county
and all other current service providers, the present and five-year projected revenue for the
proposed municipality;
(v) an analysis of the risks and opportunities that might affect the actual costs described
in Subsection (3)(a)(iii) or revenues described in Subsection (3)(a)(iv) of the newly
incorporated municipality;
(vi) an analysis of new revenue sources that may be available to the newly incorporated
municipality that are not available before the area incorporates, including an analysis of the
amount of revenues the municipality might obtain from those revenue sources;
(vii) the projected tax burden per household of any new taxes that may be levied within
the proposed municipality within five years after incorporation;
(viii) the fiscal impact of the municipality's incorporation on unincorporated areas,
other municipalities, special districts, special service districts, and other governmental entities
in the county; and
(ix) if the county clerk excludes property from, or includes property in, the proposed
municipality under Section 
10-2a-204.5
, an update to the map and legal description described
in Subsection 
10-2a-202
(2)(c).
(b) (i) In calculating the projected costs under Subsection (3)(a)(iii), the feasibility
consultant shall
:
(A) with respect to municipal services that the proposed municipality will itself
provide,
 assume 
that
 the proposed municipality will provide a level and quality of municipal
services that fairly and reasonably approximate the level and quality of municipal services that
are provided to the area of the proposed municipality at the time the feasibility consultant
conducts the feasibility study[
.
]
;
(B) evaluate and detail the expected cost savings and qualitative benefits of a service
provider other than the proposed municipality providing some municipal services; and
(C) incorporate into the overall cost projection for the proposed municipality the
potential for municipal services to be provided by a service provider other than the proposed
municipality.
(ii) In calculating the current cost of a municipal service under Subsection (3)(a)(iii),
the feasibility consultant shall consider:
(A) the amount it would cost the proposed municipality to provide the municipal
service for the first five years after the municipality's incorporation; and
(B) the current municipal service provider's present and five-year projected cost of
providing the municipal service.
(iii) In calculating costs under Subsection (3)(a)(iii), the feasibility consultant shall
account for inflation and anticipated growth.
(c) In conducting the feasibility study, the feasibility consultant shall consult with the
following before submitting a draft of the feasibility study under Subsection (2)(c)(i):
(i) if the proposed municipality will include lands owned by the United States federal
government, the entity within the United States federal government that has jurisdiction over
the land;
(ii) if the proposed municipality will include lands owned by the state, the entity within
state government that has jurisdiction over the land;
(iii) each entity that provides a municipal service to a portion of the proposed
municipality; and
(iv) each other special service district that provides services to a portion of the
proposed municipality.
(4) If the five-year projected revenues calculated under Subsection (3)(a)(iv) exceed the
five-year projected costs calculated under Subsection (3)(a)(iii) by more than 5%, the
feasibility consultant shall project and report the expected annual revenue surplus to the contact
sponsor and the lieutenant governor.
(5) (a) Except as provided in Subsection (5)(b), if the results of the feasibility study, or
a supplemental feasibility study described in Section 
10-2a-206
, show that the average annual
amount of revenue calculated under Subsection (3)(a)(iv) does not exceed the average annual
cost calculated under Subsection (3)(a)(iii) by more than 5%, the process to incorporate the
area that is the subject of the feasibility study or supplemental feasibility study may not
proceed.
(b) The process to incorporate an area described in Subsection (5)(a) may proceed if a
subsequent supplemental feasibility study conducted under Section 
10-2a-206
 for the proposed
incorporation demonstrates compliance with Subsection (5)(a).
(6) If the results of the feasibility study or revised feasibility study do not comply with
Subsection (5), and if requested by the sponsors of the request, the feasibility consultant shall,
as part of the feasibility study or revised feasibility study, make recommendations regarding
how the boundaries of the proposed municipality may be altered to comply with Subsection
(5).
(7) The lieutenant governor shall post a copy of the feasibility study, and any
supplemental feasibility study described in Section 
10-2a-206
, on the lieutenant governor's
website and make a copy available for public review at the lieutenant governor's office.
Section 11. Section 
10-2a-210
 is amended to read:
10-2a-210.
Incorporation election -- Notice of election -- Voter information
pamphlet.
(1) (a) If the county clerk certifies a petition for incorporation under Subsection
10-2a-209
(1)(b), the lieutenant governor shall schedule an incorporation election for the
proposed municipality described in the petition for incorporation to be held on the date of the
next regular general election described in Section 
20A-1-201
, or the next municipal general
election described in Section 
20A-1-202
, that is at least 65 days after the day on which the
county clerk certifies the petition for incorporation.
(b) (i) The lieutenant governor shall direct the county legislative body of the county in
which the proposed municipality is located to hold the election on the date that the lieutenant
governor schedules under Subsection (1)(a).
(ii) The county legislative body shall hold the election as directed by the lieutenant
governor under Subsection (1)(b)(i).
(2) The county clerk shall provide notice of the election for the area proposed to be
incorporated, as a class B notice under Section 
63G-30-102
, for at least three weeks before the
day of the election.
(3) (a) The notice described in Subsection (2) shall include:
(i) a statement of the contents of the petition for incorporation;
(ii) a description of the area proposed to be incorporated as a municipality;
(iii) a statement of the date and time of the election and the location of polling places;
and
(iv) except as provided in Subsection (3)(b), the feasibility study summary described in
Subsection 
10-2a-205
(2)(c)(iii) and a statement that a full copy of the study is available on the
county's website and for inspection at the county offices.
(b) Instead of including the feasibility summary under Subsection (3)(a)(iv), the notice
may include a statement that specifies the following sources where a registered voter in the area
proposed to be incorporated may view or obtain a copy of the feasibility study:
(i) the county's website;
(ii) the physical address of the county clerk office; and
(iii) a mailing address and telephone number.
(4) (a) In addition to the notice described in Subsection (2), the county clerk shall
publish and distribute, before the incorporation election is held, a voter information pamphlet:
(i) in accordance with the procedures and requirements of Section 
20A-7-402
;
(ii) in consultation with the lieutenant governor; and
(iii) in a manner that the county clerk determines is adequate, subject to Subsections
(4)(a)(i) and (ii).
(b) The voter information pamphlet described in Subsection (4)(a):
(i) shall inform the public of the proposed incorporation; and
(ii) may include written statements, printed in the same font style and point size, from
proponents and opponents of the proposed incorporation.
(5) An individual may not vote in an incorporation election under this section unless
the individual is a registered voter who is a resident, as defined in Section 
20A-1-102
, within
the boundaries of the proposed municipality.
(6) 
(a)
 [
If
] 
Subject to Subsection (6)(b), if
 a majority of those who vote in an
incorporation election held under this section cast votes in favor of incorporation, the area shall
incorporate.
(b) (i) As used in this Subsection (6)(b):
(A) "Approving separate area" means a separate area in which a majority of those
voting in an incorporation election for the incorporation of a community council area vote in
favor of incorporation.
(B) "Separate area" means an area within a community council area that is divided
from other areas within the community council area by areas within one or more
municipalities.
(ii) If a majority of those within a separate area voting in an incorporation election for
the incorporation of a community council area vote against incorporation, that separate area is
excluded from the incorporation.
(iii) Approving separate areas are incorporated as a municipality if the combined total
population within all approving separate areas is at least 80% of the population within the
community council area.
Section 12. Section 
17B-1-414
 is amended to read:
17B-1-414.
Resolution approving an annexation -- Filing of notice and plat with
lieutenant governor -- Recording requirements -- Effective date.
(1) (a) Subject to Subsection (1)(b), the special district board shall adopt a resolution
approving the annexation of the area proposed to be annexed or rejecting the proposed
annexation within 90 days after:
(i) expiration of the protest period under Subsection 
17B-1-412
(2), if sufficient protests
to require an election are not filed;
(ii) for a petition that meets the requirements of Subsection 
17B-1-413
(1):
(A) a public hearing under Section 
17B-1-409
 is held, if the board chooses or is
required to hold a public hearing under Subsection 
17B-1-413
(2)(a)(ii); or
(B) expiration of the time for submitting a request for public hearing under Subsection
17B-1-413
(2)(a)(ii)(B), if no request is submitted and the board chooses not to hold a public
hearing.
(b) If the special district has entered into an agreement with the United States that
requires the consent of the United States for an annexation of territory to the district, a
resolution approving annexation under this part may not be adopted until the written consent of
the United States is obtained and filed with the board of trustees.
(2) (a) (i) Within the time specified under Subsection (2)(a)(ii), the board shall file with
the lieutenant governor:
(A) a copy of a notice of an impending boundary action, as defined in Section
67-1a-6.5
, that meets the requirements of Subsection 
67-1a-6.5
(3) and, if applicable,
Subsection (2)(b); and
(B) a copy of an approved final local entity plat, as defined in Section 
67-1a-6.5
.
(ii) The board shall file the documents listed in Subsection (2)(a)(i) with the lieutenant
governor:
(A) within 30 days after adoption of a resolution under Subsection (1), Subsection
17B-1-412
(3)(c)(i), or Section 
17B-1-415
; and
(B) as soon as practicable after receiving the notice under Subsection [
10-2-425
(2)
]
10-2-425
(3)
 of a municipal annexation that causes an automatic annexation to a special district
under Section 
17B-1-416
.
(b) For an automatic annexation to a special district under Section 
17B-1-416
, the
notice of an impending boundary action required under Subsection (2)(a) shall state that an area
outside the boundaries of the special district is being automatically annexed to the special
district under Section 
17B-1-416
 because of a municipal annexation under Title 10, Chapter 2,
Part 4, Annexation.
(c) Upon the lieutenant governor's issuance of a certificate of annexation under Section
67-1a-6.5
, the board shall:
(i) if the annexed area is located within the boundary of a single county, submit to the
recorder of that county:
(A) the original:
(I) notice of an impending boundary action;
(II) certificate of annexation; and
(III) approved final local entity plat; and
(B) a certified copy of the annexation resolution; or
(ii) if the annexed area is located within the boundaries of more than a single county:
(A) submit to the recorder of one of those counties:
(I) the original of the documents listed in Subsections (2)(c)(i)(A)(I), (II), and (III); and
(II) a certified copy of the annexation resolution; and
(B) submit to the recorder of each other county:
(I) a certified copy of the documents listed in Subsection (2)(c)(i)(A)(I), (II), and (III);
and
(II) a certified copy of the annexation resolution.
(3) (a) As used in this Subsection (3), "fire district annexation" means an annexation
under this part of an area located in a county of the first class to a special district:
(i) created to provide fire protection, paramedic, and emergency services; and
(ii) in the creation of which an election was not required because of Subsection
17B-1-214
(3)(d).
(b) An annexation under this part is complete and becomes effective:
(i) (A) on July 1 for a fire district annexation, if the lieutenant governor issues the
certificate of annexation under Section 
67-1a-6.5
 from January 1 through June 30; or
(B) on January 1 for a fire district annexation, if the lieutenant governor issues the
certificate of annexation under Section 
67-1a-6.5
 from July 1 through December 31; or
(ii) upon the lieutenant governor's issuance of the certificate of annexation under
Section 
67-1a-6.5
, for any other annexation.
(c) (i) The effective date of a special district annexation for purposes of assessing
property within the annexed area is governed by Section 
59-2-305.5
.
(ii) Until the documents listed in Subsection (2)(c) are recorded in the office of the
recorder of each county in which the property is located, a special district may not:
(A) levy or collect a property tax on property within the annexed area;
(B) levy or collect an assessment on property within the annexed area; or
(C) charge or collect a fee for service provided to property within the annexed area.
(iii) Subsection (3)(c)(ii)(C):
(A) may not be construed to limit a special district's ability before annexation to charge
and collect a fee for service provided to property that is outside the special district's boundary;
and
(B) does not apply until 60 days after the effective date, under Subsection (3)(b), of the
special district's annexation, with respect to a fee that the special district was charging for
service provided to property within the annexed area immediately before the area was annexed
to the special district.
Section 13. Section 
17B-1-512
 is amended to read:
17B-1-512.
Filing of notice and plat -- Recording requirements -- Contest period
-- Judicial review.
(1) (a) Within the time specified in Subsection (1)(b), the board of trustees shall file
with the lieutenant governor:
(i) a copy of a notice of an impending boundary action, as defined in Section 
67-1a-6.5
,
that meets the requirements of Subsection 
67-1a-6.5
(3); and
(ii) a copy of an approved final local entity plat, as defined in Section 
67-1a-6.5
.
(b) The board of trustees shall file the documents listed in Subsection (1)(a):
(i) within 10 days after adopting a resolution approving a withdrawal under Section
17B-1-510
;
(ii) on or before January 31 of the year following the board of trustees' receipt of a
notice or copy described in Subsection (1)(c), if the board of trustees receives the notice or
copy between July 1 and December 31; or
(iii) on or before the July 31 following the board of trustees' receipt of a notice or copy
described in Subsection (1)(c), if the board of trustees receives the notice or copy between
January 1 and June 30.
(c) The board of trustees shall comply with the requirements described in Subsection
(1)(b)(ii) or (iii) after:
(i) receiving:
(A) a notice under Subsection [
10-2-425
(2)
] 
10-2-425
(3)
 of an automatic withdrawal
under Subsection 
17B-1-502
(2);
(B) a copy of the municipal legislative body's resolution approving an automatic
withdrawal under Subsection 
17B-1-502
(3)(a); or
(C) notice of a withdrawal of a municipality from a special district under Section
17B-1-502
; or
(ii) entering into an agreement with a municipality under Subsection
17B-1-505
(5)(a)(ii)(A) or (5)(b).
(d) Upon the lieutenant governor's issuance of a certificate of withdrawal under Section
67-1a-6.5
, the board shall:
(i) if the withdrawn area is located within the boundary of a single county, submit to
the recorder of that county:
(A) the original:
(I) notice of an impending boundary action;
(II) certificate of withdrawal; and
(III) approved final local entity plat; and
(B) if applicable, a certified copy of the resolution or notice referred to in Subsection
(1)(b); or
(ii) if the withdrawn area is located within the boundaries of more than a single county,
submit:
(A) the original of the documents listed in Subsections (1)(d)(i)(A)(I), (II), and (III)
and, if applicable, a certified copy of the resolution or notice referred to in Subsection (1)(b) to
one of those counties; and
(B) a certified copy of the documents listed in Subsections (1)(d)(i)(A)(I), (II), and (III)
and a certified copy of the resolution or notice referred to in Subsection (1)(b) to each other
county.
(2) (a) Upon the lieutenant governor's issuance of the certificate of withdrawal under
Section 
67-1a-6.5
 for a withdrawal under Section 
17B-1-510
, for an automatic withdrawal
under Subsection 
17B-1-502
(3), or for the withdrawal of a municipality from a special district
under Section 
17B-1-505
, the withdrawal shall be effective, subject to the conditions of the
withdrawal resolution, if applicable.
(b) An automatic withdrawal under Subsection 
17B-1-502
(3) shall be effective upon
the lieutenant governor's issuance of a certificate of withdrawal under Section 
67-1a-6.5
.
(3) (a) The special district may provide for the publication of any resolution approving
or denying the withdrawal of an area:
(i) in a newspaper of general circulation in the area proposed for withdrawal; and
(ii) as required in Section 
45-1-101
.
(b) In lieu of publishing the entire resolution, the special district may publish a notice
of withdrawal or denial of withdrawal, containing:
(i) the name of the special district;
(ii) a description of the area proposed for withdrawal;
(iii) a brief explanation of the grounds on which the board of trustees determined to
approve or deny the withdrawal; and
(iv) the times and place where a copy of the resolution may be examined, which shall
be at the place of business of the special district, identified in the notice, during regular
business hours of the special district as described in the notice and for a period of at least 30
days after the publication of the notice.
(4) Any sponsor of the petition or receiving entity may contest the board's decision to
deny a withdrawal of an area from the special district by submitting a request, within 60 days
after the resolution is adopted under Section 
17B-1-510
, to the board of trustees, suggesting
terms or conditions to mitigate or eliminate the conditions upon which the board of trustees
based its decision to deny the withdrawal.
(5) Within 60 days after the request under Subsection (4) is submitted to the board of
trustees, the board may consider the suggestions for mitigation and adopt a resolution
approving or denying the request in the same manner as provided in Section 
17B-1-510
 with
respect to the original resolution denying the withdrawal and file a notice of the action as
provided in Subsection (1).
(6) (a) Any person in interest may seek judicial review of:
(i) the board of trustees' decision to withdraw an area from the special district;
(ii) the terms and conditions of a withdrawal; or
(iii) the board's decision to deny a withdrawal.
(b) Judicial review under this Subsection (6) shall be initiated by filing an action in the
district court in the county in which a majority of the area proposed to be withdrawn is located:
(i) if the resolution approving or denying the withdrawal is published under Subsection
(3), within 60 days after the publication or after the board of trustees' denial of the request
under Subsection (5);
(ii) if the resolution is not published pursuant to Subsection (3), within 60 days after
the resolution approving or denying the withdrawal is adopted; or
(iii) if a request is submitted to the board of trustees of a special district under
Subsection (4), and the board adopts a resolution under Subsection (5), within 60 days after the
board adopts a resolution under Subsection (5) unless the resolution is published under
Subsection (3), in which event the action shall be filed within 60 days after the publication.
(c) A court in which an action is filed under this Subsection (6) may not overturn, in
whole or in part, the board of trustees' decision to approve or reject the withdrawal unless:
(i) the court finds the board of trustees' decision to be arbitrary or capricious; or
(ii) the court finds that the board materially failed to follow the procedures set forth in
this part.
(d) A court may award costs and expenses of an action under this section, including
reasonable attorney fees, to the prevailing party.
(7) After the applicable contest period under Subsection (4) or (6), no person may
contest the board of trustees' approval or denial of withdrawal for any cause.
Section 14. 
Effective date.
(1) Except as provided in Subsection (2), this bill takes effect on May 1, 2024.
(2) The actions affecting Section 
10-2-425
 (Effective 07/01/24) take effect on July 1,
2024.