Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 110 (2025GS)

Sponsor

Rep. Auxier, Tiara

Final action

Governor Signed 3/27/2025

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• repeals the WPU value rate from the combination of property tax rates that fund public education;
• provides that the repeal of the WPU value rate does not affect the amount of ongoing appropriations to the Teacher and Student Success Program;
• includes a clause to coordinate the effect of the repeal of the WPU value rate with language that S.B. 37, Minimum Basic Tax Rate Amendments, enacts; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

7
53F-2-301
59-2-919.1
59-2-926
0
Combined Basic Tax Rate Reduction
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Tiara Auxier
Senate Sponsor: Daniel McCay
Cosponsor:
Stephanie Gricius
Jefferson Moss
Cheryl K. Acton
Jason B. Kyle
Candice B. Pierucci
Tyler Clancy
Trevor Lee
Calvin Roberts
Joseph Elison
Karianne Lisonbee
R. Neil Walter
LONG TITLE
General Description:
This bill repeals the weighted pupil unit (WPU) value rate from the combination of 
property tax rates that fund public education.
Highlighted Provisions:
This bill:
repeals the WPU value rate from the combination of property tax rates that fund public 
education;
provides that the repeal of the WPU value rate does not affect the amount of ongoing 
appropriations to the Teacher and Student Success Program;
includes a clause to coordinate the effect of the repeal of the WPU value rate with 
language that S.B. 37, Minimum Basic Tax Rate Amendments, enacts; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
This bill provides a coordination clause.
Utah Code Sections Affected:
AMENDS:
53F-2-301
, as last amended by Laws of Utah 2024, Chapters 124, 460
59-2-919.1
, as last amended by Laws of Utah 2024, Chapter 246
59-2-926
, as last amended by Laws of Utah 2023, Chapter 7
Utah Code Sections Affected by Coordination Clause:
AMENDS:
53F-2-301
, as last amended by Laws of Utah 2024, Chapters 124, 460
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 
53F-2-301
 is amended to read:
53F-2-301
. Minimum basic tax rate for a fiscal year that begins after July 1, 
2022.
(1)
As used in this section:
(a)
"Basic levy increment rate" means a tax rate that will generate an amount of revenue 
equal to $75,000,000.
(b)
"Combined basic rate" means a rate that is the sum of:
(i)
the minimum basic tax rate; and
(ii)
the WPU value rate.
(c)
(b)
"Commission" means the State Tax Commission.
(d)
(c)
"Minimum basic local amount" means an amount that is:
(i)
equal to the sum of:
(A)
the school districts' contribution to the basic school program the previous 
fiscal year;
(B)
the amount generated by the basic levy increment rate; and
(C)
the eligible new growth, as defined in Section 
59-2-924
 and rules of the State 
Tax Commission multiplied by the minimum basic rate; and
(ii)
set annually by the Legislature in Subsection (2)(a).
(e)
(d)
"Minimum basic tax rate" means a tax rate certified by the commission that will 
generate an amount of revenue equal to the minimum basic local amount described in 
Subsection (2)(a).
(f)
"Weighted pupil unit value" or "WPU value" means the amount established each 
year in the enacted public education budget that is multiplied by the number of 
weighted pupil units to yield the funding level for the basic school program.
(g)
"WPU value amount" means an amount:
(i)
that is equal to the product of:
(A)
the WPU value increase limit; and
(B)
the percentage share of local revenue to the cost of the basic school program 
in the immediately preceding fiscal year; and
(ii)
set annually by the Legislature in Subsection (3)(a).
(h)
"WPU value increase limit" means the lesser of:
(i)
the total cost to the basic school program to increase the WPU value over the 
WPU value in the prior fiscal year; or
(ii)
the total cost to the basic school program to increase the WPU value by 4% over 
the WPU value in the prior fiscal year.
(i)
"WPU value rate" means a tax rate certified by the commission that will generate an 
amount of revenue equal to the WPU value amount described in Subsection (3)(a).
(2)
(a)
The minimum basic local amount for the fiscal year that begins on July 1, 2024, is 
$759,529,000 in revenue statewide.
(b)
The preliminary estimate of the minimum basic tax rate for a fiscal year that begins 
on July 1, 2024, is .001429.
(3)
(a)
The WPU value amount for the fiscal year that begins on July 1, 2024, is 
$29,240,600 in revenue statewide.
(b)
The preliminary estimate of the WPU value rate for the fiscal year that begins on 
July 1, 2024, is .000055.
(4)
(3)
(a)
On or before June 22, the commission shall certify 
for the year:
the 
minimum basic tax rate for the year.
(i)
the minimum basic tax rate; and
(ii)
the WPU value rate.
(b)
The estimate of the minimum basic tax rate provided in Subsection (2)(b) 
and the 
estimate of the WPU value rate provided in Subsection (3)(b) are
is
 based on a 
forecast for property values for the next calendar year.
(c)
The certified minimum basic tax rate described in Subsection 
(4)(a)(i) and the 
certified WPU value rate described in Subsection (4)(a)(ii) are 
(3)(a) is 
based on 
property values as of January 1 of the current calendar year, except personal property, 
which is based on values from the previous calendar year.
(5)
(4)
(a)
To qualify for receipt of the state contribution toward the basic school 
program and as a school district's contribution toward the cost of the basic school 
program for the school district, each local school board shall impose the 
combined 
basic
minimum basic tax
 rate.
(b)
(i)
The state is not subject to the notice requirements of Section 
59-2-926
 before 
imposing the tax rates described in this Subsection 
(5)
(4)
.
(ii)
The state is subject to the notice requirements of Section 
59-2-926
 if the state 
authorizes a tax rate that exceeds the tax rates described in this Subsection 
(5)
(4)
.
(6)
(5)
(a)
The state shall contribute to each school district toward the cost of the basic 
school program in the school district an amount of money that is the difference 
between the cost of the school district's basic school program and the sum of revenue 
generated by the school district by the following:
(i)
the 
combined basic
minimum basic tax
 rate; and
(ii)
the basic levy increment rate.
(b)
(i)
If the difference described in Subsection 
(6)(a)
(5)(a)
 equals or exceeds the 
cost of the basic school program in a school district, no state contribution shall be 
made to the basic school program for the school district.
(ii)
The proceeds of the difference described in Subsection 
(6)(a)
(5)(a)
 that exceed 
the cost of the basic school program shall be paid into the Uniform School Fund 
as provided by law and by the close of the fiscal year in which the proceeds were 
calculated.
(7)
(6)
Upon appropriation by the Legislature, the Division of Finance shall deposit an 
amount equal to the proceeds generated statewide
:
(a)
by the basic levy increment rate into the Minimum Basic Growth Account created 
in Section 
53F-9-302
; and
.
(b)
(7)
by the WPU value rate into
Nothing in the repeal of the tax rate indexed to the 
increase in the value of the WPU affects the ongoing appropriations to
 the Teacher and 
Student Success Account created in Section 
53F-9-306
.
Section 2, Section 
59-2-919.1
 is amended to read:
59-2-919.1
. Notice of property valuation and tax changes.
(1)
In addition to the notice requirements of Section 
59-2-919
, the county auditor, on or 
before July 22 of each year, shall notify each owner of real estate who is listed on the 
assessment roll.
(2)
The notice described in Subsection (1) shall:
(a)
except as provided in Subsection (4), be sent to all owners of real property by mail 
10 or more days before the day on which:
(i)
the county board of equalization meets; and
(ii)
the taxing entity holds a public hearing on the proposed increase in the certified 
tax rate;
(b)
be on a form that is:
(i)
approved by the commission; and
(ii)
uniform in content in all counties in the state; and
(c)
contain for each property:
(i)
the assessor's determination of the value of the property;
(ii)
the taxable value of the property;
(iii)
(A)
the deadline for the taxpayer to make an application to appeal the 
valuation or equalization of the property under Section 
59-2-1004
; or
(B)
for property assessed by the commission, the deadline for the taxpayer to 
apply to the commission for a hearing on an objection to the valuation or 
equalization of the property under Section 
59-2-1007
;
(iv)
for a property assessed by the commission, a statement that the taxpayer may not 
appeal the valuation or equalization of the property to the county board of 
equalization;
(v)
itemized tax information for all applicable taxing entities, including:
(A)
the dollar amount of the taxpayer's tax liability for the property in the prior 
year; and
(B)
the dollar amount of the taxpayer's tax liability under the current rate;
(vi)
the following, stated separately:
(A)
the charter school levy described in Section 
53F-2-703
;
(B)
the multicounty assessing and collecting levy described in Subsection 
59-2-1602
(2);
(C)
the county assessing and collecting levy described in Subsection 
59-2-1602
(4); 
(D)
levies for debt service voted on by the public;
(E)
levies imposed for special purposes under Section 
10-6-133.4
;
(F)
for a fiscal year that begins on or after July 1, 2023, the 
combined basic
minimum basic tax
 rate as defined in Section 
53F-2-301
; and
(G)
if applicable, the annual payment described in Subsection 
63H-1-501(4)(a)
;
(vii)
the tax impact on the property;
(viii)
the date, time, and place of the required public hearing for each entity;
(ix)
property tax information pertaining to:
(A)
taxpayer relief;
(B)
options for payment of taxes;
(C)
collection procedures; and
(D)
the residential exemption described in Section 
59-2-103
;
(x)
information specifically authorized to be included on the notice under this chapter;
(xi)
the last property review date of the property as described in Subsection 
59-2-303.1
(1)(c); 
(xii)
instructions on how the taxpayer may obtain additional information regarding 
the valuation of the property, including the characteristics and features of the 
property, from at least one the following sources:
(A)
a website maintained by the county; or
(B)
the county assessor's office; and
(xiii)
other information approved by the commission.
(3)
If a taxing entity that is subject to the notice and hearing requirements of Subsection 
59-2-919
(4) proposes a tax increase, the notice described in Subsection (1) shall state, in 
addition to the information required by Subsection (2):
(a)
the dollar amount of the taxpayer's tax liability if the proposed increase is approved;
(b)
the difference between the dollar amount of the taxpayer's tax liability if the 
proposed increase is approved and the dollar amount of the taxpayer's tax liability 
under the current rate, placed in close proximity to the information described in 
Subsection (2)(c)(viii); 
(c)
the percentage increase that the dollar amount of the taxpayer's tax liability under the 
proposed tax rate represents as compared to the dollar amount of the taxpayer's tax 
liability under the current tax rate; and
(d)
for each taxing entity proposing a tax increase, the dollar amount of additional ad 
valorem tax revenue, as defined in Section 
59-2-919
, that would be generated each 
year if the proposed tax increase is approved.
(4)
(a)
Subject to the other provisions of this Subsection (4), a county auditor may, at the 
county auditor's discretion, provide the notice required by this section to a taxpayer 
by electronic means if a taxpayer makes an election, according to procedures 
determined by the county auditor, to receive the notice by electronic means.
(b)
(i)
If a notice required by this section is sent by electronic means, a county auditor 
shall attempt to verify whether a taxpayer receives the notice.
(ii)
If receipt of the notice sent by electronic means cannot be verified 14 days or 
more before the county board of equalization meets and the taxing entity holds a 
public hearing on a proposed increase in the certified tax rate, the notice required 
by this section shall also be sent by mail as provided in Subsection (2).
(c)
A taxpayer may revoke an election to receive the notice required by this section by 
electronic means if the taxpayer provides written notice to the county auditor on or 
before April 30.
(d)
An election or a revocation of an election under this Subsection (4):
(i)
does not relieve a taxpayer of the duty to pay a tax due under this chapter on or 
before the due date for paying the tax; or
(ii)
does not alter the requirement that a taxpayer appealing the valuation or the 
equalization of the taxpayer's real property submit the application for appeal 
within the time period provided in Subsection 
59-2-1004
(3).
(e)
A county auditor shall provide the notice required by this section as provided in 
Subsection (2), until a taxpayer makes a new election in accordance with this 
Subsection (4), if:
(i)
the taxpayer revokes an election in accordance with Subsection (4)(c) to receive 
the notice required by this section by electronic means; or
(ii)
the county auditor finds that the taxpayer's electronic contact information is 
invalid.
(f)
A person is considered to be a taxpayer for purposes of this Subsection (4) regardless 
of whether the property that is the subject of the notice required by this section is 
exempt from taxation.
Section 3, Section 
59-2-926
 is amended to read:
59-2-926
. Proposed tax increase by state -- Notice -- Contents -- Dates.
If the state authorizes a tax rate that exceeds the 
combined basic 
minimum basic tax 
rate described in Section 
53F-2-301
, or authorizes a levy pursuant to Section 
59-2-1602
 that 
exceeds the certified revenue levy as defined in Section 
59-2-102
, the state shall publish a 
notice no later than 10 days after the last day of the annual legislative general session that 
meets the following requirements:
(1)
(a)
The Office of the Legislative Fiscal Analyst shall advertise that the state 
authorized a levy that generates revenue in excess of the previous year's ad valorem 
tax revenue, plus eligible new growth as defined in Section 
59-2-924
, but exclusive 
of revenue from collections from redemptions, interest, and penalties:
(i)
in a newspaper of general circulation in the state; and
(ii)
as required in Section 
45-1-101
.
(b)
Except an advertisement published on a website, the advertisement described in 
Subsection 
(1)(a)
:
(i)
shall be no less than 1/4 page in size and the type used shall be no smaller than 18 
point, and surrounded by a 1/4-inch border;
(ii)
may not be placed in that portion of the newspaper where legal notices and 
classified advertisements appear; and
(iii)
shall be run once.
(2)
The form and content of the notice shall be substantially as follows:
"NOTICE OF TAX INCREASE
The state has budgeted an increase in its property tax revenue from $__________ to 
$__________ or ____%. The increase in property tax revenues will come from the following 
sources (include all of the following provisions):
(a)
$__________ of the increase will come from (provide an explanation of the cause of 
adjustment or increased revenues, such as reappraisals or factoring orders);
(b)
$__________ of the increase will come from natural increases in the value of the tax 
base due to (explain cause of eligible new growth, such as new building activity, 
annexation, etc.); and
(c)
a home valued at $100,000 in the state of Utah which based on last year's (levy for 
the basic state-supported school program, applicable tax rate for the Property Tax 
Valuation Fund, or both) paid $____________ in property taxes would pay the 
following:
(i)
$__________ if the state of Utah did not budget an increase in property tax 
revenue exclusive of eligible new growth; and
(ii)
$__________ under the increased property tax revenues exclusive of eligible new 
growth budgeted by the state of Utah."
Section 4. 
Effective Date.
This bill takes effect on 
July 1, 2026
.
Section 5. 
Coordinating H.B. 110 with S.B. 37.
If H.B. 110, Minimum Basic Tax Rate Reduction, and S.B. 37, Minimum Basic Tax 
Rate Amendments, both pass and become law, the Legislature intends that, on July 1, 2026, 
the term "minimum basic tax rate" replace the term "combined basic rate" that S.B. 37 enacts 
within Subsection 
53F-2-301(5)(b)
.
3-11-25 2:42 PM