Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 26 (2025GS)

Sponsor

Sen. Harper, Wayne A.

Final action

Governor Signed 3/12/2025

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• defines terms;
• amends provisions relating to the Housing and Transit Reinvestment Zone Act;
• amends provisions related to the Hotel Impact Mitigation Fund and distribution of funds;
• amends the allowable use of a certain sales and use taxes to be used for convention center revitalization;
• allows certain sales and use tax revenue distributed to a county to be used for convention center revitalization;
• creates a process to propose a convention center reinvestment zone to facilitate revitalization of a convention center and surrounding areas within a county of the first class to:
• allow capture of sales and use tax increment related to state and certain local sales and use taxes;
• allow capture of property tax increment; and
• provide for distribution of funds to enable bonding;
• amends provisions to exclude remote sales tax revenue for the capture of sales and use tax increment;
• amends the median gross income for a certain percentage of proposed dwelling units within the housing and transit reinvestment zone to the county median gross income for households of the same size;
• clarifies that the collection of a tax increment for a housing and transit reinvestment zone project may be triggered no more than three times per project;
• modifies provisions related to housing and transit reinvestment zones within certain transit stations or hubs;

Every vote on this bill

Bill text

123
11-70-204
17-27a-403
17-27a-408
17C-1-409
17C-1-411
17C-1-412
17D-4-102
17D-4-202.1
17D-4-203
59-1-306
59-1-404
59-2-924
59-2-924.2
59-12-103
59-12-205
59-12-302
59-12-354
59-12-402.1
59-12-403
59-12-603
59-12-703
59-12-802
59-12-804
59-12-1102
59-12-1302
59-12-1402
59-12-2103
59-12-2206
59-12-2214
59-12-2217
59-12-2219
59-12-2220
63H-1-205
63N-2-512
63N-3-602
63N-3-603
63N-3-603.1
63N-3-604
63N-3-604.1
63N-3-605
63N-3-606
63N-3-607
63N-3-608
63N-3-609
63N-3-610
63N-3-610.1
63N-3-611
63N-3-1403
72-1-214
72-1-304
72-17-105
73-10-36
41
0
Housing and Transit Reinvestment Zone Amendments
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Wayne A. Harper
House Sponsor: James A. Dunnigan
LONG TITLE
General Description:
This bill amends provisions relating to the Housing and Transit Reinvestment Zone Act.
Highlighted Provisions:
This bill:
defines terms;
amends provisions relating to the Housing and Transit Reinvestment Zone Act;
amends provisions related to the Hotel Impact Mitigation Fund and distribution of funds;
amends the allowable use of certain sales and use taxes to be used for convention center 
revitalization;
allows certain sales and use tax revenue distributed to a county to be used for convention 
center revitalization; 
creates a process to propose a convention center reinvestment zone to facilitate 
revitalization of a convention center and surrounding areas within a county of the first 
class to:
allow capture of sales and use tax increment related to state and certain local sales and 
use taxes;
allow capture of property tax increment; and
provide for distribution of funds to enable bonding;
amends provisions to exclude remote sales tax revenue for the capture of sales and use tax 
increment; 
amends the median gross income for a certain percentage of proposed dwelling units 
within the housing and transit reinvestment zone to the county median gross income for 
households of the same size;
clarifies that the collection of a tax increment for a housing and transit reinvestment zone 
project may be triggered no more than three times per project;
modifies provisions related to housing and transit reinvestment zones within certain 
transit stations or hubs; 
amends provisions related to mixed-use development;
modifies the requirement that a proposal for a transit reinvestment zone includes a mix of 
dwelling units with at least 25% of the dwelling units having more than one bedroom;
amends the date by which a tax increment collection notice is sent to certain entities to no 
later than December 31 of the year before the year tax increment is to take place;
requires certain limitations on use of funds in certain convention center reinvestment 
zones;
requires the base year to be updated in certain circumstances regarding existing 
community reinvestment projects; 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:
11-70-204
, 
Effective 
upon governor's approval
 as enacted by Laws of Utah 2024, 
Chapter 419
17-27a-403
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2024, Chapters 381, 431
17-27a-408
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2024, Chapters 381, 413
17C-1-409
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2023, 
Chapters 15, 471 and 492
17C-1-411
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2023, 
Chapters 471, 492
17C-1-412
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 413
17D-4-102
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 419
17D-4-203
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2023, 
Chapters 15, 259
59-1-306
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 35
59-1-404
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2023, 
Chapters 21, 492
59-2-924
, 
Effective 
01/01/26
 as last amended by Laws of Utah 2024, Chapter 258
59-2-924.2
, 
Effective 
01/01/26
 as last amended by Laws of Utah 2024, Chapter 246
59-12-103
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapters 88, 501
59-12-205
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 535
59-12-302
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2023, 
Chapter 471
59-12-354
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 419
59-12-402.1
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2017, Chapter 422
59-12-403
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2023, 
Chapter 471
59-12-603
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 274
59-12-703
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2023, 
Chapter 471
59-12-802
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 333
59-12-804
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2023, 
Chapter 471
59-12-1102
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2023, Chapters 435, 471
59-12-1302
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2023, Chapter 471
59-12-1402
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2023, Chapter 471
59-12-2103
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2023, Chapter 471
59-12-2206
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2023, Chapter 471
59-12-2214
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2020, Chapter 377
59-12-2217
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2020, Chapter 377
59-12-2219
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2024, Chapter 498
59-12-2220
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 
2024, Chapters 498, 501
63H-1-205
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 514
63N-2-512
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 159
63N-3-602
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapters 521, 537
63N-3-603
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapters 521, 537
63N-3-604
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 521
63N-3-605
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapters 521, 537
63N-3-606
, 
Effective 
upon governor's approval
 as enacted by Laws of Utah 2021, 
Chapter 411
63N-3-607
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 521
63N-3-608
, 
Effective 
upon governor's approval
 as enacted by Laws of Utah 2021, 
Chapter 411
63N-3-609
, 
Effective 
upon governor's approval
 as enacted by Laws of Utah 2021, 
Chapter 411
63N-3-610
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 521
63N-3-611
, 
Effective 
upon governor's approval
 as enacted by Laws of Utah 2024, 
Chapter 521
63N-3-1403
, 
Effective 
upon governor's approval
 as enacted by Laws of Utah 2024, 
Chapter 436
72-1-214
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2018, 
Chapter 424
72-1-304
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 517
72-17-105
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2024, 
Chapter 531
73-10-36
, 
Effective 
upon governor's approval
 as last amended by Laws of Utah 2023, 
Chapter 238
ENACTS:
17D-4-202.1
, 
Effective 
upon governor's approval
 Utah Code Annotated 1953
63N-3-603.1
, 
Effective 
upon governor's approval
 Utah Code Annotated 1953
63N-3-604.1
, 
Effective 
upon governor's approval
 Utah Code Annotated 1953
63N-3-610.1
, 
Effective 
upon governor's approval
 Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 
11-70-204
 is amended to read:
11-70-204
Effective 
upon governor's approval
. Fairpark district 
accommodations tax.
(1)
As used in this section:
(a)
(i)
"Accommodations and services" means an accommodation or service described 
in Subsection 
59-12-103
(1)(i).
(ii)
"Accommodations and services" does not include an accommodation or service 
for which amounts paid or charged are not part of a rental room rate.
(b)
"Accommodations tax" means a tax imposed as provided in this section.
(2)
By resolution, the fairpark district board may impose an accommodations tax on a 
provider for amounts paid or charged for accommodations and services, if the place of 
accommodation is located within the district sales tax area.
(3)
The maximum rate of an accommodations tax is 15% of the amounts paid to or charged 
by the provider for accommodations and services.
(4)
A provider may recover an amount equal to the accommodations tax from customers, if 
the provider includes the amount as a separate billing line item.
(5)
If the fairpark district imposes an accommodations tax, a public entity, including the 
fairpark district, may not impose, on the amounts paid or charged for accommodations 
and services within the district sales tax area, any other tax described in:
(a)
Title 59, Chapter 12, Sales and Use Tax Act; or
(b)
Title 59, Chapter 28, State Transient Room Tax Act.
(6)
Except as provided in Subsection (7) or (8), an accommodations tax shall be 
administered, collected, and enforced in accordance with:
(a)
the same procedures used to administer, collect, and enforce the tax under:
(i)
Title 59, Chapter 12, Part 1, Tax Collection; or
(ii)
Title 59, Chapter 12, Part 2, Local Sales and Use Tax Act; and
(b)
Title 59, Chapter 1, General Taxation Policies.
(7)
The location of a transaction shall be determined in accordance with Sections 
59-12-211
through 
59-12-215
.
(8)
(a)
An accommodations tax is not subject to Section 
59-12-107.1
 or 
59-12-123
 or 
Subsections 
59-12-205
(2) 
through (5)
and (4) through (6)
.
(b)
The exemptions described in Sections 
59-12-104
, 
59-12-104.1
, and 
59-12-104.6
 do 
not apply to an accommodations tax.
(9)
The State Tax Commission shall:
(a)
except as provided in Subsection (9)(b), distribute the revenue collected from an 
accommodations tax to the fairpark district; and
(b)
retain and deposit an administrative charge in accordance with Section 
59-1-306
from revenue the commission collects from an accommodations tax.
(10)
(a)
If the fairpark district imposes, repeals, or changes the rate of an 
accommodations tax, the implementation, repeal, or change takes effect:
(i)
on the first day of a calendar quarter; and
(ii)
after a 90-day period beginning on the date the State Tax Commission receives 
the notice described in Subsection (10)(b) from the fairpark district.
(b)
The notice required in Subsection (10)(a)(ii) shall state:
(i)
that the fairpark district will impose, repeal, or change the rate of an 
accommodations tax;
(ii)
the effective date of the implementation, repeal, or change of the accommodations 
tax; and
(iii)
the rate of the accommodations tax.
(11)
In addition to the uses permitted under Section 
11-70-207
, the fairpark district may 
allocate revenue from an accommodations tax to a county in which a place of 
accommodation that is subject to the accommodations tax is located, if:
(a)
the county had a transient room tax described in Section 
59-12-301
 in effect at the 
time the fairpark district board imposed an accommodations tax; and
(b)
the revenue replaces revenue that the county received from a county transient room 
tax described in Section 
59-12-301
 for the county's general operations and 
administrative expenses.
Section 2, Section 
17-27a-403
 is amended to read:
17-27a-403
Effective 
upon governor's approval
. Plan preparation.
(1)
(a)
The planning commission shall provide notice, as provided in Section 
17-27a-203
, 
of the planning commission's intent to make a recommendation to the county 
legislative body for a general plan or a comprehensive general plan amendment when 
the planning commission initiates the process of preparing the planning commission's 
recommendation.
(b)
The planning commission shall make and recommend to the legislative body a 
proposed general plan for:
(i)
the unincorporated area within the county; or
(ii)
if the planning commission is a planning commission for a mountainous planning 
district, the mountainous planning district.
(c)
(i)
The plan may include planning for incorporated areas if, in the planning 
commission's judgment, they are related to the planning of the unincorporated 
territory or of the county as a whole.
(ii)
Elements of the county plan that address incorporated areas are not an official 
plan or part of a municipal plan for any municipality, unless the county plan is 
recommended by the municipal planning commission and adopted by the 
governing body of the municipality.
(2)
(a)
At a minimum, the proposed general plan, with the accompanying maps, charts, 
and descriptive and explanatory matter, shall include the planning commission's 
recommendations for the following plan elements:
(i)
a land use element that:
(A)
designates the long-term goals and the proposed extent, general distribution, 
and location of land for housing for residents of various income levels, 
business, industry, agriculture, recreation, education, public buildings and 
grounds, open space, and other categories of public and private uses of land as 
appropriate;
(B)
includes a statement of the projections for and standards of population density 
and building intensity recommended for the various land use categories 
covered by the plan;
(C)
is coordinated to integrate the land use element with the water use and 
preservation element; and
(D)
accounts for the effect of land use categories and land uses on water demand;
(ii)
a transportation and traffic circulation element that:
(A)
provides the general location and extent of existing and proposed freeways, 
arterial and collector streets, public transit, active transportation facilities, and 
other modes of transportation that the planning commission considers 
appropriate;
(B)
addresses the county's plan for residential and commercial development 
around major transit investment corridors to maintain and improve the 
connections between housing, employment, education, recreation, and 
commerce; and
(C)
correlates with the population projections, the employment projections, and 
the proposed land use element of the general plan;
(iii)
for a specified county as defined in Section 
17-27a-408
, a moderate income 
housing element that:
(A)
provides a realistic opportunity to meet the need for additional moderate 
income housing within the next five years;
(B)
selects three or more moderate income housing strategies described in 
Subsection (2)(b)(ii) for implementation; and
(C)
includes an implementation plan as provided in Subsection (2)
(e)
(f)
;
(iv)
a resource management plan detailing the findings, objectives, and policies 
required by Subsection 
17-27a-401
(3); and
(v)
a water use and preservation element that addresses:
(A)
the effect of permitted development or patterns of development on water 
demand and water infrastructure;
(B)
methods of reducing water demand and per capita consumption for future 
development;
(C)
methods of reducing water demand and per capita consumption for existing 
development; and
(D)
opportunities for the county to modify the county's operations to eliminate 
practices or conditions that waste water.
(b)
In drafting the moderate income housing element, the planning commission:
(i)
shall consider the Legislature's determination that counties should facilitate a 
reasonable opportunity for a variety of housing, including moderate income 
housing:
(A)
to meet the needs of people of various income levels living, working, or 
desiring to live or work in the community; and
(B)
to allow people with various incomes to benefit from and fully participate in 
all aspects of neighborhood and community life; and
(ii)
shall include an analysis of how the county will provide a realistic opportunity for 
the development of moderate income housing within the planning horizon, 
including a recommendation to implement three or more of the following 
moderate income housing strategies:
(A)
rezone for densities necessary to facilitate the production of moderate income 
housing;
(B)
demonstrate investment in the rehabilitation or expansion of infrastructure that 
facilitates the construction of moderate income housing;
(C)
demonstrate investment in the rehabilitation of existing uninhabitable housing 
stock into moderate income housing;
(D)
identify and utilize county general fund subsidies or other sources of revenue 
to waive construction related fees that are otherwise generally imposed by the 
county for the construction or rehabilitation of moderate income housing;
(E)
create or allow for, and reduce regulations related to, internal or detached 
accessory dwelling units in residential zones;
(F)
zone or rezone for higher density or moderate income residential development 
in commercial or mixed-use zones, commercial centers, or employment centers;
(G)
amend land use regulations to allow for higher density or new moderate 
income residential development in commercial or mixed-use zones near major 
transit investment corridors;
(H)
amend land use regulations to eliminate or reduce parking requirements for 
residential development where a resident is less likely to rely on the resident's 
own vehicle, such as residential development near major transit investment 
corridors or senior living facilities;
(I)
amend land use regulations to allow for single room occupancy developments;
(J)
implement zoning incentives for moderate income units in new developments;
(K)
preserve existing and new moderate income housing and subsidized units by 
utilizing a landlord incentive program, providing for deed restricted units 
through a grant program, or establishing a housing loss mitigation fund;
(L)
reduce, waive, or eliminate impact fees related to moderate income housing;
(M)
demonstrate creation of, or participation in, a community land trust program 
for moderate income housing;
(N)
implement a mortgage assistance program for employees of the county, an 
employer that provides contracted services for the county, or any other public 
employer that operates within the county;
(O)
apply for or partner with an entity that applies for state or federal funds or tax 
incentives to promote the construction of moderate income housing, an entity 
that applies for programs offered by the Utah Housing Corporation within that 
agency's funding capacity, an entity that applies for affordable housing 
programs administered by the Department of Workforce Services, an entity 
that applies for services provided by a public housing authority to preserve and 
create moderate income housing, or any other entity that applies for programs 
or services that promote the construction or preservation of moderate income 
housing;
(P)
demonstrate utilization of a moderate income housing set aside from a 
community reinvestment agency, redevelopment agency, or community 
development and renewal agency to create or subsidize moderate income 
housing;
(Q)
create a housing and transit reinvestment zone pursuant to Title 63N, Chapter 
3, Part 6, Housing and Transit Reinvestment Zone Act;
(R)
create a home ownership promotion zone pursuant to Part 12, Home 
Ownership Promotion Zone for Counties;
(S)
eliminate impact fees for any accessory dwelling unit that is not an internal 
accessory dwelling unit as defined in Section 
10-9a-530
;
(T)
create a program to transfer development rights for moderate income housing;
(U)
ratify a joint acquisition agreement with another local political subdivision for 
the purpose of combining resources to acquire property for moderate income 
housing;
(V)
develop a moderate income housing project for residents who are disabled or 
55 years old or older;
(W)
create or allow for, and reduce regulations related to, multifamily residential 
dwellings compatible in scale and form with detached single-family residential 
dwellings and located in walkable communities within residential or mixed-use 
zones; and
(X)
demonstrate implementation of any other program or strategy to address the 
housing needs of residents of the county who earn less than 80% of the area 
median income, including the dedication of a local funding source to moderate 
income housing or the adoption of a land use ordinance that requires 10% or 
more of new residential development in a residential zone be dedicated to 
moderate income housing.
(c)
If a specified county, as defined in Section 
17-27a-408
, has created a small public 
transit district, as defined in Section 
17B-2a-802
, on or before January 1, 2022, the 
specified county shall include as part of the specified county's recommended 
strategies under Subsection (2)(b)(ii) a recommendation to implement the strategy 
described in Subsection (2)(b)(ii)(Q).
(d)
(c)
The planning commission shall identify each moderate income housing strategy 
recommended to the legislative body for implementation by restating the exact 
language used to describe the strategy in Subsection (2)(b)(ii).
(e)
(d)
In drafting the land use element, the planning commission shall:
(i)
identify and consider each agriculture protection area within the unincorporated 
area of the county or mountainous planning district;
(ii)
avoid proposing a use of land within an agriculture protection area that is 
inconsistent with or detrimental to the use of the land for agriculture; and
(iii)
consider and coordinate with any station area plans adopted by municipalities 
located within the county under Section 
10-9a-403.1
.
(f)
(e)
In drafting the transportation and traffic circulation element, the planning 
commission shall:
(i)
(A)
consider and coordinate with the regional transportation plan developed by 
the county's region's metropolitan planning organization, if the relevant areas 
of the county are within the boundaries of a metropolitan planning 
organization; or
(B)
consider and coordinate with the long-range transportation plan developed by 
the Department of Transportation, if the relevant areas of the county are not 
within the boundaries of a metropolitan planning organization; and
(ii)
consider and coordinate with any station area plans adopted by municipalities 
located within the county under Section 
10-9a-403.1
.
(g)
(f)
(i)
In drafting the implementation plan portion of the moderate income 
housing element as described in Subsection (2)(a)(iii)(C), the planning 
commission shall recommend to the legislative body the establishment of a 
five-year timeline for implementing each of the moderate income housing 
strategies selected by the county for implementation.
(ii)
The timeline described in Subsection (2)
(g)(i)
(f)(i)
 shall:
(A)
identify specific measures and benchmarks for implementing each moderate 
income housing strategy selected by the county; and
(B)
provide flexibility for the county to make adjustments as needed.
(h)
(g)
In drafting the water use and preservation element, the planning commission:
(i)
shall consider applicable regional water conservation goals recommended by the 
Division of Water Resources;
(ii)
shall consult with the Division of Water Resources for information and technical 
resources regarding regional water conservation goals, including how 
implementation of the land use element and water use and preservation element 
may affect the Great Salt Lake;
(iii)
shall notify the community water systems serving drinking water within the 
unincorporated portion of the county and request feedback from the community 
water systems about how implementation of the land use element and water use 
and preservation element may affect:
(A)
water supply planning, including drinking water source and storage capacity 
consistent with Section 
19-4-114
; and
(B)
water distribution planning, including master plans, infrastructure asset 
management programs and plans, infrastructure replacement plans, and impact 
fee facilities plans;
(iv)
shall consider the potential opportunities and benefits of planning for 
regionalization of public water systems;
(v)
shall consult with the Department of Agriculture and Food for information and 
technical resources regarding the potential benefits of agriculture conservation 
easements and potential implementation of agriculture water optimization projects 
that would support regional water conservation goals;
(vi)
shall notify an irrigation or canal company located in the county so that the 
irrigation or canal company can be involved in the protection and integrity of the 
irrigation or canal company's delivery systems;
(vii)
shall include a recommendation for:
(A)
water conservation policies to be determined by the county; and
(B)
landscaping options within a public street for current and future development 
that do not require the use of lawn or turf in a parkstrip;
(viii)
shall review the county's land use ordinances and include a recommendation for 
changes to an ordinance that promotes the inefficient use of water;
(ix)
shall consider principles of sustainable landscaping, including the:
(A)
reduction or limitation of the use of lawn or turf;
(B)
promotion of site-specific landscape design that decreases stormwater runoff 
or runoff of water used for irrigation;
(C)
preservation and use of healthy trees that have a reasonable water requirement 
or are resistant to dry soil conditions;
(D)
elimination or regulation of ponds, pools, and other features that promote 
unnecessary water evaporation;
(E)
reduction of yard waste; and
(F)
use of an irrigation system, including drip irrigation, best adapted to provide 
the optimal amount of water to the plants being irrigated;
(x)
may include recommendations for additional water demand reduction strategies, 
including:
(A)
creating a water budget associated with a particular type of development;
(B)
adopting new or modified lot size, configuration, and landscaping standards 
that will reduce water demand for new single family development;
(C)
providing one or more water reduction incentives for existing landscapes and 
irrigation systems and installation of water fixtures or systems that minimize 
water demand;
(D)
discouraging incentives for economic development activities that do not 
adequately account for water use or do not include strategies for reducing 
water demand; and
(E)
adopting water concurrency standards requiring that adequate water supplies 
and facilities are or will be in place for new development; and
(xi)
shall include a recommendation for low water use landscaping standards for a 
new:
(A)
commercial, industrial, or institutional development;
(B)
common interest community, as defined in Section 
57-25-102
; or
(C)
multifamily housing project.
(3)
The proposed general plan may include:
(a)
an environmental element that addresses:
(i)
to the extent not covered by the county's resource management plan, the 
protection, conservation, development, and use of natural resources, including the 
quality of:
(A)
air;
(B)
forests;
(C)
soils;
(D)
rivers;
(E)
groundwater and other waters;
(F)
harbors;
(G)
fisheries;
(H)
wildlife;
(I)
minerals; and
(J)
other natural resources; and
(ii)
(A)
the reclamation of land, flood control, prevention and control of the 
pollution of streams and other waters;
(B)
the regulation of the use of land on hillsides, stream channels and other 
environmentally sensitive areas;
(C)
the prevention, control, and correction of the erosion of soils;
(D)
the preservation and enhancement of watersheds and wetlands; and
(E)
the mapping of known geologic hazards;
(b)
a public services and facilities element showing general plans for sewage, water, 
waste disposal, drainage, public utilities, rights-of-way, easements, and facilities for 
them, police and fire protection, and other public services;
(c)
a rehabilitation, redevelopment, and conservation element consisting of plans and 
programs for:
(i)
historic preservation;
(ii)
the diminution or elimination of a development impediment as defined in Section 
17C-1-102
; and
(iii)
redevelopment of land, including housing sites, business and industrial sites, and 
public building sites;
(d)
an economic element composed of appropriate studies and forecasts, as well as an 
economic development plan, which may include review of existing and projected 
county revenue and expenditures, revenue sources, identification of basic and 
secondary industry, primary and secondary market areas, employment, and retail 
sales activity;
(e)
recommendations for implementing all or any portion of the general plan, including 
the adoption of land and water use ordinances, capital improvement plans, 
community development and promotion, and any other appropriate action;
(f)
provisions addressing any of the matters listed in Subsection 
17-27a-401
(2) or 
(3)(a)(i); and
(g)
any other element the county considers appropriate.
Section 3, Section 
17-27a-408
 is amended to read:
17-27a-408
Effective 
upon governor's approval
. Moderate income housing 
report -- Contents -- Prioritization for funds or projects -- Ineligibility for funds after 
noncompliance -- Civil actions.
(1)
As used in this section:
(a)
"Division" means the Housing and Community Development Division within the 
Department of Workforce Services.
(b)
"Implementation plan" means the implementation plan adopted as part of the 
moderate income housing element of a specified county's general plan as provided in 
Subsection 
17-27a-403
(2)
(g)
(f)
.
(c)
"Initial report" means the one-time moderate income housing report described in 
Subsection (2).
(d)
"Moderate income housing strategy" means a strategy described in Subsection 
17-27a-403
(2)(b)(ii).
(e)
"Report" means an initial report or a subsequent report.
(f)
"Specified county" means a county of the first, second, or third class, which has a 
population of more than 5,000 in the county's unincorporated areas.
(g)
"Subsequent progress report" means the annual moderate income housing report 
described in Subsection (3).
(2)
(a)
The legislative body of a specified county shall annually submit an initial report to 
the division.
(b)
(i)
This Subsection (2)(b) applies to a county that is not a specified county as of 
January 1, 2023.
(ii)
As of January 1, if a county described in Subsection (2)(b)(i) changes from one 
class to another or grows in population to qualify as a specified county, the county 
shall submit an initial plan to the division on or before August 1 of the first 
calendar year beginning on January 1 in which the county qualifies as a specified 
county.
(c)
The initial report shall:
(i)
identify each moderate income housing strategy selected by the specified county 
for continued, ongoing, or one-time implementation, using the exact language 
used to describe the moderate income housing strategy in Subsection 
17-27a-403
(2)(b)(ii); and
(ii)
include an implementation plan.
(3)
(a)
After the division approves a specified county's initial report under this section, 
the specified county shall, as an administrative act, annually submit to the division a 
subsequent progress report on or before August 1 of each year after the year in which 
the specified county is required to submit the initial report.
(b)
The subsequent progress report shall include:
(i)
subject to Subsection (3)(c), a description of each action, whether one-time or 
ongoing, taken by the specified county during the previous 12-month period to 
implement the moderate income housing strategies identified in the initial report 
for implementation;
(ii)
a description of each land use regulation or land use decision made by the 
specified county during the previous 12-month period to implement the moderate 
income housing strategies, including an explanation of how the land use 
regulation or land use decision supports the specified county's efforts to 
implement the moderate income housing strategies;
(iii)
a description of any barriers encountered by the specified county in the previous 
12-month period in implementing the moderate income housing strategies;
(iv)
the number of residential dwelling units that have been entitled that have not 
received a building permit as of the submission date of the progress report;
(v)
shapefiles, or website links if shapefiles are not available, to current maps and 
tables related to zoning;
(vi)
information regarding the number of internal and external or detached accessory 
dwelling units located within the specified county for which the specified county:
(A)
issued a building permit to construct; or
(B)
issued a business license or comparable license or permit to rent;
(vii)
a description of how the market has responded to the selected moderate income 
housing strategies, including the number of entitled moderate income housing 
units or other relevant data; and
(viii)
any recommendations on how the state can support the specified county in 
implementing the moderate income housing strategies.
(c)
For purposes of describing actions taken by a specified county under Subsection 
(3)(b)(i), the specified county may include an ongoing action taken by the specified 
county prior to the 12-month reporting period applicable to the subsequent progress 
report if the specified county:
(i)
has already adopted an ordinance, approved a land use application, made an 
investment, or approved an agreement or financing that substantially promotes the 
implementation of a moderate income housing strategy identified in the initial 
report; and
(ii)
demonstrates in the subsequent progress report that the action taken under 
Subsection (3)(c)(i) is relevant to making meaningful progress towards the 
specified county's implementation plan.
(d)
A specified county's report shall be in a form:
(i)
approved by the division; and
(ii)
made available by the division on or before May 1 of the year in which the report 
is required.
(4)
Within 90 days after the day on which the division receives a specified county's report, 
the division shall:
(a)
post the report on the division's website;
(b)
send a copy of the report to the Department of Transportation, the Governor's Office 
of Planning and Budget, the association of governments in which the specified 
county is located, and, if the unincorporated area of the specified county is located 
within the boundaries of a metropolitan planning organization, the appropriate 
metropolitan planning organization; and
(c)
subject to Subsection (5), review the report to determine compliance with this section.
(5)
(a)
An initial report does not comply with this section unless the report:
(i)
includes the information required under Subsection (2)(c);
(ii)
subject to Subsection (5)(c), 
demonstrates to the division that the specified 
county made plans to implement three or more moderate income housing 
strategies; and
(iii)
is in a form approved by the division.
(b)
A subsequent progress report does not comply with this section unless the report:
(i)
subject to Subsection (5)(c), 
demonstrates to the division that the specified 
county made plans to implement three or more moderate income housing 
strategies;
(ii)
is in a form approved by the division; and
(iii)
provides sufficient information for the division to:
(A)
assess the specified county's progress in implementing the moderate income 
housing strategies;
(B)
monitor compliance with the specified county's implementation plan;
(C)
identify a clear correlation between the specified county's land use decisions 
and efforts to implement the moderate income housing strategies;
(D)
identify how the market has responded to the specified county's selected 
moderate income housing strategies; and
(E)
identify any barriers encountered by the specified county in implementing the 
selected moderate income housing strategies.
(c)
(i)
This Subsection (5)(c) applies to a specified county that has created a small 
public transit district, as defined in Section 
17B-2a-802
, on or before January 1, 
2022.
(ii)
In addition to the requirements of Subsections (5)(a) and (b), a report for a 
specified county described in Subsection (5)(c)(i) does not comply with this 
section unless the report demonstrates to the division that the specified county:
(A)
made plans to implement the moderate income housing strategy described in 
Subsection 
17-27a-403
(2)(b)(ii)(Q); and
(B)
is in compliance with Subsection 
63N-3-603
(8).
(6)
(a)
A specified county qualifies for priority consideration under this Subsection (6) if 
the specified county's report:
(i)
complies with this section; and
(ii)
demonstrates to the division that the specified county made plans to implement 
five or more moderate income housing strategies.
(b)
The Transportation Commission may, in accordance with Subsection 
72-1-304
(3)(c), 
give priority consideration to transportation projects located within the 
unincorporated areas of a specified county described in Subsection (6)(a) until the 
Department of Transportation receives notice from the division under Subsection 
(6)(e).
(c)
Upon determining that a specified county qualifies for priority consideration under 
this Subsection (6), the division shall send a notice of prioritization to the legislative 
body of the specified county and the Department of Transportation.
(d)
The notice described in Subsection (6)(c) shall:
(i)
name the specified county that qualifies for priority consideration;
(ii)
describe the funds or projects for which the specified county qualifies to receive 
priority consideration; and
(iii)
state the basis for the division's determination that the specified county qualifies 
for priority consideration.
(e)
The division shall notify the legislative body of a specified county and the 
Department of Transportation in writing if the division determines that the specified 
county no longer qualifies for priority consideration under this Subsection (6).
(7)
(a)
If the division, after reviewing a specified county's report, determines that the 
report does not comply with this section, the division shall send a notice of 
noncompliance to the legislative body of the specified county.
(b)
A specified county that receives a notice of noncompliance may:
(i)
cure each deficiency in the report within 90 days after the day on which the notice 
of noncompliance is sent; or
(ii)
request an appeal of the division's determination of noncompliance within 10 
days after the day on which the notice of noncompliance is sent.
(c)
The notice described in Subsection (7)(a) shall:
(i)
describe each deficiency in the report and the actions needed to cure each 
deficiency;
(ii)
state that the specified county has an opportunity to:
(A)
submit to the division a corrected report that cures each deficiency in the 
report within 90 days after the day on which the notice of noncompliance is 
sent; or
(B)
submit to the division a request for an appeal of the division's determination of 
noncompliance within 10 days after the day on which the notice of 
noncompliance is sent; and
(iii)
state that failure to take action under Subsection (7)(c)(ii) will result in the 
specified county's ineligibility for funds and fees owed under Subsection (9).
(d)
For purposes of curing the deficiencies in a report under this Subsection (7), if the 
action needed to cure the deficiency as described by the division requires the 
specified county to make a legislative change, the specified county may cure the 
deficiency by making that legislative change within the 90-day cure period.
(e)
(i)
If a specified county submits to the division a corrected report in accordance 
with Subsection (7)(b)(i), and the division determines that the corrected report 
does not comply with this section, the division shall send a second notice of 
noncompliance to the legislative body of the specified county.
(ii)
A specified county that receives a second notice of noncompliance may request 
an appeal of the division's determination of noncompliance within 10 days after 
the day on which the second notice of noncompliance is sent.
(iii)
The notice described in Subsection (7)(e)(i) shall:
(A)
state that the specified county has an opportunity to submit to the division a 
request for an appeal of the division's determination of noncompliance within 
10 days after the day on which the second notice of noncompliance is sent; and
(B)
state that failure to take action under Subsection (7)(e)(iii)(A) will result in the 
specified county's ineligibility for funds under Subsection (9).
(8)
(a)
A specified county that receives a notice of noncompliance under Subsection 
(7)(a) or (7)(e)(i) may request an appeal of the division's determination of 
noncompliance within 10 days after the day on which the notice of noncompliance is 
sent.
(b)
Within 90 days after the day on which the division receives a request for an appeal, 
an appeal board consisting of the following three members shall review and issue a 
written decision on the appeal:
(i)
one individual appointed by the Utah Association of Counties;
(ii)
one individual appointed by the Utah Homebuilders Association; and
(iii)
one individual appointed by the presiding member of the association of 
governments, established pursuant to an interlocal agreement under Title 11, 
Chapter 13, Interlocal Cooperation Act, of which the specified county is a member.
(c)
The written decision of the appeal board shall either uphold or reverse the division's 
determination of noncompliance.
(d)
The appeal board's written decision on the appeal is final.
(9)
(a)
A specified county is ineligible for funds and owes a fee under this Subsection (9) 
if:
(i)
the specified county fails to submit a report to the division;
(ii)
after submitting a report to the division, the division determines that the report 
does not comply with this section and the specified county fails to:
(A)
cure each deficiency in the report within 90 days after the day on which the 
notice of noncompliance is sent; or
(B)
request an appeal of the division's determination of noncompliance within 10 
days after the day on which the notice of noncompliance is sent;
(iii)
after submitting to the division a corrected report to cure the deficiencies in a 
previously submitted report, the division determines that the corrected report does 
not comply with this section and the specified county fails to request an appeal of 
the division's determination of noncompliance within 10 days after the day on 
which the second notice of noncompliance is sent; or
(iv)
after submitting a request for an appeal under Subsection (8), the appeal board 
issues a written decision upholding the division's determination of noncompliance.
(b)
The following apply to a specified county described in Subsection (9)(a) until the 
division provides notice under Subsection (9)(e):
(i)
the executive director of the Department of Transportation may not program funds 
from the Transportation Investment Fund of 2005, including the Transit 
Transportation Investment Fund, to projects located within the unincorporated 
areas of the specified county in accordance with Subsection 
72-2-124
(6);
(ii)
beginning with the report submitted in 2024, the specified county shall pay a fee 
to the Olene Walker Housing Loan Fund in the amount of $250 per day that the 
specified county:
(A)
fails to submit the report to the division in accordance with this section, 
beginning the day after the day on which the report was due; or
(B)
fails to cure the deficiencies in the report, beginning the day after the day by 
which the cure was required to occur as described in the notice of 
noncompliance under Subsection (7); and
(iii)
beginning with the report submitted in 2025, the specified county shall pay a fee 
to the Olene Walker Housing Loan Fund in the amount of $500 per day that the 
specified county, for a consecutive year:
(A)
fails to submit the report to the division in accordance with this section, 
beginning the day after the day on which the report was due; or
(B)
fails to cure the deficiencies in the report, beginning the day after the day by 
which the cure was required to occur as described in the notice of 
noncompliance under Subsection (7).
(c)
Upon determining that a specified county is ineligible for funds under this 
Subsection (9), and is required to pay a fee under Subsection (9)(b), if applicable, the 
division shall send a notice of ineligibility to the legislative body of the specified 
county, the Department of Transportation, the State Tax Commission, and the 
Governor's Office of Planning and Budget.
(d)
The notice described in Subsection (9)(c) shall:
(i)
name the specified county that is ineligible for funds;
(ii)
describe the funds for which the specified county is ineligible to receive;
(iii)
describe the fee the specified county is required to pay under Subsection (9)(b), 
if applicable; and
(iv)
state the basis for the division's determination that the specified county is 
ineligible for funds.
(e)
The division shall notify the legislative body of a specified county and the 
Department of Transportation in writing if the division determines that the provisions 
of this Subsection (9) no longer apply to the specified county.
(f)
The division may not determine that a specified county that is required to pay a fee 
under Subsection (9)(b) is in compliance with the reporting requirements of this 
section until the specified county pays all outstanding fees required under Subsection 
(9)(b) to the Olene Walker Housing Loan Fund, created under Title 35A, Chapter 8, 
Part 5, Olene Walker Housing Loan Fund.
(10)
In a civil action seeking enforcement or claiming a violation of this section or of 
Subsection 
17-27a-404
(5)(c), a plaintiff may not recover damages but may be awarded 
only injunctive or other equitable relief.
Section 4, Section 
17C-1-409
 is amended to read:
17C-1-409
Effective 
upon governor's approval
. Allowable uses of agency funds.
(1)
(a)
An agency may use agency funds:
(i)
for any purpose authorized under this title;
(ii)
for administrative, overhead, legal, or other operating expenses of the agency, 
including consultant fees and expenses under Subsection 
17C-2-102(1)(b)(ii)(B)
or funding for a business resource center;
(iii)
subject to Section 
11-41-103
, to pay for, including financing or refinancing, all 
or part of:
(A)
project area development in a project area, including environmental 
remediation activities occurring before or after adoption of the project area 
plan;
(B)
housing-related expenditures, projects, or programs as described in Section 
17C-1-411
 or 
17C-1-412
;
(C)
an incentive or other consideration paid to a participant under a participation 
agreement;
(D)
subject to Subsections 
(1)(c)
 and 
(4)
, the value of the land for and the cost of 
the installation and construction of any publicly owned building, facility, 
structure, landscaping, or other improvement within the project area from 
which the project area funds are collected; or
(E)
the cost of the installation of publicly owned infrastructure and improvements 
outside the project area from which the project area funds are collected if the 
board and the community legislative body determine by resolution that the 
publicly owned infrastructure and improvements benefit the project area;
(iv)
in an urban renewal project area that includes some or all of an inactive industrial 
site and subject to Subsection 
(1)(e)
, to reimburse the Department of 
Transportation created under Section 
72-1-201
, or a public transit district created 
under 
Title 17B, Chapter 2a, Part 8, Public Transit District Act
, for the cost of:
(A)
construction of a public road, bridge, or overpass;
(B)
relocation of a railroad track within the urban renewal project area; or
(C)
relocation of a railroad facility within the urban renewal project area;
(v)
subject to Subsection 
(5)
, to transfer funds to a community that created the 
agency; or
(vi)
subject to Subsection 
(1)(f)
, for agency-wide project development under 
Part 10, 
Agency Taxing Authority
.
(b)
The determination of the board and the community legislative body under Subsection 
(1)(a)(iii)(E)
 regarding benefit to the project area shall be final and conclusive.
(c)
An agency may not use project area funds received from a taxing entity for the 
purposes stated in Subsection 
(1)(a)(iii)(D)
 under an urban renewal project area plan, 
an economic development project area plan, or a community reinvestment project 
area plan without the community legislative body's consent.
(d)
(i)
Subject to Subsection 
(1)(d)(ii)
, an agency may loan project area funds from a 
project area fund to another project area fund if:
(A)
the board approves; and
(B)
the community legislative body approves.
(ii)
An agency may not loan project area funds under Subsection 
(1)(d)(i)
 unless the 
projections for agency funds are sufficient to repay the loan amount.
(iii)
A loan described in 
this 
Subsection 
(1)(d)
 is not subject to 
Title 10, Chapter 5, 
Uniform Fiscal Procedures Act for Utah Towns
, 
Title 10, Chapter 6, Uniform 
Fiscal Procedures Act for Utah Cities
, 
Title 17, Chapter 36, Uniform Fiscal 
Procedures Act for Counties
, or 
Title 17B, Chapter 1, Part 6, Fiscal Procedures for 
Special Districts
.
(e)
Before an agency may pay any tax increment or sales tax revenue under Subsection 
(1)(a)(iv)
, the agency shall enter into an interlocal agreement defining the terms of 
the reimbursement with:
(i)
the Department of Transportation; or
(ii)
a public transit district.
(f)
Before an agency may use project area funds for agency-wide project development, 
as defined in Section 
17C-1-1001
, the agency shall obtain the consent of the taxing 
entity committee or each taxing entity party to an interlocal agreement with the 
agency.
(2)
(a)
Sales and use tax revenue that an agency receives from a taxing entity is not 
subject to the prohibition or limitations of 
Title 11, Chapter 41, Prohibition on Retail 
Facility Incentive Payments Act
.
(b)
An agency may use sales and use tax revenue that the agency receives under an 
interlocal agreement under Section 
17C-4-201
 or 
17C-5-204
 for the uses authorized 
in the interlocal agreement.
(3)
(a)
An agency may contract with the community that created the agency or another 
public entity to use agency funds to reimburse the cost of items authorized by this 
title to be paid by the agency that are paid by the community or other public entity.
(b)
If land is acquired or the cost of an improvement is paid by another public entity and 
the land or improvement is leased to the community, an agency may contract with 
and make reimbursement from agency funds to the community.
(4)
Notwithstanding any other provision of this title, an agency may not use project area 
funds, project area incremental revenue as defined in Section 
17C-1-1001
, or property 
tax revenue as defined in Section 
17C-1-1001
, to construct a local government building 
unless the taxing entity committee or each taxing entity party to an interlocal agreement 
with the agency consents.
(5)
For the purpose of offsetting the community's annual local contribution to the Homeless 
Shelter Cities Mitigation Restricted Account, the total amount an agency transfers in a 
calendar year to a community under Subsections 
(1)(a)(v)
, 
17C-1-411(1)(d)
, and 
17C-1-412(1)(a)(x)
 may not exceed the community's annual local contribution as 
defined in Subsection 
59-12-205(4)
59-12-205(5)
.
Section 5, Section 
17C-1-411
 is amended to read:
17C-1-411
Effective 
upon governor's approval
. Use of project area funds for 
housing-related improvements and for relocating mobile home park residents -- Funds to 
be held in separate accounts.
(1)
An agency may use project area funds:
(a)
to pay all or part of the value of the land for and the cost of installation, construction, 
or rehabilitation of any housing-related building, facility, structure, or other housing 
improvement, including infrastructure improvements related to housing, located in 
any project area within the agency's boundaries;
(b)
outside of a project area for the purpose of:
(i)
replacing housing units lost by project area development; or
(ii)
increasing, improving, or preserving the affordable housing supply within the 
boundary of the agency;
(c)
for relocating mobile home park residents displaced by project area development, 
whether inside or outside a project area; or
(d)
subject to Subsection 
(4)
, to transfer funds to a community that created the agency.
(2)
(a)
Each agency shall create a housing fund and separately account for project area 
funds allocated under this section.
(b)
Interest earned by the housing fund described in Subsection 
(2)(a)
, and any payments 
or repayments made to the agency for loans, advances, or grants of any kind from the 
housing fund, shall accrue to the housing fund.
(c)
An agency that designates a housing fund under this section shall use the housing 
fund for the purposes set forth in this section or Section 
17C-1-412
.
(3)
An agency may lend, grant, or contribute funds from the housing fund to a person, 
public entity, housing authority, private entity or business, or nonprofit corporation for 
affordable housing or homeless assistance.
(4)
For the purpose of offsetting the community's annual local contribution to the Homeless 
Shelter Cities Mitigation Restricted Account, the total amount an agency transfers in a 
calendar year to a community under Subsections 
(1)(d)
, 
17C-1-409(1)(a)(v)
, and 
17C-1-412(1)(a)(x)
 may not exceed the community's annual local contribution as 
defined in Subsection 
59-12-205(4)
59-12-205(5)
.
Section 6, Section 
17C-1-412
 is amended to read:
17C-1-412
Effective 
upon governor's approval
. Use of housing allocation -- 
Separate accounting required -- Issuance of bonds for housing -- Action to compel agency 
to provide housing allocation.
(1)
(a)
An agency shall use the agency's housing allocation to:
(i)
pay part or all of the cost of land or construction of income targeted housing 
within the boundary of the agency, if practicable in a mixed income development 
or area;
(ii)
pay part or all of the cost of rehabilitation of income targeted housing within the 
boundary of the agency;
(iii)
lend, grant, or contribute money to a person, public entity, housing authority, 
private entity or business, or nonprofit corporation for income targeted housing 
within the boundary of the agency;
(iv)
plan or otherwise promote income targeted housing within the boundary of the 
agency;
(v)
pay part or all of the cost of land or installation, construction, or rehabilitation of 
any building, facility, structure, or other housing improvement, including 
infrastructure improvements, related to housing located in a project area where a 
board has determined that a development impediment exists;
(vi)
replace housing units lost as a result of the project area development;
(vii)
make payments on or establish a reserve fund for bonds:
(A)
issued by the agency, the community, or the housing authority that provides 
income targeted housing within the community; and
(B)
all or part of the proceeds of which are used within the community for the 
purposes stated in Subsection (1)(a)(i), (ii), (iii), (iv), (v), or (vi);
(viii)
if the community's fair share ratio at the time of the first adoption of the project 
area budget is at least 1.1 to 1.0, make payments on bonds:
(A)
that were previously issued by the agency, the community, or the housing 
authority that provides income targeted housing within the community; and
(B)
all or part of the proceeds of which were used within the community for the 
purposes stated in Subsection (1)(a)(i), (ii), (iii), (iv), (v), or (vi);
(ix)
relocate mobile home park residents displaced by project area development;
(x)
subject to Subsection (7), transfer funds to a community that created the agency; 
or
(xi)
pay for or make a contribution toward the acquisition, construction, or 
rehabilitation of housing that:
(A)
is located in the same county as the agency;
(B)
is owned in whole or in part by, or is dedicated to supporting, a public 
nonprofit college or university; and
(C)
only students of the relevant college or university, including the students' 
immediate families, occupy.
(b)
As an alternative to the requirements of Subsection (1)(a), an agency may pay all or 
any portion of the agency's housing allocation to:
(i)
the community for use as described in Subsection (1)(a);
(ii)
a housing authority that provides income targeted housing within the community 
for use in providing income targeted housing within the community;
(iii)
a housing authority established by the county in which the agency is located for 
providing:
(A)
income targeted housing within the county;
(B)
permanent housing, permanent supportive housing, or a transitional facility, as 
defined in Section 
35A-5-302
, within the county; or
(C)
homeless assistance within the county;
(iv)
the Olene Walker Housing Loan Fund, established under Title 35A, Chapter 8, 
Part 5, Olene Walker Housing Loan Fund, for use in providing income targeted 
housing within the community;
(v)
pay for or make a contribution toward the acquisition, construction, or 
rehabilitation of income targeted housing that is outside of the community if the 
housing is located along or near a major transit investment corridor that services 
the community and the related project has been approved by the community in 
which the housing is or will be located; 
(vi)
pay for or make a contribution toward the acquisition, construction, or 
rehabilitation of income targeted housing that is outside of the community if there 
is an interlocal agreement between the agency and the receiving community; or
(vii)
pay for or make a contribution toward the expansion of child care facilities 
within the boundary of the agency, provided that any recipient of funds from the 
agency's housing allocation reports annually to the agency on how the funds were 
used.
(2)
(a)
An agency may combine all or any portion of the agency's housing allocation with 
all or any portion of one or more additional agency's housing allocations if the 
agencies execute an interlocal agreement in accordance with Title 11, Chapter 13, 
Interlocal Cooperation Act.
(b)
An agency that has entered into an interlocal agreement as described in Subsection 
(2)(a), meets the requirements of Subsection (1)(a) or (1)(b) if the use of the housing 
allocation meets the requirements for at least one agency that is a party to the 
interlocal agreement.
(3)
The agency shall create a housing fund and separately account for the agency's housing 
allocation, together with all interest earned by the housing allocation and all payments or 
repayments for loans, advances, or grants from the housing allocation.
(4)
An agency may:
(a)
issue bonds to finance a housing-related project under this section, including the 
payment of principal and interest upon advances for surveys and plans or preliminary 
loans; and
(b)
issue refunding bonds for the payment or retirement of bonds under Subsection 
(4)(a) previously issued by the agency.
(5)
(a)
Except as provided in Subsection (5)(b), an agency shall allocate money to the 
housing fund each year in which the agency receives sufficient tax increment to make 
a housing allocation required by the project area budget.
(b)
Subsection (5)(a) does not apply in a year in which tax increment is insufficient.
(6)
(a)
Except as provided in Subsection (5)(b), if an agency fails to provide a housing 
allocation in accordance with the project area budget and the housing plan adopted 
under Subsection 
17C-2-204
(2), the loan fund board may bring legal action to 
compel the agency to provide the housing allocation.
(b)
In an action under Subsection (6)(a), the court:
(i)
shall award the loan fund board reasonable attorney fees, unless the court finds 
that the action was frivolous; and
(ii)
may not award the agency the agency's attorney fees, unless the court finds that 
the action was frivolous.
(7)
For the purpose of offsetting the community's annual local contribution to the Homeless 
Shelter Cities Mitigation Restricted Account, the total amount an agency transfers in a 
calendar year to a community under Subsections (1)(a)(x), 
17C-1-409
(1)(a)(v), and 
17C-1-411
(1)(d) may not exceed the community's annual local contribution as defined 
in Subsection 
59-12-205
(4)
59-12-205(5)
.
(8)
An agency shall spend, encumber, or allot the money contributed to the housing fund 
under Subsection (5)(a) within six years from the day on which the agency first receives 
the money.
Section 7, Section 
17D-4-102
 is amended to read:
17D-4-102
Effective 
upon governor's approval
. Definitions.
As used in this chapter:
(1)
"Board" means the board of trustees of a public infrastructure district.
(2)
"Capital city" means a city of the first class that is the capital of the state that has a 
convention center within the boundary of the city.
(3)
"Convention center" means a government facility:
(a)
owned by the county in which the convention center is located;
(b)
primarily used for hosting conventions, exhibitions, trade shows, or similar events; 
and
(c)
is located within the boundaries of a city of the first class in a county of the first class.
(4)
"Convention center public infrastructure district" means a public infrastructure district 
created to finance public infrastructure and improvements associated with and benefiting 
a convention center area and surrounding area, including the costs to finance any public 
or privately owned improvements, including:
(a)
convention center-related improvements;
(b)
arena improvements; and
(c)
a convention revitalization project, as that term is defined in Section 
63N-3-602
.
(5)
"Convention center public infrastructure district in a capital city" means a convention 
center public infrastructure district created to finance public infrastructure and 
improvements for a convention center in a capital city, including:
(a)
the costs to finance any public improvements that serve the convention center;
(b)
privately owned improvements if the improvements are an allowed use of funds 
under Section 
63N-3-1403
; and
(c)
a convention center revitalization project, as that term is defined in Section 
63N-3-602
.
(2)
(6)
"Creating entity" means the county, municipality, or development authority that 
approves the creation of a public infrastructure district.
(3)
(7)
"Development authority" 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
;
(c)
the Utah Fairpark Area Investment and Restoration District created in Section 
11-70-201
; or
(d)
the military installation development authority created in Section 
63H-1-201
.
(4)
(8)
"District applicant" means the person proposing the creation of a public 
infrastructure district.
(5)
(9)
"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)
(10)
"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 Special Districts, and this chapter.
(7)
(11)
(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)
(12)
(a)
"Participation agreement" means an executed agreement between a local 
government entity and project participant, as those terms are defined in Section 
63N-3-1401
.
(b)
"Participation agreement" includes an agreement under Title 63N, Chapter 3, Part 14, 
Capital City Revitalization Zone.
(13)
"Public infrastructure and improvements" means:
(a)
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
;
(b)
the same as that term is defined in Section 
11-70-101
, for a public infrastructure 
district created by the Utah Fairpark Area Investment and Restoration District created 
in Section 
11-70-201
;
 and
(c)
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
.
; and
(d)
for a convention center public infrastructure district, infrastructure, utilities, 
improvements, facilities, buildings, or remediation that:
(i)
benefit the public and are owned by a public entity or a utility;
(ii)
benefit the public and are publicly maintained or operated by a public entity;
(iii)
are privately owned and provide a substantial benefit, as determined by the board 
of a convention center public infrastructure district, to:
(A)
the development and operation of a convention center public infrastructure 
district; or
(B)
the residents or property owners within the boundaries of a convention center 
public infrastructure district or within the boundaries of a convention center 
reinvestment zone to which the convention center public infrastructure district 
is either within or adjacent; or
(iv)
if the infrastructure and improvements are outside of the boundaries of a 
convention center public infrastructure district, benefit a convention center public 
infrastructure district to which the convention center public infrastructure district 
project area is either within or adjacent.
Section 8, Section 
17D-4-202.1
 is enacted to read:
17D-4-202.1
Effective 
upon governor's approval
. Convention center public 
infrastructure -- District board -- Petition and process requirements -- Governing 
document.
(1)
As used is this section:
(a)
"City" means a municipality of the first class located in a county of the first class in 
which a convention center is located.
(b)
"County" means a county in which a convention center is located.
(c)
"Lessee" means a lessee of property within the proposed convention center public 
infrastructure district that leases the property from the city or county for a term of at 
least 10 years.
(d)
(i)
"Petitioner" means:
(A)
a surface property owner, a property owner, or lessee of property within a 
proposed convention center public infrastructure district's boundaries that 
initiates the formation of a convention center public infrastructure district; or
(B)
a surface property owner under this chapter, and Title 17B, Chapter 1, 
Provisions Applicable to All Special Districts, in relation to a convention 
center public infrastructure district.
(ii)
"Petitioner" does not include a city, county, or other public entity.
(2)
A convention center public infrastructure district shall be created in a city upon the 
submission of a petition in accordance with this part and shall have all the powers of a 
public infrastructure district under this chapter.
(3)
A convention center public infrastructure district may only be created within a city in 
which a convention center is located.
(4)
The petition described in Subsection 
(2)
 shall:
(a)
include the governing document; and
(b)
for a petition to a city which has previously authorized revitalization taxes described 
in Section 
63N-3-1403
, include as part of the governing document approval and 
authorization of an interlocal agreement pledging and securing the revitalization 
taxes for debt of the proposed convention center public infrastructure district.
(5)
(a)
The process for creating a convention center public infrastructure district or a 
convention center public infrastructure district in a capital city shall be initiated by 
the submission of a petition and a governing document to the city, except that:
(i)
the city recorder shall certify the petition within 14 days from the day the 
petitioner submits the petition to the city recorder;
(ii)
if the city recorder fails to certify the petition within the time described in 
Subsection (5)(a)(i), the petition shall be considered certified; and
(iii)
within 30 days from the day that the petitioner submits the petition to the city 
recorder, or if the city and the petitioner have come to an agreement as described 
in Subsection 
(5)(b)
, the city shall adopt a resolution to approve:
(A)
the governing document the petitioner submitted with the petition; and
(B)
the creation of a convention center public infrastructure district or a 
convention center public infrastructure district in a capital city.
(b)
Notwithstanding Subsection 
(5)(a)
, the city and petitioner may negotiate the finalized 
terms of the petition, including the terms of an interlocal agreement, within a time 
period agreed upon by the city and petitioner.
(6)
(a)
The boundaries of a convention center public infrastructure district shall be 
limited to an area within a one-half-mile radius of a convention center.
(b)
If a parcel is intersected by the radius described in Subsection (6)(a), the entire parcel 
may be included in the district.
(7)
A convention center public infrastructure district shall be subject to the following 
provisions regarding taxation and financing:
(a)
a convention center public infrastructure district may levy an administrative tax of up 
to 0.0005 per dollar of taxable value on taxable property within the district; and
(b)
the administrative tax shall be used exclusively for administrative expenses and may 
not be used for capital costs or debt payment.
(8)
A convention center public infrastructure district shall be governed by the governing 
document submitted and approved as described in this section.
(9)
The convention center public infrastructure board shall consist of five members as 
follows:
(a)
three members shall be representatives of the petitioner and selected by the petitioner;
(b)
one member may be a representative of the city and selected by the mayor of the 
city; and
(c)
one member may be a representative of the county and selected by the mayor of the 
county.
(10)
If a city or county mayor chooses not to select a member of the board as described in 
Subsection (9)(b) or (c), elects in writing to permanently abdicate the board seat, or 
chooses to vacate a member at any time, the petitioner shall select a member for the 
replacement who shall not be a representative of the city or county in which the 
convention center is located.
(11)
(a)
A convention center public infrastructure district shall enter into an interlocal 
agreement with the relevant county that provides that, for any revenue that is 
transferred to the convention center public infrastructure district from a convention 
center reinvestment zone created pursuant to Title 63N, Chapter 3, Part 6, Housing 
and Transit Reinvestment Zone Act, the mayor of the county shall have approval 
authority for the expenditure of any revenue related to a convention center 
revitalization project, as that term is defined in Section 
63N-3-602
.
(b)
The approval authority described in Subsection 
(11)(a)
 does not include approval 
authority over:
(i)
any bonds or debt or related terms issued by the convention center public 
infrastructure district; or
(ii)
revenue subject to a participation agreement entered into pursuant to Title 63N, 
Chapter 3, Part 14, Capital City Revitalization Zone.
Section 9, Section 
17D-4-203
 is amended to read:
17D-4-203
Effective 
upon governor's approval
. Public infrastructure district 
powers.
A public infrastructure district:
(1)
has all of the authority conferred upon a special district under Section 
17B-1-103
; and
(2)
may:
(a)
issue negotiable bonds to pay:
(i)
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
;
(ii)
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
;
(iii)
public improvements related to the provision of housing;
(iv)
capital costs related to public transportation;
(v)
for a public infrastructure district that is within or adjacent to a housing and 
transit reinvestment zone described in Title 63N, Chapter 3, Part 6, Housing and 
Transit Reinvestment Zone Act, any and all costs to finance any public or 
privately owned improvements, which, in the discretion of the board of the public 
infrastructure district, promote the objectives described in Section 
63N-3-603.1
;
(vi)
for a public infrastructure district
 created by a development authority
, the cost 
of acquiring or financing public infrastructure and improvements;
 and
(vi)
(vii)
for a public infrastructure district that is a subsidiary of the Utah Inland 
Port Authority, the costs associated with a remediation project, as defined in 
Section 
11-58-102
;
(viii)
for a convention center public infrastructure district that is within or adjacent to 
a convention center reinvestment zone as defined in Section 
63N-3-602
, any or all 
of the costs to finance any public or privately owned improvements, including 
convention center-related improvements and arena improvements, which, in the 
discretion of the board of a convention center public infrastructure district, 
promote the objectives of the convention center reinvestment zone, as described in 
Section 
63N-3-603.1
;
(ix)
for a convention center public infrastructure district, the costs of financing a 
convention revitalization project, as the term is defined in Section 
63N-3-602
;
(x)
for a convention center public infrastructure district in a capital city that is within 
or adjacent to a convention center reinvestment zone in a capital city, as defined in 
Section 
63N-3-602
, any or all of the costs to financing any publicly owned 
improvements, including the cost of financing a convention center revitalization 
project in a capital city, as defined in Section 
63N-3-602
, convention 
center-related improvements, and publicly or privately owned improvements that 
directly serve the convention center, which, in the discretion of the board of the 
convention center public infrastructure district in a capital city, promote the 
objectives of the convention center reinvestment zone in a capital city, as 
described in Section 
63N-3-603.1
; and
(xi)
for a convention center public infrastructure district in a capital city that is within 
a capital city revitalization zone project area, as defined in Section 
63N-3-1401
, 
any allowed uses of funds or revenue provided for under Section 
59-12-402.5
, 
including eligible expenses consistent with the terms of the participation 
agreement, except that a convention center public infrastructure district in a 
capital city may not issue negotiable bonds serviced by the revitalization tax under 
Section 
59-12-402.5
 for privately owned improvements for more than the 
maximum dollar amount described in the participation agreement.
(b)
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;
(c)
acquire completed or partially completed improvements for fair market value as 
reasonably determined by:
(i)
the board;
(ii)
the creating entity, if required in the governing document; or
(iii)
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;
(d)
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
(e)
for a public infrastructure district created by a development authority:
(i)
(A)
operate and maintain public infrastructure and improvements the district 
acquires or finances; and
(B)
use fees, assessments, or taxes to pay for the operation and maintenance of 
those public infrastructure and improvements; and
(ii)
issue bonds under 
Title 11, Chapter 42, Assessment Area Act
; and
(f)
for a public infrastructure district that is a subsidiary of the Utah Inland Port 
Authority, pay for costs associated with a remediation project, as defined in Section 
11-58-102
, of the Utah Inland Port Authority.
Section 10, Section 
59-1-306
 is amended to read:
59-1-306
Effective 
upon governor's approval
. Definition -- State Tax 
Commission Administrative Charge Account -- Amount of administrative charge -- 
Deposit of revenue into the restricted account -- Interest deposited into General Fund -- 
Expenditure of money deposited into the restricted account.
(1)
As used in this section, "qualifying tax, fee, or charge" means a tax, fee, or charge the 
commission administers under:
(a)
Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
(b)
Title 10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act;
(c)
Section 
19-6-714
;
(d)
Section 
19-6-805
;
(e)
Chapter 12, Sales and Use Tax Act, other than a tax under Chapter 12, Part 1, Tax 
Collection, or Chapter 12, Part 18, Additional State Sales and Use Tax Act;
(f)
Section 
59-27-105
;
(g)
Chapter 31, Cannabinoid Licensing and Tax Act;
(h)
Section 
63H-1-205
;
 or
(i)
Title 63N, Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act; or
(i)
(j)
Title 69, Chapter 2, Part 4, Prepaid Wireless Telecommunications Service 
Charges.
(2)
There is created a restricted account within the General Fund known as the "State Tax 
Commission Administrative Charge Account."
(3)
Subject to the other provisions of this section, the restricted account shall consist of 
administrative charges the commission retains and deposits in accordance with this 
section.
(4)
For purposes of this section, the administrative charge is a percentage of revenue the 
commission collects from each qualifying tax, fee, or charge of not to exceed the lesser 
of:
(a)
1.5%; or
(b)
an equal percentage of revenue the commission collects from each qualifying tax, 
fee, or charge sufficient to cover the cost to the commission of administering the 
qualifying taxes, fees, or charges.
(5)
The commission shall deposit an administrative charge into the restricted account.
(6)
Interest earned on the restricted account shall be deposited into the General Fund.
(7)
The commission shall expend money appropriated by the Legislature to the commission 
from the restricted account to administer qualifying taxes, fees, or charges.
Section 11, Section 
59-1-404
 is amended to read:
59-1-404
Effective 
upon governor's approval
. Definitions -- Confidentiality of 
commercial information obtained from a property taxpayer or derived from the 
commercial information -- Rulemaking authority -- Exceptions -- Written explanation -- 
Signature requirements -- Retention of signed explanation by employer -- Penalty.
(1)
As used in this section:
(a)
"Appraiser" means an individual who holds an appraiser's certificate or license issued 
by the Division of Real Estate under 
Title 61, Chapter 2g, Real Estate Appraiser 
Licensing and Certification Act
 and includes an individual associated with an 
appraiser who assists the appraiser in preparing an appraisal.
(b)
"Appraisal" is as defined in Section 
61-2g-102
.
(c)
(i)
"Commercial information" means:
(A)
information of a commercial nature obtained from a property taxpayer 
regarding the property taxpayer's property; or
(B)
information derived from the information described in this Subsection 
(1)(c)(i)
.
(ii)
(A)
"Commercial information" does not include information regarding a 
property taxpayer's property if the information is intended for public use.
(B)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
for purposes of Subsection 
(1)(c)(ii)(A)
, the commission may by rule prescribe 
the circumstances under which information is intended for public use.
(d)
"Consultation service" is as defined in Section 
61-2g-102
.
(e)
"Locally assessed property" means property that is assessed by a county assessor in 
accordance with 
Chapter 2, Part 3, County Assessment
.
(f)
"Property taxpayer" means a person that:
(i)
is a property owner; or
(ii)
has in effect a contract with a property owner to:
(A)
make filings on behalf of the property owner;
(B)
process appeals on behalf of the property owner; or
(C)
pay a tax under 
Chapter 2, Property Tax Act
, on the property owner's property.
(g)
"Property taxpayer's property" means property with respect to which a property 
taxpayer:
(i)
owns the property;
(ii)
makes filings relating to the property;
(iii)
processes appeals relating to the property; or
(iv)
pays a tax under 
Chapter 2, Property Tax Act
, on the property.
(h)
"Protected commercial information" means commercial information that:
(i)
identifies a specific property taxpayer; or
(ii)
would reasonably lead to the identity of a specific property taxpayer.
(2)
An individual listed under Subsection 
59-1-403(2)(a)
 may not disclose commercial 
information:
(a)
obtained in the course of performing any duty that the individual listed under 
Subsection 
59-1-403(2)(a)
 performs under 
Chapter 2, Property Tax Act
; or
(b)
relating to an action or proceeding:
(i)
with respect to a tax imposed on property in accordance with 
Chapter 2, Property 
Tax Act
; and
(ii)
that is filed in accordance with:
(A)
this chapter;
(B)
Chapter 2, Property Tax Act
; or
(C)
this chapter and 
Chapter 2, Property Tax Act
.
(3)
(a)
Notwithstanding Subsection 
(2)
 and subject to Subsection 
(3)(c)
, an individual 
listed under Subsection 
59-1-403(2)(a)
 may disclose the following information:
(i)
the assessed value of property;
(ii)
the tax rate imposed on property;
(iii)
a legal description of property;
(iv)
the physical description or characteristics of property, including a street address 
or parcel number for the property;
(v)
the square footage or acreage of property;
(vi)
the square footage of improvements on property;
(vii)
the name of a property taxpayer;
(viii)
the mailing address of a property taxpayer;
(ix)
the amount of a property tax:
(A)
assessed on property;
(B)
due on property;
(C)
collected on property;
(D)
abated on property; or
(E)
deferred on property;
(x)
the amount of the following relating to property taxes due on property:
(A)
interest;
(B)
costs; or
(C)
other charges;
(xi)
the tax status of property, including:
(A)
an exemption;
(B)
a property classification;
(C)
a bankruptcy filing; or
(D)
whether the property is the subject of an action or proceeding under this title;
(xii)
information relating to a tax sale of property; or
(xiii)
information relating to single-family residential property.
(b)
Notwithstanding Subsection 
(2)
 and subject to Subsection 
(3)(c)
, an individual listed 
under Subsection 
59-1-403(2)(a)
 shall disclose, upon request, the information 
described in Subsection 
59-2-1007(9)
.
(c)
(i)
Subject to Subsection 
(3)(c)(ii)
, a person may receive the information described 
in Subsection 
(3)(a)
 or 
(b)
 in written format.
(ii)
The following may charge a reasonable fee to cover the actual cost of providing 
the information described in Subsection 
(3)(a)
 or 
(b)
 in written format:
(A)
the commission;
(B)
a county;
(C)
a city; or
(D)
a town.
(4)
(a)
Notwithstanding Subsection 
(2)
 and except as provided in Subsection 
(4)(c)
, an 
individual listed under Subsection 
59-1-403(2)(a)
 shall disclose commercial 
information:
(i)
in accordance with judicial order;
(ii)
on behalf of the commission in any action or proceeding:
(A)
under this title;
(B)
under another law under which a property taxpayer is required to disclose 
commercial information; or
(C)
to which the commission is a party;
(iii)
on behalf of any party to any action or proceeding under this title if the 
commercial information is directly involved in the action or proceeding; or
(iv)
if the requirements of Subsection 
(4)(b)
 are met, that is:
(A)
relevant to an action or proceeding:
(I)
filed in accordance with this title; and
(II)
involving property; or
(B)
in preparation for an action or proceeding involving property.
(b)
Commercial information shall be disclosed in accordance with Subsection 
(4)(a)(iv)
:
(i)
if the commercial information is obtained from:
(A)
a real estate agent if the real estate agent is not a property taxpayer of the 
property that is the subject of the action or proceeding;
(B)
an appraiser if the appraiser:
(I)
is not a property taxpayer of the property that is the subject of the action or 
proceeding; and
(II)
did not receive the commercial information pursuant to Subsection 
(8)
;
(C)
a property manager if the property manager is not a property taxpayer of the 
property that is the subject of the action or proceeding; or
(D)
a property taxpayer other than a property taxpayer of the property that is the 
subject of the action or proceeding;
(ii)
regardless of whether the commercial information is disclosed in more than one 
action or proceeding; and
(iii)
(A)
if a county board of equalization conducts the action or proceeding, the 
county board of equalization takes action to provide that any commercial 
information disclosed during the action or proceeding may not be disclosed by 
any person conducting or participating in the action or proceeding except as 
specifically allowed by this section;
(B)
if the commission conducts the action or proceeding, the commission enters a 
protective order or, in accordance with 
Title 63G, Chapter 3, Utah 
Administrative Rulemaking Act
, makes rules specifying that any commercial 
information disclosed during the action or proceeding may not be disclosed by 
any person conducting or participating in the action or proceeding except as 
specifically allowed by this section; or
(C)
if a court of competent jurisdiction conducts the action or proceeding, the 
court enters a protective order specifying that any commercial information 
disclosed during the action or proceeding may not be disclosed by any person 
conducting or participating in the action or proceeding except as specifically 
allowed by this section.
(c)
Notwithstanding Subsection 
(4)(a)
, a court may require the production of, and may 
admit in evidence, commercial information that is specifically pertinent to the action 
or proceeding.
(5)
Notwithstanding Subsection 
(2)
, this section does not prohibit:
(a)
the following from receiving a copy of any commercial information relating to the 
basis for assessing a tax that is charged to a property taxpayer:
(i)
the property taxpayer;
(ii)
a duly authorized representative of the property taxpayer;
(iii)
a person that has in effect a contract with the property taxpayer to:
(A)
make filings on behalf of the property taxpayer;
(B)
process appeals on behalf of the property taxpayer; or
(C)
pay a tax under 
Chapter 2, Property Tax Act
, on the property taxpayer's 
property;
(iv)
a property taxpayer that purchases property from another property taxpayer; or
(v)
a person that the property taxpayer designates in writing as being authorized to 
receive the commercial information;
(b)
the publication of statistics as long as the statistics are classified to prevent the 
identification of a particular property taxpayer's commercial information;
(c)
the inspection by the attorney general or other legal representative of the state or a 
legal representative of a political subdivision of the state of the commercial 
information of a property taxpayer:
(i)
that brings action to set aside or review a tax or property valuation based on the 
commercial information;
(ii)
against which an action or proceeding is contemplated or has been instituted 
under this title; or
(iii)
against which the state or a political subdivision of the state has an unsatisfied 
money judgment; or
(d)
the commission from disclosing commercial information to the extent necessary to 
comply with the requirements of Subsection 
59-12-205(5)
59-12-205(6)
.
(6)
Notwithstanding Subsection 
(2)
, in accordance with 
Title 63G, Chapter 3, Utah 
Administrative Rulemaking Act
, the commission may by rule establish standards 
authorizing an individual listed under Subsection 
59-1-403(2)(a)
 to disclose commercial 
information:
(a)
(i)
in a published decision; or
(ii)
in carrying out official duties; and
(b)
if that individual listed under Subsection 
59-1-403(2)(a)
 consults with the property 
taxpayer that provided the commercial information.
(7)
Notwithstanding Subsection 
(2)
:
(a)
an individual listed under Subsection 
59-1-403(2)(a)
 may share commercial 
information with the following:
(i)
another individual listed in Subsection 
59-1-403(2)(a)(i)
 or 
(ii)
; or
(ii)
a representative, agent, clerk, or other officer or employee of a county as required 
to fulfill an obligation created by 
Chapter 2, Property Tax Act
;
(b)
an individual listed under Subsection 
59-1-403(2)(a)
 may perform the following to 
fulfill an obligation created by 
Chapter 2, Property Tax Act
:
(i)
publish notice;
(ii)
provide notice; or
(iii)
file a lien; or
(c)
the commission may by rule, made in accordance with 
Title 63G, Chapter 3, Utah 
Administrative Rulemaking Act
, share commercial information gathered from returns 
and other written statements with the federal government, any other state, any of the 
political subdivisions of another state, or any political subdivision of this state, if 
these political subdivisions or the federal government grant substantially similar 
privileges to this state.
(8)
Notwithstanding Subsection 
(2)
:
(a)
subject to the limitations in this section, an individual described in Subsection 
59-1-403(2)(a)
 may share the following commercial information with an appraiser:
(i)
the sales price of locally assessed property and the related financing terms;
(ii)
capitalization rates and related rates and ratios related to the valuation of locally 
assessed property; and
(iii)
income and expense information related to the valuation of locally assessed 
property; and
(b)
except as provided in Subsection 
(4)
, an appraiser who receives commercial 
information:
(i)
may disclose the commercial information:
(A)
to an individual described in Subsection 
59-1-403(2)(a)
;
(B)
to an appraiser;
(C)
in an appraisal if protected commercial information is removed to protect its 
confidential nature; or
(D)
in performing a consultation service if protected commercial information is 
not disclosed; and
(ii)
may not use the commercial information:
(A)
for a purpose other than to prepare an appraisal or perform a consultation 
service; or
(B)
for a purpose intended to be, or which could reasonably be foreseen to be, 
anti-competitive to a property taxpayer.
(9)
(a)
The commission shall:
(i)
prepare a written explanation of this section; and
(ii)
make the written explanation described in Subsection 
(9)(a)(i)
 available to the 
public.
(b)
An employer of a person described in Subsection 
59-1-403(2)(a)
 shall:
(i)
provide the written explanation described in Subsection 
(9)(a)(i)
 to each person 
described in Subsection 
59-1-403(2)(a)
 who is reasonably likely to receive 
commercial information;
(ii)
require each person who receives a written explanation in accordance with 
Subsection 
(9)(b)(i)
 to:
(A)
read the written explanation; and
(B)
sign the written explanation; and
(iii)
retain each written explanation that is signed in accordance with Subsection 
(9)(b)(ii)
 for a time period:
(A)
beginning on the day on which a person signs the written explanation in 
accordance with Subsection 
(9)(b)(ii)
; and
(B)
ending six years after the day on which the employment of the person 
described in Subsection 
(9)(b)(iii)(A)
 by the employer terminates.
(c)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, the 
commission shall by rule define "employer."
(10)
(a)
An individual described in Subsection 
(1)(a)
 or 
59-1-403(2)(a)
, or an individual 
that violates a protective order or similar limitation entered pursuant to Subsection 
(4)(b)(iii)
, is guilty of a class A misdemeanor if that person:
(i)
intentionally discloses commercial information in violation of this section; and
(ii)
knows that the disclosure described in Subsection 
(10)(a)(i)
 is prohibited by this 
section.
(b)
If the individual described in Subsection 
(10)(a)
 is an officer or employee of the state 
or a county and is convicted of violating this section, the individual shall be 
dismissed from office and be disqualified from holding public office in this state for a 
period of five years thereafter.
(c)
If the individual described in Subsection 
(10)(a)
 is an appraiser, the appraiser shall 
forfeit any certification or license received under 
Title 61, Chapter 2g, Real Estate 
Appraiser Licensing and Certification Act
, for a period of five years.
(d)
If the individual described in Subsection 
(10)(a)
 is an individual associated with an 
appraiser who assists the appraiser in preparing appraisals, the individual shall be 
prohibited from becoming licensed or certified under 
Title 61, Chapter 2g, Real 
Estate Appraiser Licensing and Certification Act
, for a period of five years.
(11)
Notwithstanding Subsection 
(10)
, for a disclosure of information to the Office of the 
Legislative Auditor General in accordance with 
Title 36, Chapter 12, Legislative 
Organization
:
(a)
an individual does not violate a protective order or similar limitation entered in 
accordance with Subsection 
(4)(b)(iii)
; and
(b)
an individual described in Subsection 
(1)(a)
 or 
59-1-403(2)(a)
:
(i)
is not guilty of a class A misdemeanor; and
(ii)
is not subject to the penalties described in Subsections 
(10)(b)
 through 
(d)
.
Section 12, Section 
59-2-924
 is amended to read:
59-2-924
Effective 
01/01/26
. Definitions -- Report of valuation of property to 
county auditor and commission -- Transmittal by auditor to governing bodies -- 
Calculation of certified tax rate -- Rulemaking authority -- Adoption of tentative budget 
-- Notice provided by the commission.
(1)
As used in this section:
(a)
(i)
"Ad valorem property tax revenue" means revenue collected in accordance with 
this chapter.
(ii)
"Ad valorem property tax revenue" does not include:
(A)
interest;
(B)
penalties;
(C)
collections from redemptions; or
(D)
revenue received by a taxing entity from personal property that is 
semiconductor manufacturing equipment assessed by a county assessor in 
accordance with Part 3, County Assessment.
(b)
"Adjusted tax increment" means the same as that term is defined in Section 
17C-1-102
.
(c)
(i)
"Aggregate taxable value of all property taxed" means:
(A)
the aggregate taxable value of all real property a county assessor assesses in 
accordance with Part 3, County Assessment, for the current year;
(B)
the aggregate taxable value of all real and personal property the commission 
assesses in accordance with Part 2, Assessment of Property, for the current 
year; and
(C)
the aggregate year end taxable value of all personal property a county assessor 
assesses in accordance with Part 3, County Assessment, contained on the prior 
year's tax rolls of the taxing entity.
(ii)
"Aggregate taxable value of all property taxed" does not include the aggregate 
year end taxable value of personal property that is:
(A)
semiconductor manufacturing equipment assessed by a county assessor in 
accordance with Part 3, County Assessment; and
(B)
contained on the prior year's tax rolls of the taxing entity.
(d)
"Base taxable value" means:
(i)
for an authority created under Section 
11-58-201
, the same as that term is defined 
in Section 
11-58-102
;
(ii)
for the Point of the Mountain State Land Authority created in Section 
11-59-201
, 
the same as that term is defined in Section 
11-59-207
;
(iii)
for the Utah Fairpark Area Investment and Restoration District created in Section 
11-70-201
, the same as that term is defined in Section 
11-70-101
;
(iv)
for an agency created under Section 
17C-1-201.5
, the same as that term is 
defined in Section 
17C-1-102
;
(v)
for an authority created under Section 
63H-1-201
, the same as that term is defined 
in Section 
63H-1-102
;
(vi)
for a host local government, the same as that term is defined in Section 
63N-2-502
;
(vii)
for a housing and transit reinvestment zone
 or convention center reinvestment 
zone
 created under Title 63N, Chapter 3, Part 6, Housing and Transit 
Reinvestment Zone Act, 
a property's taxable value as shown upon the assessment 
roll last equalized during the base year,
the same
 as that term is defined in Section 
63N-3-602
;
(viii)
for a home ownership promotion zone created under Title 10, Chapter 9a, Part 
10, Home Ownership Promotion Zone for Municipalities, or Title 17, Chapter 
27a, Part 12, Home Ownership Promotion Zone for Counties, a property's taxable 
value as shown upon the assessment roll last equalized during the base year, as 
that term is defined in Section 
10-9a-1001
 or Section 
17-27a-1201
; or
(ix)
for a first home investment zone created under Title 63N, Chapter 3, Part 16, 
First Home Investment Zone Act, a property's taxable value as shown upon the 
assessment roll last equalized during the base year, as that term is defined in 
Section 
63N-3-1601
.
(e)
"Centrally assessed benchmark value" means an amount equal to the average year 
end taxable value of real and personal property the commission assesses in 
accordance with Part 2, Assessment of Property, for the previous three calendar 
years, adjusted for taxable value attributable to:
(i)
an annexation to a taxing entity;
(ii)
an incorrect allocation of taxable value of real or personal property the 
commission assesses in accordance with Part 2, Assessment of Property; or
(iii)
a change in value as a result of a change in the method of apportioning the value 
prescribed by the Legislature, a court, or the commission in an administrative rule 
or administrative order.
(f)
(i)
"Centrally assessed new growth" means the greater of:
(A)
zero; or
(B)
the amount calculated by subtracting the centrally assessed benchmark value 
adjusted for prior year end incremental value from the taxable value of real and 
personal property the commission assesses in accordance with Part 2, 
Assessment of Property, for the current year, adjusted for current year 
incremental value.
(ii)
"Centrally assessed new growth" does not include a change in value as a result of 
a change in the method of apportioning the value prescribed by the Legislature, a 
court, or the commission in an administrative rule or administrative order.
(g)
"Certified tax rate" means a tax rate that will provide the same ad valorem property 
tax revenue for a taxing entity as was budgeted by that taxing entity for the prior year.
(h)
"Community reinvestment agency" means the same as that term is defined in Section 
17C-1-102
.
(i)
"Eligible new growth" means the greater of:
(i)
zero; or
(ii)
the sum of:
(A)
locally assessed new growth;
(B)
centrally assessed new growth; and
(C)
project area new growth or hotel property new growth.
(j)
"Host local government" means the same as that term is defined in Section 
63N-2-502
.
(k)
"Hotel property" means the same as that term is defined in Section 
63N-2-502
.
(l)
"Hotel property new growth" means an amount equal to the incremental value that is 
no longer provided to a host local government as incremental property tax revenue.
(m)
"Incremental property tax revenue" means the same as that term is defined in 
Section 
63N-2-502
.
(n)
"Incremental value" means:
(i)
for an authority created under Section 
11-58-201
, the amount calculated by 
multiplying:
(A)
the difference between the taxable value and the base taxable value of the 
property that is located within a project area and on which property tax 
differential is collected; and
(B)
the number that represents the percentage of the property tax differential that 
is paid to the authority;
(ii)
for the Point of the Mountain State Land Authority created in Section 
11-59-201
, 
an amount calculated by multiplying:
(A)
the difference between the current assessed value of the property and the base 
taxable value; and
(B)
the number that represents the percentage of the property tax augmentation, as 
defined in Section 
11-59-207
, that is paid to the Point of the Mountain State 
Land Authority;
(iii)
for the Utah Fairpark Area Investment and Restoration District created in Section 
11-70-201
, the amount calculated by multiplying:
(A)
the difference between the taxable value for the current year and the base 
taxable value of the property that is located within a project area; and
(B)
the number that represents the percentage of enhanced property tax revenue, 
as defined in Section 
11-70-101
;
(iv)
for an agency created under Section 
17C-1-201.5
, the amount calculated by 
multiplying:
(A)
the difference between the taxable value and the base taxable value of the 
property located within a project area and on which tax increment is collected; 
and
(B)
the number that represents the adjusted tax increment from that project area 
that is paid to the agency;
(v)
for an authority created under Section 
63H-1-201
, the amount calculated by 
multiplying:
(A)
the difference between the taxable value and the base taxable value of the 
property located within a project area and on which property tax allocation is 
collected; and
(B)
the number that represents the percentage of the property tax allocation from 
that project area that is paid to the authority;
(vi)
for a housing and transit reinvestment zone
 or convention center reinvestment 
zone
 created pursuant to Title 63N, Chapter 3, Part 6, Housing and Transit 
Reinvestment Zone Act, an amount calculated by multiplying:
(A)
the difference between the taxable value and the base taxable value of the 
property that is located within a housing and transit reinvestment zone
 or 
convention center reinvestment zone
 and on which tax increment is collected; 
and
(B)
the number that represents the percentage of the tax increment that is paid to 
the housing and transit reinvestment zone
 or convention center reinvestment 
zone
;
(vii)
for a host local government, an amount calculated by multiplying:
(A)
the difference between the taxable value and the base taxable value of the 
hotel property on which incremental property tax revenue is collected; and
(B)
the number that represents the percentage of the incremental property tax 
revenue from that hotel property that is paid to the host local government;
(viii)
for a home ownership promotion zone created under Title 10, Chapter 9a, Part 
10, Home Ownership Promotion Zone for Municipalities, or Title 17, Chapter 
27a, Part 12, Home Ownership Promotion Zone for Counties, an amount 
calculated by multiplying:
(A)
the difference between the taxable value and the base taxable value of the 
property that is located within a home ownership promotion zone and on which 
tax increment is collected; and
(B)
the number that represents the percentage of the tax increment that is paid to 
the home ownership promotion zone; or
(ix)
for a first home investment zone created pursuant to Title 63N, Chapter 3, Part 
16, First Home Investment Zone Act, an amount calculated by multiplying:
(A)
the difference between the taxable value and the base taxable value of the 
property that is located within a first home investment zone and on which tax 
increment is collected; and
(B)
the number that represents the percentage of the tax increment that is paid to 
the first home investment zone.
(o)
(i)
"Locally assessed new growth" means the greater of:
(A)
zero; or
(B)
the amount calculated by subtracting the year end taxable value of real 
property the county assessor assesses in accordance with Part 3, County 
Assessment, for the previous year, adjusted for prior year end incremental 
value from the taxable value of real property the county assessor assesses in 
accordance with Part 3, County Assessment, for the current year, adjusted for 
current year incremental value.
(ii)
"Locally assessed new growth" does not include a change in:
(A)
value as a result of factoring in accordance with Section 
59-2-704
, reappraisal, 
or another adjustment;
(B)
assessed value based on whether a property is allowed a residential exemption 
for a primary residence under Section 
59-2-103
;
(C)
assessed value based on whether a property is assessed under Part 5, Farmland 
Assessment Act; or
(D)
assessed value based on whether a property is assessed under Part 17, Urban 
Farming Assessment Act.
(p)
"Project area" means:
(i)
for an authority created under Section 
11-58-201
, the same as that term is defined 
in Section 
11-58-102
;
(ii)
for the Utah Fairpark Area Investment and Restoration District created in Section 
11-70-201
, the same as that term is defined in Section 
11-70-101
;
(iii)
for an agency created under Section 
17C-1-201.5
, the same as that term is 
defined in Section 
17C-1-102
;
 or
(iv)
for an authority created under Section 
63H-1-201
, the same as that term is 
defined in Section 
63H-1-102
.
;
(v)
for a housing and transit reinvestment zone or convention center reinvestment 
zone created under Title 63N, Chapter 3, Part 6, Housing and Transit 
Reinvestment Zone Act, the same as that term is defined in Section 
63N-3-602
;
(vi)
for a home ownership promotion zone created under Title 10, Chapter 9a, Part 
10, Home Ownership Promotion Zone for Municipalities, or Title 17, Chapter 
27a, Part 12, Home Ownership Promotion Zone for Counties, the same as that 
term is defined in Section 
10-9a-1001
 or Section 
17-27a-1201
; or
(vii)
for a first home investment zone created under Title 63N, Chapter 3, Part 16, 
First Home Investment Zone Act, the same as that term is defined in Section 
63N-3-1601
.
(q)
"Project area new growth" means:
(i)
for an authority created under Section 
11-58-201
, an amount equal to the 
incremental value that is no longer provided to an authority as property tax 
differential;
(ii)
for the Point of the Mountain State Land Authority created in Section 
11-59-201
, 
an amount equal to the incremental value that is no longer provided to the Point of 
the Mountain State Land Authority as property tax augmentation, as defined in 
Section 
11-59-207
;
(iii)
for the Utah Fairpark Area Investment and Restoration District created in Section 
11-70-201
, an amount equal to the incremental value that is no longer provided to 
the Utah Fairpark Area Investment and Restoration District;
(iv)
for an agency created under Section 
17C-1-201.5
, an amount equal to the 
incremental value that is no longer provided to an agency as tax increment;
(v)
for an authority created under Section 
63H-1-201
, an amount equal to the 
incremental value that is no longer provided to an authority as property tax 
allocation;
(vi)
for a housing and transit reinvestment zone 
or convention center reinvestment 
zone 
created under Title 63N, Chapter 3, Part 6, Housing and Transit 
Reinvestment Zone Act, an amount equal to the incremental value that is no 
longer provided to a housing and transit reinvestment zone 
or convention center 
reinvestment zone 
as tax increment;
(vii)
for a home ownership promotion zone created under Title 10, Chapter 9a, Part 
10, Home Ownership Promotion Zone for Municipalities, or Title 17, Chapter 
27a, Part 12, Home Ownership Promotion Zone for Counties, an amount equal to 
the incremental value that is no longer provided to a home ownership promotion 
zone as tax increment; or
(viii)
for a first home investment zone created under Title 63N, Chapter 3, Part 16, 
First Home Investment Zone Act, an amount equal to the incremental value that is 
no longer provided to a first home investment zone as tax increment.
(r)
"Project area incremental revenue" means the same as that term is defined in Section 
17C-1-1001
.
(s)
"Property tax allocation" means the same as that term is defined in Section 
63H-1-102
.
(t)
"Property tax differential" means the same as that term is defined in Section 
11-58-102
.
(u)
"Qualifying exempt revenue" means revenue received:
(i)
for the previous calendar year;
(ii)
by a taxing entity;
(iii)
from tangible personal property contained on the prior year's tax rolls that is 
exempt from property tax under Subsection 
59-2-1115
(2)(b) for a calendar year 
beginning on January 1, 2022; and
(iv)
on the aggregate 2021 year end taxable value of the tangible personal property 
that exceeds $15,300.
(v)
"Tax increment" means:
(i)
for a project created under Section 
17C-1-201.5
, the same as that term is defined 
in Section 
17C-1-102
;
(ii)
for a housing and transit reinvestment zone 
or convention center reinvestment 
zone 
created under Title 63N, Chapter 3, Part 6, Housing and Transit 
Reinvestment Zone Act, the same as 
that term is
the term "property tax 
increment" is
 defined in Section 
63N-3-602
;
(iii)
for a home ownership promotion zone created under Title 10, Chapter 9a, Part 
10, Home Ownership Promotion Zone for Municipalities, or Title 17, Chapter 
27a, Part 12, Home Ownership Promotion Zone for Counties, the same as that 
term is defined in Section 
10-9a-1001
 or Section 
17-27a-1201
; or
(iv)
for a first home investment zone created under Title 63N, Chapter 3, Part 16, 
First Home Investment Zone Act, the same as that term is defined in Section 
63N-3-1601
.
(2)
Before June 1 of each year, the county assessor of each county shall deliver to the 
county auditor and the commission the following statements:
(a)
a statement containing the aggregate valuation of all taxable real property a county 
assessor assesses in accordance with Part 3, County Assessment, for each taxing 
entity; and
(b)
a statement containing the taxable value of all personal property a county assessor 
assesses in accordance with Part 3, County Assessment, from the prior year end 
values.
(3)
The county auditor shall, on or before June 8, transmit to the governing body of each 
taxing entity:
(a)
the statements described in Subsections (2)(a) and (b);
(b)
an estimate of the revenue from personal property;
(c)
the certified tax rate; and
(d)
all forms necessary to submit a tax levy request.
(4)
(a)
Except as otherwise provided in this section, the certified tax rate shall be 
calculated by dividing the ad valorem property tax revenue that a taxing entity 
budgeted for the prior year minus the qualifying exempt revenue by the amount 
calculated under Subsection (4)(b).
(b)
For purposes of Subsection (4)(a), the legislative body of a taxing entity shall 
calculate an amount as follows:
(i)
calculate for the taxing entity the difference between:
(A)
the aggregate taxable value of all property taxed; and
(B)
any adjustments for current year incremental value;
(ii)
after making the calculation required by Subsection (4)(b)(i), calculate an amount 
determined by increasing or decreasing the amount calculated under Subsection 
(4)(b)(i) by the average of the percentage net change in the value of taxable 
property for the equalization period for the three calendar years immediately 
preceding the current calendar year;
(iii)
after making the calculation required by Subsection (4)(b)(ii), calculate the 
product of:
(A)
the amount calculated under Subsection (4)(b)(ii); and
(B)
the percentage of property taxes collected for the five calendar years 
immediately preceding the current calendar year; and
(iv)
after making the calculation required by Subsection (4)(b)(iii), calculate an 
amount determined by:
(A)
multiplying the percentage of property taxes collected for the five calendar 
years immediately preceding the current calendar year by eligible new growth; 
and
(B)
subtracting the amount calculated under Subsection (4)(b)(iv)(A) from the 
amount calculated under Subsection (4)(b)(iii).
(5)
A certified tax rate for a taxing entity described in this Subsection (5) shall be calculated 
as follows:
(a)
except as provided in Subsection (5)(b) or (c), for a new taxing entity, the certified 
tax rate is zero;
(b)
for a municipality incorporated on or after July 1, 1996, the certified tax rate is:
(i)
in a county of the first, second, or third class, the levy imposed for municipal-type 
services under Sections 
17-34-1
 and 
17-36-9
; and
(ii)
in a county of the fourth, fifth, or sixth class, the levy imposed for general county 
purposes and such other levies imposed solely for the municipal-type services 
identified in Section 
17-34-1
 and Subsection 
17-36-3
(23);
(c)
for a community reinvestment agency that received all or a portion of a taxing 
entity's project area incremental revenue in the prior year under Title 17C, Chapter 1, 
Part 10, Agency Taxing Authority, the certified tax rate is calculated as described in 
Subsection (4) except that the commission shall treat the total revenue transferred to 
the community reinvestment agency as ad valorem property tax revenue that the 
taxing entity budgeted for the prior year; and
(d)
for debt service voted on by the public, the certified tax rate is the actual levy 
imposed by that section, except that a certified tax rate for the following levies shall 
be calculated in accordance with Section 
59-2-913
 and this section:
(i)
a school levy provided for under Section 
53F-8-301
, 
53F-8-302
, or 
53F-8-303
; and
(ii)
a levy to pay for the costs of state legislative mandates or judicial or 
administrative orders under Section 
59-2-1602
.
(6)
(a)
A judgment levy imposed under Section 
59-2-1328
 or 
59-2-1330
 may be imposed 
at a rate that is sufficient to generate only the revenue required to satisfy one or more 
eligible judgments.
(b)
The ad valorem property tax revenue generated by a judgment levy described in 
Subsection (6)(a) may not be considered in establishing a taxing entity's aggregate 
certified tax rate.
(7)
(a)
For the purpose of calculating the certified tax rate, the county auditor shall use:
(i)
the taxable value of real property:
(A)
the county assessor assesses in accordance with Part 3, County Assessment; 
and
(B)
contained on the assessment roll;
(ii)
the year end taxable value of personal property:
(A)
a county assessor assesses in accordance with Part 3, County Assessment; and
(B)
contained on the prior year's assessment roll; and
(iii)
the taxable value of real and personal property the commission assesses in 
accordance with Part 2, Assessment of Property.
(b)
For purposes of Subsection (7)(a), taxable value does not include eligible new 
growth.
(8)
(a)
On or before June 30, a taxing entity shall annually adopt a tentative budget.
(b)
If a taxing entity intends to exceed the certified tax rate, the taxing entity shall notify 
the county auditor of:
(i)
the taxing entity's intent to exceed the certified tax rate; and
(ii)
the amount by which the taxing entity proposes to exceed the certified tax rate.
(c)
The county auditor shall notify property owners of any intent to levy a tax rate that 
exceeds the certified tax rate in accordance with Sections 
59-2-919
 and 
59-2-919.1
.
(9)
(a)
Subject to Subsection (9)(d), the commission shall provide notice, through 
electronic means on or before July 31, to a taxing entity and the Revenue and 
Taxation Interim Committee if:
(i)
the amount calculated under Subsection (9)(b) is 10% or more of the year end 
taxable value of the real and personal property the commission assesses in 
accordance with Part 2, Assessment of Property, for the previous year, adjusted 
for prior year end incremental value; and
(ii)
the amount calculated under Subsection (9)(c) is 50% or more of the total year 
end taxable value of the real and personal property of a taxpayer the commission 
assesses in accordance with Part 2, Assessment of Property, for the previous year.
(b)
For purposes of Subsection (9)(a)(i), the commission shall calculate an amount by 
subtracting the taxable value of real and personal property the commission assesses 
in accordance with Part 2, Assessment of Property, for the current year, adjusted for 
current year incremental value, from the year end taxable value of the real and 
personal property the commission assesses in accordance with Part 2, Assessment of 
Property, for the previous year, adjusted for prior year end incremental value.
(c)
For purposes of Subsection (9)(a)(ii), the commission shall calculate an amount by 
subtracting the total taxable value of real and personal property of a taxpayer the 
commission assesses in accordance with Part 2, Assessment of Property, for the 
current year, from the total year end taxable value of the real and personal property of 
a taxpayer the commission assesses in accordance with Part 2, Assessment of 
Property, for the previous year.
(d)
The notification under Subsection (9)(a) shall include a list of taxpayers that meet the 
requirement under Subsection (9)(a)(ii).
Section 13, Section 
59-2-924.2
 is amended to read:
59-2-924.2
Effective 
01/01/26
. Adjustments to the calculation of a taxing 
entity's certified tax rate.
(1)
For purposes of this section, "certified tax rate" means a certified tax rate calculated in 
accordance with Section 
59-2-924
.
(2)
Beginning January 1, 1997, if a taxing entity receives increased revenues from uniform 
fees on tangible personal property under Section 
59-2-405
, 
59-2-405.1
, 
59-2-405.2
, 
59-2-405.3
, or 
72-10-110.5
 as a result of any county imposing a sales and use tax under 
Chapter 12, Part 11, County Option Sales and Use Tax, the taxing entity shall decrease 
its certified tax rate to offset the increased revenues.
(3)
(a)
Beginning July 1, 1997, if a county has imposed a sales and use tax under Chapter 
12, Part 11, County Option Sales and Use Tax, the county's certified tax rate shall be:
(i)
decreased on a one-time basis by the amount of the estimated sales and use tax 
revenue to be distributed to the county under Subsection 
59-12-1102
(3)
59-12-1102(4)
; and
(ii)
increased by the amount necessary to offset the county's reduction in revenue 
from uniform fees on tangible personal property under Section 
59-2-405
, 
59-2-405.1
, 
59-2-405.2
, 
59-2-405.3
, or 
72-10-110.5
 as a result of the decrease in 
the certified tax rate under Subsection (3)(a)(i).
(b)
The commission shall determine estimates of sales and use tax distributions for 
purposes of Subsection (3)(a).
(4)
Beginning January 1, 1998, if a municipality has imposed an additional resort 
communities sales and use tax under Section 
59-12-402
, the municipality's certified tax 
rate shall be decreased on a one-time basis by the amount necessary to offset the first 12 
months of estimated revenue from the additional resort communities sales and use tax 
imposed under Section 
59-12-402
.
(5)
(a)
This Subsection (5) applies to each county that:
(i)
establishes a countywide special service district under Title 17D, Chapter 1, 
Special Service District Act, to provide jail service, as provided in Subsection 
17D-1-201
(10); and
(ii)
levies a property tax on behalf of the special service district under Section 
17D-1-105
.
(b)
(i)
The certified tax rate of each county to which this Subsection (5) applies shall 
be decreased by the amount necessary to reduce county revenues by the same 
amount of revenues that will be generated by the property tax imposed on behalf 
of the special service district.
(ii)
Each decrease under Subsection (5)(b)(i) shall occur contemporaneously with the 
levy on behalf of the special service district under Section 
17D-1-105
.
(6)
(a)
As used in this Subsection (6):
(i)
"Annexing county" means a county whose unincorporated area is included within 
a public safety district by annexation.
(ii)
"Annexing municipality" means a municipality whose area is included within a 
public safety district by annexation.
(iii)
"Equalized public safety protection tax rate" means the tax rate that results from:
(A)
calculating, for each participating county and each participating municipality, 
the property tax revenue necessary:
(I)
in the case of a fire district, to cover all of the costs associated with 
providing fire protection, paramedic, and emergency services:
(Aa)
for a participating county, in the unincorporated area of the county; and
(Bb)
for a participating municipality, in the municipality; or
(II)
in the case of a police district, to cover all the costs:
(Aa)
associated with providing law enforcement service:
(Ii)
for a participating county, in the unincorporated area of the county; 
and
(IIii)
for a participating municipality, in the municipality; and
(Bb)
that the police district board designates as the costs to be funded by a 
property tax; and
(B)
adding all the amounts calculated under Subsection (6)(a)(iii)(A) for all 
participating counties and all participating municipalities and then dividing that 
sum by the aggregate taxable value of the property, as adjusted in accordance 
with Section 
59-2-913
:
(I)
for participating counties, in the unincorporated area of all participating 
counties; and
(II)
for participating municipalities, in all the participating municipalities.
(iv)
"Fire district" means a service area under Title 17B, Chapter 2a, Part 9, Service 
Area Act:
(A)
created to provide fire protection, paramedic, and emergency services; and
(B)
in the creation of which an election was not required under Subsection 
17B-1-214
(3)(d).
(v)
"Participating county" means a county whose unincorporated area is included 
within a public safety district at the time of the creation of the public safety 
district.
(vi)
"Participating municipality" means a municipality whose area is included within 
a public safety district at the time of the creation of the public safety district.
(vii)
"Police district" means a service area under Title 17B, Chapter 2a, Part 9, 
Service Area Act, within a county of the first class:
(A)
created to provide law enforcement service; and
(B)
in the creation of which an election was not required under Subsection 
17B-1-214
(3)(d).
(viii)
"Public safety district" means a fire district or a police district.
(ix)
"Public safety service" means:
(A)
in the case of a public safety district that is a fire district, fire protection, 
paramedic, and emergency services; and
(B)
in the case of a public safety district that is a police district, law enforcement 
service.
(b)
In the first year following creation of a public safety district, the certified tax rate of 
each participating county and each participating municipality shall be decreased by 
the amount of the equalized public safety tax rate.
(c)
In the first budget year following annexation to a public safety district, the certified 
tax rate of each annexing county and each annexing municipality shall be decreased 
by an amount equal to the amount of revenue budgeted by the annexing county or 
annexing municipality:
(i)
for public safety service; and
(ii)
in:
(A)
for a taxing entity operating under a January 1 through December 31 fiscal 
year, the prior calendar year; or
(B)
for a taxing entity operating under a July 1 through June 30 fiscal year, the 
prior fiscal year.
(d)
Each tax levied under this section by a public safety district shall be considered to be 
levied by:
(i)
each participating county and each annexing county for purposes of the county's 
tax limitation under Section 
59-2-908
; and
(ii)
each participating municipality and each annexing municipality for purposes of 
the municipality's tax limitation under Section 
10-5-112
, for a town, or Section 
10-6-133
, for a city.
(e)
The calculation of a public safety district's certified tax rate for the year of 
annexation shall be adjusted to include an amount of revenue equal to one half of the 
amount of revenue budgeted by the annexing entity for public safety service in the 
annexing entity's prior fiscal year if:
(i)
the public safety district operates on a January 1 through December 31 fiscal year;
(ii)
the public safety district approves an annexation of an entity operating on a July 1 
through June 30 fiscal year; and
(iii)
the annexation described in Subsection (6)(e)(ii) takes effect on July 1.
(7)
(a)
The base taxable value as defined in Section 
17C-1-102
 shall be reduced for any 
year to the extent necessary to provide a community reinvestment agency established 
under Title 17C, Limited Purpose Local Government Entities - Community 
Reinvestment Agency Act, with approximately the same amount of money the 
agency would have received without a reduction in the county's certified tax rate, 
calculated in accordance with Section 
59-2-924
, if:
(i)
in that year there is a decrease in the certified tax rate under Subsection (2) or 
(3)(a);
(ii)
the amount of the decrease is more than 20% of the county's certified tax rate of 
the previous year; and
(iii)
the decrease results in a reduction of the amount to be paid to the agency under 
Section 
17C-1-403
 or 
17C-1-404
.
(b)
The base taxable value as defined in Section 
17C-1-102
 shall be increased in any 
year to the extent necessary to provide a community reinvestment agency with 
approximately the same amount of money as the agency would have received without 
an increase in the certified tax rate that year if:
(i)
in that year the base taxable value as defined in Section 
17C-1-102
 is reduced due 
to a decrease in the certified tax rate under Subsection (2) or (3)(a); and
(ii)
the certified tax rate of a city, school district, special district, or special service 
district increases independent of the adjustment to the taxable value of the base 
year.
(c)
Notwithstanding a decrease in the certified tax rate under Subsection (2) or (3)(a), the 
amount of money allocated and, when collected, paid each year to a community 
reinvestment agency established under Title 17C, Limited Purpose Local 
Government Entities - Community Reinvestment Agency Act, for the payment of 
bonds or other contract indebtedness, but not for administrative costs, may not be less 
than that amount would have been without a decrease in the certified tax rate under 
Subsection (2) or (3)(a).
(8)
(a)
For the calendar year beginning on January 1, 2014, the calculation of a county 
assessing and collecting levy shall be adjusted by the amount necessary to offset:
(i)
any change in the certified tax rate that may result from amendments to Part 16, 
Multicounty Assessing and Collecting Levy, in Laws of Utah 2014, Chapter 270, 
Section 3; and
(ii)
the difference in the amount of revenue a taxing entity receives from or 
contributes to the Property Tax Valuation Fund, created in Section 
59-2-1602
, that 
may result from amendments to Part 16, Multicounty Assessing and Collecting 
Levy, in Laws of Utah 2014, Chapter 270, Section 3.
(b)
A taxing entity is not required to comply with the notice and public hearing 
requirements in Section 
59-2-919
 for an adjustment to the county assessing and 
collecting levy described in Subsection (8)(a).
(9)
If a taxing entity receives decreased revenues from uniform fees on tangible personal 
property under Section 
59-2-405
 as a result of any error in applying uniform fees to 
motor vehicle registration in the calendar year beginning on January 1, 2023, the 
commission may, for the calendar year beginning on January 1, 2024, increase the 
taxing entity's budgeted revenue to offset the decreased revenues.
Section 14, Section 
59-12-103
 is amended to read:
59-12-103
Effective 
upon governor's approval
. Sales and use tax base -- Rates 
-- Effective dates -- Use of sales and use tax revenue.
(1)
A tax is imposed on the purchaser as provided in this part on the purchase price or sales 
price for amounts paid or charged for the following transactions:
(a)
retail sales of tangible personal property made within the state;
(b)
amounts paid for:
(i)
telecommunications service, other than mobile telecommunications service, that 
originates and terminates within the boundaries of this state;
(ii)
mobile telecommunications service that originates and terminates within the 
boundaries of one state only to the extent permitted by the Mobile 
Telecommunications Sourcing Act, 4 U.S.C. Sec. 116 et seq.; or
(iii)
an ancillary service associated with a:
(A)
telecommunications service described in Subsection (1)(b)(i); or
(B)
mobile telecommunications service described in Subsection (1)(b)(ii);
(c)
sales of the following for commercial use:
(i)
gas;
(ii)
electricity;
(iii)
heat;
(iv)
coal;
(v)
fuel oil; or
(vi)
other fuels;
(d)
sales of the following for residential use:
(i)
gas;
(ii)
electricity;
(iii)
heat;
(iv)
coal;
(v)
fuel oil; or
(vi)
other fuels;
(e)
sales of prepared food;
(f)
except as provided in Section 
59-12-104
, amounts paid or charged as admission or 
user fees for theaters, movies, operas, museums, planetariums, shows of any type or 
nature, exhibitions, concerts, carnivals, amusement parks, amusement rides, circuses, 
menageries, fairs, races, contests, sporting events, dances, boxing matches, wrestling 
matches, closed circuit television broadcasts, billiard parlors, pool parlors, bowling 
lanes, golf, miniature golf, golf driving ranges, batting cages, skating rinks, ski lifts, 
ski runs, ski trails, snowmobile trails, tennis courts, swimming pools, water slides, 
river runs, jeep tours, boat tours, scenic cruises, horseback rides, sports activities, or 
any other amusement, entertainment, recreation, exhibition, cultural, or athletic 
activity;
(g)
amounts paid or charged for services for repairs or renovations of tangible personal 
property, unless Section 
59-12-104
 provides for an exemption from sales and use tax 
for:
(i)
the tangible personal property; and
(ii)
parts used in the repairs or renovations of the tangible personal property described 
in Subsection (1)(g)(i), regardless of whether:
(A)
any parts are actually used in the repairs or renovations of that tangible 
personal property; or
(B)
the particular parts used in the repairs or renovations of that tangible personal 
property are exempt from a tax under this chapter;
(h)
except as provided in Subsection 
59-12-104
(7), amounts paid or charged for assisted 
cleaning or washing of tangible personal property;
(i)
amounts paid or charged for short-term rentals of tourist home, hotel, motel, or trailer 
court accommodations and services;
(j)
amounts paid or charged for laundry or dry cleaning services;
(k)
amounts paid or charged for leases or rentals of tangible personal property if within 
this state the tangible personal property is:
(i)
stored;
(ii)
used; or
(iii)
otherwise consumed;
(l)
amounts paid or charged for tangible personal property if within this state the tangible 
personal property is:
(i)
stored;
(ii)
used; or
(iii)
consumed;
(m)
amounts paid or charged for a sale:
(i)
(A)
of a product transferred electronically; or
(B)
of a repair or renovation of a product transferred electronically; and
(ii)
regardless of whether the sale provides:
(A)
a right of permanent use of the product; or
(B)
a right to use the product that is less than a permanent use, including a right:
(I)
for a definite or specified length of time; and
(II)
that terminates upon the occurrence of a condition; and
(n)
sales of leased tangible personal property from the lessor to the lessee made in the 
state.
(2)
(a)
Except as provided in Subsections (2)(b) through (f), a state tax and a local tax are 
imposed on a transaction described in Subsection (1) equal to the sum of:
(i)
a state tax imposed on the transaction at a tax rate equal to the sum of:
(A)
4.70% plus the rate specified in Subsection (11)(a); and
(B)
(I)
the tax rate the state imposes in accordance with Part 18, Additional 
State Sales and Use Tax Act, if the location of the transaction as determined 
under Sections 
59-12-211
 through 
59-12-215
 is in a county in which the 
state imposes the tax under Part 18, Additional State Sales and Use Tax Act; 
and
(II)
the tax rate the state imposes in accordance with Part 20, Supplemental 
State Sales and Use Tax Act, if the location of the transaction as determined 
under Sections 
59-12-211
 through 
59-12-215
 is in a city, town, or the 
unincorporated area of a county in which the state imposes the tax under 
Part 20, Supplemental State Sales and Use Tax Act; and
(ii)
a local tax equal to the sum of the tax rates a county, city, or town imposes on the 
transaction under this chapter other than this part.
(b)
Except as provided in Subsection (2)(f) or (g) and subject to Subsection (2)(l), a state 
tax and a local tax are imposed on a transaction described in Subsection (1)(d) equal 
to the sum of:
(i)
a state tax imposed on the transaction at a tax rate of 2%; and
(ii)
a local tax equal to the sum of the tax rates a county, city, or town imposes on the 
transaction under this chapter other than this part.
(c)
Except as provided in Subsection (2)(f) or (g), a state tax and a local tax are imposed 
on amounts paid or charged for food and food ingredients equal to the sum of:
(i)
a state tax imposed on the amounts paid or charged for food and food ingredients 
at a tax rate of 1.75%; and
(ii)
a local tax equal to the sum of the tax rates a county, city, or town imposes on the 
amounts paid or charged for food and food ingredients under this chapter other 
than this part.
(d)
Except as provided in Subsection (2)(f) or (g), a state tax is imposed on amounts paid 
or charged for fuel to a common carrier that is a railroad for use in a locomotive 
engine at a rate of 4.85%.
(e)
(i)
(A)
If a shared vehicle owner certifies to the commission, on a form 
prescribed by the commission, that the shared vehicle is an individual-owned 
shared vehicle, a tax imposed under Subsection (2)(a)(i)(A) does not apply to 
car sharing, a car-sharing program, a shared vehicle driver, or a shared vehicle 
owner.
(B)
A shared vehicle owner's certification described in Subsection (2)(e)(i)(A) is 
required once during the time that the shared vehicle owner owns the shared 
vehicle.
(C)
The commission shall verify that a shared vehicle is an individual-owned 
shared vehicle by verifying that the applicable Utah taxes imposed under this 
chapter were paid on the purchase of the shared vehicle.
(D)
The exception under Subsection (2)(e)(i)(A) applies to a certified 
individual-owned shared vehicle shared through a car-sharing program even if 
non-certified shared vehicles are also available to be shared through the same 
car-sharing program.
(ii)
A tax imposed under Subsection (2)(a)(i)(B) or (2)(a)(ii) applies to car sharing.
(iii)
(A)
A car-sharing program may rely in good faith on a shared vehicle owner's 
representation that the shared vehicle is an individual-owned shared vehicle 
certified with the commission as described in Subsection (2)(e)(i).
(B)
If a car-sharing program relies in good faith on a shared vehicle owner's 
representation that the shared vehicle is an individual-owned shared vehicle 
certified with the commission as described in Subsection (2)(e)(i), the 
car-sharing program is not liable for any tax, penalty, fee, or other sanction 
imposed on the shared vehicle owner.
(iv)
If all shared vehicles shared through a car-sharing program are certified as 
described in Subsection (2)(e)(i)(A) for a tax period, the car-sharing program has 
no obligation to collect and remit the tax under Subsection (2)(a)(i)(A) for that tax 
period.
(v)
A car-sharing program is not required to list or otherwise identify an 
individual-owned shared vehicle on a return or an attachment to a return.
(vi)
A car-sharing program shall:
(A)
retain tax information for each car-sharing program transaction; and
(B)
provide the information described in Subsection (2)(e)(vi)(A) to the 
commission at the commission's request.
(f)
(i)
For a bundled transaction that is attributable to food and food ingredients and 
tangible personal property other than food and food ingredients, a state tax and a 
local tax is imposed on the entire bundled transaction equal to the sum of:
(A)
a state tax imposed on the entire bundled transaction equal to the sum of:
(I)
the tax rate described in Subsection (2)(a)(i)(A); and
(II)
(Aa)
the tax rate the state imposes in accordance with Part 18, 
Additional State Sales and Use Tax Act, if the location of the transaction 
as determined under Sections 
59-12-211
 through 
59-12-215
 is in a 
county in which the state imposes the tax under Part 18, Additional State 
Sales and Use Tax Act; and
(Bb)
the tax rate the state imposes in accordance with Part 20, Supplemental 
State Sales and Use Tax Act, if the location of the transaction as 
determined under Sections 
59-12-211
 through 
59-12-215
 is in a city, 
town, or the unincorporated area of a county in which the state imposes 
the tax under Part 20, Supplemental State Sales and Use Tax Act; and
(B)
a local tax imposed on the entire bundled transaction at the sum of the tax 
rates described in Subsection (2)(a)(ii).
(ii)
If an optional computer software maintenance contract is a bundled transaction 
that consists of taxable and nontaxable products that are not separately itemized 
on an invoice or similar billing document, the purchase of the optional computer 
software maintenance contract is 40% taxable under this chapter and 60% 
nontaxable under this chapter.
(iii)
Subject to Subsection (2)(f)(iv), for a bundled transaction other than a bundled 
transaction described in Subsection (2)(f)(i) or (ii):
(A)
if the sales price of the bundled transaction is attributable to tangible personal 
property, a product, or a service that is subject to taxation under this chapter 
and tangible personal property, a product, or service that is not subject to 
taxation under this chapter, the entire bundled transaction is subject to taxation 
under this chapter unless:
(I)
the seller is able to identify by reasonable and verifiable standards the 
tangible personal property, product, or service that is not subject to taxation 
under this chapter from the books and records the seller keeps in the seller's 
regular course of business; or
(II)
state or federal law provides otherwise; or
(B)
if the sales price of a bundled transaction is attributable to two or more items 
of tangible personal property, products, or services that are subject to taxation 
under this chapter at different rates, the entire bundled transaction is subject to 
taxation under this chapter at the higher tax rate unless:
(I)
the seller is able to identify by reasonable and verifiable standards the 
tangible personal property, product, or service that is subject to taxation 
under this chapter at the lower tax rate from the books and records the seller 
keeps in the seller's regular course of business; or
(II)
state or federal law provides otherwise.
(iv)
For purposes of Subsection (2)(f)(iii), books and records that a seller keeps in the 
seller's regular course of business includes books and records the seller keeps in 
the regular course of business for nontax purposes.
(g)
(i)
Except as otherwise provided in this chapter and subject to Subsections 
(2)(g)(ii) and (iii), if a transaction consists of the sale, lease, or rental of tangible 
personal property, a product, or a service that is subject to taxation under this 
chapter, and the sale, lease, or rental of tangible personal property, other property, 
a product, or a service that is not subject to taxation under this chapter, the entire 
transaction is subject to taxation under this chapter unless the seller, at the time of 
the transaction:
(A)
separately states the portion of the transaction that is not subject to taxation 
under this chapter on an invoice, bill of sale, or similar document provided to 
the purchaser; or
(B)
is able to identify by reasonable and verifiable standards, from the books and 
records the seller keeps in the seller's regular course of business, the portion of 
the transaction that is not subject to taxation under this chapter.
(ii)
A purchaser and a seller may correct the taxability of a transaction if:
(A)
after the transaction occurs, the purchaser and the seller discover that the 
portion of the transaction that is not subject to taxation under this chapter was 
not separately stated on an invoice, bill of sale, or similar document provided 
to the purchaser because of an error or ignorance of the law; and
(B)
the seller is able to identify by reasonable and verifiable standards, from the 
books and records the seller keeps in the seller's regular course of business, the 
portion of the transaction that is not subject to taxation under this chapter.
(iii)
For purposes of Subsections (2)(g)(i) and (ii), books and records that a seller 
keeps in the seller's regular course of business includes books and records the 
seller keeps in the regular course of business for nontax purposes.
(h)
(i)
If the sales price of a transaction is attributable to two or more items of tangible 
personal property, products, or services that are subject to taxation under this 
chapter at different rates, the entire purchase is subject to taxation under this 
chapter at the higher tax rate unless the seller, at the time of the transaction:
(A)
separately states the items subject to taxation under this chapter at each of the 
different rates on an invoice, bill of sale, or similar document provided to the 
purchaser; or
(B)
is able to identify by reasonable and verifiable standards the tangible personal 
property, product, or service that is subject to taxation under this chapter at the 
lower tax rate from the books and records the seller keeps in the seller's regular 
course of business.
(ii)
For purposes of Subsection (2)(h)(i), books and records that a seller keeps in the 
seller's regular course of business includes books and records the seller keeps in 
the regular course of business for nontax purposes.
(i)
Subject to Subsections (2)(j) and (k), a tax rate repeal or tax rate change for a tax rate 
imposed under the following shall take effect on the first day of a calendar quarter:
(i)
Subsection (2)(a)(i)(A);
(ii)
Subsection (2)(b)(i);
(iii)
Subsection (2)(c)(i); or
(iv)
Subsection (2)(f)(i)(A)(I).
(j)
(i)
A tax rate increase takes effect on the first day of the first billing period that 
begins on or after the effective date of the tax rate increase if the billing period for 
the transaction begins before the effective date of a tax rate increase imposed 
under:
(A)
Subsection (2)(a)(i)(A);
(B)
Subsection (2)(b)(i);
(C)
Subsection (2)(c)(i); or
(D)
Subsection (2)(f)(i)(A)(I).
(ii)
The repeal of a tax or a tax rate decrease applies to a billing period if the billing 
statement for the billing period is rendered on or after the effective date of the 
repeal of the tax or the tax rate decrease imposed under:
(A)
Subsection (2)(a)(i)(A);
(B)
Subsection (2)(b)(i);
(C)
Subsection (2)(c)(i); or
(D)
Subsection (2)(f)(i)(A)(I).
(k)
(i)
For a tax rate described in Subsection (2)(k)(ii), if a tax due on a catalogue sale 
is computed on the basis of sales and use tax rates published in the catalogue, a 
tax rate repeal or change in a tax rate takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the tax rate repeal or tax rate 
change.
(ii)
Subsection (2)(k)(i) applies to the tax rates described in the following:
(A)
Subsection (2)(a)(i)(A);
(B)
Subsection (2)(b)(i);
(C)
Subsection (2)(c)(i); or
(D)
Subsection (2)(f)(i)(A)(I).
(iii)
In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, 
the commission may by rule define the term "catalogue sale."
(l)
(i)
For a location described in Subsection (2)(l)(ii), the commission shall determine 
the taxable status of a sale of gas, electricity, heat, coal, fuel oil, or other fuel 
based on the predominant use of the gas, electricity, heat, coal, fuel oil, or other 
fuel at the location.
(ii)
Subsection (2)(l)(i) applies to a location where gas, electricity, heat, coal, fuel oil, 
or other fuel is furnished through a single meter for two or more of the following 
uses:
(A)
a commercial use;
(B)
an industrial use; or
(C)
a residential use.
(3)
(a)
The following state taxes shall be deposited into the General Fund:
(i)
the tax imposed by Subsection (2)(a)(i)(A);
(ii)
the tax imposed by Subsection (2)(b)(i);
(iii)
the tax imposed by Subsection (2)(c)(i); and
(iv)
the tax imposed by Subsection (2)(f)(i)(A)(I).
(b)
The following local taxes shall be distributed to a county, city, or town as provided 
in this chapter:
(i)
the tax imposed by Subsection (2)(a)(ii);
(ii)
the tax imposed by Subsection (2)(b)(ii);
(iii)
the tax imposed by Subsection (2)(c)(ii); and
(iv)
the tax imposed by Subsection (2)(f)(i)(B).
(c)
The state tax imposed by Subsection (2)(d) shall be deposited into the General Fund.
(4)
(a)
Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1, 
2003, the lesser of the following amounts shall be expended as provided in 
Subsections (4)(b) through (g):
(i)
for taxes listed under Subsection (3)(a), the amount of tax revenue generated:
(A)
by a 1/16% tax rate on the transactions described in Subsection (1); and
(B)
for the fiscal year; or
(ii)
$17,500,000.
(b)
(i)
For a fiscal year beginning on or after July 1, 2003, 14% of the amount 
described in Subsection (4)(a) shall be transferred each year as designated sales 
and use tax revenue to the Division of Wildlife Resources to:
(A)
implement the measures described in Subsections 
23A-3-214
(3)(a) through 
(d) to protect sensitive plant and animal species; or
(B)
award grants, up to the amount authorized by the Legislature in an 
appropriations act, to political subdivisions of the state to implement the 
measures described in Subsections 
23A-3-214
(3)(a) through (d) to protect 
sensitive plant and animal species.
(ii)
Money transferred to the Division of Wildlife Resources under Subsection 
(4)(b)(i) may not be used to assist the United States Fish and Wildlife Service or 
any other person to list or attempt to have listed a species as threatened or 
endangered under the Endangered Species Act of 1973, 16 U.S.C. Sec. 1531 et 
seq.
(iii)
At the end of each fiscal year:
(A)
50% of any unexpended designated sales and use tax revenue shall lapse to 
the Water Resources Conservation and Development Fund created in Section 
73-10-24
;
(B)
25% of any unexpended designated sales and use tax revenue shall lapse to the 
Utah Wastewater Loan Program Subaccount created in Section 
73-10c-5
; and
(C)
25% of any unexpended designated sales and use tax revenue shall lapse to the 
Drinking Water Loan Program Subaccount created in Section 
73-10c-5
.
(c)
For a fiscal year beginning on or after July 1, 2003, 3% of the amount described in 
Subsection (4)(a) shall be deposited each year in the Agriculture Resource 
Development Fund created in Section 
4-18-106
.
(d)
(i)
For a fiscal year beginning on or after July 1, 2003, 1% of the amount 
described in Subsection (4)(a) shall be transferred each year as designated sales 
and use tax revenue to the Division of Water Rights to cover the costs incurred in 
hiring legal and technical staff for the adjudication of water rights.
(ii)
At the end of each fiscal year:
(A)
50% of any unexpended designated sales and use tax revenue shall lapse to 
the Water Resources Conservation and Development Fund created in Section 
73-10-24
;
(B)
25% of any unexpended designated sales and use tax revenue shall lapse to the 
Utah Wastewater Loan Program Subaccount created in Section 
73-10c-5
; and
(C)
25% of any unexpended designated sales and use tax revenue shall lapse to the 
Drinking Water Loan Program Subaccount created in Section 
73-10c-5
.
(e)
(i)
For a fiscal year beginning on or after July 1, 2003, 41% of the amount 
described in Subsection (4)(a) shall be deposited into the Water Resources 
Conservation and Development Fund created in Section 
73-10-24
 for use by the 
Division of Water Resources.
(ii)
In addition to the uses allowed of the Water Resources Conservation and 
Development Fund under Section 
73-10-24
, the Water Resources Conservation 
and Development Fund may also be used to:
(A)
conduct hydrologic and geotechnical investigations by the Division of Water 
Resources in a cooperative effort with other state, federal, or local entities, for 
the purpose of quantifying surface and ground water resources and describing 
the hydrologic systems of an area in sufficient detail so as to enable local and 
state resource managers to plan for and accommodate growth in water use 
without jeopardizing the resource;
(B)
fund state required dam safety improvements; and
(C)
protect the state's interest in interstate water compact allocations, including the 
hiring of technical and legal staff.
(f)
For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described in 
Subsection (4)(a) shall be deposited into the Utah Wastewater Loan Program 
Subaccount created in Section 
73-10c-5
 for use by the Water Quality Board to fund 
wastewater projects.
(g)
For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described 
in Subsection (4)(a) shall be deposited into the Drinking Water Loan Program 
Subaccount created in Section 
73-10c-5
 for use by the Division of Drinking Water to:
(i)
provide for the installation and repair of collection, treatment, storage, and 
distribution facilities for any public water system, as defined in Section 
19-4-102
;
(ii)
develop underground sources of water, including springs and wells; and
(iii)
develop surface water sources.
(5)
(a)
Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1, 
2006, the difference between the following amounts shall be expended as provided in 
this Subsection (5), if that difference is greater than $1:
(i)
for taxes listed under Subsection (3)(a), the amount of tax revenue generated for 
the fiscal year by a 1/16% tax rate on the transactions described in Subsection (1); 
and
(ii)
$17,500,000.
(b)
(i)
The first $500,000 of the difference described in Subsection (5)(a) shall be:
(A)
transferred each fiscal year to the Department of Natural Resources as 
designated sales and use tax revenue; and
(B)
expended by the Department of Natural Resources for watershed rehabilitation 
or restoration.
(ii)
At the end of each fiscal year, 100% of any unexpended designated sales and use 
tax revenue described in Subsection (5)(b)(i) shall lapse to the Water Resources 
Conservation and Development Fund created in Section 
73-10-24
.
(c)
(i)
After making the transfer required by Subsection (5)(b)(i), $150,000 of the 
remaining difference described in Subsection (5)(a) shall be:
(A)
transferred each fiscal year to the Division of Water Resources as designated 
sales and use tax revenue; and
(B)
expended by the Division of Water Resources for cloud-seeding projects 
authorized by Title 73, Chapter 15, Modification of Weather.
(ii)
At the end of each fiscal year, 100% of any unexpended designated sales and use 
tax revenue described in Subsection (5)(c)(i) shall lapse to the Water Resources 
Conservation and Development Fund created in Section 
73-10-24
.
(d)
After making the transfers required by Subsections (5)(b) and (c), 85% of the 
remaining difference described in Subsection (5)(a) shall be deposited into the Water 
Resources Conservation and Development Fund created in Section 
73-10-24
 for use 
by the Division of Water Resources for:
(i)
preconstruction costs:
(A)
as defined in Subsection 
73-26-103
(6) for projects authorized by Title 73, 
Chapter 26, Bear River Development Act; and
(B)
as defined in Subsection 
73-28-103
(8) for the Lake Powell Pipeline project 
authorized by Title 73, Chapter 28, Lake Powell Pipeline Development Act;
(ii)
the cost of employing a civil engineer to oversee any project authorized by Title 
73, Chapter 26, Bear River Development Act;
(iii)
the cost of employing a civil engineer to oversee the Lake Powell Pipeline 
project authorized by Title 73, Chapter 28, Lake Powell Pipeline Development 
Act; and
(iv)
other uses authorized under Sections 
73-10-24
, 
73-10-25.1
, and 
73-10-30
, and 
Subsection (4)(e)(ii) after funding the uses specified in Subsections (5)(d)(i) 
through (iii).
(e)
After making the transfers required by Subsections (5)(b) and (c), 15% of the 
remaining difference described in Subsection (5)(a) shall be deposited each year into 
the Water Rights Restricted Account created by Section 
73-2-1.6
.
(6)
Notwithstanding Subsection (3)(a) and for taxes listed under Subsection (3)(a), each 
fiscal year, the commission shall deposit into the Water Infrastructure Restricted 
Account created in Section 
73-10g-103
 the amount of revenue generated by a 1/16% tax 
rate on the transactions described in Subsection (1) for the fiscal year.
(7)
(a)
Notwithstanding Subsection (3)(a) and subject to Subsections (7)(b), (c), and (d), 
for a fiscal year beginning on or after July 1, 2023, the commission shall deposit into 
the Transportation Investment Fund of 2005 created by Section 
72-2-124
 a portion of 
the taxes listed under Subsection (3)(a) equal to 17% of the revenue collected from 
the following sales and use taxes:
(i)
the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
(ii)
the tax imposed by Subsection (2)(b)(i);
(iii)
the tax imposed by Subsection (2)(c)(i); and
(iv)
the tax imposed by Subsection (2)(f)(i)(A)(I).
(b)
(i)
For a fiscal year beginning on or after July 1, 2024, the commission shall 
annually reduce the deposit under Subsection (7)(a) into the Transportation 
Investment Fund of 2005 by an amount equal to .44% of the revenue collected 
from the following sales and use taxes:
(A)
the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
(B)
the tax imposed by Subsection (2)(b)(i);
(C)
the tax imposed by Subsection (2)(c)(i); and
(D)
the tax imposed by Subsection (2)(f)(i)(A)(I).
(ii)
The commission shall annually deposit the amount described in Subsection 
(7)(b)(i) into the Cottonwood Canyons Transportation Investment Fund created in 
Section 
72-2-124
.
(c)
(i)
Subject to Subsection (7)(c)(ii), for a fiscal year beginning on or after July 1, 
2023, the commission shall annually reduce the deposit into the Transportation 
Investment Fund of 2005 under Subsections (7)(a) and (7)(b) by an amount that is 
equal to 5% of:
(A)
the amount of revenue generated in the current fiscal year by the portion of 
taxes listed under Subsection (3)(a) that equals 20.68% of the revenue 
collected from taxes described in Subsections (7)(a)(i) through (iv);
(B)
the amount of revenue generated in the current fiscal year by registration fees 
designated under Section 
41-1a-1201
 to be deposited into the Transportation 
Investment Fund of 2005; and
(C)
revenue transferred by the Division of Finance to the Transportation 
Investment Fund of 2005 in accordance with Section 
72-2-106
 in the current 
fiscal year.
(ii)
The amount described in Subsection (7)(c)(i) may not exceed $45,000,000 in a 
given fiscal year.
(iii)
The commission shall annually deposit the amount described in Subsection 
(7)(c)(i) into the Active Transportation Investment Fund created in Subsection 
72-2-124
(11).
(d)
(i)
For a fiscal year beginning on or after July 1, 2024, the commission shall 
annually reduce the deposit into the Transportation Investment Fund of 2005 
under this Subsection (7) by an amount that is equal to 1% of the revenue 
collected from the following sales and use taxes:
(A)
the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
(B)
the tax imposed by Subsection (2)(b)(i);
(C)
the tax imposed by Subsection (2)(c)(i); and
(D)
the tax imposed by Subsection (2)(f)(i)(A)(I).
(ii)
The commission shall annually deposit the amount described in Subsection 
(7)(d)(i) into the Commuter Rail Subaccount created in Section 
72-2-124
.
(8)
(a)
Notwithstanding Subsection (3)(a), in addition to the amounts deposited under 
Subsection (7), and subject to 
Subsections (8)(b) and (d)(ii)
Subsection 
(8)(b)
, for a 
fiscal year beginning on or after July 1, 2018, the commission shall annually deposit 
into the Transportation Investment Fund of 2005 created by Section 
72-2-124
 a 
portion of the taxes listed under Subsection (3)(a) in an amount equal to 3.68% of the 
revenue collected from the following taxes:
(i)
the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
(ii)
the tax imposed by Subsection (2)(b)(i);
(iii)
the tax imposed by Subsection (2)(c)(i); and
(iv)
the tax imposed by Subsection (2)(f)(i)(A)(I).
(b)
For a fiscal year beginning on or after July 1, 2019, the commission shall annually 
reduce the deposit into the Transportation Investment Fund of 2005 under Subsection 
(8)(a) by an amount that is equal to 35% of the amount of revenue generated in the 
current fiscal year by the portion of the tax imposed on motor and special fuel that is 
sold, used, or received for sale or use in this state that exceeds 29.4 cents per gallon.
(c)
The commission shall annually deposit the amount described in Subsection (8)(b) 
into the Transit Transportation Investment Fund created in Section 
72-2-124
.
(9)
Notwithstanding Subsection (3)(a), for each fiscal year beginning with fiscal year 
2009-10, $533,750 shall be deposited into the Qualified Emergency Food Agencies 
Fund created by Section 
35A-8-1009
 and expended as provided in Section 
35A-8-1009
.
(10)
Notwithstanding Subsection (3)(a), beginning the second fiscal year after the fiscal 
year during which the commission receives notice under Section 
63N-2-510
 that 
construction on a qualified hotel, as defined in Section 
63N-2-502
, has begun, the 
commission shall, for two consecutive fiscal years, annually deposit $1,900,000 of the 
revenue generated by the taxes listed under Subsection (3)(a) into the Hotel Impact 
Mitigation Fund, created in Section 
63N-2-512
.
(11)
(a)
The rate specified in this subsection is 0.15%.
(b)
Notwithstanding Subsection (3)(a), the commission shall, for a fiscal year beginning 
on or after July 1, 2019, annually transfer the amount of revenue collected from the 
rate described in Subsection (11)(a) on the transactions that are subject to the sales 
and use tax under Subsection (2)(a)(i)(A) into the Medicaid ACA Fund created in 
Section 
26B-1-315
.
(12)
Notwithstanding Subsection (3)(a), for each fiscal year beginning with fiscal year 
2020-21, the commission shall deposit $200,000 into the General Fund as a dedicated 
credit solely for use of the Search and Rescue Financial Assistance Program created in, 
and expended in accordance with, Title 53, Chapter 2a, Part 11, Search and Rescue Act.
(13)
(a)
For each fiscal year beginning with fiscal year 2020-21, the commission shall 
annually transfer $1,813,400 of the revenue deposited into the Transportation 
Investment Fund of 2005 under Subsections (7) and (8) to the General Fund.
(b)
If the total revenue deposited into the Transportation Investment Fund of 2005 under 
Subsections (7) and (8) is less than $1,813,400 for a fiscal year, the commission shall 
transfer the total revenue deposited into the Transportation Investment Fund of 2005 
under Subsections (7) and (8) during the fiscal year to the General Fund.
(14)
(a)
Notwithstanding Subsection (3)(a), 
and except as provided in Subsections (18) 
and (19), 
and as described in Section 
63N-3-610
, beginning the first day of 
the
a
calendar quarter one year after the sales and use tax boundary for a housing and 
transit reinvestment zone is established
 under Title 63N, Chapter 3, Part 6, Housing 
and Transit Reinvestment Zone Act
, the commission, at least annually, shall transfer 
an amount equal to 15% of the sales and use tax increment
 from the sales and use tax 
imposed by Subsection (2)(a)(i)(A) at a 4.7% rate, on transactions occurring
 within 
an established sales and use tax boundary, as defined in Section 
63N-3-602
, into the 
Transit Transportation Investment Fund created in Section 
72-2-124
.
(b)
Beginning no sooner than January 1, 2026, notwithstanding Subsection (3)(a), and 
except as provided in Subsections (18) and (19), and as described in Section 
63N-3-610.1
, beginning the first day of a calendar quarter after the year set in the 
proposal and after the sales and use tax boundary for a convention center 
reinvestment zone is established in a capital city under Title 63N, Chapter 3, Part 6, 
Housing and Transit Reinvestment Zone Act, the commission, at least annually, shall 
transfer an amount equal to 50% of the sales and use tax increment as defined in 
Section 
63N-3-602
 from the sales and use tax imposed by Subsection (2)(a)(i)(A) at a 
4.7% rate, on transactions occurring within an established sales and use tax boundary, 
as defined in Section 
63N-3-602
, to a convention center public infrastructure district 
created in accordance with Section 
17D-4-202.1
 and specified in the convention 
center reinvestment zone proposal submitted pursuant to Title 63N, Chapter 3, Part 6, 
Housing and Transit Reinvestment Zone Act.
(15)
Notwithstanding Subsection (3)(a), the commission shall, for a fiscal year beginning 
on or after July 1, 2022, transfer into the Outdoor Adventure Infrastructure Restricted 
Account, created in Section 
51-9-902
, a portion of the taxes listed under Subsection 
(3)(a) equal to 1% of the revenue collected from the following sales and use taxes:
(a)
the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
(b)
the tax imposed by Subsection (2)(b)(i);
(c)
the tax imposed by Subsection (2)(c)(i); and
(d)
the tax imposed by Subsection (2)(f)(i)(A)(I).
(16)
Notwithstanding Subsection (3)(a), 
and except as provided in Subsections (18) and 
(19), 
beginning October 1, 2024 the commission shall transfer to the Utah Fairpark Area 
Investment and Restoration District, created in Section 
11-70-201
, the revenue from the 
sales and use tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate, on transactions 
occurring within the district sales tax area, as defined in Section 
11-70-101
.
(17)
(a)
As used in this Subsection (17):
(i)
"Additional land" means point of the mountain state land described in Subsection 
11-59-102(6)(b)
 that the point of the mountain authority acquires after the point of 
the mountain authority provides the commission a map under Subsection (17)(c).
(ii)
"Point of the mountain authority" means the Point of the Mountain State Land 
Authority, created in Section 
11-59-201
.
(iii)
"Point of the mountain state land" means the same as that term is defined in 
Section 
11-59-102
.
(b)
Notwithstanding Subsection (3)(a), 
and except as provided in Subsections (18) and 
(19), 
the commission shall distribute to the point of the mountain authority 50% of 
the revenue from the sales and use tax imposed by Subsection (2)(a)(i)(A) at a 4.7% 
rate, on transactions occurring on the point of the mountain state land.
(c)
The distribution under Subsection (17)(b) shall begin the next calendar quarter that 
begins at least 90 days after the point of the mountain authority provides the 
commission a map that:
(i)
accurately describes the point of the mountain state land; and
(ii)
the point of the mountain authority certifies as accurate.
(d)
A distribution under Subsection (17)(b) with respect to additional land shall begin 
the next calendar quarter that begins at least 90 days after the point of the mountain 
authority provides the commission a map of point of the mountain state land that:
(i)
accurately describes the point of the mountain state land, including the additional 
land; and
(ii)
the point of the mountain authority certifies as accurate.
(e)
(i)
Upon the payment in full of bonds secured by the sales and use tax revenue 
distributed to the point of the mountain authority under Subsection (17)(b), the 
point of the mountain authority shall immediately notify the commission in 
writing that the bonds are paid in full.
(ii)
The commission shall discontinue distributions of sales and use tax revenue under 
Subsection (17)(b) at the beginning of the calendar quarter that begins at least 90 
days after the date that the commission receives the written notice under 
Subsection (17)(e)(i).
(18)
(a)
As used in Subsections (18) and (19):
(i)
"Applicable percentage" means, for a convention center reinvestment zone created 
in a capital city under Title 63N, Chapter 3, Part 6, Housing and Transit 
Reinvestment Zone Act, an amount equal to 50% of the sales and use tax 
increment, as that term is defined in Section 
63N-3-602
, from the sales and use tax 
imposed by Subsection (2)(a)(i)(A) at a 4.7% rate for sales occurring within the 
qualified development zone described in Subsection (18)(a)(ii).
(ii)
"Qualified development zone" means the sales and use tax boundary of a 
convention center reinvestment zone created in a capital city under Title 63N, 
Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act.
(iii)
"Qualifying construction materials" means construction materials that are:
(A)
delivered to a delivery outlet within a qualified development zone; and
(B)
intended to be permanently attached to real property within the qualified 
development zone.
(b)
For a sale of qualifying construction materials, the commission shall distribute the 
product calculated in Subsection (18)(c) to a qualified development zone if the seller 
of the construction materials:
(i)
establishes a delivery outlet with the commission within the qualified development 
zone;
(ii)
reports the sales of the construction materials to the delivery outlet described in 
Subsection (18)(b)(i); and
(iii)
does not report the sales of the construction materials on a simplified electronic 
return.
(c)
For the purposes of Subsection (18)(b), the product is equal to:
(i)
the sales price or purchase price of the qualifying construction materials; and
(ii)
the applicable percentage.
(19)
(a)
As used in this Subsection (19), "Schedule J sale" means a sale reported on State 
Tax Commission Form TC-62M, Schedule J, or a substantially similar form as 
designated by the commission.
(b)
Revenue generated from the applicable percentage by a Schedule J sale within a 
qualified development zone shall be distributed into the General Fund.
Section 15, Section 
59-12-205
 is amended to read:
59-12-205
Effective 
upon governor's approval
. 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) and (4)
(3), (4), and (5)
 and subject to 
Subsection 
(5)
(6)
:
(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
(ii)
(A)
except as provided in Subsections (2)(a)(ii)(B), (C), and (D), 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
;
(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
;
(C)
beginning July 1, 2024, 20% 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
; and
(D)
50% of each dollar collected from the sales and use tax authorized by this part 
within the lake authority boundary, as defined in Section 
11-65-101
, shall be 
distributed to the Utah Lake Authority, created in Section 
11-65-201
, 
beginning the next full calendar quarter following the creation of the Utah 
Lake Authority.
(b)
Subsection (2)(a)(ii)(C) does not apply to sales and use tax revenue collected before 
July 1, 2022.
(3)
Beginning no sooner than January 1, 2026, and before application of Subsections 
(2)
, 
(4)
, 
(5), and (6), and except as provided in Subsections 
(8)
 and (9), and as described in 
Section 
63N-3-610.1
, beginning the first day of a calendar quarter after the year set in 
the proposal and after the sales and use tax boundary for a convention center 
reinvestment zone is established under Title 63N, Chapter 3, Part 6, Housing and Transit 
Reinvestment Zone Act, the commission, at least annually, shall transfer an amount 
equal to 100% of the sales and use tax increment, as defined in Section 
63N-3-602
, from 
the sales and use tax imposed under this part on transactions occurring within an 
established sales and use tax boundary, as defined in Section 
63N-3-602
, to the entity 
specified in the convention center reinvestment zone proposal submitted pursuant to 
Title 63N, Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act.
(3)
(4)
(a)
As used in this Subsection 
(3)
(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 
(3)(b)
(4)(b)
 equal to the amount described in Subsection 
(3)(b)(ii)
(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.
(c)
For an eligible county, city, or town that qualifies to receive a distribution described 
in this Subsection (4), the commission shall apply the provisions of this Subsection 
(4) after the commission applies the provisions of Subsection (3).
(4)
(5)
(a)
For purposes of this Subsection 
(4)
(5)
:
(i)
"Annual local contribution" means the lesser of $275,000 or an amount equal to 
2.55% of the participating local government's tax revenue distribution amount 
under Subsection (2)(a)(i) 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 certified in accordance with 
Section 
35A-16-404
.
(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)(i) to a participating local government, shall:
(i)
adjust a participating local government's tax revenue distribution under Subsection 
(2)(a)(i) by:
(A)
subtracting an amount equal to one-twelfth of the annual local contribution for 
each participating local government from the participating local government's 
tax revenue distribution; and
(B)
if applicable, reducing the amount described in Subsection 
(4)(b)(i)(A)
(5)(b)(i)(A)
 by an amount equal to one-twelfth of $250 for each bed that is 
available at all homeless shelters located within the boundaries of the 
participating local government, as reported to the commission by the Office of 
Homeless Services in accordance with Section 
35A-16-405
; and
(ii)
deposit the resulting amount described in Subsection 
(4)(b)(i)
(5)(b)(i)
 into the 
Homeless Shelter Cities Mitigation Restricted Account created in Section 
35A-16-402
.
(c)
For a participating local government that qualifies to receive a distribution described 
in Subsection 
(3)
(4)
, the commission shall apply the provisions of this Subsection 
(4)
(5)
 after the commission applies the provisions of 
Subsection (3)
Subsections 
(3)
and (4)
.
(5)
(6)
(a)
As used in this Subsection 
(5)
(6)
:
(i)
"Annual dedicated sand and gravel sales tax revenue" means an amount equal to 
the total revenue an establishment described in NAICS Code 327320, Ready-Mix 
Concrete Manufacturing, of the 2022 North American Industry Classification 
System of the federal Executive Office of the President, Office of Management 
and Budget, collects and remits under this part for a calendar year.
(ii)
"Sand and gravel" means sand, gravel, or a combination of sand and gravel.
(iii)
"Sand and gravel extraction site" means a pit, quarry, or deposit that:
(A)
contains sand and gravel; and
(B)
is assessed by the commission in accordance with Section 
59-2-201
.
(iv)
"Ton" means a short ton of 2,000 pounds.
(v)
"Tonnage ratio" means the ratio of:
(A)
the total amount of sand and gravel, measured in tons, sold during a calendar 
year from all sand and gravel extraction sites located within a county, city, or 
town; to
(B)
the total amount of sand and gravel, measured in tons, sold during the same 
calendar year from sand and gravel extraction sites statewide.
(b)
For purposes of calculating the ratio described in Subsection 
(5)(a)(v)
(6)(a)(v)
, the 
commission shall:
(i)
use the gross sales data provided to the commission as part of the commission's 
property tax valuation process; and
(ii)
if a sand and gravel extraction site operates as a unit across municipal or county 
lines, apportion the reported tonnage among the counties, cities, or towns based on 
the percentage of the sand and gravel extraction site located in each county, city, 
or town, as approximated by the commission.
(c)
(i)
Beginning July 2023, and each July thereafter, the commission shall distribute 
from total collections under this part an amount equal to the annual dedicated sand 
and gravel sales tax revenue for the preceding calendar year to each county, city, 
or town in the same proportion as the county's, city's, or town's tonnage ratio for 
the preceding calendar year.
(ii)
The commission shall ensure that the revenue distributed under this Subsection 
(5)(c)
(6)(c)
 is drawn from each jurisdiction's collections in proportion to the 
jurisdiction's share of total collections for the preceding 12-month period.
(d)
A county, city, or town shall use revenue described in Subsection 
(5)(c)
(6)(c)
 for 
class B or class C roads.
(6)
(7)
(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.
(8)
(a)
As used in Subsections (8) and (9):
(i)
"Applicable percentage" means, for a convention center reinvestment zone created 
under Title 63N, Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act, 
for sales occurring within the qualified development zone described in Subsection 
(8)(a)(ii), 100% of the sales and use tax increment, as that term is defined in 
Section 
63N-3-602
, from the sales and use tax:
(A)
imposed by a city of the first class in a county of the first class under this part;
(B)
imposed by a city of the first class in a county of the first class under Section 
59-12-402.1
;
(C)
imposed by a county of the first class under Section 
59-12-1102
; and
(D)
imposed by a county of the first class under 
Part 22
, Local Option Sales and 
Use Taxes for Transportation Act.
(ii)
"Qualified development zone" means the sales and use tax boundary of a 
convention center reinvestment zone created under Title 63N, Chapter 3, Part 6, 
Housing and Transit Reinvestment Zone Act.
(iii)
"Qualifying construction materials" means construction materials that are:
(A)
delivered to a delivery outlet within a qualified development zone; and
(B)
intended to be permanently attached to real property within the qualified 
development zone.
(b)
For a sale of qualifying construction materials, the commission shall distribute the 
product calculated in Subsection (8)(c) to a qualified development zone if the seller 
of the construction materials:
(i)
establishes a delivery outlet with the commission within the qualified development 
zone;
(ii)
reports the sales of the construction materials to the delivery outlet described in 
Subsection (8)(b)(i); and
(iii)
does not report the sales of the construction materials on a simplified electronic 
return.
(c)
For the purposes of Subsection (8)(b), the product is equal to:
(i)
the sales price or purchase price of the qualifying construction materials; and
(ii)
the applicable percentage.
(9)
(a)
As used in this Subsection (9), "Schedule J sale" means a sale reported on State 
Tax Commission Form TC-62M, Schedule J, or a substantially similar form as 
designated by the commission.
(b)
Revenue generated from the applicable percentage by a Schedule J sale within a 
qualified development zone shall be distributed into the jurisdiction that would have 
received the revenue in the absence of the qualified development zone.
Section 16, Section 
59-12-302
 is amended to read:
59-12-302
Effective 
upon governor's approval
. Collection of tax -- 
Administrative charge.
(1)
Except as provided in Subsections 
(2)
, 
(3)
, and 
(4)
, the tax authorized under this part 
shall be administered, collected, and enforced in accordance with:
(a)
the same procedures used to administer, collect, and enforce the tax under:
(i)
Part 1, Tax Collection
; or
(ii)
Part 2, Local Sales and Use Tax Act
; and
(b)
Chapter 1, General Taxation Policies
.
(2)
The location of a transaction shall be determined in accordance with Sections 
59-12-211
through 
59-12-215
.
(3)
A tax under this part is not subject to Section 
59-12-107.1
 or 
59-12-123
 or Subsections 
59-12-205(2)
through 
(5)
and (4) through (6)
.
(4)
A county auditor may make referrals to the commission to assist the commission in 
determining whether to require an audit of any person that is required to remit a tax 
authorized under this part.
(5)
The commission:
(a)
shall distribute the revenue collected from the tax to the county within which the 
revenue was collected; and
(b)
shall retain and deposit an administrative charge in accordance with Section 
59-1-306
from revenue the commission collects from a tax under this part.
Section 17, Section 
59-12-354
 is amended to read:
59-12-354
Effective 
upon governor's approval
. Collection of tax -- 
Administrative charge.
(1)
Except as provided in Subsections (2) and (3), the tax authorized under this part shall be 
administered, collected, and enforced in accordance with:
(a)
the same procedures used to administer, collect, and enforce the tax under:
(i)
Part 1, Tax Collection; or
(ii)
Part 2, Local Sales and Use Tax Act; and
(b)
Chapter 1, General Taxation Policies.
(2)
(a)
The location of a transaction shall be determined in accordance with Sections 
59-12-211
 through 
59-12-215
.
(b)
Except as provided in Subsection (2)(c), the commission
shall distribute the revenue 
collected from the tax to:
(i)
(A)
the municipality within which the revenue was collected, for a tax imposed 
under this part by a municipality; or
(B)
the Utah Fairpark Area Investment and Restoration District, for a tax imposed 
under this part by the Utah Fairpark Area Investment and Restoration District; 
and
(ii)
the Point of the Mountain State Land Authority, for a tax imposed under 
Subsection 
59-12-352
(6).
(c)
The commission shall retain and deposit an administrative charge in accordance with 
Section 
59-1-306
 from the revenue the commission collects from a tax under this part.
(3)
A tax under this part is not subject to Section 
59-12-107.1
 or 
59-12-123
 or Subsections 
59-12-205
(2) 
through (5)
and (4) through (6)
.
Section 18, Section 
59-12-402.1
 is amended to read:
59-12-402.1
Effective 
upon governor's approval
. State correctional facility 
sales and use tax -- Base -- Rate -- Collection fees -- Imposition -- Prohibition of military 
installation development authority imposition of tax.
(1)
As used in this section, "new state correctional facility" means a new prison in the state:
(a)
that is operated by the Department of Corrections;
(b)
the construction of which begins on or after May 12, 2015; and
(c)
that provides a capacity of 2,500 or more inmate beds.
(2)
Subject to the other provisions of this part, a city or town legislative body may impose a 
tax under this section if the construction of a new state correctional facility has begun 
within the boundaries of the city or town.
(3)
For purposes of this section, the tax rate may not exceed .5%.
(4)
Except as provided in Subsection 
(5)
, a tax under this section shall be imposed on the 
transactions described in Subsection 
59-12-103(1)
 within the city or town.
(5)
A city or town may not impose a tax under this section on:
(a)
the sale of:
(i)
a motor vehicle;
(ii)
an aircraft;
(iii)
a watercraft;
(iv)
a modular home;
(v)
a manufactured home; or
(vi)
a mobile home;
(b)
the sales and uses described in Section 
59-12-104
 to the extent the sales and uses are 
exempt under Section 
59-12-104
; and
(c)
except as provided in Subsection 
(7)
, amounts paid or charged for food and food 
ingredients.
(6)
For purposes of this section, the location of a transaction shall be determined in 
accordance with Sections 
59-12-211
 through 
59-12-215
.
(7)
A city or town that imposes a tax under this section shall impose the tax on the purchase 
price or sales price for amounts paid or charged for food and food ingredients if the food 
and food ingredients are sold as part of a bundled transaction attributable to food and 
food ingredients and tangible personal property other than food and food ingredients.
(8)
Beginning no sooner than January 1, 2026, and subject to Section 
59-12-205
, before 
distribution of a sales and use tax imposed under this section, and as described in 
Section 
63N-3-610
.1, beginning the first day of a calendar quarter after the year set in 
the proposal and after the sales and use tax boundary for a convention center 
reinvestment zone is established under Title 63N, Chapter 3, Part 6, Housing and Transit 
Reinvestment Zone Act, the commission, at least annually, shall transfer an amount 
equal to 100% of the sales and use tax increment as defined in Section 
63N-3-602
, from 
the sales and use tax imposed under this section on transactions occurring within an 
established sales and use tax boundary, as defined in Section 
63N-3-602
, to a 
convention center public infrastructure district created in accordance with Section 
17D-4-202.1
.
(8)
(9)
A city or town may impose a tax under this section by majority vote of the 
members of the city or town legislative body.
(9)
(10)
A city or town that imposes a tax under this section is not subject to Section 
59-12-405
.
(10)
(11)
A military installation development authority may not impose a tax under this 
section.
Section 19, Section 
59-12-403
 is amended to read:
59-12-403
Effective 
upon governor's approval
. Enactment or repeal of tax -- 
Tax rate change -- Effective date -- Notice requirements -- Administration, collection, 
and enforcement of tax -- Administrative charge.
(1)
For purposes of this section:
(a)
"Annexation" means an annexation to a city or town under 
Title 10, Chapter 2, Part 
4, Annexation
.
(b)
"Annexing area" means an area that is annexed into a city or town.
(2)
(a)
Except as provided in Subsection 
(2)(c)
 or 
(d)
, if, on or after April 1, 2008, a city 
or town enacts or repeals a tax or changes the rate of a tax under this part, the 
enactment, repeal, or change shall take effect:
(i)
on the first day of a calendar quarter; and
(ii)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(2)(b)
 from the city or town.
(b)
The notice described in Subsection 
(2)(a)(ii)
 shall state:
(i)
that the city or town will enact or repeal a tax or change the rate of a tax under this 
part;
(ii)
the statutory authority for the tax described in Subsection 
(2)(b)(i)
;
(iii)
the effective date of the tax described in Subsection 
(2)(b)(i)
; and
(iv)
if the city or town enacts the tax or changes the rate of the tax described in 
Subsection 
(2)(b)(i)
, the rate of the tax.
(c)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax or the tax rate increase imposed under Section 
59-12-401
, 
59-12-402
, or 
59-12-402.1
, the enactment of the tax or the tax rate increase takes 
effect on the first day of the first billing period that begins on or after the effective 
date of the enactment of the tax or the tax rate increase.
(ii)
The repeal of a tax or a tax rate decrease applies to a billing period if the billing 
statement for the billing period is produced on or after the effective date of the 
repeal of the tax or the tax rate decrease imposed under Section 
59-12-401
, 
59-12-402
, or 
59-12-402.1
.
(d)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment, repeal, or change 
in the rate of a tax described in Subsection 
(2)(a)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment, repeal, or change 
in the rate of the tax under Subsection 
(2)(a)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
(3)
(a)
Except as provided in Subsection 
(3)(c)
 or 
(d)
, if, for an annexation that occurs on 
or after July 1, 2004, the annexation will result in the enactment, repeal, or change in 
the rate of a tax under this part for an annexing area, the enactment, repeal, or change 
shall take effect:
(i)
on the first day of a calendar quarter; and
(ii)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(3)(b)
 from the city or town that annexes 
the annexing area.
(b)
The notice described in Subsection 
(3)(a)(ii)
 shall state:
(i)
that the annexation described in Subsection 
(3)(a)
 will result in an enactment, 
repeal, or change in the rate of a tax under this part for the annexing area;
(ii)
the statutory authority for the tax described in Subsection 
(3)(b)(i)
;
(iii)
the effective date of the tax described in Subsection 
(3)(b)(i)
; and
(iv)
if the city or town enacts the tax or changes the rate of the tax described in 
Subsection 
(3)(b)(i)
, the rate of the tax.
(c)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax or the tax rate increase imposed under Section 
59-12-401
, 
59-12-402
, or 
59-12-402.1
, the enactment of the tax or the tax rate increase takes 
effect on the first day of the first billing period that begins on or after the effective 
date of the enactment of the tax or the tax rate increase.
(ii)
The repeal of a tax or a tax rate decrease applies to a billing period if the billing 
statement for the billing period is produced on or after the effective date of the 
repeal of the tax or the tax rate decrease imposed under Section 
59-12-401
, 
59-12-402
, or 
59-12-402.1
.
(d)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment, repeal, or change 
in the rate of a tax described in Subsection 
(3)(a)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment, repeal, or change 
in the rate of the tax under Subsection 
(3)(a)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
(4)
(a)
Except as provided in Subsection 
(4)(b)
, a tax authorized under this part shall be 
administered, collected, and enforced in accordance with:
(i)
the same procedures used to administer, collect, and enforce the tax under:
(A)
Part 1, Tax Collection
; or
(B)
Part 2, Local Sales and Use Tax Act
; and
(ii)
Chapter 1, General Taxation Policies
.
(b)
A tax under this part is not subject to Subsections 
59-12-205(2)
through 
(5)
and (4) 
through (6)
.
(5)
The commission shall retain and deposit an administrative charge in accordance with 
Section 
59-1-306
 from the revenue the commission collects from a tax under this part.
Section 20, Section 
59-12-603
 is amended to read:
59-12-603
Effective 
upon governor's approval
. County tax -- Bases -- Rates -- 
Use of revenue -- Adoption of ordinance required -- Advisory board -- Administration -- 
Collection -- Administrative charge -- Distribution -- Enactment or repeal of tax or tax 
rate change -- Effective date -- Notice requirements.
(1)
(a)
In addition to any other taxes, a county legislative body may, as provided in this 
part, impose a tax as follows:
(i)
(A)
a county legislative body of any county may impose a tax of not to exceed 
3% on all short-term rentals of motor vehicles, except for short-term rentals of 
motor vehicles made for the purpose of temporarily replacing a person's motor 
vehicle that is being repaired pursuant to a repair or an insurance agreement; 
and
(B)
a county legislative body of any county imposing a tax under Subsection 
(1)(a)(i)(A) may, in addition to imposing the tax under Subsection (1)(a)(i)(A), 
impose a tax of not to exceed 4% on all short-term rentals of motor vehicles, 
except for short-term rentals of motor vehicles made for the purpose of 
temporarily replacing a person's motor vehicle that is being repaired pursuant 
to a repair or an insurance agreement;
(ii)
a county legislative body of any county may impose a tax of not to exceed 7% on 
all short-term rentals of off-highway vehicles and recreational vehicles;
(iii)
a county legislative body of any county may impose a tax of not to exceed 1% of 
all sales of the following that are sold by a restaurant:
(A)
alcoholic beverages;
(B)
food and food ingredients; or
(C)
prepared food;
(iv)
a county legislative body of a county of the first class may impose a tax of not to 
exceed .5% on charges for the accommodations and services described in 
Subsection 
59-12-103
(1)(i); and
(v)
if a county legislative body of any county imposes a tax under Subsection 
(1)(a)(i), a tax at the same rate applies to car sharing of less than 30 days, except 
for
car sharing for the purpose of temporarily replacing a person's motor vehicle 
that is being repaired pursuant to a repair or an insurance agreement.
(b)
A tax imposed under Subsection (1)(a) is subject to the audit provisions of Section 
17-31-5.5
.
(2)
(a)
Subject to Subsection (2)(c), a county may use revenue from the imposition of a 
tax under Subsection (1) for:
(i)
financing tourism promotion; and
(ii)
the development, operation, and maintenance of:
(A)
an airport facility;
(B)
a convention facility;
(C)
a cultural facility;
(D)
a recreation facility; or
(E)
a tourist facility.
(b)
(i)
In addition to the uses described in Subsection (2)(a) and subject to Subsection 
(2)(b)(ii), a county of the fourth, fifth, or sixth class or a county with a population 
density of fewer than 15 people per square mile may expend the revenue from the 
imposition of a tax under Subsections (1)(a)(i) and (ii) on the following activities 
to mitigate the impacts of tourism:
(A)
solid waste disposal;
(B)
search and rescue activities;
(C)
law enforcement activities;
(D)
emergency medical services; or
(E)
fire protection services.
(ii)
A county may only expend the revenue as outlined in Subsection (2)(b)(i) if the 
county's tourism tax advisory board created under Subsection 
17-31-8
(1)(a) has 
prioritized the use of revenue to mitigate the impacts of tourism.
(c)
A county of the first class shall expend at least $450,000 each year of the revenue 
from the imposition of a tax authorized by Subsection (1)(a)(iv) within the county to 
fund a marketing and ticketing system designed to:
(i)
promote tourism in ski areas within the county by persons that do not reside within 
the state; and
(ii)
combine the sale of:
(A)
ski lift tickets; and
(B)
accommodations and services described in Subsection 
59-12-103
(1)(i).
(3)
A tax imposed under this part may be pledged as security for bonds, notes, or other 
evidences of indebtedness incurred by a county, city, or town under Title 11, Chapter 14, 
Local Government Bonding Act, or a community reinvestment agency under Title 17C, 
Chapter 1, Part 5, Agency Bonds, to finance:
(a)
an airport facility;
(b)
a convention facility;
(c)
a cultural facility;
(d)
a recreation facility; or
(e)
a tourist facility.
(4)
(a)
To impose a tax under Subsection (1), the county legislative body shall adopt an 
ordinance imposing the tax.
(b)
The ordinance under Subsection (4)(a) shall include provisions substantially the 
same as those contained in Part 1, Tax Collection, except that the tax shall be 
imposed only on those items and sales described in Subsection (1).
(c)
The name of the county as the taxing agency shall be substituted for that of the state 
where necessary, and an additional license is not required if one has been or is issued 
under Section 
59-12-106
.
(5)
To maintain in effect a tax ordinance adopted under this part, each county legislative 
body shall, within 30 days of any amendment of any applicable provisions of Part 1, Tax 
Collection, adopt amendments to the county's tax ordinance to conform with the 
applicable amendments to Part 1, Tax Collection.
(6)
(a)
Regardless of whether a county of the first class creates a tourism tax advisory 
board in accordance with Section 
17-31-8
, the county legislative body of the county 
of the first class shall create a tax advisory board in accordance with this Subsection 
(6).
(b)
The tax advisory board shall be composed of nine members appointed as follows:
(i)
four members shall be residents of a county of the first class appointed by the 
county legislative body of the county of the first class; and
(ii)
subject to Subsections (6)(c) and (d), five members shall be mayors of cities or 
towns within the county of the first class appointed by an organization 
representing all mayors of cities and towns within the county of the first class.
(c)
Five members of the tax advisory board constitute a quorum.
(d)
The county legislative body of the county of the first class shall determine:
(i)
terms of the members of the tax advisory board;
(ii)
procedures and requirements for removing a member of the tax advisory board;
(iii)
voting requirements, except that action of the tax advisory board shall be by at 
least a majority vote of a quorum of the tax advisory board;
(iv)
chairs or other officers of the tax advisory board;
(v)
how meetings are to be called and the frequency of meetings; and
(vi)
the compensation, if any, of members of the tax advisory board.
(e)
The tax advisory board under this Subsection (6) shall advise the county legislative 
body of the county of the first class on the expenditure of revenue collected within 
the county of the first class from the taxes described in Subsection (1)(a).
(7)
(a)
(i)
Except as provided in Subsection (7)(a)(ii), a tax authorized under this part 
shall be administered, collected, and enforced in accordance with:
(A)
the same procedures used to administer, collect, and enforce the tax under:
(I)
Part 1, Tax Collection; or
(II)
Part 2, Local Sales and Use Tax Act; and
(B)
Chapter 1, General Taxation Policies.
(ii)
A tax under this part is not subject to Section 
59-12-107.1
 or 
59-12-123
 or 
Subsections 
59-12-205
(2) 
through (5)
and (4) through (6)
.
(b)
Except as provided in Subsection (7)(c):
(i)
for a tax under this part other than the tax under Subsection (1)(a)(i)(B), the 
commission shall distribute the revenue to the county imposing the tax; and
(ii)
for a tax under Subsection (1)(a)(i)(B), the commission shall distribute the 
revenue according to the distribution formula provided in Subsection (8).
(c)
The commission shall retain and deposit an administrative charge in accordance with 
Section 
59-1-306
 from the revenue the commission collects from a tax under this part.
(8)
The commission shall distribute the revenue generated by the tax under Subsection 
(1)(a)(i)(B) to each county collecting a tax under Subsection (1)(a)(i)(B) according to 
the following formula:
(a)
the commission shall distribute 70% of the revenue based on the percentages 
generated by dividing the revenue collected by each county under Subsection 
(1)(a)(i)(B) by the total revenue collected by all counties under Subsection 
(1)(a)(i)(B); and
(b)
the commission shall distribute 30% of the revenue based on the percentages 
generated by dividing the population of each county collecting a tax under 
Subsection (1)(a)(i)(B) by the total population of all counties collecting a tax under 
Subsection (1)(a)(i)(B).
(9)
(a)
For purposes of this Subsection (9):
(i)
"Annexation" means an annexation to a county under Title 17, Chapter 2, Part 2, 
County Annexation.
(ii)
"Annexing area" means an area that is annexed into a county.
(b)
(i)
Except as provided in Subsection (9)(c), if a county enacts or repeals a tax or 
changes the rate of a tax under this part, the enactment, repeal, or change shall 
take effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the day on which the commission receives 
notice meeting the requirements of Subsection (9)(b)(ii) from the county.
(ii)
The notice described in Subsection (9)(b)(i)(B) shall state:
(A)
that the county will enact or repeal a tax or change the rate of a tax under this 
part;
(B)
the statutory authority for the tax described in Subsection (9)(b)(ii)(A);
(C)
the effective date of the tax described in Subsection (9)(b)(ii)(A); and
(D)
if the county enacts the tax or changes the rate of the tax described in 
Subsection (9)(b)(ii)(A), the rate of the tax.
(c)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax or the tax rate increase imposed under Subsection (1), the 
enactment of the tax or the tax rate increase shall take effect on the first day of the 
first billing period that begins after the effective date of the enactment of the tax 
or the tax rate increase.
(ii)
If the billing period for a transaction begins before the effective date of the repeal 
of the tax or the tax rate decrease imposed under Subsection (1), the repeal of the 
tax or the tax rate decrease shall take effect on the first day of the last billing 
period that began before the effective date of the repeal of the tax or the tax rate 
decrease.
(d)
(i)
Except as provided in Subsection (9)(e), if the annexation will result in the 
enactment, repeal, or change in the rate of a tax under this part for an annexing 
area, the enactment, repeal, or change shall take effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the day on which the commission receives 
notice meeting the requirements of Subsection (9)(d)(ii) from the county that 
annexes the annexing area.
(ii)
The notice described in Subsection (9)(d)(i)(B) shall state:
(A)
that the annexation described in Subsection (9)(d)(i) will result in an 
enactment, repeal, or change in the rate of a tax under this part for the annexing 
area;
(B)
the statutory authority for the tax described in Subsection (9)(d)(ii)(A);
(C)
the effective date of the tax described in Subsection (9)(d)(ii)(A); and
(D)
if the county enacts the tax or changes the rate of the tax described in 
Subsection (9)(d)(ii)(A), the rate of the tax.
(e)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax or the tax rate increase imposed under Subsection (1), the 
enactment of the tax or the tax rate increase shall take effect on the first day of the 
first billing period that begins after the effective date of the enactment of the tax 
or the tax rate increase.
(ii)
If the billing period for a transaction begins before the effective date of the repeal 
of the tax or the tax rate decrease imposed under Subsection (1), the repeal of the 
tax or the tax rate decrease shall take effect on the first day of the last billing 
period that began before the effective date of the repeal of the tax or the tax rate 
decrease.
Section 21, Section 
59-12-703
 is amended to read:
59-12-703
Effective 
upon governor's approval
. Opinion question election -- 
Base -- Rate -- Imposition of tax -- Expenditure of revenues -- Administration -- 
Enactment or repeal of tax -- Effective date -- Notice requirements.
(1)
(a)
Subject to the other provisions of this section, a county legislative body may 
submit an opinion question to the residents of that county, by majority vote of all 
members of the legislative body, so that each resident of the county, except residents 
in municipalities that have already imposed a sales and use tax under 
Part 14, City or 
Town Option Funding for Botanical, Cultural, Recreational, and Zoological 
Organizations or Facilities
, has an opportunity to express the resident's opinion on the 
imposition of a local sales and use tax of .1% on the transactions described in 
Subsection 
59-12-103(1)
 located within the county, to:
(i)
fund cultural facilities, recreational facilities, and zoological facilities, botanical 
organizations, cultural organizations, and zoological organizations, and rural radio 
stations, in that county; or
(ii)
provide funding for a botanical organization, cultural organization, or zoological 
organization to pay for use of a bus or facility rental if that use of the bus or 
facility rental is in furtherance of the botanical organization's, cultural 
organization's, or zoological organization's primary purpose.
(b)
The opinion question required by this section shall state:
"Shall (insert the name of the county), Utah, be authorized to impose a .1% sales and use 
tax for (list the purposes for which the revenue collected from the sales and use tax shall be 
expended)?"
(c)
A county legislative body may not impose a tax under this section on:
(i)
the sales and uses described in Section 
59-12-104
 to the extent the sales and uses 
are exempt from taxation under Section 
59-12-104
;
(ii)
sales and uses within a municipality that has already imposed a sales and use tax 
under 
Part 14, City or Town Option Funding for Botanical, Cultural, Recreational, 
and Zoological Organizations or Facilities
; and
(iii)
except as provided in Subsection 
(1)(e)
, amounts paid or charged for food and 
food ingredients.
(d)
For purposes of this Subsection 
(1)
, the location of a transaction shall be determined 
in accordance with Sections 
59-12-211
 through 
59-12-215
.
(e)
A county legislative body imposing a tax under this section shall impose the tax on 
the purchase price or sales price for amounts paid or charged for food and food 
ingredients if the food and food ingredients are sold as part of a bundled transaction 
attributable to food and food ingredients and tangible personal property other than 
food and food ingredients.
(f)
The election shall follow the procedures outlined in 
Title 11, Chapter 14, Local 
Government Bonding Act
.
(2)
(a)
If the county legislative body determines that a majority of the county's registered 
voters voting on the imposition of the tax have voted in favor of the imposition of the 
tax as prescribed in Subsection 
(1)
, the county legislative body may impose the tax 
by a majority vote of all members of the legislative body on the transactions:
(i)
described in Subsection 
(1)
; and
(ii)
within the county, including the cities and towns located in the county, except 
those cities and towns that have already imposed a sales and use tax under 
Part 14, 
City or Town Option Funding for Botanical, Cultural, Recreational, and 
Zoological Organizations or Facilities
.
(b)
A county legislative body may revise county ordinances to reflect statutory changes 
to the distribution formula or eligible recipients of revenue generated from a tax 
imposed under Subsection 
(2)(a)
 without submitting an opinion question to residents 
of the county.
(3)
Subject to Section 
59-12-704
, revenue collected from a tax imposed under Subsection 
(2)
 shall be expended:
(a)
to fund cultural facilities, recreational facilities, and zoological facilities located 
within the county or a city or town located in the county, except a city or town that 
has already imposed a sales and use tax under 
Part 14, City or Town Option Funding 
for Botanical, Cultural, Recreational, and Zoological Organizations or Facilities
;
(b)
to fund ongoing operating expenses of:
(i)
recreational facilities described in Subsection 
(3)(a)
;
(ii)
botanical organizations, cultural organizations, and zoological organizations 
within the county; and
(iii)
rural radio stations within the county; and
(c)
as stated in the opinion question described in Subsection 
(1)
.
(4)
(a)
A tax authorized under this part shall be:
(i)
except as provided in Subsection 
(4)(b)
, administered, collected, and enforced in 
accordance with:
(A)
the same procedures used to administer, collect, and enforce the tax under:
(I)
Part 1, Tax Collection
; or
(II)
Part 2, Local Sales and Use Tax Act
; and
(B)
Chapter 1, General Taxation Policies
; and
(ii)
levied for a period of 10 years and may be reauthorized at the end of the 
ten
10
-year period in accordance with this section.
(b)
A tax under this part is not subject to Subsections 
59-12-205(2)
through 
(5)
and (4) 
through (6)
.
(5)
(a)
For purposes of this Subsection 
(5)
:
(i)
"Annexation" means an annexation to a county under 
Title 17, Chapter 2, Part 2, 
County Annexation
.
(ii)
"Annexing area" means an area that is annexed into a county.
(b)
(i)
Except as provided in Subsection 
(5)(c)
 or 
(d)
, if, on or after July 1, 2004, a 
county enacts or repeals a tax under this part, the enactment or repeal shall take 
effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(5)(b)(ii)
 from the county.
(ii)
The notice described in Subsection 
(5)(b)(i)(B)
 shall state:
(A)
that the county will enact or repeal a tax under this part;
(B)
the statutory authority for the tax described in Subsection 
(5)(b)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(5)(b)(ii)(A)
; and
(D)
if the county enacts the tax described in Subsection 
(5)(b)(ii)(A)
, the rate of 
the tax.
(c)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax under this section, the enactment of the tax takes effect on the 
first day of the first billing period that begins on or after the effective date of the 
enactment of the tax.
(ii)
The repeal of a tax applies to a billing period if the billing statement for the 
billing period is produced on or after the effective date of the repeal of the tax 
imposed under this section.
(d)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment or repeal of a tax 
described in Subsection 
(5)(b)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment or repeal under 
Subsection 
(5)(b)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
(e)
(i)
Except as provided in Subsection 
(5)(f)
 or 
(g)
, if, for an annexation that occurs 
on or after July 1, 2004, the annexation will result in the enactment or repeal of a 
tax under this part for an annexing area, the enactment or repeal shall take effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(5)(e)(ii)
 from the county that annexes 
the annexing area.
(ii)
The notice described in Subsection 
(5)(e)(i)(B)
 shall state:
(A)
that the annexation described in Subsection 
(5)(e)(i)
 will result in an 
enactment or repeal of a tax under this part for the annexing area;
(B)
the statutory authority for the tax described in Subsection 
(5)(e)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(5)(e)(ii)(A)
; and
(D)
the rate of the tax described in Subsection 
(5)(e)(ii)(A)
.
(f)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax under this section, the enactment of the tax takes effect on the 
first day of the first billing period that begins on or after the effective date of the 
enactment of the tax.
(ii)
The repeal of a tax applies to a billing period if the billing statement for the 
billing period is produced on or after the effective date of the repeal of the tax 
imposed under this section.
(g)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment or repeal of a tax 
described in Subsection 
(5)(e)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment or repeal under 
Subsection 
(5)(e)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
Section 22, Section 
59-12-802
 is amended to read:
59-12-802
Effective 
upon governor's approval
. Imposition of rural county 
health care tax -- Expenditure of tax revenue -- Base -- Rate -- Administration, collection, 
and enforcement of tax -- Administrative charge.
(1)
(a)
A county legislative body of the following counties may impose a sales and use 
tax of up to 1% on the transactions described in Subsection 
59-12-103
(1) located 
within the county:
(i)
a county of the third, fourth, fifth, or sixth class; or
(ii)
a county of the second class that has:
(A)
a national park within or partially within the county's boundaries; and
(B)
two or more state parks within or partially within the county's boundaries.
(b)
Notwithstanding Subsection (1)(a), a county legislative body may not impose a tax 
under this section on:
(i)
the sales and uses described in Section 
59-12-104
 to the extent the sales and uses 
are exempt from taxation under Section 
59-12-104
;
(ii)
a transaction to the extent a rural city hospital tax is imposed on that transaction 
in a city that imposes a tax under Section 
59-12-804
; and
(iii)
except as provided in Subsection (1)(d), amounts paid or charged for food and 
food ingredients.
(c)
For purposes of this Subsection (1), the location of a transaction is determined in 
accordance with Sections 
59-12-211
 through 
59-12-215
.
(d)
A county legislative body imposing a tax under this section shall impose the tax on 
the purchase price or sales price for amounts paid or charged for food and food 
ingredients if the food and food ingredients are sold as part of a bundled transaction 
attributable to food and food ingredients and tangible personal property other than 
food and food ingredients.
(2)
(a)
Except as provided in Subsection (5)(b), before imposing a tax under Subsection 
(1), a county legislative body shall obtain approval to impose the tax from a majority 
of the:
(i)
members of the county's legislative body; and
(ii)
county's registered voters voting on the imposition of the tax.
(b)
The county legislative body shall conduct the election according to the procedures 
and requirements of Title 11, Chapter 14, Local Government Bonding Act.
(3)
Subject to Subsection (4), a county legislative body may use money collected from a tax 
imposed under Subsection (1) to fund:
(a)
for a county described in Subsection (1)(a)(i):
(i)
the following costs associated with a federally qualified health center within the 
county, a freestanding urgent care center within the county, a rural county health 
care facility within the county, or a rural health clinic within the county:
(A)
ongoing operating expenses of the center, clinic, or facility;
(B)
the acquisition of land for the center, clinic, or facility; or
(C)
the design, construction, equipping, or furnishing of the center, clinic, or 
facility;
(ii)
rural emergency medical services within the county; or
(iii)
a combination of the activities described in this Subsection (3)(a); and
(b)
for a county described in Subsection (1)(a)(ii), emergency medical services that are 
provided by a political subdivision within that county, subject to Subsection (5)(c).
(4)
(a)
For a tax enacted on or after July 1, 2024, by a county described in Subsection 
(1)(a)(i), a county legislative body may use money collected from a tax imposed 
under Subsection (1) to fund:
(i)
the costs described in Subsection (3)(a)(i);
(ii)
the following activities to mitigate the impacts of visitors within the county:
(A)
emergency medical services;
(B)
solid waste disposal;
(C)
search and rescue activities;
(D)
law enforcement activities; or
(E)
fire protection services;
(iii)
avalanche forecasting within the county; or
(iv)
a combination of the activities described in this Subsection (4)(a).
(b)
For a tax increased on or after July 1, 2024, by a county described in Subsection 
(1)(a)(i), a county legislative body may use the money collected from the increased 
tax rate to fund the activities described in Subsections (4)(a)(i) through (iv).
(5)
(a)
A county described in Subsection (1)(a)(ii) may impose a tax under this section 
within a portion of the county if the affected area includes:
(i)
the entire unincorporated area of the county; and
(ii)
the entire boundaries of any municipality located within the affected area.
(b)
Before a county described in Subsection (1)(a)(ii) may impose a tax under this 
section within a portion of the county, the county legislative body shall obtain 
approval to impose the tax from a majority of:
(i)
the members of the county's legislative body;
(ii)
the county's registered voters within the affected area voting on the imposition of 
the tax, in an election conducted according to the procedures and requirements of 
Title 11, Chapter 14, Local Government Bonding Act; and
(iii)
(A)
the members of the legislative body of each municipality located within 
the affected area; or
(B)
the members of the governing body of a special service district established 
under Title 17D, Chapter 1, Special Service District Act, to provide emergency 
medical services within the affected area.
(c)
A county described in Subsection (1)(a)(ii) that imposes a tax under this section 
within a portion of the county in accordance with this Subsection (5) may use the 
money collected from the tax to fund emergency medical services that are provided 
by a political subdivision within the affected area.
(6)
(a)
A tax under this section shall be:
(i)
except as provided in Subsection (6)(b), administered, collected, and enforced in 
accordance with:
(A)
the same procedures used to administer, collect, and enforce the tax under:
(I)
Part 1, Tax Collection; or
(II)
Part 2, Local Sales and Use Tax Act; and
(B)
Chapter 1, General Taxation Policies; and
(ii)
levied for a period of 10 years and may be reauthorized at the end of the 10-year 
period by the county legislative body as provided in Subsection (1).
(b)
A tax under this section is not subject to Subsections 
59-12-205
(2) 
through (5)
and 
(4) through (6)
.
(c)
A county legislative body shall distribute money collected from a tax under this 
section quarterly.
(7)
The commission shall retain and deposit an administrative charge in accordance with 
Section 
59-1-306
 from the revenue the commission collects from a tax under this section.
Section 23, Section 
59-12-804
 is amended to read:
59-12-804
Effective 
upon governor's approval
. Imposition of rural city hospital 
tax -- Base -- Rate -- Administration, collection, and enforcement of tax -- Administrative 
charge.
(1)
(a)
A city legislative body may impose a sales and use tax of up to 1%:
(i)
on the transactions described in Subsection 
59-12-103(1)
 located within the city; 
and
(ii)
to fund rural city hospitals in that city.
(b)
Notwithstanding Subsection 
(1)(a)(i)
, a city legislative body may not impose a tax 
under this section on:
(i)
the sales and uses described in Section 
59-12-104
 to the extent the sales and uses 
are exempt from taxation under Section 
59-12-104
; and
(ii)
except as provided in Subsection 
(1)(d)
, amounts paid or charged for food and 
food ingredients.
(c)
For purposes of this Subsection 
(1)
, the location of a transaction shall be determined 
in accordance with Sections 
59-12-211
 through 
59-12-215
.
(d)
A city legislative body imposing a tax under this section shall impose the tax on the 
purchase price or sales price for amounts paid or charged for food and food 
ingredients if the food and food ingredients are sold as part of a bundled transaction 
attributable to food and food ingredients and tangible personal property other than 
food and food ingredients.
(2)
(a)
Before imposing a tax under Subsection 
(1)(a)
, a city legislative body shall obtain 
approval to impose the tax from a majority of the:
(i)
members of the city legislative body; and
(ii)
city's registered voters voting on the imposition of the tax.
(b)
The city legislative body shall conduct the election according to the procedures and 
requirements of 
Title 11, Chapter 14, Local Government Bonding Act
.
(3)
The money collected from a tax imposed under Subsection 
(1)
 may only be used to fund:
(a)
ongoing operating expenses of a rural city hospital;
(b)
the acquisition of land for a rural city hospital; or
(c)
the design, construction, equipping, or furnishing of a rural city hospital.
(4)
(a)
A tax under this section shall be:
(i)
except as provided in Subsection 
(4)(b)
, administered, collected, and enforced in 
accordance with:
(A)
the same procedures used to administer, collect, and enforce the tax under:
(I)
Part 1, Tax Collection
; or
(II)
Part 2, Local Sales and Use Tax Act
; and
(B)
Chapter 1, General Taxation Policies
; and
(ii)
levied for a period of 10 years and may be reauthorized at the end of the 
ten
10
-year period by the city legislative body as provided in Subsection 
(1)
.
(b)
A tax under this section is not subject to Subsections 
59-12-205(2)
through 
(5)
and 
(4) through (6)
.
(5)
The commission shall retain and deposit an administrative charge in accordance with 
Section 
59-1-306
 from the revenue the commission collects from a tax under this section.
Section 24, Section 
59-12-1102
 is amended to read:
59-12-1102
Effective 
upon governor's approval
. Base -- Rate -- Imposition of 
tax -- Distribution of revenue -- Administration -- Administrative charge -- Commission 
requirement to retain an amount to be deposited into the Qualified Emergency Food 
Agencies Fund -- Enactment or repeal of tax -- Effective date -- Notice requirements.
(1)
(a)
(i)
Subject to Subsections 
(2)
 through 
(6)
(7)
, and in addition to any other tax 
authorized by this chapter, a county may impose by ordinance a county option 
sales and use tax of .25% upon the transactions described in Subsection 
59-12-103(1)
.
(ii)
Notwithstanding Subsection 
(1)(a)(i)
, a county may not impose a tax under this 
section on the sales and uses described in Section 
59-12-104
 to the extent the sales 
and uses are exempt from taxation under Section 
59-12-104
.
(b)
For purposes of this Subsection 
(1)
, the location of a transaction shall be determined 
in accordance with Sections 
59-12-211
 through 
59-12-215
.
(c)
The county option sales and use tax under this section shall be imposed:
(i)
upon transactions that are located within the county, including transactions that are 
located within municipalities in the county; and
(ii)
except as provided in Subsection 
(1)(d)
 or 
(5)
(6)
, beginning on the first day of 
January:
(A)
of the next calendar year after adoption of the ordinance imposing the tax if 
the ordinance is adopted on or before May 25; or
(B)
of the second calendar year after adoption of the ordinance imposing the tax if 
the ordinance is adopted after May 25.
(d)
The county option sales and use tax under this section shall be imposed:
(i)
beginning January 1, 1998, if an ordinance adopting the tax imposed on or before 
September 4, 1997; or
(ii)
beginning January 1, 1999, if an ordinance adopting the tax is imposed during 
1997 but after September 4, 1997.
(2)
(a)
Before imposing a county option sales and use tax under Subsection 
(1)
, a county 
shall hold two public hearings on separate days in geographically diverse locations in 
the county.
(b)
(i)
At least one of the hearings required by Subsection 
(2)(a)
 shall have a starting 
time of no earlier than 6 p.m.
(ii)
The earlier of the hearings required by Subsection 
(2)(a)
 shall be no less than 
seven days after the day the first advertisement required by Subsection 
(2)(c)
 is 
published.
(c)
(i)
Before holding the public hearings required by Subsection 
(2)(a)
, the county 
shall advertise:
(A)
its intent to adopt a county option sales and use tax;
(B)
the date, time, and location of each public hearing; and
(C)
a statement that the purpose of each public hearing is to obtain public 
comments regarding the proposed tax.
(ii)
The advertisement shall be published:
(A)
in a newspaper of general circulation in the county once each week for the 
two weeks preceding the earlier of the two public hearings; and
(B)
for the county, as a class A notice under Section 
63G-30-102
, for two weeks 
before the day on which the first of the two public hearings is held.
(iii)
The advertisement described in Subsection 
(2)(c)(ii)(A)
 shall be no less than 1/8 
page in size, and the type used shall be no smaller than 18 point and surrounded 
by a 1/4-inch border.
(iv)
The advertisement described in Subsection 
(2)(c)(ii)(A)
 may not be placed in that 
portion of the newspaper where legal notices and classified advertisements appear.
(v)
In accordance with Subsection 
(2)(c)(ii)(A)
, whenever possible:
(A)
the advertisement shall appear in a newspaper that is published at least five 
days a week, unless the only newspaper in the county is published less than 
five days a week; and
(B)
the newspaper selected shall be one of general interest and readership in the 
community, and not one of limited subject matter.
(d)
The adoption of an ordinance imposing a county option sales and use tax is subject to 
a local referendum election and shall be conducted as provided in 
Title 20A, Chapter 
7, Part 6, Local Referenda - Procedures
.
(3)
Beginning no sooner than January 1, 2026, and subject to Section 
59-12-205
, before 
application of Subsections (4) through (7), and as described in Section 
63N-3-610.1
, 
beginning the first day of a calendar quarter after the year set in the proposal and after 
the sales and use tax boundary for a convention center reinvestment zone is established 
under Title 63N, Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act, the 
commission, at least annually, shall transfer an amount equal to 100% of the sales and 
use tax increment as defined in Section 
63N-3-602
, from the sales and use tax imposed 
under this part on transactions occurring within an established sales and use tax 
boundary, as defined in Section 
63N-3-602
, to a convention center public infrastructure 
district created in accordance with Section 
17D-4-202.1
.
(3)
(4)
(a)
Subject to Subsection 
(5)
(6)
, if the aggregate population of the counties 
imposing a county option sales and use tax under Subsection 
(1)
 is less than 75% of 
the state population, the tax levied under Subsection 
(1)
 shall be distributed to the 
county in which the tax was collected.
(b)
Subject to Subsection 
(5)
(6)
, if the aggregate population of the counties imposing a 
county option sales and use tax under Subsection 
(1)
 is greater than or equal to 75% 
of the state population:
(i)
50% of the tax collected under Subsection 
(1)
 in each county shall be distributed 
to the county in which the tax was collected; and
(ii)
except as provided in Subsection 
(3)(c)
(4)(c)
, 50% of the tax collected under 
Subsection 
(1)
 in each county shall be distributed proportionately among all 
counties imposing the tax, based on the total population of each county.
(c)
Except as provided in Subsection 
(5)
(6)
, the amount to be distributed annually to a 
county under Subsection 
(3)(b)(ii)
(4)(b)(ii)
, when combined with the amount 
distributed to the county under Subsection 
(3)(b)(i)
(4)(b)(i)
, does not equal at least 
$75,000, then:
(i)
the amount to be distributed annually to that county under Subsection 
(3)(b)(ii)
(4)(b)(ii)
 shall be increased so that, when combined with the amount distributed to 
the county under Subsection 
(3)(b)(i)
(4)(b)(i)
, the amount distributed annually to 
the county is $75,000; and
(ii)
the amount to be distributed annually to all other counties under Subsection 
(3)(b)(ii)
(4)(b)(ii)
 shall be reduced proportionately to offset the additional 
amount distributed under Subsection 
(3)(c)(i)
.
(d)
The commission shall establish rules to implement the distribution of the tax under 
Subsections 
(3)(a)
(4)(a)
, 
(b)
, and 
(c)
.
(4)
(5)
(a)
Except as provided in Subsection 
(4)(b)
(5)(b)
 or 
(c)
, a tax authorized under 
this part shall be administered, collected, and enforced in accordance with:
(i)
the same procedures used to administer, collect, and enforce the tax under:
(A)
Part 1, Tax Collection
; or
(B)
Part 2, Local Sales and Use Tax Act
; and
(ii)
Chapter 1, General Taxation Policies
.
(b)
A tax under this part is not subject to Subsections 
59-12-205(2)
through 
(5)
and (4) 
through (6)
.
(c)
(i)
Subject to Subsection 
(4)(c)(ii)
(5)(c)(ii)
, the commission shall retain and 
deposit an administrative charge in accordance with Section 
59-1-306
 from the 
revenue the commission collects from a tax under this part.
(ii)
Notwithstanding Section 
59-1-306
, the administrative charge described in 
Subsection 
(4)(c)(i)
(5)(c)(i)
 shall be calculated by taking a percentage described 
in Section 
59-1-306
 of the distribution amounts resulting after:
(A)
the applicable distribution calculations under Subsection 
(3)
(4)
 have been 
made; and
(B)
the commission retains the amount required by Subsection 
(5)
(6)
.
(5)
(6)
(a)
Beginning on July 1, 2009, the commission shall calculate and retain a 
portion of the sales and use tax collected under this part as provided in this 
Subsection 
(5)
(6)
.
(b)
For a county that imposes a tax under this part, the commission shall calculate a 
percentage each month by dividing the sales and use tax collected under this part for 
that month within the boundaries of that county by the total sales and use tax 
collected under this part for that month within the boundaries of all of the counties 
that impose a tax under this part.
(c)
For a county that imposes a tax under this part, the commission shall retain each 
month an amount equal to the product of:
(i)
the percentage the commission determines for the month under Subsection 
(5)(b)
(6)(b)
 for the county; and
(ii)
$6,354.
(d)
The commission shall deposit an amount the commission retains in accordance with 
this Subsection 
(5)
(6)
 into the Qualified Emergency Food Agencies Fund created 
by Section 
35A-8-1009
.
(e)
An amount the commission deposits into the Qualified Emergency Food Agencies 
Fund shall be expended as provided in Section 
35A-8-1009
.
(6)
(7)
(a)
For purposes of this Subsection 
(6)
(7)
:
(i)
"Annexation" means an annexation to a county under 
Title 17, Chapter 2, County 
Consolidations and Annexations
.
(ii)
"Annexing area" means an area that is annexed into a county.
(b)
(i)
Except as provided in Subsection 
(6)(c)
(7)(c)
 or 
(d)
, if, on or after July 1, 
2004, a county enacts or repeals a tax under this part:
(A)
(I)
the enactment shall take effect as provided in Subsection 
(1)(c)
; or
(II)
the repeal shall take effect on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(6)(b)(ii)
(7)(b)(ii)
 from the county.
(ii)
The notice described in Subsection 
(6)(b)(i)(B)
(7)(b)(i)(B)
 shall state:
(A)
that the county will enact or repeal a tax under this part;
(B)
the statutory authority for the tax described in Subsection 
(6)(b)(ii)(A)
(7)(b)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(6)(b)(ii)(A)
(7)(b)(ii)(A)
; 
and
(D)
if the county enacts the tax described in Subsection 
(6)(b)(ii)(A)
(7)(b)(ii)(A)
, 
the rate of the tax.
(c)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax under Subsection 
(1)
, the enactment of the tax takes effect on 
the first day of the first billing period that begins on or after the effective date of 
the enactment of the tax.
(ii)
The repeal of a tax applies to a billing period if the billing statement for the 
billing period is produced on or after the effective date of the repeal of the tax 
imposed under Subsection 
(1)
.
(d)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment or repeal of a tax 
described in Subsection 
(6)(b)(i)
(7)(b)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment or repeal under 
Subsection 
(6)(b)(i)
(7)(b)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
(e)
(i)
Except as provided in Subsection 
(6)(f)
(7)(f)
 or 
(g)
, if, for an annexation that 
occurs on or after July 1, 2004, the annexation will result in the enactment or 
repeal of a tax under this part for an annexing area, the enactment or repeal shall 
take effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(6)(e)(ii)
(7)(e)(i)
 from the county 
that annexes the annexing area.
(ii)
The notice described in Subsection 
(6)(e)(i)(B)
(7)(e)(i)(B)
 shall state:
(A)
that the annexation described in Subsection 
(6)(e)(i)
(7)(b)(i)
 will result in an 
enactment or repeal of a tax under this part for the annexing area;
(B)
the statutory authority for the tax described in Subsection 
(6)(e)(ii)(A)
(7)(e)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(6)(e)(ii)(A)
(7)(e)(ii)(A)
; 
and
(D)
the rate of the tax described in Subsection 
(6)(e)(ii)(A)
(7)(e)(ii)(A)
.
(f)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax under Subsection 
(1)
, the enactment of the tax takes effect on 
the first day of the first billing period that begins on or after the effective date of 
the enactment of the tax.
(ii)
The repeal of a tax applies to a billing period if the billing statement for the 
billing period is produced on or after the effective date of the repeal of the tax 
imposed under Subsection 
(1)
.
(g)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment or repeal of a tax 
described in Subsection 
(6)(e)(i)
(7)(e)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment or repeal under 
Subsection 
(6)(e)(i)
(7)(e)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
Section 25, Section 
59-12-1302
 is amended to read:
59-12-1302
Effective 
upon governor's approval
. Imposition of tax -- Base -- 
Rate -- Enactment or repeal of tax -- Tax rate change -- Effective date -- Notice 
requirements -- Administration, collection, and enforcement of tax -- Administrative 
charge.
(1)
Beginning on or after January 1, 1998, the governing body of a town may impose a tax 
as provided in this part in an amount that does not exceed 1%.
(2)
A town may impose a tax as provided in this part if the town imposed a license fee or 
tax on businesses based on gross receipts under Section 
10-1-203
 on or before January 
1, 1996.
(3)
A town imposing a tax under this section shall:
(a)
except as provided in Subsection 
(4)
, impose the tax on the transactions described in 
Subsection 
59-12-103(1)
 located within the town; and
(b)
provide an effective date for the tax as provided in Subsection 
(5)
.
(4)
(a)
A town may not impose a tax under this section on:
(i)
the sales and uses described in Section 
59-12-104
 to the extent the sales and uses 
are exempt from taxation under Section 
59-12-104
; and
(ii)
except as provided in Subsection 
(4)(c)
, amounts paid or charged for food and 
food ingredients.
(b)
For purposes of this Subsection 
(4)
, the location of a transaction shall be determined 
in accordance with Sections 
59-12-211
 through 
59-12-215
.
(c)
A town imposing a tax under this section shall impose the tax on the purchase price 
or sales price for amounts paid or charged for food and food ingredients if the food 
and food ingredients are sold as part of a bundled transaction attributable to food and 
food ingredients and tangible personal property other than food and food ingredients.
(5)
(a)
For purposes of this Subsection 
(5)
:
(i)
"Annexation" means an annexation to a town under 
Title 10, Chapter 2, Part 4, 
Annexation
.
(ii)
"Annexing area" means an area that is annexed into a town.
(b)
(i)
Except as provided in Subsection 
(5)(c)
 or 
(d)
, if, on or after July 1, 2004, a 
town enacts or repeals a tax or changes the rate of a tax under this part, the 
enactment, repeal, or change shall take effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(5)(b)(ii)
 from the town.
(ii)
The notice described in Subsection 
(5)(b)(i)(B)
 shall state:
(A)
that the town will enact or repeal a tax or change the rate of a tax under this 
part;
(B)
the statutory authority for the tax described in Subsection 
(5)(b)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(5)(b)(ii)(A)
; and
(D)
if the town enacts the tax or changes the rate of the tax described in 
Subsection 
(5)(b)(ii)(A)
, the rate of the tax.
(c)
(i)
If the billing period for the transaction begins before the effective date of the 
enactment of the tax or the tax rate increase imposed under Subsection 
(1)
, the 
enactment of the tax or the tax rate increase takes effect on the first day of the first 
billing period that begins on or after the effective date of the enactment of the tax 
or the tax rate increase.
(ii)
The repeal of a tax or a tax rate decrease applies to a billing period if the billing 
statement for the billing period is produced on or after the effective date of the 
repeal of the tax or the tax rate decrease imposed under Subsection 
(1)
.
(d)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment, repeal, or change 
in the rate of a tax described in Subsection 
(5)(b)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment, repeal, or change 
in the rate of the tax under Subsection 
(5)(b)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
(e)
(i)
Except as provided in Subsection 
(5)(f)
 or 
(g)
, if, for an annexation that occurs 
on or after July 1, 2004, the annexation will result in the enactment, repeal, or 
change in the rate of a tax under this part for an annexing area, the enactment, 
repeal, or change shall take effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(5)(e)(ii)
 from the town that annexes 
the annexing area.
(ii)
The notice described in Subsection 
(5)(e)(i)(B)
 shall state:
(A)
that the annexation described in Subsection 
(5)(e)(i)
 will result in an 
enactment, repeal, or change in the rate of a tax under this part for the annexing 
area;
(B)
the statutory authority for the tax described in Subsection 
(5)(e)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(5)(e)(ii)(A)
; and
(D)
if the town enacts the tax or changes the rate of the tax described in 
Subsection 
(5)(e)(ii)(A)
, the rate of the tax.
(f)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax or the tax rate increase imposed under Subsection 
(1)
, the 
enactment of the tax or the tax rate increase takes effect on the first day of the first 
billing period that begins on or after the effective date of the enactment of the tax 
or the tax rate increase.
(ii)
The repeal of a tax or a tax rate decrease applies to a billing period if the billing 
statement for the billing period is produced on or after the effective date of the 
repeal of the tax or the tax rate decrease imposed under Subsection 
(1)
.
(g)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment, repeal, or change 
in the rate of a tax described in Subsection 
(5)(e)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment, repeal, or change 
in the rate of the tax under Subsection 
(5)(e)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
(6)
The commission shall:
(a)
distribute the revenue generated by the tax under this section to the town imposing 
the tax; and
(b)
except as provided in Subsection 
(8)
, administer, collect, and enforce the tax 
authorized under this section in accordance with:
(i)
the same procedures used to administer, collect, and enforce the tax under:
(A)
Part 1, Tax Collection
; or
(B)
Part 2, Local Sales and Use Tax Act
; and
(ii)
Chapter 1, General Taxation Policies
.
(7)
The commission shall retain and deposit an administrative charge in accordance with 
Section 
59-1-306
 from the revenue the commission collects from a tax under this part.
(8)
A tax under this section is not subject to Subsections 
59-12-205(2)
through 
(5)
and (4) 
through (6)
.
Section 26, Section 
59-12-1402
 is amended to read:
59-12-1402
Effective 
upon governor's approval
. Opinion question election -- 
Base -- Rate -- Imposition of tax -- Expenditure of revenue -- Enactment or repeal of tax 
-- Effective date -- Notice requirements.
(1)
(a)
Subject to the other provisions of this section, a city or town legislative body 
subject to this part may submit an opinion question to the residents of that city or 
town, by majority vote of all members of the legislative body, so that each resident of 
the city or town has an opportunity to express the resident's opinion on the imposition 
of a local sales and use tax of .1% on the transactions described in Subsection 
59-12-103(1)
 located within the city or town, to:
(i)
fund cultural facilities, recreational facilities, and zoological facilities and 
botanical organizations, cultural organizations, and zoological organizations in 
that city or town; or
(ii)
provide funding for a botanical organization, cultural organization, or zoological 
organization to pay for use of a bus or facility rental if that use of the bus or 
facility rental is in furtherance of the botanical organization's, cultural 
organization's, or zoological organization's primary purpose.
(b)
The opinion question required by this section shall state:
"Shall (insert the name of the city or town), Utah, be authorized to impose a .1% sales 
and use tax for (list the purposes for which the revenue collected from the sales and use tax 
shall be expended)?"
(c)
A city or town legislative body may not impose a tax under this section:
(i)
if the county in which the city or town is located imposes a tax under 
Part 7, 
County Option Funding for Botanical, Cultural, Recreational, and Zoological 
Organizations or Facilities
;
(ii)
on the sales and uses described in Section 
59-12-104
 to the extent the sales and 
uses are exempt from taxation under Section 
59-12-104
; and
(iii)
except as provided in Subsection 
(1)(e)
, on amounts paid or charged for food and 
food ingredients.
(d)
For purposes of this Subsection 
(1)
, the location of a transaction shall be determined 
in accordance with Sections 
59-12-211
 through 
59-12-215
.
(e)
A city or town legislative body imposing a tax under this section shall impose the tax 
on the purchase price or sales price for amounts paid or charged for food and food 
ingredients if the food and food ingredients are sold as part of a bundled transaction 
attributable to food and food ingredients and tangible personal property other than 
food and food ingredients.
(f)
Except as provided in Subsection 
(6)
, the election shall be held at a regular general 
election or a municipal general election, as those terms are defined in Section 
20A-1-102
, and shall follow the procedures outlined in 
Title 11, Chapter 14, Local 
Government Bonding Act
.
(2)
If the city or town legislative body determines that a majority of the city's or town's 
registered voters voting on the imposition of the tax have voted in favor of the 
imposition of the tax as prescribed in Subsection 
(1)
, the city or town legislative body 
may impose the tax by a majority vote of all members of the legislative body.
(3)
Subject to Section 
59-12-1403
, revenue collected from a tax imposed under Subsection 
(2)
 shall be expended:
(a)
to finance cultural facilities, recreational facilities, and zoological facilities within the 
city or town or within the geographic area of entities that are parties to an interlocal 
agreement, to which the city or town is a party, providing for cultural facilities, 
recreational facilities, or zoological facilities;
(b)
to finance ongoing operating expenses of:
(i)
recreational facilities described in Subsection 
(3)(a)
 within the city or town or 
within the geographic area of entities that are parties to an interlocal agreement, to 
which the city or town is a party, providing for recreational facilities; or
(ii)
botanical organizations, cultural organizations, and zoological organizations 
within the city or town or within the geographic area of entities that are parties to 
an interlocal agreement, to which the city or town is a party, providing for the 
support of botanical organizations, cultural organizations, or zoological 
organizations; and
(c)
as stated in the opinion question described in Subsection 
(1)
.
(4)
(a)
Except as provided in Subsection 
(4)(b)
, a tax authorized under this part shall be:
(i)
administered, collected, and enforced in accordance with:
(A)
the same procedures used to administer, collect, and enforce the tax under:
(I)
Part 1, Tax Collection
; or
(II)
Part 2, Local Sales and Use Tax Act
; and
(B)
Chapter 1, General Taxation Policies
; and
(ii)
(A)
levied for a period of eight years; and
(B)
may be reauthorized at the end of the eight-year period in accordance with this 
section.
(b)
(i)
If a tax under this part is imposed for the first time on or after July 1, 2011, the 
tax shall be levied for a period of 10 years.
(ii)
If a tax under this part is reauthorized in accordance with Subsection 
(4)(a)
 on or 
after July 1, 2011, the tax shall be reauthorized for a 
ten
10
-year period.
(c)
A tax under this section is not subject to Subsections 
59-12-205(2)
through 
(5)
and 
(4) through (6)
.
(5)
(a)
For purposes of this Subsection 
(5)
:
(i)
"Annexation" means an annexation to a city or town under 
Title 10, Chapter 2, 
Part 4, Annexation
.
(ii)
"Annexing area" means an area that is annexed into a city or town.
(b)
(i)
Except as provided in Subsection 
(5)(c)
 or 
(d)
, if, on or after July 1, 2004, a city 
or town enacts or repeals a tax under this part, the enactment or repeal shall take 
effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(5)(b)(ii)
 from the city or town.
(ii)
The notice described in Subsection 
(5)(b)(i)(B)
 shall state:
(A)
that the city or town will enact or repeal a tax under this part;
(B)
the statutory authority for the tax described in Subsection 
(5)(b)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(5)(b)(ii)(A)
; and
(D)
if the city or town enacts the tax described in Subsection 
(5)(b)(ii)(A)
, the rate 
of the tax.
(c)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax under this section, the enactment of the tax takes effect on the 
first day of the first billing period that begins on or after the effective date of the 
enactment of the tax.
(ii)
The repeal of a tax applies to a billing period if the billing statement for the 
billing period is produced on or after the effective date of the repeal of the tax 
imposed under this section.
(d)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment or repeal of a tax 
described in Subsection 
(5)(b)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment or repeal under 
Subsection 
(5)(b)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
(e)
(i)
Except as provided in Subsection 
(5)(f)
 or 
(g)
, if, for an annexation that occurs 
on or after July 1, 2004, the annexation will result in the enactment or repeal of a 
tax under this part for an annexing area, the enactment or repeal shall take effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(5)(e)(ii)
 from the city or town that 
annexes the annexing area.
(ii)
The notice described in Subsection 
(5)(e)(i)(B)
 shall state:
(A)
that the annexation described in Subsection 
(5)(e)(i)
 will result in an 
enactment or repeal a tax under this part for the annexing area;
(B)
the statutory authority for the tax described in Subsection 
(5)(e)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(5)(e)(ii)(A)
; and
(D)
the rate of the tax described in Subsection 
(5)(e)(ii)(A)
.
(f)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax under this section, the enactment of the tax takes effect on the 
first day of the first billing period that begins on or after the effective date of the 
enactment of the tax.
(ii)
The repeal of a tax applies to a billing period if the billing statement for the 
billing period is produced on or after the effective date of the repeal of the tax 
imposed under this section.
(g)
(i)
If a tax due under this chapter on a catalogue sale is computed on the basis of 
sales and use tax rates published in the catalogue, an enactment or repeal of a tax 
described in Subsection 
(5)(e)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment or repeal under 
Subsection 
(5)(e)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
(6)
(a)
Before a city or town legislative body submits an opinion question to the residents 
of the city or town under Subsection 
(1)
, the city or town legislative body shall:
(i)
submit to the county legislative body in which the city or town is located a written 
notice of the intent to submit the opinion question to the residents of the city or 
town; and
(ii)
receive from the county legislative body:
(A)
a written resolution passed by the county legislative body stating that the 
county legislative body is not seeking to impose a tax under 
Part 7, County 
Option Funding for Botanical, Cultural, Recreational, and Zoological 
Organizations or Facilities
; or
(B)
a written statement that in accordance with Subsection 
(6)(b)
 the results of a 
county opinion question submitted to the residents of the county under 
Part 7, 
County Option Funding for Botanical, Cultural, Recreational, and Zoological 
Organizations or Facilities
, permit the city or town legislative body to submit 
the opinion question to the residents of the city or town in accordance with this 
part.
(b)
(i)
Within 60 days after the day the county legislative body receives from a city or 
town legislative body described in Subsection 
(6)(a)
 the notice of the intent to 
submit an opinion question to the residents of the city or town, the county 
legislative body shall provide the city or town legislative body:
(A)
the written resolution described in Subsection 
(6)(a)(ii)(A)
; or
(B)
written notice that the county legislative body will submit an opinion question 
to the residents of the county under 
Part 7, County Option Funding for 
Botanical, Cultural, Recreational, and Zoological Organizations or Facilities
, 
for the county to impose a tax under that part.
(ii)
If the county legislative body provides the city or town legislative body the 
written notice that the county legislative body will submit an opinion question as 
provided in Subsection 
(6)(b)(i)(B)
, the county legislative body shall submit the 
opinion question by no later than, from the date the county legislative body sends 
the written notice, the later of:
(A)
a 12-month period;
(B)
the next regular primary election; or
(C)
the next regular general election.
(iii)
Within 30 days of the date of the canvass of the election at which the opinion 
question under Subsection 
(6)(b)(ii)
 is voted on, the county legislative body shall 
provide the city or town legislative body described in Subsection 
(6)(a)
 written 
results of the opinion question submitted by the county legislative body under 
Part 
7, County Option Funding for Botanical, Cultural, Recreational, and Zoological 
Organizations or Facilities
, indicating that:
(A)
(I)
the city or town legislative body may not impose a tax under this part 
because a majority of the county's registered voters voted in favor of the 
county imposing the tax and the county legislative body by a majority vote 
approved the imposition of the tax; or
(II)
for at least 12 months from the date the written results are submitted to the 
city or town legislative body, the city or town legislative body may not 
submit to the county legislative body a written notice of the intent to submit 
an opinion question under this part because a majority of the county's 
registered voters voted against the county imposing the tax and the majority 
of the registered voters who are residents of the city or town described in 
Subsection 
(6)(a)
 voted against the imposition of the county tax; or
(B)
the city or town legislative body may submit the opinion question to the 
residents of the city or town in accordance with this part because although a 
majority of the county's registered voters voted against the county imposing the 
tax, the majority of the registered voters who are residents of the city or town 
voted for the imposition of the county tax.
(c)
Notwithstanding Subsection 
(6)(b)
, at any time a county legislative body may 
provide a city or town legislative body described in Subsection 
(6)(a)
 a written 
resolution passed by the county legislative body stating that the county legislative 
body is not seeking to impose a tax under 
Part 7, County Option Funding for 
Botanical, Cultural, Recreational, and Zoological Organizations or Facilities
, which 
permits the city or town legislative body to submit under Subsection 
(1)
 an opinion 
question to the city's or town's residents.
Section 27, Section 
59-12-2103
 is amended to read:
59-12-2103
Effective 
upon governor's approval
. Imposition of tax -- Base -- 
Rate -- Expenditure of revenue collected from the tax -- Administration, collection, and 
enforcement of tax by commission -- Administrative charge -- Enactment or repeal of tax 
-- Annexation -- Notice.
(1)
(a)
As used in this section, "eligible city or town" means a city or town that imposed a 
tax under this part on July 1, 2016.
(b)
Subject to the other provisions of this section and except as provided in Subsection 
(2)
 or 
(3)
, the legislative body of an eligible city or town may impose a sales and use 
tax of up to .20% on the transactions:
(i)
described in Subsection 
59-12-103(1)
; and
(ii)
within the city or town.
(c)
A city or town legislative body that imposes a tax under Subsection 
(1)(b)
 shall 
expend the revenue collected from the tax for the same purposes for which the city or 
town may expend the city's or town's general fund revenue.
(d)
For purposes of this Subsection 
(1)
, the location of a transaction shall be determined 
in accordance with Sections 
59-12-211
 through 
59-12-215
.
(2)
(a)
A city or town legislative body may not impose a tax under this section on:
(i)
the sales and uses described in Section 
59-12-104
 to the extent the sales and uses 
are exempt from taxation under Section 
59-12-104
; and
(ii)
except as provided in Subsection 
(2)(b)
, amounts paid or charged for food and 
food ingredients.
(b)
A city or town legislative body imposing a tax under this section shall impose the tax 
on the purchase price or sales price for amounts paid or charged for food and food 
ingredients if the food and food ingredients are sold as part of a bundled transaction 
attributable to food and food ingredients and tangible personal property other than 
food and food ingredients.
(3)
An eligible city or town may impose a tax under this part until no later than June 30, 
2030.
(4)
The commission shall transmit revenue collected within a city or town from a tax under 
this part:
(a)
to the city or town legislative body;
(b)
monthly; and
(c)
by electronic funds transfer.
(5)
(a)
Except as provided in Subsection 
(5)(b)
, the commission shall administer, collect, 
and enforce a tax under this part in accordance with:
(i)
the same procedures used to administer, collect, and enforce the tax under:
(A)
Part 1, Tax Collection
; or
(B)
Part 2, Local Sales and Use Tax Act
; and
(ii)
Chapter 1, General Taxation Policies
.
(b)
A tax under this part is not subject to Subsections 
59-12-205(2)
through 
(5)
and (4) 
through (6)
.
(6)
The commission shall retain and deposit an administrative charge in accordance with 
Section 
59-1-306
 from the revenue the commission collects from a tax under this part.
(7)
(a)
(i)
Except as provided in Subsection 
(7)(b)
 or 
(c)
, if, on or after January 1, 
2009, a city or town enacts or repeals a tax or changes the rate of a tax under this 
part, the enactment, repeal, or change shall take effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(7)(a)(i)
 from the city or town.
(ii)
The notice described in Subsection 
(7)(a)(i)(B)
 shall state:
(A)
that the city or town will enact or repeal a tax or change the rate of the tax 
under this part;
(B)
the statutory authority for the tax described in Subsection 
(7)(a)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(7)(a)(ii)(A)
; and
(D)
if the city or town enacts the tax or changes the rate of the tax described in 
Subsection 
(7)(a)(ii)(A)
, the rate of the tax.
(b)
(i)
If the billing period for a transaction begins before the enactment of the tax or 
the tax rate increase under Subsection 
(1)
, the enactment of the tax or the tax rate 
increase takes effect on the first day of the first billing period that begins on or 
after the effective date of the enactment of the tax or the tax rate increase.
(ii)
If the billing period for a transaction begins before the effective date of the repeal 
of the tax or the tax rate decrease imposed under Subsection 
(1)
, the repeal of the 
tax or the tax rate decrease applies to a billing period if the billing statement for 
the billing period is rendered on or after the effective date of the repeal of the tax 
or the tax rate decrease.
(c)
(i)
If a tax due under this part on a catalogue sale is computed on the basis of sales 
and use tax rates published in the catalogue, an enactment, repeal, or change in the 
rate of a tax described in Subsection 
(7)(a)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment, repeal, or change 
in the rate of the tax under Subsection 
(7)(a)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
(d)
(i)
Except as provided in Subsection 
(7)(e)
 or 
(f)
, if, for an annexation that occurs 
on or after January 1, 2009, the annexation will result in the enactment, repeal, or 
change in the rate of a tax under this part for an annexing area, the enactment, 
repeal, or change shall take effect:
(A)
on the first day of a calendar quarter; and
(B)
after a 90-day period beginning on the date the commission receives notice 
meeting the requirements of Subsection 
(7)(d)(ii)
 from the city or town that 
annexes the annexing area.
(ii)
The notice described in Subsection 
(7)(d)(i)(B)
 shall state:
(A)
that the annexation described in Subsection 
(7)(d)(i)(B)
 will result in the 
enactment, repeal, or change in the rate of a tax under this part for the annexing 
area;
(B)
the statutory authority for the tax described in Subsection 
(7)(d)(ii)(A)
;
(C)
the effective date of the tax described in Subsection 
(7)(d)(ii)(A)
; and
(D)
if the city or town enacts the tax or changes the rate of the tax described in 
Subsection 
(7)(d)(ii)(A)
, the rate of the tax.
(e)
(i)
If the billing period for a transaction begins before the effective date of the 
enactment of the tax or a tax rate increase under Subsection 
(1)
, the enactment of a 
tax or a tax rate increase takes effect on the first day of the first billing period that 
begins on or after the effective date of the enactment of the tax or the tax rate 
increase.
(ii)
If the billing period for a transaction begins before the effective date of the repeal 
of the tax or the tax rate decrease imposed under Subsection 
(1)
, the repeal of the 
tax or the tax rate decrease applies to a billing period if the billing statement for 
the billing period is rendered on or after the effective date of the repeal of the tax 
or the tax rate decrease.
(f)
(i)
If a tax due under this part on a catalogue sale is computed on the basis of sales 
and use tax rates published in the catalogue, an enactment, repeal, or change in the 
rate of a tax described in Subsection 
(7)(d)(i)
 takes effect:
(A)
on the first day of a calendar quarter; and
(B)
beginning 60 days after the effective date of the enactment, repeal, or change 
under Subsection 
(7)(d)(i)
.
(ii)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the commission may by rule define the term "catalogue sale."
Section 28, Section 
59-12-2206
 is amended to read:
59-12-2206
Effective 
upon governor's approval
. Administration, collection, 
and enforcement of a sales and use tax under this part -- Transmission of revenue 
monthly by electronic funds transfer -- Transfer of revenue to a public transit district or 
eligible political subdivision.
(1)
Except as provided in Subsection 
(2)
, the commission shall administer, collect, and 
enforce a sales and use tax imposed under this part.
(2)
The commission shall administer, collect, and enforce a sales and use tax imposed under 
this part in accordance with:
(a)
the same procedures used to administer, collect, and enforce a tax under:
(i)
Part 1, Tax Collection
; or
(ii)
Part 2, Local Sales and Use Tax Act
; and
(b)
Chapter 1, General Taxation Policies
.
(3)
A sales and use tax under this part is not subject to Subsections 
59-12-205(2)
through 
(5)
and (4) through (6)
.
(4)
Subject to Section 
59-12-2207
 and except as provided in 
Subsection 
(5)
Subsections 
(5) and (6)
 or another provision of this part, the state treasurer shall transmit revenue 
collected within a county, city, or town from a sales and use tax under this part to the 
county, city, or town legislative body monthly by electronic funds transfer.
(5)
Beginning no sooner than January 1, 2026, and subject to Section 
59-12-205
, before 
transmitting revenue as described in Subsection (4), and before application of 
Subsection (6), and as described in Section 
63N-3-610.1
, beginning the first day of a 
calendar quarter after the year set in the proposal and after the sales and use tax 
boundary for a convention center reinvestment zone is established under Title 63N, 
Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act, the commission, at least 
annually, shall transfer an amount equal to 100% of the sales and use tax increment, as 
that term is defined in Section 
63N-3-602
, from a sales and use tax on transactions 
occurring within an established sales and use tax boundary, as that term is defined in 
Section 
63N-3-602
, to a convention center public infrastructure district created in 
accordance with Section 
17D-4-202.1
 for sales and use taxes imposed by a county of the 
first class pursuant to:
(a)
Section 
59-12-2213
;
(b)
Section 
59-12-2214
;
(c)
Section 
59-12-2217
;
(d)
Section 
59-12-2219
; and
(e)
Section 
59-12-2220
.
(5)
(6)
(a)
Subject to Section 
59-12-2207
, and except as provided in Subsection 
(5)(b)
(6)(b)
, the state treasurer shall transfer revenue collected within a county, city, or 
town from a sales and use tax under this part directly to a public transit district 
organized under 
Title 17B, Chapter 2a, Part 8, Public Transit District Act
, or an 
eligible political subdivision as defined in Section 
59-12-2219
, if the county, city, or 
town legislative body:
(i)
provides written notice to the commission and the state treasurer requesting the 
transfer; and
(ii)
designates the public transit district or eligible political subdivision to which the 
county, city, or town legislative body requests the state treasurer to transfer the 
revenue.
(b)
The commission shall transmit a portion of the revenue collected within a county, 
city, or town from a sales and use tax under this part that would be transferred to a 
public transit district or an eligible political subdivision under Subsection 
(5)(a)
(6)(a)
 to the county, city, or town to fund public transit fixed guideway safety 
oversight under Section 
72-1-214
 if the county, city, or town legislative body:
(i)
provides written notice to the commission and the state treasurer requesting the 
transfer; and
(ii)
specifies the amount of revenue required to be transmitted to the county, city, or 
town.
Section 29, Section 
59-12-2214
 is amended to read:
59-12-2214
Effective 
upon governor's approval
. County, city, or town option 
sales and use tax to fund a system for public transit, an airport facility, a water 
conservation project, or to be deposited into the County of the First Class Highway 
Projects Fund -- Base -- Rate.
(1)
Subject to the other provisions of this part, a county, city, or town may impose a sales 
and use tax of .25% on the transactions described in Subsection 
59-12-103(1)
 located 
within the county, city, or town.
(2)
Notwithstanding Section 
59-12-2212.2
, and subject to Subsections 
(3)
 and 
(4)
, a county, 
city, or town that imposes a sales and use tax under this section shall expend the 
revenues collected from the sales and use tax:
(a)
to fund a system for public transit;
(b)
to fund a project or service related to an airport facility for the portion of the project 
or service that is performed within the county, city, or town within which the sales 
and use tax is imposed:
(i)
for a county that imposes the sales and use tax, if the airport facility is part of the 
regional transportation plan of the area metropolitan planning organization if a 
metropolitan planning organization exists for the area; or
(ii)
for a city or town that imposes the sales and use tax, if:
(A)
that city or town is located within a county of the second class;
(B)
that city or town owns or operates the airport facility; and
(C)
an airline is headquartered in that city or town; or
(c)
for a combination of Subsections 
(2)(a)
 and 
(b)
.
(3)
A 
After application of Subsection 
59-12-2206(5)
, a 
county of the first class that 
imposes a sales and use tax under this section shall expend the revenues collected from 
the sales and use tax as follows:
(a)
80% of the revenues collected from the sales and use tax shall be expended to fund a 
system for public transit; and
(b)
20% of the revenues collected from the sales and use tax shall be deposited into the 
County of the First Class Highway Projects Fund created by Section 
72-2-121
.
(4)
(a)
A county of the third class that has a portion of the county annexed into a large 
public transit district and that has imposed a sales and use tax under this section as of 
January 1, 2020, may change the list of purposes for which the sales and use tax 
revenue may be expended if:
(i)
the proposed uses of the sales and use tax revenue are allowed uses described in 
this section; and
(ii)
in coordination with a relevant large public transit district, the county legislative 
body passes an ordinance describing the allowed uses of the sales and use tax 
revenue.
(b)
Notwithstanding Section 
59-12-2208
, and regardless of whether the imposition of the 
sales and use tax imposed under this section was submitted to the voters as described 
in Section 
59-12-2208
, the county legislative body is not required to submit an 
opinion question to the county's registered voters to change the allowed uses as 
described in Subsection 
(4)(a)
.
Section 30, Section 
59-12-2217
 is amended to read:
59-12-2217
Effective 
upon governor's approval
. County option sales and use 
tax for transportation -- Base -- Rate -- Written prioritization process -- Approval by 
county legislative body.
(1)
Subject to the other provisions of this part, and subject to Subsection 
(8)
, a county 
legislative body may impose a sales and use tax of up to .25% on the transactions 
described in Subsection 
59-12-103(1)
 within the county, including the cities and towns 
within the county.
(2)
(a)
Except as provided in Subsection 
(2)(b)
, and subject to Subsections 
(3)
 through 
(6)
and Section 
59-12-2207
, the revenue collected from a sales and use tax under this 
section may only be expended as described in Section 
59-12-2212.2
.
(b)
Subject to Subsections 
(3)
 through 
(6)
, and after application of Subsection 
59-12-2206(5)
, in a county of the first or second class, or if a county is part of an area 
metropolitan planning organization, that portion of the county within the 
metropolitan planning organization, the revenue collected from a sales and use tax 
under this section may only be expended as described in Section 
59-12-2212.2
, and 
only if the expenditure is for:
(i)
a project or service:
(A)
relating to a regionally significant transportation facility or collector road for 
the portion of the project or service that is performed within the county;
(B)
for new capacity or congestion mitigation, and not for operation or 
maintenance, if the project or service is performed within the county; and
(C)
on a priority list created by the county's council of governments in accordance 
with Subsection 
(5)
 and approved by the county legislative body in accordance 
with Subsection 
(5)
;
(ii)
corridor preservation for a project or service described in Subsection 
(2)(b)(i)(A)
or 
(B)
; or
(iii)
debt service or bond issuance costs related to a project or service described in 
Subsection 
(2)(b)(i)(A)
 or 
(B)
.
(c)
The restriction in Subsection 
(2)(b)(i)(B)
 from using revenue for operation or 
maintenance does not apply to any revenue subject to rights or obligations under a 
contract entered into before January 1, 2019, between a county and a public transit 
district.
(3)
For revenue expended under this section for a project or service described in Subsection 
(2)
 that is on or part of a regionally significant transportation facility and that constructs 
or adds a new through lane or interchange, or provides new fixed guideway public 
transit service, the project shall be part of:
(a)
the statewide long-range plan; or
(b)
a regional transportation plan of the area metropolitan planning organization if a 
metropolitan planning organization area exists for the area.
(4)
(a)
As provided in this Subsection 
(4)
, a council of governments shall:
(i)
develop a written prioritization process for the prioritization of projects to be 
funded by revenues collected from a sales and use tax under this section;
(ii)
create a priority list of transportation projects or services described in Section 
59-12-2212.2
 in accordance with Subsection 
(5)
; and
(iii)
present the priority list to the county legislative body for approval in accordance 
with Subsection 
(5)
.
(b)
The written prioritization process described in Subsection 
(4)(a)(i)
 shall include:
(i)
a definition of the type of projects to which the written prioritization process 
applies;
(ii)
subject to Subsection 
(4)(c)
, the specification of a weighted criteria system that 
the council of governments will use to rank proposed projects and how that 
weighted criteria system will be used to determine which proposed projects will 
be prioritized;
(iii)
the specification of data that is necessary to apply the weighted criteria system;
(iv)
application procedures for a project to be considered for prioritization by the 
council of governments; and
(v)
any other provision the council of governments considers appropriate.
(c)
The weighted criteria system described in Subsection 
(4)(b)(ii)
 shall include the 
following:
(i)
the cost effectiveness of a project;
(ii)
the degree to which a project will mitigate regional congestion;
(iii)
the compliance requirements of applicable federal laws or regulations;
(iv)
the economic impact of a project;
(v)
the degree to which a project will require tax revenues to fund maintenance and 
operation expenses; and
(vi)
any other provision the council of governments considers appropriate.
(d)
A council of governments of a county of the first or second class shall submit the 
written prioritization process described in Subsection 
(4)(a)(i)
 to the Executive 
Appropriations Committee for approval prior to taking final action on:
(i)
the written prioritization process; or
(ii)
any proposed amendment to the written prioritization process.
(5)
(a)
A council of governments shall use the weighted criteria system adopted in the 
written prioritization process developed in accordance with Subsection 
(4)
 to create a 
priority list of transportation projects or services for which revenues collected from a 
sales and use tax under this section may be expended.
(b)
Before a council of governments may finalize a priority list or the funding level of a 
project, the council of governments shall conduct a public meeting on:
(i)
the written prioritization process; and
(ii)
the merits of the projects that are prioritized as part of the written prioritization 
process.
(c)
A council of governments shall make the weighted criteria system ranking for each 
project prioritized as part of the written prioritization process publicly available 
before the public meeting required by Subsection 
(5)(b)
 is held.
(d)
If a council of governments prioritizes a project over another project with a higher 
rank under the weighted criteria system, the council of governments shall:
(i)
identify the reasons for prioritizing the project over another project with a higher 
rank under the weighted criteria system at the public meeting required by 
Subsection 
(5)(b)
; and
(ii)
make the reasons described in Subsection 
(5)(d)(i)
 publicly available.
(e)
Subject to Subsections 
(5)(f)
 and 
(g)
, after a council of governments finalizes a 
priority list in accordance with this Subsection 
(5)
, the council of governments shall:
(i)
submit the priority list to the county legislative body for approval; and
(ii)
obtain approval of the priority list from a majority of the members of the county 
legislative body.
(f)
A council of governments may only submit one priority list per calendar year to the 
county legislative body.
(g)
A county legislative body may only consider and approve one priority list submitted 
under Subsection 
(5)(e)
 per calendar year.
(6)
In a county of the first class, revenues collected from a sales and use tax under this 
section that a county allocates for a purpose described in Section 
59-12-2212.2
 shall be:
(a)
deposited in or transferred to the County of the First Class Highway Projects Fund 
created by Section 
72-2-121
; and
(b)
expended as provided in Section 
72-2-121
.
(7)
Notwithstanding Section 
59-12-2208
, a county legislative body may, but is not required 
to, submit an opinion question to the county's registered voters in accordance with 
Section 
59-12-2208
 to impose a sales and use tax under this section.
(8)
(a)
(i)
Notwithstanding any other provision in this section, if the entire boundary of 
a county is annexed into a large public transit district, if the county legislative 
body wishes to impose a sales and use tax under this section, the county 
legislative body shall pass the ordinance to impose a sales and use tax under this 
section on or before June 30, 2022.
(ii)
If the entire boundary of a county is annexed into a large public transit district, 
the county legislative body may not pass an ordinance to impose a sales and use 
tax under this section on or after July 1, 2022.
(b)
Notwithstanding the deadline described in Subsection 
(8)(a)
, any sales and use tax 
imposed under this section on or before June 30, 2022, may remain in effect.
Section 31, Section 
59-12-2219
 is amended to read:
59-12-2219
Effective 
upon governor's approval
. County option sales and use 
tax for highways and public transit -- Base -- Rate -- Distribution and expenditure of 
revenue -- Revenue may not supplant existing budgeted transportation revenue.
(1)
Subject to the other provisions of this part, and subject to Subsection (13), a county 
legislative body may impose a sales and use tax of .25% on the transactions described in 
Subsection 
59-12-103
(1) within the county, including the cities and towns within the 
county.
(2)
Subject to Subsection (9), the commission shall distribute sales and use tax revenue 
collected under this section as provided in Subsections (3) through (8).
(3)
If 
After application of Subsection 
59-12-2206(5)
, if 
the entire boundary of a county 
that imposes a sales and use tax under this section is annexed into a single public transit 
district, the commission shall distribute the sales and use tax revenue collected within 
the county as follows:
(a)
.10% shall be transferred to the public transit district in accordance with Section 
59-12-2206
;
(b)
.10% shall be distributed as provided in Subsection (6); and
(c)
.05% shall be distributed to the county legislative body.
(4)
If the entire boundary of a county that imposes a sales and use tax under this section is 
not annexed into a single public transit district, but a city or town within the county is 
annexed into a single large public transit district, the commission shall distribute the 
sales and use tax revenue collected within the county as follows:
(a)
for a city or town within the county that is annexed into a single public transit 
district, the commission shall distribute the sales and use tax revenue collected within 
that city or town as follows:
(i)
.10% shall be transferred to the public transit district in accordance with Section 
59-12-2206
;
(ii)
.10% shall be distributed as provided in Subsection (6); and
(iii)
.05% shall be distributed to the county legislative body;
(b)
for an eligible political subdivision within the county, the commission shall 
distribute the sales and use tax revenue collected within that eligible political 
subdivision as follows:
(i)
.10% shall be transferred to the eligible political subdivision in accordance with 
Section 
59-12-2206
;
(ii)
.10% shall be distributed as provided in Subsection (6); and
(iii)
.05% shall be distributed to the county legislative body; and
(c)
the commission shall distribute the sales and use tax revenue, except for the sales and 
use tax revenue described in Subsections (4)(a) and (b), as follows:
(i)
.10% shall be distributed as provided in Subsection (6); and
(ii)
.15% shall be distributed to the county legislative body.
(5)
For a county not described in Subsection (3) or (4), if a county of the second, third, 
fourth, fifth, or sixth class imposes a sales and use tax under this section, the 
commission shall distribute the sales and use tax revenue collected within the county as 
follows:
(a)
for a city or town within the county that is annexed into a single public transit 
district, the commission shall distribute the sales and use tax revenue collected within 
that city or town as follows:
(i)
.10% shall be distributed as provided in Subsection (6);
(ii)
.10% shall be distributed as provided in Subsection (7); and
(iii)
.05% shall be distributed to the county legislative body;
(b)
for an eligible political subdivision within the county, the commission shall 
distribute the sales and use tax revenue collected within that eligible political 
subdivision as follows:
(i)
.10% shall be distributed as provided in Subsection (6);
(ii)
.10% shall be distributed as provided in Subsection (7); and
(iii)
.05% shall be distributed to the county legislative body; and
(c)
the commission shall distribute the sales and use tax revenue, except for the sales and 
use tax revenue described in Subsections (5)(a) and (b), as follows:
(i)
.10% shall be distributed as provided in Subsection (6); and
(ii)
.15% shall be distributed to the county legislative body.
(6)
(a)
Subject to Subsection (6)(b), the commission shall make the distributions required 
by Subsections (3)(b), (4)(a)(ii), (4)(b)(ii), (4)(c)(i), (5)(a)(i), (5)(b)(i), (5)(c)(i), and 
(7)(d)(ii)(A) as follows:
(i)
50% of the total revenue collected under Subsections (3)(b), (4)(a)(ii), (4)(b)(ii), 
(4)(c)(i), (5)(a)(i), (5)(b)(i), (5)(c)(i), and (7)(d)(ii)(A) within the counties and 
cities that impose a tax under this section shall be distributed to the 
unincorporated areas, cities, and towns within those counties and cities on the 
basis of the percentage that the population of each unincorporated area, city, or 
town bears to the total population of all of the counties and cities that impose a tax 
under this section; and
(ii)
50% of the total revenue collected under Subsections (3)(b), (4)(a)(ii), (4)(b)(ii), 
(4)(c)(i), (5)(a)(i), (5)(b)(i), (5)(c)(i), and (7)(d)(ii)(A) within the counties and 
cities that impose a tax under this section shall be distributed to the 
unincorporated areas, cities, and towns within those counties and cities on the 
basis of the location of the transaction as determined under Sections 
59-12-211
through 
59-12-215
.
(b)
(i)
Population for purposes of this Subsection (6) shall be determined on the basis 
of the most recent official census or census estimate of the United States Bureau 
of the Census.
(ii)
If a needed population estimate is not available from the United States Bureau of 
the Census, population figures shall be derived from an estimate from the Utah 
Population Committee.
(7)
(a)
(i)
Subject to the requirements in Subsections (7)(b) and (c), a county 
legislative body:
(A)
for a county that obtained approval from a majority of the county's registered 
voters voting on the imposition of a sales and use tax under this section prior to 
May 10, 2016, may, in consultation with any cities, towns, or eligible political 
subdivisions within the county, and in compliance with the requirements for 
changing an allocation under Subsection (7)(e), allocate the revenue under 
Subsection (5)(a)(ii) or (5)(b)(ii) by adopting a resolution specifying the 
percentage of revenue under Subsection (5)(a)(ii) or (5)(b)(ii) that will be 
allocated to a public transit district or an eligible political subdivision; or
(B)
for a county that imposes a sales and use tax under this section on or after 
May 10, 2016, shall, in consultation with any cities, towns, or eligible political 
subdivisions within the county, allocate the revenue under Subsection (5)(a)(ii) 
or (5)(b)(ii) by adopting a resolution specifying the percentage of revenue 
under Subsection (5)(a)(ii) or (5)(b)(ii) that will be allocated to a public transit 
district or an eligible political subdivision.
(ii)
If a county described in Subsection (7)(a)(i)(A) does not allocate the revenue 
under Subsection (5)(a)(ii) or (5)(b)(ii) in accordance with Subsection (7)(a)(i)(A), 
the commission shall distribute 100% of the revenue under Subsection (5)(a)(ii) or 
(5)(b)(ii) to:
(A)
a public transit district for a city or town within the county that is annexed into 
a single public transit district; or
(B)
an eligible political subdivision within the county.
(b)
If a county legislative body allocates the revenue as described in Subsection (7)(a)(i), 
the county legislative body shall allocate not less than 25% of the revenue under 
Subsection (5)(a)(ii) or (5)(b)(ii) to:
(i)
a public transit district for a city or town within the county that is annexed into a 
single public transit district; or
(ii)
an eligible political subdivision within the county.
(c)
Notwithstanding Section 
59-12-2208
, the opinion question described in Section 
59-12-2208
 shall state the allocations the county legislative body makes in 
accordance with this Subsection (7).
(d)
The commission shall make the distributions required by Subsection (5)(a)(ii) or 
(5)(b)(ii) as follows:
(i)
the percentage specified by a county legislative body shall be distributed in 
accordance with a resolution adopted by a county legislative body under 
Subsection (7)(a) to an eligible political subdivision or a public transit district 
within the county; and
(ii)
except as provided in Subsection (7)(a)(ii), if a county legislative body allocates 
less than 100% of the revenue under Subsection (5)(a)(ii) or (5)(b)(ii) to a public 
transit district or an eligible political subdivision, the remainder of the revenue 
under Subsection (5)(a)(ii) or (5)(b)(ii) not allocated by a county legislative body 
through a resolution under Subsection (7)(a) shall be distributed as follows:
(A)
50% of the revenue as provided in Subsection (6); and
(B)
50% of the revenue to the county legislative body.
(e)
If a county legislative body seeks to change an allocation specified in a resolution 
under Subsection (7)(a), the county legislative body may change the allocation by:
(i)
adopting a resolution in accordance with Subsection (7)(a) specifying the 
percentage of revenue under Subsection (5)(a)(ii) or (5)(b)(ii) that will be 
allocated to a public transit district or an eligible political subdivision;
(ii)
obtaining approval to change the allocation of the sales and use tax by a majority 
of all the members of the county legislative body; and
(iii)
subject to Subsection (7)(f):
(A)
in accordance with Section 
59-12-2208
, submitting an opinion question to the 
county's registered voters voting on changing the allocation so that each 
registered voter has the opportunity to express the registered voter's opinion on 
whether the allocation should be changed; and
(B)
in accordance with Section 
59-12-2208
, obtaining approval to change the 
allocation from a majority of the county's registered voters voting on changing 
the allocation.
(f)
Notwithstanding Section 
59-12-2208
, the opinion question required by Subsection 
(7)(e)(iii)(A) shall state the allocations specified in the resolution adopted in 
accordance with Subsection (7)(e) and approved by the county legislative body in 
accordance with Subsection (7)(e)(ii).
(g)
(i)
If a county makes an allocation by adopting a resolution under Subsection 
(7)(a) or changes an allocation by adopting a resolution under Subsection (7)(e), 
the allocation shall take effect on the first distribution the commission makes 
under this section after a 90-day period that begins on the date the commission 
receives written notice meeting the requirements of Subsection (7)(g)(ii) from the 
county.
(ii)
The notice described in Subsection (7)(g)(i) shall state:
(A)
that the county will make or change the percentage of an allocation under 
Subsection (7)(a) or (e); and
(B)
the percentage of revenue under Subsection (5)(a)(ii) or (5)(b)(ii) that will be 
allocated to a public transit district or an eligible political subdivision.
(8)
(a)
If a public transit district is organized after the date a county legislative body first 
imposes a tax under this section, a change in a distribution required by this section 
may not take effect until the first distribution the commission makes under this 
section after a 90-day period that begins on the date the commission receives written 
notice from the public transit district of the organization of the public transit district.
(b)
If an eligible political subdivision intends to provide public transit service within a 
county after the date a county legislative body first imposes a tax under this section, a 
change in a distribution required by this section may not take effect until the first 
distribution the commission makes under this section after a 90-day period that 
begins on the date the commission receives written notice from the eligible political 
subdivision stating that the eligible political subdivision intends to provide public 
transit service within the county.
(9)
(a)
(i)
Notwithstanding Subsections (3) through (8), for a county that has not 
imposed a sales and use tax under this section before May 8, 2018, and if the 
county imposes a sales and use tax under this section before June 30, 2019, the 
commission shall distribute all of the sales and use tax revenue collected by the 
county before June 30, 2019, to the county for the purposes described in 
Subsection (9)(a)(ii).
(ii)
For any revenue collected by a county pursuant to Subsection (9)(a)(i) before 
June 30, 2019, the county may expend that revenue for:
(A)
reducing transportation related debt;
(B)
a regionally significant transportation facility; or
(C)
a public transit project of regional significance.
(b)
For a county that has not imposed a sales and use tax under this section before May 
8, 2018, and if the county imposes a sales and use tax under this section before June 
30, 2019, the commission shall distribute the sales and use tax revenue collected by 
the county on or after July 1, 2019, as described in Subsections (3) through (8).
(c)
For a county that has not imposed a sales and use tax under this section before June 
30, 2019, if the entire boundary of that county is annexed into a large public transit 
district, and if the county imposes a sales and use tax under this section on or after 
July 1, 2019, the commission shall distribute the sales and use tax revenue collected 
by the county as described in Subsections (3) through (8).
(10)
(a)
A
Except as provided in Subsection 
(10)(b)
, a
 county, city, or town may expend 
revenue collected from a tax under this section, except for revenue the commission 
distributes in accordance with Subsection (3)(a), (4)(a)(i), (4)(b)(i), or (7)(d)(i), for a 
purpose described in Section 
59-12-2212.2
.
(b)
In addition to the uses permitted in Subsection 
(10)(a)
, a county of the first class may 
transfer the portion allocated to the county under this section to a convention center 
public infrastructure district created in accordance with Section 
17D-4-202.1
 for 
revitalization of a convention center owned by the county within a city of the first 
class and surrounding revitalization projects related to the convention center.
(11)
(a)
A public transit district or an eligible political subdivision may expend revenue 
the commission distributes in accordance with Subsection (3)(a), (4)(a)(i), (4)(b)(i), 
or (7)(d)(i) for capital expenses and service delivery expenses of the public transit 
district or eligible political subdivision.
(b)
As provided in Section 
59-12-2212.2
, for the .10% designated for public transit 
described in Subsection (3)(a) that is not contractually obligated for debt service, 
beginning on July 1, 2025, a public transit district shall make available to the 
Department of Transportation an amount equal to 10% of the .10% to be used for 
public transit innovation grants as provided in Title 72, Chapter 2, Part 
3
4
, Public 
Transit Innovation Grants.
(12)
Notwithstanding Section 
59-12-2208
, a county, city, or town legislative body may, but 
is not required to, submit an opinion question to the county's, city's, or town's registered 
voters in accordance with Section 
59-12-2208
 to impose a sales and use tax under this 
section.
(13)
(a)
(i)
Notwithstanding any other provision in this section, if the entire boundary 
of a county is annexed into a large public transit district, if the county legislative 
body wishes to impose a sales and use tax under this section, the county 
legislative body shall pass the ordinance to impose a sales and use tax under this 
section on or before June 30, 2022.
(ii)
If the entire boundary of a county is annexed into a large public transit district, 
the county legislative body may not pass an ordinance to impose a sales and use 
tax under this section on or after July 1, 2022.
(b)
Notwithstanding the deadline described in Subsection (13)(a), any sales and use tax 
imposed under this section by passage of a county ordinance on or before June 30, 
2022, may remain in effect.
(14)
(a)
Beginning on July 1, 2020, and subject to Subsection (15), if a county has not 
imposed a sales and use tax under this section, subject to the provisions of this part, 
the legislative body of a city or town described in Subsection (14)(b) may impose a 
.25% sales and use tax on the transactions described in Subsection 
59-12-103
(1) 
within the city or town.
(b)
The following cities or towns may impose a sales and use tax described in 
Subsection (14)(a):
(i)
a city or town that has been annexed into a public transit district; or
(ii)
an eligible political subdivision.
(c)
If a city or town imposes a sales and use tax as provided in this section, the 
commission shall distribute the sales and use tax revenue collected by the city or 
town as follows:
(i)
.125% to the city or town that imposed the sales and use tax, to be distributed as 
provided in Subsection (6); and
(ii)
.125%, as applicable, to:
(A)
the public transit district in which the city or town is annexed; or
(B)
the eligible political subdivision for public transit services.
(d)
If a city or town imposes a sales and use tax under this section and the county 
subsequently imposes a sales and use tax under this section, the commission shall 
distribute the sales and use tax revenue collected within the city or town as described 
in Subsection (14)(c).
(15)
(a)
(i)
Notwithstanding any other provision in this section, if a city or town 
legislative body wishes to impose a sales and use tax under this section, the city or 
town legislative body shall pass the ordinance to impose a sales and use tax under 
this section on or before June 30, 2022.
(ii)
A city or town legislative body may not pass an ordinance to impose a sales and 
use tax under this section on or after July 1, 2022.
(b)
Notwithstanding the deadline described in Subsection (15)(a), any sales and use tax 
imposed under this section by passage of an ordinance by a city or town legislative 
body on or before June 30, 2022, may remain in effect.
Section 32, Section 
59-12-2220
 is amended to read:
59-12-2220
Effective 
upon governor's approval
. County option sales and use 
tax to fund highways or a system for public transit -- Base -- Rate. 
(1)
Subject to the other provisions of this part and subject to the requirements of this 
section, the following counties may impose a sales and use tax under this section:
(a)
a county legislative body may impose the sales and use tax on the transactions 
described in Subsection 
59-12-103
(1) located within the county, including the cities 
and towns within the county if:
(i)
the entire boundary of a county is annexed into a large public transit district; and
(ii)
the maximum amount of sales and use tax authorizations allowed pursuant to 
Section 
59-12-2203
 and authorized under the following sections has been imposed:
(A)
Section 
59-12-2213
;
(B)
Section 
59-12-2214
;
(C)
Section 
59-12-2215
;
(D)
Section 
59-12-2216
;
(E)
Section 
59-12-2217
;
(F)
Section 
59-12-2218
; and
(G)
Section 
59-12-2219
;
(b)
if the county is not annexed into a large public transit district, the county legislative 
body may impose the sales and use tax on the transactions described in Subsection 
59-12-103
(1) located within the county, including the cities and towns within the 
county if:
(i)
the county is an eligible political subdivision; or
(ii)
a city or town within the boundary of the county is an eligible political 
subdivision; or
(c)
a county legislative body of a county not described in Subsection (1)(a) or (1)(b) may 
impose the sales and use tax on the transactions described in Subsection 
59-12-103
(1) located within the county, including the cities and towns within the county.
(2)
For purposes of Subsection (1) and subject to the other provisions of this section, a 
county legislative body that imposes a sales and use tax under this section may impose 
the tax at a rate of .2%.
(3)
(a)
The commission shall distribute sales and use tax revenue collected under this 
section as determined by a county legislative body as described in Subsection (3)(b).
(b)
If a county legislative body imposes a sales and use tax as described in this section, 
the county legislative body may elect to impose a sales and use tax revenue 
distribution as described in Subsection (4), (5), (6), or (7), depending on the class of 
county, and presence and type of a public transit provider in the county.
(4)
If 
After application of Subsection 
59-12-2206(5)
, if 
a county legislative body imposes 
a sales and use tax as described in this section, and the entire boundary of the county is 
annexed into a large public transit district, and the county is a county of the first class, 
the commission shall distribute the sales and use tax revenue as follows:
(a)
.10% to a public transit district as described in Subsection (11);
(b)
.05% to the cities and towns as provided in Subsection (8); and
(c)
.05% to the county legislative body.
(5)
If a county legislative body imposes a sales and use tax as described in this section and 
the entire boundary of the county is annexed into a large public transit district, and the 
county is a county not described in Subsection (4), the commission shall distribute the 
sales and use tax revenue as follows:
(a)
.10% to a public transit district as described in Subsection (11);
(b)
.05% to the cities and towns as provided in Subsection (8); and
(c)
.05% to the county legislative body.
(6)
(a)
Except as provided in Subsection (12)(c), if the entire boundary of a county that 
imposes a sales and use tax as described in this section is not annexed into a single 
public transit district, but a city or town within the county is annexed into a single 
public transit district, or if the city or town is an eligible political subdivision, the 
commission shall distribute the sales and use tax revenue collected within the county 
as provided in Subsection (6)(b) or (c).
(b)
For a city, town, or portion of the county described in Subsection (6)(a) that is 
annexed into the single public transit district, or an eligible political subdivision, the 
commission shall distribute the sales and use tax revenue collected within the portion 
of the county that is within a public transit district or eligible political subdivision as 
follows:
(i)
.05% to a public transit provider as described in Subsection (11);
(ii)
.075% to the cities and towns as provided in Subsection (8); and
(iii)
.075% to the county legislative body.
(c)
Except as provided in Subsection (12)(c), for a city, town, or portion of the county 
described in Subsection (6)(a) that is not annexed into a single public transit district 
or eligible political subdivision in the county, the commission shall distribute the 
sales and use tax revenue collected within that portion of the county as follows:
(i)
.08% to the cities and towns as provided in Subsection (8); and
(ii)
.12% to the county legislative body.
(7)
For a county without a public transit service that imposes a sales and use tax as 
described in this section, the commission shall distribute the sales and use tax revenue 
collected within the county as follows:
(a)
.08% to the cities and towns as provided in Subsection (8); and
(b)
.12% to the county legislative body.
(8)
(a)
Subject to Subsections (8)(b) and (c), the commission shall make the distributions 
required by Subsections (4)(b), (5)(b), (6)(b)(ii), (6)(c)(i), and (7)(a) as follows:
(i)
50% of the total revenue collected under Subsections (4)(b), (5)(b), (6)(b)(ii), 
(6)(c)(i), and (7)(a) within the counties that impose a tax under Subsections (4) 
through (7) shall be distributed to the unincorporated areas, cities, and towns 
within those counties on the basis of the percentage that the population of each 
unincorporated area, city, or town bears to the total population of all of the 
counties that impose a tax under this section; and
(ii)
50% of the total revenue collected under Subsections (4)(b), (5)(b), (6)(b)(ii), 
(6)(c)(i), and (7)(a) within the counties that impose a tax under Subsections (4) 
through (7) shall be distributed to the unincorporated areas, cities, and towns 
within those counties on the basis of the location of the transaction as determined 
under Sections 
59-12-211
 through 
59-12-215
.
(b)
(i)
Population for purposes of this Subsection (8) shall be determined on the basis 
of the most recent official census or census estimate of the United States Census 
Bureau.
(ii)
If a needed population estimate is not available from the United States Census 
Bureau, population figures shall be derived from an estimate from the Utah 
Population Estimates Committee created by executive order of the governor.
(c)
(i)
Beginning on January 1, 2024, if the Housing and Community Development 
Division within the Department of Workforce Services determines that a city or 
town is ineligible for funds in accordance with Subsection 
10-9a-408
(7), 
beginning the first day of the calendar quarter after receiving 90 days' notice, the 
commission shall distribute the distribution that city or town would have received 
under Subsection (8)(a) to cities or towns to which Subsection 
10-9a-408
(7) does 
not apply.
(ii)
Beginning on January 1, 2024, if the Housing and Community Development 
Division within the Department of Workforce Services determines that a county is 
ineligible for funds in accordance with Subsection 
17-27a-408
(7), beginning the 
first day of the calendar quarter after receiving 90 days' notice, the commission 
shall distribute the distribution that county would have received under Subsection 
(8)(a) to counties to which Subsection 
17-27a-408
(7) does not apply.
(9)
If a public transit service is organized after the date a county legislative body first 
imposes a tax under this section, a change in a distribution required by this section may 
not take effect until the first distribution the commission makes under this section after a 
90-day period that begins on the date the commission receives written notice from the 
public transit provider that the public transit service has been organized.
(10)
(a)
Except as provided in 
Subsection (10)(b)
Subsections (10)(b) and (c)
, a county, 
city, or town that received distributions described in Subsections (4)(b), (4)(c), (5)(b), 
(5)(c), (6)(b)(ii), (6)(b)(iii), (6)(c), and (7) may only expend those funds for a purpose 
described in Section 
59-12-2212.2
.
(b)
If a county described in Subsection (1)(a) that is a county of the first class imposes 
the sales and use tax authorized in this section, the county may also use funds 
distributed in accordance with Subsection (4)(c) for public safety purposes.
(c)
In addition to the purposes described in Subsections 
(10)(a)
 and (b), for a city 
relevant to a project area, as that term is defined in Section 
63N-3-1401
, an allowable 
use of revenue from a sales and use tax under this section includes the revitalization 
of a convention center owned by the county within a city of the first class and 
surrounding revitalization projects related to the convention center.
(11)
(a)
Subject to Subsections (11)(b), (c), and (d), revenue designated for public transit 
as described in this section may be used for capital expenses and service delivery 
expenses of:
(i)
a public transit district;
(ii)
an eligible political subdivision; or
(iii)
another entity providing a service for public transit or a transit facility within the 
relevant county, as those terms are defined in Section 
17B-2a-802
.
(b)
(i)
(A)
If a county of the first class imposes a sales and use tax described in this 
section, for a three-year period following the date on which the county imposes 
the sales and use tax under this section, revenue designated for public transit 
within a county of the first class as described in Subsection (4)(a) shall be 
transferred to the County of the First Class Highway Projects Fund created in 
Section 
72-2-121
.
(B)
Revenue deposited into the County of the First Class Highway Projects Fund 
created in Section 
72-2-121
 as described in Subsection (11)(b)(i)(A) may be 
used for public transit innovation grants as provided in Title 72, Chapter 2, Part 
3
4
, Public Transit Innovation Grants.
(ii)
If a county of the first class imposes a sales and use tax described in this section, 
beginning on the day three years after the date on which the county imposed the 
tax as described in Subsection (11)(b)(i), for revenue designated for public transit 
as described in Subsection (4)(a):
(A)
50% of the revenue from a sales and use tax imposed under this section in a 
county of the first class shall be transferred to the County of the First Class 
Highway Projects Fund created in Section 
72-2-121
; and
(B)
50% of the revenue from a sales and use tax imposed under this section in a 
county of the first class shall be transferred to the Transit Transportation 
Investment Fund created in Subsection 
72-2-124
(9).
(c)
(i)
If a county that is not a county of the first class for which the entire boundary of 
the county is annexed into a large public transit district imposes a sales and use 
tax described in this section, for a three-year period following the date on which 
the county imposes the sales and use tax under this section, revenue designated for 
public transit as described in Subsection (5)(a) shall be transferred to the relevant 
county legislative body to be used for a purpose described in Subsection (11)(a).
(ii)
If a county that is not a county of the first class for which the entire boundary of 
the county is annexed into a large public transit district imposes a sales and use 
tax described in this section, beginning on the day three years after the date on 
which the county imposed the tax as described in Subsection (11)(c)(i), for the 
revenue that is designated for public transit in Subsection (5)(a):
(A)
50% shall be transferred to the Transit Transportation Investment Fund 
created in Subsection 
72-2-124
(9); and
(B)
50% shall be transferred to the relevant county legislative body to be used for 
a purpose described in Subsection (11)(a).
(d)
Except as provided in Subsection (12)(c), for a county that imposes a sales and use 
tax under this section, for revenue designated for public transit as described in 
Subsection (6)(b)(i), the revenue shall be transferred to the relevant county legislative 
body to be used for a purpose described in Subsection (11)(a).
(12)
For a city described in Subsection 
(10)
(c), during the bondable term of a revitalization 
project described in Subsection 
(10)(c)
, the city shall transfer at least 50%, and may 
transfer up to 100%, of any revenue the city receives from a distribution under 
Subsection (4)(b) to a convention center public infrastructure district created in 
accordance with Section 
17D-4-202.1
 for revitalization of a convention center owned by 
the county within a city of the first class and surrounding revitalization projects related 
to the convention center as permitted in Subsection 
(10)(c)
.
(12)
(13)
(a)
Notwithstanding Section 
59-12-2208
, a county legislative body may, but is 
not required to, submit an opinion question to the county's registered voters in 
accordance with Section 
59-12-2208
 to impose a sales and use tax under this section.
(b)
If a county passes an ordinance to impose a sales and use tax as described in this 
section, the sales and use tax shall take effect on the first day of the calendar quarter 
after a 90-day period that begins on the date the commission receives written notice 
from the county of the passage of the ordinance.
(c)
A county that imposed the local option sales and use tax described in this section 
before January 1, 2023, may maintain that county's distribution allocation in place as 
of January 1, 2023.
(13)
(14)
(a)
Revenue collected from a sales and use tax under this section may not be 
used to supplant existing General Fund appropriations that a county, city, or town 
budgeted for transportation or public transit as of the date the tax becomes effective 
for a county, city, or town.
(b)
The limitation under Subsection 
(13)(a)
(14)(a)
 does not apply to a designated 
transportation or public transit capital or reserve account a county, city, or town 
established before the date the tax becomes effective.
Section 33, Section 
63H-1-205
 is amended to read:
63H-1-205
Effective 
upon governor's approval
. MIDA accommodations tax.
(1)
As used in this section:
(a)
"Accommodations and services" means an accommodation or service described in 
Subsection 
59-12-103
(1)(i).
(b)
"Accommodations and services" does not include amounts paid or charged that are 
not part of a rental room rate.
(2)
By ordinance, the authority board may impose a MIDA accommodations tax on a 
provider for amounts paid or charged for accommodations and services, if the place of 
accommodation is located within a project area and on:
(a)
authority-owned or other government-owned property
; 
(b)
privately owned property on which the authority owns a condominium unit that is 
part of the place of accommodation; or
(c)
privately owned property on which the authority board finds that a provider is 
providing a significant long-term benefit, including lodging but not including a 
benefit that is commonly provided, to members of the military at the property.
(3)
The maximum rate of the MIDA accommodations tax is 15% of the amounts paid to or 
charged by the provider for accommodations and services.
(4)
A provider may recover an amount equal to the MIDA accommodations tax from 
customers, if the provider includes the amount as a separate billing line item.
(5)
If the authority imposes the tax described in this section, neither the authority nor a 
public entity may impose, on the amounts paid or charged for accommodations and 
services, any other tax described in:
(a)
Title 59, Chapter 12, Sales and Use Tax Act; or
(b)
Title 59, Chapter 28, State Transient Room Tax Act.
(6)
Except as provided in Subsection (7) or (8), the tax imposed under this section shall be 
administered, collected, and enforced in accordance with:
(a)
the same procedures used to administer, collect, and enforce the tax under:
(i)
Title 59, Chapter 12, Part 1, Tax Collection; or
(ii)
Title 59, Chapter 12, Part 2, Local Sales and Use Tax Act; and
(b)
Title 59, Chapter 1, General Taxation Policies.
(7)
The location of a transaction shall be determined in accordance with Sections 
59-12-211
through 
59-12-215
.
(8)
(a)
A tax under this section is not subject to Section 
59-12-107.1
 or 
59-12-123
 or 
Subsections 
59-12-205
(2) 
through (5)
and (4) through (6)
.
(b)
The exemptions described in Sections 
59-12-104
, 
59-12-104.1
, and 
59-12-104.6
 do 
not apply to a tax imposed under this section.
(9)
The State Tax Commission shall:
(a)
except as provided in Subsection (9)(b), distribute the revenue collected from the tax 
to the authority; and
(b)
retain and deposit an administrative charge in accordance with Section 
59-1-306
from revenue the commission collects from a tax under this section.
(10)
(a)
If the authority imposes, repeals, or changes the rate of tax under this section, the 
implementation, repeal, or change shall take effect:
(i)
on the first day of a calendar quarter; and
(ii)
after a 90-day period beginning on the date the State Tax Commission receives 
the notice described in Subsection (10)(b) from the authority.
(b)
The notice required in Subsection (10)(a)(ii) shall state:
(i)
that the authority will impose, repeal, or change the rate of a tax under this section;
(ii)
the effective date of the implementation, repeal, or change of the tax; and
(iii)
the rate of the tax.
(11)
In addition to the uses permitted under Section 
63H-1-502
, the authority may allocate 
revenue from the MIDA accommodations tax to a county in which a place of 
accommodation that is subject to the MIDA accommodations tax is located, if:
(a)
the county had a transient room tax described in Section 
59-12-301
 in effect at the 
time the authority board imposed a MIDA accommodations tax by ordinance; and
(b)
the revenue replaces revenue that the county received from a county transient room 
tax described in Section 
59-12-301
 for the county's general operations and 
administrative expenses.
Section 34, Section 
63N-2-512
 is amended to read:
63N-2-512
Effective 
upon governor's approval
. Hotel Impact Mitigation Fund.
(1)
As used in this section:
(a)
"Affected hotel" means a hotel built in the state before July 1, 2014.
(b)
"City-wide event" means an event hosted at a convention facility pursuant to a 
contract by a nonprofit corporation responsible for the promotion of convention 
business.
(b)
"Direct losses" means affected hotels' losses of hotel guest business attributable to 
the qualified hotel room supply being added to the market in the state.
(c)
"Mitigation fund" means the Hotel Impact Mitigation Fund, created in Subsection (2).
(d)
"Qualified losses" means revenue lost by an affected hotel for city-wide events 
attributable to the qualified hotel room supply being added to the market in the state, 
calculated by taking the difference between:
(i)
an affected hotel's average total annual room-night revenue for city-wide events 
for the three-year period between January 1, 2017, and December 31, 2019; and
(ii)
the affected hotel's total annual room-night revenue for city-wide events for the 
applicable year.
(2)
There is created an expendable special revenue fund known as the Hotel Impact 
Mitigation Fund.
(3)
The mitigation fund shall:
(a)
be administered by GOEO;
(b)
earn interest; and
(c)
be funded by:
(i)
payments required to be deposited into the mitigation fund by the Division of 
Finance under Subsection 
59-12-103(10)
;
(ii)
money required to be deposited into the mitigation fund under Subsection 
17-31-9(2)
 by the county in which a qualified hotel is located; and
(iii)
any money deposited into the mitigation fund under Subsection 
(6)
(7)
.
(4)
Interest earned by the mitigation fund shall be deposited into the mitigation fund.
(5)
In accordance with office rules and Subsection 
(6)
, GOEO shall annually pay 
$2,100,000 from the mitigation fund to affected hotels to mitigate qualified losses as 
follows:
(a)
for calendar years 2023 and 2024, on or before June 1, 2025;
(b)
for calendar year 2025, on or before February 28, 2026; and
(c)
for calendar year 2026, on or before February 28, 2026.
(5)
(a)
In accordance with office rules, GOEO shall annually pay up to $2,100,000 of 
money in the mitigation fund:
(i)
to affected hotels;
(ii)
for four consecutive years, beginning 12 months after the date of initial 
occupancy of the qualified hotel occurs; and
(iii)
to mitigate direct losses.
(b)
(i)
If the amount GOEO pays under Subsection (5)(a) in any year is less than 
$2,100,000, GOEO shall pay to the Stay Another Day and Bounce Back Fund, 
created in Section 
63N-2-511
, the difference between $2,100,000 and the amount 
paid under Subsection (5)(a).
(ii)
GOEO shall make any required payment under Subsection (5)(b)(i) within 90 
days after the end of the year for which a determination is made of how much 
GOEO is required to pay to affected hotels under Subsection (5)(a).
(6)
Each calendar year, GOEO shall award the available $2,100,000 to affected hotels 
proportionally, according to each affected hotel's qualified losses in relation to the total 
qualified losses suffered collectively by all affected hotels.
(6)
(7)
A host local government or qualified hotel owner may make payments to the 
Division of Finance for deposit into the mitigation fund.
(7)
(8)
In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the 
office shall, in consultation with the Utah Hotel and Lodging Association and the county 
in which the qualified hotel is located, make rules establishing procedures and criteria 
governing payments under Subsection 
(5)(a)
(5)
 to affected hotels.
Section 35, Section 
63N-3-602
 is amended to read:
63N-3-602
Effective 
upon governor's approval
. Definitions.
As used in this part:
(1)
"Affordable housing" means housing occupied or reserved for occupancy by households 
with a gross household income:
(a)
equal to or less than 80% of the
 county
 median gross income 
of the applicable 
municipal or county statistical area 
for households of the same size, in certain 
circumstances as provided in this part; or
(b)
equal to or less than 60% of the 
county 
median gross income 
of the applicable 
municipal or county statistical area 
for households of the same size, in certain 
circumstances as provided in this part.
(2)
"Agency" means the same as that term is defined in Section 
17C-1-102
.
(3)
"Base taxable value" means a property's taxable value as shown upon the assessment 
roll last equalized during the base year.
(4)
"Base year" means, for each 
property 
tax increment collection period triggered within a 
proposed housing and transit reinvestment zone
 or convention center reinvestment zone
project 
area, the calendar year prior to the calendar year the 
property 
tax increment 
begins to be collected for 
those
the
 parcels 
that are in a project that is 
triggered for that 
collection period.
(5)
"Bus rapid transit" means a high-quality bus-based transit system that delivers fast and 
efficient service that may include dedicated lanes, busways, traffic signal priority, 
off-board fare collection, elevated platforms, and enhanced stations.
(6)
"Bus rapid transit station" means an existing station, stop, or terminal, or a proposed 
station, stop, or terminal that is specifically identified as needed in phase one of a 
metropolitan planning organization's adopted long-range transportation plan and in 
phase one of the relevant public transit district's adopted long-range transit plan:
(a)
along an existing bus rapid transit line; or
(b)
along an extension to an existing bus rapid transit line or new bus rapid transit line.
(7)
"Capital city" means the same as that term is defined in Section 
17D-4-102
.
(7)
(8)
(a)
"Commuter rail" means a 
heavy-rail
regional
 passenger rail transit facility 
operated by a large public transit district.
(b)
"Commuter rail" does not include a light-rail passenger rail facility of a large public 
transit district.
(8)
(9)
"Commuter rail station" means an existing station, stop, or terminal, or a proposed 
station, stop, or terminal, which has been specifically identified as needed in phase one 
of a metropolitan planning organization's adopted long-range transportation plan and in 
phase one of the relevant public transit district's adopted long-range transit plan:
(a)
along an existing commuter rail line;
(b)
along an extension to an existing commuter rail line or new commuter rail line;
 or
(c)
along a fixed guideway extension from an existing commuter rail line
.
; or
(d)
at the landing point of a pedestrian bridge or vehicle bridge extending from an 
existing commuter rail station.
(10)
"Convention center" means a convention center owned by a county of the first class 
within a city of the first class.
(11)
"Convention center revitalization project" means a project within a city of the first 
class within a county of the first class for the revitalization, activation, and 
modernization of a convention center and the surrounding area, including projects 
meeting the objectives described in Section 
63N-3-603.1
.
(12)
"Convention center reinvestment zone" means a convention center reinvestment zone 
created under this part.
(9)
(13)
(a)
"Developable area" means the portion of land within a housing and transit 
reinvestment zone available for development and construction of business and 
residential uses.
(b)
"Developable area" does not include portions of land within a housing and transit 
reinvestment zone that are allocated to:
(i)
parks;
(ii)
recreation facilities;
(iii)
open space;
(iv)
trails;
(v)
publicly-owned roadway facilities; or
(vi)
other public facilities.
(10)
(14)
"Dwelling unit" means one or more rooms arranged for the use of one or more 
individuals living together, as a single housekeeping unit normally having cooking, 
living, sanitary, and sleeping facilities.
(15)
"Eligible municipality" means a city that:
(a)
(i)
is the county seat of a county of the first class; or
(ii)
a city of the first class located in a county of the first class; and
(b)
has a convention center within the boundary of the city.
(11)
(16)
"Enhanced development" means the construction of mixed uses including 
housing, commercial uses, and related facilities.
(12)
(17)
"Enhanced development costs" means extra costs associated with structured 
parking costs, vertical construction costs, horizontal construction costs, life safety costs, 
structural costs, conveyor or elevator costs, and other costs incurred due to the increased 
height of buildings or enhanced development.
(13)
(18)
"First home investment zone" means the same as that term is defined in Section 
63N-3-1601
.
(14)
(19)
"Fixed guideway" means the same as that term is defined in Section 
59-12-102
.
(15)
(20)
"Horizontal construction costs" means the additional costs associated with 
earthwork, over excavation, utility work, transportation infrastructure, and landscaping 
to achieve enhanced development in the housing and transit reinvestment zone.
(16)
(21)
"Housing and transit reinvestment zone" means a housing and transit 
reinvestment zone created pursuant to this part.
(17)
(22)
"Housing and transit reinvestment zone committee" means a housing and transit 
reinvestment zone committee created pursuant to Section 
63N-3-605
.
(18)
(23)
"Large public transit district" means the same as that term is defined in Section 
17B-2a-802
.
(19)
(24)
"Light rail" means a passenger rail public transit system with right-of-way and 
fixed rails:
(a)
dedicated to exclusive use by light-rail public transit vehicles;
(b)
that may cross streets at grade; and
(c)
that may share parts of surface streets.
(20)
(25)
"Light rail station" means an existing station, stop, or terminal or a proposed 
station, stop, or terminal, which has been specifically identified as needed in phase one 
of a metropolitan planning organization's adopted long-range transportation plan and in 
phase one of the relevant public transit district's adopted long-range plan:
(a)
along an existing light rail line; or
(b)
along an extension to an existing light rail line or new light rail line.
(21)
(26)
"Metropolitan planning organization" means the same as that term is defined in 
Section 
72-1-208.5
.
(22)
(27)
"Mixed use development" means development with a mix of:
(a)
multi-family residential use; and
(b)
at least one additional land use, which shall be a significant part of the overall 
development.
(23)
(28)
"Municipality" means the same as that term is defined in Section 
10-1-104
.
(24)
(29)
"Participant" means the same as that term is defined in Section 
17C-1-102
.
(25)
(30)
"Participation agreement" means the same as that term is defined in Section 
17C-1-102
, except that the agency may not provide and the person may not receive a 
direct subsidy.
(31)
"Project" means a housing and transit reinvestment zone or convention center 
reinvestment zone created under this part.
(32)
(a)
"Property tax increment" means the difference between:
(i)
the amount of property tax revenue generated each tax year by a taxing entity from 
the area within a housing and transit reinvestment zone or convention center 
reinvestment zone designated in the applicable reinvestment zone proposal as the 
area from which tax increment is to be collected, using the current assessed value 
and each taxing entity's current certified tax rate as defined in Section 
59-2-924
; 
and
(ii)
the amount of property tax revenue that would be generated from that same area 
using the base taxable value and each taxing entity's current certified tax rate as 
defined in Section 
59-2-924
.
(b)
"Property tax increment" does not include property tax revenue from:
(i)
a multicounty assessing and collecting levy described in Subsection 
59-2-1602(2)
;
(ii)
a county additional property tax described in Subsection 
59-2-1602(4)
; or
(iii)
a public library fund levy described in Subsection 
9-7-501(2)
.
(26)
(33)
"Public transit county" means a county that has created a small public transit 
district.
(27)
(34)
"Public transit hub" means a public transit depot or station where four or more 
routes serving separate parts of the county-created transit district stop to transfer riders 
between routes.
(28)
(35)
"Sales and use tax base year" means
:
(a)
for a housing and transit reinvestment zone, 
a sales and use tax year determined by 
the first year pertaining to the tax imposed in Section 
59-12-103
 after the sales and 
use tax boundary for a housing and transit reinvestment zone is established
.
; or
(b)
for a convention center reinvestment zone, a sales and use tax year determined by the 
year specified in the approved proposal for a convention center reinvestment zone, 
pertaining to the taxes:
(i)
imposed under Section 
59-12-103
;
(ii)
imposed by a city of the first class in a county of the first class under Title 59, 
Chapter 12, Part 2, Local Sales and Use Tax Act;
(iii)
imposed by a city of the first class in a county of the first class under Section 
59-12-402.1
;
(iv)
imposed by a county of the first class under Section 
59-12-1102
; and
(v)
imposed by a county of the first class under Title 59, Chapter 12, Part 22, Local 
Option Sales and Use Taxes for Transportation Act.
(29)
(36)
"Sales and use tax boundary" means
:
(a)
for a housing and transit reinvestment zone,
 a boundary created as described in 
Section 
63N-3-604
, based on state sales and use tax collection
 boundaries
 that 
corresponds
correspond
 as closely as reasonably practicable to the housing and 
transit reinvestment zone boundary
.
; or
(b)
for a convention center reinvestment zone, a boundary created as described in 
Section 
63N-3-604.1
, based on state sales and use tax collection boundaries that 
correspond as closely as reasonably practicable to the convention center reinvestment 
zone boundary.
(30)
(37)
"Sales and use tax increment" means
:
(a)
for a housing and transit reinvestment zone,
 the difference between:
(a)
(i)
the amount of state sales and use tax revenue generated each year following 
the sales and use tax base year by the sales and use tax from the area within a 
housing and transit reinvestment zone designated in the housing and transit 
reinvestment zone proposal as the area from which sales and use tax increment is 
to be collected; and
(b)
(ii)
the amount of state sales and use tax revenue that was generated from that 
same area during the sales and use tax base year
.
; or
(b)
for a convention center reinvestment zone, the difference between:
(i)
the amount of sales and use tax revenue generated each year following the sales 
and use tax base year by the sales and use tax from the area within a convention 
center reinvestment zone designated in the convention center reinvestment zone 
proposal as the area from which sales and use tax increment is to be collected; and
(ii)
the amount of sales and use tax revenue that was generated from that same area 
during the sales and use tax base year.
(31)
(38)
"Sales and use tax revenue" means
:
(a)
for a housing and transit reinvestment zone,
 revenue that is generated from the tax 
imposed under Section 
59-12-103
.
; or
(b)
for a convention center reinvestment zone, revenue that is generated from:
(i)
the sales and use taxes imposed under Section 
59-12-103
; and
(ii)
the sales and use taxes:
(A)
imposed by a city of the first class in a county of the first class under Title 59, 
Chapter 12, Part 2, Local Sales and Use Tax Act;
(B)
imposed by a city of the first class in a county of the first class under Section 
59-12-402.1
;
(C)
imposed by a county of the first class under Section 
59-12-1102
; and
(D)
imposed by a county of the first class under Title 59, Chapter 12, Part 22, 
Local Option Sales and Use Taxes for Transportation Act.
(32)
(39)
"Small public transit district" means the same as that term is defined in Section 
17B-2a-802
.
(33)
(40)
"Tax Commission" means the State Tax Commission created in Section 
59-1-201
.
(34)
(a)
"Tax increment" means the difference between:
(i)
the amount of property tax revenue generated each tax year by a taxing entity 
from the area within a housing and transit reinvestment zone designated in the 
housing and transit reinvestment zone proposal as the area from which tax 
increment is to be collected, using the current assessed value and each taxing 
entity's current certified tax rate as defined in Section 
59-2-924
; and
(ii)
the amount of property tax revenue that would be generated from that same area 
using the base taxable value and each taxing entity's current certified tax rate as 
defined in Section 
59-2-924
.
(b)
"Tax increment" does not include property tax revenue from:
(i)
a multicounty assessing and collecting levy described in Subsection 
59-2-1602
(2); or
(ii)
a county additional property tax described in Subsection 
59-2-1602
(4).
(35)
(41)
"Taxing entity" means the same as that term is defined in Section 
17C-1-102
.
(36)
(42)
"Vertical construction costs" means the additional costs associated with 
construction above four stories and structured parking to achieve enhanced development 
in the housing and transit reinvestment zone.
Section 36, Section 
63N-3-603
 is amended to read:
63N-3-603
Effective 
upon governor's approval
. Applicability, requirements, 
and limitations on a housing and transit reinvestment zone.
(1)
A housing and transit reinvestment zone proposal created under this part shall 
promote
demonstrate how the proposal addresses
 the following objectives:
(a)
higher utilization of public transit;
(b)
increasing availability of housing, including affordable housing, and fulfillment of 
moderate income housing plans;
(c)
promoting and encouraging development of owner-occupied housing;
(d)
improving efficiencies in parking and transportation, including walkability of 
communities near public transit facilities;
(e)
overcoming development impediments and market conditions that render a 
development cost prohibitive absent the proposal and incentives;
(f)
conserving water resources through efficient land use;
(g)
improving air quality by reducing fuel consumption and motor vehicle trips;
(h)
encouraging transformative mixed-use development and investment in transportation 
and public transit infrastructure in strategic areas;
(i)
strategic land use and municipal planning in major transit investment corridors as 
described in Subsection 
10-9a-403
(2);
(j)
increasing access to employment and educational opportunities; and
(k)
increasing access to child care.
(2)
(a)
In order to accomplish the objectives described in Subsection (1), a municipality 
or public transit county that initiates the process to create a housing and transit 
reinvestment zone as described in this part shall ensure that the proposal for a 
housing and transit reinvestment zone includes:
(i)
except as provided in Subsection (3), at least 12% of the proposed dwelling units 
within the housing and transit reinvestment zone are affordable housing units, 
with:
(A)
up to 9% of the proposed dwelling units occupied or reserved for occupancy 
by households with a gross household income equal to or less than 80% of the 
county 
median gross income
 of the applicable municipal or county statistical 
area
 for households of the same size; and
(B)
at least 3% of the proposed dwelling units occupied or reserved for occupancy 
by households with a gross household income equal to or less than 60% of the 
county 
median gross income 
of the applicable municipal or county statistical 
area 
for households of the same size;
(ii)
except as provided in Subsection (2)(c), a housing and transit reinvestment zone 
shall include:
(A)
at least 51% of the developable area within a housing and transit reinvestment 
zone as residential uses; and
(B)
an average of at least 50 dwelling units per acre within the acreage of the 
housing and transit reinvestment zone dedicated to residential uses;
(iii)
mixed-use development; and
(iv)
a mix of dwelling units to ensure that 
a reasonable percentage 
at least 25% 
of 
the dwelling units 
has
have
 more than one bedroom.
(b)
(i)
If a housing and transit reinvestment zone is phased, a municipality or public 
transit county shall ensure that a housing and transit reinvestment zone is phased 
and developed to provide the required 12% of affordable housing units in each 
phase of development.
(ii)
A municipality or public transit county may allow a housing and transit 
reinvestment zone to be phased and developed in a manner to provide more of the 
required affordable housing units in early phases of development.
(iii)
A municipality or public transit county shall include in a housing and transit 
reinvestment zone proposal an affordable housing plan, which may include deed 
restrictions, to ensure the affordable housing required in the proposal will continue 
to meet the definition of affordable housing at least throughout the entire term of 
the housing and transit reinvestment zone.
(c)
For a housing and transit reinvestment zone proposed by a public transit county at a 
public transit hub, or for a housing and transit reinvestment zone proposed by a 
municipality at a bus rapid transit station, the housing and transit reinvestment zone 
shall include:
(i)
at least 51% of the developable area within a housing and transit reinvestment 
zone as residential uses; and
(ii)
an average of at least 39 dwelling units per acre within the acreage of the housing 
and transit reinvestment zone dedicated to residential uses.
(3)
A municipality or public transit county that, at the time the housing and transit 
reinvestment zone proposal is approved by the housing and transit reinvestment zone 
committee, meets the affordable housing guidelines of the United States Department of 
Housing and Urban Development at 60% area median income is exempt from the 
requirement described in Subsection (2)(a).
(4)
(a)
A municipality may only propose a housing and transit reinvestment zone at a 
commuter rail station, and a public transit county may only propose a housing and 
transit reinvestment zone at a public transit hub, that:
(i)
subject to Subsection (5)(a):
(A)
(I)
except as provided in Subsection (4)(a)(i)(A)(II), for a municipality, 
does not exceed a 1/3 mile radius of a commuter rail station;
(II)
for a municipality that is a city of the first 
or second 
class 
with a 
population greater than 150,000 
that is within a county of the first 
or 
second 
class, with an opportunity zone created pursuant to Section 1400Z-1, 
Internal Revenue Code, does not exceed a 1/2 mile radius of a commuter 
rail station located within the opportunity zone; or
(III)
for a public transit county, does not exceed a 1/3 mile radius of a public 
transit hub; and
(B)
has a total area of no more than 125 noncontiguous acres;
(ii)
subject to Section 
63N-3-607
, proposes the capture of a maximum of 80% of each 
taxing entity's 
property 
tax increment above the base year for a term of no more 
than 25 consecutive years on each parcel within a 45-year period not to exceed the 
property 
tax increment amount approved in the housing and transit reinvestment 
zone proposal; and
(iii)
the commencement of collection of 
property 
tax increment, for all or a portion of 
the housing and transit reinvestment zone
, will
 project area, shall
 be triggered by 
providing notice as described in Subsection (6), but a housing and transit 
reinvestment zone proposal may not propose or include triggering more than three 
property 
tax increment collection periods 
for the same project 
during the 
applicable 45-year period.
(b)
A municipality or public transit county may only propose a housing and transit 
reinvestment zone at a light rail station or bus rapid transit station that:
(i)
subject to Subsection (5):
(A)
does not exceed:
(I)
except as provided in Subsection (4)(b)(i)(A)(II), (III), or (4)(e), a 1/4 mile 
radius of a bus rapid transit station or light rail station;
(II)
for a municipality that is a city of the first class with a population greater than 150,000 that 
is within a county of the first class, a 1/2 mile radius of a light rail station located in an 
opportunity zone created pursuant to Section 
1400Z-1, Internal Revenue Code; or
(III)
a 1/2 mile radius of a light rail station located within a master-planned 
development of 500 acres or more; and
(B)
has a total area of no more than 100 noncontiguous acres;
(ii)
subject to Subsection (4)(c) and Section 
63N-3-607
, proposes the capture of a 
maximum of 80% of each taxing entity's 
property 
tax increment above the base 
year for a term of no more than 15 consecutive years on each parcel within a 
30-year period not to exceed the 
property 
tax increment amount approved in the 
housing and transit reinvestment zone proposal; and
(iii)
the commencement of collection of 
property 
tax increment, for all or a portion of 
the housing and transit reinvestment zone
, will
 project area, shall
 be triggered by 
providing notice as described in Subsection (6), but a housing and transit 
reinvestment zone proposal may not propose or include triggering more than three 
property 
tax increment collection periods 
for the same project 
during the 
applicable 30-year period.
(c)
For a housing and transit reinvestment zone proposed by a public transit county at a 
public transit hub, or for a housing and transit reinvestment zone proposed by a 
municipality at a bus rapid transit station, if the proposed housing density within the 
housing and transit reinvestment zone is between 39 and 49 dwelling units per acre, 
the maximum capture of each taxing entity's 
property 
tax increment above the base 
year is 60%.
(d)
A municipality that is a city of the first class with a population greater than 150,000 
in a county of the first class as described in Subsections (4)(a)(i)(A)(II) and 
(4)(b)(i)(A)(II) may only propose one housing and transit reinvestment zone within 
an opportunity zone.
(e)
(i)
Subject to Subsection (4)(e)(ii), the radius restrictions described in Subsection 
(4)(b)(i) do not apply, and a housing and transit reinvestment zone may extend to 
an area between two light rail stations located within a city of the third class if the 
two light rail stations are within a .95 mile distance on the same light rail line.
(ii)
If a housing and transit reinvestment zone is extended to accommodate two light 
rail stations as described in Subsection (4)(e)(i):
(A)
the housing and transit reinvestment zone is limited to a total area not to 
exceed 100 noncontiguous acres; and
(B)
the housing and transit reinvestment zone may not exceed a 1/4 mile radius 
from the light rail stations or any point on the light rail line between the two 
stations.
(f)
If a parcel within the housing and transit reinvestment zone is included as an area that 
is part of a project area, as that term is defined in Section 
17C-1-102
, and created 
under Title 17C, Chapter 1, Agency Operations, that parcel may not be triggered for 
collection unless the project area funds collection period, as that term is defined in 
Section 
17C-1-102
, has expired.
(5)
(a)
For a housing and transit reinvestment zone for a commuter rail station, if a parcel 
is 
bisected
intersected
 by the relevant radius limitation, the full parcel may be 
included as part of the housing and transit reinvestment zone area and will not count 
against the limitations described in Subsection (4)(a)(i).
(b)
For a housing and transit reinvestment zone for a light rail or bus rapid transit 
station, if a parcel is 
bisected
intersected
 by the relevant radius limitation, the full 
parcel may be included as part of the housing and transit reinvestment zone area and 
will not count against the limitations described in Subsection (4)(b)(i).
(c)
A housing and transit reinvestment zone may not be smaller than 10 acres.
(6)
(a)
The notice of commencement of collection of 
property 
tax increment required in 
Subsection (4)(a)(iii) or (4)(b)(iii) shall be sent by mail or electronically to the 
following entities no later than 
January 1
December 31
 of the year 
before the year 
for which the 
property 
tax increment collection is proposed to commence:
(a)
(i)
the 
tax commission
State Tax Commission
;
(b)
(ii)
the State Board of Education;
(c)
(iii)
the state auditor;
(d)
(iv)
the auditor of the county in which the housing and transit reinvestment zone 
is located;
(e)
(v)
each taxing entity affected by the collection of 
property 
tax increment from 
the housing and transit reinvestment zone; and
(f)
(vi)
the Governor's Office of Economic Opportunity.
(b)
The notice described in Subsection (4)(a)(iii) or (4)(b)(iii) may not be triggered until 
the date on which the housing and transit reinvestment zone proposal is approved by 
the housing and transit reinvestment zone committee.
(7)
(a)
The maximum number of housing and transit reinvestment zones at light rail 
stations
, not including a convention center reinvestment zone,
 is eight in any given 
county.
(b)
Within a county of the first class, the maximum number of housing and transit 
reinvestment zones at bus rapid transit stations is three.
(c)
Within a county of the first class, the maximum total combined number of housing 
and transit reinvestment zones described in Subsections (7)(a) and (b) and first home 
investment zones created under Part 16, First Home Investment Zone Act, is 11.
(8)
(a)
For purposes of this Subsection (8), "entitlement agreement" means:
(i)
a land use application;
(ii)
a rezone petition; or
(iii)
a request, petition, or application to:
(A)
enact or approve a development agreement; or
(B)
to amend or modify a development agreement.
(b)
This Subsection (8) applies to a specified county, as defined in Section 
17-27a-408
, 
that has created a small public transit district on or before January 1, 2022.
(c)
To accomplish the objectives described in Subsection (1), an owner of undeveloped 
property within an unincorporated county shall have the right to develop and build a 
mixed-use development if:
(i)
the owner has submitted an entitlement agreement to the county on or before 
December 31, 2022, and is within a 1/3 mile radius of a public transit hub in a 
county described in Subsection (8)(b), including parcels that are intersected by the 
1/3 mile radius; and
(ii)
the county described in Subsection (8)(b) has failed to approve the entitlement 
agreement described in Subsection (8)(c)(i) by ordinance before December 31, 
2022.
(d)
The mixed use development described in Subsection (8)(c) shall include the 
following:
(i)
(A)
(I)
a maximum number of dwelling units equal to 30 multiplied by the 
total acres of developable area within the mixed-use development dedicated 
exclusively to residential use; or
(II)
a maximum number of dwelling units equal to 15 multiplied by the total 
acres of the mixed-use development; and
(B)
at least 33% of the dwelling units as affordable housing;
(ii)
commercial uses, including office, retail, educational, and healthcare in support of 
the mixed-use development constituting no more than 1/3 of the total planned 
gross building square footage of the subject parcels; and
(iii)
any other infrastructure element necessary or reasonable to support the 
mixed-use development, including:
(A)
parking infrastructure;
(B)
streets;
(C)
sidewalks;
(D)
parks; and
(E)
trails.
(e)
(i)
The mixed-use development described in this Subsection (8) may qualify for a 
housing and transit reinvestment zone described in Subsection (4)(a).
(ii)
The county described in Subsection (8)(b) may propose a housing and transit 
reinvestment zone pursuant to this part, if the housing and transit reinvestment 
zone includes:
(A)
(I)
an average of at least 30 dwelling units per acre within the acreage of the 
housing and transit reinvestment zone dedicated to residential use; or
(II)
a minimum number of 14 dwelling units per acre on average within the 
acreage of the housing and transit reinvestment zone; and
(B)
at least 33% of the dwelling units as affordable housing units.
(f)
A county may not take an action or enforce an agreement, ordinance, regulation, or 
requirement that prevents or creates development impediments to the development of 
a mixed-use development as described in this Subsection (8).
(g)
A county action to approve or implement the development of a mixed-use 
development as described in this Subsection (8) shall constitute an administrative 
action taken by the county and does not require county legislative action.
(8)
(a)
This Subsection (8) applies to a specified county, as defined in Section 
17-27a-408
, that has created a small public transit district on or before January 1, 
2022.
(b)
(i)
A county described in Subsection (8)(a) shall, in accordance with Section 
63N-3-604
, prepare and submit to the Governor's Office of Economic Opportunity 
a proposal to create a housing and transit reinvestment zone on or before 
December 31, 2022.
(ii)
A county described in Subsection (8)(a) that, on December 31, 2022, was 
noncompliant under Section 
17-27a-408
 for failure to demonstrate in the county's 
moderate income housing report that the county complied with Subsection 
(8)(b)(i), may cure the deficiency in the county's moderate income housing report 
by submitting satisfactory proof to the Housing and Community Development 
Division that, notwithstanding the deadline in Subsection (8)(b)(i), the county has 
submitted to the Governor's Office of Economic Opportunity a proposal to create 
a housing and transit reinvestment zone.
(c)
(i)
A county described in Subsection (8)(a) may not propose a housing and 
transit reinvestment zone if more than 15% of the acreage within the housing and 
transit reinvestment zone boundary is owned by the county.
(ii)
For purposes of determining the percentage of acreage owned by the county as 
described in Subsection (8)(c)(i), a county may exclude any acreage owned that is 
used for highways, bus rapid transit, light rail, or commuter rail within the 
boundary of the housing and transit reinvestment zone.
(d)
To accomplish the objectives described in Subsection (1), if a county described in 
Subsection (8)(a) has failed to comply with Subsection (8)(b)(i) by failing to submit 
an application before December 31, 2022, an owner of undeveloped property who 
has submitted a land use application to the county on or before December 31, 2022, 
and is within a 1/3 mile radius of a public transit hub in a county described in 
Subsection (8)(a), including parcels that are bisected by the 1/3 mile radius, shall 
have the right to develop and build a mixed-use development including the following:
(i)
excluding the parcels devoted to commercial uses as described in Subsection 
(8)(d)(ii), at least 39 dwelling units per acre on average over the developable area, 
with at least 10% of the dwelling units as affordable housing units;
(ii)
commercial uses including office, retail, educational, and healthcare in support 
of the mixed-use development constituting up to 1/3 of the total planned gross 
building square footage of the subject parcels; and
(iii)
any other infrastructure element necessary or reasonable to support the 
mixed-use development, including parking infrastructure, streets, sidewalks, 
parks, and trails.
Section 37, Section 
63N-3-603.1
 is enacted to read:
63N-3-603.1
Effective 
upon governor's approval
. Applicability, requirements, 
and limitations on a convention center reinvestment zone.
(1)
A convention center reinvestment zone proposal created under this part shall 
demonstrate how the proposal addresses the following objectives:
(a)
redevelopment of a convention center and the surrounding area's infrastructure and 
assets;
(b)
activation of unrealized economic opportunities related to the convention center and 
surrounding infrastructure and assets;
(c)
modernization of infrastructure and design of the convention center and surrounding 
area and related public spaces;
(d)
encouragement of transformative development and investment, including parking 
improvements;
(e)
promotion of economic development and employment opportunities;
(f)
improvement of the aesthetic, functionality, and walkability of the convention center 
and surrounding area;
(g)
enhancement of tourism opportunities; and
(h)
creation of outdoor event space to accommodate events or festivals open to the 
public.
(2)
A convention center reinvestment zone in a capital city proposal created under this part 
shall also demonstrate how the proposal addresses the following objectives:
(a)
redevelopment of a convention center and surrounding infrastructure and assets that 
directly serve the convention center, including parking facilities;
(b)
modernization of infrastructure and design of the convention center; and
(c)
improvement of the aesthetic, functionality, and walkability of the convention center.
(3)
The Governor's Office of Economic Opportunity shall propose a convention center 
reinvestment zone to accomplish the objectives described in Subsections 
(1)
 and (2).
(4)
(a)
(i)
A convention center reinvestment zone proposal may propose the capture of 
100% of the property tax increment and 100% of the sales and use tax increment 
described in Subsection 
63N-3-602(38)(b)(ii)
 for a period of 30 years.
(ii)
For a convention center reinvestment zone in a capital city, in addition to the 
proposed capture of property tax increment and sales and use tax increment 
described in Subsection 
(4)(a)(i)
, the convention center reinvestment zone may 
propose the capture of 50% of the sales and use tax increment described in 
Subsection 
63N-3-602(38)(b)(i)
.
(b)
The convention center reinvestment zone proposal shall include the respective start 
date and base year date from which to calculate:
(i)
the 30-year period of property tax increment; and
(ii)
the 30-year period of the sales and use tax increment.
(c)
The convention center reinvestment zone proposal may not stagger the collection 
periods for the parcels within the convention center reinvestment zone boundary and 
the parcels within the convention center reinvestment zone boundary shall have the 
same 30-year collection period.
(d)
The convention center reinvestment zone proposal start date for the 30-year period 
described in this Subsection 
(4)
, shall be no sooner than January 1 of the year of the 
identified tax collection year.
(e)
(i)
For a convention center reinvestment zone in a capital city, revenue from the 
property tax increment and sales and use tax increment shall be distributed 
directly to a convention center public infrastructure district in a capital city created 
as required in Subsection 
63N-3-607(8)(b)
; and
(ii)
For a convention center reinvestment zone in a city other than a capital city, 
revenue from the property tax increment and sales and use tax increment may be 
distributed directly to the municipality or public infrastructure district as described 
in the convention center reinvestment zone proposal.
(5)
The Governor's Office of Economic Opportunity may only propose a convention center 
reinvestment zone:
(a)
within the boundary of the eligible municipality;
(b)
consisting of a total area:
(i)
not to exceed 50 acres; or
(ii)
if greater than 50 acres, approved by the relevant eligible municipality;
(c)
consisting only of contiguous parcels; and
(d)
for a convention center reinvestment zone in a capital city, in an area that includes 
any portion of an existing convention center and any city block that is bordered by an 
existing convention center.
(6)
(a)
For a convention center reinvestment zone in a capital city, the Governor's Office 
of Economic Opportunity shall propose a convention center reinvestment zone on or 
before April 15, 2025.
(b)
For a convention center reinvestment zone that is not in a capital city, the Governor's 
Office of Economic Opportunity shall propose a convention center reinvestment zone 
within 60 days after receiving a petition from the relevant city.
(7)
A convention center reinvestment zone does not count toward the maximum of eight 
housing and transit reinvestment zones in a given county as provided in Subsection 
63N-3-603(7)(a)
.
Section 38, Section 
63N-3-604
 is amended to read:
63N-3-604
Effective 
upon governor's approval
. Process for a proposal of a 
housing and transit reinvestment zone -- Analysis.
(1)
Subject to approval of the housing and transit reinvestment zone committee as described 
in Section 
63N-3-605
, in order to create a housing and transit reinvestment zone, a 
municipality or public transit county that has general land use authority over the housing 
and transit reinvestment zone area, shall:
(a)
prepare a proposal for the housing and transit reinvestment zone that:
(i)
demonstrates that the proposed housing and transit reinvestment zone will meet 
the objectives described in Subsection 
63N-3-603
(1);
(ii)
explains how the municipality or public transit county will achieve the 
requirements of Subsection 
63N-3-603
(2)(a)(i);
(iii)
defines the specific transportation infrastructure needs, if any, and proposed 
improvements
 and estimated budgets
;
(iv)
defines the boundaries of:
(A)
the housing and transit reinvestment zone; and
(B)
the sales and use tax boundary corresponding to the housing and transit 
reinvestment zone boundary, as described in Section 
63N-3-610
;
(v)
includes maps of the proposed housing and transit reinvestment zone to illustrate:
(A)
the proposed boundary and radius from a public transit hub;
(B)
proposed housing density within the housing and transit reinvestment zone; 
and
(C)
existing zoning and proposed zoning changes related to the housing and transit 
reinvestment zone;
(vi)
identifies any development impediments that prevent the development from 
being a market-rate investment
 and
, including
 proposed strategies 
and estimated 
budgets 
for addressing each one;
(vii)
describes the proposed development plan
 and estimated budgets
, including the 
requirements described in Subsections 
63N-3-603
(2) and (4);
(viii)
establishes a base year and collection period to calculate the 
property 
tax 
increment within the housing and transit reinvestment zone;
(ix)
establishes a sales and use tax base year to calculate the sales and use tax 
increment within the housing and transit reinvestment zone in accordance with 
Section 
63N-3-610
;
(x)
describes projected maximum revenues generated and the amount of 
property 
tax 
increment capture from each taxing entity and proposed expenditures of revenue 
derived from the housing and transit reinvestment zone;
(xi)
includes an analysis of other applicable or eligible incentives, grants, or sources 
of revenue that can be used to reduce the finance gap;
(xii)
estimates budgets and 
evaluates possible benefits to active and public 
transportation availability and impacts on air quality;
(xiii)
proposes a finance schedule to align expected revenue with required financing 
costs and payments;
(xiv)
provides a pro-forma for the planned development that:
(A)
satisfies the requirements described in Subsections 
63N-3-603
(2), (3), and (4);
and
(B)
includes data showing the cost difference between what type of development 
could feasibly be developed absent the housing and transit reinvestment zone 
property 
tax increment and the type of development that is proposed to be 
developed with the housing and transit reinvestment zone 
property 
tax 
increment; and
(C)
provides estimated budgets and construction costs, anticipated revenue, 
financing, expenses, and other sources and uses of funds for the project area; 
and
(xv)
for a housing and transit reinvestment zone at a commuter rail station, light rail 
station, or bus rapid transit station that is proposed and not in public transit service 
operation as of the date of submission of the proposal, demonstrates that the 
proposed station is:
(A)
included as needed in phase one of a metropolitan planning organization's 
adopted long-range transportation plan and in phase one of the relevant public 
transit district's adopted long-range plan; and
(B)
reasonably anticipated to be constructed in the near future; and
(b)
submit the housing and transit reinvestment zone proposal to the Governor's Office 
of Economic Opportunity.
(2)
As part of the proposal described in Subsection (1), a municipality or public transit 
county shall study and evaluate possible impacts of a proposed housing and transit 
reinvestment zone on parking within the city and housing and transit reinvestment zone.
(3)
(a)
After receiving the proposal as described in Subsection (1)(b), the Governor's 
Office of Economic Opportunity shall:
(i)
within 14 days after the date on which the Governor's Office of Economic 
Opportunity receives the proposal described in Subsection (1)(b), provide notice 
of the proposal to all affected taxing entities, including the Tax Commission, 
cities, counties, school districts, metropolitan planning organizations, and the 
county assessor and county auditor of the county in which the housing and transit 
reinvestment zone is located; and
(ii)
at the expense of the proposing municipality or public transit county as described 
in Subsection (5), contract with an independent entity to perform the 
financial 
gap 
analysis described in Subsection (3)(b).
(b)
The gap analysis required in Subsection (3)(a)(ii) shall include:
(i)
a description of the planned development;
(ii)
a market analysis relative to other comparable project developments included in 
or adjacent to the municipality or public transit county absent the proposed 
housing and transit reinvestment zone;
(iii)
an evaluation of the proposal to and a determination of the adequacy and 
efficiency of the proposal;
(iv)
an evaluation of the proposed increment capture needed to cover the enhanced 
development costs associated with the housing and transit reinvestment zone 
proposal and enable the proposed development to occur; and
(v)
based on the market analysis and other findings, an opinion relative to the 
appropriate amount of potential public financing reasonably determined to be 
necessary to achieve the objectives described in Subsection 
63N-3-603
(1).
(c)
After receiving notice from the Governor's Office of Economic Opportunity of a 
proposed housing and transit reinvestment zone as described in Subsection (3)(a)(i), 
the 
State 
Tax Commission shall:
(i)
evaluate the feasibility of administering the tax implications of the proposal; and
(ii)
provide a letter to the Governor's Office of Economic Opportunity describing any 
challenges in the administration of the proposal, or indicating that the Tax 
Commission can feasibly administer the proposal.
(4)
After receiving the results from the analysis described in Subsection (3)(b), the 
municipality or public transit county proposing the housing and transit reinvestment 
zone may:
(a)
amend the housing and transit reinvestment zone proposal based on the findings of 
the analysis described in Subsection (3)(b) and request that the Governor's Office of 
Economic Opportunity submit the amended housing and transit reinvestment zone 
proposal to the housing and transit reinvestment zone committee; or
(b)
request that the Governor's Office of Economic Opportunity submit the original 
housing and transit reinvestment zone proposal to the housing and transit 
reinvestment zone committee.
(5)
(a)
The Governor's Office of Economic Opportunity may accept, as a dedicated 
credit, up to $20,000 from a municipality or public transit county for the costs of the 
gap analysis described in Subsection (3)(b).
(b)
The Governor's Office of Economic Opportunity may expend funds received from a 
municipality or public transit county as dedicated credits to pay for the costs 
associated with the gap analysis described in Subsection (3)(b).
Section 39, Section 
63N-3-604.1
 is enacted to read:
63N-3-604.1
Effective 
upon governor's approval
. Process for proposing a 
convention center reinvestment zone.
(1)
To create a convention center reinvestment zone under this part, the Governor's Office 
of Economic Opportunity shall, after consulting with and giving notice to the related 
eligible municipality and county, provide a proposal for a convention center 
reinvestment zone to the housing and transit reinvestment zone committee. 
(2)
(a)
The Governor's Office of Economic Opportunity shall ensure that a proposal for 
the creation of a convention center reinvestment zone includes the following 
information and data that:
(i)
defines the boundary of the proposed convention center reinvestment zone;
(ii)
describes generally the proposed development plan;
(iii)
identifies a base year and collection period to calculate the property tax 
increment within the convention center reinvestment zone;
(iv)
specifies a sales and use tax base year to calculate the sales and use tax increment 
within the convention center reinvestment zone in accordance with Section 
63N-3-610.1
;
(v)
provides estimated project and investment objectives for the convention center 
reinvestment zone; and
(vi)
outlines generally the impacts on transportation in and around the proposed 
convention center reinvestment zone.
(b)
For a convention center reinvestment zone in a capital city, the proposal described in 
Subsection 
(2)(a)
 shall also provide estimated budgets and construction costs, 
anticipated revenue, financing, expenses, and other sources and uses of funds for the 
project area.
(c)
The proposal described in Subsection (2)(b) shall limit the use of funds to:
(i)
a convention center;
(ii)
a publicly owned entertainment venue;
(iii)
parking; and
(iv)
infrastructure related to the project.
(3)
A proposal by the Governor's Office of Economic Opportunity for a convention center 
reinvestment zone shall demonstrate how the information and data provided in the 
proposal pursuant to Subsection 
(2)
 furthers the objectives described in Section 
63N-3-603.1
 and is in the public interest.
(4)
After submitting the proposal as described in Subsection (2), the Governor's Office of 
Economic Opportunity shall provide notice of the proposal to all affected taxing entities, 
including the State Tax Commission, cities, counties, school districts, metropolitan 
planning organizations, and the county assessor and county auditor of the county in 
which the convention center reinvestment zone is located.
(5)
After receiving notice from the Governor's Office of Economic Opportunity of a 
proposed convention center reinvestment zone as described in Subsection (4), the Tax 
Commission shall, within 14 days:
(a)
evaluate the feasibility of administering the tax implications of the proposal; and
(b)
provide a letter to the Governor's Office of Economic Opportunity describing any 
challenges in the administration of the proposal, or indicating that the State Tax 
Commission can feasibly administer the proposal.
Section 40, Section 
63N-3-605
 is amended to read:
63N-3-605
Effective 
upon governor's approval
. Housing and transit 
reinvestment zone committee -- Creation.
(1)
For any housing and transit reinvestment zone proposed under this part, or for a first 
home investment zone proposed in accordance with Part 16, First Home Investment 
Zone Act, there is created a housing and transit reinvestment zone committee with 
membership described in Subsection (2).
(2)
Each housing and transit reinvestment zone committee shall consist of the following 
members:
(a)
one representative from the Governor's Office of Economic Opportunity, designated 
by the executive director of the Governor's Office of Economic Opportunity;
(b)
one representative from each municipality that is a party to the proposed housing and 
transit reinvestment zone or first home investment zone, designated by the chief 
executive officer of each respective municipality;
(c)
a member of the Transportation Commission created in Section 
72-1-301
;
(d)
a member of the board of trustees of a large public transit district;
(e)
one individual from the Office of the State Treasurer, designated by the state 
treasurer;
(f)
two members designated by the president of the Senate;
(g)
two members designated by the speaker of the House of Representatives;
(h)
one member designated by the chief executive officer of each county affected by the 
housing and transit reinvestment zone or first home investment zone;
(i)
two representatives designated by the school superintendent from the school district 
affected by the housing and transit reinvestment zone or first home investment zone; 
and
(j)
one representative, representing the largest participating local taxing entity, after the 
municipality, county, and school district.
(3)
The individual designated by the Governor's Office of Economic Opportunity as 
described in Subsection (2)(a) shall serve as chair of the housing and transit 
reinvestment zone committee.
(4)
(a)
A majority of the members of the housing and transit reinvestment zone 
committee constitutes a quorum of the housing and transit reinvestment zone 
committee.
(b)
An action by a majority of a quorum of the housing and transit reinvestment zone 
committee is an action of the housing and transit reinvestment zone committee.
(5)
(a)
After the Governor's Office of Economic Opportunity receives the results of the 
analysis described in Section 
63N-3-604
, and after the Governor's Office of 
Economic Opportunity has received a request from the submitting municipality or 
public transit county to submit the housing and transit reinvestment zone proposal to 
the housing and transit reinvestment zone committee, the Governor's Office of 
Economic Opportunity shall notify each of the entities described in Subsection (2) of 
the formation of the housing and transit reinvestment zone committee.
(b)
For a first home investment zone, the housing and transit reinvestment zone 
committee shall follow the procedures described in Section 
63N-3-1604
.
(6)
(a)
The chair of the housing and transit reinvestment zone committee shall convene a 
public meeting to consider the proposed housing and transit reinvestment zone.
(b)
A meeting of the housing and transit reinvestment zone committee is subject to Title 
52, Chapter 4, Open and Public Meetings Act.
(7)
(a)
The proposing municipality or public transit county shall present the housing and 
transit reinvestment zone proposal to the housing and transit reinvestment zone 
committee in a public meeting.
(b)
The housing and transit reinvestment zone committee shall
, for a housing and transit 
reinvestment zone proposal
:
(i)
evaluate and verify whether the elements of a housing and transit reinvestment 
zone described in Subsections 
63N-3-603
(2) and (4) have been met; and
(ii)
evaluate the proposed housing and transit reinvestment zone relative to the 
analysis described in Subsection 
63N-3-604
(2).
(c)
The housing and transit reinvestment zone committee shall, for a convention center 
reinvestment zone proposal, evaluate and verify whether the objectives of a 
convention center reinvestment zone described in Section 
63N-3-603.1
 have been 
met.
(8)
(a)
Subject to Subsection (8)(b), the housing and transit reinvestment zone committee 
may:
(i)
(A)
for a housing and transit reinvestment zone, 
request changes to the housing 
and transit reinvestment zone proposal based on the analysis, characteristics, 
and criteria described in Section 
63N-3-604
; or
(B)
for a convention center reinvestment zone, request changes to the convention 
center reinvestment zone proposal based on the characteristics and criteria 
described in Sections 
63N-3-603.1
 and 
63N-3-604.1
; or
(ii)
vote to approve or deny the proposal.
(b)
Before the housing and transit reinvestment zone committee may approve the 
housing and transit reinvestment zone proposal, the municipality or public transit 
county proposing the housing and transit reinvestment zone shall ensure that the area 
of the proposed housing and transit reinvestment zone is zoned in such a manner to 
accommodate the requirements of a housing and transit reinvestment zone described 
in this section and the proposed development.
(9)
If a housing and transit reinvestment zone is approved by the committee:
(a)
the proposed housing and transit reinvestment zone is established according to the 
terms of the housing and transit reinvestment zone proposal;
(b)
affected local taxing entities are required to participate according to the terms of the 
housing and transit reinvestment zone proposal; and
(c)
each affected taxing entity is required to participate at the same rate
.
(10)
A housing and transit reinvestment zone proposal may be amended by following the 
same procedure as approving a housing and transit reinvestment zone proposal.
(11)
(a)
The approval for a convention center reinvestment zone in a capital city may be 
completed with a condition that the relevant municipality also create a public 
infrastructure district as provided in Subsection 
63N-3-607(8)(b)
.
(b)
The approval described in Subsection 
(11)(a)
 shall verify that the requirements and 
limitations on use of funds is limited to the conditions described under Subsections 
63N-3-604.1(2)(b)
 and (c).
Section 41, Section 
63N-3-606
 is amended to read:
63N-3-606
Effective 
upon governor's approval
. Notice requirements.
(1)
In approving a housing and transit reinvestment zone
 or convention center reinvestment 
zone
 proposal
,
 the housing and transit reinvestment zone committee shall follow the 
hearing and notice requirements for creating a housing and transit reinvestment zone
 or 
convention center reinvestment zone
 area proposal.
(2)
Within 30 days after the housing and transit reinvestment zone committee approves a 
proposed housing and transit reinvestment zone, the municipality or public transit county
, 
or for a convention center reinvestment zone, the Governor's Office of Economic 
Opportunity,
 shall:
(a)
record with the recorder of the county in which the housing and transit reinvestment 
zone
 or convention center reinvestment zone
 is located a document containing:
(i)
a description of the land within the housing and transit reinvestment zone
 or 
convention center reinvestment zone
;
(ii)
a statement that the proposed housing and transit reinvestment zone
 or convention 
center reinvestment zone
 has been approved; and
(iii)
the date of adoption;
(b)
transmit a copy of the description of the land within the housing and transit 
reinvestment zone
 or convention center reinvestment zone
 and an accurate map or 
plat indicating the boundaries of the housing and transit reinvestment zone
 or 
convention center reinvestment zone
 to the Utah Geospatial Resource Center created 
under Section 
63A-16-505
; and
(c)
transmit a copy of the approved housing and transit reinvestment zone 
or convention 
center reinvestment zone 
proposal, map, and description of the land within the 
housing and transit reinvestment zone
 or convention center reinvestment zone
, to:
(i)
the auditor, recorder, attorney, surveyor, and assessor of the county in which any 
part of the housing and transit reinvestment zone
 or convention center 
reinvestment zone
 is located;
(ii)
the officer or officers performing the function of auditor or assessor for each 
taxing entity that does not use the county assessment roll or collect the taxing 
entity's taxes through the county;
(iii)
the legislative body or governing board of each taxing entity;
(iv)
the 
tax commission
State Tax Commission
; and
(v)
the State Board of Education.
Section 42, Section 
63N-3-607
 is amended to read:
63N-3-607
Effective 
upon governor's approval
. Payment, use, and 
administration of revenue from a housing and transit reinvestment zone.
(1)
A
In accordance with this part:
(a)
a
 municipality or public transit county may receive and use 
property 
tax increment 
and housing and transit reinvestment zone funds
;
(b)
(i)
a public infrastructure district shall use the funds from a convention center 
reinvestment zone in a capital city within or for the benefit of a convention center 
reinvestment zone in a capital city; and
(ii)
funds from a convention center reinvestment zone in a capital city may be used 
outside of the capital city convention center reinvestment zone if the use meets the 
objectives described in Section 
63N-3-603.1
 and is determined by the board of the 
public infrastructure district to be a direct benefit to the convention center 
reinvestment zone in a capital city; and
(c)
 in accordance with this part
a municipality or a public infrastructure district may 
receive and use property tax increment and convention center reinvestment zone 
funds for a convention center reinvestment zone that is not within a capital city
.
(2)
(a)
A
Except as provided in Subsection (3), a
 county that collects property tax on 
property located within a housing and transit reinvestment zone shall, in accordance 
with Section 
59-2-1365
, distribute to the municipality or public transit county any 
property 
tax increment the municipality or public transit county is authorized to 
receive up to the maximum approved by the housing and transit reinvestment zone 
committee.
(b)
Tax
Property tax
 increment distributed to a municipality or public transit county in 
accordance with Subsection (2)(a) is not revenue of the taxing entity or municipality 
or public transit county.
(c)
(i)
Tax
Property tax
 increment paid to the municipality or public transit county 
are housing and transit reinvestment zone funds and shall be administered by an 
agency created by the municipality or public transit county within which the 
housing and transit reinvestment zone is located.
(ii)
Before an agency may receive housing and transit reinvestment zone funds from 
the municipality or public transit county, the municipality or public transit county 
and the agency shall enter into an interlocal agreement with terms that:
(A)
are consistent with the approval of the housing and transit reinvestment zone 
committee; and
(B)
meet the requirements of Section 
63N-3-603
 or, for a convention center 
reinvestment zone, the requirements of Section 
63N-3-603.1
.
(3)
(a)
A county that collects property tax on property located within a convention center 
reinvestment zone shall, in accordance with Section 
59-2-1365
, distribute to the 
relevant public infrastructure district created by the eligible municipality any 
property tax increment the public infrastructure district is authorized to receive up to 
the amounts approved by the housing and transit reinvestment zone committee.
(b)
Property tax increment distributed to a public infrastructure district in accordance 
with Subsection (3)(a) is not revenue of the taxing entity or municipality.
(c)
Property tax increment paid to the public infrastructure district are convention center 
reinvestment zone funds and shall be administered by the public infrastructure district 
within which the convention center reinvestment zone is located.
(3)
(4)
(a)
(i)
A municipality or public transit county and agency shall use housing 
and transit reinvestment zone funds within, or for the direct benefit of, the housing 
and transit reinvestment zone.
(ii)
A public infrastructure district shall use convention center reinvestment zone 
funds within, or for the benefit of, the convention center reinvestment zone.
(b)
If any housing and transit reinvestment zone funds will be used outside of the 
housing and transit reinvestment zone there must be a finding in the approved 
proposal for a housing and transit reinvestment zone that the use of the housing and 
transit reinvestment zone funds outside of the housing and transit reinvestment zone 
will directly benefit the housing and transit reinvestment zone.
(4)
(5)
(a)
A municipality or public transit county shall use housing and transit 
reinvestment zone funds to achieve the purposes described in Subsections 
63N-3-603
(1) and (2), by paying all or part of the costs of any of the following:
(a)
(i)
income targeted housing costs;
(b)
(ii)
structured parking within the housing and transit reinvestment zone;
(c)
(iii)
enhanced development costs;
(d)
(iv)
horizontal construction costs;
(e)
(v)
vertical construction costs;
(f)
(vi)
property acquisition costs within the housing and transit reinvestment zone; 
or
(g)
(vii)
the costs of the municipality or public transit county to create and 
administer the housing and transit reinvestment zone, which may not exceed 2% 
of the total housing and transit reinvestment zone funds, plus the costs to complete 
the gap analysis described in Subsection 
63N-3-604
(2).
(b)
A public infrastructure district shall use convention center reinvestment zone funds 
to achieve the purposes described in Section 
63N-3-603.1
.
(5)
(6)
Housing and transit reinvestment zone funds may be paid to a participant, if the 
agency and participant enter into a participation agreement which requires the 
participant to utilize the housing and transit reinvestment zone funds as allowed in this 
section.
(6)
(7)
(a)
Housing and transit reinvestment zone funds may be used to pay all of the 
costs of bonds issued by the municipality or public transit county in accordance with 
Title 17C, Chapter 1, Part 5, Agency Bonds, including the cost to issue and repay the 
bonds including interest.
(b)
Convention center reinvestment zone funds may be used to pay all of the costs of 
debt incurred by the public infrastructure district, including the cost to issue and 
repay the debt including interest.
(7)
(8)
(a)
A municipality or public transit county may create one or more public 
infrastructure districts within the housing and transit reinvestment zone under Title 
17D, Chapter 4, Public Infrastructure District Act, and pledge and utilize the housing 
and transit reinvestment zone funds to guarantee the payment of public infrastructure 
bonds issued by a public infrastructure district.
(b)
An eligible municipality that is a capital city shall create one or more public 
infrastructure districts within the convention center reinvestment zone under Title 
17D, Chapter 4, Public Infrastructure District Act, and the convention center 
reinvestment zone funds may be used to pay all or any portion of debt incurred by the 
public infrastructure district, including the cost to issue and repay the debt including 
interest.
Section 43, Section 
63N-3-608
 is amended to read:
63N-3-608
Effective 
upon governor's approval
. Applicability to an existing 
community reinvestment project.
(1)
For a housing and transit reinvestment zone created under this part that overlaps 
any portion of an existing inactive industrial site community reinvestment project area 
plan created 
pursuant to
in accordance with
Title 17C, Limited Purpose Local 
Government Entities - Community Reinvestment Agency Act
:
(1)
(a)
if the community reinvestment project area plan captures less than 80% of the 
property 
tax increment from a taxing entity, or if a taxing entity is not participating in 
the community reinvestment project area plan, the housing and transit reinvestment 
zone may capture the difference between:
(a)
(i)
80%; and
(b)
(ii)
the percentage of 
property 
tax increment captured pursuant to the community 
reinvestment project area plan; and
(2)
(b)
if a community reinvestment project area plan expires before the housing and 
transit reinvestment zone, the housing and transit reinvestment zone may capture the 
property 
tax increment allocated to the community reinvestment project area plan for 
any remaining portion of the term of the housing and transit reinvestment zone
 and 
the base year shall be updated in accordance with Subsection 
63N-3-602(4)
.
(2)
For a convention center reinvestment zone created under this part that overlaps any 
portion of an existing community reinvestment project area created in accordance with 
Title 17C, Limited Purpose Local Government Entities - Community Reinvestment 
Agency Act:
(a)
if the community reinvestment project area captures less than 100% of the property 
tax increment from a taxing entity, or if a taxing entity is not participating in the 
community reinvestment project area, the convention center reinvestment zone may 
capture the difference between:
(i)
100%; and
(ii)
the percentage of property tax increment captured pursuant to the community 
reinvestment project area for each taxing entity; and
(b)
if a community reinvestment project area plan expires before the convention center 
reinvestment zone, the convention center reinvestment zone may capture the property 
tax increment allocated to the community reinvestment project area for any 
remaining portion of the term of the convention center reinvestment zone with the 
base year relating back to the base year established by the community reinvestment 
project area.
Section 44, Section 
63N-3-609
 is amended to read:
63N-3-609
Effective 
upon governor's approval
. Property tax increment 
protections.
(1)
Upon petition by a participating taxing entity or on the initiative of the housing and 
transit reinvestment zone committee creating a housing and transit reinvestment zone
 or 
convention center reinvestment zone
, a housing and transit reinvestment zone
 or 
convention center reinvestment zone
 may suspend or terminate the collection of 
property 
tax increment in a housing and transit reinvestment zone
 or convention center 
reinvestment zone
 if the housing and transit reinvestment zone committee determines, 
by clear and convincing evidence, presented in a public meeting of the housing and 
transit reinvestment zone committee, that:
(a)
a substantial portion of the 
property 
tax increment collected in the housing and transit 
reinvestment zone 
or convention center reinvestment zone 
has not or will not be used 
for the purposes provided in Section 
63N-3-607
; and
(b)
(i)
the housing and transit reinvestment zone
 or convention center reinvestment 
zone and related public infrastructure district
 has no indebtedness
 secured by 
funds provided for in this chapter
; or
(ii)
the housing and transit reinvestment zone 
or convention center reinvestment zone 
and related public infrastructure district 
has no binding financial obligations
secured by this chapter
.
(2)
A housing and transit reinvestment zone 
or convention center reinvestment zone 
may 
not collect 
property 
tax increment in excess of the 
property 
tax increment projections or 
limitations set forth in the housing and transit reinvestment
 zone or convention center 
reinvestment zone
 proposal.
(3)
The agency administering the 
property 
tax increment collected in a housing and transit 
reinvestment zone under Subsection 
63N-3-607(2)(c)
 or the public infrastructure district 
administering the property tax increment collected in a convention center reinvestment 
zone under Subsection 
63N-3-607(3)(c)
, shall have standing in a court with proper 
jurisdiction to enforce provisions of the housing and transit reinvestment zone 
or 
convention center reinvestment zone 
proposal, participation agreements, and other 
agreements for the use of the 
property 
tax increment collected.
(4)
The agency administering 
property 
tax increment from a housing and transit 
reinvestment zone under Subsection 
63N-3-607(2)(c)
 or the public infrastructure district 
administering the property tax increment collected in a convention center reinvestment 
zone under Subsection 
63N-3-607(3)(c)
 which is collecting 
property 
tax increment shall 
follow the reporting requirements described in Section 
17C-1-603
 and the audit 
requirements described in Sections 
17C-1-604
 and 
17C-1-605
.
(5)
For each housing and transit reinvestment zone
 or convention center reinvestment zone
collecting tax increment within a county, the county auditor shall follow the reporting 
requirement found in Section 
17C-1-606
.
Section 45, Section 
63N-3-610
 is amended to read:
63N-3-610
Effective 
upon governor's approval
. Sales and use tax increment in 
a housing and transit reinvestment zone.
(1)
A housing and transit reinvestment proposal shall, in consultation with the tax 
commission:
(a)
create a sales and use tax boundary as described in Subsection (2); and
(b)
establish a sales and use tax base year and collection period to calculate and transfer 
the state sales and use tax increment within the housing and transit reinvestment 
zone, which sales and use tax base year is established prospectively, 90 days after the 
date of the notice described in Subsection (4).
(2)
(a)
The municipality or public transit county, in consultation with the tax 
commission, shall establish a sales and use tax boundary that:
(i)
is based on state sales and use tax collection boundaries, which are determined 
using the ZIP Code as defined in Section 
59-12-102
, including the four digit 
delivery route extension; 
(ii)
follows as closely as reasonably practicable the boundary of the housing and 
transit reinvestment zone; and
(iii)
is one contiguous area that includes at least the entire boundary of the housing 
and transit reinvestment zone.
(b)
If a state sales and use tax boundary is 
bisected
intersected
 by the boundary of the 
housing and transit reinvestment zone, the housing and transit reinvestment zone may 
include the entire state sales and use tax boundary.
(c)
The municipality or public transit county shall include the sales and use tax boundary 
in the housing and transit reinvestment zone proposal as described in Section 
63N-3-604
.
(3)
(a)
Beginning the first day of 
the
a
 calendar quarter one year after the sales and use 
tax boundary for a housing and transit reinvestment zone is established, the tax 
commission shall, at least annually, transfer an amount equal to 15% of the sales and 
use tax increment within an established sales and use tax boundary into the Transit 
Transportation Investment Fund created in Section 
72-2-124
.
(b)
A municipality or public transit county may only propose one sales and use tax 
increment period
 and one sales and use tax base year
 for a housing and transit 
reinvestment zone established under this 
section
part
.
(4)
(a)
The establishment of a sales and use tax base year and the requirement described 
in Subsection (3) to transfer incremental sales tax revenue shall take effect:
(i)
on the first day of a calendar quarter; and
(ii)
after a 90-day waiting period, beginning on the date the commission receives 
notice from the municipality or public transit county meeting the requirements of 
Subsection (4)(b).
(b)
The notice described in Subsection (4)(a) shall include:
(i)
a statement that the housing and transit reinvestment zone will be established 
under this part;
(ii)
the approval date and effective date of the housing and transit reinvestment zone; 
and
(iii)
the definitions of the sales and use tax boundary and sales and use tax base year.
(5)
The State Tax Commission may retain and deposit an administrative charge in 
accordance with Section 
59-1-306
 from sales and use tax increment the State Tax 
Commission collects and administers under this section.
Section 46, Section 
63N-3-610.1
 is enacted to read:
63N-3-610.1
Effective 
upon governor's approval
. Sales and use tax increment 
in a convention center reinvestment zone.
(1)
A convention center revitalization zone proposal shall, in consultation with the State 
Tax Commission:
(a)
create a sales and use tax boundary as described in Subsection (2); and
(b)
establish a sales and use tax base year to calculate and transfer the sales and use tax 
increment within the convention center revitalization zone 90 days after the date of 
the notice described in Subsection (4).
(2)
(a)
The Governor's Office of Economic Opportunity, in consultation with the State 
Tax Commission, shall establish a sales and use tax boundary that:
(i)
is based on state sales and use tax collection boundaries, which are determined 
using the ZIP Code as defined in Section 
59-12-102
, including the four digit 
delivery route extension;
(ii)
follows as closely as reasonably practicable the boundary of the convention 
center revitalization zone; and
(iii)
is one contiguous area that includes at least the entire boundary of the convention 
center revitalization zone.
(b)
If a state sales and use tax boundary is intersected by the boundary of the convention 
center revitalization zone, the convention center revitalization zone may include the 
entire state sales and use tax boundary.
(c)
The Governor's Office of Economic Opportunity shall include the sales and use tax 
boundary in the convention center revitalization zone proposal as described in 
Section 
63N-3-603.1
.
(3)
(a)
For a convention center reinvestment zone that is not located in a capital city, 
beginning no sooner than January 1, 2026, and on the first day of a calendar quarter 
after the year set in the proposal and after the sales and use tax boundary for a 
convention center reinvestment zone is established, the State Tax Commission shall, 
at least annually, transfer an amount equal to 100% of the local sales and use tax 
increment within an established sales and use tax boundary to the relevant 
municipality or public infrastructure district.
(b)
For a convention center reinvestment zone that is located in a capital city, beginning 
no sooner than January 1, 2026, and on the first day of a calendar quarter after the 
year set in the proposal and after the sales and use tax boundary for a convention 
center reinvestment zone in a capital city is established, the State Tax Commission 
shall, at least annually, transfer an amount equal to 50% of the state sales and use tax 
increment and 100% of any local sales and use tax increment within an established 
sales and use tax boundary to the public infrastructure district created pursuant to 
Subsection 
63N-3-607(8)(b)
.
(4)
The Governor's Office of Economic Opportunity may only propose one sales and use 
tax increment period and one sales and use tax base year for a convention center 
revitalization zone established under this part.
(5)
(a)
The distribution of the sales and use tax increment shall begin:
(i)
on the first day of a calendar quarter;
(ii)
after a 90-day waiting period, beginning on the date the State Tax Commission 
receives notice from the Governor's Office of Economic Opportunity meeting the 
requirements of Subsection (5)(b); and
(iii)
no earlier than January 1, 2026 after the year set in the proposal of the approved 
convention center reinvestment zone.
(b)
The notice described in Subsection (5)(a) shall include:
(i)
a statement that the convention center revitalization zone will be established under 
this part;
(ii)
the approval date and effective date of the convention center revitalization zone; 
and
(iii)
the definitions of the sales and use tax boundary and sales and use tax base year.
(6)
The State Tax Commission may retain and deposit an administrative charge in 
accordance with Section 
59-1-306
 from sales and use tax revenues the State Tax 
Commission collects and administers under this section.
Section 47, Section 
63N-3-611
 is amended to read:
63N-3-611
Effective 
upon governor's approval
. Boundary adjustments.
If the relevant county assessor or county auditor adjusts parcel boundaries relevant to a 
housing and transit reinvestment zone
 or a convention center reinvestment zone
, the 
municipality administering the 
property 
tax increment collected in the housing and transit 
reinvestment zone
, or for a convention center reinvestment zone,
the Governor's Office of 
Economic Opportunity 
may make corresponding adjustments to the boundary of the housing 
and transit reinvestment zone.
Section 48, Section 
63N-3-1403
 is amended to read:
63N-3-1403
Effective 
upon governor's approval
. Allowable uses of funds.
(1)
A local government shall use any funds or revenue provided under Section 
59-12-402.5
within and for the direct benefit of the project area, and subject to the requirements of 
this section.
(2)
In addition to the requirements of Subsection (1), the allowable uses for the funds and 
revenue collected as authorized under this part are:
(a)
costs for, including debt service or the costs of bonds issued by the local government 
or state:
(i)
paid to or for the benefit of a project participant for the construction or remodel of 
a qualified stadium within the project area in accordance with Title 17C, Chapter 
1, Part 5, Agency Bonds, including the cost to issue and repay bonds and interest; 
and
(ii)
the construction, demolition, modification, or realignment of infrastructure or 
structures within the project area for the purpose of:
(A)
complementing a qualified stadium and its associated uses, including 
entertainment and recreational uses on land within the project area; and
(B)
improvement, demolition, modification, realignment, or restoration of areas 
within the project area for pedestrian and traffic flow, and for aesthetic, 
entertainment, recreational, and safety purposes;
(b)
infrastructure and roads, including state roads, within the project area;
(c)
traffic mitigation costs within the project area;
(d)
law enforcement or public security needs within the project area;
 and
(e)
land acquisition costs;
(f)
commercial development, housing development, and parking infrastructure within 
the project area; and
(e)
(g)
costs of the local government to create a project area or participation agreement 
and to administer the funds, which cost may not exceed 1% of the tax revenue 
collected under Section 
59-12-402.5
.
(3)
(a)
The amount of funds and revenue used for, or for the benefit of, the project 
participant shall be limited to a maximum dollar amount that shall be explicitly stated 
in the participation agreement.
(b)
A project participant may not receive the benefit of funds or revenue in an amount 
greater than the maximum dollar amount referred to in Subsection (3)(a).
Section 49, Section 
72-1-214
 is amended to read:
72-1-214
Effective 
upon governor's approval
. Department designated as state 
safety oversight agency for rail fixed guideway public transportation safety -- Powers and 
duties -- Rulemaking.
(1)
(a)
Except as provided in Subsection 
(1)(b)
, as used in this section, "fixed guideway" 
means the same as that term is defined in Section 
59-12-102
.
(b)
For purposes of this section, "fixed guideway" does not include a rail system subject 
to regulation by the Federal Railroad Administration.
(2)
The department is designated as the state safety oversight agency for rail fixed 
guideway public transportation safety in accordance with 49 U.S.C. Sec. 5329(e)(4).
(3)
As the state safety oversight agency, the department may, to the extent necessary to 
fulfill the department's obligations under federal law:
(a)
enter into and inspect the property of a fixed guideway rail system receiving federal 
funds without prior notice to the operator;
(b)
audit an operator of a fixed guideway rail system receiving federal funds for 
compliance with:
(i)
federal and state laws regarding the safety of the fixed guideway rail system; and
(ii)
a public transportation agency safety plan adopted by a specific operator in 
accordance with 49 U.S.C. Sec. 5329(d);
(c)
direct the operator of a fixed guideway rail system to correct a safety hazard by a 
specified date and time;
(d)
prevent the operation of all or part of a fixed guideway rail system that the 
department has determined to be unsafe;
(e)
audit, review, approve, and oversee an operator of a fixed guideway rail system 
receiving federal funds for compliance with a plan adopted by the operator in 
compliance with 49 U.S.C. Sec. 5329(d); and
(f)
enforce statutes, rules, regulations, and executive orders relating to the operation of a 
fixed guideway rail public transportation system in Utah.
(4)
The department shall, at least annually, provide a status report on the safety of the rail 
fixed guideway public transportation systems the department oversees to:
(a)
the Federal Transit Administration;
(b)
the governor; and
(c)
members of the board of any rail fixed guideway public transportation system that 
the department oversees in accordance with this section.
(5)
(a)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, 
the department shall make rules necessary to administer and enforce this section, 
including rules providing for the legal and financial independence of state safety 
oversight agency activities and functions.
(b)
The rules made in accordance with Subsection 
(5)(a)
 shall conform to the 
requirements of and regulations enacted in accordance with 49 U.S.C. Sec. 5329.
(6)
(a)
Notwithstanding any other agreement, a county, city, or town with fixed guideway 
rail transit service provided by a public transit district that is subject to safety 
oversight as provided in this section may request local option transit sales tax in 
accordance with Section 
59-12-2206
 and spend local option transit sales tax in the 
amount requested by the department to meet nonfederal match requirements for costs 
of safety oversight described in this section.
(b)
A county, city, or town that requests local option transit sales tax as described in 
Subsection 
(6)(a)
 shall transmit to the department all of the funds requested under 
Subsection 
(6)(a)
 and transmitted to the county, city, or town under Subsection 
59-12-2206(5)(b)
59-12-2206(6)(b)
.
(c)
A county, city, or town that requests local option transit sales tax as described in 
Subsection 
(6)(a)
 may not request more local option transit sales tax than is necessary 
to carry out the state safety oversight functions under this section and the amount 
shall only reflect a maximum of 20% nonfederal match requirement of eligible costs 
of state safety oversight.
Section 50, Section 
72-1-304
 is amended to read:
72-1-304
Effective 
upon governor's approval
. Written project prioritization 
process for new transportation capacity projects -- Rulemaking.
(1)
(a)
The Transportation Commission, in consultation with the department and the 
metropolitan planning organizations as defined in Section 
72-1-208.5
, shall develop a 
written prioritization process for the prioritization of:
(i)
new transportation capacity projects that are or will be part of the state highway 
system under Chapter 4, Part 1, State Highways;
(ii)
paved pedestrian or paved nonmotorized transportation projects described in 
Section 
72-2-124
;
(iii)
public transit projects that directly add capacity to the public transit systems 
within the state, not including facilities ancillary to the public transit system; and
(iv)
pedestrian or nonmotorized transportation projects that provide connection to a 
public transit system.
(b)
(i)
A local government or public transit district may nominate a project for 
prioritization in accordance with the process established by the commission in rule.
(ii)
If a local government or public transit district nominates a project for 
prioritization by the commission, the local government or public transit district 
shall provide data and evidence to show that:
(A)
the project will advance the purposes and goals described in Section 
72-1-211
;
(B)
for a public transit project, the local government or public transit district has 
an ongoing funding source for operations and maintenance of the proposed 
development; and
(C)
the local government or public transit district will provide the percentage of 
the costs for the project as required by Subsection 
72-2-124
(4)(a)(viii) or 
72-2-124
(9)(e).
(2)
The following shall be included in the written prioritization process under Subsection 
(1):
(a)
a description of how the strategic initiatives of the department adopted under Section 
72-1-211
 are advanced by the written prioritization process;
(b)
a definition of the type of projects to which the written prioritization process applies;
(c)
specification of a weighted criteria system that is used to rank proposed projects and 
how it will be used to determine which projects will be prioritized;
(d)
specification of the data that is necessary to apply the weighted ranking criteria; and
(e)
any other provisions the commission considers appropriate, which may include 
consideration of:
(i)
regional and statewide economic development impacts, including improved local 
access to:
(A)
employment;
(B)
educational facilities;
(C)
recreation;
(D)
commerce; and
(E)
residential areas, including moderate income housing as demonstrated in the 
local government's or public transit district's general plan pursuant to Section 
10-9a-403
 or 
17-27a-403
;
(ii)
the extent to which local land use plans relevant to a project support and 
accomplish the strategic initiatives adopted under Section 
72-1-211
; and
(iii)
any matching funds provided by a political subdivision or public transit district 
in addition to the percentage of costs required by Subsections 
72-2-124
(4)(a)(viii) 
and 
72-2-124
(9)(e).
(3)
(a)
When prioritizing a public transit project that increases capacity, the commission:
(i)
may give priority consideration to projects that are part of a transit-oriented 
development or transit-supportive development as defined in Section 
17B-2a-802
; 
and
(ii)
shall give priority consideration to projects that are within the boundaries of a 
housing and transit reinvestment zone created pursuant to Title 63N, Chapter 3, 
Part 6, Housing and Transit Reinvestment Zone Act.
(b)
When prioritizing a transportation project that increases capacity, the commission 
may give priority consideration to projects that are:
(i)
part of a transportation reinvestment zone created under Section 
11-13-227
 if:
(A)
the state is a participant in the transportation reinvestment zone; or
(B)
the commission finds that the transportation reinvestment zone provides a 
benefit to the state transportation system; or
(ii)
within the boundaries of a housing and transit reinvestment zone created pursuant 
to Title 63N, Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act.
(c)
If the department receives a notice of prioritization for a municipality as described in 
Subsection 
10-9a-408
(5)
Subsection 
10-9a-408(6)
, or a notice of prioritization for a 
county as described in 
Subsection 
17-27a-408
(5)
Subsection 
17-27a-408(6)
, the 
commission may give priority consideration to transportation projects that are within 
the boundaries of the municipality or the unincorporated areas of the county until the 
department receives notification from the Housing and Community Development 
Division within the Department of Workforce Services that the municipality or 
county no longer qualifies for prioritization under this Subsection (3)(c).
(4)
In developing the written prioritization process, the commission:
(a)
shall seek and consider public comment by holding public meetings at locations 
throughout the state; and
(b)
may not consider local matching dollars as provided under Section 
72-2-123
 unless 
the state provides an equal opportunity to raise local matching dollars for state 
highway improvements within each county.
(5)
In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the 
Transportation Commission, in consultation with the department, shall make rules 
establishing the written prioritization process under Subsection (1).
(6)
The commission shall submit the proposed rules under this section to a committee or 
task force designated by the Legislative Management Committee for review prior to 
taking final action on the proposed rules or any proposed amendment to the rules 
described in Subsection (5).
Section 51, Section 
72-17-105
 is amended to read:
72-17-105
Effective 
upon governor's approval
. Establishment of administrative 
fees -- Payment -- Expenditures.
(1)
The provisions in this section apply beginning on May 7, 2025.
(2)
The office shall annually determine a fee to be paid by each railroad that operated 
within the state and is subject to the jurisdiction of the office on a pro rata basis as 
described in Subsection (3).
(a)
The office and the department shall establish the annual fee to produce a total 
amount not less than the amount required to regulate railroads and carry out the 
duties described in this part.
(b)
The office shall use the revenue generated by the fees paid by each railroad for the 
investigation and enforcement activities of the office as authorized under this part.
(3)
(a)
For grade crossings inspections and services, the office shall establish and each 
railroad shall pay a fee based on:
(i)
as of January 1 of each year, the number of crossings the railroad operates within 
this state that cross a highway, whether at grade, by overhead structure, or 
subway; and
(ii)
the frequency of use of each crossing the railroad operates, including:
(A)
the frequency of train operation at the crossing; and
(B)
the frequency of highway traffic at the crossing.
(b)
For hazardous materials related inspections and services, the office shall establish 
and each railroad shall pay a fee based on the tonnage of hazardous materials 
transported in this state during a given year.
(c)
For motive power and equipment related inspections and services, the office shall 
establish and each railroad shall pay a fee based on the number of motive power units 
and other equipment units operated by the railroad in this state.
(d)
For track related inspections and services, the office shall establish and each railroad 
shall pay a fee based on the number of miles of track owned or operated by the 
railroad within this state.
(e)
For signal and train control inspections and services, as well as operating practices 
inspections and services, the office shall establish and each railroad shall pay a fee 
based on gross operating revenue of each railroad generated within this state.
(f)
(i)
For inspection services related to commuter rail, notwithstanding any other 
agreement, a county or municipality with commuter rail service provided by a 
public transit district may request local option transit sales tax in accordance with 
Section 
59-12-2206
 and spend local option transit sales tax in the amount 
requested by the office.
(ii)
A county or municipality that requests local option transit sales tax as described 
in Subsection (3)(f)(i) may transmit to the office the funds requested under 
Subsection (3)(f)(i) and transmitted to the county or municipality under 
Subsection 
59-12-2206
(5)(b)
59-12-2206(6)(b)
.
(iii)
A county or municipality that requests local option transit sales tax as described 
in Subsection (3)(f)(i) may not request more local option transit sales tax than is 
necessary to carry out the safety inspection and functions under this chapter.
(iv)
The office is not required to charge or collect a fee related to inspections of 
commuter rail.
(4)
(a)
In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, 
the department shall make rules to establish each of the fee amounts described in 
Subsection (3):
(i)
according to the data described in Subsection (3); and
(ii)
to collect an amount sufficient to cover the budget and costs to administer the 
duties of the office.
(b)
The department shall annually adjust the fees established in accordance with 
Subsection (4)(a) to account for inflation and other budgetary factors.
(5)
Each railroad that operates within this state shall pay to the office the fees described and 
established by the office.
Section 52, Section 
73-10-36
 is amended to read:
73-10-36
Effective 
upon governor's approval
. Division to provide technical 
assistance in local government planning.
(1)
As used in this section:
(a)
"Division" means the Division of Water Resources.
(b)
"General plan":
(i)
for a municipality, means the same as that term is defined in Section 
10-9a-103
; 
and
(ii)
for a county, means the same as that term is defined in Section 
17-27a-103
.
(c)
"Local government" means a county or a municipality, as defined in Section 
10-1-104
.
(d)
"Watershed council" means a council created under 
Chapter 10g, Part 3, Watershed 
Councils Act
.
(2)
The division shall provide technical assistance to a local government to support the 
local government's adoption of a water use and preservation element in a general plan.
(3)
When consulted by a local government for information and technical resources 
regarding regional water conservation goals under Subsection 
10-9a-403(2)(f)(vi)
 or 
17-27a-403(2)(f)(ii)
17-27a-403(2)(e)(ii)
, the division may seek input from the 
appropriate watershed council or councils.
Section 53. 
Effective Date.
(1)
Except as provided in Subsection (2), this bill takes effect:
(a)
except as provided in Subsection (1)(b), 
May 7, 2025
; or
(b)
if approved by two-thirds of all members elected to each house:
(i)
upon approval by the governor;
(ii)
without the governor's signature, the day following the constitutional time limit of 
Utah Constitution, Article VII, Section 8; or
(iii)
in the case of a veto, the date of veto override.
(2)
The actions affecting the following sections take effect on 
January 1, 2026
:
(a)
Section 
59-2-924.2
Effective 
01/01/26
; and
(b)
Section 59-2-924
Effective 
01/01/26
.
3-11-25 9:22 AM