Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 250 (2025GS)

Sponsor

Sen. Cullimore, Kirk A.

Final action

Governor Signed 3/26/2025

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• defines terms and modifies definitions;
• authorizes the Utah Inland Port Authority to provide general differential revenue from a project area to a non-profit housing fund to assist low-income individuals and families to achieve home ownership within a 15 mile radius of the project area that generated the general differential revenue;
• authorizes a community reinvestment agency to pay all or any portion of the agency's housing allocation to a nonprofit housing fund for use in assisting individuals or families within the community to achieve or retain homeownership;
• requires a participation agreement to have a provision authorizing an agency to use funding that would otherwise be provided to a participant under the participation agreement to pay a participant's delinquent property tax or privilege tax or resolve a political subdivision lien against the participant;
• requires an agency to confirm with the county that a participant is not delinquent on property tax or privilege tax or subject to a political subdivision lien before providing the participant with funding under a participation agreement;
• authorizes a county treasurer, in consultation with a community reinvestment agency, to use funding that would otherwise be distributed to a private participant under a participation agreement to resolve past-due property taxes, privilege taxes, or a political subdivision lien; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

21
11-58-602
17-24-4
17C-1-102
17C-1-202
17C-1-409
17C-1-412
17C-1-1001
0
Community Development Modifications
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Kirk A. Cullimore
House Sponsor: Bridger Bolinder
LONG TITLE
General Description:
This bill deals with the use of certain funding to promote home ownership and provisions 
related to community reinvestment agencies. 
Highlighted Provisions:
This bill:
defines terms and modifies definitions;
authorizes the Utah Inland Port Authority to provide general differential revenue from a 
project area to a non-profit housing fund to assist low-income individuals and families to 
achieve home ownership within a 15 mile radius of the project area that generated the 
general differential revenue;
authorizes a community reinvestment agency to pay all or any portion of the agency's 
housing allocation to a nonprofit housing fund for use in assisting individuals or families 
within the community to achieve or retain homeownership; 
requires a participation agreement to have a provision authorizing an agency to use 
funding that would otherwise be provided to a participant under the participation 
agreement to pay a participant's delinquent property tax or privilege tax or resolve a 
political subdivision lien against the participant;
requires an agency to confirm with the county that a participant is not delinquent on 
property tax or privilege tax or subject to a political subdivision lien before providing 
the participant with funding under a participation agreement;
authorizes a county treasurer, in consultation with a community reinvestment agency, to 
use funding that would otherwise be distributed to a private participant under a 
participation agreement to resolve past-due property taxes, privilege taxes, or a political 
subdivision lien; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
11-58-602
, as last amended by Laws of Utah 2024, Chapter 535
17-24-4
, as last amended by Laws of Utah 2012, Chapter 17
17C-1-102
, as last amended by Laws of Utah 2024, Chapter 158
17C-1-202
, as last amended by Laws of Utah 2024, Chapter 316
17C-1-409
, as last amended by Laws of Utah 2023, Chapters 15, 471 and 492
17C-1-412
, as last amended by Laws of Utah 2024, Chapter 413
17C-1-1001
, as enacted by Laws of Utah 2021, Chapter 214
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 
11-58-602
 is amended to read:
11-58-602
. Allowable uses of property tax differential and other funds.
(1)
(a)
The authority may use money from property tax differential, money the authority 
receives from the state, money the authority receives under Subsection 
59-12-205
(2)(a)(ii)(C), and other money available to the authority:
(i)
for any purpose authorized under this chapter;
(ii)
for administrative, overhead, legal, consulting, and other operating expenses of 
the authority;
(iii)
to pay for, including financing or refinancing, all or part of the development of 
land within a project area, including assisting the ongoing operation of a 
development or facility within the project area;
(iv)
to pay the cost of the installation and construction of public infrastructure and 
improvements within the project area from which the property tax differential 
funds were collected;
(v)
to pay the cost of the installation of public infrastructure and improvements 
outside a project area if the board determines by resolution that the infrastructure 
and improvements are of benefit to the project area;
(vi)
to pay to a community reinvestment agency for affordable housing, as provided 
in Subsection 
11-58-606
(2);
(vii)
to pay the principal and interest on bonds issued by the authority;
(viii)
to pay the cost of acquiring a conservation easement on land that is part of or 
adjacent to authority jurisdictional land:
(A)
for the perpetual preservation of the land from development; and
(B)
to provide a buffer area between authority jurisdictional land intended for 
development and land outside the boundary of the authority jurisdictional land; 
and
(ix)
subject to Subsection (1)(b), to encourage, incentivize, or require development 
that:
(A)
mitigates noise, air pollution, light pollution, surface and groundwater 
pollution, and other negative environmental impacts;
(B)
mitigates traffic congestion; or
(C)
uses high efficiency building construction and operation.
(b)
(i)
(A)
The authority shall establish minimum mitigation and environmental 
standards that a landowner is required to meet to qualify for the use of property 
tax differential under Subsection (1)(a)(ix) in the landowner's development.
(B)
Minimum mitigation and environmental standards established under 
Subsection (1)(b)(i)(A) shall include a standard prohibiting the use of property 
tax differential as a business recruitment incentive, as defined in Section 
11-58-603
, for new commercial or industrial development or an expansion of 
existing commercial or industrial development within the authority 
jurisdictional land if the new or expanded development will consume on an 
annual basis more than 200,000 gallons of potable water per day.
(ii)
In establishing minimum mitigation and environmental standards, the authority 
shall consult with:
(A)
the municipality in which the development is expected to occur, for 
development expected to occur within a municipality; or
(B)
the county in whose unincorporated area the development is expected to 
occur, for development expected to occur within the unincorporated area of a 
county.
(iii)
The authority may not use property tax differential under Subsection (1)(a)(viii) 
for a landowner's development in a project area unless the minimum mitigation 
and environmental standards are followed with respect to that landowner's 
development.
(2)
The authority may use revenue generated from the operation of public infrastructure 
operated by the authority or improvements, including an intermodal facility, operated by 
the authority to:
(a)
operate and maintain the infrastructure or improvements; and
(b)
pay for authority operating expenses, including administrative, overhead, and legal 
expenses.
(3)
The determination of the board under Subsection (1)(a)(v) regarding benefit to the 
project area is final.
(4)
The authority may not use property tax differential revenue collected from one project 
area for a development project within another project area.
(5)
(a)
The authority may use up to 10% of the general differential revenue generated 
from a project area to pay for affordable housing within or near the project area.
(b)
In using general differential revenue described in Subsection 
(5)(a)
, the authority 
may provide general differential revenue generated from a project area to a non-profit 
housing fund, as defined in Section 
17C-1-102
:
(i)
for that non-profit housing fund to assist low-income individuals and families who 
would qualify for income targeted housing to achieve homeownership, or retain 
homeownership, within a 15 mile radius of the project area that generated the 
general differential revenue, in accordance with the mission of the non-profit 
housing fund; and
(ii)
pursuant to an agreement between the non-profit housing fund and the authority 
governing appropriate uses of general differential revenue.
(6)
The authority may share general differential funds with a taxing entity that levies a 
property tax on land within the project area from which the general differential is 
generated.
Section 2, Section 
17-24-4
 is amended to read:
17-24-4
. Payment of warrants, checks, or other instruments.
(1)
When 
Except as provided in Subsection 
(3)
, when 
a warrant is presented for payment 
and there is money in the treasury, the treasurer shall pay it.
(2)
Upon receiving the notice from the county auditor under Section 
17-19a-301
 and if 
there is adequate money in the treasury, the treasurer shall, by check or other payment 
mechanism, make any payment not already paid by warrant.
(3)
Notwithstanding Subsections 
(1)
 and 
(2)
, the treasurer has no obligation to pay any 
warrant or to issue any check or other payment instrument before receiving the certified 
list under Subsection 
17-20-1.7(4)
.
(4)
Before providing certain funding to a community reinvestment agency created under 
Title 17C, Limited Purpose Local Government Entities - Community Reinvestment 
Agency Act, a treasurer shall consult with the community reinvestment agency as 
described in Section 
17C-1-409
.
Section 3, Section 
17C-1-102
 is amended to read:
17C-1-102
. Definitions.
As used in this title:
(1)
"Active project area" means a project area that has not been dissolved in accordance 
with Section 
17C-1-702
.
(2)
"Adjusted tax increment" means 
the percentage of tax increment, if less than 100%, 
that an agency is authorized to receive:
(a)
for a pre-July 1, 1993, project area plan, under Section 
17C-1-403
, excluding tax 
increment under Subsection 
17C-1-403
(3);
(b)
for a post-June 30, 1993, project area plan, under Section 
17C-1-404
, excluding tax 
increment under Section 
17C-1-406
;
(c)
under a project area budget approved by a taxing entity committee; or
(d)
under an interlocal agreement that authorizes the agency to receive a taxing entity's 
tax increment.
(3)
"Affordable housing" means housing owned or occupied by a low or moderate income 
family, as determined by resolution of the agency.
(4)
"Agency" or "community reinvestment agency" means a separate body corporate and 
politic, created under Section 
17C-1-201.5
 or as a redevelopment agency or community 
development and renewal agency under previous law:
(a)
that is a political subdivision of the state;
(b)
that is created to undertake or promote project area development as provided in this 
title; and
(c)
whose geographic boundaries are coterminous with:
(i)
for an agency created by a county, the unincorporated area of the county; and
(ii)
for an agency created by a municipality, the boundaries of the municipality.
(5)
"Agency funds" means money that an agency collects or receives for agency operations, 
implementing a project area plan or an implementation plan as defined in Section 
17C-1-1001
, or other agency purposes, including:
(a)
project area funds;
(b)
income, proceeds, revenue, or property derived from or held in connection with the 
agency's undertaking and implementation of project area development or 
agency-wide project development as defined in Section 
17C-1-1001
;
(c)
a contribution, loan, grant, or other financial assistance from any public or private 
source;
(d)
project area incremental revenue as defined in Section 
17C-1-1001
; or
(e)
property tax revenue as defined in Section 
17C-1-1001
.
(6)
"Annual income" means the same as that term is defined in regulations of the United 
States Department of Housing and Urban Development, 24 C.F.R. Sec. 5.609, as 
amended or as superseded by replacement regulations.
(7)
"Assessment roll" means the same as that term is defined in Section 
59-2-102
.
(8)
"Base taxable value" means, unless otherwise adjusted in accordance with provisions of 
this title, a property's taxable value as shown upon the assessment roll last equalized 
during the base year.
(9)
"Base year" means, except as provided in Subsection 
17C-1-402
(4)(c), the year during 
which the assessment roll is last equalized:
(a)
for a pre-July 1, 1993, urban renewal or economic development project area plan, 
before the project area plan's effective date;
(b)
for a post-June 30, 1993, urban renewal or economic development project area plan, 
or a community reinvestment project area plan that is subject to a taxing entity 
committee:
(i)
before the date on which the taxing entity committee approves the project area 
budget; or
(ii)
if taxing entity committee approval is not required for the project area budget, 
before the date on which the community legislative body adopts the project area 
plan;
(c)
for a project on an inactive airport site, after the later of:
(i)
the date on which the inactive airport site is sold for remediation and 
development; or
(ii)
the date on which the airport that operated on the inactive airport site ceased 
operations; or
(d)
for a community development project area plan or a community reinvestment project 
area plan that is subject to an interlocal agreement, as described in the interlocal 
agreement.
(10)
"Basic levy" means the portion of a school district's tax levy constituting the minimum 
basic levy under Section 
59-2-902
.
(11)
"Board" means the governing body of an agency, as described in Section 
17C-1-203
.
(12)
"Budget hearing" means the public hearing on a proposed project area budget required 
under Subsection 
17C-2-201
(2)(d) for an urban renewal project area budget, Subsection 
17C-3-201
(2)(d) for an economic development project area budget, or Subsection 
17C-5-302
(2)(e) for a community reinvestment project area budget.
(13)
"Closed military base" means land within a former military base that the Defense Base 
Closure and Realignment Commission has voted to close or realign when that action has 
been sustained by the president of the United States and Congress.
(14)
"Combined incremental value" means the combined total of all incremental values 
from all project areas, except project areas that contain some or all of a military 
installation or inactive industrial site, within the agency's boundaries under project area 
plans and project area budgets at the time that a project area budget for a new project 
area is being considered.
(15)
"Community" means a county or municipality.
(16)
"Community development project area plan" means a project area plan adopted under 
Chapter 4, Part 1, Community Development Project Area Plan.
(17)
"Community legislative body" means the legislative body of the community that 
created the agency.
(18)
"Community reinvestment project area plan" means a project area plan adopted under 
Chapter 5, Part 1, Community Reinvestment Project Area Plan.
(19)
"Contest" means to file a written complaint in a court with jurisdiction under Title 
78A, Judiciary and Judicial Administration, and in a county in which the agency is 
located if the action is filed in the district court.
(20)
"Development impediment" means a condition of an area that meets the requirements 
described in Section 
17C-2-303
 for an urban renewal project area or Section 
17C-5-405
for a community reinvestment project area.
(21)
"Development impediment hearing" means a public hearing regarding whether a 
development impediment exists within a proposed:
(a)
urban renewal project area under Subsection 
17C-2-102
(1)(a)(i)(C) and Section 
17C-2-302
; or
(b)
community reinvestment project area under Section 
17C-5-404
.
(22)
"Development impediment study" means a study to determine whether a development 
impediment exists within a survey area as described in Section 
17C-2-301
 for an urban 
renewal project area or Section 
17C-5-403
 for a community reinvestment project area.
(23)
"Economic development project area plan" means a project area plan adopted under 
Chapter 3, Part 1, Economic Development Project Area Plan.
(24)
"Fair share ratio" means the ratio derived by:
(a)
for a municipality, comparing the percentage of all housing units within the 
municipality that are publicly subsidized income targeted housing units to the 
percentage of all housing units within the county in which the municipality is located 
that are publicly subsidized income targeted housing units; or
(b)
for the unincorporated part of a county, comparing the percentage of all housing 
units within the unincorporated county that are publicly subsidized income targeted 
housing units to the percentage of all housing units within the whole county that are 
publicly subsidized income targeted housing units.
(25)
"Family" means the same as that term is defined in regulations of the United States 
Department of Housing and Urban Development, 24 C.F.R. Section 5.403, as amended 
or as superseded by replacement regulations.
(26)
"Greenfield" means land not developed beyond agricultural, range, or forestry use.
(27)
"Hazardous waste" means any substance defined, regulated, or listed as a hazardous 
substance, hazardous material, hazardous waste, toxic waste, pollutant, contaminant, or 
toxic substance, or identified as hazardous to human health or the environment, under 
state or federal law or regulation.
(28)
"Housing allocation" means project area funds allocated for housing under Section 
17C-2-203
, 
17C-3-202
, or 
17C-5-307
 for the purposes described in Section 
17C-1-412
.
(29)
"Housing fund" means a fund created by an agency for purposes described in Section 
17C-1-411
 or 
17C-1-412
 that is comprised of:
(a)
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
 allocated for the purposes 
described in Section 
17C-1-411
; or
(b)
an agency's housing allocation.
(30)
(a)
"Inactive airport site" means land that:
(i)
consists of at least 100 acres;
(ii)
is occupied by an airport:
(A)
(I)
that is no longer in operation as an airport; or
(II)
(Aa)
that is scheduled to be decommissioned; and
(Bb)
for which a replacement commercial service airport is under 
construction; and
(B)
that is owned or was formerly owned and operated by a public entity; and
(iii)
requires remediation because:
(A)
of the presence of hazardous waste or solid waste; or
(B)
the site lacks sufficient public infrastructure and facilities, including public 
roads, electric service, water system, and sewer system, needed to support 
development of the site.
(b)
"Inactive airport site" includes a perimeter of up to 2,500 feet around the land 
described in Subsection (30)(a).
(31)
(a)
"Inactive industrial site" means land that:
(i)
consists of at least 1,000 acres;
(ii)
is occupied by an inactive or abandoned factory, smelter, or other heavy industrial 
facility; and
(iii)
requires remediation because of the presence of hazardous waste or solid waste.
(b)
"Inactive industrial site" includes a perimeter of up to 1,500 feet around the land 
described in Subsection (31)(a).
(32)
"Income targeted housing" means housing that is:
(a)
owned and occupied by a family whose annual income is at or below 120% of the 
median annual income for a family within the county in which the housing is located; 
or
(b)
occupied by a family whose annual income is at or below 80% of the median annual 
income for a family within the county in which the housing is located.
(33)
"Incremental value" means a figure derived by multiplying the marginal value of the 
property located within a project area on which tax increment is collected by a number 
that represents the adjusted tax increment from that project area that is paid to the 
agency.
(34)
"Loan fund board" means the Olene Walker Housing Loan Fund Board, established 
under Title 35A, Chapter 8, Part 5, Olene Walker Housing Loan Fund.
(35)
(a)
" Local government building" means a building owned and operated by a 
community for the primary purpose of providing one or more primary community 
functions, including:
(i)
a fire station;
(ii)
a police station;
(iii)
a city hall; or
(iv)
a court or other judicial building.
(b)
" Local government building" does not include a building the primary purpose of 
which is cultural or recreational in nature.
(36)
"Low-income individual" means the same as that term is defined in Section 
35A-8-504.5
.
(37)
"Major transit investment corridor" means the same as that term is defined in Section 
10-9a-103
.
(37)
(38)
"Marginal value" means the difference between actual taxable value and base 
taxable value.
(38)
(39)
"Military installation project area" means a project area or a portion of a project 
area located within a federal military installation ordered closed by the federal Defense 
Base Realignment and Closure Commission.
(39)
(40)
"Municipality" means a city
or town.
(41)
"Non-profit housing fund" means:
(a)
an organization that meets the definition of "housing organization" in Section 
35A-8-2401
;
(b)
a registered nonprofit that assists veterans or individuals who work in public service 
to achieve homeownership in the state;
(c)
a registered nonprofit that:
(i)
assists low-income individuals or families who would qualify for income targeted 
housing to achieve homeownership in the state; and
(ii)
provides direct support to help a low-income individual or a family eligible for 
income targeted housing to retain ownership of a home, including through 
rehabilitation services, lending for rehabilitation, or foreclosure mitigation 
counseling that results in retention of the home, refinancing, or a reverse mortgage;
(d)
a registered nonprofit that partners with a community to promote affordable housing 
for the workforce in that community; or
(e)
a registered nonprofit established to administer housing programs on behalf of an 
association representing 10 or more counties in the state.
(40)
(42)
"Participant" means one or more persons that enter into a participation agreement 
with an agency.
(41)
(43)
"Participation agreement" means a written agreement between a person and an 
agency under Subsection 
17C-1-202(5)
.
(42)
(44)
"Plan hearing" means the public hearing on a proposed project area plan required 
under Subsection 
17C-2-102
(1)(a)(vi) for an urban renewal project area plan, Subsection 
17C-3-102
(1)(d) for an economic development project area plan, Subsection 
17C-4-102
(1)(d) for a community development project area plan, or Subsection 
17C-5-104
(3)(e) 
for a community reinvestment project area plan.
(43)
(45)
"Post-June 30, 1993, project area plan" means a project area plan adopted on or 
after July 1, 1993, and before May 10, 2016, whether or not amended subsequent to the 
project area plan's adoption.
(44)
(46)
"Pre-July 1, 1993, project area plan" means a project area plan adopted before 
July 1, 1993, whether or not amended subsequent to the project area plan's adoption.
(45)
(47)
"Private," with respect to real property, means property not owned by a public 
entity or any other governmental entity.
(46)
(48)
"Project area" means the geographic area described in a project area plan within 
which the project area development described in the project area plan takes place or is 
proposed to take place.
(47)
(49)
"Project area budget" means a multiyear projection of annual or cumulative 
revenues and expenses and other fiscal matters pertaining to a project area prepared in 
accordance with:
(a)
for an urban renewal project area, Section 
17C-2-201
;
(b)
for an economic development project area, Section 
17C-3-201
;
(c)
for a community development project area, Section 
17C-4-204
; or
(d)
for a community reinvestment project area, Section 
17C-5-302
.
(48)
(50)
"Project area development" means activity within a project area that, as 
determined by the board, encourages, promotes, or provides development or 
redevelopment for the purpose of implementing a project area plan, including:
(a)
promoting, creating, or retaining public or private jobs within the state or a 
community;
(b)
providing office, manufacturing, warehousing, distribution, parking, or other 
facilities or improvements;
(c)
planning, designing, demolishing, clearing, constructing, rehabilitating, or 
remediating environmental issues;
(d)
providing residential, commercial, industrial, public, or other structures or spaces, 
including recreational and other facilities incidental or appurtenant to the structures 
or spaces;
(e)
altering, improving, modernizing, demolishing, reconstructing, or rehabilitating 
existing structures;
(f)
providing open space, including streets or other public grounds or space around 
buildings;
(g)
providing public or private buildings, infrastructure, structures, or improvements;
(h)
relocating a business;
(i)
improving public or private recreation areas or other public grounds;
(j)
eliminating a development impediment or the causes of a development impediment;
(k)
redevelopment as defined under the law in effect before May 1, 2006; or
(l)
any activity described in this Subsection 
(48)
(50)
 outside of a project area that the 
board determines to be a benefit to the project area.
(49)
(51)
"Project area funds" means tax increment or sales and use tax revenue that an 
agency receives under a project area budget adopted by a taxing entity committee or an 
interlocal agreement.
(50)
(52)
"Project area funds collection period" means the period of time that:
(a)
begins the day on which the first payment of project area funds is distributed to an 
agency under a project area budget approved by a taxing entity committee or an 
interlocal agreement; and
(b)
ends the day on which the last payment of project area funds is distributed to an 
agency under a project area budget approved by a taxing entity committee or an 
interlocal agreement.
(51)
(53)
"Project area plan" means an urban renewal project area plan, an economic 
development project area plan, a community development project area plan, or a 
community reinvestment project area plan that, after the project area plan's effective 
date, guides and controls the project area development.
(52)
(54)
(a)
"Property tax" means each levy on an ad valorem basis on tangible or 
intangible personal or real property.
(b)
"Property tax" includes a privilege tax imposed under Title 59, Chapter 4, Privilege 
Tax.
(53)
(55)
"Public entity" means:
(a)
the United States, including an agency of the United States;
(b)
the state, including any of the state's departments or agencies; or
(c)
a political subdivision of the state, including a county, municipality, school district, 
special district, special service district, community reinvestment agency, or interlocal 
cooperation entity.
(54)
(56)
"Publicly owned infrastructure and improvements" means water, sewer, storm 
drainage, electrical, natural gas, telecommunication, or other similar systems and lines, 
streets, roads, curb, gutter, sidewalk, walkways, parking facilities, public transportation 
facilities, or other facilities, infrastructure, and improvements benefitting the public and 
to be publicly owned or publicly maintained or operated.
(55)
(57)
"Record property owner" or "record owner of property" means the owner of real 
property, as shown on the records of the county in which the property is located, to 
whom the property's tax notice is sent.
(56)
(58)
"Sales and use tax revenue" means revenue that is:
(a)
generated from a tax imposed under Title 59, Chapter 12, Sales and Use Tax Act; and
(b)
distributed to a taxing entity in accordance with Sections 
59-12-204
 and 
59-12-205
.
(57)
(59)
"Superfund site":
(a)
means an area included in the National Priorities List under the Comprehensive 
Environmental Response, Compensation, and Liability Act of 1980, 42 U.S.C. Sec. 
9605; and
(b)
includes an area formerly included in the National Priorities List, as described in 
Subsection 
(57)(a)
(59)(a)
, but removed from the list following remediation that 
leaves on site the waste that caused the area to be included in the National Priorities 
List.
(58)
(60)
"Survey area" means a geographic area designated for study by a survey area 
resolution to determine whether:
(a)
one or more project areas within the survey area are feasible; or
(b)
a development impediment exists within the survey area.
(59)
(61)
"Survey area resolution" means a resolution adopted by a board that designates a 
survey area.
(60)
(62)
"Taxable value" means:
(a)
the taxable value of all real property a county assessor assesses in accordance with 
Title 59, Chapter 2, Part 3, County Assessment, for the current year;
(b)
the taxable value of all real and personal property the commission assesses in 
accordance with Title 59, Chapter 2, Part 2, Assessment of Property, for the current 
year; and
(c)
the year end taxable value of all personal property a county assessor assesses in 
accordance with Title 59, Chapter 2, Part 3, County Assessment, contained on the 
prior year's tax rolls of the taxing entity.
(61)
(63)
(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 project area designated in the project area plan as the area from 
which tax increment is to be collected, using the current assessed value of the 
property 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 of the property and each taxing entity's current 
certified tax rate as defined in Section 
59-2-924
.
(b)
"Tax increment" does not include taxes levied and collected under Section 
59-2-1602
on or after January 1, 1994, upon the taxable property in the project area unless:
(i)
the project area plan was adopted before May 4, 1993, whether or not the project 
area plan was subsequently amended; and
(ii)
the taxes were pledged to support bond indebtedness or other contractual 
obligations of the agency.
(62)
(64)
"Taxing entity" means a public entity that:
(a)
levies a tax on property located within a project area; or
(b)
imposes a sales and use tax under Title 59, Chapter 12, Sales and Use Tax Act.
(63)
(65)
"Taxing entity committee" means a committee representing the interests of 
taxing entities, created in accordance with Section 
17C-1-402
.
(64)
(66)
"Unincorporated" means not within a municipality.
(65)
(67)
"Urban renewal project area plan" means a project area plan adopted under 
Chapter 2, Part 1, Urban Renewal Project Area Plan.
(68)
"Veteran" means the same as that term is defined in Section 
68-3-12.5
.
Section 4, Section 
17C-1-202
 is amended to read:
17C-1-202
. Agency powers.
(1)
An agency may:
(a)
sue and be sued;
(b)
enter into contracts generally;
(c)
buy, obtain an option upon, acquire by gift, or otherwise acquire any interest in real 
or personal property;
(d)
hold, sell, convey, grant, gift, or otherwise dispose of any interest in real or personal 
property;
(e)
own, hold, maintain, utilize, manage, or operate real or personal property, which may 
include the use of agency funds or the collection of revenue;
(f)
enter into a lease agreement on real or personal property, either as lessee or lessor;
(g)
provide for project area development as provided in this title;
(h)
receive and use agency funds as provided in this title;
(i)
if disposing of or leasing land, retain controls or establish restrictions and covenants 
running with the land consistent with the project area plan;
(j)
accept financial or other assistance from any public or private source for the agency's 
activities, powers, and duties, and expend any funds the agency receives for any 
purpose described in this title;
(k)
borrow money or accept financial or other assistance from a public entity or any 
other source for any of the purposes of this title and comply with any conditions of 
any loan or assistance;
(l)
issue bonds to finance the undertaking of any project area development or for any of 
the agency's other purposes, including:
(i)
reimbursing an advance made by the agency or by a public entity to the agency;
(ii)
refunding bonds to pay or retire bonds previously issued by the agency; and
(iii)
refunding bonds to pay or retire bonds previously issued by the community that 
created the agency for expenses associated with project area development;
(m)
pay an impact fee, exaction, or other fee imposed by a community in connection 
with land development;
(n)
subject to Part 10, Agency Taxing Authority, levy a property tax; or
(o)
transact other business and exercise all other powers described in this title.
(2)
The establishment of controls or restrictions and covenants under Subsection (1)(i) is a 
public purpose.
(3)
An agency may acquire real property under Subsection (1)(c) that is outside a project 
area only if the board determines that the property will benefit a project area.
(4)
An agency is not subject to Section 
10-8-2
 or 
17-50-312
.
(5)
(a)
An agency may, subject to Subsection (5)(c), enter into 
an
a participation
agreement with a person to govern the development the person will undertake within 
a project area.
(b)
An 
A participation 
agreement under Subsection (5)(a) shall include a description of:
(i)
the project area development that the person will undertake;
(ii)
the amount of project area funds the agency agrees to pay to the person to 
facilitate the development; and
(iii)
the terms and conditions under which the agency agrees to pay project area funds 
to the person.
(c)
(i)
An 
A participation 
agreement under Subsection (5)(a) is subject to board 
approval by resolution of the board.
(ii)
A resolution under Subsection (5)(c)(i) shall include a finding by the board 
describing how the project area development described in the
 participation
agreement will contribute to achieving the goals, policies, and purposes of the 
project area plan.
(d)
(i)
Beginning on May 7, 2025, any participation agreement under this Subsection 
(5)
 shall include a provision authorizing the agency, directly or through the county 
in which the agency operates, to use funding that would otherwise be provided to 
the participant to pay a participant's delinquent property tax or privilege tax or 
resolve a political subdivision lien against the participant, as described in 
Subsection 
17C-1-409(6)
.
(ii)
An agency that has entered into a participation agreement before May 7, 2025, 
shall, as soon as reasonably practical, enter into an amendment to the participation 
agreement with a participant to include a provision authorizing the agency to use 
funding that would otherwise be provided to the participant to pay a participant's 
delinquent property tax or privilege tax or resolve a political subdivision lien 
against the participant, as described in Subsection 
17C-1-409(6)
.
Section 5, Section 
17C-1-409
 is amended to read:
17C-1-409
. 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
, subject to Subsection 
(6)
;
(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)
.
(6)
(a)
Before providing tax increment funding to a private participant pursuant to a 
participation agreement, an agency shall consult with the county treasurer of the 
county in which the agency operates to determine if:
(i)
the private participant is delinquent on property tax;
(ii)
the private participant is delinquent on privilege tax; or
(iii)
the private participant is subject to a political subdivision lien for past due fees or 
charges.
(b)
If the county treasurer, in consultation with the agency, determines a participant is 
delinquent on property tax or privilege tax or subject to a political subdivision lien, 
the agency shall confirm whether the participation agreement between the agency and 
private participant includes a provision described in Subsection 
17C-1-202(5)(d)
.
(c)
If authorized by the agency pursuant to a participation agreement, the county 
treasurer of the county in which the agency operates may provide tax increment 
funding that would otherwise be provided directly to the agency to provide to the 
private participant to:
(i)
the county, in the amount the private entity is delinquent for property tax or 
privilege tax; and
(ii)
the political subdivision holding the political subdivision lien, in the amount 
necessary to resolve the political subdivision lien.
Section 6, Section 
17C-1-412
 is amended to read:
17C-1-412
. 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
boundary of the agency
 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
.
; or
(viii)
a non-profit housing fund, for use in assisting individuals or families within the 
community to achieve homeownership or retain homeownership, in accordance 
with:
(A)
the mission of the non-profit housing fund; and
(B)
a written agreement between the non-profit housing fund and the agency, 
governing appropriate uses of housing allocation funds.
(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).
(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 
17C-1-1001
 is amended to read:
17C-1-1001
. Definitions.
As used in this part:
(1)
(a)
"Agency-wide project development" means activity within the agency's 
boundaries that, as determined by the board, encourages, promotes, or provides 
development or redevelopment for the purpose of achieving the results described in 
an implementation plan, including affordable housing.
(b)
"Agency-wide project development" does not include project area development 
under a project area plan.
(2)
"Certified tax rate" means the same as that term is defined in Section 
59-2-924
.
(3)
"Cooperative development project" means project area development with impacts that 
extend beyond an agency's geographic boundaries to the benefit of two or more 
communities.
(4)
"Economic development project" means project area development for the purpose of:
(a)
creating, developing, attracting, and retaining business;
(b)
creating or preserving jobs;
(c)
stimulating business and economic activity; or
(d)
providing a local incentive as required by the Governor's Office of Economic 
Opportunity under 
Title 63N, Economic Opportunity Act
.
(5)
"Eligible taxing entity" means a taxing entity that:
(a)
is a municipality, a county, or a school district; and
(b)
contains an agency partially or completely within the taxing entity's geographic 
boundaries.
(6)
"Final tax rate" means:
(a)
the certified rate; or
(b)
if the agency adopts a rate that is different than the certified rate, the rate the agency 
adopts in accordance with the provisions of Title 59, Chapter 2, Part 9, Levies.
(6)
(7)
"Implementation plan" means a plan adopted in accordance with Section 
17C-1-1004
 that:
(a)
describes how the agency uses property tax revenue; and
(b)
guides and controls agency-wide project development.
(7)
(8)
"Project area incremental revenue" means the amount of revenue generated by the 
incremental value that a taxing entity receives after a project area funds collection period 
ends.
(8)
(9)
"Property tax revenue" means the amount of revenue generated by an agency from 
the property within the agency using the current taxable value of the property and the 
agency's 
certified
final
 tax rate.
Section 8. 
Effective Date.
This bill takes effect on 
May 7, 2025
.
3-13-25 2:59 PM