Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 261 (2025GS)

Sponsor

Sen. Brammer, Brady

Final action

Governor Signed 3/25/2025

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• requires the Office of the Legislative Fiscal Analyst (office) to analyze a county's written report on the county's use of transient room tax revenue and tourism, recreation, cultural, convention, and airport facilities tax revenue and make a determination;
• requires the office to provide a summary of the office's analysis to the Revenue and Taxation and Political Subdivisions Interim committees and the state auditor;
• requires the state auditor to review the office's determination that a county's written report does not sufficiently demonstrate the county is complying with statutory requirements for a transient room tax or a tourism, recreation, cultural, convention, and airport facilities tax and make an independent finding;
• if the state auditor finds the county's written report does not sufficiently demonstrate the county is complying with statutory requirements for a transient room tax or a tourism, recreation, cultural, convention, and airport facilities tax, allows the state auditor to withhold funds generated by a transient room tax or a tourism, recreation, cultural, convention, and airport facilities tax from the county until the county complies with county report requirements; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

5
17-31-5.5
51-2a-401
0
Tourism Related Tax Reporting Amendments
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Brady Brammer
House Sponsor: Bridger Bolinder
LONG TITLE
General Description:
This bill deals with reporting requirements for a county that imposes a transient room tax or 
a tourism, recreation, cultural, convention, and airport facilities tax.
Highlighted Provisions:
This bill:
requires the Office of the Legislative Fiscal Analyst (office) to analyze a county's written 
report on the county's use of transient room tax revenue and tourism, recreation, cultural, 
convention, and airport facilities tax revenue and make a determination;
requires the office to provide a summary of the office's analysis to the Revenue and 
Taxation and Political Subdivisions Interim committees and the state auditor;
requires the state auditor to review the office's determination that a county's written report 
does not sufficiently demonstrate the county is complying with statutory requirements 
for a transient room tax or a tourism, recreation, cultural, convention, and airport 
facilities tax and make an independent finding; 
if the state auditor finds the county's written report does not sufficiently demonstrate the 
county is complying with statutory requirements for a transient room tax or a tourism, 
recreation, cultural, convention, and airport facilities tax, allows the state auditor to 
withhold funds generated by a transient room tax or a tourism, recreation, cultural, 
convention, and airport facilities tax from the county until the county complies with 
county report requirements; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
17-31-5.5
, as last amended by Laws of Utah 2023, Chapter 479
51-2a-401
, as last amended by Laws of Utah 2024, Chapter 158
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 
17-31-5.5
 is amended to read:
17-31-5.5
. Report by county legislative body -- Content.
(1)
The legislative body of each county that imposes a transient room tax under Section 
59-12-301
 or a tourism, recreation, cultural, convention, and airport facilities tax under 
Section 
59-12-603
 shall prepare annually a written report in accordance with Subsection 
(2)
.
(2)
The 
written 
report described in Subsection 
(1)
 shall include a breakdown of 
expenditures into the following categories:
(a)
for the transient room tax, identification of expenditures for:
(i)
establishing and promoting:
(A)
recreation;
(B)
tourism;
(C)
film production; and
(D)
conventions;
(ii)
acquiring, leasing, constructing, furnishing, or operating:
(A)
convention meeting rooms;
(B)
exhibit halls;
(C)
visitor information centers;
(D)
museums; and
(E)
related facilities;
(iii)
acquiring or leasing land required for or related to the purposes listed in 
Subsection 
(2)(a)(ii)
;
(iv)
mitigation costs as identified in Subsection 
17-31-2(2)(d)
; and
(v)
making the annual payment of principal, interest, premiums, and necessary 
reserves for any or the aggregate of bonds issued to pay for costs referred to in 
Subsections 
17-31-2(2)(e)
 and 
(5)(a)
; and
(b)
for the tourism, recreation, cultural, convention, and airport facilities tax, 
identification of expenditures for:
(i)
financing tourism promotion, which means an activity to develop, encourage, 
solicit, or market tourism that attracts transient guests to the county, including 
planning, product development, and advertising;
(ii)
the development, operation, and maintenance of the following facilities as defined 
in Section 
59-12-602
:
(A)
an airport facility;
(B)
a convention facility;
(C)
a cultural facility;
(D)
a recreation facility; and
(E)
a tourist facility;
(iii)
mitigation costs as identified in Subsection 
59-12-603(2)(b)
; and
(iv)
a pledge as security for evidences of indebtedness under Subsection 
59-12-603(3)
.
(3)
For the transient room tax, the 
written 
report described in Subsection 
(1)
 shall include a 
breakdown of each expenditure described in Subsection 
(2)(a)(i)
, including:
(a)
whether the expenditure was used for in-state and out-of-state promotion efforts;
(b)
an explanation of how the expenditure targeted a cost created by tourism; and
(c)
an accounting of the expenditure showing that the expenditure was used only for 
costs directly related to a cost created by tourism.
(4)
On or before October 1, the county legislative body shall provide a copy of the annual 
written report described in Subsection 
(1)
 for the previous fiscal year to:
(a)
the Utah Office of Tourism within the Governor's Office of Economic Opportunity;
(b)
the county's tourism tax advisory board; and
(c)
the Office of the Legislative Fiscal Analyst.
(5)
(a)
On or before December 1 of each year, the Office of the Legislative Fiscal 
Analyst shall:
(i)
analyze each written report received under Subsection 
(4)(c)
 to determine if the 
information in the report sufficiently demonstrates that the county is expending 
revenue in accordance with the requirements of Sections 
17-31-2
, 
59-12-301
, and 
59-12-603
; and
(ii)
provide a summary of the analysis and determination described in Subsection 
(5)(a)
(i) to:
(A)
the Revenue and Taxation Interim Committee;
(B)
the Political Subdivisions Interim Committee; and
(C)
the state auditor.
(b)
If the Office of the Legislative Fiscal Analyst determines a county written report 
does not sufficiently demonstrate that a county is expending revenue in accordance 
with the requirements of Section 
17-31-2
, 
59-12-301
, and 
59-12-603
, the Office of 
the Legislative Fiscal Analyst shall include a copy of the county's written report with 
the summary described in Subsection 
(5)(a)
(ii) to the entities described in 
Subsections 
(5)
(a)(ii)(A) through (C).
Section 2, Section 
51-2a-401
 is amended to read:
51-2a-401
. Prohibiting access to and withholding funds from an entity that does 
not comply with the accounting report requirements.
(1)
If a political subdivision, interlocal organization, or other local entity does not comply 
with the accounting report requirements of Section 
51-2a-201
, the state auditor may:
(a)
withhold allocated state funds to pay the cost of the accounting report, in accordance 
with Subsection (2); or
(b)
prohibit financial access, in accordance with Subsection (3).
(2)
(a)
If the state auditor does not prohibit financial access in accordance with 
Subsection (3), the state auditor may withhold allocated state funds sufficient to pay 
the cost of the accounting report from any local entity described in Subsection (1).
(b)
If no allocated state funds are available for withholding, the local entity shall 
reimburse the state auditor for any cost incurred in completing the accounting reports 
required under Section 
51-2a-402
.
(c)
The state auditor shall release the withheld funds if the local entity meets the 
accounting report requirements either voluntarily or by action under Section 
51-2a-402
.
(3)
(a)
If the state auditor does not withhold funds in accordance with Subsection (2), the 
state auditor may prohibit any local entity described in Subsection (1) from accessing:
(i)
money held by the state; and
(ii)
money held in an account of a financial institution by:
(A)
contacting the entity's financial institution and requesting that the institution 
prohibit access to the account; or
(B)
filing an action in a court with jurisdiction under Title 78A, Judiciary and 
Judicial Administration, requesting an order of the court to prohibit a financial 
institution from providing the entity access to the account.
(b)
The state auditor shall remove the prohibition on accessing funds described in 
Subsection (3)(a) if the local entity meets the accounting report requirements either 
voluntarily or by action under Section 
51-2a-402
.
(4)
After receiving a report from the Office of Legislative Fiscal Analyst under Section 
17-31-5.5
 indicating that a county is not expending revenue in accordance with the 
requirements of Sections 
17-31-2
, 
59-12-301
, and 
59-12-603
, the state auditor:
(a)
shall make an independent finding about the county's written report described in 
Subsection 
17-31-5.5(1)
; and
(b)
if the state auditor confirms the determination of the Office of Legislative Fiscal 
Analyst, may take the action described in Subsection (3) in regard to revenue 
generated by the county's imposition of a transient room tax under Section 
59-12-301
or the imposition of a tourism, recreation, cultural, convention, and airport facilities 
tax under Section 
59-12-603
.
Section 3. 
Effective Date.
This bill takes effect on 
May 7, 2025
.
3-12-25 2:37 PM