Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 280 (2025GS)

Sponsor

Sen. Vickers, Evan J.

Final action

Governor Signed 3/27/2025

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• defines terms and modifies definitions;
• clarifies that the Governor's Office of Economic Opportunity may not offer a retail facility incentive payment;
• provides that a public entity may make a retail facility incentive payment for a retail facility included as part of a mixed-use development that includes housing units, under certain circumstances;
• modifies the process by which a public entity that makes a retail facility incentive payment submits a written report on the retail facility incentive payment to the Governor's Office of Economic Development; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

9
11-41-102
11-41-103
11-41-104
0
Retail Facility Amendments
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Evan J. Vickers
House Sponsor: R. Neil Walter
LONG TITLE
General Description:
This bill modifies provisions related to retail facility incentive payments.
Highlighted Provisions:
This bill:
defines terms and modifies definitions;
clarifies that the Governor's Office of Economic Opportunity may not offer a retail 
facility incentive payment;
provides that a public entity may make a retail facility incentive payment for a retail 
facility included as part of a mixed-use development that includes housing units, under 
certain circumstances; 
modifies the process by which a public entity that makes a retail facility incentive 
payment submits a written report on the retail facility incentive payment to the 
Governor's Office of Economic Development; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
11-41-102
, as last amended by Laws of Utah 2024, Chapter 300
11-41-103
, as last amended by Laws of Utah 2022, Chapter 307
11-41-104
, as enacted by Laws of Utah 2022, Chapter 307
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 
11-41-102
 is amended to read:
11-41-102
. Definitions.
As used in this chapter:
(1)
"Agreement" means an oral or written agreement between a public entity and a person.
(2)
"Business entity" means a sole proprietorship, partnership, limited partnership, limited 
liability company, corporation, or other entity or association used to carry on a business 
for profit.
(3)
"Determination of violation" means a determination by the Governor's Office of 
Economic Opportunity of substantial likelihood that a retail facility incentive payment 
has been made in violation of Section 
11-41-103
, in accordance with Section 
11-41-104
.
(4)
"Environmental mitigation" means an action or activity intended to remedy known 
negative impacts to the environment.
(5)
"Executive director" means the executive director of the Governor's Office of Economic 
Opportunity.
(6)
"General plan" means the same as that term is defined in Section 
23A-6-101
.
(7)
"Legislative body" means the same as that term is defined in:
(a)
Section 
10-9a-103
; or
(b)
Section 
17-27a-103
.
(7)
(8)
"Mixed-use development" means development with mixed land uses, including 
housing.
(9)
"Moderate income housing" means housing occupied or reserved for occupancy by 
households with a gross household income equal to or less than 80% of the median gross 
income for households of the same size in the county in which the housing is located.
(8)
(10)
"Moderate income housing plan" means the moderate income housing plan 
element of a general plan.
(9)
(11)
"Office" means the Governor's Office of Economic Opportunity.
(10)
(12)
"Political subdivision" means any county, city, town, school district, special 
district, special service district, community reinvestment agency, or entity created by an 
interlocal agreement adopted under Title 11, Chapter 13, Interlocal Cooperation Act.
(11)
(13)
"Public entity" means:
(a)
a political subdivision;
(b)
a department, commission, board, council, agency, institution, officer, corporation, 
fund, division, office, committee, authority, laboratory, library, unit, bureau, panel, or 
other administrative unit of the executive branch of the state;
(c)
a higher education institution as defined in Section 
53B-1-201
;
(d)
the Military Installation Development Authority created in Section 
63H-1-201
;
(e)
the Utah Inland Port Authority created in Section 
11-58-201
; or
(f)
the Point of the Mountain State Land Authority created in Section 
11-59-201
.
(12)
(14)
"Public funds" means any money received by a public entity that is derived from:
(a)
a sales and use tax authorized under Title 59, Chapter 12, Sales and Use Tax Act; or
(b)
a property tax levy.
(13)
(15)
"Public infrastructure" means:
(a)
a public facility
,
 as defined in Section 
11-36a-102
; 
or
(b)
a system improvement, as defined in Section 
11-36a-102
; or
(b)
(c)
public 
infrastructure
 developed with public funds
 included as part of an 
infrastructure master plan related to a general plan.
(14)
(16)
"Retail facility" means any facility operated by a business entity for the primary 
purpose of making retail transactions.
(15)
(17)
(a)
"Retail facility incentive payment" means a payment of public funds:
(i)
(a)
to a person by a public entity;
(ii)
(b)
for the development, construction, renovation, or operation of a retail facility 
within an area of the state; and
(iii)
(c)
in the form of:
(A)
(i)
a payment;
(B)
(ii)
a rebate;
(C)
(iii)
a refund;
(D)
(iv)
a subsidy; or
(E)
(v)
any other similar incentive, award, or offset.
(b)
"Retail facility incentive payment" does not include a payment of public funds for:
(i)
the development, construction, renovation, or operation of:
(A)
public infrastructure; or
(B)
a structured parking facility;
(ii)
the demolition of an existing facility;
(iii)
assistance under a state or local:
(A)
main street program; or
(B)
historic preservation program;
(iv)
environmental mitigation or sanitation, if determined by a state or federal 
agency under applicable state or federal law;
(v)
assistance under a water conservation program or energy efficiency program, if 
any business entity located within the public entity's boundaries or subject to the 
public entity's jurisdiction is eligible to participate in the program;
(vi)
emergency aid or assistance, if any business entity located within the public 
entity's boundaries or subject to the public entity's jurisdiction is eligible to 
receive the emergency aid or assistance; or
(vii)
assistance under a public safety or security program, if any business entity 
located within the public entity's boundaries or subject to the public entity's 
jurisdiction is eligible to participate in the program.
(16)
(18)
"Retail transaction" means any transaction subject to a sales and use tax under 
Title 59, Chapter 12, Sales and Use Tax Act.
(17)
(19)
(a)
"Small business" means a business entity that:
(i)
has fewer than 30 full-time equivalent employees; and
(ii)
maintains the business entity's principal office in the state.
(b)
"Small business" does not include:
(i)
a franchisee, as defined in 16 C.F.R. Sec. 436.1;
(ii)
a dealer, as defined in Section 
41-1a-102
; or
(iii)
a subsidiary or affiliate of another business entity that is not a small business.
Section 2, Section 
11-41-103
 is amended to read:
11-41-103
. Prohibition on retail facility incentive payments -- Exceptions.
(1)
Except as provided in Subsection 
(2)
, a public entity may not:
(a)
make a retail facility incentive payment under an agreement that is initiated or 
entered into on or after July 1, 2022; or
(b)
initiate or enter into an agreement on or after July 1, 2022, to make a retail facility 
incentive payment.
(2)
Notwithstanding Subsection 
(1)
, a public entity
 that is not the office
 may make a retail 
facility incentive payment for:
(a)
a retail facility located entirely within a census tract in which more than 
51
50
% of 
residents have a household income at or below 
70
80
% of the county area median 
income;
(b)
a retail facility included as part of a mixed-use development in which:
(i)
the 
mixed-use 
development
 has received approval from the legislative body to 
begin development;
(ii)
the mixed-use development 
includes 
or is planned to include 
at least one 
housing unit for every 1,250 square feet of retail space
:
(A)
within the 
mixed-use 
development; 
or
(B)
within 1/4 mile radius of the property line of the planned retail facility; 
and
(ii)
(iii)
at least 10% of the new or proposed housing units within the 
mixed-use 
development qualify as moderate income housing, in accordance with the 
moderate income housing plan of the municipality or county in which the 
development is located;
(c)
a retail facility included as part of a development in which:
(i)
the retail facility has a gross sales floor area of no more than 20,000 square feet; 
and
(ii)
no other retail facility with a gross sales floor area of more than 20,000 square 
feet is located within the same development;
(d)
a retail facility located within a county of the fourth, fifth, or sixth class;
(e)
a retail facility for a small business;
(f)
a retail facility for a Utah-based nonprofit arts or cultural organization; or
(g)
a retail facility for a ski resort that:
(i)
has been in operation for at least 40 years; and
(ii)
provides at least 1,000 acres for skiing.
(3)
Nothing in this section prohibits a public entity from making:
(a)
an expenditure for a public facility, including:
(i)
water rights and water supply, treatment, storage, and distribution facilities;
(ii)
wastewater collection and treatment facilities;
(iii)
storm water, drainage, and flood control facilities;
(iv)
municipal power facilities;
(v)
roadway facilities;
(vi)
parks, recreation facilities, open space, and trails;
(vii)
public safety facilities;
(viii)
environmental mitigation, as provided in Section 
11-36a-205
; and
(ix)
municipal natural gas facilities; or
(b)
a payment of public funds for:
(i)
the development, construction, renovation, or operation of:
(A)
public infrastructure; or
(B)
a structured parking facility;
(ii)
the demolition of an existing retail facility;
(iii)
assistance under a state or local:
(A)
main street program; or
(B)
historic preservation program;
(iv)
environmental mitigation or sanitation, if determined by a state or federal agency 
under applicable state or federal law;
(v)
assistance under a water conservation program or energy efficiency program, if 
any business entity located within the public entity's boundaries or subject to the 
public entity's jurisdiction is eligible to participate in the program;
(vi)
emergency aid or assistance, if any business entity located within the public 
entity's boundaries or subject to the public entity's jurisdiction is eligible to 
receive the emergency aid or assistance; or
(vii)
assistance under a public safety or security program, if any business entity 
located within the public entity's boundaries or subject to the public entity's 
jurisdiction is eligible to participate in the program.
(4)
A person who receives 
public funds
a retail facility incentive payment
 for a mixed-use 
development in accordance with Subsection 
(2)(b)
 may not use 
the public funds
the 
retail facility incentive payment
 for the development, construction, renovation, or 
operation of housing units within the mixed-use development unless the housing units 
qualify as moderate income housing in accordance with the moderate income housing 
plan of the municipality or county in which the development is located.
(4)
(5)
(a)
For each fiscal year that a public entity makes a retail facility incentive 
payment described in Subsections 
(2)(a)
 through 
(c)
, the public entity shall submit a 
written report to the office in accordance with Subsection 
11-41-104(1)
.
(b)
For each fiscal year that a public entity makes a retail facility incentive payment 
described in Subsections 
(2)(d)
 through 
(g)
, the public entity shall submit a 
notification to the office in accordance with Subsection 
11-41-104(2)
.
Section 3, Section 
11-41-104
 is amended to read:
11-41-104
. Reporting and notification requirements -- Notice to state auditor.
(1)
(a)
For a fiscal year beginning on or after July 1, 2022, a public entity that makes a 
retail facility incentive payment described in Subsections 
11-41-103(2)(a)
 through 
(c)
shall submit a written report to the office on or before 
June 30 of the fiscal year in 
which the
August 1 regarding any
 retail facility incentive payment 
is 
made
 by the 
public entity in the preceding fiscal year
.
(b)
The report under Subsection 
(1)(a)
 shall:
(i)
provide a description of each retail facility incentive payment under Subsections 
11-41-103(2)(a)
 through 
(c)
 that the public entity made during the fiscal year, 
including:
(A)
the type of retail facility incentive payment;
(B)
the date on which the retail facility incentive payment was made; and
(C)
identification of the recipient of the retail facility incentive payment;
(ii)
include any other information requested by the office; and
(iii)
be in a form prescribed by the office.
(2)
(a)
For a fiscal year beginning on or after July 1, 2022, a public entity that makes a 
retail facility incentive payment described in Subsections 
11-41-103(2)(d)
 through 
(g)
shall submit a notification to the office on or before 
June 30 of the fiscal year in 
which the
August 1 regarding any
 retail facility incentive payment 
is 
made
 by the 
public entity in the preceding fiscal year
.
(b)
The notification under Subsection 
(2)(a)
 shall:
(i)
list each retail facility incentive payment under Subsections 
11-41-103(2)(d)
through 
(g)
 that the public entity made during the fiscal year, including the date on 
which the retail facility incentive payment was made;
(ii)
include any other information requested by the office; and
(iii)
be in a form prescribed by the office.
(3)
Upon the receipt of a report from a public entity under Subsection 
(1)
, the 
The 
office 
shall review 
the
a written
 report 
submitted by a public entity under Subsection (1):
(a)
to determine whether each retail facility incentive payment described in the 
written 
report is in compliance with Section 
11-41-103
.
; and
(b)
by no later than six months from the day on which the public entity submits the 
written report under Subsection (1).
(4)
(a)
After reviewing a public entity's 
written 
report under Subsection 
(3)
(a)
, the office 
shall send a written notice to the public entity 
within the time period described in 
Subsection 
(3)(b)
if the office determines there is a substantial likelihood that the 
public entity made a retail facility incentive payment in violation of Section 
11-41-103
.
(b)
A public entity that submits a written report under Subsection (1) is considered 
compliant with Section 
11-41-103
 if the public entity does not receive written notice 
from the office under Subsection 
(4)(a)
 within the time period described in 
Subsection (3)(b).
(5)
The notice under Subsection 
(4)
(a)
 shall include:
(a)
a statement that describes in reasonable detail how the office made a determination 
of violation;
(b)
an explanation of the public entity's right to appeal the determination of violation in 
accordance with Subsection 
(6)
; and
(c)
a statement that the office may send notice of the determination of violation to the 
state auditor in accordance with Subsection 
(7)
 if:
(i)
(A)
the public entity does not appeal the determination of violation in 
accordance with Subsection 
(6)
; and
(B)
the office determines that the public entity has failed to make efforts to 
recover or recoup the amount of public funds lost to the state as a result of the 
violation within 90 days after the day on which the notice is sent; or
(ii)
(A)
the determination of violation is upheld on appeal in accordance with 
Subsection 
(6)
; and
(B)
the office determines that the public entity has failed to make efforts to 
recover or recoup the amount of public funds lost to the state as a result of the 
violation within 90 days after the day on which the determination of violation 
is upheld.
(6)
(a)
The public entity may appeal the determination of violation by sending a written 
notice to the office within 30 days after the day on which the notice described in 
Subsection 
(5)
 is sent.
(b)
The notice under Subsection 
(6)(a)
 shall include a statement that describes in 
reasonable detail each objection to the determination of violation.
(c)
The executive director shall:
(i)
within 90 days after the day on which the office receives notice under Subsection 
(6)(a)
, hold a meeting with representatives of the public entity at which the public 
entity's objections to the determination of violation are discussed; and
(ii)
within 30 days after the day on which the meeting under Subsection 
(6)(c)(i)
 is 
held:
(A)
issue a written decision that upholds or rescinds the determination of 
violation; and
(B)
send a copy of the written decision to the public entity.
(d)
An appeal under this Subsection 
(6)
 is not subject to 
Title 63G, Chapter 4, 
Administrative Procedures Act
.
(7)
(a)
Beginning July 1, 2024, the office may send a written notice to the state auditor if 
the office determines that:
(i)
Subsection 
(5)(c)(i)
 or 
(ii)
 applies to a public entity; or
(ii)
a public entity failed to submit the report described in Subsection 
(1)
.
(b)
The notice under Subsection 
(7)(a)
 shall include:
(i)
a description of the office's grounds for sending notice;
(ii)
a copy of the report submitted to the office under Subsection 
(1)
, if applicable; and
(iii)
any other information required by the state auditor for purposes of initiating an 
audit or investigation in accordance with Section 
67-3-1
.
(8)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, the 
office may make rules to implement this section.
Section 4. 
Effective Date.
This bill takes effect on 
May 7, 2025
.
3-13-25 4:05 PM