S.B. 2002

1

TREATMENT OF DISPUTED PROPERTY TAXES
2 1997 SECOND SPECIAL SESSION
3 STATE OF UTAH
4 Sponsor: Howard C. Nielson
5 AN ACT RELATING TO THE PROPERTY TAX ACT; REPEALING THE REQUIREMENT
6 THAT COUNTY TREASURERS ESCROW DISPUTED PROPERTY TAX AMOUNTS;
7 INCLUDING DISPUTED PROPERTY VALUES IN THE CALCULATION OF
8 AGGREGATE TAXABLE VALUE; REPEALING THE PROVISIONS LIMITING
9 ADJUSTMENTS TO AN ASSESSMENT ROLL FOR COUNTIES AND SCHOOL
10 DISTRICTS; REPEALING THE PROVISIONS LIMITING AMOUNTS A COUNTY OR
11 SCHOOL DISTRICT IS REQUIRED TO ESCROW; REPEALING PROVISIONS
12 REQUIRING THE STATE AND TAXING ENTITIES TO INCLUDE AMOUNTS
13 RELEASED FROM ESCROW AS PROPERTY TAX REVENUES; REPEALING
14 PROVISIONS DEFINING AD VALOREM PROPERTY TAX REVENUES TO INCLUDE
15 PROPERTY TAXES OR ACCRUED INTEREST RELEASED FROM ESCROW;
16 REPEALING THE REQUIREMENT THAT DISPUTED VALUES BE CONTAINED ON
17 PROPERTY TAX NOTICES; REPEALING THE REQUIREMENT THAT PROPERTY
18 OWNERS DESIGNATE WITH DISPUTED PROPERTY TAXES THE AMOUNT OF
19 DISPUTED VALUE AND THE AMOUNT OF TAXES LEVIED ON THE DISPUTED
20 VALUE; REPEALING THE REQUIREMENT THAT COUNTY TREASURERS REFUND
21 AMOUNTS DUE TO A PROPERTY OWNER WITHIN 45 DAYS AFTER AN APPEAL IS
22 RESOLVED; MAKING TECHNICAL CHANGES; AND PROVIDING FOR
23 RETROSPECTIVE OPERATION.
24 This act affects sections of Utah Code Annotated 1953 as follows:
25 AMENDS:
26 59-2-913, as last amended by Chapter 309, Laws of Utah 1997
27 59-2-921, as last amended by Chapter 309, Laws of Utah 1997

1 59-2-924 (Effective 01/01/98), as last amended by Chapters 305 and 388, Laws of Utah 1997
2 59-2-924 (Superseded 01/01/98), as last amended by Chapters 228 and 309, Laws of Utah
3 1997
4 59-2-1317, as last amended by Chapters 143, 292 and 309, Laws of Utah 1997
5 59-2-1330, as last amended by Chapter 309, Laws of Utah 1997
6 Be it enacted by the Legislature of the state of Utah:
7 Section 1. Section 59-2-913 is amended to read:
8 59-2-913. Statement of amount and purpose of levy -- Contents of statement -- Filing
9 with county auditor -- Transmittal to commission -- Determination of tax basis -- Format of
10 statement.
11 (1) (a) The governing body of each taxing entity shall file a statement as provided in this
12 section with the county auditor of the county in which the taxing entity is located.
13 (b) The auditor shall annually transmit the statement to the commission:
14 (i) before June 22; or
15 (ii) with the approval of the commission, on a subsequent date prior to the date established
16 under Section 59-2-1317 for mailing tax notices.
17 (c) The statement shall contain the amount and purpose of each levy fixed by the
18 governing body of the taxing entity.
19 (2) (a) For purposes of establishing the levy set for each of a taxing entity's applicable
20 funds, the taxing entity's governing body or board shall:
21 (i) divide the budgeted property tax revenues, specified in a budget which has been
22 adopted and approved prior to setting the levy, by an amount equal to:
23 (A) the aggregate taxable value of all property taxed; minus
24 (B) the taxing entity's estimated equalization adjustments in the current year; and
25 (ii) multiply the amount under Subsection (2)(a)(i) by the percentage of property taxes
26 collected for the previous five fiscal years.
27 (b) For purposes of Subsection (2)(a)(i)(A), the aggregate taxable value of all property
28 taxed includes:
29 (i) the total taxable value of the real and personal property contained on the tax rolls;
30 [minus] and
31 [(ii) the aggregate amount of value placed in dispute by property owners within the taxing

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1 entity pursuant to Section 59-2-1007; and]
2 [(c)] (ii) the taxable value of any additional personal property estimated by the county
3 assessor to be subject to taxation in the current year.
4 [(3) The aggregate annual amount of all adjustments to an assessment roll under
5 Subsection (2)(b) for a county or school district is limited to the greater of:]
6 [(a) 10% of the total value of the real and personal property for the county or school
7 district contained on the assessment roll; or]
8 [(b) 50% of the aggregate amount of value placed in dispute by property owners within
9 the county or school district pursuant to Section 59-2-1007.]
10 [(4) An adjustment to a levy under Subsection (2)(b) is subject to the provisions of
11 Subsection 59-2-914(3).]
12 [(5)] (3) The format of the statement under this section shall:
13 (a) be determined by the commission; and
14 (b) cite any applicable statutory provisions that:
15 (i) require a specific levy; or
16 (ii) limit the property tax levy for any taxing entity.
17 [(6)] (4) The commission may require certification that the information submitted on a
18 statement under this section is true and correct.
19 Section 2. Section 59-2-921 is amended to read:
20 59-2-921. Changes in assessment roll -- Rate adjustments -- Notice.
21 (1) On or before September 15 the county board of equalization and, in cases involving
22 the original jurisdiction of the commission or an appeal from the county board of equalization, the
23 commission, shall annually notify each taxing entity of the following changes resulting from
24 actions by the commission or the county board of equalization:
25 (a) a change in the taxing entity's assessment roll; and
26 (b) a change in the taxing entity's adopted tax rate.
27 (2) A taxing entity is not required to comply with the public hearing and advertisement
28 requirements of Sections 59-2-918 and 59-2-919 if the commission, the county board of
29 equalization, or a court of competent jurisdiction:
30 (a) changes a taxing entity's adopted tax rate; or
31 (b) (i) makes a reduction in the taxing entity's assessment roll; and

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1 (ii) the taxing entity adopts by resolution an increase in its tax rate above the certified tax
2 rate as a result of the reduction under Subsection (2)(b)(i).
3 [(3) (a) Subject to the provisions of Subsection (3)(b) and except as provided in Subsection
4 (4), if an appeal under Section 59-2-1007 is resolved on or before September 15, property taxes
5 and accrued interest released from escrow after the appeal is resolved shall, for purposes of:]
6 [(i) making a certified tax rate adjustment under this section, be included by the taxing
7 entity as property tax revenues for the current year; or]
8 [(ii) authorizing the following levies, be included by the state as property tax revenues for
9 the current year:]
10 [(A) Section 53A-17a-135;]
11 [(B) Section 59-2-906.1; and]
12 [(C) Section 59-2-901.]
13 [(b) If, after including property taxes and accrued interest released from escrow as property
14 tax revenues:]
15 [(i) under Subsection (3)(a)(i), the property taxes and accrued interest exceed the amount
16 of revenues levied by the taxing entity for the current year, for purposes of establishing its certified
17 tax rate in subsequent years, the taxing entity shall carry forward as property tax revenues the
18 excess property taxes and accrued interest until the entire amount of remaining property taxes and
19 accrued interest have been carried forward as property tax revenues; or]
20 [(ii) under Subsection (3)(a)(ii), the property taxes and accrued interest exceed the amount
21 of revenues authorized to fund the levies described in Subsections (3)(a)(ii)(A) through (C) for the
22 current year, for purposes of authorizing the levies described in Subsections (3)(a)(ii)(A) through
23 (C) in subsequent years, the state shall carry forward as property tax revenues the excess property
24 taxes and accrued interest until the entire amount of remaining property taxes and accrued interest
25 have been carried forward as property tax revenues.]
26 [(4) If an appeal under Section 59-2-1007 is resolved after September 15, property taxes
27 and accrued interest released from escrow after the appeal is resolved shall be included by the
28 taxing entity or the state as property tax revenues as provided in Subsection (3)(a) and subject to
29 the carry forward provisions of Subsection (3)(b) for the next fiscal year beginning after September
30 15.]
31 [(5)] (3) A rate adjustment under this section for:

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1 (a) a taxing entity shall be:
2 (i) made by the county auditor;
3 (ii) aggregated;
4 (iii) reported by the county auditor to the commission; and
5 (iv) certified by the commission; and
6 (b) the state shall be made by the commission.
7 Section 3. Section 59-2-924 (Effective 01/01/98) is amended to read:
8 59-2-924 (Effective 01/01/98). Report of valuation of property to county auditor and
9 tax commission -- Transmittal by auditor to governing bodies -- Certified tax rate --
10 Adoption of tentative budget.
11 (1) (a) Before June 1 of each year, the county assessor of each county shall deliver to the
12 county auditor and the commission the following statements:
13 (i) a statement containing the aggregate valuation of all taxable property in each taxing
14 entity; and
15 (ii) a statement containing the taxable value of any additional personal property estimated
16 by the county assessor to be subject to taxation in the current year.
17 (b) The county auditor shall, on or before June 8, transmit to the governing body of each
18 taxing entity:
19 (i) the statements described in Subsections (1)(a)(i) and (ii);
20 (ii) an estimate of the revenue from personal property;
21 (iii) the certified tax rate; and
22 (iv) all forms necessary to submit a tax levy request.
23 (2) (a) (i) The "certified tax rate" means a tax rate that will provide the same ad valorem
24 property tax revenues for a taxing entity as were collected by that taxing entity for the prior year.
25 [(ii) (A) For purposes of this Subsection (2), "ad valorem property tax revenues" include
26 an amount of property taxes or accrued interest released from escrow as provided in Subsection
27 59-2-921(3) or (4).]
28 [(B)] (ii) For purposes of this Subsection (2), "ad valorem property tax revenues" do not
29 include:
30 [(I)] (A) collections from redemptions;
31 [(II)] (B) interest; and

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1 [(III)] (C) penalties.
2 (iii) Except as provided in Subsection (2)(a)(iv), the certified tax rate shall be calculated
3 by dividing the ad valorem property tax revenues collected for the prior year by the taxing entity
4 by the taxable value established in accordance with Section 59-2-913.
5 (iv) The certified tax rates for the taxing entities described in this Subsection (2)(a)(iv)
6 shall be calculated as follows:
7 (A) except as provided in Subsection (2)(a)(iv)(B), for new taxing entities the certified tax
8 rate is zero;
9 (B) for each municipality incorporated on or after July 1, 1996, the certified tax rate is:
10 (I) in a county of the first, second, or third class, the levy imposed for municipal-type
11 services under Sections 17-34-1 and 17-36-9; and
12 (II) in a county of the fourth, fifth, or sixth class, the levy imposed for general county
13 purposes and such other levies imposed solely for the municipal-type services identified in Section
14 17-34-2 and Subsection 17-36-3(22);
15 (C) for debt service voted on by the public, the certified tax rate shall be the actual levy
16 imposed by that section, except that the certified tax rates for the following levies shall be
17 calculated in accordance with Section 59-2-913 and this section:
18 (I) school leeways provided for under Sections 11-2-7, 53A-16-110, 53A-17a-125,
19 53A-17a-127, 53A-17a-134, 53A-17a-143, 53A-17a-145, and 53A-21-103; and
20 (II) levies to pay for the costs of state legislative mandates or judicial or administrative
21 orders under Section 59-2-906.3.
22 (b) (i) For the purpose of calculating the certified tax rate, the county auditor shall use the
23 taxable value of property on the assessment roll.
24 (ii) For purposes for Subsection (2)(b)(i), the taxable value of property on the assessment
25 roll does not include new growth as defined in Subsection (2)(b)(iii).
26 (iii) New growth means:
27 (A) the difference between the increase in taxable value of the taxing entity from the
28 previous calendar year to the current year; minus
29 (B) the amount of increase to locally assessed real property taxable values resulting from
30 factoring, reappraisal, or any other adjustments.
31 (c) Beginning January 1, 1997, if a taxing entity receives increased revenues from uniform

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1 fees on tangible personal property under Section 59-2-404 or 59-2-405 as a result of any county
2 imposing a sales and use tax under Title 59, Chapter 12, Part 11, County Option Sales and Use
3 Tax, the taxing entity shall decrease its certified tax rate to offset the increased revenues.
4 (d) (i) Beginning July 1, 1997, if a county has imposed a sales and use tax under Title 59,
5 Chapter 12, Part 11, County Option Sales and Use Tax, the county's certified tax rate shall be:
6 (A) decreased on a one-time basis by the amount of the estimated sales tax revenue to be
7 distributed to the county under Subsection 59-12-1102(3); and
8 (B) increased by the amount necessary to offset the county's reduction in revenue from
9 uniform fees on tangible personal property under Section 59-2-404 or 59-2-405 as a result of the
10 decrease in the certified tax rate under Subsection (2)(d)(i)(A).
11 (ii) The commission shall determine estimates of sales tax distributions for purposes of
12 Subsection (2)(d)(i).
13 (e) For the calendar year beginning on January 1, 1998, and ending December 31, 1998,
14 a taxing entity's certified tax rate shall be increased by the amount necessary to offset the decrease
15 in revenues from uniform fees on tangible personal property under Section 59-2-405 as a result
16 of the decrease in uniform fees on tangible personal property under Section 59-2-405 enacted by
17 the Legislature during the 1997 Annual General Session.
18 (f) Beginning January 1, 1998, if a municipality has imposed an additional resort
19 communities sales tax under Section 59-12-402, the municipality's certified tax rate shall be
20 decreased on a one-time basis by the amount necessary to offset the first 12 months of estimated
21 revenue from the additional resort communities sales tax imposed under Section 59-12-402.
22 (3) (a) On or before June 22, each taxing entity shall annually adopt a tentative budget.
23 (b) If the taxing entity intends to exceed the certified tax rate, it shall notify the county
24 auditor of:
25 (i) its intent to exceed the certified tax rate; and
26 (ii) the amount by which it proposes to exceed the certified tax rate.
27 (c) The county auditor shall notify all property owners of any intent to exceed the certified
28 tax rate in accordance with Subsection 59-2-919(2).
29 (4) (a) The taxable value for the base year under Subsection 17A-2-1247(2)(a) or
30 17A-2-1202(2), as the case may be, shall be reduced for any year to the extent necessary to provide
31 a redevelopment agency established under Title 17A, Chapter 2, Part 12, Neighborhood

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1 Redevelopment Agencies, with approximately the same amount of money the agency would have
2 received without a reduction in the county's certified tax rate if:
3 (i) in that year there is a decrease in the certified tax rate under Subsection (2)(c) or
4 (2)(d)(i);
5 (ii) the amount of the decrease is more than 20% of the county's certified tax rate of the
6 previous year; and
7 (iii) the decrease results in a reduction of the amount to be paid to the agency under
8 Section 17A-2-1247 or 17A-2-1247.5.
9 (b) The taxable value of the base year under Subsection 17A-2-1247(2)(a) or
10 17A-2-1202(2), as the case may be, shall be increased in any year to the extent necessary to
11 provide a redevelopment agency with approximately the same amount of money as the agency
12 would have received without an increase in the certified tax rate that year if:
13 (i) in that year the taxable value for the base year under Subsection 17A-2-1247(2) or
14 17A-2-1202(2) is reduced due to a decrease in the certified tax rate under Subsection (2)(c) or
15 (2)(d)(i); and
16 (ii) The certified tax rate of a city, school district, or special district increases independent
17 of the adjustment to the taxable value of the base year.
18 (c) Notwithstanding a decrease in the certified tax rate under Subsection (2)(c) or (2)(d)(i),
19 the amount of money allocated and, when collected, paid each year to a redevelopment agency
20 established under Title 17A, Chapter 2, Part 12, Neighborhood Redevelopment Agencies, for the
21 payment of bonds or other contract indebtedness, but not for administrative costs, may not be less
22 than that amount would have been without a decrease in the certified tax rate under Subsection
23 (2)(c) or (2)(d)(i).
24 Section 4. Section 59-2-924 (Superseded 01/01/98) is amended to read:
25 59-2-924 (Superseded 01/01/98). Report of valuation of property to county auditor
26 and tax commission -- Transmittal by auditor to governing bodies -- Certified tax rate --
27 Adoption of tentative budget.
28 (1) (a) Before June 1 of each year, the county assessor of each county shall deliver to the
29 county auditor and the commission the following statements:
30 (i) a statement containing the aggregate valuation of all taxable property in each taxing
31 entity; and

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1 (ii) a statement containing the taxable value of any additional personal property estimated
2 by the county assessor to be subject to taxation in the current year.
3 (b) The county auditor shall, on or before June 8, transmit to the governing body of each
4 taxing entity:
5 (i) the statements described in Subsections (1)(a)(i) and (ii);
6 (ii) an estimate of the revenue from personal property;
7 (iii) the certified tax rate; and
8 (iv) all forms necessary to submit a tax levy request.
9 (2) (a) (i) The "certified tax rate" means a tax rate that will provide the same ad valorem
10 property tax revenues for a taxing entity as were collected by that taxing entity for the prior year.
11 [(ii) (A) For purposes of this Subsection (2), "ad valorem property tax revenues" include
12 an amount of property taxes or accrued interest released from escrow as provided in Subsection
13 59-2-921(3) or (4).]
14 [(B)] (ii) For purposes of this Subsection (2), "ad valorem property tax revenues" do not
15 include:
16 [(I)] (A) collections from redemptions;
17 [(II)] (B) interest; and
18 [(III)] (C) penalties.
19 (iii) Except as provided in Subsection (2)(a)(iv), the certified tax rate shall be calculated
20 by dividing the ad valorem property tax revenues collected for the prior year by the taxing entity
21 by the taxable value established in accordance with Section 59-2-913.
22 (iv) The certified tax rates for the taxing entities described in this Subsection (2)(a)(iv)
23 shall be calculated as follows:
24 (A) except as provided in Subsection (2)(a)(iv)(B), for new taxing entities the certified tax
25 rate is zero;
26 (B) for each municipality incorporated on or after July 1, 1996, the certified tax rate is:
27 (I) in a county of the first, second, or third class, the levy imposed for municipal-type
28 services under Sections 17-34-1 and 17-36-9; and
29 (II) in a county of the fourth, fifth, or sixth class, the levy imposed for general county
30 purposes and such other levies imposed solely for the municipal-type services identified in Section
31 17-34-2 and Subsection 17-36-3(22);

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1 (C) for debt service voted on by the public, the certified tax rate shall be the actual levy
2 imposed by that section, except that the certified tax rates for the following levies shall be
3 calculated in accordance with Section 59-2-913 and this section:
4 (I) school leeways provided for under Sections 11-2-7, 53A-16-110, 53A-17a-125,
5 53A-17a-127, 53A-17a-134, 53A-17a-143, 53A-17a-145, and 53A-21-103; and
6 (II) levies to pay for the costs of state legislative mandates or judicial or administrative
7 orders under Section 59-2-906.3.
8 (b) (i) For the purpose of calculating the certified tax rate, the county auditor shall use the
9 taxable value of property on the assessment roll.
10 (ii) For purposes for Subsection (2)(b)(i), the taxable value of property on the assessment
11 roll does not include new growth as defined in Subsection (2)(b)(iii).
12 (iii) New growth means:
13 (A) the difference between the increase in taxable value of the taxing entity from the
14 previous calendar year to the current year; minus
15 (B) the amount of increase to locally assessed real property taxable values resulting from
16 factoring, reappraisal, or any other adjustments.
17 (c) Beginning January 1, 1997, if a taxing entity receives increased revenues from uniform
18 fees on tangible personal property under Section 59-2-404 or 59-2-405 as a result of any county
19 imposing a sales and use tax under Title 59, Chapter 12, Part 11, County Option Sales and Use
20 Tax, the taxing entity shall decrease its certified tax rate to offset the increased revenues.
21 (d) (i) Beginning July 1, 1997, if a county has imposed a sales and use tax under Title 59,
22 Chapter 12, Part 11, County Option Sales and Use Tax, the county's certified tax rate shall be:
23 (A) decreased on a one-time basis by the amount of the estimated sales tax revenue to be
24 distributed to the county under Subsection 59-12-1102(3); and
25 (B) increased by the amount necessary to offset the county's reduction in revenue from
26 uniform fees on tangible personal property under Section 59-2-404 or 59-2-405 as a result of the
27 decrease in the certified tax rate under Subsection (2)(d)(i)(A).
28 (ii) The commission shall determine estimates of sales tax distributions for purposes of
29 Subsection (2)(d)(i).
30 (3) (a) On or before June 22, each taxing entity shall annually adopt a tentative budget.
31 (b) If the taxing entity intends to exceed the certified tax rate, it shall notify the county

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1 auditor of:
2 (i) its intent to exceed the certified tax rate; and
3 (ii) the amount by which it proposes to exceed the certified tax rate.
4 (c) The county auditor shall notify all property owners of any intent to exceed the certified
5 tax rate in accordance with Subsection 59-2-919(2).
6 (4) (a) The taxable value for the base year under Subsection 17A-2-1247(2)(a) or
7 17A-2-1202(2), as the case may be, shall be reduced for any year to the extent necessary to provide
8 a redevelopment agency established under Title 17A, Chapter 2, Part 12, Neighborhood
9 Redevelopment Agencies, with approximately the same amount of money the agency would have
10 received without a reduction in the county's certified tax rate if:
11 (i) in that year there is a decrease in the certified tax rate under Subsection (2)(c) or
12 (2)(d)(i);
13 (ii) the amount of the decrease is more than 20% of the county's certified tax rate of the
14 previous year; and
15 (iii) the decrease results in a reduction of the amount to be paid to the agency under
16 Section 17A-2-1247 or 17A-2-1247.5.
17 (b) The taxable value of the base year under Subsection 17A-2-1247(2)(a) or
18 17A-2-1202(2), as the case may be, shall be increased in any year to the extent necessary to
19 provide a redevelopment agency with approximately the same amount of money as the agency
20 would have received without an increase in the certified tax rate that year if:
21 (i) in that year the taxable value for the base year under Subsection 17A-2-1247(2) or
22 17A-2-1202(2) is reduced due to a decrease in the certified tax rate under Subsection (2)(c) or
23 (2)(d)(i); and
24 (ii) The certified tax rate of a city, school district, or special district increases independent
25 of the adjustment to the taxable value of the base year.
26 (c) Notwithstanding a decrease in the certified tax rate under Subsection (2)(c) or (2)(d)(i),
27 the amount of money allocated and, when collected, paid each year to a redevelopment agency
28 established under Title 17A, Chapter 2, Part 12, Neighborhood Redevelopment Agencies, for the
29 payment of bonds or other contract indebtedness, but not for administrative costs, may not be less
30 than that amount would have been without a decrease in the certified tax rate under Subsection
31 (2)(c) or (2)(d)(i).

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1 Section 5. Section 59-2-1317 is amended to read:
2 59-2-1317. Index of property owners -- Tax notice -- Contents of notice.
3 (1) The treasurer shall:
4 (a) collect the taxes; and
5 (b) furnish to each taxpayer, except those taxpayers under Sections 59-2-1302 and
6 59-2-1307, by mail, postage prepaid, or leave at the taxpayer's residence or usual place of business,
7 if known, a notice stating:
8 (i) the kind and value of property assessed to the taxpayer[, including the amount of value
9 placed in dispute by the property owner pursuant to Section 59-2-1007];
10 (ii) the street address of the property, if available to the county;
11 (iii) that the property may be subject to a detailed review in the next year under Section
12 59-2-303.1;
13 (iv) the amount of taxes levied[, including the amount of taxes levied on the amount of
14 value placed in dispute by the property owner pursuant to Section 59-2-1007];
15 (v) property tax information pertaining to taxpayer relief, options for payment of taxes,
16 and collection procedures;
17 (vi) other information specifically authorized to be included on the notice under Title 59,
18 Chapter 2, Property Tax Act; and
19 (vii) other property tax information approved by the commission.
20 (2) For any property for which property taxes are delinquent, the treasurer shall stamp on
21 the notice "Prior taxes are delinquent on this parcel."
22 (3) The notice shall:
23 (a) separately state all taxes levied only on a certain kind or class of property for a special
24 purpose;
25 (b) have printed or stamped on it when and where the taxes are payable;
26 (c) state the date on which the taxes will be delinquent; and
27 (d) state the penalty provided by law.
28 (4) (a) The notice shall be mailed by November 1.
29 (b) The treasurer shall keep on file in the treasurer's office the information set forth in the
30 notice.
31 (c) The county treasurer is not required to mail out a tax receipt acknowledging payment.

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1 Section 6. Section 59-2-1330 is amended to read:
2 59-2-1330. Payment of property taxes -- Unlawful collection by county -- Liability
3 of state or taxing entity -- Disputed taxes.
4 (1) Unless otherwise specifically provided by statute, property taxes shall be paid directly
5 to the county assessor or the treasurer when due.
6 (2) If the commission or a court of competent jurisdiction orders a reduction in the amount
7 of any tax levied against any property for tax purposes, the taxpayer shall be reimbursed under
8 Subsection (3).
9 (3) (a) The state and any taxing entity which has received property taxes or any portion
10 of property taxes is liable to a judgment debtor for the amount the state or the taxing entity
11 received plus interest as provided in Subsection (3)(b) if:
12 (i) the taxes are collected by the authorized officer of any county;
13 (ii) a taxpayer obtains a judgment or final order from the county board of equalization or
14 the commission against the county or an authorized officer of the county establishing that the taxes
15 have been unlawfully collected; and
16 (iii) any portion of the taxes has been paid to the state or to any taxing entity by the county
17 or its authorized officer.
18 (b) Interest under Subsection (3)(a) shall accrue:
19 (i) at a rate equal to the rate earned by the county;
20 (ii) (A) on the amount of taxes received from the time the state or a taxing entity received
21 the taxes; and
22 (B) for an equitable portion of the costs of action.
23 (4) (a) Each taxing entity may levy a tax to pay its share of the judgment or final order
24 under Subsection (3) if:
25 (i) the judgment or final order is issued no later than 15 days prior to the date the levy is
26 set under Subsection 59-2-924(2)(a); and
27 (ii) the amount of the judgment levy is included on the notice under Section 59-2-919.
28 (b) The levy under Subsection (4)(a) is:
29 (i) in addition to, and exempt from, the maximum levy established for the taxing entity;
30 and
31 (ii) exempt from the requirements of Sections 59-2-918 and 59-2-919 except for

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1 Subsection 59-2-919(4).
2 (5) (a) An owner of property assessed by the commission that has filed a valuation protest
3 pursuant to Section 59-2-1007 and has not received a final decision on that protest shall pay, on
4 or before the date of delinquency, the full amount of taxes due.
5 [(b) The property owner shall designate with the payment under Subsection (5)(a):]
6 [(i) the amount of valuation in dispute; and]
7 [(ii) the amount of the taxes levied on the disputed value as shown on the tax notice under
8 Section 59-2-1317.]
9 [(c) Subject to the provisions of Subsection (4)(d), and except as provided in Subsection
10 (4)(e), the county treasurer shall hold in escrow the disputed taxes and invest them with the
11 county's other investment funds.]
12 [(d) Notwithstanding Subsection (4)(c), if the aggregate amount of all adjustments to the
13 tax rolls of any county or school district is limited in any year pursuant to Subsection 59-2-913(3),
14 the treasurer shall, on or before December 31 of that year, release from escrow to the affected
15 county or school district an amount equal to the difference between the:]
16 [(i) budgeted property tax revenues determined for purposes of Subsection 59-2-913(2);
17 and]
18 [(ii) property tax revenues assessed on the aggregate amount of the taxable value contained
19 on the tax rolls not disputed by property owners within the county pursuant to Section 59-2-1007.]
20 [(e) By written agreement between the county treasurer and the property owner the
21 property owner's disputed taxes may be placed in another institution and invested in compliance
22 with the provisions of Title 51, Chapter 7, State Money Management Act.]
23 [(f)] (b) A property owner that pays the full amount of taxes due under Subsection (5)(a)
24 is not required to pay penalties or interest on a disputed tax unless:
25 (i) a final decision is entered establishing a value greater than the value stated on the
26 disclosure notice under Section 59-2-1317; and
27 (ii) the property owner fails to pay the additional tax liability within a 45-day period after
28 the county bills the property owner for the additional tax.
29 [(g) The county treasurer shall refund all amounts due to a property owner within 45 days
30 of the issuance of a final unappealed decision.]
31 Section 7. Retrospective operation.

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1 This act has retrospective operation to January 1, 1997.




Legislative Review Note
as of 7-16-97 12:58 PM

A limited legal review of this bill raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel

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