S.B. 218 Enrolled

1

COMMUNITY DEVELOPMENT AND RENEWAL
2 AGENCY AMENDMENTS
3 2007 GENERAL SESSION
4 STATE OF UTAH
5 Chief Sponsor: Curtis S. Bramble
6 House Sponsor: David Clark
7
8 LONG TITLE
9 General Description:
10 This bill modifies provisions relating to community development and renewal agencies.
11 Highlighted Provisions:
12 This bill:
13 . modifies the definition of urban renewal to include environmental remediation;
14 . modifies the definition of base taxable value to mean, for a project on an inactive
15 industrial site, the year after the date the inactive industrial site is sold for
16 remediation and development;
17 . expands the permissible uses of tax increment to cover environmental remediation
18 activities that occur both after and before adoption of a project area plan;
19 . provides an exception to blight study and blight hearing requirements for agencies
20 that find blight based on a finding relating to an inactive industrial site;
21 . prohibits a taxing entity committee from disapproving an agency's finding of blight
22 unless the committee demonstrates that the blight conditions the agency found to
23 exist in the urban renewal project area do not exist;
24 . authorizes the taxing entity committee to hire a consultant to assist in the taxing
25 entity committee's approval or disapproval of an agency's finding of blight, requires
26 the agency to pay the consultant's expenses, and makes the consultant's findings
27 binding;
28 . modifies the amount of tax increment an agency board may provide in a project area
29 budget for the agency to be paid for an urban renewal project area plan that

30 proposes development of an inactive industrial site;
31 . makes an exception to a combined incremental value limit if the budget is based on
32 a project area where a finding of blight is made because of the presence of a
33 superfund site or an inactive industrial site;
34 . authorizes an agency to use certain tax increment funds for relocating mobile home
35 park residents who are displaced;
36 . eliminates taxing entity committee and community legislative body consent
37 requirements for the use of tax increment and sales tax proceeds for certain
38 improvements undertaken in connection with a community development project
39 area plan;
40 . modifies a provision related to the collection of a taxing entity's tax increment if the
41 taxing entity elects not to have its tax increment collected and used for other taxing
42 entities;
43 . clarifies that a contest period applies also to a resolution regarding the use of tax
44 proceeds; and
45 . makes technical changes.
46 Monies Appropriated in this Bill:
47 None
48 Other Special Clauses:
49 None
50 Utah Code Sections Affected:
51 AMENDS:
52 17C-1-102, as last amended by Chapter 254 and renumbered and amended by Chapter
53 359, Laws of Utah 2006
54 17C-1-402, as last amended by Chapter 14 and renumbered and amended by Chapter
55 359, Laws of Utah 2006
56 17C-1-405, as enacted by Chapter 359, Laws of Utah 2006
57 17C-1-409, as renumbered and amended by Chapter 359, Laws of Utah 2006

58 17C-1-410, as renumbered and amended by Chapter 359, Laws of Utah 2006
59 17C-1-411, as renumbered and amended by Chapter 359, Laws of Utah 2006
60 17C-1-412, as renumbered and amended by Chapter 359, Laws of Utah 2006
61 17C-2-102, as renumbered and amended by Chapter 359, Laws of Utah 2006
62 17C-2-106, as last amended by Chapter 254 and renumbered and amended by Chapter
63 359, Laws of Utah 2006
64 17C-2-110, as renumbered and amended by Chapter 359, Laws of Utah 2006
65 17C-2-202, as last amended by Chapter 254 and renumbered and amended by Chapter
66 359, Laws of Utah 2006
67 17C-2-301, as last amended by Chapter 254 and renumbered and amended by Chapter
68 359, Laws of Utah 2006
69 17C-2-302, as renumbered and amended by Chapter 359, Laws of Utah 2006
70 17C-2-303, as last amended by Chapter 254 and renumbered and amended by Chapter
71 359, Laws of Utah 2006
72 17C-2-304, as renumbered and amended by Chapter 359, Laws of Utah 2006
73 17C-4-202, as enacted by Chapter 359, Laws of Utah 2006
74
75 Be it enacted by the Legislature of the state of Utah:
76 Section 1. Section 17C-1-102 is amended to read:
77 17C-1-102. Definitions.
78 As used in this title:
79 (1) "Adjusted tax increment" means:
80 (a) for tax increment under a pre-July 1, 1993 project area plan, tax increment under
81 Section 17C-1-403 , excluding tax increment under Subsection 17C-1-403 (3); and
82 (b) for tax increment under a post-June 30, 1993 project area plan, tax increment under
83 Section 17C-1-404 , excluding tax increment under Section 17C-1-406 .
84 (2) "Affordable housing" means housing to be owned or occupied by persons and
85 families of low or moderate income, as determined by resolution of the agency.

86 (3) "Agency" or "community development and renewal agency" means a separate body
87 corporate and politic, created under Section 17C-1-201 or as a redevelopment agency under
88 previous law, that is a political subdivision of the state, that is created to undertake or promote
89 urban renewal, economic development, or community development, or any combination of
90 them, as provided in this title, and whose geographic boundaries are coterminous with:
91 (a) for an agency created by a county, the unincorporated area of the county; and
92 (b) for an agency created by a city or town, the boundaries of the city or town.
93 (4) "Annual income" has the meaning as defined under regulations of the U.S.
94 Department of Housing and Urban Development, 24 C.F.R. Sec. 5.609, as amended or as
95 superseded by replacement regulations.
96 (5) "Assessment roll" has the meaning as defined in Section 59-2-102 .
97 (6) "Base taxable value" means the taxable value of the property within a project area
98 from which tax increment will be collected, as shown upon the assessment roll last equalized
99 before:
100 (a) for a pre-July 1, 1993 project area plan, the effective date of the project area plan;
101 [or]
102 (b) for a post-June 30, 1993 project area plan:
103 (i) the date of the taxing entity committee's approval of the first project area budget; or
104 (ii) if no taxing entity committee approval is required for the project area budget, the
105 later of:
106 (A) the date the project area plan is adopted by the community legislative body; and
107 (B) the date the agency adopts the first project area budget[.]; or
108 (c) for a project on an inactive industrial site, a year after the date on which the inactive
109 industrial site is sold for remediation and development.
110 (7) "Basic levy" means the portion of a school district's tax levy constituting the
111 minimum basic levy under Section 59-2-902 .
112 (8) "Blight" or "blighted" means the condition of an area that meets the requirements of
113 Subsection 17C-2-303 (1).

114 (9) "Blight hearing" means a public hearing under Subsection
115 17C-2-102 (1)(a)[(iii)](i)(C) and Section 17C-2-302 regarding the existence or nonexistence of
116 blight within the proposed urban renewal project area.
117 (10) "Blight study" means a study to determine the existence or nonexistence of blight
118 within a survey area as provided in Section 17C-2-301 .
119 (11) "Board" means the governing body of an agency, as provided in Section
120 17C-1-203 .
121 (12) "Budget hearing" means the public hearing on a draft project area budget required
122 under Subsection 17C-2-201 (2)(d) for an urban renewal project area budget or Subsection
123 17C-3-201 (2)(d) for an economic development project area budget.
124 (13) "Combined incremental value" means the combined total of all incremental values
125 from all urban renewal project areas, except project areas that contain some or all of a military
126 installation or inactive industrial site, within the agency's boundaries under adopted project area
127 plans and adopted project area budgets at the time that a project area budget for a new urban
128 renewal project area is being considered.
129 (14) "Community" means a county, city, or town.
130 (15) "Community development" means development activities within a community,
131 including the encouragement, promotion, or provision of development.
132 (16) "Economic development" means to promote the creation or retention of public or
133 private jobs within the state through:
134 (a) planning, design, development, construction, rehabilitation, business relocation, or
135 any combination of these, within a community; and
136 (b) the provision of office, industrial, manufacturing, warehousing, distribution,
137 parking, public, or other facilities, or other improvements that benefit the state or a community.
138 (17) "Fair share ratio" means the ratio derived by:
139 (a) for a city or town, comparing the percentage of all housing units within the city or
140 town that are publicly subsidized income targeted housing units to the percentage of all
141 housing units within the whole county that are publicly subsidized income targeted housing

142 units; or
143 (b) for the unincorporated part of a county, comparing the percentage of all housing
144 units within the unincorporated county that are publicly subsidized income targeted housing
145 units to the percentage of all housing units within the whole county that are publicly subsidized
146 income targeted housing units.
147 (18) "Family" has the meaning as defined under regulations of the U.S. Department of
148 Housing and Urban Development, 24 C.F.R. Section 5.403, as amended or as superseded by
149 replacement regulations.
150 (19) "Greenfield" means land not developed beyond agricultural or forestry use.
151 (20) "Housing funds" means the funds allocated in an urban renewal project area
152 budget under Section 17C-2-203 for the purposes provided in Subsection 17C-1-412 (1).
153 (21) (a) "Inactive industrial site" means land that:
154 (i) consists of at least 1,000 acres;
155 (ii) is occupied by an inactive or abandoned factory, smelter, or other heavy industrial
156 facility; and
157 (iii) requires remediation because of the presence of:
158 (A) hazardous [or solid ]waste [as], defined [in Subsection 17B-4-604 (1)(a)(iii)(I), as
159 last amended by Chapter 292, Laws of Utah 2005.] as any substance defined, regulated, or
160 listed as a hazardous substance, hazardous material, hazardous waste, toxic waste, pollutant,
161 contaminant, or toxic substance, or identified as hazardous to human health or the environment
162 under state or federal law or regulation; or
163 (B) solid waste.
164 (b) "Inactive industrial site" includes a perimeter of up to 1,500 feet around the land
165 described in Subsection (21)(a).
166 (22) "Income targeted housing" means housing to be owned or occupied by a family
167 whose annual income is at or below 80% of the median annual income for the county in which
168 the housing is located.
169 (23) "Incremental value" means a figure derived by multiplying the marginal value of

170 the property located within an urban renewal project area on which tax increment is collected
171 by a number that represents the percentage of adjusted tax increment from that project area that
172 is paid to the agency.
173 (24) "Loan fund board" means the Olene Walker Housing Loan Fund Board,
174 established under Title 9, Chapter 4, Part 7, Olene Walker Housing Loan Fund.
175 (25) "Marginal value" means the difference between actual taxable value and base
176 taxable value.
177 (26) "Military installation project area" means a project area or a portion of a project
178 area located within a federal military installation ordered closed by the federal Defense Base
179 Realignment and Closure Commission.
180 (27) "Plan hearing" means the public hearing on a draft project area plan required
181 under Subsection 17C-2-102 (1)(a)[(viii)] (vi) for an urban renewal project area plan,
182 Subsection 17C-3-102 (1)(d) for an economic development project area plan, and Subsection
183 17C-4-102 (1)(d) for a community development project area plan.
184 (28) "Post-June 30, 1993 project area plan" means a project area plan adopted on or
185 after July 1, 1993, whether or not amended subsequent to its adoption.
186 (29) "Pre-July 1, 1993 project area plan" means a project area plan adopted before July
187 1, 1993, whether or not amended subsequent to its adoption.
188 (30) "Private," with respect to real property, means:
189 (a) not owned by the United States or any agency of the federal government, a public
190 entity, or any other governmental entity; and
191 (b) not dedicated to public use.
192 (31) "Project area" means the geographic area described in a project area plan or draft
193 project area plan where the urban renewal, economic development, or community
194 development, as the case may be, set forth in the project area plan or draft project area plan
195 takes place or is proposed to take place.
196 (32) "Project area budget" means a multiyear projection of annual or cumulative
197 revenues and expenses and other fiscal matters pertaining to a urban renewal or economic

198 development project area that includes:
199 (a) the base taxable value of property in the project area;
200 (b) the projected tax increment expected to be generated within the project area;
201 (c) the amount of tax increment expected to be shared with other taxing entities;
202 (d) the amount of tax increment expected to be used to implement the project area plan,
203 including the estimated amount of tax increment to be used for land acquisition, public
204 improvements, infrastructure improvements, and loans, grants, or other incentives to private
205 and public entities;
206 (e) the tax increment expected to be used to cover the cost of administering the project
207 area plan;
208 (f) if the area from which tax increment is to be collected is less than the entire project
209 area:
210 (i) the tax identification numbers of the parcels from which tax increment will be
211 collected; or
212 (ii) a legal description of the portion of the project area from which tax increment will
213 be collected; and
214 (g) for property that the agency owns and expects to sell, the expected total cost of the
215 property to the agency and the expected selling price.
216 (33) "Project area plan" means a written plan under [Part 4, Project Area Plan] Chapter
217 2, Part 1, Urban Renewal Project Area Plan, Chapter 3, Part 1, Economic Development Project
218 Area Plan, or Chapter 4, Part 1, Community Development Project Area Plan, as the case may
219 be, that, after its effective date, guides and controls the urban renewal, economic development,
220 or community development activities within a project area.
221 (34) "Property tax" includes privilege tax and each levy on an ad valorem basis on
222 tangible or intangible personal or real property.
223 (35) "Public entity" means:
224 (a) the state, including any of its departments or agencies; or
225 (b) a political subdivision of the state, including a county, city, town, school district,

226 special district, local district, or interlocal cooperation entity.
227 (36) "Publicly owned infrastructure and improvements" means water, sewer, storm
228 drainage, electrical, and other similar systems and lines, streets, roads, curb, gutter, sidewalk,
229 walkways, parking facilities, public transportation facilities, and other facilities, infrastructure,
230 and improvements benefitting the public and to be publicly owned or publicly maintained or
231 operated.
232 (37) "Record property owner" or "record owner of property" means the owner of real
233 property as shown on the records of the recorder of the county in which the property is located
234 and includes a purchaser under a real estate contract if the contract is recorded in the office of
235 the recorder of the county in which the property is located or the purchaser gives written notice
236 of the real estate contract to the agency.
237 (38) "Superfund site":
238 (a) means an area included in the National Priorities List under the Comprehensive
239 Environmental Response, Compensation, and Liability Act of 1980, 42 U.S.C. Sec. 9605; and
240 (b) includes an area formerly included in the National Priorities List, as described in
241 Subsection (38)(a), but removed from the list following remediation that leaves on site the
242 waste that caused the area to be included in the National Priorities List.
243 (39) "Survey area" means an area designated by a survey area resolution for study to
244 determine whether one or more urban renewal projects within the area are feasible.
245 (40) "Survey area resolution" means a resolution adopted by the agency board under
246 Subsection 17C-2-101 (1)(a) designating a survey area.
247 (41) "Taxable value" means the value of property as shown on the last equalized
248 assessment roll as certified by the county assessor.
249 (42) (a) "Tax increment" means, except as provided in Subsection (42)(b), the
250 difference between:
251 (i) the amount of property tax revenues generated each tax year by all taxing entities
252 from the area within a project area designated in the project area plan as the area from which
253 tax increment is to be collected, using the current assessed value of the property; and

254 (ii) the amount of property tax revenues that would be generated from that same area
255 using the base taxable value of the property.
256 (b) "Tax increment" does not include taxes levied and collected under Section
257 59-2-906.1 on or after January 1, 1994 upon the taxable property in the project area unless:
258 (i) the project area plan was adopted before May 4, 1993, whether or not the project
259 area plan was subsequently amended; and
260 (ii) the taxes were pledged to support bond indebtedness or other contractual
261 obligations of the agency.
262 (43) "Taxing entity" means a public entity that levies a tax on property within a
263 community.
264 (44) "Taxing entity committee" means a committee representing the interests of taxing
265 entities, created as provided in Section 17C-1-402 .
266 (45) "Unincorporated" means not within a city or town.
267 (46) (a) "Urban renewal" means the development activities under a project area plan
268 within an urban renewal project area, including:
269 (i) planning, design, development, demolition, clearance, construction, rehabilitation,
270 environmental remediation, or any combination of these, of part or all of a project area;
271 (ii) the provision of residential, commercial, industrial, public, or other structures or
272 spaces, including recreational and other facilities incidental or appurtenant to them;
273 (iii) altering, improving, modernizing, demolishing, reconstructing, or rehabilitating, or
274 any combination of these, existing structures in a project area;
275 (iv) providing open space, including streets and other public grounds and space around
276 buildings;
277 (v) providing public or private buildings, infrastructure, structures, and improvements;
278 and
279 (vi) providing improvements of public or private recreation areas and other public
280 grounds.
281 (b) "Urban renewal" means "redevelopment," as defined under the law in effect before

282 May 1, 2006, if the context requires.
283 Section 2. Section 17C-1-402 is amended to read:
284 17C-1-402. Taxing entity committee.
285 (1) Each agency that adopts or proposes to adopt a post-June 30, 1993 urban renewal or
286 economic development project area plan shall, and any other agency may, cause a taxing entity
287 committee to be created.
288 (2) (a) (i) Each taxing entity committee shall be composed of:
289 (A) two school district representatives appointed as provided in Subsection (2)(a)(ii);
290 (B) (I) in a county of the second, third, fourth, fifth, or sixth class, two representatives
291 appointed by resolution of the legislative body of the county in which the agency is located; or
292 (II) in a county of the first class, one representative appointed by the county executive
293 and one representative appointed by the legislative body of the county in which the agency is
294 located;
295 (C) if the agency was created by a city or town, two representatives appointed by
296 resolution of the legislative body of that city or town;
297 (D) one representative appointed by the State Board of Education; and
298 (E) one representative selected by majority vote of the legislative bodies or governing
299 boards of all other taxing entities that levy a tax on property within the agency's boundaries, to
300 represent the interests of those taxing entities on the taxing entity committee.
301 (ii) (A) If the agency boundaries include only one school district, that school district
302 shall appoint the two school district representatives under Subsection (2)(a)(i)(A).
303 (B) If the agency boundaries include more than one school district, those school
304 districts shall jointly appoint the two school district representatives under Subsection
305 (2)(a)(i)(A).
306 (b) (i) Each taxing entity committee representative under Subsection (2)(a) shall be
307 appointed within 30 days after the agency provides notice of the creation of the taxing entity
308 committee.
309 (ii) If a representative is not appointed within the time required under Subsection

310 (2)(b)(i), the agency board may appoint a person to serve on the taxing entity committee in the
311 place of the missing representative until that representative is appointed.
312 (c) (i) A taxing entity committee representative may be appointed for a set term or
313 period of time, as determined by the appointing authority under Subsection (2)(a)(i).
314 (ii) Each taxing entity committee representative shall serve until a successor is
315 appointed and qualified.
316 (d) (i) Upon the appointment of each representative under Subsection (2)(a)(i), whether
317 an initial appointment or an appointment to replace an already serving representative, the
318 appointing authority shall:
319 (A) notify the agency in writing of the name and address of the newly appointed
320 representative; and
321 (B) provide the agency a copy of the resolution making the appointment or, if the
322 appointment is not made by resolution, other evidence of the appointment.
323 (ii) Each appointing authority of a taxing entity committee representative under
324 Subsection (2)(a)(i) shall notify the agency in writing of any change of address of a
325 representative appointed by that appointing authority.
326 (3) A taxing entity committee represents all taxing entities regarding an urban renewal
327 or economic development project area and may:
328 (a) cast votes that will be binding on all taxing entities;
329 (b) negotiate with the agency concerning a draft project area plan;
330 (c) approve or disapprove a project area budget as provided in Section 17C-2-204 for
331 an urban renewal project area budget and Section 17C-3-203 for an economic development
332 project area budget;
333 (d) approve or disapprove amendments to a project area budget as provided in Section
334 17C-2-206 for an urban renewal project area budget and Section 17C-3-205 for an economic
335 development project area budget;
336 (e) approve exceptions to the limits on the value and size of a project area imposed
337 under this title;

338 (f) approve exceptions to the percentage of tax increment and the period of time that
339 tax increment is paid to the agency as provided in this title;
340 (g) approve the use of tax increment for publicly owned infrastructure and
341 improvements outside of an urban renewal or economic development project area that the
342 agency and community legislative body determine to be of benefit to the urban renewal or
343 economic development project area, as provided in Subsection 17C-1-409 (1)(a)(iii)(D);
344 (h) waive the restrictions imposed by Subsection 17C-2-202 (1); and
345 (i) give other taxing entity committee approval or consent required or allowed under
346 this title.
347 (4) A quorum of a taxing entity committee consists of:
348 (a) if the urban renewal or economic development project area is located within a city
349 or town, five members; or
350 (b) if the urban renewal or economic development project area is not located within a
351 city or town, four members.
352 (5) Taxing entity committee approval, consent, or other action requires the affirmative
353 vote of two-thirds of all members present at a taxing entity committee meeting at which a
354 quorum is present.
355 (6) (a) An agency may call a meeting of the taxing entity committee by sending written
356 notice to the members of the taxing entity committee at least ten days before the date of the
357 meeting.
358 (b) Each notice under Subsection (6)(a) shall be accompanied by:
359 (i) the proposed agenda for the taxing entity committee meeting; and
360 (ii) if not previously provided and if they exist and are to be considered at the meeting:
361 (A) the urban renewal or economic development project area plan or proposed plan;
362 (B) the urban renewal or economic development project area budget or proposed
363 budget;
364 (C) the analysis required under Subsection 17C-2-103 (2) or 17C-3-103 (2);
365 (D) the blight study;

366 (E) the agency's resolution making a finding of blight under Subsection
367 17C-2-102 (1)(a)[(iv)] (ii)(B); and
368 (F) other documents to be considered by the taxing entity committee at the meeting.
369 (7) (a) A taxing entity committee may not vote on a proposed urban renewal or
370 economic development project area budget or proposed amendment to an urban renewal or
371 economic development project area budget at the first meeting at which the proposed budget or
372 amendment is considered unless all members of the taxing entity committee present at the
373 meeting consent.
374 (b) A second taxing entity committee meeting to consider an urban renewal or
375 economic development project area budget or a proposed amendment to an urban renewal or
376 economic development project area budget may not be held within 14 days after the first
377 meeting unless all members of the taxing entity committee present at the first meeting consent.
378 (8) Each taxing entity committee shall meet at least annually during the time that the
379 agency receives tax increment under an urban renewal or economic development project area
380 budget in order to review the status of the project area.
381 (9) Each taxing entity committee shall be governed by Title 52, Chapter 4, Open and
382 Public Meetings Act.
383 (10) Each time a school district representative or a representative of the State Board of
384 Education votes as a member of a taxing entity committee to allow an agency to be paid tax
385 increment or to increase the amount or length of time that an agency may be paid tax
386 increment, that representative shall, within 45 days after the vote, provide to the
387 representative's respective school board an explanation in writing of the representative's vote
388 and the reasons for the vote.
389 (11) (a) The auditor of each county in which the agency is located shall provide a
390 written report to the taxing entity committee stating, with respect to property within each urban
391 renewal and economic development project area:
392 (i) the base taxable value, as adjusted by any adjustments under Section 17C-1-408 ;
393 and

394 (ii) the assessed value.
395 (b) With respect to the information required under Subsection (11)(a), the auditor shall
396 provide:
397 (i) actual amounts for each year from the adoption of the urban renewal and economic
398 development project area plan to the time of the report; and
399 (ii) estimated amounts for each year beginning the year after the time of the report and
400 ending the time that the agency expects no longer to be paid tax increment from property
401 within the urban renewal and economic development project area.
402 (c) The auditor of the county in which the agency is located shall provide a report
403 under this Subsection (11):
404 (i) at least annually; and
405 (ii) upon request of the taxing entity committee, before a taxing entity committee
406 meeting at which the committee will consider whether to allow the agency to be paid tax
407 increment or to increase the amount of tax increment that the agency may be paid or the length
408 of time that the agency may be paid tax increment.
409 (12) This section does not apply to a community development project area plan.
410 Section 3. Section 17C-1-405 is amended to read:
411 17C-1-405. Tax increment under a project area plan adopted on or after May 1,
412 2006.
413 (1) This section applies to tax increment under a project area plan adopted on or after
414 May 1, 2006.
415 (2) Subject to the approval of the taxing entity committee, an agency board may
416 provide in the project area budget for the agency to be paid:
417 (a) for an urban renewal project area plan that proposes development of an inactive
418 industrial site, at least 60% of tax increment for at least 15 years; or
419 (b) for each other project, any percentage of tax increment up to 100% or any specified
420 dollar amount of tax increment for any period of time.
421 Section 4. Section 17C-1-409 is amended to read:

422 17C-1-409. Allowable uses of tax increment and sales tax.
423 (1) (a) An agency may use tax increment and sales tax proceeds received from a taxing
424 entity:
425 (i) for any of the purposes for which the use of tax increment is authorized under this
426 title;
427 (ii) for administrative, overhead, legal, and other operating expenses of the agency,
428 including consultant fees and expenses under Subsection 17C-2-102 (1)(b)(ii)(B); or
429 (iii) to pay for, including financing or refinancing, all or part of:
430 (A) [the] urban renewal[,] activities in the project area from which the tax increment
431 funds are collected, including environmental remediation activities occurring before or after
432 adoption of the project area plan;
433 (B) economic development[,] or community development activities in the project area
434 from which the tax increment funds [were] are collected;
435 [(B)] (C) housing expenditures, projects, or programs as provided in Section
436 17C-1-411 or 17C-1-412 ;
437 [(C) with the consent of the community legislative body and]
438 (D) subject to [Subsection] Subsections (1)(c) and (6), the value of the land for and the
439 cost of the installation and construction of any publicly owned building, facility, structure,
440 landscaping, or other improvement within the project area from which the tax increment funds
441 were collected; and
442 [(D) with the consent of the community legislative body and the taxing entity
443 committee,]
444 (E) subject to Subsection (1)(d), the cost of the installation of publicly owned
445 infrastructure and improvements outside the project area from which the tax increment funds
446 were collected if the agency board and the community legislative body determine by resolution
447 that the publicly owned infrastructure and improvements are of benefit to the project area.
448 (b) The determination of the agency board and the community legislative body under
449 Subsection (1)(a)(iii)[(D)](E) regarding benefit to the project area shall be final and conclusive.

450 (c) An agency may not use tax increment or sales tax proceeds received from a taxing
451 entity for the purposes stated in Subsection (1)(a)(iii)(D) under an urban renewal or economic
452 development project area plan without the consent of the community legislative body.
453 (d) An agency may not use tax increment or sales tax proceeds received from a taxing
454 entity for the purposes stated in Subsection (1)(a)(iii)(E) under an urban renewal or economic
455 development project area plan without the consent of the community legislative body and the
456 taxing entity committee.
457 (2) Sales tax proceeds that an agency receives from another public entity are not
458 subject to the prohibition or limitations of Title 11, Chapter 41, Prohibition on Sales and Use
459 Tax Incentive Payments Act.
460 (3) An agency may use sales tax proceeds it receives under a resolution or interlocal
461 agreement under Section 17C-4-201 for the uses authorized in the resolution or interlocal
462 agreement.
463 (4) (a) An agency may contract with the community that created the agency or another
464 public entity to use tax increment to reimburse the cost of items authorized by this title to be
465 paid by the agency that have been or will be paid by the community or other public entity.
466 (b) If land has been or will be acquired or the cost of an improvement has been or will
467 be paid by another public entity and the land or improvement has been or will be leased to the
468 community, an agency may contract with and make reimbursement from tax increment funds to
469 the community.
470 (5) An agency created by a city of the first or second class may use tax increment from
471 one project area in another project area to pay all or part of the value of the land for and the
472 cost of the installation and construction of a publicly or privately owned convention center or
473 sports complex or any building, facility, structure, or other improvement related to the
474 convention center or sports complex, including parking and infrastructure improvements, if:
475 (a) construction of the convention center or sports complex or related building, facility,
476 structure, or other improvement is commenced on or before June 30, 2002; and
477 (b) the tax increment is pledged to pay all or part of the value of the land for and the

478 cost of the installation and construction of the convention center or sports complex or related
479 building, facility, structure, or other improvement.
480 (6) Notwithstanding any other provision of this title, an agency may not use tax
481 increment to construct municipal buildings, courts or other judicial buildings, or fire stations.
482 (7) Notwithstanding any other provision of this title, an agency may not use tax
483 increment under an urban renewal or economic development project area plan, to pay any of
484 the cost of the land, infrastructure, or construction of a stadium or arena constructed after
485 March 1, 2005, unless the tax increment has been pledged for that purpose before February 15,
486 2005.
487 Section 5. Section 17C-1-410 is amended to read:
488 17C-1-410. Agency may make payments to other taxing entities.
489 (1) Subject to Subsection (3), an agency may grant tax increment or other agency funds
490 to a taxing entity to offset some or all of the tax revenues that the taxing entity did not receive
491 because of tax increment paid to the agency.
492 (2) (a) Subject to Subsection (3), an agency may use tax increment or other agency
493 funds to pay to a school district an amount of money that the agency determines to be
494 appropriate to alleviate a financial burden or detriment borne by the school district because of
495 the urban renewal, economic development, or community development.
496 (b) Each agency that agrees to pay money to a school district under the authority of
497 Subsection (2)(a) shall provide a copy of that agreement to the State Board of Education.
498 (3) (a) If an agency intends to pay agency funds to one or more taxing entities under
499 Subsection (1) or (2) but does not intend to pay funds to all taxing entities in proportionally
500 equal amounts, the agency shall provide written notice to each taxing entity of its intent.
501 (b) (i) A taxing entity receiving notice under Subsection (3)(a) may elect not to have its
502 tax increment collected and used to pay funds to other taxing entities under this section.
503 (ii) Each election under Subsection (3)(b)(i) shall be:
504 (A) in writing; and
505 (B) delivered to the agency within 30 days after the taxing entity's receipt of the notice

506 under Subsection (3)(a).
507 (c) If a taxing entity makes an election under Subsection (3)(b), the portion of that
508 taxing entity's tax increment that would have been used by the agency to pay funds under this
509 section to one or more other taxing entities may not be collected [from] by the [taxing entity]
510 agency.
511 Section 6. Section 17C-1-411 is amended to read:
512 17C-1-411. Use of tax increment for housing and for relocating mobile home park
513 residents -- Funds to be held in separate accounts.
514 (1) An agency may:
515 (a) use tax increment from a project area to pay all or part of the value of the land for
516 and the cost of installation, construction, and rehabilitation of any building, facility, structure,
517 or other housing improvement, including infrastructure improvements related to housing,
518 located in any project area within the agency's boundaries; and
519 (b) use up to 20% of tax increment:
520 (i) outside of project areas for the purpose of:
521 (A) replacing housing units lost by urban renewal, economic development, or
522 community development[,]; or
523 (B) increasing, improving, and preserving generally the affordable housing supply of
524 the community that created the agency[.]; or
525 (ii) for relocating mobile home park residents displaced by development, whether
526 inside or outside a project area.
527 (2) (a) Each agency shall separately account for funds allocated under this section.
528 (b) Interest earned by the housing fund and any payments or repayments made to the
529 agency for loans, advances, or grants of any kind from the fund, shall accrue to the housing
530 fund.
531 (c) Each agency designating a housing fund under this section shall use the fund for:
532 (i) the purposes set forth in this section; or
533 (ii) the purposes set forth in this title relating to the urban renewal, economic

534 development, or community development project area from which the funds originated.
535 (3) An agency may lend, grant, or contribute funds from the housing fund to a person,
536 public entity, housing authority, private entity or business, or nonprofit corporation for
537 affordable housing.
538 Section 7. Section 17C-1-412 is amended to read:
539 17C-1-412. Use of funds allocated for housing -- Separate accounting required --
540 Issuance of bonds for housing -- Action to compel agency to provide housing funds.
541 (1) (a) Each agency shall use all funds allocated for housing under this section to:
542 (i) pay part or all of the cost of land or construction of income targeted housing within
543 the community that created the agency, if practicable in a mixed income development or area;
544 (ii) pay part or all of the cost of rehabilitation of income targeted housing within the
545 community that created the agency;
546 (iii) pay part or all of the cost of land or installation, construction, or rehabilitation of
547 any building, facility, structure, or other housing improvement, including infrastructure
548 improvements, related to housing located in a project area where blight has been found to exist;
549 (iv) replace housing units lost as a result of the urban renewal, economic development,
550 or community development;
551 (v) make payments on or establish a reserve fund for bonds:
552 (A) issued by the agency, the community, or the housing authority that provides
553 income targeted housing within the community; and
554 (B) all or part of the proceeds of which are used within the community for the purposes
555 stated in Subsection (1)(a)(i), (ii), (iii), or (iv); [or]
556 (vi) if the community's fair share ratio at the time of the first adoption of the project
557 area budget is at least 1.1 to 1.0, make payments on bonds:
558 (A) that were previously issued by the agency, the community, or the housing authority
559 that provides income targeted housing within the community; and
560 (B) all or part of the proceeds of which were used within the community for the
561 purposes stated in Subsection (1)(a)(i), (ii), (iii), or (iv)[.]; or

562 (vii) relocate mobile home park residents displaced by an urban renewal, economic
563 development, or community development project.
564 (b) As an alternative to the requirements of Subsection (1)(a), an agency may pay all or
565 any portion of housing funds to:
566 (i) the community for use as provided under Subsection (1)(a);
567 (ii) the housing authority that provides income targeted housing within the community
568 for use in providing income targeted housing within the community; or
569 (iii) the Olene Walker Housing Loan Fund, established under Title 9, Chapter 4, Part 7,
570 Olene Walker Housing Loan Fund, for use in providing income targeted housing within the
571 community.
572 (2) The agency or community shall separately account for the housing funds, together
573 with all interest earned by the housing funds and all payments or repayments for loans,
574 advances, or grants from the housing funds.
575 (3) In using housing funds under Subsection (1)(a), an agency may lend, grant, or
576 contribute housing funds to a person, public body, housing authority, private entity or business,
577 or nonprofit organization for use as provided in Subsection (1)(a).
578 (4) An agency may:
579 (a) issue bonds from time to time to finance a housing undertaking under this section,
580 including the payment of principal and interest upon advances for surveys and plans or
581 preliminary loans; and
582 (b) issue refunding bonds for the payment or retirement of bonds under Subsection
583 (4)(a) previously issued by the agency.
584 (5) (a) If an agency fails to provide housing funds in accordance with the project area
585 budget and, if applicable, the housing plan adopted under Subsection 17C-2-204 (2), the loan
586 fund board may bring legal action to compel the agency to provide the housing funds.
587 (b) In an action under Subsection (5)(a), the court:
588 (i) shall award the loan fund board a reasonable [attorney's] attorney fee, unless the
589 court finds that the action was frivolous; and

590 (ii) may not award the agency its [attorney's] attorney fees, unless the court finds that
591 the action was frivolous.
592 Section 8. Section 17C-2-102 is amended to read:
593 17C-2-102. Process for adopting urban renewal project area plan -- Prerequisites
594 -- Restrictions.
595 (1) (a) In order to adopt an urban renewal project area plan, after adopting a resolution
596 under Subsection 17C-2-101 (1) the agency shall:
597 (i) unless a finding of blight is based on a finding made under Subsection
598 17C-2-303 (1)(b) relating to an inactive industrial site:
599 (A) cause a blight study to be conducted within the survey area as provided in Section
600 17C-2-301 ;
601 [(ii)] (B) provide notice of a blight hearing as required under Part 5, Urban Renewal
602 Notice Requirements; and
603 [(iii)] (C) hold a blight hearing as provided in Section 17C-2-302 ; [and]
604 [(iv)] (ii) after the blight hearing has been held or, if no blight hearing is required under
605 Subsection (1)(a)(i), after adopting a resolution under Subsection 17C-2-101 (1), hold a board
606 meeting[, either in conjunction with the blight hearing or at a subsequent board meeting,] at
607 which the board shall:
608 (A) consider:
609 (I) the issue of blight and the evidence and information relating to the existence or
610 nonexistence of blight; and
611 (II) whether adoption of one or more urban renewal project area plans should be
612 pursued; and
613 (B) by resolution:
614 (I) make a finding regarding the existence of blight in the proposed urban renewal
615 project area;
616 (II) select one or more project areas comprising part or all of the survey area; and
617 (III) authorize the preparation of a draft project area plan for each project area;

618 [(v)] (iii) prepare a draft of a project area plan and conduct any examination,
619 investigation, and negotiation regarding the project area plan that the agency considers
620 appropriate;
621 [(vi)] (iv) make the draft project area plan available to the public at the agency's offices
622 during normal business hours;
623 [(vii)] (v) provide notice of the plan hearing as provided in Sections 17C-2-502 and
624 17C-2-504 ;
625 [(viii)] (vi) hold a public hearing on the draft project area plan and, at that public
626 hearing:
627 (A) allow public comment on:
628 (I) the draft project area plan; and
629 (II) whether the draft project area plan should be revised, approved, or rejected; and
630 (B) receive all written and hear all oral objections to the draft project area plan;
631 [(ix)] (vii) before holding the plan hearing, provide an opportunity for the State Board
632 of Education and each taxing entity that levies a tax on property within the proposed project
633 area to consult with the agency regarding the draft project area plan;
634 [(x)] (viii) if applicable, hold the election required under Subsection 17C-2-105 (3);
635 [(xi)] (ix) after holding the plan hearing, at the same meeting or at a subsequent
636 meeting consider:
637 (A) the oral and written objections to the draft project area plan and evidence and
638 testimony for and against adoption of the draft project area plan; and
639 (B) whether to revise, approve, or reject the draft project area plan;
640 [(xii)] (x) approve the draft project area plan, with or without revisions, as the project
641 area plan by a resolution that complies with Section 17C-2-106 ; and
642 [(xiii)] (xi) submit the project area plan to the community legislative body for
643 adoption.
644 (b) (i) If an agency makes a finding under Subsection (1)(a)[(iv)] (ii)(B) that blight
645 exists in the proposed urban renewal project area, the agency may not adopt the project area

646 plan until the taxing entity committee approves the finding of blight.
647 (ii) (A) A taxing entity committee may not disapprove an agency's finding of blight
648 unless the committee demonstrates that the conditions the agency found to exist in the urban
649 renewal project area that support the agency's finding of blight under Section 17C-2-303 :
650 (I) do not exist; or
651 (II) do not constitute blight.
652 (B) (I) If the taxing entity committee questions or disputes the existence of some or all
653 of the blight conditions that the agency found to exist in the urban renewal project area or that
654 those conditions constitute blight, the taxing entity committee may hire a consultant, mutually
655 agreed upon by the taxing entity committee and the agency, with the necessary expertise to
656 assist the taxing entity committee to make a determination as to the existence of the questioned
657 or disputed blight conditions.
658 (II) The agency shall pay the fees and expenses of each consultant hired under
659 Subsection (1)(b)(ii)(B)(I).
660 (III) The findings of a consultant under this Subsection (1)(b)(ii)(B) shall be binding on
661 the taxing entity committee and the agency.
662 (2) An agency may not propose a project area plan under Subsection (1) unless the
663 community in which the proposed project area is located:
664 (a) has a planning commission; and
665 (b) has adopted a general plan under:
666 (i) if the community is a city or town, Title 10, Chapter 9a, Part 4, General Plan; or
667 (ii) if the community is a county, Title 17, Chapter 27a, Part 4, General Plan.
668 (3) (a) Subject to Subsection (3)(b), an agency board may not approve a project area
669 plan more than one year after adoption of a resolution making a finding of blight under
670 Subsection (1)(a)[(iv)] (ii)(B).
671 (b) If a project area plan is submitted to an election under Subsection 17C-2-105 (3),
672 the time between the plan hearing and the date of the election does not count for purposes of
673 calculating the year period under Subsection (3)(a).

674 (4) (a) Except as provided in Subsection (4)(b), a draft project area plan may not be
675 modified to add real property to the proposed project area unless the board holds a plan hearing
676 to consider the addition and gives notice of the plan hearing as required under Sections
677 17C-2-502 and 17C-2-504 .
678 (b) The notice and hearing requirements under Subsection (4)(a) do not apply to a draft
679 project area plan being modified to add real property to the proposed project area if:
680 (i) the property is contiguous to the property already included in the proposed project
681 area under the draft project area plan;
682 (ii) the record owner of the property consents to adding the real property to the
683 proposed project area; and
684 (iii) the property is located within the survey area.
685 Section 9. Section 17C-2-106 is amended to read:
686 17C-2-106. Board resolution approving urban renewal project area plan --
687 Requirements.
688 Each board resolution approving a draft urban renewal project area plan as the project
689 area plan under Subsection 17C-2-102 (1)(a)[(xii)] (x) shall contain:
690 (1) a legal description of the boundaries of the project area that is the subject of the
691 project area plan;
692 (2) the agency's purposes and intent with respect to the project area;
693 (3) the project area plan incorporated by reference;
694 (4) a statement that the board previously made a finding of blight within the project
695 area and the date of the board's finding of blight; and
696 (5) the board findings and determinations that:
697 (a) there is a need to effectuate a public purpose;
698 (b) there is a public benefit under the analysis described in Subsection 17C-2-103 (2);
699 (c) it is economically sound and feasible to adopt and carry out the project area plan;
700 (d) the project area plan conforms to the community's general plan; and
701 (e) carrying out the project area plan will promote the public peace, health, safety, and

702 welfare of the community in which the project area is located.
703 Section 10. Section 17C-2-110 is amended to read:
704 17C-2-110. Amending an urban renewal project area plan.
705 (1) An adopted urban renewal project area plan may be amended as provided in this
706 section.
707 (2) If an agency proposes to amend an adopted urban renewal project area plan to
708 enlarge the project area:
709 (a) subject to Subsection (2)(e), the requirements under this part that apply to adopting
710 a project area plan apply equally to the proposed amendment as if it were a proposed project
711 area plan;
712 (b) for a pre-July 1, 1993 project area plan, the base year taxable value for the new area
713 added to the project area shall be determined under Subsection 17C-1-102 (6)(a) using the
714 effective date of the amended project area plan;
715 (c) for a post-June 30, 1993 project area plan:
716 (i) the base year taxable value for the new area added to the project area shall be
717 determined under Subsection 17C-1-102 (6)(b) using the date of the taxing entity committee's
718 consent referred to in Subsection (2)(c)(ii); and
719 (ii) the agency shall obtain the consent of the taxing entity committee before the agency
720 may collect tax increment from the area added to the project area by the amendment;
721 (d) the agency shall make a finding regarding the existence of blight in the area
722 proposed to be added to the project area by following the procedure set forth in Subsections
723 17C-2-102 (1)(a)(i) [through (iv)] and (ii); and
724 (e) the agency need not make a finding regarding the existence of blight in the project
725 area as described in the original project area plan, if the agency made a finding of the existence
726 of blight regarding that project area in connection with adoption of the original project area
727 plan.
728 (3) If a proposed amendment does not propose to enlarge an urban renewal project area,
729 an agency board may adopt a resolution approving an amendment to an adopted project area

730 plan after:
731 (a) the agency gives notice, as provided in Section 17C-2-502 , of the proposed
732 amendment and of the public hearing required by Subsection (3)(b);
733 (b) the agency board holds a public hearing on the proposed amendment that meets the
734 requirements of a plan hearing;
735 (c) the agency obtains the taxing entity committee's consent to the amendment, if the
736 amendment proposes:
737 (i) to enlarge the area within the project area from which tax increment is collected;
738 (ii) to permit the agency to receive a greater percentage of tax increment or to receive
739 tax increment for a longer period of time, or both, than allowed under the adopted project area
740 plan; or
741 (iii) for an amendment to a project area plan that was adopted before April 1, 1983, to
742 expand the area from which tax increment is collected to exceed 100 acres of private property;
743 and
744 (d) the agency obtains the consent of the legislative body or governing board of each
745 taxing entity affected, if the amendment proposes to permit the agency to receive, from less
746 than all taxing entities, a greater percentage of tax increment or to receive tax increment for a
747 longer period of time, or both, than allowed under the adopted project area plan.
748 (4) (a) An adopted urban renewal project area plan may be amended without
749 complying with the notice and public hearing requirements of Subsections (2)(a) and (3)(a) and
750 (b) and without obtaining taxing entity committee approval under Subsection (3)(c) if the
751 amendment:
752 (i) makes a minor adjustment in the legal description of a project area boundary
753 requested by a county assessor or county auditor to avoid inconsistent property boundary lines;
754 or
755 (ii) subject to Subsection (4)(b), removes a parcel of real property from a project area
756 because the agency determines that:
757 (A) the parcel is no longer blighted; or

758 (B) inclusion of the parcel is no longer necessary or desirable to the project area.
759 (b) An amendment removing a parcel of real property from a project area under
760 Subsection (4)(a)(ii) may not be made without the consent of the record property owner of the
761 parcel being removed.
762 (5) (a) An amendment approved by board resolution under this section may not take
763 effect until adopted by ordinance of the legislative body of the community in which the project
764 area that is the subject of the project area plan being amended is located.
765 (b) Upon a community legislative body passing an ordinance adopting an amendment
766 to a project area plan, the agency whose project area plan was amended shall comply with the
767 requirements of Section 17C-2-109 to the same extent as if the amendment were a project area
768 plan.
769 Section 11. Section 17C-2-202 is amended to read:
770 17C-2-202. Combined incremental value -- Restriction against adopting an urban
771 renewal project area budget -- Taxing entity committee may waive restriction.
772 (1) Except as provided in Subsection (2), an agency may not adopt an urban renewal
773 project area budget if, at the time the urban renewal project area budget is being considered, the
774 combined incremental value for the agency exceeds 10% of the total taxable value of property
775 within the agency's boundaries in the year that the urban renewal project area budget is being
776 considered.
777 (2) (a) A taxing entity committee may waive the restrictions imposed by Subsection
778 (1).
779 (b) Subsection (1) does not apply to an urban renewal project area budget if the
780 agency's finding of blight in the project area to which the budget relates is based on a finding
781 under Subsection 17C-2-303 (1)(b).
782 Section 12. Section 17C-2-301 is amended to read:
783 17C-2-301. Blight study -- Requirements -- Deadline.
784 (1) Each blight study required under Subsection 17C-2-102 (1)(a)(i)(A) shall:
785 (a) undertake a parcel by parcel survey of the survey area;

786 (b) provide data so the board and taxing entity committee may determine:
787 (i) whether the conditions described in Subsection 17C-2-303 (1):
788 (A) exist in part or all of the survey area; and
789 (B) qualify an area within the survey area as a project area; and
790 (ii) whether the survey area contains all or part of a superfund site or an inactive
791 industrial site;
792 (c) include a written report setting forth:
793 (i) the conclusions reached;
794 (ii) any recommended area within the survey area qualifying as a project area; and
795 (iii) any other information requested by the agency to determine whether an urban
796 renewal project area is feasible; and
797 (d) be completed within one year after the adoption of the survey area resolution.
798 (2) (a) If a blight study is not completed within one year after the adoption of the
799 resolution under Subsection 17C-2-101 (1) designating a survey area, the agency may not
800 approve an urban renewal project area plan based on that blight study unless it first adopts a
801 new resolution under Subsection 17C-2-101 (1).
802 (b) A new resolution under Subsection (2)(a) shall in all respects be considered to be a
803 resolution under Subsection 17C-2-101 (1) adopted for the first time, except that any actions
804 taken toward completing a blight study under the resolution that the new resolution replaces
805 shall be considered to have been taken under the new resolution.
806 Section 13. Section 17C-2-302 is amended to read:
807 17C-2-302. Blight hearing -- Owners may review evidence of blight.
808 (1) In each hearing required under Subsection 17C-2-102 (1)(a)[(iii)](i)(C), the agency
809 shall:
810 (a) permit all evidence of the existence or nonexistence of blight within the proposed
811 urban renewal project area to be presented; and
812 (b) permit each record owner of property located within the proposed urban renewal
813 project area or the record property owner's representative the opportunity to:

814 (i) examine and cross-examine witnesses providing evidence of the existence or
815 nonexistence of blight; and
816 (ii) present evidence and testimony, including expert testimony, concerning the
817 existence or nonexistence of blight.
818 (2) The agency shall allow record owners of property located within a proposed urban
819 renewal project area the opportunity, for at least 30 days before the hearing, to review the
820 evidence of blight compiled by the agency or by the person or firm conducting the blight study
821 for the agency, including any expert report.
822 Section 14. Section 17C-2-303 is amended to read:
823 17C-2-303. Conditions on board determination of blight -- Conditions of blight
824 caused by the developer.
825 (1) An agency board may not make a finding of blight in a resolution under Subsection
826 17C-2-102 (1)(a)(ii)(B) unless the board finds that:
827 (a) (i) the proposed project area consists predominantly of nongreenfield parcels;
828 (ii) the proposed project area is currently zoned for urban purposes and generally
829 served by utilities;
830 (iii) at least 50% of the parcels within the proposed project area contain nonagricultural
831 or nonaccessory buildings or improvements used or intended for residential, commercial,
832 industrial, or other urban purposes, or any combination of those uses;
833 (iv) the present condition or use of the proposed project area substantially impairs the
834 sound growth of the municipality, retards the provision of housing accommodations, or
835 constitutes an economic liability or is detrimental to the public health, safety, or welfare, as
836 shown by the existence within the proposed project area of at least four of the following
837 factors:
838 (A) one of the following, although sometimes interspersed with well maintained
839 buildings and infrastructure:
840 (I) substantial physical dilapidation, deterioration, or defective construction of
841 buildings or infrastructure; or

842 (II) significant noncompliance with current building code, safety code, health code, or
843 fire code requirements or local ordinances;
844 (B) unsanitary or unsafe conditions in the proposed project area that threaten the
845 health, safety, or welfare of the community;
846 (C) environmental hazards, as defined in state or federal law, that require remediation
847 as a condition for current or future use and development;
848 (D) excessive vacancy, abandoned buildings, or vacant lots within an area zoned for
849 urban use and served by utilities;
850 (E) abandoned or outdated facilities that pose a threat to public health, safety, or
851 welfare;
852 (F) criminal activity in the project area, higher than that of comparable nonblighted
853 areas in the municipality or county; and
854 (G) defective or unusual conditions of title rendering the title nonmarketable; and
855 (v) (A) at least 50% of the parcels within the proposed project area are affected by at
856 least one of the factors, but not necessarily the same factor, listed in Subsection (1)(a)(iv); and
857 (B) the affected parcels comprise at least 66% of the acreage of the proposed project
858 area; or
859 (b) the proposed project area includes some or all of a superfund site or an inactive
860 industrial site.
861 (2) No single parcel comprising 10% or more of the acreage of the proposed project
862 area may be counted as satisfying Subsection (1)(a)(iii) or (iv) unless at least 50% of the area of
863 that parcel is occupied by buildings or improvements.
864 (3) (a) For purposes of Subsection (1), if a developer involved in the urban renewal
865 project has caused a condition listed in Subsection (1)(a)(iv) within the proposed project area,
866 that condition may not be used in the determination of blight.
867 (b) Subsection (3)(a) does not apply to a condition that was caused by an owner or
868 tenant who becomes a developer.
869 Section 15. Section 17C-2-304 is amended to read:

870 17C-2-304. Challenging a finding of blight -- Time limit -- De novo review.
871 (1) If the board makes a finding of blight under Subsection 17C-2-102 (1)(a)(ii)(B) and
872 that finding is approved by resolution adopted by the taxing entity committee, a record owner
873 of property located within the proposed urban renewal project area may challenge the finding
874 by filing an action with the district court for the county in which the property is located.
875 (2) Each challenge under Subsection (1) shall be filed within 30 days after the taxing
876 entity committee approves the board's finding of blight.
877 (3) In each action under this section, the district court shall review the finding of blight
878 under the standards of review provided in Subsection 10-9a-801 (3).
879 Section 16. Section 17C-4-202 is amended to read:
880 17C-4-202. Resolution or interlocal agreement to provide funds for the
881 community development project area plan -- Notice -- Effective date of resolution or
882 interlocal agreement -- Time to contest resolution or interlocal agreement -- Availability
883 of resolution or interlocal agreement.
884 (1) The approval and adoption of each resolution or interlocal agreement under
885 Subsection 17C-4-201 (2) shall be in an open and public meeting.
886 (2) (a) Upon the adoption of a resolution or interlocal agreement under Section
887 17C-4-201 , the agency shall provide notice as provided in Subsection (2)(b) by:
888 (i) publishing or causing to be published a notice in a newspaper of general circulation
889 within the agency's boundaries; or
890 (ii) if there is no newspaper of general circulation within the agency's boundaries,
891 causing a notice to be posted in at least three public places within the agency's boundaries.
892 (b) Each notice under Subsection (2)(a) shall:
893 (i) set forth a summary of the resolution or interlocal agreement; and
894 (ii) include a statement that the resolution or interlocal agreement is available for
895 general public inspection and the hours of inspection.
896 (3) The resolution or interlocal agreement shall become effective on the date of:
897 (a) if notice was published under Subsection (2)(a), publication of the notice; or

898 (b) if notice was posted under Subsection (2)(a), posting of the notice.
899 (4) (a) For a period of 30 days after the effective date of the resolution or interlocal
900 agreement under Subsection (3), any person in interest may contest the resolution or interlocal
901 agreement or the procedure used to adopt the resolution or interlocal agreement if the
902 resolution or interlocal agreement or procedure fails to comply with applicable statutory
903 requirements.
904 (b) After the 30-day period under Subsection (4)(a) expires, no person may contest the
905 resolution or interlocal agreement for any cause.
906 (5) Each agency that is to receive funds under a resolution or interlocal agreement
907 under Section 17C-4-201 and each taxing entity or public agency that approves a resolution or
908 enters into an interlocal agreement under Section 17C-4-201 shall make the resolution or
909 interlocal agreement, as the case may be, available at its offices to the general public for
910 inspection and copying during normal business hours.