First Substitute H.B. 391

Representative Wayne A. Harper proposes the following substitute bill:

1 PUBLIC SCHOOL FUNDING
2 2008 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: Wayne A. Harper
5 Senate Sponsor: ____________
6
7 LONG TITLE
8 General Description:
9 This bill amends provisions in the Minimum School Program Act, the Property Tax
10 Act, and the Sales and Use Tax Act relating to certain property tax levies and the
11 funding of public school programs.
12 Highlighted Provisions:
13 This bill:
14 . repeals the authority of school districts to levy certain property taxes;
15 . requires a school district to use the revenue received from the Homeowner
16 Protection Program to pay for bond interest, principal, and redemption premiums
17 first;
18 . requires a school district to use the remaining money received from the Homeowner
19 Protection Program to offset the loss of certain property tax revenue;
20 . creates a new local school district discretionary levy;
21 . sets the tax rate for the local school district discretionary levy for the first taxable
22 year;
23 . provides procedures for setting the tax rate for the local school discretionary levy
24 after the first taxable year;
25 . prohibits a taxing entity from imposing a property tax rate higher than the taxing

26 entity's certified tax rate for three years;
27 . increases the sales and use tax on certain transactions by 1.65%;
28 . dedicates the revenue generated by the 1.65% increase to the Uniform School Fund;
29 . adjusts a school district's certified tax rate due to the repeal or amendment of the
30 property taxing authority of the school district;
31 . defines terms; and
32 . makes technical changes.
33 Monies Appropriated in this Bill:
34 None
35 Other Special Clauses:
36 This bill provides an effective date and provides retrospective operation for Section
37 59-2-919.1 .
38 This bill coordinates with H.B. 77, Personal Property Tax Amendments, by changing
39 technical cross references.
40 Utah Code Sections Affected:
41 AMENDS:
42 11-2-7, as last amended by Laws of Utah 1961, Chapters 25 and 30
43 11-13-302, as last amended by Laws of Utah 2007, Chapter 108
44 11-14-102, as last amended by Laws of Utah 2007, Chapter 329
45 20A-1-203, as last amended by Laws of Utah 2007, Chapter 215
46 53A-1a-513, as last amended by Laws of Utah 2005, Chapters 9 and 291
47 53A-2-118.2, as enacted by Laws of Utah 2007, Chapter 297
48 53A-2-206, as last amended by Laws of Utah 2007, Chapter 372
49 53A-17a-103, as last amended by Laws of Utah 2007, Chapters 107 and 372
50 53A-17a-105, as last amended by Laws of Utah 1994, Chapter 268
51 53A-17a-127, as last amended by Laws of Utah 2001, Chapter 73
52 53A-21-103, as last amended by Laws of Utah 2003, Chapter 320
53 53A-21-104, as last amended by Laws of Utah 2007, Chapter 344
54 59-2-404, as last amended by Laws of Utah 1999, Chapter 181
55 59-2-405, as last amended by Laws of Utah 2005, Chapters 217 and 244
56 59-2-405.1, as last amended by Laws of Utah 2006, Chapter 164

57 59-2-405.2, as last amended by Laws of Utah 2006, Fifth Special Session, Chapter 3
58 59-2-405.3, as enacted by Laws of Utah 2005, Chapter 217
59 59-2-919, as last amended by Laws of Utah 2006, Chapters 26 and 104
60 59-2-924, as last amended by Laws of Utah 2007, Chapters 107 and 329
61 59-12-103, as last amended by Laws of Utah 2007, Chapters 9, 101, 126, 206, and 288
62 59-12-1201, as last amended by Laws of Utah 2006, Chapters 135 and 253
63 63-30d-704, as enacted by Laws of Utah 2004, Chapter 267
64 ENACTS:
65 53A-17a-154, Utah Code Annotated 1953
66 53A-17a-155, Utah Code Annotated 1953
67 59-2-919.1, Utah Code Annotated 1953
68 REPEALS:
69 53A-2-114, as last amended by Laws of Utah 1996, Chapter 326
70 53A-2-115, as last amended by Laws of Utah 1996, Chapter 326
71 53A-16-107, as last amended by Laws of Utah 1999, Chapter 332
72 53A-16-110, as last amended by Laws of Utah 2004, Chapter 371
73 53A-17a-133, as last amended by Laws of Utah 2006, Chapter 26
74 53A-17a-134, as last amended by Laws of Utah 2006, Chapter 26
75 53A-17a-143, as last amended by Laws of Utah 1995, Chapter 271
76 53A-17a-145, as renumbered and amended by Laws of Utah 1991, Chapter 72
77 53A-17a-151, as enacted by Laws of Utah 2004, Chapter 305
78
79 Be it enacted by the Legislature of the state of Utah:
80 Section 1. Section 11-2-7 is amended to read:
81 11-2-7. Expenses -- Payment of -- Authority to appropriate and tax -- Licensing
82 of television owners and users -- Collection of license fees.
83 (1) All expenses incurred in the equipment, operation and maintenance of such
84 recreational facilities and activities shall be paid from the treasuries of the respective cities,
85 towns, counties, or school districts, and the governing bodies of the same may annually
86 appropriate[, and cause to be raised by taxation,] money for such purposes.
87 (2) In areas so remote from regular transmission points of the large television stations

88 that television reception is impossible without special equipment and adequate, economical and
89 proper television is not available to the public by private sources, said local authorities may
90 also, by ordinance, license, for the purpose of raising revenue to equip, operate and maintain
91 television transmission and relay facilities, all users or owners of television sets within the
92 jurisdiction of said local authorities, and may provide for the collection of the license fees by
93 suit or otherwise and may also enforce obedience to such ordinances with such fine and
94 imprisonment as the local authorities deem proper; provided that the punishment for any
95 violation of such ordinances shall be by a fine not exceeding $50.00 or by imprisonment not
96 exceeding one day for each $5.00 of said fine, if the fine is not paid.
97 Section 2. Section 11-13-302 is amended to read:
98 11-13-302. Payment of fee in lieu of ad valorem property tax by certain energy
99 suppliers -- Method of calculating -- Collection -- Extent of tax lien.
100 (1) (a) Each project entity created under this chapter that owns a project and that sells
101 any capacity, service, or other benefit from it to an energy supplier or suppliers whose tangible
102 property is not exempted by Utah Constitution Article XIII, Section 3, from the payment of ad
103 valorem property tax, shall pay an annual fee in lieu of ad valorem property tax as provided in
104 this section to each taxing jurisdiction within which the project or any part of it is located.
105 (b) For purposes of this section, "annual fee" means the annual fee described in
106 Subsection (1)(a) that is in lieu of ad valorem property tax.
107 (c) The requirement to pay an annual fee shall commence:
108 (i) with respect to each taxing jurisdiction that is a candidate receiving the benefit of
109 impact alleviation payments under contracts or determination orders provided for in Sections
110 11-13-305 and 11-13-306 , with the fiscal year of the candidate following the fiscal year of the
111 candidate in which the date of commercial operation of the last generating unit, other than any
112 generating unit providing additional project capacity, of the project occurs, or, in the case of
113 any facilities providing additional project capacity, with the fiscal year of the candidate
114 following the fiscal year of the candidate in which the date of commercial operation of the
115 generating unit providing the additional project capacity occurs; and
116 (ii) with respect to any taxing jurisdiction other than a taxing jurisdiction described in
117 Subsection (1)(c)(i), with the fiscal year of the taxing jurisdiction in which construction of the
118 project commences, or, in the case of facilities providing additional project capacity, with the

119 fiscal year of the taxing jurisdiction in which construction of those facilities commences.
120 (d) The requirement to pay an annual fee shall continue for the period of the useful life
121 of the project or facilities.
122 (2) (a) The annual fees due a school district shall be as provided in Subsection (2)(b)
123 because the ad valorem property tax imposed by a school district and authorized by the
124 Legislature under Section 53A-17a-135 represents [both: (i)] a levy mandated by the state for
125 the state minimum school program under Section 53A-17a-135 [; and].
126 [(ii) local levies for capital outlay, maintenance, transportation, and other purposes
127 under Sections 11-2-7 , 53A-16-107 , 53A-16-110 , 53A-17a-126 , 53A-17a-127 , 53A-17a-133 ,
128 53A-17a-134 , 53A-17a-143 , 53A-17a-145 , and 53A-21-103 .]
129 (b) The annual fees due a school district shall be as follows:
130 (i) the project entity shall pay to the school district an annual fee for the state minimum
131 school program at the rate imposed by the school district and authorized by the Legislature
132 under Subsection 53A-17a-135 (1); and
133 (ii) for all other local property tax levies authorized to be imposed by a school district,
134 the project entity shall pay to the school district either:
135 (A) an annual fee; or
136 (B) impact alleviation payments under contracts or determination orders provided for
137 in Sections 11-13-305 and 11-13-306 .
138 (3) (a) An annual fee due a taxing jurisdiction for a particular year shall be calculated
139 by multiplying the tax rate or rates of the jurisdiction for that year by the product obtained by
140 multiplying the fee base or value determined in accordance with Subsection (4) for that year of
141 the portion of the project located within the jurisdiction by the percentage of the project which
142 is used to produce the capacity, service, or other benefit sold to the energy supplier or suppliers.
143 (b) As used in this section, "tax rate," when applied in respect to a school district,
144 includes any assessment to be made by the school district under Subsection (2) or Section
145 63-51-6 .
146 (c) There is to be credited against the annual fee due a taxing jurisdiction for each year,
147 an amount equal to the debt service, if any, payable in that year by the project entity on bonds,
148 the proceeds of which were used to provide public facilities and services for impact alleviation
149 in the taxing jurisdiction in accordance with Sections 11-13-305 and 11-13-306 .

150 (d) The tax rate for the taxing jurisdiction for that year shall be computed so as to:
151 (i) take into account the fee base or value of the percentage of the project located
152 within the taxing jurisdiction determined in accordance with Subsection (4) used to produce the
153 capacity, service, or other benefit sold to the supplier or suppliers; and
154 (ii) reflect any credit to be given in that year.
155 (4) (a) Except as otherwise provided in this section, the annual fees required by this
156 section shall be paid, collected, and distributed to the taxing jurisdiction as if:
157 (i) the annual fees were ad valorem property taxes; and
158 (ii) the project were assessed at the same rate and upon the same measure of value as
159 taxable property in the state.
160 (b) (i) Notwithstanding Subsection (4)(a), for purposes of an annual fee required by
161 this section, the fee base of a project may be determined in accordance with an agreement
162 among:
163 (A) the project entity; and
164 (B) any county that:
165 (I) is due an annual fee from the project entity; and
166 (II) agrees to have the fee base of the project determined in accordance with the
167 agreement described in this Subsection (4).
168 (ii) The agreement described in Subsection (4)(b)(i):
169 (A) shall specify each year for which the fee base determined by the agreement shall be
170 used for purposes of an annual fee; and
171 (B) may not modify any provision of this chapter except the method by which the fee
172 base of a project is determined for purposes of an annual fee.
173 (iii) For purposes of an annual fee imposed by a taxing jurisdiction within a county
174 described in Subsection (4)(b)(i)(B), the fee base determined by the agreement described in
175 Subsection (4)(b)(i) shall be used for purposes of an annual fee imposed by that taxing
176 jurisdiction.
177 (iv) (A) If there is not agreement as to the fee base of a portion of a project for any
178 year, for purposes of an annual fee, the State Tax Commission shall determine the value of that
179 portion of the project for which there is not an agreement:
180 (I) for that year; and

181 (II) using the same measure of value as is used for taxable property in the state.
182 (B) The valuation required by Subsection (4)(b)(iv)(A) shall be made by the State Tax
183 Commission in accordance with rules made by the State Tax Commission.
184 (c) Payments of the annual fees shall be made from:
185 (i) the proceeds of bonds issued for the project; and
186 (ii) revenues derived by the project entity from the project.
187 (d) (i) The contracts of the project entity with the purchasers of the capacity, service, or
188 other benefits of the project whose tangible property is not exempted by Utah Constitution
189 Article XIII, Section 3, from the payment of ad valorem property tax shall require each
190 purchaser, whether or not located in the state, to pay, to the extent not otherwise provided for,
191 its share, determined in accordance with the terms of the contract, of these fees.
192 (ii) It is the responsibility of the project entity to enforce the obligations of the
193 purchasers.
194 (5) (a) The responsibility of the project entity to make payment of the annual fees is
195 limited to the extent that there is legally available to the project entity, from bond proceeds or
196 revenues, monies to make these payments, and the obligation to make payments of the annual
197 fees is not otherwise a general obligation or liability of the project entity.
198 (b) No tax lien may attach upon any property or money of the project entity by virtue of
199 any failure to pay all or any part of an annual fee.
200 (c) The project entity or any purchaser may contest the validity of an annual fee to the
201 same extent as if the payment was a payment of the ad valorem property tax itself.
202 (d) The payments of an annual fee shall be reduced to the extent that any contest is
203 successful.
204 (6) (a) The annual fee described in Subsection (1):
205 (i) shall be paid by a public agency that:
206 (A) is not a project entity; and
207 (B) owns an interest in a facility providing additional project capacity if the interest is
208 otherwise exempt from taxation pursuant to Utah Constitution, Article XIII, Section 3; and
209 (ii) for a public agency described in Subsection (6)(a)(i), shall be calculated in
210 accordance with Subsection (6)(b).
211 (b) The annual fee required under Subsection (6)(a) shall be an amount equal to the tax

212 rate or rates of the applicable taxing jurisdiction multiplied by the product of the following:
213 (i) the fee base or value of the facility providing additional project capacity located
214 within the jurisdiction;
215 (ii) the percentage of the ownership interest of the public agency in the facility; and
216 (iii) the portion, expressed as a percentage, of the public agency's ownership interest
217 that is attributable to the capacity, service, or other benefit from the facility that is sold by the
218 public agency to an energy supplier or suppliers whose tangible property is not exempted by
219 Utah Constitution, Article XIII, Section 3, from the payment of ad valorem property tax.
220 (c) A public agency paying the annual fee pursuant to Subsection (6)(a) shall have the
221 obligations, credits, rights, and protections set forth in Subsections (1) through (5) with respect
222 to its ownership interest as though it were a project entity.
223 Section 3. Section 11-14-102 is amended to read:
224 11-14-102. Definitions.
225 For the purpose of this chapter:
226 (1) "Bond" means any bond authorized to be issued under this chapter, including
227 municipal bonds.
228 (2) "Election results" has the same meaning as defined in Section 20A-1-102 .
229 (3) (a) "Governing body" means:
230 [(a)] (i) for a county, city, or town, the legislative body of the county, city, or town;
231 [(b)] (ii) for a local district, the board of trustees of the local district; or
232 [(c) for a school district, the local board of education; or]
233 [(d)] (iii) for a special service district under Title 17A, Chapter 2, Part 13, Utah Special
234 Service District Act:
235 [(i)] (A) the governing body of the county or municipality that created the special
236 service district, if no administrative control board has been established under Section
237 17A-2-1326 ; or
238 [(ii)] (B) the administrative control board, if one has been established under Section
239 17A-2-1326 and the power to issue bonds not payable from taxes has been delegated to the
240 administrative control board.
241 (b) "Governing body" does not include a school district.
242 (4) "Local district" means a district operating under Title 17B, Limited Purpose Local

243 Government Entities - Local Districts.
244 (5) (a) "Local political subdivision" means a county, city, town, [school district,] local
245 district, or special service district.
246 (b) "Local political subdivision" does not include:
247 (i) the state and its institutions[.]; or
248 (ii) a school district.
249 Section 4. Section 20A-1-203 is amended to read:
250 20A-1-203. Calling and purpose of special elections.
251 (1) Statewide and local special elections may be held for any purpose authorized by
252 law.
253 (2) (a) Statewide special elections shall be conducted using the procedure for regular
254 general elections.
255 (b) Except as otherwise provided in this title, local special elections shall be conducted
256 using the procedures for regular municipal elections.
257 (3) The governor may call a statewide special election by issuing an executive order
258 that designates:
259 (a) the date for the statewide special election; and
260 (b) the purpose for the statewide special election.
261 (4) The Legislature may call a statewide special election by passing a joint or
262 concurrent resolution that designates:
263 (a) the date for the statewide special election; and
264 (b) the purpose for the statewide special election.
265 (5) (a) The legislative body of a local political subdivision may call a local special
266 election only for:
267 (i) a vote on a bond or debt issue;
268 [(ii) a vote on a voted leeway program authorized by Section 53A-17a-133 or
269 53A-17a-134 ;]
270 [(iii)] (ii) an initiative authorized by Chapter 7, Part 5, Local Initiatives - Procedure;
271 [(iv)] (iii) a referendum authorized by Chapter 7, Part 6, Local Referenda - Procedures;
272 [(v)] (iv) if required or authorized by federal law, a vote to determine whether or not
273 Utah's legal boundaries should be changed;

274 [(vi)] (v) a vote authorized or required by Title 59, Chapter 12, Sales and Use Tax Act;
275 or
276 [(vii)] (vi) a vote to elect members to school district boards for a new school district
277 and a remaining school district, as defined in Section 53A-2-117 , following the creation of a
278 new school district under Section 53A-2-118.1 .
279 (b) The legislative body of a local political subdivision may call a local special election
280 by adopting an ordinance or resolution that designates:
281 (i) the date for the local special election; and
282 (ii) the purpose for the local special election.
283 Section 5. Section 53A-1a-513 is amended to read:
284 53A-1a-513. Funding for charter schools.
285 (1) (a) Charter schools shall receive funding as described in this section, except
286 Subsections (2) through (7) do not apply to charter schools described in Subsection (1)(b).
287 (b) Charter schools authorized by local school boards that are converted from district
288 schools or operate in district facilities without paying reasonable rent shall receive funding as
289 prescribed in Section 53A-1a-515 .
290 (2) (a) Except as provided in Subsection (2)(b), a charter school shall receive state
291 funds, as applicable, on the same basis as a school district receives funds.
292 (b) In distributing funds under Title 53A, Chapter 17a, Minimum School Program Act,
293 to charter schools, charter school pupils shall be weighted, where applicable, as follows:
294 (i) .55 for kindergarten pupils;
295 (ii) .9 for pupils in grades 1-6;
296 (iii) .99 for pupils in grades 7-8; and
297 (iv) 1.2 for pupils in grades 9-12.
298 (c) The State Board of Education shall make rules in accordance with Title 63, Chapter
299 46a, Utah Administrative Rulemaking Act, to administer Subsection (2)(b), including hold
300 harmless provisions to maintain a charter elementary school's funding level for a period of two
301 years after the effective date of the distribution formula.
302 (d) Subsection (2)(b) does not apply to funds appropriated to charter schools to replace
303 local property tax revenues.
304 (3) The State Board of Education shall adopt rules to provide for the distribution of

305 monies to charter schools under this section.
306 (4) (a) The Legislature shall provide an appropriation for charter schools for each of
307 their students to replace some of the local property tax revenues that are not available to charter
308 schools. The amount of money provided for each charter school student shall be determined
309 by:
310 (i) calculating the sum of:
311 (A) school districts' operations and maintenance revenues derived from local property
312 taxes, except revenues from imposing a minimum basic tax rate pursuant to Section
313 53A-17a-135 ;
314 (B) school districts' capital projects revenues derived from local property taxes; and
315 (C) school districts' expenditures for interest on debt; and
316 (ii) dividing the sum by the total average daily membership of the districts' schools.
317 (b) Of the monies provided to a charter school under Subsection (4)(a), 10% shall be
318 expended for funding school facilities only.
319 (c) To qualify for money under Subsection (4)(a), a new charter school shall, by
320 September 30 of the school year prior to the school year it intends to begin operations:
321 (i) obtain approval of its application for a charter from:
322 (A) the State Board of Education, pursuant to Section 53A-1a-505 ; or
323 (B) a local school board, pursuant to Section 53A-1a-515 ; and
324 (ii) submit to the chartering entity an estimate of the charter school's first year
325 enrollment.
326 (d) Subsection (4)(c) does not apply to charter schools beginning operations in the
327 2005-06 school year.
328 (e) By December 1, the State Charter School Board shall submit to the Governor's
329 Office of Planning and Budget and the Office of the Legislative Fiscal Analyst an estimate of
330 total charter school enrollment in the state for the following school year.
331 (5) Charter schools are eligible to receive federal funds if they meet all applicable
332 federal requirements and comply with relevant federal regulations.
333 (6) The State Board of Education shall distribute funds for charter school students
334 directly to the charter school.
335 (7) (a) Notwithstanding Subsection (2), a charter school is not eligible to receive state

336 transportation funding.
337 (b) The board shall also adopt rules relating to the transportation of students to and
338 from charter schools, taking into account [Sections] Section 53A-2-210 [and 53A-17a-127 ].
339 (c) The governing body of the charter school may provide transportation through an
340 agreement or contract with the local school board, a private provider, or with parents.
341 (8) (a) (i) The state superintendent of public instruction may allocate grants for both
342 start-up and ongoing costs to eligible charter school applicants from monies appropriated for
343 the implementation of this part.
344 (ii) Applications for the grants shall be filed on a form determined by the state
345 superintendent and in conjunction with the application for a charter.
346 (iii) The amount of a grant may vary based upon the size, scope, and special
347 circumstances of the charter school.
348 (iv) The governing board of the charter school shall use the grant to meet the expenses
349 of the school as established in the school's charter.
350 (b) The State Board of Education shall coordinate the distribution of federal monies
351 appropriated to help fund costs for establishing and maintaining charter schools within the
352 state.
353 (9) (a) A charter school may receive, hold, manage and use any devise, bequest, grant,
354 endowment, gift, or donation of any property made to the school for any of the purposes of this
355 part.
356 (b) It is unlawful for any person affiliated with a charter school to demand or request
357 any gift, donation, or contribution from a parent, teacher, employee, or other person affiliated
358 with the charter school as a condition for employment or enrollment at the school or continued
359 attendance at the school.
360 (10) The State Office of Education shall use up to $1,044,000 of funding provided for
361 new growth to fund additional growth needs in charter schools in fiscal year 2005.
362 Section 6. Section 53A-2-118.2 is amended to read:
363 53A-2-118.2. New school district property tax -- Limitations.
364 (1) [(a)] A new school district created under Section 53A-2-118.1 may not impose a
365 property tax prior to the fiscal year in which the new school district assumes responsibility for
366 providing student instruction.

367 [(b)] (2) The remaining school district retains authority to impose property taxes on the
368 existing school district, including the territory of the new school district, until the fiscal year in
369 which the new school district assumes responsibility for providing student instruction.
370 [(2) (a) If at the time a new school district created pursuant to Section 53A-2-118.1
371 assumes responsibility for student instruction any portion of the territory within the new school
372 district was subject to a levy pursuant to Section 53A-16-110 or 53A-17a-133 , the new school
373 district's board may:]
374 [(i) discontinue the levy for the new school district;]
375 [(ii) impose a levy on the new school district as provided in Section 53A-16-110 or
376 53A-17a-133 ; or]
377 [(iii) impose the levy on the new school district, subject to Subsection (2)(b).]
378 [(b) If the new school district's board applies a levy to the new school district pursuant
379 to Subsection (2)(a)(iii), the levy may not exceed the maximum duration or rate authorized by
380 the voters of the existing district or districts at the time of the vote to create the new school
381 district.]
382 Section 7. Section 53A-2-206 is amended to read:
383 53A-2-206. Interstate compact students -- Inclusion in attendance count --
384 Funding for foreign exchange students -- Annual report -- Requirements for exchange
385 student agencies.
386 (1) A school district or charter school may include the following students in the
387 district's or school's membership and attendance count for the purpose of apportionment of
388 state monies:
389 (a) a student enrolled under an interstate compact, established between the State Board
390 of Education and the state education authority of another state, under which a student from one
391 compact state would be permitted to enroll in a public school in the other compact state on the
392 same basis as a resident student of the receiving state; or
393 (b) a student receiving services under the Compact on Placement of Children.
394 (2) (a) A school district or charter school may include foreign exchange students in the
395 district's or school's membership and attendance count for the purpose of apportionment of
396 state monies, except as provided in Subsections (2)(b) through [(e)] (d).
397 (b) (i) Notwithstanding Section 53A-17a-106 , foreign exchange students may not be

398 included in average daily membership for the purpose of determining the number of weighted
399 pupil units in the grades 1-12 basic program.
400 (ii) Subject to the limitation in Subsection (2)(c), the number of weighted pupil units in
401 the grades 1-12 basic program attributed to foreign exchange students shall be equal to the
402 number of foreign exchange students who were:
403 (A) enrolled in a school district or charter school on October 1 of the previous fiscal
404 year; and
405 (B) sponsored by an agency approved by the district's local school board or charter
406 school's governing board.
407 (c) (i) The total number of foreign exchange students in the state that may be counted
408 for the purpose of apportioning state monies under Subsection (2)(b) shall be the lesser of:
409 (A) the number of foreign exchange students enrolled in public schools in the state on
410 October 1 of the previous fiscal year; or
411 (B) 328 foreign exchange students.
412 (ii) The State Board of Education shall make rules in accordance with Title 63, Chapter
413 46a, Utah Administrative Rulemaking Act, to administer the cap on the number of foreign
414 exchange students that may be counted for the purpose of apportioning state monies under
415 Subsection (2)(b).
416 [(d) Notwithstanding Sections 53A-17a-133 and 53A-17a-134 , weighted pupil units in
417 the grades 1-12 basic program for foreign exchange students, as determined by Subsections
418 (2)(b) and (c), may not be included for the purposes of determining a school district's state
419 guarantee money under the voted or board leeway programs.]
420 [(e)] (d) Notwithstanding Section 53A-17a-125 , foreign exchange students may not be
421 included in enrollment when calculating student growth for the purpose of adjusting the annual
422 appropriation for retirement and Social Security.
423 (3) A school district or charter school may:
424 (a) enroll foreign exchange students that do not qualify for state monies; and
425 (b) pay for the costs of those students with other funds available to the school district
426 or charter school.
427 (4) Due to the benefits to all students of having the opportunity to become familiar
428 with individuals from diverse backgrounds and cultures, school districts are encouraged to

429 enroll foreign exchange students, as provided in Subsection (3), particularly in schools with
430 declining or stable enrollments where the incremental cost of enrolling the foreign exchange
431 student may be minimal.
432 (5) The board shall make an annual report to the Legislature on the number of
433 exchange students and the number of interstate compact students sent to or received from
434 public schools outside the state.
435 (6) (a) A local school board or charter school governing board shall require each
436 approved exchange student agency to provide it with a sworn affidavit of compliance prior to
437 the beginning of each school year.
438 (b) The affidavit shall include the following assurances:
439 (i) that the agency has complied with all applicable policies of the board;
440 (ii) that a household study, including a background check of all adult residents, has
441 been made of each household where an exchange student is to reside, and that the study was of
442 sufficient scope to provide reasonable assurance that the exchange student will receive proper
443 care and supervision in a safe environment;
444 (iii) that host parents have received training appropriate to their positions, including
445 information about enhanced criminal penalties under Subsection 76-5-406 (10) for persons who
446 are in a position of special trust;
447 (iv) that a representative of the exchange student agency shall visit each student's place
448 of residence at least once each month during the student's stay in Utah;
449 (v) that the agency will cooperate with school and other public authorities to ensure
450 that no exchange student becomes an unreasonable burden upon the public schools or other
451 public agencies;
452 (vi) that each exchange student will be given in the exchange student's native language
453 names and telephone numbers of agency representatives and others who could be called at any
454 time if a serious problem occurs; and
455 (vii) that alternate placements are readily available so that no student is required to
456 remain in a household if conditions appear to exist which unreasonably endanger the student's
457 welfare.
458 (7) (a) A local school board or charter school governing board shall provide each
459 approved exchange student agency with a list of names and telephone numbers of individuals

460 not associated with the agency who could be called by an exchange student in the event of a
461 serious problem.
462 (b) The agency shall make a copy of the list available to each of its exchange students
463 in the exchange student's native language.
464 Section 8. Section 53A-17a-103 is amended to read:
465 53A-17a-103. Definitions.
466 As used in this chapter:
467 (1) "Basic state-supported school program" or "basic program" means public education
468 programs for kindergarten, elementary, and secondary school students that are operated and
469 maintained for the amount derived by multiplying the number of weighted pupil units for each
470 district by $2,514, except as otherwise provided in this chapter.
471 (2) (a) "Certified revenue levy" means a property tax levy that provides an amount of
472 ad valorem property tax revenue equal to the sum of:
473 (i) the amount of ad valorem property tax revenue to be generated statewide in the
474 previous year from imposing a minimum basic tax rate, as specified in Subsection
475 53A-17a-135 (1)(a); and
476 (ii) the product of:
477 (A) new growth, as defined in Section 59-2-924 and rules of the State Tax
478 Commission; and
479 (B) the minimum basic tax rate certified by the State Tax Commission for the previous
480 year.
481 (b) For purposes of this Subsection (2), "ad valorem property tax revenue" does not
482 include property tax revenue received statewide from personal property that is:
483 (i) assessed by a county assessor in accordance with Title 59, Chapter 2, Part 3, County
484 Assessment; and
485 (ii) semiconductor manufacturing equipment.
486 [(3) "Leeway program" or "leeway" means a state-supported voted leeway program or
487 board leeway program authorized under Section 53A-17a-133 or 53A-17a-134 .]
488 [(4)] (3) "Pupil in average daily membership (ADM)" means a full-day equivalent
489 pupil.
490 [(5)] (4) (a) "State-supported minimum school program" or "minimum school

491 program" means public school programs for kindergarten, elementary, and secondary schools
492 as described in this Subsection [(5)] (4).
493 (b) The minimum school program established in the districts shall include the
494 equivalent of a school term of nine months as determined by the State Board of Education.
495 (c) (i) The board shall establish the number of days or equivalent instructional hours
496 that school is held for an academic school year.
497 (ii) Education, enhanced by utilization of technologically enriched delivery systems,
498 when approved by local school boards, shall receive full support by the State Board of
499 Education as it pertains to fulfilling the attendance requirements, excluding time spent viewing
500 commercial advertising.
501 (d) The program includes the total of the following annual costs:
502 (i) the cost of a basic state-supported school program; and
503 (ii) other amounts appropriated in this chapter in addition to the basic program.
504 [(6)] (5) "Weighted pupil unit or units or WPU or WPUs" means the unit of measure of
505 factors that is computed in accordance with this chapter for the purpose of determining the
506 costs of a program on a uniform basis for each district.
507 Section 9. Section 53A-17a-105 is amended to read:
508 53A-17a-105. Action required for underestimated or overestimated weighted
509 pupil units -- Action required for underestimating or overestimating local contributions.
510 (1) If the number of weighted pupil units in a program is underestimated in Section
511 53A-17a-104 , the amount per pupil in that program paid under this chapter must be reduced so
512 that the amount paid does not exceed the estimated amount by program.
513 (2) If the number of weighted pupil units in a program is overestimated in Section
514 53A-17a-104 , the state superintendent of public instruction shall either increase the amount
515 paid in that program per weighted pupil unit or transfer the unused amount in that program to
516 another program included in the minimum school program.
517 (3) (a) If surplus funds are transferred to another program, the state superintendent, if
518 he determines certain districts have greater need for additional funds, may designate the
519 districts as well as the programs to which the transferred funds will be allocated.
520 (b) Any amounts transferred under Subsection (a) may be spent in addition to the
521 amounts listed in Section 53A-17a-104 .

522 (4) The limitation on the proceeds from local tax rates for operation and maintenance
523 programs under this chapter is subject to [modification by local school boards under Sections
524 53A-17a-133 and 53A-17a-134 and to] special tax rates authorized by this chapter, and shall be
525 adjusted accordingly.
526 (5) If local contributions are overestimated, the guarantee per weighted pupil unit is
527 reduced for all programs so the total state contribution for operation and maintenance programs
528 does not exceed the amount authorized in Subsection 53A-17a-104 (1).
529 (6) (a) If local contributions from the basic tax rate for operation and maintenance
530 programs are underestimated, the excess is applied first to support the value of the weighted
531 pupil unit as set by the Legislature for total weighted pupil units generated by the districts and
532 those costs of Social Security and retirement, transportation, and board and voted leeway that
533 occur as a result of the additional generated weighted pupil units, following internal
534 adjustments by the state superintendent as provided in this section.
535 (b) The state contribution is decreased so the total school program cost for operation
536 and maintenance programs does not exceed the total estimated contributions to school districts
537 for all programs under Subsection 53A-17a-104 (2) plus the amount of local revenue necessary
538 to support the value of the weighted pupil unit for weighted pupil units generated and those
539 costs of Social Security and retirement, transportation, and board and voted leeway that occur
540 as a result of the additional generated weighted pupil units.
541 (7) As an exception to Section 63-38-8 , the state fiscal officer may not close out
542 appropriations from the Uniform School Fund at the end of a fiscal year.
543 Section 10. Section 53A-17a-127 is amended to read:
544 53A-17a-127. Eligibility for state-supported transportation -- Approved bus
545 routes -- Additional local tax.
546 (1) A student eligible for state-supported transportation means:
547 (a) a student enrolled in kindergarten through grade six who lives at least 1-1/2 miles
548 from school;
549 (b) a student enrolled in grades seven through 12 who lives at least two miles from
550 school; and
551 (c) a student enrolled in a special program offered by a school district and approved by
552 the State Board of Education for trainable, motor, multiple-disabled, or other students with

553 severe disabilities who are incapable of walking to school or where it is unsafe for students to
554 walk because of their disabling condition, without reference to distance from school.
555 (2) If a school district implements double sessions as an alternative to new building
556 construction, with the approval of the State Board of Education, those affected elementary
557 school students residing less than 1-1/2 miles from school may be transported one way to or
558 from school because of safety factors relating to darkness or other hazardous conditions as
559 determined by the local school board.
560 (3) (a) The State Office of Education shall distribute transportation monies to school
561 districts based on three factors:
562 (i) an allowance per mile for approved bus routes;
563 (ii) an allowance per hour for approved bus routes; and
564 (iii) an annual allowance for equipment and overhead costs based on approved bus
565 routes and the age of the equipment.
566 (b) In order for a bus to be considered for the equipment allowance, it must meet
567 federal and state regulations and standards for school buses.
568 (c) The State Office of Education shall annually review the allowance per mile, the
569 allowance per hour, and the annual equipment and overhead allowance and adjust the
570 allowance to reflect current economic conditions.
571 (4) (a) Approved bus routes for funding purposes shall be determined on fall data
572 collected by October 1.
573 (b) Approved route funding shall be determined on the basis of the most efficient and
574 economic routes.
575 (5) A Transportation Advisory Committee with representation from local school
576 superintendents, business officials, school district transportation supervisors, and the State
577 Office of Education shall serve as a review committee for addressing school transportation
578 needs, including recommended approved bus routes.
579 (6) (a) A local school board may provide for the transportation of students who are not
580 eligible under Subsection (1), regardless of the distance from school, from[: (i)] general funds
581 of the district[; and].
582 [(ii) a tax rate not to exceed .0003 per dollar of taxable value imposed on the district.]
583 [(b) A local school board may use revenue from the tax to pay for transporting

584 participating students to interscholastic activities, night activities, and educational field trips
585 approved by the board and for the replacement of school buses.]
586 [(c) (i) If a local school board levies a tax under Subsection (6)(a)(ii) of at least .0002,
587 the]
588 (b) (i) The state may contribute an amount not to exceed 85% of the state average cost
589 per mile, contingent upon the Legislature appropriating funds for a state contribution.
590 (ii) The State Office of Education shall distribute the state contribution according to
591 rules enacted by the State Board of Education.
592 [(d)] (c) (i) The amount of state guarantee money to which a school district would
593 otherwise be entitled to under Subsection (6)[(c)](b) may not be reduced for the sole reason
594 that the district's levy is reduced as a consequence of changes in the certified tax rate under
595 Section 59-2-924 due to changes in property valuation.
596 (ii) Subsection (6)[(d)](c)(i) applies for a period of two years following the change in
597 the certified tax rate.
598 (7) There is appropriated for the fiscal year beginning July 1, 1999, $225,000 to the
599 state board as the state's contribution under Subsection (6)[(c)](b)(i).
600 Section 11. Section 53A-17a-154 is enacted to read:
601 53A-17a-154. Homeowner Protection Program -- Increase in the Uniform School
602 Fund --Use of funds received by a school district -- Property tax offset.
603 (1) The revenue deposited into the Uniform School Fund under Subsection
604 59-12-103 (11) as part of the Homeowner Protection Program, shall be allocated to school
605 districts based on a school district's total weighted pupil units compared to the total weighted
606 pupil units for all districts in the state.
607 (2) Any money allocated to a school district in accordance with this section shall be
608 used first to pay for bonds issued by a school district:
609 (a) prior to January 1, 2009; and
610 (b) in accordance with Title 11, Chapter 14, Local Government Bonding Act.
611 (3) After making the payments required in Subsection (2), the remaining monies
612 received by a school district described in Subsection (1) shall be used by the school district to
613 offset the school district's decreased certified tax rate as a result of the repeal of the school
614 district's authority to levy property taxes as repealed or amended by the Legislature during the

615 2008 General Session:
616 (a) Section 11-2-7 ;
617 (b) Section 11-14-102 ;
618 (c) Section 53A-16-107 ;
619 (d) Section 53A-16-110 ;
620 (e) Section 53A-16-111 ;
621 (f) Section 53A-17a-127 ;
622 (g) Section 53A-17a-133 ;
623 (h) Section 53A-17a-134 ;
624 (i) Section 53A-17a-143 ;
625 (j) Section 53A-17a-145 ;
626 (k) Section 53A-17a-151 ; and
627 (l) Section 63-30d-704 .
628 Section 12. Section 53A-17a-155 is enacted to read:
629 53A-17a-155. School district discretionary levy.
630 (1) As used in this section:
631 (a) "Certified tax rate" means a school district's certified tax rate calculated in
632 accordance with Section 59-2-924 .
633 (b) "Property tax increment" means an amount equal to the difference between:
634 (i) an amount equal to the sum of the following:
635 (A) the amount of revenue generated during the taxable year beginning January 1,
636 2008, from the sum of the following levies of a school district:
637 (I) Section 11-2-7 ;
638 (II) Section 11-14-102 ;
639 (III) Section 53A-16-107 ;
640 (IV) Section 53A-16-110 ;
641 (V) Section 53A-16-111 ;
642 (VI) Section 53A-17a-127 ;
643 (VII) Section 53A-17a-133 ;
644 (VIII) Section 53A-17a-134 ;
645 (IX) Section 53A-17a-143 ;

646 (X) Section 53A-17a-145 ;
647 (XI) Section 53A-17a-151 ; and
648 (XII) Section 63-30d-704 ; and
649 (B) new growth as defined in Subsection 59-2-924 (2)(b)(iii); and
650 (ii) the amount of revenue the school district receives during fiscal year 2009-10 from
651 the allocations described in Subsection 53A-17a-154 (1).
652 (2) (a) For taxable years beginning on or after January 1, 2009 and ending on or before
653 December 31, 2010, a local school board may levy a tax not to exceed a tax rate that would
654 generate an amount equal to the school district's property tax increment if the amount of
655 revenue the school district receives during fiscal year 2009-10 from the allocations described in
656 Subsection 53A-17a-154 (1) is less than the amount of revenue described in Subsection (1)(a).
657 (3) Subject to the other requirements of this section, for taxable years beginning on or
658 after January 1, 2011, a local school board may levy a tax to fund the school district's general
659 fund.
660 (4) (a) Before imposing a property tax levy pursuant to this section, a school district
661 shall submit an opinion question to the taxing entity's registered voters voting on the
662 imposition of the tax rate so that each registered voter has the opportunity to express the
663 registered voter's opinion on whether the tax rate should be imposed if:
664 (i) the school district levies a tax rate pursuant to this section on or after January 1,
665 2011; and
666 (ii) the school district's proposed tax rate exceeds the school district's certified tax rate.
667 (b) The election required by this Subsection (4) shall be held:
668 (i) at a regular general election conducted in accordance with the procedures and
669 requirements of Title 20A, Election Code, governing regular elections; or
670 (ii) at a municipal general election conducted in accordance with the procedures and
671 requirements of Section 20A-1-202 .
672 (c) Notwithstanding the requirements of Subsections (4)(a) and (b), beginning on or
673 after January 1, 2011, a school district may levy a tax rate in accordance with this section
674 without complying with the requirements of Subsections (4)(a) and (b) if:
675 (i) the school district imposed a tax in accordance with this section at any time on or
676 after January 1, 2009 and on or before December 31, 2010; and

677 (ii) the tax rate generates an amount of revenue equal to or less than the sum of:
678 (A) the school district's property tax increment; and
679 (B) new growth as defined in Subsection 59-2-924 (2)(b)(iii).
680 (5) (a) If a school district determines that a majority of the school district's registered
681 voters voting on the imposition of the tax rate have voted in favor of the imposition of the tax
682 rate in accordance with Subsection (4), the school district may impose the tax rate.
683 (b) If a school district determines that a majority of the school district's registered
684 voters voting on the imposition of the tax rate have voted against the imposition of the tax rate
685 in accordance with Subsection (4), the taxing entity may impose a tax rate that is less than or
686 equal to the school district's certified tax rate.
687 Section 13. Section 53A-21-103 is amended to read:
688 53A-21-103. Qualifications for participation in the foundation program --
689 Distribution of monies -- Distribution formulas.
690 [(1) In order for a school district to qualify for monies under the Capital Outlay
691 Foundation Program established in Subsection 53A-21-102 (1), a local school board must levy a
692 tax rate of up to .0024 per dollar of taxable value for capital outlay and debt service.]
693 [(2) The State Board of Education shall adopt rules in accordance with Title 63,
694 Chapter 46a, Utah Administrative Rulemaking Act, that: (a) allow a school district levying
695 less than the full .0024 tax rate to receive proportional funding under the foundation program
696 based upon the percentage of the .0024 tax rate levied by the district; and (b) maintain a school
697 district's funding under the Capital Outlay Foundation Program for up to two years if the school
698 district's funding would otherwise be reduced as a consequence of changes in the certified tax
699 rate under Section 59-2-924 due to changes in property valuation.]
700 [(3)] The State Board of Education shall distribute monies in the Capital Outlay
701 Foundation Program in accordance with a formula developed by the state superintendent of
702 public instruction which guarantees that [a] an estimated tax rate of up to .0024 per dollar of
703 taxable value for capital outlay and debt service yields a minimum amount per pupil in average
704 daily membership.
705 Section 14. Section 53A-21-104 is amended to read:
706 53A-21-104. School Building Revolving Account -- Access to the account.
707 (1) There is created a nonlapsing "School Building Revolving Account" administered

708 within the Uniform School Fund by the state superintendent of public instruction in accordance
709 with rules adopted by the State Board of Education.
710 (2) Monies received by a school district from the School Building Revolving Account
711 may not exceed the district's bonding limit minus its outstanding bonds.
712 (3) In order to receive monies from the account, a school district must do the
713 following:
714 [(a) levy a tax of at least .0024 for capital outlay and debt service;]
715 [(b)] (a) contract with the state superintendent of public instruction to repay the
716 monies, with interest at a rate established by the state superintendent, within five years of their
717 receipt, using future state building monies or local revenues or both;
718 [(c)] (b) levy sufficient ad valorem taxes under Section 11-14-310 to guarantee annual
719 loan repayments, unless the state superintendent of public instruction alters the payment
720 schedule to improve a hardship situation; and
721 [(d)] (c) meet any other condition established by the State Board of Education pertinent
722 to the loan.
723 (4) (a) The state superintendent shall establish a committee, including representatives
724 from state and local education entities, to:
725 (i) review requests by school districts for loans under this section; and
726 (ii) make recommendations regarding approval or disapproval of the loan applications
727 to the state superintendent.
728 (b) If the committee recommends approval of a loan application under Subsection
729 (4)(a)(ii), the committee's recommendation shall include:
730 (i) the recommended amount of the loan;
731 (ii) the payback schedule; and
732 (iii) the interest rate to be charged.
733 (5) (a) There is established within the School Building Revolving Account the Charter
734 School Building Subaccount administered by the State Board of Education, in consultation
735 with the State Charter School Board, in accordance with rules adopted by the State Board of
736 Education.
737 (b) The Charter School Building Subaccount shall consist of:
738 (i) money appropriated to the subaccount by the Legislature;

739 (ii) money received from the repayment of loans made from the subaccount; and
740 (iii) interest earned on monies in the subaccount.
741 (c) The state superintendent of public instruction shall make loans to charter schools
742 from the Charter School Building Subaccount to pay for the costs of:
743 (i) planning expenses;
744 (ii) constructing or renovating charter school buildings;
745 (iii) equipment and supplies; or
746 (iv) other start-up or expansion expenses.
747 (d) Loans to new charter schools or charter schools with urgent facility needs may be
748 given priority.
749 (6) (a) The State Board of Education shall establish a committee, which shall include
750 individuals who have expertise or experience in finance, real estate, and charter school
751 administration, one of whom shall be nominated by the governor to:
752 (i) review requests by charter schools for loans under this section; and
753 (ii) make recommendations regarding approval or disapproval of the loan applications
754 to the State Charter School Board and the State Board of Education.
755 (b) If the committee recommends approval of a loan application under Subsection
756 (6)(a)(ii), the committee's recommendation shall include:
757 (i) the recommended amount of the loan;
758 (ii) the payback schedule; and
759 (iii) the interest rate to be charged.
760 (c) The committee members may not:
761 (i) be a relative, as defined in Section 53A-1a-518 , of a loan applicant; or
762 (ii) have a pecuniary interest, directly or indirectly, with a loan applicant or any person
763 or entity that contracts with a loan applicant.
764 (7) The State Board of Education, in consultation with the State Charter School Board,
765 shall approve all loans to charter schools under this section.
766 (8) Loans to charter schools under this section may not exceed a term of five years.
767 (9) The State Board of Education may not approve loans to charter schools under this
768 section that exceed a total of $2,000,000 in any year.
769 Section 15. Section 59-2-404 is amended to read:

770 59-2-404. Uniform fee on aircraft -- Collection of fee by county -- Distribution of
771 fees -- Rules to implement section.
772 (1) There is levied in lieu of the ad valorem tax a uniform fee on aircraft required to be
773 registered with the state in an amount equal to the following percent of the average wholesale
774 market value of the aircraft as established by the commission:
775 (a) for aerial applicators as defined in Section 59-2-102 as follows:
776 Calendar Year Uniform Fee
777 2000 0.4%
778 2001 0.3%
779 2002 and all subsequent years 0.2%; and
780 (b) for all other aircraft required to be registered with the state as follows:
781 Calendar Year Uniform Fee
782 2000 0.8%
783 2001 0.6%
784 2002 and all subsequent years 0.4%.
785 (2) The uniform fee shall be collected by the counties with the registration fee and
786 distributed [to the taxing districts in accordance with Article XIII, Sec. 14, Utah Constitution]
787 in accordance with Subsection (3).
788 (3) (a) Forty-five percent of the uniform fees received by a county under Subsection (2)
789 shall be distributed to each taxing entity within the county that is not a school district in the
790 same proportion in which revenues collected from ad valorem property tax are distributed.
791 (b) Each taxing entity described in Subsection (3)(a) that receives revenues from the
792 uniform fees imposed by this section shall distribute the revenues in the same proportion in
793 which revenues collected from the ad valorem property tax are distributed.
794 (c) Fifty-five percent of the revenues collected in a county from the uniform fee shall
795 be distributed by the county to each school district within the county in proportion to the school
796 district's percentage of the total current year enrollment in all of the school districts within the
797 county, as of the October 1 enrollment counts.
798 [(3)] (4) The commission shall promulgate rules to implement this section.
799 Section 16. Section 59-2-405 is amended to read:
800 59-2-405. Uniform fee on tangible personal property required to be registered

801 with the state -- Distribution of revenues -- Appeals.
802 (1) The property described in Subsection (2), except Subsections (2)(b)(ii) and (iii), is
803 exempt from ad valorem property taxes pursuant to Utah Constitution Article XIII, Section 2,
804 Subsection (6).
805 (2) (a) Except as provided in Subsection (2)(b), there is levied as provided in this part a
806 statewide uniform fee in lieu of the ad valorem tax on:
807 (i) motor vehicles required to be registered with the state that weigh 12,001 pounds or
808 more;
809 (ii) motorcycles as defined in Section 41-1a-102 that are required to be registered with
810 the state;
811 (iii) watercraft required to be registered with the state;
812 (iv) recreational vehicles required to be registered with the state; and
813 (v) all other tangible personal property required to be registered with the state before it
814 is used on a public highway, on a public waterway, on public land, or in the air.
815 (b) The following tangible personal property is exempt from the statewide uniform fee
816 imposed by this section:
817 (i) aircraft;
818 (ii) vintage vehicles as defined in Section 41-21-1 ;
819 (iii) state-assessed commercial vehicles;
820 (iv) tangible personal property subject to a uniform fee imposed by:
821 (A) Section 59-2-405.1 ;
822 (B) Section 59-2-405.2 ; or
823 (C) Section 59-2-405.3 ; and
824 (v) personal property that is exempt from state or county ad valorem property taxes
825 under the laws of this state or of the federal government.
826 (3) Beginning on January 1, 1999, the uniform fee is 1.5% of the fair market value of
827 the personal property, as established by the commission.
828 (4) Notwithstanding Section 59-2-407 , property subject to the uniform fee that is
829 brought into the state and is required to be registered in Utah shall, as a condition of
830 registration, be subject to the uniform fee unless all property taxes or uniform fees imposed by
831 the state of origin have been paid for the current calendar year.

832 (5) (a) [The] Forty-five percent of the revenues collected in [each] a county from the
833 uniform fee shall be distributed by the county to each taxing entity that is not a school district
834 in which the property described in Subsection (2) is located in the same proportion in which
835 revenue collected from ad valorem real property tax is distributed.
836 (b) [Each] A taxing entity that is not a school district shall distribute the revenues
837 received under Subsection (5)(a) in the same proportion in which revenue collected from ad
838 valorem real property tax is distributed.
839 (c) Fifty-five percent of the revenues collected in a county from the uniform fee shall
840 be distributed by the county to each school district within the county in proportion to the school
841 district's percentage of the total current year enrollment in all of the school districts within the
842 county, as of the October 1 enrollment counts.
843 (6) An appeal relating to the uniform fee imposed on the tangible personal property
844 described in Subsection (2) shall be filed pursuant to Section 59-2-1005 .
845 Section 17. Section 59-2-405.1 is amended to read:
846 59-2-405.1. Uniform fee on certain vehicles weighing 12,000 pounds or less --
847 Distribution of revenues -- Appeals.
848 (1) The property described in Subsection (2), except Subsection (2)(b)(ii), is exempt
849 from ad valorem property taxes pursuant to Utah Constitution Article XIII, Section 2,
850 Subsection (6).
851 (2) (a) Except as provided in Subsection (2)(b), there is levied as provided in this part a
852 statewide uniform fee in lieu of the ad valorem tax on:
853 (i) motor vehicles as defined in Section 41-1a-102 that:
854 (A) are required to be registered with the state; and
855 (B) weigh 12,000 pounds or less; and
856 (ii) state-assessed commercial vehicles required to be registered with the state that
857 weigh 12,000 pounds or less.
858 (b) The following tangible personal property is exempt from the statewide uniform fee
859 imposed by this section:
860 (i) aircraft;
861 (ii) vintage vehicles as defined in Section 41-21-1 ;
862 (iii) tangible personal property subject to a uniform fee imposed by:

863 (A) Section 59-2-405 ;
864 (B) Section 59-2-405.2 ; or
865 (C) Section 59-2-405.3 ; and
866 (iv) tangible personal property that is exempt from state or county ad valorem property
867 taxes under the laws of this state or of the federal government.
868 (3) (a) Except as provided in Subsections (3)(b) and (c), beginning on January 1, 1999,
869 the uniform fee for purposes of this section is as follows:
870 Age of Vehicle Uniform Fee
871 12 or more years $10
872 9 or more years but less than 12 years $50
873 6 or more years but less than 9 years $80
874 3 or more years but less than 6 years $110
875 Less than 3 years $150
876 (b) For registrations under Section 41-1a-215.5 , beginning on January 1, 2007, the
877 uniform fee for purposes of this section is as follows:
878 Age of Vehicle Uniform Fee
879 12 or more years $5
880 9 or more years but less than 12 years $25
881 6 or more years but less than 9 years $40
882 3 or more years but less than 6 years $55
883 Less than 3 years $75
884 (c) Notwithstanding Subsections (3)(a) and (b), beginning on September 1, 2001, for a
885 motor vehicle issued a temporary sports event registration certificate in accordance with
886 Section 41-3-306 , the uniform fee for purposes of this section is $5 for the event period
887 specified on the temporary sports event registration certificate regardless of the age of the
888 motor vehicle.
889 (4) Notwithstanding Section 59-2-407 , property subject to the uniform fee that is
890 brought into the state and is required to be registered in Utah shall, as a condition of
891 registration, be subject to the uniform fee unless all property taxes or uniform fees imposed by
892 the state of origin have been paid for the current calendar year.
893 (5) (a) [The] Forty-five percent of the revenues collected in [each] a county from the

894 uniform fee shall be distributed by the county to each taxing entity that is not a school district
895 in which the property described in Subsection (2) is located in the same proportion in which
896 revenue collected from ad valorem real property tax is distributed.
897 (b) [Each] A taxing entity that is not a school district shall distribute the revenues
898 received under Subsection (5)(a) in the same proportion in which revenue collected from ad
899 valorem real property tax is distributed.
900 (c) Fifty-five percent of the revenues collected in a county from the uniform fee shall
901 be distributed by the county to each school district within the county in proportion to the school
902 district's percentage of the total current year enrollment in all of the school districts within the
903 county, as of the October 1 enrollment counts.
904 Section 18. Section 59-2-405.2 is amended to read:
905 59-2-405.2. Definitions -- Uniform statewide fee on certain tangible personal
906 property -- Distribution of revenues -- Rulemaking authority -- Determining the length of
907 a vessel.
908 (1) As used in this section:
909 (a) (i) Except as provided in Subsection (1)(a)(ii), "all-terrain vehicle" means a motor
910 vehicle that:
911 (A) is an:
912 (I) all-terrain type I vehicle as defined in Section 41-22-2 ; or
913 (II) all-terrain type II vehicle as defined in Section 41-22-2 ;
914 (B) is required to be registered in accordance with Title 41, Chapter 22, Off-Highway
915 Vehicles; and
916 (C) has:
917 (I) an engine with more than 150 cubic centimeters displacement;
918 (II) a motor that produces more than five horsepower; or
919 (III) an electric motor; and
920 (ii) notwithstanding Subsection (1)(a)(i), "all-terrain vehicle" does not include a
921 snowmobile.
922 (b) "Camper" means a camper:
923 (i) as defined in Section 41-1a-102 ; and
924 (ii) that is required to be registered in accordance with Title 41, Chapter 1a, Part 2,

925 Registration.
926 (c) (i) "Canoe" means a vessel that:
927 (A) is long and narrow;
928 (B) has curved sides; and
929 (C) is tapered:
930 (I) to two pointed ends; or
931 (II) to one pointed end and is blunt on the other end; and
932 (ii) "canoe" includes:
933 (A) a collapsible inflatable canoe;
934 (B) a kayak;
935 (C) a racing shell; or
936 (D) a rowing scull.
937 (d) "Dealer" is as defined in Section 41-1a-102 .
938 (e) "Jon boat" means a vessel that:
939 (i) has a square bow; and
940 (ii) has a flat bottom.
941 (f) "Motor vehicle" is as defined in Section 41-22-2 .
942 (g) "Other motorcycle" means a motor vehicle that:
943 (i) is:
944 (A) a motorcycle as defined in Section 41-1a-102 ; and
945 (B) designed primarily for use and operation over unimproved terrain;
946 (ii) is required to be registered in accordance with Title 41, Chapter 1a, Part 2,
947 Registration; and
948 (iii) has:
949 (A) an engine with more than 150 cubic centimeters displacement; or
950 (B) a motor that produces more than five horsepower.
951 (h) (i) "Other trailer" means a portable vehicle without motive power that is primarily
952 used:
953 (A) to transport tangible personal property; and
954 (B) for a purpose other than a commercial purpose; and
955 (ii) in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, for

956 purposes of Subsection (1)(h)(i)(B), the commission may by rule define what constitutes a
957 purpose other than a commercial purpose.
958 (i) "Outboard motor" is as defined in Section 41-1a-102 .
959 (j) "Personal watercraft" means a personal watercraft:
960 (i) as defined in Section 73-18-2 ; and
961 (ii) that is required to be registered in accordance with Title 73, Chapter 18, State
962 Boating Act.
963 (k) (i) "Pontoon" means a vessel that:
964 (A) is:
965 (I) supported by one or more floats; and
966 (II) propelled by either inboard or outboard power; and
967 (B) is not:
968 (I) a houseboat; or
969 (II) a collapsible inflatable vessel; and
970 (ii) in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
971 commission may by rule define the term "houseboat".
972 (l) "Qualifying adjustment, exemption, or reduction" means an adjustment, exemption,
973 or reduction:
974 (i) of all or a portion of a qualifying payment;
975 (ii) granted by a county during the refund period; and
976 (iii) received by a qualifying person.
977 (m) (i) "Qualifying payment" means the payment made:
978 (A) of a uniform statewide fee in accordance with this section:
979 (I) by a qualifying person;
980 (II) to a county; and
981 (III) during the refund period; and
982 (B) on an item of qualifying tangible personal property; and
983 (ii) if a qualifying person received a qualifying adjustment, exemption, or reduction for
984 an item of qualifying tangible personal property, the qualifying payment for that qualifying
985 tangible personal property is equal to the difference between:
986 (A) the payment described in this Subsection (1)(m) for that item of qualifying tangible

987 personal property; and
988 (B) the amount of the qualifying adjustment, exemption, or reduction.
989 (n) "Qualifying person" means a person that paid a uniform statewide fee:
990 (i) during the refund period;
991 (ii) in accordance with this section; and
992 (iii) on an item of qualifying tangible personal property.
993 (o) "Qualifying tangible personal property" means a:
994 (i) qualifying vehicle; or
995 (ii) qualifying watercraft.
996 (p) "Qualifying vehicle" means:
997 (i) an all-terrain vehicle with an engine displacement that is 100 or more cubic
998 centimeters but 150 or less cubic centimeters;
999 (ii) an other motorcycle with an engine displacement that is 100 or more cubic
1000 centimeters but 150 or less cubic centimeters;
1001 (iii) a small motor vehicle with an engine displacement that is 100 or more cubic
1002 centimeters but 150 or less cubic centimeters;
1003 (iv) a snowmobile with an engine displacement that is 100 or more cubic centimeters
1004 but 150 or less cubic centimeters; or
1005 (v) a street motorcycle with an engine displacement that is 100 or more cubic
1006 centimeters but 150 or less cubic centimeters.
1007 (q) "Qualifying watercraft" means a:
1008 (i) canoe;
1009 (ii) collapsible inflatable vessel;
1010 (iii) jon boat;
1011 (iv) pontoon;
1012 (v) sailboat; or
1013 (vi) utility boat.
1014 (r) "Refund period" means the time period:
1015 (i) beginning on January 1, 2006; and
1016 (ii) ending on December 29, 2006.
1017 (s) "Sailboat" means a sailboat as defined in Section 73-18-2 .

1018 (t) (i) "Small motor vehicle" means a motor vehicle that:
1019 (A) is required to be registered in accordance with Title 41, Motor Vehicles; and
1020 (B) has:
1021 (I) an engine with 150 or less cubic centimeters displacement; or
1022 (II) a motor that produces five or less horsepower; and
1023 (ii) in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
1024 commission may by rule develop a process for an owner of a motor vehicle to certify whether
1025 the motor vehicle has:
1026 (A) an engine with 150 or less cubic centimeters displacement; or
1027 (B) a motor that produces five or less horsepower.
1028 (u) "Snowmobile" means a motor vehicle that:
1029 (i) is a snowmobile as defined in Section 41-22-2 ;
1030 (ii) is required to be registered in accordance with Title 41, Chapter 22, Off-Highway
1031 Vehicles; and
1032 (iii) has:
1033 (A) an engine with more than 150 cubic centimeters displacement; or
1034 (B) a motor that produces more than five horsepower.
1035 (v) "Street motorcycle" means a motor vehicle that:
1036 (i) is:
1037 (A) a motorcycle as defined in Section 41-1a-102 ; and
1038 (B) designed primarily for use and operation on highways;
1039 (ii) is required to be registered in accordance with Title 41, Chapter 1a, Part 2,
1040 Registration; and
1041 (iii) has:
1042 (A) an engine with more than 150 cubic centimeters displacement; or
1043 (B) a motor that produces more than five horsepower.
1044 (w) "Tangible personal property owner" means a person that owns an item of
1045 qualifying tangible personal property.
1046 (x) "Tent trailer" means a portable vehicle without motive power that:
1047 (i) is constructed with collapsible side walls that:
1048 (A) fold for towing by a motor vehicle; and

1049 (B) unfold at a campsite;
1050 (ii) is designed as a temporary dwelling for travel, recreational, or vacation use;
1051 (iii) is required to be registered in accordance with Title 41, Chapter 1a, Part 2,
1052 Registration; and
1053 (iv) does not require a special highway movement permit when drawn by a
1054 self-propelled motor vehicle.
1055 (y) (i) Except as provided in Subsection (1)(y)(ii), "travel trailer" means a travel trailer:
1056 (A) as defined in Section 41-1a-102 ; and
1057 (B) that is required to be registered in accordance with Title 41, Chapter 1a, Part 2,
1058 Registration; and
1059 (ii) notwithstanding Subsection (1)(y)(i), "travel trailer" does not include:
1060 (A) a camper; or
1061 (B) a tent trailer.
1062 (z) (i) "Utility boat" means a vessel that:
1063 (A) has:
1064 (I) two or three bench seating;
1065 (II) an outboard motor; and
1066 (III) a hull made of aluminum, fiberglass, or wood; and
1067 (B) does not have:
1068 (I) decking;
1069 (II) a permanent canopy; or
1070 (III) a floor other than the hull; and
1071 (ii) notwithstanding Subsection (1)(z)(i), "utility boat" does not include a collapsible
1072 inflatable vessel.
1073 (aa) "Vessel" means a vessel:
1074 (i) as defined in Section 73-18-2 , including an outboard motor of the vessel; and
1075 (ii) that is required to be registered in accordance with Title 73, Chapter 18, State
1076 Boating Act.
1077 (2) (a) In accordance with Utah Constitution Article XIII, Section 2, Subsection (6),
1078 beginning on January 1, 2006, the tangible personal property described in Subsection (2)(b) is:
1079 (i) exempt from the tax imposed by Section 59-2-103 ; and

1080 (ii) in lieu of the tax imposed by Section 59-2-103 , subject to uniform statewide fees as
1081 provided in this section.
1082 (b) The following tangible personal property applies to Subsection (2)(a) if that
1083 tangible personal property is required to be registered with the state:
1084 (i) an all-terrain vehicle;
1085 (ii) a camper;
1086 (iii) an other motorcycle;
1087 (iv) an other trailer;
1088 (v) a personal watercraft;
1089 (vi) a small motor vehicle;
1090 (vii) a snowmobile;
1091 (viii) a street motorcycle;
1092 (ix) a tent trailer;
1093 (x) a travel trailer; and
1094 (xi) a vessel if that vessel is less than 31 feet in length as determined under Subsection
1095 (6).
1096 (3) For purposes of this section, the uniform statewide fees are:
1097 (a) for an all-terrain vehicle, an other motorcycle, or a snowmobile:
1098 Age of All-Terrain Vehicle, Other Motorcycle, or Snowmobile Uniform Statewide Fee
1099 12 or more years $10
1100 9 or more years but less than 12 years $20
1101 6 or more years but less than 9 years $30
1102 3 or more years but less than 6 years $35
1103 Less than 3 years $45
1104 (b) for a camper or a tent trailer:
1105 Age of Camper or Tent Trailer Uniform Statewide Fee
1106 12 or more years $10
1107 9 or more years but less than 12 years $25
1108 6 or more years but less than 9 years $35
1109 3 or more years but less than 6 years $50
1110 Less than 3 years $70

1111 (c) for an other trailer:
1112 Age of Other Trailer Uniform Statewide Fee
1113 12 or more years $10
1114 9 or more years but less than 12 years $15
1115 6 or more years but less than 9 years $20
1116 3 or more years but less than 6 years $25
1117 Less than 3 years $30
1118 (d) for a personal watercraft:
1119 Age of Personal Watercraft Uniform Statewide Fee
1120 12 or more years $10
1121 9 or more years but less than 12 years $25
1122 6 or more years but less than 9 years $35
1123 3 or more years but less than 6 years $45
1124 Less than 3 years $55
1125 (e) for a small motor vehicle:
1126 Age of Small Motor Vehicle Uniform Statewide Fee
1127 6 or more years $10
1128 3 or more years but less than 6 years $15
1129 Less than 3 years $25
1130 (f) for a street motorcycle:
1131 Age of Street Motorcycle Uniform Statewide Fee
1132 12 or more years $10
1133 9 or more years but less than 12 years $35
1134 6 or more years but less than 9 years $50
1135 3 or more years but less than 6 years $70
1136 Less than 3 years $95
1137 (g) for a travel trailer:
1138 Age of Travel Trailer Uniform Statewide Fee
1139 12 or more years $20
1140 9 or more years but less than 12 years $65
1141 6 or more years but less than 9 years $90

1142 3 or more years but less than 6 years $135
1143 Less than 3 years $175
1144 (h) $10 regardless of the age of the vessel if the vessel is:
1145 (i) less than 15 feet in length;
1146 (ii) a canoe;
1147 (iii) a jon boat; or
1148 (iv) a utility boat;
1149 (i) for a collapsible inflatable vessel, pontoon, or sailboat, regardless of age:
1150 Length of Vessel Uniform Statewide Fee
1151 15 feet or more in length but less than 19 feet in length $15
1152 19 feet or more in length but less than 23 feet in length $25
1153 23 feet or more in length but less than 27 feet in length $40
1154 27 feet or more in length but less than 31 feet in length $75
1155 (j) for a vessel, other than a canoe, collapsible inflatable vessel, jon boat, pontoon,
1156 sailboat, or utility boat, that is 15 feet or more in length but less than 19 feet in length:
1157 Age of Vessel Uniform Statewide Fee
1158 12 or more years $25
1159 9 or more years but less than 12 years $65
1160 6 or more years but less than 9 years $80
1161 3 or more years but less than 6 years $110
1162 Less than 3 years $150
1163 (k) for a vessel, other than a canoe, collapsible inflatable vessel, jon boat, pontoon,
1164 sailboat, or utility boat, that is 19 feet or more in length but less than 23 feet in length:
1165 Age of Vessel Uniform Statewide Fee
1166 12 or more years $50
1167 9 or more years but less than 12 years $120
1168 6 or more years but less than 9 years $175
1169 3 or more years but less than 6 years $220
1170 Less than 3 years $275
1171 (l) for a vessel, other than a canoe, collapsible inflatable vessel, jon boat, pontoon,
1172 sailboat, or utility boat, that is 23 feet or more in length but less than 27 feet in length:

1173 Age of Vessel Uniform Statewide Fee
1174 12 or more years $100
1175 9 or more years but less than 12 years $180
1176 6 or more years but less than 9 years $240
1177 3 or more years but less than 6 years $310
1178 Less than 3 years $400
1179 (m) for a vessel, other than a canoe, collapsible inflatable vessel, jon boat, pontoon,
1180 sailboat, or utility boat, that is 27 feet or more in length but less than 31 feet in length:
1181 Age of Vessel Uniform Statewide Fee
1182 12 or more years $120
1183 9 or more years but less than 12 years $250
1184 6 or more years but less than 9 years $350
1185 3 or more years but less than 6 years $500
1186 Less than 3 years $700
1187 (4) Notwithstanding Section 59-2-407 , tangible personal property subject to the
1188 uniform statewide fees imposed by this section that is brought into the state shall, as a
1189 condition of registration, be subject to the uniform statewide fees unless all property taxes or
1190 uniform fees imposed by the state of origin have been paid for the current calendar year.
1191 (5) (a) [The] Forty-five percent of the revenues collected in [each] a county from the
1192 uniform statewide fees imposed by this section shall be distributed by the county to each taxing
1193 entity that is not a school district in which each item of tangible personal property subject to the
1194 uniform statewide fees is located in the same proportion in which revenues collected from the
1195 ad valorem property tax are distributed.
1196 (b) [Each] A taxing entity described in Subsection (5)(a) that receives revenues from
1197 the uniform statewide fees imposed by this section shall distribute the revenues in the same
1198 proportion in which revenues collected from the ad valorem property tax are distributed.
1199 (c) Fifty-five percent of the revenues collected in a county from the uniform statewide
1200 fees imposed by this section shall be distributed by the county to each school district within the
1201 county in proportion to the school district's percentage of the total current year enrollment in all
1202 of the school districts within the county, as of the October 1 enrollment counts.
1203 (6) (a) For purposes of the uniform statewide fee imposed by this section, the length of

1204 a vessel shall be determined as provided in this Subsection (6).
1205 (b) (i) Except as provided in Subsection (6)(b)(ii), the length of a vessel shall be
1206 measured as follows:
1207 (A) the length of a vessel shall be measured in a straight line; and
1208 (B) the length of a vessel is equal to the distance between the bow of the vessel and the
1209 stern of the vessel.
1210 (ii) Notwithstanding Subsection (6)(b)(i), the length of a vessel may not include the
1211 length of:
1212 (A) a swim deck;
1213 (B) a ladder;
1214 (C) an outboard motor; or
1215 (D) an appurtenance or attachment similar to Subsections (6)(b)(ii)(A) through (C) as
1216 determined by the commission by rule.
1217 (iii) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act,
1218 the commission may by rule define what constitutes an appurtenance or attachment similar to
1219 Subsections (6)(b)(ii)(A) through (C).
1220 (c) The length of a vessel:
1221 (i) (A) for a new vessel, is the length:
1222 (I) listed on the manufacturer's statement of origin if the length of the vessel measured
1223 under Subsection (6)(b) is equal to the length of the vessel listed on the manufacturer's
1224 statement of origin; or
1225 (II) listed on a form submitted to the commission by a dealer in accordance with
1226 Subsection (6)(d) if the length of the vessel measured under Subsection (6)(b) is not equal to
1227 the length of the vessel listed on the manufacturer's statement of origin; or
1228 (B) for a vessel other than a new vessel, is the length:
1229 (I) corresponding to the model number if the length of the vessel measured under
1230 Subsection (6)(b) is equal to the length of the vessel determined by reference to the model
1231 number; or
1232 (II) listed on a form submitted to the commission by an owner of the vessel in
1233 accordance with Subsection (6)(d) if the length of the vessel measured under Subsection (6)(b)
1234 is not equal to the length of the vessel determined by reference to the model number; and

1235 (ii) (A) is determined at the time of the:
1236 (I) first registration as defined in Section 41-1a-102 that occurs on or after January 1,
1237 2006; or
1238 (II) first renewal of registration that occurs on or after January 1, 2006; and
1239 (B) may be determined after the time described in Subsection (6)(c)(ii)(A) only if the
1240 commission requests that a dealer or an owner submit a form to the commission in accordance
1241 with Subsection (6)(d).
1242 (d) (i) A form under Subsection (6)(c) shall:
1243 (A) be developed by the commission;
1244 (B) be provided by the commission to:
1245 (I) a dealer; or
1246 (II) an owner of a vessel;
1247 (C) provide for the reporting of the length of a vessel;
1248 (D) be submitted to the commission at the time the length of the vessel is determined in
1249 accordance with Subsection (6)(c)(ii);
1250 (E) be signed by:
1251 (I) if the form is submitted by a dealer, that dealer; or
1252 (II) if the form is submitted by an owner of the vessel, an owner of the vessel; and
1253 (F) include a certification that the information set forth in the form is true.
1254 (ii) A certification made under Subsection (6)(d)(i)(F) is considered as if made under
1255 oath and subject to the same penalties as provided by law for perjury.
1256 (iii) (A) A dealer or an owner that submits a form to the commission under Subsection
1257 (6)(c) is considered to have given the dealer's or owner's consent to an audit or review by:
1258 (I) the commission;
1259 (II) the county assessor; or
1260 (III) the commission and the county assessor.
1261 (B) The consent described in Subsection (6)(d)(iii)(A) is a condition to the acceptance
1262 of any form.
1263 (7) (a) A county that collected a qualifying payment from a qualifying person during
1264 the refund period shall issue a refund to the qualifying person as described in Subsection (7)(b)
1265 if:

1266 (i) the difference described in Subsection (7)(b) is $1 or more; and
1267 (ii) the qualifying person submitted a form in accordance with Subsections (7)(c) and
1268 (d).
1269 (b) The refund amount shall be calculated as follows:
1270 (i) for a qualifying vehicle, the refund amount is equal to the difference between:
1271 (A) the qualifying payment the qualifying person paid on the qualifying vehicle during
1272 the refund period; and
1273 (B) the amount of the statewide uniform fee:
1274 (I) for that qualifying vehicle; and
1275 (II) that the qualifying person would have been required to pay:
1276 (Aa) during the refund period; and
1277 (Bb) in accordance with this section had [Section 1, Chapter 3,] Laws of Utah 2006,
1278 Fifth Special Session, Chapter 3, Section1, been in effect during the refund period; and
1279 (ii) for a qualifying watercraft, the refund amount is equal to the difference between:
1280 (A) the qualifying payment the qualifying person paid on the qualifying watercraft
1281 during the refund period; and
1282 (B) the amount of the statewide uniform fee:
1283 (I) for that qualifying watercraft;
1284 (II) that the qualifying person would have been required to pay:
1285 (Aa) during the refund period; and
1286 (Bb) in accordance with this section had [Section 1, Chapter 3,] Laws of Utah 2006,
1287 Fifth Special Session, Section 1, Chapter 3, been in effect during the refund period.
1288 (c) Before the county issues a refund to the qualifying person in accordance with
1289 Subsection (7)(a) the qualifying person shall submit a form to the county to verify the
1290 qualifying person is entitled to the refund.
1291 (d) (i) A form under Subsection (7)(c) or (8) shall:
1292 (A) be developed by the commission;
1293 (B) be provided by the commission to the counties;
1294 (C) be provided by the county to the qualifying person or tangible personal property
1295 owner;
1296 (D) provide for the reporting of the following:

1297 (I) for a qualifying vehicle:
1298 (Aa) the type of qualifying vehicle; and
1299 (Bb) the amount of cubic centimeters displacement;
1300 (II) for a qualifying watercraft:
1301 (Aa) the length of the qualifying watercraft;
1302 (Bb) the age of the qualifying watercraft; and
1303 (Cc) the type of qualifying watercraft;
1304 (E) be signed by the qualifying person or tangible personal property owner; and
1305 (F) include a certification that the information set forth in the form is true.
1306 (ii) A certification made under Subsection (7)(d)(i)(F) is considered as if made under
1307 oath and subject to the same penalties as provided by law for perjury.
1308 (iii) (A) A qualifying person or tangible personal property owner that submits a form to
1309 a county under Subsection (7)(c) or (8) is considered to have given the qualifying person's
1310 consent to an audit or review by:
1311 (I) the commission;
1312 (II) the county assessor; or
1313 (III) the commission and the county assessor.
1314 (B) The consent described in Subsection (7)(d)(iii)(A) is a condition to the acceptance
1315 of any form.
1316 (e) The county shall make changes to the commission's records with the information
1317 received by the county from the form submitted in accordance with Subsection (7)(c).
1318 (8) A county shall change its records regarding an item of qualifying tangible personal
1319 property if the tangible personal property owner submits a form to the county in accordance
1320 with Subsection (7)(d).
1321 (9) (a) For purposes of this Subsection (9) "owner of tangible personal property" means
1322 a person that was required to pay a uniform statewide fee:
1323 (i) during the refund period;
1324 (ii) in accordance with this section; and
1325 (iii) on an item of tangible personal property subject to the uniform statewide fees
1326 imposed by this section.
1327 (b) A county that collected revenues from uniform statewide fees imposed by this

1328 section during the refund period shall notify an owner of tangible personal property:
1329 (i) of the tangible personal property classification changes made to this section
1330 pursuant to [Section 1, Chapter 3,] Laws of Utah 2006, Fifth Special Session, Section 1,
1331 Chapter 3;
1332 (ii) that the owner of tangible personal property may obtain and file a form to modify
1333 the county's records regarding the owner's tangible personal property; and
1334 (iii) that the owner may be entitled to a refund pursuant to Subsection (7).
1335 Section 19. Section 59-2-405.3 is amended to read:
1336 59-2-405.3. Uniform statewide fee on motor homes -- Distribution of revenues.
1337 (1) For purposes of this section, "motor home" means:
1338 (a) a motor home, as defined in Section 13-14-102 , that is required to be registered
1339 with the state; or
1340 (b) a self-propelled vehicle that is:
1341 (i) modified for primary use as a temporary dwelling for travel, recreational, or
1342 vacation use; and
1343 (ii) required to be registered with the state.
1344 (2) In accordance with Utah Constitution Article XIII, Section 2, Subsection (6),
1345 beginning on January 1, 2006, a motor home is:
1346 (a) exempt from the tax imposed by Section 59-2-103 ; and
1347 (b) in lieu of the tax imposed by Section 59-2-103 , subject to a uniform statewide fee
1348 as provided in Subsection (3).
1349 (3) The uniform statewide fee described in Subsection (2)(b) is:
1350 (a) beginning on January 1, 2006, and ending December 31, 2007, 1.25% of the fair
1351 market value of the motor home, as established by the commission; and
1352 (b) beginning on January 1, 2008, 1% of the fair market value of the motor home, as
1353 established by the commission.
1354 (4) Notwithstanding Section 59-2-407 , a motor home subject to the uniform statewide
1355 fee imposed by this section that is brought into the state shall, as a condition of registration, be
1356 subject to the uniform statewide fee unless all property taxes or uniform fees imposed by the
1357 state of origin have been paid for the current calendar year.
1358 (5) (a) [Each] A county shall distribute 45% of the revenue collected by the county

1359 from the uniform statewide fee imposed by this section to each taxing entity that is not a school
1360 district in which each motor home subject to the uniform statewide fee is located in the same
1361 proportion in which revenue collected from the ad valorem property tax is distributed.
1362 (b) [Each] A taxing entity described in Subsection (5)(a) that receives revenue from the
1363 uniform statewide fee imposed by this section shall distribute the revenue in the same
1364 proportion in which revenue collected from the ad valorem property tax is distributed.
1365 (c) Fifty-five percent of the revenues collected in a county from the uniform statewide
1366 fee imposed by this section shall be distributed by the county to each school district within the
1367 county in proportion to the school district's percentage of the total current year enrollment in all
1368 of the school districts within the county, as of the October 1 enrollment counts.
1369 (6) An appeal relating to the uniform statewide fee imposed on a motor home by this
1370 section shall be filed pursuant to Section 59-2-1005 .
1371 Section 20. Section 59-2-919 is amended to read:
1372 59-2-919. Resolution proposing tax increases -- Notice -- Contents of notice of
1373 proposed tax increase -- Personal mailed notice in addition to advertisement -- Contents
1374 of personal mailed notice -- Hearing -- Dates.
1375 A tax rate in excess of the certified tax rate may not be levied until a resolution has
1376 been approved by the taxing entity in accordance with the following procedure:
1377 (1) (a) (i) The taxing entity shall advertise its intent to exceed the certified tax rate in a
1378 newspaper or combination of newspapers of general circulation in the taxing entity.
1379 (ii) Notwithstanding Subsection (1)(a)(i), a taxing entity is not required to meet the
1380 advertisement or hearing requirements of this section if:
1381 (A) the taxing entity:
1382 (I) collected less than $15,000 in ad valorem tax revenues for the previous fiscal year;
1383 or
1384 (II) is expressly exempted by law from complying with the requirements of this
1385 section; or
1386 (B) (I) the taxing entity is a party to an interlocal agreement under Title 11, Chapter 13,
1387 Interlocal Cooperation Act, that creates an interlocal entity to provide fire protection,
1388 emergency, and emergency medical services;
1389 (II) the tax rate increase is approved by the taxing entity's voters at an election held for

1390 that purpose on or before December 31, 2010;
1391 (III) the purpose of the tax rate increase is to pay for fire protection, emergency, and
1392 emergency medical services provided by the interlocal entity; and
1393 (IV) at least 30 days before its annual budget hearing, the taxing entity:
1394 (Aa) adopts a resolution certifying that the taxing entity will dedicate all revenue from
1395 the tax rate increase exclusively to pay for fire protection, emergency, and emergency medical
1396 services provided by the interlocal entity and that the amount of other revenues, independent of
1397 the revenue generated from the tax rate increase, that the taxing entity spends for fire
1398 protection, emergency, and emergency medical services each year after the tax rate increase
1399 will not decrease below the amount spent by the taxing entity during the year immediately
1400 before the tax rate increase without a corresponding decrease in the taxing entity's property tax
1401 revenues used in calculating the taxing entity's certified tax rate; and
1402 (Bb) sends a copy of the resolution to the commission.
1403 (iii) The exception under Subsection (1)(a)(ii)(B) from the advertisement and hearing
1404 requirements of this section does not apply to an increase in a taxing entity's tax rate that occurs
1405 after December 31, 2010, even if the tax rate increase is approved by the taxing entity's voters
1406 before that date.
1407 [(iv) Notwithstanding Subsection (1)(a)(i), a taxing entity is not required to meet the
1408 advertisement requirements of this section if Section 53A-17a-133 allows the taxing entity to
1409 levy a tax rate that exceeds that certified tax rate without having to comply with the
1410 advertisement requirements of this section.]
1411 (b) The advertisement described in this section shall:
1412 (i) be no less than 1/4 page in size;
1413 (ii) use type no smaller than 18 point; and
1414 (iii) be surrounded by a 1/4-inch border.
1415 (c) The advertisement described in this section may not be placed in that portion of the
1416 newspaper where legal notices and classified advertisements appear.
1417 (d) It is the intent of the Legislature that:
1418 (i) whenever possible, the advertisement described in this section appear in a
1419 newspaper that is published at least one day per week; and
1420 (ii) the newspaper or combination of newspapers selected:

1421 (A) be of general interest and readership in the taxing entity; and
1422 (B) not be of limited subject matter.
1423 (e) The advertisement described in this section shall:
1424 (i) be run once each week for the two weeks preceding the adoption of the final budget;
1425 and
1426 (ii) state that the taxing entity will meet on a certain day, time, and place fixed in the
1427 advertisement, which shall be not less than seven days after the day the first advertisement is
1428 published, for the purpose of hearing comments regarding any proposed increase and to explain
1429 the reasons for the proposed increase.
1430 (f) The meeting on the proposed increase may coincide with the hearing on the
1431 proposed budget of the taxing entity.
1432 (2) The form and content of the notice shall be substantially as follows:
1433 "NOTICE OF PROPOSED TAX INCREASE
1434 (NAME OF TAXING ENTITY)
1435 The (name of the taxing entity) is proposing to increase its property tax revenue.
1436 * If the proposed budget is approved, this would be an increase of _____% above
1437 the (name of the taxing entity) property tax budgeted revenue for the prior year.
1438 * The (name of the taxing entity) tax on a (insert the average value of a residence
1439 in the taxing entity rounded to the nearest thousand dollars) residence would
1440 increase from $______ to $________, which is $_______ per year.
1441 * The (name of the taxing entity) tax on a (insert the value of a business having
1442 the same value as the average value of a residence in the taxing entity) business
1443 would increase from $________ to $_______, which is $______ per year.
1444 (Name of taxing entity) property tax revenue from new growth and other sources will
1445 increase from $_______________ to $______________.
1446 All concerned citizens are invited to a public hearing on the tax increase.
1447 PUBLIC HEARING
1448 Date/Time: (date) (time)
1449 Location: (name of meeting place and address of meeting place)
1450 To obtain more information regarding the tax increase, citizens may contact the (name
1451 of the taxing entity) at (phone number of taxing entity)."

1452 (3) The commission:
1453 (a) shall adopt rules governing the joint use of one advertisement under this section or
1454 Section 59-2-918 by two or more taxing entities; and
1455 (b) may, upon petition by any taxing entity, authorize either:
1456 (i) the use of weekly newspapers in counties having both daily and weekly newspapers
1457 where the weekly newspaper would provide equal or greater notice to the taxpayer; or
1458 (ii) the use of a commission-approved direct notice to each taxpayer if the:
1459 (A) cost of the advertisement would cause undue hardship; and
1460 (B) direct notice is different and separate from that provided for in Subsection (4).
1461 (4) (a) In addition to providing the notice required by Subsections (1) and (2), the
1462 county auditor, on or before July 22 of each year, shall notify, by mail, each owner of real
1463 estate as defined in Section 59-2-102 who is listed on the assessment roll.
1464 (b) The notice described in Subsection (4)(a) shall:
1465 (i) be sent to all owners of real property by mail not less than ten days before the day
1466 on which:
1467 (A) the county board of equalization meets; and
1468 (B) the taxing entity holds a public hearing on the proposed increase in the certified tax
1469 rate;
1470 (ii) be printed on a form that is:
1471 (A) approved by the commission; and
1472 (B) uniform in content in all counties in the state; and
1473 (iii) contain for each property:
1474 (A) the value of the property;
1475 (B) the date the county board of equalization will meet to hear complaints on the
1476 valuation;
1477 (C) itemized tax information for all taxing entities, including a separate statement for
1478 the minimum school levy under Section 53A-17a-135 stating:
1479 (I) the dollar amount the taxpayer would have paid based on last year's rate; and
1480 (II) the amount of the taxpayer's liability under the current rate;
1481 (D) the tax impact on the property;
1482 (E) the time and place of the required public hearing for each entity;

1483 (F) property tax information pertaining to:
1484 (I) taxpayer relief;
1485 (II) options for payment of taxes; and
1486 (III) collection procedures;
1487 (G) information specifically authorized to be included on the notice under Title 59,
1488 Chapter 2, Property Tax Act; and
1489 (H) other property tax information approved by the commission.
1490 (5) (a) The taxing entity, after holding a hearing as provided in this section, may adopt
1491 a resolution levying a tax rate in excess of the certified tax rate.
1492 (b) If a resolution adopting a tax rate is not adopted on the day of the public hearing,
1493 the scheduled time and place for consideration and adoption of the resolution shall be
1494 announced at the public hearing.
1495 (c) If a resolution adopting a tax rate is to be considered at a day and time that is more
1496 than two weeks after the public hearing described in Subsection (4)(b)(iii)(E), a taxing entity,
1497 other than a taxing entity described in Subsection (1)(a)(ii), shall advertise the date of the
1498 proposed adoption of the resolution in the same manner as provided under Subsections (1) and
1499 (2).
1500 (6) (a) All hearings described in this section shall be open to the public.
1501 (b) The governing body of a taxing entity conducting a hearing shall permit all
1502 interested parties desiring to be heard an opportunity to present oral testimony within
1503 reasonable time limits.
1504 (7) (a) Each taxing entity shall notify the county legislative body by March 1 of each
1505 year of the date, time, and place a public hearing is held by the taxing entity pursuant to this
1506 section.
1507 (b) A taxing entity may not schedule a hearing described in this section at the same
1508 time as another overlapping taxing entity in the same county, but all taxing entities in which the
1509 power to set tax levies is vested in the same governing board or authority may consolidate the