S.B. 47

1

LIMITED PURPOSE LOCAL GOVERNMENT
2 ENTITIES REVISIONS
3 2008 GENERAL SESSION
4 STATE OF UTAH
5 Chief Sponsor: Dennis E. Stowell
6 House Sponsor: ____________
7
8 LONG TITLE
9 Committee Note:
10 The Political Subdivisions Interim Committee recommended this bill.
11 General Description:
12 This bill modifies provisions relating to limited purpose local government entities.
13 Highlighted Provisions:
14 This bill:
15 . repeals and reenacts, rewrites, clarifies, and modifies provisions related to special
16 service districts;
17 . repeals and reenacts, rewrites, clarifies, and modifies provisions related to
18 conservation districts;
19 . repeals provisions related to parking and business improvement districts, special
20 road districts, and historic districts;
21 . reenacts historic preservation authority for counties and municipalities;
22 . modifies assessment area provisions to preserve authority eliminated through the
23 repeal of parking and business improvement district provisions;
24 . requires the type of local district proposed to be created to be specified in the
25 petition or resolution proposing the creation of a local district;
26 . clarifies that a local district board of trustees member must be a registered voter at
27 the location of the member's residence;

28 . expands the group of service areas that have a higher allowable tax rate to include
29 service areas in second class counties, if the service area provides fire protection,
30 paramedic, and emergency services;
31 . eliminates a cap on the number of local district board of trustees members allowed,
32 and makes conforming changes;
33 . restricts the area that an improvement district providing electric service may
34 include;
35 . authorizes a special service district to provide service outside its boundary;
36 . modifies the type of correctional facilities and services that a special service district
37 is authorized to provide;
38 . authorizes a special service district in a county of the first class to provide extended
39 police protection;
40 . eliminates a cap on the number of special service district administrative control
41 board members allowed;
42 . modifies the qualifications of an administrative control board member;
43 . modifies the authority of a conservation district;
44 . modifies the date by which a conservation district's annual report is to be submitted
45 to the commission; and
46 . makes technical changes.
47 Monies Appropriated in this Bill:
48 None
49 Other Special Clauses:
50 None
51 Utah Code Sections Affected:
52 AMENDS:
53 11-42-102, as enacted by Laws of Utah 2007, Chapter 329
54 17B-1-102, as renumbered and amended by Laws of Utah 2007, Chapter 329
55 17B-1-203, as renumbered and amended by Laws of Utah 2007, Chapter 329
56 17B-1-205, as renumbered and amended by Laws of Utah 2007, Chapter 329
57 17B-1-215, as renumbered and amended by Laws of Utah 2007, Chapter 329
58 17B-1-302, as renumbered and amended by Laws of Utah 2007, Chapter 329

59 17B-1-1002, as enacted by Laws of Utah 2007, Chapter 329
60 17B-1-1103, as enacted by Laws of Utah 2007, Chapter 329
61 17B-2a-404, as enacted by Laws of Utah 2007, Chapter 329
62 17B-2a-406, as renumbered and amended by Laws of Utah 2007, Chapter 329
63 67-1a-6.5, as last amended by Laws of Utah 2007, Chapters 212 and 329
64 ENACTS:
65 10-8-85.9, Utah Code Annotated 1953
66 17-50-324, Utah Code Annotated 1953
67 17B-1-1501, Utah Code Annotated 1953
68 17B-1-1502, Utah Code Annotated 1953
69 17B-1-1503, Utah Code Annotated 1953
70 17D-1-101, Utah Code Annotated 1953
71 17D-1-102, Utah Code Annotated 1953
72 17D-1-103, Utah Code Annotated 1953
73 17D-1-104, Utah Code Annotated 1953
74 17D-1-105, Utah Code Annotated 1953
75 17D-1-106, Utah Code Annotated 1953
76 17D-1-107, Utah Code Annotated 1953
77 17D-1-108, Utah Code Annotated 1953
78 17D-1-201, Utah Code Annotated 1953
79 17D-1-202, Utah Code Annotated 1953
80 17D-1-203, Utah Code Annotated 1953
81 17D-1-204, Utah Code Annotated 1953
82 17D-1-205, Utah Code Annotated 1953
83 17D-1-206, Utah Code Annotated 1953
84 17D-1-207, Utah Code Annotated 1953
85 17D-1-208, Utah Code Annotated 1953
86 17D-1-209, Utah Code Annotated 1953
87 17D-1-210, Utah Code Annotated 1953
88 17D-1-211, Utah Code Annotated 1953
89 17D-1-301, Utah Code Annotated 1953

90 17D-1-302, Utah Code Annotated 1953
91 17D-1-303, Utah Code Annotated 1953
92 17D-1-304, Utah Code Annotated 1953
93 17D-1-305, Utah Code Annotated 1953
94 17D-1-306, Utah Code Annotated 1953
95 17D-1-401, Utah Code Annotated 1953
96 17D-1-402, Utah Code Annotated 1953
97 17D-1-403, Utah Code Annotated 1953
98 17D-1-501, Utah Code Annotated 1953
99 17D-1-502, Utah Code Annotated 1953
100 17D-1-503, Utah Code Annotated 1953
101 17D-1-504, Utah Code Annotated 1953
102 17D-1-505, Utah Code Annotated 1953
103 17D-1-506, Utah Code Annotated 1953
104 17D-1-507, Utah Code Annotated 1953
105 17D-1-508, Utah Code Annotated 1953
106 17D-1-509, Utah Code Annotated 1953
107 17D-1-601, Utah Code Annotated 1953
108 17D-1-602, Utah Code Annotated 1953
109 17D-1-603, Utah Code Annotated 1953
110 17D-2-101, Utah Code Annotated 1953
111 17D-3-101, Utah Code Annotated 1953
112 17D-3-103, Utah Code Annotated 1953
113 17D-3-104, Utah Code Annotated 1953
114 17D-3-201, Utah Code Annotated 1953
115 17D-3-202, Utah Code Annotated 1953
116 17D-3-203, Utah Code Annotated 1953
117 17D-3-204, Utah Code Annotated 1953
118 17D-3-301, Utah Code Annotated 1953
119 17D-3-302, Utah Code Annotated 1953
120 17D-3-303, Utah Code Annotated 1953

121 17D-3-304, Utah Code Annotated 1953
122 17D-3-305, Utah Code Annotated 1953
123 17D-3-306, Utah Code Annotated 1953
124 17D-3-307, Utah Code Annotated 1953
125 17D-3-308, Utah Code Annotated 1953
126 17D-3-309, Utah Code Annotated 1953
127 17D-3-310, Utah Code Annotated 1953
128 RENUMBERS AND AMENDS:
129 17D-3-102, (Renumbered from 17A-3-800, as last amended by Laws of Utah 2007,
130 Chapter 179)
131 REPEALS:
132 17A-2-1301, as renumbered and amended by Laws of Utah 1990, Chapter 186
133 17A-2-1302, as last amended by Laws of Utah 2003, Chapter 292
134 17A-2-1303, as renumbered and amended by Laws of Utah 1990, Chapter 186
135 17A-2-1304, as last amended by Laws of Utah 2007, Chapters 183 and 203
136 17A-2-1305, as renumbered and amended by Laws of Utah 1990, Chapter 186
137 17A-2-1306, as renumbered and amended by Laws of Utah 1990, Chapter 186
138 17A-2-1307, as renumbered and amended by Laws of Utah 1990, Chapter 186
139 17A-2-1308, as last amended by Laws of Utah 2003, Chapter 292
140 17A-2-1309, as renumbered and amended by Laws of Utah 1990, Chapter 186
141 17A-2-1310, as renumbered and amended by Laws of Utah 1990, Chapter 186
142 17A-2-1311, as last amended by Laws of Utah 2005, Chapter 233
143 17A-2-1312, as last amended by Laws of Utah 2005, Chapter 105
144 17A-2-1313, as last amended by Laws of Utah 2005, Chapter 233
145 17A-2-1314, as last amended by Laws of Utah 2007, Chapter 329
146 17A-2-1315, as last amended by Laws of Utah 2007, Chapter 329
147 17A-2-1316, as last amended by Laws of Utah 2005, Chapter 105
148 17A-2-1317, as renumbered and amended by Laws of Utah 1990, Chapter 186
149 17A-2-1318, as last amended by Laws of Utah 2005, Chapter 148
150 17A-2-1319, as renumbered and amended by Laws of Utah 1990, Chapter 186
151 17A-2-1320, as last amended by Laws of Utah 2001, Chapter 195

152 17A-2-1321, as last amended by Laws of Utah 2004, Chapter 316
153 17A-2-1322, as last amended by Laws of Utah 2005, Chapters 105 and 260
154 17A-2-1323, as renumbered and amended by Laws of Utah 1990, Chapter 186
155 17A-2-1324, as renumbered and amended by Laws of Utah 1990, Chapter 186
156 17A-2-1325, as renumbered and amended by Laws of Utah 1990, Chapter 186
157 17A-2-1326, as last amended by Laws of Utah 2007, Chapters 203 and 329
158 17A-2-1327, as last amended by Laws of Utah 2005, Chapter 233
159 17A-2-1328, as renumbered and amended by Laws of Utah 1990, Chapter 186
160 17A-2-1329, as last amended by Laws of Utah 2005, Chapter 233
161 17A-2-1330, as last amended by Laws of Utah 2007, Chapter 329
162 17A-2-1331, as renumbered and amended by Laws of Utah 1990, Chapter 186
163 17A-2-1332, as renumbered and amended by Laws of Utah 1990, Chapter 186
164 17A-3-401, as renumbered and amended by Laws of Utah 1990, Chapter 186
165 17A-3-402, as renumbered and amended by Laws of Utah 1990, Chapter 186
166 17A-3-403, as renumbered and amended by Laws of Utah 1990, Chapter 186
167 17A-3-404, as renumbered and amended by Laws of Utah 1990, Chapter 186
168 17A-3-405, as renumbered and amended by Laws of Utah 1990, Chapter 186
169 17A-3-406, as renumbered and amended by Laws of Utah 1990, Chapter 186
170 17A-3-407, as last amended by Laws of Utah 2003, Chapter 292
171 17A-3-408, as renumbered and amended by Laws of Utah 1990, Chapter 186
172 17A-3-409, as renumbered and amended by Laws of Utah 1990, Chapter 186
173 17A-3-410, as renumbered and amended by Laws of Utah 1990, Chapter 186
174 17A-3-411, as renumbered and amended by Laws of Utah 1990, Chapter 186
175 17A-3-412, as last amended by Laws of Utah 2000, Chapter 1
176 17A-3-413, as renumbered and amended by Laws of Utah 1990, Chapter 186
177 17A-3-414, as renumbered and amended by Laws of Utah 1990, Chapter 186
178 17A-3-801, as renumbered and amended by Laws of Utah 1990, Chapter 186
179 17A-3-802, as renumbered and amended by Laws of Utah 1990, Chapter 186
180 17A-3-803, as renumbered and amended by Laws of Utah 1990, Chapter 186
181 17A-3-804, as last amended by Laws of Utah 1997, Chapter 180
182 17A-3-805, as last amended by Laws of Utah 2005, Chapter 39

183 17A-3-806, as renumbered and amended by Laws of Utah 1990, Chapter 186
184 17A-3-807, as renumbered and amended by Laws of Utah 1990, Chapter 186
185 17A-3-1201, as last amended by Laws of Utah 1993, Chapter 227
186 17A-3-1202, as renumbered and amended by Laws of Utah 1990, Chapter 186
187 17A-3-1203, as last amended by Laws of Utah 1993, Chapter 227
188 17A-3-1204, as last amended by Laws of Utah 1994, Chapter 146
189 17A-3-1205, as renumbered and amended by Laws of Utah 1990, Chapter 186
190 17A-3-1206, as last amended by Laws of Utah 1993, Chapter 227
191 17A-3-1301, as renumbered and amended by Laws of Utah 1990, Chapter 186
192 17A-3-1302, as renumbered and amended by Laws of Utah 1990, Chapter 186
193 17A-3-1303, as renumbered and amended by Laws of Utah 1990, Chapter 186
194 17A-3-1304, as renumbered and amended by Laws of Utah 1990, Chapter 186
195 17A-3-1305, as renumbered and amended by Laws of Utah 1990, Chapter 186
196 17A-3-1306, as renumbered and amended by Laws of Utah 1990, Chapter 186
197
198 Be it enacted by the Legislature of the state of Utah:
199 Section 1. Section 10-8-85.9 is enacted to read:
200 CHAPTER 8. POWERS AND DUTIES OF MUNICIPALITIES
201 10-8-85.9. Preservation of historical areas and sites.
202 A municipality may:
203 (1) expend public funds to preserve, protect, or enhance an historical area or site;
204 (2) acquire an historical area or site by direct purchase, contract, lease, trade, or gift;
205 (3) obtain an easement or right-of-way across public or private property to insure
206 access or proper development of an historical area or site;
207 (4) protect an historical area or site;
208 (5) ensure proper development and utilization of land or an area adjacent to an
209 historical area or site; and
210 (6) enter into an agreement with a private individual for the right to purchase an
211 historical area or site if and when the private individual elects to sell or dispose of the owner's
212 property.
213 Section 2. Section 11-42-102 is amended to read:

214 11-42-102. Definitions.
215 (1) "Adequate protests" means timely filed, written protests under Section 11-42-203
216 that represent at least 50% of the frontage, area, taxable value, fair market value, lots, number
217 of connections, or equivalent residential units of the property proposed to be assessed,
218 according to the same assessment method by which the assessment is proposed to be levied,
219 after eliminating:
220 (a) protests relating to:
221 (i) property that has been deleted from a proposed assessment area; or
222 (ii) an improvement that has been deleted from the proposed improvements to be
223 provided to property within the proposed assessment area; and
224 (b) protests that have been withdrawn under Subsection 11-42-203 (3).
225 (2) "Assessment area" means an area, or, if more than one area is designated, the
226 aggregate of all areas within a local entity's jurisdictional boundaries that is designated by a
227 local entity under Part 2, Designating an Assessment Area, for the purpose of financing the
228 costs of improvements, operation and maintenance, or economic promotion activities that
229 benefit property within the area.
230 (3) "Assessment bonds" means bonds that are:
231 (a) issued under Section 11-42-605 ; and
232 (b) payable in part or in whole from assessments levied in an assessment area,
233 improvement revenues, and a guaranty fund or reserve fund.
234 (4) "Assessment fund" means a special fund that a local entity establishes under
235 Section 11-42-412 .
236 (5) "Assessment lien" means a lien on property within an assessment area that arises
237 from the levy of an assessment, as provided in Section 11-42-501 .
238 (6) "Assessment method" means the method by which an assessment is levied against
239 property, whether by frontage, area, taxable value, fair market value, lot, number of
240 connections, equivalent residential unit, or any combination of these methods.
241 (7) "Assessment ordinance" means an ordinance adopted by a local entity under
242 Section 11-42-404 that levies an assessment on benefitted property within an assessment area.
243 (8) "Assessment resolution" means a resolution adopted by a local entity under Section
244 11-42-404 that levies an assessment on benefitted property within an assessment area.

245 (9) "Benefitted property" means property within an assessment area that benefits from
246 improvements, operation and maintenance, or economic promotion activities.
247 (10) "Bond anticipation notes" means notes issued under Section 11-42-602 in
248 anticipation of the issuance of assessment bonds.
249 (11) "Bonds" means assessment bonds and refunding assessment bonds.
250 (12) "Commercial area" means an area in which at least 75% of the property is devoted
251 to the interchange of goods or commodities.
252 (13) "Connection fee" means a fee charged by a local entity to pay for the costs of
253 connecting property to a publicly owned sewer, water, gas, telecommunications, or electrical
254 system, whether or not improvements are installed on the property.
255 (14) "Contract price" means:
256 (a) the cost of acquiring an improvement, if the improvement is acquired; or
257 (b) the amount payable to one or more contractors for the design, engineering,
258 inspection, and construction of an improvement.
259 (15) "Designation ordinance" means an ordinance adopted by a local entity under
260 Section 11-42-206 designating an assessment area.
261 (16) "Designation resolution" means a resolution adopted by a local entity under
262 Section 11-42-206 designating an assessment area.
263 (17) "Economic promotion activities" means activities that promote economic growth
264 in a commercial area of a local entity, including:
265 (a) sponsoring festivals and markets;
266 (b) promoting business investment;
267 (c) helping to coordinate public and private actions; [and]
268 (d) promoting general business activities; and
269 [(d)] (e) developing and issuing publications designed to improve the economic
270 well-being of the commercial area.
271 (18) "Equivalent residential unit" means a dwelling, unit, or development that is equal
272 to a single-family residence in terms of the nature of its use or impact on an improvement to be
273 provided in the assessment area.
274 (19) "Governing body" means:
275 (a) for a county, city, or town, the legislative body of the county, city, or town;

276 (b) for a local district, the board of trustees of the local district; and
277 (c) for a special service district:
278 (i) the legislative body of the county, city, or town that established the special service
279 district, if no administrative control board has been appointed under Section 17A-2-1326 ; or
280 (ii) the administrative control board of the special service district, if an administrative
281 control board has been appointed under Section 17A-2-1326 .
282 (20) "Guaranty fund" means the fund established by a local entity under Section
283 11-42-701 .
284 (21) "Improved property" means property proposed to be assessed within an
285 assessment area upon which a residential, commercial, or other building has been built.
286 (22) "Improvement" means any publicly owned infrastructure, system, or other facility
287 that:
288 (a) a local entity is authorized to provide; or
289 (b) the governing body of a local entity determines is necessary or convenient to enable
290 the local entity to provide a service that the local entity is authorized to provide.
291 (23) "Improvement revenues":
292 (a) means charges, fees, impact fees, or other revenues that a local entity receives from
293 improvements; and
294 (b) does not include revenue from assessments.
295 (24) "Incidental refunding costs" means any costs of issuing refunding assessment
296 bonds and calling, retiring, or paying prior bonds, including:
297 (a) legal and accounting fees;
298 (b) charges of fiscal agents, escrow agents, and trustees;
299 (c) underwriting discount costs, printing costs, the costs of giving notice;
300 (d) any premium necessary in the calling or retiring of prior bonds;
301 (e) fees to be paid to the local entity to issue the refunding assessment bonds and to
302 refund the outstanding prior bonds;
303 (f) any other costs that the governing body determines are necessary or desirable to
304 incur in connection with the issuance of refunding assessment bonds; and
305 (g) any interest on the prior bonds that is required to be paid in connection with the
306 issuance of the refunding assessment bonds.

307 (25) "Installment payment date" means the date on which an installment payment of an
308 assessment is payable.
309 (26) "Interim warrant" means a warrant issued by a local entity under Section
310 11-42-601 .
311 (27) "Jurisdictional boundaries" means:
312 (a) for a county, the boundaries of the unincorporated area of the county; and
313 (b) for each other local entity, the boundaries of the local entity.
314 (28) "Local district" means a local district under Title 17B, Limited Purpose Local
315 Government Entities - Local Districts.
316 (29) "Local entity" means a county, city, town, special service district, or local district.
317 (30) "Local entity obligations" means assessment bonds, refunding assessment bonds,
318 interim warrants, and bond anticipation notes issued by a local entity.
319 (31) "Mailing address" means:
320 (a) a property owner's last-known address using the name and address appearing on the
321 last completed real property assessment roll of the county in which the property is located; and
322 (b) if the property is improved property:
323 (i) the property's street number; or
324 (ii) the post office box, rural route number, or other mailing address of the property, if
325 a street number has not been assigned.
326 (32) "Net improvement revenues" means all improvement revenues that a local entity
327 has received since the last installment payment date, less all amounts payable by the local entity
328 from those improvement revenues for operation and maintenance costs.
329 (33) "Operation and maintenance costs" means the costs that a local entity incurs in
330 operating and maintaining improvements in an assessment area, including service charges,
331 administrative costs, ongoing maintenance charges, and tariffs or other charges for electrical,
332 water, gas, or other utility usage.
333 (34) "Optional facilities":
334 (a) means facilities in an assessment area that:
335 (i) can be conveniently installed at the same time as improvements in the assessment
336 area; and
337 (ii) are requested by a property owner on whose property or for whose benefit the

338 improvements are being installed; and
339 (b) includes private driveways, irrigation ditches, and water turnouts.
340 (35) "Overhead costs" means the actual costs incurred or the estimated costs to be
341 incurred by a local entity in connection with an assessment area for appraisals, legal fees, filing
342 fees, financial advisory charges, underwriting fees, placement fees, escrow, trustee, and paying
343 agent fees, publishing and mailing costs, costs of levying an assessment, recording costs, and
344 all other incidental costs.
345 (36) "Prior bonds" means the assessment bonds that are refunded in part or in whole by
346 refunding assessment bonds.
347 (37) "Prior assessment ordinance" means the ordinance levying the assessments from
348 which the prior bonds are payable.
349 (38) "Prior assessment resolution" means the resolution levying the assessments from
350 which the prior bonds are payable.
351 (39) "Project engineer" means the surveyor or engineer employed by or private
352 consulting engineer engaged by a local entity to perform the necessary engineering services for
353 and to supervise the construction or installation of the improvements.
354 (40) "Property" includes real property and any interest in real property, including water
355 rights, leasehold rights, and personal property related to the property.
356 (41) "Property price" means the price at which a local entity purchases or acquires by
357 eminent domain property to make improvements in an assessment area.
358 (42) "Provide" or "providing," with reference to an improvement, includes the
359 acquisition, construction, reconstruction, renovation, maintenance, repair, operation, and
360 expansion of an improvement.
361 (43) "Public agency" means:
362 (a) the state or any agency, department, or division of the state; and
363 (b) a political subdivision of the state.
364 (44) "Reduced payment obligation" means the full obligation of an owner of property
365 within an assessment area to pay an assessment levied on the property after the assessment has
366 been reduced because of the issuance of refunding assessment bonds, as provided in Section
367 11-42-608 .
368 (45) "Refunding assessment bonds" means assessment bonds that a local entity issues

369 under Section 11-42-607 to refund, in part or in whole, assessment bonds.
370 (46) "Reserve fund" means a fund established by a local entity under Section
371 11-42-702 .
372 (47) "Service" means water, sewer, garbage collection, library, recreation, or electric
373 service, economic promotion activities, or any other service that a local entity is required or
374 authorized to provide.
375 (48) "Special service district" means a special service district under Title 17A, Chapter
376 2, Part 13, Utah Special Service District Act.
377 (49) "Unimproved property" means property upon which no residential, commercial, or
378 other building has been built.
379 (50) "Voluntary assessment area" means an assessment area that contains only property
380 whose owners have voluntarily consented to an assessment.
381 Section 3. Section 17-50-324 is enacted to read:
382 17-50-324. Preservation of historical areas and sites.
383 A county may:
384 (1) expend public funds to preserve, protect, or enhance an historical area or site;
385 (2) acquire an historical area or site by direct purchase, contract, lease, trade, or gift;
386 (3) obtain an easement or right-of-way across public or private property to insure
387 access or proper development of an historical area or site;
388 (4) protect an historical area or site;
389 (5) ensure proper development and utilization of land or an area adjacent to an
390 historical area or site; and
391 (6) enter into an agreement with a private individual for the right to purchase an
392 historical area or site if and when the private individual elects to sell or dispose of the owner's
393 property.
394 Section 4. Section 17B-1-102 is amended to read:
395 17B-1-102. Definitions.
396 As used in this title:
397 (1) "Appointing authority" means the person or body authorized to make an
398 appointment to the board of trustees.
399 (2) "Basic local district":

400 (a) means a local district that is not a [cemetery maintenance district, drainage district,
401 fire protection district, improvement district, irrigation district, metropolitan water district,
402 mosquito abatement district, public transit district, service area, or water conservancy]
403 specialized local district; and
404 (b) includes an entity that was, under the law in effect before April 30, 2007, created
405 and operated as a local district, as defined under the law in effect before April 30, 2007.
406 (3) "Bond" means:
407 (a) a written obligation to repay borrowed money, whether denominated a bond, note,
408 warrant, certificate of indebtedness, or otherwise; and
409 (b) a lease agreement, installment purchase agreement, or other agreement that:
410 (i) includes an obligation by the district to pay money; and
411 (ii) the district's board of trustees, in its discretion, treats as a bond for purposes of Title
412 11, Chapter 14, Local Government Bonding Act, or Title 11, Chapter 27, Utah Refunding Bond
413 Act.
414 (4) "Cemetery maintenance district" means a local district that operates under and is
415 subject to the provisions of this chapter and Chapter 2a, Part 1, Cemetery Maintenance District
416 Act, including an entity that was created and operated as a cemetery maintenance district under
417 the law in effect before April 30, 2007.
418 (5) "Drainage district" means a local district that operates under and is subject to the
419 provisions of this chapter and Chapter 2a, Part 2, Drainage District Act, including an entity that
420 was created and operated as a drainage district under the law in effect before April 30, 2007.
421 (6) "Facility" or "facilities" includes any structure, building, system, land, water right,
422 water, or other real or personal property required to provide a service that a local district is
423 authorized to provide, including any related or appurtenant easement or right-of-way,
424 improvement, utility, landscaping, sidewalk, road, curb, gutter, equipment, or furnishing.
425 (7) "Fire protection district" means a local district that operates under and is subject to
426 the provisions of this chapter and Chapter 2a, Part 3, Fire Protection District Act, including an
427 entity that was created and operated as a fire protection district under the law in effect before
428 April 30, 2007.
429 (8) "General obligation bond":
430 (a) means a bond that is directly payable from and secured by ad valorem property

431 taxes that are:
432 (i) levied by the district that issues the bond; and
433 (ii) in excess of the ad valorem property taxes of the district for the current fiscal year;
434 and
435 (b) does not include:
436 (i) a short-term bond;
437 (ii) a tax and revenue anticipation bond; or
438 (iii) a special assessment bond.
439 (9) "Improvement district" means a local district that operates under and is subject to
440 the provisions of this chapter and Chapter 2a, Part 4, Improvement District Act, including an
441 entity that was created and operated as a county improvement district under the law in effect
442 before April 30, 2007.
443 (10) "Irrigation district" means a local district that operates under and is subject to the
444 provisions of this chapter and Chapter 2a, Part 5, Irrigation District Act, including an entity that
445 was created and operated as an irrigation district under the law in effect before April 30, 2007.
446 (11) "Local district" means a limited purpose local government entity, as described in
447 Section 17B-1-103 , that operates under, is subject to, and has the powers set forth in:
448 (a) this chapter; or
449 (b) (i) this chapter; and
450 (ii) (A) Chapter 2a, Part 1, Cemetery Maintenance District Act;
451 (B) Chapter 2a, Part 2, Drainage District Act;
452 (C) Chapter 2a, Part 3, Fire Protection District Act;
453 (D) Chapter 2a, Part 4, Improvement District Act;
454 (E) Chapter 2a, Part 5, Irrigation District Act;
455 (F) Chapter 2a, Part 6, Metropolitan Water District Act;
456 (G) Chapter 2a, Part 7, Mosquito Abatement District Act;
457 (H) Chapter 2a, Part 8, Public Transit District Act;
458 (I) Chapter 2a, Part 9, Service Area Act; or
459 (J) Chapter 2a, Part 10, Water Conservancy District Act.
460 (12) "Metropolitan water district" means a local district that operates under and is
461 subject to the provisions of this chapter and Chapter 2a, Part 6, Metropolitan Water District

462 Act, including an entity that was created and operated as a metropolitan water district under the
463 law in effect before April 30, 2007.
464 (13) "Mosquito abatement district" means a local district that operates under and is
465 subject to the provisions of this chapter and Chapter 2a, Part 7, Mosquito Abatement District
466 Act, including an entity that was created and operated as a mosquito abatement district under
467 the law in effect before April 30, 2007.
468 (14) "Municipal" means of or relating to a municipality.
469 (15) "Municipality" means a city or town.
470 (16) "Person" has the same meaning as defined in Section 68-3-12 .
471 (17) "Political subdivision" means a county, city, town, local district under this title,
472 special service district under Title 17A, Chapter 2, Part 13, Utah Special Service District Act,
473 an entity created by interlocal cooperation agreement under Title 11, Chapter 13, Interlocal
474 Cooperation Act, or any other governmental entity designated in statute as a political
475 subdivision of the state.
476 (18) "Private," with respect to real property, means not owned by the United States or
477 any agency of the federal government, the state, a county, or a political subdivision.
478 (19) "Public entity" means:
479 (a) the United States or an agency of the United States;
480 (b) the state or an agency of the state;
481 (c) a political subdivision of the state or an agency of a political subdivision of the
482 state;
483 (d) another state or an agency of that state; or
484 (e) a political subdivision of another state or an agency of that political subdivision.
485 (20) "Public transit district" means a local district that operates under and is subject to
486 the provisions of this chapter and Chapter 2a, Part 8, Public Transit District Act, including an
487 entity that was created and operated as a public transit district under the law in effect before
488 April 30, 2007.
489 (21) "Revenue bond":
490 (a) means a bond payable from designated taxes or other revenues other than the local
491 district's ad valorem property taxes; and
492 (b) does not include:

493 (i) an obligation constituting an indebtedness within the meaning of an applicable
494 constitutional or statutory debt limit;
495 (ii) a tax and revenue anticipation bond; or
496 (iii) a special assessment bond.
497 (22) "Service area" means a local district that operates under and is subject to the
498 provisions of this chapter and Chapter 2a, Part 9, Service Area Act, including an entity that was
499 created and operated as a county service area or a regional service area under the law in effect
500 before April 30, 2007.
501 (23) "Short-term bond" means a bond that is required to be repaid during the fiscal year
502 in which the bond is issued.
503 (24) "Special assessment" means an assessment levied against property to pay all or a
504 portion of the costs of making improvements that benefit the property.
505 (25) "Special assessment bond" means a bond payable from special assessments.
506 (26) "Specialized local district" means a local district that is a cemetery maintenance
507 district, a drainage district, a fire protection district, an improvement district, an irrigation
508 district, a metropolitan water district, a mosquito abatement district, a public transit district, a
509 service area, or a water conservancy district.
510 [(26)] (27) "Taxable value" means the taxable value of property as computed from the
511 most recent equalized assessment roll for county purposes.
512 [(27)] (28) "Tax and revenue anticipation bond" means a bond:
513 (a) issued in anticipation of the collection of taxes or other revenues or a combination
514 of taxes and other revenues; and
515 (b) that matures within the same fiscal year as the fiscal year in which the bond is
516 issued.
517 [(28)] (29) "Unincorporated" means not included within a municipality.
518 [(29)] (30) "Water conservancy district" means a local district that operates under and
519 is subject to the provisions of this chapter and Chapter 2a, Part 10, Water Conservancy District
520 Act, including an entity that was created and operated as a water conservancy district under the
521 law in effect before April 30, 2007.
522 [(30)] (31) "Works" includes a dam, reservoir, well, canal, conduit, pipeline, drain,
523 tunnel, power plant, and any facility, improvement, or property necessary or convenient for

524 supplying or treating water for any beneficial use, and for otherwise accomplishing the
525 purposes of a local district.
526 Section 5. Section 17B-1-203 is amended to read:
527 17B-1-203. Process to initiate the creation of a local district -- Petition or
528 resolution.
529 (1) The process to create a local district may be initiated by:
530 (a) subject to Section 17B-1-204 , a petition signed by the owners of private real
531 property that:
532 (i) is located within the proposed local district;
533 (ii) covers at least 33% of the total private land area within the proposed local district
534 as a whole and within each applicable area;
535 (iii) is equal in value to at least 25% of the value of all private real property within the
536 proposed local district as a whole and within each applicable area; and
537 (iv) complies with the requirements of Subsection 17B-1-205 (1) and Section
538 17B-1-208 ;
539 (b) subject to Section 17B-1-204 , a petition that:
540 (i) is signed by registered voters residing within the proposed local district as a whole
541 and within each applicable area, equal in number to at least 33% of the number of votes cast in
542 the proposed local district as a whole and in each applicable area, respectively, for the office of
543 governor at the last regular general election prior to the filing of the petition; and
544 (ii) complies with the requirements of Subsection 17B-1-205 (1) and Section
545 17B-1-208 ;
546 (c) a resolution proposing the creation of a local district, adopted by the legislative
547 body of each county whose unincorporated area includes and each municipality whose
548 boundaries include any of the proposed local district; or
549 (d) a resolution proposing the creation of a local district, adopted by the board of
550 trustees of an existing local district whose boundaries completely encompass the proposed
551 local district, if:
552 (i) the proposed local district is being created to provide one or more components of
553 the same service that the initiating local district is authorized to provide; and
554 (ii) the initiating local district is not providing to the area of the proposed local district

555 any of the components that the proposed local district is being created to provide.
556 (2) (a) Each resolution under Subsection (1)(c) or (d) shall:
557 (i) describe the area proposed to be included in the proposed local district;
558 (ii) be accompanied by a map that shows the boundaries of the proposed local district;
559 (iii) describe the service proposed to be provided by the proposed local district;
560 (iv) if the resolution proposes the creation of a specialized local district, specify the
561 type of specialized local district proposed to be created;
562 [(iv)] (v) explain the anticipated method of paying the costs of providing the proposed
563 service;
564 [(v)] (vi) state the estimated average financial impact on a household within the
565 proposed local district;
566 [(vi)] (vii) state the number of members that the board of trustees of the proposed local
567 district will have, consistent with the requirements of Subsection 17B-1-302 (2);
568 [(vii)] (viii) for a proposed basic local district:
569 (A) state whether the members of the board of trustees will be elected or appointed or
570 whether some members will be elected and some appointed, as provided in Section
571 17B-1-1402 ;
572 (B) if one or more members will be elected, state the basis upon which each elected
573 member will be elected; and
574 (C) if applicable, explain how the election or appointment of board members will
575 transition from one method to another based on stated milestones or events, as provided in
576 Section 17B-1-1402 ;
577 [(viii)] (ix) for a proposed improvement district whose remaining area members or
578 county members, as those terms are defined in Section 17B-2a-404 , are to be elected, state that
579 those members will be elected; and
580 [(ix)] (x) for a proposed service area that is entirely within the unincorporated area of a
581 single county, state whether the initial board of trustees will be:
582 (A) the county legislative body;
583 (B) appointed as provided in Section 17B-1-304 ; or
584 (C) elected as provided in Section 17B-1-306 .
585 (b) Each county or municipal legislative body adopting a resolution under Subsection

586 (1)(c) shall, on or before the first public hearing under Section 17B-1-210 , mail or deliver a
587 copy of the resolution to the responsible body if the county or municipal legislative body's
588 resolution is one of multiple resolutions adopted by multiple county or municipal legislative
589 bodies proposing the creation of the same local district.
590 Section 6. Section 17B-1-205 is amended to read:
591 17B-1-205. Petition and request requirements -- Withdrawal of signature.
592 (1) Each petition and request shall:
593 (a) indicate the typed or printed name and current residence address of each property
594 owner or registered voter signing the petition;
595 (b) if it is a property owner request or petition, indicate the address of the property as to
596 which the owner is signing the request or petition;
597 (c) describe the entire area of the proposed local district;
598 (d) be accompanied by a map showing the boundaries of the entire proposed local
599 district;
600 (e) specify the service proposed to be provided by the proposed local district;
601 (f) if the petition or request proposes the creation of a specialized local district, specify
602 the type of specialized local district proposed to be created;
603 [(f)] (g) for a proposed basic local district:
604 (i) state whether the members of the board of trustees will be elected or appointed or
605 whether some members will be elected and some appointed, as provided in Section
606 17B-1-1402 ;
607 (ii) if one or more members will be elected, state the basis upon which each elected
608 member will be elected; and
609 (iii) if applicable, explain how the election or appointment of board members will
610 transition from one method to another based on stated milestones or events, as provided in
611 Section 17B-1-1402 ;
612 [(g)] (h) for a proposed improvement district whose remaining area members or county
613 members, as those terms are defined in Section 17B-2a-404 , are to be elected, state that those
614 members will be elected; and
615 [(h)] (i) for a proposed service area that is entirely within the unincorporated area of a
616 single county, state whether the initial board of trustees will be:

617 (i) the county legislative body;
618 (ii) appointed as provided in Section 17B-1-304 ; or
619 (iii) elected as provided in Section 17B-1-306 ; and
620 [(i)] (j) designate up to five signers of the petition or request as sponsors, one of whom
621 shall be designated as the contact sponsor, with the mailing address and telephone number of
622 each.
623 (2) A signer of a request or petition may withdraw or, once withdrawn, reinstate the
624 signer's signature at any time before the filing of the request or petition by filing a written
625 withdrawal or reinstatement with:
626 (a) in the case of a request:
627 (i) the clerk of the county or the clerk or recorder of the municipality in whose
628 applicable area the signer's property is located, if the request is a property owner request; or
629 (ii) the clerk of the county or the clerk or recorder of the municipality in whose
630 applicable area the signer resides, if the request is a registered voter request; or
631 (b) in the case of a petition, the responsible clerk.
632 Section 7. Section 17B-1-215 is amended to read:
633 17B-1-215. Notice to lieutenant governor -- Certificate of incorporation -- Local
634 district incorporated as specialized local district or basic local district.
635 (1) The responsible body shall file a notice with the lieutenant governor within ten days
636 after:
637 (a) the canvass of an election under Section 17B-1-214 , if a majority of those voting at
638 the election within the proposed local district as a whole vote in favor of the creation of a local
639 district;
640 (b) certification of a petition as to which the election requirement of Subsection
641 17B-1-214 (1) does not apply because of Subsection 17B-1-214 (3)(a) or (b); or
642 (c) adoption of a resolution under Subsection 17B-1-213 (4) approving the creation of a
643 local district for which an election was not required under Subsection 17B-1-214 (3)(c) or (d),
644 by the legislative body of each county whose unincorporated area is included within and the
645 legislative body of each municipality whose area is included within the proposed local district,
646 or by the board of trustees of the initiating local district.
647 (2) The area of each local district shall consist of:

648 (a) if an election was held under Section 17B-1-214 , the area of the new local district
649 as approved at the election;
650 (b) if an election was not required because of Subsection 17B-1-214 (3)(a) or (b), the
651 area of the proposed local district as described in the petition; or
652 (c) if an election was not required because of Subsection 17B-1-214 (3)(c) or (d), the
653 area of the new local district as described in the resolution adopted under Subsection
654 17B-1-213 (4).
655 (3) In each notice under Subsection (1) the responsible body shall:
656 (a) if the notice follows an election under Section 17B-1-214 , certify the results of the
657 election;
658 (b) describe the boundaries of the new local district with an accurate map or plat
659 showing the boundaries delineated in Subsection (2), prepared and certified by a licensed
660 surveyor and filed with the county surveyor in accordance with Section 17-23-17 ; and
661 (c) certify that all requirements for the creation of a local district have been complied
662 with.
663 (4) Upon the lieutenant governor's issuance of the certificate of creation under Section
664 67-1a-6.5 , the local district is created and incorporated[.] as:
665 (a) the type of specialized local district that was specified in the petition under
666 Subsection 17B-1-203 (1)(a) or (b) or resolution under Subsection 17B-1-203 (1)(c) or (d), if the
667 petition or resolution proposed the creation of a specialized local district; or
668 (b) a basic local district, if the petition or resolution did not propose the creation of a
669 specialized local district.
670 Section 8. Section 17B-1-302 is amended to read:
671 17B-1-302. Board member qualifications -- Number of board members.
672 (1) (a) Each member of a local district board of trustees shall be:
673 (i) a registered voter at the location of the member's residence; and
674 (ii) except as provided in Subsections (1)(b) and (c), a resident within:
675 (A) the boundaries of the local district; and
676 (B) if applicable, the boundaries of the division of the local district from which the
677 member is elected.
678 (b) (i) As used in this Subsection (1)(b):

679 (A) "Proportional number" means the number of members of a board of trustees that
680 bears, as close as mathematically possible, the same proportion to all members of the board that
681 the number of seasonally occupied homes bears to all residences within the district that receive
682 service from the district.
683 (B) "Seasonally occupied home" means a single-family residence:
684 (I) that is located within the local district;
685 (II) that receives service from the local district; and
686 (III) whose owner:
687 (Aa) does not reside permanently at the residence; and
688 (Bb) may occupy the residence on a temporary or seasonal basis.
689 (ii) If over 50% of the residences within a local district that receive service from the
690 local district are seasonally occupied homes, the requirement under Subsection (1)(a)(ii) is
691 replaced, for a proportional number of members of the board of trustees, with the requirement
692 that the member be an owner of land that:
693 (A) receives service from the district; and
694 (B) is located within:
695 (I) the local district; and
696 (II) if applicable, the division from which the member is elected.
697 (c) For a board of trustees member in a basic local district that has within its
698 boundaries fewer than one residential dwelling unit per ten acres of land, the requirement under
699 Subsection (1)(a)(ii) is replaced with the requirement that the member be an owner of land
700 within the local district that receives service from the district, or an agent or officer of the
701 owner.
702 (2) Except as otherwise provided by statute, the number of members of each board of
703 trustees of a local district shall be an odd number that is no less than three [and no more than
704 nine].
705 (3) For a newly created local district, the number of members of the initial board of
706 trustees shall be the number specified:
707 (a) for a local district whose creation was initiated by a petition under Subsection
708 17B-1-203 (1)(a) or (b), in the petition; or
709 (b) for a local district whose creation was initiated by a resolution under Subsection

710 17B-1-203 (1)(c) or (d), in the resolution.
711 (4) (a) For an existing local district, the number of members of the board of trustees
712 may be changed by a two-thirds vote of the board of trustees.
713 (b) No change in the number of members of a board of trustees under Subsection (4)(a)
714 may:
715 (i) violate Subsection (2); or
716 (ii) serve to shorten the term of any member of the board.
717 Section 9. Section 17B-1-1002 is amended to read:
718 17B-1-1002. Limit on local district property tax levy -- Exclusions.
719 (1) The rate at which a local district levies a property tax for district operation and
720 maintenance expenses on the taxable value of taxable property within the district may not
721 exceed:
722 (a) .0008, for a basic local district;
723 (b) .0004, for a cemetery maintenance district;
724 (c) .0004, for a drainage district;
725 (d) .0008, for a fire protection district;
726 (e) .0008, for an improvement district;
727 (f) .0005, for a metropolitan water district;
728 (g) .0004, for a mosquito abatement district;
729 (h) .0004, for a public transit district;
730 (i) (i) .0023, for a service area that:
731 (A) is located in a county of the first or second class; and
732 (B) provides fire protection, paramedic, and emergency services; or
733 (ii) .0014, for each other service area; or
734 (j) the rates provided in Section 17B-2a-1006 , for a water conservancy district.
735 (2) Property taxes levied by a local district are excluded from the limit applicable to
736 that district under Subsection (1) if the taxes are:
737 (a) levied under Section 17B-1-1103 by a local district, other than a water conservancy
738 district, to pay principal of and interest on general obligation bonds issued by the district;
739 (b) levied to pay debt and interest owed to the United States; or
740 (c) levied to pay assessments or other amounts due to a water users association or other

741 public cooperative or private entity from which the district procures water.
742 Section 10. Section 17B-1-1103 is amended to read:
743 17B-1-1103. Levy to pay for general obligation bonds.
744 (1) (a) If a district has issued general obligation bonds, or expects to have debt service
745 payments due on general obligation bonds during the current year, the district's board of
746 trustees may make an annual levy of ad valorem property taxes in order to:
747 (i) pay the principal of and interest on the general obligation bonds;
748 (ii) establish a sinking fund for defaults and future debt service on the general
749 obligation bonds; and
750 (iii) establish a reserve to secure payment of the general obligation bonds.
751 (b) A levy under Subsection (1)(a) is:
752 (i) for a water conservancy district, subject to the limit stated in Section 17B-2a-1006 ;
753 and
754 (ii) for each other local district, without limitation as to rate or amount.
755 (2) (a) Each district that levies a tax under Subsection (1) shall:
756 (i) levy the tax as a separate and special levy for the specific purposes stated in
757 Subsection (1); and
758 (ii) apply the proceeds from the levy solely for the purpose of paying the principal of
759 and interest on the general obligation bonds, even though the proceeds may be used to establish
760 or replenish a sinking fund under Subsection (1)[(b)](a)(ii) or a reserve under Subsection
761 (1)[(c)](a)(iii).
762 (b) A levy under Subsection (2)(a) is not subject to a priority in favor of a district
763 obligation in existence at the time the bonds were issued.
764 Section 11. Section 17B-1-1501 is enacted to read:
765 Part 15. Converting to a Special Service District
766 17B-1-1501. Local district may become a special service district -- Conditions.
767 As provided in this part, a local district may become a special service district under
768 Title 17D, Chapter 1, Special Service District Act, if:
769 (1) the local district is entirely within a single county or municipality;
770 (2) the service or services that the local district provides are among the services that a
771 special service district is authorized under Section 17D-1-203 to provide;

772 (3) a special service district is created, as provided in Title 17D, Chapter 1, Part 2,
773 Creating a Special Service District, with the same boundary as the local district and for the
774 purpose of enabling the local district to become that special service district; and
775 (4) after the creation of a special service district, as provided in Subsection (3), the
776 local district's board of trustees adopts a resolution electing to convert the local district into that
777 special service district.
778 Section 12. Section 17B-1-1502 is enacted to read:
779 17B-1-1502. Copy of resolution to the lieutenant governor -- Effect of lieutenant
780 governor certificate.
781 (1) Within ten days after adopting a resolution under Subsection 17B-1-1501 (4), the
782 local district's board of trustees shall send a copy of the resolution to the lieutenant governor.
783 (2) Upon the lieutenant governor's issuance of a certificate under Section 67-1a-6.5 :
784 (a) the local district is converted into and becomes the special service district that was
785 created under Subsection 17D-1-1501 (3);
786 (b) the local district board of trustees is dissolved; and
787 (c) the special service district begins to provide service formerly provided by the local
788 district to the area of the former local district, in accordance with and subject to Title 17D,
789 Chapter 1, Special Service District Act.
790 Section 13. Section 17B-1-1503 is enacted to read:
791 17B-1-1503. Obligations of former local district -- Effect of previous election
792 approving the issuance of bonds.
793 (1) Upon the effective date of the conversion under Section 17B-1-1502 , each bond,
794 note, or other obligation of the former local district becomes the bond, note, or other
795 obligation, respectively, of the special service district as if issued or incurred by the special
796 service district.
797 (2) An election authorizing the issuance of bonds of the former local district has the
798 same effect as if the election had been held by the special service district under Title 17D,
799 Chapter 1, Special Service District Act.
800 Section 14. Section 17B-2a-404 is amended to read:
801 17B-2a-404. Improvement district board of trustees.
802 (1) As used in this section:

803 (a) "County district" means an improvement district that does not include within its
804 boundaries any territory of a municipality.
805 (b) "County member" means a member of a board of trustees of a county district.
806 (c) "Electric district" means an improvement district that was created for the purpose of
807 providing electric service.
808 (d) "Included municipality" means a municipality whose boundaries are entirely
809 contained within but do not coincide with the boundaries of an improvement district.
810 (e) "Municipal district" means an improvement district whose boundaries coincide
811 with the boundaries of a single municipality.
812 (f) "Regular district" means an improvement district that is not a county district,
813 electric district, or municipal district.
814 (g) "Remaining area"means the area of a regular district that:
815 (i) is outside the boundaries of an included municipality; and
816 (ii) includes the area of an included municipality whose legislative body elects, under
817 Subsection (4)(a)(i)(B), not to appoint a member to the board of trustees of the regular district.
818 (h) "Remaining area member" means a member of a board of trustees of a regular
819 district who is appointed, or, if applicable, elected to represent the remaining area of the
820 district.
821 (2) The legislative body of the municipality included within a municipal district may:
822 (a) elect, at the time of the creation of the district, to be the board of trustees of the
823 district; and
824 (b) adopt at any time a resolution providing for:
825 (i) the election of board of trustees members, as provided in Section 17B-1-306 ; or
826 (ii) the appointment of board of trustees members, as provided in Section 17B-1-304 .
827 (3) The legislative body of a county whose unincorporated area is partly or completely
828 within a county district may:
829 (a) elect, at the time of the creation of the district, to be the board of trustees of the
830 district; and
831 (b) adopt at any time a resolution providing for:
832 (i) the election of board of trustees members, as provided in Section 17B-1-306 ; or
833 (ii) the appointment of board of trustees members, as provided in Section 17B-1-304 .

834 (4) (a) (i) [(A)] Except as provided in [Subsections] Subsection (4)(a)[(i)(B) and] (ii),
835 the legislative body of each included municipality shall each appoint one member to the board
836 of trustees of a regular district.
837 [(B)] (ii) The legislative body of an included municipality may elect not to appoint a
838 member to the board under Subsection (4)(a)(i)(A).
839 [(ii) If municipalities are combined under Subsection (6)(b)(i), the legislative bodies of
840 the combined municipalities shall collectively appoint one member to the board of trustees, as
841 provided in Section 17B-1-304 .]
842 (b) Except as provided in Subsection (5), the legislative body of each county whose
843 boundaries include a remaining area shall appoint all other members to the board of trustees of
844 a regular district.
845 (5) Each remaining area member of a regular district and each county member of a
846 county district shall be elected, as provided in Section 17B-1-306 , if:
847 (a) the petition or resolution initiating the creation of the district provides for remaining
848 area or county members to be elected;
849 (b) the district holds an election to approve the district's issuance of bonds;
850 (c) for a regular district, an included municipality elects, under Subsection (4)(a)(i)(B),
851 not to appoint a member to the board of trustees; or
852 (d) (i) at least 90 days before the municipal general election, a petition is filed with the
853 district's board of trustees requesting remaining area members or county members, as the case
854 may be, to be elected; and
855 (ii) the petition is signed by registered voters within the remaining area or county
856 district, as the case may be, equal in number to at least 10% of the number of registered voters
857 within the remaining area or county district, respectively, who voted in the last gubernatorial
858 election.
859 (6) [(a)] Subject to Section 17B-1-302 , the number of members of a board of trustees
860 of a regular district shall be:
861 [(i)] (a) the number of included municipalities within the district, if:
862 [(A)] (i) the number is an odd number; and
863 [(B)] (ii) the district does not include a remaining area;
864 [(ii)] (b) the number of included municipalities plus one, if the number of included

865 municipalities within the district is even;
866 [(iii)] (c) the number of included municipalities plus two, if:
867 [(A)] (i) the number of included municipalities is odd; and
868 [(B)] (ii) the district includes a remaining area.
869 [(b) (i) If the number of board members under Subsection (6)(a) exceeds nine, then,
870 except as provided in Subsection (6)(b)(ii):]
871 [(A) the number of members shall be nine; and]
872 [(B) the least populated included municipalities shall be combined for purposes of
873 representation to the extent necessary to result in nine members.]
874 [(ii) Application of Subsection (6)(b)(i) may not cause an included municipality to lose
875 its separate representation on the board until the end of the term of the board member
876 appointed by that municipality.]
877 (7) (a) Except as provided in Subsection (7)(b), each remaining area member of the
878 board of trustees of a regular district shall reside within the remaining area.
879 (b) Notwithstanding Subsection (7)(a), if the population of the remaining area is less
880 than 5% of the total district population, each remaining area member shall be chosen from the
881 district at large.
882 (8) If the election of remaining area or county members of the board of trustees is
883 required because of a bond election, as provided in Subsection (5)(b):
884 (a) a person may file a declaration of candidacy if:
885 (i) the person resides within:
886 (A) the remaining area, for a regular district; or
887 (B) the county district, for a county district; and
888 (ii) otherwise qualifies as a candidate;
889 (b) the board of trustees shall, if required, provide a ballot separate from the bond
890 election ballot, containing the names of candidates and blanks in which a voter may write
891 additional names; and
892 (c) the election shall otherwise be governed by Title 20A, Election Code.
893 (9) (a) (i) This Subsection (9) applies to the board of trustees members of an electric
894 district.
895 (ii) Subsections (2) through (8) do not apply to an electric district.

896 (b) The legislative body of the county in which an electric district is located may
897 appoint the initial board of trustees of the electric district as provided in Section 17B-1-304 .
898 (c) After the initial board of trustees is appointed as provided in Subsection (9)(b), each
899 member of the board of trustees of an electric district shall be elected by persons using
900 electricity from and within the district.
901 (d) Each member of the board of trustees of an electric district shall be a user of
902 electricity from the district and, if applicable, the division of the district from which elected.
903 (e) The board of trustees of an electric district may be elected from geographic
904 divisions within the district.
905 (f) A municipality within an electric district is not entitled to automatic representation
906 on the board of trustees.
907 Section 15. Section 17B-2a-406 is amended to read:
908 17B-2a-406. Improvement districts providing electric service -- Public Service
909 Commission jurisdiction -- Exceptions.
910 (1) (a) An improvement district that provides electric service as authorized under
911 Subsection 17B-2a-403 (1)(a)(iv):
912 (i) is a public utility and subject to the jurisdiction of the Public Service
913 Commission[.]; and
914 (ii) may include only an area:
915 (A) in which or adjacent to which an investor-owned utility, municipal agency, or
916 electric cooperative did not provide retail electricity to commercial, industrial, residential, or
917 other users of electricity from September 1, 1980 through August 31, 1985; and
918 (B) in which electric service was provided to at least one user of electricity as of
919 September 1, 1985.
920 (b) Nothing in this part may be construed to give the Public Service Commission
921 jurisdiction over:
922 (i) an improvement district, other than an improvement district that provides electric
923 service as authorized under Subsection 17B-2a-403 (1)(a)(iv); or
924 (ii) a municipality or an association of municipalities organized under Title 11, Chapter
925 13, Interlocal Cooperation Act.
926 (c) Before an improvement district providing electric service serves any customer, the

927 improvement district shall obtain a certificate of public convenience and necessity from the
928 Public Service Commission.
929 (2) (a) Section 54-7-12 does not apply to rate changes of an improvement district that
930 provides electric service as authorized under Subsection 17B-2a-403 (1)(a)(iv) if:
931 (i) the district is organized for the purpose of distributing electricity to customers
932 within the boundaries of the district on a not-for-profit basis;
933 (ii) the schedule of new rates or other change that results in new rates has been
934 approved by the board of trustees of the district;
935 (iii) prior to the implementation of any rate increases, the district first holds a public
936 meeting for all its customers to whom mailed notice of the meeting is sent at least ten days
937 prior to the meeting; and
938 (iv) the district has filed the schedule of new rates or other change with the Public
939 Service Commission.
940 (b) The Public Service Commission shall make the district's schedule of new rates or
941 other change available for public inspection.
942 Section 16. Section 17D-1-101 is enacted to read:
943 TITLE 17D. LIMITED PURPOSE LOCAL GOVERNMENT ENTITIES - OTHER
944 ENTITIES
945 CHAPTER 1. SPECIAL SERVICE DISTRICT ACT
946 Part 1. General Provisions
947 17D-1-101. Title.
948 (1) This title is known as "Limited Purpose Local Government Entities - Other
949 Entities."
950 (2) This chapter is known as the "Special Service District Act."
951 Section 17. Section 17D-1-102 is enacted to read:
952 17D-1-102. Definitions.
953 As used in this chapter:
954 (1) "Adequate protests" means written protests timely filed by:
955 (a) owners of property within the applicable area representing more than 33% of the
956 taxable value of all taxable property within the applicable area; or
957 (b) more than 33% of all registered voters within the applicable area.

958 (2) "Applicable area" means:
959 (a) for a proposal to create a special service district, the area included within the
960 proposed special service district;
961 (b) for a proposal to annex an area to an existing special service district, the area
962 proposed to be annexed;
963 (c) for a proposal to add a service to the service or services provided by a special
964 service district, the area included within the special service district; and
965 (d) for a proposal to consolidate special service districts, the area included within each
966 special service district proposed to be consolidated.
967 (3) "Facility" or "facilities" includes any structure, building, system, land, water right,
968 water, or other real or personal property required to provide a service that a special service
969 district is authorized to provide, including any related or appurtenant easement or right-of-way,
970 improvement, utility, landscaping, sidewalk, road, curb, gutter, equipment, or furnishing.
971 (4) "General obligation bond":
972 (a) means a bond that is directly payable from and secured by ad valorem property
973 taxes that are:
974 (i) levied:
975 (A) by the county or municipality that created the special service district that issues the
976 bond; and
977 (B) on taxable property within the special service district; and
978 (ii) in excess of the ad valorem property taxes for the current fiscal year; and
979 (b) does not include:
980 (i) a short-term bond;
981 (ii) a tax and revenue anticipation bond; or
982 (iii) a special assessment bond.
983 (5) "Governing body" means:
984 (a) the legislative body of the county or municipality that creates the special service
985 district, to the extent that the county or municipal legislative body has not delegated authority
986 to an administrative control board appointed under Section 17D-1-301 ; or
987 (b) the administrative control board of the special service district, to the extent that the
988 county or municipal legislative body has delegated authority to an administrative control board

989 appointed under Section 17D-1-301 .
990 (6) "Guaranteed bonds" means bonds:
991 (a) issued by a special service district; and
992 (b) the debt service of which is guaranteed by one or more taxpayers owning property
993 within the special service district.
994 (7) "Local district" has the same meaning as defined in Section 17B-1-102 .
995 (8) "Revenue bond":
996 (a) means a bond payable from designated taxes or other revenues other than the ad
997 valorem property taxes of the county or municipality that created the special service district;
998 and
999 (b) does not include:
1000 (i) an obligation constituting an indebtedness within the meaning of an applicable
1001 constitutional or statutory debt limit;
1002 (ii) a tax and revenue anticipation bond; or
1003 (iii) a special assessment bond.
1004 (9) "Special assessment" means an assessment levied against property to pay all or a
1005 portion of the costs of making improvements that benefit the property.
1006 (10) "Special assessment bond" means a bond payable from special assessments.
1007 (11) "Special service district" means a limited purpose local government entity, as
1008 described in Section 17D-1-103 , that:
1009 (a) is created under authority of the Utah Constitution Article XI, Section 7; and
1010 (b) operates under, is subject to, and has the powers set forth in this chapter.
1011 (12) "Tax and revenue anticipation bond" means a bond:
1012 (a) issued in anticipation of the collection of taxes or other revenues or a combination
1013 of taxes and other revenues; and
1014 (b) that matures within the same fiscal year as the fiscal year in which the bond is
1015 issued.
1016 Section 18. Section 17D-1-103 is enacted to read:
1017 17D-1-103. Special service district status and powers.
1018 (1) A special service district:
1019 (a) is a body corporate and politic with perpetual succession, separate and distinct from

1020 the county or municipality that creates it;
1021 (b) is a quasi-municipal corporation; and
1022 (c) may sue and be sued.
1023 (2) A special service district may:
1024 (a) exercise the power of eminent domain possessed by the county or municipality that
1025 creates the special service district;
1026 (b) enter into a contract that the governing authority considers desirable to carry out
1027 special service district functions, including a contract:
1028 (i) with the United States or an agency of the United States, the state, an institution of
1029 higher education, a county, a municipality, a school district, a local district, another special
1030 service district, or any other political subdivision of the state; or
1031 (ii) that includes provisions concerning the use, operation, and maintenance of special
1032 service district facilities and the collection of fees or charges with respect to commodities,
1033 services, or facilities that the district provides;
1034 (c) acquire or construct facilities;
1035 (d) acquire real or personal property, or an interest in real or personal property,
1036 including water and water rights, whether by purchase, lease, gift, devise, bequest, or
1037 otherwise, and whether the property is located inside or outside the special service district, and
1038 own, hold, improve, use, finance, or otherwise deal in and with the property or property right;
1039 (e) sell, convey, lease, exchange, transfer, or otherwise dispose of all or any part of the
1040 special service district's property or assets, including water and water rights;
1041 (f) mortgage, pledge, or otherwise encumber all or any part of the special service
1042 district's property or assets, including water and water rights;
1043 (g) enter into a contract with respect to the use, operation, or maintenance of all or any
1044 part of the special service district's property or assets, including water and water rights;
1045 (h) accept a government grant or loan and comply with the conditions of the grant or
1046 loan;
1047 (i) use an officer, employee, property, equipment, office, or facility of the county or
1048 municipality that created the special service district, subject to reimbursement as provided in
1049 Subsection (3);
1050 (j) employ one or more officers, employees, or agents, including one or more

1051 engineers, accountants, attorneys, or financial consultants, and establish their compensation;
1052 (k) designate an assessment area and levy an assessment as provided in Title 11,
1053 Chapter 42, Assessment Area Act;
1054 (l) contract with a franchised, certificated public utility for the construction and
1055 operation of an electrical service distribution system within the special service district;
1056 (m) borrow money and incur indebtedness;
1057 (n) as provided in Part 5, Special Service District Bonds, issue bonds for the purpose of
1058 acquiring, constructing, and equipping any of the facilities required for the services the special
1059 service district is authorized to provide, including:
1060 (i) bonds payable in whole or in part from taxes levied on the taxable property in the
1061 special service district;
1062 (ii) bonds payable from revenues derived from the operation of revenue-producing
1063 facilities of the special service district;
1064 (iii) bonds payable from both taxes and revenues;
1065 (iv) guaranteed bonds, payable in whole or in part from taxes levied on the taxable
1066 property in the special service district;
1067 (v) tax anticipation notes;
1068 (vi) bond anticipation notes;
1069 (vii) refunding bonds; and
1070 (viii) bonds payable in whole or in part from mineral lease payments as provided in
1071 Section 11-14-308 ;
1072 (o) except as provided in Subsection (4), impose fees or charges or both for
1073 commodities, services, or facilities that the special service district provides;
1074 (p) provide to an area outside the special service district's boundary a service that the
1075 special service district is authorized to provide within its boundary, if the governing body
1076 makes a finding that there is a public benefit to providing the service to the area outside the
1077 special service district's boundary;
1078 (q) provide other services that the governing body determines will more effectively
1079 carry out the purposes of the special service district; and
1080 (r) adopt an official seal for the special service district.
1081 (3) Each special service district that uses an officer, employee, property, equipment,

1082 office, or facility of the county or municipality that created the special service district shall
1083 reimburse the county or municipality a reasonable amount for what the special service district
1084 uses.
1085 (4) A special service district that provides jail service as provided in Subsection
1086 17D-1-201 (10) may not impose a fee or charge for the service it provides.
1087 Section 19. Section 17D-1-104 is enacted to read:
1088 17D-1-104. Property owner provisions -- Determination of registered voters.
1089 (1) For purposes of this chapter:
1090 (a) the owner of real property is the fee title owner according to the records of the
1091 county recorder on the date of the filing of the petition or protest; and
1092 (b) the value of private real property is determined according to the last assessment
1093 before the filing of the petition or protest, as determined by:
1094 (i) (A) the county under Title 59, Chapter 2, Part 3, County Assessment, for property
1095 subject to assessment by the county; or
1096 (B) the State Tax Commission under Title 59, Chapter 2, Part 2, Assessment of
1097 Property, for property subject to assessment by the State Tax Commission; and
1098 (ii) the county, for all other property.
1099 (2) For purposes of each provision of this chapter that requires the owners of private
1100 real property covering a percentage of the total private land area within the applicable area to
1101 sign a petition or protest:
1102 (a) a parcel of real property may not be included in the calculation of the required
1103 percentage unless the petition or protest is signed by:
1104 (i) except as provided in Subsection (2)(a)(ii), owners representing a majority
1105 ownership interest in that parcel; or
1106 (ii) if the parcel is owned by joint tenants or tenants by the entirety, 50% of the number
1107 of owners of that parcel;
1108 (b) the signature of a person signing a petition or protest in a representative capacity on
1109 behalf of an owner is invalid unless:
1110 (i) the person's representative capacity and the name of the owner the person represents
1111 are indicated on the petition or protest with the person's signature; and
1112 (ii) the person provides documentation accompanying the petition or protest that

1113 reasonably substantiates the person's representative capacity; and
1114 (c) subject to Subsection (2)(b), a duly appointed personal representative may sign a
1115 petition or protest on behalf of a deceased owner.
1116 (3) For purposes of this chapter, registered voters shall be determined according to the
1117 official register.
1118 Section 20. Section 17D-1-105 is enacted to read:
1119 17D-1-105. Authority of county or municipality to levy property tax on property
1120 within a special service district.
1121 (1) Subject to Subsection (2) and except as provided in Subsection (3), a county or
1122 municipality that has created a special service district may levy a tax on the taxable property in
1123 the special service district for the purpose of acquiring, constructing, equipping, operating, and
1124 maintaining facilities required for any or all of the services that the special service district is
1125 authorized to provide.
1126 (2) Each levy under Subsection (1) is subject to the prior approval of a majority of the
1127 registered voters of the special service district voting in an election held for that purpose under
1128 Title 11, Chapter 14, Local Government Bonding Act, in the same manner as for an election for
1129 the issuance of bonds.
1130 (3) A tax levied under this section for a special service district that provides jail service
1131 as provided in Subsection 17D-1-201 (10) is considered to be levied by the county for purposes
1132 of the county's tax limitation under Section 59-2-908 .
1133 Section 21. Section 17D-1-106 is enacted to read:
1134 17D-1-106. Special service districts subject to other provisions.
1135 (1) A special service district is, to the same extent as if it were a local district, subject
1136 to and governed by:
1137 (a) Sections 17B-1-105 , 17B-1-107, 17B-1-108 , 17B-1-109 , 17B-1-110 , 17B-1-111 ,
1138 17B-1-112 , 17B-1-113, and 17B-1-116;
1139 (b) Sections 17B-1-304 , 17B-1-305, 17B-1-306 , 17B-1-307 , 17B-1-310 , 17B-1-312 ,
1140 and 17B-1-313 ;
1141 (c) Title 17B, Chapter 1, Part 6, Fiscal Procedures for Local Districts;
1142 (d) Title 17B, Chapter 1, Part 7, Local District Budgets and Audit Reports;
1143 (e) Title 17B, Chapter 1, Part 8, Local District Personnel Management; and

1144 (f) Title 17B, Chapter 1, Part 9, Collection of Service Fees and Charges.
1145 (2) For purposes of applying the provisions listed in Subsection (1) to a special service
1146 district, each reference in those provisions to the local district board of trustees means the
1147 governing authority.
1148 Section 22. Section 17D-1-107 is enacted to read:
1149 17D-1-107. Conflict.
1150 If a provision of this chapter conflicts with any other statutory provision, the provision
1151 of this chapter controls.
1152 Section 23. Section 17D-1-108 is enacted to read:
1153 17D-1-108. Validation of previously created special service districts.
1154 Each special service district created before May 5, 2008 is validated, ratified, and
1155 confirmed and declared to be validly existing.
1156 Section 24. Section 17D-1-201 is enacted to read:
1157 Part 2. Creating a Special Service District
1158 17D-1-201. Services that a special service district may be created to provide.
1159 As provided in this part, a county or municipality may create a special service district to
1160 provide any combination of the following services:
1161 (1) water;
1162 (2) sewerage;
1163 (3) drainage;
1164 (4) flood control;
1165 (5) garbage collection and disposal;
1166 (6) health care;
1167 (7) transportation;
1168 (8) recreation;
1169 (9) fire protection and, if fire protection service is provided, emergency medical or
1170 ambulance or both;
1171 (10) providing, operating, and maintaining correctional and rehabilitative facilities and
1172 programs for municipal, state, and other detainees and prisoners;
1173 (11) street lighting;
1174 (12) consolidated 911 and emergency dispatch;

1175 (13) animal shelter and control;
1176 (14) receiving federal mineral lease funds under Title 59, Chapter 21, Mineral Lease
1177 Funds, and expending those funds to provide construction and maintenance of public facilities,
1178 traditional governmental services, and planning, as a means for mitigating impacts from
1179 extractive mineral industries; and
1180 (15) in a county of the first class, extended police protection.
1181 Section 25. Section 17D-1-202 is enacted to read:
1182 17D-1-202. Limitations on the creation of a special service district.
1183 (1) Subject to Subsection (2), the boundary of a proposed special service district may
1184 include all or part of the area within the boundary of the county or municipality that creates the
1185 special service district.
1186 (2) (a) The boundary of a proposed special service district may not include an area
1187 included within the boundary of an existing special service district or local district that
1188 provides the same service that the proposed special service district is proposed to provide.
1189 (b) A proposed special service district may not include land that will not be benefitted
1190 by the service that the special service district is proposed to provide, unless the owner of the
1191 nonbenefitted land consents to the inclusion.
1192 (c) A county may not create a special service district that includes some or all of the
1193 area within a municipality unless the legislative body of that municipality adopts a resolution or
1194 ordinance consenting to the inclusion.
1195 (3) All areas included within a special service district need not be contiguous.
1196 Section 26. Section 17D-1-203 is enacted to read:
1197 17D-1-203. Initiating the process to create a special service district.
1198 (1) The process to create a special service district is initiated by:
1199 (a) the legislative body of a county or municipality that proposes to create a special
1200 service district adopting a resolution that:
1201 (i) declares that the public health, convenience, and necessity require the creation of a
1202 special service district;
1203 (ii) indicates the legislative body's intent to create a special service district; and
1204 (iii) complies with the requirements of Subsection (3); or
1205 (b) the filing of a petition that:

1206 (i) proposes the creation of a special service district;
1207 (ii) complies with the requirements of Subsections (2) and (3); and
1208 (iii) is filed with the legislative body of the county or municipality in whose boundary
1209 the proposed special service district is located.
1210 (2) Each petition under Subsection (1)(b) shall:
1211 (a) be signed by:
1212 (i) the owners of at least 10% of the taxable value of taxable property within the
1213 proposed special service district; or
1214 (ii) at least 10% of the registered voters residing within the proposed special service
1215 district; and
1216 (b) indicate:
1217 (i) the residence address of each person who signs the petition; and
1218 (ii) if the person signs the petition as a property owner, the address or other description
1219 of the person's property sufficient to identify the property.
1220 (3) Each resolution under Subsection (1)(a) and petition under Subsection (1)(b) shall:
1221 (a) describe the boundaries of the proposed special service district;
1222 (b) describe each service that the special service district is proposed to provide; and
1223 (c) designate a name for the proposed special service district.
1224 Section 27. Section 17D-1-204 is enacted to read:
1225 17D-1-204. Prerequisites for adopting a resolution or ordinance creating a special
1226 service district.
1227 Before the legislative body of a county or municipality may adopt a resolution or
1228 ordinance under Section 17D-1-208 creating a special service district:
1229 (1) the clerk or recorder, as the case may be, of the county or municipality shall give
1230 written notice as provided in Section 17D-1-205 ;
1231 (2) the legislative body shall hold a public hearing, as provided in Section 17D-1-207 ;
1232 and
1233 (3) the period for filing protests under Section 17D-1-206 shall have passed without
1234 adequate protests having been filed.
1235 Section 28. Section 17D-1-205 is enacted to read:
1236 17D-1-205. Notice.

1237 (1) Each notice required under Subsection 17D-1-204 (1) shall:
1238 (a) state that:
1239 (i) the legislative body has adopted a resolution stating its intent to create a special
1240 service district; or
1241 (ii) a petition has been filed proposing the creation of a special service district;
1242 (b) describe the boundary of the proposed special service district;
1243 (c) generally describe each service that the special service district is proposed to
1244 provide;
1245 (d) state that taxes may be levied annually upon all taxable property within the
1246 proposed special service district to pay for some or all of the services that the special service
1247 district is proposed to provide;
1248 (e) state that fees or charges may be imposed to pay for some or all of the services that
1249 the special service district is proposed to provide;
1250 (f) explain the process, requirements, and timetable for filing a protest against the
1251 creation of the special service district or against a service that the special service district is
1252 proposed to provide;
1253 (g) designate a date, time, and place for a public hearing on the proposed creation of
1254 the special service district; and
1255 (h) except as provided in Subsection (2), be published at least once a week during three
1256 consecutive weeks:
1257 (i) not less than 21 days or more than 35 days before the date of the public hearing
1258 required under Subsection 17D-1-204 (2); and
1259 (ii) in a newspaper of general circulation in the county or municipality by which the
1260 special service district is proposed to be created.
1261 (2) Notwithstanding Subsection (1)(h), if the proposed special service district is located
1262 entirely within a city of the third, fourth, or fifth class or a town that has no newspaper of
1263 general circulation in the city or town, the legislative body of the city or town may provide that
1264 the notice required under Subsection 17D-1-204 (1) be given by posting the notice in at least
1265 five public places in the city or town at least 21 days before the public hearing required under
1266 Subsection 17D-1-204 (2).
1267 (3) The legislative body of the county or municipality by which the special service

1268 district is proposed to be created may include in a notice under this section any other
1269 information that the legislative body considers necessary or appropriate.
1270 Section 29. Section 17D-1-206 is enacted to read:
1271 17D-1-206. Protests.
1272 (1) An interested person may protest:
1273 (a) the creation of a special service district; or
1274 (b) a service that the special service district is proposed to provide.
1275 (2) Each protest under Subsection (1) shall:
1276 (a) be in writing;
1277 (b) be submitted:
1278 (i) to the legislative body of the county or municipality by which the special service
1279 district is proposed to be created; and
1280 (ii) no later than 15 days after the public hearing required under Subsection
1281 17D-1-204 (2); and
1282 (c) explain why the person is protesting.
1283 (3) A person who submitted a written protest against the creation of a special service
1284 district may withdraw the protest or, having withdrawn a protest, cancel the withdrawal, until
1285 30 days after the public hearing required under Subsection 17D-1-204 (2).
1286 (4) The legislative body of a county or municipality may not adopt a resolution or
1287 ordinance creating a special service district if adequate protests are filed with respect to the
1288 creation of the special service district.
1289 (5) The legislative body of a county or municipality may not adopt a resolution or
1290 ordinance authorizing a special service district to provide a service if adequate protests are filed
1291 with respect to that service.
1292 Section 30. Section 17D-1-207 is enacted to read:
1293 17D-1-207. Public hearing.
1294 (1) On the date and at the time and place specified in the notice under Section
1295 17D-1-205 , the legislative body of the county or municipality by which the special service
1296 district is proposed to be created shall hold a public hearing.
1297 (2) At each public hearing under this section, the legislative body shall:
1298 (a) give full consideration to each written protest that has been filed; and

1299 (b) hear and consider each interested person desiring to be heard.
1300 (3) The legislative body may continue the hearing to another date and time.
1301 Section 31. Section 17D-1-208 is enacted to read:
1302 17D-1-208. Adoption of a resolution or ordinance creating a special service
1303 district.
1304 (1) Subject to the provisions of and as provided in this part, the legislative body of a
1305 county or municipality may adopt a resolution or ordinance creating a special service district.
1306 (2) (a) Subject to Subsection (2)(b), a resolution or ordinance adopted by a legislative
1307 body under Subsection (1) may contain changes from the proposal as set forth in a resolution
1308 under Subsection 17D-1-203 (1)(a) or a petition under Subsection 17D-1-203 (1)(b), including
1309 changes in:
1310 (i) the boundary of the special service district; and
1311 (ii) the services to be provided by the special service district.
1312 (b) The legislative body of a county or municipality may not adopt a resolution or
1313 ordinance under Subsection (1) that creates a special service district with a boundary that
1314 includes more area than is included in, or that authorizes the special service district to provide a
1315 service not proposed in, a resolution under Subsection 17D-1-203 (1)(a) or a petition under
1316 Subsection 17D-1-203 (1)(b), unless the requirements of Sections 17D-1-205 , 17D-1-206 , and
1317 17D-1-207 are met with respect to the additional area or service, as the case may be.
1318 Section 32. Section 17D-1-209 is enacted to read:
1319 17D-1-209. Notice to lieutenant governor.
1320 (1) Within 30 days after adopting a resolution or ordinance under Subsection
1321 17D-1-208 (1) creating a special service district, the legislative body adopting the resolution or
1322 ordinance shall file a notice with the lieutenant governor.
1323 (2) Each notice under Subsection (1) shall:
1324 (a) be accompanied by:
1325 (i) a copy of the resolution or ordinance creating the special service district; and
1326 (ii) a map showing the boundaries of the special service district, prepared and certified
1327 by a licensed surveyor and filed with the county surveyor in accordance with Section 17-23-17 ;
1328 and
1329 (b) include the legislative body's certification that all requirements for the creation of

1330 the special service district have been met.
1331 (3) Upon the lieutenant governor's issuance of a certificate of creation under Section
1332 67-1a-6.5 , the special service district is created and incorporated.
1333 Section 33. Section 17D-1-210 is enacted to read:
1334 17D-1-210. Municipality's ability to provide temporary jail facilities not affected
1335 by the creation of a special service district to provide jail services.
1336 The creation of a special service district to provide jail services as provided in
1337 Subsection 17D-1-201 (10) does not affect the ability of a municipality under Section 10-8-58
1338 to provide, operate, and maintain facilities for the temporary incarceration, not to exceed 72
1339 hours, of persons charged with the violation of a municipal ordinance.
1340 Section 34. Section 17D-1-211 is enacted to read:
1341 17D-1-211. Action to challenge the creation of a special service district or a service
1342 to be provided.
1343 (1) A person may file an action in district court challenging the creation of a special
1344 service district or a service that a special service district is proposed to provide if:
1345 (a) the person filed a written protest under Section 17D-1-206 ;
1346 (b) the person:
1347 (i) (A) is a registered voter within the special service district; and
1348 (B) alleges in the action that the procedures used to create the special service district
1349 violated applicable law; or
1350 (ii) (A) is an owner of property included within the boundary of the special service
1351 district; and
1352 (B) alleges in the action that:
1353 (I) the person's property will not be benefitted by a service that the special service
1354 district is proposed to provide; or
1355 (II) the procedures used to create the special service district violated applicable law;
1356 and
1357 (c) the action is filed within 30 days after the date that the legislative body adopts a
1358 resolution or ordinance creating the special service district.
1359 (2) If an action is not filed within the time specified under Subsection (1), a registered
1360 voter or an owner of property located within the special service district may not contest the

1361 creation of the special service district or a service that the special service district is proposed to
1362 provide.
1363 Section 35. Section 17D-1-301 is enacted to read:
1364 Part 3. Administrative Control Board
1365 17D-1-301. Governance of a special service district -- Authority to create and
1366 delegate authority to an administrative control board -- Limitations on authority to
1367 delegate.
1368 (1) Each special service district shall be governed by the legislative body of the county
1369 or municipality that creates the special service district, subject to any delegation under this
1370 section of a right, power, or authority to an administrative control board.
1371 (2) At the time a special service district is created or at any time thereafter, the
1372 legislative body of a county or municipality that creates a special service district may, by
1373 resolution or ordinance:
1374 (a) create an administrative control board for the special service district; and
1375 (b) subject to Subsection (3), delegate to the administrative control board the exercise
1376 of any right, power, or authority that the legislative body possesses with respect to the
1377 governance of the special service district.
1378 (3) A county or municipal legislative body may not delegate to an administrative
1379 control board of a special service district the power to:
1380 (a) levy a tax on the taxable property within the special service district;
1381 (b) issue special service district bonds payable from taxes;
1382 (c) call or hold an election for the authorization of a property tax or the issuance of
1383 bonds;
1384 (d) levy an assessment;
1385 (e) issue interim warrants or bonds payable from an assessment; or
1386 (f) appoint a board of equalization under Section 11-42-404 .
1387 (4) (a) A county or municipal legislative body that has delegated a right, power, or
1388 authority under this section to an administrative control board may at any time modify, limit, or
1389 revoke any right, power, or authority delegated to the administrative control board.
1390 (b) A modification, limitation, or revocation under Subsection (4)(a) does not affect the
1391 validity of an action taken by an administrative control board before the modification,

1392 limitation, or revocation.
1393 Section 36. Section 17D-1-302 is enacted to read:
1394 17D-1-302. Number of members of an administrative control board.
1395 (1) Each administrative control board shall consist of at least three members.
1396 (2) The number of administrative control board members for a special service district
1397 established by a county of the first class to provide jail service as provided in Subsection
1398 17D-1-201 (10) is nine.
1399 Section 37. Section 17D-1-303 is enacted to read:
1400 17D-1-303. Election or appointment of administrative control board members.
1401 (1) Except as provided in Subsection (2)(b)(iii), a county or municipal legislative body
1402 that creates an administrative control board may provide for board members to be elected or
1403 appointed, or for some members to be elected and some appointed.
1404 (2) (a) Except as provided in Subsection (2)(b), each member of an administrative
1405 control board shall be elected or appointed as provided for the election or appointment,
1406 respectively, of a member of a board of trustees of a local district under Title 17B, Chapter 1,
1407 Part 3, Board of Trustees.
1408 (b) (i) A municipality or improvement district under Title 17B, Chapter 2a, Part 4,
1409 Improvement District Act, may appoint one member to represent it on an administrative control
1410 board created by a special service district if:
1411 (A) the special service district was created by a county;
1412 (B) the special service district provides the same service as the municipality or
1413 improvement district; and
1414 (C) the special service district includes some or all of the area included within the
1415 municipality or improvement district.
1416 (ii) An institution of higher education for which a special service district provides
1417 commodities, services, or facilities may appoint the number of members of an administrative
1418 control board of that special service district that are equal in number to at least 1/3 of the total
1419 number of board members.
1420 (iii) With respect to an administrative control board created for a special service district
1421 created by a county of the first class to provide jail service as provided in Subsection
1422 17D-1-201 (10), the county legislative body shall appoint:

1423 (A) three members from a list of at least six recommendations from the county sheriff;
1424 (B) three members from a list of at least six recommendations from municipalities
1425 within the county; and
1426 (C) three members from a list of at least six recommendations from the county
1427 executive.
1428 Section 38. Section 17D-1-304 is enacted to read:
1429 17D-1-304. Qualifications of administrative control board members -- Term of
1430 office.
1431 (1) (a) Except as provided in Subsection (1)(b), each member of an administrative
1432 control board shall be:
1433 (i) a registered voter within the special service district; or
1434 (ii) an officer or employee of the county or municipality that created the special service
1435 district.
1436 (b) Subsection (1)(a) does not apply if:
1437 (i) at least 90% of the owners of real property within the special service district are not
1438 registered voters within the special service district; or
1439 (ii) the member is appointed under Subsection 17D-1-303 (2)(b)(i) or (ii).
1440 (2) (a) Except as provided in Subsection (2)(b), the term of each member of an
1441 administrative control board is four years.
1442 (b) The term of as close as possible to half of the initial members of an administrative
1443 control board, chosen by lot, is two years.
1444 Section 39. Section 17D-1-305 is enacted to read:
1445 17D-1-305. Compensation for administrative control board members.
1446 An administrative control board member may receive compensation and reimbursement
1447 of expenses as provided in Section 17B-1-307 to the same extent as if the member were a
1448 member of a board of trustees of a local district.
1449 Section 40. Section 17D-1-306 is enacted to read:
1450 17D-1-306. Administrative control board review of certain charges in special
1451 service districts providing jail service.
1452 If the legislative body of a county of the first class creates an administrative control
1453 board under this part for a special service district that provides jail service as provided in

1454 Subsection 17D-1-201 (10), the administrative control board may review and approve any
1455 amount charged to the special service district as reimbursement to the county for services
1456 provided under Subsection 17D-1-103 (2)(i) before the amount is included in the special service
1457 district budget.
1458 Section 41. Section 17D-1-401 is enacted to read:
1459 Part 4. Annexing a New Area and Adding a New Service
1460 17D-1-401. Annexing an area or adding a service to an existing special service
1461 district.
1462 (1) Except as provided in Subsection (3), a county or municipal legislative body may,
1463 as provided in this part:
1464 (a) annex an area to an existing special service district to provide to that area a service
1465 that the special service district is authorized to provide;
1466 (b) add a service under Section 17D-1-201 within the area of an existing special service
1467 district that the special service district is not already authorized to provide; or
1468 (c) both annex an area under Subsection (1)(a) and add a service under Subsection
1469 (1)(b).
1470 (2) Except for Section 17D-1-209 , the provisions of Part 2, Creating a Special Service
1471 District, apply to and govern the process of annexing an area to an existing special service
1472 district or adding a service that the special service district is not already authorized to provide,
1473 to the same extent as if the annexation or addition were the creation of a special service district.
1474 (3) A county or municipal legislative body may not:
1475 (a) annex an area to an existing special service district if a local district provides to that
1476 area the same service that the special service district is proposed to provide to the area, unless
1477 the local district consents to the annexation; or
1478 (b) add a service within the area of an existing special service district if a local district
1479 provides to that area the same service that is proposed to be added, unless the local district
1480 consents to the addition.
1481 Section 42. Section 17D-1-402 is enacted to read:
1482 17D-1-402. Inapplicability of some requirements if petition is filed by all owners
1483 of taxable real property.
1484 Notwithstanding Section 17D-1-401 , the notice, hearing, and protest requirements of

1485 Part 2, Creating a Special Service District, do not apply if a petition to annex an area or to add
1486 a service to an existing special service district is filed with the legislative body of the county or
1487 municipality, as the case may be, containing the signatures of all owners of taxable real
1488 property:
1489 (1) within the area proposed to be annexed, if the petition is for annexation of an area
1490 to the special service district; or
1491 (2) within the special service district, if the petition is for adding a service to be
1492 provided by the special service district.
1493 Section 43. Section 17D-1-403 is enacted to read:
1494 17D-1-403. Notice of annexation to lieutenant governor -- Lieutenant governor
1495 certification.
1496 (1) If a county or municipal legislative body adopts a resolution approving the
1497 annexation of an area to an existing special service district, the legislative body shall, within 30
1498 days after adopting the resolution, file a notice with the lieutenant governor.
1499 (2) Each notice under Subsection (1) shall:
1500 (a) be accompanied by:
1501 (i) a copy of the resolution adopted by the legislative body approving the annexation;
1502 and
1503 (ii) a map showing the additional area to be annexed to the special service district,
1504 prepared and certified by a licensed surveyor and filed with the county surveyor in accordance
1505 with Section 17-23-17 ; and
1506 (b) include the legislative body's certification that all requirements for the annexation
1507 of the additional area have been met.
1508 (3) Upon the lieutenant governor's issuance of the certificate of boundary change under
1509