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;