H.B. 382

             1     

LIMITED PURPOSE LOCAL GOVERNMENT ENTITIES

             2     
AMENDMENTS

             3     
2014 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Chief Sponsor: Brad L. Dee

             6     
Senate Sponsor: ____________

             7     
             8      LONG TITLE
             9      General Description:
             10          This bill amends provisions related to a local district and a special service district.
             11      Highlighted Provisions:
             12          This bill:
             13          .    amends provisions governing the qualifications of a local district board member;
             14          .    enacts language clarifying that a special service district is a political subdivision of
             15      the state similar to a local district; and
             16          .    makes technical corrections.
             17      Money Appropriated in this Bill:
             18          None
             19      Other Special Clauses:
             20          None
             21      Utah Code Sections Affected:
             22      AMENDS:
             23           17B-1-302 , as last amended by Laws of Utah 2011, Chapter 68
             24           17D-1-103 , as enacted by Laws of Utah 2008, Chapter 360
             25     
             26      Be it enacted by the Legislature of the state of Utah:
             27          Section 1. Section 17B-1-302 is amended to read:


             28           17B-1-302. Board member qualifications -- Number of board members.
             29          (1) (a) [Each] Except for an appointment made in accordance with Subsection
             30      17B-1-304 (6), each member of a local district board of trustees shall be:
             31          (i) a registered voter at the location of the member's residence; and
             32          (ii) except as provided in Subsections (1)(b) and (c), a resident within:
             33          (A) the boundaries of the local district; and
             34          (B) if applicable, the boundaries of the division of the local district from which the
             35      member is elected.
             36          (b) (i) As used in this Subsection (1)(b):
             37          (A) "Proportional number" means the number of members of a board of trustees that
             38      bears, as close as mathematically possible, the same proportion to all members of the board that
             39      the number of seasonally occupied homes bears to all residences within the district that receive
             40      service from the district.
             41          (B) "Seasonally occupied home" means a single-family residence:
             42          (I) that is located within the local district;
             43          (II) that receives service from the local district; and
             44          (III) whose owner:
             45          (Aa) does not reside permanently at the residence; and
             46          (Bb) may occupy the residence on a temporary or seasonal basis.
             47          (ii) If over 50% of the residences within a local district that receive service from the
             48      local district are seasonally occupied homes, the requirement under Subsection (1)(a)(ii) is
             49      replaced, for a proportional number of members of the board of trustees, with the requirement
             50      that the member be an owner of land, or an agent or officer of the owner of land, that:
             51          (A) receives service from the district; and
             52          (B) is located within:
             53          (I) the local district; and
             54          (II) if applicable, the division from which the member is elected.
             55          (c) For a board of trustees member in a basic local district that has within its
             56      boundaries fewer than one residential dwelling unit per 10 acres of land, the requirement under
             57      Subsection (1)(a)(ii) is replaced with the requirement that the member be an owner of land
             58      within the local district that receives service from the district, or an agent or officer of the


             59      owner.
             60          (2) Except as otherwise provided by statute, the number of members of each board of
             61      trustees of a local district shall be an odd number that is no less than three.
             62          (3) For a newly created local district, the number of members of the initial board of
             63      trustees shall be the number specified:
             64          (a) for a local district whose creation was initiated by a petition under Subsection
             65      17B-1-203 (1)(a), (b), or (c), in the petition; or
             66          (b) for a local district whose creation was initiated by a resolution under Subsection
             67      17B-1-203 (1)(d) or (e), in the resolution.
             68          (4) (a) For an existing local district, the number of members of the board of trustees
             69      may be changed by a two-thirds vote of the board of trustees.
             70          (b) No change in the number of members of a board of trustees under Subsection (4)(a)
             71      may:
             72          (i) violate Subsection (2); or
             73          (ii) serve to shorten the term of any member of the board.
             74          Section 2. Section 17D-1-103 is amended to read:
             75           17D-1-103. Special service district status, powers, and duties -- Limitation on
             76      districts providing jail service.
             77          (1) A special service district:
             78          (a) is:
             79          (i) a body corporate and politic with perpetual succession, separate and distinct from
             80      the county or municipality that creates it;
             81          [(b) is ] (ii) a quasi-municipal corporation; and
             82          (iii) a political subdivision of the state; and
             83          [(c)] (b) may sue and be sued.
             84          (2) A special service district may:
             85          (a) exercise the power of eminent domain possessed by the county or municipality that
             86      creates the special service district;
             87          (b) enter into a contract that the governing authority considers desirable to carry out
             88      special service district functions, including a contract:
             89          (i) with the United States or an agency of the United States, the state, an institution of


             90      higher education, a county, a municipality, a school district, a local district, another special
             91      service district, or any other political subdivision of the state; or
             92          (ii) that includes provisions concerning the use, operation, and maintenance of special
             93      service district facilities and the collection of fees or charges with respect to commodities,
             94      services, or facilities that the district provides;
             95          (c) acquire or construct facilities;
             96          (d) acquire real or personal property, or an interest in real or personal property,
             97      including water and water rights, whether by purchase, lease, gift, devise, bequest, or
             98      otherwise, and whether the property is located inside or outside the special service district, and
             99      own, hold, improve, use, finance, or otherwise deal in and with the property or property right;
             100          (e) sell, convey, lease, exchange, transfer, or otherwise dispose of all or any part of the
             101      special service district's property or assets, including water and water rights;
             102          (f) mortgage, pledge, or otherwise encumber all or any part of the special service
             103      district's property or assets, including water and water rights;
             104          (g) enter into a contract with respect to the use, operation, or maintenance of all or any
             105      part of the special service district's property or assets, including water and water rights;
             106          (h) accept a government grant or loan and comply with the conditions of the grant or
             107      loan;
             108          (i) use an officer, employee, property, equipment, office, or facility of the county or
             109      municipality that created the special service district, subject to reimbursement as provided in
             110      Subsection (3);
             111          (j) employ one or more officers, employees, or agents, including one or more
             112      engineers, accountants, attorneys, or financial consultants, and establish their compensation;
             113          (k) designate an assessment area and levy an assessment as provided in Title 11,
             114      Chapter 42, Assessment Area Act;
             115          (l) contract with a franchised, certificated public utility for the construction and
             116      operation of an electrical service distribution system within the special service district;
             117          (m) borrow money and incur indebtedness;
             118          (n) as provided in Part 5, Special Service District Bonds, issue bonds for the purpose of
             119      acquiring, constructing, and equipping any of the facilities required for the services the special
             120      service district is authorized to provide, including:


             121          (i) bonds payable in whole or in part from taxes levied on the taxable property in the
             122      special service district;
             123          (ii) bonds payable from revenues derived from the operation of revenue-producing
             124      facilities of the special service district;
             125          (iii) bonds payable from both taxes and revenues;
             126          (iv) guaranteed bonds, payable in whole or in part from taxes levied on the taxable
             127      property in the special service district;
             128          (v) tax anticipation notes;
             129          (vi) bond anticipation notes;
             130          (vii) refunding bonds;
             131          (viii) special assessment bonds; and
             132          (ix) bonds payable in whole or in part from mineral lease payments as provided in
             133      Section 11-14-308 ;
             134          (o) except as provided in Subsection (4), impose fees or charges or both for
             135      commodities, services, or facilities that the special service district provides;
             136          (p) provide to an area outside the special service district's boundary, whether inside or
             137      outside the state, a service that the special service district is authorized to provide within its
             138      boundary, if the governing body makes a finding that there is a public benefit to providing the
             139      service to the area outside the special service district's boundary;
             140          (q) provide other services that the governing body determines will more effectively
             141      carry out the purposes of the special service district; and
             142          (r) adopt an official seal for the special service district.
             143          (3) Each special service district that uses an officer, employee, property, equipment,
             144      office, or facility of the county or municipality that created the special service district shall
             145      reimburse the county or municipality a reasonable amount for what the special service district
             146      uses.
             147          (4) (a) A special service district that provides jail service as provided in Subsection
             148      17D-1-201 (10) may not impose a fee or charge for the service it provides.
             149          (b) Subsection (4)(a) may not be construed to limit a special service district that
             150      provides jail service from:
             151          (i) entering into a contract with the federal government, the state, or a political


             152      subdivision of the state to provide jail service for compensation; or
             153          (ii) receiving compensation for jail service it provides under a contract described in
             154      Subsection (4)(b)(i).




Legislative Review Note
    as of 2-20-14 11:48 AM


Office of Legislative Research and General Counsel


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