First Substitute S.B. 216

Senator Karen Mayne proposes the following substitute bill:

1 MUNICIPAL FORMATION AMENDMENTS
2 2014 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: Karen Mayne
5 House Sponsor: Eric K. Hutchings
6
7 LONG TITLE
8 General Description:
9 This bill enacts provisions related to the incorporation of a noncontiguous municipality.
10 Highlighted Provisions:
11 This bill:
12 . defines terms;
13 . enacts provisions authorizing a county legislative body or residents of the
14 unincorporated county to request an incorporation feasibility study;
15 . directs the county clerk to certify or reject a resident request;
16 . provides requirements for a feasibility study and a hearing on the feasibility study;
17 . enacts provisions authorizing a county legislative body to adopt a resolution to
18 incorporate unincorporated areas of the county as a noncontiguous municipality and
19 residents of the unincorporated county to petition for the incorporation of
20 unincorporated areas of the county as a noncontiguous municipality;
21 . directs a county legislative body to appoint an advisory committee to recommend
22 districts for the council members of the proposed noncontiguous municipality;
23 . directs the county clerk to certify or reject a resident petition for incorporation;
24 . requires, in certain circumstances, the county legislative body to hold an election on
25 the incorporation of a proposed noncontiguous municipality;

26 . enacts provisions related to the terms, candidate eligibility, and membership of a
27 noncontiguous municipality council;
28 . enacts provisions governing a county mayor-municipal council form of government;
29 . enacts provisions governing the administration of a noncontiguous municipality;
30 . prohibits a noncontiguous municipality from levying a municipal energy sales and
31 use tax;
32 . exempts a noncontiguous municipality from the Uniform Fiscal Procedures Act for
33 Utah Cities;
34 . amends provisions of Title 17, Chapter 34, Municipal-Type Services to
35 Unincorporated Areas;
36 . amends provisions of Title 17, Chapter 36, Uniform Fiscal Procedures Act for
37 Counties;
38 . requires a candidate for the initial election of a noncontiguous municipal council to
39 comply with certain candidacy requirements in Title 20A, Election Code;
40 . prohibits a municipal primary for the initial election of candidates to a
41 noncontiguous municipal council; and
42 . makes technical and conforming amendments.
43 Money Appropriated in this Bill:
44 None
45 Other Special Clauses:
46 None
47 Utah Code Sections Affected:
48 AMENDS:
49 10-1-104 , as last amended by Laws of Utah 2003, Chapter 292
50 10-1-304 , as last amended by Laws of Utah 2012, Chapter 410
51 10-2-101 , as last amended by Laws of Utah 2012, Chapter 359
52 10-2-102 , as last amended by Laws of Utah 2012, Chapter 359
53 10-2-120 , as last amended by Laws of Utah 2009, Chapter 350
54 10-2-123 , as enacted by Laws of Utah 1997, Chapter 389
55 10-3-205.5 , as last amended by Laws of Utah 2003, Chapter 292
56 10-3-301 , as last amended by Laws of Utah 2012, Chapter 251

57 10-3-302 , as repealed and reenacted by Laws of Utah 1993, Chapter 1
58 10-3-803 , as enacted by Laws of Utah 1977, Chapter 48
59 10-3-824 , as enacted by Laws of Utah 1977, Chapter 48
60 10-3-1302 , as enacted by Laws of Utah 1981, Chapter 57
61 10-3b-501 , as enacted by Laws of Utah 2008, Chapter 19
62 10-6-103 , as enacted by Laws of Utah 1979, Chapter 26
63 17-34-1 , as last amended by Laws of Utah 2003, Chapter 275
64 17-34-3 , as last amended by Laws of Utah 2013, Chapter 371
65 17-34-5 , as last amended by Laws of Utah 2011, Chapter 297
66 17-36-2 , as last amended by Laws of Utah 1983, Chapter 73
67 17-36-3 , as last amended by Laws of Utah 2012, Chapter 17
68 17-36-3.5 , as enacted by Laws of Utah 1999, Chapter 300
69 17-36-4 , as last amended by Laws of Utah 2013, Chapter 413
70 17-36-6 , as last amended by Laws of Utah 1996, Chapter 212
71 17-36-7 , as enacted by Laws of Utah 1975, Chapter 22
72 17-36-8 , as last amended by Laws of Utah 1999, Chapter 300
73 17-36-9 , as last amended by Laws of Utah 2012, Chapter 17
74 17-36-10 , as last amended by Laws of Utah 2012, Chapter 17
75 17-36-12 , as last amended by Laws of Utah 2010, Chapter 90
76 17-36-15 , as last amended by Laws of Utah 2012, Chapter 17
77 17-36-16 , as last amended by Laws of Utah 2003, Chapter 167
78 17-36-17 , as last amended by Laws of Utah 2011, Chapter 297
79 17-36-19 , as last amended by Laws of Utah 1983, Chapter 73
80 17-36-20 , as last amended by Laws of Utah 2012, Chapter 17
81 17-36-21 , as enacted by Laws of Utah 1975, Chapter 22
82 17-36-22 , as last amended by Laws of Utah 2009, Chapter 186
83 17-36-26 , as last amended by Laws of Utah 2010, Chapters 90 and 116
84 17-36-27 , as last amended by Laws of Utah 2007, Chapter 328
85 17-36-29 , as last amended by Laws of Utah 2007, Chapter 329
86 17-36-30 , as enacted by Laws of Utah 1975, Chapter 22
87 17-36-31 , as last amended by Laws of Utah 1993, Chapter 227

88 17-36-35 , as last amended by Laws of Utah 1996, Chapter 212
89 17-36-36 , as last amended by Laws of Utah 1983, Chapter 73
90 17-36-37 , as last amended by Laws of Utah 2009, Chapter 323
91 17-36-38 , as last amended by Laws of Utah 1999, Chapter 300
92 17-36-39 , as last amended by Laws of Utah 2004, Chapter 206
93 17-36-40 , as last amended by Laws of Utah 2009, Chapter 388
94 17-36-41 , as last amended by Laws of Utah 1983, Chapter 73
95 17-36-43 , as last amended by Laws of Utah 2012, Chapter 17
96 17-36-44 , as last amended by Laws of Utah 2012, Chapter 17
97 17-36-45 , as enacted by Laws of Utah 1996, Chapter 212
98 17-36-46 , as renumbered and amended by Laws of Utah 2000, Chapter 133
99 17-36-47 , as renumbered and amended by Laws of Utah 2000, Chapter 133
100 17-36-48 , as renumbered and amended by Laws of Utah 2000, Chapter 133
101 17-36-49 , as renumbered and amended by Laws of Utah 2000, Chapter 133
102 17-36-50 , as renumbered and amended by Laws of Utah 2000, Chapter 133
103 17-36-51 , as renumbered and amended by Laws of Utah 2000, Chapter 133
104 17-36-52 , as renumbered and amended by Laws of Utah 2000, Chapter 133
105 17-36-53 , as renumbered and amended by Laws of Utah 2000, Chapter 133
106 17-36-54 , as last amended by Laws of Utah 2005, Chapter 105
107 17B-1-502 , as last amended by Laws of Utah 2013, Chapter 141
108 20A-9-202 , as last amended by Laws of Utah 2013, Chapter 317
109 20A-9-404 , as last amended by Laws of Utah 2013, Chapter 402
110 ENACTS:
111 10-2-130 , Utah Code Annotated 1953
112 10-2-131 , Utah Code Annotated 1953
113 10-2-132 , Utah Code Annotated 1953
114 10-2-133 , Utah Code Annotated 1953
115 10-2-134 , Utah Code Annotated 1953
116 10-2-135 , Utah Code Annotated 1953
117 10-2-136 , Utah Code Annotated 1953
118 10-2-137 , Utah Code Annotated 1953

119 10-2-138 , Utah Code Annotated 1953
120 10-2-139 , Utah Code Annotated 1953
121 10-2-140 , Utah Code Annotated 1953
122 10-2-141 , Utah Code Annotated 1953
123 10-3b-601 , Utah Code Annotated 1953
124 10-3b-602 , Utah Code Annotated 1953
125 10-3b-603 , Utah Code Annotated 1953
126 10-3b-604 , Utah Code Annotated 1953
127 10-3b-605 , Utah Code Annotated 1953
128 10-3b-606 , Utah Code Annotated 1953
129 10-3b-607 , Utah Code Annotated 1953
130 10-3c-101 , Utah Code Annotated 1953
131 10-3c-102 , Utah Code Annotated 1953
132 10-3c-201 , Utah Code Annotated 1953
133 10-3c-202 , Utah Code Annotated 1953
134 10-3c-203 , Utah Code Annotated 1953
135
136 Be it enacted by the Legislature of the state of Utah:
137 Section 1. Section 10-1-104 is amended to read:
138 10-1-104. Definitions.
139 As used in this title:
140 (1) "City" means a municipality that is classified by population as a city of the first
141 class, a city of the second class, a city of the third class, a city of the fourth class, or a city of
142 the fifth class, under Section 10-2-301 .
143 (2) "Contiguous" means:
144 (a) if used to described an area, continuous, uninterrupted, and without an island of
145 territory not included as part of the area; and
146 (b) if used to describe an area's relationship to another area, sharing a common
147 boundary.
148 (3) "Governing body" means collectively the legislative body and the executive of any
149 municipality. [Unless otherwise provided:]

150 [(a) in a city of the first or second class, the governing body is the city commission;]
151 [(b) in a city of the third, fourth, or fifth class, the governing body is the city council;
152 and]
153 [(c) in a town, the governing body is the town council.]
154 (4) "Municipal" means of or relating to a municipality.
155 (5) "Municipality" means a city of the first class, city of the second class, city of the
156 third class, city of the fourth class, city of the fifth class, or a town, as classified in Section
157 10-2-301 .
158 (6) "Peninsula," when used to describe an unincorporated area, means an area
159 surrounded on more than 1/2 of its boundary distance, but not completely, by incorporated
160 territory and situated so that the length of a line drawn across the unincorporated area from an
161 incorporated area to an incorporated area on the opposite side shall be less than 25% of the
162 total aggregate boundaries of the unincorporated area.
163 (7) "Person" means an individual, corporation, partnership, organization, association,
164 trust, governmental agency, or any other legal entity.
165 (8) "Provisions of law" shall include other statutes of the state of Utah and ordinances,
166 rules, and regulations properly adopted by any municipality unless the construction is clearly
167 contrary to the intent of state law.
168 (9) "Recorder," unless clearly inapplicable, includes and applies to a town clerk.
169 (10) "Town" means a municipality classified by population as a town under Section
170 10-2-301 .
171 (11) "Unincorporated" means not within a municipality.
172 Section 2. Section 10-1-304 is amended to read:
173 10-1-304. Municipality and military installation development authority may levy
174 tax -- Rate -- Imposition or repeal of tax -- Tax rate change -- Effective date -- Notice
175 requirements -- Exemptions.
176 (1) (a) Except as provided in Subsections (4) and (5) and Section 10-3c-203 , a
177 municipality may levy a municipal energy sales and use tax on the sale or use of taxable energy
178 within the municipality:
179 (i) by ordinance as provided in Section 10-1-305 ; and
180 (ii) of up to 6% of the delivered value of the taxable energy.

181 (b) Subject to Section 63H-1-203 , the military installation development authority
182 created in Section 63H-1-201 may levy a municipal energy sales and use tax under this part
183 within a project area described in a project area plan adopted by the authority under Title 63H,
184 Chapter 1, Military Installation Development Authority Act, as though the authority were a
185 municipality.
186 (2) A municipal energy sales and use tax imposed under this part may be in addition to
187 any sales and use tax imposed by the municipality under Title 59, Chapter 12, Sales and Use
188 Tax Act.
189 (3) (a) For purposes of this Subsection (3):
190 (i) "Annexation" means an annexation to a municipality under Chapter 2, Part 4,
191 Annexation.
192 (ii) "Annexing area" means an area that is annexed into a municipality.
193 (b) (i) If, on or after May 1, 2000, a city or town enacts or repeals a tax or changes the
194 rate of a tax under this part, the enactment, repeal, or change shall take effect:
195 (A) on the first day of a calendar quarter; and
196 (B) after a 90-day period beginning on the date the commission receives notice meeting
197 the requirements of Subsection (3)(b)(ii) from the municipality.
198 (ii) The notice described in Subsection (3)(b)(i)(B) shall state:
199 (A) that the city or town will enact or repeal a tax or change the rate of a tax under this
200 part;
201 (B) the statutory authority for the tax described in Subsection (3)(b)(ii)(A);
202 (C) the effective date of the tax described in Subsection (3)(b)(ii)(A); and
203 (D) if the city or town enacts the tax or changes the rate of the tax described in
204 Subsection (3)(b)(ii)(A), the new rate of the tax.
205 (c) (i) If, for an annexation that occurs on or after May 1, 2000, the annexation will
206 result in a change in the rate of a tax under this part for an annexing area, the change shall take
207 effect:
208 (A) on the first day of a calendar quarter; and
209 (B) after a 90-day period beginning on the date the commission receives notice meeting
210 the requirements of Subsection (3)(c)(ii) from the municipality that annexes the annexing area.
211 (ii) The notice described in Subsection (3)(c)(i)(B) shall state:

212 (A) that the annexation described in Subsection (3)(c)(i) will result in a change in the
213 rate of a tax under this part for the annexing area;
214 (B) the statutory authority for the tax described in Subsection (3)(c)(ii)(A);
215 (C) the effective date of the tax described in Subsection (3)(c)(ii)(A); and
216 (D) the new rate of the tax described in Subsection (3)(c)(ii)(A).
217 (4) (a) Subject to Subsection (4)(b), a sale or use of electricity within a municipality is
218 exempt from the tax authorized by this section if the sale or use is made under a tariff adopted
219 by the Public Service Commission of Utah only for purchase of electricity produced from a
220 new source of alternative energy, as defined in Section 59-12-102 , as designated in the tariff by
221 the Public Service Commission of Utah.
222 (b) The exemption under Subsection (4)(a) applies to the portion of the tariff rate a
223 customer pays under the tariff described in Subsection (4)(a) that exceeds the tariff rate under
224 the tariff described in Subsection (4)(a) that the customer would have paid absent the tariff.
225 (5) (a) A municipality may not levy a municipal energy sales and use tax within any
226 portion of the municipality that is within a project area described in a project area plan adopted
227 by the military installation development authority under Title 63H, Chapter 1, Military
228 Installation Development Authority Act.
229 (b) Subsection (5)(a) does not apply to the military installation development authority's
230 levy of a municipal energy sales and use tax.
231 Section 3. Section 10-2-101 is amended to read:
232 10-2-101. Definitions.
233 (1) As used in this part:
234 (a) "Feasibility consultant" means a person or firm:
235 (i) with expertise in the processes and economics of local government; and
236 (ii) [who] that is independent of and not affiliated with a county or sponsor of a
237 petition to incorporate.
238 (b) "Noncontiguous" means:
239 (i) if used to describe an area, discontinuous, interrupted, and possibly with an island of
240 territory included as part of the area; and
241 (ii) if used to describe an area's relationship to another area, not sharing a common
242 boundary.

243 [(b)] (c) "Private," with respect to real property, means taxable property.
244 (2) For purposes of this part:
245 (a) the owner of real property shall be the record title owner according to the records of
246 the county recorder on the date of the filing of the request or petition; and
247 (b) the value of private real property shall be determined according to the last
248 assessment roll for county taxes before the filing of the request or petition.
249 (3) For purposes of each provision of this part that requires the owners of private real
250 property covering a percentage or fraction of the total private land area within an area to sign a
251 request or petition:
252 (a) a parcel of real property may not be included in the calculation of the required
253 percentage or fraction unless the request or petition is signed by:
254 (i) except as provided in Subsection (3)(a)(ii), owners representing a majority
255 ownership interest in that parcel; or
256 (ii) if the parcel is owned by joint tenants or tenants by the entirety, 50% of the number
257 of owners of that parcel;
258 (b) the signature of a person signing a request or petition in a representative capacity on
259 behalf of an owner is invalid unless:
260 (i) the person's representative capacity and the name of the owner the person represents
261 are indicated on the request or petition with the person's signature; and
262 (ii) the person provides documentation accompanying the request or petition that
263 substantiates the person's representative capacity; and
264 (c) subject to Subsection (3)(b), a duly appointed personal representative may sign a
265 request or petition on behalf of a deceased owner.
266 Section 4. Section 10-2-102 is amended to read:
267 10-2-102. Incorporation of a contiguous area -- Governing provisions of city or
268 town incorporation -- Incorporation of a noncontiguous area.
269 (1) (a) A contiguous area of a county not within a municipality may incorporate as a
270 municipality as provided in this part.
271 [(2) (a)] (b) Incorporation of a contiguous area as a city is governed by Sections
272 10-2-103 through 10-2-124 .
273 [(b)] (c) Incorporation of a contiguous area as a town is governed by Sections 10-2-125

274 through 10-2-129 .
275 (2) A noncontiguous area of a county of a first class and not within a municipality may
276 incorporate as a municipality in accordance with Sections 10-2-130 through 10-2-141 .
277 Section 5. Section 10-2-120 is amended to read:
278 10-2-120. Powers of officers-elect.
279 (1) Upon the canvass of the final election of city officers under Section 10-2-116 and
280 until the future city becomes legally incorporated, the officers of the future city may:
281 (a) prepare and adopt[, under Chapter 6, Uniform Fiscal Procedures Act for Utah
282 Cities, a proposed budget and]:
283 (i) a compilation of ordinances; and
284 (ii) a proposed budget:
285 (A) for a newly incorporated city that is contiguous, in accordance with Chapter 6,
286 Uniform Fiscal Procedures Act for Utah Cities; or
287 (B) for a newly incorporated noncontiguous municipality, in accordance with Title 17,
288 Chapter 36, Uniform Fiscal Procedures Act for Counties;
289 (b) negotiate and make personnel contracts and hirings;
290 (c) negotiate and make service contracts;
291 (d) negotiate and make contracts to purchase equipment, materials, and supplies;
292 (e) borrow funds from the county in which the future city is located under Subsection
293 10-2-121 (3);
294 (f) borrow funds for startup expenses of the future city;
295 (g) issue tax anticipation notes in the name of the future city; and
296 (h) make appointments to the city's planning commission.
297 (2) The city's legislative body shall review and ratify each contract made by the
298 officers-elect under Subsection (1) within 30 days after the effective date of incorporation
299 under Section 10-2-119 .
300 (3) The officers of a noncontiguous municipality may exercise the powers and fulfill
301 the duties described in this section to the extent that a power or duty, including the employment
302 of personnel or appointment of officers, is not already exercised by the county on behalf of the
303 noncontiguous municipality in accordance with law.
304 Section 6. Section 10-2-123 is amended to read:

305 10-2-123. Costs of incorporation.
306 (1) Subject to Subsection (2), all costs of the incorporation proceeding, including
307 request certification, feasibility study, petition certification, publication of notices, public
308 hearings, and elections, shall be paid by the county in which the proposed city is located.
309 (2) If incorporation occurs, the new municipality shall reimburse the county for the
310 following costs [of] as applicable:
311 (a) the notices and hearing under Section 10-2-114 [,];
312 (b) the notices and elections under [Section] Sections 10-2-116 [,] and 10-2-138 ; and
313 (c) all other incorporation activities occurring after the elections under [Section]
314 Sections 10-2-116 and 10-2-138 .
315 Section 7. Section 10-2-130 is enacted to read:
316 10-2-130. Request or resolution for feasibility study for noncontiguous
317 municipality -- Requirements -- Limitations.
318 (1) (a) The process to incorporate as a municipality a noncontiguous area of a county of
319 the first class that is governed by a county executive-council form of government, as described
320 in Section 17-52-504 , and not located within a municipality, is initiated by:
321 (i) a request for a feasibility study filed with the clerk of the county in which the area is
322 located; or
323 (ii) a resolution adopted by the county legislative body to engage a feasibility
324 consultant.
325 (b) A county other than a county of the first class with a form of government other than
326 the county executive-council form of government may adopt the procedures described in
327 Sections 10-2-130 through 10-2-141 by ordinance.
328 (2) Each request under Subsection (1)(a)(i) shall:
329 (a) be signed by the owners of private real property that:
330 (i) is located within the area proposed to be incorporated;
331 (ii) covers at least 10% of the total private land area within the area; and
332 (iii) is equal in value to at least 7% of the value of all private real property within the
333 area;
334 (b) indicate the typed or printed name and current residence address of each owner
335 signing the request;

336 (c) describe the noncontiguous area proposed to be incorporated as a municipality;
337 (d) designate up to five signers of the request as sponsors, one of whom shall be
338 designated as the contact sponsor, with the mailing address and telephone number of each;
339 (e) be accompanied by and circulated with an accurate map or plat, prepared by a
340 licensed surveyor, showing the boundaries of the proposed municipality; and
341 (f) request the county legislative body to commission a study to determine the
342 feasibility of incorporating the noncontiguous area as a municipality.
343 (3) A resolution under Subsection (1)(a)(ii) shall:
344 (a) describe the noncontiguous area proposed to be incorporated as a municipality;
345 (b) be accompanied by and circulated with an accurate map or plat, prepared by a
346 licensed surveyor, showing the boundaries of the proposed municipality; and
347 (c) direct the county legislative body to commission a study to determine the feasibility
348 of incorporating the area as a municipality.
349 (4) A request or a resolution for a feasibility study under this section may not propose
350 for incorporation an area that includes some or all of an area that is the subject of a petition that
351 is certified in accordance with Section 10-2-110 , a resolution adopted under 10-2-135 , or a
352 petition certified in accordance with Section 10-2-137 unless:
353 (a) the proposed incorporation that is the subject of the petition or resolution has been
354 defeated by the voters at an election under Section 10-2-111 or 10-2-138 ; or
355 (b) the time provided under Subsection 10-2-109 (1) or Subsection 10-2-135 (1) has
356 lapsed without the filing of a petition or adoption of a resolution.
357 (5) (a) As used in this Subsection (5):
358 (i) "Township incorporation procedure" means the following actions, the subject of
359 which includes an area located in whole or in part in a township:
360 (A) a request for incorporation described in Section 10-2-130 ;
361 (B) a feasibility study described in Section 10-2-106 ;
362 (C) a modified request and a supplemental feasibility study described in Section
363 10-2-107 ; or
364 (D) an incorporation petition described in Section 10-2-109 that is not certified under
365 Section 10-2-110 .
366 (ii) "Township annexation procedure" means one or more of the following actions, the

367 subject of which includes an area located in whole or in part in a township:
368 (A) a petition to annex described in Section 10-2-403 ;
369 (B) a feasibility study described in Section 10-2-413 ;
370 (C) a modified annexation petition or supplemental feasibility study described in
371 Section 10-2-414 ;
372 (D) a boundary commission decision described in Section 10-2-416 ; or
373 (E) any action described in Section 10-2-418 before the adoption of an ordinance to
374 approve annexation under Subsection 10-2-418 (3)(b).
375 (b) Except as provided in Subsection (5)(d), if an incorporation petition or resolution is
376 filed under this section, and the petition or resolution includes some or all of an area that is the
377 subject of a township incorporation procedure or township annexation procedure filed on or
378 after January 1, 2014, the township incorporation procedure or township annexation procedure
379 is suspended on the date that the incorporation petition is filed or resolution is adopted under
380 this section.
381 (c) If a township incorporation procedure or township annexation procedure is
382 suspended under Subsection (5)(b), any applicable deadline or timeline is suspended until all
383 proceedings on a noncontiguous incorporation are final, at which time the applicable deadline
384 or timeline:
385 (i) may proceed and the period of time during the suspension does not toll against that
386 deadline or timeline; and
387 (ii) does not start over.
388 (d) Subsection (5)(b) does not apply to a township annexation procedure that includes a
389 parcel located in whole or in part in a township that is:
390 (i) less than or equal to 100 acres; and
391 (ii) owned by a government entity or a non-profit entity.
392 (6) (a) At the time of filing the request for a feasibility study with the county clerk, the
393 sponsors of the request shall mail or deliver a copy of the request to the chair of the planning
394 commission of each township in which any part of the area proposed for incorporation is
395 located.
396 (b) No later than three business days after the day on which a county legislative body
397 adopts a resolution to engage a feasibility consultant, the county legislative body shall mail or

398 deliver a copy of the request to the chair of the planning commission of each township in which
399 any part of the area proposed for incorporation is located.
400 (7) (a) As used in this Subsection (7), "rural real property" means an area:
401 (i) zoned primarily for manufacturing, commercial, or agricultural purposes; and
402 (ii) that does not include residential units with a density greater than one unit per acre.
403 (b) Except as provided in Subsection (8), unless a property owner consents in writing, a
404 request under Subsection (1)(a)(i) and a resolution under Subsection (1)(a)(ii) may not include
405 real property that:
406 (i) consists of 1,500 or more contiguous acres of rural real property consisting of one or
407 more tax parcels;
408 (ii) is not contiguous to but is used in connection with rural real property that consists
409 of 1,500 acres or more of contiguous acres of real property;
410 (iii) is owned, managed, or controlled by a person, company, or association, including
411 a parent, subsidiary, or affiliate related to the owner of 1,500 or more contiguous acres of rural
412 real property; or
413 (iv) is located in whole or part in one of the following as defined in Section 17-41-101 :
414 (A) an agricultural protection area;
415 (B) a mining protection area; or
416 (C) an industrial protection area.
417 (8) A resolution or petition described in Subsection (1) may not include real property
418 described in Subsection (7) without the owner's written consent unless the county legislative
419 body finds by clear and convincing evidence in the record that:
420 (a) the real property is not rural real property; and
421 (b) the real property does not receive from the county a majority of municipal-type
422 services described in Subsection 10-2-104 (4)(b)(ii).
423 Section 8. Section 10-2-131 is enacted to read:
424 10-2-131. Notice to owner of property -- Exclusion of property from proposed
425 boundaries.
426 (1) As used in this section:
427 (a) "Assessed value" with respect to property means the value at which the property
428 would be assessed without regard to a valuation for agricultural use under Section 59-2-503 .

429 (b) "Owner" means a person having an interest in real property, including an affiliate,
430 subsidiary, or parent company.
431 (c) "Urban" means an area with a residential density of greater than one unit per acre.
432 (2) Within seven calendar days of the date on which a request under Section 10-2-130
433 is filed or a resolution under Section 10-2-130 is adopted, the county clerk shall send written
434 notice of the proposed incorporation to each record owner of real property owning more than:
435 (a) 1% of the assessed value of all property in the proposed incorporation boundaries;
436 or
437 (b) 10% of the total private land area within the proposed incorporation boundaries.
438 (3) If an owner owns, controls, or manages more than 1% of the assessed value of all
439 property in the proposed incorporation boundaries, or owns, controls, or manages 10% or more
440 of the total private land area in the proposed incorporation boundaries, the owner may exclude
441 all or part of the property owned, controlled, or managed by the owner from the proposed
442 boundaries by filing a Notice of Exclusion with the county legislative body within 15 calendar
443 days of receiving the clerk's notice under Subsection (2).
444 (4) The county legislative body shall exclude the property identified by an owner in the
445 Notice of Exclusion from the proposed incorporation boundaries unless the county legislative
446 body finds by clear and convincing evidence in the record that:
447 (a) the exclusion will leave an unincorporated island within the proposed municipality;
448 and
449 (b) the property to be excluded:
450 (i) is urban; and
451 (ii) currently receives from the county a majority of municipal-type services, including:
452 (A) culinary or irrigation water;
453 (B) sewage collection or treatment;
454 (C) storm drainage or flood control;
455 (D) recreational facilities or parks;
456 (E) electric generation or transportation;
457 (F) construction or maintenance of local streets and roads;
458 (G) curb and gutter or sidewalk maintenance;
459 (H) garbage and refuse collection; and

460 (I) street lighting.
461 (5) If the county legislative body excludes property from the proposed boundaries
462 under Subsection (4), the county legislative body shall, within five days of the exclusion, send
463 written notice of the exclusion to the contact sponsor.
464 Section 9. Section 10-2-132 is enacted to read:
465 10-2-132. Processing a request for noncontiguous incorporation -- Certification or
466 rejection by county clerk -- Processing priority -- Limitations -- Township planning
467 commission recommendation.
468 (1) Within 45 days of the filing of a request under Section 10-2-130 , the county clerk
469 shall:
470 (a) with the assistance of other county officers from whom the clerk requests
471 assistance, determine whether the request complies with Section 10-2-130 ; and
472 (b) (i) if the clerk determines that the request complies with Section 10-2-130 :
473 (A) certify the request and deliver the certified request to the county legislative body;
474 and
475 (B) mail or deliver written notification of the certification to the contact sponsor and
476 the chair of the planning commission of each township in which any part of the area proposed
477 for incorporation is located; or
478 (ii) if the clerk determines that the request fails to comply with the requirements of
479 Section 10-2-130 , reject the request and notify the contact sponsor in writing of the rejection
480 and the reasons for the rejection.
481 (2) The county clerk shall certify or reject requests under Subsection (1) in the order in
482 which they are filed.
483 (3) (a) (i) If the county clerk rejects a request under Subsection (1)(b)(ii), the request
484 may be amended to correct the deficiencies for which it was rejected and then refiled with the
485 county clerk.
486 (ii) A signature on a request under Section 10-2-130 may be used toward fulfilling the
487 signature requirement of Subsection 10-2-130 (2)(a) for the request as modified under
488 Subsection (3)(a)(i).
489 (b) If a request is amended and refiled under Subsection (3)(a) after having been
490 rejected by the county clerk under Subsection (1)(b)(ii), it shall be considered as a newly filed

491 request, and its processing priority is determined by the date on which it is refiled.
492 Section 10. Section 10-2-133 is enacted to read:
493 10-2-133. Feasibility study -- Feasibility study consultant.
494 (1) Within 60 days of receipt of a certified request under Subsection 10-2-132 (1)(b)(i),
495 or within 60 days of adopting a resolution to engage a feasibility consultant in accordance with
496 Subsection 10-2-130 (1)(a)(ii), the county legislative body shall engage the feasibility
497 consultant chosen under Subsection (2) to conduct a feasibility study.
498 (2) The feasibility consultant shall be chosen:
499 (a) (i) if a request for a feasibility study was filed with the county clerk:
500 (A) by the contact sponsor of the incorporation petition with the consent of the county;
501 or
502 (B) by the county if the designated sponsors state, in writing, that the contact sponsor
503 defers selection of the feasibility consultant to the county; or
504 (ii) if the county legislative body adopted a resolution to engage the feasibility
505 consultant, by the county legislative body; and
506 (b) in accordance with applicable county procurement procedures.
507 (3) The county legislative body shall require the feasibility consultant to:
508 (a) complete the feasibility study and submit the written results to the county legislative
509 body and the contact sponsor, if applicable, no later than 90 days after the feasibility consultant
510 is engaged to conduct the study;
511 (b) submit with the full written results of the feasibility study a summary of the results
512 no longer than one page in length; and
513 (c) attend the public hearings under Subsection 10-2-134 (1) and present the feasibility
514 study results and respond to questions from the public at those hearings.
515 (4) (a) The feasibility study shall consider:
516 (i) population and population density within the area proposed for incorporation and
517 the surrounding area;
518 (ii) current and five-year projections of demographics and economic base in the
519 proposed municipality and surrounding area, including household size and income, commercial
520 and industrial development, and public facilities;
521 (iii) projected growth in the proposed municipality and in adjacent areas during the

522 next five years;
523 (iv) subject to Subsection (4)(b), the present and five-year projections of the cost,
524 including overhead, of governmental services in the proposed municipality, including:
525 (A) culinary water;
526 (B) secondary water;
527 (C) sewer;
528 (D) law enforcement;
529 (E) fire protection;
530 (F) roads and public works;
531 (G) garbage;
532 (H) weeds; and
533 (I) government offices;
534 (v) assuming the same tax categories and tax rates as currently imposed by the county
535 and all other current service providers, the present and five-year projected revenue for the
536 proposed municipality;
537 (vi) a projection of any new taxes per household that may be levied within the
538 incorporated area within five years of incorporation; and
539 (vii) the fiscal impact on unincorporated areas, other municipalities, local districts,
540 special service districts, and other governmental entities in the county.
541 (b) (i) For purposes of Subsection (4)(a)(iv), the feasibility consultant shall assume a
542 level and quality of governmental services to be provided to the proposed municipality in the
543 future that fairly and reasonably approximate the level and quality of governmental services
544 being provided to the proposed municipality at the time of the feasibility study.
545 (ii) In determining the present cost of a governmental service, the feasibility consultant
546 shall consider:
547 (A) the amount it would cost the proposed municipality to provide governmental
548 service for the first five years after incorporation; and
549 (B) the county's present and five-year projected cost of providing governmental
550 service.
551 (iii) The costs calculated under Subsection (4)(a)(iv) shall take into account inflation
552 and anticipated growth.

553 (5) If the five-year projected revenues under Subsection (4)(a)(v) exceed the five-year
554 projected costs under Subsection (4)(a)(iv) by more than 5%, the feasibility consultant shall
555 project and report the expected annual revenue surplus to the contact sponsor, if applicable, the
556 county legislative body, and the lieutenant governor.
557 Section 11. Section 10-2-134 is enacted to read:
558 10-2-134. Public hearings on feasibility study results -- Notice of hearings.
559 (1) The county legislative body shall, at its next regular meeting after receipt of the
560 results of the feasibility study, schedule at least two public hearings to be held:
561 (a) within the following 60 days;
562 (b) at least seven days apart;
563 (c) in geographically diverse locations within the proposed municipality; and
564 (d) for the purpose of allowing:
565 (i) the feasibility consultant to present the results of the study; and
566 (ii) the public to become informed about the feasibility study results and to ask the
567 feasibility consultant questions about those results.
568 (2) At a public hearing described in Subsection (1), the county legislative body shall:
569 (a) provide a map or plat of the boundaries of the proposed municipality;
570 (b) provide a copy of the feasibility study for public review; and
571 (c) allow the public to express its views about the proposed incorporation, including its
572 views about the proposed boundaries.
573 (3) (a) (i) The county clerk shall publish notice of the public hearings required under
574 Subsection (1):
575 (A) at least once a week for three successive weeks in a newspaper of general
576 circulation within the proposed municipality; and
577 (B) on the Utah Public Notice Website, created in Section 63F-1-701 , for three weeks.
578 (ii) The last publication of notice required under Subsection (3)(a)(i)(A) shall be at
579 least three days before the first public hearing required under Subsection (1).
580 (b) (i) If, under Subsection (3)(a)(i)(A), there is no newspaper of general circulation
581 within the proposed municipality, the county clerk shall post at least one notice of the hearings
582 per 1,000 population in conspicuous places within the proposed municipality that are most
583 likely to give notice of the hearings to the residents of the proposed municipality.

584 (ii) The clerk shall post the notices under Subsection (3)(b)(i) at least seven days before
585 the first hearing under Subsection (1).
586 (c) The notice under Subsections (3)(a) and (b) shall include the feasibility study
587 summary under Subsection 10-2-133 (3)(b) and shall indicate that a full copy of the study is
588 available for inspection and copying at the office of the county clerk.
589 Section 12. Section 10-2-135 is enacted to read:
590 10-2-135. Noncontiguous incorporation petition or resolution -- Requirements and
591 form.
592 (1) At any time within one year of the completion of the public hearings required under
593 Subsection 10-2-134 (1):
594 (a) a petition for incorporation of the area proposed to be incorporated as a
595 municipality may be filed in the office of the clerk of the county in which the area is located; or
596 (b) the county legislative body may adopt a resolution to incorporate the area proposed
597 to be incorporated as a municipality.
598 (2) Each petition under Subsection (1)(a) shall:
599 (a) be signed by:
600 (i) 10% of all registered voters within the area proposed to be incorporated as a
601 municipality, according to the official voter registration list maintained by the county on the
602 date the petition is filed; and
603 (ii) 10% of all registered voters within, subject to Subsection (5), 90% of the voting
604 precincts within the area proposed to be incorporated as a municipality, according to the
605 official voter registration list maintained by the county on the date the petition is filed;
606 (b) indicate the typed or printed name and current residence address of each owner
607 signing the petition;
608 (c) describe the area proposed to be incorporated as a municipality, as described in the
609 feasibility study request;
610 (d) state the proposed name for the proposed municipality;
611 (e) designate five signers of the petition as petition sponsors, one of whom shall be
612 designated as the contact sponsor, with the mailing address and telephone number of each;
613 (f) be accompanied by and circulated with an accurate plat or map, prepared by a
614 licensed surveyor, showing the boundaries of the proposed municipality; and

615 (g) substantially comply with and be circulated in the following form:
616 "PETITION FOR INCORPORATION OF (insert the proposed name of the proposed
617 municipality).
618 To the Honorable County Legislative Body of (insert the name of the county in which
619 the proposed municipality is located) County, Utah:
620 We, the undersigned registered voters within the area described in this petition,
621 respectfully petition the county legislative body to submit to the registered voters residing
622 within the area described in this petition, at the next regular or municipal general election,
623 whichever occurs first, the question of whether the area should incorporate as a municipality.
624 Each of the undersigned affirms that each has personally signed this petition and is a registered
625 voter within the described area, and that the current residence address of each is correctly
626 written after the signer's name. The area proposed to be incorporated as a municipality is
627 described as follows: (insert an accurate description of the area proposed to be incorporated)."
628 (3) A resolution adopted by the county legislative body for incorporation shall:
629 (a) include the information described in Subsections (2)(d) and (f); and
630 (b) appoint members to the council district advisory committee in accordance with
631 Section 10-2-136 .
632 (4) A signature on a request under Section 10-2-130 may be used toward fulfilling the
633 signature requirement of Subsection (2)(a):
634 (a) if the request under Section 10-2-130 notified the signer in conspicuous language
635 that the signature, unless withdrawn, would also be used for purposes of a petition for
636 incorporation under this section; and
637 (b) unless the signer files with the county clerk a written withdrawal of the signature
638 before the petition under this section is filed with the clerk.
639 (5) (a) A signature does not qualify as a signature to meet the requirement described in
640 Subsection (2)(a)(ii) if the signature is gathered from a voting precinct that:
641 (i) is not located entirely within the boundaries of the proposed municipality; or
642 (ii) includes fewer than 50 registered voters.
643 (b) A voting precinct that is not located entirely within the boundaries of the proposed
644 municipality does not qualify as a voting precinct to meet the precinct requirements of
645 Subsection (2)(a)(ii).

646 Section 13. Section 10-2-136 is enacted to read:
647 10-2-136. Determination of boundaries of council districts -- Appointment of
648 council districts advisory committee -- Adoption of proposed council districts.
649 (1) The boundaries of the nine council districts for election of municipal council
650 members shall be designated in accordance with this section.
651 (2) (a) In a resolution to incorporate under Section 10-2-135 , or in accordance with
652 Subsection 10-2-137 (4), a resolution adopted after the certification of a petition, the county
653 legislative body shall appoint the following 12 members to a council district advisory
654 committee to advise the county legislative body on the designation of council districts for the
655 noncontiguous area proposed for incorporation or any other matter related to the incorporation,
656 as assigned by the county executive:
657 (i) six members representing the townships that are located within the county and that
658 are also located, in part or in whole, in the area proposed for incorporation;
659 (ii) two members who each reside in the area proposed for incorporation; and
660 (iii) four additional members.
661 (b) (i) The county legislative body may not appoint a person under Subsection (2)(a)
662 unless the person:
663 (A) is a registered voter of the county; and
664 (B) does not hold a public office or public employment other than membership on the
665 advisory committee.
666 (ii) Notwithstanding Subsection (2)(b)(i)(B), the county legislative body may appoint a
667 public official of a local district, as defined in Section 17B-1-102 , or a special service district,
668 as defined in Section 17D-1-102 , if the public official does not also hold a public office with a
669 political subdivision other than the local district or special service district.
670 (c) The county shall reimburse each member of the advisory committee for necessary
671 expenses incurred in performing the member's duties on the committee.
672 (d) If a vacancy occurs in the advisory committee, the county legislative body shall fill
673 the vacancy within 10 days of receiving notice of the vacancy.
674 (3) The county executive shall convene a meeting of the members of the advisory
675 committee described in Subsection (2) within 10 days after the day on which the county
676 legislative body adopts the resolution appointing the members.

677 (4) The advisory committee may:
678 (a) establish advisory boards or committees and include on them persons who are not
679 members of the advisory committee; and
680 (b) request the assistance and advice of any officers or employees of a state agency or
681 local government.
682 (5) (a) The advisory committee shall:
683 (i) study the division of the area proposed for incorporation into council districts that
684 comply with Section 10-3-205.5 or any other matter related to the incorporation, as assigned by
685 the county executive;
686 (ii) hold public hearings and community forums and other means the committee
687 considers appropriate to disseminate information and stimulate public discussion of the
688 committee's purposes, progress, and conclusions;
689 (iii) include in the report described in Subsection (5)(a)(iv) a determination of the
690 initial terms of the members of the municipal council so that:
691 (A) approximately half the members of the municipal council are elected to serve an
692 initial term, of no less than one year, that allows their successors to serve a full four-year term
693 that coincides with the schedule established in Subsection 10-3-205 (1); and
694 (B) the remaining members of the municipal council are elected to serve an initial
695 term, of no less than one year, that allows their successors to serve a full four-year term that
696 coincides with the schedule established in Subsection 10-3-205 (2); and
697 (iv) file a written report of its findings and recommendations with the county executive
698 and the county legislative body within 180 days after the convening of its first meeting.
699 (b) Each advisory committee report under Subsection (5)(a) shall include:
700 (i) the advisory committee's recommendation as to the division of the area proposed for
701 incorporation into nine council districts; and
702 (ii) a detailed map, prepared by a licensed surveyor, of the boundaries of each council
703 district.
704 (6) A meeting held by the advisory committee is open to the public.
705 (7) The county legislative body shall provide for the advisory committee:
706 (a) suitable meeting facilities;
707 (b) necessary secretarial services;

708 (c) necessary printing and photocopying services; and
709 (d) necessary clerical and staff assistance.
710 (8) After receiving the report from the advisory committee, the county legislative body:
711 (a) shall adopt by resolution:
712 (i) the nine municipal council districts as recommended by the advisory committee; or
713 (ii) nine municipal council districts with boundaries other than those proposed by the
714 advisory committee but that are otherwise in compliance with Section 10-3-205.5 and the
715 schedule described in Section 10-3-205 ; and
716 (b) may adopt a resolution revising the proposed boundaries of the noncontiguous
717 municipality.
718 Section 14. Section 10-2-137 is enacted to read:
719 10-2-137. Processing of petition by county clerk -- Certification or rejection --
720 Processing priority -- Resolution after petition to appoint council district advisory
721 committee.
722 (1) Within 45 days of the filing of a petition under Section 10-2-135 , the county clerk
723 shall:
724 (a) with the assistance of other county officers from whom the clerk requests
725 assistance, determine whether the petition meets the requirements of Section 10-2-135 ; and
726 (b) (i) if the clerk determines that the petition meets those requirements, certify the
727 petition, deliver it to the county legislative body, and notify in writing the contact sponsor of
728 the certification; or
729 (ii) if the clerk determines that the petition fails to meet any of those requirements,
730 reject the petition and notify the contact sponsor in writing of the rejection and the reasons for
731 the rejection.
732 (2) (a) If the county clerk rejects a petition under Subsection (1)(b)(ii), the petition may
733 be modified to correct the deficiencies for which it was rejected and then refiled with the
734 county clerk.
735 (b) A modified petition under Subsection (2)(a) may be filed at any time until 30 days
736 after the county clerk notifies the contact sponsor under Subsection (1)(b)(ii), even though the
737 modified petition is filed after the expiration of the deadline provided in Subsection
738 10-2-135 (1).

739 (c) A signature on an incorporation petition under Section 10-2-135 may be used
740 toward fulfilling the signature requirement of Subsection 10-2-135 (2)(a) for the petition as
741 modified under Subsection (2)(a).
742 (3) (a) Within 20 days of the county clerk's receipt of a modified petition under
743 Subsection (2)(a), the county clerk shall follow the same procedure for the modified petition as
744 provided under Subsection (1) for an original petition.
745 (b) If a county clerk rejects a modified petition under Subsection (1)(b)(ii), no further
746 modification of that petition may be filed.
747 (4) Within 10 days of certification of a petition by the county clerk in accordance with
748 Subsection (1)(b), the county legislative body shall adopt a resolution to appoint members to a
749 council district advisory committee in accordance with Section 10-2-136 .
750 Section 15. Section 10-2-138 is enacted to read:
751 10-2-138. Noncontiguous incorporation and council member election -- Notice of
752 candidacy deadline -- Notice of election.
753 (1) (a) At the next regular general election date under Section 20A-1-201 or municipal
754 general election date under Section 20A-1-202 , whichever occurs first, more than 80 days after
755 the county legislative body adopts a resolution designating the municipal council districts under
756 Subsection 10-2-136 (8), the county legislative body shall hold an election:
757 (i) on the proposed incorporation of the noncontiguous area; and
758 (ii) to select a council member for each of the municipal council seats representing the
759 nine municipal council districts.
760 (b) Unless a person is a registered voter who resides, as defined in Section 20A-1-102 ,
761 within the boundaries of:
762 (i) the proposed municipality, the person may not vote on the proposed incorporation;
763 and
764 (ii) the council district of a candidate for municipal council, the person may not vote
765 for the candidate.
766 (2) (a) Within 20 days of the county legislative body's adoption of a resolution
767 designating the municipal council districts under Subsection 10-2-136 (8), the county clerk shall
768 publish, in accordance with Subsection (2)(b), notice containing:
769 (i) a description of the boundaries of the council districts as designated in the

770 resolution;
771 (ii) information about the deadline for filing a declaration of candidacy for those
772 seeking to become candidates for municipal council; and
773 (iii) information about the length of the initial term of each of the municipal officers, as
774 described in a resolution under Section 10-2-135 .
775 (b) The notice under Subsection (2)(a) shall be published:
776 (i) in a newspaper of general circulation within the future municipality at least once a
777 week for two successive weeks; and
778 (ii) in accordance with Section 45-1-101 for two weeks.
779 (c) (i) In accordance with Subsection (2)(b)(i), if there is no newspaper of general
780 circulation within the future municipality, the county clerk shall post at least one notice per
781 1,000 population in conspicuous places within the future municipality that are most likely to
782 give notice to the residents of the future municipality.
783 (ii) The notice under Subsection (2)(c)(i) shall contain the information required under
784 Subsection (2)(a).
785 (iii) The county clerk shall post the notices under Subsection (2)(c)(i) at least seven
786 days before the deadline for filing a declaration of candidacy under Subsection (2)(d).
787 (d) Notwithstanding Subsection 20A-9-202 (1)(b)(i), if the election is a regular general
788 election, or Subsection 20A-9-203 (2)(a), if the election is a regular municipal general election,
789 each person seeking to become a candidate for municipal council of a noncontiguous
790 municipality shall, no later than 60 days before the day of the incorporation election under
791 Subsection (1), file a declaration of candidacy with the clerk of the county in which the future
792 municipality is located.
793 (3) (a) The county clerk shall publish notice of the election:
794 (i) at least once a week for three successive weeks in a newspaper of general
795 circulation within the area proposed to be incorporated; and
796 (ii) for three weeks in accordance with Section 45-1-101 .
797 (b) The notice required by Subsection (3)(a) shall contain:
798 (i) a statement of the contents of the incorporation petition or resolution;
799 (ii) a description of the noncontiguous area proposed to be incorporated as a
800 municipality;

801 (iii) a statement of the date and time of the election and the location of polling places;
802 and
803 (iv) the feasibility study summary under Subsection 10-2-133 (3)(b) and a statement
804 that a full copy of the study is available for inspection and copying at the office of the county
805 clerk.
806 (c) The last publication of notice required under Subsection (3)(a) shall occur at least
807 one day but no more than seven days before the election.
808 (d) (i) In accordance with Subsection (3)(a)(i), if there is no newspaper of general
809 circulation within the proposed municipality, the county clerk shall post at least one notice of
810 the election per 1,000 population in conspicuous places within the proposed municipality that
811 are most likely to give notice of the election to the voters of the proposed municipality.
812 (ii) The clerk shall post the notices under Subsection (3)(d)(i) at least seven days before
813 the election under Subsection (1).
814 (4) (a) If a majority of those casting votes within the area boundaries of the proposed
815 municipality vote to incorporate as a municipality, the area shall:
816 (i) incorporate as a noncontiguous municipality as defined in Section 10-3c-102 ; and
817 (ii) be governed by the county mayor-municipal council form of government as
818 described in Title 10, Chapter 3b, Part 6, County Mayor-Municipal Council Form of
819 Government.
820 (b) The candidate for each council district that receives a majority of the vote is elected
821 as the municipal council person for that council district and for a term as designated in
822 accordance with Section 10-2-136 .
823 Section 16. Section 10-2-139 is enacted to read:
824 10-2-139. Ballot used at the noncontiguous incorporation election.
825 The ballot at the incorporation election under Section 10-2-138 shall:
826 (1) pose the incorporation question substantially as follows:
827 "Shall the area described as (insert a description of the proposed municipality) be
828 incorporated as the municipality of (insert the proposed name of the proposed municipality)?";
829 (2) provide a space for the voter to answer yes or no to the question in Subsection (1);
830 and
831 (3) in a nonpartisan format, include the name of each qualified candidate for each

832 municipal council district as described in a resolution adopted under Subsection 10-2-136 (8).
833 Section 17. Section 10-2-140 is enacted to read:
834 10-2-140. Status and powers.
835 A noncontiguous municipality incorporated in an election in accordance with Section
836 10-2-138 :
837 (1) is:
838 (a) a body corporate and politic with perpetual succession;
839 (b) a municipal corporation; and
840 (c) a political subdivision of the state; and
841 (2) may sue and be sued.
842 Section 18. Section 10-2-141 is enacted to read:
843 10-2-141. Incorporation of noncontiguous municipality subject to other
844 provisions.
845 An incorporation of a noncontiguous municipality in accordance with Sections
846 10-2-130 through 10-2-140 is subject to the following provisions to the same extent as the
847 incorporation of a contiguous municipality in accordance with Sections 10-2-130 through
848 10-2-124 :
849 (1) Section 10-2-113 ;
850 (2) Section 10-2-120 ;
851 (3) Section 10-2-121 ; and
852 (4) Section 10-2-123 .
853 Section 19. Section 10-3-205.5 is amended to read:
854 10-3-205.5. At-large election of officers -- Election of commissioners or council
855 members.
856 (1) Except as provided in [Subsection (2)] Subsections (2) and (3), the officers of each
857 city shall be elected in an at-large election held at the time and in the manner provided for
858 electing municipal officers.
859 (2) (a) [Notwithstanding Subsection (1), the] The governing body of a city may by
860 ordinance provide for the election of some or all commissioners or council members, as the
861 case may be, by district equal in number to the number of commissioners or council members
862 elected by district.

863 (b) (i) Each district shall be of substantially equal population as the other districts.
864 (ii) Within six months after the Legislature completes its redistricting process, the
865 governing body of each city that has adopted an ordinance under Subsection (2)(a) shall make
866 any adjustments in the boundaries of the districts as may be required to maintain districts of
867 substantially equal population.
868 (3) (a) The municipal council members of a noncontiguous municipality, as defined in
869 Section 10-3c-102 , are elected by district.
870 (b) There are nine council districts in a noncontiguous municipality and those districts
871 shall comply with Subsections (2)(b)(i) and (ii).
872 Section 20. Section 10-3-301 is amended to read:
873 10-3-301. Notice -- Eligibility and residency requirements for elected municipal
874 office -- Mayor and recorder limitations.
875 (1) (a) On or before February 1 in a year in which there is a municipal general election,
876 the municipal clerk shall publish a notice that identifies:
877 (i) the municipal offices to be voted on in the municipal general election; and
878 (ii) the dates for filing a declaration of candidacy for the offices identified under
879 Subsection (1)(a)(i).
880 (b) The municipal clerk shall publish the notice described in Subsection (1)(a):
881 (i) on the Utah Public Notice Website established by Section 63F-1-701 ; and
882 (ii) in at least one of the following ways:
883 (A) at the principal office of the municipality;
884 (B) in a newspaper of general circulation within the municipality at least once a week
885 for two successive weeks in accordance with Section 45-1-101 ;
886 (C) in a newsletter produced by the municipality;
887 (D) on a website operated by the municipality; or
888 (E) with a utility enterprise fund customer's bill.
889 (2) A person filing a declaration of candidacy for a municipal office shall meet the
890 requirements of Section 20A-9-203 .
891 (3) Any person elected to municipal office shall be a registered voter in the
892 municipality in which the person was elected.
893 (4) (a) Each elected officer of a municipality shall maintain residency within the

894 boundaries of the municipality during the officer's term of office.
895 (b) If an elected officer of a municipality establishes a principal place of residence as
896 provided in Section 20A-2-105 outside the municipality during the officer's term of office, the
897 office is automatically vacant.
898 (5) Notwithstanding Subsection (3) or (4), the mayor of a noncontiguous municipality
899 as defined in Section 10-3c-102 :
900 (a) (i) shall be a registered voter in the county in which the noncontiguous municipality
901 is located; and
902 (ii) is not required to be a registered voter of the noncontiguous municipality; and
903 (b) shall maintain residence within the boundaries of the county of which the mayor is
904 the chief executive administrative officer in which the noncontiguous municipality is located
905 but is not required to reside within the noncontiguous municipality.
906 [(5)] (6) If an elected municipal officer is absent from the municipality any time during
907 the officer's term of office for a continuous period of more than 60 days without the consent of
908 the municipal legislative body, the municipal office is automatically vacant.
909 [(6)] (7) (a) A mayor of a municipality may not also serve as the municipal recorder or
910 treasurer.
911 (b) The recorder of a municipality may not also serve as the municipal treasurer.
912 (8) The mayor of a noncontiguous municipality, as defined in Section 10-3c-102 , is the
913 candidate successfully elected in a regular general election as the county mayor of the county in
914 which the noncontiguous municipality is located, the election and notice of which is not subject
915 to the election and notice requirements of this title.
916 Section 21. Section 10-3-302 is amended to read:
917 10-3-302. Mayoral or council vacancy of a municipality.
918 (1) Mayoral or council vacancies [shall be] are filled as provided in Section
919 20A-1-510 .
920 (2) Notwithstanding Subsection (1), a vacancy in the office of mayor of a
921 noncontiguous municipality, as defined in Section 10-3c-102 , is filled in accordance with
922 Section 20A-1-508 .
923 Section 22. Section 10-3-803 is amended to read:
924 10-3-803. Officers limited to one office -- Exceptions.

925 (1) In cities of the first class, the mayor, commissioners, recorder and treasurer shall
926 administer only one office under the city government, except that the offices of city recorder
927 and auditor may be held by one person.
928 (2) This section may not be construed to prohibit the filling of an office under Section
929 10-3b-606 .
930 Section 23. Section 10-3-824 is amended to read:
931 10-3-824. Bonds of first officers after incorporation.
932 [Whenever] (1) (a) If the inhabitants of any municipality incorporate under [this act]
933 Chapter 2, Incorporation, Classification, Boundaries, Consolidation, and Dissolution of
934 Municipalities, the officers first elected or appointed, except the treasurer, shall give bonds in
935 the penal sum of not less than $500.
936 (b) The bonds required in this section shall remain in force until the passage of
937 ordinances or resolutions by the governing body of such municipality providing for the bonds
938 required of its officers under this act.
939 (c) The bond of the municipal treasurer shall be in a penal sum of not less than $500
940 and may be established by an ordinance or resolution by the governing body, except that the
941 bond of the treasurer shall be set in an amount provided by the rules and regulations of the state
942 money management council if [it] the bond has been established by the state money
943 management council.
944 (2) In a newly incorporated noncontiguous municipality, as defined in Section
945 10-3c-102 , this section does not apply to an officer of a county who is also the first officer of
946 the municipality as described in Section 10-3c-606 .
947 Section 24. Section 10-3-1302 is amended to read:
948 10-3-1302. Purpose -- Application.
949 (1) The purposes of this part are to establish standards of conduct for municipal
950 officers and employees and to require these persons to disclose actual or potential conflicts of
951 interest between their public duties and their personal interests.
952 (2) In a noncontiguous municipality as defined in Section 10-3c-102 , the provisions of
953 this part may not be applied to an employee who is paid a salary or otherwise reimbursed by the
954 county for services required to be provided to the noncontiguous municipality in accordance
955 with Chapter 3c, Administration of Noncontiguous Municipalities.

956 Section 25. Section 10-3b-501 is amended to read:
957 10-3b-501. Authority to change to another form of municipal government.
958 (1) As provided in this part, a municipality may change from the form of government
959 under which it operates to:
960 [(1)] (a) the council-mayor form of government with a five-member council;
961 [(2)] (b) the council-mayor form of government with a seven-member council;
962 [(3)] (c) the six-member council form of government; or
963 [(4)] (d) the five-member council form of government.
964 (2) A municipality other than a noncontiguous municipality, as defined in Section
965 10-3c-102 , may not operate under the county mayor-municipal council form of government.
966 Section 26. Section 10-3b-601 is enacted to read:
967 Part 6. County Mayor-Municipal Council Form of Government
968 10-3b-601. Application.
969 The provisions of this part apply to a municipality located in a county of the first class
970 in which noncontiguous areas are successfully incorporated as a municipality through an
971 election in accordance with Sections 10-2-130 through 10-2-141 .
972 Section 27. Section 10-3b-602 is enacted to read:
973 10-3b-602. Separate branches of government under county mayor-municipal
974 council form of government.
975 The powers of municipal government in a municipality operating under the county
976 mayor-municipal council form of government are vested in two separate, independent, and
977 equal branches of municipal government consisting of:
978 (1) a council composed of nine members; and
979 (2) a mayor and, under the mayor's supervision, any executive or administrative
980 departments, divisions, and offices and any executive or administrative officers provided for by
981 statute or municipal ordinance.
982 Section 28. Section 10-3b-603 is enacted to read:
983 10-3b-603. Mayor in county mayor-municipal council form of government.
984 (1) The mayor in a municipality operating under the county mayor-municipal council
985 form of government:
986 (a) (i) is the person who is the mayor of the county in which the municipality is

987 located; and
988 (ii) retains any powers and duties authorized under Title 17, Counties;
989 (b) is the chief executive and administrative officer of the municipality;
990 (c) exercises the executive and administrative powers and performs or supervises the
991 performance of the executive and administrative duties and functions of the municipality;
992 (d) shall:
993 (i) keep the peace and enforce the laws of the municipality;
994 (ii) execute the policies adopted by the council;
995 (iii) appoint, with the council's advice and consent, a qualified person as, subject to
996 Subsection (3), chief administrative officer, if required under the resolution or petition under
997 Section 10-2-135 , that proposed the change to a county mayor-municipal council form of
998 government;
999 (iv) provide to the council, at intervals provided by ordinance and as provided in Title
1000 17, Chapter 36, Uniform Fiscal Procedures Act for Counties, a written report to the council
1001 setting forth:
1002 (A) the amount of budget appropriations;
1003 (B) total disbursements from the appropriations;
1004 (C) the amount of indebtedness incurred or contracted against each appropriation,
1005 including disbursements and indebtedness incurred and not paid; and
1006 (D) the percentage of the appropriations encumbered;
1007 (v) report to the council the condition and needs of the municipality;
1008 (vi) report to the council any release granted under Subsection (1)(e)(xii);
1009 (vii) if the mayor remits a fine or forfeiture under Subsection (1)(e)(xi), report the
1010 remittance to the council at the council's next meeting after the remittance; and
1011 (viii) perform each other duty:
1012 (A) prescribed by statute; or
1013 (B) required by a municipal ordinance that is not inconsistent with statute;
1014 (e) may:
1015 (i) subject to budget constraints:
1016 (A) appoint a chief administrative officer subject to Subsections (3)(b) and (4), and one
1017 or more deputies or administrative assistants to the mayor; or

1018 (B) create any other administrative office that the mayor considers necessary for good
1019 government of the municipality and appoint a person to that office;
1020 (ii) with the council's advice and consent and except as otherwise specifically limited
1021 by statute, appoint each member of a statutory commission, board, or committee of the
1022 municipality;
1023 (iii) dismiss any person appointed by the mayor;
1024 (iv) as provided in Section 10-3b-605 , veto an ordinance, tax levy, or appropriation
1025 passed by the council;
1026 (v) exercise control of and supervise each executive or administrative department,
1027 division, or office of the municipality;
1028 (vi) within the general provisions of statute and ordinance, regulate and prescribe the
1029 powers and duties of each other executive or administrative officer or employee of the
1030 municipality;
1031 (vii) attend each council meeting, take part in council meeting discussions, and freely
1032 give advice to the council;
1033 (viii) appoint a budget officer to serve in place of the mayor to comply with and fulfill
1034 in all other respects the requirements of Title 17, Chapter 36, Uniform Fiscal Procedures Act
1035 for Counties;
1036 (ix) execute an agreement on behalf of the municipality, or delegate, by written
1037 executive order, the authority to execute an agreement on behalf of the municipality if the
1038 obligation under the agreement is within certified budget appropriations;
1039 (x) at any reasonable time, examine and inspect the official books, papers, records, or
1040 documents of:
1041 (A) the municipality; or
1042 (B) any officer, employee, or agent of the municipality;
1043 (xi) remit fines and forfeitures; and
1044 (xii) release a person imprisoned for a violation of a municipal ordinance; and
1045 (f) may not vote on any matter before the council.
1046 (2) (a) The first mayor under a newly established county mayor-municipal council form
1047 of government shall, within six months after taking office, draft and submit to the council a
1048 proposed ordinance:

1049 (i) providing for the division of the municipality's administrative service into
1050 departments, divisions, and bureaus; and
1051 (ii) defining the functions and duties of each department, division, and bureau.
1052 (b) Before the council adopts an ordinance on the municipality's administrative service,
1053 the mayor may establish temporary rules and regulations to ensure efficiency and effectiveness
1054 in the divisions of the municipal government.
1055 (3) (a) As used in this Subsection (3), "interim vacancy period" means the period of
1056 time that:
1057 (i) begins on the day on which a regular general election described in Section 17-16-6
1058 is held to elect a mayor; and
1059 (ii) ends on the day on which the mayor-elect begins the mayor's term.
1060 (b) Each person appointed as chief administrative officer under Subsection (1)(d)(iii)
1061 shall be appointed on the basis of:
1062 (i) the person's ability and prior experience in the field of public administration; and
1063 (ii) any other qualification prescribed by ordinance.
1064 (c) (i) The mayor may not appoint a chief administrative officer during an interim
1065 vacancy period.
1066 (ii) Notwithstanding Subsection (3)(c)(i):
1067 (A) the mayor may appoint an interim chief administrative officer during an interim
1068 vacancy period; and
1069 (B) the interim chief administrative officer's term shall expire once a new chief
1070 administrative officer is appointed by the new mayor after the interim vacancy period has
1071 ended.
1072 (d) Subsection (3)(c) does not apply if the mayor who holds office on the day of the
1073 regular general election is re-elected to the county mayor's office for the following term.
1074 (4) A mayor who appoints a chief administrative officer in accordance with this section
1075 may not, on or after May 13, 2014, enter into an employment contract that contains an
1076 automatic renewal provision with the chief administrative officer.
1077 Section 29. Section 10-3b-604 is enacted to read:
1078 10-3b-604. Council in county mayor-municipal council form of government.
1079 (1) The council in a municipality operating under a county mayor-municipal council

1080 form of government:
1081 (a) shall:
1082 (i) by ordinance, provide for the manner in which:
1083 (A) municipal property is bought, sold, traded, encumbered, or otherwise transferred;
1084 and
1085 (B) a subdivision or annexation is approved, disapproved, or otherwise regulated;
1086 (ii) pass ordinances, appropriate funds, and review municipal administration;
1087 (iii) perform all duties that the law imposes on the council; and
1088 (iv) elect one of its members to be the chair of the council;
1089 (b) may:
1090 (i) adopt an ordinance, to be known as the municipal administrative code:
1091 (A) dividing administrative services not otherwise provided by the county into
1092 departments, divisions, and bureaus; and
1093 (B) defining the functions and duties of each department, division, and bureau that is
1094 not under the control of the county;
1095 (ii) adopt an ordinance for departments, divisions, or bureaus not under the control of
1096 the county as described in Sections 10-3b-606 and 10-3c-202 :
1097 (A) creating, consolidating, or abolishing a department, division, or bureau; and
1098 (B) defining or altering the functions and duties of each department, division, and
1099 bureau;
1100 (iii) notwithstanding Subsection (1)(c)(iii), make suggestions or recommendations to a
1101 subordinate of the mayor;
1102 (iv) (A) notwithstanding Subsection (1)(c), appoint a committee of council members or
1103 citizens to conduct an investigation into an officer, department, or agency of the municipality,
1104 or any other matter relating to the welfare of the municipality; and
1105 (B) delegate to an appointed committee powers of inquiry that the council considers
1106 necessary;
1107 (v) make and enforce any additional rule or regulation for the government of the
1108 council, the preservation of order, and the transaction of the council's business that the council
1109 considers necessary; and
1110 (vi) unless otherwise provided, take any action allowed under Section 10-8-84 ; and

1111 (c) may not:
1112 (i) direct or request, other than in writing, the appointment of a person to or the
1113 removal of a person from an executive municipal office;
1114 (ii) interfere in any way with an executive officer's performance of the officer's duties;
1115 or
1116 (iii) publicly or privately give orders to a subordinate of the mayor.
1117 (2) A member of a council in a municipality operating under the county
1118 mayor-municipal council form of government may not have any other compensated
1119 employment with the municipality.
1120 (3) A council member is:
1121 (a) elected as a nonpartisan candidate; and
1122 (b) elected and serves a term in accordance with Chapter 3, Part 2, Election of
1123 Governing Body.
1124 (4) This section may not be construed to grant a power to or otherwise authorize a
1125 municipal council with a power that is granted to or an authority assigned to a county
1126 governing body or county legislative body to govern, administer, or control a service provided
1127 to, or personnel who provide a service to, the municipality in accordance with Section
1128 10-3c-202 .
1129 Section 30. Section 10-3b-605 is enacted to read:
1130 10-3b-605. Presenting council action to mayor -- Veto -- Reconsideration -- When
1131 ordinance, tax levy, or appropriation takes effect.
1132 (1) The council in each municipality operating under a county mayor-municipal
1133 council form of municipal government shall present to the mayor each ordinance, tax levy, and
1134 appropriation passed by the council.
1135 (2) (a) The mayor in a municipality operating under a county mayor-municipal council
1136 form of municipal government may veto an ordinance or tax levy or all or any part of an
1137 appropriation passed by the council.
1138 (b) If a mayor vetoes an ordinance or tax levy or all or any part of an appropriation, the
1139 mayor shall return the ordinance, tax levy, or appropriation to the council within 15 days after
1140 the council presents the ordinance, tax levy, or appropriation to the mayor, with a statement
1141 explaining the mayor's objections.

1142 (3) At its next meeting following a mayor's veto under Subsection (2), the council shall
1143 reconsider the vetoed ordinance, tax levy, or appropriation.
1144 (4) An ordinance, tax levy, or appropriation passed by the council takes effect upon
1145 recording as provided in Chapter 3, Part 7, Municipal Ordinances, Resolutions, and Procedure,
1146 if:
1147 (a) the mayor signs the ordinance, tax levy, or appropriation;
1148 (b) the mayor fails to sign the ordinance, tax levy, or appropriation within 15 days after
1149 the council presents the ordinance, tax levy, or appropriation to the mayor; or
1150 (c) following a veto, the council reconsiders the ordinance, tax levy, or appropriation
1151 and passes it by a vote of at least two-thirds of all council members.
1152 Section 31. Section 10-3b-606 is enacted to read:
1153 10-3b-606. Municipal offices filled by county officers.
1154 (1) (a) The following officials elected or appointed, or persons employed by, the county
1155 in which a municipality operating under the county mayor-municipal council form of
1156 government is located shall, for the purposes of interpreting and complying with applicable
1157 law, fulfill the responsibilities and hold the following municipal offices or positions:
1158 (i) the county treasurer shall fulfill the duties and hold the powers of treasurer for the
1159 municipality;
1160 (ii) the county clerk shall fulfill the duties and hold the powers of recorder and clerk for
1161 the municipality;
1162 (iii) the county engineer shall fulfill the duties and hold the powers of engineer for the
1163 municipality;
1164 (iv) the county attorney shall fulfill the duties and hold the powers of the attorney for
1165 the municipality;
1166 (v) subject to Subsection (1)(b), the county auditor shall fulfill the duties and hold the
1167 powers of auditor for the municipality; and
1168 (vi) except as otherwise provided, the county executive, director, or other head of a
1169 county agency, program, or department that provides a service, described in Subsection
1170 10-3c-202 (1), to the municipality shall fulfill the duties and hold the powers of executive,
1171 director, or head of the applicable municipal agency, program, or department.
1172 (b) (i) The county auditor shall fulfill the duties and hold the powers of auditor for the

1173 municipality to the extent that the county auditor's powers and duties are described in and
1174 delegated to the county auditor in accordance with Title 17, Chapter 19a, County Auditor, and
1175 a municipal auditor's powers and duties described in this title are the same.
1176 (ii) Notwithstanding Subsection (1)(b), in a municipality with the county
1177 mayor-municipal council form of government, services described in Sections 17-19a-203 ,
1178 17-19a-204 , and 17-19a-205 , and services other than those described in Subsection (1)(b)(i)
1179 that are provided by a municipal auditor in accordance with this title that are required by law
1180 shall be performed by county staff other than the county auditor.
1181 (2) (a) Nothing in Subsection (1) may be construed to relieve an official described in
1182 Subsections (1)(a)(i) through (vi) of a duty to either the county or municipality or a duty to
1183 fulfill that official's position as required by law.
1184 (b) Notwithstanding Subsection (2)(a), an official or the official's deputy or other
1185 person described in Subsections (1)(a)(i) through (vi):
1186 (i) is elected, appointed, or otherwise employed, in accordance with the provisions of
1187 Title 17, Counties, as applicable to that official's or person's county office;
1188 (ii) is paid a salary and benefits and subject to employment discipline in accordance
1189 with the provisions of Title 17, Counties, as applicable to that official's or person's county
1190 office;
1191 (iii) is not subject to:
1192 (A) Chapter 3, Part 13, Municipal Officers' and Employees' Ethics Act; or
1193 (B) Chapter 3, Part 11, Personnel Rules and Benefits; and
1194 (iv) is not required to provide a bond for the applicable municipal office if a bond for
1195 the office is required by this title.
1196 Section 32. Section 10-3b-607 is enacted to read:
1197 10-3b-607. Rules and regulations by municipal officers.
1198 A municipal officer in a municipality operating under a county mayor-municipal
1199 council form of government may prescribe rules and regulations, not inconsistent with statute,
1200 municipal ordinance, or the county personnel management act and policies.
1201 Section 33. Section 10-3c-101 is enacted to read:
1202 CHAPTER 3c. ADMINISTRATION OF NONCONTIGUOUS MUNICIPALITIES
1203 Part 1. General Provisions

1204 10-3c-101. Title.
1205 This chapter is known as "Administration of Noncontiguous Municipalities."
1206 Section 34. Section 10-3c-102 is enacted to read:
1207 10-3c-102. Definitions.
1208 As used in this chapter:
1209 (1) "Municipal service" is a service identified in Section 17-34-1 or 17-36-3 .
1210 (2) "Noncontiguous municipality" means a municipality incorporated in accordance
1211 with Sections 10-2-130 through 10-2-141 .
1212 Section 35. Section 10-3c-201 is enacted to read:
1213 Part 2. Administration of Noncontiguous Municipality
1214 10-3c-201. Budget.
1215 (1) A noncontiguous municipality shall adopt the same fiscal period as the fiscal period
1216 of the county in which it is located, in accordance with Section 17-36-3.5 .
1217 (2) Notwithstanding any other provision of law, a noncontiguous municipality is
1218 subject to the provisions of Title 17, Chapter 36, Uniform Fiscal Procedures Act for Counties.
1219 Section 36. Section 10-3c-202 is enacted to read:
1220 10-3c-202. Administrative and operational services provided by the county.
1221 (1) The county in which a noncontiguous municipality is located shall provide for the
1222 noncontiguous municipality:
1223 (a) all administrative services, including:
1224 (i) human resources; and
1225 (ii) accounting and budgeting services other than the adoption of a budget by the
1226 municipal council;
1227 (b) all municipal services; and
1228 (c) all operational and other local government services, including:
1229 (i) maintenance of municipal infrastructure;
1230 (ii) public safety;
1231 (iii) road construction and maintenance;
1232 (iv) animal control services;
1233 (v) curb, gutter, and sidewalk services;
1234 (vi) snow removal;

1235 (vii) streetlights; and
1236 (viii) staff to assist with planning and zoning.
1237 (2) A county may provide the services described in Subsection (1)(b) or (c) by
1238 contracting with another entity or through a local or special service district.
1239 (3) In accordance with this section or other provision of law, the noncontiguous
1240 municipality shall reimburse the county for a service provided to the noncontiguous
1241 municipality that is not otherwise provided on a county-wide basis.
1242 Section 37. Section 10-3c-203 is enacted to read:
1243 10-3c-203. Energy sales and use tax prohibited.
1244 A noncontiguous municipality may not levy a municipal energy sales and use tax as
1245 described in Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act.
1246 Section 38. Section 10-6-103 is amended to read:
1247 10-6-103. Applicability to all cities -- Exception.
1248 (1) This chapter shall apply to all cities, including charter cities.
1249 (2) Notwithstanding Subsection (1), this chapter does not apply to a municipality with
1250 the county mayor-municipal council form of government as described in Chapter 3b, Part 6,
1251 County Mayor-Municipal Council Form of Government.
1252 Section 39. Section 17-34-1 is amended to read:
1253 17-34-1. Counties may provide municipal services -- County shall provide
1254 municipal services to noncontiguous municipality -- Limitation -- First class counties to
1255 provide certain services -- Counties allowed to provide certain services in recreational
1256 areas.
1257 (1) For purposes of this chapter, except as otherwise provided in Subsection (3):
1258 (a) "Greater than class C radioactive waste" has the same meaning as in Section
1259 19-3-303 .
1260 (b) "High-level nuclear waste" has the same meaning as in Section 19-3-303 .
1261 (c) "Municipal-type services" means:
1262 (i) fire protection service;
1263 (ii) waste and garbage collection and disposal;
1264 (iii) planning and zoning;
1265 (iv) street lighting;

1266 (v) in a county of the first class:
1267 (A) advanced life support and paramedic services; and
1268 (B) detective investigative services; and
1269 (vi) all other services and functions that are required by law to be budgeted,
1270 appropriated, and accounted for from a municipal services fund or a municipal capital projects
1271 fund as defined under Chapter 36, Uniform Fiscal Procedures Act for Counties.
1272 (d) "Noncontiguous municipality" is as defined in Section 10-3c-102 .
1273 [(d)] (e) "Placement" has the same meaning as in Section 19-3-303 .
1274 [(e)] (f) "Storage facility" has the same meaning as in Section 19-3-303 .
1275 [(f)] (g) "Transfer facility" has the same meaning as in Section 19-3-303 .
1276 (2) A county [may]:
1277 (a) may:
1278 [(a)] (i) provide municipal-type services to areas of the county outside the limits of
1279 cities and towns without providing the same services to cities or towns; and
1280 [(b)] (ii) fund those services by:
1281 [(i)] (A) levying a tax on taxable property in the county outside the limits of cities and
1282 towns; or
1283 [(ii)] (B) charging a service charge or fee to persons benefitting from the
1284 municipal-type services[.]; and
1285 (b) shall:
1286 (i) provide municipal-type services to a noncontiguous municipality; and
1287 (ii) fund those services by collecting payment for those services provided from the
1288 noncontiguous municipality.
1289 (3) A county may not:
1290 (a) provide, contract to provide, or agree in any manner to provide municipal-type
1291 services, as these services are defined in Section 19-3-303 , to any area under consideration for
1292 a storage facility or transfer facility for the placement of high-level nuclear waste, or greater
1293 than class C radioactive waste; or
1294 (b) seek to fund services for these facilities by:
1295 (i) levying a tax; or
1296 (ii) charging a service charge or fee to persons benefitting from the municipal-type

1297 services.
1298 (4) Each county of the first class shall provide to the area of the county outside the
1299 limits of cities and towns and to a noncontiguous municipality:
1300 (a) advanced life support and paramedic services; and
1301 (b) detective investigative services.
1302 (5) (a) A county may provide fire, paramedic, and police protection services in any area
1303 of the county outside the limits of cities and towns that is designated as a recreational area in
1304 accordance with the provisions of this Subsection (5).
1305 (b) A county legislative body may designate any area of the county outside the limits of
1306 cities and towns as a recreational area if:
1307 (i) the area has fewer than 1,500 residents and is primarily used for recreational
1308 purposes, including canyons, ski resorts, wilderness areas, lakes and reservoirs, campgrounds,
1309 or picnic areas; and
1310 (ii) the county legislative body makes a finding that the recreational area is used by
1311 residents of the county who live both inside and outside the limits of cities and towns.
1312 (c) Fire, paramedic, and police protection services needed to primarily serve those
1313 involved in the recreation activities in areas designated as recreational areas by the county
1314 legislative body in accordance with Subsection (5)(b) may be funded from the county general
1315 fund.
1316 Section 40. Section 17-34-3 is amended to read:
1317 17-34-3. Taxes or service charges.
1318 (1) (a) If a county furnishes the municipal-type services and functions described in
1319 Section 17-34-1 to areas of the county outside the limits of incorporated cities or towns, the
1320 county shall defray the entire cost of the services or functions [so] furnished [shall be defrayed]
1321 from funds that the county has derived from:
1322 (i) taxes that the county may lawfully levy or impose outside the limits of incorporated
1323 towns or cities;
1324 (ii) service charges or fees the county may impose upon the persons benefited in any
1325 way by the services or functions; or
1326 (iii) a combination of these sources.
1327 (b) (i) If a county is required to provide municipal-type services to a noncontiguous

1328 municipality in accordance with this chapter and Title 10, Chapter 3c, Administration of
1329 Noncontiguous Municipalities, the county shall pay the entire cost of the services or functions
1330 furnished from funds payed by the noncontiguous municipality to the county.
1331 (ii) A noncontiguous municipality that receives municipal-type services from a county
1332 shall repay the county in full for services rendered.
1333 [(b)] (c) As the taxes [or], service charges, or fees are levied and collected, or as
1334 repayment from a noncontiguous municipality is received, they shall be placed in a special
1335 revenue fund of the county and shall be disbursed only for the rendering of the services or
1336 functions established in Section 17-34-1 :
1337 (i) within the unincorporated areas of the county [or];
1338 (ii) as provided in Subsection 10-2-121 (2)[.]; or
1339 (iii) within a noncontiguous municipality.
1340 (2) (a) For the purpose of levying taxes, service charges, or fees provided in this
1341 section, the county legislative body may establish a district or districts in the unincorporated
1342 areas of the county.
1343 (b) A district established by a county as provided in Subsection (2)(a) may be
1344 reorganized as a local district in accordance with the procedures set forth in Sections
1345 17D-1-601 , 17D-1-603 , and 17D-1-604 .
1346 (3) Nothing contained in this chapter may be construed to authorize counties to impose
1347 or levy taxes not otherwise allowed by law.
1348 (4) Notwithstanding any other provision of this chapter, a county providing fire,
1349 paramedic, and police protection services in a designated recreational area, as provided in
1350 Subsection 17-34-1 (5), may fund those services from the county general fund with revenues
1351 derived from both inside and outside the limits of cities and towns, and the funding of those
1352 services is not limited to unincorporated area revenues.
1353 Section 41. Section 17-34-5 is amended to read:
1354 17-34-5. Budgeting, accounting for, and disbursing of funds -- Annual audit.
1355 (1) (a) With respect to the budgeting, accounting for, and disbursing of funds to furnish
1356 the municipal-type services and functions described in Section 17-34-1 to areas of the county
1357 outside the limits of incorporated towns and cities, including levying of taxes and imposition of
1358 fees and charges under Section 17-34-3 , or providing municipal-type services to a

1359 noncontiguous municipality, each county legislative body shall separately budget and strictly
1360 account for and apportion to the costs of providing municipal-type services and functions the
1361 following:
1362 (i) the salaries of each county commissioner and the salaries and wages of all other
1363 elected and appointed county officials and employees;
1364 (ii) the operation and maintenance costs of each municipal-type service or function
1365 provided, set forth separately as line items in the Municipal Services Fund budget;
1366 (iii) the cost of renting or otherwise using capital facilities for the purposes of
1367 providing municipal-type services or functions; and
1368 (iv) all other costs including administrative costs associated, directly or indirectly, with
1369 the costs of providing municipal-type services or functions.
1370 (b) At all times these funds and any expenditures from these funds shall be separately
1371 accounted for and utilized only for the purposes of providing municipal-type services and
1372 functions to areas of the county outside the limits of incorporated towns or cities.
1373 (2) To implement Subsection (1):
1374 (a) a budget shall be adopted and administered in the same manner as the budget for
1375 general purposes of the county which furnishes the municipal-type services and functions is
1376 adopted and administered, either as a part of the general budget or separate from it;
1377 (b) funds for the purposes of furnishing municipal-type services and functions under
1378 this chapter shall be collected, held, and administered in the same manner as other funds of the
1379 county are collected, held, and administered, but shall be segregated and separately maintained,
1380 except that where, in the judgment of the county legislative body, advantages inure to the fund
1381 from coinvestment of these funds and other funds also subject to control by the county
1382 legislative body, the county legislative body may direct this coinvestment, but in no event may
1383 the funds to furnish municipal-type services and functions or the income from their investment
1384 be used for purposes other than those described in Section 17-34-1 ;
1385 (c) expenditures shall be made in the same manner as other expenditures of the county
1386 are made; and
1387 (d) any taxes levied under this chapter shall be levied at the same time and in the same
1388 manner as other taxes of the county are levied.
1389 (3) An annual audit of the budgeting, accounting for, and disbursing of funds used to

1390 furnish municipal-type services and functions, shall be conducted by an independent certified
1391 public accountant.
1392 Section 42. Section 17-36-2 is amended to read:
1393 17-36-2. Purpose of chapter.
1394 The purpose of this act is to codify and revise the law relating to county and
1395 noncontiguous municipality fiscal procedures in order to establish uniform accounting,
1396 budgeting, and financial reporting procedures for all counties and noncontiguous
1397 municipalities. The act provides for the establishment of uniform procedures for the adoption
1398 and administration of fiscal and optional performance budgets.
1399 The act is intended to enable counties and noncontiguous municipalities to make
1400 financial plans for both current and capital expenditures, to ensure that executive staffs
1401 administer their respective functions in accordance with adopted budgets, and to provide
1402 taxpayers and investors with information about the financial policies and administration of the
1403 county or noncontiguous municipalities in which they are interested.
1404 Section 43. Section 17-36-3 is amended to read:
1405 17-36-3. Definitions.
1406 As used in this chapter:
1407 (1) "Accrual basis of accounting" means a method where revenues are recorded when
1408 earned and expenditures recorded when they become liabilities notwithstanding that the receipt
1409 of the revenue or payment of the expenditure may take place in another accounting period.
1410 (2) "Appropriation" means an allocation of money for a specific purpose.
1411 (3) (a) "Budget" means a plan for financial operations for a fiscal period, embodying
1412 estimates for proposed expenditures for given purposes and the means of financing the
1413 expenditures.
1414 (b) "Budget" may refer to the budget of a fund for which a budget is required by law, or
1415 collectively to the budgets for all those funds.
1416 (4) "Budgetary fund" means a fund for which a budget is required, such as those
1417 described in Section 17-36-8 .
1418 (5) "Budget officer" means:
1419 (a) for a county of the second, third, fourth, fifth, or sixth class, the county auditor,
1420 county clerk, or county executive as provided in Subsection 17-19-19 (1); [or]

1421 (b) for a county of the first class, a person described in Section 17-19a-203 [.]; or
1422 (c) for a noncontiguous municipality, the mayor or, with the advice and consent of the
1423 municipal council, the mayor's designee.
1424 (6) "Budget period" means the fiscal period for which a budget is prepared.
1425 (7) "Check" means an order in a specific amount drawn upon the depositary by any
1426 authorized officer in accordance with Section 17-19-3 , 17-19a-301 , 17-24-1 , or 17-24-1.1 , as
1427 applicable.
1428 (8) "Countywide service" means a service provided in both incorporated and
1429 unincorporated areas of a county.
1430 (9) "Current period" means the fiscal period in which a budget is prepared and adopted.
1431 (10) "Department" means any functional unit within a fund which carries on a specific
1432 activity.
1433 (11) "Encumbrance system" means a method of budgetary control where part of an
1434 appropriation is reserved to cover a specific expenditure by charging obligations, such as
1435 purchase orders, contracts, or salary commitments to an appropriation account. An expenditure
1436 ceases to be an encumbrance when paid or when the actual liability is entered in the books of
1437 account.
1438 (12) "Estimated revenue" means any revenue estimated to be received during the
1439 budget period in any fund for which a budget is prepared.
1440 (13) "Fiscal period" means the annual or biennial period for recording county fiscal
1441 operations.
1442 (14) "Fund" means an independent fiscal and accounting entity comprised of a sum of
1443 money or other resources segregated for a specific purpose or objective.
1444 (15) "Fund balance" means the excess of the assets over liabilities, reserves, and
1445 contributions, as reflected by its books of account.
1446 (16) "Fund deficit" means the excess of liabilities, reserves, and contributions over its
1447 assets, as reflected by its books of account.
1448 (17) "General Fund" means the fund used to account for all receipts, disbursements,
1449 assets, liabilities, reserves, fund balances, revenues, and expenditures not required to be
1450 accounted for in other funds.
1451 (18) "Interfund loan" means a loan of cash from one fund to another, subject to future

1452 repayment; but it does not constitute an expenditure or a use of retained earnings, fund balance,
1453 or unappropriated surplus of the lending fund.
1454 (19) "Last completed fiscal period" means the fiscal period next preceding the current
1455 period.
1456 (20) "Modified accrual basis of accounting" means a method under which expenditures
1457 other than accrued interest on general long-term debt are recorded at the time liabilities are
1458 incurred and revenues are recorded when they become measurable and available to finance
1459 expenditures of the current period.
1460 (21) "Municipal capital project" means the acquisition, construction, or improvement
1461 of capital assets that facilitate providing municipal service.
1462 (22) "Municipal service" means a service not provided on a countywide basis and not
1463 accounted for in an enterprise fund, and includes police patrol, fire protection, culinary or
1464 irrigation water retail service, water conservation, local parks, sewers, sewage treatment and
1465 disposal, cemeteries, garbage and refuse collection, street lighting, airports, planning and
1466 zoning, local streets and roads, curb, gutter, and sidewalk maintenance, and ambulance service.
1467 (23) "Noncontiguous municipality" is as defined in Section 10-3c-102 .
1468 (24) "Noncontiguous municipality general fund" means the fund used by a
1469 noncontiguous municipality to account for all receipts, disbursements, assets, liabilities,
1470 reserves, fund balances, revenues, and expenditures not required to be accounted for in other
1471 funds.
1472 [(23)] (25) "Retained earnings" means that part of the net earnings retained by an
1473 enterprise or internal service fund which is not segregated or reserved for any specific purpose.
1474 [(24)] (26) "Special fund" means any fund other than the General Fund, such as those
1475 described in Section 17-36-6 .
1476 [(25)] (27) "Unappropriated surplus" means that part of a fund which is not
1477 appropriated for an ensuing budget period.
1478 [(26)] (28) "Warrant" means an order in a specific amount drawn upon the treasurer by
1479 the auditor.
1480 Section 44. Section 17-36-3.5 is amended to read:
1481 17-36-3.5. Fiscal period -- Annual or biennial.
1482 (1) [Except as provided in Subsection (2), the] The fiscal period for each county and

1483 each noncontiguous municipality shall be an annual period beginning on January 1 of each year
1484 and ending December 31 of the same calendar year.
1485 (2) (a) Notwithstanding Subsection (1), the legislative body of a county may, by
1486 ordinance, adopt for the county a fiscal period that is a biennial period beginning January 1 and
1487 ending December 31 of the following calendar year.
1488 (b) Each county adopting an ordinance under Subsection (2)(a) shall separately specify
1489 in its budget the amount of ad valorem property tax it intends to levy and collect during both
1490 the first half and the second half of the budget period.
1491 (c) Each county that adopts a fiscal period that is a biennial period under Subsection
1492 (2)(a) shall:
1493 (i) comply with Sections 59-2-912 through 59-2-926 as if it had adopted a fiscal period
1494 that is an annual period; and
1495 (ii) allocate budgeted revenues and expenditures to each of the two annual periods in
1496 the biennial budget.
1497 (d) The legislative body of each county that adopts a fiscal period that is a biennial
1498 period under Subsection (2)(a) shall, within 10 days after the adoption of the ordinance
1499 adopting the biennial period, deliver a copy of the ordinance to the state auditor.
1500 Section 45. Section 17-36-4 is amended to read:
1501 17-36-4. State auditor -- Duties.
1502 (1) The state auditor shall:
1503 (a) prescribe a uniform system of fiscal procedures for the several counties and
1504 noncontiguous municipalities;
1505 (b) conduct a constant review and modification of such procedures to improve them;
1506 (c) prepare and supply each county budget officer with suitable budget forms; and
1507 (d) prepare instructional materials, conduct training programs, and render other
1508 services deemed necessary to assist counties in implementing the uniform system.
1509 (2) (a) The uniform system of procedure may include reasonable exceptions and
1510 modifications applicable to [counties] a county or noncontiguous municipality with a
1511 population of 25,000 or less, such population to be determined by the Utah Population Work
1512 Committee. [Counties]
1513 (b) A county or noncontiguous municipality may expand the uniform system to serve

1514 better [their] its needs. [Deviations from or alterations to]
1515 (c) A county or noncontiguous municipality may not deviate or alter the basic
1516 prescribed classification system for the identity of funds and accounts [should not be made].
1517 Section 46. Section 17-36-6 is amended to read:
1518 17-36-6. Required funds and accounts.
1519 (1) In its system of accounts, each county and noncontiguous municipality shall
1520 maintain the following funds or account groups that are appropriate to its needs:
1521 (a) a general fund or noncontiguous municipality general fund;
1522 (b) special revenue funds;
1523 (c) debt service funds to account for the retirement of general obligation bonds or other
1524 long-term indebtedness including the payment of interest;
1525 (d) capital project funds, as required to account for the application of proceeds from the
1526 sale of general obligation bonds or other general long-term debt, or funds derived from other
1527 sources, to the specific purposes for which they are authorized;
1528 (e) a separate fund for each utility or enterprise such as an airport fund, a sewer fund, a
1529 water fund, or other similar funds;
1530 (f) intragovernmental service funds;
1531 (g) trust and agency funds such as a cemetery perpetual-care fund or a retirement fund;
1532 (h) a separate fund for each special improvement district, which shall be known as a
1533 special assessment fund;
1534 (i) a ledger or group of accounts to record the details relating to the general fixed assets
1535 of the county;
1536 (j) a ledger or group of accounts to record the details relating to the general obligation
1537 bonds or other long-term indebtedness of the county;
1538 (k) municipal services fund as required in Section 17-36-9 ; and
1539 (l) any other funds for special purposes required or established under the uniform
1540 system of budgeting, accounting, and reporting.
1541 (2) The county or noncontiguous municipality shall classify the funds and account
1542 groups established under the authority of this section according to the uniform procedures
1543 established by this chapter.
1544 Section 47. Section 17-36-7 is amended to read:

1545 17-36-7. Basis of accounting.
1546 The basis of accounting to record transactions by [counties] a county or noncontiguous
1547 municipality shall be either accrual or modified accrual as prescribed in the uniform system of
1548 budgeting, accounting, and reporting.
1549 Section 48. Section 17-36-8 is amended to read:
1550 17-36-8. Preparation of budgets.
1551 The budget officer of each county or noncontiguous municipality shall prepare each
1552 budget period, on forms provided pursuant to Section 17-36-4 , a budget for each of the
1553 following funds which are included in its system of accounts:
1554 (1) general fund or noncontiguous municipality general fund;
1555 (2) special revenue funds;
1556 (3) debt service funds;
1557 (4) capital project funds; and
1558 (5) any other fund or funds for which a budget is required by the uniform system of
1559 budgeting, accounting, and reporting.
1560 Section 49. Section 17-36-9 is amended to read:
1561 17-36-9. Budget -- Financial plan -- Contents -- Municipal services and capital
1562 projects funds.
1563 (1) (a) The budget for each fund shall provide a complete financial plan for the budget
1564 period and shall contain in tabular form classified by the account titles as required by the
1565 uniform system of budgeting, accounting, and reporting:
1566 (i) estimates of all anticipated revenues;
1567 (ii) all appropriations for expenditures; and
1568 (iii) any additional data required by Section 17-36-10 or 17-36-10.1 , as applicable, or
1569 by the uniform system of budgeting, accounting, and reporting.
1570 (b) The total of appropriated expenditures shall be equal to the total of anticipated
1571 revenues.
1572 (2) (a) Each first-, second-, and third-class county and a noncontiguous municipality
1573 that provides municipal-type services under Section 17-34-1 shall:
1574 (i) establish a special revenue fund, "Municipal Services Fund," and a capital projects
1575 fund, "Municipal Capital Projects Fund," or establish a local district or special service district

1576 to provide municipal services; and
1577 (ii) budget appropriations for municipal services and municipal capital projects from
1578 these funds.
1579 (b) The Municipal Services Fund is subject to the same budgetary requirements as the
1580 county's general fund or noncontiguous municipality general fund.
1581 (c) (i) Except as provided in Subsection (2)(c)(ii), the county or noncontiguous
1582 municipality may deposit revenue derived from any taxes otherwise authorized by law, income
1583 derived from the investment of money contained within the municipal services fund and the
1584 municipal capital projects fund, the appropriate portion of federal money, and fees collected
1585 into a municipal services fund, a special fund, and a municipal capital projects fund.
1586 (ii) The county may not deposit revenue derived from a fee, tax, or other source based
1587 upon a countywide assessment or from a countywide service or function into a municipal
1588 services fund or a municipal capital projects fund.
1589 (d) The maximum accumulated unappropriated surplus in the municipal services fund,
1590 as determined prior to adoption of the tentative budget, may not exceed an amount equal to the
1591 total estimated revenues of the current fiscal period.
1592 Section 50. Section 17-36-10 is amended to read:
1593 17-36-10. Preparation of tentative budget.
1594 (1) (a) On or before December 31, 2014, a county of the second, third, fourth, fifth, or
1595 sixth class is not subject to the provisions of this section; and
1596 (b) on or after January 1, 2015, a county of the second, third, fourth, fifth, or sixth class
1597 is subject to the provisions of this section.
1598 (2) On or before the first day of the next to last month of every fiscal period, the budget
1599 officer shall prepare for the next budget period and file with the governing body a tentative
1600 budget for each fund for which a budget is required.
1601 (3) (a) A department for which county funds are appropriated shall file with the budget
1602 officer not less than three months before the commencement of each fiscal year on forms
1603 furnished by the budget officer a detailed estimate and statement of the revenue and necessary
1604 expenditures of the department for the next budget year.
1605 (b) The estimate and statement described in Subsection (3)(a) shall set forth:
1606 (i) the number of persons to be regularly employed;

1607 (ii) the kinds of service the department will perform;
1608 (iii) the salaries and wages the department expects to pay;
1609 (iv) the kind of work the department will perform and the improvements the
1610 department expects to make; and
1611 (v) the estimated cost of the service, work, and improvements.
1612 (c) The statement shall also record performance data expressed in work units, unit
1613 costs, man hours, and man years sufficient in detail, content, and scope to permit the budget
1614 officer to prepare and process the county or noncontiguous municipality budget.
1615 (4) In the preparation of the budget, the budget officer and all other county or
1616 noncontiguous municipality officers are subject to Sections 17-36-1 through 17-36-44 and to
1617 the uniform system of budgeting, accounting, and reporting established therein.
1618 (5) In the tentative budget, the budget officer shall set forth in tabular form:
1619 (a) actual revenues and expenditures in the last completed fiscal period;
1620 (b) estimated total revenues and expenditures for the current fiscal period;
1621 (c) the estimated available revenues and expenditures for the ensuing budget period
1622 computed by determining:
1623 (i) the estimated expenditure for each fund after review of each departmental budget
1624 request;
1625 (ii) (A) the total revenue requirements of the fund;
1626 (B) the part of the total revenue that will be derived from revenue sources other than
1627 property tax; and
1628 (C) the part of the total revenue that shall be derived from property taxes; and
1629 (d) if required by the governing body, actual performance experience to the extent
1630 available in work units, unit costs, man hours, and man years for each budgeted fund that
1631 includes an appropriation for salaries or wages for the last completed fiscal period and the first
1632 eight months of the current fiscal period if the county or noncontiguous municipality is on an
1633 annual fiscal period, or the first 20 months of the current fiscal period if the county is on a
1634 biennial fiscal period, together with the total estimated performance data of like character for
1635 the current fiscal period and for the ensuing budget period.
1636 (6) The budget officer may recommend modification of any departmental budget
1637 request under Subsection (5)(c)(i) before it is filed with the governing body, if each department

1638 head has been given an opportunity to be heard concerning the modification.
1639 (7) (a) A tentative budget shall contain the estimates of expenditures submitted by any
1640 department together with specific work programs and other supportive data as the governing
1641 body requests.
1642 (b) The budget officer shall include with the tentative budget by a supplementary
1643 estimate of all capital projects or planned capital projects within the budget period and within
1644 the next three succeeding years.
1645 (8) (a) A budget officer that submits a tentative budget in a county or noncontiguous
1646 municipality with a population in excess of 25,000 determined in accordance with Section
1647 17-36-4 shall include with the tentative budget a budget message in explanation of the budget.
1648 (b) The budget message shall contain an outline of the proposed financial policies of
1649 the county or noncontiguous municipality for the budget period and describe the important
1650 features of the budgetary plan. It shall also state the reasons for changes from the previous
1651 fiscal period in appropriation and revenue items and explain any major changes in financial
1652 policy.
1653 (c) A budget message for [counties] a county or noncontiguous municipality with a
1654 population of less than 25,000 is recommended but not incumbent upon the budget officer.
1655 (9) (a) The governing body shall review, consider, and adopt a tentative budget in a
1656 regular or special meeting called for that purpose.
1657 (b) (i) Subject to Subsection (9)(b)(ii), the governing body may thereafter amend or
1658 revise the tentative budget prior to public hearings on the tentative budget.
1659 (ii) A governing body may not:
1660 (A) reduce below the required minimum an appropriation required for debt retirement
1661 and interest; or
1662 (B) reduce, in accordance with Section 17-36-17 , an existing deficit.
1663 Section 51. Section 17-36-12 is amended to read:
1664 17-36-12. Notice of budget hearing.
1665 (1) The governing body shall determine the time and place for the public hearing on the
1666 adoption of the budget.
1667 (2) Notice of such hearing shall be published:
1668 (a) (i) at least seven days before the hearing in at least one newspaper of general

1669 circulation within the county or noncontiguous municipality, as applicable, if there is such a
1670 paper; or
1671 (ii) if there is no newspaper as described in Subsection (2)(a)(i), by posting notice in
1672 three conspicuous places within the county or noncontiguous municipality, as applicable, seven
1673 days before the hearing; and
1674 (b) on the Utah Public Notice Website created in Section 63F-1-701 , for seven days
1675 before the hearing.
1676 Section 52. Section 17-36-15 is amended to read:
1677 17-36-15. Adoption of budget -- Immunity.
1678 (1) (a) On or before December 31, 2014, a county of the second, third, fourth, fifth, or
1679 sixth class is not subject to the provisions of this section; and
1680 (b) on or after January 1, 2015, a county of the second, third, fourth, fifth, or sixth class
1681 is subject to the provisions of this section.
1682 (2) (a) On or before the last day of each fiscal period, the governing body by resolution
1683 shall adopt the budget.
1684 (b) A budget adopted in accordance with Subsection (2)(a) is, unless amended, in
1685 effect for the next fiscal period.
1686 (c) The budget officer shall:
1687 (i) certify a copy of the final budget, and of any subsequent budget amendment; and
1688 (ii) file a copy with the state auditor not later than 30 days after the day on which the
1689 governing body adopts the budget.
1690 (d) The budget officer shall file a certified copy of the budget in the office of the
1691 budget officer for inspection by the public during business hours.
1692 (3) (a) Except as provided in Subsection (3)[(b)](c), a county officer or county
1693 employee may not file a legal action in state or federal court against the county, a department,
1694 or a county officer for any matter related to the following:
1695 (i) the adoption of a county budget;
1696 (ii) a county appropriation;
1697 (iii) a county personnel allocation; or
1698 (iv) a fund related to the county budget, a county appropriation, or a county personnel
1699 allocation.

1700 (b) Except as provided in Subsection (3)(c), a noncontiguous municipality officer or
1701 noncontiguous municipality employee may not file a legal action in state or federal court
1702 against the noncontiguous municipality, a department, or a noncontiguous municipality officer
1703 for any matter related to the following:
1704 (i) the adoption of a noncontiguous municipality budget;
1705 (ii) a noncontiguous municipality appropriation;
1706 (iii) a noncontiguous municipality personnel allocation; or
1707 (iv) a fund related to the noncontiguous municipality budget, a noncontiguous
1708 municipality appropriation, or a noncontiguous municipality personnel allocation.
1709 [(b)] (c) A county or district attorney may enforce a procedural requirement that
1710 governs the adoption or approval of a budget in accordance with this chapter.
1711 Section 53. Section 17-36-16 is amended to read:
1712 17-36-16. Retained earnings -- Accumulation -- Restrictions -- Disbursements.
1713 (1) A county or noncontiguous municipality may accumulate retained earnings in any
1714 enterprise or internal service fund or a fund balance in any other fund[; but with respect to the
1715 General Fund, its].
1716 (b) Notwithstanding Subsection (1)(a), use of the general fund or noncontiguous
1717 municipality general fund shall be restricted to the following purposes:
1718 [(a)] (i) to provide cash to finance expenditures from the beginning of the budget
1719 period until general property taxes, sales taxes, or other revenues are collected;
1720 [(b)] (ii) to provide a fund or reserve to meet emergency expenditures; and
1721 [(c)] (iii) to cover unanticipated deficits for future years.
1722 (2) (a) The maximum accumulated unappropriated surplus in the General Fund or
1723 noncontiguous municipality general fund, as determined prior to adoption of the tentative
1724 budget, may not exceed an amount equal to the greater of:
1725 (i) (A) for a county or noncontiguous municipality with a taxable value of
1726 $750,000,000 or more and a population of 100,000 or more, 20% of the total revenues of the
1727 General Fund or noncontiguous municipality general fund for the current fiscal period; or
1728 (B) for any other county or noncontiguous municipality, 50% of the total revenues of
1729 the General Fund or noncontiguous municipality general fund for the current fiscal period; and
1730 (ii) the estimated total revenues from property taxes for the current fiscal period.

1731 (b) Any surplus balance in excess of the above computed maximum shall be included
1732 in the estimated revenues of the General Fund or noncontiguous municipality general fund
1733 budget for the next fiscal period.
1734 (3) Any fund balance exceeding 5% of the total General Fund or noncontiguous
1735 municipality general fund revenues may be used for budgetary purposes.
1736 (4) (a) A county or noncontiguous municipality may appropriate funds from estimated
1737 revenue in any budget period to a reserve for capital improvements within any capital
1738 improvements fund which has been duly established by ordinance or resolution.
1739 (b) Money in the reserves shall be allowed to accumulate from fiscal period to fiscal
1740 period until the accumulated total is sufficient to permit economical expenditure for the
1741 specified purposes.
1742 (c) Disbursements from the reserves shall be made only by transfer to a revenue
1743 account within a capital improvements fund pursuant to an appropriation for the fund.
1744 (d) Expenditures from the capital improvement budget accounts shall conform to all
1745 requirements of this act as it relates to the execution and control of budgets.
1746 Section 54. Section 17-36-17 is amended to read:
1747 17-36-17. Appropriations in final budget -- Limitations.
1748 (1) The governing body of a county or noncontiguous municipality may not make any
1749 appropriation in the final budget of any fund in excess of the estimated expendable revenue of
1750 the fund for the budget period.
1751 (2) There shall be included as an item of appropriation in the budget of each fund for
1752 any fiscal period any existing deficit as of the close of the last completed fiscal period to the
1753 extent of at least 5% of the total revenue of the fund in the last completed fiscal period or if the
1754 deficit is less than 5% of the total revenue, an amount equal to the deficit.
1755 Section 55. Section 17-36-19 is amended to read:
1756 17-36-19. Encumbrance system.
1757 Each county and noncontiguous municipality shall use an encumbrance system or other
1758 budgetary controls to ensure that no expenditure is made for any item of an appropriation
1759 unless there is a sufficient unencumbered balance in the appropriation and available funds,
1760 except in cases of an emergency as hereinafter provided in Section 17-36-27 .
1761 Section 56. Section 17-36-20 is amended to read:

1762 17-36-20. Purchases or encumbrances by purchasing agent.
1763 (1) (a) On or before December 31, 2014, a county of the second, third, fourth, fifth, or
1764 sixth class is not subject to the provisions of this section; and
1765 (b) on or after January 1, 2015, a county of the second, third, fourth, fifth, or sixth class
1766 is subject to the provisions of this section.
1767 (2) A person may not make a purchase or incur an encumbrance on behalf of a county
1768 or noncontiguous municipality unless that person acts in accordance with an order by, or
1769 approval of, the person duly authorized to act as purchasing agent for the county or
1770 noncontiguous municipality, except encumbrances or expenditures directly investigated and
1771 specifically approved by the executive or legislative body.
1772 (3) Unless otherwise provided by the governing body, the budget officer or the budget
1773 officer's agents shall serve as a purchasing agent.
1774 Section 57. Section 17-36-21 is amended to read:
1775 17-36-21. Expenditure limitation.
1776 No officer or employee of a county or noncontiguous municipality shall make any
1777 expenditure or encumbrance in excess of the total appropriation for any department. Any
1778 obligation that is contracted by any such officer or employee in excess of the total departmental
1779 appropriation is the personal obligation of the officer or employee and is unenforceable against
1780 the county or noncontiguous municipality.
1781 Section 58. Section 17-36-22 is amended to read:
1782 17-36-22. Transfer of unexpended appropriation balance by department.
1783 (1) After review by the budget officer and in accordance with budgetary and fiscal
1784 policies or ordinances adopted by the county legislative body or noncontiguous municipal
1785 council, any department may:
1786 (a) transfer any unencumbered or unexpended appropriation balance or any part from
1787 one expenditure account to another within the department during the budget year; or
1788 (b) incur an excess expenditure of one or more line items.
1789 (2) A transfer or expenditure under Subsection (1) may not occur if the transfer or
1790 expenditure would cause the total of all excess expenditures or encumbrances to exceed the
1791 total unused appropriation within the department at the close of the budget period.
1792 Section 59. Section 17-36-26 is amended to read:

1793 17-36-26. Increase in budgetary fund or general fund -- Public hearing.
1794 (1) Before the governing body may, by resolution, increase a budget appropriation of
1795 any budgetary fund, increase the budget of the general fund or noncontiguous municipality
1796 general fund, or make an amendment to a budgetary fund or the general fund or noncontiguous
1797 municipality general fund, the governing body shall hold a public hearing giving all interested
1798 parties an opportunity to be heard.
1799 (2) Notice of the public hearing described in Subsection (1) shall be published at least
1800 five days before the day of the hearing:
1801 (a) (i) in at least one issue of a newspaper generally circulated in the county or
1802 noncontiguous municipality, respectively; or
1803 (ii) if there is not a newspaper generally circulated in the county or noncontiguous
1804 municipality, the hearing may be published by posting notice in three conspicuous places
1805 within the county or noncontiguous municipality; and
1806 (b) on the Utah Public Notice Website created under Section 63F-1-701 .
1807 Section 60. Section 17-36-27 is amended to read:
1808 17-36-27. Emergency expenditures -- Deficit.
1809 (1) If the governing body determines that an emergency exists, such as widespread
1810 damage from fire, flood, or earthquake, and that the expenditure of money in excess of the
1811 general fund or noncontiguous municipality general fund budget is necessary, [it] the governing
1812 body may make [such] expenditures and incur [such] deficits [as] that are reasonably necessary
1813 to meet the emergency.
1814 (2) Except to the extent provided for in Title 53, Chapter 2a, Part 6, Disaster Recovery
1815 Funding Act, the governing body of the county may not expend money in the county's local
1816 fund for an emergency, if the county creates a local fund under Title 53, Chapter 2a, Part 6,
1817 Disaster Recovery Funding Act.
1818 Section 61. Section 17-36-29 is amended to read:
1819 17-36-29. Special fund ceases -- Transfer.
1820 [If the necessity to maintain any special fund ceases and there is a balance in such
1821 fund,]
1822 (1) If the purpose for which a special fund was created no longer exists and a balance
1823 remains in the fund, the governing body shall authorize the transfer of the balance to the fund

1824 balance account in the General Fund or noncontiguous municipality general fund.
1825 (2) Any balance which remains in a special assessment fund and any unrequired
1826 balance in a special improvement guaranty fund shall be treated as provided in Subsection
1827 11-42-701 (5).
1828 (3) Any balance which remains in a capital projects fund shall be transferred to the
1829 appropriate debt service fund or such other fund as the bond ordinance requires or to the
1830 general fund or noncontiguous municipality general fund balance account.
1831 Section 62. Section 17-36-30 is amended to read:
1832 17-36-30. Interfund loans -- Acquisition of issued unmatured bonds.
1833 The governing body may:
1834 (1) authorize interfund loans from one fund to another at such interest rates and subject
1835 to such terms for repayment as it may prescribe; and [may]
1836 (2) with available cash in any fund, purchase or otherwise acquire for investment,
1837 issued unmatured bonds of the county or of any county fund or of the noncontiguous
1838 municipality or any noncontiguous municipality fund, respectively.
1839 Section 63. Section 17-36-31 is amended to read:
1840 17-36-31. Tax levy -- Amount.
1841 (1) (a) Before June 22 of each year[,]:
1842 (i) the county legislative body shall levy a tax on the taxable real and personal property
1843 within the county[.]; and
1844 (ii) the noncontiguous municipality shall levy a tax on the taxable real and personal
1845 property within the noncontiguous municipality.
1846 (b) In its computation of the total levy subject to Sections 59-2-908 and 59-2-911 , [it]
1847 the county or noncontiguous municipality shall determine the requirements for each fund and
1848 specify the amount of the levy apportioned to each fund.
1849 (2) The proceeds of the tax apportioned for purposes of the General Fund or
1850 noncontiguous municipality general fund shall be credited in the General Fund or
1851 noncontiguous municipality general fund.
1852 (3) The proceeds of the tax apportioned for utility and other special fund purposes shall
1853 be credited to the appropriate accounts in the utility or other special funds.
1854 Section 64. Section 17-36-35 is amended to read:

1855 17-36-35. County officials -- Profit from public funds.
1856 If the governing body receives evidence that a county or noncontiguous municipality
1857 official is profiting from public money or uses it for any unauthorized purpose, the matter shall
1858 be promptly referred to the county attorney or district attorney for appropriate action. If
1859 convicted for any such offense, the county or noncontiguous municipality official shall
1860 immediately forfeit his office.
1861 Section 65. Section 17-36-36 is amended to read:
1862 17-36-36. Financial statements.
1863 The budget officer shall present to the governing body the following financial
1864 statements prepared in the manner prescribed by the uniform system of budgeting, accounting,
1865 and reporting:
1866 (1) A summary of cash receipts and disbursements for each fund or group of funds and
1867 for each department within each fund reportable at the end of each month showing the cash and
1868 invested balance at the beginning of the period, the total receipts collected during the period,
1869 the total disbursements made during the period and the cash and invested balance at the end of
1870 the period.
1871 (2) Not less than once each quarter or more often if requested by the governing body, a
1872 condensed statement of revenues and expenditures and comparison with the budget of the
1873 general fund or noncontiguous municipality general fund and the allotments thereof, as
1874 reflected by the books of account.
1875 (3) A comparative quarterly income and expense statement for each enterprise fund
1876 showing a comparative analysis between the operations of such fund for the current fiscal
1877 reporting period and the same period in the previous year.
1878 (4) A condensed statement of the operating and capital budget of each enterprise fund
1879 showing revenues and expenses and balances compared with the budget for any period
1880 requested by the governing body or required by the uniform system of budgeting, accounting
1881 and reporting.
1882 (5) Any other statements of operations or reports on financial condition as the
1883 governing body or the uniform system of budgeting, accounting, and reporting may require.
1884 All financial statements made pursuant to this section shall be open for public
1885 inspection during regular business hours.

1886 Section 66. Section 17-36-37 is amended to read:
1887 17-36-37. Budget officer -- Annual financial statement -- Contents.
1888 (1) The budget officer of each county and noncontiguous municipality, within 180 days
1889 after the close of each fiscal period or, for a county that has adopted a fiscal period that is a
1890 biennial period, within 180 days after both the midpoint and the close of the fiscal period,
1891 except as provided by Section 17-36-38 , shall prepare and make available to the governing
1892 body an annual financial report which shall contain:
1893 (a) a statement of revenues and expenditures and a comparison with the budget of the
1894 general fund or noncontiguous municipality general fund, similar statements of all other funds
1895 for which budgets are required, and statements of revenues and expenditures or of income and
1896 expense, as the case may be, of all other operating funds of the county or noncontiguous
1897 municipality;
1898 (b) a balance sheet of each fund and a combined balance sheet of all funds as of:
1899 (i) for a county that has adopted a fiscal period that is a biennial period, the midpoint
1900 and the close of the fiscal period; and
1901 (ii) for each other county and noncontiguous municipality, the close of the fiscal
1902 period; or
1903 (c) any other reports the governing body may require, including work performance
1904 data, tax levies, taxable values, details of bonded indebtedness, and historical facts of interest
1905 to the governing body and the public.
1906 (2) Copies of the annual report shall be furnished to the state auditor and made a matter
1907 of public record in the office of the budget officer.
1908 Section 67. Section 17-36-38 is amended to read:
1909 17-36-38. Presentation of annual report by independent auditor.
1910 The annual report required by Section 17-36-37 may be satisfied by a county or
1911 noncontiguous municipality by the presentation of the report of the independent auditor on the
1912 results of operations for the year and financial condition at the midpoint of the fiscal period or
1913 at the close of the fiscal period if it is prepared in conformity with the uniform system of
1914 budgeting, accounting, and reporting.
1915 Section 68. Section 17-36-39 is amended to read:
1916 17-36-39. Independent audits.

1917 Independent audits are required for all counties and noncontiguous municipalities as
1918 provided in Title 51, Chapter 2a, Accounting Reports from Political Subdivisions, Interlocal
1919 Organizations, and Other Local Entities Act.
1920 Section 69. Section 17-36-40 is amended to read:
1921 17-36-40. Notice that audit is complete.
1922 (1) Within 10 days after the receipt of the audit report furnished by the independent
1923 auditor, the county auditor shall prepare and publish a notice to the public that the county audit
1924 or noncontiguous municipality audit is complete:
1925 (a) at least twice in a newspaper of general circulation within the county or
1926 noncontiguous municipality, respectively; and
1927 (b) as required in Section 45-1-101 .
1928 (2) A copy of the county audit may be inspected at the office of the county auditor.
1929 Section 70. Section 17-36-41 is amended to read:
1930 17-36-41. Analysis and evaluation of accounting practices and systems by state
1931 auditor -- Regional accounting services.
1932 (1) The state auditor shall analyze and evaluate the accounting practices and systems
1933 used by the counties and noncontiguous municipalities and provide advice and consultation to
1934 them in improving and updating their practices and systems.
1935 (2) Any county or group or association of counties may by agreement pursuant to the
1936 Interlocal Co-operation Act provide accounting services upon a regional basis for other
1937 counties or other local governmental units. The state auditor shall evaluate the county or other
1938 organization's ability to provide such service and shall periodically review the internal controls
1939 maintained by such a county or organization.
1940 Section 71. Section 17-36-43 is amended to read:
1941 17-36-43. Financial administration ordinance -- Purposes.
1942 (1) (a) On or before December 31, 2014, a county of the second, third, fourth, fifth, or
1943 sixth class is not subject to the provisions of this section; and
1944 (b) on or after January 1, 2015, a county of the second, third, fourth, fifth, or sixth class
1945 is subject to the provisions of this section.
1946 (2) (a) The county legislative body, after consultation with the county auditor, may
1947 adopt a financial administration ordinance authorizing the county auditor, county executive,

1948 county manager, or, in the case of county operated hospitals or mental health districts, an
1949 appointed administrator, to act as the financial officer for the purpose of approving:
1950 [(a)] (i) payroll checks, if the checks are prepared in accordance with a salary schedule
1951 established in a personnel ordinance or resolution; or
1952 [(b)] (ii) routine expenditures, such as utility bills, payroll-related expenses, supplies,
1953 materials, and payments on county-approved contracts and capital expenditures which are
1954 referenced in the budget document and approved by an appropriation resolution adopted for the
1955 current fiscal year.
1956 (b) A noncontiguous municipality may adopt a financial administration ordinance
1957 authorizing the noncontiguous municipality manager or county executive to act as the financial
1958 officer for the purpose of approving an expenditure described in Subsection (2)(a)(i) or (ii).
1959 Section 72. Section 17-36-44 is amended to read:
1960 17-36-44. Financial administration ordinance -- Required provisions.
1961 The financial administration ordinance, adopted pursuant to Section 17-36-43 or
1962 17-36-43.1 , as applicable, shall provide:
1963 (1) a maximum amount over which purchases may not be made without the approval
1964 of the county executive;
1965 (2) that the financial officer be bonded for a reasonable amount; and
1966 (3) any other provisions the county legislative body or noncontiguous municipality
1967 council, respectively, considers advisable.
1968 Section 73. Section 17-36-45 is amended to read:
1969 17-36-45. Internal control structure.
1970 (1) Each county legislative body and noncontiguous municipality council shall[, with
1971 the advice and assistance of the county auditor and county treasurer,] implement an internal
1972 control structure to ensure, on a reasonable basis, that all valid financial transactions of the
1973 county are identified and recorded accurately and timely. The objectives of the internal control
1974 structure shall be to ensure:
1975 (a) the proper authorization of transactions and activities;
1976 (b) the appropriate segregation of:
1977 (i) the duty to authorize transactions;
1978 (ii) the duty to record transactions; and

1979 (iii) the duty to maintain custody of assets;
1980 (c) the design and use of adequate documents and records to ensure the proper
1981 recording of events;
1982 (d) adequate safeguards over access to and use of assets and records; and
1983 (e) independent checks on performance and proper valuation of recorded amounts.
1984 (2) The state auditor shall evaluate procedures implemented to effectuate this section
1985 and shall provide advice and consultation in approving and updating these procedures.
1986 Section 74. Section 17-36-46 is amended to read:
1987 17-36-46. Reserve fund for capital improvements -- Creation -- Purpose --
1988 Limitation.
1989 (1) The legislative body of any county, or a noncontiguous municipality council, may
1990 establish and maintain, by ordinance, a cumulative reserve fund to be accumulated by levy for
1991 the purpose of financing the purchase of real property and the cost of planning, constructing or
1992 rehabilitating public buildings or other public works and capital improvements.
1993 (2) (a) Before a reserve fund under Subsection (1) may be established, the county
1994 legislative body or noncontiguous municipality council shall designate by ordinance the
1995 specific purpose for which the fund is established.
1996 (b) Except as provided in Section 17-36-50 , all funds in a reserve fund under
1997 Subsection (1) shall be expended for the designated purposes.
1998 Section 75. Section 17-36-47 is amended to read:
1999 17-36-47. Reserve fund for capital improvements -- Estimate of amount required
2000 -- Tax levy -- Accumulation from year to year -- Restriction on use.
2001 (1) Subject to Subsection (4) the legislative body of a county, or noncontiguous
2002 municipality council, that has established a reserve fund under Section 17-36-46 may:
2003 (a) include in the annual budget or estimate of amounts required to meet the public
2004 expenses of the county for the ensuing year such sum as it considers necessary for the uses and
2005 purposes of the fund; and
2006 (b) include those amounts in the annual tax levy of the county or noncontiguous
2007 municipality.
2008 (2) Subject to Subsection (4), the money in the fund shall be allowed to accumulate
2009 from year to year until the county legislative body or noncontiguous municipality council

2010 determines to spend any money in the fund for the purpose specified.
2011 (3) Subject to Subsection (4), money in the fund at the end of a fiscal year shall remain
2012 in the fund as surplus available for future use, and may not be transferred to any other fund or
2013 used for any other purpose.
2014 (4) The amount of money in a reserve fund established under Section 17-36-46 may
2015 not exceed .6% of the taxable value of the county.
2016 Section 76. Section 17-36-48 is amended to read:
2017 17-36-48. Reserve fund for capital improvements -- Transfer to fund of
2018 unencumbered surplus county funds.
2019 At any time after the creation of a reserve fund under Section 17-36-46 , the county
2020 legislative body or noncontiguous municipality council may transfer to the fund any
2021 unencumbered surplus county funds remaining at the end of a fiscal year.
2022 Section 77. Section 17-36-49 is amended to read:
2023 17-36-49. Reserve fund for capital improvements -- Investment -- Interest and
2024 income.
2025 (1) All money belonging to a reserve fund created under Section 17-36-46 shall be
2026 invested in such securities as are legal for other funds of the county or noncontiguous
2027 municipality, respectively.
2028 (2) The interest and income from the investments shall be a part of the fund.
2029 Section 78. Section 17-36-50 is amended to read:
2030 17-36-50. Reserve fund for capital improvements -- Use for projects other than
2031 originally specified -- Special election.
2032 (1) The legislative body of any county, or a noncontiguous municipality council, may
2033 submit the proposition of using funds in a reserve fund established under Section 17-36-46 for
2034 projects other than originally specified to the electors of the county or noncontiguous
2035 municipality, respectively, at a special election if the projects are for the purposes set forth in
2036 Section 17-36-46 .
2037 (2) If a proposition under Subsection (1) is proposed, the county legislative body or
2038 noncontiguous municipality council shall fix a time and place for a special election on the
2039 proposition, to be held as provided by law.
2040 Section 79. Section 17-36-51 is amended to read:

2041 17-36-51. Establishment of tax stability and trust fund -- Increase in tax levy.
2042 (1) (a) Notwithstanding anything to the contrary contained in statute, the legislative
2043 body of any county, or noncontiguous municipality council, may by ordinance establish and
2044 maintain a tax stability and trust fund, for the purpose of preserving funds during years with
2045 favorable tax revenues for use during years with less favorable tax revenues.
2046 (b) Each fund under Subsection (1)(a) shall be subject to all of the limitations and
2047 restrictions imposed by this section and Sections 17-36-52 and 17-36-53 .
2048 (c) The principal of the fund shall consist of all sums transferred to it in accordance
2049 with Subsection (2) and interest or other income retained in the fund under Subsection
2050 17-36-52 (2).
2051 (2) After establishing a tax stability and trust fund as provided in Subsection (1), the
2052 legislative body or noncontiguous municipality council, in establishing the levy for the property
2053 tax levied by the county under Section 59-2-908 , may establish the levy at a level not to exceed
2054 .0001 per dollar of taxable value of taxable property increase per year that will permit the
2055 county to receive during that fiscal year sums in excess of what may be required to provide for
2056 the purposes of the county. Any excess sums so received are to be transferred from the General
2057 Fund of the county or noncontiguous municipality general fund into the tax stability and trust
2058 fund.
2059 Section 80. Section 17-36-52 is amended to read:
2060 17-36-52. Tax stability and trust fund -- Deposit or investment of funds -- Use of
2061 interest or other income.
2062 (1) All amounts in the tax stability and trust fund established by a county or
2063 noncontiguous municipality under Section 17-36-51 may be deposited or invested as provided
2064 in Section 51-7-11 . These amounts may also be transferred by the county treasurer to the state
2065 treasurer under Section 51-7-5 for the treasurer's management and control under Title 51,
2066 Chapter 7, State Money Management Act.
2067 (2) The interest or other income realized from amounts in the tax stability and trust
2068 fund shall be returned to the general fund of the county or noncontiguous municipality general
2069 fund during the fiscal year in which the income or interest is paid to the extent the interest or
2070 income is required by the county or noncontiguous municipality to provide for its purposes
2071 during that fiscal year. Any amounts so returned may be used for all purposes as other amounts

2072 in such general fund or noncontiguous municipality general fund. Any interest or income not
2073 so returned to the county's or noncontiguous municipality general fund shall be added to the
2074 principal of that county's tax stability and trust fund.
2075 Section 81. Section 17-36-53 is amended to read:
2076 17-36-53. Tax stability and trust fund -- Amount in fund limited -- Disposition of
2077 excess.
2078 (1) The total amount in a county's or noncontiguous municipality's tax stability and
2079 trust fund established under Section 17-36-51 shall be limited to the percentage of the total
2080 taxable value of property in that county or noncontiguous municipality, respectively, not to
2081 exceed the limits provided in the following schedule:

2082	Total Taxable Value	Fund Limits Percentage of Taxable Value		but not to exceed:
2083	Less than $500,000,000	1.6%		$5,000,000
2084	From 500,000,000 to 1,500,000,000	1.0%		7,500,000
2085	Over 1,500,000,000	.5%		15,000,000

2086 (2) If any excess occurs in the tax stability and trust fund over the percentage or
2087 maximum dollar amounts specified in Subsection (1), this excess shall be transferred to the
2088 general fund of the county or noncontiguous municipality general fund and may be used for all
2089 purposes as other amounts in the general fund or noncontiguous municipality general fund are
2090 used.
2091 (3) If any excess in the fund exists because of a decrease in total taxable value, that
2092 excess may remain in the fund, but if the excess amount in the fund is decreased below the
2093 limitations of the fund for any reason, the fund limitations established under Subsection (1)
2094 apply.
2095 Section 82. Section 17-36-54 is amended to read:
2096 17-36-54. Tax stability and trust fund -- Use of principal -- Determination of
2097 necessity -- Election.
2098 If the legislative body of a county, or noncontiguous municipal council, that has

2099 established a tax stability and trust fund under Section 17-36-51 determines that it is necessary
2100 for purposes of that county or noncontiguous municipality to use any portion of the principal of
2101 the fund, the county legislative body or noncontiguous municipality shall submit this
2102 proposition to the electorate of that county or noncontiguous municipality in a special election
2103 called and held in the manner provided for in Title 11, Chapter 14, Local Government Bonding
2104 Act, for the holding of bond elections. If the proposition is approved at this special election by
2105 a majority of the qualified electors of the county or noncontiguous municipality voting at the
2106 election, then that portion of the principal of the fund covered by the proposition may be
2107 transferred to the [county's] county or noncontiguous municipality general fund for use for
2108 purposes of that county or noncontiguous municipality.
2109 Section 83. Section 17B-1-502 is amended to read:
2110 17B-1-502. Withdrawal of area from local district -- Automatic withdrawal in
2111 certain circumstances.
2112 (1) (a) An area within the boundaries of a local district may be withdrawn from the
2113 local district only as provided in this part.
2114 (b) Except as provided in Subsections (2) and (3), the inclusion of an area of a local
2115 district within a municipality because of a municipal incorporation under Title 10, Chapter 2,
2116 Part 1, Incorporation, or a municipal annexation or boundary adjustment under Title 10,
2117 Chapter 2, Part 4, Annexation, does not affect the requirements under this part for the process
2118 of withdrawing that area from the local district.
2119 (2) (a) An area within the boundaries of a local district is automatically withdrawn
2120 from the local district by the annexation of the area to a municipality or the adding of the area
2121 to a municipality by boundary adjustment under Title 10, Chapter 2, Part 4, Annexation, if:
2122 (i) the local district provides:
2123 (A) fire protection, paramedic, and emergency services; or
2124 (B) law enforcement service;
2125 (ii) an election for the creation of the local district was not required because of
2126 Subsection 17B-1-214 (3)(d); and
2127 (iii) before annexation or boundary adjustment, the boundaries of the local district do
2128 not include any of the annexing municipality.
2129 (b) The effective date of a withdrawal under this Subsection (2) is governed by

2130 Subsection 17B-1-512 (2)(b).
2131 (3) (a) An area within the boundaries of a local district located in a county of the first
2132 class is automatically withdrawn from the local district by the incorporation of a municipality,
2133 other than the incorporation of a noncontiguous municipality as defined in Section 10-3c-102 ,
2134 whose boundaries include the area if:
2135 (i) the local district provides:
2136 (A) fire protection, paramedic, and emergency services; or
2137 (B) law enforcement service;
2138 (ii) an election for the creation of the local district was not required because of
2139 Subsection 17B-1-214 (3)(d); and
2140 (iii) the legislative body of the newly incorporated municipality:
2141 (A) adopts a resolution no later than 180 days after the effective date of incorporation
2142 approving the withdrawal that includes the legal description of the area to be withdrawn; and
2143 (B) delivers a copy of the resolution to the board of trustees of the local district.
2144 (b) The effective date of a withdrawal under this Subsection (3) is governed by
2145 Subsection 17B-1-512 (2)(a).
2146 (c) Section 17B-1-505 shall govern the withdrawal of an area within a noncontiguous
2147 municipality, as defined in Section 10-3c-102 , in a county of the first class if:
2148 (i) the local district from which the area is withdrawn provides:
2149 (A) fire protection, paramedic, and emergency services; or
2150 (B) law enforcement services; or
2151 (ii) an election for the creation of the local district was not required under Subsection
2152 17B-1-214 (3)(d).
2153 Section 84. Section 20A-9-202 is amended to read:
2154 20A-9-202. Declarations of candidacy for regular general elections --
2155 Requirements for candidates.
2156 (1) (a) Each person seeking to become a candidate for elective office for any county
2157 office that is to be filled at the next regular general election shall:
2158 (i) file a declaration of candidacy in person with the county clerk on or after the second
2159 Friday in March and before 5 p.m. on the third Thursday in March before the next regular
2160 general election; and

2161 (ii) pay the filing fee.
2162 (b) Each person intending to become a candidate for any legislative office or
2163 multicounty office that is to be filled at the next regular general election shall:
2164 (i) file a declaration of candidacy in person with either the lieutenant governor or the
2165 county clerk in the candidate's county of residence on or after the second Friday in March and
2166 before 5 p.m. on the third Thursday in March before the next regular general election; and
2167 (ii) pay the filing fee.
2168 (c) (i) Each county clerk who receives a declaration of candidacy from a candidate for
2169 multicounty office shall transmit the filing fee and a copy of the candidate's declaration of
2170 candidacy to the lieutenant governor within one working day after it is filed.
2171 (ii) Each day during the filing period, each county clerk shall notify the lieutenant
2172 governor electronically or by telephone of legislative candidates who have filed in their office.
2173 (d) Each person seeking to become a candidate for elective office for any federal office
2174 or constitutional office that is to be filled at the next regular general election shall:
2175 (i) file a declaration of candidacy in person with the lieutenant governor on or after the
2176 second Friday in March and before 5 p.m. on the third Thursday in March before the next
2177 regular general election; and
2178 (ii) pay the filing fee.
2179 (e) Each person seeking the office of lieutenant governor, the office of district attorney,
2180 or the office of president or vice president of the United States shall comply with the specific
2181 declaration of candidacy requirements established by this section.
2182 (2) (a) Each person intending to become a candidate for the office of district attorney
2183 within a multicounty prosecution district that is to be filled at the next regular general election
2184 shall:
2185 (i) file a declaration of candidacy with the clerk designated in the interlocal agreement
2186 creating the prosecution district on or after the second Friday in March and before 5 p.m. on the
2187 third Thursday in March before the next regular general election; and
2188 (ii) pay the filing fee.
2189 (b) The designated clerk shall provide to the county clerk of each county in the
2190 prosecution district a certified copy of each declaration of candidacy filed for the office of
2191 district attorney.

2192 (3) (a) Within five working days of nomination, each lieutenant governor candidate
2193 shall:
2194 (i) file a declaration of candidacy with the lieutenant governor; and
2195 (ii) pay the filing fee.
2196 (b) (i) Any candidate for lieutenant governor who fails to file within five working days
2197 is disqualified.
2198 (ii) If a lieutenant governor is disqualified, another candidate shall be nominated to
2199 replace the disqualified candidate.
2200 (4) Each registered political party shall:
2201 (a) certify the names of its candidates for president and vice president of the United
2202 States to the lieutenant governor no later than August 31; or
2203 (b) provide written authorization for the lieutenant governor to accept the certification
2204 of candidates for president and vice president of the United States from the national office of
2205 the registered political party.
2206 (5) (a) A declaration of candidacy filed under this section is valid unless a written
2207 objection is filed with the clerk or lieutenant governor within five days after the last day for
2208 filing.
2209 (b) If an objection is made, the clerk or lieutenant governor shall:
2210 (i) mail or personally deliver notice of the objection to the affected candidate
2211 immediately; and
2212 (ii) decide any objection within 48 hours after it is filed.
2213 (c) If the clerk or lieutenant governor sustains the objection, the candidate may cure the
2214 problem by amending the declaration or petition within three days after the objection is
2215 sustained or by filing a new declaration within three days after the objection is sustained.
2216 (d) (i) The clerk's or lieutenant governor's decision upon objections to form is final.
2217 (ii) The clerk's or lieutenant governor's decision upon substantive matters is reviewable
2218 by a district court if prompt application is made to the court.
2219 (iii) The decision of the district court is final unless the Supreme Court, in the exercise
2220 of its discretion, agrees to review the lower court decision.
2221 (6) Any person who filed a declaration of candidacy may withdraw as a candidate by
2222 filing a written affidavit with the clerk.

2223 (7) Except as provided in Subsection 20A-9-201 (4)(b), notwithstanding a requirement
2224 in this section to file a declaration of candidacy in person, a person may designate an agent to
2225 file the form described in Subsection 20A-9-201 (4) in person with the filing officer if:
2226 (a) the person is located outside the state during the filing period because:
2227 (i) of employment with the state or the United States; or
2228 (ii) the person is a member of:
2229 (A) the active or reserve components of the Army, Navy, Air Force, Marine Corps, or
2230 Coast Guard of the United States who is on active duty;
2231 (B) the Merchant Marine, the commissioned corps of the Public Health Service, or the
2232 commissioned corps of the National Oceanic and Atmospheric Administration of the United
2233 States; or
2234 (C) the National Guard on activated status;
2235 (b) the person communicates with the filing officer using an electronic device that
2236 allows the person and filing officer to see and hear each other; and
2237 (c) the person provides the filing officer with an email address to which the filing
2238 officer may send the copies described in Subsection 20A-9-201 (3).
2239 (8) (a) A candidate for the initial municipal council of a noncontiguous municipality at
2240 the time of election to incorporate the noncontiguous municipality as described in Section
2241 10-2-138 , if the election is held at a regular general election, shall:
2242 (i) meet the candidacy requirements of Section 20A-9-203 and any other candidacy
2243 requirement established by law; and
2244 (ii) comply with the provisions of this section except as otherwise provided in Section
2245 10-2-138 .
2246 (b) A candidate for a noncontiguous municipal council who is a candidate after the
2247 election of the initial municipal council and incorporation of the noncontiguous municipality
2248 shall comply with the provisions of Section 20A-9-203 .
2249 Section 85. Section 20A-9-404 is amended to read:
2250 20A-9-404. Municipal primary elections.
2251 (1) (a) Except as otherwise provided in this section, candidates for municipal office in
2252 all municipalities shall be nominated at a municipal primary election.
2253 (b) Municipal primary elections shall be held:

2254 (i) consistent with Section 20A-1-201.5 , on the second Tuesday following the first
2255 Monday in the August before the regular municipal election; and
2256 (ii) whenever possible, at the same polling places as the regular municipal election.
2257 (2) If the number of candidates for a particular municipal office does not exceed twice
2258 the number of persons needed to fill that office, a primary election for that office may not be
2259 held and the candidates are considered nominated.
2260 (3) (a) For purposes of this Subsection (3), "convention" means an organized assembly
2261 of voters or delegates.
2262 (b) (i) By ordinance adopted before the May 1 that falls before a regular municipal
2263 election, any third, fourth, or fifth class city or town may exempt itself from a primary election
2264 by providing that the nomination of candidates for municipal office to be voted upon at a
2265 municipal election be nominated by a political party convention or committee.
2266 (ii) Any primary election exemption ordinance adopted under the authority of this
2267 subsection remains in effect until repealed by ordinance.
2268 (c) (i) A convention or committee may not nominate more than one group of
2269 candidates or have placed on the ballot more than one group of candidates for the municipal
2270 offices to be voted upon at the municipal election.
2271 (ii) A convention or committee may nominate a person who has been nominated by a
2272 different convention or committee.
2273 (iii) A political party may not have more than one group of candidates placed upon the
2274 ballot and may not group the same candidates on different tickets by the same party under a
2275 different name or emblem.
2276 (d) (i) The convention or committee shall prepare a certificate of nomination for each
2277 person nominated.
2278 (ii) The certificate of nomination shall:
2279 (A) contain the name of the office for which each person is nominated, the name, post
2280 office address, and, if in a city, the street number of residence and place of business, if any, of
2281 each person nominated;
2282 (B) designate in not more than five words the political party that the convention or
2283 committee represents;
2284 (C) contain a copy of the resolution passed at the convention that authorized the

2285 committee to make the nomination;
2286 (D) contain a statement certifying that the name of the candidate nominated by the
2287 political party will not appear on the ballot as a candidate for any other political party;
2288 (E) be signed by the presiding officer and secretary of the convention or committee;
2289 and
2290 (F) contain a statement identifying the residence and post office address of the
2291 presiding officer and secretary and certifying that the presiding officer and secretary were
2292 officers of the convention or committee and that the certificates are true to the best of their
2293 knowledge and belief.
2294 (iii) Certificates of nomination shall be filed with the clerk not later than 80 days
2295 before the municipal general election.
2296 (e) A committee appointed at a convention, if authorized by an enabling resolution,
2297 may also make nominations or fill vacancies in nominations made at a convention.
2298 (f) The election ballot shall substantially comply with the form prescribed in Title 20A,
2299 Chapter 6, Part 4, Ballot Form Requirements for Municipal Elections, but the party name shall
2300 be included with the candidate's name.
2301 (4) (a) Any third, fourth, or fifth class city may adopt an ordinance before the May 1
2302 that falls before the regular municipal election that:
2303 (i) exempts the city from the other methods of nominating candidates to municipal
2304 office provided in this section; and
2305 (ii) provides for a partisan primary election method of nominating candidates as
2306 provided in this Subsection (4).
2307 (b) (i) Any party that was a registered political party at the last regular general election
2308 or regular municipal election is a municipal political party under this section.
2309 (ii) Any political party may qualify as a municipal political party by presenting a
2310 petition to the city recorder that:
2311 (A) is signed, with a holographic signature, by registered voters within the municipality
2312 equal to at least 20% of the number of votes cast for all candidates for mayor in the last
2313 municipal election at which a mayor was elected;
2314 (B) is filed with the city recorder by May 31 of any odd-numbered year;
2315 (C) is substantially similar to the form of the signature sheets described in Section

2316 20A-7-303 ; and
2317 (D) contains the name of the municipal political party using not more than five words.
2318 (c) (i) If the number of candidates for a particular office does not exceed twice the
2319 number of offices to be filled at the regular municipal election, no partisan primary election for
2320 that office shall be held and the candidates are considered to be nominated.
2321 (ii) If the number of candidates for a particular office exceeds twice the number of
2322 offices to be filled at the regular municipal election, those candidates for municipal office shall
2323 be nominated at a partisan primary election.
2324 (d) The clerk shall ensure that:
2325 (i) the partisan municipal primary ballot is similar to the ballot forms required by
2326 Sections 20A-6-401 and 20A-6-401.1 ;
2327 (ii) the candidates for each municipal political party are listed in one or more columns
2328 under their party name and emblem;
2329 (iii) the names of candidates of all parties are printed on the same ballot, but under
2330 their party designation;
2331 (iv) every ballot is folded and perforated so as to separate the candidates of one party
2332 from those of the other parties and so as to enable the elector to separate the part of the ballot
2333 containing the names of the party of his choice from the remainder of the ballot; and
2334 (v) the side edges of all ballots are perforated so that the outside sections of the ballots,
2335 when detached, are similar in appearance to inside sections when detached.
2336 (e) After marking a municipal primary ballot, the voter shall:
2337 (i) detach the part of the ballot containing the names of the candidates of the party he
2338 has voted from the rest of the ballot;
2339 (ii) fold the detached part so that its face is concealed and deposit it in the ballot box;
2340 and
2341 (iii) fold the remainder of the ballot containing the names of the candidates of the
2342 parties for whom the elector did not vote and deposit it in the blank ballot box.
2343 (f) Immediately after the canvass, the election judges shall, without examination,
2344 destroy the tickets deposited in the blank ballot box.
2345 (5) (a) In an election described in Section 10-2-138 to incorporate a noncontiguous
2346 municipality and elect the initial members of the municipal council, a municipal primary may

2347 not be held and a candidate is not required to be nominated at a municipal primary.
2348 (b) After incorporation, a primary for the municipal council candidates in a
2349 noncontiguous municipality, as defined in Section 10-3c-102 , shall be held in accordance with
2350 this section.