1     
ANNEXATION OF ISLANDS WITHIN CITIES

2     
2017 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: D. Gregg Buxton

5     
House Sponsor: Gage Froerer

6     

7     LONG TITLE
8     General Description:
9          This bill addresses municipal annexation of unincorporated islands.
10     Highlighted Provisions:
11          This bill:
12          ▸     clarifies provisions regarding municipal annexation of certain unincorporated islands;
13          ▸     modifies annexation procedures to allow a municipality to annex certain
14     unincorporated islands without allowing or considering protests under certain
15     circumstances;
16          ▸     provides for a recommendation of annexation from a county legislative body; and
17          ▸     makes technical and conforming changes.
18     Money Appropriated in this Bill:
19          None
20     Other Special Clauses:
21          None
22     Utah Code Sections Affected:
23     AMENDS:
24          10-2-402, as last amended by Laws of Utah 2015, Chapters 352 and 462
25          10-2-418, as last amended by Laws of Utah 2015, Chapter 352
26          10-2a-402, as enacted by Laws of Utah 2015, Chapter 352
27     

28     Be it enacted by the Legislature of the state of Utah:
29          Section 1. Section 10-2-402 is amended to read:
30          10-2-402. Annexation -- Limitations.
31          (1) (a) A contiguous, unincorporated area that is contiguous to a municipality may be
32     annexed to the municipality as provided in this part.
33          (b) An unincorporated area may not be annexed to a municipality unless:
34          (i) it is a contiguous area;
35          (ii) it is contiguous to the municipality;
36          (iii) annexation will not leave or create an unincorporated island or unincorporated
37     peninsula:
38          (A) except as provided in Subsection [10-2-418(2)(b);] 10-2-418(3); or
39          (B) unless the county and municipality have otherwise agreed; and
40          (iv) for an area located in a specified county with respect to an annexation that occurs
41     after December 31, 2002, the area is within the proposed annexing municipality's expansion
42     area.
43          (2) Except as provided in Section 10-2-418, a municipality may not annex an
44     unincorporated area unless a petition under Section 10-2-403 is filed requesting annexation.
45          (3) (a) An annexation under this part may not include part of a parcel of real property
46     and exclude part of that same parcel unless the owner of that parcel has signed the annexation
47     petition under Section 10-2-403.
48          (b) A piece of real property that has more than one parcel number is considered to be a
49     single parcel for purposes of Subsection (3)(a) if owned by the same owner.
50          (4) A municipality may not annex an unincorporated area in a specified county for the
51     sole purpose of acquiring municipal revenue or to retard the capacity of another municipality to
52     annex the same or a related area unless the municipality has the ability and intent to benefit the
53     annexed area by providing municipal services to the annexed area.
54          (5) The legislative body of a specified county may not approve urban development
55     within a municipality's expansion area unless:
56          (a) the county notifies the municipality of the proposed development; and
57          (b) (i) the municipality consents in writing to the development; or
58          (ii) (A) within 90 days after the county's notification of the proposed development, the
59     municipality submits to the county a written objection to the county's approval of the proposed
60     development; and
61          (B) the county responds in writing to the municipality's objections.
62          (6) (a) An annexation petition may not be filed under this part proposing the annexation
63     of an area located in a county that is not the county in which the proposed annexing
64     municipality is located unless the legislative body of the county in which the area is located has
65     adopted a resolution approving the proposed annexation.
66          (b) Each county legislative body that declines to adopt a resolution approving a
67     proposed annexation described in Subsection (6)(a) shall provide a written explanation of its
68     reasons for declining to approve the proposed annexation.
69          (7) (a) As used in this Subsection (7), "airport" means an area that the Federal Aviation
70     Administration has, by a record of decision, approved for the construction or operation of a
71     Class I, II, or III commercial service airport, as designated by the Federal Aviation
72     Administration in 14 C.F.R. Part 139.
73          (b) A municipality may not annex an unincorporated area within 5,000 feet of the center
74     line of any runway of an airport operated or to be constructed and operated by another
75     municipality unless the legislative body of the other municipality adopts a resolution consenting
76     to the annexation.
77          (c) A municipality that operates or intends to construct and operate an airport and does
78     not adopt a resolution consenting to the annexation of an area described in Subsection (7)(b)
79     may not deny an annexation petition proposing the annexation of that same area to that
80     municipality.
81          (8) (a) A municipality may not annex an unincorporated area located within a project
82     area described in a project area plan adopted by the military installation development authority
83     under Title 63H, Chapter 1, Military Installation Development Authority Act, without the
84     authority's approval.
85          (b) (i) Except as provided in Subsection (8)(b)(ii), the Military Installation Development
86     Authority may petition for annexation of a project area and contiguous surrounding land to a
87     municipality as if it was the sole private property owner of the project area and surrounding
88     land, if the area to be annexed is entirely contained within the boundaries of a military
89     installation.
90          (ii) Before petitioning for annexation under Subsection (8)(b)(i), the Military
91     Installation Development Authority shall provide the military installation with a copy of the
92     petition for annexation. The military installation may object to the petition for annexation
93     within 14 days of receipt of the copy of the annexation petition. If the military installation
94     objects under this Subsection (8)(b)(ii), the Military Installation Development Authority may
95     not petition for the annexation as if it was the sole private property owner.
96          (iii) If any portion of an area annexed under a petition for annexation filed by a Military
97     Installation Development Authority is located in a specified county:
98          (A) the annexation process shall follow the requirements for a specified county; and
99          (B) the provisions of Subsection 10-2-402(6) do not apply.
100          Section 2. Section 10-2-418 is amended to read:
101          10-2-418. Annexation of an island or peninsula without a petition -- Notice --
102     Hearing.
103          (1) [For] As used in Subsection (2)(b)(ii), for purposes of an annexation conducted in
104     accordance with this section of an area located within a county of the first class, "municipal-type
105     services" [for purposes of Subsection (2)(a)(ii)(B)] does not include a service provided by a
106     municipality pursuant to a contract that the municipality has with another political subdivision as
107     "political subdivision" is defined in Section 17B-1-102.
108          (2) [(a)] Notwithstanding Subsection 10-2-402(2), a municipality may annex an
109     unincorporated area under this section without an annexation petition if:
110          [(i) (A) ] (a) (i) the area to be annexed consists of one or more unincorporated islands
111     within or unincorporated peninsulas contiguous to the municipality;
112          [(B)] (ii) the majority of each island or peninsula consists of residential or commercial
113     development;
114          [(C)] (iii) the area proposed for annexation requires the delivery of municipal-type
115     services; and
116          [(D)] (iv) the municipality has provided most or all of the municipal-type services to the
117     area for more than one year;
118          [(ii) (A) ] (b) (i) the area to be annexed consists of one or more unincorporated islands
119     within or unincorporated peninsulas contiguous to the municipality, each of which has fewer
120     than 800 residents; and
121          [(B)] (ii) the municipality has provided one or more municipal-type services to the area
122     for at least one year; [or]
123          [(iii) (A) ] (c) (i) the area consists of:
124          [(I)] (A) an unincorporated island within or an unincorporated peninsula contiguous to
125     the municipality; and
126          [(II)] (B) for an area outside of the county of the first class proposed for annexation, no
127     more than 50 acres; and
128          [(B)] (ii) the county in which the area is located, subject to Subsection [(3)(b)] (4)(b),
129     and the municipality agree that the area should be included within the municipality[.]; or
130          (d) (i) the area to be annexed consists only of one or more unincorporated islands in a
131     county of the second class;
132          (ii) the area to be annexed is located in the expansion area of a municipality; and
133          (iii) the county legislative body in which the municipality is located provides notice to
134     each property owner within the area to be annexed that:
135          (A) the county legislative body will hold a public hearing, no less than 15 days after the
136     day on which the county legislative body provides the notice; and
137          (B) after the public hearing the county legislative body may make a recommendation of
138     annexation to the municipality whose expansion area includes the area to be annexed.
139          [(b)] (3) Notwithstanding Subsection 10-2-402(1)(b)(iii), a municipality may annex a
140     portion of an unincorporated island or unincorporated peninsula under this section, leaving
141     unincorporated the remainder of the unincorporated island or unincorporated peninsula, if:
142          [(i)] (a) in adopting the resolution under Subsection [(4)(a)(i),] (5)(a) the municipal
143     legislative body determines that not annexing the entire unincorporated island or unincorporated
144     peninsula is in the municipality's best interest; and
145          [(ii)] (b) for an annexation of one or more unincorporated islands under Subsection
146     [(2)(a)(ii)] (2)(b), the entire island of unincorporated area, of which a portion is being annexed,
147     complies with the requirement of Subsection [(2)(a)(ii)(A)] (2)(b)(i) relating to the number of
148     residents.
149          [(3)] (4) (a) This Subsection [(3)] (4) applies only to an annexation within a county of
150     the first class.
151          (b) A county of the first class shall agree to [the] an annexation if the majority of private
152     property owners within the area to be annexed [has indicated in writing, subject to Subsection
153     (3)(d), to the city or town recorder of the annexing city or town the private property owners'
154     consent to be annexed into the municipality.] give written consent to the annexation, in
155     accordance with Subsection (4)(d), to the recorder of the annexing municipality.
156          (c) For purposes of Subsection [(3)(b)] (4)(b), the majority of private property owners
157     is property owners who own:
158          (i) the majority of the total private land area within the area proposed for annexation;
159     and
160          (ii) private real property equal to at least one half the value of private real property
161     within the area proposed for annexation.
162          (d) [(i)] A property owner consenting to annexation shall indicate the property owner's
163     consent on a form which includes language in substantially the following form:
164          "Notice: If this written consent is used to proceed with an annexation of your property
165     in accordance with Utah Code Section 10-2-418, no public election is required by law to
166     approve the annexation. If you sign this consent and later decide you do not want to support
167     the annexation of your property, you may withdraw your signature by submitting a signed,
168     written withdrawal with the recorder or clerk of [name of annexing municipality]. If you choose
169     to withdraw your signature, you must do so no later than the close of the public hearing on the
170     annexation conducted in accordance with Utah Code Subsection [10-2-418(4)(a)(iv)]
171     10-2-418(4)(d).".
172          (e) A private property owner may withdraw the property owner's signature indicating
173     consent by submitting a signed, written withdrawal with the recorder or clerk no later than the
174     close of the public hearing held in accordance with Subsection [(4)(a)(iv)] (5)(d).
175          [(4) (a)] (5) The legislative body of each municipality intending to annex an area under
176     this section shall:
177          [(i)] (a) adopt a resolution indicating the municipal legislative body's intent to annex the
178     area, describing the area proposed to be annexed;
179          [(ii)] (b) publish notice:
180          [(A) (I)] (i) (A) at least once a week for three successive weeks in a newspaper of
181     general circulation within the municipality and the area proposed for annexation; or
182          [(II)] (B) if there is no newspaper of general circulation in the areas described in
183     Subsection [(4)(a)(ii)(A)] (5)(b)(i)(A), post at least one notice per 1,000 population in places
184     within those areas that are most likely to give notice to the residents of those areas; and
185          [(B)] (ii) on the Utah Public Notice Website created in Section 63F-1-701, for three
186     weeks;
187          [(iii)] (c) send written notice to:
188          (i) the board of each local district and special service district whose boundaries contain
189     some or all of the area proposed for annexation; and [to]
190          (ii) the legislative body of the county in which the area proposed for annexation is
191     located; and
192          [(iv)] (d) hold a public hearing on the proposed annexation no earlier than 30 days after
193     the adoption of the resolution under Subsection [(4)(a)(i)] (5)(a).
194          (6) The legislative body of the annexing municipality shall ensure that:
195          [(b) Each] (a) each notice under Subsections [(4)(a)(ii) and (iii) shall] (5)(b) and (c):
196          (i) [state] states that the municipal legislative body has adopted a resolution indicating
197     its intent to annex the area proposed for annexation;
198          (ii) [state] states the date, time, and place of the public hearing under Subsection
199     [(4)(a)(iv)] (5)(d);
200          (iii) [describe] describes the area proposed for annexation; and
201          (iv) except for an annexation that meets the property owner consent requirements of
202     Subsection [(5)(b), state] (7)(b) or the recommendation of annexation requirements of
203     Subsection (7)(c), states in conspicuous and plain terms that the municipal legislative body will
204     annex the area unless, at or before the public hearing under Subsection [(4)(a)(iv)] (5)(d),
205     written protests to the annexation are filed by the owners of private real property that:
206          (A) is located within the area proposed for annexation;
207          (B) covers a majority of the total private land area within the entire area proposed for
208     annexation; and
209          (C) is equal in value to at least 1/2 the value of all private real property within the entire
210     area proposed for annexation[.]; and
211          [(c) The] (b) the first publication of the notice required under Subsection [(4)(a)(ii)(A)
212     shall be] (5)(b)(i) occurs within 14 days of the municipal legislative body's adoption of a
213     resolution under Subsection [(4)(a)(i)] (5)(a).
214          [(5) (a) Upon] (7) (a) Except as provided in Subsections (7)(b)(i) and (7)(c)(i), upon
215     conclusion of the public hearing under Subsection [(4)(a)(iv)] (5)(d), the municipal legislative
216     body may adopt an ordinance approving the annexation of the area proposed for annexation
217     under this section unless, at or before the hearing, written protests to the annexation have been
218     filed with the [city recorder or town clerk, as the case may be,] recorder or clerk of the
219     municipality by the owners of private real property that:
220          (i) is located within the area proposed for annexation;
221          (ii) covers a majority of the total private land area within the entire area proposed for
222     annexation; and
223          (iii) is equal in value to at least 1/2 the value of all private real property within the entire
224     area proposed for annexation.
225          (b) (i) [Upon] Notwithstanding Subsection (7)(a), upon conclusion of the public hearing
226     under Subsection [(4)(a)(iv),] (5)(d) a municipality may adopt an ordinance approving the
227     annexation of the area proposed for annexation under this section without allowing or
228     considering protests under Subsection [(5)(a)] (7)(a) if the owners of at least 75% of the total
229     private land area within the entire area proposed for annexation, representing at least 75% of
230     the value of the private real property within the entire area proposed for annexation, have
231     consented in writing to the annexation.
232          (ii) Upon the effective date under Section 10-2-425 of an annexation approved by an
233     ordinance adopted under Subsection [(5)(b)(i)] (7)(b)(i), the area annexed [shall be] is
234     conclusively presumed to be validly annexed.
235          (c) (i) Notwithstanding Subsection (7)(a), upon conclusion of the public hearing under
236     Subsection (5)(d), a municipality may adopt an ordinance approving the annexation of an area
237     that the county legislative body proposes for annexation under this section without allowing or
238     considering protests under Subsection (7)(a) if the county legislative body has formally
239     recommended annexation to the annexing municipality and has made a formal finding that:
240          (A) the area to be annexed can be more efficiently served by the municipality than by
241     the county;
242          (B) the area to be annexed is not likely to be naturally annexed by the municipality in
243     the future as the result of urban development;
244          (C) annexation of the area is likely to facilitate the consolidation of overlapping
245     functions of local government; and
246          (D) annexation of the area is likely to result in an equitable distribution of community
247     resources and obligations.
248          (ii) The county legislative body may base the finding required in Subsection (7)(c)(i)(B)
249     on:
250          (A) existing development in the area;
251          (B) natural or other conditions that may limit the future development of the area; or
252          (C) other factors that the county legislative body considers relevant.
253          (iii) A county legislative body may make the recommendation for annexation required in
254     Subsection (7)(c)(i) for only a portion of an unincorporated island if, as a result of information
255     provided at the public hearing, the county legislative body makes a formal finding that it would
256     be equitable to leave a portion of the island unincorporated.
257          (iv) If a county legislative body has made a recommendation of annexation under
258     Subsection (7)(c)(i):
259          (A) the relevant municipality is not required to proceed with the recommended
260     annexation; and
261          (B) if the relevant municipality proceeds with annexation, the municipality shall annex
262     the entire area that the county legislative body recommended for annexation.
263          (v) Upon the effective date under Section 10-2-425 of an annexation approved by an
264     ordinance adopted under Subsection (7)(c)(i), the area annexed is conclusively presumed to be
265     validly annexed.
266          [(6) (a) If] (8) (a) Except as provided in Subsections (7)(b)(i) and (7)(c)(i), if protests
267     are timely filed that comply with Subsection [(5)] (7)(a), the municipal legislative body may not
268     adopt an ordinance approving the annexation of the area proposed for annexation, and the
269     annexation proceedings under this section shall be considered terminated.
270          (b) Subsection [(6)(a) may not be construed to] (8)(a) does not prohibit the municipal
271     legislative body from excluding from a proposed annexation under Subsection [(2)(a)(ii)] (2)(b)
272     the property within an unincorporated island regarding which protests have been filed and
273     proceeding under Subsection [(2)(b)] (3) to annex some or all of the remaining portion of the
274     unincorporated island.
275          Section 3. Section 10-2a-402 is amended to read:
276          10-2a-402. Application.
277          (1) The provisions of this part:
278          [(a) apply to the following located in a county of the first class:]
279          [(i)] (a) apply to a planning township that is:
280          (i) located in a county of the first class; and
281          (ii) established before January 1, 2015; and
282          [(ii) subject to Subsection (2), an unincorporated island located in a county of the first
283     class on or after May 12, 2015, and before November 4, 2015; and]
284          (b) do not apply to a planning advisory area, as defined in Section 17-27a-103, or any
285     other unincorporated area located outside of a county of the first or second class.
286          (2) (a) The provisions of Part 2, Incorporation of a City, and Part 3, Incorporation of a
287     Town, apply to an unincorporated area described in Subsection (1) for an incorporation as a city
288     after November 3, 2015.
289          (b) The provisions of Chapter 2, Part 4, Annexation[:] apply to an unincorporated
290     island that is not annexed at an election under this part for purposes of annexation on or after
291     November 4, 2015.
292          [(i) do not apply to an unincorporated island for purposes of annexation before
293     November 4, 2015, unless:]
294          [(A) otherwise indicated; or]
295          [(B) before July 1, 2015, an annexation petition is filed in accordance with Section
296     10-2-403 or an intent to annex resolution is adopted in accordance with Subsection
297     10-2-418(2)(a)(i); and]
298          [(ii) apply to an unincorporated island that is not annexed at an election under this part
299     for purposes of annexation on or after November 4, 2015.]