Section 1. Section 17B-1-302 is amended to read:17B-1-302. Board member qualifications -- Number of board members.(1)Except as provided in Section 17B-2a-905, each member of a special district board of trustees shall be:(a)a registered voter at the location of the member's residence; and(b)except as otherwise provided in Subsection (2), (3), or (4), a resident within:(i)the boundaries of the special district; and(ii)if applicable, the boundaries of the division of the special district from which the member is elected or appointed.(2)(a)As used in this Subsection (2):(i)"Proportional number" means the number of members of a board of trustees that bears, as close as mathematically possible, the same proportion to all members of the board that the number of seasonally occupied homes bears to all residences within the district that receive service from the district.(ii)"Seasonally occupied home" means a single-family residence:(A)that is located within the special district;(B)that receives service from the special district; and(C)whose owner occupies the residence on a temporary or seasonal basis, rather than as the principal place of residence as defined in Section 20A-2-105.(b)If over 50% of the residences within a special district that receive service from the special district are seasonally occupied homes, the requirement under Subsection (1)(b) is replaced, for a proportional number of members of the board of trustees, with the requirement that the member be an owner of land, or an agent or officer of the owner of land:(i)that receives, or intends to receive, service from the district; and(ii)that is located within the special district and, if applicable, the division from which the member is elected.(3)(a)Subsection (3)(b) applies to a board of trustees member in:(i)a basic special district;(ii)any other type of special district that is located solely within a county of the fourth, fifth, or sixth class, that has within the district's boundaries fewer than one residential dwelling unit per 10 acres of land; or(iii)an infrastructure financing district.(b)For a board of trustees member in a special district listed in Subsection (3)(a), the board of trustees may replace the requirement under Subsection (1)(b) with the requirement that the member be:(i)a resident within the boundaries of the special district; or(ii)an owner of land, or an agent or officer of the owner of land, that:(A)is located within the special district ; and(B)receives, or is expected to receive, service from the district.(4)A board member of an infrastructure financing district is not required to be a resident within the boundary of the infrastructure financing district if:(a)all owners of surface property within the district waive the residency requirement;(b)the district boundary does not include any residents; or(c)(i)in the case of an appointed board position, no qualified individual timely files to be considered for appointment to the board; or(ii)in the case of an elected board position, no qualified individual files a declaration of candidacy for the board position under Subsection 17B-1-306(5).(5)A member of the board of trustees of a service area described in Subsection 17B-2a-905(2)(a) or (3)(a), who is an elected official of the county appointing the individual, is not subject to the requirements described in Subsection (1)(b) if the elected official was elected at large by the voters of the county.(6)Notwithstanding Subsection (1)(b) and except as provided in Subsection (7), the county legislative body may appoint to the special district board one of the county legislative body's own members, regardless of whether the member resides within the boundaries described in Subsection (1)(b), if:(a)the county legislative body satisfies the procedures to fill a vacancy described in:(i)for the appointment of a new board member, Subsections 17B-1-304(2) and (3)17B-1-304(3) and (4); or(ii)for an appointment to fill a midterm vacancy, Subsection 20A-1-512(1)(a)(ii) or Subsection 20A-1-512(2);(b)fewer qualified candidates timely file to be considered for appointment to the special district board than are necessary to fill the board;(c)the county legislative body appoints each of the qualified candidates who timely filed to be considered for appointment to the board; and(d)the county legislative body appoints a member of the body to the special district board, in accordance with Subsection 17B-1-304(6)17B-1-304(8) or Subsection 20A-1-512(1)(c), who was:(i)elected at large by the voters of the county;(ii)elected from a division of the county that includes more than 50% of the geographic area of the special district; or(iii)if the special district is divided into divisions under Section 17B-1-306.5, elected from a division of the county that includes more than 50% of the geographic area of the division of the special district in which there is a board vacancy.(7)If it is necessary to reconstitute the board of trustees of a special district located solely within a county of the fourth, fifth, or sixth class because the term of a majority of the members of the board has expired without new trustees having been elected or appointed as required by law, even if sufficient qualified candidates timely file to be considered for a vacancy on the board, the county legislative body may appoint to the special district board no more than one of the county legislative body's own members who does not satisfy the requirements of Subsection (1).(8)(a)Except as otherwise provided by statute, the number of members of each board of trustees of a special district that has nine or fewer members shall have an odd number of members that is no fewer than three.(b)If a board of trustees of a special district has more than nine members, the number of members may be odd or even.(9)For a newly created special district, the number of members of the initial board of trustees shall be the number specified:(a)for a special district whose creation was initiated by a petition under Subsection 17B-1-203(1)(a), (b), (c), or (d), in the petition; or(b)for a special district whose creation was initiated by a resolution under Subsection 17B-1-203(1)(e) or (f), in the resolution.(10)(a)For an existing special district, the number of members of the board of trustees may be changed by a two-thirds vote of the board of trustees.(b)No change in the number of members of a board of trustees under Subsection (10)(a) may:(i)violate Subsection (8); or(ii)serve to shorten the term of any member of the board.

Section 2. Section 17B-1-304 is amended to read:17B-1-304. Appointment procedures for appointed members -- Notice of vacancy.(1)As used in this section:(a)"Alternative board member" means an individual selected by an appointing authority:(i)to serve on a special district board only with respect to considering and voting upon a proposed increased assessment; and(ii)who is an elected official.(b)"Elected official" means an individual who holds an office that is subject to election at the state or local level.(c)"Proposed increased assessment" means a proposal before a special district board that:(i)would have the effect of raising assessments, fees, or taxes on a person within the boundary of the special district; and(ii)requires a vote of the board of trustees to go into effect.(2)The appointing authority may, by resolution, appoint persons to serve as members of a special district board by following the procedures established by this section.(2)(3)(a)In any calendar year when appointment of a new special district board member is required, the appointing authority shall prepare a notice of vacancy that contains:(i)the positions that are vacant that shall be filled by appointment;(ii)the qualifications required to be appointed to those positions;(iii)the procedures for appointment that the governing body will follow in making those appointments; and(iv)the person to be contacted and any deadlines that a person shall meet who wishes to be considered for appointment to those positions.(b)The appointing authority shall publish the notice of vacancy for the special district, as a class A notice under Section 63G-30-102, for at least one month before the deadline for accepting nominees for appointment.(c)The appointing authority may bill the special district for the cost of preparing, printing, and publishing the notice.(3)(4)(a)After the appointing authority is notified of a vacancy and has satisfied the requirements described in Subsection (2)(3), the appointing authority shall select a person to fill the vacancy from the applicants who meet the qualifications established by law.(b)The appointing authority shall:(i)comply with Title 52, Chapter 4, Open and Public Meetings Act, in making the appointment;(ii)allow any interested persons to be heard; and(iii)adopt a resolution appointing a person to the special district board.(c)If no candidate for appointment to fill the vacancy receives a majority vote of the appointing authority, the appointing authority shall select the appointee from the two top candidates by lot.(4)(5)(a)If an appointing authority selects an individual to serve as a member of a special district board and the individual is not an elected official, or the individual was an elected official at the time of the appointment but ceases to be an elected official during the individual's term on the board:(i)the individual may not vote on a proposed increased assessment; and(ii)the appointing authority shall appoint an alternative board member who may vote on a proposed increased assessment.(b)An alternative board member is only required to serve on the board when the board is considering or voting upon a proposed increased assessment.(6)Persons appointed to serve as members of the special district board serve four-year terms, but may be removed for cause at any time after a hearing by two-thirds vote of the appointing body.(5)(7)(a)At the end of each board member's term, the position is considered vacant, and, after following the appointment procedures established in this section, the appointing authority may either reappoint the incumbent board member or appoint a new member.(b)Notwithstanding Subsection (5)(a)(7)(a), a board member may continue to serve until a successor is elected or appointed and qualified in accordance with Subsection 17B-1-303(2)(b).(6)(8)Notwithstanding any other provision of this section, if the appointing authority appoints one of itsthe appointing authority's own members and that member meets all applicable statutory board member qualifications, the appointing authority need not comply with Subsection (2) or (3).(3), (4), or (5).(7)(9)(a)This section does not apply to the appointment of a member of a public infrastructure district board.(b)Section 17D-4-202 governs the appointment process for a member of the board of a public infrastructure district.

Section 3. Effective Date.This bill takes effect on May 6, 2026.