S.B. 168 Enrolled

CERTAIN MUNICIPAL SERVICES IN FIRST CLASS COUNTIES
2001 GENERAL SESSION
STATE OF UTAH
Sponsor: Leonard M. Blackham
This act modifies provisions relating to Counties and to Revenue and Taxation to require
counties of the first class to provide detective investigative services in their unincorporated
area. The act requires those counties to decrease their countywide tax levy by a specified
amount. The act authorizes cities and towns located within those counties to increase their
tax levy to generate within the city or town the same amount of revenue as the county would
have collected from within the city or town. The act modifies notice and hearing
requirements for cities and towns that increase their levy and expands an exemption from
notice and hearing requirements for cities and towns that increase their tax rate to offset a
countywide reduction relating to advanced life support and paramedic services. The act also
makes technical changes.
This act affects sections of Utah Code Annotated 1953 as follows:
AMENDS:
17-34-1, as repealed and reenacted by Chapter 199, Laws of Utah 2000
17-34-3, as last amended by Chapter 199, Laws of Utah 2000
59-2-924, as last amended by Chapters 22, 61, 141 and 199, Laws of Utah 2000
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 17-34-1 is amended to read:
17-34-1. Counties may provide municipal services -- First class counties required to
provide paramedic and detective investigative services.
(1) For purposes of this chapter, "municipal-type services" means:
(a) fire protection service;
(b) waste and garbage collection and disposal;
(c) planning and zoning;
(d) street lighting;
(e) in a county of the first class[,]:

(i) advanced life support and paramedic services; and
(ii) detective investigative services; and
(f) all other services and functions that are required by law to be budgeted, appropriated, and
accounted for from a municipal services fund or a municipal capital projects fund as defined under
Chapter 36, Uniform Fiscal Procedures Act for Counties.
(2) A county may:
(a) provide municipal-type services to areas of the county outside the limits of cities and
towns without providing the same services to cities or towns;
(b) fund those services by:
(i) levying a tax on taxable property in the county outside the limits of cities and towns; or
(ii) charging a service charge or fee to persons benefitting from the municipal-type services.
(3) Each county of the first class shall provide [advanced life support and paramedic
services] to the area of the county outside the limits of cities and towns[.]:
(a) advanced life support and paramedic services; and
(b) detective investigative services.
Section 2. Section 17-34-3 is amended to read:
17-34-3. Taxes or service charges.
(1) (a) If a county furnishes the municipal-type services and functions described in Section
17-34-1 to areas of the county outside the limits of incorporated cities or towns, the entire cost of the
services or functions so furnished shall be defrayed from funds that the county has derived from
[either]:
(i) taxes [which] that the county may lawfully levy or impose outside the limits of
incorporated towns or cities;
(ii) service charges or fees the county may impose upon the persons benefited in any way
by the services or functions; or
(iii) a combination of these sources.
(b) As the taxes or service charges or fees are levied and collected, they shall be placed in
a special revenue fund of the county and shall be disbursed only for the rendering of the services or

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functions established in Section 17-34-1 within the unincorporated areas of the county.
(2) For the purpose of levying taxes, service charges, or fees provided in this section, the
county legislative body may establish a district or districts in the unincorporated areas of the county.
(3) Nothing contained in this chapter may be construed to authorize counties to impose or
levy taxes not otherwise allowed by law.
(4) (a) A county required under Subsection 17-34-1 (3) to provide advanced life support and
paramedic services to the unincorporated area of the county and that previously paid for those
services through a countywide levy may increase its levy under Subsection (1)(a)(i) to generate in
the unincorporated area of the county the same amount of revenue as the county loses from that area
due to the required decrease in the countywide certified tax rate under Subsection
59-2-924 (2)[(h)](k)(i).
(b) An increase in tax rate under Subsection (4)(a) is exempt from the notice and hearing
requirements of Sections 59-2-918 and 59-2-919 .
Section 3. Section 59-2-924 is amended to read:
59-2-924. Report of valuation of property to county auditor and commission --
Transmittal by auditor to governing bodies -- Certified tax rate -- Adoption of tentative
budget.
(1) (a) Before June 1 of each year, the county assessor of each county shall deliver to the
county auditor and the commission the following statements:
(i) a statement containing the aggregate valuation of all taxable property in each taxing
entity; and
(ii) a statement containing the taxable value of any additional personal property estimated
by the county assessor to be subject to taxation in the current year.
(b) The county auditor shall, on or before June 8, transmit to the governing body of each
taxing entity:
(i) the statements described in Subsections (1)(a)(i) and (ii);
(ii) an estimate of the revenue from personal property;
(iii) the certified tax rate; and

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(iv) all forms necessary to submit a tax levy request.
(2) (a) (i) The "certified tax rate" means a tax rate that will provide the same ad valorem
property tax revenues for a taxing entity as were collected by that taxing entity for the prior year.
(ii) For purposes of this Subsection (2), "ad valorem property tax revenues" do not include:
(A) collections from redemptions;
(B) interest; and
(C) penalties.
(iii) Except as provided in Subsection (2)(a)(iv), the certified tax rate shall be calculated by
dividing the ad valorem property tax revenues collected for the prior year by the taxing entity by the
taxable value established in accordance with Section 59-2-913 .
(iv) The certified tax rates for the taxing entities described in this Subsection (2)(a)(iv) shall
be calculated as follows:
(A) except as provided in Subsection (2)(a)(iv)(B), for new taxing entities the certified tax
rate is zero;
(B) for each municipality incorporated on or after July 1, 1996, the certified tax rate is:
(I) in a county of the first, second, or third class, the levy imposed for municipal-type
services under Sections 17-34-1 and 17-36-9 ; and
(II) in a county of the fourth, fifth, or sixth class, the levy imposed for general county
purposes and such other levies imposed solely for the municipal-type services identified in Section
17-34-1 and Subsection 17-36-3 (22);
(C) for debt service voted on by the public, the certified tax rate shall be the actual levy
imposed by that section, except that the certified tax rates for the following levies shall be calculated
in accordance with Section 59-2-913 and this section:
(I) school leeways provided for under Sections 11-2-7 , 53A-16-110 , 53A-17a-125 ,
53A-17a-127 , 53A-17a-134 , 53A-17a-143 , 53A-17a-145 , and 53A-21-103 ; and
(II) levies to pay for the costs of state legislative mandates or judicial or administrative
orders under Section 59-2-906.3 .
(v) (A) A judgment levy imposed under Section 59-2-1328 or Section 59-2-1330 shall be

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established at that rate which is sufficient to generate only the revenue required to satisfy one or
more eligible judgments, as defined in Section 59-2-102 .
(B) The ad valorem property tax revenue generated by the judgment levy shall not be
considered in establishing the taxing entity's aggregate certified tax rate.
(b) (i) For the purpose of calculating the certified tax rate, the county auditor shall use the
taxable value of property on the assessment roll.
(ii) For purposes of Subsection (2)(b)(i), the taxable value of property on the assessment roll
does not include new growth as defined in Subsection (2)(b)(iii).
(iii) "New growth" means:
(A) the difference between the increase in taxable value of the taxing entity from the
previous calendar year to the current year; minus
(B) the amount of an increase in taxable value described in Subsection (2)(b)(iv).
(iv) Subsection (2)(b)(iii)(B) applies to the following increases in taxable value:
(A) the amount of increase to locally assessed real property taxable values resulting from
factoring, reappraisal, or any other adjustments; or
(B) the amount of an increase in the taxable value of property assessed by the commission
under Section 59-2-201 resulting from a change in the method of apportioning the taxable value
prescribed by:
(I) the Legislature;
(II) a court;
(III) the commission in an administrative rule; or
(IV) the commission in an administrative order.
(c) Beginning January 1, 1997, if a taxing entity receives increased revenues from uniform
fees on tangible personal property under Section 59-2-404 , 59-2-405 , or 59-2-405.1 as a result of any
county imposing a sales and use tax under Chapter 12, Part 11, County Option Sales and Use Tax,
the taxing entity shall decrease its certified tax rate to offset the increased revenues.
(d) (i) Beginning July 1, 1997, if a county has imposed a sales and use tax under Chapter 12,
Part 11, County Option Sales and Use Tax, the county's certified tax rate shall be:

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(A) decreased on a one-time basis by the amount of the estimated sales tax revenue to be
distributed to the county under Subsection 59-12-1102 (3); and
(B) increased by the amount necessary to offset the county's reduction in revenue from
uniform fees on tangible personal property under Section 59-2-404 , 59-2-405 , or 59-2-405.1 as a
result of the decrease in the certified tax rate under Subsection (2)(d)(i)(A).
(ii) The commission shall determine estimates of sales tax distributions for purposes of
Subsection (2)(d)(i).
(e) Beginning January 1, 1998, if a municipality has imposed an additional resort
communities sales tax under Section 59-12-402 , the municipality's certified tax rate shall be
decreased on a one-time basis by the amount necessary to offset the first 12 months of estimated
revenue from the additional resort communities sales tax imposed under Section 59-12-402 .
(f) For the calendar year beginning on January 1, 1999, and ending on December 31, 1999,
a taxing entity's certified tax rate shall be adjusted by the amount necessary to offset the adjustment
in revenues from uniform fees on tangible personal property under Section 59-2-405.1 as a result of
the adjustment in uniform fees on tangible personal property under Section 59-2-405.1 enacted by
the Legislature during the 1998 Annual General Session.
(g) For purposes of Subsections (2)(h) through (j):
(i) "1998 actual collections" means the amount of revenues a taxing entity actually collected
for the calendar year beginning on January 1, 1998, under Section 59-2-405 for:
(A) motor vehicles required to be registered with the state that weigh 12,000 pounds or less;
and
(B) state-assessed commercial vehicles required to be registered with the state that weigh
12,000 pounds or less.
(ii) "1999 actual collections" means the amount of revenues a taxing entity actually collected
for the calendar year beginning on January 1, 1999, under Section 59-2-405.1 .
(h) For the calendar year beginning on January 1, 2000, the commission shall make the
following adjustments:
(i) the commission shall make the adjustment described in Subsection (2)(i)(i) if, for the

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calendar year beginning on January 1, 1999, a taxing entity's 1998 actual collections were greater
than the sum of:
(A) the taxing entity's 1999 actual collections; and
(B) any adjustments the commission made under Subsection (2)(f);
(ii) the commission shall make the adjustment described in Subsection (2)(i)(ii) if, for the
calendar year beginning on January 1, 1999, a taxing entity's 1998 actual collections were greater
than the taxing entity's 1999 actual collections, but the taxing entity's 1998 actual collections were
less than the sum of:
(A) the taxing entity's 1999 actual collections; and
(B) any adjustments the commission made under Subsection (2)(f); and
(iii) the commission shall make the adjustment described in Subsection (2)(i)(iii) if, for the
calendar year beginning on January 1, 1999, a taxing entity's 1998 actual collections were less than
the taxing entity's 1999 actual collections.
(i) (i) For purposes of Subsection (2)(h)(i), the commission shall increase a taxing entity's
certified tax rate under this section and a taxing entity's certified revenue levy under Section
59-2-906.1 by the amount necessary to offset the difference between:
(A) the taxing entity's 1998 actual collections; and
(B) the sum of:
(I) the taxing entity's 1999 actual collections; and
(II) any adjustments the commission made under Subsection (2)(f).
(ii) For purposes of Subsection (2)(h)(ii), the commission shall decrease a taxing entity's
certified tax rate under this section and a taxing entity's certified revenue levy under Section
59-2-906.1 by the amount necessary to offset the difference between:
(A) the sum of:
(I) the taxing entity's 1999 actual collections; and
(II) any adjustments the commission made under Subsection (2)(f); and
(B) the taxing entity's 1998 actual collections.
(iii) For purposes of Subsection (2)(h)(iii), the commission shall decrease a taxing entity's

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certified tax rate under this section and a taxing entity's certified revenue levy under Section
59-2-906.1 by the amount of any adjustments the commission made under Subsection (2)(f).
(j) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, for
purposes of Subsections (2)(f) through (i), the commission may make rules establishing the method
for determining a taxing entity's 1998 actual collections and 1999 actual collections.
(k) (i) (A) For fiscal year 2000, the certified tax rate of each county [to which] required
under Subsection [ 17-34-3 (4)(a) applies] 17-34-1 (3)(a) to provide advanced life support and
paramedic services to the unincorporated area of the county shall be decreased by the amount
necessary to reduce revenues in that fiscal year by an amount equal to the difference between the
amount the county budgeted in its 2000 fiscal year budget for advanced life support and paramedic
services countywide and the amount the county spent during fiscal year 2000 for those services,
excluding amounts spent from a municipal services fund for those services.
(B) For fiscal year 2001, the certified tax rate of each county to which Subsection
[ 17-34-3 (4)(a)] (2)(k)(i)(A) applies shall be decreased by the amount necessary to reduce revenues
in that fiscal year by the amount that the county spent during fiscal year 2000 for advanced life
support and paramedic services countywide, excluding amounts spent from a municipal services
fund for those services.
(ii) (A) [For fiscal year 2001, a] A city or town located within a county of the first class to
which Subsection [ 17-34-3 (4)(a)] (2)(k)(i) applies may increase its certified tax rate by the amount
necessary to generate within the city or town the same amount of revenues as the county would
collect from that city or town if the decrease under Subsection (2)(k)(i) did not occur.
(B) An increase under Subsection (2)(k)(ii)(A), whether occurring in a single fiscal year or
spread over multiple fiscal years, is not subject to the notice and hearing requirements of Sections
59-2-918 and 59-2-919 .
(l) (i) The certified tax rate of each county required under Subsection 17-34-1 (3)(b) to
provide detective investigative services to the unincorporated area of the county shall be decreased:
(A) in fiscal year 2001 by the amount necessary to reduce revenues in that fiscal year by at
least $4,400,000; and

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(B) in fiscal year 2002 by the amount necessary to reduce revenues in that fiscal year by an
amount equal to the difference between $9,258,412 and the amount of the reduction in revenues
under Subsection (2)(l)(i)(A).
(ii) (A) (I) Beginning with municipal fiscal year 2002, a city or town located within a county
to which Subsection (2)(l)(i) applies may increase its certified tax rate to generate within the city or
town the same amount of revenue as the county would have collected during county fiscal year 2001
from within the city or town except for Subsection (2)(l)(i)(A).
(II) Beginning with municipal fiscal year 2003, a city or town located within a county to
which Subsection (2)(l)(i) applies may increase its certified tax rate to generate within the city or
town the same amount of revenue as the county would have collected during county fiscal year 2002
from within the city or town except for Subsection (2)(l)(i)(B).
(B) (I) Except as provided in Subsection (2)(l)(ii)(B)(II), an increase in the city or town's
certified tax rate under Subsection (2)(l)(ii)(A), whether occurring in a single fiscal year or spread
over multiple fiscal years, is subject to the notice and hearing requirements of Sections 59-2-918 and
59-2-919 .
(II) For an increase under this Subsection (2)(l)(ii) that generates revenue that does not
exceed the same amount of revenue as the county would have collected except for Subsection
(2)(l)(i), the requirements of Sections 59-2-918 and 59-2-919 do not apply if the city or town:
(aa) publishes a notice that meets the size, type, placement, and frequency requirements of
Section 59-2-919 , reflects that the increase is a shift of a tax from one imposed by the county to one
imposed by the city or town, and explains how the revenues from the tax increase will be used; and
(bb) holds a public hearing on the tax shift that may be held in conjunction with the city or
town's regular budget hearing.
(3) (a) On or before June 22, each taxing entity shall annually adopt a tentative budget.
(b) If the taxing entity intends to exceed the certified tax rate, it shall notify the county
auditor of:
(i) its intent to exceed the certified tax rate; and
(ii) the amount by which it proposes to exceed the certified tax rate.

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(c) The county auditor shall notify all property owners of any intent to exceed the certified
tax rate in accordance with Subsection 59-2-919 (2).
(4) (a) The taxable value for the base year under Subsection 17A-2-1247 (2)(a) or
17A-2-1202 (2), as the case may be, shall be reduced for any year to the extent necessary to provide
a redevelopment agency established under Title 17A, Chapter 2, Part 12, Utah Neighborhood
Development Act, with approximately the same amount of money the agency would have received
without a reduction in the county's certified tax rate if:
(i) in that year there is a decrease in the certified tax rate under Subsection (2)(c) or (2)(d)(i);
(ii) the amount of the decrease is more than 20% of the county's certified tax rate of the
previous year; and
(iii) the decrease results in a reduction of the amount to be paid to the agency under Section
17A-2-1247 or 17A-2-1247.5 .
(b) The taxable value of the base year under Subsection 17A-2-1247 (2)(a) or 17A-2-1202 (2),
as the case may be, shall be increased in any year to the extent necessary to provide a redevelopment
agency with approximately the same amount of money as the agency would have received without
an increase in the certified tax rate that year if:
(i) in that year the taxable value for the base year under Subsection 17A-2-1247 (2) or
17A-2-1202 (2) is reduced due to a decrease in the certified tax rate under Subsection (2)(c) or
(2)(d)(i); and
(ii) The certified tax rate of a city, school district, or special district increases independent
of the adjustment to the taxable value of the base year.
(c) Notwithstanding a decrease in the certified tax rate under Subsection (2)(c) or (2)(d)(i),
the amount of money allocated and, when collected, paid each year to a redevelopment agency
established under Title 17A, Chapter 2, Part 12, Utah Neighborhood Development Act, for the
payment of bonds or other contract indebtedness, but not for administrative costs, may not be less
than that amount would have been without a decrease in the certified tax rate under Subsection (2)(c)
or (2)(d)(i).

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