S.B. 191

1

POLITICAL SUBDIVISIONS - TRUTH IN
2 GOVERNMENT COMPETITION
3 2005 GENERAL SESSION
4 STATE OF UTAH
5 Sponsor: Ron Allen
6
7 LONG TITLE
8 General Description:
9 This bill enacts provisions relating to certain political subdivisions that propose to
10 provide new services or new facilities.
11 Highlighted Provisions:
12 This bill:
13 . requires counties, municipalities, and special districts to advertise their intent to
14 provide a new service or new facility;
15 . requires counties, municipalities, and special districts proposing to provide a new
16 service or new facility to hold a public hearing allowing the public to comment on
17 whether the proposed new service or new facility would compete with existing local
18 businesses; and
19 . provides definitions.
20 Monies Appropriated in this Bill:
21 None
22 Other Special Clauses:
23 None
24 Utah Code Sections Affected:
25 ENACTS:
26 10-1-119, Utah Code Annotated 1953
27 17-15-28, Utah Code Annotated 1953

28 17A-1-104, Utah Code Annotated 1953
29
30 Be it enacted by the Legislature of the state of Utah:
31 Section 1. Section 10-1-119 is enacted to read:
32 10-1-119. Advertisement of proposed new service or new facility -- Hearing.
33 (1) As used in this section:
34 (a) "New facility" means the construction, acquisition, lease, or operation of any
35 building, structure, or other improvement on real property:
36 (i) (A) that the municipality has not constructed, acquired, leased, or operated before
37 May 2, 2005; or
38 (B) for which the municipality has not expended monies before May 2, 2005, including
39 monies for the planning of the facility; and
40 (ii) that is not directly related to a facility:
41 (A) that the municipality constructed, acquired, leased, or operated before May 2,
42 2005; or
43 (B) for which the municipality has expended monies before May 2, 2005.
44 (b) "New service" means the provision of a service:
45 (i) (A) that the municipality has not provided before May 2, 2005; or
46 (B) for which the municipality has not expended monies before May 2, 2005, including
47 monies for the planning of the service; and
48 (ii) that is not directly related to a service:
49 (A) that the municipality provided before May 2, 2005; or
50 (B) for which the municipality has expended monies before May 2, 2005.
51 (2) (a) The legislative body of a municipality shall meet the advertisement
52 requirements of Subsection (3) and the hearing requirements of Subsection (4) before the
53 legislative body may approve the expenditure of monies for a new service or new facility.
54 (b) Notwithstanding Subsection (2)(a), the legislative body of a municipality is not
55 required to meet the advertisement and hearing requirements of this section if the municipality
56 collected less than $15,000 in ad valorem tax revenues for the previous fiscal year.
57 (3) (a) The municipality shall advertise its intent to provide a new service or new
58 facility in a newspaper or combination of newspapers of general circulation in the municipality.

59 (b) The meeting on the proposed new service or new facility may coincide with the
60 hearing on the proposed budget of the municipality.
61 (c) It is legislative intent that, whenever possible, the advertisement appear in a
62 newspaper that is published at least one day per week.
63 (d) It is further the intent of the Legislature that the newspaper or combination of
64 newspapers selected be of general interest and readership in the municipality, and not of
65 limited subject matter.
66 (e) The advertisement shall be run once each week for the two weeks preceding the
67 date of approval of the expenditure of monies.
68 (f) The advertisement may not be placed in that portion of the newspaper where legal
69 notices and classified advertisements appear.
70 (g) The advertisement shall state that the municipality will meet on a certain day, time,
71 and place fixed in the advertisement, which shall be not less than seven days after the day the
72 first advertisement is published, for the purpose of hearing comments regarding any proposed
73 new service or new facility and to explain the reasons for the proposed new service or new
74 facility.
75 (h) The advertisement shall be no less than 1/4 page in size and the type used shall be
76 no smaller than 18 point, and surrounded by a 1/4-inch border.
77 (i) The form and content of the advertisement shall be substantially as follows:
78 "NOTICE OF PROPOSED ('NEW SERVICE' or 'NEW FACILITY')
79 The (name of the municipality) is proposing to provide a ('new service' or 'new
80 facility').
81 The proposed ('new service' or 'new facility') would (describe the new service or new
82 facility).
83 The purpose of the ('new service' or 'new facility') is (state the reasons for the new
84 service or new facility).
85 The proposed ('new service' or 'new facility') is projected to cost (state the projected
86 cost of the new service or new facility).
87 All concerned citizens are invited to a public hearing on the proposed ('new service' or
88 'new facility') to be held on (date and time) at (meeting place)."
89 (4) (a) The legislative body of a municipality proposing a new service or new facility

90 shall hold a public hearing to receive public comment on whether the proposed new service or
91 new facility would compete with existing local business.
92 (b) A quorum of the legislative body of the municipality holding a public hearing shall
93 be present throughout each hearing held by that municipal legislative body.
94 (c) All hearings shall be open to the public.
95 (d) Each hearing shall be held on a weekday evening other than a holiday beginning no
96 earlier than 6 p.m.
97 (e) The legislative body of a municipality conducting a hearing shall permit all
98 interested parties desiring to be heard an opportunity to present oral testimony within
99 reasonable time limits.
100 (5) (a) The legislative body of a municipality, after meeting the advertisement
101 requirements of Subsection (3) and holding a hearing as required in Subsection (4), may
102 approve the expenditure of monies for the new service or new facility.
103 (b) (i) If the expenditure of monies for the new service or new facility is not approved
104 on the day of the public hearing, the scheduled time and place for consideration and approval
105 shall be announced at the public hearing.
106 (ii) If an approval is to be considered at a day and time that is more than two weeks
107 after the public hearing under Subsection (4), the municipality shall advertise the date of the
108 proposed approval in the same manner as provided under Subsection (3).
109 Section 2. Section 17-15-28 is enacted to read:
110 17-15-28. Advertisement of proposed new service or new facility -- Hearing
111 (1) As used in this section:
112 (a) "New facility" means the construction, acquisition, lease, or operation of any
113 building, structure, or other improvement on real property:
114 (i) (A) that the county has not constructed, acquired, leased, or operated before May 2,
115 2005; or
116 (B) for which the county has not expended monies before May 2, 2005, including
117 monies for the planning of the facility; and
118 (ii) that is not directly related to a facility:
119 (A) that the county constructed, acquired, leased, or operated before May 2, 2005; or
120 (B) for which the county has expended monies before May 2, 2005.

121 (b) "New service" means the provision of a service:
122 (i) (A) that the county has not provided before May 2, 2005; or
123 (B) for which the county has not expended monies before May 2, 2005, including
124 monies for the planning of the service; and
125 (ii) that is not directly related to a service:
126 (A) that the county provided before May 2, 2005; or
127 (B) for which the county has expended monies before May 2, 2005.
128 (2) (a) The legislative body of a county shall meet the advertisement requirements of
129 Subsection (3) and the hearing requirements of Subsection (4) before the legislative body may
130 approve the expenditure of monies for a new service or new facility.
131 (b) Notwithstanding Subsection (2)(a), the legislative body of a county is not required
132 to meet the advertisement and hearing requirements of this section if the county collected less
133 than $15,000 in ad valorem tax revenues for the previous fiscal year.
134 (3) (a) The county shall advertise its intent to provide a new service or new facility in a
135 newspaper or combination of newspapers of general circulation in the county.
136 (b) The meeting on the proposed new service or new facility may coincide with the
137 hearing on the proposed budget of the county.
138 (c) It is legislative intent that, whenever possible, the advertisement appear in a
139 newspaper that is published at least one day per week.
140 (d) It is further the intent of the Legislature that the newspaper or combination of
141 newspapers selected be of general interest and readership in the county, and not of limited
142 subject matter.
143 (e) The advertisement shall be run once each week for the two weeks preceding the
144 date of approval of the expenditure of monies.
145 (f) The advertisement may not be placed in that portion of the newspaper where legal
146 notices and classified advertisements appear.
147 (g) The advertisement shall state that the county will meet on a certain day, time, and
148 place fixed in the advertisement, which shall be not less than seven days after the day the first
149 advertisement is published, for the purpose of hearing comments regarding any proposed new
150 service or new facility and to explain the reasons for the proposed new service or new facility.
151 (h) The advertisement shall be no less than 1/4 page in size and the type used shall be

152 no smaller than 18 point, and surrounded by a 1/4-inch border.
153 (i) The form and content of the advertisement shall be substantially as follows:
154 "NOTICE OF PROPOSED ('NEW SERVICE' or 'NEW FACILITY')
155 The (name of the county) is proposing to provide a ('new service' or 'new facility').
156 The proposed ('new service' or 'new facility') would (describe the new service or new
157 facility).
158 The purpose of the ('new service' or 'new facility') is (state the reasons for the new
159 service or new facility).
160 The proposed ('new service' or 'new facility') is projected to cost (state the projected
161 cost of the new service or new facility).
162 All concerned citizens are invited to a public hearing on the tax increase to be held on
163 (date and time) at (meeting place)."
164 (4) (a) The legislative body of a county proposing a new service or new facility shall
165 hold a public hearing to receive public comment on whether the proposed new service or new
166 facility would compete with existing local business.
167 (b) A quorum of the legislative body of the county holding a public hearing shall be
168 present throughout each hearing held by that municipal legislative body.
169 (c) All hearings shall be open to the public.
170 (d) Each hearing shall be held on a weekday evening other than a holiday beginning no
171 earlier than 6 p.m.
172 (e) The legislative body of a county conducting a hearing shall permit all interested
173 parties desiring to be heard an opportunity to present oral testimony within reasonable time
174 limits.
175 (5) (a) The legislative body of a county, after meeting the advertisement requirements
176 of Subsection (3) and holding a hearing as required in Subsection (4), may approve the
177 expenditure of monies for the new service or new facility.
178 (b) (i) If the expenditure of monies for the new service or new facility is not approved
179 on the day of the public hearing, the scheduled time and place for consideration and approval
180 shall be announced at the public hearing.
181 (ii) If an approval is to be considered at a day and time that is more than two weeks
182 after the public hearing under Subsection (4), the county shall advertise the date of the

183 proposed approval in the same manner as provided under Subsection (3).
184 Section 3. Section 17A-1-104 is enacted to read:
185 17A-1-104. Advertisement of proposed new service or new facility -- Hearing.
186 (1) As used in this section:
187 (a) "New facility" means the construction, acquisition, lease, or operation of any
188 building, structure, or other improvement on real property:
189 (i) (A) that the special district has not constructed, acquired, leased, or operated before
190 May 2, 2005; or
191 (B) for which the special district has not expended monies before May 2, 2005,
192 including monies for the planning of the facility; and
193 (ii) that is not directly related to a facility:
194 (A) that the special district constructed, acquired, leased, or operated before May 2,
195 2005; or
196 (B) for which the special district has expended monies before May 2, 2005.
197 (b) "New service" means the provision of a service:
198 (i) (A) that the special district has not provided before May 2, 2005; or
199 (B) for which the special district has not expended monies before May 2, 2005,
200 including monies for the planning of the service; and
201 (ii) that is not directly related to a service:
202 (A) that the special district provided before May 2, 2005; or
203 (B) for which the special district has expended monies before May 2, 2005.
204 (2) (a) The legislative body of a special district shall meet the advertisement
205 requirements of Subsection (3) and the hearing requirements of Subsection (4) before the
206 legislative body may approve the expenditure of monies for a new service or new facility.
207 (b) Notwithstanding Subsection (2)(a), the legislative body of a special district is not
208 required to meet the advertisement and hearing requirements of this section if the special
209 district collected less than $15,000 in ad valorem tax revenues for the previous fiscal year.
210 (3) (a) The special district shall advertise its intent to provide a new service or new
211 facility in a newspaper or combination of newspapers of general circulation in the special
212 district.
213 (b) The meeting on the proposed new service or new facility may coincide with the

214 hearing on the proposed budget of the special district.
215 (c) It is legislative intent that, whenever possible, the advertisement appear in a
216 newspaper that is published at least one day per week.
217 (d) It is further the intent of the Legislature that the newspaper or combination of
218 newspapers selected be of general interest and readership in the special district, and not of
219 limited subject matter.
220 (e) The advertisement shall be run once each week for the two weeks preceding the
221 date of approval of the expenditure of monies.
222 (f) The advertisement may not be placed in that portion of the newspaper where legal
223 notices and classified advertisements appear.
224 (g) The advertisement shall state that the special district will meet on a certain day,
225 time, and place fixed in the advertisement, which shall be not less than seven days after the day
226 the first advertisement is published, for the purpose of hearing comments regarding any
227 proposed new service or new facility and to explain the reasons for the proposed new service or
228 new facility.
229 (h) The advertisement shall be no less than 1/4 page in size and the type used shall be
230 no smaller than 18 point, and surrounded by a 1/4-inch border.
231 (i) The form and content of the advertisement shall be substantially as follows:
232 "NOTICE OF PROPOSED ('NEW SERVICE' or 'NEW FACILITY')
233 The (name of the special district) is proposing to provide a ('new service' or 'new
234 facility').
235 The proposed ('new service' or 'new facility') would (describe the new service or new
236 facility).
237 The purpose of the ('new service' or 'new facility') is (state the reasons for the new
238 service or new facility).
239 The proposed ('new service' or 'new facility') is projected to cost (state the projected
240 cost of the new service or new facility).
241 All concerned citizens are invited to a public hearing on the tax increase to be held on
242 (date and time) at (meeting place)."
243 (4) (a) The legislative body of a special district proposing a new service or new facility
244 shall hold a public hearing to receive public comment on whether the proposed new service or

245 new facility would compete with existing local business.
246 (b) A quorum of the legislative body of the special district holding a public hearing
247 shall be present throughout each hearing held by that municipal legislative body.
248 (c) All hearings shall be open to the public.
249 (d) Each hearing shall be held on a weekday evening other than a holiday beginning no
250 earlier than 6 p.m.
251 (e) The legislative body of a special district conducting a hearing shall permit all
252 interested parties desiring to be heard an opportunity to present oral testimony within
253 reasonable time limits.
254 (5) (a) The legislative body of a special district, after meeting the advertisement
255 requirements of Subsection (3) and holding a hearing as required in Subsection (4), may
256 approve the expenditure of monies for the new service or new facility.
257 (b) (i) If the expenditure of monies for the new service or new facility is not approved
258 on the day of the public hearing, the scheduled time and place for consideration and approval
259 shall be announced at the public hearing.
260 (ii) If an approval is to be considered at a day and time that is more than two weeks
261 after the public hearing under Subsection (4), the special district shall advertise the date of the
262 proposed approval in the same manner as provided under Subsection (3).




Legislative Review Note
as of 2-8-05 8:55 AM

Based on a limited legal review, this legislation has not been determined to have a high
probability of being held unconstitutional.

Office of Legislative Research and General Counsel