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S.B. 49

             1     

MILITARY INSTALLATION DEVELOPMENT AUTHORITY

             2     
AMENDMENTS

             3     
2012 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Chief Sponsor: Jerry W. Stevenson

             6     
House Sponsor: Brad L. Dee

             7     
             8      LONG TITLE
             9      General Description:
             10          This bill modifies provisions of the Military Installation Development Authority Act.
             11      Highlighted Provisions:
             12          This bill:
             13          .    authorizes the Military Installation Development Authority to enter an agreement
             14      with the federal government for law enforcement services;
             15          .    modifies a provision relating to the board's adoption of a project area plan;
             16          .    requires a lease or development agreement entered before the creation of a project
             17      area to include a specified provision;
             18          .    provides that the authority may not be required to pay an amount or incur a loss or
             19      penalty because of the board's failure to create a project area; and
             20          .    authorizes the authority to use authority funds to pay for a passenger ropeway
             21      outside of the project area under certain circumstances.
             22      Money Appropriated in this Bill:
             23          None
             24      Other Special Clauses:
             25          None
             26      Utah Code Sections Affected:
             27      AMENDS:


             28          63H-1-201, as last amended by Laws of Utah 2010, Chapter 9
             29          63H-1-401, as last amended by Laws of Utah 2011, Chapter 234
             30          63H-1-502, as last amended by Laws of Utah 2010, Chapter 9
             31     
             32      Be it enacted by the Legislature of the state of Utah:
             33          Section 1. Section 63H-1-201 is amended to read:
             34           63H-1-201. Creation of military installation development authority -- Status and
             35      powers of authority -- Limitation.
             36          (1) There is created a military installation development authority.
             37          (2) The authority is:
             38          (a) an independent, nonprofit, separate body corporate and politic, with perpetual
             39      succession and statewide jurisdiction, whose purpose is to facilitate the development of
             40      military land in a project area;
             41          (b) a political subdivision of the state; and
             42          (c) a public corporation, as defined in Section 63E-1-102 .
             43          (3) The authority may:
             44          (a) as provided in this chapter, facilitate the development of land within one or more
             45      project areas, including the ongoing operation of facilities within a project area;
             46          (b) sue and be sued;
             47          (c) enter into contracts generally;
             48          (d) buy, obtain an option upon, or otherwise acquire any interest in real or personal
             49      property:
             50          (i) in a project area; or
             51          (ii) outside a project area for publicly owned infrastructure and improvements, if the
             52      board considers the purchase, option, or other interest acquisition to be necessary for fulfilling
             53      the authority's development objectives;
             54          (e) sell, convey, grant, dispose of by gift, or otherwise dispose of any interest in real or
             55      personal property;
             56          (f) enter into a lease agreement on real or personal property, either as lessee or lessor:
             57          (i) in a project area; or
             58          (ii) outside a project area, if the board considers the lease to be necessary for fulfilling


             59      the authority's development objectives;
             60          (g) provide for the development of land within a project area under one or more
             61      contracts;
             62          (h) exercise powers and perform functions under a contract, as authorized in the
             63      contract;
             64          (i) exercise exclusive police power within a project area to the same extent as though
             65      the authority were a municipality, including the collection of regulatory fees;
             66          (j) receive tax increment and other taxes and fees as provided in this chapter;
             67          (k) accept financial or other assistance from any public or private source for the
             68      authority's activities, powers, and duties, and expend any funds so received for any of the
             69      purposes of this chapter;
             70          (l) borrow money, contract with, or accept financial or other assistance from the federal
             71      government, a public entity, or any other source for any of the purposes of this chapter and
             72      comply with any conditions of the loan, contract, or assistance;
             73          (m) issue bonds to finance the undertaking of any development objectives of the
             74      authority, including bonds under Title 11, Chapter 17, Utah Industrial Facilities and
             75      Development Act, and bonds under Title 11, Chapter 42, Assessment Area Act;
             76          (n) hire employees, including contract employees;
             77          (o) transact other business and exercise all other powers provided for in this chapter;
             78          (p) enter into a development agreement with a developer of land within a project area;
             79          (q) enter into an agreement with a political subdivision of the state under which the
             80      political subdivision provides one or more municipal services within a project area;
             81          (r) enter into an agreement with a private contractor to provide one or more municipal
             82      services within a project area; [and]
             83          (s) exercise powers and perform functions that the authority is authorized by statute to
             84      exercise or perform[.]; and
             85          (t) enter into an agreement with the federal government or an agency of the federal
             86      government under which the federal government or agency:
             87          (i) provides law enforcement services only to military land within a project area; and
             88          (ii) may enter into a mutual aid or other cooperative agreement with a law enforcement
             89      agency of the state or a political subdivision of the state.


             90          (4) The authority may not itself provide law enforcement service or fire protection
             91      service within a project area but may enter into an agreement for one or both of those services,
             92      as provided in Subsection (3)(q).
             93          Section 2. Section 63H-1-401 is amended to read:
             94           63H-1-401. Preparation of project area plan -- Required contents of project area
             95      plan.
             96          (1) (a) [Before entering into any lease or development agreement, the] The authority
             97      board shall adopt a project area plan as provided in this part.
             98          (b) In order to adopt a project area plan, the authority board shall:
             99          (i) prepare a draft project area plan;
             100          (ii) give notice as required under Subsection 63H-1-402 (2);
             101          (iii) hold at least one public meeting, as required under Subsection 63H-1-402 (1); and
             102          (iv) after holding at least one public meeting and subject to Subsection (1)(c), adopt the
             103      draft project area plan as the project area plan.
             104          (c) Before adopting a draft project area plan as the project area plan, the authority
             105      board may make modifications to the draft project area plan that the board considers necessary
             106      or appropriate.
             107          (d) (i) A lease or development agreement that the authority enters before the creation of
             108      a project area shall provide that the board is not required to create a project area.
             109          (ii) An authority may not be required to pay any amount or incur any loss or penalty for
             110      the board's failure to create a project area.
             111          (2) Each project area plan and draft project area plan shall contain:
             112          (a) a legal description of the boundary of the project area that is the subject of the
             113      project area plan;
             114          (b) the authority's purposes and intent with respect to the project area; and
             115          (c) the board's findings and determination that:
             116          (i) there is a need to effectuate a public purpose;
             117          (ii) there is a public benefit to the proposed development project;
             118          (iii) it is economically sound and feasible to adopt and carry out the project area plan;
             119      and
             120          (iv) carrying out the project area plan will promote the public peace, health, safety, and


             121      welfare of the community in which the project area is located.
             122          (3) A project area described in a project area plan:
             123          (a) shall include military land; and
             124          (b) may include public or private land, whether or not it is contiguous to military land,
             125      if:
             126          (i) the legislative body of the county in which the public or private land is located, if
             127      the public land or private land is located in an unincorporated county, passes a resolution
             128      consenting to the inclusion of the land in the project area;
             129          (ii) the legislative body of an included municipality passes a resolution consenting to
             130      the inclusion of the land in the project area; and
             131          (iii) the owner of the public or private land consents to the inclusion of the land in the
             132      project area.
             133          Section 3. Section 63H-1-502 is amended to read:
             134           63H-1-502. Allowable uses of tax increment and other funds.
             135          (1) The authority may use tax increment and other funds available to the authority,
             136      other than municipal services revenue:
             137          (a) for any purpose authorized under this chapter;
             138          (b) for administrative, overhead, legal, and other operating expenses of the authority;
             139          (c) to pay for, including financing or refinancing, all or part of the development of land
             140      within the project area from which the tax increment funds or other funds were collected,
             141      including assisting the ongoing operation of any development or facility within the project area;
             142          (d) to pay the cost of the installation and construction of any publicly owned
             143      infrastructure and improvements within the project area from which the tax increment funds
             144      were collected;
             145          (e) to pay the cost of the installation of publicly owned infrastructure and
             146      improvements, including a passenger ropeway, as defined in Section 72-11-102 , outside the
             147      project area if:
             148          (i) the authority board determines by resolution that the infrastructure and
             149      improvements are of benefit to the project area; and
             150          (ii) for a passenger ropeway, at least one end of the ropeway is located within the
             151      project area.


             152          (f) to pay the principal of and interest on bonds issued by the authority.
             153          (2) The authority may use revenue generated from the operation of publicly owned
             154      infrastructure operated by the authority or improvements operated by the authority to:
             155          (a) operate and maintain the infrastructure or improvements; and
             156          (b) pay for authority operating expenses, including administrative, overhead, and legal
             157      expenses.
             158          (3) For purposes of Subsection (1), the authority may use:
             159          (a) tax revenues received under Subsection 59-12-205 (2)(b)(ii); and
             160          (b) resort communities tax revenues generated from a project area that contains private
             161      land.
             162          (4) The determination of the authority board under Subsection (1)(e) regarding benefit
             163      to the project area shall be final and conclusive.




Legislative Review Note
    as of 1-30-12 5:36 PM


Office of Legislative Research and General Counsel


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