Representative R. Curt Webb proposes the following substitute bill:


1     
COMMON AREA LAND USE AMENDMENTS

2     
2017 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: R. Curt Webb

5     
Senate Sponsor: D. Gregg Buxton

6     

7     LONG TITLE
8     General Description:
9          This bill modifies provisions related to common areas and land use.
10     Highlighted Provisions:
11          This bill:
12          ▸     addresses ownership, conveyance, and modification of a parcel designated as a
13     common area or a common area and facility on a recorded plat;
14          ▸     reduces the percentage of landowners required to approve certain conveyances;
15          ▸     amends requirements for recording a certain subdivision plat; and
16          ▸     makes technical and conforming changes.
17     Money Appropriated in this Bill:
18          None
19     Other Special Clauses:
20          None
21     Utah Code Sections Affected:
22     AMENDS:
23          10-9a-604, as last amended by Laws of Utah 2010, Chapter 381
24          10-9a-606, as last amended by Laws of Utah 2015, Chapter 327
25          17-27a-604, as last amended by Laws of Utah 2015, Chapter 465
26          17-27a-606, as last amended by Laws of Utah 2015, Chapter 327
27          57-8-32, as enacted by Laws of Utah 1963, Chapter 111
28     

29     Be it enacted by the Legislature of the state of Utah:
30          Section 1. Section 10-9a-604 is amended to read:
31          10-9a-604. Subdivision plat approval procedure -- Effect of not complying.
32          (1) A person may not submit a subdivision plat to the county recorder's office for
33     recording unless:
34          (a) the person has complied with the requirements of Subsection 10-9a-603(4)(a);
35          (b) the plat has been approved by:
36          (i) the land use authority of the municipality in which the land described in the plat is
37     located; and
38          (ii) other officers that the municipality designates in its ordinance; [and]
39          (c) all approvals described in Subsection (1)(b) are entered in writing on the plat by the
40     designated officers[.]; and
41          (d) if the person submitting the plat intends the plat to be or if the plat is part of a
42     community association subject to Title 57, Chapter 8a, Community Association Act, the plat
43     includes language conveying to the association, as that term is defined in Section 57-8a-102, all
44     common areas, as that term is defined in Section 57-8a-102.
45          (2) A subdivision plat recorded without the signatures required under this section is
46     void.
47          (3) A transfer of land pursuant to a void plat is voidable.
48          Section 2. Section 10-9a-606 is amended to read:
49          10-9a-606. Common area parcels on a plat -- No separate ownership --
50     Ownership interest equally divided among other parcels on plat and included in
51     description of other parcels.
52          (1) As used in this section:
53          (a) "Association" means the same as that term is defined in:
54          (i) regarding a common area, Section 57-8a-102; and
55          (ii) regarding a common area and facility, Section 57-8-3.
56          (b) "Common area" means the same as that term is defined in Section 57-8a-102.
57          (c) "Common area and facility" means the same as that term is defined in Section
58     57-8-3.
59          (d) "Declarant" means the same as that term is defined in:
60          (i) regarding a common area, Section 57-8a-102; and
61          (ii) regarding a common area and facility, Section 57-8-3.
62          (e) "Declaration," regarding a common area and facility, means the same as that term is
63     defined in Section 57-8-3.
64          (f) "Period of administrative control" means the same as that term is defined in:
65          (i) regarding a common area, Section 57-8a-102; and
66          (ii) regarding a common area and facility, Section 57-8-3.
67          [(1) (a)] (2) A person may not separately own, convey, or modify a parcel designated as
68     a common [or community] area or common area and facility, on a plat recorded in compliance
69     with this part [may not be separately owned or conveyed], independent of the other lots, units,
70     or parcels created by the plat unless:
71          (a) an association holds in trust the parcel designated as a common area for the owners
72     of the other lots, units, or parcels created by the plat; or
73          (b) the conveyance or modification is approved under Subsection (5).
74          [(i) the parcel is being acquired by a municipality for a governmental purpose; and]
75          [(ii) the conveyance is approved by the owners of at least 75% of the lots, units, or
76     parcels on the plat, after the municipality gives its approval.]
77          [(b) A notice of the owner approval described in Subsection (1)(a)(ii) shall be:]
78          (3) If a conveyance or modification of a common area or common area and facility is
79     approved in accordance with Subsection (5), the person who presents the instrument of
80     conveyance to a county recorder shall:
81          [(i)] (a) [attached] attach a notice of the approval described in Subsection (5) as an
82     exhibit to the document of conveyance; or
83          [(ii)] (b) [recorded] record a notice of the approval described in Subsection (5)
84     concurrently with the conveyance as a separate document.
85          [(2) The ownership interest in a parcel described in Subsection (1) shall:]
86          (4) When a plat contains a common area or common area and facility:
87          (a) for purposes of assessment, [be divided equally among all parcels created by the
88     plat] each parcel that the plat creates has an equal ownership interest in the common area or
89     common area and facility within the plat, unless the plat or an accompanying recorded
90     document indicates a different division of interest for assessment purposes [is indicated on the
91     plat or an accompanying recorded document]; and
92          (b) [be considered to be included in the description of] each instrument describing a
93     parcel on the plat by [its] the parcel's identifying plat number implicitly includes the ownership
94     interest in the common area or common area and facility, even if [the common or community
95     area] that ownership interest is not explicitly stated in the instrument.
96          [(3) A parcel designated as common or community area on a plat before, on, or after
97     May 12, 2015, may be modified in size and location if the modification:]
98          [(a) is approved as part of a subdivision plat amendment by the local government;]
99          [(b) is approved by at least 75%]
100          (5) Notwithstanding Subsection (2), a person may modify the size or location of or
101     separately convey a common area or common area and facility if the following approve the
102     conveyance or modification:
103          (a) the local government;
104          (b) (i) for a common area that an association owns, 67% of the voting interests in [a
105     homeowners] the association [having an interest in the common or community area, if any]; or
106          [(c) is approved by at least 75% of the owners of lots, units, or parcels on the plat if
107     there is no homeowners association having an interest in the common or community area, if
108     any; and]
109          (ii) for a common area that an association does not own, or for a common area and
110     facility, 67% of the owners of lots, units, and parcels designated on a plat that is subject to a
111     declaration and on which the common area or common area and facility is included; and
112          (c) during the period of administrative control, the declarant.
113          [(d) does not create a new buildable lot.]
114          [(4) A parcel designated as common or community area on a plat before, on, or after
115     May 12, 2015, may be modified in size without a subdivision plat amendment approval by the
116     local government, if the modification:]
117          [(a) is a lot line adjustment approved by at least 75% of the voting interests in a
118     homeowners association having an interest in the common or community area, if any;]
119          [(b) is approved by at least 75% of the owners of lots, units, or parcels on the plat if
120     there is no homeowners association having an interest in the common or community area, if
121     any; and]
122          [(c) does not create a new buildable lot.]
123          Section 3. Section 17-27a-604 is amended to read:
124          17-27a-604. Subdivision plat approval procedure -- Effect of not complying.
125          (1) A person may not submit a subdivision plat to the county recorder's office for
126     recording unless:
127          (a) the person has complied with the requirements of Subsection 17-27a-603(4)(a);
128          (b) the plat has been approved by:
129          (i) the land use authority of the:
130          (A) county in whose unincorporated area the land described in the plat is located; or
131          (B) mountainous planning district in whose area the land described in the plat is
132     located; and
133          (ii) other officers that the county designates in its ordinance; [and]
134          (c) all approvals described in Subsection (1)(b) are entered in writing on the plat by
135     designated officers[.]; and
136          (d) if the person submitting the plat intends the plat to be or if the plat is part of a
137     community association subject to Title 57, Chapter 8a, Community Association Act, the plat
138     includes language conveying to the association, as that term is defined in Section 57-8a-102, all
139     common areas, as that term is defined in Section 57-8a-102.
140          (2) An owner of a platted lot is the owner of record sufficient to re-subdivide the lot if
141     the owner's platted lot is not part of a community association subject to Title 57, Chapter 8a,
142     Community Association Act.
143          (3) A plat recorded without the signatures required under this section is void.
144          (4) A transfer of land pursuant to a void plat is voidable.
145          Section 4. Section 17-27a-606 is amended to read:
146          17-27a-606. Common area parcels on a plat -- No separate ownership --
147     Ownership interest equally divided among other parcels on plat and included in
148     description of other parcels.
149          (1) As used in this section:
150          (a) "Association" means the same as that term is defined in:
151          (i) regarding a common area, Section 57-8a-102; and
152          (ii) regarding a common area and facility, Section 57-8-3.
153          (b) "Common area" means the same as that term is defined in Section 57-8a-102.
154          (c) "Common area and facility" means the same as that term is defined in Section
155     57-8-3.
156          (d) "Declarant" means the same as that term is defined in:
157          (i) regarding a common area, Section 57-8a-102; and
158          (ii) regarding a common area and facility, Section 57-8-3.
159          (e) "Declaration," regarding a common area and facility, means the same as that term is
160     defined in Section 57-8-3.
161          (f) "Period of administrative control" means the same as that term is defined in:
162          (i) regarding a common area, Section 57-8a-102; and
163          (ii) regarding a common area and facility, Section 57-8-3.
164          [(1) (a)] (2) A person may not separately own, convey, or modify a parcel designated as
165     a common [or community] area or common area and facility on a plat recorded in compliance
166     with this part [may not be separately owned or conveyed], independent of the other lots, units,
167     or parcels created by the plat unless:
168          [(i) the parcel is being acquired by a county for a governmental purpose; and]
169          [(ii) the conveyance is approved by]
170          (a) an association holds in trust the parcel designated as a common area for the owners
171     of the other lots, units, or parcels created by the plat; or
172          (b) the conveyance or modification is approved under Subsection (5).
173          [(b) A notice of the approval required in Subsection (1)(a)(ii) shall be:]
174          (3) If a conveyance or modification of a common area or common area and facility is
175     approved in accordance with Subsection (5), the person who presents the instrument of
176     conveyance to a county recorder shall:
177          [(i)] (a) [attached] attach a notice of the approval described in Subsection (5) as an
178     exhibit to the document of conveyance; or
179          [(ii)] (b) [recorded] record a notice of the approval described in Subsection (5)
180     concurrently with the conveyance as a separate document.
181          [(2) The ownership interest in a parcel described in Subsection (1) shall:]
182          (4) When a plat contains a common area or common area and facility:
183          (a) [for purposes of assessment, be divided equally among all parcels created by the
184     plat, unless ] each parcel that the plat creates has an equal ownership interest in the common
185     area or common area and facility within the plat, unless the plat or an accompanying recorded
186     document indicates a different division of interest for assessment purposes [is indicated on the
187     plat or an accompanying recorded document]; and
188          (b) [be considered to be included in the description of] each instrument describing a
189     parcel on the plat by [its] the parcel's identifying plat number implicitly includes the ownership
190     interest in the common area or common area and facility within the plat, even if [the common
191     or community area] that ownership interest is not explicitly stated in the instrument.
192          [(3) A parcel designated as common or community area on a plat before, on, or after
193     May 12, 2015, may be modified in size and location if the modification:]
194          (5) Notwithstanding Subsection (2), a person may modify the size or location of or
195     separately convey a common area or common area and facility if the following approve the
196     conveyance or modification:
197          [(a) is approved as part of a subdivision plat amendment by the local government;]
198          (a) the local government;
199          [(b) is approved by at least 75%]
200          (b) (i) for a common area that an association owns, 67% of the voting interests in [a
201     homeowners] the association [having an interest in the common or community area, if any]; or
202          [(c) is approved by at least 75% of the owners of lots, units, or parcels on the plat if
203     there is no homeowners association having an interest in the common or community area, if
204     any; and]
205          (ii) for a common area that an association does not own, or for a common area and
206     facility, 67% of the owners of lots, units, and parcels designated on a plat that is subject to a
207     declaration and on which the common area or common area and facility is included; and
208          (c) during the period of administrative control, the declarant.
209          [(d) does not create a new buildable lot.]
210          [(4) A parcel designated as common or community area on a plat before, on, or after
211     May 12, 2015, may be modified in size without a subdivision plat amendment approval by the
212     local government, if the modification:]
213          [(a) is a lot line adjustment approved by at least 75% of the voting interests in a
214     homeowners association having an interest in the common or community area, if any;]
215          [(b) is approved by at least 75% of the owners of lots, units, or parcels on the plat if
216     there is no homeowners association having an interest in the common or community area, if
217     any; and]
218          [(c) does not create a new buildable lot.]
219          Section 5. Section 57-8-32 is amended to read:
220          57-8-32. Sale of property.
221          (1) Unless otherwise provided in the declaration or bylaws, and notwithstanding the
222     provisions of Sections 57-8-30 and 57-8-31, the unit owners may, at a meeting of unit owners
223     called for the purpose of voting, by an affirmative vote of at least [three-fourths of such] 67%
224     of unit owners, [at a meeting of unit owners duly called for such purpose,] elect to sell or
225     otherwise dispose of the property. [Such action shall be]
226          (2) An affirmative vote described in Subsection (1) is binding upon all unit owners,
227     and [it shall thereupon become the duty of every] each unit owner [to] shall execute and deliver
228     [such] the appropriate instruments and [to] perform all acts as [in manner and form may be]
229     necessary to effect the sale.