Chief Sponsor: Wayne A. Harper

House Sponsor: Mike Schultz


9     General Description:
10          This bill amends the governance of certain public transit districts, restricts powers of
11     some public transit districts, and creates a task force.
12     Highlighted Provisions:
13          This bill:
14          ▸     amends provisions relating to the authority of a public service district that serves a
15     population over 200,000 people to develop transit oriented developments;
16          ▸     requires a public transit district that serves a population over 200,000 people to have
17     a citizens' advisory board, an office of constituent services, and an office of
18     coordinated mobility;
19          ▸     creates the Transportation Governance and Funding Task Force;
20          ▸     provides an automatic repeal date for the task force; and
21          ▸     makes technical changes.
22     Money Appropriated in this Bill:
23          None
24     Other Special Clauses:
25          None
26     Utah Code Sections Affected:
27     AMENDS:
28          17B-2a-804, as last amended by Laws of Utah 2016, Chapter 387
29          63I-2-272, as last amended by Laws of Utah 2016, Fourth Special Session, Chapter 2

30     ENACTS:
31          17B-2a-826, Utah Code Annotated 1953
32          72-14-101, Utah Code Annotated 1953

34     Be it enacted by the Legislature of the state of Utah:
35          Section 1. Section 17B-2a-804 is amended to read:
36          17B-2a-804. Additional public transit district powers.
37          (1) In addition to the powers conferred on a public transit district under Section
38     17B-1-103, a public transit district may:
39          (a) provide a public transit system for the transportation of passengers and their
40     incidental baggage;
41          (b) notwithstanding Subsection 17B-1-103(2)(g) and subject to Section 17B-2a-817,
42     levy and collect property taxes only for the purpose of paying:
43          (i) principal and interest of bonded indebtedness of the public transit district; or
44          (ii) a final judgment against the public transit district if:
45          (A) the amount of the judgment exceeds the amount of any collectable insurance or
46     indemnity policy; and
47          (B) the district is required by a final court order to levy a tax to pay the judgment;
48          (c) insure against:
49          (i) loss of revenues from damage to or destruction of some or all of a public transit
50     system from any cause;
51          (ii) public liability;
52          (iii) property damage; or
53          (iv) any other type of event, act, or omission;
54          (d) acquire, contract for, lease, construct, own, operate, control, or use:
55          (i) a right-of-way, rail line, monorail, bus line, station, platform, switchyard, terminal,
56     parking lot, or any other facility necessary or convenient for public transit service; or
57          (ii) any structure necessary for access by persons and vehicles;

58          (e) (i) hire, lease, or contract for the supplying or management of a facility, operation,
59     equipment, service, employee, or management staff of an operator; and
60          (ii) provide for a sublease or subcontract by the operator upon terms that are in the
61     public interest;
62          (f) operate feeder bus lines and other feeder or ridesharing services as necessary;
63          (g) accept a grant, contribution, or loan, directly through the sale of securities or
64     equipment trust certificates or otherwise, from the United States, or from a department,
65     instrumentality, or agency of the United States;
66          (h) study and plan transit facilities in accordance with any legislation passed by
67     Congress;
68          (i) cooperate with and enter into an agreement with the state or an agency of the state
69     or otherwise contract to finance to establish transit facilities and equipment or to study or plan
70     transit facilities;
71          (j) issue bonds as provided in and subject to Chapter 1, Part 11, Local District Bonds,
72     to carry out the purposes of the district;
73          (k) from bond proceeds or any other available funds, reimburse the state or an agency
74     of the state for an advance or contribution from the state or state agency;
75          (l) do anything necessary to avail itself of any aid, assistance, or cooperation available
76     under federal law, including complying with labor standards and making arrangements for
77     employees required by the United States or a department, instrumentality, or agency of the
78     United States;
79          (m) sell or lease property;
80          (n) except as provided in Subsection (2)(b), assist in or operate transit-oriented or
81     transit-supportive developments;
82          (o) establish, finance, participate as a limited partner or member in a development with
83     limited liabilities in accordance with Subsection (1)(p), construct, improve, maintain, or operate
84     transit facilities, equipment, and , in accordance with Subsection (3), transit-oriented
85     developments or transit-supportive developments; and

86          (p) subject to the [restriction in Subsection] restrictions and requirements in
87     Subsections (2) and (3), assist in a transit-oriented development or a transit-supportive
88     development in connection with economic development or community development as defined
89     in Section 17C-1-102 by:
90          (i) investing in a project as a limited partner or a member, with limited liabilities; or
91          (ii) subordinating an ownership interest in real property owned by the public transit
92     district.
93          (2) (a) A public transit district may only assist in the development of areas under
94     Subsection (1)(p):
95          (i) in the manner described in Subsection (1)(p)(i) or (ii); and
96          (ii) on no more than eight transit-oriented developments or transit-supportive
97     developments selected by the board of trustees.
98          (b) A public transit district may not invest in a transit-oriented development or
99     transit-supportive development as a limited partner or other limited liability entity under the
100     provisions of Subsection (1)(p)(i), unless the partners, developer, or other investor in the entity,
101     makes an equity contribution equal to no less than 25% of the appraised value of the property to
102     be contributed by the public transit district.
103          (c) (i) For transit-oriented development projects, a public transit district shall adopt
104     transit-oriented development policies and guidelines that include provisions on affordable
105     housing.
106          (ii) For transit-supportive development projects, a public transit district shall work with
107     the metropolitan planning organization and city and county governments where the project is
108     located to collaboratively seek to create joint plans for the areas within one-half mile of transit
109     stations, including plans for affordable housing.
110          (d) A current board member of a public transit district to which the board member is
111     appointed may not have any interest in the transactions engaged in by the public transit district
112     pursuant to Subsection (1)(p)(i) or (ii), except as may be required by the board member's
113     fiduciary duty as a board member.

114          (3) For any transit-oriented development or transit-supportive development authorized
115     in this section, the public transit district shall:
116          (a) perform a cost-benefit analysis of the monetary investment and expenditures of the
117     development, including effect on:
118          (i) service and ridership;
119          (ii) regional plans made by the metropolitan planning agency;
120          (iii) the local economy;
121          (iv) the environment and air quality;
122          (v) affordable housing; and
123          (vi) integration with other modes of transportation; and
124          (b) provide evidence to the public of a quantifiable positive return on investment,
125     including improvements to public transit service.
126          [(3)] (4) A public transit district may be funded from any combination of federal, state,
127     local, or private funds.
128          [(4)] (5) A public transit district may not acquire property by eminent domain.
129          Section 2. Section 17B-2a-826 is enacted to read:
130          17B-2a-826. Public transit district office of constituent services, citizens' advisory
131     board, and office of coordinated mobility.
132          (1) (a) The board of trustees of a public transit district serving a population over
133     200,000 people shall create and employ an office of constituent services.
134          (b) The duties of the office of constituent services described in Subsection (1)(a) shall
135     include:
136          (i) establishing a central call number to hear and respond to complaints, requests,
137     comments, concerns, and other communications from customers and citizens within the district;
138          (ii) keeping a log of the complaints, comments, concerns, and other communications
139     from customers and citizens within the district; and
140          (iii) reporting complaints, comments, concerns, and other communications to
141     management and to the citizens' advisory board created in Subsection (2).

142          (2) (a) A public transit district serving a population over 200,000 people shall create
143     and oversee a citizens' advisory board.
144          (b) (i) The board of trustees of the public transit district shall select up to 12 members
145     for the public transit district citizens' advisory board with membership representing the diversity
146     of the public transit district area.
147          (ii) The board of trustees shall ensure that each member of the citizens' advisory board
148     regularly uses the public transit district services.
149          (c) The public transit district citizens' advisory board shall meet as needed or quarterly
150     in a meeting open to the public for comment, to discuss the service, operations, and any
151     concerns with the public transit district operations and functionality.
152          (d) The public transit district management shall meet at least quarterly with and consult
153     with the citizens' advisory board and take into consideration the input of the citizens' advisory
154     board in managing and operating the public transit district.
155          (3) (a) A public transit district serving a population over 200,000 people shall create
156     and employ an office of coordinated mobility.
157          (b) The duties of the office of coordinated mobility shall include:
158          (i) establishing a central call number to facilitate human services transportation;
159          (ii) coordinating all human services transportation needs within the public transit
160     district;
161          (iii) receiving requests and other communications regarding human services
162     transportation;
163          (iv) receiving requests and other communications regarding vans, buses, and other
164     vehicles available for use from the public transit district to maximize the utility of and
165     investment in those vehicles; and
166          (v) supporting local efforts and applications for additional funding.
167          Section 3. Section 63I-2-272 is amended to read:
168          63I-2-272. Repeal dates -- Title 72.
169          (1) On July 1, 2018:

170          (a) in Subsection 72-2-108(2), the language that states "and except as provided in
171     Subsection (10)" is repealed;
172          (b) in Subsection 72-2-108(4)(c)(ii)(A), the language that states ", excluding any
173     amounts appropriated as additional support for class B and class C roads under Subsection
174     (10)," is repealed; and
175          (c) Subsection 72-2-108(10) is repealed.
176          (2) Section 72-3-113 is repealed January 1, 2020.
177          (3) Section 72-14-101 is repealed on March 31, 2018.
178          Section 4. Section 72-14-101 is enacted to read:
179          72-14-101. Creation of the Transportation Governance and Funding Task Force.
180          (1) As used in this section:
181          (a) "Task force" means the Transportation Governance and Funding Task Force created
182     in Subsection (2).
183          (b) "Transportation" includes:
184          (i) state transportation systems as defined in Section 72-1-102;
185          (ii) public transit as defined in Section 17B-2a-802;
186          (iii) active transportation, including walking, cycling, and other modes of human
187     powered transportation; and
188          (iv) any other modes of transportation in this state.
189          (2) There is created the Transportation Governance and Funding Task Force consisting
190     of the following members:
191          (a) (i) two members of the Senate appointed by the president of the Senate; and
192          (ii) one member representing the private sector appointed by the president of the
193     Senate;
194          (b) (i) two members of the House of Representatives appointed by the speaker of the
195     House of Representatives; and
196          (ii) one member representing the private sector appointed by the speaker of the House
197     of Representatives;

198          (c) three members appointed by the governor, with at least one member representing
199     the private sector;
200          (d) one member designated by the Transportation Commission;
201          (e) one member designated by the board of trustees of any public transit district serving
202     a population over 200,000 people;
203          (f) one member designated by the Utah League of Cities and Towns;
204          (g) two members designated by the Utah Association of Counties, with one member
205     representing a rural county;
206          (h) one member who is an elected member of the Mountainland Association of
207     Governments; and
208          (i) one member who is the elected chair of the Wasatch Front Regional Council.
209          (3) (a) The president of the Senate shall designate a member of the Senate appointed
210     under Subsection (2)(a)(i) as a cochair of the task force.
211          (b) The speaker of the House of Representatives shall designate a member of the House
212     of Representatives appointed under Subsection (2)(b)(i) as a cochair of the task force.
213          (4) (a) Salaries and expenses of the members of the task force who are legislators shall
214     be paid in accordance with Section 36-2-2 and Legislative Joint Rules, Title 5, Chapter 2,
215     Lodging, Meal, and Transportation Expenses, and Legislative Joint Rules, Title 5, Chapter 3,
216     Legislator Compensation.
217          (b) A member of the task force who is not a legislator may not receive compensation
218     for the member's work associated with the task force, but may receive per diem and
219     reimbursement for travel expenses incurred as a member of the task force at the rates
220     established by the Division of Finance under Sections 63A-3-106 and 63A-3-107.
221          (5) The Office of Legislative Research and General Counsel shall provide staff support
222     to the task force.
223          (6) (a) A vacancy shall be filled by appointing a replacement member in the same
224     manner as the member creating the vacancy was appointed under Subsection (2).
225          (b) Each member of the task force shall serve until a successor is appointed and

226     qualified.
227          (7) (a) A majority of the members of the task force constitutes a quorum.
228          (b) The action of a majority of a quorum constitutes the action of the task force.
229          (8) The task force shall review, evaluate, study, prepare a report, and make
230     recommendations on transportation and related topics, including:
231          (a) evaluation of statewide governance, configuration, and organization strategies to
232     coordinate management and oversight of all forms of transportation in this state;
233          (b) evaluation of and implementation of best practices in:
234          (i) functionality, funding, and operations of transportation in this state and other states;
235          (ii) governance, coordination, oversight, and operational structures of transportation in
236     this state and other states;
237          (iii) meeting funding needs, including consideration of current state and local
238     transportation funding sources, and future projections; and
239          (iv) evaluating the interrelationship of growth, land use, capital development, and
240     transportation;
241          (c) evaluation of alternative transportation revenue mechanisms available or currently in
242     use in this state and around the country, including an evaluation of:
243          (i) existing sales and use tax funding; and
244          (ii) other funding sources, including taxes, fees, and user charges, as part of the
245     transportation funding balance;
246          (d) evaluation and study of best practices to meet multimodal mobility and safety needs
247     in this state that support economic growth and quality of life;
248          (e) impacts of transportation on economic development; and
249          (f) evaluation of best practices in prioritization of transportation projects.
250          (9) The task force may designate and assign subgroups within the task force to address,
251     study, evaluate, and discuss certain issues, including:
252          (a) improvement in governance and transparency of transportation agencies and
253     districts; and

254          (b) allocation of resources based on population, including consideration of previously
255     underserved areas.
256          (10) The task force shall report the task force's findings and recommendations to the
257     Transportation Interim Committee and the governor before December 1, 2017.