7 LONG TITLE
8 General Description:
9 This bill modifies provisions relating to water conservancy district property tax levies.
10 Highlighted Provisions:
11 This bill:
12 ▸ provides that property tax collections of certain water conservancy districts may not
13 exceed a certain amount with exceptions;
14 ▸ provides that if a water conservancy district determines that emergency
15 circumstances exist, a water conservancy district may levy a property tax that
16 exceeds the property tax collection restriction in certain circumstances;
17 ▸ prohibits certain water conservancy districts from issuing bonds secured by certain
18 property tax revenue; and
19 ▸ makes technical changes.
20 Money Appropriated in this Bill:
22 Other Special Clauses:
24 Utah Code Sections Affected:
26 17B-2a-1006, as last amended by Laws of Utah 2010, Chapter 159
28 Be it enacted by the Legislature of the state of Utah:
29 Section 1. Section 17B-2a-1006 is amended to read:
30 17B-2a-1006. Limits on water conservancy district property tax levy -- Additional
32 (1) Except as provided in Subsection (2), and subject to [
33 and (4) and Section 17B-2a-1009, the property tax levy of a water conservancy district for all
34 purposes may not exceed:
35 (a) .0001 per dollar of taxable value of taxable property in the district, before the
36 earliest of:
37 (i) the planning or design of works;
38 (ii) the acquisition of the site or right-of-way on which the works will be constructed;
40 (iii) the commencement of construction of the works; and
41 (b) .0002 per dollar of taxable value of taxable property in the district, after the earliest
42 of the events listed in Subsection (1)(a).
43 (2) Subject to Subsection (3) and Section 17B-2a-1009:
44 (a) in a district that contains land located within the Lower Colorado River Basin, the
45 levy after the earliest of the events listed in Subsection (1)(a) may be increased to a maximum
46 of .001 per dollar of taxable value of taxable property in the district; and
47 (b) in a district to be served under a contract, water appropriation, water allotment, or
48 otherwise by water apportioned by the Colorado River Compact to the Upper Basin, the levy
49 after the earliest of the events listed in Subsection (1)(a) may be increased to a maximum of
50 .0004 per dollar of taxable value of taxable property.
51 (3) [
52 impose an additional property tax levy, not to exceed .0001 per dollar of taxable value of
53 taxable property in the district, if the additional levy is necessary to provide adequate funds to
54 pay maturing bonds or other debts of the district.
55 (4) (a) Except as provided in Subsections (4)(b) and (c), beginning on July 1, 2020,
56 property tax collections by a water conservancy district may not exceed 15% of a district's total
57 annual revenues according to the district's most recent audited financial statement on record
58 with the state auditor if all or part of the district's service area is within a county of the first or
59 second class.
60 (b) A water conservancy district with a service area that comprises more than five
61 counties as of January 1, 2016, is exempt from the restriction in Subsection (4)(a).
62 (c) If a water conservancy district determines that emergency circumstances exist, a
63 water conservancy district may levy a property tax that exceeds the property tax collection
64 restriction under Subsection (4)(a) if approved by at least 75% of water conservancy district
65 voters at an election held for that purpose.
66 (5) Beginning on July 1, 2017, a water conservancy district subject to the restriction in
67 Subsection (4) may not issue bonds secured by property tax revenue levied under this section.
Legislative Review Note
Office of Legislative Research and General Counsel