1     
HOMELESS SHELTER FUNDING AMENDMENTS

2     
2018 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Gene Davis

5     
House Sponsor: Steve Eliason

6     

7     LONG TITLE
8     General Description:
9          This bill creates the Homeless Shelter Cities Mitigation Restricted Account and
10     authorizes the use of the restricted account's funds.
11     Highlighted Provisions:
12          This bill:
13          ▸     allows redevelopment agencies to transfer funds to a county or municipality under
14     certain circumstances;
15          ▸     modifies the membership of the Homeless Coordinating Committee;
16          ▸     defines terms;
17          ▸     creates an application process for certain municipalities with homeless shelters to
18     obtain Homeless Shelter Cities Mitigation Restricted Account funds to employ and
19     equip additional personnel to provide public safety services;
20          ▸     creates a grant program with funds from the Homeless Shelter Cities Mitigation
21     Restricted Account for a municipality with a homeless shelter to pay for programs
22     to mitigate the impact of the homeless shelter and for the Department of Public
23     Safety to employ additional personnel to provide public safety;
24          ▸     requires the State Tax Commission to deposit a percentage of a county's or
25     municipality's local option sales and use tax revenue into the Homeless Shelter
26     Cities Mitigation Restricted Account;
27          ▸     directs the Department of Workforce Services on how to disburse funds from the
28     Homeless Shelter Cities Mitigation Restricted Account; and
29          ▸     makes technical changes.

30     Money Appropriated in this Bill:
31          This bill appropriates in fiscal year 2019:
32          ▸     to the Department of Workforce Services - Housing and Community Development
33     - Homeless Shelter Cities Mitigation Program, as a one-time appropriation:
34               •     from the Homeless Shelter Cities Mitigation Restricted Account, One-time,
35     $2,500,000.
36     Other Special Clauses:
37          None
38     Utah Code Sections Affected:
39     AMENDS:
40          17C-1-409, as last amended by Laws of Utah 2016, Chapter 350
41          17C-1-411, as last amended by Laws of Utah 2016, Chapter 350
42          17C-1-412, as last amended by Laws of Utah 2016, Chapter 350
43          35A-8-601, as last amended by Laws of Utah 2016, Chapter 278
44          59-12-205, as last amended by Laws of Utah 2017, Chapters 230 and 385
45          59-12-302, as last amended by Laws of Utah 2016, Chapter 364
46          59-12-354, as last amended by Laws of Utah 2016, Chapter 364
47          59-12-403, as last amended by Laws of Utah 2016, Chapter 364
48          59-12-603, as last amended by Laws of Utah 2017, Chapter 178
49          59-12-703, as last amended by Laws of Utah 2017, Chapters 181 and 422
50          59-12-802, as last amended by Laws of Utah 2017, Chapter 422
51          59-12-804, as last amended by Laws of Utah 2017, Chapter 422
52          59-12-1102, as last amended by Laws of Utah 2016, Chapter 364
53          59-12-1302, as last amended by Laws of Utah 2017, Chapter 422
54          59-12-1402, as last amended by Laws of Utah 2017, Chapter 422
55          59-12-2103, as last amended by Laws of Utah 2017, Chapter 422
56          59-12-2206, as last amended by Laws of Utah 2017, Chapter 160
57     ENACTS:

58          35A-8-606, Utah Code Annotated 1953
59          35A-8-607, Utah Code Annotated 1953
60          35A-8-608, Utah Code Annotated 1953
61          35A-8-609, Utah Code Annotated 1953
62          63J-1-801, Utah Code Annotated 1953
63          63J-1-802, Utah Code Annotated 1953
64     

65     Be it enacted by the Legislature of the state of Utah:
66          Section 1. Section 17C-1-409 is amended to read:
67          17C-1-409. Allowable uses of agency funds.
68          (1) (a) An agency may use agency funds:
69          (i) for any purpose authorized under this title;
70          (ii) for administrative, overhead, legal, or other operating expenses of the agency,
71     including consultant fees and expenses under Subsection 17C-2-102(1)(b)(ii)(B) or funding for
72     a business resource center;
73          (iii) to pay for, including financing or refinancing, all or part of:
74          (A) project area development in a project area, including environmental remediation
75     activities occurring before or after adoption of the project area plan;
76          (B) housing-related expenditures, projects, or programs as described in Section
77     17C-1-411 or 17C-1-412;
78          (C) an incentive or other consideration paid to a participant under a participation
79     agreement;
80          (D) subject to Subsections (1)(c) and (4), the value of the land for and the cost of the
81     installation and construction of any publicly owned building, facility, structure, landscaping, or
82     other improvement within the project area from which the project area funds are collected; or
83          (E) the cost of the installation of publicly owned infrastructure and improvements
84     outside the project area from which the project area funds are collected if the board and the
85     community legislative body determine by resolution that the publicly owned infrastructure and

86     improvements benefit the project area; [or]
87          (iv) in an urban renewal project area that includes some or all of an inactive industrial
88     site and subject to Subsection (1)(e), to reimburse the Department of Transportation created
89     under Section 72-1-201, or a public transit district created under Title 17B, Chapter 2a, Part 8,
90     Public Transit District Act, for the cost of:
91          (A) construction of a public road, bridge, or overpass;
92          (B) relocation of a railroad track within the urban renewal project area; or
93          (C) relocation of a railroad facility within the urban renewal project area[.]; or
94          (v) subject to Subsection (5), to transfer funds to a community that created the agency.
95          (b) The determination of the board and the community legislative body under
96     Subsection (1)(a)(iii)(E) regarding benefit to the project area shall be final and conclusive.
97          (c) An agency may not use project area funds received from a taxing entity for the
98     purposes stated in Subsection (1)(a)(iii)(D) under an urban renewal project area plan, an
99     economic development project area plan, or a community reinvestment project area plan
100     without the community legislative body's consent.
101          (d) (i) Subject to Subsection (1)(d)(ii), an agency may loan project area funds from a
102     project area fund to another project area fund if:
103          (A) the board approves; and
104          (B) the community legislative body approves.
105          (ii) An agency may not loan project area funds under Subsection (1)(d)(i) unless the
106     projections for agency funds are sufficient to repay the loan amount.
107          (iii) A loan described in Subsection (1)(d) is not subject to Title 10, Chapter 5,
108     Uniform Fiscal Procedures Act for Utah Towns, Title 10, Chapter 6, Uniform Fiscal
109     Procedures Act for Utah Cities, Title 17, Chapter 36, Uniform Fiscal Procedures Act for
110     Counties, or Title 17B, Chapter 1, Part 6, Fiscal Procedures for Local Districts.
111          (e) Before an agency may pay any tax increment or sales tax revenue under Subsection
112     (1)(a)(iv), the agency shall enter into an interlocal agreement defining the terms of the
113     reimbursement with:

114          (i) the Department of Transportation; or
115          (ii) a public transit district.
116          (2) (a) Sales and use tax revenue that an agency receives from a taxing entity is not
117     subject to the prohibition or limitations of Title 11, Chapter 41, Prohibition on Sales and Use
118     Tax Incentive Payments Act.
119          (b) An agency may use sales and use tax revenue that the agency receives under an
120     interlocal agreement under Section 17C-4-201 or 17C-5-204 for the uses authorized in the
121     interlocal agreement.
122          (3) (a) An agency may contract with the community that created the agency or another
123     public entity to use agency funds to reimburse the cost of items authorized by this title to be
124     paid by the agency that are paid by the community or other public entity.
125          (b) If land is acquired or the cost of an improvement is paid by another public entity
126     and the land or improvement is leased to the community, an agency may contract with and
127     make reimbursement from agency funds to the community.
128          (4) Notwithstanding any other provision of this title, an agency may not use project
129     area funds to construct a local government building unless the taxing entity committee or each
130     taxing entity party to an interlocal agreement with the agency consents.
131          (5) For the purpose of offsetting the community's annual local contribution to the
132     Homeless Shelter Cities Mitigation Restricted Account, the total amount an agency transfers in
133     a calendar year to a community under Subsections (1)(a)(v), 17C-1-411(1)(d), and
134     17C-1-412(1)(a)(x) may not exceed the community's annual local contribution as defined in
135     Section 35A-8-606.
136          Section 2. Section 17C-1-411 is amended to read:
137          17C-1-411. Use of project area funds for housing-related improvements and for
138     relocating mobile home park residents -- Funds to be held in separate accounts.
139          (1) An agency may use project area funds:
140          (a) to pay all or part of the value of the land for and the cost of installation,
141     construction, or rehabilitation of any housing-related building, facility, structure, or other

142     housing improvement, including infrastructure improvements related to housing, located in any
143     project area within the agency's boundaries;
144          (b) outside of a project area for the purpose of:
145          (i) replacing housing units lost by project area development; or
146          (ii) increasing, improving, or preserving the affordable housing supply within the
147     boundary of the agency; [or]
148          (c) for relocating mobile home park residents displaced by project area development,
149     whether inside or outside a project area[.]; or
150          (d) subject to Subsection (4), to transfer funds to a community that created the agency.
151          (2) (a) Each agency shall create a housing fund and separately account for project area
152     funds allocated under this section.
153          (b) Interest earned by the housing fund described in Subsection (2)(a), and any
154     payments or repayments made to the agency for loans, advances, or grants of any kind from the
155     housing fund, shall accrue to the housing fund.
156          (c) An agency that designates a housing fund under this section shall use the housing
157     fund for the purposes set forth in this section or Section 17C-1-412.
158          (3) An agency may lend, grant, or contribute funds from the housing fund to a person,
159     public entity, housing authority, private entity or business, or nonprofit corporation for
160     affordable housing or homeless assistance.
161          (4) For the purpose of offsetting the community's annual local contribution to the
162     Homeless Shelter Cities Mitigation Restricted Account, the total amount an agency transfers in
163     a calendar year to a community under Subsections (1)(d), 17C-1-409(1)(a)(v), and
164     17C-1-412(1)(a)(x) may not exceed the community's annual local contribution as defined in
165     Section 35A-8-606.
166          Section 3. Section 17C-1-412 is amended to read:
167          17C-1-412. Use of housing allocation -- Separate accounting required -- Issuance
168     of bonds for housing -- Action to compel agency to provide housing allocation.
169          (1) (a) An agency shall use the agency's housing allocation, if applicable, to:

170          (i) pay part or all of the cost of land or construction of income targeted housing within
171     the boundary of the agency, if practicable in a mixed income development or area;
172          (ii) pay part or all of the cost of rehabilitation of income targeted housing within the
173     boundary of the agency;
174          (iii) lend, grant, or contribute money to a person, public entity, housing authority,
175     private entity or business, or nonprofit corporation for income targeted housing within the
176     boundary of the agency;
177          (iv) plan or otherwise promote income targeted housing within the boundary of the
178     agency;
179          (v) pay part or all of the cost of land or installation, construction, or rehabilitation of
180     any building, facility, structure, or other housing improvement, including infrastructure
181     improvements, related to housing located in a project area where blight has been found to exist;
182          (vi) replace housing units lost as a result of the project area development;
183          (vii) make payments on or establish a reserve fund for bonds:
184          (A) issued by the agency, the community, or the housing authority that provides
185     income targeted housing within the community; and
186          (B) all or part of the proceeds of which are used within the community for the purposes
187     stated in Subsection (1)(a)(i), (ii), (iii), (iv), (v), or (vi);
188          (viii) if the community's fair share ratio at the time of the first adoption of the project
189     area budget is at least 1.1 to 1.0, make payments on bonds:
190          (A) that were previously issued by the agency, the community, or the housing authority
191     that provides income targeted housing within the community; and
192          (B) all or part of the proceeds of which were used within the community for the
193     purposes stated in Subsection (1)(a)(i), (ii), (iii), (iv), (v), or (vi); [or]
194          (ix) relocate mobile home park residents displaced by project area development[.]; or
195          (x) subject to Subsection (6), transfer funds to a community that created the agency.
196          (b) As an alternative to the requirements of Subsection (1)(a), an agency may pay all or
197     any portion of the agency's housing allocation to:

198          (i) the community for use as described in Subsection (1)(a);
199          (ii) a housing authority that provides income targeted housing within the community
200     for use in providing income targeted housing within the community;
201          (iii) a housing authority established by the county in which the agency is located for
202     providing:
203          (A) income targeted housing within the county;
204          (B) permanent housing, permanent supportive housing, or a transitional facility, as
205     defined in Section 35A-5-302, within the county; or
206          (C) homeless assistance within the county; or
207          (iv) the Olene Walker Housing Loan Fund, established under Title 35A, Chapter 8,
208     Part 5, Olene Walker Housing Loan Fund, for use in providing income targeted housing within
209     the community.
210          (2) The agency shall create a housing fund and separately account for the agency's
211     housing allocation, together with all interest earned by the housing allocation and all payments
212     or repayments for loans, advances, or grants from the housing allocation.
213          (3) An agency may:
214          (a) issue bonds to finance a housing-related project under this section, including the
215     payment of principal and interest upon advances for surveys and plans or preliminary loans;
216     and
217          (b) issue refunding bonds for the payment or retirement of bonds under Subsection
218     (3)(a) previously issued by the agency.
219          (4) (a) Except as provided in Subsection (4)(b), an agency shall allocate money to the
220     housing fund each year in which the agency receives sufficient tax increment to make a
221     housing allocation required by the project area budget.
222          (b) Subsection (4)(a) does not apply in a year in which tax increment is insufficient.
223          (5) (a) Except as provided in Subsection (4)(b), if an agency fails to provide a housing
224     allocation in accordance with the project area budget and, if applicable, the housing plan
225     adopted under Subsection 17C-2-204(2), the loan fund board may bring legal action to compel

226     the agency to provide the housing allocation.
227          (b) In an action under Subsection (5)(a), the court:
228          (i) shall award the loan fund board reasonable attorney fees, unless the court finds that
229     the action was frivolous; and
230          (ii) may not award the agency the agency's attorney fees, unless the court finds that the
231     action was frivolous.
232          (6) For the purpose of offsetting the community's annual local contribution to the
233     Homeless Shelter Cities Mitigation Restricted Account, the total amount an agency transfers in
234     a calendar year to a community under Subsections (1)(a)(x), 17C-1-409(1)(a)(v), and
235     17C-1-411(1)(d) may not exceed the community's annual local contribution as defined in
236     Section 35A-8-606.
237          Section 4. Section 35A-8-601 is amended to read:
238          35A-8-601. Creation.
239          (1) There is created within the division the Homeless Coordinating Committee.
240          (2) (a) The committee shall consist of the following members :
241          (i) the lieutenant governor or the lieutenant governor's designee;
242          (ii) the state planning coordinator or the coordinator's designee;
243          (iii) the state superintendent of public instruction or the superintendent's designee;
244          (iv) the chair of the board of trustees of the Utah Housing Corporation or the chair's
245     designee;
246          (v) the executive director of the Department of Workforce Services or the executive
247     director's designee;
248          (vi) the executive director of the Department of Corrections or the executive director's
249     designee;
250          (vii) the executive director of the Department of Health or the executive director's
251     designee;
252          (viii) the executive director of the Department of Human Services or the executive
253     director's designee;

254          (ix) the mayor of Salt Lake City[; and] or the mayor's designee;
255          (x) the mayor of Salt Lake County[.] or the mayor's designee;
256          (xi) the mayor of Ogden or the mayor's designee;
257          (xii) the mayor of Midvale or the mayor's designee;
258          (xiii) the mayor of St. George or the mayor's designee; and
259          (xiv) the mayor of South Salt Lake or the mayor's designee.
260          (b) (i) The lieutenant governor shall serve as the chair of the committee.
261          (ii) The lieutenant governor may appoint a vice chair from among committee members,
262     who shall conduct committee meetings in the absence of the lieutenant governor.
263          (3) The governor may appoint as members of the committee:
264          (a) representatives of local governments, local housing authorities, local law
265     enforcement agencies;
266          (b) representatives of federal and private agencies and organizations concerned with
267     the homeless, persons with a mental illness, the elderly, single-parent families, persons with a
268     substance use disorder, and persons with a disability; and
269          (c) a resident of Salt Lake County.
270          (4) (a) Except as required by Subsection (4)(b), as terms of current committee members
271      appointed under Subsection (3) expire, the governor shall appoint each new member or
272     reappointed member to a four-year term.
273          (b) Notwithstanding the requirements of Subsection (4)(a), the governor shall, at the
274     time of appointment or reappointment, adjust the length of terms to ensure that the terms of
275     committee members are staggered so that approximately half of the committee is appointed
276     every two years.
277          (c) A member appointed under Subsection (3) may not be appointed to serve more than
278     three consecutive terms.
279          (5) When a vacancy occurs in the membership for any reason, the replacement is
280     appointed for the unexpired term.
281          (6) A member may not receive compensation or benefits for the member's service, but

282     may receive per diem and travel expenses in accordance with:
283          (a) Section 63A-3-106;
284          (b) Section 63A-3-107; and
285          (c) rules made by the Division of Finance pursuant to Sections 63A-3-106 and
286     63A-3-107.
287          Section 5. Section 35A-8-606 is enacted to read:
288          35A-8-606. Homeless Shelter Cities Mitigation Restricted Account.
289          (1) As used in this section:
290          (a) "Annual local contribution" means:
291          (i) for a participating local government, the lesser of $200,000 or an amount equal to
292     1.8% of the participating local government's tax revenue distribution amount under Subsection
293     59-12-205(2)(a) for the previous fiscal year; or
294          (ii) for an eligible municipality or a grant eligible entity that is certified in accordance
295     with Section 35A-8-609, $0.
296          (b) "Eligible municipality" means the same as that term is defined in Section
297     35A-8-607.
298          (c) "Grant eligible entity" means the same as that term is defined in Section 35A-8-608.
299          (d) "Participating local government" means a county or municipality, as defined in
300     Section 10-1-104, that is not an eligible municipality or grant eligible entity as certified by the
301     department in accordance with Section 35A-8-609.
302          (2) There is created a restricted account within the General Fund known as the
303     Homeless Shelter Cities Mitigation Restricted Account.
304          (3) The account shall be funded by:
305          (a) local sales and use tax revenue deposited into the account in accordance with
306     Section 59-12-205; and
307          (b) interest earned on the account.
308          (4) (a) The department shall administer the account.
309          (b) Subject to appropriation, the department shall disburse funds from the account to:

310          (i) eligible municipalities in accordance with Sections 35A-8-607 and 63J-1-802; and
311          (ii) grant eligible entities in accordance with Sections 35A-8-608 and 63J-1-802.
312          Section 6. Section 35A-8-607 is enacted to read:
313          35A-8-607. Eligible municipality application process for Homeless Shelter Cities
314     Mitigation Restricted Account funds.
315          (1) As used in this section:
316          (a) "Account" means the restricted account created in Section 35A-8-606.
317          (b) "Committee" means the Homeless Coordinating Committee created in this part.
318          (c) "Eligible municipality" means a city of the third, fourth, or fifth class, a town, or a
319     metro township that:
320          (i) has, or is proposed to have, a homeless shelter within the city's, town's, or metro
321     township's geographic boundaries;
322          (ii) due to the location of a homeless shelter within the city's, town's, or metro
323     township's geographic boundaries, needs more public safety services than the city, town, or
324     metro township needed before the location of the homeless shelter within the city's, town's, or
325     metro township's geographic boundaries; and
326          (iii) is certified as an eligible municipality in accordance with Section 35A-8-609.
327          (d) "Homeless shelter" means a facility that:
328          (i) provides or is proposed to provide temporary shelter to homeless individuals;
329          (ii) has or is proposed to have the capacity to provide temporary shelter to at least 200
330     individuals per night; and
331          (iii) operates year-round and is not subject to restrictions that limit the hours, days,
332     weeks, or months of operation.
333          (e) "Public safety services" means law enforcement, emergency medical services, and
334     fire protection.
335          (2) (a) An eligible municipality may request account funds to employ and equip
336     additional personnel to provide public safety services in and around a homeless shelter within
337     the eligible municipality's geographic boundaries.

338          (b) (i) An eligible municipality that builds or has proposed to build a homeless shelter
339     on or after July 1, 2018, shall be eligible to receive at least 40% of the account funds, if the
340     eligible municipality meets the requirements of this section.
341          (ii) An eligible municipality that built a homeless shelter on or before June 30, 2018,
342     shall be eligible to receive at least 20% of the account funds, if the eligible municipality meets
343     the requirements of this section.
344          (3) (a) This Subsection (3) applies to an eligible municipality's request for account
345     funds for the fiscal year beginning on July 1, 2018, only.
346          (b) An eligible municipality may make a request for account funds by:
347          (i) sending an electronic copy of the request to the committee before the first meeting
348     of the committee on or after July 1, 2018; and
349          (ii) appearing at the first meeting of the committee on or after July 1, 2018, to present
350     the request.
351          (c) The request described in Subsection (3)(b) shall contain:
352          (i) data relating to the eligible municipality's public safety services for the last fiscal
353     year before a homeless shelter was located or proposed to be located within the eligible
354     municipality's boundaries, including:
355          (A) crime statistics; and
356          (B) calls for public safety services;
357          (ii) data showing the eligible municipality's need for public safety services in the next
358     fiscal year;
359          (iii) a summary of the eligible municipality's proposed use of account funds; and
360          (iv) a copy of the eligible municipality's budget, which includes a request in a specific
361     amount for additional personnel to provide public safety services.
362          (d) The committee shall evaluate a request made in accordance with this Subsection (3)
363     using the following factors:
364          (i) the strength and reliability of the data that the eligible municipality provides to
365     support the request;

366          (ii) the availability of alternative funding for the eligible municipality to address the
367     eligible municipality's need for public safety services; and
368          (iii) any other considerations identified by the committee.
369          (e) (i) After making the evaluation described in Subsection (3)(d) and subject to
370     appropriation, the committee shall vote to:
371          (A) fund the eligible municipality's request; or
372          (B) fund the eligible municipality's request at a reduced level, as determined by the
373     committee.
374          (ii) The committee shall support the vote described in Subsection (3)(e)(i) with
375     findings on each of the factors described in Subsection (3)(d).
376          (f) (i) An eligible municipality that receives an award of account funds under this
377     Subsection (3) shall submit an invoice of the eligible municipality's expenses, with supporting
378     documentation, to the department monthly for reimbursement.
379          (ii) Each month, beginning in January 2019, the department shall disburse the revenue
380     in the account to reimburse the eligible municipality that submits the information described in
381     Subsection (3)(f)(i) for the amount on the invoice or contract.
382          (4) (a) This Subsection (4) applies to a fiscal year beginning on or after July 1, 2019.
383          (b) (i) The committee shall set aside time on an the agenda of a committee meeting that
384     occurs on or after July 1 and on or before November 30 to allow an eligible municipality to
385     present a request for account funds for the next fiscal year.
386          (ii) An eligible municipality may present a request for account funds by:
387          (A) sending an electronic copy of the request to the committee before the meeting; and
388          (B) appearing at the meeting to present the request.
389          (c) The request described in Subsection (4)(b) shall contain:
390          (i) data relating to the eligible municipality's public safety services for the last fiscal
391     year before a homeless shelter was located or proposed to be located within the eligible
392     municipality's boundaries, including:
393          (A) crime statistics; and

394          (B) calls for public safety services;
395          (ii) data showing the eligible municipality's need for public safety services in the next
396     fiscal year;
397          (iii) a summary of the eligible municipality's proposed use of account funds; and
398          (iv) a copy of the eligible municipality's budget, which includes a request in a specific
399     amount for additional personnel to provide public safety services.
400          (d) (i) On or before November 30, an eligible municipality that received account funds
401     during the previous fiscal year shall file electronically with the committee a report that
402     includes:
403          (A) a summary of the amount of account funds that the eligible municipality expended
404     and the eligible municipality's specific use of those funds;
405          (B) an evaluation of the eligible municipality's effectiveness in using the account funds
406     to address the eligible municipality's public safety needs; and
407          (C) any proposals for improving the eligible municipality's effectiveness in using
408     account funds that the eligible municipality may receive in future fiscal years.
409          (ii) The committee may request additional information as needed to make the
410     evaluation described in Subsection (4)(e).
411          (e) The committee shall evaluate a request made in accordance with this Subsection (4)
412     using the following factors:
413          (i) the strength and reliability of the data that the eligible municipality provided to
414     support the request;
415          (ii) if the eligible municipality received account funds during the previous fiscal year,
416     the efficiency with which the eligible municipality used any account funds during the previous
417     fiscal year;
418          (iii) the availability of alternative funding for the eligible municipality to address the
419     eligible municipality's need for public safety services; and
420          (iv) any other considerations identified by the committee.
421          (f) (i) After making the evaluation described in Subsection (4)(e) and subject to other

422     provisions of this Subsection (4)(f), the committee shall vote to recommend that an eligible
423     municipality's request be:
424          (A) funded as requested; or
425          (B) funded at a reduced level, as determined by the committee.
426          (ii) The committee shall support the recommendation described in Subsection (4)(f)(i)
427     with findings on each of the factors described in Subsection (4)(e).
428          (g) The committee shall submit the recommendation described in Subsection (4)(f) to:
429          (i) the governor for inclusion in the governor's budget to be submitted to the
430     Legislature; and
431          (ii) the Social Services Appropriations Subcommitee of the Legislature for approval in
432     accordance with Section 63J-1-802.
433          (h) (i) An eligible municipality that is approved to receive account funds under Section
434     63J-1-802 shall submit an invoice of the eligible municipality's expenses, with supporting
435     documentation, to the department monthly for reimbursement.
436          (ii) Each month, the department shall disburse the revenue in the account to reimburse
437     an eligible municipality that submits the information described in Subsection (4)(h)(i) for the
438     amount on the invoice or contract.
439          (5) On or before October 1, the department, in cooperation with the committee, shall:
440          (a) submit an annual written report electronically to the Social Services Appropriations
441     Subcommittee of the Legislature that gives a complete accounting of the department's
442     disbursement of the money from the account under this section for the previous fiscal year; and
443          (b) include information regarding the disbursement of money from the account under
444     this section in the annual report described in Section 35A-1-109.
445          Section 7. Section 35A-8-608 is enacted to read:
446          35A-8-608. Grant eligible entity application process for Homeless Shelter Cities
447     Mitigation Restricted Account funds.
448          (1) As used in this section:
449          (a) "Account" means the restricted account created in Section 35A-8-606.

450          (b) "Committee" means the Homeless Coordinating Committee created in this part.
451          (c) "Grant" means an award of funds from the account.
452          (d) "Grant eligible entity" means:
453          (i) the Department of Public Safety; or
454          (ii) a city, town, or metro township that:
455          (A) has a homeless shelter within the city's, town's, or metro township's geographic
456     boundaries;
457          (B) has increased community, social service, and public safety service needs due to the
458     location of a homeless shelter within the city's, town's, or metro township's geographic
459     boundaries; and
460          (C) is certified as a grant eligible entity in accordance with Section 35A-8-609.
461          (e) "Homeless shelter" means a facility that:
462          (i) provides temporary shelter to homeless individuals;
463          (ii) has the capacity to provide temporary shelter to at least 60 individuals per night;
464     and
465          (iii) operates year-round and is not subject to restrictions that limit the hours, days,
466     weeks, or months of operation.
467          (f) "Public safety services" means law enforcement, emergency medical services, and
468     fire protection.
469          (2) Subject to the availability of funds, a grant eligible entity may request a grant to
470     mitigate the impacts of the location of a homeless shelter:
471          (a) through employment of additional personnel to provide public safety services in
472     and around a homeless shelter; or
473          (b) for a grant eligible entity that is a city, town, or metro township, through:
474          (i) development of a community and neighborhood program within the city's, town's, or
475     metro township's boundaries; or
476          (ii) provision of social services within the city's, town's, or metro township's
477     boundaries.

478          (3) (a) In accordance with Title 63G, Chapter 4, Administrative Procedures Act, the
479     department shall make rules governing:
480          (i) the process for determining whether there is sufficient revenue to the account to
481     offer a grant program for the next fiscal year; and
482          (ii) the process for notifying grant eligible entities about the availability of grants for
483     the next fiscal year.
484          (b) (i) If the committee offers a grant program for the next fiscal year, the committee
485     shall set aside time on the agenda of a committee meeting that occurs on or after July 1 and on
486     or before November 30 to allow a grant eligible entity to present a request for account funds for
487     the next fiscal year.
488          (ii) A grant eligible entity may present a request for account funds by:
489          (A) sending an electronic copy of the request to the committee before the meeting; and
490          (B) appearing at the meeting to present the request.
491          (c) The request described in Subsection (3)(b) shall contain:
492          (i) for a grant request to develop a community and neighborhood program:
493          (A) a proposal outlining the components of a community and neighborhood program;
494          (B) a summary of the grant eligible entity's proposed use of any grant awarded; and
495          (C) the amount requested;
496          (ii) for a grant request to provide social services:
497          (A) a proposal outlining the need for additional social services;
498          (B) a summary of the grant eligible entity's proposed use of any grant awarded; and
499          (C) the amount requested;
500          (iii) for a grant request to employ additional personnel to provide public safety
501     services:
502          (A) data relating to the grant eligible entity's public safety services for the current fiscal
503     year, including crime statistics and calls for public safety services;
504          (B) data showing an increase in the grant eligible entity's need for public safety
505     services in the next fiscal year;

506          (C) a summary of the grant eligible entity's proposed use of any grant awarded; and
507          (D) the amount requested; and
508          (iv) for a grant request to provide some combination of the activities described in
509     Subsections (3)(c)(i) through (iii), the information required by this Subsection (3) for each
510     activity for which the grant eligible entity requests a grant.
511          (d) (i) On or before November 30, a grant eligible entity that received a grant during
512     the previous fiscal year shall file electronically with the committee a report that includes:
513          (A) a summary of the amount of the grant that the grant eligible entity received and the
514     grant eligible entity's specific use of those funds;
515          (B) an evaluation of the grant eligible entity's effectiveness in using the grant to
516     address the grant eligible entity's increased needs due to the location of a homeless shelter; and
517          (C) any proposals for improving the grant eligible entity's effectiveness in using a grant
518     that the grant eligible entity may receive in future fiscal years.
519          (ii) The committee may request additional information as needed to make the
520     evaluation described in Subsection (3)(e).
521          (e) The committee shall evaluate a grant request made in accordance with this
522     Subsection (3) using the following factors:
523          (i) the strength of the proposal that the grant eligible entity provides to support the
524     request;
525          (ii) if the grant eligible entity received a grant during the previous fiscal year, the
526     efficiency with which the grant eligible entity used the grant during the previous fiscal year;
527          (iii) the availability of alternative funding for the grant eligible entity to address the
528     grant eligible entity's needs due to the location of a homeless shelter; and
529          (iv) any other considerations identified by the committee.
530          (f) (i) After making the evaluation described in Subsection (3)(e) for each grant eligible
531     entity that makes a grant request and subject to other provisions of this Subsection (3)(f), the
532     committee shall vote to:
533          (A) prioritize the grant requests; and

534          (B) recommend a grant amount for each grant eligible entity.
535          (ii) The committee shall support the prioritization and recommendation described in
536     Subsection (3)(f)(i) with findings on each of the factors described in Subsection (3)(e).
537          (g) The committee shall submit a list that prioritizes the grant requests and
538     recommends a grant amount for each grant eligible entity that requested a grant to:
539          (i) the governor for inclusion in the governor's budget to be submitted to the
540     Legislature; and
541          (ii) the Social Services Appropriations Subcommitee of the Legislature for approval in
542     accordance with Section 63J-1-802.
543          (4) (a) Subject to Subsection (4)(b), the department shall disburse the revenue in the
544     account as a grant to a grant eligible entity:
545          (i) after making the disbursements required by Section 35A-8-607; and
546          (ii) subject to the availability of funds in the account:
547          (A) in the order of priority that the Legislature gives to each eligible grant entity under
548     Section 63J-1-802; and
549          (B) in the amount that the Legislature approves to a grant eligible entity under Section
550     63J-1-802.
551          (b) In accordance with Title 63G, Chapter 4, Administrative Procedures Act, the
552     department shall make rules governing the process for the department to determine the timeline
553     within the fiscal year for funding the grants.
554          (5) On or before October 1, the department, in cooperation with the committee, shall:
555          (a) submit an annual written report electronically to the Social Services Appropriations
556     Subcommittee of the Legislature that gives a complete accounting of the department's
557     disbursement of the money from the account under this section for the previous fiscal year; and
558          (b) include information regarding the disbursement of money from the account under
559     this section in the annual report described in Section 35A-1-109.
560          Section 8. Section 35A-8-609 is enacted to read:
561          35A-8-609. Certification of eligible municipality or grant eligible entity.

562          (1) The department shall certify each year, on or after July 1 and before the first
563     meeting of the committee after July 1, the cities or towns that meet the requirements of an
564     eligible municipality or a grant eligible entity as of July 1.
565          (2) On or before October 1, the department shall provide a list of the cities or towns
566     that the department has certified as meeting the requirements of an eligible municipality or a
567     grant eligible entity for the year to the State Tax Commission.
568          Section 9. Section 59-12-205 is amended to read:
569          59-12-205. Ordinances to conform with statutory amendments -- Distribution of
570     tax revenue -- Determination of population.
571          (1) To maintain in effect sales and use tax ordinances adopted pursuant to Section
572     59-12-204, a county, city, or town shall adopt amendments to the county's, city's, or town's
573     sales and use tax ordinances:
574          (a) within 30 days of the day on which the state makes an amendment to an applicable
575     provision of Part 1, Tax Collection; and
576          (b) as required to conform to the amendments to Part 1, Tax Collection.
577          (2) Except as provided in Subsections (3) through [(6)] (7) and subject to Subsection
578     [(7)] (8):
579          (a) 50% of each dollar collected from the sales and use tax authorized by this part shall
580     be distributed to each county, city, and town on the basis of the percentage that the population
581     of the county, city, or town bears to the total population of all counties, cities, and towns in the
582     state; and
583          (b) (i) except as provided in Subsection (2)(b)(ii), 50% of each dollar collected from
584     the sales and use tax authorized by this part shall be distributed to each county, city, and town
585     on the basis of the location of the transaction as determined under Sections 59-12-211 through
586     59-12-215; and
587          (ii) 50% of each dollar collected from the sales and use tax authorized by this part
588     within a project area described in a project area plan adopted by the military installation
589     development authority under Title 63H, Chapter 1, Military Installation Development

590     Authority Act, shall be distributed to the military installation development authority created in
591     Section 63H-1-201.
592          (3) (a) Beginning on July 1, 2017, and ending on June 30, 2022, the commission shall
593     distribute annually to a county, city, or town the distribution required by this Subsection (3) if:
594          (i) the county, city, or town is a:
595          (A) county of the third, fourth, fifth, or sixth class;
596          (B) city of the fifth class; or
597          (C) town;
598          (ii) the county, city, or town received a distribution under this section for the calendar
599     year beginning on January 1, 2008, that was less than the distribution under this section that the
600     county, city, or town received for the calendar year beginning on January 1, 2007;
601          (iii) (A) for a county described in Subsection (3)(a)(i)(A), the county had located
602     within the unincorporated area of the county for one or more days during the calendar year
603     beginning on January 1, 2008, an establishment described in NAICS Industry Group 2121,
604     Coal Mining, or NAICS Code 213113, Support Activities for Coal Mining, of the 2002 North
605     American Industry Classification System of the federal Executive Office of the President,
606     Office of Management and Budget; or
607          (B) for a city described in Subsection (3)(a)(i)(B) or a town described in Subsection
608     (3)(a)(i)(C), the city or town had located within the city or town for one or more days during
609     the calendar year beginning on January 1, 2008, an establishment described in NAICS Industry
610     Group 2121, Coal Mining, or NAICS Code 213113, Support Activities for Coal Mining, of the
611     2002 North American Industry Classification System of the federal Executive Office of the
612     President, Office of Management and Budget; and
613          (iv) (A) for a county described in Subsection (3)(a)(i)(A), at least one establishment
614     described in Subsection (3)(a)(iii)(A) located within the unincorporated area of the county for
615     one or more days during the calendar year beginning on January 1, 2008, was not the holder of
616     a direct payment permit under Section 59-12-107.1; or
617          (B) for a city described in Subsection (3)(a)(i)(B) or a town described in Subsection

618     (3)(a)(i)(C), at least one establishment described in Subsection (3)(a)(iii)(B) located within a
619     city or town for one or more days during the calendar year beginning on January 1, 2008, was
620     not the holder of a direct payment permit under Section 59-12-107.1.
621          (b) The commission shall make the distribution required by this Subsection (3) to a
622     county, city, or town described in Subsection (3)(a):
623          (i) from the distribution required by Subsection (2)(a); and
624          (ii) before making any other distribution required by this section.
625          (c) (i) For purposes of this Subsection (3), the distribution is the amount calculated by
626     multiplying the fraction calculated under Subsection (3)(c)(ii) by $333,583.
627          (ii) For purposes of Subsection (3)(c)(i):
628          (A) the numerator of the fraction is the difference calculated by subtracting the
629     distribution a county, city, or town described in Subsection (3)(a) received under this section
630     for the calendar year beginning on January 1, 2008, from the distribution under this section that
631     the county, city, or town received for the calendar year beginning on January 1, 2007; and
632          (B) the denominator of the fraction is $333,583.
633          (d) A distribution required by this Subsection (3) is in addition to any other distribution
634     required by this section.
635          (4) (a) For fiscal years beginning with fiscal year 1983-84 and ending with fiscal year
636     2005-06, a county, city, or town may not receive a tax revenue distribution less than .75% of
637     the taxable sales within the boundaries of the county, city, or town.
638          (b) The commission shall proportionally reduce monthly distributions to any county,
639     city, or town that, but for the reduction, would receive a distribution in excess of 1% of the
640     sales and use tax revenue collected within the boundaries of the county, city, or town.
641          (5) (a) As used in this Subsection (5):
642          (i) "Eligible county, city, or town" means a county, city, or town that receives $2,000 or
643     more in tax revenue distributions in accordance with Subsection (4) for each of the following
644     fiscal years:
645          (A) fiscal year 2002-03;

646          (B) fiscal year 2003-04; and
647          (C) fiscal year 2004-05.
648          (ii) "Minimum tax revenue distribution" means the greater of:
649          (A) the total amount of tax revenue distributions an eligible county, city, or town
650     receives from a tax imposed in accordance with this part for fiscal year 2000-01; or
651          (B) the total amount of tax revenue distributions an eligible county, city, or town
652     receives from a tax imposed in accordance with this part for fiscal year 2004-05.
653          (b) (i) Except as provided in Subsection (5)(b)(ii), beginning with fiscal year 2006-07
654     and ending with fiscal year 2012-13, an eligible county, city, or town shall receive a tax
655     revenue distribution for a tax imposed in accordance with this part equal to the greater of:
656          (A) the payment required by Subsection (2); or
657          (B) the minimum tax revenue distribution.
658          (ii) If the tax revenue distribution required by Subsection (5)(b)(i) for an eligible
659     county, city, or town is equal to the amount described in Subsection (5)(b)(i)(A) for three
660     consecutive fiscal years, for fiscal years beginning with the fiscal year immediately following
661     that three consecutive fiscal year period, the eligible county, city, or town shall receive the tax
662     revenue distribution equal to the payment required by Subsection (2).
663          (c) For a fiscal year beginning with fiscal year 2013-14 and ending with fiscal year
664     2015-16, an eligible county, city, or town shall receive the minimum tax revenue distribution
665     for that fiscal year if for fiscal year 2012-13 the payment required by Subsection (2) to that
666     eligible county, city, or town is less than or equal to the product of:
667          (i) the minimum tax revenue distribution; and
668          (ii) .90.
669          (6) (a) As used in this Subsection (6):
670          (i) "Eligible county, city, or town" means a county, city, or town that:
671          (A) receives, in accordance with Subsection (4), $2,000 or more in tax revenue
672     distributions for fiscal year 2002-03;
673          (B) receives, in accordance with Subsection (4), $2,000 or more in tax revenue

674     distributions for fiscal year 2003-04;
675          (C) receives, in accordance with Subsection (4), $2,000 or more in tax revenue
676     distributions for fiscal year 2004-05;
677          (D) for a fiscal year beginning with fiscal year 2012-13 and ending with fiscal year
678     2015-16, does not receive a tax revenue distribution described in Subsection (5) equal to the
679     amount described in Subsection (5)(b)(i)(A) for three consecutive fiscal years; and
680          (E) does not impose a sales and use tax under Section 59-12-2103 on or before July 1,
681     2016.
682          (ii) "Minimum tax revenue distribution" means the total amount of tax revenue
683     distributions an eligible county, city, or town receives from a tax imposed in accordance with
684     this part for fiscal year 2004-05.
685          (b) Beginning with fiscal year 2016-17, an eligible county, city, or town shall receive a
686     tax revenue distribution for a tax imposed in accordance with this part equal to the greater of:
687          (i) the payment required by Subsection (2); or
688          (ii) the minimum tax revenue distribution.
689          (7) (a) For purposes of this Subsection (7):
690          (i) "Annual local contribution" means the lesser of $200,000 or an amount equal to
691     1.8% of the participating local government's tax revenue distribution amount under Subsection
692     (2)(a) for the previous fiscal year.
693          (ii) "Participating local government" means a county or municipality, as defined in
694     Section 10-1-104, that is not an eligible municipality or grant eligible entity certified in
695     accordance with Section 35A-8-609.
696          (b) For revenue collected from the tax authorized by this part that is distributed on or
697     after January 1, 2019, the commission, before making a tax revenue distribution under
698     Subsection (2)(a) to a participating local government, shall:
699          (i) subtract one-twelfth of the annual local contribution for each participating local
700     government from the participating local government's tax revenue distribution under
701     Subsection (2)(a); and

702          (ii) deposit the amount described in Subsection (7)(b)(i) into the Homeless Shelter
703     Cities Mitigation Restricted Account created in Section 35A-8a-606.
704          (c) The commission shall make the calculation and distribution described in this
705     Subsection (7) after making the distributions described in Subsections (3) through (6).
706          [(7)] (8) (a) Population figures for purposes of this section shall be based on the most
707     recent official census or census estimate of the United States Census Bureau.
708          (b) If a needed population estimate is not available from the United States Census
709     Bureau, population figures shall be derived from the estimate from the Utah Population
710     Estimates Committee created by executive order of the governor.
711          (c) The population of a county for purposes of this section shall be determined only
712     from the unincorporated area of the county.
713          Section 10. Section 59-12-302 is amended to read:
714          59-12-302. Collection of tax -- Administrative charge.
715          (1) Except as provided in Subsection (2) or (3), the tax authorized under this part shall
716     be administered, collected, and enforced in accordance with:
717          (a) the same procedures used to administer, collect, and enforce the tax under:
718          (i) Part 1, Tax Collection; or
719          (ii) Part 2, Local Sales and Use Tax Act; and
720          (b) Chapter 1, General Taxation Policies.
721          (2) The location of a transaction shall be determined in accordance with Sections
722     59-12-211 through 59-12-215.
723          (3) A tax under this part is not subject to Section 59-12-107.1 or 59-12-123 or
724     Subsections 59-12-205(2) through [(7)] (8).
725          (4) The commission:
726          (a) shall distribute the revenue collected from the tax to the county within which the
727     revenue was collected; and
728          (b) shall retain and deposit an administrative charge in accordance with Section
729     59-1-306 from revenue the commission collects from a tax under this part.

730          Section 11. Section 59-12-354 is amended to read:
731          59-12-354. Collection of tax -- Administrative charge.
732          (1) Except as provided in Subsections (2) and (3), the tax authorized under this part
733     shall be administered, collected, and enforced in accordance with:
734          (a) the same procedures used to administer, collect, and enforce the tax under:
735          (i) Part 1, Tax Collection; or
736          (ii) Part 2, Local Sales and Use Tax Act; and
737          (b) Chapter 1, General Taxation Policies.
738          (2) (a) The location of a transaction shall be determined in accordance with Sections
739     59-12-211 through 59-12-215.
740          (b) The commission:
741          (i) except as provided in Subsection (2)(b)(ii), shall distribute the revenue collected
742     from the tax to the municipality within which the revenue was collected; and
743          (ii) shall retain and deposit an administrative charge in accordance with Section
744     59-1-306 from the revenue the commission collects from a tax under this part.
745          (3) A tax under this part is not subject to Section 59-12-107.1 or 59-12-123 or
746     Subsections 59-12-205(2) through [(7)] (8).
747          Section 12. Section 59-12-403 is amended to read:
748          59-12-403. Enactment or repeal of tax -- Tax rate change -- Effective date --
749     Notice requirements -- Administration, collection, and enforcement of tax --
750     Administrative charge.
751          (1) For purposes of this section:
752          (a) "Annexation" means an annexation to a city or town under Title 10, Chapter 2, Part
753     4, Annexation.
754          (b) "Annexing area" means an area that is annexed into a city or town.
755          (2) (a) Except as provided in Subsection (2)(c) or (d), if, on or after April 1, 2008, a
756     city or town enacts or repeals a tax or changes the rate of a tax under this part, the enactment,
757     repeal, or change shall take effect:

758          (i) on the first day of a calendar quarter; and
759          (ii) after a 90-day period beginning on the date the commission receives notice meeting
760     the requirements of Subsection (2)(b) from the city or town.
761          (b) The notice described in Subsection (2)(a)(ii) shall state:
762          (i) that the city or town will enact or repeal a tax or change the rate of a tax under this
763     part;
764          (ii) the statutory authority for the tax described in Subsection (2)(b)(i);
765          (iii) the effective date of the tax described in Subsection (2)(b)(i); and
766          (iv) if the city or town enacts the tax or changes the rate of the tax described in
767     Subsection (2)(b)(i), the rate of the tax.
768          (c) (i) If the billing period for a transaction begins before the effective date of the
769     enactment of the tax or the tax rate increase imposed under Section 59-12-401, 59-12-402, or
770     59-12-402.1, the enactment of the tax or the tax rate increase takes effect on the first day of the
771     first billing period that begins on or after the effective date of the enactment of the tax or the
772     tax rate increase.
773          (ii) The repeal of a tax or a tax rate decrease applies to a billing period if the billing
774     statement for the billing period is produced on or after the effective date of the repeal of the tax
775     or the tax rate decrease imposed under Section 59-12-401, 59-12-402, or 59-12-402.1.
776          (d) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
777     sales and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of
778     a tax described in Subsection (2)(a) takes effect:
779          (A) on the first day of a calendar quarter; and
780          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
781     rate of the tax under Subsection (2)(a).
782          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
783     commission may by rule define the term "catalogue sale."
784          (3) (a) Except as provided in Subsection (3)(c) or (d), if, for an annexation that occurs
785     on or after July 1, 2004, the annexation will result in the enactment, repeal, or change in the

786     rate of a tax under this part for an annexing area, the enactment, repeal, or change shall take
787     effect:
788          (i) on the first day of a calendar quarter; and
789          (ii) after a 90-day period beginning on the date the commission receives notice meeting
790     the requirements of Subsection (3)(b) from the city or town that annexes the annexing area.
791          (b) The notice described in Subsection (3)(a)(ii) shall state:
792          (i) that the annexation described in Subsection (3)(a) will result in an enactment,
793     repeal, or change in the rate of a tax under this part for the annexing area;
794          (ii) the statutory authority for the tax described in Subsection (3)(b)(i);
795          (iii) the effective date of the tax described in Subsection (3)(b)(i); and
796          (iv) if the city or town enacts the tax or changes the rate of the tax described in
797     Subsection (3)(b)(i), the rate of the tax.
798          (c) (i) If the billing period for a transaction begins before the effective date of the
799     enactment of the tax or the tax rate increase imposed under Section 59-12-401, 59-12-402, or
800     59-12-402.1, the enactment of the tax or the tax rate increase takes effect on the first day of the
801     first billing period that begins on or after the effective date of the enactment of the tax or the
802     tax rate increase.
803          (ii) The repeal of a tax or a tax rate decrease applies to a billing period if the billing
804     statement for the billing period is produced on or after the effective date of the repeal of the tax
805     or the tax rate decrease imposed under Section 59-12-401, 59-12-402, or 59-12-402.1.
806          (d) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
807     sales and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of
808     a tax described in Subsection (3)(a) takes effect:
809          (A) on the first day of a calendar quarter; and
810          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
811     rate of the tax under Subsection (3)(a).
812          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
813     commission may by rule define the term "catalogue sale."

814          (4) (a) Except as provided in Subsection (4)(b), a tax authorized under this part shall be
815     administered, collected, and enforced in accordance with:
816          (i) the same procedures used to administer, collect, and enforce the tax under:
817          (A) Part 1, Tax Collection; or
818          (B) Part 2, Local Sales and Use Tax Act; and
819          (ii) Chapter 1, General Taxation Policies.
820          (b) A tax under this part is not subject to Subsections 59-12-205(2) through [(7)] (8).
821          (5) The commission shall retain and deposit an administrative charge in accordance
822     with Section 59-1-306 from the revenue the commission collects from a tax under this part.
823          Section 13. Section 59-12-603 is amended to read:
824          59-12-603. County tax -- Bases -- Rates -- Use of revenue -- Adoption of ordinance
825     required -- Advisory board -- Administration -- Collection -- Administrative charge --
826     Distribution -- Enactment or repeal of tax or tax rate change -- Effective date -- Notice
827     requirements.
828          (1) (a) In addition to any other taxes, a county legislative body may, as provided in this
829     part, impose a tax as follows:
830          (i) (A) a county legislative body of any county may impose a tax of not to exceed 3%
831     on all short-term leases and rentals of motor vehicles not exceeding 30 days, except for leases
832     and rentals of motor vehicles made for the purpose of temporarily replacing a person's motor
833     vehicle that is being repaired pursuant to a repair or an insurance agreement; and
834          (B) beginning on or after January 1, 1999, a county legislative body of any county
835     imposing a tax under Subsection (1)(a)(i)(A) may, in addition to imposing the tax under
836     Subsection (1)(a)(i)(A), impose a tax of not to exceed 4% on all short-term leases and rentals
837     of motor vehicles not exceeding 30 days, except for leases and rentals of motor vehicles made
838     for the purpose of temporarily replacing a person's motor vehicle that is being repaired pursuant
839     to a repair or an insurance agreement;
840          (ii) a county legislative body of any county may impose a tax of not to exceed 1% of all
841     sales of the following that are sold by a restaurant:

842          (A) alcoholic beverages;
843          (B) food and food ingredients; or
844          (C) prepared food; and
845          (iii) a county legislative body of a county of the first class may impose a tax of not to
846     exceed .5% on charges for the accommodations and services described in Subsection
847     59-12-103(1)(i).
848          (b) A tax imposed under Subsection (1)(a) is subject to the audit provisions of Section
849     17-31-5.5.
850          (2) (a) Subject to Subsection (2)(b), revenue from the imposition of the taxes provided
851     for in Subsections (1)(a)(i) through (iii) may be used for:
852          (i) financing tourism promotion; and
853          (ii) the development, operation, and maintenance of:
854          (A) an airport facility;
855          (B) a convention facility;
856          (C) a cultural facility;
857          (D) a recreation facility; or
858          (E) a tourist facility.
859          (b) A county of the first class shall expend at least $450,000 each year of the revenue
860     from the imposition of a tax authorized by Subsection (1)(a)(iii) within the county to fund a
861     marketing and ticketing system designed to:
862          (i) promote tourism in ski areas within the county by persons that do not reside within
863     the state; and
864          (ii) combine the sale of:
865          (A) ski lift tickets; and
866          (B) accommodations and services described in Subsection 59-12-103(1)(i).
867          (3) A tax imposed under this part may be pledged as security for bonds, notes, or other
868     evidences of indebtedness incurred by a county, city, or town under Title 11, Chapter 14, Local
869     Government Bonding Act, or a community reinvestment agency under Title 17C, Chapter 1,

870     Part 5, Agency Bonds, to finance:
871          (a) an airport facility;
872          (b) a convention facility;
873          (c) a cultural facility;
874          (d) a recreation facility; or
875          (e) a tourist facility.
876          (4) (a) To impose the tax under Subsection (1), each county legislative body shall adopt
877     an ordinance imposing the tax.
878          (b) The ordinance under Subsection (4)(a) shall include provisions substantially the
879     same as those contained in Part 1, Tax Collection, except that the tax shall be imposed only on
880     those items and sales described in Subsection (1).
881          (c) The name of the county as the taxing agency shall be substituted for that of the state
882     where necessary, and an additional license is not required if one has been or is issued under
883     Section 59-12-106.
884          (5) To maintain in effect its tax ordinance adopted under this part, each county
885     legislative body shall, within 30 days of any amendment of any applicable provisions of Part 1,
886     Tax Collection, adopt amendments to its tax ordinance to conform with the applicable
887     amendments to Part 1, Tax Collection.
888          (6) (a) Regardless of whether a county of the first class creates a tourism tax advisory
889     board in accordance with Section 17-31-8, the county legislative body of the county of the first
890     class shall create a tax advisory board in accordance with this Subsection (6).
891          (b) The tax advisory board shall be composed of nine members appointed as follows:
892          (i) four members shall be residents of a county of the first class appointed by the
893     county legislative body of the county of the first class; and
894          (ii) subject to Subsections (6)(c) and (d), five members shall be mayors of cities or
895     towns within the county of the first class appointed by an organization representing all mayors
896     of cities and towns within the county of the first class.
897          (c) Five members of the tax advisory board constitute a quorum.

898          (d) The county legislative body of the county of the first class shall determine:
899          (i) terms of the members of the tax advisory board;
900          (ii) procedures and requirements for removing a member of the tax advisory board;
901          (iii) voting requirements, except that action of the tax advisory board shall be by at
902     least a majority vote of a quorum of the tax advisory board;
903          (iv) chairs or other officers of the tax advisory board;
904          (v) how meetings are to be called and the frequency of meetings; and
905          (vi) the compensation, if any, of members of the tax advisory board.
906          (e) The tax advisory board under this Subsection (6) shall advise the county legislative
907     body of the county of the first class on the expenditure of revenue collected within the county
908     of the first class from the taxes described in Subsection (1)(a).
909          (7) (a) (i) Except as provided in Subsection (7)(a)(ii), a tax authorized under this part
910     shall be administered, collected, and enforced in accordance with:
911          (A) the same procedures used to administer, collect, and enforce the tax under:
912          (I) Part 1, Tax Collection; or
913          (II) Part 2, Local Sales and Use Tax Act; and
914          (B) Chapter 1, General Taxation Policies.
915          (ii) A tax under this part is not subject to Section 59-12-107.1 or 59-12-123 or
916     Subsections 59-12-205(2) through [(7)] (8).
917          (b) Except as provided in Subsection (7)(c):
918          (i) for a tax under this part other than the tax under Subsection (1)(a)(i)(B), the
919     commission shall distribute the revenue to the county imposing the tax; and
920          (ii) for a tax under Subsection (1)(a)(i)(B), the commission shall distribute the revenue
921     according to the distribution formula provided in Subsection (8).
922          (c) The commission shall retain and deposit an administrative charge in accordance
923     with Section 59-1-306 from the revenue the commission collects from a tax under this part.
924          (8) The commission shall distribute the revenue generated by the tax under Subsection
925     (1)(a)(i)(B) to each county collecting a tax under Subsection (1)(a)(i)(B) according to the

926     following formula:
927          (a) the commission shall distribute 70% of the revenue based on the percentages
928     generated by dividing the revenue collected by each county under Subsection (1)(a)(i)(B) by
929     the total revenue collected by all counties under Subsection (1)(a)(i)(B); and
930          (b) the commission shall distribute 30% of the revenue based on the percentages
931     generated by dividing the population of each county collecting a tax under Subsection
932     (1)(a)(i)(B) by the total population of all counties collecting a tax under Subsection (1)(a)(i)(B).
933          (9) (a) For purposes of this Subsection (9):
934          (i) "Annexation" means an annexation to a county under Title 17, Chapter 2, Part 2,
935     County Annexation.
936          (ii) "Annexing area" means an area that is annexed into a county.
937          (b) (i) Except as provided in Subsection (9)(c), if, on or after July 1, 2004, a county
938     enacts or repeals a tax or changes the rate of a tax under this part, the enactment, repeal, or
939     change shall take effect:
940          (A) on the first day of a calendar quarter; and
941          (B) after a 90-day period beginning on the date the commission receives notice meeting
942     the requirements of Subsection (9)(b)(ii) from the county.
943          (ii) The notice described in Subsection (9)(b)(i)(B) shall state:
944          (A) that the county will enact or repeal a tax or change the rate of a tax under this part;
945          (B) the statutory authority for the tax described in Subsection (9)(b)(ii)(A);
946          (C) the effective date of the tax described in Subsection (9)(b)(ii)(A); and
947          (D) if the county enacts the tax or changes the rate of the tax described in Subsection
948     (9)(b)(ii)(A), the rate of the tax.
949          (c) (i) If the billing period for a transaction begins before the effective date of the
950     enactment of the tax or the tax rate increase imposed under Subsection (1), the enactment of
951     the tax or the tax rate increase shall take effect on the first day of the first billing period that
952     begins after the effective date of the enactment of the tax or the tax rate increase.
953          (ii) If the billing period for a transaction begins before the effective date of the repeal

954     of the tax or the tax rate decrease imposed under Subsection (1), the repeal of the tax or the tax
955     rate decrease shall take effect on the first day of the last billing period that began before the
956     effective date of the repeal of the tax or the tax rate decrease.
957          (d) (i) Except as provided in Subsection (9)(e), if, for an annexation that occurs on or
958     after July 1, 2004, the annexation will result in the enactment, repeal, or change in the rate of a
959     tax under this part for an annexing area, the enactment, repeal, or change shall take effect:
960          (A) on the first day of a calendar quarter; and
961          (B) after a 90-day period beginning on the date the commission receives notice meeting
962     the requirements of Subsection (9)(d)(ii) from the county that annexes the annexing area.
963          (ii) The notice described in Subsection (9)(d)(i)(B) shall state:
964          (A) that the annexation described in Subsection (9)(d)(i) will result in an enactment,
965     repeal, or change in the rate of a tax under this part for the annexing area;
966          (B) the statutory authority for the tax described in Subsection (9)(d)(ii)(A);
967          (C) the effective date of the tax described in Subsection (9)(d)(ii)(A); and
968          (D) if the county enacts the tax or changes the rate of the tax described in Subsection
969     (9)(d)(ii)(A), the rate of the tax.
970          (e) (i) If the billing period for a transaction begins before the effective date of the
971     enactment of the tax or the tax rate increase imposed under Subsection (1), the enactment of
972     the tax or the tax rate increase shall take effect on the first day of the first billing period that
973     begins after the effective date of the enactment of the tax or the tax rate increase.
974          (ii) If the billing period for a transaction begins before the effective date of the repeal
975     of the tax or the tax rate decrease imposed under Subsection (1), the repeal of the tax or the tax
976     rate decrease shall take effect on the first day of the last billing period that began before the
977     effective date of the repeal of the tax or the tax rate decrease.
978          Section 14. Section 59-12-703 is amended to read:
979          59-12-703. Opinion question election -- Base -- Rate -- Imposition of tax --
980     Expenditure of revenue -- Administration -- Enactment or repeal of tax -- Effective date
981     -- Notice requirements.

982          (1) (a) Subject to the other provisions of this section, a county legislative body may
983     submit an opinion question to the residents of that county, by majority vote of all members of
984     the legislative body, so that each resident of the county, except residents in municipalities that
985     have already imposed a sales and use tax under Part 14, City or Town Option Funding for
986     Botanical, Cultural, Recreational, and Zoological Organizations or Facilities, has an
987     opportunity to express the resident's opinion on the imposition of a local sales and use tax of
988     .1% on the transactions described in Subsection 59-12-103(1) located within the county, to:
989          (i) fund cultural facilities, recreational facilities, and zoological facilities, botanical
990     organizations, cultural organizations, and zoological organizations, and rural radio stations, in
991     that county; or
992          (ii) provide funding for a botanical organization, cultural organization, or zoological
993     organization to pay for use of a bus or facility rental if that use of the bus or facility rental is in
994     furtherance of the botanical organization's, cultural organization's, or zoological organization's
995     primary purpose.
996          (b) The opinion question required by this section shall state:
997          "Shall (insert the name of the county), Utah, be authorized to impose a .1% sales and
998     use tax for (list the purposes for which the revenue collected from the sales and use tax shall be
999     expended)?"
1000          (c) A county legislative body may not impose a tax under this section on:
1001          (i) the sales and uses described in Section 59-12-104 to the extent the sales and uses
1002     are exempt from taxation under Section 59-12-104;
1003          (ii) sales and uses within a municipality that has already imposed a sales and use tax
1004     under Part 14, City or Town Option Funding for Botanical, Cultural, Recreational, and
1005     Zoological Organizations or Facilities; and
1006          (iii) except as provided in Subsection (1)(e), amounts paid or charged for food and
1007     food ingredients.
1008          (d) For purposes of this Subsection (1), the location of a transaction shall be
1009     determined in accordance with Sections 59-12-211 through 59-12-215.

1010          (e) A county legislative body imposing a tax under this section shall impose the tax on
1011     the purchase price or sales price for amounts paid or charged for food and food ingredients if
1012     the food and food ingredients are sold as part of a bundled transaction attributable to food and
1013     food ingredients and tangible personal property other than food and food ingredients.
1014          (f) The election shall follow the procedures outlined in Title 11, Chapter 14, Local
1015     Government Bonding Act.
1016          (2) (a) If the county legislative body determines that a majority of the county's
1017     registered voters voting on the imposition of the tax have voted in favor of the imposition of
1018     the tax as prescribed in Subsection (1), the county legislative body may impose the tax by a
1019     majority vote of all members of the legislative body on the transactions:
1020          (i) described in Subsection (1); and
1021          (ii) within the county, including the cities and towns located in the county, except those
1022     cities and towns that have already imposed a sales and use tax under Part 14, City or Town
1023     Option Funding for Botanical, Cultural, Recreational, and Zoological Organizations or
1024     Facilities.
1025          (b) A county legislative body may revise county ordinances to reflect statutory changes
1026     to the distribution formula or eligible recipients of revenue generated from a tax imposed under
1027     Subsection (2)(a) without submitting an opinion question to residents of the county.
1028          (3) Subject to Section 59-12-704, revenue collected from a tax imposed under
1029     Subsection (2) shall be expended:
1030          (a) to fund cultural facilities, recreational facilities, and zoological facilities located
1031     within the county or a city or town located in the county, except a city or town that has already
1032     imposed a sales and use tax under Part 14, City or Town Option Funding for Botanical,
1033     Cultural, Recreational, and Zoological Organizations or Facilities;
1034          (b) to fund ongoing operating expenses of:
1035          (i) recreational facilities described in Subsection (3)(a);
1036          (ii) botanical organizations, cultural organizations, and zoological organizations within
1037     the county; and

1038          (iii) rural radio stations within the county; and
1039          (c) as stated in the opinion question described in Subsection (1).
1040          (4) (a) A tax authorized under this part shall be:
1041          (i) except as provided in Subsection (4)(b), administered, collected, and enforced in
1042     accordance with:
1043          (A) the same procedures used to administer, collect, and enforce the tax under:
1044          (I) Part 1, Tax Collection; or
1045          (II) Part 2, Local Sales and Use Tax Act; and
1046          (B) Chapter 1, General Taxation Policies; and
1047          (ii) levied for a period of 10 years and may be reauthorized at the end of the ten-year
1048     period in accordance with this section.
1049          (b) A tax under this part is not subject to Subsections 59-12-205(2) through [(7)] (8).
1050          (5) (a) For purposes of this Subsection (5):
1051          (i) "Annexation" means an annexation to a county under Title 17, Chapter 2, Part 2,
1052     County Annexation.
1053          (ii) "Annexing area" means an area that is annexed into a county.
1054          (b) (i) Except as provided in Subsection (5)(c) or (d), if, on or after July 1, 2004, a
1055     county enacts or repeals a tax under this part, the enactment or repeal shall take effect:
1056          (A) on the first day of a calendar quarter; and
1057          (B) after a 90-day period beginning on the date the commission receives notice meeting
1058     the requirements of Subsection (5)(b)(ii) from the county.
1059          (ii) The notice described in Subsection (5)(b)(i)(B) shall state:
1060          (A) that the county will enact or repeal a tax under this part;
1061          (B) the statutory authority for the tax described in Subsection (5)(b)(ii)(A);
1062          (C) the effective date of the tax described in Subsection (5)(b)(ii)(A); and
1063          (D) if the county enacts the tax described in Subsection (5)(b)(ii)(A), the rate of the
1064     tax.
1065          (c) (i) If the billing period for a transaction begins before the effective date of the

1066     enactment of the tax under this section, the enactment of the tax takes effect on the first day of
1067     the first billing period that begins on or after the effective date of the enactment of the tax.
1068          (ii) The repeal of a tax applies to a billing period if the billing statement for the billing
1069     period is produced on or after the effective date of the repeal of the tax imposed under this
1070     section.
1071          (d) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
1072     sales and use tax rates published in the catalogue, an enactment or repeal of a tax described in
1073     Subsection (5)(b)(i) takes effect:
1074          (A) on the first day of a calendar quarter; and
1075          (B) beginning 60 days after the effective date of the enactment or repeal under
1076     Subsection (5)(b)(i).
1077          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1078     commission may by rule define the term "catalogue sale."
1079          (e) (i) Except as provided in Subsection (5)(f) or (g), if, for an annexation that occurs
1080     on or after July 1, 2004, the annexation will result in the enactment or repeal of a tax under this
1081     part for an annexing area, the enactment or repeal shall take effect:
1082          (A) on the first day of a calendar quarter; and
1083          (B) after a 90-day period beginning on the date the commission receives notice meeting
1084     the requirements of Subsection (5)(e)(ii) from the county that annexes the annexing area.
1085          (ii) The notice described in Subsection (5)(e)(i)(B) shall state:
1086          (A) that the annexation described in Subsection (5)(e)(i) will result in an enactment or
1087     repeal of a tax under this part for the annexing area;
1088          (B) the statutory authority for the tax described in Subsection (5)(e)(ii)(A);
1089          (C) the effective date of the tax described in Subsection (5)(e)(ii)(A); and
1090          (D) the rate of the tax described in Subsection (5)(e)(ii)(A).
1091          (f) (i) If the billing period for a transaction begins before the effective date of the
1092     enactment of the tax under this section, the enactment of the tax takes effect on the first day of
1093     the first billing period that begins on or after the effective date of the enactment of the tax.

1094          (ii) The repeal of a tax applies to a billing period if the billing statement for the billing
1095     period is produced on or after the effective date of the repeal of the tax imposed under this
1096     section.
1097          (g) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
1098     sales and use tax rates published in the catalogue, an enactment or repeal of a tax described in
1099     Subsection (5)(e)(i) takes effect:
1100          (A) on the first day of a calendar quarter; and
1101          (B) beginning 60 days after the effective date of the enactment or repeal under
1102     Subsection (5)(e)(i).
1103          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1104     commission may by rule define the term "catalogue sale."
1105          Section 15. Section 59-12-802 is amended to read:
1106          59-12-802. Imposition of rural county health care facilities tax -- Expenditure of
1107     tax revenue -- Base -- Rate -- Administration, collection, and enforcement of tax --
1108     Administrative charge.
1109          (1) (a) A county legislative body of a county of the third, fourth, fifth, or sixth class
1110     may impose a sales and use tax of up to 1% on the transactions described in Subsection
1111     59-12-103(1) located within the county.
1112          (b) Subject to Subsection (3), the money collected from a tax under this section may be
1113     used to fund:
1114          (i) for a county of the third or fourth class, rural county health care facilities in that
1115     county; or
1116          (ii) for a county of the fifth or sixth class:
1117          (A) rural emergency medical services in that county;
1118          (B) federally qualified health centers in that county;
1119          (C) freestanding urgent care centers in that county;
1120          (D) rural county health care facilities in that county;
1121          (E) rural health clinics in that county; or

1122          (F) a combination of Subsections (1)(b)(ii)(A) through (E).
1123          (c) Notwithstanding Subsection (1)(a), a county legislative body may not impose a tax
1124     under this section on:
1125          (i) the sales and uses described in Section 59-12-104 to the extent the sales and uses
1126     are exempt from taxation under Section 59-12-104;
1127          (ii) a transaction to the extent a rural city hospital tax is imposed on that transaction in
1128     a city that imposes a tax under Section 59-12-804; and
1129          (iii) except as provided in Subsection (1)(e), amounts paid or charged for food and
1130     food ingredients.
1131          (d) For purposes of this Subsection (1), the location of a transaction shall be
1132     determined in accordance with Sections 59-12-211 through 59-12-215.
1133          (e) A county legislative body imposing a tax under this section shall impose the tax on
1134     the purchase price or sales price for amounts paid or charged for food and food ingredients if
1135     the food and food ingredients are sold as part of a bundled transaction attributable to food and
1136     food ingredients and tangible personal property other than food and food ingredients.
1137          (2) (a) Before imposing a tax under Subsection (1), a county legislative body shall
1138     obtain approval to impose the tax from a majority of the:
1139          (i) members of the county's legislative body; and
1140          (ii) county's registered voters voting on the imposition of the tax.
1141          (b) The county legislative body shall conduct the election according to the procedures
1142     and requirements of Title 11, Chapter 14, Local Government Bonding Act.
1143          (3) (a) The money collected from a tax imposed under Subsection (1) by a county
1144     legislative body of a county of the third or fourth class may only be used for the financing of:
1145          (i) ongoing operating expenses of a rural county health care facility within that county;
1146          (ii) the acquisition of land for a rural county health care facility within that county; or
1147          (iii) the design, construction, equipping, or furnishing of a rural county health care
1148     facility within that county.
1149          (b) The money collected from a tax imposed under Subsection (1) by a county of the

1150     fifth or sixth class may only be used to fund:
1151          (i) ongoing operating expenses of a center, clinic, or facility described in Subsection
1152     (1)(b)(ii) within that county;
1153          (ii) the acquisition of land for a center, clinic, or facility described in Subsection
1154     (1)(b)(ii) within that county;
1155          (iii) the design, construction, equipping, or furnishing of a center, clinic, or facility
1156     described in Subsection (1)(b)(ii) within that county; or
1157          (iv) rural emergency medical services within that county.
1158          (4) (a) A tax under this section shall be:
1159          (i) except as provided in Subsection (4)(b), administered, collected, and enforced in
1160     accordance with:
1161          (A) the same procedures used to administer, collect, and enforce the tax under:
1162          (I) Part 1, Tax Collection; or
1163          (II) Part 2, Local Sales and Use Tax Act; and
1164          (B) Chapter 1, General Taxation Policies; and
1165          (ii) levied for a period of 10 years and may be reauthorized at the end of the ten-year
1166     period by the county legislative body as provided in Subsection (1).
1167          (b) A tax under this section is not subject to Subsections 59-12-205(2) through [(7)]
1168     (8).
1169          (c) A county legislative body shall distribute money collected from a tax under this
1170     section quarterly.
1171          (5) The commission shall retain and deposit an administrative charge in accordance
1172     with Section 59-1-306 from the revenue the commission collects from a tax under this section.
1173          Section 16. Section 59-12-804 is amended to read:
1174          59-12-804. Imposition of rural city hospital tax -- Base -- Rate -- Administration,
1175     collection, and enforcement of tax -- Administrative charge.
1176          (1) (a) A city legislative body may impose a sales and use tax of up to 1%:
1177          (i) on the transactions described in Subsection 59-12-103(1) located within the city;

1178     and
1179          (ii) to fund rural city hospitals in that city.
1180          (b) Notwithstanding Subsection (1)(a)(i), a city legislative body may not impose a tax
1181     under this section on:
1182          (i) the sales and uses described in Section 59-12-104 to the extent the sales and uses
1183     are exempt from taxation under Section 59-12-104; and
1184          (ii) except as provided in Subsection (1)(d), amounts paid or charged for food and food
1185     ingredients.
1186          (c) For purposes of this Subsection (1), the location of a transaction shall be
1187     determined in accordance with Sections 59-12-211 through 59-12-215.
1188          (d) A city legislative body imposing a tax under this section shall impose the tax on the
1189     purchase price or sales price for amounts paid or charged for food and food ingredients if the
1190     food and food ingredients are sold as part of a bundled transaction attributable to food and food
1191     ingredients and tangible personal property other than food and food ingredients.
1192          (2) (a) Before imposing a tax under Subsection (1)(a), a city legislative body shall
1193     obtain approval to impose the tax from a majority of the:
1194          (i) members of the city legislative body; and
1195          (ii) city's registered voters voting on the imposition of the tax.
1196          (b) The city legislative body shall conduct the election according to the procedures and
1197     requirements of Title 11, Chapter 14, Local Government Bonding Act.
1198          (3) The money collected from a tax imposed under Subsection (1) may only be used to
1199     fund:
1200          (a) ongoing operating expenses of a rural city hospital;
1201          (b) the acquisition of land for a rural city hospital; or
1202          (c) the design, construction, equipping, or furnishing of a rural city hospital.
1203          (4) (a) A tax under this section shall be:
1204          (i) except as provided in Subsection (4)(b), administered, collected, and enforced in
1205     accordance with:

1206          (A) the same procedures used to administer, collect, and enforce the tax under:
1207          (I) Part 1, Tax Collection; or
1208          (II) Part 2, Local Sales and Use Tax Act; and
1209          (B) Chapter 1, General Taxation Policies; and
1210          (ii) levied for a period of 10 years and may be reauthorized at the end of the ten-year
1211     period by the city legislative body as provided in Subsection (1).
1212          (b) A tax under this section is not subject to Subsections 59-12-205(2) through [(7)]
1213     (8).
1214          (5) The commission shall retain and deposit an administrative charge in accordance
1215     with Section 59-1-306 from the revenue the commission collects from a tax under this section.
1216          Section 17. Section 59-12-1102 is amended to read:
1217          59-12-1102. Base -- Rate -- Imposition of tax -- Distribution of revenue --
1218     Administration -- Administrative charge -- Commission requirement to retain an amount
1219     to be deposited into the Qualified Emergency Food Agencies Fund -- Enactment or repeal
1220     of tax -- Effective date -- Notice requirements.
1221          (1) (a) (i) Subject to Subsections (2) through (6), and in addition to any other tax
1222     authorized by this chapter, a county may impose by ordinance a county option sales and use tax
1223     of .25% upon the transactions described in Subsection 59-12-103(1).
1224          (ii) Notwithstanding Subsection (1)(a)(i), a county may not impose a tax under this
1225     section on the sales and uses described in Section 59-12-104 to the extent the sales and uses are
1226     exempt from taxation under Section 59-12-104.
1227          (b) For purposes of this Subsection (1), the location of a transaction shall be
1228     determined in accordance with Sections 59-12-211 through 59-12-215.
1229          (c) The county option sales and use tax under this section shall be imposed:
1230          (i) upon transactions that are located within the county, including transactions that are
1231     located within municipalities in the county; and
1232          (ii) except as provided in Subsection (1)(d) or (5), beginning on the first day of
1233     January:

1234          (A) of the next calendar year after adoption of the ordinance imposing the tax if the
1235     ordinance is adopted on or before May 25; or
1236          (B) of the second calendar year after adoption of the ordinance imposing the tax if the
1237     ordinance is adopted after May 25.
1238          (d) The county option sales and use tax under this section shall be imposed:
1239          (i) beginning January 1, 1998, if an ordinance adopting the tax imposed on or before
1240     September 4, 1997; or
1241          (ii) beginning January 1, 1999, if an ordinance adopting the tax is imposed during 1997
1242     but after September 4, 1997.
1243          (2) (a) Before imposing a county option sales and use tax under Subsection (1), a
1244     county shall hold two public hearings on separate days in geographically diverse locations in
1245     the county.
1246          (b) (i) At least one of the hearings required by Subsection (2)(a) shall have a starting
1247     time of no earlier than 6 p.m.
1248          (ii) The earlier of the hearings required by Subsection (2)(a) shall be no less than seven
1249     days after the day the first advertisement required by Subsection (2)(c) is published.
1250          (c) (i) Before holding the public hearings required by Subsection (2)(a), the county
1251     shall advertise:
1252          (A) its intent to adopt a county option sales and use tax;
1253          (B) the date, time, and location of each public hearing; and
1254          (C) a statement that the purpose of each public hearing is to obtain public comments
1255     regarding the proposed tax.
1256          (ii) The advertisement shall be published:
1257          (A) in a newspaper of general circulation in the county once each week for the two
1258     weeks preceding the earlier of the two public hearings; and
1259          (B) on the Utah Public Notice Website created in Section 63F-1-701, for two weeks
1260     preceding the earlier of the two public hearings.
1261          (iii) The advertisement described in Subsection (2)(c)(ii)(A) shall be no less than 1/8

1262     page in size, and the type used shall be no smaller than 18 point and surrounded by a 1/4-inch
1263     border.
1264          (iv) The advertisement described in Subsection (2)(c)(ii)(A) may not be placed in that
1265     portion of the newspaper where legal notices and classified advertisements appear.
1266          (v) In accordance with Subsection (2)(c)(ii)(A), whenever possible:
1267          (A) the advertisement shall appear in a newspaper that is published at least five days a
1268     week, unless the only newspaper in the county is published less than five days a week; and
1269          (B) the newspaper selected shall be one of general interest and readership in the
1270     community, and not one of limited subject matter.
1271          (d) The adoption of an ordinance imposing a county option sales and use tax is subject
1272     to a local referendum election and shall be conducted as provided in Title 20A, Chapter 7, Part
1273     6, Local Referenda - Procedures.
1274          (3) (a) Subject to Subsection (5), if the aggregate population of the counties imposing a
1275     county option sales and use tax under Subsection (1) is less than 75% of the state population,
1276     the tax levied under Subsection (1) shall be distributed to the county in which the tax was
1277     collected.
1278          (b) Subject to Subsection (5), if the aggregate population of the counties imposing a
1279     county option sales and use tax under Subsection (1) is greater than or equal to 75% of the state
1280     population:
1281          (i) 50% of the tax collected under Subsection (1) in each county shall be distributed to
1282     the county in which the tax was collected; and
1283          (ii) except as provided in Subsection (3)(c), 50% of the tax collected under Subsection
1284     (1) in each county shall be distributed proportionately among all counties imposing the tax,
1285     based on the total population of each county.
1286          (c) Except as provided in Subsection (5), the amount to be distributed annually to a
1287     county under Subsection (3)(b)(ii), when combined with the amount distributed to the county
1288     under Subsection (3)(b)(i), does not equal at least $75,000, then:
1289          (i) the amount to be distributed annually to that county under Subsection (3)(b)(ii) shall

1290     be increased so that, when combined with the amount distributed to the county under
1291     Subsection (3)(b)(i), the amount distributed annually to the county is $75,000; and
1292          (ii) the amount to be distributed annually to all other counties under Subsection
1293     (3)(b)(ii) shall be reduced proportionately to offset the additional amount distributed under
1294     Subsection (3)(c)(i).
1295          (d) The commission shall establish rules to implement the distribution of the tax under
1296     Subsections (3)(a), (b), and (c).
1297          (4) (a) Except as provided in Subsection (4)(b) or (c), a tax authorized under this part
1298     shall be administered, collected, and enforced in accordance with:
1299          (i) the same procedures used to administer, collect, and enforce the tax under:
1300          (A) Part 1, Tax Collection; or
1301          (B) Part 2, Local Sales and Use Tax Act; and
1302          (ii) Chapter 1, General Taxation Policies.
1303          (b) A tax under this part is not subject to Subsections 59-12-205(2) through [(7)] (8).
1304          (c) (i) Subject to Subsection (4)(c)(ii), the commission shall retain and deposit an
1305     administrative charge in accordance with Section 59-1-306 from the revenue the commission
1306     collects from a tax under this part.
1307          (ii) Notwithstanding Section 59-1-306, the administrative charge described in
1308     Subsection (4)(c)(i) shall be calculated by taking a percentage described in Section 59-1-306 of
1309     the distribution amounts resulting after:
1310          (A) the applicable distribution calculations under Subsection (3) have been made; and
1311          (B) the commission retains the amount required by Subsection (5).
1312          (5) (a) Beginning on July 1, 2009, the commission shall calculate and retain a portion
1313     of the sales and use tax collected under this part as provided in this Subsection (5).
1314          (b) For a county that imposes a tax under this part, the commission shall calculate a
1315     percentage each month by dividing the sales and use tax collected under this part for that
1316     month within the boundaries of that county by the total sales and use tax collected under this
1317     part for that month within the boundaries of all of the counties that impose a tax under this part.

1318          (c) For a county that imposes a tax under this part, the commission shall retain each
1319     month an amount equal to the product of:
1320          (i) the percentage the commission determines for the month under Subsection (5)(b)
1321     for the county; and
1322          (ii) $6,354.
1323          (d) The commission shall deposit an amount the commission retains in accordance
1324     with this Subsection (5) into the Qualified Emergency Food Agencies Fund created by Section
1325     35A-8-1009.
1326          (e) An amount the commission deposits into the Qualified Emergency Food Agencies
1327     Fund shall be expended as provided in Section 35A-8-1009.
1328          (6) (a) For purposes of this Subsection (6):
1329          (i) "Annexation" means an annexation to a county under Title 17, Chapter 2, County
1330     Consolidations and Annexations.
1331          (ii) "Annexing area" means an area that is annexed into a county.
1332          (b) (i) Except as provided in Subsection (6)(c) or (d), if, on or after July 1, 2004, a
1333     county enacts or repeals a tax under this part:
1334          (A) (I) the enactment shall take effect as provided in Subsection (1)(c); or
1335          (II) the repeal shall take effect on the first day of a calendar quarter; and
1336          (B) after a 90-day period beginning on the date the commission receives notice meeting
1337     the requirements of Subsection (6)(b)(ii) from the county.
1338          (ii) The notice described in Subsection (6)(b)(i)(B) shall state:
1339          (A) that the county will enact or repeal a tax under this part;
1340          (B) the statutory authority for the tax described in Subsection (6)(b)(ii)(A);
1341          (C) the effective date of the tax described in Subsection (6)(b)(ii)(A); and
1342          (D) if the county enacts the tax described in Subsection (6)(b)(ii)(A), the rate of the
1343     tax.
1344          (c) (i) If the billing period for a transaction begins before the effective date of the
1345     enactment of the tax under Subsection (1), the enactment of the tax takes effect on the first day

1346     of the first billing period that begins on or after the effective date of the enactment of the tax.
1347          (ii) The repeal of a tax applies to a billing period if the billing statement for the billing
1348     period is produced on or after the effective date of the repeal of the tax imposed under
1349     Subsection (1).
1350          (d) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
1351     sales and use tax rates published in the catalogue, an enactment or repeal of a tax described in
1352     Subsection (6)(b)(i) takes effect:
1353          (A) on the first day of a calendar quarter; and
1354          (B) beginning 60 days after the effective date of the enactment or repeal under
1355     Subsection (6)(b)(i).
1356          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1357     commission may by rule define the term "catalogue sale."
1358          (e) (i) Except as provided in Subsection (6)(f) or (g), if, for an annexation that occurs
1359     on or after July 1, 2004, the annexation will result in the enactment or repeal of a tax under this
1360     part for an annexing area, the enactment or repeal shall take effect:
1361          (A) on the first day of a calendar quarter; and
1362          (B) after a 90-day period beginning on the date the commission receives notice meeting
1363     the requirements of Subsection (6)(e)(ii) from the county that annexes the annexing area.
1364          (ii) The notice described in Subsection (6)(e)(i)(B) shall state:
1365          (A) that the annexation described in Subsection (6)(e)(i) will result in an enactment or
1366     repeal of a tax under this part for the annexing area;
1367          (B) the statutory authority for the tax described in Subsection (6)(e)(ii)(A);
1368          (C) the effective date of the tax described in Subsection (6)(e)(ii)(A); and
1369          (D) the rate of the tax described in Subsection (6)(e)(ii)(A).
1370          (f) (i) If the billing period for a transaction begins before the effective date of the
1371     enactment of the tax under Subsection (1), the enactment of the tax takes effect on the first day
1372     of the first billing period that begins on or after the effective date of the enactment of the tax.
1373          (ii) The repeal of a tax applies to a billing period if the billing statement for the billing

1374     period is produced on or after the effective date of the repeal of the tax imposed under
1375     Subsection (1).
1376          (g) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
1377     sales and use tax rates published in the catalogue, an enactment or repeal of a tax described in
1378     Subsection (6)(e)(i) takes effect:
1379          (A) on the first day of a calendar quarter; and
1380          (B) beginning 60 days after the effective date of the enactment or repeal under
1381     Subsection (6)(e)(i).
1382          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1383     commission may by rule define the term "catalogue sale."
1384          Section 18. Section 59-12-1302 is amended to read:
1385          59-12-1302. Imposition of tax -- Base -- Rate -- Enactment or repeal of tax -- Tax
1386     rate change -- Effective date -- Notice requirements -- Administration, collection, and
1387     enforcement of tax -- Administrative charge.
1388          (1) Beginning on or after January 1, 1998, the governing body of a town may impose a
1389     tax as provided in this part in an amount that does not exceed 1%.
1390          (2) A town may impose a tax as provided in this part if the town imposed a license fee
1391     or tax on businesses based on gross receipts under Section 10-1-203 on or before January 1,
1392     1996.
1393          (3) A town imposing a tax under this section shall:
1394          (a) except as provided in Subsection (4), impose the tax on the transactions described
1395     in Subsection 59-12-103(1) located within the town; and
1396          (b) provide an effective date for the tax as provided in Subsection (5).
1397          (4) (a) A town may not impose a tax under this section on:
1398          (i) the sales and uses described in Section 59-12-104 to the extent the sales and uses
1399     are exempt from taxation under Section 59-12-104; and
1400          (ii) except as provided in Subsection (4)(c), amounts paid or charged for food and food
1401     ingredients.

1402          (b) For purposes of this Subsection (4), the location of a transaction shall be
1403     determined in accordance with Sections 59-12-211 through 59-12-215.
1404          (c) A town imposing a tax under this section shall impose the tax on the purchase price
1405     or sales price for amounts paid or charged for food and food ingredients if the food and food
1406     ingredients are sold as part of a bundled transaction attributable to food and food ingredients
1407     and tangible personal property other than food and food ingredients.
1408          (5) (a) For purposes of this Subsection (5):
1409          (i) "Annexation" means an annexation to a town under Title 10, Chapter 2, Part 4,
1410     Annexation.
1411          (ii) "Annexing area" means an area that is annexed into a town.
1412          (b) (i) Except as provided in Subsection (5)(c) or (d), if, on or after July 1, 2004, a
1413     town enacts or repeals a tax or changes the rate of a tax under this part, the enactment, repeal,
1414     or change shall take effect:
1415          (A) on the first day of a calendar quarter; and
1416          (B) after a 90-day period beginning on the date the commission receives notice meeting
1417     the requirements of Subsection (5)(b)(ii) from the town.
1418          (ii) The notice described in Subsection (5)(b)(i)(B) shall state:
1419          (A) that the town will enact or repeal a tax or change the rate of a tax under this part;
1420          (B) the statutory authority for the tax described in Subsection (5)(b)(ii)(A);
1421          (C) the effective date of the tax described in Subsection (5)(b)(ii)(A); and
1422          (D) if the town enacts the tax or changes the rate of the tax described in Subsection
1423     (5)(b)(ii)(A), the rate of the tax.
1424          (c) (i) If the billing period for the transaction begins before the effective date of the
1425     enactment of the tax or the tax rate increase imposed under Subsection (1), the enactment of
1426     the tax or the tax rate increase takes effect on the first day of the first billing period that begins
1427     on or after the effective date of the enactment of the tax or the tax rate increase.
1428          (ii) The repeal of a tax or a tax rate decrease applies to a billing period if the billing
1429     statement for the billing period is produced on or after the effective date of the repeal of the tax

1430     or the tax rate decrease imposed under Subsection (1).
1431          (d) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
1432     sales and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of
1433     a tax described in Subsection (5)(b)(i) takes effect:
1434          (A) on the first day of a calendar quarter; and
1435          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
1436     rate of the tax under Subsection (5)(b)(i).
1437          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1438     commission may by rule define the term "catalogue sale."
1439          (e) (i) Except as provided in Subsection (5)(f) or (g), if, for an annexation that occurs
1440     on or after July 1, 2004, the annexation will result in the enactment, repeal, or change in the
1441     rate of a tax under this part for an annexing area, the enactment, repeal, or change shall take
1442     effect:
1443          (A) on the first day of a calendar quarter; and
1444          (B) after a 90-day period beginning on the date the commission receives notice meeting
1445     the requirements of Subsection (5)(e)(ii) from the town that annexes the annexing area.
1446          (ii) The notice described in Subsection (5)(e)(i)(B) shall state:
1447          (A) that the annexation described in Subsection (5)(e)(i) will result in an enactment,
1448     repeal, or change in the rate of a tax under this part for the annexing area;
1449          (B) the statutory authority for the tax described in Subsection (5)(e)(ii)(A);
1450          (C) the effective date of the tax described in Subsection (5)(e)(ii)(A); and
1451          (D) if the town enacts the tax or changes the rate of the tax described in Subsection
1452     (5)(e)(ii)(A), the rate of the tax.
1453          (f) (i) If the billing period for a transaction begins before the effective date of the
1454     enactment of the tax or the tax rate increase imposed under Subsection (1), the enactment of
1455     the tax or the tax rate increase takes effect on the first day of the first billing period that begins
1456     on or after the effective date of the enactment of the tax or the tax rate increase.
1457          (ii) The repeal of a tax or a tax rate decrease applies to a billing period if the billing

1458     statement for the billing period is produced on or after the effective date of the repeal of the tax
1459     or the tax rate decrease imposed under Subsection (1).
1460          (g) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
1461     sales and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of
1462     a tax described in Subsection (5)(e)(i) takes effect:
1463          (A) on the first day of a calendar quarter; and
1464          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
1465     rate of the tax under Subsection (5)(e)(i).
1466          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1467     commission may by rule define the term "catalogue sale."
1468          (6) The commission shall:
1469          (a) distribute the revenue generated by the tax under this section to the town imposing
1470     the tax; and
1471          (b) except as provided in Subsection (8), administer, collect, and enforce the tax
1472     authorized under this section in accordance with:
1473          (i) the same procedures used to administer, collect, and enforce the tax under:
1474          (A) Part 1, Tax Collection; or
1475          (B) Part 2, Local Sales and Use Tax Act; and
1476          (ii) Chapter 1, General Taxation Policies.
1477          (7) The commission shall retain and deposit an administrative charge in accordance
1478     with Section 59-1-306 from the revenue the commission collects from a tax under this part.
1479          (8) A tax under this section is not subject to Subsections 59-12-205(2) through [(7)]
1480     (8).
1481          Section 19. Section 59-12-1402 is amended to read:
1482          59-12-1402. Opinion question election -- Base -- Rate -- Imposition of tax --
1483     Expenditure of revenue -- Enactment or repeal of tax -- Effective date -- Notice
1484     requirements.
1485          (1) (a) Subject to the other provisions of this section, a city or town legislative body

1486     subject to this part may submit an opinion question to the residents of that city or town, by
1487     majority vote of all members of the legislative body, so that each resident of the city or town
1488     has an opportunity to express the resident's opinion on the imposition of a local sales and use
1489     tax of .1% on the transactions described in Subsection 59-12-103(1) located within the city or
1490     town, to:
1491          (i) fund cultural facilities, recreational facilities, and zoological facilities and botanical
1492     organizations, cultural organizations, and zoological organizations in that city or town; or
1493          (ii) provide funding for a botanical organization, cultural organization, or zoological
1494     organization to pay for use of a bus or facility rental if that use of the bus or facility rental is in
1495     furtherance of the botanical organization's, cultural organization's, or zoological organization's
1496     primary purpose.
1497          (b) The opinion question required by this section shall state:
1498          "Shall (insert the name of the city or town), Utah, be authorized to impose a .1% sales
1499     and use tax for (list the purposes for which the revenue collected from the sales and use tax
1500     shall be expended)?"
1501          (c) A city or town legislative body may not impose a tax under this section:
1502          (i) if the county in which the city or town is located imposes a tax under Part 7, County
1503     Option Funding for Botanical, Cultural, Recreational, and Zoological Organizations or
1504     Facilities;
1505          (ii) on the sales and uses described in Section 59-12-104 to the extent the sales and
1506     uses are exempt from taxation under Section 59-12-104; and
1507          (iii) except as provided in Subsection (1)(e), on amounts paid or charged for food and
1508     food ingredients.
1509          (d) For purposes of this Subsection (1), the location of a transaction shall be
1510     determined in accordance with Sections 59-12-211 through 59-12-215.
1511          (e) A city or town legislative body imposing a tax under this section shall impose the
1512     tax on the purchase price or sales price for amounts paid or charged for food and food
1513     ingredients if the food and food ingredients are sold as part of a bundled transaction attributable

1514     to food and food ingredients and tangible personal property other than food and food
1515     ingredients.
1516          (f) Except as provided in Subsection (6), the election shall be held at a regular general
1517     election or a municipal general election, as those terms are defined in Section 20A-1-102, and
1518     shall follow the procedures outlined in Title 11, Chapter 14, Local Government Bonding Act.
1519          (2) If the city or town legislative body determines that a majority of the city's or town's
1520     registered voters voting on the imposition of the tax have voted in favor of the imposition of
1521     the tax as prescribed in Subsection (1), the city or town legislative body may impose the tax by
1522     a majority vote of all members of the legislative body.
1523          (3) Subject to Section 59-12-1403, revenue collected from a tax imposed under
1524     Subsection (2) shall be expended:
1525          (a) to finance cultural facilities, recreational facilities, and zoological facilities within
1526     the city or town or within the geographic area of entities that are parties to an interlocal
1527     agreement, to which the city or town is a party, providing for cultural facilities, recreational
1528     facilities, or zoological facilities;
1529          (b) to finance ongoing operating expenses of:
1530          (i) recreational facilities described in Subsection (3)(a) within the city or town or
1531     within the geographic area of entities that are parties to an interlocal agreement, to which the
1532     city or town is a party, providing for recreational facilities; or
1533          (ii) botanical organizations, cultural organizations, and zoological organizations within
1534     the city or town or within the geographic area of entities that are parties to an interlocal
1535     agreement, to which the city or town is a party, providing for the support of botanical
1536     organizations, cultural organizations, or zoological organizations; and
1537          (c) as stated in the opinion question described in Subsection (1).
1538          (4) (a) Except as provided in Subsection (4)(b), a tax authorized under this part shall
1539     be:
1540          (i) administered, collected, and enforced in accordance with:
1541          (A) the same procedures used to administer, collect, and enforce the tax under:

1542          (I) Part 1, Tax Collection; or
1543          (II) Part 2, Local Sales and Use Tax Act; and
1544          (B) Chapter 1, General Taxation Policies; and
1545          (ii) (A) levied for a period of eight years; and
1546          (B) may be reauthorized at the end of the eight-year period in accordance with this
1547     section.
1548          (b) (i) If a tax under this part is imposed for the first time on or after July 1, 2011, the
1549     tax shall be levied for a period of 10 years.
1550          (ii) If a tax under this part is reauthorized in accordance with Subsection (4)(a) on or
1551     after July 1, 2011, the tax shall be reauthorized for a ten-year period.
1552          (c) A tax under this section is not subject to Subsections 59-12-205(2) through [(7)]
1553     (8).
1554          (5) (a) For purposes of this Subsection (5):
1555          (i) "Annexation" means an annexation to a city or town under Title 10, Chapter 2, Part
1556     4, Annexation.
1557          (ii) "Annexing area" means an area that is annexed into a city or town.
1558          (b) (i) Except as provided in Subsection (5)(c) or (d), if, on or after July 1, 2004, a city
1559     or town enacts or repeals a tax under this part, the enactment or repeal shall take effect:
1560          (A) on the first day of a calendar quarter; and
1561          (B) after a 90-day period beginning on the date the commission receives notice meeting
1562     the requirements of Subsection (5)(b)(ii) from the city or town.
1563          (ii) The notice described in Subsection (5)(b)(i)(B) shall state:
1564          (A) that the city or town will enact or repeal a tax under this part;
1565          (B) the statutory authority for the tax described in Subsection (5)(b)(ii)(A);
1566          (C) the effective date of the tax described in Subsection (5)(b)(ii)(A); and
1567          (D) if the city or town enacts the tax described in Subsection (5)(b)(ii)(A), the rate of
1568     the tax.
1569          (c) (i) If the billing period for a transaction begins before the effective date of the

1570     enactment of the tax under this section, the enactment of the tax takes effect on the first day of
1571     the first billing period that begins on or after the effective date of the enactment of the tax.
1572          (ii) The repeal of a tax applies to a billing period if the billing statement for the billing
1573     period is produced on or after the effective date of the repeal of the tax imposed under this
1574     section.
1575          (d) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
1576     sales and use tax rates published in the catalogue, an enactment or repeal of a tax described in
1577     Subsection (5)(b)(i) takes effect:
1578          (A) on the first day of a calendar quarter; and
1579          (B) beginning 60 days after the effective date of the enactment or repeal under
1580     Subsection (5)(b)(i).
1581          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1582     commission may by rule define the term "catalogue sale."
1583          (e) (i) Except as provided in Subsection (5)(f) or (g), if, for an annexation that occurs
1584     on or after July 1, 2004, the annexation will result in the enactment or repeal of a tax under this
1585     part for an annexing area, the enactment or repeal shall take effect:
1586          (A) on the first day of a calendar quarter; and
1587          (B) after a 90-day period beginning on the date the commission receives notice meeting
1588     the requirements of Subsection (5)(e)(ii) from the city or town that annexes the annexing area.
1589          (ii) The notice described in Subsection (5)(e)(i)(B) shall state:
1590          (A) that the annexation described in Subsection (5)(e)(i) will result in an enactment or
1591     repeal a tax under this part for the annexing area;
1592          (B) the statutory authority for the tax described in Subsection (5)(e)(ii)(A);
1593          (C) the effective date of the tax described in Subsection (5)(e)(ii)(A); and
1594          (D) the rate of the tax described in Subsection (5)(e)(ii)(A).
1595          (f) (i) If the billing period for a transaction begins before the effective date of the
1596     enactment of the tax under this section, the enactment of the tax takes effect on the first day of
1597     the first billing period that begins on or after the effective date of the enactment of the tax.

1598          (ii) The repeal of a tax applies to a billing period if the billing statement for the billing
1599     period is produced on or after the effective date of the repeal of the tax imposed under this
1600     section.
1601          (g) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
1602     sales and use tax rates published in the catalogue, an enactment or repeal of a tax described in
1603     Subsection (5)(e)(i) takes effect:
1604          (A) on the first day of a calendar quarter; and
1605          (B) beginning 60 days after the effective date of the enactment or repeal under
1606     Subsection (5)(e)(i).
1607          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1608     commission may by rule define the term "catalogue sale."
1609          (6) (a) Before a city or town legislative body submits an opinion question to the
1610     residents of the city or town under Subsection (1), the city or town legislative body shall:
1611          (i) submit to the county legislative body in which the city or town is located a written
1612     notice of the intent to submit the opinion question to the residents of the city or town; and
1613          (ii) receive from the county legislative body:
1614          (A) a written resolution passed by the county legislative body stating that the county
1615     legislative body is not seeking to impose a tax under Part 7, County Option Funding for
1616     Botanical, Cultural, Recreational, and Zoological Organizations or Facilities; or
1617          (B) a written statement that in accordance with Subsection (6)(b) the results of a county
1618     opinion question submitted to the residents of the county under Part 7, County Option Funding
1619     for Botanical, Cultural, Recreational, and Zoological Organizations or Facilities, permit the city
1620     or town legislative body to submit the opinion question to the residents of the city or town in
1621     accordance with this part.
1622          (b) (i) Within 60 days after the day the county legislative body receives from a city or
1623     town legislative body described in Subsection (6)(a) the notice of the intent to submit an
1624     opinion question to the residents of the city or town, the county legislative body shall provide
1625     the city or town legislative body:

1626          (A) the written resolution described in Subsection (6)(a)(ii)(A); or
1627          (B) written notice that the county legislative body will submit an opinion question to
1628     the residents of the county under Part 7, County Option Funding for Botanical, Cultural,
1629     Recreational, and Zoological Organizations or Facilities, for the county to impose a tax under
1630     that part.
1631          (ii) If the county legislative body provides the city or town legislative body the written
1632     notice that the county legislative body will submit an opinion question as provided in
1633     Subsection (6)(b)(i)(B), the county legislative body shall submit the opinion question by no
1634     later than, from the date the county legislative body sends the written notice, the later of:
1635          (A) a 12-month period;
1636          (B) the next regular primary election; or
1637          (C) the next regular general election.
1638          (iii) Within 30 days of the date of the canvass of the election at which the opinion
1639     question under Subsection (6)(b)(ii) is voted on, the county legislative body shall provide the
1640     city or town legislative body described in Subsection (6)(a) written results of the opinion
1641     question submitted by the county legislative body under Part 7, County Option Funding for
1642     Botanical, Cultural, Recreational, and Zoological Organizations or Facilities, indicating that:
1643          (A) (I) the city or town legislative body may not impose a tax under this part because a
1644     majority of the county's registered voters voted in favor of the county imposing the tax and the
1645     county legislative body by a majority vote approved the imposition of the tax; or
1646          (II) for at least 12 months from the date the written results are submitted to the city or
1647     town legislative body, the city or town legislative body may not submit to the county legislative
1648     body a written notice of the intent to submit an opinion question under this part because a
1649     majority of the county's registered voters voted against the county imposing the tax and the
1650     majority of the registered voters who are residents of the city or town described in Subsection
1651     (6)(a) voted against the imposition of the county tax; or
1652          (B) the city or town legislative body may submit the opinion question to the residents
1653     of the city or town in accordance with this part because although a majority of the county's

1654     registered voters voted against the county imposing the tax, the majority of the registered voters
1655     who are residents of the city or town voted for the imposition of the county tax.
1656          (c) Notwithstanding Subsection (6)(b), at any time a county legislative body may
1657     provide a city or town legislative body described in Subsection (6)(a) a written resolution
1658     passed by the county legislative body stating that the county legislative body is not seeking to
1659     impose a tax under Part 7, County Option Funding for Botanical, Cultural, Recreational, and
1660     Zoological Organizations or Facilities, which permits the city or town legislative body to
1661     submit under Subsection (1) an opinion question to the city's or town's residents.
1662          Section 20. Section 59-12-2103 is amended to read:
1663          59-12-2103. Imposition of tax -- Base -- Rate -- Expenditure of revenue collected
1664     from the tax -- Administration, collection, and enforcement of tax by commission --
1665     Administrative charge -- Enactment or repeal of tax -- Annexation -- Notice.
1666          (1) (a) Subject to the other provisions of this section and except as provided in
1667     Subsection (2) or (3), beginning on January 1, 2009 and ending on June 30, 2016, if a city or
1668     town receives a distribution for the 12 consecutive months of fiscal year 2005-06 because the
1669     city or town would have received a tax revenue distribution of less than .75% of the taxable
1670     sales within the boundaries of the city or town but for Subsection 59-12-205(4)(a), the city or
1671     town legislative body may impose a sales and use tax of up to .20% on the transactions:
1672          (i) described in Subsection 59-12-103(1); and
1673          (ii) within the city or town.
1674          (b) A city or town legislative body that imposes a tax under Subsection (1)(a) shall
1675     expend the revenue collected from the tax for the same purposes for which the city or town
1676     may expend the city's or town's general fund revenue.
1677          (c) For purposes of this Subsection (1), the location of a transaction shall be
1678     determined in accordance with Sections 59-12-211 through 59-12-215.
1679          (2) (a) A city or town legislative body may not impose a tax under this section on:
1680          (i) the sales and uses described in Section 59-12-104 to the extent the sales and uses
1681     are exempt from taxation under Section 59-12-104; and

1682          (ii) except as provided in Subsection (2)(b), amounts paid or charged for food and food
1683     ingredients.
1684          (b) A city or town legislative body imposing a tax under this section shall impose the
1685     tax on the purchase price or sales price for amounts paid or charged for food and food
1686     ingredients if the food and food ingredients are sold as part of a bundled transaction attributable
1687     to food and food ingredients and tangible personal property other than food and food
1688     ingredients.
1689          (3) (a) Beginning on January 1, 2009, and ending on June 30, 2016, to impose a tax
1690     under this part, a city or town legislative body shall obtain approval from a majority of the
1691     members of the city or town legislative body.
1692          (b) If, on June 30, 2016, a city or town is not imposing a tax under this part, the city or
1693     town legislative body may not impose a tax under this part beginning on or after July 1, 2016.
1694          (c) (i) If, on June 30, 2016, a city or town imposes a tax under this part, the city or
1695     town shall repeal the tax on July 1, 2016, unless, on or after July 1, 2012, but on or before
1696     March 31, 2016, the city or town legislative body obtains approval from a majority vote of the
1697     members of the city or town legislative body to continue to impose the tax.
1698          (ii) If a city or town obtains approval under Subsection (3)(c)(i) from a majority vote of
1699     the members of the city or town legislative body to continue to impose a tax under this part on
1700     or after July 1, 2016, the city or town may impose the tax until no later than June 30, 2030.
1701          (4) The commission shall transmit revenue collected within a city or town from a tax
1702     under this part:
1703          (a) to the city or town legislative body;
1704          (b) monthly; and
1705          (c) by electronic funds transfer.
1706          (5) (a) Except as provided in Subsection (5)(b), the commission shall administer,
1707     collect, and enforce a tax under this part in accordance with:
1708          (i) the same procedures used to administer, collect, and enforce the tax under:
1709          (A) Part 1, Tax Collection; or

1710          (B) Part 2, Local Sales and Use Tax Act; and
1711          (ii) Chapter 1, General Taxation Policies.
1712          (b) A tax under this part is not subject to Subsections 59-12-205(2) through [(7)] (8).
1713          (6) The commission shall retain and deposit an administrative charge in accordance
1714     with Section 59-1-306 from the revenue the commission collects from a tax under this part.
1715          (7) (a) (i) Except as provided in Subsection (7)(b) or (c), if, on or after January 1, 2009,
1716     a city or town enacts or repeals a tax or changes the rate of a tax under this part, the enactment,
1717     repeal, or change shall take effect:
1718          (A) on the first day of a calendar quarter; and
1719          (B) after a 90-day period beginning on the date the commission receives notice meeting
1720     the requirements of Subsection (7)(a)(i) from the city or town.
1721          (ii) The notice described in Subsection (7)(a)(i)(B) shall state:
1722          (A) that the city or town will enact or repeal a tax or change the rate of the tax under
1723     this part;
1724          (B) the statutory authority for the tax described in Subsection (7)(a)(ii)(A);
1725          (C) the effective date of the tax described in Subsection (7)(a)(ii)(A); and
1726          (D) if the city or town enacts the tax or changes the rate of the tax described in
1727     Subsection (7)(a)(ii)(A), the rate of the tax.
1728          (b) (i) If the billing period for a transaction begins before the enactment of the tax or
1729     the tax rate increase under Subsection (1), the enactment of the tax or the tax rate increase takes
1730     effect on the first day of the first billing period that begins on or after the effective date of the
1731     enactment of the tax or the tax rate increase.
1732          (ii) If the billing period for a transaction begins before the effective date of the repeal
1733     of the tax or the tax rate decrease imposed under Subsection (1), the repeal of the tax or the tax
1734     rate decrease applies to a billing period if the billing statement for the billing period is rendered
1735     on or after the effective date of the repeal of the tax or the tax rate decrease.
1736          (c) (i) If a tax due under this part on a catalogue sale is computed on the basis of sales
1737     and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of a tax

1738     described in Subsection (7)(a)(i) takes effect:
1739          (A) on the first day of a calendar quarter; and
1740          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
1741     rate of the tax under Subsection (7)(a)(i).
1742          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1743     commission may by rule define the term "catalogue sale."
1744          (d) (i) Except as provided in Subsection (7)(e) or (f), if, for an annexation that occurs
1745     on or after January 1, 2009, the annexation will result in the enactment, repeal, or change in the
1746     rate of a tax under this part for an annexing area, the enactment, repeal, or change shall take
1747     effect:
1748          (A) on the first day of a calendar quarter; and
1749          (B) after a 90-day period beginning on the date the commission receives notice meeting
1750     the requirements of Subsection (7)(d)(ii) from the city or town that annexes the annexing area.
1751          (ii) The notice described in Subsection (7)(d)(i)(B) shall state:
1752          (A) that the annexation described in Subsection (7)(d)(i)(B) will result in the
1753     enactment, repeal, or change in the rate of a tax under this part for the annexing area;
1754          (B) the statutory authority for the tax described in Subsection (7)(d)(ii)(A);
1755          (C) the effective date of the tax described in Subsection (7)(d)(ii)(A); and
1756          (D) if the city or town enacts the tax or changes the rate of the tax described in
1757     Subsection (7)(d)(ii)(A), the rate of the tax.
1758          (e) (i) If the billing period for a transaction begins before the effective date of the
1759     enactment of the tax or a tax rate increase under Subsection (1), the enactment of a tax or a tax
1760     rate increase takes effect on the first day of the first billing period that begins on or after the
1761     effective date of the enactment of the tax or the tax rate increase.
1762          (ii) If the billing period for a transaction begins before the effective date of the repeal
1763     of the tax or the tax rate decrease imposed under Subsection (1), the repeal of the tax or the tax
1764     rate decrease applies to a billing period if the billing statement for the billing period is rendered
1765     on or after the effective date of the repeal of the tax or the tax rate decrease.

1766          (f) (i) If a tax due under this part on a catalogue sale is computed on the basis of sales
1767     and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of a tax
1768     described in Subsection (7)(d)(i) takes effect:
1769          (A) on the first day of a calendar quarter; and
1770          (B) beginning 60 days after the effective date of the enactment, repeal, or change under
1771     Subsection (7)(d)(i).
1772          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1773     commission may by rule define the term "catalogue sale."
1774          Section 21. Section 59-12-2206 is amended to read:
1775          59-12-2206. Administration, collection, and enforcement of a sales and use tax
1776     under this part -- Transmission of revenue monthly by electronic funds transfer --
1777     Transfer of revenue to a public transit district or eligible political subdivision.
1778          (1) Except as provided in Subsection (2), the commission shall administer, collect, and
1779     enforce a sales and use tax imposed under this part.
1780          (2) The commission shall administer, collect, and enforce a sales and use tax imposed
1781     under this part in accordance with:
1782          (a) the same procedures used to administer, collect, and enforce a tax under:
1783          (i) Part 1, Tax Collection; or
1784          (ii) Part 2, Local Sales and Use Tax Act; and
1785          (b) Chapter 1, General Taxation Policies.
1786          (3) A sales and use tax under this part is not subject to Subsections 59-12-205(2)
1787     through [(7)] (8).
1788          (4) Subject to Section 59-12-2207 and except as provided in Subsection (5) or another
1789     provision of this part, the state treasurer shall transmit revenue collected within a county, city,
1790     or town from a sales and use tax under this part to the county, city, or town legislative body
1791     monthly by electronic funds transfer.
1792          (5) (a) Subject to Section 59-12-2207, and except as provided in Subsection (5)(b), the
1793     state treasurer shall transfer revenue collected within a county, city, or town from a sales and

1794     use tax under this part directly to a public transit district organized under Title 17B, Chapter 2a,
1795     Part 8, Public Transit District Act, or an eligible political subdivision as defined in Section
1796     59-12-2219, if the county, city, or town legislative body:
1797          (i) provides written notice to the commission and the state treasurer requesting the
1798     transfer; and
1799          (ii) designates the public transit district or eligible political subdivision to which the
1800     county, city, or town legislative body requests the state treasurer to transfer the revenue.
1801          (b) The commission shall transmit a portion of the revenue collected within a county,
1802     city, or town from a sales and use tax under this part that would be transferred to a public
1803     transit district or an eligible political subdivision under Subsection (5)(a) to the county, city, or
1804     town to fund public transit fixed guideway safety oversight under Section 72-1-214 if the
1805     county, city, or town legislative body:
1806          (i) provides written notice to the commission and the state treasurer requesting the
1807     transfer; and
1808          (ii) specifies the amount of revenue required to be transmitted to the county, city, or
1809     town.
1810          Section 22. Section 63J-1-801 is enacted to read:
1811     
Part 8. Homeless Shelter Cities Mitigation Program

1812          63J-1-801. Definitions.
1813          As used in this part:
1814          (1) "Committee" means the Homeless Coordinating Committee created in Section
1815     35A-8-601.
1816          (2) "Eligible municipality" means a city of the third, fourth, or fifth class, a town, or a
1817     metro township that:
1818          (a) has, or is proposed to have, a homeless shelter within the city's, town's, or metro
1819     township's geographic boundaries that:
1820          (i) provides or is proposed to provide temporary shelter to homeless individuals;
1821          (ii) has or is proposed to have the capacity to provide temporary shelter to at least 200

1822     individuals per night; and
1823          (iii) operates year-round and is not subject to restrictions that limit the hours, days,
1824     weeks, or months of operation; and
1825          (b) due to the location of a homeless shelter within the city's, town's, or metro
1826     township's geographic boundaries, needs more public safety services than the city, town, or
1827     metro township needed before the location of the homeless shelter within the city's, town's, or
1828     metro township's geographic boundaries.
1829          (3) "Grant eligible entity" means:
1830          (a) the Department of Public Safety; or
1831          (b) a city, town, or metro township that has:
1832          (i) a homeless shelter within the city's, town's, or metro township's geographic
1833     boundaries that:
1834          (A) provides temporary shelter to homeless individuals;
1835          (B) has the capacity to provide temporary shelter to at least 60 individuals per night;
1836     and
1837          (C) operates year-round and is not subject to restrictions that limit the hours, days,
1838     weeks, or months of operation; and
1839          (ii) increased community, social service, and public safety service needs due to the
1840     location of a homeless shelter within the city's, town's, or metro township's geographic
1841     boundaries.
1842          Section 23. Section 63J-1-802 is enacted to read:
1843          63J-1-802. Submission of Homeless Coordinating Committee recommendations --
1844     Adoption, procedure, and approval -- Appropriation.
1845          (1) (a) On or before December 31, the committee shall submit the committee's
1846     recommendation under Subsection 35A-8-607(4) for each eligible municipality that made a
1847     request:
1848          (i) to the Social Services Appropriations Subcommittee of the Legislature; and
1849          (ii) as an appropriations request.

1850          (b) For each recommendation that the committee submits, the Social Services
1851     Appropriations Subcommittee shall:
1852          (i) approve the amount as recommended;
1853          (ii) increase or decrease the amount and then approve the modified amount; or
1854          (iii) reject the amount.
1855          (2) (a) On or before December 31, the committee shall submit the committee's list
1856     prioritizing the grant requests and recommending a grant amount for each grant eligible entity
1857     that requested a grant:
1858          (i) to the Social Services Appropriations Subcommittee of the Legislature; and
1859          (ii) as an appropriations request.
1860          (b) The Social Services Appropriations Subcommittee shall:
1861          (i) approve the committee's list;
1862          (ii) modify the committee's list and then approve the modified list; or
1863          (iii) reject the committee's list.
1864          (3) The Social Services Appropriations Subcommittee may submit the subcommittee's
1865     approvals under this section from the Homeless Shelter Cities Mitigation Restricted Account
1866     for inclusion in an appropriations act to be considered by the full Legislature.
1867          Section 24. Appropriation.
1868          The following sums of money are appropriated for the fiscal year beginning July 1,
1869     2018, and ending June 30, 2019. These are additions to amounts previously appropriated for
1870     fiscal year 2019. Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures
1871     Act, the Legislature appropriates the following sums of money from the funds or accounts
1872     indicated for the use and support of the government of the state of Utah.
1873     ITEM 1
1874          To Department of Workforce Services -- Housing and Community Development
1875          From Homeless Shelter Cities Mitigation Restricted Account,
1876           One-Time
$2,500,000

1877          Schedule of Programs:

1878               Homeless Shelter Cities Mitigation Program     $2,500,000
1879          The Legislature intends that:
1880          (1) the appropriations provided under this section be used for the purposes described in
1881     Section 35A-8-607; and
1882          (2) the Department of Workforce Services allocate the appropriation under this section
1883     to an eligible municipality, as defined in Section 35A-8-607, in an amount approved by the
1884     Homeless Coordinating Committee to the extent that the eligible municipality provides an
1885     invoice and supporting documentation to the Department of Workforce Services as described
1886     in Section 35A-8-607.