1     
PUBLIC TRANSIT CAPITAL DEVELOPMENT

2     
MODIFICATIONS

3     
2022 GENERAL SESSION

4     
STATE OF UTAH

5     
Chief Sponsor: Kay J. Christofferson

6     
Senate Sponsor: Kirk A. Cullimore

7     Cosponsors:
8     Nelson T. Abbott
9     Cheryl K. Acton
10     Carl R. Albrecht
11     Melissa G. Ballard
12     Stewart E. Barlow
13     Gay Lynn Bennion
14     Kera Birkeland
15     Brady Brammer
16     Joel K. Briscoe
17     Walt Brooks
18     Jefferson S. Burton
19     Scott H. Chew
20     Clare Collard
21     Jennifer Dailey-Provost
22     James A. Dunnigan
23     Steve Eliason
24     Joel Ferry
25     Matthew H. Gwynn
26     Stephen G. Handy
27     Suzanne Harrison
28     Timothy D. Hawkes
Jon Hawkins
Sandra Hollins
Ken Ivory
Dan N. Johnson
Marsha Judkins
Brian S. King
Michael L. Kohler
Karen Kwan
Bradley G. Last
Rosemary T. Lesser
Karianne Lisonbee
Steven J. Lund
Phil Lyman
A. Cory Maloy
Ashlee Matthews
Kelly B. Miles
Carol Spackman Moss
Jefferson Moss
Calvin R. Musselman
Merrill F. Nelson
Doug Owens
Michael J. Petersen
Karen M. Peterson
Val L. Peterson
Candice B. Pierucci
Stephanie Pitcher
Susan Pulsipher
Adam Robertson
Judy Weeks Rohner
Angela Romero
Douglas V. Sagers
Mike Schultz
Travis M. Seegmiller
Rex P. Shipp
Casey Snider
V. Lowry Snow
Robert M. Spendlove
Jeffrey D. Stenquist
Andrew Stoddard
Keven J. Stratton
Mark A. Strong
Jordan D. Teuscher
Norman K. Thurston
Steve Waldrip

29     Raymond P. Ward
30     Christine F. Watkins
31     Elizabeth Weight
32     Douglas R. Welton
33     Mark A. Wheatley
34     Stephen L. Whyte
35     Ryan D. Wilcox
36     Brad R. Wilson
37     Mike Winder

38     

39     LONG TITLE
40     General Description:
41          This bill requires the Department of Transportation to manage and oversee all fixed
42     guideway capital development projects that include state funding.
43     Highlighted Provisions:
44          This bill:
45          ▸     defines terms;
46          ▸     requires a large public transit district to coordinate with the Department of
47     Transportation regarding certain public transit facilities associated with a transit
48     oriented development;
49          ▸     requires the Department of Transportation to manage and oversee fixed guideway
50     capital development projects for which state money is expended;
51          ▸     requires the Department of Transportation to report to the Transportation Interim
52     Committee regarding a plan to assume responsibility for public transit capital
53     development;
54          ▸     amends the allowed uses of funds in the Transit Transportation Investment Fund;
55          ▸     requires an agreement between a large public transit district and the Department of
56     Transportation pertaining to repayment of certain funds; and
57          ▸     makes technical changes.
58     Money Appropriated in this Bill:
59          None

60     Other Special Clauses:
61          None
62     Utah Code Sections Affected:
63     AMENDS:
64          17B-2a-802, as last amended by Laws of Utah 2020, Chapter 377
65          17B-2a-804, as last amended by Laws of Utah 2020, Fifth Special Session, Chapter 4
66          17B-2a-806, as last amended by Laws of Utah 2017, Chapter 121
67          17B-2a-808.2, as last amended by Laws of Utah 2019, Chapter 479
68          72-1-102, as last amended by Laws of Utah 2021, Chapter 411
69          72-1-202, as last amended by Laws of Utah 2021, Chapter 344
70          72-1-208, as last amended by Laws of Utah 2018, Chapter 424
71          72-2-124, as last amended by Laws of Utah 2021, Chapters 239, 387, and 411
72     

73     Be it enacted by the Legislature of the state of Utah:
74          Section 1. Section 17B-2a-802 is amended to read:
75          17B-2a-802. Definitions.
76          As used in this part:
77          (1) "Affordable housing" means housing occupied or reserved for occupancy by
78     households that meet certain gross household income requirements based on the area median
79     income for households of the same size.
80          (a) "Affordable housing" may include housing occupied or reserved for occupancy by
81     households that meet specific area median income targets or ranges of area median income
82     targets.
83          (b) "Affordable housing" does not include housing occupied or reserved for occupancy
84     by households with gross household incomes that are more than 60% of the area median
85     income for households of the same size.
86          (2) "Appointing entity" means the person, county, unincorporated area of a county, or

87     municipality appointing a member to a public transit district board of trustees.
88          (3) (a) "Chief executive officer" means a person appointed by the board of trustees of a
89     small public transit district to serve as chief executive officer.
90          (b) "Chief executive officer" shall enjoy all the rights, duties, and responsibilities
91     defined in Sections 17B-2a-810 and 17B-2a-811 and includes all rights, duties, and
92     responsibilities assigned to the general manager but prescribed by the board of trustees to be
93     fulfilled by the chief executive officer.
94          (4) "Council of governments" means a decision-making body in each county composed
95     of membership including the county governing body and the mayors of each municipality in the
96     county.
97          (5) "Department" means the Department of Transportation created in Section 72-1-201.
98          (6) "Executive director" means a person appointed by the board of trustees of a large
99     public transit district to serve as executive director.
100          (7) "Fixed guideway" means the same as that term is defined in Section 59-12-102.
101          (8) "Fixed guideway capital development" means the same as that term is defined in
102     Section 72-1-102.
103          [(7)] (9) (a) "General manager" means a person appointed by the board of trustees of a
104     small public transit district to serve as general manager.
105          (b) "General manager" shall enjoy all the rights, duties, and responsibilities defined in
106     Sections 17B-2a-810 and 17B-2a-811 prescribed by the board of trustees of a small public
107     transit district.
108          [(8)] (10) "Large public transit district" means a public transit district that provides
109     public transit to an area that includes:
110          (a) more than 65% of the population of the state based on the most recent official
111     census or census estimate of the United States Census Bureau; and
112          (b) two or more counties.
113          [(9)] (11) (a) "Locally elected public official" means a person who holds an elected

114     position with a county or municipality.
115          (b) "Locally elected public official" does not include a person who holds an elected
116     position if the elected position is not with a county or municipality.
117          [(10)] (12) "Metropolitan planning organization" means the same as that term is
118     defined in Section 72-1-208.5.
119          [(11)] (13) "Multicounty district" means a public transit district located in more than
120     one county.
121          [(12)] (14) "Operator" means a public entity or other person engaged in the
122     transportation of passengers for hire.
123          [(13)] (15) (a) "Public transit" means regular, continuing, shared-ride, surface
124     transportation services that are open to the general public or open to a segment of the general
125     public defined by age, disability, or low income.
126          (b) "Public transit" does not include transportation services provided by:
127          (i) chartered bus;
128          (ii) sightseeing bus;
129          (iii) taxi;
130          (iv) school bus service;
131          (v) courtesy shuttle service for patrons of one or more specific establishments; or
132          (vi) intra-terminal or intra-facility shuttle services.
133          [(14)] (16) "Public transit district" means a local district that provides public transit
134     services.
135          [(15)] (17) "Small public transit district" means any public transit district that is not a
136     large public transit district.
137          [(16)] (18) "Station area plan" means a plan adopted by the relevant municipality or
138     county that establishes and preserves a vision for areas within one-half mile of a fixed
139     guideway station of a large public transit district, the development of which includes:
140          (a) involvement of all relevant stakeholders who have an interest in the station area,

141     including relevant metropolitan planning organizations and the Department of Transportation;
142          (b) identification of major infrastructural and policy constraints and a course of action
143     to address those constraints; and
144          (c) other criteria as determined by the board of trustees of the relevant public transit
145     district.
146          [(17)] (19) "Transit facility" means a transit vehicle, transit station, depot, passenger
147     loading or unloading zone, parking lot, or other facility:
148          (a) leased by or operated by or on behalf of a public transit district; and
149          (b) related to the public transit services provided by the district, including:
150          (i) railway or other right-of-way;
151          (ii) railway line; and
152          (iii) a reasonable area immediately adjacent to a designated stop on a route traveled by
153     a transit vehicle.
154          [(18)] (20) "Transit vehicle" means a passenger bus, coach, railcar, van, or other
155     vehicle operated as public transportation by a public transit district.
156          [(19)] (21) "Transit-oriented development" means a mixed use residential or
157     commercial area that is designed to maximize access to public transit and includes the
158     development of land owned by a large public transit district.
159          [(20)] (22) "Transit-supportive development" means a mixed use residential or
160     commercial area that is designed to maximize access to public transit and does not include the
161     development of land owned by a large public transit district.
162          Section 2. Section 17B-2a-804 is amended to read:
163          17B-2a-804. Additional public transit district powers.
164          (1) In addition to the powers conferred on a public transit district under Section
165     17B-1-103, a public transit district may:
166          (a) provide a public transit system for the transportation of passengers and their
167     incidental baggage;

168          (b) notwithstanding Subsection 17B-1-103(2)(g) and subject to Section 17B-2a-817,
169     levy and collect property taxes only for the purpose of paying:
170          (i) principal and interest of bonded indebtedness of the public transit district; or
171          (ii) a final judgment against the public transit district if:
172          (A) the amount of the judgment exceeds the amount of any collectable insurance or
173     indemnity policy; and
174          (B) the district is required by a final court order to levy a tax to pay the judgment;
175          (c) insure against:
176          (i) loss of revenues from damage to or destruction of some or all of a public transit
177     system from any cause;
178          (ii) public liability;
179          (iii) property damage; or
180          (iv) any other type of event, act, or omission;
181          (d) subject to Section 72-1-202 pertaining to fixed guideway capital development
182     within a large public transit district, acquire, contract for, lease, construct, own, operate,
183     control, or use:
184          (i) a right-of-way, rail line, monorail, bus line, station, platform, switchyard, terminal,
185     parking lot, or any other facility necessary or convenient for public transit service; or
186          (ii) any structure necessary for access by persons and vehicles;
187          (e) (i) hire, lease, or contract for the supplying or management of a facility, operation,
188     equipment, service, employee, or management staff of an operator; and
189          (ii) provide for a sublease or subcontract by the operator upon terms that are in the
190     public interest;
191          (f) operate feeder bus lines and other feeder or ridesharing services as necessary;
192          (g) accept a grant, contribution, or loan, directly through the sale of securities or
193     equipment trust certificates or otherwise, from the United States, or from a department,
194     instrumentality, or agency of the United States;

195          (h) study and plan transit facilities in accordance with any legislation passed by
196     Congress;
197          (i) cooperate with and enter into an agreement with the state or an agency of the state
198     or otherwise contract to finance to establish transit facilities and equipment or to study or plan
199     transit facilities;
200          (j) subject to Subsection 17B-2a-808.1(5), issue bonds as provided in and subject to
201     Chapter 1, Part 11, Local District Bonds, to carry out the purposes of the district;
202          (k) from bond proceeds or any other available funds, reimburse the state or an agency
203     of the state for an advance or contribution from the state or state agency;
204          (l) do anything necessary to avail itself of any aid, assistance, or cooperation available
205     under federal law, including complying with labor standards and making arrangements for
206     employees required by the United States or a department, instrumentality, or agency of the
207     United States;
208          (m) sell or lease property;
209          (n) except as provided in Subsection (2)(b), assist in or operate transit-oriented or
210     transit-supportive developments;
211          (o) subject to Subsections (2) and (3), establish, finance, participate as a limited partner
212     or member in a development with limited liabilities in accordance with Subsection (1)(p),
213     construct, improve, maintain, or operate transit facilities, equipment, and , in accordance with
214     Subsection (3), transit-oriented developments or transit-supportive developments; and
215          (p) subject to the restrictions and requirements in Subsections (2) and (3), assist in a
216     transit-oriented development or a transit-supportive development in connection with project
217     area development as defined in Section 17C-1-102 by:
218          (i) investing in a project as a limited partner or a member, with limited liabilities; or
219          (ii) subordinating an ownership interest in real property owned by the public transit
220     district.
221          (2) (a) A public transit district may only assist in the development of areas under

222     Subsection (1)(p) that have been approved by the board of trustees, and in the manners
223     described in Subsection (1)(p).
224          (b) A public transit district may not invest in a transit-oriented development or
225     transit-supportive development as a limited partner or other limited liability entity under the
226     provisions of Subsection (1)(p)(i), unless the partners, developer, or other investor in the entity,
227     makes an equity contribution equal to no less than 25% of the appraised value of the property
228     to be contributed by the public transit district.
229          (c) (i) For transit-oriented development projects, a public transit district shall adopt
230     transit-oriented development policies and guidelines that include provisions on affordable
231     housing.
232          (ii) For transit-supportive development projects, a public transit district shall work with
233     the metropolitan planning organization and city and county governments where the project is
234     located to collaboratively seek to create joint plans for the areas within one-half mile of transit
235     stations, including plans for affordable housing.
236          (d) A current board member of a public transit district to which the board member is
237     appointed may not have any interest in the transactions engaged in by the public transit district
238     pursuant to Subsection (1)(p)(i) or (ii), except as may be required by the board member's
239     fiduciary duty as a board member.
240          (3) For any transit-oriented development or transit-supportive development authorized
241     in this section, the public transit district shall:
242          (a) perform a cost-benefit analysis of the monetary investment and expenditures of the
243     development, including effect on:
244          (i) service and ridership;
245          (ii) regional plans made by the metropolitan planning agency;
246          (iii) the local economy;
247          (iv) the environment and air quality;
248          (v) affordable housing; and

249          (vi) integration with other modes of transportation; [and]
250          (b) provide evidence to the public of a quantifiable positive return on investment,
251     including improvements to public transit service[.]; and
252          (c) coordinate with the Department of Transportation in accordance with Section
253     72-1-202 pertaining to fixed guideway capital development and associated parking facilities
254     within a station area plan for a transit oriented development within a large public transit
255     district.
256          (4) For any fixed guideway capital development project with oversight by the
257     Department of Transportation as described in Section 72-1-202, a large public transit district
258     shall coordinate with the Department of Transportation in all aspects of the project, including
259     planning, project development, outreach, programming, environmental studies and impact
260     statements, impacts on public transit operations, and construction.
261          [(4)] (5) A public transit district may not participate in a transit-oriented development
262     if:
263          (a) the relevant municipality or county has not developed and adopted a station area
264     plan; and
265          (b) (i) for a transit-oriented development involving a municipality, the municipality is
266     not in compliance with Sections 10-9a-403 and 10-9a-408 regarding the inclusion of moderate
267     income housing in the general plan and the required reporting requirements; or
268          (ii) for a transit-oriented development involving property in an unincorporated area of a
269     county, the county is not in compliance with Sections 17-27a-403 and 17-27a-408 regarding
270     inclusion of moderate income housing in the general plan and required reporting requirements.
271          [(5)] (6) A public transit district may be funded from any combination of federal, state,
272     local, or private funds.
273          [(6)] (7) A public transit district may not acquire property by eminent domain.
274          Section 3. Section 17B-2a-806 is amended to read:
275          17B-2a-806. Authority of the state or an agency of the state with respect to a

276     public transit district -- Counties and municipalities authorized to provide funds to
277     public transit district -- Equitable allocation of resources within the public transit
278     district.
279          (1) The state or an agency of the state may:
280          (a) make public contributions to a public transit district as in the judgment of the
281     Legislature or governing board of the agency are necessary or proper; or
282          (b) authorize a public transit district to perform, or aid and assist a public transit district
283     in performing, an activity that the state or agency is authorized by law to perform.
284          (2) (a) A county or municipality involved in the establishment and operation of a
285     public transit district may provide funds necessary for the operation and maintenance of the
286     district.
287          (b) A county's use of property tax funds to establish and operate a public transit district
288     within any part of the county is a county purpose under Section 17-53-220.
289          (3) (a) To allocate resources and funds for development and operation of a public
290     transit district, whether received under this section or from other sources, and subject to
291     Section 72-1-202 pertaining to fixed guideway capital development within a large public transit
292     district, a public transit district may:
293          (i) give priority to public transit services that feed rail fixed guideway services; and
294          (ii) allocate funds according to population distribution within the public transit district.
295          (b) The comptroller of a public transit district shall report the criteria and data
296     supporting the allocation of resources and funds in the statement required in Section
297     17B-2a-812.
298          Section 4. Section 17B-2a-808.2 is amended to read:
299          17B-2a-808.2. Large public transit district local advisory council -- Powers and
300     duties.
301          (1) A large public transit district shall create and consult with a local advisory council.
302          (2) (a) (i) For a large public transit district in existence as of January 1, 2019, the local

303     advisory council shall have membership selected as described in Subsection (2)(b).
304          (ii) (A) For a large public transit district created after January 1, 2019, the political
305     subdivision or subdivisions forming the large public transit district shall submit to the
306     Legislature for approval a proposal for the appointments to the local advisory council of the
307     large public transit district similar to the appointment process described in Subsection (2)(b).
308          (B) Upon approval of the Legislature, each nominating individual or body shall appoint
309     individuals to the local advisory council.
310          (b) (i) The council of governments of Salt Lake County shall appoint three members to
311     the local advisory council.
312          (ii) The mayor of Salt Lake City shall appoint one member to the local advisory
313     council.
314          (iii) The council of governments of Utah County shall appoint two members to the
315     local advisory council.
316          (iv) The council of governments of Davis County and Weber County shall each appoint
317     one member to the local advisory council.
318          (v) The councils of governments of Box Elder County and Tooele County shall jointly
319     appoint one member to the local advisory council.
320          (3) The local advisory council shall meet at least quarterly in a meeting open to the
321     public for comment to discuss the service, operations, and any concerns with the public transit
322     district operations and functionality.
323          (4) The duties of the local advisory council shall include:
324          (a) setting the compensation packages of the board of trustees, which salary may not
325     exceed $150,000, plus additional retirement and other standard benefits;
326          (b) reviewing, approving, and recommending final adoption by the board of trustees of
327     the large public transit district service plans at least every two and one-half years;
328          (c) except for a fixed guideway capital development project under the authority of the
329     Department of Transportation as described in Section 72-1-202, reviewing, approving, and

330     recommending final adoption by the board of trustees of project development plans, including
331     funding, of all new capital development projects;
332          (d) reviewing, approving, and recommending final adoption by the board of trustees of
333     any plan for a transit-oriented development where a large public transit district is involved;
334          (e) at least annually, engaging with the safety and security team of the large public
335     transit district to ensure coordination with local municipalities and counties;
336          (f) assisting with coordinated mobility and constituent services provided by the public
337     transit district;
338          (g) representing and advocating the concerns of citizens within the public transit
339     district to the board of trustees; and
340          (h) other duties described in Section 17B-2a-808.1.
341          (5) The local advisory council shall meet at least quarterly with and consult with the
342     board of trustees and advise regarding the operation and management of the public transit
343     district.
344          Section 5. Section 72-1-102 is amended to read:
345          72-1-102. Definitions.
346          As used in this title:
347          (1) "Circulator alley" means a publicly owned passageway:
348          (a) with a right-of-way width of 20 feet or greater;
349          (b) located within a master planned community;
350          (c) established by the city having jurisdictional authority as part of the street network
351     for traffic circulation that may also be used for:
352          (i) garbage collection;
353          (ii) access to residential garages; or
354          (iii) access rear entrances to a commercial establishment; and
355          (d) constructed with a bituminous or concrete pavement surface.
356          (2) "Commission" means the Transportation Commission created under Section

357     72-1-301.
358          (3) "Construction" means the construction, reconstruction, replacement, and
359     improvement of the highways, including the acquisition of rights-of-way and material sites.
360          (4) "Department" means the Department of Transportation created in Section 72-1-201.
361          (5) "Executive director" means the executive director of the department appointed
362     under Section 72-1-202.
363          (6) "Farm tractor" has the meaning set forth in Section 41-1a-102.
364          (7) "Federal aid primary highway" means that portion of connected main highways
365     located within this state officially designated by the department and approved by the United
366     States Secretary of Transportation under Title 23, Highways, U.S.C.
367          (8) "Fixed guideway" means the same as that term is defined in Section 59-12-102.
368          (9) (a) "Fixed guideway capital development" means a project to construct or
369     reconstruct a public transit fixed guideway facility that will add capacity to a fixed guideway
370     public transit facility.
371          (b) "Fixed guideway capital development" includes:
372          (i) a project to strategically double track commuter rail lines; and
373          (ii) a project to develop and construct public transit facilities and related infrastructure
374     pertaining to the Point of the Mountain State Land Authority created in Section 11-59-201.
375          [(8)] (10) "Highway" means any public road, street, alley, lane, court, place, viaduct,
376     tunnel, culvert, bridge, or structure laid out or erected for public use, or dedicated or abandoned
377     to the public, or made public in an action for the partition of real property, including the entire
378     area within the right-of-way.
379          [(9)] (11) "Highway authority" means the department or the legislative, executive, or
380     governing body of a county or municipality.
381          [(10)] (12) "Housing and transit reinvestment zone" means the same as that term is
382     defined in Section 63N-3-602.
383          [(11)] (13) "Implement of husbandry" has the meaning set forth in Section 41-1a-102.

384          [(12)] (14) "Interstate system" means any highway officially designated by the
385     department and included as part of the national interstate and defense highways, as provided in
386     the Federal Aid Highway Act of 1956 and any supplemental acts or amendments.
387          (15) "Large public transit district" means the same as that term is defined in Section
388     17B-2a-802.
389          [(13)] (16) "Limited-access facility" means a highway especially designated for
390     through traffic, and over, from, or to which neither owners nor occupants of abutting lands nor
391     other persons have any right or easement, or have only a limited right or easement of access,
392     light, air, or view.
393          [(14)] (17) "Master planned community" means a land use development:
394          (a) designated by the city as a master planned community; and
395          (b) comprised of a single development agreement for a development larger than 500
396     acres.
397          [(15)] (18) "Motor vehicle" has the same meaning set forth in Section 41-1a-102.
398          [(16)] (19) "Municipality" has the same meaning set forth in Section 10-1-104.
399          [(17)] (20) "National highway systems highways" means that portion of connected
400     main highways located within this state officially designated by the department and approved
401     by the United States Secretary of Transportation under Title 23, Highways, U.S.C.
402          [(18)] (21) (a) "Port-of-entry" means a fixed or temporary facility constructed,
403     operated, and maintained by the department where drivers, vehicles, and vehicle loads are
404     checked or inspected for compliance with state and federal laws as specified in Section
405     72-9-501.
406          (b) "Port-of-entry" includes inspection and checking stations and weigh stations.
407          [(19)] (22) "Port-of-entry agent" means a person employed at a port-of-entry to perform
408     the duties specified in Section 72-9-501.
409          [(20)] (23) "Public transit" means the same as that term is defined in Section
410     17B-2a-802.

411          [(21)] (24) "Public transit facility" means a fixed guideway, transit vehicle, transit
412     station, depot, passenger loading or unloading zone, parking lot, or other facility:
413          (a) leased by or operated by or on behalf of a public transit district; and
414          (b) related to the public transit services provided by the district, including:
415          (i) railway or other right-of-way;
416          (ii) railway line; and
417          (iii) a reasonable area immediately adjacent to a designated stop on a route traveled by
418     a transit vehicle.
419          [(22)] (25) "Right-of-way" means real property or an interest in real property, usually
420     in a strip, acquired for or devoted to a highway.
421          [(23)] (26) "Sealed" does not preclude acceptance of electronically sealed and
422     submitted bids or proposals in addition to bids or proposals manually sealed and submitted.
423          [(24)] (27) "Semitrailer" has the meaning set forth in Section 41-1a-102.
424          [(25)] (28) "SR" means state route and has the same meaning as state highway as
425     defined in this section.
426          [(26)] (29) "State highway" means those highways designated as state highways in
427     Title 72, Chapter 4, Designation of State Highways Act.
428          [(27)] (30) "State transportation purposes" has the meaning set forth in Section
429     72-5-102.
430          [(28)] (31) "State transportation systems" means all streets, alleys, roads, highways,
431     pathways, and thoroughfares of any kind, including connected structures, airports, aerial
432     corridor infrastructure, spaceports, public transit facilities, and all other modes and forms of
433     conveyance used by the public.
434          [(29)] (32) "Trailer" has the meaning set forth in Section 41-1a-102.
435          [(30)] (33) "Transportation reinvestment zone" means a transportation reinvestment
436     zone created pursuant to Section 11-13-227.
437          [(31)] (34) "Truck tractor" has the meaning set forth in Section 41-1a-102.

438          [(32)] (35) "UDOT" means the Utah Department of Transportation.
439          [(33)] (36) "Vehicle" has the same meaning set forth in Section 41-1a-102.
440          Section 6. Section 72-1-202 is amended to read:
441          72-1-202. Executive director of department -- Appointment -- Qualifications --
442     Term -- Responsibility -- Power to bring suits -- Salary.
443          (1) (a) The governor, with the advice and consent of the Senate, shall appoint an
444     executive director to be the chief executive officer of the department.
445          (b) The executive director shall be a registered professional engineer and qualified
446     executive with technical and administrative experience and training appropriate for the
447     position.
448          (c) The executive director shall remain in office until a successor is appointed.
449          (d) The executive director may be removed by the governor.
450          (2) In addition to the other functions, powers, duties, rights, and responsibilities
451     prescribed in this chapter, the executive director shall:
452          (a) have responsibility for the administrative supervision of the state transportation
453     systems and the various operations of the department;
454          (b) have the responsibility for the implementation of rules, priorities, and policies
455     established by the department and the commission;
456          (c) have the responsibility for the oversight and supervision of:
457          (i) any transportation project for which state funds are expended; and
458          (ii) any fixed guideway capital development project within the boundaries of a large
459     public transit district for which any state funds are expended;
460          (d) have full power to bring suit in courts of competent jurisdiction in the name of the
461     department as the executive director considers reasonable and necessary for the proper
462     attainment of the goals of this chapter;
463          (e) receive a salary, to be established by the governor within the salary range fixed by
464     the Legislature in Title 67, Chapter 22, State Officer Compensation, together with actual

465     traveling expenses while away from the executive director's office on official business;
466          (f) purchase all equipment, services, and supplies necessary to achieve the department's
467     functions, powers, duties, rights, and responsibilities delegated under Section 72-1-201;
468          (g) have the responsibility to determine whether a purchase from, contribution to, or
469     other participation with a public entity or association of public entities in a pooled fund
470     program to acquire, develop, or share information, data, reports, or other services related to the
471     department's mission are procurement items under Title 63G, Chapter 6a, Utah Procurement
472     Code;
473          (h) have responsibility for administrative supervision of the Comptroller Division, the
474     Internal Audit Division, and the Communications Division; and
475          (i) appoint assistants, to serve at the discretion of the executive director, to administer
476     the divisions of the department.
477          (3) The executive director may employ other assistants and advisers as the executive
478     director finds necessary and fix salaries in accordance with the salary standards adopted by the
479     Division of Human Resource Management.
480          (4) (a) For a fixed guideway capital development project within the boundaries of a
481     large public transit district for which state funds are expended, responsibilities of the executive
482     director include:
483          (i) project development for a fixed guideway capital development project in a large
484     public transit district;
485          (ii) oversight and coordination of planning, including:
486          (A) development of statewide strategic initiatives for planning across all modes of
487     transportation;
488          (B) coordination with metropolitan planning organizations;
489          (C) coordination with a large public transit district, including planning, project
490     development, outreach, programming, environmental studies and impact statements,
491     construction, and impacts on public transit operations; and

492          (D) corridor and area planning;
493          (iii) programming and prioritization of fixed guideway capital development projects;
494          (iv) fulfilling requirements for environmental studies and impact statements; and
495          (v) resource investment, including identification, development, and oversight of
496     public-private partnership opportunities.
497          (5) (a) Before October 31, 2022, the department shall submit to the Transportation
498     Interim Committee a written plan for the department to assume management of all fixed
499     guideway capital development projects within a large public transit district for which state
500     funds are expended.
501          (b) The department shall consult with a large public transit district and relevant
502     metropolitan planning organizations in developing the plan described in Subsection (5)(a).
503          (c) The Transportation Interim Committee shall consider the plan submitted by the
504     department as described in Subsection (5)(a) and make recommendations to the Legislature
505     before December 1, 2022.
506          Section 7. Section 72-1-208 is amended to read:
507          72-1-208. Cooperation with counties, cities, towns, the federal government, and
508     all state departments -- Inspection of work done by a public transit district.
509          (1) The department shall cooperate with the counties, cities, towns, and community
510     reinvestment agencies in the construction, maintenance, and use of the highways and in all
511     related matters, and may provide services to the counties, cities, towns, and community
512     reinvestment agencies on terms mutually agreed upon.
513          (2) The department, with the approval of the governor, shall cooperate with the federal
514     government in all federal-aid projects and with all state departments in all matters in
515     connection with the use of the highways.
516          (3) The department:
517          (a) shall inspect all work done by a public transit district under Title 17B, Chapter 2a,
518     Part 8, Public Transit District Act, relating to safety appliances and procedures; and

519          (b) may make further additions or changes necessary for the purpose of safety to
520     employees and the general public.
521          [(4) (a) The department may assume responsibility for any public transit project that
522     traverses any portion of the state highway systems.]
523          [(b) To determine whether the department will assume responsibility for a public
524     transit project, the executive director and the public transit agency proposing the development
525     shall jointly determine whether the department will assume responsibility.]
526          Section 8. Section 72-2-124 is amended to read:
527          72-2-124. Transportation Investment Fund of 2005.
528          (1) There is created a capital projects fund entitled the Transportation Investment Fund
529     of 2005.
530          (2) The fund consists of money generated from the following sources:
531          (a) any voluntary contributions received for the maintenance, construction,
532     reconstruction, or renovation of state and federal highways;
533          (b) appropriations made to the fund by the Legislature;
534          (c) registration fees designated under Section 41-1a-1201;
535          (d) the sales and use tax revenues deposited into the fund in accordance with Section
536     59-12-103; and
537          (e) revenues transferred to the fund in accordance with Section 72-2-106.
538          (3) (a) The fund shall earn interest.
539          (b) All interest earned on fund money shall be deposited into the fund.
540          (4) (a) Except as provided in Subsection (4)(b), the executive director may only use
541     fund money to pay:
542          (i) the costs of maintenance, construction, reconstruction, or renovation to state and
543     federal highways prioritized by the Transportation Commission through the prioritization
544     process for new transportation capacity projects adopted under Section 72-1-304;
545          (ii) the costs of maintenance, construction, reconstruction, or renovation to the highway

546     projects described in Subsections 63B-18-401(2), (3), and (4);
547          (iii) principal, interest, and issuance costs of bonds authorized by Section 63B-18-401
548     minus the costs paid from the County of the First Class Highway Projects Fund in accordance
549     with Subsection 72-2-121(4)(e);
550          (iv) for a fiscal year beginning on or after July 1, 2013, to transfer to the 2010 Salt
551     Lake County Revenue Bond Sinking Fund created by Section 72-2-121.3 the amount certified
552     by Salt Lake County in accordance with Subsection 72-2-121.3(4)(c) as necessary to pay the
553     debt service on $30,000,000 of the revenue bonds issued by Salt Lake County;
554          (v) principal, interest, and issuance costs of bonds authorized by Section 63B-16-101
555     for projects prioritized in accordance with Section 72-2-125;
556          (vi) all highway general obligation bonds that are intended to be paid from revenues in
557     the Centennial Highway Fund created by Section 72-2-118;
558          (vii) for fiscal year 2015-16 only, to transfer $25,000,000 to the County of the First
559     Class Highway Projects Fund created in Section 72-2-121 to be used for the purposes described
560     in Section 72-2-121;
561          (viii) if a political subdivision provides a contribution equal to or greater than 40% of
562     the costs needed for construction, reconstruction, or renovation of paved pedestrian or paved
563     nonmotorized transportation for projects that:
564          (A) mitigate traffic congestion on the state highway system;
565          (B) are part of an active transportation plan approved by the department; and
566          (C) are prioritized by the commission through the prioritization process for new
567     transportation capacity projects adopted under Section 72-1-304;
568          (ix) $705,000,000 for the costs of right-of-way acquisition, construction,
569     reconstruction, or renovation of or improvement to the following projects:
570          (A) the connector road between Main Street and 1600 North in the city of Vineyard;
571          (B) Geneva Road from University Parkway to 1800 South;
572          (C) the SR-97 interchange at 5600 South on I-15;

573          (D) two lanes on U-111 from Herriman Parkway to 11800 South;
574          (E) widening I-15 between mileposts 10 and 13 and the interchange at milepost 11;
575          (F) improvements to 1600 North in Orem from 1200 West to State Street;
576          (G) widening I-15 between mileposts 6 and 8;
577          (H) widening 1600 South from Main Street in the city of Spanish Fork to SR-51;
578          (I) widening US 6 from Sheep Creek to Mill Fork between mileposts 195 and 197 in
579     Spanish Fork Canyon;
580          (J) I-15 northbound between mileposts 43 and 56;
581          (K) a passing lane on SR-132 between mileposts 41.1 and 43.7 between mileposts 43
582     and 45.1;
583          (L) east Zion SR-9 improvements;
584          (M) Toquerville Parkway;
585          (N) an environmental study on Foothill Boulevard in the city of Saratoga Springs;
586          (O) for construction of an interchange on Bangerter Highway at 13400 South; and
587          (P) an environmental impact study for Kimball Junction in Summit County; and
588          (x) $28,000,000 as pass-through funds, to be distributed as necessary to pay project
589     costs based upon a statement of cash flow that the local jurisdiction where the project is located
590     provides to the department demonstrating the need for money for the project, for the following
591     projects in the following amounts:
592          (A) $5,000,000 for Payson Main Street repair and replacement;
593          (B) $8,000,000 for a Bluffdale 14600 South railroad bypass;
594          (C) $5,000,000 for improvements to 4700 South in Taylorsville; and
595          (D) $10,000,000 for improvements to the west side frontage roads adjacent to U.S. 40
596     between mile markers 7 and 10.
597          (b) The executive director may use fund money to exchange for an equal or greater
598     amount of federal transportation funds to be used as provided in Subsection (4)(a).
599          (5) (a) Except as provided in Subsection (5)(b), the executive director may not program

600     fund money to a project prioritized by the commission under Section 72-1-304, including fund
601     money from the Transit Transportation Investment Fund, within the boundaries of a
602     municipality that is required to adopt a moderate income housing plan element as part of the
603     municipality's general plan as described in Subsection 10-9a-401(3), if the municipality has
604     failed to adopt a moderate income housing plan element as part of the municipality's general
605     plan or has failed to implement the requirements of the moderate income housing plan as
606     determined by the results of the Department of Workforce Service's review of the annual
607     moderate income housing report described in Subsection 35A-8-803(1)(a)(vii).
608          (b) Within the boundaries of a municipality that is required under Subsection
609     10-9a-401(3) to plan for moderate income housing growth but has failed to adopt a moderate
610     income housing plan element as part of the municipality's general plan or has failed to
611     implement the requirements of the moderate income housing plan as determined by the results
612     of the Department of Workforce Service's review of the annual moderate income housing
613     report described in Subsection 35A-8-803(1)(a)(vii), the executive director:
614          (i) may program fund money in accordance with Subsection (4)(a) for a limited-access
615     facility or interchange connecting limited-access facilities;
616          (ii) may not program fund money for the construction, reconstruction, or renovation of
617     an interchange on a limited-access facility;
618          (iii) may program Transit Transportation Investment Fund money for a
619     multi-community fixed guideway public transportation project; and
620          (iv) may not program Transit Transportation Investment Fund money for the
621     construction, reconstruction, or renovation of a station that is part of a fixed guideway public
622     transportation project.
623          (c) Subsections (5)(a) and (b) do not apply to a project programmed by the executive
624     director before May 1, 2020, for projects prioritized by the commission under Section
625     72-1-304.
626          (6) (a) Except as provided in Subsection (6)(b), the executive director may not program

627     fund money to a project prioritized by the commission under Section 72-1-304, including fund
628     money from the Transit Transportation Investment Fund, within the boundaries of the
629     unincorporated area of a county, if the county is required to adopt a moderate income housing
630     plan element as part of the county's general plan as described in Subsection 17-27a-401(3) and
631     if the county has failed to adopt a moderate income housing plan element as part of the county's
632     general plan or has failed to implement the requirements of the moderate income housing plan
633     as determined by the results of the Department of Workforce Service's review of the annual
634     moderate income housing report described in Subsection 35A-8-803(1)(a)(vii).
635          (b) Within the boundaries of the unincorporated area of a county where the county is
636     required under Subsection 17-27a-401(3) to plan for moderate income housing growth but has
637     failed to adopt a moderate income housing plan element as part of the county's general plan or
638     has failed to implement the requirements of the moderate income housing plan as determined
639     by the results of the Department of Workforce Service's review of the annual moderate income
640     housing report described in Subsection 35A-8-803(1)(a)(vii), the executive director:
641          (i) may program fund money in accordance with Subsection (4)(a) for a limited-access
642     facility to a project prioritized by the commission under Section 72-1-304;
643          (ii) may not program fund money for the construction, reconstruction, or renovation of
644     an interchange on a limited-access facility;
645          (iii) may program Transit Transportation Investment Fund money for a
646     multi-community fixed guideway public transportation project; and
647          (iv) may not program Transit Transportation Investment Fund money for the
648     construction, reconstruction, or renovation of a station that is part of a fixed guideway public
649     transportation project.
650          (c) Subsections (5)(a) and (b) do not apply to a project programmed by the executive
651     director before July 1, 2020, for projects prioritized by the commission under Section
652     72-1-304.
653          (7) (a) Before bonds authorized by Section 63B-18-401 or 63B-27-101 may be issued

654     in any fiscal year, the department and the commission shall appear before the Executive
655     Appropriations Committee of the Legislature and present the amount of bond proceeds that the
656     department needs to provide funding for the projects identified in Subsections 63B-18-401(2),
657     (3), and (4) or Subsection 63B-27-101(2) for the current or next fiscal year.
658          (b) The Executive Appropriations Committee of the Legislature shall review and
659     comment on the amount of bond proceeds needed to fund the projects.
660          (8) The Division of Finance shall, from money deposited into the fund, transfer the
661     amount of funds necessary to pay principal, interest, and issuance costs of bonds authorized by
662     Section 63B-18-401 or 63B-27-101 in the current fiscal year to the appropriate debt service or
663     sinking fund.
664          (9) (a) There is created in the Transportation Investment Fund of 2005 the Transit
665     Transportation Investment Fund.
666          (b) The fund shall be funded by:
667          (i) contributions deposited into the fund in accordance with Section 59-12-103;
668          (ii) appropriations into the account by the Legislature;
669          (iii) deposits of sales and use tax increment related to a housing and transit
670     reinvestment zone as described in Section 63N-3-610;
671          (iv) private contributions; and
672          (v) donations or grants from public or private entities.
673          (c) (i) The fund shall earn interest.
674          (ii) All interest earned on fund money shall be deposited into the fund.
675          (d) Subject to Subsection (9)(e), the Legislature may appropriate money from the fund:
676          (i) for public transit capital development of new capacity projects and fixed guideway
677     capital development projects to be used as prioritized by the commission through the
678     prioritization process adopted under Section 72-1-304[.];
679          (ii) for development of the oversight plan described in Section 72-1-202(5); or
680          (iii) to the department for oversight of a fixed guideway capital development project

681     for which the department has responsibility.
682          (e) (i) The Legislature may only appropriate money from the fund for a public transit
683     capital development project or pedestrian or nonmotorized transportation project that provides
684     connection to the public transit system if the public transit district or political subdivision
685     provides funds of equal to or greater than 40% of the costs needed for the project.
686          (ii) A public transit district or political subdivision may use money derived from a loan
687     granted pursuant to Title 72, Chapter 2, Part 2, State Infrastructure Bank Fund, to provide all or
688     part of the 40% requirement described in Subsection (9)(e)(i) if:
689          (A) the loan is approved by the commission as required in Title 72, Chapter 2, Part 2,
690     State Infrastructure Bank Fund; and
691          (B) the proposed capital project has been prioritized by the commission pursuant to
692     Section 72-1-303.
693          (f) Before July 1, 2022, the department and a large public transit district shall enter into
694     an agreement for a large public transit district to pay the department $5,000,000 per year for 15
695     years to be used to facilitate the purchase of zero emissions or low emissions rail engines and
696     trainsets for regional public transit rail systems.
697          (10) (a) There is created in the Transportation Investment Fund of 2005 the
698     Cottonwood Canyons Transportation Investment Fund.
699          (b) The fund shall be funded by:
700          (i) money deposited into the fund in accordance with Section 59-12-103;
701          (ii) appropriations into the account by the Legislature;
702          (iii) private contributions; and
703          (iv) donations or grants from public or private entities.
704          (c) (i) The fund shall earn interest.
705          (ii) All interest earned on fund money shall be deposited into the fund.
706          (d) The Legislature may appropriate money from the fund for public transit or
707     transportation projects in the Cottonwood Canyons of Salt Lake County.

708