Section 1, Section 10-5-120 is amended to read: 10-5-120. Loans between funds -- Bonds purchased by funds. (1)Subject to this section, restrictions imposed by bond ordinance, or other controlling regulations, the town council may: (a)subject to the restrictions in Section 53-2a-605, authorize an interfund loan from one fund to another; and (b)with available cash in any fund, purchase or otherwise acquire for investment an unmatured bond of the town or of any fund of the town. (2)An interfund loan under Subsection (1)(a) shall be in writing and specify the terms and conditions of the loan, including the: (a)effective date of the loan; (b)name of the fund loaning the money; (c)name of the fund receiving the money; (d)amount of the loan; (e)subject to Subsection (3), term of and repayment schedule for the loan; (f)subject to Subsection (4), interest rate of the loan; (g)method of calculating interest applicable to the loan; (h)procedures for: (i)applying interest to the loan; and (ii)paying interest on the loan; and (i)other terms and conditions the town council determines applicable. (3)The term and repayment schedule specified under Subsection (2)(e) may not exceed 10 years. (4) (a)In determining the interest rate of the loan specified under Subsection (2)(f), the town council shall apply an interest rate that reflects the rate of potential gain had the funds been deposited or invested in a comparable investment. (b)Notwithstanding Subsection (4)(a), the interest rate of the loan specified under Subsection (2)(f): (i)if the term of the loan under Subsection (2)(e) is one year or less, may not be less than the rate offered by the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (ii)if the term of the loan under Subsection (2)(e) is more than one year, may not be less than the greater of the rate offered by: (A)the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (B)a United States Treasury note of a comparable term. (5) (a)For an interfund loan under Subsection (1)(a), the town council shall: (i)hold a public hearing; (ii)prepare a written notice of the date, time, place, and purpose of the hearing, and the proposed terms and conditions of the interfund loan under Subsection (2); (iii)provide notice of the public hearing in the same manner as required under Subsection 10-5-108(2) as if the hearing were a budget hearing; and (iv)authorize the interfund loan by ordinance or resolution in a public meeting. (b)The notice and hearing requirements in Subsection (5)(a) are satisfied if the interfund loan is included in an original budget or in a subsequent budget amendment previously approved by the town council for the current fiscal year. (6)Subsections (2) through (5) do not apply to an interfund loan if the interfund loan is: (a)a loan from the town general fund to any other fund of the town; or (b)a short-term advance from the town's cash and investment pool to individual funds that are repaid by the end of the fiscal year.

Section 2, Section 10-6-132 is amended to read: 10-6-132. Loans by one fund to another -- Acquiring bonds for investment. (1)Subject to this section, restrictions imposed by bond ordinance, or other controlling regulations, the governing body of a city may: (a)subject to the restrictions in Section 53-2a-605, authorize an interfund loan from one fund to another; and (b)with available cash in any fund, purchase or otherwise acquire for investment an unmatured bond of the city or of any fund of the city. (2)An interfund loan under Subsection (1)(a) shall be in writing and specify the terms and conditions of the loan, including the: (a)effective date of the loan; (b)name of the fund loaning the money; (c)name of the fund receiving the money; (d)amount of the loan; (e)subject to Subsection (3), term of and repayment schedule for the loan; (f)subject to Subsection (4), interest rate of the loan; (g)method of calculating interest applicable to the loan; (h)procedures for: (i)applying interest to the loan; and (ii)paying interest on the loan; and (i)other terms and conditions the governing body determines applicable. (3)The term and repayment schedule specified under Subsection (2)(e) may not exceed 10 years. (4) (a)In determining the interest rate of the loan specified under Subsection (2)(f), the governing body shall apply an interest rate that reflects the rate of potential gain had the funds been deposited or invested in a comparable investment. (b)Notwithstanding Subsection (4)(a), the interest rate of the loan specified under Subsection (2)(f): (i)if the term of the loan under Subsection (2)(e) is one year or less, may not be less than the rate offered by the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (ii)if the term of the loan under Subsection (2)(e) is more than one year, may not be less than the greater of the rate offered by: (A)the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (B)a United States Treasury note of a comparable term. (5) (a)For an interfund loan under Subsection (1)(a), the governing body shall: (i)hold a public hearing; (ii)prepare a written notice of the date, time, place, and purpose of the hearing, and the proposed terms and conditions of the interfund loan under Subsection (2); (iii)provide notice of the public hearing in the same manner as required under Section 10-6-113 as if the hearing were a budget hearing; and (iv)authorize the interfund loan by ordinance or resolution in a public meeting. (b)The notice and hearing requirements in Subsection (5)(a) are satisfied if the interfund loan is included in an original budget or in a subsequent budget amendment previously approved by the governing body for the current fiscal year. (6)Subsections (2) through (5) do not apply to an interfund loan if the interfund loan is: (a)a loan from the city general fund to any other fund of the city; or (b)a short-term advance from the city's cash and investment pool to individual funds that are repaid by the end of the fiscal year.

Section 3, Section 11-13-523 is amended to read: 11-13-523. Loans by one fund to another. (1)Subject to this section, restrictions imposed by bond covenants, restrictions in Section 53-2a-605 , or other controlling regulations, the governing board of an interlocal entity may authorize an interfund loan from one fund to another. (2)An interfund loan under Subsection (1) shall be in writing and specify the terms and conditions of the loan, including the: (a)effective date of the loan; (b)name of the fund loaning the money; (c)name of the fund receiving the money; (d)amount of the loan; (e)subject to Subsection (3), term of and repayment schedule for the loan; (f)subject to Subsection (4), interest rate of the loan; (g)method of calculating interest applicable to the loan; (h)procedures for: (i)applying interest to the loan; and (ii)paying interest on the loan; and (i)other terms and conditions the governing board determines applicable. (3)The term and repayment schedule specified under Subsection (2)(e) may not exceed 10 years. (4) (a)In determining the interest rate of the loan specified under Subsection (2)(f), the governing board shall apply an interest rate that reflects the rate of potential gain had the funds been deposited or invested in a comparable investment. (b)Notwithstanding Subsection (4)(a), the interest rate of the loan specified under Subsection (2)(f): (i)if the term of the loan under Subsection (2)(e) is one year or less, may not be less than the rate offered by the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (ii)if the term of the loan under Subsection (2)(e) is more than one year, may not be less than the greater of the rate offered by: (A)the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (B)a United States Treasury note of a comparable term. (5) (a)For an interfund loan under Subsection (1), the governing board shall: (i)hold a public hearing; (ii)prepare a written notice of the date, time, place, and purpose of the hearing, and the proposed terms and conditions of the interfund loan under Subsection (2); (iii)provide notice of the public hearing in the same manner as required under Section 11-13-509 as if the hearing were a budget hearing; and (iv)authorize the interfund loan by resolution in a public meeting. (b)The notice and hearing requirements in Subsection (5)(a) are satisfied if the interfund loan is included in an original budget or in a subsequent budget amendment previously approved by the governing board for the current fiscal year. (6)Subsections (2) through (5) do not apply to an interfund loan if the interfund loan is: (a)a loan from the interlocal entity general fund to any other fund of the interlocal entity; or (b)a short-term advance from the interlocal entity's cash and investment pool to an individual fund that is repaid by the end of the fiscal year.

Section 4, Section 17-36-30 is amended to read: 17-36-30. Interfund loans -- Acquisition of issued unmatured bonds. (1)Subject to this section, restrictions imposed by bond covenants, or other controlling regulations, the governing body may: (a)subject to the restrictions in Section 53-2a-605, authorize an interfund loan from one fund to another; and (b)with available cash in any fund, purchase or otherwise acquire for investment an unmatured bond of the county or of any county fund. (2)An interfund loan under Subsection (1)(a) shall be in writing and specify the terms and conditions of the loan, including the: (a)effective date of the loan; (b)name of the fund loaning the money; (c)name of the fund receiving the money; (d)amount of the loan; (e)subject to Subsection (3), term of and repayment schedule for the loan; (f)subject to Subsection (4), interest rate of the loan; (g)method of calculating interest applicable to the loan; (h)procedures for: (i)applying interest to the loan; and (ii)paying interest on the loan; and (i)other terms and conditions the governing body determines applicable. (3)The term and repayment schedule specified under Subsection (2)(e) may not exceed 10 years. (4) (a)In determining the interest rate of the loan specified under Subsection (2)(f), the governing body shall apply an interest rate that reflects the rate of potential gain had the funds been deposited or invested in a comparable investment. (b)Notwithstanding Subsection (4)(a), the interest rate of the loan specified under Subsection (2)(f): (i)if the term of the loan under Subsection (2)(e) is one year or less, may not be less than the rate offered by the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (ii)if the term of the loan under Subsection (2)(e) is more than one year, may not be less than the greater of the rate offered by: (A)the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (B)a United States Treasury note of a comparable term. (5) (a)For an interfund loan under Subsection (1)(a), the governing body shall: (i)hold a public hearing; (ii)prepare a written notice of the date, time, place, and purpose of the hearing, and the proposed terms and conditions of the interfund loan under Subsection (2); (iii)provide notice of the public hearing in the same manner as required under Section 17-36-12 as if the hearing were a budget hearing; and (iv)authorize the interfund loan by ordinance or resolution in a public meeting. (b)The notice and hearing requirements in Subsection (5)(a) are satisfied if the interfund loan is included in an original budget or in a subsequent budget amendment previously approved by the governing body for the current fiscal year. (6)Subsections (2) through (5) do not apply to an interfund loan if the interfund loan is: (a)a loan from the county general fund to any other fund of the county; or (b)a short-term advance from the county's cash and investment pool to individual funds that are repaid by the end of the fiscal year.

Section 5, Section 17-36-52 is amended to read: 17-36-52. Tax stability and trust fund -- Deposit or investment of funds -- Use of interest or other income. (1) (a)All amounts in the tax stability and trust fund established by a county under Section 17-36-51 may be deposited or invested as provided in Section 51-7-11. (b)The amounts described in Subsection (1)(a) may also be transferred by the county treasurer to the state treasurer under Section 51-7-5 Public Treasurers' Investment Fund, as defined in Section 51-7-3, for the treasurer's management and control under Title 51, Chapter 7, State Money Management Act. (2) (a)The interest or other income realized from amounts in the tax stability and trust fund shall be returned to the county general fund during the fiscal year in which the income or interest is paid to the extent the interest or income is required by the county to provide for its purposes during that fiscal year. (b)An amount returned in accordance with Subsection (2)(a) may be used for all purposes as other amounts in the county general fund. (c)Any interest or income that is not returned to the county general fund in accordance with Subsection (2)(a) shall be added to the principal of that county's tax stability and trust fund.

Section 6, Section 17B-1-626 is amended to read: 17B-1-626. Loans by one fund to another. (1)Subject to this section, restrictions imposed by bond covenants, restrictions in Section 53-2a-605 , or other controlling regulations, the board of trustees of a special district may authorize an interfund loan from one fund to another. (2)An interfund loan under Subsection (1) shall be in writing and specify the terms and conditions of the loan, including the: (a)effective date of the loan; (b)name of the fund loaning the money; (c)name of the fund receiving the money; (d)amount of the loan; (e)subject to Subsection (3), term of and repayment schedule for the loan; (f)subject to Subsection (4), interest rate of the loan; (g)method of calculating interest applicable to the loan; (h)procedures for: (i)applying interest to the loan; and (ii)paying interest on the loan; and (i)other terms and conditions the board of trustees determines applicable. (3)The term and repayment schedule specified under Subsection (2)(e) may not exceed 10 years. (4) (a)In determining the interest rate of the loan specified under Subsection (2)(f), the board of trustees shall apply an interest rate that reflects the rate of potential gain had the funds been deposited or invested in a comparable investment. (b)Notwithstanding Subsection (4)(a), the interest rate of the loan specified under Subsection (2)(f): (i)if the term of the loan under Subsection (2)(e) is one year or less, may not be less than the rate offered by the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (ii)if the term of the loan under Subsection (2)(e) is more than one year, may not be less than the greater of the rate offered by: (A)the Public Treasurers' Investment Fund that was created for public funds transferred to the state treasurer in accordance with Section 51-7-5 as defined in Section 51-7-3 ; or (B)a United States Treasury note of a comparable term. (5) (a)For an interfund loan under Subsection (1), the board of trustees shall: (i)hold a public hearing; (ii)prepare a written notice of the date, time, place, and purpose of the hearing, and the proposed terms and conditions of the interfund loan under Subsection (2); (iii)provide notice of the public hearing in the same manner as required under Section 17B-1-609 as if the hearing were a budget hearing; and (iv)authorize the interfund loan by resolution in a public meeting. (b)The notice and hearing requirements in Subsection (5)(a) are satisfied if the interfund loan is included in an original budget or in a subsequent budget amendment previously approved by the board of trustees for the current fiscal year. (6)Subsections (2) through (5) do not apply to an interfund loan if the interfund loan is: (a)a loan from the special district general fund to any other fund of the special district; or (b)a short-term advance from the special district's cash and investment pool to individual funds that are repaid by the end of the fiscal year.

Section 7, Section 51-7-3 is amended to read: 51-7-3. Definitions. As used in this chapter: (1)"Agent" means "agent" as the same as that term is defined in Section 61-1-13. (2)"Certified dealer" means: (a)a primary reporting dealer recognized by the Federal Reserve Bank of New York who is certified by the director as having met the applicable criteria of council rule; or (b)a broker dealer who: (i)has and maintains an office and a resident registered principal in the state; (ii)meets the capital requirements established by council rules; (iii)meets the requirements for good standing established by council rule; and (iv)is certified by the director as meeting quality criteria established by council rule. (3)"Certified investment adviser" means a federal covered adviser, as defined in Section 61-1-13 , or an investment adviser, as defined in Section 61-1-13, who is certified by the director as having met the applicable criteria of council rule. (4)"Commissioner" means the commissioner of financial institutions. (5)"Council" means the State Money Management Council created by Section 51-7-16. (6)"Covered bond" means a publicly placed debt security issued by a bank, other regulated financial institution, or a subsidiary of either that is secured by a pool of loans that remain on the balance sheet of the issuer or its subsidiary. (7)"Director" means the director of the Utah State Division of Securities of the Department of Commerce. (8) (a)"Endowment funds" means gifts, devises, or bequests of property of any kind donated to a higher education institution from any source. (b)"Endowment funds" does not mean money used for the general operation of a higher education institution that is received by the higher education institution from: (i)state appropriations; (ii)federal contracts; (iii)federal grants; (iv)private research grants; and (v)tuition and fees collected from students. (9)"First tier commercial paper" means commercial paper rated by at least two nationally recognized statistical rating organizations in the highest short-term rating category. (10)"Funds functioning as endowments" means funds, regardless of source, whose corpus is intended to be held in perpetuity by formal institutional designation according to the institution's policy for designating those funds. (11)"GASB" or "Governmental Accounting Standards Board" means the Governmental Accounting Standards Board that is responsible for accounting standards used by public entities. (12)"Hard put" means an unconditional sell-back provision or a redemption provision applicable at issue to a note or bond, allowing holders to sell their holdings back to the issuer or to an equal or higher-rated third party provider at specific intervals and specific prices determined at the time of issuance. (13)"Higher education institution" means the institutions specified in Section 53B-1-102. (14)"Investment adviser representative" is as defined means the same as that term is defined in Section 61-1-13. (15) (a)"Investment agreement" means any written agreement that has specifically negotiated withdrawal or reinvestment provisions and a specifically negotiated interest rate. (b)"Investment agreement" includes any agreement to supply investments on one or more future dates. (16)"Local government" means a county, municipality, school district, special district under Title 17B, Limited Purpose Local Government Entities - Special Districts, special service district under Title 17D, Chapter 1, Special Service District Act, or any other political subdivision of the state. (17)"Market value" means market value as defined in the Master Repurchase Agreement. (18)"Master Repurchase Agreement" means the current standard Master Repurchase Agreement approved by the Public Securities Association or by any successor organization. (19)"Maximum amount" means, with respect to qualified depositories, the total amount of: (a)deposits in excess of the federal deposit insurance limit; and (b)nonqualifying repurchase agreements. (20)"Money market mutual fund" means an open-end managed investment fund: (a)that complies with the diversification, quality, and maturity requirements of Rule 2a-7 or any successor rule of the Securities and Exchange Commission applicable to money market mutual funds; and (b)that assesses no sales load on the purchase of shares and no contingent deferred sales charge or other similar charges, however designated. (21)"Nationally recognized statistical rating organization" means an organization that has been designated as a nationally recognized statistical rating organization by the Securities and Exchange Commission's Division of Market Regulation. (22)"Nonqualifying repurchase agreement" means a repurchase agreement evidencing indebtedness of a qualified depository arising from the transfer of obligations of the United States Treasury or other authorized investments to public treasurers that is: (a)evidenced by a safekeeping receipt issued by the qualified depository; (b)included in the depository's maximum amount of public funds; and (c)valued and maintained at market value plus an appropriate margin collateral requirement based upon the term of the agreement and the type of securities acquired. (23)"Operating funds" means current balances and other funds that are to be disbursed for operation of the state government or any of its boards, commissions, institutions, departments, divisions, agencies, or other similar instrumentalities, or any county, city, school district, political subdivision, or other public body. (24)"Permanent funds" means funds whose principal may not be expended, the earnings from which are to be used for purposes designated by law. (25)"Permitted depository" means any out-of-state financial institution that meets quality criteria established by rule of the council. (26)"Public funds" means money, funds, and accounts, regardless of the source from which the money, funds, and accounts are derived, that are owned, held, or administered by the state or any of its boards, commissions, institutions, departments, divisions, agencies, bureaus, laboratories, or other similar instrumentalities, or any county, city, school district, political subdivision, or other public body. (27) (a)"Public money" means "public funds." (b)"Public money," as used in Article VII, Sec. 15, Utah Constitution, means the same as "state funds." (28)"Public treasurer" includes the state treasurer and the official of any state board, commission, institution, department, division, agency, or other similar instrumentality, or of any county, city, school district, charter school, political subdivision, or other public body who has the responsibility for the safekeeping and investment of any public funds. (29) "Public Treasurers' Investment Fund" means the public fund created for any public funds transferred by a public treasurer to the state treasurer in accordance with Section 51-7-5 . (29) (30) "Qualified depository" means a Utah depository institution or an out-of-state depository institution, as those terms are defined in Section 7-1-103, that is authorized to conduct business in this state under Section 7-1-702 or Title 7, Chapter 19, Acquisition of Failing Depository Institutions or Holding Companies, whose deposits are insured by an agency of the federal government and that has been certified by the commissioner of financial institutions as having met the requirements established under this chapter and the rules of the council to be eligible to receive deposits of public funds. (30) (31) "Qualifying repurchase agreement" means a repurchase agreement evidencing indebtedness of a financial institution or government securities dealer acting as principal arising from the transfer of obligations of the United States Treasury or other authorized investments to public treasurers only if purchased securities are: (a)delivered to the public treasurer's safekeeping agent or custodian as contemplated by Section 7 of the Master Repurchase Agreement; and (b)valued and maintained at market value plus an appropriate margin collateral requirement based upon the term of the agreement and the type of securities acquired. (31) (32) "Reciprocal deposits" means deposits that are initially deposited into a qualified depository and are then redeposited through a deposit account registry service: (a)in one or more FDIC-insured depository institutions in amounts up to the relevant FDIC-insured deposit limit for a depositor in each depository institution; and (b)in exchange for reciprocal FDIC-insured deposits made through the deposit account registry service to the qualified depository. (32) (33) "Securities division" means Utah's Division of Securities created within the Department of Commerce by Section 13-1-2. (33) (34) "State funds" means: (a)public money raised by operation of law for the support and operation of the state government; and (b)all other money, funds, and accounts, regardless of the source from which the money, funds, or accounts are derived, that are owned, held, or administered by the state or any of its boards, commissions, institutions, departments, divisions, agencies, bureaus, laboratories, or other similar instrumentalities.

Section 8, Section 51-7-5 is amended to read: 51-7-5. Public Treasurers' Investment Fund -- Transfer of public funds not otherwise required to be transferred to state treasurer -- Duties of public treasurers -- Withdrawals of transferred funds -- Reporting. (1) Any public funds as to which the deposit, investment, or reinvestment is not transferred to the state treasurer by Section 51-7-4, may be transferred to the state treasurer Public Treasurers' Investment Fund by the public treasurer having responsibility for the control or management of these public funds. (2) Notwithstanding the transfer, the public treasurer shall retain sufficient funds to cover the cash requirements of the body owning or having control or management of these funds and shall continue to be responsible for the proper collection, deposit, and disbursement of these funds in the manner provided by law. (3) The public funds transferred or placed under the control or supervision of the state treasurer under this section are subject to all applicable provisions of this chapter and are under the jurisdiction of the state treasurer until the public treasurer withdraws these public funds from the state treasurer. (4) Withdrawals may be made from time to time on such reasonable notice as the state treasurer may prescribe. (5) The public treasurer may withdraw all or any part of the public funds originally transferred to the state treasurer, subject to any rules as to the maximum amounts which may be withdrawn at any one time as the state treasurer may reasonably prescribe. (6) On or before October 31 of each calendar year, the state treasurer shall report to the Political Subdivisions Interim Committee the current balance as of June 30 for each entity that has transferred money to the Public Treasurers' Investment Fund.

Section 9, Section 51-7-6 is amended to read: 51-7-6. Public Treasurers' Investment Fund -- Calculation of shares of participating funds -- Allocations of income to participating funds. (1)The share of public funds of each participating public treasurer who has transferred public funds to the state treasurer for investment under Section 51-7-5 Public Treasurers' Investment Fund , including trust funds invested by the state treasurer under this chapter, shall be calculated not less than quarterly. (2)Income from investment of these public funds by the state treasurer, including gains or losses from the sale or exchange of investments or other properties, and net of investment fees and other charges assessed according to the schedule established by the state treasurer, shall be allocated to each participating fund on the ratio of each fund's share to the total public funds in the custody of the state treasurer determined on the basis of the average daily balance of each fund.

Section 10, Section 53-2a-605 is amended to read: 53-2a-605. Local government disaster funds. (1) (a)Subject to this section and notwithstanding anything to the contrary contained in Title 10, Utah Municipal Code, or Title 17, Counties, Title 17B, Limited Purpose Local Government Entities - Special Districts, or Title 17D, Chapter 1, Special Service District Act, the governing body of a local government may create and maintain by ordinance a special fund known as a local government disaster fund. (b)The local fund shall consist of: (i)subject to the limitations of this section, money transferred to it in accordance with Subsection (2); (ii)any other public or private money received by the local government that is: (A)given to the local government for purposes consistent with this section; and (B)deposited into the local fund at the request of: (I)the governing body of the local government; or (II)the person giving the money; and (iii)interest or income realized from the local fund. (c)Interest or income realized from the local fund shall be deposited into the local fund. (d)Money in a local fund may be: (i)deposited or invested as provided in Section 51-7-11; or (ii)transferred by the local government treasurer to the state treasurer under Section 51-7-5 for the state treasurer's management and control under Title 51, Chapter 7, State Money Management Act Public Treasurers' Investment Fund as defined in Section 51-7-3 . (e) (i)The money in a local fund may accumulate from year to year until the local government governing body determines to spend any money in the local fund for one or more of the purposes specified in Subsection (3). (ii)Money in a local fund at the end of a fiscal year: (A)shall remain in the local fund for future use; and (B)may not be transferred to any other fund or used for any other purpose. (2)The amounts transferred to a local fund may not exceed 10% of the total estimated revenues of the local government for the current fiscal period that are not restricted or otherwise obligated. (3)Money in the fund may only be used to fund the services and activities of the local government creating the local fund in response to: (a)a declared disaster within the boundaries of the local government; (b)the aftermath of the disaster that gave rise to a declared disaster within the boundaries of the local government; and (c)subject to Subsection (5), emergency preparedness. (4) (a)A local fund is subject to this part and: (i)in the case of a town, Title 10, Chapter 5, Uniform Fiscal Procedures Act for Utah Towns, except that: (A)in addition to the funds listed in Section 10-5-106, the mayor shall prepare a budget for the local fund; (B)Section 10-5-119 addressing termination of special funds does not apply to a local fund; and (C)the council of the town may not authorize an interfund loan under Section 10-5-120 from the local fund; (ii)in the case of a city, Title 10, Chapter 6, Uniform Fiscal Procedures Act for Utah Cities, except that: (A)in addition to the funds listed in Section 10-6-109, the mayor shall prepare a budget for the local fund; (B)Section 10-6-131 addressing termination of special funds does not apply to a local fund; and (C)the governing body of the city may not authorize an interfund loan under Section 10-6-132 from the local fund; and (iii)in the case of a county, Title 17, Chapter 36, Uniform Fiscal Procedures Act for Counties, except that: (A)Section 17-36-29 addressing termination of special funds does not apply to a local fund; and (B)the governing body of the county may not authorize an interfund loan under Section 17-36-30 from the local fund; (iv)in the case of a special district or special service district, Title 17B, Chapter 1, Part 6, Fiscal Procedures for Special Districts, except that: (A)Section 17B-1-625, addressing termination of a special fund, does not apply to a local fund; and (B)the governing body of the special district or special service district may not authorize an interfund loan under Section 17B-1-626 from the local fund; and (v)in the case of an interlocal entity, Title 11, Chapter 13, Part 5, Fiscal Procedures for Interlocal Entities, except for the following provisions: (A)Section 11-13-522 addressing termination of a special fund does not apply to a local fund; and (B)the governing board of the interlocal entity may not authorize an interfund loan under Section 11-13-523 from the local fund. (b)Notwithstanding Subsection (4)(a), transfers of money to a local fund or the accumulation of money in a local fund do not affect any limits on fund balances, net assets, or the accumulation of retained earnings in any of the following of a local government: (i)a general fund; (ii)an enterprise fund; (iii)an internal service fund; or (iv)any other fund. (5) (a)A local government may not expend during a fiscal year more than 10% of the money budgeted to be deposited into a local fund during that fiscal year for emergency preparedness. (b)The amount described in Subsection (5)(a) shall be determined before the adoption of the tentative budget.

Section 11, Section 59-2-1330 is amended to read: 59-2-1330. Payment of property taxes -- Payments to taxpayer by state or taxing entity -- Refund of penalties paid by taxpayer -- Refund of interest paid by taxpayer -- Payment of interest to taxpayer -- Judgment levy -- Objections to assessments by the commission -- Time periods for making payments to taxpayer. (1)Unless otherwise specifically provided by statute, property taxes shall be paid directly to the county assessor or the county treasurer: (a)on the date that the property taxes are due; and (b)as provided in this chapter. (2)A taxpayer shall receive payment as provided in this section if a reduction in the amount of any tax levied against any property for which the taxpayer paid a tax or any portion of a tax under this chapter for a calendar year is required by a final and unappealable judgment or order described in Subsection (3) issued by: (a)a county board of equalization; (b)the commission; or (c)a court of competent jurisdiction. (3) (a)For purposes of Subsection (2), the state or any taxing entity that has received property taxes or any portion of property taxes from a taxpayer described in Subsection (2) shall pay the taxpayer if: (i)the taxes the taxpayer paid in accordance with Subsection (2) are collected by an authorized officer of the: (A)county; or (B)state; and (ii)the taxpayer obtains a final and unappealable judgment or order: (A)from: (I)a county board of equalization; (II)the commission; or (III)a court of competent jurisdiction; (B)against: (I)the taxing entity or an authorized officer of the taxing entity; or (II)the state or an authorized officer of the state; and (C)ordering a reduction in the amount of any tax levied against any property for which a taxpayer paid a tax or any portion of a tax under this chapter for the calendar year. (b)The amount that the state or a taxing entity shall pay a taxpayer shall be determined in accordance with Subsections (4) through (7). (4)For purposes of Subsections (2) and (3), the amount the state shall pay to a taxpayer is equal to the sum of: (a)if the difference described in this Subsection (4)(a) is greater than $0, the difference between: (i)the tax the taxpayer paid to the state in accordance with Subsection (2); and (ii)the amount of the taxpayer's tax liability to the state after the reduction in the amount of tax levied against the property in accordance with the final and unappealable judgment or order described in Subsection (3); (b)if the difference described in this Subsection (4)(b) is greater than $0, the difference between: (i)any penalties the taxpayer paid to the state in accordance with Section 59-2-1331; and (ii)the amount of penalties the taxpayer is liable to pay to the state in accordance with Section 59-2-1331 after the reduction in the amount of tax levied against the property in accordance with the final and unappealable judgment or order described in Subsection (3); (c)as provided in Subsection (6)(a), interest the taxpayer paid in accordance with Section 59-2-1331 on the amounts described in Subsections (4)(a) and (4)(b); and (d)as provided in Subsection (6)(b), interest on the sum of the amounts described in: (i)Subsection (4)(a); (ii)Subsection (4)(b); and (iii)Subsection (4)(c). (5)For purposes of Subsections (2) and (3), the amount a taxing entity shall pay to a taxpayer is equal to the sum of: (a)if the difference described in this Subsection (5)(a) is greater than $0, the difference between: (i)the tax the taxpayer paid to the taxing entity in accordance with Subsection (2); and (ii)the amount of the taxpayer's tax liability to the taxing entity after the reduction in the amount of tax levied against the property in accordance with the final and unappealable judgment or order described in Subsection (3); (b)if the difference described in this Subsection (5)(b) is greater than $0, the difference between: (i)any penalties the taxpayer paid to the taxing entity in accordance with Section 59-2-1331 ; and (ii)the amount of penalties the taxpayer is liable to pay to the taxing entity in accordance with Section 59-2-1331 after the reduction in the amount of tax levied against the property in accordance with the final and unappealable judgment or order described in Subsection (3); (c)as provided in Subsection (6)(a), interest the taxpayer paid in accordance with Section 59-2-1331 on the amounts described in Subsections (5)(a) and (5)(b); and (d)as provided in Subsection (6)(b), interest on the sum of the amounts described in: (i)Subsection (5)(a); (ii)Subsection (5)(b); and (iii)Subsection (5)(c). (6)Except as provided in Subsection (7): (a)interest shall be refunded to a taxpayer on the amount described in Subsection (4)(c) or (5)(c) in an amount equal to the amount of interest the taxpayer paid in accordance with Section 59-2-1331; and (b)interest shall be paid to a taxpayer on the amount described in Subsection (4)(d) or (5)(d): (i)beginning on the later of: (A)the day on which the taxpayer paid the tax in accordance with Subsection (2); or (B)January 1 of the calendar year immediately following the calendar year for which the tax was due; (ii)ending on the day on which the state or a taxing entity pays to the taxpayer the amount required by Subsection (4) or (5); and (iii)at the interest rate earned by the state treasurer on public funds transferred to the state treasurer in accordance with Section 51-7-5 Public Treasurers' Investment Fund as defined in Section 51-7-3 . (7)Notwithstanding Subsection (6): (a)the state may not pay or refund interest to a taxpayer under Subsection (6) on any tax the taxpayer paid in accordance with Subsection (2) that exceeds the amount of tax levied by the state for that calendar year as stated on the notice required by Section 59-2-1317 ; and (b)a taxing entity may not pay or refund interest to a taxpayer under Subsection (6) on any tax the taxpayer paid in accordance with Subsection (2) that exceeds the amount of tax levied by the taxing entity for that calendar year as stated on the notice required by Section 59-2-1317. (8) (a)Each taxing entity may levy a tax to pay its share of the final and unappealable judgment or order described in Subsection (3) if: (i)the final and unappealable judgment or order is issued no later than 15 days prior to the date the certified tax rate is set under Section 59-2-924; (ii)the amount of the judgment levy is included on the notice under Section 59-2-919.1 ; and (iii)the final and unappealable judgment or order is an eligible judgment, as defined in Section 59-2-102. (b)The levy under Subsection (8)(a) is in addition to, and exempt from, the maximum levy established for the taxing entity. (9) (a)A taxpayer that objects to the assessment of property assessed by the commission shall pay, on or before the property tax due date established under Subsection 59-2-1331 (1) or Section 59-2-1332, the full amount of taxes stated on the notice required by Section 59-2-1317 if: (i)the taxpayer has applied to the commission for a hearing in accordance with Section 59-2-1007 on the objection to the assessment; and (ii)the commission has not issued a written decision on the objection to the assessment in accordance with Section 59-2-1007. (b)A taxpayer that pays the full amount of taxes due under Subsection (9)(a) is not required to pay penalties or interest on an assessment described in Subsection (9)(a) unless: (i)a final and unappealable judgment or order establishing that the property described in Subsection (9)(a) has a value greater than the value stated on the notice required by Section 59-2-1317 is issued by: (A)the commission; or (B)a court of competent jurisdiction; and (ii)the taxpayer fails to pay the additional tax liability resulting from the final and unappealable judgment or order described in Subsection (9)(b)(i) within a 45-day period after the county bills the taxpayer for the additional tax liability. (10) (a)Except as provided in Subsection (10)(b), a payment that is required by this section shall be paid to a taxpayer: (i)within 60 days after the day on which the final and unappealable judgment or order is issued in accordance with Subsection (3); or (ii)if a judgment levy is imposed in accordance with Subsection (8): (A)if the payment to the taxpayer required by this section is $5,000 or more, no later than December 31 of the year in which the judgment levy is imposed; and (B)if the payment to the taxpayer required by this section is less than $5,000, within 60 days after the date the final and unappealable judgment or order is issued in accordance with Subsection (3). (b)Notwithstanding Subsection (10)(a), a taxpayer may enter into an agreement: (i)that establishes a time period other than a time period described in Subsection (10)(a) for making a payment to the taxpayer that is required by this section; and (ii)with: (A)an authorized officer of a taxing entity for a tax imposed by a taxing entity; or (B)an authorized officer of the state for a tax imposed by the state.

Section 12. Effective date. This bill takes effect on May 1, 2024.