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HB88 Bill

H.B. 88 Housing Policy Amendments

Introduced
H.B. 88
Housing Policy Amendments2025 GENERAL SESSIONSTATE OF UTAHChief Sponsor: Raymond P. WardSenate Sponsor: Lincoln FillmoreLONG TITLEGeneral Description:This bill modifies provisions relating to moderate income housing reports and municipalzoning.Highlighted Provisions:This bill:defines terms;amends the required frequency of a moderate income housing progress report;provides that an accessory dwelling unit, internal or external, on a lot containing adetached single family dwelling is a permitted use in a residential zone of an urbanmunicipality;provides that an urban municipality may not prohibit the use of a modular unit in aresidential zone; andmakes technical and conforming changes.Money Appropriated in this Bill:NoneOther Special Clauses:NoneUtah Code Sections Affected:AMENDS:10-9a-408, as last amended by Laws of Utah 2024, Chapters 413, 43810-9a-505, as last amended by Laws of Utah 2015, Chapter 32717-27a-408, as last amended by Laws of Utah 2024, Chapters 381, 413ENACTS:10-9a-505.1, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 10-9a-408 is amended to read:10-9a-408. Moderate income housing report -- Contents -- Prioritization forfunds or projects -- Ineligibility for funds after noncompliance -- Civil actions.(1)As used in this section:(a)"Division" means the Housing and Community Development Division within theDepartment of Workforce Services.(b)"Implementation plan" means the implementation plan adopted as part of themoderate income housing element of a specified municipality's general plan asprovided in Subsection 10-9a-403(2)(c).(c)"Initial report" or "initial moderate income housing report" means the one-time reportdescribed in Subsection (2).(d)"Moderate income housing strategy" means a strategy described in Subsection10-9a-403(2)(b)(iii).(e)"Report" means an initial report or a subsequent progress report.(f)"Specified municipality" means:(i)a city of the first, second, third, or fourth class; or(ii)a city of the fifth class with a population of 5,000 or more, if the city is locatedwithin a county of the first, second, or third class.(g)"Subsequent progress report" means the annualtriannual report described inSubsection (3).(2)(a)The legislative body of a specified municipality shall submit an initial report tothe division.(b)(i)This Subsection (2)(b) applies to a municipality that is not a specifiedmunicipality as of January 1, 2023.(ii)As of January 1, if a municipality described in Subsection (2)(b)(i) changes fromone class to another or grows in population to qualify as a specified municipality,the municipality shall submit an initial plan to the division on or before August 1of the first calendar year beginning on January 1 in which the municipalityqualifies as a specified municipality.(c)The initial report shall:(i)identify each moderate income housing strategy selected by the specifiedmunicipality for continued, ongoing, or one-time implementation, restating theexact language used to describe the moderate income housing strategy inSubsection 10-9a-403(2)(b)(iii); and(ii)include an implementation plan.(3)(a)After the division approves a specified municipality's initial report under thissection, the specified municipality shall, as an administrative act, annually submitto the division a subsequent progress report on or before August 1 of each third yearafter the year in which the specified municipality is required to submit the initialreport.(b)The subsequent progress report shall include:(i)subject to Subsection (3)(c), a description of each action, whether one-time orongoing, taken by the specified municipality during the previous 1236-monthperiod to implement the moderate income housing strategies identified in theinitial report for implementation;(ii)a description of each land use regulation or land use decision made by thespecified municipality during the previous 1236-month period to implement themoderate income housing strategies, including an explanation of how the land useregulation or land use decision supports the specified municipality's efforts toimplement the moderate income housing strategies;(iii)a description of any barriers encountered by the specified municipality in theprevious 1236-month period in implementing the moderate income housingstrategies;(iv)information regarding the number of internal and external or detached accessorydwelling units located within the specified municipality for which the specifiedmunicipality:(A)issued a building permit to construct; or(B)issued a business license or comparable license or permit to rent;(v)the number of residential dwelling units that have been entitled that have notreceived a building permit as of the submission date of the progress report;(vi)shapefiles, or website links if shapefiles are not available, to current maps andtables related to zoning;(vii)a description of how the market has responded to the selected moderate incomehousing strategies, including the number of entitled moderate income housingunits or other relevant data; and(viii)any recommendations on how the state can support the specified municipalityin implementing the moderate income housing strategies.(c)For purposes of describing actions taken by a specified municipality underSubsection (3)(b)(i), the specified municipality may include an ongoing action takenby the specified municipality prior to the 1236-month reporting period applicable tothe subsequent progress report if the specified municipality:(i)has already adopted an ordinance, approved a land use application, made aninvestment, or approved an agreement or financing that substantially promotes theimplementation of a moderate income housing strategy identified in the initialreport; and(ii)demonstrates in the subsequent progress report that the action taken underSubsection (3)(c)(i) is relevant to making meaningful progress towards thespecified municipality's implementation plan.(d)A specified municipality's report shall be in a form:(i)approved by the division; and(ii)made available by the division on or before May 1 of the year in which the reportis required.(4)Within 90 days after the day on which the division receives a specified municipality'sreport, the division shall:(a)post the report on the division's website;(b)send a copy of the report to the Department of Transportation, the Governor's Officeof Planning and Budget, the association of governments in which the specifiedmunicipality is located, and, if the specified municipality is located within theboundaries of a metropolitan planning organization, the appropriate metropolitanplanning organization; and(c)subject to Subsection (5), review the report to determine compliance with this section.(5)(a)An initial report does not comply with this section unless the report:(i)includes the information required under Subsection (2)(c);(ii)demonstrates to the division that the specified municipality made plans toimplement:(A)three or more moderate income housing strategies if the specifiedmunicipality does not have a fixed guideway public transit station; or(B)subject to Subsection 10-9a-403(2)(b)(iv), five or more moderate incomehousing strategies if the specified municipality has a fixed guideway publictransit station; and(iii)is in a form approved by the division.(b)A subsequent progress report does not comply with this section unless the report:(i)demonstrates to the division that the specified municipality made plans toimplement:(A)three or more moderate income housing strategies if the specifiedmunicipality does not have a fixed guideway public transit station; or(B)subject to the requirements of Subsection 10-9a-403(2)(a)(iii)(D), five or moremoderate income housing strategies if the specified municipality has a fixedguideway public transit station;(ii)is in a form approved by the division; and(iii)provides sufficient information for the division to:(A)assess the specified municipality's progress in implementing the moderateincome housing strategies;(B)monitor compliance with the specified municipality's implementation plan;(C)identify a clear correlation between the specified municipality's land useregulations and land use decisions and the specified municipality's efforts toimplement the moderate income housing strategies;(D)identify how the market has responded to the specified municipality's selectedmoderate income housing strategies; and(E)identify any barriers encountered by the specified municipality inimplementing the selected moderate income housing strategies.(6)(a)A specified municipality qualifies for priority consideration under this Subsection(6) if the specified municipality's report:(i)complies with this section; and(ii)demonstrates to the division that the specified municipality made plans toimplement:(A)five or more moderate income housing strategies if the specified municipalitydoes not have a fixed guideway public transit station; or(B)six or more moderate income housing strategies if the specified municipalityhas a fixed guideway public transit station.(b)The Transportation Commission may, in accordance with Subsection 72-1-304(3)(c),give priority consideration to transportation projects located within the boundaries ofa specified municipality described in Subsection (6)(a) until the Department ofTransportation receives notice from the division under Subsection (6)(e).(c)Upon determining that a specified municipality qualifies for priority considerationunder this Subsection (6), the division shall send a notice of prioritization to thelegislative body of the specified municipality and the Department of Transportation.(d)The notice described in Subsection (6)(c) shall:(i)name the specified municipality that qualifies for priority consideration;(ii)describe the funds or projects for which the specified municipality qualifies toreceive priority consideration; and(iii)state the basis for the division's determination that the specified municipalityqualifies for priority consideration.(e)The division shall notify the legislative body of a specified municipality and theDepartment of Transportation in writing if the division determines that the specifiedmunicipality no longer qualifies for priority consideration under this Subsection (6).(7)(a)If the division, after reviewing a specified municipality's report, determines thatthe report does not comply with this section, the division shall send a notice ofnoncompliance to the legislative body of the specified municipality.(b)A specified municipality that receives a notice of noncompliance may:(i)cure each deficiency in the report within 90 days after the day on which the noticeof noncompliance is sent; or(ii)request an appeal of the division's determination of noncompliance within 10days after the day on which the notice of noncompliance is sent.(c)The notice described in Subsection (7)(a) shall:(i)describe each deficiency in the report and the actions needed to cure eachdeficiency;(ii)state that the specified municipality has an opportunity to:(A)submit to the division a corrected report that cures each deficiency in thereport within 90 days after the day on which the notice of compliance is sent; or(B)submit to the division a request for an appeal of the division's determination ofnoncompliance within 10 days after the day on which the notice ofnoncompliance is sent; and(iii)state that failure to take action under Subsection (7)(c)(ii) will result in thespecified municipality's ineligibility for funds under Subsection (9).(d)For purposes of curing the deficiencies in a report under this Subsection (7), if theaction needed to cure the deficiency as described by the division requires thespecified municipality to make a legislative change, the specified municipality maycure the deficiency by making that legislative change within the 90-day cure period.(e)(i)If a specified municipality submits to the division a corrected report inaccordance with Subsection (7)(b)(i) and the division determines that thecorrected report does not comply with this section, the division shall send asecond notice of noncompliance to the legislative body of the specifiedmunicipality within 30 days after the day on which the corrected report issubmitted.(ii)A specified municipality that receives a second notice of noncompliance maysubmit to the division a request for an appeal of the division's determination ofnoncompliance within 10 days after the day on which the second notice ofnoncompliance is sent.(iii)The notice described in Subsection (7)(e)(i) shall:(A)state that the specified municipality has an opportunity to submit to thedivision a request for an appeal of the division's determination ofnoncompliance within 10 days after the day on which the second notice ofnoncompliance is sent; and(B)state that failure to take action under Subsection (7)(e)(iii)(A) will result in thespecified municipality's ineligibility for funds under Subsection (9).(8)(a)A specified municipality that receives a notice of noncompliance underSubsection (7)(a) or (7)(e)(i) may request an appeal of the division's determination ofnoncompliance within 10 days after the day on which the notice of noncompliance issent.(b)Within 90 days after the day on which the division receives a request for an appeal,an appeal board consisting of the following three members shall review and issue awritten decision on the appeal:(i)one individual appointed by the Utah League of Cities and Towns;(ii)one individual appointed by the Utah Homebuilders Association; and(iii)one individual appointed by the presiding member of the association ofgovernments, established pursuant to an interlocal agreement under Title 11,Chapter 13, Interlocal Cooperation Act, of which the specified municipality is amember.(c)The written decision of the appeal board shall either uphold or reverse the division'sdetermination of noncompliance.(d)The appeal board's written decision on the appeal is final.(9)(a)A specified municipality is ineligible for funds under this Subsection (9) if:(i)the specified municipality fails to submit a report to the division;(ii)after submitting a report to the division, the division determines that the reportdoes not comply with this section and the specified municipality fails to:(A)cure each deficiency in the report within 90 days after the day on which thenotice of noncompliance is sent; or(B)request an appeal of the division's determination of noncompliance within 10days after the day on which the notice of noncompliance is sent;(iii)after submitting to the division a corrected report to cure the deficiencies in apreviously submitted report, the division determines that the corrected report doesnot comply with this section and the specified municipality fails to request anappeal of the division's determination of noncompliance within 10 days after theday on which the second notice of noncompliance is sent; or(iv)after submitting a request for an appeal under Subsection (8), the appeal boardissues a written decision upholding the division's determination of noncompliance.(b)The following apply to a specified municipality described in Subsection (9)(a) untilthe division provides notice under Subsection (9)(e):(i)the executive director of the Department of Transportation may not program fundsfrom the Transportation Investment Fund of 2005, including the TransitTransportation Investment Fund, to projects located within the boundaries of thespecified municipality in accordance with Subsection 72-2-124(5);(ii)beginning with a report submitted in 2024, the specified municipality shall pay afee to the Olene Walker Housing Loan Fund in the amount of $250 per day thatthe specified municipality:(A)fails to submit the report to the division in accordance with this section,beginning the day after the day on which the report was due; or(B)fails to cure the deficiencies in the report, beginning the day after the day bywhich the cure was required to occur as described in the notice ofnoncompliance under Subsection (7); and(iii)beginning with the report submitted in 2025, the specified municipality shall paya fee to the Olene Walker Housing Loan Fund in the amount of $500 per day thatthe specified municipality, in a consecutive year:(A)fails to submit the report to the division in accordance with this section,beginning the day after the day on which the report was due; or(B)fails to cure the deficiencies in the report, beginning the day after the day bywhich the cure was required to occur as described in the notice ofnoncompliance under Subsection (7).(c)Upon determining that a specified municipality is ineligible for funds under thisSubsection (9), and is required to pay a fee under Subsection (9)(b), if applicable, thedivision shall send a notice of ineligibility to the legislative body of the specifiedmunicipality, the Department of Transportation, the State Tax Commission, and theGovernor's Office of Planning and Budget.(d)The notice described in Subsection (9)(c) shall:(i)name the specified municipality that is ineligible for funds;(ii)describe the funds for which the specified municipality is ineligible to receive;(iii)describe the fee the specified municipality is required to pay under Subsection(9)(b), if applicable; and(iv)state the basis for the division's determination that the specified municipality isineligible for funds.(e)The division shall notify the legislative body of a specified municipality and theDepartment of Transportation in writing if the division determines that the provisionsof this Subsection (9) no longer apply to the specified municipality.(f)The division may not determine that a specified municipality that is required to pay afee under Subsection (9)(b) is in compliance with the reporting requirements of thissection until the specified municipality pays all outstanding fees required underSubsection (9)(b) to the Olene Walker Housing Loan Fund, created under Title 35A,Chapter 8, Part 5, Olene Walker Housing Loan Fund.(10)In a civil action seeking enforcement or claiming a violation of this section or ofSubsection 10-9a-404(4)(c), a plaintiff may not recover damages but may be awardedonly injunctive or other equitable relief.
Section 2, Section 10-9a-505 is amended to read:10-9a-505. Zoning districts.(1)(a)The legislative body may divide the territory over which it has jurisdiction intozoning districts of a number, shape, and area that it considers appropriate to carry outthe purposes of this chapter.(b)Within those zoning districts, the legislative body may, subject to Section10-9a-505.1, regulate and restrict the erection, construction, reconstruction,alteration, repair, or use of buildings and structures, and the use of land.(c)A municipality may enact an ordinance regulating land use and development in aflood plain or potential geologic hazard area to:(i)protect life; and(ii)prevent:(A)the substantial loss of real property; or(B)substantial damage to real property.(2)The legislative body shall ensure that the regulations are uniform for each class or kindof buildings throughout each zoning district, but the regulations in one zone may differfrom those in other zones.(3)(a)There is no minimum area or diversity of ownership requirement for a zonedesignation.(b)Neither the size of a zoning district nor the number of landowners within the districtmay be used as evidence of the illegality of a zoning district or of the invalidity of amunicipal decision.(4)A municipality may by ordinance exempt from specific zoning district standards asubdivision of land to accommodate the siting of a public utility infrastructure.
Section 3, Section 10-9a-505.1 is enacted to read:10-9a-505.1. Accessory dwelling unit permitted in an urban municipality.(1)As used in this section:(a)"Adjacent neighbor" means the owner of a property that has a shared boundary witha property on which an owner has applied to build an external accessory dwellingunit.(b)"Urban municipality" means a municipality in a county of the first or second class.(2)A single accessory dwelling unit, internal or external, is a permitted use if it is built:(a)in a residential zone of an urban municipality; and(b)on a lot that contains a detached single family dwelling.(3)An urban municipality may not require an external accessory dwelling unit to have:(a)larger setbacks than are required of a single family dwelling in the same zone; or(b)have a larger setback than is required for safety purposes if the impacted adjacentneighbor has consented in writing to the placement of the external accessory dwellingunit.(4)An urban municipality may not prohibit the use of a modular unit in a residential zone ifthe modular unit complies with the requirements of Title 15A, Chapter 1, Part 3, FactoryBuilt Housing and Modular Units Administration Act.
Section 4, Section 17-27a-408 is amended to read:17-27a-408. Moderate income housing report -- Contents -- Prioritization forfunds or projects -- Ineligibility for funds after noncompliance -- Civil actions.(1)As used in this section:(a)"Division" means the Housing and Community Development Division within theDepartment of Workforce Services.(b)"Implementation plan" means the implementation plan adopted as part of themoderate income housing element of a specified county's general plan as provided inSubsection 17-27a-403(2)(g).(c)"Initial report" means the one-time moderate income housing report described inSubsection (2).(d)"Moderate income housing strategy" means a strategy described in Subsection17-27a-403(2)(b)(ii).(e)"Report" means an initial report or a subsequent report.(f)"Specified county" means a county of the first, second, or third class, which has apopulation of more than 5,000 in the county's unincorporated areas.(g)"Subsequent progress report" means the annualtriannual moderate income housingreport described in Subsection (3).(2)(a)The legislative body of a specified county shall annually submit an initial reportto the division.(b)(i)This Subsection (2)(b) applies to a county that is not a specified county as ofJanuary 1, 2023.(ii)As of January 1, if a county described in Subsection (2)(b)(i) changes from oneclass to another or grows in population to qualify as a specified county, the countyshall submit an initial plan to the division on or before August 1 of the firstcalendar year beginning on January 1 in which the county qualifies as a specifiedcounty.(c)The initial report shall:(i)identify each moderate income housing strategy selected by the specified countyfor continued, ongoing, or one-time implementation, using the exact languageused to describe the moderate income housing strategy in Subsection 17-27a-403(2)(b)(ii); and(ii)include an implementation plan.(3)(a)After the division approves a specified county's initial report under this section,the specified county shall, as an administrative act, annually submit to the division asubsequent progress report on or before August 1 of each third year after the year inwhich the specified county is required to submit the initial report.(b)The subsequent progress report shall include:(i)subject to Subsection (3)(c), a description of each action, whether one-time orongoing, taken by the specified county during the previous 1236-month periodto implement the moderate income housing strategies identified in the initialreport for implementation;(ii)a description of each land use regulation or land use decision made by thespecified county during the previous 1236-month period to implement themoderate income housing strategies, including an explanation of how the land useregulation or land use decision supports the specified county's efforts toimplement the moderate income housing strategies;(iii)a description of any barriers encountered by the specified county in the previous1236-month period in implementing the moderate income housing strategies;(iv)the number of residential dwelling units that have been entitled that have notreceived a building permit as of the submission date of the progress report;(v)shapefiles, or website links if shapefiles are not available, to current maps andtables related to zoning;(vi)information regarding the number of internal and external or detached accessorydwelling units located within the specified county for which the specified county:(A)issued a building permit to construct; or(B)issued a business license or comparable license or permit to rent;(vii)a description of how the market has responded to the selected moderate incomehousing strategies, including the number of entitled moderate income housingunits or other relevant data; and(viii)any recommendations on how the state can support the specified county inimplementing the moderate income housing strategies.(c)For purposes of describing actions taken by a specified county under Subsection(3)(b)(i), the specified county may include an ongoing action taken by the specifiedcounty prior to the 1236-month reporting period applicable to the subsequentprogress report if the specified county:(i)has already adopted an ordinance, approved a land use application, made aninvestment, or approved an agreement or financing that substantially promotes theimplementation of a moderate income housing strategy identified in the initialreport; and(ii)demonstrates in the subsequent progress report that the action taken underSubsection (3)(c)(i) is relevant to making meaningful progress towards thespecified county's implementation plan.(d)A specified county's report shall be in a form:(i)approved by the division; and(ii)made available by the division on or before May 1 of the year in which the reportis required.(4)Within 90 days after the day on which the division receives a specified county's report,the division shall:(a)post the report on the division's website;(b)send a copy of the report to the Department of Transportation, the Governor's Officeof Planning and Budget, the association of governments in which the specifiedcounty is located, and, if the unincorporated area of the specified county is locatedwithin the boundaries of a metropolitan planning organization, the appropriatemetropolitan planning organization; and(c)subject to Subsection (5), review the report to determine compliance with this section.(5)(a)An initial report does not comply with this section unless the report:(i)includes the information required under Subsection (2)(c);(ii)subject to Subsection (5)(c), demonstrates to the division that the specified countymade plans to implement three or more moderate income housing strategies; and(iii)is in a form approved by the division.(b)A subsequent progress report does not comply with this section unless the report:(i)subject to Subsection (5)(c), demonstrates to the division that the specified countymade plans to implement three or more moderate income housing strategies;(ii)is in a form approved by the division; and(iii)provides sufficient information for the division to:(A)assess the specified county's progress in implementing the moderate incomehousing strategies;(B)monitor compliance with the specified county's implementation plan;(C)identify a clear correlation between the specified county's land use decisionsand efforts to implement the moderate income housing strategies;(D)identify how the market has responded to the specified county's selectedmoderate income housing strategies; and(E)identify any barriers encountered by the specified county in implementing theselected moderate income housing strategies.(c)(i)This Subsection (5)(c) applies to a specified county that has created a smallpublic transit district, as defined in Section 17B-2a-802, on or before January 1,2022.(ii)In addition to the requirements of Subsections (5)(a) and (b), a report for aspecified county described in Subsection (5)(c)(i) does not comply with thissection unless the report demonstrates to the division that the specified county:(A)made plans to implement the moderate income housing strategy described inSubsection 17-27a-403(2)(b)(ii)(Q); and(B)is in compliance with Subsection 63N-3-603(8).(6)(a)A specified county qualifies for priority consideration under this Subsection (6) ifthe specified county's report:(i)complies with this section; and(ii)demonstrates to the division that the specified county made plans to implementfive or more moderate income housing strategies.(b)The Transportation Commission may, in accordance with Subsection 72-1-304(3)(c),give priority consideration to transportation projects located within theunincorporated areas of a specified county described in Subsection (6)(a) until theDepartment of Transportation receives notice from the division under Subsection(6)(e).(c)Upon determining that a specified county qualifies for priority consideration underthis Subsection (6), the division shall send a notice of prioritization to the legislativebody of the specified county and the Department of Transportation.(d)The notice described in Subsection (6)(c) shall:(i)name the specified county that qualifies for priority consideration;(ii)describe the funds or projects for which the specified county qualifies to receivepriority consideration; and(iii)state the basis for the division's determination that the specified county qualifiesfor priority consideration.(e)The division shall notify the legislative body of a specified county and theDepartment of Transportation in writing if the division determines that the specifiedcounty no longer qualifies for priority consideration under this Subsection (6).(7)(a)If the division, after reviewing a specified county's report, determines that thereport does not comply with this section, the division shall send a notice ofnoncompliance to the legislative body of the specified county.(b)A specified county that receives a notice of noncompliance may:(i)cure each deficiency in the report within 90 days after the day on which the noticeof noncompliance is sent; or(ii)request an appeal of the division's determination of noncompliance within 10days after the day on which the notice of noncompliance is sent.(c)The notice described in Subsection (7)(a) shall:(i)describe each deficiency in the report and the actions needed to cure eachdeficiency;(ii)state that the specified county has an opportunity to:(A)submit to the division a corrected report that cures each deficiency in thereport within 90 days after the day on which the notice of noncompliance issent; or(B)submit to the division a request for an appeal of the division's determination ofnoncompliance within 10 days after the day on which the notice ofnoncompliance is sent; and(iii)state that failure to take action under Subsection (7)(c)(ii) will result in thespecified county's ineligibility for funds and fees owed under Subsection (9).(d)For purposes of curing the deficiencies in a report under this Subsection (7), if theaction needed to cure the deficiency as described by the division requires thespecified county to make a legislative change, the specified county may cure thedeficiency by making that legislative change within the 90-day cure period.(e)(i)If a specified county submits to the division a corrected report in accordancewith Subsection (7)(b)(i), and the division determines that the corrected reportdoes not comply with this section, the division shall send a second notice ofnoncompliance to the legislative body of the specified county.(ii)A specified county that receives a second notice of noncompliance may requestan appeal of the division's determination of noncompliance within 10 days afterthe day on which the second notice of noncompliance is sent.(iii)The notice described in Subsection (7)(e)(i) shall:(A)state that the specified county has an opportunity to submit to the division arequest for an appeal of the division's determination of noncompliance within10 days after the day on which the second notice of noncompliance is sent; and(B)state that failure to take action under Subsection (7)(e)(iii)(A) will result in thespecified county's ineligibility for funds under Subsection (9).(8)(a)A specified county that receives a notice of noncompliance under Subsection(7)(a) or (7)(e)(i) may request an appeal of the division's determination ofnoncompliance within 10 days after the day on which the notice of noncompliance issent.(b)Within 90 days after the day on which the division receives a request for an appeal,an appeal board consisting of the following three members shall review and issue awritten decision on the appeal:(i)one individual appointed by the Utah Association of Counties;(ii)one individual appointed by the Utah Homebuilders Association; and(iii)one individual appointed by the presiding member of the association ofgovernments, established pursuant to an interlocal agreement under Title 11,Chapter 13, Interlocal Cooperation Act, of which the specified county is a member.(c)The written decision of the appeal board shall either uphold or reverse the division'sdetermination of noncompliance.(d)The appeal board's written decision on the appeal is final.(9)(a)A specified county is ineligible for funds and owes a fee under this Subsection (9)if:(i)the specified county fails to submit a report to the division;(ii)after submitting a report to the division, the division determines that the reportdoes not comply with this section and the specified county fails to:(A)cure each deficiency in the report within 90 days after the day on which thenotice of noncompliance is sent; or(B)request an appeal of the division's determination of noncompliance within 10days after the day on which the notice of noncompliance is sent;(iii)after submitting to the division a corrected report to cure the deficiencies in apreviously submitted report, the division determines that the corrected report doesnot comply with this section and the specified county fails to request an appeal ofthe division's determination of noncompliance within 10 days after the day onwhich the second notice of noncompliance is sent; or(iv)after submitting a request for an appeal under Subsection (8), the appeal boardissues a written decision upholding the division's determination of noncompliance.(b)The following apply to a specified county described in Subsection (9)(a) until thedivision provides notice under Subsection (9)(e):(i)the executive director of the Department of Transportation may not program fundsfrom the Transportation Investment Fund of 2005, including the TransitTransportation Investment Fund, to projects located within the unincorporatedareas of the specified county in accordance with Subsection 72-2-124(6);(ii)beginning with the report submitted in 2024, the specified county shall pay a feeto the Olene Walker Housing Loan Fund in the amount of $250 per day that thespecified county:(A)fails to submit the report to the division in accordance with this section,beginning the day after the day on which the report was due; or(B)fails to cure the deficiencies in the report, beginning the day after the day bywhich the cure was required to occur as described in the notice ofnoncompliance under Subsection (7); and(iii)beginning with the report submitted in 2025, the specified county shall pay a feeto the Olene Walker Housing Loan Fund in the amount of $500 per day that thespecified county, for a consecutive year:(A)fails to submit the report to the division in accordance with this section,beginning the day after the day on which the report was due; or(B)fails to cure the deficiencies in the report, beginning the day after the day bywhich the cure was required to occur as described in the notice ofnoncompliance under Subsection (7).(c)Upon determining that a specified county is ineligible for funds under thisSubsection (9), and is required to pay a fee under Subsection (9)(b), if applicable, thedivision shall send a notice of ineligibility to the legislative body of the specifiedcounty, the Department of Transportation, the State Tax Commission, and theGovernor's Office of Planning and Budget.(d)The notice described in Subsection (9)(c) shall:(i)name the specified county that is ineligible for funds;(ii)describe the funds for which the specified county is ineligible to receive;(iii)describe the fee the specified county is required to pay under Subsection (9)(b),if applicable; and(iv)state the basis for the division's determination that the specified county isineligible for funds.(e)The division shall notify the legislative body of a specified county and theDepartment of Transportation in writing if the division determines that the provisionsof this Subsection (9) no longer apply to the specified county.(f)The division may not determine that a specified county that is required to pay a feeunder Subsection (9)(b) is in compliance with the reporting requirements of thissection until the specified county pays all outstanding fees required under Subsection(9)(b) to the Olene Walker Housing Loan Fund, created under Title 35A, Chapter 8,Part 5, Olene Walker Housing Loan Fund.(10)In a civil action seeking enforcement or claiming a violation of this section or ofSubsection 17-27a-404(5)(c), a plaintiff may not recover damages but may be awardedonly injunctive or other equitable relief.
Section 5. Effective date.This bill takes effect on May 7, 2025.




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