10-21 - Municipalities and Housing Supply
Title 10 > 10-21
Sections (15)
General Provisions
10-21-101 - Definitions.
As used in this part:
(1) “Affordable housing” means housing offered for sale at 80% or less of the median county home price for housing of that type.
(2) “Agency” means the same as that term is defined in Section 17C-1-102.
(3) “Applicable metropolitan planning organization” means the metropolitan planning organization that has jurisdiction over the area in which a fixed guideway public transit station is located.
(4) “Applicable public transit district” means the public transit district, as defined in Section 17B-2a-802, of which a fixed guideway public transit station is included.
(5) “Base taxable value” means a property’s taxable value as shown upon the assessment roll last equalized during the base year.
(6) “Base year” means, for a proposed home ownership promotion zone area, a year beginning the first day of the calendar quarter determined by the last equalized tax roll before the adoption of the home ownership promotion zone.
(7) “Division” means the Housing and Community Development Division within the Department of Workforce Services.
(8) “Existing fixed guideway public transit station” means a fixed guideway public transit station for which construction begins before June 1, 2022.
(9) “Fixed guideway” means the same as that term is defined in Section 59-12-102.
(10) “Home ownership promotion zone” means a home ownership promotion zone created in accordance with this part.
(11) “Implementation plan” means the implementation plan adopted as part of the moderate income housing element of a specified municipality’s general plan as provided in Subsection 10-21-201(4).
(12) “Initial report” or “initial moderate income housing report” means the one-time report described in Subsection 10-21-202(1).
(13) “Internal accessory dwelling unit” means an accessory dwelling unit created:within a primary dwelling;within the footprint of the primary dwelling described in Subsection (13)(a) at the time the internal accessory dwelling unit is created; andfor the purpose of offering a long-term rental of 30 consecutive days or longer.
(14) “Moderate income housing strategy” means a strategy described in Subsection 10-21-201(3)(a)(iii).
(15) “New fixed guideway public transit station” means a fixed guideway public transit station for which construction begins on or after June 1, 2022.
(16) “Participant” means the same as that term is defined in Section 17C-1-102.
(17) “Participation agreement” means the same as that term is defined in Section 17C-1-102.
(18) “Primary dwelling” means a single-family dwelling that:is detached; andis occupied as the primary residence of the owner of record.”Primary dwelling” includes a garage if the garage:is a habitable space; andis connected to the primary dwelling by a common wall.
(19) “Project improvements” means the same as that term is defined in Section 11-36a-102.
(20) “Qualifying land use petition” means a petition:that involves land located within a station area for an existing public transit station that provides rail services;that involves land located within a station area for which the municipality has not yet satisfied the requirements of Subsection 10-21-203(1)(a);that proposes the development of an area greater than five contiguous acres, with no less than 51% of the acreage within the station area;that would require the municipality to amend the municipality’s general plan or change a zoning designation for the land use application to be approved;that would require a higher density than the density currently allowed by the municipality;that proposes the construction of new residential units, at least 10% of which are dedicated to moderate income housing; andfor which the land use applicant requests the municipality to initiate the process of satisfying the requirements of Subsection 10-21-203(1)(a) for the station area in which the development is proposed, subject to Subsection 10-21-203(2)(d).
(21) “Report” means an initial report or a subsequent progress report.
(22) “Specified municipality” means:a city of the first, second, third, or fourth class; ora city of the fifth class with a population of 5,000 or more, if the city is located within a county of the first, second, or third class.
(23) “Station area” means:for a fixed guideway public transit station that provides rail services, the area within a one-half mile radius of the center of the fixed guideway public transit station platform; orfor a fixed guideway public transit station that provides bus services only, the area within a one-fourth mile radius of the center of the fixed guideway public transit station platform.”Station area” includes any parcel bisected by the radius limitation described in Subsection (a)(i) or (ii).
(24) “Station area plan” means a plan that:establishes a vision, and the actions needed to implement that vision, for the development of land within a station area; andis developed and adopted in accordance with this section.
(25) “Subsequent progress report” means the annual report described in Subsection 10-21-202(2).
(26) “System improvements” means the same as that term is defined in Section 11-36a-102.
(27) “Tax commission” means the State Tax Commission created in Section 59-1-201.
(28) “Tax increment” means the difference between:the amount of property tax revenue generated each tax year by a taxing entity from the area within a home ownership promotion zone, using the current assessed value and each taxing entity’s current certified tax rate as defined in Section 59-2-924; andthe amount of property tax revenue that would be generated from that same area using the base taxable value and each taxing entity’s current certified tax rate as defined in Section 59-2-924.”Tax increment” does not include property revenue from:a multicounty assessing and collecting levy described in Subsection 59-2-1602(2); ora county additional property tax described in Subsection 59-2-1602(4).
(29) “Taxing entity” means the same as that term is defined in Section 17C-1-102.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
10-21-102 - Applicability.
(1) The provisions of Chapter 20, Municipal Land Use, Development, and Management Act, apply to this chapter.
(2) The definitions in Section 10-21-101 are in addition to the definitions in Section 10-20-102, except that if there is any conflict between a definition in this chapter and a definition in Chapter 20, Municipal Land Use, Development, and Management Act, the definition in this chapter prevails in regard to the provisions in this chapter.
Enacted by Chapter 15, 2025 Special Session 1
Municipal Plans for Housing
10-21-201 - Moderate income housing plan required.
(1) A moderate income housing element of a general plan shall include a moderate income housing plan that meets the requirements of this section.
(2) A moderate income housing plan: shall provide a realistic opportunity to meet the need for additional moderate income housing within the municipality during the next five years;for a municipality that is not a specified municipality, may include a recommendation to implement three or more of the moderate income housing strategies described in Subsection (3)(a)(iii);for a specified municipality that does not have a fixed guideway public transit station, shall include a recommendation to implement three or more of the moderate income housing strategies described in Subsection (3)(a)(iii) or at least one of the moderate income housing strategies described in Subsections (3)(a)(iii)(X) through (CC);for a specified municipality that has a fixed guideway public transit station, shall include:a recommendation to implement five or more of the moderate income housing strategies described in Subsection (3)(a)(iii), of which one shall be the moderate income housing strategy described in Subsection (3)(a)(iii)(U) and one shall be a moderate income housing strategy described in Subsection (3)(a)(iii)(G) or (H); ora recommendation to implement the moderate income housing strategy described in Subsection (3)(a)(iii)(U), one of the moderate income housing strategies described in Subsections (3)(a)(iii)(X) through (CC), and one moderate income housing strategy described in Subsection (3)(a)(iii); andfor a specified municipality shall include an implementation plan as provided in Subsection (4).
(3) In drafting the moderate income housing element, the planning commission:shall consider the Legislature’s determination that municipalities shall facilitate a reasonable opportunity for a variety of housing, including moderate income housing:to meet the needs of people of various income levels living, working, or desiring to live or work in the community; andto allow people with various incomes to benefit from and fully participate in all aspects of neighborhood and community life;for a municipality that is not a specified municipality, may include, and for a specified municipality shall include, an analysis of how the municipality will provide a realistic opportunity for the development of moderate income housing within the next five years;for a municipality that is not a specified municipality, may include, and for a specified municipality shall include, a recommendation to implement the required number of any of the following moderate income housing strategies as specified in Subsection (2):rezone for densities necessary to facilitate the production of moderate income housing;demonstrate investment in the rehabilitation or expansion of infrastructure that facilitates the construction of moderate income housing;demonstrate investment in the rehabilitation of existing uninhabitable housing stock into moderate income housing;identify and utilize general fund subsidies or other sources of revenue to waive construction related fees that are otherwise generally imposed by the municipality for the construction or rehabilitation of moderate income housing;create or allow for, and reduce regulations related to, internal or detached accessory dwelling units in residential zones;zone or rezone for higher density or moderate income residential development in commercial or mixed-use zones near major transit investment corridors, commercial centers, or employment centers;amend land use regulations to allow for higher density or new moderate income residential development in commercial or mixed-use zones near major transit investment corridors;amend land use regulations to eliminate or reduce parking requirements for residential development where a resident is less likely to rely on the resident’s own vehicle, such as residential development near major transit investment corridors or senior living facilities;amend land use regulations to allow for single room occupancy developments;implement zoning incentives for moderate income units in new developments;preserve existing and new moderate income housing and subsidized units by utilizing a landlord incentive program, providing for deed restricted units through a grant program, or, notwithstanding Section 10-21-301, establishing a housing loss mitigation fund;reduce, waive, or eliminate impact fees related to moderate income housing;demonstrate creation of, or participation in, a community land trust program for moderate income housing;implement a mortgage assistance program for employees of the municipality, an employer that provides contracted services to the municipality, or any other public employer that operates within the municipality;apply for or partner with an entity that applies for state or federal funds or tax incentives to promote the construction of moderate income housing, an entity that applies for programs offered by the Utah Housing Corporation within the Utah Housing Corporation’s funding capacity, an entity that applies for affordable housing programs administered by the Department of Workforce Services, an entity that applies for affordable housing programs administered by an association of governments established by an interlocal agreement under Title 11, Chapter 13, Interlocal Cooperation Act, an entity that applies for services provided by a public housing authority to preserve and create moderate income housing, or any other entity that applies for programs or services that promote the construction or preservation of moderate income housing;demonstrate utilization of a moderate income housing set aside from a community reinvestment agency, redevelopment agency, or community development and renewal agency to create or subsidize moderate income housing;eliminate impact fees for any accessory dwelling unit that is not an internal accessory dwelling unit as defined in Section 10-21-101;create a program to transfer development rights for moderate income housing;ratify a joint acquisition agreement with another local political subdivision for the purpose of combining resources to acquire property for moderate income housing;develop a moderate income housing project for residents who are disabled or 55 years old or older;develop and adopt a station area plan in accordance with Section 10-21-203;create or allow for, and reduce regulations related to, multifamily residential dwellings compatible in scale and form with detached single-family residential dwellings and located in walkable communities within residential or mixed-use zones;demonstrate implementation of any other program or strategy to address the housing needs of residents of the municipality who earn less than 80% of the area median income, including the dedication of a local funding source to moderate income housing or the adoption of a land use ordinance that requires 10% or more of new residential development in a residential zone be dedicated to moderate income housing;create a housing and transit reinvestment zone in accordance with Title 63N, Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act;create a home ownership promotion zone in accordance with Part 5, Home Ownership Promotion Zone for Municipalities;create a first home investment zone in accordance with Title 63N, Chapter 3, Part 16, First Home Investment Zone Act;approve a project that receives funding from, or qualifies to receive funding from, the Utah Homes Investment Program created in Title 51, Chapter 12, Utah Homes Investment Program;adopt or approve a qualifying affordable home ownership density bonus for single-family residential units, as described in Section 10-21-401; andadopt or approve a qualifying affordable home ownership density bonus for multi-family residential units, as described in Section 10-21-402; andthe planning commission shall identify each moderate income housing strategy recommended to the legislative body for implementation by restating the exact language used to describe the strategy in Subsection (3)(a)(iii).
(4) In drafting the implementation plan portion of the moderate income housing element as described in Subsection (2)(c), the planning commission shall recommend to the legislative body the establishment of a five-year timeline for implementing each of the moderate income housing strategies selected by the municipality for implementation.The timeline described in Subsection (4)(a) shall:identify specific measures and benchmarks for implementing each moderate income housing strategy selected by the municipality, whether one-time or ongoing; andprovide flexibility for the municipality to make adjustments as needed.
Enacted by Chapter 15, 2025 Special Session 1
10-21-202 - Moderate income housing report — Contents — Prioritization for funds or projects — Ineligibility for funds after noncompliance — Civil actions.
(1) The legislative body of a specified municipality shall submit an initial moderate income housing report to the division.This Subsection (1)(b) applies to a municipality that is not a specified municipality as of January 1, 2023.As of January 1, if a municipality changes from one 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 1 of the first calendar year beginning on January 1 in which the municipality qualifies as a specified municipality.The initial report shall:identify each moderate income housing strategy selected by the specified municipality for continued, ongoing, or one-time implementation, restating the exact language used to describe the moderate income housing strategy; andinclude an implementation plan.
(2) After the division approves a specified municipality’s initial report under this section, the specified municipality shall, as an administrative act, annually submit to the division a subsequent progress report on or before August 1 of each year after the year in which the specified municipality is required to submit the initial report.The subsequent progress report shall include:subject to Subsection (2)(c), a description of each action, whether one-time or ongoing, taken by the specified municipality during the previous 12-month period to implement the moderate income housing strategies identified in the initial report for implementation;a description of each land use regulation or land use decision made by the specified municipality during the previous 12-month period to implement the moderate income housing strategies, including an explanation of how the land use regulation or land use decision supports the specified municipality’s efforts to implement the moderate income housing strategies;a description of any barriers encountered by the specified municipality in the previous 12-month period in implementing the moderate income housing strategies;information regarding the number of internal and external or detached accessory dwelling units located within the specified municipality for which the specified municipality:issued a building permit to construct; orissued a business license or comparable license or permit to rent;the number of residential dwelling units that have been entitled that have not received a building permit as of the submission date of the progress report;shapefiles, or website links if shapefiles are not available, to current maps and tables related to zoning;a description of how the market has responded to the selected moderate income housing strategies, including the number of entitled moderate income housing units or other relevant data; andany recommendations on how the state can support the specified municipality in implementing the moderate income housing strategies.For purposes of describing actions taken by a specified municipality under Subsection (2)(b)(i), the specified municipality may include an ongoing action taken by the specified municipality before the 12-month reporting period applicable to the subsequent progress report if the specified municipality:has already adopted an ordinance, approved a land use application, made an investment, or approved an agreement or financing that substantially promotes the implementation of a moderate income housing strategy identified in the initial report; anddemonstrates in the subsequent progress report that the action taken under Subsection (2)(c)(i) is relevant to making meaningful progress towards the specified municipality’s implementation plan.A specified municipality’s report shall be in a form:approved by the division; andmade available by the division on or before May 1 of the year in which the report is required.
(3) Within 90 days after the day on which the division receives a specified municipality’s report, the division shall:post the report on the division’s website;send a copy of the report to the Department of Transportation, the Governor’s Office of Planning and Budget, the association of governments in which the specified municipality is located, and, if the specified municipality is located within the boundaries of a metropolitan planning organization, the appropriate metropolitan planning organization; andsubject to Subsection (4), review the report to determine compliance with this section.
(4) An initial report complies with this section if the report:includes the information required under Subsection (1)(c);demonstrates to the division that the specified municipality made plans to implement:three or more moderate income housing strategies if the specified municipality does not have a fixed guideway public transit station; orif the specified municipality has a fixed guideway public transit station:five or more of the moderate income housing strategies described in Subsection 10-21-201(3)(a)(iii), of which one shall be the moderate income housing strategy described in Subsection 10-21-201(3)(a)(iii)(U) and one shall be a moderate income housing strategy described in Subsection 10-21-201(3)(a)(iii)(G) or (H); orthe moderate income housing strategy described in Subsection 10-21-201(3)(a)(iii)(U), one of the moderate income housing strategies described in Subsections 10-21-201(3)(a)(iii)(X) through (CC), and one moderate income strategy described in Subsection 10-21-201(3)(a)(iii); andis in a form approved by the division.A subsequent progress report complies with this section if the report:demonstrates to the division that the specified municipality made plans to implement:three or more moderate income housing strategies if the specified municipality does not have a fixed guideway public transit station; orif the specified municipality has a fixed guideway public transit station:five or more of the moderate income housing strategies described in Subsection 10-21-201(3)(a)(iii), of which one shall be the moderate income housing strategy described in Subsection 10-21-201(3)(a)(iii)(U) and one shall be a moderate income housing strategy described in Subsection 10-21-201(3)(a)(iii)(G) or (H); orthe moderate income housing strategy described in Subsection 10-21-201(3)(a)(iii)(U), one of the moderate income housing strategies described in Subsections 10-21-201(3)(a)(iii)(X) through (CC), and one moderate income housing strategy described in Subsection 10-21-201(3)(a)(iii);is in a form approved by the division; andprovides sufficient information for the division to:assess the specified municipality’s progress in implementing the moderate income housing strategies;monitor compliance with the specified municipality’s implementation plan;identify a clear correlation between the specified municipality’s land use regulations and land use decisions and the specified municipality’s efforts to implement the moderate income housing strategies;identify how the market has responded to the specified municipality’s selected moderate income housing strategies; andidentify any barriers encountered by the specified municipality in implementing the selected moderate income housing strategies.Notwithstanding the requirements of Subsection (4)(a)(ii)(A) or (b)(i)(A), if a specified municipality without a fixed guideway public transit station implements or is implementing, by ordinance or development agreement, one of the following moderate income housing strategies, the division shall consider that one moderate income housing strategy to be the equivalent of three moderate income housing strategies:a housing and transit reinvestment zone, as described in Subsection 10-21-201(3)(a)(iii)(X);a home ownership promotion zone, as described in Subsection 10-21-201(3)(a)(iii)(Y);a first home investment zone, described in Subsection 10-21-201(3)(a)(iii)(Z);the approval of a project described in Subsection 10-21-201(3)(a)(iii)(AA);a qualifying affordable home ownership density bonus for single-family residential units, as described in Subsection 10-21-201(3)(a)(iii)(BB); ora qualifying affordable home ownership density bonus for multi-family residential units, as described in Subsection 10-21-201(3)(a)(iii)(CC).If the division considers one moderate income housing strategy described in Subsection (4)(c)(i) as the equivalent of three moderate income housing strategies, the division shall also consider the specified municipality compliant with the reporting requirement described in this section for:the year in which the specified municipality submits the initial report or subsequent report; andtwo subsequent reporting years.
(5) A specified municipality qualifies for priority consideration under this Subsection (5) if the specified municipality’s report:complies with this section; anddemonstrates to the division that the specified municipality made plans to implement:five or more moderate income housing strategies if the specified municipality does not have a fixed guideway public transit station; orsix or more moderate income housing strategies if the specified municipality has a fixed guideway public transit station.The Transportation Commission may, in accordance with Subsection 72-Ch72_1|72-1-304](c), give priority consideration to transportation projects located within the boundaries of a specified municipality described in Subsection (5)(a) until the Department of Transportation receives notice from the division under Subsection (5)(e).Upon determining that a specified municipality qualifies for priority consideration under this Subsection (5), the division shall send a notice of prioritization to the legislative body of the specified municipality and the Department of Transportation.The notice described in Subsection (5)(c) shall:name the specified municipality that qualifies for priority consideration;describe the funds or projects for which the specified municipality qualifies to receive priority consideration; andstate the basis for the division’s determination that the specified municipality qualifies for priority consideration.The division shall notify the legislative body of a specified municipality and the Department of Transportation in writing if the division determines that the specified municipality no longer qualifies for priority consideration under this Subsection (5).
(6) If the division, after reviewing a specified municipality’s report, determines that the report does not comply with this section, the division shall send a notice of noncompliance to the legislative body of the specified municipality.A specified municipality that receives a notice of noncompliance may:cure each deficiency in the report within 90 days after the day on which the notice of noncompliance is sent; orrequest an appeal of the division’s determination of noncompliance within 10 days after the day on which the notice of noncompliance is sent.The notice described in Subsection (6)(a) shall:describe each deficiency in the report and the actions needed to cure each deficiency;state that the specified municipality has an opportunity to:submit to the division a corrected report that cures each deficiency in the report within 90 days after the day on which the notice of compliance is sent; orsubmit to the division a request for an appeal of the division’s determination of noncompliance within 10 days after the day on which the notice of noncompliance is sent; andstate that failure to take action under Subsection (6)(c)(ii) will result in the specified municipality’s ineligibility for funds under Subsection (8).For purposes of curing the deficiencies in a report under this Subsection (6), if the action needed to cure the deficiency as described by the division requires the specified municipality to make a legislative change, the specified municipality may cure the deficiency by making that legislative change within the 90-day cure period.If a specified municipality submits to the division a corrected report in accordance with Subsection (6)(b)(i) and the division determines that the corrected report does not comply with this section, the division shall send a second notice of noncompliance to the legislative body of the specified municipality within 30 days after the day on which the corrected report is submitted.A specified municipality that receives a second notice of noncompliance may submit to the division a request for an appeal of the division’s determination of noncompliance within 10 days after the day on which the second notice of noncompliance is sent.The notice described in Subsection (6)(e)(i) shall:state that the specified municipality has an opportunity to submit to the division a request for an appeal of the division’s determination of noncompliance within 10 days after the day on which the second notice of noncompliance is sent; andstate that failure to take action under Subsection (6)(e)(iii)(A) will result in the specified municipality’s ineligibility for funds under Subsection (8).
(7) A specified municipality that receives a notice of noncompliance under Subsection (6)(a) or (6)(e)(i) may request an appeal of the division’s determination of noncompliance within 10 days after the day on which the notice of noncompliance is sent.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 a written decision on the appeal:one individual appointed by the Utah League of Cities and Towns;one individual appointed by the Utah Homebuilders Association; andone individual appointed by the presiding member of the association of governments, established in accordance with an interlocal agreement under Title 11, Chapter 13, Interlocal Cooperation Act, of which the specified municipality is a member.The written decision of the appeal board shall either uphold or reverse the division’s determination of noncompliance.The appeal board’s written decision on the appeal is final.
(8) A specified municipality is ineligible for funds under this Subsection (8) if:the specified municipality fails to submit a report to the division;after submitting a report to the division, the division determines that the report does not comply with this section and the specified municipality fails to:cure each deficiency in the report within 90 days after the day on which the notice of noncompliance is sent; orrequest an appeal of the division’s determination of noncompliance within 10 days after the day on which the notice of noncompliance is sent;after submitting to the division a corrected report to cure the deficiencies in a previously submitted report, the division determines that the corrected report does not comply with this section and the specified municipality fails to request an appeal of the division’s determination of noncompliance within 10 days after the day on which the second notice of noncompliance is sent; orafter submitting a request for an appeal under Subsection (7), the appeal board issues a written decision upholding the division’s determination of noncompliance.The following apply to a specified municipality described in Subsection (8)(a) until the division provides notice under Subsection (8)(e):the executive director of the Department of Transportation may not program funds from the Transportation Investment Fund of 2005, including the Transit Transportation Investment Fund, to projects located within the boundaries of the specified municipality in accordance with Subsection 72-Ch72_2|72-2-124];beginning with a report submitted in 2024, the specified municipality shall pay a fee to the Olene Walker Housing Loan Fund in the amount of 500 per day that the specified municipality, in a consecutive year: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; orfails to cure the deficiencies in the report, beginning the day after the day by which the cure was required to occur as described in the notice of noncompliance under Subsection (6).Upon determining that a specified municipality is ineligible for funds under this Subsection (8), and is required to pay a fee under Subsection (8)(b), if applicable, the division shall send a notice of ineligibility to the legislative body of the specified municipality, the Department of Transportation, the State Tax Commission, and the Governor’s Office of Planning and Budget.The notice described in Subsection (8)(c) shall:name the specified municipality that is ineligible for funds;describe the funds for which the specified municipality is ineligible to receive;describe the fee the specified municipality is required to pay under Subsection (8)(b), if applicable; andstate the basis for the division’s determination that the specified municipality is ineligible for funds.The division shall notify the legislative body of a specified municipality and the Department of Transportation in writing if the division determines that the provisions of this Subsection (8) no longer apply to the specified municipality.The division may not determine that a specified municipality that is required to pay a fee under Subsection (8)(b) is in compliance with the reporting requirements of this section until the specified municipality pays all outstanding fees required under Subsection (8)(b) to the Olene Walker Housing Loan Fund, created under Title 35A, Chapter 8, Part 5, Olene Walker Housing Loan Fund.
(9) In a civil action seeking enforcement or claiming a violation of this section or of Subsection 10-20-405(4)(c), a plaintiff may not recover damages but may be awarded only injunctive or other equitable relief.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
10-21-203 - Station area plan requirements — Contents — Review and certification by applicable metropolitan planning organization.
(1) Subject to the requirements of this section, a municipality that has a fixed guideway public transit station located within the municipality’s boundaries shall, for the station area:develop and adopt a station area plan; andadopt any appropriate land use regulations to implement the station area plan.The requirements of Subsection (1)(a) shall be considered satisfied if:the municipality has already adopted plans or ordinances, approved land use applications, approved agreements or financing, or investments have been made, before June 1, 2022, that substantially promote each of the objectives in Subsection (6)(a) within the station area, and can demonstrate that such plans, ordinances, approved land use applications, approved agreements or financing, or investments are still relevant to making meaningful progress towards achieving such objectives; andthe municipality adopts a resolution finding that the objectives of Subsection (6)(a) have been substantially promoted; orthe municipality has determined that conditions exist that make satisfying a portion or all of the requirements of Subsection (1)(a) for a station area impracticable, including conditions that relate to existing development, entitlements, land ownership, land uses that make opportunities for new development and long-term redevelopment infeasible, environmental limitations, market readiness, development impediment conditions, or other similar conditions; andthe municipality adopts a resolution describing the conditions that exist to make satisfying the requirements of Subsection (1)(a) impracticable.To the extent that previous actions by a municipality do not satisfy the requirements of Subsection (1)(a) for a station area, the municipality shall take the actions necessary to satisfy those requirements.
(2) A municipality that has a new fixed guideway public transit station located within the municipality’s boundaries shall satisfy the requirements of Subsection (1)(a) for the station area surrounding the new fixed guideway public transit station before the new fixed guideway public transit station begins transit services.Except as provided in Subsections (2)(c) and (d), a municipality that has an existing fixed guideway public transit station located within the municipality’s boundaries shall satisfy the requirements of Subsection (1)(a) for the station area surrounding the existing fixed guideway public transit station on or before December 31, 2025.If a municipality has more than four existing fixed guideway public transit stations located within the municipality’s boundaries, the municipality shall:on or before December 31, 2025, satisfy the requirements of Subsection (1)(a) for four or more station areas located within the municipality; andon or before December 31 of each year thereafter, satisfy the requirements of Subsection (1)(a) for no less than two station areas located within the municipality until the municipality has satisfied the requirements of Subsection (1)(a) for each station area located within the municipality.Subject to Subsection (2)(d)(ii):if a municipality receives a complete qualifying land use petition on or before July 1, 2022, the municipality shall satisfy the requirements of Subsection (1)(a) for the station area in which the development is proposed on or before July 1, 2023; andif a municipality receives a complete qualifying land use petition after July 1, 2022, the municipality shall satisfy the requirements of Subsection (1)(a) for the station area in which the development is proposed within a 12-month period beginning on the first day of the month immediately following the month in which the qualifying land use petition is submitted to the municipality, and shall notify the applicable metropolitan planning organization of the receipt of the qualified land use petition within 45 days of the date of receipt.A municipality is not required to satisfy the requirements of Subsection (1)(a) for more than two station areas under Subsection (2)(d)(i) within any 12-month period.If a municipality receives more than two complete qualifying land use petitions on or before July 1, 2022, the municipality shall select two station areas for which the municipality will satisfy the requirements of Subsection (1)(a) in accordance with Subsection (2)(d)(i)(A).A municipality shall process on a first priority basis a land use application, including an application for a building permit, if:the land use application is for a residential use within a station area for which the municipality has not satisfied the requirements of Subsection (1)(a); andthe municipality would be required to change a zoning designation for the land use application to be approved.Notwithstanding Subsections (2)(a) through (d), the time period for satisfying the requirements of Subsection (1)(a) for a station area may be extended once for a period of 12 months if:the municipality demonstrates to the applicable metropolitan planning organization that conditions exist that make satisfying the requirements of Subsection (1)(a) within the required time period infeasible, despite the municipality’s good faith efforts; andthe applicable metropolitan planning organization certifies to the municipality in writing that the municipality satisfied the demonstration in Subsection (2)(e)(i).
(3) Except as provided in Subsection (3)(b), if a station area is included within the boundaries of more than one municipality, each municipality with jurisdiction over the station area shall satisfy the requirements of Subsection (1)(a) for the portion of the station area over which the municipality has jurisdiction.Two or more municipalities with jurisdiction over a station area may coordinate to develop a shared station area plan for the entire station area.
(4) A municipality that has more than one fixed guideway public transit station located within the municipality may, through an integrated process, develop station area plans for multiple station areas if the station areas are within close proximity of each other.
(5) A municipality that is required to develop and adopt a station area plan under this section may request technical assistance from the applicable metropolitan planning organization.An applicable metropolitan planning organization that receives funds from the Governor’s Office of Economic Opportunity under Section 63N-3-113 shall, when utilizing the funds, give priority consideration to requests for technical assistance for station area plans required under Subsection (2)(d).
(6) A station area plan shall promote the following objectives within the station area:increasing the availability and affordability of housing, including moderate income housing;promoting sustainable environmental conditions;enhancing access to opportunities; andincreasing transportation choices and connections.To promote the objective described in Subsection (6)(a)(i), a municipality may consider implementing the following actions:aligning the station area plan with the moderate income housing element of the municipality’s general plan;providing for densities necessary to facilitate the development of moderate income housing;providing for affordable costs of living in connection with housing, transportation, and parking; orany other similar action that promotes the objective described in Subsection (6)(a)(i).To promote the objective described in Subsection (6)(a)(ii), a municipality may consider implementing the following actions:conserving water resources through efficient land use;improving air quality by reducing fuel consumption and motor vehicle trips;establishing parks, open spaces, and recreational opportunities; orany other similar action that promotes the objective described in Subsection (6)(a)(ii).To promote the objective described in Subsection (6)(a)(iii), a municipality may consider the following actions:maintaining and improving the connections between housing, transit, employment, education, recreation, and commerce;encouraging mixed-use development;enabling employment and educational opportunities within the station area;encouraging and promoting enhanced broadband connectivity; orany other similar action that promotes the objective described in Subsection (6)(a)(iii).To promote the objective described in Subsection (6)(a)(iv), a municipality may consider the following:supporting investment in infrastructure for all modes of transportation;increasing utilization of public transit;encouraging safe streets through the designation of pedestrian walkways and bicycle lanes;encouraging manageable and reliable traffic conditions;aligning the station area plan with the regional transportation plan of the applicable metropolitan planning organization; orany other similar action that promotes the objective described in Subsection (6)(a)(iv).
(7) A station area plan shall include the following components:a station area vision that:is consistent with Subsection (6); anddescribes the following:opportunities for the development of land within the station area under existing conditions;constraints on the development of land within the station area under existing conditions;the municipality’s objectives for the transportation system within the station area and the future transportation system that meets those objectives;the municipality’s objectives for land uses within the station area and the future land uses that meet those objectives;the municipality’s objectives for public and open spaces within the station area and the future public and open spaces that meet those objectives; andthe municipality’s objectives for the development of land within the station area and the future development standards that meet those objectives;a map that depicts:the station area;the area within the station area to which the station area plan applies, provided that the station area plan may apply to areas outside the station area, and the station area plan is not required to apply to the entire station area; andthe area where each action is needed to implement the station area plan;an implementation plan that identifies and describes each action needed within the next five years to implement the station area plan, and the party responsible for taking each action, including any actions to:modify land use regulations;make infrastructure improvements;modify deeds or other relevant legal documents;secure funding or develop funding strategies;establish design standards for development within the station area; orprovide environmental remediation;a statement that explains how the station area plan promotes the objectives described in Subsection (6)(a); andas an alternative or supplement to the requirements of Subsection (6) or this Subsection (7), and for purposes of Subsection (1)(b)(ii), a statement that describes any conditions that would make the following impracticable:promoting the objectives described in Subsection (6)(a); orsatisfying the requirements of this Subsection (7).
(8) A municipality shall develop a station area plan with the involvement of all relevant stakeholders that have an interest in the station area through public outreach and community engagement, including:other impacted communities;the applicable public transit district;the applicable metropolitan planning organization;the Department of Transportation;owners of property within the station area; andthe municipality’s residents and business owners.
(9) A municipality that is required to develop and adopt a station area plan for a station area under this section shall submit to the applicable metropolitan planning organization and the applicable public transit district documentation evidencing that the municipality has satisfied the requirement of Subsection (1)(a)(i) for the station area, including:a station area plan; ora resolution adopted under Subsection (1)(b)(i) or (ii).The applicable metropolitan planning organization, in consultation with the applicable public transit district, shall:review the documentation submitted under Subsection (9)(a) to determine the municipality’s compliance with this section; andprovide written certification to the municipality if the applicable metropolitan planning organization determines that the municipality has satisfied the requirement of Subsection (1)(a)(i) for the station area.The municipality shall include the certification described in Subsection (9)(b)(ii) in the municipality’s report to the Department of Workforce Services under Section 10-21-202.
(10) Following certification by a metropolitan planning organization of a municipality’s station area plan under Subsection (9)(b)(ii), the municipality shall provide a report to the applicable metropolitan planning organization on or before December 31 of the fifth year after the year in which the station area plan was certified, and every five years thereafter for a period not to exceed 15 years.The report described in Subsection (10)(a) shall:contain the status of advancing the station area plan objectives, including, if applicable, actions described in the implementation plan required in Subsection (7)(c); andidentify potential actions over the next five years that would advance the station area plan objectives.If a municipality has multiple certified station area plans, the municipality may consolidate the reports required in Subsection (10)(a) for the purpose of submitting reports to the metropolitan planning organization.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
Provisions Unique to Residential Zones and Residential Units
10-21-301 - Moderate income housing.
(1) A municipality may only require the development of a certain number of moderate income housing units as a condition of approval of a land use application if:the municipality and the applicant enter into a written agreement regarding the number of moderate income housing units;the municipality provides incentives for an applicant who agrees to include moderate income housing units in a development; orthe municipality offers or approves, and an applicant accepts, an incentive described in Section 10-21-401 or 10-21-402.
(2) If an applicant does not agree to participate in the development of moderate income housing units under Subsection (1)(a) or (b), a municipality may not take into consideration the applicant’s decision in the municipality’s determination of whether to approve or deny a land use application.
(3) Notwithstanding Subsections (1) and (2), a municipality that imposes a resort community sales and use tax as described in Section 59-12-401, may require the development of a certain number of moderate income housing units as a condition of approval of a land use application if the requirement is in accordance with an ordinance enacted by the municipality before January 1, 2022.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
10-21-302 - Manufactured homes.
(1) For purposes of this section, a manufactured home is the same as defined in Section 15A-1-302, except that the manufactured home shall be attached to a permanent foundation in accordance with plans providing for vertical loads, uplift, and lateral forces and frost protection in compliance with the applicable building code.All appendages, including carports, garages, storage buildings, additions, or alterations shall be built in compliance with the applicable building code.
(2) A manufactured home may not be excluded from any land use zone or area in which a single-family residence would be permitted, provided the manufactured home complies with all local land use ordinances, building codes, and any restrictive covenants, applicable to a single family residence within that zone or area.
(3) A municipality may not:adopt or enforce an ordinance or regulation that treats a proposed development that includes manufactured homes differently than one that does not include manufactured homes; orreject a development plan based on the fact that the development is expected to contain manufactured homes.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
10-21-303 - Internal accessory dwelling units.
(1) In any area zoned primarily for residential use:the use of an internal accessory dwelling unit is a permitted use;except as provided in Subsections (2) and (3), a municipality may not establish any restrictions or requirements for the construction or use of one internal accessory dwelling unit within a primary dwelling, including a restriction or requirement governing:the size of the internal accessory dwelling unit in relation to the primary dwelling;total lot size;street frontage; orinternal connectivity; anda municipality’s regulation of architectural elements for internal accessory dwelling units shall be consistent with the regulation of single-family units, including single-family units located in historic districts.
(2) An internal accessory dwelling unit shall comply with all applicable building, health, and fire codes.
(3) A municipality may:prohibit the installation of a separate utility meter for an internal accessory dwelling unit;require that an internal accessory dwelling unit be designed in a manner that does not change the appearance of the primary dwelling as a single-family dwelling;require a primary dwelling:regardless of whether the primary dwelling is existing or new construction, to include one additional on-site parking space for an internal accessory dwelling unit, in addition to the parking spaces required under the municipality’s land use regulation, except that if the municipality’s land use ordinance requires four off-street parking spaces, the municipality may not require the additional space contemplated under this Subsection (3)(c)(i); andto replace any parking spaces contained within a garage or carport if an internal accessory dwelling unit is created within the garage or carport and is a habitable space;prohibit the creation of an internal accessory dwelling unit within a mobile home as defined in Section 57-16-3;require the owner of a primary dwelling to obtain a permit or license for renting an internal accessory dwelling unit;prohibit the creation of an internal accessory dwelling unit within a zoning district covering an area that is equivalent to:25% or less of the total area in the municipality that is zoned primarily for residential use, except that the municipality may not prohibit newly constructed internal accessory dwelling units that:have a final plat approval dated on or after October 1, 2021; andcomply with applicable land use regulations; or67% or less of the total area in the municipality that is zoned primarily for residential use, if the main campus of a state or private university with a student population of 10,000 or more is located within the municipality;prohibit the creation of an internal accessory dwelling unit if the primary dwelling is served by a failing septic tank;prohibit the creation of an internal accessory dwelling unit if the lot containing the primary dwelling is 6,000 square feet or less in size;prohibit the rental or offering the rental of an internal accessory dwelling unit for a period of less than 30 consecutive days;prohibit the rental of an internal accessory dwelling unit if the internal accessory dwelling unit is located in a dwelling that is not occupied as the owner’s primary residence;hold a lien against a property that contains an internal accessory dwelling unit in accordance with Subsection (4); andrecord a notice for an internal accessory dwelling unit in accordance with Subsection (5).
(4) In addition to any other legal or equitable remedies available to a municipality, a municipality may hold a lien against a property that contains an internal accessory dwelling unit if:the owner of the property violates any of the provisions of this section or any ordinance adopted under Subsection (3);the municipality provides a written notice of violation in accordance with Subsection (4)(b);the municipality holds a hearing and determines that the violation has occurred in accordance with Subsection (4)(d), if the owner files a written objection in accordance with Subsection (4)(b)(iv);the owner fails to cure the violation within the time period prescribed in the written notice of violation under Subsection (4)(b);the municipality provides a written notice of lien in accordance with Subsection (4)(c); andthe municipality records a copy of the written notice of lien described in Subsection (4)(a)(v) with the county recorder of the county in which the property is located.The written notice of violation shall:describe the specific violation;provide the owner of the internal accessory dwelling unit a reasonable opportunity to cure the violation that is:no less than 14 days after the day on which the municipality sends the written notice of violation, if the violation results from the owner renting or offering to rent the internal accessory dwelling unit for a period of less than 30 consecutive days; orno less than 30 days after the day on which the municipality sends the written notice of violation, for any other violation;state that if the owner of the property fails to cure the violation within the time period described in Subsection (4)(b)(ii), the municipality may hold a lien against the property in an amount of up to 100 for each day of violation after the day on which the opportunity to cure the violation expires;be mailed to:the property’s owner of record; andany other individual designated to receive notice in the owner’s license or permit records; andbe posted on the property.If an owner of property files a written objection in accordance with Subsection (4)(b)(iv), the municipality shall:hold a hearing in accordance with Title 52, Chapter 4, Open and Public Meetings Act, to conduct a review and determine whether the specific violation described in the written notice of violation under Subsection (4)(b) has occurred; andnotify the owner in writing of the date, time, and location of the hearing described in Subsection (4)(d)(i)(A) no less than 14 days before the day on which the hearing is held.If an owner of property files a written objection under Subsection (4)(b)(iv), a municipality may not record a lien under this Subsection (4) until the municipality holds a hearing and determines that the specific violation has occurred.If the municipality determines at the hearing that the specific violation has occurred, the municipality may impose a lien in an amount of up to $100 for each day of violation after the day on which the opportunity to cure the violation expires, regardless of whether the hearing is held after the day on which the opportunity to cure the violation has expired.If an owner cures a violation within the time period prescribed in the written notice of violation under Subsection (4)(b), the municipality may not hold a lien against the property, or impose any penalty or fee on the owner, in relation to the specific violation described in the written notice of violation under Subsection (4)(b).
(5) A municipality that issues, on or after October 1, 2021, a permit or license to an owner of a primary dwelling to rent an internal accessory dwelling unit, or a building permit to an owner of a primary dwelling to create an internal accessory dwelling unit, may record a notice in the office of the recorder of the county in which the primary dwelling is located.The notice described in Subsection (5)(a) shall include:a description of the primary dwelling;a statement that the primary dwelling contains an internal accessory dwelling unit; anda statement that the internal accessory dwelling unit may only be used in accordance with the municipality’s land use regulations.The municipality shall, upon recording the notice described in Subsection (5)(a), deliver a copy of the notice to the owner of the internal accessory dwelling unit.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
Optional Tools for Municipalities to Promote Housing Supply
10-21-401 - Affordable home ownership density bonus for single-family residential units.
(1) As used in this section:“Affordable housing” means a dwelling:offered for sale to an owner-occupier at a purchase price affordable to a household with a gross income of no more than 120% of area median income for the county in which the residential unit is offered for sale; oroffered for rent at a rental price affordable to a household with a gross income of no more than 80% of area median income for the county in which the residential unit is offered for rent.”Owner-occupier” means an individual who owns, solely or jointly, a housing unit in which the individual lives as the individual’s primary residence.”Qualifying affordable home ownership single-family density bonus” means:for an area with an underlying zoning density of less than six residential units per acre, municipal approval of a density at least six residential units per acre; orfor an area with an underlying zoning density of six residential units per acre or more, municipal approval of a density at least 0.5 residential units per acre greater than the underlying zoning density for the area.
(2) If a municipality approves a qualifying affordable home ownership single-family density bonus, either through a zoning ordinance or a development agreement, the municipality may adopt requirements for the qualifying affordable home ownership single-family density bonus area to ensure:at least 60% of the total single-family residential units be deed-restricted to owner-occupancy for at least five years;at least 25% of the total single-family residential units qualify as affordable housing;at least 25% of the single-family residential units per acre to be no larger than 1,600 square feet; orthe applicant creates a preferential qualifying buyer program in which a single-family residential unit is initially offered for sale, for up to 30 days, to a category of preferred qualifying buyers established by the municipality, in accordance with provisions of the Fair Housing Act, 42 U.S.C. Sec. 3601.
(3) A municipality may offer additional incentives in a qualifying affordable home ownership single-family density bonus area approved for single-family residential units to promote owner-occupied, affordable housing.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
10-21-402 - Affordable home ownership density bonus for multi-family residential units.
(1) As used in this section:“Affordable housing” means the same as that term is defined in Section 10-21-401.”Owner-occupier” means the same as that term is defined in Section 10-21-401.”Qualifying affordable home ownership multi-family density bonus” means municipal approval of a density of at least 20 residential units per acre.
(2) If a municipality approves a qualifying affordable home ownership multi-family density bonus, either through a zoning ordinance or a development agreement, the municipality may adopt requirements for the qualifying affordable home ownership multi-family density bonus area to ensure:at least 20% more residential units per acre than are otherwise allowed in the area;at least 60% of the total units in the multi-family residential building be deed-restricted to owner-occupancy for at least five years;at least 25% of the total units in the multi-family residential building qualify as affordable housing;at least 25% of the total units in a multi-family residential building to be no larger than 1,600 square feet; orthe applicant creates a preferential qualifying buyer program in which a unit in a multi-family residential building is initially offered for sale, for up to 30 days, to a category of preferred qualifying buyers established by the municipality, in accordance with provisions of the Fair Housing Act, 42 U.S.C. Sec. 3601.
(3) A municipality may offer additional incentives in a qualifying affordable home ownership multi-family density bonus area for multi-family residential units to promote owner-occupied, affordable housing.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
Home Ownership Promotion Zone for Municipalities
10-21-501 - Municipal designation of a home ownership promotion zone.
(1) Subject to the requirements of Sections 10-21-502 and 10-21-503, a municipality may create a home ownership promotion zone as described in this section.
(2) A home ownership promotion zone created under this section:is an area of 10 contiguous acres or less located entirely within the boundaries of the municipality, zoned for fewer than six housing units per acre before the creation of the home ownership promotion zone;shall be re-zoned for at least six housing units per acre; andmay not be encumbered by any residential building permits as of the day on which the home ownership promotion zone is created.
(3) The municipality shall designate the home ownership promotion zone by resolution of the legislative body of the municipality, passed or adopted in a public meeting of the legislative body of the municipality, following:the recommendation of the municipality planning commission; andthe notification requirements described in Section 10-21-503.The resolution described in Subsection (3)(a) shall describe how the home ownership promotion zone created in accordance with this section meets the objectives and requirements in Section 10-21-502.The home ownership promotion zone is created on the effective date of the resolution described in Subsection (3)(a).
(4) If a home ownership promotion zone is created as described in this section:affected local taxing entities are required to participate according to the requirements of the home ownership promotion zone established by the municipality; andeach affected taxing entity is required to participate at the same rate.
(5) A home ownership promotion zone may be modified by the same manner it is created as described in Subsection (3).
(6) Within 30 days after the day on which the municipality creates the home ownership promotion zone as described in Subsection (3), the municipality shall:record with the recorder of the county in which the home ownership promotion zone is located a document containing:a description of the land within the home ownership promotion zone; andthe date of creation of the home ownership promotion zone;transmit a copy of the description of the land within the home ownership promotion zone and an accurate map or plat indicating the boundaries of the home ownership promotion zone to the Utah Geospatial Resource Center created under Section 63A-16-505; andtransmit a map and description of the land within the home ownership promotion zone to:the auditor, recorder, attorney, surveyor, and assessor of the county in which any part of the home ownership promotion zone is located;the officer or officers performing the function of auditor or assessor for each taxing entity that does not use the county assessment roll or collect the taxing entity’s taxes through the county;the legislative body or governing board of each taxing entity impacted by the home ownership promotion zone;the tax commission; andthe State Board of Education.
(7) A municipality may receive tax increment and use home ownership promotion zone funds as described in Section 10-21-504.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
10-21-502 - Applicability, requirements, and limitations.
(1) A home ownership promotion zone shall promote the following objectives:increasing availability of housing, including affordable housing;promotion of home ownership;overcoming development impediments and market conditions that render an affordable housing development cost prohibitive absent the incentives resulting from a home ownership promotion zone; andconservation of water resources through efficient land use.
(2) In order to accomplish the objectives described in Subsection (1), a municipality shall ensure that:land inside the proposed home ownership promotion zone is zoned as residential, with at least six planned housing units per acre;at least 60% of the proposed housing units within the home ownership promotion zone are affordable housing units; andall of the proposed housing units within the home ownership promotion zone are deed restricted to require owner occupation for at least five years.
(3) A municipality may restrict short term rentals in a home ownership promotion zone.
(4) A municipality may not create a home ownership promotion zone if:the proposed home ownership promotion zone would overlap with a school district and:the school district has more than one municipality within the school district’s boundaries; andthe school district already has 100 acres designated as home ownership promotion zone within the school district’s boundaries; orthe school district has one municipality within the school district’s boundaries; andthe school district already has 50 acres designated as home ownership promotion zone within the school district’s boundaries; orthe area in the proposed home ownership zone would overlap with:a project area, as that term is defined in Section 17C-1-102, and created under Title 17C, Chapter 1, Agency Operations, until the project area is dissolved in accordance with Section 17C-1-702; oran existing housing and transit reinvestment zone.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
10-21-503 - Notification before creation of a home ownership promotion zone.
(1) As used in this section, “hearing” means a public meeting in which the legislative body of a municipality:considers a resolution creating a home ownership promotion zone; andtakes public comment on a proposed home ownership promotion zone.A hearing under this section may be combined with any other public meeting of a legislative body of a municipality.
(2) Before a municipality creates a home ownership promotion zone as described in Section 10-21-501, the municipality shall provide notice of a hearing as described in this section.
(3) The notice required by Subsection (2) shall be given by:publishing notice for the municipality, as a class A notice under Section 63G-30-102, for at least 14 days before the day on which the legislative body of the municipality intends to have a hearing;at least 30 days before the hearing, mailing notice to:each record owner of property located within the proposed home ownership promotion zone;the State Tax Commission;the assessor and auditor of the county in which the proposed home ownership promotion zone is located; andif the proposed home ownership promotion zone is subject to a taxing entity committee, each member of the taxing entity committee and the State Board of Education; orif the proposed home ownership promotion zone is not subject to a taxing entity committee, the legislative body or governing board of each taxing entity within the boundaries of the proposed home ownership promotion zone.
(4) The mailing of the notice to record property owners required under Subsection (3)(b) shall be conclusively considered to have been properly completed if:the agency mails the notice to the property owners as shown in the records, including an electronic database, of the county recorder’s office and at the addresses shown in those records; andthe county recorder’s office records used by the agency in identifying owners to whom the notice is mailed and their addresses were obtained or accessed from the county recorder’s office no earlier than 30 days before the mailing.
(5) The municipality shall include in each notice required under this section:a boundary description of the proposed home ownership promotion zone; ora mailing address or telephone number where a person may request that a copy of the boundary description of the proposed home ownership promotion zone be sent at no cost to the person by mail, email, or facsimile transmission; andif the agency or community has an Internet website, an Internet address where a person may gain access to an electronic, printable copy of the boundary description of the proposed home ownership promotion zone;a map of the boundaries of the proposed home ownership promotion zone;an explanation of the purpose of the hearing; anda statement of the date, time, and location of the hearing.
(6) The municipality shall include in each notice under Subsection (3)(b):a statement that property tax revenue resulting from an increase in valuation of property within the proposed home ownership promotion zone will be paid to the municipality for proposed home ownership promotion zone development rather than to the taxing entity to which the tax revenue would otherwise have been paid; andan invitation to the recipient of the notice to submit to the municipality comments concerning the subject matter of the hearing before the date of the hearing.
(7) A municipality may include in a notice under Subsection (2) any other information the municipality considers necessary or advisable, including the public purpose achieved by the proposed home ownership promotion zone.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
10-21-504 - Payment, use, and administration of revenue from a home ownership promotion zone.
(1) A municipality may receive tax increment and use home ownership promotion zone funds in accordance with this section.The maximum amount of time that a municipality may receive and use tax increment in accordance with a home ownership promotion zone is 15 consecutive years.
(2) A county that collects property tax on property located within a home ownership promotion zone shall, in accordance with Section 59-2-1365, distribute 60% of the tax increment collected from property within the home ownership promotion zone to the municipality over the home ownership promotion zone to be used as described in this section.
(3) Tax increment distributed to a municipality in accordance with Subsection (2) is not revenue of the taxing entity or municipality, but home ownership promotion zone funds.Home ownership promotion zone funds may be administered by an agency created by the municipality within which the home ownership promotion zone is located.Before an agency may receive home ownership promotion zone funds from a municipality, the agency shall enter into an interlocal agreement with the municipality.
(4) A municipality or agency shall use home ownership promotion zone funds within, or for the direct benefit of, the home ownership promotion zone.If any home ownership promotion zone funds will be used outside of the home ownership promotion zone, the legislative body of the municipality shall make a finding that the use of the home ownership promotion zone funds outside of the home ownership promotion zone will directly benefit the home ownership promotion zone.
(5) A municipality or agency shall use home ownership promotion zone funds to achieve the purposes described in Section 10-21-502 by paying all or part of the costs of any of the following:project improvement costs;systems improvement costs;water exaction costs;street lighting costs;environmental remediation costs; orthe costs of the municipality or agency to create and administer the home ownership promotion zone, which may not exceed 3% of the total home ownership promotion zone funds.
(6) Home ownership promotion zone funds may be paid to a participant, if the municipality and participant enter into a participation agreement which requires the participant to utilize the home ownership promotion zone funds as allowed in this section.
(7) Home ownership promotion zone funds may be used to pay all of the costs of bonds issued by the municipality in accordance with Title 17C, Chapter 1, Part 5, Agency Bonds, including the cost to issue and repay the bonds including interest.
(8) A municipality may:create one or more public infrastructure districts within a home ownership promotion zone under Title 17D, Chapter 4, Public Infrastructure District Act; andpledge and utilize the home ownership promotion zone funds to guarantee the payment of public infrastructure bonds issued by a public infrastructure district.
Renumbered and Amended by Chapter 15, 2025 Special Session 1
Other Housing Supply Tools
10-21-601 - Reserved.
Enacted by Chapter 15, 2025 Special Session 1