72-2 - Transportation Finances Act
Title 72 > 72-2
Sections (56)
Transportation Fund and Highway Finances
72-2-101 - Title.
This chapter is known as the “Transportation Finances Act.”
Enacted by Chapter 270, 1998 General Session
72-2-102 - Transportation Fund.
(1) There is created a fund entitled the “Transportation Fund.”
(2) Transportation Fund money shall be used exclusively for highway purposes as provided in this title.
Enacted by Chapter 270, 1998 General Session
72-2-103 - Limitations on Transportation Fund appropriations to agencies not a part of the Department of Transportation — Exceptions.
(1) Except as provided under Subsection (2), the amount appropriated or transferred from the Transportation Fund each year may not exceed a combined total of $11,600,000 to: the Department of Public Safety;the State Tax Commission;the Division of Finance; andany other state agency that is not a part of the Department of Transportation.
(2) The following amounts are exempt from the appropriation and transfer limitations of Subsection (1): amounts deposited in the Department of Public Safety Restricted Account created under Section 53-3-106;revenue generated by the uninsured motorist identification fee under Section 41-1a-1218;revenue generated by the motor carrier fee under Section 41-1a-1219; andrevenue generated by the Motorcycle Rider Education Program under Section 53-3-905.
Amended by Chapter 96, 2017 General Session
72-2-104 - Budget.
(1) The department shall prepare and submit to the governor, to be included in the governor’s budget to be submitted to the Legislature, a budget of the requirements for the operation of the department for the fiscal year following the convening of the Legislature.
(2) This budget shall be so separated, in relation to the various functions of the department, so as to allow the separate determination of funds for deposit into the Transportation Fund and into any other special funds which are required by law to be utilized for specific purposes and which are separately maintained by the department for those purposes.
Amended by Chapter 302, 2025 General Session
72-2-105 - Budgetary accounts within Transportation Fund — Disposition of unexpended balances.
(1) The amount designated by the Legislature, out of which the items budgeted shall be paid, shall be established in appropriation and allotment accounts within the Transportation Fund.
(2) At the close of the biennium all unexpended balances remaining in the accounts so budgeted shall be closed to the fund balance account of the Transportation Fund.
Renumbered and Amended by Chapter 270, 1998 General Session
72-2-106 - Appropriation and transfers from Transportation Fund.
7/1/2026
(1) On and after July 1, 1981, there is appropriated from the Transportation Fund to the use of the department an amount equal to two-elevenths of the taxes collected from the motor fuel tax and the special fuel tax, exclusive of the formula amount appropriated for class B and class C roads, to be used for highway rehabilitation.
(2) For a fiscal year beginning on or after July 1, 2019, the Division of Finance shall annually transfer to the Transportation Investment Fund of 2005 created by Section 72-2-124 an amount that is equal to 35% of the amount of revenue generated in the current fiscal year by the portion of the tax imposed on motor and special fuel that is sold, used, or received for sale or use in this state that exceeds 29.4 cents per gallon.
(3) For purposes of the calculation described in Subsection 59-12-103(7)(c), the Division of Finance shall notify the State Tax Commission of the amount of any transfer made under Subsection (2).
Amended by Chapter 452, 2025 General Session
72-2-106 - Appropriation and transfers from Transportation Fund.
7/1/2026
(1) On and after July 1, 1981, there is appropriated from the Transportation Fund to the use of the department an amount equal to two-elevenths of the taxes collected from the motor fuel tax and the special fuel tax, exclusive of the formula amount appropriated for class B and class C roads, to be used for highway rehabilitation.
(2) For a fiscal year beginning on or after July 1, 2019, the Division of Finance shall annually transfer to the Transportation Investment Fund of 2005 created by Section 72-2-124 an amount that is equal to 35% of the amount of revenue generated in the current fiscal year by the portion of the tax imposed on motor and special fuel that is sold, used, or received for sale or use in this state that exceeds 29.4 cents per gallon.
Amended by Chapter 285, 2025 General Session
72-2-107 - Appropriation from Transportation Fund — Apportionment for class B and class C roads.
(1) There is appropriated to the department from the Transportation Fund annually an amount equal to 30% of an amount which the director of finance shall compute in the following manner: The total revenue deposited into the Transportation Fund during the fiscal year from state highway-user taxes and fees, minus those amounts appropriated or transferred from the Transportation Fund during the same fiscal year to: the Department of Public Safety;the State Tax Commission;the Division of Finance;the Utah Travel Council;except as provided in Section 72-1-213.2, the road usage charge program created in Section 72-1-213.1; andany other amounts appropriated or transferred for any other state agencies not a part of the department.
(2) Except as provided in Subsections (2)(b) and (c), all of the money appropriated in Subsection (1) shall be apportioned among counties and municipalities for class B and class C roads as provided in this title.The department shall annually transfer $500,000 of the amount calculated under Subsection (1) to the State Park Access Highways Improvement Program created in Section 72-3-207.Administrative costs of the department to administer class B and class C roads shall be paid from funds calculated under Subsection (1).
(3) Each quarter of every year the department shall make the necessary accounting entries to transfer the money appropriated under this section for class B and class C roads.
(4) The funds appropriated for class B and class C roads shall be expended under the direction of the department as the Legislature shall provide.
Amended by Chapter 22, 2023 General Session
72-2-108 - Apportionment of funds available for use on class B and class C roads — Bonds.
(1) For purposes of this section:“Eligible county” means a county of the fifth class, as classified under Section 17-60-104, that received a distribution for fiscal year 2015 that was reapportioned to include money in addition to the amount calculated under Subsection (2), and the portion of the distribution derived from the calculation under Subsection (2) was less than 60% of the total distribution.”Graveled road” means a road:that is:graded; anddrained by transverse drainage systems to prevent serious impairment of the road by surface water;that has an improved surface; andthat has a wearing surface made of:gravel;broken stone;slag;iron ore;shale; orother material that is:similar to a material described in Subsection (1)(b)(iii)(A) through (E); andcoarser than sand.”Paved road” includes:a graveled road with a chip seal surface; anda circulator alley.”Road mile” means a one-mile length of road, regardless of:the width of the road; orthe number of lanes into which the road is divided.”Weighted mileage” means the sum of the following:paved road miles multiplied by five; andall other road type road miles multiplied by two.
(2) Subject to the provisions of Subsections (2)(b) and (3) through (7), funds appropriated for class B and class C roads shall be apportioned among counties and municipalities in the following manner:50% in the ratio that the class B roads weighted mileage within each county and class C roads weighted mileage within each municipality bear to the total class B and class C roads weighted mileage within the state; and50% in the ratio that the population of a county or municipality bears to the total population of the state.To the extent not otherwise required by federal law, population shall be based on:the most recent estimate from the Utah Population Committee created in Section 63C-20-103; orif the Utah Population Committee estimate is not available for each municipality and unincorporated area, the adjusted sub-county population estimate provided by the Utah Population Committee in accordance with Section 63C-20-104.
(3) For purposes of Subsection (2)(b), “the population of a county” means:the population of a county outside the corporate limits of municipalities in that county, if the population of the county outside the corporate limits of municipalities in that county is not less than 14% of the total population of that county, including municipalities; andif the population of a county outside the corporate limits of municipalities in the county is less than 14% of the total population:the aggregate percentage of the population apportioned to municipalities in that county shall be reduced by an amount equal to the difference between:14%; andthe actual percentage of population outside the corporate limits of municipalities in that county; andthe population apportioned to the county shall be 14% of the total population of that county, including incorporated municipalities.
(4) For an eligible county, the department shall reapportion the funds under Subsection (2) to ensure that the county or municipality receives, for a fiscal year beginning on or after July 1, 2018, an amount equal to the greater of:the amount apportioned to the county or municipality for class B and class C roads in the current fiscal year under Subsection (2); orthe amount apportioned to the county or municipality for class B and class C roads through the apportionment formula under Subsection (2) or this Subsection (4) in the prior fiscal year; plusthe amount calculated as described in Subsection (6).
(5) The department shall decrease proportionately as provided in Subsection (5)(b) the apportionments to counties and municipalities for which the reapportionment under Subsection (4) does not apply.The aggregate amount of the funds that the department shall decrease proportionately from the apportionments under Subsection (5)(a) is an amount equal to the aggregate amount reapportioned to counties and municipalities under Subsection (4).
(6) In addition to the apportionment adjustments made under Subsection (4), a county or municipality that qualifies for reapportioned money under Subsection (4) shall receive an amount equal to the amount apportioned to the eligible county or municipality under Subsection (4) for class B and class C roads in the prior fiscal year multiplied by the percentage increase or decrease in the total funds available for class B and class C roads between the prior fiscal year and the fiscal year that immediately preceded the prior fiscal year.The adjustment under Subsection (6)(a) shall be made in the same way as provided in Subsections (5)(a) and (b).
(7) If a county or municipality does not qualify for a reapportionment under Subsection (4) in the current fiscal year but previously qualified for a reapportionment under Subsection (4) on or after July 1, 2017, the county or municipality shall receive an amount equal to the greater of:the amount apportioned to the county or municipality for class B and class C roads in the current fiscal year under Subsection (2); orthe amount apportioned to the county or municipality for class B and class C roads in the prior fiscal year.The adjustment under Subsection (7)(a) shall be made in the same way as provided in Subsections (5)(a) and (b).
(8) The governing body of any municipality or county may issue bonds redeemable up to a period of 10 years under Title 11, Chapter 14, Local Government Bonding Act, to pay the costs of constructing, repairing, and maintaining class B or class C roads and may pledge class B or class C road funds received pursuant to this section to pay principal, interest, premiums, and reserves for the bonds.
Amended by Chapter 17, 2025 Special Session 1
72-2-109 - Rules for uniform accounting — Apportionment and use of class B and class C road funds — Compliance with federal-aid provisions — Duties of department.
(1) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the department shall make rules providing for uniform accounting of funds to be expended upon class B and C roads as required by the federal government under Title 23, United States Code Annotated, relating to federal aid for highway purposes together with all amendatory acts.
(2) The department shall cooperate with the county governing bodies and the governing officials of the cities and towns in the apportionment and use of class B and C road funds.
Amended by Chapter 382, 2008 General Session
72-2-110 - Funds allocated to class B and class C roads — Matching federal funds — R.S. 2477 rights.
A county or municipality may:
(1) use funds which are allocated to class B and class C roads for matching federal funds for the construction of secondary roads now available or which may later become available in accordance with the provisions of law; and
(2) use up to 30% of the class B and class C road funds allocated to the county or municipality to: pay the costs of asserting, defending, or litigating local government rights under R.S. 2477 on class B, class C, or class D roads; ormaintain class D roads.
Amended by Chapter 8, 2018 Special Session 2
72-2-111 - Assent to federal acts on federal aid for highway purposes — Department to represent state — Pledge of funds — Rulemaking authority — Contracts for energy conservation.
(1) The Legislature assents to all the provisions of Title 23, Highways, U.S.C., relating to federal aid for highway purposes, and all amendatory acts.The department may:enter into a contract or agreement with the United States government relating to the survey, construction, and maintenance of highways under a federal act;submit a scheme or program of construction and maintenance required by a federal agency; anddo any other thing necessary to fully carry out the cooperation contemplated and provided for by a federal act.The good faith of the state is pledged to make available sufficient funds to match the sums apportioned to the state by the United States government:for the construction of federal-aid highways; andto provide adequate maintenance for federal-aid highways.
(2) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the department may make rules to encourage car pools and van pools in order to save energy.
(3) The department may contract with individuals, associations, or corporations to accomplish energy conservation and encouragement of car and van pooling.
Amended by Chapter 382, 2008 General Session
72-2-112 - Transportation department authorized to participate in federal program — Prohibition against spending certain transportation funds.
(1) Notwithstanding any law to the contrary, the department is empowered to participate in the deferred payment program authorized by Congress in Public Law 94-30.
(2) Any indebtedness incurred by the department under this section shall be paid from state transportation funds as appropriated.
(3) As used in this Subsection (3):“Apportioned” means divided or assigned among the states based on a prescribed formula established in 23 U.S.C.”Authorization act” means an act of Congress enacted after July 1, 2009 that authorizes transportation programs from the Highway Trust Fund established in 26 U.S.C. Sec. 9503.The state, including any agency, department, or division of the state, may not spend project-specific funds that are allocated through an authorization act for a transportation-related project that is eligible for funds apportioned to the state in support of the statewide transportation improvement program unless the specified project is included on the statewide transportation improvement program.
Amended by Chapter 332, 2009 General Session
72-2-113 - Rulemaking for cost limitations on contracts — Auditing for compliance — Federal accounting and audit standards.
(1) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the department may make rules for determining the allowability of costs included in contracts entered into by the department for engineering and design services. The rules shall comply with the provisions of 23 U.S.C. Section 112.
(2) The department may require a provider of engineering or design services to submit annual audits or to submit to audits to determine compliance with the rules made under Subsection (1). The audits may not be duplicative of federal audits under the Federal Acquisition Regulations System, 48 C.F.R. Part 31.
(3) All engineering and design contracts and subcontracts entered into by the department shall be accounted for and audited in compliance with the Federal Acquisition Regulations System, 48 C.F.R. Part 31.
Amended by Chapter 382, 2008 General Session
72-2-114 - Transfer of money — Debt service.
(1) When there are insufficient appropriations or money available from other legal sources to pay interest on any bond anticipation notes issued under the authority of Title 63B, Chapter 6, Part 3, 1997 Highway Bond Anticipation Note Authorization, the Division of Finance shall inform the department of the amount necessary to pay that interest.
(2) After receiving notice under Subsection (1), the department shall transfer money from any available source other than the Transportation Fund to the Division of Finance for deposit into the Debt Service Fund to pay interest on bond anticipation notes issued under the authority of Title 63B, Chapter 6, Part 3, 1997 Highway Bond Anticipation Note Authorization.
Renumbered and Amended by Chapter 270, 1998 General Session
72-2-115 - Transportation Fund balance — Income — Allocation.
All interest and earnings and other income derived from the Transportation Fund balance shall be credited to the Transportation Fund, including the collector road and B and C road accounts in proportion to the various fund account balances on an average monthly balance basis.
Renumbered and Amended by Chapter 270, 1998 General Session
72-2-116 - Gifts, bequests, and donations part of Transportation Fund — Expenditure.
(1) Gifts, bequests, and donations by individuals, corporations, or societies to the state for road building purposes shall become part of the Transportation Fund, and shall be expended for state highway purposes.
(2) Gifts, bequests, or donations made to any county shall be expended under the direction of the county legislative body.
Renumbered and Amended by Chapter 270, 1998 General Session
72-2-117 - Marda Dillree Corridor Preservation Fund — Distribution — Repayment — Rulemaking.
(1) There is created the Marda Dillree Corridor Preservation Fund within the Transportation Fund.
(2) The fund shall be funded from the following sources:motor vehicle rental tax imposed under Section 59-12-1201;appropriations made to the fund by the Legislature;contributions from other public and private sources for deposit into the fund;interest earnings on cash balances;all money collected for repayments and interest on fund money;all money collected from rents and sales of real property acquired with fund money; andproceeds from general obligation bonds, revenue bonds, or other obligations as authorized by Title 63B, Bonds.
(3) The commission shall authorize the expenditure of fund money to allow the department to acquire real property or any interests in real property for state, county, and municipal transportation corridors subject to:money available in the fund;rules made under Subsection (6); andSubsection (8).Fund money may be used to pay interest on debts incurred in accordance with this section.
(4) Administrative costs for transportation corridor preservation shall be paid from the fund.
(5) The department:may apply to the commission under this section for money from the Marda Dillree Corridor Preservation Fund for a specified transportation corridor project, including for county and municipal projects; andshall repay the fund money authorized for the project to the fund as required under Subsection (6).The department may request and the commission may approve the expenditure of money from the fund to pay the costs of staff and overhead costs to administer the fund.
(6) The commission shall:administer the Marda Dillree Corridor Preservation Fund to:preserve transportation corridors;promote long-term statewide transportation planning;save on acquisition costs; andpromote the best interests of the state in a manner which minimizes impact on prime agricultural land;prioritize fund money based on considerations, including:areas with rapidly expanding population;the willingness of local governments to complete studies and impact statements that meet department standards;the preservation of transportation corridors by the use of local planning and zoning processes;the availability of other public and private matching funds for a project; andthe cost-effectiveness of the preservation projects;designate high priority transportation corridor preservation projects in cooperation with a metropolitan planning organization;administer the program for the purposes provided in this section;prioritize fund money in accordance with this section; andmake rules in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, establishing:the procedures for the awarding of fund money;the procedures for the department to apply for transportation corridor preservation money for projects; andrepayment conditions of the money to the fund from the specified project funds.
(7) The proceeds from any bonds or other obligations secured by revenues of the Marda Dillree Corridor Preservation Fund shall be used for:the acquisition of real property in hardship cases; andany of the purposes authorized for funds in the Marda Dillree Corridor Preservation Fund under this section.The commission shall pledge the necessary part of the revenues of the Marda Dillree Corridor Preservation Fund to the payment of principal of and interest on the bonds or other obligations.
(8) Except for the acquisition of a transportation corridor for a fixed guideway, the department may not apply for money under this section unless the highway authority has an access management policy or ordinance in effect that meets the requirements under Subsection (8)(b).The access management policy or ordinance shall:be for the purpose of balancing the need for reasonable access to land uses with the need to preserve the smooth flow of traffic on the highway system in terms of safety, capacity, and speed; andinclude provisions:limiting the number of conflict points at driveway locations;separating conflict areas;reducing the interference of through traffic;spacing at-grade signalized intersections; andproviding for adequate on-site circulation and storage.The department shall develop a model access management policy or ordinance that meets the requirements of this Subsection (8) for the benefit of a county or municipality under this section.
(9) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the commission shall make rules establishing a transportation corridor preservation advisory council.The transportation corridor preservation advisory council shall:assist with and help coordinate the transportation corridor preservation efforts of the department and local governments;provide recommendations and priorities concerning transportation corridor preservation and the use of fund money to the department and to the commission; andinclude members designated by each metropolitan planning organization in the state to represent local governments that are involved with transportation corridor preservation through official maps and planning.
Amended by Chapter 373, 2025 General Session
72-2-117.5 - Definitions — Local Highway and Transportation Corridor Preservation Fund — Disposition of fund money.
.5(1) As used in this section:“Council of governments” means a decision-making body in each county composed of membership including the county governing body and the mayors of each municipality in the county.”Metropolitan planning organization” has the same meaning as defined in Section 72-1-208.5.
.5(2) There is created the Local Highway and Transportation Corridor Preservation Fund within the Transportation Fund.
.5(3) The fund shall be funded from the following sources:a local option highway construction and transportation corridor preservation fee imposed under Section 41-1a-1222;appropriations made to the fund by the Legislature;contributions from other public and private sources for deposit into the fund;all money collected from rents and sales of real property acquired with fund money;proceeds from general obligation bonds, revenue bonds, or other obligations issued as authorized by Title 63B, Bonds; andsales and use tax revenues deposited into the fund in accordance with Title 59, Chapter 12, Part 22, Local Option Sales and Use Taxes for Transportation Act.
.5(4) The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.The State Tax Commission shall allocate the revenues:provided under Subsection (3)(a) to each county imposing a local option highway construction and transportation corridor preservation fee under Section 41-1a-1222;provided under Subsection 59-12-2217(2) to each county imposing a county option sales and use tax for transportation; andprovided under Subsection (3)(f) to each county of the second class or city or town within a county of the second class that imposes the sales and use tax authorized by Section 59-12-2218.The department shall distribute the funds allocated to each county, city, or town under Subsection (4)(c) to each county, city, or town.The money allocated and distributed under this Subsection (4):shall be used for the purposes provided in this section for each county, city, or town;is allocated to each county, city, or town as provided in this section with the condition that the state will not be charged for any asset purchased with the money allocated and distributed under this Subsection (4), unless there is a written agreement in place with the department prior to the purchase of the asset stipulating a reimbursement by the state to the county, city, or town of no more than the original purchase price paid by the county, city, or town; andis considered a local matching contribution for the purposes described under Section 72-2-123 if used on a state highway.Administrative costs of the department to implement this section shall be paid from the fund.
.5(5) A highway authority may acquire real property or any interests in real property for state, county, and municipal transportation corridors subject to:money available in the fund to each county under Subsection (4); andthe provisions of this section.Fund money may be used to pay interest on debts incurred in accordance with this section.Fund money may be used to pay maintenance costs of properties acquired under this section but limited to a total of 5% of the purchase price of the property.Any additional maintenance cost shall be paid from funds other than under this section.Revenue generated by any property acquired under this section is excluded from the limitations under this Subsection (5)(c)(i).Fund money may be used to pay direct costs of acquisition of properties acquired under this section.Fund money allocated and distributed under Subsection (4) may be used by a county highway authority for countywide transportation or public transit planning if:the county’s planning focus area is outside the boundaries of a metropolitan planning organization;the transportation planning is part of the county’s continuing, cooperative, and comprehensive process for transportation or public transit planning, transportation corridor preservation, right-of-way acquisition, and project programming;no more than four years allocation every 20 years to each county is used for transportation planning under this Subsection (5)(d); andthe county otherwise qualifies to use the fund money as provided under this section.Subject to Subsection (11), fund money allocated and distributed under Subsection (4) may be used by a county highway authority for transportation corridor planning that is part of the transportation corridor elements of an ongoing work program of transportation or public transit projects.The transportation corridor planning under Subsection (5)(e)(i) shall be under the direction of:the metropolitan planning organization if the county is within the boundaries of a metropolitan planning organization; orthe department if the county is not within the boundaries of a metropolitan planning organization.A county, city, or town that imposes a local option highway construction and transportation corridor preservation fee under Section 41-1a-1222 may elect to administer the funds allocated and distributed to that county, city, or town under Subsection (4) as a revolving loan fund.If a county, city, or town elects to administer the funds allocated and distributed to that county, city, or town under Subsection (4) as a revolving loan fund, a local highway authority shall repay the fund money authorized for the project to the fund.A county, city, or town that elects to administer the funds allocated and distributed to that county, city, or town under Subsection (4) as a revolving loan fund shall establish repayment conditions of the money to the fund from the specified project funds.Subject to the restrictions in Subsections (5)(g)(ii) and (iii), fund money may be used by a county of the third, fourth, fifth, or sixth class or by a city or town within a county of the third, fourth, fifth, or sixth class for:the construction, operation, or maintenance of a class B road or class C road; orthe restoration or repair of survey monuments associated with transportation infrastructure.A county, city, or town may not use more than 50% of the current balance of fund money allocated to the county, city, or town for the purposes described in Subsection (5)(g)(i).A county, city, or town may not use more than 50% of the fund revenue collections allocated to a county, city, or town in the current fiscal year for the purposes described in Subsection (5)(g)(i).
.5(6) The Local Highway and Transportation Corridor Preservation Fund shall be used to preserve transportation corridors, promote long-term statewide transportation planning, save on acquisition costs, and promote the best interests of the state in a manner which minimizes impact on prime agricultural land.The Local Highway and Transportation Corridor Preservation Fund shall only be used to preserve a transportation corridor that is right-of-way:in a county of the first or second class for:a state highway;a principal arterial highway as defined in Section 72-4-102.5;a minor arterial highway as defined in Section 72-4-102.5;a collector highway in an urban area as defined in Section 72-4-102.5; ora transit facility as defined in Section 17B-2a-802; orin a county of the third, fourth, fifth, or sixth class for:a state highway;a principal arterial highway as defined in Section 72-4-102.5;a minor arterial highway as defined in Section 72-4-102.5;a major collector highway as defined in Section 72-4-102.5;a minor collector road as defined in Section 72-4-102.5; ora transit facility as defined in Section 17B-2a-802.The Local Highway and Transportation Corridor Preservation Fund may not be used for a transportation corridor that is primarily a recreational trail as defined under Section 79-5-102.A highway authority shall authorize the expenditure of fund money after determining that the expenditure is being made in accordance with this section from applications that are:endorsed by the council of governments; andfor a right-of-way purchase for a transportation corridor authorized under Subsection (6)(a)(ii).
.5(7) A council of governments shall establish a council of governments endorsement process which includes prioritization and application procedures for use of the money allocated to each county under this section.The endorsement process under Subsection (7)(a)(i) may include review or endorsement of the preservation project by:the metropolitan planning organization if the county is within the boundaries of a metropolitan planning organization; orthe department if the county is not within the boundaries of a metropolitan planning organization.All fund money shall be prioritized by each highway authority and council of governments based on considerations, including:areas with rapidly expanding population;the willingness of local governments to complete studies and impact statements that meet department standards;the preservation of transportation corridors by the use of local planning and zoning processes;the availability of other public and private matching funds for a project;the cost-effectiveness of the preservation projects;long and short-term maintenance costs for property acquired; andwhether the transportation corridor is included as part of:the county and municipal master plan; andthe statewide long range plan; orthe regional transportation plan of the area metropolitan planning organization if one exists for the area.The council of governments shall:establish a priority list of transportation corridor preservation projects within the county;submit the list described in Subsection (7)(c)(i) to the county’s legislative body for approval; andobtain approval of the list described in Subsection (7)(c)(i) from a majority of the members of the county legislative body.A county’s council of governments may only submit one priority list described in Subsection (7)(c)(i) per calendar year.A county legislative body may only consider and approve one priority list described in Subsection (7)(c)(i) per calendar year.
.5(8) Unless otherwise provided by written agreement with another highway authority or public transit district, the highway authority that holds the deed to the property is responsible for maintenance of the property.The transfer of ownership for property acquired under this section from one highway authority to another shall include a recorded deed for the property and a written agreement between the highway authorities or public transit district.
.5(9) The proceeds from any bonds or other obligations secured by revenues of the Local Highway and Transportation Corridor Preservation Fund shall be used for the purposes authorized for funds under this section.The highway authority shall pledge the necessary part of the revenues of the Local Highway and Transportation Corridor Preservation Fund to the payment of principal and interest on the bonds or other obligations.
.5(10) A highway authority may not expend money under this section to purchase a right-of-way for a state highway unless the highway authority has:a transportation corridor property acquisition policy or ordinance in effect that meets department requirements for the acquisition of real property or any interests in real property under this section; andan access management policy or ordinance in effect that meets the requirements under Subsection 72-2-117(8).The provisions of Subsection (10)(a)(i) do not apply if the highway authority has a written agreement with the department for the department to acquire real property or any interests in real property on behalf of the local highway authority under this section.
.5(11) The county shall ensure, to the extent possible, that the fund money allocated and distributed to a city or town in accordance with Subsection (4) is expended:to fund a project or service as allowed by this section within the city or town to which the fund money is allocated;to pay debt service, principal, or interest on a bond or other obligation as allowed by this section if that bond or other obligation is:secured by money allocated to the city or town; andissued to finance a project or service as allowed by this section within the city or town to which the fund money is allocated;to fund transportation planning as allowed by this section within the city or town to which the fund money is allocated; orfor another purpose allowed by this section within the city or town to which the fund money is allocated.
.5(12) Notwithstanding any other provision in this section, any amounts within the fund allocated to a public transit district or for a public transit corridor may only be derived from the portion of the fund that does not include constitutionally restricted sources related to the operation of a motor vehicle on a public highway or proceeds from an excise tax on liquid motor fuel to propel a motor vehicle.
Amended by Chapter 373, 2025 General Session
72-2-120 - Tollway Special Revenue Fund — Revenue.
(1) There is created a special revenue fund within the Transportation Fund known as the “Tollway Special Revenue Fund.”
(2) The fund shall be funded from the following sources: tolls collected by the department under Section 72-6-118;funds received by the department through a tollway development agreement under Section 72-6-203;appropriations made to the fund by the Legislature;contributions from other public and private sources for deposit into the fund;interest earnings on cash balances; andmoney collected for repayments and interest on fund money.
(3) The Division of Finance may create a subaccount for each tollway as defined in Section 72-6-118.
(4) The commission may authorize the money deposited into the fund to be spent by the department to establish and operate tollways and related facilities and state transportation systems, including design, construction, reconstruction, operation, maintenance, enforcement, impacts from tollways, and the acquisition of right-of-way.
Amended by Chapter 269, 2018 General Session
72-2-121 - County of the First Class Highway Projects Fund.
(1) There is created a special revenue fund within the Transportation Fund known as the “County of the First Class Highway Projects Fund.”
(2) The fund consists of money generated from the following revenue sources:any voluntary contributions received for new construction, major renovations, and improvements to highways within a county of the first class;the portion of the sales and use tax described in Subsection 59-12-2214(3)(b) deposited into or transferred to the fund;the portion of the sales and use tax described in Section 59-12-2217 deposited into or transferred to the fund;a portion of the local option highway construction and transportation corridor preservation fee imposed in a county of the first class under Section 41-1a-1222 deposited into or transferred to the fund; andthe portion of the sales and use tax transferred into the fund as described in Subsections 59-12-2220(4)(a) and 59-12-2220(11)(b).
(3) The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.
(4) Subject to Subsection (11), the executive director shall use the fund money only:to pay debt service and bond issuance costs for bonds issued under Sections 63B-16-102, 63B-18-402, and 63B-27-102;for right-of-way acquisition, new construction, major renovations, and improvements to highways within a county of the first class and to pay any debt service and bond issuance costs related to those projects, including improvements to a highway located within a municipality in a county of the first class where the municipality is located within the boundaries of more than a single county;for the construction, acquisition, use, maintenance, or operation of:an active transportation facility for nonmotorized vehicles;multimodal transportation that connects an origin with a destination; ora facility that may include a:pedestrian or nonmotorized vehicle trail;nonmotorized vehicle storage facility;pedestrian or vehicle bridge; orvehicle parking lot or parking structure;to transfer to the 2010 Salt Lake County Revenue Bond Sinking Fund created by Section 72-2-121.3 the amount required in Subsection 72-2-121.3(4)(c) minus the amounts transferred in accordance with Subsection 72-2-124(4)(a)(v);for a fiscal year beginning on or after July 1, 2013, to pay debt service and bond issuance costs for 2,000,000 to a public transit district in a county of the first class to fund a system for public transit;for a fiscal year beginning on or after July 1, 2018, after the department has verified that the amount required under Subsection 72-2-121.3(4)(c) is available in the fund and after the transfer under Subsection (4)(d), the payment under Subsection (4)(e), and the transfer under Subsection (4)(g)(i) has been made, through fiscal year 2027, to annually transfer 20%, and beginning with fiscal year 2028, and each year thereafter for 20 years, to annually transfer 33% of the amount deposited into the fund under Subsection (2)(b) to the legislative body of a county of the first class for the following purposes:to fund parking facilities in a county of the first class that facilitate significant economic development and recreation and tourism within the state; andto be used for purposes allowed in Section 17-78-702;subject to Subsection (5), for a fiscal year beginning on or after July 1, 2021, and for 15 years thereafter, to annually transfer the following amounts to the following cities and the county of the first class for priority projects to mitigate congestion and improve transportation safety:2,300,000 to Taylorsville;1,100,000 to West Jordan;800,000 to Herriman;700,000 to Riverton;500,000 to Bluffdale;500,000 to Millcreek;400,000 to Cottonwood Heights; and3,200,000 to South Jordan for improvements to Bingham Rim Road from Grandville Avenue to Mountain View Corridor;3,500,000 to Salt Lake City for first and last mile public transit improvements throughout Salt Lake City;3,450,000 to Draper for improvements to Bangerter Highway between 13800 South and I-15;3,000,000 to West Jordan for improvements to 1300 West;3,500,000 to Taylorsville for improvements to Bangerter Highway and 4700 South;1,250,000 to Murray for improvements to Murray Boulevard between 4800 South and 5300 South;1,000,000 to South Jordan for construction of arterial roads connecting U-111 and Old Bingham Highway;1,230,000 to Holladay for improvements to Highland Drive between Van Winkle Expressway and Arbor Lane;3,750,000 to West Valley City for improvements to 4000 West between 4100 South and 4700 South and improvements to 4700 South from 4000 West to Bangerter Highway;2,300,000 to West Valley City for a road connecting U-111 at approximately 6200 South, then east and turning north and connecting to 5400 South;1,300,000 to Taylorsville for improvements on 4700 South between Redwood Road and 2700 West; and70,000,000 of the bonds issued under Section 63B-34-201 for the grants awarded under Part 5, Affordable Housing Infrastructure Grants.
(5) If revenue in the fund is insufficient to satisfy all of the transfers described in Subsection (4)(j), the executive director shall proportionately reduce the amounts transferred as described in Subsection (4)(j).A local government may not use revenue described in Subsection (4)(j) to supplant existing class B or class C road funds that a local government has budgeted for transportation projects.
(6) The revenues described in Subsections (2)(b), (c), and (d)that are deposited into the fund and bond proceeds from bonds issued under Sections 63B-16-102, 63B-18-402, and 63B-27-102 are considered a local matching contribution for the purposes described under Section 72-2-123.
(7) The department may expend up to $3,000,000 of revenue deposited into the account as described in Subsection 59-12-2220(11)(b) for public transit innovation grants, as provided in Part 4, Public Transit Innovation Grants.
(8) The additional administrative costs of the department to administer this fund shall be paid from money in the fund.
(9) Subject to Subsection (11), and notwithstanding any statutory or other restrictions on the use or expenditure of the revenue sources deposited into this fund, the Department of Transportation may use the money in this fund for any of the purposes detailed in Subsection (4).
(10) Subject to Subsection (11), any revenue deposited into the fund as described in Subsection (2)(e) shall be used to provide funding or loans for public transit projects, operations, and supporting infrastructure in the county of the first class.
(11) For the first three years after a county of the first class imposes a sales and use tax authorized in Section 59-12-2220, revenue deposited into the fund as described in Subsection (2)(e) shall be allocated as follows:10% to the department to construct an express bus facility on 5600 West; and90% into the County of the First Class Infrastructure Bank Fund created in Section 72-2-302.
Amended by Chapter 17, 2025 Special Session 1
72-2-121.1 - Highway Projects Within Counties Fund — Accounting for revenues — Interest — Expenditure of revenues.
.1(1) There is created a special revenue fund within the Transportation Fund known as the “Highway Projects Within Counties Fund.”
.1(2) The Highway Projects Within Counties Fund shall be funded by revenues generated by a tax imposed by a county under Section 59-12-2216, if those revenues are allocated: for a state highway within the county; andin accordance with Section 59-12-2216.
.1(3) The department shall make a separate accounting for: the revenues described in Subsection (2); andeach county for which revenues are deposited into the Highway Projects Within Counties Fund.
.1(4) The Highway Projects Within Counties Fund shall earn interest.The department shall allocate the interest earned on the Highway Projects Within Counties Fund:proportionately;to each county’s balance in the Highway Projects Within Counties Fund; andon the basis of each county’s balance in the Highway Projects Within Counties Fund.
.1(5) The department shall expend the revenues and interest deposited into the Highway Projects Within Counties Fund to pay: for a state highway project within the county for which the requirements of Subsection 59-12-2216(6) are met;debt service on a project described in Subsection (5)(a); orbond issuance costs related to a project described in Subsection (5)(a).
Amended by Chapter 479, 2019 General Session
72-2-121.2 - Definition — County of the Second Class State Highway Projects Fund — Use of fund money.
.2(1) As used in this section, “fund” means the County of the Second Class State Highway Projects Fund created by this section.
.2(2) There is created within the Transportation Fund a special revenue fund known as the County of the Second Class State Highway Projects Fund.
.2(3) The fund shall be funded by money collected from: any voluntary contributions the department receives for new construction, major renovations, and improvements to state highways within a county of the second class; andsales and use taxes deposited into the fund in accordance with Title 59, Chapter 12, Part 22, Local Option Sales and Use Taxes for Transportation Act.
.2(4) The department shall make a separate accounting for: the revenues described in Subsection (3); andeach county of the second class or city or town within a county of the second class for which revenues are deposited into the fund.
.2(5) The fund shall earn interest.Interest earned on fund money shall be deposited into the fund.
.2(6) Subject to Subsection (9), the executive director may use fund money only: for right-of-way acquisition, new construction, major renovations, and improvements to state highways within a county of the second class or a city or town within a county of the second class in an amount that does not exceed the amounts deposited for or allocated to that county of the second class or city or town within a county of the second class in accordance with this section;to pay any debt service and bond issuance costs related to a purpose described in Subsection (6)(a) in an amount that does not exceed the amounts deposited for or allocated to that county of the second class or city or town within a county of the second class described in Subsection (6)(a) in accordance with this section; andto pay the costs of the department to administer the fund in an amount not to exceed interest earned by the fund money.
.2(7) If interest remains in the fund after the executive director pays the costs of the department to administer the fund, the interest shall be: allocated to each county of the second class or city or town within a county of the second class for which revenues are deposited into the fund in proportion to the deposits made into the fund for that county of the second class or city or town within a county of the second class; andexpended for the purposes described in Subsection (6).
.2(8) Revenues described in Subsection (3)(b) that are deposited into the fund are considered to be a local matching contribution for the purposes described in Section 72-2-123.
.2(9) The executive director shall, in using fund money, ensure to the extent possible that the fund money deposited for or allocated to a city or town is used:for a purpose described in Subsection (6)(a) within the city or town to which the fund money is allocated;to pay debt service and bond issuance costs described in Subsection (6)(b) if the debt service and bond issuance costs are: secured by money deposited for or allocated to the city or town; andrelated to a project described in Subsection (6)(a) within the city or town to which the fund money is allocated; orfor a purpose described in Subsection (6)(c).In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the department may make rules to implement the requirements of Subsection (9)(a).
Amended by Chapter 479, 2019 General Session
72-2-121.3 - Special revenue fund — 2010 Salt Lake County Revenue Bond Sinking Fund.
.3(1) There is created a special revenue fund within the County of the First Class Highway Projects Fund entitled “2010 Salt Lake County Revenue Bond Sinking Fund.”
.3(2) The fund consists of:money transferred into the fund from the County of the First Class Highway Projects Fund in accordance with Subsection 72-2-121(4)(d); andfor a fiscal year beginning on or after July 1, 2013, money transferred into the fund from the Transportation Investment Fund of 2005 in accordance with Subsection 72-2-124(4)(a)(v).
.3(3) The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.
.3(4) The director of the Division of Finance may use fund money only as provided in this section.The director of the Division of Finance may not distribute any money from the fund under this section until the director has received a formal opinion from the attorney general that Salt Lake County has entered into a binding agreement with the state of Utah containing all of the terms required by Section 72-2-121.4.Except as provided in Subsection (4)(b), and until the bonds issued by Salt Lake County as provided in the interlocal agreement required by Section 72-2-121.4 are paid off, on July 1 of each year beginning July 1, 2011, the director of the Division of Finance shall transfer from the County of the First Class Highway Projects Fund and the Transportation Investment Fund of 2005 to the 2010 Salt Lake County Revenue Bond Sinking Fund the amount certified by Salt Lake County that is necessary to pay:up to two times the debt service requirement necessary to pay debt service on the revenue bonds issued by Salt Lake County for that fiscal year; andany additional amounts necessary to pay costs of issuance, pay capitalized interest, and fund any debt service reserve requirements.Except as provided in Subsection (4)(b), and until the bonds issued by Salt Lake County as provided in the interlocal agreement required by Section 72-2-121.4 are paid off, the director of the Division of Finance shall, upon request from Salt Lake County, transfer to Salt Lake County or its designee from the 2010 Salt Lake County Revenue Bond Sinking Fund the amount certified by Salt Lake County as necessary to pay:the debt service on the revenue bonds issued by Salt Lake County as provided in the interlocal agreement required by Section 72-2-121.4; andany additional amounts necessary to pay costs of issuance, pay capitalized interest, and fund any debt service reserve requirements.
.3(5) Any money remaining in the 2010 Salt Lake County Revenue Bond Sinking Fund at the end of the fiscal year lapses to the County of the First Class Highway Projects Fund.
Amended by Chapter 452, 2025 General Session
72-2-121.4 - 2010 interlocal agreement governing state highway projects in Salt Lake County.
.4(1) Under the direction of the attorney general, the state of Utah and Salt Lake County may enter into an interlocal agreement that includes, at minimum, the provisions specified in this section.
.4(2) The attorney general shall ensure that, in the agreement, Salt Lake County covenants to: issue revenue bonds in an amount generating proceeds of at least 68,500,000 to the Department of Transportation to be used for state highway projects in Salt Lake County as provided in the interlocal agreement; anduse or transfer to a municipality to use 2,000,000 to Salt Lake County for 2300 East in Salt Lake County;1,500,000 to Murray City for 4800 South; and$1,500,000 to Riverton City for 13400 South — 4000 West to 4570 West.
.4(3) The attorney general shall ensure that, in the agreement, the state of Utah covenants to: use the money transferred by Salt Lake County under Subsection (2)(b) to pay all or part of the costs of the following state highway construction or reconstruction projects within Salt Lake County:5400 South — Bangerter Highway to 4000 West;Bangerter Highway at SR-201;12300 South at State Street;Bangerter Highway at 6200 South;Bangerter Highway at 7000 South;Bangerter Highway at 3100 South;5400 South — 4000 West to past 4800 West;9400 South and Wasatch Boulevard; andI-215 West Interchange — 3500 South to 3800 South and ramp work;widen and improve US-89 between 7200 South and 9000 South with available highway funding identified by the commission; andtransfer to Salt Lake County or its designee from the 2010 Salt Lake County Revenue Bond Sinking Fund the amount certified by Salt Lake County as necessary to pay:the debt service on the revenue bonds issued by Salt Lake County; andany additional amounts necessary to pay costs of issuance, pay capitalized interest, and fund any debt service reserve requirements.
.4(4) The costs under Subsections (2)(c) and (3)(a) may include the cost of acquiring land, interests in land, easements and rights-of-way, improving sites, and making all improvements necessary, incidental, or convenient to the facilities and all related engineering, architectural, and legal fees.
.4(5) In preparing the agreement required by this section, the attorney general and Salt Lake County shall: review each existing interlocal agreement with Salt Lake County concerning Salt Lake County revenues received by the state for state highway projects within Salt Lake County; andas necessary, modify those agreements or draft a new interlocal agreement encompassing all of the provisions necessary to reflect the state of Utah’s and Salt Lake County’s obligations for those revenues and projects.
Amended by Chapter 366, 2020 General Session
72-2-123 - Rules adopting guidelines — Partnering to finance state highway capacity improvements — Partnering proposals.
(1) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the commission, in consultation with representatives of local government, shall make rules adopting guidelines for partnering with counties and municipalities for their help to finance state highway improvement projects through:local matching dollars;agreements regarding new revenue a county or municipality expects will be generated as a result of the construction of a state highway improvement project; orother local participation methods.
(2) The guidelines described in Subsection (1) shall encourage partnering to help finance state highway improvement projects and provide for:the consideration of factors relevant to a decision to make a program adjustment including the potential to:extend department resources to other needed projects;alleviate significant existing or future congestion or hazards to the traveling public; andaddress a need that is widely recognized by the public, elected officials, and transportation planners;a process for submitting, evaluating, and hearing partnering proposals; andthe creation of a public record of each proposal from initial submission to final disposition.
(3) The commission shall submit the proposed rules under this section to the Transportation Interim Committee for review prior to taking final action on the proposed rules or any proposed amendment to the rules.
Amended by Chapter 452, 2025 General Session
72-2-124 - Transportation Investment Fund of 2005.
7/1/2026
(1) There is created a capital projects fund entitled the Transportation Investment Fund of 2005.
(2) The fund consists of money generated from the following sources:any voluntary contributions received for the maintenance, construction, reconstruction, or renovation of state and federal highways;appropriations made to the fund by the Legislature;registration fees designated under Section 41-1a-1201;the sales and use tax revenues deposited into the fund in accordance with Section 59-12-103;revenues transferred to the fund in accordance with Section 72-2-106;revenues transferred into the fund in accordance with Subsection 72-2-121(4)(l); andrevenue from bond proceeds described in Section 63B-34-101.
(3) The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.
(4) Except as provided in Subsection (4)(b), the executive director may only use fund money to pay:the costs of maintenance, construction, reconstruction, or renovation to state and federal highways prioritized by the Transportation Commission through the prioritization process for new transportation capacity projects adopted under Section 72-1-304;the costs of maintenance, construction, reconstruction, or renovation to the highway projects described in Subsections 63B-18-401(2), (3), and (4);subject to Subsection (9), costs of corridor preservation, as that term is defined in Section 72-5-401;principal, interest, and issuance costs of bonds authorized by Section 63B-18-401 minus the costs paid from the County of the First Class Highway Projects Fund in accordance with Subsection 72-2-121(4)(e);for a fiscal year beginning on or after July 1, 2013, to transfer to the 2010 Salt Lake County Revenue Bond Sinking Fund created by Section 72-2-121.3 the amount certified by Salt Lake County in accordance with Subsection 72-2-121.3(4)(c) as necessary to pay the debt service on 25,000,000 to the County of the First Class Highway Projects Fund created in Section 72-2-121 to be used for the purposes described in Section 72-2-121;if a political subdivision provides a contribution equal to or greater than 40% of the costs needed for construction, reconstruction, or renovation of paved pedestrian or paved nonmotorized transportation for projects that:mitigate traffic congestion on the state highway system;are part of an active transportation plan approved by the department; andare prioritized by the commission through the prioritization process for new transportation capacity projects adopted under Section 72-1-304;28,000,000 as pass-through funds, to be distributed as necessary to pay project costs based upon a statement of cash flow that the local jurisdiction where the project is located provides to the department demonstrating the need for money for the project, for the following projects in the following amounts:8,000,000 for a Bluffdale 14600 South railroad bypass;10,000,000 for improvements to the west side frontage roads adjacent to U.S. 40 between mile markers 7 and 10;3,000,000 for the department to perform an environmental study for the I-15 Salem and Benjamin project; and300,000,000 for the costs of right-of-way acquisition and construction for improvements on SR-89 in a county of the first class.The executive director may use fund money to exchange for an equal or greater amount of federal transportation funds to be used as provided in Subsection (4)(a).Construction related to the project described in Subsection (4)(a)(ix)(D) may not commence until a right-of-way not owned by a federal agency that is required for the realignment and extension of U-111, as described in the department’s 2023 environmental study related to the project, is dedicated to the department.Notwithstanding Subsection (4)(c)(i), if a right-of-way is not dedicated for the project as described in Subsection (4)(c)(i) on or before October 1, 2024, the department may proceed with the project, except that the project will be limited to two lanes on U-111 from Herriman Parkway to 11800 South.
(5) Except as provided in Subsection (5)(b), if the department receives a notice of ineligibility for a municipality as described in Subsection 10-21-202(8), the executive director may not program fund money to a project prioritized by the commission under Section 72-1-304, including fund money from the Transit Transportation Investment Fund, within the boundaries of the municipality until the department receives notification from the Housing and Community Development Division within the Department of Workforce Services that ineligibility under this Subsection (5) no longer applies to the municipality.Within the boundaries of a municipality described in Subsection (5)(a), the executive director:may program fund money in accordance with Subsection (4)(a) for a limited-access facility or interchange connecting limited-access facilities;may not program fund money for the construction, reconstruction, or renovation of an interchange on a limited-access facility;may program Transit Transportation Investment Fund money for a multi-community fixed guideway public transportation project; andmay not program Transit Transportation Investment Fund money for the construction, reconstruction, or renovation of a station that is part of a fixed guideway public transportation project.Subsections (5)(a) and (b) do not apply to a project programmed by the executive director before July 1, 2022, for projects prioritized by the commission under Section 72-1-304.
(6) Except as provided in Subsection (6)(b), if the department receives a notice of ineligibility for a county as described in Subsection 17-80-202(8), the executive director may not program fund money to a project prioritized by the commission under Section 72-1-304, including fund money from the Transit Transportation Investment Fund, within the boundaries of the unincorporated area of the county until the department receives notification from the Housing and Community Development Division within the Department of Workforce Services that ineligibility under this Subsection (6) no longer applies to the county.Within the boundaries of the unincorporated area of a county described in Subsection (6)(a), the executive director:may program fund money in accordance with Subsection (4)(a) for a limited-access facility to a project prioritized by the commission under Section 72-1-304;may not program fund money for the construction, reconstruction, or renovation of an interchange on a limited-access facility;may program Transit Transportation Investment Fund money for a multi-community fixed guideway public transportation project; andmay not program Transit Transportation Investment Fund money for the construction, reconstruction, or renovation of a station that is part of a fixed guideway public transportation project.Subsections (6)(a) and (b) do not apply to a project programmed by the executive director before July 1, 2022, for projects prioritized by the commission under Section 72-1-304.
(7) Before bonds authorized by Section 63B-18-401 or 63B-27-101 may be issued in any fiscal year, the department and the commission shall appear before the Executive Appropriations Committee of the Legislature and present the amount of bond proceeds that the department needs to provide funding for the projects identified in Subsections 63B-18-401(2), (3), and (4)or Subsection 63B-27-101(2) for the current or next fiscal year.The Executive Appropriations Committee of the Legislature shall review and comment on the amount of bond proceeds needed to fund the projects.
(8) The Division of Finance shall, from money deposited into the fund, transfer the amount of funds necessary to pay principal, interest, and issuance costs of bonds authorized by Section 63B-18-401 or 63B-27-101 in the current fiscal year to the appropriate debt service or sinking fund.
(9) The executive director may only use money in the fund for corridor preservation as described in Subsection (4)(a)(iii):if the project has been prioritized by the commission, including the use of fund money for corridor preservation; orfor a project that has not been prioritized by the commission, if the commission:approves the use of fund money for the corridor preservation; andfinds that the use of fund money for corridor preservation will not result in any delay to a project that has been prioritized by the commission.
(10) There is created in the Transportation Investment Fund of 2005 the Transit Transportation Investment Fund.The fund shall be funded by:contributions deposited into the fund in accordance with Section 59-12-103;appropriations into the account by the Legislature;deposits of sales and use tax increment related to a housing and transit reinvestment zone as described in Section 63N-3-610;transfers of local option sales and use tax revenue as described in Subsection 59-12-2220(11)(b) or (c);private contributions; anddonations or grants from public or private entities.The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.Subject to Subsection (10)(e), the commission may prioritize money from the fund:for public transit capital development of new capacity projects and fixed guideway capital development projects to be used as prioritized by the commission through the prioritization process adopted under Section 72-1-304;to the department for oversight of a fixed guideway capital development project for which the department has responsibility; orup to 5,000,000 per year for 15 years to be used to facilitate the purchase of zero emissions or low emissions rail engines and trainsets for regional public transit rail systems.For any revenue transferred into the fund in accordance with Subsection 59-12-2220(11)(b):the commission may prioritize money from the fund for public transit projects, operations, or maintenance within the county of the first class; andSubsection (10)(e) does not apply.For any revenue transferred into the fund in accordance with Subsection 59-12-2220(11)(c):the commission may prioritize public transit projects, operations, or maintenance in the county from which the revenue was generated; andSubsection (10)(e) does not apply.The requirement to provide funds equal to or greater than 30% of the costs needed for the project described in Subsection (10)(e) does not apply to a public transit capital development project or pedestrian or nonmotorized transportation project that the department proposes.In accordance with Part 4, Public Transit Innovation Grants, the commission may prioritize money from the fund for public transit innovation grants, as defined in Section 72-2-401, for public transit capital development projects requested by a political subdivision within a public transit district.
(11) There is created in the Transportation Investment Fund of 2005 the Cottonwood Canyons Transportation Investment Fund.The fund shall be funded by:money deposited into the fund in accordance with Section 59-12-103;appropriations into the account by the Legislature;private contributions; anddonations or grants from public or private entities.The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.The Legislature may appropriate money from the fund for public transit or transportation projects in the Cottonwood Canyons of Salt Lake County.The department may use up to 2% of the revenue deposited into the account under Subsection 59-12-103(7)(b) to contract with local governments as necessary for public safety enforcement related to the Cottonwood Canyons of Salt Lake County.Beginning with fiscal year beginning on July 1, 2025, the department shall use any sales and use tax growth over sales and use tax collections during the 2025 fiscal year to fund projects to provide ingress and egress for a public transit hub, including construction of the public transit hub, in the Big Cottonwood Canyon area.
(12) There is created in the Transportation Investment Fund of 2005 the Active Transportation Investment Fund.The fund shall be funded by:money deposited into the fund in accordance with Section 59-12-103;appropriations into the account by the Legislature; anddonations or grants from public or private entities.The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.The executive director may only use fund money to pay the costs needed for:the planning, design, construction, maintenance, reconstruction, or renovation of paved pedestrian or paved nonmotorized trail projects that:are prioritized by the commission through the prioritization process for new transportation capacity projects adopted under Section 72-1-304;serve a regional purpose; andare part of an active transportation plan approved by the department or the plan described in Subsection (12)(d)(ii);the development of a plan for a statewide network of paved pedestrian or paved nonmotorized trails that serve a regional purpose; andthe administration of the fund, including staff and overhead costs.
(13) As used in this Subsection (13), “commuter rail” means the same as that term is defined in Section 63N-3-602.There is created in the Transit Transportation Investment Fund the Commuter Rail Subaccount.The subaccount shall be funded by:contributions deposited into the subaccount in accordance with Section 59-12-103;appropriations into the subaccount by the Legislature;private contributions; anddonations or grants from public or private entities.The subaccount shall earn interest.All interest earned on money in the subaccount shall be deposited into the subaccount.As prioritized by the commission through the prioritization process adopted under Section 72-1-304 or as directed by the Legislature, the department may only use money from the subaccount for projects that improve the state’s commuter rail infrastructure, including the building or improvement of grade-separated crossings between commuter rail lines and public highways.Appropriations made in accordance with this section are nonlapsing in accordance with Section 63J-1-602.1.
Amended by Chapter 15, 2025 Special Session 1
72-2-124 - Transportation Investment Fund of 2005.
7/1/2026
(1) There is created a capital projects fund entitled the Transportation Investment Fund of 2005.
(2) The fund consists of money generated from the following sources:any voluntary contributions received for the maintenance, construction, reconstruction, or renovation of state and federal highways;appropriations made to the fund by the Legislature;registration fees designated under Section 41-1a-1201;the sales and use tax revenues deposited into the fund in accordance with Section 59-12-103;revenues transferred to the fund in accordance with Section 72-2-106;revenues transferred into the fund in accordance with Subsection 72-2-121(4)(l); andrevenue from bond proceeds described in Section 63B-34-201.
(3) The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.
(4) Except as provided in Subsection (4)(b), the executive director may only use fund money to pay:the costs of maintenance, construction, reconstruction, or renovation to state and federal highways prioritized by the Transportation Commission through the prioritization process for new transportation capacity projects adopted under Section 72-1-304;the costs of maintenance, construction, reconstruction, or renovation to the highway projects described in Subsections 63B-18-401(2), (3), and (4);subject to Subsection (9), costs of corridor preservation, as that term is defined in Section 72-5-401;principal, interest, and issuance costs of bonds authorized by Section 63B-18-401 minus the costs paid from the County of the First Class Highway Projects Fund in accordance with Subsection 72-2-121(4)(e);for a fiscal year beginning on or after July 1, 2013, to transfer to the 2010 Salt Lake County Revenue Bond Sinking Fund created by Section 72-2-121.3 the amount certified by Salt Lake County in accordance with Subsection 72-2-121.3(4)(c) as necessary to pay the debt service on 25,000,000 to the County of the First Class Highway Projects Fund created in Section 72-2-121 to be used for the purposes described in Section 72-2-121;if a political subdivision provides a contribution equal to or greater than 40% of the costs needed for construction, reconstruction, or renovation of paved pedestrian or paved nonmotorized transportation for projects that:mitigate traffic congestion on the state highway system;are part of an active transportation plan approved by the department; andare prioritized by the commission through the prioritization process for new transportation capacity projects adopted under Section 72-1-304;28,000,000 as pass-through funds, to be distributed as necessary to pay project costs based upon a statement of cash flow that the local jurisdiction where the project is located provides to the department demonstrating the need for money for the project, for the following projects in the following amounts:8,000,000 for a Bluffdale 14600 South railroad bypass;10,000,000 for improvements to the west side frontage roads adjacent to U.S. 40 between mile markers 7 and 10;3,000,000 for the department to perform an environmental study for the I-15 Salem and Benjamin project; and300,000,000 for the costs of right-of-way acquisition and construction for improvements on SR-89 in a county of the first class.The executive director may use fund money to exchange for an equal or greater amount of federal transportation funds to be used as provided in Subsection (4)(a).Construction related to the project described in Subsection (4)(a)(ix)(D) may not commence until a right-of-way not owned by a federal agency that is required for the realignment and extension of U-111, as described in the department’s 2023 environmental study related to the project, is dedicated to the department.Notwithstanding Subsection (4)(c)(i), if a right-of-way is not dedicated for the project as described in Subsection (4)(c)(i) on or before October 1, 2024, the department may proceed with the project, except that the project will be limited to two lanes on U-111 from Herriman Parkway to 11800 South.
(5) Except as provided in Subsection (5)(b), if the department receives a notice of ineligibility for a municipality as described in Subsection 10-21-202(8), the executive director may not program fund money to a project prioritized by the commission under Section 72-1-304, including fund money from the Transit Transportation Investment Fund, within the boundaries of the municipality until the department receives notification from the Housing and Community Development Division within the Department of Workforce Services that ineligibility under this Subsection (5) no longer applies to the municipality.Within the boundaries of a municipality described in Subsection (5)(a), the executive director:may program fund money in accordance with Subsection (4)(a) for a limited-access facility or interchange connecting limited-access facilities;may not program fund money for the construction, reconstruction, or renovation of an interchange on a limited-access facility;may program Transit Transportation Investment Fund money for a multi-community fixed guideway public transportation project; andmay not program Transit Transportation Investment Fund money for the construction, reconstruction, or renovation of a station that is part of a fixed guideway public transportation project.Subsections (5)(a) and (b) do not apply to a project programmed by the executive director before July 1, 2022, for projects prioritized by the commission under Section 72-1-304.
(6) Except as provided in Subsection (6)(b), if the department receives a notice of ineligibility for a county as described in Subsection 17-80-202(8), the executive director may not program fund money to a project prioritized by the commission under Section 72-1-304, including fund money from the Transit Transportation Investment Fund, within the boundaries of the unincorporated area of the county until the department receives notification from the Housing and Community Development Division within the Department of Workforce Services that ineligibility under this Subsection (6) no longer applies to the county.Within the boundaries of the unincorporated area of a county described in Subsection (6)(a), the executive director:may program fund money in accordance with Subsection (4)(a) for a limited-access facility to a project prioritized by the commission under Section 72-1-304;may not program fund money for the construction, reconstruction, or renovation of an interchange on a limited-access facility;may program Transit Transportation Investment Fund money for a multi-community fixed guideway public transportation project; andmay not program Transit Transportation Investment Fund money for the construction, reconstruction, or renovation of a station that is part of a fixed guideway public transportation project.Subsections (6)(a) and (b) do not apply to a project programmed by the executive director before July 1, 2022, for projects prioritized by the commission under Section 72-1-304.
(7) Before bonds authorized by Section 63B-18-401 or 63B-27-101 may be issued in any fiscal year, the department and the commission shall appear before the Executive Appropriations Committee of the Legislature and present the amount of bond proceeds that the department needs to provide funding for the projects identified in Subsections 63B-18-401(2), (3), and (4)or Subsection 63B-27-101(2) for the current or next fiscal year.The Executive Appropriations Committee of the Legislature shall review and comment on the amount of bond proceeds needed to fund the projects.
(8) The Division of Finance shall, from money deposited into the fund, transfer the amount of funds necessary to pay principal, interest, and issuance costs of bonds authorized by Section 63B-18-401 or 63B-27-101 in the current fiscal year to the appropriate debt service or sinking fund.
(9) The executive director may only use money in the fund for corridor preservation as described in Subsection (4)(a)(iii):if the project has been prioritized by the commission, including the use of fund money for corridor preservation; orfor a project that has not been prioritized by the commission, if the commission:approves the use of fund money for the corridor preservation; andfinds that the use of fund money for corridor preservation will not result in any delay to a project that has been prioritized by the commission.
(10) There is created in the Transportation Investment Fund of 2005 the Transit Transportation Investment Fund.The fund shall be funded by:contributions deposited into the fund in accordance with Section 59-12-103;appropriations into the account by the Legislature;deposits of sales and use tax increment related to a housing and transit reinvestment zone as described in Section 63N-3-610;transfers of local option sales and use tax revenue as described in Subsection 59-12-2220(11)(b) or (c);private contributions; anddonations or grants from public or private entities.The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.Subject to Subsection (10)(e), the commission may prioritize money from the fund:for public transit capital development of new capacity projects and fixed guideway capital development projects to be used as prioritized by the commission through the prioritization process adopted under Section 72-1-304;to the department for oversight of a fixed guideway capital development project for which the department has responsibility; orup to 5,000,000 per year for 15 years to be used to facilitate the purchase of zero emissions or low emissions rail engines and trainsets for regional public transit rail systems.For any revenue transferred into the fund in accordance with Subsection 59-12-2220(11)(b):the commission may prioritize money from the fund for public transit projects, operations, or maintenance within the county of the first class; andSubsection (10)(e) does not apply.For any revenue transferred into the fund in accordance with Subsection 59-12-2220(11)(c):the commission may prioritize public transit projects, operations, or maintenance in the county from which the revenue was generated; andSubsection (10)(e) does not apply.The requirement to provide funds equal to or greater than 30% of the costs needed for the project described in Subsection (10)(e) does not apply to a public transit capital development project or pedestrian or nonmotorized transportation project that the department proposes.In accordance with Part 4, Public Transit Innovation Grants, the commission may prioritize money from the fund for public transit innovation grants, as defined in Section 72-2-401, for public transit capital development projects requested by a political subdivision within a public transit district.
(11) There is created in the Transportation Investment Fund of 2005 the Cottonwood Canyons Transportation Investment Fund.The fund shall be funded by:money deposited into the fund in accordance with Section 59-12-103;appropriations into the account by the Legislature;private contributions; anddonations or grants from public or private entities.The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.The Legislature may appropriate money from the fund for public transit or transportation projects in the Cottonwood Canyons of Salt Lake County.The department may use up to 2% of the revenue deposited into the account under Subsection 59-12-103(4)(f) to contract with local governments as necessary for public safety enforcement related to the Cottonwood Canyons of Salt Lake County.Beginning with fiscal year beginning on July 1, 2025, the department shall use any sales and use tax growth over sales and use tax collections during the 2025 fiscal year to fund projects to provide ingress and egress for a public transit hub, including construction of the public transit hub, in the Big Cottonwood Canyon area.
(12) There is created in the Transportation Investment Fund of 2005 the Active Transportation Investment Fund.The fund shall be funded by:money deposited into the fund in accordance with Section 59-12-103;appropriations into the account by the Legislature; anddonations or grants from public or private entities.The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.The executive director may only use fund money to pay the costs needed for:the planning, design, construction, maintenance, reconstruction, or renovation of paved pedestrian or paved nonmotorized trail projects that:are prioritized by the commission through the prioritization process for new transportation capacity projects adopted under Section 72-1-304;serve a regional purpose; andare part of an active transportation plan approved by the department or the plan described in Subsection (12)(d)(ii);the development of a plan for a statewide network of paved pedestrian or paved nonmotorized trails that serve a regional purpose; andthe administration of the fund, including staff and overhead costs.
(13) As used in this Subsection (13), “commuter rail” means the same as that term is defined in Section 63N-3-602.There is created in the Transit Transportation Investment Fund the Commuter Rail Subaccount.The subaccount shall be funded by:contributions deposited into the subaccount in accordance with Section 59-12-103;appropriations into the subaccount by the Legislature;private contributions; anddonations or grants from public or private entities.The subaccount shall earn interest.All interest earned on money in the subaccount shall be deposited into the subaccount.As prioritized by the commission through the prioritization process adopted under Section 72-1-304 or as directed by the Legislature, the department may only use money from the subaccount for projects that improve the state’s commuter rail infrastructure, including the building or improvement of grade-separated crossings between commuter rail lines and public highways.Appropriations made in accordance with this section are nonlapsing in accordance with Section 63J-1-602.1.
Amended by Chapter 15, 2025 Special Session 1
72-2-125 - Critical Highway Needs Fund.
(1) There is created a capital projects fund within the Transportation Investment Fund of 2005 known as the “Critical Highway Needs Fund.”
(2) The fund consists of money generated from the following sources: any voluntary contributions received for the maintenance, construction, reconstruction, or renovation of state and federal highways; andappropriations made to the fund by the Legislature.
(3) The fund shall earn interest.Interest on fund money shall be deposited into the fund.
(4) The executive director shall use money deposited into the fund to pay the costs of right-of-way acquisition, maintenance, construction, reconstruction, or renovation to state and federal highways identified by the department and prioritized by the commission in accordance with this Subsection (4).The department shall: establish a complete list of projects to be maintained, constructed, reconstructed, or renovated using the funding described in Subsection (4)(a) based on the following criteria:the highway construction project is a high priority project due to high growth in the surrounding area;the highway construction project addresses critical access needs that have a high impact due to commercial and energy development;the highway construction project mitigates congestion;whether local matching funds are available for the highway construction project; andthe highway construction project is a critical alternative route for priority Interstate 15 reconstruction projects; andsubmit the list of projects to the commission for prioritization in accordance with Subsection (4)(c).A project that is included in the list under this Subsection (4): is not required to be currently listed in the statewide long-range plan; andis not required to be prioritized through the prioritization process for new transportation capacity projects adopted under Section 72-1-304.The commission shall prioritize the project list submitted by the department in accordance with Subsection (4)(b).For projects prioritized under this Subsection (4)(c), the commission shall give priority consideration to fully funding a project that meets the criteria under Subsection (4)(b)(i)(A)(V).Expenditures of bond proceeds issued in accordance with Section 63B-16-101 by the department for the construction of highway projects prioritized under this Subsection (4) may not exceed 1,200,000,000 cap under Subsection (4)(d)(i).Before bonds authorized by Section 63B-16-101 may be issued in any fiscal year, the department and the commission shall appear before the Executive Appropriations Committee of the Legislature and present: the commission’s current list of projects established and prioritized in accordance with this Subsection (4); andthe amount of bond proceeds that the department needs to provide funding for projects on the project list prioritized in accordance with this Subsection (4) for the next fiscal year.The Executive Appropriations Committee of the Legislature shall review and comment on the prioritized project list and the amount of bond proceeds needed to fund the projects on the prioritized list.The Division of Finance shall, from money deposited into the fund, transfer the amount of funds necessary to pay principal, interest, and issuance costs of bonds authorized by Section 63B-16-101 in the current fiscal year to the appropriate debt service or sinking fund.
(5) When the general obligation bonds authorized by Section 63B-16-101 have been paid off and the highway projects completed that are included in the prioritized project list under Subsection (4), the Division of Finance shall transfer any existing balance in the fund into the Transportation Investment Fund of 2005 created by Section 72-2-124.
(6) The Division of Finance shall monitor the general obligation bonds authorized by Section 63B-16-101.The department shall monitor the highway construction or reconstruction projects that are included in the prioritized project list under Subsection (4).When the Division of Finance has reported that the general obligation bonds issued by Section 63B-16-101 have been paid off and the department has reported that projects included in the prioritized project list are complete to the Executive Appropriations Committee of the Legislature, the Division of Finance shall transfer any existing fund balance in accordance with Subsection (5).
(7) Unless prioritized and approved by the Transportation Commission, the department may not delay a project prioritized under this section to a different fiscal year than programmed by the commission due to an unavoidable shortfall in revenues if:the prioritized project was funded by the Legislature in an appropriations act; orgeneral obligation bond proceeds have been issued for the project in the current fiscal year.For projects identified under Subsection (7)(a), the commission shall prioritize and approve any project delays for projects prioritized under this section due to an unavoidable shortfall in revenues if:the prioritized project was funded by the Legislature in an appropriations act; orgeneral obligation bond proceeds have been issued for the project in the current fiscal year.
Amended by Chapter 222, 2016 General Session
72-2-126 - Aeronautics Restricted Account.
(1) There is created a restricted account entitled the Aeronautics Restricted Account within the Transportation Fund.
(2) The account consists of money generated from the following revenue sources:aviation fuel tax allocated for aeronautical operations deposited into the account in accordance with Section 59-13-402;aircraft registration fees deposited into the account in accordance with Section 72-10-110;appropriations made to the account by the Legislature;contributions from other public and private sources for deposit into the account; andinterest earned on account money.
(3) The department shall allocate funds in the account to the separate accounts of individual airports as required under Section 59-13-402.
(4) Except as provided in Subsection (4)(b), the department shall use funds in the account for:the construction, improvement, operation, and maintenance of publicly used airports in this state;the payment of principal and interest on indebtedness incurred for the purposes described in Subsection (4)(a);operation of the division of aeronautics;the promotion of aeronautics in this state; andthe payment of the costs and expenses of the Department of Transportation in administering Title 59, Chapter 13, Part 4, Aviation Fuel, or another law conferring upon it the duty of regulating and supervising aeronautics in this state.The department may use funds in the account for the support of aerial search and rescue operations, provided that no money deposited into the account under Subsection (2)(a) is used for that purpose.The department may use funds in the account from the registration of unmanned aircraft systems only for state infrastructure and administration related to advanced air mobility and unmanned aircraft systems.
(5) Money in the account may not be used by the department for the purchase of aircraft for purposes other than those described in Subsection (4).Money in the account may not be used to provide or subsidize direct operating costs of travel for purposes other than those described in Subsection (4).
(6) The Department may not use money in the account to fund:more than 77% of the operations costs related to state owned aircraft in fiscal year 2023-24;more than 52% of the operations costs related to state owned aircraft in fiscal year 2024-25;more than 26% of the operations costs related to state owned aircraft in fiscal year 2025-26;more than 10% of the operations costs related to state owned aircraft in fiscal year 2026-27; orany operations costs related to state owned aircraft in a fiscal year beginning on or after July 1, 2027.
Amended by Chapter 483, 2024 General Session
72-2-129 - Transportation Safety Program Restricted Account.
(1) There is created in the Transportation Fund the Transportation Safety Program Restricted Account.
(2) The account shall be funded by: appropriations to the account by the Legislature;private contributions; anddonations or grants from public or private entities.
(3) The Legislature shall appropriate funds in the account to the department.
(4) Upon appropriation the department may expend up to 5% of the money appropriated under Subsection (3) to administer account distributions in accordance with Subsection (5).
(5) Upon appropriation the department shall expend the contributions to fund programs focused on transportation safety including community education and outreach efforts.The department shall consult with the Department of Public Safety to establish an interagency policy to prioritize programs and efforts for which the department may expend account funds.
(6) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the department may make rules providing procedures and requirements for programs for which the department may expend the funds in the account.
Enacted by Chapter 184, 2018 General Session
72-2-131 - Rail Transportation Subaccount — Grants for railroad crossing safety.
(1) As used in this section, “eligible entity” means:a public entity; ora private entity that is exempt from federal income taxation under Section 501(c)(3), Internal Revenue Code.
(2) There is created in the Transit Transportation Investment Fund, created in Section 72-2-124, the Rail Transportation Subaccount.
(3) The subaccount shall be funded by:appropriations to the subaccount by the Legislature;private contributions;donations or grants from public or private entities; andinterest earned on money in the account.
(4) Upon appropriation, the department shall:use an amount equal to 10% of the money deposited into the subaccount to provide grants in accordance with Subsection (5);use an amount equal to 10% of the money deposited into the subaccount to pay:the costs of performing environmental impact studies in connection with construction, reconstruction, or renovation projects related to railroad crossings on class A, class B, or class C roads; orthe appropriate debt service or sinking fund for the repayment of bonds issued under Subsection 63B-31-101(6); anduse the remaining money deposited into the subaccount to pay:the costs of construction, reconstruction, or renovation projects related to railroad crossings on class A, class B, or class C roads;debt service related to a project described in Subsection (4)(b);the appropriate debt service or sinking fund for the repayment of bonds issued under Subsection 63B-31-101(5); orongoing maintenance costs of at-grade crossings between rail lines and public highways.
(5) The department may award grants to one or more eligible entities to be used for the purpose of improving safety at railroad crossings on class A, class B, or class C roads.An eligible entity may use grant money for any expense related to improving safety at railroad crossings on class A, class B, or class C roads, including:signage; andsafety enhancements to a railroad crossing.The department shall prioritize, in the following order, grants to applicants that propose projects impacting railroad crossings that:have demonstrated safety concerns, including emergency services access; andhave high levels of vehicular and pedestrian traffic.
Amended by Chapter 531, 2024 General Session
72-2-132 - State Aircraft Restricted Account.
(1) There is created a restricted account known as the State Aircraft Restricted Account.
(2) The account consists of money generated from the following revenue sources: fees the department receives for use of state owned aircraft;appropriations to the account by the Legislature;contributions from other public or private sources for deposit into the account; andinterest earned on money in the account.
(3) Upon appropriation by the Legislature, the department may use money in the account for the operation and maintenance of state owned aircraft.
Enacted by Chapter 99, 2022 General Session
72-2-133 - Rural Transportation Infrastructure Fund — Creation — Uses.
(1) As used in this section:“Graveled road” means the same as that term is defined in Section 72-2-108.”Paved road” means the same as that term is defined in Section 72-2-108.”Qualifying county” means a county that:is a county of the third through sixth class, as classified in Section 17-60-104, except as provided in Subsection (1)(c)(ii);has imposed a local option sales and use tax pursuant to:Section 59-12-2217;Section 59-12-2218; orSection 59-12-2219; andhas not imposed a local option sales and use tax pursuant to Section 59-12-2220 on or before January 1, 2023.”Qualifying county” does not include a county of the third class, as classified in Section 17-60-104, with an airport facilitating commercial flights to three or more airports outside of the state.”Qualifying municipality” means a municipality located within a qualifying county.”Qualifying recipient” means qualifying county or a qualifying municipality.”Road mile” means the same as that term is defined in Section 72-2-108.”Weighted mileage” means the same as that term is defined in Section 72-2-108.
(2) There is created in the Transportation Fund an expendable special revenue fund called the Rural Transportation Infrastructure Fund.
(3) The Rural Transportation Infrastructure Fund shall be funded by:deposits into the fund as described in Subsection 41-1a-1201(9);appropriations by the Legislature; andother deposits into the fund.
(4) The department shall administer the fund.
(5) Beginning on January 1, 2024, and subject to Subsection (5)(b), the department shall annually distribute revenue in the fund among qualifying recipients in the following manner:50% in the ratio that the class B roads weighted mileage within each county and class C roads weighted mileage within each municipality bear to the total class B and class C roads weighted mileage within the state; and50% in the ratio that the population of a county or municipality bears to the total population of the state.To the extent not otherwise required by federal law, population shall be based on:the most recent estimate from the Utah Population Committee created in Section 63C-20-103; orif the Utah Population Committee estimate is not available for each municipality and unincorporated area, the adjusted sub-county population estimate provided by the Utah Population Committee in accordance with Section 63C-20-104.
(6) A qualifying recipient may only use funds distributed as described in this section in the same manner as class B and class C road funds distributed in accordance with Section 72-2-108.
(7) Before October 1 of each year, the department shall inform the State Tax Commission which counties, if any, have an airport described in Subsection (1)(c)(ii).Before November 1 of each year, the State Tax Commission shall notify the department and indicate which counties are qualifying counties.After receiving the notification described in Subsection 72-Ch72_2|(7)(a)], the department shall distribute funds for the following year to the municipalities and counties that were identified as qualifying recipients in the notification described in Subsection (7)(a).
Amended by Chapter 17, 2025 Special Session 1
72-2-134 - Transportation Infrastructure General Fund Support Subfund.
(1) There is created within the Transportation Investment Fund of 2005 a subfund known as the “Transportation Infrastructure General Fund Support Subfund.”
(2) The subfund consists of:appropriations by the Legislature;interest earned on the subfund; andreturns of the amounts of deposit with accrued interest made in accordance with Section 51-12-202.
(3) The subfund shall earn interest.Interest earned on money in the subfund shall be deposited into the subfund.
(4) The state treasurer shall deposit up to $300,000,000 from the subfund in accordance with Title 51, Chapter 12, Utah Homes Investment Program.Notwithstanding Subsection (4)(a), the state treasurer may otherwise invest funds described in Subsection (4)(a) if funds are available after qualified projects are approved under Section 51-12-201.
(5) On June 30, 2028, the Division of Finance shall transfer any balance in the subfund into the Transportation Investment Fund of 2005.
Amended by Chapter 391, 2025 General Session
72-2-135 - Litter Abatement Expendable Special Revenue Fund.
(1) There is created an expendable special revenue fund, known as the “Litter Abatement Expendable Special Revenue Fund.”
(2) The fund shall consist of:the landfill minimum fine for an unsecured load as described in Section 72-7-410; andinterest earnings on cash balances.
(3) The department shall use money in the fund:for litter cleanup efforts on or near highways, including highways near waste management facilities and other high-litter areas the department identifies;for a public service campaign to generate awareness regarding the importance of proper transportation and disposal of waste, the negative impact of littering, and the need to maintain clean highways;for increased enforcement of Sections 41-6a-1712, 41-6a-1713, and 72-7-410; andfor the department’s costs in administering the account.
Enacted by Chapter 393, 2025 General Session
State Infrastructure Bank Fund
72-2-201 - Definitions.
As used in this part:
(1) “Fund” means the State Infrastructure Bank Fund created under Section 72-2-202.
(2) “Infrastructure assistance” means any use of fund money, except an infrastructure loan, to provide financial assistance for transportation projects or publicly owned infrastructure projects, including: capital reserves and other security for bond or debt instrument financing; orany letters of credit, lines of credit, bond insurance, or loan guarantees obtained by a public entity to finance transportation projects.
(3) “Infrastructure loan” means a loan of fund money to finance a transportation project or publicly owned infrastructure project.
(4) “Public entity” means a state agency, county, municipality, special district, special service district, an intergovernmental entity organized under state law, or the military installation development authority created in Section 63H-1-201.
(5) “Publicly owned infrastructure project” means a project to improve sewer or water infrastructure that is owned by a public entity.
(6) “Transportation project”: means a project:to improve a state or local highway;to improve a public transportation facility or nonmotorized transportation facility;to construct or improve parking facilities;that is subject to a transportation reinvestment zone agreement pursuant to Section 11-13-227 if the state is party to the agreement; orthat is part of a housing and transit reinvestment zone created pursuant to Title 63N, Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act;includes the costs of acquisition, construction, reconstruction, rehabilitation, equipping, and fixturing; andmay only include a project if the project is part of:the statewide long range plan;a regional transportation plan of the area metropolitan planning organization if a metropolitan planning organization exists for the area; ora local government general plan or economic development initiative.
Amended by Chapter 16, 2023 General Session
72-2-202 - State Infrastructure Bank Fund — Creation — Use of money.
(1) There is created a revolving loan fund entitled the State Infrastructure Bank Fund.
(2) The fund consists of money generated from the following revenue sources:appropriations made to the fund by the Legislature;federal money and grants that are deposited into the fund;money transferred to the fund by the commission from other money available to the department;state grants that are deposited into the fund;contributions or grants from any other private or public sources for deposit into the fund; andsubject to Subsection (2)(b), all money collected from repayments of fund money used for infrastructure loans or infrastructure assistance.When a loan from the fund is repaid, the department may request and the Legislature may transfer from the fund to the source from which the money originated an amount equal to the repaid loan.
(3) The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.
(4) Money in the fund shall be used by the department, as prioritized by the commission, only to: provide infrastructure loans or infrastructure assistance; andpay the department for the costs of administering the fund, providing infrastructure loans or infrastructure assistance, monitoring transportation projects and publicly owned infrastructure projects, and obtaining repayments of infrastructure loans or infrastructure assistance.
(5) The department may establish separate accounts in the fund for infrastructure loans, infrastructure assistance, administrative and operating expenses, or any other purpose to implement this part.The department shall establish a separate account in the fund for infrastructure loans for publicly owned infrastructure projects in greenfield areas that are located no less than one mile from an existing municipal or county:water supply;water distribution facility; orwastewater facility.Prioritization of infrastructure loans described in Subsection (5)(b) shall follow the same process as described in Section 72-2-203.In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the department may make rules governing how the fund and its accounts may be held by an escrow agent.
(6) Fund money shall be invested by the state treasurer as provided in Title 51, Chapter 7, State Money Management Act, and the earnings from the investments shall be credited to the fund.
(7) Before July 1, 2022, the department shall transfer the loan described in Subsection 63B-27-101(3)(a)(i) from the State Infrastructure Bank Fund to the military development infrastructure revolving loan fund created in Section 63A-3-402.
(8) Before July 1, 2023, the department shall transfer the funds described in Subsection 63B-27-101(3)(a)(ii) from the State Infrastructure Bank Fund to the inland port infrastructure revolving loan fund created in Section 63A-3-402.
Amended by Chapter 22, 2023 General Session
72-2-203 - Loans and assistance — Authority — Rulemaking.
(1) Money in the fund may be used by the department, as prioritized by the commission or as directed by the Legislature, to make infrastructure loans or to provide infrastructure assistance to any public entity for any purpose consistent with any applicable constitutional limitation.
(2) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the commission shall make rules providing procedures and standards for making infrastructure loans and providing infrastructure assistance and a process for prioritization of requests for loans and assistance.
(3) The prioritization process, procedures, and standards for making an infrastructure loan or providing infrastructure assistance may include consideration of the following: availability of money in the fund;credit worthiness of the project;demonstration that the project will encourage, enhance, or create economic benefits to the state or political subdivision;likelihood that assistance would enable the project to proceed at an earlier date than would otherwise be possible;the extent to which assistance would foster innovative public-private partnerships and attract private debt or equity investment;demonstration that the project provides a benefit to the state highway system, including safety or mobility improvements;the amount of proposed assistance as a percentage of the overall project costs with emphasis on local and private participation;demonstration that the project provides intermodal connectivity with public transportation, pedestrian, or nonmotorized transportation facilities; andother provisions the commission considers appropriate.
Amended by Chapter 366, 2020 General Session
72-2-204 - Loan program procedures — Repayment.
(1) A public entity may obtain an infrastructure loan from the department, upon approval by the commission, by entering into a loan contract with the department secured by legally issued bonds, notes, or other evidence of indebtedness validly issued under state law, including pledging all or any portion of a revenue source controlled by the public entity to the repayment of the loan.
(2) A loan or assistance from the fund shall bear interest at a rate not to exceed .5% above bond market interest rates available to the state.
(3) A loan shall be repaid no later than 15 years from the date the department issues the loan to the borrower, with repayment commencing no later than: when the project is completed; orin the case of a highway project, when the facility has opened to traffic.
(4) The public entity shall repay the infrastructure loan in accordance with the loan contract from any of the following sources: transportation project or publicly owned infrastructure project revenues, including special assessment revenues;general funds of the public entity;money withheld under Subsection (7); orany other legally available revenues.
(5) An infrastructure loan contract with a public entity may provide that a portion of the proceeds of the loan may be applied to fund a reserve fund to secure the repayment of the loan.
(6) Before obtaining an infrastructure loan, a county or municipality shall: publish its intention to obtain an infrastructure loan at least once in accordance with the publication of notice requirements under Section 11-14-316; andadopt an ordinance or resolution authorizing the infrastructure loan.
(7) If a public entity fails to comply with the terms of its infrastructure loan contract, the department may seek any legal or equitable remedy to obtain compliance or payment of damages.If a public entity fails to make infrastructure loan payments when due, the state shall, at the request of the department, withhold an amount of money due to the public entity and deposit the withheld money in the fund to pay the amounts due under the contract.The department may elect when to request the withholding of money under this Subsection (7).
(8) All loan contracts, bonds, notes, or other evidence of indebtedness securing the loan contracts shall be held, collected, and accounted for in accordance with Section 63B-1b-202.
Amended by Chapter 121, 2021 General Session
72-2-205 - Loan contracts of state agencies.
(1) Notwithstanding Sections 53H-9-314 and 63A-1-112, a state agency may obtain an infrastructure loan.A state agency may contract to repay an infrastructure loan from the money which is appropriated to the agency and may pledge all or any portion of the money to repay the loan.A state agency’s infrastructure loan may not constitute a debt of the state or lending the credit of the state within the meaning of any constitutional or statutory limitation.
(2) The terms of an infrastructure loan contract shall bind the state and a state agency, and the state agency shall unconditionally repay the loan from the money the agency has pledged under the terms of the loan contract.
Amended by Chapter 9, 2025 Special Session 1
72-2-206 - Department authority to contract.
The department may, upon approval of the commission:
(1) make all contracts, execute all instruments, and do all things necessary or convenient to provide financial assistance for transportation projects or publicly owned infrastructure projects in accordance with this chapter; and
(2) enter into and perform the contracts and agreements with entities concerning the planning, construction, lease, or other acquisition, installation, or financing of transportation projects or publicly owned infrastructure projects.
Amended by Chapter 121, 2021 General Session
County of the First Class Infrastructure Bank Fund
72-2-301 - Definitions.
As used in this part:
(1) “Fund” means the County of the First Class Infrastructure Bank Fund created under Section 72-2-402.
(2) “Infrastructure assistance” means any use of fund money, except an infrastructure loan, to provide financial assistance for transportation projects or publicly owned infrastructure projects, including:capital reserves and other security for bond or debt instrument financing; orany letters of credit, lines of credit, bond insurance, or loan guarantees obtained by a public entity to finance transportation projects.
(3) “Infrastructure loan” means a loan of fund money to finance a transportation project or publicly owned infrastructure project.
(4) “Public entity” means a county of the first class or any of the following located within a county of the first class:a municipality;a special district;a special service district; oran intergovernmental entity organized under state law.
(5) “Publicly owned infrastructure project” means a project to improve sewer or water infrastructure that is owned by a public entity.
(6) “Transportation project” means a project:to improve a state or local highway;to improve a public transportation facility or nonmotorized transportation facility;to construct or improve parking facilities;that is subject to a transportation reinvestment zone agreement pursuant to Section 11-13-227 if the state is party to the agreement; orthat is part of a housing and transit reinvestment zone created pursuant to Title 63N, Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act.
(7) “Transportation project” includes the costs of acquisition, construction, reconstruction, rehabilitation, equipping, and fixturing.
(8) “Transportation project” may only include a project if the project is part of:the statewide long range plan;a regional transportation plan of the area metropolitan planning organization if a metropolitan planning organization exists for the area; ora local government general plan or economic development initiative.
Enacted by Chapter 501, 2024 General Session
72-2-302 - County of the First Class Infrastructure Bank Fund — Creation — Use of money.
(1) There is created a revolving loan fund entitled the County of the First Class Infrastructure Bank Fund.
(2) The fund consists of money generated from the following revenue sources:deposits into the fund in accordance with Subsection 72-Ch72_2|72-2-121];appropriations made to the fund by the Legislature;federal money and grants that are deposited into the fund;money transferred to the fund by the commission from other money available to the department;state grants that are deposited into the fund;contributions or grants from any other private or public sources for deposit into the fund; andsubject to Subsection (2)(b) and Section 72-2-306, all money collected from repayments of fund money used for infrastructure loans or infrastructure assistance.When a loan from the fund is repaid, the department may request and the Legislature may transfer from the fund to the source from which the money originated an amount equal to the repaid loan.
(3) The fund shall earn interest.All interest earned on fund money shall be deposited into the fund.
(4) Except as provided in Subsection (4)(b), money in the fund shall be used by the department, as prioritized by the commission, only to:provide infrastructure loans or infrastructure assistance; andpay the department for the costs of administering the fund, providing infrastructure loans or infrastructure assistance, monitoring transportation projects and publicly owned infrastructure projects, and obtaining repayments of infrastructure loans or infrastructure assistance.Notwithstanding Subsection (4)(a), money in the fund shall be used by the department to provide funds in the following order of priority:a 5,000,000 loan to Herriman for the mitigation and replacement of impacted soils;a 4,000,000 grant to Metropolitan Water District of Salt Lake and Sandy for the Little Cottonwood Creek conduit connecting to the water treatment plant;a 2,000,000 grant to West Jordan for improvements to 6700 West between 9000 South and New Bingham Highway;a 30,000,000 grant to Bluffdale for construction of a multiple lane, grade-separated rail crossing at 1000 West and 14600 South.
(5) The department may establish separate accounts in the fund for infrastructure loans, infrastructure assistance, administrative and operating expenses, or any other purpose to implement this part.Prioritization of infrastructure loans described in Subsection (5)(a) shall follow the same process as described in Section 72-2-303.In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the department may make rules governing how the fund and its accounts may be held by an escrow agent.
(6) Fund money shall be invested by the state treasurer as provided in Title 51, Chapter 7, State Money Management Act, and the earnings from the investments shall be credited to the fund.
Amended by Chapter 502, 2025 General Session
72-2-303 - Loans and assistance — Authority — Rulemaking.
(1) Money in the fund may be used by the department, as prioritized by the commission or as directed by the Legislature, to make infrastructure loans or to provide infrastructure assistance to any public entity for any purpose consistent with any applicable constitutional limitation.
(2) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the commission shall make rules providing procedures and standards for making infrastructure loans and providing infrastructure assistance and a process for prioritization of requests for loans and assistance.
(3) The prioritization process, procedures, and standards for making an infrastructure loan or providing infrastructure assistance may include consideration of the following:availability of money in the fund;credit worthiness of the project;demonstration that the project will encourage, enhance, or create economic benefits to the state or political subdivision;likelihood that assistance would enable the project to proceed at an earlier date than would otherwise be possible;the extent to which assistance would foster innovative public-private partnerships and attract private debt or equity investment;demonstration that the project provides a benefit to the state highway system, including safety or mobility improvements;the amount of proposed assistance as a percentage of the overall project costs with emphasis on local and private participation;demonstration that the project provides intermodal connectivity with public transportation, pedestrian, or nonmotorized transportation facilities;improvement of transportation connectivity pursuant to Section 10-8-87; andother provisions the commission considers appropriate.
Amended by Chapter 452, 2025 General Session
72-2-304 - Loan program procedures — Repayment.
(1) A public entity within a county of the first class may obtain an infrastructure loan from the department, upon approval by the commission, by entering into a loan contract with the department secured by legally issued bonds, notes, or other evidence of indebtedness validly issued under state law, including pledging all or any portion of a revenue source controlled by the public entity to the repayment of the loan.
(2) A loan or assistance from the fund shall bear interest at a rate not to exceed .5% above bond market interest rates available to the state.
(3) A loan shall be repaid no later than 20 years from the date the department issues the loan to the borrower, with repayment commencing no later than:when the project is completed; orin the case of a highway project, when the facility has opened to traffic.
(4) The public entity shall repay the infrastructure loan in accordance with the loan contract from any of the following sources:transportation project or publicly owned infrastructure project revenues, including special assessment revenues;general funds of the public entity;money withheld under Subsection (7); orany other legally available revenues.
(5) An infrastructure loan contract with a public entity may provide that a portion of the proceeds of the loan may be applied to fund a reserve fund to secure the repayment of the loan.
(6) Before obtaining an infrastructure loan, a county or municipality shall:publish its intention to obtain an infrastructure loan at least once in accordance with the publication of notice requirements under Section 11-14-316; andadopt an ordinance or resolution authorizing the infrastructure loan.
(7) If a public entity fails to comply with the terms of a public entity’s infrastructure loan contract, the department may seek any legal or equitable remedy to obtain compliance or payment of damages.If a public entity fails to make infrastructure loan payments when due, the state shall, at the request of the department, withhold an amount of money due to the public entity and deposit the withheld money into the fund to pay the amounts due under the contract.The department may elect when to request the withholding of money under this Subsection (7).
(8) All loan contracts, bonds, notes, or other evidence of indebtedness securing the loan contracts shall be held, collected, and accounted for in accordance with Section 63B-1b-202.
(9) For any money received into the fund for repayment of a loan as described in this section, the department shall distribute the repaid money as described in Section 72-2-306.
Enacted by Chapter 501, 2024 General Session
72-2-305 - Department authority to contract.
The department may, upon approval of the commission:
(1) make all contracts, execute all instruments, and do all things necessary or convenient to provide financial assistance for transportation projects or publicly owned infrastructure projects in accordance with this chapter; and
(2) enter into and perform the contracts and agreements with entities concerning the planning, construction, leasing, or other acquisition, installation, or financing of transportation projects or publicly owned infrastructure projects.
Enacted by Chapter 501, 2024 General Session
72-2-306 - Distribution of funds after repayment.
(1) Any money deposited into the fund from repayment of a loan or interest issued under this part shall be distributed as described in this section.
(2) As the department receives repayment of a loan and interest issued under this part, the department shall distribute:95% of the money to Sandy, for a bridge connecting a commuter rail station on the west side of I-15 with property owned by Sandy City at approximately 10240 South Monroe Street on the east side of I-15; and5% to the department for improvements to 12600 South in Riverton to facilitate a jurisdictional transfer of the road from Riverton to the state.
Amended by Chapter 502, 2025 General Session
Public Transit Innovation Grants
72-2-401 - Definitions.
As used in this part:
(1) “Council of governments” means the same as that term is defined in Section 17B-2a-802.
(2) “Grant” means a public transit innovation grant.
(3) “High growth area” means an area or municipality within a public transit district that:has significantly higher population increase relative to other areas within the county; andis projected to continue to have significant population growth.
(4) “Public transit district” means the same as that term is defined in Section 17B-2a-802.
(5) “Public transit innovation grant” means a grant awarded on or after July 1, 2026, to provide targeted pilot programs to:increase public transit ridership;increase public transit service in high growth areas within the public transit district; andwork toward expanding public transit services.”Public transit innovation grant” includes a grant to provide:pilot bus routes and services in high growth areas;pilot shuttle connections between fixed guideway stations and job centers, recreation and cultural facilities and attractions, or schools; andother pilot programs similar to those described in Subsections (5)(b)(i) and (ii) as coordinated between the public transit district and political subdivisions within the public transit district.
Amended by Chapter 452, 2025 General Session
72-2-402 - Public transit innovation grant funding sources.
(1) In accordance with Section 72-2-403, the commission, in coordination with the department, may rank, prioritize, and provide public transit innovation grants with money derived from the following sources:certain local option sales and use tax revenue as described in Subsection 59-Ch59_12|59-12-2219](b); andrevenue deposited in accordance with Subsection 59-Ch59_12|59-12-2220] into the County of the First Class Highway Projects Fund created in Section 72-2-121.
(2) In accordance with Section 72-2-124, the department may rank and prioritize public transit innovation grants for capital development to the commission, to be funded with money derived from the Transit Transportation Investment Fund as described in Subsection 72-2-124(10).
(3) Administrative costs of the department to administer public transit innovation grants under this part shall be paid from the funds described in Subsection (1)(a).
Amended by Chapter 452, 2025 General Session
72-2-403 - Public transit innovation grants — Administration.
(1) The commission, in consultation with the department, relevant councils of governments, metropolitan planning organizations, and public transit districts, shall develop a process for the prioritization of grant proposals that includes:instructions on making and submitting a grant proposal;methodology for selecting grants; andmethodology for awarding grants.
(2) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the commission shall make rules to establish the process described in Subsection (1) and as otherwise necessary to implement this part.
(3) On or after July 1, 2026, the department may:accept grant applications;rank grant proposals based on the objectives and criteria established in this part; andprovide money to grant recipients as directed by the commission and in accordance with this part.
(4) A municipality or a group of municipalities may submit a grant proposal to the department.
(5) A public transit innovation grant proposal shall include data, evidence, and information about:how the project will advance the purposes and goals of a public transit innovation grant described in Subsection 72-Ch72_2|72-2-401];how the proposed services will provide a direct public transit service benefit to the municipality or area;the proposed mode of public transit or purpose for the funding;the proposed operator of the service, including qualifications for any proposed operator that is not a public transit district;any funds provided by the municipality or group of municipalities as part of the grant proposal;how the pilot service will improve ridership in the municipality or area; andany other information that the municipality or public transit district finds relevant.A public transit innovation grant proposal may propose a term of up to three years.A public transit innovation grant proposal shall include information regarding integration and coordination with existing public transit services.
(6) In considering a public transit innovation grant proposal, the commission shall consider criteria including:population growth within the municipality or area relative to other municipalities or areas within the same county;how the proposal furthers the following objectives:increasing public transit ridership in the area;improving connectivity for the first and last mile relative to other public transit services; andimproving public transit connectivity in high-growth areas within the public transit district; andany funds proposed to be invested by the municipality or public transit district as part of the grant proposal.
(7) The grant proposal may allow for bids for a vendor or public transit district to provide or operate the proposed services.
(8) Subject to available funding described in Subsection 72-Ch72_2|72-2-402], the commission may award a public transit innovation grant to a recipient that the commission determines furthers the objectives described in Subsections (5) and (6).
(9) Subject to Subsection (9)(b), if the commission approves a grant to provide money from a local option sales and use tax described in Subsection 59-Ch59_12|59-12-2219], a public transit district shall transfer the money to the department, and the department shall transfer the money to the grant recipient.A public transit district may offset money from a local option sales and use tax described in Subsection 59-Ch59_12|59-12-2219] with other funds available to the public transit district.
(10) If the commission approves a grant to provide money as provided in Subsection 72-Ch72_2|72-2-121], the department shall transfer the money to the grant recipient.
(11) Any grant funds, assets, or infrastructure acquired or improved through a public transit innovation grant under this part belong to the grant recipient.
Amended by Chapter 452, 2025 General Session
72-2-404 - Reporting.
(1) At least annually, a recipient of a grant under this part shall provide a report to the department and the relevant public transit district.
(2) The report described in Subsection (1) shall include:the amount of money provided through the grant;an accounting of how the grant money has been utilized;the type of services provided;coordination with existing public transit services;ridership data relevant to the innovative public transit service, including:the number of riders; andwhether the ridership or targeted objectives match projections; andother information as determined by the grant recipient.
(3) The department shall consolidate the reports the department receives under Subsection (1) and, on or before November 1 of each year, provide the consolidated reports to the Transportation Interim Committee.
(4) The department and the commission are not responsible for providing performance measures or ensuring proper use of grant funds.
Enacted by Chapter 498, 2024 General Session
Affordable Housing Infrastructure Grants
72-2-501 - Definitions.
(1) “Affordable housing unit” means a dwelling that:is offered for rent at a rental price affordable to a household with a gross income of no more than 80% of the area median income for the county in which the residential unit is offered for rent; oris 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 the area median income for the county in which the residential unit is offered for sale and is deed restricted for no fewer than five years.
(2) “Board” means the affordable housing infrastructure grant board created in Section 72-2-503.
(3) “Grant” means a grant issued to a public entity in a county of the first class as provided in this part.
Enacted by Chapter 502, 2025 General Session
72-2-502 - Affordable housing infrastructure grant funding sources.
(1) In accordance with Section 72-2-503, the board may rank, prioritize, and award affordable housing infrastructure grants to public entities within a county of the first class with money derived from the following sources:bond proceeds deposited into the Transportation Investment Fund of 2005 created in Section 72-2-124 in accordance with a bond issued under Section 63B-34-201;appropriations by the Legislature; andany other transfers or contributions.
(2) Administrative costs of the department to administer affordable housing infrastructure grants under this part shall be paid from the funds described in Subsection (1).
Enacted by Chapter 502, 2025 General Session
72-2-503 - Board creation — Duties — Grant administration.
(1) There is created the affordable housing infrastructure grant board consisting of the following members:the executive director of the department, or the executive director’s designee;the executive director of the Governor’s Office of Economic Opportunity appointed under Section 63N-1a-302, or the executive director’s designee; andan employee of the governor’s office that is an expert or advisor on housing strategy, appointed by the governor.
(2) The Governor’s Office of Economic Opportunity shall provide staff support for the board and the grant program.The Governor’s Office of Economic Opportunity may use and the department shall transfer grant funds for the costs of the Governor’s Office of Economic Opportunity to administer the grant program under this part.The Governor’s Office of Economic Opportunity and the department shall enter into a memorandum of understanding to facilitate the calculation and transfer of funds for the administrative costs described in Subsection (2)(b).
(3) The Governor’s Office of Economic Opportunity, in consultation with the board, shall develop a process for the prioritization of grant proposals that includes:instructions on making and submitting a grant proposal;methodology for selecting grants; andmethodology for awarding grants.
(4) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the Governor’s Office of Economic Opportunity shall make rules to establish the process described in Subsection (3) and as otherwise necessary to implement this part.
(5) The board shall:accept grant applications;rank grant proposals; andaward grants in accordance with this part.
(6) A grant applicant shall ensure that each grant proposal includes:information about the proposed project, including the projected number of affordable housing units, which may not be less than 50 units of affordable housing;the projected time line of the proposed project;data and information regarding the proposed types of affordable housing; andinformation about the public infrastructure and other improvements needed.
(7) In considering a grant proposal, the board shall consider criteria including:the value and number of housing units the project will produce;the value of any matching contribution from the grant applicant, including information about how the public entity determined the value of the matching assets; andany other criteria the board determines relevant.For a grant proposal including highway infrastructure, the board may not award a grant unless the grant applicant provides a minimum matching contribution of the right-of-way needed for the highway improvements.If a grant proposal includes highway infrastructure, the board shall give priority to the construction of public highways that are highways of regional significance that connect to other highways or points of regional significance.
(8) Subject to available funding, and subject to Subsection (8)(b), the board may award a grant to a recipient that the board determines advisable.For every $20,000 of grant funding awarded to a recipient, the infrastructure shall support at least one unit of affordable housing.The board may not award a grant to a recipient if the board determines that the recipient will not be able to satisfy the requirement under Subsection (8)(b).
(9) If the board approves the award of a grant as provided in this part, the department shall transfer the money to the grant recipient in accordance with Subsection (10).
(10) Before the department may provide grant money to a public entity for a project related to a grant awarded by the board, the public entity shall provide a detailed cost estimate of costs to complete the planning and design of the project.If the executive director approves the cost estimate described in Subsection (10)(a), the department may provide to the public entity grant money reasonably necessary to complete the planning and design of the project.After completion of the planning and design of a project related to a grant awarded by the board, the public entity shall provide to the department a detailed estimate of the costs to construct and complete the project described in Subsection (10)(b).If the executive director approves the cost estimates described in Subsection (10)(c), the department may provide grant money to a public entity to construct and complete the project described in Subsection (10)(b).
Enacted by Chapter 502, 2025 General Session
72-2-504 - Report.
(1) On or before September 1 of each year during the life of a project related to a grant awarded by the board, a recipient of grant money under this part shall provide a written report to the board.
(2) The report described in Subsection (1) shall include:the amount of money provided through the grant;an accounting of how the grant money has been utilized;the progress of the project; andthe number of affordable housing units completed or under construction.
Enacted by Chapter 502, 2025 General Session