Disposal Of Public Property

Utah Code tit. 11, ch. 11-1, pt. 11-1-P2

in effect

Utah Code § 11-1-201 Definitions.

11-1-201. Definitions. As used in this part: (1) (a) "Dispose" means to: (i) sell, convey, donate, or otherwise permanently change the ownership of real property; (ii) enter into a joint venture that gives a private entity the right to use, possess, or occupy real property; or (iii) give a private entity the right to use, possess, or occupy real property under a lease agreement with an initial term of more than 10 years. (b) "Dispose" does not include: (i) an exchange of a parcel of real property for another parcel of real property described in Subsection 11-1-205(2); (ii) the creation, transfer, or use of an easement, unless the easement has a fair market value of more than 50% of the fair market value of the affected real property; or (iii) giving a private entity the right to use, possess, or occupy real property under a lease agreement with an initial term of 10 years or less. (2) "Governing body" means: (a) for a municipality or a county, the legislative body; (b) for an agency, the agency board; (c) for a special district, special service district, local building authority, conservation district, or public infrastructure district, the board of trustees; (d) for a housing authority, the board of commissioners; and (e) for a school district, the school board. (3) "Local governmental entity" means: (a) a municipality; (b) a county; (c) an agency, as that term is defined in Section 17C-1-102; (d) a special district created under Title 17B, Limited Purpose Local Government Entities - Special Districts; (e) a special service district, local building authority, or conservation district created under Title 17D, Limited Purpose Local Government Entities - Other Entities; (f) a housing authority, other than a housing authority described in Section 35A-8-403; and (g) a school district. (4) "Public property" means real property owned by a local governmental entity. (5) "Real estate offering website" means any publicly accessible website that describes real property that is for sale. Enacted by Chapter 210, 2026 General Session

Utah Code § 11-1-202 Determination of a significant parcel.

11-1-202. Determination of a significant parcel. (1) Before disposing of public property, a local governmental entity shall: (a) determine if the public property constitutes a significant parcel; and (b) comply with: (i) any statutory requirements specific to the local governmental entity and the local governmental entity's public property; and (ii) the applicable requirements of this part. (2) Subject to Subsection (4) in making a determination on whether public property constitutes a significant parcel: (a) a municipality shall apply the municipality's ordinance described in Subsection 10-8-2(4); (b) a county shall apply the county's ordinance described in Subsection 17-78-103(4); and (c) if a local governmental entity not described in Subsection (2)(a) or (b) has an ordinance or resolution defining "significant parcel," the local governmental entity shall apply that definition, if the definition is reasonably similar to the definition in Subsection (3). (3) If a local governmental entity does not define significant parcel in a local ordinance or resolution, "significant parcel" means real property that has an estimated fair market value of $500,000 or more. (4) A municipality or county may not establish by ordinance or resolution a definition of significant parcel that would result in real property with an estimated fair market value of $500,000 or more not qualifying as a significant parcel under the ordinance or resolution. Enacted by Chapter 210, 2026 General Session

Utah Code § 11-1-203 Publication requirements -- Political subdivisions retain discretion.

11-1-203. Publication requirements -- Political subdivisions retain discretion. (1) Before disposing of public property that the local governmental entity has classified as a significant parcel, as described in Section 11-1-202, a local governmental entity shall: (a) publish an announcement of the local governmental entity's intent to dispose of the public property on the local governmental entity's website or a real estate offering website for a minimum of 45 consecutive days; (b) post a physical sign on the public property indicating that: (i) the public property is available for sale, lease, or joint venture; and (ii) offers may be made to the local governmental entity; and (c) announce the local governmental entity's intent to dispose of the public property during a public meeting. (2) A local governmental entity may offer the public property that is available for sale, lease, or joint venture on one or more real estate offering websites. (3) Before disposing of public property that the local governmental entity has not classified as a significant parcel, a local governmental entity shall post a physical sign on the public property indicating that: (a) the public property is available for sale, lease, or joint venture; and (b) offers may be made to the local governmental entity. (4) Nothing in this part diminishes a local governmental entity's discretion to determine the terms and conditions of a disposition of public property in accordance with the local governmental entity's relevant adopted ordinances or policies and other applicable law. Enacted by Chapter 210, 2026 General Session

Utah Code § 11-1-204 Public meeting to approve disposal.

11-1-204. Public meeting to approve disposal. (1) (a) For a significant parcel, the local governmental entity may approve disposal after: (i) complying with any statutory provisions outside this part that govern the local governmental entity and the local governmental entity's public property; and (ii) except as provided in Subsection (2), the governing body approves the disposal by majority vote in a public meeting. (b) In a public meeting described in Subsection (1)(a)(ii), the governing body shall disclose the details of the proposed offer, including: (i) if a sale, the proposed purchaser and proposed price; and (ii) if a lease or a joint venture, the terms of the offer and the proposed conveyee. (2) If a local governmental entity has an ordinance or resolution governing the disposal of real property that does not require action from the governing body or a public meeting, the local governmental entity may comply with the local governmental entity's ordinance or resolution if: (a) the local governmental entity has complied with the requirements of Section 11-1-203; and (b) the ordinance or resolution provides a method by which the public is informed of the local governmental entity's action, either before the action takes place or in a reasonable time after the action takes place. Enacted by Chapter 210, 2026 General Session

Utah Code § 11-1-205 Exceptions.

11-1-205. Exceptions. (1) The requirements of this part do not apply to: (a) a school district selling surplus property to an eligible entity, or to a county or municipality reselling surplus property to a school district, in accordance with Title 53G, Chapter 4, Part 9, Surplus School District Land; (b) a local governmental entity offering public property back to the party the local governmental entity received the public property from, if required to do so by another provision of law; (c) a local governmental entity conveying public property to another governmental entity; (d) the sale of a cemetery plot; or (e) the abandonment or vacation of a public street in accordance with the requirements of Section 10-20-208, 17-79-208, or 72-5-105. (2) (a) A political subdivision that exchanges real property for another parcel of real property is not required to comply with the provisions of this part if: (i) both parties to the exchange are political subdivisions, both political subdivisions make a finding that the exchanged parcels are of reasonably equivalent value; or (ii) only one party to the exchange is a political subdivision, the political subdivision makes a finding that the political subdivision's public property has roughly the same fair market value as the real property the political subdivision will receive in the exchange. (b) For purposes of Subsection (2)(a), if one parcel of real property has an estimated fair market value that is within 10% above or below the estimated fair market value of another parcel of real property, the parcels are presumptively of reasonably equivalent value. Enacted by Chapter 210, 2026 General Session

Source: Utah Office of Legislative Research and General Counsel (le.utah.gov)URL: https://le.utah.gov/xcode/Title11/Chapter1/11-1-P2.html?v=C11-1-P2_2026050620260506Fetched: 10/26/2026