Special District Property Tax Levy

Utah Code tit. 17B, ch. 17B-1, pt. 17B-1-P10

in effect

Utah Code § 17B-1-1001 Provisions applicable to property tax levy.

17B-1-1001. Provisions applicable to property tax levy. (1) Each special district that levies and collects property taxes shall levy and collect the taxes according to the provisions of Title 59, Chapter 2, Property Tax Act. (2) As used in this section: (a) "Appointed board of trustees" means a board of trustees of a special district that includes a member who is appointed to the board of trustees in accordance with Section 17B-1-304, Subsection 17B-1-303(5), Subsection 17B-1-306(5)(g), or any of the applicable provisions in Title 17B, Chapter 2a, Provisions Applicable to Different Types of Special Districts. (b) "Elected board of trustees" means a board of trustees of a special district that consists entirely of members who are elected to the board of trustees in accordance with Subsection (4), Section 17B-1-306, or any of the applicable provisions in Title 17B, Chapter 2a, Provisions Applicable to Different Types of Special Districts. (3) (a) For a taxable year beginning on or after January 1, 2018, a special district may not levy or collect property tax revenue that exceeds the certified tax rate unless: (i) to the extent that the revenue from the property tax was pledged before January 1, 2018, the special district pledges the property tax revenue to pay for bonds or other obligations of the special district; or (ii) the proposed tax or increase in the property tax rate has been approved by: (A) an elected board of trustees; (B) subject to Subsection (3)(b), an appointed board of trustees; (C) a majority of the registered voters within the special district who vote in an election held for that purpose on a date specified in Section 20A-1-204; (D) the legislative body of the appointing authority; or (E) the legislative body of: (I) a majority of the municipalities partially or completely included within the boundary of the specified special district; or (II) the county in which the specified special district is located, if the county has some or all of the county's unincorporated area included within the boundary of the specified special district. (b) For a special district with an appointed board of trustees, each appointed member of the board of trustees shall comply with the trustee reporting requirements described in Section 17B-1-1003 before the special district may impose a property tax levy that exceeds the certified tax rate. (4) (a) Notwithstanding provisions to the contrary in Title 17B, Chapter 2a, Provisions Applicable to Different Types of Special Districts, and subject to Subsection (4)(b), members of the board of trustees of a special district shall be elected, if: (i) two-thirds of all members of the board of trustees of the special district vote in favor of changing to an elected board of trustees; and (ii) the legislative body of each municipality or county that appoints a member to the board of trustees adopts a resolution approving the change to an elected board of trustees. (b) A change to an elected board of trustees under Subsection (4)(a) may not shorten the term of any member of the board of trustees serving at the time of the change. (5) Subsections (2), (3), and (4) do not apply to: (a) Title 17B, Chapter 2a, Part 6, Metropolitan Water District Act; (b) Title 17B, Chapter 2a, Part 10, Water Conservancy District Act; or (c) a special district in which: (i) the board of trustees consists solely of: (A) land owners or the land owners' agents; or (B) as described in Subsection 17B-1-302(3), (5), (6), or (7), land owners or the land owners' agents or officers; and (ii) there are no residents within the special district at the time a property tax is levied. (6) An infrastructure financing district may not pledge or otherwise use any property tax revenue for the payment of bonds. Amended by Chapter 329, 2026 General Session

Utah Code § 17B-1-1002 Limit on special district property tax levy -- Exclusions.

17B-1-1002. Limit on special district property tax levy -- Exclusions. (1) The rate at which a special district levies a property tax for district operation and maintenance expenses on the taxable value of taxable property within the district may not exceed: (a) .0008, for a basic special district; (b) .0004, for a cemetery maintenance district; (c) .0004, for a drainage district; (d) .0008, for a fire protection district; (e) .0008, for an improvement district; (f) .0005, for a metropolitan water district; (g) .0004, for a mosquito abatement district; (h) .0004, for a public transit district; (i) (i) .0023, for a service area that: (A) is located in a county of the first or second class; and (B) (I) provides fire protection, paramedic, and emergency services; or (II) subject to Subsection (3), provides law enforcement services; or (ii) .0014, for each other service area; (j) the rates provided in Section 17B-2a-1006, for a water conservancy district; (k) .0008 for a municipal services district; or (l) .0004 for an infrastructure financing district. (2) Property taxes levied by a special district are excluded from the limit applicable to that district under Subsection (1) if the taxes are: (a) levied under Section 17B-1-1103 by a special district, other than a water conservancy district, to pay principal of and interest on general obligation bonds issued by the district; (b) levied to pay debt and interest owed to the United States; or (c) levied to pay assessments or other amounts due to a water users association or other public cooperative or private entity from which the district procures water. (3) A service area described in Subsection (1)(i)(i)(B)(II) may not collect a tax described in Subsection (1)(i)(i) if a municipality or a county having a right to appoint a member to the board of trustees of the service area under Subsection 17B-2a-905(2) assesses on or after November 30 in the year in which the tax is first collected and each subsequent year that the tax is collected: (a) a generally assessed fee imposed under Section 17B-1-643 for law enforcement services; or (b) any other generally assessed fee for law enforcement services. Amended by Chapter 388, 2024 General Session

Utah Code § 17B-1-1003 Trustee reporting requirement.

17B-1-1003. Trustee reporting requirement. (1) As used in this section: (a) "Appointed board of trustees" means a board of trustees of a special district that includes a member who is appointed to the board of trustees in accordance with Section 17B-1-304, Subsection 17B-1-303(5), Subsection 17B-1-306(5)(g), or any of the applicable provisions in Title 17B, Chapter 2a, Provisions Applicable to Different Types of Special Districts. (b) (i) "Bond issuance" means an issuance of a general obligation bond without an approving election under Section 17B-1-1102. (ii) "Bond issuance" does not include the issuance of a general obligation bond to refund a general obligation bond that was previously approved by an election. (c) "Legislative entity" means: (i) the member's appointing authority, if the appointing authority is a legislative body; or (ii) the member's nominating entity, if the appointing authority is not a legislative body. (d) (i) "Member" means an individual who is appointed to a board of trustees for a special district in accordance with Section 17B-1-304, Subsection 17B-1-303(5), Subsection 17B-1-306(5)(g), or any of the applicable provisions in Title 17B, Chapter 2a, Provisions Applicable to Different Types of Special Districts. (ii) "Member" includes a member of the board of trustees who holds an elected position with a municipality, county, or another special district that is partially or completely included within the boundaries of the special district. (e) "Nominating entity" means the legislative body that submits nominees for appointment to the board of trustees to an appointing authority. (f) (i) "Property tax increase" means a property tax levy that exceeds the certified tax rate for the taxable year. (ii) "Property tax increase" does not include a property tax levy for a general obligation bond authorized in accordance with an election under Section 17B-1-1102. (2) (a) If a special district board of trustees adopts a tentative budget that includes a property tax increase or bond issuance, each member shall report to the member's legislative entity on the property tax increase or bond issuance. (b) (i) The special district shall request that each of the legislative entities that appoint or nominate a member to the special district's board of trustees hear the report required by Subsection (2)(a) at a public meeting of each legislative entity. (ii) The request to make a report may be made by: (A) the member appointed or nominated by the legislative entity; or (B) another member of the board of trustees. (c) The member appointed or nominated by the legislative entity shall make the report required by Subsection (2)(a) at a public meeting that: (i) complies with Title 52, Chapter 4, Open and Public Meetings Act; (ii) includes the report as a separate agenda item; and (iii) is held within 40 days after the day on which the legislative entity receives a request to hear the report. (d) (i) If the legislative entity does not have a scheduled meeting within 40 days after the day on which the legislative entity receives a request to hear the report required by Subsection (2)(a), the legislative entity shall schedule a meeting for that purpose. (ii) If the legislative entity fails to hear the report at a public meeting that meets the criteria described in Subsection (2)(c), the trustee reporting requirements under this section shall be considered satisfied. (3) (a) A report on a contemplated property tax increase or bond issuance at a legislative entity's public meeting under Subsection (2)(c) shall include: (i) a statement that the special district intends to levy a property tax at a rate that exceeds the certified tax rate for the taxable year; (ii) the dollar amount of and purpose for additional ad valorem tax revenue that would be generated by the proposed increase in the certified tax rate; (iii) the approximate percentage increase in ad valorem tax revenue for the special district based on the proposed property tax increase; and (iv) any other information requested by the legislative entity. (b) A report on a bond issuance at a legislative entity's public meeting under Subsection (2)(c) shall include an explanation, as applicable, of: (i) the property tax impact, if any, of the bond issuance; (ii) the expected debt service related to the bond issuance; (iii) the purpose, remaining principal balance, and maturity date of any outstanding bonds of the issuer; (iv) the funds other than property taxes available to pay debt service related to the bond issuance; (v) the schedule of proposed expenditures of bond proceeds; (vi) property values; (vii) any additional considerations that the appointed board of trustees determines may be useful to explain the impact to citizens resulting from the bond issuance; and (viii) any other information requested by the legislative entity. (c) At a meeting under Subsection (2)(c), the legislative entity shall: (i) allow time during the meeting for comment from the legislative entity and members of the public on the property tax increase or bond issuance; and (ii) express the legislative entity's sentiment regarding the contemplated property tax increase. (4) (a) If more than one member is appointed to the board of trustees by the same legislative entity, a majority of the members appointed or nominated by the legislative entity shall be present to provide the report required by Subsection (2) and described in Subsection (3). (b) The chair of the board of trustees shall appoint another member of the board of trustees to provide the report described in Subsection (3) to the legislative entity if: (i) the member appointed or nominated by the legislative entity is unable or unwilling to provide the report at a public meeting that meets the requirements of Subsection (3)(a); and (ii) the absence of the member appointed or nominated by the legislative entity results in: (A) no member who was appointed or nominated by the legislative entity being present to provide the report; or (B) an inability to comply with Subsection (4)(a). (5) A special district board of trustees may approve a property tax increase only after the conditions of this section have been satisfied or considered satisfied for each member of the board of trustees. Amended by Chapter 329, 2026 General Session

Source: Utah Office of Legislative Research and General Counsel (le.utah.gov)URL: https://le.utah.gov/xcode/Title17B/Chapter1/17B-1-P10.html?v=C17B-1-P10_2023022720230227Fetched: 10/26/2026