Utah Code § 17C-1-701.1 Title.
17C-1-701.1. Title.
This part is known as "Agency and Project Area Dissolution."
Enacted by Chapter 350, 2016 General Session
Agency and Project Area Dissolution
Utah Code tit. 17C, ch. 17C-1, pt. 17C-1-P7
in effectUtah Code § 17C-1-701.5 Agency dissolution -- Restrictions -- Notice -- Recording requirements -- Agency records -- Dissolution expenses.
17C-1-701.5. Agency dissolution -- Restrictions -- Notice -- Recording requirements -- Agency records -- Dissolution expenses.
(1)
(a) Subject to Subsection (1)(b), the community legislative body may, by ordinance, dissolve an agency.
(b) A community legislative body may adopt an ordinance described in Subsection (1)(a) only if the agency has no outstanding bonded indebtedness, other unpaid loans, indebtedness, or advances, and no legally binding contractual obligations with a person other than the community.
(2)
(a) The community legislative body shall:
(i) within 10 days after adopting an ordinance described in Subsection (1), file with the lieutenant governor a copy of a notice of an impending boundary action, as defined in Section 67-1a-6.5, that meets the requirements of Subsection 67-1a-6.5(3); and
(ii) upon the lieutenant governor's issuance of a certificate of dissolution under Section 67-1a-6.5, submit to the recorder of the county in which the agency is located:
(A) the original notice of an impending boundary action;
(B) the original certificate of dissolution; and
(C) a certified copy of the ordinance that dissolves the agency.
(b) Upon the lieutenant governor's issuance of the certificate of dissolution under Section 67-1a-6.5, the agency is dissolved.
(c) Within 10 days after receiving the certificate of dissolution from the lieutenant governor under Section 67-1a-6.5, the community legislative body shall send a copy of the certificate of dissolution and the ordinance adopted under Subsection (1) to the State Board of Education, and each taxing entity.
(d) The community legislative body shall post a notice of dissolution for the community, as a class A notice under Section 63G-30-102, for at least 10 days.
(3) The books, documents, records, papers, and seal of each dissolved agency shall be deposited for safekeeping and reference with the recorder of the community that dissolved the agency.
(4) The agency shall pay all expenses of the dissolution.
Amended by Chapter 435, 2023 General Session
Utah Code § 17C-1-702 Project area dissolution -- Dormancy period extension -- Unexpended funds.
17C-1-702. Project area dissolution -- Dormancy period extension -- Unexpended funds.
(1) A project area is dissolved:
(a) except as provided in Subsection (2) or (3), on the day on which the dormancy period ends; or
(b) eight years after the day on which an agency approved the project area if the project area's collection period has not started.
(2) Before the day on which a dormancy period ends, an agency may extend the dormancy period once, for a period not to exceed two years, if:
(a) the agency holds a public hearing to consider the extension, in accordance with Title 17C, Chapter 1, Part 8, Hearing and Notice Requirements;
(b) the agency adopts a resolution at the public hearing described in Subsection (2)(a) that includes:
(i) the name of the project area;
(ii) a project area map or boundary description;
(iii) a description of the progress the agency has made implementing the project area plan;
(iv) a description of the unique circumstances existing in the project area that require that the dormancy period be extended; and
(v) the day on which the extended dormancy period will end and the project area will be dissolved; and
(c) the community legislative body adopts an ordinance that includes the information described in Subsection (2)(b).
(3) Regardless of when a project area dormancy period ends, an agency may dissolve a project area early if:
(a) the agency adopts a resolution dissolving the project area that includes:
(i) the name of the project area; and
(ii) a project area map or boundary description; and
(b) the community legislative body adopts an ordinance dissolving the project area that includes the information described in Subsection (3)(a).
(4) Within 30 days after the day on which the community legislative body adopts an ordinance described in Subsection (2)(c) or (3)(b), the community legislative body shall:
(a) submit a copy of the ordinance to the county recorder of the county in which the project area is located; and
(b) mail or electronically submit a copy of the ordinance to the county auditor, the State Tax Commission, the State Board of Education, and each taxing entity that levies or imposes a tax on property within the project area.
(5) An agency with project area funds remaining at the end of the dormancy period shall return a proportionate share of the unexpended funds to each taxing entity.
(6) Notwithstanding Subsections (1) and (2), a project area that allocated project area funds and began a dormancy period before May 6, 2026, shall:
(a) be dissolved five years after the day on which the project area began the dormancy period; and
(b) distribute any unexpended funds in accordance with Subsection (5).
Amended by Chapter 141, 2026 General Session
Source: Utah Office of Legislative Research and General Counsel (le.utah.gov)URL: https://le.utah.gov/xcode/Title17C/Chapter1/17C-1-P7.html?v=C17C-1-P7_2016051020160510Fetched: 10/26/2026