Urban Renewal Project Area Budget

Utah Code tit. 17C, ch. 17C-2, pt. 17C-2-P2

in effect

Utah Code § 17C-2-201 Project area budget -- Requirements for adopting -- Contesting the budget or procedure -- Time limit.

17C-2-201. Project area budget -- Requirements for adopting -- Contesting the budget or procedure -- Time limit. (1) (a) If an agency anticipates funding all or a portion of a post-June 30, 1993 urban renewal project area plan with tax increment, the agency shall, subject to Section 17C-2-202, adopt a project area budget as provided in this part. (b) An urban renewal project area budget adopted on or after March 30, 2009 shall specify: (i) for a project area budget adopted on or after March 30, 2009: (A) the project area funds collection period; and (B) the percentage of tax increment the agency is authorized to receive from the project area under the project area budget; and (ii) for a project area budget adopted on or after March 30, 2013, unless approval is obtained under Subsection 17C-1-402(4)(b)(vi)(C), the maximum cumulative dollar amount of tax increment that the agency may receive from the project area under the project area budget. (2) To adopt an urban renewal project area budget, the agency shall: (a) prepare a proposed project area budget; (b) make a copy of the proposed project area budget available to the public at the agency's offices during normal business hours; (c) provide notice of the budget hearing as required by Chapter 1, Part 8, Hearing and Notice Requirements; (d) hold a public hearing on the proposed project area budget and, at that public hearing, allow public comment on: (i) the proposed project area budget; and (ii) whether the proposed project area budget should be revised, adopted, or rejected; (e) (i) if required under Subsection 17C-2-204(1), obtain the approval of the taxing entity committee on the proposed project area budget or a revised version of the proposed project area budget; or (ii) if applicable, comply with the requirements of Subsection 17C-2-204(2); (f) if approval of the taxing entity committee is required under Subsection (2)(e)(i), obtain a written certification, signed by an attorney licensed to practice law in this state, stating that the taxing entity committee followed the appropriate procedures to approve the project area budget; and (g) after the budget hearing, hold a board meeting in the same meeting as the public hearing or in a subsequent meeting to: (i) consider comments made and information presented at the public hearing relating to the proposed project area budget; and (ii) adopt by resolution the proposed project area budget, with any revisions, as the project area budget. (3) (a) For a period of 30 days after the agency's adoption of the project area budget under Subsection (2)(g), any person may contest the project area budget or the procedure used to adopt the project area budget if the budget or procedure fails to comply with applicable statutory requirements. (b) After the 30-day period under Subsection (3)(a) expires, a person, may not contest: (i) the project area budget or procedure used by either the taxing entity committee or the agency to approve and adopt the project area budget; (ii) a distribution of tax increment to the agency under the project area budget; or (iii) the agency's use of tax increment under the project area budget. Amended by Chapter 350, 2016 General Session

Utah Code § 17C-2-202 Combined incremental value -- Restriction against adopting an urban renewal project area budget -- Taxing entity committee may waive restriction.

17C-2-202. Combined incremental value -- Restriction against adopting an urban renewal project area budget -- Taxing entity committee may waive restriction. (1) Except as provided in Subsection (2), an agency may not adopt an urban renewal project area budget if, at the time the urban renewal project area budget is being considered, the combined incremental value for the agency exceeds 10% of the total taxable value of property within the agency's boundaries in the year that the urban renewal project area budget is being considered. (2) (a) A taxing entity committee may waive the restrictions imposed by Subsection (1). (b) Subsection (1) does not apply to an urban renewal project area budget if the agency's development impediment determination in the project area to which the budget relates is based on a determination under Subsection 17C-2-303(1)(b). Amended by Chapter 376, 2019 General Session

Utah Code § 17C-2-203 Part of tax increment funds in urban renewal project area budget to be used for housing -- Waiver of requirement.

17C-2-203. Part of tax increment funds in urban renewal project area budget to be used for housing -- Waiver of requirement. (1) (a) Except as provided in Subsections (1)(b) and (c), each urban renewal project area budget adopted on or after May 1, 2000, that provides for more than $100,000 of annual tax increment to be paid to the agency shall allocate at least 20% of the tax increment for housing as provided in Section 17C-1-412. (b) The 20% requirement of Subsection (1)(a) may be waived in part or whole by the taxing entity committee if the taxing entity committee determines that 20% of tax increment is more than is needed to address the community's need for income targeted housing. (c) An agency is not subject to the 20% requirement described in Subsection (1)(a) if: (i) an inactive industrial site is located within an urban renewal project area; and (ii) the inactive industrial site's remediation costs are estimated to exceed 20% of the project area funds under the urban renewal project area budget. (2) An urban renewal project area budget not required under Subsection (1)(a) to allocate tax increment for housing may allocate 20% of tax increment received by the agency over the life of the project area for housing as provided in Section 17C-1-412 if the project area budget is under a project area plan that is adopted on or after July 1, 1998. Amended by Chapter 350, 2016 General Session

Utah Code § 17C-2-204 Consent of taxing entity committee required for urban renewal project area budget -- Exception.

17C-2-204. Consent of taxing entity committee required for urban renewal project area budget -- Exception. (1) (a) Except as provided in Subsection (1)(b) and subject to Subsection (2), each agency shall obtain the consent of the taxing entity committee for each urban renewal project area budget under a post-June 30, 1993 project area plan before the agency may receive any tax increment from the urban renewal project area. (b) For an urban renewal project area budget adopted from July 1, 1998 through May 1, 2000 that allocates 20% or more of the tax increment for housing as provided in Section 17C-1-412, an agency: (i) need not obtain the consent of the taxing entity committee for the project area budget; and (ii) may not receive any tax increment from all or part of the project area until after: (A) the loan fund board has certified the project area budget as complying with the requirements of Section 17C-1-412; and (B) the board has approved and adopted the project area budget by a two-thirds vote. (2) (a) Before a taxing entity committee may consent to an urban renewal project area budget adopted on or after May 1, 2000 that is required under Subsection 17C-2-203(1)(a) to allocate 20% of tax increment for housing, the agency shall: (i) adopt a housing plan showing the uses for the housing funds; and (ii) provide a copy of the housing plan to the taxing entity committee and the loan fund board. (b) If an agency amends a housing plan prepared under Subsection (2)(a), the agency shall provide a copy of the amendment to the taxing entity committee and the loan fund board. Amended by Chapter 350, 2016 General Session

Utah Code § 17C-2-205 Filing a copy of the urban renewal project area budget.

17C-2-205. Filing a copy of the urban renewal project area budget. Each agency adopting an urban renewal project area budget shall: (1) within 30 days after adopting the project area budget, file a copy of the project area budget with the auditor of the county in which the project area is located, the State Tax Commission, the state auditor, the State Board of Education, and each taxing entity affected by the agency's collection of tax increment under the project area budget; and (2) if the project area budget allocates tax increment for housing under Section 17C-1-412, file a copy of the project area budget with the loan fund board. Renumbered and Amended by Chapter 359, 2006 General Session

Utah Code § 17C-2-206 Amending an urban renewal project area budget.

17C-2-206. Amending an urban renewal project area budget. (1) Except as provided in Section 17C-1-1002, an agency may by resolution amend an urban renewal project area budget as provided in this section. (2) To amend an adopted urban renewal project area budget, the agency shall: (a) advertise and hold one public hearing on the proposed amendment as provided in Subsection (3); (b) if approval of the taxing entity committee was required for adoption of the original project area budget, obtain the approval of the taxing entity committee to the same extent that the agency was required to obtain the consent of the taxing entity committee for the project area budget as originally adopted; (c) if approval of the taxing entity committee is required under Subsection (2)(b), obtain a written certification, signed by an attorney licensed to practice law in this state, stating that the taxing entity committee followed the appropriate procedures to approve the project area budget; and (d) adopt a resolution amending the project area budget. (3) The public hearing required under Subsection (2)(a) shall be conducted according to the procedures and requirements of Subsections 17C-2-201(2)(c) and (d), except that if the amended project area budget proposes that the agency be paid a greater proportion of tax increment from a project area than was to be paid under the previous project area budget, the notice shall state the percentage paid under the previous project area budget and the percentage proposed under the amended project area budget. (4) If the removal of a parcel under Subsection 17C-2-110(4)(a)(ii) reduces the base taxable value of the project area, an agency may amend the project area budget to conform with the new base taxable value without: (a) complying with Subsections (2)(a) and (3); and (b) if applicable, obtaining taxing entity committee approval described in Subsection (2)(b). (5) If a proposed amendment is not adopted, the agency shall continue to operate under the previously adopted project area budget without the proposed amendment. (6) (a) A person may contest the agency's adoption of a budget amendment within 30 days after the day on which the agency adopts the amendment. (b) A person who fails to contest a budget amendment under Subsection (6)(a): (i) forfeits any claim against an agency's adoption of the amendment; and (ii) may not contest: (A) a distribution of tax increment to the agency under the budget amendment; or (B) an agency's use of a tax increment under the budget amendment. Amended by Chapter 214, 2021 General Session

Utah Code § 17C-2-207 Extending collection of tax increment in an urban renewal project area budget.

17C-2-207. Extending collection of tax increment in an urban renewal project area budget. (1) An extension approved by a taxing entity or taxing entity committee before May 10, 2011, is not subject to this section. (2) (a) Except as provided in Section 17C-1-1002, an agency's collection of tax increment under an urban renewal project area budget may be extended by: (i) following the project area budget amendment procedures outlined in Section 17C-2-206; or (ii) following the procedures outlined in this section. (b) The base taxable value for an urban renewal project area budget may not be altered as a result of an extension under this section unless otherwise expressly provided for in an interlocal agreement adopted in accordance with Subsection (3)(a). (3) Except as provided in Subsection (4), to extend under this section the project area funds collection period under a previously approved project area budget, the agency shall: (a) obtain the approval of the taxing entity through an interlocal agreement; (b) (i) hold a public hearing on the proposed extension in accordance with Subsection 17C-2-201(2)(d) in the same manner as required for a proposed project area budget; and (ii) provide notice of the hearing: (A) as required by Chapter 1, Part 8, Hearing and Notice Requirements; and (B) including the proposed project area budget's extension period; and (c) after obtaining the taxing entity's approval in accordance with Subsection (3)(a), at or after the public hearing, adopt a resolution approving the extension. (4) (a) Subject to Subsection (4)(b), to extend under this section the project area funds collection period under a previously approved project area budget for a project area that includes an inactive industrial site, the agency shall: (i) hold a public hearing on the proposed extension in accordance with Subsection 17C-2-201(2)(d) in the same manner as required for a proposed project area budget; (ii) provide notice of the hearing as required by Chapter 1, Part 8, Hearing and Notice Requirements, including notice of the proposed project area budget's extension period; and (iii) at or after the public hearing, adopt a resolution approving the extension. (b) An extension under Subsection (4)(a) may not extend the length of time that tax increment is collected from any single tax parcel. (5) After the project area funds collection period expires, an agency may continue to receive project area funds from those taxing entities that agree to an extension through an interlocal agreement in accordance with Subsection (3)(a) or through the process described in Subsection (4). (6) (a) A person may contest the agency's adoption of an extension within 30 days after the day on which the agency adopts the resolution providing for the extension. (b) A person that fails to contest an extension under Subsection (6)(a): (i) shall forfeit any claim against the agency's adoption of the extension; and (ii) may not contest: (A) a distribution of tax increment to the agency under the budget, as extended; or (B) an agency's use of tax increment under the budget, as extended. Amended by Chapter 214, 2021 General Session

Source: Utah Office of Legislative Research and General Counsel (le.utah.gov)URL: https://le.utah.gov/xcode/Title17C/Chapter2/17C-2-P2.html?v=C17C-2-P2_1800010118000101Fetched: 10/26/2026