Community Reinvestment Agency Amendments

100
17C-1-102
17C-1-702
17C-1-803
17C-1-805
17C-1-810
17C-5-306
17C-1-102
17C-1-702
17C-1-803
17C-1-805
17C-1-810
17C-5-306
0
Community Reinvestment Agency Amendments
2026 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Wayne A. Harper
House Sponsor: R. Neil Walter
LONG TITLE
General Description:
This bill modifies requirements for dissolving a community reinvestment agency project
area.
Highlighted Provisions:
This bill:
defines terms;
modifies when a community reinvestment agency project area is dissolved;
creates a process for extending a project area dormancy period; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
17C-1-102
, as last amended by Laws of Utah 2025, First Special Session, Chapter 16
17C-1-702
, as last amended by Laws of Utah 2024, Chapter 316
17C-1-803
, as last amended by Laws of Utah 2019, Chapter 376
17C-1-805
, as last amended by Laws of Utah 2019, Chapter 376
17C-5-306
, as last amended by Laws of Utah 2021, Chapter 214
ENACTS:
17C-1-810
, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section
17C-1-102
is amended to read:
17C-1-102
. Definitions.
As used in this title:
(1)
"Active project area" means a project area that has not been dissolved in accordance
with Section
17C-1-702
.
(2)
(1)
"Adjusted tax increment" means the percentage of tax increment, if less than 100%,
that an agency is authorized to receive:
(a)
for a pre-July 1, 1993, project area plan, under Section
17C-1-403
, excluding tax
increment under Subsection
17C-1-403(3)
;
(b)
for a post-June 30, 1993, project area plan, under Section
17C-1-404
, excluding tax
increment under Section
17C-1-406
;
(c)
under a project area budget approved by a taxing entity committee; or
(d)
under an interlocal agreement that authorizes the agency to receive a taxing entity's
tax increment.
(3)
(2)
"Affordable housing" means housing owned or occupied by a low or moderate
income family, as determined by resolution of the agency.
(4)
(3)
"Agency" or "community reinvestment agency" means a separate body corporate
and politic, created under Section
17C-1-201.5
or as a redevelopment agency or
community development and renewal agency under previous law:
(a)
that is a political subdivision of the state;
(b)
that is created to undertake or promote project area development as provided in this
title; and
(c)
whose geographic boundaries are coterminous with:
(i)
for an agency created by a county, the unincorporated area of the county; and
(ii)
for an agency created by a municipality, the boundaries of the municipality.
(5)
(4)
"Agency funds" means money that an agency collects or receives for agency
operations, implementing a project area plan or an implementation plan as defined in
Section
17C-1-1001
, or other agency purposes, including:
(a)
project area funds;
(b)
income, proceeds, revenue, or property derived from or held in connection with the
agency's undertaking and implementation of project area development or
agency-wide project development as defined in Section
17C-1-1001
;
(c)
a contribution, loan, grant, or other financial assistance from any public or private
source;
(d)
project area incremental revenue as defined in Section
17C-1-1001
; or
(e)
property tax revenue as defined in Section
17C-1-1001
.
(6)
(5)
"Annual income" means the same as that term is defined in regulations of the
United States Department of Housing and Urban Development, 24 C.F.R. Sec. 5.609, as
amended or as superseded by replacement regulations.
(7)
(6)
"Assessment roll" means the same as that term is defined in Section
59-2-102
.
(8)
(7)
"Base taxable value" means, unless otherwise adjusted in accordance with
provisions of this title, a property's taxable value as shown upon the assessment roll last
equalized during the base year.
(9)
(8)
"Base year" means, except as provided in Subsection
17C-1-402(4)(c)
, the year
during which the assessment roll is last equalized:
(a)
for a pre-July 1, 1993, urban renewal or economic development project area plan,
before the project area plan's effective date;
(b)
for a post-June 30, 1993, urban renewal or economic development project area plan,
or a community reinvestment project area plan that is subject to a taxing entity
committee:
(i)
before the date on which the taxing entity committee approves the project area
budget; or
(ii)
if taxing entity committee approval is not required for the project area budget,
before the date on which the community legislative body adopts the project area
plan;
(c)
for a project on an inactive airport site, after the later of:
(i)
the date on which the inactive airport site is sold for remediation and
development; or
(ii)
the date on which the airport that operated on the inactive airport site ceased
operations; or
(d)
for a community development project area plan or a community reinvestment project
area plan that is subject to an interlocal agreement, as described in the interlocal
agreement.
(10)
(9)
"Basic levy" means the portion of a school district's tax levy constituting the
minimum basic levy under Section
59-2-902
.
(11)
(10)
"Board" means the governing body of an agency, as described in Section
17C-1-203
.
(12)
(11)
"Budget hearing" means the public hearing on a proposed project area budget
required under Subsection
17C-2-201(2)(d)
for an urban renewal project area budget,
Subsection
17C-3-201(2)(d)
for an economic development project area budget, or
Subsection
17C-5-302(2)(e)
for a community reinvestment project area budget.
(13)
(12)
"Closed military base" means land within a former military base that the Defense
Base Closure and Realignment Commission has voted to close or realign when that
action has been sustained by the president of the United States and Congress.
(14)
(13)
"Combined incremental value" means the combined total of all incremental
values from all project areas, except project areas that contain some or all of a military
installation or inactive industrial site, within the agency's boundaries under project area
plans and project area budgets at the time that a project area budget for a new project
area is being considered.
(15)
(14)
"Community" means a county or municipality.
(16)
(15)
"Community development project area plan" means a project area plan adopted
under Chapter
4, Part 1
, Community Development Project Area Plan.
(17)
(16)
"Community legislative body" means the legislative body of the community that
created the agency.
(18)
(17)
"Community reinvestment project area plan" means a project area plan adopted
under Chapter
5, Part 1
, Community Reinvestment Project Area Plan.
(19)
(18)
"Contest" means to file a written complaint in a court with jurisdiction under
Title
78A, Judiciary and Judicial Administration
, and in a county in which the agency is
located if the action is filed in the district court.
(20)
(19)
"Development impediment" means a condition of an area that meets the
requirements described in Section
17C-2-303
for an urban renewal project area or
Section
17C-5-405
for a community reinvestment project area.
(21)
(20)
"Development impediment hearing" means a public hearing regarding whether a
development impediment exists within a proposed:
(a)
urban renewal project area under Subsection
17C-2-102(1)(a)(i)(C)
and Section
17C-2-302
; or
(b)
community reinvestment project area under Section
17C-5-404
.
(22)
(21)
"Development impediment study" means a study to determine whether a
development impediment exists within a survey area as described in Section
17C-2-301

for an urban renewal project area or Section
17C-5-403
for a community reinvestment
project area.
(22)
"Dormancy period" means a period that ends six months after the project area funds
collection period ends.
(23)
"Dormancy period extension hearing" means the public hearing on a proposed
extension of a dormancy period required under Subsection
17C-1-702(2)(a)
.
(23)
(24)
"Economic development project area plan" means a project area plan adopted
under Chapter
3, Part 1
, Economic Development Project Area Plan.
(24)
(25)
"Fair share ratio" means the ratio derived by:
(a)
for a municipality, comparing the percentage of all housing units within the
municipality that are publicly subsidized income targeted housing units to the
percentage of all housing units within the county in which the municipality is located
that are publicly subsidized income targeted housing units; or
(b)
for the unincorporated part of a county, comparing the percentage of all housing
units within the unincorporated county that are publicly subsidized income targeted
housing units to the percentage of all housing units within the whole county that are
publicly subsidized income targeted housing units.
(25)
(26)
"Family" means the same as that term is defined in regulations of the United
States Department of Housing and Urban Development, 24 C.F.R. Section 5.403, as
amended or as superseded by replacement regulations.
(26)
(27)
"Greenfield" means land not developed beyond agricultural, range, or forestry
use.
(27)
(28)
"Hazardous waste" means any substance defined, regulated, or listed as a
hazardous substance, hazardous material, hazardous waste, toxic waste, pollutant,
contaminant, or toxic substance, or identified as hazardous to human health or the
environment, under state or federal law or regulation.
(28)
(29)
"Housing allocation" means project area funds allocated for housing under
Section
17C-2-203
,
17C-3-202
, or
17C-5-307
for the purposes described in Section
17C-1-412
.
(29)
(30)
"Housing fund" means a fund created by an agency for purposes described in
Section
17C-1-411
or
17C-1-412
that is comprised of:
(a)
project area funds, project area incremental revenue as defined in Section
17C-1-1001
,
or property tax revenue as defined in Section
17C-1-1001
allocated for the purposes
described in Section
17C-1-411
; or
(b)
an agency's housing allocation.
(30)
(31)
(a)
"Inactive airport site" means land that:
(i)
consists of at least 100 acres;
(ii)
is occupied by an airport:
(A)
(I)
that is no longer in operation as an airport; or
(II)
(Aa)
that is scheduled to be decommissioned; and
(Bb)
for which a replacement commercial service airport is under
construction; and
(B)
that is owned or was formerly owned and operated by a public entity; and
(iii)
requires remediation because:
(A)
of the presence of hazardous waste or solid waste; or
(B)
the site lacks sufficient public infrastructure and facilities, including public
roads, electric service, water system, and sewer system, needed to support
development of the site.
(b)
"Inactive airport site" includes a perimeter of up to 2,500 feet around the land
described in
Subsection
(30)(a)
Subsection
(31)(a)
.
(31)
(32)
(a)
"Inactive industrial site" means land that:
(i)
consists of at least 1,000 acres;
(ii)
is occupied by an inactive or abandoned factory, smelter, or other heavy industrial
facility; and
(iii)
requires remediation because of the presence of hazardous waste or solid waste.
(b)
"Inactive industrial site" includes a perimeter of up to 1,500 feet around the land
described in
Subsection
(31)(a)
Subsection
(32)(a)
.
(32)
(33)
"Income targeted housing" means housing that is:
(a)
owned and occupied by a family whose annual income is at or below 120% of the
median annual income for a family within the county in which the housing is located;
or
(b)
occupied by a family whose annual income is at or below 80% of the median annual
income for a family within the county in which the housing is located.
(33)
(34)
"Incremental value" means a figure derived by multiplying the marginal value of
the property located within a project area on which tax increment is collected by a
number that represents the adjusted tax increment from that project area that is paid to
the agency.
(34)
(35)
"Loan fund board" means the Olene Walker Housing Loan Fund Board,
established under Title
35A, Chapter 8, Part 5
, Olene Walker Housing Loan Fund.
(35)
(36)
(a)
" Local government building" means a building owned and operated by a
community for the primary purpose of providing one or more primary community
functions, including:
(i)
a fire station;
(ii)
a police station;
(iii)
a city hall; or
(iv)
a court or other judicial building.
(b)
" Local government building" does not include a building the primary purpose of
which is cultural or recreational in nature.
(36)
(37)
"Low-income individual" means the same as that term is defined in Section
35A-8-504.5
.
(37)
(38)
"Major transit investment corridor" means the same as that term is defined in
Section
10-20-102
.
(38)
(39)
"Marginal value" means the difference between actual taxable value and base
taxable value.
(39)
(40)
"Military installation project area" means a project area or a portion of a project
area located within a federal military installation ordered closed by the federal Defense
Base Realignment and Closure Commission.
(40)
(41)
"Municipality" means a city or town.
(41)
(42)
"Non-profit housing fund" means:
(a)
an organization that meets the definition of "housing organization" in Section
35A-8-2401
;
(b)
a registered nonprofit that assists veterans or individuals who work in public service
to achieve homeownership in the state;
(c)
a registered nonprofit that:
(i)
assists low-income individuals or families who would qualify for income targeted
housing to achieve homeownership in the state; and
(ii)
provides direct support to help a low-income individual or a family eligible for
income targeted housing to retain ownership of a home, including through
rehabilitation services, lending for rehabilitation, or foreclosure mitigation
counseling that results in retention of the home, refinancing, or a reverse mortgage;
(d)
a registered nonprofit that partners with a community to promote affordable housing
for the workforce in that community; or
(e)
a registered nonprofit established to administer housing programs on behalf of an
association representing 10 or more counties in the state.
(42)
(43)
"Participant" means one or more persons that enter into a participation agreement
with an agency.
(43)
(44)
"Participation agreement" means a written agreement between a person and an
agency under Subsection
17C-1-202(5)
.
(44)
(45)
"Plan hearing" means the public hearing on a proposed project area plan required
under Subsection
17C-2-102(1)(a)(vi)
for an urban renewal project area plan, Subsection
17C-3-102(1)(d)
for an economic development project area plan, Subsection
17C-4-102(1)(d)
for a community development project area plan, or Subsection
17C-5-104(3)(e)
for a community reinvestment project area plan.
(45)
(46)
"Post-June 30, 1993, project area plan" means a project area plan adopted on or
after July 1, 1993, and before May 10, 2016, whether or not amended
subsequent to
after
the project area plan's adoption.
(46)
(47)
"Pre-July 1, 1993, project area plan" means a project area plan adopted before
July 1, 1993, whether or not amended
subsequent to
after
the project area plan's
adoption.
(47)
(48)
"Private," with respect to real property, means property not owned by a public
entity or any other governmental entity.
(48)
(49)
"Project area" means the geographic area described in a project area plan within
which the project area development described in the project area plan takes place or is
proposed to take place.
(49)
(50)
"Project area budget" means a multiyear projection of annual or cumulative
revenues and expenses and other fiscal matters pertaining to a project area prepared in
accordance with:
(a)
for an urban renewal project area, Section
17C-2-201
;
(b)
for an economic development project area, Section
17C-3-201
;
(c)
for a community development project area, Section
17C-4-204
; or
(d)
for a community reinvestment project area, Section
17C-5-302
.
(50)
(51)
"Project area development" means activity within a project area that, as
determined by the board, encourages, promotes, or provides development or
redevelopment for the purpose of implementing a project area plan, including:
(a)
promoting, creating, or retaining public or private jobs within the state or a
community;
(b)
providing office, manufacturing, warehousing, distribution, parking, or other
facilities or improvements;
(c)
planning, designing, demolishing, clearing, constructing, rehabilitating, or
remediating environmental issues;
(d)
providing residential, commercial, industrial, public, or other structures or spaces,
including recreational and other facilities incidental or appurtenant to the structures
or spaces;
(e)
altering, improving, modernizing, demolishing, reconstructing, or rehabilitating
existing structures;
(f)
providing open space, including streets or other public grounds or space around
buildings;
(g)
providing public or private buildings, infrastructure, structures, or improvements;
(h)
relocating a business;
(i)
improving public or private recreation areas or other public grounds;
(j)
eliminating a development impediment or the causes of a development impediment;
(k)
redevelopment as defined under the law in effect before May 1, 2006; or
(l)
any activity described in this
Subsection
(50)
Subsection
(51)
outside of a project
area that the board determines to be a benefit to the project area.
(51)
(52)
"Project area funds" means tax increment or sales and use tax revenue that an
agency receives under a project area budget adopted by a taxing entity committee or an
interlocal agreement.
(52)
(53)
"Project area funds collection period" means the period of time that:
(a)
begins the day on which the first payment of project area funds is distributed to an
agency under a project area budget approved by a taxing entity committee or an
interlocal agreement; and
(b)
ends the day on which the last payment of project area funds is distributed to an
agency under a project area budget approved by a taxing entity committee or an
interlocal agreement.
(53)
(54)
"Project area plan" means an urban renewal project area plan, an economic
development project area plan, a community development project area plan, or a
community reinvestment project area plan that, after the project area plan's effective
date, guides and controls the project area development.
(54)
(55)
(a)
"Property tax" means each levy on an ad valorem basis on tangible or
intangible personal or real property.
(b)
"Property tax" includes a privilege tax imposed under Title
59, Chapter 4
, Privilege
Tax.
(55)
(56)
"Public entity" means:
(a)
the United States, including an agency of the United States;
(b)
the state, including any of the state's departments or agencies; or
(c)
a political subdivision of the state, including a county, municipality, school district,
special district, special service district, community reinvestment agency, or interlocal
cooperation entity.
(56)
(57)
"Publicly owned infrastructure and improvements" means water, sewer, storm
drainage, electrical, natural gas, telecommunication, or other similar systems and lines,
streets, roads, curb, gutter, sidewalk, walkways, parking facilities, public transportation
facilities, or other facilities, infrastructure, and improvements benefitting the public and
to be publicly owned or publicly maintained or operated.
(57)
(58)
"Record property owner" or "record owner of property" means the owner of real
property, as shown on the records of the county in which the property is located, to
whom the property's tax notice is sent.
(58)
(59)
"Sales and use tax revenue" means revenue that is:
(a)
generated from a tax imposed under Title
59, Chapter 12
, Sales and Use Tax Act; and
(b)
distributed to a taxing entity in accordance with Sections
59-12-204
and
59-12-205
.
(59)
(60)
"Superfund site":
(a)
means an area included in the National Priorities List under the Comprehensive
Environmental Response, Compensation, and Liability Act of 1980, 42 U.S.C. Sec.
9605; and
(b)
includes an area formerly included in the National Priorities List, as described in
Subsection
(59)(a)
Subsection
(60)(a)
, but removed from the list following
remediation that leaves on site the waste that caused the area to be included in the
National Priorities List.
(60)
(61)
"Survey area" means a geographic area designated for study by a survey area
resolution to determine whether:
(a)
one or more project areas within the survey area are feasible; or
(b)
a development impediment exists within the survey area.
(61)
(62)
"Survey area resolution" means a resolution adopted by a board that designates a
survey area.
(62)
(63)
"Taxable value" means:
(a)
the taxable value of all real property a county assessor assesses in accordance with
Title
59, Chapter 2, Part 3
, County Assessment, for the current year;
(b)
the taxable value of all real and personal property the commission assesses in
accordance with Title
59, Chapter 2, Part 2
, Assessment of Property, for the current
year; and
(c)
the year end taxable value of all personal property a county assessor assesses in
accordance with Title
59, Chapter 2, Part 3
, County Assessment, contained on the
prior year's tax rolls of the taxing entity.
(63)
(64)
(a)
"Tax increment" means the difference between:
(i)
the amount of property tax revenue generated each tax year by a taxing entity from
the area within a project area designated in the project area plan as the area from
which tax increment is to be collected, using the current assessed value of the
property and each taxing entity's current
certified
final
tax rate as defined in
Section
59-2-924
17C-1-1001
; and
(ii)
the amount of property tax revenue that would be generated from that same area
using the base taxable value of the property and each taxing entity's current
certified
final
tax rate as defined in Section
59-2-924
17C-1-1001
.
(b)
"Tax increment" does not include taxes levied and collected under Section
59-2-1602

on or after January 1, 1994, upon the taxable property in the project area unless:
(i)
the project area plan was adopted before May 4, 1993, whether or not the project
area plan was subsequently amended; and
(ii)
the taxes were pledged to support bond indebtedness or other contractual
obligations of the agency.
(64)
(65)
"Taxing entity" means a public entity that:
(a)
levies a tax on property located within a project area; or
(b)
imposes a sales and use tax under Title
59, Chapter 12
, Sales and Use Tax Act.
(65)
(66)
"Taxing entity committee" means a committee representing the interests of
taxing entities, created in accordance with Section
17C-1-402
.
(66)
(67)
"Unincorporated" means not within a municipality.
(67)
(68)
"Urban renewal project area plan" means a project area plan adopted under
Chapter
2, Part 1
, Urban Renewal Project Area Plan.
(68)
(69)
"Veteran" means the same as that term is defined in Section
68-3-12.5
.
Section 2. Section
17C-1-702
is amended to read:
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)
.
(1)
(3)
Regardless of when a project area
funds collection
dormancy
period ends,
the
project area remains in existence until
an agency may dissolve a project area early if
:
(a)
the agency adopts a resolution dissolving the project area
; and
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)
.
(2)
The ordinance described in Subsection (1)(b) shall include:
(a)
the name of the project area; and
(b)
a project area map or boundary description.
(3)
(4)
Within 30 days after the day on which the community legislative body adopts an
ordinance described in
Subsection (1)(b)
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

dissolved
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
dissolved
project area.
(4)
(a)
As used in this Subsection (4), "dormancy period" means a period that ends the
later of:
(i)
five years after the project area funds collection period ends; and
(ii)
five years after the effective date of this section.
(b)
(5)
An agency with project area funds remaining at the end of the dormancy period shall
use the unexpended funds as provided in Subsection 17C-1-412(1)(b)
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)
.
Section 3. Section
17C-1-803
is amended to read:
17C-1-803
. Continuing a hearing.
Subject to Section
17C-1-804
, the board may continue:
(1)
a development impediment hearing;
(2)
a plan hearing;
(3)
a budget hearing;
or
(4)
a dormancy period extension hearing; or
(4)
(5)
a combined hearing under Section
17C-1-802
.
Section 4. Section
17C-1-805
is amended to read:
17C-1-805
. Agency to provide notice of hearings.
(1)
Each agency shall provide notice, in accordance with this part, of each:
(a)
development impediment hearing;
(b)
plan hearing;
or
(c)
budget hearing
; or
(d)
dormancy period extension hearing
.
(2)
The notice required under Subsection
(1)
may be combined with the notice required for
any of the other hearings if the hearings are combined under Section
17C-1-802
.
Section 5. Section
17C-1-810
is enacted to read:
17C-1-810
. Additional requirements for notice of a dormancy period extension
hearing.
Each notice under Section
17C-1-806
of a dormancy period extension hearing shall
include a statement that an individual who objects to the proposed dormancy period extension
may appear before the board at the hearing to explain why the individual believes the proposed
dormancy period should not be extended.
Section 6. Section
17C-5-306
is amended to read:
17C-5-306
. Amending a community reinvestment project area budget.
(1)
Except as provided in Section
17C-1-1002
and before a project area funds collection
period ends, an agency may amend a community reinvestment project area budget in
accordance with this section.
(2)
To amend a community reinvestment project area budget, an agency shall:
(a)
provide notice and hold a public hearing on the proposed amendment in accordance
with
Chapter 1, Part 8, Hearing and Notice Requirements
;
(b)
(i)
if the community reinvestment project area budget required approval from a
taxing entity committee, obtain the taxing entity committee's approval; or
(ii)
if the community reinvestment project area budget required an interlocal
agreement with a taxing entity, obtain approval from the taxing entity that is a
party to the interlocal agreement; and
(c)
at the public hearing described in Subsection
(2)(a)
or at a subsequent board meeting,
by resolution, adopt the community reinvestment project area budget amendment.
(3)
If an agency proposes a community reinvestment project area budget amendment under
which the agency is paid a greater proportion of tax increment from the community
reinvestment project area than provided under the community reinvestment project area
budget, the notice described in Subsection
(2)(a)
shall state:
(a)
the percentage of tax increment paid under the community reinvestment project area
budget; and
(b)
the proposed percentage of tax increment paid under the community reinvestment
project area budget amendment.
(4)
(a)
If an agency proposes a community reinvestment project area budget amendment
that extends a project area funds collection period, before a taxing entity committee
or taxing entity may provide the taxing entity committee's or taxing entity's approval
described in Subsection
(2)(b)
, the agency shall provide to the taxing entity
committee or taxing entity:
(i)
the reasons why the extension is required;
(ii)
a description of the project area development for which project area funds
received by the agency under the extension will be used;
(iii)
a statement of whether the project area funds received by the agency under the
extension will be used within an
active
approved
project area or a proposed
project area; and
(iv)
a revised community reinvestment project area budget that includes:
(A)
the annual and total amounts of project area funds that the agency receives
under the extension; and
(B)
the number of years that are added to each project area funds collection period
under the extension.
(b)
With respect to an amendment described in Subsection
(4)(a)
, a taxing entity
committee or taxing entity may consent to:
(i)
allow an agency to use project area funds received under an extension within a
different project area from which the project area funds are generated; or
(ii)
alter the base taxable value in connection with a community reinvestment project
area budget extension.
(5)
If an agency proposes a community reinvestment project area budget amendment that
reduces the base taxable value of the project area due to the removal of a parcel under
Subsection
17C-5-112(5)(b)
, an agency may amend a project area budget without:
(a)
complying with Subsection
(2)(a)
; and
(b)
obtaining taxing entity committee or taxing entity approval described in Subsection
(2)(b)
.
(6)
(a)
A person may contest an agency's adoption of a community reinvestment project
area budget amendment within 30 days after the day on which the agency adopts the
community reinvestment project area budget amendment.
(b)
After the 30-day period described in Subsection
(6)(a)
, a person may not contest:
(i)
the agency's adoption of the community reinvestment project area budget
amendment;
(ii)
a payment to the agency under the community reinvestment project area budget
amendment; or
(iii)
the agency's use of project area funds received under the community
reinvestment project area budget amendment.
Section 7.
Effective Date.
This bill takes effect on
May 6, 2026
.
3-11-26 12:46 PM