Local Sales Tax Modifications

HB 162 allows certain Utah municipalities to impose a local sales tax specifically to fund infrastructure improvements for their local law enforcement agencies. It requires municipalities to hold a public hearing before approving the tax and mandates that all revenue be deposited into a separate special fund, not the general municipal fund. The bill also establishes procedures for reauthorizing the tax after its initial period and permits the State Tax Commission to retain a small administrative fee from collected revenue. This legislation modifies existing tax code provisions to create a structured framework for this targeted local funding mechanism, affecting only qualifying municipalities seeking to fund law enforcement infrastructure.