HB 422: Public Infrastructure Districts Amendments - Utah

Substitute #2 → Substitute #3 · 8 edits

MODERATE

This bill updates the Utah Code to clarify and standardize how public infrastructure districts are created, dissolved, and governed. It primarily removes redundant language from previous versions and adds specific provisions for convention center districts, ensuring consistency across all district types. The changes streamline the legal framework to make it easier for districts to operate without unnecessary procedural hurdles.

Scope change

The bill's scope remains focused on public infrastructure districts, but it now explicitly includes a new subsection for 'convention center public infrastructure districts' with specific creation and governance rules.

TECHNICAL

Removed a duplicate definition of 'Infrastructure financing district' in the definitions section to fix a numbering error.

DEFINITION

Added a new definition for 'Convention center public infrastructure district' to establish a specific category for these entities.

REQUIREMENT

Revised the dissolution process to ensure all debts are paid and infrastructure is transferred before a district can be dissolved.

Clarified that 100% of surface estate property owner consent is required for creating or annexing property to a district, while exempting public entities with limited interests like easements.

Added a new section requiring appointed board members to file regular conflict of interest disclosures.

Established specific rules for convention center districts, including a 5-member board, a 10-year radius boundary, and unique petition processes.

TIMELINE

Extended the validity of voter consent for bond issuance from an unspecified period to 10 years to reduce the need for repeated elections.

FISCAL

Allowed districts to convert limited tax bonds to general obligation bonds if the debt level remains below 15% of the property's fair market value.

Substitute #1 → Substitute #2 · 7 edits

MODERATE

This bill updates the legal framework for Public Infrastructure Districts in Utah to clarify definitions, streamline the dissolution process, and adjust consent requirements for annexation and withdrawal. It also mandates conflict of interest disclosures for appointed board members and requires sellers of residential property within these districts to disclose potential fees to buyers.

Scope change

The bill applies to all public infrastructure districts created under Title 17D, Chapter 4, including specific provisions for convention center districts and districts created by development authorities.

DEFINITION

Updated definitions to clarify terms like 'Bond', 'Facility', and 'Public infrastructure district', and added a new definition for 'Appointing authority'.

REQUIREMENT

Changed the dissolution timeline for public infrastructure districts to 180 days after debt and obligations are satisfied, and updated petition thresholds for dissolving active districts from 25% to 33% for water-based districts.

Modified annexation and withdrawal rules to require 100% consent from surface estate property owners, replacing previous mixed requirements.

Requires appointed board members to file and publicly post conflict of interest disclosures similar to those required for elected officials.

Mandates that owners or agents selling residential property within a district provide a written statement to buyers about the district's existence and potential fees.

FISCAL

Added a requirement for public infrastructure districts to engage a municipal advisor to certify that bond structures and interest rates are reasonable before issuance.

TIMELINE

Extended the validity period of voter consent for bond issuance from the previous limit to 10 years.

Amended 2/18/2026 11:02:717 → Substitute #1 · 8 edits

MODERATE

This bill amends Utah laws governing public infrastructure districts to clarify definitions, streamline the dissolution process, and adjust consent requirements for creating or expanding districts. It also introduces new conflict-of-interest rules for appointed board members and mandates that sellers disclose district fees to home buyers. Additionally, it creates a specific type of district for convention centers.

Scope change

The bill expands the applicability of certain provisions to include convention center districts and clarifies the scope of 'public infrastructure districts' to include entities created under specific new chapters.

DEFINITION

Added a new definition for 'Infrastructure financing district' to clarify its relationship with other special districts.

REQUIREMENT

Modified the dissolution process to require districts to resolve all debts and transfer completed infrastructure to public entities before dissolving.

Changed the petition threshold for dissolving active special districts from 25% to 33% of water acre-feet or private land area/value.

Requires appointed board members to file regular conflict-of-interest disclosures on public websites.

Mandates that owners selling residential property within a district provide buyers with written disclosure about potential district fees and taxes.

Adjusted annexation and withdrawal rules to require 100% consent from surface estate property owners, with specific exceptions for military land.

Extended the validity of voter consent for bond issuance from the previous timeframe to a 10-year period.

SCOPE

Creates a new 'convention center public infrastructure district' with specific board composition rules and a 10-year consent period for bond issuance.

Amended Excerpts 2/18/2026 11:02:717 → Amended 2/18/2026 11:02:717 · 3 edits

MINOR

The bill was reformatted to include a formal title page and summary of provisions, while the substantive text of the bill was truncated in this excerpt. The visible changes primarily involve adding standard legislative headers and a list of affected code sections, with no new policy definitions or requirements visible in this specific snippet.

Scope change

The scope of the bill itself (Public Infrastructure Districts Amendments) remains focused on modifying district operations, but this excerpt does not show the specific new rules; it only shows the bill's structural header.

TECHNICAL

Added a formal title page with sponsor names, a summary of provisions (e.g., conflict of interest disclosures, dissolution processes), and a list of Utah Code sections affected.

Removed draft committee notes and specific line-by-line amendment instructions that were present in the previous version.

Replaced draft markup symbols (like 'Ĥ' and '←Ĥ') with clean text in the visible portions.

Introduced → Amended Excerpts 2/18/2026 11:02:717 · 4 edits

MODERATE

This bill modifies Utah's Public Infrastructure District Act to strengthen transparency and accountability. Key changes include requiring appointed board members to file conflict of interest disclosures on both the creating entity's website and the Utah Public Notice Website, mandating that real estate professionals disclose district fees in both advertisements and written conveyance documents, and adding a specific remedy allowing buyers to terminate contracts and keep earnest money if these disclosures are not provided.

Scope change

The bill expands the scope of disclosure requirements from just advertising materials to include written statements during property conveyance transactions, and broadens the public posting requirement for conflict disclosures to include a state-wide notice website.

REQUIREMENT

Conflict of interest disclosures for appointed board members must now be posted on both the creating entity's website and the Utah Public Notice Website.

Real estate professionals must provide written disclosures about district fees and taxes to buyers during property conveyance transactions, not just in advertisements.

The notice recording requirements for new districts were reorganized and clarified to ensure specific details about the district's purpose and tax limits are recorded on property deeds.

ENFORCEMENT

A new remedy is established allowing buyers to terminate a purchase contract and retain all earnest money if the required written disclosure is not provided.

Public Infrastructure Districts Amendments

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