Transportation Funding and Governance Amendments

Replaced the elected Board of Trustees for large transit districts with a 7-member Transit Commission appointed by the Governor, Senate, House Speaker, and Senate President.

Changed the Executive Director of the large transit district from being appointed by the Board of Trustees to being appointed by the Governor with Senate consent.

Mandated that the State Tax Commission deposit new sales tax revenue growth into the Transit Transportation Investment Fund starting in fiscal year 2028.

Removed the requirement for large transit districts to maintain a local advisory council.

Added specific definitions for 'transit-oriented development' and 'transit-supportive development' to guide future land use and funding decisions.

Set a transition period where the old board structure remains until June 30, 2026, with the new commission taking over on July 1, 2026.

Adjusted sales tax revenue distribution formulas to allocate specific percentages to various infrastructure funds, including the Transit Transportation Investment Fund.

Multicounty transit districts are now required to adopt parking ordinances and may employ or contract for law enforcement officers to enforce them.

Large public transit districts must create an office of constituent services to handle complaints and an office of coordinated mobility to manage human services transportation.

The effective date for most new transit provisions was set to May 6, 2026, while sales and use tax changes take effect on July 1, 2026.

Technical corrections were made to the sales and use tax section, including changing the base year for transit funding calculations from fiscal year 2025 to 2027 and clarifying tax exemptions for certified individual-owned shared vehicles.

The definition of 'appointed executive' was updated to include the Utah water agent and Great Salt Lake commissioner.

Replaced the elected Board of Trustees in large public transit districts with a Transit Commission whose members are appointed by the Governor, Speaker of the House, and Senate President.

Repealed the authority for local Boards of Trustees to appoint the Executive Director and repealed the requirement for a local advisory council in large transit districts.

Changed the appointment of the Executive Director from the local Board of Trustees to the Governor, with the Executive Director now serving at the Governor's pleasure.

Mandated that large transit districts provide detailed annual financial reports to the State Tax Commission, including specific accounting of local sales and use tax revenues.

Amended the sales tax code to require specific deposits into the Transit Transportation Investment Fund and Water Resources Conservation and Development Fund based on revenue thresholds.

Added new definitions for 'Transit Commission,' 'Executive Director,' and 'Large Public Transit District' to formalize the new governance structure.

Removed specific definitions for 'base year balance' and 'current year balance' that referenced fiscal years 2025 and 2027.

Added a requirement that transit commissioners must represent the entire large public transit district and cannot represent a specific geographic portion.

Added new duties for the transit commission to engage annually with safety/security teams, local municipalities, and various stakeholders regarding community needs and service improvements.

Changed the document header from House Amendments dated February 26, 2026, to Senate Amendments dated February 20, 2026.

Added new definitions for 'Base year balance' and 'Current year balance' to clarify how surplus revenue is calculated.

Added a requirement for the commission to deposit excess revenue into the Transit Transportation Investment Fund.

Updated the effective date for the new funding requirement from 2025 to 2028.

Replaced the elected Board of Trustees with an appointed Transit Commission for large public transit districts.

Changed the Executive Director appointment process from the local board to the Governor with Senate consent.

Mandated that the State Tax Commission deposit new growth from state sales and use taxes into the Transit Transportation Investment Fund starting in fiscal year 2028.

Repealed the requirement for a local advisory council and replaced it with a requirement for an Office of Constituent Services.

Established a transition period where the old board structure remains until June 30, 2026, before the new Transit Commission takes over.

Updated definitions to reflect the new 'Transit Commission' terminology and clarified the role of the Executive Director.

Replaced the elected Board of Trustees for large public transit districts with an appointed Transit Commission consisting of members selected by the Speaker of the House, Senate President, and Governor.

Changed the appointment authority for the Executive Director of large transit districts from the Board of Trustees to the Governor with Senate consent.

Required large transit districts to submit annual financial reports directly to the Transportation and Infrastructure Appropriations Subcommittee.

Repealed the requirement for large transit districts to maintain a local advisory council.

Established a new requirement for the State Tax Commission to deposit a portion of new growth from sales and use taxes into the Transit Transportation Investment Fund beginning in fiscal year 2028.

Updated the definition of 'Executive director' to reflect the new appointment process by the Governor.

Set a transition period where the old Board structure remains in place until June 30, 2026, with new Commission governance beginning July 1, 2026.