11-41-103. Prohibition on retail facility incentive payments -- Exceptions.

747 words·~3 min read·/ut/title-11/chapter-41/11-41-103

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 5/7/2025

(1)Except as provided in Subsection

(2), a public entity may not:

(a)make a retail facility incentive payment under an agreement that is initiated or entered into on or after July 1, 2022; or

(b)initiate or enter into an agreement on or after July 1, 2022, to make a retail facility incentive payment.

(2)Notwithstanding Subsection

(1), a public entity that is not the office may make a retail facility incentive payment for:

(a)a retail facility located entirely within a census tract in which more than 50% of residents have a household income at or below 80% of the county area median income;

(b)a retail facility included as part of a mixed-use development in which:

(i)the mixed-use development has received approval from the legislative body to begin development;

(ii)the mixed-use development includes or is planned to include at least one housing unit for every 1,250 square feet of retail space:

(A)within the mixed-use development; or

(B)within 1/4 mile radius of the property line of the planned retail facility; and

(iii)at least 10% of the new or proposed housing units within the mixed-use development qualify as moderate income housing, in accordance with the moderate income housing plan of the municipality or county in which the development is located;

(c)a retail facility included as part of a development in which:

(i)the retail facility has a gross sales floor area of no more than 20,000 square feet; and

(ii)no other retail facility with a gross sales floor area of more than 20,000 square feet is located within the same development;

(d)a retail facility located within a county of the fourth, fifth, or sixth class;

(e)a retail facility for a small business;

(f)a retail facility for a Utah-based nonprofit arts or cultural organization; or

(g)a retail facility for a ski resort that:

(i)has been in operation for at least 40 years; and

(ii)provides at least 1,000 acres for skiing.

(3)Nothing in this section prohibits a public entity from making:

(a)an expenditure for a public facility, including:

(i)water rights and water supply, treatment, storage, and distribution facilities;

(ii)wastewater collection and treatment facilities;

(iii)storm water, drainage, and flood control facilities;

(iv)municipal power facilities;

(v)roadway facilities;

(vi)parks, recreation facilities, open space, and trails;

(vii)public safety facilities;

(viii)environmental mitigation, as provided in Section 11-36a-205 ; and

(ix)municipal natural gas facilities; or

(b)a payment of public funds for:

(i)the development, construction, renovation, or operation of:

(A)public infrastructure; or

(B)a structured parking facility;

(ii)the demolition of an existing retail facility;

(iii)assistance under a state or local:

(A)main street program; or

(B)historic preservation program;

(iv)environmental mitigation or sanitation, if determined by a state or federal agency under applicable state or federal law;

(v)assistance under a water conservation program or energy efficiency program, if any business entity located within the public entity's boundaries or subject to the public entity's jurisdiction is eligible to participate in the program;

(vi)emergency aid or assistance, if any business entity located within the public entity's boundaries or subject to the public entity's jurisdiction is eligible to receive the emergency aid or assistance; or

(vii)assistance under a public safety or security program, if any business entity located within the public entity's boundaries or subject to the public entity's jurisdiction is eligible to participate in the program.

(4)A person who receives a retail facility incentive payment for a mixed-use development in accordance with Subsection (2)(b) may not use the retail facility incentive payment for the development, construction, renovation, or operation of housing units within the mixed-use development unless the housing units qualify as moderate income housing in accordance with the moderate income housing plan of the municipality or county in which the development is located.

(a)For each fiscal year that a public entity makes a retail facility incentive payment described in Subsections (2)(a) through

(c), the public entity shall submit a written report to the office in accordance with Subsection 11-41-104(1) .

(b)For each fiscal year that a public entity makes a retail facility incentive payment described in Subsections (2)(d) through

(g), the public entity shall submit a notification to the office in accordance with Subsection 11-41-104(2) .

Amended by Chapter 477 , 2025 General Session