17B-1-120. Exactions -- Exaction for water interest -- Requirement to offer to original owner property acquired by exaction.

578 words·~3 min read·/ut/title-17b/chapter-1/17b-1-120

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

Effective 5/6/2026

(1)A special district may impose an exaction on a service received by an applicant, including, subject to Subsection

(2), an exaction for a water interest if:

(a)the special district establishes that a legitimate special district interest makes the exaction essential; and

(b)the exaction is roughly proportionate, both in nature and extent, to the impact of the proposed service on the special district.

(i)Subject to the requirements of this Subsection

(2), a special district shall base an exaction for a water interest on the culinary water authority's established calculations of projected water interest requirements.

(ii)Except as described in Subsection (2)(a)(iii) , a culinary water authority shall base an exaction for a culinary water interest on:

(A)consideration of the system-wide minimum sizing standards established for the culinary water authority by the Division of Drinking Water in accordance with Section 19-4-114 ; and

(B)the number of equivalent residential connections associated with the culinary water demand for each specific development proposed in the development's land use application, applying lower exactions for developments with lower equivalent residential connections as demonstrated by at least five years of usage data for like land uses within the special district.

(iii)A special district may impose an exaction for a culinary water interest that results in less water being exacted than would otherwise be exacted under Subsection (2)(a)(ii) if the special district, at the special district's sole discretion, determines there is good cause to do so.

(iv)A special district shall make public the methodology used to comply with Subsection (2)(a)(ii)(B) . A service applicant may appeal to the special district's governing body an exaction calculation used by the special district under Subsection (2)(a)(ii) . A service applicant may present data and other information that illustrates a need for an exaction recalculation and the special district's governing body shall respond with due process.

(v)If requested by a service applicant, the culinary authority shall provide the basis for the culinary water authority's calculations described in Subsection (2)(a)(i) .

(i)A special district may not impose an exaction for a water interest if:

(A)the culinary water authority's existing available water interests exceed the water interests needed to meet the reasonable future water requirement of the public; or

(B)the special district or the special district's culinary water authority does not have a written plan in accordance with Subsection (2)(b)(ii) .

(ii)Beginning on January 1, 2028, a special district shall determine the special district's water interests needed to meet the reasonable future water requirement of the public by completing a written plan described in Subsection 73-1-4(2)(f) .

(a)If a special district plans to dispose of surplus real property that was acquired under this section and has been owned by the special district for less than 15 years, the special district shall offer to reconvey the surplus real property, without receiving additional consideration, first to a person who granted the real property to the special district.

(b)The person described in Subsection (3)(a) shall, within 90 days after the day on which a special district makes an offer under Subsection (3)(a) , accept or reject the offer.

(c)If a person rejects an offer under Subsection (3)(b) , the special district may sell the real property.

Amended by Chapter 166 , 2026 General Session