reglab/statecodes huggingface dataset:
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42 - Assessment Area Act › Part 6 - Interim Warrants, Bond Anticipation Notes, Assessment Bonds, and Refunding Assessment Bonds › Section 607 - Refunding assessment bonds.

11-42-607.
Refunding assessment bonds.
(1) A local entity may, by a resolution adopted by the governing body, authorize the issuance of refunding assessment bonds as provided in this section, in whole or in part, whether at or before the maturity of the prior bonds, at stated maturity, upon redemption, or declaration of maturity.
(2)
(a) Subject to Subsection (2)(b), the issuance of refunding assessment bonds is governed by Title 11, Chapter 27, Utah Refunding Bond Act.
(b) If there is a conflict between a provision of Title 11, Chapter 27, Utah Refunding Bond Act, and a provision of this part, the provision of this part governs.
(3) In issuing refunding assessment bonds, the local entity shall require the refunding assessment bonds and interest on the bonds to be payable from and secured, to the extent the prior bonds were payable from and secured, by:
(a)
(i) the same assessments; or
(ii) the reduced assessments adopted by the governing body under Section 11-42-608;
(b) the guaranty fund or, if applicable, reserve fund; and
(c) improvement revenues.
(4) Refunding assessment bonds:
(a) shall be payable solely from the sources described in Subsection (3);
(b) shall mature no later than the date that is one year after the final maturity of the prior bonds;
(c) may not mature at a time or bear interest at a rate that will cause the local entity to be unable to pay, from the sources listed in Subsection (3), the bonds when due;
(d) shall bear interest as the governing body determines, subject to the provisions of Section 11-42-605 relating to interest;
(e) may be issued to pay one or more issues of the local entity's prior bonds; and
(f) if issued to refund two or more issues of prior bonds, may be issued in one or more series.
(5) A local entity may provide for the payment of incidental costs associated with refunding assessment bonds:
(a) by advancing money from the local entity's general fund or other fund, if the local entity's governing body:
(i) determines that the advance is in the best interests of the local entity and its citizens, including the owners of property within the assessment area; and
(ii) provides that the assessments, interest on assessments, and improvement revenue from which the prior bonds are payable not be reduced during the period necessary to provide funds from those sources to reimburse the local entity with interest at the same rate that applies to the assessments;
(b) from premiums that the local entity receives from the sale of refunding assessment bonds;
(c) from earnings on the investment of refunding assessment bonds pending their use to refund prior bonds;
(d) from any other sources legally available to the local entity for this purpose; or
(e) from any combination of Subsections (5)(a) through (d).
Enacted by Chapter 329, 2007 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42 - Assessment Area Act › Part 6 - Interim Warrants, Bond Anticipation Notes, Assessment Bonds, and Refunding Assessment Bonds › Section 609 - Validation of previously issued obligations.

11-42-609.
Validation of previously issued obligations.
(1) Subject to Subsection (2):
(a) all local entity obligations issued by a local entity before April 30, 2007 are:
(i) validated, ratified, and confirmed; and
(ii) declared to constitute legally binding obligations in accordance with their terms; and
(b) all proceedings before April 30, 2007 related to the authorization and issuance of local entity obligations are validated, ratified, and confirmed.
(2) Nothing in this section may be construed to affect the validity of local entity obligations, a guaranty fund, or a reserve fund whose legality is being contested on April 30, 2007.
(3)
(a) This chapter applies to all local entity obligations issued after April 30, 2007, even though proceedings were taken before that date under provisions of the law then in effect but repealed or modified on or after that date.
(b) Proceedings taken as described in Subsection (3)(a) under the law in effect before April 30, 2007 are validated, ratified, and confirmed, subject to question only as provided in Section 11-42-106.
(4) The validity of local entity obligations issued before April 30, 2007 is not affected by changes to the law under which they were issued that become effective on or after April 30, 2007.
Enacted by Chapter 329, 2007 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42 - Assessment Area Act › Part 7 - Guaranty and Reserve Funds › Section 701 - Guaranty fund.

11-42-701.
Guaranty fund.
(1) Except as provided in Section 11-42-702, each local entity that issues assessment bonds shall:
(a) create a guaranty fund, as provided in this section, to secure bonds, to the extent of the money in the fund; and
(b) fund the guaranty fund by:
(i) appropriations from the local entity's general fund;
(ii) a property tax levy of not to exceed .0002 per dollar of taxable value of taxable property within the local entity's jurisdictional boundaries;
(iii) issuing general obligation bonds; or
(iv) appropriations from other sources as determined by the local entity's governing body.
(2) A tax levied by a local entity under Subsection (1)(b)(ii) to fund a guaranty fund is not included for purposes of calculating the maximum levy limitation applicable to the local entity.
(3) A local entity may covenant for the benefit of bond holders that, as long as the bonds are outstanding and unpaid, the local entity will:
(a) create a guaranty fund as provided in this section;
(b)
(i) to the extent legally permissible and by any of the methods described in Subsection (1)(b), transfer each year to the guaranty fund an amount of money up to the amount the local entity would collect by levying a tax of .0002 per dollar of taxable value of taxable property within the local entity until the balance in the guaranty fund equals 10% of the amount of all outstanding bonds; and
(ii) in subsequent years transfer to the guaranty fund the amount necessary to replenish or maintain the guaranty fund at 10% of the amount of all outstanding bonds; and
(c) invest the funds on deposit in the guaranty fund as provided in Title 51, Chapter 7, State Money Management Act.
(4) A local entity may create subaccounts within a guaranty fund for each issue of outstanding assessment bonds and refunding assessment bonds in a manner that the local entity's governing body considers appropriate to allocate among the bond issues the securities held in and interest earnings on the guaranty fund for purposes of complying with federal law.
(5) A local entity may transfer to its general fund any money in its guaranty fund that exceeds 10% of the amount of all of the local entity's outstanding assessment bonds and refunding assessment bonds that are secured by the guaranty fund.
(6) For purposes of Subsections (3)(b) and (5), refunding assessment bonds may not be considered outstanding until the principal of and interest and any redemption premiums on the prior bonds that are refunded by the refunding assessment bonds are fully paid or legally considered to be paid.
Enacted by Chapter 329, 2007 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42 - Assessment Area Act › Part 7 - Guaranty and Reserve Funds › Section 702 - Reserve fund.

11-42-702.
Reserve fund.
(1) In lieu of creating and funding a guaranty fund under Section 11-42-701 for an issue of assessment bonds or refunding assessment bonds, a local entity may establish a reserve fund to secure the issue.
(2) If a local entity establishes a reserve fund under this section:
(a) the bonds secured by the reserve fund are not secured by a guaranty fund under Section 11-42-701;
(b) the local entity is not required to fund a guaranty fund under Section 11-42-701 for those bonds; and
(c) unless otherwise provided in this part or in the proceedings authorizing the issuance of bonds, the provisions of this part regarding a guaranty fund have no application to the bonds that are secured by the reserve fund.
(3) Each local entity that establishes a reserve fund shall:
(a) fund and replenish the reserve fund in the amounts and manner provided in the proceedings authorizing the issuance of the bonds that are secured by the reserve fund; and
(b) invest the funds on deposit in the reserve fund as provided in Title 51, Chapter 7, State Money Management Act.
(4)
(a) Subject to Subsection (4)(b), a local entity may replenish a reserve fund under this section by any of the methods described in Subsection 11-42-701(1)(b).
(b) The proceedings authorizing the issuance of assessment bonds or refunding assessment bonds shall provide that if a local entity uses any of the methods described in Subsection 11-42-701(1)(b) to replenish a reserve fund, the local entity shall be reimbursed, with interest at a rate that the local entity determines, with money that the local entity receives from foreclosing on delinquent property.
(5) Upon the retirement of bonds secured by a reserve fund, the local entity shall:
(a) terminate the reserve fund; and
(b) disburse all remaining money in the fund as provided in the proceedings authorizing the issuance of the bonds.
Amended by Chapter 246, 2009 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42 - Assessment Area Act › Part 7 - Guaranty and Reserve Funds › Section 703 - Payment from guaranty fund or reserve fund if insufficient funds available in the assessment fund -- Payment by warrant from guaranty fund or reserve fund -- Subrogation.

11-42-703.
Payment from guaranty fund or reserve fund if insufficient funds available in the assessment fund -- Payment by warrant from guaranty fund or reserve fund -- Subrogation.
(1) If a bond is presented to the local entity for payment at a time when there is insufficient money in the assessment fund to pay the amount due, the local entity shall pay the amount due from the guaranty fund or, if applicable, reserve fund.
(2) If there is insufficient money in the guaranty fund or, if applicable, the reserve fund to pay the amount due under Subsection (1), the local entity may pay by a warrant drawn against the guaranty fund or, if applicable, reserve fund.
(3) If a local entity pays from its guaranty fund or reserve fund any principal or interest owing under a bond:
(a) the local entity is subrogated to the rights of the bond holders; and
(b) the proceeds from the bond shall become part of the guaranty fund or reserve fund, as the case may be.
Enacted by Chapter 329, 2007 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42 - Assessment Area Act › Part 7 - Guaranty and Reserve Funds › Section 704 - Transfers from local entity funds to replenish guaranty fund or reserve fund.

11-42-704.
Transfers from local entity funds to replenish guaranty fund or reserve fund.
If the guaranty fund or, if applicable, the reserve fund has insufficient money for the local entity to purchase property on which it bids at a sale under Part 5, Assessment Liens, for delinquent assessments, the local entity may transfer or appropriate money from its general fund or other available sources, as the governing body determines, to replenish the guaranty fund or reserve fund.
Enacted by Chapter 329, 2007 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42 - Assessment Area Act › Part 7 - Guaranty and Reserve Funds › Section 705 - Warrants to meet guaranty fund and reserve fund liabilities -- Levy to pay warrants authorized -- Limit on the levy.

11-42-705.
Warrants to meet guaranty fund and reserve fund liabilities -- Levy to pay warrants authorized -- Limit on the levy.
(1) A local entity may issue warrants, bearing interest at a rate determined by the governing body, against a guaranty fund or reserve fund to meet any financial liabilities accruing against the fund.
(2)
(a) If a local entity issues warrants under Subsection (1), the local entity shall, subject to Subsection (2)(b), include in its next annual tax levy an amount sufficient, with other guaranty fund or reserve fund resources, to pay all issued and outstanding warrants under Subsection (1) for all assessment areas within the local entity.
(b) A levy under Subsection (2)(a):
(i) may not exceed .0002 per dollar of taxable value of taxable property in the local entity; and
(ii) is exempt from the statutory limit applicable to the local entity's property tax levy.
Enacted by Chapter 329, 2007 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42 - Assessment Area Act › Part 7 - Guaranty and Reserve Funds › Section 706 - Validation of prior guaranty fund or reserve fund proceedings.

11-42-706.
Validation of prior guaranty fund or reserve fund proceedings.
(1) Subject to Subsection (2), all proceedings before April 30, 2007 related to the creation, maintenance, and use of a guaranty fund or reserve fund are validated, ratified, and confirmed.
(2) Nothing in this section may be construed to affect the validity of a guaranty fund or reserve fund whose legality is being contested on April 30, 2007.
Enacted by Chapter 329, 2007 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 1 - General Provisions › Section 101 - Title.

Effective 3/28/2017
11-42a-101.
Title.
This chapter is known as the "Commercial Property Assessed Clean Energy Act" or "C-PACE Act."
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 1 - General Provisions › Section 103 - No limitation on other local entity powers -- Conflict with other statutory provisions.

Effective 3/28/2017
11-42a-103.
No limitation on other local entity powers -- Conflict with other statutory provisions.
(1) This chapter does not limit a power that a local entity has under other applicable law to:
(a) make an improvement or provide a service;
(b) create a district;
(c) levy an assessment or tax; or
(d) issue a bond or a refunding bond.
(2) If there is a conflict between a provision of this chapter and any other statutory provision, the provision of this chapter governs.
(3) After January 1, 2017, a local entity or the C-PACE district may create an energy assessment area within the certificated service territory of a public electrical utility for the installation of a renewable energy system with a nameplate rating of:
(a) no more than 2.0 megawatts; or
(b) more than 2.0 megawatts to serve load that the public electrical utility does not already serve.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 1 - General Provisions › Section 105 - Severability.

Effective 3/28/2017
11-42a-105.
Severability.
A court's invalidation of any provision of this chapter does not affect the validity of any other provision of this chapter.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 1 - General Provisions › Section 106 - C-PACE district established -- OED to direct and administer C-PACE district.

Effective 3/28/2017
11-42a-106.
C-PACE district established -- OED to direct and administer C-PACE district.
(1) There is created the C-PACE district.
(2) The C-PACE district may, subject to Subsection (3):
(a) designate an energy assessment area;
(b) levy an assessment;
(c) assign an energy assessment lien to a third-party lender; and
(d) collect an assessment within an energy assessment area in accordance with Section 11-42a-302.
(3)
(a) The C-PACE district may only take the actions described in Subsection (2) if a governing body makes a written request of the C-PACE district to, in accordance with this chapter:
(i) create an energy assessment area within the jurisdiction of the governing body; and
(ii) finance an improvement within that energy assessment area.
(b) Before creating an energy assessment area under Subsection (3)(a), the C-PACE district shall enter into an agreement with the relevant public electrical utility to establish the scope of the improvement to be financed.
(4)
(a) OED shall administer and direct the operation of the C-PACE district.
(b) OED may:
(i) adopt a fee schedule and charge fees, in accordance with Section 63J-1-504, to cover the cost of administering and directing the operation of the C-PACE district;
(ii) delegate OED's powers under this chapter to a third party to assist in administering and directing the operation of the C-PACE district; and
(iii) make rules, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, to establish procedures necessary to carry out the actions described in Subsection (2).
(c) If OED delegates OED's power under Subsection (4)(b)(ii), OED shall:
(i) delegate the authority through a written agreement with the third party; and
(ii) ensure that the written agreement includes provisions that:
(A) require the third party to be subject to an audit by the state auditor regarding the delegation;
(B) require the third party to submit to OED monthly reports, including information regarding the assessments the C-PACE district levies and the payments the C-PACE district receives; and
(C) insulate OED from liability for the actions of the third party and the C-PACE district while under the direction and administration of the third party.
(d) OED is subject to Title 63G, Chapter 7, Governmental Immunity Act of Utah.
(5) The state is not liable for the acts or omissions of the C-PACE district or the C-PACE district's directors, administrators, officers, agents, employees, third-party directors or administrators, or third-party lenders, including any obligation, expense, debt, or liability of the C-PACE district.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 2 - Energy Assessments › Section 202 - Designation of energy assessment area -- Requirements.

Effective 3/28/2017
11-42a-202.
Designation of energy assessment area -- Requirements.
A local entity may not include property in an energy assessment area unless the owner of the property located in the energy assessment area provides to the local entity:
(1) evidence that there are no existing delinquent taxes, special assessments, or water or sewer charges on the property;
(2) evidence that the property is not subject to a trust deed or other lien on which there is a recorded notice of default, foreclosure, or delinquency that has not been cured;
(3) evidence that there are no involuntary liens, including a lien on real property or on the proceeds of a contract relating to real property, for services, labor, or materials furnished in connection with the construction or improvement of the property; and
(4) the written consent of each person or institution holding a lien on the property.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 2 - Energy Assessments › Section 203 - Levying an assessment within an energy assessment area-- Prerequisites.

Effective 3/28/2017
11-42a-203.
Levying an assessment within an energy assessment area-- Prerequisites.
(1) If a local entity designates an energy assessment area in accordance with this chapter, the local entity may:
(a) levy an assessment within the energy assessment area; and
(b) collect the assessment by:
(i) directly billing the property owner; or
(ii) inclusion on a property tax notice issued in accordance with this section and Section 59-2-1317.
(2) If a local entity includes an assessment on a property tax notice as described in Subsection (1)(b) and bills for the assessment in the same manner as a property tax, the assessment constitutes a lien, is enforced, and is subject to other penalty provisions, in accordance with this chapter.
(3) If a local entity includes an assessment on a property tax notice, the county treasurer shall, on the property tax notice:
(a) clearly state that the assessment is for the improvement provided by the local entity; and
(b) itemize the assessment separately from any other tax, fee, charge, interest, or penalty that is included on the property tax notice in accordance with Section 59-2-1317.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 2 - Energy Assessments › Section 204 - Limit on amount of assessment.

Effective 5/8/2018
11-42a-204.
Limit on amount of assessment.
(1) An assessment levied within an energy assessment area may not, in the aggregate, exceed the sum of:
(a) the contract price or estimated contract price;
(b) overhead costs not to exceed 15% of the sum of the contract price or estimated contract price;
(c) an amount for contingencies of not more than 10% of the sum of the contract price or estimated contract price, if the assessment is levied before the completion of the construction of the improvements in the energy assessment area;
(d) capitalized interest; or
(e) an amount sufficient to fund a reserve fund.
(2) A local entity may only use the proceeds of an energy assessment bond or any third-party financing to refinance or reimburse the costs of improvements authorized under this chapter if the property owner incurred or financed the costs no earlier than three years before the day on which the local entity:
(a) adopts a parameters resolution;
(b) adopts an energy assessment resolution or ordinance; or
(c) assigns the energy assessment lien.
Amended by Chapter 431, 2018 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 2 - Energy Assessments › Section 205 - Installment payment of assessments.

Effective 5/8/2018
11-42a-205.
Installment payment of assessments.
(1) In an energy assessment resolution or ordinance that a local entity adopts under Subsection 11-42a-201(1)(a), the governing body may provide that some or all of the assessment be paid in installments:
(a) in accordance with the resolution or ordinance; and
(b) over a period not to exceed 30 years from the effective date of the resolution or ordinance.
(2)
(a) Each governing body that adopts an energy assessment resolution or ordinance that provides for the assessment to be paid in installments shall ensure that the resolution or ordinance provides that the unpaid balance of the assessment bears interest at a fixed rate, a variable rate, or a combination of fixed and variable rates, as determined by the governing body, from the effective date of the resolution or ordinance or another date that the resolution or ordinance specifies.
(b) Each governing body that adopts an energy assessment resolution or ordinance that provides for the unpaid balance of the assessment to bear interest at a variable rate shall ensure that the resolution or ordinance specifies:
(i) the basis upon which the rate is to be determined from time to time;
(ii) the manner in which and schedule upon which the rate is to be adjusted; and
(iii) a maximum rate that the assessment may bear.
(3) Interest payable on assessments may include:
(a) interest on energy assessment bonds;
(b) ongoing costs that the local entity incurs for administration of the energy assessment area;
(c) a trustee's fees and expenses; and
(d) any costs that the local entity incurs with respect to:
(i) securing a letter of credit or other instrument to secure payment or repurchase of bonds; or
(ii) retaining a marketing agent or an indexing agent.
(4) A property owner shall pay interest imposed in an energy assessment resolution or ordinance annually or at more frequent intervals as the resolution or ordinance provides, in addition to the amount of each installment.
(5)
(a) At any time, a property owner may prepay some or all of the assessment levied against the owner's property.
(b) A local entity may require that a prepayment of an installment include:
(i) an amount equal to the interest that would accrue on the assessment to the next date on which interest is payable on a bond issued or a loan made in anticipation of the collection of the assessment; and
(ii) the amount necessary, as determined by the governing body or the officer that the governing body designates, to ensure the availability of money to pay:
(A) interest that becomes due and payable on a bond or loan described in Subsection (5)(b)(i); and
(B) any premiums that become payable on a loan that is prepaid or on a bond that is called for redemption in order to use the money from the prepaid assessment installment.
Amended by Chapter 431, 2018 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 2 - Energy Assessments › Section 206 - Assessment fund -- Uses of money in the fund -- Treasurer's duties.

Effective 3/28/2017
11-42a-206.
Assessment fund -- Uses of money in the fund -- Treasurer's duties.
(1) Unless a local entity has assigned an energy assessment lien to a third-party lender under Section 11-42a-302, the governing body of each local entity that levies an assessment under this part on benefitted property within an energy assessment area, or the local entity's designee, may establish an assessment fund.
(2) The governing body or the local entity's designee, as applicable, shall deposit into the assessment fund all money paid to or for the benefit of the local entity from an assessment and interest on the assessment.
(3) The local entity may only expend money in an assessment fund for paying:
(a) local entity obligations; and
(b) costs that the local entity or the local entity's designee incurs with respect to the administration of the energy assessment area.
(4)
(a) The treasurer of the local entity or the local entity's designee, as applicable, is the custodian of the assessment fund, subject to Subsection (4)(c)(i).
(b) The treasurer of the local entity or the local entity's designee, as applicable, shall:
(i) keep the assessment fund intact and separate from all other local entity funds and money;
(ii) invest money in the assessment fund in accordance with Title 51, Chapter 7, State Money Management Act; and
(iii) keep on deposit in the assessment fund any interest the local entity receives from the investment of money in the assessment fund and use the interest exclusively for the purposes for which the governing body or the local entity's designee established the assessment fund.
(c) The treasurer of the local entity or the local entity's designee, as applicable, may:
(i) arrange for a trustee bank to hold the assessment fund on behalf of the local entity; and
(ii) pay money out of the assessment fund subject to Subsection (3).
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 3 - Energy Assessment Liens › Section 301 - Assessment constitutes a lien -- Characteristics of an energy assessment lien.

Effective 5/8/2018
11-42a-301.
Assessment constitutes a lien -- Characteristics of an energy assessment lien.
(1) If a local entity that adopts an assessment resolution or ordinance records the assessment resolution or ordinance and the notice of proposed assessment, in accordance with Section 11-42a-201, in the office of the recorder of the county in which the assessed property is located, each assessment levied under this chapter, including any installment of an assessment, interest, and any penalties and costs of collection, constitutes a political subdivision lien, as that term is defined in Section 11-60-102, against the assessed property, in accordance with Title 11, Chapter 60, Political Subdivision Lien Authority, and subject to the provisions of this chapter, beginning on the effective date of the energy assessment resolution or ordinance that the local entity adopts under Subsection 11-42a-201(1)(a).
(2) An energy assessment lien under this section:
(a) is superior to the lien of a trust deed, mortgage, mechanic's or materialman's lien, or other encumbrances;
(b) has the same priority as, but is separate and distinct from:
(i) a lien for general property taxes;
(ii) any other energy assessment lien levied under this chapter; or
(iii) an assessment lien levied under Title 11, Chapter 42, Assessment Area Act;
(c) applies to any reduced payment obligations without interruption, change in priority, or alteration in any manner; and
(d) continues until the assessment and any related reduced payment obligations, interest, penalties, and costs are paid, regardless of:
(i) a sale of the property for or on account of a delinquent general property tax, special tax, or other assessment; or
(ii) the issuance of a tax deed, an assignment of interest by the county, or a sheriff's certificate of sale or deed.
Amended by Chapter 197, 2018 General Session
Amended by Chapter 431, 2018 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 3 - Energy Assessment Liens › Section 302 - Assignment of energy assessment lien.

Effective 3/28/2017
11-42a-302.
Assignment of energy assessment lien.
(1)
(a) In lieu of issuing energy assessment bonds to finance the costs of improvements under this chapter, a third-party lender may provide financing to a property owner to finance, refinance, or reimburse the costs of improvements.
(b) A local entity, through the local entity's executive or administrator, as applicable, may assign to the third-party lender described in Subsection (1)(a) the local entity's rights in the energy assessment lien by entering into a written agreement with the third-party lender.
(2)
(a) If a local entity assigns the local entity's rights in an energy assessment lien to a third-party lender under Subsection (1), the local entity's executive or administrator, as applicable, may authorize the designation of the energy assessment area and the levying of the assessment in lieu of the adoption of an energy assessment resolution or ordinance by the governing body of the local entity under Section 11-42a-201.
(b) If a local entity assigns the local entity's rights under Subsection (1)(b), the local entity shall ensure that the written agreement with the third-party lender:
(i) includes the information required to be included within an energy assessment resolution or ordinance described in Section 11-42a-201;
(ii) complies with Section 11-42a-201;
(iii) requires the third-party lender to be subject to an audit by the state auditor regarding the assigned energy assessment lien;
(iv) requires the third-party lender to submit to the local entity monthly reports, including information regarding the payments the third-party lender receives; and
(v) insulates the local entity from liability for the actions of the third-party lender.
(3) If a local entity assigns an energy assessment lien to a third-party lender, in accordance with Subsection (1), except as provided in Subsection 11-42a-303(2), the third-party lender has and possesses the same powers and rights at law or in equity to enforce the lien that the local entity creating the lien would have if the local entity did not assign the lien, including the rights and powers of the local entity under Sections 11-42a-303 and 11-42a-304.
(4)
(a) Any financing in connection with the assignment of an energy assessment lien to a third-party lender under this section is not:
(i) an obligation of the local entity that assigns the lien; or
(ii) a charge against the general credit or taxing powers of the local entity that assigns the lien.
(b) A local entity may not obligate itself to pay any assessment levied or bond issued under this chapter.
(c) The assessments and the property upon which the energy assessment lien is recorded are the sole securities for the assignment of an energy assessment lien.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 3 - Energy Assessment Liens › Section 304 - Default in the payment of an installment of an assessment -- Interest and costs -- Restoring the property owner to the right to pay installments.

Effective 3/28/2017
11-42a-304.
Default in the payment of an installment of an assessment -- Interest and costs -- Restoring the property owner to the right to pay installments.
(1) If an assessment is payable in installments and a default occurs in the payment of an installment when due:
(a) the local entity may:
(i) declare the delinquent amount to be immediately due and subject to collection as provided in this chapter;
(ii) if the financed improvements are not completed by the completion deadline to which the property owner agreed in the bond or financing documents, then within 60 days after the completion deadline, accelerate payment of the total unpaid balance of the assessment and declare the whole of the unpaid principal and the interest then due to be immediately due and payable; and
(iii) charge and collect all costs of collection, including attorney fees; and
(b) except as provided in Subsection (1)(a)(ii), the local entity may not accelerate payment of the total unpaid balance of the assessment.
(2) Delinquency interest accrues from the date of delinquency on all applicable amounts described in Subsection (1)(a) until the property owner pays the delinquency in full.
(3) A local entity shall ensure that any interest that the local entity assesses under this section and any collection costs that the local entity charges under this section are the same as for delinquent real property taxes for the year in which the balance of the fee or charge becomes delinquent unless the local entity determines otherwise.
(4) Notwithstanding Subsection (1), a property owner may regain the right to pay an assessment in installments as if no default had occurred if the owner pays the amount of all unpaid installments that are past due with interest, collection and foreclosure costs, and administrative, redemption, and other fees, including attorney fees, before:
(a) the final date that payment may be legally made under a final sale or foreclosure of property to collect delinquent assessment installments, if the governing body enforces collection under Title 59, Chapter 2, Part 13, Collection of Taxes; or
(b) the end of the three-month reinstatement period provided in Section 57-1-31, if the governing body enforces collection through the method of foreclosing trust deeds.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 3 - Energy Assessment Liens › Section 305 - Release and discharge of energy assessment lien -- Notice of dissolution of energy assessment area.

Effective 3/28/2017
11-42a-305.
Release and discharge of energy assessment lien -- Notice of dissolution of energy assessment area.
(1)
(a) Upon payment in full of an assessment on a parcel of property, the local entity or third-party lender, in the event the local entity has assigned the energy assessment lien to the third-party lender, shall file a release and discharge of the energy assessment lien on the property in the office of the recorder of the county where the property is located.
(b) The local entity or third-party lender shall ensure that each release and discharge under Subsection (1)(a):
(i) includes a legal description of the affected property; and
(ii) complies with other applicable requirements for recording a document.
(2)
(a) Upon payment in full of all assessments levied within an energy assessment area, or upon providing for payment in full, the local entity or third-party lender, in the event the local entity has assigned the energy assessment lien to the third-party lender, shall file a notice of the dissolution of the energy assessment area in the office of the recorder of the county where the property within the energy assessment area is located.
(b) The local entity or third-party lender shall ensure that each notice under Subsection (2)(a):
(i) includes a legal description of the property assessed within the energy assessment area; and
(ii) complies with all other applicable requirements for recording a document.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 4 - Energy Assessment Bonds and Refunding Assessment Bonds › Section 402 - Energy assessment bond not a local entity's general obligation -- Liability and responsibility of a local entity issuing an energy assessment bond -- No state liability.

Effective 3/28/2017
11-42a-402.
Energy assessment bond not a local entity's general obligation -- Liability and responsibility of a local entity issuing an energy assessment bond -- No state liability.
(1)
(a) An energy assessment bond that a local entity issues under this chapter:
(i) is a limited obligation of the local entity; and
(ii) does not constitute nor give rise to:
(A) a general obligation or liability of the local entity or the state; or
(B) a charge against the general credit or taxing powers of the local entity or the state.
(b) The local entity shall ensure that the limitation described in Subsection (1)(a) is plainly stated upon the face of the bond.
(c) The assessments and the property upon which the energy assessment lien is recorded are the sole securities for an energy assessment bond.
(2)
(a) A local entity that issues an energy assessment bond is not liable and may not obligate itself for payment of the bond, except for a fund that the local entity creates and receives from assessments against which the bond is issued.
(b) Unless otherwise provided in this chapter, a local entity that issues an energy assessment bond is responsible for:
(i) the lawful levy of all assessments; and
(ii) the faithful accounting, collection, settlement, and payment of assessments.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42a - Commercial Property Assessed Clean Energy Act › Part 4 - Energy Assessment Bonds and Refunding Assessment Bonds › Section 403 - Refunding assessment bonds.

Effective 3/28/2017
11-42a-403.
Refunding assessment bonds.
(1) A local entity may, by a resolution adopted by the governing body, authorize the issuance of a refunding assessment bond as provided in this section, to repay prior bonds in whole or in part, whether at or before the maturity of the prior bonds, at stated maturity, upon redemption, or upon declaration of maturity.
(2)
(a) Subject to Subsection (2)(b), the issuance of a refunding assessment bond is governed by Title 11, Chapter 27, Utah Refunding Bond Act.
(b) If there is a conflict between a provision of Title 11, Chapter 27, Utah Refunding Bond Act, and a provision of this part, the provision of this part governs.
(3) In issuing a refunding assessment bond, the local entity shall require the refunding assessment bond and interest on the bond to be payable from and secured, to the extent the prior bonds were payable from and secured, by:
(a) the same assessments; or
(b) the reduced assessments adopted by the governing body under Section 11-42a-404.
(4) A refunding assessment bond:
(a) is payable solely from the sources described in Subsection (3);
(b) matures no later than one year after the date of final maturity of the prior bonds;
(c) does not mature at a time or bear interest at a rate that will cause the local entity to be unable to pay the bond when due from the sources listed in Subsection (3);
(d) bears interest as the governing body determines and subject to the provisions relating to interest in Section 11-42a-401; and
(e) pays one or more issues of the issuing local entity's prior bonds.
(5) If the bond refunds two or more issues of a local entity's prior bonds, the local entity may issue the bond in one or more series.
Enacted by Chapter 470, 2017 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42b - Convention and Tourism Business Assessment Area Act › Section 101 - Definitions.

Effective 5/4/2022
11-42b-101.
Definitions.
As used in this chapter:
(1) "Assessment" means the assessment that a specified county levies on benefitted properties under this chapter to pay for beneficial activities.
(2) "Assessment area" means a convention and tourism business assessment area designated under this chapter.
(3)
(a) "Beneficial activity" means any activity or service that increases hotel room rates or occupancy levels at lodging establishments.
(b) "Beneficial activity" includes an activity to:
(i) promote tourism;
(ii) sponsor or incentivize a cultural or sports event, festival, conference, or convention;
(iii) facilitate economic or workforce development for the lodging industry, including workforce recruitment or retention; or
(iv) promote placemaking, visitor management, or destination enhancement.
(4) "Benefitted property" means a lodging establishment that directly or indirectly benefits from a beneficial activity.
(5) "Guest" means an individual for whom a lodging establishment provides lodging accommodations for compensation.
(6) "Lodging establishment" means the same as that term is defined in Section 29-2-102.
(7) "Municipality" means a city, town, or metro township.
(8) "Owner" means the owner of a benefitted property, or the authorized agent or employee of the owner.
(9) "Qualified number of owners" means a number of owners of benefitted properties that represents 60% or more of the total assessment amount levied against all benefitted properties within a proposed or existing assessment area, provided that if an owner of one or more benefitted properties represents 40% or more of the total assessment amount levied against all benefitted properties within a proposed or existing assessment area, no more than 40% of the total assessment amount shall be attributed to that owner.
(10) "Specified county" means a county of the first or second class.
(11) "Third party administrator" means a private nonprofit organization, primarily engaged in destination marketing and promotion, that enters into a contract with a specified county to provide beneficial activities within an assessment area in accordance with the management plan.
Enacted by Chapter 376, 2022 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42b - Convention and Tourism Business Assessment Area Act › Section 103 - Petition to designate assessment area -- Requirements -- Management plan contents.

Effective 5/3/2023
11-42b-103.
Petition to designate assessment area -- Requirements -- Management plan contents.
(1) The process for a specified county to designate an assessment area is initiated by the filing of a petition with the legislative body of the specified county.
(2) A petition under Subsection (1) shall:
(a) include a proposed management plan that:
(i) describes:
(A) the boundaries and duration of the proposed assessment area;
(B) each benefitted property proposed to be assessed;
(C) the total estimated amount of assessment to be levied against all benefitted properties for each year an assessment is levied;
(D) the method by which the proposed assessment is calculated;
(E) the beneficial activities to be paid by assessments for each year an assessment is levied;
(F) the total estimated amount of assessment to be expended on beneficial activities for each year an assessment is levied;
(G) the proposed source or sources of financing, including the proposed method and basis of levying the assessment in sufficient detail to allow each owner of benefitted property to calculate the amount of the assessment to be levied against the owner's benefitted property;
(H) any proposed benefit zones as described in Subsection 11-42b-102(2)(b)(ii); and
(I) the interest, penalties, and costs or other requirements of the proposed assessment;
(ii) establishes procedures for collecting the proposed assessment;
(iii) requires the legislative body to contract with a third party administrator to implement the proposed beneficial activities within the assessment area; and
(iv) includes a statement regarding the right of a benefitted property to impose a surcharge on guests of the benefitted property as provided in Subsection 11-42b-102(4); and
(b) be signed by a qualified number of owners.
Amended by Chapter 139, 2023 General Session
2023 Utah Code › Title 11 - Cities, Counties, and Local Taxing Units › Chapter 42b - Convention and Tourism Business Assessment Area Act › Section 104 - Notice of proposed assessment area -- Requirements.

Effective 5/3/2023
11-42b-104.
Notice of proposed assessment area -- Requirements.
(1) If the legislative body of a specified county receives a petition that meets the requirements of Section 11-42b-103, the legislative body shall give notice of the proposed assessment area.
(2) The notice under Subsection (1) shall:
(a) include the following information:
(i) a statement that the legislative body received a petition to designate an assessment area under Section 11-42b-103;
(ii) a statement that the specified county proposes to:
(A) designate one or more areas within the specified county's geographic boundaries as an assessment area;
(B) contract with a third party administrator to provide beneficial activities within the proposed assessment area; and
(C) finance some or all of the cost of providing beneficial activities by an assessment on benefitted properties within the assessment area;
(iii) a summary of the contents of the proposed management plan, including the information described in Subsection 11-42b-103(2)(a)(i);
(iv) a statement explaining how an individual can access the petition described in Subsection (2)(a), including the contents of the proposed management plan;
(v) a statement that contains:
(A) the date described in Section 11-42b-105 and the location at which a protest under Section 11-42b-105 may be filed;
(B) the method by which the legislative body will determine the number of protests required to defeat the designation of the proposed assessment area or implementation of the proposed beneficial activities, subject to Subsection 11-42b-107(1)(b); and
(C) a statement in large, boldface, and conspicuous type explaining that an owner of a benefitted property must protest the designation of the assessment area in writing if the owner objects to the area designation or being assessed for the proposed beneficial activities;
(vi) the date, time, and place of the public hearing required in Section 11-42b-106; and
(vii) any other information the legislative body considers appropriate; and
(b) be published for the proposed assessment area, as a class B notice under Section 63G-30-102, for at least 20 days, but not more than 35 days, before the day of the hearing required in Section 11-42b-105.
(3)
(a) The legislative body may record the version of the notice that is published or posted in accordance with Subsection (2)(b) with the office of the county recorder.
(b) The notice recorded under Subsection (3)(a) expires and is no longer valid one year after the day on which the legislative body records the notice if the legislative body has failed to adopt the designation ordinance or resolution under Section 11-42b-102 designating the assessment area for which the notice was recorded.
Amended by Chapter 435, 2023 General Session