Bill > HB0427

This bill modifies the process for public entities to use tax increment financing, a tool where future increases in tax revenue within a designated area are used to fund development projects. Key provisions include requiring public entities to hold a public "application authorization meeting" to approve seeking tax increment, and then submit a detailed "application" to a designated office. This application must include a "but-for analysis" demonstrating why the project wouldn't proceed without tax increment, an explanation of how benefits to local residents are proportionate to other beneficiaries, and an estimate of projected revenues and their present value using an "approximated discount rate." The designated office will review applications within 30 days, approving them if they meet the requirements and are not demonstrably inaccurate, and will make approved application information publicly available. The bill also mandates that any excess tax increment revenue collected beyond the approved "maximum cap" must be used to pay down debt, and public entities must notify relevant authorities when they are approaching or have reached this cap.

https://le.utah.gov/~2026/bills/static/HB0427.html