The governing body of each local entity that levies an assessment under this part on benefitted property within an assessment area shall establish an assessment fund.
Terms Used In Utah Code 11-42-412
Assessment area: means an area, or, if more than one area is designated, the aggregate of all areas within a local entity's jurisdictional boundaries that is designated by a local entity under 2, for the purpose of financing the costs of improvements, operation and maintenance, or economic promotion activities that benefit property within the area. See Utah Code 11-42-102
payable in part or in whole from assessments levied in an assessment area, improvement revenues, and a guaranty fund or reserve fund. See Utah Code 11-42-102
Assessment fund: means a special fund that a local entity establishes under Section 11-42-412. See Utah Code 11-42-102
Governing body: means :
(a)
for a county, city, or town, the legislative body of the county, city, or town;
(b)
for a special district, the board of trustees of the special district;
(c)
for a special service district:
(i)
the legislative body of the county, city, or town that established the special service district, if no administrative control board has been appointed under Section 17D-1-301; or
(ii)
the administrative control board of the special service district, if an administrative control board has been appointed under Section 17D-1-301;
(d)
for the military installation development authority created in Section 63H-1-201, the board, as defined in Section 63H-1-102;
(e)
for the Utah Inland Port Authority, created in Section 11-58-201, the board, as defined in Section 11-58-102; and
(f)
for a public infrastructure district, the board of the public infrastructure district as defined in Section 17D-4-102. See Utah Code 11-42-102
Local entity: means :
(a)
a county, city, town, special service district, or special district;
(b)
an interlocal entity as defined in Section 11-13-103;
(c)
the military installation development authority, created in Section 63H-1-201;
Local entity obligations: means assessment bonds, refunding assessment bonds, interim warrants, and bond anticipation notes issued by a local entity. See Utah Code 11-42-102
Property: includes real property and any interest in real property, including water rights and leasehold rights. See Utah Code 11-42-102
State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
Trustee: A person or institution holding and administering property in trust.
(2)
The governing body shall:
(a)
deposit into the assessment fund all money paid to the local entity from assessments and interest on assessments; and
(b)
deposit into a separate account in the assessment fund all money paid to the local entity from improvement revenues.
(3)
Money in an assessment fund may be expended only for paying:
(a)
the local entity’s costs and expenses of making, operating, and maintaining improvements to the extent permitted under Section 11-42-415;
(b)
operation and maintenance costs;
(c)
economic promotion activities;
(d)
local entity obligations; and
(e)
costs that the local entity incurs with respect to:
(i)
administration of the assessment area; or
(ii)
obtaining a letter of credit or other instrument or fund to secure the payment of assessment bonds.
(4)
The treasurer of the local entity:
(a)
shall:
(i)
subject to Subsection (4)(b)(i), be the custodian of the assessment fund;
(ii)
keep the assessment fund intact and separate from all other local entity funds and money;
keep on deposit in the assessment fund any interest received from the investment of money in the assessment fund and use the interest exclusively for the purposes for which the assessment fund was established; and
(b)
may:
(i)
arrange for the assessment fund to be held by a trustee bank on behalf of the local entity; and
(ii)
pay money out of the assessment fund only for the purposes listed in Subsection (3).
(5)
When all local entity obligations have been paid or legally considered paid in full, the treasurer of the local entity shall transfer all money remaining in the assessment fund as provided in Section 11-42-414.
