10-8-2.  Appropriations — Acquisition and disposal of propertyMunicipal authority — Corporate purpose — Procedure — Notice of intent to acquire real property.

(1) 

Terms Used In Utah Code 10-8-2

  • Appeal: A request made after a trial, asking another court (usually the court of appeals) to decide whether the trial was conducted properly. To make such a request is "to appeal" or "to take an appeal." One who appeals is called the appellant.
  • Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
  • Municipal: means of or relating to a municipality. See Utah Code 10-1-104
  • Municipality: means :
(a) a city of the first class, city of the second class, city of the third class, city of the fourth class, city of the fifth class;
(b) a town, as classified in Section 10-2-301; or
(c) a metro township as that term is defined in Section 10-2a-403 unless the term is used in the context of authorizing, governing, or otherwise regulating the provision of municipal services. See Utah Code 10-1-104
  • Person: means an individual, corporation, partnership, organization, association, trust, governmental agency, or any other legal entity. See Utah Code 10-1-104
  • Property: includes both real and personal property. See Utah Code 68-3-12.5
  • real property: includes :Utah Code 68-3-12.5
  • Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
  • Unincorporated: means not within a municipality. See Utah Code 10-1-104
  • (a)  Subject to Section 11-41-103, a municipal legislative body may:

    (i)  appropriate money for corporate purposes only;

    (ii)  provide for payment of debts and expenses of the corporation;

    (iii)  subject to Subsections (4) and (5), purchase, receive, hold, sell, lease, convey, and dispose of real and personal property for the benefit of the municipality, whether the property is within or without the municipality’s corporate boundaries, if the action is in the public interest and complies with other law;

    (iv)  improve, protect, and do any other thing in relation to this property that an individual could do; and

    (v)  subject to Subsection (2) and after first holding a public hearing, authorize municipal services or other nonmonetary assistance to be provided to or waive fees required to be paid by a nonprofit entity, whether or not the municipality receives consideration in return.

    (b)  A municipality may:

    (i)  furnish all necessary local public services within the municipality;

    (ii)  purchase, hire, construct, own, maintain and operate, or lease public utilities located and operating within and operated by the municipality; and

    (iii)  subject to Subsection (1)(c), acquire by eminent domain, or otherwise, property located inside or outside the corporate limits of the municipality and necessary for any of the purposes stated in Subsections (1)(b)(i) and (ii), subject to restrictions imposed by 5, and general law for the protection of other communities.

    (c)  Each municipality that intends to acquire property by eminent domain under Subsection (1)(b) shall comply with the requirements of Section 78B-6-505.

    (d)  Subsection (1)(b) may not be construed to diminish any other authority a municipality may claim to have under the law to acquire by eminent domain property located inside or outside the municipality.

    (2) 

    (a)  Services or assistance provided pursuant to Subsection (1)(a)(v) is not subject to the provisions of Subsection (3).

    (b)  The total amount of services or other nonmonetary assistance provided or fees waived under Subsection (1)(a)(v) in any given fiscal year may not exceed 1% of the municipality’s budget for that fiscal year.

    (3)  It is considered a corporate purpose to appropriate money for any purpose that, in the judgment of the municipal legislative body, provides for the safety, health, prosperity, moral well-being, peace, order, comfort, or convenience of the inhabitants of the municipality subject to this Subsection (3).

    (a)  The net value received for any money appropriated shall be measured on a project-by-project basis over the life of the project.

    (b) 

    (i)  A municipal legislative body shall establish the criteria for a determination under this Subsection (3).

    (ii)  A municipal legislative body’s determination of value received is presumed valid unless a person can show that the determination was arbitrary, capricious, or illegal.

    (c)  The municipality may consider intangible benefits received by the municipality in determining net value received.

    (d) 

    (i)  Before the municipal legislative body makes any decision to appropriate any funds for a corporate purpose under this section, the municipal legislative body shall hold a public hearing.

    (ii)  For at least 14 days before the date of the hearing, the municipal legislative body shall publish a notice of the hearing described in Subsection (3)(d)(i) for the municipality, as a class A notice under Section 63G-30-102.

    (e) 

    (i)  Before a municipality provides notice as described in Subsection (3)(d)(ii), the municipality shall perform a study that analyzes and demonstrates the purpose for an appropriation described in this Subsection (3) in accordance with Subsection (3)(e)(iii).

    (ii)  A municipality shall make the study described in Subsection (3)(e)(i) available at the municipality for review by interested parties at least 14 days immediately before the public hearing described in Subsection (3)(d)(i).

    (iii)  A municipality shall consider the following factors when conducting the study described in Subsection (3)(e)(i):

    (A)  what identified benefit the municipality will receive in return for any money or resources appropriated;

    (B)  the municipality’s purpose for the appropriation, including an analysis of the way the appropriation will be used to enhance the safety, health, prosperity, moral well-being, peace, order, comfort, or convenience of the inhabitants of the municipality; and

    (C)  whether the appropriation is necessary and appropriate to accomplish the reasonable goals and objectives of the municipality in the area of economic development, job creation, affordable housing, elimination of a development impediment, job preservation, the preservation of historic structures and property, and any other public purpose.

    (f) 

    (i)  An appeal may be taken from a final decision of the municipal legislative body, to make an appropriation.

    (ii)  A person shall file an appeal as described in Subsection (3)(f)(i) with the district court within 30 days after the day on which the municipal legislative body makes a decision.

    (iii)  Any appeal shall be based on the record of the proceedings before the legislative body.

    (iv)  A decision of the municipal legislative body shall be presumed to be valid unless the appealing party shows that the decision was arbitrary, capricious, or illegal.

    (g)  The provisions of this Subsection (3) apply only to those appropriations made after May 6, 2002.

    (h)  This section applies only to appropriations not otherwise approved pursuant to Title 10, Chapter 5, Uniform Fiscal Procedures Act for Utah Towns, or Title 10, Chapter 6, Uniform Fiscal Procedures Act for Utah Cities.

    (4) 

    (a)  Before a municipality may dispose of a significant parcel of real property, the municipality shall:

    (i)  provide notice of the proposed disposition for the municipality, as a class A notice under Section 63G-30-102, for at least 14 days before the opportunity for public comment under Subsection (4)(a)(ii); and

    (ii)  allow an opportunity for public comment on the proposed disposition.

    (b)  Each municipality shall, by ordinance, define what constitutes
         a significant parcel of real property for purposes of Subsection (4)(a).

    (5) 

    (a)  Except as provided in Subsection (5)(d), each municipality intending to acquire real property for the purpose of expanding the municipality’s infrastructure or other facilities used for providing services that the municipality offers or intends to offer shall provide written notice, as provided in this Subsection (5), of its intent to acquire the property if:

    (i)  the property is located:

    (A)  outside the boundaries of the municipality; and

    (B)  in a county of the first or second class; and

    (ii)  the intended use of the property is contrary to:

    (A)  the anticipated use of the property under the general plan of the county in whose unincorporated area or the municipality in whose boundaries the property is located; or

    (B)  the property’s current zoning designation.

    (b)  Each notice under Subsection (5)(a) shall:

    (i)  indicate that the municipality intends to acquire real property;

    (ii)  identify the real property; and

    (iii)  be sent to:

    (A)  each county in whose unincorporated area and each municipality in whose boundaries the property is located; and

    (B)  each affected entity.

    (c)  A notice under this Subsection (5) is a protected record as provided in Subsection 63G-2-305(8).

    (d) 

    (i)  The notice requirement of Subsection (5)(a) does not apply if the municipality previously provided notice under Section 10-9a-203 identifying the general location within the municipality or unincorporated part of the county where the property to be acquired is located.

    (ii)  If a municipality is not required to comply with the notice requirement of Subsection (5)(a) because of application of Subsection (5)(d)(i), the municipality shall provide the notice specified in Subsection (5)(a) as soon as practicable after its acquisition of the real property.

    Amended by Chapter 435, 2023 General Session