Utah Code 17B-1-311. Board member prohibited from district employment

17B-1-311. Board member prohibited from district employment — Exception.

(1)	No elected or appointed member of the board of trustees of a special district may, while serving on the board, be employed by the district, whether as an employee or under a contract.

Contract: A legal written agreement that becomes binding when signed.
Person: means an individual, corporation, partnership, organization, association, trust, governmental agency, or other legal entity. See Utah Code 17B-1-102
Public transit district: means a special district that operates under and is subject to the provisions of this chapter and Chapter 2a, Part 8, Public Transit District Act, including an entity that was created and operated as a public transit district under the law in effect before April 30, 2007. See Utah Code 17B-1-102
Special district: means a limited purpose local government entity, as described in Section 17B-1-103, that operates under, is subject to, and has the powers described in:

(a)	this chapter; or

(b)

(i)	this chapter; and

(ii)

(A)

(B)

(C)

(D)

(E)

(F)

(G)

(H)

(I)

(J)

10; or

(K)	11. See Utah Code 17B-1-102 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
(2)	No person employed by a special district, whether as an employee or under a contract, may serve on the board of that special district.

(3)

A special district is not in violation of a prohibition described in Subsection (1) or (2) if the special district:

(a)	treats a member of a board of trustees as an employee for income tax purposes; and

(b)	complies with the compensation limits of Section 17B-1-307 for purposes of that member.

(4)

This section does not apply to a special district if:

(a)	fewer than 3,000 people in the state live within 40 miles of the special district’s boundaries or primary place of employment, measured over all weather public roads; and

(b)

with respect to the employment of a board of trustees member under Subsection (1):

(i)	the job opening has had reasonable public notice; and

(ii)	the person employed is the best qualified candidate for the position.

(5)	This section does not apply to a board of trustees of a large public transit district as described in 8.

Amended by Chapter 15, 2023 General Session

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