35A-8-507.5. Predevelopment grants.
| (1) |
The executive director may, under the direction of the board, award one or more predevelopment grants to a nonprofit or for-profit entity:
Terms Used In Utah Code 35A-8-507.5- Board: means the Housing Board created by this part. See Utah Code 35A-8-501
- City: includes , depending on population, a metro township as defined in Section 10-3c-102. See Utah Code 68-3-12.5
- Director: means the director of the division. See Utah Code 35A-8-101
- Executive director: means the executive director of the department appointed under Section 35A-1-201. See Utah Code 35A-1-102
- Moderate income housing: means housing occupied or reserved for occupancy by households with a gross household income equal to or less than 80% of the median gross income for households of the same size in the county in which the housing is located. See Utah Code 35A-8-101
- Rural: means a county in the state other than Utah, Salt Lake, Davis, or Weber. See Utah Code 35A-8-501
- 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
- Town: includes , depending on population, a metro township as defined in Section 10-3c-102. See Utah Code 68-3-12.5
| (a) |
in preparation for a project that:
| (i) |
involves the construction of moderate income housing units; and |
| (ii) |
is located within:
| (A) |
a city of the fifth or sixth class, or a town, in a rural area of the state; or |
| (B) |
any municipality or unincorporated area in a county of the fourth, fifth, or sixth class; and |
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| (b) |
in an amount of no more than $50,000 per project. |
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| (2) |
The executive director shall, under the direction of the board, award each predevelopment grant in accordance with the provisions of this section and the provisions related to grant applications, grant awards, and reporting requirements in this part. |
| (3) |
The recipient of a predevelopment grant:
| (a) |
may use grant funds to offset the predevelopment funds needed to prepare for the construction of low-income housing units, including market studies, surveys, environmental and impact studies, technical assistance, and preliminary architecture, engineering, or legal work; and |
| (b) |
may not use grant funds to pay for staff salaries or construction costs. |
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| (4) |
The executive director shall, under the direction of the board, prioritize the awarding of a predevelopment grant for a project that is located within:
| (a) |
a county of the fifth or sixth class; and |
| (b) |
an area that has underdeveloped infrastructure, as demonstrated by at least two of the following:
| (i) |
limited or no availability of natural gas; |
| (ii) |
limited or no availability of a sewer system; |
| (iii) |
limited or no availability of broadband Internet; |
| (iv) |
unpaved residential streets; or |
| (v) |
limited local construction professionals, vendors, or services. |
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Amended by Chapter 406, 2022 General Session
