SB 78 — Property Tax Relief Amendments

- 19 - SB0078 compared with SB0078S04 (c) For purposes of Subsection (9)(a)(ii), the commission shall calculate an amount by subtracting the total taxable value of real and personal property of a taxpayer the commission assesses in accordance with Part 2, Assessment of Property, for the current year, from the total year end taxable value of the real and personal property of a taxpayer the commission assesses in accordance with Part 2, Assessment of Property, for the previous year.

{Section 2.

Section 59-2-924.2 is amended to read:

} 59-2-924.2.

Adjustments to the calculation of a taxing entity's certified tax rate.

(1) For purposes of this section, "certified tax rate" means a certified tax rate calculated in accordance with Section 59-2-924.

(2) Beginning January 1, 1997, if a taxing entity receives increased revenues from uniform fees on tangible personal property under Section 59-2-405, 59-2-405.1, 59-2-405.2, 59-2-405.3, or 72-10-110.5 as a result of any county imposing a sales and use tax under Chapter 12, Part 11, County Option Sales and Use Tax, the taxing entity shall decrease its certified tax rate to offset the increased revenues.

(3) - 20 - SB0078S01 compared with SB0078S04 (a) Beginning July 1, 1997, if a county has imposed a sales and use tax under Chapter 12, Part 11, County Option Sales and Use Tax, the county's certified tax rate shall be:

(i) decreased on a one-time basis by the amount of the estimated sales and use tax revenue to be distributed to the county under Subsection 59-12-1102(4);

and (ii) increased by the amount necessary to offset the county's reduction in revenue from uniform fees on tangible personal property under Section 59-2-405, 59-2-405.1, 59-2-405.2, 59-2-405.3, or 72-10-110.5 as a result of the decrease in the certified tax rate under Subsection (3)(a)(i).

(b) The commission shall determine estimates of sales and use tax distributions for purposes of Subsection (3)(a).

(4) Beginning January 1, 1998, if a municipality has imposed an additional resort communities sales and use tax under Section 59-12-402, the municipality's certified tax rate shall be decreased on a one-time basis by the amount necessary to offset the first 12 months of estimated revenue from the additional resort communities sales and use tax imposed under Section 59-12-402.

(5) (a) This Subsection (5) applies to each county that:

(i) establishes a countywide special service district under Title 17D, Chapter 1, Special Service District Act, to provide jail service, as provided in Subsection 17D-1-201(10);

and (ii) levies a property tax on behalf of the special service district under Section 17D-1-105.

(b) (i) The certified tax rate of each county to which this Subsection (5) applies shall be decreased by the amount necessary to reduce county revenues by the same amount of revenues that will be generated by the property tax imposed on behalf of the special service district.

(ii) Each decrease under Subsection (5)(b)(i) shall occur contemporaneously with the levy on behalf of the special service district under Section 17D-1-105.

(6) (a) As used in this Subsection (6):

(i) "Annexing county" means a county whose unincorporated area is included within a public safety district by annexation.

(ii) "Annexing municipality" means a municipality whose area is included within a public safety district by annexation.

(iii) "Equalized public safety protection tax rate" means the tax rate that results from:

- 21 - SB0078S01 compared with SB0078S04 (A) calculating, for each participating county and each participating municipality, the property tax revenue necessary:

(I) in the case of a fire district, to cover all of the costs associated with providing fire protection, paramedic, and emergency services:

(Aa) for a participating county, in the unincorporated area of the county;

and (Bb) for a participating municipality, in the municipality;

or (II) in the case of a police district, to cover all the costs:

(Aa) associated with providing law enforcement service:

(Ii) for a participating county, in the unincorporated area of the county;

and (IIii) for a participating municipality, in the municipality;

and (Bb) that the police district board designates as the costs to be funded by a property tax;

and (B) adding all the amounts calculated under Subsection (6)(a)(iii)(A) for all participating counties and all participating municipalities and then dividing that sum by the aggregate taxable value of the property, as adjusted in accordance with Section 59-2-913:

(I) for participating counties, in the unincorporated area of all participating counties;

and (II) for participating municipalities, in all the participating municipalities.

(iv) "Fire district" means a service area under Title 17B, Chapter 2a, Part 9, Service Area Act:

(A) created to provide fire protection, paramedic, and emergency services;

and (B) in the creation of which an election was not required under Subsection 17B-1-214(3)(d).

(v) "Participating county" means a county whose unincorporated area is included within a public safety district at the time of the creation of the public safety district.

(vi) "Participating municipality" means a municipality whose area is included within a public safety district at the time of the creation of the public safety district.

(vii) "Police district" means a service area under Title 17B, Chapter 2a, Part 9, Service Area Act, within a county of the first class:

(A) created to provide law enforcement service;

and (B) in the creation of which an election was not required under Subsection 17B-1-214(3)(d).

(viii) "Public safety district" means a fire district or a police district.

(ix) "Public safety service" means:

(A) in the case of a public safety district that is a fire district, fire protection, paramedic, and emergency services;

and - 22 - SB0078S01 compared with SB0078S04 (B) in the case of a public safety district that is a police district, law enforcement service.

(b) In the first year following creation of a public safety district, the certified tax rate of each participating county and each participating municipality shall be decreased by the amount of the equalized public safety tax rate.

(c) In the first budget year following annexation to a public safety district, the certified tax rate of each annexing county and each annexing municipality shall be decreased by an amount equal to the amount of revenue budgeted by the annexing county or annexing municipality:

(i) for public safety service;

and (ii) in:

(A) for a taxing entity operating under a January 1 through December 31 fiscal year, the prior calendar year;

or (B) for a taxing entity operating under a July 1 through June 30 fiscal year, the prior fiscal year.

(d) Each tax levied under this section by a public safety district shall be considered to be levied by:

(i) each participating county and each annexing county for purposes of the county's tax limitation under Section 59-2-908;

and (ii) each participating municipality and each annexing municipality for purposes of the municipality's tax limitation under Section 10-5-112, for a town, or Section 10-6-133, for a city.

(e) The calculation of a public safety district's certified tax rate for the year of annexation shall be adjusted to include an amount of revenue equal to one half of the amount of revenue budgeted by the annexing entity for public safety service in the annexing entity's prior fiscal year if:

(i) the public safety district operates on a January 1 through December 31 fiscal year;

(ii) the public safety district approves an annexation of an entity operating on a July 1 through June 30 fiscal year;

and (iii) the annexation described in Subsection (6)(e)(ii) takes effect on July 1.

(7) (a) The base taxable value as defined in Section 17C-1-102 shall be reduced for any year to the extent necessary to provide a community reinvestment agency established under Title 17C, Limited Purpose Local Government Entities - Community Reinvestment Agency Act, with approximately the same amount of money the agency would have received without a reduction in the county's certified tax rate, calculated in accordance with Section 59-2-924, if:

(i) in that year there is a decrease in the certified tax rate under Subsection (2) or [(3)(a)] (3)(a)(i);

- 23 - SB0078S01 compared with SB0078S04 (ii) the amount of the decrease is more than 20% of the county's certified tax rate of the previous year;

and (iii) the decrease results in a reduction of the amount to be paid to the agency under Section 17C-1-403 or 17C-1-404.

(b) The base taxable value as defined in Section 17C-1-102 shall be increased in any year to the extent necessary to provide a community reinvestment agency with approximately the same amount of money as the agency would have received without an increase in the certified tax rate that year if:

(i) in that year the base taxable value as defined in Section 17C-1-102 is reduced due to a decrease in the certified tax rate under Subsection (2) or [(3)(a)] (3)(a)(i);

and (ii) the certified tax rate of a city, school district, special district, or special service district increases independent of the adjustment to the taxable value of the base year.

(c) Notwithstanding a decrease in the certified tax rate under Subsection (2) or (3)(a), the amount of money allocated and, when collected, paid each year to a community reinvestment agency established under Title 17C, Limited Purpose Local Government Entities - Community Reinvestment Agency Act, for the payment of bonds or other contract indebtedness, but not for administrative costs, may not be less than that amount would have been without a decrease in the certified tax rate under Subsection (2) or [(3)(a)] (3)(a)(i).

(8) (a) For the calendar year beginning on January 1, 2014, the calculation of a county assessing and collecting levy shall be adjusted by the amount necessary to offset:

(i) any change in the certified tax rate that may result from amendments to Part 16, Multicounty Assessing and Collecting Levy, in Laws of Utah 2014, Chapter 270, Section 3;

and (ii) the difference in the amount of revenue a taxing entity receives from or contributes to the Property Tax Valuation Fund, created in Section 59-2-1602, that may result from amendments to Part 16, Multicounty Assessing and Collecting Levy, in Laws of Utah 2014, Chapter 270, Section 3.

(b) A taxing entity is not required to comply with the notice and public hearing requirements in Section 59-2-919 for an adjustment to the county assessing and collecting levy described in Subsection (8) (a).

(9) If a taxing entity receives decreased revenues from uniform fees on tangible personal property under Section 59-2-405 as a result of any error in applying uniform fees to motor vehicle registration - 24 - SB0078S01 compared with SB0078S04 in the calendar year beginning on January 1, 2023, the commission may, for the calendar year beginning on January 1, 2024, increase the taxing entity's budgeted revenue to offset the decreased revenues.

(10) Beginning January 1, 2027:

(a) if a county receives increased revenues from payment of deferred property taxes under Section 59-2a-701 or 59-2a-901, the county's certified tax rate shall be decreased by the amount necessary to offset the increased revenues;

and (b) if a county receives decreased revenues from deferral of property taxes under Section 59-2a-701 or 59-2a-901, the county's certified tax rate shall be increased by the amount necessary to offset the decreased revenues.

- 25 - SB0078S01 compared with SB0078S04 (B) if applicable, a political subdivision lien for municipal water distribution, as described in Section 10-8-17, or a political subdivision lien for an increase in supply from a municipal water distribution, as described in Section 10-8-19;

- 20 - SB0078 compared with SB0078S04 (D) if applicable, a political subdivision lien for the unpaid portion of an assessment assessed in accordance with Title 11, Chapter 42, Assessment Area Act, or Title 11, Chapter 42a, Commercial Property Assessed Clean Energy Act, including unpaid costs, charges, and interest as of the date the local entity certifies the unpaid amount to the county treasurer;

- 26 - SB0078S01 compared with SB0078S04 (xiii) the penalty imposed on delinquent taxes and tax notice charges;

- 21 - SB0078 compared with SB0078S04 (xvi) if applicable, the following information in relation to a county relief levy imposed under Section 59-2a-114:

(6) (a) Subject to the other provisions of this Subsection (6), a county treasurer may, at the county treasurer's discretion, provide the notice required by this section by electronic mail if a taxpayer - 27 - SB0078S01 compared with SB0078S04 makes an election, according to procedures determined by the county treasurer, to receive the notice by electronic mail.

- 22 - SB0078 compared with SB0078S04 (c) A revocation of an election under this section does not relieve a taxpayer of the duty to pay a tax or tax notice charge due under this chapter on or before the due date for paying the tax or tax notice charge.

- 28 - SB0078S01 compared with SB0078S04 (i) affect the right or ability of a local entity to pursue any available remedy for non-payment of any item listed on a taxpayer's property tax notice;

{Section 4.3.

} - 23 - SB0078 compared with SB0078S04 59-2-1331.

and - 29 - SB0078S01 compared with SB0078S04 (B) that exists on the January 1 immediately following the date of delinquency.

(d) (i) The interest rate described in Subsection (2)(c) may not be:

[(i)](i) (A) less than 7%;

or [(ii)](ii) (B) more than 10%.

(ii)- Notwithstanding24 - SB0078 compared with SB0078S04 (e) The penalty described in Subsection (2)(c),(2)(a) foris purposes1% of Subsectionthe (2)(b),amount of the interestdelinquent ratetaxes forand antax individualnotice whocharges or $10, whichever is 65greater, yearsif oldall delinquent taxes, all tax notice charges, and the penalty are paid on or olderbefore isthe equalJanuary to31 6%.immediately following the delinquency date.

(e) The penalty described in Subsection (2)(a) is 1% of the amount of the delinquent taxes and tax notice charges or $10, whichever is greater, if all delinquent taxes, all tax notice charges, and the penalty are paid on or before the January 31 immediately following the delinquency date.

- 30 - SB0078S01 compared with SB0078S04 (4) The county treasurer may accept and credit on account against taxes and tax notice charges becoming due during the current year, at any time before or after the tax rates are adopted, but not subsequent to the date of delinquency, either:

(5) - 25 - SB0078 compared with SB0078S04 (a) At any time before the county treasurer provides the tax notice described in Section 59-2-1317, the county treasurer may refund amounts accepted and credited on account against taxes and tax notice charges becoming due during the current year.

{Section 5.4.

(1) (a) (i)If [If] Except as provided in Subsection (1)(a)(ii), if any property is not redeemed by March 15 following the lapse of four years from the date when any item in Subsection (1)(b) became delinquent, the county treasurer shall immediately file a listing with the county auditor of all properties whose redemption period is expiring in the nearest forthcoming tax sale to pay all outstanding property taxes and tax notice charges.

(ii) The county treasurer may not file a tax sale listing under this Subsection (1)(a) for an individual who, as of the first year in which any item in Subsection (1)(b) became delinquent, is 70 years old or older until the lapse of 10 years from the date on which the item in Subsection (1)(b) became delinquent.

- 31 - SB0078S01 compared with SB0078S04 (d) For a calendar year beginning on or after January 1, 2027, tax and tax notice charges deferred in accordance with Section 59-2a-701 or 59-2a-901 become delinquent only if full payment of the following is not made before the end of the deferral period:

- 26 - SB0078 compared with SB0078S04 (a) all money that the county treasurer received during the preceding month that is due to the entity;

(vii) in lieu fee collections on motor vehicles;[ and] - 32 - SB0078S01 compared with SB0078S04 (viii) the forfeited revenue amount, as defined in Section 59-2a-101;

- 27 - SB0078 compared with SB0078S04 (a) negotiate with a taxing entity or tax notice charge entity a procedure other than the procedure provided in Subsection (2)(a) to account for the transfer and receipt of money between the county and the taxing entity or tax notice charge entity;

[(5)] (6) - 33 - SB0078S01 compared with SB0078S04 (a) "Property valuation service" means any service or technology that promotes uniform assessment levels for the valuation of personal property and real property in accordance with Part 3, County Assessment.

- 28 - SB0078 compared with SB0078S04 (1) (a) There is created a custodial fund known as the "Property Tax Valuation Fund." (b) The fund consists of:

- 34 - SB0078S01 compared with SB0078S04 (ii) in addition to and exempt from the maximum levies allowable under Section 59-2-908;

- 29 - SB0078 compared with SB0078S04 (d) The state treasurer shall allocate the penalties received under this Subsection (3) in the same manner as revenue is allocated under Subsection (2)(c).

and - 35 - SB0078S01 compared with SB0078S04 (B) conform to rules the commission makes in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.

(b) A county or impacted taxing entity that receives loan proceeds under this Subsection (5), either directly or indirectly, may not increase the county's or impacted taxing entity's certified tax rate as - 30 - SB0078 compared with SB0078S04 a result of receiving less property tax revenue from the county's granting of deferrals under Chapter 2a, Part 9, Nondiscretionary Deferral for Eligible Owners.

or - 36 - SB0078S01 compared with SB0078S04 (b) for each calendar year after the calendar year that begins on January 1, 2023, the amount of the adjusted taxable value limit for the previous year plus an amount calculated by multiplying the amount of the adjusted taxable value limit for the previous year by the actual percent change in the {[consumer price index{]} Consumer Price Index} during the previous calendar year.

and (b) for a calendar year in which an eligible owner received a deferral {under Part 7, Discretionary Deferral } for {Eligible Owners, or } the preceding calendar year under Part 9, Nondiscretionary - 31 - SB0078 compared with SB0078S04 Deferral for Eligible Owners, {for the preceding calendar year, } the amount of property taxes levied on the eligible owner's primary residence for the calendar year immediately preceding the calendar year {for } in which the eligible owner first received the deferral.

or] [(B) 67 years old or older if the individual was born on or after January 1, 1960.] [(b) Notwithstanding Subsection {[} (5)(a){] (7)(a)}, "claimant" includes a surviving spouse:] - 37 - SB0078S01 compared with SB0078S04 [(i) regardless of:] [(A) the age of the surviving spouse;

and] - 32 - SB0078 compared with SB0078S04 [(iv) if the surviving spouse is unmarried at the time the surviving spouse files the claim.] [(c) If two or more individuals of a household are able to meet the qualifications for a claimant, the individuals may determine among them as to who the claimant shall be, but if the individuals are unable to agree, the matter shall be referred to the county legislative body for a determination of the claimant of an owned residence and to the commission for a determination of the claimant of a rented residence.] [(6)] (8){(7)} "Consumer {[price index{]} Price Index}" means[:] [(a) for Part 2, Renter's Credit, and Part 3, Homeowner's Credit,] the Consumer Price Index - All Urban Consumers, Housing United States Cities Average, published by the Bureau of Labor Statistics of the United States Department of Labor[;

- 38 - SB0078S01 compared with SB0078S04 [(8)] (11) "Deferral" means a postponement of a tax due date or a tax notice charge granted in accordance with Section [59-2a-701, 59-2a-801, or ]59-2a-901.

and]} - 33 - SB0078 compared with SB0078S04 [(iii)] (iv) {whose household liquid resources do not exceed }[20] 40{ times the amount of property taxes levied on the owner's residence for the preceding calendar year;

or]} {[(b) that is a trust described in Section 59-2a-109 if the grantor of the trust is an individual described in Subsection }[(9)(a)] (12)(a){.]} {(12) "Eligible owner" means:} {(a) for a deferral under Part 7, Discretionary Deferral for Eligible Owners, an owner of an attached or detached single-family residence:} {(i)} {(A) who uses the residence as the owner's primary residence as of January 1 of the calendar year for which the owner applies for the deferral;} {(B) who owns the residence for at least one year as of January 1 of the calendar year for which the owner applies for the deferral;} {(C) whose household income does not exceed $60,000,$50,000; subject to adjustment in accordance with 59-2a-701(11);

and} {(D) whose household liquid resources do not exceed 4020 times the amount of property taxes levied on the residence for the preceding calendar year;

and} {(b) for a deferral under Part 9, Nondiscretionary Deferral for Eligible Owners, an owner of an attached or detached single-family residence:} - 39 - SB0078S01 compared with SB0078S04 {(i)} {(A) who uses the residence as the owner's primary residence as of January 1 of the calendar year for which the owner applies for the deferral;} {(B) who owns the residence for at least one year as of January 1 of the calendar year for which the owner applies for the deferral;} {(C) who is 65 years old or older on or before December 31 of the calendar year for which the owner applies for the deferral;} {(D) whose household income does not exceed $75,000,$60,000; subject to adjustment in accordance with Subsection 59-2a-901(11);

and} {(E) whose household liquid resources do not exceed 4020 times the amount of property taxes levied on the residence for the preceding calendar year;

or} {(ii) that is a trust described in Section 59-2a-109 if the grantor of the trust is an individual described in Subsection (12)(b)(i).} - 34 - SB0078 compared with SB0078S04 [(10)] (13) {(a)} "Eligible property" means property owned by a veteran claimant that is:

{[(a){]}(a) {{(i)}the } except as provided in Subsection (13)(b), }the veteran claimant's primary residence, including a residence that the veteran claimant does not reside in because the veteran claimant is admitted as an inpatient at a health care facility as defined in Section 26B-4-501;

or {[(b){]}(b) {(ii)} } tangible personal property that:

{[(i){]}(i) {(A)} } is held exclusively for personal use;

and {[(ii){]}(ii) {(B)} } is not used in a trade or business.

{(b) "Eligible property" does not include a veteran claimant's primary residence if the veteran claimant's household liquid resources exceed 40 times the amount of property taxes levied on the primary residence for the preceding calendar year.} [(11){] {(14)} } (a) "Gross rent" means rent actually paid in cash or the cash equivalent solely for the right of occupancy, at arm's length, of a residence, exclusive of charges for any utilities, services, furniture, furnishings, or personal appliances furnished by the landlord as a part of the rental agreement.] [(b) If a claimant occupies two or more residences in the year, "gross rent" means the total rent paid for the residences during the one-year period for which the renter files a claim under this part.] [(12){] {(15)} } - 40 - SB0078S01 compared with SB0078S04 (a) "Homeowner" means:] [(i) an individual whose name is listed on the deed of a residence;

- 35 - SB0078 compared with SB0078S04 (i) for a claimant who owns a residence, the calendar year preceding the calendar year in which property taxes are due;

- 41 - SB0078S01 compared with SB0078S04 [(17)] (20){(18)} "Income" means the sum of:

and] [(d) cannot pay the tax assessed on the individual's residence when the tax becomes due.] - 36 - SB0078 compared with SB0078S04 (19) "Impacted taxing entity" means any taxing entity within a county that receives a decrease in budgeted property tax revenue in a calendar year as a result of the county's provision of property tax relief.

- 42 - SB0078S01 compared with SB0078S04 (iv) support money received;

- 37 - SB0078 compared with SB0078S04 (v) relief provided under this chapter;

[(21){] {(24)} } (a) "Property taxes accrued" means property taxes, exclusive of special assessments, delinquent interest, and charges for service, levied on 35% of the fair market value, as reflected on the assessment roll, of a claimant's residence in this state.] - 43 - SB0078S01 compared with SB0078S04 [(b) For a mobile home, "property taxes accrued" includes taxes imposed on both the land upon which the home is situated and on the structure of the home itself, whether classified as real property or personal property taxes.] [(c) The relief described in Subsection {[} (21)(a){] (24)(a)} constitutes:] [(i) a tax abatement for the poor in accordance with Utah Constitution, Article XIII,{[}XIII,{ Section 3;

and]and} [(ii){[} { Section 3;

andand] {(ii)}[(ii) the residential exemption provided for in Section 59-2-103.] [(d) For purposes of this Subsection {[} (21){] (24)}, property taxes accrued are levied on the lien date.] [(e) When a household owns and occupies two or more different residences in this state in the same calendar year, and neither residence is acquired or sold during the calendar year for which relief is claimed under this part, property taxes accrued shall relate only to the residence occupied on the lien date by the household as the household's principal place of residence.] [(f) (i) If a residence is an integral part of a large unit such as a farm or a multipurpose or multidwelling building, property taxes accrued shall be calculated on the percentage that the value of the residence is of the total value of the unit.] - 38 - SB0078 compared with SB0078S04 [(ii) For purposes of this Subsection {[} (21)(f){] (24)(f)}, "unit" refers to the parcel of property covered by a single tax statement of which the residence is a part.] {[(22){]} {(25)} } "Property taxes due" means:

- 44 - SB0078S01 compared with SB0078S04 [(i)] [(A)] (i) the taxes due for which the county or the commission grants an exemption;

and] [(d) foster care maintenance payments provided from the General Fund or under Title IV-E of the Social Security Act.] - 39 - SB0078 compared with SB0078S04 [(25)] (28){(24)} "Qualifying active duty military service" means at least 200 days, regardless of whether consecutive, in any continuous 365-day period of active duty military service outside the state in an active component of the United States Armed Forces or a reserve component of the United States Armed Forces, if the days of active duty military service:

[(27){] {(30)} } "Qualifying increase" means a valuation that is equal to or more than 150% higher than the previous year's valuation for property that:] - 45 - SB0078S01 compared with SB0078S04 [(a) is county assessed;

or] - 40 - SB0078 compared with SB0078S04 [(C) both the individual and a nonadverse party;

and] [(c) is obligated to pay the taxes on that portion of the trust property beginning January 1 of the year the individual makes the claim.] [(29){] {(32)} } "Relative" means a spouse, child, parent, grandparent, grandchild, brother, sister, parent-in-law, brother-in-law, sister-in-law, nephew, niece, aunt, uncle, first cousin, or a spouse of any of these individuals.] [(30){] {(33)} } "Rental assistance payment" means any payment that:] [(a) is made by a:] - 46 - SB0078S01 compared with SB0078S04 [(i) governmental entity;] [(ii) charitable organization;

- 41 - SB0078 compared with SB0078S04 (b) "Residence" does not include personal property such as furniture, furnishings, or appliances.

or - 47 - SB0078S01 compared with SB0078S04 (c) a minor orphan of:

- 42 - SB0078 compared with SB0078S04 (i) a legal guardian;

- 48 - SB0078S01 compared with SB0078S04 [(4) The relief described in Subsection {[} 59-2a-101(21)(a){] 59-2a-101(24)(a)} is in addition to any other exemption or reduction for which a homeowner may be eligible, including the homeowner's credit provided for in Section 59-2a-305.] Section 9.

(2) A county granting an [abatement described in Subsection {[} 59-2a-101(21){] 59-2a-101(24)} or to an indigent individual, a homeowner's credit, or an ]exemption described in Part 5, Veteran Armed Forces Exemption, or Part 6, Active Duty Armed Forces Exemption, shall refund to the recipient - 43 - SB0078 compared with SB0078S04 of the [abatement, homeowner's credit, or ]exemption an amount equal to the amount by which the property taxes paid exceed the property taxes due, if that amount is $1 or more.

- 49 - SB0078S01 compared with SB0078S04 (2) title will revest as described in Subsection (1), regardless of whether the power described in Subsection (1) is a power to revoke, terminate, alter, amend, or appoint;

- 44 - SB0078 compared with SB0078S04 (c) for each calendar year after the first calendar year in which the county implements the county relief program, the county, in accordance with Section 59-2a-114:

and - 50 - SB0078S01 compared with SB0078S04 (v) for not more than 50% of the total tax levied for the individual for the current year.

- 45 - SB0078 compared with SB0078S04 (5) The authority granted to counties under this section is an extension of the Legislature's exercise of authority to provide for property tax relief by statute under Utah Constitution, Article XIII, Section 3.

and - 51 - SB0078S01 compared with SB0078S04 (iii) for at least 14 days before the day on which the taxing entity conducts the public hearing required under this section;

and - 46 - SB0078 compared with SB0078S04 (d) include any other information the county requires to administer the county relief program.

and - 52 - SB0078S01 compared with SB0078S04 (b) in each calendar year after the calendar year described in Subsection (2)(a) in which the county provides relief through the county relief program.

{Section 9.8.

} - 47 - SB0078 compared with SB0078S04 59-2a-205.

If household income is Percentage of gross rent allowed as a credit $0 -- [$13,884] $14,490 9.5% [$13,885 -- $18,515] $14,491 -- $19,324 8.5% [$18,516 -- $23,141] $19,325 -- $24,152 7.0% [$23,142 -- $27,770] $24,153 -- $28,983 5.5% [$27,771 -- $32,401] $28,984 -- $33,816 4.0% [$32,402 -- $36,754] $33,817 -- $38,360 3.0% [$36,755 -- $40,840] $38,361 -- $42,623 2.5% - 53 - SB0078S01 compared with SB0078S04 (b) For [a] the calendar year beginning on [or after ]January 1, [2025] 2026, the commission shall increase or decrease the household income eligibility amounts under Subsection (1)(a) by a percentage equal to the percentage difference between the [consumer price index] Consumer Price Index for the preceding calendar year and the [consumer price index] Consumer Price Index for calendar year [2023] 2024.

If household income is Percentage of gross rent Maximum credit amount allowed as a credit $0 -- $14,500 9.5% $2,000 $14,501 -- $18,750 8.5% $1,750 - 48 - SB0078 compared with SB0078S04 $18,751 -- $23,000 7.0% $1,500 $23,001 -- $27,250 5.5% $1,250 $27,251 -- $31,500 4.0% $1,000 $31,501 -- $35,750 3.0% $750 $35,751 -- $40,000 2.5% $500 $40,001 -- $46,000 2.0% $250 (b) For a calendar year beginning on or after January 1, 2028:

[(2)] (3) - 54 - SB0078S01 compared with SB0078S04 (a) A claimant may claim a renter's credit under this part only for gross rent that does not constitute a rental assistance payment.

or - 49 - SB0078 compared with SB0078S04 (b) a dependent with respect to whom another individual claims a tax credit under Section 24(h)(4), Internal Revenue Code, during any portion of a calendar year for which the individual seeks to claim the renter's credit under this section.

[(6) A credit under this section may not exceed the maximum amount allowed as a homeowner's credit for each income bracket under Section 59-2a-305.] {Section 10.9.

- 55 - SB0078S01 compared with SB0078S04 (i) be on forms provided by the county that meet the requirements of Subsection 59-2a-103(3);

- 50 - SB0078 compared with SB0078S04 (ii) A county may not obtain payment from the General Fund for the amount described in Subsection [59-2a-101(21)] 59-2a-101(24).

{Section 11.10.

- 56 - SB0078S01 compared with SB0078S04 If household income is Homeowner's credit $0 -- [$13,884] $14,490 [$1,259] $1,312 [$13,885 -- $18,515] $14,491 -- $19,324 [$1,105] $1,151 [$18,516 -- $23,141] $19,325 -- $24,152 [$954] $993 [$23,142 -- $27,770] $24,153 -- $28,983 [$726] $756 [$27,771 -- $32,401] $28,984 -- $33,816 [$577] $600 [$32,402 -- $36,754] $33,817 -- $38,360 [$351] $364 [$36,755 -- $40,840] $38,361 -- $42,623 [$197] $204 (b) For [a] the calendar year beginning on[ or after] January 1, [2025,] 2026:

- 51 - SB0078 compared with SB0078S04 (c) The household income eligibility and credit amounts under Subsection (1)(a) that apply for the calendar year beginning on January 1, 2026, as adjusted in accordance with Subsection (1)(b), shall apply for each calendar year beginning on or after January 1, 2027.

(b) For a calendar year in which a residence is sold, the amount received as a homeowner's credit under this section or as an abatement described in Subsection [59-2a-101(21)] 59-2a-101(24) on 20% of - 57 - SB0078S01 compared with SB0078S04 the fair market value of the residence shall be repaid to the county on or before the day on which the sale of the residence closes.

[(4) After the commission has adjusted the homeowner credit amount under Subsection (1)(b), the commission shall increase each homeowner credit amount under Subsection (1) by $49.] - 52 - SB0078 compared with SB0078S04 {Section 12.11.

- 58 - SB0078S01 compared with SB0078S04 (a) the [amount provided as a homeowner's] maximum amount available as a renter's credit for the lowest household income bracket as described in Section [59-2a-305] 59-2a-205;

{Section 13.12.

- 53 - SB0078 compared with SB0078S04 (a) the applicant or a member of the applicant's immediate family had an illness or injury that prevented the applicant from filing the application on or before the September 1 application deadline;

Section 14.13.

Discretionary Deferral for Eligible Owners - 59 - SB0078S01 compared with SB0078S04 59-2a-701.

and - 54 - SB0078 compared with SB0078S04 (iii) there are no delinquent property taxes, delinquent tax notice charges, or outstanding penalties, interest, or administrative costs related to a delinquent property tax or a delinquent tax notice charge due on the residence, other than:

- 60 - SB0078S01 compared with SB0078S04 (c) For purposes of Subsections 59-2-1331(2)(g)(ii) and 59-2-1343(1)(d), the deferral period ends on the last day of:

- 55 - SB0078 compared with SB0078S04 (c) To release the lien described in this Subsection (5), except as provided in Subsections (5)(d) through (f), an eligible owner shall pay the total amount subject to the lien:

- 61 - SB0078S01 compared with SB0078S04 (ii) After the residential property transfers between the eligible owner and a trust described in Subsection (5)(e)(i), the deferred taxes, deferred tax notice charges, and applicable recording fees are due when the residential property is no longer the eligible owner's primary residence.

- 56 - SB0078 compared with SB0078S04 (g) When the deferral period ends:

- 62 - SB0078S01 compared with SB0078S04 (a) provide notice of the adjusted property tax amount to the holder of each mortgage or trust deed outstanding on the residential property;

(11){Section For14. a calendar year beginning on or after January 1, 2028, the commission shall increase or decrease the household income eligibility amount specified in Subsection 59-2a-101(12)(a)(i)(C) by a percentage equal to the percentage difference between the Consumer Price Index for the preceding calendar year and the Consumer Price Index for calendar year 2026.

{Section 15.

(b) An indigent individual may for the same property apply and potentially qualify only for a deferral under this part, or both a deferral under this part and Part 8, Nondiscretionary Deferral for Property - 57 - SB0078 compared with SB0078S04 with Qualifying Increase[, or Part 9, Nondiscretionary Deferral for Elderly Property Owners, an abatement, or both].

- 63 - SB0078S01 compared with SB0078S04 (4) Both spouses shall sign an application if the application seeks a deferral or abatement on a residence:

- 58 - SB0078 compared with SB0078S04 (ii) the eligible {owner is not receiving an abatement under Part 4, Abatement for Indigent Individuals, or a deferral under Part 7, Discretionary Deferral for Eligible Owners, for the same } owner's equity interest in the residence{;} exceeds the sum of:

and - 64 - SB0078S01 compared with SB0078S04 (B) accrued interest on the taxes and tax notice charges described in Subsection {(2)(b)(iv)(A)} (2)(b) (iii)(A);

(a) the adjusted property tax amount is {100%{75% of the lesser of} :

- 59 - SB0078 compared with SB0078S04 (iv) for an eligible owner whose household income is $35,000 or more but less than $45,000, 25% of the lesser of:

- 65 - SB0078S01 compared with SB0078S04 (i) the initial one-year deferral period, if the county does not extend the deferral period under Subsection (4)(b);

- 60 - SB0078 compared with SB0078S04 (ii) After the residential property transfers to the eligible owner's surviving spouse, the deferred taxes, deferred tax notice charges, and applicable recording fees are due:

(f) - 66 - SB0078S01 compared with SB0078S04 (i) An eligible owner that receives a deferral under this section does not have to pay the deferred taxes, deferred tax notice charges, or applicable recording fees when the residential property transfers between the eligible owner and a special needs trust as described in 42 U.S.C.

- 61 - SB0078 compared with SB0078S04 (7) (a) For each residential property for which the county grants a deferral under this section, the county treasurer shall maintain a record that is an itemized account of the total amount of deferred property taxes and deferred tax notice charges subject to the lien.

- 67 - SB0078S01 compared with SB0078S04 {(11) {For a calendar year beginning on or after January 1, 2028, the commission shall increase or decrease the household income eligibility amount specified in Subsection 59-2a-101(12)(b)(i)(D) by a percentage equal to the percentage difference between the Consumer Price Index for the preceding calendar year and the Consumer Price Index for calendar year 2026.} } Section 15.

- 62 - SB0078 compared with SB0078S04 (iii) the failure of the applicant to file the application on or before the September 1 application deadline was beyond the reasonable control of the applicant;

and] - 68 - SB0078S01 compared with SB0078S04 [(iii) proof of household income.] (4) Both spouses shall sign an application if the application seeks a deferral on a residence:

- 63 - SB0078 compared with SB0078S04 (10) The primary care grant program created in Section 26B-4-310.

- 69 - SB0078S01 compared with SB0078S04 (16) The Communication Habits to reduce Adolescent Threats (CHAT) Pilot Program created in Section 26B-7-122.

- 64 - SB0078 compared with SB0078S04 (30) The Governor's Office of Economic Opportunity to fund the Enterprise Zone Act, as provided in Title 63N, Chapter 2, Part 2, Enterprise Zone Act.

- 70 - SB0078S01 compared with SB0078S04 (35) The Division of Human Resource Management user training program, as provided in Section 63A-17-106.

- 65 - SB0078 compared with SB0078S04 This bill repeals:

- 71 - SB0078S01 compared with SB0078S04 Section 59-2a-206, Determination of rent when not arm's-length transaction.

Operating and Capital Budgets - 66 - SB0078 compared with SB0078S04 Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures Act, the Legislature appropriates the following sums of money from the funds or accounts indicated for the use and support of the government of the state of Utah.

Property Tax Deferral 1,148,000 Under the provisions of Utah Code Annotated - 72 - SB0078S01 compared with SB0078S04 Title 63G, Chapter 6b, the Legislature intends that the Division of Finance provide a direct award grant of $1,148,000 to the Utah Association of Counties in Fiscal Year 2027 for payment of loans to counties and administrative costs in accordance with Subsection 59-2-1602(5), enacted in S.B.

and - 67 - SB0078 compared with SB0078S04 (ii) pay the program manager's administrative costs in making loans under this Subsection (6).

3-4-26 6:07 PM - 7368 -