§ 10-21-201 — Moderate income housing plan required.

(1) A moderate income housing element of a general plan shall include a moderate income housing plan that meets the requirements of this section.
(2) A moderate income housing plan:
(2)(a) shall provide a realistic opportunity to meet the need for additional moderate income housing within the municipality during the next five years;
(2)(b) for a municipality that is not a specified municipality, may include a recommendation to implement three or more of the moderate income housing strategies described in Subsection (3)(a)(iii);
(2)(c) for a specified municipality that does not have a fixed guideway public transit station, shall include a recommendation to implement three or more of the moderate income housing strategies described in Subsection (3)(a)(iii) or at least one of the moderate income housing strategies described in Subsections (3)(a)(iii)(X) through (CC);
(2)(d) for a specified municipality that has a fixed guideway public transit station, shall include:
(2)(d)(i) a recommendation to implement five or more of the moderate income housing strategies described in Subsection (3)(a)(iii), of which one shall be the moderate income housing strategy described in Subsection (3)(a)(iii)(U) and one shall be a moderate income housing strategy described in Subsection (3)(a)(iii)(G) or (H); or
(2)(d)(ii) a recommendation to implement the moderate income housing strategy described in Subsection (3)(a)(iii)(U), one of the moderate income housing strategies described in Subsections (3)(a)(iii)(X) through (CC), and one moderate income housing strategy described in Subsection (3)(a)(iii); and
(2)(e) for a specified municipality shall include an implementation plan as provided in Subsection (4).
(3) (3)(a) In drafting the moderate income housing element, the planning commission:
(3)(a)(i) shall consider the Legislature's determination that municipalities shall facilitate a reasonable opportunity for a variety of housing, including moderate income housing:
(3)(a)(i)(A) to meet the needs of people of various income levels living, working, or desiring to live or work in the community; and
(3)(a)(i)(B) to allow people with various incomes to benefit from and fully participate in all aspects of neighborhood and community life;
(3)(a)(ii) for a municipality that is not a specified municipality, may include, and for a specified municipality shall include, an analysis of how the municipality will provide a realistic opportunity for the development of moderate income housing within the next five years;
(3)(a)(iii) for a municipality that is not a specified municipality, may include, and for a specified municipality shall include, a recommendation to implement the required number of any of the following moderate income housing strategies as specified in Subsection (2):
(3)(a)(iii)(A) rezone for densities necessary to facilitate the production of moderate income housing;
(3)(a)(iii)(B) demonstrate investment in the rehabilitation or expansion of infrastructure that facilitates the construction of moderate income housing;
(3)(a)(iii)(C) demonstrate investment in the rehabilitation of existing uninhabitable housing stock into moderate income housing;
(3)(a)(iii)(D) identify and utilize general fund subsidies or other sources of revenue to waive construction related fees that are otherwise generally imposed by the municipality for the construction or rehabilitation of moderate income housing;
(3)(a)(iii)(E) create or allow for, and reduce regulations related to, internal or detached accessory dwelling units in residential zones;
(3)(a)(iii)(F) zone or rezone for higher density or moderate income residential development in commercial or mixed-use zones near major transit investment corridors, commercial centers, or employment centers;
(3)(a)(iii)(G) amend land use regulations to allow for higher density or new moderate income residential development in commercial or mixed-use zones near major transit investment corridors;
(3)(a)(iii)(H) amend land use regulations to eliminate or reduce parking requirements for residential development where a resident is less likely to rely on the resident's own vehicle, such as residential development near major transit investment corridors or senior living facilities;
(3)(a)(iii)(I) amend land use regulations to allow for single room occupancy developments;
(3)(a)(iii)(J) implement zoning incentives for moderate income units in new developments;
(3)(a)(iii)(K) preserve existing and new moderate income housing and subsidized units by utilizing a landlord incentive program, providing for deed restricted units through a grant program, or, notwithstanding Section 10-21-301, establishing a housing loss mitigation fund;
(3)(a)(iii)(L) reduce, waive, or eliminate impact fees related to moderate income housing;
(3)(a)(iii)(M) demonstrate creation of, or participation in, a community land trust program for moderate income housing;
(3)(a)(iii)(N) implement a mortgage assistance program for employees of the municipality, an employer that provides contracted services to the municipality, or any other public employer that operates within the municipality;
(3)(a)(iii)(O) apply for or partner with an entity that applies for state or federal funds or tax incentives to promote the construction of moderate income housing, an entity that applies for programs offered by the Utah Housing Corporation within the Utah Housing Corporation's funding capacity, an entity that applies for affordable housing programs administered by the Department of Workforce Services, an entity that applies for affordable housing programs administered by an association of governments established by an interlocal agreement under Title 11, Chapter 13, Interlocal Cooperation Act, an entity that applies for services provided by a public housing authority to preserve and create moderate income housing, or any other entity that applies for programs or services that promote the construction or preservation of moderate income housing;
(3)(a)(iii)(P) demonstrate utilization of a moderate income housing set aside from a community reinvestment agency, redevelopment agency, or community development and renewal agency to create or subsidize moderate income housing;
(3)(a)(iii)(Q) eliminate impact fees for any accessory dwelling unit that is not an internal accessory dwelling unit as defined in Section 10-21-101;
(3)(a)(iii)(R) create a program to transfer development rights for moderate income housing;
(3)(a)(iii)(S) ratify a joint acquisition agreement with another local political subdivision for the purpose of combining resources to acquire property for moderate income housing;
(3)(a)(iii)(T) develop a moderate income housing project for residents who are disabled or 55 years old or older;
(3)(a)(iii)(U) develop and adopt a station area plan in accordance with Section 10-21-203;
(3)(a)(iii)(V) create or allow for, and reduce regulations related to, multifamily residential dwellings compatible in scale and form with detached single-family residential dwellings and located in walkable communities within residential or mixed-use zones;
(3)(a)(iii)(W) demonstrate implementation of any other program or strategy to address the housing needs of residents of the municipality who earn less than 80% of the area median income, including the dedication of a local funding source to moderate income housing or the adoption of a land use ordinance that requires 10% or more of new residential development in a residential zone be dedicated to moderate income housing;
(3)(a)(iii)(X) create a housing and transit reinvestment zone in accordance with Title 63N, Chapter 3, Part 6, Housing and Transit Reinvestment Zone Act;
(3)(a)(iii)(Y) create a home ownership promotion zone in accordance with Part 5, Home Ownership Promotion Zone for Municipalities;
(3)(a)(iii)(Z) create a first home investment zone in accordance with Title 63N, Chapter 3, Part 16, First Home Investment Zone Act;
(3)(a)(iii)(AA) approve a project that receives funding from, or qualifies to receive funding from, the Utah Homes Investment Program created in Title 51, Chapter 12, Utah Homes Investment Program;
(3)(a)(iii)(BB) adopt or approve a qualifying affordable home ownership density bonus for single-family residential units, as described in Section 10-21-401; and
(3)(a)(iii)(CC) adopt or approve a qualifying affordable home ownership density bonus for multi-family residential units, as described in Section 10-21-402; and
(3)(b) the planning commission shall identify each moderate income housing strategy recommended to the legislative body for implementation by restating the exact language used to describe the strategy in Subsection (3)(a)(iii).
(4) (4)(a) In drafting the implementation plan portion of the moderate income housing element as described in Subsection (2)(c), the planning commission shall recommend to the legislative body the establishment of a five-year timeline for implementing each of the moderate income housing strategies selected by the municipality for implementation.
(4)(b) The timeline described in Subsection (4)(a) shall:
(4)(b)(i) identify specific measures and benchmarks for implementing each moderate income housing strategy selected by the municipality, whether one-time or ongoing; and
(4)(b)(ii) provide flexibility for the municipality to make adjustments as needed.

Legislative History

Enacted by Chapter 15, 2025 Special Session 1