§ 17B-2a-804 — Additional public transit district powers.

(1) In addition to the powers conferred on a public transit district under Section 17B-1-103, a public transit district may:
(1)(a) provide a public transit system for the transportation of passengers and their incidental baggage;
(1)(b) notwithstanding Subsection 17B-1-103(2)(g) and subject to Section 17B-2a-817, levy and collect property taxes only for the purpose of paying:
(1)(b)(i) principal and interest of bonded indebtedness of the public transit district; or
(1)(b)(ii) a final judgment against the public transit district if:
(1)(b)(ii)(A) the amount of the judgment exceeds the amount of any collectable insurance or indemnity policy; and
(1)(b)(ii)(B) the district is required by a final court order to levy a tax to pay the judgment;
(1)(c) insure against:
(1)(c)(i) loss of revenues from damage to or destruction of some or all of a public transit system from any cause;
(1)(c)(ii) public liability;
(1)(c)(iii) property damage; or
(1)(c)(iv) any other type of event, act, or omission;
(1)(d) subject to Section 72-1-203 pertaining to fixed guideway capital development within a large public transit district, acquire, contract for, lease, construct, own, operate, control, or use:
(1)(d)(i) a right-of-way, rail line, monorail, bus line, station, platform, switchyard, terminal, parking lot, or any other facility necessary or convenient for public transit service; or
(1)(d)(ii) any structure necessary for access by persons and vehicles;
(1)(e) (1)(e)(i) hire, lease, or contract for the supplying or management of a facility, operation, equipment, service, employee, or management staff of an operator; and
(1)(e)(ii) provide for a sublease or subcontract by the operator upon terms that are in the public interest;
(1)(f) operate feeder bus lines and other feeder or ridesharing services as necessary;
(1)(g) accept a grant, contribution, or loan, directly through the sale of securities or equipment trust certificates or otherwise, from the United States, or from a department, instrumentality, or agency of the United States;
(1)(h) study and plan transit facilities in accordance with any legislation passed by Congress;
(1)(i) cooperate with and enter into an agreement with the state or an agency of the state or otherwise contract to finance to establish transit facilities and equipment or to study or plan transit facilities;
(1)(j) subject to Subsection 17B-2a-808.1(4), issue bonds as provided in and subject to Chapter 1, Part 11, Special District Bonds, to carry out the purposes of the district;
(1)(k) from bond proceeds or any other available funds, reimburse the state or an agency of the state for an advance or contribution from the state or state agency;
(1)(l) do anything necessary to avail itself of any aid, assistance, or cooperation available under federal law, including complying with labor standards and making arrangements for employees required by the United States or a department, instrumentality, or agency of the United States;
(1)(m) sell or lease property;
(1)(n) except as provided in Subsection (2)(b), assist in or operate transit-oriented or transit-supportive developments;
(1)(o) subject to Subsections (2) and (3), establish, finance, participate as a limited partner or member in a development with limited liabilities in accordance with Subsection (1)(p), construct, improve, maintain, or operate transit facilities, equipment, and, in accordance with Subsection (3), transit-oriented developments or transit-supportive developments; and
(1)(p) subject to the restrictions and requirements in Subsections (2) and (3), assist in a transit-oriented development or a transit-supportive development in connection with project area development as defined in Section 17C-1-102 by:
(1)(p)(i) investing in a project as a limited partner or a member, with limited liabilities; or
(1)(p)(ii) subordinating an ownership interest in real property owned by the public transit district.
(2) (2)(a) A public transit district may only assist in the development of areas under Subsection (1)(p) that have been approved by the board of trustees, and in the manners described in Subsection (1)(p).
(2)(b) A public transit district may not invest in a transit-oriented development or transit-supportive development as a limited partner or other limited liability entity under the provisions of Subsection (1)(p)(i), unless the partners, developer, or other investor in the entity, makes an equity contribution equal to no less than 25% of the appraised value of the property to be contributed by the public transit district.
(2)(c) (2)(c)(i) For transit-oriented development projects, a public transit district shall adopt transit-oriented development policies and guidelines that include provisions on affordable housing.
(2)(c)(ii) For transit-supportive development projects, a public transit district shall work with the metropolitan planning organization and city and county governments where the project is located to collaboratively seek to create joint plans for the areas within one-half mile of transit stations, including plans for affordable housing.
(2)(d) A current board member of a public transit district to which the board member is appointed may not have any interest in the transactions engaged in by the public transit district in accordance with Subsection (1)(p)(i) or (ii), except as may be required by the board member's fiduciary duty as a board member.
(3) For any transit-oriented development or transit-supportive development authorized in this section, the public transit district shall:
(3)(a) perform a cost-benefit analysis of the monetary investment and expenditures of the development, including effect on:
(3)(a)(i) service and ridership;
(3)(a)(ii) regional plans made by the metropolitan planning agency;
(3)(a)(iii) the local economy;
(3)(a)(iv) the environment and air quality;
(3)(a)(v) affordable housing; and
(3)(a)(vi) integration with other modes of transportation;
(3)(b) provide evidence to the public of a quantifiable positive return on investment, including improvements to public transit service; and
(3)(c) coordinate with the Department of Transportation in accordance with Section 72-1-203 pertaining to fixed guideway capital development and associated parking facilities within a station area plan for a transit oriented development within a large public transit district.
(4) For any fixed guideway capital development project with oversight by the Department of Transportation as described in Section 72-1-203, a large public transit district shall coordinate with the Department of Transportation in all aspects of the project, including planning, project development, outreach, programming, environmental studies and impact statements, impacts on public transit operations, and construction.
(5) A public transit district may participate in a transit-oriented development only if:
(5)(a) for a transit-oriented development involving a municipality:
(5)(a)(i) the relevant municipality has developed and adopted a station area plan; and
(5)(a)(ii) the municipality is in compliance with Sections 10-21-201 and 10-21-202 regarding the inclusion of moderate income housing in the general plan and the required reporting requirements; or
(5)(b) for a transit-oriented development involving property in an unincorporated area of a county, the county is in compliance with Sections 17-79-403 and 17-80-202 regarding inclusion of moderate income housing in the general plan and required reporting requirements.
(6) A public transit district may be funded from any combination of federal, state, local, or private funds.
(7) A public transit district may not acquire property by eminent domain.

Legislative History

Amended by Chapter 15, 2025 Special Session 1