{"data":{"id":"us-ut/utah-code-63n-3a-403","jurisdiction":"us-ut","citation":"Utah Code § 63N-3a-403","heading":"Committee consideration of a zone with energy implications.","body":"(1) The committee shall approve an application for a zone designation if the application demonstrates that:\n(a) the proposed zone includes land suitable for a large load data center based on:\n(i) access to electrical energy resources; and\n(ii) adequate water supply; and\n(b) the proposed development plan:\n(i) aligns with the state's regional and statewide economic development objectives;\n(ii) includes realistic timelines and milestones;\n(iii) identifies specific infrastructure improvements; and\n(iv) quantifies projected economic benefits to the residents who live near the zone.\n(2)\n(a) The committee shall establish the percentage of property tax increment a regionally significant development zone is authorized to capture and utilize as described in Subsection 63N-3a-203(4), including establishing the percentage of property tax increment that shall be deposited into the reinvestment account.\n(b) If the committee approves a proposal to divert personal property tax revenue, the committee shall establish:\n(i) the percentage of personal property tax revenue that shall be diverted to the county or municipality that creates the zone; and\n(ii) the remitting percentage that the county treasurer shall deposit into the reinvestment account.\n(c) The remitting percentage of property tax increment revenue for a zone described in this part is established in Subsection (3).\n(3) Beginning January 1 following the designation of a zone as described in this section, the county treasurer shall:\n(a) transfer the percentage, established by the committee under Subsection (2)(b)(i), of revenue attributed to personal property tax within the zone to the agency managing the zone;\n(b) transfer the remitting percentage, established by the committee under Subsection (2)(b)(ii), of revenue attributed to personal property tax within the zone into the reinvestment account;\n(c) transfer the percentage of property tax increment, as established by the committee under Subsection (2)(a), generated within the zone to the zone's creating entity;\n(d) deposit the percentage of tax increment established under Subsection (2)(a) for deposit into the reinvestment account into the reinvestment account; and\n(e) make the distributions required under this Subsection (3):\n(i) at the same time as regular annual property tax distributions; and\n(ii) using the same method as other property tax distributions.\n(4) A county or municipality that receives revenue under Subsection (3) may:\n(a) transfer revenue to the agency managing the zone, to be used as regionally significant development zone revenue as described in Title 17C, Chapter 6, Regionally Significant Development Zones Act;\n(b) transfer revenue to a regional economic development authority with a project area that overlaps the zone, as described in Subsection 63N-3a-208(7)(b), in accordance with an agreement between the county or municipality and the regional economic development authority;\n(c) subject to Subsection (5), use the revenue to provide an incentive;\n(d) use the revenue to facilitate infrastructure development, including electrical energy infrastructure development and water infrastructure development; and\n(e) use the revenue to support workforce development programs within the county or municipality.\n(5)\n(a) Beginning May 6, 2027, a county or municipality, or a regional economic development authority that shares zone revenue with a county or municipality, may only provide an incentive to a large load data center from the revenue the county or municipality receives, or that is shared with the regional economic development authority, of up to 80% of the diverted personal property tax revenue as described under Subsection (3).\n(b) Notwithstanding Subsection (5)(a):\n(i) a county that levies the county energy excise tax authorized in Section 59-37-201 may offer up to 80% of the revenue the county collects annually from the county energy excise tax as an incentive for a large load data center, as described in Section 11-41-202; and\n(ii) a municipality that levies the municipal energy tax authorized in Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act, may provide up to 80% of the revenue generated by the municipal energy tax as an incentive to a large load data center, as described in Section 11-41-202.\n(6) Nothing in this section authorizes a political subdivision other than one described in Subsection (4) or (5) to offer an incentive to a large load data center, as described in Title 11, Chapter 41, Part 2, Prohibition on Tax Increment Incentives for Large Load Data Centers Act.","path":["Title 63N Economic Opportunity Act","Chapter 63N-3a Coordination Of Regional Economic Development Activity","Part 63N-3a-4 Regionally Significant Zones With Energy Implications"],"source_url":"https://le.utah.gov/xcode/Title63N/Chapter3a/63N-3a-S403.html","current_through":"2026 General Session","vintage":"","retrieved_at":"2026-09-03T11:34:34Z","sha256":"0e3302892eeec32c2cdeddab8eea5852b19557bbd7e4bb62364dcf1c716ca67a","source_id":"us-ut","stale":false,"prev":"us-ut/utah-code-63n-3a-402","next":"us-ut/utah-code-63n-3a-501"},"notice":"GroundRules: Original legal text. Not legal advice."}