UT HB0425

Cities are prohibited from imposing general fees on the public for broadband or public safety services, and towns are prohibited from imposing general fees for public safety services, with existing fees required to be repealed by July 1, 2027

Municipalities and counties are authorized to impose transportation utility fees to fund the development, construction, maintenance, repair, or replacement of transportation facilities, but only after conducting a required study demonstrating the need and establishing a reasonable relationship between the fee and services provided

Transportation utility fees must include different rate classifications for residential, commercial, and other users, and cannot be based on property ownership, fair market value, or whether a user is a tax-exempt organization

Local governments imposing transportation utility fees must establish an appeals process for user classifications, conduct annual reviews submitted to the state auditor, and deposit all fee revenue into a separate transportation fund that cannot be commingled with other funds

Transportation utility fee ordinances expire after 10 years, are subject to local referenda, and existing transportation fees imposed before May 6, 2026 must comply with the new requirements or be repealed by July 1, 2027