# Utah S.B. 39: Investment Zones Amendments Utah S.B. 39, Investment Zones Amendments, is a 2026 General Session Senate bill sponsored by Wayne A. Harper (Republican); status signed, last action 2026-03-17 (Governor Signed); PRIA reads it as touching household money (as of 2026-10-14). - Canonical: https://policyrisk.com/state-bill/UT-SB39-2026GS - As of: 2026-10-14 - Plain-text twin of the page above; the HTML and this file carry the same facts. ## Facts - Bill: Utah S.B. 39 - State: Utah - Session: 2026 General Session - Title: Investment Zones Amendments - Status: signed - Chamber: Senate - Introduced: 2025-12-22 - Last action: 2026-03-17, Governor Signed - Sponsor: Wayne A. Harper (Republican) - Cosponsors: 1 - Subjects: Counties, Economic Development, Land Use, Housing, Workforce Services, Municipalities, Political Subdivisions (Local Issues), Governor's Office of Economic Opportunity, Grant Programs and Incentives - Touches household money: yes - Roll calls: 6 (103 yes, 27 no in all) - Economic provisions PRIA read: 42 ## Summary No summary available. ## Bill overview: provisions PRIA read - Search and rescue assistance receives funding: benefit, low. Utah dedicates $200,000 in the General Fund solely to the Search and Rescue Financial Assistance Program. This provision does not specify individual eligibility or payment amounts. - Sensitive wildlife protection receives state funding: benefit, low. Utah allocates $2.45 million to the Division of Wildlife Resources for specified sensitive-species protection measures. The division can also fund local governments carrying out those measures. Local grant awards cannot exceed the amount authorized by the Legislature in an appropriations act. - Emergency food agencies receive state funding: benefit, low. The Tax Commission must deposit $533,750 into the Qualified Emergency Food Agencies Fund. The money supports qualified agencies under the fund’s governing law. This provision does not specify household eligibility or an assistance amount per family. - Active transportation projects receive dedicated money: benefit, low. Utah makes a one-time $45 million deposit into the Active Transportation Investment Fund. The money supports active transportation projects. This provision does not name the funded projects or provide direct household payments. - Convention funding comes with planning goals: benefit, low. The law directs specified state sales-tax revenue into the Utah Convention Incentive Fund. Beginning May 6, 2026, capital city convention zone proposals must explain how they support redevelopment, jobs, walking, tourism, and public event space. They must also address convention center modernizatio… - Water systems and rights receive funding: benefit, low. Utah deposits $7.175 million for water studies, required dam safety improvements, and protection of interstate water allocations. The wastewater loan program receives $3.5875 million for wastewater projects. The drinking water loan program receives $3.5875 million for public water collection, treat… - Sales-tax revenue supports Utah Medicaid funding: benefit, low. For fiscal years beginning on or after July 1, 2019, Utah directs specified sales-tax revenue to the Medicaid ACA Fund. The transfer equals revenue collected at a 0.15% rate on the covered transactions. This is a funding allocation, not a stated new tax increase or change to household Medicaid elig… - Universities can designate limited development areas: benefit, low. Beginning May 6, 2026, an eligible Utah university can designate one development area before January 1, 2035. It must contain contiguous university land owned on January 1, 2025, and cover no more than 75 acres. The Utah Board of Higher Education must approve it. Trustees must give at least seven d… - University development money gets new safeguards: benefit, low. Beginning May 6, 2026, universities must place all development and lease receipts from designated areas in separate development funds. Money can support area development, university buildings and upkeep, or another university-related purpose. Trustees cannot participate when their or a family membe… - Construction sales taxes support convention development: benefit, low. A qualifying development area inside a capital city convention zone can receive 50% of specified 4.7% state sales-tax growth from construction materials. Materials must be delivered to a registered zone outlet and intended for permanent attachment to property inside the zone. Sellers must register… - Convention zone spending gets enforcement safeguards: benefit, low. Beginning May 6, 2026, a taxing entity can petition to stop convention zone property-tax growth collections; the committee can also act. At a public meeting, the committee must find clear and convincing evidence that a substantial share has not been or will not be used for authorized purposes. It m… - Housing zone sales taxes support transit: benefit, low. Beginning May 6, 2026, Utah directs 15% of specified housing-and-transit zone sales-tax growth to the Transit Transportation Investment Fund. This uses growth in revenue from the 4.7% state sales tax, not a new 15% tax rate. Transfers occur at least annually, starting on a calendar-quarter boundary… - Point development receives taxes for bonds: benefit, low. Utah sends the Point of the Mountain State Land Authority 50% of specified 4.7% state sales-tax revenue from its state land. Statutory exceptions apply to that revenue share. Payments begin in the next calendar quarter starting at least 90 days after the authority submits a certified accurate map.… - Universities receive 80% of qualifying lease taxes: benefit, low. Beginning May 6, 2026, county treasurers must collect privilege tax from lessees of property in development areas covered by development agreements. They must send 80% of that tax revenue to the eligible university. This directs money to universities, not payments to households. The provision does… - Wildlife funds cannot support species listings: cost, low. The wildlife division cannot use the designated state funding stream to help list species as threatened or endangered. The ban covers assistance to the U.S. Fish and Wildlife Service or anyone else under the Endangered Species Act. It does not restrict other funding sources. - Sports teams face funding repayment rules: cost, low. Beginning May 6, 2026, stadium project applicants must apply in writing and certify a franchise agreement and qualifying team operation. Applications must identify the stadium’s location and footprint, disclose specified public funds, and provide related project details. Participant funding benefit… - Cities pay first-home zone study costs: cost, low. Beginning May 6, 2026, a city proposing a first home investment zone must pay for independent financial analyses. The Governor’s Office of Economic Opportunity commissions the gap and pro-forma analyses. It can accept up to $20,000 from the city as a dedicated credit for gap-analysis costs. The $20… - Transit housing plans face approval checks: cost, low. Beginning May 6, 2026, municipalities or public transit counties proposing housing and transit zones must have land-use authority there. They must submit development, infrastructure, financing, revenue, and transportation plans, and study possible parking impacts. The housing and transit zone commi… - Administrative charges reduce zone tax funding: cost, low. Beginning May 6, 2026, the State Tax Commission can retain administrative charges from housing-and-transit and convention center zone sales taxes. These charges follow the state’s tax-administration rules, which allow up to 1.5% or a lower applicable percentage. Charges leave less revenue for zone… - Businesses leasing university property face new tax: cost, low. Beginning May 6, 2026, the law subjects qualifying use of leased university property to Utah’s privilege tax. It covers eligible university property leased to a private person within a development area covered by a development agreement. The lessee or other user must pay when using the property for… - Convention tax revenue covers collection costs: cost, low. Beginning May 6, 2026, qualifying convention zone taxes, including capital-city zone taxes, are subject to the Tax Commission’s administrative charge. The commission can retain up to 1.5% of revenue. It must use a lower percentage when that covers its administration costs. The charge comes from qua… - Night roadwork exemptions include resident safeguards: mixed, medium. Beginning May 6, 2026, commuter rail construction and state highway work on roads normally posted at least 55 mph are exempt from local noise rules. Other state highway and transit projects can qualify after 48 hours’ written notice to affected front-row homes. The transportation department must re… - Capital-city project spending gains debt option: mixed, low. Beginning May 6, 2026, capital-city convention zone budgets are limited to a convention center, publicly owned entertainment venue, parking, and related infrastructure. Funds must serve the zone’s legal purposes and be used within or benefit the zone. Outside spending must meet statutory goals, and… - Capital-city zones face size and location rules: mixed, low. Beginning May 6, 2026, capital-city convention zones must lie inside the eligible city and use connected parcels. They are limited to 50 acres unless the city approves more. They do not count toward the county limit of eight housing and transit zones. The supplied provisions conflict on one locatio… - Convention projects gain eligibility and deadlines: mixed, low. Beginning May 6, 2026, more capital-city projects qualify as convention center revitalization projects. They must meet the law’s objectives and be in a first-class city within a first-class county. The Governor’s Office of Economic Opportunity must propose a convention center zone within 60 days af… - Stadium project spending faces local limits: mixed, low. Beginning May 6, 2026, designated project-area tax funds must be spent within and directly benefit the project area. Allowed uses include stadium infrastructure, roads, traffic fixes, public safety, land purchases, commercial or housing development, and parking. Local-government costs to create or… - Unused state funds shift to water: mixed, low. Unused funding for wildlife activities and grants, and for water-rights adjudication staff, lapses at each fiscal year-end. Half returns to the Water Resources Conservation and Development Fund. One-quarter goes to wastewater loans, and one-quarter goes to drinking-water loans. - Homeownership zones reset tax baseline timing: mixed, low. Beginning May 6, 2026, each triggered homeownership-zone property-tax collection period gets its own base year. That base year is the calendar year before collection begins. This sets the baseline for dividing tax revenue between the zone and local taxing entities, not a household tax rate. - Housing zones face funding checks and costs: mixed, low. Beginning May 6, 2026, housing-and-transit zone proposals require an independent financial-gap study arranged by the Governor’s economic opportunity office. The proposing municipality or public transit county pays; the office can accept up to $20,000 toward study costs. Approved proposals must find… - Housing zones fund projects within caps: mixed, low. Beginning May 6, 2026, housing and transit zone funds can cover housing, parking, development, construction, land purchases, and gap analyses. Administration is capped at 2% of total zone funds; child-care construction or expansion is capped at 1%. Funds generally must serve the zone, and outside s… - Overlapping housing zones capture tax growth: mixed, low. Beginning May 6, 2026, special sharing rules apply where housing and transit zones overlap inactive-industrial-site community reinvestment areas. When the existing area captures less than 80%, the housing zone can capture the difference up to 80%. This also applies when a taxing entity does not par… - Transit zones get clear boundary rules: mixed, low. Beginning May 6, 2026, station areas extend one-half mile for rail and one-fourth mile for fixed-guideway bus-only service. Distances start at the platform’s center, and parcels crossed by the boundary are included. Housing and transit zone proposals must set one connected sales-tax boundary contai… - Capital city convention zone captures taxes: mixed, low. Beginning May 6, 2026, capital city convention zone proposals can capture 100% of property-tax growth and one specified sales-tax component for 30 years. They can also capture 50% of the other specified sales-tax component, tied to the 4.7% state tax. Proposals must identify base years and start da… - Construction sales taxes support eligible zones: mixed, low. Qualified development zones in eligible basic special districts receive 50% of the specified tax revenue from qualifying construction-material sales. Materials must go through a registered delivery outlet inside the zone and be intended for permanent attachment to property there. Sellers must repor… - Convention zones gain funding with limits: mixed, low. Beginning May 6, 2026, convention zone proposals can capture 100% of specified property and sales tax growth for 30 years. Each proposal must state start dates and base years, with one sales-tax collection period and base year per zone. All parcels share the same 30-year period, starting no earlier… - Convention zones receive redirected local taxes: mixed, low. Beginning May 6, 2026, convention center zones outside the capital city receive approved property-tax growth for authorized zone purposes. Districts can pay debt issuance, repayment, and interest costs; these transfers shift revenue away from other taxing entities. The law also transfers 100% of sp… - Event areas gain funding and revenue duties: mixed, low. Beginning May 6, 2026, major sporting event venue zones send 50% of sales-tax growth to the entity creating the zone. Transfers start on the first day of a calendar quarter after the sales-tax boundary is established. Only transactions inside the statutory boundary count. After final approval of a… - Fairpark gains taxes and recreation revenue: mixed, low. Beginning October 1, 2024, specified state sales-tax revenue from the Fairpark district sales-tax area goes to the district. Its qualifying development zone allocation includes all revenue from the specified 4.7% state sales tax. The Outdoor Adventure Infrastructure Restricted Account keeps an amou… - Overlapping convention zones share tax growth: mixed, low. Beginning May 6, 2026, convention zones, including capital-city zones, can capture property-tax growth left by an overlapping community reinvestment area. For each taxing entity, the available share equals 100% minus the existing project area’s capture percentage. This allows capture of the full in… - Some zone sales revenue goes statewide: mixed, low. The law sends specified revenue from qualified development-zone sales to the General Fund instead of the zone or authority. The shares are 15% for housing and transit zones and 50% for Point of the Mountain state land. For Fairpark, the rule covers the specified revenue from the 4.7% tax. It also s… - Zone tax collections face stronger safeguards: mixed, low. Beginning May 6, 2026, housing-and-transit and convention zones cannot collect property-tax growth above their proposal’s projections or limits. A participating taxing entity can petition the housing and transit zone committee to suspend or end collection; the committee can also initiate review. At… - Zone values enter property-tax calculations: mixed, low. Beginning May 6, 2026, certified property-tax-rate rules address base and added taxable value for housing-and-transit and convention zones. The covered convention zones include capital-city zones. Capital-city convention zones also enter property-tax definitions for project areas, new growth, and t… ## Sponsors and cosponsors - Sponsor: Wayne A. Harper (Republican), Senate - Cosponsor: Stephen L. Whyte (Republican), House ## Roll call votes | Date | Chamber | Motion | Result | Yes | No | Other | | --- | --- | --- | --- | --- | --- | --- | | 2026-02-19 | House | House/ passed 3rd reading | pass | 46 | 22 | | | 2026-02-17 | House | House Comm - Favorable Recommendation | pass | 6 | 1 | | | 2026-02-06 | Senate | Senate/ passed 3rd reading | pass | 23 | 2 | | | 2026-02-05 | Senate | Senate/ floor amendment | fail | 0 | 0 | | | 2026-02-05 | Senate | Senate/ passed 2nd reading | pass | 23 | 1 | | | 2026-01-23 | Senate | Senate Comm - Favorable Recommendation | pass | 5 | 1 | | ## Actions (33) - 2026-03-17: Governor Signed - 2026-03-16: Senate/ to Governor (Senate) - 2026-03-16: Senate/ received enrolled bill from Printing (Senate) - 2026-03-05: Senate/ enrolled bill to Printing (Senate) - 2026-03-05: Enrolled Bill Returned to House or Senate - 2026-02-23: Draft of Enrolled Bill Prepared - 2026-02-23: Bill Received from Senate for Enrolling - 2026-02-19: Senate/ signed by President/ sent for enrolling (Senate) - 2026-02-19: Senate/ received from House (Senate) - 2026-02-19: House/ to Senate (House) - 2026-02-19: House/ signed by Speaker/ returned to Senate (House) - 2026-02-19: House/ passed 3rd reading (House) - 2026-02-19: House/ 3rd reading (House) - 2026-02-17: House/ 2nd reading (House) - 2026-02-17: House/ committee report favorable (House) - 2026-02-17: House Comm - Favorable Recommendation - 2026-02-13: House/ to standing committee (House) - 2026-02-09: House/ 1st reading (Introduced) (House) - 2026-02-06: House/ received from Senate (House) - 2026-02-06: Senate/ to House (Senate) - 2026-02-06: Senate/ passed 3rd reading (Senate) - 2026-02-06: Senate/ 3rd reading (Senate) - 2026-02-05: Senate/ passed 2nd reading (Senate) - 2026-02-05: Senate/ floor amendment (Senate) - 2026-02-05: Senate/ 2nd reading (Senate) - 2026-01-26: Senate/ placed on 2nd Reading Calendar (Senate) - 2026-01-26: Senate/ committee report favorable (Senate) - 2026-01-23: Senate Comm - Favorable Recommendation - 2026-01-20: Senate/ to standing committee (Senate) - 2026-01-20: Senate/ 1st reading (Introduced) (Senate) - 2026-01-13: Senate/ received fiscal note from Fiscal Analyst (Senate) - 2026-01-07: Senate/ received bill from Legislative Research (Senate) - 2025-12-22: Numbered Bill Publicly Distributed ## Bill text - Enrolled, 2026-03-05: [PDF](https://le.utah.gov/Session/2026/bills/enrolled/SB0039.pdf) - Amended 2/5/2026 15:02:521, 2026-02-05: [PDF](https://le.utah.gov/Session/2026/bills/amended/AV_SB0039_2026-02-05_15-36-10.pdf) - Introduced, 2025-12-22: [PDF](https://le.utah.gov/Session/2026/bills/introduced/SB0039.pdf) ## Related bills - H.B. 94: Criminal Accounts Receivable Amendments (signed) - H.B. 101: Firearm Background Check Amendments (signed) - H.B. 178: School Zone Speeding Amendments (signed) - H.B. 134: Offender Transfer Amendments (signed) - H.B. 136: Unlicensed Driver Amendments (signed) - H.B. 220: Public Safety Data Amendments (signed) ## Sources - [Enrolled (PDF)](https://le.utah.gov/Session/2026/bills/enrolled/SB0039.pdf) - [Amended 2/5/2026 15:02:521 (PDF)](https://le.utah.gov/Session/2026/bills/amended/AV_SB0039_2026-02-05_15-36-10.pdf) - [Introduced (PDF)](https://le.utah.gov/Session/2026/bills/introduced/SB0039.pdf) ## Related - [H.B. 94: Criminal Accounts Receivable Amendments](https://policyrisk.com/state-bill/UT-HB94-2026GS) - [H.B. 101: Firearm Background Check Amendments](https://policyrisk.com/state-bill/UT-HB101-2026GS) - [H.B. 178: School Zone Speeding Amendments](https://policyrisk.com/state-bill/UT-HB178-2026GS) - [H.B. 134: Offender Transfer Amendments](https://policyrisk.com/state-bill/UT-HB134-2026GS) - [H.B. 136: Unlicensed Driver Amendments](https://policyrisk.com/state-bill/UT-HB136-2026GS) - [H.B. 220: Public Safety Data Amendments](https://policyrisk.com/state-bill/UT-HB220-2026GS) - [Utah bills](https://policyrisk.com/states/utah/bills) - [Utah state hub](https://policyrisk.com/states/utah) - [All state legislation](https://policyrisk.com/state-bills) Source: PRIA, https://policyrisk.com/state-bill/UT-SB39-2026GS (as of 2026-10-14).