HB 212

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  Jordan D. Teuscher proposes the following substitute bill:
1County Formation Amendments
  2026 GENERAL SESSION
  STATE OF UTAH
  Chief Sponsor: Jordan D. Teuscher
  Senate Sponsor: Daniel McCay
2
3   LONG TITLE
4   General Description:
5This bill modifies provisions related to the creation of a new county.
6   Highlighted Provisions:
7This bill:
8▸ defines terms;
9▸ establishes a process for the legislative body of a petitioning municipality to initiate a
10   process to create a new county;
11▸ imposes a threshold for petitioners and certain viability requirements on the formation of
12   a new county, including the completion of a feasibility study;
13▸ allows certain rural property to remain in a seceding county, in certain circumstances;
14▸ provides for the continuation of property taxation between a seceding county and a new
15   county to satisfy general obligation or revenue bond indebtedness;
16▸ requires a new county to levy local option sales and use taxes for transportation at the
17   same rate and in the same manner as the seceding county for transactions within the new
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18   county;
19▸ clarifies provisions regarding the division assets and liabilities between a seceding county
20   and a new county; and
21▸ makes technical and conforming changes.
22   Money Appropriated in this Bill:
23None
24   Other Special Clauses:
25None
26   Utah Code Sections Affected:
27   AMENDS:
2817-61-101, as enacted by Laws of Utah 2025, First Special Session, Chapter 13
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2917-61-401, as renumbered and amended by Laws of Utah 2025, First Special Session,
30Chapter 13
3117-61-402, as renumbered and amended by Laws of Utah 2025, First Special Session,
32Chapter 13
3317-61-405, as renumbered and amended by Laws of Utah 2025, First Special Session,
34Chapter 13
3517-61-407, as renumbered and amended by Laws of Utah 2025, First Special Session,
36Chapter 13
37   ENACTS:
3817-61-408, Utah Code Annotated 1953
39
40   Be it enacted by the Legislature of the state of Utah:
41Section 1. Section 17-61-101 is amended to read:
4217-61-101 . Definitions.
43   (1) "Annexing county" means the county to which a portion of territory of an adjoining
44county is annexed, or proposed to be annexed, as provided in Part 3, County Annexation.
45   (2) "Consolidating county" means the county to which another county is joined, or is
46proposed to be joined, by consolidation as provided in Part 2, Consolidation of Counties.
47   (3) "Divided county" means the county that existed before the creation of a new county
48through the process described in Part 4, Creating New Counties.
49   [(3)] (4) "Independent surveyor" means the surveyor whose position is established within
50the Utah Geospatial Resource Center under Section 63A-16-505.
51   [(4)] (5) "Initiating county" means the county from which a portion of territory is annexed,
52or is proposed to be annexed, to an adjoining county as provided in Part 3, County
53Annexation.
54   [(5)] (6) "New county" means the county that is created through the process described in
55Part 4, Creating New Counties.
56   [(6)] (7) "Originating county" means the county that is joined, or is proposed to be joined, to
57another county through consolidation as provided in Part 2, Consolidation of Counties.
58   (8) "Petitioning municipality" means a municipality located within a county with a
59population of more than 1,000,000.
60   [(7)] (9) "Seceding county" means the county that loses, or is proposed to lose, territory to a
61new county through the process described in Part 4, Creating New Counties.
62   (10) "Triggering resolution" means a legislative instrument indicating a desire to create a
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63new county through the process described in Part 4, Creating New Counties.
64Section 2. Section 17-61-401 is amended to read:
6517-61-401 . Creating a new county -- Petition -- Certification of petition
66   signatures -- Removal of signature -- Election -- Ballots.
67   (1)(a) Whenever a voter desires to have the territory within which the voter resides
68created into a new county, the voter may file a petition for the creation of a new
69county with the county legislative body of the seceding county in which the voter
70resides as described in this section.
71(b) A petitioning municipality may initiate an election for the creation of a new county
72as described in this section if:
73(i) the petitioning municipality's legislative body adopts a triggering resolution; and
74(ii)(A) the petitioning municipality has a population of at least one-third of the
75county population as of the last census; or
76(B) one or more petitioning municipalities adopt substantially similar triggering
77resolutions in the same calendar year and, collectively, the petitioning
78municipalities have a population of at least one-third of the county population
79as of the last census.
80   (2)(a) The petition described in Subsection [(1)] (1)(a) shall:
81(i) propose the name and define the boundaries of the new county; and
82(ii) be signed:
83(A) by at least one-fourth of the voters residing in the portion of the seceding
84county proposed to be created into a new county; and
85(B) by no less than one-fourth of the voters residing in the remaining portion of
86the seceding county.
87(b)    If a petition proposes to take territory from more than one seceding county, the
88requirements of Subsection (2)(a)(ii) apply to each seceding county affected by the
89petition.
90(c) A triggering resolution described in Subsection (1)(b) shall:
91(i) propose the name and define the boundaries of the new county;
92(ii) describe how the proposed new county will be capable, in a cost-effective
93manner, of providing fundamental county services in the new county; and
94(iii) describe how the creation of the proposed new county will not result in the
95seceding county being unable to function as a county, economically or practically.
96(d) The proposed boundaries in a triggering resolution:
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97(i) may not propose that an existing municipality be divided by a new county
98boundary;
99(ii) shall ensure that any unincorporated areas in the seceding county or new county
100will be located in the same county as the municipality with the greatest population
101of any municipality that shares a common boundary with the unincorporated area
102unless the most populated municipality and another municipality sharing a
103common boundary with the unincorporated area agree, through mutually adopted
104resolutions, that the unincorporated area should be in the same county as the less
105populated municipality; and
106(iii) may not leave the seceding county with an area within the seceding county's
107boundaries for which the cost, requirements, or other burdens of providing
108fundamental county services would materially increase over previous years.
109   (3)(a) A voter shall file a petition for the creation of a new county on or before the first
110Monday in May of any year with the county legislative body of the seceding county.
111(b)(i) A petitioning municipality shall, before the first Monday in May of any year,
112file a copy of the triggering resolution with the county legislative body of the
113seceding county.
114(ii) If multiple petitioning municipalities adopt substantially similar triggering
115resolutions, as described in Subsection (1)(b)(ii)(B):
116(A) only one petitioning municipality is required to meet the requirements of
117Subsection (3)(b)(i); and
118(B) the petitioning municipality fulfilling the requirements of Subsection (3)(b)(i)
119shall include a list of the other petitioning municipalities that adopted
120substantially similar triggering resolutions.
121   (4)(a) Within three business days after the day on which a county legislative body
122receives a petition under Subsection (3)(a) or a triggering resolution under Subsection
123(3)(b), the county legislative body shall provide the petition or triggering resolution
124to the county clerk.
125(b) Within 14 days after the day on which a county clerk receives a petition or triggering
126resolution from the county legislative body under Subsection (4)(a), the county clerk
127shall:
128(i) for a petition:
129(A) use the procedures described in Section 20A-1-1002 to determine whether the
130petition satisfies the requirements of [Subsection (2)] Subsections (2)(a) and (b);
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131[(ii)] (B) certify on the petition whether each name is that of a registered voter in
132the seceding county; and
133[(iii)] (C) deliver the certified petition to the county legislative body[.] ; or
134(ii) for a triggering resolution:
135(A) determine whether the triggering resolution appears to satisfy the
136requirements of Subsections (2)(c) and (d); and
137(B) if the county clerk determines the triggering resolution appears to satisfy the
138requirements of Subsections (2)(c) and (d), deliver the triggering resolution to
139the county legislative body.
140   (5)(a) An individual who signs a petition under this section may have the individual's
141signature removed from the petition by, no later than three business days after the day
142on which the county legislative body provides the petition to the county clerk,
143submitting to the county clerk a statement requesting that the individual's signature
144be removed.
145(b) A statement described in Subsection (5)(a) shall comply with the requirements
146described in Subsection 20A-1-1003(2).
147(c) The county clerk shall use the procedures described in Subsection 20A-1-1003(3) to
148determine whether to remove an individual's signature from a petition after receiving
149a timely, valid statement requesting removal of the signature.
150   [(6) The seceding county legislative body shall cause the proposition to be submitted to the
151voters residing in the seceding county at a special election to be held according to the
152dates established in Section 20A-1-204, first causing 30 days' notice of the election to be
153given in the manner provided by law for giving notice of general elections. ]
154   [(7)] (6) After receiving a certified petition or a triggering resolution from the county clerk
155under Subsection (4), the seceding county legislative body shall:
156(a) subject to Subsection (7), obtain a feasibility study from a feasibility consultant that:
157(i) considers:
158(A) population and population density within the new and seceding counties;
159(B) current and five-year projections of demographics and economic base in the
160proposed new and seceding counties, including household size and income,
161commercial and industrial development, and public facilities;
162(C) projected population growth in the proposed new and seceding counties
163during the next five years;
164(D) the present and five-year projections of the cost, including overhead, of
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165providing the same or a similar service in the proposed new and seceding
166counties as the existing seceding county provides;
167(E) a projection of any new taxes per household that may be levied within the
168proposed new and seceding counties for five years after the creation of the new
169county;
170(F) the physical and other assets that the new and seceding counties will require in
171order to provide, without interruption or diminution of service, county services
172to residents of both the new and seceding counties;
173(G) the physical and other assets that the new and seceding counties will no longer
174require in order to provide county services to residents of both the new and
175seceding counties;
176(H) cost to the state, including agencies of the state; and
177(I) any other factor that the feasibility consultant considers relevant to the cost of
178the creation of the new county to both the new and seceding counties;
179(ii) includes a written report of the results of the feasibility study that contains:
180(A) a recommendation as to whether the proposed creation of the new and
181seceding counties is functionally and financially feasible;
182(B) any conditions the feasibility consultant determines necessary to make the
183creation of the new county functionally and financially feasible; and
184(C) a comparison of the costs of the new and seceding counties;
185(b) provide all municipalities within the county an opportunity to:
186(i) request modifications from the feasibility consultant regarding a draft of the
187feasibility study; and
188(ii) submit written objections to the county regarding the final feasibility study;
189(c) if the feasibility study recommends that creation of the proposed new county is not
190functionally and financially feasible, for either the new county or seceding county,
191provide an opportunity to the voter who filed the petition under Subsection (3)(a) or
192the petitioning municipality to:
193(i) modify and refile the triggering resolution, requesting a revised or new feasibility
194study;
195(ii) withdraw the triggering resolution; or
196(iii) opt to proceed to an election on the creation of a new county, despite the adverse
197recommendation; and
198(d) if the feasibility study recommends that the creation of the new county and seceding
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199county is functionally and financially feasible, or if the voter or petitioning
200municipality opt to proceed under Subsection (6)(c)(iii), submit the question of
201creating the new county to the voters:
202(i) in accordance with Utah Constitution, Article XI, Section 3; and
203(ii) at the next general election for which notice can be given, in accordance with
204Section 20A-5-101.
205   (7) The petition municipality or petitioning municipalities shall reimburse the seceding
206county for:
207(a) the cost of retaining the feasibility consultant; and
208(b) the development and production of the feasibility study.
209   (8) The county clerk shall ensure that the [special] election described in Subsection (6)(d)(ii)
210is held, the result canvassed, and returns made under the provisions of the general
211election laws.
212   [(8)] (9) The form of ballot to be used at the [special ]election shall be:
213[For] "For the creation of (supplying the name proposed) county.
214Against the creation of (supplying the name proposed) [county.] county."
215   [(9)] (10)(a) Subject to Subsection (9)(b), the expenses of any [special ]election
216described in this section shall be paid out of the general fund of the seceding county.
217(b) If the voters approve the creation of the new county, the new county shall reimburse
218the seceding county for half of the cost of the [special ]election within one year of the
219effective date of the new county from the general fund of the new county.
220Section 3. Section 17-61-402 is amended to read:
22117-61-402 . Certification of returns -- Governor's proclamation of creation of
222   new county -- Notice and plat to lieutenant governor -- Recording requirements --
223   Effective date.
224   (1)(a) If a petition for the creation of a new county impacts only one seceding county,
225the proposition submitted to voters under Section 17-61-401 shall be approved by a
226majority vote of those voters who reside:
227(i) in the portion of the seceding county proposed as a new county; and
228(ii) in the remaining portion of the seceding county.
229(b) If a petition for the creation of a new county impacts more than one seceding county,
230the proposition submitted to voters under Section 17-61-401 shall be approved by a
231majority of those voters who reside:
232(i) in each portion of each seceding county proposed to be part of a new county; and
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233(ii) in each remaining portion of each seceding county.
234   (2) If it appears that any proposition submitted to the voters as provided in Section
23517-61-401 has been approved as described in Subsection (1):
236(a) the lieutenant governor, upon receiving the certified report under Section 20A-4-304,
237shall certify the result to the governor; and
238(b) upon receiving the results from the lieutenant governor under Subsection (1)(a), the
239governor shall issue a proclamation, stating:
240(i) the result of the vote in each division of the county;
241(ii) the name and boundaries of the new county;
242(iii) subject to Subsection (5), the boundaries of a seceding county as changed by the
243creation of the new county;
244(iv) that the creation of the new county will take effect on the first Monday in January
245of the second year following the lieutenant governor's issuance of a certificate of
246creation under Section 67-1a-6.5;
247(v) the name proposed in the petition as the name of the new county; and
248(vi) the judicial district to which the new county belongs.
249   (3) The legislative body of the county from which the greatest portion of the new county
250was taken shall:
251(a) within 30 days after the issuance of the governor's proclamation under Subsection [(1)]
252(2), send to the lieutenant governor:
253(i) a copy of a notice of an impending boundary action, as defined in Section
25467-1a-6.5, that meets the requirements of Subsection 67-1a-6.5(3); and
255(ii) a copy of an approved final local entity plat, as defined in Section 67-1a-6.5; and
256(b) upon the lieutenant governor's issuance of a certificate of creation under Section
25767-1a-6.5, submit to the recorder of the new county:
258(i) the original notice of an impending boundary action;
259(ii) the original certificate of creation;
260(iii) the original approved final local entity plat; and
261(iv) a certified copy of the governor's proclamation under Subsection [(1)] (2).
262   (4)(a) The new county that is the subject of the lieutenant governor's certificate of
263creation under Section 67-1a-6.5 is a county of the state from and after January 1
264following the issuance of the lieutenant governor's certificate of creation.
265(b)(i) The effective date of the creation of a new county for purposes of assessing
266property within the county is governed by Section 59-2-305.5.
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267(ii) Until the documents listed in Subsection [(2)(b)] (3)(b) are recorded in the office
268of the recorder of the new county, the new county may not:
269(A) levy or collect a property tax on property in the county;
270(B) levy or collect an assessment on property in the county; or
271(C) charge or collect a fee for service provided to property within the county.
272   (5) Unless an owner of rural real property, as defined in Section 17B-2a-1107, gives written
273consent to inclusion in the potential new county before the day of the special election
274described in Section 17-61-401:
275(a) the rural real property remains in the seceding county if the rural real property:
276(i) consists of 1,500 or more contiguous acres of rural real property comprising one
277or more tax parcels;
278(ii) is not contiguous to but is used in connection with rural real property of 1,500 or
279more contiguous acres of rural real property consisting of one or more tax parcels;
280(iii) is owned, managed, or controlled by a person, company, or association,
281including a parent, subsidiary, or affiliate related to the person described in this
282Subsection (5)(a)(iii), that owns 1,500 or more contiguous acres of rural real
283property comprising one or more tax parcels; or
284(iv) is located in whole or in part in one of the following, as these terms are defined
285in Section 17-81-101:
286(A) an agricultural protection area;
287(B) a mining protection area; or
288(C) an industrial protection area; and
289(b) if a condition in Subsection (5)(a) applies, the lieutenant governor shall exclude the
290rural real property from a certificate of creation that the lieutenant governor issues for
291the new county in accordance with Section 67-1a-6.5.
292Section 4. Section 17-61-405 is amended to read:
29317-61-405 . Effect on precincts and school and other districts -- Indebtedness.
294   (1) All precincts, school districts, road districts, and election districts entirely in the new
295county that existed before the creation of the new county:
296(a) continue; and
297(b) become precincts, school districts, road districts, and election districts of the new
298county.
299   (2) The respective officers of the precincts, school districts, road districts, and election
300districts described in Subsection (1) shall hold office until the expiration of the terms for
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301which the officers were elected or appointed.
302    (3) If a precinct, school district, road district, or election district is divided as a result of the
303creation of a new county:
304(a) the precinct, school district, road district, or election district shall be disorganized;
305and
306(b) the property and territory of the precinct, school district, road district, or election
307district shall be subject to the action of the county legislative body of the respective
308counties in which the property or territory is located as to reorganization thereof or
309adding the same to other like subdivisions already organized.
310    (4) Any bonded or other indebtedness of any school district described in Subsection (3)
311attaches and becomes the obligation of the district that shall be created out of the
312territory that shall retain the buildings and other property of the original district or to the
313district to which the [same] buildings and other property may be added.
314    (5) Notwithstanding the creation of a new county, the seceding county Ĥ→ [may] shall ←Ĥ
314a  continue to levy
315a tax on the property within the new county for the purpose of paying the seceding
316county's proportion of a general obligation or revenue bond until the satisfaction of the
317bonded indebtedness.
318    [(5) All bonded or other indebtedness of a seceding county shall attach to and become the
319obligation of the new county.]
320Section 5. Section 17-61-407 is amended to read:
32117-61-407 . Division of taxes.
322    (1) When a new county is created under the provisions of this part and the county officers
323of the new county have been elected:
324(a) the county treasurer of the seceding county shall provide to the county treasurer of
325the new county a certified list of all taxes collected by the county treasurer of the
326seceding county for the preceding year upon the property located within the portion
327of the seceding county that has become a part of the new county; and
328(b) subject to Subsection (2), the county treasurer of the seceding county shall provide to
329the county treasurer of the new county the county, school district, or other special tax
330revenue collected by the county treasurer of the seceding county for the preceding
331year within territory that has become part of the new county.
332    (2) Before furnishing the revenue described in Subsection (1)(b) to the new county, the
333seceding county may retain:
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334(a) the pro rata cost of assessing and collecting the county, school district, or other
335special tax revenue collected by the seceding county; and
336(b) the entire cost of making the certified lists described in Subsection (1)(a).
337   (3) A new county shall impose local option sales and use taxes authorized under Title 59,
338Chapter 12, Part 22, Local Option Sales and Use Taxes for Transportation Act, at the
339same rate and in the same manner as the seceding county imposed the local option sales
340and use taxes for transactions within the new county.
341Section 6. Section 17-61-408 is enacted to read:
34217-61-408 . Division of assets -- Division of liabilities.
343      Following the creation of a new county under this part, each new and seceding county:
344   (1) is a continuation of the divided county;
345   (2) shall own the assets, property, records, seals, and equipment of the divided county
346owned within or related to the area within the boundaries of the respective new or
347seceding county; and
348   (3) is jointly responsible for the liabilities of the divided county until the new and seceding
349county discharges liabilities through an interlocal agreement or otherwise resolves
350outstanding liabilities.
351Section 7. Effective Date.
352   This bill takes effect on May 6, 2026.
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