Fiscal Note H.B. 48 2025 General Session Wildland Urban Interface Modifications by Snider, Casey General, Income Tax, and Uniform School Funds JR4-4-101 Ongoing One-time Total Net GF/ITF/USF (rev.-exp.) $0 $0 $0 State Government UCA 36-12-13(2)(c) Revenues FY 2025 FY 2026 FY 2027 Dedicated Credits Revenue $0 $4,160,000 $4,160,000 Dedicated Credits Revenue, One- time $0 $0 $518,000 Total Revenues $0 $4,160,000 $4,678,000 Enactment of this Legislation could generate $4,160,000 ongoing in revenue for the Wildland-urban Interface Prevention, Preparedness, and Mitigation Fund from high risk property owners in the wildland urban interface paying fees based on their associated level of fire risk. This amount may be lower if counties retain a portion of the fee revenue for their costs in implementing the property evaluation program. This Legislation could also increase Dedicated Credit revenue for the Department of Insurance by $15,200 one-time and $3,000 ongoing starting in FY 2026 from reimbursements for actuarial analysis of property insurance rates. Expenditures FY 2025 FY 2026 FY 2027 General Fund, One-time $0 $0 $0 Dedicated Credits Revenue $0 $4,163,000 $4,163,000 Dedicated Credits Revenue, One- time $0 $515,200 $0 Total Expenditures $0 $4,678,200 $4,163,000 Enactment of this Legislation could cost the Department of Natural Resources $4,160,000 ongoing beginning in FY 2026 from the Wildland-urban Interface Prevention, Preparedness, and Mitigation Fund for staff and associated expenses, travel, and technology required to implement the wildland urban interface property evaluation program as outlined in the bill. These costs and revenue may be lower if counties retain a portion of the fee revenue and assist with implementing the program. Enactment of this Legislation could also cost the Department of Insurance $3,000 one-time and $3,000 ongoing beginning in FY 2026 from Dedicated Credits for actuarial analysis of property insurance rates. This legislation requires the Department of Insurance's costs to be reimbursed by property and casualty insurers. H.B. 48 2025/01/20 16:29, Lead Analyst: Lacey Moore, Attorney: Owen, P. FY 2025 FY 2026 FY 2027 Net All Funds $0 $(518,200) $515,000 Local Government UCA 36-12-13(2)(c) Enactment of this Legislation requires local governments to collect a fee from owners of high risk wildland urban interface properties. It's estimated that counties will collect $4,160,000 in fee revenue from property owners statewide. It is unknown how much of this fee will be retained by counties and how much will be transferred to the Department of Natural Resources. Individuals & Businesses UCA 36-12-13(2)(c) Enactment of this Legislation requires each insurer that files a homeowner's insurance rate for a wildland urban interface (WUI) property to reimburse the Department of Insurance for the cost of an actuarial review of the rate. It's estimated that the average cost of each review will be $1,600. Further, property owners in the WUI will be required to remit a fee to the county based on their fire risk. It's estimated that the high risk owners of approximately 80,000 properties will pay $52 per property for an aggregate amount of $4,160,000. Regulatory Impact UCA 36-12-13(2)(d) Enactment of this legislation could result in a small increase in the regulatory burden for Utah residents or businesses. Performance Evaluation JR1-4-601 This bill creates a new program or significantly expands an existing program. For a list of questions lawmakers might ask to improve accountability for the proposed program, please see: https://budget.utah.gov/newprogram Notes on Notes Fiscal explanations estimate the direct costs or revenues of enacting a bill. The Legislature uses them to balance the budget. They do not measure a bill's benefits or non-fiscal impacts like opportunity costs, wait times, or inconvenience. A fiscal explanation is not an appropriation. The Legislature decides appropriations separately. H.B. 48 2025/01/20 16:29, Lead Analyst: Lacey Moore, Attorney: Owen, P.