Utah 2025 2025 Regular Session

Utah House Bill HB0048 Introduced / Fiscal Note

Filed 01/20/2025

                    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.