Enrolled Copy H.B. 550
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Building Permit Fee Prohibition Amendments
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Thomas W. Peterson
Senate Sponsor: David P. Hinkins
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LONG TITLE
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General Description:
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This bill amends provisions related to permitting fees.
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Highlighted Provisions:
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This bill:
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▸ prevents a municipality or a county from imposing an inspection fee on a water
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conservancy district that hires a qualified inspector to conduct inspections on new
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infrastructure; and
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▸ provides a repeal date for the prohibition.
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Money Appropriated in this Bill:
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None
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Other Special Clauses:
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None
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Utah Code Sections Affected:
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AMENDS:
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10-9a-510, as last amended by Laws of Utah 2021, Chapter 35
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17-27a-509, as last amended by Laws of Utah 2021, Chapter 35
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63I-2-210, as last amended by Laws of Utah 2024, Third Special Session, Chapter 5
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63I-2-217, as last amended by Laws of Utah 2024, Third Special Session, Chapter 5
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Be it enacted by the Legislature of the state of Utah:
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Section 1. Section 10-9a-510 is amended to read:
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10-9a-510 . Limit on fees -- Requirement to itemize fees -- Appeal of fee --
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Provider of culinary or secondary water.
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(1) A municipality may not impose or collect a fee for reviewing or approving the plans for
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a commercial or residential building that exceeds the lesser of: H.B. 550 Enrolled Copy
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(a) the actual cost of performing the plan review; and
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(b) 65% of the amount the municipality charges for a building permit fee for that
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building.
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(2) Subject to Subsection (1), a municipality may impose and collect only a nominal fee for
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reviewing and approving identical floor plans.
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(3) A municipality may not impose or collect a hookup fee that exceeds the reasonable cost
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of installing and inspecting the pipe, line, meter, and appurtenance to connect to the
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municipal water, sewer, storm water, power, or other utility system.
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(4) A municipality may not impose or collect:
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(a) a land use application fee that exceeds the reasonable cost of processing the
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application or issuing the permit;[ or]
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(b) an inspection, regulation, or review fee that exceeds the reasonable cost of
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performing the inspection, regulation, or review[.] ; or
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(c) an inspection fee on a qualified water conservancy district, as defined in Section
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17B-2a-1010, that hires a qualified inspector to conduct inspections on new
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infrastructure.
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(5)(a) If requested by an applicant who is charged a fee or an owner of residential
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property upon which a fee is imposed, the municipality shall provide an itemized fee
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statement that shows the calculation method for each fee.
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(b) If an applicant who is charged a fee or an owner of residential property upon which a
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fee is imposed submits a request for an itemized fee statement no later than 30 days
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after the day on which the applicant or owner pays the fee, the municipality shall no
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later than 10 days after the day on which the request is received provide or commit to
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provide within a specific time:
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(i) for each fee, any studies, reports, or methods relied upon by the municipality to
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create the calculation method described in Subsection (5)(a);
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(ii) an accounting of each fee paid;
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(iii) how each fee will be distributed; and
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(iv) information on filing a fee appeal through the process described in Subsection
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(5)(c).
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(c) A municipality shall establish a fee appeal process subject to an appeal authority
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described in Part 7, Appeal Authority and Variances, and district court review in
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accordance with Part 8, District Court Review, to determine whether a fee reflects
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only the reasonable estimated cost of:
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(i) regulation;
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(ii) processing an application;
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(iii) issuing a permit; or
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(iv) delivering the service for which the applicant or owner paid the fee.
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(6) A municipality may not impose on or collect from a public agency any fee associated
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with the public agency's development of its land other than:
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(a) subject to Subsection (4), a fee for a development service that the public agency does
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not itself provide;
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(b) subject to Subsection (3), a hookup fee; and
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(c) an impact fee for a public facility listed in Subsection 11-36a-102(17)(a), (b), (c), (d),
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(e), or (g), subject to any applicable credit under Subsection 11-36a-402(2).
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(7) A provider of culinary or secondary water that commits to provide a water service
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required by a land use application process is subject to the following as if it were a
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municipality:
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(a) Subsections (5) and (6);
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(b) Section 10-9a-508; and
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(c) Section 10-9a-509.5.
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Section 2. Section 17-27a-509 is amended to read:
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17-27a-509 . Limit on fees -- Requirement to itemize fees -- Appeal of fee --
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Provider of culinary or secondary water.
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(1) A county may not impose or collect a fee for reviewing or approving the plans for a
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commercial or residential building that exceeds the lesser of:
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(a) the actual cost of performing the plan review; and
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(b) 65% of the amount the county charges for a building permit fee for that building.
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(2) Subject to Subsection (1), a county may impose and collect only a nominal fee for
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reviewing and approving identical floor plans.
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(3) A county may not impose or collect a hookup fee that exceeds the reasonable cost of
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installing and inspecting the pipe, line, meter, or appurtenance to connect to the county
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water, sewer, storm water, power, or other utility system.
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(4) A county may not impose or collect:
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(a) a land use application fee that exceeds the reasonable cost of processing the
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application or issuing the permit;[ or]
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(b) an inspection, regulation, or review fee that exceeds the reasonable cost of
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performing the inspection, regulation, or review[.] ; or
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(c) an inspection fee on a qualified water conservancy district, as defined in Section
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17B-2a-1010, that hires a qualified inspector to conduct inspections on new
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infrastructure.
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(5)(a) If requested by an applicant who is charged a fee or an owner of residential
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property upon which a fee is imposed, the county shall provide an itemized fee
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statement that shows the calculation method for each fee.
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(b) If an applicant who is charged a fee or an owner of residential property upon which a
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fee is imposed submits a request for an itemized fee statement no later than 30 days
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after the day on which the applicant or owner pays the fee, the county shall no later
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than 10 days after the day on which the request is received provide or commit to
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provide within a specific time:
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(i) for each fee, any studies, reports, or methods relied upon by the county to create
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the calculation method described in Subsection (5)(a);
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(ii) an accounting of each fee paid;
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(iii) how each fee will be distributed; and
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(iv) information on filing a fee appeal through the process described in Subsection
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(5)(c).
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(c) A county shall establish a fee appeal process subject to an appeal authority described
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in Part 7, Appeal Authority and Variances, and district court review in accordance
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with Part 8, District Court Review, to determine whether a fee reflects only the
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reasonable estimated cost of:
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(i) regulation;
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(ii) processing an application;
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(iii) issuing a permit; or
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(iv) delivering the service for which the applicant or owner paid the fee.
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(6) A county may not impose on or collect from a public agency any fee associated with the
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public agency's development of its land other than:
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(a) subject to Subsection (4), a fee for a development service that the public agency does
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not itself provide;
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(b) subject to Subsection (3), a hookup fee; and
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(c) an impact fee for a public facility listed in Subsection 11-36a-102(17)(a), (b), (c), (d),
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(e), or (g), subject to any applicable credit under Subsection 11-36a-402(2).
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(7) A provider of culinary or secondary water that commits to provide a water service
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required by a land use application process is subject to the following as if it were a
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county:
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(a) Subsections (5) and (6);
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(b) Section 17-27a-507; and
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(c) Section 17-27a-509.5.
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Section 3. Section 63I-2-210 is amended to read:
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63I-2-210 . Repeal dates: Title 10.
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(1) Subsection 10-2a-205(2)(b)(iii), regarding a feasibility study for the proposed
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incorporation of a community council area, is repealed July 1, 2028.
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(2) Section 10-2a-205.5, Additional feasibility consultant considerations for proposed
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incorporation of community council area -- Additional feasibility study requirements, is
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repealed July 1, 2028.
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(3) Subsection 10-9a-510(4)(c) is repealed July 1, 2026.
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[(3)] (4) Section 10-9a-604.9, Effective dates of Sections 10-9a-604.1 and 10-9a-604.2, is
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repealed January 1, 2025.
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Section 4. Section 63I-2-217 is amended to read:
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63I-2-217 . Repeal dates: Titles 17 through 17D.
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(1) Subsection 17-22-2(1)(o), regarding a sheriff's contractual duties under an interlocal
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agreement for law enforcement services, is repealed July 1, 2025.
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(2) Subsection 17-22-2(3), regarding the role of a sheriff in a police interlocal entity or
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police local district, is repealed July 1, 2025.
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(3) Section 17-27a-604.9, Effective dates of Sections 17-27a-604.1 and 17-27a-604.2, is
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repealed January 1, 2025.
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(4) Subsection 17-27a-509(4)(c) is repealed July 1, 2026.
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[(4)] (5) Subsection 17-52a-103(3), regarding the process for changing a form of county
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government[ ], is repealed January 1, 2028.
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Section 5. Effective Date.
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This bill takes effect on May 7, 2025.
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