01-02 13:59 S.B. 50
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Limited Purpose Local Government Entities
Board of Trustees Compensation Amendments
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Calvin R. Musselman
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LONG TITLE
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Committee Note:
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The Government Operations Interim Committee recommended this bill.
6 Legislative Vote:11 voting for3 voting against2 absent
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General Description:
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This bill eliminates the compensation limit for a member of a board of trustees of a limited
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purpose local government entity.
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Highlighted Provisions:
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This bill:
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▸ eliminates the compensation limit for a member of a board of trustees of a limited
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purpose local government entity;
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▸ requires a board of trustees of a limited purpose local government entity to hold a public
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hearing on a proposed compensation increase before implementing the compensation
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increase; and
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▸ makes technical and conforming changes.
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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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17B-1-307, as last amended by Laws of Utah 2023, Chapter 15
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17D-1-305, as last amended by Laws of Utah 2023, Chapter 15
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Be it enacted by the Legislature of the state of Utah:
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Section 1. Section 17B-1-307 is amended to read:
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17B-1-307 . Annual compensation -- Per diem compensation -- Participation in
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group insurance plan -- Reimbursement of expenses. S.B. 50 01-02 13:59
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(1)(a) Except as provided in Subsection 17B-1-308(1)(e), a member of a board of
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trustees may receive compensation for service on the board, as determined by the
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board of trustees.
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[(b) The amount of compensation under this Subsection (1) may not exceed $5,000 per
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year.]
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[(c)] (b)[(i)] As determined by the board of trustees, a member of the board of
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trustees may participate in a group insurance plan provided to employees of the
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special district on the same basis as employees of the special district.
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[(ii) The amount that the special district pays to provide a member with coverage
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under a group insurance plan shall be included as part of the member's
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compensation for purposes of Subsection (1)(b).]
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[(d)] (c) The amount that a special district pays employer-matching employment taxes, if
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a member of the board of trustees is treated as an employee for federal tax purposes,
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does not constitute compensation under this Subsection (1).
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(2) Before a board of trustees may adopt a compensation increase for a member of the
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board of trustees, the board of trustees shall:
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(a) hold a public hearing on the compensation increase; and
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(b) publish notice of the time, place, and purpose of the public hearing:
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(i) for at least seven days before the date of the hearing; and
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(ii) as class A notice under Section 63G-30-102.
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(3) A public hearing described in Subsection (2)(a):
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(a) shall be held separately from any other public hearing of the board of trustees; and
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(b) may be held the same day as another public hearing of the board of trustees,
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including immediately before or after the other public meeting of the board of
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trustees.
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(4) In addition to the compensation provided under Subsection (1), the board of trustees
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may elect to allow a member to receive per diem and travel expenses for up to 12
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meetings or activities per year in accordance with rules adopted by the board of trustees
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or Section 11-55-103.
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Section 2. Section 17D-1-305 is amended to read:
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17D-1-305 . Compensation for administrative control board members.
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An administrative control board member may receive compensation, per diem, and
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reimbursement of travel expenses as provided in Section 17B-1-307 to the same extent as if
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the member were a member of a board of trustees of a special district.
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Section 3. Effective date.
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This bill takes effect on May 7, 2025.
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