17B-1-103 - Local district status and powers.

17B-1-103. Local district status and powers.
(1) A local district:
(a) is:
(i) a body corporate and politic with perpetual succession;
(ii) a quasi-municipal corporation; and
(iii) a political subdivision of the state; and
(b) may sue and be sued.
(2) A local district may:
(a) acquire, by any lawful means, or lease any real property, personal property, or agroundwater right necessary or convenient to the full exercise of the district's powers;
(b) acquire, by any lawful means, any interest in real property, personal property, or agroundwater right necessary or convenient to the full exercise of the district's powers;
(c) transfer an interest in or dispose of any property or interest described in Subsections(2)(a) and (b);
(d) acquire or construct works, facilities, and improvements necessary or convenient tothe full exercise of the district's powers, and operate, control, maintain, and use those works,facilities, and improvements;
(e) borrow money and incur indebtedness for any lawful district purpose;
(f) issue bonds, including refunding bonds:
(i) for any lawful district purpose; and
(ii) as provided in and subject to Part 11, Local District Bonds;
(g) levy and collect property taxes:
(i) for any lawful district purpose or expenditure, including to cover a deficit resultingfrom tax delinquencies in a preceding year; and
(ii) as provided in and subject to Part 10, Local District Property Tax Levy;
(h) as provided in Title 78B, Chapter 6, Part 5, Eminent Domain, acquire by eminentdomain property necessary to the exercise of the district's powers;
(i) invest money as provided in Title 51, Chapter 7, State Money Management Act;
(j) (i) impose fees or other charges for commodities, services, or facilities provided bythe district, to pay some or all of the district's costs of providing the commodities, services, andfacilities, including the costs of:
(A) maintaining and operating the district;
(B) acquiring, purchasing, constructing, improving, or enlarging district facilities;
(C) issuing bonds and paying debt service on district bonds; and
(D) providing a reserve established by the board of trustees; and
(ii) take action the board of trustees considers appropriate and adopt regulations to assurethe collection of all fees and charges that the district imposes;
(k) if applicable, charge and collect a fee to pay for the cost of connecting a customer'sproperty to district facilities in order for the district to provide service to the property;
(l) enter into a contract that the local district board of trustees considers necessary,convenient, or desirable to carry out the district's purposes, including a contract:
(i) with the United States or any department or agency of the United States;
(ii) to indemnify and save harmless; or
(iii) to do any act to exercise district powers;
(m) purchase supplies, equipment, and materials;


(n) encumber district property upon terms and conditions that the board of trusteesconsiders appropriate;
(o) exercise other powers and perform other functions that are provided by law;
(p) construct and maintain works and establish and maintain facilities, including worksor facilities:
(i) across or along any public street or highway, subject to Subsection (3) and if thedistrict:
(A) promptly restores the street or highway, as much as practicable, to its former state ofusefulness; and
(B) does not use the street or highway in a manner that completely or unnecessarilyimpairs the usefulness of it;
(ii) in, upon, or over any vacant public lands that are or become the property of the state,including school and institutional trust lands, as defined in Section 53C-1-103, if the director ofthe School and Institutional Trust Lands Administration, acting under Sections 53C-1-102 and53C-1-303, consents; or
(iii) across any stream of water or watercourse, subject to Section 73-3-29;
(q) perform any act or exercise any power reasonably necessary for the efficientoperation of the local district in carrying out its purposes;
(r) (i) except for a local district described in Subsection (2)(r)(ii), designate anassessment area and levy an assessment on land within the assessment area, as provided in Title11, Chapter 42, Assessment Area Act; or
(ii) for a local district in a critical management area described in Subsection17B-1-202(1)(c), designate an assessment area and levy an assessment on a groundwater right tofacilitate a groundwater management plan;
(s) contract with another political subdivision of the state to allow the other politicalsubdivision to use the district's surplus water or capacity or have an ownership interest in thedistrict's works or facilities, upon the terms and for the consideration, whether monetary ornonmonetary consideration or no consideration, that the district's board of trustees considers tobe in the best interests of the district and the public; and
(t) upon the terms and for the consideration, whether monetary or nonmonetaryconsideration or no consideration, that the district's board of trustees considers to be in the bestinterests of the district and the public, agree:
(i) with:
(A) another political subdivision of the state; or
(B) a public or private owner of property:
(I) on which the district has a right-of-way; or
(II) adjacent to which the district owns fee title to property; and
(ii) to allow the use of property:
(A) owned by the district; or
(B) on which the district has a right-of-way.
(3) With respect to a local district's use of a street or highway, as provided in Subsection(2)(p)(i):
(a) the district shall comply with the reasonable rules and regulations of thegovernmental entity, whether state, county, or municipal, with jurisdiction over the street orhighway, concerning:


(i) an excavation and the refilling of an excavation;
(ii) the relaying of pavement; and
(iii) the protection of the public during a construction period; and
(b) the governmental entity, whether state, county, or municipal, with jurisdiction overthe street or highway:
(i) may not require the district to pay a license or permit fee or file a bond; and
(ii) may require the district to pay a reasonable inspection fee.
(4) (a) A local district may:
(i) acquire, lease, or construct and operate electrical generation, transmission, anddistribution facilities, if:
(A) the purpose of the facilities is to harness energy that results inherently from thedistrict's:
(I) operation of a project or facilities that the district is authorized to operate; or
(II) providing a service that the district is authorized to provide;
(B) the generation of electricity from the facilities is incidental to the primary operationsof the district; and
(C) operation of the facilities will not hinder or interfere with the primary operations ofthe district;
(ii) (A) use electricity generated by the facilities; or
(B) subject to Subsection (4)(b), sell electricity generated by the facilities to an electricutility or municipality with an existing system for distributing electricity.
(b) A district may not act as a retail distributor or seller of electricity.
(c) Revenue that a district receives from the sale of electricity from electrical generationfacilities it owns or operates under this section may be used for any lawful district purpose,including the payment of bonds issued to pay some or all of the cost of acquiring or constructingthe facilities.
(5) A local district may adopt and, after adoption, alter a corporate seal.

Amended by Chapter 150, 2010 General Session