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Committee backs bill to use surplus public land for housing, alters Utah Housing Corporation board rules

2320019 · February 13, 2025
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Summary

The House Political Subdivisions Committee recommended favorably, 6–1, on House Bill 360 — a bill that would expand use of surplus public land for moderate-income housing, adjust Utah Housing Corporation board rules and remove UHC's sunset date.

House Bill 360, a consensus item in the committee’s housing package, was recommended favorably by the House Political Subdivisions Committee on a 6–1 vote (Representative Ward opposed). The bill contains three primary elements: expand use of surplus state and municipal land to increase supply of owner-occupied affordable homes, permit political subdivisions to enter certain closed meetings when negotiating financial proposals related to such developments, and change membership rules for the Utah Housing Corporation (UHC) including geographic diversity and removal of UHC’s sunset date.

David Amsham (presentation transcript) described UHC’s role: a self-funded housing finance agency that provides down-payment assistance and finances affordable rental housing. He and others on the panel said UHC needs greater flexibility to recruit trustees with technical expertise (for example, construction or condominium-lending experience) and asked the committee to change board composition rules so no more than two public trustees come from the same county (the substitute would remove the requirement that each public trustee live in a different county and would also remove the cap limiting no more than three public trustees from the same political party).

Steve Waldrop (senior advisor for housing strategy to the governor, appearing in testimony) said another provision clarifies that government entities may contribute land or participate in a transaction to support moderate-income housing rather than divesting their interest entirely — a structure stakeholders said would help school districts or other public entities partner on workforce housing or teacher housing projects.

Committee members asked for clarifications about the "grant" language in lines 329–331 and whether the provision could allow conveyances without consideration. Sponsors acknowledged concerns and agreed to work with members on clarifying language. Representative Alter (committee member) expressed "very significant concerns" about lines 329–331 and requested follow-up work. The committee voted 6–1 to recommend the substitute favorably while directing sponsors to engage on the grant language.

Committee action: Motion to recommend favorably HB 360 substitute passed 6–1 (Representative Ward recorded as opposed). Sponsors indicated willingness to work with committee members to refine the grant language.