HB 501 water fee substitute drops 2031 mandate; League says funds would remain local

Utah League of Cities and Towns · February 18, 2026

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Summary

In an LPC wrap-up video, a presenter summarized changes to HB 501 (water fee): the substitute would let funds raised stay with local entities and removes a 2031 fee-imposition mandate, though the League said clarifications are still needed.

An LPC presenter summarized recent changes to HB 501, the water fee bill, during a Feb. 18 wrap-up from the State Capitol North Building.

The presenter said the current substitute removes the earlier requirement that every jurisdiction "would have to impose those fees in 2031," and emphasized that "any of the funds raised stay with the local entity." The speaker described those two changes as significant improvements but added that "we know there's still concerns with that one" and that "there's still clarification we need."

The League urged members with questions about HB 501 to reach out to League staff or to their House representatives for more details. The presenter said the handout on HB 501 is available in the nightly email and encouraged members to review it and seek clarification from staff if needed.

No formal action or vote on HB 501 was reported in the wrap-up video; the summary reflects the presenter’s description of what changed in the substitute and the League’s view that further clarification is necessary.