Committee moves forward with bill to consolidate state‑created tax‑increment tools and tighten PID rules

Representative Roberts presented HB 507 to consolidate multiple state-created tax increment financing (TIF) tools into a single, less‑generous option capped at 60 percent of real property tax increment and a 25‑year duration. The bill would sunset several state tools and add reforms to public infrastructure districts (PIDs) including elimination of noncontiguous PID annexation, a clear dissolution process once indebtedness is retired, and stronger disclosure to buyers about PID assessments.

Roberts also described a proposed state reinvestment restricted account intended to allow a share of certain incremental revenues (for example from large data‑center or inland‑port investments) to be used for statewide priorities, and discussed tighter governance to avoid overly rich or long incentives that shift costs to existing taxpayers.

Committee members asked whether local CRA/RDA tools or land authorities (e.g., Midas or the Inland Port) would be affected; Roberts said the bill targets state‑created tools and does not change local CRA/RDA authority. Members also focused on how the bill would treat large‑load users such as data centers; Roberts said definitions and the bill’s treatment may be refined during the process. Stakeholders from the League of Cities and Towns, the Inland Port Authority, the Wasatch Front Regional Council and others testified; many praised PID transparency reforms and encouraged further collaboration.

The committee adopted the first substitute and voted 7–1 to favorably recommend the bill to the full House; Representative Hansen recorded the lone no vote.