League recommends 'bridge' approach as homelessness bill would preempt local shelter capacity and raise mitigation contributions
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Summary
Staff briefed members on HB596, which would let the Utah Homeless Services Board set shelter capacity (preempting local conditional-use authority), designate West Valley's shelter as permanent, and increase mitigation payments; staff proposed a temporary 'bridge' option while the state finalizes a system plan.
League staff presented a detailed review of HB596 (homelessness amendments by Rep. Steve Eliason), saying the bill would broadly reshape the state's approach to shelters and mitigation funding. "First and foremost, this bill would override every conditional use permit in every city that has a shelter and instead say that the Utah Homeless Services Board ... gets to determine your shelter capacity," a staff presenter said, adding the board must consider feedback from the state fire marshal and service providers but the current draft does not require local-city input in the capacity determination.
Staff also described a targeted preemption for West Valley City — which has operated year-round shelter capacity while being recognized only as a winter shelter — and said the substitute aims to make that shelter permanent. The draft would raise mitigation contributions: staff estimated about a 15% increase in 2026 and a substantially larger increase in 2027. Staff characterized many of the changes as a significant system preemption and said the League's recommended staff position would be "pending" with officer action as needed, while the officers and staff continue negotiations.
Local officials from shelter-hosting cities urged caution. Sherry Wood, mayor of South Salt Lake City, said the changes could leave small cities carrying disproportionate burdens: "We can't maintain that," she said, noting her city hosts a high number of HUD-defined shelter beds per capita. Other members stressed the bill's fiscal and operational impact and urged robust mitigation and targeted support for shelter cities.
Because the state has not finalized a statewide plan and the legislature is nearing the end of session, staff proposed a 'bridge' approach: target limited capacity increases at specific shelters the sponsor wants expanded, adopt municipal assessments to help cover short-term costs, and create a league task force to redesign mitigation funding structure for future years. A Slido poll of members favored the bridge option over the full preemption in the current draft.
Next steps: staff said the League would maintain a position of "pending," work with league officers on rapid negotiation and member outreach over the next several days, and seek additional input from both shelter-hosting and non-shelter cities as the bill evolves.
