Section 402 – Homeless Shelter Cities Mitigation Restricted Account — Formula for disbursing account funds to eligible municipalities.

• (1) There is created a restricted account within the General Fund known as the Homeless Shelter Cities Mitigation Restricted Account.

• (2) The account shall be funded by:
  • (a) local sales and use tax revenue deposited into the account in accordance with Section 59-12-205;
  • (b) interest earned on the account; and
  • (c) appropriations made to the account by the Legislature.

• (3) The office shall administer the account.

• (4)
  • (a) Subject to appropriations, the office shall annually disburse funds from the account as follows:
    • (i) 92.5% shall be disbursed to first-tier eligible municipalities that have been approved to receive account funds under Section 35A-16-403, of which:
      • (A) 70% of the amount described in Subsection (4)(a)(i) shall be disbursed proportionately among applicants based on the total number of individuals experiencing homelessness who are served by eligible shelters within each municipality, as determined by the office;
      • (B) 20% of the amount described in Subsection (4)(a)(i) shall be disbursed proportionately among applicants based on the total number of individuals experiencing homelessness who are served by eligible shelters within each municipality as compared to the total population of the municipality, as determined by the office; and
      • (C) 10% of the amount described in Subsection (4)(a)(i) shall be disbursed proportionately among applicants based on the total year-round capacity of all eligible shelters within each municipality, as determined by the office;
    • (ii) 2.5% shall be disbursed to second-tier eligible municipalities that have been approved to receive account funds under Section 35A-16-403, of which:
      • (A) 70% of the amount described in Subsection (4)(a)(ii) shall be disbursed proportionately among applicants based on the total number of individuals experiencing homelessness who are served by eligible shelters within each municipality, as determined by the office;
      • (B) 20% of the amount described in Subsection (4)(a)(ii) shall be disbursed proportionately among applicants based on the total number of individuals experiencing homelessness who are served by eligible shelters within each municipality as compared to the total population of the municipality, as determined by the office; and
      • (C) 10% of the amount described in Subsection (4)(a)(ii) shall be disbursed proportionately among applicants based on the total year-round capacity of all eligible shelters within each municipality, as determined by the office; and
    • (iii) 5% shall be disbursed to third-tier eligible municipalities that have been approved to receive account funds under Section 35A-16-403, in accordance with a formula established by the office and approved by the homelessness council.
  • (b) In disbursing funds to first-tier municipalities under Subsection (4)(a)(i), the maximum amount of funds that the office may disburse each year to a single first-tier municipality may not exceed the greater of:
    • (i) $2,750,000; or
    • (ii) 25% of the total amount of funds disbursed under Subsection (4)(a)(i).
  • (c) In disbursing funds to second-tier municipalities under Subsection (4)(a)(ii), the maximum amount of funds that the office may disburse each year to a single second-tier municipality may not exceed 50% of the total amount of funds disbursed under Subsection (4)(a)(ii).
  • (d) The office may disburse funds to a third-tier municipality under Subsection (4)(a)(iii) regardless of whether the municipality receives funds under Subsection (4)(a)(i) as a first-tier municipality or funds under Subsection (4)(a)(ii) as a second-tier municipality.

Amended by Chapter 82, 2022 General Session
Renumbered and Amended by Chapter 403, 2022 General Session