This bill focuses on reducing bureaucratic barriers that slow down construction of much-needed housing. It would create a "preferred land use" process that allows property owners to request faster approval to build a "starter home" or build on a small lot (≤ 5400 sq. ft.).

A property owner must submit a request asking a city or county to allow one of these preferred land uses on a specific parcel. The city or county has 5 business days to determine whether the request conforms to the requirements. If the request qualifies, the locality then has 30 days to deny it in a public meeting. Any denial must include an on-the-record finding that community harm outweighs the benefits. If the locality does not deny the request within 30 days, the preferred land use becomes a vested permitted use for that property. 

Local Governance/Land Use

This bill updates reporting requirements tied to Moderate Income Housing Plans (MIHIP). It would require cities to include new housing production data in their annual progress reports, including the number of residential units built within the municipality in the previous 12 months. The bill also links housing growth to transportation planning by giving priority consideration to significant regional transportation projects in communities that achieve residential growth (> 2.5%). 

This bill creates an automatic approval process for certain permit applications involving alterations to owner-occupied, single-family dwellings. If an application is complete, meets all applicable building and local code requirements, and includes a signed statement from a licensed combination building inspector certifying compliance, a municipality or county must approve the plan without additional discretionary review.

By shifting verification and liability to a qualified inspector, the bill removes delays associated with local plan review timelines. The intent is to streamline permitting for home alterations, which can help reduce costs and speed up projects such as renovations or the creation of accessory units that contribute to the moderate-income housing supply.

This bill requires certain municipalities to adopt an ordinance allowing detached accessory dwelling units (DADUs) by October 1, 2026. It permits DADUs on any lot where a single-family home is an allowed use, establishes a minimum lot size of 10,000 square feet, and allows the conversion of existing legal structures (such as garages) into DADUs if applicable setback and fire code requirements are met. Cities cannot require more than two parking spaces for units ≥650 sq ft, or more than one for smaller units. Cities can still control height, setbacks, size, lot coverage, owner-occupancy, utility capacity, short-term rental restrictions (no rentals under 90 days), and can limit to one DADU per lot. Existing development agreements signed before May 6, 2026 can still restrict DADUs. This bill also includes provisions related to planning commission training and standards of conduct.

This bill establishes the State Housing Infrastructure Partnership Fund, a revolving loan program intended to support public infrastructure projects that facilitate new housing development. The fund would be capitalized through a one-time reallocation of 2.13% of state sales tax revenues that would otherwise be directed to the Transportation Investment Fund, generating an estimated $200 million. The bill also increases the allowable bonding authority for housing-related grants in Salt Lake County from $70 million to $140 million, with debt service paid from the County of the First Class Highway Projects Fund and administered by the Utah Department of Transportation. In addition, it authorizes state agencies to sell surplus real property to qualifying entities at a pre-appraised value with deferred payment terms, subject to specified conditions.

This bill establishes new procedural requirements for how local governmental entities dispose of publicly owned real property. It requires a local governmental entity to determine whether a property qualifies as a “significant parcel,” defined as property with an estimated fair market value of $500,000 or more, while allowing entities with existing ordinances or resolutions to apply their own definition so long as it recognizes a value of at least $500,000. For parcels classified as significant, the bill requires advance publication of intent to dispose of the property, including posting on a website for at least 45 consecutive days, placing a physical sign on the property, and announcing the intent during a public meeting. The governing body must then approve the disposal by majority vote in a public meeting and disclose key transaction details.

HB535 has been assigned to the Senate Rules Committee.

This bill requires counties to accept and process a plan review application for a single-family dwelling on a qualifying parcel that is not part of a subdivision. The bill defines a “qualifying parcel” as land that was created by written instrument before the county adopted land use regulations for that area, or a parcel that is similar to other lots in the same zoning designation that conform to development standards or have previously been recognized as supporting a single-family dwelling. Under the bill, a county must process the application if the proposed dwelling meets minimum setback requirements, applicable utility providers approve the plan, the local health department approves when required, and the property owner dedicates necessary street frontage if required by ordinance. The property owner bears the burden of demonstrating with substantial evidence that the parcel qualifies. The bill clarifies that accepting and processing an application does not require the county to accept or maintain streets, extend utilities, or forgo enforcement against unlawful subdivision activity.

HB544 passed in the House, has been introduced in the Senate and assigned to the Senate Rules Committee.   

This bill updates local land use procedures by establishing new requirements for transparency and clarifying administrative processes. It requires municipalities to make land use regulations, fee schedules, and application requirements publicly available, either online or at city offices. The bill also adjusts decision-making timelines by allowing a legislative body to act on a proposed land use regulation if a planning commission does not make a timely recommendation. In addition, it revises the land use appeals process by limiting successive administrative appeals and clarifying when public hearings may be required, while maintaining administrative review prior to judicial review.

This bill also requires certain municipalities to adopt an ordinance allowing detached accessory dwelling units (DADUs) by October 1, 2026. It permits DADUs on any lot where a single-family home is an allowed use, establishes a minimum lot size of 10,000 square feet, and allows the conversion of existing legal structures (such as garages) into DADUs if applicable setback and fire code requirements are met. Cities cannot require more than two parking spaces for units ≥650 sq ft, or more than one for smaller units. Cities can still control height, setbacks, size, lot coverage, owner-occupancy, utility capacity, short-term rental restrictions (no rentals under 90 days), and can limit to one DADU per lot. Existing development agreements signed before May 6, 2026 can still restrict DADUs.