11-42-412 - Assessment fund -- Uses of money in the fund -- Treasurer's duties with respect to the fund. - Utah Statutes

11-42-412. Assessment fund -- Uses of money in the fund -- Treasurer's duties withrespect to the fund.
(1) The governing body of each local entity that levies an assessment under this part onbenefitted property within an assessment area shall establish an assessment fund.
(2) The governing body shall:
(a) deposit into the assessment fund all money paid to the local entity from assessmentsand interest on assessments; and
(b) deposit into a separate account in the assessment fund all money paid to the localentity from improvement revenues.
(3) Money in an assessment fund may be expended only for paying:
(a) the local entity's costs and expenses of making, operating, and maintainingimprovements to the extent permitted under Section 11-42-415;
(b) operation and maintenance costs;
(c) economic promotion activities;
(d) local entity obligations; and
(e) costs that the local entity incurs with respect to:
(i) administration of the assessment area; or
(ii) obtaining a letter of credit or other instrument or fund to secure the payment ofassessment bonds.
(4) The treasurer of the local entity:
(a) shall:
(i) subject to Subsection (4)(b)(i), be the custodian of the assessment fund;
(ii) keep the assessment fund intact and separate from all other local entity funds andmoney;
(iii) invest money in an assessment fund by following the procedures and requirements ofTitle 51, Chapter 7, State Money Management Act; and
(iv) keep on deposit in the assessment fund any interest received from the investment ofmoney in the assessment fund and use the interest exclusively for the purposes for which theassessment fund was established; and
(b) may:
(i) arrange for the assessment fund to be held by a trustee bank on behalf of the localentity; and
(ii) pay money out of the assessment fund only for the purposes listed in Subsection (3).
(5) When all local entity obligations have been paid or legally considered paid in full, thetreasurer of the local entity shall transfer all money remaining in the assessment fund as providedin Section 11-42-414.

Enacted by Chapter 329, 2007 General Session