(1) A municipality may only require the development of a certain number of moderate income housing units as a condition of approval of a land use application if:
- (a) the municipality and the applicant enter into a written agreement regarding the number of moderate income housing units;
- (b) the municipality provides incentives for an applicant who agrees to include moderate income housing units in a development; or
- (c) the municipality offers or approves, and an applicant accepts, an incentive described in Section 10-21-401 or 10-21-402.
- (2) If an applicant does not agree to participate in the development of moderate income housing units under Subsection (1)(a) or (b), a municipality may not take into consideration the applicant's decision in the municipality's determination of whether to approve or deny a land use application.
- (3) Notwithstanding Subsections (1) and (2), a municipality that imposes a resort community sales and use tax as described in Section 59-12-401, may require the development of a certain number of moderate income housing units as a condition of approval of a land use application if the requirement is in accordance with an ordinance enacted by the municipality before January 1, 2022.
Renumbered and Amended by Chapter 15, 2025 Special Session 1