1. (1) A local political subdivision may expend impact fees only for a system improvement:

   1. (a) identified in the impact fee facilities plan; and
   2. (b) for the specific public facility type for which the fee was collected.

2. (2)

   1. (a) Except as provided in Subsection (2)(b), a local political subdivision shall expend or encumber an impact fee collected with respect to a lot:

      1. (i) for a permissible use; and
      2. (ii) within six years after the impact fee with respect to that lot is collected.

   2. (b) A local political subdivision may hold the fees for longer than six years if it identifies, in writing:

      1. (i) an extraordinary and compelling reason why the fees should be held longer than six years; and
      2. (ii) an absolute date by which the fees will be expended.

Amended by Chapter 190, 2017 General Session