1. (1)

   1. (a) Within 180 days after the day on which the administrative body holds the public hearing described in Section 17B-1-1306, the administrative body shall hold a second public hearing to:

      1. (i) publicly explain the result of the study and preparation described in Subsection 17B-1-1306(2)(d)(i);
      2. (ii) describe whether the proposed dissolution meets each criterion described in Subsection (2); and
      3. (iii) adopt a resolution in accordance with Subsection (1)(b) or (c).

   2. (b) Subject to Subsection (2), after a proposed dissolution petition has been certified under Section 17B-1-1305, the administrative body shall adopt a resolution:

      1. (i) certifying that the proposed dissolution satisfies the criteria described in Subsection (2); and

      2. (ii)

         1. (A) for an inactive special district, approving the dissolution of the special district; or
         2. (B) for an active special district, initiating the dissolution election described in Section 17B-1-1309.

   3. (c) Subject to Subsection (2), for a proposed dissolution of an inactive district that an administrative body initiates by adopting a resolution under Subsection 17B-1-1303(1)(b), the administrative body may adopt a resolution:

      1. (i) certifying that the proposed dissolution satisfies the criteria described in Subsection (2); and
      2. (ii) approving the dissolution of the inactive special district.

2. (2) The administrative body may not adopt a resolution under Subsection (1) unless:

   1. (a) any outstanding debt of the special district is:

      1. (i) satisfied and discharged in connection with the dissolution; or
      2. (ii) assumed by another governmental entity with the consent of all the holders of that debt and all the holders of other debts of the special district;

   2. (b) for a special district that has provided service during the preceding three years or undertaken planning or other activity preparatory to providing service:

      1. (i) another entity has committed to:

         1. (A) provide the same service to the area being served or proposed to be served by the special district; and
         2. (B) purchase, at fair market value, the assets of the special district that are required to provide the service; and
      2. (ii) all who are to receive the service have consented to the service being provided by the other entity; and
   3. (c) all outstanding contracts to which the special district is a party are resolved through mutual termination or the assignment of the special district's rights, duties, privileges, and responsibilities to another entity with the consent of the other parties to the contract.

Amended by Chapter 15, 2023 General Session