1. (1) The governing body of a local entity may create a local building authority by following the procedures in Title 16, Chapter 6a, Utah Revised Nonprofit Corporation Act, for the incorporation of a nonprofit corporation.

2. (2) The creating local entity's governing body shall approve:

   1. (a) the local building authority's articles of incorporation before they are filed with the Division of Corporations and Commercial Code; and
   2. (b) the local building authority's bylaws.

3. (3) The creating local entity's governing body may, in its sole discretion and at any time, change the local building authority's structure, organization, programs, or activities, subject to:

   1. (a) this chapter; and

   2. (b) the rights of:

      1. (i) holders of the local building authority's bonds; and
      2. (ii) parties to other obligations of the local building authority.

Enacted by Chapter 360, 2008 General Session