Here is a round-up of the key legislative changes that will impact Utah businesses.

HB190 empowers Utah businesses to help employees with child care costs

AI & technology

HB76: Data Water Center Transparency Amendments by Rep. Jill Koford

This gives the state engineer enforcement power over the reports generated by large data centers and requires a land use authority of a county or municipality to notify the Division of Water Rights, the Division of Water Quality, and any relevant water supplier before they approve a land use application for a large data center.

HB165: Critical Infrastructure Amendments by Rep. Walt Brooks

This directs the Utah Cyber Center to develop guidance on foreign adversary threats to critical infrastructure; authorizes voluntary security assessments for critical infrastructure involving foreign adversary technology; allows coordination between the Utah Cyber Center and state agencies on critical infrastructure security.

HB276: Artificial Intelligence Modifications by Rep. Ariel Defay

The bill creates the Digital Voyeurism Prevention Act to address non-consensual generation and distribution of counterfeit intimate images; prohibits generation services and platforms from distributing counterfeit images without obtaining and verifying consent from the depicted individual.

HB408: Data Sharing Amendments by Rep. Doug Fiefia

This bill allows users to select portions of their social media data to transfer; requires social media platforms to share user data in real time when users move to other platforms; and requires consent from users before their comments or interactions can be included when others transfer data.

HB498: Utah App Store Accountability Act Amendments by Rep. Jim Dunnigan

These amendments require an app store provider to request age category from individuals making accounts and verify the age category using commercially available methods that are reasonably designed to ensure accuracy, which should include affirmative age attestation by a parent together with other age information.

Business support: Retirement & childcare

HB250: Utah Retirement Plan Exchange, sponsored by Rep. Joseph Elison

This creates an online marketplace where private employers can review, compare and select retirement plan options for their employees. The exchange will present qualified retirement plans in a standardized format so employers can easily evaluate costs, features and investment options. This program could particularly benefit small businesses by making it easier and more affordable to offer retirement savings plans, helping employees build long-term financial security.

HB190: Child Care Business Tax Credit by Rep. Jason Thompson

This bill is focused on helping businesses as they help their employees with child care. It increases the state tax credit for businesses that either offer child care or build child care facilities, allowing them to claim more of their costs. That’s on top of a federal tax credit currently available. Small businesses get the biggest percentage back.

Economic development

HB68: Housing and Community Development Amendments, sponsored by Rep. Calvin Roberts

These amendments create a new Division of Housing and Community Development within the Governor’s Office of Economic Opportunity, bringing together several housing programs that were previously spread across different state agencies. The bill also establishes a state housing coordinator and moves key housing and homelessness programs into the new division to improve coordination and strengthen the state’s approach to housing policy.

HB475: Development and Planning Coordination Amendments, sponsored by Rep. Calvin Roberts

This bill reorganizes and clarifies the state’s economic development structure by renaming the Governor’s Office of Economic Opportunity as the Governor’s Office of Economic Development and establishing a new Economic Development Council to help guide statewide economic development strategy. The bill also updates responsibilities within the office and improves coordination among state agencies and programs involved in economic development.

SB108: Online Marketplace Amendments, by Sen. Lincoln Fillmore

This prohibits a municipality or county from regulating an online marketplace or from requiring an online marketplace to disclose the personal data of its users without an administrative subpoena or court order.

Energy

SB254: Extracted Natural Resources Amendments, sponsored by Sen. Ann Millner

This bill establishes a statewide framework to accelerate the development of critical mineral resources by fast-tracking permits, creating a Critical Minerals Council and establishing policies and zones to support mineral extraction and processing.

HB16: Solar Plant Amendments, sponsored by Rep. Colin Jack

The bill prohibits solar power plants on certain land types, including prime farmland and farmland of statewide, local, or unique importance. It also creates a permitting process for solar power plants.

HB78: Nuclear Regulatory Amendments by Rep. Carl Albrecht

This bill establishes the Nuclear Energy Regulatory Office within the Division of Waste Management and Radiation Control; grants rulemaking authority to the Division of Nuclear Energy Licensing and Oversight; and directs the Division to pursue expanded Agreement State status with the United States Nuclear Regulatory Commission.

Licensing & codes

HB572: Behavioral Health, Mental Health and Social Services Amendments, sponsored by Rep. Steve Eliason

This makes a broad set of changes to Utah’s behavioral health system, including shifting administration of the Governor’s Suicide Prevention Fund to the Office of Substance Use and Mental Health, expanding coordination between behavioral health providers, law enforcement and courts, and creating new programs such as community-based peer support services.

HB40: Utah Construction Trades Licensing by Rep. Tom Peterson

This bill moves the licensing requirements for an alarm company and an alarm company agent into a new chapter; it restructures the licensing requirements for the remaining trades in the Utah Construction Trades Licensing Act.

HB65: Construction Code Amendments by Rep. Tom Peterson

This bill updates State Construction Code to adopt the 2024 editions and definitions of multiple standards and includes changes to daycares.

HB172: Food Safety Manager Certification Amendments by Rep. Verona Mauga

This extends the period for food safety manager certification renewal from three years to five years; exempts a nonprofit fundraising event from food service establishment requirements.

SB90: Occupational Licenses for Veterans and Service Members by Sen. Heidi Balderee

This bill requires the Division of Professional Licensing to accept a veteran or service member’s past substantially equivalent skills, experience, credentials, training or education obtained while in the military when granting a license.

Taxes

HB236: Truth in Taxation Amendments, sponsored by Rep. Karen Peterson

This bill requires taxing entities considering a property tax increase to publicly announce that intent earlier and provide clearer information about the amount and purpose of the proposed increase. The bill also requires governments to first adopt a tentative operating budget that excludes the proposed tax increase and to present a separate alternative budget showing how additional revenue would be used if the increase is approved.

SB60: Income Tax Rate Amendments, sponsored by Sen. Dan McCay

This bill amends the corporate franchise and income tax rate from 4.5% to 4.45%; amends the income tax rate from 4.5% to 4.45%; retrospective operation for a taxable year beginning on or after January 1, 2026.

SB162: Online Sales Tax Amendments by Sen. Chris Wilson

This bill imposes a sales and use tax for amounts paid or charged for access to digital or audio works, including subscription-based streaming services, or equal to the sales tax enacted by local municipalities.

Workforce development

HB373: Higher Education Innovation, sponsored by Rep. Karen Peterson

This bill creates a pilot program to fund research projects at Utah colleges and universities that support priority industries, economic development and public policy needs.

S.B. 195: Workforce Development, sponsored by Sen. Ann Millner

This establishes a Statewide Youth Apprenticeship Governance Council to coordinate youth apprenticeship programs among education, workforce and economic development agencies while strengthening collaboration with industry.

Opportunity Zones 2.0: How Utah plans to make economic incentives work where they previously failed

The 2025 legislative session wrapped up at midnight on March 7, having passed 582 bills — second only to last year’s 591. Here are some of this year’s bills that will affect Utah businesses.

How the 2024 legislative session impacts business in Utah

Economic development

HB441 allows Utah franchisees to close their businesses on Sundays or other religiously observed days if being open would conflict with their sincerely held religious beliefs. This bill also requires all new franchise agreements to clearly disclose any mandate to the contrary by the franchisor and provides stiff enforcement penalties if a franchisor violates these protections. Fines of up to $10,000 for a first violation, $25,000 for a second and $50,000 for subsequent violations can be levied.

HB542 repeals the Unified Economic Opportunity Commission under the governor’s office and its associated subcommittees, which are the Subcommittee on Housing Affordability and the Women in the Economy Commission. It also amends provisions of the Governor’s Office of Economic Opportunity, which is tasked with developing a statewide economic policy that meshes with the state water policy and developing strategies to help rural Utah, among other responsibilities.

SB333 and SB336 impact both taxes and land use for stadiums and sports venues, including venues for the 2034 Winter Olympics in Utah. SB333 would allow for cities or counties to create a major sporting event venue zone, which would then allow them to collect up to 75 percent of the property tax increment collected and 100 percent of local sales and use tax over 25-40 years to cover the cost of projects. SB336 broadens permissible uses for a fair park land lease and modifies taxing authority provisions related to the Fairpark district or a host municipality. It allows sales tax dollars to start paying for construction costs before a Major League Baseball team is awarded to Utah and allows money to be spent on cleanup and security “relating to outdoor recreation infrastructure.”

SB26 allows sales and use tax revenue distributed to a county to be used for convention center revitalization. Last year, Salt Lake City approved a sales tax hike that could send $900 million to the downtown sports, entertainment and convention district. This bill would allow for the same amount to be collected in taxes and then used to upgrade the Salt Palace Convention Center over the next 30 years.

SB239 expands the Utah Inland Port Authority’s purchasing and development influence on adjacent lands, changes board composition to include business expertise, and permits using revenue to help other governmental entities fulfill the Utah Inland Port Authority’s duties. The bill also creates protected status for business proposals under review and requires annual evaluation of statutory objectives.

SB62 creates a “Spaceport Exploration Committee” that will study the feasibility of establishing a spaceport in Utah. This will include a market analysis, an economic impact assessment, cost estimates and potential site evaluations. Activities of a Utah-based spaceport could include satellite launches, scientific missions, national defense missions, commercial space flights, space exploration, space tourism and more.

HB106 gives Utah individuals and corporations a fifth year of tax cuts, lowering the income tax rate from 4.55 percent to 4.5 percent. The bill also gives businesses a 20 percent nonrefundable tax credit for building and operating a child care facility for their employees.

Licensing

The Utah Office of Professional Licensure Review (OPLR) provides “a regular, systematic, objective review of the requirements for each regulated occupation in the state of Utah.” SB330 comes as a result of OPLR’s review of Utah’s cosmetology license requirements. This bill restructures the licensing board, creates a barbering permit that allows a person to cut hair and shave facial hair with 130 hours of training, creates a basic esthetician permit with 200 hours of training, and drops the required number of hours for a cosmetology license from 2,000 hours of training to 1,250. The bill also authorizes apprenticeship as a valid way of obtaining a license to practice.

SB17 makes the process of licensing in Utah easier for Department of Defense families. If an employee of the Department of Defense or their spouse has a professional license in another jurisdiction, they will be able to practice in Utah. This bill also provides in-state tuition for employees and members of their families and makes it easier for them to enroll their children in K-12 schools.

SB44 standardizes the background check requirements for professional licensure. It includes submission of fingerprints and checking with both the Federal Bureau of Investigation and the Bureau of Criminal Identification. If an applicant does not disclose previous criminal history that is then discovered after they are licensed, they are subject to immediate revocation of that license.

Workforce development

Utah House Speaker Mike Schultz ran a bill to help expand or create “catalyst centers” for high school students. While presenting the bill during the legislative session, Speaker Schultz said, “For decades, CTE [career and technical education] training has kind of taken a back seat inside of our public education system.” HB447 provides $65 million in one-time funds to support schools and school districts with technical education that aligns with workforce needs. Grant money could be used for capital expenditures, to modify classrooms, to buy up-to-date equipment and for other expenses needed to expand CTE offerings around the state.

HB260 creates a “First Credential program” for high school students and will provide opportunities for industry-recognized credentials to be obtained before leaving high school. It also promotes “stackable” certificates, which enable students to seamlessly transfer certificates earned by attending a technical college to a degree-granting institution. A master list of credentials will be created and workforce needs will be prioritized.

HB131 modifies the Talent Ready Utah program by adding engineering and computer technology to the talent board and clarifying that a talent advisory council must have a minimum of four members with “extensive experience” in that advisory area in the private sector.

HB157 requires Utah’s Office of Energy Development to establish the Energy Education and Workforce Development Advisory Group, develop and maintain energy education programs and curricula for grades K-12, develop and provide professional training for educators, and develop workforce-aligned programs.

This story appears in the April issue of Utah Business. Subscribe here.

The 2024 legislative session ended on March 1 with the passing of 591 bills (a new record) and a budget of $29.4 billion, with state revenues starting to level off. Here’s a look at some of the bills impacting Utah businesses this year.

Workforce development

HB346 – Talent Ready Utah Program Amendments by Rep. Jefferson Moss and Sen. Ann Millner expands the Talent Ready Utah program by including colleges and universities as “cooperating employers” that can provide work experience for an unpaid intern. Talent Ready Utah began in 2015 after Boeing approached the state to create a workforce development pipeline to fill high-demand jobs. It has been expanded a couple of times since its inception.

A related bill, SB122 – Youth Apprenticeship Governance Structure Amendments, creates a youth apprenticeship governance study staffed by the Talent Ready Utah program to look at ways to increase youth apprenticeship opportunities and leverage career and technical education, concurrent enrollment and stackable credentials.

A third bill, SB192 – Higher Education Amendments, makes a number of changes, including the creation of “talent advisory councils” at institutions of higher education to create expanded multidisciplinary programs that target the specific needs of Utah’s business community.

Worker protections

HB55 – Employment Confidentiality Amendments by Rep. Kera Birkeland and Sen. Todd Weiler voids and makes unenforceable any nondisclosure agreements and nondisparagement agreements when sexual assault and sexual harassment are present in the workplace. The new law also voids a requirement to not disclose any settlement reached because of sexual assault and prohibits retaliation by employers.

SB149 – Artificial Intelligence Amendments by Sen. Kirk Cullimore and Rep. Jefferson Moss creates an Office of Artificial Intelligence Policy to administer a state AI program, as well as a learning lab to assess rapidly evolving technologies, potential risks and policy implications. It also sets parameters for anyone in a regulated profession under the Division of Professional Licensing (DOPL) to “clearly and conspicuously” disclose when generative AI is being used when interacting with a person.

Licensure changes

In the summer of 2022, the Utah Office of Professional Licensure Review began reviewing every professional license type in the state and looking for ways to decrease barriers to entry while protecting public safety. Here’s a look at some of the licensure changes that were passed:

Behavioral health

According to a January report from the Utah Department of Commerce, as many as 515,000 Utahns who need behavioral health services are unable to access them. During a January press conference, Utah Department of Commerce Executive Director Margaret Busse called the disparity a “chasm” that is contributing to and worsening Utah’s mental health crisis.

SB26 – Behavioral Health Licensing Amendments, by Sen. Curt Bramble and Rep. Cory Maloy, is a substantive bill addressing the findings of the report. The bill aims to fill gaps in career ladders by offering new licenses for behavioral health technicians (a one-year training and certification program) and behavioral health coaches (bachelor’s level), as well as allowing psychologists to prescribe certain medications. Second, the new law makes it easier for trained professionals in other states to be licensed in Utah by allowing exam alternatives to master’s-level therapists and adding a new master addiction counselor license. Third, the law adds flexibility to continuing education requirements. Fourth, it streamlines the governance structure by removing occupation-specific boards and creating one multi-profession behavioral health board. It removes the vocational rehabilitation counselor’s license.

The bill also focuses on increasing client safety by increasing the number of supervised hours required in direct patient care, requiring supervisors to go through specific training to improve the supervisory process and requiring background checks for therapists.

International licenses

HB58 – Licensing Amendments, also by Rep. Maloy and Sen. Bramble, make it easier for people who have been licensed in another country to become licensed in Utah. The new law broadens the DOPL’s discretion to accept substantially similar education or experience in satisfaction of standard licensing requirements, permits the DOPL to issue a limited supervised training permit to an applicant seeking licensure by endorsement under certain circumstances and establishes a licensure-by-endorsement process.

Taxes

The Utah legislature reduced the income tax rate from 4.65 percent to 4.55 percent via SB69 – Income Tax Amendments. The bill was run by Sen. Chris Wilson and Rep. Kay Christofferson with multiple co-sponsors. This marks the fourth year in a row that the Utah legislature has cut taxes.

The child tax credit for families with young children was expanded to include children from age one up to age four. This nonrefundable tax credit of $1,000 per child begins to phase out as family incomes rise.

Two big bills that could raise taxes also passed the legislature: HB562 – Utah Fairpark Area Investment and Restoration District, or the “Major League Baseball” (MLB) bill, and SB272 – Capital City Revitalization Zone, or the “National Hockey League” bill.

The MLB bill sets aside funds for a state-owned stadium on the west side of I-15. Funding for the stadium would come from increasing car rental taxes by 1.5 percent but is also contingent upon Utah actually getting a stadium. It also allows the newly created Fairpark District to levy a municipal energy sales and use tax, a telecommunications license tax, and an “accommodations” tax, as long as the accommodations are within the district. Supporters say this bill is not just about a stadium; it’s about investment in Salt Lake City’s west side. This bill had broad support.

The NHL bill establishes a “reinvestment” district in the nine-block radius surrounding the Delta Center. This new district and potential stadium will be funded by increasing the sales tax by 0.5 percent in Salt Lake City, which would push the sales tax rate to 8.25 percent. The final decision to raise taxes will be made by municipal leaders. Salt Lake City Mayor Erin Mendenhall told a legislative committee this new law will be “transformative.”

Other bills of interest

HB75 broadens parental leave for state employees and now includes foster parents. The bill also allows for parental leave to be used for postpartum recovery at any time after 20 weeks of gestation.

HB192 instructs local education agencies to come up with paid parental leave policies that cover biological and adoptive parents and that are not more restrictive than the parental leave available to state employees.