During the 2022 General Session, the Legislature worked to appropriate $26 billion, the largest budget in Utah’s history.
This year’s extraordinary budget provided a generational opportunity for the Legislature to fund education and social services at record levels, appropriate money for water conservation efforts, set aside $1 billion for infrastructure and carry out a significant tax cut for the second consecutive year.
For the first time, the Legislature allocated more money for social services than education. Funding was provided for healthcare, housing affordability and mental health. Additionally, $55 million was set aside to address the state’s homelessness crisis.
The Legislature also raised the education budget by $383 million in ongoing revenue, a 9% increase. This substantial amount included $124.6 million in ongoing funding for the state’s basic school formula, bringing the total increase in the value of the Weighted Pupil Unit (WPU) to 6%.
Legislators continued Utah’s long-lasting tradition of wise and careful planning when it comes to finding solutions for the needs of the state. It was a historic and unforgettable session.
Main budget highlights:
• $193 million in tax cuts.
• In fiscal year 2023, the Legislature increased the education budget by $383 million in ongoing revenue, a 9% increase.
• $6 million in ongoing and $6 million one-time funding for Utah Rural Jobs Act Amendments.
S.B. 25 Property Tax Deferral Amendments modifies the Property Tax Act and allows for a property tax deferral program for senior citizens.
H.B. 25 Utah Rural Jobs Act Amendments authorizes additional non-refundable tax credits to eligible small businesses in specified rural counties throughout the state. H.B. 25 also addresses the method for allocating new annual jobs at eligible small businesses.
Tax cuts:
After cutting taxes for families, veterans and elderly Utahns during the 2021 General Session, the Senate set its sights on more than a $193 million tax cut for all Utahns. The bill provides relief to taxpayers while enabling the Legislature to invest in education, transportation, public health, water and more key areas that matter to Utahns.
• S.B. 59 Tax Amendments provides $193 million in tax relief. The bill:
• Reduces the individual and corporate income tax rate for all Utahns from 4.95% to 4.85%. A $163.7 million reduction in taxes.
• Increases the eligibility for a social security tax credit for seniors. A $15.4 million reduction in taxes.
• Establishes an earned income tax credit. A $16.1 million reduction in taxes.
Education:
The Legislature passed historic state funding for education during the 2022 General Session:
• In fiscal year 2023, the Legislature increased the education budget by $383 million in ongoing revenue, a 9% increase.
• $124.6 million in ongoing funding for the state’s basic school formula, bringing the total increase in the value of the Weighted Pupil Unit (WPU) to 6%.
• $91.5 million for development projects, including systemic earthquake upgrades to improve schools.
Higher Education:
• $15 million in one-time funds for electric vehicle research.
• $3 million ongoing funds for mental health support for students.
• $2 million in ongoing appropriations for occupational health and safety training.
Housing:
• $15 million in one-time funding for housing preservation.
• $5 million in one-time appropriations for the Redeveloping Matching Grant for affordable housing.
Disability Assistance and Treatment:
• $24 million in ongoing appropriations and $4.9 million in one-time spending for home and community-based services and intermediate care facilities for individuals with various disabilities.
Healthcare:
• $3.2 million in ongoing appropriations for targeted increases to state hospital and developmental center for front line staff.
• $3 million in ongoing funding for equal Medicaid reimbursement rate for autism.
• $2 million in ongoing spending for domestic violence shelter-based support services.
Homelessness:
• $55 million in one-time appropriations to establish the COVID-19 homeless housing and services
• $3.5 million in one-time money to increase teen centers for students experiencing homelessness.
• $5 million ongoing funds for a homeless shelter cities mitigation fund.
• $2.5 million in one-time appropriations for Housing for Hope.
Water Conservation and Fire Prevention:
The EAC budget recommendations also include $350 million to address the state’s water conservation efforts.
• $200 million in one-time appropriations for secondary water metering.
• $50 million in one-time money for agricultural water optimization.
Courts/Corrections/ Juvenile Justice Services:
• Budget Highlights for Courts/Corrections/Juvenile Justice Services:
• $19.2 million in ongoing and $13 million in one-time money for new correctional facility direct supervision model staff.
• $5 million in ongoing appropriations to the Corrections Certified Staff Pay Plan.
• $1.5 million in ongoing money for the Probation and Parole Employment Incentive Program.
• $1 million in ongoing funds for public safety retirement amendments.
Infrastructure/ Transportation:
• $1 billion in one-time funds for transportation infrastructure.
• $2 million in one-time money for a children’s mental health campus.
• $85 million in one-time funds for long-term infrastructure investments.
• $60 million in one-time funds for Bear Lake State Park Marina expansion.
State and National Parks:
$38 million for improved access to outdoor recreation and state parks.
Elections:
S.B. 170 Election Schedule Amendments, at the parties’ request, moves this year’s election filing period from March 7-11 to February 28-March 4. Additionally, starting in 2024, this bill will move the filing and intent to gather signatures period to the week before the general legislative session.
Under current law and party-selected caucus night dates, this year the candidate filing period falls in the middle of the caucus. Caucus attendees may not know who is running for each office when they meet on Tuesday, which could cause confusion.
