 | Fiscal Note1st Sub. S.B. 164 (Green) 2026 General Session School Construction Amendments by Wilson, Chris H. |  |
| Ongoing | One-time | Total | |
|---|---|---|---|
| Net GF/ITF/USF (rev.-exp.) | $(1,900) | $(900) | $(2,800) |
| Revenues | FY2026 | FY2027 | FY2028 |
| New Account Created By Bill (FN Only), One-time | $0 | $2,709,500 | $0 |
| Total Revenues | $0 | $2,709,500 | $0 |
Enactment of this legislation could generate revenue beginning in FY 2027 to the Public School Construction Oversight Restricted Account created in this bill from fees or penalties paid by school districts to the Division of Facilities Construction and Management (DFCM) for their services. The bill directs DFCM to develop and set these fees according to rule. Revenues collected by DFCM for managing projects will vary based on the size of the project and the services provided. DFCM’s current project management fees range from 4% of projects under $99,999 up to a maximum of $206,200 for projects over $100,000,000. Based on prior construction expenditures for school districts, revenue to the new fund could be $2,709,500 in FY 2027.
| Expenditures | FY2026 | FY2027 | FY2028 |
| General Fund | $0 | $1,900 | $1,900 |
| General Fund, One-time | $900 | $0 | $0 |
| New Account Created By Bill (FN Only) | $0 | $2,709,500 | $2,709,500 |
| Total Expenditures | $900 | $2,711,400 | $2,711,400 |
Enactment of this legislation could cost the Department of Government Operations $900 one-time in FY 2026 and $1,900 ongoing in FY 2027, both from the General Fund, for costs related to creating and maintaining the restricted account proposed in this bill. Enactment of this legislation could also cost the Division of Facilities and Construction Management $2,709,500 ongoing beginning in FY 2027 from the Public School Construction Oversight Restricted Account for costs related to oversight of local school district building projects.
| FY2026 | FY2027 | FY2028 | |
| Net All Funds (rev-exp) | $(900) | $(1,900) | $(2,711,400) |
Enactment of this legislation could increase costs for school districts to the extent they use Division of Facilities Construction and Management project managers for their construction projects and pay fees based on the level of services used and fees set by the division, which in aggregate could be $2,709,500 beginning in FY 2027. Penalties in the legislation range from $1,000 to $25,000.
Enactment of this legislation likely will not result in direct expenditures from tax or fee changes for Utah residents and businesses.
Enactment of this legislation could result in a small increase in the regulatory burden for Utah residents or businesses.
This bill does not create a new program or significantly expand an existing program.