Bill Summary – FastDemocracy

Enrolled Copy                                                                               S.B. 187
                         UTAH FAIR HOUSING ACT AMENDMENTS
                                           2024 GENERAL SESSION
                                                STATE OF UTAH
                                      Chief Sponsor: Kirk A. Cullimore House Sponsor: Brady Brammer
 2
  LONG TITLE
  General Description:
      This bill requires a good faith effort in resolving matters before the Labor Commission
  under the Utah Fair Housing Act.
  Highlighted Provisions:
      This bill:
      ▸ eliminates an exemption in the Utah Fair Housing Act;
      ▸ codifies a good faith requirement for a legal representative to attempt resolution of a
  matter before the Labor Commission; and
      ▸ makes technical changes.
  Money Appropriated in this Bill:
      None
  Other Special Clauses:
      None
  Utah Code Sections Affected:
  AMENDS:
      57-21-3, as last amended by Laws of Utah 2015, Chapter 13
      57-21-10, as last amended by Laws of Utah 2019, Chapter 100
21
  Be it enacted by the Legislature of the state of Utah:
        Section 1. Section 57-21-3 is amended to read:
        57-21-3 . Exemptions -- Sale by private individuals -- Nonprofit organizations --
  Noncommercial transactions.
  (1) This chapter does not apply to a single-family dwelling unit sold or rented by its owner
      if:
      [(a) the owner is not a partnership, association, corporation, or other business entity;]
     S.B. 187                                                                                    Enrolled Copy
       [(b)] (a) the owner does not own an interest in four or more single-family dwelling units
             held for sale or lease at the same time;
       [(c)] (b) during a 24-month period, the owner does not sell two or more single-family
             dwelling units in which the owner was not residing or was not the most recent
             resident at the time of sale;
       [(d)] (c) the owner does not retain or use the facilities or services of a real estate broker
             or salesperson; and
       [(e)] (d) the owner does not use a discriminatory housing practice under Subsection
             57-21-5(2) in the sale or rental of the dwelling.
   (2) This chapter does not apply to a dwelling or a temporary or permanent residence facility
       if:
       (a) the discrimination is by sex, sexual orientation, gender identity, or familial status for
             reasons of personal modesty or privacy, or in the furtherance of a religious
             institution's free exercise of religious rights under the First Amendment of the United
             States Constitution or the Utah Constitution; and
       (b) the dwelling or the temporary or permanent residence facility is:
             (i) operated by a nonprofit or charitable organization;
             (ii) owned by, operated by, or under contract with a religious organization, a religious
                 association, a religious educational institution, or a religious society;
             (iii) owned by, operated by, or under contract with an affiliate of an entity described
                 in Subsection (2)(b)(ii); or
             (iv) owned by or operated by a person under contract with an entity described in
                 Subsection (2)(b)(ii).
   (3) This chapter, except for Subsection 57-21-5(2), does not apply to the rental of a room in
       a single-family dwelling by an owner-occupant of the single-family dwelling to another
       person if:
       (a) the dwelling is designed for occupancy by four or fewer families; and
       (b) the owner-occupant resides in one of the units.
   (4) (a) (i) Unless membership in a religion is restricted by race, color, sex, or national
       origin, this chapter does not prohibit an entity described in Subsection (4)(a)(ii)
       from:
                 (A) limiting the sale, rental, or occupancy of a dwelling or temporary or
                     permanent residence facility the entity owns or operates for primarily
                     noncommercial purposes to persons of the same religion; or
                                                        -2-
     Enrolled Copy                                                                                  S.B. 187
              (B) giving preference to persons of the same religion when selling, renting, or
                   selecting occupants for a dwelling, or a temporary or permanent residence
                   facility, the entity owns or operates for primarily noncommercial purposes.
          (ii) The following entities are entitled to the exemptions described in Subsection
              (4)(a)(i):
              (A) a religious organization, association, or society; or
              (B) a nonprofit institution or organization operated, supervised, or controlled by or
                   in conjunction with a religious organization, association, or society.
      (b) (i) This chapter does not prohibit an entity described in Subsection (4)(b)(ii) from:
              (A) limiting the sale, rental, or occupancy of a dwelling, or a temporary or
                   permanent residence facility, the entity owns or operates to persons of a
                   particular religion, sex, sexual orientation, or gender identity; or
              (B) giving preference to persons of a particular religion, sex, sexual orientation, or
                   gender identity when selling, renting, or selecting occupants for a dwelling, or
                   a temporary or permanent residence facility, the entity owns or operates.
          (ii) The following entities are entitled to the exemptions described in Subsection
              (4)(b)(i):
              (A) an entity described in Subsection (4)(a)(ii); and
              (B) a person who owns a dwelling, or a temporary or permanent residence facility,
                   that is under contract with an entity described in Subsection (4)(a)(ii).
  (5) (a) If the conditions of Subsection (5)(b) are met, this chapter does not prohibit a
      private club not open to the public, including a fraternity or sorority associated with
      an institution of higher education, from:
          (i) limiting the rental or occupancy of lodgings to members; or
          (ii) giving preference to its members.
      (b) This Subsection (5) applies only if the private club owns or operates the lodgings as
          an incident to its primary purpose and not for a commercial purpose.
  (6) This chapter does not prohibit distinctions based on inability to fulfill the terms and
      conditions, including financial obligations, of a lease, rental agreement, contract of
      purchase or sale, mortgage, trust deed, or other financing agreement.
  (7) This chapter does not prohibit a nonprofit educational institution from:
      (a) requiring its single students to live in a dwelling, or a temporary or permanent
          residence facility, that is owned by, operated by, or under contract with the nonprofit
          educational institution;
                                                      -3-
      S.B. 187                                                                                    Enrolled Copy
       (b) segregating a dwelling, or a temporary or permanent residence facility, that is owned
              by, operated by, or under contract with the nonprofit educational institution on the
              basis of sex or familial status or both:
              (i) for reasons of personal modesty or privacy; or
              (ii) in the furtherance of a religious institution's free exercise of religious rights under
                  the First Amendment of the United States Constitution or the Utah Constitution; or
       (c) otherwise assisting another person in making a dwelling, or a temporary or
              permanent residence facility, available to students on a sex-segregated basis as may
              be permitted by:
              (i) regulations implementing the federal Fair Housing Amendments Act of 1988;
              (ii) Title IX of the Education Amendments of 1972; or
              (iii) other applicable law.
   (8) This chapter does not prohibit any reasonable local, state, or federal restriction
       regarding the maximum number of occupants permitted to occupy a dwelling.
   (9) A provision of this chapter that pertains to familial status does not apply to the
       existence, development, sale, rental, advertisement, or financing of an apartment
       complex, condominium, or other housing development designated as housing for older
       persons, as defined by Title VIII of the Civil Rights Act of 1968, as amended.
            Section 2. Section 57-21-10 is amended to read:
            57-21-10 . Judicial election or formal adjudicative hearing.
   (1) (a) If, pursuant to Subsection 57-21-9(6) or (7)(b)(ii), the director issues a written
       determination, a party to the complaint may obtain de novo review of the
       determination by submitting a written request for a formal adjudicative hearing to be
       conducted by the commission's Division of Adjudication in accordance with Title
       34A, Chapter 1, Part 3, Adjudicative Proceedings, to the director within 30 days after
       the day on which the director issues the determination.
       (b) If the director does not receive a timely request for review, the director's
              determination becomes the final order of the commission and is not subject to further
              agency action or direct judicial review.
   (2) If a party files a timely request for review pursuant to Subsection (1):
       (a) any party to the complaint may elect to have the de novo review take place in a civil
              action in the district court rather than in a formal adjudicative hearing with the
              Division of Adjudication by filing an election with the commission in accordance
              with rules established by the commission pursuant to Title 63G, Chapter 3, Utah
                                                          -4-
      Enrolled Copy                                                                                    S.B. 187
          Administrative Rulemaking Act, regarding the form and time period for the election;
      (b) the complainant shall file a complaint for review in the forum selected pursuant to
          Subsection (2)(a) within 30 days after the completion of the forum selection process;
          and
      (c) the commission shall determine whether the director's determination is supported by
          substantial evidence.
  (3) (a) The commission shall provide legal representation on behalf of the aggrieved
      person, including the filing of a complaint for review as required by Subsection
      (2)(b),[ to support and enforce the director's determination] in the de novo review
      proceeding, if:
          (i) in accordance with Subsection 57-21-9(7)(b)(ii), the director issued a written
                 determination finding reasonable cause to believe that a discriminatory housing
                 practice had occurred, or was about to occur; and
          (ii) under Subsection (2)(c), the commission determines that the director's
                 determination under 57-21-9(7)(b)(ii) is supported by substantial evidence.
      (b) An attorney who provides legal representation under Subsection (3)(a) shall consult
          with the parties in good faith and attempt to resolve the matter based upon a review
          of the facts, witnesses, evidence, and the likelihood of success.
      [(b)] (c) Notwithstanding Title 63G, Chapter 4, Administrative Procedures Act, the
          commission's determination, under Subsection (2)(c), regarding the existence or
          nonexistence of substantial evidence to support the director's determination is not
          subject to further agency action or direct judicial review.
  (4) Upon timely application, an aggrieved person may intervene with respect to the issues
      to be determined in a formal adjudicative hearing or in a civil action brought under this
      section.
  (5) If a formal adjudicative hearing is elected:
      (a) the presiding officer shall commence the formal adjudicative hearing within 150 days
          after the day on which a request for review of the director's determination is filed,
          unless it is impracticable to do so;
      (b) the investigator who investigated the matter may not participate:
          (i) in the formal adjudicative hearing, except as a witness; or
          (ii) in the deliberations of the presiding officer;
      (c) any party to the complaint may file a written request to the Division of Adjudication
          for review of the presiding officer's order in accordance with Section 63G-4-301 and
                                                      -5-
      S.B. 187                                                                                 Enrolled Copy
              Title 34A, Chapter 1, Part 3, Adjudicative Proceedings; and
       (d) a final order of the commission under this section is subject to judicial review as
              provided in Section 63G-4-403 and Title 34A, Chapter 1, Part 3, Adjudicative
              Proceedings.
   (6) If a civil action is elected, the commission is barred from continuing or commencing
       any adjudicative proceeding in connection with the same claims under this chapter.
   (7) (a) The commission shall make final administrative disposition of the complaint
       alleging a discriminatory housing practice within one year after the complainant filed
       the complaint, unless it is impracticable to do so.
       (b) If the commission is unable to make final administrative disposition within the time
              period described in Subsection (7)(a), the commission shall notify the complainant,
              respondent, and any other interested party in writing of the reasons for the delay.
            Section 3. Effective date.
       This bill takes effect on May 1, 2024.
                                                         -6-
Statutes affected: 
Introduced: 57-21-3, 57-21-10
Enrolled: 57-21-3, 57-21-10