Legislative outlook: two influential bills that could impact Kimball Junction development

2025 Utah State Legislative Session Floor Photo: Utah Senate

SUMMIT COUNTY, Utah – As Utah’s 2025 legislative session nears its end county officials are closely monitoring two bills that could impact the future of development in Kimball Junction.

Senate Bill 26: Cementing the County’s partnership with Dakota Pacific

Sponsored by Sen. Wayne Harper (R-West Jordan), Senate Bill 26 (SB26) would modify Utah’s Housing and Transit Reinvestment Zone (HTRZ) law, which provides funding for housing near transit hubs like the Kimball Junction Transit Center.

Critically, SB26 includes language that appears tailored to support Dakota Pacific Real Estate’s (DPRE) project, a mixed-use development that has faced significant public scrutiny. Language in the bill suggests it would make past legislation (what the DPRE litigation is about) stick.

One of the bill’s most contentious provisions states that any county action approving or implementing the mixed-use development would be considered administrative, not legislative. That distinction is key because it removes the need for a separate county legislative vote, potentially limiting public input.

SB26 does, however, impose some restrictions—most notably, requiring that one-third of the residential units be classified as affordable housing.

House Bill 540: Stopping developers from creating their own towns

In addition to working through county approvals, Dakota Pacific has also applied to form a town on its land, a move that would give it direct land-use authority and potentially bypass elected oversight of the development.

House Bill 540 (HB540), sponsored by Rep. Mike Kohler (R-Midway), would shut down this legal loophole by repealing SB258 that allows developers to incorporate towns. However, it grandfathers in applications already submitted before Feb. 1—including Dakota Pacific’s.

This has raised concerns among Utah counties, which worry that if these developer-created towns fail, local taxpayers could be left footing the bill for infrastructure and services. In response, HB540 would require developers like Dakota Pacific to agree to cover any “damages” to county property or infrastructure—though the bill doesn’t clearly define what qualifies as “damages.”

Another major issue is land-use control. If Dakota Pacific successfully forms its own town, a self-appointed board could set zoning rules, potentially allowing more market-rate housing than Summit County originally approved. HB540 attempts to prevent this by requiring any new town to honor development agreements previously established with the county.

Dakota Pacific has not yet signed the county’s December development agreement, which limits the property’s use to tech offices, similar to Skullcandy’s headquarters at the Park City Tech Center.

Where do the bills stand?

• SB26 has already passed the Senate and faces its second hearing before the House Political Subdivisions Committee on Feb. 26. If approved, it must pass both legislative chambers again due to recent revisions before heading to the governor’s desk.
• HB540 is brand new and still awaiting approval from the House Rules Committee as of Feb. 25.

With the legislative session ending on March 7, the fate of both bills—and Kimball Junction’s future—will be decided in the coming days.