Landowners of a proposed Wasatch County town, Bear Canyon, have lost their shot at incorporation this year.
On July 15, the Utah Population Committee released its feasibility study determination letter, outlining that the proposed town failed to meet contiguity requirements required by Utah state code. That’s after landowners filed a revised preliminary application with the Lieutenant Governor’s Office in May.
Initial feasibility requirements for Bear Canyon include population, population density and contiguity criteria. Bear Canyon met criteria for both population, with an estimate of 501 residents upon completion, and population density, with 144 persons per square mile.
On the matter of contiguity, the requirement by Utah law is that the proposed area must be contiguous with no strip of land connecting geographically separate areas.
That’s not the case with Bear Canyon. The problem is with one strip of land that bridges the mass of acreage with a smaller portion on the boundary’s northern end.
The proposed town would consist of nearly 2,232 acres in Wasatch County situated near the southwestern corner of the Deer Creek Reservoir, southwest of Charleston and Daniel. The revised application filed in May shows that Bear Canyon was planned as a resort community to be developed in three phases.
Phase one consists of 52 acres with 20 single-family residential lots, 15 multi-family residential units, 45 lodge rooms, 10 rental cabins, five glamping units and 50 RV spots.
Phase two consists of nearly 380 acres with 57 single-family residential lots, 75 multi-family residential units, 350 lodge rooms, 133 rental cabins and 90 glamping units.
Phase three consists of 1,800 acres with 150 single-family residential lots.
The Lieutenant Governor’s Office released the Bear Canyon feasibility study determination letter on July 16, rejecting the feasibility request.
For some in Wasatch County, the rejection is a win and a boon for the fight against development.
Residents in Wallsburg recently mobilized to fight the proposed preliminary municipalities.
The Wasatch County Council has opposed the Utah state law created in 2024 that allows up to three landowners in unincorporated areas to start developing a town without existing residents. These preliminary municipalities have control over zoning and land use but not taxation.
Wasatch County Manager Dustin Grabau suggested in February that preliminary municipalities such as Wasatch Highlands — another proposal under consideration for incorporation by the Lieutenant Governor’s Office — create unique challenges for the county.
Grabau, in response to Bear Canyon’s failure, said he believes the county is “overall pleased” with the rejection.
“I think we had a lot of concerns with it from its original conception,” Grabau said. “With it not proceeding, I think we can breathe a little sigh of relief.”
The town of Bear Canyon would have introduced a series of new developments, changing the landscape of those 2,232 acres. Also included in the revised application was a commitment that no less than 10% of developed residential units qualify as affordable housing.
Grabau said that even with the requirement of affordable housing, the 2024 law is not suited to the needs of Wasatch County and its residents.
“We don’t think that this is good code. We would like to see the state repeal it,” Grabau said. “Residents are challenging the constitutionality of this law, even, and I think we have pretty serious concerns that wouldn’t change based on which preliminary municipality is proceeding.”
He said preliminary municipalities are the “wrong way to go about incentivizing development.” In June, Grabau said he believes the state is “unashamedly pro-growth” and referenced Gov. Spencer Cox’s push for more housing in Utah.
“What you’re seeing in Wallsburg is their community. They want control of the people who live there and want control of what their community looks like and what the local government does,” Grabau said.
Preliminary municipalities “usurp” that balance of power, he said.
“I think we feel like we are, the residents feel aligned on that this law creates problems for communities,” Grabau said.
With the matter of preliminary municipalities in Wasatch County, it is not clear whether another town apart from Bear Canyon will be allowed to move forward with the incorporation process. An incorporation petition is the first step in creating a preliminary municipality and state law allows two applications to be considered each year.
Bear Canyon may apply again in 2027, but sponsors cannot submit an amended feasibility request more than once. The Lieutenant Governor’s Office did not state whether it will consider another application in Bear Canyon’s stead.