H.B. 132 Enrolled

ALTERNATIVE DISPUTE RESOLUTION
2001 GENERAL SESSION
STATE OF UTAH
Sponsor: Ralph Becker
This act modifies provisions related to administrative procedures to encourage state agencies
to develop and implement alternative dispute resolution procedures. The act defines terms.
The act provides guidelines for developing alternative dispute resolution procedures. The
act requires confidentiality of information in alternative dispute resolution procedures. The
act makes technical changes.
This act affects sections of Utah Code Annotated 1953 as follows:
ENACTS:
63-46c-101, Utah Code Annotated 1953
63-46c-102, Utah Code Annotated 1953
63-46c-103, Utah Code Annotated 1953
63-46c-104, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 63-46c-101 is enacted to read:
CHAPTER 46c. GOVERNMENTAL DISPUTE RESOLUTION ACT
63-46c-101. Title.
This chapter is known as the "Governmental Dispute Resolution Act."
Section 2. Section 63-46c-102 is enacted to read:
63-46c-102. Definitions.
As used in this chapter:
(1) "Agency" is defined in Section 63-46b-2 .
(2) "Alternative dispute resolution" or "ADR" means a process other than litigation used
to resolve disputes including mediation, arbitration, facilitation, regulatory negotiation,
fact-finding, conciliation, early neutral evaluation, and policy dialogues.
(3) "ADR organization" is defined in Section 78-31b-2 .
(4) (a) "ADR provider" means a neutral person who:

(i) meets the qualifications established by Judicial Council rules authorized under Section
78-31b-5 ; and
(ii) conducts an ADR procedure.
(b) "ADR provider" includes an arbitrator, mediator, and early neutral evaluator and may be
an employee or an independent contractor.
(5) "Arbitration" means a private hearing before an ADR provider or panel of ADR
providers who hear the evidence, consider the contentions of the parties, and enter a written award
to resolve the issues presented.
(6) "Mediation" is defined in Section 78-31b-2 .
(7) "Neutral" means a person who holds himself out to the public as a qualified person
trained to use alternative dispute resolution techniques to resolve conflicts.
Section 3. Section 63-46c-103 is enacted to read:
63-46c-103. Alternative dispute resolution -- Authorization -- Procedures -- Agency
coordinators -- Contracts.
(1) An agency may use an ADR procedure to resolve any dispute, issue, or controversy
involving any of the agency's operations, programs, or functions, including formal and informal
adjudications, rulemakings, enforcement actions, permitting, certifications, licensing, policy
development, and contract administration only with the consent of all the interested parties.
(2) (a) An agency may develop and adopt an ADR procedure governed by rules, adopted in
accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act.
(b) In developing and adopting an ADR procedure under Subsection (2)(a), an agency shall
consider:
(i) public interest in maintaining open access to and neutrality of an ADR provider or
neutral;
(ii) providing a broad selection of ADR providers or neutrals; and
(iii) creating objective criteria for an ADR provider or neutral to become qualified to conduct
an agency ADR procedure.
(3) ADR procedures developed and used by an agency must be consistent with the

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requirements of Title 63, Chapter 46b, Administrative Procedures Act.
(4) ADR procedures are voluntary and may be used:
(a) at the discretion of the agency; or
(b) with an agency that has adopted an ADR procedure under Subsection (2), at the request
of an interested party to a dispute.
(5) An agency that chooses to use an ADR procedure shall develop an agreement with
interested parties that provides:
(a) (i) for the appointment of an ADR provider or a neutral;
(ii) whose appointment is agreed upon by all parties to the dispute;
(b) specifies any limitation periods applicable to the commencement or conclusion of formal
administrative or judicial proceedings and, if applicable, specifies any time periods that the parties
have agreed to waive; and
(c) sets forth how costs and expenses shall be apportioned among the parties.
(6) (a) An ADR provider or neutral agreed upon in Subsection (5) shall have no official,
financial, or personal conflict of interest with any issue or party in controversy unless the conflict
of interest is fully disclosed in writing to all of the parties and all of the parties agree that the person
may continue to serve.
(b) An agency may make rules in accordance with Title 63, Chapter 46a, Utah
Administrative Rulemaking Act, to develop standards to assure the neutrality of an ADR provider
or neutral.
(7) An agreement developed in accordance with Subsection (5) may be included in an
enforcement order, stipulation, contract, permit, or other document entered into or issued by the
agency.
(8) (a) The administrative head of an agency may designate an employee as the ADR
coordinator for that agency.
(b) The agency ADR coordinator shall:
(i) make recommendations to the agency's executive staff on issues and disputes that are
suitable for alternative dispute resolution;

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(ii) analyze the agency's enabling statutes and rules to determine whether they contain
impediments to the use of ADR procedures and suggest any modifications;
(iii) monitor the agency's use of ADR procedures;
(iv) arrange for training of agency staff in ADR procedures; and
(v) provide information about the agency's ADR procedures to the agency's staff and to the
public.
(9) In order to implement the purposes of this chapter, an agency may employ or contract
with a neutral, an ADR provider, an ADR organization, another agency, or a private entity for any
service necessary on a case-by-case basis, on a service basis, or on a program basis.
(10) ADR procedures developed and used under this chapter are subject to the confidentiality
requirements of Section 78-31b-8 .
Section 4. Section 63-46c-104 is enacted to read:
63-46c-104. Effect on other laws.
Nothing in this chapter or in the agreements and procedures developed in Section 63-46c-103
shall:
(1) limit other dispute resolution procedures available to an agency; and
(2) deny a person a right granted under federal or other state law, including a right to an
administrative or judicial hearing.

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