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H.B. 166

             1     

SCHOOL AND INSTITUTIONAL TRUST

             2     
LANDS AMENDMENTS

             3     
2001 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Sponsor: Thomas V. Hatch

             6      This act modifies provisions related to school and institutional trust lands by including the
             7      administration within the definition of a public agency for the purpose of retaining a water
             8      right.
             9      This act affects sections of Utah Code Annotated 1953 as follows:
             10      AMENDS:
             11          53C-1-201, as last amended by Chapter 237, Laws of Utah 2000
             12      Be it enacted by the Legislature of the state of Utah:
             13          Section 1. Section 53C-1-201 is amended to read:
             14           53C-1-201. Creation of administration -- Purpose -- Director.
             15          (1) (a) There is established within state government the School and Institutional Trust
             16      Lands Administration.
             17          (b) The administration shall manage all school and institutional trust lands and assets
             18      within the state, except as otherwise provided in Chapter 3 of this title and Section 51-7-12 .
             19          (2) The administration is an independent state agency and not a division of any other
             20      department.
             21          (3) (a) It is subject to the usual legislative and executive department controls except as
             22      follows:
             23          (i) (A) the director may make rules as approved by the board that allow the administration
             24      to classify a business proposal submitted to the administration as protected under Section
             25      63-2-304 , for as long as is necessary to evaluate the proposals;
             26          (B) the administration shall return the proposal to the party who submitted the proposal,
             27      and incur no further duties under Title 63, Chapter 2, Government Records Access and


             28      Management Act, if the administration determines not to proceed with the proposal;
             29          (C) the administration shall classify the proposal pursuant to law if it decides to proceed
             30      with the proposal; and
             31          (D) Section 63-2-403 does not apply during the review period;
             32          (ii) the director shall make rules in compliance with Title 63, Chapter 46a, Utah
             33      Administrative Rulemaking Act, except that the director, with the board's approval, may establish
             34      a procedure for the expedited approval of rules, based on written findings by the director showing:
             35          (A) the changes in business opportunities affecting the assets of the trust;
             36          (B) the specific business opportunity arising out of those changes which may be lost
             37      without the rule or changes to the rule;
             38          (C) the reasons the normal procedures under Section 63-46a-4 cannot be met without
             39      causing the loss of the specific opportunity;
             40          (D) approval by at least five board members; and
             41          (E) that the director has filed a copy of the rule and a rule analysis, stating the specific
             42      reasons and justifications for its findings, with the Division of Administrative Rules and notified
             43      interested parties as provided in Subsection 63-46a-4 (7); and
             44          (iii) the administration shall comply with Title 67, Chapter 19, Utah State Personnel
             45      Management Act, except as follows:
             46          (A) the board may approve, upon recommendation of the director, that exemption for
             47      specific positions under Subsections 67-19-12 (2) and 67-19-15 (1) is required in order to enable
             48      the administration to efficiently fulfill its responsibilities under the law. The director shall consult
             49      with the director of the Department of Human Resource Management prior to making such a
             50      recommendation. The positions of director, deputy director, assistant director, legal counsel
             51      appointed under Subsection 53C-1-305 (2), administrative assistant, and public affairs officer are
             52      exempt under Subsections 67-19-12 (2) and 67-19-15 (1);
             53          (B) salary for exempted positions, except for the director, shall be set by the director, after
             54      consultation with the director of the Department of Human Resource Management, within ranges
             55      approved by the board. The board and director shall consider salaries for similar positions in
             56      private enterprise and other public employment when setting salary ranges; and
             57          (C) the board may create an annual incentive and bonus plan for the director and other
             58      administration employees designated by the board, based upon the attainment of financial


             59      performance goals and other measurable criteria defined and budgeted in advance by the board;
             60      and
             61          (iv) the administration shall comply with Title 63, Chapter 56, Utah Procurement Code,
             62      except where the board approves, upon recommendation of the director, exemption from the Utah
             63      Procurement Code, and simultaneous adoption of policies for procurement, which enable the
             64      administration to efficiently fulfill its responsibilities under the law.
             65          (b) (i) The board and director shall review the exceptions under Subsection (3)(a) and
             66      make recommendations for any modification, if required, which the Legislature would be asked
             67      to consider during its annual General Session.
             68          (ii) The board and director may include in their recommendations any other proposed
             69      exceptions from the usual executive and legislative controls the board and director consider
             70      necessary to accomplish the purpose of this title.
             71          (4) The administration is managed by a director of school and institutional trust lands
             72      appointed by a majority vote of the board of trustees with the consent of the governor.
             73          (5) (a) The board of trustees shall provide policies for the management of the
             74      administration and for the management of trust lands and assets.
             75          (b) The board shall provide policies for the ownership and control of Native American
             76      remains that are discovered or excavated on school and institutional trust lands in consultation with
             77      the Division of Indian Affairs and giving due consideration to Title 9, Chapter 9, Part 4, Native
             78      American Grave Protection and Repatriation Act.
             79          (6) In connection with joint ventures for the development of trust lands and minerals
             80      approved by the board under Subsection 53C-1-303 (4)(c), the administration may become a
             81      member of a limited liability company under Title 48, Chapter 2b, Utah Limited Liability
             82      Company Act, and is considered a person under Subsection 48-2b-102 (6) for such purposes.
             83          (7) For purposes of Subsections 73-1-4 (3)(b)(iv) and 73-3-12 (2)(i):
             84          (a) the administration shall be considered a public agency; and
             85          (b) the reasonable future requirements of current and future users of school and
             86      institutional trust lands shall be considered public use.





Legislative Review Note
    as of 1-24-01 2:25 PM


A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel


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