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S.B. 105

             1     

STATE SETTLEMENT AGREEMENTS

             2     
AMENDMENTS

             3     
2001 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Sponsor: Peter C. Knudson

             6      This act modifies the Utah Code by changing the requirements for settlement agreements
             7      involving the Utah Department of Transportation.
             8      This act affects sections of Utah Code Annotated 1953 as follows:
             9      AMENDS:
             10          63-38b-104, as last amended by Chapter 346, Laws of Utah 1998
             11          72-1-303, as last amended by Chapter 72, Laws of Utah 1999
             12      ENACTS:
             13          63-38b-105, Utah Code Annotated 1953
             14      Be it enacted by the Legislature of the state of Utah:
             15          Section 1. Section 63-38b-104 is amended to read:
             16           63-38b-104. Legislative review and approval of settlement agreements.
             17          (1) (a) [Except as provided in Subsection (1)(c) and before] Before legally binding the state
             18      by executing a settlement agreement that might cost government entities more than $500,000 to
             19      implement, an agency shall:
             20          (i) submit the proposed settlement agreement to the governor for his approval or rejection
             21      as required by Section 63-38b-103 ; and
             22          (ii) if the governor approves the settlement agreement, submit the settlement agreement
             23      to the Legislative Management Committee for its review and recommendations.
             24          (b) The Legislative Management Committee shall review the settlement agreement and
             25      may:
             26          (i) recommend that the agency execute the settlement agreement;
             27          (ii) recommend that the agency reject the settlement agreement; or


             28          (iii) recommend to the governor that he call a special session of the Legislature to review
             29      and approve or reject the settlement agreement.
             30          [(c) The Department of Transportation need not submit settlement agreements resolving
             31      condemnation cases to the Legislative Management Committee, unless the difference between the
             32      Department of Transportation's original appraisal on the property and the amount of the settlement
             33      is greater than $500,000.]
             34          (2) (a) [Except as provided in Subsection (2)(d) and before] Before legally binding the state
             35      by executing a settlement agreement that might cost government entities more than $1,000,000 to
             36      implement, an agency shall:
             37          (i) submit the proposed settlement agreement to the governor for his approval or rejection
             38      as required by Section 63-38b-103 ; and
             39          (ii) if the governor approves the settlement agreement, submit the settlement agreement
             40      to the Legislature for its approval in an annual general session or a special session.
             41          (b) (i) If the Legislature approves the settlement agreement, the agency may execute the
             42      agreement.
             43          (ii) If the Legislature rejects the settlement agreement, the agency may not execute the
             44      agreement.
             45          (c) If an agency executes a settlement agreement without obtaining the Legislature's
             46      approval under this Subsection (2):
             47          (i) the governor may issue an executive order declaring the settlement agreement void; or
             48          (ii) the Legislature may pass a joint resolution declaring the settlement agreement void.
             49          [(d) The Department of Transportation need not submit settlement agreements resolving
             50      condemnation cases to the Legislature, unless the difference between the Department of
             51      Transportation's original appraisal on the property and the amount of the settlement is greater than
             52      $1,000,000.]
             53          Section 2. Section 63-38b-105 is enacted to read:
             54          63-38b-105. Condemnation settlements involving the Department of Transportation.
             55          (1) Notwithstanding the provisions of this chapter, the Department of Transportation need
             56      not obtain the approval of the governor or the Legislature in settlement agreements resolving
             57      condemnation cases.
             58          (2) Settlement agreements involving condemnation cases for $1,000,000 to $2,000,000


             59      over the Department of Transportation's original appraisal shall be presented to the Transportation
             60      Commission for approval or rejection.
             61          (3) (a) Settlement agreements involving condemnation cases for more than $2,000,000
             62      over the Department of Transportation's original appraisal shall be presented:
             63          (i) to the Transportation Commission for approval or rejection; and
             64          (ii) if the settlement is approved by the Transportation Commission, to the Legislative
             65      Management Committee.
             66          (b) The Legislative Management Committee may recommend approval or rejection of the
             67      agreement.
             68          (4) The Department of Transportation may not enter into a settlement agreement that
             69      resolves a condemnation case until:
             70          (a) the Transportation Commission has approved the agreement; and
             71          (b) the Legislative Management Committee has reviewed the agreement.
             72          Section 3. Section 72-1-303 is amended to read:
             73           72-1-303. Duties of commission.
             74          The commission has the following duties:
             75          (1) determining priorities and funding levels of projects in the state transportation systems
             76      for each fiscal year based on project lists compiled by the department;
             77          (2) determining additions and deletions to state highways under Chapter 4, Designation
             78      of State Highways;
             79          (3) holding public hearings and otherwise providing for public input in transportation
             80      matters;
             81          (4) making policies and rules in accordance with Title 63, Chapter 46a, Utah
             82      Administrative Rulemaking Act, necessary to perform the commission's duties described under
             83      this section;
             84          (5) in accordance with Section 63-46b-12 , reviewing orders issued by the executive
             85      director in adjudicative proceedings held in accordance with Title 63, Chapter 46b, Administrative
             86      Procedures Act; [and]
             87          (6) advising the department in state transportation systems policy[.]; and
             88          (7) approving settlement agreements of condemnation cases subject to Section 63-38b-105 .





Legislative Review Note
    as of 1-12-01 10:39 AM


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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