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S.B. 111 Enrolled

             1     

REVISOR'S STATUTE

             2     
2008 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: John W. Hickman

             5     
House Sponsor: Stephen H. Urquhart

             6     
             7      LONG TITLE
             8      General Description:
             9          This bill modifies parts of the Utah Code to make technical corrections including
             10      eliminating references to repealed provisions, making minor wording changes, updating
             11      cross references, and correcting numbering.
             12      Highlighted Provisions:
             13          This bill:
             14          .    modifies parts of the Utah Code to make technical corrections including eliminating
             15      references to repealed provisions, making minor wording changes, updating cross
             16      references, and correcting numbering.
             17      Monies Appropriated in this Bill:
             18          None
             19      Other Special Clauses:
             20          None
             21      Utah Code Sections Affected:
             22      AMENDS:
             23          10-3-818, as last amended by Laws of Utah 1997, Chapter 10
             24          11-13-103, as last amended by Laws of Utah 2007, Chapter 329
             25          11-42-411, as enacted by Laws of Utah 2007, Chapter 329
             26          11-42-605, as enacted by Laws of Utah 2007, Chapter 329
             27          13-21-2, as last amended by Laws of Utah 2007, Chapter 61
             28          13-43-206, as enacted by Laws of Utah 2006, Chapter 258
             29          16-4-102, as enacted by Laws of Utah 2007, Chapter 367


             30          16-6a-1702, as enacted by Laws of Utah 2000, Chapter 300
             31          17-27a-103, as last amended by Laws of Utah 2007, Chapters 188, 199, and 329
             32          17-27a-301, as renumbered and amended by Laws of Utah 2005, Chapter 254
             33          17-27a-306, as last amended by Laws of Utah 2006, Chapter 78
             34          17-27a-307, as renumbered and amended by Laws of Utah 2005, Chapter 254
             35          17-27a-603, as last amended by Laws of Utah 2007, Chapters 160 and 188
             36          17-52-201, as last amended by Laws of Utah 2001, Chapter 241
             37          17-53-216, as renumbered and amended by Laws of Utah 2000, Chapter 133
             38          19-2-103, as last amended by Laws of Utah 2002, Chapter 176
             39          19-4-103, as last amended by Laws of Utah 2002, Chapter 176
             40          19-5-103, as last amended by Laws of Utah 2002, Chapter 176
             41          19-6-108.3, as enacted by Laws of Utah 2007, Chapter 72
             42          31A-22-605.5, as last amended by Laws of Utah 2003, Chapter 8
             43          31A-22-723, as last amended by Laws of Utah 2005, Chapter 78
             44          31A-28-114, as last amended by Laws of Utah 2007, Chapter 309
             45          31A-28-222, as last amended by Laws of Utah 2002, Chapter 308
             46          34A-2-103, as last amended by Laws of Utah 2006, Chapter 295
             47          41-8-1, as last amended by Laws of Utah 2006, Chapter 201
             48          41-10-1, Utah Code Annotated 1953
             49          49-11-701, as renumbered and amended by Laws of Utah 2002, Chapter 250
             50          53-2-402, as enacted by Laws of Utah 2007, Chapter 328
             51          53-2-403, as enacted by Laws of Utah 2007, Chapter 328
             52          53-3-202, as last amended by Laws of Utah 2006, Chapter 201
             53          53-3-204, as last amended by Laws of Utah 2006, Chapters 46, 201, and 293
             54          53-3-227, as last amended by Laws of Utah 2007, Chapter 261
             55          53-5-711, as last amended by Laws of Utah 1998, Chapter 13
             56          53A-1-408, as enacted by Laws of Utah 2002, Chapter 259
             57          53A-11-910, as enacted by Laws of Utah 2007, Chapter 161


             58          53A-17a-131.16, as repealed and reenacted by Laws of Utah 2002, Chapter 258
             59          53A-29-103, as enacted by Laws of Utah 1996, Chapter 73
             60          53B-2-107, as enacted by Laws of Utah 2002, Chapter 315
             61          54-7-12.9, as enacted by Laws of Utah 2006, Chapter 221
             62          57-1-5, as last amended by Laws of Utah 2006, Chapter 236
             63          57-1-21, as last amended by Laws of Utah 2004, Chapter 177
             64          57-1-21.5, as last amended by Laws of Utah 2002, Chapter 209
             65          58-1-501.5, as enacted by Laws of Utah 2007, Chapter 162
             66          58-37-5.5, as last amended by Laws of Utah 2003, Chapter 33
             67          58-67-302.5, as enacted by Laws of Utah 2002, Chapter 73
             68          58-72-301, as repealed and reenacted by Laws of Utah 1998, Chapter 26
             69          58-72-501, as last amended by Laws of Utah 2007, Chapter 90
             70          59-2-405.2, as last amended by Laws of Utah 2006, Fifth Special Session, Chapter 3
             71          59-7-116, as enacted by Laws of Utah 1993, Chapters 169 and 300
             72          61-1-30, as last amended by Laws of Utah 1983, Chapter 284
             73          62A-4a-207, as last amended by Laws of Utah 2006, Chapter 14
             74          63-34-6, as last amended by Laws of Utah 1998, Chapter 282
             75          63-38c-103, as last amended by Laws of Utah 2007, Chapters 122, 206, and 328
             76          63-55-253, as last amended by Laws of Utah 2007, Chapter 386
             77          63-55b-153, as last amended by Laws of Utah 2007, Chapter 216
             78          63-55b-163, as last amended by Laws of Utah 2007, Chapter 306
             79          63-63a-8, as last amended by Laws of Utah 2007, Chapter 326
             80          63-97-201, as last amended by Laws of Utah 2005, Chapter 275
             81          63A-5-222, as last amended by Laws of Utah 2000, Chapter 231
             82          63B-6-502, as last amended by Laws of Utah 2001, Chapter 321
             83          73-10f-1, as enacted by Laws of Utah 1990, Chapter 206
             84          73-12a-1, Utah Code Annotated 1953
             85          76-7-317.2, as enacted by Laws of Utah 1991, Chapter 288


             86          78-3-21, as last amended by Laws of Utah 2003, Chapters 51 and 332
             87          78-23-4, as enacted by Laws of Utah 1981, Chapter 111
             88          78-30-8, as last amended by Laws of Utah 2007, Chapter 196
             89          78-43-8, Utah Code Annotated 1953
             90      REPEALS:
             91          30-3-38, as last amended by Laws of Utah 2004, Chapter 352
             92          53-2-102.5, as last amended by Laws of Utah 2007, Chapters 245 and 328
             93     
             94      Be it enacted by the Legislature of the state of Utah:
             95          Section 1. Section 10-3-818 is amended to read:
             96           10-3-818. Salaries in municipalities.
             97          (1) The elective and statutory officers of municipalities shall receive such compensation
             98      for their services as the governing body may fix by ordinance adopting compensation or
             99      compensation schedules enacted after public hearing.
             100          (2) Upon its own motion the governing body may review or consider the compensation
             101      of any officer or officers of the municipality or a salary schedule applicable to any officer or
             102      officers of the city for the purpose of determining whether or not it should be adopted, changed,
             103      or amended. In the event that the governing body decides that the compensation or
             104      compensation schedules should be adopted, changed, or amended, it shall set a time and place
             105      for a public hearing at which all interested persons shall be given an opportunity to be heard.
             106          (3) Notice of the time, place, and purpose of the meeting shall be published at least
             107      seven days prior thereto by publication at least once in a newspaper published in the county
             108      within which the municipality is situated and generally circulated in the municipality. If there is
             109      no such newspaper then notice shall be given by posting this notice in three public places in the
             110      municipality.
             111          (4) After the conclusion of the public hearing, the governing body may enact an
             112      ordinance fixing, changing, or amending the compensation of any elective or appointive officer
             113      of the municipality or adopting a compensation schedule applicable to any officer or officers.


             114          (5) Any ordinance enacted before [Chapter 48,] Laws of Utah 1977, Chapter 48, by a
             115      municipality establishing a salary or compensation schedule for its elective or appointive officers
             116      and any salary fixed prior to [Chapter 48,] Laws of Utah 1977, Chapter 48, shall remain
             117      effective until the municipality has enacted an ordinance pursuant to the provisions of this
             118      chapter.
             119          (6) The compensation of all municipal officers shall be paid at least monthly out of the
             120      municipal treasury provided that municipalities having 1,000 or fewer population may by
             121      ordinance provide for the payment of its statutory officers less frequently. None of the
             122      provisions of this chapter shall be considered as limiting or restricting the authority to any
             123      municipality that has adopted or does adopt a charter pursuant to Utah Constitution, Article XI,
             124      Section 5, to determine the salaries of its elective and appointive officers or employees.
             125          Section 2. Section 11-13-103 is amended to read:
             126           11-13-103. Definitions.
             127          As used in this chapter:
             128          (1) "Additional project capacity" means electric generating capacity provided by a
             129      generating unit that first produces electricity on or after May 6, 2002 and that is constructed or
             130      installed at or adjacent to the site of a project that first produced electricity before May 6, 2002,
             131      regardless of whether:
             132          (a) the owners of the new generating unit are the same as or different from the owner of
             133      the project; and
             134          (b) the purchasers of electricity from the new generating unit are the same as or
             135      different from the purchasers of electricity from the project.
             136          (2) "Board" means the Permanent Community Impact Fund Board created by Section
             137      9-4-304 , and its successors.
             138          (3) "Candidate" means one or more of:
             139          (a) the state;
             140          (b) a county, municipality, school district, local district, special service district, or other
             141      political subdivision of the state; and


             142          (c) a prosecution district.
             143          (4) "Commercial project entity" means a project entity, defined in Subsection (12), that:
             144          (a) has no taxing authority; and
             145          (b) is not supported in whole or in part by and does not expend or disburse tax
             146      revenues.
             147          (5) "Direct impacts" means an increase in the need for public facilities or services that is
             148      attributable to the project or facilities providing additional project capacity, except impacts
             149      resulting from the construction or operation of a facility that is:
             150          (a) owned by an owner other than the owner of the project or of the facilities providing
             151      additional project capacity; and
             152          (b) used to furnish fuel, construction, or operation materials for use in the project.
             153          (6) "Electric interlocal entity" means an interlocal entity described in Subsection
             154      11-13-203 (3).
             155          (7) "Energy services interlocal entity" means an interlocal entity that is described in
             156      Subsection 11-13-203 (4).
             157          (8) (a) "Estimated electric requirements," when used with respect to a qualified energy
             158      services interlocal entity, includes any of the following that meets the requirements of
             159      Subsection (8)(b):
             160          (i) generation capacity;
             161          (ii) generation output; or
             162          (iii) an electric energy production facility.
             163          (b) An item listed in Subsection (8)(a) is included in "estimated electric requirements" if
             164      it is needed by the qualified energy services interlocal entity to perform the qualified energy
             165      services interlocal entity's contractual or legal obligations to any of its members.
             166          (9) "Interlocal entity" means:
             167          (a) a Utah interlocal entity, an electric interlocal entity, or an energy services interlocal
             168      entity; or
             169          (b) a separate legal or administrative entity created under Section 11-13-205 .


             170          (10) "Out-of-state public agency" means a public agency as defined in Subsection
             171      (13)(c), (d), or (e).
             172          (11) (a) "Project":
             173          (i) means an electric generation and transmission facility owned by a Utah interlocal
             174      entity or an electric interlocal entity; and
             175          (ii) includes fuel or fuel transportation facilities and water facilities owned by that Utah
             176      interlocal entity or electric interlocal entity and required for the generation and transmission
             177      facility.
             178          (b) "Project" includes a project entity's ownership interest in:
             179          (i) facilities that provide additional project capacity; and
             180          (ii) additional generating, transmission, fuel, fuel transportation, water, or other
             181      facilities added to a project.
             182          (12) "Project entity" means a Utah interlocal entity or an electric interlocal entity that
             183      owns a project.
             184          (13) "Public agency" means:
             185          (a) a city, town, county, school district, local district, special service district, or other
             186      political subdivision of the state;
             187          (b) the state or any department, division, or agency of the state;
             188          (c) any agency of the United States;
             189          (d) any political subdivision or agency of another state or the District of Columbia
             190      including any interlocal cooperation or joint powers agency formed under the authority of the
             191      law of the other state or the District of Columbia; and
             192          (e) any Indian tribe, band, nation, or other organized group or community which is
             193      recognized as eligible for the special programs and services provided by the United States to
             194      Indians because of their status as Indians.
             195          (14) "Qualified energy services interlocal entity" means an energy services interlocal
             196      entity that at the time that the energy services interlocal entity acquires its interest in facilities
             197      providing additional project capacity has at least five members that are Utah public agencies.


             198          (15) "Utah interlocal entity":
             199          (a) means an interlocal entity described in Subsection 11-13-203 (2); and
             200          (b) includes a separate legal or administrative entity created under [Chapter 47,] Laws
             201      of Utah 1977, Chapter 47, Section 3, as amended.
             202          (16) "Utah public agency" means a public agency under Subsection (13)(a) or (b).
             203          Section 3. Section 11-42-411 is amended to read:
             204           11-42-411. Installment payment of assessments.
             205          (1) (a) In an assessment resolution or ordinance, the governing body may, subject to
             206      Subsection (1)(b), provide that some or all of the assessment be paid in installments over a
             207      period not to exceed 20 years from the effective date of the resolution or ordinance.
             208          (b) If an assessment resolution or ordinance provides that some or all of the assessment
             209      be paid in installments for a period exceeding ten years from the effective date of the resolution
             210      or ordinance, the governing body:
             211          (i) shall make a determination that:
             212          (A) the improvement for which the assessment is made has a reasonable useful life for
             213      the full period during which installments are to be paid; or
             214          (B) it would be in the best interests of the local entity and the property owners for
             215      installments to be paid for more than ten years; and
             216          (ii) may provide in the resolution or ordinance that no assessment is payable during
             217      some or all of the period ending three years after the effective date of the resolution or
             218      ordinance.
             219          (2) An assessment resolution or ordinance that provides for the assessment to be paid in
             220      installments may provide that the unpaid balance be paid over the period of time that
             221      installments are payable:
             222          (a) in substantially equal installments of principal; or
             223          (b) in substantially equal installments of principal and interest.
             224          (3) (a) Each assessment resolution or ordinance that provides for the assessment to be
             225      paid in installments shall, subject to Subsections (3)(b) and (c), provide that the unpaid balance


             226      of the assessment bear interest at a fixed rate, variable rate, or a combination of fixed and
             227      variable rates, as determined by the governing body, from the effective date of the resolution or
             228      ordinance or another date specified in the resolution or ordinance.
             229          (b) If the assessment is for operation and maintenance costs or for the costs of
             230      economic promotion activities:
             231          (i) a local entity may charge interest only from the date each installment is due; and
             232          (ii) the first installment of an assessment shall be due 15 days after the effective date of
             233      the assessment resolution or ordinance.
             234          (c) If an assessment resolution or ordinance provides for the unpaid balance of the
             235      assessment to bear interest at a variable rate, the assessment resolution or ordinance shall
             236      specify:
             237          (i) the basis upon which the rate is to be determined from time to time;
             238          (ii) the manner in which and schedule upon which the rate is to be adjusted; and
             239          (iii) a maximum rate that the assessment may bear.
             240          (4) Interest payable on assessments may include:
             241          (a) interest on assessment bonds;
             242          (b) ongoing local entity costs incurred for administration of the assessment area; and
             243          (c) any costs incurred with respect to:
             244          (i) securing a letter of credit or other instrument to secure payment or repurchase of
             245      bonds; or
             246          (ii) retaining a marketing agent or an indexing agent.
             247          (5) Interest imposed in an assessment resolution or ordinance shall be paid in addition
             248      to the amount of each installment annually or at more frequent intervals as provided in the
             249      assessment resolution or ordinance.
             250          (6) (a) Except for an assessment for operation and maintenance costs or for the costs of
             251      economic promotion activities, a property owner may pay some or all of the entire assessment
             252      without interest if paid within 25 days after the assessment resolution or ordinance takes effect.
             253          (b) After the 25-day period stated in Subsection (6)(a), a property owner may at any


             254      time prepay some or all of the assessment levied against the owner's property.
             255          (c) A local entity may require a prepayment of an installment to include:
             256          (i) an amount equal to the interest that would accrue on the assessment to the next date
             257      on which interest is payable on bonds issued in anticipation of the collection of the assessment;
             258      and
             259          (ii) the amount necessary, in the governing body's opinion or the opinion of the officer
             260      designated by the governing body, to assure the availability of money to pay:
             261          (A) interest that becomes due and payable on those bonds; and
             262          (B) any premiums that become payable on bonds that are called in order to use the
             263      money from the prepaid assessment installment.
             264          Section 4. Section 11-42-605 is amended to read:
             265           11-42-605. Local entity may authorize the issuance of assessment bonds -- Limit
             266      on amount of bonds -- Features of assessment bonds.
             267          (1) After the 25-day prepayment period under Subsection 11-42-411 (6) has passed or,
             268      if the 25-day prepayment period is waived under Section 11-42-104 , after the assessment
             269      resolution or ordinance takes effect, a local entity may authorize the issuance of bonds to pay
             270      the costs of improvements in an assessment area, and other related costs, against the funds that
             271      the local entity will receive because of an assessment in an assessment area.
             272          (2) The aggregate principal amount of bonds authorized under Subsection (1) may not
             273      exceed the unpaid balance of assessments at the end of the 25-day prepayment period under
             274      Subsection 11-42-411 [(5)](6).
             275          (3) Assessment bonds issued under this section:
             276          (a) are fully negotiable for all purposes;
             277          (b) shall mature at a time that does not exceed the period that installments of
             278      assessments in the assessment area are due and payable, plus one year;
             279          (c) shall bear interest at the lowest rate or rates reasonably obtainable;
             280          (d) may not be dated earlier than the effective date of the assessment ordinance;
             281          (e) shall be payable at the place, shall be in the form, and shall be sold in the manner and


             282      with the details that are provided in the resolution authorizing the issuance of the bonds;
             283          (f) shall be issued, as the governing body determines:
             284          (i) in bearer form, with or without interest coupons attached; or
             285          (ii) in registered form as provided in Title 15, Chapter 7, Registered Public Obligations
             286      Act; and
             287          (g) provide that interest be paid semiannually, annually, or at another interval as
             288      specified by the governing body.
             289          (4) (a) A local entity may:
             290          (i) (A) provide that assessment bonds be callable for redemption before maturity; and
             291          (B) fix the terms and conditions of redemption, including the notice to be given and any
             292      premium to be paid;
             293          (ii) subject to Subsection (4)(b), require assessment bonds to bear interest at a fixed or
             294      variable rate, or a combination of fixed and variable rates;
             295          (iii) specify terms and conditions under which:
             296          (A) assessment bonds bearing interest at a variable interest rate may be converted to
             297      bear interest at a fixed interest rate; and
             298          (B) the local entity agrees to repurchase the bonds; and
             299          (iv) engage a remarketing agent and indexing agent, subject to the terms and conditions
             300      that the governing body agrees to;
             301          (v) include all costs associated with assessment bonds, including any costs resulting
             302      from any of the actions the local entity is authorized to take under this section, in an assessment
             303      levied under Section 11-42-401 .
             304          (b) If assessment bonds carry a variable interest rate, the local entity shall specify:
             305          (i) the basis upon which the variable rate is to be determined over the life of the bonds;
             306          (ii) the manner in which and schedule upon which the rate is to be adjusted; and
             307          (iii) a maximum rate that the bonds may carry.
             308          (5) (a) Nothing in this part may be construed to authorize the issuance of assessment
             309      bonds to pay for the cost of ordinary repairs to pavement, sewers, drains, curbing, gutters, or


             310      sidewalks.
             311          (b) Notwithstanding Subsection (5)(a), a local entity may issue assessment bonds to pay
             312      for extraordinary repairs to pavement, sewers, drains, curbing, gutters, or sidewalk.
             313          (c) A local entity's governing body may define by resolution or ordinance what
             314      constitutes ordinary repairs and extraordinary repairs for purposes of this Subsection (5).
             315          (d) Nothing in this Subsection (5) may be construed to limit a local entity from levying
             316      an assessment within an assessment area to pay operation and maintenance costs as described in
             317      a notice under Section 11-42-402 .
             318          (6) If a local entity has issued bond anticipation notes under Section 11-42-602 in
             319      anticipation of assessment bonds that the local entity issues under this part, the local entity shall
             320      provide for the retirement of the bond anticipation notes contemporaneously with the issuance
             321      of the assessment bonds.
             322          Section 5. Section 13-21-2 is amended to read:
             323           13-21-2. Definitions -- Exemptions.
             324          As used in this chapter:
             325          (1) "Buyer" means an individual who is solicited to purchase or who purchases the
             326      services of a credit services organization.
             327          (2) "Credit reporting agency" means a person who, for a monetary fee, dues, or on a
             328      cooperative nonprofit basis, regularly engages in whole or in part in the practice of assembling
             329      or evaluating consumer credit information or other information on consumers for the purpose of
             330      furnishing consumer reports to third persons.
             331          (3) (a) "Credit services organization" means a person who represents [oneself] that the
             332      person or an employee [as] is a debt professional or credit counselor, or, with respect to the
             333      extension of credit by others, sells, provides, or performs, or represents that the person can or
             334      will sell, provide, or perform, in return for the payment of money or other valuable
             335      consideration any of the following services:
             336          (i) improving a buyer's credit record, history, or rating;
             337          (ii) providing advice, assistance, instruction, or instructional materials to a buyer with


             338      regard to Subsection (3)(a)(i); or
             339          (iii) debt reduction or debt management plans.
             340          (b) "Credit services organization" does not include:
             341          (i) a person authorized to make loans or extensions of credit under the laws of this state
             342      or the United States who is subject to regulation and supervision by this state or the United
             343      States and who derives at least 35% of the person's income from making loans and extensions
             344      of credit;
             345          (ii) a depository institution:
             346          (A) as defined in Section 7-1-103 ; or
             347          (B) that is regulated or supervised by the Federal Deposit Insurance Corporation or the
             348      National Credit Union Administration;
             349          (iii) a person licensed as a real estate broker by this state if the person is acting within
             350      the course and scope of that license;
             351          (iv) a person licensed to practice law in this state if:
             352          (A) the person renders the services described in Subsection (3)(a) within the course and
             353      scope of the person's practice as an attorney; and
             354          (B) the services described in Subsection (3)(a) are incidental to the person's practice as
             355      an attorney;
             356          (v) a broker-dealer registered with the Securities and Exchange Commission or the
             357      Commodity Futures Trading Commission if the broker-dealer is acting within the course and
             358      scope of that regulation;
             359          (vi) a credit reporting agency if the services described in Subsection (3)(a) are incidental
             360      to the credit reporting agency's services; or
             361          (vii) a person who provides debt-management services and is required to be registered
             362      under Title 13, Chapter 42, Uniform Debt-Management Services Act.
             363          (4) "Extension of credit" means the right to defer payment of debt or to incur debt and
             364      defer its payment, offered or granted primarily for personal, family, or household purposes.
             365          Section 6. Section 13-43-206 is amended to read:


             366           13-43-206. Advisory opinion -- Process.
             367          (1) A request for an advisory opinion under Section 13-43-205 shall be:
             368          (a) filed with the Office of the Property Rights Ombudsman; and
             369          (b) accompanied by a filing fee of $150.
             370          (2) The Office of the Property Rights Ombudsman may establish policies providing for
             371      partial fee waivers for a person who is financially unable to pay the entire fee.
             372          (3) A person requesting an advisory opinion need not exhaust administrative remedies,
             373      including remedies described under Section 10-9a-801 or 17-27a-801 , before requesting an
             374      advisory opinion.
             375          (4) The Office of the Property Rights Ombudsman shall:
             376          (a) deliver notice of the request to opposing parties indicated in the request;
             377          (b) inquire of all parties if there are other necessary parties to the dispute; and
             378          (c) deliver notice to all necessary parties.
             379          (5) If a governmental entity is an opposing party, the Office of the Property Rights
             380      Ombudsman shall deliver the request in the manner provided for in Section [ 63-30d-301 ]
             381      63-30d-401 .
             382          (6) (a) The Office of the Property Rights Ombudsman shall promptly determine if the
             383      parties can agree to a neutral third party to issue an advisory opinion.
             384          (b) If no agreement can be reached within four business days after notice is delivered
             385      pursuant to Subsections (4) and (5), the Office of the Property Rights Ombudsman shall appoint
             386      a neutral third party to issue an advisory opinion.
             387          (7) All parties that are the subject of the request for advisory opinion shall:
             388          (a) share equally in the cost of the advisory opinion; and
             389          (b) provide financial assurance for payment that the neutral third party requires.
             390          (8) The neutral third party shall comply with the provisions of Section 78-31a-109 , and
             391      shall promptly:
             392          (a) seek a response from all necessary parties to the issues raised in the request for
             393      advisory opinion;


             394          (b) investigate and consider all responses; and
             395          (c) issue a written advisory opinion within 15 business days after the appointment of the
             396      neutral third party under Subsection (6)(b), unless:
             397          (i) the parties agree to extend the deadline; or
             398          (ii) the neutral third party determines that the matter is complex and requires additional
             399      time to render an opinion, which may not exceed 30 calendar days.
             400          (9) An advisory opinion shall include a statement of the facts and law supporting the
             401      opinion's conclusions.
             402          (10) (a) Copies of any advisory opinion issued by the Office of the Property Rights
             403      Ombudsman shall be delivered as soon as practicable to all necessary parties.
             404          (b) A copy of the advisory opinion shall be delivered to the government entity in the
             405      manner provided for in Section 63-30d-401 .
             406          (11) An advisory opinion issued by the Office of the Property Rights Ombudsman is not
             407      binding on any party to, nor admissible as evidence in, a dispute involving land use law except
             408      as provided in Subsection (12).
             409          (12) (a) If the same issue that is the subject of an advisory opinion is listed as a cause of
             410      action in litigation, and that cause of action is litigated on the same facts and circumstances and
             411      is resolved consistent with the advisory opinion, the substantially prevailing party on that cause
             412      of action may collect reasonable attorney fees and court costs pertaining to the development of
             413      that cause of action from the date of the delivery of the advisory opinion to the date of the
             414      court's resolution.
             415          (b) Nothing in this Subsection (12) is intended to create any new cause of action under
             416      land use law.
             417          (13) Unless filed by the local government, a request for an advisory opinion under
             418      Section 13-43-205 does not stay the progress of a land use application, or the effect of a land
             419      use decision.
             420          Section 7. Section 16-4-102 is amended to read:
             421           16-4-102. Definitions.


             422          As used in this chapter:
             423          (1) "Corporation" means a nonprofit corporation or a profit corporation.
             424          (2) "Nonprofit corporation" means a nonprofit corporation as defined in Section
             425      16-6a-102 .
             426          (3) "Profit corporation" means a corporation as defined in Section 16-10a-102 .
             427          (4) "Shares" means shares as defined in:
             428          (a) Section 16-6a-102 for a nonprofit corporation; and
             429          (b) Section 16-10a-102 for a profit corporation.
             430          (5) "Water company" means a corporation in which a shareholder has the right, based
             431      on the [shareholders] shareholder's shares, to receive a proportionate share of water delivered
             432      by the corporation.
             433          Section 8. Section 16-6a-1702 is amended to read:
             434           16-6a-1702. Application to foreign nonprofit corporations.
             435          (1) A foreign nonprofit corporation authorized to conduct affairs in this state on April
             436      30, 2001, is subject to this chapter, but is not required to obtain a new certificate of authority to
             437      conduct affairs under this chapter.
             438          (2) A foreign nonprofit corporation that is qualified to do business in this state under
             439      the provisions of Title 16, Chapter 8, which provisions were repealed by [Chapter 28,] Laws of
             440      Utah 1961, Chapter 28, shall be authorized to transact business in this state subject to all of the
             441      limitations, restrictions, liabilities, and duties prescribed in this chapter.
             442          (3) This chapter shall apply to all foreign nonprofit corporations sole qualified to do
             443      business in this state with respect to mergers and consolidations.
             444          Section 9. Section 17-27a-103 is amended to read:
             445           17-27a-103. Definitions.
             446          As used in this chapter:
             447          (1) "Affected entity" means a county, municipality, local district, special service district
             448      under Title 17A, Chapter 2, Part 13, Utah Special Service District Act, school district, interlocal
             449      cooperation entity established under Title 11, Chapter 13, Interlocal Cooperation Act, specified


             450      property owner, property owners association, public utility, or the Utah Department of
             451      Transportation, if:
             452          (a) the entity's services or facilities are likely to require expansion or significant
             453      modification because of an intended use of land;
             454          (b) the entity has filed with the county a copy of the entity's general or long-range plan;
             455      or
             456          (c) the entity has filed with the county a request for notice during the same calendar
             457      year and before the county provides notice to an affected entity in compliance with a
             458      requirement imposed under this chapter.
             459          (2) "Appeal authority" means the person, board, commission, agency, or other body
             460      designated by ordinance to decide an appeal of a decision of a land use application or a
             461      variance.
             462          (3) "Billboard" means a freestanding ground sign located on industrial, commercial, or
             463      residential property if the sign is designed or intended to direct attention to a business, product,
             464      or service that is not sold, offered, or existing on the property where the sign is located.
             465          (4) "Charter school" includes:
             466          (a) an operating charter school;
             467          (b) a charter school applicant that has its application approved by a chartering entity in
             468      accordance with Title 53A, Chapter 1a, Part 5, The Utah Charter Schools Act; and
             469          (c) an entity who is working on behalf of a charter school or approved charter applicant
             470      to develop or construct a charter school building.
             471          (5) "Chief executive officer" means the person or body that exercises the executive
             472      powers of the county.
             473          (6) "Conditional use" means a land use that, because of its unique characteristics or
             474      potential impact on the county, surrounding neighbors, or adjacent land uses, may not be
             475      compatible in some areas or may be compatible only if certain conditions are required that
             476      mitigate or eliminate the detrimental impacts.
             477          (7) "Constitutional taking" means a governmental action that results in a taking of


             478      private property so that compensation to the owner of the property is required by the:
             479          (a) Fifth or Fourteenth Amendment of the Constitution of the United States; or
             480          (b) Utah Constitution Article I, Section 22.
             481          (8) "Culinary water authority" means the department, agency, or public entity with
             482      responsibility to review and approve the feasibility of the culinary water system and sources for
             483      the subject property.
             484          (9) (a) "Disability" means a physical or mental impairment that substantially limits one
             485      or more of a person's major life activities, including a person having a record of such an
             486      impairment or being regarded as having such an impairment.
             487          (b) "Disability" does not include current illegal use of, or addiction to, any federally
             488      controlled substance, as defined in Section 102 of the Controlled Substances Act, 21 U.S.C.
             489      802.
             490          (10) "Elderly person" means a person who is 60 years old or older, who desires or
             491      needs to live with other elderly persons in a group setting, but who is capable of living
             492      independently.
             493          (11) "Fire authority" means the department, agency, or public entity with responsibility
             494      to review and approve the feasibility of fire protection and suppression services for the subject
             495      property.
             496          (12) "Gas corporation" has the same meaning as defined in Section 54-2-1 .
             497          (13) "General plan" means a document that a county adopts that sets forth general
             498      guidelines for proposed future development of the unincorporated land within the county.
             499          (14) "Identical plans" means building plans submitted to a county that are substantially
             500      identical building plans that were previously submitted to and reviewed and approved by the
             501      county and describe a building that is:
             502          (a) located on land zoned the same as the land on which the building described in the
             503      previously approved plans is located; and
             504          (b) subject to the same geological and meteorological conditions and the same law as
             505      the building described in the previously approved plans.


             506          (15) "Interstate pipeline company" means a person or entity engaged in natural gas
             507      transportation subject to the jurisdiction of the Federal Energy Regulatory Commission under
             508      the Natural Gas Act, 15 U.S.C. Sec. 717 et seq.
             509          (16) "Intrastate pipeline company" means a person or entity engaged in natural gas
             510      transportation that is not subject to the jurisdiction of the Federal Energy Regulatory
             511      Commission under the Natural Gas Act, 15 U.S.C. Sec. 717 et seq.
             512          (17) "Land use application" means an application required by a county's land use
             513      ordinance.
             514          (18) "Land use authority" means a person, board, commission, agency, or other body
             515      designated by the local legislative body to act upon a land use application.
             516          (19) "Land use ordinance" means a planning, zoning, development, or subdivision
             517      ordinance of the county, but does not include the general plan.
             518          (20) "Land use permit" means a permit issued by a land use authority.
             519          (21) "Legislative body" means the county legislative body, or for a county that has
             520      adopted an alternative form of government, the body exercising legislative powers.
             521          (22) "Local district" means any entity under Title 17B, Limited Purpose Local
             522      Government Entities - Local Districts, and any other governmental or quasi-governmental entity
             523      that is not a county, municipality, school district, or unit of the state.
             524          (23) "Lot line adjustment" means the relocation of the property boundary line in a
             525      subdivision between two adjoining lots with the consent of the owners of record.
             526          (24) "Moderate income housing" means housing occupied or reserved for occupancy by
             527      households with a gross household income equal to or less than 80% of the median gross
             528      income for households of the same size in the county in which the housing is located.
             529          (25) "Nominal fee" means a fee that reasonably reimburses a county only for time spent
             530      and expenses incurred in:
             531          (a) verifying that building plans are identical plans; and
             532          (b) reviewing and approving those minor aspects of identical plans that differ from the
             533      previously reviewed and approved building plans.


             534          (26) "Noncomplying structure" means a structure that:
             535          (a) legally existed before its current land use designation; and
             536          (b) because of one or more subsequent land use ordinance changes, does not conform
             537      to the setback, height restrictions, or other regulations, excluding those regulations that govern
             538      the use of land.
             539          (27) "Nonconforming use" means a use of land that:
             540          (a) legally existed before its current land use designation;
             541          (b) has been maintained continuously since the time the land use ordinance regulation
             542      governing the land changed; and
             543          (c) because of one or more subsequent land use ordinance changes, does not conform
             544      to the regulations that now govern the use of the land.
             545          (28) "Official map" means a map drawn by county authorities and recorded in the
             546      county recorder's office that:
             547          (a) shows actual and proposed rights-of-way, centerline alignments, and setbacks for
             548      highways and other transportation facilities;
             549          (b) provides a basis for restricting development in designated rights-of-way or between
             550      designated setbacks to allow the government authorities time to purchase or otherwise reserve
             551      the land; and
             552          (c) has been adopted as an element of the county's general plan.
             553          (29) "Person" means an individual, corporation, partnership, organization, association,
             554      trust, governmental agency, or any other legal entity.
             555          (30) "Plan for moderate income housing" means a written document adopted by a
             556      county legislative body that includes:
             557          (a) an estimate of the existing supply of moderate income housing located within the
             558      county;
             559          (b) an estimate of the need for moderate income housing in the county for the next five
             560      years as revised biennially;
             561          (c) a survey of total residential land use;


             562          (d) an evaluation of how existing land uses and zones affect opportunities for moderate
             563      income housing; and
             564          (e) a description of the county's program to encourage an adequate supply of moderate
             565      income housing.
             566          (31) "Plat" means a map or other graphical representation of lands being laid out and
             567      prepared in accordance with Section 17-27a-603 , 17-23-17 , or 57-8-13 .
             568          (32) "Public hearing" means a hearing at which members of the public are provided a
             569      reasonable opportunity to comment on the subject of the hearing.
             570          (33) "Public meeting" means a meeting that is required to be open to the public under
             571      Title 52, Chapter 4, Open and Public Meetings Act.
             572          (34) "Receiving zone" means an unincorporated area of a county that the county's land
             573      use authority designates as an area in which an owner of land may receive transferrable
             574      development rights.
             575          (35) "Record of survey map" means a map of a survey of land prepared in accordance
             576      with Section 17-23-17 .
             577          (36) "Residential facility for elderly persons" means a single-family or multiple-family
             578      dwelling unit that meets the requirements of Section 17-27a-515 , but does not include a health
             579      care facility as defined by Section 26-21-2 .
             580          (37) "Residential facility for persons with a disability" means a residence:
             581          (a) in which more than one person with a disability resides; and
             582          (b) (i) is licensed or certified by the Department of Human Services under Title 62A,
             583      Chapter 2, Licensure of Programs and Facilities; or
             584          (ii) is licensed or certified by the Department of Health under Title 26, Chapter 21,
             585      Health Care Facility Licensing and Inspection Act.
             586          (38) "Sanitary sewer authority" means the department, agency, or public entity with
             587      responsibility to review and approve the feasibility of sanitary sewer services or onsite
             588      wastewater systems.
             589          (39) "Sending zone" means an unincorporated area of a county that the county's land


             590      use authority designates as an area from which an owner of land may transfer transferrable
             591      development rights to an owner of land in a receiving zone.
             592          (40) "Specified public utility" means an electrical corporation, gas corporation, or
             593      telephone corporation, as those terms are defined in Section 54-2-1 .
             594          (41) "Street" means a public right-of-way, including a highway, avenue, boulevard,
             595      parkway, road, lane, walk, alley, viaduct, subway, tunnel, bridge, public easement, or other way.
             596          (42) (a) "Subdivision" means any land that is divided, resubdivided or proposed to be
             597      divided into two or more lots, parcels, sites, units, plots, or other division of land for the
             598      purpose, whether immediate or future, for offer, sale, lease, or development either on the
             599      installment plan or upon any and all other plans, terms, and conditions.
             600          (b) "Subdivision" includes:
             601          (i) the division or development of land whether by deed, metes and bounds description,
             602      devise and testacy, map, plat, or other recorded instrument; and
             603          (ii) except as provided in Subsection (42)(c), divisions of land for residential and
             604      nonresidential uses, including land used or to be used for commercial, agricultural, and
             605      industrial purposes.
             606          (c) "Subdivision" does not include:
             607          (i) a bona fide division or partition of agricultural land for agricultural purposes;
             608          (ii) a recorded agreement between owners of adjoining properties adjusting their mutual
             609      boundary if:
             610          (A) no new lot is created; and
             611          (B) the adjustment does not violate applicable land use ordinances;
             612          (iii) a recorded document, executed by the owner of record:
             613          (A) revising the legal description of more than one contiguous unsubdivided parcel of
             614      property into one legal description encompassing all such parcels of property; or
             615          (B) joining a subdivided parcel of property to another parcel of property that has not
             616      been subdivided, if the joinder does not violate applicable land use ordinances;
             617          (iv) a bona fide division or partition of land in a county other than a first class county


             618      for the purpose of siting, on one or more of the resulting separate parcels:
             619          (A) an unmanned facility appurtenant to a pipeline owned or operated by a gas
             620      corporation, interstate pipeline company, or intrastate pipeline company; or
             621          (B) an unmanned telecommunications, microwave, fiber optic, electrical, or other utility
             622      service regeneration, transformation, retransmission, or amplification facility; or
             623          (v) a recorded agreement between owners of adjoining subdivided properties adjusting
             624      their mutual boundary if:
             625          (A) no new dwelling lot or housing unit will result from the adjustment; and
             626          (B) the adjustment will not violate any applicable land use ordinance.
             627          (d) The joining of a subdivided parcel of property to another parcel of property that has
             628      not been subdivided does not constitute a subdivision under this Subsection (42) as to the
             629      unsubdivided parcel of property or subject the unsubdivided parcel to the county's subdivision
             630      ordinance.
             631          (43) "Township" means a contiguous, geographically defined portion of the
             632      unincorporated area of a county, established under this part or reconstituted or reinstated under
             633      Section 17-27a-306 , with planning and zoning functions as exercised through the township
             634      planning commission, as provided in this chapter, but with no legal or political identity separate
             635      from the county and no taxing authority, except that "township" means a former township under
             636      [Chapter 308,] Laws of Utah 1996, Chapter 308, where the context so indicates.
             637          (44) "Transferrable development right" means the entitlement to develop land within a
             638      sending zone that would vest according to the county's existing land use ordinances on the date
             639      that a completed land use application is filed seeking the approval of development activity on
             640      the land.
             641          (45) "Unincorporated" means the area outside of the incorporated area of a
             642      municipality.
             643          (46) "Zoning map" means a map, adopted as part of a land use ordinance, that depicts
             644      land use zones, overlays, or districts.
             645          Section 10. Section 17-27a-301 is amended to read:


             646           17-27a-301. Ordinance establishing planning commission required -- Exception --
             647      Ordinance requirements -- Township planning commission -- Compensation.
             648          (1) (a) Except as provided in Subsection (1)(b), each county shall enact an ordinance
             649      establishing a countywide planning commission for the unincorporated areas of the county not
             650      within a township.
             651          (b) Subsection (1)(a) does not apply if all of the county is included within any
             652      combination of:
             653          (i) municipalities; and
             654          (ii) townships with their own planning commissions.
             655          (2) The ordinance shall define:
             656          (a) the number and terms of the members and, if the county chooses, alternate
             657      members;
             658          (b) the mode of appointment;
             659          (c) the procedures for filling vacancies and removal from office;
             660          (d) the authority of the planning commission; and
             661          (e) other details relating to the organization and procedures of the planning
             662      commission.
             663          (3) (a) If the county establishes a township planning commission, the county legislative
             664      body shall enact an ordinance defining appointment procedures, procedures for filling vacancies
             665      and removing members from office, and other details relating to the organization and
             666      procedures of each township planning commission.
             667          (b) The planning commission for each township shall consist of seven members who,
             668      except as provided in Subsection (3)(e), shall be appointed by:
             669          (i) in a county operating under a form of government in which the executive and
             670      legislative functions of the governing body are separated, the county executive with the advice
             671      and consent of the county legislative body; or
             672          (ii) in a county operating under a form of government in which the executive and
             673      legislative functions of the governing body are not separated, the county legislative body.


             674          (c) (i) Members shall serve four-year terms and until their successors are appointed or,
             675      as provided in Subsection (3)(e), elected and qualified.
             676          (ii) Notwithstanding the provisions of Subsection (3)(c)(i) and except as provided in
             677      Subsection (3)(e), members of the first planning commissions shall be appointed so that, for
             678      each commission, the terms of at least one member and no more than two members expire each
             679      year.
             680          (d) (i) Except as provided in Subsection (3)(d)(ii), each member of a township planning
             681      commission shall be a registered voter residing within the township.
             682          (ii) (A) Notwithstanding Subsection (3)(d)(i), one member of a planning commission of
             683      a township reconstituted under [Chapter 389,] Laws of Utah 1997, Chapter 389, or reinstated
             684      or established under Subsection 17-27a-306 (1)(e)(i) may be an appointed member who is a
             685      registered voter residing outside the township if that member:
             686          (I) is an owner of real property located within the township; and
             687          (II) resides within the county in which the township is located.
             688          (B) (I) Each appointee under Subsection (3)(d)(ii)(A) shall be chosen by the township
             689      planning commission from a list of three persons submitted by the county legislative body.
             690          (II) If the township planning commission has not notified the county legislative body of
             691      its choice under Subsection (3)(d)(ii)(B)(I) within 60 days of the township planning
             692      commission's receipt of the list, the county legislative body may appoint one of the three
             693      persons on the list or a registered voter residing within the township as a member of the
             694      township planning commission.
             695          (e) (i) The legislative body of each county in which a township reconstituted under
             696      [Chapter 389,] Laws of Utah 1997, Chapter 389, or reinstated or established under Subsection
             697      17-27a-306 (1)(e)(i) is located shall enact an ordinance that provides for the election of at least
             698      three members of the planning commission of that township.
             699          (ii) The election of planning commission members under Subsection (3)(e)(i) shall
             700      coincide with the election of other county officers during even-numbered years. Approximately
             701      half the elected planning commission members shall be elected every four years during elections


             702      held on even-numbered years, and the remaining elected members shall be elected every four
             703      years on alternating even-numbered years.
             704          (f) (i) (A) The legislative body of each county in which a township reconstituted under
             705      [Chapter 389,] Laws of Utah 1997, Chapter 389, or reinstated or established under Subsection
             706      17-27a-306 (1)(e)(i) is located shall enact an ordinance appointing each elected member of the
             707      planning and zoning board of the former township, established under [Chapter 308,] Laws of
             708      Utah 1996, Chapter 308, as a member of the planning commission of the reconstituted or
             709      reinstated township. Each member appointed under this subsection shall be considered an
             710      elected member.
             711          (B) (I) Except as provided in Subsection (3)(f)(i)(B)(II), the term of each member
             712      appointed under Subsection (3)(f)(i)(A) shall continue until the time that the member's term as
             713      an elected member of the former township planning and zoning board would have expired.
             714          (II) Notwithstanding Subsection (3)(f)(i)(B)(I), the county legislative body may adjust
             715      the terms of the members appointed under Subsection (3)(f)(i)(A) so that the terms of those
             716      members coincide with the schedule under Subsection (3)(e)(ii) for elected members.
             717          (ii) Subject to Subsection (3)(f)(iii), the legislative body of a county in which a township
             718      reconstituted under [Chapter 389,] Laws of Utah 1997, Chapter 389, or reinstated or
             719      established under Subsection 17-27a-306 (1)(e)(i) is located may enact an ordinance allowing
             720      each appointed member of the planning and zoning board of the former township, established
             721      under [Chapter 308,] Laws of Utah 1996, Chapter 308, to continue to hold office as a member
             722      of the planning commission of the reconstituted or reinstated township until the time that the
             723      member's term as a member of the former township's planning and zoning board would have
             724      expired.
             725          (iii) If a planning commission of a township reconstituted under [Chapter 389,] Laws of
             726      Utah 1997, Chapter 389, or reinstated or established under Subsection 17-27a-306 (1)(e)(i) has
             727      more than one appointed member who resides outside the township, the legislative body of the
             728      county in which that township is located shall, within 15 days of the effective date of this
             729      Subsection (3)(f)(iii), dismiss all but one of the appointed members who reside outside the


             730      township, and a new member shall be appointed under Subsection (3)(b) no later than August
             731      16, 1997, to fill the position of each dismissed member.
             732          (g) (i) Except as provided in Subsection (3)(g)(ii), upon the appointment or election of
             733      all members of a township planning commission, each township planning commission under this
             734      section shall begin to exercise the powers and perform the duties provided in Section
             735      17-27a-302 with respect to all matters then pending that previously had been under the
             736      jurisdiction of the countywide planning commission or township planning and zoning board.
             737          (ii) Notwithstanding Subsection (3)(g)(i), if the members of a former township planning
             738      and zoning board continue to hold office as members of the planning commission of the
             739      township planning district under an ordinance enacted under Subsection (3)(f), the township
             740      planning commission shall immediately begin to exercise the powers and perform the duties
             741      provided in Section 17-27a-302 with respect to all matters then pending that had previously
             742      been under the jurisdiction of the township planning and zoning board.
             743          (4) The legislative body may fix per diem compensation for the members of the planning
             744      commission, based on necessary and reasonable expenses and on meetings actually attended.
             745          Section 11. Section 17-27a-306 is amended to read:
             746           17-27a-306. Townships.
             747          (1) (a) (i) Subject to Subsection (1)(a)(ii), a county legislative body may, without
             748      having received a petition under Subsection (1)(b), enact an ordinance establishing a township
             749      within the unincorporated county or dividing the unincorporated county into townships.
             750          (ii) Before enacting an ordinance under Subsection (1)(a)(i), the county legislative body
             751      shall, after providing reasonable advance notice, hold a public hearing on the proposal to
             752      establish a township or to divide the unincorporated county into townships.
             753          (b) If 25% of the private real property owners in a contiguous area of the
             754      unincorporated county petition the county legislative body to establish a township for that area,
             755      the county legislative body shall:
             756          (i) hold a public hearing to discuss the petition;
             757          (ii) at least one week before the public hearing, publish notice of the petition and the


             758      time, date, and place of the public hearing at least once in a newspaper of general circulation in
             759      the county; and
             760          (iii) at the public hearing, consider oral and written testimony from the public and vote
             761      on the question of whether or not to establish a township.
             762          (c) If the county legislative body establishes a township pursuant to a petition, the
             763      members of the township planning commission shall be appointed as provided in Subsection
             764      17-27a-301 (3)(b) to perform the duties established in this part for the township.
             765          (d) Except as provided in Subsection (1)(e), each township shall:
             766          (i) contain:
             767          (A) at least 20% but not more than 80% of:
             768          (I) the total private land area in the unincorporated county; or
             769          (II) the total value of locally assessed taxable property in the unincorporated county; or
             770          (B) (I) in a county of the first, second, or third class, at least 5% of the total population
             771      of the unincorporated county; or
             772          (II) in a county of the fourth, fifth, or sixth class, at least 25% of the total population of
             773      the unincorporated county; or
             774          (ii) have been declared by the United States Census Bureau as a census designated
             775      place.
             776          (e) (i) (A) A township that was dissolved under [Chapter 389,] Laws of Utah 1997,
             777      Chapter 389, is reinstated as a township under this part with the same boundaries and name as
             778      before the dissolution, if the former township consisted of a single, contiguous land area.
             779          (B) Notwithstanding Subsection (1)(e)(i)(A), a county legislative body may enact an
             780      ordinance establishing as a township under this part a former township that was dissolved under
             781      [Chapter 389,] Laws of Utah 1997, Chapter 389, even though the former township does not
             782      qualify to be reinstated under Subsection (1)(e)(i)(A).
             783          (C) A township reinstated under Subsection (1)(e)(i)(A) or established under
             784      Subsection (1)(e)(i)(B) shall be subject to the provisions of this part.
             785          (ii) Each planning district established under [Chapter 225,] Laws of Utah 1995, Chapter


             786      225, and each township planning district established under [Chapter 389,] Laws of Utah 1997,
             787      Chapter 389, shall continue in existence as a township, subject to the provisions of this part.
             788          (f) (i) After May 1, 2002, the legislative body of each county in which a township that
             789      has been reconstituted under [Chapter 389,] Laws of Utah 1997, Chapter 389, or reinstated
             790      under Subsection (1)(e)(i) is located shall review the township and determine whether its
             791      continued existence is advisable.
             792          (ii) In conducting the review required under Subsection (1)(f)(i), the county legislative
             793      body shall hold a public hearing with reasonable, advance, published notice of the hearing and
             794      the purpose of the hearing.
             795          (iii) Each township that has been reconstituted under [Chapter 389,] Laws of Utah
             796      1997, Chapter 389, or reinstated or established under Subsection (1)(e)(i) and its planning
             797      commission shall continue in effect, unless, within 90 days after conducting the review and
             798      public hearing required under Subsections (1)(f)(i) and (ii), the county legislative body by
             799      ordinance dissolves the township and its planning commission.
             800          (g) A township established under this section on or after May 5, 1997, may use the
             801      word "township" in its name.
             802          (2) (a) If the county legislative body establishes a township without having received a
             803      petition, the county legislative body may:
             804          (i) assign to the countywide planning commission the duties established in this part that
             805      would have been assumed by a township planning commission designated under Subsection
             806      (2)(a)(ii); or
             807          (ii) designate a planning commission for the township.
             808          (b) (i) If the county legislative body fails to designate a planning commission for a
             809      township, 40% of the private real property owners in the area proposed to be included in the
             810      township, as shown by the last county assessment roll, may petition the county legislative body
             811      to designate and appoint a planning commission for the township.
             812          (ii) If the county legislative body determines that the petition is validly signed by 40% of
             813      the private real property owners in the township, as shown by the last county assessment roll, it


             814      shall designate and appoint a planning commission for the township.
             815          (3) (a) Except as provided in Subsection (1)(f)(iii), a county legislative body may
             816      dissolve township planning commissions created under the authority of this section only by
             817      following the procedures and requirements of this Subsection (3).
             818          (b) If 20% of the private real property owners in the county petition the county
             819      legislative body to dissolve township planning commissions and to appoint a countywide
             820      planning commission, the county legislative body shall:
             821          (i) hold a public hearing to discuss the petition;
             822          (ii) at least one week before the public hearing, publish notice of the petition and the
             823      time, date, and place of the public hearing at least once in a newspaper of general circulation in
             824      the county; and
             825          (iii) at the public hearing, consider oral and written testimony from the public and vote
             826      on the question of whether or not to dissolve township planning commissions and to appoint a
             827      countywide planning commission.
             828          (c) (i) If the county legislative body fails to dissolve township planning commissions and
             829      to appoint a countywide planning commission when petitioned to do so by private real property
             830      owners under this Subsection (3), 40% of private real property owners in the county, as shown
             831      by the last county assessment roll, may petition the county legislative body to dissolve the
             832      township planning commissions and to appoint a countywide planning commission.
             833          (ii) If the county legislative body determines that the petition is validly signed by 40% of
             834      private real property owners in the township, as shown by the last county assessment roll, it
             835      shall dissolve the township planning commissions and appoint a countywide planning
             836      commission.
             837          Section 12. Section 17-27a-307 is amended to read:
             838           17-27a-307. Certain township planning and zoning board dissolved.
             839          Except as provided in Subsection 17-27a-306 (1)(f), the planning and zoning board of
             840      each township formed before May 5, 1997, under [Chapter 308,] Laws of Utah 1996, Chapter
             841      308, is dissolved.


             842          Section 13. Section 17-27a-603 is amended to read:
             843           17-27a-603. Plat required when land is subdivided -- Approval of plat --
             844      Recording plat.
             845          (1) Unless exempt under Section 17-27a-605 or excluded from the definition of
             846      subdivision under Subsection 17-27a-103 [(39)](42), whenever any land is laid out and platted,
             847      the owner of the land shall provide an accurate plat that describes or specifies:
             848          (a) a name or designation of the subdivision that is distinct from any plat already
             849      recorded in the county recorder's office;
             850          (b) the boundaries, course, and dimensions of all of the parcels of ground divided, by
             851      their boundaries, course, and extent, whether the owner proposes that any parcel of ground is
             852      intended to be used as a street or for any other public use, and whether any such area is
             853      reserved or proposed for dedication for a public purpose;
             854          (c) the lot or unit reference, block or building reference, street or site address, street
             855      name or coordinate address, acreage or square footage for all parcels, units, or lots, and length
             856      and width of the blocks and lots intended for sale; and
             857          (d) every existing right-of-way and easement grant of record for underground facilities,
             858      as defined in Section 54-8a-2 , and for other utility facilities.
             859          (2) (a) Subject to Subsections (3), (4), and (5), if the plat conforms to the county's
             860      ordinances and this part and has been approved by the culinary water authority and the sanitary
             861      sewer authority, the county shall approve the plat.
             862          (b) Counties are encouraged to receive a recommendation from the fire authority before
             863      approving a plat.
             864          (3) The county may withhold an otherwise valid plat approval until the owner of the
             865      land provides the legislative body with a tax clearance indicating that all taxes, interest, and
             866      penalties owing on the land have been paid.
             867          (4) (a) The owner of the land shall acknowledge the plat before an officer authorized by
             868      law to take the acknowledgment of conveyances of real estate and shall obtain the signature of
             869      each individual designated by the county.


             870          (b) The surveyor making the plat shall certify that the surveyor:
             871          (i) holds a license in accordance with Title 58, Chapter 22, Professional Engineers and
             872      Professional Land Surveyors Licensing Act;
             873          (ii) has completed a survey of the property described on the plat in accordance with
             874      Section 17-23-17 and has verified all measurements; and
             875          (iii) has placed monuments as represented on the plat.
             876          (c) (i) As applicable, the owner or operator of the underground and utility facilities shall
             877      approve the:
             878          (A) boundary, course, dimensions, and intended use of the right-of-way and easement
             879      grants of record;
             880          (B) location of existing underground and utility facilities; and
             881          (C) conditions or restrictions governing the location of the facilities within the
             882      right-of-way, and easement grants of records, and utility facilities within the subdivision.
             883          (ii) The approval of an owner or operator under Subsection (4)(c)(i):
             884          (A) indicates only that the plat approximates the location of the existing underground
             885      and utility facilities but does not warrant or verify their precise location; and
             886          (B) does not affect a right that the owner or operator has under:
             887          (I) Title 54, Chapter 8a, Damage to Underground Utility Facilities;
             888          (II) a recorded easement or right-of-way;
             889          (III) the law applicable to prescriptive rights; or
             890          (IV) any other provision of law.
             891          (5) (a) After the plat has been acknowledged, certified, and approved, the owner of the
             892      land shall, within the time period designated by ordinance, record the plat in the county
             893      recorder's office in the county in which the lands platted and laid out are situated.
             894          (b) An owner's failure to record a plat within the time period designated by ordinance
             895      renders the plat voidable.
             896          Section 14. Section 17-52-201 is amended to read:
             897           17-52-201. Procedure for initiating adoption of optional plan -- Limitations --


             898      Pending proceedings.
             899          (1) An optional plan proposing an alternate form of government for a county may be
             900      adopted as provided in this chapter.
             901          (2) The process to adopt an optional plan establishing an alternate form of county
             902      government may be initiated by:
             903          (a) the county legislative body as provided in Section 17-52-202 ; or
             904          (b) registered voters of the county as provided in Section 17-52-203 .
             905          (3) (a) If the process to adopt an optional plan has been initiated under [Chapter 26,]
             906      Laws of Utah 1973, Chapter 26, Section 3, 4, or 5, or Section 17-52-202 or 17-52-203 , the
             907      county legislative body may not initiate the process again under Section 17-52-202 unless the
             908      earlier proceeding:
             909          (i) has been concluded by an affirmative or negative vote of registered voters; or
             910          (ii) has not been concluded but has been pending for at least two years.
             911          (b) A county legislative body may not initiate the process to adopt an optional plan
             912      under Section 17-52-202 within four years of an election at which voters approved or rejected
             913      an optional plan proposed as a result of a process initiated by the county legislative body.
             914          (c) Registered voters of a county may not initiate the process to adopt an optional plan
             915      under Section 17-52-203 within four years of an election at which voters approved or rejected
             916      an optional plan proposed as a result of a process initiated by registered voters.
             917          Section 15. Section 17-53-216 is amended to read:
             918           17-53-216. Business license fees and taxes -- Application information to be
             919      transmitted to the county assessor.
             920          (1) For the purpose of this section, "business" means any enterprise carried on for the
             921      purpose of gain or economic profit, except that the acts of employees rendering services to
             922      employers are not included in this definition.
             923          (2) The legislative body of a county may by ordinance provide for the licensing of
             924      businesses within the unincorporated areas of the county for the purpose of regulation and
             925      revenue.


             926          (3) All license fees and taxes shall be uniform in respect to the class upon which they
             927      are imposed.
             928          (4) The county business licensing agency shall transmit the information from each
             929      approved business license application to the county assessor within 60 days following the
             930      approval of the application.
             931          (5) This section may not be construed to enhance, diminish, or otherwise alter the
             932      taxing power of counties existing prior to the effective date of [Chapter 144,] Laws of Utah
             933      1988, Chapter 144.
             934          Section 16. Section 19-2-103 is amended to read:
             935           19-2-103. Members of board -- Appointment -- Terms -- Organization -- Per
             936      diem and expenses.
             937          (1) The board comprises 11 members, one of whom shall be the executive director and
             938      ten of whom shall be appointed by the governor with the consent of the Senate.
             939          (2) The members shall be knowledgeable of air pollution matters and shall be:
             940          (a) a practicing physician and surgeon licensed in the state not connected with industry;
             941          (b) a registered professional engineer who is not from industry;
             942          (c) a representative from municipal government;
             943          (d) a representative from county government;
             944          (e) a representative from agriculture;
             945          (f) a representative from the mining industry;
             946          (g) a representative from manufacturing;
             947          (h) a representative from the fuel industry; and
             948          (i) two representatives of the public not representing or connected with industry, at
             949      least one of whom represents organized environmental interests.
             950          (3) No more than five of the appointed members shall belong to the same political
             951      party.
             952          (4) The majority of the members may not derive any significant portion of their income
             953      from persons subject to permits or orders under this chapter. Any potential conflict of interest


             954      of any member or the executive secretary, relevant to the interests of the board, shall be
             955      adequately disclosed.
             956          (5) Members serving on the Air Conservation Committee created by [Chapter 126,]
             957      Laws of Utah 1981, Chapter 126, as amended, shall serve as members of the board throughout
             958      the terms for which they were appointed.
             959          (6) (a) Except as required by Subsection (6)(b), members shall be appointed for a term
             960      of four years.
             961          (b) Notwithstanding the requirements of Subsection (6)(a), the governor shall, at the
             962      time of appointment or reappointment, adjust the length of terms to ensure that the terms of
             963      board members are staggered so that approximately half of the board is appointed every two
             964      years.
             965          (7) [Members] A member may serve more than one term.
             966          (8) [Members] A member shall hold office until the expiration of their terms and until
             967      their successors are appointed, but not more than 90 days after the expiration of their terms.
             968          (9) When a vacancy occurs in the membership for any reason, the replacement shall be
             969      appointed for the unexpired term.
             970          (10) The board shall elect annually a chair and a vice chair from its members.
             971          (11) (a) The board shall meet at least quarterly, and special meetings may be called by
             972      the chair upon his own initiative, upon the request of the executive secretary, or upon the
             973      request of three members of the board.
             974          (b) Three days' notice shall be given to each member of the board prior to any meeting.
             975          (12) Six members constitute a quorum at any meeting, and the action of a majority of
             976      members present is the action of the board.
             977          (13) (a) (i) [Members] A member who [are] is not a government [employees] employee
             978      shall receive no compensation or benefits for [their] the member's services, but may receive per
             979      diem and expenses incurred in the performance of the member's official duties at the rates
             980      established by the Division of Finance under Sections 63A-3-106 and 63A-3-107 .
             981          (ii) [Members] A member may decline to receive per diem and expenses for [their] the


             982      member's service.
             983          (b) (i) [State] A state government officer and employee [members] member who [do]
             984      does not receive salary, per diem, or expenses from [their] the agency the member represents
             985      for [their] the member's service may receive per diem and expenses incurred in the performance
             986      of [their] the member's official duties from the board at the rates established by the Division of
             987      Finance under Sections 63A-3-106 and 63A-3-107 .
             988          (ii) [State] A state government officer and employee [members] member may decline to
             989      receive per diem and expenses for [their] the member's service.
             990          (c) (i) [Local] A local government [members] member who [do] does not receive
             991      salary, per diem, or expenses from the entity that [they represent] the member represents for
             992      [their] the member's service may receive per diem and expenses incurred in the performance of
             993      [their] the member's official duties at the rates established by the Division of Finance under
             994      Sections 63A-3-106 and 63A-3-107 .
             995          (ii) [Local] A local government [members] member may decline to receive per diem and
             996      expenses for [their] the member's service.
             997          Section 17. Section 19-4-103 is amended to read:
             998           19-4-103. Drinking Water Board -- Members -- Organization -- Meetings -- Per
             999      diem and expenses.
             1000          (1) The board created under Section 19-1-106 comprises 11 members, one of whom is
             1001      the executive director and the remainder of whom shall be appointed by the governor with the
             1002      consent of the Senate.
             1003          (2) No more than five appointed members shall be from the same political party.
             1004          (3) The appointed members shall be knowledgeable about drinking water and public
             1005      water systems and shall represent different geographical areas within the state insofar as
             1006      practicable.
             1007          (4) The ten appointed members shall be appointed from the following areas:
             1008          (a) two elected officials of municipal government or their representatives involved in
             1009      management or operation of public water systems;


             1010          (b) two representatives of improvement districts, water conservancy districts, or
             1011      metropolitan water districts;
             1012          (c) one representative from an industry which manages or operates a public water
             1013      system;
             1014          (d) one registered professional engineer with expertise in civil or sanitary engineering;
             1015          (e) one representative from the state water research community or from an institution of
             1016      higher education which has comparable expertise in water research;
             1017          (f) two representatives of the public who do not represent other interests named in this
             1018      section and who do not receive, and have not received during the past two years, a significant
             1019      portion of their income, directly or indirectly, from suppliers; and
             1020          (g) one representative from a local health department.
             1021          (5) (a) Members of the Utah Safe Drinking Water Committee created by [Chapter 126,]
             1022      Laws of Utah 1981, Chapter 126, shall serve as members of the board throughout the terms for
             1023      which they were appointed.
             1024          (b) Except as required by Subsection (5)(c), as terms of current board members expire,
             1025      the governor shall appoint each new member or reappointed member to a four-year term.
             1026          (c) Notwithstanding the requirements of Subsection (5)(b), the governor shall, at the
             1027      time of appointment or reappointment, adjust the length of terms to ensure that the terms of
             1028      board members are staggered so that approximately half of the board is appointed every two
             1029      years.
             1030          (6) When a vacancy occurs in the membership for any reason, the replacement shall be
             1031      appointed for the unexpired term.
             1032          (7) Each member holds office until the expiration of the member's term, and until a
             1033      successor is appointed, but not for more than 90 days after the expiration of the term.
             1034          (8) The board shall elect annually a chair and a vice chair from its members.
             1035          (9) (a) The board shall meet at least quarterly.
             1036          (b) Special meetings may be called by the chair upon his own initiative, upon the
             1037      request of the executive secretary, or upon the request of three members of the board.


             1038          (c) Reasonable notice shall be given each member of the board prior to any meeting.
             1039          (10) Six members constitute a quorum at any meeting and the action of the majority of
             1040      the members present is the action of the board.
             1041          (11) (a) (i) [Members] A member who [are] is not a government [employees] employee
             1042      shall receive no compensation or benefits for [their] the member's services, but may receive per
             1043      diem and expenses incurred in the performance of the member's official duties at the rates
             1044      established by the Division of Finance under Sections 63A-3-106 and 63A-3-107 .
             1045          (ii) [Members] A member may decline to receive per diem and expenses for [their] the
             1046      member's service.
             1047          (b) (i) [State] A state government officer and employee [members] member who [do]
             1048      does not receive salary, per diem, or expenses from [their] the agency the member represents
             1049      for [their] the member's service may receive per diem and expenses incurred in the performance
             1050      of [their] the member's official duties from the board at the rates established by the Division of
             1051      Finance under Sections 63A-3-106 and 63A-3-107 .
             1052          (ii) [State] A state government officer and employee [members] member may decline to
             1053      receive per diem and expenses for [their] the member's service.
             1054          (c) (i) [Local] A local government [members] member who [do] does not receive
             1055      salary, per diem, or expenses from the entity that [they represent] the member represents for
             1056      [their] the member's service may receive per diem and expenses incurred in the performance of
             1057      [their] the member's official duties at the rates established by the Division of Finance under
             1058      Sections 63A-3-106 and 63A-3-107 .
             1059          (ii) [Local] A local government [members] member may decline to receive per diem and
             1060      expenses for [their] the member's service.
             1061          Section 18. Section 19-5-103 is amended to read:
             1062           19-5-103. Water Quality Board -- Members of board -- Appointment -- Terms --
             1063      Organization -- Meetings -- Per diem and expenses.
             1064          (1) Committee members currently serving on the Water Pollution Control Committee
             1065      created under [Chapter 126,] Laws of Utah 1981, Chapter 126, shall serve on the board


             1066      throughout the terms for which they were appointed.
             1067          (2) The board comprises the executive director and ten members appointed by the
             1068      governor with the consent of the Senate.
             1069          (3) No more than five of the appointed members may be from the same political party.
             1070          (4) The appointed members, insofar as practicable, shall include the following:
             1071          (a) one member representing the mineral industries;
             1072          (b) one member representing the food processing industries;
             1073          (c) one member representing other manufacturing industries;
             1074          (d) two members who are officials of municipal government or their representatives
             1075      involved in the management or operation of wastewater treatment facilities;
             1076          (e) one member representing agricultural and livestock interests;
             1077          (f) one member representing fish, wildlife, and recreation interests;
             1078          (g) one member representing improvement and service districts; and
             1079          (h) two members at large, one of whom represents organized environmental interests,
             1080      selected with due consideration of the areas of the state affected by water pollution and not
             1081      representing other interests named in this Subsection (4).
             1082          (5) When a vacancy occurs in the membership for any reason, the replacement shall be
             1083      appointed for the unexpired term with the consent of the Senate.
             1084          (6) (a) Except as required by Subsection (6)(b), [members] each member shall be
             1085      appointed for [terms] a term of four years and [are] is eligible for reappointment.
             1086          (b) Notwithstanding the requirements of Subsection (6)(a), the governor shall, at the
             1087      time of appointment or reappointment, adjust the length of terms to ensure that the terms of
             1088      board members are staggered so that approximately half of the board is appointed every two
             1089      years.
             1090          (7) [Members] A member shall hold office until the expiration of [their] the member's
             1091      terms and until [their successors are] that member's successor is appointed, not to exceed 90
             1092      days after the formal expiration of [their terms] the member's term.
             1093          (8) The board shall:


             1094          (a) organize and annually select one of its members as chair and one of its members as
             1095      vice chair;
             1096          (b) hold at least four regular meetings each calendar year; and
             1097          (c) keep minutes of its proceedings which shall be open to the public for inspection.
             1098          (9) Special meetings may be called by the chair and must be called by him upon the
             1099      request of three or more members of the board.
             1100          (10) Each member of the board and the executive secretary shall be notified of the time
             1101      and place of each meeting.
             1102          (11) Six members of the board constitute a quorum for the transaction of business, and
             1103      the action of a majority of members present is the action of the board.
             1104          (12) (a) [Members] A member shall receive no compensation or benefits for [their] the
             1105      member's services, but may receive per diem and expenses incurred in the performance of the
             1106      member's official duties at the rates established by the Division of Finance under Sections
             1107      63A-3-106 and 63A-3-107 .
             1108          (b) [Members] A member may decline to receive per diem and expenses for [their] the
             1109      member's service.
             1110          (c) [Local] A local government [members] member who [do] does not receive salary,
             1111      per diem, or expenses from the entity that [they represent] the member represents for [their] the
             1112      member's service may receive per diem and expenses incurred in the performance of [their] the
             1113      member's official duties at the rates established by the Division of Finance under Sections
             1114      63A-3-106 and 63A-3-107 .
             1115          (d) [Local] A local government [members] member may decline to receive per diem and
             1116      expenses for [their] the member's service.
             1117          Section 19. Section 19-6-108.3 is amended to read:
             1118           19-6-108.3. Executive secretary to issue written assurances, make determinations,
             1119      and partition operation plans -- Board to make rules.
             1120          (1) Based upon risk to human health or the environment from potential exposure to
             1121      hazardous waste, the executive secretary may:


             1122          (a) even if corrective action is incomplete, issue an enforceable written assurance to a
             1123      person acquiring an interest in real property covered by an operation plan that the person to
             1124      whom the assurance is issued:
             1125          (i) is not a permittee under the operation plan; and
             1126          (ii) will not be subject to an enforcement action under this part for contamination that
             1127      exists or for violations under this part that occurred before the person acquired the interest in
             1128      the real property covered by the operation plan;
             1129          (b) determine that corrective action to the real property covered by the operation plan
             1130      is:
             1131          (i) complete;
             1132          (ii) incomplete;
             1133          (iii) unnecessary with an environmental covenant; or
             1134          (iv) unnecessary without an environmental covenant; and
             1135          (c) partition from an operation plan a portion of real property subject to the operation
             1136      plan after determining that corrective action for that portion of real property is:
             1137          (i) complete;
             1138          (ii) unnecessary with an environmental covenant; or
             1139          (iii) unnecessary without an environmental covenant.
             1140          (2) If the executive secretary determines that an environmental covenant is necessary
             1141      under Subsection (1)(b) or (c), the executive secretary shall require that the real property be
             1142      subject to an environmental covenant according to Title 57, Chapter 25, Uniform Environmental
             1143      Covenants Act.
             1144          (3) An assurance issued under Subsection (1) protects the person to whom the
             1145      assurance is issued from any cost recovery and contribution action under state law.
             1146          (4) By following the procedures and requirements of Title 63, Chapter [46b,] 46a, Utah
             1147      Administrative [Procedures] Rulemaking Act, the board may adopt rules to administer this
             1148      section.
             1149          Section 20. Section 31A-22-605.5 is amended to read:


             1150           31A-22-605.5. Application.
             1151          (1) For purposes of this section "insurance mandate":
             1152          (a) means a mandatory obligation with respect to coverage, benefits, or the number or
             1153      types of providers imposed on policies of accident and health insurance; and
             1154          (b) does not mean an administrative rule imposing a mandatory obligation with respect
             1155      to coverage, benefits, or providers unless that mandatory obligation was specifically imposed on
             1156      policies of accident and health insurance by statute.
             1157          (2) (a) Notwithstanding the provisions of Subsection 31A-1-103 (3)(f), any law imposed
             1158      under this title that becomes effective after January 1, 2002, which provides for an insurance
             1159      mandate for policies of accident and health insurance shall also apply to health coverage offered
             1160      to the state employees' risk pool under Subsection 49-20-202 (1)(a).
             1161          (b) If health coverage offered to the state employees' risk pool under Subsection
             1162      49-20-202 (1)(a) offers coverage in the same manner and to the same extent as the coverage
             1163      required by the insurance mandate imposed under this title or coverage that is greater than the
             1164      insurance mandate imposed under this title, the coverage offered to state employees under
             1165      Subsection 49-20-202 (1)(a) will be considered in compliance with the insurance mandate.
             1166          (c) The program regulated under Subsection 49-20-202 (1)(a) shall report to the
             1167      Retirement and Independent Entities Committee created under Section [ 63E-1-102 ] 63E-1-201
             1168      by November 30 of each year in which a mandate is imposed under the provisions of this
             1169      section. The report shall include the costs and benefits of the particular mandatory obligation.
             1170          Section 21. Section 31A-22-723 is amended to read:
             1171           31A-22-723. Group and blanket conversion coverage.
             1172          (1) Notwithstanding Subsection 31A-1-103 (3)(f), and except as provided in Subsection
             1173      (3), all policies of accident and health insurance offered on a group basis under this title, or Title
             1174      49, Chapter 20, Public Employees' Benefit and Insurance Program Act, shall provide that a
             1175      person whose insurance under the group policy has been terminated is entitled to choose a
             1176      converted individual policy of similar accident and health insurance.
             1177          (2) A person who has lost group coverage may elect conversion coverage with the


             1178      insurer that provided prior group coverage if the person:
             1179          (a) has been continuously covered for a period of six months by the group policy or the
             1180      group's preceding policies immediately prior to termination;
             1181          (b) has exhausted either Utah mini-COBRA coverage as required in Section
             1182      31A-22-722 or federal COBRA coverage;
             1183          (c) has not acquired or is not covered under any other group coverage that covers all
             1184      preexisting conditions, including maternity, if the coverage exists; and
             1185          (d) resides in the insurer's service area.
             1186          (3) This section does not apply if the person's prior group coverage:
             1187          (a) is a stand alone policy that only provides one of the following:
             1188          (i) catastrophic benefits;
             1189          (ii) aggregate stop loss benefits;
             1190          (iii) specific stop loss benefits;
             1191          (iv) benefits for specific diseases;
             1192          (v) accidental injuries only;
             1193          (vi) dental; or
             1194          (vii) vision;
             1195          (b) is an income replacement policy;
             1196          (c) was terminated because the insured:
             1197          (i) failed to pay any required individual contribution;
             1198          (ii) performed an act or practice that constitutes fraud in connection with the coverage;
             1199      or
             1200          (iii) made intentional misrepresentation of material fact under the terms of coverage; or
             1201          (d) was terminated pursuant to Subsection 31A-8-402.3 (2)(a), 31A-22-721 (2)(a), or
             1202      31A-30-107 (2)(a).
             1203          (4) (a) The employer shall provide written notification of the right to an individual
             1204      conversion policy within 30 days of the insured's termination of coverage to:
             1205          (i) the terminated insured;


             1206          (ii) the ex-spouse; or
             1207          (iii) in the case of the death of the insured:
             1208          (A) the surviving spouse; and
             1209          (B) the guardian of any dependents, if different from a surviving spouse.
             1210          (b) The notification required by Subsection (4)(a) shall:
             1211          (i) be sent by first class mail;
             1212          (ii) contain the name, address, and telephone number of the insurer that will provide the
             1213      conversion coverage; and
             1214          (iii) be sent to the insured's last-known address as shown on the records of the employer
             1215      of:
             1216          (A) the insured;
             1217          (B) the ex-spouse; and
             1218          (C) if the policy terminates by reason of the death of the insured to:
             1219          (I) the surviving spouse; and
             1220          (II) the guardian of any dependents, if different from a surviving spouse.
             1221          (5) (a) An insurer is not required to issue a converted policy which provides benefits in
             1222      excess of those provided under the group policy from which conversion is made.
             1223          (b) Except as provided in Subsection (5)(c), if the conversion is made from a health
             1224      benefit plan, the employee or member must be offered at least the basic benefit plan as provided
             1225      in Subsection 31A-22-613.5 (2)[(a)].
             1226          (c) If the benefit levels required under Subsection (5)(b) exceed the benefit levels
             1227      provided under the group policy, the conversion policy may offer benefits which are
             1228      substantially similar to those provided under the group policy.
             1229          (6) Written application for the converted policy shall be made and the first premium
             1230      paid to the insurer no later than 60 days after termination of the group accident and health
             1231      insurance.
             1232          (7) The converted policy shall be issued without evidence of insurability.
             1233          (8) (a) The initial premium for the converted policy for the first 12 months and


             1234      subsequent renewal premiums shall be determined in accordance with premium rates applicable
             1235      to age, class of risk of the person, and the type and amount of insurance provided.
             1236          (b) The initial premium for the first 12 months may not be raised based on pregnancy of
             1237      a covered insured.
             1238          (c) The premium for converted policies shall be payable monthly or quarterly as
             1239      required by the insurer for the policy form and plan selected, unless another mode or premium
             1240      payment is mutually agreed upon.
             1241          (9) The converted policy becomes effective at the time the insurance under the group
             1242      policy terminates.
             1243          (10) (a) A newly issued converted policy covers the employee or the member and must
             1244      also cover all dependents covered by the group policy at the date of termination of the group
             1245      coverage.
             1246          (b) The only dependents that may be added after the policy has been issued are children
             1247      and dependents as required by Section 31A-22-610 and Subsections 31A-22-610.5 (6) and (7).
             1248          (c) At the option of the insurer, a separate converted policy may be issued to cover any
             1249      dependent.
             1250          (11) (a) To the extent the group policy provided maternity benefits, the conversion
             1251      policy shall provide maternity benefits equal to the lesser of the maternity benefits of the group
             1252      policy or the conversion policy until termination of a pregnancy that exists on the date of
             1253      conversion if one of the following is pregnant on the date of the conversion:
             1254          (i) the insured;
             1255          (ii) a spouse of the insured; or
             1256          (iii) a dependent of the insured.
             1257          (b) The requirements of this Subsection (11) do not apply to a pregnancy that occurs
             1258      after the date of conversion.
             1259          (12) Except as provided in this Subsection (12), a converted policy is renewable with
             1260      respect to all individuals or dependents at the option of the insured. An insured may be
             1261      terminated from a converted policy for the following reasons:


             1262          (a) a dependent is no longer eligible under the policy;
             1263          (b) for a network plan, if the individual no longer lives, resides, or works in:
             1264          (i) the insured's service area; or
             1265          (ii) the area for which the covered carrier is authorized to do business; or
             1266          (c) the individual fails to pay premiums or contributions in accordance with the terms of
             1267      the converted policy, including any timeliness requirements;
             1268          (d) the individual performs an act or practice that constitutes fraud in connection with
             1269      the coverage;
             1270          (e) the individual makes an intentional misrepresentation of material fact under the
             1271      terms of the coverage; or
             1272          (f) coverage is terminated uniformly without regard to any health status-related factor
             1273      relating to any covered individual.
             1274          (13) Conditions pertaining to health may not be used as a basis for classification under
             1275      this section.
             1276          Section 22. Section 31A-28-114 is amended to read:
             1277           31A-28-114. Miscellaneous provisions.
             1278          (1) Nothing in this part shall be construed to reduce the liability for unpaid assessments
             1279      of the insureds of an impaired or insolvent insurer operating under a plan with assessment
             1280      liability.
             1281          (2) (a) Records shall be kept of all meetings of the board of directors to discuss the
             1282      activities of the association in carrying out [it] its powers and duties under Section 31A-28-108 .
             1283          (b) Records of the association with respect to an impaired or insolvent insurer may not
             1284      be disclosed before the earlier of:
             1285          (i) the termination of a liquidation, rehabilitation, or conservation proceeding involving
             1286      the impaired or insolvent insurer;
             1287          (ii) the termination of the impairment or insolvency of the insurer; or
             1288          (iii) upon the order of a court of competent jurisdiction.
             1289          (c) Nothing in this Subsection (2) shall limit the duty of the association to render a


             1290      report of its activities under Section 31A-28-115 .
             1291          (3) (a) For the purpose of carrying out its obligations under this part, the association
             1292      shall be considered to be a creditor of an impaired or insolvent insurer to the extent of assets
             1293      attributable to covered policies reduced by any amounts to which the association is entitled as
             1294      subrogee pursuant to Subsection 31A-28-108 (14).
             1295          (b) Assets of the impaired or insolvent insurer attributable to covered policies shall be
             1296      used to continue all covered policies and pay all contractual obligations of the impaired or
             1297      insolvent insurer as required by this part.
             1298          (c) As used in this Subsection (3), assets attributable to covered policies are that
             1299      proportion of the assets which the reserves that should have been established for covered
             1300      policies bear to the reserves that should have been established for all policies of insurance
             1301      written by the impaired or insolvent insurer.
             1302          (4) (a) As a creditor of the impaired or insolvent insurer under Subsection (3) and
             1303      consistent with Section 31A-27a-701 , the association and any other similar association are
             1304      entitled to receive a disbursement of assets out of the marshaled assets, from time to time as the
             1305      assets become available to reimburse the association and any other similar association.
             1306          (b) If, within 120 days of a final determination of insolvency of an insurer by the
             1307      receivership court, the liquidator has not made an application to the court for the approval of a
             1308      proposal to disburse assets out of marshaled assets to all guaranty associations having
             1309      obligations because of the insolvency, the association is entitled to make application to the
             1310      receivership court for approval of the association's proposal for disbursement of these assets.
             1311          (5) (a) Prior to the termination of any liquidation, rehabilitation, or conservation
             1312      proceeding, the court may take into consideration the contributions of the respective parties,
             1313      including:
             1314          (i) the association;
             1315          (ii) the shareholders;
             1316          (iii) policyowners of the insolvent insurer; and
             1317          (iv) any other party with a bona fide interest in making an equitable distribution of the


             1318      ownership rights of the insolvent insurer.
             1319          (b) In making a determination under Subsection (5)(a), the court shall consider the
             1320      welfare of the policyholders of the continuing or successor insurer.
             1321          (c) A distribution to any stockholder of an impaired or insolvent insurer may not be
             1322      made until and unless the total amount of valid claims of the association with interest has been
             1323      fully recovered by the association for funds expended in carrying out its powers and duties
             1324      under Section 31A-28-108 with respect to the insurer.
             1325          (6) (a) If an order for liquidation or rehabilitation of an insurer domiciled in this state
             1326      has been entered, the receiver appointed under the order shall have a right to recover on behalf
             1327      of the insurer, from any affiliate that controlled the insurer, the amount of distributions, other
             1328      than stock dividends paid by the insurer on its capital stock, made at any time during the five
             1329      years preceding the petition for liquidation or rehabilitation subject to the limitations of
             1330      Subsections (6)(b) through (d).
             1331          (b) A distribution described in Subsection (6)(a) may not be recovered if the insurer
             1332      shows that:
             1333          (i) when paid the distribution was lawful and reasonable; and
             1334          (ii) the insurer did not know and could not reasonably have known that the distribution
             1335      might adversely affect the ability of the insurer to fulfill its contractual obligations.
             1336          (c) (i) A person that was an affiliate that controlled the insurer at the time the
             1337      distributions were paid shall be liable up to the amount of distributions received.
             1338          (ii) A person that was an affiliate that controlled the insurer at the time the distributions
             1339      were declared shall be liable up to the amount of distributions that would have been received if
             1340      they had been paid immediately.
             1341          (iii) If two or more persons are liable with respect to the same distributions, they shall
             1342      be jointly and severally liable.
             1343          (d) The maximum amount recoverable under this Subsection (6) shall be the amount
             1344      needed in excess of all other available assets of the insolvent insurer to pay the contractual
             1345      obligations of the insolvent insurer.


             1346          (e) If any person liable under Subsection (6)(c) is insolvent, all of its affiliates that
             1347      controlled it at the time the distribution was paid shall be jointly and severally liable for any
             1348      resulting deficiency in the amount recovered from the insolvent affiliate.
             1349          Section 23. Section 31A-28-222 is amended to read:
             1350           31A-28-222. Application of amendments.
             1351          (1) The amendments in [Chapter 363,] Laws of Utah 2001, Chapter 363, shall become
             1352      effective on April 30, 2001 and apply to the association's obligations under policies of insolvent
             1353      insurers as they exist on or after April 30, 2001.
             1354          (2) Notwithstanding Subsection (1), the amendments to Subsections 31A-28-203 (3)
             1355      and 31A-28-207 (1)(a) in [Chapter 363,] Laws of Utah 2001, Chapter 363, that add coverage
             1356      for unearned premium claims shall apply only to insurers that become insolvent after April 30,
             1357      2001.
             1358          Section 24. Section 34A-2-103 is amended to read:
             1359           34A-2-103. Employers enumerated and defined -- Regularly employed --
             1360      Statutory employers.
             1361          (1) (a) The state, and each county, city, town, and school district in the state are
             1362      considered employers under this chapter and Chapter 3, Utah Occupational Disease Act.
             1363          (b) For the purposes of the exclusive remedy in this chapter and Chapter 3, Utah
             1364      Occupational Disease Act prescribed in Sections 34A-2-105 and 34A-3-102 , the state is
             1365      considered to be a single employer and includes any office, department, agency, authority,
             1366      commission, board, institution, hospital, college, university, or other instrumentality of the state.
             1367          (2) (a) Except as provided in Subsection (4), each person, including each public utility
             1368      and each independent contractor, who regularly employs one or more workers or operatives in
             1369      the same business, or in or about the same establishment, under any contract of hire, express or
             1370      implied, oral or written, is considered an employer under this chapter and Chapter 3, Utah
             1371      Occupational Disease Act.
             1372          (b) As used in this Subsection (2):
             1373          (i) "Independent contractor" means any person engaged in the performance of any work


             1374      for another who, while so engaged, is:
             1375          (A) independent of the employer in all that pertains to the execution of the work;
             1376          (B) not subject to the routine rule or control of the employer;
             1377          (C) engaged only in the performance of a definite job or piece of work; and
             1378          (D) subordinate to the employer only in effecting a result in accordance with the
             1379      employer's design.
             1380          (ii) "Regularly" includes all employments in the usual course of the trade, business,
             1381      profession, or occupation of the employer, whether continuous throughout the year or for only
             1382      a portion of the year.
             1383          (3) (a) The client company in an employee leasing arrangement under Title 58, Chapter
             1384      59, Professional Employer Organization Registration Act, is considered the employer of leased
             1385      employees and shall secure workers' compensation benefits for them by complying with
             1386      Subsection 34A-2-201 (1) or (2) and commission rules.
             1387          (b) An insurance carrier may underwrite workers' compensation secured in accordance
             1388      with Subsection (3)(a) showing the leasing company as the named insured and each client
             1389      company as an additional insured by means of individual endorsements.
             1390          (c) Endorsements shall be filed with the division as directed by commission rule.
             1391          (d) The division shall promptly inform the Division of Occupation and Professional
             1392      Licensing within the Department of Commerce if the division has reason to believe that an
             1393      employee leasing company is not in compliance with Subsection 34A-2-201 (1) or (2) and
             1394      commission rules.
             1395          (4) A domestic employer who does not employ one employee or more than one
             1396      employee at least 40 hours per week is not considered an employer under this chapter and
             1397      Chapter 3, Utah Occupational Disease Act.
             1398          (5) (a) As used in this Subsection (5):
             1399          (i) (A) "agricultural employer" means a person who employs agricultural labor as
             1400      defined in Subsections 35A-4-206 (1) and (2) and does not include employment as provided in
             1401      Subsection 35A-4-206 (3); and


             1402          (B) notwithstanding Subsection (5)(a)(i)(A), only for purposes of determining who is a
             1403      member of the employer's immediate family under Subsection (5)(a)(ii), if the agricultural
             1404      employer is a corporation, partnership, or other business entity, "agricultural employer" means
             1405      an officer, director, or partner of the business entity;
             1406          (ii) "employer's immediate family" means:
             1407          (A) an agricultural employer's:
             1408          (I) spouse;
             1409          (II) grandparent;
             1410          (III) parent;
             1411          (IV) sibling;
             1412          (V) child;
             1413          (VI) grandchild;
             1414          (VII) nephew; or
             1415          (VIII) niece;
             1416          (B) a spouse of any person provided in Subsection (5)(a)(ii)(A)(II) through (VIII); or
             1417          (C) an individual who is similar to those listed in Subsections (5)(a)(ii)(A) or (B) as
             1418      defined by rules of the commission; and
             1419          (iii) "nonimmediate family" means a person who is not a member of the employer's
             1420      immediate family.
             1421          (b) For purposes of this chapter and Chapter 3, Utah Occupational Disease Act, an
             1422      agricultural employer is not considered an employer of a member of the employer's immediate
             1423      family.
             1424          (c) For purposes of this chapter and Chapter 3, Utah Occupational Disease Act, an
             1425      agricultural employer is not considered an employer of a nonimmediate family employee if:
             1426          (i) for the previous calendar year the agricultural employer's total annual payroll for all
             1427      nonimmediate family employees was less than $8,000; or
             1428          (ii) (A) for the previous calendar year the agricultural employer's total annual payroll for
             1429      all nonimmediate family employees was equal to or greater than $8,000 but less than $50,000;


             1430      and
             1431          (B) the agricultural employer maintains insurance that covers job-related injuries of the
             1432      employer's nonimmediate family employees in at least the following amounts:
             1433          (I) $300,000 liability insurance, as defined in Section 31A-1-301 ; and
             1434          (II) $5,000 for health care benefits similar to benefits under health care insurance as
             1435      defined in Section 31A-1-301 .
             1436          (d) For purposes of this chapter and Chapter 3, Utah Occupational Disease Act, an
             1437      agricultural employer is considered an employer of a nonimmediate family employee if:
             1438          (i) for the previous calendar year the agricultural employer's total annual payroll for all
             1439      nonimmediate family employees is equal to or greater than $50,000; or
             1440          (ii) (A) for the previous year the agricultural employer's total payroll for nonimmediate
             1441      family employees was equal to or exceeds $8,000 but is less than $50,000; and
             1442          (B) the agricultural employer fails to maintain the insurance required under Subsection
             1443      (5)(c)(ii)(B).
             1444          (6) An employer of agricultural laborers or domestic servants who is not considered an
             1445      employer under this chapter and Chapter 3, Utah Occupational Disease Act, may come under
             1446      this chapter and Chapter 3, Utah Occupational Disease Act, by complying with:
             1447          (a) this chapter and Chapter 3, Utah Occupational Disease Act; and
             1448          (b) the rules of the commission.
             1449          (7) (a) If any person who is an employer procures any work to be done wholly or in
             1450      part for the employer by a contractor over whose work the employer retains supervision or
             1451      control, and this work is a part or process in the trade or business of the employer, the
             1452      contractor, all persons employed by the contractor, all subcontractors under the contractor, and
             1453      all persons employed by any of these subcontractors, are considered employees of the original
             1454      employer for the purposes of this chapter and Chapter 3, Utah Occupational Disease Act.
             1455          (b) Any person who is engaged in constructing, improving, repairing, or remodeling a
             1456      residence that the person owns or is in the process of acquiring as the person's personal
             1457      residence may not be considered an employee or employer solely by operation of Subsection


             1458      (7)(a).
             1459          (c) A partner in a partnership or an owner of a sole proprietorship is not considered an
             1460      employee under Subsection (7)(a) if the employer who procures work to be done by the
             1461      partnership or sole proprietorship obtains and relies on either:
             1462          (i) a valid certification of the partnership's or sole proprietorship's compliance with
             1463      Section 34A-2-201 indicating that the partnership or sole proprietorship secured the payment of
             1464      workers' compensation benefits pursuant to Section 34A-2-201 ; or
             1465          (ii) if a partnership or sole proprietorship with no employees other than a partner of the
             1466      partnership or owner of the sole proprietorship, a workers' compensation policy issued by an
             1467      insurer pursuant to Subsection 31A-21-104 [(8)](9) stating that:
             1468          (A) the partnership or sole proprietorship is customarily engaged in an independently
             1469      established trade, occupation, profession, or business; and
             1470          (B) the partner or owner personally waives the partner's or owner's entitlement to the
             1471      benefits of this chapter and Chapter 3, Utah Occupational Disease Act, in the operation of the
             1472      partnership or sole proprietorship.
             1473          (d) A director or officer of a corporation is not considered an employee under
             1474      Subsection (7)(a) if the director or officer is excluded from coverage under Subsection
             1475      34A-2-104 (4).
             1476          (e) A contractor or subcontractor is not an employee of the employer under Subsection
             1477      (7)(a), if the employer who procures work to be done by the contractor or subcontractor
             1478      obtains and relies on either:
             1479          (i) a valid certification of the contractor's or subcontractor's compliance with Section
             1480      34A-2-201 ; or
             1481          (ii) if a partnership, corporation, or sole proprietorship with no employees other than a
             1482      partner of the partnership, officer of the corporation, or owner of the sole proprietorship, a
             1483      workers' compensation policy issued by an insurer pursuant to Subsection 31A-21-104 [(8)](9)
             1484      stating that:
             1485          (A) the partnership, corporation, or sole proprietorship is customarily engaged in an


             1486      independently established trade, occupation, profession, or business; and
             1487          (B) the partner, corporate officer, or owner personally waives the partner's, corporate
             1488      officer's, or owner's entitlement to the benefits of this chapter and Chapter 3, Utah Occupational
             1489      Disease Act, in the operation of the partnership's, corporation's, or sole proprietorship's
             1490      enterprise under a contract of hire for services.
             1491          (f) (i) For purposes of this Subsection (7)(f), "eligible employer" means a person who:
             1492          (A) is an employer; and
             1493          (B) procures work to be done wholly or in part for the employer by a contractor,
             1494      including:
             1495          (I) all persons employed by the contractor;
             1496          (II) all subcontractors under the contractor; and
             1497          (III) all persons employed by any of these subcontractors.
             1498          (ii) Notwithstanding the other provisions in this Subsection (7), if the conditions of
             1499      Subsection (7)(f)(iii) are met, an eligible employer is considered an employer for purposes of
             1500      Section 34A-2-105 of the contractor, subcontractor, and all persons employed by the contractor
             1501      or subcontractor described in Subsection (7)(f)(i)(B).
             1502          (iii) Subsection (7)(f)(ii) applies if the eligible employer:
             1503          (A) under Subsection (7)(a) is liable for and pays workers' compensation benefits as an
             1504      original employer under Subsection (7)(a) because the contractor or subcontractor fails to
             1505      comply with Section 34A-2-201 ;
             1506          (B) (I) secures the payment of workers' compensation benefits for the contractor or
             1507      subcontractor pursuant to Section 34A-2-201 ;
             1508          (II) procures work to be done that is part or process of the trade or business of the
             1509      eligible employer; and
             1510          (III) does the following with regard to a written workplace accident and injury
             1511      reduction program that meets the requirements of Subsection 34A-2-111 (3)(d):
             1512          (Aa) adopts the workplace accident and injury reduction program;
             1513          (Bb) posts the workplace accident and injury reduction program at the work site at


             1514      which the eligible employer procures work; and
             1515          (Cc) enforces the workplace accident and injury reduction program according to the
             1516      terms of the workplace accident and injury reduction program; or
             1517          (C) (I) obtains and relies on:
             1518          (Aa) a valid certification described in Subsection (7)(c)(i) or (7)(e)(i);
             1519          (Bb) a workers' compensation policy described in Subsection (7)(c)(ii) or (7)(e)(ii); or
             1520          (Cc) proof that a director or officer is excluded from coverage under Subsection
             1521      34A-2-104 (4);
             1522          (II) is liable under Subsection (7)(a) for the payment of workers' compensation benefits
             1523      if the contractor or subcontractor fails to comply with Section 34A-2-201 ;
             1524          (III) procures work to be done that is part or process in the trade or business of the
             1525      eligible employer; and
             1526          (IV) does the following with regard to a written workplace accident and injury
             1527      reduction program that meets the requirements of Subsection 34A-2-111 (3)(d):
             1528          (Aa) adopts the workplace accident and injury reduction program;
             1529          (Bb) posts the workplace accident and injury reduction program at the work site at
             1530      which the eligible employer procures work; and
             1531          (Cc) enforces the workplace accident and injury reduction program according to the
             1532      terms of the workplace accident and injury reduction program.
             1533          Section 25. Section 41-8-1 is amended to read: