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S.B. 153

             1     

PROCUREMENT AMENDMENTS

             2     
2012 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: Wayne L. Niederhauser

             5     
House Sponsor: ____________

             6     
             7      LONG TITLE
             8      General Description:
             9          This bill recodifies and amends the Utah Procurement Code.
             10      Highlighted Provisions:
             11          This bill:
             12          .    defines terms;
             13          .    describes requirements and procedures relating to procurements and procurement
             14      processes by public entities;
             15          .    describes the applicability of the Utah Procurement Code;
             16          .    grants rulemaking authority;
             17          .    describes the duties and powers of the Division of Purchasing and General Services;
             18          .    provides for exemptions from certain provisions of the Utah Procurement Code;
             19          .    describes the duties and powers of the Utah State Procurement Policy Board and the
             20      procurement advisory councils;
             21          .    describes the duties and powers of the chief procurement officer;
             22          .    provides for exceptions to procurement process requirements;
             23          .    addresses cancellations, rejections, and debarment;
             24          .    addresses reciprocal preferences and purchase from community rehabilitation
             25      programs;
             26          .    describes the duties and powers of the Purchasing from Persons with Disabilities
             27      Advisory Board;


             28          .    describes bid security and bond requirements;
             29          .    describes requirements relating to contracts and change orders;
             30          .    describes requirements relating to construction procurement and contracts;
             31          .    describes requirements relating to architect-engineer services;
             32          .    describes procedures, requirements, and limitations relating to controversies,
             33      protests, appeals, and judicial action;
             34          .    addresses the retention of records;
             35          .    addresses interaction between public procurement units;
             36          .    establishes ethical practice provisions relating to procurements;
             37          .    amends existing, and enacts new, criminal provisions and penalties relating to
             38      procurements; and
             39          .    makes technical changes.
             40      Money Appropriated in this Bill:
             41          None
             42      Other Special Clauses:
             43          This bill takes effect on January 1, 2013.
             44      Utah Code Sections Affected:
             45      AMENDS:
             46          7-1-323, as last amended by Laws of Utah 2008, Chapter 382
             47          7-2-21, as last amended by Laws of Utah 2008, Chapter 382
             48          9-4-704, as last amended by Laws of Utah 2011, Chapter 342
             49          9-4-906, as last amended by Laws of Utah 2008, Chapter 382
             50          9-4-1602, as enacted by Laws of Utah 2011, Chapter 217
             51          10-3-1304, as last amended by Laws of Utah 2008, Chapter 382
             52          10-3-1305, as last amended by Laws of Utah 2008, Chapter 382
             53          10-7-86, as last amended by Laws of Utah 2008, Chapter 382
             54          11-17-20, as last amended by Laws of Utah 2008, Chapter 382
             55          11-39-101, as last amended by Laws of Utah 2008, Chapters 360 and 382
             56          11-39-107, as last amended by Laws of Utah 2011, Chapter 387
             57          11-44-202, as enacted by Laws of Utah 2010, Chapter 244
             58          11-44-301, as enacted by Laws of Utah 2010, Chapter 244


             59          13-2-9, as last amended by Laws of Utah 2008, Chapter 382
             60          14-1-18, as last amended by Laws of Utah 2008, Chapter 382
             61          17-16a-4, as last amended by Laws of Utah 2008, Chapter 382
             62          17-43-202, as last amended by Laws of Utah 2008, Chapter 382
             63          17-43-302, as last amended by Laws of Utah 2008, Chapter 382
             64          17-53-225, as last amended by Laws of Utah 2008, Chapter 382
             65          17-53-313, as last amended by Laws of Utah 2008, Chapter 382
             66          17B-1-108, as last amended by Laws of Utah 2008, Chapter 382
             67          17B-2a-818, as last amended by Laws of Utah 2010, Chapter 281
             68          17B-2a-818.5, as last amended by Laws of Utah 2011, Chapters 297 and 400
             69          17D-1-106, as last amended by Laws of Utah 2011, Chapters 40, 106, 205, and 209
             70          17D-2-108, as enacted by Laws of Utah 2008, Chapter 360
             71          19-1-206, as last amended by Laws of Utah 2011, Chapters 297 and 400
             72          20A-11-701, as last amended by Laws of Utah 2011, Chapter 396
             73          26-8a-405.3, as last amended by Laws of Utah 2011, Chapter 297
             74          26-8a-405.5, as last amended by Laws of Utah 2011, Chapter 297
             75          26-10-8, as enacted by Laws of Utah 2010, Chapter 413
             76          26-10b-102, as last amended by Laws of Utah 2011, Chapter 297
             77          26-18-2.6, as enacted by Laws of Utah 2011, Chapter 344
             78          26-40-110, as last amended by Laws of Utah 2011, Chapter 297
             79          30-3-11.3, as last amended by Laws of Utah 2011, Chapter 51
             80          30-3-11.4, as last amended by Laws of Utah 2011, Chapter 51
             81          30-3-38, as last amended by Laws of Utah 2008, Chapters 44 and 382
             82          31A-29-110, as last amended by Laws of Utah 2008, Chapter 382
             83          31A-29-111, as last amended by Laws of Utah 2008, Chapters 382 and 385
             84          31A-33-104, as last amended by Laws of Utah 2008, Chapter 382
             85          31A-33-107, as last amended by Laws of Utah 2008, Chapter 382
             86          34A-2-203, as last amended by Laws of Utah 2008, Chapter 382
             87          35A-5-202, as last amended by Laws of Utah 2008, Chapter 382
             88          38-1-30, as last amended by Laws of Utah 2011, Chapter 299
             89          38-1-39, as last amended by Laws of Utah 2008, Chapter 382


             90          41-12a-803, as last amended by Laws of Utah 2011, Chapter 342
             91          53-2-404, as last amended by Laws of Utah 2011, Chapter 342
             92          53A-1-706, as last amended by Laws of Utah 2008, Chapter 382
             93          53A-1a-511, as last amended by Laws of Utah 2008, Chapter 382
             94          53A-20-101, as last amended by Laws of Utah 2008, Chapter 382
             95          53A-25b-105, as enacted by Laws of Utah 2009, Chapter 294
             96          53C-1-201 (Effective 07/01/12), as last amended by Laws of Utah 2011, Chapters 247
             97      and 353
             98          54-3-29, as last amended by Laws of Utah 2011, Chapter 340
             99          54-8b-10, as last amended by Laws of Utah 2011, Chapters 329 and 342
             100          62A-1-108.5, as last amended by Laws of Utah 2011, Chapter 366
             101          62A-3-104, as last amended by Laws of Utah 2008, Chapter 382
             102          62A-3-104.1, as last amended by Laws of Utah 2008, Chapter 382
             103          62A-14-109, as last amended by Laws of Utah 2008, Chapter 382
             104          63A-5-205, as last amended by Laws of Utah 2011, Chapter 400
             105          63A-5-208, as last amended by Laws of Utah 2008, Chapter 382
             106          63A-5-302, as last amended by Laws of Utah 2010, Chapter 324
             107          63B-2-102, as last amended by Laws of Utah 2008, Chapter 382
             108          63B-3-102, as last amended by Laws of Utah 2008, Chapter 382
             109          63B-4-102, as last amended by Laws of Utah 2008, Chapter 382
             110          63B-5-102, as last amended by Laws of Utah 2008, Chapter 382
             111          63B-6-102, as last amended by Laws of Utah 2008, Chapter 382
             112          63B-6-402, as last amended by Laws of Utah 2008, Chapter 382
             113          63B-7-102, as last amended by Laws of Utah 2008, Chapter 382
             114          63B-7-402, as last amended by Laws of Utah 2008, Chapter 382
             115          63B-8-102, as last amended by Laws of Utah 2008, Chapter 382
             116          63B-8-402, as last amended by Laws of Utah 2008, Chapter 382
             117          63B-9-103, as last amended by Laws of Utah 2008, Chapter 382
             118          63B-11-202, as last amended by Laws of Utah 2008, Chapter 382
             119          63C-7-210, as last amended by Laws of Utah 2008, Chapter 382
             120          63C-9-301, as last amended by Laws of Utah 2008, Chapters 10 and 382


             121          63C-9-403, as last amended by Laws of Utah 2011, Chapter 400
             122          63E-2-109, as last amended by Laws of Utah 2008, Chapter 382
             123          63F-1-205, as last amended by Laws of Utah 2011, Chapter 376
             124          63G-7-804, as renumbered and amended by Laws of Utah 2008, Chapter 382
             125          63G-10-403, as enacted by Laws of Utah 2011, Chapter 361
             126          63H-2-504, as enacted by Laws of Utah 2009, Chapter 378
             127          63H-3-109, as renumbered and amended by Laws of Utah 2011, Chapter 370
             128          63H-4-108, as renumbered and amended by Laws of Utah 2011, Chapter 370
             129          63H-5-108, as renumbered and amended by Laws of Utah 2011, Chapter 370
             130          63H-6-103, as renumbered and amended by Laws of Utah 2011, Chapter 370
             131          63I-1-263, as last amended by Laws of Utah 2011, Chapters 199, 370, 408, and 411
             132          63M-1-2602, as enacted by Laws of Utah 2008, Chapter 352
             133          63M-1-2603, as enacted by Laws of Utah 2008, Chapter 352
             134          63M-1-2605, as enacted by Laws of Utah 2008, Chapter 352
             135          63M-1-2606, as enacted by Laws of Utah 2008, Chapter 352
             136          63M-1-2607, as enacted by Laws of Utah 2008, Chapter 352
             137          63M-1-2608, as enacted by Laws of Utah 2008, Chapter 352
             138          63M-1-2610, as enacted by Laws of Utah 2008, Chapter 352
             139          64-13a-13, as last amended by Laws of Utah 2008, Chapter 382
             140          67-16-4, as last amended by Laws of Utah 2008, Chapter 382
             141          67-16-5, as last amended by Laws of Utah 2008, Chapter 382
             142          67-16-5.3, as last amended by Laws of Utah 2008, Chapter 382
             143          67-16-6, as last amended by Laws of Utah 2008, Chapter 382
             144          72-6-107, as last amended by Laws of Utah 2010, Chapter 90
             145          72-6-107.5, as last amended by Laws of Utah 2011, Chapter 400
             146          72-6-108, as last amended by Laws of Utah 2009, Chapter 388
             147          72-6-205, as last amended by Laws of Utah 2009, Chapter 183
             148          72-7-504, as last amended by Laws of Utah 2008, Chapter 382
             149          73-10-27, as last amended by Laws of Utah 2008, Chapters 267 and 382
             150          73-23-3, as last amended by Laws of Utah 2008, Chapter 382
             151          76-10-1602, as last amended by Laws of Utah 2011, Chapter 320


             152          78A-2-112, as renumbered and amended by Laws of Utah 2008, Chapter 3
             153          79-2-404, as last amended by Laws of Utah 2011, Chapter 400
             154          79-4-203, as renumbered and amended by Laws of Utah 2009, Chapter 344
             155      ENACTS:
             156          63G-6a-104, Utah Code Annotated 1953
             157          63G-6a-110, Utah Code Annotated 1953
             158          63G-6a-201, Utah Code Annotated 1953
             159          63G-6a-301, Utah Code Annotated 1953
             160          63G-6a-401, Utah Code Annotated 1953
             161          63G-6a-402, Utah Code Annotated 1953
             162          63G-6a-403, Utah Code Annotated 1953
             163          63G-6a-404, Utah Code Annotated 1953
             164          63G-6a-405, Utah Code Annotated 1953
             165          63G-6a-406, Utah Code Annotated 1953
             166          63G-6a-408, Utah Code Annotated 1953
             167          63G-6a-501, Utah Code Annotated 1953
             168          63G-6a-502, Utah Code Annotated 1953
             169          63G-6a-503, Utah Code Annotated 1953
             170          63G-6a-504, Utah Code Annotated 1953
             171          63G-6a-601, Utah Code Annotated 1953
             172          63G-6a-602, Utah Code Annotated 1953
             173          63G-6a-603, Utah Code Annotated 1953
             174          63G-6a-604, Utah Code Annotated 1953
             175          63G-6a-605, Utah Code Annotated 1953
             176          63G-6a-606, Utah Code Annotated 1953
             177          63G-6a-607, Utah Code Annotated 1953
             178          63G-6a-608, Utah Code Annotated 1953
             179          63G-6a-609, Utah Code Annotated 1953
             180          63G-6a-610, Utah Code Annotated 1953
             181          63G-6a-611, Utah Code Annotated 1953
             182          63G-6a-612, Utah Code Annotated 1953


             183          63G-6a-701, Utah Code Annotated 1953
             184          63G-6a-702, Utah Code Annotated 1953
             185          63G-6a-703, Utah Code Annotated 1953
             186          63G-6a-704, Utah Code Annotated 1953
             187          63G-6a-705, Utah Code Annotated 1953
             188          63G-6a-706, Utah Code Annotated 1953
             189          63G-6a-707, Utah Code Annotated 1953
             190          63G-6a-708, Utah Code Annotated 1953
             191          63G-6a-709, Utah Code Annotated 1953
             192          63G-6a-710, Utah Code Annotated 1953
             193          63G-6a-801, Utah Code Annotated 1953
             194          63G-6a-803, Utah Code Annotated 1953
             195          63G-6a-901, Utah Code Annotated 1953
             196          63G-6a-1001, Utah Code Annotated 1953
             197          63G-6a-1101, Utah Code Annotated 1953
             198          63G-6a-1201, Utah Code Annotated 1953
             199          63G-6a-1204, Utah Code Annotated 1953
             200          63G-6a-1301, Utah Code Annotated 1953
             201          63G-6a-1401, Utah Code Annotated 1953
             202          63G-6a-1501, Utah Code Annotated 1953
             203          63G-6a-1601, Utah Code Annotated 1953
             204          63G-6a-1701, Utah Code Annotated 1953
             205          63G-6a-1801, Utah Code Annotated 1953
             206          63G-6a-1901, Utah Code Annotated 1953
             207          63G-6a-2001, Utah Code Annotated 1953
             208          63G-6a-2101, Utah Code Annotated 1953
             209          63G-6a-2201, Utah Code Annotated 1953
             210          63G-6a-2202, Utah Code Annotated 1953
             211          63G-6a-2301, Utah Code Annotated 1953
             212          63G-6a-2303, Utah Code Annotated 1953
             213          63G-6a-2304, Utah Code Annotated 1953


             214          63G-6a-2305, Utah Code Annotated 1953
             215          63G-6a-2306, Utah Code Annotated 1953
             216          63G-6a-2307, Utah Code Annotated 1953
             217      RENUMBERS AND AMENDS:
             218          63G-6a-101, (Renumbered from 63G-6-101, as enacted by Laws of Utah 2008, Chapter
             219      382)
             220          63G-6a-102, (Renumbered from 63G-6-102, as renumbered and amended by Laws of
             221      Utah 2008, Chapter 382)
             222          63G-6a-103, (Renumbered from 63G-6-103, as last amended by Laws of Utah 2011,
             223      Chapter 376)
             224          63G-6a-105, (Renumbered from 63G-6-104, as renumbered and amended by Laws of
             225      Utah 2008, Chapter 382)
             226          63G-6a-106, (Renumbered from 63G-6-207, as last amended by Laws of Utah 2008,
             227      Chapter 3 and renumbered and amended by Laws of Utah 2008, Chapter 382)
             228          63G-6a-109, (Renumbered from 63G-6-105, as renumbered and amended by Laws of
             229      Utah 2008, Chapter 382)
             230          63G-6a-202, (Renumbered from 63G-6-201, as last amended by Laws of Utah 2011,
             231      Chapter 376)
             232          63G-6a-203, (Renumbered from 63G-6-202, as last amended by Laws of Utah 2011,
             233      Chapter 376)
             234          63G-6a-204, (Renumbered from 63G-6-208, as last amended by Laws of Utah 2009,
             235      Chapter 132)
             236          63G-6a-205, (Renumbered from 63G-6-209, as renumbered and amended by Laws of
             237      Utah 2008, Chapter 382)
             238          63G-6a-302, (Renumbered from 63G-6-203, as renumbered and amended by Laws of
             239      Utah 2008, Chapter 382)
             240          63G-6a-303, (Renumbered from 63G-6-204, as last amended by Laws of Utah 2008,
             241      Chapter 352 and renumbered and amended by Laws of Utah 2008, Chapter 382)
             242          63G-6a-304, (Renumbered from 63G-6-205, as last amended by Laws of Utah 2008,
             243      Chapter 352 and renumbered and amended by Laws of Utah 2008, Chapter 382)
             244          63G-6a-305, (Renumbered from 63G-6-302, as last amended by Laws of Utah 2011,


             245      Chapter 376)
             246          63G-6a-407, (Renumbered from 63G-6-303, as renumbered and amended by Laws of
             247      Utah 2008, Chapter 382)
             248          63G-6a-711, (Renumbered from 63G-6-408.5, as enacted by Laws of Utah 2008,
             249      Chapter 352)
             250          63G-6a-802, (Renumbered from 63G-6-410, as renumbered and amended by Laws of
             251      Utah 2008, Chapter 382)
             252          63G-6a-804, (Renumbered from 63G-6-423, as renumbered and amended by Laws of
             253      Utah 2008, Chapter 382)
             254          63G-6a-805, (Renumbered from 63G-6-425, as renumbered and amended by Laws of
             255      Utah 2008, Chapter 382)
             256          63G-6a-902, (Renumbered from 63G-6-412, as renumbered and amended by Laws of
             257      Utah 2008, Chapter 382)
             258          63G-6a-903, (Renumbered from 63G-6-413, as renumbered and amended by Laws of
             259      Utah 2008, Chapter 382)
             260          63G-6a-904, (Renumbered from 63G-6-804, as renumbered and amended by Laws of
             261      Utah 2008, Chapter 382)
             262          63G-6a-1002, (Renumbered from 63G-6-404, as renumbered and amended by Laws of
             263      Utah 2008, Chapter 382)
             264          63G-6a-1003, (Renumbered from 63G-6-405, as renumbered and amended by Laws of
             265      Utah 2008, Chapter 382)
             266          63G-6a-1102, (Renumbered from 63G-6-504, as renumbered and amended by Laws of
             267      Utah 2008, Chapter 382)
             268          63G-6a-1103, (Renumbered from 63G-6-505, as renumbered and amended by Laws of
             269      Utah 2008, Chapter 382)
             270          63G-6a-1104, (Renumbered from 63G-6-506, as last amended by Laws of Utah 2011,
             271      Chapter 299)
             272          63G-6a-1105, (Renumbered from 63G-6-507, as renumbered and amended by Laws of
             273      Utah 2008, Chapter 382)
             274          63G-6a-1202, (Renumbered from 63G-6-601, as renumbered and amended by Laws of
             275      Utah 2008, Chapter 382)


             276          63G-6a-1203, (Renumbered from 63G-6-603, as enacted by Laws of Utah 2009,
             277      Chapter 217)
             278          63G-6a-1205, (Renumbered from 63G-6-416, as renumbered and amended by Laws of
             279      Utah 2008, Chapter 382)
             280          63G-6a-1206, (Renumbered from 63G-6-415, as renumbered and amended by Laws of
             281      Utah 2008, Chapter 382)
             282          63G-6a-1207, (Renumbered from 63G-6-602, as renumbered and amended by Laws of
             283      Utah 2008, Chapter 382)
             284          63G-6a-1302, (Renumbered from 63G-6-501, as renumbered and amended by Laws of
             285      Utah 2008, Chapter 382)
             286          63G-6a-1303, (Renumbered from 63G-6-604, as enacted by Laws of Utah 2010,
             287      Chapter 18)
             288          63G-6a-1402, (Renumbered from 63G-6-502, as last amended by Laws of Utah 2010,
             289      Chapter 358)
             290          63G-6a-1403, (Renumbered from 63G-6-503, as renumbered and amended by Laws of
             291      Utah 2008, Chapter 382)
             292          63G-6a-1502, (Renumbered from 63G-6-701, as renumbered and amended by Laws of
             293      Utah 2008, Chapter 382)
             294          63G-6a-1503, (Renumbered from 63G-6-702, as renumbered and amended by Laws of
             295      Utah 2008, Chapter 382)
             296          63G-6a-1504, (Renumbered from 63G-6-703, as renumbered and amended by Laws of
             297      Utah 2008, Chapter 382)
             298          63G-6a-1505, (Renumbered from 63G-6-704, as renumbered and amended by Laws of
             299      Utah 2008, Chapter 382)
             300          63G-6a-1506, (Renumbered from 63G-6-705, as renumbered and amended by Laws of
             301      Utah 2008, Chapter 382)
             302          63G-6a-1602, (Renumbered from 63G-6-805, as renumbered and amended by Laws of
             303      Utah 2008, Chapter 382)
             304          63G-6a-1603, (Renumbered from 63G-6-801, as last amended by Laws of Utah 2011,
             305      Chapter 361)
             306          63G-6a-1604, (Renumbered from 63G-6-806, as renumbered and amended by Laws of


             307      Utah 2008, Chapter 382)
             308          63G-6a-1605, (Renumbered from 63G-6-907, as renumbered and amended by Laws of
             309      Utah 2008, Chapter 382)
             310          63G-6a-1606, (Renumbered from 63G-6-802, as renumbered and amended by Laws of
             311      Utah 2008, Chapter 382)
             312          63G-6a-1607, (Renumbered from 63G-6-803, as renumbered and amended by Laws of
             313      Utah 2008, Chapter 382)
             314          63G-6a-1702, (Renumbered from 63G-6-807, as last amended by Laws of Utah 2010,
             315      Chapter 286)
             316          63G-6a-1703, (Renumbered from 63G-6-810, as renumbered and amended by Laws of
             317      Utah 2008, Chapter 382)
             318          63G-6a-1704, (Renumbered from 63G-6-808, as renumbered and amended by Laws of
             319      Utah 2008, Chapter 382)
             320          63G-6a-1705, (Renumbered from 63G-6-809, as renumbered and amended by Laws of
             321      Utah 2008, Chapter 382)
             322          63G-6a-1706, (Renumbered from 63G-6-811, as renumbered and amended by Laws of
             323      Utah 2008, Chapter 382)
             324          63G-6a-1707, (Renumbered from 63G-6-812, as renumbered and amended by Laws of
             325      Utah 2008, Chapter 382)
             326          63G-6a-1708, (Renumbered from 63G-6-813, as renumbered and amended by Laws of
             327      Utah 2008, Chapter 382)
             328          63G-6a-1802, (Renumbered from 63G-6-814, as renumbered and amended by Laws of
             329      Utah 2008, Chapter 382)
             330          63G-6a-1803, (Renumbered from 63G-6-815, as renumbered and amended by Laws of
             331      Utah 2008, Chapter 382)
             332          63G-6a-1804, (Renumbered from 63G-6-817, as renumbered and amended by Laws of
             333      Utah 2008, Chapter 382)
             334          63G-6a-1805, (Renumbered from 63G-6-816, as renumbered and amended by Laws of
             335      Utah 2008, Chapter 382)
             336          63G-6a-1902, (Renumbered from 63G-6-419, as renumbered and amended by Laws of
             337      Utah 2008, Chapter 382)


             338          63G-6a-1903, (Renumbered from 63G-6-818, as renumbered and amended by Laws of
             339      Utah 2008, Chapter 382)
             340          63G-6a-1904, (Renumbered from 63G-6-819, as renumbered and amended by Laws of
             341      Utah 2008, Chapter 382)
             342          63G-6a-1905, (Renumbered from 63G-6-820, as renumbered and amended by Laws of
             343      Utah 2008, Chapter 382)
             344          63G-6a-2002, (Renumbered from 63G-6-106, as renumbered and amended by Laws of
             345      Utah 2008, Chapter 382)
             346          63G-6a-2003, (Renumbered from 63G-6-421, as renumbered and amended by Laws of
             347      Utah 2008, Chapter 382)
             348          63G-6a-2004, (Renumbered from 63G-6-905, as renumbered and amended by Laws of
             349      Utah 2008, Chapter 382)
             350          63G-6a-2102, (Renumbered from 63G-6-901, as renumbered and amended by Laws of
             351      Utah 2008, Chapter 382)
             352          63G-6a-2103, (Renumbered from 63G-6-902, as renumbered and amended by Laws of
             353      Utah 2008, Chapter 382)
             354          63G-6a-2104, (Renumbered from 63G-6-904, as renumbered and amended by Laws of
             355      Utah 2008, Chapter 382)
             356          63G-6a-2105, (Renumbered from 63G-6-424, as renumbered and amended by Laws of
             357      Utah 2008, Chapter 382)
             358          63G-6a-2302, (Renumbered from 63G-6-420, as renumbered and amended by Laws of
             359      Utah 2008, Chapter 382)
             360      REPEALS:
             361          10-7-87, as last amended by Laws of Utah 2008, Chapter 382
             362          11-37-101, as last amended by Laws of Utah 2008, Chapter 382
             363          17-15-24, as last amended by Laws of Utah 2008, Chapter 382
             364          17B-1-109, as renumbered and amended by Laws of Utah 2007, Chapter 329
             365          26A-1-108.7, as last amended by Laws of Utah 2008, Chapter 382
             366          63G-6-206, as renumbered and amended by Laws of Utah 2008, Chapter 382
             367          63G-6-301, as last amended by Laws of Utah 2011, Chapter 376
             368          63G-6-401, as last amended by Laws of Utah 2009, Chapter 388


             369          63G-6-402, as renumbered and amended by Laws of Utah 2008, Chapter 382
             370          63G-6-403, as renumbered and amended by Laws of Utah 2008, Chapter 382
             371          63G-6-406, as renumbered and amended by Laws of Utah 2008, Chapter 382
             372          63G-6-407, as renumbered and amended by Laws of Utah 2008, Chapter 382
             373          63G-6-408, as renumbered and amended by Laws of Utah 2008, Chapter 382
             374          63G-6-409, as renumbered and amended by Laws of Utah 2008, Chapter 382
             375          63G-6-411, as renumbered and amended by Laws of Utah 2008, Chapter 382
             376          63G-6-414, as renumbered and amended by Laws of Utah 2008, Chapter 382
             377          63G-6-417, as renumbered and amended by Laws of Utah 2008, Chapter 382
             378          63G-6-418, as renumbered and amended by Laws of Utah 2008, Chapter 382
             379          63G-6-422, as renumbered and amended by Laws of Utah 2008, Chapter 382
             380          63G-6-426, as renumbered and amended by Laws of Utah 2008, Chapter 382
             381          63G-6-903, as renumbered and amended by Laws of Utah 2008, Chapter 382
             382          63G-6-906, as renumbered and amended by Laws of Utah 2008, Chapter 382
             383          63G-6-1001, as renumbered and amended by Laws of Utah 2008, Chapter 382
             384          63G-6-1002, as renumbered and amended by Laws of Utah 2008, Chapter 382
             385     
             386      Be it enacted by the Legislature of the state of Utah:
             387          Section 1. Section 7-1-323 is amended to read:
             388           7-1-323. Regulation of interstate operations -- Coordination of efforts.
             389          (1) The commissioner may:
             390          (a) examine, supervise, and regulate a branch operated in this state by a depository
             391      institution chartered by another state and take any action or issue any order with regard to that
             392      branch;
             393          (b) examine, supervise, and regulate a branch operated in another state by a depository
             394      institution chartered by this state and take any action or issue any order with regard to that
             395      branch; and
             396          (c) coordinate these activities with any other state or federal agency that shares
             397      jurisdiction over the institution.
             398          (2) The commissioner may coordinate the examination, supervision, and regulation of
             399      any depository institution chartered by this state with the examination, supervision, and


             400      regulation of an affiliated depository institution operating in another state.
             401          (3) The commissioner may take any reasonable and lawful action in furtherance of
             402      coordinating the regulation of interstate operations, including:
             403          (a) negotiating and entering into cooperative agreements with an agency of another
             404      state or of the federal government;
             405          (b) sharing information and reports in accordance with Section 7-1-802 with an agency
             406      that shares jurisdiction over the institution;
             407          (c) accepting as sufficient, if appropriate, examination reports and other information
             408      compiled or generated by or for an agency that shares jurisdiction over the institution;
             409          (d) contracting with an agency that shares jurisdiction over the institution to engage the
             410      services of its examiners at a reasonable rate of compensation;
             411          (e) offering the services of the department's examiners at a reasonable rate of
             412      compensation to an agency that shares jurisdiction over the institution;
             413          (f) collecting fees on behalf of, or receiving payment of fees through, an agency that
             414      shares jurisdiction over the institution; and
             415          (g) cooperating in any other way with other supervisory agencies and professional
             416      associations to promote the efficient, safe, and sound operation and regulation of interstate
             417      depository institution activities, including the formulation of interstate examination policies
             418      and procedures and the drafting of model laws, rules, and agreements.
             419          (4) A contract between the department and an agency that shares jurisdiction over a
             420      depository institution to provide examiners to aid in interstate examination and regulation is
             421      considered a sole source contract under Section [ 63G-6-410 ] 63G-6a-802 .
             422          Section 2. Section 7-2-21 is amended to read:
             423           7-2-21. Applicability of Utah Procurement Code.
             424          No action of the commissioner taken under this chapter or Chapter 19, Acquisition of
             425      Failing Depository Institutions or Holding Companies, is subject to the provisions of Title 63G,
             426      Chapter [6] 6a, Utah Procurement Code.
             427          Section 3. Section 9-4-704 is amended to read:
             428           9-4-704. Distribution of fund money.
             429          (1) The executive director shall:
             430          (a) make grants and loans from the fund for any of the activities authorized by Section


             431      9-4-705 , as directed by the board;
             432          (b) establish the criteria with the approval of the board by which loans and grants will
             433      be made; and
             434          (c) determine with the approval of the board the order in which projects will be funded.
             435          (2) The executive director shall distribute, as directed by the board, any federal money
             436      contained in the fund according to the procedures, conditions, and restrictions placed upon the
             437      use of the money by the federal government.
             438          (3) (a) The executive director shall distribute, as directed by the board, any funds
             439      received pursuant to Section 17C-1-412 to pay the costs of providing income targeted housing
             440      within the community that created the community development and renewal agency under Title
             441      17C, Limited Purpose Local Government Entities - Community Development and Renewal
             442      Agencies Act.
             443          (b) As used in Subsection (3)(a):
             444          (i) "Community" has the meaning as defined in Section 17C-1-102 .
             445          (ii) "Income targeted housing" has the meaning as defined in Section 17C-1-102 .
             446          (4) Except federal money and money received under Section 17C-1-412 , the executive
             447      director shall distribute, as directed by the board, all other money from the fund according to
             448      the following requirements:
             449          (a) Not less than 30% of all fund money shall be distributed to rural areas of the state.
             450          (b) At least 50% of the money in the fund shall be distributed as loans to be repaid to
             451      the fund by the entity receiving them.
             452          (i) (A) Of the fund money distributed as loans, at least 50% shall be distributed to
             453      benefit persons whose annual income is at or below 50% of the median family income for the
             454      state.
             455          (B) The remaining loan money shall be distributed to benefit persons whose annual
             456      income is at or below 80% of the median family income for the state.
             457          (ii) The executive director or the executive director's designee shall lend money in
             458      accordance with this Subsection (4) at a rate based upon the borrower's ability to pay.
             459          (c) Any fund money not distributed as loans shall be distributed as grants.
             460          (i) At least 90% of the fund money distributed as grants shall be distributed to benefit
             461      persons whose annual income is at or below 50% of the median family income for the state.


             462          (ii) The remaining fund money distributed as grants may be used by the executive
             463      director to obtain federal matching funds or for other uses consistent with the intent of this part,
             464      including the payment of reasonable loan servicing costs, but no more than 3% of the revenues
             465      of the fund may be used to offset other department or board administrative expenses.
             466          (5) The executive director may with the approval of the board:
             467          (a) enact rules to establish procedures for the grant and loan process by following the
             468      procedures and requirements of Title 63G, Chapter 3, Utah Administrative Rulemaking Act;
             469      and
             470          (b) service or contract, pursuant to Title 63G, Chapter [6] 6a, Utah Procurement Code,
             471      for the servicing of loans made by the fund.
             472          Section 4. Section 9-4-906 is amended to read:
             473           9-4-906. Relation to certain acts.
             474          (1) The corporation is exempt from:
             475          (a) Title 51, Chapter 5, Funds Consolidation Act;
             476          (b) Title 51, Chapter 7, State Money Management Act;
             477          (c) Title 63A, Utah Administrative Services Code; [and]
             478          (d) Title 63G, Chapter [6] 6a, Utah Procurement Code;
             479          (e) Title 63J, Chapter 1, Budgetary Procedures Act;
             480          (f) Title 63J, Chapter 2, Revenue Procedures and Control Act; and
             481          (g) Title 67, Chapter 19, Utah State Personnel Management Act.
             482          (2) The corporation shall comply with:
             483          (a) Title 52, Chapter 4, Open and Public Meetings Act; and
             484          (b) Title 63G, Chapter 2, Government Records Access and Management Act.
             485          Section 5. Section 9-4-1602 is amended to read:
             486           9-4-1602. Distribution of fund money.
             487          (1) (a) The director shall make loans and loan guarantees from the fund for the Small
             488      Business Credit Initiative created under the federal government's Small Business Jobs Act of
             489      2010, to use federal money for programs that leverage private lending to help finance small
             490      businesses and manufacturers that are creditworthy but not receiving the loans needed to
             491      expand and create jobs.
             492          (b) In making loans and loan guarantees under this part, the director shall give due


             493      consideration to small businesses in underserved communities throughout the state that have
             494      been deeply impacted by recession and not seen a comparable resurgence in their economies.
             495          (2) The director shall distribute any federal money in the fund according to the
             496      procedures, conditions, and restrictions placed upon the use of the money by the federal
             497      government.
             498          (3) The director may, with the approval of the executive director of the department:
             499          (a) enact rules to establish procedures for the loan and loan guarantee process by
             500      following the procedures and requirements of Title 63G, Chapter 3, Utah Administrative
             501      Rulemaking Act; and
             502          (b) service or contract, under Title 63G, Chapter [6] 6a, Utah Procurement Code, for
             503      the servicing of loans made by the fund.
             504          Section 6. Section 10-3-1304 is amended to read:
             505           10-3-1304. Use of office for personal benefit prohibited.
             506          (1) As used in this section, "economic benefit tantamount to a gift" includes:
             507          (a) a loan at an interest rate that is substantially lower than the commercial rate then
             508      currently prevalent for similar loans; and
             509          (b) compensation received for private services rendered at a rate substantially
             510      exceeding the fair market value of the services.
             511          (2) It is an offense for an elected or appointed officer or municipal employee, under
             512      circumstances not amounting to a violation of Section [ 63G-6-1001 ] 63G-6a-2304 or 76-8-105 ,
             513      to:
             514          (a) disclose or improperly use private, controlled, or protected information acquired by
             515      reason of the officer's or employee's official position or in the course of official duties in order
             516      to further substantially the officer's or employee's personal economic interest or to secure
             517      special privileges or exemptions for the officer or employee or for others;
             518          (b) use or attempt to use the officer's or employee's official position to:
             519          (i) further substantially the officer's or employee's personal economic interest; or
             520          (ii) secure special privileges for the officer or employee or for others; or
             521          (c) knowingly receive, accept, take, seek, or solicit, directly or indirectly, for the officer
             522      or employee or for another, a gift of substantial value or a substantial economic benefit
             523      tantamount to a gift that:


             524          (i) would tend improperly to influence a reasonable person in the person's position to
             525      depart from the faithful and impartial discharge of the person's public duties; or
             526          (ii) the person knows or that a reasonable person in that position should know under
             527      the circumstances is primarily for the purpose of rewarding the person for official action taken.
             528          (3) Subsection (2)(c) does not apply to:
             529          (a) an occasional nonpecuniary gift having a value of less than $50;
             530          (b) an award publicly presented in recognition of public services;
             531          (c) any bona fide loan made in the ordinary course of business; or
             532          (d) a political campaign contribution.
             533          Section 7. Section 10-3-1305 is amended to read:
             534           10-3-1305. Compensation for assistance in transaction involving municipality --
             535      Public disclosure and filing required.
             536          (1) As used in this section, "municipal body" means any public board, commission,
             537      committee, or other public group organized to make public policy decisions or to advise
             538      persons who make public policy decisions.
             539          (2) It is an offense for an elected officer, or appointed officer, who is a member of a
             540      public body, under circumstances not amounting to a violation of Section [ 63G-6-1001 ]
             541      63G-6a-2304 or 76-8-105 , to receive or agree to receive compensation for assisting any person
             542      or business entity in any transaction involving the municipality in which the member is an
             543      officer unless the member:
             544          (a) files with the mayor a sworn statement giving the information required by this
             545      section; and
             546          (b) discloses the information required by Subsection (5) in an open meeting to the
             547      members of the body of which the officer is a member immediately before the discussion.
             548          (3) It is an offense for an appointed officer who is not a member of a public body or a
             549      municipal employee to receive or agree to receive compensation for assisting any person or
             550      business entity in any transaction involving the municipality by which the person is employed
             551      unless the officer or employee:
             552          (a) files with the mayor a sworn statement giving the information required by this
             553      section; and
             554          (b) discloses the information required by Subsection (5) to:


             555          (i) the officer or employee's immediate supervisor; and
             556          (ii) any other municipal officer or employee who may rely upon the employee's
             557      representations in evaluating or approving the transaction.
             558          (4) (a) The officer or employee shall file the statement required to be filed by this
             559      section 10 days before the date of any agreement between the elected or appointed officer or
             560      municipal employee and the person or business entity being assisted or 10 days before the
             561      receipt of compensation by the officer or employee, whichever is earlier.
             562          (b) The statement is public information and shall be available for examination by the
             563      public.
             564          (5) The statement and disclosure shall contain:
             565          (a) the name and address of the officer or municipal employee;
             566          (b) the name and address of the person or business entity being or to be assisted or in
             567      which the appointed or elected official or municipal employee has a substantial interest; and
             568          (c) a brief description of the transaction as to which service is rendered or is to be
             569      rendered and of the nature of the service performed or to be performed.
             570          Section 8. Section 10-7-86 is amended to read:
             571           10-7-86. Municipality may adopt Utah Procurement Code -- Hiring of
             572      professional architect, engineer, or surveyor.
             573          (1) The governing body of any municipality may adopt any or all of the provisions of
             574      Title 63G, Chapter [6] 6a, Utah Procurement Code, or the rules promulgated pursuant to that
             575      code.
             576          (2) Notwithstanding Subsection (1), the governing body of each municipality that
             577      engages the services of a professional architect, engineer, or surveyor and considers more than
             578      one such professional for the engagement:
             579          (a) shall consider, as a minimum, in the selection process:
             580          (i) the qualifications, experience, and background of each firm submitting a proposal;
             581          (ii) the specific individuals assigned to the project and the time commitments of each
             582      to the project; and
             583          (iii) the project schedule and the approach to the project that the firm will take; and
             584          (b) may engage the services of a professional architect, engineer, or surveyor based on
             585      the criteria under Subsection (2)(a) rather than solely on lowest cost.


             586          Section 9. Section 11-17-20 is amended to read:
             587           11-17-20. Power of the State Charter School Finance Authority.
             588          (1) The State Charter School Finance Authority may exercise the powers granted to
             589      municipalities and counties by this chapter, subject to the same limitations as that imposed on a
             590      municipality or county under the chapter, except as provided by Title 53A, Chapter 20b, State
             591      Charter School Finance Authority Act.
             592          (2) As used in this chapter, "governing body" when applied to the State Charter School
             593      Finance Authority means the authority's governing board as described in Section 53A-20b-103 .
             594          (3) Notwithstanding Section 11-17-15 , a charter school that receives financing under
             595      this chapter is subject to Title 63G, Chapter [6] 6a, Utah Procurement Code.
             596          Section 10. Section 11-39-101 is amended to read:
             597           11-39-101. Definitions.
             598          As used in this chapter:
             599          (1) "Bid limit" means:
             600          (a) for a building improvement:
             601          (i) for the year 2003, $40,000; and
             602          (ii) for each year after 2003, the amount of the bid limit for the previous year, plus an
             603      amount calculated by multiplying the amount of the bid limit for the previous year by the lesser
             604      of 3% or the actual percent change in the Consumer Price Index during the previous calendar
             605      year; and
             606          (b) for a public works project:
             607          (i) for the year 2003, $125,000; and
             608          (ii) for each year after 2003, the amount of the bid limit for the previous year, plus an
             609      amount calculated by multiplying the amount of the bid limit for the previous year by the lesser
             610      of 3% or the actual percent change in the Consumer Price Index during the previous calendar
             611      year.
             612          (2) "Building improvement":
             613          (a) means the construction or repair of a public building or structure; and
             614          (b) does not include construction or repair at an international airport.
             615          (3) "Consumer Price Index" means the Consumer Price Index for All Urban
             616      Consumers as published by the Bureau of Labor Statistics of the United States Department of


             617      Labor.
             618          (4) "Design-build project":
             619          (a) means a building improvement or public works project costing over $250,000 with
             620      respect to which both the design and construction are provided for in a single contract with a
             621      contractor or combination of contractors capable of providing design-build services; and
             622          (b) does not include a building improvement or public works project:
             623          (i) that is undertaken by a local entity under contract with a construction manager that
             624      guarantees the contract price and is at risk for any amount over the contract price; and
             625          (ii) each component of which is competitively bid.
             626          (5) "Design-build services" means the engineering, architectural, and other services
             627      necessary to formulate and implement a design-build project, including its actual construction.
             628          (6) "Emergency repairs" means a building improvement or public works project
             629      undertaken on an expedited basis to:
             630          (a) eliminate an imminent risk of damage to or loss of public or private property;
             631          (b) remedy a condition that poses an immediate physical danger; or
             632          (c) reduce a substantial, imminent risk of interruption of an essential public service.
             633          (7) "Governing body" means:
             634          (a) for a county, city, or town, the legislative body of the county, city, or town;
             635          (b) for a local district, the board of trustees of the local district; and
             636          (c) for a special service district:
             637          (i) the legislative body of the county, city, or town that established the special service
             638      district, if no administrative control board has been appointed under Section 17D-1-301 ; or
             639          (ii) the administrative control board of the special service district, if an administrative
             640      control board has been appointed under Section 17D-1-301 .
             641          (8) "Local district" has the same meaning as defined in Section 17B-1-102 .
             642          (9) "Local entity" means a county, city, town, local district, or special service district.
             643          (10) "Lowest responsive responsible bidder" means a prime contractor who:
             644          (a) has submitted a bid in compliance with the invitation to bid and within the
             645      requirements of the plans and specifications for the building improvement or public works
             646      project;
             647          (b) is the lowest bidder that satisfies the local entity's criteria relating to financial


             648      strength, past performance, integrity, reliability, and other factors that the local entity uses to
             649      assess the ability of a bidder to perform fully and in good faith the contract requirements;
             650          (c) has furnished a bid bond or equivalent in money as a condition to the award of a
             651      prime contract; and
             652          (d) furnishes a payment and performance bond as required by law.
             653          (11) "Procurement code" means the provisions of Title 63G, Chapter [6] 6a, Utah
             654      Procurement Code.
             655          (12) "Public works project":
             656          (a) means the construction of:
             657          (i) a park or recreational facility; or
             658          (ii) a pipeline, culvert, dam, canal, or other system for water, sewage, storm water, or
             659      flood control; and
             660          (b) does not include:
             661          (i) the replacement or repair of existing infrastructure on private property;
             662          (ii) construction commenced before June 1, 2003; and
             663          (iii) construction or repair at an international airport.
             664          (13) "Special service district" has the same meaning as defined in Section 17D-1-102 .
             665          Section 11. Section 11-39-107 is amended to read:
             666           11-39-107. Procurement code.
             667          (1) This chapter may not be construed to:
             668          (a) prohibit a county or municipal legislative body from adopting the procedures of the
             669      procurement code; or
             670          (b) limit the application of the procurement code to a local district or special service
             671      district.
             672          (2) A local entity may adopt procedures for the following construction contracting
             673      methods:
             674          (a) construction manager/general contractor, as defined in Section [ 63G-6-103 ]
             675      63G-6a-103 ; or
             676          (b) a method that requires that the local entity draft a plan, specifications, and an
             677      estimate for the building improvement or public works project.
             678          (3) For a public works project only and that costs $10,000,000 or more, the following


             679      may enter into a contract for design-build, as defined in Section [ 63G-6-103 ] 63G-6a-103 , and
             680      adopt the procedures and follow the provisions of the procurement code for the procurement of
             681      and as the procedures and provisions relate to a design-build:
             682          (a) a city of the first class;
             683          (b) a local district; or
             684          (c) a special service district.
             685          (4) (a) In seeking bids and awarding a contract for a building improvement or public
             686      works project, a county or a municipal legislative body may elect to follow the provisions of
             687      the procurement code, as the county or municipal legislative body considers appropriate under
             688      the circumstances, for specification preparation, source selection, or contract formation.
             689          (b) A county or municipal legislative body's election to adopt the procedures of the
             690      procurement code may not excuse the county or municipality, respectively, from complying
             691      with the requirements to award a contract for work in excess of the bid limit and to publish
             692      notice of the intent to award.
             693          (c) An election under Subsection (4)(a) may be made on a case-by-case basis, unless
             694      the county or municipality has previously adopted [the procurement code as permitted by
             695      Subsection 63G-6-104 (3)(e)] the provisions of Title 63G, Chapter 6a, Utah Procurement Code.
             696          (d) The county or municipal legislative body shall:
             697          (i) make each election under Subsection (4)(a) in an open meeting; and
             698          (ii) specify in its action the portions of the procurement code to be followed.
             699          (5) If the estimated cost of the building improvement or public works project proposed
             700      by a local district or special service district exceeds the bid limit, the governing body of the
             701      local district or special service district may, if it determines to proceed with the building
             702      improvement or public works project, use the competitive procurement procedures of the
             703      procurement code in place of the comparable provisions of this chapter.
             704          Section 12. Section 11-44-202 is amended to read:
             705           11-44-202. Types of agreements.
             706          Notwithstanding Section [ 63G-6-416 ] 63G-6a-1205 , a political subdivision shall
             707      structure an energy service agreement as a guaranteed energy savings performance contract,
             708      which shall include:
             709          (1) the design and installation of an energy efficiency measure, if applicable;


             710          (2) operation and maintenance of any energy efficiency measure implemented; and
             711          (3) guaranteed annual cost savings that meet or exceed the total annual contract
             712      payments by the political subdivision under the contract, including financing charges incurred
             713      by the political subdivision over the life of the contract.
             714          Section 13. Section 11-44-301 is amended to read:
             715           11-44-301. Selection.
             716          (1) A political subdivision shall follow the procedures outlined in Title 63G, Chapter
             717      [6] 6a, Utah Procurement Code, when selecting a qualified energy service provider.
             718          (2) The Division of Purchasing shall maintain a list of qualified energy service
             719      providers.
             720          (3) The qualified energy service provider selected from the bid process shall prepare an
             721      investment grade energy audit, which shall become part of the final contract between the
             722      political subdivision and the qualified energy service provider.
             723          (4) The audit shall include:
             724          (a) a detailed description of the energy efficiency measure;
             725          (b) an estimated cost; and
             726          (c) a projected cost savings.
             727          Section 14. Section 13-2-9 is amended to read:
             728           13-2-9. Internet -- Consumer education.
             729          (1) The Division of Consumer Protection shall, subject to appropriation, contract with
             730      a person to make public service announcements advising consumers about the dangers of using
             731      the Internet, especially:
             732          (a) material harmful to minors;
             733          (b) steps a consumer may take to learn more about the dangers of using the Internet;
             734          (c) information about how a service provider can help a consumer learn more about the
             735      dangers of using the Internet, including the service provider's duties created by this bill; and
             736          (d) how a consumer can monitor the Internet usage of family members.
             737          (2) Money appropriated under Subsection (1) shall be paid by the Division of
             738      Consumer Protection to a person only if:
             739          (a) the person is a nonprofit organization; and
             740          (b) the person agrees to spend private money amounting to two times the amount of


             741      money provided by the Division of Consumer Protection during each fiscal year in accordance
             742      with Subsection (1).
             743          (3) In administering any money appropriated for use under this section, the Division of
             744      Consumer Protection shall comply with Title 63G, Chapter [6] 6a, Utah Procurement Code.
             745          Section 15. Section 14-1-18 is amended to read:
             746           14-1-18. Definitions -- Application of Procurement Code to payment and
             747      performance bonds.
             748          (1) (a) For purposes of this chapter, "political subdivision" means any county, city,
             749      town, school district, local district, special service district, community development and
             750      renewal agency, public corporation, institution of higher education of the state, public agency
             751      of any political subdivision, and, to the extent provided by law, any other entity which expends
             752      public funds for construction.
             753          (b) For purposes of applying Section [ 63G-6-505 ] 63G-6a-1103 to a political
             754      subdivision, "state" includes "political subdivision."
             755          (2) [Section 63G-6-505 ] Notwithstanding any provision of Title 63G, Chapter 6a, Utah
             756      Procurement Code, to the contrary, Section 63G-6a-1103 applies to all contracts for the
             757      construction, alteration, or repair of any public building or public work of the state or a
             758      political subdivision of the state.
             759          Section 16. Section 17-16a-4 is amended to read:
             760           17-16a-4. Prohibited use of official position -- Exception.
             761          (1) Except as provided in Subsection (3), it is an offense for an elected or appointed
             762      officer, under circumstances not amounting to a violation of Section [ 63G-6-1001 ]
             763      63G-6a-2304 or 76-8-105 , to:
             764          (a) disclose confidential information acquired by reason of the officer's official position
             765      or use that information to secure special privileges or exemptions for himself or others;
             766          (b) use or attempt to use the officer's official position to secure special privileges for
             767      the officer or for others; or
             768          (c) knowingly receive, accept, take, seek or solicit, directly or indirectly, any gift or
             769      loan for the officer or for another, if the gift or loan tends to influence the officer in the
             770      discharge of the officer's official duties.
             771          (2) This section is inapplicable to:


             772          (a) an occasional nonpecuniary gift having a value of less than $50;
             773          (b) an award publicly presented;
             774          (c) any bona fide loan made in the ordinary course of business; or
             775          (d) political campaign contributions actually used in a political campaign.
             776          (3) A member of a county legislative body who is also a member of the governing
             777      board of a provider of mental health or substance abuse services under contract with the county
             778      does not commit an offense under Subsection (1)(a) or (b) by discharging, in good faith, the
             779      duties and responsibilities of each position, if the county legislative body member does not
             780      participate in the process of selecting the mental health or substance abuse service provider.
             781          Section 17. Section 17-43-202 is amended to read:
             782           17-43-202. Local substance abuse authorities -- Requirements prior to
             783      distributing public funds.
             784          (1) Each local substance abuse authority shall award all public funds in compliance
             785      with:
             786          (a) the requirements of Title 63G, Chapter [6] 6a, Utah Procurement Code; or
             787          (b) a county procurement ordinance that requires similar procurement practices.
             788          (2) If all initial bids on the project are rejected, the authority shall publish a new
             789      invitation to bid. If no satisfactory bid is received by the authority when the bids received from
             790      the second invitation are opened, the authority may execute a contract without requiring
             791      competitive bidding.
             792          (3) A local substance abuse authority need not comply with the procurement provisions
             793      of this section when it disburses public funds to another political subdivision of the state or an
             794      institution of higher education of the state.
             795          (4) Each contract awarded by a local substance abuse authority shall be for a fixed
             796      amount and limited period. A contract may be modified due to changes in available funding
             797      for the same contract purpose without competition.
             798          Section 18. Section 17-43-302 is amended to read:
             799           17-43-302. Local mental health authorities -- Requirements prior to distributing
             800      public funds.
             801          (1) Each local mental health authority shall award all public funds by complying with
             802      the requirements of Title 63G, Chapter [6] 6a, Utah Procurement Code, or by complying with a


             803      county procurement ordinance which requires similar procurement practices.
             804          (2) If all initial bids on the project are rejected, the authority shall publish a new
             805      invitation to bid in the manner specified in this section. If no satisfactory bid is received by the
             806      authority when the bids received from the second invitation are opened, the authority may
             807      execute a contract without requiring competitive bidding.
             808          (3) The local mental health authority need not comply with the procurement provisions
             809      of this section when it disburses public funds to another political subdivision of the state or an
             810      institution of higher education of the state.
             811          (4) Each contract awarded by a local mental health authority shall be for a fixed
             812      amount and limited period. A contract may be modified due to changes in available funding
             813      for the same contract purpose without competition.
             814          Section 19. Section 17-53-225 is amended to read:
             815           17-53-225. County legislative body may adopt Utah Procurement Code --
             816      Retention of records.
             817          (1) A county legislative body may adopt any or all of the provisions of Title 63G,
             818      Chapter [6] 6a, Utah Procurement Code, or the rules promulgated pursuant to that code.
             819          (2) Whenever any county is required by law to receive bids for purchases, construction,
             820      repairs, or any other purpose requiring the expenditure of funds, that county shall keep on file
             821      all bids received, together with proof of advertisement by publication or otherwise, for:
             822          (a) at least three years following the letting of any contract pursuant to those bids; or
             823          (b) three years following the first advertisement for the bids, if all bids pursuant to that
             824      advertisement are rejected.
             825          Section 20. Section 17-53-313 is amended to read:
             826           17-53-313. Hiring of professional architect, engineer, or surveyor.
             827          Notwithstanding the adoption of some or all of the provisions of Title 63G, Chapter [6]
             828      6a, Utah Procurement Code, under Section 17-53-225 , each county executive that engages the
             829      services of a professional architect, engineer, or surveyor and considers more than one such
             830      professional for the engagement:
             831          (1) shall consider, as a minimum, in the selection process:
             832          (a) the qualifications, experience, and background of each firm submitting a proposal;
             833          (b) the specific individuals assigned to the project and the time commitments of each to


             834      the project; and
             835          (c) the project schedule and the approach to the project that the firm will take; and
             836          (2) may engage the services of a professional architect, engineer, or surveyor based on
             837      the criteria under Subsection (1) rather than solely on lowest cost.
             838          Section 21. Section 17B-1-108 is amended to read:
             839           17B-1-108. Restrictions on local district procurement of architect-engineer
             840      services.
             841          (1) As used in this section:
             842          (a) "Architect-engineer services" means those professional services within the scope of
             843      the practice of architecture as defined in Section 58-3a-102 .
             844          (b) "Engineer services" means those professional services within the scope of the
             845      practice of professional engineering as defined in Section 58-22-102 .
             846          (2) When a local district elects to obtain architect services or engineering services by
             847      using a competitive procurement process and has provided public notice of its competitive
             848      procurement process:
             849          (a) a higher education entity, or any part of one, may not submit a proposal in response
             850      to the local district's competitive procurement process; and
             851          (b) the local district may not award a contract to perform the architect services or
             852      engineering services solicited in the competitive procurement process to a higher education
             853      entity or any part of one.
             854          (3) Notwithstanding Subsection [ 63G-6-104 (3)(d)] 63G-6a-105 (3), each local district
             855      board that engages the services of a professional architect, engineer, or surveyor and considers
             856      more than one such professional for the engagement:
             857          (a) shall consider, as a minimum, in the selection process:
             858          (i) the qualifications, experience, and background of each firm submitting a proposal;
             859          (ii) the specific individuals assigned to the project and the time commitments of each
             860      to the project; and
             861          (iii) the project schedule and the approach to the project that the firm will take; and
             862          (b) may engage the services of a professional architect, engineer, or surveyor based on
             863      the criteria under Subsection (3)(a) rather than solely on lowest cost.
             864          Section 22. Section 17B-2a-818 is amended to read:


             865           17B-2a-818. Requirements applicable to public transit district contracts.
             866          (1) A public transit district shall comply with the applicable provisions of Title 63G,
             867      Chapter [6] 6a, Utah Procurement Code.
             868          (2) If construction of a district facility or work exceeds $750,000, the construction shall
             869      be let as provided in:
             870          (a) Title 63G, Chapter [6] 6a, Utah Procurement Code; and
             871          (b) Section 17B-2a-818.5 .
             872          Section 23. Section 17B-2a-818.5 is amended to read:
             873           17B-2a-818.5. Contracting powers of public transit districts -- Health insurance
             874      coverage.
             875          (1) For purposes of this section:
             876          (a) "Employee" means an "employee," "worker," or "operative" as defined in Section
             877      34A-2-104 who:
             878          (i) works at least 30 hours per calendar week; and
             879          (ii) meets employer eligibility waiting requirements for health care insurance which
             880      may not exceed the first day of the calendar month following 90 days from the date of hire.
             881          (b) "Health benefit plan" has the same meaning as provided in Section 31A-1-301 .
             882          (c) "Qualified health insurance coverage" is as defined in Section 26-40-115 .
             883          (d) "Subcontractor" has the same meaning provided for in Section 63A-5-208 .
             884          (2) (a) Except as provided in Subsection (3), this section applies to a design or
             885      construction contract entered into by the public transit district on or after July 1, 2009, and to a
             886      prime contractor or to a subcontractor in accordance with Subsection (2)(b).
             887          (b) (i) A prime contractor is subject to this section if the prime contract is in the
             888      amount of $1,500,000 or greater.
             889          (ii) A subcontractor is subject to this section if a subcontract is in the amount of
             890      $750,000 or greater.
             891          (3) This section does not apply if:
             892          (a) the application of this section jeopardizes the receipt of federal funds;
             893          (b) the contract is a sole source contract; or
             894          (c) the contract is an emergency procurement.
             895          (4) (a) This section does not apply to a change order as defined in Section [ 63G-6-103 ]


             896      63G-6a-103 , or a modification to a contract, when the contract does not meet the initial
             897      threshold required by Subsection (2).
             898          (b) A person who intentionally uses change orders or contract modifications to
             899      circumvent the requirements of Subsection (2) is guilty of an infraction.
             900          (5) (a) A contractor subject to Subsection (2) shall demonstrate to the public transit
             901      district that the contractor has and will maintain an offer of qualified health insurance coverage
             902      for the contractor's employees and the employee's dependents during the duration of the
             903      contract.
             904          (b) If a subcontractor of the contractor is subject to Subsection (2)(b), the contractor
             905      shall demonstrate to the public transit district that the subcontractor has and will maintain an
             906      offer of qualified health insurance coverage for the subcontractor's employees and the
             907      employee's dependents during the duration of the contract.
             908          (c) (i) (A) A contractor who fails to meet the requirements of Subsection (5)(a) during
             909      the duration of the contract is subject to penalties in accordance with an ordinance adopted by
             910      the public transit district under Subsection (6).
             911          (B) A contractor is not subject to penalties for the failure of a subcontractor to meet the
             912      requirements of Subsection (5)(b).
             913          (ii) (A) A subcontractor who fails to meet the requirements of Subsection (5)(b) during
             914      the duration of the contract is subject to penalties in accordance with an ordinance adopted by
             915      the public transit district under Subsection (6).
             916          (B) A subcontractor is not subject to penalties for the failure of a contractor to meet the
             917      requirements of Subsection (5)(a).
             918          (6) The public transit district shall adopt ordinances:
             919          (a) in coordination with:
             920          (i) the Department of Environmental Quality in accordance with Section 19-1-206 ;
             921          (ii) the Department of Natural Resources in accordance with Section 79-2-404 ;
             922          (iii) the State Building Board in accordance with Section 63A-5-205 ;
             923          (iv) the State Capitol Preservation Board in accordance with Section 63C-9-403 ; and
             924          (v) the Department of Transportation in accordance with Section 72-6-107.5 ; and
             925          (b) which establish:
             926          (i) the requirements and procedures a contractor shall follow to demonstrate to the


             927      public transit district compliance with this section which shall include:
             928          (A) that a contractor will not have to demonstrate compliance with Subsection (5)(a) or
             929      (b) more than twice in any 12-month period; and
             930          (B) that the actuarially equivalent determination required for the qualified health
             931      insurance coverage in Subsection (1) is met by the contractor if the contractor provides the
             932      department or division with a written statement of actuarial equivalency from either:
             933          (I) the Utah Insurance Department;
             934          (II) an actuary selected by the contractor or the contractor's insurer; or
             935          (III) an underwriter who is responsible for developing the employer group's premium
             936      rates;
             937          (ii) the penalties that may be imposed if a contractor or subcontractor intentionally
             938      violates the provisions of this section, which may include:
             939          (A) a three-month suspension of the contractor or subcontractor from entering into
             940      future contracts with the public transit district upon the first violation;
             941          (B) a six-month suspension of the contractor or subcontractor from entering into future
             942      contracts with the public transit district upon the second violation;
             943          (C) an action for debarment of the contractor or subcontractor in accordance with
             944      Section [ 63G-6-804 ] 63G-6a-904 upon the third or subsequent violation; and
             945          (D) monetary penalties which may not exceed 50% of the amount necessary to
             946      purchase qualified health insurance coverage for employees and dependents of employees of
             947      the contractor or subcontractor who were not offered qualified health insurance coverage
             948      during the duration of the contract; and
             949          (iii) a website on which the district shall post the benchmark for the qualified health
             950      insurance coverage identified in Subsection (1)(c).
             951          (7) (a) (i) In addition to the penalties imposed under Subsection (6)(b)(ii), a contractor
             952      or subcontractor who intentionally violates the provisions of this section shall be liable to the
             953      employee for health care costs that would have been covered by qualified health insurance
             954      coverage.
             955          (ii) An employer has an affirmative defense to a cause of action under Subsection
             956      (7)(a)(i) if:
             957          (A) the employer relied in good faith on a written statement of actuarial equivalency


             958      provided by an:
             959          (I) actuary; or
             960          (II) underwriter who is responsible for developing the employer group's premium rates;
             961      or
             962          (B) a department or division determines that compliance with this section is not
             963      required under the provisions of Subsection (3) or (4).
             964          (b) An employee has a private right of action only against the employee's employer to
             965      enforce the provisions of this Subsection (7).
             966          (8) Any penalties imposed and collected under this section shall be deposited into the
             967      Medicaid Restricted Account created in Section 26-18-402 .
             968          (9) The failure of a contractor or subcontractor to provide qualified health insurance
             969      coverage as required by this section:
             970          (a) may not be the basis for a protest or other action from a prospective bidder, offeror,
             971      or contractor under Section [ 63G-6-801 ] 63G-6a-1603 or any other provision in Title 63G,
             972      Chapter [6, Part 8, Legal and Contractual Remedies] 6a, Utah Procurement Code; and
             973          (b) may not be used by the procurement entity or a prospective bidder, offeror, or
             974      contractor as a basis for any action or suit that would suspend, disrupt, or terminate the design
             975      or construction.
             976          Section 24. Section 17D-1-106 is amended to read:
             977           17D-1-106. Special service districts subject to other provisions.
             978          (1) A special service district is, to the same extent as if it were a local district, subject
             979      to and governed by:
             980          (a) Sections 17B-1-105 , 17B-1-107 , 17B-1-108 , [ 17B-1-109 ,] 17B-1-110 , 17B-1-111 ,
             981      17B-1-112 , 17B-1-113 , 17B-1-116 , 17B-1-118 , 17B-1-119 , 17B-1-120 , and 17B-1-121 ;
             982          (b) Subsections 17B-1-301 (3) and (4), Sections 17B-1-304 , 17B-1-305 , 17B-1-306 ,
             983      17B-1-307 , 17B-1-310 , 17B-1-312 , 17B-1-313 , and 17B-1-314 ;
             984          (c) Section 20A-1-512 ;
             985          (d) Title 17B, Chapter 1, Part 6, Fiscal Procedures for Local Districts;
             986          (e) Title 17B, Chapter 1, Part 7, Local District Budgets and Audit Reports;
             987          (f) Title 17B, Chapter 1, Part 8, Local District Personnel Management; and
             988          (g) Title 17B, Chapter 1, Part 9, Collection of Service Fees and Charges.


             989          (2) For purposes of applying the provisions listed in Subsection (1) to a special service
             990      district, each reference in those provisions to the local district board of trustees means the
             991      governing body.
             992          Section 25. Section 17D-2-108 is amended to read:
             993           17D-2-108. Other statutory provisions.
             994          (1) This chapter is supplemental to existing laws relating to a local entity's acquisition,
             995      use, maintenance, management, or operation of a project.
             996          (2) Except as provided in this chapter, a local entity or local building authority that
             997      complies with the provisions of this chapter need not comply with any other statutory provision
             998      concerning the acquisition, construction, use, or maintenance of a project, including:
             999          (a) a statute relating to public bidding; and
             1000          (b) Title 63G, Chapter [6] 6a, Utah Procurement Code.
             1001          (3) A local building authority is, to the same extent as if it were a local district, subject
             1002      to and governed by:
             1003          (a) Title 17B, Chapter 1, Part 6, Fiscal Procedures for Local Districts;
             1004          (b) Title 17B, Chapter 1, Part 8, Local District Personnel Management; and
             1005          (c) Section 17B-1-108 .
             1006          Section 26. Section 19-1-206 is amended to read:
             1007           19-1-206. Contracting powers of department -- Health insurance coverage.
             1008          (1) For purposes of this section:
             1009          (a) "Employee" means an "employee," "worker," or "operative" as defined in Section
             1010      34A-2-104 who:
             1011          (i) works at least 30 hours per calendar week; and
             1012          (ii) meets employer eligibility waiting requirements for health care insurance which
             1013      may not exceed the first day of the calendar month following 90 days from the date of hire.
             1014          (b) "Health benefit plan" has the same meaning as provided in Section 31A-1-301 .
             1015          (c) "Qualified health insurance coverage" is as defined in Section 26-40-115 .
             1016          (d) "Subcontractor" has the same meaning provided for in Section 63A-5-208 .
             1017          (2) (a) Except as provided in Subsection (3), this section applies to a design or
             1018      construction contract entered into by or delegated to the department or a division or board of
             1019      the department on or after July 1, 2009, and to a prime contractor or subcontractor in


             1020      accordance with Subsection (2)(b).
             1021          (b) (i) A prime contractor is subject to this section if the prime contract is in the
             1022      amount of $1,500,000 or greater.
             1023          (ii) A subcontractor is subject to this section if a subcontract is in the amount of
             1024      $750,000 or greater.
             1025          (3) This section does not apply to contracts entered into by the department or a division
             1026      or board of the department if:
             1027          (a) the application of this section jeopardizes the receipt of federal funds;
             1028          (b) the contract or agreement is between:
             1029          (i) the department or a division or board of the department; and
             1030          (ii) (A) another agency of the state;
             1031          (B) the federal government;
             1032          (C) another state;
             1033          (D) an interstate agency;
             1034          (E) a political subdivision of this state; or
             1035          (F) a political subdivision of another state;
             1036          (c) the executive director determines that applying the requirements of this section to a
             1037      particular contract interferes with the effective response to an immediate health and safety
             1038      threat from the environment; or
             1039          (d) the contract is:
             1040          (i) a sole source contract; or
             1041          (ii) an emergency procurement.
             1042          (4) (a) This section does not apply to a change order as defined in Section [ 63G-6-103 ]
             1043      63G-6a-103 , or a modification to a contract, when the contract does not meet the initial
             1044      threshold required by Subsection (2).
             1045          (b) A person who intentionally uses change orders or contract modifications to
             1046      circumvent the requirements of Subsection (2) is guilty of an infraction.
             1047          (5) (a) A contractor subject to Subsection (2) shall demonstrate to the executive
             1048      director that the contractor has and will maintain an offer of qualified health insurance
             1049      coverage for the contractor's employees and the employees' dependents during the duration of
             1050      the contract.


             1051          (b) If a subcontractor of the contractor is subject to Subsection (2), the contractor shall
             1052      demonstrate to the executive director that the subcontractor has and will maintain an offer of
             1053      qualified health insurance coverage for the subcontractor's employees and the employees'
             1054      dependents during the duration of the contract.
             1055          (c) (i) (A) A contractor who fails to comply with Subsection (5)(a) during the duration
             1056      of the contract is subject to penalties in accordance with administrative rules adopted by the
             1057      department under Subsection (6).
             1058          (B) A contractor is not subject to penalties for the failure of a subcontractor to meet the
             1059      requirements of Subsection (5)(b).
             1060          (ii) (A) A subcontractor who fails to meet the requirements of Subsection (5)(b) during
             1061      the duration of the contract is subject to penalties in accordance with administrative rules
             1062      adopted by the department under Subsection (6).
             1063          (B) A subcontractor is not subject to penalties for the failure of a contractor to meet the
             1064      requirements of Subsection (5)(a).
             1065          (6) The department shall adopt administrative rules:
             1066          (a) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act;
             1067          (b) in coordination with:
             1068          (i) a public transit district in accordance with Section 17B-2a-818.5 ;
             1069          (ii) the Department of Natural Resources in accordance with Section 79-2-404 ;
             1070          (iii) the State Building Board in accordance with Section 63A-5-205 ;
             1071          (iv) the State Capitol Preservation Board in accordance with Section 63C-9-403 ;
             1072          (v) the Department of Transportation in accordance with Section 72-6-107.5 ; and
             1073          (vi) the Legislature's Administrative Rules Review Committee; and
             1074          (c) which establish:
             1075          (i) the requirements and procedures a contractor shall follow to demonstrate to the
             1076      public transit district compliance with this section that shall include:
             1077          (A) that a contractor will not have to demonstrate compliance with Subsection (5)(a) or
             1078      (b) more than twice in any 12-month period; and
             1079          (B) that the actuarially equivalent determination required for the qualified health
             1080      insurance coverage in Subsection (1) is met by the contractor if the contractor provides the
             1081      department or division with a written statement of actuarial equivalency from either:


             1082          (I) the Utah Insurance Department;
             1083          (II) an actuary selected by the contractor or the contractor's insurer; or
             1084          (III) an underwriter who is responsible for developing the employer group's premium
             1085      rates;
             1086          (ii) the penalties that may be imposed if a contractor or subcontractor intentionally
             1087      violates the provisions of this section, which may include:
             1088          (A) a three-month suspension of the contractor or subcontractor from entering into
             1089      future contracts with the state upon the first violation;
             1090          (B) a six-month suspension of the contractor or subcontractor from entering into future
             1091      contracts with the state upon the second violation;
             1092          (C) an action for debarment of the contractor or subcontractor in accordance with
             1093      Section [ 63G-6-804 ] 63G-6a-904 upon the third or subsequent violation; and
             1094          (D) notwithstanding Section 19-1-303 , monetary penalties which may not exceed 50%
             1095      of the amount necessary to purchase qualified health insurance coverage for an employee and
             1096      the dependents of an employee of the contractor or subcontractor who was not offered qualified
             1097      health insurance coverage during the duration of the contract; and
             1098          (iii) a website on which the department shall post the benchmark for the qualified
             1099      health insurance coverage identified in Subsection (1)(c).
             1100          (7) (a) (i) In addition to the penalties imposed under Subsection (6)(c), a contractor or
             1101      subcontractor who intentionally violates the provisions of this section shall be liable to the
             1102      employee for health care costs that would have been covered by qualified health insurance
             1103      coverage.
             1104          (ii) An employer has an affirmative defense to a cause of action under Subsection
             1105      (7)(a)(i) if:
             1106          (A) the employer relied in good faith on a written statement of actuarial equivalency
             1107      provided by:
             1108          (I) an actuary; or
             1109          (II) an underwriter who is responsible for developing the employer group's premium
             1110      rates; or
             1111          (B) the department determines that compliance with this section is not required under
             1112      the provisions of Subsection (3) or (4).


             1113          (b) An employee has a private right of action only against the employee's employer to
             1114      enforce the provisions of this Subsection (7).
             1115          (8) Any penalties imposed and collected under this section shall be deposited into the
             1116      Medicaid Restricted Account created in Section 26-18-402 .
             1117          (9) The failure of a contractor or subcontractor to provide qualified health insurance
             1118      coverage as required by this section:
             1119          (a) may not be the basis for a protest or other action from a prospective bidder, offeror,
             1120      or contractor under Section [ 63G-6-801 ] 63G-6a-1603 or any other provision in Title 63G,
             1121      Chapter [6, Part 8, Legal and Contractual Remedies] 6a, Utah Procurement Code; and
             1122          (b) may not be used by the procurement entity or a prospective bidder, offeror, or
             1123      contractor as a basis for any action or suit that would suspend, disrupt, or terminate the design
             1124      or construction.
             1125          Section 27. Section 20A-11-701 is amended to read:
             1126           20A-11-701. Campaign financial reporting by corporations -- Filing requirements
             1127      -- Statement contents.
             1128          (1) (a) Each corporation that has made expenditures for political purposes that total at
             1129      least $750 during a calendar year shall file a verified financial statement with the lieutenant
             1130      governor's office:
             1131          (i) on January 10, reporting expenditures as of December 31 of the previous year;
             1132          (ii) seven days before the regular primary election date;
             1133          (iii) on August 31; and
             1134          (iv) seven days before the regular general election date.
             1135          (b) The corporation shall report:
             1136          (i) a detailed listing of all expenditures made since the last statement;
             1137          (ii) for financial statements filed under Subsections (1)(a)(ii) through (iv), all
             1138      expenditures as of five days before the required filing date of the financial statement; and
             1139          (iii) whether the corporation, including an officer of the corporation, director of the
             1140      corporation, or person with at least 10% ownership in the corporation:
             1141          (A) has bid since the last financial statement on a contract, as defined in Section
             1142      [ 63G-6-103 ] 63G-6a-103 , in excess of $100,000;
             1143          (B) is currently bidding on a contract, as defined in Section [ 63G-6-103 ] 63G-6a-103 ,


             1144      in excess of $100,000; or
             1145          (C) is a party to a contract, as defined in Section [ 63G-6-103 ] 63G-6a-103 , in excess of
             1146      $100,000.
             1147          (c) The corporation need not file a financial statement under this section if the
             1148      corporation made no expenditures during the reporting period.
             1149          (2) The financial statement shall include:
             1150          (a) the name and address of each reporting entity that received an expenditure from the
             1151      corporation, and the amount of each expenditure;
             1152          (b) the total amount of expenditures disbursed by the corporation; and
             1153          (c) a statement by the corporation's treasurer or chief financial officer certifying the
             1154      accuracy of the financial statement.
             1155          Section 28. Section 26-8a-405.3 is amended to read:
             1156           26-8a-405.3. Use of competitive sealed proposals -- Procedure -- Appeal rights.
             1157          (1) (a) Competitive sealed proposals for paramedic or 911 ambulance services under
             1158      Section 26-8a-405.2 , or for non-911 services under Section 26-8a-405.4 , shall be solicited
             1159      through a request for proposal and the provisions of this section.
             1160          (b) The governing body of the political subdivision shall approve the request for
             1161      proposal prior to the notice of the request for proposals under Subsection (1)(c).
             1162          (c) (i) Notice of the request for proposals shall be published:
             1163          (A) at least once a week for three consecutive weeks in a newspaper of general
             1164      circulation published in the county; or
             1165          (B) if there is no such newspaper, then notice shall be posted for at least 20 days in at
             1166      least five public places in the county; and
             1167          (ii) in accordance with Section 45-1-101 for at least 20 days.
             1168          (2) (a) Proposals shall be opened so as to avoid disclosure of contents to competing
             1169      offerors during the process of negotiations.
             1170          (b) (i) Subsequent to the published notice, and prior to selecting an applicant, the
             1171      political subdivision shall hold a presubmission conference with interested applicants for the
             1172      purpose of assuring full understanding of, and responsiveness to, solicitation requirements.
             1173          (ii) A political subdivision shall allow at least 90 days from the presubmission
             1174      conference for the proposers to submit proposals.


             1175          (c) Subsequent to the presubmission conference, the political subdivision may issue
             1176      addenda to the request for proposals. An addenda to a request for proposal shall be finalized
             1177      and posted by the political subdivision at least 45 days before the day on which the proposal
             1178      must be submitted.
             1179          (d) Offerors to the request for proposals shall be accorded fair and equal treatment with
             1180      respect to any opportunity for discussion and revisions of proposals, and revisions may be
             1181      permitted after submission and before a contract is awarded for the purpose of obtaining best
             1182      and final offers.
             1183          (e) In conducting discussions, there shall be no disclosures of any information derived
             1184      from proposals submitted by competing offerors.
             1185          (3) (a) (i) A political subdivision may select an applicant approved by the department
             1186      under Section 26-8a-404 to provide 911 ambulance or paramedic services by contract to the
             1187      most responsible offeror as defined in [Subsection 63G-6-103 (24)] Section 63G-6a-103 .
             1188          (ii) An award under Subsection (3)(a)(i) shall be made to the responsible offeror whose
             1189      proposal is determined in writing to be the most advantageous to the political subdivision,
             1190      taking into consideration price and the evaluation factors set forth in the request for proposal.
             1191          (b) The applicants who are approved under Section 26-8a-405 and who are selected
             1192      under this section may be the political subdivision issuing the request for competitive sealed
             1193      proposals, or any other public entity or entities, any private person or entity, or any
             1194      combination thereof.
             1195          (c) A political subdivision may reject all of the competitive proposals.
             1196          (4) In seeking competitive sealed proposals and awarding contracts under this section,
             1197      a political subdivision:
             1198          (a) shall apply the public convenience and necessity factors listed in Subsections
             1199      26-8a-408 (2) through (6);
             1200          (b) shall require the applicant responding to the proposal to disclose how the applicant
             1201      will meet performance standards in the request for proposal;
             1202          (c) may not require or restrict an applicant to a certain method of meeting the
             1203      performance standards, including:
             1204          (i) requiring ambulance medical personnel to also be a firefighter; or
             1205          (ii) mandating that offerors use fire stations or dispatch services of the political


             1206      subdivision;
             1207          (d) shall require an applicant to submit the proposal:
             1208          (i) based on full cost accounting in accordance with generally accepted accounting
             1209      principals; and
             1210          (ii) if the applicant is a governmental entity, in addition to the requirements of
             1211      Subsection (4)(e)(i), in accordance with generally accepted government auditing standards and
             1212      in compliance with the State of Utah Legal Compliance Audit Guide; and
             1213          (e) shall set forth in the request for proposal:
             1214          (i) the method for determining full cost accounting in accordance with generally
             1215      accepted accounting principles, and require an applicant to submit the proposal based on such
             1216      full cost accounting principles;
             1217          (ii) guidelines established to further competition and provider accountability; and
             1218          (iii) a list of the factors that will be considered by the political subdivision in the award
             1219      of the contract, including by percentage, the relative weight of the factors established under this
             1220      Subsection (4)(e), which may include such things as:
             1221          (A) response times;
             1222          (B) staging locations;
             1223          (C) experience;
             1224          (D) quality of care; and
             1225          (E) cost, consistent with the cost accounting method in Subsection (4)(e)(i).
             1226          (5) (a) Notwithstanding [the provisions of Subsection 63G-6-104 (3), the] any provision
             1227      of Title 63G, Chapter 6a, Utah Procurement Code, to the contrary, the provisions of Title 63G,
             1228      Chapter [6, Part 8, Legal and Contractual Remedies] 6a, Utah Procurement Code, apply to the
             1229      procurement process required by this section, except as provided in Subsection (5)(c).
             1230          (b) [The Procurement Appeals Board created in Section 63G-6-807 ] An appeals board,
             1231      as defined in Section 63G-6a-103 , shall have jurisdiction to review and determine an appeal of
             1232      an offeror under this section in the same manner as provided in Section [ 63G-6-810 ]
             1233      63G-6a-1703 .
             1234          (c) (i) An offeror may appeal the solicitation or award as provided by the political
             1235      subdivision's procedures. After all political subdivision appeal rights are exhausted, the offeror
             1236      may appeal under the provisions of Subsections (5)(a) and (b).


             1237          (ii) The factual determination required by Subsection [ 63G-6-813 ] 63G-6a-1708 (1)
             1238      shall be based on whether the solicitation or award was made in accordance with the
             1239      procedures set forth in this section and Section 26-8a-405.2 .
             1240          (d) The determination of an issue of fact by the appeals board shall be final and
             1241      conclusive unless arbitrary and capricious or clearly erroneous as provided in Section
             1242      [ 63G-6-813 ] 63G-6a-1708 .
             1243          Section 29. Section 26-8a-405.5 is amended to read:
             1244           26-8a-405.5. Use of competitive sealed proposals -- Procedure -- Appeal rights.
             1245          (1) (a) The department shall issue a request for proposal for non-911 services in a
             1246      geographic service area if the department receives a request from a political subdivision under
             1247      Subsection 26-8a-405.4 (3)(a)(ii)(B) to issue a request for proposal for non-911 services.
             1248          (b) Competitive sealed proposals for non-911 services under Subsection (1)(a) shall be
             1249      solicited through a request for proposal and the provisions of this section.
             1250          (c) (i) Notice of the request for proposals shall be published:
             1251          (A) at least once a week for three consecutive weeks in a newspaper of general
             1252      circulation published in the county; or
             1253          (B) if there is no such newspaper, then notice shall be posted for at least 20 days in at
             1254      least five public places in the county; and
             1255          (ii) in accordance with Section 45-1-101 for at least 20 days.
             1256          (2) (a) Proposals shall be opened so as to avoid disclosure of contents to competing
             1257      offerors during the process of negotiations.
             1258          (b) (i) Subsequent to the published notice, and prior to selecting an applicant, the
             1259      department shall hold a presubmission conference with interested applicants for the purpose of
             1260      assuring full understanding of, and responsiveness to, solicitation requirements.
             1261          (ii) The department shall allow at least 90 days from the presubmission conference for
             1262      the proposers to submit proposals.
             1263          (c) Subsequent to the presubmission conference, the department may issue addenda to
             1264      the request for proposals. An addenda to a request for proposal shall be finalized and posted by
             1265      the department at least 45 days before the day on which the proposal must be submitted.
             1266          (d) Offerors to the request for proposals shall be accorded fair and equal treatment with
             1267      respect to any opportunity for discussion and revisions of proposals, and revisions may be


             1268      permitted after submission and before a contract is awarded for the purpose of obtaining best
             1269      and final offers.
             1270          (e) In conducting discussions, there shall be no disclosures of any information derived
             1271      from proposals submitted by competing offerors.
             1272          (3) (a) (i) The department may select an applicant approved by the department under
             1273      Section 26-8a-404 to provide non-911 services by contract to the most responsible offeror as
             1274      defined in [Subsection 63G-6-103 (24)] Section 63G-6a-103 .
             1275          (ii) An award under Subsection (3)(a)(i) shall be made to the responsible offeror whose
             1276      proposal is determined in writing to be the most advantageous to the public, taking into
             1277      consideration price and the evaluation factors set forth in the request for proposal.
             1278          (b) The applicants who are approved under Section 26-8a-405 and who are selected
             1279      under this section may be the political subdivision responding to the request for competitive
             1280      sealed proposals, or any other public entity or entities, any private person or entity, or any
             1281      combination thereof.
             1282          (c) The department may reject all of the competitive proposals.
             1283          (4) In seeking competitive sealed proposals and awarding contracts under this section,
             1284      the department:
             1285          (a) shall consider the public convenience and necessity factors listed in Subsections
             1286      26-8a-408 (2) through (6);
             1287          (b) shall require the applicant responding to the proposal to disclose how the applicant
             1288      will meet performance standards in the request for proposal;
             1289          (c) may not require or restrict an applicant to a certain method of meeting the
             1290      performance standards, including:
             1291          (i) requiring ambulance medical personnel to also be a firefighter; or
             1292          (ii) mandating that offerors use fire stations or dispatch services of the political
             1293      subdivision;
             1294          (d) shall require an applicant to submit the proposal:
             1295          (i) based on full cost accounting in accordance with generally accepted accounting
             1296      principals; and
             1297          (ii) if the applicant is a governmental entity, in addition to the requirements of
             1298      Subsection (4)(e)(i), in accordance with generally accepted government auditing standards and


             1299      in compliance with the State of Utah Legal Compliance Audit Guide; and
             1300          (e) shall set forth in the request for proposal:
             1301          (i) the method for determining full cost accounting in accordance with generally
             1302      accepted accounting principles, and require an applicant to submit the proposal based on such
             1303      full cost accounting principles;
             1304          (ii) guidelines established to further competition and provider accountability; and
             1305          (iii) a list of the factors that will be considered by the department in the award of the
             1306      contract, including by percentage, the relative weight of the factors established under this
             1307      Subsection (4)(e), which may include such things as:
             1308          (A) response times;
             1309          (B) staging locations;
             1310          (C) experience;
             1311          (D) quality of care; and
             1312          (E) cost, consistent with the cost accounting method in Subsection (4)(e)(i).
             1313          (5) A license issued under this section:
             1314          (a) is for the exclusive geographic service area approved by the department;
             1315          (b) is valid for four years;
             1316          (c) is not subject to a request for license from another applicant under the provisions of
             1317      Sections 26-8a-406 through 26-8a-409 during the four-year term, unless the applicant's license
             1318      is revoked under Section 26-8a-504 ;
             1319          (d) is subject to supervision by the department under Sections 26-8a-503 and
             1320      26-8a-504 ; and
             1321          (e) except as provided in Subsection (4)(a), is not subject to the provisions of Sections
             1322      26-8a-406 through 26-8a-409 .
             1323          Section 30. Section 26-10-8 is amended to read:
             1324           26-10-8. Request for proposal required for non-state supplied services.
             1325          (1) Funds provided to the department through Sections 51-9-201 and 59-14-204 to be
             1326      used to provide services, shall be awarded to non-governmental entities based on a competitive
             1327      process consistent with Title 63G, Chapter [6] 6a, Utah Procurement Code.
             1328          (2) Beginning July 1, 2010, and not more than every five years thereafter, the
             1329      department shall issue requests for proposals for new or renewing contracts to award funding


             1330      for programs under Subsection (1).
             1331          Section 31. Section 26-10b-102 is amended to read:
             1332           26-10b-102. Department to award grants and contracts -- Applications.
             1333          (1) (a) Within appropriations specified by the Legislature for this purpose, the
             1334      department may make grants to public and nonprofit entities for the cost of operation of
             1335      providing primary health care services to medically underserved populations.
             1336          (b) The department may, as funding permits, contract with community based
             1337      organizations for the purpose of developing culturally and linguistically appropriate programs
             1338      and services for low income and medically underserved populations through a pilot program to
             1339      accomplish one or more of the following:
             1340          (i) to educate individuals:
             1341          (A) to use private and public health care coverage programs, products, services, and
             1342      resources in a timely, effective, and responsible manner;
             1343          (B) to make prudent use of private and public health care resources;
             1344          (C) to pursue preventive health care, health screenings, and disease management; and
             1345          (D) to locate health care programs and services;
             1346          (ii) to assist individuals to develop:
             1347          (A) personal health management;
             1348          (B) self-sufficiency in daily care; and
             1349          (C) life and disease management skills;
             1350          (iii) to support translation of health materials and information;
             1351          (iv) to facilitate an individual's access to primary care services and providers, including
             1352      mental health services; and
             1353          (v) to measure and report empirical results of the pilot project.
             1354          (2) (a) Grants by the department shall be awarded based on:
             1355          (i) applications submitted to the department in the manner and form prescribed by the
             1356      department; and
             1357          (ii) the criteria established in Section 26-10b-103 .
             1358          (b) The application for a grant under Subsection (2)(a) shall contain:
             1359          (i) a requested award amount;
             1360          (ii) a budget; and


             1361          (iii) a narrative plan of the manner in which the applicant intends to provide the
             1362      primary health care services described in Subsection 26-10b-101 (7).
             1363          (c) A contract bid for a service under Subsection (1)(b):
             1364          (i) shall be awarded in accordance with Title 63G, Chapter [6] 6a, Utah Procurement
             1365      Code;
             1366          (ii) shall include the information described in Section 26-10b-103 ; and
             1367          (iii) is subject to Subsection (3) [of this section].
             1368          (3) (a) An applicant under this chapter shall demonstrate to the department that the
             1369      applicant will not deny services to a person because of the person's inability to pay for the
             1370      services.
             1371          (b) Subsection (3)(a) does not preclude an applicant from seeking payment from the
             1372      person receiving services, a third party, or a government agency if:
             1373          (i) the applicant is authorized to charge for the services; and
             1374          (ii) the person, third party, or government agency is under legal obligation to pay the
             1375      charges.
             1376          (4) The department shall maximize the use of federal matching funds received for
             1377      services under Subsection (1)(b) to fund additional contracts under Subsection (1)(b).
             1378          Section 32. Section 26-18-2.6 is amended to read:
             1379           26-18-2.6. Dental benefits.
             1380          (1) (a) The division shall establish a competitive bid process to bid out Medicaid dental
             1381      benefits under this chapter.
             1382          (b) The division may bid out the Medicaid dental benefits separately from other
             1383      program benefits.
             1384          (2) The division shall use the following criteria to evaluate dental bids:
             1385          (a) ability to manage dental expenses;
             1386          (b) proven ability to handle dental insurance;
             1387          (c) efficiency of claim paying procedures;
             1388          (d) provider contracting, discounts, and adequacy of network; and
             1389          (e) other criteria established by the department.
             1390          (3) The division shall request bids for the program's benefits:
             1391          (a) in 2011; and


             1392          (b) at least once every five years thereafter.
             1393          (4) The division's contract with dental plans for the program's benefits shall include
             1394      risk sharing provisions in which the dental plan must accept 100% of the risk for any difference
             1395      between the division's premium payments per client and actual dental expenditures.
             1396          (5) The division may not award contracts to:
             1397          (a) more than three responsive bidders under this section; or
             1398          (b) an insurer that does not have a current license in the state.
             1399          (6) (a) The division may cancel the request for proposals if:
             1400          (i) there are no responsive bidders; or
             1401          (ii) the division determines that accepting the bids would increase the program's costs.
             1402          (b) If the division cancels the request for proposals under Subsection (6)(a), the
             1403      division shall report to the Health and Human Services Committee regarding the reasons for
             1404      the decision.
             1405          (7) Title 63G, Chapter [6] 6a, Utah Procurement Code, shall apply to this section.
             1406          Section 33. Section 26-40-110 is amended to read:
             1407           26-40-110. Managed care -- Contracting for services.
             1408          (1) Program benefits provided to enrollees under the program, as described in Section
             1409      26-40-106 , shall be delivered in a managed care system if the department determines that
             1410      adequate services are available where the enrollee lives or resides.
             1411          (2) (a) The department shall use the following criteria to evaluate bids from health
             1412      plans:
             1413          (i) ability to manage medical expenses, including mental health costs;
             1414          (ii) proven ability to handle accident and health insurance;
             1415          (iii) efficiency of claim paying procedures;
             1416          (iv) proven ability for managed care and quality assurance;
             1417          (v) provider contracting and discounts;
             1418          (vi) pharmacy benefit management;
             1419          (vii) an estimate of total charges for administering the pool;
             1420          (viii) ability to administer the pool in a cost-efficient manner;
             1421          (ix) the ability to provide adequate providers and services in the state; and
             1422          (x) other criteria established by the department.


             1423          (b) The dental benefits required by Section 26-40-106 may be bid out separately from
             1424      other program benefits.
             1425          (c) Except for dental benefits, the department shall request bids for the program's
             1426      benefits in 2008. The department shall request bids for the program's dental benefits in 2009.
             1427      The department shall request bids for the program's benefits at least once every five years
             1428      thereafter.
             1429          (d) The department's contract with health plans for the program's benefits shall include
             1430      risk sharing provisions in which the health plan shall accept at least 75% of the risk for any
             1431      difference between the department's premium payments per client and actual medical
             1432      expenditures.
             1433          (3) The executive director shall report to and seek recommendations from the Health
             1434      Advisory Council created in Section 26-1-7.5 :
             1435          (a) if the division receives less than two bids or proposals under this section that are
             1436      acceptable to the division or responsive to the bid; and
             1437          (b) before awarding a contract to a managed care system.
             1438          (4) (a) The department shall award contracts to responsive bidders if the department
             1439      determines that a bid is acceptable and meets the criteria of Subsections (2)(a) and (d).
             1440          (b) The department may contract with the Group Insurance Division within the Utah
             1441      State Retirement Office to provide services under Subsection (1) if:
             1442          (i) the executive director seeks the recommendation of the Health Advisory Council
             1443      under Subsection (3); and
             1444          (ii) the executive director determines that the bids were not acceptable to the
             1445      department.
             1446          (c) In accordance with Section 49-20-201 , a contract awarded under Subsection (4)(b)
             1447      is not subject to the risk sharing required by Subsection (2)(d).
             1448          (5) Title 63G, Chapter [6] 6a, Utah Procurement Code, shall apply to this section.
             1449          Section 34. Section 30-3-11.3 is amended to read:
             1450           30-3-11.3. Mandatory educational course for divorcing parents -- Purpose --
             1451      Curriculum -- Exceptions.
             1452          (1) The Judicial Council shall approve and implement a mandatory course for
             1453      divorcing parents in all judicial districts. The mandatory course is designed to educate and


             1454      sensitize divorcing parties to their children's needs both during and after the divorce process.
             1455          (2) The Judicial Council shall adopt rules to implement and administer this program.
             1456          (3) As a prerequisite to receiving a divorce decree, both parties are required to attend a
             1457      mandatory course on their children's needs after filing a complaint for divorce and receiving a
             1458      docket number, unless waived under Section 30-3-4 . If that requirement is waived, the court
             1459      may permit the divorce action to proceed.
             1460          (4) The court may require unmarried parents to attend this educational course when
             1461      those parents are involved in a visitation or custody proceeding before the court.
             1462          (5) The mandatory course shall instruct both parties:
             1463          (a) about divorce and its impacts on:
             1464          (i) their child or children;
             1465          (ii) their family relationship; and
             1466          (iii) their financial responsibilities for their child or children; and
             1467          (b) that domestic violence has a harmful effect on children and family relationships.
             1468          (6) The Administrative Office of the Courts shall administer the course pursuant to
             1469      Title 63G, Chapter [6] 6a, Utah Procurement Code, through private or public contracts and
             1470      organize the program in each of Utah's judicial districts. The contracts shall provide for the
             1471      recoupment of administrative expenses through the costs charged to individual parties,
             1472      pursuant to Subsection (8).
             1473          (7) A certificate of completion constitutes evidence to the court of course completion
             1474      by the parties.
             1475          (8) (a) Each party shall pay the costs of the course to the independent contractor
             1476      providing the course at the time and place of the course. A fee of $8 shall be collected, as part
             1477      of the course fee paid by each participant, and deposited in the Children's Legal Defense
             1478      Account, described in Section 51-9-408 .
             1479          (b) Each party who is unable to pay the costs of the course may attend the course
             1480      without payment upon a prima facie showing of impecuniosity as evidenced by an affidavit of
             1481      impecuniosity filed in the district court. In those situations, the independent contractor shall be
             1482      reimbursed for its costs from the appropriation to the Administrative Office of the Courts for
             1483      "Mandatory Educational Course for Divorcing Parents Program." Before a decree of divorce
             1484      may be entered, the court shall make a final review and determination of impecuniosity and


             1485      may order the payment of the costs if so determined.
             1486          (9) Appropriations from the General Fund to the Administrative Office of the Courts
             1487      for the "Mandatory Educational Course for Divorcing Parents Program" shall be used to pay
             1488      the costs of an indigent parent who makes a showing as provided in Subsection (8)(b).
             1489          (10) The Administrative Office of the Courts shall adopt a program to evaluate the
             1490      effectiveness of the mandatory educational course. Progress reports shall be provided if
             1491      requested by the Judiciary Interim Committee.
             1492          Section 35. Section 30-3-11.4 is amended to read:
             1493           30-3-11.4. Mandatory orientation course for divorcing parties -- Purpose --
             1494      Curriculum -- Exceptions.
             1495          (1) There is established a mandatory divorce orientation course for all parties with
             1496      minor children who file a petition for temporary separation or for a divorce. A couple with no
             1497      minor children are not required, but may choose to attend the course. The purpose of the
             1498      course shall be to educate parties about the divorce process and reasonable alternatives.
             1499          (2) A petitioner shall attend a divorce orientation course no more than 60 days after
             1500      filing a petition for divorce.
             1501          (3) The respondent shall attend the divorce orientation course no more than 30 days
             1502      after being served with a petition for divorce.
             1503          (4) The clerk of the court shall provide notice to a petitioner of the requirement for the
             1504      course, and information regarding the course shall be included with the petition or motion,
             1505      when served on the respondent.
             1506          (5) The divorce orientation course shall be neutral, unbiased, at least one hour in
             1507      duration, and include:
             1508          (a) options available as alternatives to divorce;
             1509          (b) resources available from courts and administrative agencies for resolving custody
             1510      and support issues without filing for divorce;
             1511          (c) resources available to improve or strengthen the marriage;
             1512          (d) a discussion of the positive and negative consequences of divorce;
             1513          (e) a discussion of the process of divorce;
             1514          (f) options available for proceeding with a divorce, including:
             1515          (i) mediation;


             1516          (ii) collaborative law; and
             1517          (iii) litigation; and
             1518          (g) a discussion of post-divorce resources.
             1519          (6) The course may be provided in conjunction with the mandatory course for
             1520      divorcing parents required by Section 30-3-11.3 .
             1521          (7) The Administrative Office of the Courts shall administer the course pursuant to
             1522      Title 63G, Chapter [6] 6a, Utah Procurement Code, through private or public contracts.
             1523          (8) Each participant shall pay the costs of the course, which may not exceed $20, to the
             1524      independent contractor providing the course at the time and place of the course.
             1525          (a) A fee of $5 shall be collected, as part of the course fee paid by each participant, and
             1526      deposited in the Children's Legal Defense Account described in Section 51-9-408 .
             1527          (b) A participant who is unable to pay the costs of the course may attend without
             1528      payment and request an Affidavit of Impecuniosity from the provider to be filed with the
             1529      petition or motion. The provider shall be reimbursed for its costs by the Administrative Office
             1530      of the Courts. A petitioner who is later determined not to meet the qualifications for
             1531      impecuniosity may be ordered to pay the costs of the course.
             1532          (9) Appropriations from the General Fund to the Administrative Office of the Courts
             1533      for the divorce orientation course shall be used to pay the costs of an indigent petitioner who is
             1534      determined to be impecunious as provided in Subsection (8)(b).
             1535          (10) The Online Court Assistance Program shall include instructions with the forms for
             1536      divorce which inform the petitioner of the requirement of this section.
             1537          (11) Both parties shall attend a divorce orientation course before a divorce decree may
             1538      be entered, unless waived by the court. A certificate of completion constitutes evidence to the
             1539      court of course completion by the parties.
             1540          (12) It shall be an affirmative defense in all divorce actions that the divorce orientation
             1541      requirement was not complied with, and the action may not continue until a party has
             1542      complied.
             1543          (13) The Administrative Office of the Courts shall adopt a program to evaluate the
             1544      effectiveness of the mandatory educational course. Progress reports shall be provided if
             1545      requested by the Judiciary Interim Committee.
             1546          Section 36. Section 30-3-38 is amended to read:


             1547           30-3-38. Expedited Parent-time Enforcement Program.
             1548          (1) There is established an Expedited Parent-time Enforcement Program in the third
             1549      judicial district to be administered by the Administrative Office of the Courts.
             1550          (2) As used in this section:
             1551          (a) "Mediator" means a person who:
             1552          (i) is qualified to mediate parent-time disputes under criteria established by the
             1553      Administrative Office of the Courts; and
             1554          (ii) agrees to follow billing guidelines established by the Administrative Office of the
             1555      Courts and this section.
             1556          (b) "Services to facilitate parent-time" or "services" means services designed to assist
             1557      families in resolving parent-time problems through:
             1558          (i) counseling;
             1559          (ii) supervised parent-time;
             1560          (iii) neutral drop-off and pick-up;
             1561          (iv) educational classes; and
             1562          (v) other related activities.
             1563          (3) (a) If a parent files a motion in the third district court alleging that court-ordered
             1564      parent-time rights are being violated, the clerk of the court, after assigning the case to a judge,
             1565      shall refer the case to the administrator of this program for assignment to a mediator, unless a
             1566      parent is incarcerated or otherwise unavailable. Unless the court rules otherwise, a parent
             1567      residing outside of the state is not unavailable. The director of the program for the courts, the
             1568      court, or the mediator may excuse either party from the requirement to mediate for good cause.
             1569          (b) Upon receipt of a case, the mediator shall:
             1570          (i) meet with the parents to address parent-time issues within 15 days of the motion
             1571      being filed;
             1572          (ii) assess the situation;
             1573          (iii) facilitate an agreement on parent-time between the parents; and
             1574          (iv) determine whether a referral to a service provider under Subsection (3)(c) is
             1575      warranted.
             1576          (c) While a case is in mediation, a mediator may refer the parents to a service provider
             1577      designated by the Department of Human Services for services to facilitate parent-time if:


             1578          (i) the services may be of significant benefit to the parents; or
             1579          (ii) (A) a mediated agreement between the parents is unlikely; and
             1580          (B) the services may facilitate an agreement.
             1581          (d) At any time during mediation, a mediator shall terminate mediation and transfer the
             1582      case to the administrator of the program for referral to the judge or court commissioner to
             1583      whom the case was assigned under Subsection (3)(a) if:
             1584          (i) a written agreement between the parents is reached; or
             1585          (ii) the parents are unable to reach an agreement through mediation and:
             1586          (A) the parents have received services to facilitate parent-time;
             1587          (B) both parents object to receiving services to facilitate parent-time; or
             1588          (C) the parents are unlikely to benefit from receiving services to facilitate parent-time.
             1589          (e) Upon receiving a case from the administrator of the program, a judge or court
             1590      commissioner may:
             1591          (i) review the agreement of the parents and, if acceptable, sign it as an order;
             1592          (ii) order the parents to receive services to facilitate parent-time;
             1593          (iii) proceed with the case; or
             1594          (iv) take other appropriate action.
             1595          (4) (a) If a parent makes a particularized allegation of physical or sexual abuse of a
             1596      child who is the subject of a parent-time order against the other parent or a member of the other
             1597      parent's household to a mediator or service provider, the mediator or service provider shall
             1598      immediately report that information to:
             1599          (i) the judge assigned to the case who may immediately issue orders and take other
             1600      appropriate action to resolve the allegation and protect the child; and
             1601          (ii) the Division of Child and Family Services within the Department of Human
             1602      Services in the manner required by Title 62A, Chapter 4a, Part 4, Child Abuse or Neglect
             1603      Reporting Requirements.
             1604          (b) If an allegation under Subsection (4)(a) is made against a parent with parent-time
             1605      rights or a member of that parent's household, parent-time by that parent shall, pursuant to an
             1606      order of the court, be supervised until:
             1607          (i) the allegation has been resolved; or
             1608          (ii) a court orders otherwise.


             1609          (c) Notwithstanding an allegation under Subsection (4)(a), a mediator may continue to
             1610      mediate parent-time problems and a service provider may continue to provide services to
             1611      facilitate parent-time unless otherwise ordered by a court.
             1612          (5) (a) The Department of Human Services may contract with one or more entities in
             1613      accordance with Title 63G, Chapter [6] 6a, Utah Procurement Code, to provide:
             1614          (i) services to facilitate parent-time;
             1615          (ii) case management services; and
             1616          (iii) administrative services.
             1617          (b) An entity who contracts with the Department of Human Services under Subsection
             1618      (5)(a) shall:
             1619          (i) be qualified to provide one or more of the services listed in Subsection (5)(a); and
             1620          (ii) agree to follow billing guidelines established by the Department of Human Services
             1621      and this section.
             1622          (6) (a) Except as provided in Subsection (6)(b), the cost of mediation shall be:
             1623          (i) reduced to a sum certain;
             1624          (ii) divided equally between the parents; and
             1625          (iii) charged against each parent taking into account the ability of that parent to pay
             1626      under billing guidelines adopted in accordance with this section.
             1627          (b) A judge may order a parent to pay an amount in excess of that provided for in
             1628      Subsection (6)(a) if the parent:
             1629          (i) failed to participate in good faith in mediation or services to facilitate parent-time;
             1630      or
             1631          (ii) made an unfounded assertion or claim of physical or sexual abuse of a child.
             1632          (c) (i) The cost of mediation and services to facilitate parent-time may be charged to
             1633      parents at periodic intervals.
             1634          (ii) Mediation and services to facilitate parent-time may only be terminated on the
             1635      ground of nonpayment if both parents are delinquent.
             1636          (7) (a) The Judicial Council may make rules to implement and administer the
             1637      provisions of this program related to mediation.
             1638          (b) The Department of Human Services may make rules to implement and administer
             1639      the provisions of this program related to services to facilitate parent-time.


             1640          (8) (a) The Administrative Office of the Courts shall adopt outcome measures to
             1641      evaluate the effectiveness of the mediation component of this program. Progress reports shall
             1642      be provided to the Judiciary Interim Committee as requested by the committee.
             1643          (b) The Department of Human Services shall adopt outcome measures to evaluate the
             1644      effectiveness of the services component of this program. Progress reports shall be provided to
             1645      the Judiciary Interim Committee as requested by the committee.
             1646          (c) The Administrative Office of the Courts and the Department of Human Services
             1647      may adopt joint outcome measures and file joint reports to satisfy the requirements of
             1648      Subsections (7)(a) and (b).
             1649          (9) The Department of Human Services shall, by following the procedures and
             1650      requirements of Title 63J, Chapter 5, Federal Funds Procedures, apply for federal funds as
             1651      available.
             1652          Section 37. Section 31A-29-110 is amended to read:
             1653           31A-29-110. Pool administrator -- Selection -- Powers.
             1654          (1) The board shall select a pool administrator in accordance with Title 63G, Chapter
             1655      [6] 6a, Utah Procurement Code. The board shall evaluate bids based on criteria established by
             1656      the board, which shall include:
             1657          (a) ability to manage medical expenses;
             1658          (b) proven ability to handle accident and health insurance;
             1659          (c) efficiency of claim paying procedures;
             1660          (d) marketing and underwriting;
             1661          (e) proven ability for managed care and quality assurance;
             1662          (f) provider contracting and discounts;
             1663          (g) pharmacy benefit management;
             1664          (h) an estimate of total charges for administering the pool; and
             1665          (i) ability to administer the pool in a cost-efficient manner.
             1666          (2) A pool administrator may be:
             1667          (a) a health insurer;
             1668          (b) a health maintenance organization;
             1669          (c) a third-party administrator; or
             1670          (d) any person or entity which has demonstrated ability to meet the criteria in


             1671      Subsection (1).
             1672          (3) (a) The pool administrator shall serve for a period of three years, with two one-year
             1673      extension options, subject to the terms, conditions, and limitations of the contract between the
             1674      board and the administrator.
             1675          (b) At least one year prior to the expiration of the contract between the board and the
             1676      pool administrator, the board shall invite all interested parties, including the current pool
             1677      administrator, to submit bids to serve as the pool administrator.
             1678          (c) Selection of the pool administrator for a succeeding period shall be made at least
             1679      six months prior to the expiration of the period of service under Subsection (3)(a).
             1680          (4) The pool administrator is responsible for all operational functions of the pool and
             1681      shall:
             1682          (a) have access to all nonpatient specific experience data, statistics, treatment criteria,
             1683      and guidelines compiled or adopted by the Medicaid program, the Public Employees Health
             1684      Plan, the Department of Health, or the Insurance Department, and which are not otherwise
             1685      declared by statute to be confidential;
             1686          (b) perform all marketing, eligibility, enrollment, member agreements, and
             1687      administrative claim payment functions relating to the pool;
             1688          (c) establish, administer, and operate a monthly premium billing procedure for
             1689      collection of premiums from enrollees;
             1690          (d) perform all necessary functions to assure timely payment of benefits to enrollees,
             1691      including:
             1692          (i) making information available relating to the proper manner of submitting a claim
             1693      for benefits to the pool administrator and distributing forms upon which submission shall be
             1694      made; and
             1695          (ii) evaluating the eligibility of each claim for payment by the pool;
             1696          (e) submit regular reports to the board regarding the operation of the pool, the
             1697      frequency, content, and form of which reports shall be determined by the board;
             1698          (f) following the close of each calendar year, determine net written and earned
             1699      premiums, the expense of administration, and the paid and incurred losses for the year and
             1700      submit a report of this information to the board, the commissioner, and the Division of Finance
             1701      on a form prescribed by the commissioner; and


             1702          (g) be paid as provided in the plan of operation for expenses incurred in the
             1703      performance of the pool administrator's services.
             1704          Section 38. Section 31A-29-111 is amended to read:
             1705           31A-29-111. Eligibility -- Limitations.
             1706          (1) (a) Except as provided in Subsection (1)(b), an individual who is not HIPAA
             1707      eligible is eligible for pool coverage if the individual:
             1708          (i) pays the established premium;
             1709          (ii) is a resident of this state; and
             1710          (iii) meets the health underwriting criteria under Subsection (5)(a).
             1711          (b) Notwithstanding Subsection (1)(a), an individual who is not HIPAA eligible is not
             1712      eligible for pool coverage if one or more of the following conditions apply:
             1713          (i) the individual is eligible for health care benefits under Medicaid or Medicare,
             1714      except as provided in Section 31A-29-112 ;
             1715          (ii) the individual has terminated coverage in the pool, unless:
             1716          (A) 12 months have elapsed since the termination date; or
             1717          (B) the individual demonstrates that creditable coverage has been involuntarily
             1718      terminated for any reason other than nonpayment of premium;
             1719          (iii) the pool has paid the maximum lifetime benefit to or on behalf of the individual;
             1720          (iv) the individual is an inmate of a public institution;
             1721          (v) the individual is eligible for a public health plan, as defined in federal regulations
             1722      adopted pursuant to 42 U.S.C. 300gg;
             1723          (vi) the individual's health condition does not meet the criteria established under
             1724      Subsection (5);
             1725          (vii) the individual is eligible for coverage under an employer group that offers a health
             1726      benefit plan or a self-insurance arrangement to its eligible employees, dependents, or members
             1727      as:
             1728          (A) an eligible employee;
             1729          (B) a dependent of an eligible employee; or
             1730          (C) a member;
             1731          (viii) the individual is covered under any other health benefit plan;
             1732          (ix) at the time of application, the individual has not resided in Utah for at least 12


             1733      consecutive months preceding the date of application; or
             1734          (x) the individual's employer pays any part of the individual's health benefit plan
             1735      premium, either as an insured or a dependent, for pool coverage.
             1736          (2) (a) Except as provided in Subsection (2)(b), an individual who is HIPAA eligible is
             1737      eligible for pool coverage if the individual:
             1738          (i) pays the established premium; and
             1739          (ii) is a resident of this state.
             1740          (b) Notwithstanding Subsection (2)(a), a HIPAA eligible individual is not eligible for
             1741      pool coverage if one or more of the following conditions apply:
             1742          (i) the individual is eligible for health care benefits under Medicaid or Medicare,
             1743      except as provided in Section 31A-29-112 ;
             1744          (ii) the individual is eligible for a public health plan, as defined in federal regulations
             1745      adopted pursuant to 42 U.S.C. 300gg;
             1746          (iii) the individual is covered under any other health benefit plan;
             1747          (iv) the individual is eligible for coverage under an employer group that offers a health
             1748      benefit plan or self-insurance arrangements to its eligible employees, dependents, or members
             1749      as:
             1750          (A) an eligible employee;
             1751          (B) a dependent of an eligible employee; or
             1752          (C) a member;
             1753          (v) the pool has paid the maximum lifetime benefit to or on behalf of the individual;
             1754          (vi) the individual is an inmate of a public institution; or
             1755          (vii) the individual's employer pays any part of the individual's health benefit plan
             1756      premium, either as an insured or a dependent, for pool coverage.
             1757          (3) (a) Notwithstanding Subsection (1)(b)(ix), if otherwise eligible under Subsection
             1758      (1)(a), an individual whose health care insurance coverage from a state high risk pool with
             1759      similar coverage is terminated because of nonresidency in another state is eligible for coverage
             1760      under the pool subject to the conditions of Subsections (1)(b)(i) through (viii).
             1761          (b) Coverage sought under Subsection (3)(a) shall be applied for within 63 days after
             1762      the termination date of the previous high risk pool coverage.
             1763          (c) The effective date of this state's pool coverage shall be the date of termination of


             1764      the previous high risk pool coverage.
             1765          (d) The waiting period of an individual with a preexisting condition applying for
             1766      coverage under this chapter shall be waived:
             1767          (i) to the extent to which the waiting period was satisfied under a similar plan from
             1768      another state; and
             1769          (ii) if the other state's benefit limitation was not reached.
             1770          (4) (a) If an eligible individual applies for pool coverage within 30 days of being
             1771      denied coverage by an individual carrier, the effective date for pool coverage shall be no later
             1772      than the first day of the month following the date of submission of the completed insurance
             1773      application to the carrier.
             1774          (b) Notwithstanding Subsection (4)(a), for individuals eligible for coverage under
             1775      Subsection (3), the effective date shall be the date of termination of the previous high risk pool
             1776      coverage.
             1777          (5) (a) The board shall establish and adjust, as necessary, health underwriting criteria
             1778      based on:
             1779          (i) health condition; and
             1780          (ii) expected claims so that the expected claims are anticipated to remain within
             1781      available funding.
             1782          (b) The board, with approval of the commissioner, may contract with one or more
             1783      providers under Title 63G, Chapter [6] 6a, Utah Procurement Code, to develop underwriting
             1784      criteria under Subsection (5)(a).
             1785          (c) If an individual is denied coverage by the pool under the criteria established in
             1786      Subsection (5)(a), the pool shall issue a certificate of insurability to the individual for coverage
             1787      under Subsection 31A-30-108 (3).
             1788          Section 39. Section 31A-33-104 is amended to read:
             1789           31A-33-104. Workers' Compensation Fund exempted.
             1790          (1) The Workers' Compensation Fund is exempt from the provisions of:
             1791          (a) Title 52, Chapter 4, Open and Public Meetings Act;
             1792          (b) Title 63G, Chapter 2, Government Records Access and Management Act; and
             1793          (c) Title 63A, Utah Administrative Services Code.
             1794          (2) The board may specifically exempt the Workers' Compensation Fund from any


             1795      provisions of:
             1796          (a) Title 67, Chapter 19, Utah State Personnel Management Act; and
             1797          (b) Title 63G, Chapter [6] 6a, Utah Procurement Code.
             1798          (3) The provisions of Title 63G, Chapter 4, Administrative Procedures Act, do not
             1799      govern the initial determination of any person's eligibility for benefits under Title 34A, Chapter
             1800      2, Workers' Compensation Act, and Title 34A, Chapter 3, Utah Occupational Disease Act.
             1801          Section 40. Section 31A-33-107 is amended to read:
             1802           31A-33-107. Duties of board -- Creation of subsidiaries -- Entering into joint
             1803      enterprises.
             1804          (1) The board shall:
             1805          (a) appoint a chief executive officer to administer the Workers' Compensation Fund;
             1806          (b) receive and act upon financial, management, and actuarial reports covering the
             1807      operations of the Workers' Compensation Fund;
             1808          (c) ensure that the Workers' Compensation Fund is administered according to law;
             1809          (d) examine and approve an annual operating budget for the Workers' Compensation
             1810      Fund;
             1811          (e) serve as investment trustees and fiduciaries of the Injury Fund;
             1812          (f) receive and act upon recommendations of the chief executive officer;
             1813          (g) develop broad policy for the long-term operation of the Workers' Compensation
             1814      Fund, consistent with its mission and fiduciary responsibility;
             1815          (h) subject to Chapter 19a, Part 4, Workers' Compensation Rates, approve any rating
             1816      plans that would modify a policyholder's premium;
             1817          (i) subject to Chapter 19a, Part 4, Workers' Compensation Rates, approve the amount
             1818      of deviation, if any, from standard insurance rates;
             1819          (j) approve the amount of the dividends, if any, to be returned to policyholders;
             1820          (k) adopt a procurement policy consistent with the provisions of Title 63G, Chapter [6]
             1821      6a, Utah Procurement Code;
             1822          (l) develop and publish an annual report to policyholders, the governor, the Legislature,
             1823      and interested parties that describes the financial condition of the Injury Fund, including a
             1824      statement of expenses and income and what measures were taken or will be necessary to keep
             1825      the Injury Fund actuarially sound;


             1826          (m) establish a fiscal year;
             1827          (n) determine and establish an actuarially sound price for insurance offered by the
             1828      fund;
             1829          (o) establish conflict of interest requirements that govern the board, officers, and
             1830      employees;
             1831          (p) establish compensation and reasonable expenses to be paid to directors on the board
             1832      subject to the requirements of Section 31A-33-106 , so that the board may not approve
             1833      compensation that exceeds the amount described in Subsection 31A-33-106 (18)(a)(i)(B); and
             1834          (q) perform all other acts necessary for the policymaking and oversight of the Workers'
             1835      Compensation Fund.
             1836          (2) Subject to board review and its responsibilities under Subsection (1)(e), the board
             1837      may delegate authority to make daily investment decisions.
             1838          (3) The fund may form or acquire a subsidiary or enter into a joint enterprise:
             1839          (a) only if that action is approved by the board; and
             1840          (b) subject to the limitations in Section 31A-33-103.5 .
             1841          Section 41. Section 34A-2-203 is amended to read:
             1842           34A-2-203. Payment of premiums for workers' compensation.
             1843          (1) Until June 30, 2007, a department, commission, board, or other agency of the state
             1844      shall pay the insurance premium on its employees direct to the Workers' Compensation Fund.
             1845          (2) Beginning July 1, 2007, the state shall secure the payment of workers'
             1846      compensation benefits for its employees:
             1847          (a) by:
             1848          (i) insuring, and keeping insured, the payment of this compensation with the Workers'
             1849      Compensation Fund;
             1850          (ii) insuring, and keeping insured, the payment of this compensation with any stock
             1851      corporation or mutual association authorized to transact the business of workers' compensation
             1852      insurance in this state; or
             1853          (iii) paying direct compensation as a self-insured employer in the amount, in the
             1854      manner, and when due as provided for in this chapter or Chapter 3, Utah Occupational Disease
             1855      Act;
             1856          (b) in accordance with Title 63A, Chapter 4, Risk Management; and


             1857          (c) subject to Subsection (3).
             1858          (3) (a) If the state determines to secure the payment of workers' compensation benefits
             1859      for its employees by paying direct compensation as a self-insured employer in the amount, in
             1860      the manner, and due as provided for in this chapter or Chapter 3, Utah Occupational Disease
             1861      Act, the state is:
             1862          (i) exempt from Section 34A-2-202.5 and Subsection 34A-2-704 (14); and
             1863          (ii) required to pay a premium assessment as provided in Section 34A-2-202 .
             1864          (b) If the state chooses to pay workers' compensation benefits for its employees
             1865      through insuring under Subsection (2)(a)(i) or (ii), the state shall obtain that insurance in
             1866      accordance with Title 63G, Chapter [6] 6a, Utah Procurement Code.
             1867          Section 42. Section 35A-5-202 is amended to read:
             1868           35A-5-202. Contracts with providers.
             1869          (1) In compliance with Title 63G, Chapter [6] 6a, Utah Procurement Code, the
             1870      department shall enter into a contract with one or more qualified providers to implement the
             1871      workforce improvement plan created under Section 35A-5-201 .
             1872          (2) A contract entered into under this section shall be:
             1873          (a) performance based; and
             1874          (b) structured so that the provider receives reimbursement based on:
             1875          (i) job development;
             1876          (ii) participant placement in jobs;
             1877          (iii) wages and benefits provided; and
             1878          (iv) participant retention in jobs over at least a 12-month period.
             1879          (3) If the department determines through the procurement process that there are no
             1880      qualified providers to implement the workforce improvement plan, the department may
             1881      implement the plan.
             1882          Section 43. Section 38-1-30 is amended to read:
             1883           38-1-30. Third party contract -- Designated agent.
             1884          (1) The division shall contract in accordance with Title 63G, Chapter [6] 6a, Utah
             1885      Procurement Code, with a third party to establish and maintain the database for the purposes
             1886      established under this section, Section 38-1-27 , and Sections 38-1-31 through 38-1-36 .
             1887          (2) (a) The third party under contract under this section is the division's designated


             1888      agent, and shall develop and maintain a database from the information provided by:
             1889          (i) local government entities issuing building permits;
             1890          (ii) original contractors;
             1891          (iii) subcontractors; and
             1892          (iv) other interested persons.
             1893          (b) The database shall accommodate filings by third parties on behalf of clients.
             1894          (c) The division and the designated agent shall design, develop, and test the database
             1895      for full implementation on May 1, 2005.
             1896          (3) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1897      division shall make rules and develop procedures for:
             1898          (a) the division to oversee and enforce this section, Section 38-1-27 , and Sections
             1899      38-1-31 through 38-1-36 ;
             1900          (b) the designated agent to administer this section, Section 38-1-27 , and Sections
             1901      38-1-31 through 38-1-36 ; and
             1902          (c) the form of submission of an alternate filing, which may include procedures for
             1903      rejecting an illegible or incomplete filing.
             1904          (4) (a) The designated agent shall archive computer data files at least semiannually for
             1905      auditing purposes.
             1906          (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1907      division shall make rules to allow the designated agent to periodically archive projects from the
             1908      database.
             1909          (c) A project shall be archived no earlier than:
             1910          (i) one year after the day on which a notice of completion is filed for a project;
             1911          (ii) if no notice of completion is filed, two years after the last filing activity for a
             1912      project; or
             1913          (iii) one year after the day on which a filing is cancelled under Subsection
             1914      38-1-32 (6)(c) or 38-1-33 (2)(c).
             1915          (d) The division may audit the designated agent's administration of the database as
             1916      often as the division considers necessary.
             1917          (5) The designated agent shall carry errors and omissions insurance in the amounts
             1918      established by rule made by the division in accordance with Title 63G, Chapter 3, Utah


             1919      Administrative Rulemaking Act.
             1920          (6) (a) The designated agent shall make reasonable efforts to assure the accurate entry
             1921      into the database of information provided in alternate filings.
             1922          (b) The designated agent shall meet or exceed standards established by the division for
             1923      the accuracy of data entry for alternate filings.
             1924          (7) The designated agent is not liable for the correctness of the information contained
             1925      in an alternate filing it enters into the database.
             1926          Section 44. Section 38-1-39 is amended to read:
             1927           38-1-39. Waiver or impairment of a lien right -- Forms -- Scope.
             1928          (1) As used in this section:
             1929          (a) "Check" means a payment instrument on a depository institution including:
             1930          (i) a check;
             1931          (ii) a draft;
             1932          (iii) an order; or
             1933          (iv) other instrument.
             1934          (b) "Depository institution" is as defined in Section 7-1-103 .
             1935          (c) "Lien claimant" means a person that claims a lien under this chapter.
             1936          (d) "Receives payment" means, in the case of a restrictive endorsement, a payee has
             1937      endorsed a check and the check is presented to and paid by the depository institution on which
             1938      it is drawn.
             1939          (2) Notwithstanding Section 38-1-29 , a written consent given by a lien claimant that
             1940      waives or limits the lien claimant's lien rights is enforceable only if the lien claimant:
             1941          (a) (i) executes a waiver and release that is signed by the lien claimant or the lien
             1942      claimant's authorized agent; or
             1943          (ii) for a restrictive endorsement on a check, includes a restrictive endorsement on a
             1944      check that is:
             1945          (A) signed by the lien claimant or the lien claimant's authorized agent; and
             1946          (B) in substantially the same form set forth in Subsection (4)(d); and
             1947          (b) receives payment of the amount identified in the waiver and release or check that
             1948      includes the restrictive endorsement:
             1949          (i) including payment by a joint payee check; and


             1950          (ii) for a progress payment, only to the extent of the payment.
             1951          (3) (a) Notwithstanding the language of a waiver and release described in Subsection
             1952      (2), Subsection (3)(b) applies if:
             1953          (i) the payment given in exchange for any waiver and release of lien is made by check;
             1954      and
             1955          (ii) the check fails to clear the depository institution on which it is drawn for any
             1956      reason.
             1957          (b) If the conditions of Subsection (3)(a) are met:
             1958          (i) the waiver and release described in Subsection (3)(a) is null, void, and of no legal
             1959      effect; and
             1960          (ii) the following will not be affected by the lien claimant's execution of the waiver and
             1961      release:
             1962          (A) any lien;
             1963          (B) any lien right;
             1964          (C) any bond right;
             1965          (D) any contract right; or
             1966          (E) any other right to recover payment afforded to the lien claimant in law or equity.
             1967          (4) (a) A waiver and release given by a lien claimant meets the requirements of this
             1968      section if it is in substantially the form provided in this Subsection (4) for the circumstance
             1969      provided in this Subsection (4).
             1970          (b) A waiver and release may be in substantially the following form if the lien claimant
             1971      is required to execute a waiver and release in exchange for or to induce the payment of a
             1972      progress billing:
             1973     
"UTAH CONDITIONAL WAIVER AND RELEASE UPON PROGRESS PAYMENT

             1974      Property Name: _____________________________________________________________
             1975      Property Location: ___________________________________________________________
             1976      Undersigned's Customer: _____________________________________________________
             1977      Invoice/Payment Application Number: __________________________________________
             1978      Payment Amount: ___________________________________________________________
             1979      Payment Period: ____________________________________________________________
             1980          To the extent provided below, this document becomes effective to release and the


             1981      undersigned is considered to waive any notice of lien or right under Utah Code Ann., Title 38,
             1982      Chapter 1, Mechanics' Liens, or any bond right under Utah Code Ann., Title 14, Contractors'
             1983      Bonds, or Section [ 63G-6-505 ] 63G-6a-1103 related to payment rights the undersigned has on
             1984      the above described Property once:
             1985          (1) the undersigned endorses a check in the above referenced Payment Amount payable
             1986      to the undersigned; and
             1987          (2) the check is paid by the depository institution on which it is drawn.
             1988          This waiver and release applies to a progress payment for the work, materials,
             1989      equipment, or a combination of work, materials, and equipment furnished by the undersigned
             1990      to the Property or to the Undersigned's Customer which are the subject of the Invoice or
             1991      Payment Application, but only to the extent of the Payment Amount. This waiver and release
             1992      does not apply to any retention withheld; any items, modifications, or changes pending
             1993      approval; disputed items and claims; or items furnished or invoiced after the Payment Period.
             1994          The undersigned warrants that the undersigned either has already paid or will use the
             1995      money the undersigned receives from this progress payment promptly to pay in full all the
             1996      undersigned's laborers, subcontractors, materialmen, and suppliers for all work, materials,
             1997      equipment, or combination of work, materials, and equipment that are the subject of this
             1998      waiver and release.
             1999      Dated: ________________________
             2000      ___________________________________________________________(Company Name)
             2001      _____________________________________________________By:__________________
             2002      _____________________________________________________Its:__________________"
             2003          (c) A waiver and release may be in substantially the following form if the lien claimant
             2004      is required to execute a waiver and release in exchange for or to induce the payment of a final
             2005      billing:
             2006     
"UTAH WAIVER AND RELEASE UPON FINAL PAYMENT

             2007      Property Name: ____________________________________________________________
             2008      Property Location: __________________________________________________________
             2009      Undersigned's Customer: _____________________________________________________
             2010      Invoice/Payment Application Number: __________________________________________
             2011      Payment Amount: ___________________________________________________________


             2012          To the extent provided below, this document becomes effective to release and the
             2013      undersigned is considered to waive any notice of lien or right under Utah Code Ann., Title 38,
             2014      Chapter 1, Mechanics' Liens, or any bond right under Utah Code Ann., Title 14, Contractors'
             2015      Bonds, or Section [ 63G-6-505 ] 63G-6a-1103 related to payment rights the undersigned has on
             2016      the above described Property once:
             2017          (1) the undersigned endorses a check in the above referenced Payment Amount payable
             2018      to the undersigned; and
             2019          (2) the check is paid by the depository institution on which it is drawn.
             2020          This waiver and release applies to the final payment for the work, materials, equipment,
             2021      or combination of work, materials, and equipment furnished by the undersigned to the Property
             2022      or to the Undersigned's Customer.
             2023          The undersigned warrants that the undersigned either has already paid or will use the
             2024      money the undersigned receives from the final payment promptly to pay in full all the
             2025      undersigned's laborers, subcontractors, materialmen, and suppliers for all work, materials,
             2026      equipment, or combination of work, materials, and equipment that are the subject of this
             2027      waiver and release.
             2028      Dated: ________________________
             2029      ___________________________________________________________(Company Name)
             2030      _____________________________________________________By:__________________
             2031      _____________________________________________________Its:__________________"
             2032          (d) A restrictive endorsement placed on a check to effectuate a waiver and release
             2033      described in this Subsection (4) meets the requirements of this section if it is in substantially
             2034      the following form:
             2035          "This check is a progress/ final payment for property described on this check sufficient
             2036      for identification. Endorsement of this check is an acknowledgment by the endorser that the
             2037      waiver and release to which the payment applies is effective to the extent provided in Utah
             2038      Code Ann. Subsection 38-1-39 (4)(b) or (c) respectively."
             2039          (e) (i) If using a restrictive endorsement under Subsection (4)(d), the person preparing
             2040      the check shall indicate whether the check is for a progress payment or a final payment by
             2041      circling the word "progress" if the check is for a progress payment, or the word "final" if the
             2042      check is for a final payment.


             2043          (ii) If a restrictive endorsement does not indicate whether the check is for a progress
             2044      payment or a final payment, it is considered to be for a progress payment.
             2045          (5) (a) If the conditions of Subsection (5)(b) are met, this section does not affect the
             2046      enforcement of:
             2047          (i) an accord and satisfaction regarding a bona fide dispute; or
             2048          (ii) an agreement made in settlement of an action pending in any court or arbitration.
             2049          (b) Pursuant to Subsection (5)(a), this section does not affect enforcement of an accord
             2050      and satisfaction or settlement described in Subsection (5)(a) if the accord and satisfaction or
             2051      settlement:
             2052          (i) is in a writing signed by the lien claimant; and
             2053          (ii) specifically references the lien rights waived or impaired.
             2054          Section 45. Section 41-12a-803 is amended to read:
             2055           41-12a-803. Program creation -- Administration -- Selection of designated agent
             2056      -- Duties -- Rulemaking -- Audits.
             2057          (1) There is created the Uninsured Motorist Identification Database Program to:
             2058          (a) establish an Uninsured Motorist Identification Database to verify compliance with
             2059      motor vehicle owner's or operator's security requirements under Section 41-12a-301 and other
             2060      provisions under this part;
             2061          (b) assist in reducing the number of uninsured motor vehicles on the highways of the
             2062      state;
             2063          (c) assist in increasing compliance with motor vehicle registration and sales and use tax
             2064      laws;
             2065          (d) assist in protecting a financial institution's bona fide security interest in a motor
             2066      vehicle; and
             2067          (e) assist in the identification and prevention of identity theft and other crimes.
             2068          (2) The program shall be administered by the department with the assistance of the
             2069      designated agent and the Motor Vehicle Division.
             2070          (3) (a) The department shall contract in accordance with Title 63G, Chapter [6] 6a,
             2071      Utah Procurement Code, with a third party to establish and maintain an Uninsured Motorist
             2072      Identification Database for the purposes established under this part.
             2073          (b) The contract may not obligate the department to pay the third party more money


             2074      than is available in the account.
             2075          (4) (a) The third party under contract under this section is the department's designated
             2076      agent, and shall develop and maintain a computer database from the information provided by:
             2077          (i) insurers under Section 31A-22-315 ;
             2078          (ii) the division under Subsection (6); and
             2079          (iii) the Motor Vehicle Division under Section 41-1a-120 .
             2080          (b) (i) The database shall be developed and maintained in accordance with guidelines
             2081      established by the department so that state and local law enforcement agencies and financial
             2082      institutions as defined in Section 7-1-103 can efficiently access the records of the database,
             2083      including reports useful for the implementation of the provisions of this part.
             2084          (ii) (A) The reports shall be in a form and contain information approved by the
             2085      department.
             2086          (B) The reports may be made available through the Internet or through other electronic
             2087      medium, if the department determines that sufficient security is provided to ensure compliance
             2088      with Section 41-12a-805 regarding limitations on disclosure of information in the database.
             2089          (5) With information provided by the department and the Motor Vehicle Division, the
             2090      designated agent shall, at least monthly for submissions under Subsection 31A-22-315 (2)(b) or
             2091      at least twice a month for submissions under Subsection 31A-22-315 (2)(a):
             2092          (a) update the database with the motor vehicle insurance information provided by the
             2093      insurers in accordance with Section 31A-22-315 ; and
             2094          (b) compare all current motor vehicle registrations against the database.
             2095          (6) The division shall provide the designated agent with the name, date of birth,
             2096      address, and driver license number of all persons on the driver license database.
             2097          (7) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             2098      department shall make rules and develop procedures in cooperation with the Motor Vehicle
             2099      Division to use the database for the purpose of administering and enforcing this part.
             2100          (8) (a) The designated agent shall archive computer data files at least semi-annually for
             2101      auditing purposes.
             2102          (b) The internal audit unit of the tax commission provided under Section 59-1-206
             2103      shall audit the program at least every three years.
             2104          (c) The audit under Subsection (8)(b) shall include verification of:


             2105          (i) billings made by the designated agent; and
             2106          (ii) the accuracy of the designated agent's matching of vehicle registration with
             2107      insurance data.
             2108          Section 46. Section 53-2-404 is amended to read:
             2109           53-2-404. State costs for emergency disaster services.
             2110          (1) Subject to this section and Section 53-2-403 , the division shall expend or commit to
             2111      expend money described in Subsection 53-2-403 (1)(d)(i) to fund costs to the state of
             2112      emergency disaster services.
             2113          (2) Money paid by the division under this section to government entities and private
             2114      persons providing emergency disaster services are subject to Title 63G, Chapter [6] 6a, Utah
             2115      Procurement Code.
             2116          Section 47. Section 53A-1-706 is amended to read:
             2117           53A-1-706. Purchases of educational technology.
             2118          (1) (a) A school district or college of education shall comply with Title 63G, Chapter
             2119      [6] 6a, Utah Procurement Code, in purchasing technology, except as otherwise provided in
             2120      Subsection (1)(b).
             2121          (b) A school district may purchase computers from, and contract for the repair or
             2122      refurbishing of computers with, the Utah Correctional Industries without going through the
             2123      bidding or competition procedures outlined in Title 63G, Chapter [6, Part 4, Source Selections
             2124      and Contract Formation] 6a, Utah Procurement Code.
             2125          (2) A school district or college of education may purchase technology through
             2126      cooperative purchasing contracts administered by the state Division of Purchasing or through
             2127      its own established purchasing program.
             2128          Section 48. Section 53A-1a-511 is amended to read:
             2129           53A-1a-511. Waivers from state board rules -- Application of statutes and rules
             2130      to charter schools.
             2131          (1) A charter school shall operate in accordance with its charter and is subject to Title
             2132      53A, State System of Public Education, and other state laws applicable to public schools,
             2133      except as otherwise provided in this part.
             2134          (2) (a) A charter school or any other public school or school district may apply to the
             2135      State Board of Education for a waiver of any state board rule that inhibits or hinders the school


             2136      or the school district from accomplishing its mission or educational goals set out in its strategic
             2137      plan or charter.
             2138          (b) The state board may grant the waiver, unless:
             2139          (i) the waiver would cause the school district or the school to be in violation of state or
             2140      federal law; or
             2141          (ii) the waiver would threaten the health, safety, or welfare of students in the district or
             2142      at the school.
             2143          (c) If the State Board of Education denies the waiver, the reason for the denial shall be
             2144      provided in writing to the waiver applicant.
             2145          (3) (a) Except as provided in Subsection (3)(b), State Board of Education rules
             2146      governing the following do not apply to a charter school:
             2147          (i) school libraries;
             2148          (ii) required school administrative and supervisory services; and
             2149          (iii) required expenditures for instructional supplies.
             2150          (b) A charter school shall comply with rules implementing statutes that prescribe how
             2151      state appropriations may be spent.
             2152          (4) The following provisions of Title 53A, State System of Public Education, and rules
             2153      adopted under those provisions, do not apply to a charter school:
             2154          (a) Sections 53A-1a-108 and 53A-1a-108.5 , requiring the establishment of a school
             2155      community council and school improvement plan;
             2156          (b) Sections 53A-3-413 and 53A-3-414 , pertaining to the use of school buildings as
             2157      civic centers;
             2158          (c) Section 53A-3-420 , requiring the use of activity disclosure statements;
             2159          (d) Section 53A-12-207 , requiring notification of intent to dispose of textbooks;
             2160          (e) Section 53A-13-107 , requiring annual presentations on adoption;
             2161          (f) Chapter 19, Part 1, Fiscal Procedures, pertaining to fiscal procedures of school
             2162      districts and local school boards; and
             2163          (g) Section 53A-14-107 , requiring an independent evaluation of instructional materials.
             2164          (5) For the purposes of Title 63G, Chapter [6] 6a, Utah Procurement Code, a charter
             2165      school shall be considered a local public procurement unit.
             2166          (6) Each charter school shall be subject to:


             2167          (a) Title 52, Chapter 4, Open and Public Meetings Act; and
             2168          (b) Title 63G, Chapter 2, Government Records Access and Management Act.
             2169          (7) (a) The State Charter School Board shall, in concert with the charter schools, study
             2170      existing state law and administrative rules for the purpose of determining from which laws and
             2171      rules charter schools should be exempt.
             2172          (b) (i) The State Charter School Board shall present recommendations for exemption to
             2173      the State Board of Education for consideration.
             2174          (ii) The State Board of Education shall consider the recommendations of the State
             2175      Charter School Board and respond within 60 days.
             2176          Section 49. Section 53A-20-101 is amended to read:
             2177           53A-20-101. Construction and alteration of schools and plants -- Advertising for
             2178      bids -- Payment and performance bonds -- Contracts -- Bidding limitations on local
             2179      school boards -- Interest of local school board members.
             2180          (1) As used in this section, the word "sealed" does not preclude acceptance of
             2181      electronically sealed and submitted bids or proposals in addition to bids or proposals manually
             2182      sealed and submitted.
             2183          (2) (a) Prior to the construction of any school or the alteration of any existing school
             2184      plant, if the total estimated accumulative building project cost exceeds $80,000, a local school
             2185      board shall advertise for bids on the project at least 10 days before the bid due date.
             2186          (b) The board shall have the advertisement published in a newspaper having general
             2187      circulation throughout the state and in appropriate construction trade publications that offer
             2188      free listings.
             2189          (c) A similar advertisement is required in a newspaper published or having general
             2190      circulation in any city or county that would be affected by the proposed project.
             2191          (d) The advertisement shall:
             2192          (i) require sealed proposals for the building project in accordance with plans and
             2193      specifications furnished by the local school board;
             2194          (ii) state where and when the proposals will be opened and shall reserve the right of the
             2195      board to reject any and all proposals; and
             2196          (iii) require a certified check or bid bond of not less than 5% of the bid to accompany
             2197      the bid.


             2198          (3) (a) The board shall meet at the time and place specified in the advertisement and
             2199      publicly open and read all received proposals.
             2200          (b) If satisfactory bids are received, the board shall award the contract to the lowest
             2201      responsible bidder.
             2202          (c) If none of the proposals are satisfactory, all shall be rejected.
             2203          (d) The board shall again advertise in the manner provided in this section.
             2204          (e) If, after advertising a second time no satisfactory bid is received, the board may
             2205      proceed under its own direction with the required project.
             2206          (4) (a) The check or bond required under Subsection (2)(d) shall be drawn in favor of
             2207      the local school board.
             2208          (b) If the successful bidder fails or refuses to enter into the contract and furnish the
             2209      additional bonds required under this section, then the bidder's check or bond is forfeited to the
             2210      district.
             2211          (5) A local school board shall require payment and performance bonds of the
             2212      successful bidder as required in Section [ 63G-6-505 ] 63G-6a-1103 .
             2213          (6) (a) A local school board may require in the proposed contract that at least 10% of
             2214      the contract price be withheld until the project is completed and accepted by the board.
             2215          (b) If money is withheld, the board shall place it in an interest bearing account, and the
             2216      interest accrues for the benefit of the contractor and subcontractors.
             2217          (c) This money shall be paid upon completion of the project and acceptance by the
             2218      board.
             2219          (7) (a) A local school board may not bid on projects within the district if the total
             2220      accumulative estimated cost exceeds $80,000.
             2221          (b) The board may use its resources if no satisfactory bids are received under this
             2222      section.
             2223          (8) If the local school board determines in accordance with Section [ 63G-6-501 ]
             2224      63G-6a-1302 to use a construction manager/general contractor as its method of construction
             2225      contracting management on projects where the total estimated accumulative cost exceeds
             2226      $80,000, it shall select the construction manager/general contractor [using one of the source
             2227      selection methods provided for in Sections 63G-6-401 through 63G-6-501 ] in accordance with
             2228      the requirements of Title 63G, Chapter 6a, Utah Procurement Code.


             2229          (9) A local school board member may not have a direct or indirect financial interest in
             2230      the construction project contract.
             2231          Section 50. Section 53A-25b-105 is amended to read:
             2232           53A-25b-105. Applicability of statutes to the Utah Schools for the Deaf and the
             2233      Blind.
             2234          (1) The Utah Schools for the Deaf and the Blind is subject to Title 53A, State System
             2235      of Public Education, and other state laws applicable to public schools, except as otherwise
             2236      provided by this chapter.
             2237          (2) The following provisions of Title 53A, State System of Public Education, do not
             2238      apply to the Utah Schools for the Deaf and the Blind:
             2239          (a) provisions governing the budgets, funding, or finances of school districts or charter
             2240      schools; and
             2241          (b) provisions governing school construction.
             2242          (3) Except as provided in this chapter, the Utah Schools for the Deaf and the Blind is
             2243      subject to state laws governing state agencies, including:
             2244          (a) Title 51, Chapter 5, Funds Consolidation Act;
             2245          (b) Title 51, Chapter 7, State Money Management Act;
             2246          (c) Title 52, Chapter 4, Open and Public Meetings Act;
             2247          (d) Title 63A, Utah Administrative Services Code;
             2248          (e) Title 63G, Chapter 2, Government Records Access and Management Act;
             2249          (f) Title 63G, Chapter 4, Administrative Procedures Act;
             2250          (g) Title 63G, Chapter [6] 6a, Utah Procurement Code;
             2251          (h) Title 63J, Chapter 1, Budgetary Procedures Act;
             2252          (i) Title 63J, Chapter 2, Revenue Procedures and Control Act; and
             2253          (j) Title 67, Chapter 19, Utah State Personnel Management Act.
             2254          Section 51. Section 53C-1-201 (Effective 07/01/12) is amended to read:
             2255           53C-1-201 (Effective 07/01/12). Creation of administration -- Purpose -- Director.
             2256          (1) (a) There is established within state government the School and Institutional Trust
             2257      Lands Administration.
             2258          (b) The administration shall manage all school and institutional trust lands and assets
             2259      within the state, except as otherwise provided in Title 53C, Chapter 3, Deposit and Allocation


             2260      of Revenue from Trust Lands, and Sections 51-7a-201 and 51-7a-202 .
             2261          (2) The administration is an independent state agency and not a division of any other
             2262      department.
             2263          (3) (a) It is subject to the usual legislative and executive department controls except as
             2264      provided in this Subsection (3).
             2265          (b) (i) The director may make rules as approved by the board that allow the
             2266      administration to classify a business proposal submitted to the administration as protected
             2267      under Section 63G-2-305 , for as long as is necessary to evaluate the proposal.
             2268          (ii) The administration shall return the proposal to the party who submitted the
             2269      proposal, and incur no further duties under Title 63G, Chapter 2, Government Records Access
             2270      and Management Act, if the administration determines not to proceed with the proposal.
             2271          (iii) The administration shall classify the proposal pursuant to law if it decides to
             2272      proceed with the proposal.
             2273          (iv) Section 63G-2-403 does not apply during the review period.
             2274          (c) The director shall make rules in compliance with Title 63G, Chapter 3, Utah
             2275      Administrative Rulemaking Act, except that the administration is not subject to Subsections
             2276      63G-3-301 (6) and (7) and Section 63G-3-601 , and the director, with the board's approval, may
             2277      establish a procedure for the expedited approval of rules, based on written findings by the
             2278      director showing:
             2279          (i) the changes in business opportunities affecting the assets of the trust;
             2280          (ii) the specific business opportunity arising out of those changes which may be lost
             2281      without the rule or changes to the rule;
             2282          (iii) the reasons the normal procedures under Section 63G-3-301 cannot be met without
             2283      causing the loss of the specific opportunity;
             2284          (iv) approval by at least five board members; and
             2285          (v) that the director has filed a copy of the rule and a rule analysis, stating the specific
             2286      reasons and justifications for its findings, with the Division of Administrative Rules and
             2287      notified interested parties as provided in Subsection 63G-3-301 (10).
             2288          (d) (i) The administration shall comply with Title 67, Chapter 19, Utah State Personnel
             2289      Management Act, except as provided in this Subsection (3)(d).
             2290          (ii) The board may approve, upon recommendation of the director, that exemption for


             2291      specific positions under Subsections 67-19-12 (2) and 67-19-15 (1) is required in order to enable
             2292      the administration to efficiently fulfill its responsibilities under the law. The director shall
             2293      consult with the executive director of the Department of Human Resource Management prior
             2294      to making such a recommendation.
             2295          (iii) The positions of director, deputy director, associate director, assistant director,
             2296      legal counsel appointed under Section 53C-1-305 , administrative assistant, and public affairs
             2297      officer are exempt under Subsections 67-19-12 (2) and 67-19-15 (1).
             2298          (iv) Salaries for exempted positions, except for the director, shall be set by the director,
             2299      after consultation with the executive director of the Department of Human Resource
             2300      Management, within ranges approved by the board. The board and director shall consider
             2301      salaries for similar positions in private enterprise and other public employment when setting
             2302      salary ranges.
             2303          (v) The board may create an annual incentive and bonus plan for the director and other
             2304      administration employees designated by the board, based upon the attainment of financial
             2305      performance goals and other measurable criteria defined and budgeted in advance by the board.
             2306          (e) The administration shall comply with Title 63G, Chapter [6] 6a, Utah Procurement
             2307      Code, except where the board approves, upon recommendation of the director, exemption from
             2308      the Utah Procurement Code, and simultaneous adoption of rules under Title 63G, Chapter 3,
             2309      Utah Administrative Rulemaking Act, for procurement, which enable the administration to
             2310      efficiently fulfill its responsibilities under the law.
             2311          (f) (i) Except as provided in Subsection (3)(f)(ii), the administration is not subject to
             2312      the fee agency requirements of Section 63J-1-504 .
             2313          (ii) The following fees of the administration are subject to the requirements of Section
             2314      63J-1-504 : application, assignment, amendment, affidavit for lost documents, name change,
             2315      reinstatement, grazing nonuse, extension of time, partial conveyance, patent reissue, collateral
             2316      assignment, electronic payment, and processing.
             2317          (4) The administration is managed by a director of school and institutional trust lands
             2318      appointed by a majority vote of the board of trustees with the consent of the governor.
             2319          (5) (a) The board of trustees shall provide policies for the management of the
             2320      administration and for the management of trust lands and assets.
             2321          (b) The board shall provide policies for the ownership and control of Native American


             2322      remains that are discovered or excavated on school and institutional trust lands in consultation
             2323      with the Division of Indian Affairs and giving due consideration to Title 9, Chapter 9, Part 4,
             2324      Native American Grave Protection and Repatriation Act. The director may make rules in
             2325      accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, to implement
             2326      policies provided by the board regarding Native American remains.
             2327          (6) In connection with joint ventures and other transactions involving trust lands and
             2328      minerals approved under Sections 53C-1-303 and 53C-2-401 , the administration, with board
             2329      approval, may become a member of a limited liability company under Title 48, Chapter 3, Utah
             2330      Revised Uniform Limited Liability Company Act, and is considered a person under Section
             2331      48-3-102 .
             2332          Section 52. Section 54-3-29 is amended to read:
             2333           54-3-29. Removal, relocation, or alteration of utility facility in public highway
             2334      construction or reconstruction -- Notice -- Cooperation.
             2335          (1) As used in this section:
             2336          (a) "Design-build" means a design-build transportation project for which a design-build
             2337      transportation project contract is issued, within the meaning of Section [ 63G-6-502 ]
             2338      63G-6a-1402 .
             2339          (b) "Municipality" is as defined in Section 10-1-104 .
             2340          (c) "Political subdivision" means a:
             2341          (i) county; or
             2342          (ii) municipality.
             2343          (d) "Public agency" means an entity of state government or a political subdivision.
             2344          (e) "Public highway" means a highway, street, road, or alley constructed for public use
             2345      in the state.
             2346          (f) "Utility company" means a privately, cooperatively, or publicly owned utility,
             2347      including a utility owned by a political subdivision, that provides service using a utility facility.
             2348          (g) "Utility facility" means:
             2349          (i) a telecommunications, gas, electricity, cable television, water, sewer, or data
             2350      facility;
             2351          (ii) a video transmission line;
             2352          (iii) a drainage and irrigation system; or


             2353          (iv) a facility similar to those listed in Subsections (1)(g)(i) through (iii) located in, on,
             2354      along, across, over, through, or under any public highway.
             2355          (2) If a public agency engages in or proposes to engage in a construction or
             2356      reconstruction project on a public highway that may require the removal, relocation, or
             2357      alteration of a utility facility, the public agency shall:
             2358          (a) contact an association, established under Title 54, Chapter 8a, Damage to
             2359      Underground Utility Facilities, to identify each utility company that may have a utility facility
             2360      in the area of the construction or reconstruction project;
             2361          (b) identify a utility company that has an above-ground utility facility in the area of the
             2362      proposed construction or reconstruction project; and
             2363          (c) electronically notify each utility company identified in accordance with Subsections
             2364      (2)(a) and (b).
             2365          (3) The notice required by Subsection (2)(c) shall:
             2366          (a) be made as early as practicable and at least 30 days:
             2367          (i) before the preliminary design or project development meeting;
             2368          (ii) before issuance of a request for proposal for a design-build project; or
             2369          (iii) after a change in scope of a design-build project;
             2370          (b) include:
             2371          (i) information concerning the proposed project design;
             2372          (ii) the proposed date of a required removal, relocation, or alteration of a utility facility;
             2373          (iii) the federal identifying project number, if applicable; and
             2374          (c) advise the utility company if the proposed project may qualify for aid for the utility
             2375      company's expense in removing, relocating, or altering a utility facility.
             2376          (4) A public agency shall permit a utility company notified under Subsection (2) to
             2377      participate in the preliminary design or project development meeting, or similar meeting at
             2378      which the project design is addressed.
             2379          (5) (a) A public agency shall, not less than 30 days after providing notice under
             2380      Subsection (2) to each utility company, provide the utility company an opportunity to meet
             2381      with the public agency to allow the utility company to:
             2382          (i) review project plans;
             2383          (ii) understand the objectives and funding sources for the proposed project;


             2384          (iii) provide and discuss recommendations to the public agency that may reasonably
             2385      eliminate or minimize utility removal, relocation, or alteration costs, limit the disruption of
             2386      utility company services, or eliminate or reduce the need for present or future utility facility
             2387      removal, relocation, or alteration; and
             2388          (iv) provide reasonable schedules to enable coordination of the construction project
             2389      and removal, relocation, or alteration of a utility facility.
             2390          (b) If a public agency provides a utility company with reasonable opportunities to meet
             2391      in accordance with Subsection (5)(a), the utility company's failure to meet does not affect the
             2392      public agency's ability to proceed with the project.
             2393          (6) While recognizing the essential goals and objectives of the public highway agency
             2394      in proceeding with and completing a project, the parties shall use their best efforts to find ways
             2395      to:
             2396          (a) eliminate the cost to the utility of relocation of the utility facilities; or
             2397          (b) if elimination of the costs is not feasible, minimize the relocation costs to the extent
             2398      reasonably possible.
             2399          (7) A utility company notified under Subsection (2) shall coordinate with the public
             2400      agency concerning the utility facility removal, relocation, or alteration, including the
             2401      scheduling of the utility facility removal, relocation, or alteration.
             2402          (8) A public agency and a utility company may address the removal, relocation, or
             2403      alteration of a utility facility in relation to a construction or reconstruction project on a public
             2404      highway in a franchise agreement in lieu of this section, if the public agency is otherwise
             2405      permitted to enter into the franchise agreement.
             2406          (9) This chapter does not affect a public agency's authority over a public right-of-way,
             2407      including any rule, ordinance, order to relocate a utility as provided in Section 72-6-116 , or
             2408      other valid provision governing the use of the public right-of-way.
             2409          Section 53. Section 54-8b-10 is amended to read:
             2410           54-8b-10. Imposing a surcharge to provide hearing and speech impaired persons
             2411      with telecommunication devices -- Definitions -- Procedures for establishing program --
             2412      Surcharge -- Administration and disposition of surcharge money.
             2413          (1) As used in this section:
             2414          (a) "Certified deaf or severely hearing or speech impaired person" means any state


             2415      resident who:
             2416          (i) is so certified by:
             2417          (A) a licensed physician;
             2418          (B) an otolaryngologist;
             2419          (C) a speech language pathologist;
             2420          (D) an audiologist; or
             2421          (E) a qualified state agency; and
             2422          (ii) qualifies for assistance under any low income public assistance program
             2423      administered by a state agency.
             2424          (b) "Certified interpreter" means a person who is a certified interpreter under Title
             2425      53A, Chapter 26a, Interpreter Services for the Hearing Impaired Act.
             2426          (c) (i) "Telecommunication device" means any mechanical adaptation device that
             2427      enables a deaf or severely hearing or speech impaired person to use the telephone.
             2428          (ii) "Telecommunication device" includes:
             2429          (A) telecommunication devices for the deaf (TDD);
             2430          (B) telephone amplifiers;
             2431          (C) telephone signal devices;
             2432          (D) artificial larynxes; and
             2433          (E) adaptive equipment for TDD keyboard access.
             2434          (2) The commission shall hold hearings to establish a program whereby a certified deaf
             2435      or severely hearing or speech impaired customer of a telecommunications corporation that
             2436      provides service through a local exchange or of a wireless telecommunications provider may
             2437      obtain a telecommunication device capable of serving the customer at no charge to the
             2438      customer beyond the rate for basic service.
             2439          (3) (a) The program described in Subsection (2) shall provide a dual party relay system
             2440      using third party intervention to connect a certified deaf or severely hearing or speech impaired
             2441      person with a normal hearing person by way of telecommunication devices designed for that
             2442      purpose.
             2443          (b) The commission may, by rule, establish the type of telecommunications device to
             2444      be provided to ensure functional equivalence.
             2445          (4) (a) The commission shall impose a surcharge on each residential and business


             2446      access line of each customer of local-exchange telephone service in this state, and each
             2447      residential and business telephone number of each customer of mobile telephone service in this
             2448      state, not including a telephone number used exclusively to transfer data to and from a mobile
             2449      device, which shall be collected by the telecommunications corporation providing public
             2450      telecommunications service to the customer, to cover the costs of:
             2451          (i) the program described in Subsection (2); and
             2452          (ii) payments made under Subsection (5).
             2453          (b) The commission shall establish by rule the amount to be charged under this section,
             2454      provided that:
             2455          (i) the surcharge does not exceed 20 cents per month for each residential and business
             2456      access line for local-exchange telephone service, and for each residential and business
             2457      telephone number for mobile telephone service, not including a telephone number used
             2458      exclusively to transfer data to and from a mobile device; and
             2459          (ii) if the surcharge is related to a mobile telecommunications service, the surcharge
             2460      may be imposed, billed, and collected only to the extent permitted by the Mobile
             2461      Telecommunications Sourcing Act, 4 U.S.C. Sec. 116 et seq.
             2462          (c) The telecommunications corporation shall collect the surcharge from its customers
             2463      and transfer the money collected to the commission under rules adopted by the commission.
             2464          (d) The surcharge shall be separately identified on each bill to a customer.
             2465          (5) (a) Money collected from the surcharge imposed under Subsection (4) shall be
             2466      deposited in the state treasury as dedicated credits to be administered as determined by the
             2467      commission.
             2468          (b) These dedicated credits may be used only:
             2469          (i) for the purchase, maintenance, repair, and distribution of telecommunication
             2470      devices;
             2471          (ii) for the acquisition, operation, maintenance, and repair of a dual party relay system;
             2472          (iii) to reimburse telephone corporations for the expenses incurred in collecting and
             2473      transferring to the commission the surcharge imposed by the commission;
             2474          (iv) for the general administration of the program;
             2475          (v) to train persons in the use of telecommunications devices; and
             2476          (vi) by the commission to contract, in compliance with Title 63G, Chapter [6] 6a, Utah


             2477      Procurement Code, with:
             2478          (A) an institution within the state system of higher education listed in Section
             2479      53B-1-102 for a program approved by the Board of Regents that trains persons to qualify as
             2480      certified interpreters; or
             2481          (B) the Division of Services to the Deaf and Hard of Hearing for a program that trains
             2482      persons to qualify as certified interpreters.
             2483          (c) (i) The commission shall make rules under Title 63G, Chapter 3, Utah
             2484      Administrative Rulemaking Act, for the administration of money under Subsection (5)(b)(vi).
             2485          (ii) In the initial rulemaking to determine the administration of money under
             2486      Subsection (5)(b)(vi), the commission shall give notice and hold a public hearing.
             2487          (d) Money received by the commission under Subsection (4) is nonlapsing.
             2488          (6) (a) The telephone surcharge need not be collected by a telecommunications
             2489      corporation if the amount collected would be less than the actual administrative costs of the
             2490      collection.
             2491          (b) If Subsection (6)(a) applies, the telecommunications corporation shall submit to the
             2492      commission, in lieu of the revenue from the surcharge collection, a breakdown of the
             2493      anticipated costs and the expected revenue from the collection, showing that the costs exceed
             2494      the revenue.
             2495          (7) The commission shall solicit the advice, counsel, and physical assistance of
             2496      severely hearing or speech impaired persons and the organizations serving them in the design
             2497      and implementation of the program.
             2498          Section 54. Section 62A-1-108.5 is amended to read:
             2499           62A-1-108.5. Mental illness and intellectual disability examinations --
             2500      Responsibilities of the department.
             2501          (1) In accomplishing its duties to conduct mental illness and intellectual disability
             2502      examinations under Title 77, Utah Code of Criminal Procedure, the department shall proceed
             2503      as outlined in this section and within appropriations authorized by the Legislature. The
             2504      executive director may delegate the executive director's responsibilities under this section to
             2505      one or more divisions within the department.
             2506          (2) When the department is ordered by the court to conduct a mental illness or
             2507      intellectual disability examination, the executive director shall:


             2508          (a) direct that the examination be performed at the Utah State Hospital; or
             2509          (b) designate at least one examiner, selected under Subsection (3), to examine the
             2510      defendant in the defendant's current custody or status.
             2511          (3) The department shall establish criteria, in consultation with the Commission on
             2512      Criminal and Juvenile Justice, and shall contract with persons or organizations to conduct
             2513      mental illness and intellectual disability examinations under Subsection (2)(b). In making this
             2514      selection, the department shall follow the provisions of Title 63G, Chapter [6] 6a, Utah
             2515      Procurement Code.
             2516          (4) Nothing in this section prohibits the executive director, at the request of defense
             2517      counsel or a prosecuting attorney in a criminal proceeding under Title 77, Utah Code of
             2518      Criminal Procedure, and for good cause shown, from proposing a person who has not been
             2519      previously selected under Subsection (3) to contract with the department to conduct the
             2520      examination. In selecting that person, the criteria of the department established under
             2521      Subsection (3) and the provisions of Title 63G, Chapter [6] 6a, Utah Procurement Code, shall
             2522      be met.
             2523          Section 55. Section 62A-3-104 is amended to read:
             2524           62A-3-104. Authority of division.
             2525          (1) The division is the sole state agency, as defined by the Older Americans Act of
             2526      1965, 42 U.S.C. 3001 et seq., to:
             2527          (a) serve as an effective and visible advocate for the aging and adult population of this
             2528      state;
             2529          (b) develop and administer a state plan under the policy direction of the board; and
             2530          (c) take primary responsibility for state activities relating to provisions of the Older
             2531      Americans Act of 1965, as amended.
             2532          (2) (a) The division has authority to designate:
             2533          (i) planning and service areas for the state; and
             2534          (ii) an area agency on aging within each planning and service area to design and
             2535      implement a comprehensive and coordinated system of services and programs for the aged
             2536      within appropriations from the Legislature.
             2537          (b) Designation as an area agency on aging may be withdrawn:
             2538          (i) upon request of the area agency on aging; or


             2539          (ii) upon noncompliance with the provisions of the:
             2540          (A) Older Americans Act of 1965, 42 U.S.C. 3001 et seq.;
             2541          (B) federal regulations enacted under the Older Americans Act of 1965, 42 U.S.C.
             2542      3001 et seq.;
             2543          (C) provisions of this chapter; or
             2544          (D) rules, policies, or procedures established by the division.
             2545          (3) (a) The division has the authority to designate:
             2546          (i) planning and service areas for the state; and
             2547          (ii) subject to Subsection (3)(b), an area agency on high risk adults within each
             2548      planning and service area to design and implement a comprehensive and coordinated system of
             2549      case management and programs for high risk adults within appropriations from the Legislature.
             2550          (b) For purposes of Subsection (3)(a)(ii), before October 1, 1998, the division shall
             2551      designate as the area agency on high risk adults in a planning and service area:
             2552          (i) the area agency on aging that operates within the same geographic area if that
             2553      agency requests, before July 1, 1998, to expand that agency's current contract with the division
             2554      to include the responsibility of:
             2555          (A) being the area agency on high risk adults; or
             2556          (B) operating the area agency on high risk adults:
             2557          (I) through joint cooperation with one or more existing area agencies on aging; and
             2558          (II) without reducing geographical coverage in any service area; or
             2559          (ii) a public or private nonprofit agency or office if the area agency on aging that
             2560      operates within the same geographic area has not made a request in accordance with Subsection
             2561      (3)(b)(i).
             2562          (c) (i) Area agencies on high risk adults shall be in operation before July 1, 1999.
             2563          (ii) The division's efforts to establish area agencies on high risk adults shall start with
             2564      counties with a population of more than 150,000 people.
             2565          (d) Designation as an area agency on high risk adults may be withdrawn:
             2566          (i) upon request by the area agency; or
             2567          (ii) upon noncompliance with:
             2568          (A) state law;
             2569          (B) federal law; or


             2570          (C) rules, policies, or procedures established by the division.
             2571          (4) (a) The division may, by following the procedures and requirements of Title 63J,
             2572      Chapter 5, Federal Funds Procedures:
             2573          (i) seek federal grants, loans, or participation in federal programs; and
             2574          (ii) receive and distribute state and federal funds for the division's programs and
             2575      services to the aging and adult populations of the state.
             2576          (b) The division may not disburse public funds to a personal care attendant as payment
             2577      for personal services rendered to an aged person or high risk adult, except as provided in
             2578      Section 62A-3-104.3 .
             2579          (5) The division has authority to establish, either directly or by contract, programs of
             2580      advocacy, monitoring, evaluation, technical assistance, and public education to enhance the
             2581      quality of life for aging and adult citizens of the state.
             2582          (6) In accordance with the rules of the division and Title 63G, Chapter [6] 6a, Utah
             2583      Procurement Code, the division may contract with:
             2584          (a) the governing body of an area agency to provide a comprehensive program of
             2585      services; or
             2586          (b) public and private entities for special services.
             2587          (7) The division has authority to provide for collection, compilation, and dissemination
             2588      of information, statistics, and reports relating to issues facing aging and adult citizens.
             2589          (8) The division has authority to prepare and submit reports regarding the operation
             2590      and administration of the division to the department, the Legislature, and the governor, as
             2591      requested.
             2592          (9) The division shall:
             2593          (a) implement and enforce policies established by the board governing all aspects of
             2594      the division's programs for aging and adult persons in the state;
             2595          (b) in order to ensure compliance with all applicable state and federal statutes, policies,
             2596      and procedures, monitor and evaluate programs provided by or under contract with:
             2597          (i) the division;
             2598          (ii) area agencies; and
             2599          (iii) an entity that receives funds from an area agency;
             2600          (c) examine expenditures of public funds;


             2601          (d) withhold funds from programs based on contract noncompliance;
             2602          (e) review and approve plans of area agencies in order to ensure:
             2603          (i) compliance with division policies; and
             2604          (ii) a statewide comprehensive program;
             2605          (f) in order to further programs for aging and adult persons and prevent duplication of
             2606      services, promote and establish cooperative relationships with:
             2607          (i) state and federal agencies;
             2608          (ii) social and health agencies;
             2609          (iii) education and research organizations; and
             2610          (iv) other related groups;
             2611          (g) advocate for the aging and adult populations;
             2612          (h) promote and conduct research on the problems and needs of aging and adult
             2613      persons;
             2614          (i) submit recommendations for changes in policies, programs, and funding to the:
             2615          (i) governor; and
             2616          (ii) Legislature; and
             2617          (j) (i) accept contributions to and administer the funds contained in the "Out and
             2618      About" Homebound Transportation Assistance Fund created in Section 62A-3-110 ; and
             2619          (ii) make rules in accordance with Title 63G, Chapter 3, Utah Administrative
             2620      Rulemaking Act, to facilitate the administration of the "Out and About" Homebound
             2621      Transportation Assistance Fund in accordance with Section 62A-3-110 .
             2622          Section 56. Section 62A-3-104.1 is amended to read:
             2623           62A-3-104.1. Powers and duties of area agencies.
             2624          (1) An area agency that provides services to an aged person, or a high risk adult shall
             2625      within the area agency's respective jurisdiction:
             2626          (a) advocate by monitoring, evaluating, and providing input on all policies, programs,
             2627      hearings, and levies that affect a person described in this Subsection (1);
             2628          (b) design and implement a comprehensive and coordinated system of services within a
             2629      designated planning and service area;
             2630          (c) conduct periodic reviews and evaluations of needs and services;
             2631          (d) prepare and submit to the division plans for funding and service delivery for


             2632      services within the designated planning and service area;
             2633          (e) establish, either directly or by contract, programs licensed under Chapter 2,
             2634      Licensure of Programs and Facilities;
             2635          (f) (i) appoint an area director;
             2636          (ii) prescribe the area director's duties; and
             2637          (iii) provide adequate and qualified staff to carry out the area plan described in
             2638      Subsection (1)(d);
             2639          (g) establish rules not contrary to policies of the board and rules of the division,
             2640      regulating local services and facilities;
             2641          (h) operate other services and programs funded by sources other than those
             2642      administered by the division;
             2643          (i) establish mechanisms to provide direct citizen input, including an area agency
             2644      advisory council with a majority of members who are eligible for services from the area
             2645      agency;
             2646          (j) establish fee schedules; and
             2647          (k) comply with the requirements and procedures of:
             2648          (i) Title 11, Chapter 13, Interlocal Cooperation Act; and
             2649          (ii) Title 51, Chapter 2a, Accounting Reports from Political Subdivisions, Interlocal
             2650      Organizations, and Other Local Entities Act.
             2651          (2) Before disbursing any public funds, an area agency shall require that all entities
             2652      receiving any public funds agree in writing that:
             2653          (a) the division may examine the entity's program and financial records; and
             2654          (b) the auditor of the local area agency may examine and audit the entity's program and
             2655      financial records, if requested by the local area agency.
             2656          (3) An area agency on aging may not disburse public funds to a personal care attendant
             2657      as payment for personal services rendered to an aged person or high risk adult, except as
             2658      provided in Section 62A-3-104.3 .
             2659          (4) (a) For the purpose of providing services pursuant to this part, a local area agency
             2660      may receive:
             2661          (i) property;
             2662          (ii) grants;


             2663          (iii) gifts;
             2664          (iv) supplies;
             2665          (v) materials;
             2666          (vi) any benefit derived from the items described in Subsections (4)(a)(i) through (v);
             2667      and
             2668          (vii) contributions.
             2669          (b) If a gift is conditioned upon the gift's use for a specified service or program, the gift
             2670      shall be used for the specific service or program.
             2671          (5) (a) Area agencies shall award all public funds in compliance with:
             2672          (i) the requirements of Title 63G, Chapter [6] 6a, Utah Procurement Code; or
             2673          (ii) a county procurement ordinance that requires procurement procedures similar to
             2674      those described in Subsection (5)(a)(i).
             2675          (b) (i) If all initial bids on a project are rejected, the area agency shall publish a new
             2676      invitation to bid.
             2677          (ii) If no satisfactory bid is received by the area agency described in Subsection
             2678      (5)(b)(i), when the bids received from the second invitation are opened the area agency may
             2679      execute a contract without requiring competitive bidding.
             2680          (c) (i) An area agency need not comply with the procurement provisions of this section
             2681      when it disburses public funds to another governmental entity.
             2682          (ii) For purposes of this Subsection (5)(c), "governmental entity" means any political
             2683      subdivision or institution of higher education of the state.
             2684          (d) (i) Contracts awarded by an area agency shall be for a:
             2685          (A) fixed amount; and
             2686          (B) limited period.
             2687          (ii) The contracts described in Subsection (5)(d)(i) may be modified due to changes in
             2688      available funding for the same contract purpose without competition.
             2689          (6) Local area agencies shall comply with:
             2690          (a) applicable state and federal:
             2691          (i) statutes;
             2692          (ii) policies; and
             2693          (iii) audit requirements; and


             2694          (b) directives resulting from an audit described in Subsection (6)(a)(iii).
             2695          Section 57. Section 62A-14-109 is amended to read:
             2696           62A-14-109. Contract for services.
             2697          (1) In accordance with Title 63G, Chapter [6] 6a, Utah Procurement Code, the office
             2698      may contract with one or more providers to perform guardian and conservator duties.
             2699          (2) The office shall review and monitor the services provided by a contract provider to
             2700      a ward for whom the office has been appointed guardian or conservator.
             2701          Section 58. Section 63A-5-205 is amended to read:
             2702           63A-5-205. Contracting powers of director -- Retainage -- Health insurance
             2703      coverage.
             2704          (1) As used in this section:
             2705          (a) "Capital developments" has the same meaning as provided in Section 63A-5-104 .
             2706          (b) "Capital improvements" has the same meaning as provided in Section 63A-5-104 .
             2707          (c) "Employee" means an "employee," "worker," or "operative" as defined in Section
             2708      34A-2-104 who:
             2709          (i) works at least 30 hours per calendar week; and
             2710          (ii) meets employer eligibility waiting requirements for health care insurance which
             2711      may not exceed the first day of the calendar month following 90 days from the date of hire.
             2712          (d) "Health benefit plan" has the same meaning as provided in Section 31A-1-301 .
             2713          (e) "Qualified health insurance coverage" is as defined in Section 26-40-115 .
             2714          (f) "Subcontractor" has the same meaning provided for in Section 63A-5-208 .
             2715          (2) In accordance with Title 63G, Chapter [6] 6a, Utah Procurement Code, the director
             2716      may:
             2717          (a) subject to Subsection (3), enter into contracts for any work or professional services
             2718      which the division or the State Building Board may do or have done; and
             2719          (b) as a condition of any contract for architectural or engineering services, prohibit the
             2720      architect or engineer from retaining a sales or agent engineer for the necessary design work.
             2721          (3) (a) Except as provided in Subsection (3)(b), this Subsection (3) applies to all design
             2722      or construction contracts entered into by the division or the State Building Board on or after
             2723      July 1, 2009, and:
             2724          (i) applies to a prime contractor if the prime contract is in the amount of $1,500,000 or


             2725      greater; and
             2726          (ii) applies to a subcontractor if the subcontract is in the amount of $750,000 or greater.
             2727          (b) This Subsection (3) does not apply:
             2728          (i) if the application of this Subsection (3) jeopardizes the receipt of federal funds;
             2729          (ii) if the contract is a sole source contract;
             2730          (iii) if the contract is an emergency procurement; or
             2731          (iv) to a change order as defined in Section [ 63G-6-103 ] 63G-6a-103 , or a modification
             2732      to a contract, when the contract does not meet the threshold required by Subsection (3)(a).
             2733          (c) A person who intentionally uses change orders or contract modifications to
             2734      circumvent the requirements of Subsection (3)(a) is guilty of an infraction.
             2735          (d) (i) A contractor subject to Subsection (3)(a) shall demonstrate to the director that
             2736      the contractor has and will maintain an offer of qualified health insurance coverage for the
             2737      contractor's employees and the employees' dependents.
             2738          (ii) If a subcontractor of the contractor is subject to Subsection (3)(a), the contractor
             2739      shall demonstrate to the director that the subcontractor has and will maintain an offer of
             2740      qualified health insurance coverage for the subcontractor's employees and the employees'
             2741      dependents.
             2742          (e) (i) (A) A contractor who fails to meet the requirements of Subsection (3)(d)(i)
             2743      during the duration of the contract is subject to penalties in accordance with administrative
             2744      rules adopted by the division under Subsection (3)(f).
             2745          (B) A contractor is not subject to penalties for the failure of a subcontractor to meet the
             2746      requirements of Subsection (3)(d)(ii).
             2747          (ii) (A) A subcontractor who fails to meet the requirements of Subsection (3)(d)(ii)
             2748      during the duration of the contract is subject to penalties in accordance with administrative
             2749      rules adopted by the division under Subsection (3)(f).
             2750          (B) A subcontractor is not subject to penalties for the failure of a contractor to meet the
             2751      requirements of Subsection (3)(d)(i).
             2752          (f) The division shall adopt administrative rules:
             2753          (i) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act;
             2754          (ii) in coordination with:
             2755          (A) the Department of Environmental Quality in accordance with Section 19-1-206 ;


             2756          (B) the Department of Natural Resources in accordance with Section 79-2-404 ;
             2757          (C) a public transit district in accordance with Section 17B-2a-818.5 ;
             2758          (D) the State Capitol Preservation Board in accordance with Section 63C-9-403 ;
             2759          (E) the Department of Transportation in accordance with Section 72-6-107.5 ; and
             2760          (F) the Legislature's Administrative Rules Review Committee; and
             2761          (iii) which establish:
             2762          (A) the requirements and procedures a contractor must follow to demonstrate to the
             2763      director compliance with this Subsection (3) which shall include:
             2764          (I) that a contractor will not have to demonstrate compliance with Subsection (3)(d)(i)
             2765      or (ii) more than twice in any 12-month period; and
             2766          (II) that the actuarially equivalent determination required for the qualified health
             2767      insurance coverage in Subsection (1) is met by the contractor if the contractor provides the
             2768      department or division with a written statement of actuarial equivalency from either:
             2769          (Aa) the Utah Insurance Department;
             2770          (Bb) an actuary selected by the contractor or the contractor's insurer; or
             2771          (Cc) an underwriter who is responsible for developing the employer group's premium
             2772      rates;
             2773          (B) the penalties that may be imposed if a contractor or subcontractor intentionally
             2774      violates the provisions of this Subsection (3), which may include:
             2775          (I) a three-month suspension of the contractor or subcontractor from entering into
             2776      future contracts with the state upon the first violation;
             2777          (II) a six-month suspension of the contractor or subcontractor from entering into future
             2778      contracts with the state upon the second violation;
             2779          (III) an action for debarment of the contractor or subcontractor in accordance with
             2780      Section [ 63G-6-804 ] 63G-6a-904 upon the third or subsequent violation; and
             2781          (IV) monetary penalties which may not exceed 50% of the amount necessary to
             2782      purchase qualified health insurance coverage for an employee and the dependents of an
             2783      employee of the contractor or subcontractor who was not offered qualified health insurance
             2784      coverage during the duration of the contract; and
             2785          (C) a website on which the department shall post the benchmark for the qualified
             2786      health insurance coverage identified in Subsection (1)(e).


             2787          (g) (i) In addition to the penalties imposed under Subsection (3)(f)(iii), a contractor or
             2788      subcontractor who intentionally violates the provisions of this section shall be liable to the
             2789      employee for health care costs that would have been covered by qualified health insurance
             2790      coverage.
             2791          (ii) An employer has an affirmative defense to a cause of action under Subsection
             2792      (3)(g)(i) if:
             2793          (A) the employer relied in good faith on a written statement of actuarial equivalency
             2794      provided by:
             2795          (I) an actuary; or
             2796          (II) an underwriter who is responsible for developing the employer group's premium
             2797      rates; or
             2798          (B) the department determines that compliance with this section is not required under
             2799      the provisions of Subsection (3)(b).
             2800          (iii) An employee has a private right of action only against the employee's employer to
             2801      enforce the provisions of this Subsection (3)(g).
             2802          (h) Any penalties imposed and collected under this section shall be deposited into the
             2803      Medicaid Restricted Account created by Section 26-18-402 .
             2804          (i) The failure of a contractor or subcontractor to provide qualified health insurance
             2805      coverage as required by this section:
             2806          (i) may not be the basis for a protest or other action from a prospective bidder, offeror,
             2807      or contractor under Section [ 63G-6-801 ] 63G-6a-1603 or any other provision in Title 63G,
             2808      Chapter [6, Part 8, Legal and Contractual Remedies] 6a, Utah Procurement Code; and
             2809          (ii) may not be used by the procurement entity or a prospective bidder, offeror, or
             2810      contractor as a basis for any action or suit that would suspend, disrupt, or terminate the design
             2811      or construction.
             2812          (4) The judgment of the director as to the responsibility and qualifications of a bidder
             2813      is conclusive, except in case of fraud or bad faith.
             2814          (5) The division shall make all payments to the contractor for completed work in
             2815      accordance with the contract and pay the interest specified in the contract on any payments that
             2816      are late.
             2817          (6) If any payment on a contract with a private contractor to do work for the division or


             2818      the State Building Board is retained or withheld, it shall be retained or withheld and released as
             2819      provided in Section 13-8-5 .
             2820          Section 59. Section 63A-5-208 is amended to read:
             2821           63A-5-208. Definitions -- Certain public construction bids to list subcontractors --
             2822      Changing subcontractors -- Bidders as subcontractors -- Dispute resolution process --
             2823      Penalties.
             2824          (1) As used in this section:
             2825          (a) "First-tier subcontractor" means a subcontractor who contracts directly with the
             2826      prime contractor.
             2827          (b) "Subcontractor" means any person or entity under contract with a contractor or
             2828      another subcontractor to provide services or labor for the construction, installation, or repair of
             2829      an improvement to real property.
             2830          (c) "Subcontractor" includes a trade contractor or specialty contractor.
             2831          (d) "Subcontractor" does not include suppliers who provide only materials, equipment,
             2832      or supplies to a contractor or subcontractor.
             2833          (2) The director shall apply the provisions of this section to achieve fair and
             2834      competitive bidding and to discourage bid-shopping by contractors.
             2835          (3) (a) (i) (A) On each public construction project, the director shall require the
             2836      apparent lowest three bidders to submit a list of their first-tier subcontractors indicating each
             2837      subcontractor's name, bid amount, and other information required by rule.
             2838          (B) Other bidders who are not one of the apparent lowest three bidders may also
             2839      submit a list of their first-tier subcontractors containing the information required by this
             2840      Subsection (3).
             2841          (C) The director may not consider any bid submitted by a bidder if the bidder fails to
             2842      submit a subcontractor list meeting the requirements of this section.
             2843          (ii) On projects where the contractor's total bid is less than $500,000, subcontractors
             2844      whose bid is less than $20,000 need not be listed.
             2845          (iii) On projects where the contractor's total bid is $500,000 or more, subcontractors
             2846      whose bid is less than $35,000 need not be listed.
             2847          (b) (i) The bidders shall submit this list within 24 hours after the bid opening time, not
             2848      including Saturdays, Sundays, and state holidays.


             2849          (ii) This list does not limit the director's right to authorize a change in the listing of any
             2850      subcontractor.
             2851          (c) The bidders shall verify that all subcontractors listed as part of their bids are
             2852      licensed as required by state law.
             2853          (d) Twenty-four hours after the bid opening, the contractor may change the contractor's
             2854      subcontractors only after:
             2855          (i) receiving permission from the director; and
             2856          (ii) establishing that:
             2857          (A) the change is in the best interest of the state; and
             2858          (B) the contractor establishes reasons for the change that meet the standards established
             2859      by the State Building Board.
             2860          (e) If the director approves any changes in subcontractors that result in a net lower
             2861      contract price for subcontracted work, the total of the prime contract may be reduced to reflect
             2862      the changes.
             2863          (4) (a) A bidder may list himself as a subcontractor when the bidder is currently
             2864      licensed to perform the portion of the work for which the bidder lists himself as a subcontractor
             2865      and:
             2866          (i) the bidder intends to perform the work of a subcontractor himself; or
             2867          (ii) the bidder intends to obtain a subcontractor to perform the work at a later date
             2868      because the bidder was unable to:
             2869          (A) obtain a bid from a qualified subcontractor; or
             2870          (B) obtain a bid from a qualified subcontractor at a cost that the bidder considers to be
             2871      reasonable.
             2872          (b) (i) When the bidder intends to perform the work of a subcontractor himself, the
             2873      director may, by written request, require that the bidder provide the director with information
             2874      indicating the bidder's:
             2875          (A) previous experience in the type of work to be performed; and
             2876          (B) qualifications for performing the work.
             2877          (ii) The bidder must respond in writing within five business days of receiving the
             2878      director's written request.
             2879          (iii) If the bidder's submitted information causes the director to reasonably believe that


             2880      self-performance of the portion of the work by the bidder is likely to yield a substandard
             2881      finished product, the director shall:
             2882          (A) require the bidder to use a subcontractor for the portion of the work in question and
             2883      obtain the subcontractor bid under the supervision of the director; or
             2884          (B) reject the bidder's bid.
             2885          (c) (i) When the bidder intends to obtain a subcontractor to perform the work at a later
             2886      date, the bidder shall provide documentation with the subcontractor list describing:
             2887          (A) the bidder's efforts to obtain a bid of a qualified subcontractor at a reasonable cost;
             2888      and
             2889          (B) why the bidder was unable to obtain a qualified subcontractor bid.
             2890          (ii) If the bidder who intends to obtain a subcontractor to perform the work at a later
             2891      date is awarded a contract, the director shall supervise the bidder's efforts to obtain a qualified
             2892      subcontractor bid.
             2893          (iii) The director may not adjust the amount of the contract awarded in order to reflect
             2894      the actual amount of the subcontractor's bid.
             2895          (5) The division may not disclose any subcontractor bid amounts obtained under this
             2896      section until the division has awarded the project to a contractor.
             2897          (6) (a) The director shall, in consultation with the State Building Board, prepare draft
             2898      rules establishing a process for resolving disputes involved with contracts under the division's
             2899      procurement authority.
             2900          (b) The draft rules shall be presented to the Government Operations Interim Committee
             2901      for review, comment, and recommendations before August 31, 2004.
             2902          (c) The director shall consider, and the rules may include:
             2903          (i) requirements regarding preliminary resolution efforts between the parties directly
             2904      involved with the dispute;
             2905          (ii) requirements for the filing of claims, including notification, timeframes, and
             2906      documentation;
             2907          (iii) identification of the types of costs eligible for allocation and a method for
             2908      allocating costs among the parties to the dispute;
             2909          (iv) required time periods, not to exceed 60 days, for the resolution of the claim;
             2910          (v) provision for an independent hearing officer, panel, or arbitrator to extend the time


             2911      period for resolution of the claim by not to exceed 60 additional days for good cause;
             2912          (vi) provision for the extension of required time periods if the claimant agrees;
             2913          (vii) requirements that decisions be issued in writing;
             2914          (viii) provisions for administrative appeals of the decision;
             2915          (ix) provisions for the timely payment of claims after resolution of the dispute,
             2916      including any appeals;
             2917          (x) a requirement that the final determination resulting from the dispute resolution
             2918      process provided for in the rules is a final agency action subject to judicial review as provided
             2919      in Sections 63G-4-401 and 63G-4-402 ;
             2920          (xi) a requirement that a claim or dispute that does not include a monetary claim
             2921      against the division or its agents is not limited to the dispute resolution process provided for in
             2922      this Subsection (6);
             2923          (xii) requirements for claims and disputes to be eligible for this dispute resolution
             2924      process;
             2925          (xiii) the use of an independent hearing officer, panel, arbitration, or mediation; and
             2926          (xiv) the circumstances under which a subcontractor may file a claim directly with the
             2927      division.
             2928          (d) Persons pursuing claims under the process required by this Subsection (6):
             2929          (i) are bound by the decision reached under this process unless the decision is properly
             2930      appealed; and
             2931          (ii) may not pursue claims or disputes under the dispute resolution process established
             2932      in Sections [ 63G-6-805 through 63G-6-814 ] 63G-6a-1602 through 63G-6a-1802 .
             2933          (7) In addition to all other reasons allowed by law or rule, the director may reject all
             2934      bids if none of the bidders whose bid is within the budget of the project submit a subcontractor
             2935      list that meets the requirements of this section.
             2936          (8) Any violation of this section, or any fraudulent misrepresentation by a contractor,
             2937      subcontractor, or supplier, may be grounds for:
             2938          (a) the contractor, subcontractor, or supplier to be suspended or debarred by the
             2939      director; or
             2940          (b) the contractor or subcontractor to be disciplined by the Division of Professional and
             2941      Occupational Licensing.


             2942          Section 60. Section 63A-5-302 is amended to read:
             2943           63A-5-302. Leasing responsibilities of the director.
             2944          (1) The director shall:
             2945          (a) lease, in the name of the division, all real property space to be occupied by an
             2946      agency;
             2947          (b) in leasing space, comply with:
             2948          (i) Title 63G, Chapter [6] 6a, Utah Procurement Code; and
             2949          (ii) any legislative mandates contained in the appropriations act or other specific
             2950      legislation;
             2951          (c) apply the criteria contained in Subsection (1)(e) to prepare a report evaluating each
             2952      high-cost lease at least 12 months before it expires;
             2953          (d) evaluate each lease under the division's control and apply the criteria contained in
             2954      Subsection (1)(e), when appropriate, to evaluate those leases;
             2955          (e) in evaluating leases:
             2956          (i) determine whether or not the lease is cost-effective when the needs of the agency to
             2957      be housed in the leased facilities are considered;
             2958          (ii) determine whether or not another option such as construction, use of other
             2959      state-owned space, or a lease-purchase agreement is more cost-effective than leasing;
             2960          (iii) determine whether or not the significant lease terms are cost-effective and provide
             2961      the state with sufficient flexibility and protection from liability;
             2962          (iv) compare the proposed lease payments to the current market rates, and evaluate
             2963      whether or not the proposed lease payments are reasonable under current market conditions;
             2964          (v) compare proposed significant lease terms to the current market, and recommend
             2965      whether or not these proposed terms are reasonable under current market conditions; and
             2966          (vi) if applicable, recommend that the lease or modification to a lease be approved or
             2967      disapproved;
             2968          (f) based upon the evaluation, include in the report recommendations that identify
             2969      viable alternatives to:
             2970          (i) make the lease cost-effective; or
             2971          (ii) meet the agency's needs when the lease expires; and
             2972          (g) upon request, provide the information included in the report to:


             2973          (i) the agency benefitted by the lease; and
             2974          (ii) the Office of Legislative Fiscal Analyst.
             2975          (2) The director may:
             2976          (a) subject to legislative appropriation, enter into facility leases with terms of up to 10
             2977      years when the length of the lease's term is economically advantageous to the state; and
             2978          (b) with the approval of the State Building Board and subject to legislative
             2979      appropriation, enter into facility leases with terms of more than 10 years when the length of the
             2980      lease's term is economically advantageous to the state.
             2981          Section 61. Section 63B-2-102 is amended to read:
             2982           63B-2-102. Maximum amount -- Projects authorized.
             2983          (1) The total amount of bonds issued under this part may not exceed $80,000,000.
             2984          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             2985      funds to pay all or part of the cost of acquiring and constructing the projects listed in this
             2986      Subsection (2).
             2987          (b) These costs may include the cost of acquiring land, interests in land, easements and
             2988      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             2989      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             2990      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             2991      covered by construction of the projects plus a period of six months after the end of the
             2992      construction period and all related engineering, architectural, and legal fees.
             2993          (c) For the division, proceeds shall be provided for the following:
             2994      CAPITAL IMPROVEMENTS
             2995      1 Alterations, Repairs, and Improvements $8,413,900
             2996      TOTAL IMPROVEMENTS $8,413,900
             2997      CAPITAL FACILITIES CONSTRUCTION
             2998     


PROJECT
PRIORITY



    PROJECT
    DESCRIPTION



AMOUNT
FUNDED
ESTIMATED
OPERATIONS
AND
MAINTENANCE
COSTS
             2999      1 Corrections - Northern Utah
Community Corrections Center Phase II
$2,729,700 $158,000
             3000      2 University of Utah
Marriot Library Phase II
$10,200,000 $881,600
             3001      3 Ogden Courts Building Phase II $12,096,000 $340,000
             3002      4 Utah National Guard -
Southeast Utah Armory Phase II
$397,800 $70,500
             3003      5 Southern Utah University
Library Phase II
$7,004,400 $427,000
             3004      6 Utah Valley Special Events
Center Phase II
$11,845,300 $536,900
             3005      7 Salt Lake Community College - Land $1,300,000 $0
             3006      8 Tax Commission Building $14,224,000 $812,000
             3007      9 Dixie College Business Building $2,823,300 $187,800
             3008      10 Salt Lake Community College
South City 3rd Floor and Boiler
$4,009,500 $257,600
             3009      11 Public Education -
Deaf and Blind Classrooms
$3,456,100 $124,800
             3010      TOTAL CONSTRUCTION $70,086,100
             3011      TOTAL IMPROVEMENTS AND     
    CONSTRUCTION
$78,500,000
             3012          (d) For purposes of this section, operations and maintenance costs:
             3013          (i) are estimates only;