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MINUTES OF THE SENATE BUSINESS & LABOR STANDING COMMITTEE

        
Room 215 Senate Building
        
Tuesday, February 19, 2013


Members Present:        Sen. Curtis S. Bramble, Chair
            Sen. Gene Davis
            Sen. Deidre M. Henderson
            Sen. David P. Hinkins
            Sen. Karen Mayne
            Sen. John L. Valentine
            Sen. Todd Weiler
    
Staff Present:        Mr. Bryant R. Howe, Assistant Director
        
    Ms. Karen Allred, Committee Secretary

A list of visitors and a copy of handouts are filed with the committee minutes.

Chair Bramble called the meeting to order at 2:10 p.m.

Approval of Minutes

MOTION: Sen. Henderson moved to approve the minutes of the February 14, 2013 meeting.      The motion passed unanimously with Sen. Davis, Sem. Hinkins and Sen. Valentine         absent for the vote

Chair Bramble relinquished the Chair to Sen. Henderson

2nd Sub. H.B. 47 Insurance Law Amendments
(J. Dunnigan)

MOTION: Sen. Bramble moved to adopt 3rd Sub. H.B.47. The motion passed unanimously
with Sen. Davis, Sen. Hinkins and Sen. Valentine absent for the vote.

Sen. Bramble resumed the Chair.

Rep. Dunnigan introduced and explained the bill.

Sen. Bramble relinquished the committee chair to Sen. Henderson.

MOTION: Sen. Bramble moved to transmit 3rd Sub. H.B. 47 favorably. The motion passed      unanimously with Sen. Davis and Sen. Hinkins absent for the vote.

MOTION:
Sen. Bramble moved to place 3rd Sub. H.B. 47on the Consent C alendar. The      motion passed unanimously with Sen. Davis and Sen. Hinkins absent for the vote.


S.B. 189 Oncology Insurance Amendments (C. Bramble)
    
Sen. Bramble introduced and explained the bill.

Spoke in favor of the bill: Dr. Nitin Chandramouli, President, Utah Society of Medical                      Oncology
                 Dr. Richard Frame, Utah Cancer Specialists
             Kellie Gubler, Cancer Patient
                 Cody Anderson, Volunteer, Cancer Patient
             Kermit Heid, Cancer Patient, Cancer Action Network
                
Jamie Toftum, Cancer Patient
                 Michelle McOmber, CEO, Utah Medical Association
                 Shelley Anderson, Caregiver, Cancer Action Network
                 Susan Connor, Cancer Patient
                     
Spoke in opposition to the bill: Travis Wood, Executive Director, Utah Health Plans
                 Brian Allen, Lobbyist, America' s Health Insurance Plans                  Ron Holbrook, Blue Cross Blue Shield
            
MOTION: Sen. Bramble moved to transmit S.B. 189 favorably. The motion passed      unanimously.

S.B. 21 Unincorporated Business Entities (L. Hillyard)

MOTION: Sen. Valentine moved to amend the bill as follows:

1.    Page 45, Lines 1361 through 1363 :    

             1361          (ii) Title 42, Names; or
             1362          (iii) on or before
{   June 30, 2014   }        December 31, 2013       , Title 48, Partnership, and on and after      {   July   }        January       1, 2014,

             1363      Title 48, Unincorporated Business [Entities] Entity Act; or

2.    Page 47, Lines 1431 through 1433 :    

             1431          Until this chapter is repealed January 1, 2016, this chapter applies only to a partnership
             1432      formed on or before
{   June 30, 2014   }        December 31, 2013       , that has not elected to be governed by Chapter 1d, Utah

             1433      Uniform Partnership Act, as provided in Section 48-1d-1405 .


3.    Page 101, Lines 3119 through 3125 :    

             3119          (31) "Protected agreement" means:
             3120          (a) a record evidencing indebtedness and any related agreement in effect on
{   July   }        January       1,

             3121      2014;
             3122          (b) an agreement that is binding on an entity on
{   July   }        January       1, 2014;

             3123          (c) the organic rules of an entity in effect on
{   July   }        January       1, 2014; or

             3124          (d) an agreement that is binding on any of the governors or interest holders of an entity
             3125      on
{   July   }        January       1, 2014.


4.    Page 110, Lines 3388 through 3391 :    

             3388          (3) If a protected agreement contains a provision that applies to a merger of a domestic
             3389      partnership but does not refer to an interest exchange, the provision applies to an interest
             3390      exchange in which the domestic partnership is the acquired entity as if the interest exchange
             3391      were a merger until the provision is amended after
{   July   }        January       1, 2014.


5.    Page 114, Lines 3523 through 3524 :    

             3523      partnership but does not refer to a conversion, the provision applies to a conversion of the
             3524      entity as if the conversion were a merger until the provision is amended after
{   July   }        January       1, 2014.


6.    Page 119, Lines 3682 through 3683 :    

             3682      domestication of the limited liability partnership as if the domestication were a merger until the
             3683      provision is amended after
{   July   }        January       1, 2014.


7.    Page 144, Lines 4439 through 4443 :    

             4439          (1) Before January 1, 2016, this chapter governs only:
             4440          (a) a partnership formed on or after
{   July   }        January       1, 2014; and

             4441          (b) except as otherwise provided in Subsection (3), a partnership formed before
{   July   }        January       1,


             4442
     2014, which elects, in the manner provided in its partnership agreement or by law for amending
             4443      the partnership agreement, to be subject to this chapter.

8.    Page 144, Line 4460 through Page 145, Line 4462 :    

             4460          Until this chapter is repealed January 1, 2016, this chapter applies only to a limited
             4461      partnership formed on or before
{   June 30, 2014   }        December 31, 2013       , that has not elected to be governed by Chapter

             4462      2e, Utah Uniform Limited Partnership Act, as provided in Section 48-2e-1205 .

9.    Page 145, Lines 4465 through 4467 :    

             4465          Until this chapter is repealed January 1, 2016, this chapter applies only to a limited
             4466      liability company formed on or before
{   June 30, 2014   }        December 31, 2013       , that has not elected to be governed by

             4467      Chapter 3a, Utah Revised Uniform Limited Liability Company Act, as provided in Section

10.    Page 216, Lines 6682 through 6689 :    

             6682          (31) "Protected agreement" means:
             6683          (a) a record evidencing indebtedness and any related agreement in effect on
{   July   }        January       1,

             6684      2014;
             6685          (b) an agreement that is binding on an entity on
{   July   }        January       1, 2014;

             6686          (c) the organic rules of an entity in effect on
{   July   }        January       1, 2014; or

             6687          (d) an agreement that is binding on any of the governors or interest holders of an entity
             6688      on
{   July   }        January       1, 2014.

             6689          (32) "Public organic record" means the record, the filing of which by the division is

11.    Page 225, Lines 6957 through 6960 :    

             6957      interest exchange in which the domestic limited partnership is the acquired entity as if the
             6958      interest exchange were a merger until the provision is amended after
{   July   }        January       1, 2014.

             6959          Section 255. Section 48-2e-1132 is enacted to read:
             6960          48-2e-1132. Plan of interest exchange.



12.    Page 230, Lines 7099 through 7102 :    

             7099      limited partnership but does not refer to a conversion, the provision applies to a conversion of
             7100      the entity as if the conversion were a merger until the provision is amended after
{   July   }        January       1, 2014.

             7101          Section 261. Section 48-2e-1142 is enacted to read:
             7102          48-2e-1142. Plan of conversion.

13.    Page 235, Lines 7257 through 7259 :    

             7257      domestication of the limited partnership as if the domestication were a merger until the
             7258      provision is amended after
{   July   }        January       1, 2014.

             7259          Section 267. Section 48-2e-1152 is enacted to read:

14.    Page 240, Line 7429 through Page 241, Line 7451 :    

             7429          (1) Before January 1, 2016, this chapter governs only:
             7430          (a) a limited partnership formed on or after
{   July   }        January       1, 2014; and

             7431          (b) except as otherwise provided in Subsections (3) and (4), a limited partnership
             7432      formed before
{   July   }        January       1, 2014, which elects, in the manner provided in its partnership agreement

             7433      or by law for amending the partnership agreement, to be subject to this chapter.
             7434          (2) Except as otherwise provided in Subsection (3), on and after January 1, 2016, this
             7435      chapter governs all limited partnerships.
             7436          (3) With respect to a limited partnership formed before
{   July   }        January       1, 2014, the following

             7437      rules apply except as the partners otherwise elect in the manner provided in the partnership
             7438      agreement or by law for amending the partnership agreement:
             7439          (a) Subsection 48-2e-104 (3) does not apply and the limited partnership has whatever
             7440      duration it had under the law applicable immediately before
{   July   }        January       1, 2014.

             7441          (b) Sections 48-2e-601 and 48-2e-602 do not apply and a limited partner has the same


             7442      right and power to dissociate from the limited partnership, with the same consequences, as
             7443      existed immediately before
{   July   }        January       1, 2014.

             7444          (c) Subsection 48-2e-603 (4) does not apply and the partners have the same right and
             7445      power to expel a general partner as existed immediately before
{   July   }        January       1, 2014.

             7446          (d) Subsection 48-2e-603 (5) does not apply and a court has the same power to expel a
             7447      general partner as the court had immediately before
{   July   }        January       1, 2014.

             7448          (e) Subsection 48-2e-801 (1)(c) does not apply and the connection between a person's
             7449      dissociation as a general partner and the dissolution of the limited partnership is the same as
             7450      existed immediately before
{   July   }        January       1, 2014.

             7451          (4) With respect to a limited partnership that elects pursuant to Subsection (1)(b) to be

15.    Page 308, Lines 9514 through 9521 :    

             9514          (30) "Protected agreement" means:
             9515          (a) a record evidencing indebtedness and any related agreement in effect on
{   July   }        January       1,

             9516      2014;
             9517          (b) an agreement that is binding on an entity on
{   July   }        January       1, 2014;

             9518          (c) the organic rules of an entity in effect on
{   July   }        January       1, 2014; or

             9519          (d) an agreement that is binding on any of the governors or interest holders of an entity
             9520      on
{   July   }        January       1, 2014.

             9521          (31) "Public organic record" means the record the filing of which by the division is

16.    Page 316, Lines 9789 through 9791 :    

             9789      interest exchange in which the domestic limited liability company is the acquired entity as if
             9790      the interest exchange were a merger until the provision is amended after
{   July   }        January       1, 2014.


             9791
         Section 370. Section 48-3a-1032 is enacted to read:

17.    Page 321, Lines 9932 through 9935 :    

             9932      limited liability company but does not refer to a conversion, the provision applies to a
             9933      conversion of the entity as if the conversion were a merger until the provision is amended after
             9934     
{   July   }        January       1, 2014.

             9935          Section 376. Section 48-3a-1042 is enacted to read:

18.    Page 326, Lines 10091 through 10094 :    

             10091      limited liability company but does not refer to a domestication, the provision applies to a
             10092      domestication of the limited liability company as if the domestication were a merger until the
             10093      provision is amended after
{   July   }        January       1, 2014.

             10094          Section 382. Section 48-3a-1052 is enacted to read:

19.    Page 350, Lines 10835 through 10839 :    

             10835          (1) Before January 1, 2016, this chapter governs only:
             10836          (a) a limited liability company formed on or after
{   July   }        January       1, 2014; and

             10837          (b) except as otherwise provided in Subsection (3), a limited liability company formed
             10838      before
{   July   }        January       1, 2014, which elects, in the manner provided in its operating agreement or by law

             10839      for amending the operating agreement, to be subject to this chapter.

20.    Page 350, Lines 10842 through 10844 :    

             10842          (3) For the purposes of applying this chapter to a limited liability company formed
             10843      before
{   July   }        January       1, 2014:

             10844          (a) the limited liability company's articles of organization are deemed to be the limited

21.    Page 371, Lines 11485 through 11487 :    

             11485          (1) The amended sections in this bill take effect on July 1, 2013.
             11486          (2) The sections enacted in this bill take effect on
{   July   }        January       1, 2014.


             11487
         (3) Section 422, Repealer, in this bill of the uncodified repealer Laws of Utah 2011,
The motion passed unanimously.

Sen. Hillyard introduced and explained the bill.

Sen. Bramble resumed the committee chair.

Russ Smith, Attorney, further clarified the bill and answered questions from the committee.

Spoke in support of the bill: Bob Hadley, Attorney

MOTION:
Sen. Valentine moved to transmit S.B. 21 favorably as amended. The motion      passed unanimously.

MOTION: Sen. Valentine moved that S.B. 21 be placed on the Consent Calendar. The motion      passed unanimously.

2nd Sub. S.B. 67 Consumer Protection Revisions (C. Bramble)

MOTION:
Sen. Bramble moved to adopt 3rd Sub. S.B. 67. The motion passed unanimously.

MOTION:
Sen. Bramble moved to adopt the following amendment:

1.    Page 1, Lines 9 through 10 :    

             9          This bill prohibits sellers from imposing a surcharge on a transaction paid for with a
             10     
{   financial transaction   }        credit       card.


2.    Page 1, Lines 14 through 16 :    

             14          .    prohibits sellers from imposing a surcharge on a transaction for $10,000 or less that
             15      is paid for with a
{   financial transaction   }        credit       card;

             16          .    repeals the provisions in this bill related to
{   financial transaction   }        credit       card surcharges on


3.    Page 2, Lines 47 through 48 :    

             47          [13-38-101].     13-38a-102. Definitions
{   -- Financial transaction card receipt

             48      requirements  
}
.



4.    Page 3, Lines 82 through 84 :    

             82          (4) "Surcharge" means an additional charge added to a transaction paid for by using a
             83     
{   financial transaction   }        credit       card, but not added to a transaction paid for by a means other than a

             84     
{   financial transaction   }        credit       card.


5.    Page 4, Line 111 through Page 5, Line 119 :    

             111     
Part 3.
{   Financial Transaction   }        Credit       Card Surcharges

             112          13-38a-301. Title.
             113          This part is known as "
{   Financial Transaction   }        Credit       Card Surcharges."

             114          Section 7. Section 13-38a-302 is enacted to read:
             115          13-38a-302.
{   Financial transaction   }        Credit       card surcharges prohibited.

             116          (1) A seller may not impose a surcharge on a transaction for $10,000 or less that is paid
             117      for by using a
{   financial transaction   }        credit       card.

             118          (2) A seller may offer a discount on a transaction that is paid for by means other than a
             119     
{   financial transaction   }        credit       card.

The motion passed unanimously.

Sen. Bramble introduced and explained the bill.

Howard Headlee, Utah Bankers Association, further clarified the bill and answered questions          from the committee.

MOTION: Sen. Mayne moved to transmit 3rd Sub. S.B. 67 favorably as amended. The motion         passed unanimously.

S.B. 187 Food Handler Licensing Amendments (C. Bramble)

MOTION: Sen. Bramble moved to adopt 1st Sub. S.B. 187. The motion passed unanimously.

Sen. Bramble introduced and explained the bill.

MOTION: Sen. Bramble moved to adopt the following amendment:


1.    Page 3, Line 86 through Page 4, Line 95 :    

             86          (7) The department, in consultation with local health departments, shall:
             87          (a) approve the content of an approved food handler training program required under
             88      Subsection (3);
             89          
{   (b) approve, as qualified, each instructor who will provide classroom based training;   }

             90          
{   (c)   }        (b)       approve, as qualified, each provider; and

             91          
{   (d)   }        (c)       in accordance with applicable rules made under Subsection (10), provide a means

             92      to authenticate:
             93          (i) documents used in an approved food handler training program;
             94          (ii) the identity of an approved instructor; and
             95          (iii) an approved provider.

The motion passed unanimously.

MOTION: Sen. Bramble moved to transmit 1st Sub. S.B. 187 favorably as amended. The         motion passed unanimously.

Sen. Bramble resumed the committee chair.

S.B. 143 Mortgage and Financial Affairs Amendments (W. Harper)

MOTION: Sen. Weiler moved to adopt the following amendment:

1.    Page 2, Line 58 through Page 3, Line 72 :    

             58          [(f)] (i) "Single point of contact" means [a person] an individual or the individual's
             59      replacement who, as the designated representative of the beneficiary or servicer, is authorized
             60      to
{   [   } :

    (i)
{   ]   } coordinate and ensure effective communication with a default trustor concerning:

             61          
{   [   } (A)      {   ]   }      {   (i)   } foreclosure proceedings initiated by the beneficiary or servicer relating to the

             62      trust property; and
             63          
{   [   } (B)      {   ]   }      {   (ii)   } any foreclosure relief offered by or acceptable to the beneficiary or servicer      {   [   } ;      {   ]   }


             64
     [and]
{   .   }

  (ii)    be informed of and involved in making decisions concerning the default trustor's eligibility for foreclosure relief; and      

             65          
{   [   }      {   (ii)   }        (iii)            {   direct   }        access and be informed of the procedural details of       all foreclosure proceedings initiated by the beneficiary or servicer relating to

             66      the trust property, including:
{   ]   }

             67          
{   [   } (A) the filing of a notice of default under Section 57-1-24 and any cancellation of a

             68      notice of default;
{   ]   }

             69          
{   [   } (B) the publication of a notice of trustee's sale under Section 57-1-25 ; and      {   ]   }

             70          
{   [   } (C) the postponement of a trustee's sale under Section 57-1-27 or this section.      {   ]   }

             71          (2) (a)
{   Before   }        No fewer than 30 days before the day on which       a notice of default is filed for record under Section 57-1-24 , a beneficiary

             72      or servicer shall:

Sen. Weiler withdrew his motion.

The Committee proceeded to the next item on the agenda.

Chair Bramble announced that S.B. 173, H.B. 101, and H.J.R. 4 would be considered at the next committee meeting.

S.B. 59 Worker's Compensation Coordination of Benefits Amendments (K. Mayne)

MOTION: Sen. Mayne moved to adopt 1st Sub. S.B. 59. The motion passed unanimously.

Sen. Mayne introduced and explained the bill.

Spoke in favor of the bill: Dennis Lloyd, Workers's Compensation Fund

Spoke in opposition to the bill: Kelly Atkinson, Utah Health Association


MOTION:
Sen. Henderson moved to adjourn. The motion passed unanimously. Chair      Bramble adjourned the meeting at 4:05 p.m.






______________________________
Sen. Curtis S. Bramble, Committee Chair