MINUTES OF THE

SENATE REVENUE AND TAXATION STANDING COMMITTEE

Room 250, Utah State Capitol

February 13, 2014

Members Present: Sen. Deidre M. Henderson, Chair

Sen. J. Stuart Adams

Sen. Curtis S. Bramble

Sen. Jim Dabakis

Sen. Gene Davis

Sen. Wayne Harper

Sen. Howard Stephenson

Sen. John Valentine

Members Absent: Sen. Scott Jenkins

Staff Present: Mr. Leif Elder, Policy Analyst

Ms. Nancy Skidmore, Committee Secretary

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

Chair Henderson called the meeting to order at 4:16 p.m.

MOTION: Sen. Dubakis moved to approve the minutes of the February 12, 2014 meeting. The motion passed unanimously with Sen. Bramble absent for the vote.

H.B. 226 Severance Tax Amendments (Rep. J. Nielson)

Rep. Nielson explained the bill to the committee.

MOTION: Sen. Dubakis moved to pass the bill out favorably. The motion passed unanimously with Sen. Bramble absent for the vote.

S.B. 65 Sales and Use Tax Exemption Modifications (Sen. H. Stephenson)

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

I. Page 70, Lines 2151 through 2156:

2151 (14) (a) amounts paid or charged for a purchase or lease:

2152 (i) by a manufacturing facility located in the state; and

2153 (ii) of machinery, equipment, or normal operating repair or replacement parts if the

2154 machinery, equipment, or normal operating repair or replacement parts have an economic life of three or more years and are used :

2155 (A) {are used} in the manufacturing process to manufacture {or process} an item sold as tangible personal property; {and} or

2156 (B) {have an economic life of three or more years} for a scrap recycler, to process an item sold as tangible personal property ;

The motion passed unanimously with Sen. Adams absent for the vote.

Sen. Stephenson explained the bill to the committee.

Spoke to the bill: Steven Young, Tax Attorney, Holland and Hart Law Firm

Spoke for the bill: Mark Compton, President, Utah Mining Association

MOTION: Sen. Bramble moved to pass the bill out favorably. The motion passed unanimously with Sen. Adams and Sen. Valentine absent for the vote.

Chair Henderson asked Sen. Jenkins to chair the meeting.

S.B. 61 Revisions to Property Tax (Sen. D. Henderson)

Sen. Henderson explained the bill to the committee.

Spoke for the bill: Arie Van de Camp, Legislative Analyst, Utah Association of Counties

Heidi Erickson, Research Analyst, Utah Taxpayers Association

MOTION: Sen. Valentine moved to pass the bill out favorably. The motion passed unanimously with Sen. Adams absent for the vote.

MOTION: Sen. Davis moved to adjourn. The motion passed unanimously with Sen. Adams absent for the vote.

Chair Jenkins adjourned the meeting at 5:06.

__________________________

Sen. Deidre M. Henderson, Chair