MINUTES OF THE

HOUSE POLITICAL SUBDIVISIONS

STANDING COMMITTEE

Room 450 State Capitol

February 24, 2015

Members Present:                     Rep. R. Curt Webb, Chair 

                                                    Rep. Johnny Anderson

                                                    Rep. Kim Coleman                                               

                                                    Rep. Don L. Ipson

                                                    Rep. Michael S. Kennedy

                                                    Rep. Justin J. Miller

Rep. Dixon M. Pitcher

                                                    Rep. Marie H. Poulson 

                                                    Rep. Norman K. Thurston

                                                    Rep. Raymond P. Ward

Members Absent:                     Rep. James A. Dunnigan

Rep. Kraig Powell, Vice Chair

Staff Present:                             Mr. Joseph T. Wade, Policy Analyst

                                                    Ms. Karen Mitchell, Committee Secretary

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

Chair Webb called the meeting to order at 8:07 a.m.

MOTION:       Rep. Anderson moved to approve the minutes of the February 20, 2015, meeting. The motion passed unanimously with Rep. Dunnigan, Rep. Ipson, Rep. Pitcher, and Rep. Powell absent for the vote.

S.B. 112            Public Reporting Requirements (Sen. W. Harper) (Rep. K. Ivory)

Sen. Harper explained the bill to the committee.

MOTION:       Rep. Anderson moved to pass S.B. 112 out favorably. The motion passed unanimously with Rep. Dunnigan, Rep. Ipson, Rep. Pitcher, and Rep. Powell absent for the vote.

MOTION:       Rep. Miller moved to place S.B. 112 on the Consent Calendar. The motion passed unanimously with Rep. Dunnigan, Rep. Ipson, Rep. Pitcher, and Rep. Powell absent for the vote.

H.B. 330           Interlocal Entities Revisions (Rep. Johnny Anderson)

Rep. Anderson explained the bill to the committee with the assistance of Karl Hendrickson, Unified Fire Authority and South Davis Fire.

Spoke to the bill:            John Dougall, Utah State Auditor

Spoke for the bill:          LeGrand Bitter, Utah Association of Special Districts

Michael Jensen, Unified Fire Authority

Spoke against the bill:                 Kelsey White, Utah Taxpayers Association

John Dougall, Utah State Auditor

MOTION:       Rep. Miller moved to amend the bill as follows:

1.    Page 8, Lines 242 through 243:            

242 (2) General obligation bonds may be issued for the following purposes only:

243 (a) to construct and equip  public safety  facilities {  required for the operation of a sewage system  } ; or

2.    Page 9, Lines 253 through 257:            

253 (5) An interlocal entity may not issue general obligation bonds if the issuance of the

254bonds will cause the outstanding principal amount of all of the interlocal entity's general

255obligation bonds to exceed {  by .12 the  }  an  amount that results from multiplying the fair market

256value of the taxable property within the interlocal entity, as determined under Subsection

25711-14-301(3)(b)  , by .12  .

The motion passed unanimously with Rep. Dunnigan and Rep. Powell absent for the vote.

MOTION:       Rep. Miller moved to further amend the bill as follows:

1.    Page 8, Lines 230 through 234:            

230 11-13-218.5. General obligation bonds.

231 (1) (a) {  Only an interlocal entity in which each member of the interlocal entity is a

232municipality, county, special service district, or local district may issue general obligation

233bonds.  }  An interlocal entity may issue general obligation bonds only if:

       (i) each member of the interlocal entity is a municipality, county, special service district, or local district;

       (ii) the interlocal entity governing body is composed entirely of elected officials appointed, respectively, by a member described in Subsection (1)(a)(i); and

       (iii) the interlocal entity has not issued any bonds currently in default. 

234 (b) Except as provided in Subsection (4), if an interlocal entity intends to issue general

The motion passed unanimously with Rep. Dunnigan and Rep. Powell absent for the vote.

MOTION:       Rep. Miller moved to pass H.B. 330 out favorably as amended. The motion passed with Rep. Coleman, Rep. Kennedy, and Rep. Thurston voting in opposition. Rep. Dunnigan and Rep. Powell were absent for the vote.

MOTION:       Rep. Miller moved to adjourn. The motion passed unanimously with Rep. Dunnigan and Rep. Powell absent for the vote.

Chair Webb adjourned the meeting at 8:55 a.m.

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Rep. R. Curt Webb, Chair