MINUTES OF THE

HOUSE REVENUE AND TAXATION

STANDING COMMITTEE

Room 445, State Capitol

January 29, 2016

Members Present:                Rep. Daniel McCay, Chair

                                                Rep. Jeremy A. Peterson, Vice Chair

                                                Rep. Joel K. Briscoe

                                                Rep. Rich Cunningham                                                                                                          Rep. Gage Froerer

                                                Rep. Brian M. Greene

                                                Rep. Eric K. Hutchings

                                                Rep. Brian S. King

                                                Rep. John Knotwell

                                                Rep. Mike K. McKell

                                                Rep. Jon E. Stanard

Staff Absent:                         Rep. Ken Ivory

                                                Rep. Douglas V. Sagers

Staff Present:                        Leif G. Elder, Policy Analyst

                                                An Bradshaw, Secretary

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

Chair McCay called the meeting to order at 2:12 p.m.

MOTION:     Rep. Cunningham moved to approve the minutes of the January 26, 2016 meeting. The motion passed unanimously with Rep. Briscoe, Rep. Greene, Rep. King, and

                        Rep. Knotwell absent for the vote.

H.B. 152         Voted and Board Local Levy Modifications (Rep. F. Cox)

Rep. Cox explained the bill to the committee.

MOTION:     Rep. Hutchings moved to replace HB152 with 1st Sub. HB152. The motion passed unanimously with Rep. Briscoe, Rep. King, and Rep. Knotwell absent for the vote.

MOTION:     Rep. Stanard moved to hold the bill.

SUBSTITUTE

MOTION:     Rep. Peterson moved to pass 1st Sub. HB152 out favorably. The motion passed with Rep. McKell and Rep. Stanard voting in opposition and Rep. Briscoe, Rep. King, and Rep. Knotwell absent for the vote.

H.B. 73           Financial Disclosure Modifications (Rep. M. McKell)

Rep. McKell explained the bill to the committee with the assistance of Spencer Hadley, Office Administrator, Lt. Governor's Office.

MOTION:     Rep. Cunningham moved to pass the bill out favorably. The motion failed with Rep. Cunningham and Rep. McKell voting in favor and Rep. Briscoe, Rep. Froerer, Rep. King, and Rep. Stanard absent for the vote.

S.B. 15            Apportionment of Business Income Amendments (Sen. D. Henderson)

Sen. Henderson explained the bill to the committee.

MOTION:     Rep. Knotwell moved to pass the bill out favorably. The motion passed unanimously with Rep. Briscoe, Rep. Froerer, and Rep. King absent for the vote.

S.B. 16            Tax Credit Amendments (Sen. D. Henderson)

Sen. Henderson explained the bill to the committee. John Valentine, Chair, Utah Tax Commission, answered questions from the committee.

MOTION:     Rep. Cunningham moved to pass the bill out favorably. The motion passed unanimously with Rep. Briscoe, Rep. Froerer, and Rep. King absent for the vote.

H.B. 104         Property Taxation Amendments (Rep. J. Peterson)

Rep. Peterson explained the bill to the committee.

MOTION:     Rep. Knotwell moved to repalce HB104 with 1st Sub. HB104. The motion passed unanimously with Rep. Briscoe, Rep. King, and Rep. McKell absent for the vote.

Spoke for the bill:       Scott Quinney, Utah Association of Realtors

                                    Scott Tingley, Auditor, Salt Lake County

MOTION:     Rep. Froerer moved to pass 1st Sub. HB104 out favorably. The motion passed unanimously with Rep. Briscoe and Rep. King absent for the vote.

H.B. 162         Motion Picture Tax Credit Amendments (Rep. J. Peterson)

Rep. Peterson explained the bill to the committee.

MOTION:     Rep. Cunningham moved to replace HB162 with 1st Sub. HB162. The motion passed unanimously with Rep. Briscoe, Rep. Froerer, Rep. Hutchings, and Rep. King absent for the vote.

MOTION:     Rep. Knotwell moved to pass 1st Sub. HB162 out favorably. The motion passed unanimously with Rep. Briscoe, Rep. Froerer, Rep. King, and Rep. McKell absent for the vote.

H.B. 170         Medical Care Savings Account Tax Credit Repeal (Rep. J. Peterson)

Rep. Peterson explained the bill to the committee. "Medical Savings Plan Tax Credit Repeal" was distributed to the committee.

Spoke for the bill:                   Rebecca Rockwell, Commissioner, State Tax Commission

Spoke against the bill:            Brant Barlow, Utah Eagle Forum

MOTION:     Rep. Cunningham moved to pass the bill out favorably. The motion passed with Rep. Greene voting in opposition and Rep. Briscoe, Rep. King, Rep. McKell, and Rep. Stanard absent for the vote.

H.B. 180         Sales and Use Tax Exemption Amendments (Rep. B. Wilson)

Rep. Wilson explained the bill to the committee with the assistance of Todd Bingham, Utah Manufacturers Association, Steve Rasmussen, BD Medical, and Clint Morris, Lifetime Products. "Keeping Utah #1 for Business" was provided to the committee.

Spoke for the bill:                   Mark Compton, Utah Mining Association

                                                Billy Hesterman, Utah Taxpayers Association

Spoke to the bill:                    Doug Macdonald, UtahTaxPolicy.org

Spoke against the bill:            Kory Holdaway, Murray City

MOTION:     Rep. Stanard moved to pass the bill out favorably. The motion passed with Rep. Briscoe voting in opposition.

Vice Chair Peterson assumed the chair.

H.B. 26           Revenue and Taxation Interim Committee Report Amendments (Rep. D. McCay)

Rep. McCay explained the bill to the committee. John Valentine, Chair, State Tax Commission, answered questions from the committee. "H.B. 26, Revenue and Taxation Interim Committee Report Amendments Repealed Reports" was provided to the committee.

MOTION:     Rep. Knotwell moved to pass the bill out favorably. The motion passed unanimously with Rep. Hutchings absent for the vote.

MOTION:     Rep. Cunningham moved to adjourn. The motion passed unanimously with Rep. Hutchings absent for the vote.

Vice Chair Peterson adjourned the meeting at 4:15 p.m.

Rep. Daniel McCay, Chair