MINUTES OF THE

SENATE BUSINESS AND LABOR

STANDING COMMITTEE

Wednesday, February 22, 2017 • 4:00 p.m. • 215 Senate Building

Note: A list of others present, a copy of related materials, and an audio recording of the meeting can be found at le.utah.gov.

Chair Bramble called the meeting to order at 4:09 p.m.

MOTION:     Sen. Mayne moved to approve the minutes of February 21, 2017. The motion passed with a vote of 4-0-4.

1. S.B. 250 Food Truck Licensing and Regulation (Henderson, D.)

Sen. Henderson presented the bill with the assistance of Taylor Harris, Owner/General Manager, Food Truck League. A handout, Food Truck Fees was distributed.

Lincoln Shurtz, Utah League of Counties spoke in favor of the bill.

Cameron Diehl, Director of Government Affairs, Utah League of Cities and Towns spoke in favor of the bill.

Troy Wardle, Utah Restaurant Association expressed concerns with the bill.

Adam Terry, owner, Waffle Love spoke in favor of the bill.

Coy Porter, State Fire Marshall spoke in favor of the bill.

Nicholas Watts, owner, Chedda Burger spoke in favor of the bill.

Tim Stay, CEO, The Other Side Academy spoke in favor of the bill.

Kit, Krajeski, Taco Cartel, LLC spoke in favor of the bill.

Clayton Greyhill, Taqueria spoke in favor of the bill.

MOTION:     Sen. Hemmert moved to pass S.B. 250 out favorably. The motion passed with a vote of 6-0-2.

2. S.B. 248 Physical Therapy Licensure Compact (Vickers, E.)

Sen. Vickers presented the bill with the assistance of Linda Scholl, Physical Therapist, Utah Physical Therapy Association.

MOTION:     Sen. Ipson moved to pass S.B. 248 out favorably. The motion passed with a vote of 6-0-2.

3. S.B. 222 Equitable Allocation of Public Transit District Funding (Mayne, K.)

Sen. Mayne explained the bill.

Robert Jolley, West Valley City spoke in favor of the bill.

MOTION:     Sen. Davis moved to pass S.B. 222 out favorably. The motion passed with a vote of 6-0-2.

4. 1st Sub. H.B. 238 Payment of Wages Act Amendments (Hawkes, T.)

Rep. Hawkes explained the bill.

Sen. Davis assumed the chair.

Jaceson Maughan, Labor Commission spoke in favor of the bill.

MOTION:     Sen. Bramble moved to pass 1st Substitute H.B. 238 out favorably. The motion passed with a vote of 6-0-2.

5. 1st Sub. H.B. 42 Insurance Related Modifications (Dunnigan, J.)

Rep. Dunnigan explained the bill.

MOTION:     Sen. Bramble moved to amend 1st Substitute H.B. 42 with Amendment #3.

1.    Page 2, Line 45:  

45   ►      addresses when an insurer

2.    Page 22, Lines 657 through 659:    

657 (3) "ORSA guidance manual" means the

658Assessment Guidance Manual developed and adopted by the National Association of Insurance

659Commissioners and as amended from time to time.

3.    Page 73, Lines 2249 through 2252:        

2249[(4)] (5) If an insurer

2250Subsection [(2)] (3), there is a rebuttable presumption that in placing a risk with the insurer the

2251contracted or appointed licensee or any of the licensee's licensed employees act on behalf of the

2252insurer.

4.    Page 76, Lines 2333 through 2335:        

2333[(6)] (7) If an agency

2334Subsection (2) or [(5)] (6), there is a rebuttable presumption that the contracted or designated

2335licensee acts on behalf of the agency.

5.    Page 77, Lines 2353 through 2361:        

2353(1) Subject to the other provisions in this section, a title insurer that

2354appoints an individual title insurance producer or an agency title insurance producer is liable to

2355 a buyer, seller, borrower, lender, or third party that deposits money with the individual title

2356insurance producer or agency title insurance producer for the receipt and disbursement of

2357money deposited with the individual title insurance producer or agency title insurance producer

2358for a transaction when a commitment for a policy of title insurance of that title insurer is

2359ordered, issued, or distributed or a title insurance policy of that title insurer is issued, except

2360that once a title insurer is named in an issued commitment only that title insurer is liable as a

2361title insurer under this section.

6.    Page 87, Lines 2682 through 2684:        

2682[(7)] (8) If a navigator agency

2683submitted under Subsection (3) or [(6)] (7), there is a rebuttable presumption that the

2684contracted or designated licensee acts on behalf of the navigator agency.

7.    Page 95, Lines 2921 through 2923:        

2921[(6)] (7) If an agency

2922Subsection (2) or [(5)] (6), there is a rebuttable presumption that the contracted or designated

2923licensee acts on behalf of the agency.

8.    Page 102, Lines 3133 through 3136:      

3133(4) A public adjuster shall keep at the public adjuster's principal place of business

3134this state  

3135and each contract shall be available at all times for inspection, without notice, by the

3136commissioner or the commissioner's authorized representative.

9.    Page 102, Lines 3142 through 3146:      

3142(1) Except as provided by Subsection (2), a public adjuster may receive compensation

3143for service provided under this chapter consisting of an hourly fee, a flat rate, a percentage of

3144the total amount paid by an insurer to resolve a claim, or another method of compensation.

3145total compensation received may not exceed 10% of the amount of the insurance settlement on

3146the claim.  

10.  Page 154, Lines 4745 through 4748:      

4745(1) The amendments in this bill to Section 31A-3-102 and Section 59-7-102 have

4746retrospective operation for a taxable year beginning on or after January 1, 2017

4747amendments to Subsections 31A-3-102(2)(b) and 59-7-102(1)(g) have retrospective operation

4748for a taxable year beginning on or after January 1, 2011  

The motion passed with a vote of 6-0-2.

Brett Barratt, Insurance Commissioner further explained the bill.

MOTION:     Sen. Bramble moved to pass 1st Substitute H.B. 42 out favorably. The motion passed with a vote of 5-0-3.

6. H.C.R. 13 Concurrent Resolution for Public Employees' Benefit and Insurance Program (Dunnigan, J.)

Rep. Dunnigan explained the resolution with the assistance of Paul Anderton, Chief Actuary, Public Employees Health Plan.

MOTION:     Sen. Bramble moved to pass H.C.R. 13 out favorably. The motion failed with a vote of 3-3-2.

7. S.B. 129 Salvage Vehicle Amendments (Bramble, C.)

Sen. Bramble presented the bill with the assistance of Robert Jolley, LKQ (online used auto parts)

Kevin Park, Insurance Auto Auctions Inc. expressed concerns with the bill.

Wayne Jones, Executive Director, Used Car Dealers Association spoke to the bill.

Gary Thorup attorney, Copart spoke to the bill.

MOTION:     Sen. Bramble moved to replace S.B. 129 with 2nd Substitute S.B. 129. The motion passed with a vote of 6-0-2.

MOTION:     Sen. Bramble moved to pass 2nd Substitute S.B. 129 out favorably. The motion passed with a vote of 6-0-2.

MOTION:     Sen. Weiler moved to reconsider action on HCR 13. The motion passed with a vote of 6-0-2.

8. H.C.R. 13 Concurrent Resolution for Public Employees' Benefit and Insurance Program (Dunnigan, J.)

MOTION:     Sen. Weiler moved to pass H.C.R. 13 out favorably. The motion passed with a vote of 5-1-2.

MOTION:     Sen. Bramble moved to adjourn. The motion passed with a vote of 6-0-2.

Acting Chair Davis adjourned the meeting at 6:26 p.m.

___________________________

Sen. Curtis S. Bramble, Chair