MINUTES OF THE
HOUSE REVENUE AND TAXATION STANDING COMMITTEE
Monday, March 2, 2020 • 8:00 a.m. • 445 State Capitol


Members Present:
Rep. Robert M. Spendlove, Chair
Rep. Tim Quinn, Vice Chair
Rep. Kyle R. Andersen
Rep. Stewart E. Barlow
Rep. Steve Eliason
Rep. Stephanie Pitcher
Rep. Douglas V. Sagers
Rep. Rex P. Shipp
Rep. Andrew Stoddard
Rep. Mark A. Strong
Rep. Norman K. Thurston

Members Absent:
Rep. Joel K. Briscoe
Rep. Jefferson Moss
Rep. Mike Schultz
Speaker Brad R. Wilson

Staff Present:
Ryan M. Hunter, Policy Analyst
Linda Service, Committee Secretary

Note: A copy of related materials and an audio recording of the meeting can be found at www.le.utah.gov.

Vice Chair Quinn called the meeting to order at 8:04 a.m.
MOTION: Rep. Spendlove moved to approve the minutes of the February 25, 2020 meeting. The motion passed with a vote of 8-0-7.
Yeas - 8Nays-0Abs-7
Rep. K. Andersen
Rep. S. Barlow
Rep. T. Quinn
Rep. D. Sagers
Rep. R. Shipp
Rep. R. Spendlove
Rep. M. Strong
Rep. N. Thurston
Rep. J. Briscoe
Rep. S. Eliason
Rep. J. Moss
Rep. S. Pitcher
Rep. M. Schultz
Rep. A. Stoddard
Rep. B. Wilson
1. H.B. 382 Property Tax Records Amendments (Ferry, J.)
Rep. Ferry explained the bill assisted by John Bond, Weber County Treasurer.
Dr. Ron Mortensen spoke to the bill.
MOTION: Rep. Shipp moved to amend H.B. 382 with Amendment #1. The motion passed with a vote of 7-0-8.
Amendment 1
H.B. 382
1.        Page 4, Lines 118 through 119: 
118                 (i) Title 59, Chapter 2, Part 11, Exemptions, Deferrals, and Abatements; { or }
119                 (ii) Title 59, Chapter 2, Part 12, Property Tax Relief { .   } ;
        (iii) Title 59, Chapter 18, Tax Deferral and Tax Abatement; or
        (iv) Title 59, Chapter 19, Armed Forces Exemptions.

Yeas - 7Nays-0Abs-8
Rep. K. Andersen
Rep. S. Barlow
Rep. T. Quinn
Rep. D. Sagers
Rep. R. Shipp
Rep. R. Spendlove
Rep. M. Strong
Rep. J. Briscoe
Rep. S. Eliason
Rep. J. Moss
Rep. S. Pitcher
Rep. M. Schultz
Rep. A. Stoddard
Rep. N. Thurston
Rep. B. Wilson
MOTION: Rep. Shipp moved to pass H.B. 382 out favorably as amended. The motion passed with a vote of 7-0-8.
Yeas - 7Nays-0Abs-8
Rep. K. Andersen
Rep. S. Barlow
Rep. T. Quinn
Rep. D. Sagers
Rep. R. Shipp
Rep. R. Spendlove
Rep. M. Strong
Rep. J. Briscoe
Rep. S. Eliason
Rep. J. Moss
Rep. S. Pitcher
Rep. M. Schultz
Rep. A. Stoddard
Rep. N. Thurston
Rep. B. Wilson
2. 1st Sub. H.B. 62 Enterprise Zone Tax Credit Amendments (Sagers, D.)
Rep. Sagers explained the bill.
MOTION: Rep. Spendlove moved to replace 1st Substitute H.B. 62 with 2nd Substitute H.B. 62. The motion passed with a vote of 7-0-8.
Yeas - 7Nays-0Abs-8
Rep. K. Andersen
Rep. S. Barlow
Rep. T. Quinn
Rep. D. Sagers
Rep. R. Shipp
Rep. R. Spendlove
Rep. M. Strong
Rep. J. Briscoe
Rep. S. Eliason
Rep. J. Moss
Rep. S. Pitcher
Rep. M. Schultz
Rep. A. Stoddard
Rep. N. Thurston
Rep. B. Wilson
MOTION: Rep. Spendlove moved to pass 2nd Substitute H.B. 62 out favorably. The motion passed with a vote of 6-1-8.
Yeas - 6Nays-1Abs-8
Rep. K. Andersen
Rep. S. Barlow
Rep. T. Quinn
Rep. D. Sagers
Rep. R. Shipp
Rep. R. Spendlove
Rep. M. Strong
Rep. J. Briscoe
Rep. S. Eliason
Rep. J. Moss
Rep. S. Pitcher
Rep. M. Schultz
Rep. A. Stoddard
Rep. N. Thurston
Rep. B. Wilson
MOTION: Rep. Spendlove moved to saunter. The motion passed with a vote of 7-0-8.
Yeas - 7Nays-0Abs-8
Rep. K. Andersen
Rep. S. Barlow
Rep. T. Quinn
Rep. D. Sagers
Rep. R. Shipp
Rep. R. Spendlove
Rep. M. Strong
Rep. J. Briscoe
Rep. S. Eliason
Rep. J. Moss
Rep. S. Pitcher
Rep. M. Schultz
Rep. A. Stoddard
Rep. N. Thurston
Rep. B. Wilson
Vice Chair Quinn called the meeting to order.
3. 1st Sub. S.C.R. 6 Concurrent Resolution for Study of Local Option Sales Tax (Bramble, C.)
Sen. Bramble explained the bill.
MOTION: Rep. Spendlove moved to pass 1st Substitute S.C.R. 6 out favorably. The motion passed with a vote of 7-0-8.
Yeas - 7Nays-0Abs-8
Rep. K. Andersen
Rep. S. Barlow
Rep. T. Quinn
Rep. R. Shipp
Rep. R. Spendlove
Rep. A. Stoddard
Rep. M. Strong
Rep. J. Briscoe
Rep. S. Eliason
Rep. J. Moss
Rep. S. Pitcher
Rep. D. Sagers
Rep. M. Schultz
Rep. N. Thurston
Rep. B. Wilson
4. S.B. 123 Small Business Job Creation Tax Credit Act (Bramble, C.)
Sen. Bramble explained the bill assisted by Mark Scheffel, Sr. Vice President, Advantage Capital; Jimmy Seear, CCS Composites; and Chris Gibson, CEO, Recursion.
Rep. Spendlove moved to amend S.B. 123 with Amendment #2.
Amendment 2
S.B. 123
1.        Page 6, Line 168 through Page 7, Line 185: 
168                 (18) "Tier one job" means a new annual job held by an employee who:
169                 (a) served in the active military, naval, or air service and who was discharged or
170         released under conditions other than dishonorable;
171                 (b) suffers from a disability; or
172                 (c) was found guilty of a crime and sentenced by a court to a prison term { ; or
173                   (d) was not a resident of Utah within the 12 months prior to holding the job } .
174                 { (19) "Tier three job" means all new annual jobs that are not tier one jobs or tier two
175         jobs. }
176                 { (20) } (21) "Tier two job" means a new annual job held by an employee who received or had
177         a family member who received, with neither still receiving, benefits under Utah Medicaid, Utah
178         Unemployment Insurance, the Utah Supplemental Nutrition Assistance Program, the Utah
179         Children's Health Insurance Program, Utah Head Start, or Utah Family Employment Program.
180                 { (21) } (22) "Small Business Job Creation fund" means a person approved by the office under
181         Section 63N-2-903.
182                 { (22) } (23) "Small Business Job Creation investment" means:
183                 (a) any capital or equity investment in an eligible business; or
184                 (b) any loan made from the investment authority to an eligible business with a stated
185         maturity at least one year after the date of issuance.

2.        Page 13, Line 399 through Page 14, Line 406: 
399                 (b) (i) The offset shall equal the sum of the following:
400                 (A) the product of the number of new annual jobs that are tier one jobs and $40,000; and
401                 (B) the product of the number of new annual jobs that are tier two jobs and $30,000 { ;
402         and
403                   (C) the product of the number of new annual jobs that are tier three jobs and $20,000 } .
404                 (ii) A $10,000 bonus shall be added to the offset for each of the following:
405                 (A) each new annual job at an eligible business whose principal business operations are
406         located in an opportunity zone; and

Rep. Spendlove withdrew the motion.
MOTION: Rep. Thurston moved to hold S.B. 123. The motion passed with a vote of 10-0-5.
Yeas - 10Nays-0Abs-5
Rep. K. Andersen
Rep. S. Barlow
Rep. S. Eliason
Rep. S. Pitcher
Rep. T. Quinn
Rep. D. Sagers
Rep. R. Shipp
Rep. R. Spendlove
Rep. M. Strong
Rep. N. Thurston
Rep. J. Briscoe
Rep. J. Moss
Rep. M. Schultz
Rep. A. Stoddard
Rep. B. Wilson
5. 3rd Sub. S.B. 69 Tax Credit for Educator Expenses (Anderegg, J.)
Sen. Anderegg explained the bill assisted by Jay Blain, Utah Education Association.
Jay Blain spoke in favor of the bill.
Kate Bradshaw, citizen, spoke in favor of the bill.
Rusty Cannon, Utah Tax Payers Association, spoke in favor of the bill.
MOTION: Rep. Spendlove moved to hold 3rd Substitute S.B. 69. The motion passed with a vote of 10-0-5.
Yeas - 10Nays-0Abs-5
Rep. K. Andersen
Rep. S. Barlow
Rep. S. Eliason
Rep. S. Pitcher
Rep. T. Quinn
Rep. D. Sagers
Rep. R. Shipp
Rep. R. Spendlove
Rep. M. Strong
Rep. N. Thurston
Rep. J. Briscoe
Rep. J. Moss
Rep. M. Schultz
Rep. A. Stoddard
Rep. B. Wilson
MOTION: Rep. Thurston moved to adjourn. The motion passed with a vote of 10-0-5.
Yeas - 10Nays-0Abs-5
Rep. K. Andersen
Rep. S. Barlow
Rep. S. Eliason
Rep. S. Pitcher
Rep. T. Quinn
Rep. D. Sagers
Rep. R. Shipp
Rep. R. Spendlove
Rep. M. Strong
Rep. N. Thurston
Rep. J. Briscoe
Rep. J. Moss
Rep. M. Schultz
Rep. A. Stoddard
Rep. B. Wilson
Vice Chair Quinn adjourned the meeting at 9:56 a.m.