MINUTES OF THE
NATURAL RESOURCES, AGRICULTURE, AND ENVIRONMENTAL QUALITY APPROPRIATIONS SUBCOMMITTEE
Tuesday, August 16, 2022 • 8:30 a.m. • 210 Senate Building


Members Present:
Sen. David P. Hinkins, Senate Chair
Rep. Scott H. Chew, House Vice Chair
Sen. Gene Davis
Sen. Jani Iwamoto
Sen. Daniel McCay
Sen. Scott D. Sandall
Sen. Ronald M. Winterton
Rep. Carl R. Albrecht
Rep. Stephen G. Handy
Rep. Brian S. King
Rep. Phil Lyman
Rep. Doug Owens
Rep. Casey Snider
Rep. Keven J. Stratton

Members Absent:
Rep. Stewart E. Barlow, House Chair
Sen. David G. Buxton
Rep. Timothy D. Hawkes
Rep. Ryan D. Wilcox

Staff Present:
Ivan D. Djambov, Finance Manager
Lacey K. Moore, Financial Analyst
Nancy Skidmore, Committee Secretary

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

1.Call to Order
Chair Chew called the meeting to order at 8:35 a.m.
2.Approval of Minutes from June 14th, 2022
MOTION:Sen. Winterton moved to approve the minutes of the June 14, 2022 meeting.The motion passed with a vote of 13-0-5.
Yeas - 13Nays- 0Abs- 5
Rep. C. Albrecht
Rep. S. Chew
Sen. G. Davis
Rep. S. Handy
Sen. D. Hinkins
Sen. J. Iwamoto
Rep. B. King
Rep. P. Lyman
Rep. D. Owens
Sen. S. Sandall
Rep. C. Snider
Rep. K. Stratton
Sen. R. Winterton
Rep. S. Barlow
Sen. D. Buxton
Rep. T. Hawkes
Sen. D. McCay
Rep. R. Wilcox
3.Department of Agriculture and Food Accountable Budget Review
Lacey Moore, Senior Financial Analyst, presented the Accountable Budget Process and recommendations.
3) Hemp/Cannabis Vehicle Proposal
3) LFA Presentation - Accountable Budget Review
3) LFA Recommendations - Accountable Budget Review
3) UDAF Presentation - Accountable Budget Response
3) UDAF Statutory Structure
Sen. Sandall asked for the current balance of the ARDL funding and when the ARDL funding will be gone. Lacey Moore responded.
Rep. Lyman asked about the sources of the ARDL funding. Lacey Moore responded.
Rep. Albrecht asked about the recommendations for the Rangeland Improvement Program. Lacey Moore responded.
Craig Buttars, Commissioner, Utah Department of Agriculture and Food (UDAF) and Melanie Henderson, Finance Director, UDAF, responded to the Accountable Budget Process recommendations.
Sen. Sandall asked about Utah's Own performance measures, including the amount of participants in the program, if those participants pay a fee, and are monitored. Craig Buttars responded.
Rep. Lyman asked if hemp and cannibas are being promoted by labs and inspectors. Craig Buttars responded.
Sen. Davis expressed a desire to see an increase in the number of Utah Own's participants. Craig Buttars responded.
4.Grazing Permits on School and Institutional Trust Lands
Michelle McConkie, Director, SITLA, and Chris Fausett, Assistant Director, SITLA, presented an overview of the grazing program.
4) SITLA Grazing Program Overview
Rep. Chew asked how grazing fees are used. Michelle McConkie and Chris Fausett responded
Rep. Albrecht asked for clarification of the language authorizing up to 10 perent for range improvement projects. Chris Fausett responded.
5.Drought Impacts on Water Rights
Teresa Wilhelmsen, State Engineer, Division of Water Rights and Blake Bingham, Deputy State Engineer, Division of Water Rights, presented on the impact of drought to water rights.
Rep. Lyman asked about water rights disclosures from municipalities. Teresa Wilhelmsen responded.
Rep. Snider asked questions about ground water use. Teresa Wilhelmsen responded.
Sen. Sandall asked if the diversion water accounting model will still work as the state continues to grow. Teresa Wilhelmsen responded.
Rep. Albrecht asked if the Division of Water Rights receives water logs from the Division of Oil, Gas, and Mining. Teresa Wilhelmsen responded.
6.Office of Energy Development
Harry Hansen, Director of Communications, Office of Energy Development (OED), Debi Carty, Director of Finance, OED, and Alyssa Kay, Director of Program Development, OED, presented a review of the Office of Energy Development's programs.
Sen. Winterton asked if tax credits are state or federal dollars. Harry Hansen responded.
Rep. Albrecht asked for a list of the high cost infrastructure projects discussed, and expressed concerns about using state dollars for tax credits on solar projects. Harry Hansen responded.
Sen. Davis commented on the federal money coming from the Inflation Reduction Act and asked how the state will be using funding from the act. Harry Hansen responded.
Rep. Lyman asked about the disparity of gas prices between the Midwest and the Western states. Harry Hansen responded.
Sen. Hinkins asked if using tier three fuel has increased gas costs. Harry Hansen responded.
7.Tar Sands for Highway Construction
Jim Reidhead and Chris Winkler, private contractors, presented on mining native tar sands for highway construction
Tar Sands Information Sheets
Rep. Hinkins asked for an explanation of what this presentation is asking from the Legislature. Chris Winkler and Jim Reidhead responded.
Sen. Davis suggested that the Inflation Reduction Act money could be used for this project.
Rep. Lyman asked about the supply of tar sands in Utah. Chris Winkler and Jim Reidhead responded.
MOTION:Sen. Hinkins moved to adjourn.The motion passed with a vote of 10-0-8.
Yeas - 10Nays- 0Abs- 8
Rep. C. Albrecht
Rep. S. Chew
Sen. G. Davis
Sen. D. Hinkins
Sen. J. Iwamoto
Rep. P. Lyman
Rep. D. Owens
Rep. C. Snider
Rep. K. Stratton
Sen. R. Winterton
Rep. S. Barlow
Sen. D. Buxton
Rep. S. Handy
Rep. T. Hawkes
Rep. B. King
Sen. D. McCay
Sen. S. Sandall
Rep. R. Wilcox
Chair Chew adjourned the meeting at 11:06 a.m.
8.Adjourn