MINUTES OF THE
EXECUTIVE APPROPRIATIONS COMMITTEE
Monday, December 9, 2024 • 2:00 p.m. • 445 State Capitol


Members Present:
Sen. Jerry W. Stevenson, Senate Chair
Rep. Val L. Peterson, House Chair
Rep. Robert M. Spendlove, House Vice Chair
President J. Stuart Adams
Sen. Kirk A. Cullimore
Sen. Luz Escamilla
Sen. Ann Millner
Sen. Stephanie Pitcher
Sen. Jen Plumb
Sen. Kathleen A. Riebe
Sen. Evan J. Vickers
Rep. Jennifer Dailey-Provost
Rep. Sandra Hollins
Rep. Rosemary T. Lesser
Rep. Karianne Lisonbee
Rep. Jefferson Moss
Rep. Angela Romero
Speaker Mike Schultz
Rep. Casey Snider

Members Absent:
Sen. Don L. Ipson, Senate Vice Chair

Staff Present:
Arielle Gulley, Office Manager
Jonathan Ball, Fiscal Analyst
Steven M. Allred, Deputy Fiscal Analyst
Dr. Andrea Wilko, Chief Economist

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/Approval of Minutes
Chair Peterson Called to order at 2:07 PM.
MOTION:Sen. Stevenson moved to approve the minutes of November 19, 2024.The motion passed with a vote of 12-0-8.
Yeas - 12Nays- 0Abs- 8
Sen. K. Cullimore
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. J. Moss
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Rep. J. Dailey-Provost
Sen. D. Ipson
Rep. K. Lisonbee
Sen. A. Millner
Sen. S. Pitcher
Rep. M. Schultz
Rep. C. Snider
2.Federal/Non-federal Grants and CARES Update
2. Federal/Non-federal Grants Packet, December 2024
2. GOPB COVID-19 Materials, December 2024
Duncan Evans, Senior Managing Director of Budget and Operations, Governor's Office of Planning and Budget (GOPB), Brad Newbold, Budget and Policy Analyst and Federal Assistance Management Officer, GOPB, and Josh Pittman, Financial Analyst, Legislative Fiscal Analyst, provided a CARES update and then presented the Federal/Non-federal Grants Packet for December 2024.
MOTION:Sen. Stevenson moved to recommend the approval of the federal and non-federal grants as shown in the packet entitled, "Federal/Non-Federal Grants Review and Approval" under the heading, "Grants Requiring EAC review and Recommendation" dated today, December 9, 2024. The motion passed with a vote of 13-0-7.
Yeas - 13Nays- 0Abs- 7
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. J. Moss
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Rep. K. Lisonbee
Sen. A. Millner
Sen. S. Pitcher
Rep. M. Schultz
Rep. C. Snider
3.Economic Update
Travis Eisenbacher, Senior Economist, LFA, presented the FY 2025 Long-Term Budget Report.
3a. FY 2025 Long-Term Budget Report
3a. FY 2025 Long-Term Budget Report - Presentation
Jonathan Ball provided comment.
Rep. Spendlove and Sen. Cullimore asked clarifying questions. Travis Eisenbacher responded.
Alejandra Rodriguez, Staff Economist, LFA, presented Appropriation Limits for FY 2025 an FY 2026.
3b-FY 2025 and FY 2026 Appropriations Limits
Jared Gibbs, Staff Economist, LFA, presented the Fiscal Health Checkup: Obligations and Reserves.
3c-Fiscal Health Checkup: Obligations and Reserves
4.Higher Education Construction Inflation and O&M Costs (JR3-2-402)
4. Higher Education Construction Cost Inflation
Joseph Fitzgerald presented on Higher Education Construction Cost Inflation.
5.Public Education Funding Framework (53F-2-208 and 53F-9-204)
5. Public Education Funding Framework, 2025 General Session
Ben Leishman, Finance Manager, LFA, presented the Public Education Funding Framework for the 2025 General Session.
Sen. Riebe and Rep. Lesser asked clarifying questions. Ben Leishman responded.
MOTION:Sen. Stevenson moved to accept recommendations one through five as outlined in the memorandum with the subject, "Public Education - Annual Base Budget Adjustments to Economic Stabilization, Subcommittee Interim Study, and Staff Recommendations" to this committee dated December 9, 2024. He further moved to direct staff to prepare the Public Education Base Budget bill consistent with these recommendations and consult with the chairs of the Public Education Appropriations Subcommittee and this committee on any changes.The motion passed with a vote of 19-0-1.
Yeas - 19Nays- 0Abs- 1
Sen. J. Adams
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. J. Moss
Rep. V. Peterson
Sen. S. Pitcher
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. C. Snider
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. D. Ipson
6.Medicaid Consensus Forecast
6. Medicaid Consensus Forecasting, December 2024
Russell Frandsen, Finance Officer, LFA, presented the Medicaid Consensus Forecasting.
Sen. Escamilla and Rep. Spendlove asked questions about the presentation. Russell Frandsen responded.
7.FY 2025 and FY 2026 Revenue Estimates and Comparison to Long-Term Trends
7. FY 2025 and FY 2026 Revenue Estimates, December 2024
7. Revenue Business Cycle Report
Andrea Wilko and Noah Hansen, Staff Economist, LFA, presented the FY 2025 and FY 2026 Revenue Estimates and the Revenue Business Cycle Report.
MOTION:Sen. Stevenson moved, under Joint Rule 3-2-402, to adopt the revised revenue estimates for FY 2025 (column c) and new estimates for FY 2026 (column e) as indicated on the green sheet titled "Fall Revenue Estimates (in thousand of dollars)" and dated today, December 9, 2024.The motion passed with a vote of 16-0-4.
Yeas - 16Nays- 0Abs- 4
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. C. Snider
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Rep. J. Moss
Sen. S. Pitcher
8.Subcommittee Allocations, Adjustments, and Funding Set-Asides
8. Base Budget Changes, Set-Asides, Transfers, and Other
8. Subcommittee Base Budgets, 2025 General Session
8. Summary and Crosswalk of December EAC Budget Actions
Jonathan Ball presented Subcommittee Allocations, Adjustments, and Funding Set-Asides.
Sen. Escamilla requested further information regarding the Rainy Day Fund. Jonathan Ball responded.
MOTION:Sen. Stevenson moved, under Joint Rule 3-2-402, to allocate to subcommittees for the 2025 General Session the amounts shown on the yellow sheet titled "Subcommittee Base Budgets, 2025 General Session" and dated today December 9, 2024. Amounts on this sheet represent ongoing General and Income Tax Fund appropriations made for the current fiscal year (FY 2025).The motion passed with a vote of 16-0-4.
Yeas - 16Nays- 0Abs- 4
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. C. Snider
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Rep. J. Moss
Sen. S. Pitcher
MOTION:Sen. Stevenson moved, under Joint Rule 3-2-101 and Joint Rule 3-2-402, to approve the additional spending items for inclusion in base budget bills as shown on the red sheet titled "Base Budget Changes and Set-Asides" and dated today, December 9, 2024. Set-aside items will be considered during the 2025 General Session.
Rep. Snider provided comment on the Panguitch Dam funding item. Jonathan Ball responded.
The motion passed with a vote 16-0-4.
Yeas - 16Nays- 0Abs- 4
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. C. Snider
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Rep. J. Moss
Sen. S. Pitcher
MOTION:Sen. Stevenson moved to waive the requirement in Joint Rule 3-2-402 to set aside an amount equal to the value of any reduction in the retirement amortization rate, pending compensation decisions during the 2025 General Session. The motion passed with a vote of 16-0-4.
Yeas - 16Nays- 0Abs- 4
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. C. Snider
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Rep. J. Moss
Sen. S. Pitcher
9.Compensation and ISF Funding Mix Exceptions
9. Funding Mix Exceptions, 2025 General Session
Nate Osborne, Financial Analyst, LFA, presented Compensation and ISF Funding Mix Exceptions.
MOTION:Sen. Stevenson moved to authorize the statutory, federal regulatory, and non-statutory exceptions for compensation and internal service fund appropriations bills as shown on pages 3 through 8 of the report presented to the committee today.The motion passed with a vote of 16-0-4.
Yeas - 16Nays- 0Abs- 4
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. C. Snider
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Rep. J. Moss
Sen. S. Pitcher
10.Adopt Base Budgets and Direct Preparation of Base Budget Bills
Steven Allred introduced the next agenda item, Adopt Base Budgets and Direct Preparation of Base Budget Bills.
MOTION:Sen. Stevenson moved, under Joint Rule 3-2-402, to authorize legislative staff to prepare and number base budget bills for each appropriations subcommittee and the Executive Appropriations Committee (EAC) as EAC bills to be introduced on the first day of the 2025 General Session Staff shall be included in these bills:1. The subcommittee allocations, base budget adjustments, and any associated intent language adopted in the previous motions;2. Federal Fund, Dedicated Credit, and restricted fund and account amounts that are the lesser of the current year ongoing appropriations or agency budget requests;3.Adjustments to nonlapsing balances, transfers, and other dependent amounts as calculated; and4. Accountable Process Budget adjustments adopted by appropriations subcommittees during the interim. In consultation with the Co-Chairs of the Executive appropriations Committee, staff may make any technical changes necessary, including balancing between the General Fund and Income Tax Fund, in order to balance the overall budget.The motion passed with a vote of 17-0-3.
Yeas - 17Nays- 0Abs- 3
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. J. Moss
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. C. Snider
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Sen. S. Pitcher
MOTION:Sen. Stevenson moved to authorize staff to prepare and number the State Agency and Higher Education Compensation Appropriations act as an EAC bill to be introduced on the first day of the 2025 General Session. Staff shall include in this bill funding for benefit cost changes recommended by the Utah Retirement Systems and Public Employees Health Program, other benefit rate adjustments, adjustments to termination pools as recommended by the Board of Trustees of the State Post-Retirement Benefits Trust, and a placeholder 1% labor market salary increase pending a final decision during the 2025 General Session.The motion passed with a vote of 17-0-3.
Yeas - 17Nays- 0Abs- 3
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. J. Moss
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. C. Snider
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Sen. S. Pitcher
MOTION:Sen. Stevenson moved to authorize legislative staff to prepare and number the State Agency Fees and Internal Service Fund Rate Authorization and Appropriations act as an EAC bill to be introduced on the first day of the 2025 General Session. Staff shall include in this bill the fees, internal service fund rates, and appropriations for rate impacts that will be considered during the 2025 General Session.The motion passed with a vote of 17-0-3.
Yeas - 17Nays- 0Abs- 3
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. J. Moss
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. C. Snider
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Sen. S. Pitcher
11.Other Business/Adjourn
11a. BEDL Subcommittee Memo Re: Accountable Process Budgets
11a. EOCJ Subcommittee Memo Re: Accountable Process Budgets
11a. NRAEQ Subcommittee Memo Re: Accountable Process Budgets
11a. SS Subcommittee Memo Re: Accountable Process Budgets
11b. URS and PEHP Rate Changes, 2025 General Session
11c. Turnover Savings Report, 2025 General Session
11c. Turnover Savings Report, 2025 General Session
11d. Utah Inland Port Authority Annual Report 2024
11e. Memorandum from UDOT Re: Status of the Purchase of a New State Aircraft
Chair Peterson and Sen. Stevenson recognized Rep. Spendlove and Rep. Lesser for their service to the State of Utah.
Sen. Vickers provided comment.
MOTION:Sen. Stevenson moved to adjourn.The motion passed with a vote of 16-0-4.
Yeas - 16Nays- 0Abs- 4
Sen. K. Cullimore
Rep. J. Dailey-Provost
Sen. L. Escamilla
Rep. S. Hollins
Rep. R. Lesser
Rep. K. Lisonbee
Sen. A. Millner
Rep. J. Moss
Rep. V. Peterson
Sen. J. Plumb
Sen. K. Riebe
Rep. A. Romero
Rep. M. Schultz
Rep. R. Spendlove
Sen. J. Stevenson
Sen. E. Vickers
Sen. J. Adams
Sen. D. Ipson
Sen. S. Pitcher
Rep. C. Snider
Chair Peterson adjourned the meeting at 3:36 PM.