H.B. 141 Enrolled

MEDICAL EDUCATION PROGRAM
1997 GENERAL SESSION
STATE OF UTAH
Sponsor: J. Brent Haymond
AN ACT RELATING TO STATE AFFAIRS IN GENERAL; CREATING THE MEDICAL
EDUCATION PROGRAM AND COUNCIL; DEFINING TERMS; EXEMPTING
EMPLOYEES OF THE COUNCIL FROM THE STATE PAY PLAN; ENUMERATING
THE DUTIES AND POWERS OF THE COUNCIL IN SECURING FEDERAL
FUNDING FOR GRADUATE MEDICAL EDUCATION THROUGH A
DEMONSTRATION PROJECT; DETERMINING THE TRAINING NEEDS OF
HEALTH CARE PROFESSIONALS; AND DISTRIBUTING FUND MONIES.
This act affects sections of Utah Code Annotated 1953 as follows:
AMENDS:
67-19-12, as last amended by Chapters 192 and 283, Laws of Utah 1996
ENACTS:
63C-7-101, Utah Code Annotated 1953
63C-7-102, Utah Code Annotated 1953
63C-7-103, Utah Code Annotated 1953
63C-7-104, Utah Code Annotated 1953
63C-7-105, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 63C-7-101 is enacted to read:
CHAPTER 7. MEDICAL EDUCATION PROGRAM
63C-7-101. Definitions.
As used in this chapter:
(1) "Accredited clinical training program" means a clinical training program that is
accredited by an entity recognized within medical education circles as an accrediting body for
medical education, advanced practice nursing education, physician assistance education, or doctor
of pharmacy education.

(2) "Accredited clinical education program" means a clinical education program for a health
care profession that is accredited by the Accreditation Council on Graduate Medical Education.
(3) "Council" means the Medical Education Council created under Section 63C-7-103.
(4) "Health Care Financing Administration" means the Health Care Financing
Administration within the United States Department of Health and Human Services.
(5) "Health care professionals in training" means medical students and residents, advance
practice nursing students, physician assistant students, and doctor of pharmacy students.
(6) "Program" means the Medical Education Program created under Section 63C-7-102.
Section 2. Section 63C-7-102 is enacted to read:
63C-7-102. Medical Education Program.
(1) There is created a Medical Education Program to be administered by the Medical
Education Council in cooperation with the Division of Finance.
(2) The program shall be funded from monies received for graduate medical education from:
(a) the federal Health Care Financing Administration or other federal agency;
(b) state appropriations; and
(c) donation or private contributions.
(3) All funding for this program shall be nonlapsing.
(4) Program monies may only be expended if:
(a) approved by the council; and
(b) used for graduate medical education in accordance with Subsection 63C-7-104(7).
Section 3. Section 63C-7-103 is enacted to read:
63C-7-103. Medical Education Council.
(1) There is created the Medical Education Council consisting of the following members
appointed by the governor:
(a) the dean of the school of medicine at the University of Utah;
(b) a person who represents graduate medical education at the University of Utah;
(c) a person from each institution, other than the University of Utah, that sponsors an
accredited clinical education program;

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(d) a person from the health care insurance industry; and
(e) three members of the general public who are not employed by or affiliated with any
institution that offers, sponsors, or finances health care or medical education; however, the governor
may appoint an additional member of the public under this Subsection (1)(e) for each person the
governor appoints that increases the total number of persons appointed under Subsection (1)(c)
beyond two.
(2) Except as provided in Subsection (1)(a) and (b), no two council members may be
employed by or affiliated with the same:
(a) institution of higher education;
(b) state agency outside of higher education; or
(c) private entity.
(3) The dean of the school of medicine at the University of Utah:
(a) shall chair the council;
(b) may not be counted in determining the existence of a quorum; and
(c) may only cast a vote on a matter before the council if the vote of the other council
members results in a tied vote.
(4) The council shall annually elect a vice chair from among the members of the council.
(5) (a) Consistent with Subsection (6)(b), a majority of the council members constitute a
quorum.
(b) The action of a majority of a quorum is the action of the council.
(6) (a) Except as provided in Subsection (6)(b), members are appointed to four-year terms
of office.
(b) Notwithstanding Subsection (6)(a), the governor shall, at the time of the initial
appointment, adjust the length of terms to ensure that the terms of council members are staggered
so that approximately half of the council is appointed every two years.
(c) If a vacancy occurs in the membership for any reason, the replacement shall be appointed
by the governor for the unexpired term in the same manner as the original appointment was made.
(7) (a) Per diem and expenses incurred in the performance of official duties may be paid at

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the rates established by the Division of Finance under Section 63A-3-106 and Section 63A-3-107
to a council member:
(i) who is not a government employee; or
(ii) who is a government employee, but does not receive salary, per diem, or expenses from
the council member's employing unit for service to the council.
(b) A council member may decline to receive per diem and expenses for service to the
council.
Section 4. Section 63C-7-104 is enacted to read:
63C-7-104. Duties of council.
The council shall:
(1) submit an application in accordance with federal law for a demonstration project to the
Health Care Financing Administration before December 31, 1997, for the purpose of receiving and
disbursing federal funds for direct and indirect graduate medical education expenses;
(2) seek private and public contributions for the program;
(3) study and recommend options for financing graduate medical education to the State
Board of Regents and the Legislature;
(4) advise the State Board of Regents and the Legislature on the status and needs of health
care professionals in training;
(5) determine the method for reimbursing institutions that sponsor health care professionals
in training;
(6) determine the number and type of positions for health care professionals in training for
which program monies may be used; and
(7) distribute program monies for graduate medical education in a manner that:
(a) prepares postgraduate medical residents, as defined by the accreditation council on
graduate medical education, for inpatient, outpatient, hospital, community, and geographically
diverse settings;
(b) encourages the coordination of interdisciplinary clinical training among health care
professionals in training;

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(c) promotes stable funding for the clinical training of health care professionals in training;
and
(d) only funds accredited clinical training programs.
Section 5. Section 63C-7-105 is enacted to read:
63C-7-105. Powers of council.
The council may:
(1) conduct surveys, with the assistance of the Division of Occupational and Professional
Licensing within the Department of Commerce, to assess and meet changing market and education
needs;
(2) appoint advisory committees of broad representation on interdisciplinary clinical
education, workforce mix planning and projections, funding mechanisms, and other topics as is
necessary;
(3) use federal monies for necessary administrative expenses to carry out its duties and
powers as permitted by federal law;
(4) distribute program monies in accordance with Subsection 63C-7-104(7); and
(5) as is necessary to carry out its duties under Section 63C-7-104:
(a) hire employees; and
(b) adopt rules in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking
Act.
Section 6. Section 67-19-12 is amended to read:
67-19-12. State pay plans -- Applicability of section -- Exemptions from section --
Duties of director.
(1) (a) This section, and the rules adopted by the department to implement this section, apply
to each career and noncareer state employee not specifically exempted under Subsection (2).
(b) If not exempted under Subsection (2), a state employee is considered to be in classified
service.
(2) (a) The following state employees are exempt from this section:
(i) members of the Legislature and legislative employees;

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(ii) members of the judiciary and judicial employees;
(iii) elected members of the executive branch and their direct staff who are merit-exempt
employees;
(iv) certificated employees of the State Board of Education;
(v) officers, faculty, and other employees of state institutions of higher education;
(vi) employees in any position for which the salary is set by statute;
(vii) attorneys in the Office of the Attorney General;
(viii) department heads and other persons appointed by the governor pursuant to statute;
(ix) employees of the Department of Community and Economic Development whose
positions are designated as executive/professional positions by the executive director of the
Department of Community and Economic Development with the concurrence of the director;
(x) deputy, division, and assistant directors and administrative assistants who report directly
to a department head or his equivalent; [and]
(xi) employees of the Medical Education Council; and
[(xi)] (xii) any other person whose appointment is required by law to be approved by the
governor.
(b) The executive director shall determine the salary range and other employment benefits
for appointees under Subsection (2)(a)[(xi)](xii).
(3) (a) The director shall prepare, maintain, and revise a position classification plan for each
employee position not exempted under Subsection (2) to provide equal pay for equal work.
(b) Classification of positions shall be based upon similarity of duties performed and
responsibilities assumed, so that the same qualifications may reasonably be required for, and the
same salary range may be applied equitably to, each position in the same class.
(c) The director shall allocate or reallocate the position of each employee in classified
service to one of the classes in the classification plan.
(d) (i) The department shall conduct periodic studies and desk audits to provide that the
classification plan remains reasonably current and reflects the duties and responsibilities assigned
to and performed by employees.

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(ii) The director shall determine the schedule for studies and desk audits after considering
factors such as changes in duties and responsibilities of positions or agency reorganizations.
(4) (a) With the approval of the governor, the director shall develop and adopt pay plans for
each position in classified service.
(b) The director shall design each pay plan to achieve, to the degree that funds permit,
comparability of state salary ranges to salary ranges used by private enterprise and other public
employment for similar work.
(c) The director shall adhere to the following in developing each pay plan:
(i) Each pay plan shall consist of sufficient salary ranges to permit adequate salary
differential among the various classes of positions in the classification plan.
(ii) The director shall assign each class of positions in the classification plan to a salary range
and shall set the width of the salary range to reflect the normal growth and productivity potential of
employees in that class. The width of the ranges need not be uniform for all classes of positions in
the plan, but each range shall contain merit steps in increments of 2.75% salary increases.
(iii) The director shall issue rules for the administration of pay plans. The rules may provide
for exceptional performance increases and for a program of incentive awards for cost-saving
suggestions and other commendable acts of employees. The director shall issue rules providing for
salary adjustments.
(iv) Merit step increases shall be granted, if funds are available, to employees who receive
a rating of "successful" or higher in an annual evaluation of their productivity and performance.
(v) By October 15 of each year, the director shall submit market comparability adjustments
to the state budget officer for consideration to be included as part of the affected agency's base
budgets.
(vi) By October 31 of each year, the director shall recommend a compensation package to
the governor.
(vii) Adjustments shall incorporate the results of a total compensation market survey of
salary ranges and benefits of a reasonable cross section of comparable benchmark positions in
private and public employment in the state. The survey may also study comparable unusual

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positions requiring recruitment outside Utah in the surrounding western states. The director may
cooperate with other public and private employers in conducting the survey.
(viii) The director shall establish criteria to assure the adequacy and accuracy of the survey
and shall use methods and techniques similar to and consistent with those used in private sector
surveys. Except as provided under Section 67-19-12.3, the survey shall include a reasonable cross
section of employers. The director may cooperate with or participate in any survey conducted by
other public and private employers.
(ix) The establishing of a salary range is a nondelegable activity subject to Subsection
67-19-8(1) and is not appealable under the grievance procedures of Sections 67-19-30 through
67-19-32, Title 67, Chapter 19a, Grievance and Appeal Procedures, or otherwise.
(x) The governor shall:
(i) consider salary adjustments recommended under Subsection (4)(c)(vi) in preparing the
executive budget and shall recommend the method of distributing the adjustments;
(ii) submit compensation recommendations to the Legislature; and
(iii) support the recommendation with schedules indicating the cost to individual
departments and the source of funds.
(xi) If funding is approved by the Legislature in a general appropriations act, the adjustments
take effect on the July 1 following the enactment.
(5) (a) The director shall regularly evaluate the total compensation program of state
employees in the classified service.
(b) The department shall determine if employee benefits are comparable to those offered by
other private and public employers using information from:
(i) the most recent edition of the Employee Benefits Survey Data conducted by the U.S.
Chamber of Commerce Research Center; or
(ii) the most recent edition of a nationally recognized benefits survey.
(6) (a) The director shall submit proposals for a state employee compensation plan to the
governor by October 31 of each year, setting forth findings and recommendations affecting state
employee compensation.

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(b) The governor shall consider the director's proposals in preparing budget
recommendations for the Legislature.
(c) The governor's budget proposals to the Legislature shall include a specific
recommendation on state employee compensation.

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