Download Zipped Enrolled WP 6.1 HB0187.ZIP 23,623 Bytes
[Introduced][Amended][Status][Bill Documents][Fiscal Note][Bills Directory]
H.B. 187 Enrolled
Wayne A. Harper
AN ACT RELATING TO STATE INSTITUTIONS; ESTABLISHING AN INDEPENDENT
STATE AGENCY CALLED THE UTAH COMMUNICATIONS AGENCY NETWORK
TO PROVIDE FOR GOVERNMENTAL PUBLIC SAFETY COMMUNICATIONS
SERVICES AND FACILITIES; ALLOWING PARTICIPATION IN THE RISK
MANAGEMENT FUND; SPECIFYING THE POWERS AND PURPOSES OF THE
NETWORK; PROVIDING DEFINITIONS; ESTABLISHING THE BOARD AND
EXECUTIVE COMMITTEE AND ENACTING PROVISIONS FOR THEIR
GOVERNANCE; PROVIDING FOR AN EXECUTIVE DIRECTOR; OUTLINING THE
DUTIES AND POWERS OF THE EXECUTIVE DIRECTOR; PERMITTING THE
CONVEYANCE OR ACQUISITION OF PROPERTY BY THE NETWORK;
RECOGNIZING THE PROPERTY AND FUNDS OF THE NETWORK TO BE PUBLIC
PROPERTY AND EXEMPT FROM TAXES; PROVIDING FOR THE DISSOLUTION
OF THE NETWORK, AND THE REMOVAL OF A MEMBER; AUTHORIZING
BONDING; ENACTING PROVISIONS RELATED TO BONDING; PROVIDING FOR
INVESTMENT OF NETWORK FUNDS; EXEMPTING THE NETWORK FROM
CERTAIN ACTS; PROVIDING FOR CERTAIN REPORTING; PROVIDING THAT
THE LEGISLATURE MAY PROVIDE AN APPROPRIATION FOR THE RESERVE
FUNDS FOR DEBT SERVICE; ENACTING PROVISIONS RELATING TO DEBT
SERVICE; AND REQUIRING THE GOVERNOR TO INCLUDE THE STATE'S
PORTION OF THE NETWORK'S BUDGET IN HIS BUDGET.
This act affects sections of Utah Code Annotated 1953 as follows:
AMENDS:
63-38-2, as last amended by Chapter 136, Laws of Utah 1996
ENACTS:
63A-4-205.5, Utah Code Annotated 1953
63C-7-101, Utah Code Annotated 1953
63C-7-102, Utah Code Annotated 1953
63C-7-103, Utah Code Annotated 1953
63C-7-201, Utah Code Annotated 1953
63C-7-202, Utah Code Annotated 1953
63C-7-203, Utah Code Annotated 1953
63C-7-204, Utah Code Annotated 1953
63C-7-205, Utah Code Annotated 1953
63C-7-206, Utah Code Annotated 1953
63C-7-207, Utah Code Annotated 1953
63C-7-208, Utah Code Annotated 1953
63C-7-209, Utah Code Annotated 1953
63C-7-210, Utah Code Annotated 1953
63C-7-211, Utah Code Annotated 1953
63C-7-301, Utah Code Annotated 1953
63C-7-302, Utah Code Annotated 1953
63C-7-303, Utah Code Annotated 1953
63C-7-304, Utah Code Annotated 1953
63C-7-305, Utah Code Annotated 1953
63C-7-306, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 63-38-2 is amended to read:
63-38-2. Governor to submit budget to Legislature -- Contents -- Preparation --
Appropriations based on current tax laws and not to exceed estimated revenues.
(1) (a) The governor shall, within three days after the convening of the Legislature in the
annual general session, submit a budget for the ensuing fiscal year by delivering it to the presiding
officer of each house of the Legislature together with a schedule for all of the proposed
appropriations of the budget, clearly itemized and classified.
(b) The budget message shall include a projection of estimated revenues and expenditures
for the next fiscal year.
(2) At least 34 days before the submission of any budget, the governor shall deliver a
confidential draft copy of his proposed budget recommendations to the Office of the Legislative
Fiscal Analyst.
(3) (a) The budget shall contain a complete plan of proposed expenditures and estimated
revenues for the next fiscal year based upon the current fiscal year state tax laws and rates.
(b) The budget may be accompanied by a separate document showing proposed expenditures
and estimated revenues based on changes in state tax laws or rates.
(4) The budget shall be accompanied by a statement showing:
(a) the revenues and expenditures for the last fiscal year;
(b) the current assets, liabilities, and reserves, surplus or deficit, and the debts and funds of
the state;
(c) an estimate of the state's financial condition as of the beginning and the end of the period
covered by the budget;
(d) a complete analysis of lease with an option to purchase arrangements entered into by
state agencies;
(e) the recommendations for each state agency for new full-time employees for the next
fiscal year; which recommendation should be provided also to the State Building Board under
Subsection 63A-5-103(2);
(f) any explanation the governor may desire to make as to the important features of the
budget and any suggestion as to methods for the reduction of expenditures or increase of the state's
revenue; and
(g) the information detailing certain regulatory fee increases required by Section 63-38-3.2.
(5) The budget shall include an itemized estimate of the appropriations for:
(a) the Legislative Department as certified to the governor by the president of the Senate and
the speaker of the House;
(b) the Executive Department;
(c) the Judicial Department as certified to the governor by the state court administrator;
(d) payment and discharge of the principal and interest of the indebtedness of the state of
Utah;
(e) the salaries payable by the state under the Utah Constitution or under law for the lease
agreements planned for the next fiscal year;
(f) other purposes that are set forth in the Utah Constitution or under law; and
(g) all other appropriations.
(6) Deficits or anticipated deficits shall be included in the budget.
(7) (a) (i) For the purpose of preparing and reporting the budget, the governor shall require
from the proper state officials, including public and higher education officials, all heads of executive
and administrative departments and state institutions, bureaus, boards, commissions, and agencies
expending or supervising the expenditure of the state moneys, and all institutions applying for state
moneys and appropriations, itemized estimates of revenues and expenditures. The entities required
by this subsection to submit itemized estimates of revenues and expenditures to the governor, shall
also report to the Utah Information Technology Commission created in Title 63C, Chapter 2, before
October 30 of each year. The report to the Information Technology Commission shall include the
proposed information technology expenditures and objectives, the proposed appropriation requests
and other sources of revenue necessary to fund the proposed expenditures and an analysis of:
(A) the entity's need for appropriations for information technology;
(B) how the entity's development of information technology coordinates with other state or
local government entities;
(C) any performance measures used by the entity for implementing information technology
goals; and
(D) any efforts to develop public/private partnerships to accomplish information technology
goals.
(ii) (A) The governor may also require other information under these guidelines and at times
as the governor may direct.
(B) These guidelines may include a requirement for program productivity and performance
measures, where appropriate, with emphasis on outcome indicators.
(b) The estimate for the Legislative Department as certified by the presiding officers of both
houses shall be included in the budget without revision by the governor. Before preparing the
estimates for the Legislative Department, the Legislature shall report to the Information Technology
Commission the proposed information technology expenditures and objectives, the proposed
appropriation requests and other sources of revenue necessary to fund the proposed expenditures,
including an analysis of:
(i) the Legislature's implementation of information technology goals;
(ii) any coordination of information technology with other departments of state and local
government;
(iii) any efforts to develop public/private partnerships to accomplish information technology
goals; and
(iv) any performance measures used by the entity for implementing information technology
goals.
(c) The estimate for the Judicial Department, as certified by the state court administrator,
shall also be included in the budget without revision, but the governor may make separate
recommendations on it. Before preparing the estimates for the Judicial Department, the state court
administrator shall report to the Information Technology Commission the proposed information
technology expenditures and objectives, the proposed appropriation requests and other sources of
revenue necessary to fund the proposed expenditures, including an analysis of:
(i) the Judicial Department's information technology goals;
(ii) coordination of information technology statewide between all courts;
(iii) any efforts to develop public/private partnerships to accomplish information technology
goals; and
(iv) any performance measures used by the entity for implementing information technology
goals.
(d) Before preparing the estimates for the State Office of Education, the state superintendent
shall report to the Information Technology Commission the proposed information technology
expenditures and objectives, the proposed appropriation requests and other sources of revenue
necessary to fund the proposed expenditures, including an analysis of:
(i) the Office of Education's information technology goals;
(ii) coordination of information technology statewide between all public schools;
(iii) any efforts to develop public/private partnerships to accomplish information technology
goals; and
(iv) any performance measures used by the Office of Education for implementing
information technology goals.
(e) Before preparing the estimates for the state system of Higher Education, the
commissioner shall report to the Information Technology Commission the proposed information
technology expenditures and objectives, the proposed appropriation requests and other sources of
revenue necessary to fund the proposed expenditures, including an analysis of:
(i) Higher Education's information technology goals;
(ii) coordination of information technology statewide within the state system of higher
education;
(iii) any efforts to develop public/private partnerships to accomplish information technology
goals; and
(iv) any performance measures used by the state system of higher education for
implementing information technology goals.
(f) The governor may require the attendance at budget meetings of representatives of public
and higher education, state departments and institutions, and other institutions or individuals
applying for state appropriations.
(g) The governor may revise all estimates, except those relating to the Legislative
Department, the Judicial Department, and those providing for the payment of principal and interest
to the state debt and for the salaries and expenditures specified by the Utah Constitution or under the
laws of the state.
(8) The total appropriations requested for expenditures authorized by the budget may not
exceed the estimated revenues from taxes, fees, and all other sources for the next ensuing fiscal year.
(9) If any item of the budget as enacted is held invalid upon any ground, the invalidity does
not affect the budget itself or any other item in it.
(10) (a) In submitting the budget for the Departments of Health and Human Services, the
governor shall consider a separate recommendation in his budget for funds to be contracted to:
(i) local mental health authorities under Section 17A-3-606;
(ii) local substance abuse authorities under Section 62A-8-110.5;
(iii) area agencies on aging under Section 62A-3-104.2;
(iv) programs administered directly by and for operation of the Divisions of Mental Health,
Substance Abuse, and Aging and Adult Services; and
(v) local health departments under Title 26A, Chapter 1, Local Health Departments.
(b) In his budget recommendations under Subsections (a)(i), (ii), and (iii), the governor shall
consider an amount sufficient to grant local health departments, local mental health authorities, local
substance abuse authorities, and area agencies on aging the same percentage increase for wages and
benefits that he includes in his budget for persons employed by the state.
(c) If the governor does not include in his budget an amount sufficient to grant the increase
described in Subsection (b), he shall include a message to the Legislature regarding his reason for
not including that amount.
(11) (a) In submitting the budget for the Division of Services for People with Disabilities
within the Department of Human Services, the governor shall consider an amount sufficient to grant
employees of private nonprofit corporations that contract with that division, the same percentage
increase for cost-of-living that he includes in his budget for persons employed by the state.
(b) If the governor does not include in his budget an amount sufficient to grant the increase
described in Subsection (a), he shall include a message to the Legislature regarding his reason for
not including that amount.
(12) The governor shall include the projected revenues and expenditures for collecting the
uniform fee and other motor vehicle fees under Section 59-2-406 in the 1996-97 fiscal year budget.
(13) (a) The Families, Agencies, and Communities Together Council may propose to the
governor under Subsection 63-75-4(3)(e) a budget recommendation for collaborative service delivery
systems operated under Section 63-75-6.5.
(b) The Legislature may, through a specific program schedule, designate funds appropriated
for collaborative service delivery systems operated under Section 63-75-6.5.
(14) The governor shall include in his budget the state's portion of the budget for the Utah
Communications Agency Network established in Title 63C, Chapter 7, Utah Communications
Agency Network Act.
Section 2. Section 63A-4-205.5 is enacted to read:
63A-4-205.5. Risk management -- Coverage of the Utah Communications Agency
Network.
The Utah Communications Agency Network established under authority of Title 63C,
Chapter 7, may participate in the Risk Management Fund.
Section 3. Section 63C-7-101 is enacted to read:
63C-7-101. Title.
This chapter is known as the "Utah Communications Agency Network Act."
Section 4. Section 63C-7-102 is enacted to read:
63C-7-102. Purpose.
The purpose of this chapter is to establish an independent state agency and a board and
executive committee to administer the creation, administration, and maintenance of the Utah
Communications Agency Network to provide public safety communications services and facilities
on a regional or statewide basis for the benefit and use of public agencies and state and federal
agencies.
Section 5. Section 63C-7-103 is enacted to read:
63C-7-103. Definitions.
As used in this chapter:
(1) "Board" means the Utah Communications Agency Network Board created in Section
63C-7-201.
(2) "Bonds" means bonds, notes, certificates, debentures, contracts, lease purchase
agreements, or other evidences of indebtedness or borrowing issued or incurred by the Utah
Communications Agency Network pursuant to this chapter.
(3) "Communications network" means a regional or statewide public safety governmental
communications network and related facilities, including real property, improvements, and
equipment necessary for the acquisition, construction, and operation of the services and facilities.
(4) "Effective date" means the first date after which the Utah Communications Agency
Network is officially created and shall be the first date after which:
(a) at least ten public agencies have submitted to the Utah Communications Agency Network
office the membership resolutions required to become a member; and
(b) the governor has appointed the four state representatives to the executive committee.
(5) "Executive Committee" means the administrative body of the Utah Communications
Agency Network created in Section 63C-7-205.
(6) "Lease" means any lease, lease purchase, sublease, operating, management, or similar
agreement.
(7) "Member" means a public agency which:
(a) adopts a membership resolution to be included within the Utah Communications Agency
Network; and
(b) submits an originally executed copy of an authorizing resolution to the Utah
Communications Agency Network office.
(8) "Member representative" means a person or that person's designee appointed by the
governing body of each member.
(9) "Public agency" means any political subdivision of the state, including cities, towns,
counties, school districts, and special districts dispatched by a public safety answering point.
(10) "Public safety answering point" means an organization, entity, or combination of
entities which have joined together to form a central answering point for the receipt, management,
and dissemination to the proper responding agency, of emergency and nonemergency
communications, including 911 calls, police, fire, emergency medical, transportation, parks, wildlife,
corrections, and any other governmental communications.
(11) "State" means the state of Utah.
(12) "State representative" means:
(a) the four appointees of the governor or their designees; and
(b) the Utah State Treasurer or his designee.
Section 6. Section 63C-7-201 is enacted to read:
63C-7-201. Establishment of the Utah Communications Agency Network.
(1) There is established the Utah Communications Agency Network, formerly the Utah
Wireless Interagency Network, created by executive order of the governor on June 6, 1996. The
Utah Communications Agency Network shall assume the operations of the Utah Wireless
Interagency Network on May 4, 1997, and shall perform the functions as provided in this chapter.
(2) The Utah Communications Agency Network is an independent state agency and not a
division within any other department of the state.
(3) The initial offices of the Utah Communications Agency Network shall be in Salt Lake
City, but branches of the office may be established in other areas of the state upon approval of the
board.
(4) (a) As soon after the effective date as possible, the state representatives shall schedule
an organizational meeting date and shall give written notice of the time and location of the
organizational meeting to the governing bodies of known prospective members.
(b) At the organizational meeting:
(i) the board shall be organized as provided in Section 63C-7-203;
(ii) bylaws shall be adopted; and
(iii) the executive committee shall be established as provided in Section 63C-7-205.
Section 7. Section 63C-7-202 is enacted to read:
63C-7-202. Powers of the Utah Communications Agency Network.
The Utah Communications Agency Network shall have the power to:
(1) sue and be sued in its own name;
(2) have an official seal and power to alter that seal at will;
(3) make and execute contracts and all other instruments necessary or convenient for the
performance of its duties and the exercise of its powers and functions under this chapter, including
contracts with private companies licensed under Title 26, Chapter 8, Emergency Medical Services
System Act;
(4) own, acquire, construct, operate, maintain, and repair a communications network, and
dispose of any portion of it;
(5) borrow money and incur indebtedness;
(6) issue bonds as provided in this chapter;
(7) enter into agreements with public agencies, the state, and federal government to provide
communications network services on terms and conditions it considers to be in the best interest of
its members;
(8) acquire, by gift, grant, purchase, or by exercise of eminent domain, any real property or
personal property in connection with the acquisition and construction of a communications network
and all related facilities and rights-of-way which it owns, operates, and maintains;
(9) contract with other public agencies, the state, or federal government to provide public
safety communications services in excess of those required to meet the needs or requirements of its
members and the state and federal government if:
(a) it is determined by the executive committee to be necessary to accomplish the purposes
and realize the benefits of this chapter; and
(b) any excess is sold to other public agencies, the state, or federal government and is sold
on terms that assure that the cost of providing the excess service will be received by the Utah
Communications Agency Network; and
(10) perform all other duties authorized by this chapter.
Section 8. Section 63C-7-203 is enacted to read:
63C-7-203. Establishment of the Utah Communications Agency Network Board --
Terms -- Vacancies.
(1) There is created the Utah Communications Agency Network Board.
(2) The board is comprised of one member representative selected by each member, and the
state representatives selected as provided in Subsection 63C-7-205(2). Each member representative
shall serve until removed for any reason and replaced by the governing body of the member.
(3) The chair and secretary of the executive committee shall also serve as the chair and
secretary of the board.
Section 9. Section 63C-7-204 is enacted to read:
63C-7-204. Powers of the board.
The board shall:
(1) adopt bylaws by a majority vote of its members which vote of both member
representatives or state representatives may be made by proxy as prescribed in the bylaws;
(2) elect ten member representatives to the executive committee, except that the state
representatives are not permitted to vote in that election;
(3) recommend to the executive committee broad policies for the long-term construction and
operation of the communications network; and
(4) dissolve the Utah Communications Agency Network as provided in Section 63C-7-209.
Section 10. Section 63C-7-205 is enacted to read:
63C-7-205. Executive committee established -- Terms -- Vacancies.
(1) The executive committee shall consist of the following 15 individuals:
(a) ten member representatives elected by the board at its annual meetings; and
(b) five state representatives.
(2) (a) Four of the state representatives shall be appointed by the governor, with two
appointed initially for two years and two for four years. Successor state representatives shall each
serve for four years.
(b) The fifth state representative shall be the Utah State Treasurer, who shall serve ex officio,
or his designee.
(c) A vacancy on the executive committee for a state representative shall be filled for the
unexpired term by appointment by the governor.
(3) (a) Five of the initial member representatives of the executive committee elected by the
board shall serve for two years and five shall serve for four years. Successor member representatives
of the executive committee shall each serve for a term of four years, so that the term of office of five
member representatives expires every two years.
(b) The member representatives of the executive committee shall be removable, with or
without cause, by a majority vote of the board. A vacancy on the executive committee for a member
representative shall be filled for the unexpired term by a majority of the remaining member
representatives of the executive committee.
(4) The executive committee shall elect annually one of its members as chair.
(5) The executive committee shall meet on an as-needed basis and as provided in the bylaws.
(6) The executive committee shall also elect a vice chair, secretary, and treasurer to perform
those functions provided in the bylaws.
(a) The vice chair shall be a member of the executive committee.
(b) The secretary and treasurer need not be members of the executive committee, but shall
not have voting powers if they are not members of the executive committee.
(c) The offices of chair, vice chair, secretary, and treasurer shall be held by separate
individuals.
(7) Each member representative and state representative shall have one vote, including the
chair, at all meetings of the executive committee.
(8) Nine members of the executive committee constitute a quorum. A vote of a majority of
the quorum at any meeting of the executive committee is necessary to take action on behalf of the
executive committee.
Section 11. Section 63C-7-206 is enacted to read:
63C-7-206. Executive committee -- Powers and duties.
The executive committee shall:
(1) manage the affairs and business of the Utah Communications Agency Network consistent
with this chapter;
(2) appoint an executive director to administer the Utah Communications Agency Network;
(3) receive and act upon reports covering the operations of the communications network and
funds administered by the Utah Communications Agency Network;
(4) ensure that the communications network and funds are administered according to law;
(5) examine and approve an annual operating budget for the Utah Communications Agency
Network;
(6) receive and act upon recommendations of the chair;
(7) recommend to the governor and Legislature any necessary or desirable changes in the
statutes governing the communications network;
(8) develop broad policies for the long-term operation of the Utah Communications Agency
Network for the performance of its functions;
(9) make and execute contracts and other instruments on behalf of the Utah Communications
Agency Network, including agreements with members and other entities;
(10) authorize the borrowing of money, the incurring of indebtedness, and the issuance of
bonds as provided in this chapter;
(11) adopt rules consistent with this chapter for the management of the communications
network in order to carry out the purposes of this chapter, and perform all other acts necessary for
the administration of the communications network;
(12) exercise the powers and perform the duties conferred on it by this chapter; and
(13) provide for audits of the Utah Communications Agency Network.
Section 12. Section 63C-7-207 is enacted to read:
63C-7-207. Executive director -- Powers and duties.
The executive director shall:
(1) act as the executive officer of the Utah Communications Agency Network;
(2) administer the various acts, systems, plans, programs, and functions assigned to the
office;
(3) with the approval of the executive committee, develop and promulgate administrative
rules which are within the authority granted by this title for the administration of the Utah
Communications Agency Network;
(4) recommend to the executive committee any changes in the statutes affecting the Utah
Communications Agency Network;
(5) recommend to the executive committee an annual administrative budget covering
administration, management, and operations of the communications network and, upon approval of
the executive committee, direct and control the subsequent expenditures of the budget; and
(6) within the limitations of the budget, employ staff personnel, consultants, and legal
counsel to provide professional services and advice regarding the administration of the Utah
Communications Agency Network.
Section 13. Section 63C-7-208 is enacted to read:
63C-7-208. Property and funds of the Utah Communications Agency Network declared
public property -- Exemption from taxes -- Alternative agreement with public body.
(1) The property and funds of the Utah Communications Agency Network are declared to
be public property used for essential public and governmental purposes.
(2) The property and the Utah Communications Agency Network are exempt from all taxes
and special assessments of any public body. This tax exemption does not apply to any portion of
a project used for a profit-making enterprise.
Section 14. Section 63C-7-209 is enacted to read:
63C-7-209. Term of the Utah Communications Agency Network -- Dissolution --
Withdrawal.
(1) (a) The Utah Communications Agency Network may be dissolved by a vote of 3/4 of all
the members of the board or by an act of the Legislature.
(b) Title to all assets of the Utah Communications Agency Network upon its dissolution
shall revert to the members and the state pro rata, based upon the total amount of moneys paid to the
Utah Communications Agency Network by each member or the state for services provided to each
by the communications network.
(c) The board is authorized to:
(i) take any necessary action to dissolve the Utah Communications Agency Network; and
(ii) dispose of the property of the Utah Communications Agency Network upon its
dissolution as provided in Subsection (1)(b).
(2) (a) Each member may, at any time, withdraw as a member of the Utah Communications
Agency Network by delivering to the executive committee a written notice of withdrawal which has
been approved by the governing body of the member, except that a member may not withdraw from
the Utah Communications Agency Network at any time during which it has an outstanding payment
obligation to the Utah Communications Agency Network as a result of having entered into a service
contract, lease, or other financial obligation.
(b) Except as provided in Subsection (2)(a), the executive committee shall delete the
petitioning member from the membership of the Utah Communications Agency Network as of the
date of the executive committee's receipt of the member's notice of withdrawal. The executive
committee may not include a member who has given notice of withdrawal in any future obligation
of the Utah Communications Agency Network.
Section 15. Section 63C-7-210 is enacted to read:
63C-7-210. Exemption from certain acts.
(1) The Utah Communications Agency Network is exempt from:
(a) Title 63, Chapter 38, Budgetary Procedures Act;
(b) Title 63A, Utah Administrative Services Code, except as provided in Section
63A-4-205.5;
(c) Title 63, Chapter 56, Utah Procurement Code;
(d) Title 63, Chapter 46b, Administrative Procedures Act; and
(e) Title 67, Chapter 19, Utah State Personnel Management Act.
(2) The board shall adopt budgetary procedures, accounting, procurement, and personnel
policies substantially similar to those from which they have been exempted in Subsection (1).
Section 16. Section 63C-7-211 is enacted to read:
63C-7-211. Annual report to governor and Legislature -- Contents -- Audit by state
auditor -- Reimbursement for costs.
(1) The Utah Communications Agency Network shall, following the close of each fiscal
year, submit an annual report of its activities for the preceding year to the governor and the
Legislature. Each report shall set forth a complete operating and financial statement of the agency
during the fiscal year it covers.
(2) The state auditor shall at least once in each year audit the books and accounts of the Utah
Communications Agency Network or shall contract with an independent certified public accountant
for this audit. The audit shall include a review of the procedures adopted under the requirements of
Subsection 67C-7-210(2) and a determination as to whether the board has complied with the
requirements of Subsection 67C-7-210(2).
(3) The Utah Communications Agency Network shall reimburse the state auditor from
available moneys of the Utah Communications Agency Network for the actual and necessary costs
of that audit.
Section 17. Section 63C-7-301 is enacted to read:
63C-7-301. Bond authorized -- Payment -- Security -- Liability -- Purpose -- Exemption
from certain taxes.
(1) The Utah Communications Agency Network may:
(a) issue bonds from time to time for any of its corporate purposes provided in Section
63C-7-102;
(b) issue refunding bonds for the purpose of paying or retiring bonds previously issued by
it;
(c) issue bonds on which the principal and interest are payable:
(i) exclusively from the income, purchase or lease payments, and revenues of all or a portion
of the communications network; or
(ii) from its revenues generally.
(2) Any bonds issued by the Utah Communications Agency Network may be additionally
secured by a pledge of any loan, lease, grant, agreement, or contribution, in whole or in part, from
the federal government or other source, or a pledge of any income or revenue of the Utah
Communications Agency Network.
(3) The officers of the Utah Communications Agency Network and any person executing
the bonds are not liable personally on the bonds.
(4) (a) The bonds and other obligations of the Utah Communications Agency Network are
not a debt of any member or state representative of the Utah Communications Agency Network, and
do not constitute indebtedness for purposes of any constitutional or statutory debt limitation or
restrictions.
(b) The face of the bonds and other obligations shall state the provisions of Subsection
(4)(a).
(5) Any bonds of the Utah Communications Agency Network shall be revenue obligations,
payable solely from the proceeds, revenues, or purchase and lease payments received by the Utah
Communications Agency Network for the communications network.
(6) The full faith and credit of any member or state representative may not be pledged
directly or indirectly for the payment of the bonds.
(7) A member or state representative may not incur any pecuniary liability under this chapter
until it enters into a service contract, lease, or other financing obligation with the Utah
Communications Agency Network. Once a member enters into a service contract, lease, or other
financing obligation with the Utah Communications Agency Network, the member shall be obligated
to the Utah Communications Agency Network as provided in that contract, lease, or financing
obligation.
(8) A bond or obligation may not be made payable out of any funds or properties other than
those of the Utah Communications Agency Network.
(9) Bonds of the Utah Communications Agency Network are:
(a) declared to be issued for an essential public and governmental purpose by public
instrumentalities; and
(b) together with interest and income, exempt from all taxes, except the corporate franchise
tax.
(10) The provisions of this chapter exempting the properties of the Utah Communications
Agency Network and its bonds and interest and income on them from taxation shall be considered
part of the contract for the security of bonds and have the force of contract, by virtue of this part and
without the necessity of this being restated in the bonds, between the bondholders, including all
transferees of the bonds, and the Utah Communications Agency Network and the state.
Section 18. Section 63C-7-302 is enacted to read:
63C-7-302. Bonds to be authorized by resolution -- Form -- Sale -- Negotiability --
Validity presumed.
(1) Bonds of the Utah Communications Agency Network shall:
(a) be authorized by resolution of the executive committee and may be issued in one or more
series;
(b) bear dates, mature, bear interest rates, be in denominations, be either coupon or
registered, carry conversion or registration privileges, have rank or priority, be executed, and be
payable; and
(c) be subject to terms of redemption, with or without premium, as the resolution or its trust
indenture provides.
(2) The bonds may bear interest at a fixed or variable interest rate as the resolution provides.
The resolution may establish a method, formula, or index pursuant to which the interest rate on the
bonds may be determined from time to time.
(3) In connection with the bonds, and on behalf of the Utah Communications Agency
Network, the executive committee may authorize and enter into agreements or other arrangements
with financial, banking, and other institutions for letters of credit, standby letters of credit, surety
bonds, reimbursement agreements, remarketing agreements, indexing agreements, tender agent
agreements, and other agreements to secure the bonds, to enhance the marketability and
creditworthiness of the bonds, to determine a fixed or variable interest rate on the bonds, and to pay
from any legally available source, including the proceeds of the bonds, of fees, charges, and other
amounts coming due with respect to any such agreements.
(4) The bonds may be sold at public or private sale in a manner and at prices, either at, in
excess of, or below par value as provided by resolution of the executive committee.
(5) If members or officers of the Utah Communications Agency Network whose signatures
appear on bonds or coupons cease to be members or officers before the delivery of the bonds, their
signatures are valid and sufficient for all purposes.
(6) Any bonds issued under this part are fully negotiable.
(7) In any suit, action, or proceeding involving the validity or enforceability of any bond of
the Utah Communications Agency Network or the security for it, any bond reciting in substance that
it has been issued by the Utah Communications Agency Network to aid in financing the
communications network shall be conclusively considered to have been issued for such purposes,
and the communications network shall be conclusively considered to have been planned, located,
and carried out in accordance with this part.
Section 19. Section 63C-7-303 is enacted to read:
63C-7-303. Bonds and other obligations -- Additional powers of the Utah
Communications Agency Network.
In connection with the issuance of bonds or the incurring of obligations under leases, and in
order to secure the payment of bonds or obligations, the Utah Communications Agency Network,
in addition to its other powers, may:
(1) pledge all or any part of its gross or net rents, fees, or revenues to which its right then
exists or may accrue in the future;
(2) mortgage all or any part of its real or personal property owned or acquired in the future;
(3) covenant against:
(a) pledging all or any part of its rents, fees, and revenues;
(b) mortgaging all or any part of its real or personal property to which its right or title then
exists or accrues in the future;
(c) permitting any lien on its revenues or property;
(d) extending the time for the payment of its bonds or interest on them;
(e) the use and disposition of the moneys held in the funds in Subsection (7); and
(f) the use, maintenance, and replacement of any or all of its real or personal property;
(4) covenant as to:
(a) bonds to be issued;
(b) the issuance of bonds in escrow or otherwise;
(c) the use and disposition of the bond proceeds;
(d) the insurance to be carried on the property in Subsection (3)(f) and the use and
disposition of insurance moneys; and
(e) the rights, liabilities, powers, and duties arising upon its breach of any covenant,
condition, or obligation;
(5) provide for the replacement of lost, destroyed, or mutilated bonds;
(6) covenant for the redemption of the bonds and provide the terms and conditions for their
redemption;
(7) create or authorize the creation of special funds for moneys held for construction or
operating costs, debt service, reserves, or other purposes; and
(8) prescribe the procedure, if any, by which the terms of any contract with bondholders may
be amended or abrogated, the number of bondholders of outstanding bonds which must consent to
the action, and the manner in which consent shall be given;
(9) covenant and prescribe as to events of default and terms and conditions upon which any
or all of its bonds or obligations shall become or may be declared due before maturity, and as to the
terms and conditions upon which such declaration and its consequences may be waived;
(10) vest in any obligee of the Utah Communications Agency Network or any specified
proportion of them the right:
(a) to enforce the payment of bonds or any covenants securing or relating to the bonds;
(b) after default by the Utah Communications Agency Network to:
(i) take possession of and use, operate, and manage any facilities or any part of it or any
funds connected with the facilities and funds, and collect the revenues arising from them; and
(ii) dispose of the facilities and funds in accordance with the agreement with the Utah
Communications Agency Network;
(11) provide the:
(a) powers and duties of an obligee and limit the obligee's liabilities; and
(b) terms and conditions upon which the obligees may enforce any covenant or rights
securing or relating to the bonds;
(12) exercise all or any part or combination of the powers granted in this chapter;
(13) perform any acts necessary, convenient, or desirable to secure its bonds; and
(14) make any covenants or perform any acts calculated to make the bonds more marketable.
Section 20. Section 63C-7-304 is enacted to read:
63C-7-304. Reserve funds for debt service.
(1) To assure the continued operation and solvency of the Utah Communications Agency
Network for the carrying out of its purpose, the Utah Communications Agency Network may
establish reserve funds necessary to secure the payment of debt service on its bonds.
(2) The resolution authorizing the issuance of the bonds shall specify the minimum amount
that is required to be on deposit in the reserve funds.
(3) The chair shall annually, on or before December 1, certify to the governor, the director
of finance, and to each member the amount, if any, required to restore the funds to their required
funding levels.
(4) (a) The governor may request from the Legislature an appropriation of the amount
certified in Subsection (3) to restore the reserve funds to their required funding levels or to meet any
projected principal or interest payment deficiency. Any amount appropriated shall be repaid to the
General Fund of the state in excess of the amounts which the executive committee determines will
keep it self-supporting.
(b) The executive committee shall adjust the fees of the members so that the state is repaid
for the amount appropriated in Subsection (4)(a) within 18 months after the state has paid the deficit.
(5) The members are jointly responsible for 1/2 the amount certified in Subsection (3) to
restore the reserve funds to their required funding levels. The executive committee may request from
each member monies proportionate to their participation in the network to restore the funding level.
Any amount paid by the members shall be proportionally repaid to them from 1/2 of any monies in
excess of the amounts which the executive committee determines will keep it self-supporting.
Section 21. Section 63C-7-305 is enacted to read:
63C-7-305. Investment of the Utah Communications Agency Network funds.
The state treasurer shall invest all moneys held on deposit by or on behalf of the Utah
Communications Agency Network. The executive committee may provide advice to the state
treasurer concerning investment of the moneys of the Utah Communications Agency Network.
Section 22. Section 63C-7-306 is enacted to read:
63C-7-306. Publication of notice, resolution, or other proceeding -- Contest.
(1) The executive committee of the Utah Communications Agency Network may provide
for the publication of any resolution or other proceedings adopted under this chapter in a newspaper
of general circulation within the state.
(2) In case of a resolution or other proceeding providing for the issuance of bonds, the
executive committee may, in lieu of publishing the entire resolution or other proceeding, publish a
notice of bonds to be issued containing:
(a) the name of the issuer;
(b) the purpose of the issue;
(c) the type of bonds and the maximum principal amount which may be issued;
(d) the maximum number of years over which the bonds may mature;
(e) the maximum interest rate which the bonds may bear, if any;
(f) the maximum discount from par, expressed as a percentage of principal amount, at which
the bonds may be sold; and
(g) the times and place where a copy of the resolution or other proceeding may be examined,
which shall be at the principal office of the Utah Communications Agency Network during regular
business hours and for a period of at least 30 days after the publication of the notice.
(3) For a period of 30 days after the publication, any person in interest may contest the
legality of the resolution or proceeding, any bonds which may be authorized by the resolution or
proceeding, or any provision made for the security and payment of the bonds by filing a pleading
with the district court for the city in which the Utah Communications Network maintains its
principal office.
[Bill Documents][Bills Directory]