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S.B. 166

1    

WORKFORCE SERVICES IMPLEMENTATION

2    
AND AMENDMENTS

3    
1997 GENERAL SESSION

4    
STATE OF UTAH

5    
Sponsor: David L. Buhler

6    AN ACT RELATING TO WORKFORCE SERVICES; AMENDING THE STRUCTURE OF
7    THE DEPARTMENT; CLARIFYING CERTAIN RESPONSIBILITIES OF THE
8    DEPARTMENT OR SPECIFIC DIVISIONS OF THE DEPARTMENT; AMENDING
9    PROVISIONS PERMITTING THE DEPARTMENT TO HAVE INDEPENDENT LEGAL
10    COUNSEL; AMENDING DEFINITIONS; CLARIFYING APPOINTMENT OF DIVISION
11    DIRECTORS; PERMITTING THE WORKFORCE APPEALS BOARD TO HAVE
12    INDEPENDENT LEGAL COUNSEL; ADDRESSING APPRENTICESHIP PROGRAMS;
13    AMENDING PROVISION CONCERNING APPOINTMENT OF REGIONAL WORKFORCE
14    SERVICES DIRECTOR; AMENDING PROVISIONS CONCERNING REGIONAL
15    WORKFORCE SERVICES COUNCILS; AMENDING SERVICE DELIVERY PROVISIONS;
16    CLARIFYING USES OF CERTAIN FUNDS; CLARIFYING LIMIT OF LIABILITY OF
17    UNEMPLOYMENT COMPENSATION; TRANSFERRING EMPLOYMENT SECURITY
18    ACT RESPONSIBILITIES TO THE DIVISION OF WORKFORCE INFORMATION AND
19    PAYMENT SERVICES; MODIFYING THE DEFINITION OF EMPLOYING UNITS AND
20    EMPLOYMENT; AMENDING PROVISION ON EXEMPT EMPLOYMENT; AMENDING
21    DEFINITION OF AGRICULTURAL LABOR; AMENDING PROVISION ON THE
22    COLLECTION OF CONTRIBUTIONS; AMENDING DISCLOSURE OF RECORDS;
23    AMENDING PROVISIONS REQUIRING THE FILING OF INFORMATION FOR
24    EMPLOYMENT SECURITY CLAIMS; AMENDING ADMINISTRATION PROVISIONS
25    FOR EMPLOYMENT SECURITY; AMENDING PENALTIES; CLARIFYING
26    DELEGATION IN ANTIDISCRIMINATION ACTIONS; TRANSFERRING THE
27    DISPLACED HOMEMAKER PROGRAM TO THE DEPARTMENT; TRANSFERRING THE


1    OFFICE OF CHILD CARE TO THE DIVISION OF WORKFORCE INFORMATION AND
2    PAYMENT SERVICES; CLARIFYING THE RESPONSIBILITIES OF THE OFFICE OF
3    CHILD CARE AND ITS DIRECTOR; MODIFYING THE CHILD CARE ADVISORY
4    COMMITTEE; MODIFYING OPERATIONS OF THE CHILD CARE EXPENDABLE
5    TRUST FUND; AMENDING RESPONSIBILITIES FOR REHABILITATION; CLARIFYING
6    CERTAIN LICENSING REQUIREMENTS; AMENDING THE PROVISION FOR
7    REQUIRING REVIEW OF ADMINISTRATIVE RULES; MODIFYING THE DISPLACED
8    DEFENSE WORKERS PROVISION; EXTENDING SUNSET DATES; ALLOWING FOR
9    REAPPOINTMENT OF COMMITTEES; ALLOWING FOR RETROACTIVE
10    APPLICATION FOR PURPOSES OF PAYROLL; MAKING TECHNICAL CORRECTIONS;
11    AND PROVIDING AN EFFECTIVE DATE.
12    This act affects sections of Utah Code Annotated 1953 as follows:
13    AMENDS:
14         9-2-413 (Effective 07/01/97), as last amended by Chapters 240 and 292, Laws of Utah 1996
15         10-2-302, as last amended by Chapter 68, Laws of Utah 1984
16         17-5-214, as renumbered and amended by Chapter 147, Laws of Utah 1994
17         26-4-24 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
18         34-28-9 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
19         35A-1-102 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
20         35A-1-103 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
21         35A-1-104 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
22         35A-1-202 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
23         35A-1-205 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
24         35A-1-206 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
25         35A-1-207 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
26         35A-1-307 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
27         35A-2-101 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
28         35A-2-102 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
29         35A-2-103 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
30         35A-2-201 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
31         35A-2-202 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996

- 2 -


1         35A-2-203 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
2         35A-3-102 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
3    1996
4         35A-3-103 (Effective 07/01/97), as last amended by Chapter 190 and renumbered and amended
5    by Chapter 240, Laws of Utah 1996
6         35A-3-104 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
7    1996
8         35A-3-105 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
9    1996
10         35A-3-106 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
11    1996
12         35A-3-107 (Effective 07/01/97), as renumbered and amended by Chapter 240 and last amended
13    by Chapter 243, Laws of Utah 1996
14         35A-3-108 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
15    1996
16         35A-3-109 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
17    1996
18         35A-3-201 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
19    1996
20         35A-3-202 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
21    1996
22         35A-3-205 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
23    1996
24         35A-3-206 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
25    1996
26         35A-3-301 (Effective 07/01/97), as last amended by Chapter 79 and renumbered and amended
27    by Chapter 240, Laws of Utah 1996
28         35A-3-302 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
29    1996
30         35A-3-403 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
31    1996

- 3 -


1         35A-3-404 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
2    1996
3         35A-3-405 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
4    1996
5         35A-3-406 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
6    1996
7         35A-3-407 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
8    1996
9         35A-3-408 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
10    1996
11         35A-3-409 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
12    1996
13         35A-3-410 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
14    1996
15         35A-3-411 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
16    1996
17         35A-3-412 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
18    1996
19         35A-3-413 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
20    1996
21         35A-3-414 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
22    1996
23         35A-3-415 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
24    1996
25         35A-3-416 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
26    1996
27         35A-3-417 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
28    1996
29         35A-3-418 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
30    1996
31         35A-3-419 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah

- 4 -


1    1996
2         35A-3-420 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
3    1996
4         35A-3-421 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
5    1996
6         35A-3-501 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
7    1996
8         35A-3-502 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
9         35A-3-503 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
10    1996
11         35A-3-505 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
12    1996
13         35A-3-507 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
14    1996
15         35A-3-601 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
16    1996
17         35A-3-602 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
18    1996
19         35A-3-603 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
20    1996
21         35A-3-604 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
22    1996
23         35A-3-701 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
24    1996
25         35A-3-702 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
26    1996
27         35A-3-703 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
28    1996
29         35A-3-704 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
30    1996
31         35A-3a-101 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah

- 5 -


1    1996
2         35A-3a-102 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
3    1996
4         35A-3a-108 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
5    1996
6         35A-3a-109 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
7    1996
8         35A-4-104 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
9    1996
10         35A-4-106 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
11    1996
12         35A-4-107 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
13    1996
14         35A-4-201 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
15    1996
16         35A-4-202 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
17    1996
18         35A-4-204 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
19    1996
20         35A-4-205 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
21    1996
22         35A-4-206 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
23    1996
24         35A-4-305 (Effective 07/01/97), as last amended by Chapter 129 and renumbered and amended
25    by Chapter 240, Laws of Utah 1996
26         35A-4-306 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
27    1996
28         35A-4-312 (Effective 07/01/97), as last amended by Chapter 77 and renumbered and amended
29    by Chapter 240, Laws of Utah 1996
30         35A-4-403 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
31    1996

- 6 -


1         35A-4-501 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
2    1996
3         35A-4-502 (Effective 07/01/97), as renumbered and amended by Chapter 240 and as last
4    amended by Chapter 243, Laws of Utah 1996
5         35A-4-504 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
6    1996
7         35A-4-505 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
8    1996
9         35A-4-506 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
10    1996
11         35A-4-508 (Effective 07/01/97), as last amended by Chapter 129 and renumbered and amended
12    by Chapter 240 and last amended by Chapter 243, Laws of Utah 1996
13         35A-5-102 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
14    1996
15         35A-5-107 (Effective 07/01/97), as last amended by Chapter 219 and renumbered and amended
16    by Chapter 240, Laws of Utah 1996
17         35A-5-108 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
18    1996
19         35A-8-101 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
20         35A-8-202 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
21    1996
22         35A-8-203 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
23    1996
24         35A-8-204 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
25    1996
26         35A-8-205 (Effective 07/01/97), as renumbered and amended by Chapter 240 and last amended
27    by Chapter 243, Laws of Utah 1996
28         35A-8-206 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
29    1996
30         35A-9-103 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
31    1996

- 7 -


1         35A-9-204 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
2    1996
3         35A-9-205 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
4    1996
5         35A-9-301 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
6         35A-9-302 (Effective 07/01/97), as enacted by Chapter 240, Laws of Utah 1996
7         35A-10-105 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
8    1996
9         53A-1-502 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
10         53A-3-417, as last amended by Chapter 97, Laws of Utah 1992
11         58-55-302 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
12         58-59-302 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
13         58-63-302 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
14         58-65-302 (Effective 07/01/97), as last amended by Chapters 227 and 240, Laws of Utah 1996
15         62A-1-114 (Repealed 07/01/97), as last amended by Chapter 242, Laws of Utah 1988
16         62A-4a-709 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
17         63-46a-9, as last amended by Chapter 60, Laws of Utah 1996
18         63-55-235 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
19         63-55-253, as last amended by Chapters 25 and 37, Laws of Utah 1996
20         67-1-12 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
21         67-22-2 (Effective 07/01/97), as last amended by Chapters 240 and 337, Laws of Utah 1996
22    ENACTS:
23         31A-33-103.5, Utah Code Annotated 1953
24         35A-1-209, Utah Code Annotated 1953
25         35A-1-408, Utah Code Annotated 1953
26         35A-1-409, Utah Code Annotated 1953
27         35A-1-412, Utah Code Annotated 1953
28         35A-3-112, Utah Code Annotated 1953
29         35A-3-212, Utah Code Annotated 1953
30    REPEALS AND REENACTS:
31         35A-1-401, as enacted by Chapter 240, Laws of Utah 1996

- 8 -


1         35A-1-402, as enacted by Chapter 240, Laws of Utah 1996
2         35A-1-403, as enacted by Chapter 240, Laws of Utah 1996
3         35A-1-404, as enacted by Chapter 240, Laws of Utah 1996
4         35A-1-405, as enacted by Chapter 240, Laws of Utah 1996
5         35A-3-110 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
6    1996
7         35A-3-111 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
8    1996
9         35A-3-204 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
10    1996
11         35A-3-207 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
12    1996
13         35A-3-208 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
14    1996
15         35A-3-209 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
16    1996
17         35A-3-210 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
18    1996
19         35A-3-211 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
20    1996
21         35A-3-801, as enacted by Chapter 240, Laws of Utah 1996
22         35A-3-802 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
23    1996
24         35A-3-803, as enacted by Chapter 240, Laws of Utah 1996
25    RENUMBERS AND AMENDS:
26         35A-1-406 (Effective 07/01/97), (Renumbered from 35A-3-804 (Effective 07/01/97), as
27    renumbered and amended by Chapter 240, Laws of Utah 1996)
28         35A-1-407 (Effective 07/01/97), (Renumbered from 35A-3-808 (Effective 07/01/97), as
29    renumbered and amended by Chapter 240, Laws of Utah 1996)
30         35A-1-410 (Effective 07/01/97), (Renumbered from 35A-3-116 (Effective 07/01/97), as
31    renumbered and amended by Chapter 240, Laws of Utah 1996)

- 9 -


1         35A-1-411 (Effective 07/01/97), (Renumbered from 35A-3-113 (Effective 07/01/97), as
2    renumbered and amended by Chapter 240, Laws of Utah 1996)
3         35A-1-413 (Effective 07/01/97), (Renumbered from 35A-3-303 (Effective 07/01/97), as
4    renumbered and amended by Chapter 240, Laws of Utah 1996)
5         35A-1-414 (Effective 07/01/97), (Renumbered from 35A-3-304 (Effective 07/01/97), as
6    renumbered and amended by Chapter 240, Laws of Utah 1996)
7         35A-1-415 (Effective 07/01/97), (Renumbered from 35A-3-307 (Effective 07/01/97), as
8    renumbered and amended by Chapter 240, Laws of Utah 1996)
9         35A-1-416 (Effective 07/01/97), (Renumbered from 35A-3-115 (Effective 07/01/97), as
10    renumbered and amended by Chapter 240, Laws of Utah 1996)
11         35A-8-102, (Renumbered from 53A-15-204, as last amended by Chapter 147, Laws of Utah
12    1994)
13    REPEALS:
14         34-28-11, as enacted by Chapter 85, Laws of Utah 1969
15         35A-3-114 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
16    1996
17         35A-3-117 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
18    1996
19         35A-3-305 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
20    1996
21         35A-3-306 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
22    1996
23         35A-3-308 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
24    1996
25         35A-3-309 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
26    1996
27         35A-3-310 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
28    1996
29         35A-3-311 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
30    1996
31         35A-10-101 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah

- 10 -


1    1996
2         35A-10-102 (Effective 07/01/97), as renumbered and amended by Chapter 240 and last
3    amended by Chapter 243, Laws of Utah 1996
4         35A-10-103 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
5    1996
6         35A-10-104 (Effective 07/01/97), as renumbered and amended by Chapter 240 and last
7    amended by Chapter 243, Laws of Utah 1996
8         35A-10-108 (Effective 07/01/97), as renumbered and amended by Chapter 240, Laws of Utah
9    1996
10    This act enacts uncodified material.
11    Be it enacted by the Legislature of the state of Utah:
12        Section 1. Section 9-2-413 (Effective 07/01/97) is amended to read:
13         9-2-413 (Effective 07/01/97 Repealed 01/01/98). State tax credits.
14        (1) Subject to the limitations of Subsections (2) through (4), the following state tax credits
15    against income tax or corporate franchise tax are applicable in an enterprise zone:
16        (a) a tax credit of $750 may be claimed by a business for each new full-time position filled
17    for not less than six months during a given tax year;
18        (b) an additional $500 tax credit may be claimed if the new position pays at least 125%
19    of:
20        (i) the county average monthly nonagricultural payroll wage for the respective industry
21    as determined by the [Division of Employment Development. In the event this information]
22    Department of Workforce Services; or
23        (ii) if the county average monthly nonagricultural payroll wage is not available for the
24    respective industry, [the job must pay at least 125% of] the total average monthly nonagricultural
25    payroll wage in the respective county where the enterprise zone is located;
26        (c) an additional credit of $750 may be claimed if the new position is in a business [which]
27    that adds value to agricultural commodities through manufacturing or processing;
28        (d) an additional credit of $200 may be claimed for two consecutive years for each new
29    employee who is insured under an employer-sponsored health insurance program if the employer
30    pays at least 50% of the premium cost for two consecutive years;
31        (e) a credit of 50% of the value of a cash contribution to a private nonprofit corporation,

- 11 -


1    except that the credit claimed may not exceed $100,000:
2        (i) that is exempt from federal income taxation under Section 501(c)(3), Internal Revenue
3    Code;
4        (ii) whose primary purpose is community and economic development; and
5        (iii) that has been accredited by the board of directors of the Utah Rural Development
6    Council;
7        (f) a credit of 25% of the first $200,000 spent on rehabilitating a building in the enterprise
8    zone that has been vacant for two years or more; and
9        (g) an annual investment tax credit of 10% of the first $250,000 in investment, and 5% of
10    the next $1,000,000 qualifying investment in plant, equipment, or other depreciable property.
11        (2) (a) Subject to the limitations of Subsection (2)(b), a business claiming a credit under
12    Subsections (1)(a) through (d) may claim a credit for 30 full-time employee positions or less in
13    each of its taxable years.
14        (b) A business that received a credit for its full-time employee positions under Subsections
15    (1)(a) through (d) may claim an additional credit for a full-time employee position under
16    Subsections (1)(a) through (d) if:
17        (i) the business creates a new full-time employee position;
18        (ii) the total number of full-time employee positions at the business is greater than the
19    number of full-time employee positions previously claimed by the business under Subsections
20    (1)(a) through (d); and
21        (iii) the total number of credits the business has claimed for its current taxable year,
22    including the new full-time employee position for which the business is claiming a credit, is less
23    than or equal to 30.
24        (c) A business existing in an enterprise zone on the date of its designation shall calculate
25    the number of full-time positions based on the average number of employees reported to the
26    [Division of Employment Development] Department of Workforce Services.
27        (d) Construction jobs are not eligible for the tax credit under Subsections (1)(a) through
28    (d).
29        (3) Tax credits not claimed by a business on its state income tax return within three years
30    are forfeited.
31        (4) The tax credits under Subsections (1)(a) through (d) may not be claimed by a business

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1    engaged in retail trade or by a public utilities business.
2        Section 2. Section 10-2-302 is amended to read:
3         10-2-302. Change of class.
4        (1) Whenever any city of the second class shall have attained the population of 100,000 or
5    more, or any city of the third class shall have attained a population of 60,000 or more, or any town
6    shall have attained the population of 800 or more, as ascertained and determined by a national,
7    state, or special census conducted by a municipality, it shall be the duty of the mayor to certify that
8    fact to the lieutenant governor who shall certify that fact to the governor. Upon receipt of the
9    certificate, the governor shall declare by public proclamation that the city or town is now a city of
10    the first, second, or third class, as the case may be. The municipality thus changed will be
11    governed by the provision of this act applicable to municipalities to the class to which such
12    municipality has become.
13        (2) Any census conducted, or population estimate of the [Utah Division of Employment
14    Security] Department of Workforce Services conducted for the purpose of determining the
15    population of any municipality shall be considered an official census and may be used for any
16    purpose for which population is a factor.
17        Section 3. Section 17-5-214 is amended to read:
18         17-5-214. Fees of county officers.
19        (1) As used in this section, "county officer" means all of the county officers enumerated
20    in Section 17-16-2 except county recorders, county constables, and county sheriffs.
21        (2) The county legislative body shall adopt an ordinance establishing the fees for services
22    provided by each county officer.
23        (3) (a) Each county officer shall collect, in advance, for exclusive county use and benefit:
24        (i) all fees established by the county legislative body under this section; and
25        (ii) any other fees authorized or required by law.
26        (b) As long as the displaced homemaker program is authorized by Section [53A-15-204]
27    35A-8-102, the county clerk shall:
28        (i) assess $20 in addition to whatever fee for a marriage license is established under
29    authority of this section; and
30        (ii) transmit $20 from each marriage license fee to the Division of Finance to be credited
31    to the displaced homemaker program.

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1        (c) As long as the Children's Legal Defense Account is authorized by Section 63-63a-8,
2    the county clerk shall:
3        (i) assess $10 in addition to whatever fee for a marriage license is established under
4    authority of this section and in addition to the $20 assessed for the displaced homemaker program;
5    and
6        (ii) transmit $10 from each marriage license fee to the Division of Finance for deposit in
7    the Children's Legal Defense Account.
8        (4) This section does not apply to any fees currently being assessed by the state but
9    collected by county officers.
10        Section 4. Section 26-4-24 (Effective 07/01/97) is amended to read:
11         26-4-24 (Effective 07/01/97). Autopsies -- Persons eligible to authorize.
12        (1) Autopsies may be authorized:
13        (a) by the [executive] director of Division of Labor Safety and Program Regulation in the
14    Department of Workforce Services or the [executive] director's designee as provided in Section
15    35A-3-603;
16        (b) by individuals by will or other written document;
17        (c) upon a decedent by the next of kin in the following order and as known: surviving
18    spouse, child, if 18 years or older, otherwise the legal guardian of the child, parent, sibling, uncle
19    or aunt, nephew or niece, cousin, others charged by law with the duty of burial, or friend assuming
20    the obligation of burial;
21        (d) by the county attorney, district attorney, or [his] the district attorney's deputy, or a
22    district judge; and
23        (e) by the medical examiner as provided in this chapter.
24        (2) Autopsies authorized under Subsections (1)(a) and (1)(d) shall be performed by a
25    certified pathologist.
26        (3) No criminal or civil action arises against a pathologist or a physician who proceeds in
27    good faith and performs an autopsy authorized by this section.
28        Section 5. Section 31A-33-103.5 is enacted to read:
29         31A-33-103.5. Powers of fund -- Limitations.
30        There is a moratorium until July 1, 1998, on the Workers' Compensation Fund of Utah's
31    authority, if any, to offer health insurance services including medical, surgical, hospital, and other

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1    ancillary medical expenses, by any means including directly, through a subsidiary, or through a
2    joint venture.
3        Section 6. Section 34-28-9 (Effective 07/01/97) is amended to read:
4         34-28-9 (Effective 07/01/97). Enforcement of chapter -- Rulemaking authority.
5        (1) (a) The division shall:
6        (i) ensure compliance with this chapter;
7        (ii) investigate any alleged violations of this chapter; and
8        (iii) determine the validity of any claim for any violation of this chapter filed with it by
9    an employee.
10        (b) The department may make rules consistent with this chapter governing wage claims
11    and payment of wages.
12        (c) The minimum wage claim that the division may accept is $50.
13        (d) The maximum wage claim that the division may accept is $10,000.
14        (e) The wage claim shall be filed within one year of the date the wages were earned.
15        (2) (a) The division may assess against an employer who fails to pay an employee in
16    accordance with this chapter, a penalty of 5% of the unpaid wages owing to the employee which
17    shall be assessed daily until paid for a period not to exceed 20 days.
18        (b) The division shall:
19        (i) retain 50% of the money received from the penalty payments for the costs of
20    administering this chapter[, and the division shall];
21        (ii) pay all the sums [so received] retained under Subsection (2)(b)(i) to the state
22    treasurer[. The remaining 50% shall be paid]; and
23        (iii) pay the 50% not retained under Subsection (2)(b)(i) to the employee.
24        (3) (a) An abstract of any final award may be filed in the office of the clerk of the district
25    court of any county in the state. If so filed, it shall be docketed in the judgment docket of that
26    district court.
27        (b) The time of the receipt of the abstract shall be noted by the clerk and entered in the
28    judgment docket.
29        (c) If filed and docketed, the award constitutes a lien from the time of the docketing upon
30    the real property of the employer situated in the county for a period of eight years from the date
31    of the award unless previously satisfied.

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1        (d) Execution may be issued on the award within the same time and in the same manner
2    and with the same effect as if the award were a judgment of the district court.
3        (4) (a) The department may [employ counsel, appoint a representative, or] request the
4    attorney general or the county attorney for the county in which the plaintiff or the defendant
5    resides, depending on the district in which the final award is docketed, to represent the department
6    on all appeals and to enforce judgments.
7        (b) The [counsel employed by the department,] attorney general or the county representing
8    the department, shall be awarded:
9        (i) reasonable attorneys' fees, as specified by the department[,]; and
10        (ii) costs for:
11        [(i)] (A) appeals [where] when the plaintiff prevails; and
12        [(ii)] (B) for judgment enforcement proceedings.
13        (5) (a) The department may enter into reciprocal agreements with the labor department or
14    corresponding agency of any other state or with the person, board, officer, or commission
15    authorized to act on behalf of that department or agency, for the collection in any other state of
16    claims or judgments for wages and other demands based upon claims previously assigned to the
17    department.
18        (b) The department may, to the extent provided by any reciprocal agreement entered into
19    under [this section] Subsection (5)(a), or by the laws of any other state, maintain actions in the
20    courts of the other states for the collection of any claims for wages, judgments, and other demands
21    and may assign the claims, judgments, and demands to the labor department or agency of any other
22    state for collection to the extent that may be permitted or provided by the laws of that state or by
23    reciprocal agreement.
24        (c) The department may[, upon the written request of the labor department or other
25    corresponding agency of any other state or of any person, board, officer, or commission of that
26    state authorized to act on behalf of the labor department or corresponding agency,] maintain
27    actions in the courts of this state upon assigned claims for wages, judgments, and demands arising
28    in any other state in the same manner and to the same extent that the actions by the department are
29    authorized when arising in this state[. However, these actions may be commenced and maintained
30    only where] if:
31        (i) the labor department or other corresponding agency of any other state or of any person,

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1    board, officer, or commission of that state authorized to act on behalf of the labor department or
2    corresponding agency requests in writing that the department commence and maintain the action;
3    and
4        (ii) the other state by legislation or reciprocal agreement [has extended] extends the same
5    comity to this state.
6        Section 7. Section 35A-1-102 (Effective 07/01/97) is amended to read:
7         35A-1-102 (Effective 07/01/97). Definitions.
8        Unless otherwise specified, as used in this title:
9        (1) "Client" means an individual who the department has determined to be eligible for
10    services or benefits under:
11        (a) [Chapter 4, Employment Security Act] Section 35A-4-504;
12        (b) Chapter 8, [Services and] Employment Support Act; and
13        (c) Chapter 9, Training, Reemployment, and Workforce Improvement.
14        (2) "Consortium of counties" means an organization of the counties within a regional
15    workforce services area designated under [Subsection 35A-1-401(3)] Section 35A-2-101:
16        (a) in which all of the county commissions jointly comply with this title in working with
17    the executive director of the department regarding regional workforce services areas[.]; and
18        (b) (i) that existed as of July 1, 1997; or
19        (ii) that is created after July 1, 1997, with the approval of the executive director.
20        (3) "Department" means the Department of Workforce Services created in Section
21    35A-1-103.
22        (4) "Employment advisor" means an individual responsible for developing an employment
23    plan and coordinating the services and benefits under this title in accordance with Chapter 2,
24    Regional Workforce Services Areas.
25        (5) "Employment [assistance] center" is a location in a regional workforce services area
26    where the services provided by a regional workforce services area under Section 35A-2-201 may
27    be accessed by a client.
28        (6) "Executive director" means the executive director of the department appointed under
29    Section 35A-1-201.
30        (7) "Regional workforce services area" means a regional workforce services area
31    established [by the executive director] in accordance with Chapter 2, Regional Workforce Services

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1    Areas.
2        (8) "Stabilization" means addressing the basic living, family care, and social or
3    psychological needs of the client so that the client may take advantage of training or employment
4    opportunities provided under this title or through other agencies or institutions.
5        Section 8. Section 35A-1-103 (Effective 07/01/97) is amended to read:
6         35A-1-103 (Effective 07/01/97). Department of Workforce Services -- Creation.
7        (1) There is created the Department of Workforce Services, which has all of the
8    policymaking functions, regulatory and enforcement powers, rights, duties, and responsibilities
9    outlined in this title and Title 34, Labor in General.
10        (2) For purposes of this title, the department shall have an official seal that shall be
11    judicially noticed.
12        Section 9. Section 35A-1-104 (Effective 07/01/97) is amended to read:
13         35A-1-104 (Effective 07/01/97). Department authority.
14        Within all other authority or responsibility granted to it by law, the department may:
15        (1) adopt rules when authorized by this title or Title 34, Labor in General, in accordance
16    with the procedures of Title 63, Chapter 46a, Utah Administrative Rulemaking Act;
17        (2) purchase, as authorized or required by law, services that the department is responsible
18    to provide for legally eligible persons;
19        (3) conduct adjudicative proceedings in accordance with the procedures of Title 63,
20    Chapter 46b, Administrative Procedures Act;
21        (4) establish eligibility standards for its programs, not inconsistent with state or federal law
22    or regulations;
23        (5) take necessary steps, including legal action, to recover money or the monetary value
24    of services provided to a recipient who is not eligible;
25        (6) license agencies in accordance with this title and Title 34, Labor in General;
26        (7) acquire, manage, and dispose of any real or personal property needed or owned by the
27    department, not inconsistent with state law;
28        (8) receive gifts, grants, devises, and donations or the proceeds thereof, crediting the
29    program designated by the donor, and using the gift, grant, devise, or donation for the purposes
30    requested by the donor, as long as the request conforms to state and federal policy;
31        (9) accept and employ volunteer labor or services;

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1        (10) reimburse volunteers for necessary expenses, when the department considers that
2    reimbursement to be appropriate;
3        (11) carry out the responsibility assigned by the State Workforce Services Plan developed
4    by the State Council on Workforce Services;
5        (12) provide training and educational opportunities for its staff;
6        (13) examine and audit the expenditures of any public funds provided to a local authority,
7    agency, or organization that contracts with or receives funds from those authorities or agencies;
8        (14) accept and administer grants from the federal government and from other sources,
9    public or private;
10        (15) employ and determine the compensation of clerical, legal, technical, investigative,
11    and other employees necessary to carry out its policymaking, regulatory, and enforcement powers,
12    rights, duties, and responsibilities under this title and Title 34, Labor in General;
13        (16) administer and enforce all laws for the protection of the life, health, and safety[, and
14    welfare] of employees;
15        (17) ascertain and fix reasonable standards, and prescribe, modify, and enforce reasonable
16    orders, for the adoption of safety devices, safeguards, and other means or methods of protection,
17    to be as nearly uniform as possible, as necessary to carry out all laws and lawful orders relative to
18    the protection of the life, health, and safety[, and welfare] of employees in employment and places
19    of employment;
20        (18) ascertain, fix, and order reasonable standards for the construction, repair, and
21    maintenance of places of employment as shall make them safe;
22        (19) investigate, ascertain, and determine reasonable classifications of persons,
23    employments, and places of employment as necessary to carry out the purposes of this title;
24        (20) promote the voluntary arbitration, mediation, and conciliation of disputes between
25    employers and employees;
26        (21) establish and conduct free employment agencies, and license, supervise, and regulate
27    private employment offices, and bring together employers seeking employees and working people
28    seeking employment, and make known the opportunities for employment in this state;
29        (22) encourage the expansion and use of apprenticeship programs meeting state or federal
30    standards for apprenticeship programs;
31        [(22)] (23) collect, collate, and publish statistical and other information relating to

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1    employees, employers, employments, and places of employment, and other statistics as it considers
2    proper;
3        [(23)] (24) ascertain and adopt reasonable standards and rules, prescribe and enforce
4    reasonable orders, and take other actions appropriate for the protection of life, health, safety, and
5    welfare of all persons with respect to all prospects, tunnels, pits, banks, open cut workings,
6    quarries, strip mine operations, ore mills, and surface operations or any other mining operation,
7    whether or not the relationship of employer and employee exists, but the department may not
8    assume jurisdiction or authority over adopted standards and regulations or perform any mining
9    inspection or enforcement of mining rules and regulations so long as Utah's mining operations are
10    governed by federal regulations;
11        [(24)] (25) develop processes to ensure that the department responds to the full range of
12    employee and employer clients; and
13        [(25)] (26) carry out the responsibilities assigned to it by statute.
14        Section 10. Section 35A-1-202 (Effective 07/01/97) is amended to read:
15         35A-1-202 (Effective 07/01/97). Divisions -- Creation -- Duties -- Workforce Appeals
16     Board, councils, and regional services areas.
17        (1) There is created within the department the following divisions:
18        (a) the Division of Labor, Safety, and Program Regulation to administer and enforce the
19    regulatory provisions of this title;
20        (b) the Division of Employment Development to [oversee the provision of services under
21    this title; and] administer the development and implementation of employment assistance
22    programs that are:
23        (i) related to the operations of the department; and
24        (ii) consistent with federal and state law;
25        (c) the Division of Workforce Information and Payment Services to administer those
26    services that are:
27        (i) unrelated to the regulatory authority of the Division of Labor, Safety, and Program
28    Regulation; and
29        (ii) not delivered through the department's regional workforce services areas; and
30        [(c)] (d) the Division of Adjudication to adjudicate claims or actions [brought under] in
31    accordance with this title.

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1        (2) In addition to the divisions created under this section, within the department are the
2    following:
3        (a) the Workforce Appeals Board created in Section 35A-1-205;
4        (b) the State Council on Workforce Services created in Section 35A-1-206;
5        (c) the following program advisory councils:
6        (i) the workers' compensation advisory council created in Section 35A-3-107;
7        (ii) the employment security advisory council created in Section 35A-4-502;
8        (iii) the antidiscrimination advisory committee created in Section 35A-5-105; [and]
9        (iv) the Utah occupational safety and health advisory council created in Section
10    35A-6-106; and
11        (v) the child care advisory committee created in Section 35A-8-205;
12        (d) the mining certification panel created in Section 40-2-14; and
13        (e) the regional workforce services areas and councils created in accordance with
14    Chapter 2, Regional Workforce Services Areas.
15        Section 11. Section 35A-1-205 (Effective 07/01/97) is amended to read:
16         35A-1-205 (Effective 07/01/97). Workforce Appeals Board -- Chair -- Appointment
17     -- Compensation -- Qualifications.
18        (1) There is created the Workforce Appeals Board within the department consisting of
19    three members. The board may call, preside at, and order hearings and adjudicate proceedings to
20    review an order subject to review by the Workforce Appeals Board under this title.
21        (2) (a) The governor shall appoint the members with the advice and consent of the Senate
22    as follows:
23        (i) one member shall be appointed to represent employers, in making this appointment,
24    the governor shall consider nominations from employer organizations; and
25        (ii) one member shall be appointed to represent employees, in making this appointment,
26    the governor shall consider nominations from employee organizations.
27        (b) At least one member shall be admitted to the practice of law in Utah.
28        (c) No more than two members may belong to the same political party.
29        (3) (a) The term of a member shall be six years beginning on March 1 of the year the
30    member is appointed, except that:
31        (i) the first term of one member of the initial board shall be two years;

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1        (ii) the first term of one member of the initial board shall be four years; and
2        (iii) the first term of one member of the initial board shall be six years.
3        (b) The governor shall decide which member of the initial board will serve the terms
4    described in Subsection (3)(a).
5        (c) The governor may remove a member only for inefficiency, neglect of duty,
6    malfeasance or misfeasance in office, or other good and sufficient cause.
7        (d) A member shall hold office until a successor is appointed and has qualified.
8        (4) A member shall receive compensation as provided by Title 67, Chapter [22] 19, [State
9    Officer Compensation] Utah State Personnel Management Act.
10        (5) (a) The chief officer of the board shall be the chair, who shall serve as the executive
11    and administrative head of the board.
12        (b) The chair shall be appointed by the governor and may be removed from that position
13    at the will of the governor.
14        (c) The chair shall be experienced in administration and possess any additional
15    qualifications determined by the governor.
16        (6) A majority of the board shall constitute a quorum to transact business. A single
17    vacancy [shall] may not impair the right of the remaining members to exercise all the powers of
18    the board while the vacancy exists.
19        (7) The department shall provide the Workforce Appeals Board necessary staff support.
20        (8) The board may employ, retain, or appoint legal counsel.
21        Section 12. Section 35A-1-206 (Effective 07/01/97) is amended to read:
22         35A-1-206 (Effective 07/01/97). State Council on Workforce Services -- Appointment
23     -- Membership -- Terms of members -- Compensation.
24        (1) There is created a State Council on Workforce Services that shall:
25        (a) perform the activities described in Subsection (8);
26        (b) advise on issues requested by the department and the Legislature; and
27        (c) make recommendations to the department regarding:
28        (i) the implementation of Chapters 2, 8, and 9[, and];
29        (ii) the job placement functions under Chapter 4; and
30        (iii) the coordination of apprenticeship training.
31        (2) (a) The council shall consist of the following voting members:

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1        (i) each chair of a regional workforce services council appointed under Section 35A-2-103;
2        (ii) the superintendent of public instruction or the superintendent's designee;
3        (iii) the commissioner of higher education or the commissioner's designee; and
4        (iv) the following members appointed by the governor in consultation with the executive
5    director[;]:
6        (A) [three] four representatives of small employers as defined by rule by the department;
7        (B) [three] four representatives of large employers as defined by rule by the department;
8        (C) four representatives of employees or employee organizations, including at least one
9    representative from nominees suggested by public employees organizations;
10        (D) two representatives of the clients served under this title including community-based
11    organizations; [and]
12        (E) a representative of veterans in the state[.]; and
13        (F) the executive director of the Utah State Office of Rehabilitation.
14        (b) The following shall serve as nonvoting ex officio members of the council:
15        (i) the executive director or the executive director's designee;
16        (ii) a legislator appointed by the governor from nominations of the speaker of the House
17    of Representatives and president of the Senate;
18        (iii) the executive director of the Department of Human Services;
19        (iv) the executive director of the Department of Community and Economic Development;
20    and
21        [(v) the executive director of the Utah State Office of Rehabilitation; and]
22        [(vi)] (v) the executive director of the Department of Health.
23        (3) (a) The governor shall appoint one nongovernmental member from the council to be
24    the chair.
25        (b) The chair shall serve at the pleasure of the governor.
26        (4) (a) A member appointed by the governor shall serve a term of four years and may be
27    reappointed to one additional term.
28        (b) A member shall continue to serve until the member's successor has been appointed and
29    qualified.
30        [(c) The governor shall stagger the terms of the members so that at least three but not more
31    than five of the voting members' terms expires each year on June 30 of even years.]

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1        (c) Except as provided in Subsection (4)(d), as terms of council members expire, the
2    governor shall appoint each new member or reappointed member to a four-year term.
3        (d) Notwithstanding the requirements of Subsection (4)(c), the governor shall, at the time
4    of appointment or reappointment, adjust the length of terms to ensure that the terms of council
5    members are staggered so that approximately on half of the council is appointed every two years.
6        (e) When a vacancy occurs in the membership for any reason, the replacement shall be
7    appointed for the unexpired term.
8        (5) A majority of the voting members constitutes a quorum for the transaction of business.
9        [(6) Members may be entitled to per diem compensation and reimbursement for travel
10    expenses established by the Division of Finance under Sections 63A-3-106 and 63A-3-107.]
11        (6) (a) (i) A public member may not receive compensation for the member's services, but
12    may receive per diem and expenses incurred in the performance of the member's official duties at
13    the rates established by the Division of Finance under Sections 63A-3-106 and 63A-3-107.
14        (ii) A public member may decline to receive per diem and expenses for the member's
15    service.
16        (b) (i) A state government member who does not receive salary, per diem, or expenses
17    from the state for the member's service may receive per diem and expenses incurred in the
18    performance of the member's office duties as a member at the rates established by the Division of
19    Finance under Sections 63A-3-106 and 63A-3-107.
20        (ii) A state government member who is a member because of the member's state
21    government position may not receive per diem or expenses for the member's service.
22        (iii) A state government member may decline to receive per diem and expenses for the
23    member's service.
24        (c) A legislator on the council shall receive compensation and expenses as provided by law
25    and legislative rule.
26        (d) (i) A higher education member who does not receive salary, per diem, or expenses
27    from the entity that the member represents for the member's service may receive per diem and
28    expenses incurred in the performance of the member's official duties from the council at the rates
29    established by the Division of Finance under Sections 63A-3-106 and 63A-107.
30        (ii) A higher education member may decline to receive per diem and expenses for the
31    member's service.

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1        (e) (i) A local government member who does not receive salary, per diem, or expenses
2    from the entity that the member represents for the member's service may receive per diem and
3    expenses incurred in the performance of the member's office duties at the rates established by the
4    Division of Finance under Sections 63A-3-106 and 63A-3-107.
5        (ii) A local government member may decline to receive per diem and expenses for the
6    member's service.
7        (7) The department shall provide staff and administrative support to the council at the
8    direction of the executive director.
9        (8) The council shall:
10        (a) develop a state workforce services plan in accordance with Section 35A-1-207;
11        (b) review regional workforce services plans to certify consistency with state policy
12    guidelines;
13        (c) work cooperatively with regional councils on workforce services to oversee regional
14    workforce services area operations and to ensure that services are being delivered in accordance
15    with regional workforce services plans;
16        (d) oversee the [division's] department's provision of technical assistance to the regional
17    workforce services areas;
18        (e) evaluate program performance, customer satisfaction, and other indicators to identify
19    program strengths and weaknesses;
20        (f) based on the evaluation conducted under Subsection (8)(e), develop plans to improve
21    program outcomes;
22        (g) improve the understanding and visibility of state workforce services efforts through
23    external and internal marketing strategies;
24        (h) make an annual report of accomplishments to the governor and the Legislature related
25    to the activities of the Division of Employment Development[,] and the Division of Workforce
26    Information and Payment Services;
27        (i) issue [any] other studies, reports, or documents the council considers advisable that are
28    not required under Subsection (8)(h);
29        [(i)] (j) coordinate the planning and delivery of workforce development services with
30    public education, higher education, vocational rehabilitation, and human services; and
31        [(j)] (k) perform other responsibilities within the scope of workforce services as requested

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1    by:
2        (i) the Legislature[,];
3        (ii) the governor[,]; or
4        (iii) the executive director.
5        Section 13. Section 35A-1-207 (Effective 07/01/97) is amended to read:
6         35A-1-207 (Effective 07/01/97). State and regional workforce services plans.
7        (1) The State Council on Workforce Services shall annually develop a state workforce
8    services plan that shall include:
9        (a) projected analysis of the workforce needs of employers and clients;
10        (b) policy standards in programs and process when required by statute or considered
11    necessary by the council that ensure statewide program consistency among regional workforce
12    services areas;
13        (c) state outcome-based standards for measuring program performance to ensure equitable
14    service to all clients;
15        (d) state oversight systems to review regional compliance with state policies;
16        (e) elements of regional workforce services plans that relate to statewide initiatives and
17    programs;
18        (f) strategies to ensure program responsiveness, universal access, [united] unified case
19    management; and
20        (g) [an absence of] strategies to eliminate unnecessary barriers to access services.
21        (2) Regional councils on workforce services shall annually develop a regional workforce
22    services plan to be followed by the regional director in administering services. The plan shall
23    include:
24        (a) a projected analysis of the regional workforce needs of employers and clients;
25        (b) assurances that state policy standards will be incorporated into the regional workforce
26    services design;
27        (c) a regional budget outlining administration and customer support and services
28    expenditures;
29        (d) the location of employment [assistance] centers and staff levels to deliver services;
30        (e) the services to be provided including assessment and support services, job training
31    options, job placement, and employer outreach;

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1        (f) identification of targeted occupations for which training will be approved;
2        (g) regional outcome-based performance standards that ensure equitable services to all
3    clients;
4        (h) regional oversight processes that include a process to evaluate program effectiveness
5    and develop plans to improve programs; [and]
6        (i) internal and external marketing strategies to improve the understanding and visibility
7    of regional workforce service efforts[.]; and
8        (j) strategies to ensure coordination of apprenticeship training.
9        (3) For purposes of this section, outcome measures shall:
10        (a) be based on:
11        (i) clients[,];
12        (ii) quality of service[,]; and
13        (iii) successful resolution of issues that result in long-term employment for potential
14    employees and a qualified workforce for employers; and
15        (b) include:
16        (i) unemployment rates[,];
17        (ii) placement rates[,];
18        (iii) number of employees placed that are still employed after 12 months[,]; and
19        (iv) changes in participation in [stabilization] employment assistance programs.
20        (4) In targeting occupations under Subsection (2)(f), the council shall consider:
21        (a) wages[,];
22        (b) benefits[,];
23        (c) the full range of potential employee or employer needs[,];
24        (d) economic development initiatives[,]; and
25        (e) any other issues the council considers appropriate.
26        Section 14. Section 35A-1-209 is enacted to read:
27         35A-2-209. Employment decisions.
28        It is the intent of the Legislature that:
29        (1) In any employment decisions necessary to implement [this act] the Department of
30    Workforce Services, and in compliance with Title 67, Chapter 19, Utah State Personnel
31    Management Act:

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1        (a) as between the employees listed in Subsection (1)(a)(i) through (iii), a preference will
2    not be given to [either]:
3        (i) state employees [over];
4        (ii) county employees; or [to county employees over state]
5        (iii) employees of programs authorized by Section 35A-8-102;
6        (b) objective criteria shall be developed in making the employment decisions and applied
7    equally in an unbiased manner to employees of the state or counties; and
8        (c) except as provided in Subsection (3), all personnel shall be employed on a nonpartisan,
9    merit basis, and shall be governed by all applicable state, county, and federal personnel
10    management and merit regulations.
11        (2) For purposes of Subsection (1):
12        (a) "State employee" means an employee of the state or of a program designated by the
13    state as a provider of services under this title.
14        (b) "County employee" means an employee of the county or of a program designated by
15    the county as a provider of services under this title.
16        (3) The following are exempt from the requirements of Subsection (1)(c):
17        (a) the executive director;
18        (b) a deputy director appointed under Section 35A-1-201;
19        [(b)] (c) division directors;
20        [(c)] (d) members of the Workforce Appeals Board; [and]
21        [(d)] (e) directors of regional workforce services areas[.];
22        (f) the director of the Office of Child Care; and
23        (g) any person appointed under this title that reports directly to the executive director or
24    a deputy director.
25        Section 15. Section 35A-1-307 (Effective 07/01/97) is amended to read:
26         35A-1-307 (Effective 07/01/97). Review panels -- Employee and employer
27     representatives.
28        (1) (a) Except as provided in Subsection (6), the Work Force Appeals Board may delegate
29    a review of an order to a review panel.
30        (b) A review panel shall consist of the following impartial members:
31        (i) one member of the Workforce Appeals Board;

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1        (ii) one member who is representative of employers selected in accordance with this
2    section; and
3        (iii) one member who is representative of employees selected in accordance with this
4    section.
5        (c) The member of the Workforce Appeals Board shall chair the panel.
6        (d) When the Workforce Appeals Board receives the notice of appeal, if the Workforce
7    Appeals Board delegates the review to a review panel:
8        (i) the Workforce Appeals Board shall select the member of the board that shall chair the
9    panel; and
10        (ii) the Division of Adjudication shall:
11        (A) select the employer representative and employee representative that shall serve on the
12    review panel; and
13        (B) notify each party entitled to a notice of the decision of the administrative law judge
14    of the members of the review panel.
15        (2) (a) The review panel shall hear and decide the appeal unless the Workforce Appeals
16    Board modifies the panel in accordance with Subsection (2)(b).
17        (b) The Workforce Appeals Board may modify the panel:
18        (i) at any time at its discretion; or
19        (ii) if, within ten days of the day the party received notice of the membership of the panel,
20    a party objects to a member of the review panel other than the member from the Workforce
21    Appeals Board due to a conflict of interest.
22        (3) (a) The director of the Division of Adjudication shall appoint two groups of individuals
23    to serve on a review panel in accordance with this part. One group shall be of individuals who are
24    qualified to serve as an employee representative. One group shall be of individuals who are
25    qualified to serve as an employer representative.
26        (b) Each group shall have no less than six individuals.
27        (c) An individual appointed to a group shall be appointed for a two-year term commencing
28    July 1 and ending June 30.
29        (d) The director of the Division of Adjudication shall appoint the groups from nominations
30    presented to the director at the director's request from employee and employer organizations.
31        (4) The director of the Division of Adjudication shall ensure that an individual appointed

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1    under this section is trained in the procedures for appeal and the substantive provisions of this title.
2        (5) In accordance with rules made by the department, an individual appointed under this
3    section shall be paid:
4        (a) a per diem for each day of attendance at a proceeding of a review panel; and
5        (b) expenses incurred, in the performance of the individual's duties.
6        (6) The Workforce Appeals Board may not delegate the review of any order issued under:
7        (a) Chapter 3, Workers' Compensation Act;
8        (b) Chapter 3a, Utah Occupational Disease Act;
9        (c) Chapter 3b, Hospital and Medical Service for Disabled Minors;
10        (d) Chapter 5, Utah Antidiscrimination Act;
11        (e) Chapter 6, Utah Occupational Safety and Health Act; or
12        (f) Title 57, Chapter 21, Utah Fair Housing Act.
13        Section 16. Section 35A-1-401 is repealed and reenacted to read:
14    
Part 4. Miscellaneous Powers Related to Certain Labor and Safety Programs

15         35A-1-401. Department jurisdiction and power.
16        (1) The department, through the Division of Adjudication and Workforce Appeals Board,
17    has the duty and the full power, jurisdiction, and authority to determine the facts and apply the law
18    under the labor and safety provisions.
19        (2) For purposes of this part, "labor and safety provisions" includes:
20        (a) the chapters in Title 34, Labor in General, specifically administered by the Division
21    of Labor, Safety and Program Regulation;
22        (b) Chapter 3, Workers' Compensation Act;
23        (c) Chapter 3a, Utah Occupational Disease Act;
24        (d) Chapter 5, Utah Antidiscrimination Act;
25        (e) Chapter 6, Utah Occupational Safety and Health Act;
26        (f) Chapter 9, Part 2, Utah Injured Worker Reemployment Act;
27        (g) Title 40, Chapter 2, Coal Mines; and
28        (h) Title 57, Chapter 21, Utah Fair Housing Act.
29        Section 17. Section 35A-1-402 is repealed and reenacted to read:
30         35A-1-402. Witnesses -- Oaths -- Subpoena -- Certificates.
31        For the purposes mentioned in the labor and safety provisions, the department may take

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1    any action permitted:
2        (1) if a formal adjudicative proceeding, under Section 63-46b-7 or 63-46b-8; or
3        (2) if an informal adjudicative proceeding, under Section 63-46b-5.
4        Section 18. Section 35A-1-403 is repealed and reenacted to read:
5         35A-1-403. Depositions.
6        The department or any party may in any proceeding under a labor or safety regulation cause
7    depositions of witnesses residing within or without the state to be taken as in civil actions.
8        Section 19. Section 35A-1-404 is repealed and reenacted to read:
9         35A-1-404. Attorneys' fees.
10        (1) In all cases coming before the department under a labor or safety regulation in which
11    attorneys have been employed, the department is vested with full power to regulate and fix the
12    fees of the attorneys.
13        (2) In accordance with Title 63, Chapter 46b, Administrative Procedures Act, an attorney
14    may file an application for hearing to appeal a decision or final order to the extent it concerns the
15    award of attorney fees.
16        Section 20. Section 35A-1-405 is repealed and reenacted to read:
17         35A-1-405. Orders of department -- Presumed lawful.
18        All orders of the department within its jurisdiction under the labor and safety provisions
19    shall be presumed reasonable and lawful until they are found otherwise in an action brought for
20    that purpose, or until altered or revoked by the department.
21        Section 21. Section 35A-1-406 (Effective 07/01/97), which is renumbered from Section
22    35A-3-804 (Effective 07/01/97) is renumbered and amended to read:
23         [35A-3-804 (Effective 07/01/97)].     35A-1-406 (Effective 07/01/97). Orders not to be
24     set aside on technicalities.
25        A substantial compliance with the requirements of [this chapter] the labor and safety
26    provisions shall be sufficient to give effect to the orders of the department, and they shall not be
27    declared inoperative, illegal or void for any omission of a technical nature.
28        Section 22. Section 35A-1-407 (Effective 07/01/97), which is renumbered from Section
29    35A-3-808 (Effective 07/01/97) is renumbered and amended to read:
30         [35A-3-808 (Effective 07/01/97)].     35A-1-407 (Effective 07/01/97). Record of
31     proceedings before department.

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1        [(1)] A [full and complete] record shall be kept of all proceedings [before the department
2    on any investigation. Testimony shall be recorded and may be transcribed when required by the
3    department for further analysis, investigation, hearing, or court proceedings] in accordance with
4    Section 35A-1-301.
5        [(2) Transcription requested by any party to the proceeding shall be provided at the
6    requesting party's expense.]
7        Section 23. Section 35A-1-408 is enacted to read:
8         35A-1-408. Attorney general and county attorneys -- Duties.
9        If requested by the department, the attorney general or any district or county attorney, shall:
10        (1) institute and prosecute the necessary actions or proceedings for the enforcement of any
11    order of the department under the labor and safety provision or of any of the labor and safety
12    provisions; or
13        (2) defend any suit, action or proceeding brought against the department under the labor
14    and safety provisions.
15        Section 24. Section 35A-1-409 is enacted to read:
16         35A-1-409. Publication of orders, rules, and rates.
17        (1) The department shall make available:
18        (a) in proper form for distribution to the public, its orders, and rules; and
19        (b) furnish the materials made available under Subsection (1)(a) to any person upon
20    request.
21        (2) The department may in accordance with Section 63-38-3.2 charge a fee for furnishing
22    materials under this section.
23        Section 25. Section 35A-1-410 (Effective 07/01/97), which is renumbered from Section
24    35A-3-116 (Effective 07/01/97) is renumbered and amended to read:
25         [35A-3-116 (Effective 07/01/97)].     35A-1-410 (Effective 07/01/97). Judgments in
26     favor of department -- Preference.
27        All judgments obtained in any action prosecuted by the department or by the state under
28    the authority of [this chapter] the labor and safety provision shall have the same preference against
29    the assets of the employer as claims for taxes.
30        Section 26. Section 35A-1-411 (Effective 07/01/97), which is renumbered from Section
31    35A-3-113 (Effective 07/01/97) is renumbered and amended to read:

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1         [35A-3-113 (Effective 07/01/97)].     35A-1-411 (Effective 07/01/97). Injunction
2     prohibited.
3        (1) [No] An injunction [shall] may not issue suspending or restraining:
4        (a) any order[, award, or classification adopted by] of the department, or decision under
5    the labor and safety provisions; or
6        (b) any action of the state auditor, state treasurer, attorney general or the auditor or
7    treasurer of any county, required to be taken [by them or any of them by any of the provisions of
8    this chapter] under the labor and safety provisions.
9        (2) Notwithstanding Subsection (1), this section does not affect:
10        (a) any right or defense in any action brought by the department or the state [in pursuance
11    of authority contained in this chapter] under the labor and safety provisions; or
12        (b) the right any party has to appeal a decision or final order of the department.
13        Section 27. Section 35A-1-412 is enacted to read:
14         35A-1-412. Employer's records subject to examination -- Penalty.
15        (1) All books, records, and payrolls of an employer showing, or reflecting in any way
16    upon, the amount of the employer's wage expenditure shall always be open for inspection by the
17    Division of Labor, Safety, and Program Regulation, or any of its auditors, inspectors, or assistants,
18    for the purpose of ascertaining the correctness of:
19        (a) the wage expenditure;
20        (b) the number of individuals employed; and
21        (c) other information as may be necessary for the uses and purposes of the division in its
22    administration of the law.
23        (2) If an employer refuses to submit any books, records, or payrolls for inspection, after
24    being presented with written authority from the division, the employer is liable for a penalty of
25    $100 for each offense. This penalty shall be collected by a civil action and paid into the Uninsured
26    Employers' Fund.
27        Section 28. Section 35A-1-413 (Effective 07/01/97), which is renumbered from Section
28    35A-3-303 (Effective 07/01/97) is renumbered and amended to read:
29         [35A-3-303 (Effective 07/01/97)].     35A-1-413 (Effective 07/01/97). Right of visitation.
30        (1) The [executive] director of the Division of Labor, Safety, and Program Regulation, or
31    the [executive] director's designee may:

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1        (a) enter any place of employment for the purpose of:
2        (i) collecting facts and statistics required by the labor and safety provisions; or
3        (ii) examining the provisions made for the health[,] and safety[, and welfare] of the
4    employees in the place of employment[,]; and [may]
5        (b) bring to the attention of every employer any law, or any final order, or any rule of the
6    department, and any failure on the part of the employer to comply with the law [or], order, or rule.
7        (2) [No] An employer [shall] may not refuse to admit the [executive] director or the
8    [executive] director's designee to [his] the employer's place of employment.
9        Section 29. Section 35A-1-414 (Effective 07/01/97), which is renumbered from Section
10    35A-3-304 (Effective 07/01/97) is renumbered and amended to read:
11         [35A-3-304 (Effective 07/01/97)].     35A-1-414 (Effective 07/01/97). Investigation of
12     places of employment -- Violations of rules or orders -- Temporary injunction.
13        [(1) (a)] Upon complaint by any person that any employment or place of employment,
14    regardless of the number of persons employed, is not safe [or is injurious to the welfare of] for any
15    employee, the [department shall proceed, with or without notice, to] Division of Labor, Safety, and
16    Program Regulation:
17        (1) may make any investigation as may be necessary to determine [the matter complained
18    of. After the investigation, the department shall enter any order relative to the complaint as may
19    be necessary to render the employment or place of employment safe and not injurious to the
20    welfare of the employees in the place of employment] compliance with Chapter 3, Workers'
21    Compensation Act, and Chapter 3a, Utah Occupational Disease Act; and
22        (2) shall refer the complaint for investigation and administrative action under Chapter 6,
23    Utah Occupational Safety and Health Act.
24        [(b) For any Utah mine subject to the Federal Mine Safety and Health Act, the sole duty
25    of the department shall be to notify the appropriate federal agency of the complaint.]
26        [(c) Whenever the department shall believe that any employment or place of employment
27    is not safe or is injurious to the welfare of any employee, it may, of its own motion, summarily
28    investigate the same, with or without notice, and issue any order as it may deem necessary to
29    render the employment or place of employment safe.]
30        [(2) Notwithstanding any other penalty provided in this chapter, if any employer, after
31    receiving notice, fails or refuses to obey the rules, regulations, or order of the department relative

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1    to the protection of the life, health, safety, or welfare of any employee, the district court of Utah
2    is empowered, upon petition of the department to issue, ex parte and without bond, a temporary
3    injunction restraining the further operation of the employer's business.]
4        Section 30. Section 35A-1-415 (Effective 07/01/97), which is renumbered from Section
5    35A-3-307 (Effective 07/01/97) is renumbered and amended to read:
6         [35A-3-307 (Effective 07/01/97)].     35A-1-415 (Effective 07/01/97). Investigations
7     through representatives.
8        (1) For the purpose of making any investigation necessary for the implementation of the
9    labor and safety provisions with regard to any employment or place of employment, the
10    [department] Division of Labor, Safety, and Program Regulation shall have power to appoint, [by
11    an order] in writing, any competent person who is a resident of the state, as an agent, whose duties
12    shall be prescribed in the [order] written appointment.
13        (2) In the discharge of [his] the agent's duties, the agent shall have:
14        (a) every power of [an inquisitorial nature] investigation granted in [this chapter] the labor
15    and safety provision to the [department,] division; and
16        (b) the same powers as a referee appointed by a district court with regard to taking
17    evidence.
18        (3) The [department] Division of Labor, Safety, and Program Regulation may conduct any
19    number of the investigations contemporaneously through different agents, and may delegate to the
20    agents the taking of evidence bearing upon any investigation or hearing.
21        (4) The recommendations made by the agents shall be advisory only and shall not preclude
22    the taking of further evidence or further investigation if requested by the [department so orders]
23    Division of Labor, Safety, and Program Regulation.
24        Section 31. Section 35A-1-416 (Effective 07/01/97), which is renumbered from Section
25    35A-3-115 (Effective 07/01/97) is renumbered and amended to read:
26         [35A-3-115 (Effective 07/01/97)].     35A-1-416 (Effective 07/01/97). Partial invalidity
27     -- Saving clause.
28        Should any section or provision of [this chapter] the labor and safety provisions be decided
29    by the courts to be unconstitutional or invalid the same shall not affect the validity of the [chapter]
30    the labor and safety provision as a whole or any part of the [chapter] the labor and safety provision
31    other than the part so decided to be unconstitutional.

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1        Section 32. Section 35A-2-101 (Effective 07/01/97) is amended to read:
2         35A-2-101 (Effective 07/01/97). Regional workforce services areas -- Regional offices
3     -- Creation.
4        (1) (a) The executive director jointly with the Utah Association of Counties shall establish
5    regional workforce services areas to furnish the services described in Section 35A-2-201.
6        (b) In establishing regional workforce services areas, the executive director and the Utah
7    Association of Counties shall seek input from:
8        (i) state and local government agencies and departments;
9        (ii) the groups representing public employees;
10        (iii) employers, business, education, and other entities affected by the structure of the
11    regional workforce services areas; and
12        (iv) the public.
13        (2) In establishing the regional workforce services areas, the executive director and the
14    Utah Association of Counties shall consider:
15        (a) areas comprised of multiple counties;
16        (b) the alignment of transportation and other infrastructure or services;
17        (c) the interdependence of the economy within a geographic area;
18        (d) the ability to develop regional marketing and economic development programs;
19        (e) the labor market areas;
20        (f) the population of the area;
21        (g) the number of individuals in the previous year receiving:
22        (i) services under Chapter 8, Employment Support [and Services] Act; and
23        (ii) benefits under Chapter 4, Employment Security Act; and
24        (h) other factors that relate to the management of the programs administered or that relate
25    to the delivery of services provided under this title.
26        Section 33. Section 35A-2-102 (Effective 07/01/97) is amended to read:
27         35A-2-102 (Effective 07/01/97). Directors of regional workforce services areas --
28     Appointment.
29        (1) The chief officer of each regional workforce services area shall be a director, who shall
30    serve as the executive and administrative head of the regional workforce services area.
31        (2) A director:

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1        (a) shall be appointed jointly by the executive director and [the] all regional [council]
2    councils on workforce services established in the regional workforce services area under Section
3    35A-2-103; and
4        (b) may be removed from that position at the will of the executive director.
5        (3) A director of a regional workforce services area shall be experienced in administration
6    and possess such additional qualifications as determined by the executive director, and as provided
7    by law.
8        (4) The director shall:
9        (a) report annually to [the] all regional [council] councils on workforce services
10    established in the regional workforce services area under Section 35A-2-103 concerning the
11    delivery of services in the regional workforce services area; and
12        (b) work with [the council] all councils established in the regional workforce service area
13    under Section 35A-2-103 in developing the regional plan as outlined in Subsection 35A-1-207(2)
14    on:
15        (i) regional planning priorities;
16        (ii) training priorities; and
17        (iii) locations of employment [assistance] centers.
18        Section 34. Section 35A-2-103 (Effective 07/01/97) is amended to read:
19         35A-2-103 (Effective 07/01/97). Regional council on workforce services --
20     Appointment -- Membership -- Terms of members -- Compensation.
21        (1) [In] The executive director shall jointly with all of the consortium of counties in the
22    regional workforce services area establish one or more regional councils on workforce services in
23    each regional workforce services area [there is created a]. A regional council on workforce
24    services [that] shall:
25        (a) perform the functions described in Subsection (9);
26        (b) work with the regional director, the department, the consortium of counties, and the
27    State Council on Workforce Services on issues requested by the director of the regional workforce
28    services area or the department; and
29        (c) make recommendations to the regional workforce services area and department
30    regarding:
31        (i) the implementation of Chapters 2, 8, and 9[, and];

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1        (ii) the job placement functions under Chapter 4; and
2        (iii) coordination of apprenticeship training.
3        (2) Unless otherwise specified in this Subsection (2), members of a regional council on
4    workforce services shall be appointed by the consortium of counties that covers the same
5    geographic area as the council in the regional workforce services area, in consultation with the
6    regional director, and shall consist of the following:
7        (a) the voting members are:
8        (i) [three] eight representatives of private sector small employers as defined by rule by the
9    department;
10        (ii) [three] eight representatives of private sector large employers as defined by rule by the
11    department;
12        (iii) two representatives of employees including employee organizations and including at
13    least one representative from nominees suggested by public employees organizations in the region;
14        (iv) two representatives of clients including community-based organizations;
15        (v) one representative from organized labor;
16        [(v)] (vi) three county commissioners from the counties in the regional workforce services
17    area;
18        [(vi)] (vii) a representative of public education appointed jointly by the school district
19    superintendents in the region;
20        [(vii)] (viii) a representative of higher education appointed jointly by the presidents of the
21    institutions of higher education in the region; [and]
22        [(viii)] (ix) a representative of veterans;
23        (x) a representative of the Office of Rehabilitation; and
24        (xi) an individual who works for or is a member of an economic development board or
25    committee of the state or one of its political subdivisions; and
26        (b) ex officio nonvoting members are:
27        (i) a representative of applied technology;
28        [(ii) a representative of the Office of Rehabilitation;]
29        [(iii)] (ii) a representative of the Department of Human Services; and
30        [(iv)] (iii) a representative of the Department of Health.
31        (3) The director of the regional workforce services area shall be a nonvoting ex officio

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1    member of the council and provide any necessary staff support for the council.
2        (4) (a) The consortium of counties in the regional workforce services area that appoints
3    the council shall, in consultation with the regional director, appoint a member of the council to be
4    the chair of the council to serve a term of four years.
5        (b) The chair shall be a representative of private sector employers[, a representative of
6    private employees, or a representative of clients].
7        (5) (a) The term of a member shall be four years[, except that the consortium of counties
8    in the regional workforce services area shall stagger the terms of the initial members so that at least
9    three but not more than five of the members' terms expires each year on June 30 of that year].
10        (i) Except as provided in Subsection (5)(a)(ii), as terms of council members expire, the
11    consortium of counties in the regional workforce services area that appoints the council shall, in
12    consultation with the regional director, appoint each new member or reappointed member to a four
13    year term.
14        (ii) Notwithstanding the requirements of Subsection (5)(a)(i), the consortium of counties
15    in the regional workforce services area that appoints the council shall, in consultation with the
16    regional director, at the time of appointment or reappointment, adjust the length of terms to ensure
17    that the terms of council members are staggered so that approximately on half of the council is
18    appointed every two years.
19        (iii) When a vacancy occurs in the membership for any reason, the replacement shall be
20    appointed for the unexpired term.
21        (b) At the expiration of the term of a council member or if a vacancy occurs on the council,
22    the consortium of counties in the regional workforce services area shall appoint a replacement to
23    the council, in consultation with the regional director.
24        (c) A member shall continue to serve as a member until the member's successor has been
25    appointed and qualified.
26        (d) A member is eligible for reappointment.
27        (e) The consortium of counties in the regional workforce services area that appoints the
28    council shall appoint, in consultation with the regional director, an individual to replace a council
29    member for the remainder of the term of the council member being replaced if the council
30    member:
31        (i) ceases to be representative as designated by the original appointment; or

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1        (ii) fails to attend three [committee] council meetings, if each of the three absences are not
2    excused by the chair prior to or during the meeting.
3        (6) (a) A majority of the voting members constitutes a quorum for the transaction of
4    business.
5        (b) [A] Notwithstanding Subsection (6)(a), a majority of the private sector representatives
6    shall be present for business to be transacted.
7        [(7) A member of the council shall serve without pay, but is entitled to all necessary
8    expenses incurred in attending any meetings called by the council or department as provided in
9    Section 63A-3-107.]
10        (7) (a) (i) A public member may not receive compensation for the member's services, but
11    may receive per diem and expenses incurred in the performance of the member's official duties at
12    the rates established by the Division of Finance under Sections 63A-3-106 and 63A-3-107.
13        (ii) A public member may decline to receive per diem and expenses for the member's
14    service.
15        (b) (i) A state government member who does not receive salary, per diem, or expenses
16    from the state for the member's service may receive per diem and expenses incurred in the
17    performance of the member's office duties as a member at the rates established by the Division of
18    Finance under Sections 63A-3-106 and 63A-3-107.
19        (ii) A state government member who is a member because of the member's state
20    government position may not receive per diem or expenses for the member's service.
21        (iii) A state government member may decline to receive per diem and expenses for the
22    member's service.
23        (c) (i) A higher education member who does not receive salary, per diem, or expenses from
24    the entity that the member represents for the member's service may receive per diem and expenses
25    incurred in the performance of the member's official duties from the council at the rates established
26    by the Division of Finance under Sections 63A-3-106 and 63A-107.
27        (ii) A higher education member may decline to receive per diem and expenses for the
28    member's service.
29        (d) (i) A local government member who does not receive salary, per diem, or expenses
30    from the entity that the member represents for the member's service may receive per diem and
31    expenses incurred in the performance of the member's office duties at the rates established by the

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1    Division of Finance under Sections 63A-3-106 and 63A-3-107.
2        (ii) A local government member may decline to receive per diem and expenses for the
3    member's service.
4        (8) The regional council shall annually provide the consortium of counties that appoints
5    the council a written report that shall include the information concerning the elements of the
6    regional plan described in Subsection 35A-2-102(4)(b).
7        (9) The regional councils on workforce services shall:
8        (a) determine the locations of employment [assistance] centers in accordance with Section
9    35A-2-203;
10        (b) develop a regional workforce services plan in accordance with Section 35A-1-207;
11        (c) develop training priorities for the region;
12        (d) work cooperatively with the State Council on Workforce Services to oversee regional
13    workforce services areas operations and to ensure that services are being delivered in accordance
14    with regional workforce services plans;
15        (e) [jointly with the executive director appoint the regional workforce services area
16    director] address concerns within the regional workforce services area related to apprenticeship
17    training coordination;
18        (f) coordinate the planning and delivery of workforce developments services with public
19    education, higher education, vocational rehabilitation, and human services; and
20        (g) report annually to the State Council on Workforce Services.
21        Section 35. Section 35A-2-201 (Effective 07/01/97) is amended to read:
22         35A-2-201 (Effective 07/01/97). Services provided at regional workforce services
23     area.
24        (1) Regional workforce services areas shall:
25        (a) through its employment [assistance] centers, be the primary provider of:
26        (i) benefits under [Chapter 4, Employment Security Act] Section 35A-4-504; and
27        (ii) services and support under Chapter 8, [Services and] Employment Support Act;
28        (b) broker or contract for services or training under Chapter 9, Training, Reemployment,
29    and Workforce Improvement; and
30        (c) serve as a regional clearinghouse of information concerning workforce development
31    and services and support available under this title.

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1        (2) (a) In providing, brokering, or contracting for the services or training described in
2    Subsection (1), the regional director of a regional workforce services area in consultation with the
3    executive director shall ensure that the regional workforce services area provides, brokers, or
4    contracts for services and training that meets the needs of special needs population in the regional
5    workforce services area.
6        (b) For purposes of Subsection (2)(a), "special needs population" means individuals who
7    have special employment needs based on factors including race, gender, age, economic status,
8    education, language skills, and work history.
9        Section 36. Section 35A-2-202 (Effective 07/01/97) is amended to read:
10         35A-2-202 (Effective 07/01/97). Single employment advisor -- Specialization --
11     Employment plan.
12        (1) At each employment [assistance] center of a regional workforce services area
13    established under Section 35A-2-101 there shall be employed one or more employment advisors.
14        (2) A client shall be assigned one employment advisor, except that the department may
15    provide services in an expedited manner to a client who needs only limited services under this title
16    without the assignment of an employment advisor.
17        (3) An employment advisor shall:
18        (a) develop an employment plan jointly with the client; and
19        (b) coordinate any services provided, brokered, or contracted for by the department to that
20    client.
21        (4) The employment advisor assigned to a client may be selected because of the
22    employment advisor's experience or knowledge in the benefits or services available under the title
23    that best meet the specific needs of the client and skills in working with groups of clients to
24    develop plans leading to self-sufficiency.
25        (5) (a) An employment advisor shall be trained in the requirements of and benefits or
26    services provided through employment centers in at least one of the following:
27        (i) [Chapter 4, Employment Security Act] Section 35A-4-504;
28        (ii) Chapter 8, [Services and] Employment Support Act; and
29        (iii) Chapter 9, Training, Reemployment, and Workforce Improvement.
30        (b) At the discretion of the director of a regional workforce services area, an employment
31    advisor may receive special training in the requirements of or providing services under the

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1    [chapters] statutes listed in Subsection (5)(a).
2        (6) (a) A client employment plan may include:
3        (i) services and support necessary for stabilization;
4        (ii) assessment and training; and
5        (iii) placement.
6        (b) The client employment plan shall consider the job opportunities available to the client
7    based on the job market.
8        (c) The client employment plan shall include outcome-based measures as defined by the
9    state and regional councils on workforce development.
10        Section 37. Section 35A-2-203 (Effective 07/01/97) is amended to read:
11         35A-2-203 (Effective 07/01/97). Employment centers.
12        (1) In each county within a regional workforce services area, the regional council on
13    workforce services shall:
14        (a) designate the location of one or more employment [assistance] centers, as defined in
15    Section 35A-1-102, in which the services are provided by the [regional workforce services area.]
16    department; or
17        (b) coordinate with the department to establish access to the services provided by the
18    department by means other than an employment center.
19        (2) An employment [assistance] center shall provide a comprehensive program of
20    employment services including job placement, job development, stabilization, assessment, and job
21    training[, and placement] through its employment advisors as part of a system of unified case
22    management.
23        (3) [If physically locating all services of the regional workforce services area in a single
24    location is not feasible,] The department may make services [not located within the center shall
25    be] that are provided through employment centers under this section accessible through electronic
26    linkage.
27        Section 38. Section 35A-3-102 (Effective 07/01/97) is amended to read:
28         35A-3-102 (Effective 07/01/97). Definition of terms.
29        As used in this chapter and Chapter 3a, Utah Occupational Disease Act:
30        (1) "Average weekly [earnings] wages" means the average weekly [earnings arrived at by
31    the rules provided in] wages as determined under Section 35A-3-409.

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1        (2) "Award" means [the finding or decision] a final order of the department or a decision
2    as to the amount of compensation due:
3        (a) any injured[,] employee; or
4        (b) the dependents of any deceased[,] employee.
5        (3) "Compensation" means the payments and benefits provided for in this chapter or
6    Chapter 3a, Utah Occupational Disease Act.
7        (4) "Decision" means the ruling of an administrative law judge or the Workforce Appeals
8    Board and may include:
9        (a) an award or denial of medical, disability, death, or other related benefits under this
10    chapter or Chapter 3a, Utah Occupational Disease Act; or
11        (b) other adjudicative ruling in accordance with this chapter or Chapter 3a, Utah
12    Occupational Disease Act.
13        (5) "Director" means the director of the division, unless the context requires otherwise.
14        [(4)] (6) "Disability" means an administrative determination that may result in an
15    entitlement to compensation as a consequence of becoming medically impaired as to function.
16    Disability can be total or partial, temporary or permanent, industrial or nonindustrial.
17        [(5) "General order" means an order applying generally throughout the state to all persons,
18    employments, or places of employment of a class under the jurisdiction of the department. All
19    other orders of the department shall be considered special orders.]
20        (7) "Division" means the Division of Labor, Safety, and Program Regulation, unless the
21    context requires otherwise.
22        [(6)] (8) "Impairment" is a purely medical condition reflecting any anatomical or
23    functional abnormality or loss. Impairment may be either temporary or permanent, industrial or
24    nonindustrial.
25        [(7)] (9) "Order" means [any decision, rule, regulation, direction, requirement, or standard]
26    an action of the department[, or any other determination arrived at, or decision made, by the
27    department] that determines the legal rights, duties, privileges, immunities, or other interests of
28    one or more specific persons, but not a class of persons.
29        [(8)] (10) (a) "Personal injury by accident arising out of and in the course of employment"
30    includes any injury caused by the willful act of a third person directed against an employee
31    because of [his] the employee's employment.

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1        (b) "Personal injury by accident arising out of and in the course of employment" does not
2    include a disease, except as the disease results from the injury.
3        [(9)] (11) "Safe" and "safety," as applied to any employment or place of employment,
4    means the freedom from danger to the life[,] or health[, or welfare] of employees reasonably
5    permitted by the nature of the employment.
6        [(10) "Welfare" means comfort, decency, and moral well-being.]
7        [(11)] (12) "Workers' Compensation Fund of Utah" means the nonprofit, quasi-public
8    corporation created in Title 31A, Chapter 33, Workers' Compensation Fund of Utah.
9        Section 39. Section 35A-3-103 (Effective 07/01/97) is amended to read:
10         35A-3-103 (Effective 07/01/97). Employers enumerated and defined -- Regularly
11     employed -- Statutory employers.
12        (1) (a) The state, and each county, city, town, and school district in the state are considered
13    employers under this chapter and Chapter 3a, Utah Occupational Disease Act.
14        (b) For the purposes of the exclusive remedy in this chapter and Chapter 3a, Utah
15    Occupational Disease Act, prescribed in [Section] Sections 35A-3-105 and 35A-3a-102, the state
16    is considered to be a single employer and includes any office, department, agency, authority,
17    commission, board, institution, hospital, college, university, or other instrumentality of the state.
18        (2) Except as provided in Subsection (4), each person, including each public utility and
19    each independent contractor, who regularly employs one or more workers or operatives in the same
20    business, or in or about the same establishment, under any contract of hire, express or implied, oral
21    or written, is considered an employer under this chapter and Chapter 3a, Utah Occupational
22    Disease Act. As used in this Subsection (2):
23        (a) "Regularly" includes all employments in the usual course of the trade, business,
24    profession, or occupation of the employer, whether continuous throughout the year or for only a
25    portion of the year.
26        (b) "Independent contractor" means any person engaged in the performance of any work
27    for another who, while so engaged, is independent of the employer in all that pertains to the
28    execution of the work, is not subject to the routine rule or control of the employer, is engaged only
29    in the performance of a definite job or piece of work, and is subordinate to the employer only in
30    effecting a result in accordance with the employer's design.
31        (3) (a) The client company in an employee leasing arrangement under Title 58, Chapter

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1    59, Employee Leasing Company Licensing Act[,]:
2        (i) is considered the employer of leased employees; and
3        (ii) shall secure workers' compensation benefits for them by complying with Subsection
4    35A-3-201(1)(a) or (b) and department rules.
5        (b) Insurance carriers may underwrite [such a risk] workers' compensation secured in
6    accordance with Subsection (3)(a) showing the leasing company as the named insured and each
7    client company as an additional insured by means of individual endorsements.
8        (c) Endorsements shall be filed with the [department] division as directed by department
9    rule.
10        (4) (a) An agricultural employer is not considered an employer under this chapter and
11    Chapter 3a, Utah Occupational Disease Act, if:
12        (i) (A) the employer's employees are all members of the employer's immediate family;
13    and
14        (B) the employer has a proprietary interest in the farm where they work; or
15        (ii) the employer employed five or fewer persons other than immediate family members
16    for 40 hours or more per week per employee for 13 consecutive weeks during any part of the
17    preceding 12 months.
18        (b) A domestic employer who does not employ one employee or more than one employee
19    at least 40 hours per week is not considered an employer under this chapter or Chapter 3a, Utah
20    Occupational Disease Act.
21        (5) An employer of agricultural laborers or domestic servants who is not considered an
22    employer under this chapter [has the right and option to] or Chapter 3a, Utah Occupational Disease
23    Act, may come under [it] this chapter and Chapter 3a by complying with [its provisions] this
24    chapter and Chapter 3a and the rules of the department.
25        (6) (a) If any person who is an employer procures any work to be done wholly or in part
26    for the employer by a contractor over whose work the employer retains supervision or control, and
27    this work is a part or process in the trade or business of the employer, the contractor, all persons
28    employed by the contractor, all subcontractors under the contractor, and all persons employed by
29    any of these subcontractors, are considered employees of the original employer for the purposes
30    of this chapter and Chapter 3a, Utah Occupational Disease Act.
31        (b) Any person who is engaged in constructing, improving, repairing, or remodelling a

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1    residence that the person owns or is in the process of acquiring as the person's personal residence
2    may not be considered an employee or employer solely by operation of Subsection (6)(a).
3        (c) A partner in a partnership or an owner of a sole proprietorship may not be considered
4    an employee under Subsection (6)(a) if the employer who procures work to be done by the
5    partnership or sole proprietorship obtains and relies on either:
6        (i) a valid certification of the partnership's or sole proprietorship's compliance with Section
7    35A-3-201 indicating that the partnership or sole proprietorship secured the payment of workers'
8    compensation benefits pursuant to Section 35A-3-201; or
9        (ii) if a partnership or sole proprietorship with no employees other than a partner of the
10    partnership or owner of the sole proprietorship, a workers' compensation policy issued by an
11    insurer pursuant to Subsection 31A-21-104(8) stating that:
12        (A) the partnership or sole proprietorship is customarily engaged in an independently
13    established trade, occupation, profession, or business; and
14        (B) the partner or owner personally waives the partner's or owner's entitlement to the
15    benefits of [Chapters 1 and 2] this chapter and Chapter 3a, Utah Occupational Disease Act, in the
16    operation of the partnership or sole proprietorship.
17        (d) A director or officer of a corporation may not be considered an employee under
18    Subsection (6)(a) if the director or officer is excluded from coverage under Subsection
19    35A-3-104(4).
20        (e) A contractor or subcontractor is not an employee of the employer under Subsection
21    (6)(a), if the employer who procures work to be done by the contractor or subcontractor obtains
22    and relies on either:
23        (i) a valid certification of the contractor's or subcontractor's compliance with Section
24    35A-3-201; or
25        (ii) if a partnership, corporation, or sole proprietorship with no employees other than a
26    partner of the partnership, officer of the corporation, or owner of the sole proprietorship, a workers'
27    compensation policy issued by an insurer pursuant to Subsection 31A-21-104(8) stating that:
28        (A) the partnership, corporation, or sole proprietorship is customarily engaged in an
29    independently established trade, occupation, profession, or business; and
30        (B) the partner, corporate officer, or owner personally waives the partner's, corporate
31    officer's, or owner's entitlement to the benefits of this chapter and Chapter 3a, Utah Occupational

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1    Disease Act, in the operation of the partnership's, corporation's, or sole proprietorship's enterprise
2    under a contract of hire for services.
3        Section 40. Section 35A-3-104 (Effective 07/01/97) is amended to read:
4         35A-3-104 (Effective 07/01/97). "Employee," "worker," and "operative" defined --
5     Mining lessees and sublessees -- Partners -- Corporate officers and directors -- Real estate
6     agents and brokers -- Prison inmates.
7        (1) As used in this chapter and Chapter 3a, Utah Occupational Disease Act, "employee,"
8    "worker," [or "workmen,"] and "operative" mean:
9        (a) each elective and appointive officer and any other person, in the service of the state,
10    or of any county, city, town, or school district within the state, serving the state, or any county,
11    city, town, or school district under any election or appointment, or under any contract of hire,
12    express or implied, written or oral, including each officer and employee of the state institutions
13    of learning and members of the National Guard while on state active duty; and
14        (b) each person in the service of any employer, as defined in Section 35A-3-103, who
15    employs one or more workers or operatives regularly in the same business, or in or about the same
16    establishment, under any contract of hire, express or implied, oral or written, including aliens and
17    minors, whether legally or illegally working for hire, but not including any person whose
18    employment is casual and not in the usual course of the trade, business, or occupation of [his] the
19    employee's employer.
20        (2) Unless a lessee provides coverage as an employer under this chapter, any lessee in
21    mines or of mining property and each employee and sublessee of the lessee shall be covered for
22    compensation by the lessor under this chapter, and shall be subject to this chapter and entitled to
23    its benefits to the same extent as if they were employees of the lessor drawing [such] the wages
24    [as are] paid employees for substantially similar work. The lessor may deduct from the proceeds
25    of ores mined by the lessees an amount equal to the insurance premium for that type of work.
26        (3) (a) A partnership or sole proprietorship may elect to include any partner of the
27    partnership or owner of the sole proprietorship as an employee of the partnership or sole
28    proprietorship under this chapter.
29        (b) If a partnership or sole proprietorship makes [this] an election under Subsection (3)(a),
30    it shall serve written notice upon its insurance carrier naming the persons to be covered. [No] A
31    partner of a partnership or owner of a sole proprietorship [is] may not be considered an employee

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1    of [their] the partner's partnership or the owner's sole proprietorship under this chapter or Chapter
2    3a, Utah Occupational Disease Act, until this notice has been given.
3        (c) For premium rate making, the insurance carrier shall assume the salary or wage of the
4    partner or sole proprietor electing coverage under Subsection (3)(a) to be 100% of the state's
5    average weekly wage.
6        (4) (a) A corporation may elect not to include any director or officer of the corporation as
7    an employee under this chapter and Chapter 3a, Utah Occupational Disease Act.
8        (b) If a corporation makes [this] an election under Subsection (4)(a), it shall serve written
9    notice upon its insurance carrier naming the persons to be excluded from coverage. A director or
10    officer of a corporation is considered an employee under this chapter and Chapter 3a, Utah
11    Occupational Disease Act, until this notice has been given.
12        (5) As used in this chapter and Chapter 3a, Utah Occupational Disease Act, "employee,"
13    "worker," [or "workman,"] and "operative" do not include:
14        (a) a real estate sales agent or real estate broker, as defined in Section 61-2-2, who
15    performs services in that capacity for a real estate broker if:
16        [(a)] (i) substantially all of the real estate sales agent's or associated broker's income for
17    services is from real estate commissions;
18        [(b)] (ii) the services of the real estate sales agent or associated broker are performed under
19    a written contract specifying that the real estate agent is an independent contractor; and
20        [(c)] (iii) the contract states that the real estate sales agent or associated broker is not to
21    be treated as an employee for federal income tax purposes[.]; or
22        [(6) As used in this chapter, "employee," "worker" or "workman," and "operative" do not
23    include]
24        (b) an offender performing labor under Section 64-13-16 or 64-13-19, except as required
25    by federal statute or regulation.
26        Section 41. Section 35A-3-105 (Effective 07/01/97) is amended to read:
27         35A-3-105 (Effective 07/01/97). Exclusive remedy against employer, or officer, agent
28     or employee -- Employee leasing arrangements.
29        (1) The right to recover compensation pursuant to this chapter for injuries sustained by an
30    employee, whether resulting in death or not, shall be the exclusive remedy against the employer
31    and shall be the exclusive remedy against any officer, agent, or employee of the employer and the

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1    liabilities of the employer imposed by this chapter shall be in place of any and all other civil
2    liability whatsoever, at common law or otherwise, to the employee or to [his] the employee's
3    spouse, widow, children, parents, dependents, next of kin, heirs, personal representatives, guardian,
4    or any other person whomsoever, on account of any accident or injury or death, in any way
5    contracted, sustained, aggravated, or incurred by the employee in the course of or because of or
6    arising out of [his] the employee's employment, and no action at law may be maintained against
7    an employer or against any officer, agent, or employee of the employer based upon any accident,
8    injury, or death of an employee. Nothing in this section, however, shall prevent an employee, or
9    [his] the employee's dependents, from filing a claim [with the department] for compensation in
10    those cases [within] in accordance with Chapter 3a, Utah Occupational Disease Act.
11        (2) The exclusive remedy provisions of this section apply to both the client company and
12    the employee leasing company in an employee leasing arrangement under Title 58, Chapter 59,
13    Employee Leasing Company Licensing Act.
14        Section 42. Section 35A-3-106 (Effective 07/01/97) is amended to read:
15         35A-3-106 (Effective 07/01/97). Injuries or death caused by wrongful acts of persons
16     other than employer, officer, agent, or employee of employer -- Rights of employer or
17     insurance carrier in cause of action -- Maintenance of action -- Notice of intention to proceed
18     against third party -- Right to maintain action not involving employee-employer relationship
19     -- Disbursement of proceeds of recovery -- Exclusive remedy.
20        (1) When any injury or death for which compensation is payable under this chapter [shall
21    have been] or Chapter 3a, Utah Occupational Disease Act, is caused by the wrongful act or neglect
22    of a person other than an employer, officer, agent, or employee of the employer[,]:
23        (a) the injured employee, or in case of death, [his] the employee's dependents, may claim
24    compensation; and
25        (b) the injured employee or [his] the employee's heirs or personal representative may [also]
26    have an action for damages against the third person.
27        (2) (a) If compensation is claimed and the employer or insurance carrier becomes obligated
28    to pay compensation, the employer or insurance carrier:
29        (i) shall become trustee of the cause of action against the third party; and
30        (ii) may bring and maintain the action either in its own name or in the name of the injured
31    employee, or [his] the employee's heirs or the personal representative of the deceased[, provided

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1    the].
2        (b) Notwithstanding Subsection (2)(a), an employer or insurance carrier may not settle and
3    release [the] a cause of action of which it is a trustee under Subsection (2)(a) without the consent
4    of the [department] Division of Adjudication.
5        (3) (a) Before proceeding against [the] a third party, to give a person described in
6    Subsections (3)(a)(i) and (ii) a reasonable opportunity to enter an appearance in the proceeding,
7    the injured employee[,] or, in case of death, [his] the employee's heirs, shall give written notice of
8    the intention to bring an action against the third party to:
9        (i) the carrier; and
10        (ii) any other person obligated for the compensation payments[, to give the person a
11    reasonable opportunity to enter an appearance in the proceeding].
12        (b) The injured employee[,] or, in case of death, [his] the employee's heirs, shall give
13    written notice to the carrier and other person obligated for the compensation payments of any
14    known attempt to attribute fault to the employer, officer, agent, or employee of the employer:
15        (i) by way of settlement; or
16        (ii) in a proceeding brought by the injured employee, or, in case of death, [his] the
17    employee's heirs.
18        (4) For the purposes of this section and notwithstanding [the provisions of] Section
19    35A-3-103, the injured employee or [his] the employee's heirs or personal representative may
20    [also] maintain an action for damages against [subcontractors, general contractors, independent
21    contractors, property owners or their lessees or assigns, not occupying an employee-employer
22    relationship with the injured or deceased employee at the time of his injury or death.] any of the
23    following who do not occupy an employee-employer relationship with the injured or deceased
24    employee at the time of the employee's injury or death:
25        (a) a subcontractor;
26        (b) a general contractor;
27        (c) an independent contractor;
28        (d) a property owner; or
29        (e) a lessee or assignee of a property owner.
30        (5) If any recovery is obtained against a third person, it shall be disbursed [as follows:] in
31    accordance with Subsection (5)(a) through (c).

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1        (a) The reasonable expense of the action, including attorneys' fees, shall be paid and
2    charged proportionately against the parties as their interests may appear. Any fee chargeable to
3    the employer or carrier is to be a credit upon any fee payable by the injured employee or, in the
4    case of death, by the dependents, for any recovery had against the third party.
5        (b) The person liable for compensation payments shall be reimbursed, less the
6    proportionate share of costs and attorneys' fees provided for in Subsection (5)(a), for the payments
7    made as follows:
8        (i) without reduction based on fault attributed to the employer, officer, agent, or employee
9    of the employer in the action against the third party if the combined percentage of fault attributed
10    to persons immune from suit is determined to be less than 40% prior to any reallocation of fault
11    under Subsection 78-27-39(2); or
12        (ii) less the amount of payments made multiplied by the percentage of fault attributed to
13    the employer, officer, agent, or employee of the employer in the action against the third party if
14    the combined percentage of fault attributed to persons immune from suit is determined to be 40%
15    or more prior to any reallocation of fault under Subsection 78-27-39(2).
16        (c) The balance shall be paid to the injured employee, or [his] the employee's heirs in case
17    of death, to be applied to reduce or satisfy in full any obligation thereafter accruing against the
18    person liable for compensation.
19        (6) The apportionment of fault to the employer in a civil action against a third party is not
20    an action at law and does not impose any liability on the employer. The apportionment of fault
21    does not alter or diminish the exclusiveness of the remedy provided to employees, their heirs, or
22    personal representatives, or the immunity provided employers pursuant to Section [35A-1-105]
23    35A-3-105 or 35A-3a-102 for injuries sustained by an employee, whether resulting in death or not.
24    Any court in which a civil action is pending shall issue a partial summary judgment to an employer
25    with respect to the employer's immunity as provided in Section 35A-3-105 or 35A-3a-102, even
26    though the conduct of the employer may be considered in allocating fault to the employer in a third
27    party action in the manner provided in Sections 78-27-37 through 78-27-43.
28        Section 43. Section 35A-3-107 (Effective 07/01/97) is amended to read:
29         35A-3-107 (Effective 07/01/97). Appointment of workers' compensation advisory
30     council -- Composition -- Terms of members -- Duties -- Compensation.
31        (1) The executive director [of the department] shall appoint a workers' compensation

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1    advisory council composed of:
2        (a) the following voting members:
3        (i) five employer representatives; and
4        (ii) five employee representatives; and
5        (b) the following nonvoting members:
6        (i) [three members, one representing the] a representative of the Workers' Compensation
7    Fund of Utah[, one representing];
8        (ii) a representative of a private insurance carrier[, and one representing][ ];
9        (iii) a representative of health care providers;
10        [(ii)] (iv) the Utah insurance commissioner;
11        [(iii)] (v) each member of the Workforce Appeals Board; and
12        [(iv)] (vi) the [executive] director [or the executive director's designee].
13        [(3)] (2) Employers and employees shall consider nominating members of groups who
14    historically may have been excluded from the council, such as women, minorities, and individuals
15    with disabilities.
16        [(4) ] (3) (a) Except as required by Subsection [(4)](3)(b), as terms of current council
17    members expire, the executive director shall appoint each new member or reappointed member
18    to a four-year term beginning July 1 and ending June 30.
19        (b) Notwithstanding the requirements of Subsection [(4)](3)(a), the executive director
20    shall, at the time of appointment or reappointment, adjust the length of terms to ensure that the
21    terms of council members are staggered so that approximately half of the council is appointed
22    every two years.
23        [(5)] (4) (a) When a vacancy occurs in the membership for any reason, the replacement
24    shall be appointed for the unexpired term.
25        (b) The executive director shall terminate the terms of any council member who ceases to
26    be representative as designated by [his] the member's original appointment.
27        [(6)] (5) The council shall confer at least quarterly for the purpose of advising the
28    department, the [Division of Labor, Safety, and Program Regulation] division, and the Legislature
29    on the Utah workers' compensation and occupational disease laws, the administration of them, and
30    related rules.
31        [(7)] (6) The council shall offer advice on issues requested by the department, the

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1    [Division of Labor, Safety, and Program Regulation, the State Council on Workforce Services]
2    division, and the Legislature and also make recommendations to the department and the [Division
3    of Labor, Safety, and Program Regulation] division regarding workers' compensation,
4    rehabilitation, and reemployment of employees who are disabled because of an industrial injury
5    or occupational disease.
6        [(8)] (7) The [executive] director [or the executive director's designee] shall serve as the
7    chair of the council and call the necessary meetings.
8        [(9)] (8) The [department] division shall provide staff support to the council.
9        [(10)] (9) (a) (i) Members who are not government employees [shall] may not receive [no]
10    compensation or benefits for their services, but may receive per diem and expenses incurred in the
11    performance of the member's official duties at the rates established by the Division of Finance
12    under Sections 63A-3-106 and 63A-3-107.
13        (ii) Members may decline to receive per diem and expenses for their service.
14        (b) (i) State government officer and employee members who do not receive salary, per
15    diem, or expenses from their agency for their service may receive per diem and expenses incurred
16    in the performance of their official duties from the council at the rates established by the Division
17    of Finance under Sections 63A-3-106 and 63A-3-107.
18        (ii) State government officer and employee members may decline to receive per diem and
19    expenses for their service.
20        Section 44. Section 35A-3-108 (Effective 07/01/97) is amended to read:
21         35A-3-108 (Effective 07/01/97). Void agreements between employers and employees.
22        (1) [No] Except as provided in Section 35A-3-420, an agreement by an employee to waive
23    [his] the employee's rights to compensation under this chapter [shall be] or Chapter 3a, Utah
24    Occupational Disease Act, is not valid.
25        (2) [No] An agreement by an employee to pay any portion of the premium paid by his
26    employer [shall be] is not valid.
27        (3) Any employer who deducts any portion of [such] the premium from the wages or
28    salary of any employee entitled to the benefits of this chapter or Chapter 3a, Utah Occupational
29    Disease Act:
30        (a) is guilty of a misdemeanor[,]; and
31        (b) shall be fined not more than $100 for each such offense.

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1        Section 45. Section 35A-3-109 (Effective 07/01/97) is amended to read:
2         35A-3-109 (Effective 07/01/97). Interstate and intrastate commerce.
3        [The provisions of this] (1) Except as provided in Subsection (2), this chapter [shall] and
4    Chapter 3a, Utah Occupational Disease Act, apply to employers and their employees engaged in:
5        (a) intrastate [and also in] commerce;
6        (b) interstate commerce; and
7        (c) foreign commerce [for whom a].
8        (2) If a rule of liability or method of compensation [has been or may be] is established by
9    the Congress of the United States[,] as to interstate or foreign commerce, this chapter and Chapter
10    3a apply only to the extent that [their] the interstate or foreign commerce:
11        (a) this chapter and Chapter 3a has a mutual connection with intrastate work [may and
12    shall be]; and
13        (b) the connection to intrastate work is clearly separable and distinguishable from
14    interstate or foreign commerce.
15        Section 46. Section 35A-3-110 (Effective 07/01/97) is repealed and reenacted to read:
16         35A-3-110 (Effective 07/01/97). Workers' compensation insurance fraud -- Elements
17     -- Penalties -- Notice.
18        (1) As used in this section:
19        (a) "Corporation" has the same meaning as in Subsection 76-2-201(3).
20        (b) "Intentionally" has the same meaning as in Subsection 76-2-103(1).
21        (c) "Knowingly" has the same meaning as in Subsection 76-2-103(2).
22        (d) "Person" has the same meaning as in Subsection 76-1-601(8).
23        (e) "Recklessly" has the same meaning as in Subsection 76-2-103(3).
24        (2) (a) Any person is guilty of workers' compensation insurance fraud if that person
25    intentionally, knowingly, or recklessly:
26        (i) devises any scheme or artifice to obtain workers' compensation insurance coverage,
27    disability compensation, medical benefits, goods, professional services, fees for professional
28    services, or anything of value under this chapter or Chapter 3a, Utah Occupational Disease Act,
29    by means of false or fraudulent pretenses, representations, promises, or material omissions; and
30        (ii) communicates or causes a communication with another in furtherance of the scheme
31    or artifice.

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1        (b) Workers' compensation insurance fraud under Subsection (2)(a) is punishable in the
2    manner prescribed by Section 76-10-1801 for communication fraud.
3        (3) A corporation or association is guilty of the offense of workers' compensation
4    insurance fraud under the same conditions as those set forth in Section 76-2-204.
5        (4) The determination of the degree of any offense under Subsection (2) shall be measured
6    by the total value of all property, money, or other things obtained or sought to be obtained by the
7    scheme or artifice described in Subsection (2), except as provided in Subsection 76-10-1801(1)(e).
8        (5) Reliance on the part of any person is not a necessary element of the offense described
9    in Subsection (2).
10        (6) An intent on the part of the perpetrator of any offense described in Subsection (2) to
11    permanently deprive any person of property, money, or anything of value is not a necessary
12    element of this offense.
13        (7) A scheme or artifice to obtain workers' compensation insurance coverage includes any
14    scheme or artifice to make or cause to be made any false written or oral statement or business
15    reorganization, incorporation, or change in ownership intended to obtain insurance coverage as
16    mandated by this chapter and Chapter 3a, Utah Occupational Disease Act, at rates that do not
17    reflect the risk, industry, employer, or class codes actually covered by the policy.
18        (8) A scheme or artifice to obtain disability compensation includes a scheme or artifice
19    to collect or make a claim for temporary disability compensation as provided in Section 35A-3-410
20    while working for gain.
21        (9) (a) Each insurer or self-insured employer who, in connection with this chapter or
22    Chapter 3a, Utah Occupational Disease Act, prints, reproduces, or furnishes a form to any person
23    upon which that person applies for insurance coverage, reports payroll, makes a claim by reason
24    of accident, injury, death, disease, or other claimed loss, or otherwise reports or gives notice to the
25    insurer or self-insured employer, shall cause to be printed or displayed in comparative prominence
26    with other content the statement: "Any person who knowingly presents false or fraudulent
27    underwriting information, files or causes to be filed a false or fraudulent claim for disability
28    compensation or medical benefits, or submits a false or fraudulent report or billing for health care
29    fees or other professional services is guilty of a crime and may be subject to fines and confinement
30    in state prison."
31        (b) The statement required under Subsection (9)(a) shall be preceded by the words: "For

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1    your protection, Utah law requires the following to appear on this form" or other explanatory
2    words of similar meaning.
3        (10) Each insurer or self-insured employer who issues a check, warrant, or other financial
4    instrument in payment of compensation issued under this chapter or Chapter 3a, Utah
5    Occupational Disease Act, shall cause to be printed or displayed in comparative prominence above
6    the area for endorsement the statement: "Workers' compensation insurance fraud is a crime
7    punishable by Utah law."
8        (11) In the absence of malice, a person, employer, insurer, or governmental entity that
9    reports a suspected fraudulent act relating to a workers' compensation insurance policy or claim
10    is not subject to any civil liability for libel, slander, or any other relevant cause of action.
11        (12) In any action involving workers' compensation, this section supersedes Title 31A,
12    Chapter 31, Insurance Fraud Act.
13        Section 47. Section 35A-3-111 (Effective 07/01/97) is repealed and reenacted to read:
14         35A-3-111 (Effective 07/01/97). Managed health care -- Health care cost containment.
15        (1) Self-insured employers and workers' compensation carriers may adopt a managed
16    health care program to provide employees the benefits of this chapter and Chapter 3a, Utah
17    Occupational Disease Act, beginning January 1, 1993. The plan may include one or more of the
18    following:
19        (a) (i) A preferred provider program may be developed so long as the program allows a
20    selection by the employee of more than one physician in the health care specialty required for
21    treating the specific problem of an industrial patient. If a preferred provider program is developed
22    by an employer, insurance carrier, or self-insured entity, employees are required to use preferred
23    provider physicians and medical care facilities. If a preferred provider program is not developed,
24    an industrial claimant may have free choice of health care providers. Failure of an industrial
25    claimant to use a preferred health care facility as defined in Section 26-21-2 as part of a preferred
26    provider program, or failure to initially receive treatment from a preferred physician, may, if the
27    claimant has been notified of the program, result in the claimant being obligated for any charges
28    in excess of the preferred provider allowances.
29        (ii) Notwithstanding the requirements of Subsection (1)(a)(i), a self-insured entity or other
30    employer may:
31        (A) have its own health care facility on or near its worksite or premises and may continue

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1    to contract with other health care providers; or
2        (B) the employer may operate a health care facility and require employees to first seek
3    treatment at the provided health care or contracted facility.
4        (iii) An employee of an employer using a preferred provider program or having its own
5    health care facility may procure the services of any qualified practitioner:
6        (A) for emergency treatment, if a physician employed in the program or at the facility is
7    not available for any reason;
8        (B) for conditions the employee in good faith believes are nonindustrial; or
9        (C) when an employee living in a rural area would be unduly burdened by traveling to a
10    preferred provider.
11        (b) (i) Other contracts with medical care providers or medical review organizations may
12    be made for the following purposes:
13        (A) insurance carriers or self-insured employers may form groups in contracting for
14    managed health care services with medical providers;
15        (B) peer review;
16        (C) methods of utilization review;
17        (D) use of case management; and
18        (E) bill audit.
19        (ii) Insurance carriers may make any or all of the factors in Subsection (1)(b)(i) a condition
20    of insuring entities in their insurance contract.
21        (2) As used in Subsection (1), "physician" means any health care provider licensed under:
22        (a) Title 58, Chapter 5, Podiatrists;
23        (b) Title 58, Chapter 24a, Physical Therapists Practice Act;
24        (c) Title 58, Chapter 67, Utah Medical Practice Act;
25        (d) Title 58, Chapter 68, Utah Osteopathic Medical Practice Act;
26        (e) Title 58, Chapter 69, Dentist and Dental Hygienist Practice Act;
27        (f) Title 58, Chapter 70, Physician Assistant Practice Act;
28        (g) Title 58, Chapter 71, Naturopathic Physician Practice Act;
29        (h) Title 58, Chapter 72, Acupunture Licensing Act; and
30        (i) Title 58, Chapter 73, Chiropractice Physician Practice Act.
31        (3) Each workers' compensation insurance carrier writing insurance in this state shall

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1    maintain a designated agent in this state registered with the division.
2        (4) (a) In addition to managed health care plans, an insurance carrier may require an
3    employer to establish a workplace safety program if the employer:
4        (i) has an experience modification factor of 1.00 or higher, as determined by the National
5    Council on Compensation Insurance; or
6        (ii) is determined by the carrier to have a three-year loss ratio of 100% or higher.
7        (b) A workplace safety program may include:
8        (i) a written workplace accident and injury reduction program that promotes safe and
9    healthful working conditions, which is based on clearly stated goals and objectives for meeting
10    those goals; or
11        (ii) a documented review of the workplace accident and injury reduction program each
12    calendar year delineating how procedures set forth in the program are met.
13        (5) A written workplace accident and injury reduction program permitted under Subsection
14    (4)(b)(i) should describe:
15        (a) how managers, supervisors, and employees are responsible for implementing the
16    program;
17        (b) how continued participation of management will be established, measured, and
18    maintained;
19        (c) the methods used to identify, analyze, and control new or existing hazards, conditions,
20    and operations;
21        (d) how the program will be communicated to all employees so that they are informed of
22    work-related hazards and controls;
23        (e) how workplace accidents will be investigated and corrective action implemented; and
24        (f) how safe work practices and rules will be enforced.
25        (6) The premiums charged to any employer who fails or refuses to establish a workplace
26    safety program pursuant to Subsection (4)(b)(i) or (ii) may be increased by 5% over any existing
27    current rates and premium modifications charged that employer.
28        Section 48. Section 35A-3-112 is enacted to read:
29         35A-3-112. Administration of this chapter and Chapter 3a.
30        (1) Administration of this chapter and Chapter 3a, Utah Occupational Disease Act, is
31    vested in the department to be administered through the division, the Division of Adjudication, and

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1    the Appeals Board.
2        (2) The department:
3        (a) has jurisdiction over every workplace in the state and may administer this chapter and
4    Chapter 3a any rule or order issued under these chapters, to ensure that every employee in this state
5    has a safe workplace in which employers have secured the payment of workers' compensation
6    benefits for their employees in accordance with this chapter and Chapter 3a, Utah Occupational
7    Disease Act; and
8        (b) through the Division of Adjudication and the Appeals Board, provide for the
9    adjudication and review of an administrative action, decision, or order of the department in
10    accordance with this title.
11        Section 49. Section 35A-3-201 (Effective 07/01/97) is amended to read:
12    
Part 2. Securing Workers' Compensation Benefits for Employees

13         35A-3-201 (Effective 07/01/97). Employers to secure workers' compensation benefits
14     for employees -- Methods.
15        (1) Employers, including counties, cities, towns, and school districts, shall secure the
16    payment of workers' compensation benefits for their employees:
17        (a) by insuring, and keeping insured, the payment of this compensation with the Workers'
18    Compensation Fund of Utah, which payments shall commence within 30 days after any final
19    award by the department;
20        (b) by insuring, and keeping insured, the payment of this compensation with any stock
21    corporation or mutual association authorized to transact the business of workers' compensation
22    insurance in this state, which payments shall commence within 30 days after any final award by
23    the department; or
24        (c) by furnishing annually to the [department] division satisfactory proof of financial
25    ability to pay direct compensation in the amount, in the manner, and when due as provided for in
26    this chapter or Chapter 3a, Utah Occupational Disease Act, which payments shall commence
27    within 30 days after any final award by the department.
28        (2) (a) If an employer secures payment of workers' compensation benefits under
29    Subsection (1)(c), the [department] division may [in its discretion]:
30        (i) require the deposit of acceptable security, indemnity, or bond to secure the payment of
31    compensation liabilities as they are incurred[,]; and [may]

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1        (ii) at any time change or modify the requirement to deposit acceptable security,
2    indemnity, or bond, if in its judgment this action is necessary or desirable to secure or assure a
3    strict compliance with all the provisions of law relating to the payment of compensation and the
4    furnishing of medical, nurse, and hospital services, medicines, and burial expenses to injured
5    employees and to the dependents of killed employees.
6        (b) (i) The [department] division may in proper cases revoke any employer's privilege as
7    a self-insurer.
8        [(3) The department is authorized and empowered to maintain a suit in any court of the
9    state to enjoin any employer, within the provisions of this chapter, from further operation of the
10    employer's business, where the employer has failed to provide for the payment of benefits in one
11    of the three ways provided in this section. Upon a showing of failure to so provide, the court shall
12    enjoin the further operation of the employer's business until the payment of these benefits has been
13    secured by the employer as required by this section. The court may enjoin the employer without
14    requiring bond from the department.]
15        [(4) If the department has reason to believe that an employer of one or more employees
16    is conducting a business without securing the payment of compensation in one of the three ways
17    provided in this section, the department may give such employer five days' written notice by
18    registered mail of the noncompliance and if the employer within the five days written notice does
19    not remedy the default, the department may file suit as provided in this section and the court is
20    empowered, ex parte, to issue without bond a temporary injunction restraining the further
21    operation of the employer's business.]
22        (ii) The revocation under Subsection (2)(b)(i) becomes a final order of the department
23    effective 30 days from the date the division revokes the privilege, unless within the 30 days the
24    employer files an application for hearing in accordance with Part 8, Adjudication.
25        Section 50. Section 35A-3-202 (Effective 07/01/97) is amended to read:
26         35A-3-202 (Effective 07/01/97). Assessment on employers and counties, cities, towns,
27     or school districts paying compensation direct.
28        (1) (a) An employer, including a county, city, town, or school district, who by authority
29    of the [department] division under Section 35A-3-201 is authorized to pay compensation direct
30    shall pay annually, on or before March 31, an assessment of the same percentage as required by
31    law to be paid by an insurance company upon its premiums, based upon an amount equivalent to

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1    premiums, that would be paid by the employer, if insured in the Workers' Compensation Fund of
2    Utah.
3        (b) The assessment required by Subsection (1)(a) is to be computed and collected by the
4    State Tax Commission and paid by the State Tax Commission into the state treasury as provided
5    in Subsection 59-9-101(2).
6        (c) [An] Notwithstanding Subsection (1)(a), an employer whose total assessment
7    obligation under Subsection (1)(a) for the preceding year was $10,000 or more shall pay the
8    assessment in quarterly installments in the same manner provided in Section 59-9-104 and subject
9    to the same penalty provided in Section 59-9-104 for not paying or underpaying an installment.
10        (2) The State Tax Commission shall have access to all the records of [the office of] the
11    [department] division for the purpose of computing and collecting any amounts described in this
12    section.
13        Section 51. Section 35A-3-204 (Effective 07/01/97) is repealed and reenacted to read:
14         35A-3-204 (Effective 07/01/97). Compliance with chapter -- Notice to employees.
15        (1) Each employer providing insurance, or electing directly to pay compensation to the
16    employer's injured workers, or the dependents of the employer's killed employees, in accordance
17    with this chapter and Chapter 3a, Utah Occupational Disease Act, shall post in conspicuous places
18    about the employer's place of business typewritten or printed notices stating, that:
19        (a) the employer has complied with:
20        (i) this chapter and Chapter 3a, Utah Occupational Disease Act; and
21        (ii) all the rules of the department made under this chapter and Chapter 3a, Utah
22    Occupational Disease Act; and
23        (b) if such is the case, that the employer has been authorized by the division directly to
24    compensate the employees or dependents.
25        (2) The notice required in Subsection (1) when posted in accordance with Subsection (1),
26    shall constitute sufficient notice to the employer's employees of the fact that the employer has
27    complied with the law as to securing compensation to the employer's employees and their
28    dependents.
29        Section 52. Section 35A-3-205 (Effective 07/01/97) is amended to read:
30         35A-3-205 (Effective 07/01/97). Notification of workers' compensation insurance
31     coverage to department -- Cancellation requirements -- Penalty for violation.

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1        (1) (a) Every insurance carrier writing workers' compensation insurance coverage in this
2    state or for this state, regardless of the state in which the policy is written, shall file notification
3    of that coverage with the [department] division or its designee within 30 days after the inception
4    date of the policy [on forms] in the form prescribed by the [department] division. These policies
5    will be in effect from inception until canceled by filing with the [department] division or its
6    designee a notification of cancellation [on forms] in the form prescribed by the [department]
7    division within ten days after the cancellation of a policy.
8        (b) Failure to notify the [department] division or its designee under Subsection (1)(a) will
9    result in the continued liability of the carrier until the date that notice of cancellation is received
10    by the [department] division or its designee.
11        [(b)] (c) Filings shall be made within 30 days of:
12        (i) the reinstatement of a policy[,];
13        (ii) the changing or addition of a name or address of the insured[,]; or
14        (iii) the merger of an insured with another entity.
15        [(c)] (d) All filings shall include:
16        (i) the name of the insured[,];
17        (ii) the principal business address[,];
18        (iii) any and all assumed name designations[,];
19        (iv) the address of all locations within this state where business is conducted[,]; and [after
20    July 1, 1987,]
21        (v) all federal employer identification numbers or federal tax identification numbers.
22        [(d)] (2) Noncompliance with this section is grounds for revocation of an insurance
23    carrier's certificate of authority in addition to the grounds specified in Title 31A, Insurance Code.
24        [(2)] (3) The [department] division may assess an insurer up to $150, payable to the
25    Uninsured Employers' Fund, if the insurer fails to comply with this section.
26        Section 53. Section 35A-3-206 (Effective 07/01/97) is amended to read:
27         35A-3-206 (Effective 07/01/97). Furnishing information to division -- Employers'
28     annual report -- Rights of division -- Examination of employers under oath -- Penalties.
29        (1) (a) Every employer shall furnish the [department] division, upon request, all
30    information required by it to carry out the purposes of this chapter and Chapter 3a, Utah
31    Occupational Disease Act.

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1        (b) In the month of July of each year every employer shall prepare and mail to the
2    [department] division a statement containing the following information:
3        [(a)] (i) the number of persons employed during the preceding year from July 1, to June
4    30, inclusive;
5        [(b)] (ii) the number of the persons employed at each kind of employment;
6        [(c)] (iii) the scale of wages paid in each class of employment, showing the minimum and
7    maximum wages paid; and
8        [(d)] (iv) the aggregate amount of wages paid to all employees.
9        (2) (a) The information required under Subsection (1) shall be furnished [on blanks on a
10    form prepared] in the form prescribed by the [department and furnished to employers free of
11    charge upon request] division.
12        (b) Every employer shall [properly fill out the blanks so as to]:
13        (i) answer fully and correctly all questions [on the form,] and [shall] give all the
14    information sought [in the form,] by the division under Subsection (1); or[,]
15        (ii) if unable to [do so] comply with Subsection (2)(b)(i), the employer shall give to the
16    [department] division, in writing, good and sufficient reasons for the failure.
17        (3) (a) The [department] division may require the information required to be furnished by
18    this chapter [to be furnished] and Chapter 3a, Utah Occupational Disease Act, to be made under
19    oath and returned to the [department] division within the period fixed by it or by law.
20        (b) The [department] division, or any person employed by the [department] division for
21    that purpose, shall have the right to examine, under oath, any employer, [his] or the employer's
22    agents or employees, for the purpose of ascertaining any information that the employer is required
23    by this chapter or Chapter 3a, Utah Occupational Disease Act, to furnish to the [department]
24    division.
25        (4) (a) [Any employer who, within a reasonable time to be fixed by the department and
26    after the receipt of written notice signed by the executive director or the executive director's
27    designee specifying the information demanded and served by certified mail, refuses to furnish to
28    the department the annual statement required by this section, or who refuses to furnish other
29    information as may be required by the department under this section, or who willfully furnishes
30    a false or untrue statement shall be liable to] The division may seek a penalty of not to exceed
31    $500 for each offense to be recovered in a civil action brought by [and in the name] the department

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1    or the division on behalf of the department[.] against an employer who:
2        (i) within a reasonable time to be fixed by the division and after the receipt of written
3    notice signed by the director or the director's designee specifying the information demanded and
4    served by certified mail, refuses to furnish to the division:
5        (A) the annual statement required by this section; or
6        (B) other information as may be required by the division under this section; or
7        (ii) willfully furnishes a false or untrue statement.
8        (b) All penalties [when] collected under Subsection (4)(a) shall be paid into the Employers'
9    Reinsurance Fund created in Section 35A-3-702.
10        [(b)] (c) If the information being requested under this section is requested as part of an
11    appeal to the Workforce Appeals Board, at least two members of the Workforce Appeals Board
12    shall sign the notice specifying the information demanded.
13        Section 54. Section 35A-3-207 (Effective 07/01/97) is repealed and reenacted to read:
14         35A-3-207 (Effective 07/01/97). Noncompliance -- Penalty.
15        (1) (a) Employers who fail to comply with Section 35A-3-201 are not entitled to the
16    benefits of this chapter or Chapter 3a, Utah Occupational Disease Act, during the period of
17    noncompliance, but shall be liable in a civil action to their employees for damages suffered by
18    reason of personal injuries arising out of or in the course of employment caused by the wrongful
19    act, neglect, or default of the employer or any of the employer's officers, agents or employees, and
20    also to the dependents or personal representatives of such employees when death results from such
21    injuries.
22        (b) In any action described in Subsection (1)(a), the defendant may not avail himself of
23    any of the following defenses:
24        (i) the fellow-servant rule;
25        (ii) assumption of risk; or
26        (iii) contributory negligence.
27        (2) Proof of the injury shall constitute prima facie evidence of negligence on the part of
28    the employer and the burden shall be upon the employer to show freedom from negligence
29    resulting in the injury.
30        (3) An employer who fails to comply with Section 35A-3-201 is subject to Sections
31    35A-3-208 and 35A-3-211.

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1        (4) In any civil action permitted under this section against the employer, the employee
2    shall be entitled to necessary costs and a reasonable attorney fee assessed against the employer.
3        Section 55. Section 35A-3-208 (Effective 07/01/97) is repealed and reenacted to read:
4         35A-3-208 (Effective 07/01/97). Rights of employees where employer fails to comply.
5        (1) Any employee, or the employee's dependents if death has ensued, may, in lieu of
6    proceeding against the employee's employer by civil action in the courts as provided in Section
7    35A-3-207, file an application with the Division of Adjudication for compensation in accordance
8    with this chapter or Chapter 3a, Utah Occupational Disease Act, when:
9        (a) the employee's employer failed to comply with Section 35A-3-201;
10        (b) the employee has been injured by accident arising out of or in the course of the
11    employee's employment, wherever the injury occurred; and
12        (c) the injury described in Subsection (1)(b) was not purposely self-inflicted.
13        (2) An application for compensation filed under Subsection (1) shall be treated by the
14    department, including for purposes of appeal to the Workforce Appeals Board, as an application
15    for hearing under Section 35A-3-801.
16        (3) (a) If an application for compensation is filed under Subsection (1), in accordance with
17    Part 8, Adjudication, the department shall determine the award due to:
18        (i) the injured employee; or
19        (ii) the employee's dependents if death has ensued.
20        (b) The employer shall pay the award determined under Subsection (3)(a) to the persons
21    entitled to the compensation within ten days after receiving notice from the department of the
22    amount of the award determined under Subsection (3)(a).
23        Section 56. Section 35A-3-209 (Effective 07/01/97) is repealed and reenacted to read:
24         35A-3-209 (Effective 07/01/97). Employer's penalty for violation -- Notice of
25     noncompliance -- Proof required -- Admissible evidence -- Criminal prosecution.
26        (1) (a) (i) Any employer who fails to comply, and every officer of a corporation or
27    association that fails to comply, with Section 35A-3-201 is guilty of a class B misdemeanor.
28        (ii) Each day's failure to comply with Subsection (1)(a)(i) is a separate offense.
29        (b) All funds, fines, or penalties collected or assessed under Subsection (1)(a) shall be
30    deposited in the Uninsured Employers' Fund created by Section 35A-3-704 and used for the
31    purposes of that fund.

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1        (c) If the division sends written notice of noncompliance by certified mail to the
2    last-known address of the employer, corporation, or officers of a corporation or association, and
3    the employer, corporation, or officers do not within ten days provide to the division proof of
4    compliance, the notice and failure to provide proof constitutes prima facie evidence that the
5    employer, corporation, or officers are in violation of this section.
6        (2) (a) (i) If the division has reason to believe that an employer is conducting business
7    without securing the payment of compensation in one of the three ways provided in Section
8    35A-3-201, the division may give the employer, or in the case of an employer corporation, the
9    corporation or the officers of the corporation, notice of noncompliance by certified mail to the
10    last-known address of the employer, corporation, or officers, and if the employer, corporation, or
11    officers do not, within ten days, provide to the division proof of compliance, the employer and
12    every officer of an employer corporation is guilty of a class B misdemeanor.
13        (ii) Each day's failure to comply with Subsection (2)(a)(i) is a separate offense.
14        (b) All funds, fines, or penalties collected or assessed under Subsection (2)(a) shall be
15    deposited in the Uninsured Employers' Fund created by Section 35A-3-704 and used for the
16    purposes of that fund.
17        (3) All forms and records kept by the division or its designee pursuant to Section
18    35A-3-205 are admissible as evidence to establish noncompliance under this section.
19        (4) The department or the division on behalf of the department is authorized to request
20    the attorney general or the district attorney to prosecute a criminal action in the name of the state
21    to enforce this chapter or Chapter 3a, Utah Occupational Disease Act.
22        Section 57. Section 35A-3-210 (Effective 07/01/97) is repealed and reenacted to read:
23         35A-3-210 (Effective 07/01/97). Power to bring suite for noncompliance.
24        (1) (a) The department or the division on behalf of the department may maintain a suit in
25    any court of the state to enjoin any employer, within this chapter or Chapter 3a, Utah Occupational
26    Disease Act, from further operation of the employer's business, where the employer fails to provide
27    for the payment of benefits in one of the three ways provided in Section 35A-3-201.
28        (b) Upon a showing of failure to provide for the payment of benefits, the court shall enjoin
29    the further operation of the employer's business until the payment of these benefits has been
30    secured by the employer as required by Section 35A-3-201. The court may enjoin the employer
31    without requiring bond from the department or division.

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1        (2) If the division has reason to believe that an employer is conducting a business without
2    securing the payment of compensation in one of the three ways provided in Section 35A-3-201,
3    the division may give the employer five days' written notice by registered mail of the
4    noncompliance and if the employer within the five days written notice does not remedy the default:
5        (a) the department or the division on behalf of the department may file suit under
6    Subsection (1); and
7        (b) the court may, ex parte, issue without bond a temporary injunction restraining the
8    further operation of the employer's business.
9        Section 58. Section 35A-3-211 (Effective 07/01/97) is repealed and reenacted to read:
10         35A-3-211 (Effective 07/01/97). Notice of noncompliance to employer -- Enforcement
11     power of division -- Penalty.
12        (1) (a) In addition to the remedies specified in Section 35A-3-210, if the division has
13    reason to believe that an employer is conducting business without securing the payment of benefits
14    in one of the three ways provided in Section 35A-3-201, the division may give that employer
15    written notice of the noncompliance by certified mail to the last-known address of the employer.
16        (b) If the employer does not remedy the default within 15 days after delivery of the notice,
17    the division may issue an order requiring the employer to appear before the division and show
18    cause why the employer should not be ordered to comply with Section 35A-3-201.
19        (c) If it is found that the employer has failed to provide for the payment of benefits in one
20    of the three ways provided in Section 35A-3-201, the division may require any employer to
21    comply with Section 35A-3-201.
22        (2) (a) In addition to the remedies specified in Subsection (1) and Section 35A-3-201, the
23    division may impose a penalty against the employer of the greater of:
24        (i) $1,000; or
25        (ii) three times the amount of the premium the employer would have paid for workers'
26    compensation insurance based on the rate filing of the Workers' Compensation Fund of Utah
27    during the period of noncompliance.
28        (b) For purposes of Subsection (2)(a)(ii), the premium is calculated by applying rates and
29    rate multipliers to the payroll basis under Subsection (2)(c), using the highest rated employee class
30    code applicable to the employer's operations.
31        (c) The payroll basis for the purpose of calculating the premium penalty shall be 150%

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1    of the state's average weekly wage multiplied by the highest number of workers employed by the
2    employer during the period of the employer's noncompliance multiplied by the number of weeks
3    of the employer's noncompliance up to a maximum of 156 weeks.
4        (3) The penalty imposed under Subsection (2) shall be deposited in the Uninsured
5    Employers' Fund created by Section 35A-3-704 and used for the purposes of that fund.
6        (4) (a) An employer who disputes the determination, imposition, or amount of a penalty
7    imposed under Subsection (3) shall request a hearing before an administrative law judge within
8    30 days of the date of issuance of the administrative action imposing the penalty or the
9    administrative action becomes a final order of the department.
10        (b) The employer's request for a hearing under Subsection (4)(a) shall specify the facts and
11    grounds that are the basis of the employer's objection to the determination, imposition, or amount
12    of the penalty.
13        (c) An administrative law judge's decision under Subsection (4) may be reviewed pursuant
14    to Part 8, Adjudication.
15        (5) (a) After a penalty has been issued and becomes a final order of the department, the
16    division on behalf of the department may file an abstract for any uncollected penalty in the district
17    court.
18        (b) The abstract filed under Subsection (5)(a) shall state:
19        (i) the amount of the uncollected penalty;
20        (ii) reasonable attorneys' fees;
21        (iii) costs of collection; and
22        (iv) court costs.
23        (c) The filed abstract shall have the effect of a judgment of that court.
24        (6) Any administrative action issued by the division under this section shall:
25        (a) be in writing;
26        (b) be sent by certified mail to the last-known address of the employer;
27        (c) state the findings and administrative action of the division; and
28        (d) specify its effective date, which may be immediate or may be at a later date.
29        (7) The final order of the department under this section, upon application by the division
30    on behalf of the department made on or after the effective date of the order to a court of general
31    jurisdiction in any county in this state, may be enforced by an order to comply entered ex parte and

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1    without notice by the court.
2        Section 59. Section 35A-3-212 is enacted to read:
3         35A-3-212. Docketing awards in district court -- Enforcing judgment.
4        (1) (a) An abstract of any final order providing an award may be filed under this chapter
5    or Chapter 3a, Utah Occupational Disease Act, in the office of the clerk of the district court of any
6    county in the state.
7        (b) The abstract shall be docketed in the judgment docket of the district court where the
8    abstract is filed. The time of the receipt of the abstract shall be noted on the abstract by the clerk
9    of the district court and entered in the docket.
10        (c) When filed and docketed under Subsection (1)(a) and (b), the order shall constitute a
11    lien from the time of the docketing upon the real property of the employer situated in the county,
12    for a period of eight years from the date of the order unless the award provided in the final order
13    is satisfied during the eight year period.
14        (d) Execution may be issued on the lien within the same time and in the same manner and
15    with the same effect as if the order were a judgment of the district court.
16        (2) (a) If the employer was uninsured at the time of the injury, the county attorney for the
17    county in which the applicant or the employer resides, depending on the district in which the final
18    order is docketed, shall enforce the judgment when requested by the department or division on
19    behalf of the department.
20        (b) In an action to enforce an order docketed under Subsection (1), reasonable attorney's
21    fees and court costs shall be allowed in addition to the award.
22        Section 60. Section 35A-3-301 (Effective 07/01/97) is amended to read:
23    
Part 3. Protection or Life, Health, and Safety

24         35A-3-301 (Effective 07/01/97). Places of employment to be safe -- Willful neglect --
25     Penalty.
26        (1) An employer may not:
27        (a) construct, occupy, or maintain any place of employment that is not safe;
28        (b) require or knowingly permit any employee to be in any employment or place of
29    employment that is not safe;
30        (c) fail to provide and use safety devices and safeguards;
31        (d) remove, disable, or bypass safety devices and safeguards;

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1        (e) fail to obey [and follow] orders of the department;
2        (f) fail to obey rules of the department;
3        [(f)] (g) fail to adopt and use methods and processes reasonably adequate to render the
4    employment and place of employment safe; or
5        [(g)] (h) fail or neglect to do every other thing reasonably necessary to protect the life,
6    health[,] and safety[, and welfare] of the employer's employees.
7        (2) [When] Compensation as provided in this chapter or Chapter 3a, Utah Occupational
8    Disease Act, shall be increased 15%, except in case of injury resulting in death, when injury is
9    caused by the willful failure of an employer to comply with:
10        (a) the law [or];
11        (b) a rule of the department;
12        (c) any lawful order of the department; or
13        (d) the employer's own written workplace safety program[, compensation as provided for
14    in this chapter shall be increased 15%, except in case of injury resulting in death].
15        Section 61. Section 35A-3-302 (Effective 07/01/97) is amended to read:
16         35A-3-302 (Effective 07/01/97). Employee's willful misconduct.
17        (1) An employee may not:
18        (a) remove, displace, damage, destroy, or carry away any safety device or safeguard
19    provided for use in any employment or place of employment, or interfere in any way with the use
20    thereof by any other person;
21        (b) interfere with the use of any method or process adopted for the protection of any
22    employee in [his] the employer's employment or place of employment; or
23        (c) fail or neglect to follow and obey orders and to do every other thing reasonably
24    necessary to protect the life, health[,] and safety[, and welfare] of employees.
25        (2) Except in case of injury resulting in death:
26        (a) Compensation provided for by this chapter shall be reduced 15% when injury is caused
27    by the willful failure of the employee:
28        (i) to use safety devices when provided by the employer; or
29        (ii) to obey any order or reasonable rule adopted by the employer for the safety of the
30    employee.
31        (b) Except when the employer permitted, encouraged, or had actual knowledge of the

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1    conduct described in [Subsection] Subsections (2)(b)(i) through (iii), [no] disability compensation
2    [shall] may not be awarded under this chapter or Chapter 3a, Utah Occupational Disease Act, to
3    an employee when the major contributing cause of the employee's injury is the employee's:
4        (i) use of illegal substances;
5        (ii) intentional abuse of drugs in excess of prescribed therapeutic amounts; or
6        (iii) intoxication from alcohol with a blood or breath alcohol concentration of.08 grams
7    or greater as shown by a chemical test.
8        Section 62. Section 35A-3-403 (Effective 07/01/97) is amended to read:
9         35A-3-403 (Effective 07/01/97). Dependents -- Presumption.
10        (1) The following persons shall be presumed to be wholly dependent for support upon a
11    deceased employee:
12        (a) [children] a child under the age of 18 years of age, or over if the child is physically or
13    mentally incapacitated and dependent upon the parent, with whom [they are] the child is living at
14    the time of the death of the parent, or who is legally bound for [their] the child's support; and
15        (b) for purposes of payments to be made under Subsection 35A-3-702[(2)(a)](5)(a)(i), a
16    surviving spouse [shall be presumed to be wholly dependent upon a spouse] with whom the
17    [surviving spouse] deceased employee lived at the time of the employee's death.
18        (2) (a) In a case not provided for in Subsection (1), the question of dependency, in whole
19    or in part, shall be determined in accordance with the facts in each particular case existing at the
20    time of the injury or death of an employee, except for purposes of dependency reviews under
21    Subsection 35A-3-702(5)(a)[(iii)](iv). [No]
22        (b) A person [shall] may not be considered as a dependent unless that person is:
23        (i) a member of the family of the deceased employee[, or is];
24        (ii) the spouse of the deceased employee[,];
25        (iii) a lineal descendant[,] or ancestor[,] of the deceased employee; or
26        (iv) brother or sister of the deceased employee.
27        (3) As used in this chapter and Chapter 3a, Utah Occupational Disease Act:
28        (a) "brother or sister" includes a half brother or sister.
29        (b) "child" includes:
30        (i) a posthumous child[, and]; or
31        (ii) a child legally adopted prior to the injury.

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1        Section 63. Section 35A-3-404 (Effective 07/01/97) is amended to read:
2         35A-3-404 (Effective 07/01/97). Injuries to minors.
3        (1) A minor [shall be deemed] is considered sui juris for the purposes of this chapter and
4    Chapter 3a, Utah Occupational Disease Act, and no other person shall have any cause of action
5    or right to compensation for an injury to the minor employee.
6        (2) Notwithstanding Subsection (1), in the event of the award of a lump sum of
7    compensation to a minor employee, the sum shall be paid only to the minor's legally appointed
8    guardian.
9        Section 64. Section 35A-3-405 (Effective 07/01/97) is amended to read:
10         35A-3-405 (Effective 07/01/97). Employee injured outside state -- Entitled to
11     compensation -- Limitation of time.
12        (1) Except as provided in Subsection (2), if an employee who has been hired or is regularly
13    employed in this state receives personal injury by accident arising out of and in the course of
14    employment outside of this state, [he] the employee, or [his] the employee's dependents in case
15    of [his] the employee's death, shall be entitled to compensation according to the law of this state.
16        (2) This section applies only to those injuries received by the employee within six months
17    after leaving this state, unless prior to the expiration of the six-month period the employer has filed
18    with the [department] division notice that [he] the employer has elected to extend such coverage
19    a greater period of time.
20        Section 65. Section 35A-3-406 (Effective 07/01/97) is amended to read:
21         35A-3-406 (Effective 07/01/97). Exemptions from chapter for employees temporarily
22     in state -- Conditions -- Evidence of insurance.
23        (1) Any employee who has been hired in another state and [his] the employee's employer
24    are exempt from this chapter and Chapter 3a, Utah Occupational Disease Act, while the employee
25    is temporarily within this state doing work for [his] the employee's employer if:
26        (a) the employer has furnished workers' compensation insurance coverage under the
27    workers' compensation or similar laws of the other state;
28        (b) the coverage covers the employee's employment while in this state; and
29        (c) (i) the extraterritorial provisions of this chapter and Chapter 3a are recognized in the
30    other state and employers and employees who are covered in this state are likewise exempted from
31    the application of the workers' compensation or similar laws of the other state; or

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1        (ii) the Workers Compensation Fund of Utah:
2        (A) is an admitted insurance carrier in the other state; or
3        (B) has agreements with [such] a carrier and is able to furnish workers' compensation
4    insurance or similar coverage to Utah employers and their subsidiaries or affiliates doing business
5    in the other state.
6        (2) The benefits under the workers' compensation or similar laws of the other state are the
7    exclusive remedy against an employer for any injury, whether resulting in death or not, received
8    by an employee while working for the employer in this state.
9        (3) A certificate from an authorized officer of the industrial commission or similar
10    department of the other state certifying that the employer is insured in the other state and has
11    provided extraterritorial coverage insuring [his] the employer's employees while working in this
12    state is prima facie evidence that the employer carries compensation insurance.
13        Section 66. Section 35A-3-407 (Effective 07/01/97) is amended to read:
14         35A-3-407 (Effective 07/01/97). Reporting of industrial injuries -- Regulation of
15     health care providers.
16        (1) Any employee sustaining an injury arising out of and in the course of employment
17    shall provide notification to the employee's employer promptly of the injury. If the employee is
18    unable to provide notification, the employee's next-of-kin or attorney may provide notification of
19    the injury to the employee's employer.
20        (2) Any employee who fails to notify [his] the employee's employer or the [department]
21    division within 180 days of an injury is barred for any claim of benefits arising from the injury.
22        (3) [An] The following constitute notification of injury:
23        (a) an employer's or physician's injury report filed with the [department] division,
24    employer, or insurance carrier; or
25        (b) the payment of any medical or disability benefits by the employer or the employer's
26    insurance carrier[, constitutes notification of an injury].
27        (4) (a) [On forms or by methods] In the form prescribed by the [department] division, each
28    employer shall file a report with the [department] division of:
29        (i) any work-related fatality; or
30        (ii) any work-related injury resulting in:
31        (A) medical treatment[,];

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1        (B) loss of consciousness[,];
2        (C) loss of work[,];
3        (D) restriction of work[,]; or
4        (E) transfer to another job.
5        (b) The employer shall file the report required by Subsection (4)(a) within seven days
6    after:
7        (i) the occurrence of a fatality or injury;
8        (ii) the employer's first knowledge of the fatality or injury; or
9        (iii) the employee's notification of the fatality or injury.
10        [(b)] (c) Each employer shall file a subsequent report with the [department] division of any
11    previously reported injury that later resulted in death. The subsequent report shall be filed with
12    the [department] division within seven days following:
13        (i) the death; or
14        (ii) the employer's first knowledge or notification of the death. [No]
15        (d) A report is not required for minor injuries, such as cuts or scratches that require
16    first-aid treatment only, unless a treating physician files, or is required to file, the Physician's
17    Initial Report of Work Injury or Occupational Disease with the [department] division.
18        (5) Each employer shall provide the employee with:
19        (a) a copy of the report submitted to the [department. The employer shall also provide
20    the employee with] division; and
21        (b) a statement, as prepared by the [department] division, of the employee's rights and
22    responsibilities related to the industrial injury.
23        (6) Each employer shall maintain a record in a manner prescribed by the [department]
24    division of all work-related fatalities or work-related injuries resulting in:
25        (a) medical treatment[,];
26        (b) loss of consciousness[,];
27        (c) loss of work[,];
28        (d) restriction of work[,]; or
29        (e) transfer to another job.
30        (7) Any employer who refuses or neglects to make reports, to maintain records, or to file
31    reports with the [department] division as required by this section is guilty of a class C

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1    misdemeanor and subject to citation under Section 35A-6-302 and a civil assessment as provided
2    under Section 35A-6-307, unless the [department] division finds that the employer has shown good
3    cause for submitting a report later than required by this section.
4        (8) (a) Except as provided in Subsection (8)(c) all physicians, surgeons, and other health
5    providers attending injured employees shall:
6        (i) comply with all the rules, including the schedule of fees, for their services as adopted
7    by the department; and
8        (ii) make reports to the [department] division at any and all times as required as to the
9    condition and treatment of an injured employee or as to any other matter concerning industrial
10    cases they are treating.
11        (b) A physician, as defined in Subsection [35A-3-117] 35A-3-111(2), who is associated
12    with, employed by, or bills through a hospital is subject to Subsection (8)(a).
13        (c) A hospital is not subject to the requirements of Subsection (8)(a).
14        (d) The department's schedule of fees may reasonably differentiate remuneration to be paid
15    to providers of health services based on:
16        (i) the severity of the employee's condition[,];
17        (ii) the nature of the treatment necessary[,]; and
18        (iii) the facilities or equipment specially required to deliver that treatment.
19        (e) Subsection (8) does not modify contracts with providers of health services relating to
20    the pricing of goods and services existing on May 1, 1995.
21        (f) In accordance with Title 63, Chapter 46b, Administrative Procedures Act, a physician,
22    surgeon, or other health provider may file with the Division of Adjudication an application for
23    hearing to appeal a decision or final order to the extent it concerns the fees charged by the
24    physician, surgeon, or other health provider in accordance with this section.
25        (9) A copy of the physician's initial report shall be furnished to the [department, the]:
26        (a) division;
27        (b) employee[, and the]; and
28        (c) employer or its insurance carrier.
29        (10) Any physician, surgeon, or other health provider, excluding any hospital, who refuses
30    or neglects to make any report or comply with this section is guilty of a class C misdemeanor for
31    each offense, unless the [department] division finds that there is good cause for submitting a late

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1    report.
2        Section 67. Section 35A-3-408 (Effective 07/01/97) is amended to read:
3         35A-3-408 (Effective 07/01/97). Compensation -- None for first three days after
4     injury unless disability extended.
5         (1) (a) Except as provided in Subsection (1)(b) or (2), [no] compensation [shall] may not
6    be allowed for the first three days after the injury is received[, except the].
7        (b) The disbursements authorized in this chapter or Chapter 3a, Utah Occupational Disease
8    Act, for medical, nurse and hospital services, and for medicines and funeral expenses are payable
9    for the first three days after the injury is received.
10        (2) If the period of total temporary disability lasts more than 14 days, compensation shall
11    [also] be payable for the first three days after the injury is received.
12        Section 68. Section 35A-3-409 (Effective 07/01/97) is amended to read:
13         35A-3-409 (Effective 07/01/97). Average weekly wage -- Basis of computation.
14        (1) Except as otherwise provided in this chapter or Chapter 3a, Utah Occupational Disease
15    Act, the average weekly wage of the injured employee at the time of the injury [shall be taken as]
16    is the basis upon which to compute the weekly compensation rate and shall be determined as
17    follows:
18        (a) [If] if at the time of the injury the wages are fixed by the year, the average weekly wage
19    shall be that yearly wage divided by 52[.];
20        (b) [If] if at the time of the injury the wages are fixed by the month, the average weekly
21    wage shall be that monthly wage divided by 4-1/3[.];
22        (c) [If] if at the time of the injury the wages are fixed by the week, that amount shall be
23    the average weekly wage[.];
24        (d) [If] if at the time of the injury the wages are fixed by the day, the weekly wage shall
25    be determined by multiplying the daily wage by the greater of:
26        (i) the number of days and fraction of days in the week during which the employee under
27    a contract of hire was working at the time of the accident, or would have worked if the accident
28    had not intervened[. In no case shall the daily wage be multiplied by less than]; or
29        (ii) three [for the purpose of determining the weekly wage.] days;
30        (e) [If] if at the time of the injury the wages are fixed by the hour, the average weekly
31    wage shall be determined by multiplying the hourly rate the greater of:

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1        (i) by the number of hours the employee would have worked for the week if the accident
2    had not intervened[. In no case shall the hourly wage be multiplied by less than]; or
3        (ii) 20 [for the purpose of determining the weekly wage.] hours;
4        (f) [If] if at the time of the injury the hourly wage has not been fixed or cannot be
5    ascertained, the average weekly wage for the purpose of calculating compensation shall be the
6    usual wage for similar services where those services are rendered by paid employees[.];
7        (g) (i) [If] if at the time of the injury the wages are fixed by the output of the employee,
8    the average weekly wage shall be the wage most favorable to the employee computed by dividing
9    by 13 the wages, not including overtime or premium pay, of the employee earned through that
10    employer in the first, second, third, or fourth period of 13 consecutive calendar weeks in the 52
11    weeks immediately preceding the injury[.]; or
12        (ii) [If] if the employee has been employed by that employer less than 13 calendar weeks
13    immediately preceding the injury, [his] the employee's average weekly wage shall be computed
14    as under Subsection (1)(g)(i), presuming the wages, not including overtime or premium pay, to be
15    the amount [he] the employee would have earned had [he] the employee been so employed for the
16    full 13 calendar weeks immediately preceding the injury and had worked, when work was
17    available to other employees, in a similar occupation.
18        (2) If none of the methods in Subsection (1) will fairly determine the average weekly wage
19    in a particular case, the department shall use such other method as will, based on the facts
20    presented, fairly determine the employee's average weekly wage.
21        (3) When the average weekly wage of the injured employee at the time of the injury is
22    determined in accordance with this section, it shall be taken as the basis upon which to compute
23    the weekly compensation rate. After the weekly compensation [has been] rate is computed, it shall
24    be rounded to the nearest dollar.
25        (4) If it is established that the injured employee was of such age and experience when
26    injured that under natural conditions [his] the employee's wages would be expected to increase,
27    that fact may be considered in arriving at [his] the employee's average weekly wage.
28        Section 69. Section 35A-3-410 (Effective 07/01/97) is amended to read:
29         35A-3-410 (Effective 07/01/97). Temporary disability -- Amount of payments -- State
30     average weekly wage defined.
31        (1) (a) In case of temporary disability, so long as the disability is total, the employee shall

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1    receive 66-2/3% of that employee's average weekly wages at the time of the injury [so long as the
2    disability is total,] but:
3        (i) not more than a maximum of 100% of the state average weekly wage at the time of the
4    injury per week; and
5        (ii) not less than a minimum of $45 per week plus $5 for a dependent spouse and $5 for
6    each dependent child under the age of 18 years, up to a maximum of four dependent children, not
7    to exceed the average weekly wage of the employee at the time of the injury, but not to exceed
8    100% of the state average weekly wage at the time of the injury per week.
9        (b) In no case shall the compensation benefits exceed 312 weeks at the rate of 100% of the
10    state average weekly wage at the time of the injury over a period of eight years from the date of
11    the injury.
12        (2) In the event a light duty medical release is obtained prior to the employee reaching a
13    fixed state of recovery, and when no light duty employment is available to the employee from the
14    employer, temporary disability benefits shall continue to be paid.
15        (3) The "state average weekly wage" as referred to in this chapter and Chapter 3a, Utah
16    Occupational Disease Act, shall be determined by the department as follows:
17        (a) On or before June 1 of each year, the total wages reported on contribution reports to
18    the Division of [Employment Development] Workforce Information and Payment Services for
19    the preceding calendar year shall be divided by the average monthly number of insured workers
20    determined by dividing the total insured workers reported for the preceding year by 12.
21        (b) The average annual wage obtained under Subsection (3)(a) shall be divided by 52.
22        (c) The average weekly wage determined under Subsection (3)(b) is rounded to the nearest
23    dollar.
24        (4) The state average weekly wage determined under Subsection (3) shall be used as the
25    basis for computing the maximum compensation rate for:
26        (a) injuries or disabilities arising from occupational disease that occurred during the
27    twelve-month period commencing July 1 following the June 1 determination[,]; and
28        (b) any death resulting from the injuries or disabilities arising from occupational disease.
29        Section 70. Section 35A-3-411 (Effective 07/01/97) is amended to read:
30         35A-3-411 (Effective 07/01/97). Temporary partial disability -- Amount of payments.
31        (1) If the injury causes temporary partial disability for work, the employee shall receive

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1    weekly compensation equal to:
2        (a) 66-2/3% of the difference between the employee's average weekly wages before the
3    accident and the weekly wages the employee is able to earn after the accident, but not more than
4    100% of the state average weekly wage at the time of injury; plus
5        (b) $5 for a dependent spouse and $5 for each dependent child under the age of 18 years,
6    up to a maximum of four such dependent children, but only up to a total weekly compensation that
7    does not exceed 100% of the state average weekly wage at the time of injury.
8        (2) The department may [make] order an award for temporary partial disability for work
9    at any time prior to eight years after the date of the injury to an employee:
10        (a) whose physical condition resulting from the injury is not finally healed and fixed eight
11    years after the date of injury; and
12        (b) who files an application for hearing under Section 35A-3-417.
13        (3) The duration of weekly payments may not exceed 312 weeks nor continue more than
14    eight years after the date of the injury. Payments shall terminate when the disability ends or the
15    injured employee dies.
16        Section 71. Section 35A-3-412 (Effective 07/01/97) is amended to read:
17         35A-3-412 (Effective 07/01/97). Permanent partial disability -- Scale of payments.
18        (1) An employee who sustained a permanent impairment as a result of an industrial
19    accident and who files an application for hearing under Section 35A-3-417 may receive a
20    permanent partial disability award from the department.
21        (2) Weekly payments may not in any case continue after the disability ends, or the death
22    of the injured person.
23        (3) (a) In the case of [the following] injuries described in Subsection (4) through (6), the
24    compensation shall be 66-2/3% of that employee's average weekly wages at the time of the injury,
25    but not more than a maximum of 66-2/3% of the state average weekly wage at the time of the
26    injury per week and not less than a minimum of $45 per week plus $5 for a dependent spouse and
27    $5 for each dependent child under the age of 18 years, up to a maximum of four dependent
28    children, but not to exceed 66-2/3% of the state average weekly wage at the time of the injury per
29    week[, to be].
30        (b) The compensation determined under Subsection (3)(a) shall be:
31        (i) paid in routine pay periods not to exceed four weeks for the number of weeks [stated

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1    against such injuries respectively,] provided for in this section; and [shall be]
2        (ii) in addition to the compensation provided for temporary total disability and temporary
3    partial disability[:].
4        (4) For the loss of:                        Number of Weeks
5        (a) Upper extremity
6        (i) Arm
7        (A) Arm and shoulder (forequarter amputation)                218
8        (B) Arm at shoulder joint, or above deltoid insertion            187
9        (C) Arm between deltoid insertion and elbow joint, at elbow joint, or
10    below elbow joint proximal to insertion of biceps tendon                178
11        (D) Forearm below elbow joint distal to insertion of biceps tendon    168
12        (ii) Hand
13        (A) At wrist or midcarpal or midmetacarpal amputation            168
14        (B) All fingers except thumb at metacarpophalangeal joints        101
15        (iii) Thumb
16        (A) At metacarpophalangeal joint or with resection of
17     carpometacarpal bone                                67
18        (B) At interphalangeal joint                            50
19        (iv) Index finger
20        (A) At metacarpophalangeal joint or with resection of metacarpal bone    42
21        (B) At proximal interphalangeal joint                    34
22        (C) At distal interphalangeal joint                        18
23        (v) Middle finger
24        (A) At metacarpophalangeal joint or with resection of metacarpal bone    34
25        (B) At proximal interphalangeal joint                    27
26        (C) At distal interphalangeal joint                        15
27        (vi) Ring finger
28        (A) At metacarpophalangeal joint or with resection of metacarpal bone    17
29        (B) At proximal interphalangeal joint                    13
30        (C) At distal interphalangeal joint                        8
31        (vii) Little finger

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1        (A) At metacarpophalangeal joint or with resection of metacarpal bone    8
2        (B) At proximal interphalangeal joint                    6
3        (C) At distal interphalangeal joint                        4
4        (b) Lower extremity
5        (i) Leg
6        (A) Hemipelvectomy (leg, hip and pelvis)                    156
7        (B) Leg at hip joint or three inches or less below tuberosity of ischium    125
8        (C) Leg above knee with functional stump, at knee joint or Gritti-Stokes
9     amputation or below knee with short stump (three inches or less below
10    intercondylar notch)                                    112
11        (D) Leg below knee with functional stump                    88
12        (ii) Foot
13        (A) Foot at ankle                                88
14        (B) Foot partial amputation (Chopart's)                    66
15        (C) Foot midmetatarsal amputation                        44
16        (iii) Toes
17        (A) Great toe
18        (I) With resection of metatarsal bone                    26
19        (II) At metatarsophalangeal joint                        16
20        (III) At interphalangeal joint                            12
21        (B) Lesser toe (2nd -- 5th)
22        (I) With resection of metatarsal bone                    4
23        (II) At metatarsophalangeal joint                        3
24        (III) At proximal interphalangeal joint                    2
25        (IV) At distal interphalangeal joint                        1
26        (C) All toes at metatarsophalangeal joints                    26
27        (iv) Miscellaneous
28        (A) One eye by enucleation                            120
29        (B) Total blindness of one eye                        100
30        (C) Total loss of binaural hearing                        109
31        [(c)] (5) Permanent and complete loss of use shall be deemed equivalent to loss of the

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1    member. Partial loss or partial loss of use shall be a percentage of the complete loss or loss of use
2    of the member. This [paragraph, however, shall] Subsection (5) does not apply to the items listed
3    in [(3)] Subsection (4)(b)(iv).
4        [(4)] (6) (a) For any permanent impairment caused by an industrial accident that is not
5    otherwise provided for in the schedule of losses in this section, permanent partial disability
6    compensation shall be awarded by the department based on the medical evidence.
7        (b) Compensation for any [such] impairment described in Subsection (6)(a) shall, as
8    closely as possible, be proportionate to the specific losses in the schedule set forth in this section.
9        (c) Permanent partial disability compensation may not [in any case]:
10        (i) exceed 312 weeks, which shall be considered the period of compensation for permanent
11    total loss of bodily function[. Permanent partial disability compensation may not]; and
12        (ii) be paid for any permanent impairment that existed prior to an industrial accident.
13        [(5)] (7) The amounts specified in this section are all subject to the limitations as to the
14    maximum weekly amount payable as specified in this section, and in no event shall more than a
15    maximum of 66-2/3% of the state average weekly wage at the time of the injury for a total of 312
16    weeks in compensation be required to be paid.
17        Section 72. Section 35A-3-413 (Effective 07/01/97) is amended to read:
18         35A-3-413 (Effective 07/01/97). Permanent total disability -- Amount of payments
19     -- Rehabilitation.
20        (1) (a) In cases of permanent total disability resulting from an industrial accident or
21    occupational disease, the employee shall receive compensation as outlined in this section.
22        (b) To establish entitlement to permanent total disability compensation, the employee has
23    the burden of proof to show by a preponderance of evidence that:
24        (i) the employee sustained a significant impairment or combination of impairments as a
25    result of the industrial accident or occupational disease that gives rise to the permanent total
26    disability entitlement;
27        (ii) the employee is permanently totally disabled; and
28        (iii) the industrial accident or occupational disease was the direct cause of the employee's
29    permanent total disability.
30        (c) To find an employee permanently totally disabled, the department shall conclude that:
31        (i) the employee is not gainfully employed;

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1        (ii) the employee has an impairment or combination of impairments that limit the
2    employee's ability to do basic work activities;
3        (iii) the industrial or occupationally caused impairment or combination of impairments
4    prevent the employee from performing the essential functions of the work activities for which the
5    employee has been qualified until the time of the industrial accident or occupational disease that
6    is the basis for the employee's permanent total disability claim; and
7        (iv) the employee cannot perform other work reasonably available, taking into
8    consideration the employee's age, education, past work experience, medical capacity, and residual
9    functional capacity.
10        (d) Evidence of an employee's entitlement to disability benefits other than those provided
11    under this chapter and Chapter 3a, Utah Occupational Disease Act, if relevant, may be presented
12    to the department, but is not binding and creates no presumption of an entitlement under this
13    chapter and Chapter 3a, Utah Occupational Disease Act.
14        (2) For permanent total disability compensation during the initial 312-week entitlement,
15    compensation shall be 66-2/3% of the employee's average weekly wage at the time of the injury,
16    limited as follows:
17        (a) compensation per week may not be more than 85% of the state average weekly wage
18    at the time of the injury[.];
19        (b) compensation per week may not be less than the sum of $45 per week, plus $5 for a
20    dependent spouse, plus $5 for each dependent child under the age of 18 years, up to a maximum
21    of four dependent minor children, but not exceeding the maximum established in Subsection (2)(a)
22    nor exceeding the average weekly wage of the employee at the time of the injury[.]; and
23        (c) after the initial 312 weeks, the minimum weekly compensation rate under Subsection
24    (2)(b) shall be 36% of the current state average weekly wage, rounded to the nearest dollar.
25        (3) For claims resulting from an accident or disease arising out of and in the course of the
26    employee's employment on or before June 30, 1994:
27        (a) The employer or its insurance carrier is liable for the initial 312 weeks of permanent
28    total disability compensation except as outlined in Section 35A-3-703 as in effect on the date of
29    injury.
30        (b) The employer or its insurance carrier may not be required to pay compensation for any
31    combination of disabilities of any kind, as provided in this section and Sections 35A-3-410

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1    through 35A-3-412 and Sections 35A-3-501 through 35A-3-507 in excess of the amount of
2    compensation payable over the initial 312 weeks at the applicable permanent total disability
3    compensation rate under Subsection (2).
4        (c) Any overpayment of this compensation shall be reimbursed to the employer or its
5    insurance carrier by the Employers' Reinsurance Fund and shall be paid out of the Employers'
6    Reinsurance Fund's liability to the employee.
7        (d) After an employee has received compensation from [his] the employee's employer, its
8    insurance carrier, or the Employers' Reinsurance Fund for any combination of disabilities
9    amounting to 312 weeks of compensation at the applicable permanent total disability
10    compensation rate, the Employers' Reinsurance Fund shall pay all remaining permanent total
11    disability compensation.
12        (e) Employers' Reinsurance Fund payments shall commence immediately after the
13    employer or its insurance carrier has satisfied its liability under Subsection (3) or Section
14    35A-3-703.
15        (4) For claims resulting from an accident or disease arising out of and in the course of the
16    employee's employment on or after July 1, 1994:
17        (a) The employer or its insurance carrier is liable for permanent total disability
18    compensation.
19        (b) The employer or its insurance carrier may not be required to pay compensation for any
20    combination of disabilities of any kind, as provided in this section and Sections 35A-3-410
21    through 35A-3-412 and Sections 35A-3-501 through 35A-3-507, in excess of the amount of
22    compensation payable over the initial 312 weeks at the applicable permanent total disability
23    compensation rate under Subsection (2).
24        (c) Any overpayment of this compensation shall be recouped by the employer or its
25    insurance carrier by reasonably offsetting the overpayment against future liability paid before or
26    after the initial 312 weeks.
27        (5) Notwithstanding the minimum rate established in Subsection (2), the compensation
28    payable by the employer, its insurance carrier, or the Employers' Reinsurance Fund, after an
29    employee has received compensation from the employer or the employer's insurance carrier for
30    any combination of disabilities amounting to 312 weeks of compensation at the applicable total
31    disability compensation rate, shall be reduced, to the extent allowable by law, by the dollar amount

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1    of 50% of the Social Security retirement benefits received by the employee during the same period.
2        (6) (a) A finding by the department of permanent total disability is not final, unless
3    otherwise agreed to by the parties, until:
4         (i) [the department] an administrative law judge reviews a summary of reemployment
5    activities undertaken pursuant to Chapter 9, Part 2, Utah Injured Worker Reemployment Act;
6        (ii) the employer or its insurance carrier submits to the [department] administrative law
7    judge a reemployment plan as prepared by a qualified rehabilitation provider reasonably designed
8    to return the employee to gainful employment or the employer or its insurance carrier provides the
9    [department] administrative law judge notice that the employer or its insurance carrier will not
10    submit a plan; and
11        (iii) the [department] administrative law judge, after notice to the parties, holds a hearing,
12    unless otherwise stipulated, to consider evidence regarding rehabilitation and to review any
13    reemployment plan submitted by the employer or its insurance carrier under Subsection (6)(a)(ii).
14        (b) Prior to the finding becoming final, the [department] administrative law judge shall
15    order:
16        (i) the initiation of permanent total disability compensation payments to provide for the
17    employee's subsistence[. The department shall order]; and
18        (ii) the payment of any undisputed disability or medical benefits due the employee.
19        (c) The employer or its insurance carrier shall be given credit for any disability payments
20    made under Subsection (6)(b) against its ultimate disability compensation liability under this
21    chapter or Chapter 3a, Utah Occupational Disease Act.
22        [(c) The department may not order an]
23        (d) An employer or its insurance carrier may not be ordered to submit a reemployment
24    plan. If the employer or its insurance carrier voluntarily submits a plan[:], the plan is subject to
25    Subsection (6)(d)(i) through (iii).
26        (i) The plan may include retraining, education, medical and disability compensation
27    benefits, job placement services, or incentives calculated to facilitate reemployment funded by the
28    employer or its insurance carrier.
29        (ii) The plan shall include payment of reasonable disability compensation to provide for
30    the employee's subsistence during the rehabilitation process.
31        (iii) The employer or its insurance carrier shall diligently pursue the reemployment plan.

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1    The employer's or insurance carrier's failure to diligently pursue the reemployment plan shall be
2    cause for the [department] administrative law judge on [its] the administrative law judge's own
3    motion to [order] make a final [finding] decision of permanent total disability.
4        [(d)] (e) If a preponderance of the evidence shows that successful rehabilitation is not
5    possible, the [department] administrative law judge shall order that the employee be paid weekly
6    permanent total disability compensation benefits.
7        (7) (a) The period of benefits commences on the date the employee became permanently
8    totally disabled, as determined by the a final order of the department based on the facts and
9    evidence, and ends with:
10        (i) the death of the employee; or
11        (ii) when the employee is capable of returning to regular, steady work.
12        (b) An employer or its insurance carrier may provide or locate for a permanently totally
13    disabled employee reasonable, medically appropriate, part-time work in a job earning at least
14    minimum wage provided that employment may not be required to the extent that it would
15    disqualify the employee from Social Security disability benefits.
16        (c) An employee shall fully cooperate in the placement and employment process and
17    accept the reasonable, medically appropriate, part-time work.
18        (d) In a consecutive four-week period when an employee's gross income from the work
19    provided under Subsection (7)(b) exceeds $500, the employer or insurance carrier may reduce the
20    employee's permanent total disability compensation by 50% of the employee's income in excess
21    of $500.
22        (e) If a work opportunity is not provided by the employer or its insurance carrier, a
23    permanently totally disabled employee may obtain medically appropriate, part-time work subject
24    to the offset provisions contained in Subsection (7)(d).
25        (f) (i) The department shall[: (i)] establish rules regarding the part-time work and offset[;
26    and].
27        (ii) [adjudicate] The adjudication of disputes arising under this Subsection (7) is governed
28    by Part 8, Adjudication.
29        (g) The employer or its insurance carrier shall have the burden of proof to show that
30    medically appropriate part-time work is available.
31        (h) The [department] administrative law judge may:

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1        (i) excuse an employee from participation in any job that would require the employee to
2    undertake work exceeding the employee's medical capacity and residual functional capacity or for
3    good cause; or
4        (ii) allow the employer or its insurance carrier to reduce permanent total disability benefits
5    as provided in Subsection (7)(d) when reasonable, medically appropriate, part-time employment
6    has been offered but the employee has failed to fully cooperate.
7        (8) When an employee has been rehabilitated or the employee's rehabilitation is possible
8    but the employee has some loss of bodily function, the award shall be for permanent partial
9    disability.
10        (9) As determined [by the department] pursuant to this Subsection (9), an employee is not
11    entitled to disability compensation, unless the employee fully cooperates with any evaluation or
12    reemployment plan under this chapter or Chapter 3a, Utah Occupational Disease Act. The
13    [department] administrative law judge shall dismiss without prejudice the claim for benefits of an
14    employee [who] if the administrative law judge finds that the employee fails to fully cooperate,
15    unless the [department] administrative law judge states specific findings on the record justifying
16    dismissal with prejudice.
17        (10) (a) The loss or permanent and complete loss of the use of both hands, both arms, both
18    feet, both legs, both eyes, or any combination of two such body members constitutes total and
19    permanent disability, to be compensated according to this section.
20        (b) A finding of permanent total disability pursuant to Subsection (10)(a) is final.
21        (11) (a) An insurer or self-insured employer may periodically reexamine a permanent total
22    disability claim, except those based on Subsection (10), for which the insurer or self-insured
23    employer had or has payment responsibility to determine whether the worker remains permanently
24    totally disabled.
25        (b) Reexamination may be conducted no more than once every three years after an award
26    is final, unless good cause is shown by the employer or its insurance carrier to allow more frequent
27    reexaminations.
28        (c) The reexamination may include:
29        (i) the review of medical records;
30        (ii) employee submission to reasonable medical evaluations;
31        (iii) employee submission to reasonable rehabilitation evaluations and retraining efforts;

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1        (iv) employee disclosure of Federal Income Tax Returns;
2        (v) employee certification of compliance with Section [35A-3-114] 35A-3-110; and
3        (vi) employee completion of sworn affidavits or questionnaires approved by the
4    [department] division.
5        (d) The insurer or self-insured employer shall pay for the cost of a reexamination with
6    appropriate employee reimbursement pursuant to rule for reasonable travel allowance and per diem
7    as well as reasonable expert witness fees incurred by the employee in supporting the employee's
8    claim for permanent total disability benefits at the time of reexamination.
9        (e) If an employee fails to fully cooperate in the reasonable reexamination of a permanent
10    total disability finding, [the department] an administrative law judge may order the suspension of
11    the employee's permanent total disability benefits until the employee cooperates with the
12    reexamination.
13        (f) (i) Should the reexamination of a permanent total disability finding reveal evidence that
14    reasonably raises the issue of an employee's continued entitlement to permanent total disability
15    compensation benefits, an insurer or self-insured employer may petition the [department] Division
16    of Adjudication for a rehearing on that issue. The petition shall be accompanied by documentation
17    supporting the insurer's or self-insured employer's belief that the employee is no longer
18    permanently totally disabled.
19        (ii) If the petition under Subsection (11)(f)(i) demonstrates good cause, [the department]
20    as determined by the Division of Adjudication, an administrative law judge shall adjudicate the
21    issue at a hearing.
22        (iii) Evidence of an employee's participation in medically appropriate, part-time work may
23    not be the sole basis for termination of an employee's permanent total disability entitlement, but
24    the evidence of the employee's participation in medically appropriate, part-time work under
25    Subsection (7) may be considered in the reexamination or hearing with other evidence relating to
26    the employee's status and condition.
27        (g) In accordance with Section 35A-3-805, the [department] administrative law judge may
28    award reasonable attorneys fees to an attorney retained by an employee to represent the
29    employee's interests with respect to reexamination of the permanent total disability finding, except
30    if the employee does not prevail, the attorneys fees shall be set at $1000. The attorneys fees shall
31    be paid by the employer or its insurance carrier in addition to the permanent total disability

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1    compensation benefits due.
2        (h) During the period of reexamination or adjudication if the employee fully cooperates,
3    each insurer, self-insured employer, or the Employers' Reinsurance Fund shall continue to pay the
4    permanent total disability compensation benefits due the employee.
5        (12) If any provision of this section, or the application of any provision to any person or
6    circumstance, is held invalid, the remainder of this section shall be given effect without the invalid
7    provision or application.
8        Section 73. Section 35A-3-414 (Effective 07/01/97) is amended to read:
9         35A-3-414 (Effective 07/01/97). Benefits in case of death -- Distribution of award to
10     dependents -- Death of dependents -- Remarriage of surviving spouse.
11        (1) (a) The benefits in case of death shall be paid to [such] one or more of the dependents
12    of the decedent for the benefit of all the dependents, as may be determined by [the department,
13    which] an administrative law judge.
14        (b) The administrative law judge may apportion the benefits among the dependents in
15    [such] the manner [as it] the administrative law judge considers just and equitable.
16        (c) Payment to a dependent subsequent in right may be made, if the [department] division
17    considers it proper, and shall operate to discharge all other claims.
18        (2) The dependents, or persons to whom benefits are paid, shall apply the same to the use
19    of the several beneficiaries thereof in compliance with the finding and direction of the
20    [department] administrative law judge.
21        (3) In all cases of death [where] when:
22        (a) the dependents are a surviving spouse and one or more minor children, it shall be
23    sufficient for the [widow or widower] surviving spouse to make application to the [department]
24    Division of Adjudication on behalf of that individual and the minor children; and [in cases where]
25        (b) all of the dependents are minors, the application shall be made by the guardian or next
26    friend of [such] the minor dependents.
27        (4) The [department] administrative law judge may, for the purpose of protecting the rights
28    and interests of any minor dependents [it deems] that the administrative law judge considers
29    incapable of doing so, provide a method of safeguarding any payments due [them] the minor
30    dependents.
31        (5) Should any dependent of a deceased employee die during the period covered by [such]

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1    weekly payments authorized by this section, the right of [such] the deceased dependent to
2    compensation under this chapter or Chapter 3a, Utah Occupational Disease Act, shall cease.
3        (6) [Should] (a) If a surviving spouse, who is a dependent of a deceased employee and
4    who is receiving the benefits of this chapter [remarry] or Chapter 3a, Utah Occupational Disease
5    Act, remarries, that individual's sole right after [such] the remarriage[,] to further payments of
6    compensation shall be the right to receive in a lump sum the lesser of:
7        (i) the balance of the weekly compensation payments unpaid from the time of remarriage
8    to the end of six years or 312 weeks from the date of the injury from which death resulted[, but in
9    no event shall such amount exceed]; or
10        (ii) an amount equal to 52 weeks of compensation at the weekly compensation rate the
11    surviving spouse was receiving at the time of such remarriage.
12        (b) (i) If there are other dependents remaining at the time of remarriage, benefits payable
13    under this chapter or Chapter 3a, Utah Occupational Disease Act, shall be paid to such person as
14    [the department] an administrative law judge may determine, for the use and benefit of the other
15    dependents[, the].
16        (ii) The weekly benefits to be paid under Subsection (6)(b)(i) shall be paid at intervals of
17    not less than four weeks.
18        Section 74. Section 35A-3-415 (Effective 07/01/97) is amended to read:
19         35A-3-415 (Effective 07/01/97). Increase of award to children and dependent spouse
20     -- Effect of death, marriage, majority, or termination of dependency of children -- Death,
21     divorce, or remarriage of spouse.
22        [In all cases where] If an award is made to, or increased because of a dependent spouse or
23    dependent minor child or children, as provided in this chapter or Chapter 3a, Utah Occupational
24    Disease Act, the award or increase in amount of the award shall cease at:
25        (1) the death, marriage, attainment of the age of eighteen years, or termination of
26    dependency of the minor child or children; or
27        (2) upon the death, divorce, or remarriage of the spouse of the employee, subject to [those]
28    the provisions in Section 35A-3-414 relative to the remarriage of a spouse [as provided in Section
29    35A-3-414].
30        Section 75. Section 35A-3-416 (Effective 07/01/97) is amended to read:
31         35A-3-416 (Effective 07/01/97). Additional benefits in special cases.

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1        [If any wholly dependent persons, who have been receiving the benefits of this chapter,]
2        (1) An administrative law judge may extend indefinitely benefits received by a wholly
3    dependent person under this chapter or Chapter 3a, Utah Occupational Disease Act, if at the
4    termination of [such] the benefits [are yet]:
5        (a) the wholly dependent person is still in a dependent condition[,]; and
6        (b) under all reasonable circumstances the wholly dependent person should be entitled to
7    additional benefits[, the department may, in its discretion, extend indefinitely such benefits; but].
8        (2) If benefits are extended under Subsection (1):
9        (a) the liability of the employer or insurance carrier involved [shall] may not be
10    extended[,]; and
11        (b) the additional benefits allowed shall be paid out of the [special fund provided for]
12    Employers' Reinsurance Fund created in Subsection 35A-3-702(1).
13        Section 76. Section 35A-3-417 (Effective 07/01/97) is amended to read:
14         35A-3-417 (Effective 07/01/97). Claims and benefits -- Time limits for filing.
15        (1) Except with respect to prosthetic devices, in nonpermanent total disability cases an
16    employee's medical benefit entitlement ceases if for a period of three consecutive years the
17    employee does not:
18        (a) incur medical expenses reasonably related to the industrial accident[,]; and
19        (b) submit [those] the medical expenses incurred to [his] the employee's employer or
20    insurance carrier for payment[, for a period of three consecutive years].
21        (2) A claim for compensation for temporary total disability benefits, temporary partial
22    disability benefits, permanent partial disability benefits, or permanent total disability benefits is
23    barred, unless an application for hearing is filed with the [department] Division of Adjudication
24    within six years after the date of the accident.
25        (3) A claim for death benefits is barred unless an application for hearing is filed within one
26    year of the date of death of the employee.
27        Section 77. Section 35A-3-418 (Effective 07/01/97) is amended to read:
28         35A-3-418 (Effective 07/01/97). Awards -- Medical, nursing, hospital, and burial
29     expenses -- Artificial means and appliances.
30        (1) In addition to the compensation provided in this chapter or Chapter 3a, Utah
31    Occupational Disease Act, the employer or the insurance carrier shall pay reasonable sums for

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1    medical, nurse, and hospital services, for medicines, and for artificial means, appliances, and
2    prostheses necessary to treat the injured employee.
3        (2) If death results from the injury, the employer or the insurance carrier shall pay the
4    burial expenses in ordinary cases as established by rule.
5        (3) If a compensable accident results in the breaking of or loss of an employee's artificial
6    means or appliance including eyeglasses, the employer or insurance carrier shall provide a
7    replacement of the artificial means or appliance.
8        (4) [The department] And administrative law judge may require the employer or insurance
9    carrier to maintain the artificial means or appliances or provide the employee with a replacement
10    of any artificial means or appliance for the reason of breakage, wear and tear, deterioration, or
11    obsolescence.
12        (5) [The department] An administrative law judge may, in unusual cases, order as the
13    administrative law judge considers just and proper the payment of additional sums:
14        (a) for burial expenses; or
15        (b) to provide for artificial means or appliances [as the department considers just and
16    proper].
17        Section 78. Section 35A-3-419 (Effective 07/01/97) is amended to read:
18         35A-3-419 (Effective 07/01/97). Agreements in addition to compensation and
19     benefits.
20        (1) (a) Subject to the approval of the [department] division, any employer securing the
21    payment of workers' compensation benefits for its employees under Section 35A-3-201 may enter
22    into or continue any agreement with [his] the employer's employees to provide compensation or
23    other benefits in addition to the compensation and other benefits provided by this chapter or
24    Chapter 3a, Utah Occupational Disease Act.
25        (b) An agreement may not be approved if it requires contributions from the employees,
26    unless it confers benefits in addition to those provided under this chapter or Chapter 3a, Utah
27    Occupational Disease Act, at least commensurate with the contributions.
28        (c) An agreement for additional benefits may be terminated by the [department, after a
29    hearing on reasonable notice to the interested parties,] division if:
30        (i) it appears that the agreement is not fairly administered[, or if its];
31        (ii) the agreement's operation discloses defects threatening its solvency[,]; or [if]

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1        (iii) for any substantial reason [it] the agreement fails to accomplish the purposes of this
2    chapter and Chapter 3a, Utah Occupational Disease Act.
3        (d) If the agreement is terminated, the department shall determine the proper distribution
4    of any remaining assets.
5        (e) The termination under Subsection (1)(c)(i) becomes a final order of the department
6    effective 30 days from the date the division terminates the agreement, unless within the 30 days
7    either the employer or employee files with the Division of Adjudication an application for hearing
8    in accordance with Part 8, Adjudication. The application for hearing may contest:
9        (i) the recommendation to terminate the agreement;
10        (ii) The distribution of remaining assets after termination; or
11        (iii) both the recommendation to terminate and the distribution of remaining assets.
12        (2) (a) Any employer who makes a deduction from the wages or salary of any employee
13    to pay for the statutory benefits of this chapter or Chapter 3a, Utah Occupational Disease Act, is
14    guilty of a class A misdemeanor.
15        (b) [However, subject] Subject to the supervision of the [department] division, nothing in
16    this chapter or Chapter 3a, Utah Occupational Disease Act, may be construed as preventing the
17    employer and [his] the employer's employees from entering into mutual contracts and agreements
18    respecting hospital benefits and accommodations, medical and surgical services, nursing, and
19    medicines to be furnished to the employees as provided in this chapter or Chapter 3a, Utah
20    Occupational Disease Act, if no direct or indirect profit is made by any employer as a result of the
21    contract or agreement.
22        (3) The purpose and intent of this section is that, where hospitals are maintained and
23    medical and surgical services and medicines furnished by the employer from payments by, or
24    assessments on, [his] the employer's employees, the payments or assessments may not be more or
25    greater than necessary to make these benefits self-supporting for the care and treatment of [his] the
26    employer's employees. Money received or retained by the employer from the employees for the
27    purpose of these benefits shall be paid and applied to these services. Any hospitals so maintained
28    in whole or in part by payments or assessment of employees are subject to the inspection and
29    supervision of the [department] division as to services and treatment rendered to the employees.
30        Section 79. Section 35A-3-420 (Effective 07/01/97) is amended to read:
31         35A-3-420 (Effective 07/01/97). Continuing jurisdiction of department -- Authority

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1     to destroy records -- Interest on order -- No authority to change statutes of limitation --
2     Authority to approve final settlement claims.
3        (1) (a) The powers and jurisdiction of the department over each case shall be continuing.
4    [The department, after]
5        (b) After notice and hearing, the Division of Adjudication or the Workforce Appeals Board
6    in accordance with Part 8, Adjudication, may from time to time modify or change [its] a former
7    [findings and orders] finding or order of the department.
8        (c) This section may not be interpreted as modifying in any respect the statutes of
9    limitations contained in other sections of this chapter or Chapter 3a, Utah Occupational Disease
10    Act.
11        (d) The department may not in any respect change the statutes of limitation referred to in
12    Subsection (1)(c).
13        (2) Records pertaining to cases that have been closed and inactive for ten years, other than
14    cases of total permanent disability or cases in which a claim has been filed as in Section
15    35A-3-417, may be destroyed at the discretion of the department.
16        (3) Awards made by [the] a final order of the department shall include interest at the rate
17    of 8% per annum from the date when each benefit payment would have otherwise become due and
18    payable.
19        [(4) (a) This section may not be interpreted as modifying in any respect the statutes of
20    limitations contained in other sections of this chapter or Chapter 3a, Utah Occupational Disease
21    Act.]
22        [(b) The department has no power to change the statutes of limitation referred to in
23    Subsection (4)(a) in any respect.]
24        [(5)] (4) Notwithstanding Subsection (1) and Section 35A-3-108, [the department] an
25    administrative law judge shall review and may approve the agreement of the parties to enter into
26    a full and final:
27        (a) compromise settlement of disputed medical, disability, or death benefit entitlements
28    under this chapter [and] or Chapter 3a, Utah Occupational Disease Act; or
29        (b) commutation and settlement of reasonable future medical, disability, or death benefit
30    entitlements under this chapter [and] or Chapter 3a, Utah Occupational Disease Act, by means of
31    a lump sum payment, structured settlement, or other appropriate payout.

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1        Section 80. Section 35A-3-421 (Effective 07/01/97) is amended to read:
2         35A-3-421 (Effective 07/01/97). Lump-sum payments.
3        [The department] An administrative law, under special circumstances and when the same
4    is deemed advisable, may commute [periodical] periodic benefits to one or more lump-sum
5    payments.
6        Section 81. Section 35A-3-501 (Effective 07/01/97) is amended to read:
7    
Part 5. Industrial Noise

8         35A-3-501 (Effective 07/01/97). Harmful industrial noise defined.
9        (1) "Harmful industrial noise" means:
10        (a) sound that results in acoustic trauma such as sudden instantaneous temporary noise or
11    impulsive or impact noise exceeding 140 dB peak sound pressure levels; or
12        (b) the sound emanating from equipment and machines during employment exceeding the
13    following permissible sound levels, dBA slow response, and corresponding durations per day, in
14    hours:
15        Sound level    Duration
16            90        8
17            92        6
18            95        4
19            97        3
20            100        2
21            102        1.5
22            105        1.0
23            110        0.5
24            115        0.25 or less
25        [(2) "Harmful industrial noise" also means sound that results in acoustic trauma such as
26    sudden instantaneous temporary noise or impulsive or impact noise exceeding 140 dB peak sound
27    pressure levels.]
28        [(3)] (2) "Loss of hearing" [is defined as] means binaural hearing loss measured in decibels
29    with frequencies of 500, 1,000, 2,000, and 3,000 cycles per second (Hertz). If the average decibel
30    loss at 500, 1,000, 2,000, and 3,000 cycles per second (Hertz) is 25 decibels or less, usually no
31    hearing impairment exists.

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1        Section 82. Section 35A-3-502 (Effective 07/01/97) is amended to read:
2         35A-3-502 (Effective 07/01/97). Intensity tests.
3        (1) The [department] division may conduct tests to determine the intensity of noise at
4    places of employment. [The]
5        (2) An administrative law judge may consider [such] tests conducted by the division, and
6    any other tests taken by authorities in the field of sound engineering, as evidence of harmful
7    industrial noise.
8        Section 83. Section 35A-3-503 (Effective 07/01/97) is amended to read:
9         35A-3-503 (Effective 07/01/97). Loss of hearing -- Occupational hearing loss due to
10     noise to be compensated.
11        (1) Permanent hearing loss caused by exposure to harmful industrial noise or by direct
12    head injury shall be compensated according to the terms and conditions of this chapter or Chapter
13    3a, Utah Occupational Disease Act.
14        (2) [No] A claim for compensation for hearing loss for harmful industrial noise [shall] may
15    not be paid under this chapter or Chapter 3a, Utah Occupational Disease Act, unless it can be
16    demonstrated by a professionally controlled sound test that the employee has been exposed to
17    harmful industrial noise as defined in Section 35A-3-501 while employed by the employer against
18    whom the claim is made.
19        Section 84. Section 35A-3-505 (Effective 07/01/97) is amended to read:
20         35A-3-505 (Effective 07/01/97). Loss of hearing -- Compensation for permanent
21     partial disability.
22        (1) Compensation for permanent partial disability for binaural hearing loss shall be
23    determined by multiplying the percentage of binaural hearing loss by 109 weeks of compensation
24    benefits as provided in this chapter or Chapter 3a, Utah Occupational Disease Act. [Where]
25        (2) When an employee files one or more claims for hearing loss the percentage of hearing
26    loss previously found to exist shall be deducted from any subsequent award by the department.
27        (3) In no event shall compensation benefits be paid for total or 100% binaural hearing loss
28    exceeding 109 weeks of compensation benefits.
29        Section 85. Section 35A-3-507 (Effective 07/01/97) is amended to read:
30         35A-3-507 (Effective 07/01/97). Measuring hearing loss.
31        (1) The degree of hearing loss shall be established, no sooner than six weeks after

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1    termination of exposure to the harmful industrial noise, by audiometric determination of hearing
2    threshold level performed by medical or paramedical professionals recognized by the [department]
3    division, as measured from 0 decibels on an audiometer calibrated to ANSI-S3.6-1969, American
4    National Standard "Specifications for Audiometers" (1969).
5        (2) (a) In any evaluation of occupational hearing loss, only hearing levels at frequencies
6    of 500, 1,000, 2,000, and 3,000 cycles per second (Hertz) shall be considered. The individual
7    measurements for each ear shall be added together and then shall be divided by four to determine
8    the average decibel loss in each ear.
9        (b) To determine the percentage of hearing loss in each ear, the average decibel loss for
10    each decibel of loss exceeding 25 decibels shall be multiplied by 1.5% up to the maximum of
11    100% which is reached at 91.7 decibels.
12        (3) Binaural hearing loss or the percentage of binaural hearing loss is determined by:
13        (a) multiplying the percentage of hearing loss in the better ear by five[, then];
14        (b) adding the amount under Subsection (3)(a) with the percentage of hearing loss in the
15    poorer ear[,]; and
16        (c) dividing the number calculated under Subsection (3)(b) by six. [The resultant figure
17    is the percentage of binaural hearing loss.]
18        Section 86. Section 35A-3-601 (Effective 07/01/97) is amended to read:
19    
Part 6. Medical Evaluations

20         35A-3-601 (Effective 07/01/97). Medical panel -- Medical director or medical
21     consultants -- Discretionary authority of Division of Adjudication to refer case -- Findings
22     and reports -- Objections to report -- Hearing -- Expenses.
23        (1) (a) Upon the filing of a claim for compensation for injury by accident, or for death,
24    arising out of and in the course of employment, and if the employer or its insurance carrier denies
25    liability, the [department] Division of Adjudication may refer the medical aspects of the case to
26    a medical panel appointed by [the department] an administrative law judge.
27        (b) When a claim for compensation based upon disability or death due to an occupational
28    disease is filed with the [department, the department] Division of Adjudication, an administrative
29    law judge shall, except upon stipulation of all parties, appoint an impartial medical panel.
30        (c) A medical panel shall consist of one or more physicians specializing in the treatment
31    of the disease or condition involved in the claim.

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1        (d) As an alternative method of obtaining an impartial medical evaluation of the medical
2    aspects of a controverted case, the [department] division may employ a medical director or medical
3    consultants on a full-time or part-time basis for the purpose of evaluating the medical evidence and
4    advising [the department] an administrative law judge with respect to [its] the administrative law
5    judge's ultimate fact-finding responsibility.
6        (e) If all parties agree to the use of a medical director or medical consultants, [they] the
7    medical director or medical consultants shall be allowed to function in the same manner and under
8    the same procedures as required of a medical panel.
9        (2) (a) The medical panel, medical director, or medical consultants shall make such study,
10    take such X-rays, and perform such tests, including post-mortem examinations if authorized by
11    the [department] administrative law judge, as it may determine to be necessary or desirable.
12        (b) The medical panel, medical director, or medical consultants shall make:
13        (i) a report in writing to the [department] administrative law judge in a form prescribed
14    by the [department,] Division of Adjudication; and [also make such]
15        (ii) additional findings as the [department] administrative law judge may require.
16        (c) In occupational disease cases, in addition to the requirements of Subsection (2)(b), the
17    panel shall certify to the [department] administrative law judge:
18        (i) the extent, if any, of the disability of the claimant from performing work for
19    remuneration or profit[, and];
20        (ii) whether the sole cause of the disability or death, in the opinion of the panel, results
21    from the occupational disease; and
22        (iii) whether any other causes have aggravated, prolonged, accelerated, or in any way
23    contributed to the disability or death, and if so, the extent in percentage to which the other causes
24    have so contributed.
25        [(c)] (d) (i) The [department] administrative law judge shall promptly distribute full copies
26    of the report by certified mail with return receipt request to:
27        (A) the applicant[,];
28        (B) the employer[,]; and [its]
29        (C) the employer's insurance carrier [by certified mail with return receipt requested].
30        (ii) Within 15 days after the report is deposited in the United States post office, the
31    applicant, the employer, or its insurance carrier may file with the [department] administrative law

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1    judge written objections to the report.
2        (iii) If no written objections are filed within that period, the report is considered admitted
3    in evidence.
4        [(d)] (e) The [department] administrative law judge may base [its] the administrative law
5    judge's finding and decision on the report of the panel, medical director, or medical consultants,
6    but is not bound by the report if other substantial conflicting evidence in the case supports a
7    contrary finding.
8        [(e)] (f) (i) If objections to the report are filed, the [department] administrative law judge
9    may set the case for hearing to determine the facts and issues involved.
10        (ii) At the hearing, any party so desiring may request the [department] administrative law
11    judge to have the [chairman] chair of the medical panel, the medical director, or the medical
12    consultants present at the hearing for examination and cross-examination.
13        (iii) For good cause shown, the [department] administrative law judge may order other
14    members of the panel, with or without the [chairman] chair or the medical director or medical
15    consultants, to be present at the hearing for examination and cross-examination.
16        [(f)] (g) The written report of the panel, medical director, or medical consultants may be
17    received as an exhibit at the hearing, but may not be considered as evidence in the case except as
18    far as it is sustained by the testimony admitted.
19        [(g)] (h) The expenses of the study and report of the medical panel, medical director, or
20    medical consultants and the expenses of their appearance before the [department] administrative
21    law judge shall be paid out of the Employers' Reinsurance Fund.
22        Section 87. Section 35A-3-602 (Effective 07/01/97) is amended to read:
23         35A-3-602 (Effective 07/01/97). Physical examinations.
24        [Any] (1) The division or an administrative law judge may require an employee claiming
25    the right to receive compensation under this chapter [may be required by the department, or its
26    medical examiner,] or Chapter 3a, Utah Occupational Disease Act, to submit [himself for] to a
27    medical examination at any time, and from time to time, at a place reasonably convenient for
28    [such] the employee, and [such] as may be provided by the rules of the department.
29        (2) If [such] an employee refuses to submit to [any such] an examination under Subsection
30    (1), or obstructs the [same, his] examination, the employee's right to have [his] the employee's
31    claim for compensation considered, if [his] the employee's claim is pending before [the

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1    department] an administrative law judge or the Workforce Appeals Board, or to receive any
2    payments for compensation [theretofore] granted by a final order of the department, shall be
3    suspended during the period of [such] the refusal or obstruction.
4        Section 88. Section 35A-3-603 (Effective 07/01/97) is amended to read:
5         35A-3-603 (Effective 07/01/97). Autopsy in death cases -- Authority of division --
6     Certified pathologist -- Attending physicians -- Penalty for refusal to permit -- Liability.
7        (1) (a) On the filing of a claim for compensation for death under this chapter [where,] or
8    Chapter 3a, Utah Occupational Disease Act, when in the opinion of the [executive] director or the
9    [executive] director's designee it is necessary to accurately and scientifically ascertain the cause
10    of death, an autopsy may be ordered by the [executive] director or the [executive] director's
11    designee [and shall be made by a person designated by the executive director or the executive
12    director's designee].
13        (b) The [executive] director or the [executive] director's designee shall:
14        (i) designate the certified pathologist to make the autopsy; and
15        (ii) determine who shall pay the charge of the certified pathologist making the autopsy.
16        (2) Any person interested may designate a duly licensed physician to attend the autopsy
17    ordered under Subsection (1).
18        (3) The findings of the certified pathologist performing the autopsy shall be filed with the
19    [department and shall be a public record] division.
20        (4) All proceedings for compensation shall be suspended upon refusal of a claimant or
21    claimants to permit such autopsy when [so] ordered under Subsection (1).
22        (5) When an autopsy has been performed pursuant to an order of the [executive] director
23    or the [executive] director's designee no cause of action shall lie against any person, firm, or
24    corporation for participating in or requesting the autopsy.
25        Section 89. Section 35A-3-604 (Effective 07/01/97) is amended to read:
26         35A-3-604 (Effective 07/01/97). Employee leaving place of treatment.
27        (1) An injured employee who desires to leave the locality in which [he] the employee has
28    been employed during the treatment of [his] the employee's injury, or to leave this state, shall:
29        (a) report to [his] the employee's attending physician for examination[, notifying];
30        (b) notify the [department] division in writing of [such] the intention to leave[,
31    accompanying such]; and

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1        (c) accompany the notice with a certificate from the attending physician setting forth:
2        (i) the exact nature of the injury[,];
3        (ii) the condition of the employee[, together with]; and
4        (iii) a statement of the probable length of time disability will continue. [Thereafter, and
5    with the written consent of the department, the]
6        (2) An employee may leave the locality in which [he] the employee was employed[;
7    otherwise no] only after:
8        (a) complying with Subsection (1); and
9        (b) receiving the written consent of the division.
10        (3) If an employee does not comply with this section compensation [shall] may not be
11    allowed during [such] the absence.
12        Section 90. Section 35A-3-701 (Effective 07/01/97) is amended to read:
13         35A-3-701 (Effective 07/01/97). Premium assessment restricted account for safety.
14        (1) There is created in the General Fund a restricted account known as the Workplace
15    Safety Account.
16        (2) An amount equal to 0.25% of the premium income remitted to the state treasurer
17    pursuant to Subsection 59-9-101(2)(c) shall be deposited in the Workplace Safety Account in the
18    General Fund for use by the [department] division to promote Utah workplace safety.
19        (3) Monies shall be appropriated by the Legislature from the restricted account to the
20    department for use by the division to:
21        (a) improve safety consultation services available to Utah employers; or
22        (b) provide for electronic or print media advertising campaigns designed to promote
23    workplace safety.
24        (4) From monies appropriated by the Legislature from the restricted account to the
25    department for use by the division, the [department] division may fund other safety programs or
26    initiatives recommended to it by its state workers' compensation advisory council created under
27    Section 35A-3-107.
28        (5) The department shall annually report to the governor, the Legislature, and its state
29    council regarding:
30        (a) the use of the [funds as well as the resulting] monies appropriated under Subsection
31    (4); and

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1        (b) the impact of the use of the monies on the safety of Utah's workplaces.
2        (6) The monies deposited in the restricted account:
3        (a) shall be:
4        (i) used only for the activities described in Subsection (3) or (4); and
5        (ii) expended according to processes that can be verified by audit; and
6        (b) may not be used for:
7        (i) administrative costs unrelated to the restricted account; or
8        (ii) any activity of the department other than activity described in Subsection (3) or (4).
9        Section 91. Section 35A-3-702 (Effective 07/01/97) is amended to read:
10         35A-3-702 (Effective 07/01/97). Employers' Reinsurance Fund -- Injury causing
11     death -- Burial expenses -- Payments to dependents.
12        (1) (a) There is created an Employers' Reinsurance Fund for the purpose of making
13    payments for industrial accidents or occupational diseases occurring on or before June 30, 1994.
14    The payments shall be made in accordance with this chapter [and] or Chapter 3a, Utah
15    Occupational Disease Act. The Employers' Reinsurance Fund shall have no liability for industrial
16    accidents or occupational diseases occurring on or after July 1, 1994. [This fund]
17        (b) The Employers' Reinsurance Fund shall succeed to all monies previously held in the
18    "Special Fund," the "Combined Injury Fund," or the "Second Injury Fund." [Whenever this code
19    refers to the "Special Fund," the "Combined Injury Fund," or the "Second Injury Fund" that
20    reference is considered to be the Employers' Reinsurance Fund.]
21        (c) The division shall appoint an administrator of the Employers' Reinsurance Fund.
22        (d) The state treasurer shall be the custodian of the Employers' Reinsurance Fund, and the
23    [department] administrator shall make provisions for and direct its distribution.
24        (e) Reasonable costs of [administration] administering the Employers' Reinsurance Fund
25    or [other] fees required to be paid by the fund may be paid from the fund.
26        (2) The state treasurer shall:
27        (a) receive workers' compensation premium assessments from the State Tax Commission;
28    and
29        (b) invest the Employers' Reinsurance Fund to ensure maximum investment return for both
30    long and short-term investments in accordance with Section 51-7-12.5.
31        (3) The [department] administrator may employ [or], retain, or appoint counsel to

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1    represent the Employers' Reinsurance Fund in proceedings brought to enforce claims against or
2    on behalf of the fund. [Upon request of] If requested by the department, the attorney general shall
3    aid in representation of the fund.
4        (4) The liability of the state, its departments, agencies, instrumentalities, elected or
5    appointed officials, or other duly authorized agents, with respect to payment of any compensation
6    benefits, expenses, fees, medical expenses, or disbursement properly chargeable against the
7    Employers' Reinsurance Fund, is limited to the cash or assets in the Employers' Reinsurance Fund,
8    and they are not otherwise, in any way, liable for the operation, debts, or obligations of the
9    Employers' Reinsurance Fund.
10        (5) If injury causes death within a period of 312 weeks from the date of the accident, the
11    employer or insurance carrier shall pay the burial expenses of the deceased as provided in Section
12    35A-3-418, and further benefits in the amounts and to the persons [as follows:] in accordance with
13    Subsection (5)(a) through (c).
14        (a) (i) If there are wholly dependent persons at the time of the death, the payment by the
15    employer or its insurance carrier shall be 66-2/3% of the decedent's average weekly wage at the
16    time of the injury, but not more than a maximum of 85% of the state average weekly wage at the
17    time of the injury per week and not less than a minimum of $45 per week, plus $5 for a dependent
18    spouse, plus $5 for each dependent minor child under the age of 18 years, up to a maximum of four
19    such dependent minor children, but not exceeding the average weekly wage of the employee at the
20    time of the injury, and not exceeding 85% of the state average weekly wage at the time of the
21    injury per week.
22        (ii) Compensation shall continue during dependency for the remainder of the period
23    between the date of the death and the expiration of 312 weeks after the date of the injury.
24        [(ii)] (iii) The payment by the employer or its insurance carrier to wholly dependent
25    persons during dependency following the expiration of the first 312-week period described in
26    Subsection (5)(a)(i) shall be an amount equal to the weekly benefits paid to those wholly
27    dependent persons during that initial 312-week period, reduced by 50% of any weekly federal
28    Social Security death benefits paid to those wholly dependent persons.
29        [(iii)] (iv) The issue of dependency shall be subject to review by [the department] an
30    administrative law judge at the end of the initial 312-week period and annually after the initial
31    312-week period. If in any review it is determined that, under the facts and circumstances existing

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1    at that time, the applicant is no longer a wholly dependent person, the applicant may be considered
2    a partly dependent or nondependent person and shall be paid such benefits as the [department]
3    administrative law judge may determine under Subsection (5)(b)[(ii)](iii).
4        [(iv)] (v) For purposes of any dependency determination, a surviving spouse of a deceased
5    employee shall be conclusively presumed to be wholly dependent for a 312-week period from the
6    date of death of the employee. This presumption shall not apply after the initial 312-week period
7    and, in determining the then existing annual income of the surviving spouse, the [department]
8    administrative law judge shall exclude 50% of any federal Social Security death benefits received
9    by that surviving spouse.
10        (b) (i) If there are partly dependent persons at the time of the death, the payment shall be
11    66-2/3% of the decedent's average weekly wage at the time of the injury, but not more than a
12    maximum of 85% of the state average weekly wage at the time of the injury per week and not less
13    than a minimum of $45 per week.
14        (ii) Compensation shall continue during dependency for the remainder of the period
15    between the date of death and the expiration of 312 weeks after the date of injury as the
16    [department] administrative law judge in each case may determine. Compensation may not
17    amount to more than a maximum of $30,000.
18        (iii) The benefits provided for in this [subsection] Subsection (5)(b) shall be in keeping
19    with the circumstances and conditions of dependency existing at the date of injury, and any
20    amount awarded by the [department] administrative law judge under this subsection shall be
21    consistent with the general provisions of this chapter and Chapter 3a, Utah Occupational Disease
22    Act.
23        [(ii)] (iv) Benefits to persons determined to be partly dependent under Subsection
24    (5)(a)[(iii)](iv) shall be determined by the [department] administrative law judge in keeping with
25    the circumstances and conditions of dependency existing at the time of the dependency review and
26    may be paid in an amount not exceeding the maximum weekly rate that partly dependent persons
27    would receive if wholly dependent.
28        [(iii)] (v) Payments under this section shall be paid to such persons during their
29    dependency by the employer or its insurance carrier.
30        (c) If there are wholly dependent persons and also partly dependent persons at the time of
31    death, the [department] administrative law judge may apportion the benefits as [it] the

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1    administrative law judge considers just and equitable[; provided, that] if the total benefits awarded
2    to all parties concerned do not exceed the maximum provided for by law.
3        (6) The Employers' Reinsurance Fund:
4        (a) shall be:
5        (i) used only in accordance with Subsection (1) for:
6        (A) the purpose of making payments for industrial accidents or occupational diseases
7    occurring on or before June 30, 1994 in accordance with this section and Section 35A-3-703; and
8        (B) payment of:
9        (I) reasonable costs of administering the Employers' Reinsurance Fund; or
10        (II) fees required to be paid by the Employers' Reinsurance Fund;
11        (ii) expended according to processes that can be verified by audit; and
12        (b) may not be used for:
13        (i) administrative costs unrelated to the restricted account; or
14        (ii) any activity of the department other than an activity described in Subsection (6)(a).
15        Section 92. Section 35A-3-703 (Effective 07/01/97) is amended to read:
16         35A-3-703 (Effective 07/01/97). Payments from Employers' Reinsurance Fund.
17        If an employee, who has at least a 10% whole person permanent impairment from any
18    cause or origin, subsequently incurs an additional impairment by an accident arising out of and in
19    the course of the employee's employment during the period of July 1, 1988, to June 30, 1994,
20    inclusive, and if the additional impairment results in permanent total disability, the employer or
21    its insurance carrier and the Employers' Reinsurance Fund are liable for the payment of benefits
22    as follows:
23        (1) The employer or its insurance carrier is liable for the first $20,000 of medical benefits
24    and the initial 156 weeks of permanent total disability compensation as provided in this chapter
25    or Chapter 3a, Utah Occupational Disease Act.
26        (2) Reasonable medical benefits in excess of the first $20,000 shall be paid in the first
27    instance by the employer or its insurance carrier. Then, as provided in Subsection (5), the
28    Employers' Reinsurance Fund shall reimburse the employer or its insurance carrier for 50% of
29    those expenses.
30        (3) After the initial 156-week period under Subsection (1), permanent total disability
31    compensation payable to an employee under this chapter or Chapter 3a, Utah Occupational Disease

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1    Act, becomes the liability of and shall be paid by the Employers' Reinsurance Fund.
2        (4) If it is determined that the employee is permanently and totally disabled, the employer
3    or its insurance carrier shall be given credit for all prior payments of temporary total, temporary
4    partial, and permanent partial disability compensation made as a result of the industrial accident.
5    Any overpayment by the employer or its insurance carrier shall be reimbursed by the Employers'
6    Reinsurance Fund under Subsection (5).
7        (5) (a) Upon receipt of a duly verified petition, the Employers' Reinsurance Fund shall
8    reimburse the employer or its insurance carrier for the Employers' Reinsurance Fund's share of
9    medical benefits and compensation paid to or on behalf of an employee. A request for Employers'
10    Reinsurance Fund reimbursements shall be accompanied by satisfactory evidence of payment of
11    the medical or disability compensation for which the reimbursement is requested. Each request
12    is subject to review as to reasonableness by the [department] administrator. The [department]
13    administrator may determine the manner of reimbursement.
14        (b) A decision of the administrator under Subsection (5)(a) may be appealed in accordance
15    with Part 8, Adjudication.
16        (6) If, at the time an employee is determined to be permanently and totally disabled, the
17    employee has other actionable workers' compensation claims, the employer or insurance carrier
18    that is liable for the last industrial accident resulting in permanent total disability shall be liable
19    for the benefits payable by the employer as provided in this section and Section 35A-3-413. The
20    employee's entitlement to benefits for prior actionable claims shall then be determined separately
21    on the facts of those claims. Any previous permanent partial disability arising out of those claims
22    shall then be considered to be impairments that may give rise to Employers' Reinsurance Fund
23    liability under this section.
24        Section 93. Section 35A-3-704 (Effective 07/01/97) is amended to read:
25         35A-3-704 (Effective 07/01/97). Uninsured Employers' Fund.
26        (1) (a) There is created an Uninsured Employers' Fund. The fund has the purpose of
27    assisting in the payment of workers' compensation benefits to any person entitled to them, if that
28    person's employer:
29        (i) is individually, jointly, or severally liable to pay the benefits[, but]; and
30        (ii) (A) becomes or is insolvent[,];
31        (B) appoints or has appointed a receiver[,]; or

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1        (C) otherwise does not have sufficient funds, insurance, sureties, or other security to cover
2    workers' compensation liabilities.
3        (b) The Uninsured Employers' Fund succeeds to all monies previously held in the Default
4    Indemnity Fund.
5        (c) If it becomes necessary to pay benefits, the fund is liable for all obligations of the
6    employer as set forth in this chapter and Chapter 3a, Utah Occupational Disease Act, with the
7    exception of penalties on those obligations.
8        (2) [Funds] Monies for the Uninsured Employers' Fund shall be [provided under]
9    deposited into the fund in accordance with Subsection 59-9-101(2). The state treasurer is the
10    custodian of the Uninsured Employers' Fund, and the department shall make provisions for and
11    direct its distribution.
12        (3) Reasonable costs of [administration] administering the Uninsured Employers' Fund
13    or [other] fees required to be paid by the fund may be paid from the fund.
14        (4) The state treasurer shall:
15        (a) receive workers' compensation premium assessments from the State Tax Commission;
16    and
17        (b) invest the Uninsured Employers' Fund to ensure maximum investment return for both
18    long and short-term investments in accordance with Section 51-7-12.5.
19        (5) The [department shall] administrator may employ, retain, or appoint counsel to
20    represent the Uninsured Employers' Fund in all proceedings brought to enforce claims against or
21    on behalf of the fund. [Upon the request of] If requested by the department, the attorney general,
22    city attorney, or county attorney of the locality in which any investigation, hearing, or trial under
23    this chapter or Chapter 3a is pending, or in which the employee resides or an employer resides or
24    is doing business, shall aid in the representation of the fund.
25        (6) To the extent of the compensation and other benefits paid or payable to or on behalf
26    of an employee or the employee's dependents from the Uninsured Employers' Fund, the fund, by
27    subrogation, has all the rights, powers, and benefits of the employee or the employee's dependents
28    against the employer failing to make the compensation payments.
29        (7) (a) The receiver, trustee, liquidator, or statutory successor of an insolvent employer is
30    bound by settlements of covered claims by the fund.
31        (b) The court with jurisdiction shall grant all payments made under this section a priority

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1    equal to that to which the claimant would have been entitled in the absence of this section against
2    the assets of the insolvent employer.
3        (c) The expenses of the fund in handling claims shall be accorded the same priority as the
4    liquidator's expenses.
5        (8) The [department] administrator shall periodically file with the receiver, trustee, or
6    liquidator of the insolvent employer or insurance carrier statements of the covered claims paid by
7    the fund and estimates of anticipated claims against the fund which shall preserve the rights of the
8    fund for claims against the assets of the insolvent employer.
9        (9) When any injury or death for which compensation is payable from the Uninsured
10    Employers' Fund has been caused by the wrongful act or neglect of another person not in the same
11    employment, the fund has the same rights as allowed under Section 35A-3-106.
12        (10) The fund, subject to approval of the [department] administrator, shall discharge its
13    obligations by:
14        (a) adjusting its own claims; or [by]
15        (b) contracting with an adjusting company, risk management company, insurance
16    company, or other company that has expertise and capabilities in adjusting and paying workers'
17    compensation claims.
18        (11) (a) For the purpose of maintaining this fund, [the department] an administrative law
19    judge, upon rendering a decision with respect to any claim for workers' compensation benefits in
20    which an uninsured employer was duly joined as a party, shall:
21        (i) order the uninsured employer to reimburse the Uninsured Employers' Fund for all
22    benefits paid to or on behalf of an injured employee by the Uninsured Employers' Fund along with
23    interest, costs, and attorneys' fees[. The department shall]; and
24        (ii) impose a penalty against the uninsured employer of 15% of the value of the total award
25    in connection with the claim[, and shall direct that the additional penalty] that shall be paid into
26    the Uninsured Employers' Fund.
27        (b) Awards may be docketed as other awards under this chapter or Chapter 3a.
28        (12) The liability of the state, the department, and the state treasurer, with respect to
29    payment of any compensation benefits, expenses, fees, or disbursement properly chargeable
30    against the fund, is limited to the assets in the fund, and they are not otherwise in any way liable
31    for the making of any payment.

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1        (13) The department may make reasonable rules for the processing and payment of claims
2    for compensation from the fund.
3        (14) (a) [In the event] If it becomes necessary for the Uninsured Employers' Fund to pay
4    benefits under this section to any employee of an insolvent self-insured employer, the Uninsured
5    Employers' Fund may assess all other self-insured employers amounts necessary to pay:
6        (i) the obligations of the fund subsequent to an insolvency;
7        (ii) the expenses of handling covered claims subsequent to an insolvency;
8        (iii) the cost of examinations under Subsection (15); and
9        (iv) other expenses authorized by this section.
10        (b) The assessments of each self-insured employer shall be in the proportion that the
11    manual premium of the self-insured employer for the preceding calendar year bears to the manual
12    premium of all self-insured employers for the preceding calendar year.
13        (c) Each self-insured employer shall be notified of the employer's assessment not later than
14    30 days before [it] the assessment is due.
15        (d) [No] A self-insured employer may not be assessed in any year an amount greater than
16    2% of that self-insured employer's manual premium for the preceding calendar year. If the
17    maximum assessment does not provide in any one year an amount sufficient to make all necessary
18    payments from the fund for one or more insolvent self-insured employers, the unpaid portion shall
19    be paid as soon as funds become available.
20        (e) All self-insured employers are liable under this section for a period not to exceed three
21    years after the self-insured employer's voluntary or involuntary termination of self-insurance
22    privileges within this state.
23        (f) Subsection (14) does not apply to claims made against an insolvent self-insured
24    employer if the insolvency occurred prior to July 1, 1986.
25        (15) (a) [It is the duty of all] A self-insured [employers to] employer shall notify the
26    [department] division of any information indicating that any self-insured employer may be
27    insolvent or in a financial condition hazardous to its employees or the public.
28        (b) Upon receipt of [that] the notification described in Subsection (15)(a) and with good
29    cause appearing, the [department] division may order an examination of that self-insured
30    employer. The cost of the examination shall be assessed against all self-insured employers as
31    provided in Subsection (14). The results of the examination shall be kept confidential.

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1        (16) In any claim against an employer by the Uninsured Employers' Fund, or by or on
2    behalf of the employee to whom or to whose dependents compensation and other benefits are paid
3    or payable from the fund, the burden of proof is on the employer or other party in interest objecting
4    to the claim. The claim is presumed to be valid up to the full amount of workers' compensation
5    benefits claimed by the employee or [his] the employee's dependents. Subsection (16) applies
6    whether the claim is filed in court or in an adjudicative proceeding under the authority of the
7    department.
8        (17) A partner in a partnership or an owner of a sole proprietorship may not recover
9    compensation or other benefits from the Uninsured Employers' Fund if:
10        (a) the person is not included as an employee under Subsection 35A-3-104(3); or
11        (b) the person is included as an employee under Subsection 35A-3-104(3), but:
12        (i) the person's employer fails to insure or otherwise provide adequate payment of direct
13    compensation[, which]; and
14        (ii) the failure described under Subsection (17)(b)(i) is attributable to an act or omission
15    over which the person had or shared control or responsibility.
16        (18) A director or officer of a corporation may not recover compensation or other benefits
17    from the Uninsured Employers' Fund if the director or officer is excluded from coverage under
18    Subsection 35A-3-104(4).
19        (19) The Uninsured Employers' Fund:
20        (a) shall be:
21        (i) used in accordance with this section only for:
22        (A) the purpose of assisting in the payment of workers' compensation benefits in
23    accordance with Subsection (1); and
24        (B) in accordance with Subsection (3), payment of:
25        (I) reasonable costs of administering the Uninsured Employers' fund; or
26        (II) fees required to be paid by the Uninsured Employers' Fund;
27        (ii) expended according to processes that can be verified by audit; and
28        (b) may not be used for:
29        (i) administrative costs unrelated to the restricted account; or
30        (ii) any activity of the department other than an activity described in Subsection (19)(a).
31        Section 94. Section 35A-3-801 is repealed and reenacted to read:

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1         35A-3-801. Procedure for requesting a decision of an administrative law judge --
2     Procedure for review of administrative law judge decision -- Procedure for court review of
3     order.
4        (1) (a) To contest an action of the employee's employer or its insurance carrier concerning
5    a compensable industrial accident or occupational disease alleged by the employee, any of the
6    following shall file an application for hearing with the Division of Adjudication:
7        (i) the employee; or
8        (ii) a representative of the employee, the qualifications of whom are defined in rule by the
9    department.
10        (b) To appeal the imposition of a penalty or other administrative act imposed by the
11    division on the employer or its insurance carrier for failure to comply with this chapter or Chapter
12    3a, Utah Occupational Disease Act, any of the following shall file an application for hearing with
13    the Division of Adjudication:
14        (i) the employer;
15        (ii) the insurance carrier; or
16        (iii) a representative of either the employer or the insurance carrier, the qualification of
17    whom are defined in rule by the department.
18        (c) A physician, surgeon, or other health provider may file an application for hearing in
19    accordance with Section 35A-3-407.
20        (d) An attorney may file an application for hearing in accordance with Section 35A-1-404.
21        (2) Unless a party in interest appeals the decision of an administrative law judge in
22    accordance with Subsection (3), the decision of an administrative law judge on an application for
23    hearing filed under Subsection (1) is a final order of the department 30 days after the date the
24    decision is issued.
25        (3) A party in interest may appeal the decision of an administrative law judge to the
26    Workforce Appeals Board by filing a motion for review with the Division of Adjudication within
27    30 days of the date the decision is issued.
28        (4) (a) A case appealed to the Workforce Appeals Board shall be decided by the majority
29    vote of the Workforce Appeals Board.
30        (b) At the Workforce Appeals Board's request, its legal counsel shall act as an impartial
31    aid to the board in outlining the facts and the issues.

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1        (5) All records on appeals shall be maintained in the offices of the department. Those
2    records shall include an appeal docket showing the receipt and disposition of the appeals on
3    review.
4        (6) (a) Upon appeal, the Workforce Appeals Board may affirm, modify, return the case
5    to an administrative law judge for further action as directed, or reverse the findings, conclusions,
6    and decision of the administrative law judge.
7        (b) The Workforce Appeals board may not conduct a trial de novo of the case.
8        (c) The Workforce Appeals Board may base its decision on:
9        (i) the evidence previously submitted in the case; or
10        (ii) on written argument or written supplemental evidence requested by the Workforce
11    Appeals Board.
12        (d) The Workforce Appeals Board may permit the parties to:
13        (i) file briefs or other papers; or
14        (ii) conduct oral argument.
15        (7) The Workforce Appeals Board shall promptly notify the parties to any proceedings
16    before it of its decision, including its findings and conclusions.
17        (8) The decision of the Workforce Appeals Board is final unless within 30 days after the
18    date the decision is issued further appeal is initiated under the provisions of this section or Title
19    63, Chapter 46b, Administrative Procedures Act.
20        (9) (a) Within 30 days after the Workforce Appeals Board notifies parties of its decision
21    under Subsection (7), any aggrieved party may secure judicial review by commencing an action
22    in the court of appeals against the Workforce Appeals Board for the review of the Work Force
23    Appeal Board's decision.
24        (b) If an action is filed under Subsection (9)(a):
25        (i) any other party to the proceeding before the Workforce Appeals Board shall be made
26    a party; and
27        (ii) the department shall be made a party.
28        (c) A party claiming to be aggrieved may seek judicial review only if the party has
29    exhausted the party's remedies before the department as provided by this section.
30        (d) At the request of the court of appeals, the department shall certify and file with the
31    court all documents and papers and a transcript of all testimony taken in the matter together with

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1    the Workforce Appeals Board decision.
2        Section 95. Section 35A-3-802 (Effective 07/01/97) is repealed and reenacted to read:
3         35A-3-802 (Effective 07/01/97). Rules of evidence and procedure before department
4     and hearing examiner -- Admissible evidence.
5        (1) The department, a presiding officer in an adjudicative proceeding, or the Workforce
6    Appeals Board, is not bound by the usual common law or statutory rules of evidence, or by any
7    technical or formal rules or procedure, other than as provided in this section or as adopted by the
8    department pursuant to this chapter and Chapter 3a, Utah Occupational Disease Act. The
9    department may make its investigation in such manner as in its judgment is best calculated to
10    ascertain the substantial rights of the parties and to carry out justly the spirit of the chapter.
11        (2) The department may receive as evidence and use as proof of any fact in dispute all
12    evidence deemed material and relevant including, but not limited to the following:
13        (a) depositions and sworn testimony presented in open hearings;
14        (b) reports of attending or examining physicians, or of pathologists;
15        (c) reports of investigators appointed by the commission;
16        (d) reports of employers, including copies of time sheets, book accounts, or other records;
17    or
18        (e) hospital records in the case of an injured or diseased employee.
19        Section 96. Section 35A-3-803 is repealed and reenacted to read:
20         35A-3-803. Violation of judgments, orders, decrees or provisions of chapter -- Grade
21     of offense.
22        (1) An employer, employee, or other person is guilty of a misdemeanor if that employer,
23    employee, or other person violates this chapter or Chapter 3a, Utah Occupational Disease Act,
24    including:
25        (a) doing any act prohibited by this chapter or Chapter 3a;
26        (b) failing or refusing to perform any duty lawfully imposed under this chapter or Chapter
27    3a; or
28        (c) failing, neglecting, or refusing to obey any lawful order given or made by the
29    department, or any judgment or decree made by any court in connection with this chapter or
30    Chapter 3a.
31        (2) Every day during which any person fails to observe and comply with any order of the

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1    department, or to perform any duty imposed by this chapter or Chapter 3a, Utah Occupational
2    Disease Act, shall constitute a separate and distinct offense.
3        Section 97. Section 35A-3a-101 (Effective 07/01/97) is amended to read:
4         35A-3a-101 (Effective 07/01/97). Title -- Definitions.
5        (1) This chapter is known as the "Utah Occupational Disease Act."
6        (2) For purposes of this chapter "division" means the Division of Labor, Safety, and
7    Program Regulation.
8        Section 98. Section 35A-3a-102 (Effective 07/01/97) is amended to read:
9         35A-3a-102 (Effective 07/01/97). Chapter to be administered by division -- Exclusive
10     remedy.
11        (1) This chapter shall be administered by the department through the division, the Division
12    of Adjudication, and the Workforce Appeals Board in accordance with Section 35A-3-112.
13        (2) Subject to the limitations provided in this chapter and, unless otherwise noted, all
14    provisions of Chapter 3, Workers' Compensation Act and Chapter 9, Part 2, Utah Injured Worker
15    Reemployment Act, are incorporated into this chapter and shall be applied to occupational disease
16    claims.
17        (3) The right to recover compensation under this chapter for diseases or injuries to health
18    sustained by a Utah employee shall be the exclusive remedy as outlined in Section 35A-3-105.
19        Section 99. Section 35A-3a-108 (Effective 07/01/97) is amended to read:
20         35A-3a-108 (Effective 07/01/97). Reporting of occupational diseases -- Regulation of
21     health care providers.
22        (1) Any employee sustaining an occupational disease, as defined in this chapter, arising
23    out of and in the course of employment shall provide notification to the employee's employer
24    promptly of the occupational disease. If the employee is unable to provide notification, the
25    employee's next-of-kin or attorney may provide notification of the occupational disease to the
26    employee's employer.
27        (2) (a) Any employee who fails to notify the employee's employer or the [department]
28    division within 180 days after the cause of action arises is barred from any claim of benefits arising
29    from the occupational disease.
30        (b) The cause of action is considered to arise on the date the employee first suffered
31    disability from the occupational disease and knew, or in the exercise of reasonable diligence

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1    should have known, that the occupational disease was caused by employment.
2        (3) [An] The following constitute notification of an occupational disease:
3        (a) an employer's or physician's injury report filed with the [department,]:
4        (i) division;
5        (ii) employer[,]; or
6        (iii) insurance carrier[,]; or
7        (b) the payment of any medical or disability benefits by the employer or the employer's
8    insurance carrier[, constitutes notification of an occupational disease].
9        (4) (a) [On forms or by methods] In the form prescribed by the department, each employer
10    shall file a report with the [department] division of any occupational disease resulting in:
11        (i) medical treatment[,];
12        (ii) loss of consciousness[,];
13        (iii) loss of work[,]; or
14        (iv) restriction of work, or transfer to another job.
15        (b) The report required under Subsection (4)(a), shall be filled within seven days after:
16        (i) the occurrence of an occupational disease;
17        (ii) the employer's first knowledge of the occupational disease; or
18        (iii) the employee's notification of the occupational disease.
19        [(b)] (c) Each employer shall file a subsequent report with the [department] division of any
20    previously reported occupational disease that later resulted in death. The subsequent report shall
21    be filed with the [department] division within seven days following:
22        (i) the death; or
23        (ii) the employer's first knowledge or notification of the death.
24        [(c) No] (d) A report is not required:
25        (i) for minor injuries that require first-aid treatment only, unless a treating physician files,
26    or is required to file, the Physician's Initial Report of Work Injury or Occupational Disease with
27    the [department. (d) No report is required] division;
28        (ii) for occupational diseases that manifest after the employee is no longer employed by
29    the employer with which the exposure occurred[,]; or
30        (iii) when the employer is not aware of an exposure occasioned by the employment that
31    results in an occupational disease as defined by Section 35A-3a-103.

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1        (5) Each employer shall provide the employee with:
2        (a) a copy of the report submitted to the [department. The employer shall also provide
3    the employee with] division; and
4        (b) a statement, as prepared by the [department] division, of the employee's rights and
5    responsibilities related to the occupational disease.
6        (6) Each employer shall maintain a record in a manner prescribed by the [department]
7    division of all occupational diseases resulting in:
8        (a) medical treatment[,];
9        (b) loss of consciousness[,];
10        (c) loss of work[,];
11        (d) restriction of work[,]; or
12        (e) transfer to another job.
13        (7) Any employer who refuses or neglects to make reports, to maintain records, or to file
14    reports with the [department] division as required by this section is guilty of a class C
15    misdemeanor and subject to citation under Section 35A-6-302 and a civil assessment as provided
16    under Section 35A-6-307, unless the [department] division finds that the employer has shown good
17    cause for submitting a report later than required by this section.
18        (8) (a) Except as provided in Subsection (8)(c), all physicians, surgeons, and other health
19    providers attending occupationally diseased employees shall:
20        (i) comply with all the rules, including the schedule of fees, for their services as adopted
21    by the department; and
22        (ii) make reports to the [department] division at any and all times as required as to the
23    condition and treatment of an occupationally diseased employee or as to any other matter
24    concerning industrial cases they are treating.
25        (b) A physician, as defined in Subsection [35A-3-117] 35A-3-111(2), who is associated
26    with, employed by, or bills through a hospital is subject to Subsection (8)(a).
27        (c) A hospital is not subject to the requirements of Subsection (8)(a).
28        (d) The department's schedule of fees may reasonably differentiate remuneration to be paid
29    to providers of health services based on:
30        (i) the severity of the employee's condition[,];
31        (ii) the nature of the treatment necessary[,]; and

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1        (iii) the facilities or equipment specially required to deliver that treatment.
2        (e) Subsection (8) does not modify contracts with providers of health services relating to
3    the pricing of goods and services existing on May 1, 1995.
4        (f) In accordance with Title 63, Chapter 46b, Administrative Procedures Act, a physician,
5    surgeon, or other health provider may file an application for hearing with the Division of
6    Adjudication to appeal a decision or final order to the extent it concerns the fees charged by the
7    physician, surgeon, or other health provider.
8        (9) A copy of the physician's initial report shall be furnished to the [department, the]:
9        (a) division;
10        (b) employee[,]; and [the]
11        (c) employer or its insurance carrier.
12        (10) Any physician, surgeon, or other health provider, excluding any hospital, who refuses
13    or neglects to make any report or comply with this section is guilty of a class C misdemeanor for
14    each offense, unless the [department] division finds that there is good cause for submitting a late
15    report.
16        (11) (a) Applications for a hearing to resolve disputes regarding occupational disease
17    claims shall be filed with the [department] Division of Adjudication.
18        (b) After the filing, a copy shall be forwarded by mail to:
19        (i) the employer or to the employer's insurance carrier[, to];
20        (ii) the applicant[,]; and [to]
21        (iii) the attorneys for the parties.
22        Section 100. Section 35A-3a-109 (Effective 07/01/97) is amended to read:
23         35A-3a-109 (Effective 07/01/97). Limitations -- Rights barred if not filed within
24     limits.
25        (1) The limitation of rights regarding medical benefits provided in Subsection
26    35A-3-417(1) does not apply to compensable occupational diseases under the terms of this chapter.
27        (2) A claim for compensation for temporary total disability benefits, temporary partial
28    disability benefits, permanent partial disability benefits, or permanent total disability benefits is
29    barred, unless an application for hearing is filed with the [department] Division of Adjudication
30    within six years after the date the employee's cause of action arose.
31        (3) A claim for death benefits is barred unless an application for hearing is filed within one

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1    year of the date the deceased employee's dependents knew, or in the exercise of reasonable
2    diligence should have known, that the employee's death was caused by an occupational disease.
3    But in no case shall the dependents' claim for death benefits be actionable more than six years after
4    the employee's cause of action arises.
5        Section 101. Section 35A-4-104 (Effective 07/01/97) is amended to read:
6         35A-4-104 (Effective 07/01/97). Violations of chapter -- Penalties.
7        (1) (a) Any person who makes a false statement or representation knowing it to be false
8    or knowingly fails to disclose a material fact, to obtain or increase any benefit or other payment
9    under this chapter or under the Unemployment Compensation Law of any state or of the Federal
10    Government, either for himself or for any other person, is guilty of a class A misdemeanor.
11        (b) Notwithstanding Sections 76-3-204 and 76-3-301, a fine imposed under Subsection
12    (1) shall be not less than $50, and a penalty of imprisonment shall be for not longer than 60 days.
13        (c) Each false statement or representation or failure to disclose a material fact constitutes
14    a separate offense.
15        (2) (a) Any employing unit or any officer or agent of an employing unit or any other
16    person who makes a false statement or representation knowing it to be false, or who knowingly
17    fails to disclose a material fact, to prevent or reduce the payment of benefits to any individual
18    entitled thereto, or to avoid becoming or remaining a subject employer or to avoid or reduce any
19    contribution or other payment required from an employing unit under this chapter or under the
20    Unemployment Compensation Law of any state or of the federal government, or who willfully
21    fails or refuses to make any such contributions or other payment or to furnish any reports required
22    in this chapter or to produce or permit the inspection or copying of records as required hereunder
23    is guilty of a class A misdemeanor.
24        (b) Notwithstanding Sections 76-3-204 and 76-3-301, a fine imposed under Subsection
25    (2) shall be not less than $50 and a penalty of imprisonment shall be for not longer than 60 days.
26        (c) Each false statement or representation or failure to disclose a material fact, and each
27    day of the failure or refusal constitutes a separate offense.
28        (3) (a) Any person who willfully violates any provision of this chapter or any order, rule,
29    made under this chapter, the violation of which is made unlawful or the observance of which is
30    required under the terms of this chapter, and for which a penalty is neither prescribed in this
31    chapter nor provided by any other applicable statute is guilty of a class A misdemeanor.

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1        (b) Notwithstanding Sections 76-3-204 and 76-3-301, a fine imposed under Subsection
2    (3) shall be not less than $50, and a penalty of imprisonment shall be for not longer than 60 days.
3        (c) Each day a violation continues shall be a separate offense.
4        (4) (a) If any employee of the department, in violation of [Subsection 35A-4-502(7)]
5    Section 35A-4-312, makes any disclosure of information obtained from any employing unit or
6    individual in the administration of this chapter, or if any person who has obtained any list of
7    applicants for work, or of claimants or recipients of benefits, under this chapter shall use or permit
8    the use of such list for any political purpose, he is guilty of a class A misdemeanor.
9        (b) Notwithstanding Sections 76-3-204 and 76-3-301, a fine imposed under Subsection
10    (4) shall be not less than $50, and a penalty of imprisonment shall be for not longer than 60 days.
11        Section 102. Section 35A-4-106 (Effective 07/01/97) is amended to read:
12         35A-4-106 (Effective 07/01/97). Reciprocal arrangements with other jurisdictions.
13        (1) The division is authorized to enter into reciprocal arrangements with appropriate and
14    authorized agencies of other states or of the federal government, or both, [whereby:] in accordance
15    with Subsections (1)(a) through (d).
16        (a) Services performed by an individual for a single employing unit for which services are
17    customarily performed in more than one state shall be considered to be services performed entirely
18    within any one of the states:
19        (i) in which any part of the individual's service is performed;
20        (ii) in which the individual has [his] the individual's residence; or
21        (iii) in which the employing unit maintains a place of business, [provided] if there is in
22    effect, as to such services, an election, approved by the agency charged with the administration of
23    such state's unemployment compensation law, pursuant to which all the services performed by the
24    individual for the employing unit are considered to be performed entirely within the state.
25        (b) The division shall participate in any arrangements for the payment of benefits on the
26    basis of combining an individual's wages and employment covered under this chapter with [his]
27    the individual's wages and employment covered under the unemployment compensation laws of
28    other states that:
29        (i) are approved by the Secretary of Labor in consultation with the state unemployment
30    compensation agencies as reasonably calculated to assure the prompt and full payment of
31    compensation in such situations; and [that]

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1        (ii) include provisions for:
2        [(i)] (A) applying the base period of a single state law to a claim involving the combining
3    of an individual's wages and employment covered under two or more state unemployment
4    compensation laws; and
5        [(ii)] (B) avoiding the duplicate use of wages and employment by reason of [such] the
6    combining.
7        (c) (i) Wages or services, upon the basis of which an individual may become entitled to
8    benefits under an unemployment compensation law of another state or of the federal government,
9    shall be considered to be wages for insured work for the purpose of determining [his] the
10    individual's rights to benefits under this chapter[, and wages].
11        (ii) Wages for insured work, on the basis of which an individual may become entitled to
12    benefits under this chapter, shall be considered to be wages or services on the basis of which
13    unemployment compensation under the law of another state or of the federal government is
14    payable.
15        [(ii) No] (iii) An arrangement [shall] may not be entered into unless it contains provisions
16    for reimbursements:
17        (A) to the fund for the benefits paid under this chapter upon the basis of such wages or
18    services[,]; and [provisions for reimbursements]
19        (B) from the fund for such of the compensation paid under the other law upon the basis
20    of wages for insured work, as the director of the division finds will be fair and reasonable as to all
21    affected interests.
22        (d) (i) Contributions due under this chapter with respect to wages for insured work shall,
23    for the purposes of Section 35A-4-305, be considered to have been paid to the fund as of the date
24    payment was made as contributions therefor under another state or Federal [Employment]
25    Unemployment Compensation Law.
26        (ii) [No] An arrangement [shall] may not be entered into unless it contains provisions for
27    the reimbursement to the fund of the contributions and the actual earnings thereon as the director
28    of the division finds will be fair and reasonable as to all affected interests.
29        (2) (a) Reimbursement paid from the fund pursuant to Subsection (1)(c) shall be
30    considered to be benefits for the purpose of Sections 35A-4-401 and 35A-4-501.
31        (b) The division is authorized to make to other state or federal agencies and to receive

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1    from other state or federal agencies reimbursements from or to the fund in accordance with
2    arrangements entered into pursuant to Subsection (1).
3        (3) (a) The administration of this chapter and of other state and federal unemployment
4    compensation and public employment service laws will be promoted by cooperation between this
5    state and the other states and the appropriate federal agencies in exchanging services, and making
6    available facilities and information.
7        (b) The division is authorized to make investigations, secure and transmit information,
8    make available services and facilities, and exercise other powers provided [herein] in this chapter
9    with respect to the administration of this chapter as it considers necessary or appropriate to
10    facilitate the administration of any unemployment compensation or public employment service
11    law, and in like manner, to accept and utilize information, services and facilities made available
12    to this state by the agency charged with the administration of any other unemployment
13    compensation or public employment service law.
14        (4) To the extent permissible under the laws and Constitution of the United States, the
15    director of the division is authorized to enter into or cooperate in arrangements whereby facilities
16    and services provided under this chapter and facilities and services provided under the
17    unemployment compensation law of any foreign government, may be utilized for the taking of
18    claims and the payment of benefits under this chapter or under a similar law of the foreign
19    government.
20        Section 103. Section 35A-4-107 (Effective 07/01/97) is amended to read:
21         35A-4-107 (Effective 07/01/97). Limit of liability.
22        (1) Benefits shall be considered to be due and payable under this chapter only to the extent
23    provided in this chapter and to the extent that moneys are available to the credit of the
24    Unemployment Compensation Fund [and neither the].
25        (2) The state [nor], the department [shall], or any division of the department may not be
26    held liable for any amount in excess of [these sums] the monies in the Unemployment
27    Compensation Fund.
28        Section 104. Section 35A-4-201 (Effective 07/01/97) is amended to read:
29         35A-4-201 (Effective 07/01/97). General definitions.
30        As used in this chapter:
31        (1) "Base-period" means[: (a) the four completed calendar quarters next preceding the

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1    first day of the individual's benefit year with respect to any individual whose benefit year
2    commences prior to January 5, 1986; and (b)] the first four of the last five completed calendar
3    quarters next preceding the first day of the individual's benefit year with respect to any individual
4    whose benefit year commences on or after January 5, 1986.
5        (2) "Benefit year" means the 52 consecutive week period beginning with the first week
6    with respect to which an individual files for benefits and is found to have an insured status.
7        (3) "Benefits" means the money payments payable to an individual as provided in this
8    chapter with respect to [his] the individual's unemployment.
9        (4) "Calendar quarter" means the period of three consecutive months ending on March 31,
10    June 30, September 30, or December 31, or the equivalent, as the department may by rule
11    prescribe.
12        (5) "Contribution" means the money payments required by this chapter to be made into
13    the Unemployment Compensation Fund by any employing unit on account of having individuals
14    in its employ.
15        (6) "Division" means the Division of [Employment Development] Workforce Information
16    and Payment Services.
17        (7) "Employment office" means a free public employment office or branch operated by
18    this or any other state as a part of a state-controlled system of public employment offices or by a
19    federal agency charged with the administration of an unemployment compensation program or free
20    public employment offices.
21        (8) "Employment Security Administration Fund" means the fund established by Section
22    35A-4-505, and from which administrative expenses under this chapter shall be paid.
23        (9) "Extended benefits" has the meaning specified in Subsection 35A-4-402(7)(f).
24        (10) "Fund" means the Unemployment Compensation Fund established by this chapter.
25        (11) "Insured average annual wage" means on or before the 15th day of May of each year,
26    the total wages of insured workers for the preceding calendar year, divided by the average monthly
27    number of insured workers, determined by dividing by 12 the total insured workers for the
28    preceding calendar year as determined under the rules of the department calculated to two decimal
29    places, disregarding any fraction of one cent.
30        (12) "Insured average fiscal year wage" means on or before the 15th day of November of
31    each year, the total wages of insured workers for the preceding fiscal year, divided by the average

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1    monthly number of insured workers, determined by dividing by 12 the total insured workers for
2    the preceding fiscal year as determined under the rules of the department calculated to two decimal
3    places, disregarding any fraction of one cent.
4        (13) "Insured average fiscal year weekly wage" means the insured average fiscal year wage
5    determined in Subsection (12), divided by 52, calculated to two decimal places, disregarding any
6    fraction of one cent.
7        (14) "Insured average weekly wage" means the insured average annual wage determined
8    in Subsection (11), divided by 52, calculated to two decimal places, disregarding any fraction of
9    one cent.
10        (15) "Insured status" means that an individual has, during [his] the individual's
11    base-period, performed services and earned wages in employment sufficient to qualify for benefits
12    under Section 35A-4-403.
13        (16) "Insured work" means employment for [employers] an employer, as defined in
14    Section 35A-4-203.
15        (17) "Monetary base period wage requirement" means 8% of the insured average fiscal
16    year wage for the preceding fiscal year, for example, fiscal year 1990 for individuals establishing
17    benefit years in 1991, rounded up to the next higher multiple of $100.
18        (18) "State" includes the Commonwealth of Puerto Rico, the Virgin Islands, and the
19    District of Columbia.
20        (19) "Week" means the period or periods of seven consecutive calendar days as the
21    department may prescribe by rule.
22        Section 105. Section 35A-4-202 (Effective 07/01/97) is amended to read:
23         35A-4-202 (Effective 07/01/97). Employing units.
24        (1) (a) "Employing unit" means:
25        (i) any individual or type of organization that has or subsequent to January 1, 1935, had
26    one or more individuals performing services for it within the state including any:
27        (A) partnership[,];
28        (B) association[,];
29        (C) trust[,];
30        (D) estate[,];
31        (E) joint stock company[,];

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1        (F) insurance company[, or];
2        (G) limited liability company;
3        (H) limited liability partnership;
4        (I) joint venture;
5        (J) corporation, whether domestic or foreign[, or];
6        (K) the receiver, trustee in bankruptcy, trustee or successor of any [of the foregoing,] entity
7    listed in Subsection (1)(a)(i)(A) through (J); or
8        (L) the legal representative of a deceased person[, that has or subsequent to January 1,
9    1935, had one or more individuals performing services for it within this state,]; or
10        (ii) any properly and legally licensed employee leasing company as defined by Section
11    58-59-102.
12        (b) The department may adopt rules specific to employee leasing companies pursuant to
13    Title 63, Chapter 46a, Utah Administrative Rulemaking Act.
14        (c) All individuals performing services within this state for any employing unit that
15    maintains two or more separate establishments within this state are considered to be performing
16    services for a single employing unit for all the purposes of this chapter.
17        (d) Each individual employed to perform or to assist in performing the work of any person
18    in the service of an employing unit is considered to be engaged by the employing unit for all the
19    purposes of this chapter whether the individual was hired or paid directly by the employing unit
20    or by the person, provided the employing unit had actual or constructive knowledge of the work.
21        (2) "Hospital" means an institution that is licensed, certified, or approved by the
22    Department of Health as a hospital.
23        (3) "Institution of higher education," for the purposes of this section, means an educational
24    institution that:
25        (a) (i) admits, as regular students only, individuals having a certificate of graduation from
26    a high school or the recognized equivalent of a certificate;
27        (ii) is legally authorized in this state to provide a program of education beyond high
28    school;
29        (iii) provides:
30        (A) an educational program for which it awards a bachelor's or higher degree[, or
31    provides];

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1        (B) a program that is acceptable for full credit toward [that] a bachelor's or higher
2    degree[,];
3        (C) a program of postgraduate or postdoctoral studies[,]; or
4        (D) a program of training to prepare students for gainful employment in a recognized
5    occupation; and
6        (iv) is a public or other nonprofit institution.
7        (b) All colleges and universities in this state are institutions of higher education for
8    purposes of this section.
9        Section 106. Section 35A-4-204 (Effective 07/01/97) is amended to read:
10         35A-4-204 (Effective 07/01/97). Definition of employment.
11        (1) Subject to the other provisions of this section, "employment" means any service
12    performed for wages or under any contract of hire, whether written or oral, express or implied,
13    including service in interstate commerce, and service as an officer of a corporation.
14        (2) "Employment" includes an individual's entire service performed within or both within
15    and without this state if [any] one of [the following provisions] Subsections (2)(a) through (k) is
16    satisfied[:].
17        (a) The service is localized in this state. Service is localized within this state if:
18        (i) the service is performed entirely within the state; or
19        (ii) the service is performed both within and without the state, but the service performed
20    without the state is incidental to the individual's service within the state, for example, is temporary
21    or transitory in nature or consists of isolated transactions.
22        (b) (i) The service is not localized in any state but some of the service is performed in this
23    state and the individual's base of operations, or, if there is no base of operations, the place from
24    which the service is directed or controlled, is in this state; or
25        (ii) the individual's base of operations or place from which the service is directed or
26    controlled is not in any state in which some part of the service is performed, but the individual's
27    residence is in this state.
28        (c) (i) (A) The service is performed entirely outside this state and is not localized in any
29    state[,];
30        (B) the worker is one of a class of employees who are required to travel outside this state
31    in performance of their duties[,]; and

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1        (C) (I) the base of operations is in this state; or[,]
2        (II) if there is no base of operations, the place from which the service is directed or
3    controlled is in this state.
4        (ii) Services covered by an election under Subsection 35A-4-310(3), and services covered
5    by an arrangement under Section 35A-4-106 between the division and the agency charged with
6    the administration of any other state or federal unemployment compensation law, under which all
7    services performed by an individual for an employing unit are considered to be:
8        (A) performed entirely within this state[, are considered to be]; and
9        (B) employment if the division has approved an election of the employing unit for whom
10    the services are performed, under which the entire service of the individual during the period
11    covered by the election is considered to be insured work.
12        (d) (i) The service is performed after December 31, 1977, in the employ of this state or any
13    of its instrumentalities or any county, city, town, school district, or any political subdivision
14    thereof or any of its instrumentalities or any instrumentality or more than one of the foregoing or
15    any instrumentality of any of the foregoing and one or more other states or political subdivisions[;
16    provided, that] if:
17        (A) the service is excluded from employment as defined in the Federal Unemployment Tax
18    Act, 26 U.S.C. 3306(c)(7)[, and];
19        (B) the service is not excluded from employment by Section 35A-4-205 [and provided
20    that]; and
21        (C) as to any county, city, town, school district, or political subdivision of this state, or any
22    instrumentality of the same, that service is either:
23        [(A)] (I) required to be treated as covered employment as a condition of eligibility of
24    employers in this state for Federal Unemployment Tax Act employer tax credit;
25        [(B)] (II) required to be treated as covered employment by any other requirement of the
26    Federal Unemployment Tax Act, as amended; or
27        [(C)] (III) not required to be treated as covered employment by any requirement of the
28    Federal Unemployment Tax Act, but coverage of the service is elected by a majority of the
29    members of the governing body of the political subdivision or instrumentality in accordance with
30    Section 35A-4-310.
31        (ii) Benefits paid on the basis of service performed in the employ of this state shall be

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1    financed by payments to the division instead of contributions in the manner and amounts
2    prescribed by Subsections 35A-4-311(2)(a) and (4).
3        (iii) Benefits paid on the basis of service performed in the employ of any other
4    governmental entity described in Subsection (2) shall be financed by payments to the division in
5    the manner and amount prescribed by the applicable provisions of Section 35A-4-311.
6        (e) The service is performed by an individual in the employ of a religious, charitable,
7    educational, or other organization, but only if:
8        (i) the service is excluded from employment as defined in the Federal Unemployment Tax
9    Act, 26 U.S.C. 3306(c)(8), solely by reason of Section 3306 (c)(8) of that act; and
10        (ii) the organization had four or more individuals in employment for some portion of a day
11    in each of 20 different weeks, whether or not the weeks were consecutive, within either the current
12    or preceding calendar year, regardless of whether they were employed at the same moment of time.
13        (f) (i) The service is performed outside the United States after December 31, 1971, except
14    in Canada, in the employ of an American employer, other than service that is considered
15    employment under the provisions of Subsection (2) or the parallel provisions of another state's law
16    if:
17        (A) the employer's principal place of business in the United States is located in this state;
18        (B) the employer has no place of business in the United States but is:
19        (I) an individual who is a resident of this state[,];
20        (II) a corporation that is organized under the laws of this state[,]; or
21        (III) a partnership or trust in which the number of partners or trustees who are residents
22    of this state is greater than the number who are residents of any one other state; or
23        (C) none of the criteria of Subsections (2)(f)(i)(A) and (B) is met but:
24        (I) the employer has elected coverage in this state; or
25        (II) the employer [having failed to] fails to elect coverage in any state[,] and the individual
26    has filed a claim for benefits[,] based on that service[,] under the law of this state.
27        (ii) "American employer" for purposes of this Subsection (2) means a person who is:
28        (A) an individual who is a resident of the United States[,];
29        (B) a partnership if two-thirds or more of the partners are residents of the United States[,];
30        (C) a trust if all of the trustees are residents of the United States[, or];
31        (D) a corporation organized under the laws of the United States or of any state;

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1        (E) a limited liability company organized under the laws of the United States or of any
2    state;
3        (F) a limited liability partnership organized under the laws of the United States or of any
4    state; or
5        (G) a joint venture if two-thirds or more of the members are individuals, partnerships,
6    corporations, limited liability companies, or limited liability partnerships that qualify as American
7    employers.
8        (g) The service is performed after December 31, 1971[,]:
9        (i) by an officer or member of the crew of an American vessel on or in connection with
10    the vessel[,]; and
11        (ii) the operating office from which the operations of the vessel, operating on navigable
12    waters within, or within and without, the United States, is ordinarily and regularly supervised,
13    managed, directed, and controlled within this state.
14        (h) A tax with respect to the service in this state is required to be paid under any federal
15    law imposing a tax against which credit may be taken for contributions required to be paid into a
16    state unemployment fund or that, as a condition for full tax credit against the tax imposed by the
17    Federal Unemployment Tax Act, is required to be covered under this chapter.
18        (i) (i) Notwithstanding the provisions of Subsection 35A-4-205(1)(t), the service is
19    performed:
20        (A) as an agent-driver or commission-driver engaged in distributing meat products,
21    vegetable products, fruit products, bakery products, beverages other than milk, or laundry or dry
22    cleaning services, for [his] the driver's principal; or
23        (B) as a traveling or city salesman, other than as an agent-driver or commission-driver,
24    engaged on a full-time basis in the solicitation on behalf of and the transmission to [his] the
25    salesman's principal, except for sideline sales activities on behalf of some other person, of orders
26    from wholesalers, retailers, contractors, or operators of hotels, restaurants, or other similar
27    establishments for merchandise for resale or supplies for use in their business operations.
28        (ii) The term "employment" as used in this Subsection (2) includes services described in
29    Subsection (2)(i)(i) performed after December 31, 1971, only if:
30        (A) the contract of service contemplates that substantially all of the services are to be
31    performed personally by the individual;

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1        (B) the individual does not have a substantial investment in facilities used in connection
2    with the performance of the services other than in facilities for transportation; and
3        (C) the services are not in the nature of a single transaction that is not part of a continuing
4    relationship with the person for whom the services are performed.
5        (j) The service is performed after December 31, 1977, by an individual in agricultural
6    labor as defined in Section 35A-4-206.
7        (k) The service is domestic service performed after December 31, 1977, in a private home,
8    local college club, or local chapter of a college fraternity or sorority performed for a person who
9    paid cash remuneration of $1,000 or more during any calendar quarter in either the current
10    calendar year or the preceding calendar year to individuals employed in the domestic service.
11        (3) Services performed by an individual for wages or under any contract of hire, written
12    or oral, express or implied, are considered to be employment subject to this chapter, unless it is
13    shown to the satisfaction of the division that:
14        (a) the individual is customarily engaged in an independently established trade,
15    occupation, profession, or business of the same nature as that involved in the contract of hire for
16    services; and
17        (b) the individual has been and will continue to be free from control or direction over the
18    means of performance of those services, both under the individual's contract of hire and in fact.
19        (4) If an employer, consistent with a prior declaratory ruling or other formal determination
20    by the division, has treated an individual as independently established and it is later determined
21    that the individual is in fact an employee, the department may by rule provide for waiver of the
22    employer's retroactive liability for contributions with respect to wages paid to the individual prior
23    to the date of the division's later determination, except to the extent the individual has filed a claim
24    for benefits.
25        (5) Notwithstanding any other provisions of this chapter, and in accordance with rules
26    made by the department, if two or more related corporations concurrently employ the same
27    individual and compensate the individual through a common paymaster that is one of the
28    corporations, each corporation [shall be]:
29        (a) is considered to have paid as remuneration to the individual only the amounts actually
30    disbursed by it to the individual; and [shall]
31        (b) is not [be] considered to have paid as remuneration to the individual amounts actually

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1    disbursed to the individual by another of the other related corporations.
2        Section 107. Section 35A-4-205 (Effective 07/01/97) is amended to read:
3         35A-4-205 (Effective 07/01/97). Exempt employment.
4        (1) If the services are also exempted under the Federal Unemployment Tax Act, as
5    amended, employment [shall] does not include:
6        (a) service performed prior to January 1, 1973, in the employ of a state, except as provided
7    in Subsection 35A-4-204(2)(d);
8        (b) service performed in the employ of a political subdivision of a state, except as provided
9    in Subsection 35A-4-204(2)(d);
10        (c) service performed in the employ of the United States Government or an instrumentality
11    of the United States immune under the United States Constitution from the contributions imposed
12    by this chapter, except that, to the extent that the Congress of the United States shall permit, this
13    chapter shall apply to those instrumentalities and to services performed for the instrumentalities
14    to the same extent as to all other employers, employing units, individuals and services; provided,
15    that if this state is not certified for any year by the Secretary of Labor under Section 3304 of the
16    Federal Internal Revenue Code of 1954, 26 U.S.C. 3304, the payments required of the
17    instrumentalities with respect to that year shall be refunded by the division from the fund in the
18    same manner and within the same period as is provided in Subsection 35A-4-306(5) with respect
19    to contributions erroneously collected;
20        (d) service performed after June 30, 1939, as an employee representative as defined in the
21    Railroad Unemployment Insurance Act, 45 U.S.C. 351 et seq., and service performed after June
22    30, 1939, for an employer as defined in that act except that if the division determines that any
23    employing unit which is principally engaged in activities not included in those definitions
24    constitutes such an employer only to the extent of an identifiable and separable portion of its
25    activities, this exemption applies only to services performed for the identifiable and separable
26    portion of its activities;
27        (e) agricultural labor as defined in Section 35A-4-206;
28        (f) domestic service in a private home, local college club, or local chapter of a college
29    fraternity or sorority, except as provided in Subsection 35A-4-204(2)(k);
30        (g) (i) service performed in the employ of a school, college, or university, if the service
31    is performed:

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1        (A) by a student who is enrolled and is regularly attending classes at that school, college,
2    or university; or
3        (B) by the spouse of the student, if the spouse is advised, at the time the spouse
4    commences to perform that service, that the employment of that spouse to perform that service is
5    provided under a program to provide financial assistance to the student by the school, college, or
6    university, and that the employment will not be covered by any program of unemployment
7    insurance;
8        (ii) service performed by an individual who is enrolled at a nonprofit or public educational
9    institution, that normally maintains a regular faculty and curriculum and normally has a regularly
10    organized body of students in attendance at the place where its educational activities are carried
11    on, as a student in a full-time program taken for credit at the institution, that combines academic
12    instruction with work experience, if the service is an integral part of the program and the institution
13    has so certified to the employer, but this subsection does not apply to service performed in a
14    program established for or on behalf of an employer or group of employers; or
15        (iii) service performed in the employ of a hospital, if the service is performed by a patient
16    of the hospital;
17        (h) service performed by an individual in the employ of [his] the individual's son,
18    daughter, or spouse, and service performed by a child under the age of 21 in the employ of [his
19    father or mother] the child's parent;
20        (i) for the purposes of Subsections 35A-4-204(2)(d) and (e), service performed:
21        (i) in the employ of:
22        (A) a church or convention or association of churches; or
23        (B) an organization that is operated primarily for religious purposes and that is operated,
24    supervised, controlled, or principally supported by a church or convention or association of
25    churches;
26        (ii) by a duly ordained, commissioned, or licensed minister of a church in the exercise of
27    [his] the minister's ministry or by a member of a religious order in the exercise of duties required
28    by the order;
29        (iii) after December 31, 1977, in the employ of a governmental entity referred to in
30    Subsection 35A-4-204(2) if the service is performed by an individual in the exercise of [his] the
31    individual's duties:

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1        (A) as an elected official;
2        (B) as a member of a legislative body or the judiciary of the state or its political
3    subdivisions;
4        (C) as a member of the National Guard or Air National Guard;
5        (D) as an employee serving on a temporary basis in case of fire, storm, snow, earthquake,
6    flood, or similar emergency; or
7        (E) in an advisory position or a policymaking position the performance of the duties of
8    which ordinarily does not require more than eight hours per week;
9        (iv) in a facility conducted for the purpose of carrying out a program of rehabilitation for
10    individuals whose earning capacity is impaired by age, physical or mental deficiency, injury, or
11    providing a remunerative work for individuals who, because of their impaired physical or mental
12    capacity, cannot be readily absorbed in the competitive labor market by an individual receiving
13    that rehabilitation or remunerative work;
14        (v) as part of an unemployment work-relief or work-training program, assisted or financed
15    in whole or in part by any federal agency or an agency of a state or political subdivision [thereof]
16    of the state, by an individual receiving the work-relief or work-training;
17        (vi) prior to January 1, 1978, for a hospital in a state prison or other state correctional
18    institution by an inmate of the prison or correctional institution and after December 31, 1977, by
19    an inmate of a custodial or penal institution;
20        (j) casual labor not in the course of the employing unit's trade or business;
21        (k) service performed in any calendar quarter in the employ of any organization exempt
22    from income tax under Subsection 501(a) [of the Federal], Internal Revenue Code, other than an
23    organization described in Subsection 401(a)[,] or [under] Section 521 [of that code], Internal
24    Revenue Code if the remuneration for the service is less than $50;
25        (l) service is performed in the employ of a foreign government, including service as a
26    consular or other officer, other employee, or a nondiplomatic representative;
27        (m) service performed in the employ of an instrumentality wholly owned by a foreign
28    government:
29        (i) if the service is of a character similar to that performed in foreign countries by
30    employees of the United States government or its instrumentalities; and
31        (ii) if the division finds that the United States Secretary of State has certified to the United

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1    States Secretary of the Treasury that the foreign government with respect to whose instrumentality
2    exemption is claimed grants an equivalent exemption with respect to similar service performed in
3    the foreign country by employees of the United States government and its instrumentalities;
4        (n) service performed by an individual for a person as an insurance agent or as an
5    insurance solicitor, if all the service performed by the individual for that person is performed for
6    remuneration solely by way of commission;
7        (o) service performed by an individual in the delivery or distribution of newspapers or
8    shopping news, not including delivery or distribution to any point for subsequent delivery or
9    distribution;
10        (p) service covered by an arrangement between the division and the agency charged with
11    the administration of any other state or federal unemployment compensation law under which all
12    services performed by an individual for an employing unit during the period covered by the
13    employing unit's duly approved election, are considered to be performed entirely within the
14    agency's state or under the federal law;
15        (q) service performed by lessees engaged in metal mining under lease agreements, unless
16    the individual lease agreement, or the practice in actual operation under the agreement, is such as
17    would constitute the lessees' employees of the lessor at common law;
18        (r) service performed by an individual for a person as a licensed real estate agent or
19    salesman if all the service performed by the individual for that person is performed for
20    remuneration solely by way of commission;
21        (s) service performed by an individual for a person as a licensed securities agent [or],
22    salesman, or registered representative, if the service performed by the individual for that person
23    is performed for remuneration solely by way of commission;
24        (t) [unless services would constitute employment at common law, employment does not
25    include] services as an outside salesman paid solely by way of commission if the services were
26    performed outside of all places of business of the enterprises for which the services are performed,
27    except:
28        (i) as provided in Subsection 34A-4-204(2)(i); or
29        (ii) if the services would constitute employment at common law;
30        (u) service performed by an individual as a telephone survey conductor or pollster if:
31        (i) the individual does not perform the service on the principal's premises; and [if]

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1        (ii) the individual is paid for the service solely on a piece-rate or commission basis; or
2        (v) service performed by a nurse licensed or registered under Title 58, Chapter 31, Nurse
3    Practice Act, if:
4        (i) the service of the nurse is performed in the home of the patient;
5        (ii) substantially all of the nurse's compensation for the service is from health insurance
6    proceeds; and
7        (iii) no compensation or fee for the service is paid to any agency or company as a business
8    furnishing nursing services.
9        (2) "Included and excluded service" means if the services performed during 1/2 or more
10    of any pay period by an individual for the person employing [him] the individual constitute
11    employment, all the services of the individual for the period are considered to be employment; but
12    if the services performed during more than half of any such pay period by an individual for the
13    person employing [him] the individual do not constitute employment, then none of the services
14    of the individual for the period are considered to be employment. As used in this subsection, "pay
15    period" means a period of not more than 31 consecutive days for which payment of remuneration
16    is ordinarily made to the individual by the person employing [him] the individual.
17        Section 108. Section 35A-4-206 (Effective 07/01/97) is amended to read:
18         35A-4-206 (Effective 07/01/97). Agricultural labor.
19        (1) "Agricultural labor" means any [service performed prior to January 1, 1972, that was
20    agricultural labor, as defined in this subsection, prior to that date and] remunerated service
21    performed after December 31, 1971:
22        (a) on a farm, in the employ of any person in connection with cultivating the soil, or in
23    connection with raising or harvesting any agricultural or horticultural commodity, including the
24    raising, shearing, feeding, caring for, training, and management of livestock, bees, poultry, and
25    fur-bearing animals and wildlife;
26        (b) in the employ of the owner or tenant or other operator of a farm, in connection with
27    the operation, management, conservation, improvement, or maintenance of the farm and its tools
28    and equipment, or in salvaging timber or clearing land of brush and other debris left by a
29    hurricane, if the major part of the service is performed on a farm;
30        (c) in connection with:
31        (i) the production or harvesting of any commodity defined as an agricultural commodity

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1    in Subsection 15(g) of the Federal Agricultural Marketing Act, as amended, 46 Stat. 1550 Sec. 3;
2    12 U.S.C. 1141j[, or in connection with];
3        (ii) the ginning of cotton[,]; or [in connection with]
4        (iii) the operation or maintenance of ditches, canals, reservoirs, or waterways, not owned
5    or operated for profit, used primarily for supplying and storing water for farming purposes;
6        (d) in the employ of the operator of a farm in handling, planting, drying, packing,
7    packaging, processing, freezing, grading, storing, or delivering to storage or to market or to a
8    carrier for transportation to market, in its unmanufactured state, any agricultural or horticultural
9    commodity; but only if the operator produced more than 1/2 of the commodity with respect to
10    which the service is performed; or
11        (e) in the employ of a group of operators of farms, or a cooperative organization of which
12    the operators are members, in the performance of service described in Subsection (1)(d), but only
13    if the operators produced more than 1/2 of the commodity with respect to which the service is
14    performed.
15        (2) (a) The provisions of Subsections (1)(d) and (e) are not applicable with respect to
16    service:
17        (i) performed in connection with commercial canning or commercial freezing[,];
18        (ii) in connection with any agricultural or horticultural commodity after its delivery to a
19    terminal market for distribution for consumption[,]; or
20        (iii) on a farm operated for profit if the service is not in the course of the employer's trade
21    or business.
22        (b) As used in Subsection (1), "farm" includes stock, dairy, poultry, fruit, fur-bearing
23    animals, and truck farms, plantations, ranches, nurseries, ranges, greenhouses, or other similar
24    structures used primarily for the raising of agricultural or horticultural commodities and orchards.
25        (3) (a) Services performed by an individual in agricultural labor are considered
26    employment when[: (a) The] the service is performed for a person who:
27        (i) during any calendar quarter in either the current or the preceding calendar year paid
28    remuneration in cash of $20,000 or more to individuals employed in agricultural labor; or
29        (ii) for some portion of a day in each of 20 different calendar weeks, whether or not the
30    weeks were consecutive, in either the current or the preceding calendar year, employed in
31    agricultural labor ten or more individuals, regardless of whether they were employed at the same

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1    moment of time.
2        (b) For the purposes of this [subsection] Subsection (3), any individual who is a member
3    of a crew furnished by a crew leader to perform service in agricultural labor for any other person
4    is treated as an employee of the crew leader:
5        (i) if the crew leader holds a valid certificate of registration under the Migrant and
6    Seasonal Agricultural Worker Protection Act;
7        (ii) if substantially all the members of the crew operate or maintain tractors, mechanized
8    harvesting, or crop dusting equipment, or any other mechanized equipment, that is provided by the
9    crew leader; and
10        (iii) if the individual is not an employee of the other person within the meaning of Section
11    35A-4-204.
12        (c) For the purposes of this Subsection (3), in the case of any individual who is furnished
13    by a crew leader to perform service in agricultural labor for any other person and who is not treated
14    as an employee of the crew leader under Subsection (3)(b)(iii):
15        (i) the other person and not the crew leader is treated as the employer of the individual;
16    and
17        (ii) the other person is treated as having paid cash remuneration to the individual in an
18    amount equal to the amount of cash remuneration paid to the individual by the crew leader, either
19    on [his] the individual's own behalf or on behalf of the other person, for the service in agricultural
20    labor performed for the other person.
21        (d) For the purposes of this Subsection (3), "crew leader" means an individual who:
22        (i) furnishes individuals to perform service in agricultural labor for any other person;
23        (ii) pays, either on [his] the individual's own behalf or on behalf of the other person, the
24    individuals so furnished by [him] the individual for the service in agricultural labor performed by
25    them; and
26        (iii) has not entered into a written agreement with the other person under which the
27    individual is designated as an employee of the other person.
28        Section 109. Section 35A-4-305 (Effective 07/01/97) is amended to read:
29         35A-4-305 (Effective 07/01/97). Collection of contributions -- Unpaid contributions
30     to bear interest.
31        (1) (a) Contributions unpaid on the date on which they are due and payable, as prescribed

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1    by the division, shall bear interest at the rate of 1% per month from and after that date until
2    payment plus accrued interest is received by the division.
3        (b) (i) Contribution reports not made and filed by the date on which they are due as
4    prescribed by the division shall be subject to a penalty to be assessed and collected in the same
5    manner as contributions due under this section equal to 5% of the contribution due if the failure
6    to file on time was not more than 15 days, with an additional 5% for each additional 15 days or
7    fraction thereof during which the failure continued, but not to exceed 25% in the aggregate and not
8    less than $25 with respect to each reporting period.
9        (ii) If a report is filed after such time and it is shown to the satisfaction of the division or
10    its authorized representative that the failure to file was due to a reasonable cause and not to willful
11    neglect, no addition shall be made to the contribution.
12        (c) (i) If contributions are unpaid after ten days from the date of the mailing or personal
13    delivery by the division or its authorized representative, of a written demand for payment, there
14    shall attach to the contribution, to be assessed and collected in the same manner as contributions
15    due under this section, a penalty equal to 5% of the contribution due.
16        (ii) [No] A penalty [shall] may not attach if within ten days after the mailing or personal
17    delivery, arrangements for payment have been made with the division, or its authorized
18    representative, and payment is made in accordance with those arrangements.
19        (d) The division shall assess as a penalty a service charge, in addition to any other penalties
20    that may apply, in an amount not to exceed the maximum service charge allowed by Subsection
21    7-15-1(2) for dishonored instruments if:
22        (i) any amount due the division for contributions, interest, other penalties or benefit
23    overpayments is paid by check, draft, order, or other instrument; and
24        (ii) the instrument is dishonored or not paid by the institution against which it is drawn.
25        (e) [Benefit] Except for benefit overpayments under Subsection 35A-4-405(5), benefit
26    overpayments, contributions, interest, penalties, and assessed costs, uncollected three years after
27    they become due, may be charged as uncollectable and removed from the records of the division
28    if:
29        (i) no assets belonging to the liable person and subject to attachment can be found[,]; and
30        (ii) in the opinion of the division there is no likelihood of collection at a future date. [This
31    does not apply to benefit overpayments under Subsection 35A-4-405(5).]

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1        (f) Interest and penalties collected in accordance with [the provisions of] this section shall
2    be paid into the Special Administrative Expense Fund.
3        (g) Action required for the collection of sums due under this chapter is subject to the
4    applicable limitations of actions under Title 78, Chapter 12, Limitation of Actions.
5        (2) (a) If an employer fails to file a report when prescribed by the division for the purpose
6    of determining the amount of the employer's contribution due under this chapter, or if the report
7    when filed is incorrect or insufficient or is not satisfactory to the division, the division may
8    determine the amount of wages paid for employment during the period or periods with respect to
9    which the reports were or should have been made and the amount of contribution due from the
10    employer on the basis of such information as it may be able to obtain.
11        (b) The division shall give written notice of the determination to the employer.
12        (c) The determination is considered correct unless:
13        (i) the employer, within ten days after mailing or personal delivery of notice of the
14    determination, applies to the division for a review of the determination as provided in Section
15    35A-4-508; or
16        (ii) unless the division or its authorized representative of its own motion reviews the
17    determination.
18        (d) The amount of contribution so determined shall be subject to penalties and interest as
19    provided in Subsection (1).
20        (3) (a) If, after due notice, any employer defaults in any payment of contributions, interest,
21    or penalties [thereon] on the contributions, or any claimant defaults in any repayment of benefit
22    overpayments and penalties on the overpayments, the amount due shall be collectible by civil
23    action in the name of the division, and the employer adjudged in default shall pay the costs of the
24    action.
25        (b) Civil actions brought under this section to collect contributions, interest or penalties
26    from an employer, or benefit overpayments and penalties from a claimant shall be:
27        (i) heard by the court at the earliest possible date; and [shall be]
28        (ii) entitled to preference upon the calendar of the court over all other civil actions except:
29        (A) petitions for judicial review under this chapter; and
30        (B) cases arising under the workers' compensation law of this state.
31        (c) (i) To collect contributions, interest or penalties, or benefit overpayments and penalties

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1    due from employers or claimants located outside Utah the division may employ private collectors
2    providing debt collection services outside Utah. Accounts may be placed with private collectors
3    only after the employer or claimant has been given a final notice that the division intends to place
4    the account with a private collector for further collection action. The notice shall advise the
5    employer or claimant of the employer's or claimant's rights under this chapter and the applicable
6    rules of the [division] department.
7        (ii) A private collector may receive as compensation up to, but no more than, 25% of the
8    lesser of the amount collected or the amount due, plus the costs and fees of any civil action or
9    post-judgment remedy instituted by the private collector with the approval of the division. The
10    employer or claimant shall be liable to pay the compensation of the collector, costs, and fees in
11    addition to the original amount due.
12        (iii) A private collector is subject to the federal 15 U.S.C. Sec. 1692 et seq. Fair Debt
13    Collection Practices Act.
14        (iv) A civil action may not be maintained by any private collector without specific prior
15    written approval of the division. When division approval is given for civil action against an
16    employer or claimant, the division may cooperate with the private collector to the extent necessary
17    to effect the civil action.
18        (d) (i) Notwithstanding Section 35A-4-312, the division may disclose the contribution,
19    interest, penalties or benefit overpayments and penalties, costs due, the name of the employer or
20    claimant, and the employer's or claimant's address and telephone number when any collection
21    matter is referred to a private collector under Subsection (3)(c).
22        (ii) A private collector is subject to the confidentiality requirements and penalty provisions
23    provided in Section 35A-4-312 and Subsection 35A-4-104(4), except to the extent disclosure is
24    necessary in any civil action to enforce collection of the amounts due.
25        (e) [No] An action taken by the division under this section, [shall] may not be construed
26    to be an election to forego other collection procedures by the division.
27        (4) (a) In the event of any distribution of an employer's assets under an order of any court
28    under the laws of Utah, including any receivership, assignment for benefits of creditors,
29    adjudicated insolvency, composition, or similar proceedings, contributions then or thereafter due
30    shall be paid in full prior to all other claims except taxes and claims for wages of not more than
31    $400 to each claimant, earned within five months of the commencement of the proceeding.

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1        (b) If an employer commences a proceeding in the Federal Bankruptcy Court under any
2    chapter of the Bankruptcy Reform Act of 1978, 11 U.S.C. 101 et seq., as amended, contributions,
3    interest, and penalties then or thereafter due shall be entitled to the priority provided for taxes,
4    interest, and penalties in the Bankruptcy Reform Act of 1978.
5        (5) (a) In addition and as an alternative to any other remedy provided by this chapter and
6    provided that no appeal or other proceeding for review provided by this chapter is then pending
7    and the time for taking it has expired, the division may issue a warrant in duplicate, under its
8    official seal, directed to the sheriff of any county of the state, commanding the sheriff to levy upon
9    and sell the real and personal property of a delinquent employer or claimant found within the
10    sheriff's county for the payment of the contributions due thereon, with the added penalties, interest,
11    or benefit overpayment and penalties, and costs, and to return the warrant to the division and pay
12    into the fund the money collected by virtue [thereof] of the warrant by a time to be therein
13    specified, not more than 60 days from the date of the warrant.
14        (b) Immediately upon receipt of the warrant in duplicate, the sheriff shall file the duplicate
15    with the clerk of the district court in the sheriff's county. The clerk shall enter in the judgment
16    docket, in the column for judgment debtors, the name of the delinquent employer or claimant
17    mentioned in the warrant, and in appropriate columns the amount of the contribution, penalties,
18    interest, or benefit overpayment and penalties, and costs, for which the warrant is issued and the
19    date when the duplicate is filed.
20        (c) The amount of the warrant so docketed shall:
21        (i) have the force and effect of an execution against all personal property of the delinquent
22    employer; and [shall also]
23        (ii) become a lien upon the real property of the delinquent employer or claimant in the
24    same manner and to the same extent as a judgment duly rendered by any district court and
25    docketed in the office of the clerk.
26        (d) After docketing, the sheriff shall:
27        (i) proceed in the same manner as is prescribed by law with respect to execution issued
28    against property upon judgments of a court of record[,]; and [shall]
29        (ii) be entitled to the same fees for the sheriff's services in executing the warrant, to be
30    collected in the same manner.
31        (6) (a) Contributions imposed by this chapter are a lien upon the property of any employer

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1    liable for the contribution required to be collected under this section who shall sell out the
2    employer's business or stock of goods or shall quit business, if the employer fails to make a final
3    report and payment on the date subsequent to the date of selling or quitting business on which they
4    are due and payable as prescribed by rule.
5        (b) An employer's successor, successors, or assigns, if any, shall be required to withhold
6    sufficient of the purchase money to cover the amount of the contributions and interest or penalties
7    due and payable until such time as the former owner shall produce a receipt from the division
8    showing that they have been paid or a certificate stating that no amount is due. If the purchaser
9    of a business or stock of goods fails to withhold sufficient purchase money [as above provided],
10    the purchaser shall be personally liable for the payment of the amount of the contributions required
11    to be paid by the former owner, interest and penalties accrued and unpaid by the former owner,
12    owners, or assignors.
13        (7) (a) [In the event that] If any employer is delinquent in the payment of any contribution,
14    the division may give notice of the amount of the delinquency by registered mail to all persons
15    having in their possession or under their control, any credits or other personal property belonging
16    to the employer, or owing any debts to the employer at the time of the receipt by them of the notice
17    [and thereafter any].
18        (b) Any persons notified under Subsection (7)(a) shall neither transfer nor make any other
19    disposition of the credits, other personal property, or debts until:
20        (i) the division has consented to a transfer or disposition[,]; or [until]
21        (ii) 20 days after the receipt of the notice.
22        [(b)] (c) All persons [so] notified [must,] under Subsection (7)(a) shall within five days
23    after receipt of the notice, advise the division of credits, other personal property, or other debts
24    in their possession, under their control or owing by them, as the case may be.
25        (8) (a) Each employer shall furnish the division necessary information for the proper
26    administration of this chapter and shall include wage information for each employee, for each
27    calendar quarter beginning October 1, 1984. The information shall be furnished at a time, in the
28    form, and to those individuals as the department may by rule require.
29        (b) Each employer shall furnish each individual worker who is separated that information
30    as the department may by rule require, and shall furnish within 48 hours of the receipt of a request
31    from the division a report of the earnings of any individual during the individual's base-period.

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1    The report shall be on a form prescribed by the division and contain all information prescribed by
2    the division.
3        (c) For each failure by an employer to conform to [the provisions of] this Subsection (8)
4    the division shall, unless good cause is shown to the satisfaction of the division for the failure,
5    assess a $50 penalty to be collected in the same manner as contributions due under this chapter.
6        (9) If any person liable to pay any contribution or benefit overpayment imposed by this
7    chapter neglects or refuses to pay the same after demand, the amount, including any interest,
8    additional amount, addition to contributions, or assessable penalty, together with any additional
9    accruable costs, shall be a lien in favor of the division upon all property and rights to property,
10    whether real or personal belonging to the person.
11        (10) (a) The lien imposed by Subsection (9) arises at the time the assessment, as defined
12    in the department rules, is made and continues until the liability for the amount so assessed, or a
13    judgment against the taxpayer arising out of the liability, is satisfied.
14        (b) The lien imposed by Subsection (9) is not valid as against any purchaser, holder of a
15    security interest, mechanics lien holder, or judgment lien creditor until a warrant which meets the
16    requirements of Subsection (5) has been filed with the clerk of the district court. For the purposes
17    of this Subsection (10)(b):
18        (i) "Judgment lien creditor" means a person who obtains a valid judgment of a court of
19    record for recovery of specific property or a sum certain of money, and who in the case of a
20    recovery of money, has a perfected lien under the judgment on the property involved. A judgment
21    lien does not include inchoate liens such as attachment or garnishment liens until they ripen into
22    a judgment. A judgment lien does not include the determination or assessment of a quasi-judicial
23    authority, such as a state or federal taxing authority.
24        (ii) "Mechanics lien holder" means any person who has a lien on real property, or on the
25    proceeds of a contract relating to real property, for services, labor, or materials furnished in
26    connection with the construction or improvement of the property. A person has a lien on the
27    earliest date the lien becomes valid against subsequent purchasers without actual notice, but not
28    before [he] the person begins to furnish the services, labor, or materials.
29        (iii) "Person" means:
30        (A) an individual[,];
31        (B) a trust[,];

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1        (C) an estate[,];
2        (D) a partnership[,];
3        (E) an association[,];
4        (F) a company[,];
5        (G) a limited liability company[,];
6        (H) a limited liability partnership[,]; or
7        (I) a corporation.
8        (iv) "Purchaser" means a person who, for adequate and full consideration in money or
9    money's worth, acquires an interest, other than a lien or security interest, in property [which] that
10    is valid under state law against subsequent purchasers without actual notice.
11        (v) "Security interest" means any interest in property acquired by contract for the purpose
12    of securing payment or performance of an obligation or indemnifying against loss or liability. A
13    security interest exists at any time:
14        (A) the property is in existence and the interest has become protected under the law against
15    a subsequent judgment lien arising out of an unsecured obligation; and
16        (B) to the extent that, at that time, the holder has parted with money or money's worth.
17        Section 110. Section 35A-4-306 (Effective 07/01/97) is amended to read:
18         35A-4-306 (Effective 07/01/97). Charging benefit costs to employer.
19        (1) Benefit costs of former workers of an employer will be charged to the employer in the
20    same proportion as the wages paid by that employer in the base period bear to the total wages of
21    all employers of that worker in the base period, calculated to the nearest five decimal places.
22        (2) Notification by the division that a worker has filed an initial claim for unemployment
23    insurance benefits will be sent to all base-period employers and all subsequent employers prior to
24    the payment of benefits. Any employing unit that receives a notice of the filing of a claim may
25    protest payment of benefits to former employees or charges to the employer if the protest is filed
26    within ten days after the date the notice is issued.
27        (3) On or before November 1 of each year beginning November 1, 1984, each employer
28    shall receive notification of all benefit costs of former workers that have been charged to that
29    employer in the immediately preceding fiscal year. Any employing unit that receives a notice of
30    benefit charges may protest the correctness of the charges if the protest is filed within 30 days after
31    the date the notice is issued.

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1        (4) On written request made by an employer, corrections or modifications of the
2    employer's wages shall be taken into account for the purpose of redetermining [his] the employer's
3    contribution rate. The request shall be made to the [department] division no later than the end of
4    the calendar year following the year for which the contribution rate is assigned. The division may,
5    within a like period upon its own initiative, redetermine an employer's contribution rate.
6        (5) (a) If no later than three years after the date on which any contributions or interest or
7    penalty [thereon] for contributions were due, an employer who has paid the contributions, interest,
8    or penalty may make application for an adjustment in connection with subsequent contribution
9    payments, or for a refund because the adjustment cannot be made, and the division shall determine
10    that the contributions or interest or penalty or any portion thereof was erroneously collected, the
11    division shall allow the employer to make an adjustment, without interest, in connection with
12    subsequent contribution payments by [him] the employer, or if the adjustment cannot be made, the
13    division shall refund that amount, without interest.
14        (b) Refunds of contributions shall be made from the clearing account or the benefit
15    account in the fund, and refunds of interest and penalty shall be made from the special
16    administrative expense fund or from the interest and penalty moneys in the clearing account of the
17    fund.
18        (c) For like cause and within the same period, an adjustment or refund may be made on
19    the division's own initiative.
20        (d) Decisions with respect to applications for refund are final unless the employing unit,
21    within ten days after the mailing or personal delivery of notice of the decision, applies to the
22    division for a review of the decision as provided in Section 35A-4-508.
23        Section 111. Section 35A-4-312 (Effective 07/01/97) is amended to read:
24         35A-4-312 (Effective 07/01/97). Records.
25        (1) Each employing unit shall keep true and accurate work records containing any
26    information the department may prescribe by rule. The records shall be open to inspection and
27    subject to being copied by the division or its authorized representatives at any reasonable time and
28    as often as may be necessary. The employing unit shall make the records available in the state for
29    three years after the calendar year in which the services were rendered.
30        (2) The division may require from any employing unit any sworn or unsworn reports with
31    respect to persons employed by it that the division considers necessary for the effective

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1    administration of this chapter.
2        (3) (a) Except as provided in this section or in Sections 35A-4-103, 35A-4-106, and
3    35A-4-504, information obtained under this chapter or obtained from any individual may not be
4    published or open to public inspection in any manner revealing the employing unit's or individual's
5    identity.
6        (b) The information obtained by the [department] division pursuant to this section may not
7    be used in any court or admitted into evidence in an action or proceeding, except:
8        (i) in an action or proceeding arising out of this chapter;
9        (ii) in an action or proceeding by the department to enforce the workers' compensation
10    coverage requirements of this title; or
11        (iii) where obtained pursuant to a court order.
12        (4) The information obtained by the [department] division pursuant to this section shall
13    be disclosed to:
14        (a) a party to a hearing before an administrative law judge or the division to the extent
15    necessary for the proper presentation of the party's case; or
16        (b) an employer, upon request in writing for any information concerning claims for
17    benefits with respect to the employer's former employees.
18        (5) The information obtained by the [department] division pursuant to this section may be
19    disclosed to:
20        (a) an employee of the department in the performance of the employee's duties in
21    administering this chapter;
22        (b) an employee of the department for the purpose of carrying out the programs
23    administered by the department for the protection of workers in the workplace;
24        (c) an employee of the governor's office and other state governmental agencies
25    administratively responsible for statewide economic development, to the extent necessary for
26    economic development policy analysis and formulation;
27        (d) an employee of a governmental agency that is specifically identified and authorized
28    by federal or state law to receive the information for the purposes stated in the law authorizing the
29    employee of the agency to receive the information;
30        (e) an employee of [a] the department or other governmental agency to the extent the
31    information will aid in the detection or avoidance of duplicate, inconsistent, or fraudulent claims

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1    against public assistance funds, or the recovery of overpayments of public assistance funds;
2        (f) an employee of a law enforcement agency to the extent the disclosure is necessary to
3    avoid a significant risk to public safety or in aid of a felony criminal investigation;
4        (g) an employee of the State Tax Commission or the Internal Revenue Service for the
5    purposes of audit verification or simplification, state or federal tax compliance, verification of
6    Standard Industry Codes, and statistics;
7        (h) an employee of the department, an educational institution, or other governmental entity
8    engaged in programs providing job training to individuals for the purpose of coordinating services
9    and evaluating the effectiveness of the job training programs; or
10        (i) an employee of the Department of Community and Economic Development, for the
11    purpose of periodically publishing in the Directory of Business and Industry, the name, address,
12    telephone number, number of employees by range, Standard Industrial Code, and type of
13    ownership of Utah employers.
14        (6) Disclosure of private information pursuant to Subsection (5), with the exception of
15    Subsections (5)(d) and (f), shall be made only if:
16        (a) the [department] division determines that the disclosure will not have a negative effect
17    on the willingness of employers to report wage and employment information or on the willingness
18    of individuals to file claims for unemployment benefits; and
19        (b) the agency enters into a written agreement with the [department] division in accordance
20    with rules made by the department.
21        (7) The employees of a division of the department other than the Division of Workforce
22    Information and Payment Services or an agency receiving private information from the
23    [department] division under this chapter are subject to the same requirements of privacy and
24    confidentiality and to the same penalties for misuse or improper disclosure of the information as
25    employees of the [department] division. Use of private information obtained from the
26    [department] division by a person, or for a purpose other than one authorized in Subsection (4) or
27    (5) violates Subsection [35-4-104] 35A-4-104(4).
28        Section 112. Section 35A-4-403 (Effective 07/01/97) is amended to read:
29         35A-4-403 (Effective 07/01/97). Eligibility of individual -- Conditions -- Furnishing
30     reports -- Weeks of employment -- Successive benefit years.
31        (1) An unemployed individual is eligible to receive benefits with respect to any week only

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1    if the division finds:
2        (a) The individual has made a claim for benefits with respect to that week in accordance
3    with any rules the department may prescribe.
4        (b) The individual has registered for work at, and thereafter continued to report at, an
5    employment office, in accordance with any rules the department may prescribe.
6        (c) The individual is able to work and is available for work during each and every week
7    with respect to which [he] the individual made a claim for benefits under this chapter, and acted
8    in good faith in an active effort to secure employment, except as provided in Subsection (3).
9        (d) The individual has been unemployed for a waiting period of one week with respect to
10    each benefit year. No week shall be counted as a week of unemployment for the purpose of this
11    subsection:
12        (i) unless it occurs within the benefit year that includes the week with respect to which [he]
13    the individual claims benefits;
14        (ii) if benefits have been paid with respect to the claim; or
15        (iii) unless the individual was eligible for benefits with respect thereto as provided in this
16    section and Sections 35A-4-401[, 35A-4-403,] and 35A-4-405, except for the requirement of
17    Subsection (1)(d).
18        (e) (i) The individual has furnished the division separation and other [reports containing
19    any] information the department may by rule prescribe.
20        (ii) Subsection (1)(e) [shall] does not apply if [he] the individual proves to the satisfaction
21    of the division that [he] the individual had good cause for failing to furnish [these reports] the
22    information.
23        (iii) If any employer fails to furnish reports concerning separation and employment as
24    required by this chapter and rules adopted under the chapter, the division shall on the basis of such
25    information as it may obtain, determine the eligibility and insured status of any individual affected
26    by that failure and the employer is not considered to be an interested party to any such
27    determination.
28        (f) The individual's base period wages were at least 1 1/2 times [his] the individual's wages
29    for insured work paid during that quarter of [his] the individual's base period in which [his] the
30    individual's wages were highest or [he] the individual shows to the satisfaction of the division that
31    [he] the individual worked at least 20 weeks in insured work during [his] the individual's base

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1    period and earned wages of at least 5% of the monetary base period wage requirement each week,
2    rounded to the nearest whole dollar, provided that [his] the individual's total base-period wages
3    were not less than the monetary base period wage requirement. The monetary base period wage
4    requirement is defined in Section 35A-4-201.
5        (g) The individual applying for benefits in a successive benefit year has had subsequent
6    employment since the effective date of the preceding benefit year equal to at least six times [his]
7    the individual's weekly benefit amount, in insured work, and [his] the individual's total wages and
8    employment experience in [his] the individual's base period meet the requirements specified in
9    Subsection (1)(f).
10        (2) (a) An individual in training with the approval of the division is not ineligible to
11    receive benefits by reason of nonavailability for work, failure to search for work, refusal of suitable
12    work, or failure to apply for or to accept suitable work with respect to any week [he] the individual
13    is in the approved training.
14        (b) Notwithstanding any other provision of this chapter, no otherwise eligible individual
15    shall be denied benefits for any week:
16        (i) because [he] the individual is in training approved under Section 236 (a)(1) of the Trade
17    Act of 1974, 19 U.S.C. 2296(a)[, nor shall he be denied benefits];
18        (ii) for leaving work to enter [that] training, [provided] described in Subsection (2)(b)(i)
19    if the work left is not suitable employment[,]; or
20        (iii) because of the application to any such week in training of provisions in this law or any
21    applicable federal unemployment compensation law relating to availability for work, active search
22    for work, or refusal to accept work.
23        (c) For purposes of this Subsection (2), "suitable employment" means work of a
24    substantially equal or higher skill level than the individual's past adversely affected employment,
25    as defined for purposes of the Trade Act of 1974, and wages for that work at not less than 80% of
26    the individual's average weekly wage as determined for the purposes of the Trade Act of 1974.
27        (3) The department may, by rule, waive or alter either or both of the requirements of
28    Subsections (1)(a) and (b) as to individuals attached to regular jobs and as to other types of cases
29    or situations with respect to which it finds that compliance with the requirements would be
30    oppressive, or would be inconsistent with the purposes of this chapter as long as the rules do not
31    conflict with Subsection 35A-4-401(1).

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1        Section 113. Section 35A-4-501 (Effective 07/01/97) is amended to read:
2         35A-4-501 (Effective 07/01/97). Unemployment Compensation Fund --
3     Administration -- Contents -- Treasurer and custodian -- Separate accounts -- Use of money
4     requisitioned -- Advances under Social Security Act.
5        (1) There is established the Unemployment Compensation Fund, separate and apart from
6    all public moneys or funds of this state, that shall be administered by the [division] department
7    exclusively for the purposes of this chapter. This fund shall consist of the following moneys, all
8    of which shall be mingled and undivided:
9        (a) all contributions collected under this chapter, less refunds of contributions made from
10    the clearing account under Subsection 35A-4-306(5);
11        (b) interest earned upon any moneys in the fund;
12        (c) any property or securities acquired through the use of moneys belonging to the fund;
13        (d) all earnings of the property or securities;
14        (e) all money credited to this state's account in the unemployment trust fund under Section
15    903 of the Social Security Act, 42 U.S.C. 1101 et seq., as amended; and
16        (f) all other moneys received for the fund from any other source.
17        (2) (a) The state treasurer shall be the treasurer and custodian of the fund, and shall
18    administer this fund in accordance with the directions of the division and shall pay all warrants
19    drawn upon it by the division or its duly authorized agent in accordance with rules made by the
20    department. The division shall maintain within the fund three separate accounts:
21        (i) a clearing account;
22        (ii) an unemployment trust fund account; and
23        (iii) a benefit account.
24        (b) All moneys payable to the fund, upon receipt by the division, shall be immediately
25    deposited in the clearing account.
26        (c) All moneys in the clearing account after clearance shall, except as otherwise provided
27    in this section, be deposited immediately with the secretary of the treasury of the United States of
28    America to the credit of the account of this state in the unemployment trust fund, established and
29    maintained under Section 904 of the Social Security Act, 42 U.S.C. 1104, as amended, any
30    provisions of law in this state relating to the deposit, administration, release, or disbursement of
31    moneys in the possession or custody of this state to the contrary notwithstanding. Refunds of

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1    contributions payable under Subsections 35A-4-205(2) and 35A-4-306(5) may be paid from the
2    clearing account or the benefit account.
3        (d) The benefit account shall consist of all moneys requisitioned from this state's account
4    in the unemployment trust fund in the United States treasury.
5        (e) Moneys in the clearing and benefit accounts may be deposited in any depository bank
6    in which general funds of this state may be deposited, but no public deposit insurance charge or
7    premium may be paid out of the fund.
8        (f) Moneys in the clearing and benefit accounts may not be commingled with other state
9    funds, but shall be maintained in separate accounts on the books of the depository bank. The
10    money shall be secured by the depository bank to the same extent and in the same manner as
11    required by the general depository law of this state. Collateral pledged for this purpose shall be
12    kept separate and distinct from any collateral pledged to secure other funds of the state.
13        (g) The state treasurer shall be liable on [his] the state treasurer's official bond for the
14    faithful performance of [his] the state treasurer's duties in connection with the unemployment
15    compensation fund provided for under this chapter. The liability on the official bond shall be
16    effective immediately upon the enactment of this provision, and that liability shall exist in addition
17    to the liability upon any separate bond existent on the effective date of this provision, or which
18    may be given in the future. All sums recovered for losses sustained by the fund shall be deposited
19    therein.
20        (3) (a) (i) Moneys requisitioned from this state's account in the unemployment trust fund
21    shall, except as set forth in this section, be used exclusively for the payment of benefits and for
22    refunds of contributions under Subsections 35A-4-205(2) and 35A-4-306(5).
23        (ii) The department shall from time to time requisition from the unemployment trust fund
24    such amounts, not exceeding the amounts standing to this state's account in the fund, as it
25    considers necessary for the payment of those benefits and refunds for a reasonable future period.
26        (iii) Upon receipt the treasurer shall deposit the moneys in the benefit account and shall
27    pay benefits and refunds from the account by means of warrants issued by the division in
28    accordance with rules prescribed by the department. Expenditures of these moneys in the benefit
29    account and refunds from the clearing account are not subject to any provisions of law requiring
30    specific appropriations or other formal release by state officers of money in their custody.
31        (b) Moneys in this state's account in the unemployment trust fund that were collected

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1    under the Federal Unemployment Tax Act, 26 U.S.C. 3301 et seq., and credited to this state under
2    Section 903 of the Social Security Act, 42 U.S.C. 1101 et seq., as amended may be requisitioned
3    from this state's account and used in the payment of expenses incurred by the [division] department
4    for the administration of this state's unemployment law and public employment offices, if the
5    expenses are incurred and the withdrawals are made only after and under a specific appropriation
6    of the Legislature that specifies:
7        (i) the purposes and amounts;
8        (ii) that the moneys may not be obligated after the two-year period that began on the date
9    of the enactment of the appropriation law; and
10        (iii) that the total amount which may be used during a fiscal year shall not exceed the
11    amount by which the aggregate of the amounts credited to this state's account under Section 903
12    of the Social Security Act, 42 U.S.C. 1101 et seq., as amended, during the fiscal year and the 34
13    preceding fiscal years, exceeds the aggregate of the amounts used by this state for administration
14    during the same 35 fiscal years.
15        (A) For the purpose of Subsection (3)(b)(iii), amounts used during any fiscal year shall be
16    charged against equivalent amounts that were first credited and that have not previously been so
17    charged. [No] An amount used during any fiscal year may not be charged against any amount
18    credited during a fiscal year earlier than the 34th preceding fiscal year.
19        (B) Except as appropriated and used for administrative expenses, as provided in this
20    section, moneys transferred to this state under Section 903 of the Social Security Act as amended,
21    may be used only for the payment of benefits.
22        (C) Any moneys used for the payment of benefits may be restored for appropriation and
23    use for administrative expenses, upon request of the governor, under Section 903(c) of the Social
24    Security Act.
25        (D) Money appropriated as provided in this section for the payment of expenses of
26    administration shall be requisitioned as needed for the payment of obligations incurred under the
27    appropriation and, upon requisition, shall be deposited in the employment security administration
28    fund from which the payments shall be made.
29        (E) The division shall maintain a separate record of the deposit, obligation, expenditure,
30    and return of funds deposited.
31        (F) Money deposited shall, until expended, remain a part of the unemployment fund and,

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1    if not expended, shall be returned promptly to the account of this state in the unemployment trust
2    fund.
3        (G) The moneys available by reason of this legislative appropriation shall not be expended
4    or available for expenditure in any manner that would permit their substitution for, or a
5    corresponding reduction in, federal funds that would in the absence of the moneys be available to
6    finance expenditures for the administration of this chapter.
7        (c) Any balance of moneys requisitioned from the unemployment trust fund that remains
8    unclaimed or unpaid in the benefit account after the expiration of the period for which the sums
9    were requisitioned shall either be deducted from estimates for, and may be utilized for the payment
10    of, benefits and refunds during succeeding periods, or in the discretion of the division, shall be
11    redeposited with the secretary of the treasury of the United States of America to the credit of this
12    state's account in the unemployment trust fund, as provided in Subsection (2).
13        (4) (a) The provisions of Subsections (1), (2), and (3), to the extent that they relate to the
14    unemployment trust fund, shall be operative only so long as the unemployment trust fund
15    continues to exist and so long as the secretary of the treasury of the United States of America
16    continues to maintain for this state a separate book account of all funds deposited therein by the
17    state for benefit purposes, together with this state's proportionate share of the earnings of the
18    unemployment trust fund, from which no other state is permitted to make withdrawals.
19        (b) If and when the unemployment trust fund ceases to exist, or the separate book account
20    is no longer maintained, all moneys belonging to the unemployment compensation fund of this
21    state shall be administered by the division as a trust fund for the purpose of paying benefits under
22    this chapter, and the division shall have authority to hold, invest, transfer, sell, deposit, and release
23    the moneys, and any properties, securities, or earnings acquired as an incident to the
24    administration. The moneys shall be invested in the following readily marketable classes of
25    securities; bonds or other interest-bearing obligations of the United States of America, of this state,
26    or of any county, city, town, or school district of this state, at current market prices for the bonds.
27    The investment shall at all times be so made that all the assets of the fund shall always be readily
28    convertible into cash when needed for the payment of benefits.
29        Section 114. Section 35A-4-502 (Effective 07/01/97) is amended to read:
30         35A-4-502 (Effective 07/01/97). Administration of Employment Security Act.
31        (1) (a) The department shall administer this chapter through the division.

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1        (b) The department may make, amend, or rescind any rules and special orders necessary
2    for the administration of this chapter.
3        (c) The division may:
4        (i) employ persons;
5        (ii) make expenditures;
6        (iii) require reports;
7        (iv) make investigations;
8        (v) make audits of any or all funds provided for under this chapter when necessary; and
9        (vi) take any other action it considers necessary or suitable to that end.
10        [(d) (i) The department shall create the division pursuant to Section 35A-1-202 for the
11    purpose of administering this chapter.]
12        [(ii) All personnel of that division, including a full-time administrator, shall be employed
13    on a nonpartisan merit basis.]
14        [(iii) The division director as the full-time administrator shall, with the approval of the
15    department, determine the division's organization and methods of procedure in accordance with
16    this chapter, and shall, under the direction of the department, supervise the department personnel
17    and its operations.]
18        [(iv) For purposes of this chapter, the department shall have an official seal which shall
19    be judicially noticed.]
20        [(e)] (d) No later than the first day of October of each year, the department shall submit
21    to the governor a report covering the administration and operation of this chapter during the
22    preceding calendar year and shall make any recommendations for amendments to this chapter as
23    the department considers proper.
24        [(f)] (e) (i) The report shall include a balance sheet of the moneys in the fund in which
25    there shall be provided, if possible, a reserve against liability in future years to pay benefits in
26    excess of the then current contributions, which reserve shall be set up by the division in accordance
27    with accepted actuarial principles on the basis of statistics of employment, business activity, and
28    other relevant factors for the longest possible period.
29        (ii) Whenever the department believes that a change in contribution or benefit rates will
30    become necessary to protect the solvency of the fund, it shall promptly inform the governor and
31    the Legislature and make appropriate recommendations.

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1        (2) (a) The department may make, amend, or rescind rules in accordance with Title 63,
2    Chapter 46a, Utah Administrative Rulemaking Act.
3        (b) The director of the division or the director's designee may adopt, amend, or rescind
4    special orders after appropriate notice and opportunity to be heard. Special orders become
5    effective ten days after notification or mailing to the last-known address of the individuals or
6    concerns affected thereby.
7        (3) The director of the division or the director's designee shall cause to be printed for
8    distribution to the public:
9        (a) the text of this chapter;
10        (b) the department's rules pertaining to this chapter;
11        (c) the department's annual reports to the governor required by Subsection (1)[(e)](d); and
12        (d) any other material the director of the division or the director's designee considers
13    relevant and suitable and shall furnish them to any person upon application.
14        [(4) (a) The division shall appoint on a nonpartisan merit basis, fix the compensation, and
15    prescribe the duties and powers of officers, accountants, attorneys, experts, and other personnel
16    as necessary in the performance of its duties, in accordance with the requirements of Title 67,
17    Chapter 19, and the rules of the Department of Human Resource Management.]
18        [(b) The division shall hold or provide for holding examinations to determine the technical
19    and professional qualifications of applicants for positions in the division, and provide for annual
20    merit ratings of employees in the division to ascertain whether the employees are maintaining the
21    eligibility standards prescribed by the department and those promulgated by the Secretary of
22    Labor.]
23        [(c) No employee may be separated or demoted so long as he meets the eligibility
24    standards of performance, as set forth in Title 67, Chapter 19, and the rules of the Department of
25    Human Resource Management.]
26        [(d) The division may delegate to any person so appointed the power and authority it
27    considers reasonable and proper for the effective administration of this chapter and may bond any
28    person handling moneys or signing checks under this authority.]
29        [(e) The division may provide for the maintenance of the merit system required under this
30    section in cooperation and conjunction with any merit system applicable to any state agency or
31    agencies which meets the standards of the department and those promulgated by the Secretary of

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1    Labor.]
2        [(f)] (4) (a) The department may, when permissible under federal and state law, make
3    arrangements that will permit individuals employed under this chapter to voluntarily elect
4    coverage under the United States Civil Service Retirement System with respect to past as well as
5    future services.
6        [(g)] (b) An employee of the division who no longer may participate in a federal or other
7    retirement system as a result of a change in status or appropriation under this chapter may purchase
8    credit in a retirement system created under Title 49, Chapter 3, Public Employees'
9    Noncontributory Retirement Act, with the employee's assets from the federal or other retirement
10    system in which the employee may no longer participate.
11        (5) There is created an Employment Security Advisory Council composed of the members
12    listed in Subsections (5)(a) and (b).
13        (a) The executive director shall appoint:
14        (i) not less than five employer representatives chosen from individuals recommended by
15    employers, associations, or groups;
16        (ii) not less than five employee representatives chosen from individuals recommended by
17    employees, associations, or groups; and
18        (iii) five public representatives chosen at large.
19        (b) (i) The executive director or the executive director's designee shall serve as a nonvoting
20    member of the council.
21        (ii) Each member of the Workforce Appeals Board shall serve as nonvoting, ex officio
22    members of the council.
23        (c) The employee representatives shall include both union and nonunion employees who
24    fairly represent the percentage in the labor force of the state.
25        (d) Employers and employees shall consider nominating members of groups who
26    historically may have been excluded from the council, such as women, minorities, and individuals
27    with disabilities.
28        (e) (i) Except as required by Subsection (5)(e)(ii), as terms of current council members
29    expire, the executive director shall appoint each new member or reappointed member to a
30    four-year term.
31        (ii) Notwithstanding the requirements of Subsection (5)(e)(i), the executive director shall,

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1    at the time of appointment or reappointment, adjust the length of terms to ensure that the terms of
2    council members are staggered so that approximately half of the council is appointed every two
3    years.
4        (f) When a vacancy occurs in the membership for any reason, the replacement shall be
5    appointed for the unexpired term.
6        (g) The executive director shall terminate the term of any council member who ceases to
7    be representative as designated by [his] the council member's original appointment.
8        (h) The council shall advise the department, the division, and the Legislature in
9    formulating policies and discussing problems related to the administration of this chapter and in
10    assuring impartiality and freedom from political influence in the solution of those problems.
11        (i) The executive director or the executive director's designee shall serve as chair of the
12    council and call the necessary meetings.
13        (j) (i) Members shall receive no compensation or benefits for their services, but may
14    receive per diem and expenses incurred in the performance of the member's official duties at the
15    rates established by the Division of Finance under Sections 63A-3-106 and 63A-3-107.
16        (ii) Members may decline to receive per diem and expenses for their service.
17        (k) The department shall provide staff support to the council.
18        (6) (a) The division, with the advice and aid of its advisory council shall take all
19    appropriate steps to:
20        (i) reduce and prevent unemployment;
21        (ii) encourage and assist in the adoption of practical methods of vocational training,
22    retraining, and vocational guidance;
23        (iii) investigate, recommend, advise, and assist in the establishment and operation by the
24    state of reserves for public works to be used in times of business depression and unemployment;
25        (iv) promote the creation and development of job opportunities and the reemployment of
26    unemployed workers throughout the state in every way that may be feasible;
27        (v) plan, coordinate, organize, or direct economic development programs as are necessary
28    to maintain or create job opportunities;
29        (vi) cooperate with local communities, industries, and organizations in encouraging and
30    promoting the full development of the state's mineral, water, and other natural resources;
31        (vii) appraise the agricultural and industrial potential of the state; and

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1        (viii) carry on activities and organize, coordinate, and publish the results of investigations
2    and research studies.
3        (b) To accomplish these purposes, the division may enter into agreements with
4    governmental or other agencies.
5        (7) In the discharge of the duties imposed by this chapter, [the administrative law judge
6    or] the division director or the director's designee as designated by department rule, may
7    administer oaths and affirmations, take depositions, certify to official acts, and issue subpoenas
8    to compel the attendance of witnesses and the production of books, papers, correspondence,
9    memoranda, and other records necessary as evidence in connection with a disputed matter or the
10    administration of this chapter.
11        (8) (a) In case of contumacy by or refusal to obey a subpoena issued to any person, any
12    court of this state within the jurisdiction of which the inquiry is carried on or within the
13    jurisdiction of which the person guilty of contumacy or refusal to obey is found or resides or
14    transacts business, upon application by [an administrative law judge, the Workforce Appeals
15    Board, or] the director of the division or the director's designee shall have jurisdiction to issue to
16    that person an order requiring the person to appear before the director or the director's designee[,
17    an administrative law judge, the Workforce Appeals Board, or the director or the director's
18    designee] to produce evidence, if so ordered, or give testimony regarding the matter under
19    investigation or in question. Any failure to obey that order of the court may be punished by the
20    court as contempt.
21        (b) Any person who, without just cause, fails or refuses to attend and testify or to answer
22    any lawful inquiry or to produce books, papers, correspondence, memoranda, and other records,
23    if it is in [his] that person's power to do so, in obedience to a subpoena of [an administrative law
24    judge, or the Workforce Appeals Board, or] the director [of the division] or the director's designee
25    shall be punished [by a fine of not less than $20 nor more than $200 or by imprisonment for not
26    longer than 60 days or by both fine and imprisonment] as provided in Subsection 35A-1-304(1).
27    Each day the violation continues is a separate offense.
28        [(9) (a) No] (c) A person may not be excused from attending and testifying or from
29    producing books, papers, correspondence, memoranda, and other records before the division or
30    in obedience to the subpoena of the[, or any] division in any cause or proceeding before the
31    division, on the ground that the testimony or evidence, documentary or otherwise, required of

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1    [him] that person may tend to incriminate [him] that person or subject [him] that person to a
2    penalty or forfeiture.
3        [(b) No] (d) An individual may not be prosecuted or subjected to any penalty or forfeiture
4    for or on account of any transaction, matter, or thing concerning which [he] that individual is
5    compelled, after having claimed [his] the individual's privilege against self-incrimination, to testify
6    or produce evidence, documentary or otherwise, except that the individual testifying is not exempt
7    from prosecution and punishment for perjury committed while testifying.
8        [(10)] (9) (a) In the administration of this chapter, the division shall cooperate with the
9    United States Department of Labor to the fullest extent consistent with the provisions of this
10    chapter and shall take action, through the adoption of appropriate rules by the department and
11    administrative methods and standards, as necessary to secure to this state and its citizens all
12    advantages available under the provisions of the Social Security Act that relate to unemployment
13    compensation, the Federal Unemployment Tax Act, the Wagner-Peyser Act, and the Federal-State
14    Extended Unemployment Compensation Act of 1970.
15        (b) In the administration of Section 35A-4-402, which is enacted to conform with the
16    requirements of the Federal-State Extended Unemployment Compensation Act of 1970, 26 U.S.C.
17    3304, the division shall take any action necessary to ensure that the section is interpreted and
18    applied to meet the requirements of the federal act, as interpreted by the United States Department
19    of Labor and to secure to this state the full reimbursement of the federal share of extended and
20    regular benefits paid under this chapter that are reimbursable under the federal act.
21        Section 115. Section 35A-4-504 (Effective 07/01/97) is amended to read:
22         35A-4-504 (Effective 07/01/97). State Employment Service -- Agreements with other
23     authorities -- Federal system accepted -- Appropriation.
24        (1) For purposes of this section "division" means the Division of Employment
25    Development.
26        [(1)] (2) The Utah state employment service is established in the division.
27        [(2)] (3) (a) The division, in the conduct of such service, shall establish and maintain free
28    public employment offices in such manner and in such places as may be necessary for the proper
29    administration of this chapter and for the purposes of performing the functions as are within the
30    purview of the Act of Congress entitled "An act to provide for the establishment of a national
31    employment system and for co-operation with the states in the promotion of such system, and for

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1    other purposes," approved June 6, 1933, 48 Stat. 113; U. S. Code, Title 29, Section 49 (c) as
2    amended, hereinafter referred to as the "Wagner-Peyser Act."
3        (b) The division shall consult with regional councils on workforce services when
4    determining the location of public employment offices.
5        (c) Public employment offices may be located in connection with or as an integrated part
6    of any of the employment centers established under Section 35A-2-203.
7        [(3)] (4) The provisions of the Wagner-Peyser Act, 29 U.S.C. 49-49c, 49g, 49h, 49k, and
8    557, are accepted by this state, and the department is designated and constitutes the agency of this
9    state for the purposes of the act.
10        [(4)] (5) All moneys received by this state under the Wagner-Peyser Act shall be paid into
11    the Employment Security Administration Fund and shall be expended solely for the maintenance
12    of the state system of public employment offices. [There is appropriated to the Employment
13    Security Administration Fund for the same purpose, from any money in the state treasury not
14    otherwise appropriated, the sum of $24,601.92 for the period from July 1, 1941, to June 30, 1943,
15    inclusive, and thereafter such sums biannually as may be necessary.]
16        [(5)] (6) (a) For the purpose of establishing and maintaining free public employment
17    offices, and promoting the use of their facilities, the division is authorized to enter into agreements
18    with the railroad retirement board, or any other agency of the United States, or of this or any other
19    state, charged with the administration of any law whose purposes are reasonably related to the
20    purposes of this chapter, and as a part of such agreements may accept moneys, services or quarters
21    as a contribution to the maintenance of the state system of public employment offices or as
22    reimbursement for services performed.
23        (b) All moneys received or appropriated for such purposes shall be paid into the
24    Employment Security Administration Fund.
25        Section 116. Section 35A-4-505 (Effective 07/01/97) is amended to read:
26         35A-4-505 (Effective 07/01/97). Employment Security Administration Fund.
27        (1) (a) There is created in the state treasury an Employment Security Administration Fund.
28        (b) All moneys which are deposited or paid into this fund shall be continuously available
29    to the division for expenditure in accordance with the provisions of this chapter and shall not lapse
30    at any time or be transferred to any other fund.
31        (c) All moneys in this fund which are received from the Secretary of Labor under Title III

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1    of the Social Security Act, 42 U.S.C. 501 et seq. shall be expended solely for the purposes and in
2    the amounts found necessary, after reasonable notice and opportunity for hearing to the division,
3    by the Secretary of Labor for the proper and efficient administration of this chapter.
4        (2) The fund shall consist of all moneys appropriated by this state, all moneys received
5    from the United States of America, or any agency thereof, including the Secretary of Labor, and
6    all moneys received from any other source for such purpose, and shall also include any moneys
7    received from any agency of the United States or any other state as compensation for services or
8    facilities supplied to such agency, any amounts received pursuant to any surety bond or insurance
9    policy or from other sources for losses sustained by the Employment Security Administration Fund
10    or by reason of damage to equipment or supplies purchased from moneys in such fund, and any
11    proceeds realized from the sale or disposition of any equipment or supplies which may no longer
12    be necessary for the proper administration of this chapter.
13        (3) (a) All moneys in this fund shall be deposited, administered, and disbursed, in
14    accordance with the directions of the department.
15        (b) The state treasurer shall pay all warrants drawn upon it by the division in accordance
16    with rules prescribed by the department.
17        (c) Moneys in this fund shall not be commingled with other state funds[, but shall be
18    maintained in a separate account on the books of a depository bank].
19        (d) The moneys shall be secured by the depository in which they are held to the same
20    extent and in the same manner as required by the general depository law of the state, and collateral
21    pledged shall be maintained in a separate custody account.
22        (4) The state treasurer shall be liable on his official bond for the faithful performance of
23    his duties in connection with the employment security administration fund provided for under this
24    chapter. Such liability on the official bond shall be effective immediately upon the enactment of
25    this provision, and such liability shall exist in addition to any liability upon any separate bond
26    existent on the effective date of this provision, or which may be given in the future. All sums
27    recovered on any surety bond for losses sustained by the employment security administration fund
28    shall be deposited in said fund.
29        (5) If any moneys received after June 30, 1941, from the Secretary of Labor under Title
30    III of the Social Security Act, or any unencumbered balances in the employment security
31    administration fund as of that date, are found, after reasonable notice and opportunity for hearing

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1    to the division, by the Secretary of Labor to have been lost or been expended for purposes other
2    than, or in amounts in excess of, those found necessary by the Secretary of Labor for the proper
3    administration of this chapter, the moneys shall be replaced within a reasonable time by moneys
4    appropriated for this purpose from the general funds of this state to the Employment Security
5    Administration Fund for expenditure as provided in Subsection (1). Upon receipt of notice of such
6    a finding by the Secretary of Labor, the division shall promptly report the amount required for
7    such replacement to the governor.
8        Section 117. Section 35A-4-506 (Effective 07/01/97) is amended to read:
9         35A-4-506 (Effective 07/01/97). Special Administrative Expense Fund.
10        (1) There is created in the state treasury a Special Administrative Expense Fund.
11        (2) (a) All interest and penalties collected under this chapter, less refunds made under
12    Subsection 35A-4-306(5), shall be paid into this fund from the clearing account of the fund at the
13    end of each calendar month.
14        (b) Any voluntary contributions tendered as a contribution to this fund and any other
15    moneys received for that purpose shall be paid into this fund.
16        (c) The moneys shall not be expended or available for expenditure in any manner that
17    would permit their substitution for, or a corresponding reduction in, federal funds that would in
18    the absence of those moneys be available to finance expenditures for the administration of this
19    chapter.
20        (3) Nothing in this section shall prevent those moneys from being used as a revolving fund
21    to cover expenditures, necessary and proper under this chapter, for which federal funds have been
22    duly requested but not yet received subject to the charging of those expenditures against the funds
23    when received.
24        (4) The moneys in this fund shall be deposited, administered, and dispersed in accordance
25    with the directions of the Legislature.
26        (5) The moneys shall be used for the payment of costs of administration that are found not
27    to have been properly and validly chargeable against federal grants or other funds received for or
28    in the Employment Security Administration Fund, and may be used for the payment of refunds of
29    interest and penalties under Subsection 35A-4-306(5). The moneys shall be available either to
30    satisfy the obligations incurred by the division directly or by requesting the state treasurer to
31    transfer the required amounts from the Special Administrative Expense Fund to the Employment

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1    Security Administration Fund.
2        (6) The moneys in this fund are hereby specifically made available to replace within a
3    reasonable time any moneys received by this state under Section 302 of the Federal Social Security
4    Act, 42 U.S.C. 502, as amended, that because of any action of contingency have been lost or have
5    been expended for purposes other than or in amounts in excess of those necessary for the proper
6    administration of this chapter.
7        (7) The moneys in this fund shall be continuously available to the division for expenditure
8    in accordance with this section and shall not lapse at any time or be transferred to any other fund
9    except as directed by the Legislature.
10        (8) The state treasurer shall pay all warrants drawn upon it by the division or its duly
11    authorized agent in accordance with such rules as the department shall prescribe.
12        (9) Moneys in this fund shall not be commingled with other state funds, unless authorized
13    by the Legislature to be deposited in the General Fund[, but shall be maintained in a separate
14    account on the books of a depository bank]. The moneys, if deposited in a separate account shall
15    be secured by the depository in which they are held to the same extent and in the same manner as
16    required by the general depository law of the state and collateral pledged shall be maintained in
17    a separate custody account.
18        (10) The state treasurer shall be liable on [his] the state treasurer's official bond for the
19    faithful performance of [his] the treasurer's duties in connection with the special administrative
20    expense fund provided for under this chapter. Liability on the official bond shall exist in addition
21    to any liability upon any separate bond existent on the effective date of this provision or that may
22    be given in the future. All sums recovered on any surety bond losses sustained by the special
23    administrative expense fund shall be deposited in that fund or in the General Fund if so directed
24    by the Legislature.
25        Section 118. Section 35A-4-508 (Effective 07/01/97) is amended to read:
26         35A-4-508 (Effective 07/01/97). Review of decision or determination by division --
27     Administrative law judge -- Division of adjudication -- Workforce Appeals Board -- Judicial
28     review by Court of Appeals -- Exclusive procedure.
29        (1) (a) A review of a decision or determination involving contribution liability or
30    applications for refund of contributions shall be made by the division in accordance with the
31    provisions of this chapter.

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1        (b) The division in conducting the review may in its discretion:
2        (i) refer the matter to an administrative law judge;
3        (ii) decide the application for review on the basis of any facts and information as may be
4    obtained; or
5        (iii) hear argument or hold an informal hearing to secure further facts.
6        (c) After the review, notice of the decision shall be given to the employing unit.
7        (d) The decision made pursuant to the review is the final decision of the division unless,
8    within ten days after the date of notification or mailing of the decision, a further appeal is initiated
9    under the provisions of this section.
10        (2) (a) Within ten days after the mailing or personal delivery of a notice of a determination
11    or decision rendered following a review under Subsection (1), an employing unit may appeal to
12    the Division of Adjudication by filing a notice of appeal.
13        (b) The administrative law judge shall give notice of the pendency of the appeal to the
14    division and any parties entitled to notice as provided by department rule. The administrative law
15    judge shall receive into the record of the appeal any documents or other records provided by the
16    division, and may obtain or request any additional documents or records held by the division or
17    any of the parties that the administrative law judge considers relevant to a proper determination
18    of the appeal.
19        (c) After affording the parties reasonable opportunity for a fair hearing, the administrative
20    law judge shall make findings and conclusions and on that basis affirm, modify, or reverse the
21    determination of the division.
22        (d) The parties and the division shall be promptly notified of the administrative law judge's
23    decision and furnished a copy of the decision and findings.
24        (e) The decision of the administrative law judge is considered to be final unless within 30
25    days after the date of mailing of notice to the parties' last known addresses or in the absence of a
26    mailing within 30 days after the delivery of notice, further appeal is initiated under this section and
27    Chapter 1, Part 3, Adjudicative Proceedings.
28        (3) (a) The director of the Division of Adjudication shall assign an impartial, salaried
29    administrative law judge [selected in accordance with Subsection 35A-4-502(4)(d)] to hear and
30    decide referrals or appeals relating to claims for benefits or to make decisions affecting employing
31    units under this chapter.

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1        (b) All records on appeals shall be maintained in the offices of the Division of
2    Adjudication. The records shall include an appeal docket showing the receipt and disposition of
3    the appeals on review.
4        (4) (a) The Workforce Appeals Board may review and decide an appeal from a decision
5    of an administrative law judge issued under this chapter or delegate the review and decision to a
6    review panel in accordance with Section 35A-1-307.
7        (b) Every case shall be decided by the full three-member Workforce Appeals Board or by
8    a full three-member panel.
9        (5) (a) An appeal filed by any party or the Division of [Employment Development]
10    Workforce Information and Payment Services from a decision of an administrative law judge in
11    accordance with [Section 35A-4-508] Subsection (2)(e) and any applicable rules of the department
12    shall be allowed as of right.
13        (b) Upon appeal the Workforce Appeals Board or review panel may on the basis of the
14    evidence previously submitted in the case, or upon the basis of any additional evidence it requires,
15    affirm, modify, or reverse the findings, conclusions, and decision of the administrative law judge.
16        (c) The Workforce Appeals Board or review panel shall promptly notify the parties to any
17    proceedings before it of its decision, including its findings and conclusions, and the decision is
18    final unless within 30 days after mailing of notice to the parties' last-known addresses or in the
19    absence of mailing within 30 days after the delivery of the notification further appeal is initiated
20    under this section.
21        (6) (a) The manner in which disputed matters are presented, the reports required from the
22    claimant and employing units, and the conduct of hearings and appeals shall be in accordance with
23    rules prescribed by the department for determining the rights of the parties, whether or not the
24    rules conform to common-law or statutory rules of evidence and other technical rules of procedure.
25        (b) When the same or substantially similar evidence is relevant and material to the matters
26    in issue in more than one proceeding, the same time and place for considering each matter may be
27    fixed, hearings jointly conducted, a single record of the proceedings made, and evidence
28    introduced with respect to one proceeding considered as introduced in the others, if in the
29    judgment of the administrative law judge having jurisdiction of the proceedings, the consolidation
30    would not be prejudicial to any party.
31        (7) (a) Except for reconsideration of any determination under [the provisions of]

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1    Subsection 35A-4-406(2), any right, fact, or matter in issue, directly passed upon or necessarily
2    involved in a determination or redetermination that has become final, or in a decision on appeal
3    under this section that has become final, is conclusive for all the purposes of this chapter as
4    between the division, the claimant, and all employing units that had notice of the determination,
5    redetermination, or decision. Subject to appeal proceedings and judicial review as provided in this
6    section, any determination, redetermination, or decision as to rights to benefits is conclusive for
7    all the purposes of this chapter and is not subject to collateral attack by any employing unit,
8    irrespective of notice.
9        (b) Any findings of fact or law, judgment, conclusion, or final order made by an
10    unemployment insurance hearing officer, administrative law judge, or any person with the
11    authority to make findings of fact or law in any action or proceeding before the unemployment
12    insurance appeals tribunal, is not conclusive or binding in any separate or subsequent action or
13    proceeding, between an individual and [his] the individual's present or prior employer, brought
14    before an arbitrator, court, or judge of this state or the United States, regardless of whether the
15    prior action was between the same or related parties or involved the same facts.
16        (8) (a) Any decision in the absence of an appeal as provided becomes final upon issuance
17    and judicial review may be permitted only after any party claiming to be aggrieved has exhausted
18    the party's remedies before the department as provided by this chapter.
19        (b) The division is a party to any judicial action involving any decisions and shall be
20    represented in the judicial action by any qualified attorney employed by the department and
21    designated by it for that purpose or at the division's request by the attorney general.
22        (9) (a) Within 30 days after the decision of the Workforce Appeals Board or review panel
23    has become final, any aggrieved party may secure judicial review by commencing an action in the
24    court of appeals against the Workforce Appeals Board or review panel for the review of its
25    decision, in which action any other party to the proceeding before the Workforce Appeals board
26    or review panel shall be made a defendant.
27        (b) In that action a petition, that shall state the grounds upon which a review is sought,
28    shall be served upon the Workforce Appeals Board or upon that person the Workforce Appeals
29    Board designates. This service is considered completed service on all parties but there shall be left
30    with the party served as many copies of the petition as there are defendants and the Workforce
31    Appeals Board shall mail one copy to each defendant.

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1        (c) With its answer, the Workforce Appeals Board shall certify and file with the court all
2    documents and papers and a transcript of all testimony taken in the matter together with its
3    findings of fact and decision, in accordance with the requirements of the Utah Rules of Appellate
4    Procedure.
5        (d) The Workforce Appeals Board may certify to the court questions of law involved in
6    any decision by the board or a review panel.
7        (e) In any judicial proceeding under this section, the findings of the Workforce Appeals
8    Board or review panel as to the facts, if supported by evidence, are conclusive and the jurisdiction
9    of the court is confined to questions of law.
10        (f) It is not necessary in any judicial proceeding under this section to enter exceptions to
11    the rulings of the [the] division, an administrative law judge, Workforce Appeals Board, or the
12    review panel and no bond is required for entering the appeal.
13        (g) Upon final determination of the judicial proceeding, the division shall enter an order
14    in accordance with the determination. In no event may a petition for judicial review act as a
15    supersedeas.
16        (10) The procedure provided for hearings and decisions with respect to any decision or
17    determination of the division affecting claimants or employing units under this chapter is the sole
18    and exclusive procedure notwithstanding any other provision of this title.
19        Section 119. Section 35A-5-102 (Effective 07/01/97) is amended to read:
20         35A-5-102 (Effective 07/01/97). Definitions.
21        As used in this chapter:
22        (1) "Apprenticeship" means any program for the training of apprentices including[, but not
23    limited to, any] a program providing the training of those persons defined as apprentices by
24    Section 35A-10-105[, whether or not such program is registered and approved by the
25    Apprenticeship Council under Section 35A-10-102].
26        (2) "Bona fide occupational qualification" means a characteristic applying to an employee
27    [which] that is:
28        (a) necessary to the operation; or [is]
29        (b) the essence of [his] the employee's employer's business.
30        (3) "Court" means the district court in the judicial district of the state in which the asserted
31    unfair employment practice occurred, or if this court is not in session at that time, then any judge

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1    of the court.
2        (4) "Director" means the director of the division.
3        (5) "Division" means the Division of Labor, Safety, and Program Regulation.
4        (6) "Employee" means any person applying with or employed by an employer.
5        (7) (a) "Employer" means the state or any political subdivision or board, commission,
6    department, institution, school district, trust, or agent thereof, and every other person employing
7    15 or more employees within the state for each working day in each of 20 calendar weeks or more
8    in the current or preceding calendar year[; but it].
9        (b) "Employer" does not include religious organizations or associations, religious
10    corporations sole, nor any corporation or association constituting a wholly owned subsidiary or
11    agency of any religious organization or association or religious corporation sole.
12        (8) "Employment agency" means any person undertaking to procure employees or
13    opportunities to work for any other person, or the holding itself out to be equipped to do so.
14        (9) "Handicap" means a physical or mental impairment which substantially limits one or
15    more of a person's major life activities.
16        (10) "Joint apprenticeship committee" means any association of representatives of a labor
17    organization and an employer providing, coordinating, or controlling an apprentice training
18    program.
19        (11) "Labor organization" means any organization which exists for the purpose in whole
20    or in part of collective bargaining or of dealing with employers concerning grievances, terms or
21    conditions of employment, or of other mutual aid or protection in connection with employment.
22        (12) "National origin" means the place of birth, domicile, or residence of an individual or
23    of an individual's ancestors.
24        (13) "On-the-job-training" means any program designed to instruct a person who, while
25    learning the particular job for which he is receiving instruction, is also employed at that job, or
26    who may be employed by the employer conducting the program during the course of the program,
27    or when the program is completed.
28        (14) "Person" means one or more individuals, partnerships, associations, corporations,
29    legal representatives, trusts or trustees, receivers, the state and all political subdivisions and
30    agencies of the state.
31        (15) "Presiding officer" means the same as that term is defined in Section 63-46b-2.

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1        (16) "Prohibited employment practice" means a practice specified as discriminatory, and
2    therefore unlawful, in Section 35A-5-106.
3        (17) "Retaliate" means the taking of adverse action by an employer, employment agency,
4    labor organization, apprenticeship program, on-the-job training program, or vocational school
5    against one of its employees, applicants, or members because he has opposed any employment
6    practice prohibited under this chapter or because he has filed charges, testified, assisted, or
7    participated in any way in any proceeding, investigation, or hearing under this chapter.
8        (18) "Vocational school" means any school or institution conducting a course of
9    instruction, training, or retraining to prepare individuals to follow an occupation or trade, or to
10    pursue a manual, technical, industrial, business, commercial, office, personal services, or other
11    nonprofessional occupations.
12        Section 120. Section 35A-5-107 (Effective 07/01/97) is amended to read:
13         35A-5-107 (Effective 07/01/97). Procedure for aggrieved person to file claim --
14     Investigations -- Adjudicative proceedings -- Settlement -- Reconsideration -- Determination.
15        (1) (a) Any person claiming to be aggrieved by a discriminatory or prohibited employment
16    practice may [by himself, his attorney, or his agent], or that person's attorney or agent may, make,
17    sign, and file with the division a request for agency action.
18        (b) Every request for agency action shall be verified under oath or affirmation.
19        (c) A request for agency action made under this section shall be filed within 180 days after
20    the alleged discriminatory or prohibited employment practice occurred.
21        (2) Any employer, labor organization, joint apprenticeship committee, or vocational school
22    who has employees or members who refuse or threaten to refuse to comply with this chapter may
23    file with the division a request for agency action asking the division for assistance to obtain their
24    compliance by conciliation or other remedial action.
25        (3) (a) Before a hearing is set or held as part of any adjudicative proceeding, the division
26    shall promptly assign an investigator to attempt a settlement between the parties by conference,
27    conciliation, or persuasion.
28        (b) If no settlement is reached, the investigator shall make a prompt impartial investigation
29    of all allegations made in the request for agency action.
30        (c) The division and its staff, agents, and employees shall conduct every investigation in
31    fairness to all parties and agencies involved, and may not attempt a settlement between the parties

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1    if it is clear that no discriminatory or prohibited employment practice has occurred.
2        (d) [If the] An aggrieved party [wishes to] may withdraw the request for agency action,
3    [he must do so] prior to the issuance of a final order.
4        (4) (a) If the initial attempts at settlement are unsuccessful, and the investigator uncovers
5    insufficient evidence during [his] the investigation to support the allegations of a discriminatory
6    or prohibited employment practice set out in the request for agency action, the investigator shall
7    formally report these findings to the director or the director's designee.
8        (b) Upon receipt of the investigator's report, the director or the director's designee may
9    issue a determination and order for dismissal of the adjudicative proceeding.
10        (c) A party may make a written request to the Division of Adjudication for an evidentiary
11    hearing to review de novo the director's or the director's designee's determination and order within
12    30 days of the date of the determination and order for dismissal.
13        (d) If the director or the director's designee receives no timely request for a hearing, the
14    determination and order issued by the director or the director's designee becomes the final order
15    of the department.
16        (5) (a) If the initial attempts at settlement are unsuccessful and the investigator uncovers
17    sufficient evidence during [his] the investigation to support the allegations of a discriminatory or
18    prohibited employment practice set out in the request for agency action, the investigator shall
19    formally report these findings to the director or the director's designee.
20        (b) Upon receipt of the investigator's report the director or the director's designee may
21    issue a determination and order based on the investigator's report.
22        (c) A party may file a written request to the Division of Adjudication for an evidentiary
23    hearing to review de novo the director's or the director's designee's determination and order within
24    30 days of the date of the determination and order.
25        (d) If the director or the director's designee receives no timely request for a hearing, the
26    determination and order issued by the director or the director's designee requiring the respondent
27    to cease any discriminatory or prohibited employment practice and to provide relief to the
28    aggrieved party becomes the final order of the department.
29        (6) In any adjudicative proceeding to review the director's or the director's designee's
30    determination that a prohibited employment practice has occurred, the division shall present the
31    factual and legal basis of its determination.

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1        (7) Prior to commencement of an evidentiary hearing, the party filing the request for
2    agency action may reasonably and fairly amend any allegation, and the respondent may amend its
3    answer. Those amendments may be made during or after a hearing but only with permission of
4    the presiding officer.
5        (8) (a) If, upon all the evidence at a hearing, the presiding officer finds that a respondent
6    has not engaged in a discriminatory or prohibited employment practice, the presiding officer shall
7    issue an order dismissing the request for agency action containing the allegation of a
8    discriminatory or prohibited employment practice.
9        (b) The presiding officer may order that the respondent be reimbursed by the complaining
10    party for [his] the respondent's attorneys' fees and costs.
11        (9) If upon all the evidence at the hearing, the presiding officer finds that a respondent has
12    engaged in a discriminatory or prohibited employment practice, the presiding officer shall issue
13    an order requiring the respondent to cease any discriminatory or prohibited employment practice
14    and to provide relief to the complaining party, including reinstatement, back pay and benefits, and
15    attorneys' fees and costs.
16        (10) Conciliation between the parties is to be urged and facilitated at all stages of the
17    adjudicative process.
18        (11) (a) Either party may file with the Division of Adjudication a written request for
19    review before the Workforce Appeals Board of the order issued by the presiding officer in
20    accordance with Section 63-46b-12 and Chapter 1, Part 3, Adjudicative Proceedings.
21        (b) If there is no timely request for review the order issued by the presiding officer
22    becomes the final order of the department.
23        (12) An order of the department under Subsection (11)(a) is subject to judicial review as
24    provided in Section 63-46b-16 and Chapter 1, Part 3, Adjudicative Proceedings.
25        (13) The department shall have authority to make rules concerning procedures under this
26    chapter in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act.
27        (14) The department and its staff may not divulge or make public any information gained
28    from any investigation, settlement negotiation, or proceeding before the department except [in the
29    following:] as provided in Subsections (14)(a) through (d).
30        (a) Information used by the director in making any determination may be provided to all
31    interested parties for the purpose of preparation for and participation in proceedings before the

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1    department.
2        (b) General statistical information may be disclosed provided the identities of the
3    individuals or parties are not disclosed.
4        (c) Information may be disclosed for inspection by the attorney general or other legal
5    representatives of the state or department.
6        (d) Information may be disclosed for information and reporting requirements of the federal
7    government.
8        (15) The procedures contained in this section are the exclusive remedy under state law for
9    employment discrimination based upon race, color, sex, retaliation, pregnancy, childbirth, or
10    pregnancy-related conditions, age, religion, national origin, or handicap.
11        (16) The commencement of an action under federal law for relief based upon any act
12    prohibited by this chapter bars the commencement or continuation of any adjudicative proceeding
13    before the department in connection with the same claims under this chapter. Nothing in this
14    subsection is intended to alter, amend, modify, or impair the exclusive remedy provision set forth
15    in Subsection (15).
16        Section 121. Section 35A-5-108 (Effective 07/01/97) is amended to read:
17         35A-5-108 (Effective 07/01/97). Judicial enforcement of division findings.
18        (1) The department or the attorney general at the request of the department shall
19    commence an action under Section 63-46b-19 for civil enforcement of a final order of the
20    department issued under Subsection 35A-5-107(12) if:
21        (a) the order finds that there is reasonable cause to believe that a respondent has engaged
22    or is engaging in discriminatory or prohibited employment practices made unlawful by this
23    chapter;
24        (b) [counsel to the department or the] attorney general determines after reasonable inquiry
25    that the order is well grounded in fact and is warranted by existing law;
26        (c) the respondent has not received an order of automatic stay or discharge from the United
27    States Bankruptcy Court; and
28        (d) (i) the department has not accepted a conciliation agreement to which the aggrieved
29    party and respondent are parties; or
30        (ii) the respondent has not conciliated or complied with the final order of the department
31    within 30 days from the date the order is issued.

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1        (2) If the respondent seeks judicial review of the final order under Section 63-46b-16,
2    pursuant to Section 63-46b-18 the department may stay seeking civil enforcement pending the
3    completion of the judicial review.
4        Section 122. Section 35A-8-101 (Effective 07/01/97) is amended to read:
5         35A-8-101 (Effective 07/01/97). Title -- Services and support as part of employment
6     plan.
7        (1) This chapter shall be known as the "Employment Support Act."
8        (2) A person eligible for [services or support] employment assistance under [Title 62A,
9    Chapter 9, Public Assistance,] Chapter 8 or 9 or Section 35A-4-504 shall receive any assistance
10    under [that] the applicable chapter or section, including stabilization, assessment, training, or
11    placement, through the department [of Workforce Services as part of that person's employment
12    plan determined under Title 35A,] in accordance with Chapter 2, Part 2, Service Delivery.
13        Section 123. Section 35A-8-102, which is renumbered from Section 53A-15-204 is
14    renumbered and amended to read:
15         [53A-15-204].     35A-8-102. Programs for displaced homemakers.
16        (1) For purposes of this section, "displaced homemaker" means an individual [who]:
17        (a) who has been a homemaker for a period of eight or more years without significant
18    gainful employment outside the home[, and];
19        (b) whose primary occupation during [that] the period of time described in Subsection
20    (1)(a) was the provision of unpaid household services for family members;
21        [(b)] (c) has found it necessary to enter the job market [but];
22        (d) is not reasonably capable of obtaining employment sufficient to provide self-support
23    or necessary support for dependents, due to a lack of marketable job skills or other skills necessary
24    for self-sufficiency; and
25        [(c)] (e) has depended on:
26        (i) the income of a family member and lost that income; or [has depended on]
27        (ii) governmental assistance as the parent of dependent children and is no longer eligible
28    for that assistance.
29        (2) The [State Board for Applied Technology Education] department shall establish, in
30    cooperation with state and local governmental agencies, community-based organizations, and
31    private employers, a program for the education, training, and transitional counseling of displaced

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1    homemakers, which includes referral services and the following services:
2        (a) employment and skills training, career counseling, and placement services specifically
3    designed to address the needs of displaced homemakers;
4        (b) assistance in obtaining access to existing public and private employment training
5    programs;
6        (c) educational services, including information on high school or college programs, or
7    assistance in gaining access to existing educational programs;
8        (d) health education and counseling, or assistance in gaining access to existing health
9    education and counseling services;
10        (e) financial management services which provide information on insurance, taxes, estate
11    and probate matters, mortgages, loans, and other financial issues; and
12        (f) prevocational self-esteem and assertiveness training.
13        (3) The [State Board for Applied Technology Education] department shall:
14        (a) (i) contract with existing governmental or private agencies or community-based
15    organizations [which] that have demonstrated effectiveness in serving displaced homemakers to
16    provide a program for displaced homemakers in each county or group of counties, as the
17    population demands; or
18        (ii) [if no such program exists, that board may] establish a program for displaced
19    homemakers in that area;
20        [(iii) displaced homemakers may act as peer counselors in programs for displaced
21    homemakers; and]
22        (b) coordinate its program for displaced homemakers with existing state or federal
23    programs of a similar nature and, where possible, utilize existing physical resources;
24        (c) establish rules to implement this section, and may form an advisory committee for
25    recommendations on the establishment and improvement of a program for displaced homemakers;
26        (d) encourage the placement of displaced homemakers in programs established under the
27    Job Training Partnership Act, 29 U.S.C. Section 1501, and under the Carl D. Perkins Vocational
28    Education Act, 20 U.S.C. Section 2301, et seq.; and
29        (e) prepare an evaluation of its program for displaced homemakers, including the success
30    of placement of displaced homemakers in programs described in this section, and annually submit
31    a written report of that evaluation to the Legislature.

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1        (4) Displaced homemakers may act as peer counselors in programs for displaced
2    homemakers.
3        [(4)] (5) (a) Appropriate funds received by the state under Section 17-5-214 shall be
4    deposited as nonlapsing dedicated credits and used for the purposes of this section.
5        (b) [However] Notwithstanding Subsection (5)(a), if the nonlapsing amount exceeds
6    $300,000 at the end of any fiscal year, the excess shall lapse into the General Fund.
7        [(5)] (6) The [State Board for Applied Technology Education] department shall establish
8    procedures for payment and repayment, when possible, by [recipients] clients to [that board] the
9    department of the costs of services provided to displaced homemakers under this section[, when
10    possible].
11        Section 124. Section 35A-8-202 (Effective 07/01/97) is amended to read:
12         35A-8-202 (Effective 07/01/97). Creation.
13        (1) There is created within the Division of [Employment Development] Workforce
14    Information and Payment Services an Office of Child Care.
15        (2) The office shall be administered by a director who shall be appointed by the executive
16    director and may be removed from that position at the will of the executive director.
17        Section 125. Section 35A-8-203 (Effective 07/01/97) is amended to read:
18         35A-8-203 (Effective 07/01/97). Functions and duties of office.
19        The office shall:
20        (1) provide [a central location for the collection and dissemination of] information:
21        (a) to employers for the development of options for child [day] care in the work place; and
22        (b) for educating the public in obtaining quality child care;
23        (2) coordinate [with the private and public sectors in creating a network of resource and
24    referral] services for quality child [day] care training and child care resource and referral care
25    services;
26        (3) apply for, accept, or expend gifts or donations from public or private sources;
27        (4) provide administrative support services to the committee;
28        (5) [coordinate, plan, and evaluate] work collaboratively with the following for the
29    delivery of quality child [day] care and early childhood [development services] programs, and
30    school age programs in the state [with]:
31        (a) the State Board of Education [and the Departments];

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1        (b) the Department of Human Services[,];
2        (c) the Department of Community and Economic Development[,]; and
3        (d) the Department of Health;
4        (6) recommend to the Legislature legislation that will further the purposes of the office and
5    child [day] care [and], early childhood programs, and school age programs; and
6        (7) provide planning and technical assistance for the development and implementation of
7    [pilot] programs in communities [which] that lack child [day] care [and], early childhood
8    programs, and school age programs.
9        Section 126. Section 35A-8-204 (Effective 07/01/97) is amended to read:
10         35A-8-204 (Effective 07/01/97). Duties of director.
11        The director shall:
12        (1) enforce rules made by the department regulating the use of services provided by the
13    office;
14        (2) supervise office staff and prepare an annual work plan; and
15        [(3) be the executive secretary to the committee; and]
16        [(4)] (3) apply for, accept, and expend gifts or donations from public or private sources
17    to assist the office in fulfilling its statutory obligations.
18        Section 127. Section 35A-8-205 (Effective 07/01/97) is amended to read:
19         35A-8-205 (Effective 07/01/97). Creation of committee.
20        (1) There is created a Child Care Advisory Committee.
21        (2) The committee shall counsel and advise the office in fulfilling its statutory obligations.
22        (3) The committee shall be composed of 13 members as follows:
23        (a) [two experts] one expert in early childhood development appointed by the [governor]
24    executive director in accordance with Subsection (4);
25        (b) one [day] child care provider who operates a center appointed by the [governor]
26    executive director in accordance with Subsection (4);
27        (c) one child care provider who operates a family child care business who is appointed by
28    the executive director in accordance with Subsection (4);
29        [(c)] (d) one parent of preschool or elementary school-aged children appointed by the
30    [governor] executive director in accordance with Subsection (4);
31        [(d)] (e) one representative of the Department of Human Services;

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1        [(e)] (f) one representative of the State Office of Education;
2        [(f)] (g) one representative of the Department of Health;
3        [(g) one representative] (h) two representatives from the corporate community appointed
4    by the [governor] executive director in accordance with Subsection (4);
5        [(h) one representative] (i) two representatives from the small business community
6    appointed by the [governor] executive director in accordance with Subsection (4); [and]
7        [(i) four representatives] (j) one representative from child care advocacy groups appointed
8    by the [governor] executive director in accordance with Subsection (4); and
9        (k) one representative from the Division of Employment Development, appointed by the
10    executive director in accordance with Subsection (4).
11        (4) Of those members appointed by the [governor] executive director under Subsection
12    (3), no more than four may be from the same political party.
13        (5) (a) Except as required by Subsection (5)(b), as terms of current committee members
14    expire, the [governor] executive director shall appoint each new member or reappointed member
15    to a four-year term.
16        (b) Notwithstanding the requirements of Subsection (5)(a), the [governor] executive
17    director shall, at the time of appointment or reappointment, adjust the length of terms to ensure that
18    the terms of committee members are staggered so that approximately half of the committee is
19    appointed every two years.
20        (6) When a vacancy occurs in the membership for any reason, the replacement shall be
21    appointed for the unexpired term.
22        (7) A majority of the members constitutes a quorum for the transaction of business.
23        (8) The [governor] executive director shall select a chair from the committee membership.
24    The chair's term of office expires on April 1 of each year and a chair may serve no more than two
25    one-year terms as chair.
26        (9) (a) (i) Members who are not government employees [shall] may not receive [no]
27    compensation or benefits for their services, but may receive per diem and expenses incurred in the
28    performance of the member's official duties at the rates established by the Division of Finance
29    under Sections 63A-3-106 and 63A-3-107.
30        (ii) Members may decline to receive per diem and expenses for their service.
31        (b) (i) State government officer and employee members who do not receive salary, per

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1    diem, or expenses from their agency for their service may receive per diem and expenses incurred
2    in the performance of their official duties from the committee at the rates established by the
3    Division of Finance under Sections 63A-3-106 and 63A-3-107.
4        (ii) State government officer and employee members may decline to receive per diem and
5    expenses for their service.
6        Section 128. Section 35A-8-206 (Effective 07/01/97) is amended to read:
7         35A-8-206 (Effective 07/01/97). Expendable trust fund -- Use of monies -- Committee
8     and director duties -- Restrictions.
9        (1) There is created an expendable trust fund known as the [Office of] Child Care
10    Expendable Trust Fund.
11        (2) The executive director shall administer the trust fund under the direction of the
12    committee.
13        (3) The [Office of Child Care] department shall be the trustee of the fund.
14        (4) The trust fund shall be used to accept monies designated for child care initiatives
15    improving the quality, affordability, or accessibility of child care.
16        (5) The monies in the trust fund that are not restricted to a specific use under federal law
17    or by donors may not be expended without approval of the committee.
18        (6) There shall be deposited into the trust fund money from numerous sources including
19    grants, private foundations, or individual donors.
20        (7) The monies in the trust fund shall be invested by the state treasurer pursuant to Title
21    51, Chapter 7, State Money Management Act, except that all interest or other earnings derived
22    from the trust fund monies shall be deposited in the trust fund.
23        (8) The monies in the trust fund may not be used for administrative expenses of the [Office
24    of Child Care] department normally provided for by legislative appropriation.
25        (9) The committee shall:
26        (a) advise the director on child care needs in the state and on relevant operational aspects
27    of any grant, loan, or revenue collection program established under this part;
28        (b) recommend specific projects to the director;
29        (c) [set] recommend policy and procedures for administering the trust fund;
30        (d) make recommendations on grants, loans, or contracts from the trust fund for any of the
31    activities authorized under this part;

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1        (e) establish the criteria by which loans and grants will be made;
2        (f) determine the order in which approved projects will be funded; [and]
3        (g) [distribute all] make recommendations regarding the distribution of money from the
4    trust fund in accordance with the procedures, conditions, and restrictions placed upon the monies
5    by the donors; and
6        (h) solicit public and private funding for the trust fund.
7        (10) Trust fund monies may be used for any of the following activities:
8        (a) training of child care providers;
9        (b) scholarships and grants for child care providers' professional development;
10        (c) public awareness and consumer education services;
11        (d) child care provider recruitment;
12        (e) Office of Child Care sponsored activities;
13        [(f) activities specified by a donor;]
14        [(g)] (f) matching money for obtaining grants; or
15        [(h)] (g) other activities that will assist in the improvement of child care quality,
16    affordability, or accessibility.
17        (11) The executive director, with the consent of the committee, may grant, lend, or
18    contract trust fund money to:
19        (a) local governments;
20        (b) nonprofit community, charitable, or neighborhood-based organizations;
21        (c) regional or statewide nonprofit organizations; or
22        (d) child care providers.
23        (12) Preference may be given but not limited to applicants for trust fund monies that
24    demonstrate any of the following:
25        (a) programatic or financial need;
26        (b) diversity of clientele or geographic location; and
27        (c) coordination with or enhancement of existing services.
28        (13) The executive director or the executive director's designee shall monitor the activities
29    of the recipients of grants, loans, or contracts issued from the trust fund on an annual basis to
30    ensure compliance with the terms and conditions imposed on the recipient by the trust fund.
31        (14) The entities receiving grants, loans, or contracts shall provide the executive director

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1    with an annual accounting of how the monies they received from the trust fund have been spent.
2        (15) The executive director shall report to the committee regarding the programs and the
3    services funded by the trust fund.
4        Section 129. Section 35A-9-103 (Effective 07/01/97) is amended to read:
5         35A-9-103 (Effective 07/01/97). Roles of service providers.
6        (1) Delivery of [employment and training programs and] job training related services not
7    administered by the department under this chapter shall be provided [as follows:] in accordance
8    with Subsections (2) and (3).
9        [(1) The department shall assure for the stabilization of clients that fall within its system,
10    which is defined as addressing the basic living, family care, and social or psychological needs of
11    the client in order that the client may take advantage of training or employment opportunities
12    provided through other agencies or institutions.]
13        (2) The State Office of Education and the Board of Regents shall provide for basic
14    education, remedial education, and applied technology training.
15        (3) The Office of Rehabilitation shall provide those services authorized under the
16    Rehabilitation Act of 1973, as amended.
17        [(4) The Division of Employment Development shall provide:]
18        [(a) stabilization, job development, and placement services for clients who have been
19    determined as having achieved basic skill levels that will provide for employment opportunities
20    and that will allow the clients to become self-sufficient or maintain self-sufficiency; and]
21        [(b) for case management services through its regional workforce services areas for clients
22    needing those services.]
23        Section 130. Section 35A-9-204 (Effective 07/01/97) is amended to read:
24         35A-9-204 (Effective 07/01/97). Definitions.
25        (1) "Disabled injured worker" means an employee who:
26        (a) has sustained an industrial injury or occupational disease for which benefits are
27    provided under [Chapters] Chapter 3 [and], Workers' Compensation Act, or 3a, [and who,] Utah
28    Occupational Disease Act;
29        (b) because of the injury or disease[,]:
30        (i) is or will be unable to return to work in the injured worker's usual and customary
31    occupation[,]; or

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1        (ii) is unable to perform work for which the injured worker has previous training and
2    experience[,]; and [who]
3        (c) reasonably can be expected to attain gainful employment after receiving the
4    reemployment training and benefits provided for in this part.
5        (2) "Division" means Division of Employment Development.
6        (3) "Gainful employment" means employment [which] that is reasonably attainable in
7    view of the industrial injury or occupational disease and which offers to the injured worker, as
8    reasonably feasible, an opportunity for earnings. Factors to be considered in determining gainful
9    employment include the injured worker's:
10        (a) education[,];
11        (b) experience[,]; and
12        (c) physical and mental impairment and condition.
13        (4) "Parties" means the:
14        (a) disabled injured worker[,];
15        (b) employer[,];
16        (c) workers' compensation insurance carrier[, and];
17        (d) reemployment coordinator; and
18        (e) other professionals as deemed necessary by the commission.
19        (5) "Reemployment plan" means the written description or rationale for the manner and
20    means by which it is proposed a disabled injured worker may be returned to gainful employment.
21    The reemployment plan shall define the voluntary responsibilities of the disabled injured worker,
22    employer, and other parties involved with the implementation of the plan.
23        Section 131. Section 35A-9-205 (Effective 07/01/97) is amended to read:
24         35A-9-205 (Effective 07/01/97). Reemployment coordinator -- Duties.
25        The executive director shall appoint a reemployment coordinator to assist in administering
26    this part. The coordinator's duties include [the following]:
27        (1) [identify] identifying and [verify] verifying, if necessary, the qualifications of all public
28    or private reemployment or rehabilitation providers who render any medical or vocational
29    reemployment or rehabilitation services, including those directly employed by an insurer,
30    employer, or self-insurer;
31        (2) [design] designing a study [which] that will produce reliable data from employers,

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1    insurance carriers, employees, and rehabilitation providers for cost effective recommendations to
2    carry out the intent of this chapter, the data shall include:
3        (a) the success rates of public and private rehabilitation and training programs in assisting
4    in the employment of the injured worker;
5        (b) the costs in providing such services; and
6        (c) the amount of time it takes to get the injured worker into gainful employment;
7        (3) [evaluate] evaluating results to determine whether early identification of potential
8    candidates for retraining results in overall cost reduction and return of the injured worker to gainful
9    employment;
10        (4) [assure] assuring the contact and coordination of the employer or its workers'
11    compensation insurance carrier and the disabled injured worker to encourage the development of
12    evaluations and reemployment plans for the disabled injured worker so that the completion of the
13    plans can be monitored by the department;
14        (5) [recommend] recommending procedures to avoid the duplication of services provided
15    by other state agencies or private rehabilitation services, including registering the disabled injured
16    worker with [Job Service] the Division of Employment Development for reemployment; and
17        (6) perform other duties as may be prescribed by the department.
18        Section 132. Section 35A-9-301 (Effective 07/01/97) is amended to read:
19         35A-9-301 (Effective 07/01/97). Workforce improvement plan.
20        (1) The State Council on Workforce Services shall annually develop a comprehensive
21    workforce improvement plan as part of the State Workforce Services Plan [for entering into
22    agreements with employers for the identification and development of jobs].
23        (2) The workforce improvement plan shall [provide] contain options and strategies for:
24        (a) [development] developing of jobs targeted to special needs populations, as defined in
25    Section 35A-2-201, including [recipients] clients of cash assistance and supportive services under
26    this title;
27        (b) [enhancement] enhancing of existing workforces through training or other methods
28    which may include:
29        (i) providing technical assistance;
30        (ii) assisting an employer on site in redesigning its work organizations, including job
31    restructuring, training, and retraining; and

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1        (iii) providing employers with the most recent research and management and human
2    resource systems;
3        (c) marketing of groups of potential employees with special skills or needs; and
4        (d) [consultation] consulting with public and private employers to target specific existing
5    or future employment needs of the state.
6        Section 133. Section 35A-9-302 (Effective 07/01/97) is amended to read:
7         35A-9-302 (Effective 07/01/97). Contracts with providers.
8        (1) In compliance with Title 63, Chapter 56, Utah Procurement Code, the department shall
9    enter into a contract with one or more qualified providers to implement the workforce
10    improvement plan created under Section 35A-9-301.
11        (2) A contract entered into under this section shall be:
12        (a) performance based; and
13        (b) structured so that the provider receives reimbursement based on:
14        (i) job development;
15        (ii) participant placement in jobs;
16        (iii) wages and benefits provided; and
17        (iv) participant retention in jobs over at least a 12-month period.
18        (3) If the department determines through the procurement process that there are no
19    qualified providers to implement the workforce improvement plan, the department may implement
20    the plan.
21        Section 134. Section 35A-10-105 (Effective 07/01/97) is amended to read:
22         35A-10-105 (Effective 07/01/97). Definitions.
23        [(1) The term "apprentice" as] As used in this chapter and in Title 34, Labor in General:
24        (1) "apprentice" means [a person] an individual at least [15] 16 years of age who has
25    entered into:
26        (a) a written agreement approved by [the Utah Apprenticeship Council] the Bureau of
27    Apprenticeship and Training with an employer or [his] the employer's agent, or an association of
28    employers[, an organization of employees, or a joint committee representing employers and
29    employees which apprenticeship agreement provides for not less than 4,000 hours of reasonably
30    continuous employment for such person, and for his participation in an approved schedule of
31    on-the-job work experience through employment for the number of hours per year of related

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1    supplemental instruction as may be set as a standard by the council.]; or
2        [(2) Prior educational experience in the trade shall be a substitute for supplemental
3    instruction dependent on the passage of an equivalency test administered by an accredited school
4    with the assistance of the appropriate governance board. The amount of credit granted shall be
5    determined by the school giving the test and the appropriate board.]
6        (b) an apprenticeship that meets Bureau of Apprenticeship and Training Standards.
7        (2) "Bureau of Apprenticeship and Training" means the federal agency designated by the
8    United States Department of Labor to oversee apprenticeship programs.
9        Section 135. Section 53A-1-502 (Effective 07/01/97) is amended to read:
10         53A-1-502 (Effective 07/01/97). Advisory committee -- Duties -- Task forces.
11        (1) (a) There is established the Joint Liaison Applied Technology Education Advisory
12    Committee, hereafter referred to as the advisory committee.
13        (b) The advisory committee shall consist of the following:
14        (i) two members from the State Board of Education and two members from the State
15    Board of Regents who serve on the joint liaison committee established under Section 53A-1-501
16    and who have been given applied technology education assignments by their respective boards,
17    appointed to the advisory committee by the joint liaison committee;
18        (ii) one staff member from the State Board of Education and one staff member from the
19    State Board of Regents appointed by their respective boards;
20        (iii) one member from the Department of Community and Economic Development
21    selected by the director of the department;
22        (iv) one member from the [Division of Employment Development] Department of
23    Workforce Services selected by the executive director of the [division] department;
24        (v) one representative from the State Council on Vocational and Applied Technology
25    Education selected by the council; and
26        (vi) four members from four different counties within the state representing business and
27    industry selected by at least a majority of the other members of the advisory committee.
28        (c) The staff members appointed under Subsection (1)(b)(ii) are nonvoting members and
29    not counted as members for the purpose of a quorum under Subsection (2)(b).
30        (2) (a) The advisory committee shall meet at least monthly.
31        (b) A majority of the advisory committee is a quorum for the transaction of business.

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1        (3) The advisory committee shall advise and make recommendations to the joint liaison
2    committee on applied technology education issues, including:
3        (a) the development and implementation of a system of common definitions for measuring
4    the effectiveness of systemwide applied technology education programs, which shall include
5    definitions for secondary and adult enrollments, placement, and tracking criterion;
6        (b) the creation, expansion, and sharing of all secondary, applied technology center,
7    college, and university applied technology education offerings, facilities, and programs, focused
8    on supporting a seamless education system and ensuring that the unnecessary duplication of
9    applied technology education services does not occur;
10        (c) budgetary requests for secondary, applied technology center, college, and university
11    applied technology education programs and their presentation to the Legislature in a coordinated,
12    systemwide manner;
13        (d) the development and implementation of articulation agreements between high schools,
14    applied technology centers, colleges, and universities, which will allow colleges and universities
15    to award credit based on proficiency levels obtained by students in high school and noncredit
16    applied technology center programs;
17        (e) the systemwide marketing of high school, applied technology center, college, and
18    university applied technology education facilities, programs, and course offerings; and
19        (f) the development and implementation of an educational technology infrastructure and
20    delivery systems to expand applied technology education offerings throughout the statewide
21    applied technology education system.
22        (4) The joint liaison committee shall review and either approve, modify and approve, or
23    disapprove recommendations made by the advisory committee for ratification by the State Board
24    of Education and State Board of Regents.
25        (5) The joint liaison committee may establish ad hoc task forces to assist the advisory
26    committee or the joint liaison committee in carrying out their duties under this part.
27        Section 136. Section 53A-3-417 is amended to read:
28         53A-3-417. Child care centers in public schools -- Requirements -- Availability --
29     Compliance with state and local laws.
30        (1) (a) Upon receiving a request from a community group such as a community council,
31    local PTA, or parent/student organization, a local school board may authorize the use of a part of

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1    any school building in the district to provide child care services for school aged children.
2        (b) (i) The school board shall provide written public notice of its intent to authorize a child
3    care center.
4        (ii) The board shall file a copy of the notice with:
5        (A) the Office of Child Care within the Department of [Community and Economic
6    Development] Workforce Services; and
7        (B) the Office of Licensing within the Department of Human Services.
8        (2) (a) Establishment of a child care center in a public school building is contingent upon
9    the local school board determining that the center will not interfere with the building's use for
10    regular school purposes.
11        (b) The board may authorize the use of part of a school building for a child care center
12    only if the school is in compliance with Section 53A-17a-142.
13        (c) The decision shall be made at the sole discretion of the school board.
14        (d) A school board may withdraw its approval to operate a child care center at any time
15    if it determines that such use interferes with the operation or interest of the school.
16        (e) The school district and its employees and agents are immune from any liability that
17    might otherwise result from a withdrawal of approval if the withdrawal was made in good faith.
18        (3) (a) The board shall charge a commercially reasonable fee for the use of a school
19    building as a child care center so that the district does not incur an expense.
20        (b) The fee shall include but not be limited to costs for utility, building maintenance, and
21    administrative services supplied by the school that are related to the operation of the child care
22    center.
23        (4) (a) Child care service may be provided by governmental agencies other than school
24    districts, nonprofit community service groups, or private providers.
25        (b) If competitive proposals to provide child care services are submitted by the entities
26    listed in Subsection (4)(a), the board shall give preference to the private provider and nonprofit
27    community service groups so long as their proposals are judged to be at least equal to the proposal
28    of the governmental agency.
29        (c) It is intended that these programs function at the local community level with minimal
30    state and district involvement.
31        (5) It is the intent of the Legislature that providers not be required to go through a complex

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1    procedure in order to obtain approval for providing the service.
2        (6) (a) Child care centers within a public school building shall make their services
3    available to all children regardless of where the children reside.
4        (b) If space and resources are limited, first priority shall be given to those who reside
5    within the school boundaries where the center is located, and to the children of teachers and other
6    employees of the school where the child care center is located.
7        (c) Second priority shall be given to those who reside within the school district boundaries
8    where the center is located.
9        (7) (a) The school board shall require proof of liability insurance which is adequate in the
10    opinion of the school board for use of school property as a child care center.
11        (b) A school district participating in the state Risk Management Fund shall require the
12    provider of child care services to comply with the applicable provisions of Title [63] 63A, Chapter
13    1, Part [8] 4, Risk [Manager] Management.
14        (8) Child care centers established under this section shall operate in compliance with state
15    and local laws and regulations, including zoning and licensing requirements, and applicable school
16    rules.
17        (9) Except for Subsection (8), this section does not apply to child care centers established
18    by a school district within a public school building if the center offers child care services primarily
19    to children of employees or children of students of the school district.
20        Section 137. Section 58-55-302 (Effective 07/01/97) is amended to read:
21         58-55-302 (Effective 07/01/97). Qualifications for licensure.
22        (1) Each applicant for a license under this chapter shall:
23        (a) submit an application prescribed by the division;
24        (b) pay a fee as determined by the department under Section 63-38-3.2;
25        (c) (i) pass an examination approved by the division in collaboration with the board,
26    except for the classifications of apprentice plumber, residential apprentice plumber, and apprentice
27    electrician for whom no examination is required; or
28        (ii) the individual qualifier must pass the required examination if the applicant is a
29    business entity;
30        (d) if an apprentice, identify the proposed supervisor of the apprenticeship;
31        (e) if an applicant for a contractor's license:

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1        (i) produce satisfactory evidence of financial responsibility, except for construction trades
2    instructor for whom evidence of financial responsibility is not required;
3        (ii) produce satisfactory evidence of knowledge and experience in the construction
4    industry and knowledge of the principles of the conduct of business as a contractor, reasonably
5    necessary for the protection of the public health, safety, and welfare; and
6        (iii) be a licensed master electrician if an applicant for an electrical contractor's license or
7    a licensed master residential electrician if an applicant for a residential electrical contractor's
8    license; or
9        (iv) be a journeyman plumber or residential journeyman plumber if an applicant for a
10    plumbing contractor's license; and
11        (f) if an applicant for a construction trades instructor license, satisfy any additional
12    requirements established by rule.
13        (2) After approval of an applicant for a contractor's license by the board and the division,
14    the applicant shall file the following with the division before the division issues the license:
15        (a) proof of workers' compensation insurance which covers employees of the applicant in
16    accordance with applicable Utah law;
17        (b) proof of public liability insurance in coverage amounts and form established by rule
18    except for a construction trades instructor for whom public liability insurance is not required; and
19        (c) proof of registration as required by applicable law with the:
20        (i) Utah Department of Commerce[,];
21        (ii) Division of Corporations and Commercial Code[,];
22        (iii) Division of [Employment Development, the] Workforce Information and Payment
23    Services in the Department of Workforce Services, for purposes of Title 35A, Chapter 4,
24    Employment Security Act;
25        (iv) State Tax Commission[,]; and [the]
26        (v) Internal Revenue Service[ as required by applicable law].
27        (3) In addition to the general requirements for each applicant in Subsection (1), applicants
28    shall comply with the following requirements to be licensed in the following classifications:
29        (a) A journeyman plumber applicant shall produce:
30        (i) satisfactory evidence of successful completion of the equivalent of at least four years
31    of full-time training and instruction as a licensed apprentice plumber under supervision of a

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1    licensed journeyman plumber and in accordance with a planned program of training approved by
2    the division;
3        (ii) satisfactory evidence of at least eight years of full-time experience approved by the
4    division in collaboration with the Plumbers Licensing Board; or
5        (iii) satisfactory evidence of meeting the qualifications determined by the division and
6    board to be equivalent to Subsection (3)(a)(i) or (a)(ii).
7        (b) A residential journeyman plumber shall produce satisfactory evidence of completion
8    of:
9        (i) the equivalent of at least three years of full-time training and instruction as a licensed
10    apprentice plumber under the supervision of a licensed residential journeyman plumber or licensed
11    journeyman plumber in accordance with a planned program of training approved by the division;
12        (ii) at least six years of full-time experience in a maintenance or repair trade involving
13    substantial plumbing work; or
14        (iii) satisfactory evidence of meeting the qualifications determined by the division and
15    board to be equivalent to Subsection (3)(b)(i) or (b)(ii).
16        (c) A master electrician applicant shall produce satisfactory evidence that he either:
17        (i) is a graduate electrical engineer of an accredited college or university approved by the
18    division and has one year of practical electrical experience as a licensed apprentice electrician;
19        (ii) is a graduate of an electrical trade school, having received an associate of applied
20    sciences degree following successful completion of a course of study approved by the division,
21    and has two years of practical experience as a licensed journeyman electrician;
22        (iii) is a graduate of an electrical trade school, having received a certificate of completion
23    following successful completion of a course of study approved by the division, and has four years
24    of practical experience as a journeyman electrician;
25        (iv) has at least eight years of practical experience under the supervision of a licensed
26    journeyman or master electrician; or
27        (v) meets the qualifications determined by the division and board to be equivalent to these
28    qualifications.
29        (d) A master residential electrician applicant shall produce satisfactory evidence that he:
30        (i) has at least two years of practical experience as a residential journeyman electrician;
31    or

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1        (ii) meets the qualifications determined by the division and board to be equivalent to this
2    practical experience.
3        (e) A journeyman electrician applicant shall produce satisfactory evidence that he either:
4        (i) has successfully completed at least four years of full-time training and instruction as
5    a licensed apprentice electrician under the supervision of a master electrician or journeyman
6    electrician and in accordance with a planned training program approved by the division;
7        (ii) has six years of practical experience in wiring, installing, and repairing electrical
8    apparatus and equipment for light, heat, and power under the supervision of a licensed master or
9    journeyman electrician; or
10        (iii) meets the qualifications determined by the division and board to be equivalent to these
11    qualifications.
12        (f) A residential journeyman electrician applicant shall produce satisfactory evidence that
13    he:
14        (i) has successfully completed two years of training in an electrical training program
15    approved by the division;
16        (ii) has four years of practical experience in wiring, installing, and repairing electrical
17    apparatus and equipment for light, heat, and power under the supervision of a licensed master,
18    journeyman, residential master, or residential journeyman electrician; or
19        (iii) meets the qualifications determined by the division and board to be equivalent to
20    Subsection (3)(f)(i) or (f)(ii).
21        (g) The conduct of licensed apprentice electricians and their licensed supervisors shall be
22    in accordance with the following:
23        (i) A licensed apprentice electrician shall be under the immediate supervision of a licensed
24    master, journeyman, residential master, or residential journeyman electrician. An apprentice in
25    the fourth year of training may work without supervision for a period not to exceed eight hours in
26    any 24-hour period.
27        (ii) A licensed master, journeyman, residential master, or residential journeyman
28    electrician may have under his immediate supervision on a residential project up to three licensed
29    apprentice electricians.
30        (iii) A licensed master or journeyman electrician may have under his immediate
31    supervision on nonresidential projects only one licensed apprentice electrician.

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1        Section 138. Section 58-59-302 (Effective 07/01/97) is amended to read:
2         58-59-302 (Effective 07/01/97). Qualifications for licensure.
3        Each applicant for licensure as an employee leasing company shall:
4        (1) submit an application in a form prescribed by the division;
5        (2) pay a fee as determined by the department under Section 63-38-3.2;
6        (3) provide documentation that the applicant is properly registered with:
7        (a) the Division of Corporations and Commercial Code;
8        (b) the Division of [Employment Development] Workforce Information and Payment
9    Services in the Department of Workforce Services, for the purposes of Title 35A, Chapter 4,
10    Employment Security Act;
11        (c) the State Tax Commission;
12        (d) the Internal Revenue Service; and
13        (e) any other agency identified by rule that is determined by the division and the board as
14    necessary for a person engaged in practice as an employee leasing company;
15        (4) provide documentation satisfactory to the division and the board that employees leased
16    by the employee leasing company to any client company are covered by workers' compensation
17    insurance pursuant to Section 35A-3-103;
18        (5) provide evidence to the division and the board of financial responsibility, as this
19    evidence is prescribed by rule;
20        (6) in the case of an employee leasing company that is commencing or reentering business
21    as an employee leasing company, provide evidence to the division and the board, in accordance
22    with generally accepted accounting principals, of at least $50,000 net worth as starting capital;
23        (7) provide evidence satisfactory to the division and the board of the financial
24    responsibility of any self-funded or partially self-funded insurance plan as defined by rule;
25        (8) provide evidence satisfactory to the division and the board that the responsible
26    managers of the leasing company have education and experience in the conduct of business that
27    demonstrate a reasonable expectation that the company will be managed with the skill and
28    expertise necessary to protect the interests of its employees, client companies, and the public; and
29        (9) provide evidence that the applicant is of good moral character.
30        Section 139. Section 58-63-302 (Effective 07/01/97) is amended to read:
31         58-63-302 (Effective 07/01/97). Qualifications for licensure.

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1        (1) Each applicant for licensure as a contract security company shall:
2        (a) submit an application in a form prescribed by the division;
3        (b) pay a fee determined by the department under Section 63-38-3.2;
4        (c) have a qualifying agent who is a resident of the state and an officer, director, partner,
5    proprietor, or manager of the applicant who:
6        (i) passes an examination component established by rule by the division in collaboration
7    with the board; and
8        (ii) (A) demonstrates 6,000 hours of experience as a manager, supervisor, or administrator
9    of a contract security company; or
10        (B) demonstrates 6,000 hours of supervisory experience acceptable to the division in
11    collaboration with the board with a federal, United States military, state, county, or municipal law
12    enforcement agency;
13        (d) if a corporation, provide:
14        (i) the names, addresses, dates of birth, and social security numbers of all corporate
15    officers, directors, and those responsible management personnel employed within the state or
16    having direct responsibility for managing operations of the applicant within the state; and
17        (ii) the names, addresses, dates of birth, and social security numbers, of all shareholders
18    owning 5% or more of the outstanding shares of the corporation, except this may not be required
19    if the stock is publicly listed and traded;
20        (e) if a limited liability company, provide:
21        (i) the names, addresses, dates of birth, and social security numbers of all company
22    officers, and those responsible management personnel employed within the state or having direct
23    responsibility for managing operations of the applicant within the state; and
24        (ii) the names, addresses, dates of birth, and social security numbers of all individuals
25    owning 5% or more of the equity of the company;
26        (f) if a partnership, the names, addresses, dates of birth, and social security numbers of all
27    general partners, and those responsible management personnel employed within the state or having
28    direct responsibility for managing operations of the applicant within the state;
29        (g) if a proprietorship, the names, addresses, dates of birth, and social security numbers
30    of the proprietor, and those responsible management personnel employed within the state or
31    having direct responsibility for managing operations of the applicant within the state;

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1        (h) be of good moral character in that officers, directors, shareholders described in
2    Subsection (1)(d)(ii), partners, proprietors, and responsible management personnel have not been
3    convicted of a felony, a misdemeanor involving moral turpitude, or any other crime that when
4    considered with the duties and responsibilities of a contract security company is considered by the
5    division and the board to indicate that the best interests of the public are not served by granting
6    the applicant a license;
7        (i) document that none of the applicant's officers, directors, shareholders described in
8    Subsection (1)(d)(ii), partners, proprietors, and responsible management personnel:
9        (i) have been declared by any court of competent jurisdiction incompetent by reason of
10    mental defect or disease and not been restored; and
11        (ii) currently suffer from habitual drunkenness or from drug addiction or dependence;
12        (j) file and maintain with the division evidence of:
13        (i) comprehensive general liability insurance in form and in amounts to be established by
14    rule by the division in collaboration with the board;
15        (ii) workers' compensation insurance that covers employees of the applicant in accordance
16    with applicable Utah law;
17        (iii) registration with the Division of Corporations and Commercial Code; and
18        (iv) registration as required by applicable law with the:
19        (A) Division of [Employment Development,] Workforce Information and Payment
20    Services in the Department of Workforce Services, for purposes of Title 35A, Chapter 4,
21    Employment Security Act;
22        (B) State Tax Commission[,]; and [the]
23        (C) Internal Revenue Service [as is required by applicable law]; and
24        (k) meet with the division and board if requested by the division or board.
25        (2) Each applicant for licensure as an armed private security officer shall:
26        (a) submit an application in a form prescribed by the division;
27        (b) pay a fee determined by the department under Section 63-38-3.2;
28        (c) be of good moral character in that the applicant has not been convicted of a felony, a
29    misdemeanor involving moral turpitude, or any other crime that when considered with the duties
30    and responsibilities of an armed private security officer is considered by the division and the board
31    to indicate that the best interests of the public are not served by granting the applicant a license;

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1        (d) not have been declared by any court of competent jurisdiction incompetent by reason
2    of mental defect or disease and not been restored;
3        (e) not be currently suffering from habitual drunkenness or from drug addiction or
4    dependence;
5        (f) successfully complete basic education and training requirements established by rule by
6    the division in collaboration with the board;
7        (g) successfully complete firearms training requirements established by rule by the
8    division in collaboration with the board;
9        (h) pass the examination requirement established by rule by the division in collaboration
10    with the board; and
11        (i) meet with the division and board if requested by the division or the board.
12        (3) Each applicant for licensure as an unarmed private security officer shall:
13        (a) submit an application in a form prescribed by the division;
14        (b) pay a fee determined by the department under Section 63-38-3.2;
15        (c) be of good moral character in that the applicant has not been convicted of a felony, a
16    misdemeanor involving moral turpitude, or any other crime that when considered with the duties
17    and responsibilities of an unarmed private security officer is considered by the division and the
18    board to indicate that the best interests of the public are not served by granting the applicant a
19    license;
20        (d) not have been declared by any court of competent jurisdiction incompetent by reason
21    of mental defect or disease and not been restored;
22        (e) not be currently suffering from habitual drunkenness or from drug addiction or
23    dependence;
24        (f) successfully complete basic education and training requirements established by rule by
25    the division in collaboration with the board;
26        (g) pass the examination requirement established by rule by the division in collaboration
27    with the board; and
28        (h) meet with the division and board if requested by the division or board.
29        (4) Each applicant for licensure as an alarm response runner shall:
30        (a) submit an application in a form prescribed by the division;
31        (b) pay a fee determined by the department under Section 63-38-3.2;

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1        (c) be of good moral character in that the applicant has not been convicted of a felony, a
2    misdemeanor involving moral turpitude, or any other crime that when considered with the duties
3    and responsibilities of an alarm response runner is considered by the division and board to indicate
4    that the best interests of the public are not served by granting the applicant a license;
5        (d) not have been declared by any court of competent jurisdiction incompetent by reason
6    of mental defect or disease and not been restored;
7        (e) not be currently suffering from habitual drunkenness or from drug addiction or
8    dependence; and
9        (f) meet with the division and board if requested by the division or board.
10        (5) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
11    division may make rules establishing when Federal Bureau of Investigation records shall be
12    checked for applicants.
13        (6) To determine if an applicant meets the qualifications of Subsections (1)(h), (2)(c),
14    (3)(c), and (4)(c), the division shall provide an appropriate number of copies of fingerprint cards
15    to the Department of Public Safety with the division's request to:
16        (a) conduct a search of records of the Department of Public Safety for criminal history
17    information relating to each applicant for licensure under this chapter and each applicant's officers,
18    directors, shareholders described in Subsection (1)(d)(ii), partners, proprietors, and responsible
19    management personnel; and
20        (b) forward to the Federal Bureau of Investigation a fingerprint card of each applicant
21    requiring a check of records of the F.B.I. for criminal history information under this section.
22        (7) The Department of Public Safety shall send to the division:
23        (a) a written record of criminal history, or certification of no criminal history record, as
24    contained in the records of the Department of Public Safety in a timely manner after receipt of a
25    fingerprint card from the division and a request for review of Department of Public Safety records;
26    and
27        (b) the results of the F.B.I. review concerning an applicant in a timely manner after receipt
28    of information from the F.B.I.
29        (8) (a) The division shall charge each applicant a fee, in accordance with Section
30    63-38-3.2, equal to the cost of performing the records reviews under this section.
31        (b) The division shall pay the Department of Public Safety the costs of all records reviews,

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1    and the Department of Public Safety shall pay the F.B.I. the costs of records reviews under this
2    chapter.
3        (9) Information obtained by the division from the reviews of criminal history records of
4    the Department of Public Safety and the F.B.I. shall be used or disseminated by the division only
5    for the purpose of determining if an applicant for licensure under this chapter is qualified for
6    licensure.
7        Section 140. Section 58-65-302 (Effective 07/01/97) is amended to read:
8         58-65-302 (Effective 07/01/97). Qualifications for licensure.
9        (1) Each applicant for licensure as an alarm company shall:
10        (a) submit an application in a form prescribed by the division;
11        (b) pay a fee determined by the department under Section 63-38-3.2;
12        (c) have a qualifying agent who is an officer, director, partner, proprietor, or manager of
13    the applicant who:
14        (i) demonstrates 6,000 hours of experience in the alarm company business;
15        (ii) demonstrates 2,000 hours of experience as a manager or administrator in the alarm
16    company business or in a construction business; and
17        (iii) passes an examination component established by rule by the division in collaboration
18    with the board;
19        (d) if a corporation, provide:
20        (i) the names, addresses, dates of birth, social security numbers, and fingerprint cards of
21    all corporate officers, directors, and those responsible management personnel employed within the
22    state or having direct responsibility for managing operations of the applicant within the state; and
23        (ii) the names, addresses, dates of birth, social security numbers, and fingerprint cards of
24    all shareholders owning 5% or more of the outstanding shares of the corporation, except this shall
25    not be required if the stock is publicly listed and traded;
26        (e) if a limited liability company, provide:
27        (i) the names, addresses, dates of birth, social security numbers, and fingerprint cards of
28    all company officers, and those responsible management personnel employed within the state or
29    having direct responsibility for managing operations of the applicant within the state; and
30        (ii) the names, addresses, dates of birth, social security numbers, and fingerprint cards of
31    all individuals owning 5% or more of the equity of the company;

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1        (f) if a partnership, the names, addresses, dates of birth, social security numbers, and
2    fingerprint cards of all general partners, and those responsible management personnel employed
3    within the state or having direct responsibility for managing operations of the applicant within the
4    state;
5        (g) if a proprietorship, the names, addresses, dates of birth, social security numbers, and
6    fingerprint cards of the proprietor, and those responsible management personnel employed within
7    the state or having direct responsibility for managing operations of the applicant within the state;
8        (h) be of good moral character in that officers, directors, shareholders described in
9    Subsection (1)(d)(ii), partners, proprietors, and responsible management personnel have not been
10    convicted of a felony, a misdemeanor involving moral turpitude, or any other crime that when
11    considered with the duties and responsibilities of an alarm company is considered by the division
12    and the board to indicate that the best interests of the public are served by granting the applicant
13    a license;
14        (i) document that none of applicant's officers, directors, shareholders described in
15    Subsection (1)(d)(ii), partners, proprietors, and responsible management personnel have been
16    declared by any court of competent jurisdiction incompetent by reason of mental defect or disease
17    and not been restored;
18        (j) document that none of applicant's officers, directors, shareholders described in
19    Subsection (1)(d)(ii), partners, proprietors, and responsible management personnel are currently
20    suffering from habitual drunkenness or from drug addiction or dependence;
21        (k) file and maintain with the division evidence of:
22        (i) comprehensive general liability insurance in form and in amounts to be established by
23    rule by the division in collaboration with the board;
24        (ii) workers' compensation insurance that covers employees of the applicant in accordance
25    with applicable Utah law; and
26        (iii) registration as is required by applicable law with the:
27        (A) Division of Corporations and Commercial Code; [and]
28        [(iv) registration with the] (B) Division of [Employment Development,] Workforce
29    Information and Payment Services in the Department of Workforce Services, for purposes of Title
30    35A, Chapter 4, Employment Security Act;
31        (C) State Tax Commission[,]; and [the]

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1        (D) Internal Revenue Service [as is required by applicable law]; and
2        (l) meet with the division and board.
3        (2) Each applicant for licensure as an alarm company agent shall:
4        (a) submit an application in a form prescribed by the division accompanied by fingerprint
5    cards;
6        (b) pay a fee determined by the department under Section 63-38-3.2;
7        (c) be of good moral character in that the applicant has not been convicted of a felony, a
8    misdemeanor involving moral turpitude, or any other crime that when considered with the duties
9    and responsibilities of an alarm company agent is considered by the division and the board to
10    indicate that the best interests of the public are served by granting the applicant a license;
11        (d) not have been declared by any court of competent jurisdiction incompetent by reason
12    of mental defect or disease and not been restored;
13        (e) not be currently suffering from habitual drunkenness or from drug addiction or
14    dependence; and
15        (f) meet with the division and board if requested by the division or the board.
16        (3) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
17    division may make rules establishing when Federal Bureau of Investigation records shall be
18    checked for applicants.
19        (4) To determine if an applicant meets the qualifications of Subsections (1)(h) and (2)(c),
20    the division shall provide an appropriate number of copies of fingerprint cards to the Department
21    of Public Safety with the division's request to:
22        (a) conduct a search of records of the Department of Public Safety for criminal history
23    information relating to each applicant for licensure under this chapter and each applicant's officers,
24    directors, and shareholders described in Subsection (1)(d)(ii), partners, proprietors, and responsible
25    management personnel; and
26        (b) forward to the Federal Bureau of Investigation a fingerprint card of each applicant
27    requiring a check of records of the F.B.I. for criminal history information under this section.
28        (5) The Department of Public Safety shall send to the division:
29        (a) a written record of criminal history, or certification of no criminal history record, as
30    contained in the records of the Department of Public Safety in a timely manner after receipt of a
31    fingerprint card from the division and a request for review of Department of Public Safety records;

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1    and
2        (b) the results of the F.B.I. review concerning an applicant in a timely manner after receipt
3    of information from the F.B.I.
4        (6) (a) The division shall charge each applicant a fee, in accordance with Section
5    63-38-3.2, equal to the cost of performing the records reviews under this section.
6        (b) The division shall pay the Department of Public Safety the costs of all records reviews,
7    and the Department of Public Safety shall pay the F.B.I. the costs of records reviews under this
8    chapter.
9        (7) Information obtained by the division from the reviews of criminal history records of
10    the Department of Public Safety and the F.B.I. shall be used or disseminated by the division only
11    for the purpose of determining if an applicant for licensure under this chapter is qualified for
12    licensure.
13        Section 141. Section 62A-1-114 (Repealed 07/01/97) is amended to read:
14         62A-1-114 (Repealed 07/01/97). Department is state agency for specified federal
15     programs -- Development of state plans and programs.
16        (1) The department shall be the social services authority of the state, and shall be the sole
17    state agency for administration of federally-assisted state programs or plans such as the social
18    services block grant, low income energy assistance program block grant, alcohol, drug, and mental
19    health block grant, [public assistance,] child welfare, refugee assistance, and state programs
20    supported under the Older Americans Act, 42 U.S.C. Sections 3001 et seq.
21        (2) State plans and programs administered by the department shall be developed in the
22    appropriate divisions and offices of the department, in accordance with the policy of the
23    appropriate boards, and are subject to approval or change by the executive director to achieve
24    coordination, efficiency, or economy.
25        Section 142. Section 62A-4a-709 (Effective 07/01/97) is amended to read:
26         62A-4a-709 (Effective 07/01/97). Medical assistance identification.
27        (1) As used in this section:
28        (a) "Adoption assistance" means financial support to adoptive parents provided under the
29    Adoption Assistance and Child Welfare Act of 1980, Titles IV (e) and XIX of the Social Security
30    Act.
31        (b) "Adoption assistance agreement" means a written agreement between the division and

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1    adoptive parents or between any state and adoptive parents, providing for adoption assistance.
2        (c) "Interstate compact" means an agreement executed by the division with any other state,
3    under the authority granted in Section 62A-4a-108.
4        (2) The Division of Employment Development in the Department of Workforce Services[,]
5    and the Division of Health Care Financing shall cooperate with the division and comply with
6    interstate compacts.
7        (3) A child who is a resident of this state and is the subject of an interstate compact is
8    entitled to receive medical assistance identification from the Division of Employment
9    Development in the Department of Workforce Services[,] and the Division of Health Care
10    Financing by filing a certified copy of his adoption assistance agreement with that office. The
11    adoptive parents shall annually provide that office with evidence, verifying that the adoption
12    assistance agreement is still effective.
13        (4) The Division of Employment Development in the Department of Workforce Services
14    shall consider the holder of medical assistance identification received under this section as it does
15    any other holder of medical assistance identification received under an adoption assistance
16    agreement executed by the division.
17        (5) The submission of any claim for payment or reimbursement under this section that is
18    known to be false, misleading, or fraudulent is punishable as a third degree felony.
19        Section 143. Section 63-46a-9 is amended to read:
20         63-46a-9. Agency review of rules -- Schedule of filings.
21        (1) Each agency shall review each of its rules within five years of the rule's original
22    effective date or within five years of the filing of the last five-year review, whichever is later.
23    Rules effective prior to 1992 need not be reviewed until 1997.
24        (2) An agency may consider any substantial review of a rule to be a five-year review. If
25    the agency chooses to consider a review a five-year review, it shall follow the procedures outlined
26    in Subsection (3).
27        (3) At the conclusion of its review, the agency shall file a notice of review on or before
28    the anniversary date indicating its intent to continue, amend, or repeal the rule.
29        (a) If the agency continues the rule, it shall file a statement which includes:
30        (i) a concise explanation of the particular statutory provisions under which the rule is
31    enacted and how these provisions authorize or require the rule;

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1        (ii) a summary of written comments received after enactment of the rule from interested
2    persons supporting or opposing the rule; and
3        (iii) a reasoned justification for continuation of the rule, including reasons why the agency
4    disagrees with comments in opposition to the rule, if any.
5        (b) If the agency repeals the rule, it shall comply with Section 63-46a-4.
6        (c) If the agency amends and continues the rule, it shall comply with the requirements of
7    Section 63-46a-4 and file the statement required in Subsection (3)(a).
8        (4) (a) The division shall publish the notice and statement in the bulletin.
9        (b) The division may schedule the publication of agency notices and statements, provided
10    that no notice and statement shall be published more than one year after the review deadline
11    established under Subsection (1).
12        (5) The division shall notify an agency of rules due for review at least 180 days prior to
13    the anniversary date.
14        (6) If an agency finds that it will not meet the deadline established in Subsection (1):
15        (a) the agency may file an extension prior to the anniversary date with the division
16    indicating the reason for the extension; and
17        (b) the division shall publish the extension in the next issue of the bulletin.
18        (7) An extension permits the agency to file a notice no more than 120 days after the
19    anniversary date.
20        (8) If an agency fails to file a notice of review or extension before the date specified in the
21    notice mandated in Subsection (4), the division shall:
22        (a) publish a notice in the next issue of the bulletin that the rule has expired and is no
23    longer enforceable;
24        (b) remove the rule from the code; and
25        (c) notify the agency that the rule has expired.
26        (9) After a rule expires, an agency must comply with the requirements of Section 63-46a-4
27    to reenact the rule.
28        (10) (a) Rules issued under the following statutes related to the Department of Workforce
29    Services that are in effect on July 1, 1997, are not subject to the requirements of this section until
30    July 1, 1998:
31        (i) Title 34, Labor in General;

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1        (ii) Title 35A, Utah Workforce Services Code;
2        (iii) Title 40, Chapter 2, Coal Mines; and
3        (iv) Title 57, Chapter 21, Utah Fair Housing Act.
4        (b) Any rule described in Subsection (10)(a), expires July 1, 1998, unless for that rule the
5    Department of Workforce Services files:
6        (i) the notice of review, described in Subsection (3); or
7        (ii) an extension described in Subsection (6).
8        Section 144. Section 63-55-235 (Effective 07/01/97) is amended to read:
9         63-55-235 (Effective 07/01/97). Repeal dates, Title 35 and Title 35A.
10        (1) Title 35A, Utah Workforce Services Code, is repealed July 1, 2005.
11        (2) Title 35, Chapter 10, Utah Injured Worker Reemployment Act, is repealed July 1,
12    1999.
13        (3) Section 35A-8-102, the Displaced Homemaker Program, together with the provision
14    for funding that program contained in Subsection 17-5-214(3)(b), is repealed July 1, 2007.
15        Section 145. Section 63-55-253 is amended to read:
16         63-55-253. Repeal dates, Titles 53A, 53B.
17        (1) The following provisions of Title 53A are repealed on the following dates:
18        (a) The State Textbook Commission, created in Section 53A-14-101, is repealed July 1,
19    2001.
20        [(b) Section 53A-15-204, the Displaced Homemaker Program, together with the provision
21    for funding that program contained in Subsection 17-5-214(3)(b), is repealed July 1, 1997.]
22        [(c)] (b) Title 53A, Chapter 20a, Public Education Revenue Bond Act, is repealed July 1,
23    1997.
24        [(d)] (c) The advisory council for the Division of Services for the Blind and Visually
25    Impaired, appointed in Section 53A-24-305, is repealed July 1, 2006.
26        [(e)] (d) The institutional council for the Schools for the Deaf and Blind, created in Section
27    53A-25-301, is repealed July 1, 2005.
28        (2) The following provisions of Title 53B are repealed on the following dates:
29        (a) The State Board of Regents, created in Section 53B-1-103, is repealed July 1, 2001.
30        (b) The following Boards of Trustees, created in Section 53B-2-103, are repealed on the
31    following dates:

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1        (i) University of Utah is repealed July 1, 2002.
2        (ii) Utah State University is repealed July 1, 2003.
3        (iii) Weber State University is repealed July 1, 2004.
4        (iv) Southern Utah University is repealed July 1, 1999.
5        (v) Snow College is repealed July 1, 1997.
6        (vi) Dixie College is repealed July 1, 2000.
7        (vii) College of Eastern Utah is repealed July 1, 1998.
8        (viii) Utah Valley State College is repealed July 1, 2006.
9        (ix) Salt Lake Community College is repealed July 1, 2005.
10        Section 146. Section 67-1-12 (Effective 07/01/97) is amended to read:
11         67-1-12 (Effective 07/01/97). Displaced defense workers.
12        (1) The governor, through the Department of Workforce Services, may use funds
13    specifically appropriated by the Legislature to benefit, in a manner prescribed by Subsection (2):
14        (a) Department of Defense employees within the state who lose their employment because
15    of reductions in defense spending by the federal government;
16        (b) persons dismissed by a defense-related industry employer because of reductions in
17    federal government defense contracts received by the employer; and
18        (c) defense-related businesses in the state that have been severely and adversely impacted
19    because of reductions in defense spending.
20        (2) For funds previously appropriated but not expended as of the fiscal year 1995-96 and
21    for all subsequent appropriations, at least 40% of any amount appropriated under this section shall
22    be administered through the Division of Employment Development and shall be used to fund
23    actual job training services [through local coordinating councils] in a manner consistent with this
24    section. Sixty percent of any amount appropriated under this section may be used to:
25        (a) provide matching or enhancement funds for grants, loans, or other assistance received
26    by the state from the United States Department of Labor, Department of Defense, or other federal
27    agency to assist in retraining, community assistance, or technology transfer activities;
28        (b) fund or match available private or public funds from the state or local level to be used
29    for retraining, community assistance, technology transfer, or educational projects coordinated by
30    [local coordinating councils or other] state or federal agencies;
31        (c) provide for retraining, upgraded services, and programs at applied technology centers,

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1    public schools, higher education institutions, or any other appropriate public or private entity that
2    are designed to teach specific job skills requested by a private employer in the state or required for
3    occupations that are in demand in the state;
4        (d) aid public or private entities that provide assistance in locating new employment;
5        (e) inform the public of assistance programs available for persons who have lost their
6    employment;
7        (f) increase funding for assistance and retraining programs;
8        (g) provide assistance for small start-up companies owned or operated by persons who
9    have lost their employment;
10        (h) enhance the implementation of dual-use technologies programs, community adjustment
11    assistance programs, or other relevant programs under Pub. L. No. 102-484; and
12        (i) coordinate local and national resources to protect and enhance current Utah defense
13    installations and related operations and to facilitate conversion or enhancement efforts by:
14        (i) creating and operating state information clearinghouse operations that monitor relevant
15    activities on the federal, state, and local level;
16        (ii) identifying, seeking, and matching funds from federal and other public agencies and
17    private donors;
18        (iii) identifying and coordinating needs in different geographic areas;
19        (iv) coordinating training and retraining centers;
20        (v) coordinating technology transfer efforts between public entities, private entities, and
21    institutions of higher education;
22        (vi) facilitating the development of local and national awareness and support for Utah
23    defense installations;
24        (vii) studying the creation of strategic alliances, tax incentives, and relocation and
25    consolidation assistance; and
26        (viii) exploring feasible alternative uses for the physical and human resources at defense
27    installations and in related industries should reductions in mission occur.
28        (3) The governor, through the Department of Workforce Services, may coordinate and
29    administer the expenditure of monies under this section [through the Office of Job Training, local
30    coordinating councils, or the Job Training Coordinating Council that in turn shall] and collaborate
31    with applied technology centers, public institutions of higher learning, or other appropriate public

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1    or private entities to provide retraining and other services described in Subsection (2).
2        Section 147. Section 67-22-2 (Effective 07/01/97) is amended to read:
3         67-22-2 (Effective 07/01/97). Compensation -- Other state officers.
4        (1) The governor shall establish salaries for the following state officers within the
5    following salary ranges fixed by the Legislature:
6            State Officer                     Salary Range
7        [Member, Workforce Appeals Board            $49,200 - $66,600]
8        Director, Health Policy Commission             $51,100 - $69,200
9        Commissioner of Agriculture             $54,700 - $74,100
10        Commissioner of Insurance                 $54,700 - $74,100
11        Director, Alcoholic Beverage Control
12            Commission                     $54,700 - $74,100
13        Commissioners, Department of Financial
14            Institutions                     $54,700 - $74,100
15        Members, Board of Pardons and Parole         $54,700 - $74,100
16        Executive Director, Department
17            of Commerce                     $54,700 - $74,100
18        Executive Director, Commission on
19            Criminal and Juvenile Justice         $54,700 - $74,100
20        Adjutant General                     $54,700 - $74,100
21        Chair, Tax Commission                 $59,200 - $80,000
22        Commissioners, Tax Commission             $59,200 - $80,000
23        Executive Director, Department of
24            Community and Economic
25            Development                     $59,200 - $80,000
26        Executive Director, Tax Commission         $59,200 - $80,000
27        Chair, Public Service Commission             $59,200 - $80,000
28        Commissioner, Public Service Commission         $59,200 - $80,000
29        Executive Director, Department
30            of Corrections                     $64,500 - $87,100
31        Commissioner, Department of Public Safety         $64,500 - $87,100

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1        Executive Director, Department of
2            Natural Resources                 $64,500 - $87,100
3        Director, Office of Planning
4            and Budget                     $64,500 - $87,100
5        Executive Director, Department of
6            Administrative Services             $64,500 - $87,100
7        Executive Director, Department of
8            Human Resource Management         $64,500 - $87,100
9        Executive Director, Department of
10            Environmental Quality             $64,500 - $87,100
11        Executive Director, Department of             $67,500 - $91,200
12            Workforce Services
13        Executive Director, Department of
14            Health                         $70,100 - $94,800
15        Executive Director, Department
16            of Human Services                 $70,100 - $94,800
17        Executive Director, Department
18            of Transportation                 $70,100 - $94,800
19        (2) (a) The Legislature fixes benefits for the state offices outlined in Subsection (1) as
20    follows:
21        (i) the option of participating in a state retirement system established by Title 49 or in a
22    deferred compensation plan administered by the State Retirement Office in accordance with the
23    Internal Revenue Code and its accompanying rules and regulations;
24        (ii) health insurance;
25        (iii) dental insurance;
26        (iv) basic life insurance;
27        (v) unemployment compensation;
28        (vi) workers' compensation;
29        (vii) required employer contribution to Social Security;
30        (viii) long-term disability insurance;
31        (ix) the same additional state-paid life insurance available to other noncareer service

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1    employees;
2        (x) the same severance pay available to other noncareer service employees;
3        (xi) the same sick leave, converted sick leave, educational allowances, and holidays
4    granted to Schedule B state employees, and the same annual leave granted to Schedule B state
5    employees with more than ten years of state service;
6        (xii) the option to convert accumulated sick leave to cash or insurance benefits as provided
7    by law or rule upon resignation or retirement according to the same criteria and procedures applied
8    to Schedule B state employees;
9        (xiii) the option to purchase additional life insurance at group insurance rates according
10    to the same criteria and procedures applied to Schedule B state employees; and
11        (xiv) professional memberships if being a member of the professional organization is a
12    requirement of the position.
13        (b) Each department shall pay the cost of additional state-paid life insurance for its
14    executive director from its existing budget.
15        (3) The Legislature fixes the following additional benefits:
16        (a) for the executive director of the State Tax Commission a vehicle for official and
17    personal use;
18        (b) for the executive director of the Department of Transportation a vehicle for commute
19    and official use;
20        (c) for the executive director of the Department of Natural Resources a vehicle for
21    commute and official use;
22        (d) for the Commissioner of Public Safety:
23        (i) an accidental death insurance policy if POST certified; and
24        (ii) a public safety vehicle for official and personal use;
25        (e) for the executive director of the Department of Corrections:
26        (i) an accidental death insurance policy if POST certified; and
27        (ii) a public safety vehicle for official and personal use;
28        (f) for the Adjutant General a vehicle for official and personal use; and
29        (g) for each member of the Board of Pardons and Parole a vehicle for commute and official
30    use.
31        (4) (a) The governor has the discretion to establish a specific salary for each office listed

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1    in Subsection (1), and, within that discretion, may provide salary increases within the range fixed
2    by the Legislature.
3        (b) The governor shall apply the same overtime regulations applicable to other FLSA
4    exempt positions.
5        (c) The governor may develop standards and criteria for reviewing the performance of the
6    state officers listed in Subsection (1).
7        (5) Salaries for other Schedule A employees, as defined in Section 67-19-15, which are
8    not provided for in this chapter, or in Title 67, Chapter 8, Utah Executive and Judicial Salary Act,
9    shall be established as provided in Section 67-19-15.
10        Section 148. Repealer.
11        This act repeals:
12        Section 34-28-11, Commission may employ assistants.
13        Section 35A-3-114 (Effective 07/01/97), Workers' compensation insurance fraud --
14     Elements -- Penalties -- Notice.
15        Section 35A-3-117 (Effective 07/01/97), Managed health care -- Health care cost
16     containment..
17        Section 35A-3-305 (Effective 07/01/97), When effective -- Time for compliance.
18        Section 35A-3-306 (Effective 07/01/97), Hearing on issue of lawfulness.
19        Section 35A-3-308 (Effective 07/01/97), Actions to set aside orders.
20        Section 35A-3-309 (Effective 07/01/97), Actions to set aside orders -- Exclusive
21     jurisdiction of the Supreme Court, district courts, and the Court of Appeals.
22        Section 35A-3-310 (Effective 07/01/97), Stay of proceedings -- Supersedeas bond.
23        Section 35A-3-311 (Effective 07/01/97), Proceedings preferred on trial calendars.
24        Section 35A-10-101 (Effective 07/01/97), Declaration of public policy.
25        Section 35A-10-102 (Effective 07/01/97), Apprenticeship Council -- Composition --
26     Appointment of representatives -- Terms of members -- Filling of vacancy -- Compensation
27     of members -- Duties -- Director of apprenticeship -- Designation of officers -- Annual public
28     report.
29        Section 35A-10-103 (Effective 07/01/97), Official action by Apprenticeship Council --
30     Vote required -- Quorum.
31        Section 35A-10-104 (Effective 07/01/97), Joint apprenticeship committees -- Approval

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1     by Apprenticeship Council -- Composition -- Standards established by employers -- Teachers
2     and coordinators, selection and training.
3        Section 35A-10-108 (Effective 07/01/97), Separability clause.
4        Section 149. Retrospective operation for department payroll -- Payroll.
5        Only for the purpose of determining the payroll of the Department of Workforce Services,
6    the new hire or transfer of employees to the Department of Workforce Services is to be applied
7    retroactively to June 28, 1997.
8        Section 150. Reappointment of committees.
9        (1) The term of a member of the following councils, committees, or panels as of June 30,
10    1996, shall terminate July 1, 1997:
11        (a) workers' compensation advisory council created in Section 35A-3-107;
12        (b) employment security advisory council created in Section 35A-4-502;
13        (c) antidiscrimination advisory committee created in Section 35A-5-105;
14        (d) Utah occupational safety and health advisory council created in Section 35A-6-106;
15        (e) child care advisory committee created in Section 35A-8-205; and
16        (f) the mining certification panel created in Section 40-2-14.
17        (2) The reappointment of members to the councils, committees, or panels listed in
18    Subsection (1) shall be in accordance to the applicable statute creating the council, committee, or
19    panel.
20        Section 151. Application of rules.
21        It is the intent of the Legislature that rules issued under the following statutes that are in
22    effect on July 1,1995, are not modified by this act and remain in effect, except that the agency
23    administrating the rule shall be transferred to the Department of Workforce Services in the same
24    manner as the statutory responsibility is transferred under this act:
25        (1) Title 34, Labor in General;
26        (2) Title 35A, Utah Workforce Services Code;
27        (3) Title 40, Chapter 2, Local Mines; and
28        (4) Title 57, Chapter 21, Utah Fair Housing Act.
29        Section 152. Effective date.
30        This act takes effect on July 1, 1997.


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Legislative Review Note
    as of 2-10-97 6:59 AM

    
This bill implements significant changes to the structure of state government. The structural
changes include transferring certain responsibilities that have previously been exercised by an
independent state agency to an executive branch entity and more specifically separating
regulatory functions from adjudicative functions. The restructuring in both its size and
complexity is without precedent in the recent history of the state. While an attempt has been
made to address the federal and state constitutional or statutory concerns raised as a result of
the restructuring, a determination cannot be made as to whether all legal implications have
been fully resolved.

Office of Legislative Research and General Counsel


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