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H.B. 102
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6 AN ACT RELATING TO THE PUBLIC MENTAL HEALTH AND SUBSTANCE ABUSE
7 SYSTEMS; INCREASING ACCOUNTABILITY, RESPONSIBILITY, AND LIABILITY OF
8 COUNTY GOVERNING BODIES WITH REGARD TO PUBLIC FUNDS; DEFINING PUBLIC
9 FUNDS; PROVIDING CONTRACT AND AUDIT REQUIREMENTS; INCREASING
10 AUTHORITY AND RESPONSIBILITY OF THE DIVISIONS OF MENTAL HEALTH AND
11 SUBSTANCE ABUSE OVER SPECIFIED FEDERAL AND STATE FUNDS ALLOCATED
12 FOR LOCAL MENTAL HEALTH AND SUBSTANCE ABUSE PROGRAMS AND SERVICES;
13 MAKING TECHNICAL CORRECTIONS; AND PROVIDING AN EFFECTIVE DATE.
14 This act affects sections of Utah Code Annotated 1953 as follows:
15 AMENDS:
16 17A-1-403, as last amended by Chapter 30, Laws of Utah 1992
17 17A-3-602, as enacted by Chapter 181, Laws of Utah 1990
18 17A-3-701, as last amended by Chapter 30, Laws of Utah 1992
19 62A-1-111, as last amended by Chapters 34 and 254, Laws of Utah 1998
20 62A-8-101, as last amended by Chapter 227, Laws of Utah 1993
21 62A-8-103, as last amended by Chapter 68, Laws of Utah 1997
22 62A-8-104, as last amended by Chapter 181, Laws of Utah 1990
23 62A-8-109, as enacted by Chapter 1, Laws of Utah 1988
24 62A-8-112, as enacted by Chapter 181, Laws of Utah 1990
25 62A-12-101, as last amended by Chapter 227, Laws of Utah 1993
26 62A-12-102, as last amended by Chapter 181, Laws of Utah 1990
27 62A-12-102.5, as renumbered and amended by Chapter 181, Laws of Utah 1990
28 62A-12-105, as last amended by Chapter 30, Laws of Utah 1992
29 62A-12-289, as last amended by Chapter 13, Laws of Utah 1998
30 67-3-1, as last amended by Chapter 169, Laws of Utah 1997
31 76-8-401, as last amended by Chapter 232, Laws of Utah 1995
32 76-8-402, as last amended by Chapter 232, Laws of Utah 1995
33 76-8-404, as last amended by Chapter 232, Laws of Utah 1995
34 ENACTS:
35 17A-3-603.5, Utah Code Annotated 1953
36 17A-3-703, Utah Code Annotated 1953
37 62A-8-110.1, Utah Code Annotated 1953
38 62A-12-289.1, Utah Code Annotated 1953
39 REPEALS AND REENACTS:
40 62A-8-110.5, as enacted by Chapter 181, Laws of Utah 1990
41 REPEALS:
42 17A-3-612, as renumbered and amended by Chapter 186, Laws of Utah 1990
43 Be it enacted by the Legislature of the state of Utah:
44 Section 1. Section 17A-1-403 is amended to read:
45 17A-1-403. Applicability to special districts -- Exceptions.
46 This part applies to all special districts under Subsection 17A-1-404 (19) except the
47 following districts which are specifically excluded from this part:
48 (1) redevelopment agencies created under Chapter 2, Part [
49 (2) public transit districts created under Chapter 2, Part 10;
50 (3) health departments created under Title 26A, Chapter 1; and
51 [
52 [
53 entity is also a mental health district created under Chapter 3, Part 6.
54 Section 2. Section 17A-3-602 is amended to read:
55 17A-3-602. Local mental health authorities -- Responsibilities.
56 (1) All county governing bodies in this state are local mental health authorities. Within
57 legislative appropriations and county matching funds required by this section, under the policy
58 direction of the [
59 [
60 health authorities shall provide mental health services to persons within their respective counties.
61 Two or more county governing bodies may join to provide mental health prevention and treatment
62 services.
63 (2) The governing bodies may establish acceptable ways of apportioning the cost of mental
64 health services. Any agreement for joint mental health services may designate the treasurer of one
65 of the participating counties as the custodian of moneys available for those joint services, and that
66 the designated treasurer, or other disbursing officer, may make payments from those moneys for
67 such purposes upon audit of the appropriate auditing officer or officers representing the
68 participating counties. The agreement may provide for:
69 (a) joint operation of services and facilities or for operation of services and facilities under
70 contract by one participating local mental health authority for other participating local mental
71 health authorities; and
72 (b) allocation of appointments of members of the mental health advisory council between
73 or among participating counties.
74 (3) (a) All county governing bodies, as local mental health authorities, are accountable to
75 the Department of Human Services, the Department of Health, and the state with regard to the use
76 of state and federal funds received from those departments for mental health services, regardless
77 of whether the services are provided by a private contract provider.
78 (b) A local mental health authority shall comply, and require compliance by its contract
79 provider, with all directives issued by the Department of Human Services and the Department of
80 Health regarding the use and expenditure of state and federal funds received from those
81 departments for the purpose of providing mental health programs and services. The Department
82 of Human Services and Department of Health shall ensure that those directives are not duplicative
83 or conflicting, and shall consult and coordinate with local mental health authorities with regard to
84 programs and services.
85 [
86 (a) review and evaluate mental health needs and services;
87 (b) annually prepare and submit to the division a plan for mental health funding and
88 service delivery. The plan shall include[
89 [
90 (i) inpatient care and services;
91 (ii) residential care and services;
92 [
93 [
94 [
95 [
96 [
97 [
98 (v) psychotropic medication management;
99 (vi) psychosocial rehabilitation including vocational training and skills development;
100 (vii) case management;
101 (viii) community supports including in-home services, housing, family support services,
102 and respite services; and
103 (ix) consultation and education services, including but not limited to, case consultation,
104 collaboration with other service agencies, public education, and public information; [
105 [
106 (c) establish and maintain, either directly or by contract, programs licensed under Title
107 62A, Chapter 2, Licensure of Programs and Facilities;
108 (d) appoint directly or by contract a full-time or part-time director for mental health
109 programs and prescribe his duties;
110 (e) provide input and comment on new and revised policies established by the [
111 Board of Mental Health;
112 (f) establish [
113 clinical, personnel, financial, and management policies regarding mental health services and
114 facilities, in accordance with the policies of the [
115 of Mental Health, and state and federal law;
116 (g) establish mechanisms [
117 (h) annually contract with the Division of Mental Health to provide mental health
118 programs and services in accordance with the provisions of Title 62A, Chapter 12, Mental Health;
119 [
120 contract requirements, and any directives resulting from those audits[
121 [
122 services described in the plan; and
123 [
124 Cooperation Act, [
125 Political Subdivisions, Interlocal Organizations and Other Local Entities, and Title 17A, Chapter
126 1, Part 4, Uniform Fiscal Procedures for Special Districts Act.
127 [
128 that all entities that receive any public funds from a local mental health authority agree in writing
129 that:
130 (a) the division may examine the entity's financial records; [
131 (b) the county auditor may examine and audit the entity's financial records [
132
133 (c) the entity will comply with the provisions of Subsection (3)(b).
134 [
135 materials, contributions, and any benefit derived therefrom, for mental health services. If those
136 gifts are conditioned upon their use for a specified service or program, they shall be so used.
137 (7) (a) For purposes of this section "public funds" means the same as that term is defined
138 in Section 17A-3-603.5 .
139 (b) Nothing in this section limits or prohibits an organization exempt under Section
140 501(c)(3), Internal Revenue Code, from using public funds for any business purpose or in any
141 financial arrangement that is otherwise lawful for that organization.
142 Section 3. Section 17A-3-603.5 is enacted to read:
143 17A-3-603.5. Responsibility for oversight of public funds -- Mental health programs
144 and services.
145 (1) As used in this section, "public funds" means federal monies received from the
146 Department of Human Services or the Department of Health, and state monies appropriated by the
147 Legislature to the Department of Human Services, the Department of Health, a county governing
148 body, or local mental health authority for the purposes of providing mental health programs or
149 services. "Public funds" includes those federal and state monies that have been transferred by a
150 local mental health authority to a private provider under an annual or otherwise ongoing contract
151 to provide comprehensive mental health programs or services for the local mental health authority.
152 Those monies maintain the nature of "public funds" while in the possession of the private entity
153 that has an annual or otherwise ongoing contract with a local mental health authority to provide
154 comprehensive mental health programs or services for the local mental health authority.
155 (2) Each local mental health authority is responsible for oversight of all public funds
156 received by it, to determine that those public funds are utilized in accordance with federal and state
157 law, the rules and policies of the Department of Human Services and the Department of Health,
158 and the provisions of any contract between the local mental health authority and the Department
159 of Human Services, the Department of Health, or a private provider. That oversight includes
160 requiring that neither the contract provider, as described in Subsection (1), nor any of its
161 employees:
162 (a) violate any applicable federal or state criminal law;
163 (b) knowingly violate, on more than one occasion, any applicable rule or policy of the
164 Department of Human Services or Department of Health, or any provision of contract between the
165 local mental health authority and the Department of Human Services, the Department of Health,
166 or the private provider;
167 (c) knowingly keep any false account or make any false entry or erasure in any account of
168 or relating to the public funds;
169 (d) fraudulently alter, falsify, conceal, destroy, or obliterate any account of or relating to
170 public funds;
171 (e) fail to ensure competent oversight for lawful disbursement of public funds;
172 (f) appropriate public funds for an unlawful use or for a use that is not in compliance with
173 contract provisions; or
174 (g) knowingly or intentionally use public funds unlawfully or in violation of a
175 governmental contract provision, or in violation of state policy.
176 (3) Nothing in this section limits or prohibits an organization exempt under Section
177 501(c)(3), Internal Revenue Code, from using public funds for any business purpose or in any
178 financial arrangement that is otherwise lawful for that organization.
179 (4) A local mental health authority that knew or reasonably should have known of any of
180 the circumstances described in Subsection (2), and that fails or refuses to take timely corrective
181 action in good faith shall, in addition to any other penalties provided by law, be required to make
182 full and complete repayment to the state of all public funds improperly used or expended.
183 (5) Any public funds required to be repaid to the state by a local mental health authority
184 pursuant to Subsection (4), based upon the actions or failure of the contract provider, may be
185 recovered by the local mental health authority from its contract provider, in addition to the local
186 mental health authority's costs and attorney's fees.
187 Section 4. Section 17A-3-701 is amended to read:
188 17A-3-701. Local substance abuse authorities -- Responsibilities.
189 (1) All county governing bodies in this state are local substance abuse authorities. Within
190 legislative appropriations and county matching funds required by this section, and under the policy
191 direction of the [
192 [
193 abuse authorities shall provide substance abuse services to residents of their respective counties.
194 Two or more county governing bodies may join to provide substance abuse prevention and
195 treatment services.
196 (2) The governing bodies may establish acceptable ways of apportioning the cost of
197 substance abuse services. Any agreement for joint substance abuse services may designate the
198 treasurer of one of the participating counties as the custodian of moneys available for those joint
199 services, and that the designated treasurer, or other disbursing officer, may make payments from
200 those moneys for such purposes upon audit of the appropriate auditing officer or officers
201 representing the participating counties. The agreement may provide for joint operation of services
202 and facilities or for operation of services and facilities under contract by one participating local
203 substance abuse authority for other participating local substance abuse authorities.
204 (3) (a) All county governing bodies, as local substance abuse authorities, are accountable
205 to the Department of Human Services, the Department of Health, and the state with regard to the
206 use of state and federal funds received from those departments for substance abuse services,
207 regardless of whether the services are provided by a private contract provider.
208 (b) A local substance abuse authority shall comply, and require compliance by its contract
209 provider, with all directives issued by the Department of Human Services and the Department of
210 Health regarding the use and expenditure of state and federal funds received from those
211 departments for the purpose of providing substance abuse programs and services. The Department
212 of Human Services and Department of Health shall ensure that those directives are not duplicative
213 or conflicting, and shall consult and coordinate with local substance abuse authorities with regard
214 to programs and services.
215 [
216 (a) review and evaluate substance abuse prevention and treatment needs and services;
217 (b) annually prepare and submit a plan to the division for funding and service delivery; the
218 plan shall include, but is not limited to, primary prevention, targeted prevention, early intervention,
219 and treatment services;
220 (c) establish and maintain, either directly or by contract, programs licensed under Title
221 62A, Chapter 2;
222 (d) appoint directly or by contract, a full or part time director for substance abuse
223 programs, and prescribe his duties;
224 (e) provide input and comment on new and revised policies established by the [
225 Board of Substance Abuse;
226 (f) establish [
227 clinical, personnel, financial, and management policies regarding substance abuse services and
228 facilities, in accordance with the policies of the [
229 and federal law;
230 (g) establish mechanisms [
231 (h) annually contract with the Division of Substance Abuse to provide substance abuse
232 programs and services in accordance with the provisions of Title 62A, Chapter 8, Substance
233 Abuse;
234 [
235 contract requirements, and any directives resulting from those audits and contract requirements;
236 [
237 community setting through community-based prevention programs;
238 [
239 services described in the plan; and
240 [
241 Cooperation Act, [
242 Political Subdivisions, Interlocal Organizations and Other Local Entities, and Title 17A, Chapter
243 1, Part 4, Uniform Fiscal Procedures for Special Districts Act.
244 [
245 that all entities that receive any public funds from a local substance abuse authority agree in
246 writing that:
247 (a) the division may examine the entity's financial records; [
248 (b) the county auditor may examine and audit the entity's financial records [
249
250 (c) the entity will comply with the provisions of Subsection (3)(b).
251 [
252 materials, contributions, and any benefit derived therefrom, for substance abuse services. If those
253 gifts are conditioned upon their use for a specified service or program, they shall be so used.
254 (7) (a) For purposes of this section "public funds" means the same as that term is defined
255 in Section 17A-3-703 .
256 (b) Nothing in this section limits or prohibits an organization exempt under Section
257 501(c)(3), Internal Revenue Code, from using public funds for any business purpose or in any
258 financial arrangement that is otherwise lawful for that organization.
259 Section 5. Section 17A-3-703 is enacted to read:
260 17A-3-703. Responsibility for oversight of public funds -- Substance abuse programs
261 and services.
262 (1) As used in this section, "public funds" means federal monies received from the
263 Department of Human Services or the Department of Health, and state monies appropriated by the
264 Legislature to the Department of Human Services, the Department of Health, a county governing
265 body, or local substance abuse authority for the purposes of providing substance abuse programs
266 or services. "Public funds" includes those federal and state monies that have been transferred by
267 a local substance abuse authority to a private provider under an annual or otherwise ongoing
268 contract to provide comprehensive substance abuse programs or services for the local substance
269 abuse authority. Those monies maintain the nature of "public funds" while in the possession of
270 the private entity that has an annual or otherwise ongoing contract with a local substance abuse
271 authority to provide comprehensive substance abuse programs or services for the local substance
272 abuse authority.
273 (2) Each local substance abuse authority is responsible for oversight of all public funds
274 received by it, to determine that those public funds are utilized in accordance with federal and state
275 law, the rules and policies of the Department of Human Services and the Department of Health,
276 and the provisions of any contract between the local substance abuse authority and the Department
277 of Human Services, the Department of Health, or a private provider. That oversight includes
278 requiring that neither the contract provider, as described in Subsection (1), nor any of its
279 employees:
280 (a) violate any applicable federal or state criminal law;
281 (b) knowingly violate, on more than one occasion, any applicable rule or policy of the
282 Department of Human Services or Department of Health, or any provision of contract between the
283 local substance abuse authority and the Department of Human Services, the Department of Health,
284 or the private provider;
285 (c) knowingly keep any false account or make any false entry or erasure in any account of
286 or relating to the public funds;
287 (d) fraudulently alter, falsify, conceal, destroy, or obliterate any account of or relating to
288 public funds;
289 (e) fail to ensure competent oversight for lawful disbursement of public funds;
290 (f) appropriate public funds for an unlawful use or for a use that is not in compliance with
291 contract provisions; or
292 (g) knowingly or intentionally use public funds unlawfully or in violation of a
293 governmental contract provision, or in violation of state policy.
294 (3) Nothing in this section limits or prohibits an organization exempt under Section
295 501(c)(3), Internal Revenue Code, from using public funds for any business purpose or in any
296 financial arrangement that is otherwise lawful for that organization.
297 (4) A local substance abuse authority that knew or reasonably should have known of any
298 of the circumstances described in Subsection (2), and that fails or refuses to take timely corrective
299 action in good faith shall, in addition to any other penalties provided by law, be required to make
300 full and complete repayment to the state of all public funds improperly used or expended.
301 (5) Any public funds required to be repaid to the state by a local substance abuse authority
302 pursuant to Subsection (4), based upon the actions or failure of the contract provider, may be
303 recovered by the local substance abuse authority from its contract provider, in addition to the local
304 substance abuse authority's costs and attorney's fees.
305 Section 6. Section 62A-1-111 is amended to read:
306 62A-1-111. Department authority.
307 The department has authority, in addition to all other authority and responsibility granted
308 to it by law, to:
309 (1) adopt rules, not inconsistent with law, as the department may consider necessary or
310 desirable for providing social services to the people of this state;
311 (2) establish and manage client trust accounts in the department's institutions and
312 community programs, at the request of the client or his legal guardian or representative, or in
313 accordance with federal law;
314 (3) purchase, as authorized or required by law, services that the department is responsible
315 to provide for legally eligible persons;
316 (4) conduct adjudicative proceedings for clients and providers in accordance with the
317 procedures of Title 63, Chapter 46b, Administrative Procedures Act;
318 (5) establish eligibility standards for its programs, not inconsistent with state or federal law
319 or regulations;
320 (6) take necessary steps, including legal action, to recover money or the monetary value
321 of services provided to a recipient who was not eligible;
322 (7) set and collect fees for its services;
323 (8) license agencies, facilities, and programs, except as otherwise allowed, prohibited, or
324 limited by law;
325 (9) acquire, manage, and dispose of any real or personal property needed or owned by the
326 department, not inconsistent with state law;
327 (10) receive gifts, grants, devises, and donations; gifts, grants, devises, donations, or the
328 proceeds thereof, may be credited to the program designated by the donor, and may be used for the
329 purposes requested by the donor, as long as the request conforms to state and federal policy; all
330 donated funds shall be considered private, nonlapsing funds and may be invested under guidelines
331 established by the state treasurer;
332 (11) accept and employ volunteer labor or services; the department is authorized to
333 reimburse volunteers for necessary expenses, when the department considers that reimbursement
334 to be appropriate;
335 (12) carry out the responsibility assigned in the Workforce Services Plan by the State
336 Council on Workforce Services;
337 (13) carry out the responsibility assigned by Section 9-4-802 with respect to coordination
338 of services for the homeless;
339 (14) carry out the responsibility assigned by Section 62A-5a-105 with respect to
340 coordination of services for handicapped students;
341 (15) provide training and educational opportunities for its staff;
342 (16) collect child support payments and any other monies due to the department;
343 [
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347
348
349 [
350 Support Act, to parents whose child lives out of the home in a department licensed or certified
351 setting;
352 [
353 of a minor by the juvenile court pursuant to Section 78-3a-118 ; any policy and procedures shall
354 include:
355 (a) designation of interagency teams for each juvenile court district in the state;
356 (b) delineation of assessment criteria and procedures;
357 (c) minimum requirements, and timeframes, for the development and implementation of
358 a collaborative service plan for each minor placed in department custody; and
359 (d) provisions for submittal of the plan and periodic progress reports to the court; [
360 [
361 (20) examine and audit the expenditures of any public funds provided to local substance
362 abuse authorities, local mental health authorities, local area agencies on aging, and any person,
363 agency, or organization that contracts with or receives funds from those authorities or agencies.
364 Those local authorities, area agencies, and any person or entity that contracts with or receives funds
365 from those authorities or area agencies, shall provide the department with any information the
366 department considers necessary. The department is further authorized to issue directives resulting
367 from any examination or audit to local authorities, area agencies, and persons or entities that
368 contract with or receive funds from those authorities with regard to any public funds. If the
369 department determines that it is necessary to withhold funds from a local mental health authority
370 or local substance abuse authority based on failure to comply with state or federal law, policy, or
371 contract provisions, it may take steps necessary to ensure continuity of services. For purposes of
372 this Subsection (20) "public funds" means the same as that term is defined in Sections 62A-8-101
373 and 62A-12-101 .
374 Section 7. Section 62A-8-101 is amended to read:
375 62A-8-101. Definitions.
376 As used in this chapter:
377 (1) "Board" means the Board of Substance Abuse established in accordance with Section
378 62A-1-105 .
379 (2) "Director" means the director of the Division of Substance Abuse.
380 (3) "Division" means the Division of Substance Abuse established in Section 62A-8-103 .
381 (4) "Local substance abuse authority" means a county legislative body.
382 (5) (a) "Public funds" means federal monies received from the Department of Human
383 Services or the Department of Health, and state monies appropriated by the Legislature to the
384 Department of Human Services, the Department of Health, a county governing body, or local
385 substance abuse authority for the purposes of providing substance abuse programs or services.
386 "Public funds" includes those federal and state monies that have been transferred by a local
387 substance abuse authority to a private provider under an annual or otherwise ongoing contract to
388 provide comprehensive substance abuse programs or services for the local substance abuse
389 authority. Those monies maintain the nature of "public funds" while in the possession of the
390 private entity that has an annual or otherwise ongoing contract with a local substance abuse
391 authority to provide comprehensive substance abuse programs or services for the local substance
392 abuse authority.
393 (b) This definition of "public funds" does not limit or prohibit an organization exempt
394 under Section 501(c)(3), Internal Revenue Code, from using public funds for any business purpose
395 or in any financial arrangement that is otherwise lawful for that organization.
396 Section 8. Section 62A-8-103 is amended to read:
397 62A-8-103. Division -- Creation -- Responsibilities.
398 (1) There is created the Division of Substance Abuse within the department, under the
399 administration and general supervision of the executive director, and, with regard to its programs,
400 under the policy direction of the board. The division is the substance abuse authority for this state.
401 (2) The division shall:
402 (a) educate the general public regarding the nature and consequences of substance abuse
403 by promoting school and community-based prevention programs;
404 (b) render support and assistance to public schools through approved school-based
405 substance abuse education programs aimed at prevention of substance abuse;
406 (c) promote or establish programs for the prevention of substance abuse within the
407 community setting through community-based prevention programs;
408 (d) promote or establish cooperative relationships with courts, hospitals, clinics, medical
409 and social agencies, public health authorities, law enforcement agencies, education and research
410 organizations, and other related groups;
411 (e) provide consultation and other assistance to public and private agencies and groups;
412 (f) cooperate and assist other organizations and private treatment centers for substance
413 abusers, by providing them with essential materials for furthering programs of prevention and
414 rehabilitation of actual and potential substance abusers;
415 (g) promote or conduct research on substance abuse issues, and submit to the governor and
416 the Legislature recommendations for changes in policy and legislation;
417 (h) receive [
418 funds for substance abuse services;
419 (i) consult and coordinate with local substance abuse authorities regarding substance abuse
420 programs and services;
421 [
422 educate persons convicted of driving under the influence of alcohol or drugs or driving with any
423 measurable controlled substance in the body;
424 [
425
426 (l) examine expenditures of any local, state, and federal funds;
427 (m) monitor the expenditure of public funds by:
428 (i) local substance abuse authorities; and
429 (ii) in counties where they exist, the private contract provider that has an annual or
430 otherwise ongoing contract to provide comprehensive substance abuse programs or services for
431 the local substance abuse authority;
432 [
433 continuum of services in accordance with board and division policy, contract provisions, and the
434 local plan;
435 [
436 services according to board and division policy;
437 [
438 authority's plan in order to assure:
439 (i) a statewide comprehensive continuum of substance abuse services; and
440 (ii) appropriate expenditure of public funds;
441 (q) review and make recommendations regarding each local substance abuse authority's
442 contract with its provider of substance abuse programs and services to assure compliance with state
443 and federal law and policy;
444 [
445 requirements; and
446 [
447 providers for contract noncompliance, failure to comply with division directives regarding the use
448 of public funds, or for misuse of public funds or monies.
449 (3) (a) The division may refuse to contract with and may pursue its legal remedies against
450 any local substance abuse authority that fails, or has failed, to expend public funds in accordance
451 with state law, policy, contract provisions, or directives issued in accordance with state law.
452 (b) The division may withhold funds from a local substance abuse authority if the
453 authority's contract with its provider of substance abuse services fails to comply with state and
454 federal law or policy.
455 (4) Before reissuing or renewing a contract with any local substance abuse authority, the
456 division shall review and determine whether the local substance abuse authority is complying with
457 its oversight and management responsibilities described in Sections 17A-3-701 and 17A-3-703 .
458 Nothing in this Subsection (4) may be used as a defense to the responsibility and liability described
459 in Section 17A-3-703 .
460 [
461 treatment or educational facilities that exist in other divisions or departments of the state, but shall
462 work in conjunction with those divisions and departments in rendering the treatment or educational
463 services that those divisions and departments are competent and able to provide.
464 [
465 gifts, devises, or bequests of real or personal property or services to be used as specified by the
466 donor.
467 (b) Those donations, gifts, devises, or bequests shall be used by the division in performing
468 its powers and duties. Any money so obtained shall be considered private nonlapsing funds and
469 shall be deposited into an interest-bearing expendable trust fund to be used by the division for
470 substance abuse services. The state treasurer may invest the fund and all interest shall remain with
471 the fund.
472 (7) The division shall annually review with each local substance abuse authority the
473 authority's statutory and contract responsibilities regarding:
474 (a) the use of public funds;
475 (b) oversight responsibilities regarding public funds; and
476 (c) governance of substance abuse programs and services.
477 Section 9. Section 62A-8-104 is amended to read:
478 62A-8-104. Authority to assess fees.
479 (1) The division may, with the approval of the Legislature, the executive director, and the
480 board, establish fee schedules and assess fees for services rendered by the division.
481 (2) Fees shall be charged for substance abuse treatment services, but services may not be
482 refused to any person because of his [
483 Section 10. Section 62A-8-109 is amended to read:
484 62A-8-109. Formula for allocation of funds to local substance abuse authorities.
485 (1) The board shall establish, by rule, a formula for allocating funds to local substance
486 abuse authorities through contracts, to provide substance abuse prevention and treatment services
487 in accordance with the provisions of this chapter and of Title 17A, Chapter 3, Part 7, Local
488 Substance Abuse Authorities. That formula shall provide for allocation of funds based on need.
489 Determination of need shall be based on population unless the board establishes, by valid and
490 accepted data, that other defined factors are relevant and reliable indicators of need. The formula
491 shall include a differential to compensate for additional costs of providing services in rural areas.
492 (2) The formula established under Subsection (1) [
493
494 local substance abuse authorities, but does not apply to:
495 (a) funds that local substance abuse authorities receive from sources other than the
496 division;
497 (b) funds that local substance abuse authorities receive from the division to operate a
498 specific program within its jurisdiction which is available to all residents of the state;
499 (c) funds that local substance abuse authorities receive from the division to meet a need
500 that exists only within that local area; and
501 (d) funds that local substance abuse authorities receive from the division for research
502 projects.
503 (3) Contracts with local substance abuse authorities shall provide that the division may
504 withhold funds otherwise allocated pursuant to this section to cover the costs of audits, attorneys'
505 fees, and other expenditures associated with reviewing the expenditure of public funds by a local
506 substance abuse authority or its contract provider, if there has been an audit finding or judicial
507 determination that public funds have been misused by the local substance abuse authority or its
508 contract provider.
509 Section 11. Section 62A-8-110.1 is enacted to read:
510 62A-8-110.1. Responsibilities of the Division of Substance Abuse.
511 (1) It is the responsibility of the division to assure that the requirements of this part are met
512 and applied uniformly by local substance abuse authorities across the state.
513 (2) Since it is the division's responsibility to contract with, review, approve, and oversee
514 local substance abuse authority plans, and to withhold funds from local substance abuse authorities
515 and public and private providers for contract noncompliance or misuse of public funds, the
516 division shall:
517 (a) require each local substance abuse authority to submit its plan to the division by May
518 1 of each year;
519 (b) conduct an annual program audit and review of each local substance abuse authority
520 in the state, and its contract provider; and
521 (c) provide a written report to the Health and Human Services Interim Committee on July
522 1, 1999, and each year thereafter, and provide an oral report to that committee, as requested. That
523 report shall provide information regarding:
524 (i) the annual audit and review;
525 (ii) the financial expenditures of each local substance abuse authority and its contract
526 provider;
527 (iii) the status of each local authority's and its contract provider's compliance with its plan,
528 state statutes, and with the provisions of the contract awarded; and
529 (iv) whether audit guidelines established pursuant to Section 62A-8-110.5 and Subsection
530 67-3-1 (2)(o) provide the division with sufficient criteria and assurances of appropriate
531 expenditures of public funds.
532 (3) The annual audit and review described in Subsection (2)(b) shall, in addition to items
533 determined by the division to be necessary and appropriate, include a review and determination
534 regarding whether public funds allocated to local substance abuse authorities are consistent with
535 services rendered and outcomes reported by it or its contract provider, and whether each local
536 substance abuse authority is exercising sufficient oversight and control over public funds allocated
537 for substance abuse programs and services.
538 (4) The Legislature may refuse to appropriate funds to the division upon the division's
539 failure to comply with the provisions of this part.
540 Section 12. Section 62A-8-110.5 is repealed and reenacted to read:
541 62A-8-110.5. Contracts for substance abuse services provided by local substance
542 abuse authorities.
543 When the division contracts with a local substance abuse authority to provide substance
544 abuse programs and services in accordance with the provision of this chapter and Title 17A,
545 Chapter 3, Part 7, Local Substance Abuse Authorities, it shall ensure that those contracts include
546 at least the following provisions:
547 (1) that an independent auditor shall conduct any audit of the local substance abuse
548 authority or its contract provider's programs or services, pursuant to the provisions of Title 51,
549 Chapter 2;
550 (2) in addition to the requirements described in Title 51, Chapter 2, the division:
551 (a) shall prescribe guidelines and procedures, in accordance with those formulated by the
552 state auditor pursuant to Section 67-3-1 , for auditing the compensation and expenses of officers,
553 directors, and specified employees of the private contract provider, to assure the state that no
554 personal benefit is gained from travel or other expenses; and
555 (b) may prescribe specific items to be addressed by that audit, depending upon the
556 particular needs or concerns relating to the local substance abuse authority or contract provider at
557 issue;
558 (3) the local substance abuse authority or its contract provider shall invite and include all
559 funding partners in its auditor's pre- and exit conferences;
560 (4) each member of the local substance abuse authority shall annually certify that he has
561 received and reviewed the independent audit and has participated in a formal interview with the
562 provider's executive officers;
563 (5) requested information and outcome data will be provided to the division in the manner
564 and within the time lines defined by the division; and
565 (6) all audit reports by state or county persons or entities concerning the local substance
566 abuse authority or its contract provider shall be provided to the executive director of the
567 department, the local substance abuse authority, and members of the contract provider's governing
568 board.
569 Section 13. Section 62A-8-112 is amended to read:
570 62A-8-112. Receipt of funds.
571 Local substance abuse authorities and entities that contract with these authorities to provide
572 substance abuse services may receive funds made available by federal, state, or local health,
573 substance abuse, education, welfare, or other agencies, in accordance with the provisions of this
574 chapter and Title 17A, Chapter 3, Part 7.
575 Section 14. Section 62A-12-101 is amended to read:
576 62A-12-101. Definitions.
577 As used in this chapter:
578 (1) "Board" means the Board of Mental Health established in accordance with Sections
579 62A-1-105 and 62A-1-107 .
580 (2) "Director" means the director of the Division of Mental Health.
581 (3) "Division" means the Division of Mental Health.
582 (4) "Local mental health authority" means a county legislative body.
583 (5) (a) "Public funds" means federal monies received from the Department of Human
584 Services or the Department of Health, and state monies appropriated by the Legislature to the
585 Department of Human Services, the Department of Health, a county governing body, or local
586 mental health authority for the purposes of providing mental health programs or services. "Public
587 funds" includes those federal and state monies that have been transferred by a local mental health
588 authority to a private provider under an annual or otherwise ongoing contract to provide
589 comprehensive mental health programs or services for the local mental health authority. Those
590 monies maintain the nature of "public funds" while in the possession of the private entity that has
591 an annual or otherwise ongoing contract with a local mental health authority to provide
592 comprehensive mental health programs or services for the local mental health authority.
593 (b) This definition of "public funds" does not limit or prohibit an organization exempt
594 under Section 501(c)(3), Internal Revenue Code, from using public funds for any business purpose
595 or in any financial arrangement that is otherwise lawful for that organization.
596 [
597 disorders, delusional disorders, psychotic disorders, and other mental disorders as defined by the
598 board.
599 Section 15. Section 62A-12-102 is amended to read:
600 62A-12-102. Division of Mental Health -- Creation -- Responsibilities.
601 (1) There is created the Division of Mental Health within the department, under the
602 administration and general supervision of the executive director, and, with regard to its programs,
603 under the policy direction of the board. The division is the mental health authority for this state.
604 (2) The division shall:
605 (a) collect and disseminate information pertaining to mental health;
606 (b) develop, administer, and supervise a comprehensive state mental health program;
607 (c) provide direction over the state hospital including approval of its budget, administrative
608 policy, and coordination of services with local service plans;
609 (d) promote and establish cooperative relationships with courts, hospitals, clinics, medical
610 and social agencies, public health authorities, law enforcement agencies, education and research
611 organizations, and other related groups;
612 (e) receive [
613 mental health services;
614 (f) consult and coordinate with local mental health authorities regarding mental health
615 programs and services;
616 [
617 with public funds;
618 (h) examine expenditures of any local, state, and federal funds;
619 (i) monitor the expenditure of public funds by local mental health authorities and their
620 contract providers;
621 [
622 comprehensive continuum of services in accordance with board and division policy, contract
623 provisions, and the local plan;
624 [
625 services in accordance with board and division policy;
626 [
627 authority's plan, to assure:
628 (i) a statewide comprehensive continuum of mental health services; and
629 (ii) appropriate expenditure of public funds;
630 (m) review and make recommendations regarding each local mental health authority's
631 contract with its provider of mental health programs and services to assure compliance with state
632 and federal law and policy;
633 [
634 recommendations for changes in policy and legislation to the Legislature and the governor;
635 [
636 providers for contract noncompliance, failure to comply with division directives regarding the use
637 of public funds, or for misuse of public funds or monies;
638 [
639 duplication of services;
640 [
641 requirements; and
642 [
643 (3) (a) The division may refuse to contract with and may pursue its legal remedies against
644 any local mental health authority that fails, or has failed, to expend public funds in accordance with
645 state law, policy, contract provisions, or directives issued in accordance with state law.
646 (b) The division may withhold funds from a local mental health authority if the authority's
647 contract with its provider of mental health programs and services fails to comply with state and
648 federal law or policy.
649 (4) Before reissuing or renewing a contract with any local mental health authority, the
650 division shall review and determine whether the local mental health authority is complying with
651 its oversight and management responsibilities described in Sections 17A-3-602 and 17A-3-603.5 .
652 Nothing in this Subsection (4) may be used as a defense to the responsibility and liability described
653 in Section 17A-3-603.5 .
654 [
655 gifts, devises, or bequests of real or personal property or services to be used as specified by the
656 donor.
657 (b) Those donations, gifts, devises, or bequests shall be used by the division in the
658 performance of its powers and duties. Any money so obtained shall be considered private
659 nonlapsing funds and shall be deposited into an interest-bearing expendable trust fund to be used
660 by the division for mental health services. The state treasurer may invest the fund and all interest
661 shall remain with the fund.
662 (6) The division shall annually review with each local mental health authority the
663 authority's statutory and contract responsibilities regarding:
664 (a) the use of public funds;
665 (b) oversight responsibilities regarding public funds; and
666 (c) governance of mental health programs and services.
667 Section 16. Section 62A-12-102.5 is amended to read:
668 62A-12-102.5. Fees for mental health services.
669 (1) The division may, with the approval of the Legislature, the executive director, and the
670 board establish fee schedules and assess fees for services rendered by the division.
671 (2) Fees shall be charged for mental health services, but services may not be refused to any
672 person because of his [
673 for financial, geographical, or other sufficient reason may be accepted for community mental
674 health services.
675 Section 17. Section 62A-12-105 is amended to read:
676 62A-12-105. Allocation of funds to local mental health authorities -- Formula.
677 (1) The board shall establish, by rule, a formula for allocating funds to local mental health
678 authorities through contracts, to provide mental health services in accordance with [
679
680 Authorities. That formula shall provide for allocation of funds based on need. Determination of
681 need shall be based on population, unless the board establishes, by valid and accepted data, that
682 other defined factors are relevant and reliable indicators of need. The formula shall include a
683 differential to compensate for additional costs of providing services in rural areas.
684 (2) The formula established under Subsection (1) [
685
686 local mental health authorities, but does not apply to:
687 (a) funds that local mental health authorities receive from sources other than the division;
688 (b) funds that local mental health authorities receive from the division to operate a specific
689 program within its jurisdiction that is available to all residents of the state;
690 (c) funds that local mental health authorities receive from the division to meet a need that
691 exists only within the jurisdiction of that local mental health authority; and
692 (d) funds that local mental health authorities receive from the division for research
693 projects.
694 (3) Contracts with local mental health authorities shall provide that the division may
695 withhold funds otherwise allocated pursuant to this section to cover the costs of audits, attorneys'
696 fees, and other expenses associated with reviewing the expenditure of public funds by a local
697 mental health authority or its contract provider, if there has been an audit finding or judicial
698 determination that public funds have been misused by the local mental health authority or its
699 contract provider.
700 Section 18. Section 62A-12-289 is amended to read:
701 62A-12-289. Responsibilities of the Division of Mental Health.
702 (1) It is the responsibility of the division to assure that the requirements of this part are met
703 and applied uniformly by local mental health authorities across the state.
704 (2) Since it is the division's responsibility, under Section 62A-12-102 , to contract with,
705 review, [
706 local mental health authorities and public and private providers for contract noncompliance or
707 misuse of public funds, the division shall:
708 (a) require each local mental health authority to submit its plan to the division by May 1
709 of each year;
710 [
711
712
713 [
714 in the state, and its contract provider; and
715 [
716 July 1, 1996, and each year thereafter, and provide an oral report to that committee, as [
717 requested. That report shall provide information regarding:
718 (i) the annual [
719 (ii) the financial [
720 provider[
721 (iii) the status of each local authority's and its contract provider's compliance with its plan,
722 state statutes, and with the provisions of the contract awarded[
723 (iv) whether audit guidelines established pursuant to Subsection 62A-12-289.1 (2)(a) and
724 Subsection 67-3-1 (2)(o) provide the division with sufficient criteria and assurances of appropriate
725 expenditures of public funds.
726 (3) The annual audit and review described in Subsection (2)(b) shall, in addition to items
727 determined by the division to be necessary and appropriate, include a review and determination
728 regarding whether public funds allocated to local mental health authorities are consistent with
729 services rendered and outcomes reported by it or its contract provider, and whether each local
730 mental health authority is exercising sufficient oversight and control over public funds allocated
731 for mental health programs and services.
732 (4) The Legislature may refuse to appropriate funds to the division upon the division's
733 failure to comply with the provisions of this part.
734 Section 19. Section 62A-12-289.1 is enacted to read:
735 62A-12-289.1. Contracts with local mental health authorities -- Provisions.
736 When the division contracts with a local mental health authority to provide mental health
737 programs and services in accordance with the provision of this chapter and Title 17A, Chapter 3,
738 Part 6, it shall ensure that those contracts include at least the following provisions:
739 (1) that an independent auditor shall conduct any audit of the local mental health authority
740 or its contract provider's programs or services, pursuant to the provisions of Title 51, Chapter 2;
741 (2) in addition to the requirements described in Title 51, Chapter 2, the division:
742 (a) shall prescribe guidelines and procedures, in accordance with those formulated by the
743 state auditor pursuant to Section 67-3-1 , for auditing the compensation and expenses of officers,
744 directors, and specified employees of the private contract provider, to assure the state that no
745 personal benefit is gained from travel or other expenses; and
746 (b) may prescribe specific items to be addressed by that audit, depending upon the
747 particular needs or concerns relating to the local mental health authority or contract provider at
748 issue;
749 (3) the local mental health authority or its contract provider shall invite and include all
750 funding partners in its auditor's pre- and exit conferences;
751 (4) each member of the local mental health authority shall annually certify that he has
752 received and reviewed the independent audit and has participated in a formal interview with the
753 provider's executive officers;
754 (5) requested information and outcome data will be provided to the division in the manner
755 and within the time lines defined by the division;
756 (6) all audit reports by state or county persons or entities concerning the local mental
757 health authority or its contract provider shall be provided to the executive director of the
758 department, the local mental health authority, and members of the contract provider's governing
759 board; and
760 (7) the local mental health authority or its contract provider will offer and provide mental
761 health services to residents who are indigent and who meet state criteria for serious and persistent
762 mental illness or severe emotional disturbance.
763 Section 20. Section 67-3-1 is amended to read:
764 67-3-1. Functions and duties.
765 (1) (a) The state auditor shall be the auditor of public accounts and as such shall be
766 independent of any executive or administrative officers of the state.
767 (b) He is not limited in the selection of his personnel or in the determination of the
768 reasonable and necessary expenses of his office.
769 (2) The state auditor shall:
770 (a) examine and certify annually in respect to each fiscal year, financial statements
771 showing the condition of the state's finances, the revenues received or accrued, expenditures paid
772 or accrued, and the amount of unexpended or unencumbered balances of the appropriations to the
773 agencies, departments, divisions, commissions, and institutions and the cash balances of the funds
774 in the custody of the state treasurer. The Division of Finance shall prepare the foregoing financial
775 statements and other reports in accordance with legal requirements and generally-accepted
776 accounting principles for the state auditor's examination and certification, as requested and not
777 later than 60 days following such requests or the end of each fiscal year. The auditor shall file the
778 statements with the governor and the Legislature[
779 (b) (i) audit each permanent fund, each special fund, the General Fund, and the accounts
780 of any department of state government or any independent agency or public corporation on a
781 regular basis as the auditor shall determine necessary or upon request of the governor or the
782 Legislature. These audits are to be performed in accordance with generally accepted auditing
783 standards and other auditing procedures as promulgated by recognized authoritative bodies. The
784 audits shall be conducted to determine honesty and integrity in fiscal affairs, accuracy and
785 reliability of financial statements, effectiveness and adequacy of financial controls, and compliance
786 with the law, as the auditor shall determine necessary[
787 (ii) in the event that any state entity receives federal funding, the audit shall be performed
788 in accordance with federal audit requirements under the direction of the state auditor. The costs
789 of the federal compliance portion of the audit may be paid from an appropriation to the state
790 auditor from the General Fund. If an appropriation is not provided, or if the federal government
791 does not specifically provide for payment of audit costs, the costs of the federal compliance
792 portions of the audit shall be allocated on the basis of the percentage that each state entity's federal
793 funding bears to the total federal funds received by the state. The allocation shall be adjusted to
794 reflect any reduced audit time required to audit funds passed through the state to local governments
795 and to reflect any reduction in audit time obtained through the use of internal auditors working
796 under the direction of the state auditor[
797 (c) present to the governor on October 1st of each year and to the Legislature on the first
798 day of each annual general session, a statement of his appropriation expenditures segregated as to
799 cost of salaries, travel, office and other expenses, and capital outlay for equipment, together with
800 his recommendations as to new legislation and a complete record of the accomplishments of his
801 office for the preceding year[
802 (d) issue subpoenas requiring any person who has had financial transactions with the state
803 to appear before him and to answer under oath, orally or in writing, as to any facts concerning
804 these transactions; and for the purpose of obtaining any such facts the state auditor is empowered
805 to administer oaths[
806 (e) require, in his discretion, all persons who have had the disposition or management of
807 any property of this state to render statements regarding it to him, and each of these persons must
808 render the statements at such times and in such form as the auditor may require[
809 (f) except where otherwise provided by law, institute suits in relation to the assessment,
810 collection, and payment of its revenues against persons who by any means have become entrusted
811 with public monies or property and have failed to pay over or deliver the same and against all
812 debtors of the state, all of which suits of the courts of the county in which the seat of government
813 may be located shall have jurisdiction without regard to the residence of the defendants[
814 (g) authenticate with his official seal all copies of papers issued from his office as he
815 considers necessary[
816 (h) collect and pay into the state treasury all fees received by him[
817 (i) perform the duties of a member of all boards of which he is or may be made a member
818 by the constitution or laws of the state, and such other duties as are prescribed by the constitution
819 and by law[
820 (j) stop the payment of the salary of any state official or state employee who refuses to
821 settle his accounts or render such statements as may be required with respect to the custody and
822 disposition of public funds or other state property or who refuses, neglects, or ignores the
823 instruction of the state auditor or any controlling board or department head with respect to the
824 manner of keeping prescribed accounts or funds or who fails to correct any delinquencies,
825 improper procedures, and errors brought to his attention[
826 (k) establish accounting systems, methods, and forms for public accounts in all taxing units
827 of the state in the interest of uniformity, efficiency, and economy[
828 (l) superintend the contractual auditing of all state accounts[
829 (m) withhold state allocated funds or the disbursement of property taxes from any state
830 taxing unit, if necessary, to ensure that officials and employees in those taxing units of the state
831 comply with state laws and procedures in the budgeting, expenditures, and financial reporting of
832 public funds. Except as otherwise specified in the law, funds may not be withheld until a taxing
833 unit has received formal written notice of noncompliance from the auditor and has been given 60
834 days to make the specified corrections[
835 (n) withhold the disbursement of tax monies from any county, if necessary, to ensure that
836 officials and employees in the county comply with Section 59-2-303.1 . For purposes of this
837 subsection, funds may not be withheld until a county has received formal written notice of
838 noncompliance from the auditor and has been given 60 days to make the specified corrections[
839 and
840 (o) establish audit guidelines and procedures for audits of local mental health and
841 substance abuse authorities and their contract providers, conducted pursuant to Title 17A, Chapter
842 3, Parts 6 and 7, Title 62A, Chapters 8 and 12, and Title 51, Chapter 2. Those guidelines and
843 procedures shall be established for the purpose of providing assurances to the state that:
844 (i) state and federal funds appropriated to local mental health authorities are used for
845 mental health purposes;
846 (ii) a private provider under an annual or otherwise ongoing contract to provide
847 comprehensive mental health programs or services for a local mental health authority is in
848 compliance with state and local contract requirements, and state and federal law;
849 (iii) state and federal funds appropriated to local substance abuse authorities are used for
850 substance abuse programs and services; and
851 (iv) a private provider under an annual or otherwise ongoing contract to provide
852 comprehensive substance abuse programs or services for a local substance abuse authority is in
853 compliance with state and local contract requirements, and state and federal law.
854 (3) The state auditor may not audit work he performed before becoming state auditor. In
855 the event that the state auditor has previously been a responsible official in state government whose
856 work has not yet been audited, the Legislature shall designate how such work shall be audited and
857 shall provide additional funding for such audits, if necessary.
858 (4) The following records in the custody or control of the state auditor shall be protected
859 records under Title 63, Chapter 2, Government Records Access and Management Act:
860 (a) records that would disclose information relating to allegations of personal misconduct,
861 gross mismanagement, or illegal activity of a past or present governmental employee if the
862 information or allegation cannot be corroborated by the state auditor through other documents or
863 evidence, and the records relating to the allegation are not relied upon by the state auditor in
864 preparing a final audit report;
865 (b) records and audit workpapers to the extent they would disclose the identity of a person
866 who during the course of an audit, communicated the existence of any waste of public funds,
867 property, or manpower, or a violation or suspected violation of a law, rule, or regulation adopted
868 under the laws of this state, a political subdivision of the state, or any recognized entity of the
869 United States, if the information was disclosed on the condition that the identity of the person be
870 protected;
871 (c) prior to the time that an audit is completed and the final audit report is released, records
872 or drafts circulated to a person who is not an employee or head of a governmental entity for their
873 response or information;
874 (d) records that would disclose an outline or part of any audit survey plans or audit
875 program;
876 (e) requests for audits, if disclosure would risk circumvention of an audit;
877 (f) the provisions of Subsections (a), (b), and (c) do not prohibit the disclosure of records
878 or information that relate to a violation of the law by a governmental entity or employee to a
879 government prosecutor or peace officer; and
880 (g) the provisions of this section do not limit the authority otherwise given to the state
881 auditor to classify a document as public, private, controlled, or protected under Title 63, Chapter
882 2, Government Records Access and Management Act.
883 Section 21. Section 76-8-401 is amended to read:
884 76-8-401. "Public monies" and "public officer" defined.
885 As used in this title:
886 (1) "Public monies" [
887 monies, funds, and accounts, regardless of the source from which they are derived, that are owned,
888 held, or administered by the state or any of its boards, commissions, institutions, departments,
889 divisions, agencies, bureaus, laboratories, or other similar instrumentalities, or any county, city,
890 school district, political subdivision, or other public body. "Public monies" also includes monies,
891 funds, or accounts that have been transferred by any of those public entities to a private contract
892 provider of programs or services. Those monies, funds, or accounts maintain the nature of public
893 monies while in the possession of the private entity that has contracted with a public entity to
894 provide programs or services.
895 (2) "Public officer" means:
896 (a) all elected officials of the state, a political subdivision of the state, a county, town, city,
897 precinct, or district;
898 (b) a person appointed to or serving an unexpired term of an elected office;
899 (c) a judge of a court of record and not of record including justice court judges; and
900 (d) a member of the Board of Pardons and Parole.
901 Section 22. Section 76-8-402 is amended to read:
902 76-8-402. Misusing public monies.
903 (1) Every public officer of this state or a political subdivision, or of any county, city, town,
904 precinct, or district of this state, and every other person charged, either by law or under contract,
905 with the receipt, safekeeping, transfer [
906 offense if the officer or other charged person:
907 (a) appropriates the money or any portion of it to his own use or benefit or to the use or
908 benefit of another without authority of law;
909 (b) loans or transfers the money or any portion of it without authority of law;
910 (c) fails to keep the money in his possession until disbursed or paid out by authority of
911 law;
912 (d) unlawfully deposits the money or any portion in any bank or with any other person;
913 (e) knowingly keeps any false account or makes any false entry or erasure in any account
914 of or relating to the money;
915 (f) fraudulently alters, falsifies, conceals, destroys, or obliterates any such account;
916 (g) willfully refuses or omits to pay over, on demand, any public monies in his hands, upon
917 the presentation of a draft, order, or warrant drawn upon such monies by competent authority;
918 (h) willfully omits to transfer the money when the transfer is required by law; or
919 (i) willfully omits or refuses to pay over, to any officer or person authorized by law to
920 receive it, any money received by him under any duty imposed by law so to pay over the same.
921 (2) A violation of Subsection (1) is a felony of the third degree, except it is a felony of the
922 second degree if:
923 (a) the value of the money exceeds $5,000;
924 (b) the amount of the false account exceeds $5,000;
925 (c) the amount falsely entered exceeds $5,000;
926 (d) the amount that is the difference between the original amount and the fraudulently
927 altered amount exceeds $5,000; or
928 (e) the amount falsely erased, fraudulently concealed, destroyed, obliterated, or falsified
929 in the account exceeds $5,000.
930 (3) In addition to the penalty described in Subsection (2), a public officer who violates
931 Subsection (1) is subject to the penalties described in Section 76-8-404 .
932 Section 23. Section 76-8-404 is amended to read:
933 76-8-404. Making profit from or misusing public monies -- Knowledge of another's
934 profit or misuse -- Disqualification from office -- Criminal penalty.
935 A public officer, regardless of whether or not the officer receives, safekeeps, transfers,
936 disburses, or has a fiduciary relationship with public monies, who [
937 or out of public monies, or [
938 purpose not authorized by law, is guilty of a felony as provided in Section 76-8-402 and shall, in
939 addition to the punishment provided by law, be disqualified to hold public office.
940 Section 24. Repealer.
941 This act repeals:
942 Section 17A-3-612, Continuation of existing services or facilities.
943 Section 25. Effective date.
944 This act takes effect on July 1, 1999.
Legislative Review Note
as of 1-20-99 1:49 PM
A limited legal review of this legislation raises no obvious constitutional or statutory concerns.