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First Substitute H.B. 277
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5 AN ACT RELATING TO STATE AFFAIRS; CLARIFYING THE LEASE; PROVIDING FOR
6 EXTENSION OF TERM OF LEASE; MAKING TECHNICAL CHANGES; AND PROVIDING
7 AN EFFECTIVE DATE.
8 This act affects sections of Utah Code Annotated 1953 as follows:
9 AMENDS:
10 63A-5-306, as last amended by Chapter 214, Laws of Utah 1997
11 Be it enacted by the Legislature of the state of Utah:
12 Section 1. Section 63A-5-306 is amended to read:
13 63A-5-306. Leasing of State Fair Park -- Lease -- Terms.
14 (1) As used in this section:
15 (a) "Corporation" means the Utah State Fair Corporation created in Section 9-4-1103 .
16 (b) "Division" means the Division of Facilities Construction and Management.
17 (c) "State fair park" means the property and buildings owned by the state located at 155
18 North 1000 West, Salt Lake City, Utah.
19 (2) The division shall:
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22 (i) at the discretion of the division; and
23 (ii) for any time-period negotiated with the corporation[
24 (b) ensure that the lease:
25 (i) defines which party is responsible for repairs and maintenance to the grounds and
26 buildings;
27 (ii) defines any restrictions on the use of the property or buildings, including the
28 construction of any new buildings or facilities at the state fair park;
29 (iii) requires that for each year under the lease the corporation holds a state fair meeting
30 the requirements of Subsection 9-4-1103 (5)(a)(vi); and
31 (iv) provides for the renegotiation or termination of the lease if the corporation:
32 (A) no longer operates as an independent public nonprofit corporation as provided in Title
33 9, Chapter 4, Part 11, Utah State Fair Corporation Act[
34 (B) engages in any activity inconsistent with Title 9, Chapter 4, Part 11, Utah State Fair
35 Corporation Act; and
36 (c) if the lease described in Subsection (2)(a) is amended or renewed after the effective
37 date of this act and except as provided in Subsection (3), require the corporation under the lease
38 to:
39 (i) obtain the approval of the State Building Board before demolishing a facility at the state
40 fair park; and
41 (ii) include the approval requirement described in Subsection (2)(c)(i) in any sublease
42 entered into, renewed, or amended after the effective date of this act.
43 (3) (a) The approval required under Subsection (2)(c)(ii) does not apply to a facility
44 demolished in accordance with a contract entered into but not amended before the effective date
45 of this act.
46 (b) Notwithstanding Subsection (3)(a), before a facility described in Subsection (3)(a) is
47 demolished, the corporation shall notify the division concerning any demolishing of the facility.
48 (4) The State Building Board shall notify the state historic preservation office of any State
49 Building Board meeting at which consideration will be given to a proposal to demolishing facilities
50 at the fair park.
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52 amount of any payments made by the corporation under the lease every three years beginning July
53 1, 2000.
54 (b) Notwithstanding Subsection (2)(a), the division may lease the state fair park to the
55 corporation for a period beginning July 1, 1997, and ending no later than June 30, 2039, if the
56 corporation demonstrates to the satisfaction of the division that the extension of the lease period
57 will result in significant capital improvements at the state fair park by a private entity.
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59 that is in effect on the day a lease between the division and the corporation terminates if:
60 (a) the contract is for the lease or construction of a building or facility at the state park; and
61 (b) the lease between the division and the corporation is terminated in accordance with [
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64 deposited into the Capital Project Fund.
65 (b) If in accordance with Subsection (3), the payments made by the corporation under a
66 lease with the division are increased from the amount paid on July 1, 1997, the lease payments
67 made by the division shall be dedicated to capital improvements at the state fair park unless, as part
68 of the capital budget, the Legislature directs that the monies be used for other [
69 improvements.
70 (8) (a) A debt or obligation contracted by the corporation is a debt or obligation of the
71 corporation.
72 (b) The state is not liable for and assumes no legal or moral responsibility for any debt or
73 obligation described in Subsection (8)(a), unless the Legislature through statute or an appropriation
74 act specifically:
75 (i) authorizes the corporation to contract for that debt or obligation; and
76 (ii) accepts liability for or assumes responsibility for the debt or obligation.
77 Section 2. Effective date.
78 If approved by two-thirds of all the members elected to each house, this act takes effect
79 upon approval by the governor, or the day following the constitutional time limit of Utah
80 Constitution Article VII, Section 8, without the governor's signature, or in the case of a veto, the
81 date of veto override.
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