S.B. 173

1

USE OF TOBACCO SETTLEMENT MONIES
2 1999 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: Lane Beattie
5 AN ACT RELATING TO STATE AFFAIRS IN GENERAL; CREATING A RESTRICTED
6 ACCOUNT FOR TOBACCO SETTLEMENT FUNDS; MAKING CONFORMING
7 AMENDMENTS; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE.
8 This act affects sections of Utah Code Annotated 1953 as follows:
9 AMENDS:
10 26-40-112, as enacted by Chapter 360, Laws of Utah 1998
11 ENACTS:
12 63-97-101, Utah Code Annotated 1953
13 63-97-102, Utah Code Annotated 1953
14 Be it enacted by the Legislature of the state of Utah:
15 Section 1. Section 26-40-112 is amended to read:
16 26-40-112. Hospital Provider Assessment Account.
17 (1) There is created within the General Fund a restricted account known as the "Hospital
18 Provider Assessment Account."
19 (2) The account shall be nonlapsing and consist of:
20 (a) proceeds from the assessment imposed in accordance with Section 26-40-111 ;
21 (b) funds transferred from the Medicaid Hospital Provider Temporary Assessment
22 Account;
23 (c) private contributions; and
24 (d) interest earned on monies in the account[; and].
25 [(e) any funds received by virtue of the state's action for reimbursement of medicaid funds
26 from tobacco manufacturers that are not restricted by use or purpose by:]
27 [(i) the federal government;]

28 [(ii) state or federal law; or]
29 [(iii) the terms of any settlement agreement, order, law, or related contract.]
30 (3) Funds in the account shall be appropriated by the Legislature to fund:
31 (a) the program; and
32 (b) if funds remain after Subsection (3)(a), the Medicaid program.
33 Section 2. Section 63-97-101 is enacted to read:
34 CHAPTER 97. TOBACCO SETTLEMENT ACCOUNT
35 63-97-101. Title
36 This chapter is known as the "Tobacco Settlement Account."
37 Section 3. Section 63-97-102 is enacted to read:
38 63-97-102. Creation of restricted account.
39 (1) There is created within the General Fund a restricted account known as the Tobacco
40 Settlement Account.
41 (2) The account shall consist of all funds received by the state that are related to the
42 settlement agreement that the state entered into with leading tobacco manufacturers on November
43 23, 1998.
44 (3) Funds in the account may only be used as directed by the Legislature through
45 appropriation.
46 Section 4. Effective date.
47 If approved by two-thirds of all the members elected to each house, this act takes effect
48 upon approval by the governor, or the day following the constitutional time limit of Utah
49 Constitution Article VII, Section 8, without the governor's signature, or in the case of a veto, the
50 date of veto override.




Legislative Review Note
as of 2-1-99 1:12 PM

A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel