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S.B. 199

             1     

PASSENGER ROPEWAYS

             2     
1999 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Sponsor: Lyle W. Hillyard

             5      AN ACT RELATING TO TRANSPORTATION; AMENDING DEFINITIONS; CHANGING
             6      TERMINOLOGY; AMENDING PROVISIONS RELATED TO PASSENGER ROPEWAYS;
             7      AMENDING PENALTIES; RENUMBERING AND AMENDING CERTAIN SECTIONS; AND
             8      MAKING TECHNICAL CORRECTIONS.
             9      This act affects sections of Utah Code Annotated 1953 as follows:
             10      AMENDS:
             11          59-12-104, as last amended by Chapters 201, 210, 246, 291 and 318, Laws of Utah 1998
             12          59-12-120, as enacted by Chapter 239, Laws of Utah 1989
             13          72-11-101, as enacted by Chapter 270, Laws of Utah 1998
             14          72-11-102, as enacted by Chapter 270, Laws of Utah 1998
             15          72-11-103, as renumbered and amended by Chapter 270, Laws of Utah 1998
             16          72-11-108, as renumbered and amended by Chapter 270, Laws of Utah 1998
             17          72-11-112, as renumbered and amended by Chapter 270, Laws of Utah 1998
             18      RENUMBERS AND AMENDS:
             19          72-11-201, (Renumbered from 63-11-37, as last amended by Chapter 13, Laws of Utah
             20      1995)
             21          72-11-202, (Renumbered from 63-11-39, as last amended by Chapters 194 and 243, Laws
             22      of Utah 1996)
             23          72-11-203, (Renumbered from 63-11-39.5, as last amended by Chapter 137, Laws of Utah
             24      1991)
             25          72-11-204, (Renumbered from 63-11-40, as last amended by Chapter 243, Laws of Utah
             26      1996)
             27          72-11-205, (Renumbered from 63-11-41, as last amended by Chapter 137, Laws of Utah


             28      1991)
             29          72-11-206, (Renumbered from 63-11-42, as last amended by Chapter 13, Laws of Utah
             30      1995)
             31          72-11-207, (Renumbered from 63-11-43, as last amended by Chapter 13, Laws of Utah
             32      1995)
             33          72-11-208, (Renumbered from 63-11-44, as last amended by Chapter 28, Laws of Utah
             34      1995)
             35          72-11-209, (Renumbered from 63-11-45, as last amended by Chapter 137, Laws of Utah
             36      1991)
             37          72-11-210, (Renumbered from 63-11-46, as last amended by Chapter 13, Laws of Utah
             38      1995)
             39          72-11-211, (Renumbered from 63-11-47, as last amended by Chapter 137, Laws of Utah
             40      1991)
             41          72-11-212, (Renumbered from 63-11-48, as last amended by Chapter 137, Laws of Utah
             42      1991)
             43          72-11-213, (Renumbered from 63-11-49, as last amended by Chapter 137, Laws of Utah
             44      1991)
             45          72-11-214, (Renumbered from 63-11-51, as last amended by Chapter 137, Laws of Utah
             46      1991)
             47          72-11-215, (Renumbered from 63-11-52, as last amended by Chapter 137, Laws of Utah
             48      1991)
             49          72-11-216, (Renumbered from 63-11-53, as last amended by Chapter 137, Laws of Utah
             50      1991)
             51      REPEALS:
             52          63-11-38, as last amended by Chapter 137, Laws of Utah 1991
             53      Be it enacted by the Legislature of the state of Utah:
             54          Section 1. Section 59-12-104 is amended to read:
             55           59-12-104. Exemptions.
             56          The following sales and uses are exempt from the taxes imposed by this chapter:
             57          (1) sales of aviation fuel, motor fuel, and special fuel subject to a Utah state excise tax
             58      under Title 59, Chapter 13, Motor and Special Fuel Tax Act;


             59          (2) sales to the state, its institutions, and its political subdivisions; however, this exemption
             60      does not apply to sales of construction materials except:
             61          (a) construction materials purchased by or on behalf of institutions of the public education
             62      system as defined in Utah Constitution Article X, Section 2, provided the construction materials
             63      are clearly identified and segregated and installed or converted to real property which is owned by
             64      institutions of the public education system; and
             65          (b) construction materials purchased by the state, its institutions, or its political
             66      subdivisions which are installed or converted to real property by employees of the state, its
             67      institutions, or its political subdivisions;
             68          (3) sales of food, beverage, and dairy products from vending machines in which the
             69      proceeds of each sale do not exceed $1 if the vendor or operator of the vending machine reports
             70      an amount equal to 150% of the cost of items as goods consumed;
             71          (4) sales of food, beverage, dairy products, similar confections, and related services to
             72      commercial airline carriers for in-flight consumption;
             73          (5) sales of parts and equipment installed in aircraft operated by common carriers in
             74      interstate or foreign commerce;
             75          (6) sales of commercials, motion picture films, prerecorded audio program tapes or
             76      records, and prerecorded video tapes by a producer, distributor, or studio to a motion picture
             77      exhibitor, distributor, or commercial television or radio broadcaster;
             78          (7) sales of cleaning or washing of tangible personal property by a coin-operated laundry
             79      or dry cleaning machine;
             80          (8) (a) except as provided in Subsection (8)(b), sales made to or by religious or charitable
             81      institutions in the conduct of their regular religious or charitable functions and activities, if the
             82      requirements of Section 59-12-104.1 are fulfilled;
             83          (b) the exemption provided for in Subsection (8)(a) does not apply to the following sales,
             84      uses, leases, or rentals relating to the Olympic Winter Games of 2002 made to or by an
             85      organization exempt from federal income taxation under Section 501(c)(3), Internal Revenue
             86      Code:
             87          (i) retail sales of Olympic merchandise;
             88          (ii) admissions or user fees described in Subsection 59-12-103 (1)(f);
             89          (iii) sales of accommodations and services as provided in Subsection 59-12-103 (1)(i),


             90      except for accommodations and services:
             91          (A) paid for in full by the Salt Lake Organizing Committee for the Olympic Winter Games
             92      of 2002;
             93          (B) exclusively used by:
             94          (I) an officer, a trustee, or an employee of the Salt Lake Organizing Committee for the
             95      Olympic Winter Games of 2002; or
             96          (II) a volunteer supervised by the Salt Lake Organizing Committee for the Olympic Winter
             97      Games of 2002; and
             98          (C) for which the Salt Lake Organizing Committee for the Olympic Winter Games of 2002
             99      does not receive reimbursement; or
             100          (iv) a lease or rental of a vehicle as defined in Section 41-1a-102 , except for a lease or
             101      rental of a vehicle:
             102          (A) paid for in full by the Salt Lake Organizing Committee for the Olympic Winter Games
             103      of 2002;
             104          (B) exclusively used by:
             105          (I) an officer, a trustee, or an employee of the Salt Lake Organizing Committee for the
             106      Olympic Winter Games of 2002; or
             107          (II) a volunteer supervised by the Salt Lake Organizing Committee for the Olympic Winter
             108      Games of 2002; and
             109          (C) for which the Salt Lake Organizing Committee for the Olympic Winter Games of 2002
             110      does not receive reimbursement;
             111          (9) sales of vehicles of a type required to be registered under the motor vehicle laws of this
             112      state which are made to bona fide nonresidents of this state and are not afterwards registered or
             113      used in this state except as necessary to transport them to the borders of this state;
             114          (10) sales of medicine;
             115          (11) sales or use of property, materials, or services used in the construction of or
             116      incorporated in pollution control facilities allowed by Sections 19-2-123 through 19-2-127 ;
             117          (12) sales of meals served by:
             118          (a) churches, charitable institutions, and institutions of higher education, if the meals are
             119      not available to the general public; and
             120          (b) inpatient meals provided at medical or nursing facilities;


             121          (13) isolated or occasional sales by persons not regularly engaged in business, except the
             122      sale of vehicles or vessels required to be titled or registered under the laws of this state in which
             123      case the tax is based upon:
             124          (a) the bill of sale or other written evidence of value of the vehicle or vessel being sold;
             125      or
             126          (b) in the absence of a bill of sale or other written evidence of value, the then existing fair
             127      market value of the vehicle or vessel being sold as determined by the commission;
             128          (14) (a) the following purchases or leases by a manufacturer on or after July 1, 1995:
             129          (i) machinery and equipment:
             130          (A) used in the manufacturing process;
             131          (B) having an economic life of three or more years; and
             132          (C) used:
             133          (I) to manufacture an item sold as tangible personal property; and
             134          (II) in new or expanding operations in a manufacturing facility in the state; and
             135          (ii) subject to the provisions of Subsection (14)(b), normal operating replacements that:
             136          (A) have an economic life of three or more years;
             137          (B) are used in the manufacturing process in a manufacturing facility in the state;
             138          (C) are used to replace or adapt an existing machine to extend the normal estimated useful
             139      life of the machine; and
             140          (D) do not include repairs and maintenance;
             141          (b) the rates for the exemption under Subsection (14)(a)(ii) are as follows:
             142          (i) beginning July 1, 1996, through June 30, 1997, 30% of the sale or lease described in
             143      Subsection (14)(a)(ii) is exempt;
             144          (ii) beginning July 1, 1997, through June 30, 1998, 60% of the sale or lease described in
             145      Subsection (14)(a)(ii) is exempt;
             146          (iii) beginning July 1, 1998, through June 30, 1999, 100% of the sale or lease described in
             147      Subsection (14)(a)(ii) is exempt; and
             148          (iv) beginning on or after July 1, 1999, 80% of the sale or lease described in Subsection
             149      (14)(a)(ii) is exempt;
             150          (c) for purposes of this subsection, the commission shall by rule define the terms "new or
             151      expanding operations" and "establishment"; and


             152          (d) on or before October 1, 1991, and every five years after October 1, 1991, the
             153      commission shall:
             154          (i) review the exemptions described in Subsection (14)(a) and make recommendations to
             155      the Revenue and Taxation Interim Committee concerning whether the exemptions should be
             156      continued, modified, or repealed; and
             157          (ii) include in its report:
             158          (A) the cost of the exemptions;
             159          (B) the purpose and effectiveness of the exemptions; and
             160          (C) the benefits of the exemptions to the state;
             161          (15) sales of tooling, special tooling, support equipment, and special test equipment used
             162      or consumed exclusively in the performance of any aerospace or electronics industry contract with
             163      the United States government or any subcontract under that contract, but only if, under the terms
             164      of that contract or subcontract, title to the tooling and equipment is vested in the United States
             165      government as evidenced by a government identification tag placed on the tooling and equipment
             166      or by listing on a government-approved property record if a tag is impractical;
             167          (16) intrastate movements of:
             168          (a) freight by common carriers; and
             169          (b) passengers:
             170          (i) by taxicabs as described in SIC Code 4121 of the 1987 Standard Industrial
             171      Classification Manual of the federal Executive Office of the President, Office of Management and
             172      Budget; or
             173          (ii) transported by an establishment described in SIC Code 4111 of the 1987 Standard
             174      Industrial Classification Manual of the federal Executive Office of the President, Office of
             175      Management and Budget, if the transportation originates and terminates within a county of the
             176      first, second, or third class;
             177          (17) sales of newspapers or newspaper subscriptions;
             178          (18) tangible personal property, other than money, traded in as full or part payment of the
             179      purchase price, except that for purposes of calculating sales or use tax upon vehicles not sold by
             180      a vehicle dealer, trade-ins are limited to other vehicles only, and the tax is based upon:
             181          (a) the bill of sale or other written evidence of value of the vehicle being sold and the
             182      vehicle being traded in; or


             183          (b) in the absence of a bill of sale or other written evidence of value, the then existing fair
             184      market value of the vehicle being sold and the vehicle being traded in, as determined by the
             185      commission;
             186          (19) sprays and insecticides used to control insects, diseases, and weeds for commercial
             187      production of fruits, vegetables, feeds, seeds, and animal products, but not those sprays and
             188      insecticides used in the processing of the products;
             189          (20) (a) sales of tangible personal property used or consumed primarily and directly in
             190      farming operations, including sales of irrigation equipment and supplies used for agricultural
             191      production purposes, whether or not they become part of real estate and whether or not installed
             192      by farmer, contractor, or subcontractor, but not sales of:
             193          (i) machinery, equipment, materials, and supplies used in a manner that is incidental to
             194      farming, such as hand tools with a unit purchase price not in excess of $250, and maintenance and
             195      janitorial equipment and supplies;
             196          (ii) tangible personal property used in any activities other than farming, such as office
             197      equipment and supplies, equipment and supplies used in sales or distribution of farm products, in
             198      research, or in transportation; or
             199          (iii) any vehicle required to be registered by the laws of this state, without regard to the use
             200      to which the vehicle is put;
             201          (b) sales of hay;
             202          (21) exclusive sale of locally grown seasonal crops, seedling plants, or garden, farm, or
             203      other agricultural produce if sold by a producer during the harvest season;
             204          (22) purchases of food as defined in 7 U.S.C. Sec. 2012(g) under the Food Stamp
             205      Program, 7 U.S.C. Sec. 2011 et seq.;
             206          (23) sales of nonreturnable containers, nonreturnable labels, nonreturnable bags,
             207      nonreturnable shipping cases, and nonreturnable casings to a manufacturer, processor, wholesaler,
             208      or retailer for use in packaging tangible personal property to be sold by that manufacturer,
             209      processor, wholesaler, or retailer;
             210          (24) property stored in the state for resale;
             211          (25) property brought into the state by a nonresident for his or her own personal use or
             212      enjoyment while within the state, except property purchased for use in Utah by a nonresident living
             213      and working in Utah at the time of purchase;


             214          (26) property purchased for resale in this state, in the regular course of business, either in
             215      its original form or as an ingredient or component part of a manufactured or compounded product;
             216          (27) property upon which a sales or use tax was paid to some other state, or one of its
             217      subdivisions, except that the state shall be paid any difference between the tax paid and the tax
             218      imposed by this part and Part 2, and no adjustment is allowed if the tax paid was greater than the
             219      tax imposed by this part and Part 2;
             220          (28) any sale of a service described in Subsections 59-12-103 (1)(b), (c), and (d) to a person
             221      for use in compounding a service taxable under the subsections;
             222          (29) purchases of supplemental foods as defined in 42 U.S.C. Sec. 1786(b)(14) under the
             223      special supplemental nutrition program for women, infants, and children established in 42 U.S.C.
             224      Sec. 1786;
             225          (30) (a) sales or leases made before June 30, 1996, of rolls, rollers, refractory brick,
             226      electric motors, and other replacement parts used in the furnaces, mills, and ovens of a steel mill
             227      described in SIC Code 3312 of the 1987 Standard Industrial Classification Manual of the federal
             228      Executive Office of the President, Office of Management and Budget; or
             229          (b) contracts entered into or orders placed on or before January 1, 1996, to purchase or
             230      lease an item described in Subsection (30)(a) if the contract or order constitutes a:
             231          (i) legal obligation to purchase or lease an item described in Subsection (30)(a); and
             232          (ii) sale or lease under Section 59-12-102 on or before June 30, 1997;
             233          (31) sales of boats of a type required to be registered under Title 73, Chapter 18, State
             234      Boating Act, boat trailers, and outboard motors which are made to bona fide nonresidents of this
             235      state and are not thereafter registered or used in this state except as necessary to transport them to
             236      the borders of this state;
             237          (32) sales of tangible personal property to persons within this state that is subsequently
             238      shipped outside the state and incorporated pursuant to contract into and becomes a part of real
             239      property located outside of this state, except to the extent that the other state or political entity
             240      imposes a sales, use, gross receipts, or other similar transaction excise tax on it against which the
             241      other state or political entity allows a credit for taxes imposed by this chapter;
             242          (33) sales of aircraft manufactured in Utah if sold for delivery and use outside Utah where
             243      a sales or use tax is not imposed, even if the title is passed in Utah;
             244          (34) amounts paid for the purchase of telephone service for purposes of providing


             245      telephone service;
             246          (35) fares charged to persons transported directly by a public transit district created under
             247      the authority of Title 17A, Chapter 2, Part 10, Utah Public Transit District Act;
             248          (36) sales or leases of vehicles to, or use of vehicles by an authorized carrier;
             249          (37) until July 1, 2000, 45% of the sales price of any new manufactured home and 100%
             250      of the sales price of any used manufactured home;
             251          (38) sales relating to schools and fundraising sales;
             252          (39) sales or rentals of home medical equipment and supplies;
             253          (40) (a) sales to a ski resort of electricity to operate a passenger [tramway] ropeway as
             254      defined in [Subsection 63-11-38 (8)] Section 72-11-102 ; and
             255          (b) the commission shall by rule determine the method for calculating sales exempt under
             256      Subsection (40)(a) that are not separately metered and accounted for in utility billings;
             257          (41) sales to a ski resort of:
             258          (a) snowmaking equipment;
             259          (b) ski slope grooming equipment; and
             260          (c) passenger [tramways] ropeways as defined in [Subsection 63-11-38 (8)] Section
             261      72-11-102 ;
             262          (42) sales of natural gas, electricity, heat, coal, fuel oil, or other fuels for industrial use;
             263          (43) sales or rentals of the right to use or operate for amusement, entertainment, or
             264      recreation a coin-operated amusement device as defined in Subsection 59-12-102 (3);
             265          (44) sales of cleaning or washing of tangible personal property by a coin-operated car wash
             266      machine;
             267          (45) sales by the state or a political subdivision of the state, except state institutions of
             268      higher education as defined in Section 53B-3-102 , of:
             269          (a) photocopies; or
             270          (b) other copies of records held or maintained by the state or a political subdivision of the
             271      state; and
             272          (46) (a) amounts paid:
             273          (i) to a person providing intrastate transportation to an employer's employee to or from the
             274      employee's primary place of employment;
             275          (ii) by an:


             276          (A) employee; or
             277          (B) employer; and
             278          (iii) pursuant to a written contract between:
             279          (A) the employer; and
             280          (B) (I) the employee; or
             281          (II) a person providing transportation to the employer's employee; and
             282          (b) in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
             283      commission may for purposes of Subsection (46)(a) make rules defining what constitutes an
             284      employee's primary place of employment;
             285          (47) amounts paid for admission to an athletic event at an institution of higher education
             286      that is subject to the provisions of Title IX of the Education Amendments of 1972, 20 U.S.C. Sec.
             287      1681 et seq.; and
             288          (48) sales of telephone service charged to a prepaid telephone calling card.
             289          Section 2. Section 59-12-120 is amended to read:
             290           59-12-120. Investment incentive to ski resorts for lease or purchase of certain
             291      equipment -- Ski Resort Capital Investment Restricted Account created -- Conditions and
             292      restrictions on receiving incentive -- State Tax Commission to administer.
             293          (1) Any person operating a ski resort in the state of Utah shall be entitled to an investment
             294      incentive in an amount not to exceed the costs incurred in the purchase or lease of:
             295          (a) snow making equipment;
             296          (b) ski slope grooming equipment; and
             297          (c) passenger [tramways] ropeways as defined in [Subsection 63-11-38 (5)] Section
             298      72-11-102 .
             299          (2) The investment incentive allowed in Subsection (1) shall be paid from the Ski Resort
             300      Capital Investment Restricted Account created in Subsection (5). The investment incentive shall
             301      be allowed only to the extent that for each dollar of investment incentive allowed, three dollars
             302      shall be expended for the purchase or lease of property described in Subsection (1) by a person
             303      operating a ski resort. The investment incentive paid out of the account shall be allocated among
             304      ski resorts based on the relation between the total sales tax collected from the sale of ski lift tickets
             305      in Utah to the total sales tax collected from the sale of ski lift tickets in Utah by each ski resort.
             306          (3) The investment incentive is available to any person operating a ski resort in the state


             307      of Utah making purchases or leases of property described in Subsection (1) on or after January 1,
             308      1989 and on or before December 31, 1992. All claims made under this section against the amount
             309      in the Ski Resort Capital Investment Restricted Account shall be made on or before June 30, 1993.
             310          (4) If a ski resort is sold or leased to an unrelated third party within four years after the
             311      reporting period in which the investment incentive allowed in Subsection (1) is taken, the person
             312      who received the investment incentive shall reimburse to the Ski Resort Capital Investment
             313      Restricted Account an amount equal to all investment incentives received during the period
             314      described in Subsection (3). For purposes of this [subsection] Subsection (4), if a ski resort is sold
             315      in connection with a bankruptcy proceeding, the sale shall be considered the kind of sale requiring
             316      the reimbursement of the investment incentive.
             317          (5) There is created the Ski Resort Capital Investment Incentive Restricted Account within
             318      the General Fund. The amount appropriated in this section is nonlapsing until July 1, 1993.
             319          (6) The State Tax Commission shall administer this section by rule.
             320          Section 3. Section 72-11-101 is amended to read:
             321           72-11-101. Title.
             322          This chapter is known as the "[Aerial Tramway] Passenger Ropeway Systems Act."
             323          Section 4. Section 72-11-102 is amended to read:
             324           72-11-102. Definitions.
             325          As used in this chapter[, "committee" means the Passenger Tramway Safety Committee.]:
             326          (1) "Aerial lift" means a ropeway on which passengers are transported in cabins or on
             327      chairs.
             328          (2) "Aerial tramway" means a ropeway on which passengers are transported in cable
             329      supported carriers and are not in contact with the ground or snow surface and that reciprocates
             330      between terminals.
             331          (3) "Area" means the geographic area, terrain, and ski slopes served by a passenger
             332      ropeway.
             333          (4) "Committee" means the Passenger Ropeway Safety Committee created by Section
             334      72-11-202 .
             335          (5) "Conveyor" means a device used to transport skiers and snowboarders standing on a
             336      flexible moving element or belt.
             337          (6) "Detachable grip lift" means a monocable or bicable ropeway system on which carriers


             338      circulate around the system alternately attaching to and detaching from a moving haul rope.
             339          (7) "Funicular" means a ropeway on which carriers are supported and guided by a
             340      guideway and that is propelled by means of a haul rope system and that is operated as a single or
             341      double reversible system.
             342          (8) "Industry" means the passenger ropeway business activities of any person in the state
             343      who owns, manages, or directs the operation of a passenger ropeway.
             344          (9) "Operator" means a person, including any political subdivision or instrumentality of
             345      the political subdivision, who owns, manages, or directs the operation of a passenger ropeway.
             346          (10) "Passenger ropeway" means a device, excluding an elevator, used to transport
             347      passengers along a level, inclined or delined path by means of a haul rope or other flexible
             348      elements that is driven by a power unit that remains essentially at a single location. Passenger
             349      ropeways include the following:
             350          (a) an aerial tramway;
             351          (b) an aerial lift, including a detachable grip lift and chair lift;
             352          (c) a conveyor;
             353          (d) a funicular;
             354          (e) a surface lift, including a J-bar, T-bar, or platter pull; and
             355          (f) a rope tow, including a wire rope and fiber rope tow.
             356          (11) "Rope tow" means a ropeway on which passengers remain in contact with the ground
             357      or snow surface and are pulled in one direction only by a towing device attached to a circulating
             358      wire rope.
             359          (12) "Surface lift" means a ropeway on which passengers remain in contact with the
             360      ground or snow surface and are pulled by a towing device attached to a circulating overhead wire
             361      rope, and includes a J-bar, T-bar, or platter pull.
             362          Section 5. Section 72-11-103 is amended to read:
             363           72-11-103. Authority of Passenger Ropeway Safety Committee -- Location of system.
             364          (1) The committee is authorized to acquire, construct, reconstruct, improve or extend,
             365      maintain and operate, either directly or through others by contract, lease, concession or otherwise,
             366      [an aerial tramway] a passenger ropeway system for the transportation of persons and property
             367      between a point or points in the:
             368          (a) Wasatch Mountain State Park; and


             369          (b) Uintah and Wasatch National Forests in the upper parts of Big Cottonwood, Little
             370      Cottonwood and American Fork Canyons in Salt Lake, Utah and Wasatch Counties.
             371          (2) The committee may acquire by purchase, contract, lease, permit, donation or otherwise,
             372      and to construct, maintain and operate, either directly or through others, by contract, lease,
             373      concession or otherwise, all property, rights of way, approach roads, parking and other areas,
             374      structures, facilities and services for the convenience and recreation of patrons of the transportation
             375      system and visitors to the Wasatch Mountain State Park.
             376          (3) Any contract, lease, concession, or other arrangement may be entered into in a manner
             377      and upon the terms and conditions as the committee may consider advisable.
             378          Section 6. Section 72-11-108 is amended to read:
             379           72-11-108. Revenue bonds not debt or obligation of state or committee.
             380          (1) In any and all revenue bonds issued hereunder and in the resolution or resolutions
             381      authorizing them, and in the agreements or documents entered into and executed in connection
             382      therewith, neither the payment of the principal or interest of any bond nor the obligation of any
             383      resolution, agreement, or document shall constitute a debt, liability, or obligation of the state or
             384      the committee.
             385          (2) Payments are to be paid solely from the revenues received from the operation of the
             386      proposed [aerial tramway] passenger ropeway transportation system, visitor care and
             387      accommodations, and all services in connection with the Wasatch Mountain State Park, as in the
             388      proceedings authorizing the issuance of the bonds, shall be pledged to the payment thereof.
             389          (3) All bonds issued under this chapter by the committee shall contain a recital on their
             390      face that neither the payment of the principal or any part thereof, nor any interest thereon,
             391      constitute a debt, liability, or obligation of the state or the committee.
             392          Section 7. Section 72-11-112 is amended to read:
             393           72-11-112. Powers and authority of committee.
             394          The committee, its officers, employees, and agents are authorized to carry out the necessary
             395      procedures to implement the acquisition and development of [an aerial tramway] a passenger
             396      ropeway system together with the [necessary] property, appliances, facilities, rights of way and
             397      easements necessary or useful in connection [therewith] with it and to do anything not inconsistent
             398      with law which they consider necessary or convenient to carry out the provisions of this chapter,
             399      whether or not the authority is expressly [given herein] granted in this chapter.


             400          Section 8. Section 72-11-201 , which is renumbered from Section 63-11-37 is renumbered
             401      and amended to read:
             402           [63-11-37].     72-11-201. Passenger ropeways -- Purpose and scope.
             403          (1) In order to safeguard the life, health, property, and welfare of [the] citizens [of Utah]
             404      while using passenger [tramways] ropeways, it is the policy of the state to:
             405          (a) protect citizens and visitors from unnecessary mechanical hazards in the design,
             406      construction, and operation of passenger [tramways] ropeways, but not from the hazards inherent
             407      in the sports of mountaineering, skiing, snowboarding, mountain biking, and hiking, or from the
             408      hazards of the area served by passenger [tramways] ropeways, all of which hazards are assumed
             409      by the sportsman; and
             410          (b) require periodic inspections of passenger [tramways] ropeways to ensure that each
             411      passenger [tramway] ropeway meets "The United States of America Standard Institute Safety Code
             412      for Aerial Passenger Tramways," or an equivalent standard established by rule under Section
             413      [63-11-46 ] 72-11-210 .
             414          (2) The committee, through the Department of Transportation, shall:
             415          (a) register all passenger [tramways] ropeways in the state;
             416          (b) establish reasonable standards of design, construction, and operational practices; and
             417          (c) make inspections as necessary to implement this section.
             418          Section 9. Section 72-11-202 , which is renumbered from Section 63-11-39 is renumbered
             419      and amended to read:
             420           [63-11-39].     72-11-202. Passenger ropeways -- Creation of Passenger Ropeway
             421      Safety Committee within Department of Transportation -- Members.
             422          (1) There is created within the Department of Transportation a Passenger [Tramway]
             423      Ropeway Safety Committee.
             424          (2) The committee is comprised of six appointive members and one ex officio member
             425      who shall be appointed by the executive director of the Department of Transportation.
             426          (3) The appointive members shall be appointed by the governor from persons representing
             427      the following interests:
             428          (a) two members to represent the industry;
             429          (b) two members to represent the public at large;
             430          (c) one member who is a licensed engineer in Utah; and


             431          (d) one member to represent the United States Forest Service.
             432          (4) (a) Except as required by Subsection (4)(b), as terms of [current] committee members
             433      expire, the governor shall appoint each new member or reappointed member to a four-year term.
             434          (b) Notwithstanding the requirements of Subsection (4)(a), the governor shall, at the time
             435      of appointment or reappointment, adjust the length of terms to ensure that the terms of committee
             436      members are staggered so that approximately half of the committee is appointed every two years.
             437          (c) No more than four members shall be of the same political party.
             438          (5) The governor, in making the appointments, shall request and consider
             439      recommendations made to him by:
             440          (a) the membership of the particular interest from which the appointments are to be made;
             441      and
             442          (b) the Department of Transportation.
             443          Section 10. Section 72-11-203 , which is renumbered from Section 63-11-39.5 is
             444      renumbered and amended to read:
             445           [63-11-39.5].     72-11-203. Procedures -- Adjudicative proceedings.
             446          The committee shall comply with the procedures and requirements of Title 63, Chapter
             447      46b, Administrative Procedures Act, in its adjudicative proceedings.
             448          Section 11. Section 72-11-204 , which is renumbered from Section 63-11-40 is renumbered
             449      and amended to read:
             450           [63-11-40].     72-11-204. Vacancies -- Expenses -- Reimbursement -- Use of facilities
             451      of Department of Transportation -- Functions, powers, duties, rights, and responsibilities.
             452          (1) When a vacancy occurs in the membership for any reason, the replacement shall be
             453      appointed for the unexpired term.
             454          (2) (a) (i) Members who are not government employees [shall] may not receive [no] any
             455      compensation or benefits for their services, but may receive per diem and expenses incurred in the
             456      performance of the member's official duties at the rates established by the Division of Finance
             457      under Sections 63A-3-106 and 63A-3-107 .
             458          (ii) Members may decline to receive per diem and expenses for their service.
             459          (b) (i) State government officer and employee members who do not receive salary, per
             460      diem, or expenses from their agency for their service may receive per diem and expenses incurred
             461      in the performance of their official duties from the committee at the rates established by the


             462      Division of Finance under Sections 63A-3-106 and 63A-3-107 .
             463          (ii) State government officer and employee members may decline to receive per diem and
             464      expenses for their service.
             465          (3) Reimbursement shall be made from fees collected by the committee for services
             466      rendered by it.
             467          (4) The Department of Transportation shall supply the committee with office
             468      accommodation, space, equipment, and secretarial assistance the executive director considers
             469      adequate for the committee.
             470          (5) In addition to the functions, powers, duties, rights, and responsibilities granted to it
             471      [pursuant to Title 63, Chapter 11, Parks and Recreation] under this chapter, the committee shall
             472      assume and have all of the functions, powers, duties, rights, and responsibilities of the Board of
             473      Parks and Recreation created in Section 63-11-12 in relation to [aerial tramway] passenger
             474      ropeway systems pursuant to that chapter.
             475          Section 12. Section 72-11-205 , which is renumbered from Section 63-11-41 is renumbered
             476      and amended to read:
             477           [63-11-41].     72-11-205. Passenger ropeways -- Registration of ropeways.
             478          (1) A passenger [tramway] ropeway may not be operated in this state unless it is registered
             479      with the committee, except as provided in Subsections (2) and (3).
             480          (2) The initial application for registration of a passenger [tramway] ropeway permits the
             481      operator to operate the passenger [tramway] ropeway until final action on the application is taken
             482      by the committee.
             483          (3) If an operator files an application to renew registration of a passenger [tramway]
             484      ropeway, then the operator may continue the operation of the passenger [tramway] ropeway under
             485      the existing registration until the committee takes final action on the pending application and has:
             486          (a) issued a certificate to the operator; or
             487          (b) given written notice to the operator that the passenger [tramway] ropeway has not
             488      qualified for certification.
             489          Section 13. Section 72-11-206 , which is renumbered from Section 63-11-42 is renumbered
             490      and amended to read:
             491           [63-11-42].     72-11-206. Annual application for passenger ropeway registration.
             492          (1) Every operator of a passenger [tramway] ropeway, or person who plans to operate a


             493      passenger [tramway] ropeway, shall, prior to operating the passenger [tramway] ropeway, apply
             494      to the committee on forms provided by the committee for registration of the passenger [tramway]
             495      ropeway.
             496          (2) Passenger [tramway] ropeway registrations are valid for a one-year period as
             497      established by rule of the committee under Section [ 63-11-46 ] 72-11-210.
             498          (3) The application shall contain sufficient information for the committee to determine
             499      [whether] if the passenger [tramway] ropeway to be registered complies with Section [ 63-11-37 ]
             500      72-11-201 and the rules made by the committee under Section [ 63-11-46 ] 72-11-210 .
             501          Section 14. Section 72-11-207 , which is renumbered from Section 63-11-43 is renumbered
             502      and amended to read:
             503           [63-11-43].     72-11-207. Passenger ropeways -- Registration certificates.
             504          (1) The committee shall issue to the applying operator registration certificates for each
             505      passenger [tramway] ropeway owned, managed, or operated by the operator [when] if:
             506          (a) the facts stated in the application enable the committee to fulfill its duties under
             507      [Sections 63-11-37 through 63-11-53 ] this chapter; and
             508          (b) each passenger [tramway] ropeway to be registered complies with the rules of the
             509      committee under Section [ 63-11-46 ] 72-11-210 .
             510          (2) In order to verify that the conditions described in Subsection (1) have been fulfilled,
             511      the committee may make or direct the inspections described in Section [ 63-11-47 ] 72-11-211 as
             512      necessary.
             513          (3) (a) When an operator installs a passenger [tramway] ropeway subsequent to registration
             514      in any year, the operator shall file a supplemental application for registration of the passenger
             515      [tramway] ropeway.
             516          (b) Upon receipt of the supplemental application, the committee shall immediately
             517      initiate proceedings to register or reject registration of the passenger [tramway] ropeway under the
             518      provisions of [Sections 63-11-37 through 63-11-53 ] this chapter.
             519          (4) Each registration expires on the date established under Section [ 63-11-46 ] 72-11-210 .
             520          (5) [Each operator shall conspicuously display the] The registration certificate for each
             521      passenger [tramway at the place where passengers load] ropeway shall be maintained on file at the
             522      area and available to the public for inspection and copying.
             523          Section 15. Section 72-11-208 , which is renumbered from Section 63-11-44 is renumbered


             524      and amended to read:
             525           [63-11-44].     72-11-208. Passenger ropeways -- Registration fee.
             526          The application for registration, or supplemental application, shall be accompanied by an
             527      annual fee [fixed] adopted by the committee in accordance with Section 63-38-3.2 .
             528          Section 16. Section 72-11-209 , which is renumbered from Section 63-11-45 is renumbered
             529      and amended to read:
             530           [63-11-45].     72-11-209. Passenger ropeways -- Fees deposited in Transportation
             531      Fund.
             532          [All fees] Any fee collected by the committee shall be deposited in the Transportation
             533      Fund.
             534          Section 17. Section 72-11-210 , which is renumbered from Section 63-11-46 is renumbered
             535      and amended to read:
             536           [63-11-46].     72-11-210. Passenger ropeways -- Additional powers and duties of
             537      committee.
             538          The committee may:
             539          (1) in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, make
             540      rules establishing:
             541          (a) public safety in the design, construction, and operation of passenger [tramways]
             542      ropeways that [comply with the standards contained in The United States of America Standard
             543      Institute Safety Code for Aerial Passenger Tramways]:
             544          (i) adopt the American National Standard for Passenger Ropeways;
             545          (ii) modify the standard under Subsection (1)(a)(i); or
             546          (iii) establish an equivalent standard; and
             547          (b) the annual registration date;
             548          (2) hold hearings and take evidence in all matters relating to the exercise and performance
             549      of the powers and duties vested in the committee;
             550          (3) subpoena witnesses;
             551          (4) administer oaths;
             552          (5) compel the testimony of witnesses and the production of books, papers, and records
             553      relevant to any inquiry;
             554          (6) approve, deny, revoke, and renew the registrations provided for in [Sections 63-11-37


             555      through 63-11-53 ] this chapter;
             556          (7) cause the prosecution and enjoinder of all persons violating the provisions of [Sections
             557      63-11-37 through 63-11-53 ] this chapter and incur the necessary expenses;
             558          (8) elect officers and adopt a seal which may be affixed to all registrations issued by the
             559      committee; and
             560          (9) employ, within the funds available, and prescribe the duties of a secretary and other
             561      personnel as the committee considers necessary.
             562          Section 18. Section 72-11-211 , which is renumbered from Section 63-11-47 is renumbered
             563      and amended to read:
             564           [63-11-47].     72-11-211. Passenger ropeways -- Inspection.
             565          (1) The committee may order inspections of the design, construction, operation, and
             566      maintenance of passenger [tramways] ropeways as the committee may reasonably require.
             567          (2) If, as the result of an inspection, it is found that a violation of the committee's rules
             568      exists, or a condition in passenger [tramway] ropeway construction, operation, or maintenance
             569      exists [endangering] that endangers the safety of the public, an immediate report shall be made to
             570      the operator whose passenger [tramway] ropeway has received the inspection and to the committee
             571      for appropriate investigation and order.
             572          Section 19. Section 72-11-212 , which is renumbered from Section 63-11-48 is renumbered
             573      and amended to read:
             574           [63-11-48].     72-11-212. Passenger ropeways -- Violations -- Order of committee.
             575          (1) If, after investigation, the committee finds that a violation of [Sections 63-11-37
             576      through 63-11-53 ] this chapter or any of its rules exists, or that there is a condition in passenger
             577      [tramway] ropeway construction, operation, or maintenance [endangering] that endangers the
             578      safety of the public, it shall immediately issue its written order setting forth its findings, the
             579      corrective action to be taken, and [fixing] setting a reasonable time for compliance.
             580          (2) The order shall be served upon the operator involved in the violation personally or by
             581      registered mail at the committee's election. Return shall be made as provided in the Utah Rules
             582      of Civil Procedure.
             583          Section 20. Section 72-11-213 , which is renumbered from Section 63-11-49 is renumbered
             584      and amended to read:
             585           [63-11-49].     72-11-213. Passenger ropeways -- Failure to comply with order --


             586      Suspension -- Injunction.
             587          (1) If any operator fails to comply with a legal order or rule of the committee, the
             588      committee may:
             589          (a) suspend the registration of the affected passenger [tramway] ropeway until the operator
             590      complies; or
             591          (b) bring injunctive proceedings in the district court of the judicial district in which the
             592      affected passenger [tramway] ropeway is located to compel compliance.
             593          (2) In these proceedings the committee is not required to post bond.
             594          Section 21. Section 72-11-214 , which is renumbered from Section 63-11-51 is renumbered
             595      and amended to read:
             596           [63-11-51].     72-11-214. Passenger ropeways -- Not common carriers or public
             597      utilities -- Cooperative agreement with United States Forest Service.
             598          (1) Passenger [tramways] ropeways are not common carriers or public utilities.
             599          (2) To avoid duplicate [inspections] effort by authorities having jurisdiction over passenger
             600      ropeways on National Forest System land in the state, the committee may enter into a cooperative
             601      agreement with the United States Forest Service [so that an inspection of a passenger tramway by
             602      the United States Forest Service constitutes the inspection by the committee and its inspectors]
             603      to establish reasonable standards for design, construction, maintenance, operational practices, and
             604      inspection.
             605          (3) Upon application for registration of a passenger tramway, the operator shall pay to the
             606      committee a [sum equal to the] reasonable inspector's fee, plus a surcharge, [which] that would
             607      have been charged had the inspection been made by the committee and its inspectors.
             608          Section 22. Section 72-11-215 , which is renumbered from Section 63-11-52 is renumbered
             609      and amended to read:
             610           [63-11-52].     72-11-215. Passenger ropeways -- Use in dangerous manner unlawful.
             611          A person [riding or using] who rides or uses a passenger [tramway] ropeway may not do
             612      so in a manner that may endanger the life and safety of [other persons] another person or cause
             613      damage to passenger [tramway] ropeway equipment.
             614          Section 23. Section 72-11-216 , which is renumbered from Section 63-11-53 is renumbered
             615      and amended to read:
             616           [63-11-53].     72-11-216. Passenger ropeways -- Violation of act a misdemeanor.


             617          [Any] A person who violates Section [ 63-11-52 ] 72-11-215 is guilty of a class [B] A
             618      misdemeanor.
             619          Section 24. Repealer.
             620          This act repeals:
             621          Section 63-11-38, Passenger tramways -- Definitions.




Legislative Review Note
    as of 2-1-99 1:57 PM


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

Office of Legislative Research and General Counsel


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