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First Substitute S.B. 101

Senator Peter C. Knudson proposes to substitute the following bill:


             1     
STATE BUILDING OWNERSHIP AUTHORITY AMENDMENTS

             2     
2000 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Sponsor: Peter C. Knudson

             5      AN ACT RELATING TO STATE AFFAIRS IN GENERAL; MODIFYING DEFINITIONS;
             6      MODIFYING POWERS AND DUTIES; MODIFYING THE MEMBERSHIP OF THE STATE
             7      BUILDING OWNERSHIP AUTHORITY; MAKING TECHNICAL CORRECTIONS; AND
             8      PROVIDING AN EFFECTIVE DATE.
             9      This act affects sections of Utah Code Annotated 1953 as follows:
             10      AMENDS:
             11          63-9a-3, as last amended by Chapters 67 and 314, Laws of Utah 1998
             12          63-9a-4, as last amended by Chapter 243, Laws of Utah 1996
             13          63-9a-5, as last amended by Chapter 260, Laws of Utah 1981
             14          63-9a-18, as last amended by Chapter 260, Laws of Utah 1981
             15      REPEALS:
             16          63-9a-21, as last amended by Chapter 20, Laws of Utah 1995
             17          63-9a-22, as last amended by Chapter 82, Laws of Utah 1997
             18      Be it enacted by the Legislature of the state of Utah:
             19          Section 1. Section 63-9a-3 is amended to read:
             20           63-9a-3. Definitions.
             21          As used in this chapter:
             22          (1) "Acquire or construct," "acquired or constructed," "constructed or acquired," "acquiring
             23      or constructing," or "acquisition or construction" means any acquisition, construction,
             24      reconstruction, restoration, enlargement, improvement, renovation, repair, replacement, equipping
             25      or furnishing, in whole or in part, of a facility.


             26          (2) "Authority" means the State Building Ownership Authority created by this chapter.
             27          (3) "Division" means the Division of Facilities Construction and Management.
             28          [(3)] (4) (a) "Facility" or "facilities" means any public building, structure, highway, or
             29      property for any governmental purpose of state bodies, and the related and appurtenant easements,
             30      rights-of-way, improvements, paving, utilities, landscaping, parking facilities, and the lands,
             31      interests in land, and grounds, together with the personal property necessary, convenient, or
             32      appurtenant thereto.
             33          (b) "Facility" includes a golf course.
             34          [(4)] (5) "Mortgage" means any mortgage, trust deed, indenture, pledge agreement,
             35      assignment, security agreement, financing statement, or other instrument pursuant to which
             36      property may be encumbered as security for obligations.
             37          [(5)] (6) "Obligations" means any mortgage certificates, notes, debentures, interim
             38      certificates, revenue bonds, or other evidences of financial indebtedness, but not including general
             39      obligation bonds.
             40          [(6)] (7) (a) "State body" or "state bodies" means the state and any department, board,
             41      commission, or agency of the state.
             42          (b) Except as provided in Subsection [(6)] (7)(c), "state body" or "state bodies" does not
             43      mean colleges and universities.
             44          (c) "State body" or "state bodies" includes a college or university when the obligation to
             45      be issued will finance the acquisition or construction of research facilities, housing facilities, or
             46      student centers at the college or university.
             47          (d) "State body" or "state bodies" includes applied technology centers.
             48          Section 2. Section 63-9a-4 is amended to read:
             49           63-9a-4. State Building Ownership Authority created -- Members -- Compensation
             50      -- Location in Department of Administrative Services.
             51          (1) There is created a body politic and corporate to be known as the State Building
             52      Ownership Authority.
             53          (2) The members of the State [Building Board] Bonding Commission created under
             54      Section [ 63A-5-101 ] 63B-1-201 shall serve as members of the State Building Ownership
             55      Authority.
             56          (3) (a) (i) Members who are not government employees shall receive no compensation or


             57      benefits for their services, but may receive per diem and expenses incurred in the performance of
             58      the member's official duties at the rates established by the Division of Finance under Sections
             59      63A-3-106 and 63A-3-107 .
             60          (ii) Members may decline to receive per diem and expenses for their service.
             61          (b) (i) State government officer and employee members who do not receive salary, per
             62      diem, or expenses from their agency for their service may receive per diem and expenses incurred
             63      in the performance of their official duties from the authority at the rates established by the Division
             64      of Finance under Sections 63A-3-106 and 63A-3-107 .
             65          (ii) State government officer and employee members may decline to receive per diem and
             66      expenses for their service.
             67          (4) (a) The State Building Ownership Authority shall be located within the Department
             68      of Administrative Services for administrative purposes and shall receive staff support and all
             69      necessary information and resources from the department as required.
             70          (b) The state financial advisor created under Section 67-4-16 shall provide independent
             71      financial advice, support, and information as required.
             72          Section 3. Section 63-9a-5 is amended to read:
             73           63-9a-5. Powers and duties of authority.
             74          (1) The authority shall [have the following powers and duties: (1) to] have perpetual
             75      succession as a body politic and corporate[;].
             76          (2) The authority may:
             77          [(2) to] (a) a sue and to be sued in its own name;
             78          [(3) to] (b) have, and alter at will, an official seal;
             79          [(4) to] (c) contract with experts, advisers, consultants, and agents for needed services;
             80          [(5)] (d) with the prior approval of the Legislature, [to] borrow money and issue
             81      obligations, including refunding obligations;
             82          [(6) to] (e) receive and accept aid or contributions from any source, including the United
             83      States or this state, in the form of money, property, labor, or other things of value to be held, used
             84      and applied to carry out the purposes of this chapter, subject to the conditions upon which this aid
             85      and contributions are made, for any purpose consistent with this chapter;
             86          [(7) to] (f) enter into agreements with any department, agency or instrumentality of the
             87      United States or this state, financial institutions, or contractors for the purpose of leasing,


             88      maintaining, and operating any facility;
             89          [(8)] (g) to the extent permitted under its contract with the holders of its obligations, [to]
             90      consent to any modification relating to rate of interest, time and payment of any installment of
             91      principal or interest, security or any other term of any contract, mortgage, mortgage loan, mortgage
             92      loan commitment, contract or agreement of any kind to which it is a party;
             93          [(9) to] (h) pledge revenues from any facility to secure the payment of obligations relating
             94      to that facility, including interest on obligations, and to redeem those obligations;
             95          [(10) to] (i) cause to be executed mortgages, trust deeds, indentures, pledge agreements,
             96      assignments, security agreements, and financing statements encumbering property acquired, or
             97      constructed under this chapter;
             98          [(11) to] (j) own, lease, operate, and encumber facilities acquired or constructed under this
             99      chapter by it or the [state building board] the division;
             100          [(12) to] (k) exercise the power of eminent domain;
             101          [(13) to] (l) rent or lease any facility in whole or in part to any state body; and
             102          [(14) to] (m) have and exercise [such] any other powers or duties [as may be] that are
             103      necessary or appropriate to carry out and effectuate the purposes of this chapter.
             104          Section 4. Section 63-9a-18 is amended to read:
             105           63-9a-18. Duties of the Division of Facilities Construction and Management --
             106      Reimbursement.
             107          (1) (a) The [State Building Board] division shall:
             108          (i) construct, maintain, allocate the space in, and dispose of all facilities acquired or
             109      constructed for the authority with the proceeds of obligations of the authority[, and the board
             110      shall]; and
             111          (ii) do all things necessary to keep those facilities in good order and repair [and].
             112          (2) The division may perform all [these acts] of the duties established in Subsection (1)
             113      pursuant to contracts with the authority.
             114          (3) The [board] division shall be reimbursed for all direct costs of maintenance by the
             115      authority from funds derived from rental or lease payments.
             116          (4) Nothing contained in this chapter may be construed to limit, supersede, or otherwise
             117      change in any respect the authority of the division provided in Title 63A, Chapter 5, State Building
             118      Board - Division of Facilities Construction and Management.


             119          Section 5. Repealer.
             120          This act repeals:
             121          Section 63-9a-21, State Building Ownership Authority Program of 1979 -- Obligations
             122      for general office building facility authorized.
             123          Section 63-9a-22, State Building Ownership Authority Program -- Obligations for
             124      agriculture and food department office building facility authorized.
             125          Section 6. Effective date.
             126          If approved by two-thirds of all the members elected to each house, this act takes effect
             127      upon approval by the governor, or the day following the constitutional time limit of Utah
             128      Constitution Article VII, Section 8, without the governor's signature, or in the case of a veto, the
             129      date of veto override.


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