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S.B. 84

             1     

STATE OLYMPIC AMENDMENTS

             2     
2001 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Sponsor: Beverly Ann Evans

             5      This act modifies the Utah Sports Authority Act and the State Olympic Coordination Act.
             6      The act repeals the Utah Sports Advisory Committee and modifies the responsibilities of the
             7      Olympic Coordination Committee. The act modifies reporting requirements of the State
             8      Olympic Officer. The act repeals obsolete language and makes technical changes.
             9      This act affects sections of Utah Code Annotated 1953 as follows:
             10      AMENDS:
             11          63A-7-103, as last amended by Chapter 186, Laws of Utah 1996
             12          63A-7-104, as last amended by Chapters 202 and 216, Laws of Utah 1998
             13          63A-7-106, as last amended by Chapter 294, Laws of Utah 1999
             14          63A-10-109, as enacted by Chapter 294, Laws of Utah 1999
             15      REPEALS:
             16          63A-7-111, as last amended by Chapter 294, Laws of Utah 1999
             17          63A-7-112, as last amended by Chapter 294, Laws of Utah 1999
             18      Be it enacted by the Legislature of the state of Utah:
             19          Section 1. Section 63A-7-103 is amended to read:
             20           63A-7-103. Definitions.
             21          As used in this chapter:
             22          (1) "Acquire" or "acquisition" means, with respect to any right, title, or interest in or to any
             23      property, to gain or obtain the right, title, or interest by purchase, lease, construction, gift,
             24      appropriation, or otherwise.
             25          [(2) "Advisory committee" means the Utah Sports Advisory Committee created by Section
             26      63A-7-111 .]
             27          [(3) "Advisory committee member" means a member of the advisory committee.]


             28          [(4)] (2) "Authority" means the Utah Sports Authority created by this chapter.
             29          [(5)] (3) "Authority board" or "board" means the Utah Sports Authority Board created in
             30      accordance with Section 63A-7-104 .
             31          (4) "Coordination committee" means the Olympic Coordination Committee created
             32      pursuant to Section 63A-10-109 .
             33          [(6)] (5) "Member" means a member of the authority board.
             34          [(7)] (6) (a) "Public sports entity" means any public or private agency, corporation,
             35      organization, association, person, or other entity that borrows or otherwise uses or seeks to borrow
             36      or otherwise use state money to solicit, attract, organize, schedule, conduct, book, provide, operate,
             37      or create any public sports event, and any Olympic bid committee or any Olympic organizing
             38      committee.
             39          (b) "Public sports entity" does not include:
             40          (i) the authority or any county, city, or town, or the summer games residing in Cedar City;
             41      or
             42          (ii) a regional service area or county service area which owns or operates, directly or
             43      indirectly, any facility that is constructed or renovated with Utah Sports Authority funds.
             44          [(8)] (7) (a) "Public sports event" means any organized athletic competition, organized
             45      athletic training, recreational activity, sports or recreation related educational activity,
             46      sports-related entertainment activity, or other sports-related activity that:
             47          (i) is conducted in any public sports facility; or
             48          (ii) uses any state funding in any amount.
             49          (b) "Public sports event" does not include games of Utah professional franchise teams,
             50      collegiate athletics, or high school athletics.
             51          [(9)] (8) "Public sports facility" means any state-funded ski jump, bobsled run, luge run,
             52      speed skating rink, or any other winter sports facility constructed in whole or in part with state
             53      funds and for the purpose of hosting or seeking the right to host the Olympic Winter Games,
             54      including all real and personal property, structures, driveways, roads, approaches, parking
             55      facilities, mechanical equipment, utilities, improvements, and all appurtenances and facilities
             56      either on, above, or under the ground that are constructed in whole or in part with public money
             57      and are used in connection with the facility, and suitable for use in connection with athletic
             58      training, education, housing, or competition. The fact that a facility is also suitable for other uses


             59      in addition to those specified does not exclude the facility from the scope of this definition.
             60          Section 2. Section 63A-7-104 is amended to read:
             61           63A-7-104. Utah Sports Authority -- State controls -- Board -- Membership --
             62      Meetings -- Removal -- Per diem and expenses.
             63          (1) (a) There is created within the department the Utah Sports Authority.
             64          (b) The authority is subject to all laws, rules, policies, and other conditions and limitations
             65      that govern agencies of state government, including:
             66          (i) the procurement procedures contained in Title 63, Chapter 56, Utah Procurement Code;
             67          (ii) Title 63A, Chapter 10, State Olympic Coordination Act;
             68          (iii) the personnel procedures contained in Title 67, Chapter 19, Utah State Personnel
             69      Management Act; and
             70          (iv) the laws, rules, policies, and other conditions or limitations from oversight
             71      departments, divisions, agencies, or offices such as the Division of Finance, the Division of
             72      Facilities Construction and Management, the state treasurer, the state auditor, and the attorney
             73      general.
             74          (c) (i) Notwithstanding any other provisions of this chapter, the Division of Finance shall
             75      provide or contract for all accounting related to public sports facilities, including budgeting,
             76      financial reporting, and internal controls of both state and nonstate funds of the authority.
             77          (ii) All nonstate funds may be accounted for and controlled outside of the state accounting
             78      system.
             79          (d) (i) After May 4, 1998, any contract, agreement, or financial arrangement entered into
             80      by the authority shall be reviewed by the State Olympic Officer and approved by the governor if
             81      the contract, agreement, or financial arrangement involves:
             82          (A) the transfer or conveyance of real or personal property or any interest in real or
             83      personal property held by the authority on behalf of the state;
             84          (B) the lease or use of a public sports facility by any person other than the authority;
             85          (C) construction at a public sports facility; or
             86          (D) the management of a public sports facility.
             87          (ii) A contract, agreement, or financial arrangement entered into after May 4, 1998, that
             88      is not reviewed and approved in accordance with this Subsection (1)(d) is voidable at the option
             89      of the governor.


             90          (iii) The State Olympic Officer may establish a policy that exempts a contract, agreement,
             91      or financial arrangement from the requirements of this Subsection (1)(d) if:
             92          (A) the size of a project, the scope of the activities, or the amount of money or state
             93      resources involved is of minimal or insignificant nature; and
             94          (B) the exemption is in the public interest.
             95          (iv) The requirements of this Subsection (1)(d) are in addition to any other requirements
             96      imposed on the authority by law, including approval by the Legislature of any conveyance under
             97      Subsection 63A-7-105 (20).
             98          (2) The policy of the authority shall be determined by the authority board rather than the
             99      executive director.
             100          (3) There is created a Utah Sports Authority Board that shall consist of 19 members as
             101      follows:
             102          (a) 18 individuals appointed by the governor, with the advice and consent of the Senate,
             103      as follows:
             104          (i) five individuals from a list of ten nominees provided by the Utah League of Cities and
             105      Towns, with not more than one being a resident of any given county;
             106          (ii) two individuals from a list of four nominees provided by the Utah Association of
             107      Counties;
             108          (iii) three individuals from a list of six nominees provided by the mayor of Salt Lake City;
             109          (iv) four individuals from the state at large; and
             110          (v) four individuals:
             111          (A) who prior to or at the time of appointment are athletes; and
             112          (B) that the governor determines fairly represent the interests of athletes that will be served
             113      by state programs or facilities overseen by the authority; and
             114          (b) the executive director of the Department of Community and Economic Development.
             115          (4) The authority board membership shall include representatives of private business and
             116      industry. Examples of industries that may be represented on the board include the banking,
             117      accounting, legal, financial services, and amateur sports industries.
             118          (5) (a) In making appointments to the authority board, the governor shall consider
             119      geographical representation.
             120          (b) A member of the authority board may not hold an elective public office.


             121          (c) Each board member shall be a resident of the state as defined in Section 20A-2-105 .
             122          (d) No more than ten board members may have the same political party affiliation and the
             123      political party affiliation of each board member and any change in that affiliation shall be disclosed
             124      to the board.
             125          (e) A member of the authority board, any of its employees, or any employees of the
             126      department or the Department of Community and Economic Development may not be on the board
             127      of, be employed by, contract with, or in any way be affiliated with any private entity that is using
             128      or seeking to use state funds to solicit, attract, organize, schedule, conduct, book, provide, operate,
             129      or create any public sports event, or that uses or seeks to use any public sports facility, unless any
             130      affiliation with the private entity is fully disclosed to the authority board and the advisory
             131      committee in an open and public meeting.
             132          (6) (a) Except as required by Subsection (6)(b), each board member shall serve a four-year
             133      term beginning January 1, 1990.
             134          (b) Notwithstanding the requirements of Subsection (6)(a), the governor shall, at the time
             135      of appointment or reappointment, adjust the length of terms to ensure that the terms of authority
             136      members are staggered so that approximately half of the authority is appointed every two years.
             137          (7) The governor shall appoint one of the members appointed to a four-year term as the
             138      chair of the authority board. The members shall elect from among their number a vice chair and
             139      other officers they may determine. The chair shall serve at the pleasure of the governor.
             140          (8) (a) The authority board shall meet at least quarterly unless otherwise determined by a
             141      majority of the members and at other times at the discretion of the chair.
             142          (b) A majority of the authority board is a quorum for conducting authority business. A
             143      majority vote of those present is required for any action to be taken by the authority.
             144          (c) The authority board shall invite the members of the [advisory] coordination committee
             145      and other agencies and individuals listed in Subsection (8)(e) to all of its meetings. The authority
             146      shall allow members of the [advisory] coordination committee and other agencies and individuals
             147      listed in Subsection (8)(e) to attend, participate in discussions, and review all materials presented
             148      in all meetings of the authority.
             149          (d) The authority shall include at least two members of the [advisory] coordination
             150      committee on each subcommittee the authority board may create.
             151          (e) The authority board shall provide meeting notices, agendas, and minutes of meetings:


             152          (i) to members of the [advisory] coordination committee;
             153          (ii) the governor;
             154          (iii) the attorney general;
             155          (iv) the Division of Finance;
             156          (v) the Department of Administrative Services;
             157          (vi) the Division of Facilities Construction and Management;
             158          (vii) the state auditor;
             159          (viii) the legislative auditor general;
             160          (ix) the Office of Legislative Research and General Counsel;
             161          (x) the Office of the Legislative Fiscal Analyst; and
             162          (xi) the State Olympic Officer.
             163          (9) (a) Any member may be removed from office with cause by the governor or for cause
             164      by an affirmative vote of eight members.
             165          (b) When a vacancy occurs in the membership for any reason, the replacement shall be
             166      appointed for the unexpired term in the same manner as the original appointment, subject to the
             167      consent of the Senate.
             168          (c) A member shall continue to hold office until the member's successor has been
             169      appointed and qualified.
             170          (d) Any member is eligible for reappointment, but may not serve more than four full
             171      consecutive terms.
             172          (10) The authority shall exist as long as it has obligations outstanding and until its
             173      existence is terminated by law. Upon the termination of the existence of the authority, all its rights
             174      and properties shall pass to and be vested in the state.
             175          (11) (a) (i) A member who is not a government employee shall receive no compensation
             176      or benefits for that member's services, but may receive per diem and expenses incurred in the
             177      performance of the member's official duties at the rates established by the Division of Finance
             178      under Sections 63A-3-106 and 63A-3-107 .
             179          (ii) A member may decline to receive per diem and expenses for the member's service.
             180          (b) (i) A state government officer or employee member who does not receive salary, per
             181      diem, or expenses from the officer's or employee's agency for the officer's or employee's service
             182      may receive per diem and expenses incurred in the performance of the officer's or employee's


             183      official duties from the authority at the rates established by the Division of Finance under Sections
             184      63A-3-106 and 63A-3-107 .
             185          (ii) A state government officer or employee member may decline to receive per diem and
             186      expenses for the officer's or employee's service.
             187          (c) (i) A local government member who does not receive salary, per diem, or expenses from
             188      the entity that the member represents for the service may receive per diem and expenses incurred
             189      in the performance of the member's official duties at the rates established by the Division of
             190      Finance under Sections 63A-3-106 and 63A-3-107 .
             191          (ii) A local government member may decline to receive per diem and expenses for the
             192      member's service.
             193          Section 3. Section 63A-7-106 is amended to read:
             194           63A-7-106. Financial plan -- Approval by governor and mayor -- Requirements for
             195      review -- State Olympic Officer access to and report on financial information -- Governor's
             196      responsibilities.
             197          (1) Any public sports entity that hosts, organizes, conducts, or operates the Olympic
             198      Winter Games shall:
             199          (a) no later than 45 days after the last day of each calendar quarter, submit a budget for
             200      hosting the games, including any substantive or material changes to the budget since it was last
             201      submitted, to the governor and the mayor of Salt Lake City for review and approval;
             202          (b) submit to the State Olympic Officer:
             203          (i) financial information requested by the State Olympic Officer that is substantially
             204      similar to monthly and quarterly reports that are prepared by the public sports entity for a financial
             205      institution providing the public sports entity with one or more revolving or other lines of credit;
             206          (ii) by no later than December 31, 2000, written identification of contracts and payment
             207      amounts, which the public sports entity intends to use to fully fund its obligations described in
             208      Subsection (2)(e); and
             209          (iii) any other financial records requested by the State Olympic Officer;
             210          (c) annually provide to the State Olympic Officer in a form that meets generally accepted
             211      accounting principles, except as noted in the audit opinion, the public sports entity's balance sheet,
             212      income statement, cash flow statement, and the entity's current operating performance as compared
             213      to its budget; and


             214          (d) provide the State Olympic Officer reasonable access during normal business hours to
             215      the financial ledgers of the public sports entity.
             216          (2) The budget submitted by a public sports entity pursuant to Subsection (1)(a) shall
             217      contain any information requested by the governor, and the mayor of Salt Lake City, as well as
             218      documentation that the budget and accompanying information:
             219          (a) includes reliable revenue projections that are estimated to adequately cover anticipated
             220      expenditures under the budget;
             221          (b) includes projected cash flow estimates;
             222          (c) includes reasonably prudent budget contingencies;
             223          (d) maintains, supports, and protects the state's security interest in revenues of the Salt
             224      Lake Organizing Committee for the Olympic Winter Games of 2002, in accordance with joint
             225      resolutions adopted by the Legislature; and
             226          (e) provides for payment of all obligations of the Salt Lake Organizing Committee for the
             227      Olympic Winter Games of 2002 that are due to:
             228          (i) the state, including:
             229          (A) repayment to the Utah Sports Authority of the actual total funds expended or incurred
             230      by the Utah Sports Authority through April 15, 1999, from the Olympics Special Revenue Fund,
             231      not to exceed $59,000,000, in accordance with joint resolutions adopted by the Legislature;
             232          (B) payment to the state of an amount equal to the bond obligations owed with respect to
             233      the State Building Ownership Authority bond, in accordance with the requirements of S.J.R.14
             234      passed by the Legislature in the 1998 General Session; and
             235          (C) payment for services or property in accordance with Section 63A-10-107 ;
             236          (ii) the Utah Athletic Foundation, including the payment of $40,000,000 in accordance with
             237      joint resolutions adopted by the Legislature; and
             238          (iii) the University of Utah, for use of the university's stadium for opening and closing
             239      ceremonies in accordance with the requirements of the Ceremonies Agreement dated July 28,
             240      1997.
             241          (3) (a) Beginning the first of fiscal year 1999-2000, the governor shall, no less often than
             242      semi-annually, provide a written review and determination regarding his decision whether to
             243      approve the budget described in Subsection (1)(a). Based on information available at the time of
             244      the governor's review, the governor shall determine whether the budget and accompanying


             245      information includes the requirements described in Subsection (2).
             246          (b) The governor shall provide a copy of his written semi-annual review and also, if
             247      approved, his written approval to the:
             248          [(i) president of the Senate;]
             249          [(ii) speaker of the House of Representatives; and]
             250          [(iii) Olympic Coordination Committee, created pursuant to Section 63A-10-109 .]
             251          (i) Legislative Management Committee; and
             252          (ii) coordination committee.
             253          (c) The governor's written review and approval, as described in this Subsection (3), does
             254      not constitute a guarantee or certification by the governor regarding the public sports entity's
             255      budget.
             256          (4) (a) No later than 15 days following the submission of the budget pursuant to
             257      Subsection (1)(a), the State Olympic Officer shall report in writing to the [Olympic Coordination
             258      Committee] coordination committee. That report shall include a summary of:
             259          (i) the quarterly budget provided by a public sports entity, as required by Subsection (1)(a);
             260      and
             261          (ii) the documentation described in Subsection (2).
             262          (b) The State Olympic Officer's report required by this Subsection (4) does not constitute
             263      a guarantee or certification by the State Olympic Officer regarding the public sports entity's budget.
             264          (5) The review and determination of approval of the budget by the mayor of Salt Lake
             265      City, as required by Subsection (1)(a), shall be in accordance with policy guidelines established
             266      by the Salt Lake City Council.
             267          (6) The State Olympic Officer may request from the public sports entity access to any other
             268      financial records not disclosed under Subsection (1)(a). The public sports entity shall provide the
             269      coordinator access to the records if the board of trustees of the public sports entity approves the
             270      request.
             271          [(7) The State Olympic Officer shall:]
             272          [(a) distribute the information provided pursuant to Subsection (1) (b) to:]
             273          [(i) the Division of Finance;]
             274          [(ii) the state auditor;]
             275          [(iii) the legislative auditor general;]


             276          [(iv) the Office of Legislative Research and General Counsel; and]
             277          [(v) the Office of the Legislative Fiscal Analyst;]
             278          [(b) review the information provided pursuant to Subsections (1) and (2); and]
             279          [(c) report annually to the Sports Advisory Committee and Executive Appropriations
             280      Committee concerning the financial plan for hosting the games required under Subsection (1)(a),
             281      including reporting on the source, timing, reliability of projections, financial soundness, security
             282      position, and contractual status of projected revenues and projected expenditures.]
             283          [(8)] (7) At the request of a public sports entity, information obtained by the State Olympic
             284      Officer from the public sports entity shall be a protected record under Title 63, Chapter 2,
             285      Government Records Access Management Act, if:
             286          (a) the record is designated as protected by the public sports entity; and
             287          (b) the information is not public information under this chapter or other state or federal
             288      laws.
             289          Section 4. Section 63A-10-109 is amended to read:
             290           63A-10-109. Olympic Coordination Committee -- Creation -- Membership --
             291      Quorum -- Compensation -- Staff -- Committee duties.
             292          (1) There is created the Olympic Coordination Committee consisting of the following 12
             293      members:
             294          (a) five members of the Senate, appointed by the president of the Senate, not more than
             295      three of whom may be of the same political party; and
             296          (b) seven members of the House of Representatives, appointed by the speaker of the House
             297      of Representatives, not more than four of whom may be of the same political party.
             298          (2) The president of the Senate and the speaker of the House of Representatives shall each
             299      appoint a legislator to serve as cochairs of the Olympic Coordination Committee.
             300          (3) The committee shall determine committee quorum and voting requirements in
             301      accordance with legislative rules.
             302          (4) Salaries and expenses of the members of the committee shall be paid in accordance
             303      with Section 36-2-2 and Legislative Joint Rule 15.03.
             304          (5) The Office of Legislative Research and General Counsel shall provide staff support to
             305      the committee and shall consult with the Office of Legislative Fiscal Analyst on fiscal issues
             306      studied by the committee.


             307          (6) The committee may review and make recommendations [to the Legislature and the
             308      governor] on any issue that relates to the:
             309          (a) [the] state's involvement in hosting the Olympics;
             310          (b) coordination of state and local governments in hosting the Olympics;
             311          (c) interests of athletes served by Olympic-related state programs or facilities;
             312          [(b) the] (d) state's role as a creditor and a secured party in relationship to the Olympics
             313      and the Organizing Committee;
             314          [(c) the] (e) Olympics;
             315          [(d) the] (f) Organizing Committee; or
             316          [(e) the] (g) impact of the Olympics on the state after the Olympic games have concluded.
             317          (7) The committee may report any recommendations, including any proposed legislation,
             318      to the Legislative Management Committee.
             319          Section 5. Repealer.
             320          This act repeals:
             321          Section 63A-7-111, Utah Sports Advisory Committee.
             322          Section 63A-7-112, Committee authority.




Legislative Review Note
    as of 1-25-01 6:11 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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