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S.B. 5

             1     

RETIREMENT AND INDEPENDENT ENTITIES

             2     
COMMITTEE AMENDMENTS

             3     
2003 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Sponsor: Beverly Ann Evans

             6      This act modifies the Independent Entities Code by changing the name of the Legislative
             7      Quasi-Governmental Entities Committee and the Legislative Independent Entities
             8      Committee to the Retirement and Independent Entities Committee. This act repeals the
             9      Quasi-Governmental Entities Act which was replaced by the Independent Entities Act
             10      that became effective on July 1, 2002.
             11      This act affects sections of Utah Code Annotated 1953 as follows:
             12      AMENDS:
             13          9-3-410, as last amended by Chapter 88, Laws of Utah 2001
             14          31A-22-605.5, as enacted by Chapter 220, Laws of Utah 2002
             15          63E-1-102, as last amended by Chapters 159 and 250, Laws of Utah 2002
             16          63E-1-201, as enacted by Chapter 201, Laws of Utah 2001
             17          63E-2-104, as enacted by Chapter 201, Laws of Utah 2001
             18      REPEALS:
             19          63-95-101, as last amended by Chapter 210, Laws of Utah 2000
             20          63-95-102, as last amended by Chapters 159 and 250, Laws of Utah 2002
             21          63-95-201, as enacted by Chapter 210, Laws of Utah 2000
             22          63-95-202, as last amended by Chapter 250, Laws of Utah 2002
             23          63-95-203, as last amended by Chapter 159, Laws of Utah 2002
             24          63-95-301, as enacted by Chapter 210, Laws of Utah 2000
             25          63-95-302, as enacted by Chapter 210, Laws of Utah 2000
             26          63-95-401, as last amended by Chapter 262, Laws of Utah 2002
             27          63-95-402, as renumbered and amended by Chapter 210, Laws of Utah 2000



             28          63-95-403, as renumbered and amended by Chapter 210, Laws of Utah 2000
             29      Be it enacted by the Legislature of the state of Utah:
             30          Section 1. Section 9-3-410 is amended to read:
             31           9-3-410. Relation to certain acts.
             32          (1) The authority is exempt from:
             33          (a) Title 51, Chapter 5, Funds Consolidation Act;
             34          (b) Title 63, Chapter 38, Budgetary Procedures Act;
             35          (c) Title 63, Chapter 56, Utah Procurement Code;
             36          (d) Title 63A, Chapter 1, Utah Administrative Services Code; and
             37          (e) Title 67, Chapter 19, Utah State Personnel Management Act.
             38          (2) The authority shall be subject to audit by:
             39          (a) the state auditor pursuant to Title 67, Chapter 3, Auditor; and
             40          (b) the legislative auditor general pursuant to Section 36-12-15 .
             41          (3) The authority shall annually report to the [Legislative Quasi-Governmental]
             42      Retirement and Independent Entities Committee created under Section 63E-1-201 concerning
             43      the authority's implementation of this part.
             44          Section 2. Section 31A-22-605.5 is amended to read:
             45           31A-22-605.5. Application.
             46          (1) For purposes of this section "insurance mandate":
             47          (a) means a mandatory obligation with respect to coverage, benefits, or the number or
             48      types of providers imposed on policies of accident and health insurance; and
             49          (b) does not mean an administrative rule imposing a mandatory obligation with respect
             50      to coverage, benefits, or providers unless that mandatory obligation was specifically imposed
             51      on policies of accident and health insurance by statute.
             52          (2) (a) Notwithstanding the provisions of Subsection 31A-1-103 (3)(f), any law
             53      imposed under this title that becomes effective after January 1, 2002, which provides for an
             54      insurance mandate for policies of accident and health insurance shall also apply to health
             55      coverage offered to the state employees' risk pool under Subsection 49-20-202 (1)(a).
             56          (b) If health coverage offered to the state employees' risk pool under Subsection
             57      49-20-202 (1)(a) offers coverage in the same manner and to the same extent as the coverage
             58      required by the insurance mandate imposed under this title or coverage that is greater than the


             59      insurance mandate imposed under this title, the coverage offered to state employees under
             60      Subsection 49-20-202 (1)(a) will be considered in compliance with the insurance mandate.
             61          (c) The program regulated under Subsection 49-20-202 (1)(a) shall report to the
             62      [Quasi-Governmental] Retirement and Independent Entities [Interim] Committee created under
             63      Section 63E-1-102 by November 30 of each year in which a mandate is imposed under the
             64      provisions of this section. The report shall include the costs and benefits of the particular
             65      mandatory obligation.
             66          Section 3. Section 63E-1-102 is amended to read:
             67           63E-1-102. Definitions.
             68          As used in this title:
             69          (1) "Authorizing statute" means the statute creating an entity as an independent entity.
             70          (2) "Committee" means the [Legislative] Retirement and Independent Entities
             71      Committee created in Section 63E-1-201 .
             72          (3) "Independent corporation" means a corporation incorporated in accordance with
             73      Chapter 2, Independent Corporations Act.
             74          (4) (a) "Independent entity" means an entity having a public purpose relating to the
             75      state or its citizens that is individually created by the state or is given by the state the right to
             76      exist and conduct its affairs as an:
             77          (i) independent state agency; or
             78          (ii) independent corporation.
             79          (b) "Independent entity" includes the:
             80          (i) Dairy Commission created in Title 4, Chapter 22, Dairy Promotion Act;
             81          (ii) Utah Technology Finance Corporation created in Title 9, Chapter 13, Utah
             82      Technology and Small Business Finance Act;
             83          (iii) Heber Valley Railroad Authority created in Title 9, Chapter 3, Part 3, Heber
             84      Valley Historic Railroad Authority;
             85          (iv) Utah Science Center Authority created in Title 9, Chapter 3, Part 4, Utah Science
             86      Center Authority;
             87          (v) Utah Housing Corporation created in Title 9, Chapter 4, Part 9, Utah Housing
             88      Corporation Act;
             89          (vi) Utah State Fair Corporation created in Title 9, Chapter 4, Part 11, Utah State Fair


             90      Corporation Act;
             91          (vii) Workers' Compensation Fund created in Title 31A, Chapter 33, Workers'
             92      Compensation Fund;
             93          (viii) Utah State Retirement Office created in Title 49, Chapter 11, Utah State
             94      Retirement Systems Administration;
             95          (ix) School and Institutional Trust Lands Administration created in Title 53C, Chapter
             96      1, Part 2, School and Institutional Trust Lands Administration; and
             97          (x) Utah Communications Agency Network created in Title 63C, Chapter 7, Utah
             98      Communications Agency Network Act.
             99          (c) Notwithstanding this Subsection (4), "independent entity" does not include:
             100          (i) the Public Service Commission of Utah created in Section 54-1-1 ;
             101          (ii) an institution within the state system of higher education;
             102          (iii) a city, county, or town;
             103          (iv) a local school district;
             104          (v) a special district created under the authority of Title 17A, Special Districts; or
             105          (vi) a local district created under the authority of Title 17B, Limited Purpose Local
             106      Government Entities.
             107          (5) "Independent state agency" means an entity that is created by the state, but is
             108      independent of the governor's direct supervisory control.
             109          (6) "Monies held in trust" means monies maintained for the benefit of:
             110          (a) one or more private individuals, including public employees;
             111          (b) one or more public or private entities; or
             112          (c) the owners of a quasi-public corporation.
             113          (7) "Public corporation" means an artificial person, public in ownership, individually
             114      created by the state as a body politic and corporate for the administration of a public purpose
             115      relating to the state or its citizens.
             116          (8) "Quasi-public corporation" means an artificial person, private in ownership,
             117      individually created as a corporation by the state which has accepted from the state the grant of
             118      a franchise or contract involving the performance of a public purpose relating to the state or its
             119      citizens.
             120          Section 4. Section 63E-1-201 is amended to read:


             121           63E-1-201. Retirement and Independent Entities Committee creation.
             122          (1) There is created [a Legislative] the Retirement and Independent Entities Committee
             123      composed of 14 legislators appointed as follows:
             124          (a) five senators, appointed by the president of the Senate, with at least two senators
             125      from the minority party; and
             126          (b) nine representatives, appointed by the speaker of the House of Representatives,
             127      with at least three representatives from the minority party.
             128          (2) (a) The president of the Senate shall designate one of the Senate appointees as a
             129      cochair of the committee.
             130          (b) The speaker of the House of Representatives shall designate one of the House of
             131      Representatives appointees as a cochair of the committee.
             132          (3) Committee members serve for two years, but may be reappointed by the speaker or
             133      the president.
             134          (4) The committee shall meet at least twice each year, but may meet more frequently if
             135      the chairs determine that additional meetings are needed.
             136          (5) In conducting all of its business, the committee shall comply with the rules of
             137      legislative interim committees.
             138          (6) The Office of Legislative Research and General Counsel shall provide staff services
             139      to the committee.
             140          (7) Salaries and expenses of legislative committee members shall be paid in
             141      accordance with:
             142          (a) Section 36-2-2 ; and
             143          (b) Legislative Joint Rule 15.03.
             144          Section 5. Section 63E-2-104 is amended to read:
             145           63E-2-104. Legislative review.
             146          (1) Each independent corporation is subject to review by the [Legislative] Retirement
             147      and Independent Entities Committee in accordance with Chapter 1, Independent Entities Act.
             148          (2) Notwithstanding Section 36-12-15 , the Office of Legislative Auditor General may
             149      conduct comprehensive and special purpose audits, examinations, and reviews of any
             150      independent corporation.
             151          (3) Each independent corporation shall report, as requested, to the committee on


             152      matters related to audits.
             153          Section 6. Repealer.
             154          This act repeals:
             155          Section 63-95-101, Title.
             156          Section 63-95-102, Definitions.
             157          Section 63-95-201, Legislative Quasi-Governmental Entities Committee creation.
             158          Section 63-95-202, Duties of the committee.
             159          Section 63-95-203, Exemptions from committee activities.
             160          Section 63-95-301, Review by committee required for creating a
             161      quasi-governmental entity.
             162          Section 63-95-302, Recommendations of the committee.
             163          Section 63-95-401, Benefits to interested parties of a quasi-governmental entity.
             164          Section 63-95-402, Privatization process -- Audit.
             165          Section 63-95-403, Penalties for violation.




Legislative Review Note
    as of 10-4-02 9:28 AM


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

Office of Legislative Research and General Counsel


Interim Committee Note
    as of 12-11-02 9:42 AM


The Quasi-Governmental Entities Interim Committee recommended this bill.


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