S.B. 146

1

OLYMPIC LAW REVISIONS AND CLEANUP
2 2004 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: Beverly Ann Evans
5
6 LONG TITLE
7 General Description:
8 This bill modifies multiple titles in the code to remove provisions that relate to the 2002
9 Winter Olympic Games but that are no longer relevant to the code.
10 Highlighted Provisions:
11 This bill:
12 . deletes provisions related to the mayor appointing a commission, board, or
13 committee of a public sports entity;
14 . deletes references to the State Olympic Officer, the State Olympic Public Safety
15 Command, and Federal Olympic Officer;
16 . deletes citations to the State Olympic Coordination Act;
17 . deletes certain references to the Olympics;
18 . deletes Olympic related definitions from the Sales and Use Tax Act;
19 . deletes provisions in the Sales and Use Tax Act concerning admission or user fees
20 relating to the Olympics;
21 . deletes provisions in the Sales and Use Tax Act concerning certain sales, uses,
22 leases, or rentals related to the Olympics;
23 . deletes local tax provisions related to the Olympics;
24 . deletes provisions related to the motor vehicle rental tax that relates to the
25 Olympics;
26 . repeals provisions related to the purchase of tangible assets used during the
27 Olympics; and

28 . makes technical changes.
29 Monies Appropriated in this Bill:
30 None
31 Other Special Clauses:
32 This bill provides an effective date.
33 Utah Code Sections Affected:
34 AMENDS:
35 10-3-1219, as last amended by Chapter 194, Laws of Utah 1996
36 49-13-203, as last amended by Chapter 154, Laws of Utah 2003
37 53-1-104, as last amended by Chapters 5 and 14, Laws of Utah 2002
38 53-13-106, as last amended by Chapter 11, Laws of Utah 2001, Second Special Session
39 53-13-107, as last amended by Chapter 11, Laws of Utah 2001, Second Special Session
40 58-1-307, as last amended by Chapter 3, Laws of Utah 2003
41 59-1-403 (Effective 07/01/04 Cont. Sup. 05/05), as last amended by Chapter 7, Laws
42 of Utah 2003, Second Special Session
43 59-1-403 (Contingently Effective 05/02/05), as last amended by Chapter 7, Laws of
44 Utah 2003, Second Special Session
45 59-12-102 (Effective 07/01/04), as last amended by Chapter 312, Laws of Utah 2003
46 59-12-103 (Effective 07/01/04), as last amended by Chapter 312, Laws of Utah 2003
47 59-12-104 (Effective 07/01/04), as last amended by Chapter 312, Laws of Utah 2003
48 59-12-105 (Effective 07/01/04), as last amended by Chapter 312, Laws of Utah 2003
49 59-12-301 (Effective 07/01/04), as last amended by Chapter 312, Laws of Utah 2003
50 59-12-352, as last amended by Chapter 291, Laws of Utah 1998
51 59-12-353, as last amended by Chapter 291, Laws of Utah 1998
52 59-12-603 (Effective 07/01/04), as last amended by Chapter 312, Laws of Utah 2003
53 59-12-1201, as last amended by Chapters 270 and 291, Laws of Utah 1998
54 63-55b-163, as last amended by Chapter 212, Laws of Utah 2003
55 67-22-2, as last amended by Chapter 16, Laws of Utah 2003
56 REPEALS:
57 63-56-35.9, as enacted by Chapter 223, Laws of Utah 2001
58

59 Be it enacted by the Legislature of the state of Utah:
60 Section 1. Section 10-3-1219 is amended to read:
61 10-3-1219. Council-mayor form -- Powers and duties of mayor.
62 (1) In the optional form of government known as the council-mayor form, the mayor
63 shall be a registered voter of the municipality from which he is elected and shall be elected for
64 a term of four years.
65 (2) The mayor shall be the chief executive and administrative officer of the
66 municipality and shall:
67 (a) enforce the laws and ordinances of the municipality;
68 (b) execute the policies adopted by the council;
69 (c) appoint and remove administrative assistants, including a chief administrative
70 officer; and
71 (d) with the advice and consent of the council, appoint department heads and all
72 statutory officers, commissions, boards, and committees of the municipality, except as may
73 otherwise be specifically limited by law;
74 (e) remove department heads and officers and employees, commissions, boards, and
75 committees;
76 (f) exercise control of all departments, divisions, and bureaus within the municipal
77 government;
78 (g) attend all meetings of the council with the right to take part in all discussions and
79 the responsibility to inform the council of the condition and needs of the municipality and
80 make recommendations and freely give advice to the council, except that the mayor may not
81 vote in council meetings;
82 (h) appoint a budget officer to serve in place of the mayor for the purpose of
83 conforming with the requirements of the Uniform Municipal Fiscal Procedures Act and in all
84 other respects fulfill the requirements of that act;
85 (i) appoint, with the advice and consent of the council, a qualified person to each of the
86 offices in cities of recorder, treasurer, engineer, and attorney and, in towns, town treasurer and
87 clerk;
88 (j) create any other offices that are considered necessary for the good government of
89 the municipality, and make appointments to them;

90 (k) regulate and prescribe the powers and duties of all other officers of the
91 municipality, within the general provisions of law and ordinance;
92 (l) furnish the municipal council with a report periodically, as determined by
93 ordinance, that is available for public inspection and sets forth:
94 (i) the amounts of all budget appropriations;
95 (ii) the total disbursements to date from these appropriations;
96 (iii) the amount of indebtedness incurred or contracted against each appropriation,
97 including disbursements and indebtedness incurred and not paid; and
98 (iv) the percentage of the appropriations encumbered to date;
99 (m) execute agreements within certified budget appropriations on behalf of the
100 municipality, or delegate, by written executive order, the power to execute such agreements to
101 executive officials, subject to the procedure described in Section 10-6-138 ; and
102 (n) perform other duties as may be prescribed by this part or may be required by
103 ordinance not inconsistent with this part.
104 [(3) Notwithstanding Subsection 63A-7-107 (4), the mayor may appoint a commission,
105 board, or committee of a public sports entity as defined in Section 63A-7-103 pursuant to the
106 bylaws of that public sports entity, if authorized or required by the legal documents creating or
107 governing the public sports entity.]
108 Section 2. Section 49-13-203 is amended to read:
109 49-13-203. Exclusions from membership in system.
110 (1) The following employees are not eligible for service credit in this system:
111 (a) An employee whose employment status is temporary in nature due to the nature or
112 the type of work to be performed, provided that:
113 (i) if the term of employment exceeds six months and the employee otherwise qualifies
114 for service credit in this system, the participating employer shall report and certify to the office
115 that the employee is a regular full-time employee effective the beginning of the seventh month
116 of employment; and
117 (ii) if an employee, previously terminated prior to becoming eligible for service credit
118 in this system, is reemployed within three months of termination by the same participating
119 employer, the participating employer shall report and certify to the office that the member is a
120 regular full-time employee when the total of the periods of employment equals six months and

121 the employee otherwise qualifies for service credit in this system.
122 (b) A full-time student or the spouse of a full-time student and another person
123 employed in a trainee relationship who file a formal request for exemption.
124 (c) (i) A current or future employee of a two-year or four-year college or university
125 who holds, or is entitled to hold, under Section 49-13-204 , a retirement annuity contract with
126 the Teachers' Insurance and Annuity Association of America or with any other public or private
127 system, organization, or company during any period in which required contributions based on
128 compensation have been paid on behalf of the employee by the employer.
129 (ii) The employee, upon cessation of the participating employer contributions, shall
130 immediately become eligible for service credit in this system.
131 (d) An employee serving as an exchange employee from outside the state.
132 (e) An elected official who files a formal request for exemption.
133 (f) An executive department head of the state or a legislative director, senior executive
134 employed by the governor's office, a member of the State Tax Commission, a member of the
135 Public Service Commission, [the State Olympic Officer,] and a member of a full-time or
136 part-time board or commission who files a formal request for exemption.
137 (g) An employee of the Department of Workforce Services who is covered under
138 another retirement system allowed under Title 35A, Chapter 4, Employment Security Act.
139 (h) (i) A person appointed as a city manager or chief city administrator or another
140 person employed by a municipality, county, or other political subdivision, who is not entitled to
141 merit or civil service protection.
142 (ii) A person eligible for exclusion under Subsection (1)(h)(i) shall file a formal request
143 for exemption and be employed in a position designated as exempt under an employee
144 exemption plan developed by the municipality, county, or political subdivision.
145 (2) (a) A municipality, county, or political subdivision may not exempt more than 50
146 positions or a number equal to 10% of the employees of the municipality, county, or political
147 subdivision, whichever is lesser.
148 (b) A municipality, county, or political subdivision may exempt at least one regular
149 full-time employee.
150 (3) Each participating employer shall:
151 (a) file employee exemptions annually with the office; and

152 (b) update the employee exemptions in the event of any change.
153 (4) The office may make rules to implement this section.
154 Section 3. Section 53-1-104 is amended to read:
155 53-1-104. Boards, bureaus, councils, divisions, and offices.
156 (1) The following are the policymaking boards within the department:
157 (a) the Driver License Medical Advisory Board, created in Section 53-3-303 ;
158 (b) the Concealed Weapon Review Board, created in Section 53-5-703 ;
159 (c) the Utah Fire Prevention Board, created in Section 53-7-203 ;
160 (d) the Liquified Petroleum Gas Board, created in Section 53-7-304 ; and
161 (e) the Private Investigator Hearing and Licensure Board, created in Section 53-9-104 .
162 (2) The following are the councils within the department:
163 (a) the Peace Officer Standards and Training Council, created in Section 53-6-106 ; and
164 (b) the Motor Vehicle Safety Inspection Advisory Council, created in Section
165 53-8-203 .
166 (3) The following are the divisions within the department:
167 (a) the Administrative Services Division, created in Section 53-1-203 ;
168 (b) the Management Information Services Division, created in Section 53-1-303 ;
169 (c) the Division of Emergency Services and Homeland Security, created in Section
170 53-2-103 ;
171 (d) the Driver License Division, created in Section 53-3-103 ;
172 (e) the Criminal Investigations and Technical Services Division, created in Section
173 53-10-103 ;
174 (f) the Peace Officers Standards and Training Division, created in Section 53-6-103 ;
175 (g) the State Fire Marshal Division, created in Section 53-7-103 ; and
176 (h) the Utah Highway Patrol Division, created in Section 53-8-103 .
177 (4) The Office of Executive Protection is created in Section 53-1-112 .
178 (5) The following are bureaus within the department:
179 (a) Bureau of Criminal Identification, created in Section 53-10-201 ;
180 (b) State Bureau of Investigation, created in Section 53-10-301 ;
181 (c) Bureau of Forensic Services, created in Section 53-10-401 ; and
182 (d) Bureau of Communications, created in Section 53-10-501 .

183 [(6) The State Olympic Public Safety Command is created within the department by
184 Section 53-12-201 .]
185 Section 4. Section 53-13-106 is amended to read:
186 53-13-106. Federal officers -- State law enforcement authority -- Federal Olympic
187 Officer.
188 (1) (a) "Federal officer" includes:
189 (i) a special agent of the Federal Bureau of Investigation;
190 (ii) a special agent of the United States Secret Service;
191 (iii) a special agent of the United States Customs Service, excluding a customs
192 inspector;
193 (iv) a special agent of the Bureau of Alcohol, Tobacco and Firearms;
194 (v) a special agent of the Federal Drug Enforcement Agency;
195 (vi) a United States marshal, deputy marshal, and special deputy United States marshal;
196 and
197 (vii) a U.S. Postal Inspector of the United States Postal Inspection Service.
198 (b) Notwithstanding Subsection (2), federal officers listed in Subsection (1)(a) have
199 statewide law enforcement authority relating to felony offenses under the laws of this state.
200 (c) The council may designate other federal peace officers, as necessary, if the officers:
201 (i) are persons employed full-time by the United States government as federally
202 recognized law enforcement officers primarily responsible for the investigation and
203 enforcement of the federal laws;
204 (ii) have successfully completed formal law enforcement training offered by an agency
205 of the federal government consisting of not less than 400 hours; and
206 (iii) maintain in-service training in accordance with the standards set forth in Section
207 53-13-103 .
208 (2) Except as otherwise provided under Title 63, Chapter 8, Federal Jurisdiction, and
209 Title 77, Chapter 9, Uniform Act on Fresh Pursuit, a federal officer may exercise state law
210 enforcement authority only if:
211 (a) the state law enforcement agencies and county sheriffs with jurisdiction enter into
212 an agreement with the federal agency to be given authority; and
213 (b) except as provided in Subsection (3) [of this section], each federal officer employed

214 by the federal agency meets the waiver requirements set forth in Section 53-6-206 .
215 (3) A federal officer working as such in the state on or before July 1, 1995, may
216 exercise state law enforcement authority without meeting the waiver requirement.
217 (4) At any time, consistent with any contract with a federal agency, a state or local law
218 enforcement authority may withdraw state law enforcement authority from any individual
219 federal officer by sending written notice to the federal agency and to the division.
220 (5) The authority of a federal officer under this section is limited to the jurisdiction of
221 the authorizing state or local agency, and may be further limited by the state or local agency to
222 enforcing specific statutes, codes, or ordinances.
223 [(6) (a) As used in this section, "Federal Olympic Officer" means any federally sworn
224 law enforcement officer operating under the control of the United States Secret Service or the
225 Olympic Public Safety Command created in Section 53-12-201 , beginning on January 1, 2002,
226 and ending at midnight on March 30, 2002.]
227 [(b) Federal Olympic Officers are exempt from the application of the provisions in
228 Subsection (1)(c), Subsection (2), and Subsection (3) of this section.]
229 [(c) To the extent permitted by federal law or regulation, and not withstanding any
230 other provision of this section, Federal Olympic Officers shall have full-spectrum peace officer
231 authority in Utah as though the officer or agent were an employee of the state, as provided in
232 Subsection 53-13-103 (3)(b).]
233 Section 5. Section 53-13-107 is amended to read:
234 53-13-107. Basic training requirements for position -- Peace officers temporarily
235 in the state.
236 (1) (a) Any person who has satisfactorily completed, before the effective date of this
237 chapter, an approved basic training program required of the person's position may act in a
238 certified capacity without completion of an additional basic training program.
239 (b) Any person hired, appointed, or elected to any position designated in this chapter,
240 except federal officer, shall satisfactorily complete the required basic training required of that
241 position before the person is authorized to exercise peace officer powers under this chapter.
242 (2) Any peace officer employed by a law enforcement agency of another state and
243 functioning in that capacity within Utah on a temporary basis is considered certified under Utah
244 law:

245 (a) while functioning as a peace officer within the state at the request of a Utah law
246 enforcement agency; or
247 (b) when conducting business as a representative of a law enforcement agency from
248 another state[; or].
249 [(c) while functioning in a law enforcement capacity under the jurisdiction of the
250 Olympic Public Safety Command created in Section 53-12-201 beginning January 1, 2002, and
251 ending at midnight on March 30, 2002.]
252 Section 6. Section 58-1-307 is amended to read:
253 58-1-307. Exemptions from licensure.
254 (1) Except as otherwise provided by statute or rule, the following persons may engage
255 in the practice of their occupation or profession, subject to the stated circumstances and
256 limitations, without being licensed under this title:
257 (a) a person serving in the armed forces of the United States, the United States Public
258 Health Service, the United States Department of Veterans Affairs, or other federal agencies
259 while engaged in activities regulated under this chapter as a part of employment with that
260 federal agency if the person holds a valid license to practice a regulated occupation or
261 profession issued by any other state or jurisdiction recognized by the division;
262 (b) a student engaged in activities constituting the practice of a regulated occupation or
263 profession while in training in a recognized school approved by the division to the extent the
264 activities are supervised by qualified faculty, staff, or designee and the activities are a defined
265 part of the training program;
266 (c) an individual engaged in an internship, residency, preceptorship, postceptorship,
267 fellowship, apprenticeship, or on-the-job training program approved by the division while
268 under the supervision of qualified persons;
269 (d) an individual residing in another state and licensed to practice a regulated
270 occupation or profession in that state, who is called in for a consultation by an individual
271 licensed in this state, and the services provided are limited to that consultation;
272 (e) an individual who is invited by a recognized school, association, society, or other
273 body approved by the division to conduct a lecture, clinic, or demonstration of the practice of a
274 regulated occupation or profession if the individual does not establish a place of business or
275 regularly engage in the practice of the regulated occupation or profession in this state;

276 (f) an individual licensed under the laws of this state, other than under this title, to
277 practice or engage in an occupation or profession, while engaged in the lawful, professional,
278 and competent practice of that occupation or profession;
279 (g) an individual licensed in a health care profession in another state who performs that
280 profession while attending to the immediate needs of a patient for a reasonable period during
281 which the patient is being transported from outside of this state, into this state, or through this
282 state;
283 (h) an individual licensed in another state or country who is in this state temporarily to
284 attend to the needs of an athletic team or group, except that the practitioner may only attend to
285 the needs of the athletic team or group, including all individuals who travel with the team or
286 group in any capacity except as a spectator;
287 (i) an individual licensed and in good standing in another state, who is in this state:
288 (i) temporarily, under the invitation and control of a sponsoring entity;
289 (ii) for a reason associated with a special purpose event, based upon needs that may
290 exceed the ability of this state to address through its licensees, as determined by the division;
291 and
292 (iii) for a limited period of time not to exceed the duration of that event, together with
293 any necessary preparatory and conclusionary periods[. The requirements of Section
294 63A-10-105 do not apply to exemptions authorized by the division pursuant to this Subsection
295 (1)(i)];
296 (j) an individual who:
297 (i) is certified as an athletic trainer by the National Athletic Trainers Association Board
298 of Certification or another entity approved by the division;
299 (ii) is employed or officially associated with an educational institution, a professional
300 sports organization, or a bona fide amateur sports organization; and
301 (iii) only provides athletic training services:
302 (A) to athletes of the educational institution or sports organization to which the
303 individual is employed or officially associated;
304 (B) at an official athletic training, practice, or competition site; and
305 (C) that are within the scope of the individual's certification; and
306 (k) a law enforcement officer, as defined under Section 53-13-103 , who:

307 (i) is operating a voice stress analyzer in the course of the officer's full-time
308 employment with a federal, state, or local law enforcement agency;
309 (ii) has completed the manufacturer's training course and is certified by the
310 manufacturer to operate that voice stress analyzer; and
311 (iii) is operating the voice stress analyzer in accordance with Section 58-64-601 ,
312 regarding deception detection instruments.
313 (2) A practitioner temporarily in this state who is exempted from licensure under
314 Subsection (1) shall comply with each requirement of the licensing jurisdiction from which the
315 practitioner derives authority to practice. Violation of any limitation imposed by this section
316 constitutes grounds for removal of exempt status, denial of license, or other disciplinary
317 proceedings.
318 (3) An individual who is licensed under a specific chapter of this title to practice or
319 engage in an occupation or profession may engage in the lawful, professional, and competent
320 practice of that occupation or profession without additional licensure under other chapters of
321 this title, except as otherwise provided by this title.
322 (4) Upon the declaration of a national, state, or local emergency, a public health
323 emergency as defined in Section 26-23b-102 , or a declaration by the President of the United
324 States or other federal official requesting public health-related activities, the division in
325 collaboration with the board may:
326 (a) suspend the requirements for permanent or temporary licensure of persons who are
327 licensed in another state. Persons exempt under this Subsection (4)(a) shall be exempt from
328 licensure for the duration of the emergency while engaged in the scope of practice for which
329 they are licensed in the other state;
330 (b) modify, under the circumstances described in [Subsections] this Subsection (4) and
331 Subsection (5), the scope of practice restrictions under this title for persons who are licensed
332 under this title as:
333 (i) a physician under Chapter 67, Utah Medical Practice Act, or Chapter 68, Utah
334 Osteopathic Medical Practice Act;
335 (ii) a nurse under Chapter 31b, Nurse Practice Act, or Chapter 31c, Nurse Licensure
336 Compact;
337 (iii) a certified nurse midwife under Chapter 44a, Nurse Midwife Practice Act;

338 (iv) a pharmacist, pharmacy technician, or pharmacy intern under Chapter 17a,
339 Pharmacy Practice Act;
340 (v) a respiratory therapist under Chapter 57, Respiratory Care Practices Act; and
341 (vi) a dentist and dental hygienist under Chapter 69, Dentist and Dental Hygienist
342 Practice Act;
343 (c) suspend the requirements for licensure under this title and modify the scope of
344 practice in the circumstances described in [Subsections] this Subsection (4) and Subsection (5)
345 for medical services personnel or paramedics required to be certified under Section 26-8a-302 ;
346 and
347 (d) suspend requirements in Subsections 58-17a-620 (3) through (6) which require
348 certain prescriptive procedures.
349 (5) Persons exempt under Subsection (4)(c) and persons operating under modified
350 scope of practice provisions under Subsection (4)(b):
351 (a) shall be exempt from licensure or subject to modified scope of practice for the
352 duration of the emergency;
353 (b) must be engaged in the distribution of medicines or medical devises in response to
354 the emergency or declaration; and
355 (c) must be employed by or volunteering for a local or state department of health.
356 Section 7. Section 59-1-403 (Effective 07/01/04 Cont. Sup. 05/05) is amended to
357 read:
358 59-1-403 (Effective 07/01/04 Cont. Sup. 05/05). Confidentiality -- Exceptions --
359 Penalty -- Application to property tax.
360 (1) (a) Except as provided in this section, any of the following may not divulge or
361 make known in any manner any information gained by that person from any return filed with
362 the commission:
363 (i) a tax commissioner;
364 (ii) an agent, clerk, or other officer or employee of the commission; or
365 (iii) a representative, agent, clerk, or other officer or employee of any county, city, or
366 town.
367 (b) Except as provided in Subsection (1)(c), an official charged with the custody of a
368 return filed with the commission is not required to produce the return or evidence of anything

369 contained in the return in any action or proceeding in any court, except:
370 (i) in accordance with judicial order;
371 (ii) on behalf of the commission in any action or proceeding under:
372 (A) this title; or
373 (B) other law under which persons are required to file returns with the commission;
374 (iii) on behalf of the commission in any action or proceeding to which the commission
375 is a party; or
376 (iv) on behalf of any party to any action or proceeding under this title if the report or
377 facts shown by the return are directly involved in the action or proceeding.
378 (c) Notwithstanding Subsection (1)(b), a court may require the production of, and may
379 admit in evidence, any portion of a return or of the facts shown by the return, as are specifically
380 pertinent to the action or proceeding.
381 (2) This section does not prohibit:
382 (a) a person or that person's duly authorized representative from receiving a copy of
383 any return or report filed in connection with that person's own tax;
384 (b) the publication of statistics as long as the statistics are classified to prevent the
385 identification of particular reports or returns; and
386 (c) the inspection by the attorney general or other legal representative of the state of the
387 report or return of any taxpayer:
388 (i) who brings action to set aside or review a tax based on the report or return;
389 (ii) against whom an action or proceeding is contemplated or has been instituted under
390 this title; or
391 (iii) against whom the state has an unsatisfied money judgment.
392 (3) (a) Notwithstanding Subsection (1) and for purposes of administration, the
393 commission may by rule, made in accordance with Title 63, Chapter 46a, Utah Administrative
394 Rulemaking Act, provide for a reciprocal exchange of information with:
395 (i) the United States Internal Revenue Service; or
396 (ii) the revenue service of any other state.
397 (b) Notwithstanding Subsection (1) and for all taxes except individual income tax and
398 corporate franchise tax, the commission may by rule, made in accordance with Title 63,
399 Chapter 46a, Utah Administrative Rulemaking Act, share information gathered from returns

400 and other written statements with the federal government, any other state, any of the political
401 subdivisions of another state, or any political subdivision of this state, except as limited by
402 Sections 59-12-209 and 59-12-210 , if these political subdivisions or the federal government
403 grant substantially similar privileges to this state.
404 (c) Notwithstanding Subsection (1) and for all taxes except individual income tax and
405 corporate franchise tax, the commission may by rule, in accordance with Title 63, Chapter 46a,
406 Utah Administrative Rulemaking Act, provide for the issuance of information concerning the
407 identity and other information of taxpayers who have failed to file tax returns or to pay any tax
408 due.
409 (d) Notwithstanding Subsection (1), the commission shall provide to the Solid and
410 Hazardous Waste Control Board executive secretary, as defined in Section 19-6-102 , as
411 requested by the executive secretary, any records, returns, or other information filed with the
412 commission under Chapter 13, Motor and Special Fuel Tax Act, or Section 19-6-410.5
413 regarding the environmental assurance program participation fee.
414 (e) Notwithstanding Subsection (1), at the request of any person the commission shall
415 provide that person sales and purchase volume data reported to the commission on a report,
416 return, or other information filed with the commission under:
417 (i) Chapter 13, Part 2, Motor Fuel; or
418 (ii) Chapter 13, Part 4, Aviation Fuel.
419 (f) Notwithstanding Subsection (1), upon request from a tobacco product manufacturer,
420 as defined in Section 59-22-202 , the commission shall report to the manufacturer:
421 (i) the quantity of cigarettes, as defined in Section 59-22-202 , produced by the
422 manufacturer and reported to the commission for the previous calendar year under Section
423 59-14-407 ; and
424 (ii) the quantity of cigarettes, as defined in Section 59-22-202 , produced by the
425 manufacturer for which a tax refund was granted during the previous calendar year under
426 Section 59-14-401 and reported to the commission under Subsection 59-14-401 (1)(a)(v).
427 (g) Notwithstanding Subsection (1), the commission shall notify manufacturers,
428 distributors, wholesalers, and retail dealers of a tobacco product manufacturer that is prohibited
429 from selling cigarettes to consumers within the state under Subsection 59-14-210 (2).
430 (h) Notwithstanding Subsection (1), the commission may:

431 (i) provide to the Division of Consumer Protection within the Department of
432 Commerce and the attorney general data:
433 (A) reported to the commission under Section 59-14-212 ; or
434 (B) related to a violation under Section 59-14-211 ; and
435 (ii) upon request provide to any person data reported to the commission under
436 Subsections 59-14-212 (1)(a) through (c) and Subsection 59-14-212 (1)(g).
437 (i) Notwithstanding Subsection (1), the commission shall, at the request of a committee
438 of the Legislature, Office of the Legislative Fiscal Analyst, or Governor's Office of Planning
439 and Budget, provide to the committee or office the total amount of revenues collected by the
440 commission under Chapter 24, Radioactive Waste Facility Tax Act, for the time period
441 specified by the committee or office.
442 (j) Notwithstanding Subsection (1), the commission shall at the request of the
443 Legislature provide to the Legislature the total amount of sales or uses exempt under
444 Subsection 59-12-104 [(51)] (50) reported to the commission in accordance with Section
445 59-12-105 .
446 (k) Notwithstanding Subsection (1), the commission shall make the list required by
447 Subsection 59-14-408 (3) available for public inspection.
448 (l) Notwithstanding Subsection (1), the commission shall comply with the reporting
449 requirements of Section 10-1-409 .
450 (4) (a) Reports and returns shall be preserved for at least three years.
451 (b) After the three-year period provided in Subsection (4)(a) the commission may
452 destroy a report or return.
453 (5) (a) Any person who violates this section is guilty of a class A misdemeanor.
454 (b) If the person described in Subsection (5)(a) is an officer or employee of the state,
455 the person shall be dismissed from office and be disqualified from holding public office in this
456 state for a period of five years thereafter.
457 (6) Except as provided in Section 59-1-404 , this part does not apply to the property tax.
458 Section 8. Section 59-1-403 (Contingently Effective 05/02/05) is amended to read:
459 59-1-403 (Contingently Effective 05/02/05). Confidentiality -- Exceptions --
460 Penalty -- Application to property tax.
461 (1) (a) Except as provided in this section, any of the following may not divulge or

462 make known in any manner any information gained by that person from any return filed with
463 the commission:
464 (i) a tax commissioner;
465 (ii) an agent, clerk, or other officer or employee of the commission; or
466 (iii) a representative, agent, clerk, or other officer or employee of any county, city, or
467 town.
468 (b) Except as provided in Subsection (1)(c), an official charged with the custody of a
469 return filed with the commission is not required to produce the return or evidence of anything
470 contained in the return in any action or proceeding in any court, except:
471 (i) in accordance with judicial order;
472 (ii) on behalf of the commission in any action or proceeding under:
473 (A) this title; or
474 (B) other law under which persons are required to file returns with the commission;
475 (iii) on behalf of the commission in any action or proceeding to which the commission
476 is a party; or
477 (iv) on behalf of any party to any action or proceeding under this title if the report or
478 facts shown by the return are directly involved in the action or proceeding.
479 (c) Notwithstanding Subsection (1)(b), a court may require the production of, and may
480 admit in evidence, any portion of a return or of the facts shown by the return, as are specifically
481 pertinent to the action or proceeding.
482 (2) This section does not prohibit:
483 (a) a person or that person's duly authorized representative from receiving a copy of
484 any return or report filed in connection with that person's own tax;
485 (b) the publication of statistics as long as the statistics are classified to prevent the
486 identification of particular reports or returns; and
487 (c) the inspection by the attorney general or other legal representative of the state of the
488 report or return of any taxpayer:
489 (i) who brings action to set aside or review a tax based on the report or return;
490 (ii) against whom an action or proceeding is contemplated or has been instituted under
491 this title; or
492 (iii) against whom the state has an unsatisfied money judgment.

493 (3) (a) Notwithstanding Subsection (1) and for purposes of administration, the
494 commission may by rule, made in accordance with Title 63, Chapter 46a, Utah Administrative
495 Rulemaking Act, provide for a reciprocal exchange of information with:
496 (i) the United States Internal Revenue Service; or
497 (ii) the revenue service of any other state.
498 (b) Notwithstanding Subsection (1) and for all taxes except individual income tax and
499 corporate franchise tax, the commission may by rule, made in accordance with Title 63,
500 Chapter 46a, Utah Administrative Rulemaking Act, share information gathered from returns
501 and other written statements with the federal government, any other state, any of the political
502 subdivisions of another state, or any political subdivision of this state, except as limited by
503 Sections 59-12-209 and 59-12-210 , if these political subdivisions or the federal government
504 grant substantially similar privileges to this state.
505 (c) Notwithstanding Subsection (1) and for all taxes except individual income tax and
506 corporate franchise tax, the commission may by rule, in accordance with Title 63, Chapter 46a,
507 Utah Administrative Rulemaking Act, provide for the issuance of information concerning the
508 identity and other information of taxpayers who have failed to file tax returns or to pay any tax
509 due.
510 (d) Notwithstanding Subsection (1), the commission shall provide to the Solid and
511 Hazardous Waste Control Board executive secretary, as defined in Section 19-6-102 , as
512 requested by the executive secretary, any records, returns, or other information filed with the
513 commission under Chapter 13, Motor and Special Fuel Tax Act, or Section 19-6-410.5
514 regarding the environmental assurance program participation fee.
515 (e) Notwithstanding Subsection (1), at the request of any person the commission shall
516 provide that person sales and purchase volume data reported to the commission on a report,
517 return, or other information filed with the commission under:
518 (i) Chapter 13, Part 2, Motor Fuel; or
519 (ii) Chapter 13, Part 4, Aviation Fuel.
520 (f) Notwithstanding Subsection (1), upon request from a tobacco product manufacturer,
521 as defined in Section 59-22-202 , the commission shall report to the manufacturer:
522 (i) the quantity of cigarettes, as defined in Section 59-22-202 , produced by the
523 manufacturer and reported to the commission for the previous calendar year under Section

524 59-14-407 ; and
525 (ii) the quantity of cigarettes, as defined in Section 59-22-202 , produced by the
526 manufacturer for which a tax refund was granted during the previous calendar year under
527 Section 59-14-401 and reported to the commission under Subsection 59-14-401 (1)(a)(v).
528 (g) Notwithstanding Subsection (1), the commission shall notify manufacturers,
529 distributors, wholesalers, and retail dealers of a tobacco product manufacturer that is prohibited
530 from selling cigarettes to consumers within the state under Subsection 59-14-210 (2).
531 (h) Notwithstanding Subsection (1), the commission may:
532 (i) provide to the Division of Consumer Protection within the Department of
533 Commerce and the attorney general data:
534 (A) reported to the commission under Section 59-14-212 ; or
535 (B) related to a violation under Section 59-14-211 ; and
536 (ii) upon request provide to any person data reported to the commission under
537 Subsections 59-14-212 (1)(a) through (c) and Subsection 59-14-212 (1)(g).
538 (i) Notwithstanding Subsection (1), the commission shall, at the request of a committee
539 of the Legislature, Office of the Legislative Fiscal Analyst, or Governor's Office of Planning
540 and Budget, provide to the committee or office the total amount of revenues collected by the
541 commission under Chapter 24, Radioactive Waste Facility Tax Act, for the time period
542 specified by the committee or office.
543 (j) Notwithstanding Subsection (1), the commission shall at the request of the
544 Legislature provide to the Legislature the total amount of sales or uses exempt under
545 Subsection 59-12-104 [(51)] (50) reported to the commission in accordance with Section
546 59-12-105 .
547 (k) Notwithstanding Subsection (1), the commission shall make the list required by
548 Subsection 59-14-408 (3) available for public inspection.
549 (l) Notwithstanding Subsection (1), the commission shall comply with the reporting
550 requirements of Section 10-1-409 .
551 (m) Notwithstanding Subsection (1), the commission shall provide the notice to the
552 commissioner of the Department of Financial Institutions required by Subsection 7-9-56 (6).
553 (4) (a) Reports and returns shall be preserved for at least three years.
554 (b) After the three-year period provided in Subsection (4)(a) the commission may

555 destroy a report or return.
556 (5) (a) Any person who violates this section is guilty of a class A misdemeanor.
557 (b) If the person described in Subsection (5)(a) is an officer or employee of the state,
558 the person shall be dismissed from office and be disqualified from holding public office in this
559 state for a period of five years thereafter.
560 (6) Except as provided in Section 59-1-404 , this part does not apply to the property tax.
561 Section 9. Section 59-12-102 (Effective 07/01/04) is amended to read:
562 59-12-102 (Effective 07/01/04). Definitions.
563 As used in this chapter:
564 (1) (a) "Admission or user fees" includes season passes.
565 (b) "Admission or user fees" does not include annual membership dues to private
566 organizations.
567 (2) "Agreement" means the Streamlined Sales and Use Tax Agreement described in
568 Section 59-12-102.1 .
569 (3) "Agreement combined tax rate" means the sum of the tax rates:
570 (a) listed under Subsection (4); and
571 (b) that are imposed within a local taxing jurisdiction.
572 (4) "Agreement sales and use tax" means a tax imposed under:
573 (a) Subsection 59-12-103 (2)(a)(i);
574 (b) Section 59-12-204 ;
575 (c) Section 59-12-401 ;
576 (d) Section 59-12-402 ;
577 (e) Section 59-12-501 ;
578 (f) Section 59-12-502 ;
579 (g) Section 59-12-703 ;
580 (h) Section 59-12-802 ;
581 (i) Section 59-12-804 ;
582 (j) Section 59-12-1001 ;
583 (k) Section 59-12-1102 ;
584 (l) Section 59-12-1302 ; or
585 (m) Section 59-12-1402 .

586 (5) "Alcoholic beverage" means a beverage that:
587 (a) is suitable for human consumption; and
588 (b) contains .5% or more alcohol by volume.
589 (6) "Area agency on aging" is as defined in Section 62A-3-101 .
590 (7) "Authorized carrier" means:
591 (a) in the case of vehicles operated over public highways, the holder of credentials
592 indicating that the vehicle is or will be operated pursuant to both the International Registration
593 Plan and the International Fuel Tax Agreement;
594 (b) in the case of aircraft, the holder of a Federal Aviation Administration operating
595 certificate or air carrier's operating certificate; or
596 (c) in the case of locomotives, freight cars, railroad work equipment, or other rolling
597 stock, the holder of a certificate issued by the United States Surface Transportation Board.
598 (8) "Certified automated system" means software certified by the governing board of
599 the agreement in accordance with Section 59-12-102.1 that:
600 (a) calculates the agreement sales and use tax imposed within a local taxing
601 jurisdiction:
602 (i) on a transaction; and
603 (ii) in the states that are members of the agreement;
604 (b) determines the amount of agreement sales and use tax to remit to a state that is a
605 member of the agreement; and
606 (c) maintains a record of the transaction described in Subsection (8)(a)(i).
607 (9) "Certified service provider" means an agent certified:
608 (a) by the governing board of the agreement in accordance with Section 59-12-102.1 ;
609 and
610 (b) to perform all of a seller's sales and use tax functions for an agreement sales and
611 use tax.
612 (10) (a) Subject to Subsection (10)(b), "clothing" means all human wearing apparel
613 suitable for general use.
614 (b) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
615 commission shall make rules:
616 (i) listing the items that constitute "clothing"; and

617 (ii) that are consistent with the list of items that constitute "clothing" under the
618 agreement.
619 (11) (a) For purposes of Subsection 59-12-104 (42), "coin-operated amusement device"
620 means:
621 (i) a coin-operated amusement, skill, or ride device;
622 (ii) that is not controlled through seller-assisted, over-the-counter, sales of tokens; and
623 (iii) includes a music machine, pinball machine, billiard machine, video game machine,
624 arcade machine, and a mechanical or electronic skill game or ride.
625 (b) For purposes of Subsection 59-12-104 (42), "coin-operated amusement device"
626 does not mean a coin-operated amusement device possessing a coinage mechanism that:
627 (i) accepts and registers multiple denominations of coins; and
628 (ii) allows the seller to collect the sales and use tax at the time an amusement device is
629 activated and operated by a person inserting coins into the device.
630 (12) "Commercial use" means the use of gas, electricity, heat, coal, fuel oil, or other
631 fuels that does not constitute industrial use under Subsection (30) or residential use under
632 Subsection [(54)] (53).
633 (13) (a) "Common carrier" means a person engaged in or transacting the business of
634 transporting passengers, freight, merchandise, or other property for hire within this state.
635 (b) (i) "Common carrier" does not include a person who, at the time the person is
636 traveling to or from that person's place of employment, transports a passenger to or from the
637 passenger's place of employment.
638 (ii) For purposes of Subsection (13)(b)(i), in accordance with Title 63, Chapter 46a,
639 Utah Administrative Rulemaking Act, the commission may make rules defining what
640 constitutes a person's place of employment.
641 (14) "Component part" includes:
642 (a) poultry, dairy, and other livestock feed, and their components;
643 (b) baling ties and twine used in the baling of hay and straw;
644 (c) fuel used for providing temperature control of orchards and commercial
645 greenhouses doing a majority of their business in wholesale sales, and for providing power for
646 off-highway type farm machinery; and
647 (d) feed, seeds, and seedlings.

648 (15) "Computer" means an electronic device that accepts information:
649 (a) (i) in digital form; or
650 (ii) in a form similar to digital form; and
651 (b) manipulates that information for a result based on a sequence of instructions.
652 (16) "Computer software" means a set of coded instructions designed to cause:
653 (a) a computer to perform a task; or
654 (b) automatic data processing equipment to perform a task.
655 (17) "Construction materials" means any tangible personal property that will be
656 converted into real property.
657 (18) "Delivered electronically" means delivered to a purchaser by means other than
658 tangible storage media.
659 (19) (a) "Delivery charge" means a charge:
660 (i) by a seller of:
661 (A) tangible personal property; or
662 (B) services; and
663 (ii) for preparation and delivery of the tangible personal property or services described
664 in Subsection (19)(a)(i) to a location designated by the purchaser.
665 (b) "Delivery charge" includes a charge for the following:
666 (i) transportation;
667 (ii) shipping;
668 (iii) postage;
669 (iv) handling;
670 (v) crating; or
671 (vi) packing.
672 (20) "Dietary supplement" means a product, other than tobacco, that:
673 (a) is intended to supplement the diet;
674 (b) contains one or more of the following dietary ingredients:
675 (i) a vitamin;
676 (ii) a mineral;
677 (iii) an herb or other botanical;
678 (iv) an amino acid;

679 (v) a dietary substance for use by humans to supplement the diet by increasing the total
680 dietary intake; or
681 (vi) a concentrate, metabolite, constituent, extract, or combination of any ingredient
682 described in Subsections (20)(b)(i) through (v);
683 (c) (i) except as provided in Subsection (20)(c)(ii), is intended for ingestion in:
684 (A) tablet form;
685 (B) capsule form;
686 (C) powder form;
687 (D) softgel form;
688 (E) gelcap form; or
689 (F) liquid form; or
690 (ii) notwithstanding Subsection (20)(c)(i), if the product is not intended for ingestion in
691 a form described in Subsections (20)(c)(i)(A) through (F), is not represented:
692 (A) as conventional food; and
693 (B) for use as a sole item of:
694 (I) a meal; or
695 (II) the diet; and
696 (d) is required to be labeled as a dietary supplement:
697 (i) identifiable by the "Supplemental Facts" box found on the label; and
698 (ii) as required by 21 C.F.R. Sec. 101.36.
699 (21) (a) "Direct mail" means printed material delivered or distributed by United States
700 mail or other delivery service:
701 (i) to:
702 (A) a mass audience; or
703 (B) addressees on a mailing list provided by a purchaser of the mailing list; and
704 (ii) if the cost of the printed material is not billed directly to the recipients.
705 (b) "Direct mail" includes tangible personal property supplied directly or indirectly by a
706 purchaser to a seller of direct mail for inclusion in a package containing the printed material.
707 (c) "Direct mail" does not include multiple items of printed material delivered to a
708 single address.
709 (22) (a) "Drug" means a compound, substance, or preparation, or a component of a

710 compound, substance, or preparation that is:
711 (i) recognized in:
712 (A) the official United States Pharmacopoeia;
713 (B) the official Homeopathic Pharmacopoeia of the United States;
714 (C) the official National Formulary; or
715 (D) a supplement to a publication listed in Subsections (22)(a)(i)(A) through (C);
716 (ii) intended for use in the:
717 (A) diagnosis of disease;
718 (B) cure of disease;
719 (C) mitigation of disease;
720 (D) treatment of disease; or
721 (E) prevention of disease; or
722 (iii) intended to affect:
723 (A) the structure of the body; or
724 (B) any function of the body.
725 (b) "Drug" does not include:
726 (i) food and food ingredients;
727 (ii) a dietary supplement;
728 (iii) an alcoholic beverage; or
729 (iv) a prosthetic device.
730 (23) (a) Except as provided in Subsection (23)(c), "durable medical equipment" means
731 equipment that:
732 (i) can withstand repeated use;
733 (ii) is primarily and customarily used to serve a medical purpose;
734 (iii) generally is not useful to a person in the absence of illness or injury;
735 (iv) is not worn in or on the body; and
736 (v) is listed as eligible for payment under:
737 (A) Title XVIII of the federal Social Security Act; or
738 (B) the state plan for medical assistance under Title XIX of the federal Social Security
739 Act.
740 (b) "Durable medical equipment" includes parts used in the repair or replacement of the

741 equipment described in Subsection (23)(a).
742 (c) Notwithstanding Subsection (23)(a), "durable medical equipment" does not include
743 mobility enhancing equipment.
744 (24) "Electronic" means:
745 (a) relating to technology; and
746 (b) having:
747 (i) electrical capabilities;
748 (ii) digital capabilities;
749 (iii) magnetic capabilities;
750 (iv) wireless capabilities;
751 (v) optical capabilities;
752 (vi) electromagnetic capabilities; or
753 (vii) capabilities similar to Subsections (24)(b)(i) through (vi).
754 (25) (a) "Food and food ingredients" means substances:
755 (i) regardless of whether the substances are in:
756 (A) liquid form;
757 (B) concentrated form;
758 (C) solid form;
759 (D) frozen form;
760 (E) dried form; or
761 (F) dehydrated form; and
762 (ii) that are:
763 (A) sold for:
764 (I) ingestion by humans; or
765 (II) chewing by humans; and
766 (B) consumed for the substance's:
767 (I) taste; or
768 (II) nutritional value.
769 (b) "Food and food ingredients" does not include:
770 (i) an alcoholic beverage;
771 (ii) tobacco; or

772 (iii) prepared food.
773 (26) (a) "Fundraising sales" means sales:
774 (i) (A) made by a school; or
775 (B) made by a school student;
776 (ii) that are for the purpose of raising funds for the school to purchase equipment,
777 materials, or provide transportation; and
778 (iii) that are part of an officially sanctioned school activity.
779 (b) For purposes of Subsection (26)(a)(iii), "officially sanctioned school activity"
780 means a school activity:
781 (i) that is conducted in accordance with a formal policy adopted by the school or school
782 district governing the authorization and supervision of fundraising activities;
783 (ii) that does not directly or indirectly compensate an individual teacher or other
784 educational personnel by direct payment, commissions, or payment in kind; and
785 (iii) the net or gross revenues from which are deposited in a dedicated account
786 controlled by the school or school district.
787 (27) "Governing board of the agreement" means the governing board of the agreement
788 that is:
789 (a) authorized to administer the agreement; and
790 (b) established in accordance with the agreement.
791 (28) (a) "Hearing aid" means:
792 (i) an instrument or device having an electronic component that is designed to:
793 (A) (I) improve impaired human hearing; or
794 (II) correct impaired human hearing; and
795 (B) (I) be worn in the human ear; or
796 (II) affixed behind the human ear;
797 (ii) an instrument or device that is surgically implanted into the cochlea; or
798 (iii) a telephone amplifying device.
799 (b) "Hearing aid" does not include:
800 (i) except as provided in Subsection (28)(a)(i)(B) or (28)(a)(ii), an instrument or device
801 having an electronic component that is designed to be worn on the body;
802 (ii) except as provided in Subsection (28)(a)(iii), an assistive listening device or system

803 designed to be used by one individual, including:
804 (A) a personal amplifying system;
805 (B) a personal FM system;
806 (C) a television listening system; or
807 (D) a device or system similar to a device or system described in Subsections
808 (28)(b)(ii)(A) through (C); or
809 (iii) an assistive listening device or system designed to be used by more than one
810 individual, including:
811 (A) a device or system installed in:
812 (I) an auditorium;
813 (II) a church;
814 (III) a conference room;
815 (IV) a synagogue; or
816 (V) a theater; or
817 (B) a device or system similar to a device or system described in Subsections
818 (28)(b)(iii)(A)(I) through (V).
819 (29) (a) "Hearing aid accessory" means a hearing aid:
820 (i) component;
821 (ii) attachment; or
822 (iii) accessory.
823 (b) "Hearing aid accessory" includes:
824 (i) a hearing aid neck loop;
825 (ii) a hearing aid cord;
826 (iii) a hearing aid ear mold;
827 (iv) hearing aid tubing;
828 (v) a hearing aid ear hook; or
829 (vi) a hearing aid remote control.
830 (c) "Hearing aid accessory" does not include:
831 (i) a component, attachment, or accessory designed to be used only with an:
832 (A) instrument or device described in Subsection (28)(b)(i); or
833 (B) assistive listening device or system described in Subsection (28)(b)(ii) or (iii); or

834 (ii) a hearing aid battery.
835 (30) "Industrial use" means the use of natural gas, electricity, heat, coal, fuel oil, or
836 other fuels:
837 (a) in mining or extraction of minerals;
838 (b) in agricultural operations to produce an agricultural product up to the time of
839 harvest or placing the agricultural product into a storage facility, including:
840 (i) commercial greenhouses;
841 (ii) irrigation pumps;
842 (iii) farm machinery;
843 (iv) implements of husbandry as defined in Subsection 41-1a-102 (23) that are not
844 registered under Title 41, Chapter 1a, Part 2, Registration; and
845 (v) other farming activities;
846 (c) in manufacturing tangible personal property at an establishment described in SIC
847 Codes 2000 to 3999 of the 1987 Standard Industrial Classification Manual of the federal
848 Executive Office of the President, Office of Management and Budget; or
849 (d) by a scrap recycler if:
850 (i) from a fixed location, the scrap recycler utilizes machinery or equipment to process
851 one or more of the following items into prepared grades of processed materials for use in new
852 products:
853 (A) iron;
854 (B) steel;
855 (C) nonferrous metal;
856 (D) paper;
857 (E) glass;
858 (F) plastic;
859 (G) textile; or
860 (H) rubber; and
861 (ii) the new products under Subsection (30)(d)(i) would otherwise be made with
862 nonrecycled materials.
863 (31) (a) "Lease" or "rental" means a transfer of possession or control of tangible
864 personal property for:

865 (i) (A) a fixed term; or
866 (B) an indeterminate term; and
867 (ii) consideration.
868 (b) "Lease" or "rental" includes an agreement covering a motor vehicle and trailer if the
869 amount of consideration may be increased or decreased by reference to the amount realized
870 upon sale or disposition of the property as defined in Section 7701(h)(1), Internal Revenue
871 Code.
872 (c) "Lease" or "rental" does not include:
873 (i) a transfer of possession or control of property under a security agreement or
874 deferred payment plan that requires the transfer of title upon completion of the required
875 payments;
876 (ii) a transfer of possession or control of property under an agreement:
877 (A) that requires the transfer of title upon completion of required payments; and
878 (B) in which the payment of an option price does not exceed the greater of:
879 (I) $100; or
880 (II) 1% of the total required payments; or
881 (iii) providing tangible personal property along with an operator for a fixed period of
882 time or an indeterminate period of time if the operator is necessary for equipment to perform as
883 designed.
884 (d) For purposes of Subsection (31)(c)(iii), an operator is necessary for equipment to
885 perform as designed if the operator's duties exceed the:
886 (i) set-up of tangible personal property;
887 (ii) maintenance of tangible personal property; or
888 (iii) inspection of tangible personal property.
889 (32) "Local taxing jurisdiction" means a:
890 (a) county that is authorized to impose an agreement sales and use tax;
891 (b) city that is authorized to impose an agreement sales and use tax; or
892 (c) town that is authorized to impose an agreement sales and use tax.
893 (33) "Manufactured home" means any manufactured home or mobile home as defined
894 in Title 58, Chapter 56, Utah Uniform Building Standards Act.
895 (34) For purposes of Subsection 59-12-104 (14), "manufacturing facility" means:

896 (a) an establishment described in SIC Codes 2000 to 3999 of the 1987 Standard
897 Industrial Classification Manual of the federal Executive Office of the President, Office of
898 Management and Budget; or
899 (b) a scrap recycler if:
900 (i) from a fixed location, the scrap recycler utilizes machinery or equipment to process
901 one or more of the following items into prepared grades of processed materials for use in new
902 products:
903 (A) iron;
904 (B) steel;
905 (C) nonferrous metal;
906 (D) paper;
907 (E) glass;
908 (F) plastic;
909 (G) textile; or
910 (H) rubber; and
911 (ii) the new products under Subsection (34)(b)(i) would otherwise be made with
912 nonrecycled materials.
913 (35) "Mobile telecommunications service" is as defined in the Mobile
914 Telecommunications Sourcing Act, 4 U.S.C. Sec. 124.
915 (36) (a) Except as provided in Subsection (36)(c), "mobility enhancing equipment"
916 means equipment that is:
917 (i) primarily and customarily used to provide or increase the ability to move from one
918 place to another;
919 (ii) appropriate for use in a:
920 (A) home; or
921 (B) motor vehicle;
922 (iii) not generally used by persons with normal mobility; and
923 (iv) listed as eligible for payment under:
924 (A) Title XVIII of the federal Social Security Act; or
925 (B) the state plan for medical assistance under Title XIX of the federal Social Security
926 Act.

927 (b) "Mobility enhancing equipment" includes parts used in the repair or replacement of
928 the equipment described in Subsection (36)(a).
929 (c) Notwithstanding Subsection (36)(a), "mobility enhancing equipment" does not
930 include:
931 (i) a motor vehicle;
932 (ii) equipment on a motor vehicle if that equipment is normally provided by the motor
933 vehicle manufacturer;
934 (iii) durable medical equipment; or
935 (iv) a prosthetic device.
936 (37) "Model 1 seller" means a seller that has selected a certified service provider as the
937 seller's agent to perform all of the seller's sales tax functions for agreement sales and use taxes.
938 (38) "Model 2 seller" means a seller that:
939 (a) except as provided in Subsection (38)(b), has selected a certified automated system
940 to perform the seller's sales tax functions for agreement sales and use taxes; and
941 (b) notwithstanding Subsection (38)(a), retains responsibility for remitting all of the
942 sales tax:
943 (i) collected by the seller; and
944 (ii) to the appropriate local taxing jurisdiction.
945 (39) (a) Subject to Subsection (39)(b), "model 3 seller" means a seller that has:
946 (i) sales in at least five states that are members of the agreement;
947 (ii) total annual sales revenues of at least $500,000,000;
948 (iii) a proprietary system that calculates the amount of tax:
949 (A) for an agreement sales and use tax; and
950 (B) due to each local taxing jurisdiction; and
951 (iv) entered into a performance agreement with the governing board of the agreement.
952 (b) For purposes of Subsection (39)(a), "model 3 seller" includes an affiliated group of
953 sellers using the same proprietary system.
954 (40) (a) "Multi-channel video or audio service provider" means any person or group of
955 persons that:
956 (i) provides multi-channel video or audio service and directly or indirectly owns a
957 significant interest in the multi-channel video or audio service; or

958 (ii) otherwise controls or is responsible through any arrangement, the management and
959 operation of the multi-channel video or audio service.
960 (b) "Multi-channel video or audio service provider" includes the following except as
961 specifically exempted by state or federal law:
962 (i) a cable operator;
963 (ii) a CATV provider;
964 (iii) a multi-point distribution provider;
965 (iv) a MMDS provider;
966 (v) a SMATV operator;
967 (vi) a direct-to-home satellite service provider; or
968 (vii) a DBS provider.
969 [(41) "Olympic merchandise" means tangible personal property bearing an Olympic
970 designation, emblem, insignia, mark, logo, service mark, symbol, terminology, trademark, or
971 other copyrighted or protected material, including:]
972 [(a) one or more of the following terms:]
973 [(i) "Olympic";]
974 [(ii) "Olympiad"; or]
975 [(iii) "Citius Altius Fortius";]
976 [(b) the symbol of the International Olympic Committee, consisting of five interlocking
977 rings;]
978 [(c) the emblem of the International Olympic Committee Corporation;]
979 [(d) a United States Olympic Committee designation, emblem, insignia, mark, logo,
980 service mark, symbol, terminology, trademark, or other copyrighted or protected material;]
981 [(e) any emblem of the Olympic Winter Games of 2002 that is officially designated by
982 the Salt Lake Organizing Committee of the Olympic Winter Games of 2002; or]
983 [(f) the mascot of the Olympic Winter Games of 2002.]
984 [(42)] (41) (a) "Other fuels" means products that burn independently to produce heat or
985 energy.
986 (b) "Other fuels" includes oxygen when it is used in the manufacturing of tangible
987 personal property.
988 [(43)] (42) "Person" includes any individual, firm, partnership, joint venture,

989 association, corporation, estate, trust, business trust, receiver, syndicate, this state, any county,
990 city, municipality, district, or other local governmental entity of the state, or any group or
991 combination acting as a unit.
992 [(44)] (43) "Place of primary use":
993 (a) for telephone service other than mobile telecommunications service, means the
994 street address representative of where the purchaser's use of the telephone service primarily
995 occurs, which shall be:
996 (i) the residential street address of the purchaser; or
997 (ii) the primary business street address of the purchaser; or
998 (b) for mobile telecommunications service, is as defined in the Mobile
999 Telecommunications Sourcing Act, 4 U.S.C. Sec. 124.
1000 [(45)] (44) (a) "Prepared food" means:
1001 (i) food:
1002 (A) sold in a heated state; or
1003 (B) heated by a seller;
1004 (ii) two or more food ingredients mixed or combined by the seller for sale as a single
1005 item; or
1006 (iii) except as provided in Subsection [(45)] (44)(c), food sold with an eating utensil
1007 provided by the seller, including a:
1008 (A) plate;
1009 (B) knife;
1010 (C) fork;
1011 (D) spoon;
1012 (E) glass;
1013 (F) cup;
1014 (G) napkin; or
1015 (H) straw.
1016 (b) "Prepared food" does not include:
1017 (i) food that a seller only:
1018 (A) cuts;
1019 (B) repackages; or

1020 (C) pasteurizes; or
1021 (ii) (A) the following:
1022 (I) raw egg;
1023 (II) raw fish;
1024 (III) raw meat;
1025 (IV) raw poultry; or
1026 (V) a food containing an item described in Subsections [(45)] (44)(b)(ii)(A)(I) through
1027 (IV); and
1028 (B) if the Food and Drug Administration recommends in Chapter 3, Part 401.11 of the
1029 Food and Drug Administration's Food Code that a consumer cook the items described in
1030 Subsection [(45)] (44)(b)(ii)(A) to prevent food borne illness.
1031 (c) Notwithstanding Subsection [(45)] (44)(a)(iii), an eating utensil provided by the
1032 seller does not include the following used to transport the food:
1033 (i) a container; or
1034 (ii) packaging.
1035 [(46)] (45) "Prescription" means an order, formula, or recipe that is issued:
1036 (a) (i) orally;
1037 (ii) in writing;
1038 (iii) electronically; or
1039 (iv) by any other manner of transmission; and
1040 (b) by a licensed practitioner authorized by the laws of a state.
1041 [(47)] (46) (a) Except as provided in Subsection [(47)] (46)(b)(ii) or (iii), "prewritten
1042 computer software" means computer software that is not designed and developed:
1043 (i) by the author or other creator of the computer software; and
1044 (ii) to the specifications of a specific purchaser.
1045 (b) "Prewritten computer software" includes:
1046 (i) a prewritten upgrade to computer software if the prewritten upgrade to the computer
1047 software is not designed and developed:
1048 (A) by the author or other creator of the computer software; and
1049 (B) to the specifications of a specific purchaser;
1050 (ii) notwithstanding Subsection [(47)] (46)(a), computer software designed and

1051 developed by the author or other creator of the computer software to the specifications of a
1052 specific purchaser if the computer software is sold to a person other than the purchaser; or
1053 (iii) notwithstanding Subsection [(47)] (46)(a) and except as provided in Subsection
1054 [(47)] (46)(c), prewritten computer software or a prewritten portion of prewritten computer
1055 software:
1056 (A) that is modified or enhanced to any degree; and
1057 (B) if the modification or enhancement described in Subsection [(47)] (46)(b)(iii)(A) is
1058 designed and developed to the specifications of a specific purchaser.
1059 (c) Notwithstanding Subsection [(47)] (46)(b)(iii), "prewritten computer software"
1060 does not include a modification or enhancement described in Subsection [(47)] (46)(b)(iii) if
1061 the charges for the modification or enhancement are:
1062 (i) reasonable; and
1063 (ii) separately stated on the invoice or other statement of price provided to the
1064 purchaser.
1065 [(48)] (47) (a) "Prosthetic device" means a device that is:
1066 (i) worn on or in the body to:
1067 (A) artificially replace a missing portion of the body;
1068 (B) prevent or correct a physical deformity or physical malfunction; or
1069 (C) support a weak or deformed portion of the body; and
1070 (ii) listed as eligible for payment under:
1071 (A) Title XVIII of the federal Social Security Act; or
1072 (B) the state plan for medical assistance under Title XIX of the federal Social Security
1073 Act.
1074 (b) "Prosthetic device" includes:
1075 (i) parts used in the repairs or renovation of a prosthetic device; or
1076 (ii) replacement parts for a prosthetic device.
1077 (c) "Prosthetic device" does not include:
1078 (i) corrective eyeglasses;
1079 (ii) contact lenses;
1080 (iii) hearing aids; or
1081 (iv) dental prostheses.

1082 [(49)] (48) (a) "Protective equipment" means an item:
1083 (i) for human wear; and
1084 (ii) that is:
1085 (A) designed as protection:
1086 (I) to the wearer against injury or disease; or
1087 (II) against damage or injury of other persons or property; and
1088 (B) not suitable for general use.
1089 (b) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
1090 commission shall make rules:
1091 (i) listing the items that constitute "protective equipment"; and
1092 (ii) that are consistent with the list of items that constitute "protective equipment"
1093 under the agreement.
1094 [(50)] (49) (a) "Purchase price" and "sales price" mean the total amount of
1095 consideration:
1096 (i) valued in money; and
1097 (ii) for which tangible personal property or services are:
1098 (A) sold;
1099 (B) leased; or
1100 (C) rented.
1101 (b) "Purchase price" and "sales price" include:
1102 (i) the seller's cost of the tangible personal property or services sold;
1103 (ii) expenses of the seller, including:
1104 (A) the cost of materials used;
1105 (B) a labor cost;
1106 (C) a service cost;
1107 (D) interest;
1108 (E) a loss;
1109 (F) the cost of transportation to the seller; or
1110 (G) a tax imposed on the seller;
1111 (iii) a charge by the seller for any service necessary to complete the sale;
1112 (iv) a delivery charge; or

1113 (v) an installation charge.
1114 (c) "Purchase price" and "sales price" do not include:
1115 (i) a discount:
1116 (A) in a form including:
1117 (I) cash;
1118 (II) term; or
1119 (III) coupon;
1120 (B) that is allowed by a seller;
1121 (C) taken by a purchaser on a sale; and
1122 (D) that is not reimbursed by a third party; or
1123 (ii) the following if separately stated on an invoice, bill of sale, or similar document
1124 provided to the purchaser:
1125 (A) the amount of a trade-in;
1126 (B) the following from credit extended on the sale of tangible personal property or
1127 services:
1128 (I) interest charges;
1129 (II) financing charges; or
1130 (III) carrying charges; or
1131 (C) a tax or fee legally imposed directly on the consumer.
1132 [(51)] (50) "Purchaser" means a person to whom:
1133 (a) a sale of tangible personal property is made; or
1134 (b) a service is furnished.
1135 [(52)] (51) "Regularly rented" means:
1136 (a) rented to a guest for value three or more times during a calendar year; or
1137 (b) advertised or held out to the public as a place that is regularly rented to guests for
1138 value.
1139 [(53)] (52) "Rental" is as defined in Subsection (31).
1140 [(54)] (53) "Residential use" means the use in or around a home, apartment building,
1141 sleeping quarters, and similar facilities or accommodations.
1142 [(55)] (54) "Retail sale" or "sale at retail" means a sale, lease, or rental for a purpose
1143 other than:

1144 (a) resale;
1145 (b) sublease; or
1146 (c) subrent.
1147 [(56)] (55) (a) "Retailer" means any person engaged in a regularly organized business
1148 in tangible personal property or any other taxable transaction under Subsection 59-12-103 (1),
1149 and who is selling to the user or consumer and not for resale.
1150 (b) "Retailer" includes commission merchants, auctioneers, and any person regularly
1151 engaged in the business of selling to users or consumers within the state.
1152 [(57)] (56) (a) "Sale" means any transfer of title, exchange, or barter, conditional or
1153 otherwise, in any manner, of tangible personal property or any other taxable transaction under
1154 Subsection 59-12-103 (1), for consideration.
1155 (b) "Sale" includes:
1156 (i) installment and credit sales;
1157 (ii) any closed transaction constituting a sale;
1158 (iii) any sale of electrical energy, gas, services, or entertainment taxable under this
1159 chapter;
1160 (iv) any transaction if the possession of property is transferred but the seller retains the
1161 title as security for the payment of the price; and
1162 (v) any transaction under which right to possession, operation, or use of any article of
1163 tangible personal property is granted under a lease or contract and the transfer of possession
1164 would be taxable if an outright sale were made.
1165 [(58)] (57) "Sale at retail" is as defined in Subsection [(55)] (54).
1166 [(59)] (58) "Sale-leaseback transaction" means a transaction by which title to tangible
1167 personal property that is subject to a tax under this chapter is transferred:
1168 (a) by a purchaser-lessee;
1169 (b) to a lessor;
1170 (c) for consideration; and
1171 (d) if:
1172 (i) the purchaser-lessee paid sales and use tax on the purchaser-lessee's initial purchase
1173 of the tangible personal property;
1174 (ii) the sale of the tangible personal property to the lessor is intended as a form of

1175 financing:
1176 (A) for the property; and
1177 (B) to the purchaser-lessee; and
1178 (iii) in accordance with generally accepted accounting principles, the purchaser-lessee
1179 is required to:
1180 (A) capitalize the property for financial reporting purposes; and
1181 (B) account for the lease payments as payments made under a financing arrangement.
1182 [(60)] (59) "Sales price" is as defined in Subsection [(50)] (49).
1183 [(61)] (60) (a) "Sales relating to schools" means the following sales by, amounts paid
1184 to, or amounts charged by a school:
1185 (i) sales that are directly related to the school's educational functions or activities
1186 including:
1187 (A) the sale of:
1188 (I) textbooks;
1189 (II) textbook fees;
1190 (III) laboratory fees;
1191 (IV) laboratory supplies; or
1192 (V) safety equipment;
1193 (B) the sale of a uniform, protective equipment, or sports or recreational equipment
1194 that:
1195 (I) a student is specifically required to wear as a condition of participation in a
1196 school-related event or school-related activity; and
1197 (II) is not readily adaptable to general or continued usage to the extent that it takes the
1198 place of ordinary clothing;
1199 (C) sales of the following if the net or gross revenues generated by the sales are
1200 deposited into a school district fund or school fund dedicated to school meals:
1201 (I) food and food ingredients; or
1202 (II) prepared food; or
1203 (D) transportation charges for official school activities; or
1204 (ii) amounts paid to or amounts charged by a school for admission to a school-related
1205 event or school-related activity.

1206 (b) "Sales relating to schools" does not include:
1207 (i) bookstore sales of items that are not educational materials or supplies;
1208 (ii) except as provided in Subsection [(61)] (60)(a)(i)(B):
1209 (A) clothing;
1210 (B) clothing accessories or equipment;
1211 (C) protective equipment; or
1212 (D) sports or recreational equipment; or
1213 (iii) amounts paid to or amounts charged by a school for admission to a school-related
1214 event or school-related activity if the amounts paid or charged are passed through to a person:
1215 (A) other than a:
1216 (I) school;
1217 (II) nonprofit organization authorized by a school board or a governing body of a
1218 private school to organize and direct a competitive secondary school activity; or
1219 (III) nonprofit association authorized by a school board or a governing body of a
1220 private school to organize and direct a competitive secondary school activity; and
1221 (B) that is required to collect sales and use taxes under this chapter.
1222 (c) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
1223 commission may make rules defining the term "passed through."
1224 [(62)] (61) For purposes of this section and Section 59-12-104 , "school" means:
1225 (a) an elementary school or a secondary school that:
1226 (i) is a:
1227 (A) public school; or
1228 (B) private school; and
1229 (ii) provides instruction for one or more grades kindergarten through 12; or
1230 (b) a public school district.
1231 [(63)] (62) "Seller" means a person that makes a sale, lease, or rental of:
1232 (a) tangible personal property; or
1233 (b) a service.
1234 [(64)] (63) (a) "Semiconductor fabricating or processing materials" means tangible
1235 personal property:
1236 (i) used primarily in the process of:

1237 (A) (I) manufacturing a semiconductor; or
1238 (II) fabricating a semiconductor; or
1239 (B) maintaining an environment suitable for a semiconductor; or
1240 (ii) consumed primarily in the process of:
1241 (A) (I) manufacturing a semiconductor; or
1242 (II) fabricating a semiconductor; or
1243 (B) maintaining an environment suitable for a semiconductor.
1244 (b) "Semiconductor fabricating or processing materials" includes:
1245 (i) parts used in the repairs or renovations of tangible personal property described in
1246 Subsection [(64)] (63)(a); or
1247 (ii) a chemical, catalyst, or other material used to:
1248 (A) produce or induce in a semiconductor a:
1249 (I) chemical change; or
1250 (II) physical change;
1251 (B) remove impurities from a semiconductor; or
1252 (C) improve the marketable condition of a semiconductor.
1253 [(65)] (64) "Senior citizen center" means a facility having the primary purpose of
1254 providing services to the aged as defined in Section 62A-3-101 .
1255 [(66)] (65) (a) "Sports or recreational equipment" means an item:
1256 (i) designed for human use; and
1257 (ii) that is:
1258 (A) worn in conjunction with:
1259 (I) an athletic activity; or
1260 (II) a recreational activity; and
1261 (B) not suitable for general use.
1262 (b) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
1263 commission shall make rules:
1264 (i) listing the items that constitute "sports or recreational equipment"; and
1265 (ii) that are consistent with the list of items that constitute "sports or recreational
1266 equipment" under the agreement.
1267 [(67)] (66) "State" means the state of Utah, its departments, and agencies.

1268 [(68)] (67) "Storage" means any keeping or retention of tangible personal property or
1269 any other taxable transaction under Subsection 59-12-103 (1), in this state for any purpose
1270 except sale in the regular course of business.
1271 [(69)] (68) (a) "Tangible personal property" means personal property that:
1272 (i) may be:
1273 (A) seen;
1274 (B) weighed;
1275 (C) measured;
1276 (D) felt; or
1277 (E) touched; or
1278 (ii) is in any manner perceptible to the senses.
1279 (b) "Tangible personal property" includes:
1280 (i) electricity;
1281 (ii) water;
1282 (iii) gas;
1283 (iv) steam; or
1284 (v) prewritten computer software.
1285 [(70)] (69) (a) "Telephone service" means a two-way transmission:
1286 (i) by:
1287 (A) wire;
1288 (B) radio;
1289 (C) lightwave; or
1290 (D) other electromagnetic means; and
1291 (ii) of one or more of the following:
1292 (A) a sign;
1293 (B) a signal;
1294 (C) writing;
1295 (D) an image;
1296 (E) sound;
1297 (F) a message;
1298 (G) data; or

1299 (H) other information of any nature.
1300 (b) "Telephone service" includes:
1301 (i) mobile telecommunications service;
1302 (ii) private communications service; or
1303 (iii) automated digital telephone answering service.
1304 (c) "Telephone service" does not include a service or a transaction that a state or a
1305 political subdivision of a state is prohibited from taxing as of July 1, 2001, under the Internet
1306 Tax Freedom Act, Pub. L. No. 105-277.
1307 [(71)] (70) Notwithstanding where a call is billed or paid, "telephone service address"
1308 means:
1309 (a) if the location described in this Subsection [(71)] (70)(a) is known, the location of
1310 the telephone service equipment:
1311 (i) to which a call is charged; and
1312 (ii) from which the call originates or terminates;
1313 (b) if the location described in Subsection [(71)] (70)(a) is not known but the location
1314 described in this Subsection [(71)] (70)(b) is known, the location of the origination point of the
1315 signal of the telephone service first identified by:
1316 (i) the telecommunications system of the seller; or
1317 (ii) if the system used to transport the signal is not that of the seller, information
1318 received by the seller from its service provider; or
1319 (c) if the locations described in Subsection [(71)] (70)(a) or (b) are not known, the
1320 location of a purchaser's primary place of use.
1321 [(72)] (71) (a) "Telephone service provider" means a person that:
1322 (i) owns, controls, operates, or manages a telephone service; and
1323 (ii) engages in an activity described in Subsection [(72)] (71)(a)(i) for the shared use
1324 with or resale to any person of the telephone service.
1325 (b) A person described in Subsection [(72)] (71)(a) is a telephone service provider
1326 whether or not the Public Service Commission of Utah regulates:
1327 (i) that person; or
1328 (ii) the telephone service that the person owns, controls, operates, or manages.
1329 [(73)] (72) "Tobacco" means:

1330 (a) a cigarette;
1331 (b) a cigar;
1332 (c) chewing tobacco;
1333 (d) pipe tobacco; or
1334 (e) any other item that contains tobacco.
1335 [(74)] (73) (a) "Use" means the exercise of any right or power over tangible personal
1336 property under Subsection 59-12-103 (1), incident to the ownership or the leasing of that
1337 property, item, or service.
1338 (b) "Use" does not include the sale, display, demonstration, or trial of that property in
1339 the regular course of business and held for resale.
1340 [(75)] (74) "Vehicle" means any aircraft, as defined in Section 72-10-102 ; any vehicle,
1341 as defined in Section 41-1a-102 ; any off-highway vehicle, as defined in Section 41-22-2 ; and
1342 any vessel, as defined in Section 41-1a-102 ; that is required to be titled, registered, or both.
1343 "Vehicle," for purposes of Subsection 59-12-104 (35) only, also includes any locomotive,
1344 freight car, railroad work equipment, or other railroad rolling stock.
1345 [(76)] (75) "Vehicle dealer" means a person engaged in the business of buying, selling,
1346 or exchanging vehicles as defined in Subsection [(75)] (74).
1347 Section 10. Section 59-12-103 (Effective 07/01/04) is amended to read:
1348 59-12-103 (Effective 07/01/04). Sales and use tax base -- Rates -- Effective dates --
1349 Use of sales and use tax revenues.
1350 (1) A tax is imposed on the purchaser as provided in this part for amounts paid or
1351 charged for the following transactions:
1352 (a) retail sales of tangible personal property made within the state;
1353 (b) amounts paid:
1354 (i) (A) to a common carrier; or
1355 (B) whether the following are municipally or privately owned, to a:
1356 (I) telephone service provider; or
1357 (II) telegraph corporation as defined in Section 54-2-1 ; and
1358 (ii) for:
1359 (A) all transportation;
1360 (B) telephone service, other than mobile telecommunications service, that originates

1361 and terminates within the boundaries of this state;
1362 (C) mobile telecommunications service that originates and terminates within the
1363 boundaries of one state only to the extent permitted by the Mobile Telecommunications
1364 Sourcing Act, 4 U.S.C. Sec. 116 et seq.; or
1365 (D) telegraph service;
1366 (c) sales of the following for commercial use:
1367 (i) gas;
1368 (ii) electricity;
1369 (iii) heat;
1370 (iv) coal;
1371 (v) fuel oil; or
1372 (vi) other fuels;
1373 (d) sales of the following for residential use:
1374 (i) gas;
1375 (ii) electricity;
1376 (iii) heat;
1377 (iv) coal;
1378 (v) fuel oil; or
1379 (vi) other fuels;
1380 (e) sales of prepared food;
1381 (f) except as provided in Section 59-12-104 , amounts paid or charged as admission or
1382 user fees for theaters, movies, operas, museums, planetariums, shows of any type or nature,
1383 exhibitions, concerts, carnivals, amusement parks, amusement rides, circuses, menageries,
1384 fairs, races, contests, sporting events, dances, boxing matches, wrestling matches, closed circuit
1385 television broadcasts, billiard parlors, pool parlors, bowling lanes, golf, miniature golf, golf
1386 driving ranges, batting cages, skating rinks, ski lifts, ski runs, ski trails, snowmobile trails,
1387 tennis courts, swimming pools, water slides, river runs, jeep tours, boat tours, scenic cruises,
1388 horseback rides, sports activities, or any other amusement, entertainment, recreation,
1389 exhibition, cultural, or athletic activity;
1390 (g) amounts paid or charged for services:
1391 (i) for repairs or renovations of tangible personal property, unless Section 59-12-104

1392 provides for an exemption from sales and use tax for:
1393 (A) the tangible personal property; and
1394 (B) parts used in the repairs or renovations of the tangible personal property described
1395 in Subsection (1)(g)(i)(A), whether or not any parts are actually used in the repairs or
1396 renovations of that tangible personal property; or
1397 (ii) to install tangible personal property in connection with other tangible personal
1398 property, unless the tangible personal property being installed is exempt from sales and use tax
1399 under Section 59-12-104 ;
1400 (h) except as provided in Subsection 59-12-104 (7), amounts paid or charged for
1401 cleaning or washing of tangible personal property;
1402 (i) amounts paid or charged for tourist home, hotel, motel, or trailer court
1403 accommodations and services that are regularly rented for less than 30 consecutive days;
1404 (j) amounts paid or charged for laundry or dry cleaning services;
1405 (k) amounts paid or charged for leases or rentals of tangible personal property if:
1406 (i) the tangible personal property's situs is in this state;
1407 (ii) the lessee took possession of the tangible personal property in this state; or
1408 (iii) within this state the tangible personal property is:
1409 (A) stored;
1410 (B) used; or
1411 (C) otherwise consumed;
1412 (l) amounts paid or charged for tangible personal property if within this state the
1413 tangible personal property is:
1414 (i) stored;
1415 (ii) used; or
1416 (iii) consumed;
1417 (m) amounts paid or charged for prepaid telephone calling cards;
1418 (n) amounts paid or charged for multi-channel video or audio service provided by a
1419 multi-channel video or audio service provider:
1420 (i) within the state; and
1421 (ii) to the extent permitted by federal law.
1422 (2) (a) Except as provided in Subsection (2)(b), beginning on July 1, 2001, a state tax

1423 and a local tax is imposed on a transaction described in Subsection (1) equal to the sum of:
1424 (i) a state tax imposed on the transaction at a rate of 4.75%; and
1425 (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
1426 transaction under this chapter other than this part.
1427 (b) Notwithstanding Subsection (2)(a), beginning on July 1, 2001, a state tax and a
1428 local tax is imposed on a transaction described in Subsection (1)(d) equal to the sum of:
1429 (i) a state tax imposed on the transaction at a rate of 2%; and
1430 (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
1431 transaction under this chapter other than this part.
1432 (c) Subject to Subsections (2)(d) and (e), a tax rate change for a tax rate imposed under
1433 the following shall take effect on the first day of a calendar quarter:
1434 (i) Subsection (2)(a)(i); or
1435 (ii) Subsection (2)(b)(i).
1436 (d) (i) For a transaction described in Subsection (2)(d)(iii), a tax rate increase shall take
1437 effect on the first day of the first billing period:
1438 (A) that begins after the effective date of the tax rate increase; and
1439 (B) if the billing period for the transaction begins before the effective date of a tax rate
1440 increase imposed under:
1441 (I) Subsection (2)(a)(i); or
1442 (II) Subsection (2)(b)(i).
1443 (ii) For a transaction described in Subsection (2)(d)(iii), a tax rate decrease shall take
1444 effect on the first day of the last billing period:
1445 (A) that began before the effective date of the tax rate decrease; and
1446 (B) if the billing period for the transaction begins before the effective date of a tax rate
1447 decrease imposed under:
1448 (I) Subsection (2)(a)(i); or
1449 (II) Subsection (2)(b)(i).
1450 (iii) Subsections (2)(d)(i) and (ii) apply to transactions subject to a tax under:
1451 (A) Subsection (1)(b);
1452 (B) Subsection (1)(c);
1453 (C) Subsection (1)(d);

1454 (D) Subsection (1)(e);
1455 (E) Subsection (1)(f);
1456 (F) Subsection (1)(g);
1457 (G) Subsection (1)(h);
1458 (H) Subsection (1)(i);
1459 (I) Subsection (1)(j); or
1460 (J) Subsection (1)(k).
1461 (e) (i) If a tax due under Subsection (2)(a)(i) on a catalogue sale is computed on the
1462 basis of sales and use tax rates published in the catalogue, a change in a tax rate imposed under
1463 Subsection (2)(a)(i) takes effect:
1464 (A) on the first day of a calendar quarter; and
1465 (B) beginning 60 days after the effective date of the tax rate change under Subsection
1466 (2)(a)(i).
1467 (ii) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act,
1468 the commission may by rule define the term "catalogue sale."
1469 (3) (a) Except as provided in Subsections (4) through [(7) and (9)] (8), the following
1470 state taxes shall be deposited into the General Fund:
1471 (i) the tax imposed by Subsection (2)(a)(i); or
1472 (ii) the tax imposed by Subsection (2)(b)(i).
1473 (b) The local taxes described in Subsections (2)(a)(ii) and (2)(b)(ii) shall be distributed
1474 to a county, city, or town as provided in this chapter.
1475 (4) (a) (i) Notwithstanding Subsection (3)(a) and except as provided in Subsection [(9)]
1476 (8), for fiscal year 2002-03 only, the lesser of the following amounts shall be transferred or
1477 deposited as provided in Subsections (4)(a)(ii) through (vii):
1478 (A) for taxes listed under Subsection (3)(a), the amount of tax revenue generated:
1479 (I) by a 1/16% tax rate on the transactions described in Subsection (1); and
1480 (II) for fiscal year 2002-03; or
1481 (B) $18,743,000.
1482 (ii) (A) For fiscal year 2002-03 only, $2,300,000 of the amount described in Subsection
1483 (4)(a)(i) shall be transferred as dedicated credits to the Department of Natural Resources to:
1484 (I) implement the measures described in Subsections 63-34-14 (4)(a) through (d) to

1485 protect sensitive plant and animal species; or
1486 (II) award grants, up to the amount authorized by the Legislature in an appropriations
1487 act, to political subdivisions of the state to implement the measures described in Subsections
1488 63-34-14 (4)(a) through (d) to protect sensitive plant and animal species.
1489 (B) Money transferred to the Department of Natural Resources under Subsection
1490 (4)(a)(ii)(A) may not be used to assist the United States Fish and Wildlife Service or any other
1491 person to list or attempt to have listed a species as threatened or endangered under the
1492 Endangered Species Act of 1973, 16 U.S.C. Sec. 1531 et seq.
1493 (C) At the end of fiscal year 2002-03:
1494 (I) 50% of any unexpended dedicated credits shall lapse to the Water Resources
1495 Conservation and Development Fund created in Section 73-10-24 ;
1496 (II) 25% of any unexpended dedicated credits shall lapse to the Utah Wastewater Loan
1497 Program Subaccount created in Section 73-10c-5 ; and
1498 (III) 25% of any unexpended dedicated credits shall lapse to the Drinking Water Loan
1499 Program Subaccount created in Section 73-10c-5 .
1500 (iii) For fiscal year 2002-03 only, $500,000 of the amount described in Subsection
1501 (4)(a)(i) shall be deposited in the Agriculture Resource Development Fund created in Section
1502 4-18-6 .
1503 (iv) (A) For fiscal year 2002-03 only, $100,000 of the amount described in Subsection
1504 (4)(a)(i) shall be transferred as dedicated credits to the Division of Water Rights to cover the
1505 costs incurred in hiring legal and technical staff for the adjudication of water rights.
1506 (B) At the end of fiscal year 2002-03:
1507 (I) 50% of any unexpended dedicated credits shall lapse to the Water Resources
1508 Conservation and Development Fund created in Section 73-10-24 ;
1509 (II) 25% of any unexpended dedicated credits shall lapse to the Utah Wastewater Loan
1510 Program Subaccount created in Section 73-10c-5 ; and
1511 (III) 25% of any unexpended dedicated credits shall lapse to the Drinking Water Loan
1512 Program Subaccount created in Section 73-10c-5 .
1513 (v) (A) For fiscal year 2002-03 only, 50% of the amount described in Subsection
1514 (4)(a)(i) that remains after making the transfers and deposits required by Subsections (4)(a)(ii)
1515 through (iv) shall be deposited in the Water Resources Conservation and Development Fund

1516 created in Section 73-10-24 for use by the Division of Water Resources.
1517 (B) In addition to the uses allowed of the Water Resources Conservation and
1518 Development Fund under Section 73-10-24 , the Water Resources Conservation and
1519 Development Fund may also be used to:
1520 (I) provide a portion of the local cost share, not to exceed in fiscal year 2002-03 50%
1521 of the funds made available to the Division of Water Resources under this section, of potential
1522 project features of the Central Utah Project;
1523 (II) conduct hydrologic and geotechnical investigations by the Department of Natural
1524 Resources in a cooperative effort with other state, federal, or local entities, for the purpose of
1525 quantifying surface and ground water resources and describing the hydrologic systems of an
1526 area in sufficient detail so as to enable local and state resource managers to plan for and
1527 accommodate growth in water use without jeopardizing the resource;
1528 (III) fund state required dam safety improvements; and
1529 (IV) protect the state's interest in interstate water compact allocations, including the
1530 hiring of technical and legal staff.
1531 (vi) For fiscal year 2002-03 only, 25% of the amount described in Subsection (4)(a)(i)
1532 that remains after making the transfers and deposits required by Subsections (4)(a)(ii) through
1533 (iv) shall be deposited in the Utah Wastewater Loan Program Subaccount created in Section
1534 73-10c-5 for use by the Water Quality Board to fund wastewater projects.
1535 (vii) For fiscal year 2002-03 only, 25% of the amount described in Subsection (4)(a)(i)
1536 that remains after making the transfers and deposits required by Subsections (4)(a)(ii) through
1537 (iv) shall be deposited in the Drinking Water Loan Program Subaccount created in Section
1538 73-10c-5 for use by the Division of Drinking Water to:
1539 (A) provide for the installation and repair of collection, treatment, storage, and
1540 distribution facilities for any public water system, as defined in Section 19-4-102 ;
1541 (B) develop underground sources of water, including springs and wells; and
1542 (C) develop surface water sources.
1543 (b) (i) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
1544 2003, the lesser of the following amounts shall be used as provided in Subsections (4)(b)(ii)
1545 through (vii):
1546 (A) for taxes listed under Subsection (3)(a), the amount of tax revenue generated:

1547 (I) by a 1/16% tax rate on the transactions described in Subsection (1); and
1548 (II) for the fiscal year; or
1549 (B) $17,500,000.
1550 (ii) (A) For a fiscal year beginning on or after July 1, 2003, 14% of the amount
1551 described in Subsection (4)(b)(i) shall be transferred each year as dedicated credits to the
1552 Department of Natural Resources to:
1553 (I) implement the measures described in Subsections 63-34-14 (4)(a) through (d) to
1554 protect sensitive plant and animal species; or
1555 (II) award grants, up to the amount authorized by the Legislature in an appropriations
1556 act, to political subdivisions of the state to implement the measures described in Subsections
1557 63-34-14 (4)(a) through (d) to protect sensitive plant and animal species.
1558 (B) Money transferred to the Department of Natural Resources under Subsection
1559 (4)(b)(ii)(A) may not be used to assist the United States Fish and Wildlife Service or any other
1560 person to list or attempt to have listed a species as threatened or endangered under the
1561 Endangered Species Act of 1973, 16 U.S.C. Sec. 1531 et seq.
1562 (C) At the end of each fiscal year:
1563 (I) 50% of any unexpended dedicated credits shall lapse to the Water Resources
1564 Conservation and Development Fund created in Section 73-10-24 ;
1565 (II) 25% of any unexpended dedicated credits shall lapse to the Utah Wastewater Loan
1566 Program Subaccount created in Section 73-10c-5 ; and
1567 (III) 25% of any unexpended dedicated credits shall lapse to the Drinking Water Loan
1568 Program Subaccount created in Section 73-10c-5 .
1569 (iii) For a fiscal year beginning on or after July 1, 2003, 3% of the amount described in
1570 Subsection (4)(b)(i) shall be deposited each year in the Agriculture Resource Development
1571 Fund created in Section 4-18-6 .
1572 (iv) (A) For a fiscal year beginning on or after July 1, 2003, 1% of the amount
1573 described in Subsection (4)(b)(i) shall be transferred each year as dedicated credits to the
1574 Division of Water Rights to cover the costs incurred in hiring legal and technical staff for the
1575 adjudication of water rights.
1576 (B) At the end of each fiscal year:
1577 (I) 50% of any unexpended dedicated credits shall lapse to the Water Resources

1578 Conservation and Development Fund created in Section 73-10-24 ;
1579 (II) 25% of any unexpended dedicated credits shall lapse to the Utah Wastewater Loan
1580 Program Subaccount created in Section 73-10c-5 ; and
1581 (III) 25% of any unexpended dedicated credits shall lapse to the Drinking Water Loan
1582 Program Subaccount created in Section 73-10c-5 .
1583 (v) (A) For a fiscal year beginning on or after July 1, 2003, 41% of the amount
1584 described in Subsection (4)(b)(i) shall be deposited in the Water Resources Conservation and
1585 Development Fund created in Section 73-10-24 for use by the Division of Water Resources.
1586 (B) In addition to the uses allowed of the Water Resources Conservation and
1587 Development Fund under Section 73-10-24 , the Water Resources Conservation and
1588 Development Fund may also be used to:
1589 (I) provide a portion of the local cost share, not to exceed in any fiscal year 50% of the
1590 funds made available to the Division of Water Resources under this section, of potential project
1591 features of the Central Utah Project;
1592 (II) conduct hydrologic and geotechnical investigations by the Department of Natural
1593 Resources in a cooperative effort with other state, federal, or local entities, for the purpose of
1594 quantifying surface and ground water resources and describing the hydrologic systems of an
1595 area in sufficient detail so as to enable local and state resource managers to plan for and
1596 accommodate growth in water use without jeopardizing the resource;
1597 (III) fund state required dam safety improvements; and
1598 (IV) protect the state's interest in interstate water compact allocations, including the
1599 hiring of technical and legal staff.
1600 (vi) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described
1601 in Subsection (4)(b)(i) shall be deposited in the Utah Wastewater Loan Program Subaccount
1602 created in Section 73-10c-5 for use by the Water Quality Board to fund wastewater projects.
1603 (vii) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount
1604 described in Subsection (4)(b)(i) shall be deposited in the Drinking Water Loan Program
1605 Subaccount created in Section 73-10c-5 for use by the Division of Drinking Water to:
1606 (A) provide for the installation and repair of collection, treatment, storage, and
1607 distribution facilities for any public water system, as defined in Section 19-4-102 ;
1608 (B) develop underground sources of water, including springs and wells; and

1609 (C) develop surface water sources.
1610 (5) (a) (i) Notwithstanding Subsection (3)(a), for fiscal year 2002-03 only, the lesser of
1611 the following amounts shall be transferred or deposited as provided in Subsections (5)(a)(ii)
1612 through (iv):
1613 (A) for taxes listed under Subsection (3)(a), the amount of tax revenue generated:
1614 (I) by a 1/16% tax rate on the transactions described in Subsection (1); and
1615 (II) for the fiscal year; or
1616 (B) $18,743,000.
1617 (ii) (A) For fiscal year 2002-03 only, $500,000 of the amount described in Subsection
1618 (5)(a)(i) shall be deposited in the Transportation Corridor Preservation Revolving Loan Fund
1619 created in Section 72-2-117 .
1620 (B) At least 50% of the money deposited in the Transportation Corridor Preservation
1621 Revolving Loan Fund under Subsection (5)(a)(ii)(A) shall be used to fund loan applications
1622 made by the Department of Transportation at the request of local governments.
1623 (iii) For fiscal year 2002-03 only, $500,000 of the amount described in Subsection
1624 (5)(a)(i) shall be transferred as nonlapsing dedicated credits to the Department of
1625 Transportation for the State Park Access Highways Improvement Program created in Section
1626 72-3-207 .
1627 (iv) For fiscal year 2002-03 only, the amount described in Subsection (5)(a)(i) that
1628 remains after making the transfers and deposits required by Subsections (5)(a)(ii) and (iii) shall
1629 be deposited in the class B and class C roads account to be expended as provided in Title 72,
1630 Chapter 2, Transportation Finances Act, for the use of class B and C roads.
1631 (b) (i) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
1632 2003, the lesser of the following amounts shall be used as provided in Subsections (5)(b)(ii)
1633 through (iv):
1634 (A) for taxes listed under Subsection (3)(a), the amount of tax revenue generated:
1635 (I) by a 1/16% tax rate on the transactions described in Subsection (1); and
1636 (II) for the fiscal year; or
1637 (B) $18,743,000.
1638 (ii) (A) For a fiscal year beginning on or after July 1, 2003, 3% of the amount
1639 described in Subsection (5)(b)(i) shall be deposited each year in the Transportation Corridor

1640 Preservation Revolving Loan Fund created in Section 72-2-117 .
1641 (B) At least 50% of the money deposited in the Transportation Corridor Preservation
1642 Revolving Loan Fund under Subsection (5)(b)(ii)(A) shall be used to fund loan applications
1643 made by the Department of Transportation at the request of local governments.
1644 (iii) For a fiscal year beginning on or after July 1, 2003, 3% of the amount described in
1645 Subsection (5)(b)(i) shall be transferred each year as nonlapsing dedicated credits to the
1646 Department of Transportation for the State Park Access Highways Improvement Program
1647 created in Section 72-3-207 .
1648 (iv) For a fiscal year beginning on or after July 1, 2003, 94% of the amount described
1649 in Subsection (5)(b)(i) shall be deposited in the class B and class C roads account to be
1650 expended as provided in Title 72, Chapter 2, Transportation Finances Act, for the use of class
1651 B and C roads.
1652 (6) Notwithstanding Subsection (3)(a), beginning on January 1, 2000, the Division of
1653 Finance shall deposit into the Centennial Highway Fund created in Section 72-2-118 a portion
1654 of the taxes listed under Subsection (3)(a) equal to the revenues generated by a 1/64% tax rate
1655 on the taxable transactions under Subsection (1).
1656 (7) Notwithstanding Subsection (3)(a), beginning on July 1, 1999, the commission
1657 shall deposit into the Airport to University of Utah Light Rail Restricted Account created in
1658 Section 17A-2-1064 the portion of the sales and use tax under Section 59-12-204 that is:
1659 (a) generated by a city or town that will have constructed within its boundaries the
1660 Airport to University of Utah Light Rail described in the Transportation Equity Act for the 21st
1661 Century, Pub. L. No. 105-178, Sec. 3030(c)(2)(B)(i)(II), 112 Stat. 107; and
1662 (b) equal to the revenues generated by a 1/64% tax rate on the taxable items and
1663 services under Subsection (1).
1664 [(8) (a) For purposes of amounts paid or charged as admission or user fees relating to
1665 the Olympic Winter Games of 2002, the amounts are considered to be paid or charged on the
1666 day on which the Salt Lake Organizing Committee for the Olympic Winter Games of 2002 or a
1667 person designated by the Salt Lake Organizing Committee for the Olympic Winter Games of
1668 2002 sends a purchaser confirmation of the purchase of an admission or user fee described in
1669 Subsection (1)(f).]
1670 [(b) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act,

1671 the commission shall make rules defining what constitutes sending a purchaser confirmation
1672 under Subsection (8)(a).]
1673 [(9)] (8) (a) For fiscal year 2002-03 only, the following amounts shall be subtracted
1674 from the total amount required to be deposited or transferred in accordance with Subsection
1675 (4):
1676 (i) $25,000 shall be subtracted from the total amount required to be transferred to the
1677 Division of Water Rights in accordance with Subsection (4)(a)(iv);
1678 (ii) $385,000 shall be subtracted from the total amount required to be deposited into
1679 the Agriculture Resource Development Fund in accordance with Subsection (4)(a)(iii);
1680 (iii) $350,000 shall be subtracted from the total amount required to be transferred to the
1681 Department of Natural Resources in accordance with Subsection (4)(a)(ii);
1682 (iv) $3,012,500 shall be subtracted from the total amount required to be deposited into
1683 the Drinking Water Loan Program Subaccount in accordance with Subsection (4)(a)(vii);
1684 (v) $3,012,500 shall be subtracted from the total amount required to be deposited into
1685 the Utah Wastewater Loan Program Subaccount in accordance with Subsection (4)(a)(vi); and
1686 (vi) $5,715,000 shall be subtracted from the total amount required to be deposited into
1687 the Water Resources Conservation and Development Fund in accordance with Subsection
1688 (4)(a)(v).
1689 (b) The amounts subtracted under Subsection [(9)] (8)(a) shall be deposited into the
1690 General Fund.
1691 Section 11. Section 59-12-104 (Effective 07/01/04) is amended to read:
1692 59-12-104 (Effective 07/01/04). Exemptions.
1693 The following sales and uses are exempt from the taxes imposed by this chapter:
1694 (1) sales of aviation fuel, motor fuel, and special fuel subject to a Utah state excise tax
1695 under Chapter 13, Motor and Special Fuel Tax Act;
1696 (2) sales to the state, its institutions, and its political subdivisions; however, this
1697 exemption does not apply to sales of:
1698 (a) construction materials except:
1699 (i) construction materials purchased by or on behalf of institutions of the public
1700 education system as defined in Utah Constitution Article X, Section 2, provided the
1701 construction materials are clearly identified and segregated and installed or converted to real

1702 property which is owned by institutions of the public education system; and
1703 (ii) construction materials purchased by the state, its institutions, or its political
1704 subdivisions which are installed or converted to real property by employees of the state, its
1705 institutions, or its political subdivisions; or
1706 (b) tangible personal property in connection with the construction, operation,
1707 maintenance, repair, or replacement of a project, as defined in Section 11-13-103 , or facilities
1708 providing additional project capacity, as defined in Section 11-13-103 ;
1709 (3) (a) sales of an item described in Subsection (3)(b) from a vending machine if:
1710 (i) the proceeds of each sale do not exceed $1; and
1711 (ii) the seller or operator of the vending machine reports an amount equal to 150% of
1712 the cost of the item described in Subsection (3)(a) as goods consumed; and
1713 (b) Subsection (3)(a) applies to:
1714 (i) food and food ingredients; or
1715 (ii) prepared food;
1716 (4) sales of the following to a commercial airline carrier for in-flight consumption:
1717 (a) food and food ingredients;
1718 (b) prepared food; or
1719 (c) services related to Subsection (4)(a) or (b);
1720 (5) sales of parts and equipment for installation in aircraft operated by common carriers
1721 in interstate or foreign commerce;
1722 (6) sales of commercials, motion picture films, prerecorded audio program tapes or
1723 records, and prerecorded video tapes by a producer, distributor, or studio to a motion picture
1724 exhibitor, distributor, or commercial television or radio broadcaster;
1725 (7) sales of cleaning or washing of tangible personal property by a coin-operated
1726 laundry or dry cleaning machine;
1727 (8) [(a) except as provided in Subsection (8)(b),] sales made to or by religious or
1728 charitable institutions in the conduct of their regular religious or charitable functions and
1729 activities, if the requirements of Section 59-12-104.1 are fulfilled;
1730 [(b) the exemption provided for in Subsection (8)(a) does not apply to the following
1731 sales, uses, leases, or rentals relating to the Olympic Winter Games of 2002 made to or by an
1732 organization exempt from federal income taxation under Section 501(c)(3), Internal Revenue

1733 Code:]
1734 [(i) retail sales of Olympic merchandise;]
1735 [(ii) except as provided in Subsection (50), admissions or user fees described in
1736 Subsection 59-12-103 (1)(f);]
1737 [(iii) sales of accommodations and services as provided in Subsection 59-12-103 (1)(i),
1738 except for accommodations and services:]
1739 [(A) paid for in full by the Salt Lake Organizing Committee for the Olympic Winter
1740 Games of 2002;]
1741 [(B) exclusively used by:]
1742 [(I) an officer, a trustee, or an employee of the Salt Lake Organizing Committee for the
1743 Olympic Winter Games of 2002; or]
1744 [(II) a volunteer supervised by the Salt Lake Organizing Committee for the Olympic
1745 Winter Games of 2002; and]
1746 [(C) for which the Salt Lake Organizing Committee for the Olympic Winter Games of
1747 2002 does not receive reimbursement; or]
1748 [(iv) a lease or rental of a vehicle as defined in Section 41-1a-102 , except for a lease or
1749 rental of a vehicle:]
1750 [(A) paid for in full by the Salt Lake Organizing Committee for the Olympic Winter
1751 Games of 2002;]
1752 [(B) exclusively used by:]
1753 [(I) an officer, a trustee, or an employee of the Salt Lake Organizing Committee for the
1754 Olympic Winter Games of 2002; or]
1755 [(II) a volunteer supervised by the Salt Lake Organizing Committee for the Olympic
1756 Winter Games of 2002; and]
1757 [(C) for which the Salt Lake Organizing Committee for the Olympic Winter Games of
1758 2002 does not receive reimbursement;]
1759 (9) sales of vehicles of a type required to be registered under the motor vehicle laws of
1760 this state which are made to bona fide nonresidents of this state and are not afterwards
1761 registered or used in this state except as necessary to transport them to the borders of this state;
1762 (10) (a) amounts paid for an item described in Subsection (10)(b) if:
1763 (i) the item is intended for human use; and

1764 (ii) the purchaser presents a prescription for the item; and
1765 (b) (i) Subsection (10)(a) applies to:
1766 (A) a drug;
1767 (B) a syringe; or
1768 (C) a stoma supply; and
1769 (ii) in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
1770 commission may by rule define the terms:
1771 (A) "syringe"; or
1772 (B) "stoma supply";
1773 (11) sales or use of property, materials, or services used in the construction of or
1774 incorporated in pollution control facilities allowed by Sections 19-2-123 through 19-2-127 ;
1775 (12) (a) sales of an item described in Subsection (12)(c) served by:
1776 (i) the following if the item described in Subsection (12)(c) is not available to the
1777 general public:
1778 (A) a church; or
1779 (B) a charitable institution;
1780 (ii) an institution of higher education if:
1781 (A) the item described in Subsection (12)(c) is not available to the general public; or
1782 (B) the item described in Subsection (12)(c) is prepaid as part of a student meal plan
1783 offered by the institution of higher education; or
1784 (b) sales of an item described in Subsection (12)(c) provided at:
1785 (i) a medical facility; or
1786 (ii) a nursing facility; and
1787 (c) Subsections (12)(a) and (b) apply to:
1788 (i) food and food ingredients;
1789 (ii) prepared food; or
1790 (iii) alcoholic beverages;
1791 (13) isolated or occasional sales by persons not regularly engaged in business, except
1792 the sale of vehicles or vessels required to be titled or registered under the laws of this state in
1793 which case the tax is based upon:
1794 (a) the bill of sale or other written evidence of value of the vehicle or vessel being sold;

1795 or
1796 (b) in the absence of a bill of sale or other written evidence of value, the then existing
1797 fair market value of the vehicle or vessel being sold as determined by the commission;
1798 (14) (a) the following purchases or leases by a manufacturer on or after July 1, 1995:
1799 (i) machinery and equipment:
1800 (A) used in the manufacturing process;
1801 (B) having an economic life of three or more years; and
1802 (C) used:
1803 (I) to manufacture an item sold as tangible personal property; and
1804 (II) in new or expanding operations in a manufacturing facility in the state; and
1805 (ii) subject to the provisions of Subsection (14)(b), normal operating replacements that:
1806 (A) have an economic life of three or more years;
1807 (B) are used in the manufacturing process in a manufacturing facility in the state;
1808 (C) are used to replace or adapt an existing machine to extend the normal estimated
1809 useful life of the machine; and
1810 (D) do not include repairs and maintenance;
1811 (b) the rates for the exemption under Subsection (14)(a)(ii) are as follows:
1812 (i) beginning July 1, 1996, through June 30, 1997, 30% of the sale or lease described in
1813 Subsection (14)(a)(ii) is exempt;
1814 (ii) beginning July 1, 1997, through June 30, 1998, 60% of the sale or lease described
1815 in Subsection (14)(a)(ii) is exempt; and
1816 (iii) beginning July 1, 1998, 100% of the sale or lease described in Subsection
1817 (14)(a)(ii) is exempt;
1818 (c) for purposes of this Subsection (14), the commission shall by rule define the terms
1819 "new or expanding operations" and "establishment"; and
1820 (d) on or before October 1, 1991, and every five years after October 1, 1991, the
1821 commission shall:
1822 (i) review the exemptions described in Subsection (14)(a) and make recommendations
1823 to the Revenue and Taxation Interim Committee concerning whether the exemptions should be
1824 continued, modified, or repealed; and
1825 (ii) include in its report:

1826 (A) the cost of the exemptions;
1827 (B) the purpose and effectiveness of the exemptions; and
1828 (C) the benefits of the exemptions to the state;
1829 (15) (a) sales of the following if the requirements of Subsection (15)(b) are met:
1830 (i) tooling;
1831 (ii) special tooling;
1832 (iii) support equipment;
1833 (iv) special test equipment; or
1834 (v) parts used in the repairs or renovations of tooling or equipment described in
1835 Subsections (15)(a)(i) through (iv); and
1836 (b) sales of tooling, equipment, or parts described in Subsection (15)(a) are exempt if:
1837 (i) the tooling, equipment, or parts are used or consumed exclusively in the
1838 performance of any aerospace or electronics industry contract with the United States
1839 government or any subcontract under that contract; and
1840 (ii) under the terms of the contract or subcontract described in Subsection (15)(b)(i),
1841 title to the tooling, equipment, or parts is vested in the United States government as evidenced
1842 by:
1843 (A) a government identification tag placed on the tooling, equipment, or parts; or
1844 (B) listing on a government-approved property record if placing a government
1845 identification tag on the tooling, equipment, or parts is impractical;
1846 (16) intrastate movements of:
1847 (a) freight by common carriers; or
1848 (b) passengers:
1849 (i) by taxicabs as described in SIC Code 4121 of the 1987 Standard Industrial
1850 Classification Manual of the federal Executive Office of the President, Office of Management
1851 and Budget;
1852 (ii) transported by an establishment described in SIC Code 4111 of the 1987 Standard
1853 Industrial Classification Manual of the federal Executive Office of the President, Office of
1854 Management and Budget, if the transportation originates and terminates within a county of the
1855 first, second, or third class; or
1856 (iii) transported by the following described in SIC Code 4789 of the 1987 Standard

1857 Industrial Classification Manual of the federal Executive Office of the President, Office of
1858 Management and Budget:
1859 (A) a horse-drawn cab; or
1860 (B) a horse-drawn carriage;
1861 (17) sales of newspapers or newspaper subscriptions;
1862 (18) (a) except as provided in Subsection (18)(b), tangible personal property traded in
1863 as full or part payment of the purchase price, except that for purposes of calculating sales or use
1864 tax upon vehicles not sold by a vehicle dealer, trade-ins are limited to other vehicles only, and
1865 the tax is based upon:
1866 (i) the bill of sale or other written evidence of value of the vehicle being sold and the
1867 vehicle being traded in; or
1868 (ii) in the absence of a bill of sale or other written evidence of value, the then existing
1869 fair market value of the vehicle being sold and the vehicle being traded in, as determined by the
1870 commission; and
1871 (b) notwithstanding Subsection (18)(a), Subsection (18)(a) does not apply to the
1872 following items of tangible personal property traded in as full or part payment of the purchase
1873 price:
1874 (i) money;
1875 (ii) electricity;
1876 (iii) water;
1877 (iv) gas; or
1878 (v) steam;
1879 (19) sprays and insecticides used to control insects, diseases, and weeds for
1880 commercial production of fruits, vegetables, feeds, seeds, and animal products, but not those
1881 sprays and insecticides used in the processing of the products;
1882 (20) (a) (i) sales of tangible personal property used or consumed primarily and directly
1883 in farming operations, including sales of irrigation equipment and supplies used for agricultural
1884 production purposes, whether or not they become part of real estate and whether or not
1885 installed by farmer, contractor, or subcontractor, but not sales of:
1886 (A) machinery, equipment, materials, and supplies used in a manner that is incidental
1887 to farming, such as hand tools and maintenance and janitorial equipment and supplies;

1888 (B) tangible personal property used in any activities other than farming, such as office
1889 equipment and supplies, equipment and supplies used in sales or distribution of farm products,
1890 in research, or in transportation; or
1891 (C) any vehicle required to be registered by the laws of this state, without regard to the
1892 use to which the vehicle is put; or
1893 (ii) sales of parts used in the repairs or renovations of tangible personal property if the
1894 tangible personal property is exempt under Subsection (20)(a); or
1895 (b) sales of hay;
1896 (21) exclusive sale of locally grown seasonal crops, seedling plants, or garden, farm, or
1897 other agricultural produce if sold by a producer during the harvest season;
1898 (22) purchases made using a coupon as defined in 7 U.S.C. Sec. 2012 that is issued
1899 under the Food Stamp Program, 7 U.S.C. Sec. 2011 et seq.;
1900 (23) sales of nonreturnable containers, nonreturnable labels, nonreturnable bags,
1901 nonreturnable shipping cases, and nonreturnable casings to a manufacturer, processor,
1902 wholesaler, or retailer for use in packaging tangible personal property to be sold by that
1903 manufacturer, processor, wholesaler, or retailer;
1904 (24) property stored in the state for resale;
1905 (25) property brought into the state by a nonresident for his or her own personal use or
1906 enjoyment while within the state, except property purchased for use in Utah by a nonresident
1907 living and working in Utah at the time of purchase;
1908 (26) property purchased for resale in this state, in the regular course of business, either
1909 in its original form or as an ingredient or component part of a manufactured or compounded
1910 product;
1911 (27) property upon which a sales or use tax was paid to some other state, or one of its
1912 subdivisions, except that the state shall be paid any difference between the tax paid and the tax
1913 imposed by this part and Part 2, Local Sales and Use Tax Act, and no adjustment is allowed if
1914 the tax paid was greater than the tax imposed by this part and Part 2, Local Sales and Use Tax
1915 Act;
1916 (28) any sale of a service described in Subsections 59-12-103 (1)(b), (c), and (d) to a
1917 person for use in compounding a service taxable under the subsections;
1918 (29) purchases made in accordance with the special supplemental nutrition program for

1919 women, infants, and children established in 42 U.S.C. Sec. 1786;
1920 (30) beginning on July 1, 1999, through June 30, 2004, sales or leases of rolls, rollers,
1921 refractory brick, electric motors, or other replacement parts used in the furnaces, mills, or ovens
1922 of a steel mill described in SIC Code 3312 of the 1987 Standard Industrial Classification
1923 Manual of the federal Executive Office of the President, Office of Management and Budget;
1924 (31) sales of boats of a type required to be registered under Title 73, Chapter 18, State
1925 Boating Act, boat trailers, and outboard motors which are made to bona fide nonresidents of
1926 this state and are not thereafter registered or used in this state except as necessary to transport
1927 them to the borders of this state;
1928 (32) sales of aircraft manufactured in Utah if sold for delivery and use outside Utah
1929 where a sales or use tax is not imposed, even if the title is passed in Utah;
1930 (33) amounts paid for the purchase of telephone service for purposes of providing
1931 telephone service;
1932 (34) fares charged to persons transported directly by a public transit district created
1933 under the authority of Title 17A, Chapter 2, Part 10, Utah Public Transit District Act;
1934 (35) sales or leases of vehicles to, or use of vehicles by an authorized carrier;
1935 (36) (a) 45% of the sales price of any new manufactured home; and
1936 (b) 100% of the sales price of any used manufactured home;
1937 (37) sales relating to schools and fundraising sales;
1938 (38) sales or rentals of durable medical equipment if a person presents a prescription
1939 for the durable medical equipment;
1940 (39) (a) sales to a ski resort of electricity to operate a passenger ropeway as defined in
1941 Section 72-11-102 ; and
1942 (b) the commission shall by rule determine the method for calculating sales exempt
1943 under Subsection (39)(a) that are not separately metered and accounted for in utility billings;
1944 (40) sales to a ski resort of:
1945 (a) snowmaking equipment;
1946 (b) ski slope grooming equipment;
1947 (c) passenger ropeways as defined in Section 72-11-102 ; or
1948 (d) parts used in the repairs or renovations of equipment or passenger ropeways
1949 described in Subsections (40)(a) through (c);

1950 (41) sales of natural gas, electricity, heat, coal, fuel oil, or other fuels for industrial use;
1951 (42) sales or rentals of the right to use or operate for amusement, entertainment, or
1952 recreation a coin-operated amusement device as defined in Section 59-12-102 ;
1953 (43) sales of cleaning or washing of tangible personal property by a coin-operated car
1954 wash machine;
1955 (44) sales by the state or a political subdivision of the state, except state institutions of
1956 higher education as defined in Section 53B-3-102 , of:
1957 (a) photocopies; or
1958 (b) other copies of records held or maintained by the state or a political subdivision of
1959 the state;
1960 (45) (a) amounts paid:
1961 (i) to a person providing intrastate transportation to an employer's employee to or from
1962 the employee's primary place of employment;
1963 (ii) by an:
1964 (A) employee; or
1965 (B) employer; and
1966 (iii) pursuant to a written contract between:
1967 (A) the employer; and
1968 (B) (I) the employee; or
1969 (II) a person providing transportation to the employer's employee; and
1970 (b) in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
1971 commission may for purposes of Subsection (45)(a) make rules defining what constitutes an
1972 employee's primary place of employment;
1973 (46) amounts paid for admission to an athletic event at an institution of higher
1974 education that is subject to the provisions of Title IX of the Education Amendments of 1972,
1975 20 U.S.C. Sec. 1681 et seq.;
1976 (47) sales of telephone service charged to a prepaid telephone calling card;
1977 (48) (a) sales of:
1978 (i) hearing aids;
1979 (ii) hearing aid accessories; or
1980 (iii) except as provided in Subsection (48)(b), parts used in the repairs or renovations

1981 of hearing aids or hearing aid accessories; and
1982 (b) for purposes of this Subsection (48), notwithstanding Subsection (48)(a)(iii),
1983 "parts" does not include batteries;
1984 (49) (a) sales made to or by:
1985 (i) an area agency on aging; or
1986 (ii) a senior citizen center owned by a county, city, or town; or
1987 (b) sales made by a senior citizen center that contracts with an area agency on aging;
1988 [(50) (a) beginning on July 1, 2000, through June 30, 2002, amounts paid or charged as
1989 admission or user fees described in Subsection 59-12-103 (1)(f) relating to the Olympic Winter
1990 Games of 2002 if the amounts paid or charged are established by the Salt Lake Organizing
1991 Committee for the Olympic Winter Games of 2002 in accordance with requirements of the
1992 International Olympic Committee; and]
1993 [(b) the State Olympic Officer and the Salt Lake Organizing Committee for the
1994 Olympic Winter Games of 2002 shall make at least two reports during the 2000 interim:]
1995 [(i) to the:]
1996 [(A) Olympic Coordination Committee; and]
1997 [(B) Revenue and Taxation Interim Committee; and]
1998 [(ii) regarding the status of:]
1999 [(A) agreements relating to the funding of public safety services for the Olympic
2000 Winter Games of 2002;]
2001 [(B) agreements relating to the funding of services, other than public safety services,
2002 for the Olympic Winter Games of 2002;]
2003 [(C) other agreements relating to the Olympic Winter Games of 2002 as requested by
2004 the Olympic Coordination Committee or the Revenue and Taxation Interim Committee;]
2005 [(D) other issues as requested by the Olympic Coordination Committee or the Revenue
2006 and Taxation Interim Committee; or]
2007 [(E) a combination of Subsections (50)(b)(ii)(A) through (D);]
2008 [(51)] (50) (a) beginning on July 1, 2001, through June 30, 2007, and subject to
2009 Subsection [(51)] (50)(b), a sale or lease of semiconductor fabricating or processing materials
2010 regardless of whether the semiconductor fabricating or processing materials:
2011 (i) actually come into contact with a semiconductor; or

2012 (ii) ultimately become incorporated into real property;
2013 (b) (i) beginning on July 1, 2001, through June 30, 2002, 10% of the sale or lease
2014 described in Subsection [(51)] (50)(a) is exempt;
2015 (ii) beginning on July 1, 2002, through June 30, 2003, 50% of the sale or lease
2016 described in Subsection [(51)] (50)(a) is exempt; and
2017 (iii) beginning on July 1, 2003, through June 30, 2007, the entire amount of the sale or
2018 lease described in Subsection [(51)] (50)(a) is exempt; and
2019 (c) each year on or before the November interim meeting, the Revenue and Taxation
2020 Interim Committee shall:
2021 (i) review the exemption described in this Subsection [(51)] (50) and make
2022 recommendations concerning whether the exemption should be continued, modified, or
2023 repealed; and
2024 (ii) include in the review under this Subsection [(51)] (50)(c):
2025 (A) the cost of the exemption;
2026 (B) the purpose and effectiveness of the exemption; and
2027 (C) the benefits of the exemption to the state;
2028 [(52)] (51) an amount paid by or charged to a purchaser for accommodations and
2029 services described in Subsection 59-12-103 (1)(i) to the extent the amount is exempt under
2030 Section 59-12-104.2 ;
2031 [(53)] (52) beginning on September 1, 2001, the lease or use of a vehicle issued a
2032 temporary sports event registration certificate in accordance with Section 41-3-306 for the
2033 event period specified on the temporary sports event registration certificate;
2034 [(54)] (53) sales or uses of electricity, if the sales or uses are:
2035 (a) made under a tariff adopted by the Public Service Commission of Utah only for
2036 purchase of electricity produced from a new wind, geothermal, biomass, or solar power energy
2037 source, as designated in the tariff by the Public Service Commission of Utah; and
2038 (b) for an amount of electricity that is:
2039 (i) unrelated to the amount of electricity used by the person purchasing the electricity
2040 under the tariff described in Subsection [(54)] (53)(a); and
2041 (ii) equivalent to the number of kilowatthours specified in the tariff described in
2042 Subsection [(54)] (53)(a) that may be purchased under the tariff described in Subsection [(54)]

2043 (53)(a);
2044 [(55)] (54) sales or rentals of mobility enhancing equipment if a person presents a
2045 prescription for the mobility enhancing equipment;
2046 [(56)] (55) sales of water in a:
2047 (a) pipe;
2048 (b) conduit;
2049 (c) ditch; or
2050 (d) reservoir;
2051 [(57)] (56) sales of currency or coinage that constitute legal tender of the United States
2052 or of a foreign nation;
2053 [(58)] (57) (a) sales of an item described in Subsection [(58)] (57)(b) if the item:
2054 (i) does not constitute legal tender of any nation; and
2055 (ii) has a gold, silver, or platinum content of 80% or more; and
2056 (b) Subsection [(58)] (57)(a) applies to a gold, silver, or platinum:
2057 (i) ingot;
2058 (ii) bar;
2059 (iii) medallion; or
2060 (iv) decorative coin;
2061 [(59)] (58) amounts paid on a sale-leaseback transaction; and
2062 [(60)] (59) sales of a prosthetic device:
2063 (a) for use on or in a human;
2064 (b) for which a prescription is issued; and
2065 (c) to a person that presents a prescription for the prosthetic device.
2066 Section 12. Section 59-12-105 (Effective 07/01/04) is amended to read:
2067 59-12-105 (Effective 07/01/04). Certain exempt sales to be reported -- Penalties.
2068 (1) (a) An owner or purchaser shall report to the commission the amount of sales or
2069 uses exempt under Subsection 59-12-104 (14), (39), (40), or [(51)] (50).
2070 (b) The report required by Subsection (1)(a) shall be filed:
2071 (i) with the commission; and
2072 (ii) on a form prescribed by the commission.
2073 (c) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the

2074 commission shall make rules providing:
2075 (i) the information required to be included in the report described in Subsection (1)(a);
2076 and
2077 (ii) one or more due dates for filing the report described in Subsection (1)(a).
2078 (2) Except as provided in Subsections (3) and (4), if the owner or purchaser fails to
2079 report the full amount of the exemptions granted under Subsection 59-12-104 (14), (39), (40),
2080 or [(51)] (50) on the report required by Subsection (1)(a), the commission shall impose a
2081 penalty equal to the lesser of:
2082 (a) 10% of the sales and use tax that would have been imposed if the exemption had
2083 not applied; or
2084 (b) $1,000.
2085 (3) Notwithstanding Subsection (2), the commission may not impose a penalty under
2086 Subsection (2) if the owner or purchaser files an amended report:
2087 (a) containing the amount of the exemption; and
2088 (b) before the owner or purchaser receives a notice of audit from the commission.
2089 (4) (a) Notwithstanding Subsection (2), the commission may waive, reduce, or
2090 compromise a penalty imposed under this section if the commission finds there are reasonable
2091 grounds for the waiver, reduction, or compromise.
2092 (b) If the commission waives, reduces, or compromises a penalty under Subsection
2093 (4)(a), the commission shall make a record of the grounds for waiving, reducing, or
2094 compromising the penalty.
2095 Section 13. Section 59-12-301 (Effective 07/01/04) is amended to read:
2096 59-12-301 (Effective 07/01/04). Transient room tax -- Rate -- Enactment or repeal
2097 of tax -- Tax rate change -- Effective date -- Notice requirements.
2098 (1) (a) Any county legislative body may impose a transient room tax not to exceed 3%
2099 of the rent for every occupancy of a suite or room:
2100 (i) on the following entities doing business as motor courts, motels, hotels, inns, or
2101 providing similar public accommodations:
2102 (A) a person;
2103 (B) a company;
2104 (C) a corporation; or

2105 (D) a person, group, or organization similar to Subsections (1)(a)(i)(A) through (C);
2106 and
2107 (ii) if the suite or room is regularly rented for less than 30 consecutive days.
2108 (b) The revenues raised from the tax imposed under Subsection (1)(a) shall be used for
2109 the purposes listed in Section 17-31-2 .
2110 (c) The tax imposed under Subsection (1)(a) shall be in addition to the tourism,
2111 recreation, cultural, and convention tax imposed under Part 6, Tourism, Recreation, Cultural,
2112 and Convention Facilities Tax.
2113 [(d) A county legislative body imposing a tax under this part shall impose the tax on
2114 the rents described in Subsection (1)(a) relating to the Olympic Winter Games of 2002 made to
2115 or by an organization exempt from federal income taxation under Section 501(c)(3), Internal
2116 Revenue Code, except for rents described in Subsection (1)(a):]
2117 [(i) paid for in full by the Salt Lake Organizing Committee for the Olympic Winter
2118 Games of 2002;]
2119 [(ii) exclusively used by:]
2120 [(A) an officer, a trustee, or an employee of the Salt Lake Organizing Committee for
2121 the Olympic Winter Games of 2002; or]
2122 [(B) a volunteer supervised by the Salt Lake Organizing Committee for the Olympic
2123 Winter Games of 2002; and]
2124 [(iii) for which the Salt Lake Organizing Committee for the Olympic Winter Games of
2125 2002 does not receive reimbursement.]
2126 (2) Subject to Subsection (3), a county legislative body:
2127 (a) may increase or decrease the transient room tax; and
2128 (b) shall regulate the transient room tax by ordinance.
2129 (3) (a) For purposes of this Subsection (3):
2130 (i) "Annexation" means an annexation to a county under Title 17, Chapter 2,
2131 Annexation to County.
2132 (ii) "Annexing area" means an area that is annexed into a county.
2133 (b) (i) Except as provided in Subsection (3)(c), if, on or after July 1, 2004, a county
2134 enacts or repeals a tax or changes the rate of a tax under this part, the enactment, repeal, or
2135 change shall take effect:

2136 (A) on the first day of a calendar quarter; and
2137 (B) after a 90-day period beginning on the date the commission receives notice meeting
2138 the requirements of Subsection (3)(b)(ii) from the county.
2139 (ii) The notice described in Subsection (3)(b)(i)(B) shall state:
2140 (A) that the county will enact or repeal a tax or change the rate of a tax under this part;
2141 (B) the statutory authority for the tax described in Subsection (3)(b)(ii)(A);
2142 (C) the effective date of the tax described in Subsection (3)(b)(ii)(A); and
2143 (D) if the county enacts the tax or changes the rate of the tax described in Subsection
2144 (3)(b)(ii)(A), the rate of the tax.
2145 (c) (i) Notwithstanding Subsection (3)(b)(i), for a transaction described in Subsection
2146 (3)(c)(iii), the enactment of a tax or a tax rate increase shall take effect on the first day of the
2147 first billing period:
2148 (A) that begins after the effective date of the enactment of the tax or the tax rate
2149 increase; and
2150 (B) if the billing period for the transaction begins before the effective date of the
2151 enactment of the tax or the tax rate increase imposed under this section.
2152 (ii) Notwithstanding Subsection (3)(b)(i), for a transaction described in Subsection
2153 (3)(c)(iii), the repeal of a tax or a tax rate decrease shall take effect on the first day of the last
2154 billing period:
2155 (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
2156 and
2157 (B) if the billing period for the transaction begins before the effective date of the repeal
2158 of the tax or the tax rate decrease imposed under this section.
2159 (iii) Subsections (3)(c)(i) and (ii) apply to transactions subject to a tax under
2160 Subsection 59-12-103 (1)(i).
2161 (d) (i) Except as provided in Subsection (3)(e), if, for an annexation that occurs on or
2162 after July 1, 2004, the annexation will result in the enactment, repeal, or a change in the rate of
2163 a tax under this part for an annexing area, the enactment, repeal, or change shall take effect:
2164 (A) on the first day of a calendar quarter; and
2165 (B) after a 90-day period beginning on the date the commission receives notice meeting
2166 the requirements of Subsection (3)(d)(ii) from the county that annexes the annexing area.

2167 (ii) The notice described in Subsection (3)(d)(i)(B) shall state:
2168 (A) that the annexation described in Subsection (3)(d)(i) will result in an enactment,
2169 repeal, or change in the rate of a tax under this part for the annexing area;
2170 (B) the statutory authority for the tax described in Subsection (3)(d)(ii)(A);
2171 (C) the effective date of the tax described in Subsection (3)(d)(ii)(A); and
2172 (D) if the county enacts the tax or changes the rate of the tax described in Subsection
2173 (3)(d)(ii)(A), the rate of the tax.
2174 (e) (i) Notwithstanding Subsection (3)(d)(i), for a transaction described in Subsection
2175 (3)(e)(iii), the enactment of a tax or a tax rate increase shall take effect on the first day of the
2176 first billing period:
2177 (A) that begins after the effective date of the enactment of the tax or the tax rate
2178 increase; and
2179 (B) if the billing period for the transaction begins before the effective date of the
2180 enactment of the tax or the tax rate increase imposed under this section.
2181 (ii) Notwithstanding Subsection (3)(d)(i), for a transaction described in Subsection
2182 (3)(e)(iii), the repeal of a tax or a tax rate decrease shall take effect on the first day of the last
2183 billing period:
2184 (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
2185 and
2186 (B) if the billing period for the transaction begins before the effective date of the repeal
2187 of the tax or the tax rate decrease imposed under this section.
2188 (iii) Subsections (3)(e)(i) and (ii) apply to transactions subject to a tax under
2189 Subsection 59-12-103 (1)(i).
2190 Section 14. Section 59-12-352 is amended to read:
2191 59-12-352. Transient room tax authority for municipalities -- Purposes for which
2192 revenues may be used.
2193 (1) [(a)] The governing body of a municipality may impose a transient room tax on the
2194 rents charged to transients occupying public accommodations in an amount that is less than or
2195 equal to 1% of the rents charged.
2196 [(b) A governing body of a municipality imposing a tax under this section shall impose
2197 the tax on the rents described in Subsection (1)(a) relating to the Olympic Winter Games of

2198 2002 made to or by an organization exempt from federal income taxation under Section
2199 501(c)(3), Internal Revenue Code, except for rents described in Subsection (1)(a):]
2200 [(i) paid for in full by the Salt Lake Organizing Committee for the Olympic Winter
2201 Games of 2002;]
2202 [(ii) exclusively used by:]
2203 [(A) an officer, a trustee, or an employee of the Salt Lake Organizing Committee for
2204 the Olympic Winter Games of 2002; or]
2205 [(B) a volunteer supervised by the Salt Lake Organizing Committee for the Olympic
2206 Winter Games of 2002; and]
2207 [(iii) for which the Salt Lake Organizing Committee for the Olympic Winter Games of
2208 2002 does not receive reimbursement.]
2209 (2) Subject to the limitations of Subsection (1), a governing body of a municipality
2210 may, by ordinance, increase or decrease the transient room tax under this part.
2211 (3) A governing body of a municipality shall regulate the transient room tax under this
2212 part by ordinance.
2213 (4) Revenues generated by the transient room tax under this part may be used for
2214 general fund purposes.
2215 Section 15. Section 59-12-353 is amended to read:
2216 59-12-353. Additional municipal transient room tax to repay bonded or other
2217 indebtedness.
2218 (1) [(a)] Subject to the limitations of Subsection (2), the governing body of a
2219 municipality may, in addition to the municipal transient room tax authorized under Section
2220 59-12-352 , impose a transient room tax on the rents described in Subsection 59-12-352 (1)[(a)]
2221 in an amount that is less than or equal to 1/2% if the governing body of the municipality:
2222 [(i)] (a) before January 1, 1996, levied and collected a license fee or tax under Section
2223 10-1-203 ; and
2224 [(ii)] (b) before January 1, 1997, took official action to obligate the municipality in
2225 reliance on the license fees or taxes under Subsection (1)(a)[(i)] to the payment of debt service
2226 on bonds or other indebtedness, including lease payments under a lease purchase agreement.
2227 [(b) A governing body of a municipality imposing a tax under this section shall impose
2228 the tax on the rents described in Subsection 59-12-352 (1)(a) relating to the Olympic Winter

2229 Games of 2002 made to or by an organization exempt from federal income taxation under
2230 Section 501(c)(3), Internal Revenue Code, except for rents described in Subsection
2231 59-12-352 (1)(a):]
2232 [(i) paid for in full by the Salt Lake Organizing Committee for the Olympic Winter
2233 Games of 2002;]
2234 [(ii) exclusively used by:]
2235 [(A) an officer, a trustee, or an employee of the Salt Lake Organizing Committee for
2236 the Olympic Winter Games of 2002; or]
2237 [(B) a volunteer supervised by the Salt Lake Organizing Committee for the Olympic
2238 Winter Games of 2002; and]
2239 [(iii) for which the Salt Lake Organizing Committee for the Olympic Winter Games of
2240 2002 does not receive reimbursement.]
2241 (2) The governing body of a municipality may impose the transient room tax under this
2242 section until the sooner of:
2243 (a) the day on which the following have been paid in full:
2244 (i) the debt service on bonds or other indebtedness, including lease payments under a
2245 lease purchase agreement described in Subsection (1)[(a)(ii)] (b); and
2246 (ii) refunding obligations that the municipality incurred as a result of the debt service
2247 on bonds or other indebtedness, including lease payments under a lease purchase agreement
2248 described in Subsection (1)[(a)(ii)] (b); or
2249 (b) 25 years from the day on which the municipality levied the transient room tax under
2250 this section.
2251 Section 16. Section 59-12-603 (Effective 07/01/04) is amended to read:
2252 59-12-603 (Effective 07/01/04). County tax -- Bases -- Rates -- Use of revenues --
2253 Collection -- Adoption of ordinance required -- Administration -- Distribution --
2254 Enactment or repeal of tax or tax rate change -- Effective date -- Notice requirements.
2255 (1) In addition to any other taxes, a county legislative body may, as provided in this
2256 part, impose a tourism, recreation, cultural, and convention tax as follows:
2257 (a) (i) a county legislative body of any county may impose a tax of not to exceed 3% on
2258 all short-term leases and rentals of motor vehicles not exceeding 30 days, except for leases and
2259 rentals of motor vehicles made for the purpose of temporarily replacing a person's motor

2260 vehicle that is being repaired pursuant to a repair or an insurance agreement;
2261 (ii) beginning on or after January 1, 1999, a county legislative body of any county
2262 imposing a tax under Subsection (1)(a)(i) may, in addition to imposing the tax under
2263 Subsection (1)(a)(i), impose a tax of not to exceed 4% on all short-term leases and rentals of
2264 motor vehicles not exceeding 30 days, except for leases and rentals of motor vehicles made for
2265 the purpose of temporarily replacing a person's motor vehicle that is being repaired pursuant to
2266 a repair or an insurance agreement;
2267 (b) a county legislative body of any county may impose a tax of not to exceed 1% of all
2268 sales of prepared foods and beverages that are sold by restaurants; and
2269 (c) a county legislative body of any county may impose a tax of not to exceed 1/2% of
2270 the rent for every occupancy of a suite or room:
2271 (i) on the following entities doing business as motor courts, motels, hotels, inns, or
2272 providing similar public accommodations:
2273 (A) a person;
2274 (B) a company;
2275 (C) a corporation; or
2276 (D) a person, group, or organization similar to Subsections (1)(c)(i)(A) through (C);
2277 and
2278 (ii) if the suite or room is regularly rented for less than 30 consecutive days.
2279 (2) The revenue from the imposition of the taxes provided for in Subsections (1)(a)
2280 through (c) may be used for the purposes of financing tourism promotion, and the
2281 development, operation, and maintenance of tourist, recreation, cultural, and convention
2282 facilities as defined in Section 59-12-602 .
2283 (3) The tax imposed under Subsection (1)(c) shall be in addition to the transient room
2284 tax imposed under Part 3, Transient Room Tax, and may be imposed only by a county of the
2285 first class.
2286 (4) (a) (i) Except as provided in Subsection (4)(a)(ii), a tax imposed under this part
2287 shall be levied at the same time and collected in the same manner as provided in Part 2, Local
2288 Sales and Use Tax Act.
2289 (ii) Notwithstanding Subsection (4)(a)(i), a tax under this part is not subject to
2290 Subsections 59-12-205 (2) through (5).

2291 (b) A tax imposed under this part may be pledged as security for bonds, notes, or other
2292 evidences of indebtedness incurred by a county under Title 11, Chapter 14, Utah Municipal
2293 Bond Act, to finance tourism, recreation, cultural, and convention facilities.
2294 (5) (a) In order to impose the tax under Subsection (1), each county legislative body
2295 shall annually adopt an ordinance imposing the tax.
2296 (b) [(i)] The ordinance under Subsection (5)(a) shall include provisions substantially
2297 the same as those contained in Part 1, Tax Collection, except that the tax shall be imposed only
2298 on those items and sales described in Subsection (1).
2299 [(ii) A county legislative body imposing a tax under this part shall impose the tax as
2300 provided in this section on the leases, rentals, and sales described in Subsection (1) relating to
2301 the Olympic Winter Games of 2002 made to or by an organization exempt from federal income
2302 taxation under Section 501(c)(3), Internal Revenue Code, except for leases, rentals, and sales
2303 described in Subsection (1):]
2304 [(A) paid for in full by the Salt Lake Organizing Committee for the Olympic Winter
2305 Games of 2002;]
2306 [(B) exclusively used by:]
2307 [(I) an officer, a trustee, or an employee of the Salt Lake Organizing Committee for the
2308 Olympic Winter Games of 2002; or]
2309 [(II) a volunteer supervised by the Salt Lake Organizing Committee for the Olympic
2310 Winter Games of 2002; and]
2311 [(C) for which the Salt Lake Organizing Committee for the Olympic Winter Games of
2312 2002 does not receive reimbursement.]
2313 (c) The name of the county as the taxing agency shall be substituted for that of the state
2314 where necessary, and an additional license is not required if one has been or is issued under
2315 Section 59-12-106 .
2316 (6) In order to maintain in effect its tax ordinance adopted under this part, each county
2317 legislative body shall, within 30 days of any amendment of any applicable provisions of Part 1,
2318 Tax Collection, adopt amendments to its tax ordinance to conform with the applicable
2319 amendments to Part 1, Tax Collection.
2320 (7) The commission shall:
2321 (a) administer, collect, and enforce the tax authorized under this part pursuant to:

2322 (i) the same procedures used to administer, collect, and enforce the sales and use tax
2323 under Part 1, Tax Collection; and
2324 (ii) Chapter 1, General Taxation Policies;
2325 (b) (i) except as provided in Subsection (7)(c), for a tax under this part other than the
2326 tax under Subsection (1)(a)(ii), distribute the revenues to the county imposing the tax; and
2327 (ii) except as provided in Subsection (7)(c), for a tax under Subsection (1)(a)(ii),
2328 distribute the revenues according to the distribution formula provided in Subsection (8); and
2329 (c) deduct from the distributions under Subsection (7)(b) an administrative charge for
2330 collecting the tax as provided in Section 59-12-206 .
2331 (8) The commission shall distribute the revenues generated by the tax under Subsection
2332 (1)(a)(ii) to each county collecting a tax under Subsection (1)(a)(ii) according to the following
2333 formula:
2334 (a) the commission shall distribute 70% of the revenues based on the percentages
2335 generated by dividing the revenues collected by each county under Subsection (1)(a)(ii) by the
2336 total revenues collected by all counties under Subsection (1)(a)(ii); and
2337 (b) the commission shall distribute 30% of the revenues based on the percentages
2338 generated by dividing the population of each county collecting a tax under Subsection (1)(a)(ii)
2339 by the total population of all counties collecting a tax under Subsection (1)(a)(ii).
2340 (9) (a) For purposes of this Subsection (9):
2341 (i) "Annexation" means an annexation to a county under Title 17, Chapter 2,
2342 Annexation to County.
2343 (ii) "Annexing area" means an area that is annexed into a county.
2344 (b) (i) Except as provided in Subsection (9)(c), if, on or after July 1, 2004, a county
2345 enacts or repeals a tax or changes the rate of a tax under this part, the enactment, repeal, or
2346 change shall take effect:
2347 (A) on the first day of a calendar quarter; and
2348 (B) after a 90-day period beginning on the date the commission receives notice meeting
2349 the requirements of Subsection (9)(b)(ii) from the county.
2350 (ii) The notice described in Subsection (9)(b)(i)(B) shall state:
2351 (A) that the county will enact or repeal a tax or change the rate of a tax under this part;
2352 (B) the statutory authority for the tax described in Subsection (9)(b)(ii)(A);

2353 (C) the effective date of the tax described in Subsection (9)(b)(ii)(A); and
2354 (D) if the county enacts the tax or changes the rate of the tax described in Subsection
2355 (9)(b)(ii)(A), the rate of the tax.
2356 (c) (i) Notwithstanding Subsection (9)(b)(i), for a transaction described in Subsection
2357 (9)(c)(iii), the enactment of a tax or a tax rate increase shall take effect on the first day of the
2358 first billing period:
2359 (A) that begins after the effective date of the enactment of the tax or the tax rate
2360 increase; and
2361 (B) if the billing period for the transaction begins before the effective date of the
2362 enactment of the tax or the tax rate increase imposed under Subsection (1).
2363 (ii) Notwithstanding Subsection (9)(b)(i), for a transaction described in Subsection
2364 (9)(c)(iii), the repeal of a tax or a tax rate decrease shall take effect on the first day of the last
2365 billing period:
2366 (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
2367 and
2368 (B) if the billing period for the transaction begins before the effective date of the repeal
2369 of the tax or the tax rate decrease imposed under Subsection (1).
2370 (iii) Subsections (9)(c)(i) and (ii) apply to transactions subject to a tax under:
2371 (A) Subsection 59-12-103 (1)(e);
2372 (B) Subsection 59-12-103 (1)(i); or
2373 (C) Subsection 59-12-103 (1)(k).
2374 (d) (i) Except as provided in Subsection (9)(e), if, for an annexation that occurs on or
2375 after July 1, 2004, the annexation will result in the enactment, repeal, or change in the rate of a
2376 tax under this part for an annexing area, the enactment, repeal, or change shall take effect:
2377 (A) on the first day of a calendar quarter; and
2378 (B) after a 90-day period beginning on the date the commission receives notice meeting
2379 the requirements of Subsection (9)(d)(ii) from the county that annexes the annexing area.
2380 (ii) The notice described in Subsection (9)(d)(i)(B) shall state:
2381 (A) that the annexation described in Subsection (9)(d)(i) will result in an enactment,
2382 repeal, or change in the rate of a tax under this part for the annexing area;
2383 (B) the statutory authority for the tax described in Subsection (9)(d)(ii)(A);

2384 (C) the effective date of the tax described in Subsection (9)(d)(ii)(A); and
2385 (D) if the county enacts the tax or changes the rate of the tax described in Subsection
2386 (9)(d)(ii)(A), the rate of the tax described in Subsection (9)(d)(ii)(A).
2387 (e) (i) Notwithstanding Subsection (9)(d)(i), for a transaction described in Subsection
2388 (9)(e)(iii), the enactment of a tax or a tax rate increase shall take effect on the first day of the
2389 first billing period:
2390 (A) that begins after the effective date of the enactment of the tax or the tax rate
2391 increase; and
2392 (B) if the billing period for the transaction begins before the effective date of the
2393 enactment of the tax or the tax rate increase imposed under Subsection (1).
2394 (ii) Notwithstanding Subsection (9)(d)(i), for a transaction described in Subsection
2395 (9)(e)(iii), the repeal of a tax or a tax rate decrease shall take effect on the first day of the last
2396 billing period:
2397 (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
2398 and
2399 (B) if the billing period for the transaction begins before the effective date of the repeal
2400 of the tax or the tax rate decrease imposed under Subsection (1).
2401 (iii) Subsections (9)(e)(i) and (ii) apply to transactions subject to a tax under:
2402 (A) Subsection 59-12-103 (1)(e);
2403 (B) Subsection 59-12-103 (1)(i); or
2404 (C) Subsection 59-12-103 (1)(k).
2405 Section 17. Section 59-12-1201 is amended to read:
2406 59-12-1201. Motor vehicle rental tax -- Rate -- Exemptions -- Collection --
2407 Deposits.
2408 (1) (a) Except as provided under Subsection (2), there is imposed a tax of 2.5% on all
2409 short-term leases and rentals of motor vehicles not exceeding 30 days.
2410 (b) The tax imposed in this section is in addition to all other state, county, or municipal
2411 fees and taxes imposed on rentals of motor vehicles.
2412 [(c) A tax under this part shall be imposed on the short-term leases and rentals
2413 described in Subsection (1)(a) relating to the Olympic Winter Games of 2002 made to or by an
2414 organization exempt from federal income taxation under Section 501(c)(3), Internal Revenue

2415 Code, except for short-term leases and rentals described in Subsection (1)(a):]
2416 [(i) paid for in full by the Salt Lake Organizing Committee for the Olympic Winter
2417 Games of 2002;]
2418 [(ii) exclusively used by:]
2419 [(A) an officer, a trustee, or an employee of the Salt Lake Organizing Committee for
2420 the Olympic Winter Games of 2002; or]
2421 [(B) a volunteer supervised by the Salt Lake Organizing Committee for the Olympic
2422 Winter Games of 2002; and]
2423 [(iii) for which the Salt Lake Organizing Committee for the Olympic Winter Games of
2424 2002 does not receive reimbursement.]
2425 (2) A motor vehicle is exempt from the tax imposed under Subsection (1) if:
2426 (a) the motor vehicle is registered for a gross laden weight of 12,001 or more pounds;
2427 (b) the motor vehicle is rented as a personal household goods moving van; or
2428 (c) the lease or rental of the motor vehicle is made for the purpose of temporarily
2429 replacing a person's motor vehicle that is being repaired pursuant to a repair agreement or an
2430 insurance agreement.
2431 (3) (a) The commission shall administer, collect, and enforce the tax authorized under
2432 this section pursuant to the same procedures used in the administration, collection, and
2433 enforcement of the sales and use tax under Title 59, Chapter 12, Part 1, Tax Collection, and
2434 Title 59, Chapter 1, General Taxation Policies.
2435 (b) The commission may retain a maximum of 1-1/2% of the tax collected under this
2436 section for the costs of rendering its services under this section.
2437 (c) Except as provided under Subsection (3)(b), all revenue received by the
2438 commission under this section shall be deposited daily with the state treasurer and credited
2439 monthly to the Transportation Corridor Preservation Revolving Loan Fund under Section
2440 72-2-117 .
2441 (4) The tax under this section is not subject to the distribution of tax revenues provided
2442 under Sections 59-12-205 and 59-12-103 .
2443 Section 18. Section 63-55b-163 is amended to read:
2444 63-55b-163. Repeal dates, Title 63.
2445 (1) Section 63-38a-105 is repealed July 1, 2007.

2446 [(2) Section 63-56-35.9 is repealed July 1, 2005.]
2447 [(3)] (2) Sections 63-63b-101 and 63-63b-102 are repealed on July 1, 2007.
2448 [(4)] (3) Title 63, Chapter 95, Parts 2 and 3 are repealed July 1, 2004.
2449 Section 19. Section 67-22-2 is amended to read:
2450 67-22-2. Compensation -- Other state officers.
2451 (1) The governor shall establish salaries for the following state officers within the
2452 following salary ranges fixed by the Legislature:
2453 State Officer Salary Range
2454 Commissioner of Agriculture and Food $64,600 - $87,500
2455 Commissioner of Insurance $64,600 - $87,500
2456 Commissioner of the Labor Commission $64,600 - $87,500
2457 Director, Alcoholic Beverage Control
2458 Commission $64,600 - $87,500
2459 Commissioner, Department of
2460 Financial Institutions $64,600 - $87,500
2461 Members, Board of Pardons and Parole $64,600 - $87,500
2462 Executive Director, Department
2463 of Commerce $64,600 - $87,500
2464 Executive Director, Commission on
2465 Criminal and Juvenile Justice $64,600 - $87,500
2466 Adjutant General $64,600 - $87,500
2467 Chair, Tax Commission $69,900 - $94,300
2468 Commissioners, Tax Commission $69,900 - $94,300
2469 Executive Director, Department of
2470 Community and Economic
2471 Development $69,900 - $94,300
2472 Executive Director, Tax Commission $69,900 - $94,300
2473 Chair, Public Service Commission $69,900 - $94,300
2474 Commissioner, Public Service Commission $69,900 - $94,300
2475 Executive Director, Department
2476 of Corrections $76,000 - $102,600

2477 Commissioner, Department of Public Safety $76,000 - $102,600
2478 Executive Director, Department of
2479 Natural Resources $76,000 - $102,600
2480 Director, Governor's Office of Planning
2481 and Budget $76,000 - $102,600
2482 Executive Director, Department of
2483 Administrative Services $76,000 - $102,600
2484 Executive Director, Department of
2485 Human Resource Management $76,000 - $102,600
2486 Executive Director, Department of
2487 Environmental Quality $76,000 - $102,600
2488 [State Olympic Officer $82,800 - $111,800]
2489 Executive Director, Department of
2490 Workforce Services $82,800 - $111,800
2491 Executive Director, Department of
2492 Health $82,800 - $111,800
2493 Executive Director, Department
2494 of Human Services $82,800 - $111,800
2495 Executive Director, Department
2496 of Transportation $82,800 - $111,800
2497 Chief Information Officer $82,800 - $111,800
2498 (2) (a) The Legislature fixes benefits for the state offices outlined in Subsection (1) as
2499 follows:
2500 (i) the option of participating in a state retirement system established by Title 49, Utah
2501 State Retirement and Insurance Benefit Act, or in a deferred compensation plan administered
2502 by the State Retirement Office in accordance with the Internal Revenue Code and its
2503 accompanying rules and regulations;
2504 (ii) health insurance;
2505 (iii) dental insurance;
2506 (iv) basic life insurance;
2507 (v) unemployment compensation;

2508 (vi) workers' compensation;
2509 (vii) required employer contribution to Social Security;
2510 (viii) long-term disability income insurance;
2511 (ix) the same additional state-paid life insurance available to other noncareer service
2512 employees;
2513 (x) the same severance pay available to other noncareer service employees;
2514 (xi) the same sick leave, converted sick leave, educational allowances, and holidays
2515 granted to Schedule B state employees, and the same annual leave granted to Schedule B state
2516 employees with more than ten years of state service;
2517 (xii) the option to convert accumulated sick leave to cash or insurance benefits as
2518 provided by law or rule upon resignation or retirement according to the same criteria and
2519 procedures applied to Schedule B state employees;
2520 (xiii) the option to purchase additional life insurance at group insurance rates according
2521 to the same criteria and procedures applied to Schedule B state employees; and
2522 (xiv) professional memberships if being a member of the professional organization is a
2523 requirement of the position.
2524 (b) Each department shall pay the cost of additional state-paid life insurance for its
2525 executive director from its existing budget.
2526 (3) The Legislature fixes the following additional benefits:
2527 (a) for the executive director of the State Tax Commission a vehicle for official and
2528 personal use;
2529 (b) for the executive director of the Department of Transportation a vehicle for official
2530 and personal use;
2531 (c) for the executive director of the Department of Natural Resources a vehicle for
2532 commute and official use;
2533 (d) for the Commissioner of Public Safety:
2534 (i) an accidental death insurance policy if POST certified; and
2535 (ii) a public safety vehicle for official and personal use;
2536 (e) for the executive director of the Department of Corrections:
2537 (i) an accidental death insurance policy if POST certified; and
2538 (ii) a public safety vehicle for official and personal use;

2539 (f) for the Adjutant General a vehicle for official and personal use; and
2540 (g) for each member of the Board of Pardons and Parole a vehicle for commute and
2541 official use.
2542 (4) (a) The governor has the discretion to establish a specific salary for each office
2543 listed in Subsection (1), and, within that discretion, may provide salary increases within the
2544 range fixed by the Legislature.
2545 (b) The governor shall apply the same overtime regulations applicable to other FLSA
2546 exempt positions.
2547 (c) The governor may develop standards and criteria for reviewing the performance of
2548 the state officers listed in Subsection (1).
2549 (5) Salaries for other Schedule A employees, as defined in Section 67-19-15 , which are
2550 not provided for in this chapter, or in Title 67, Chapter 8, Utah Executive and Judicial Salary
2551 Act, shall be established as provided in Section 67-19-15 .
2552 Section 20. Repealer.
2553 This bill repeals:
2554 Section 63-56-35.9, Purchase of tangible assets used during Olympics.
2555 Section 21. Effective date.
2556 This bill takes effect on July 1, 2004, except that Section 59-1-403 (Contingently
2557 Effective 05/02/05) takes effect when Section 59-1-403 (Contingently Effective 05/02/05)
2558 takes effect under Laws of Utah 2003, Chapter 327.




Legislative Review Note
as of 1-8-04 9:22 AM

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

Office of Legislative Research and General Counsel