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MINUTES OF THE
SENATE REVENUE AND TAXATION STANDING COMMITTEE

THURSDAY, FEBRUARY 19, 2004
ROOM 131, STATE CAPITOL BUILDING

Members Present:    Sen. Curtis Bramble, Chair
    Sen. Gregory Bell
    Sen. David Gladwell.
    Sen. Howard A. Stephenson

Members Excused:    Sen. Ron Allen
    Sen. Leonard Blackham
    Sen. Mike Dmitrich
    Sen. Michael Waddoups
    
Staff Present:    Bryant Howe, Policy Analyst
    Jeanne Wride, Committee Secretary
    
Public Speakers Present:    Vic Arnold, Utah Education Association
    Mike Jerman, Utah Taxpayers Association
    Sarah Wilhelm, Utah Issues
    Steve Proper, Utah TV and Satellite Service
    Roger Tew, Utah League of Cities and Towns
    Kathy Ockey, Department of Corrections
    Mark Shurtleff, Attorney General
    Stephanie Peterson, ACLU of Utah
    Phil Dyer, attorney
    Molly Prince, citizen
    Ron Casper, National Federation of Independent Business
    Bruce Johnson, Utah State Tax Commission
    Lee Gardner, Salt Lake County Assessor
    Jim Olson, Utah Food Retailers Association
    Lynn Vellinga, Division of Finance
    Paula Plant, School Trust Lands Specialist

A list of visitors and a copy of handouts are filed withthe committee minutes.

Chair Bramble called the meeting to order at 4:30 p.m.
    
APPROVAL OF MINUTES:

    MOTION:
Sen. Gladwell moved to approve the minutes of February 17, 2004.

    The motion passed unanimously with Sen. Stephenson absent for the vote.

    Sen. Gladwell assumed the committee chair.



1.     H.B. 74 EXTENSION OF SALES AND USE TAX EXEMPTION FOR STEEL INDUSTRY (Rep. B. Ferry)

    
Sen. Bramble presented the bill to the committee.

    Vic Arnold, Utah Education Association, spoke in opposition to the bill and     Mike Jerman, Utah Taxpayers Association, spoke in favor.
         
    MOTION: Sen. Bramble moved to pass H. B. 74 out of committee with a favorable recommendation.

    The motion passed unanimously with Sen. Stephenson absent for the vote..

2.     H.B. 38 SALES AND USE TAX - REPEAL OF CABLE AND SATELLITE SERVICE (Rep. Curtis)

    
Sen. Bramble presented the bill to the committee.

    
Sarah Wilhelm, Utah Issues, spoke in opposition. Steve Proper, Utah TV and Satellite     Service, and Mike Jerman, Utah Taxpayers Association, spoke in favor of the bill. Roger     Tew, Utah League of Cities and Towns, spoke to the bill.

    MOTION: Sen. Bramble moved to pass H. B. 38 out of committee with a favorable recommendation.

    The motion passed with Sen. Stephenson absent for the vote.

     MOTION: Sen. Bramble moved that the committee recommend that the issue of apportionment of corporate taxable income be referred for interim study.

    The motion passed unanimously with Sen. Stephenson absent for the vote.

    Sen. Bramble assumed the committee chair.
    
3.    H.B. 239 SEXUALLY EXPLICIT BUSINESS AND ESCORT SERVICE TAX (Rep.     Bourdeaux)

    Rep. Bourdeaux presented the bill to the committee.

    Kathy Ockey, Department of Corrections; Mark Shurtleff, Attorney General; and Molly     Prince, social worker; spoke in favor of the bill. Phil Dyer, attorney; and Stephanie Peterson,     ACLU; spoke in opposition.



     MOTION: Sen. Stephenson moved to pass H. B. 239 out of committee with a favorable     recommendation.

    The motion passed unanimously.

4.    1st SUB. H.B. 66 STATE SPENDING LIMITATIONS AMENDMENTS (Rep. G.     Hughes)

    
Rep. Hughes presented the bill to the committee.

    
Ron Casper, National Federation of Independent Business spoke in favor and Sarah     Wilhelm, Utah Issues, spoke in opposition.

     MOTION: Sen. Stephenson moved to pass 1st Sub. H.B.66 out of committee with a     favorable recommendation.

    The motion passed unanimously with Sen. Gladwell absent for the vote.

5.    S.B. 206 PROPERTY TAX AMENDMENTS (Sen. H. Stephenson)     
    Sen. Stephenson presented the bill to the committee.

    Bruce Johnson, Utah State Tax Commission, and Lee Gardner, Salt Lake County Assessor,     spoke to the bill.

    The motion passed unanimously with Sen.Gladwell absent for the vote.

6.    H.B. 184 VOYEURISM AMENDMENTS (Rep. B. Goodfellow)

    
Rep. Goodfellow presented the bill to the committee.

     MOTION: Sen. Bell moved to pass H.B. 184 out of committee with a favorable     recommendation.

    The motion passed unanimously with Sen.Gladwell absent for the vote.
    MOTION: Sen. Bell moved to place H.B. 184 on the Consent Calendar. The motion passed unanimously with Sen.Gladwell absent for the vote.

    Sen. Stephenson assumed the committee chair.

7.    1st SUB. H. B. 202 MAIL ORDER TOBACCO SALES AMENDMENTS (Rep. E.     Hutchings)


    
    
Sen. Bramble presented the bill to the committee.

    Jim Olson, Utah Food Retailers Association, spoke to the bill.

     MOTION: Sen. Bramble moved to pass 1st Sub. H.B. 202 out of committee with a favorable     recommendation.

    The motion passed unanimously with Sen. Gladwell absent for the vote.

     MOTION: Sen. Bramble moved to place 1st Sub. H. B. 202 on the Consent Calendar.

    The motion passed with Sen. Gladwell absent for the vote.

    Sen. Bramble assumed the committee chair.

8.    H. B. 78 SCHOOL LAND TRUST PROGRAM RESTRICTED ACCOUNT (Rep. D.     Clark)

    
Rep. Clark presented the bill to the committee.

    
Lynn Vellinga, Utah State Department of Finance and Paula Plant, School Trust Lands     Specialist, spoke to the bill.

     MOTION: Sen. Bell moved to pass H. B. 78 out of committee with a favorable     recommendation.

    The motion passed with Sen. Gladwell absent for the vote.

     MOTION: Sen. Bell moved to place H. B. 78 on the Consent Calendar.

    The motion passed with Sen. Gladwell absent for the vote.
    
9.    H. B. 242 FUNDS CONSOLIDATION ACT - DEPOSIT AMENDMENTS (Rep. D.     Clark)

    
Rep. Clark presented the bill to the committee.

     MOTION: Sen. Bell moved to pass H.B. 242 out of committee with a favorable     recommendation.

    The motion passed with Sen. Gladwell absent for the vote.



     MOTION: Sen. Bell moved to place H.B. 242 on the Consent Calendar.

    The motion passed with Sen. Gladwell absent for the vote.
    
10.    3rd Sub H. B. 231 REVIEW AND APPROVAL OF FEDERAL MONIES RECEIVED     BY THE STATE (Rep. C. Bennion)

    
Rep. Bennion presented the bill to the committee.

    MOTION:
Sen. Bramble moved to pass 3rd Sub. H.B. 231 out of committee with     favorable recommendation .

    
The motion passed unanimously with Sen. Gladwell absent for the vote.

     MOTION: Sen. Bramble moved to adjourn.

    The motion passed unanimously with Sen. Gladwell absent for the vote.

    Sen. Bramble adjourned the meeting at 5:45 p.m.

Minutes recorded by Jeanne Wride, Committee Secretary


        
            _______________________________
            Sen. Curtis Bramble, Committee Chair