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First Substitute S.B. 75

Senator L. Alma Mansell proposes the following substitute bill:


             1     
U STAR INITIATIVE

             2     
2006 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: L. Alma Mansell

             5     
House Sponsor: David Clark

             6     
             7      LONG TITLE
             8      General Description:
             9          This bill establishes a process for a Utah Science Technology and Research Initiative,
             10      authorizes the issuance of general obligation bonds for the construction of research
             11      buildings at Utah State University and the University of Utah, and appropriates monies
             12      for construction, administration, and operations.
             13      Highlighted Provisions:
             14          This bill:
             15          .    defines the intended scope of the Utah Science Technology and Research Project,
             16      including:
             17              .    construction of research buildings at Utah State University and the University of
             18      Utah;
             19              .    the creation of a technology outreach program delivered at strategic locations
             20      around Utah;
             21              .    the funding of research teams to conduct science and technology research; and
             22              .    requirements governing how revenues generated from the project will be
             23      allocated between the state, Utah State University, and the University of Utah;
             24          .    creates the Utah Science Technology and Research Governing Authority, defines its
             25      membership and its powers and duties;


             26          .    creates the Utah Science Technology and Research Governing Authority Advisory
             27      Council and defines its membership and its powers and duties;
             28          .    authorizes the Utah Science Technology and Research Governing Authority to hold
             29      title to its property;
             30          .    modifies the Bonding Code by authorizing the issuance and sale of $111,100,000 in
             31      general obligation bonds by the State Bonding Commission for construction of a
             32      Bio Innovations Research Institute at Utah State University and a Neuroscience and
             33      Biomedical Technology Research Building at the University of Utah;
             34          .    specifies the use of the general obligation bond proceeds and the manner of
             35      issuance;
             36          .    provides expressions of legislative intent; and
             37          .    establishes a salary range for the executive director of the Utah Science Technology
             38      and Research Governing Authority.
             39      Monies Appropriated in this Bill:
             40          This bill appropriates:
             41          .    $50,000,000 from income tax revenues for fiscal year 2007 only, to the Utah
             42      Science Technology and Research Governing Authority;
             43          .    as an ongoing appropriation subject to future budget constraints, $19,250,000 from
             44      the General Fund for fiscal year 2006-07, to the Utah Science Technology and
             45      Research Governing Authority; and
             46          .    redirects the ongoing appropriations made to Utah State University and the
             47      University of Utah for research teams to the Utah Science Technology and Research
             48      Governing Authority beginning in fiscal year 2007.
             49      Other Special Clauses:
             50          This bill takes effect on July 1, 2006.
             51      Utah Code Sections Affected:
             52      AMENDS:
             53          63A-5-204, as last amended by Chapter 34, Laws of Utah 2004
             54          67-22-2 (Effective 07/01/06), as last amended by Chapter 8, Laws of Utah 2005, First
             55      Special Session
             56      ENACTS:


             57          63-38g-101, Utah Code Annotated 1953
             58          63-38g-102, Utah Code Annotated 1953
             59          63-38g-201, Utah Code Annotated 1953
             60          63-38g-202, Utah Code Annotated 1953
             61          63-38g-203, Utah Code Annotated 1953
             62          63-38g-204, Utah Code Annotated 1953
             63          63-38g-301, Utah Code Annotated 1953
             64          63-38g-302, Utah Code Annotated 1953
             65          63-38g-303, Utah Code Annotated 1953
             66          63B-15-101, Utah Code Annotated 1953
             67     
             68      Be it enacted by the Legislature of the state of Utah:
             69          Section 1. Section 63-38g-101 is enacted to read:
             70     
CHAPTER 38g. UTAH SCIENCE TECHNOLOGY AND RESEARCH

             71     
GOVERNING AUTHORITY ACT

             72     
Part 1. General Provisions

             73          63-38g-101. Title.
             74          This chapter is known as the "Utah Science Technology and Research Governing
             75      Authority Act."
             76          Section 2. Section 63-38g-102 is enacted to read:
             77          63-38g-102. Definitions.
             78          As used in this chapter:
             79          (1) "Executive director" means the person appointed by the governing authority under
             80      Section 63-38g-201 .
             81          (2) "Commercialization revenues " means license fees, royalty fees, and other revenues
             82      received by a university as a result of commercial applications developed from the project, less:
             83          (a) the portion of those revenues allocated to the inventor; and
             84          (b) expenditures incurred by the university to legally protect the intellectual property.
             85          (3) "Governing authority" means the Utah Science Technology and Research
             86      Governing Authority created in Section 63-38g-301 .
             87          (4) "Project" means the Utah Science Technology and Research Project.


             88          (5) "Research buildings" means any of the buildings listed in Section 63-38g-201 .
             89          (6) "Research universities" means the University of Utah and Utah State University.
             90          (7) "Technology outreach program" means the program required by Section
             91      63-38g-202 .
             92          (8) "Utah Science Technology and Research Project" means the buildings and activities
             93      described in Part 2, Utah Science Technology and Research Project.
             94          Section 3. Section 63-38g-201 is enacted to read:
             95     
Part 2. Utah Science Technology and Research Project

             96          63-38g-201. Science technology research buildings.
             97          (1) As funding becomes available from the Legislature or other sources, the Utah
             98      Science Technology and Research Governing Authority created in Part 3 shall:
             99          (a) construct at Utah State University:
             100          (i) a Bio Innovations Research Institute;
             101          (ii) an Infectious Disease Research Center; and
             102          (iii) an Informatics/Computing Research Center; and
             103          (b) construct at the University of Utah:
             104          (i) a Neuroscience and Biomedical Technology Research Building; and
             105          (ii) an Information Technology and Bioinformatics Research Center.
             106          (2) The governing authority shall, subject to any restrictions or directions established
             107      by the Legislature, plan, design, and construct the buildings.
             108          (3) (a) Utah State University shall provide the land for the construction of science
             109      technology and research buildings on its campus.
             110          (b) The University of Utah shall provide the land for the construction of science
             111      technology and research buildings on its campus.
             112          (4) The governing authority shall hold title to the research buildings.
             113          (5) The governing authority may:
             114          (a) lease the buildings to Utah State University and the University of Utah;
             115          (b) require research teams to generate a certain amount of revenue from grants or other
             116      sources to contribute to the project; and
             117          (c) unless prohibited by law, deposit lease payments and other monies received from
             118      the universities and research teams with the state treasurer for deposit into the sinking funds


             119      created under Section 63B-1a-301 for debt service on the bonds issued to fund planning,
             120      design, and construction of the research buildings.
             121          Section 4. Section 63-38g-202 is enacted to read:
             122          63-38g-202. Technology outreach program.
             123          (1) As funding becomes available from the Legislature or other sources, the Utah
             124      Science Technology and Research Governing Authority created in Part 3 shall establish a
             125      technology outreach program at up to five locations distributed strategically throughout Utah.
             126          (2) (a) The governing authority shall ensure that the technology outreach program acts
             127      as a resource to:
             128          (i) broker ideas, new technologies, and services to entrepreneurs and businesses
             129      throughout a defined service area;
             130          (ii) engage local entrepreneurs and professors at applied technology centers, colleges,
             131      and universities by connecting them to Utah's research universities;
             132          (iii) screen business ideas and new technologies to ensure that the ones with the highest
             133      growth potential receive the most targeted services and attention;
             134          (iv) connect market ideas and technologies in new or existing businesses or industries
             135      or in regional colleges and universities with the expertise of Utah's research universities;
             136          (v) assist businesses, applied technology centers, colleges, and universities in
             137      developing commercial applications for their research; and
             138          (vi) disseminate and share discoveries and technologies emanating from Utah's
             139      research universities to local entrepreneurs, businesses, applied technology centers, colleges,
             140      and universities.
             141          (b) In designing and operating the technology outreach program, the governing
             142      authority shall work cooperatively with the Technology Commercialization Offices at Utah
             143      State University and the University of Utah.
             144          Section 5. Section 63-38g-203 is enacted to read:
             145          63-38g-203. Research teams.
             146          As funding becomes available from the Legislature or other sources, and subject to any
             147      restrictions or directions established by the Legislature, the governing authority shall allocate
             148      monies to Utah State University and the University of Utah to provide funding for research
             149      teams to conduct science and technology research.


             150          Section 6. Section 63-38g-204 is enacted to read:
             151          63-38g-204. Financial participation agreement.
             152          (1) In consideration of the monies and services provided or agreed to be provided, the
             153      state of Utah, Utah State University, and the University of Utah covenant and agree that they
             154      will allocate commercialization revenues as follows:
             155          (a) for the first $15,000,000 received:
             156          (i) $10,000,000 to Utah State University and the University of Utah, with the monies
             157      distributed proportionately based upon which university conducted the research that generated
             158      the license fees and royalty fees; and
             159          (ii) $5,000,000 to the Governor's Office of Economic Development for the Centers of
             160      Excellence program created by Chapter 38f, Part 7, Centers of Excellence Act; and
             161          (b) for all subsequent monies received:
             162          (i) 50% to Utah State University and the University of Utah, with the monies
             163      distributed proportionately based upon which university conducted the research that generated
             164      the license fees and royalty fees; and
             165          (ii) 50% to the governing authority or other entity designated by the state to be used
             166      for:
             167          (A) the Centers of Excellence program created by Chapter 38f, Part 7, Centers of
             168      Excellence Act;
             169          (B) replacement of equipment in the research buildings;
             170          (C) recruiting and paying additional research teams; and
             171          (D) construction of additional research buildings.
             172          (2) The Governor's Office of Economic Development shall:
             173          (a) distribute that portion of the $5,000,000 allocated to the Centers of Excellence
             174      program by Subsection (1)(a)(ii) to Utah State University and the University of Utah based
             175      upon which institution performed the research that generated the commercialization revenues;
             176      and
             177          (b) credit those amounts to the universities as matching funds under Subsection
             178      63-38f-701 (2).
             179          Section 7. Section 63-38g-301 is enacted to read:
             180     
Part 3. Utah Science Technology and Research Governing Authority


             181          63-38g-301. The Utah Science Technology and Research Governing Authority --
             182      Creation -- Membership -- Meetings -- Staff.
             183          (1) There is created the Utah Science Technology and Research Governing Authority
             184      consisting of the state treasurer and the following eight members appointed as follows with the
             185      consent of the Senate:
             186          (a) three appointed by the governor;
             187          (b) one appointed by the president of the Senate;
             188          (c) two appointed by the speaker of the House of Representatives; and
             189          (d) two appointed by the commissioner of higher education.
             190          (2) (a) (i) The eight appointed members shall serve four-year staggered terms.
             191          (ii) The appointed members may not serve more than two full consecutive terms.
             192          (b) Notwithstanding Subsection (2)(a)(i), the terms of the first members of the
             193      governing authority shall be staggered by lot so that half of the initial members serve two-year
             194      terms and half serve four-year terms.
             195          (3) Vacancies in the appointed positions on the governing authority shall be filled by
             196      the appointing authority with consent of the Senate for the unexpired term.
             197          (4) (a) The governor shall select the chair of the governing authority to serve a one-year
             198      term.
             199          (b) The president of the Senate and the speaker of the House of Representatives shall
             200      jointly select the vice chair of the governing authority to serve a one-year term.
             201          (5) The governing authority shall meet at least monthly and may meet more frequently
             202      at the request of a majority of the members of the governing authority.
             203          (6) Five members of the governing authority are a quorum.
             204          (7) (a) Members who are not government employees shall receive no compensation or
             205      benefits for their services, but may receive per diem and expenses incurred in the performance
             206      of the member's official duties at the rates established by the Division of Finance under
             207      Sections 63A-3-106 and 63A-3-107 .
             208          (b) Members may decline to receive per diem and expenses for their service.
             209          (8) (a) (i) The governing authority shall hire a full-time executive director to provide
             210      staff support for the governing authority.
             211          (ii) The executive director is an at-will employee who may be terminated without cause


             212      by the governor or by majority vote of the governing authority.
             213          (b) The Governor's Office of Economic Development shall provide office space and
             214      administrative support for the executive director.
             215          Section 8. Section 63-38g-302 is enacted to read:
             216          63-38g-302. Governing authority powers.
             217          (1) The governing authority shall:
             218          (a) ensure that funds appropriated and received for research and development at the
             219      research universities and for the technology outreach program are used appropriately,
             220      effectively, and efficiently in accordance with the intent of the Legislature;
             221          (b) in cooperation with the universities' administrations, expand key research at the two
             222      research universities;
             223          (c) enhance technology transfer and commercialization of research and technologies
             224      developed at the research universities to create high-quality jobs and new industries in the
             225      private sector in Utah;
             226          (d) review state and local economic development plans and appropriations to ensure
             227      that the project and appropriations do not duplicate existing or planned programs;
             228          (e) establish economic development objectives for the project;
             229          (f) by following the procedures and requirements of Title 63, Chapter 46a, Utah
             230      Administrative Rulemaking Act, make rules for allocating monies appropriated to it for
             231      research teams and for the commercialization of new technology between Utah State
             232      University and the University of Utah;
             233          (g) verify that the project is being enhanced by research grants and that it is meeting the
             234      governing authority's economic development objectives;
             235          (h) monitor all research plans that are part of the project at the research universities to
             236      determine that appropriations are being spent in accordance with legislative intent and to
             237      maximize the benefit and return to the state;
             238          (i) develop methods and incentives to encourage investment in and contributions to the
             239      project from the private sector; and
             240          (j) annually report and make recommendations to:
             241          (i) the governor;
             242          (ii) the Executive Appropriations Committee; and


             243          (iii) the Economic Development Appropriations Subcommittee.
             244          (2) The governing authority may:
             245          (a) in addition to monies received by it from the Legislature, receive contributions from
             246      any source in the form of money, property, labor, or other things of value for the project;
             247          (b) subject to any restrictions imposed by the donation, appropriations, or bond
             248      authorizations, allocate monies received by it among the research universities, technology
             249      outreach program, and technology transfer offices to support commercialization and technology
             250      transfer to the private sector; or
             251          (c) enter into agreements necessary to obtain private equity investment in the project.
             252          Section 9. Section 63-38g-303 is enacted to read:
             253          63-38g-303. Utah Science Technology and Research Governing Authority
             254      Advisory Council -- Chair -- Meetings.
             255          (1) There is created the Utah Science Technology and Research Governing Authority
             256      Advisory Council consisting of 12 members appointed as follows:
             257          (a) one member appointed by the director of the Governor's Office of Economic
             258      Development;
             259          (b) one member appointed by the Utah Information Technology Association;
             260          (c) one member appointed by the Utah Nanotechnology Initiative;
             261          (d) one member appointed by the Economic Development Corporation of Utah;
             262          (e) one member appointed by the Utah Life Science Association;
             263          (f) one member appointed by the Salt Lake Area Chamber of Commerce;
             264          (g) one member appointed by the Provo-Orem Chamber of Commerce;
             265          (h) one member appointed by the Davis Area Chamber of Commerce;
             266          (i) one member appointed by the Ogden-Weber Chamber of Commerce;
             267          (j) one member appointed by the Cache Chamber of Commerce;
             268          (k) one member appointed by the St. George Area Chamber of Commerce; and
             269          (l) one member appointed by the Vernal Chamber of Commerce.
             270          (2) The governing authority shall consult with the advisory council about the project.
             271          (3) The advisory council shall select a chair from among its members to serve a
             272      two-year term.
             273          (4) The advisory council shall convene whenever the governing authority requests a


             274      meeting for consultation.
             275          (5) (a) (i) Members who are not government employees shall receive no compensation
             276      or benefits for their services, but may receive per diem and expenses incurred in the
             277      performance of the member's official duties at the rates established by the Division of Finance
             278      under Sections 63A-3-106 and 63A-3-107 .
             279          (ii) Members may decline to receive per diem and expenses for their service.
             280          (b) (i) State government officer and employee members who do not receive salary, per
             281      diem, or expenses from their agency for their service may receive per diem and expenses
             282      incurred in the performance of their official duties from the committee at the rates established
             283      by the Division of Finance under Sections 63A-3-106 and 63A-3-107 .
             284          (ii) State government officer and employee members may decline to receive per diem
             285      and expenses for their service.
             286          Section 10. Section 63A-5-204 is amended to read:
             287           63A-5-204. Specific powers and duties of director.
             288          (1) As used in this section, "capitol hill facilities" and "capitol hill grounds" have the
             289      same meaning as provided in Section 63C-9-102 .
             290          (2) (a) The director shall:
             291          (i) recommend rules to the executive director for the use and management of facilities
             292      and grounds owned or occupied by the state for the use of its departments and agencies;
             293          (ii) supervise and control the allocation of space, in accordance with legislative
             294      directive through annual appropriations acts or other specific legislation, to the various
             295      departments, commissions, institutions, and agencies in all buildings or space owned, leased, or
             296      rented by or to the state, except capitol hill facilities and capitol hill grounds and except as
             297      otherwise provided by law;
             298          (iii) comply with the procedures and requirements of Title 63A, Chapter 5, Part 3,
             299      Division of Facilities Construction and Management Leasing;
             300          (iv) except as provided in Subsection (2)(b), acquire, as authorized by the Legislature
             301      through the appropriations act or other specific legislation, and hold title to, in the name of the
             302      division, all real property, buildings, fixtures, or appurtenances owned by the state or any of its
             303      agencies;
             304          (v) adopt and use a common seal, of a form and design determined by the director, and


             305      of which courts shall take judicial notice;
             306          (vi) file a description and impression of the seal with the Division of Archives;
             307          (vii) collect and maintain all deeds, abstracts of title, and all other documents
             308      evidencing title to or interest in property belonging to the state or any of its departments, except
             309      institutions of higher education and the School and Institutional Trust Lands Administration;
             310          (viii) report all properties acquired by the state, except those acquired by institutions of
             311      higher education, to the director of the Division of Finance for inclusion in the state's financial
             312      records;
             313          (ix) before charging a rate, fee, or other amount for services provided by the division's
             314      internal service fund to an executive branch agency, or to a subscriber of services other than an
             315      executive branch agency:
             316          (A) submit the proposed rates, fees, and cost analysis to the Rate Committee
             317      established in Section 63A-1-114 ; and
             318          (B) obtain the approval of the Legislature as required by Section 63-38-3.5 ;
             319          (x) conduct a market analysis by July 1, 2005, and periodically thereafter, of proposed
             320      rates and fees, which analysis shall include a comparison of the division's rates and fees with
             321      the fees of other public or private sector providers where comparable services and rates are
             322      reasonably available; and
             323          (xi) take all other action necessary for carrying out the purposes of this chapter.
             324          (b) Legislative approval is not required for acquisitions by the division that cost less
             325      than $250,000.
             326          (3) (a) The director shall direct or delegate maintenance and operations, preventive
             327      maintenance, and facilities inspection programs and activities for any department, commission,
             328      institution, or agency, except:
             329          (i) the State Capitol Preservation Board; and
             330          (ii) state institutions of higher education.
             331          (b) The director may choose to delegate responsibility for these functions only when
             332      the director determines that:
             333          (i) the department or agency has requested the responsibility;
             334          (ii) the department or agency has the necessary resources and skills to comply with
             335      facility maintenance standards approved by the State Building Board; and


             336          (iii) the delegation would result in net cost savings to the state as a whole.
             337          (c) The State Capitol Preservation Board and state institutions of higher education are
             338      exempt from Division of Facilities Construction and Management oversight.
             339          (d) Each state institution of higher education shall comply with the facility
             340      maintenance standards approved by the State Building Board.
             341          (e) Except for the State Capitol Preservation Board, agencies and institutions that are
             342      exempt from division oversight shall annually report their compliance with the facility
             343      maintenance standards to the division in the format required by the division.
             344          (f) The division shall:
             345          (i) prescribe a standard format for reporting compliance with the facility maintenance
             346      standards;
             347          (ii) report agency and institution compliance or noncompliance with the standards to
             348      the Legislature; and
             349          (iii) conduct periodic audits of exempt agencies and institutions to ensure that they are
             350      complying with the standards.
             351          (4) (a) In making any allocations of space under Subsection (2), the director shall:
             352          (i) conduct studies to determine the actual needs of each department, commission,
             353      institution, or agency; and
             354          (ii) comply with the restrictions contained in this Subsection (4).
             355          (b) The supervision and control of the legislative area is reserved to the Legislature.
             356          (c) The supervision and control of the judicial area is reserved to the judiciary for trial
             357      courts only.
             358          (d) The director may not supervise or control the allocation of space for entities in the
             359      public and higher education systems.
             360          (e) The supervision and control of capitol hill facilities and capitol hill grounds is
             361      reserved to the State Capitol Preservation Board.
             362          (5) The director may:
             363          (a) hire or otherwise procure assistance and services, professional, skilled, or
             364      otherwise, that are necessary to carry out the director's responsibilities, and may expend funds
             365      provided for that purpose either through annual operating budget appropriations or from
             366      nonlapsing project funds;


             367          (b) sue and be sued in the name of the division; and
             368          (c) hold, buy, lease, and acquire by exchange or otherwise, as authorized by the
             369      Legislature, whatever real or personal property that is necessary for the discharge of the
             370      director's duties.
             371          (6) Notwithstanding the provisions of Subsection (2)(a)(iv), the following entities may
             372      hold title to any real property, buildings, fixtures, and appurtenances held by them for purposes
             373      other than administration that are under their control and management:
             374          (a) the Office of Trust Administrator;
             375          (b) the Department of Transportation;
             376          (c) the Division of Forestry, Fire and State Lands;
             377          (d) the Department of Natural Resources;
             378          (e) the Utah National Guard;
             379          (f) any area vocational center or other institution administered by the State Board of
             380      Education; [and]
             381          (g) any institution of higher education[.]; and
             382          (h) the Utah Science Technology and Research Governing Authority.
             383          (7) The director shall ensure that any firm performing testing and inspection work
             384      governed by the American Society for Testing Materials Standard E-329 on public buildings
             385      under the director's supervision shall:
             386          (a) fully comply with the American Society for Testing Materials standard
             387      specifications for agencies engaged in the testing and inspection of materials known as ASTM
             388      E-329; and
             389          (b) carry a minimum of $1,000,000 of errors and omissions insurance.
             390          (8) Notwithstanding Subsections (2)(a)(iii) and (iv), the School and Institutional Trust
             391      Lands Administration may hold title to any real property, buildings, fixtures, and appurtenances
             392      held by it that are under its control.
             393          Section 11. Section 63B-15-101 is enacted to read:
             394     
CHAPTER 15. 2006 FINANCING AUTHORIZATIONS

             395     
Part 1. 2006 General Obligation Bonds

             396          63B-15-101. Capital facilities bonds -- Utah Science Technology and Research
             397      Governing Authority -- Maximum amount -- Projects authorized.


             398          (1) (a) The total amount of bonds issued under this section may not exceed
             399      $111,100,000.
             400          (b) When Utah State University certifies to the commission that the university has
             401      obtained reliable commitments, convertible to cash, of $10,000,000 or more in nonstate funds
             402      to construct the Bio Innovations Research Institute, the commission may issue and sell general
             403      obligation bonds in a total amount not to exceed $40,400,000.
             404          (c) When the University of Utah certifies to the commission that the university has
             405      obtained reliable commitments, convertible to cash, of $30,000,000 or more in nonstate funds
             406      to construct the Neuroscience and Biomedical Technology Research Building, the commission
             407      may issue and sell general obligation bonds in a total amount not to exceed $70,700,000.
             408          (2) (a) Proceeds from the issuance of bonds shall be provided to the Utah Science
             409      Technology and Research Governing Authority to provide funds to pay all or part of the cost of
             410      acquiring and constructing the projects listed in this Subsection (2).
             411          (b) These costs may include the cost of acquiring easements and rights-of-way,
             412      improving sites, and acquiring, constructing, equipping, and furnishing facilities and all
             413      structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             414      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             415      covered by construction of the projects plus a period of six months after the end of the
             416      construction period, and all related engineering, architectural, and legal fees.
             417          (c) For the Utah Science Technology and Research Governing Authority, proceeds
             418      shall be provided for the following:
             419      ------------------------------------------------------------------------------------------------------------------
             420      CAPITAL DEVELOPMENT PROJECTS
             421                              Estimated Operations            Amount
             422          Project Description            and Maintenance            Funded
             423      -------------------------------------------------------------------------------------------------------------------
             424      Bio Innovations Research Institute --
             425          Utah State University                $0                $40,000,000
             426      Neuroscience and Biomedical Technology
             427          Research Building -- University of Utah    $0                $70,000,000
             428      TOTAL CAPITAL DEVELOPMENT PROJECTS                 $110,000,000


             429      -------------------------------------------------------------------------------------------------------------------
             430      TOTAL GENERAL OBLIGATION BOND AUTHORIZATION
             431          FOR CAPITAL DEVELOPMENT PROJECTS             $110,000,000
             432      -------------------------------------------------------------------------------------------------------------------
             433          (d) The Legislature intends that the Utah Science Technology and Research Governing
             434      Authority pay the operations and maintenance costs on the research buildings authorized by
             435      this section.
             436          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             437      constitute a limitation on the amount that may be expended for the projects.
             438          (b) The commission, by resolution and in consultation with the Utah Science
             439      Technology and Research Governing Authority, may delete the project if the inclusion of that
             440      project could be construed to violate state law or federal law or regulation.
             441          (4) The Utah Science Technology and Research Governing Authority may enter into
             442      agreements related to the project before the receipt of proceeds of bonds issued under this
             443      chapter.
             444          (5) The commission or the state treasurer may make any statement of intent relating to
             445      that reimbursement that is necessary or desirable to comply with federal tax law.
             446          (6) The commission may not issue or execute bonds authorized by this section that
             447      have a maturity date or dates of more than 20 years after the date of delivery of the bonds.
             448          (7) The Utah Science Technology and Research Governing Authority shall contract
             449      with the Division of Facilities Construction and Management to oversee construction of the
             450      buildings.
             451          (8) The Utah Science Technology and Research Governing Authority may not delegate
             452      authority over construction of the capitol development projects identified in this section to any
             453      entity other than the Division of Facilities Construction and Management.
             454          Section 12. Section 67-22-2 (Effective 07/01/06) is amended to read:
             455           67-22-2 (Effective 07/01/06). Compensation -- Other state officers.
             456          (1) The governor shall establish salaries for the following state officers within the
             457      following salary ranges fixed by the Legislature:
             458              State Officer                 Salary Range
             459          Commissioner of Agriculture and Food     $66,800 - $90,600


             460          Commissioner of Insurance             $66,800 - $90,600
             461          Commissioner of the Labor Commission     $66,800 - $90,600
             462          Director, Alcoholic Beverage Control
             463              Commission                 $66,800 - $90,600
             464          Commissioner, Department of
             465              Financial Institutions             $66,800 - $90,600
             466          Members, Board of Pardons and Parole     $66,800 - $90,600
             467          Executive Director, Department
             468              of Commerce                 $66,800 - $90,600
             469          Executive Director, Commission on
             470              Criminal and Juvenile Justice     $66,800 - $90,600
             471          Adjutant General                 $66,800 - $90,600
             472          Chair, Tax Commission             $72,400 - $97,600
             473          Commissioners, Tax Commission         $72,400 - $97,600
             474          Executive Director, Department of
             475              Community and Culture         $72,400 - $97,600
             476          Executive Director, Tax Commission     $72,400 - $97,600
             477          Chair, Public Service Commission         $72,400 - $97,600
             478          Commissioners, Public Service
             479              Commission                 $72,400 - $97,600
             480          Executive Director, Department
             481              of Corrections                 $78,700 - $106,200
             482          Commissioner, Department of Public Safety     $78,700 - $106,200
             483          Executive Director, Department of
             484              Natural Resources             $78,700 - $106,200
             485          Director, Governor's Office of Planning
             486              and Budget                 $78,700 - $106,200
             487          Executive Director, Department of
             488              Administrative Services         $78,700 - $106,200
             489          Executive Director, Department of
             490              Environmental Quality         $78,700 - $106,200


             491          Director, Governor's Office
             492              of Economic Development         $78,700 - $106,200
             493          Executive Director, Utah Science
             494              Technology and Research
             495              Governing Authority            $78,700 - $106,200
             496          Executive Director, Department of
             497              Workforce Services             $85,700 - $115,700
             498          Executive Director, Department of
             499              Health                     $85,700 - $115,700
             500          Executive Director, Department
             501              of Human Services             $85,700 - $115,700
             502          Executive Director, Department
             503              of Transportation             $85,700 - $115,700
             504          Executive Director, Department
             505              of Information Technology
             506              Services                 $85,700 - $115,700
             507          (2) (a) The Legislature fixes benefits for the state offices outlined in Subsection (1) as
             508      follows:
             509          (i) the option of participating in a state retirement system established by Title 49, Utah
             510      State Retirement and Insurance Benefit Act, or in a deferred compensation plan administered
             511      by the State Retirement Office in accordance with the Internal Revenue Code and its
             512      accompanying rules and regulations;
             513          (ii) health insurance;
             514          (iii) dental insurance;
             515          (iv) basic life insurance;
             516          (v) unemployment compensation;
             517          (vi) workers' compensation;
             518          (vii) required employer contribution to Social Security;
             519          (viii) long-term disability income insurance;
             520          (ix) the same additional state-paid life insurance available to other noncareer service
             521      employees;


             522          (x) the same severance pay available to other noncareer service employees;
             523          (xi) the same sick leave, converted sick leave, educational allowances, and holidays
             524      granted to Schedule B state employees, and the same annual leave granted to Schedule B state
             525      employees with more than ten years of state service;
             526          (xii) the option to convert accumulated sick leave to cash or insurance benefits as
             527      provided by law or rule upon resignation or retirement according to the same criteria and
             528      procedures applied to Schedule B state employees;
             529          (xiii) the option to purchase additional life insurance at group insurance rates according
             530      to the same criteria and procedures applied to Schedule B state employees; and
             531          (xiv) professional memberships if being a member of the professional organization is a
             532      requirement of the position.
             533          (b) Each department shall pay the cost of additional state-paid life insurance for its
             534      executive director from its existing budget.
             535          (3) The Legislature fixes the following additional benefits:
             536          (a) for the executive director of the State Tax Commission a vehicle for official and
             537      personal use;
             538          (b) for the executive director of the Department of Transportation a vehicle for official
             539      and personal use;
             540          (c) for the executive director of the Department of Natural Resources a vehicle for
             541      commute and official use;
             542          (d) for the Commissioner of Public Safety:
             543          (i) an accidental death insurance policy if POST certified; and
             544          (ii) a public safety vehicle for official and personal use;
             545          (e) for the executive director of the Department of Corrections:
             546          (i) an accidental death insurance policy if POST certified; and
             547          (ii) a public safety vehicle for official and personal use;
             548          (f) for the Adjutant General a vehicle for official and personal use; and
             549          (g) for each member of the Board of Pardons and Parole a vehicle for commute and
             550      official use.
             551          (4) (a) The governor has the discretion to establish a specific salary for each office
             552      listed in Subsection (1), and, within that discretion, may provide salary increases within the


             553      range fixed by the Legislature.
             554          (b) The governor shall apply the same overtime regulations applicable to other FLSA
             555      exempt positions.
             556          (c) The governor may develop standards and criteria for reviewing the performance of
             557      the state officers listed in Subsection (1).
             558          (5) Salaries for other Schedule A employees, as defined in Section 67-19-15 , which are
             559      not provided for in this chapter, or in Title 67, Chapter 8, Utah Executive and Judicial Salary
             560      Act, shall be established as provided in Section 67-19-15 .
             561          Section 13. Appropriation.
             562          (1) (a) There is appropriated $50,000,000 from the General Fund, for fiscal year 2007
             563      only, to the Utah Science Technology and Research Governing Authority to construct a Bio
             564      Innovations Research Institute at Utah State University and a Neuroscience and Biomedical
             565      Technology Research Building at the University of Utah.
             566          (b) The Legislature intends that:
             567          (i) notwithstanding Subsections (1)(b)(ii) and (1)(b)(iii), the Utah Science Technology
             568      and Research Governing Authority may expend monies to plan and design the Bio Innovations
             569      Research Institute and the Neuroscience and Biomedical Technology Research Building before
             570      the universities certify that they have obtained the required matching funds;
             571          (ii) when Utah State University certifies to the Utah Science Technology and Research
             572      Governing Authority that the university has obtained reliable commitments, convertible to
             573      cash, of $10,000,000 or more in nonstate funds to construct the Bio Innovations Research
             574      Institute, the authority may expend up to $20,000,000 for the construction of the Bio
             575      Innovations Research Institute;
             576          (iii) when the University of Utah certifies to the Utah Science Technology and
             577      Research Governing Authority that the university has obtained reliable commitments,
             578      convertible to cash, of $30,000,000 or more in nonstate funds to construct the Neuroscience
             579      and Biomedical Technology Research Building, the authority may expend up to $30,000,000
             580      for the construction of the Neuroscience and Biomedical Technology Research Building;
             581          (iv) the match required by the universities under this Subsection(1)(b) is not in addition
             582      to the match required by Section 63B-15-101 ;
             583          (v) the Utah Science Technology and Research Governing Authority comply with the


             584      requirements of Subsection 63B-15-101 (8) in the planning, design, and construction of the
             585      capitol development projects identified in this section; and
             586          (vi) this appropriation is nonlapsing.
             587          (2) (a) As an ongoing appropriation subject to future budget constraints, there is
             588      appropriated from the General Fund for fiscal year 2006-07, $15,250,000 to the Utah Science
             589      Technology and Research Governing Authority to provide funding for the Utah Science
             590      Technology and Research Project.
             591          (b) The Legislature intends that the authority:
             592          (i) use up to $250,000 to fund the authority's administrative costs;
             593          (ii) when Utah State University or the University of Utah certify to the authority that
             594      one or more research teams have committed to transfer to their institution, allocate up to
             595      $11,000,000 to Utah State University and the University of Utah to fund research teams and the
             596      commercialization of new technology developed from the work of the research teams
             597      according to criteria established by the board under Subsection 63-38g-302 (1)(g); and
             598          (iii) use up to $4,000,000 to provide funding for the technology outreach program.
             599          (c) The Legislature intends that this appropriation is nonlapsing.
             600          (3) (a) (i) As an ongoing appropriation subject to future budget constraints, there is
             601      appropriated from the General Fund for fiscal year 2006-07, $4,000,000 to the Utah Science
             602      Technology and Research Authority to provide funding for the Utah Science Technology and
             603      Research Project.
             604          (b) There is appropriated ($1,600,000) from the ongoing General Fund appropriation to
             605      Utah State University for fiscal year 2007.
             606          (c) There is appropriated ($2,400,000) from the ongoing General Fund appropriation to
             607      the University of Utah for fiscal year 2007.
             608          (d) The Legislature intends that this appropriation is nonlapsing.
             609          Section 14. Effective date.
             610          This bill takes effect on July 1, 2006.


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