Download Zipped Amended WordPerfect HB0321.ZIP
[Introduced][Status][Bill Documents][Fiscal Note][Bills Directory]

H.B. 321

This document includes House Floor Amendments incorporated into the bill on Fri, Feb 8, 2008 at 3:31 PM by ddonat. -->              1     

HIGHER EDUCATION SAVINGS INCENTIVE

             2     
PROGRAM AMENDMENTS

             3     
2008 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Chief Sponsor: Kevin S. Garn

             6     
Senate Sponsor: Gregory S. Bell

             7     
             8      LONG TITLE
             9      General Description:
             10          This bill modifies provisions relating to the Utah Educational Savings Plan Trust.
             11      Highlighted Provisions:
             12          This bill:
             13          .    deletes provisions making a beneficiary of a vested account eligible for resident
             14      status for tuition purposes;
             15          .    deletes restrictions regarding when the payment of benefits under an account
             16      agreement must begin;
             17          .    provides that money may be transferred from the endowment fund to the
             18      administrative fund as approved by the board of directors of the Utah Educational
             19      Savings Plan Trust;
             20          .    expands the uses of money in the endowment fund;
             21          .    clarifies provisions regarding:
             22              .    the permitted uses of account funds; and
             23              .    the ownership of funds in an account;
             24          .    modifies financial reporting requirements applicable to the Utah Educational
             25      Savings Plan Trust;
             26          .    classifies certain records of the Utah Educational Savings Plan Trust as protected
             27      records under Title 63, Chapter 2, Government Records Access and Management


             28      Act; and
             29          .    makes technical amendments.
             30      Monies Appropriated in this Bill:
             31          None
             32      Other Special Clauses:
             33          None
             34      Utah Code Sections Affected:
             35      AMENDS:
             36          53B-8a-101, as last amended by Laws of Utah 2005, Chapter 109
             37          53B-8a-102, as last amended by Laws of Utah 2007, Chapter 100
             38          53B-8a-106, as last amended by Laws of Utah 2007, Chapter 100
             39          53B-8a-107, as last amended by Laws of Utah 2007, Chapter 100
             40          53B-8a-108, as last amended by Laws of Utah 2007, Chapters 100 and 306
             41          53B-8a-109, as last amended by Laws of Utah 2007, Chapter 100
             42          53B-8a-111, as last amended by Laws of Utah 2007, Chapter 100
             43          63-2-304, as last amended by Laws of Utah 2007, Chapters 66 and 352
             44     
             45      Be it enacted by the Legislature of the state of Utah:
             46          Section 1. Section 53B-8a-101 is amended to read:
             47           53B-8a-101. Purpose.
             48          (1) (a) The Legislature finds that the general welfare and well-being of the state are
             49      directly related to educational levels and skills of the citizens of the state.
             50          (b) Therefore, a vital and valid public purpose is served by the creation and
             51      implementation of programs which encourage and make possible the attainment of higher
             52      education by the greatest number of citizens of the state.
             53          (2) (a) The Legislature finds that the state has limited resources to provide additional
             54      programs for higher education funding and that the continued operation and maintenance of the
             55      state's public institutions of higher education and the general welfare of the citizens of the state
             56      will be enhanced by establishing a program which allows citizens of the state to invest money
             57      in a public trust for future application to the payment of higher education costs.
             58          (b) The Legislature further finds that [the creation of the means of encouragement for


             59      citizens to invest in such] a program [represents the carrying out of] described in Subsection
             60      (2)(a) serves a vital and valid public purpose.
             61          (3) (a) In order to make available to the citizens of the state an opportunity to fund
             62      future higher education needs, it is necessary that a public trust be established in which moneys
             63      may be invested for future educational use.
             64          (b) It may also be necessary to establish and create an endowment fund, which may be
             65      funded with public funds, among other sources, the income from which may be made available
             66      to account owners to enhance or encourage their savings invested for future higher education
             67      costs or for use in scholarship or other college savings incentive programs.
             68          Section 2. Section 53B-8a-102 is amended to read:
             69           53B-8a-102. Definitions.
             70          As used in this chapter:
             71          (1) "Account agreement" means an agreement between an account owner and the Utah
             72      Educational Savings Plan Trust entered into under this chapter.
             73          (2) "Account owner" means a person, estate, or trust, if that person, estate, or trust has
             74      entered into an account agreement under this chapter [for the advance payment of] to save for
             75      the higher education costs on behalf of a beneficiary.
             76          (3) "Administrative fund" means the moneys used to administer the Utah Educational
             77      Savings Plan Trust.
             78          (4) "Beneficiary" means the individual designated in an account agreement to benefit
             79      from [payments] the amount saved for higher education costs [at an institution of higher
             80      education].
             81          [(5) "Benefits" means the payment of higher education costs on behalf of a beneficiary
             82      by the Utah Educational Savings Plan Trust during the beneficiary's attendance at an institution
             83      of higher education.]
             84          [(6)] (5) "Board" means the board of directors of the Utah Educational Savings Plan
             85      Trust which is the state Board of Regents acting in its capacity as the Utah Higher Education
             86      Assistance Authority under Title 53B, Chapter 12.
             87          [(7)] (6) "Endowment fund" means the endowment fund established under Section
             88      53B-8a-107 which is held as a separate fund within the Utah Educational Savings Plan Trust.
             89          [(8)] (7) "Higher education costs" means qualified higher education expenses as


             90      defined in Section 529(e)(3), Internal Revenue Code.
             91          [(9) "Institution of higher education" means a qualified proprietary school approved by
             92      the board, a two-year or four-year public or regionally accredited private nonprofit college or
             93      university, or a Utah college of applied technology, with regard to students enrolled in
             94      postsecondary training or education programs.]
             95          [(10)] (8) "Program administrator" means the administrator of the Utah Educational
             96      Savings Plan Trust appointed by the board to administer and manage the Utah Educational
             97      Savings Plan Trust.
             98          [(11)] (9) "Program fund" means the program fund created under Section 53B-8a-107 ,
             99      which is held as a separate fund within the Utah Educational Savings Plan Trust.
             100          [(12)] (10) "Qualified investment" means an amount invested in accordance with an
             101      account agreement established under this chapter.
             102          [(13)] (11) "Tuition and fees" means the quarterly or semester charges imposed to
             103      attend an institution of higher education and required as a condition of enrollment.
             104          [(14)] (12) "Utah Educational Savings Plan Trust" means the Utah Educational Savings
             105      Plan Trust created under Section 53B-8a-103 .
             106          [(15) "Vested account" means an account agreement which has been in full force and
             107      effect during eight continuous years of residency of the beneficiary in the state while
             108      participating in the Utah Educational Savings Plan Trust.]
             109          Section 3. Section 53B-8a-106 is amended to read:
             110           53B-8a-106. Account agreements.
             111          The Utah Educational Savings Plan Trust may enter into account agreements with
             112      account owners on behalf of beneficiaries under the following terms and agreements:
             113          (1) (a) An account agreement may require an account owner to agree to invest a
             114      specific amount of money in the Utah Educational Savings Plan Trust for a specific period of
             115      time for the benefit of a specific beneficiary, not to exceed an amount determined by the
             116      program administrator.
             117          (b) Account agreements may be amended to provide for adjusted levels of payments
             118      based upon changed circumstances or changes in educational plans.
             119          (c) An account owner may make additional optional payments as long as the total
             120      payments for a specific beneficiary do not exceed the total estimated higher education costs as


             121      determined by the program administrator.
             122          (d) Subject to Subsection (1)(f), the maximum amount of a qualified investment that a
             123      corporation that is an account owner may subtract from unadjusted income for a taxable year in
             124      accordance with Title 59, Chapter 7, Corporate Franchise and Income Taxes, is $1,560 for each
             125      individual beneficiary for the taxable year beginning on or after January 1, 2006, but beginning
             126      on or before December 31, 2006.
             127          (e) Subject to Subsection (1)(f), the maximum amount of a qualified investment that
             128      may be subtracted from federal taxable income of a resident or nonresident individual for a
             129      taxable year in accordance with Section 59-10-114 , a resident or nonresident estate or trust for
             130      a taxable year in accordance with Section 59-10-202 , or used as the basis for claiming a tax
             131      credit for a taxable year by a resident or nonresident individual in accordance with Section
             132      59-10-1206.1 , is:
             133          (i) for a resident or nonresident estate or trust that is an account owner, $1,560 for each
             134      individual beneficiary for the taxable year beginning on or after January 1, 2006, but beginning
             135      on or before December 31, 2006;
             136          (ii) for a resident or nonresident individual that is an account owner, other than a
             137      husband and wife who are account owners and file a single return jointly, $1,560 for each
             138      individual beneficiary for the taxable year beginning on or after January 1, 2006, but beginning
             139      on or before December 31, 2006; or
             140          (iii) for a husband and wife who are account owners and file a single return jointly,
             141      $3,120 for each individual beneficiary:
             142          (A) for the taxable year beginning on or after January 1, 2006, but beginning on or
             143      before December 31, 2006; and
             144          (B) regardless of whether the Utah Educational Savings Plan Trust has entered into:
             145          (I) a separate account agreement with each spouse; or
             146          (II) a single account agreement with both spouses jointly.
             147          (f) (i) For taxable years beginning on or after January 1, 2007, the program
             148      administrator shall increase or decrease the maximum amount of a qualified investment
             149      described in Subsections (1)(d) and (1)(e)(i) and (ii), by a percentage equal to the percentage
             150      difference between the consumer price index for the preceding calendar year and the consumer
             151      price index for the calendar year 2005.


             152          (ii) After making an increase or decrease required by Subsection (1)(f)(i), the program
             153      administrator shall:
             154          (A) round the maximum amount of the qualified investments described in Subsections
             155      (1)(d) and (1)(e)(i) and (ii) increased or decreased under Subsection (1)(f)(i) to the nearest ten
             156      dollar increment; and
             157          (B) increase or decrease the maximum amount of the qualified investment described in
             158      Subsection (1)(e)(iii) so that the maximum amount of the qualified investment described in
             159      Subsection (1)(e)(iii) is equal to the product of:
             160          (I) the maximum amount of the qualified investment described in Subsection (1)(e)(ii)
             161      as rounded under Subsection (1)(f)(ii)(A); and
             162          (II) two.
             163          (iii) For purposes of Subsections (1)(f)(i) and (ii), the program administrator shall
             164      calculate the consumer price index as provided in Sections 1(f)(4) and 1(f)(5), Internal Revenue
             165      Code.
             166          (2) (a) [(i)] Beneficiaries designated in account agreements must be designated after
             167      birth and before age 19 for an account owner to:
             168          [(A)] (i) subtract a qualified investment from income under:
             169          [(I)] (A) Title 59, Chapter 7, Corporate Franchise and Income Taxes;
             170          [(II)] (B) Section 59-10-114 ; or
             171          [(III)] (C) Section 59-10-202 ; or
             172          [(B)] (ii) use a qualified investment as the basis for claiming a tax credit in accordance
             173      with Section 59-10-1206.1 .
             174          [(ii) If the beneficiary is designated after birth and before age 19, the payment of
             175      benefits provided under the account agreement must begin not later than the beneficiary's 27th
             176      birthday.]
             177          (b) [(i)] Account owners may designate beneficiaries age 19 or older, but investments
             178      for those beneficiaries are not eligible for subtraction from federal taxable income.
             179          [(ii) If a beneficiary age 19 or older is designated, the payment of benefits provided
             180      under the account agreement must begin not later than ten years from the account agreement
             181      date.]
             182          (3) Each account agreement shall state clearly that there are no guarantees regarding


             183      moneys in the Utah Educational Savings Plan Trust as to the return of principal and that losses
             184      could occur.
             185          (4) Each account agreement shall provide that:
             186          (a) no contributor to, or designated beneficiary under, an account agreement may direct
             187      the investment of any contributions or earnings on contributions;
             188          (b) no part of the money in any account may be used as security for a loan; and
             189          (c) no account owner may borrow from the Utah Educational Savings Plan Trust.
             190          (5) The execution of an account agreement by the trust may not guarantee in any way
             191      that higher education costs will be equal to projections and estimates provided by the Utah
             192      Educational Savings Plan Trust or that the beneficiary named in any [participation] account
             193      agreement will:
             194          (a) be admitted to an institution of higher education;
             195          (b) if admitted, be determined a resident for tuition purposes by the institution of
             196      higher education[, unless the account agreement is vested];
             197          (c) be allowed to continue attendance at the institution of higher education following
             198      admission; or
             199          (d) graduate from the institution of higher education.
             200          (6) Beneficiaries may be changed as permitted by the rules and regulations of the board
             201      upon written request of the account owner prior to the date of admission of any beneficiary
             202      under an account agreement by an institution of higher education so long as the substitute
             203      beneficiary is eligible for participation.
             204          (7) Account agreements may be freely amended throughout their terms in order to
             205      enable account owners to increase or decrease the level of participation, change the designation
             206      of beneficiaries, and carry out similar matters as authorized by rule.
             207          (8) Each account agreement shall provide that:
             208          (a) the account agreement may be canceled upon the terms and conditions, and upon
             209      payment of the fees and costs set forth and contained in the board's rules and regulations; and
             210          (b) the program administrator may amend the agreement unilaterally and retroactively,
             211      if necessary, to maintain the Utah Educational Savings Plan Trust as a qualified tuition
             212      program under Section 529 Internal Revenue Code.
             213          Section 4. Section 53B-8a-107 is amended to read:


             214           53B-8a-107. Program, endowment, and administrative funds -- Investment and
             215      payments from funds.
             216          (1) [(a)] The board shall segregate moneys received by the Utah Educational Savings
             217      Plan Trust into three funds, the program fund, [the endowment fund, and] the administrative
             218      fund, and the endowment fund.
             219          [(b) No more than two percentage points of the interest earned annually in the
             220      endowment fund may be transferred to the administrative fund for the purpose of paying
             221      operating costs associated with administering the Utah Educational Savings Plan Trust and as
             222      required under Sections 53B-8a-103 through 53B-8a-105 .]
             223          [(c)] (2) Transfers may be made from the program fund to the administrative fund to
             224      pay operating costs:
             225          [(i)] (a) associated with administering the Utah Educational Savings Plan Trust and as
             226      required under Sections 53B-8a-103 through 53B-8a-105 ; and
             227          [(ii)] (b) as included in the budget approved by the board of directors of the Utah
             228      Educational Savings Plan Trust.
             229          [(d)] (3) (a) All moneys paid by account owners in connection with account agreements
             230      shall be deposited as received into separate accounts within the program fund which shall be
             231      promptly invested and accounted for separately.
             232          (b) Moneys accrued by account owners in the program fund of the Utah Educational
             233      Savings Plan Trust may be used for:
             234          (i) payments to any institution of higher education;
             235          (ii) payments to the account owner or beneficiary;
             236          (iii) payments to another 529 plan; or
             237          (iv) other expenditures or transfers made in accordance with the account agreement.
             238          [(e)] (4) (a) All moneys received by the Utah Educational Savings Plan Trust from the
             239      proceeds of gifts and other endowments for the purposes of the Utah Educational Savings Plan
             240      Trust shall be deposited as received into the endowment fund, which shall be promptly
             241      invested and accounted for separately.
             242          [(f)] (b) Any gifts, grants, or donations made by any governmental unit or any person,
             243      firm, partnership, or corporation to the Utah Educational Savings Plan Trust for deposit to the
             244      endowment fund [shall be] is a grant, gift, or donation to the state for the accomplishment of a


             245      valid public eleemosynary, charitable, and educational purpose and [shall] is not [be] included
             246      in the income of the donor for Utah tax purposes.
             247          [(2) (a) Through March 31, 2005, each account owner under an account agreement may
             248      receive an interest in a portion, as determined by policy, of the investment income derived by
             249      the endowment fund in any year during which funds are invested in the program fund on behalf
             250      of the beneficiary, to be payable as provided in Subsection (2)(c).]
             251          [(b) The interest in the investment income derived by the endowment fund that accrues
             252      to a beneficiary in any year shall be in the ratio that the principal amount paid by the account
             253      owner under the account agreement and investment income earned to date under the agreement
             254      bears to the principal amount of all moneys, funds, and securities then held in the program fund
             255      during the year.]
             256          [(c) (i) Except as provided in Subsection (2)(c)(ii), at the time any payments or
             257      disbursements for higher education costs are made from the Utah Educational Savings Plan
             258      Trust to any institution of higher education under an account agreement, the Utah Educational
             259      Savings Plan Trust shall add to that payment from endowment fund income a pro rata portion
             260      of the amount calculated pursuant to Subsection (2)(b), which shall be transferred directly to
             261      the institution of higher education simultaneously with the payment made from the program
             262      fund and shall be used for payment of the higher education costs of the beneficiary, but not to
             263      exceed the amount which, in combination with the current payment due from the program
             264      fund, equals the beneficiary's higher education costs for the current period of enrollment.]
             265          [(ii) Effective March 31, 2005, any interest income on the endowment fund accruing to
             266      a beneficiary that has not been transferred to an institution of higher education pursuant to
             267      Subsection (2)(c)(i) shall be transferred to the beneficiary's program fund account.]
             268          [(3) Beginning on April 1, 2005:]
             269          [(a) interest income on the]
             270          (c) The endowment fund may be used to enhance the savings of low income account
             271      owners investing in the Utah Educational Savings Plan Trust, [as provided by rules of the
             272      board ; and] for scholarships, or for other college savings incentive programs as approved by
             273      the board.
             274          [(b) the original principal in]
             275          (d) Transfers may be made from the endowment fund [may be transferred] to the


             276      administrative fund upon approval by the board.
             277          [(4)] (e) Endowment fund earnings not accruing to a beneficiary under [a participation]
             278      an account agreement or not transferred to the administrative fund shall be reinvested in the
             279      endowment fund.
             280          [(5) Moneys accrued by account owners in the program fund of the Utah Educational
             281      Savings Plan Trust may be used for payments to any institution of higher education.]
             282          [(6) No rights to any moneys derived from the endowment fund shall exist if moneys
             283      payable under the account agreement are paid to an education institution which is not an
             284      institution of higher education as defined in Section 53B-8a-102 .]
             285          Section 5. Section 53B-8a-108 is amended to read:
             286           53B-8a-108. Cancellation of agreements.
             287          (1) Any account owner may cancel an account agreement at will.
             288          (2) If an account agreement is cancelled by the account owner, the current account
             289      balance shall be disbursed to the account owner less:
             290          (a) an administrative refund fee, which may be charged by the Utah Educational
             291      Savings Plan Trust, except as provided in Subsection (3); and
             292          (b) any penalty or tax required to be withheld by the Internal Revenue Code.
             293          (3) An administration refund fee may not be levied by the Utah Educational Savings
             294      Plan Trust if the account agreement is cancelled due to:
             295          (a) the death of the beneficiary; or
             296          (b) the permanent disability or mental incapacity of the beneficiary.
             297          [(4) The board shall make rules for the disposition of monies transferred to an account
             298      pursuant to Subsection 53B-8a-107 (2)(c)(ii) and the earnings on those monies when an account
             299      agreement is cancelled.]
             300          Section 6. Section 53B-8a-109 is amended to read:
             301           53B-8a-109. Repayment and ownership of payments and investment income --
             302      Transfer of ownership rights.
             303          (1) (a) The account owner retains ownership of [all payments made under] funds in the
             304      account [agreement] until [utilized]:
             305          (i) funds are used to pay higher education costs for the beneficiary[.];
             306          (ii) funds are otherwise disbursed;


             307          (iii) funds are transferred for administrative costs; or
             308          (iv) the account is closed.
             309          (b) [All income derived from the investment of the payments made by the account
             310      owner] Funds in the account shall be considered to be held in trust for the benefit of the
             311      beneficiary.
             312          [(2) The institution of higher education shall obtain ownership of the payments made
             313      for the higher education costs paid to the institution at the time each payment is made to the
             314      institution.]
             315          [(3)] (2) Any amounts that may be paid pursuant to the Utah Educational Savings Plan
             316      Trust that are not listed in this section are owned by the Utah Educational Savings Plan Trust.
             317          [(4)] (3) (a) An account owner may transfer ownership rights to another eligible
             318      person.
             319          (b) The transfer shall be affected and the property distributed in accordance with
             320      administrative regulations promulgated by the board or the terms of the account agreement.
             321          Section 7. Section 53B-8a-111 is amended to read:
             322           53B-8a-111. Annual audited financial report to governor, Legislature, and state
             323      auditor.
             324          [(1) The board shall submit an annual audited financial report, prepared in accordance
             325      with generally accepted accounting principles, on the operations of the Utah Educational
             326      Savings Plan Trust by November 1 to the governor, the Legislature, and the state auditor.]
             327          [(2) The annual audit shall be made either by the state auditor or by an independent
             328      certified public accountant designated by the state auditor and shall include direct and indirect
             329      costs attributable to the use of outside consultants, independent contractors, and any other
             330      persons who are not state employees.]
             331          [(3) The annual audit shall be supplemented by the following information prepared by
             332      the board:]
             333          (1) The financial statements of the Utah Educational Savings Plan Trust H. [ as ]
             333a      shall be .H audited H. annually .H by
             334      the state auditor or the state auditor's designee H. [ shall be included in the state's Comprehensive
             335      Annual Financial Report
] and reported in accordance with generally accepted accounting

             335a      principles .H .
             336          (2) The board shall submit to the governor and the Legislature:
             337          (a) upon request, any studies or evaluations [prepared in the preceding year] of the


             338      Utah Educational Savings Plan Trust;
             339          (b) upon request, a summary of the benefits provided by the Utah Educational Savings
             340      Plan Trust including the number of participants and beneficiaries in the Utah Educational
             341      Savings Plan Trust; and
             342          (c) upon request, any other information which is relevant in order to make a full, fair,
             343      and effective disclosure of the operations of the Utah Educational Savings Plan Trust.
             344          Section 8. Section 63-2-304 is amended to read:
             345           63-2-304. Protected records.
             346          The following records are protected if properly classified by a governmental entity:
             347          (1) trade secrets as defined in Section 13-24-2 if the person submitting the trade secret
             348      has provided the governmental entity with the information specified in Section 63-2-308 ;
             349          (2) commercial information or nonindividual financial information obtained from a
             350      person if:
             351          (a) disclosure of the information could reasonably be expected to result in unfair
             352      competitive injury to the person submitting the information or would impair the ability of the
             353      governmental entity to obtain necessary information in the future;
             354          (b) the person submitting the information has a greater interest in prohibiting access
             355      than the public in obtaining access; and
             356          (c) the person submitting the information has provided the governmental entity with
             357      the information specified in Section 63-2-308 ;
             358          (3) commercial or financial information acquired or prepared by a governmental entity
             359      to the extent that disclosure would lead to financial speculations in currencies, securities, or
             360      commodities that will interfere with a planned transaction by the governmental entity or cause
             361      substantial financial injury to the governmental entity or state economy;
             362          (4) records the disclosure of which could cause commercial injury to, or confer a
             363      competitive advantage upon a potential or actual competitor of, a commercial project entity as
             364      defined in Subsection 11-13-103 (4);
             365          (5) test questions and answers to be used in future license, certification, registration,
             366      employment, or academic examinations;
             367          (6) records the disclosure of which would impair governmental procurement
             368      proceedings or give an unfair advantage to any person proposing to enter into a contract or


             369      agreement with a governmental entity, except that this Subsection (6) does not restrict the right
             370      of a person to see bids submitted to or by a governmental entity after bidding has closed;
             371          (7) records that would identify real property or the appraisal or estimated value of real
             372      or personal property, including intellectual property, under consideration for public acquisition
             373      before any rights to the property are acquired unless:
             374          (a) public interest in obtaining access to the information outweighs the governmental
             375      entity's need to acquire the property on the best terms possible;
             376          (b) the information has already been disclosed to persons not employed by or under a
             377      duty of confidentiality to the entity;
             378          (c) in the case of records that would identify property, potential sellers of the described
             379      property have already learned of the governmental entity's plans to acquire the property;
             380          (d) in the case of records that would identify the appraisal or estimated value of
             381      property, the potential sellers have already learned of the governmental entity's estimated value
             382      of the property; or
             383          (e) the property under consideration for public acquisition is a single family residence
             384      and the governmental entity seeking to acquire the property has initiated negotiations to acquire
             385      the property as required under Section 78-34-4.5 ;
             386          (8) records prepared in contemplation of sale, exchange, lease, rental, or other
             387      compensated transaction of real or personal property including intellectual property, which, if
             388      disclosed prior to completion of the transaction, would reveal the appraisal or estimated value
             389      of the subject property, unless:
             390          (a) the public interest in access outweighs the interests in restricting access, including
             391      the governmental entity's interest in maximizing the financial benefit of the transaction; or
             392          (b) when prepared by or on behalf of a governmental entity, appraisals or estimates of
             393      the value of the subject property have already been disclosed to persons not employed by or
             394      under a duty of confidentiality to the entity;
             395          (9) records created or maintained for civil, criminal, or administrative enforcement
             396      purposes or audit purposes, or for discipline, licensing, certification, or registration purposes, if
             397      release of the records:
             398          (a) reasonably could be expected to interfere with investigations undertaken for
             399      enforcement, discipline, licensing, certification, or registration purposes;


             400          (b) reasonably could be expected to interfere with audits, disciplinary, or enforcement
             401      proceedings;
             402          (c) would create a danger of depriving a person of a right to a fair trial or impartial
             403      hearing;
             404          (d) reasonably could be expected to disclose the identity of a source who is not
             405      generally known outside of government and, in the case of a record compiled in the course of
             406      an investigation, disclose information furnished by a source not generally known outside of
             407      government if disclosure would compromise the source; or
             408          (e) reasonably could be expected to disclose investigative or audit techniques,
             409      procedures, policies, or orders not generally known outside of government if disclosure would
             410      interfere with enforcement or audit efforts;
             411          (10) records the disclosure of which would jeopardize the life or safety of an
             412      individual;
             413          (11) records the disclosure of which would jeopardize the security of governmental
             414      property, governmental programs, or governmental recordkeeping systems from damage, theft,
             415      or other appropriation or use contrary to law or public policy;
             416          (12) records that, if disclosed, would jeopardize the security or safety of a correctional
             417      facility, or records relating to incarceration, treatment, probation, or parole, that would interfere
             418      with the control and supervision of an offender's incarceration, treatment, probation, or parole;
             419          (13) records that, if disclosed, would reveal recommendations made to the Board of
             420      Pardons and Parole by an employee of or contractor for the Department of Corrections, the
             421      Board of Pardons and Parole, or the Department of Human Services that are based on the
             422      employee's or contractor's supervision, diagnosis, or treatment of any person within the board's
             423      jurisdiction;
             424          (14) records and audit workpapers that identify audit, collection, and operational
             425      procedures and methods used by the State Tax Commission, if disclosure would interfere with
             426      audits or collections;
             427          (15) records of a governmental audit agency relating to an ongoing or planned audit
             428      until the final audit is released;
             429          (16) records prepared by or on behalf of a governmental entity solely in anticipation of
             430      litigation that are not available under the rules of discovery;


             431          (17) records disclosing an attorney's work product, including the mental impressions or
             432      legal theories of an attorney or other representative of a governmental entity concerning
             433      litigation;
             434          (18) records of communications between a governmental entity and an attorney
             435      representing, retained, or employed by the governmental entity if the communications would be
             436      privileged as provided in Section 78-24-8 ;
             437          (19) (a) (i) personal files of a state legislator, including personal correspondence to or
             438      from a member of the Legislature; and
             439          (ii) notwithstanding Subsection (19)(a)(i), correspondence that gives notice of
             440      legislative action or policy may not be classified as protected under this section; and
             441          (b) (i) an internal communication that is part of the deliberative process in connection
             442      with the preparation of legislation between:
             443          (A) members of a legislative body;
             444          (B) a member of a legislative body and a member of the legislative body's staff; or
             445          (C) members of a legislative body's staff; and
             446          (ii) notwithstanding Subsection (19)(b)(i), a communication that gives notice of
             447      legislative action or policy may not be classified as protected under this section;
             448          (20) (a) records in the custody or control of the Office of Legislative Research and
             449      General Counsel, that, if disclosed, would reveal a particular legislator's contemplated
             450      legislation or contemplated course of action before the legislator has elected to support the
             451      legislation or course of action, or made the legislation or course of action public; and
             452          (b) notwithstanding Subsection (20)(a), the form to request legislation submitted to the
             453      Office of Legislative Research and General Counsel is a public document unless a legislator
             454      asks that the records requesting the legislation be maintained as protected records until such
             455      time as the legislator elects to make the legislation or course of action public;
             456          (21) research requests from legislators to the Office of Legislative Research and
             457      General Counsel or the Office of the Legislative Fiscal Analyst and research findings prepared
             458      in response to these requests;
             459          (22) drafts, unless otherwise classified as public;
             460          (23) records concerning a governmental entity's strategy about collective bargaining or
             461      pending litigation;


             462          (24) records of investigations of loss occurrences and analyses of loss occurrences that
             463      may be covered by the Risk Management Fund, the Employers' Reinsurance Fund, the
             464      Uninsured Employers' Fund, or similar divisions in other governmental entities;
             465          (25) records, other than personnel evaluations, that contain a personal recommendation
             466      concerning an individual if disclosure would constitute a clearly unwarranted invasion of
             467      personal privacy, or disclosure is not in the public interest;
             468          (26) records that reveal the location of historic, prehistoric, paleontological, or
             469      biological resources that if known would jeopardize the security of those resources or of
             470      valuable historic, scientific, educational, or cultural information;
             471          (27) records of independent state agencies if the disclosure of the records would
             472      conflict with the fiduciary obligations of the agency;
             473          (28) records of an institution within the state system of higher education defined in
             474      Section 53B-1-102 regarding tenure evaluations, appointments, applications for admissions,
             475      retention decisions, and promotions, which could be properly discussed in a meeting closed in
             476      accordance with Title 52, Chapter 4, Open and Public Meetings Act, provided that records of
             477      the final decisions about tenure, appointments, retention, promotions, or those students
             478      admitted, may not be classified as protected under this section;
             479          (29) records of the governor's office, including budget recommendations, legislative
             480      proposals, and policy statements, that if disclosed would reveal the governor's contemplated
             481      policies or contemplated courses of action before the governor has implemented or rejected
             482      those policies or courses of action or made them public;
             483          (30) records of the Office of the Legislative Fiscal Analyst relating to budget analysis,
             484      revenue estimates, and fiscal notes of proposed legislation before issuance of the final
             485      recommendations in these areas;
             486          (31) records provided by the United States or by a government entity outside the state
             487      that are given to the governmental entity with a requirement that they be managed as protected
             488      records if the providing entity certifies that the record would not be subject to public disclosure
             489      if retained by it;
             490          (32) transcripts, minutes, or reports of the closed portion of a meeting of a public body
             491      except as provided in Section 52-4-206 ;
             492          (33) records that would reveal the contents of settlement negotiations but not including


             493      final settlements or empirical data to the extent that they are not otherwise exempt from
             494      disclosure;
             495          (34) memoranda prepared by staff and used in the decision-making process by an
             496      administrative law judge, a member of the Board of Pardons and Parole, or a member of any
             497      other body charged by law with performing a quasi-judicial function;
             498          (35) records that would reveal negotiations regarding assistance or incentives offered
             499      by or requested from a governmental entity for the purpose of encouraging a person to expand
             500      or locate a business in Utah, but only if disclosure would result in actual economic harm to the
             501      person or place the governmental entity at a competitive disadvantage, but this section may not
             502      be used to restrict access to a record evidencing a final contract;
             503          (36) materials to which access must be limited for purposes of securing or maintaining
             504      the governmental entity's proprietary protection of intellectual property rights including patents,
             505      copyrights, and trade secrets;
             506          (37) the name of a donor or a prospective donor to a governmental entity, including an
             507      institution within the state system of higher education defined in Section 53B-1-102 , and other
             508      information concerning the donation that could reasonably be expected to reveal the identity of
             509      the donor, provided that:
             510          (a) the donor requests anonymity in writing;
             511          (b) any terms, conditions, restrictions, or privileges relating to the donation may not be
             512      classified protected by the governmental entity under this Subsection (37); and
             513          (c) except for an institution within the state system of higher education defined in
             514      Section 53B-1-102 , the governmental unit to which the donation is made is primarily engaged
             515      in educational, charitable, or artistic endeavors, and has no regulatory or legislative authority
             516      over the donor, a member of the donor's immediate family, or any entity owned or controlled
             517      by the donor or the donor's immediate family;
             518          (38) accident reports, except as provided in Sections 41-6a-404 , 41-12a-202 , and
             519      73-18-13 ;
             520          (39) a notification of workers' compensation insurance coverage described in Section
             521      34A-2-205 ;
             522          (40) (a) the following records of an institution within the state system of higher
             523      education defined in Section 53B-1-102 , which have been developed, discovered, disclosed to,


             524      or received by or on behalf of faculty, staff, employees, or students of the institution:
             525          (i) unpublished lecture notes;
             526          (ii) unpublished notes, data, and information:
             527          (A) relating to research; and
             528          (B) of:
             529          (I) the institution within the state system of higher education defined in Section
             530      53B-1-102 ; or
             531          (II) a sponsor of sponsored research;
             532          (iii) unpublished manuscripts;
             533          (iv) creative works in process;
             534          (v) scholarly correspondence; and
             535          (vi) confidential information contained in research proposals;
             536          (b) Subsection (40)(a) may not be construed to prohibit disclosure of public
             537      information required pursuant to Subsection 53B-16-302 (2)(a) or (b); and
             538          (c) Subsection (40)(a) may not be construed to affect the ownership of a record;
             539          (41) (a) records in the custody or control of the Office of Legislative Auditor General
             540      that would reveal the name of a particular legislator who requests a legislative audit prior to the
             541      date that audit is completed and made public; and
             542          (b) notwithstanding Subsection (41)(a), a request for a legislative audit submitted to the
             543      Office of the Legislative Auditor General is a public document unless the legislator asks that
             544      the records in the custody or control of the Office of Legislative Auditor General that would
             545      reveal the name of a particular legislator who requests a legislative audit be maintained as
             546      protected records until the audit is completed and made public;
             547          (42) records that provide detail as to the location of an explosive, including a map or
             548      other document that indicates the location of:
             549          (a) a production facility; or
             550          (b) a magazine;
             551          (43) information contained in the database described in Section 62A-3-311.1 ;
             552          (44) information contained in the Management Information System and Licensing
             553      Information System described in Title 62A, Chapter 4a, Child and Family Services;
             554          (45) information regarding National Guard operations or activities in support of the


             555      National Guard's federal mission;
             556          (46) records provided by any pawn or secondhand business to a law enforcement
             557      agency or to the central database in compliance with Title 13, Chapter 32a, Pawnshop and
             558      Secondhand Merchandise Transaction Information Act;
             559          (47) information regarding food security, risk, and vulnerability assessments performed
             560      by the Department of Agriculture and Food;
             561          (48) except to the extent that the record is exempt from this chapter pursuant to Section
             562      63-2-106 , records related to an emergency plan or program prepared or maintained by the
             563      Division of Homeland Security the disclosure of which would jeopardize:
             564          (a) the safety of the general public; or
             565          (b) the security of:
             566          (i) governmental property;
             567          (ii) governmental programs; or
             568          (iii) the property of a private person who provides the Division of Homeland Security
             569      information;
             570          (49) records of the Department of Agriculture and Food relating to the National
             571      Animal Identification System or any other program that provides for the identification, tracing,
             572      or control of livestock diseases, including any program established under Title 4, Chapter 24,
             573      Utah Livestock Brand and Anti-theft Act or Title 4, Chapter 31, Livestock Inspection and
             574      Quarantine;
             575          (50) as provided in Section 26-39-109 :
             576          (a) information or records held by the Department of Health related to a complaint
             577      regarding a child care program or residential child care which the department is unable to
             578      substantiate; and
             579          (b) information or records related to a complaint received by the Department of Health
             580      from an anonymous complainant regarding a child care program or residential child care; [and]
             581          (51) unless otherwise classified as public under Section 63-2-301 and except as
             582      provided under Section 41-1a-116 , an individual's home address, home telephone number, or
             583      personal mobile phone number, if:
             584          (a) the individual is required to provide the information in order to comply with a law,
             585      ordinance, rule, or order of a government entity; and


             586          (b) the subject of the record has a reasonable expectation that this information will be
             587      kept confidential due to:
             588          (i) the nature of the law, ordinance, rule, or order; and
             589          (ii) the individual complying with the law, ordinance, rule, or order[.]; and
             590          (52) (a) records of the Utah Educational Savings Plan Trust created under Section
             591      53B-8a-103 if the disclosure of the records would conflict with its fiduciary obligations;
             592          (b) proposals submitted to the Utah Educational Savings Plan Trust; and
             593          (c) contracts entered into by the Utah Educational Savings Plan Trust and the related
             594      payments.




Legislative Review Note
    as of 1-21-08 1:59 PM


Office of Legislative Research and General Counsel


[Bill Documents][Bills Directory]