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S.B. 5

             1     

REVENUE BOND AND CAPITAL FACILITIES

             2     
AUTHORIZATIONS

             3     
2009 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Chief Sponsor: Wayne L. Niederhauser

             6     
House Sponsor: Stephen D. Clark

             7     
             8      LONG TITLE
             9      General Description:
             10          This bill authorizes certain state agencies and higher education institutions to issue
             11      revenue bonds, build capital facilities using agency, institutional, or donated funds, or
             12      lease or dispose of real property.
             13      Highlighted Provisions:
             14          This bill:
             15          .    authorizes the issuance of revenue bonds by the State Building Ownership Authority
             16      and the State Board of Regents;
             17          .    authorizes other capital facility design and construction to be funded from agency,
             18      institutional, or donated funds; and
             19          .    authorizes the lease or disposal of certain state real property.
             20      Monies Appropriated in this Bill:
             21          None
             22      Other Special Clauses:
             23          None
             24      Utah Code Sections Affected:
             25      ENACTS:
             26          63B-18-101, Utah Code Annotated 1953
             27          63B-18-102, Utah Code Annotated 1953


             28          63B-18-201, Utah Code Annotated 1953
             29          63B-18-301, Utah Code Annotated 1953
             30     
             31      Be it enacted by the Legislature of the state of Utah:
             32          Section 1. Section 63B-18-101 is enacted to read:
             33     
CHAPTER 18. 2009 BOND AND FINANCING AUTHORIZATIONS

             34     
Part 1. 2009 Revenue Bond Authorizations

             35          63B-18-101. Revenue bond authorizations -- State Building Ownership Authority.
             36          (1) The Legislature intends that:
             37          (a) the State Building Ownership Authority, under the authority of Title 63B, Chapter
             38      1, Part 3, State Building Ownership Authority Act, may issue or execute obligations, or enter
             39      into or arrange for a lease-purchase agreement in which participation interests may be created,
             40      to provide up to $3,800,000 for the acquisition of property in the Salt Lake City, Utah area on
             41      which to construct a Department of Alcoholic Beverage Control warehouse expansion, together
             42      with additional amounts necessary to pay costs of issuance, pay capitalized interest, and fund
             43      any debt service reserve requirements; and
             44          (b) the Department of Alcoholic Beverage Control use increased sales revenues as the
             45      primary revenue source for repayment of any obligation created under authority of this section.
             46          (2) The Legislature intends that:
             47          (a) the State Building Ownership Authority, under the authority of Title 63B, Chapter
             48      1, Part 3, State Building Ownership Authority Act, may issue or execute obligations, or enter
             49      into or arrange for a lease-purchase agreement in which participation interests may be created,
             50      to provide up to $19,904,000 for the construction of a warehouse expansion for the Department
             51      of Alcoholic Beverage Control, together with additional amounts necessary to pay costs of
             52      issuance, pay capitalized interest, and fund any debt service reserve requirements;
             53          (b) the Department of Alcoholic Beverage Control use increased sales revenues as the
             54      primary revenue source for repayment of any obligation created under authority of this section;
             55      and
             56          (c) the Department of Alcoholic Beverage Control may request operation and
             57      maintenance funding from sales revenues.
             58          Section 2. Section 63B-18-102 is enacted to read:


             59          63B-18-102. Revenue bond authorizations -- Board of Regents.
             60          (1) The Legislature intends that:
             61          (a) the Board of Regents, on behalf of the University of Utah, may issue, sell, and
             62      deliver revenue bonds or other evidences of indebtedness of the University of Utah to borrow
             63      money on the credit, revenues, and reserves of the university, other than appropriations of the
             64      Legislature, to finance the cost of constructing a south campus housing project;
             65          (b) the University of Utah use student housing rental fees and parking fees as the
             66      primary revenue sources for repayment of any obligation created under authority of this
             67      section;
             68          (c) the maximum amount of revenue bonds or evidences of indebtedness authorized by
             69      this section is $48,000,000, together with other amounts necessary to pay costs of issuance, pay
             70      capitalized interest, and fund any debt service reserve requirements;
             71          (d) the university may plan, design, and construct the south campus housing project
             72      subject to the requirements of Title 63A, Chapter 5, State Building Board - Division of
             73      Facilities Construction and Management; and
             74          (e) the university may not request state funds for operation and maintenance costs or
             75      capital improvements.
             76          (2) The Legislature intends that:
             77          (a) the Board of Regents, on behalf of the University of Utah, may issue, sell, and
             78      deliver revenue bonds or other evidences of indebtedness of the University of Utah to borrow
             79      money on the credit, revenues, and reserves of the university, other than appropriations of the
             80      Legislature, to finance the cost of constructing an infrastructure development at the university
             81      "green field" site;
             82          (b) the University of Utah use research overhead funds and infrastructure fees on new
             83      construction projects supported by this infrastructure development as the primary revenue
             84      sources for repayment of any obligation created under authority of this section;
             85          (c) the maximum amount of revenue bonds or evidences of indebtedness authorized by
             86      this section is $44,000,000, together with other amounts necessary to pay costs of issuance, pay
             87      capitalized interest, and fund any debt service reserve requirements;
             88          (d) the university may plan, design, and construct the infrastructure development at the
             89      university "green field" site subject to the requirements of Title 63A, Chapter 5, State Building


             90      Board - Division of Facilities Construction and Management; and
             91          (e) the university may not request state funds for operation and maintenance costs or
             92      capital improvements.
             93          (3) The Legislature intends that:
             94          (a) the Board of Regents, on behalf of the University of Utah, may issue, sell, and
             95      deliver revenue bonds or other evidences of indebtedness of the University of Utah to borrow
             96      money on the credit, revenues, and reserves of the university, other than appropriations of the
             97      Legislature, to finance the cost of constructing an expansion of the University Neuropsychiatric
             98      Institute subject to the requirements of Subsection 63B-17-301 (1);
             99          (b) the University of Utah use institutional funds as the primary revenue source for
             100      repayment of any obligation created under authority of this section; and
             101          (c) the maximum amount of revenue bonds or evidences of indebtedness authorized by
             102      this section is $45,000,000, together with other amounts necessary to pay costs of issuance, pay
             103      capitalized interest, and fund any debt service reserve requirements.
             104          (4) The Legislature intends that:
             105          (a) the Board of Regents, on behalf of Utah State University, may issue, sell, and
             106      deliver revenue bonds or other evidences of indebtedness of Utah State University to borrow
             107      money on the credit, revenues, and reserves of the university, other than appropriations of the
             108      Legislature, to finance the cost of constructing a Vernal entrepreneurship and energy research
             109      center subject to the requirements of Subsection 63B-17-301 (4);
             110          (b) Utah State University use institutional funds as the primary revenue source for
             111      repayment of any obligation created under authority of this section; and
             112          (c) the maximum amount of revenue bonds or other evidences of indebtedness
             113      authorized by this section is $3,800,000, together with other amounts necessary to pay costs of
             114      issuance, pay capitalized interest, and fund any debt service reserve requirements.
             115          Section 3. Section 63B-18-201 is enacted to read:
             116     
Part 2. 2009 Capital Facility Design and Construction Authorizations

             117          63B-18-201. Authorizations to design and construct capital facilities using
             118      institutional or agency funds.
             119          (1) The Legislature intends that:
             120          (a) the University of Utah may, subject to requirements in Title 63A, Chapter 5, State


             121      Building Board - Division of Facilities Construction and Management, use institutional funds
             122      to plan and design an ambulatory care complex;
             123          (b) this authorization and the existence of plans and designs do not guarantee nor
             124      improve the chances for legislative approval of the remainder of the building in any subsequent
             125      year; and
             126          (c) no state funds be used for any portion of this planning and design.
             127          (2) The Legislature intends that:
             128          (a) the University of Utah may, subject to requirements in Title 63A, Chapter 5, State
             129      Building Board - Division of Facilities Construction and Management, use $64,445,000 in
             130      donations to plan, design, and construct a replacement and expansion of the Eccles School of
             131      Business Building, with 135,000 new square feet;
             132          (b) no state funds be used for any portion of this project unless expressly appropriated
             133      for this purpose or approved in a general obligation bond bill; and
             134          (c) the university may request state funds for operation and maintenance costs and
             135      capital improvements to the extent that the university is able to demonstrate to the Board of
             136      Regents that the facility meets approved academic and training purposes under Board of
             137      Regents policy R710.
             138          (3) The Legislature intends that:
             139          (a) the University of Utah may, subject to requirements in Title 63A, Chapter 5, State
             140      Building Board - Division of Facilities Construction and Management, use $8,689,000 in
             141      donations to plan, design, and construct a renovation of the Kennecott Building, with 19,400
             142      new square feet;
             143          (b) no state funds be used for any portion of this project; and
             144          (c) the university may request state funds for operation and maintenance costs and
             145      capital improvements to the extent that the university is able to demonstrate to the Board of
             146      Regents that the facility meets approved academic and training purposes under Board of
             147      Regents policy R710.
             148          (4) The Legislature intends that:
             149          (a) the University of Utah may, subject to requirements in Title 63A, Chapter 5, State
             150      Building Board - Division of Facilities Construction and Management, use $30,737,000 in
             151      donations to plan, design, and construct a Sorenson Arts and Education Complex, with 85,400


             152      new square feet;
             153          (b) no state funds be used for any portion of this project; and
             154          (c) the university may request state funds for operation and maintenance costs and
             155      capital improvements to the extent that the university is able to demonstrate to the Board of
             156      Regents that the facility meets approved academic and training purposes under Board of
             157      Regents policy R710.
             158          (5) The Legislature intends that:
             159          (a) the University of Utah may, subject to requirements in Title 63A, Chapter 5, State
             160      Building Board - Division of Facilities Construction and Management, use $4,477,500 in
             161      donations to plan, design, and construct a Meldrum Civil Engineering Building, with 11,800
             162      new square feet;
             163          (b) no state funds be used for any portion of this project; and
             164          (c) the university may request state funds for operation and maintenance costs and
             165      capital improvements to the extent that the university is able to demonstrate to the Board of
             166      Regents that the facility meets approved academic and training purposes under Board of
             167      Regents policy R710.
             168          (6) The Legislature intends that:
             169          (a) the University of Utah may, subject to requirements in Title 63A, Chapter 5, State
             170      Building Board - Division of Facilities Construction and Management, negotiate with a private
             171      developer to develop the Universe Project on land west of the university football stadium;
             172          (b) before entering into a contract with the developer, the university shall:
             173          (i) present the final contract terms to the Legislature's Executive Appropriations
             174      Committee;
             175          (ii) obtain the approval of the State Building Board; and
             176          (iii) the State Building Board may approve the agreement only if the university
             177      demonstrates that the contract terms will be a benefit to the state;
             178          (c) no state funds be used for any portion of this project; and
             179          (d) the university may request state funds for operation and maintenance costs and
             180      capital improvements to the extent that the university is able to demonstrate to the Board of
             181      Regents that the facility meets approved academic and training purposes under Board of
             182      Regents policy R710.


             183          (7) The Legislature intends that:
             184          (a) Utah Valley University may, subject to requirements in Title 63A, Chapter 5, State
             185      Building Board - Division of Facilities Construction and Management, use $2,650,000 in
             186      grants and institutional funds to plan, design, and construct a Business Resource Center, with
             187      12,000 new square feet;
             188          (b) no state funds be used for any portion of this project; and
             189          (c) the university may request state funds for operation and maintenance costs and
             190      capital improvements to the extent that the university is able to demonstrate to the Board of
             191      Regents that the facility meets approved academic and training purposes under Board of
             192      Regents policy R710.
             193          (8) The Legislature intends that:
             194          (a) Utah Valley University may, subject to requirements in Title 63A, Chapter 5, State
             195      Building Board - Division of Facilities Construction and Management, use $1,200,000 in
             196      donations and institutional funds to plan, design, and construct a track and field facility;
             197          (b) no state funds be used for any portion of this project; and
             198          (c) the university may request state funds for operation and maintenance costs and
             199      capital improvements to the extent that the university is able to demonstrate to the Board of
             200      Regents that the facility meets approved academic and training purposes under Board of
             201      Regents policy R710.
             202          (9) The Legislature intends that:
             203          (a) Utah Valley University may, subject to requirements in Title 63A, Chapter 5, State
             204      Building Board - Division of Facilities Construction and Management, use $600,000 in
             205      institutional funds to plan, design, and construct intramural playing fields;
             206          (b) no state funds be used for any portion of this project; and
             207          (c) the university may request state funds for operation and maintenance costs and
             208      capital improvements to the extent that the university is able to demonstrate to the Board of
             209      Regents that the facility meets approved academic and training purposes under Board of
             210      Regents policy R710.
             211          (10) The Legislature intends that:
             212          (a) Southern Utah University may, subject to requirements in Title 63A, Chapter 5,
             213      State Building Board - Division of Facilities Construction and Management, use $2,000,000 in


             214      donations to plan, design, and construct a baseball and soccer complex upgrade;
             215          (b) no state funds be used for any portion of this project; and
             216          (c) the university may not request state funds for operation and maintenance costs or
             217      capital improvements.
             218          (11) The Legislature intends that:
             219          (a) the Department of Natural Resources may, subject to requirements in Title 63A,
             220      Chapter 5, State Building Board - Division of Facilities Construction and Management, use
             221      $3,000,000 in federal grants to plan, design, and construct an interagency fire dispatch center,
             222      with 10,000 new square feet;
             223          (b) no state funds be used for any portion of this project; and
             224          (c) the department may not request state funds for operation and maintenance costs or
             225      capital improvements.
             226          (12) The Legislature intends that:
             227          (a) the Department of Natural Resources may, subject to requirements in Title 63A,
             228      Chapter 5, State Building Board - Division of Facilities Construction and Management, use
             229      $7,500,000 in federal grants to plan, design, and construct a curation facility in Vernal, with
             230      21,000 new square feet;
             231          (b) no state funds be used for any portion of this project; and
             232          (c) the department may not request state funds for operation and maintenance costs or
             233      capital improvements.
             234          (13) The Legislature intends that:
             235          (a) the Department of Natural Resources may, subject to requirements in Title 63A,
             236      Chapter 5, State Building Board - Division of Facilities Construction and Management, use
             237      $650,000 in federal grants to plan, design, and construct an expansion to the seed warehouse at
             238      the Great Basin Research Center, with 9,000 new square feet;
             239          (b) no state funds be used for any portion of this project unless expressly appropriated
             240      for this purpose; and
             241          (c) the department may not request state funds for operation and maintenance costs or
             242      capital improvements.
             243          (14) The Legislature intends that:
             244          (a) the Department of Veterans' Affairs may, subject to requirements in Title 63A,


             245      Chapter 5, State Building Board - Division of Facilities Construction and Management, use
             246      $3,500,000 in federal grants to plan, design, and construct improvements at the Veterans'
             247      Cemetery, with 15,000 new square feet;
             248          (b) no state funds be used for any portion of this project unless expressly appropriated
             249      for this purpose; and
             250          (c) the department may not request state funds for operation and maintenance costs or
             251      capital improvements.
             252          Section 4. Section 63B-18-301 is enacted to read:
             253     
Part 3. 2009 Property Authorizations

             254          63B-18-301. Authorizations to lease or dispose of property.
             255          (1) The Legislature intends that:
             256          (a) the Division of Facilities Construction and Management, acting in coordination
             257      with the Utah State Fair Corporation, may negotiate with the Utah Transit Authority for a
             258      long-term lease of land, or a license for long-term use of land, to the Utah Transit Authority at
             259      the State Fairpark; and
             260          (b) before entering into a contract with the Utah Transit Authority, the division shall:
             261          (i) obtain the approval of the State Building Board; and
             262          (ii) the State Building Board may approve the agreement only if the division
             263      demonstrates that the contract terms agree with Section 63A-5-306 and will be a benefit to the
             264      state.
             265          (2) The Legislature intends that:
             266          (a) the Department of Workforce Services may, in coordination with the Division of
             267      Facilities Construction and Management, sell a Temporary Placement Office in Salt Lake City,
             268      Utah, and three vacated buildings in Logan, Utah; and
             269          (b) sales shall be at fair market value.




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    as of 2-26-09 4:57 PM


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