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First Substitute S.B. 16

This document includes House Floor Amendments incorporated into the bill on Tue, Mar 8, 2011 at 11:01 AM by lerror. -->

Senator Wayne L. Niederhauser proposes the following substitute bill:


             1     
STATE TAX COMMISSION TAX, FEE, OR CHARGE

             2     
ADMINISTRATION AND COLLECTION AMENDMENTS

             3     
2011 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Chief Sponsor: Wayne L. Niederhauser

             6     
House Sponsor: John Dougall

             7     

             8      LONG TITLE
             9      General Description:
             10          This bill addresses the administration and collection of taxes, fees, or charges the State
             11      Tax Commission collects and enforces.
             12      Highlighted Provisions:
             13          This bill:
             14          .    defines terms;
             15          .    renames the Sales and Use Tax Administrative Fees Account to the State Tax
             16      Commission Administrative Charge Account;
             17          .    specifies the taxes, fees, and charges and the amount of the taxes, fees, and charges
             18      that the State Tax Commission shall retain and deposit into the State Tax
             19      Commission Administrative Charge Account;
             20          .    provides procedures and requirements for administering the State Tax Commission
             21      Administrative Charge Account;
             22          .    addresses the taxes, fees, and charges that are subject to certain sales and use tax
             23      collection and administration provisions;
             24          .    addresses the frequency with which certain taxes, fees, or charges are required to be
             25      paid to the State Tax Commission; and



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House Floor Amendments 3-8-2011 le/rlr
             26
         .    makes technical and conforming changes.
             27      Money Appropriated in this Bill:
             28          None
             29      Other Special Clauses:
             30          This bill takes effect on July 1, 2011.
             30a      H. This bill coordinates with H.B. 82, Sales and Use Taxes on Certain Lodging Related
             30b      Purchases, to provide that certain amendments in H.B. 82 supersede certain amendments in
             30c      this bill. .H
             31      Utah Code Sections Affected:
             32      AMENDS:
             33          10-1-307, as last amended by Laws of Utah 2010, Chapter 142
             34          10-1-405, as last amended by Laws of Utah 2009, Chapter 212
             35          19-6-715, as enacted by Laws of Utah 1993, Chapter 283
             36          19-6-716, as enacted by Laws of Utah 1993, Chapter 283
             37          19-6-808, as last amended by Laws of Utah 2002, Chapter 256
             38          53-10-604, as last amended by Laws of Utah 2010, Chapter 278
             39          59-12-108, as last amended by Laws of Utah 2008, Chapters 286, 382, and 384
             40          59-12-128, as last amended by Laws of Utah 2009, Chapter 212
             41          59-12-206, as last amended by Laws of Utah 1995, Chapter 226
             42          59-12-302, as last amended by Laws of Utah 2008, Chapter 384
             43          59-12-354, as last amended by Laws of Utah 2008, Chapter 384
             44          59-12-403, as last amended by Laws of Utah 2008, Chapters 382 and 384
             45          59-12-603, as last amended by Laws of Utah 2009, Chapter 7
             46          59-12-704, as last amended by Laws of Utah 2003, Chapter 296
             47          59-12-802, as last amended by Laws of Utah 2008, Chapter 384
             48          59-12-804, as last amended by Laws of Utah 2008, Chapter 384
             49          59-12-1102, as last amended by Laws of Utah 2010, Chapter 90
             50          59-12-1201, as last amended by Laws of Utah 2009, Chapter 203
             51          59-12-1302, as last amended by Laws of Utah 2008, Chapters 382 and 384
             52          59-12-1403, as enacted by Laws of Utah 2001, Chapter 192
             53          59-12-2004, as last amended by Laws of Utah 2009, Chapter 240
             54          59-12-2103, as enacted by Laws of Utah 2008, Chapter 323
             55          59-12-2207, as enacted by Laws of Utah 2010, Chapter 263
             56          59-26-104, as enacted by Laws of Utah 2004, Chapter 300



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House Floor Amendments 3-8-2011 le/rlr
             57
         59-27-105, as enacted by Laws of Utah 2004, Chapter 214
             58          69-2-5, as last amended by Laws of Utah 2010, Chapter 307
             59          69-2-5.5, as last amended by Laws of Utah 2009, Chapter 212
             60          69-2-5.6, as last amended by Laws of Utah 2008, Chapters 382 and 384
             61      ENACTS:
             62          59-1-306, Utah Code Annotated 1953
             62a      H. Utah Code Sections Affected by Coordination Clause:
             62b          59-12-302, as last amended by Laws of Utah 2008, Chapter 384 .H
             63     

             64      Be it enacted by the Legislature of the state of Utah:
             65          Section 1. Section 10-1-307 is amended to read:
             66           10-1-307. Administration, collection, and enforcement of taxes by commission --
             67      Distribution of revenues -- Administrative charge -- Collection of taxes by municipality.
             68          (1) (a) [Except] Subject to Subsection (1)(b) and except as provided in Subsection (3),
             69      the commission shall administer, collect, and enforce the municipal energy sales and use tax
             70      from energy suppliers according to the procedures established in:
             71          [(a)] (i) Title 59, Chapter 1, General Taxation Policies; and
             72          [(b)] (ii) Title 59, Chapter 12, Part 1, Tax Collection, except for Sections 59-12-107.1
             73      and 59-12-123 .
             74          (b) If an energy supplier pays a municipal energy sales and use tax to the commission,
             75      the energy supplier shall pay the municipal energy sales and use tax to the commission:
             76          (i) monthly on or before the last day of the month immediately following the last day of
             77      the previous month if:
             78          (A) the energy supplier is required to file a sales and use tax return with the
             79      commission monthly under Section 59-12-108 ; or
             80          (B) the energy supplier is not required to file a sales and use tax return under Title 59,
             81      Chapter 12, Sales and Use Tax Act; or
             82          (ii) quarterly on or before the last day of the month immediately following the last day
             83      of the previous quarter if the energy supplier is required to file a sales and use tax return with
             84      the commission quarterly under Section 59-12-108 .
             85          (2) (a) Except as provided in Subsections 10-1-203 (3)(d), 10-1-305 (5), and
             86      10-1-310 (2) and subject to Subsection (6), the commission shall pay a municipality the
             87      difference between:



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             88
         (i) the entire amount collected by the commission from the municipal energy sales and
             89      use tax authorized by this part based on:
             90          (A) the point of sale of the taxable energy if a taxable sale occurs in a municipality that
             91      imposes a municipal energy sales and use tax as provided in this part; or
             92          (B) the point of use of the taxable energy if the use occurs in a municipality that
             93      imposes a municipal energy sales and use tax as provided in this part; and
             94          (ii) the [administration fee charged in accordance with] administrative charge described
             95      in Subsection (2)(c).
             96          (b) In accordance with Subsection (2)(a), the commission shall transfer to the
             97      municipality monthly by electronic transfer the revenues generated by the municipal energy
             98      sales and use tax levied by the municipality and collected by the commission.
             99          [(c) (i) The commission shall charge a municipality imposing a municipal energy sales
             100      and use tax a fee for administering the tax at the percentage provided in Section 59-12-206 ,
             101      except that the commission may not charge a fee for taxes collected by a municipality under
             102      Subsection (3).]
             103          [(ii) The fee charged under Subsection (2)(c)(i) shall be:]
             104          [(A) deposited in the Sales and Use Tax Administrative Fees Account; and]
             105          [(B) expended to administer the municipal energy sales and use tax imposed under this
             106      part.]
             107          (c) (i) Subject to Subsection (2)(c)(ii), the commission shall retain and deposit an
             108      administrative charge in accordance with Section 59-1-306 from revenues the commission
             109      collects from a municipal energy sales and use tax under this part.
             110          (ii) The commission may not retain or deposit an administrative charge from revenues
             111      a municipality collects under Subsection (3) from a tax under this part.
             112          (3) An energy supplier shall pay the municipal energy sales and use tax revenues it
             113      collects from its customers under this part directly to each municipality in which the energy
             114      supplier has sales of taxable energy if:
             115          (a) the municipality is the energy supplier; or
             116          (b) (i) the energy supplier estimates that the municipal energy sales and use tax
             117      collected annually by the energy supplier from its Utah customers equals $1,000,000 or more;
             118      and



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             119
         (ii) the energy supplier collects the tax imposed by this part.
             120          (4) An energy supplier paying a tax under this part directly to a municipality may retain
             121      the percentage of the tax authorized under Subsection 59-12-108 (2) for the energy supplier's
             122      costs of collecting and remitting the tax.
             123          (5) An energy supplier paying the tax under this part directly to a municipality shall file
             124      an information return with the commission, at least annually, on a form prescribed by the
             125      commission.
             126          (6) (a) As used in this Subsection (6):
             127          (i) "2005 base amount" means, for a municipality that imposes a municipal energy
             128      sales and use tax, the natural gas portion of municipal energy sales and use tax proceeds paid to
             129      the municipality for fiscal year 2005.
             130          (ii) "2006 base amount" means, for a municipality that imposes a municipal energy
             131      sales and use tax, the natural gas portion of municipal energy sales and use tax proceeds paid to
             132      the municipality for fiscal year 2006, reduced by the 2006 rebate amount.
             133          (iii) "2006 rebate amount" means, for a municipality that imposes a municipal energy
             134      sales and use tax, the difference between:
             135          (A) the natural gas portion of municipal energy sales and use tax proceeds paid to the
             136      municipality for fiscal year 2006; and
             137          (B) the 2005 base amount, plus:
             138          (I) 10% of the 2005 base amount; and
             139          (II) the natural gas portion of municipal energy sales and use tax proceeds paid to the
             140      municipality for fiscal year 2006 attributable to an increase in the rate of the municipal energy
             141      sales and use tax implemented by the municipality during fiscal year 2006.
             142          (iv) "2007 rebate amount" means, for a municipality that imposes a municipal energy
             143      sales and use tax, the difference between:
             144          (A) the natural gas portion of municipal energy sales and use tax proceeds paid to the
             145      municipality for fiscal year 2007; and
             146          (B) the 2006 base amount, plus:
             147          (I) 10% of the 2006 base amount; and
             148          (II) the natural gas portion of municipal energy sales and use tax proceeds paid to the
             149      municipality for fiscal year 2007 attributable to an increase in the rate of the municipal energy



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             150
     sales and use tax implemented by the municipality during fiscal year 2007.
             151          (v) "Fiscal year 2005" means the period beginning July 1, 2004 and ending June 30,
             152      2005.
             153          (vi) "Fiscal year 2006" means the period beginning July 1, 2005 and ending June 30,
             154      2006.
             155          (vii) "Fiscal year 2007" means the period beginning July 1, 2006 and ending June 30,
             156      2007.
             157          (viii) "Gas supplier" means an energy supplier that supplies natural gas.
             158          (ix) "Natural gas portion" means the amount of municipal energy sales and use tax
             159      proceeds attributable to sales and uses of natural gas.
             160          (b) (i) In December 2006, each gas supplier shall reduce the natural gas portion of
             161      municipal energy sales and use gas proceeds to be paid to a municipality by the 2006 rebate
             162      amount.
             163          (ii) If the 2006 rebate amount exceeds the amount of the natural gas portion of
             164      municipal energy sales and use tax proceeds for December 2006, the gas supplier shall reduce
             165      the natural gas portion of municipal energy sales and use tax proceeds to be paid to a
             166      municipality each month thereafter until the 2006 rebate amount is exhausted.
             167          (iii) For December 2006 and for each month thereafter that the gas supplier is required
             168      under Subsection (6)(b)(ii) to reduce the natural gas portion of municipal energy sales and use
             169      tax proceeds to be paid to a municipality:
             170          (A) each municipality imposing a municipal energy sales and use tax shall provide the
             171      gas supplier with the amount by which its municipal energy sales and use tax rate applicable to
             172      the sales and uses of natural gas would need to be reduced in order to reduce the natural gas
             173      portion of municipal energy sales and use tax proceeds by the same amount as the reduction to
             174      the municipality; and
             175          (B) each gas supplier shall reduce the municipal energy sales and use tax rate
             176      applicable to sales and uses of natural gas by the amount of the tax rate reduction provided by
             177      the municipality.
             178          (c) (i) In December 2007, each gas supplier shall reduce the natural gas portion of
             179      municipal energy sales and use tax proceeds to be paid to a municipality by the 2007 rebate
             180      amount.



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             181
         (ii) If the 2007 rebate amount exceeds the amount of the natural gas portion of
             182      municipal energy sales and use tax proceeds for December 2007, the gas supplier shall reduce
             183      the natural gas portion of municipal energy sales and use tax proceeds to be paid to a
             184      municipality each month thereafter until the 2007 rebate amount is exhausted.
             185          (iii) For December 2007 and for each month thereafter that the gas supplier is required
             186      under Subsection (6)(c)(ii) to reduce the natural gas portion of municipal energy sales and use
             187      tax proceeds to be paid to a municipality:
             188          (A) each municipality imposing a municipal energy sales and use tax shall provide the
             189      gas supplier with the amount by which its municipal energy sales and use tax rate applicable to
             190      the sales and uses of natural gas would need to be reduced in order to reduce the natural gas
             191      portion of municipal energy sales and use tax proceeds by the same amount as the reduction to
             192      the municipality; and
             193          (B) each gas supplier shall reduce the municipal energy sales and use tax rate
             194      applicable to sales and uses of natural gas by the amount of the tax rate reduction provided by
             195      the municipality.
             196          (d) Nothing in this Subsection (6) may be construed to require a reduction under
             197      Subsection (6)(b) or (c) if the rebate amount is zero or negative.
             198          Section 2. Section 10-1-405 is amended to read:
             199           10-1-405. Collection of taxes by commission -- Uniform interlocal agreement --
             200      Administrative charge -- Rulemaking authority.
             201          (1) Subject to the other provisions of this section, the commission shall collect,
             202      enforce, and administer any municipal telecommunications license tax imposed under this part
             203      pursuant to:
             204          (a) the same procedures used in the administration, collection, and enforcement of the
             205      state sales and use tax under:
             206          (i) Title 59, Chapter 1, General Taxation Policies; and
             207          (ii) Title 59, Chapter 12, Part 1, Tax Collection:
             208          (A) except for:
             209          (I) Subsection 59-12-103 (2)(g);
             210          (II) Section 59-12-104 ;
             211          (III) Section 59-12-104.1 ;



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             212
         (IV) Section 59-12-104.2 ;
             213          (V) Section 59-12-104.3 ;
             214          (VI) Section 59-12-107.1 ; and
             215          (VII) Section 59-12-123 ; and
             216          (B) except that for purposes of Section 59-1-1410 , the term "person" may include a
             217      customer from whom a municipal telecommunications license tax is recovered in accordance
             218      with Subsection 10-1-403 (2); and
             219          (b) a uniform interlocal agreement[: (i)] between[: (A)] the municipality that imposes
             220      the municipal telecommunications license tax[;] and [(B)] the commission[;]:
             221          [(ii)] (i) that is executed under Title 11, Chapter 13, Interlocal Cooperation Act;
             222          [(iii)] (ii) that complies with Subsection (2)(a); and
             223          [(iv)] (iii) that is developed by rule in accordance with Subsection (2)(b).
             224          (2) (a) The uniform interlocal agreement described in Subsection (1) shall provide that
             225      the commission shall:
             226          (i) transmit money collected under this part[: (A)] monthly[; and (B)] by electronic
             227      funds transfer by the commission to the municipality;
             228          (ii) conduct audits of the municipal telecommunications license tax;
             229          [(iii) charge the municipality for the commission's services under this section in an
             230      amount:]
             231          [(A) sufficient to reimburse the commission for the cost to the commission in
             232      rendering the services; and]
             233          [(B) that may not exceed an amount equal to 1.5% of the municipal
             234      telecommunications license tax imposed by the ordinance of the municipality; and]
             235          (iii) retain and deposit an administrative charge in accordance with Section 59-1-306
             236      from revenues the commission collects from a tax under this part; and
             237          (iv) collect, enforce, and administer the municipal telecommunications license tax
             238      authorized under this part pursuant to the same procedures used in the administration,
             239      collection, and enforcement of the state sales and use tax as provided in Subsection (1)(a).
             240          (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             241      commission shall develop a uniform interlocal agreement that meets the requirements of this
             242      section.



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             243
         [(3) The administrative fee charged under Subsection (2)(a) shall be:]
             244          [(a) deposited in the Sales and Use Tax Administrative Fees Account; and]
             245          [(b) used for administration of municipal telecommunications license taxes under this
             246      part.]
             247          (3) If a telecommunications provider pays a municipal telecommunications license tax
             248      to the commission, the telecommunications provider shall pay the municipal
             249      telecommunications license tax to the commission:
             250          (a) monthly on or before the last day of the month immediately following the last day
             251      of the previous month if:
             252          (i) the telecommunications provider is required to file a sales and use tax return with
             253      the commission monthly under Section 59-12-108 ; or
             254          (ii) the telecommunications provider is not required to file a sales and use tax return
             255      under Title 59, Chapter 12, Sales and Use Tax Act; or
             256          (b) quarterly on or before the last day of the month immediately following the last day
             257      of the previous quarter if the telecommunications provider is required to file a sales and use tax
             258      return with the commission quarterly under Section 59-12-108 .
             259          (4) If, on July 1, 2007, a municipality has in effect an ordinance that levies a municipal
             260      telecommunications license tax under this part at a rate that exceeds 3.5%:
             261          (a) except as provided in Subsection (4)(b), beginning on July 1, 2007, the commission
             262      shall collect the municipal telecommunications license tax:
             263          (i) within the municipality;
             264          (ii) at a rate of 3.5%; and
             265          (iii) from a telecommunications provider required to pay the municipal
             266      telecommunications license tax on or after July 1, 2007; and
             267          (b) the commission shall collect a municipal telecommunications license tax within the
             268      municipality at the rate imposed by the municipality if:
             269          (i) after July 1, 2007, the municipality has in effect an ordinance that levies a municipal
             270      telecommunications license tax under this part at a rate of up to 3.5%;
             271          (ii) the municipality meets the requirements of Subsection 10-1-403 (3)(b) in changing
             272      the rate of the municipal telecommunications license tax; and
             273          (iii) a telecommunications provider is required to pay the municipal



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             274
     telecommunications license tax on or after the day on which the ordinance described in
             275      Subsection (4)(b)(ii) takes effect.
             276          Section 3. Section 19-6-715 is amended to read:
             277           19-6-715. Recycling fee collection procedures.
             278          (1) [The] A lubricating oil vendor shall pay the fee collected under Section 19-6-714 to
             279      the commission [on or before the last day of the month following the calendar quarter in which
             280      the sale occurs.]:
             281          (a) monthly on or before the last day of the month immediately following the last day
             282      of the previous month if:
             283          (i) the lubricating oil vendor is required to file a sales and use tax return with the
             284      commission monthly under Section 59-12-108 ; or
             285          (ii) the lubricating oil vendor is not required to file a sales and use tax return under
             286      Title 59, Chapter 12, Sales and Use Tax Act; or
             287          (b) quarterly on or before the last day of the month immediately following the last day
             288      of the previous quarter if the lubricating oil vendor is required to file a sales and use tax return
             289      with the commission quarterly under Section 59-12-108 .
             290          (2) [The] A lubricating oil vendor may retain a maximum of 2% of the recycling fee it
             291      collects under Section 19-6-714 for the costs of collecting the fee.
             292          (3) The payment of the fee to the commission shall be accompanied by a form provided
             293      by the commission.
             294          Section 4. Section 19-6-716 is amended to read:
             295           19-6-716. Fee collection by commission -- Administrative charge.
             296          (1) The commission shall administer, collect, and enforce the fee authorized under
             297      Section 19-6-714 pursuant to the same procedures used in the administration, collection, and
             298      enforcement of the sales and use tax under Title 59, Chapter 12, Sales and Use Tax Act, and
             299      Title 59, Chapter 1, General Taxation Policies.
             300          (2) The commission [may retain a maximum of 2-1/2% of the fee collected under
             301      Section 19-6-715 for the costs of rendering its services under this part] shall retain and deposit
             302      an administrative charge in accordance with Section 59-1-306 from the revenues the
             303      commission collects from a fee under Section 19-6-714 .
             304          Section 5. Section 19-6-808 is amended to read:



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             305
          19-6-808. Payment of recycling fee -- Administrative charge.
             306          (1) [The] A tire retailer shall pay the recycling fee [shall be paid by the tire retailer] to
             307      the commission:
             308          [(a) on or before the last day of the month following the calendar quarter in which the
             309      sale occurs for quarterly filers; and]
             310          [(b) the last day of January following the end of the calendar year for annual filers.]
             311          (a) monthly on or before the last day of the month immediately following the last day
             312      of the previous month if:
             313          (i) the tire retailer is required to file a sales and use tax return with the commission
             314      monthly under Section 59-12-108 ; or
             315          (ii) the tire retailer is not required to file a sales and use tax return under Title 59,
             316      Chapter 12, Sales and Use Tax Act; or
             317          (b) quarterly on or before the last day of the month immediately following the last day
             318      of the previous quarter if the tire retailer is required to file a sales and use tax return with the
             319      commission quarterly under Section 59-12-108 .
             320          (2) The payment shall be accompanied by [the] a form prescribed by the commission.
             321          (3) (a) The proceeds of the fee shall be transferred by the commission to the fund for
             322      payment of partial reimbursement.
             323          (b) The commission [may retain an amount not to exceed 2-1/2% of the recycling fee
             324      collected under this part for the cost to it of rendering its services] shall retain and deposit an
             325      administrative charge in accordance with Section 59-1-306 from the revenues the commission
             326      collects from a fee under Section 19-6-805 .
             327          (4) (a) The commission shall administer, collect, and enforce the fee authorized under
             328      this part [pursuant to] in accordance with the same procedures used in the administration,
             329      collection, and enforcement of the [general] state sales and use tax under Title 59, Chapter 12,
             330      Sales and Use Tax Act, and [the provisions of] Title 59, Chapter 1, General Taxation Policies.
             331      [The]
             332          (b) A tire retailer may retain 2-1/2% of the recycling fee collected under this part for
             333      the cost of collecting the fee.
             334          [(b)] (c) The exemptions [from the general state sales and use tax] provided [for] in
             335      Section 59-12-104 do not apply to this part.



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             336
         (5) The fee imposed by this part is in addition to all other state, county, or municipal
             337      fees and taxes imposed on the sale of new tires.
             338          Section 6. Section 53-10-604 is amended to read:
             339           53-10-604. Committee expenses -- Division of Finance responsibilities.
             340          (1) Committee expenses and the costs of administering grants from the restricted
             341      account, as provided in Subsection [(3)] (2), shall be paid from the restricted account.
             342          [(2) (a) The expenses and costs of the State Tax Commission to administer and enforce
             343      the collection of the telephone levy imposed by Section 69-2-5.6 shall be paid from the
             344      restricted account.]
             345          [(b) (i) The State Tax Commission may charge the restricted account the administrative
             346      costs incurred in discharging the responsibilities imposed by Section 69-2-5.6 .]
             347          [(ii) The charges in Subsection (2)(b)(i) may not exceed an amount equal to 1.5% of
             348      the charges imposed under Section 69-2-5.6 .]
             349          [(3)] (2) (a) The Division of Finance shall be responsible for the care, custody,
             350      safekeeping, collection, and accounting for grants issued by the committee under the provisions
             351      of Section 53-10-605 .
             352          (b) The Division of Finance may charge the restricted account the administrative costs
             353      incurred in discharging the responsibilities imposed by Subsection [(3)] (2)(a).
             354          Section 7. Section 59-1-306 is enacted to read:
             355          59-1-306. Definition -- State Tax Commission Administrative Charge Account --
             356      Amount of administrative charge -- Deposit of revenues into the restricted account --
             357      Interest deposited into General Fund -- Expenditure of money deposited into the
             358      restricted account.
             359          (1) As used in this section, "qualifying tax, fee, or charge" means a tax, fee, or charge
             360      the commission administers under:
             361          (a) Chapter 12, Sales and Use Tax Act, other than a tax under Chapter 12, Part 1, Tax
             362      Collection, or Chapter 12, Part 18, Additional State Sales and Use Tax Act;
             363          (b) Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
             364          (c) Title 10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act;
             365          (d) Section 19-6-714 ;
             366          (e) Section 19-6-805 ;



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             367
         (f) Section 59-27-105 ;
             368          (g) Section 69-2-5 ;
             369          (h) Section 69-2-5.5 ; or
             370          (i) Section 69-2-5.6 .
             371          (2) There is created a restricted account within the General Fund known as the "State
             372      Tax Commission Administrative Charge Account."
             373          (3) Subject to the other provisions of this section, the restricted account shall consist of
             374      administrative charges the commission retains and deposits in accordance with this section.
             375          (4) For purposes of this section, the administrative charge is a percentage of revenues
             376      the commission collects from each qualifying tax, fee, or charge of not to exceed the lesser of:
             377          (a) 1.50%; or
             378          (b) an equal percentage of revenues the commission collects from each qualifying tax,
             379      fee, or charge sufficient to cover the cost to the commission of administering the qualifying
             380      taxes, fees, or charges.
             381          (5) The commission shall deposit an administrative charge into the restricted account.
             382          (6) Interest earned on the restricted account shall be deposited into the General Fund.
             383          (7) The commission shall expend money appropriated by the Legislature to the
             384      commission from the restricted account to administer qualifying taxes, fees, or charges.
             385          Section 8. Section 59-12-108 is amended to read:
             386           59-12-108. Monthly payment -- Amount of tax a seller may retain -- Penalty --
             387      Certain amounts allocated to local taxing jurisdictions.
             388          (1) (a) Notwithstanding Section 59-12-107 , a seller that has a tax liability under this
             389      chapter of $50,000 or more for the previous calendar year shall:
             390          (i) file a return with the commission:
             391          (A) monthly on or before the last day of the month immediately following the month
             392      for which the seller collects a tax under this chapter; and
             393          (B) for the month for which the seller collects a tax under this chapter; and
             394          (ii) except as provided in Subsection (1)(b), remit with the return required by
             395      Subsection (1)(a)(i) the amount the person is required to remit to the commission for each tax,
             396      fee, or charge described in Subsection (1)(c):
             397          (A) if that seller's tax liability under this chapter for the previous calendar year is less



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             398
     than $96,000, by any method permitted by the commission; or
             399          (B) if that seller's tax liability under this chapter for the previous calendar year is
             400      $96,000 or more, by electronic funds transfer.
             401          (b) A seller shall remit electronically with the return required by Subsection (1)(a)(i)
             402      the amount the seller is required to remit to the commission for each tax, fee, or charge
             403      described in Subsection (1)(c) if that seller:
             404          (i) is required by Section 59-12-107 to file the return electronically; or
             405          (ii) (A) is required to collect and remit a tax under Subsection 59-12-107 (1)(a); and
             406          (B) files a simplified electronic return.
             407          (c) Subsections (1)(a) and (b) apply to the following taxes, fees, or charges:
             408          (i) a tax under Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
             409          (ii) a fee under Section [ 19-6-716 ] 19-6-714 ;
             410          (iii) a fee under Section 19-6-805 ;
             411          (iv) a charge under Section 69-2-5 ;
             412          (v) a charge under Section 69-2-5.5 ;
             413          (vi) a charge under Section 69-2-5.6 ; or
             414          (vii) a tax under this chapter.
             415          (d) Notwithstanding Subsection (1)(a)(ii) and in accordance with Title 63G, Chapter 3,
             416      Utah Administrative Rulemaking Act, the commission shall make rules providing for a method
             417      for making same-day payments other than by electronic funds transfer if making payments by
             418      electronic funds transfer fails.
             419          (e) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             420      commission shall establish by rule procedures and requirements for determining the amount a
             421      seller is required to remit to the commission under this Subsection (1).
             422          (2) (a) Except as provided in Subsection (3), a seller subject to Subsection (1) or a
             423      seller described in Subsection (4) may retain each month the amount allowed by this
             424      Subsection (2).
             425          (b) A seller subject to Subsection (1) or a seller described in Subsection (4) may retain
             426      each month 1.31% of any amounts the seller is required to remit to the commission:
             427          (i) for a transaction described in Subsection 59-12-103 (1) that is subject to a state tax
             428      and a local tax imposed in accordance with the following, for the month for which the seller is



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             429
     filing a return in accordance with Subsection (1):
             430          (A) Subsection 59-12-103 (2)(a);
             431          (B) Subsection 59-12-103 (2)(b); and
             432          (C) Subsection 59-12-103 (2)(d); and
             433          (ii) for an agreement sales and use tax.
             434          (c) (i) A seller subject to Subsection (1) or a seller described in Subsection (4) may
             435      retain each month the amount calculated under Subsection (2)(c)(ii) for a transaction described
             436      in Subsection 59-12-103 (1) that is subject to the state tax and the local tax imposed in
             437      accordance with Subsection 59-12-103 (2)(c).
             438          (ii) For purposes of Subsection (2)(c)(i), the amount a seller may retain is an amount
             439      equal to the sum of:
             440          (A) 1.31% of any amounts the seller is required to remit to the commission for:
             441          (I) the state tax and the local tax imposed in accordance with Subsection
             442      59-12-103 (2)(c);
             443          (II) the month for which the seller is filing a return in accordance with Subsection (1);
             444      and
             445          (III) an agreement sales and use tax; and
             446          (B) 1.31% of the difference between:
             447          (I) the amounts the seller would have been required to remit to the commission:
             448          (Aa) in accordance with Subsection 59-12-103 (2)(a) if the transaction had been subject
             449      to the state tax and the local tax imposed in accordance with Subsection 59-12-103 (2)(a);
             450          (Bb) for the month for which the seller is filing a return in accordance with Subsection
             451      (1); and
             452          (Cc) for an agreement sales and use tax; and
             453          (II) the amounts the seller is required to remit to the commission for:
             454          (Aa) the state tax and the local tax imposed in accordance with Subsection
             455      59-12-103 (2)(c);
             456          (Bb) the month for which the seller is filing a return in accordance with Subsection (1);
             457      and
             458          (Cc) an agreement sales and use tax.
             459          (d) A seller subject to Subsection (1) or a seller described in Subsection (4) may retain



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             460
     each month 1% of any amounts the seller is required to remit to the commission:
             461          (i) for the month for which the seller is filing a return in accordance with Subsection
             462      (1); and
             463          (ii) under:
             464          (A) Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
             465          (B) Subsection 59-12-603 (1)(a)(i)(A); or
             466          (C) Subsection 59-12-603 (1)(a)(i)(B).
             467          (3) A state government entity that is required to remit taxes monthly in accordance
             468      with Subsection (1) may not retain any amount under Subsection (2).
             469          (4) A seller that has a tax liability under this chapter for the previous calendar year of
             470      less than $50,000 may:
             471          (a) voluntarily meet the requirements of Subsection (1); and
             472          (b) if the seller voluntarily meets the requirements of Subsection (1), retain the
             473      amounts allowed by Subsection (2).
             474          (5) Penalties for late payment shall be as provided in Section 59-1-401 .
             475          (6) (a) Except as provided in Subsection (6)(c), for any amounts required to be remitted
             476      to the commission under this part, the commission shall each month calculate an amount equal
             477      to the difference between:
             478          (i) the total amount retained for that month by all sellers had the percentages listed
             479      under Subsections (2)(b) and (2)(c)(ii) been 1.5%; and
             480          (ii) the total amount retained for that month by all sellers at the percentages listed
             481      under Subsections (2)(b) and (2)(c)(ii).
             482          (b) The commission shall each month allocate the amount calculated under Subsection
             483      (6)(a) to each county, city, and town on the basis of the proportion of agreement sales and use
             484      tax that the commission distributes to each county, city, and town for that month compared to
             485      the total agreement sales and use tax that the commission distributes for that month to all
             486      counties, cities, and towns.
             487          (c) The amount the commission calculates under Subsection (6)(a) may not include an
             488      amount collected from a tax that:
             489          (i) the state imposes within a county, city, or town, including the unincorporated area
             490      of a county; and



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             491
         (ii) is not imposed within the entire state.
             492          Section 9. Section 59-12-128 is amended to read:
             493           59-12-128. Amnesty.
             494          (1) As used in this section, "amnesty" means that a seller is not required to pay the
             495      following amounts that the seller would otherwise be required to pay:
             496          (a) a tax, fee, or charge under:
             497          (i) Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
             498          (ii) Title 10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act;
             499          (iii) Section 19-6-714 ;
             500          (iv) Section 19-6-805 ;
             501          (v) Chapter 26, Multi-Channel Video or Audio Service Tax Act;
             502          [(v)] (vi) Section 69-2-5 ;
             503          [(vi)] (vii) Section 69-2-5.5 ;
             504          [(vii)] (viii) Section 69-2-5.6 ; or
             505          [(viii)] (ix) this chapter;
             506          (b) a penalty on a tax, fee, or charge described in Subsection (1)(a); or
             507          (c) interest on a tax, fee, or charge described in Subsection (1)(a).
             508          (2) The commission shall grant a seller amnesty under this section if the seller:
             509          (a) was not licensed under Section 59-12-106 at any time during the 12-month period
             510      prior to the effective date of the state's participation in the agreement;
             511          (b) obtains a license under Section 59-12-106 within a 12-month period after the
             512      effective date of the state's participation in the agreement; and
             513          (c) is registered under the agreement.
             514          (3) A seller may not receive amnesty under this section for a tax, fee, or charge:
             515          (a) the seller collects;
             516          (b) the seller remits to the commission;
             517          (c) that the seller is required to remit to the commission on the seller's purchase; or
             518          (d) arising from a transaction that occurs within a time period that is under audit by the
             519      commission if:
             520          (i) the seller receives notice of the commencement of the audit prior to obtaining a
             521      license under Section 59-12-106 ; and



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             522
         (ii) (A) the audit described in Subsection (3)(d)(i) is not complete; or
             523          (B) the seller has not exhausted all administrative and judicial remedies in connection
             524      with the audit described in Subsection (3)(d)(i).
             525          (4) (a) Except as provided in Subsection (4)(b), amnesty the commission grants to a
             526      seller under this section:
             527          (i) applies to the time period during which the seller is not licensed under Section
             528      59-12-106 ; and
             529          (ii) remains in effect if, for a period of three years, the seller:
             530          (A) remains registered under the agreement;
             531          (B) collects a tax, fee, or charge on a transaction subject to a tax, fee, or charge
             532      described in Subsection (1)(a); and
             533          (C) remits to the commission the taxes, fees, and charges the seller collects in
             534      accordance with Subsection (4)(a)(ii)(B).
             535          (b) The commission may not grant a seller amnesty under this section if, with respect
             536      to a tax, fee, or charge for which the seller would otherwise be granted amnesty under this
             537      section, the seller commits:
             538          (i) fraud; or
             539          (ii) an intentional misrepresentation of a material fact.
             540          (5) (a) If a seller does not meet a requirement of Subsection (4)(a)(ii), the commission
             541      shall require the seller to pay the amounts described in Subsection (1) that the seller would
             542      have otherwise been required to pay.
             543          (b) Notwithstanding Section 59-1-1410 , for purposes of requiring a seller to pay an
             544      amount in accordance with Subsection (5)(a), the time period for the commission to make an
             545      assessment under Section 59-1-1410 is extended for a time period beginning on the date the
             546      seller does not meet a requirement of Subsection (4)(a)(ii) and ends three years after that date.
             547          Section 10. Section 59-12-206 is amended to read:
             548           59-12-206. Collection of taxes by commission -- Administrative charge.
             549          (1) [All] The commission shall transmit the sales and use [taxes collected by] tax
             550      revenues the commission [pursuant to] collects in accordance with a contract with any county,
             551      city, or town[, or county shall be transmitted by electronic funds transfer by the commission to
             552      such city, town, or county monthly, and the commission shall charge the city, town, or county



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             553
     for the commission's services specified in this part an amount sufficient to reimburse the
             554      commission for the cost to it in rendering the services. This charge may not exceed an amount
             555      equal to 1-1/2% of the sales or use tax imposed by the ordinance of the applicable city, town,
             556      or county] monthly by electronic funds transfer.
             557          [(2) Beginning July 1, 1994, this administrative charge shall be placed in a restricted
             558      account, called the Sales and Use Tax Administrative Fees Account. Appropriations may be
             559      made from this account for sales tax administration.]
             560          (2) The commission shall retain and deposit an administrative charge in accordance
             561      with Section 59-1-306 from revenues the commission collects from a tax under this part.
             562          Section 11. Section 59-12-302 is amended to read:
             563           59-12-302. Collection of tax -- Administrative charge -- Penalties -- Commission
             564      to interpret, audit, and adjudicate transient room tax.
             565          (1) (a) Except as provided in Subsection (1)(b) or (c), the tax authorized under this part
             566      shall be administered, collected, and enforced in accordance with:
             567          (i) the same procedures used to administer, collect, and enforce the tax under:
             568          (A) Part 1, Tax Collection; or
             569          (B) Part 2, Local Sales and Use Tax Act; and
             570          (ii) Chapter 1, General Taxation Policies.
             571          (b) (i) [Notwithstanding Section 59-12-206 , each] A county may collect revenues from
             572      the tax imposed by the county and need not transmit the [tax] revenues to the commission or
             573      contract with the commission to collect the [tax] revenues.
             574          (ii) [The amount of tax collected shall be reported] A county shall report the amount of
             575      revenues the county collects from the tax to the commission as provided in Sections 59-12-211
             576      through 59-12-215 .
             577          (c) A tax under this part is not subject to Section 59-12-107.1 or 59-12-123 or
             578      Subsections 59-12-205 (2) through (6).
             579          (d) (i) If the commission collects a tax under this part, the commission:
             580          (A) except as provided in Subsection (1)(d)(i)(B), shall distribute the revenues
             581      [generated by] collected from the tax to the county within which the revenues were [generated]
             582      collected; and
             583          [(B) notwithstanding Subsection (1)(d)(i)(A), may retain an amount of tax collected



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             584
     under this part of not to exceed the lesser of:]
             585          [(I) 1.5%; or]
             586          [(II) an amount equal to the cost to the commission of administering this part.]
             587          [(ii) Any amount the commission retains under Subsection (1)(d)(i)(B) shall be:]
             588          [(A) placed in the Sales and Use Tax Administrative Fees Account; and]
             589          [(B) used as provided in Subsection 59-12-206 (2).]
             590          (B) except as provided in Subsection (1)(d)(ii), shall retain and deposit an
             591      administrative charge in accordance with Section 59-1-306 from revenues the commission
             592      collects from a tax under this part.
             593          (ii) The commission may not retain or deposit an administrative charge from revenues
             594      a county collects under Subsection (1)(b)(i) from a tax under this part.
             595          (2) (a) The tax ordinance adopted by a county pursuant to Section 59-12-301 may
             596      include provisions for the imposition of penalties and interest if a person or entity required to
             597      pay a tax under this part fails to timely remit the tax to the collecting agent.
             598          (b) A county legislative body may not establish penalties and interest by ordinance that
             599      exceed the penalties and interest rates authorized for the commission in Sections 59-1-401 and
             600      59-1-402 .
             601          (3) A county may adopt an ordinance imposing penalties and interest under Subsection
             602      (2) only if the county does not contract with the commission to collect the tax.
             603          (4) If a county elects to collect the tax as provided in Subsection (1), the commission
             604      shall interpret, audit, and adjudicate the tax imposed under this part.
             605          Section 12. Section 59-12-354 is amended to read:
             606           59-12-354. Collection of tax -- Administrative charge -- Penalties -- Commission
             607      to interpret, audit, and adjudicate transient room tax.
             608          (1) Except as provided in Subsections (2) and (3), the tax authorized under this part
             609      shall be administered, collected, and enforced in accordance with:
             610          (a) the same procedures used to administer, collect, and enforce the tax under:
             611          (i) Part 1, Tax Collection; or
             612          (ii) Part 2, Local Sales and Use Tax Act; and
             613          (b) Chapter 1, General Taxation Policies.
             614          (2) [Notwithstanding Section 59-12-206 , a] A municipality imposing a tax under this



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             615
     part:
             616          (a) may collect [the tax] revenues collected from a tax under this part and is not
             617      required to:
             618          (i) transmit the revenues [generated by the tax] to the commission; or
             619          (ii) contract with the commission to collect the [tax] revenues;
             620          (b) shall report the revenues [it] the municipality collects to the commission as
             621      provided in Sections 59-12-211 through 59-12-215 ; and
             622          (c) subject to the limitations of Subsections (4) and (5), may adopt an ordinance
             623      imposing penalties and interest on a person who:
             624          (i) is required to pay the tax under this part; and
             625          (ii) does not remit the tax to the collecting agent in a timely manner.
             626          (d) (i) If the commission collects a tax under this part, the commission:
             627          (A) except as provided in Subsection (2)(d)(i)(B), shall distribute the revenues
             628      [generated by] collected from the tax to the municipality within which the revenues were
             629      [generated] collected; and
             630          [(B) notwithstanding Subsection (2)(d)(i)(A), may retain an amount of tax collected
             631      under this part of not to exceed the lesser of:]
             632          [(I) 1.5%; or]
             633          [(II) an amount equal to the cost to the commission of administering this part.]
             634          [(ii) Any amount the commission retains under Subsection (2)(d)(i)(B) shall be:]
             635          [(A) placed in the Sales and Use Tax Administrative Fees Account; and]
             636          [(B) used as provided in Subsection 59-12-206 (2).]
             637          (B) except as provided in Subsection (1)(d)(ii), shall retain and deposit an
             638      administrative charge in accordance with Section 59-1-306 from the revenues the commission
             639      collects from a tax under this part.
             640          (ii) The commission may not retain or deposit an administrative charge from revenues
             641      a municipality collects under Subsection (2) from a tax under this part.
             642          (3) A tax under this part is not subject to Section 59-12-107.1 or 59-12-123 or
             643      Subsections 59-12-205 (2) through (6).
             644          (4) A governing body of a municipality adopting an ordinance imposing penalties and
             645      interest under Subsection (2)(c) may impose penalties and interest in amounts that are less than



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             646
     or equal to the penalties and interest rates authorized for the commission under Sections
             647      59-1-401 and 59-1-402 .
             648          (5) A municipality may adopt an ordinance imposing penalties and interest under
             649      Subsection (2)(c) only if the municipality does not contract with the commission to collect the
             650      tax.
             651          (6) If a municipality elects to collect the tax as provided in Subsection (2), the
             652      commission shall interpret, audit, and adjudicate the tax imposed under this part.
             653          Section 13. Section 59-12-403 is amended to read:
             654           59-12-403. Enactment or repeal of tax -- Tax rate change -- Effective date --
             655      Notice requirements -- Administration, collection, and enforcement of tax --
             656      Administrative charge.
             657          (1) For purposes of this section:
             658          (a) "Annexation" means an annexation to a city or town under Title 10, Chapter 2, Part
             659      4, Annexation.
             660          (b) "Annexing area" means an area that is annexed into a city or town.
             661          (2) (a) Except as provided in Subsection (2)(c) or (d), if, on or after April 1, 2008, a
             662      city or town enacts or repeals a tax or changes the rate of a tax under this part, the enactment,
             663      repeal, or change shall take effect:
             664          (i) on the first day of a calendar quarter; and
             665          (ii) after a 90-day period beginning on the date the commission receives notice meeting
             666      the requirements of Subsection (2)(b) from the city or town.
             667          (b) The notice described in Subsection (2)(a)(ii) shall state:
             668          (i) that the city or town will enact or repeal a tax or change the rate of a tax under this
             669      part;
             670          (ii) the statutory authority for the tax described in Subsection (2)(b)(i);
             671          (iii) the effective date of the tax described in Subsection (2)(b)(i); and
             672          (iv) if the city or town enacts the tax or changes the rate of the tax described in
             673      Subsection (2)(b)(i), the rate of the tax.
             674          (c) (i) The enactment of a tax or a tax rate increase shall take effect on the first day of
             675      the first billing period:
             676          (A) that begins after the effective date of the enactment of the tax or the tax rate



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             677
     increase; and
             678          (B) if the billing period for the transaction begins before the effective date of the
             679      enactment of the tax or the tax rate increase imposed under:
             680          (I) Section 59-12-401 ; or
             681          (II) Section 59-12-402 .
             682          (ii) The repeal of a tax or a tax rate decrease shall take effect on the first day of the last
             683      billing period:
             684          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             685      and
             686          (B) if the billing period for the transaction begins before the effective date of the repeal
             687      of the tax or the tax rate decrease imposed under:
             688          (I) Section 59-12-401 ; or
             689          (II) Section 59-12-402 .
             690          (d) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
             691      sales and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of
             692      a tax described in Subsection (2)(a) takes effect:
             693          (A) on the first day of a calendar quarter; and
             694          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
             695      rate of the tax under Subsection (2)(a).
             696          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             697      commission may by rule define the term "catalogue sale."
             698          (3) (a) Except as provided in Subsection (3)(c) or (d), if, for an annexation that occurs
             699      on or after July 1, 2004, the annexation will result in the enactment, repeal, or change in the
             700      rate of a tax under this part for an annexing area, the enactment, repeal, or change shall take
             701      effect:
             702          (i) on the first day of a calendar quarter; and
             703          (ii) after a 90-day period beginning on the date the commission receives notice meeting
             704      the requirements of Subsection (3)(b) from the city or town that annexes the annexing area.
             705          (b) The notice described in Subsection (3)(a)(ii) shall state:
             706          (i) that the annexation described in Subsection (3)(a) will result in an enactment,
             707      repeal, or change in the rate of a tax under this part for the annexing area;



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             708
         (ii) the statutory authority for the tax described in Subsection (3)(b)(i);
             709          (iii) the effective date of the tax described in Subsection (3)(b)(i); and
             710          (iv) if the city or town enacts the tax or changes the rate of the tax described in
             711      Subsection (3)(b)(i), the rate of the tax.
             712          (c) (i) The enactment of a tax or a tax rate increase shall take effect on the first day of
             713      the first billing period:
             714          (A) that begins after the effective date of the enactment of the tax or the tax rate
             715      increase; and
             716          (B) if the billing period for the transaction begins before the effective date of the
             717      enactment of the tax or the tax rate increase imposed under:
             718          (I) Section 59-12-401 ; or
             719          (II) Section 59-12-402 .
             720          (ii) The repeal of a tax or a tax rate decrease shall take effect on the first day of the last
             721      billing period:
             722          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             723      and
             724          (B) if the billing period for the transaction begins before the effective date of the repeal
             725      of the tax or the tax rate decrease imposed under:
             726          (I) Section 59-12-401 ; or
             727          (II) Section 59-12-402 .
             728          (d) (i) Notwithstanding Subsection (3)(a), if a tax due under this chapter on a catalogue
             729      sale is computed on the basis of sales and use tax rates published in the catalogue, an
             730      enactment, repeal, or change in the rate of a tax described in Subsection (3)(a) takes effect:
             731          (A) on the first day of a calendar quarter; and
             732          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
             733      rate of the tax under Subsection (3)(a).
             734          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             735      commission may by rule define the term "catalogue sale."
             736          (4) (a) Except as provided in Subsection (4)(b), a tax authorized under this part shall be
             737      administered, collected, and enforced in accordance with:
             738          (i) the same procedures used to administer, collect, and enforce the tax under:



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             739
         (A) Part 1, Tax Collection; or
             740          (B) Part 2, Local Sales and Use Tax Act; and
             741          (ii) Chapter 1, General Taxation Policies.
             742          (b) Notwithstanding Subsection (4)(a), a tax under this part is not subject to
             743      Subsections 59-12-205 (2) through (6).
             744          (5) The commission shall retain and deposit an administrative charge in accordance
             745      with Section 59-1-306 from the revenues the commission collects from a tax under this part.
             746          Section 14. Section 59-12-603 is amended to read:
             747           59-12-603. County tax -- Bases -- Rates -- Use of revenues -- Adoption of
             748      ordinance required -- Advisory board -- Administration -- Collection -- Administrative
             749      charge -- Distribution -- Enactment or repeal of tax or tax rate change -- Effective date --
             750      Notice requirements.
             751          (1) (a) In addition to any other taxes, a county legislative body may, as provided in this
             752      part, impose a tax as follows:
             753          (i) (A) a county legislative body of any county may impose a tax of not to exceed 3%
             754      on all short-term leases and rentals of motor vehicles not exceeding 30 days, except for leases
             755      and rentals of motor vehicles made for the purpose of temporarily replacing a person's motor
             756      vehicle that is being repaired pursuant to a repair or an insurance agreement; and
             757          (B) beginning on or after January 1, 1999, a county legislative body of any county
             758      imposing a tax under Subsection (1)(a)(i)(A) may, in addition to imposing the tax under
             759      Subsection (1)(a)(i)(A), impose a tax of not to exceed 4% on all short-term leases and rentals
             760      of motor vehicles not exceeding 30 days, except for leases and rentals of motor vehicles made
             761      for the purpose of temporarily replacing a person's motor vehicle that is being repaired pursuant
             762      to a repair or an insurance agreement;
             763          (ii) a county legislative body of any county may impose a tax of not to exceed 1% of all
             764      sales of the following that are sold by a restaurant:
             765          (A) alcoholic beverages;
             766          (B) food and food ingredients; or
             767          (C) prepared food; and
             768          (iii) a county legislative body of a county of the first class may impose a tax of not to
             769      exceed .5% on charges for the accommodations and services described in Subsection



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             770
     59-12-103 (1)(i).
             771          (b) A tax imposed under Subsection (1)(a) is subject to the audit provisions of Section
             772      17-31-5.5 .
             773          (2) (a) Subject to Subsection (2)(b), revenue from the imposition of the taxes provided
             774      for in Subsections (1)(a)(i) through (iii) may be used for:
             775          (i) financing tourism promotion; and
             776          (ii) the development, operation, and maintenance of:
             777          (A) an airport facility;
             778          (B) a convention facility;
             779          (C) a cultural facility;
             780          (D) a recreation facility; or
             781          (E) a tourist facility.
             782          (b) A county of the first class shall expend at least $450,000 each year of the revenues
             783      from the imposition of a tax authorized by Subsection (1)(a)(iii) within the county to fund a
             784      marketing and ticketing system designed to:
             785          (i) promote tourism in ski areas within the county by persons that do not reside within
             786      the state; and
             787          (ii) combine the sale of:
             788          (A) ski lift tickets; and
             789          (B) accommodations and services described in Subsection 59-12-103 (1)(i).
             790          (3) A tax imposed under this part may be pledged as security for bonds, notes, or other
             791      evidences of indebtedness incurred by a county, city, or town under Title 11, Chapter 14, Local
             792      Government Bonding Act, or a community development and renewal agency under Title 17C,
             793      Chapter 1, Part 5, Agency Bonds, to finance:
             794          (a) an airport facility;
             795          (b) a convention facility;
             796          (c) a cultural facility;
             797          (d) a recreation facility; or
             798          (e) a tourist facility.
             799          (4) (a) In order to impose the tax under Subsection (1), each county legislative body
             800      shall adopt an ordinance imposing the tax.



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             801
         (b) The ordinance under Subsection (4)(a) shall include provisions substantially the
             802      same as those contained in Part 1, Tax Collection, except that the tax shall be imposed only on
             803      those items and sales described in Subsection (1).
             804          (c) The name of the county as the taxing agency shall be substituted for that of the state
             805      where necessary, and an additional license is not required if one has been or is issued under
             806      Section 59-12-106 .
             807          (5) In order to maintain in effect its tax ordinance adopted under this part, each county
             808      legislative body shall, within 30 days of any amendment of any applicable provisions of Part 1,
             809      Tax Collection, adopt amendments to its tax ordinance to conform with the applicable
             810      amendments to Part 1, Tax Collection.
             811          (6) (a) Regardless of whether a county of the first class creates a tourism tax advisory
             812      board in accordance with Section 17-31-8 , the county legislative body of the county of the first
             813      class shall create a tax advisory board in accordance with this Subsection (6).
             814          (b) The tax advisory board shall be composed of nine members appointed as follows:
             815          (i) four members shall be appointed by the county legislative body of the county of the
             816      first class as follows:
             817          (A) one member shall be a resident of the unincorporated area of the county;
             818          (B) two members shall be residents of the incorporated area of the county; and
             819          (C) one member shall be a resident of the unincorporated or incorporated area of the
             820      county; and
             821          (ii) subject to Subsections (6)(c) and (d), five members shall be mayors of cities or
             822      towns within the county of the first class appointed by an organization representing all mayors
             823      of cities and towns within the county of the first class.
             824          (c) Five members of the tax advisory board constitute a quorum.
             825          (d) The county legislative body of the county of the first class shall determine:
             826          (i) terms of the members of the tax advisory board;
             827          (ii) procedures and requirements for removing a member of the tax advisory board;
             828          (iii) voting requirements, except that action of the tax advisory board shall be by at
             829      least a majority vote of a quorum of the tax advisory board;
             830          (iv) chairs or other officers of the tax advisory board;
             831          (v) how meetings are to be called and the frequency of meetings; and



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             832
         (vi) the compensation, if any, of members of the tax advisory board.
             833          (e) The tax advisory board under this Subsection (6) shall advise the county legislative
             834      body of the county of the first class on the expenditure of revenues collected within the county
             835      of the first class from the taxes described in Subsection (1)(a).
             836          (7) (a) (i) Except as provided in Subsection (7)(a)(ii), a tax authorized under this part
             837      shall be administered, collected, and enforced in accordance with:
             838          (A) the same procedures used to administer, collect, and enforce the tax under:
             839          (I) Part 1, Tax Collection; or
             840          (II) Part 2, Local Sales and Use Tax Act; and
             841          (B) Chapter 1, General Taxation Policies.
             842          (ii) A tax under this part is not subject to Section 59-12-107.1 or 59-12-123 or
             843      Subsections 59-12-205 (2) through (6).
             844          (b) Except as provided in Subsection (7)(c):
             845          (i) for a tax under this part other than the tax under Subsection (1)(a)(i)(B), the
             846      commission shall distribute the revenues to the county imposing the tax; and
             847          (ii) for a tax under Subsection (1)(a)(i)(B), the commission shall distribute the revenues
             848      according to the distribution formula provided in Subsection (8).
             849          (c) The commission shall [deduct from the distributions under Subsection (7)(b) an
             850      administrative charge for collecting the tax as provided in Section 59-12-206 ] retain and
             851      deposit an administrative charge in accordance with Section 59-1-306 from the revenues the
             852      commission collects from a tax under this part.
             853          (8) The commission shall distribute the revenues generated by the tax under Subsection
             854      (1)(a)(i)(B) to each county collecting a tax under Subsection (1)(a)(i)(B) according to the
             855      following formula:
             856          (a) the commission shall distribute 70% of the revenues based on the percentages
             857      generated by dividing the revenues collected by each county under Subsection (1)(a)(i)(B) by
             858      the total revenues collected by all counties under Subsection (1)(a)(i)(B); and
             859          (b) the commission shall distribute 30% of the revenues based on the percentages
             860      generated by dividing the population of each county collecting a tax under Subsection
             861      (1)(a)(i)(B) by the total population of all counties collecting a tax under Subsection (1)(a)(i)(B).
             862          (9) (a) For purposes of this Subsection (9):



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             863
         (i) "Annexation" means an annexation to a county under Title 17, Chapter 2,
             864      [Annexation to County] Part 2, County Annexation.
             865          (ii) "Annexing area" means an area that is annexed into a county.
             866          (b) (i) Except as provided in Subsection (9)(c), if, on or after July 1, 2004, a county
             867      enacts or repeals a tax or changes the rate of a tax under this part, the enactment, repeal, or
             868      change shall take effect:
             869          (A) on the first day of a calendar quarter; and
             870          (B) after a 90-day period beginning on the date the commission receives notice meeting
             871      the requirements of Subsection (9)(b)(ii) from the county.
             872          (ii) The notice described in Subsection (9)(b)(i)(B) shall state:
             873          (A) that the county will enact or repeal a tax or change the rate of a tax under this part;
             874          (B) the statutory authority for the tax described in Subsection (9)(b)(ii)(A);
             875          (C) the effective date of the tax described in Subsection (9)(b)(ii)(A); and
             876          (D) if the county enacts the tax or changes the rate of the tax described in Subsection
             877      (9)(b)(ii)(A), the rate of the tax.
             878          (c) (i) The enactment of a tax or a tax rate increase shall take effect on the first day of
             879      the first billing period:
             880          (A) that begins after the effective date of the enactment of the tax or the tax rate
             881      increase; and
             882          (B) if the billing period for the transaction begins before the effective date of the
             883      enactment of the tax or the tax rate increase imposed under Subsection (1).
             884          (ii) The repeal of a tax or a tax rate decrease shall take effect on the first day of the last
             885      billing period:
             886          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             887      and
             888          (B) if the billing period for the transaction begins before the effective date of the repeal
             889      of the tax or the tax rate decrease imposed under Subsection (1).
             890          (d) (i) Except as provided in Subsection (9)(e), if, for an annexation that occurs on or
             891      after July 1, 2004, the annexation will result in the enactment, repeal, or change in the rate of a
             892      tax under this part for an annexing area, the enactment, repeal, or change shall take effect:
             893          (A) on the first day of a calendar quarter; and



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             894
         (B) after a 90-day period beginning on the date the commission receives notice meeting
             895      the requirements of Subsection (9)(d)(ii) from the county that annexes the annexing area.
             896          (ii) The notice described in Subsection (9)(d)(i)(B) shall state:
             897          (A) that the annexation described in Subsection (9)(d)(i) will result in an enactment,
             898      repeal, or change in the rate of a tax under this part for the annexing area;
             899          (B) the statutory authority for the tax described in Subsection (9)(d)(ii)(A);
             900          (C) the effective date of the tax described in Subsection (9)(d)(ii)(A); and
             901          (D) if the county enacts the tax or changes the rate of the tax described in Subsection
             902      (9)(d)(ii)(A), the rate of the tax.
             903          (e) (i) The enactment of a tax or a tax rate increase shall take effect on the first day of
             904      the first billing period:
             905          (A) that begins after the effective date of the enactment of the tax or the tax rate
             906      increase; and
             907          (B) if the billing period for the transaction begins before the effective date of the
             908      enactment of the tax or the tax rate increase imposed under Subsection (1).
             909          (ii) The repeal of a tax or a tax rate decrease shall take effect on the first day of the last
             910      billing period:
             911          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             912      and
             913          (B) if the billing period for the transaction begins before the effective date of the repeal
             914      of the tax or the tax rate decrease imposed under Subsection (1).
             915          Section 15. Section 59-12-704 is amended to read:
             916           59-12-704. Distribution of revenues -- Advisory board creation -- Determining
             917      operating expenses -- Administrative charge.
             918          (1) Except as provided in Subsections (3)(b) and (5), and subject to the requirements of
             919      this section, any revenues collected by a county of the first class under this part shall be
             920      distributed annually by the county legislative body to support recreational and zoological
             921      facilities and botanical, cultural, and zoological organizations within that first class county as
             922      follows:
             923          (a) 30% of the revenue collected by the county under this section shall be distributed
             924      by the county legislative body to support recreational facilities located within the county;



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             925
         (b) (i) subject to Subsection (1)(b)(ii) and except as provided in Subsection (1)(b)(iii),
             926      12-1/8% of the revenue collected by the county under this section shall be distributed by the
             927      county legislative body to support no more than three zoological facilities and organizations
             928      located within the county, with 94.5% of that revenue being distributed to zoological facilities
             929      and organizations with average annual operating expenses of $2,000,000 or more and 5.5% of
             930      that revenue being distributed to zoological facilities and organizations with average annual
             931      operating expenses of less than $2,000,000;
             932          (ii) except as provided in Subsection (1)(b)(iii), the county legislative body shall
             933      distribute the money described in Subsection (1)(b)(i) among the zoological facilities and
             934      organizations in proportion to their average annual operating expenses as determined under
             935      Subsection (3); and
             936          (iii) if a zoological facility or organization is created or relocated within the county
             937      after June 1, 2003, the county legislative body shall distribute the money described in
             938      Subsection (1)(b)(i) as it determines appropriate;
             939          (c) (i) 48-7/8% of the revenue collected by the county under this section shall be
             940      distributed to no more than 23 botanical and cultural organizations with average annual
             941      operating expenses of more than $250,000 as determined under Subsection (3);
             942          (ii) subject to Subsection (1)(c)(iii), the county legislative body shall distribute the
             943      money described in Subsection (1)(c)(i) among the organizations and in proportion to their
             944      average annual operating expenses as determined under Subsection (3); and
             945          (iii) the amount distributed to any organization described in Subsection (1)(c)(i) may
             946      not exceed 35% of the organization's operating budget; and
             947          (d) (i) 9% of the revenue collected by the county under this section shall be distributed
             948      to botanical and cultural organizations that do not receive revenue under Subsection (1)(c)(i);
             949      and
             950          (ii) the county legislative body shall determine how the money shall be distributed
             951      among the organizations described in Subsection (1)(d)(i).
             952          (2) (a) The county legislative body of each county shall create an advisory board to
             953      advise the county legislative body on disbursement of funds to botanical and cultural
             954      organizations under Subsection (1)(c)(i).
             955          (b) (i) The advisory board under Subsection (2)(a) shall consist of seven members



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             956
     appointed by the county legislative body.
             957          (ii) In a county of the first class, two of the seven members of the advisory board under
             958      Subsection (2)(a) shall be appointed from the Utah Arts Council.
             959          (3) (a) Except as provided in Subsection (3)(b), to be eligible to receive money
             960      collected by the county under this part, a botanical, cultural, and zoological organization
             961      located within a county of the first class shall, every three years:
             962          (i) calculate their average annual operating expenses based upon audited operating
             963      expenses for three preceding fiscal years; and
             964          (ii) submit to the appropriate county legislative body:
             965          (A) a verified audit of annual operating expenses for each of those three preceding
             966      fiscal years; and
             967          (B) the average annual operating expenses as calculated under Subsection (3)(a)(i).
             968          (b) Notwithstanding Subsection (3)(a), the county legislative body may waive the
             969      operating expenses reporting requirements under Subsection (3)(a) for organizations described
             970      in Subsection (1)(d)(i).
             971          (4) When calculating average annual operating expenses as described in Subsection
             972      (3), each botanical, cultural, and zoological organization shall use the same three-year fiscal
             973      period as determined by the county legislative body.
             974          (5) (a) By July 1 of each year, the county legislative body of a first class county may
             975      index the threshold amount in Subsections (1)(c) and (d).
             976          (b) Any change under Subsection (5)(a) shall be rounded off to the nearest $100.
             977          (6) (a) Beginning on July 1, 2001, in a county except for a county of the first class, the
             978      county legislative body shall by ordinance provide for the distribution of the entire amount of
             979      the revenues generated by the tax imposed by this section as provided in this Subsection (6).
             980          (b) Pursuant to an interlocal agreement established in accordance with Title 11,
             981      Chapter 13, Interlocal Cooperation Act, a county described in Subsection (6)(a) may distribute
             982      to a city, town, or political subdivision within the county revenues generated by a tax under this
             983      part.
             984          (c) The revenues distributed under Subsection (6)(a) or (b) shall be used for one or
             985      more organizations or facilities defined in Section 59-12-702 regardless of whether the
             986      revenues are distributed:



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             987
         (i) directly by the county described in Subsection (6)(a) to be used for an organization
             988      or facility defined in Section 59-12-702 ; or
             989          (ii) in accordance with an interlocal agreement described in Subsection (6)(b).
             990          (7) A county legislative body may retain up to 1.5% of the proceeds from a tax under
             991      this part for the cost of administering the provisions of this part.
             992          (8) The commission [may retain an amount not to exceed 1-1/2% of the tax collected
             993      under this part for the cost of administering this part] shall retain and deposit an administrative
             994      charge in accordance with Section 59-1-306 from the revenues the commission collects from a
             995      tax under this part.
             996          Section 16. Section 59-12-802 is amended to read:
             997           59-12-802. Imposition of rural county health care facilities tax -- Expenditure of
             998      tax revenues -- Base -- Rate -- Administration, collection, and enforcement of tax --
             999      Administrative charge.
             1000          (1) (a) A county legislative body of a county of the third, fourth, fifth, or sixth class
             1001      may impose a sales and use tax of up to 1%:
             1002          (i) on the transactions described in Subsection 59-12-103 (1) located within the county;
             1003      and
             1004          (ii) subject to Subsection (3), to fund:
             1005          (A) for a county of the third, fourth, or fifth class, rural county health care facilities in
             1006      that county; or
             1007          (B) for a county of the sixth class:
             1008          (I) emergency medical services in that county;
             1009          (II) federally qualified health centers in that county;
             1010          (III) freestanding urgent care centers in that county;
             1011          (IV) rural county health care facilities in that county;
             1012          (V) rural health clinics in that county; or
             1013          (VI) a combination of Subsections (1)(a)(ii)(B)(I) through (V).
             1014          (b) Notwithstanding Subsection (1)(a)(i), a county legislative body may not impose a
             1015      tax under this section on:
             1016          (i) the sales and uses described in Section 59-12-104 to the extent the sales and uses
             1017      are exempt from taxation under Section 59-12-104 ;



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             1018
         (ii) a transaction to the extent a rural city hospital tax is imposed on that transaction in
             1019      a city that imposes a tax under Section 59-12-804 ; and
             1020          (iii) except as provided in Subsection (1)(d), amounts paid or charged for food and
             1021      food ingredients.
             1022          (c) For purposes of this Subsection (1), the location of a transaction shall be
             1023      determined in accordance with Sections 59-12-211 through 59-12-215 .
             1024          (d) A county legislative body imposing a tax under this section shall impose the tax on
             1025      amounts paid or charged for food and food ingredients if the food and food ingredients are sold
             1026      as part of a bundled transaction attributable to food and food ingredients and tangible personal
             1027      property other than food and food ingredients.
             1028          (2) (a) Before imposing a tax under Subsection (1)(a), a county legislative body shall
             1029      obtain approval to impose the tax from a majority of the:
             1030          (i) members of the county's legislative body; and
             1031          (ii) county's registered voters voting on the imposition of the tax.
             1032          (b) The county legislative body shall conduct the election according to the procedures
             1033      and requirements of Title 11, Chapter 14, Local Government Bonding Act.
             1034          (3) (a) The money generated by a tax imposed under Subsection (1) by a county
             1035      legislative body of a county of the third, fourth, or fifth class may only be used for the
             1036      financing of:
             1037          (i) ongoing operating expenses of a rural county health care facility within that county;
             1038          (ii) the acquisition of land for a rural county health care facility within that county; or
             1039          (iii) the design, construction, equipping, or furnishing of a rural county health care
             1040      facility within that county.
             1041          (b) The money generated by a tax imposed under Subsection (1) by a county of the
             1042      sixth class may only be used for the financing of:
             1043          (i) ongoing operating expenses of a center, clinic, or facility described in Subsection
             1044      (1)(a)(ii)(B) within that county;
             1045          (ii) the acquisition of land for a center, clinic, or facility described in Subsection
             1046      (1)(a)(ii)(B) within that county;
             1047          (iii) the design, construction, equipping, or furnishing of a center, clinic, or facility
             1048      described in Subsection (1)(a)(ii)(B) within that county; or



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             1049
         (iv) the provision of rural emergency medical services within that county.
             1050          (4) (a) A tax under this section shall be:
             1051          (i) except as provided in Subsection (4)(b), administered, collected, and enforced in
             1052      accordance with:
             1053          (A) the same procedures used to administer, collect, and enforce the tax under:
             1054          (I) Part 1, Tax Collection; or
             1055          (II) Part 2, Local Sales and Use Tax Act; and
             1056          (B) Chapter 1, General Taxation Policies; and
             1057          (ii) levied for a period of 10 years and may be reauthorized at the end of the ten-year
             1058      period by the county legislative body as provided in Subsection (1).
             1059          (b) Notwithstanding Subsection (4)(a)(i), a tax under this section is not subject to
             1060      Subsections 59-12-205 (2) through (6).
             1061          (5) The commission [may retain an amount not to exceed 1-1/2% of the tax collected
             1062      under this section for the cost of administering this tax] shall retain and deposit an
             1063      administrative charge in accordance with Section 59-1-306 from the revenues the commission
             1064      collects from a tax under this section.
             1065          Section 17. Section 59-12-804 is amended to read:
             1066           59-12-804. Imposition of rural city hospital tax -- Base -- Rate -- Administration,
             1067      collection, and enforcement of tax -- Administrative charge.
             1068          (1) (a) A city legislative body may impose a sales and use tax of up to 1%:
             1069          (i) on the transactions described in Subsection 59-12-103 (1) located within the city;
             1070      and
             1071          (ii) to fund rural city hospitals in that city.
             1072          (b) Notwithstanding Subsection (1)(a)(i), a city legislative body may not impose a tax
             1073      under this section on:
             1074          (i) the sales and uses described in Section 59-12-104 to the extent the sales and uses
             1075      are exempt from taxation under Section 59-12-104 ; and
             1076          (ii) except as provided in Subsection (1)(d), amounts paid or charged for food and food
             1077      ingredients.
             1078          (c) For purposes of this Subsection (1), the location of a transaction shall be
             1079      determined in accordance with Sections 59-12-211 through 59-12-215 .



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             1080
         (d) A city legislative body imposing a tax under this section shall impose the tax on
             1081      amounts paid or charged for food and food ingredients if the food and food ingredients are sold
             1082      as part of a bundled transaction attributable to food and food ingredients and tangible personal
             1083      property other than food and food ingredients.
             1084          (2) (a) Before imposing a tax under Subsection (1)(a), a city legislative body shall
             1085      obtain approval to impose the tax from a majority of the:
             1086          (i) members of the city legislative body; and
             1087          (ii) city's registered voters voting on the imposition of the tax.
             1088          (b) The city legislative body shall conduct the election according to the procedures and
             1089      requirements of Title 11, Chapter 14, Local Government Bonding Act.
             1090          (3) The money generated by a tax imposed under Subsection (1) may only be used for
             1091      the financing of:
             1092          (a) ongoing operating expenses of a rural city hospital;
             1093          (b) the acquisition of land for a rural city hospital; or
             1094          (c) the design, construction, equipping, or furnishing of a rural city hospital.
             1095          (4) (a) A tax under this section shall be:
             1096          (i) except as provided in Subsection (4)(b), administered, collected, and enforced in
             1097      accordance with:
             1098          (A) the same procedures used to administer, collect, and enforce the tax under:
             1099          (I) Part 1, Tax Collection; or
             1100          (II) Part 2, Local Sales and Use Tax Act; and
             1101          (B) Chapter 1, General Taxation Policies; and
             1102          (ii) levied for a period of 10 years and may be reauthorized at the end of the ten-year
             1103      period by the city legislative body as provided in Subsection (1).
             1104          (b) Notwithstanding Subsection (4)(a)(i), a tax under this section is not subject to
             1105      Subsections 59-12-205 (2) through (6).
             1106          (5) The commission [may retain an amount not to exceed 1-1/2% of the tax collected
             1107      under this section for the cost of administering the tax] shall retain and deposit an
             1108      administrative charge in accordance with Section 59-1-306 from the revenues the commission
             1109      collects from a tax under this section.
             1110          Section 18. Section 59-12-1102 is amended to read:



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             1111
          59-12-1102. Base -- Rate -- Imposition of tax -- Distribution of revenue --
             1112      Administration -- Administrative charge -- Commission requirement to retain an amount
             1113      to be deposited into the Qualified Emergency Food Agencies Fund -- Enactment or repeal
             1114      of tax -- Effective date -- Notice requirements.
             1115          (1) (a) (i) Subject to Subsections (2) through (6), and in addition to any other tax
             1116      authorized by this chapter, a county may impose by ordinance a county option sales and use tax
             1117      of .25% upon the transactions described in Subsection 59-12-103 (1).
             1118          (ii) Notwithstanding Subsection (1)(a)(i), a county may not impose a tax under this
             1119      section on the sales and uses described in Section 59-12-104 to the extent the sales and uses are
             1120      exempt from taxation under Section 59-12-104 .
             1121          (b) For purposes of this Subsection (1), the location of a transaction shall be
             1122      determined in accordance with Sections 59-12-211 through 59-12-215 .
             1123          (c) The county option sales and use tax under this section shall be imposed:
             1124          (i) upon transactions that are located within the county, including transactions that are
             1125      located within municipalities in the county; and
             1126          (ii) except as provided in Subsection (1)(d) or (5), beginning on the first day of
             1127      January:
             1128          (A) of the next calendar year after adoption of the ordinance imposing the tax if the
             1129      ordinance is adopted on or before May 25; or
             1130          (B) of the second calendar year after adoption of the ordinance imposing the tax if the
             1131      ordinance is adopted after May 25.
             1132          (d) Notwithstanding Subsection (1)(c)(ii), the county option sales and use tax under
             1133      this section shall be imposed:
             1134          (i) beginning January 1, 1998, if an ordinance adopting the tax imposed on or before
             1135      September 4, 1997; or
             1136          (ii) beginning January 1, 1999, if an ordinance adopting the tax is imposed during 1997
             1137      but after September 4, 1997.
             1138          (2) (a) Before imposing a county option sales and use tax under Subsection (1), a
             1139      county shall hold two public hearings on separate days in geographically diverse locations in
             1140      the county.
             1141          (b) (i) At least one of the hearings required by Subsection (2)(a) shall have a starting



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             1142
     time of no earlier than 6 p.m.
             1143          (ii) The earlier of the hearings required by Subsection (2)(a) shall be no less than seven
             1144      days after the day the first advertisement required by Subsection (2)(c) is published.
             1145          (c) (i) Before holding the public hearings required by Subsection (2)(a), the county
             1146      shall advertise:
             1147          (A) its intent to adopt a county option sales and use tax;
             1148          (B) the date, time, and location of each public hearing; and
             1149          (C) a statement that the purpose of each public hearing is to obtain public comments
             1150      regarding the proposed tax.
             1151          (ii) The advertisement shall be published:
             1152          (A) in a newspaper of general circulation in the county once each week for the two
             1153      weeks preceding the earlier of the two public hearings; and
             1154          (B) on the Utah Public Notice Website created in Section 63F-1-701 , for two weeks
             1155      preceding the earlier of the two public hearings.
             1156          (iii) The advertisement described in Subsection (2)(c)(ii)(A) shall be no less than 1/8
             1157      page in size, and the type used shall be no smaller than 18 point and surrounded by a 1/4-inch
             1158      border.
             1159          (iv) The advertisement described in Subsection (2)(c)(ii)(A) may not be placed in that
             1160      portion of the newspaper where legal notices and classified advertisements appear.
             1161          (v) In accordance with Subsection (2)(c)(ii)(A), whenever possible:
             1162          (A) the advertisement shall appear in a newspaper that is published at least five days a
             1163      week, unless the only newspaper in the county is published less than five days a week; and
             1164          (B) the newspaper selected shall be one of general interest and readership in the
             1165      community, and not one of limited subject matter.
             1166          (d) The adoption of an ordinance imposing a county option sales and use tax is subject
             1167      to a local referendum election and shall be conducted as provided in Title 20A, Chapter 7, Part
             1168      6, Local Referenda - Procedures.
             1169          (3) (a) Subject to Subsection (5), if the aggregate population of the counties imposing a
             1170      county option sales and use tax under Subsection (1) is less than 75% of the state population,
             1171      the tax levied under Subsection (1) shall be distributed to the county in which the tax was
             1172      collected.



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             1173
         (b) Subject to Subsection (5), if the aggregate population of the counties imposing a
             1174      county option sales and use tax under Subsection (1) is greater than or equal to 75% of the state
             1175      population:
             1176          (i) 50% of the tax collected under Subsection (1) in each county shall be distributed to
             1177      the county in which the tax was collected; and
             1178          (ii) except as provided in Subsection (3)(c), 50% of the tax collected under Subsection
             1179      (1) in each county shall be distributed proportionately among all counties imposing the tax,
             1180      based on the total population of each county.
             1181          (c) Except as provided in Subsection (5), the amount to be distributed annually to a
             1182      county under Subsection (3)(b)(ii), when combined with the amount distributed to the county
             1183      under Subsection (3)(b)(i), does not equal at least $75,000, then:
             1184          (i) the amount to be distributed annually to that county under Subsection (3)(b)(ii) shall
             1185      be increased so that, when combined with the amount distributed to the county under
             1186      Subsection (3)(b)(i), the amount distributed annually to the county is $75,000; and
             1187          (ii) the amount to be distributed annually to all other counties under Subsection
             1188      (3)(b)(ii) shall be reduced proportionately to offset the additional amount distributed under
             1189      Subsection (3)(c)(i).
             1190          (d) The commission shall establish rules to implement the distribution of the tax under
             1191      Subsections (3)(a), (b), and (c).
             1192          (4) (a) Except as provided in Subsection (4)(b) or (c), a tax authorized under this part
             1193      shall be administered, collected, and enforced in accordance with:
             1194          (i) the same procedures used to administer, collect, and enforce the tax under:
             1195          (A) Part 1, Tax Collection; or
             1196          (B) Part 2, Local Sales and Use Tax Act; and
             1197          (ii) Chapter 1, General Taxation Policies.
             1198          (b) Notwithstanding Subsection (4)(a), a tax under this part is not subject to
             1199      Subsections 59-12-205 (2) through (6).
             1200          [(c) Notwithstanding Subsection (4)(a), the fee charged by the commission under
             1201      Section 59-12-206 shall be based on]
             1202          (c) (i) Subject to Subsection (4)(c)(ii), the commission shall retain and deposit an
             1203      administrative charge in accordance with Section 59-1-306 from the revenues the commission



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             1204
     collects from a tax under this part.
             1205          (ii) Notwithstanding Section 59-1-306 , the administrative charge described in
             1206      Subsection (4)(c)(i) shall be calculated by taking a percentage described in Section 59-1-306 of
             1207      the distribution amounts resulting after:
             1208          [(i)] (A) the applicable distribution calculations under Subsection (3) have been made;
             1209      and
             1210          [(ii)] (B) the commission retains the amount required by Subsection (5).
             1211          (5) (a) Beginning on July 1, 2009, the commission shall calculate and retain a portion
             1212      of the sales and use tax collected under this part as provided in this Subsection (5).
             1213          (b) For a county that imposes a tax under this part, the commission shall calculate a
             1214      percentage each month by dividing the sales and use tax collected under this part for that
             1215      month within the boundaries of that county by the total sales and use tax collected under this
             1216      part for that month within the boundaries of all of the counties that impose a tax under this part.
             1217          (c) For a county that imposes a tax under this part, the commission shall retain each
             1218      month an amount equal to the product of:
             1219          (i) the percentage the commission determines for the month under Subsection (5)(b)
             1220      for the county; and
             1221          (ii) $6,354.
             1222          (d) The commission shall deposit an amount the commission retains in accordance
             1223      with this Subsection (5) into the Qualified Emergency Food Agencies Fund created by Section
             1224      9-4-1409 .
             1225          (e) An amount the commission deposits into the Qualified Emergency Food Agencies
             1226      Fund shall be expended as provided in Section 9-4-1409 .
             1227          (6) (a) For purposes of this Subsection (6):
             1228          (i) "Annexation" means an annexation to a county under Title 17, Chapter 2, County
             1229      Consolidations and Annexations.
             1230          (ii) "Annexing area" means an area that is annexed into a county.
             1231          (b) (i) Except as provided in Subsection (6)(c) or (d), if, on or after July 1, 2004, a
             1232      county enacts or repeals a tax under this part:
             1233          (A) (I) the enactment shall take effect as provided in Subsection (1)(c); or
             1234          (II) the repeal shall take effect on the first day of a calendar quarter; and



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             1235
         (B) after a 90-day period beginning on the date the commission receives notice meeting
             1236      the requirements of Subsection (6)(b)(ii) from the county.
             1237          (ii) The notice described in Subsection (6)(b)(i)(B) shall state:
             1238          (A) that the county will enact or repeal a tax under this part;
             1239          (B) the statutory authority for the tax described in Subsection (6)(b)(ii)(A);
             1240          (C) the effective date of the tax described in Subsection (6)(b)(ii)(A); and
             1241          (D) if the county enacts the tax described in Subsection (6)(b)(ii)(A), the rate of the
             1242      tax.
             1243          (c) (i) The enactment of a tax shall take effect on the first day of the first billing period:
             1244          (A) that begins after the effective date of the enactment of the tax; and
             1245          (B) if the billing period for the transaction begins before the effective date of the
             1246      enactment of the tax under Subsection (1).
             1247          (ii) The repeal of a tax shall take effect on the first day of the last billing period:
             1248          (A) that began before the effective date of the repeal of the tax; and
             1249          (B) if the billing period for the transaction begins before the effective date of the repeal
             1250      of the tax imposed under Subsection (1).
             1251          (d) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
             1252      sales and use tax rates published in the catalogue, an enactment or repeal of a tax described in
             1253      Subsection (6)(b)(i) takes effect:
             1254          (A) on the first day of a calendar quarter; and
             1255          (B) beginning 60 days after the effective date of the enactment or repeal under
             1256      Subsection (6)(b)(i).
             1257          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1258      commission may by rule define the term "catalogue sale."
             1259          (e) (i) Except as provided in Subsection (6)(f) or (g), if, for an annexation that occurs
             1260      on or after July 1, 2004, the annexation will result in the enactment or repeal of a tax under this
             1261      part for an annexing area, the enactment or repeal shall take effect:
             1262          (A) on the first day of a calendar quarter; and
             1263          (B) after a 90-day period beginning on the date the commission receives notice meeting
             1264      the requirements of Subsection (6)(e)(ii) from the county that annexes the annexing area.
             1265          (ii) The notice described in Subsection (6)(e)(i)(B) shall state:



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             1266
         (A) that the annexation described in Subsection (6)(e)(i) will result in an enactment or
             1267      repeal of a tax under this part for the annexing area;
             1268          (B) the statutory authority for the tax described in Subsection (6)(e)(ii)(A);
             1269          (C) the effective date of the tax described in Subsection (6)(e)(ii)(A); and
             1270          (D) the rate of the tax described in Subsection (6)(e)(ii)(A).
             1271          (f) (i) The enactment of a tax shall take effect on the first day of the first billing period:
             1272          (A) that begins after the effective date of the enactment of the tax; and
             1273          (B) if the billing period for the transaction begins before the effective date of the
             1274      enactment of the tax under Subsection (1).
             1275          (ii) The repeal of a tax shall take effect on the first day of the last billing period:
             1276          (A) that began before the effective date of the repeal of the tax; and
             1277          (B) if the billing period for the transaction begins before the effective date of the repeal
             1278      of the tax imposed under Subsection (1).
             1279          (g) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
             1280      sales and use tax rates published in the catalogue, an enactment or repeal of a tax described in
             1281      Subsection (6)(e)(i) takes effect:
             1282          (A) on the first day of a calendar quarter; and
             1283          (B) beginning 60 days after the effective date of the enactment or repeal under
             1284      Subsection (6)(e)(i).
             1285          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1286      commission may by rule define the term "catalogue sale."
             1287          Section 19. Section 59-12-1201 is amended to read:
             1288           59-12-1201. Motor vehicle rental tax -- Rate -- Exemptions -- Administration,
             1289      collection, and enforcement of tax -- Administrative charge -- Deposits.
             1290          (1) (a) Except as provided in Subsection (3), there is imposed a tax of 2.5% on all
             1291      short-term leases and rentals of motor vehicles not exceeding 30 days.
             1292          (b) The tax imposed in this section is in addition to all other state, county, or municipal
             1293      fees and taxes imposed on rentals of motor vehicles.
             1294          (2) (a) Subject to Subsection (2)(b), a tax rate repeal or tax rate change for the tax
             1295      imposed under Subsection (1) shall take effect on the first day of a calendar quarter.
             1296          (b) (i) For a transaction subject to a tax under Subsection (1), a tax rate increase shall



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             1297
     take effect on the first day of the first billing period:
             1298          (A) that begins after the effective date of the tax rate increase; and
             1299          (B) if the billing period for the transaction begins before the effective date of a tax rate
             1300      increase imposed under Subsection (1).
             1301          (ii) For a transaction subject to a tax under Subsection (1), the repeal of a tax or a tax
             1302      rate decrease shall take effect on the first day of the last billing period:
             1303          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             1304      and
             1305          (B) if the billing period for the transaction begins before the effective date of the repeal
             1306      of the tax or the tax rate decrease imposed under Subsection (1).
             1307          (3) A motor vehicle is exempt from the tax imposed under Subsection (1) if:
             1308          (a) the motor vehicle is registered for a gross laden weight of 12,001 or more pounds;
             1309          (b) the motor vehicle is rented as a personal household goods moving van; or
             1310          (c) the lease or rental of the motor vehicle is made for the purpose of temporarily
             1311      replacing a person's motor vehicle that is being repaired pursuant to a repair agreement or an
             1312      insurance agreement.
             1313          (4) (a) (i) The tax authorized under this section shall be administered, collected, and
             1314      enforced in accordance with:
             1315          (A) the same procedures used to administer, collect, and enforce the tax under Part 1,
             1316      Tax Collection; and
             1317          (B) Chapter 1, General Taxation Policies.
             1318          (ii) Notwithstanding Subsection (4)(a)(i), a tax under this part is not subject to
             1319      Subsections 59-12-103 (4) through (12) or Section 59-12-107.1 or 59-12-123 .
             1320          (b) The commission [may retain a maximum of 1-1/2% of the tax collected under this
             1321      section for the costs of rendering its services under this section] shall retain and deposit an
             1322      administrative charge in accordance with Section 59-1-306 from the revenues the commission
             1323      collects from a tax under this part.
             1324          (c) Except as provided under Subsection (4)(b), all revenue received by the
             1325      commission under this section shall be deposited daily with the state treasurer and credited
             1326      monthly to the Transportation Corridor Preservation Revolving Loan Fund under Section
             1327      72-2-117 .



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             1328
         Section 20. Section 59-12-1302 is amended to read:
             1329           59-12-1302. Imposition of tax -- Base -- Rate -- Enactment or repeal of tax -- Tax
             1330      rate change -- Effective date -- Notice requirements -- Administration, collection, and
             1331      enforcement of tax -- Administrative charge.
             1332          (1) Beginning on or after January 1, 1998, the governing body of a town may impose a
             1333      tax as provided in this part in an amount that does not exceed 1%.
             1334          (2) A town may impose a tax as provided in this part if the town imposed a license fee
             1335      or tax on businesses based on gross receipts under Section 10-1-203 on or before January 1,
             1336      1996.
             1337          (3) A town imposing a tax under this section shall:
             1338          (a) except as provided in Subsection (4), impose the tax on the transactions described
             1339      in Subsection 59-12-103 (1) located within the town; and
             1340          (b) provide an effective date for the tax as provided in Subsection (5).
             1341          (4) (a) Notwithstanding Subsection (3)(a), a town may not impose a tax under this
             1342      section on:
             1343          (i) the sales and uses described in Section 59-12-104 to the extent the sales and uses
             1344      are exempt from taxation under Section 59-12-104 ; and
             1345          (ii) except as provided in Subsection (4)(c), amounts paid or charged for food and food
             1346      ingredients.
             1347          (b) For purposes of this Subsection (4), the location of a transaction shall be
             1348      determined in accordance with Sections 59-12-211 through 59-12-215 .
             1349          (c) A town imposing a tax under this section shall impose the tax on amounts paid or
             1350      charged for food and food ingredients if the food and food ingredients are sold as part of a
             1351      bundled transaction attributable to food and food ingredients and tangible personal property
             1352      other than food and food ingredients.
             1353          (5) (a) For purposes of this Subsection (5):
             1354          (i) "Annexation" means an annexation to a town under Title 10, Chapter 2, Part 4,
             1355      Annexation.
             1356          (ii) "Annexing area" means an area that is annexed into a town.
             1357          (b) (i) Except as provided in Subsection (5)(c) or (d), if, on or after July 1, 2004, a
             1358      town enacts or repeals a tax or changes the rate of a tax under this part, the enactment, repeal,



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             1359
     or change shall take effect:
             1360          (A) on the first day of a calendar quarter; and
             1361          (B) after a 90-day period beginning on the date the commission receives notice meeting
             1362      the requirements of Subsection (5)(b)(ii) from the town.
             1363          (ii) The notice described in Subsection (5)(b)(i)(B) shall state:
             1364          (A) that the town will enact or repeal a tax or change the rate of a tax under this part;
             1365          (B) the statutory authority for the tax described in Subsection (5)(b)(ii)(A);
             1366          (C) the effective date of the tax described in Subsection (5)(b)(ii)(A); and
             1367          (D) if the town enacts the tax or changes the rate of the tax described in Subsection
             1368      (5)(b)(ii)(A), the rate of the tax.
             1369          (c) (i) The enactment of a tax or a tax rate increase shall take effect on the first day of
             1370      the first billing period:
             1371          (A) that begins after the effective date of the enactment of the tax or the tax rate
             1372      increase; and
             1373          (B) if the billing period for the transaction begins before the effective date of the
             1374      enactment of the tax or the tax rate increase imposed under Subsection (1).
             1375          (ii) The repeal of a tax or a tax rate decrease shall take effect on the first day of the last
             1376      billing period:
             1377          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             1378      and
             1379          (B) if the billing period for the transaction begins before the effective date of the repeal
             1380      of the tax or the tax rate decrease imposed under Subsection (1).
             1381          (d) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
             1382      sales and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of
             1383      a tax described in Subsection (5)(b)(i) takes effect:
             1384          (A) on the first day of a calendar quarter; and
             1385          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
             1386      rate of the tax under Subsection (5)(b)(i).
             1387          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1388      commission may by rule define the term "catalogue sale."
             1389          (e) (i) Except as provided in Subsection (5)(f) or (g), if, for an annexation that occurs



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             1390
     on or after July 1, 2004, the annexation will result in the enactment, repeal, or change in the
             1391      rate of a tax under this part for an annexing area, the enactment, repeal, or change shall take
             1392      effect:
             1393          (A) on the first day of a calendar quarter; and
             1394          (B) after a 90-day period beginning on the date the commission receives notice meeting
             1395      the requirements of Subsection (5)(e)(ii) from the town that annexes the annexing area.
             1396          (ii) The notice described in Subsection (5)(e)(i)(B) shall state:
             1397          (A) that the annexation described in Subsection (5)(e)(i) will result in an enactment,
             1398      repeal, or change in the rate of a tax under this part for the annexing area;
             1399          (B) the statutory authority for the tax described in Subsection (5)(e)(ii)(A);
             1400          (C) the effective date of the tax described in Subsection (5)(e)(ii)(A); and
             1401          (D) if the town enacts the tax or changes the rate of the tax described in Subsection
             1402      (5)(e)(ii)(A), the rate of the tax.
             1403          (f) (i) The enactment of a tax or a tax rate increase shall take effect on the first day of
             1404      the first billing period:
             1405          (A) that begins after the effective date of the enactment of the tax or the tax rate
             1406      increase; and
             1407          (B) if the billing period for the transaction begins before the effective date of the
             1408      enactment of the tax or the tax rate increase imposed under Subsection (1).
             1409          (ii) The repeal of a tax or a tax rate decrease shall take effect on the first day of the last
             1410      billing period:
             1411          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             1412      and
             1413          (B) if the billing period for the transaction begins before the effective date of the repeal
             1414      of the tax or the tax rate decrease imposed under Subsection (1).
             1415          (g) (i) If a tax due under this chapter on a catalogue sale is computed on the basis of
             1416      sales and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of
             1417      a tax described in Subsection (5)(e)(i) takes effect:
             1418          (A) on the first day of a calendar quarter; and
             1419          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
             1420      rate of the tax under Subsection (5)(e)(i).



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             1421
         (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1422      commission may by rule define the term "catalogue sale."
             1423          (6) The commission shall:
             1424          (a) [except as provided in Subsection (6)(c),] distribute the revenues generated by the
             1425      tax under this section to the town imposing the tax; and
             1426          (b) except as provided in Subsection [(7)] (8), administer, collect, and enforce the tax
             1427      authorized under this section in accordance with:
             1428          (i) the same procedures used to administer, collect, and enforce the tax under:
             1429          (A) Part 1, Tax Collection; or
             1430          (B) Part 2, Local Sales and Use Tax Act; and
             1431          (ii) Chapter 1, General Taxation Policies[; and].
             1432          [(c) deduct from the distribution under Subsection (6)(a) an administrative charge for
             1433      collecting the tax as provided in Section 59-12-206 .]
             1434          (7) The commission shall retain and deposit an administrative charge in accordance
             1435      with Section 59-1-306 from the revenues the commission collects from a tax under this part.
             1436          [(7)] (8) Notwithstanding Subsection (6)(b), a tax under this section is not subject to
             1437      Subsections 59-12-205 (2) through (6).
             1438          Section 21. Section 59-12-1403 is amended to read:
             1439           59-12-1403. Distribution of revenues -- Administrative charge.
             1440          (1) (a) The city or town legislative body shall by ordinance provide for the distribution
             1441      of the entire amount of the revenues generated by the tax imposed by this part in accordance
             1442      with this section.
             1443          (b) A city or town may participate in an interlocal agreement provided for under
             1444      Section 59-12-704 and distribute the revenues generated by the tax imposed by this part to
             1445      participants in the interlocal agreement.
             1446          (c) The revenues generated by the tax shall be used for one or more organizations or
             1447      facilities defined in Section 59-12-702 .
             1448          (2) The commission [may retain an amount not to exceed 1-1/2% of the tax collected
             1449      under this part for the cost of administering this part] shall retain and deposit an administrative
             1450      charge in accordance with Section 59-1-306 from the revenues the commission collects from a
             1451      tax under this part.



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             1452
         Section 22. Section 59-12-2004 is amended to read:
             1453           59-12-2004. Enactment or repeal of tax -- Effective date -- Administration,
             1454      collection, and enforcement of tax -- Administrative charge.
             1455          (1) Subject to Subsections (2) and (3), a tax rate repeal or a tax rate change for a tax
             1456      imposed under this part shall take effect on the first day of a calendar quarter.
             1457          (2) (a) The enactment of a tax or a tax rate increase shall take effect on the first day of
             1458      the first billing period that begins after the effective date of the enactment of the tax or the tax
             1459      rate increase if the billing period for the transaction begins before the effective date of the
             1460      enactment of the tax or the tax rate increase under this part.
             1461          (b) The repeal of a tax or a tax rate decrease shall take effect on the first day of the last
             1462      billing period that began before the effective date of the repeal of the tax or the tax rate
             1463      decrease if the billing period for the transaction begins before the effective date of the repeal of
             1464      the tax or the tax rate decrease imposed under this part.
             1465          (3) (a) If a tax due under this part on a catalogue sale is computed on the basis of sales
             1466      and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of a tax
             1467      under this part takes effect:
             1468          (i) on the first day of a calendar quarter; and
             1469          (ii) beginning 60 days after the effective date of the enactment, repeal, or change in the
             1470      rate of the tax under this part.
             1471          (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1472      commission may by rule define the term "catalogue sale."
             1473          (4) The commission shall administer, collect, and enforce a tax under this part in
             1474      accordance with:
             1475          (a) the same procedures used to administer, collect, and enforce the tax under Part 1,
             1476      Tax Collection;
             1477          (b) Chapter 1, General Taxation Policies; and
             1478          (c) Section 59-12-210.1 .
             1479          (5) The commission shall retain and deposit an administrative charge in accordance
             1480      with Section 59-1-306 from the revenues the commission collects from a tax under this part.
             1481          Section 23. Section 59-12-2103 is amended to read:
             1482           59-12-2103. Imposition of tax -- Base -- Rate -- Expenditure of revenues collected



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             1483
     from the tax -- Administration, collection, and enforcement of tax by commission --
             1484      Administrative charge -- Enactment or repeal of tax -- Annexation -- Notice.
             1485          (1) (a) Subject to the other provisions of this section and except as provided in
             1486      Subsection (2), beginning on January 1, 2009 and ending on June 30, 2016, if a city or town
             1487      receives a distribution for the 12 consecutive months of fiscal year 2005-06 because the city or
             1488      town would have received a tax revenue distribution of less than .75% of the taxable sales
             1489      within the boundaries of the city or town but for Subsection 59-12-205 (3)(a), the city or town
             1490      legislative body may impose a sales and use tax of up to .20% on the transactions:
             1491          (i) described in Subsection 59-12-103 (1); and
             1492          (ii) within the city or town.
             1493          (b) A city or town legislative body that imposes a tax under Subsection (1)(a) shall
             1494      expend the revenues collected from the tax for the same purposes for which the city or town
             1495      may expend the city's or town's general fund revenues.
             1496          (c) For purposes of this Subsection (1), the location of a transaction shall be
             1497      determined in accordance with Sections 59-12-211 through 59-12-215 .
             1498          (2) (a) A city or town legislative body may not impose a tax under this section on:
             1499          (i) the sales and uses described in Section 59-12-104 to the extent the sales and uses
             1500      are exempt from taxation under Section 59-12-104 ; and
             1501          (ii) except as provided in Subsection (2)(b), amounts paid or charged for food and food
             1502      ingredients.
             1503          (b) A city or town legislative body imposing a tax under this section shall impose the
             1504      tax on amounts paid or charged for food and food ingredients if the food and food ingredients
             1505      are sold as part of a bundled transaction attributable to food and food ingredients and tangible
             1506      personal property other than food and food ingredients.
             1507          (3) To impose a tax under this part, a city or town legislative body shall obtain
             1508      approval from a majority of the members of the city or town legislative body.
             1509          (4) The commission shall transmit revenues collected within a city or town from a tax
             1510      under this part:
             1511          (a) to the city or town legislative body;
             1512          (b) monthly; and
             1513          (c) by electronic funds transfer.



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             1514
         (5) (a) Except as provided in Subsection (5)(b), the commission shall administer,
             1515      collect, and enforce a tax under this part in accordance with:
             1516          (i) the same procedures used to administer, collect, and enforce the tax under:
             1517          (A) Part 1, Tax Collection; or
             1518          (B) Part 2, Local Sales and Use Tax Act; and
             1519          (ii) Chapter 1, General Taxation Policies.
             1520          (b) A tax under this part is not subject to Subsections 59-12-205 (2) through (6).
             1521          [(6) (a) The commission may retain an amount of tax collected under this part of not to
             1522      exceed the lesser of:]
             1523          [(i) 1.5%; or]
             1524          [(ii) an amount equal to the cost to the commission of administering this part.]
             1525          [(b) Any amount the commission retains under Subsection (6)(a) shall be:]
             1526          [(i) deposited into the Sales and Use Tax Administrative Fees Account; and]
             1527          [(ii) used as provided in Subsection 59-12-206 (2).]
             1528          (6) The commission shall retain and deposit an administrative charge in accordance
             1529      with Section 59-1-306 from the revenues the commission collects from a tax under this part.
             1530          (7) (a) (i) Except as provided in Subsection (7)(b) or (c), if, on or after January 1, 2009,
             1531      a city or town enacts or repeals a tax or changes the rate of a tax under this part, the enactment,
             1532      repeal, or change shall take effect:
             1533          (A) on the first day of a calendar quarter; and
             1534          (B) after a 90-day period beginning on the date the commission receives notice meeting
             1535      the requirements of Subsection (7)(a)(i) from the city or town.
             1536          (ii) The notice described in Subsection (7)(a)(i)(B) shall state:
             1537          (A) that the city or town will enact or repeal a tax or change the rate of the tax under
             1538      this part;
             1539          (B) the statutory authority for the tax described in Subsection (7)(a)(ii)(A);
             1540          (C) the effective date of the tax described in Subsection (7)(a)(ii)(A); and
             1541          (D) if the city or town enacts the tax or changes the rate of the tax described in
             1542      Subsection (7)(a)(ii)(A), the rate of the tax.
             1543          (b) (i) If the billing period for a transaction begins before the enactment of the tax or
             1544      the tax rate increase under Subsection (1), the enactment of a tax or a tax rate increase shall



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             1545
     take effect on the first day of the first billing period that begins after the effective date of the
             1546      enactment of the tax or the tax rate increase.
             1547          (ii) If the billing period for a transaction begins before the effective date of the repeal
             1548      of the tax or the tax rate decrease imposed under Subsection (1), the repeal of a tax or a tax rate
             1549      decrease shall take effect on the first day of the last billing period that began before the
             1550      effective date of the repeal of the tax or the tax rate decrease.
             1551          (c) (i) If a tax due under this part on a catalogue sale is computed on the basis of sales
             1552      and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of a tax
             1553      described in Subsection (7)(a)(i) takes effect:
             1554          (A) on the first day of a calendar quarter; and
             1555          (B) beginning 60 days after the effective date of the enactment, repeal, or change in the
             1556      rate of the tax under Subsection (7)(a)(i).
             1557          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1558      commission may by rule define the term "catalogue sale."
             1559          (d) (i) Except as provided in Subsection (7)(e) or (f), if, for an annexation that occurs
             1560      on or after January 1, 2009, the annexation will result in the enactment, repeal, or change in the
             1561      rate of a tax under this part for an annexing area, the enactment, repeal, or change shall take
             1562      effect:
             1563          (A) on the first day of a calendar quarter; and
             1564          (B) after a 90-day period beginning on the date the commission receives notice meeting
             1565      the requirements of Subsection (7)(d)(ii) from the city or town that annexes the annexing area.
             1566          (ii) The notice described in Subsection (7)(d)(i)(B) shall state:
             1567          (A) that the annexation described in Subsection (7)(d)(i)(B) will result in the
             1568      enactment, repeal, or change in the rate of a tax under this part for the annexing area;
             1569          (B) the statutory authority for the tax described in Subsection (7)(d)(ii)(A);
             1570          (C) the effective date of the tax described in Subsection (7)(d)(ii)(A); and
             1571          (D) if the city or town enacts the tax or changes the rate of the tax described in
             1572      Subsection (7)(d)(ii)(A), the rate of the tax.
             1573          (e) (i) If the billing period for a transaction begins before the effective date of the
             1574      enactment of the tax or a tax rate increase under Subsection (1), the enactment of a tax or a tax
             1575      rate increase shall take effect on the first day of the first billing period that begins after the



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             1576
     effective date of the enactment of the tax or the tax rate increase.
             1577          (ii) If the billing period for a transaction begins before the effective date of the repeal
             1578      of the tax or the tax rate decrease imposed under Subsection (1), the repeal of a tax or a tax rate
             1579      decrease shall take effect on the first day of the last billing period that began before the
             1580      effective date of the repeal of the tax or the tax rate decrease.
             1581          (f) (i) If a tax due under this part on a catalogue sale is computed on the basis of sales
             1582      and use tax rates published in the catalogue, an enactment, repeal, or change in the rate of a tax
             1583      described in Subsection (7)(d)(i) takes effect:
             1584          (A) on the first day of a calendar quarter; and
             1585          (B) beginning 60 days after the effective date of the enactment, repeal, or change under
             1586      Subsection (7)(d)(i).
             1587          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1588      commission may by rule define the term "catalogue sale".
             1589          Section 24. Section 59-12-2207 is amended to read:
             1590           59-12-2207. Administrative charge.
             1591          [(1)] The commission [may retain a percentage of revenues collected from a sales and
             1592      use tax under this part of not to exceed the lesser of:] shall retain and deposit an administrative
             1593      charge in accordance with Section 59-1-306 from the revenues the commission collects from a
             1594      tax under this part.
             1595          [(a) 1.50%; or]
             1596          [(b) a percentage of revenues collected from a sales and use tax under this part
             1597      sufficient to cover the cost to the commission of administering this part.]
             1598          [(2) The commission shall:]
             1599          [(a) deposit any revenues the commission retains under Subsection (1) into the Sales
             1600      and Use Tax Administrative Fees Account; and]
             1601          [(b) expend the revenues described in Subsection (2)(a) as provided in Subsection
             1602      59-12-206 (2).]
             1603          Section 25. Section 59-26-104 is amended to read:
             1604           59-26-104. Collection of tax.
             1605          A multi-channel video or audio service provider shall:
             1606          (1) collect the tax imposed by Section 59-26-103 from the purchaser; [and]



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             1607
         (2) [remit] pay the tax collected under Subsection (1) to the commission:
             1608          [(a) quarterly on or before the last day of the month immediately following the last day
             1609      of each calendar quarter; and]
             1610          [(b) on a return prescribed by the commission.]
             1611          (a) monthly on or before the last day of the month immediately following the last day
             1612      of the previous month if:
             1613          (i) the multi-channel video or audio service provider is required to file a sales and use
             1614      tax return with the commission monthly under Section 59-12-108 ; or
             1615          (ii) the multi-channel video or audio service provider is not required to file a sales and
             1616      use tax return under Chapter 12, Sales and Use Tax Act; or
             1617          (b) quarterly on or before the last day of the month immediately following the last day
             1618      of the previous quarter if the multi-channel video or audio service provider is required to file a
             1619      sales and use tax return with the commission quarterly under Section 59-12-108 ; and
             1620          (3) pay the tax collected under Subsection (1) using a form prescribed by the
             1621      commission.
             1622          Section 26. Section 59-27-105 is amended to read:
             1623           59-27-105. Sexually explicit business and escort service fund -- Administrative
             1624      charge.
             1625          (1) There is created a restricted special revenue fund called the "Sexually Explicit
             1626      Business and Escort Service Fund."
             1627          (2) (a) Except as provided in Subsection (3), the fund consists of all amounts collected
             1628      by the commission under this chapter.
             1629          (b) (i) The money in the fund shall be invested by the state treasurer pursuant to Title
             1630      51, Chapter 7, State Money Management Act.
             1631          (ii) All interest or other earnings derived from the fund money shall be deposited in the
             1632      fund.
             1633          (3) Notwithstanding any other [provisions] provision of this chapter, the commission
             1634      [may retain an amount of tax collected under this chapter of not to exceed the lesser of:] shall
             1635      retain and deposit an administrative charge in accordance with Section 59-1-306 from the
             1636      revenues the commission collects from a tax under this chapter.
             1637          [(a) 1.5%; or]



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             1638
         [(b) an amount equal to the cost to the commission of administering this chapter.]
             1639          (4) (a) Fund money shall be used as provided in this Subsection (4).
             1640          (b) The Department of Corrections shall use 60% of the money in the fund, in addition
             1641      to existing budgets, to provide treatment services to nonworking or indigent adults who:
             1642          (i) have been convicted of an offense under Title 76, Chapter 5, Part 4, Sexual
             1643      Offenses; and
             1644          (ii) are not currently confined or incarcerated in a jail or prison.
             1645          (c) The Adult Probation and Parole section of the Department of Corrections shall use
             1646      15% of the money in the fund to provide outpatient treatment services to individuals who:
             1647          (i) have been convicted of an offense under Title 76, Chapter 5, Part 4, Sexual
             1648      Offenses; and
             1649          (ii) are not currently confined or incarcerated in a jail or prison.
             1650          (d) The Department of Corrections shall use 10% of the money in the fund, in addition
             1651      to existing budgets, to implement treatment programs for juveniles who have been convicted of
             1652      an offense under Title 76, Chapter 5, Part 4, Sexual Offenses.
             1653          (e) The attorney general shall use 15% of the money in the fund to provide funding for
             1654      any task force:
             1655          (i) administered through the Office of the Attorney General; and
             1656          (ii) that investigates and prosecutes individuals who use the Internet to commit crimes
             1657      against children.
             1658          Section 27. Section 69-2-5 is amended to read:
             1659           69-2-5. Funding for 911 emergency telecommunications service -- Administrative
             1660      charge.
             1661          (1) In providing funding of 911 emergency telecommunications service, any public
             1662      agency establishing a 911 emergency telecommunications service may:
             1663          (a) seek assistance from the federal or state government, to the extent constitutionally
             1664      permissible, in the form of loans, advances, grants, subsidies, and otherwise, directly or
             1665      indirectly;
             1666          (b) seek funds appropriated by local governmental taxing authorities for the funding of
             1667      public safety agencies; and
             1668          (c) seek gifts, donations, or grants from individuals, corporations, or other private



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             1669
     entities.
             1670          (2) For purposes of providing funding of 911 emergency telecommunications service,
             1671      special service districts may raise funds as provided in Section 17D-1-105 and may borrow
             1672      money and incur indebtedness as provided in Section 17D-1-103 .
             1673          (3) (a) Except as provided in Subsection (3)(b) and subject to the other provisions of
             1674      this Subsection (3) a county, city, or town within which 911 emergency telecommunications
             1675      service is provided may levy monthly an emergency services telecommunications charge on:
             1676          (i) each local exchange service switched access line within the boundaries of the
             1677      county, city, or town;
             1678          (ii) each revenue producing radio communications access line with a billing address
             1679      within the boundaries of the county, city, or town; and
             1680          (iii) any other service, including voice over Internet protocol, provided to a user within
             1681      the boundaries of the county, city, or town that allows the user to make calls to and receive
             1682      calls from the public switched telecommunications network, including commercial mobile
             1683      radio service networks.
             1684          (b) Notwithstanding Subsection (3)(a), an access line provided for public coin
             1685      telecommunications service is exempt from emergency telecommunications charges.
             1686          (c) The amount of the charge levied under this section may not exceed:
             1687          (i) 61 cents per month for each local exchange service switched access line;
             1688          (ii) 61 cents per month for each radio communications access line; and
             1689          (iii) 61 cents per month for each service under Subsection (3)(a)(iii).
             1690          (d) (i) For purposes of this Subsection (3)(d) the following terms shall be defined as
             1691      provided in Section 59-12-102 or 59-12-215 :
             1692          (A) "mobile telecommunications service";
             1693          (B) "place of primary use";
             1694          (C) "service address"; and
             1695          (D) "telecommunications service."
             1696          (ii) An access line described in Subsection (3)(a) is considered to be within the
             1697      boundaries of a county, city, or town if the telecommunications services provided over the
             1698      access line are located within the county, city, or town:
             1699          (A) for purposes of sales and use taxes under Title 59, Chapter 12, Sales and Use Tax



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     Act; and
             1701          (B) determined in accordance with Section 59-12-215 .
             1702          (iii) The rate imposed on an access line under this section shall be determined in
             1703      accordance with Subsection (3)(d)(iv) if the location of an access line described in Subsection
             1704      (3)(a) is determined under Subsection (3)(d)(ii) to be a county, city, or town other than county,
             1705      city, or town in which is located:
             1706          (A) for a telecommunications service, the purchaser's service address; or
             1707          (B) for mobile telecommunications service, the purchaser's place of primary use.
             1708          (iv) The rate imposed on an access line under this section shall be the lower of:
             1709          (A) the rate imposed by the county, city, or town in which the access line is located
             1710      under Subsection (3)(d)(ii); or
             1711          (B) the rate imposed by the county, city, or town in which it is located:
             1712          (I) for telecommunications service, the purchaser's service address; or
             1713          (II) for mobile telecommunications service, the purchaser's place of primary use.
             1714          (e) (i) A county, city, or town shall notify the Public Service Commission of the intent
             1715      to levy the charge under this Subsection (3) at least 30 days before the effective date of the
             1716      charge being levied.
             1717          (ii) For purposes of this Subsection (3)(e):
             1718          (A) "Annexation" means an annexation to:
             1719          (I) a city or town under Title 10, Chapter 2, Part 4, Annexation; or
             1720          (II) a county under Title 17, Chapter 2, County Consolidations and Annexations.
             1721          (B) "Annexing area" means an area that is annexed into a county, city, or town.
             1722          (iii) (A) Except as provided in Subsection (3)(e)(iii)(C) or (D), if on or after July 1,
             1723      2003, a county, city, or town enacts or repeals a charge or changes the amount of the charge
             1724      under this section, the enactment, repeal, or change shall take effect:
             1725          (I) on the first day of a calendar quarter; and
             1726          (II) after a 90-day period beginning on the date the State Tax Commission receives
             1727      notice meeting the requirements of Subsection (3)(e)(iii)(B) from the county, city, or town.
             1728          (B) The notice described in Subsection (3)(e)(iii)(A) shall state:
             1729          (I) that the county, city, or town will enact or repeal a charge or change the amount of
             1730      the charge under this section;



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             1731
         (II) the statutory authority for the charge described in Subsection (3)(e)(iii)(B)(I);
             1732          (III) the effective date of the charge described in Subsection (3)(e)(iii)(B)(I); and
             1733          (IV) if the county, city, or town enacts the charge or changes the amount of the charge
             1734      described in Subsection (3)(e)(iii)(B)(I), the amount of the charge.
             1735          (C) Notwithstanding Subsection (3)(e)(iii)(A), the enactment of a charge or a charge
             1736      increase under this section shall take effect on the first day of the first billing period:
             1737          (I) that begins after the effective date of the enactment of the charge or the charge
             1738      increase; and
             1739          (II) if the billing period for the charge begins before the effective date of the enactment
             1740      of the charge or the charge increase imposed under this section.
             1741          (D) Notwithstanding Subsection (3)(e)(iii)(A), the repeal of a charge or a charge
             1742      decrease under this section shall take effect on the first day of the last billing period:
             1743          (I) that began before the effective date of the repeal of the charge or the charge
             1744      decrease; and
             1745          (II) if the billing period for the charge begins before the effective date of the repeal of
             1746      the charge or the charge decrease imposed under this section.
             1747          (iv) (A) Except as provided in Subsection (3)(e)(iv)(C) or (D), if for an annexation that
             1748      occurs on or after July 1, 2003, the annexation will result in the enactment, repeal, or a change
             1749      in the amount of a charge imposed under this section for an annexing area, the enactment,
             1750      repeal, or change shall take effect:
             1751          (I) on the first day of a calendar quarter; and
             1752          (II) after a 90-day period beginning on the date the State Tax Commission receives
             1753      notice meeting the requirements of Subsection (3)(e)(iv)(B) from the county, city, or town that
             1754      annexes the annexing area.
             1755          (B) The notice described in Subsection (3)(e)(iv)(A) shall state:
             1756          (I) that the annexation described in Subsection (3)(e)(iv)(A) will result in an
             1757      enactment, repeal, or a change in the charge being imposed under this section for the annexing
             1758      area;
             1759          (II) the statutory authority for the charge described in Subsection (3)(e)(iv)(B)(I);
             1760          (III) the effective date of the charge described in Subsection (3)(e)(iv)(B)(I); and
             1761          (IV) if the county, city, or town enacts the charge or changes the amount of the charge



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             1762
     described in Subsection (3)(e)(iv)(B)(I), the amount of the charge.
             1763          (C) Notwithstanding Subsection (3)(e)(iv)(A), the enactment of a charge or a charge
             1764      increase under this section shall take effect on the first day of the first billing period:
             1765          (I) that begins after the effective date of the enactment of the charge or the charge
             1766      increase; and
             1767          (II) if the billing period for the charge begins before the effective date of the enactment
             1768      of the charge or the charge increase imposed under this section.
             1769          (D) Notwithstanding Subsection (3)(e)(iv)(A), the repeal of a charge or a charge
             1770      decrease under this section shall take effect on the first day of the last billing period:
             1771          (I) that began before the effective date of the repeal of the charge or the charge
             1772      decrease; and
             1773          (II) if the billing period for the charge begins before the effective date of the repeal of
             1774      the charge or the charge decrease imposed under this section.
             1775          (f) Subject to Subsection (3)(g), an emergency services telecommunications charge
             1776      levied under this section shall:
             1777          (i) be billed and collected by the person that provides the:
             1778          (A) local exchange service switched access line services; or
             1779          (B) radio communications access line services; and
             1780          (ii) except for costs retained under Subsection (3)(h), remitted to the State Tax
             1781      Commission.
             1782          (g) An emergency services telecommunications charge on a mobile
             1783      telecommunications service may be levied, billed, and collected only to the extent permitted by
             1784      the Mobile Telecommunications Sourcing Act, 4 U.S.C. Sec. 116 et seq.
             1785          (h) The person that bills and collects the charges levied under Subsection (3)(f) may:
             1786          (i) bill the charge imposed by this section in combination with the charge levied under
             1787      Section 69-2-5.6 as one line item charge; and
             1788          (ii) retain an amount not to exceed 1.5% of the levy collected under this section as
             1789      reimbursement for the cost of billing, collecting, and remitting the levy.
             1790          (i) The State Tax Commission shall:
             1791          (i) collect, enforce, and administer the charge imposed under this Subsection (3) using
             1792      the same procedures used in the administration, collection, and enforcement of the state sales



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             1793
     and use taxes under:
             1794          (A) Title 59, Chapter 1, General Taxation Policies; and
             1795          (B) Title 59, Chapter 12, Part 1, Tax Collection, except for:
             1796          (I) Section 59-12-104 ;
             1797          (II) Section 59-12-104.1 ;
             1798          (III) Section 59-12-104.2 ;
             1799          (IV) Section 59-12-107.1 ; and
             1800          (V) Section 59-12-123 ; and
             1801          (ii) transmit money collected under this Subsection (3)[: (A)] monthly[; and (B)] by
             1802      electronic funds transfer [by the commission] to the county, city, or town that imposes the
             1803      charge[; and].
             1804          (j) A person that pays a charge under this section shall pay the charge to the
             1805      commission:
             1806          (i) monthly on or before the last day of the month immediately following the last day of
             1807      the previous month if:
             1808          (A) the person is required to file a sales and use tax return with the commission
             1809      monthly under Section 59-12-108 ; or
             1810          (B) the person is not required to file a sales and use tax return under Title 59, Chapter
             1811      12, Sales and Use Tax Act; or
             1812          (ii) quarterly on or before the last day of the month immediately following the last day
             1813      of the previous quarter if the person is required to file a sales and use tax return with the
             1814      commission quarterly under Section 59-12-108 .
             1815          (k) A charge a person pays under this section shall be paid using a form prescribed by
             1816      the State Tax Commission.
             1817          [(iii) charge the county, city, or town for the State Tax Commission's services under
             1818      this Subsection (3) in an amount:]
             1819          [(A) sufficient to reimburse the State Tax Commission for the cost to the State Tax
             1820      Commission in rendering the services; and]
             1821          [(B) that may not exceed an amount equal to 1.5% of the charges imposed under this
             1822      Subsection (3).]
             1823          (l) The State Tax Commission shall retain and deposit an administrative charge in



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             1824
     accordance with Section 59-1-306 from the revenues the State Tax Commission collects from a
             1825      charge under this section.
             1826          (4) (a) Any money received by a public agency for the provision of 911 emergency
             1827      telecommunications service shall be deposited in a special emergency telecommunications
             1828      service fund.
             1829          (b) (i) Except as provided in Subsection (5)(b), the money in the emergency
             1830      telecommunications service fund shall be expended by the public agency to pay the costs of:
             1831          (A) establishing, installing, maintaining, and operating a 911 emergency
             1832      telecommunications system;
             1833          (B) receiving and processing emergency calls from the 911 system or other calls or
             1834      requests for emergency services;
             1835          (C) integrating a 911 system into an established public safety dispatch center, including
             1836      contracting with the providers of local exchange service, radio communications service, and
             1837      vendors of appropriate terminal equipment as necessary to implement the 911 emergency
             1838      telecommunications service; or
             1839          (D) indirect costs associated with the maintaining and operating of a 911 emergency
             1840      telecommunications system.
             1841          (ii) Revenues derived for the funding of 911 emergency telecommunications service
             1842      may be used by the public agency for personnel costs associated with receiving and processing
             1843      calls and deploying emergency response resources when the system is integrated with any
             1844      public safety dispatch system.
             1845          (c) Any unexpended money in the emergency telecommunications service fund at the
             1846      end of a fiscal year does not lapse, and must be carried forward to be used for the purposes
             1847      described in this section.
             1848          (5) (a) Revenue received by a local entity from an increase in the levy imposed under
             1849      Subsection (3) after the 2004 Annual General Session:
             1850          (i) may be used by the public agency for the purposes under Subsection (4)(b); and
             1851          (ii) shall be deposited into the special emergency telecommunications service fund
             1852      described in Subsection (4)(a).
             1853          (b) Revenue received by a local entity from grants from the Utah 911 Committee under
             1854      Section 53-10-605 :



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         (i) shall be deposited into the special emergency telecommunications service fund
             1856      under Subsection (4)(a); and
             1857          (ii) shall only be used for that portion of the costs related to the development and
             1858      operation of wireless and land-based enhanced 911 emergency telecommunications service and
             1859      the implementation of wireless E-911 Phase I and Phase II services as provided in Subsection
             1860      (5)(c).
             1861          (c) The costs allowed under Subsection (5)(b)(ii) include the public safety answering
             1862      point's or local entity's costs for:
             1863          (i) acquisition, upgrade, modification, maintenance, and operation of public service
             1864      answering point equipment capable of receiving E-911 information;
             1865          (ii) database development, operation, and maintenance; and
             1866          (iii) personnel costs associated with establishing, installing, maintaining, and operating
             1867      wireless E-911 Phase I and Phase II services, including training emergency service personnel
             1868      regarding receipt and use of E-911 wireless service information and educating consumers
             1869      regarding the appropriate and responsible use of E-911 wireless service.
             1870          (6) A local entity that increases the levy it imposes under Subsection (3)(c) after the
             1871      2004 Annual General Session shall increase the levy to the maximum amount permitted by
             1872      Subsection (3)(c).
             1873          Section 28. Section 69-2-5.5 is amended to read:
             1874           69-2-5.5. Emergency services telecommunications charge to fund the Poison
             1875      Control Center -- Administrative charge.
             1876          (1) Subject to Subsection (7), there is imposed an emergency services
             1877      telecommunications charge of 7 cents per month on each local exchange service switched
             1878      access line and each revenue producing radio communications access line that is subject to an
             1879      emergency services telecommunications charge levied by a county, city, or town under Section
             1880      69-2-5 .
             1881          (2) (a) [The] Subject to Subsection (7), an emergency services telecommunications
             1882      charge imposed under this section shall be[: (a) subject to Subsection (7),] billed and collected
             1883      by the person that provides:
             1884          (i) local exchange service switched access line services; or
             1885          (ii) radio communications access line services[;].



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             1886
         (b) A person that pays an emergency services telecommunications charge under this
             1887      section shall pay the emergency services telecommunications charge to the commission:
             1888          (i) monthly on or before the last day of the month immediately following the last day of
             1889      the previous month if:
             1890          (A) the person is required to file a sales and use tax return with the commission
             1891      monthly under Section 59-12-108 ; or
             1892          (B) the person is not required to file a sales and use tax return under Title 59, Chapter
             1893      12, Sales and Use Tax Act; or
             1894          (ii) quarterly on or before the last day of the month immediately following the last day
             1895      of the previous quarter if the person is required to file a sales and use tax return with the
             1896      commission quarterly under Section 59-12-108 .
             1897          [(b) remitted to the State Tax Commission at the same time as the person remits to the
             1898      State Tax Commission money collected by the person under Title 59, Chapter 12, Sales and
             1899      Use Tax Act; and]
             1900          (c) An emergency services telecommunications charge imposed under this section shall
             1901      be deposited into the General Fund as dedicated credits to pay for:
             1902          (i) costs of establishing, installing, maintaining, and operating the University of Utah
             1903      Poison Control Center; and
             1904          (ii) expenses of the State Tax Commission to administer and enforce the collection of
             1905      the emergency services telecommunications charges.
             1906          (3) Funds for the University of Utah Poison Control Center program are nonlapsing.
             1907          (4) Emergency services telecommunications charges remitted to the State Tax
             1908      Commission pursuant to Subsection (2) shall be accompanied by the form prescribed by the
             1909      State Tax Commission.
             1910          (5) (a) The State Tax Commission shall administer, collect, and enforce the charge
             1911      imposed under Subsection (1) according to the same procedures used in the administration,
             1912      collection, and enforcement of the state sales and use tax under:
             1913          (i) Title 59, Chapter 1, General Taxation Policies; and
             1914          (ii) Title 59, Chapter 12, Part 1, Tax Collection, except for:
             1915          (A) Section 59-12-104 ;
             1916          (B) Section 59-12-104.1 ;



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             1917
         (C) Section 59-12-104.2 ; and
             1918          (D) Section 59-12-107.1 .
             1919          (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1920      State Tax Commission may make rules to administer, collect, and enforce the emergency
             1921      services telecommunications charges imposed under this section.
             1922          (c) The State Tax Commission shall retain and deposit an administrative charge in
             1923      accordance with Section 59-1-306 from the revenues the State Tax Commission collects from
             1924      an emergency services telecommunications charge under this section.
             1925          (6) A provider of local exchange service switched access line services or radio
             1926      communications access line services who fails to comply with this section is subject to
             1927      penalties and interest as provided in Sections 59-1-401 and 59-1-402 .
             1928          (7) An emergency services telecommunications charge under this section on a mobile
             1929      telecommunications service may be imposed, billed, and collected only to the extent permitted
             1930      by the Mobile Telecommunications Sourcing Act, 4 U.S.C. Sec. 116 et seq.
             1931          Section 29. Section 69-2-5.6 is amended to read:
             1932           69-2-5.6. Emergency services telecommunications charge to fund statewide
             1933      unified E-911 emergency service -- Administrative charge.
             1934          (1) Subject to Subsection 69-2-5 (3)(g), there is imposed a statewide unified E-911
             1935      emergency service charge on each local exchange service switched access line and each
             1936      revenue producing radio communications access line that is subject to an emergency services
             1937      telecommunications charge levied by a county, city, or town under Section 69-2-5 or 69-2-5.5
             1938      at:
             1939          (a) 13 cents per month until June 30, 2007; and
             1940          (b) 8 cents per month on and after July 1, 2007.
             1941          (2) (a) [The] An emergency services telecommunications charge imposed under this
             1942      section shall be:
             1943          [(a)] (i) subject to Subsection 69-2-5 (3)(g); and
             1944          [(b)] (ii) billed and collected by the person that provides:
             1945          [(i)] (A) local exchange service switched access line services;
             1946          [(ii)] (B) radio communications access line services; or
             1947          [(iii)] (C) service described in Subsection 69-2-5 (3)(a)(iii).



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             1948
         [(c) except for costs retained under Subsection (3), remitted to the State Tax
             1949      Commission at the same time as the person remits to the State Tax Commission money
             1950      collected by the person under Title 59, Chapter 12, Sales and Use Tax Act; and]
             1951          (b) A person that pays a charge under this section shall pay the charge to the
             1952      commission:
             1953          (i) monthly on or before the last day of the month immediately following the last day of
             1954      the previous month if:
             1955          (A) the person is required to file a sales and use tax return with the commission
             1956      monthly under Section 59-12-108 ; or
             1957          (B) the person is not required to file a sales and use tax return under Title 59, Chapter
             1958      12, Sales and Use Tax Act; or
             1959          (ii) quarterly on or before the last day of the month immediately following the last day
             1960      of the previous quarter if the person is required to file a sales and use tax return with the
             1961      commission quarterly under Section 59-12-108 .
             1962          [(d)] (c) A charge imposed under this section shall be deposited into the Statewide
             1963      Unified E-911 Emergency Service [Fund restricted account in the General Fund] Account
             1964      created by Section 53-10-603 .
             1965          (3) The person that bills and collects the charges levied by this section pursuant to
             1966      Subsections (2)(b) and (c) may:
             1967          (a) bill the charge imposed by this section in combination with the charge levied under
             1968      Section 69-2-5 as one line item charge; and
             1969          (b) retain an amount not to exceed 1.5% of the charges collected under this section as
             1970      reimbursement for the cost of billing, collecting, and remitting the levy.
             1971          (4) The State Tax Commission shall collect, enforce, and administer the charges
             1972      imposed under Subsection (1) using the same procedures used in the administration, collection,
             1973      and enforcement of the emergency services telecommunications charge to fund the Poison
             1974      Control Center under Section 69-2-5.5 .
             1975          (5) Notwithstanding Section 53-10-603 , the State Tax Commission shall retain and
             1976      deposit an administrative charge in accordance with Section 59-1-306 from the revenues the
             1977      State Tax Commission collects from a charge under this section.
             1978          [(5)] (6) This section sunsets in accordance with Section 63I-1-269 .



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House Floor Amendments 3-8-2011 le/rlr
             1979
         Section 30. Effective date.
             1980          This bill takes effect on July 1, 2011.
             1980a      H. Section 31. Coordinating S.B. 16 with H.B. 82 -- Substantively superseding amendments.
             1980b          If this S.B. 16 and H.B. 82, Sales and Use Taxes on Certain Lodging Related Purchases,
             1980c      both pass, it is the intent of the Legislature that the amendments to Subsection 59-12-302(1)(b)
             1980d      in H.B. 82 supersede the amendments to Subsection 59-12-302(1)(b) in this S.B. 16 when the
             1980e      Office of Legislative Research and General Counsel prepares the Utah Code database for
             1980f      publication. .H


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