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S.B. 104 Enrolled

             1     

REVISOR'S STATUTE

             2     
2012 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: Scott K. Jenkins

             5     
House Sponsor: Jeremy A. Peterson

             6     
             7      LONG TITLE
             8      General Description:
             9          This bill modifies parts of the Utah Code to make technical corrections, including
             10      eliminating references to repealed provisions, making minor wording changes, updating
             11      cross references, and correcting numbering.
             12      Highlighted Provisions:
             13          This bill:
             14          .    modifies parts of the Utah Code to make technical corrections, including
             15      eliminating references to repealed provisions, making minor wording changes,
             16      updating cross references, correcting numbering, and fixing errors that were created
             17      from the previous year's session.
             18      Money Appropriated in this Bill:
             19          None
             20      Other Special Clauses:
             21          None
             22      Utah Code Sections Affected:
             23      AMENDS:
             24          13-32a-109, as last amended by Laws of Utah 2011, Chapter 348
             25          16-10a-740, as last amended by Laws of Utah 2000, Chapter 130
             26          17D-2-602, as enacted by Laws of Utah 2008, Chapter 360
             27          19-2-109.1, as last amended by Laws of Utah 2011, Chapter 297
             28          20A-7-402, as last amended by Laws of Utah 2011, Chapter 335
             29          20A-11-103, as last amended by Laws of Utah 2011, Chapters 17 and 396


             30          20A-16-406, as renumbered and amended by Laws of Utah 2011, Chapter 327
             31          20A-16-502, as enacted by Laws of Utah 2011, Chapter 327
             32          26-18-4, as last amended by Laws of Utah 2011, Chapter 297
             33          26-18-10, as last amended by Laws of Utah 2011, Chapter 297
             34          26-40-103, as last amended by Laws of Utah 2008, Chapters 62 and 382
             35          31A-8-501, as last amended by Laws of Utah 2009, Chapter 12
             36          32B-3-203, as enacted by Laws of Utah 2010, Chapter 276
             37          32B-10-604, as enacted by Laws of Utah 2010, Chapter 276
             38          34-32-1.1, as last amended by Laws of Utah 2007, Chapter 329
             39          34A-2-704, as last amended by Laws of Utah 2011, Chapter 342
             40          34A-5-104, as last amended by Laws of Utah 1999, Chapter 161
             41          35A-4-312, as last amended by Laws of Utah 2011, Chapter 59
             42          36-12-15.1, as enacted by Laws of Utah 2011, Chapter 257
             43          38-1-32.5, as enacted by Laws of Utah 2011, Chapter 299
             44          39-1-21, as last amended by Laws of Utah 2011, Chapter 336
             45          53A-17a-123, as last amended by Laws of Utah 2010, Chapter 3
             46          57-8-7.5, as last amended by Laws of Utah 2011, Chapter 134
             47          57-8a-106, as enacted by Laws of Utah 2011, Chapter 255
             48          57-8a-211, as last amended by Laws of Utah 2011, Chapter 134
             49          57-8a-405, as enacted by Laws of Utah 2011, Chapter 355
             50          58-54-302, as renumbered and amended by Laws of Utah 2011, Chapter 61
             51          58-54-305, as renumbered and amended by Laws of Utah 2011, Chapter 61
             52          58-67-503, as last amended by Laws of Utah 2011, Chapter 214
             53          58-68-402, as repealed and reenacted by Laws of Utah 2011, Chapter 214
             54          58-68-503, as last amended by Laws of Utah 2011, Chapter 214
             55          59-2-1102, as last amended by Laws of Utah 2008, Chapter 382
             56          59-7-102, as last amended by Laws of Utah 2009, Chapter 312
             57          59-10-1310, as renumbered and amended by Laws of Utah 2008, Chapter 389


             58          59-12-301, as last amended by Laws of Utah 2008, Chapter 382
             59          59-13-102, as last amended by Laws of Utah 2011, Chapter 259
             60          61-1-106, as enacted by Laws of Utah 2011, Chapter 318
             61          61-2c-402, as last amended by Laws of Utah 2011, Chapter 289
             62          61-2e-402, as last amended by Laws of Utah 2011, Chapter 289
             63          61-2f-404, as renumbered and amended by Laws of Utah 2010, Chapter 379
             64          61-2g-502, as renumbered and amended by Laws of Utah 2011, Chapter 289
             65          62A-5-104, as last amended by Laws of Utah 2011, Chapter 366
             66          62A-11-104, as last amended by Laws of Utah 2010, Chapter 65
             67          63A-2-401, as last amended by Laws of Utah 2011, Chapters 131, 270 and renumbered
             68      and amended by Laws of Utah 2011, Chapter 207
             69          63C-4-106, as enacted by Laws of Utah 2011, Chapter 252
             70          63E-1-102, as last amended by Laws of Utah 2011, Chapter 370
             71          63F-1-303, as enacted by Laws of Utah 2005, Chapter 169
             72          63G-2-103, as last amended by Laws of Utah 2011, Chapter 46
             73          63G-2-702, as renumbered and amended by Laws of Utah 2008, Chapter 382
             74          63G-12-103, as enacted by Laws of Utah 2011, Chapter 18
             75          63G-12-402, as last amended by Laws of Utah 2011, Chapter 413 and renumbered and
             76      amended by Laws of Utah 2011, Chapter 18
             77          63I-1-253, as last amended by Laws of Utah 2011, Chapters 199, 252, 369, and 371
             78          63I-1-263, as last amended by Laws of Utah 2011, Chapters 199, 370, 408, and 411
             79          63I-1-278, as last amended by Laws of Utah 2010, Chapter 66
             80          63I-2-204, as enacted by Laws of Utah 2009, Chapter 17
             81          63I-2-223, as last amended by Laws of Utah 2009, Chapter 17
             82          63I-2-258, as last amended by Laws of Utah 2008, Chapters 214, 365 and renumbered
             83      and amended by Laws of Utah 2008, Chapter 382
             84          63I-2-263, as last amended by Laws of Utah 2011, Chapters 151 and 173
             85          63J-8-102, as enacted by Laws of Utah 2011, Chapter 49


             86          63J-8-104, as enacted by Laws of Utah 2011, Chapter 49
             87          63M-7-502, as last amended by Laws of Utah 2011, Chapters 131 and 320
             88          64-13-42, as last amended by Laws of Utah 2009, Chapter 258
             89          67-5-12, as last amended by Laws of Utah 2007, Chapter 166
             90          67-22-2, as last amended by Laws of Utah 2009, Chapter 369
             91          69-2-2, as last amended by Laws of Utah 2010, Chapter 307
             92          72-6-302, as enacted by Laws of Utah 2011, Chapter 256
             93          76-8-401, as last amended by Laws of Utah 2011, Chapter 342
             94          78A-6-1104, as last amended by Laws of Utah 2011, Chapters 89 and 177
             95      REPEALS:
             96          31A-42a-103 (Effective 01/01/13), as enacted by Laws of Utah 2010, Chapter 68
             97          53A-25-106, as enacted by Laws of Utah 1988, Chapter 2
             98          63G-11-101, as enacted by Laws of Utah 2008, Chapter 26
             99     
             100      Be it enacted by the Legislature of the state of Utah:
             101          Section 1. Section 13-32a-109 is amended to read:
             102           13-32a-109. Holding period for articles.
             103          (1) (a) The pawnbroker may sell any article pawned to the pawnbroker:
             104          (i) after the expiration of the contract period between the pawnbroker and the pledgor;
             105      and
             106          (ii) if the pawnbroker has complied with the requirements of Section 13-32a-106
             107      regarding reporting to the central database and Section 13-32a-103 .
             108          (b) If an article, including scrap jewelry, is purchased by a pawn or secondhand
             109      business or a coin dealer, the pawn or secondhand business or coin dealer may sell the article
             110      after the pawn or secondhand business or coin dealer has held the article for 15 days and
             111      complied with the requirements of Section 13-32a-106 regarding reporting to the central
             112      database and Section 13-32a-103 , except that pawn, secondhand, and coin dealer businesses are
             113      not required to hold precious metals or coins under this Subsection (1)(b).


             114          (c) This Subsection (1) does not preclude a law enforcement agency from requiring a
             115      pawn or secondhand business to hold an article if necessary in the course of an investigation.
             116          (i) If the article was pawned, the law enforcement agency may require the article be
             117      held beyond the terms of the contract between the pledgor and the pawn broker.
             118          (ii) If the article was sold to the pawn or secondhand business, the law enforcement
             119      agency may require the article be held if the pawn or secondhand business has not sold the
             120      article.
             121          (d) If the law enforcement agency requesting a hold on property under this Subsection
             122      (1) is not the local law enforcement agency, the requesting law enforcement agency shall notify
             123      the local law enforcement agency of the request and also the pawn or secondhand business.
             124          (2) If a law enforcement agency requires the pawn or secondhand business to hold an
             125      article as part of an investigation, the agency shall provide to the pawn or secondhand business
             126      a hold ticket issued by the agency, which:
             127          (a) states the active case number;
             128          (b) confirms the date of the hold request and the article to be held; and
             129          (c) facilitates the ability of the pawn or secondhand business to track the article when
             130      the prosecution takes over the case.
             131          (3) If an article is not seized by a law enforcement agency that has placed a hold on the
             132      property, the property shall remain in the custody of the pawn or secondhand business until
             133      further disposition by the law enforcement agency, and as consistent with this chapter.
             134          (4) The initial hold by a law enforcement agency is for a period of 90 days. If the
             135      article is not seized by the law enforcement agency, the article shall remain in the custody of
             136      the pawn or secondhand business and is subject to the hold unless exigent circumstances
             137      require the purchased or pawned article to be seized by the law enforcement agency.
             138          (5) (a) A law enforcement agency may extend any hold for up to an additional 90 days
             139      when exigent circumstances require the extension.
             140          (b) When there is an extension of a hold under Subsection (5)(a), the requesting law
             141      enforcement agency shall notify the pawn or secondhand business that is subject to the hold


             142      prior to the expiration of the initial 90 days.
             143          (c) A law enforcement agency may not hold an item for more than the 180 days
             144      allowed under Subsections (5)(a) and (b) without obtaining a court order authorizing the hold.
             145          (6) A hold on an article under Subsection (2) takes precedence over any request to
             146      claim or purchase the article subject to the hold.
             147          (7) When the purpose for the hold on or seizure of an article is terminated, the law
             148      enforcement agency requiring the hold or seizure shall within 15 days after the termination:
             149          (a) notify the pawn or secondhand business in writing that the hold or seizure has been
             150      terminated;
             151          (b) return the article subject to the seizure to the pawn or secondhand business; or
             152          (c) if the article is not returned to the pawn or secondhand business, advise the pawn or
             153      secondhand business either in writing or electronically of the specific alternative disposition of
             154      the article.
             155          (8) If the law enforcement agency does not notify the pawn or secondhand business
             156      that a hold on an item has expired, the pawn or secondhand business shall send a letter by
             157      registered or certified [United States] mail to the law enforcement agency that ordered the hold
             158      and inform the agency that the holding period has expired. The law enforcement agency shall
             159      respond within 30 days by:
             160          (a) confirming that the holding period has expired and that the pawn or secondhand
             161      business may manage the item as if acquired in the ordinary course of business; or
             162          (b) providing written notice to the pawn or secondhand business that a court order has
             163      continued the period of time for which the item shall be held.
             164          (9) The written notice under Subsection (8)(b) is considered provided when:
             165          (a) personally delivered to the pawn or secondhand business with a signed receipt of
             166      delivery;
             167          (b) delivered to the pawn or secondhand business by registered or certified [United
             168      States] mail; or
             169          (c) delivered by any other means with the mutual assent of the law enforcement agency


             170      and the pawn or secondhand business.
             171          (10) If the law enforcement agency does not respond within 30 days under Subsection
             172      (8), the pawn or secondhand business may manage the item as if acquired in the ordinary
             173      course of business.
             174          Section 2. Section 16-10a-740 is amended to read:
             175           16-10a-740. Procedure in derivative proceedings.
             176          (1) As used in this section:
             177          (a) "derivative proceeding" means a civil suit in the right of:
             178          (i) a domestic corporation; or
             179          (ii) to the extent provided in Subsection (7), a foreign corporation; and
             180          (b) "shareholder" includes a beneficial owner whose shares are held:
             181          (i) in a voting trust; or
             182          (ii) by a nominee on the beneficial owner's behalf.
             183          (2) A shareholder may not commence or maintain a derivative proceeding unless the
             184      shareholder:
             185          (a) (i) was a shareholder of the corporation at the time of the act or omission
             186      complained of; or
             187          (ii) became a shareholder through transfer by operation of law from one who was a
             188      shareholder at the time of the act or omission complained of; and
             189          (b) fairly and adequately represents the interests of the corporation in enforcing the
             190      right of the corporation.
             191          (3) (a) A shareholder may not commence a derivative proceeding until:
             192          (i) a written demand has been made upon the corporation to take suitable action; and
             193          (ii) 90 days have expired from the date the demand described in Subsection (3)(a)(i) is
             194      made unless:
             195          (A) the shareholder is notified before the 90 days have expired that the demand has
             196      been rejected by the corporation; or
             197          (B) irreparable injury to the corporation would result by waiting for the expiration of


             198      the 90-day period.
             199          (b) A complaint in a derivative proceeding shall be:
             200          (i) verified; and
             201          (ii) allege with particularity the demand made to obtain action by the board of
             202      directors.
             203          (c) A derivative proceeding shall comply with the procedures of Utah Rules of Civil
             204      Procedure, Rule [23.1] 23A.
             205          (d) The court shall stay any derivative proceeding until the inquiry is completed and for
             206      such additional period as the court considers appropriate if:
             207          (i) the corporation commences an inquiry into the allegations made in the demand or
             208      complaint; and
             209          (ii) a person or group described in Subsection (4) is conducting an active review of the
             210      allegations in good faith.
             211          (e) If a corporation proposes to dismiss a derivative proceeding pursuant to Subsection
             212      (4)(a), discovery by a shareholder following the filing of the derivative proceeding in
             213      accordance with this section:
             214          (i) shall be limited to facts relating to:
             215          (A) whether the person or group described in Subsection (4)(b) or (4)(f) is independent
             216      and disinterested;
             217          (B) the good faith of the inquiry and review by the person or group described in
             218      Subsection (4)(b) or (4)(f); and
             219          (C) the reasonableness of the procedures followed by the person or group described in
             220      Subsection (4)(b) or (4)(f) in conducting its review; and
             221          (ii) may not extend to any facts or substantive matters with respect to the act, omission,
             222      or other matter that is the subject matter of the derivative proceeding.
             223          (4) (a) A derivative proceeding shall be dismissed by the court on motion by the
             224      corporation if a person or group specified in Subsections (4)(b) or (4)(f) determines in good
             225      faith after conducting a reasonable inquiry upon which its conclusions are based that the


             226      maintenance of the derivative proceeding is not in the best interests of the corporation.
             227          (b) Unless a panel is appointed pursuant to Subsection (4)(f), the determination in
             228      Subsection (4)(a) shall be made by:
             229          (i) a majority vote of independent directors present at a meeting of the board of
             230      directors if the independent directors constitute a quorum; or
             231          (ii) a majority vote of a committee consisting of two or more independent directors
             232      appointed by a majority vote of independent directors present at a meeting of the board of
             233      directors, whether or not such independent directors appointing the committee constituted a
             234      quorum.
             235          (c) None of the following shall by itself cause a director to be considered not
             236      independent for purposes of this section:
             237          (i) the nomination or election of the director by persons:
             238          (A) who are defendants in the derivative proceeding; or
             239          (B) against whom action is demanded;
             240          (ii) the naming of the director as:
             241          (A) a defendant in the derivative proceeding; or
             242          (B) a person against whom action is demanded; or
             243          (iii) the approval by the director of the act being challenged in the derivative
             244      proceeding or demand if the act resulted in no personal benefit to the director.
             245          (d) If a derivative proceeding is commenced after a determination has been made
             246      rejecting a demand by a shareholder, the complaint shall allege with particularity facts
             247      establishing either:
             248          (i) that a majority of the board of directors did not consist of independent directors at
             249      the time the determination was made; or
             250          (ii) that the requirements of Subsection (4)(a) have not been met.
             251          (e) (i) If a majority of the board of directors does not consist of independent directors at
             252      the time the determination is made rejecting a demand by a shareholder, the corporation has
             253      the burden of proving that the requirements of Subsection (4)(a) have been met.


             254          (ii) If a majority of the board of directors consists of independent directors at the time
             255      the determination is made rejecting a demand by a shareholder, the plaintiff has the burden of
             256      proving that the requirements of Subsection (4)(a) have not been met.
             257          (f) (i) The court may appoint a panel of one or more independent persons upon motion
             258      by the corporation to make a determination whether the maintenance of the derivative
             259      proceeding is in the best interests of the corporation.
             260          (ii) If the court appoints a panel under Subsection (4)(f)(i), the plaintiff has the burden
             261      of proving that the requirements of Subsection (4)(a) have not been met.
             262          (g) A person may appeal from an interlocutory order of a court that grants or denies a
             263      motion to dismiss brought pursuant to Subsection (4)(a).
             264          (5) (a) A derivative proceeding may not be discontinued or settled without the court's
             265      approval.
             266          (b) If the court determines that a proposed discontinuance or settlement will
             267      substantially affect the interests of the corporation's shareholders or a class of shareholders, the
             268      court shall direct that notice be given to the shareholders affected.
             269          (6) On termination of the derivative proceeding the court may order:
             270          (a) the corporation to pay the plaintiff's reasonable expenses, including counsel fees,
             271      incurred in the proceeding, if it finds that the proceeding has resulted in a substantial benefit to
             272      the corporation;
             273          (b) the plaintiff to pay any defendant's reasonable expenses, including counsel fees,
             274      incurred in defending the proceeding, if it finds that the proceeding was commenced or
             275      maintained:
             276          (i) without reasonable cause; or
             277          (ii) for an improper purpose; or
             278          (c) a party to pay an opposing party's reasonable expenses, including counsel fees,
             279      incurred because of the filing of a pleading, motion, or other paper, if it finds that the pleading,
             280      motion, or other paper was:
             281          (i) (A) not well grounded in fact, after reasonable inquiry; or


             282          (B) not warranted by existing law or a good faith argument for the extension,
             283      modification, or reversal of existing law; and
             284          (ii) interposed for an improper purpose, such as to:
             285          (A) harass;
             286          (B) cause unnecessary delay; or
             287          (C) cause needless increase in the cost of litigation.
             288          (7) (a) In any derivative proceeding in the right of a foreign corporation, the matters
             289      covered by this section shall be governed by the laws of the jurisdiction of incorporation of the
             290      foreign corporation except for Subsections (3)(c), (3)(d), (5), and (6), which are procedural and
             291      not matters relating to the internal affairs of the foreign corporation.
             292          (b) In the case of matters relating to a foreign corporation under Subsection (3)(c):
             293          (i) references to a person or group described in Subsection (4) are considered to refer to
             294      a person or group entitled under the laws of the jurisdiction of incorporation of the foreign
             295      corporation to review and dispose of a derivative proceeding; and
             296          (ii) the standard of review of a decision by the person or group to dismiss the derivative
             297      proceeding is to be governed by the laws of the jurisdiction of incorporation of the foreign
             298      corporation.
             299          Section 3. Section 17D-2-602 is amended to read:
             300           17D-2-602. Contesting the legality of a resolution or other proceeding -- No cause
             301      of action after contest period.
             302          (1) For a period of 30 days after publication of a resolution or other proceeding under
             303      Subsection [ 17D-1-601 ] 17D-2-601 (1) or a notice under Subsection [ 17D-1-601 ]
             304      17D-2-601 (2), any person in interest may file an action in district court contesting the
             305      regularity, formality, or legality of:
             306          (a) a resolution or other proceeding;
             307          (b) any bonds or a lease agreement authorized by a resolution or other proceeding; or
             308          (c) any provision made for the security or payment of local building authority bonds or
             309      lease agreement.


             310          (2) After the period referred to in Subsection (1), no one may have a cause of action to
             311      contest for any reason the regularity, formality, or legality of any of the matters listed in
             312      Subsection (1).
             313          Section 4. Section 19-2-109.1 is amended to read:
             314           19-2-109.1. Operating permit required -- Emissions fee -- Implementation.
             315          (1) As used in this section and Sections 19-2-109.2 and 19-2-109.3 :
             316          (a) "EPA" means the federal Environmental Protection Agency.
             317          (b) "1990 Clean Air Act" means the federal Clean Air Act as amended in 1990.
             318          (c) "Operating permit" means a permit issued by the executive secretary to sources of
             319      air pollution that meet the requirements of Titles IV and V of the 1990 Clean Air Act.
             320          (d) "Program" means the air pollution operating permit program established under this
             321      section to comply with Title V of the 1990 Clean Air Act.
             322          (e) "Regulated pollutant" has the same meaning as defined in Title V of the 1990 Clean
             323      Air Act and implementing federal regulations.
             324          (2) (a) A person may not operate any source of air pollution required to have a permit
             325      under Title V of the 1990 Clean Air Act without having obtained an operating permit from the
             326      executive secretary under procedures the board establishes by rule.
             327          (b) A person is not required to submit an operating permit application until the
             328      governor has submitted an operating permit program to the EPA.
             329          (c) Any operating permit issued under this section may not become effective until the
             330      day after the EPA issues approval of the permit program or November 15, 1995, whichever
             331      occurs first.
             332          (3) (a) Operating permits issued under this section shall be for a period of five years
             333      unless the board makes a written finding, after public comment and hearing, and based on
             334      substantial evidence in the record, that an operating permit term of less than five years is
             335      necessary to protect the public health and the environment of the state.
             336          (b) The executive secretary may issue, modify, or renew an operating permit only after
             337      providing public notice, an opportunity for public comment, and an opportunity for a public


             338      hearing.
             339          (c) The executive secretary shall, in conformity with the 1990 Clean Air Act and
             340      implementing federal regulations, revise the conditions of issued operating permits to
             341      incorporate applicable federal regulations in conformity with Section 502(b)(9) of the 1990
             342      Clean Air Act, if the remaining period of the permit is three or more years.
             343          (d) The executive secretary may terminate, modify, revoke, or reissue an operating
             344      permit for cause.
             345          (4) (a) The board shall establish a proposed annual emissions fee that conforms with
             346      Title V of the 1990 Clean Air Act for each ton of regulated pollutant, applicable to all sources
             347      required to obtain a permit. The emissions fee established under this section is in addition to
             348      fees assessed under Section 19-2-108 for issuance of an approval order.
             349          (b) In establishing the fee the board shall comply with the provisions of Section
             350      63J-1-504 that require a public hearing and require the established fee to be submitted to the
             351      Legislature for its approval as part of the department's annual appropriations request.
             352          (c) The fee shall cover all reasonable direct and indirect costs required to develop and
             353      administer the program and the small business assistance program established under Section
             354      19-2-109.2 . The board shall prepare an annual report of the emissions fees collected and the
             355      costs covered by those fees under this Subsection (4).
             356          (d) The fee shall be established uniformly for all sources required to obtain an
             357      operating permit under the program and for all regulated pollutants.
             358          (e) The fee may not be assessed for emissions of any regulated pollutant if the
             359      emissions are already accounted for within the emissions of another regulated pollutant.
             360          (f) An emissions fee may not be assessed for any amount of a regulated pollutant
             361      emitted by any source in excess of 4,000 tons per year of that regulated pollutant.
             362          (5) Emissions fees for the period:
             363          (a) of July 1, 1992, through June 30, 1993, shall be based on the most recent emissions
             364      inventory prepared by the executive secretary; and
             365          (b) on and after July 1, 1993, but before issuance of an operating permit, shall be based


             366      on the most recent emissions inventory, unless a source elects [prior to] before July 1, 1992, to
             367      base the fee on allowable emissions, if applicable for a regulated pollutant.
             368          (6) After an operating permit is issued the emissions fee shall be based on actual
             369      emissions for a regulated pollutant unless a source elects, prior to the issuance or renewal of a
             370      permit, to base the fee during the period of the permit on allowable emissions for that regulated
             371      pollutant.
             372          (7) If the owner or operator of a source subject to this section fails to timely pay an
             373      annual emissions fee, the executive secretary may:
             374          (a) impose a penalty of not more than 50% of the fee, in addition to the fee, plus
             375      interest on the fee computed at 12% annually; or
             376          (b) revoke the operating permit.
             377          (8) The owner or operator of a source subject to this section may contest an emissions
             378      fee assessment or associated penalty in an adjudicative hearing under the Title 63G, Chapter 4,
             379      Administrative Procedures Act, and Section 19-1-301 , as provided in this Subsection (8).
             380          (a) The owner or operator shall pay the fee under protest prior to being entitled to a
             381      hearing. Payment of an emissions fee or penalty under protest is not a waiver of the right to
             382      contest the fee or penalty under this section.
             383          (b) A request for a hearing under this Subsection (8) shall be made after payment of the
             384      emissions fee and within six months after the emissions fee was due.
             385          (9) To reinstate an operating permit revoked under Subsection (7) the owner or
             386      operator shall pay all outstanding emissions fees, a penalty of not more than 50% of all
             387      outstanding fees, and interest on the outstanding emissions fees computed at 12% annually.
             388          (10) All emissions fees and penalties collected by the department under this section
             389      shall be deposited in the General Fund as the Air Pollution Operating Permit Program
             390      dedicated credit to be used solely to pay for the reasonable direct and indirect costs incurred by
             391      the department in developing and administering the program and the small business assistance
             392      program under Section 19-2-109.2 .
             393          (11) Failure of the executive secretary to act on any operating permit application or


             394      renewal is a final administrative action only for the purpose of obtaining judicial review by any
             395      of the following persons to require the executive secretary to take action on the permit or its
             396      renewal without additional delay:
             397          (a) the applicant;
             398          (b) any person who participated in the public comment process; or
             399          (c) any other person who could obtain judicial review of that action under applicable
             400      law.
             401          Section 5. Section 20A-7-402 is amended to read:
             402           20A-7-402. Local voter information pamphlet -- Contents -- Limitations --
             403      Preparation -- Statement on front cover.
             404          (1) The county or municipality that is [the] subject [of] to a ballot proposition shall
             405      prepare a local voter information pamphlet that meets the requirements of this part.
             406          (2) (a) The arguments for and against a ballot proposition shall conform to the
             407      requirements of this section.
             408          (i) To prepare arguments for or against a ballot proposition, a person shall file a request
             409      with the local legislative body at least 50 days before the election at which the ballot
             410      proposition is to be voted upon.
             411          (ii) If more than one person requests the opportunity to prepare arguments for or
             412      against a ballot proposition, the governing body shall make the final designation according to
             413      the following criteria:
             414          (A) sponsors have priority in preparing an argument regarding a ballot proposition; and
             415          (B) members of the local legislative body have priority over others.
             416          (iii) (A) Except as provided by Subsection (2)(a)(iv), a sponsor of a ballot proposition
             417      may prepare an argument in favor of the ballot proposition.
             418          (B) Except as provided by Subsection (2)(a)(iv), a person opposed to the ballot
             419      proposition who submits a request under Subsection (2)(a)(i) may prepare an argument against
             420      the ballot proposition.
             421          (iv) (A) For a referendum, a person who is in favor of a law that is referred to the


             422      voters and who submits a request under Subsection (2)(a)(i) may prepare an argument for
             423      adoption of the law.
             424          (B) The sponsors of a referendum may prepare an argument against the adoption of a
             425      law that is referred to the voters.
             426          (v) The arguments may not:
             427          (A) exceed 500 words in length; or
             428          (B) list more than five names as sponsors.
             429          (vi) The arguments supporting and opposing any county or municipal ballot
             430      proposition shall be filed with the local clerk not less than 45 days before the election at which
             431      they are to be voted upon.
             432          (b) The local voter information pamphlet shall include a copy of the initial fiscal
             433      impact estimate prepared for each initiative under Section 20A-7-502.5 .
             434          (3) (a) In preparing the local voter information pamphlet, the local legislative body
             435      shall:
             436          (i) ensure that the arguments are printed on the same sheet of paper upon which the
             437      ballot proposition is also printed;
             438          (ii) ensure that the following statement is printed on the front cover or the heading of
             439      the first page of the printed arguments:
             440          "The arguments for or against a ballot proposition are the opinions of the authors.";
             441          (iii) pay for the printing and binding of the local voter information pamphlet; and
             442          (iv) ensure that the local clerk distributes the pamphlets either by mail or carrier not
             443      less than eight days before the election at which the ballot propositions are to be voted upon.
             444          (b) (i) If the proposed measure exceeds 500 words in length, the local legislative body
             445      may direct the local clerk to summarize the measure in 500 words or less.
             446          (ii) The summary shall state where a complete copy of the ballot proposition is
             447      available for public review.
             448          Section 6. Section 20A-11-103 is amended to read:
             449           20A-11-103. Notice of pending interim and summary reports -- Form of


             450      submission -- Public availability.
             451          (1) (a) Except as provided under Subsection (1)(b), 10 days before an interim report or
             452      summary report is due under this chapter or Chapter 12, Part 2, Judicial Retention Elections,
             453      the chief election officer shall inform the filing entity by postal mail or, if requested by the
             454      filing entity, by electronic mail:
             455          (i) that the financial statement is due;
             456          (ii) of the date that the financial statement is due; and
             457          (iii) of the penalty for failing to file the financial statement.
             458          (b) [Notwithstanding the provisions of Subsection (1)(a), under this section the] The
             459      chief election officer is not required to provide notice:
             460          (i) to a candidate or political party of the financial statement that is due before the
             461      candidate's or political party's political convention;
             462          (ii) of a financial statement due in connection with a public hearing for an initiative
             463      under the requirements of Section 20A-7-204.1 ; or
             464          (iii) to a corporation or labor organization, as defined in Section 20A-11-1501 .
             465          (2) A filing entity shall electronically file a financial statement via electronic mail or
             466      the Internet according to specifications established by the chief election officer.
             467          (3) (a) A financial statement is considered timely filed if it is received by the chief
             468      election officer's office before the close of regular office hours on the date that it is due.
             469          (b) A chief election officer may extend the time in which a filing entity is required to
             470      file a financial statement if a filing entity notifies the chief election officer of the existence of
             471      an extenuating circumstance that is outside the control of the filing entity.
             472          (4) Notwithstanding any provision of Title 63G, Chapter 2, Government Records
             473      Access and Management Act, the lieutenant governor shall:
             474          (a) make each campaign finance statement filed by a candidate available for public
             475      inspection and copying no later than one business day after the statement is filed; and
             476          (b) post an electronic copy or the contents of each financial statement in a searchable
             477      format on a website established by the lieutenant governor:


             478          (i) for campaign finance statements submitted to the lieutenant governor under the
             479      requirements of Section 10-3-208 or Section 17-16-6.5 , no later than seven business days after
             480      the date of receipt of the campaign finance statement; or
             481          (ii) for a summary report or interim report filed under the requirements of this chapter
             482      or Chapter 12, Part 2, Judicial Retention Elections, no later than three business days after the
             483      date the summary report or interim report is electronically filed.
             484          (5) If a municipality, under Section 10-3-208 , or a county, under Section 17-16-6.5 ,
             485      elects to provide campaign finance disclosure on its own website, rather than through the
             486      lieutenant governor, the website established by the lieutenant governor shall contain a link or
             487      other access point to the municipality or county website.
             488          Section 7. Section 20A-16-406 is amended to read:
             489           20A-16-406. Disposition of ballot by county clerk.
             490          (1) Upon receipt by the county clerk of the envelope containing a military-overseas
             491      ballot, the county clerk shall:
             492          (a) enclose the unopened envelope containing the ballot and the written application of
             493      the covered voter in a larger envelope;
             494          (b) securely seal and endorse it with:
             495          (i) the name or number of the proper voting precinct;
             496          (ii) the name and official title of the clerk; and
             497          (iii) the words: "This envelope contains an absentee voter's official Utah election ballot
             498      to be voted at ____ (Insert Name and Number) precinct, in ____ (Insert Name) county, and
             499      may be opened on election day at the polls while the polls are open."; and
             500          (c) safely keep the envelope in the county clerk's office until the envelope is delivered
             501      by the county clerk to the proper election judges.
             502          (2) (a) When reasonably possible, the county clerk shall deliver or mail all
             503      military-overseas voter ballot envelopes to the appropriate voting precinct election judges so
             504      that the ballots may be processed on election day.
             505          (b) If the clerk is unable to determine the voting precinct to which the ballot should be


             506      sent or when valid ballots are received too late to deliver to the election judges on election day,
             507      the clerk shall keep them in a safe place until delivery can be made as required by Section
             508      20A-3-309 .
             509          Section 8. Section 20A-16-502 is amended to read:
             510           20A-16-502. Publication of election notice.
             511          (1) At least 100 days before an election, other than a statewide special election or local
             512      special election, and as soon as practicable before a statewide special election or local special
             513      election, the election officer shall prepare an election notice for the election officer's
             514      jurisdiction, to be used in conjunction with a federal write-in absentee ballot.
             515          (2) The election notice must contain:
             516          (a) a list of all of the ballot propositions and federal, state, and local offices that as of
             517      that date the election officer expects to be on the ballot on the date of the election; and
             518          (b) specific instructions for how a covered voter is to indicate on the federal write-in
             519      absentee ballot the covered voter's choice for each office to be filled and for each ballot
             520      proposition to be contested.
             521          (3) (a) A covered voter may request a copy of an election notice.
             522          (b) The election officer shall send the notice to the covered voter by facsimile, email,
             523      or regular mail, as the covered voter requests.
             524          (4) As soon as the ballot is certified, and not later than the date ballots are required to
             525      be transmitted to voters under Chapter 3, Part 3, Absentee Voting, the [official] election officer
             526      charged with preparing the election notice under Subsection (1) shall update the notice with the
             527      certified candidates for each office and ballot propositions [questions] and make the updated
             528      notice publicly available.
             529          (5) A political subdivision that maintains a website shall make the election notice
             530      prepared under this section and updated versions of the election notice regularly available on
             531      the website.
             532          Section 9. Section 26-18-4 is amended to read:
             533           26-18-4. Department standards for eligibility under Medicaid -- Funds for


             534      abortions.
             535          (1) The department may develop standards and administer policies relating to
             536      eligibility under the Medicaid program as long as they are consistent with Subsection
             537      26-18-3 [(8)](9). An applicant receiving Medicaid assistance may be limited to particular types
             538      of care or services or to payment of part or all costs of care determined to be medically
             539      necessary.
             540          (2) The department may not provide any funds for medical, hospital, or other medical
             541      expenditures or medical services to otherwise eligible persons where the purpose of the
             542      assistance is to perform an abortion, unless the life of the mother would be endangered if an
             543      abortion were not performed.
             544          (3) Any employee of the department who authorizes payment for an abortion contrary
             545      to the provisions of this section is guilty of a class B misdemeanor and subject to forfeiture of
             546      office.
             547          (4) Any person or organization that, under the guise of other medical treatment,
             548      provides an abortion under auspices of the Medicaid program is guilty of a third degree felony
             549      and subject to forfeiture of license to practice medicine or authority to provide medical services
             550      and treatment.
             551          Section 10. Section 26-18-10 is amended to read:
             552           26-18-10. Utah Medical Assistance Program -- Policies and standards.
             553          (1) The division shall develop a medical assistance program, which shall be known as
             554      the Utah Medical Assistance Program, for low income persons who are not eligible under the
             555      state plan for Medicaid under Title XIX of the Social Security Act or Medicare under Title
             556      XVIII of that act.
             557          (2) Persons in the custody of prisons, jails, halfway houses, and other nonmedical
             558      government institutions are not eligible for services provided under this section.
             559          (3) The department shall develop standards and administer policies relating to
             560      eligibility requirements, consistent with Subsection 26-18-3 [(8)](9), for participation in the
             561      program, and for payment of medical claims for eligible persons.


             562          (4) The program shall be a payor of last resort. Before assistance is rendered the
             563      division shall investigate the availability of the resources of the spouse, father, mother, and
             564      adult children of the person making application.
             565          (5) The department shall determine what medically necessary care or services are
             566      covered under the program, including duration of care, and method of payment, which may be
             567      partial or in full.
             568          (6) The department may not provide public assistance for medical, hospital, or other
             569      medical expenditures or medical services to otherwise eligible persons where the purpose of
             570      the assistance is for the performance of an abortion, unless the life of the mother would be
             571      endangered if an abortion were not performed.
             572          (7) The department may establish rules to carry out the provisions of this section.
             573          Section 11. Section 26-40-103 is amended to read:
             574           26-40-103. Creation and administration of the Utah Children's Health Insurance
             575      Program.
             576          (1) There is created the Utah Children's Health Insurance Program to be administered
             577      by the department in accordance with the provisions of:
             578          (a) this chapter; and
             579          (b) the State Children's Health Insurance Program, 42 U.S.C. Sec. 1397aa et seq.
             580          (2) The department shall:
             581          (a) prepare and submit the state's children's health insurance plan before May 1, 1998,
             582      and any amendments to the federal Department of Health and Human Services in accordance
             583      with 42 U.S.C. Sec. 1397ff; and
             584          (b) make rules in accordance with Title 63G, Chapter 3, Utah Administrative
             585      Rulemaking Act regarding:
             586          (i) eligibility requirements consistent with Subsection 26-18-3 [(8)](9);
             587          (ii) program benefits;
             588          (iii) the level of coverage for each program benefit;
             589          (iv) cost-sharing requirements for enrollees, which may not:


             590          (A) exceed the guidelines set forth in 42 U.S.C. Sec. 1397ee; or
             591          (B) impose deductible, copayment, or coinsurance requirements on an enrollee for
             592      well-child, well-baby, and immunizations; and
             593          (v) the administration of the program.
             594          Section 12. Section 31A-8-501 is amended to read:
             595           31A-8-501. Access to health care providers.
             596          (1) As used in this section:
             597          (a) "Class of health care provider" means a health care provider or a health care facility
             598      regulated by the state within the same professional, trade, occupational, or certification
             599      category established under Title 58, Occupations and Professions, or within the same facility
             600      licensure category established under Title 26, Chapter 21, Health Care Facility Licensing and
             601      Inspection Act.
             602          (b) "Covered health care services" or "covered services" means health care services for
             603      which an enrollee is entitled to receive under the terms of a health maintenance organization
             604      contract.
             605          (c) "Credentialed staff member" means a health care provider with active staff
             606      privileges at an independent hospital or federally qualified health center.
             607          (d) "Federally qualified health center" means as defined in the Social Security Act, 42
             608      U.S.C. Sec. 1395x.
             609          (e) "Independent hospital" means a general acute hospital or a critical access hospital
             610      that:
             611          (i) is either:
             612          (A) located 20 miles or more from any other general acute hospital or critical access
             613      hospital; or
             614          (B) licensed as of January 1, 2004;
             615          (ii) is licensed pursuant to Title 26, Chapter 21, Health Care Facility Licensing and
             616      Inspection Act; and
             617          (iii) is controlled by a board of directors of which 51% or more reside in the county


             618      where the hospital is located and:
             619          (A) the board of directors is ultimately responsible for the policy and financial
             620      decisions of the hospital; or
             621          (B) the hospital is licensed for 60 or fewer beds and is not owned, in whole or in part,
             622      by an entity that owns or controls a health maintenance organization if the hospital is a
             623      contracting facility of the organization.
             624          (f) "Noncontracting provider" means an independent hospital, federally qualified health
             625      center, or credentialed staff member who has not contracted with a health maintenance
             626      organization to provide health care services to enrollees of the organization.
             627          (2) Except for a health maintenance organization which is under the common
             628      ownership or control of an entity with a hospital located within 10 paved road miles of an
             629      independent hospital, a health maintenance organization shall pay for covered health care
             630      services rendered to an enrollee by an independent hospital, a credentialed staff member at an
             631      independent hospital, or a credentialed staff member at his local practice location if:
             632          (a) the enrollee:
             633          (i) lives or resides within 30 paved road miles of the independent hospital; or
             634          (ii) if Subsection (2)(a)(i) does not apply, lives or resides in closer proximity to the
             635      independent hospital than a contracting hospital;
             636          (b) the independent hospital is located prior to December 31, 2000 in a county with a
             637      population density of less than 100 people per square mile, or the independent hospital is
             638      located in a county with a population density of less than 30 people per square mile; and
             639          (c) the enrollee has complied with the prior authorization and utilization review
             640      requirements otherwise required by the health maintenance organization contract.
             641          (3) A health maintenance organization shall pay for covered health care services
             642      rendered to an enrollee at a federally qualified health center if:
             643          (a) the enrollee:
             644          (i) lives or resides within 30 paved road miles of the federally qualified health center;
             645      or


             646          (ii) if Subsection (3)(a)(i) does not apply, lives or resides in closer proximity to the
             647      federally qualified health center than a contracting provider;
             648          (b) the federally qualified health center is located in a county with a population density
             649      of less than 30 people per square mile; and
             650          (c) the enrollee has complied with the prior authorization and utilization review
             651      requirements otherwise required by the health maintenance organization contract.
             652          (4) (a) A health maintenance organization shall reimburse a noncontracting provider or
             653      the enrollee for covered services rendered pursuant to Subsection (2) a like dollar amount as it
             654      pays to contracting providers under a noncapitated arrangement for comparable services.
             655          (b) A health maintenance organization shall reimburse a federally qualified health
             656      center or the enrollee for covered services rendered pursuant to Subsection (3) a like amount as
             657      paid by the health maintenance organization under a noncapitated arrangement for comparable
             658      services to a contracting provider in the same class of health care providers as the provider who
             659      rendered the service.
             660          (5) (a) A noncontracting independent hospital may not balance bill a patient when the
             661      health maintenance organization reimburses a noncontracting independent hospital or an
             662      enrollee in accordance with Subsection (4)(a).
             663          (b) A noncontracting federally qualified health center may not balance bill a patient
             664      when the federally qualified health center or the enrollee receives reimbursement in accordance
             665      with Subsection (4)(b).
             666          (6) A noncontracting provider may only refer an enrollee to another noncontracting
             667      provider so as to obligate the enrollee's health maintenance organization to pay for the resulting
             668      services if:
             669          (a) the noncontracting provider making the referral or the enrollee has received prior
             670      authorization from the organization for the referral; or
             671          (b) the practice location of the noncontracting provider to whom the referral is made:
             672          (i) is located in a county with a population density of less than 25 people per square
             673      mile; and


             674          (ii) is within 30 paved road miles of:
             675          (A) the place where the enrollee lives or resides; or
             676          (B) the independent hospital or federally qualified health center at which the enrollee
             677      may receive covered services pursuant to Subsection (2) or (3).
             678          (7) Notwithstanding this section, a health maintenance organization may contract
             679      directly with an independent hospital, federally qualified health center, or credentialed staff
             680      member.
             681          (8) (a) A health maintenance organization that violates any provision of this section is
             682      subject to sanctions as determined by the commissioner in accordance with Section 31A-2-308 .
             683          (b) Violations of this section include:
             684          (i) failing to provide the notice required by Subsection (8)(d) by placing the notice in
             685      any health maintenance organization's provider list that is supplied to enrollees, including any
             686      website maintained by the health maintenance organization;
             687          (ii) failing to provide notice of an [enrolles's] enrollees' rights under this section when:
             688          (A) an enrollee makes personal contact with the health maintenance organization by
             689      telephone, electronic transaction, or in person; and
             690          (B) the enrollee inquires about his rights to access an independent hospital or federally
             691      qualified health center; and
             692          (iii) refusing to reprocess or reconsider a claim, initially denied by the health
             693      maintenance organization, when the provisions of this section apply to the claim.
             694          (c) The commissioner shall, pursuant to Chapter 2, Part 2, Duties and Powers of
             695      Commissioner:
             696          (i) adopt rules as necessary to implement this section;
             697          (ii) identify in rule:
             698          (A) the counties with a population density of less than 100 people per square mile;
             699          (B) independent hospitals as defined in Subsection (1)(e); and
             700          (C) federally qualified health centers as defined in Subsection (1)(d).
             701          (d) (i) A health maintenance organization shall:


             702          (A) use the information developed by the commissioner under Subsection (8)(c) to
             703      identify the rural counties, independent hospitals, and federally qualified health centers that are
             704      located in the health maintenance organization's service area; and
             705          (B) include the providers identified under Subsection (8)(d)(i)(A) in the notice required
             706      in Subsection (8)(d)(ii).
             707          (ii) The health maintenance organization shall provide the following notice, in bold
             708      type, to enrollees as specified under Subsection (8)(b)(i), and shall keep the notice current:
             709          "You may be entitled to coverage for health care services from the following non-HMO
             710      contracted providers if you live or reside within 30 paved road miles of the listed providers, or
             711      if you live or reside in closer proximity to the listed providers than to your HMO contracted
             712      providers:
             713          This list may change periodically, please check on our website or call for verification.
             714      Please be advised that if you choose a noncontracted provider you will be responsible for any
             715      charges not covered by your health insurance plan.
             716          If you have questions concerning your rights to see a provider on this list you may
             717      contact your health maintenance organization at ________. If the HMO does not resolve your
             718      problem, you may contact the Office of Consumer Health Assistance in the Insurance
             719      Department, toll free."
             720          (e) A person whose interests are affected by an alleged violation of this section may
             721      contact the Office of Consumer Health Assistance and request assistance, or file a complaint as
             722      provided in Section 31A-2-216 .
             723          Section 13. Section 32B-3-203 is amended to read:
             724           32B-3-203. Initiating a disciplinary proceeding.
             725          Subject to Section 32B-3-202 :
             726          (1) The department may initiate a disciplinary proceeding described in Subsection (2)
             727      if the department receives:
             728          (a) a report from an investigator alleging that a person subject to administrative action
             729      violated this title or the rules of the commission;


             730          (b) a final adjudication of criminal liability against a person subject to administrative
             731      action on the basis of an alleged violation of this title; or
             732          (c) a final adjudication of civil liability in accordance with Chapter 15, Alcoholic
             733      [Beverage] Product Liability Act, against a person subject to administrative action on the basis
             734      of an alleged violation of this title.
             735          (2) If the condition of Subsection (1) is met, the department may initiate a disciplinary
             736      proceeding to determine:
             737          (a) whether a person subject to administrative action violated this title or rules of the
             738      commission; and
             739          (b) if a violation is found, the appropriate sanction to be imposed.
             740          (3) (a) Unless waived by the respondent, a disciplinary proceeding shall be held:
             741          (i) if required by law;
             742          (ii) before revoking or suspending a license, permit, or certificate of approval issued
             743      under this title; or
             744          (iii) before imposing a fine against a person subject to administrative action.
             745          (b) Inexcusable failure of a respondent to appear at a scheduled disciplinary proceeding
             746      hearing after receiving proper notice is an admission of the charged violation.
             747          (c) The validity of a disciplinary proceeding is not affected by the failure of a person to
             748      attend or remain in attendance.
             749          Section 14. Section 32B-10-604 is amended to read:
             750           32B-10-604. Specific operational requirements for religious wine use permit.
             751          (1) (a) In addition to complying with Section [ 32B-10-207 ] 32B-10-206 , a religious
             752      wine permittee and staff of the religious wine permittee shall comply with this section.
             753          (b) Failure to comply as provided in Subsection (1)(a) may result in disciplinary action
             754      in accordance with Chapter 3, Disciplinary Actions and Enforcement Act, against:
             755          (i) a religious wine permittee;
             756          (ii) individual staff of a religious wine permittee; or
             757          (iii) a religious wine permittee and staff of the religious wine permittee.


             758          (2) A religious wine use permittee may purchase wine from a state store as the
             759      department may designate at the department's cost plus freight charges.
             760          (3) A religious wine use permittee may not use wine purchased under a religious wine
             761      use permit for a purpose other than a religious purpose.
             762          Section 15. Section 34-32-1.1 is amended to read:
             763           34-32-1.1. Prohibiting public employers from making payroll deductions for
             764      political purposes.
             765          (1) As used in this section:
             766          (a) (i) "Labor organization" means a lawful organization of any kind that is composed,
             767      in whole or in part, of employees and that exists for the purpose, in whole or in part, of dealing
             768      with employers concerning grievances, labor disputes, wages, rates of pay, hours of
             769      employment, or other terms and conditions of employment.
             770          (ii) Except as provided in Subsection (1)[(b)](a)(iii), "labor organization" includes each
             771      employee association and union for public employees.
             772          (iii) "Labor organization" does not include organizations governed by the National
             773      Labor Relations Act, 29 U.S.C. Sec. 151 et seq. or the Railroad Labor Act, 45 U.S.C. Sec. 151
             774      et seq.
             775          (b) "Political purposes" means an act done with the intent or in a way to influence or
             776      tend to influence, directly or indirectly, any person to refrain from voting or to vote for or
             777      against any candidate for public office at any caucus, political convention, primary, or election.
             778          (c) "Public employee" means a person employed by:
             779          (i) the state of Utah or any administrative subunit of the state;
             780          (ii) a state institution of higher education; or
             781          (iii) a municipal corporation, a county, a municipality, a school district, a local district,
             782      a special service district, or any other political subdivision of the state.
             783          (d) "Public employer" means an employer that is:
             784          (i) the state of Utah or any administrative subunit of the state;
             785          (ii) a state institution of higher education; or


             786          (iii) a municipal corporation, a county, a municipality, a school district, a local district,
             787      a special service district, or any other political subdivision of the state.
             788          (e) "Union dues" means dues, fees, assessments, or other money required as a
             789      condition of membership or participation in a labor organization.
             790          (2) A public employer may not deduct from the wages of its employees any amounts to
             791      be paid to:
             792          (a) a candidate as defined in Section 20A-11-101 ;
             793          (b) a personal campaign committee as defined in Section 20A-11-101 ;
             794          (c) a political action committee as defined in Section 20A-11-101 ;
             795          (d) a political issues committee as defined in Section 20A-11-101 ;
             796          (e) a registered political party as defined in Section 20A-11-101 ;
             797          (f) a political fund as defined in Section 20A-11-1402 ; or
             798          (g) any entity established by a labor organization to solicit, collect, or distribute money
             799      primarily for political purposes as defined in this chapter.
             800          (3) The attorney general may bring an action to require a public employer to comply
             801      with the requirements of this section.
             802          Section 16. Section 34A-2-704 is amended to read:
             803           34A-2-704. Uninsured Employers' Fund.
             804          (1) (a) There is created an Uninsured Employers' Fund. The Uninsured Employers'
             805      Fund has the purpose of assisting in the payment of workers' compensation benefits to a person
             806      entitled to the benefits, if:
             807          (i) that person's employer:
             808          (A) is individually, jointly, or severally liable to pay the benefits; and
             809          (B) (I) becomes or is insolvent;
             810          (II) appoints or has appointed a receiver; or
             811          (III) otherwise does not have sufficient funds, insurance, sureties, or other security to
             812      cover workers' compensation liabilities; and
             813          (ii) the employment relationship between that person and the person's employer is


             814      localized within the state as provided in Subsection (20).
             815          (b) The Uninsured Employers' Fund succeeds to money previously held in the Default
             816      Indemnity Fund.
             817          (c) If it becomes necessary to pay benefits, the Uninsured Employers' Fund is liable for
             818      the obligations of the employer set forth in this chapter and Chapter 3, Utah Occupational
             819      Disease Act, with the exception of a penalty on those obligations.
             820          (2) (a) Money for the Uninsured Employers' Fund shall be deposited into the Uninsured
             821      Employers' Fund in accordance with this chapter and Subsection 59-9-101 (2).
             822          (b) The commissioner shall appoint an administrator of the Uninsured Employers'
             823      Fund.
             824          (c) (i) The state treasurer is the custodian of the Uninsured Employers' Fund.
             825          (ii) The administrator shall make provisions for and direct distribution from the
             826      Uninsured Employers' Fund.
             827          (3) Reasonable costs of administering the Uninsured Employers' Fund or other fees
             828      required to be paid by the Uninsured Employers' Fund may be paid from the Uninsured
             829      Employers' Fund.
             830          (4) The state treasurer shall:
             831          (a) receive workers' compensation premium assessments from the State Tax
             832      Commission; and
             833          (b) invest the Uninsured Employers' Fund to ensure maximum investment return for
             834      both long and short term investments in accordance with Section 51-7-12.5 .
             835          (5) (a) The administrator may employ, retain, or appoint counsel to represent the
             836      Uninsured Employers' Fund in a proceeding brought to enforce a claim against or on behalf of
             837      the Uninsured Employers' Fund.
             838          (b) If requested by the commission, the following shall aid in the representation of the
             839      Uninsured Employers' Fund:
             840          (i) the attorney general; or
             841          (ii) the city attorney, or county attorney of the locality in which:


             842          (A) an investigation, hearing, or trial under this chapter or Chapter 3, Utah
             843      Occupational Disease Act, is pending;
             844          (B) the employee resides; or
             845          (C) an employer:
             846          (I) resides; or
             847          (II) is doing business.
             848          (c) (i) Notwithstanding Title 63A, Chapter [8,] 3, Part 5, Office of State Debt
             849      Collection, the administrator shall provide for the collection of money required to be deposited
             850      in the Uninsured Employers' Fund under this chapter and Chapter 3, Utah Occupational
             851      Disease Act.
             852          (ii) To comply with Subsection (5)(c)(i), the administrator may:
             853          (A) take appropriate action, including docketing an award in a manner consistent with
             854      Section 34A-2-212 ; and
             855          (B) employ counsel and other personnel necessary to collect the money described in
             856      Subsection (5)(c)(i).
             857          (6) To the extent of the compensation and other benefits paid or payable to or on behalf
             858      of an employee or the employee's dependents from the Uninsured Employers' Fund, the
             859      Uninsured Employers' Fund, by subrogation, has the rights, powers, and benefits of the
             860      employee or the employee's dependents against the employer failing to make the compensation
             861      payments.
             862          (7) (a) The receiver, trustee, liquidator, or statutory successor of an employer meeting a
             863      condition listed in Subsection (1)(a)(i)(B) is bound by a settlement of a covered claim by the
             864      Uninsured Employers' Fund.
             865          (b) A court with jurisdiction shall grant a payment made under this section a priority
             866      equal to that to which the claimant would have been entitled in the absence of this section
             867      against the assets of the employer meeting a condition listed in Subsection (1)(a)(i)(B).
             868          (c) The expenses of the Uninsured Employers' Fund in handling a claim shall be
             869      accorded the same priority as the liquidator's expenses.


             870          (8) (a) The administrator shall periodically file the information described in Subsection
             871      (8)(b) with the receiver, trustee, or liquidator of:
             872          (i) an employer that meets a condition listed in Subsection (1)(a)(i)(B);
             873          (ii) a public agency insurance mutual, as defined in Section 31A-1-103 , that meets a
             874      condition listed in Subsection (1)(a)(i)(B); or
             875          (iii) an insolvent insurance carrier.
             876          (b) The information required to be filed under Subsection (8)(a) is:
             877          (i) a statement of the covered claims paid by the Uninsured Employers' Fund; and
             878          (ii) an estimate of anticipated claims against the Uninsured Employers' Fund.
             879          (c) A filing under this Subsection (8) preserves the rights of the Uninsured Employers'
             880      Fund for claims against the assets of the employer that meets a condition listed in Subsection
             881      (1)(a)(i)(B).
             882          (9) When an injury or death for which compensation is payable from the Uninsured
             883      Employers' Fund has been caused by the wrongful act or neglect of another person not in the
             884      same employment, the Uninsured Employers' Fund has the same rights as allowed under
             885      Section 34A-2-106 .
             886          (10) The Uninsured Employers' Fund, subject to approval of the administrator, shall
             887      discharge its obligations by:
             888          (a) adjusting its own claims; or
             889          (b) contracting with an adjusting company, risk management company, insurance
             890      company, or other company that has expertise and capabilities in adjusting and paying workers'
             891      compensation claims.
             892          (11) (a) For the purpose of maintaining the Uninsured Employers' Fund, an
             893      administrative law judge, upon rendering a decision with respect to a claim for workers'
             894      compensation benefits in which an employer that meets a condition listed in Subsection
             895      (1)(a)(i)(B) is duly joined as a party, shall:
             896          (i) order the employer that meets a condition listed in Subsection (1)(a)(i)(B) to
             897      reimburse the Uninsured Employers' Fund for the benefits paid to or on behalf of an injured


             898      employee by the Uninsured Employers' Fund along with interest, costs, and attorney fees; and
             899          (ii) impose a penalty against the employer that meets a condition listed in Subsection
             900      (1)(a)(i)(B):
             901          (A) of 15% of the value of the total award in connection with the claim; and
             902          (B) that shall be deposited into the Uninsured Employers' Fund.
             903          (b) An award under this Subsection (11) shall be collected by the administrator in
             904      accordance with Subsection (5)(c).
             905          (12) The state, the commission, and the state treasurer, with respect to payment of
             906      compensation benefits, expenses, fees, or disbursement properly chargeable against the
             907      Uninsured Employers' Fund:
             908          (a) are liable only to the assets in the Uninsured Employers' Fund; and
             909          (b) are not otherwise in any way liable for the making of a payment.
             910          (13) The commission may make reasonable rules for the processing and payment of a
             911      claim for compensation from the Uninsured Employers' Fund.
             912          (14) (a) (i) If it becomes necessary for the Uninsured Employers' Fund to pay benefits
             913      under this section to an employee described in Subsection (14)(a)(ii), the Uninsured Employers'
             914      Fund may assess all other self-insured employers amounts necessary to pay:
             915          (A) the obligations of the Uninsured Employers' Fund subsequent to a condition listed
             916      in Subsection (1)(a)(i)(B) occurring;
             917          (B) the expenses of handling covered a claim subsequent to a condition listed in
             918      Subsection (1)(a)(i)(B) occurring;
             919          (C) the cost of an examination under Subsection (15); and
             920          (D) other expenses authorized by this section.
             921          (ii) This Subsection (14) applies to benefits paid to an employee of:
             922          (A) a self-insured employer, as defined in Section 34A-2-201.5 , that meets a condition
             923      listed in Subsection (1)(a)(i)(B); or
             924          (B) if the self-insured employer that meets a condition described in Subsection
             925      (1)(a)(i)(B) is a public agency insurance mutual, a member of the public agency insurance


             926      mutual.
             927          (b) The assessments of a self-insured employer shall be in the proportion that the
             928      manual premium of the self-insured employer for the preceding calendar year bears to the
             929      manual premium of all self-insured employers for the preceding calendar year.
             930          (c) A self-insured employer shall be notified of the self-insured employer's assessment
             931      not later than 30 days before the day on which the assessment is due.
             932          (d) (i) A self-insured employer may not be assessed in any year an amount greater than
             933      2% of that self-insured employer's manual premium for the preceding calendar year.
             934          (ii) If the maximum assessment does not provide in a year an amount sufficient to
             935      make all necessary payments from the Uninsured Employers' Fund for one or more self-insured
             936      employers that meet a condition listed in Subsection (1)(a)(i)(B), the unpaid portion shall be
             937      paid as soon as money becomes available.
             938          (e) A self-insured employer is liable under this section for a period not to exceed three
             939      years after the day on which the Uninsured Employers' Fund first pays benefits to an employee
             940      described in Subsection (14)(a)(ii) for the self-insured employer that meets a condition listed in
             941      Subsection (1)(a)(i)(B).
             942          (f) This Subsection (14) does not apply to a claim made against a self-insured employer
             943      that meets a condition listed in Subsection (1)(a)(i)(B) if the condition listed in Subsection
             944      (1)(a)(i)(B) occurred before July 1, 1986.
             945          (15) (a) The following shall notify the division of any information indicating that any
             946      of the following may be insolvent or in a financial condition hazardous to its employees or the
             947      public:
             948          (i) a self-insured employer; or
             949          (ii) if the self-insured employer is a public agency insurance mutual, a member of the
             950      public agency insurance mutual.
             951          (b) Upon receipt of the notification described in Subsection (15)(a) and with good
             952      cause appearing, the division may order an examination of:
             953          (i) that self-insured employer; or


             954          (ii) if the self-insured employer is a public agency insurance mutual, a member of the
             955      public agency mutual.
             956          (c) The cost of the examination ordered under Subsection (15)(b) shall be assessed
             957      against all self-insured employers as provided in Subsection (14).
             958          (d) The results of the examination ordered under Subsection (15)(b) shall be kept
             959      confidential.
             960          (16) (a) In a claim against an employer by the Uninsured Employers' Fund, or by or on
             961      behalf of the employee to whom or to whose dependents compensation and other benefits are
             962      paid or payable from the Uninsured Employers' Fund, the burden of proof is on the employer or
             963      other party in interest objecting to the claim.
             964          (b) A claim described in Subsection (16)(a) is presumed to be valid up to the full
             965      amount of workers' compensation benefits claimed by the employee or the employee's
             966      dependents.
             967          (c) This Subsection (16) applies whether the claim is filed in court or in an adjudicative
             968      proceeding under the authority of the commission.
             969          (17) A partner in a partnership or an owner of a sole proprietorship may not recover
             970      compensation or other benefits from the Uninsured Employers' Fund if:
             971          (a) the person is not included as an employee under Subsection 34A-2-104 (3); or
             972          (b) the person is included as an employee under Subsection 34A-2-104 (3), but:
             973          (i) the person's employer fails to insure or otherwise provide adequate payment of
             974      direct compensation; and
             975          (ii) the failure described in Subsection (17)(b)(i) is attributable to an act or omission
             976      over which the person had or shared control or responsibility.
             977          (18) A director or officer of a corporation may not recover compensation or other
             978      benefits from the Uninsured Employers' Fund if the director or officer is excluded from
             979      coverage under Subsection 34A-2-104 (4).
             980          (19) The Uninsured Employers' Fund:
             981          (a) shall be:


             982          (i) used in accordance with this section only for:
             983          (A) the purpose of assisting in the payment of workers' compensation benefits in
             984      accordance with Subsection (1); and
             985          (B) in accordance with Subsection (3), payment of:
             986          (I) reasonable costs of administering the Uninsured Employers' Fund; or
             987          (II) fees required to be paid by the Uninsured Employers' Fund; and
             988          (ii) expended according to processes that can be verified by audit; and
             989          (b) may not be used for:
             990          (i) administrative costs unrelated to the Uninsured Employers' Fund; or
             991          (ii) an activity of the commission other than an activity described in Subsection (19)(a).
             992          (20) (a) For purposes of Subsection (1), an employment relationship is localized in the
             993      state if:
             994          (i) (A) the employer who is liable for the benefits has a business premise in the state;
             995      and
             996          (B) (I) the contract for hire is entered into in the state; or
             997          (II) the employee regularly performs work duties in the state for the employer who is
             998      liable for the benefits; or
             999          (ii) the employee is:
             1000          (A) a resident of the state; and
             1001          (B) regularly performs work duties in the state for the employer who is liable for the
             1002      benefits.
             1003          (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1004      commission shall by rule define what constitutes regularly performing work duties in the state.
             1005          Section 17. Section 34A-5-104 is amended to read:
             1006           34A-5-104. Powers.
             1007          (1) (a) The commission has jurisdiction over the subject of employment practices and
             1008      discrimination made unlawful by this chapter.
             1009          (b) The commission may adopt, publish, amend, and rescind rules, consistent with, and


             1010      for the enforcement of this chapter.
             1011          (2) The division may:
             1012          (a) appoint and prescribe the duties of investigators and other employees and agents
             1013      that it considers necessary for the enforcement of this chapter;
             1014          (b) receive, reject, investigate, and pass upon complaints alleging:
             1015          (i) discrimination in:
             1016          (A) employment;
             1017          (B) apprenticeship programs;
             1018          (C) on-the-job training programs; and
             1019          (D) vocational schools; or
             1020          (ii) the existence of a discriminatory or prohibited employment practice by:
             1021          (A) a person;
             1022          (B) an employer;
             1023          (C) an employment agency;
             1024          (D) a labor organization;
             1025          (E) the employees or members of an employment agency or labor organization;
             1026          (F) a joint apprenticeship committee; and
             1027          (G) vocational school;
             1028          (c) investigate and study the existence, character, causes, and extent of discrimination
             1029      in employment, apprenticeship programs, on-the-job training programs, and vocational schools
             1030      in this state by:
             1031          (i) employers;
             1032          (ii) employment agencies;
             1033          (iii) labor organizations;
             1034          (iv) joint apprenticeship committees; and
             1035          (v) vocational schools;
             1036          (d) formulate plans for the elimination of discrimination by educational or other
             1037      means;


             1038          (e) hold hearings upon complaint made against:
             1039          (i) a person;
             1040          (ii) an employer;
             1041          (iii) an employment agency;
             1042          (iv) a labor organization;
             1043          (v) the employees or members of an employment agency or labor organization;
             1044          (vi) a joint apprenticeship committee; or
             1045          (vii) a vocational school;
             1046          (f) issue publications and reports of investigations and research that:
             1047          (i) promote good will among the various racial, religious, and ethnic groups of the
             1048      state; and
             1049          (ii) minimize or eliminate discrimination in employment because of race, color, sex,
             1050      religion, national origin, age, or disability;
             1051          (g) prepare and transmit to the governor, at least once each year, reports describing:
             1052          (i) its proceedings, investigations, and hearings;
             1053          (ii) the outcome of those hearings;
             1054          (iii) decisions the division has rendered; and
             1055          (iv) the other work performed by the division;
             1056          (h) recommend policies to the governor, and submit recommendation to employers,
             1057      employment agencies, and labor organizations to implement those policies;
             1058          (i) recommend any legislation concerning discrimination because of race, sex, color,
             1059      national origin, religion, age, or disability to the governor that it considers necessary; and
             1060          (j) within the limits of any appropriations made for its operation, cooperate with other
             1061      agencies or organizations, both public and private, in the planning and conducting of
             1062      educational programs designed to eliminate discriminatory practices prohibited under this
             1063      chapter.
             1064          (3) The division shall investigate alleged discriminatory practices involving officers or
             1065      employees of state government if requested to do so by the Career Service Review [Board]


             1066      Office.
             1067          (4) (a) In any hearing held under this chapter, the division may:
             1068          (i) subpoena witnesses and compel their attendance at the hearing;
             1069          (ii) administer oaths and take the testimony of any person under oath; and
             1070          (iii) compel any person to produce for examination any books, papers, or other
             1071      information relating to the matters raised by the complaint.
             1072          (b) The division director or a hearing examiner appointed by the division director may
             1073      conduct hearings.
             1074          (c) If a witness fails or refuses to obey a subpoena issued by the division, the division
             1075      may petition the district court to enforce the subpoena.
             1076          (d) In the event a witness asserts a privilege against self-incrimination, testimony and
             1077      evidence from the witness may be compelled pursuant to Title 77, Chapter 22b, Grants of
             1078      Immunity.
             1079          Section 18. Section 35A-4-312 is amended to read:
             1080           35A-4-312. Records.
             1081          (1) (a) An employing unit shall keep true and accurate work records containing any
             1082      information the department may prescribe by rule.
             1083          (b) A record shall be open to inspection and subject to being copied by the division or
             1084      its authorized representatives at a reasonable time and as often as may be necessary.
             1085          (c) An employing unit shall make a record available in the state for three years after the
             1086      calendar year in which the services are rendered.
             1087          (2) The division may require from an employing unit a sworn or unsworn report with
             1088      respect to a person employed by the employing unit that the division considers necessary for
             1089      the effective administration of this chapter.
             1090          (3) Except as provided in this section or in Sections 35A-4-103 and 35A-4-106 ,
             1091      information obtained under this chapter or obtained from an individual may not be published or
             1092      open to public inspection in any manner revealing the employing unit's or individual's identity.
             1093          (4) (a) The information obtained by the division under this section may not be used in


             1094      court or admitted into evidence in an action or proceeding, except:
             1095          (i) in an action or proceeding arising out of this chapter;
             1096          (ii) if the Labor Commission enters into a written agreement with the division under
             1097      Subsection (6)(b), in an action or proceeding by the Labor Commission to enforce:
             1098          (A) Title 34, Chapter 23, Employment of Minors;
             1099          (B) Title 34, Chapter 28, Payment of Wages;
             1100          (C) Title 34, Chapter 40, Utah Minimum Wage Act; or
             1101          (D) Title 34A, Utah Labor Code;
             1102          (iii) under the terms of a court order obtained under Subsection 63G-2-202 (7) and
             1103      Section 63G-2-207 ; or
             1104          (iv) under the terms of a written agreement between the Office of State Debt Collection
             1105      and the division as provided in Subsection (5).
             1106          (b) The information obtained by the division under this section shall be disclosed to:
             1107          (i) a party to an unemployment insurance hearing before an administrative law judge of
             1108      the department or a review by the Workforce Appeals Board to the extent necessary for the
             1109      proper presentation of the party's case; or
             1110          (ii) an employer, upon request in writing for any information concerning a claim for a
             1111      benefit with respect to a former employee of the employer.
             1112          (5) The information obtained by the division under this section may be disclosed to:
             1113          (a) an employee of the department in the performance of the employee's duties in
             1114      administering this chapter or other programs of the department;
             1115          (b) an employee of the Labor Commission for the purpose of carrying out the programs
             1116      administered by the Labor Commission;
             1117          (c) an employee of the Department of Commerce for the purpose of carrying out the
             1118      programs administered by the Department of Commerce;
             1119          (d) an employee of the governor's office or another state governmental agency
             1120      administratively responsible for statewide economic development, to the extent necessary for
             1121      economic development policy analysis and formulation;


             1122          (e) an employee of another governmental agency that is specifically identified and
             1123      authorized by federal or state law to receive the information for the purposes stated in the law
             1124      authorizing the employee of the agency to receive the information;
             1125          (f) an employee of a governmental agency or workers' compensation insurer to the
             1126      extent the information will aid in:
             1127          (i) the detection or avoidance of duplicate, inconsistent, or fraudulent claims against:
             1128          (A) a workers' compensation program; or
             1129          (B) public assistance funds; or
             1130          (ii) the recovery of overpayments of workers' compensation or public assistance funds;
             1131          (g) an employee of a law enforcement agency to the extent the disclosure is necessary
             1132      to avoid a significant risk to public safety or in aid of a felony criminal investigation;
             1133          (h) an employee of the State Tax Commission or the Internal Revenue Service for the
             1134      purposes of:
             1135          (i) audit verification or simplification;
             1136          (ii) state or federal tax compliance;
             1137          (iii) verification of a code or classification of the:
             1138          (A) 1987 Standard Industrial Classification Manual of the federal Executive Office of
             1139      the President, Office of Management and Budget; or
             1140          (B) 2002 North American Industry Classification System of the federal Executive
             1141      Office of the President, Office of Management and Budget; and
             1142          (iv) statistics;
             1143          (i) an employee or contractor of the department or an educational institution, or other
             1144      governmental entity engaged in workforce investment and development activities under the
             1145      Workforce Investment Act of 1998 for the purpose of:
             1146          (i) coordinating services with the department;
             1147          (ii) evaluating the effectiveness of those activities; and
             1148          (iii) measuring performance;
             1149          (j) an employee of the Governor's Office of Economic Development, for the purpose of


             1150      periodically publishing in the Directory of Business and Industry, the name, address, telephone
             1151      number, number of employees by range, code or classification of an employer, and type of
             1152      ownership of Utah employers;
             1153          (k) the public for any purpose following a written waiver by all interested parties of
             1154      their rights to nondisclosure;
             1155          (l) an individual whose wage data is submitted to the department by an employer, so
             1156      long as no information other than the individual's wage data and the identity of the employer
             1157      who submitted the information is provided to the individual;
             1158          (m) an employee of the Insurance Department for the purpose of administering Title
             1159      31A, Chapter 40, Professional Employer Organization Licensing Act; or
             1160          (n) an employee of the Office of State Debt Collection for the purpose of collecting
             1161      state accounts receivable as provided in Section [ 63A-8-201 ] 63A-3-502 .
             1162          (6) Disclosure of private information under Subsection (4)(a)(ii) or Subsection (5),
             1163      with the exception of Subsections (5)(a) and (g), shall be made only if:
             1164          (a) the division determines that the disclosure will not have a negative effect on:
             1165          (i) the willingness of employers to report wage and employment information; or
             1166          (ii) the willingness of individuals to file claims for unemployment benefits; and
             1167          (b) the agency enters into a written agreement with the division in accordance with
             1168      rules made by the department.
             1169          (7) (a) The employees of a division of the department other than the Workforce
             1170      Development and Information Division and the Unemployment Insurance Division or an
             1171      agency receiving private information from the division under this chapter are subject to the
             1172      same requirements of privacy and confidentiality and to the same penalties for misuse or
             1173      improper disclosure of the information as employees of the division.
             1174          (b) Use of private information obtained from the department by a person or for a
             1175      purpose other than one authorized in Subsection (4) or (5) violates Subsection 76-8-1301 (4).
             1176          Section 19. Section 36-12-15.1 is amended to read:
             1177           36-12-15.1. Budget and appropriation audits.


             1178          (1) As used in this section, "entity" means an entity in the executive branch that
             1179      receives an ongoing line item appropriation in an appropriations act.
             1180          (2) The Office of Legislative Auditor General shall:
             1181          (a) each year perform an audit of at least two entities' appropriations, in addition to
             1182      other audits performed by the Office of Legislative Auditor General, that evaluates:
             1183          (i) the extent to which the entity has efficiently and effectively used the appropriation
             1184      by identifying:
             1185          (A) the entity's appropriation history;
             1186          (B) the entity's spending and efficiency history; and
             1187          (C) historic trends in the entity's operational performance effectiveness;
             1188          (ii) whether the entity's size and operation are commensurate with the entity's spending
             1189      history; and
             1190          (iii) whether the entity is diligent in its stewardship of state resources;
             1191          (b) if possible, incorporate the audit methodology described in Subsection (2)(a) in
             1192      other audits performed by the Office of Legislative Auditor General;
             1193          (c) conduct the audits described in Subsection (2)(a) according to the process
             1194      established for the Audit Subcommittee created in Section 36-12-8 ;
             1195          (d) after release of an audit report by the Audit Subcommittee, make the audit report
             1196      available to:
             1197          (i) each member of the Senate and the House of Representatives; and
             1198          (ii) the governor or the governor's designee; and
             1199          (e) summarize the findings of an audit described in Subsection (2)(a) in:
             1200          (i) a unique section of the legislative auditor general's annual report; and
             1201          (ii) a format that the legislative fiscal analyst may use in preparation of the annual
             1202      appropriations no later than 30 days before the day on which the Legislature convenes.
             1203          (3) The Office of Legislative Auditor General shall consult with the legislative fiscal
             1204      analyst in preparing the summary required by Subsection (2)(e).
             1205          (4) The Legislature, in evaluating an entity's request for an increase in its base budget,


             1206      shall:
             1207          (a) review the audit report required by this section and any relevant audits; and
             1208          (b) consider the entity's request for an increase in its base budget in light of the
             1209      [agency's] entity's prior history of savings and efficiencies as evidenced by the audit report
             1210      required by this section.
             1211          Section 20. Section 38-1-32.5 is amended to read:
             1212           38-1-32.5. Preliminary notice on government project.
             1213          (1) Except for a person who has a contract with an owner or an owner-builder or a
             1214      laborer compensated with wages, a subcontractor on a government project shall file a
             1215      preliminary notice with the database by the later of:
             1216          (a) 20 days after the subcontractor commences the subcontractor's own work or
             1217      commences furnishing labor, service, equipment, or material to the construction project; and
             1218          (b) 20 days after the filing of a notice of commencement, if the subcontractor's work
             1219      commences before the filing of the first notice of commencement.
             1220          (2) A preliminary notice filed within the period described in Subsection (1) is effective
             1221      as to all labor, service, equipment, and material that the subcontractor furnishes to the
             1222      construction project, including labor, service, equipment, and material [provided] that the
             1223      subcontractor furnishes to more than one contractor or subcontractor.
             1224          (3) (a) If more than one notice of commencement is filed for a project, a person may
             1225      attach a preliminary notice to any notice of commencement filed for the project.
             1226          (b) A preliminary notice attached to an untimely notice of commencement is valid if
             1227      there is also a valid and timely notice of commencement for the project.
             1228          (4) If a person files a preliminary notice after the period prescribed by Subsection (1),
             1229      the preliminary notice becomes effective five days after the day on which the preliminary
             1230      notice is filed.
             1231          (5) Except as provided in Subsection (8), failure to file a preliminary notice within the
             1232      period required by Subsection (1) precludes a person from maintaining any claim for
             1233      compensation earned for labor, service, material, or equipment furnished to the construction


             1234      project before the expiration of five days after the late filing of a preliminary notice, except as
             1235      against the person with whom the person contracted.
             1236          (6) A preliminary notice on a government project shall include:
             1237          (a) the government project-identifying information;
             1238          (b) the name, address, and telephone number of the person furnishing the labor,
             1239      service, equipment, or material;
             1240          (c) the name and address of the person who contracted with the claimant for the
             1241      furnishing of the labor, service, equipment, or material;
             1242          (d) the name of the record or reputed owner of the project;
             1243          (e) the name of the original contractor under which the claimant is performing or will
             1244      perform its work; and
             1245          (f) the address of the project or a description of the location of the project.
             1246          (7) Upon request, an original contractor shall provide a subcontractor with the number
             1247      assigned to the project by the designated agent.
             1248          (8) A person who provides labor, service, equipment, or material before the filing of a
             1249      notice of commencement need not file a preliminary notice to maintain any right the person
             1250      would otherwise have, if the notice of commencement is filed more than 15 days after the day
             1251      on which the person begins work on the project.
             1252          (9) Subsections 38-1-32 (2), (3), (4), (5), and (6) apply to a preliminary notice on a
             1253      government project under this section to the same extent that those subsections apply to a
             1254      preliminary notice on a private project under Section 38-1-32 .
             1255          Section 21. Section 39-1-21 is amended to read:
             1256           39-1-21. Adjutant general -- Salary.
             1257          The adjutant general shall:
             1258          (1) receive a salary established by the governor within the salary range fixed [by the
             1259      Legislature] in Title 67, Chapter 22, State Officer Compensation; and
             1260          (2) devote all of the adjutant general's time during the office hours of the military
             1261      department to the duties of the office.


             1262          Section 22. Section 53A-17a-123 is amended to read:
             1263           53A-17a-123. Local Discretionary Block Grant Program -- State contribution.
             1264          (1) The State Board of Education shall distribute money appropriated for the Local
             1265      Discretionary Block Grant Program to school districts and charter schools according to a
             1266      formula adopted by the board, after consultation with school districts and charter schools, that
             1267      allocates the funding in a fair and equitable manner.
             1268          (2) Schools districts and charter schools shall use Local Discretionary Block Grant
             1269      [monies] money for:
             1270          (a) maintenance and operation costs;
             1271          (b) capital outlay; or
             1272          (c) debt service.
             1273          Section 23. Section 57-8-7.5 is amended to read:
             1274           57-8-7.5. Reserve analysis -- Reserve fund.
             1275          (1) As used in this section, "reserve analysis" means an analysis to determine:
             1276          (a) the need for a reserve fund to accumulate money to cover the cost of repairing,
             1277      replacing, and restoring common areas and facilities that have a useful life of three years or
             1278      more, but excluding any cost that can reasonably be funded from the general budget or other
             1279      funds of the association of unit owners; and
             1280          (b) the appropriate amount of any reserve fund.
             1281          (2) Except as otherwise provided in the declaration, a management committee shall:
             1282          (a) (i) subject to Subsection (2)(a)(ii), cause a reserve analysis to be conducted no less
             1283      frequently than every five years; and
             1284          (ii) if no reserve analysis has been conducted since March 1, 2008, cause a reserve
             1285      analysis to be conducted before July 1, 2012; and
             1286          (b) review and, if necessary, update a previously conducted reserve analysis no less
             1287      frequently than every two years.
             1288          (3) The management committee may conduct a reserve analysis itself or may engage a
             1289      reliable person or organization, as determined by the management committee, to conduct the


             1290      reserve analysis.
             1291          (4) (a) A management committee may not use money in a reserve fund:
             1292          (i) for daily maintenance expenses, unless a majority of the members of the association
             1293      of unit owners vote to approve the use of reserve fund money for that purpose; or
             1294          (ii) for any purpose other than the purpose for which the reserve fund was established.
             1295          (b) A management committee shall maintain a reserve fund separate from other funds
             1296      of the association of unit owners.
             1297          (c) This Subsection (4) may not be construed to limit a management committee from
             1298      prudently investing money in a reserve fund, subject to any investment constraints imposed by
             1299      the declaration.
             1300          (5) Subsections (2), (3), (4), and (6) do not apply to an association of unit owners
             1301      during the period of declarant management.
             1302          (6) An association of unit owners shall:
             1303          (a) annually, at the annual meeting of unit owners or at a special meeting of unit
             1304      owners:
             1305          (i) present the reserve study; and
             1306          (ii) provide an opportunity for unit owners to discuss reserves and to vote on whether
             1307      to fund a reserve fund and, if so, how to fund it and in what amount; and
             1308          (b) prepare and keep minutes of each meeting held under Subsection (6)(a) and
             1309      indicate in the minutes any decision relating to funding a reserve fund.
             1310          (7) This section applies to each association of unit owners, regardless of when the
             1311      association of unit owners was created.
             1312          Section 24. Section 57-8a-106 is amended to read:
             1313           57-8a-106. Fee for providing payoff information needed at closing.
             1314          (1) Unless specifically authorized in the declaration of covenants, conditions, and
             1315      restrictions, the bylaws, or the rules, an association may not charge a fee for providing
             1316      association payoff information needed in connection with the financing, refinancing, or closing
             1317      of a lot owner's sale of the owner's lot.


             1318          (2) An association may not:
             1319          (a) require a fee described in Subsection (1) that is authorized in the declaration of
             1320      covenants, conditions, and restrictions, the bylaws, or the rules to be paid before closing; or
             1321          (b) charge the fee if it exceeds $50.
             1322          (3) (a) An association that fails to provide information described in Subsection (1)
             1323      within five business days after the closing agent requests the information may not enforce a lien
             1324      against that unit for money due to the association at closing.
             1325          (b) A request under Subsection (3)(a) is not effective unless the request:
             1326          (i) is conveyed in writing to the primary contact person designated under Subsection
             1327      57-8a-105 (3)(d);
             1328          (ii) contains:
             1329          (A) the name, telephone number, and address of the person making the request; and
             1330          (B) the facsimile number or email address for delivery of the payoff information; and
             1331          (iii) is accompanied by a written consent for the release of the payoff information:
             1332          (A) identifying the person requesting the information as a person to whom the payoff
             1333      information may be released; and
             1334          (B) signed and dated by an owner of the lot for which the payoff information is
             1335      requested.
             1336          (4) This section applies to each association, regardless of when the association is
             1337      formed.
             1338          Section 25. Section 57-8a-211 is amended to read:
             1339           57-8a-211. Reserve analysis -- Reserve fund.
             1340          (1) As used in this section, "reserve analysis" means an analysis to determine:
             1341          (a) the need for a reserve fund to accumulate money to cover the cost of repairing,
             1342      replacing, and restoring common areas that have a useful life of three years or more, but
             1343      excluding any cost that can reasonably be funded from the association's general budget or from
             1344      other association funds; and
             1345          (b) the appropriate amount of any reserve fund.


             1346          (2) Except as otherwise provided in the governing documents, a board shall:
             1347          (a) (i) subject to Subsection (2)(a)(ii), cause a reserve analysis to be conducted no less
             1348      frequently than every five years; and
             1349          (ii) if no reserve analysis has been conducted since March 1, 2008, cause a reserve
             1350      analysis to be conducted before July 1, 2012; and
             1351          (b) review and, if necessary, update a previously conducted reserve analysis no less
             1352      frequently than every two years.
             1353          (3) The board may conduct a reserve analysis itself or may engage a reliable person or
             1354      organization, as determined by the board, to conduct the reserve analysis.
             1355          (4) (a) A board may not use money in a reserve fund:
             1356          (i) for daily maintenance expenses, unless a majority of association members vote to
             1357      approve the use of reserve fund money for that purpose; or
             1358          (ii) for any purpose other than the purpose for which the reserve fund was established.
             1359          (b) A board shall maintain a reserve fund separate from other association funds.
             1360          (c) This Subsection (4) may not be construed to limit a board from prudently investing
             1361      money in a reserve fund, subject to any investment constraints imposed by the governing
             1362      documents.
             1363          (5) Subsections (2), (3), (4), and (6) do not apply to an association during the period of
             1364      administrative control.
             1365          (6) An association shall:
             1366          (a) annually, at the annual meeting of lot owners or at a special meeting of lot owners:
             1367          (i) present the reserve study; and
             1368          (ii) provide an opportunity for lot owners to discuss reserves and to vote on whether to
             1369      fund a reserve fund and, if so, how to fund it and in what amount; and
             1370          (b) prepare and keep minutes of each meeting held under Subsection (6)(a) and
             1371      indicate in the minutes any decision relating to funding a reserve fund.
             1372          (7) This section applies to each association, regardless of when the association was
             1373      created.


             1374          Section 26. Section 57-8a-405 is amended to read:
             1375           57-8a-405. Property insurance.
             1376          (1) This section applies to property insurance required under Subsection
             1377      57-8a-403 (1)(a).
             1378          (2) The property covered by property insurance shall include any property that, under
             1379      the declaration, is required to become common areas.
             1380          (3) The total amount of coverage provided by blanket property insurance may not be
             1381      less than 100% of the full replacement cost of the insured property at the time the insurance is
             1382      purchased and at each renewal date, excluding items normally excluded from property
             1383      insurance policies.
             1384          (4) Property insurance shall include coverage for any fixture, improvement, or
             1385      betterment installed by a lot owner to an attached dwelling or to a limited common area
             1386      appurtenant to a dwelling on a lot, including a floor covering, cabinet, light fixture, electrical
             1387      fixture, heating or plumbing fixture, paint, wall covering, window, and any other item
             1388      permanently part of or affixed to an attached dwelling or to a limited common area.
             1389          (5) Notwithstanding anything in this part and unless otherwise provided in the
             1390      declaration, an association is not required to obtain property insurance for a loss to a dwelling
             1391      that is not physically attached to another dwelling or to a common area structure.
             1392          (6) Each lot owner is an insured person under a property insurance policy.
             1393          (7) If a loss occurs that is covered by a property insurance policy in the name of an
             1394      association and another property insurance policy in the name of a lot owner:
             1395          (a) the association's policy provides primary insurance coverage; and
             1396          (b) notwithstanding Subsection (7)(a) and subject to Subsection (8):
             1397          (i) a lot owner is responsible for the association's policy deductible; and
             1398          (ii) the lot owner's policy applies to that portion of the loss attributable to the
             1399      association's policy deductible.
             1400          (8) (a) As used in this Subsection (8):
             1401          (i) "Covered loss" means a loss, resulting from a single event or occurrence, that is


             1402      covered by an association's property insurance policy.
             1403          (ii) "Lot damage" means damage to any combination of a lot, a dwelling on a lot, or a
             1404      limited common area appurtenant to a lot or appurtenant to a dwelling on a lot.
             1405          (iii) "Lot damage percentage" means the percentage of total damage resulting in a
             1406      covered loss that is attributable to lot damage.
             1407          (b) A lot owner who owns a lot that has suffered lot damage as part of a covered loss is
             1408      responsible for an amount calculated by applying the lot damage percentage for that lot to the
             1409      amount of the deductible under the association's property insurance policy.
             1410          (c) If a lot owner does not pay the amount required under Subsection (8)(b) within 30
             1411      days after substantial completion of the repairs to, as applicable, the lot, a dwelling on the lot,
             1412      or the limited common area appurtenant to the lot, an association may levy an assessment
             1413      against a lot owner for that amount.
             1414          (9) An association shall set aside an amount equal to the amount of the association's
             1415      property insurance policy deductible or $10,000, whichever is less.
             1416          (10) (a) An association shall provide notice in accordance with Section [ 57-8a-215 ]
             1417      57-8a-214 to each lot owner of the lot owner's obligation under Subsection (8) for the
             1418      association's policy deductible and of any change in the amount of the deductible.
             1419          (b) An association that fails to provide notice as provided in Subsection (10)(a) is
             1420      responsible for the amount of the deductible increase that the association could have assessed
             1421      to a lot owner under Subsection (8).
             1422          (c) An association's failure to provide notice as provided in Subsection (10)(a) may not
             1423      be construed to invalidate any other provision of this part.
             1424          (11) If, in the exercise of the business judgment rule, the board determines that a claim
             1425      is likely not to exceed the association's property insurance policy deductible:
             1426          (a) the lot owner's policy is considered the policy for primary coverage to the amount
             1427      of the association's policy deductible;
             1428          (b) a lot owner who does not have a policy to cover the association's property insurance
             1429      policy deductible is responsible for the loss to the amount of the association's policy deductible,


             1430      as provided in Subsection (8); and
             1431          (c) the association need not tender the claim to the association's insurer.
             1432          (12) (a) An insurer under a property insurance policy issued to an association shall
             1433      adjust with the association a loss covered under the association's policy.
             1434          (b) Notwithstanding Subsection (12)(a), the insurance proceeds for a loss under an
             1435      association's property insurance policy:
             1436          (i) are payable to an insurance trustee that the association designates or, if no trustee is
             1437      designated, to the association; and
             1438          (ii) may not be payable to a holder of a security interest.
             1439          (c) An insurance trustee or an association shall hold any insurance proceeds in trust for
             1440      the association, lot owners, and lien holders.
             1441          (d) (i) Insurance proceeds shall be disbursed first for the repair or restoration of the
             1442      damaged property.
             1443          (ii) After the disbursements described in Subsection (12)(d)(i) are made and the
             1444      damaged property has been completely repaired or restored or the project terminated, any
             1445      surplus proceeds are payable to the association, lot owners, and lien holders.
             1446          (13) An insurer that issues a property insurance policy under this part, or the insurer's
             1447      authorized agent, shall issue a certificate or memorandum of insurance to:
             1448          (a) the association;
             1449          (b) a lot owner, upon the lot owner's written request; and
             1450          (c) a holder of a security interest, upon the holder's written request.
             1451          (14) A cancellation or nonrenewal of a property insurance policy under this section is
             1452      subject to the procedures stated in Section 31A-21-303 .
             1453          (15) A board that acquires from an insurer the property insurance required in this
             1454      section is not liable to lot owners if the insurance proceeds are not sufficient to cover 100% of
             1455      the full replacement cost of the insured property at the time of the loss.
             1456          Section 27. Section 58-54-302 is amended to read:
             1457           58-54-302. Requirements for licensure.


             1458          (1) Each applicant for licensure as a radiologic technologist, radiology assistant, or
             1459      radiology practical technician shall:
             1460          (a) submit an application in a form prescribed by the division in collaboration with the
             1461      board;
             1462          (b) pay a fee as determined by the department pursuant to Section 63J-1-504 ; and
             1463          (c) be of good moral character.
             1464          (2) Each applicant for licensure as a radiologic technologist shall, in addition to the
             1465      requirements of Subsection (1):
             1466          (a) be a graduate of an accredited educational program in radiologic technology or
             1467      certified by the American Registry of Radiologic Technologists or any equivalent educational
             1468      program approved by the division in collaboration with the board; and
             1469          (b) have passed an examination approved by the division in collaboration with the
             1470      board.
             1471          (3) Each applicant for licensure as a radiology practical technician shall, in addition to
             1472      the requirements of Subsection (1), have passed a basic examination and one or more specialty
             1473      examinations that are competency based, using a task analysis of the scope of practice of
             1474      radiology practical technicians in the state. The basic examination and the specialty
             1475      examination shall be approved by the division in collaboration with the board and the licensing
             1476      board of the profession within which the radiology practical technician will be practicing.
             1477          (4) The division shall provide for administration of the radiology practical technician
             1478      examination not less than monthly at offices designated by the division and located:
             1479          (a) in Salt Lake City; and
             1480          (b) within each local health department jurisdictional area.
             1481          (5) (a) Except as provided in Subsection (5)(b), each applicant for licensure as a
             1482      radiologist assistant shall:
             1483          (i) meet the requirements of Subsections (1) and (2);
             1484          (ii) have a Bachelor of Science degree; and
             1485          (iii) be certified as:


             1486          (A) a radiologist assistant by the American Registry of Radiologic Technologists; or
             1487          (B) a radiology practitioner assistant by the Certification Board of Radiology
             1488      Practitioner Assistants.
             1489          (b) An individual who meets the requirements of Subsections (5)(a)(i) and (iii), but not
             1490      Subsection (5)(a)(ii), may be licensed as a [radiology] radiologist assistant under this chapter
             1491      until May 31, 2013, at which time, the individual must have completed the Bachelor of Science
             1492      degree in order to retain the license of [radiology] radiologist assistant.
             1493          Section 28. Section 58-54-305 is amended to read:
             1494           58-54-305. Term of license -- Expiration -- Renewal.
             1495          (1) [Except as provided by Subsection (4), each] Each license issued under this chapter
             1496      shall be issued in accordance with a two-year renewal cycle established by rule. A renewal
             1497      period may be extended or shortened by as much as one year to maintain established renewal
             1498      cycles or to change an established renewal cycle.
             1499          (2) At the time of renewal, licensees shall show satisfactory evidence of each of the
             1500      following renewal requirements:
             1501          (a) 24 hours of approved professional education during a two-year period, as defined
             1502      by administrative rule, before renewal of a radiologic technologist license;
             1503          (b) 10 hours of approved professional education during a two-year period, as defined
             1504      by administrative rule, before renewal of a radiology practical technician license; and
             1505          (c) 50 hours of approved professional education during a two-year period, as defined
             1506      by administrative rule, before renewal of a radiologist assistant license.
             1507          (3) Each license automatically expires on the expiration date shown on the license
             1508      unless renewed by the licensee in accordance with Section 58-1-308 .
             1509          Section 29. Section 58-67-503 is amended to read:
             1510           58-67-503. Penalties and administrative actions for unlawful and unprofessional
             1511      conduct.
             1512          (1) Any person who violates the unlawful conduct provisions of Section 58-67-501 or
             1513      Section 58-1-501 is guilty of a third degree felony.


             1514          (2) (a) Subject to Subsection (4), the division may punish unprofessional or unlawful
             1515      conduct by:
             1516          (i) assessing administrative penalties; or
             1517          (ii) taking other appropriate administrative action.
             1518          (b) A monetary administrative penalty imposed under this section shall be deposited in
             1519      the Physician Education Fund created in Section 58-67a-1 .
             1520          (3) If a licensee has been convicted of unlawful conduct, described in Section
             1521      58-67-501 , before an administrative proceeding regarding the same conduct, the division may
             1522      not assess an additional administrative fine under this chapter for the same conduct.
             1523          (4) (a) If the division concludes that an individual has violated provisions of Section
             1524      58-67-501 , Section 58-67-502 , [the] Chapter 1, Division of Occupational and Professional
             1525      Licensing Act, [the] Chapter 37, Utah Controlled Substances Act, or any rule or order issued
             1526      with respect to these provisions, and disciplinary action is appropriate, the director or director's
             1527      designee shall:
             1528          (i) issue a citation to the individual;
             1529          (ii) attempt to negotiate a stipulated settlement; or
             1530          (iii) notify the individual that an adjudicative proceeding conducted under Title 63G,
             1531      Chapter 4, Administrative Procedures Act, will be commenced and the individual is invited to
             1532      appear.
             1533          (b) The division may take the following action against an individual who is in violation
             1534      of a provision described in Subsection (4)(a), as evidenced by an uncontested citation, a
             1535      stipulated settlement, or a finding of violation in an adjudicative proceeding:
             1536          (i) assess a fine of up to $10,000 per single violation or up to $2,000 per day of
             1537      ongoing violation, whichever is greater, in accordance with a fine schedule established by rule;
             1538      or
             1539          (ii) order to cease and desist from the behavior that constitutes a violation of the
             1540      provisions described in Subsection (4)(a).
             1541          (c) An individual's license may not be suspended or revoked through a citation.


             1542          (d) Each citation issued under this section shall:
             1543          (i) be in writing;
             1544          (ii) clearly describe or explain:
             1545          (A) the nature of the violation, including a reference to the provision of the chapter,
             1546      rule, or order alleged to have been violated;
             1547          (B) that the recipient must notify the division in writing within 20 calendar days from
             1548      the day on which the citation is served if the recipient wishes to contest the citation at a hearing
             1549      conducted under Title 63G, Chapter 4, Administrative Procedures Act; and
             1550          (C) the consequences of failure to timely contest the citation or pay the fine assessed by
             1551      the citation within the time specified in the citation; and
             1552          (iii) be served in accordance with the Utah Rules of Civil Procedure.
             1553          (e) If the individual to whom the citation is issued fails to request a hearing to contest
             1554      the citation within 20 calendar days from the day on which the citation is served, the citation
             1555      becomes the final order of the division and is not subject to further agency review. The period
             1556      to contest the citation may be extended by the division for cause.
             1557          (f) The division may refuse to issue or renew or suspend, revoke, or place on probation
             1558      the license of an individual who fails to comply with a citation after the citation becomes final.
             1559          (g) The failure of an applicant for licensure to comply with a citation after it becomes
             1560      final is a ground for denial of license.
             1561          (h) No citation may be issued under this section after six months from the day on
             1562      which the violation last occurred.
             1563          Section 30. Section 58-68-402 is amended to read:
             1564           58-68-402. Authority to assess penalties.
             1565          The division in collaboration with the board may assess penalties as described in
             1566      Section [ 58-67-503 ] 58-68-503 .
             1567          Section 31. Section 58-68-503 is amended to read:
             1568           58-68-503. Penalties and administrative actions for unlawful and unprofessional
             1569      conduct.


             1570          (1) Any person who violates the unlawful conduct provisions of Section 58-68-501 or
             1571      Section 58-1-501 is guilty of a third degree felony.
             1572          (2) (a) Subject to Subsection (4), the division may punish unprofessional or unlawful
             1573      conduct by:
             1574          (i) assessing administrative penalties; or
             1575          (ii) taking any other appropriate administrative action.
             1576          (b) A monetary administrative penalty imposed under this section shall be deposited in
             1577      the Physician Education Fund described in Section 58-67a-1 .
             1578          (3) If a licensee is convicted of unlawful conduct, described in Section 58-68-501 ,
             1579      before an administrative proceeding regarding the same conduct, the licensee may not be
             1580      assessed an administrative fine under this chapter for the same conduct.
             1581          (4) (a) If the division concludes that an individual has violated the provisions of
             1582      Section 58-68-501 , Section 58-68-502 , [the] Chapter 1, Division of Occupational and
             1583      Professional Licensing Act, [the] Chapter 37, Utah Controlled Substances Act, or any rule or
             1584      order issued with respect to these provisions, and disciplinary action is appropriate, the director
             1585      or director's designee shall:
             1586          (i) issue a citation to the individual;
             1587          (ii) attempt to negotiate a stipulated settlement; or
             1588          (iii) notify the individual that an adjudicative proceeding conducted under Title 63G,
             1589      Chapter 4, Administrative Procedures Act, will be commenced and the individual is invited to
             1590      appear.
             1591          (b) The division may take the following action against an individual who is in violation
             1592      of a provision described in Subsection (4)(a), as evidenced by an uncontested citation, a
             1593      stipulated settlement, or a finding of violation in an adjudicative proceeding:
             1594          (i) assess a fine of up to $10,000 per single violation or $2,000 per day of ongoing
             1595      violation, whichever is greater, in accordance with a fine schedule established by rule; or
             1596          (ii) order to cease and desist from the behavior that constitutes a violation of provisions
             1597      described in Subsection (4)(a).


             1598          (c) Except for an administrative fine and a cease and desist order, the licensure
             1599      sanctions cited in Section 58-1-401 may not be assessed through a citation.
             1600          (d) Each citation issued under this section shall:
             1601          (i) be in writing;
             1602          (ii) clearly describe or explain:
             1603          (A) the nature of the violation, including a reference to the provision of the chapter,
             1604      rule, or order alleged to have been violated;
             1605          (B) that the recipient must notify the division in writing within 20 calendar days from
             1606      the day on which the citation is served if the recipient wishes to contest the citation at a hearing
             1607      conducted under Title 63G, Chapter 4, Administrative Procedures Act; and
             1608          (C) the consequences of failure to timely contest the citation or pay the fine assessed by
             1609      the citation within the time specified in the citation; and
             1610          (iii) be served in accordance with the requirements of the Utah Rules of Civil
             1611      Procedure.
             1612          (e) If the individual to whom the citation is issued fails to request a hearing to contest
             1613      the citation within 20 calendar days from the day on which the citation is served, the citation
             1614      becomes the final order of the division and is not subject to further agency review. The period
             1615      to contest the citation may be extended by the division for cause.
             1616          (f) The division may refuse to issue or renew or suspend, revoke, or place on probation
             1617      the license of an individual who fails to comply with a citation after the citation becomes final.
             1618          (g) The failure of an applicant for licensure to comply with a citation after it becomes
             1619      final is a ground for denial of a license.
             1620          (h) No citation may be issued under this section after six months from the day on
             1621      which the last violation occurred.
             1622          Section 32. Section 59-2-1102 is amended to read:
             1623           59-2-1102. Determination of exemptions by board of equalization -- Appeal --
             1624      Application for exemption -- Annual statement -- Exceptions.
             1625          (1) (a) For property assessed under Part 3, County Assessment, the county board of


             1626      equalization may, after giving notice in a manner prescribed by rule, determine whether certain
             1627      property within the county is exempt from taxation.
             1628          (b) The decision of the county board of equalization described in Subsection (1)(a)
             1629      shall:
             1630          (i) be in writing; and
             1631          (ii) include:
             1632          (A) a statement of facts; and
             1633          (B) the statutory basis for its decision.
             1634          (c) Except as provided in Subsection (11)(a), a copy of the decision described in
             1635      Subsection (1)(a) shall be sent on or before May 15 to the person applying for the exemption.
             1636          (2) The county board of equalization shall notify an owner of exempt property that has
             1637      previously received an exemption but failed to file an annual statement in accordance with
             1638      Subsection (9)(c), of the county board of equalization's intent to revoke the exemption on or
             1639      before April 1.
             1640          (3) (a) Except as provided in Subsection (8) and subject to Subsection (9), a reduction
             1641      may not be made under this part in the value of property and an exemption may not be granted
             1642      under this part unless the party affected or the party's agent:
             1643          (i) makes and files with the county board of equalization a written application for the
             1644      reduction or exemption, verified by signed statement; and
             1645          (ii) appears before the county board of equalization and shows facts upon which it is
             1646      claimed the reduction should be made, or exemption granted.
             1647          (b) Notwithstanding Subsection (9), the county board of equalization may waive:
             1648          (i) the application or personal appearance requirements of Subsection (3)(a), (4)(b), or
             1649      (9)(a); or
             1650          (ii) the annual statement requirements of Subsection (9)(c).
             1651          (4) (a) Before the county board of equalization grants any application for exemption or
             1652      reduction, the county board of equalization may examine under oath the person or agent
             1653      making the application.


             1654          (b) Except as provided in Subsection (3)(b), a reduction may not be made or exemption
             1655      granted unless the person or the agent making the application attends and answers all questions
             1656      pertinent to the inquiry.
             1657          (5) For the hearing on the application, the county board of equalization may subpoena
             1658      any witnesses, and hear and take any evidence in relation to the pending application.
             1659          (6) Except as provided in Subsection (11)(b), the county board of equalization shall
             1660      hold hearings and render a written decision to determine any exemption on or before May 1 in
             1661      each year.
             1662          (7) Any property owner dissatisfied with the decision of the county board of
             1663      equalization regarding any reduction or exemption may appeal to the commission under
             1664      Section 59-2-1006 .
             1665          (8) Notwithstanding Subsection (3)(a), a county board of equalization may not require
             1666      an owner of property to file an application in accordance with this section in order to claim an
             1667      exemption for the property under the following:
             1668          (a) Subsections 59-2-1101 (3)(a)(i) through [(c)] (iii);
             1669          (b) Subsection 59-2-1101 (3)[(f) or (g)](a)(vi) or (vii);
             1670          (c) Section 59-2-1110 ;
             1671          (d) Section 59-2-1111 ;
             1672          (e) Section 59-2-1112 ;
             1673          (f) Section 59-2-1113 ; or
             1674          (g) Section 59-2-1114 .
             1675          (9) (a) Except as provided in Subsections (3)(b) and (9)(b), for property described in
             1676      Subsection 59-2-1101 (3)[(d) or (e)](a)(iv) or (v), a county board of equalization shall,
             1677      consistent with Subsection (10), require an owner of that property to file an application in
             1678      accordance with this section in order to claim an exemption for that property.
             1679          (b) Notwithstanding Subsection (9)(a), a county board of equalization may not require
             1680      an owner of property described in Subsection 59-2-1101 (3)[(d) or (e)](a)(iv) or (v) to file an
             1681      application under Subsection (9)(a) if:


             1682          (i) (A) the owner filed an application under Subsection (9)(a); or
             1683          (B) the county board of equalization waived the application requirements in accordance
             1684      with Subsection (3)(b);
             1685          (ii) the county board of equalization determines that the owner may claim an
             1686      exemption for that property; and
             1687          (iii) the exemption described in Subsection (9)(b)(ii) is in effect.
             1688          (c) (i) Except as provided in Subsection (3)(b), for the time period that an owner is
             1689      granted an exemption in accordance with this section for property described in Subsection
             1690      59-2-1101 (3)[(d) or (e)](a)(iv) or (v), a county board of equalization shall require the owner to
             1691      file an annual statement on a form prescribed by the commission establishing that the property
             1692      continues to be eligible for the exemption.
             1693          (ii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
             1694      commission shall make rules providing:
             1695          (A) the form for the annual statement required by Subsection (9)(c)(i);
             1696          (B) the contents of the form for the annual statement required by Subsection (9)(c)(i);
             1697      and
             1698          (C) procedures and requirements for making the annual statement required by
             1699      Subsection (9)(c)(i).
             1700          (iii) The commission shall make the form described in Subsection (9)(c)(ii)(A)
             1701      available to counties.
             1702          (10) (a) For purposes of this Subsection (10), "exclusive use exemption" is as defined
             1703      in Section 59-2-1101 .
             1704          (b) (i) For purposes of Subsection (1)(a), and except as provided in Subsections
             1705      (10)(b)(ii) and (iii), when a person acquires property on or after January 1 that qualifies for an
             1706      exclusive use exemption, that person may apply for the exclusive use exemption on or before
             1707      the later of:
             1708          (A) the day set by rule as the deadline for filing a property tax exemption application;
             1709      or


             1710          (B) 30 days after the day on which the property is acquired.
             1711          (ii) Notwithstanding Subsection (10)(b)(i), a person who acquires property on or after
             1712      January 1, 2004, and before January 1, 2005, that qualifies for an exclusive use exemption, may
             1713      apply for the exclusive use exemption for the 2004 calendar year on or before September 30,
             1714      2005.
             1715          (iii) Notwithstanding Subsection (10)(b)(i), a person who acquires property on or after
             1716      January 1, 2005, and before January 1, 2006, that qualifies for an exclusive use exemption, may
             1717      apply for the exclusive use exemption for the 2005 calendar year on or before the later of:
             1718          (A) September 30, 2005; or
             1719          (B) 30 days after the day on which the property is acquired.
             1720          (11) (a) Notwithstanding Subsection (1)(c), if an application for an exemption is filed
             1721      under Subsection (10), a county board of equalization shall send a copy of the decision
             1722      described in Subsection (1)(c) to the person applying for the exemption on or before the later
             1723      of:
             1724          (i) May 15; or
             1725          (ii) 45 days after the day on which the application for the exemption is filed.
             1726          (b) Notwithstanding Subsection (6), if an application for an exemption is filed under
             1727      Subsection (10), a county board of equalization shall hold the hearing and render the decision
             1728      described in Subsection (6) on or before the later of:
             1729          (i) May 1; or
             1730          (ii) 30 days after the day on which the application for the exemption is filed.
             1731          Section 33. Section 59-7-102 is amended to read:
             1732           59-7-102. Exemptions.
             1733          (1) Except as provided in this section, the following are exempt from a tax under this
             1734      chapter:
             1735          (a) an organization exempt under Section 501, Internal Revenue Code;
             1736          (b) an organization exempt under Section 528, Internal Revenue Code;
             1737          (c) an insurance company that is otherwise taxed on the insurance company's premiums


             1738      under Chapter 9, Taxation of Admitted Insurers;
             1739          (d) a local building authority as defined in Section [ 17A-3-902 ] 17D-2-102 ;
             1740          (e) a farmers' cooperative; or
             1741          (f) a public agency, as defined in Section 11-13-103 , with respect to or as a result of an
             1742      ownership interest in:
             1743          (i) a project, as defined in Section 11-13-103 ; or
             1744          (ii) facilities providing additional project capacity, as defined in Section 11-13-103 .
             1745          (2) Notwithstanding any other provision in this chapter or Chapter 8, Gross Receipts
             1746      Tax on Certain Corporations Not Required to Pay Corporate Franchise or Income Tax Act, a
             1747      person not otherwise subject to the tax imposed by this chapter or Chapter 8 is not subject to a
             1748      tax imposed by Section 59-7-104 , 59-7-201 , 59-7-701 , or 59-8-104 , because of:
             1749          (a) that person's ownership of tangible personal property located at the premises of a
             1750      printer's facility in this state with which the person has contracted for printing; or
             1751          (b) the activities of the person's employees or agents who are:
             1752          (i) located solely at the premises of a printer's facility; and
             1753          (ii) performing services:
             1754          (A) related to:
             1755          (I) quality control;
             1756          (II) distribution; or
             1757          (III) printing services; and
             1758          (B) performed by the printer's facility in this state with which the person has contracted
             1759      for printing.
             1760          (3) Notwithstanding Subsection (1), an organization, company, authority, farmers'
             1761      cooperative, or public agency exempt from this chapter under Subsection (1) is subject to Part
             1762      8, Unrelated Business Income, to the extent provided in Part 8.
             1763          (4) Notwithstanding Subsection (1)(b), to the extent the income of an organization
             1764      described in Subsection (1)(b) is taxable for federal tax purposes under Section 528, Internal
             1765      Revenue Code, the organization's income is also taxable under this chapter.


             1766          Section 34. Section 59-10-1310 is amended to read:
             1767           59-10-1310. Contribution to Cat and Dog Community Spay and Neuter Program
             1768      Restricted Account.
             1769          (1) Except as provided in Section 59-10-1304 , a resident or nonresident individual that
             1770      files an individual income tax return under this chapter may designate on the resident or
             1771      nonresident individual's individual income tax return a contribution as provided in this section
             1772      to be:
             1773          (a) deposited into the Cat and Dog Community Spay and Neuter Program Restricted
             1774      Account created by Section [ 26-48-102 ] 4-40-102 ; and
             1775          (b) distributed by the Department of Health as provided in Section [ 26-48-102 ]
             1776      4-40-102 .
             1777          (2) The commission shall:
             1778          (a) determine annually the total amount of contributions designated in accordance with
             1779      this section; and
             1780          (b) credit the amount described in Subsection (2)(a) to the Cat and Dog Community
             1781      Spay and Neuter Program Restricted Account created by Section [ 26-48-102 ] 4-40-102 .
             1782          Section 35. Section 59-12-301 is amended to read:
             1783           59-12-301. Transient room tax -- Rate -- Expenditure of revenues -- Enactment or
             1784      repeal of tax -- Tax rate change -- Effective date -- Notice requirements.
             1785          (1) (a) A county legislative body may impose a tax on charges for the accommodations
             1786      and services described in Subsection 59-12-103 (1)(i) at a rate of not to exceed 4.25%
             1787      beginning on or after October 1, 2006.
             1788          (b) Subject to Subsection (2), the revenues raised from the tax imposed under
             1789      Subsection (1)(a) shall be used for the purposes listed in Section 17-31-2 .
             1790          (c) The tax imposed under Subsection (1)(a) shall be in addition to the tax imposed
             1791      under Part 6, Tourism, Recreation, Cultural, [and] Convention, and Airport Facilities Tax.
             1792          (2) If a county legislative body of a county of the first class imposes a tax under this
             1793      section, beginning on July 1, 2007, and ending on June 30, 2027, each year the first 15% of the


             1794      revenues collected from the tax authorized by Subsection (1)(a) within that county shall be:
             1795          (a) deposited into the Transient Room Tax Fund created by Section 63M-1-2203 ; and
             1796          (b) expended as provided in Section 63M-1-2203 .
             1797          (3) Subject to Subsection (4), a county legislative body:
             1798          (a) may increase or decrease the tax authorized under this part; and
             1799          (b) shall regulate the tax authorized under this part by ordinance.
             1800          (4) (a) For purposes of this Subsection (4):
             1801          (i) "Annexation" means an annexation to a county under Title 17, Chapter 2,
             1802      [Annexation to] County Consolidations and Annexations.
             1803          (ii) "Annexing area" means an area that is annexed into a county.
             1804          (b) (i) Except as provided in Subsection (4)(c), if, on or after July 1, 2004, a county
             1805      enacts or repeals a tax or changes the rate of a tax under this part, the enactment, repeal, or
             1806      change shall take effect:
             1807          (A) on the first day of a calendar quarter; and
             1808          (B) after a 90-day period beginning on the date the commission receives notice meeting
             1809      the requirements of Subsection (4)(b)(ii) from the county.
             1810          (ii) The notice described in Subsection (4)(b)(i)(B) shall state:
             1811          (A) that the county will enact or repeal a tax or change the rate of a tax under this part;
             1812          (B) the statutory authority for the tax described in Subsection (4)(b)(ii)(A);
             1813          (C) the effective date of the tax described in Subsection (4)(b)(ii)(A); and
             1814          (D) if the county enacts the tax or changes the rate of the tax described in Subsection
             1815      (4)(b)(ii)(A), the rate of the tax.
             1816          (c) (i) Notwithstanding Subsection (4)(b)(i), for a transaction described in Subsection
             1817      (4)(c)(iii), the enactment of a tax or a tax rate increase shall take effect on the first day of the
             1818      first billing period:
             1819          (A) that begins after the effective date of the enactment of the tax or the tax rate
             1820      increase; and
             1821          (B) if the billing period for the transaction begins before the effective date of the


             1822      enactment of the tax or the tax rate increase imposed under this section.
             1823          (ii) Notwithstanding Subsection (4)(b)(i), for a transaction described in Subsection
             1824      (4)(c)(iii), the repeal of a tax or a tax rate decrease shall take effect on the first day of the last
             1825      billing period:
             1826          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             1827      and
             1828          (B) if the billing period for the transaction begins before the effective date of the repeal
             1829      of the tax or the tax rate decrease imposed under this section.
             1830          (iii) Subsections (4)(c)(i) and (ii) apply to transactions subject to a tax under
             1831      Subsection 59-12-103 (1)(i).
             1832          (d) (i) Except as provided in Subsection (4)(e), if, for an annexation that occurs on or
             1833      after July 1, 2004, the annexation will result in the enactment, repeal, or a change in the rate of
             1834      a tax under this part for an annexing area, the enactment, repeal, or change shall take effect:
             1835          (A) on the first day of a calendar quarter; and
             1836          (B) after a 90-day period beginning on the date the commission receives notice meeting
             1837      the requirements of Subsection (4)(d)(ii) from the county that annexes the annexing area.
             1838          (ii) The notice described in Subsection (4)(d)(i)(B) shall state:
             1839          (A) that the annexation described in Subsection (4)(d)(i) will result in an enactment,
             1840      repeal, or change in the rate of a tax under this part for the annexing area;
             1841          (B) the statutory authority for the tax described in Subsection (4)(d)(ii)(A);
             1842          (C) the effective date of the tax described in Subsection (4)(d)(ii)(A); and
             1843          (D) if the county enacts the tax or changes the rate of the tax described in Subsection
             1844      (4)(d)(ii)(A), the rate of the tax.
             1845          (e) (i) Notwithstanding Subsection (4)(d)(i), for a transaction described in Subsection
             1846      (4)(e)(iii), the enactment of a tax or a tax rate increase shall take effect on the first day of the
             1847      first billing period:
             1848          (A) that begins after the effective date of the enactment of the tax or the tax rate
             1849      increase; and


             1850          (B) if the billing period for the transaction begins before the effective date of the
             1851      enactment of the tax or the tax rate increase imposed under this section.
             1852          (ii) Notwithstanding Subsection (4)(d)(i), for a transaction described in Subsection
             1853      (4)(e)(iii), the repeal of a tax or a tax rate decrease shall take effect on the first day of the last
             1854      billing period:
             1855          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             1856      and
             1857          (B) if the billing period for the transaction begins before the effective date of the repeal
             1858      of the tax or the tax rate decrease imposed under this section.
             1859          (iii) Subsections (4)(e)(i) and (ii) apply to transactions subject to a tax under
             1860      Subsection 59-12-103 (1)(i).
             1861          Section 36. Section 59-13-102 is amended to read:
             1862           59-13-102. Definitions.
             1863          As used in this chapter:
             1864          (1) "Aviation fuel" means fuel that is sold at airports and used exclusively for the
             1865      operation of aircraft.
             1866          (2) "Clean fuel" means:
             1867          (a) the following special fuels:
             1868          (i) propane;
             1869          (ii) compressed natural gas;
             1870          (iii) liquified natural gas; or
             1871          (iv) electricity; or
             1872          (b) any motor or special fuel that meets the clean fuel vehicle standards in the federal
             1873      Clean Air Act Amendments of 1990, Title II.
             1874          (3) "Commission" means the State Tax Commission.
             1875          (4) (a) "Diesel fuel" means any liquid that is commonly or commercially known,
             1876      offered for sale, or used as a fuel in diesel engines.
             1877          (b) "Diesel fuel" includes any combustible liquid, by whatever name the liquid may be


             1878      known or sold, when the liquid is used in an internal combustion engine for the generation of
             1879      power to operate a motor vehicle licensed to operate on the highway, except fuel that is subject
             1880      to the tax imposed in Part 2, Motor Fuel, and Part 4, Aviation Fuel, of this chapter.
             1881          (5) "Distributor" means any person in this state who:
             1882          (a) imports or causes to be imported motor fuel for use, distribution, or sale, whether at
             1883      retail or wholesale;
             1884          (b) produces, refines, manufactures, or compounds motor fuel in this state for use,
             1885      distribution, or sale in this state;
             1886          (c) is engaged in the business of purchasing motor fuel for resale in wholesale
             1887      quantities to retail dealers of motor fuel and who accounts for his own motor fuel tax liability;
             1888      or
             1889          (d) for purposes of Part 4, Aviation Fuel, only, makes retail sales of aviation fuel to:
             1890          (i) federally certificated air carriers; and
             1891          (ii) other persons.
             1892          (6) "Dyed diesel fuel" means diesel fuel that is dyed in accordance with 26 U.S.C. Sec.
             1893      4082 or United States Environmental Protection Agency or Internal Revenue Service
             1894      regulations and that is considered destined for nontaxable off-highway use.
             1895          (7) "Exchange agreement" means an agreement between licensed suppliers where one
             1896      is a position holder in a terminal who agrees to deliver taxable special fuel to the other supplier
             1897      or the other supplier's customer at the loading rack of the terminal where the delivering supplier
             1898      holds an inventory position.
             1899          (8) "Federally certificated air carrier" means a person who holds a certificate issued by
             1900      the Federal Aviation Administration authorizing the person to conduct an all-cargo operation or
             1901      scheduled operation, as defined in 14 C.F.R. Sec. [119.3] 110.2.
             1902          (9) "Fuels" means any gas, liquid, solid, mixture, or other energy source which is
             1903      generally used in an engine or motor for the generation of power, including aviation fuel, clean
             1904      fuel, diesel fuel, motor fuel, and special fuel.
             1905          (10) "Highway" means every way or place, of whatever nature, generally open to the


             1906      use of the public for the purpose of vehicular travel notwithstanding that the way or place may
             1907      be temporarily closed for the purpose of construction, maintenance, or repair.
             1908          (11) "Motor fuel" means fuel that is commonly or commercially known or sold as
             1909      gasoline or gasohol and is used for any purpose, but does not include aviation fuel.
             1910          (12) "Motor fuels received" means:
             1911          (a) motor fuels that have been loaded at the refinery or other place into tank cars,
             1912      placed in any tank at the refinery from which any withdrawals are made directly into tank
             1913      trucks, tank wagons, or other types of transportation equipment, containers, or facilities other
             1914      than tank cars, or placed in any tank at the refinery from which any sales, uses, or deliveries not
             1915      involving transportation are made directly; or
             1916          (b) motor fuels that have been imported by any person into the state from any other
             1917      state or territory by tank car, tank truck, pipeline, or any other conveyance at the time when,
             1918      and the place where, the interstate transportation of the motor fuel is completed within the state
             1919      by the person who at the time of the delivery is the owner of the motor fuel.
             1920          (13) (a) "Qualified motor vehicle" means a special fuel-powered motor vehicle used,
             1921      designed, or maintained for transportation of persons or property which:
             1922          (i) has a gross vehicle weight or registered gross vehicle weight exceeding 26,000
             1923      pounds;
             1924          (ii) has three or more axles regardless of weight; or
             1925          (iii) is used in a combination of vehicles when the weight of the combination of
             1926      vehicles exceeds 26,000 pounds gross vehicle weight.
             1927          (b) "Qualified motor vehicle" does not include a recreational vehicle not used in
             1928      connection with any business activity.
             1929          (14) "Rack," as used in Part 3, Special Fuel, means a deck, platform, or open bay which
             1930      consists of a series of metered pipes and hoses for the delivery or removal of diesel fuel from a
             1931      refinery or terminal into a motor vehicle, rail car, or vessel.
             1932          (15) "Removal," as used in Part 3, Special Fuel, means the physical transfer of diesel
             1933      fuel from a production, manufacturing, terminal, or refinery facility and includes use of diesel


             1934      fuel. Removal does not include:
             1935          (a) loss by evaporation or destruction; or
             1936          (b) transfers between refineries, racks, or terminals.
             1937          (16) (a) "Special fuel" means any fuel regardless of name or character that:
             1938          (i) is usable as fuel to operate or propel a motor vehicle upon the public highways of
             1939      the state; and
             1940          (ii) is not taxed under the category of aviation or motor fuel.
             1941          (b) Special fuel includes:
             1942          (i) fuels that are not conveniently measurable on a gallonage basis; and
             1943          (ii) diesel fuel.
             1944          (17) "Supplier," as used in Part 3, Special Fuel, means a person who:
             1945          (a) imports or acquires immediately upon importation into this state diesel fuel from
             1946      within or without a state, territory, or possession of the United States or the District of
             1947      Columbia;
             1948          (b) produces, manufactures, refines, or blends diesel fuel in this state;
             1949          (c) otherwise acquires for distribution or sale in this state, diesel fuel with respect to
             1950      which there has been no previous taxable sale or use; or
             1951          (d) is in a two party exchange where the receiving party is deemed to be the supplier.
             1952          (18) "Terminal," as used in Part 3, Special Fuel, means a facility for the storage of
             1953      diesel fuel which is supplied by a motor vehicle, pipeline, or vessel and from which diesel fuel
             1954      is removed for distribution at a rack.
             1955          (19) "Two party exchange" means a transaction in which special fuel is transferred
             1956      between licensed suppliers pursuant to an exchange agreement.
             1957          (20) "Undyed diesel fuel" means diesel fuel that is not subject to the dyeing
             1958      requirements in accordance with 26 U.S.C. Sec. 4082 or United States Environmental
             1959      Protection Agency or Internal Revenue Service regulations.
             1960          (21) "Use," as used in Part 3, Special Fuel, means the consumption of special fuel for
             1961      the operation or propulsion of a motor vehicle upon the public highways of the state and


             1962      includes the reception of special fuel into the fuel supply tank of a motor vehicle.
             1963          (22) "User," as used in Part 3, Special Fuel, means any person who uses special fuel
             1964      within this state in an engine or motor for the generation of power to operate or propel a motor
             1965      vehicle upon the public highways of the state.
             1966          (23) "Ute tribal member" means an enrolled member of the Ute tribe.
             1967          (24) "Ute tribe" means the Ute Indian Tribe of the Uintah and Ouray Reservation.
             1968          (25) "Ute trust land" means the lands:
             1969          (a) of the Uintah and Ouray Reservation that are held in trust by the United States for
             1970      the benefit of:
             1971          (i) the Ute tribe;
             1972          (ii) an individual; or
             1973          (iii) a group of individuals; or
             1974          (b) specified as trust land by agreement between the governor and the Ute tribe meeting
             1975      the requirements of Subsections 59-13-201.5 (3) and 59-13-301.5 (3).
             1976          Section 37. Section 61-1-106 is amended to read:
             1977           61-1-106. Award for reporter.
             1978          (1) Subject to Section 61-1-108 and the other provisions of this section, the
             1979      commission may award an award to one or more reporters who voluntarily provide original
             1980      information to the commission or division that leads to the successful enforcement of a covered
             1981      judicial or administrative action.
             1982          (2) The division shall pay an award under this section from the fund.
             1983          (3) (a) Subject to the other provisions of this section, the commission may determine
             1984      the amount of award paid under this section, except that in determining the amount the
             1985      commission shall consider:
             1986          (i) the significance of the original information provided by the reporter to the success
             1987      of the covered judicial or administrative action;
             1988          (ii) the degree of assistance provided by the reporter in relation to the covered judicial
             1989      or administrative action;


             1990          (iii) any costs of legal representation for the reporter in relation to the covered judicial
             1991      or administrative action;
             1992          (iv) the programmatic interest of the commission in deterring a violation of this chapter
             1993      by making an award to a reporter who provides original information that leads to the successful
             1994      enforcement of this chapter; and
             1995          (v) any other relevant factor that the division may establish by rule.
             1996          (b) The aggregate amount of awards that the commission may award for a specific
             1997      covered judicial or administrative action may not exceed:
             1998          (i) the balance in the fund as of the date the awards are determined; or
             1999          (ii) 30%, in total, of what is collected of the monetary sanction imposed in the judicial
             2000      or administrative action.
             2001          (4) The commission may not award a reporter under this section if the reporter:
             2002          (a) is convicted of a criminal violation related to the covered judicial or administrative
             2003      action for which the reporter otherwise could receive an award;
             2004          (b) gains the original information through the performance of an audit of financial
             2005      statements required under securities laws and for whom providing the original information
             2006      would violate 15 U.S.C. Sec. 78j-1;
             2007          (c) fails to provide the original information to the commission or division in
             2008      accordance with Section 61-1-103 ;
             2009          (d) knowingly or recklessly makes a false, fictitious, or fraudulent statement or
             2010      misrepresentation;
             2011          (e) uses a false writing or document knowing that, or with reckless disregard as to
             2012      whether, the writing or document contains false, fictitious, or fraudulent information;
             2013          (f) knows that, or has a reckless disregard as to whether, the disclosure is of original
             2014      information that is false or frivolous;
             2015          (g) has a legal duty to report the original information to the commission or division; or
             2016          (h) the employer or entity in the covered judicial or administrative action that relates to
             2017      the information provided by the reporter is subject to the jurisdiction of the Securities and


             2018      Exchange Commission under Section 21F of the Securities Exchange Act, 15 U.S.C. Sec.
             2019      78u-6, and regulations issued under [this] that section.
             2020          Section 38. Section 61-2c-402 is amended to read:
             2021           61-2c-402. Disciplinary action.
             2022          (1) Subject to the requirements of Section 61-2c-402.1 , the commission, with the
             2023      concurrence of the division, may impose a sanction described in Subsection (2) against a
             2024      person if the person:
             2025          (a) (i) is a licensee or person required to be licensed under this chapter; and
             2026          (ii) violates this chapter; or
             2027          (b) (i) is a certified education provider or person required to be certified to provide
             2028      prelicensing or continuing education under this chapter; and
             2029          (ii) violates this chapter.
             2030          (2) The commission, with the concurrence of the director, may against a person
             2031      described in Subsection (1):
             2032          (a) impose an educational requirement;
             2033          (b) impose a civil penalty against the individual or entity in an amount not to exceed
             2034      the greater of:
             2035          (i) $5,000 for each violation; or
             2036          (ii) the amount equal to any gain or economic benefit derived from each violation;
             2037          (c) deny an application for an original license;
             2038          (d) do any of the following to a license under this chapter:
             2039          (i) suspend;
             2040          (ii) revoke;
             2041          (iii) place on probation;
             2042          (iv) deny renewal;
             2043          (v) deny reinstatement; or
             2044          (vi) in the case of a denial of a license or a suspension that extends to the expiration
             2045      date of a license, set a waiting period for a person to apply for a license under this chapter;


             2046          (e) issue a cease and desist order;
             2047          (f) require the reimbursement of the division of costs incurred by the division related to
             2048      the recovery, storage, or destruction of a record that the person disposes of in a manner that
             2049      violates this chapter or a rule made under this chapter;
             2050          (g) modify a sanction described in Subsections (2)(a) through (f) if the commission
             2051      finds that the person complies with court ordered restitution; or
             2052          (h) impose any combination of sanctions described in this Subsection (2).
             2053          (3) (a) If the commission, with the concurrence of the division, issues an order that
             2054      orders a fine or educational requirements as part of a disciplinary action against a person,
             2055      including a stipulation and order, the commission shall state in the order the deadline by which
             2056      the person shall comply with the fine or educational requirements.
             2057          (b) If a person fails to comply with a stated deadline:
             2058          (i) the person's license or certificate is automatically suspended:
             2059          (A) beginning the day specified in the order as the deadline for compliance; and
             2060          (B) ending the day on which the person complies in full with the order; and
             2061          (ii) if the person fails to pay a fine required by an order, the division may begin a
             2062      collection process:
             2063          (A) established by the division by rule made in accordance with Title 63G, Chapter 3,
             2064      Utah Administrative Rulemaking Act; and
             2065          (B) subject to Title 63A, Chapter [8,] 3, Part 5, Office of State Debt Collection.
             2066          (4) (a) A person whose license was revoked under this chapter before May 11, 2010,
             2067      may request that the revocation be converted to a suspension under this Subsection (4):
             2068          (i) if the revocation was not as a result of a felony conviction involving fraud,
             2069      misrepresentation, deceit, dishonesty, breach of trust, or money laundering; and
             2070          (ii) by filing a written request with the division.
             2071          (b) Upon receipt of a request to convert a revocation under this Subsection (4), the
             2072      commission, with the concurrence of the director, shall determine whether to convert the
             2073      revocation.


             2074          (c) The commission may delegate to the division the authority to make a decision on
             2075      whether to convert a revocation.
             2076          (d) If the division, acting under Subsection (4)(c), denies a request to convert a
             2077      revocation, the person who requests the conversion may appeal the decision in a hearing
             2078      conducted by the commission:
             2079          (i) after the division denies the request to convert the revocation; and
             2080          (ii) in accordance with Title 63G, Chapter 4, Administrative Procedures Act.
             2081          (e) The commission may delegate to the division or an administrative law judge the
             2082      authority to conduct a hearing described in Subsection (4)(d).
             2083          Section 39. Section 61-2e-402 is amended to read:
             2084           61-2e-402. Enforcement -- Immunity for board.
             2085          (1) (a) The board may order disciplinary action, with the concurrence of the division,
             2086      against:
             2087          (i) an entity registered under this chapter;
             2088          (ii) an entity required to be registered under this chapter; or
             2089          (iii) a controlling person of an entity described in this Subsection (1)(a).
             2090          (b) If the board, with the concurrence of the division, makes a finding described in
             2091      Subsection (2) pursuant to an adjudicative proceeding conducted in accordance with Title 63G,
             2092      Chapter 4, Administrative Procedures Act, the board, with the concurrence of the division,
             2093      may:
             2094          (i) revoke, suspend, or place an entity's registration on probation;
             2095          (ii) deny an entity's original registration;
             2096          (iii) deny an entity's renewal registration;
             2097          (iv) in the case of denial or revocation of a registration, set a waiting period for an
             2098      applicant to apply for a registration under this chapter;
             2099          (v) order remedial education;
             2100          (vi) impose a civil penalty upon a person not to exceed the greater of:
             2101          (A) $5,000 for each violation; or


             2102          (B) the amount of any gain or economic benefit from a violation;
             2103          (vii) issue a cease and desist order; or
             2104          (viii) do a combination of Subsections (1)(b)(i) through (vii).
             2105          (2) Subsection (1) applies if the board finds, with the concurrence of the division, that a
             2106      person has engaged in, is attempting to, or has attempted to engage in:
             2107          (a) an act that violates this chapter;
             2108          (b) an act that violates a rule made under this chapter;
             2109          (c) procuring a registration for the person or another person by fraud,
             2110      misrepresentation, or deceit;
             2111          (d) paying money or attempting to pay money other than a fee provided for by this
             2112      chapter to an employee of the division to procure a registration under this chapter;
             2113          (e) an act or omission in the business of an appraisal management company that
             2114      constitutes dishonesty, fraud, or misrepresentation;
             2115          (f) unprofessional conduct as defined by statute or rule; or
             2116          (g) other conduct that constitutes dishonest dealing.
             2117          (3) (a) If the board, with the concurrence of the director, issues an order that orders a
             2118      fine or remedial education as part of a disciplinary action against a person, including a
             2119      stipulation and order, the board shall state in the order the deadline by which the person shall
             2120      comply with the fine or remedial education requirements.
             2121          (b) If a person fails to comply by the stated deadline, the person's registration shall be
             2122      immediately and automatically suspended:
             2123          (i) beginning the day specified in the order as the deadline for compliance; and
             2124          (ii) ending the day on which the person complies in full with the order.
             2125          (c) If a person fails to pay a fine required by an order, the division shall begin a
             2126      collection process:
             2127          (i) established by the division by rule made in accordance with Title 63G, Chapter 3,
             2128      Utah Administrative Rulemaking Act; and
             2129          (ii) subject to Title 63A, Chapter [8,] 3, Part 5, Office of State Debt Collection.


             2130          (4) To the extent permitted by federal law, the board, with the concurrence of the
             2131      division, may bring a disciplinary proceeding under this chapter for a violation of 15 U.S.C.
             2132      Sec. 1639e(i).
             2133          (5) A member of the board is immune from a civil action or criminal prosecution for a
             2134      disciplinary proceeding under this chapter if:
             2135          (a) the action is taken without malicious intent; and
             2136          (b) in the reasonable belief that the action taken was taken pursuant to the powers and
             2137      duties vested in a member of the board under this chapter.
             2138          Section 40. Section 61-2f-404 is amended to read:
             2139           61-2f-404. Disciplinary action -- Judicial review.
             2140          (1) (a) On the basis of a violation of this chapter, the commission with the concurrence
             2141      of the director, may issue an order:
             2142          (i) imposing an educational requirement;
             2143          (ii) imposing a civil penalty not to exceed the greater of:
             2144          (A) $5,000 for each violation; or
             2145          (B) the amount of any gain or economic benefit derived from each violation;
             2146          (iii) taking any of the following actions related to a license, registration, or certificate:
             2147          (A) revoking;
             2148          (B) suspending;
             2149          (C) placing on probation;
             2150          (D) denying the renewal, reinstatement, or application for an original license,
             2151      registration, or certificate; or
             2152          (E) in the case of denial or revocation of a license, registration, or certificate, setting a
             2153      waiting period for an applicant to apply for a license, registration, or certificate under this title;
             2154          (iv) issuing a cease and desist order;
             2155          (v) modifying an action described in Subsections (1)(a)(i) through (iv) if the
             2156      commission finds that the person complies with court ordered restitution; or
             2157          (vi) doing any combination of Subsections (1)(a)(i) through (v).


             2158          (b) (i) If the commission with the concurrence of the director issues an order that
             2159      orders a fine or educational requirements as part of a disciplinary action against a person,
             2160      including a stipulation and order, the commission shall state in the order the deadline by which
             2161      the person shall comply with the fine or educational requirements.
             2162          (ii) If a person fails to comply by the stated deadline:
             2163          (A) the person's license, registration, or certificate is automatically suspended:
             2164          (I) beginning the day specified in the order as the deadline for compliance; and
             2165          (II) ending the day on which the person complies in full with the order; and
             2166          (B) if the person fails to pay a fine required by an order, the division may begin a
             2167      collection process:
             2168          (I) established by the division, with the concurrence of the commission, by rule made
             2169      in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act; and
             2170          (II) subject to Title 63A, Chapter [8,] 3, Part 5, Office of State Debt Collection.
             2171          (c) If a licensee is an active sales agent or active associate broker, the division shall
             2172      inform the principal broker with whom the licensee is affiliated of the charge and of the time
             2173      and place of any hearing.
             2174          (2) (a) An applicant, certificate holder, licensee, registrant, or person aggrieved,
             2175      including the complainant, may obtain agency review by the executive director and judicial
             2176      review of any adverse ruling, order, or decision of the division.
             2177          (b) If an applicant, certificate holder, registrant, or licensee prevails in the appeal and
             2178      the court finds that the state action was undertaken without substantial justification, the court
             2179      may award reasonable litigation expenses to the applicant, certificate holder, registrant, or
             2180      licensee as provided under Title 78B, Chapter 8, Part 5, Small Business Equal Access to
             2181      Justice Act.
             2182          (c) (i) An order, ruling, or decision of the division shall take effect and become
             2183      operative 30 days after the service of the order, ruling, or decision unless otherwise provided in
             2184      the order.
             2185          (ii) If an appeal is taken by a licensee, registrant, or certificate holder, the division may


             2186      stay enforcement of an order, ruling, or decision in accordance with Section 63G-4-405 .
             2187          (iii) An appeal is governed by the Utah Rules of Appellate Procedure.
             2188          (3) The commission and the director shall comply with the procedures and
             2189      requirements of Title 63G, Chapter 4, Administrative Procedures Act, in an adjudicative
             2190      proceeding.
             2191          Section 41. Section 61-2g-502 is amended to read:
             2192           61-2g-502. Disciplinary action -- Grounds.
             2193          (1) (a) The board may order disciplinary action, with the concurrence of the division,
             2194      against a person:
             2195          (i) registered, licensed, or certified under this chapter; or
             2196          (ii) required to be registered, licensed, or certified under this chapter.
             2197          (b) On the basis of a ground listed in Subsection (2) for disciplinary action, board
             2198      action may include:
             2199          (i) revoking, suspending, or placing a person's registration, license, or certification on
             2200      probation;
             2201          (ii) denying a person's original registration, license, or certification;
             2202          (iii) denying a person's renewal license, certification, or registration;
             2203          (iv) in the case of denial or revocation of a registration, license, or certification, setting
             2204      a waiting period for an applicant to apply for a registration, license, or certification under this
             2205      chapter;
             2206          (v) ordering remedial education;
             2207          (vi) imposing a civil penalty upon a person not to exceed the greater of:
             2208          (A) $5,000 for each violation; or
             2209          (B) the amount of any gain or economic benefit from a violation;
             2210          (vii) issuing a cease and desist order;
             2211          (viii) modifying an action described in Subsections (1)(b)(i) through (vii) if the board,
             2212      with the concurrence of the division, finds that the person complies with court ordered
             2213      restitution; or


             2214          (ix) doing any combination of Subsections (1)(b)(i) through (viii).
             2215          (c) (i) If the board or division issues an order that orders a fine or educational
             2216      requirements as part of the disciplinary action against a person, including a stipulation and
             2217      order, the board or division shall state in the order the deadline by which the person shall
             2218      comply with the fine or educational requirements.
             2219          (ii) If a person fails to comply with a stated deadline:
             2220          (A) the person's license, certificate, or registration is automatically suspended:
             2221          (I) beginning on the day specified in the order as the deadline for compliance; and
             2222          (II) ending the day on which the person complies in full with the order; and
             2223          (B) if the person fails to pay a fine required by an order, the division may begin a
             2224      collection process:
             2225          (I) established by the division by rule made in accordance with Title 63G, Chapter 3,
             2226      Utah Administrative Rulemaking Act; and
             2227          (II) subject to Title 63A, Chapter [8,] 3, Part 5, Office of State Debt Collection.
             2228          (2) The following are grounds for disciplinary action under this section:
             2229          (a) procuring or attempting to procure a registration, license, or certification under this
             2230      chapter:
             2231          (i) by fraud; or
             2232          (ii) by making a false statement, submitting false information, or making a material
             2233      misrepresentation in an application filed with the division;
             2234          (b) paying money or attempting to pay money other than a fee provided for by this
             2235      chapter to a member or employee of the division to procure a registration, license, or
             2236      certification under this chapter;
             2237          (c) an act or omission in the practice of real estate appraising that constitutes
             2238      dishonesty, fraud, or misrepresentation;
             2239          (d) entry of a judgment against a registrant, licensee, or certificate holder on grounds of
             2240      fraud, misrepresentation, or deceit in the making of an appraisal of real estate;
             2241          (e) a guilty plea to a criminal offense involving moral turpitude that is held in


             2242      abeyance, or a conviction, including a conviction based upon a plea of guilty or nolo
             2243      contendere, of a criminal offense involving moral turpitude;
             2244          (f) engaging in the business of real estate appraising under an assumed or fictitious
             2245      name not properly registered in this state;
             2246          (g) paying a finder's fee or a referral fee to a person not licensed or certified under this
             2247      chapter in connection with an appraisal of real estate or real property in this state;
             2248          (h) making a false or misleading statement in:
             2249          (i) that portion of a written appraisal report that deals with professional qualifications;
             2250      or
             2251          (ii) testimony concerning professional qualifications;
             2252          (i) violating or disregarding:
             2253          (i) this chapter;
             2254          (ii) an order of:
             2255          (A) the board; or
             2256          (B) the division, in a case when the board delegates to the division the authority to
             2257      make a decision on behalf of the board; or
             2258          (iii) a rule issued under this chapter;
             2259          (j) violating the confidential nature of governmental records to which a person
             2260      registered, licensed, certified, or approved as an expert under this chapter gained access
             2261      through employment or engagement as an appraiser by a governmental agency;
             2262          (k) accepting a contingent fee for performing an appraisal if in fact the fee is or was
             2263      contingent upon:
             2264          (i) the appraiser reporting a predetermined analysis, opinion, or conclusion;
             2265          (ii) the analysis, opinion, conclusion, or valuation reached; or
             2266          (iii) the consequences resulting from the appraisal assignment;
             2267          (l) unprofessional conduct as defined by statute or rule;
             2268          (m) in the case of a dual licensed title licensee as defined in Section 31A-2-402 :
             2269          (i) providing a title insurance product or service without the approval required by


             2270      Section 31A-2-405 ; or
             2271          (ii) knowingly providing false or misleading information in the statement required by
             2272      Subsection 31A-2-405 (2); or
             2273          (n) other conduct that constitutes dishonest dealing.
             2274          Section 42. Section 62A-5-104 is amended to read:
             2275           62A-5-104. Director -- Qualifications -- Responsibilities.
             2276          (1) The director of the division shall be appointed by the executive director.
             2277          (2) The director shall have a bachelor's degree from an accredited university or college,
             2278      be experienced in administration, and be knowledgeable in developmental disabilities,
             2279      intellectual [disability] disabilities, and other disabilities.
             2280          (3) The director is the administrative head of the division.
             2281          (4) The director shall appoint the superintendent of the developmental center and the
             2282      necessary and appropriate administrators for other facilities operated by the division with the
             2283      concurrence of the executive director.
             2284          Section 43. Section 62A-11-104 is amended to read:
             2285           62A-11-104. Duties of office.
             2286          (1) The office has the following duties:
             2287          (a) except as provided in Subsection (2), to provide child support services if:
             2288          (i) the office has received an application for child support services;
             2289          (ii) the state has provided public assistance; or
             2290          (iii) a child lives out of the home in the protective custody, temporary custody, or
             2291      custody or care of the state;
             2292          (b) to carry out the obligations of the department contained in this chapter and in Title
             2293      78B, [Chapters] Chapter 12, Utah Child Support Act[, Chapter 15, Utah Uniform Parentage
             2294      Act, and]; Chapter 14, Uniform Interstate Family Support Act[,]; and Chapter 15, Utah
             2295      Uniform Parentage Act, for the purpose of collecting child support;
             2296          (c) to collect money due the department which could act to offset expenditures by the
             2297      state;


             2298          (d) to cooperate with the federal government in programs designed to recover health
             2299      and social service funds;
             2300          (e) to collect civil or criminal assessments, fines, fees, amounts awarded as restitution,
             2301      and reimbursable expenses owed to the state or any of its political subdivisions, if the office
             2302      has contracted to provide collection services;
             2303          (f) to implement income withholding for collection of child support in accordance with
             2304      Part 4, Income Withholding in IV-D Cases, of this chapter;
             2305          (g) to enter into agreements with financial institutions doing business in the state to
             2306      develop and operate, in coordination with such financial institutions, a data match system in the
             2307      manner provided for in Section 62A-11-304.5 ;
             2308          (h) to establish and maintain the state case registry in the manner required by the Social
             2309      Security Act, 42 U.S.C. Sec. 654a, which shall include a record in each case of:
             2310          (i) the amount of monthly or other periodic support owed under the order, and other
             2311      amounts, including arrearages, interest, late payment penalties, or fees, due or overdue under
             2312      the order;
             2313          (ii) any amount described in Subsection (1)(h)(i) that has been collected;
             2314          (iii) the distribution of collected amounts;
             2315          (iv) the birth date of any child for whom the order requires the provision of support;
             2316      and
             2317          (v) the amount of any lien imposed with respect to the order pursuant to this part;
             2318          (i) to contract with the Department of Workforce Services to establish and maintain the
             2319      new hire registry created under Section 35A-7-103 ;
             2320          (j) to determine whether an individual who has applied for or is receiving cash
             2321      assistance or Medicaid is cooperating in good faith with the office as required by Section
             2322      62A-11-307.2 ;
             2323          (k) to finance any costs incurred from collections, fees, General Fund appropriation,
             2324      contracts, and federal financial participation; and
             2325          (l) to provide notice to a noncustodial parent in accordance with Section 62A-11-304.4


             2326      of the opportunity to contest the accuracy of allegations by a custodial parent of nonpayment of
             2327      past-due child support, prior to taking action against a noncustodial parent to collect the alleged
             2328      past-due support.
             2329          (2) The office may not provide child support services to the Division of Child and
             2330      Family Services for a calendar month when the child to whom the child support services relate
             2331      is:
             2332          (a) in the custody of the Division of Child and Family Services; and
             2333          (b) lives in the home of a custodial parent of the child for more than seven consecutive
             2334      days, regardless of whether:
             2335          (i) the greater than seven consecutive day period starts during one month and ends in
             2336      the next month; and
             2337          (ii) the child is living in the home on a trial basis.
             2338          (3) The Division of Child and Family Services is not entitled to child support, for a
             2339      child to whom the child support relates, for a calendar month when child support services may
             2340      not be provided under Subsection (2).
             2341          Section 44. Section 63A-2-401 is amended to read:
             2342           63A-2-401. State surplus property program -- Definitions -- Administration.
             2343          (1) As used in this part, "agency" means:
             2344          (a) the Utah Departments of Administrative Services, Agriculture and Food, Alcoholic
             2345      Beverage Control, Commerce, Community and Culture, Corrections, Workforce Services,
             2346      Health, Human Resource Management, Human Services, Insurance, Natural Resources, Public
             2347      Safety, Technology Services, and Transportation and the Labor Commission;
             2348          (b) the Utah Offices of the Auditor, Attorney General, Court Administrator, Utah
             2349      Office for Victims of Crime, Rehabilitation, and Treasurer;
             2350          (c) the Public Service Commission and State Tax Commission;
             2351          (d) the State Boards of Education, Pardons and Parole, and Regents;
             2352          (e) the Career Service Review Office;
             2353          (f) other state agencies designated by the governor;


             2354          (g) the legislative branch, the judicial branch, and the State Board of Regents; and
             2355          (h) an institution of higher education, its president, and its board of trustees for
             2356      purposes of Section 63A-2-402 .
             2357          (2) (a) The division shall make rules establishing a state surplus property program that
             2358      meets the requirements of this chapter by following the procedures and requirements of Title
             2359      63G, Chapter 3, Utah Administrative Rulemaking Act.
             2360          (b) The rules shall include:
             2361          (i) a requirement prohibiting the transfer of surplus property from one agency to
             2362      another agency without written approval from the division;
             2363          (ii) procedures and requirements governing division administration requirements that
             2364      an agency must follow;
             2365          (iii) requirements governing purchase priorities;
             2366          (iv) requirements governing accounting, reimbursement, and payment procedures;
             2367          (v) procedures for collecting bad debts;
             2368          (vi) requirements and procedures for disposing of firearms;
             2369          (vii) the elements of the rates or other charges assessed by the division for services and
             2370      handling;
             2371          (viii) procedures governing the timing and location of public sales of inventory
             2372      property; and
             2373          (ix) procedures governing the transfer of information technology equipment by state
             2374      agencies directly to public schools.
             2375          (c) The division shall report all transfers of information technology equipment by state
             2376      agencies to public schools to the legislative [Interim] Education Interim Committee at the end
             2377      of each fiscal year.
             2378          (3) In creating and administering the program, the division shall:
             2379          (a) when conditions, inventory, and demand permit:
             2380          (i) establish facilities to store inventory property at geographically dispersed locations
             2381      throughout the state; and


             2382          (ii) hold public sales of property at geographically dispersed locations throughout the
             2383      state;
             2384          (b) establish, after consultation with the agency requesting the sale of surplus property,
             2385      the price at which the surplus property shall be sold; and
             2386          (c) transfer proceeds arising from the sale of state surplus property to the agency
             2387      requesting the sale in accordance with Title 63J, Chapter 1, Budgetary Procedures Act, less a
             2388      fee approved in accordance with Sections 63A-1-114 and 63J-1-410 , to pay the costs of
             2389      administering the surplus property program.
             2390          (4) Unless specifically exempted from this part by explicit reference to this part, each
             2391      state agency shall dispose of and acquire surplus property only by participating in the division's
             2392      program.
             2393          Section 45. Section 63C-4-106 is amended to read:
             2394           63C-4-106. Evaluation of federal law and policy -- Response.
             2395          (1) As used in this chapter:
             2396          (a) "Federal governmental entity" means:
             2397          (i) the President of the United States;
             2398          (ii) the United States Congress;
             2399          (iii) a United States agency; or
             2400          (iv) an employee or official appointed by the President of the United States.
             2401          (b) "Federal law" means:
             2402          (i) an executive order by the President of the United States;
             2403          (ii) a statute passed by the United States Congress;
             2404          (iii) a regulation adopted by a United States agency; or
             2405          (iv) a policy statement, guidance, or action by:
             2406          (A) a United States agency; or
             2407          (B) an employee or official appointed by the President of the United States.
             2408          (c) "United States agency" means a department, agency, authority, commission,
             2409      council, board, office, bureau, or other administrative unit of the executive branch of the


             2410      United States government.
             2411          (2) In accordance with Section 63C-4-107 , the Federalism Subcommittee shall evaluate
             2412      a federal law submitted to the Federalism Subcommittee by a council member.
             2413          (3) The Federalism Subcommittee may request information regarding a federal law
             2414      under evaluation from a United States Senator or Representative elected from the state.
             2415          (4) If the Federalism Subcommittee finds that a federal law is not authorized by the
             2416      United States Constitution or violates the principle of federalism as described in Subsection
             2417      63C-4-107 (2), the Federalism Subcommittee chair may:
             2418          (a) request from a United States Senator or Representative elected from the state:
             2419          (i) information about the federal law; or
             2420          (ii) assistance in communicating with a federal governmental entity regarding the
             2421      federal law;
             2422          (b) (i) give written notice of the evaluation required by Subsection (2) to the federal
             2423      governmental entity responsible for adopting or administering the federal law; and
             2424          (ii) request a response by a specific date to the evaluation from the federal
             2425      governmental entity; and
             2426          (c) request a meeting, conducted in person or by electronic means, with the federal
             2427      governmental entity and a council member, a representative from another state, or a United
             2428      States Senator or Representative elected from the state to discuss the evaluation of federal law
             2429      and any possible remedy.
             2430          (5) The Federalism Subcommittee may recommend to the governor that the governor
             2431      call a special session of the Legislature to give the Legislature an opportunity to respond to the
             2432      subcommittee's evaluation of a federal law.
             2433          (6) The Federalism Subcommittee chair may coordinate the evaluation of and response
             2434      to federal law with another state as provided in Section [ 63G-4-108 ] 63C-4-108 .
             2435          (7) The Federalism Subcommittee shall submit a report by electronic mail that
             2436      summarizes action taken in accordance with this section to the Government Operations Interim
             2437      Committee on May 20 and October 20 of each year.


             2438          Section 46. Section 63E-1-102 is amended to read:
             2439           63E-1-102. Definitions.
             2440          As used in this title:
             2441          (1) "Authorizing statute" means the statute creating an entity as an independent entity.
             2442          (2) "Committee" means the Retirement and Independent Entities Committee created in
             2443      Section 63E-1-201 .
             2444          (3) "Independent corporation" means a corporation incorporated in accordance with
             2445      Chapter 2, Independent Corporations Act.
             2446          (4) (a) "Independent entity" means an entity having a public purpose relating to the
             2447      state or its citizens that is individually created by the state or is given by the state the right to
             2448      exist and conduct its affairs as an:
             2449          (i) independent state agency; or
             2450          (ii) independent corporation.
             2451          (b) "Independent entity" includes the:
             2452          (i) Dairy Commission created in Title 4, Chapter 22, Dairy Promotion Act;
             2453          (ii) Heber Valley Historic Railroad Authority created in Title 63H, Chapter 4, Heber
             2454      Valley Historic Railroad Authority;
             2455          (iii) Utah State Railroad Museum Authority created in Title 63H, Chapter 5, Utah State
             2456      Railroad Museum Authority;
             2457          (iv) Utah Science Center Authority created in Title 63H, Chapter 3, Utah Science
             2458      Center Authority;
             2459          (v) Utah Housing Corporation created in Title 9, Chapter 4, Part 9, Utah Housing
             2460      Corporation Act;
             2461          (vi) Utah State Fair Corporation created in Title 63H, Chapter 6, Utah State Fair
             2462      Corporation Act;
             2463          (vii) Workers' Compensation Fund created in Title 31A, Chapter 33, Workers'
             2464      Compensation Fund;
             2465          (viii) Utah State Retirement Office created in Title 49, Chapter 11, Utah State


             2466      Retirement Systems Administration;
             2467          (ix) School and Institutional Trust Lands Administration created in Title 53C, Chapter
             2468      1, Part 2, School and Institutional Trust Lands Administration;
             2469          (x) Utah Communications Agency Network created in Title 63C, Chapter 7, Utah
             2470      Communications Agency Network Act;
             2471          (xi) Utah Generated Renewable Energy Electricity Network Authority created in Title
             2472      63H, Chapter 2, Utah Generated Renewable Energy Electricity Network Authority Act; and
             2473          (xii) Utah Capital Investment Corporation created in Title 63M, Chapter 1, Part 12,
             2474      Utah Venture Capital Enhancement Act.
             2475          (c) Notwithstanding this Subsection (4), "independent entity" does not include:
             2476          (i) the Public Service Commission of Utah created in Section 54-1-1 ;
             2477          (ii) an institution within the state system of higher education;
             2478          (iii) a city, county, or town;
             2479          (iv) a local school district;
             2480          (v) a local district under Title 17B, Limited Purpose Local Government Entities - Local
             2481      Districts; or
             2482          (vi) a special service district under Title 17D, Chapter 1, Special Service District Act.
             2483          (5) "Independent state agency" means an entity that is created by the state, but is
             2484      independent of the governor's direct supervisory control.
             2485          (6) "Money held in trust" means money maintained for the benefit of:
             2486          (a) one or more private individuals, including public employees;
             2487          (b) one or more public or private entities; or
             2488          (c) the owners of a quasi-public corporation.
             2489          (7) "Public corporation" means an artificial person, public in ownership, individually
             2490      created by the state as a body politic and corporate for the administration of a public purpose
             2491      relating to the state or its citizens.
             2492          (8) "Quasi-public corporation" means an artificial person, private in ownership,
             2493      individually created as a corporation by the state which has accepted from the state the grant of


             2494      a franchise or contract involving the performance of a public purpose relating to the state or its
             2495      citizens.
             2496          Section 47. Section 63F-1-303 is amended to read:
             2497           63F-1-303. Executive branch agencies -- Subscription by institutions.
             2498          (1) An executive branch agency in accordance with its agency information technology
             2499      plan approved by the chief information officer shall:
             2500          (a) subscribe to the information technology services provided by the department; or
             2501          (b) contract with one or more alternate private providers of information technology
             2502      services if the chief information officer determines that the purchase of the services from a
             2503      private provider will:
             2504          (i) result in:
             2505          (A) cost savings;
             2506          (B) increased efficiency; or
             2507          (C) improved quality of services; and
             2508          (ii) not impair the interoperability of the state's information technology services.
             2509          (2) An institution of higher education may subscribe to the services provided by the
             2510      department if:
             2511          (a) the president of the institution recommends that the institution subscribe to the
             2512      services of the department; and
             2513          (b) the Board of Regents determines that subscription to the services of the department
             2514      will result in cost savings or increased efficiency to the institution.
             2515          (3) The following may subscribe to information technology services by requesting that
             2516      the services be provided from the department:
             2517          (a) the legislative branch;
             2518          (b) the judicial branch;
             2519          (c) the State Board of Education;
             2520          (d) a political subdivision of the state;
             2521          (e) an agency of the federal government;


             2522          (f) an independent entity as defined in Section 63E-1-102 ; and
             2523          (g) an elective constitutional officer of the executive department as defined in
             2524      Subsection 63F-1-102 [(7)](6)(b).
             2525          Section 48. Section 63G-2-103 is amended to read:
             2526           63G-2-103. Definitions.
             2527          As used in this chapter:
             2528          (1) "Audit" means:
             2529          (a) a systematic examination of financial, management, program, and related records
             2530      for the purpose of determining the fair presentation of financial statements, adequacy of
             2531      internal controls, or compliance with laws and regulations; or
             2532          (b) a systematic examination of program procedures and operations for the purpose of
             2533      determining their effectiveness, economy, efficiency, and compliance with statutes and
             2534      regulations.
             2535          (2) "Chronological logs" mean the regular and customary summary records of law
             2536      enforcement agencies and other public safety agencies that show:
             2537          (a) the time and general nature of police, fire, and paramedic calls made to the agency;
             2538      and
             2539          (b) any arrests or jail bookings made by the agency.
             2540          (3) "Classification," "classify," and their derivative forms mean determining whether a
             2541      record series, record, or information within a record is public, private, controlled, protected, or
             2542      exempt from disclosure under Subsection 63G-2-201 (3)(b).
             2543          (4) (a) "Computer program" means:
             2544          (i) a series of instructions or statements that permit the functioning of a computer
             2545      system in a manner designed to provide storage, retrieval, and manipulation of data from the
             2546      computer system; and
             2547          (ii) any associated documentation and source material that explain how to operate the
             2548      computer program.
             2549          (b) "Computer program" does not mean:


             2550          (i) the original data, including numbers, text, voice, graphics, and images;
             2551          (ii) analysis, compilation, and other manipulated forms of the original data produced by
             2552      use of the program; or
             2553          (iii) the mathematical or statistical formulas, excluding the underlying mathematical
             2554      algorithms contained in the program, that would be used if the manipulated forms of the
             2555      original data were to be produced manually.
             2556          (5) (a) "Contractor" means:
             2557          (i) any person who contracts with a governmental entity to provide goods or services
             2558      directly to a governmental entity; or
             2559          (ii) any private, nonprofit organization that receives funds from a governmental entity.
             2560          (b) "Contractor" does not mean a private provider.
             2561          (6) "Controlled record" means a record containing data on individuals that is controlled
             2562      as provided by Section 63G-2-304 .
             2563          (7) "Designation," "designate," and their derivative forms mean indicating, based on a
             2564      governmental entity's familiarity with a record series or based on a governmental entity's
             2565      review of a reasonable sample of a record series, the primary classification that a majority of
             2566      records in a record series would be given if classified and the classification that other records
             2567      typically present in the record series would be given if classified.
             2568          (8) "Elected official" means each person elected to a state office, county office,
             2569      municipal office, school board or school district office, local district office, or special service
             2570      district office, but does not include judges.
             2571          (9) "Explosive" means a chemical compound, device, or mixture:
             2572          (a) commonly used or intended for the purpose of producing an explosion; and
             2573          (b) that contains oxidizing or combustive units or other ingredients in proportions,
             2574      quantities, or packing so that:
             2575          (i) an ignition by fire, friction, concussion, percussion, or detonator of any part of the
             2576      compound or mixture may cause a sudden generation of highly heated gases; and
             2577          (ii) the resultant gaseous pressures are capable of:


             2578          (A) producing destructive effects on contiguous objects; or
             2579          (B) causing death or serious bodily injury.
             2580          (10) "Government audit agency" means any governmental entity that conducts an audit.
             2581          (11) (a) "Governmental entity" means:
             2582          (i) executive department agencies of the state, the offices of the governor, lieutenant
             2583      governor, state auditor, attorney general, and state treasurer, the Board of Pardons and Parole,
             2584      the Board of Examiners, the National Guard, the Career Service Review [Board] Office, the
             2585      State Board of Education, the State Board of Regents, and the State Archives;
             2586          (ii) the Office of the Legislative Auditor General, Office of the Legislative Fiscal
             2587      Analyst, Office of Legislative Research and General Counsel, the Legislature, and legislative
             2588      committees, except any political party, group, caucus, or rules or sifting committee of the
             2589      Legislature;
             2590          (iii) courts, the Judicial Council, the Office of the Court Administrator, and similar
             2591      administrative units in the judicial branch;
             2592          (iv) any state-funded institution of higher education or public education; or
             2593          (v) any political subdivision of the state, but, if a political subdivision has adopted an
             2594      ordinance or a policy relating to information practices pursuant to Section 63G-2-701 , this
             2595      chapter shall apply to the political subdivision to the extent specified in Section 63G-2-701 or
             2596      as specified in any other section of this chapter that specifically refers to political subdivisions.
             2597          (b) "Governmental entity" also means every office, agency, board, bureau, committee,
             2598      department, advisory board, or commission of an entity listed in Subsection (11)(a) that is
             2599      funded or established by the government to carry out the public's business.
             2600          (c) "Governmental entity" does not include the Utah Educational Savings Plan created
             2601      in Section 53B-8a-103 .
             2602          (12) "Gross compensation" means every form of remuneration payable for a given
             2603      period to an individual for services provided including salaries, commissions, vacation pay,
             2604      severance pay, bonuses, and any board, rent, housing, lodging, payments in kind, and any
             2605      similar benefit received from the individual's employer.


             2606          (13) "Individual" means a human being.
             2607          (14) (a) "Initial contact report" means an initial written or recorded report, however
             2608      titled, prepared by peace officers engaged in public patrol or response duties describing official
             2609      actions initially taken in response to either a public complaint about or the discovery of an
             2610      apparent violation of law, which report may describe:
             2611          (i) the date, time, location, and nature of the complaint, the incident, or offense;
             2612          (ii) names of victims;
             2613          (iii) the nature or general scope of the agency's initial actions taken in response to the
             2614      incident;
             2615          (iv) the general nature of any injuries or estimate of damages sustained in the incident;
             2616          (v) the name, address, and other identifying information about any person arrested or
             2617      charged in connection with the incident; or
             2618          (vi) the identity of the public safety personnel, except undercover personnel, or
             2619      prosecuting attorney involved in responding to the initial incident.
             2620          (b) Initial contact reports do not include follow-up or investigative reports prepared
             2621      after the initial contact report. However, if the information specified in Subsection (14)(a)
             2622      appears in follow-up or investigative reports, it may only be treated confidentially if it is
             2623      private, controlled, protected, or exempt from disclosure under Subsection 63G-2-201 (3)(b).
             2624          (15) "Legislative body" means the Legislature.
             2625          (16) "Notice of compliance" means a statement confirming that a governmental entity
             2626      has complied with a records committee order.
             2627          (17) "Person" means:
             2628          (a) an individual;
             2629          (b) a nonprofit or profit corporation;
             2630          (c) a partnership;
             2631          (d) a sole proprietorship;
             2632          (e) other type of business organization; or
             2633          (f) any combination acting in concert with one another.


             2634          (18) "Private provider" means any person who contracts with a governmental entity to
             2635      provide services directly to the public.
             2636          (19) "Private record" means a record containing data on individuals that is private as
             2637      provided by Section 63G-2-302 .
             2638          (20) "Protected record" means a record that is classified protected as provided by
             2639      Section 63G-2-305 .
             2640          (21) "Public record" means a record that is not private, controlled, or protected and that
             2641      is not exempt from disclosure as provided in Subsection 63G-2-201 (3)(b).
             2642          (22) (a) "Record" means a book, letter, document, paper, map, plan, photograph, film,
             2643      card, tape, recording, electronic data, or other documentary material regardless of physical form
             2644      or characteristics:
             2645          (i) that is prepared, owned, received, or retained by a governmental entity or political
             2646      subdivision; and
             2647          (ii) where all of the information in the original is reproducible by photocopy or other
             2648      mechanical or electronic means.
             2649          (b) "Record" does not mean:
             2650          (i) a personal note or personal communication prepared or received by an employee or
             2651      officer of a governmental entity in the employee's or officer's private capacity;
             2652          (ii) a temporary draft or similar material prepared for the originator's personal use or
             2653      prepared by the originator for the personal use of an individual for whom the originator is
             2654      working;
             2655          (iii) material that is legally owned by an individual in the individual's private capacity;
             2656          (iv) material to which access is limited by the laws of copyright or patent unless the
             2657      copyright or patent is owned by a governmental entity or political subdivision;
             2658          (v) proprietary software;
             2659          (vi) junk mail or a commercial publication received by a governmental entity or an
             2660      official or employee of a governmental entity;
             2661          (vii) a book that is cataloged, indexed, or inventoried and contained in the collections


             2662      of a library open to the public;
             2663          (viii) material that is cataloged, indexed, or inventoried and contained in the collections
             2664      of a library open to the public, regardless of physical form or characteristics of the material;
             2665          (ix) a daily calendar or other personal note prepared by the originator for the
             2666      originator's personal use or for the personal use of an individual for whom the originator is
             2667      working;
             2668          (x) a computer program that is developed or purchased by or for any governmental
             2669      entity for its own use;
             2670          (xi) a note or internal memorandum prepared as part of the deliberative process by:
             2671          (A) a member of the judiciary;
             2672          (B) an administrative law judge;
             2673          (C) a member of the Board of Pardons and Parole; or
             2674          (D) a member of any other body charged by law with performing a quasi-judicial
             2675      function;
             2676          (xii) a telephone number or similar code used to access a mobile communication
             2677      device that is used by an employee or officer of a governmental entity, provided that the
             2678      employee or officer of the governmental entity has designated at least one business telephone
             2679      number that is a public record as provided in Section 63G-2-301 ;
             2680          (xiii) information provided by the Public Employees' Benefit and Insurance Program,
             2681      created in Section 49-20-103 , to a county to enable the county to calculate the amount to be
             2682      paid to a health care provider under Subsection 17-50-319 (2)(e)(ii); or
             2683          (xiv) information that an owner of unimproved property provides to a local entity as
             2684      provided in Section 11-42-205 .
             2685          (23) "Record series" means a group of records that may be treated as a unit for
             2686      purposes of designation, description, management, or disposition.
             2687          (24) "Records committee" means the State Records Committee created in Section
             2688      63G-2-501 .
             2689          (25) "Records officer" means the individual appointed by the chief administrative


             2690      officer of each governmental entity, or the political subdivision to work with state archives in
             2691      the care, maintenance, scheduling, designation, classification, disposal, and preservation of
             2692      records.
             2693          (26) "Schedule," "scheduling," and their derivative forms mean the process of
             2694      specifying the length of time each record series should be retained by a governmental entity for
             2695      administrative, legal, fiscal, or historical purposes and when each record series should be
             2696      transferred to the state archives or destroyed.
             2697          (27) "Sponsored research" means research, training, and other sponsored activities as
             2698      defined by the federal Executive Office of the President, Office of Management and Budget:
             2699          (a) conducted:
             2700          (i) by an institution within the state system of higher education defined in Section
             2701      53B-1-102 ; and
             2702          (ii) through an office responsible for sponsored projects or programs; and
             2703          (b) funded or otherwise supported by an external:
             2704          (i) person that is not created or controlled by the institution within the state system of
             2705      higher education; or
             2706          (ii) federal, state, or local governmental entity.
             2707          (28) "State archives" means the Division of Archives and Records Service created in
             2708      Section 63A-12-101 .
             2709          (29) "State archivist" means the director of the state archives.
             2710          (30) "Summary data" means statistical records and compilations that contain data
             2711      derived from private, controlled, or protected information but that do not disclose private,
             2712      controlled, or protected information.
             2713          Section 49. Section 63G-2-702 is amended to read:
             2714           63G-2-702. Applicability to the judiciary.
             2715          (1) The judiciary is subject to the provisions of this chapter except as provided in this
             2716      section.
             2717          (2) (a) The judiciary is not subject to Part 4, Appeals, except as provided in Subsection


             2718      (5).
             2719          (b) The judiciary is not subject to [Parts] Part 5, State Records Committee, and Part 6,
             2720      Collection of Information and Accuracy of Records.
             2721          (c) The judiciary is subject to only the following sections in Part 9, [Archives and
             2722      Records Service] Public Associations: Sections 63A-12-105 and 63A-12-106 .
             2723          (3) The Judicial Council, the Administrative Office of the Courts, the courts, and other
             2724      administrative units in the judicial branch shall designate and classify their records in
             2725      accordance with Sections 63G-2-301 through 63G-2-305 .
             2726          (4) Substantially consistent with the provisions of this chapter, the Judicial Council
             2727      shall:
             2728          (a) make rules governing requests for access, fees, classification, designation,
             2729      segregation, management, retention, denials and appeals of requests for access and retention,
             2730      and amendment of judicial records;
             2731          (b) establish an appellate board to handle appeals from denials of requests for access
             2732      and provide that a requester who is denied access by the appellate board may file a lawsuit in
             2733      district court; and
             2734          (c) provide standards for the management and retention of judicial records substantially
             2735      consistent with Section 63A-12-103 .
             2736          (5) Rules governing appeals from denials of requests for access shall substantially
             2737      comply with the time limits provided in Section 63G-2-204 and Part 4, Appeals.
             2738          (6) Upon request, the state archivist shall:
             2739          (a) assist with and advise concerning the establishment of a records management
             2740      program in the judicial branch; and
             2741          (b) as required by the judiciary, provide program services similar to those available to
             2742      the executive and legislative branches of government as provided in this chapter and Title 63A,
             2743      Chapter 12, [Part 1, Archives and Records Service] Public Records Management Act.
             2744          Section 50. Section 63G-12-103 is amended to read:
             2745           63G-12-103. Immigration Act Restricted Account.


             2746          (1) There is created a restricted account within the General Fund known as the
             2747      "Immigration Act Restricted Account."
             2748          (2) (a) The restricted account shall consist of:
             2749          (i) a fee collected under this chapter;
             2750          (ii) a fine collected under Section 63G-12-207 ;
             2751          (iii) civil penalties imposed under Section 63G-12-211 or [ 63G-12-307 ] 63G-12-306 ;
             2752          (iv) money appropriated to the restricted account by the Legislature; and
             2753          (v) interest earned on the restricted account.
             2754          (b) The restricted account shall earn interest.
             2755          (3) The Legislature may appropriate money from the restricted account to:
             2756          (a) the department and the Office of the Governor to pay the costs associated with the
             2757      implementation of Section 63G-12-202 ;
             2758          (b) the department to administer this chapter;
             2759          (c) the State Tax Commission for costs associated with implementing Section
             2760      63G-12-203 ;
             2761          (d) the attorney general for costs associated with:
             2762          (i) litigation related to this chapter;
             2763          (ii) a multi-agency strike force created under Section 67-5-22.7 ; or
             2764          (iii) a memorandum of understanding executed under Section 67-5-28 ; and
             2765          (e) the Identity Theft Restricted Account created in Section 67-5-22.7 .
             2766          Section 51. Section 63G-12-402 is amended to read:
             2767           63G-12-402. Receipt of state, local, or federal public benefits -- Verification --
             2768      Exceptions -- Fraudulently obtaining benefits -- Criminal penalties -- Annual report.
             2769          (1) (a) Except as provided in Subsection (3) or when exempted by federal law, an
             2770      agency or political subdivision of the state shall verify the lawful presence in the United States
             2771      of an individual at least 18 years of age who applies for:
             2772          (i) a state or local public benefit as defined in 8 U.S.C. Sec. 1621; or
             2773          (ii) a federal public benefit as defined in 8 U.S.C. Sec. 1611, that is administered by an


             2774      agency or political subdivision of this state.
             2775          (b) For purpose of a license issued under Title 58, Chapter 55, Utah Construction
             2776      Trades Licensing Act, to an applicant that is an unincorporated entity, the Department of
             2777      Commerce shall verify in accordance with this Subsection (2) the lawful presence in the United
             2778      States of each individual who:
             2779          (i) owns an interest in the contractor that is an unincorporated entity; and
             2780          (ii) engages, or will engage, in a construction trade in Utah as an owner of the
             2781      contractor described in Subsection [(2)] (1)(b)(i).
             2782          (2) This section shall be enforced without regard to race, religion, gender, ethnicity, or
             2783      national origin.
             2784          (3) Verification of lawful presence under this section is not required for:
             2785          (a) any purpose for which lawful presence in the United States is not restricted by law,
             2786      ordinance, or regulation;
             2787          (b) assistance for health care items and services that:
             2788          (i) are necessary for the treatment of an emergency medical condition, as defined in 42
             2789      U.S.C. Sec. 1396b(v)(3), of the individual involved; and
             2790          (ii) are not related to an organ transplant procedure;
             2791          (c) short-term, noncash, in-kind emergency disaster relief;
             2792          (d) public health assistance for immunizations with respect to immunizable diseases
             2793      and for testing and treatment of symptoms of communicable diseases whether or not the
             2794      symptoms are caused by the communicable disease;
             2795          (e) programs, services, or assistance such as soup kitchens, crisis counseling and
             2796      intervention, and short-term shelter, specified by the United States Attorney General, in the
             2797      sole and unreviewable discretion of the United States Attorney General after consultation with
             2798      appropriate federal agencies and departments, that:
             2799          (i) deliver in-kind services at the community level, including through public or private
             2800      nonprofit agencies;
             2801          (ii) do not condition the provision of assistance, the amount of assistance provided, or


             2802      the cost of assistance provided on the income or resources of the individual recipient; and
             2803          (iii) are necessary for the protection of life or safety;
             2804          (f) the exemption for paying the nonresident portion of total tuition as set forth in
             2805      Section 53B-8-106 ;
             2806          (g) an applicant for a license under Section 61-1-4 , if the applicant:
             2807          (i) is registered with the Financial Industry Regulatory Authority; and
             2808          (ii) files an application with the state Division of Securities through the Central
             2809      Registration Depository;
             2810          (h) a state public benefit to be given to an individual under Title 49, Utah State
             2811      Retirement and Insurance Benefit Act;
             2812          (i) a home loan that will be insured, guaranteed, or purchased by:
             2813          (i) the Federal Housing Administration, the Veterans Administration, or any other
             2814      federal agency; or
             2815          (ii) an enterprise as defined in 12 U.S.C. Sec. 4502;
             2816          (j) a subordinate loan or a grant that will be made to an applicant in connection with a
             2817      home loan that does not require verification under Subsection (3)(i); and
             2818          (k) an applicant for a license issued by the Department of Commerce or individual
             2819      described in Subsection [(2)] (1)(b), if the applicant or individual provides the Department of
             2820      Commerce:
             2821          (i) certification, under penalty of perjury, that the applicant or individual is:
             2822          (A) a United States citizen;
             2823          (B) a qualified alien as defined in 8 U.S.C. Sec. 1641; or
             2824          (C) lawfully present in the United States; and
             2825          (ii) the number for a driver license or identification card issued:
             2826          (A) under Title 53, Chapter 3, Uniform Driver License Act; or
             2827          (B) by a state other than Utah that as part of issuing the driver license or identification
             2828      card verifies an individual's lawful presence in the United States.
             2829          (4) (a) An agency or political subdivision required to verify the lawful presence in the


             2830      United States of an applicant under this section shall require the applicant to certify under
             2831      penalty of perjury that:
             2832          (i) the applicant is a United States citizen; or
             2833          (ii) the applicant is:
             2834          (A) a qualified alien as defined in 8 U.S.C. Sec. 1641; and
             2835          (B) lawfully present in the United States.
             2836          (b) The certificate required under this Subsection (4) shall include a statement advising
             2837      the signer that providing false information subjects the signer to penalties for perjury.
             2838          (5) An agency or political subdivision shall verify a certification required under
             2839      Subsection (4)[(b)](a)(ii) through the federal SAVE program.
             2840          (6) (a) An individual who knowingly and willfully makes a false, fictitious, or
             2841      fraudulent statement or representation in a certification under Subsection (3)(k) or (4) is subject
             2842      to the criminal penalties applicable in this state for:
             2843          (i) making a written false statement under Subsection 76-8-504 (2); and
             2844          (ii) fraudulently obtaining:
             2845          (A) public assistance program benefits under Sections 76-8-1205 and 76-8-1206 ; or
             2846          (B) unemployment compensation under Section 76-8-1301 .
             2847          (b) If the certification constitutes a false claim of United States citizenship under 18
             2848      U.S.C. Sec. 911, the agency or political subdivision shall file a complaint with the United
             2849      States Attorney General for the applicable district based upon the venue in which the
             2850      application was made.
             2851          (c) If an agency or political subdivision receives verification that a person making an
             2852      application for a benefit, service, or license is not a qualified alien, the agency or political
             2853      subdivision shall provide the information to the Office of the Attorney General unless
             2854      prohibited by federal mandate.
             2855          (7) An agency or political subdivision may adopt variations to the requirements of this
             2856      section that:
             2857          (a) clearly improve the efficiency of or reduce delay in the verification process; or


             2858          (b) provide for adjudication of unique individual circumstances where the verification
             2859      procedures in this section would impose an unusual hardship on a legal resident of Utah.
             2860          (8) It is unlawful for an agency or a political subdivision of this state to provide a state,
             2861      local, or federal benefit, as defined in 8 U.S.C. Sec. 1611 and 1621, in violation of this section.
             2862          (9) A state agency or department that administers a program of state or local public
             2863      benefits shall:
             2864          (a) provide an annual report to the governor, the president of the Senate, and the
             2865      speaker of the House regarding its compliance with this section; and
             2866          (b) (i) monitor the federal SAVE program for application verification errors and
             2867      significant delays;
             2868          (ii) provide an annual report on the errors and delays to ensure that the application of
             2869      the federal SAVE program is not erroneously denying a state or local benefit to a legal resident
             2870      of the state; and
             2871          (iii) report delays and errors in the federal SAVE program to the United States
             2872      Department of Homeland Security.
             2873          Section 52. Section 63I-1-253 is amended to read:
             2874           63I-1-253. Repeal dates, Titles 53, 53A, and 53B.
             2875          The following provisions are repealed on the following dates:
             2876          (1) Section 53-3-232 , Conditional licenses, is repealed July 1, 2015.
             2877          (2) Title 53A, Chapter 1a, Part 6, Public Education Job Enhancement Program is
             2878      repealed July 1, 2020.
             2879          [(3) Title 53A, Chapter 1a, Part 9, Voluntary Extended-day Kindergarten Program, is
             2880      repealed July 1, 2011.]
             2881          [(4)] (3) The State Instructional Materials Commission, created in Section 53A-14-101 ,
             2882      is repealed July 1, 2016.
             2883          [(5)] (4) Subsections 53A-16-113 (3) and (4) are repealed December 31, 2016.
             2884          [(6)] (5) Section 53A-16-114 is repealed December 31, 2016.
             2885          [(7)] (6) Section 53A-17a-163 , Performance-based Compensation Pilot Program is


             2886      repealed July 1, 2016.
             2887          [(8)] (7) Subsection 53C-3-203 (4)(b)(vii), which provides for the distribution of money
             2888      from the Land Exchange Distribution Account to the Geological Survey for test wells, other
             2889      hydrologic studies, and air quality monitoring in the West Desert, is repealed July 1, 2020.
             2890          Section 53. Section 63I-1-263 is amended to read:
             2891           63I-1-263. Repeal dates, Titles 63A to 63M.
             2892          (1) Section 63A-4-204 , authorizing the Risk Management Fund to provide coverage to
             2893      any public school district which chooses to participate, is repealed July 1, 2016.
             2894          (2) Section 63A-5-603 , State Facility Energy Efficiency Fund, is repealed July 1, 2016.
             2895          (3) Section 63C-8-106 , rural residency training program, is repealed July 1, 2015.
             2896          (4) Title 63C, Chapter 13, Prison Relocation and Development Authority Act, is
             2897      repealed July 1, 2014.
             2898          (5) Subsection 63G-6-502 (5)(b)(ii) authorizing certain transportation agencies to award
             2899      a contract for a design-build transportation project in certain circumstances, is repealed July 1,
             2900      2015.
             2901          (6) Title 63H, Chapter 4, Heber Valley Historic Railroad Authority, is repealed July 1,
             2902      2020.
             2903          (7) The Resource Development Coordinating Committee, created in Section
             2904      63J-4-501 , is repealed July 1, 2015.
             2905          (8) Title 63M, Chapter 1, Part 4, Enterprise Zone Act, is repealed July 1, 2018.
             2906          (9) (a) Title 63M, Chapter 1, Part 11, Recycling Market Development Zone Act, is
             2907      repealed January 1, 2021.
             2908          (b) Subject to Subsection (9)(c), Sections 59-7-610 and 59-10-1007 , regarding tax
             2909      credits for certain persons in recycling market development zones, are repealed for taxable
             2910      years beginning on or after January 1, 2012.
             2911          (c) A person may not claim a tax credit under Section 59-7-610 or 59-10-1007 :
             2912          (i) for the purchase price of machinery or equipment described in Section 59-7-610 or
             2913      59-10-1007 , if the machinery or equipment is purchased on or after January 1, 2012; or


             2914          (ii) for an expenditure described in Subsection 59-7-610 (1)(b) or 59-10-1007 (1)(b), if
             2915      the expenditure is made on or after January 1, 2012.
             2916          (d) Notwithstanding Subsections (9)(b) and (c), a person may carry forward a tax credit
             2917      in accordance with Section 59-7-610 or 59-10-1007 if:
             2918          (i) the person is entitled to a tax credit under Section 59-7-610 or 59-10-1007 ; and
             2919          (ii) (A) for the purchase price of machinery or equipment described in Section
             2920      59-7-610 or 59-10-1007 , the machinery or equipment is purchased on or before December 31,
             2921      2011; or
             2922          (B) for an expenditure described in Subsection 59-7-610 (1)(b) or 59-10-1007 (1)(b), the
             2923      expenditure is made on or before December 31, 2011.
             2924          (10) The Crime Victim Reparations and Assistance Board, created in Section
             2925      63M-7-504 , is repealed July 1, 2017.
             2926          [(11) Title 63M, Chapter 8, Utah Commission for Women and Families Act, is
             2927      repealed July 1, 2011.]
             2928          [(12)] (11) Title 63M, Chapter 9, Families, Agencies, and Communities Together for
             2929      Children and Youth At Risk Act, is repealed July 1, 2016.
             2930          [(13)] (12) Title 63M, Chapter 11, Utah Commission on Aging, is repealed July 1,
             2931      2012.
             2932          Section 54. Section 63I-1-278 is amended to read:
             2933           63I-1-278. Repeal dates, Title 78A and Title 78B.
             2934          (1) The Office of the Court Administrator, created in Section 78A-2-105 , is repealed
             2935      July 1, 2018.
             2936          [(2) The case management program coordinator in Subsection 78A-2-108 (4) is
             2937      repealed July 1, 2009.]
             2938          [(3)] (2) Section 78B-3-421 , regarding medical malpractice arbitration agreements, is
             2939      repealed July 1, 2019.
             2940          [(4) Alternative Dispute Resolution Act, created in]
             2941          (3) Title 78B, Chapter 6, Part 2, Alternative Dispute Resolution is repealed July 1,


             2942      2016.
             2943          [(5)] (4) The following are repealed December 31, 2012:
             2944          (a) Subsection 78B-6-802 (1)(i);
             2945          (b) the language in Subsection 78B-6-802 (1)(a) that states "except as provided in
             2946      Subsection (1)(i)"; and
             2947          (c) the language in Subsection 78B-6-802 (1)(b) that states "and except as provided in
             2948      Subsection (1)(i)".
             2949          [(6)] (5) Section 78B-6-901.5 , regarding notice to tenants on residential rental property
             2950      to be foreclosed, is repealed December 31, 2012.
             2951          Section 55. Section 63I-2-204 is amended to read:
             2952           63I-2-204. Repeal dates -- Title 4.
             2953          [Subsection 4-23-7.5 (4) is repealed July 1, 2010.]
             2954          Section 56. Section 63I-2-223 is amended to read:
             2955           63I-2-223. Repeal dates -- Title 23.
             2956          [Section 23-14-14.1 is repealed July 1, 2009.]
             2957          Section 57. Section 63I-2-258 is amended to read:
             2958           63I-2-258. Repeal dates -- Title 58.
             2959          [Section 58-77-204 is repealed July 1, 2011.]
             2960          Section 58. Section 63I-2-263 is amended to read:
             2961           63I-2-263. Repeal dates, Title 63A to Title 63M.
             2962          [(1) Subsection 63G-1-401 (5) is repealed on May 10, 2011.]
             2963          [(2) Sections 63J-4a-206 and 63J-4a-207 are repealed on December 31, 2011.]
             2964          [(3) Title 63M, Chapter 12, Advisory Council on Optimizing and Streamlining State
             2965      Government Act, is repealed January 1, 2012.]
             2966          Section 59. Section 63J-8-102 is amended to read:
             2967           63J-8-102. Definitions.
             2968          As used in this chapter:
             2969          (1) "ACEC" means an area of critical environmental concern.


             2970          (2) "AUM" means animal unit months, a unit of grazing forage.
             2971          (3) "BLM" means the United States Bureau of Land Management.
             2972          (4) "FLPMA" means the Federal Land Policy and Management Act of 1976, 43 U.S.C.
             2973      Sec. 1701 et seq.
             2974          (5) "Forest service" means the United States Forest Service within the United States
             2975      Department of Agriculture.
             2976          (6) "Multiple use" means proper stewardship of the subject lands pursuant to Section
             2977      [1031(C)] 103(c) of FLPMA, 43 U.S.C. Sec. [170(C)] 1702(c).
             2978          (7) "OHV" means off-highway vehicle as defined in Section 41-22-2 .
             2979          (8) "Settlement Agreement" means the written agreement between the state and the
             2980      Department of the Interior in 2003 (revised in 2005) that resolved the case of State of Utah v.
             2981      Gale Norton, Secretary of Interior (United States District Court, D. Utah, Case No.
             2982      2:96cv0870).
             2983          (9) "SITLA" means the School and Institutional Trust Lands Administration as created
             2984      in Section 53C-1-201 .
             2985          (10) (a) "Subject lands" means the following non-WSA BLM lands:
             2986          (i) in Beaver County:
             2987          (A) Mountain Home Range South, Jackson Wash, The Toad, North Wah Wah
             2988      Mountains, Central Wah Wah Mountains, and San Francisco Mountains according to the
             2989      region map entitled "Great Basin Central" linked in the webpage entitled "Citizen's Proposal
             2990      for Wilderness in Utah" at http://www.protectwildutah.org/proposal/index.html as the webpage
             2991      existed on February 17, 2011; and
             2992          (B) White Rock Range, South Wah Wah Mountains, and Granite Peak according to the
             2993      region map entitled "Great Basin South" linked in the webpage entitled "Citizen's Proposal for
             2994      Wilderness in Utah" at http://www.protectwildutah.org/proposal/index.html as the webpage
             2995      existed on February 17, 2011;
             2996          (ii) in Box Elder County: Little Goose Creek, Grouse Creek Mountains North, Grouse
             2997      Creek Mountains South, Bald Eagle Mountain, Central Pilot Range, Pilot Peak, Crater Island


             2998      West, Crater Island East, Newfoundland Mountains, and Grassy Mountains North according to
             2999      the region map entitled "Great Basin North" linked in the webpage entitled "Citizen's Proposal
             3000      for Wilderness in Utah" at http://www.protectwildutah.org/proposal/index.html as the webpage
             3001      existed on February 17, 2011;
             3002          (iii) in Carbon County: Desbrough Canyon and Turtle Canyon according to the region
             3003      map entitled "Book Cliffs" linked in the webpage entitled "Citizen's Proposal for Wilderness in
             3004      Utah" at http://www.protectwildutah.org/proposal/index.html as the webpage existed on
             3005      February 17, 2011;
             3006          (iv) in Daggett County: Goslin Mountain, Home Mountain, Red Creek Badlands,
             3007      O-wi-yu-kuts, Lower Flaming Gorge, Crouse Canyon, and Diamond Breaks according to the
             3008      region map entitled "Dinosaur" linked in the webpage entitled "Citizen's Proposal for
             3009      Wilderness in Utah" at http://www.protectwildutah.org/proposal/index.html as the webpage
             3010      existed on February 17, 2011;
             3011          (v) in Duchesne County: Desbrough Canyon according to the region map entitled
             3012      "Book Cliffs" linked in the webpage entitled "Citizen's Proposal for Wilderness in Utah" at
             3013      http://www.protectwildutah.org/proposal/index.html as the webpage existed on February 17,
             3014      2011;
             3015          (vi) in Emery County:
             3016          (A) San Rafael River and Sweetwater Reef, according to the region map entitled
             3017      "Canyonlands Basin" linked in the webpage entitled "Citizen's Proposal for Wilderness in
             3018      Utah" at http://www.protectwildutah.org/proposal/index.html as the webpage existed on
             3019      February 17, 2011;
             3020          (B) Flat Tops according to the region map entitled "Glen Canyon," which is available
             3021      by clicking the link entitled "Dirty Devil" at the webpage entitled "Citizen's Proposal for
             3022      Wilderness in Utah" at http://www.protectwildutah.org/proposal/index.html as the webpage
             3023      existed on February 17, 2011; and
             3024          (C) Price River, Lost Spring Wash, Eagle Canyon, Upper Muddy Creek, Molen Reef,
             3025      Rock Canyon, Mussentuchit Badland, and Muddy Creek, according to the region map entitled


             3026      "San Rafael Swell" linked at the webpage entitled "Citizen's Proposal for Wilderness in Utah"
             3027      at http://www.protectwildutah.org/proposal/index.html as the webpage existed on February 17,
             3028      2011;
             3029          (vii) in Garfield County:
             3030          (A) Pole Canyon, according to the region map entitled "Great Basin South" linked in
             3031      the webpage entitled "Citizen's Proposal for Wilderness in Utah" at
  &