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S.B. 14

             1     

TRANSPORTATION CORRIDOR PRESERVATION

             2     
REVOLVING LOAN FUND AMENDMENTS

             3     
2012 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Chief Sponsor: Peter C. Knudson

             6     
House Sponsor: R. Curt Webb

             7     
             8      LONG TITLE
             9      Committee Note:
             10          The Transportation Interim Committee recommended this bill.
             11      General Description:
             12          This bill amends provisions relating to the Transportation Corridor Preservation
             13      Revolving Loan Fund.
             14      Highlighted Provisions:
             15          This bill:
             16          .    renames the Transportation Corridor Preservation Revolving Loan Fund as the
             17      Marda Dillree Corridor Preservation Fund; and
             18          .    makes conforming changes.
             19      Money Appropriated in this Bill:
             20          None
             21      Other Special Clauses:
             22          None
             23      Utah Code Sections Affected:
             24      AMENDS:
             25          59-12-1201, as last amended by Laws of Utah 2011, Chapter 309
             26          63B-7-503, as last amended by Laws of Utah 2008, Chapter 382
             27          72-2-117, as last amended by Laws of Utah 2011, Chapters 303 and 342


             28          72-5-111, as last amended by Laws of Utah 2008, Chapter 3
             29          72-5-403, as last amended by Laws of Utah 2008, Chapter 279
             30     
             31      Be it enacted by the Legislature of the state of Utah:
             32          Section 1. Section 59-12-1201 is amended to read:
             33           59-12-1201. Motor vehicle rental tax -- Rate -- Exemptions -- Administration,
             34      collection, and enforcement of tax -- Administrative charge -- Deposits.
             35          (1) (a) Except as provided in Subsection (3), there is imposed a tax of 2.5% on all
             36      short-term leases and rentals of motor vehicles not exceeding 30 days.
             37          (b) The tax imposed in this section is in addition to all other state, county, or municipal
             38      fees and taxes imposed on rentals of motor vehicles.
             39          (2) (a) Subject to Subsection (2)(b), a tax rate repeal or tax rate change for the tax
             40      imposed under Subsection (1) shall take effect on the first day of a calendar quarter.
             41          (b) (i) For a transaction subject to a tax under Subsection (1), a tax rate increase shall
             42      take effect on the first day of the first billing period:
             43          (A) that begins after the effective date of the tax rate increase; and
             44          (B) if the billing period for the transaction begins before the effective date of a tax rate
             45      increase imposed under Subsection (1).
             46          (ii) For a transaction subject to a tax under Subsection (1), the repeal of a tax or a tax
             47      rate decrease shall take effect on the first day of the last billing period:
             48          (A) that began before the effective date of the repeal of the tax or the tax rate decrease;
             49      and
             50          (B) if the billing period for the transaction begins before the effective date of the repeal
             51      of the tax or the tax rate decrease imposed under Subsection (1).
             52          (3) A motor vehicle is exempt from the tax imposed under Subsection (1) if:
             53          (a) the motor vehicle is registered for a gross laden weight of 12,001 or more pounds;
             54          (b) the motor vehicle is rented as a personal household goods moving van; or
             55          (c) the lease or rental of the motor vehicle is made for the purpose of temporarily
             56      replacing a person's motor vehicle that is being repaired pursuant to a repair agreement or an
             57      insurance agreement.
             58          (4) (a) (i) The tax authorized under this section shall be administered, collected, and


             59      enforced in accordance with:
             60          (A) the same procedures used to administer, collect, and enforce the tax under Part 1,
             61      Tax Collection; and
             62          (B) Chapter 1, General Taxation Policies.
             63          (ii) Notwithstanding Subsection (4)(a)(i), a tax under this part is not subject to
             64      Subsections 59-12-103 (4) through (12) or Section 59-12-107.1 or 59-12-123 .
             65          (b) The commission shall retain and deposit an administrative charge in accordance
             66      with Section 59-1-306 from the revenues the commission collects from a tax under this part.
             67          (c) Except as provided under Subsection (4)(b), all revenue received by the
             68      commission under this section shall be deposited daily with the state treasurer and credited
             69      monthly to the [Transportation] Marda Dillree Corridor Preservation [Revolving Loan] Fund
             70      under Section 72-2-117 .
             71          Section 2. Section 63B-7-503 is amended to read:
             72           63B-7-503. Highway revenue bond authorization.
             73          It is the intent of the Legislature that:
             74          (1) the State Building Ownership Authority, under the authority of Title 63B, Chapter
             75      1, Part 3, State Building Ownership Authority Act, may issue or execute obligations to provide
             76      up to $10,000,000 for the acquisition of real property or any interests in real property for state,
             77      county, or municipal transportation corridors as provided in Section 72-2-117 ; and
             78          (2) revenues of the [Transportation] Marda Dillree Corridor Preservation [Revolving
             79      Loan] Fund be used as the primary revenue source for the repayment of any obligation created
             80      under authority of this section.
             81          Section 3. Section 72-2-117 is amended to read:
             82           72-2-117. Marda Dillree Corridor Preservation Fund -- Distribution --
             83      Repayment -- Rulemaking.
             84          (1) There is created the [Transportation] Marda Dillree Corridor Preservation
             85      [Revolving Loan] Fund within the Transportation Fund.
             86          (2) The fund shall be funded from the following sources:
             87          (a) motor vehicle rental tax imposed under Section 59-12-1201 ;
             88          (b) appropriations made to the fund by the Legislature;
             89          (c) contributions from other public and private sources for deposit into the fund;


             90          (d) interest earnings on cash balances;
             91          (e) all money collected for repayments and interest on fund money;
             92          (f) all money collected from rents and sales of real property acquired with fund money;
             93      and
             94          (g) proceeds from general obligation bonds, revenue bonds, or other obligations as
             95      authorized by Title 63B, Bonds.
             96          (3) (a) The commission shall authorize the expenditure of fund money to allow the
             97      department to acquire real property or any interests in real property for state, county, and
             98      municipal transportation corridors subject to:
             99          (i) money available in the fund;
             100          (ii) rules made under Subsection (6); and
             101          (iii) Subsection (8).
             102          (b) Fund money may be used to pay interest on debts incurred in accordance with this
             103      section.
             104          (4) Administrative costs for transportation corridor preservation shall be paid from the
             105      fund.
             106          (5) The department:
             107          (a) may apply to the commission under this section for money from the
             108      [Transportation] Marda Dillree Corridor Preservation [Revolving Loan] Fund for a specified
             109      transportation corridor project, including for county and municipal projects; and
             110          (b) shall repay the fund money authorized for the project to the fund as required under
             111      Subsection (6).
             112          (6) The commission shall:
             113          (a) administer the [Transportation] Marda Dillree Corridor Preservation [Revolving
             114      Loan] Fund to:
             115          (i) preserve transportation corridors;
             116          (ii) promote long-term statewide transportation planning;
             117          (iii) save on acquisition costs; and
             118          (iv) promote the best interests of the state in a manner which minimizes impact on
             119      prime agricultural land;
             120          (b) prioritize fund money based on considerations, including:


             121          (i) areas with rapidly expanding population;
             122          (ii) the willingness of local governments to complete studies and impact statements
             123      that meet department standards;
             124          (iii) the preservation of corridors by the use of local planning and zoning processes;
             125          (iv) the availability of other public and private matching funds for a project; and
             126          (v) the cost-effectiveness of the preservation projects;
             127          (c) designate high priority corridor preservation projects in cooperation with a
             128      metropolitan planning organization;
             129          (d) administer the program for the purposes provided in this section;
             130          (e) prioritize fund money in accordance with this section; and
             131          (f) make rules in accordance with Title 63G, Chapter 3, Utah Administrative
             132      Rulemaking Act, establishing:
             133          (i) the procedures for the awarding of fund money;
             134          (ii) the procedures for the department to apply for transportation corridor preservation
             135      money for projects; and
             136          (iii) repayment conditions of the money to the fund from the specified project funds.
             137          (7) (a) The proceeds from any bonds or other obligations secured by revenues of the
             138      [Transportation] Marda Dillree Corridor Preservation [Revolving Loan] Fund shall be used for:
             139          (i) the acquisition of real property in hardship cases; and
             140          (ii) any of the purposes authorized for funds in the [Transportation] Marda Dillree
             141      Corridor Preservation [Revolving Loan] Fund under this section.
             142          (b) The commission shall pledge the necessary part of the revenues of the
             143      [Transportation] Marda Dillree Corridor Preservation [Revolving Loan] Fund to the payment
             144      of principal of and interest on the bonds or other obligations.
             145          (8) (a) The department may not apply for money under this section unless the highway
             146      authority has an access management policy or ordinance in effect that meets the requirements
             147      under Subsection (8)(b).
             148          (b) The access management policy or ordinance shall:
             149          (i) be for the purpose of balancing the need for reasonable access to land uses with the
             150      need to preserve the smooth flow of traffic on the highway system in terms of safety, capacity,
             151      and speed; and


             152          (ii) include provisions:
             153          (A) limiting the number of conflict points at driveway locations;
             154          (B) separating conflict areas;
             155          (C) reducing the interference of through traffic;
             156          (D) spacing at-grade signalized intersections; and
             157          (E) providing for adequate on-site circulation and storage.
             158          (c) The department shall develop a model access management policy or ordinance that
             159      meets the requirements of this Subsection (8) for the benefit of a county or municipality under
             160      this section.
             161          (9) (a) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
             162      the commission shall make rules establishing a corridor preservation advisory council.
             163          (b) The corridor preservation advisory council shall:
             164          (i) assist with and help coordinate the corridor preservation efforts of the department
             165      and local governments;
             166          (ii) provide recommendations and priorities concerning corridor preservation and the
             167      use of fund money to the department and to the commission; and
             168          (iii) include members designated by each metropolitan planning organization in the
             169      state to represent local governments that are involved with corridor preservation through
             170      official maps and planning.
             171          Section 4. Section 72-5-111 is amended to read:
             172           72-5-111. Disposal of real property.
             173          (1) (a) If the department determines that any real property or interest in real property,
             174      acquired for a highway purpose, is no longer necessary for the purpose, the department may
             175      lease, sell, exchange, or otherwise dispose of the real property or interest in the real property.
             176          (b) (i) Real property may be sold at private or public sale.
             177          (ii) Except as provided in Subsection (1)(c) related to exchanges, proceeds of any sale
             178      shall be deposited with the state treasurer and credited to the Transportation Fund.
             179          (c) If approved by the commission, real property or an interest in real property may be
             180      exchanged by the department for other real property or interest in real property, including
             181      improvements, for highway purposes.
             182          (2) (a) In the disposition of real property at any private sale, first consideration shall be


             183      given to the original grantor or the original grantor's heirs.
             184          (b) Notwithstanding the provisions of Section 78B-6-521 , if no portion of a parcel of
             185      real property acquired by the department is used for transportation purposes, then the original
             186      grantor or the grantor's heirs shall be given the opportunity to repurchase the parcel of real
             187      property at the department's original purchase price from the grantor.
             188          (c) In accordance with Section 72-5-404 , this Subsection (2) does not apply to property
             189      rights acquired in proposed transportation corridors using funds from the [Transportation]
             190      Marda Dillree Corridor Preservation [Revolving Loan] Fund created in Section 72-2-117 .
             191          (3) (a) Any sale, exchange, or disposal of real property or interest in real property made
             192      by the department under this section, is exempt from the mineral reservation provisions of Title
             193      65A, Chapter 6, Mineral Leases.
             194          (b) Any deed made and delivered by the department under this section without specific
             195      reservations in the deed is a conveyance of all the state's right, title, and interest in the real
             196      property or interest in the real property.
             197          Section 5. Section 72-5-403 is amended to read:
             198           72-5-403. Transportation corridor preservation powers.
             199          (1) The department, counties, and municipalities may:
             200          (a) act in cooperation with one another and other government entities to promote
             201      planning for and enhance the preservation of transportation corridors and to more effectively
             202      use the money available in the [Transportation] Marda Dillree Corridor Preservation
             203      [Revolving Loan] Fund created in Section 72-2-117 ;
             204          (b) undertake transportation corridor planning, review, and preservation processes; and
             205          (c) acquire fee simple rights and other rights of less than fee simple, including
             206      easement and development rights, or the rights to limit development, including rights in
             207      alternative transportation corridors, and to make these acquisitions up to a projected 30 years in
             208      advance of using those rights in actual transportation facility construction.
             209          (2) In addition to the powers described under Subsection (1), counties and
             210      municipalities may:
             211          (a) limit development for transportation corridor preservation by land use regulation
             212      and by official maps; and
             213          (b) by ordinance prescribe procedures for approving limited development in


             214      transportation corridors until the time transportation facility construction begins.
             215          (3) (a) The department shall identify and the commission shall approve transportation
             216      corridors as high priority transportation corridors for transportation corridor preservation.
             217          (b) The department shall notify a county or municipality if the county or municipality
             218      has land within its boundaries that is located within the boundaries of a high priority
             219      transportation corridor.
             220          (c) The department may, on a voluntary basis, acquire private property rights within the
             221      boundaries of a high priority transportation corridor for which a notification has been received
             222      in accordance with Section 10-9a-509 or 17-27a-508 .




Legislative Review Note
    as of 11-17-11 8:38 AM


Office of Legislative Research and General Counsel


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