This document includes Senate 2nd and 3rd Reading Floor Amendments incorporated into the bill on Mon, Mar 9, 2015 at 6:48 PM by lpoole.



Chief Sponsor: David P. Hinkins

House Sponsor: Scott H. Chew


8     General Description:
9          This bill modifies provisions related to the governor's energy advisor.
10     Highlighted Provisions:
11          This bill:
12          ▸     modifies and clarifies the duties of the governor's energy advisor; and
13          ▸     allows the governor's energy advisor to serve as the director of the Office of Energy
14     Development.
15     Money Appropriated in this Bill:
16          None
17     Other Special Clauses:
18          None
19     Utah Code Sections Affected:
20     AMENDS:
21          63M-4-203, as last amended by Laws of Utah 2012, Chapter 37
22          63M-4-301, as renumbered and amended by Laws of Utah 2008, Chapter 382
23          63M-4-401, as last amended by Laws of Utah 2012, Chapters 37 and 410

25     Be it enacted by the Legislature of the state of Utah:
26          Section 1. Section 63M-4-203 is amended to read:
27          63M-4-203. Reports.

28          (1) The governor's energy advisor shall report annually to:
29          (a) the governor; and
30          (b) the Natural Resources, Agriculture, and Environment Interim Committee.
31          (2) The report required in Subsection (1) shall:
32          (a) summarize the status and development of the state's energy resources;
33          (b) summarize the activities and accomplishments of the Office of Energy
34     Development;
35          [(b)] (c) address the governor's energy advisor's activities under this part; and
36          [(c)] (d) recommend any energy-related executive or legislative action the governor's
37     energy advisor considers beneficial to the state, including updates to the state energy policy
38     under Section 63M-4-301.
39          Section 2. Section 63M-4-301 is amended to read:
40          63M-4-301. State energy policy.
41          (1) It is the policy of the state that:
42          (a) Utah shall have adequate, reliable, affordable, sustainable, and clean energy
43     resources;
44          (b) Utah will promote the development of:
45          (i) nonrenewable energy resources, including natural gas, coal, oil, oil shale, Ŝ→ and ←Ŝ
45a      oil sands Ŝ→ [
46     and tar sands
] ←Ŝ
; and
47          (ii) renewable energy resources, including geothermal, solar, wind, biomass,
48     [biodiesel,] biofuel, and hydroelectric[, and ethanol];
49          [(c) Utah will promote the study of nuclear power generation;]
50          (iii) nuclear power generation technologies certified for use by the United States
51     Nuclear Regulatory Commission;
52          (iv) alternative transportation fuels and technologies; and
53          (v) infrastructure to facilitate energy development and diversified modes of
54     transportation;
55          [(d)] (c) Utah will promote the development of resources and infrastructure sufficient
56     to meet the state's growing demand, while contributing to the regional and national energy
57     supply, thus reducing dependence on international energy sources;
58          [(e)] (d) Utah will allow market forces to drive prudent use of energy resources,

59     although incentives and other methods may be used to ensure the state's optimal development
60     and use of energy resources in the short- and long-term;
61          [(f)] (e) Utah will pursue energy conservation, energy efficiency, and environmental
62     quality;
63          [(g)] (f) (i) state regulatory processes should be streamlined to balance economic costs
64     with the level of review necessary to ensure protection of the state's various interests; and
65          (ii) where federal action is required, Utah will encourage expedited federal action and
66     will collaborate with federal agencies to expedite review;
67          [(h)] (g) Utah will maintain an environment that provides for stable consumer prices
68     that are as low as possible while providing producers and suppliers a fair return on investment,
69     recognizing that:
70          (i) economic prosperity is linked to the availability, reliability, and affordability of
71     consumer energy supplies; and
72          (ii) investment will occur only when adequate financial returns can be realized; and
73          [(i)] (h) Utah will promote training and education programs focused on developing a
74     comprehensive understanding of energy, including programs addressing:
75          (i) energy conservation;
76          (ii) energy efficiency;
77          (iii) supply and demand; and
78          (iv) energy related workforce development.
79          (2) State agencies are encouraged to conduct agency activities consistent with
80     Subsection (1).
81          (3) A person may not file suit to challenge a state agency's action that is inconsistent
82     with Subsection (1).
83          Section 3. Section 63M-4-401 is amended to read:
84          63M-4-401. Creation of Office of Energy Development -- Director -- Purpose --
85     Rulemaking regarding confidential information.
86          (1) There is created an Office of Energy Development.
87          (2) (a) The governor's energy advisor shall serve as the director of the office or
88      appoint a director of the office.
89          (b) The director [shall]:

90          (i) shall, if the governor's energy advisor appoints a director under Subsection (2)(a),
91     report to the governor's energy advisor; and
92          (ii) may appoint staff as funding within existing budgets allows.
93          (c) The office may consolidate energy staff and functions existing in the state energy
94     program.
95          (3) The purposes of the office are to:
96          (a) serve as the primary resource for advancing energy and mineral development in the
97     state; [and]
98          (b) implement:
99          (i) the state energy policy under Section 63M-4-301; and
100          (ii) the governor's energy and mineral development goals and objectives[.];
101          (c) advance energy education, outreach, and research, including the creation of
102     elementary, higher education, and technical college energy education programs;
103          (d) promote energy and mineral development workforce initiatives; and
104          (e) support collaborative research initiatives targeted at Utah-specific energy and
105     mineral development.
106          (4) By following the procedures and requirements of Title 63J, Chapter 5, Federal
107     Funds Procedures Act, the office may:
108          (a) seek federal grants or loans;
109          (b) seek to participate in federal programs; and
110          (c) in accordance with applicable federal program guidelines, administer federally
111     funded state energy programs.
112          (5) The office shall perform the duties required by Sections 59-7-614.7 and 59-10-1029
113     and Part 5, Alternative Energy Development Tax Credit Act.
114          (6) (a) For purposes of administering this section, the office may make rules, by
115     following the procedures and requirements of Title 63G, Chapter 3, Utah Administrative
116     Rulemaking Act, to maintain as confidential, and not as a public record, information that the
117     office receives from any source.
118          (b) The office shall maintain information the office receives from any source at the
119     level of confidentiality assigned by the source.

Legislative Review Note
     as of 2-26-15 4:26 PM

Office of Legislative Research and General Counsel