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7 LONG TITLE
8 General Description:
9 This bill authorizes certain state agencies and institutions to issue revenue bonds.
10 Highlighted Provisions:
11 This bill:
12 ▸ authorizes the State Building Ownership Authority to issue revenue bonds as
13 follows:
14 • up to $3,000,000 for the Fourth District Provo Courthouse parking lot; and
15 • up to $5,043,400 for constructing a Syracuse liquor store; and
16 ▸ authorizes the Board of Regents to issue revenue bonds as follows:
17 • up to $50,000,000 for constructing the David Eccles School of Business
18 Executive Education Building at the University of Utah;
19 • up to $20,000,000 for purchasing a student apartment building complex and
20 surrounding property at Utah State University; and
21 • up to $12,000,000 for constructing the Space Dynamics Laboratory Phase II at
22 Utah State University.
23 Money Appropriated in this Bill:
24 None
25 Other Special Clauses:
26 None
27 Utah Code Sections Affected:
28 ENACTS:
29 63B-26-101, Utah Code Annotated 1953
30 63B-26-102, Utah Code Annotated 1953
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32 Be it enacted by the Legislature of the state of Utah:
33 Section 1. Section 63B-26-101 is enacted to read:
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36 63B-26-101. Revenue Bond authorizations -- State Building Ownership Authority.
37 (1) The Legislature intends that:
38 (a) the State Building Ownership Authority, under the authority of Title 63B, Chapter
39 1, Part 3, State Building Ownership Authority Act, may issue or execute obligations, or may
40 enter into or arrange for a lease-purchase agreement in which participation interests may be
41 created, to provide up to $3,000,000 for the Fourth District Provo Courthouse parking lot,
42 together with additional amounts necessary to pay costs of issuance, pay capitalized interest,
43 and fund any existing debt service reserve requirements;
44 (b) the judicial branch use court fees and existing lease budgets as the primary revenue
45 sources for repayment of any obligation created under authority of this Subsection (1);
46 (c) the judicial branch may use state funds for operation and maintenance costs or
47 capital improvements; and
48 (d) the revenue bond authorized under this Subsection (1) may not be issued until on or
49 after March 1, 2017.
50 (2) The Legislature intends that:
51 (a) the State Building Ownership Authority, under the authority of Title 63B, Chapter
52 1, Part 3, State Building Ownership Authority Act, may issue or execute obligations, or may
53 enter into or arrange for a lease-purchase agreement in which participation interests may be
54 created, to provide up to $5,043,400 for a Syracuse liquor store, together with additional
55 amounts necessary to pay costs of issuance, pay capitalized interest, and fund any existing debt
56 service reserve requirements;
57 (b) the Department of Alcoholic Beverage Control use sales revenues as the primary
58 revenue source for repayment of any obligation created under authority of this Subsection (2);
59 and
60 (c) the Department of Alcoholic Beverage Control may request operation and
61 maintenance funding from sales revenues.
62 Section 2. Section 63B-26-102 is enacted to read:
63 63B-26-102. Revenue bond authorizations -- Board of Regents.
64 (1) The Legislature intends that:
65 (a) the Board of Regents, on behalf of the University of Utah, may issue, sell, and
66 deliver revenue bonds or other evidences of indebtedness of the University of Utah to borrow
67 money on the credit, revenues, and reserves of the university, other than appropriations of the
68 Legislature, to finance the cost of constructing the David Eccles School of Business Executive
69 Education Building;
70 (b) the University of Utah use institutional funds and donations as the primary revenue
71 sources for repayment of any obligation created under authority of this Subsection (1);
72 (c) the maximum amount of revenue bonds or evidences of indebtedness authorized by
73 this Subsection (1) is $50,000,000, together with other amounts necessary to pay costs of
74 issuance, pay capitalized interest, and fund any debt service reserve requirements;
75 (d) the University of Utah may, subject to the requirements of Title 63A, Chapter 5,
76 State Building Board - Division of Facilities Construction and Management, use up to
77 $30,000,000 in donations and institutional funds to plan, design, and construct the David
78 Eccles School of Business Executive Education Building with up to 150,000 square feet;
79 (e) the university shall plan, design, and construct the David Eccles School of Business
80 Executive Education Center, subject to the requirements of Title 63A, Chapter 5, State
81 Building Board - Division of Facilities Construction and Management; and
82 (f) the university may use previously authorized state funds for operation and
83 maintenance costs or capital improvements.
84 (2) The Legislature intends that:
85 (a) the Board of Regents, on behalf of Utah State University, may issue, sell, and
86 deliver revenue bonds or other evidences of indebtedness of Utah State University to borrow
87 money on the credit, revenues, and reserves of the university, other than appropriations of the
88 Legislature, to finance the cost of purchasing a student apartment building complex and
89 surrounding property;
90 (b) Utah State University use revenues from housing operations as the primary revenue
91 source for repayment of any obligation created under authority of this Subsection (2);
92 (c) the maximum amount of revenue bonds or evidences of indebtedness authorized by
93 this Subsection (2) is $20,000,000, together with other amounts necessary to pay costs of
94 issuance, pay capitalized interest, and fund any debt service reserve requirements; and
95 (d) the university may not request state funds for operation and maintenance costs or
96 capital improvements.
97 (3) The Legislature intends that:
98 (a) the Board of Regents, on behalf of Utah State University, may issue, sell, and
99 deliver revenue bonds or other evidences of indebtedness of Utah State University to borrow
100 money on the credit, revenues, and reserves of the university, other than appropriations of the
101 Legislature, to finance the cost of constructing the Space Dynamics Laboratory Phase II;
102 (b) Utah State University use reimbursement from research projects as the primary
103 revenue source for repayment of any obligation created under authority of this Subsection (3);
104 (c) the maximum amount of revenue bonds or evidences of indebtedness authorized by
105 this Subsection (3) is $12,000,000, together with other amounts necessary to pay costs of
106 issuance, pay capitalized interest, and fund any debt service reserve requirements;
107 (d) the university shall plan, design, and construct the Space Dynamics Laboratory
108 Phase II, subject to the requirements of Title 63A, Chapter 5, State Building Board - Division
109 of Facilities Construction and Management; and
110 (e) the university may not request state funds for operation and maintenance costs or
111 capital improvements.
Legislative Review Note
Office of Legislative Research and General Counsel