Senator Wayne A. Harper proposes the following substitute bill:




Chief Sponsor: Wayne A. Harper

House Sponsor: Gage Froerer


8     General Description:
9          This bill amends provisions of the Utah Administrative Services Code related to state
10     facilities.
11     Highlighted Provisions:
12          This bill:
13          ▸     amends the definition of "agency";
14          ▸     grants rulemaking authority to the State Building Board relating to budgeting for
15     and determining operations and maintenance expenses for a state facility;
16          ▸     establishes requirements relating to compliance with rules made by the State
17     Building Board under this bill;
18          ▸     amends provisions relating to the capital development and capital improvement
19     process;
20          ▸     requires the Division of Facilities and Construction Management to present a
21     regular report on state land or buildings that are no longer needed by the state;
22          ▸     requires the State Board of Regents to conduct a study; and
23          ▸     makes technical and conforming changes.
24     Money Appropriated in this Bill:
25          None

26     Other Special Clauses:
27     Utah Code Sections Affected:
28     AMENDS:
29          63A-1-103, as last amended by Laws of Utah 2014, Chapter 292
30          63A-1-111, as renumbered and amended by Laws of Utah 1993, Chapter 212
31          63A-3-104, as renumbered and amended by Laws of Utah 1993, Chapter 212
32          63A-3-106, as last amended by Laws of Utah 2014, Chapter 387
33          63A-3-201, as last amended by Laws of Utah 2015, Chapter 43
34          63A-3-203, as last amended by Laws of Utah 2010, Chapter 324
35          63A-3-302, as enacted by Laws of Utah 1993, Chapter 212
36          63A-3-501, as last amended by Laws of Utah 2014, Chapter 286
37          63A-5-103, as last amended by Laws of Utah 2015, Chapter 297
38          63A-5-104, as last amended by Laws of Utah 2015, Chapter 297
39          63A-5-204, as last amended by Laws of Utah 2009, Chapters 183 and 344
40          63A-5-206, as last amended by Laws of Utah 2011, Chapter 14
41          63A-5-215, as renumbered and amended by Laws of Utah 1993, Chapter 212
42          63J-1-201, as last amended by Laws of Utah 2015, Chapters 175 and 407
43     ENACTS:
44          63A-5-226, Utah Code Annotated 1953
45     Uncodified Material Affected:

48     Be it enacted by the Legislature of the state of Utah:
49          Section 1. Section 63A-1-103 is amended to read:
50          63A-1-103. Definitions.
51          As used in this title:
52          (1) "Agency" means a board, commission, institution, department, division, officer,
53     council, office, committee, bureau, or other administrative unit of the state, including the
54     agency head, agency employees, or other persons acting on behalf of or under the authority of
55     the agency head, the Legislature, the courts, or the governor, but does not mean a political

56     subdivision of the state, or any administrative unit of a political subdivision of the state.
57          (2) "Department" means the Department of Administrative Services.
58          (3) "Executive director" means the executive director of the Department of
59     Administrative Services.
60          Section 2. Section 63A-1-111 is amended to read:
61          63A-1-111. Service plans established by each division -- Contents -- Distribution.
62          (1) Each division of the department shall formulate and establish service plans for each
63     fiscal year.
64          (2) The service plans shall describe:
65          (a) the services to be rendered to state agencies;
66          (b) the methods of providing those services;
67          (c) the standards of performance; and
68          (d) the performance measures used to gauge compliance with those standards.
69          (3) Before the beginning of each fiscal year, the service plans shall be distributed to
70     each state agency [and institution] that uses the services provided by that division.
71          Section 3. Section 63A-3-104 is amended to read:
72          63A-3-104. Appropriation for contingency purposes -- Procedure for allotment --
73     Legislative intent.
74          (1) (a) The Legislature shall determine the amount to be appropriated for contingency
75     purposes, as well as the limits on the amount of any one allotment or total allotments to any
76     one [department or] agency.
77          (b) In advance of making any such allotment, the governor shall notify the Legislature
78     through the Office of the Legislative Fiscal Analyst, of his or her intent to do so, of the amount
79     to be allotted, and the justification for the allotment.
80          (2) It is the intent of the Legislature that such transfers be made only for unforeseeable
81     emergencies, and allotments shall not be made to correct poor budgetary practices or for
82     purposes having no existing appropriation or authorization.
83          Section 4. Section 63A-3-106 is amended to read:
84          63A-3-106. Per diem rates for board members.
85          (1) As used in this section and Section 63A-3-107:
86          (a) "Board" means a board, commission, council, committee, task force, or similar

87     body established to perform a governmental function.
88          (b) "Board member" means a person appointed or designated by statute to serve on a
89     board.
90          (c) "Executive branch" means [a department, division, agency, board, or office] an
91     agency within the executive branch of state government.
92          (d) "Governmental entity" has the same meaning as provided under Section
93     63G-2-103.
94          (e) "Higher education" means a state institution of higher education, as defined under
95     Section 53B-1-102.
96          (f) "Officer" means a person who is elected or appointed to an office or position within
97     a governmental entity.
98          (g) "Official meeting" means a meeting of a board that is called in accordance with
99     statute.
100          (2) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, and
101     subject to approval by the executive director, the director of the Division of Finance shall make
102     rules establishing per diem rates to defray subsistence costs for a board member's attendance at
103     an official meeting.
104          (3) Unless otherwise provided by statute, a per diem rate established under Subsection
105     (2) is applicable to a board member who serves:
106          (a) within the executive branch, except as provided under Subsection (3)(b);
107          (b) within higher education, unless higher education pays the costs of the per diem;
108          (c) on a board that is:
109          (i) not included under Subsection (3)(a) or (b); and
110          (ii) created by a statute that adopts the per diem rates by reference to:
111          (A) this section; and
112          (B) the rule authorized by this section; and
113          (d) within a government entity that is not included under Subsection (3)(a), if the
114     government entity adopts the per diem rates by reference to:
115          (i) this section; or
116          (ii) the rule establishing the per diem rates.
117          (4) (a) Unless otherwise provided by statute, a board member who is not a legislator

118     may receive per diem under this section and travel expenses under Section 63A-3-107 if the per
119     diem and travel expenses are incurred by the board member for attendance at an official
120     meeting.
121          (b) Notwithstanding Subsection (4)(a), a board member may not receive per diem or
122     travel expenses under this Subsection (4) if the board member is being paid by a governmental
123     entity while performing the board member's service on the board.
124          (5) A board member may decline to receive per diem for the board member's service.
125          (6) Compensation and expenses of a board member who is a legislator are governed by
126     Section 36-2-2 and Legislative Joint Rules, Title 5, Legislative Compensation and Expenses.
127          Section 5. Section 63A-3-201 is amended to read:
128          63A-3-201. Appointment of accounting and other officers and employees by
129     director of the Division of Finance -- Delegation of powers and duties by director --
130     Background checks.
131          (1) With the approval of the executive director, the director of the Division of Finance
132     shall appoint an accounting officer and other administrative officers that are necessary to
133     efficiently and economically perform the functions of the Division of Finance.
134          (2) The director of the Division of Finance may:
135          (a) organize the division and employ other assistants to discharge the functions of the
136     division;
137          (b) delegate to assistants, officers, and employees any of the powers and duties of the
138     office subject to his or her control and subject to any conditions he may prescribe; and
139          (c) delegate the powers and duties of the office only by written order filed with the
140     lieutenant governor.
141          (3) (a) As used in this Subsection (3):
142          (i) "Public employee" means a person employed by a state agency.
143          (ii) "Public funds" means money, funds, and accounts, regardless of the source from
144     which the money, funds, and accounts are derived, that are owned, held, or administered by a
145     state agency.
146          (iii) "Public funds position" means employment with a state agency that requires:
147          (A) physical or electronic access to public funds;
148          (B) performing internal control functions or accounting;

149          (C) creating reports on public funds; or
150          (D) using, operating, or accessing state systems that account for or help account for
151     public funds.
152          (iv) "State agency" means [an executive branch]:
153          [(A) department;]
154          [(B)] (A) an executive branch agency; or
155          [(C) board;]
156          [(D) commission;]
157          [(E) division;]
158          [(F) office; or]
159          [(G)] (B) a state educational institution with the exception of an institution defined in
160     Subsection 53B-1-102(1).
161          (b) The Division of Finance may require that a public employee who applies for or
162     holds a public funds position:
163          (i) submit a fingerprint card in a form acceptable to the division;
164          (ii) consent to a criminal background check by:
165          (A) the Federal Bureau of Investigation;
166          (B) the Utah Bureau of Criminal Identification; or
167          (C) another agency of any state that performs criminal background checks; or
168          (iii) consent to a credit history report, subject to the requirements of the Fair Credit
169     Reporting Act, 15 U.S.C. Sec. 1681 et seq.
170          (c) The Division of Finance may, in accordance with Title 63G, Chapter 3, Utah
171     Administrative Rulemaking Act, adopt rules to implement this section.
172          Section 6. Section 63A-3-203 is amended to read:
173          63A-3-203. Accounting control over state departments and agencies --
174     Prescription and approval of financial forms, accounting systems, and fees.
175          (1) The director of the Division of Finance shall:
176          (a) exercise accounting control over all state departments and agencies except
177     institutions of higher education; and
178          (b) prescribe the manner and method of certifying that funds are available and adequate
179     to meet all contracts and obligations.

180          (2) The director shall audit all claims against the state for which an appropriation has
181     been made.
182          (3) (a) The director shall:
183          (i) prescribe all forms of requisitions, receipts, vouchers, bills, or claims to be used by
184     all state departments and agencies;
185          (ii) prescribe the forms, procedures, and records to be maintained by all departmental,
186     institutional, or agency store rooms;
187          (iii) exercise inventory control over the store rooms; and
188          (iv) prescribe all forms to be used by the division.
189          (b) Before approving the forms in Subsection (3)(a), the director shall obtain approval
190     from the state auditor that the forms will adequately facilitate the post-audit of public accounts.
191          (4) Before implementation by any state [department or] agency, the director of the
192     Division of Finance shall review and approve:
193          (a) any accounting system developed by a state [department or] agency; and
194          (b) any fees established by any state [department or] agency to recover the costs of
195     operations.
196          Section 7. Section 63A-3-302 is amended to read:
197          63A-3-302. Unpaid account receivable due the state.
198          If any account receivable has been unpaid for more than 90 days, any agency[,
199     department, division, commission, committee, board, council, institution, or any] or other
200     authority of state government responsible for collection of the account may proceed under this
201     part to collect the delinquent amount.
202          Section 8. Section 63A-3-501 is amended to read:
203          63A-3-501. Definitions.
204          As used in this part:
205          (1) (a) "Accounts receivable" or "receivables" means any amount due to a state agency
206     from an entity for which payment has not been received by the state agency that is servicing the
207     debt.
208          (b) "Accounts receivable" includes unpaid fees, licenses, taxes, loans, overpayments,
209     fines, forfeitures, surcharges, costs, contracts, interest, penalties, restitution to victims,
210     third-party claims, sale of goods, sale of services, claims, and damages.

211          (2) "Administrative offset" means:
212          (a) a reduction of an individual's tax refund or other payments due to the individual to
213     reduce or eliminate accounts receivable that the individual owes to a state agency; and
214          (b) a reduction of an entity's tax refund or other payments due to the entity to reduce or
215     eliminate accounts receivable that the entity owes to a state agency.
216          (3) "Entity" means an individual, a corporation, partnership, or other organization that
217     pays taxes to or does business with the state.
218          (4) "Office" means the Office of State Debt Collection established by this part.
219          (5) "Past due" means any accounts receivable that the state has not received by the
220     payment due date.
221          (6) "Restitution to victims" means restitution ordered by a court to be paid to a victim
222     of an offense in a criminal or juvenile proceeding.
223          (7) (a) "State agency" includes:
224          (i) [any department, division, commission, council, board, bureau, committee, office,
225     or other administrative subunit of Utah state government] an executive branch agency;
226          (ii) the legislative branch of state government; and
227          (iii) the judicial branches of state government, including justice courts.
228          (b) "State agency" does not include:
229          (i) any institution of higher education;
230          (ii) except in Subsection 63A-3-502(7)(g), the State Tax Commission; or
231          (iii) the administrator of the Uninsured Employers' Fund appointed by the Labor
232     Commissioner under Section 34A-2-704, solely for the purposes of collecting money required
233     to be deposited into the Uninsured Employers' Fund under:
234          (A) Section 34A-1-405;
235          (B) Title 34A, Chapter 2, Workers' Compensation Act; or
236          (C) Title 34A, Chapter 3, Utah Occupational Disease Act.
237          (8) "Writing-off" means the removal of an accounts receivable from an agency's
238     accounts receivable records but does not necessarily eliminate further collection efforts.
239          Section 9. Section 63A-5-103 is amended to read:
240          63A-5-103. Board -- Powers.
241          (1) The State Building Board shall:

242          (a) in cooperation with [state institutions, departments, commissions, and] agencies,
243     prepare a master plan of structures built or contemplated;
244          (b) submit to the governor and the Legislature a comprehensive five-year building plan
245     for the state containing the information required by Subsection (2);
246          (c) amend and keep current the five-year building program for submission to the
247     governor and subsequent legislatures;
248          (d) as a part of the long-range plan, recommend to the governor and Legislature any
249     changes in the law that are necessary to [insure] ensure an effective, well-coordinated building
250     program for all [state institutions] agencies;
251          (e) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
252     make rules:
253          (i) that are necessary to discharge its duties and the duties of the Division of Facilities
254     Construction and Management;
255          (ii) to establish standards and requirements for life cycle cost-effectiveness of state
256     facility projects;
257          (iii) to govern the disposition of real property by the division and establish factors,
258     including appraised value and historical significance, in evaluating the disposition;
259          (iv) to establish standards and requirements for a capital development project request,
260     including a requirement for a feasibility study; and
261          (v) [to establish standards and requirements for reporting] for operations and
262     maintenance expenditures for state-owned facilities[, including standards and requirements
263     relating to] that require, and establish standards for:
264          (A) reporting;
265          (B) utility metering;
266          (C) creating operations and maintenance programs within all agency institutional line
267     items;
268          (D) reviewing and adjusting for inflationary costs of goods and services on an annual
269     basis; and
270          (E) determining the actual cost for operations and management requests for a new
271     facility;
272          (f) with support from the Division of Facilities Construction and Management,

273     establish design criteria, standards, and procedures for planning, design, and construction of
274     new state facilities and for improvements to existing state facilities, including life-cycle
275     costing, cost-effectiveness studies, and other methods and procedures that address:
276          (i) the need for the building or facility;
277          (ii) the effectiveness of its design;
278          (iii) the efficiency of energy use; and
279          (iv) the usefulness of the building or facility over its lifetime;
280          (g) prepare and submit a yearly request to the governor and the Legislature for a
281     designated amount of square footage by type of space to be leased by the Division of Facilities
282     Construction and Management in that fiscal year;
283          (h) assure the efficient use of all building space; and
284          (i) conduct ongoing facilities maintenance audits for state-owned facilities.
285          (2) (a) An agency shall comply with the rules described in Subsection (1)(e)(v)(E) for
286     new facility requests submitted to the Legislature for the 2017 General Session or any session
287     of the Legislature after the 2017 General Session.
288          (b) On or before September 1, 2016, each agency shall revise the agency's budget to
289     comply with the rules described in Subsection (1)(e)(v)(C).
290          (c) Beginning on December 1, 2016, the Office of the Legislative Fiscal Analyst and
291     the Governor's Office of Management and Budget shall, for each agency with operating and
292     maintenance expenses, ensure that each required budget for that agency is adjusted in
293     accordance with the rules described in Subsection (1)(e)(v)(D).
294          [(2)] (3) In order to provide adequate information upon which the State Building Board
295     may make [its] a recommendation [under] described in Subsection (1), any state agency
296     requesting new full-time employees for the next fiscal year shall report those anticipated
297     requests to the building board at least 90 days before the annual general session in which the
298     request is made.
299          [(3)] (4) (a) The State Building Board shall ensure that the five-year building plan
300     required by Subsection (1)(c) includes:
301          (i) a list that prioritizes construction of new buildings for all structures built or
302     contemplated based upon each agency's[, department's, commission's, and institution's] present
303     and future needs;

304          (ii) information, and space use data for all state-owned and leased facilities;
305          (iii) substantiating data to support the adequacy of any projected plans;
306          (iv) a summary of all statewide contingency reserve and project reserve balances as of
307     the end of the most recent fiscal year;
308          (v) a list of buildings that have completed a comprehensive facility evaluation by an
309     architect/engineer or are scheduled to have an evaluation;
310          (vi) for those buildings that have completed the evaluation, the estimated costs of
311     needed improvements; and
312          (vii) for projects recommended in the first two years of the five-year building plan:
313          (A) detailed estimates of the cost of each project;
314          (B) the estimated cost to operate and maintain the building or facility on an annual
315     basis;
316          (C) the cost of capital improvements to the building or facility, estimated at 1.1% of
317     the replacement cost of the building or facility, on an annual basis;
318          (D) the estimated number of new agency full-time employees expected to be housed in
319     the building or facility;
320          (E) the estimated cost of new or expanded programs and personnel expected to be
321     housed in the building or facility;
322          (F) the estimated lifespan of the building with associated costs for major component
323     replacement over the life of the building; and
324          (G) the estimated cost of any required support facilities.
325          (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
326     State Building Board may make rules prescribing the format for submitting the information
327     required by this Subsection [(3)] (4).
328          [(4)] (5) (a) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
329     Act, the State Building Board may make rules establishing circumstances under which bids
330     may be modified when all bids for a construction project exceed available funds as certified by
331     the director.
332          (b) In making those rules, the State Building Board shall provide for the fair and
333     equitable treatment of bidders.
334          [(5)] (6) (a) A person who violates a rule adopted by the board under Subsection (1)(e)

335     is subject to a civil penalty not to exceed $2,500 for each violation plus the amount of any
336     actual damages, expenses, and costs related to the violation of the rule that are incurred by the
337     state.
338          (b) The board may take any other action allowed by law.
339          (c) If any violation of a rule adopted by the board is also an offense under Title 76,
340     Utah Criminal Code, the violation is subject to the civil penalty, damages, expenses, and costs
341     allowed under Subsection (1)(e) in addition to any criminal prosecution.
342          Section 10. Section 63A-5-104 is amended to read:
343          63A-5-104. Definitions -- Capital development and capital improvement process
344     -- Approval requirements -- Limitations on new projects -- Emergencies.
345          (1) As used in this section:
346          (a) (i) "Capital developments" means a:
347          [(i)] (A) remodeling, site, or utility project with a total cost of [$2,500,000] $3,500,000
348     or more;
349          [(ii)] (B) new facility with a construction cost of $500,000 or more; or
350          [(iii)] (C) purchase of real property where an appropriation is requested to fund the
351     purchase.
352          (ii) "Capital developments" does not include a project described in Subsection
353     (1)(b)(iii).
354          (b) "Capital improvements" means [a]:
355          (i) a remodeling, alteration, replacement, or repair project with a total cost of less than
356     [$2,500,000] $3,500,000;
357          (ii) a site [and] or utility improvement with a total cost of less than [$2,500,000; or]
358     $3,500,000;
359          (iii) a utility infrastructure improvement project that:
360          (A) has a total cost of less than $7,000,000;
361          (B) consists of two or more projects that, if done separately, would each cost less than
362     $3,500,000; and
363          (C) the State Building Board determines is more cost effective or feasible to be
364     completed as a single project; or
365          [(iii)] (iv) a new facility with a total construction cost of less than $500,000.

366          (c) (i) "New facility" means the construction of a new building on state property
367     regardless of funding source.
368          (ii) "New facility" includes:
369          (A) an addition to an existing building; and
370          (B) the enclosure of space that was not previously fully enclosed.
371          (iii) "New facility" does not [mean] include:
372          (A) the replacement of state-owned space that is demolished or that is otherwise
373     removed from state use, if the total construction cost of the replacement space is less than
374     [$2,500,000] $3,500,000; or
375          (B) the construction of facilities that do not fully enclose a space.
376          (d) "Replacement cost of existing state facilities and infrastructure" means the
377     replacement cost, as determined by the Division of Risk Management, of state facilities,
378     excluding auxiliary facilities as defined by the State Building Board and the replacement cost
379     of infrastructure as defined by the State Building Board.
380          (e) "State funds" means public money appropriated by the Legislature.
381          (2) (a) The State Building Board, on behalf of all state agencies, [commissions,
382     departments, and institutions] shall submit its capital development recommendations and
383     priorities to the Legislature for approval and prioritization.
384          (b) In developing the State Building Board's capital development recommendations and
385     priorities, the State Building Board shall:
386          (i) require each state agency[, commission, department, or institution] requesting an
387     appropriation for a capital development project to complete a study that demonstrates the
388     feasibility of the capital development project, including:
389          (A) the need for the capital development project;
390          (B) the appropriateness of the scope of the capital development project;
391          (C) any private funding for the capital development project; and
392          (D) the economic and community impacts of the capital development project; [and]
393          (ii) verify the completion and accuracy of the feasibility study described in Subsection
394     (2)(b)(i)[.];
395          (iii) require that an institution described in Section 53B-1-102 that submits a request
396     for a capital development project address whether and how, as a result of the project, the

397     institution will:
398          (A) offer courses or other resources that will help meet demand for jobs, training, and
399     employment in the current market and the projected market for the next five years;
400          (B) respond to individual skilled and technical job demand over the next 3, 5, and 10
401     years;
402          (C) respond to industry demands for trained workers;
403          (D) help meet commitments made by the Governor's Office of Economic
404     Development, including relating to training and incentives;
405          (E) respond to changing needs in the economy; and
406          (F) based on demographics, respond to demands for on-line or in-class instruction; and
407          (iv) only when determining the order of prioritization among requests submitted by the
408     State Board of Regents, give more weight, in the State Building Board's scoring process, to a
409     request that is designated as a higher priority by the State Board of Regents than a request that
410     is designated as a lower priority by the State Board of Regents.
411          (c) An agency may not modify a capital development project request after the deadline
412     for submitting the request, except to the extent that a modification of the scope of the project,
413     or the amount of funds requested, is necessary due to increased construction costs or other
414     factors outside of the agency's control.
415          (3) (a) Except as provided in Subsections (3)(b), (d), and (e), a capital development
416     project may not be constructed on state property without legislative approval.
417          (b) Legislative approval is not required for a capital development project that consists
418     of the design or construction of a new facility if:
419          (i) the State Building Board determines that[: (i)] the requesting state agency[,
420     commission, department, or institution] has provided adequate assurance that[: (A)] state funds
421     will not be used for the design or construction of the facility; [and]
422          [(B)] (ii) the state agency[, commission, department, or institution has a plan for
423     funding in place that will not require increased state funding] provides to the State Building
424     Board a written document, signed by the head of the state agency:
425          (A) stating that funding or a revenue stream is in place, or will be in place before the
426     project is completed, to ensure that increased state funding will not be required to cover the
427     cost of operations and maintenance to[, or state funding for,] the resulting facility for

428     immediate or future capital improvements [to the resulting facility]; and
429          (B) detailing the source of the funding that will be used for the cost of operations and
430     maintenance for immediate and future capital improvements to the resulting facility; and
431          [(ii)] (iii) the State Building Board determines that the use of the state property is:
432          (A) appropriate and consistent with the master plan for the property; and
433          (B) will not create an adverse impact on the state.
434          (c) (i) The Division of Facilities Construction and Management shall maintain a record
435     of facilities constructed under the exemption provided in Subsection (3)(b).
436          (ii) For facilities constructed under the exemption provided in Subsection (3)(b), a state
437     agency[, commission, department, or institution] may not request:
438          (A) increased state funds for operations and maintenance; or
439          (B) state capital improvement funding.
440          (d) Legislative approval is not required for:
441          (i) the renovation, remodeling, or retrofitting of an existing facility with nonstate funds
442     that has been approved by the State Building Board;
443          (ii) a facility to be built with nonstate funds and owned by nonstate entities within
444     research park areas at the University of Utah and Utah State University;
445          (iii) a facility to be built at This is the Place State Park by This is the Place Foundation
446     with funds of the foundation, including grant money from the state, or with donated services or
447     materials;
448          (iv) a capital project that:
449          (A) is funded by:
450          (I) the Uintah Basin Revitalization Fund; or
451          (II) the Navajo Revitalization Fund; and
452          (B) does not provide a new facility for a state agency or higher education institution; or
453          (v) a capital project on school and institutional trust lands that is funded by the School
454     and Institutional Trust Lands Administration from the Land Grant Management Fund and that
455     does not fund construction of a new facility for a state agency or higher education institution.
456          (e) (i) Legislative approval is not required for capital development projects to be built
457     for the Department of Transportation:
458          (A) as a result of an exchange of real property under Section 72-5-111; or

459          (B) as a result of a sale or exchange of real property from a maintenance facility if the
460     real property is exchanged for, or the proceeds from the sale of the real property are used for,
461     another maintenance facility, including improvements for a maintenance facility and real
462     property.
463          (ii) When the Department of Transportation approves a sale or exchange under
464     Subsection (3)(e), it shall notify the president of the Senate, the speaker of the House, and the
465     cochairs of the Infrastructure and General Government Appropriations Subcommittee of the
466     Legislature's Joint Appropriation Committee about any new facilities to be built or improved
467     under this exemption.
468          (4) (a) (i) The State Building Board, on behalf of all state agencies, commissions,
469     departments, and institutions shall by January 15 of each year, submit a list of anticipated
470     capital improvement requirements to the Legislature for review and approval.
471          (ii) The list shall identify:
472          (A) a single project that costs more than $1,000,000;
473          (B) multiple projects within a single building or facility that collectively cost more than
474     $1,000,000;
475          (C) a single project that will be constructed over multiple years with a yearly cost of
476     $1,000,000 or more and an aggregate cost of more than [$2,500,000] $3,500,000;
477          (D) multiple projects within a single building or facility with a yearly cost of
478     $1,000,000 or more and an aggregate cost of more than [$2,500,000] $3,500,000;
479          (E) a single project previously reported to the Legislature as a capital improvement
480     project under $1,000,000 that, because of an increase in costs or scope of work, will now cost
481     more than $1,000,000; [and]
482          (F) multiple projects within a single building or facility previously reported to the
483     Legislature as a capital improvement project under $1,000,000 that, because of an increase in
484     costs or scope of work, will now cost more than $1,000,000[.]; and
485          (G) projects approved under Subsection (1)(b)(iii).
486          (b) Unless otherwise directed by the Legislature, the State Building Board shall
487     prioritize capital improvements from the list submitted to the Legislature up to the level of
488     appropriation made by the Legislature.
489          (c) In prioritizing capital improvements, the State Building Board shall consider the

490     results of facility evaluations completed by an architect/engineer as stipulated by the building
491     board's facilities maintenance standards.
492          (d) Beginning on July 1, 2013, in prioritizing capital improvements, the State Building
493     Board shall allocate at least 80% of the funds that the Legislature appropriates for capital
494     improvements to:
495          (i) projects that address:
496          (A) a structural issue;
497          (B) fire safety;
498          (C) a code violation; or
499          (D) any issue that impacts health and safety;
500          (ii) projects that upgrade:
501          (A) an HVAC system;
502          (B) an electrical system;
503          (C) essential equipment;
504          (D) an essential building component; or
505          (E) infrastructure, including a utility tunnel, water line, gas line, sewer line, roof,
506     parking lot, or road; or
507          (iii) projects that demolish and replace an existing building that is in extensive
508     disrepair and cannot be fixed by repair or maintenance.
509          (e) Beginning on July 1, 2013, in prioritizing capital improvements, the State Building
510     Board shall allocate no more than 20% of the funds that the Legislature appropriates for capital
511     improvements to:
512          (i) remodeling and aesthetic upgrades to meet state programmatic needs; or
513          (ii) construct an addition to an existing building or facility.
514          (f) The State Building Board may require an entity that benefits from a capital
515     improvement project to repay the capital improvement funds from savings that result from the
516     project.
517          (g) The State Building Board may provide capital improvement funding to a single
518     project, or to multiple projects within a single building or facility, even if the total cost of the
519     project or multiple projects is [$2,500,000] $3,500,000 or more, if:
520          (i) the capital improvement project [or multiple projects require more than one year to

521     complete] is a project described in Subsection (1)(b)(iii); and
522          (ii) the Legislature has [affirmatively authorized the capital improvement project or
523     multiple projects to be funded in phases] not refused to fund the project with capital
524     improvement funds.
525          (h) In prioritizing and allocating capital improvement funding, the State Building
526     Board shall comply with the requirement in Subsection 63B-23-101(2)(f).
527          (5) The Legislature may authorize:
528          (a) the total square feet to be occupied by each state agency; and
529          (b) the total square feet and total cost of lease space for each agency.
530          (6) If construction of a new building or facility [will be paid for by nonstate funds, but]
531     will require an immediate or future increase in state funding for operations and maintenance or
532     for capital improvements, the Legislature may not authorize the new building or facility until
533     the Legislature appropriates funds for:
534          (a) the portion of operations and maintenance, if any, that will require an immediate or
535     future increase in state funding; and
536          (b) the portion of capital improvements, if any, that will require an immediate or future
537     increase in state funding.
538          (7) (a) Except as provided in Subsection (7)(b) [or (c)], the Legislature may not fund
539     the design or construction of any new capital development projects, except to complete the
540     funding of projects for which partial funding has been previously provided, until the
541     Legislature has appropriated [1.1%] 1.3% of the replacement cost of existing state facilities and
542     infrastructure to capital improvements.
543          (b) (i) As used in this Subsection (7)(b):
544          (A) "Education Fund budget deficit" is as defined in Section 63J-1-312; and
545          (B) "General Fund budget deficit" is as defined in Section 63J-1-312.
546          (ii) If the Legislature determines that an Education Fund budget deficit or a General
547     Fund budget deficit exists, the Legislature may, in eliminating the deficit, reduce the amount
548     appropriated to capital improvements to 0.9% of the replacement cost of state buildings and
549     infrastructure.
550          [(c) (i) The requirements under Subsections (6)(a) and (b) do not apply to the 2008-09,
551     2009-10, 2010-11, 2011-12, and 2012-13 fiscal years.]

552          [(ii) For the 2013-14 fiscal year, the amount appropriated to capital improvements shall
553     be reduced to 0.9% of the replacement cost of state facilities.]
554          (8) It is the policy of the Legislature that a new building or facility be approved and
555     funded for construction in a single budget action, therefore the Legislature may not fund the
556     programming, design, and construction of a new building or facility in phases over more than
557     one year unless the Legislature has approved each phase of the funding for the construction of
558     the new building or facility by the affirmative vote of two-thirds of all the members elected to
559     each house.
560          (9) (a) If, after approval of capital development and capital improvement priorities by
561     the Legislature under this section, emergencies arise that create unforeseen critical capital
562     improvement projects, the State Building Board may, notwithstanding the requirements of Title
563     63J, Chapter 1, Budgetary Procedures Act, reallocate capital improvement funds to address
564     those projects.
565          (b) The State Building Board shall report any changes it makes in capital improvement
566     allocations approved by the Legislature to:
567          (i) the Office of Legislative Fiscal Analyst within 30 days of the reallocation; and
568          (ii) the Legislature at its next annual general session.
569          (10) (a) The State Building Board may adopt a rule allocating to institutions and
570     agencies their proportionate share of capital improvement funding.
571          (b) The State Building Board shall ensure that the rule:
572          (i) reserves funds for the Division of Facilities Construction and Management for
573     emergency projects; and
574          (ii) allows the delegation of projects to some institutions and agencies with the
575     requirement that a report of expenditures will be filed annually with the Division of Facilities
576     Construction and Management and appropriate governing bodies.
577          (11) It is the intent of the Legislature that in funding capital improvement requirements
578     under this section the General Fund be considered as a funding source for at least half of those
579     costs.
580          (12) (a) Subject to Subsection (12)(b), at least 80% of the state funds appropriated for
581     capital improvements shall be used for maintenance or repair of the existing building or
582     facility.

583          (b) The State Building Board may modify the requirement described in Subsection
584     (12)(a) if the State Building Board determines that a different allocation of capital
585     improvements funds is in the best interest of the state.
586          Section 11. Section 63A-5-204 is amended to read:
587          63A-5-204. Specific powers and duties of director.
588          (1) As used in this section, "capitol hill facilities" and "capitol hill grounds" have the
589     same meaning as provided in Section 63C-9-102.
590          (2) (a) The director shall:
591          (i) recommend rules to the executive director for the use and management of facilities
592     and grounds owned or occupied by the state for the use of its departments and agencies;
593          (ii) supervise and control the allocation of space, in accordance with legislative
594     directive through annual appropriations acts or other specific legislation, to the various
595     departments, commissions, institutions, and agencies in all buildings or space owned, leased, or
596     rented by or to the state, except capitol hill facilities and capitol hill grounds and except as
597     otherwise provided by law;
598          (iii) comply with the procedures and requirements of Title 63A, Chapter 5, Part 3,
599     Division of Facilities Construction and Management Leasing;
600          (iv) except as provided in Subsection (2)(b), acquire, as authorized by the Legislature
601     through the appropriations act or other specific legislation, and hold title to, in the name of the
602     division, all real property, buildings, fixtures, or appurtenances owned by the state or any of its
603     agencies;
604          (v) adopt and use a common seal, of a form and design determined by the director, and
605     of which courts shall take judicial notice;
606          (vi) file a description and impression of the seal with the Division of Archives;
607          (vii) collect and maintain all deeds, abstracts of title, and all other documents
608     evidencing title to or interest in property belonging to the state or any of its departments, except
609     institutions of higher education and the School and Institutional Trust Lands Administration;
610          (viii) report all properties acquired by the state, except those acquired by institutions of
611     higher education, to the director of the Division of Finance for inclusion in the state's financial
612     records;
613          (ix) before charging a rate, fee, or other amount for services provided by the division's

614     internal service fund to an executive branch agency, or to a subscriber of services other than an
615     executive branch agency:
616          (A) submit the proposed rates, fees, and cost analysis to the Rate Committee
617     established in Section 63A-1-114; and
618          (B) obtain the approval of the Legislature as required by Section 63J-1-410;
619          (x) conduct a market analysis by July 1, 2005, and periodically thereafter, of proposed
620     rates and fees, which analysis shall include a comparison of the division's rates and fees with
621     the fees of other public or private sector providers where comparable services and rates are
622     reasonably available;
623          (xi) implement the State Building Energy Efficiency Program under Section
624     63A-5-701; and
625          (xii) take all other action necessary for carrying out the purposes of this chapter.
626          (b) Legislative approval is not required for acquisitions by the division that cost less
627     than $250,000.
628          (3) (a) The director shall direct or delegate maintenance and operations, preventive
629     maintenance, and facilities inspection programs and activities for any [department,
630     commission, institution, or] agency, except:
631          (i) the State Capitol Preservation Board; and
632          (ii) state institutions of higher education.
633          (b) The director may choose to delegate responsibility for these functions only when
634     the director determines that:
635          (i) the [department or] agency has requested the responsibility;
636          (ii) the [department or] agency has the necessary resources and skills to comply with
637     facility maintenance standards approved by the State Building Board; and
638          (iii) the delegation would result in net cost savings to the state as a whole.
639          (c) The State Capitol Preservation Board and state institutions of higher education are
640     exempt from Division of Facilities Construction and Management oversight.
641          (d) Each state institution of higher education shall comply with the facility
642     maintenance standards approved by the State Building Board.
643          (e) Except for the State Capitol Preservation Board, agencies and institutions that are
644     exempt from division oversight shall annually report their compliance with the facility

645     maintenance standards to the division in the format required by the division.
646          (f) The division shall:
647          (i) prescribe a standard format for reporting compliance with the facility maintenance
648     standards;
649          (ii) report agency [and institution] compliance or noncompliance with the standards to
650     the Legislature; and
651          (iii) conduct periodic audits of exempt agencies and institutions to ensure that they are
652     complying with the standards.
653          (4) (a) In making any allocations of space under Subsection (2), the director shall:
654          (i) conduct studies to determine the actual needs of each [department, commission,
655     institution, or] agency; and
656          (ii) comply with the restrictions contained in this Subsection (4).
657          (b) The supervision and control of the legislative area is reserved to the Legislature.
658          (c) The supervision and control of the judicial area is reserved to the judiciary for trial
659     courts only.
660          (d) The director may not supervise or control the allocation of space for entities in the
661     public and higher education systems.
662          (e) The supervision and control of capitol hill facilities and capitol hill grounds is
663     reserved to the State Capitol Preservation Board.
664          (5) The director may:
665          (a) hire or otherwise procure assistance and services, professional, skilled, or
666     otherwise, that are necessary to carry out the director's responsibilities, and may expend funds
667     provided for that purpose either through annual operating budget appropriations or from
668     nonlapsing project funds;
669          (b) sue and be sued in the name of the division; and
670          (c) hold, buy, lease, and acquire by exchange or otherwise, as authorized by the
671     Legislature, whatever real or personal property that is necessary for the discharge of the
672     director's duties.
673          (6) Notwithstanding the provisions of Subsection (2)(a)(iv), the following entities may
674     hold title to any real property, buildings, fixtures, and appurtenances held by them for purposes
675     other than administration that are under their control and management:

676          (a) the Office of Trust Administrator;
677          (b) the Department of Transportation;
678          (c) the Division of Forestry, Fire, and State Lands;
679          (d) the Department of Natural Resources;
680          (e) the Utah National Guard;
681          (f) any area vocational center or other institution administered by the State Board of
682     Education;
683          (g) any institution of higher education; and
684          (h) the Utah Science Technology and Research Governing Authority.
685          (7) The director shall ensure that any firm performing testing and inspection work
686     governed by the American Society for Testing Materials Standard E-329 on public buildings
687     under the director's supervision shall:
688          (a) fully comply with the American Society for Testing Materials standard
689     specifications for agencies engaged in the testing and inspection of materials known as ASTM
690     E-329; and
691          (b) carry a minimum of $1,000,000 of errors and omissions insurance.
692          (8) Notwithstanding Subsections (2)(a)(iii) and (iv), the School and Institutional Trust
693     Lands Administration may hold title to any real property, buildings, fixtures, and appurtenances
694     held by it that are under its control.
695          Section 12. Section 63A-5-206 is amended to read:
696          63A-5-206. Construction, alteration, and repair of state facilities -- Powers of
697     director -- Exceptions -- Expenditure of appropriations -- Notification to local
698     governments for construction or modification of certain facilities.
699          (1) As used in this section:
700          (a) "Capital developments" and "capital improvements" have the same meaning as
701     provided in Section 63A-5-104.
702          (b) "Compliance agency" has the same meaning as provided in Section 15A-1-202.
703          (c) (i) "Facility" means any building, structure, or other improvement that is
704     constructed on property owned by the state, its departments, commissions, institutions, or
705     agencies.
706          (ii) "Facility" does not mean an unoccupied structure that is a component of the state

707     highway system.
708          (d) "Life cycle cost-effective" means, as provided for in rules adopted by the State
709     Building Board, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
710     Act, the most prudent cost of owning and operating a facility, including the initial cost, energy
711     costs, operation and maintenance costs, repair costs, and the costs of energy conservation and
712     renewable energy systems.
713          (e) "Local government" means the county, municipality, or local school district that
714     would have jurisdiction to act as the compliance agency if the property on which the project is
715     being constructed were not owned by the state.
716          (f) "Renewable energy system" means a system designed to use solar, wind, geothermal
717     power, wood, or other replenishable energy source to heat, cool, or provide electricity to a
718     building.
719          (2) (a) (i) Except as provided in Subsections (3) and (4), the director shall exercise
720     direct supervision over the design and construction of all new facilities, and all alterations,
721     repairs, and improvements to existing facilities if the total project construction cost, regardless
722     of the funding source, is greater than $100,000, unless there is memorandum of understanding
723     between the director and an institution of higher education that permits the institution of higher
724     education to exercise direct supervision for a project with a total project construction cost of
725     not greater than $250,000.
726          (ii) A state entity may exercise direct supervision over the design and construction of
727     all new facilities, and all alterations, repairs, and improvements to existing facilities if:
728          (A) the total project construction cost, regardless of the funding sources, is $100,000 or
729     less; and
730          (B) the state entity assures compliance with the division's forms and contracts and the
731     division's design, construction, alteration, repair, improvements, and code inspection standards.
732          (b) The director shall prepare or have prepared by private firms or individuals designs,
733     plans, and specifications for the projects administered by the division.
734          (c) Before proceeding with construction, the director and the officials charged with the
735     administration of the affairs of the particular [department, commission, institution, or] agency
736     shall approve the location, design, plans, and specifications.
737          (3) Projects for the construction of new facilities and alterations, repairs, and

738     improvements to existing facilities are not subject to Subsection (2) if the project:
739          (a) occurs on property under the jurisdiction of the State Capitol Preservation Board;
740          (b) is within a designated research park at the University of Utah or Utah State
741     University;
742          (c) occurs within the boundaries of This is the Place State Park and is administered by
743     This is the Place Foundation except that This is the Place Foundation may request the director
744     to administer the design and construction; or
745          (d) is for the creation and installation of art under Title 9, Chapter 6, Part 4, Utah
746     Percent-for-Art Act.
747          (4) (a) (i) The State Building Board may authorize the delegation of control over
748     design, construction, and all other aspects of any project to entities of state government on a
749     project-by-project basis or for projects within a particular dollar range and a particular project
750     type.
751          (ii) The state entity to whom control is delegated shall assume fiduciary control over
752     project finances, shall assume all responsibility for project budgets and expenditures, and shall
753     receive all funds appropriated for the project, including any contingency funds contained in the
754     appropriated project budget.
755          (iii) Delegation of project control does not exempt the state entity from complying with
756     the codes and guidelines for design and construction adopted by the division and the State
757     Building Board.
758          (iv) State entities that receive a delegated project may not access, for the delegated
759     project, the division's statewide contingency reserve and project reserve authorized in Section
760     63A-5-209.
761          (b) For facilities that will be owned, operated, maintained, and repaired by an entity
762     that is not a state agency [or institution] and that are located on state property, the State
763     Building Board may authorize the owner to administer the design and construction of the
764     project instead of the division.
765          (5) Notwithstanding any other provision of this section, if a donor donates land to an
766     eligible institution of higher education and commits to build a building or buildings on that
767     land, and the institution agrees to provide funds for the operations and maintenance costs from
768     sources other than state funds, and agrees that the building or buildings will not be eligible for

769     state capital improvement funding, the higher education institution may:
770          (a) oversee and manage the construction without involvement, oversight, or
771     management from the division; or
772          (b) arrange for management of the project by the division.
773          (6) (a) The role of compliance agency as provided in Title 15A, State Construction and
774     Fire Codes Act, shall be provided by:
775          (i) the director, for projects administered by the division;
776          (ii) the entity designated by the State Capitol Preservation Board, for projects under
777     Subsection (3)(a);
778          (iii) the local government, for projects exempt from the division's administration under
779     Subsection (3)(b) or administered by This is the Place Foundation under Subsection (3)(c);
780          (iv) the state entity or local government designated by the State Building Board, for
781     projects under Subsection (4); or
782          (v) the institution, for projects exempt from the division's administration under
783     Subsection (5)(a).
784          (b) For the installation of art under Subsection (3)(d), the role of compliance agency
785     shall be provided by the entity that is acting in this capacity for the balance of the project as
786     provided in Subsection (6)(a).
787          (c) The local government acting as the compliance agency under Subsection (6)(a)(iii)
788     may:
789          (i) only review plans and inspect construction to enforce the State Construction Code
790     or an approved code under Title 15A, State Construction and Fire Codes Act; and
791          (ii) charge a building permit fee of no more than the amount it could have charged if
792     the land upon which the improvements are located were not owned by the state.
793          (d) (i) The use of state property and any improvements constructed on state property,
794     including improvements constructed by nonstate entities, is not subject to the zoning authority
795     of local governments as provided in Sections 10-9a-304 and 17-27a-304.
796          (ii) The state entity controlling the use of the state property shall consider any input
797     received from the local government in determining how the property shall be used.
798          (7) Before construction may begin, the director shall review the design of projects
799     exempted from the division's administration under Subsection (4) to determine if the design:

800          (a) complies with any restrictions placed on the project by the State Building Board;
801     and
802          (b) is appropriate for the purpose and setting of the project.
803          (8) The director shall ensure that state-owned facilities, except for facilities under the
804     control of the State Capitol Preservation Board, are life cycle cost-effective.
805          (9) The director may expend appropriations for statewide projects from funds provided
806     by the Legislature for those specific purposes and within guidelines established by the State
807     Building Board.
808          (10) (a) The director, with the approval of the Office of Legislative Fiscal Analyst,
809     shall develop standard forms to present capital development and capital improvement cost
810     summary data.
811          (b) The director shall:
812          (i) within 30 days after the completion of each capital development project, submit cost
813     summary data for the project on the standard form to the Office of Legislative Fiscal Analyst;
814     and
815          (ii) upon request, submit cost summary data for a capital improvement project to the
816     Office of Legislative Fiscal Analyst on the standard form.
817          (11) Notwithstanding the requirements of Title 63J, Chapter 1, Budgetary Procedures
818     Act, the director may:
819          (a) accelerate the design of projects funded by any appropriation act passed by the
820     Legislature in its annual general session;
821          (b) use any unencumbered existing account balances to fund that design work; and
822          (c) reimburse those account balances from the amount funded for those projects when
823     the appropriation act funding the project becomes effective.
824          (12) (a) The director, the director's designee, or the state entity to whom control has
825     been designated under Subsection (4), shall notify in writing the elected representatives of local
826     government entities directly and substantively affected by any diagnostic, treatment, parole,
827     probation, or other secured facility project exceeding $250,000, if:
828          (i) the nature of the project has been significantly altered since prior notification;
829          (ii) the project would significantly change the nature of the functions presently
830     conducted at the location; or

831          (iii) the project is new construction.
832          (b) At the request of either the state entity or the local government entity,
833     representatives from the state entity and the affected local entity shall conduct or participate in
834     a local public hearing or hearings to discuss these issues.
835          (13) (a) (i) Before beginning the construction of student housing on property owned by
836     the state or a public institution of higher education, the director shall provide written notice of
837     the proposed construction, as provided in Subsection (13)(a)(ii), if any of the proposed student
838     housing buildings is within 300 feet of privately owned residential property.
839          (ii) Each notice under Subsection (13)(a)(i) shall be provided to the legislative body
840     and, if applicable, the mayor of:
841          (A) the county in whose unincorporated area the privately owned residential property is
842     located; or
843          (B) the municipality in whose boundaries the privately owned residential property is
844     located.
845          (b) (i) Within 21 days after receiving the notice required by Subsection (13)(a)(i), a
846     county or municipality entitled to the notice may submit a written request to the director for a
847     public hearing on the proposed student housing construction.
848          (ii) If a county or municipality requests a hearing under Subsection (13)(b)(i), the
849     director and the county or municipality shall jointly hold a public hearing to provide
850     information to the public and to allow the director and the county or municipality to receive
851     input from the public about the proposed student housing construction.
852          Section 13. Section 63A-5-215 is amended to read:
853          63A-5-215. Disposition of proceeds received by division from sale of property.
854          (1) The money received by the division from the sale or other disposition of property
855     shall be paid into the state treasury and becomes a part of the funds provided by law for
856     carrying out the building program of the state, and are appropriated for that purpose.
857          (2) The proceeds from sales of property belonging to or used by a particular state
858     [institution or] agency shall, to the extent practicable, be expended for the construction of
859     buildings or in the performance of other work for the benefit of that [institution or] agency.
860          Section 14. Section 63A-5-226 is enacted to read:
861          63A-5-226. Report to Infrastructure and General Government Appropriations

862     Subcommittee.
863          The division shall, beginning in 2016, and in every even-numbered year after 2016, on
864     or before the third Wednesday in November, present a written report to the Infrastructure and
865     General Government Appropriations Subcommittee that identifies state land and buildings that
866     are no longer needed and can be sold by the state.
867          Section 15. Section 63J-1-201 is amended to read:
868          63J-1-201. Governor's proposed budget to Legislature -- Contents -- Preparation
869     -- Appropriations based on current tax laws and not to exceed estimated revenues.
870          (1) The governor shall deliver, not later than 30 days before the date the Legislature
871     convenes in the annual general session, a confidential draft copy of the governor's proposed
872     budget recommendations to the Office of the Legislative Fiscal Analyst according to the
873     requirements of this section.
874          (2) (a) When submitting a proposed budget, the governor shall, within the first three
875     days of the annual general session of the Legislature, submit to the presiding officer of each
876     house of the Legislature:
877          (i) a proposed budget for the ensuing fiscal year;
878          (ii) a schedule for all of the proposed changes to appropriations in the proposed budget,
879     with each change clearly itemized and classified; and
880          (iii) as applicable, a document showing proposed changes in estimated revenues that
881     are based on changes in state tax laws or rates.
882          (b) The proposed budget shall include:
883          (i) a projection of:
884          (A) estimated revenues by major tax type;
885          (B) 15-year trends for each major tax type;
886          (C) estimated receipts of federal funds; and
887          (D) appropriations for the next fiscal year;
888          (ii) the source of changes to all direct, indirect, and in-kind matching funds for all
889     federal grants or assistance programs included in the budget;
890          (iii) changes to debt service;
891          (iv) a plan of proposed changes to appropriations and estimated revenues for the next
892     fiscal year that is based upon the current fiscal year state tax laws and rates and considers

893     projected changes in federal grants or assistance programs included in the budget;
894          (v) an itemized estimate of the proposed changes to appropriations for:
895          (A) the Legislative Department as certified to the governor by the president of the
896     Senate and the speaker of the House;
897          (B) the Executive Department;
898          (C) the Judicial Department as certified to the governor by the state court
899     administrator;
900          (D) changes to salaries payable by the state under the Utah Constitution or under law
901     for lease agreements planned for the next fiscal year; and
902          (E) all other changes to ongoing or one-time appropriations, including dedicated
903     credits, restricted funds, nonlapsing balances, grants, and federal funds;
904          (vi) for each line item, the average annual dollar amount of staff funding associated
905     with all positions that were vacant during the last fiscal year;
906          (vii) deficits or anticipated deficits;
907          (viii) the recommendations for each state agency for new full-time employees for the
908     next fiscal year, which shall also be provided to the State Building Board as required by
909     Subsection 63A-5-103[(2)](3);
910          (ix) a written description and itemized report submitted by a state agency to the
911     Governor's Office of Management and Budget under Section 63J-1-220, including:
912          (A) a written description and an itemized report provided at least annually detailing the
913     expenditure of the state money, or the intended expenditure of any state money that has not
914     been spent; and
915          (B) a final written itemized report when all the state money is spent;
916          (x) any explanation that the governor may desire to make as to the important features
917     of the budget and any suggestion as to methods for the reduction of expenditures or increase of
918     the state's revenue; and
919          (xi) information detailing certain fee increases as required by Section 63J-1-504.
920          (3) For the purpose of preparing and reporting the proposed budget:
921          (a) The governor shall require the proper state officials, including all public and higher
922     education officials, all heads of executive and administrative departments and state institutions,
923     bureaus, boards, commissions, and agencies expending or supervising the expenditure of the

924     state money, and all institutions applying for state money and appropriations, to provide
925     itemized estimates of changes in revenues and appropriations.
926          (b) The governor may require the persons and entities subject to Subsection (3)(a) to
927     provide other information under these guidelines and at times as the governor may direct,
928     which may include a requirement for program productivity and performance measures, where
929     appropriate, with emphasis on outcome indicators.
930          (c) The governor may require representatives of public and higher education, state
931     departments and institutions, and other institutions or individuals applying for state
932     appropriations to attend budget meetings.
933          (4) (a) The Governor's Office of Management and Budget shall provide to the Office of
934     Legislative Fiscal Analyst, as soon as practicable, but no later than 30 days before the date the
935     Legislature convenes in the annual general session, data, analysis, or requests used in preparing
936     the governor's budget recommendations, notwithstanding the restrictions imposed on such
937     recommendations by available revenue.
938          (b) The information under Subsection (4)(a) shall include:
939          (i) actual revenues and expenditures for the fiscal year ending the previous June 30;
940          (ii) estimated or authorized revenues and expenditures for the current fiscal year;
941          (iii) requested revenues and expenditures for the next fiscal year;
942          (iv) detailed explanations of any differences between the amounts appropriated by the
943     Legislature in the current fiscal year and the amounts reported under Subsections (4)(b)(ii) and
944     (iii);
945          (v) a statement of agency and program objectives, effectiveness measures, and program
946     size indicators; and
947          (vi) other budgetary information required by the Legislature in statute.
948          (c) The budget information under Subsection (4)(a) shall cover:
949          (i) all items of appropriation, funds, and accounts included in appropriations acts for
950     the current and previous fiscal years; and
951          (ii) any new appropriation, fund, or account items requested for the next fiscal year.
952          (d) The information provided under Subsection (4)(a) may be provided as a shared
953     record under Section 63G-2-206 as considered necessary by the Governor's Office of
954     Management and Budget.

955          (5) (a) In submitting the budget for the Department of Public Safety, the governor shall
956     include a separate recommendation in the governor's budget for maintaining a sufficient
957     number of alcohol-related law enforcement officers to maintain the enforcement ratio equal to
958     or below the number specified in Subsection 32B-1-201(2).
959          (b) If the governor does not include in the governor's budget an amount sufficient to
960     maintain the number of alcohol-related law enforcement officers described in Subsection
961     (5)(a), the governor shall include a message to the Legislature regarding the governor's reason
962     for not including that amount.
963          (6) (a) The governor may revise all estimates, except those relating to the Legislative
964     Department, the Judicial Department, and those providing for the payment of principal and
965     interest to the state debt and for the salaries and expenditures specified by the Utah
966     Constitution or under the laws of the state.
967          (b) The estimate for the Judicial Department, as certified by the state court
968     administrator, shall also be included in the budget without revision, but the governor may make
969     separate recommendations on the estimate.
970          (7) The total appropriations requested for expenditures authorized by the budget may
971     not exceed the estimated revenues from taxes, fees, and all other sources for the next ensuing
972     fiscal year.
973          (8) If any item of the budget as enacted is held invalid upon any ground, the invalidity
974     does not affect the budget itself or any other item in it.
975          Section 16. Study by State Board of Regents.
976          (1) The State Board of Regents shall:
977          (a) before November 16, 2016, conduct a study to identify the best method to
978     determine the amount or percentage of money received from research and development
979     activities that should be spent on operations and maintenance costs;
980          (b) consult with stakeholders to make the identification described in Subsection (1)(a);
981     and
982          (c) on or before November 16, 2016, present a written report of the study and the
983     method identified to the Infrastructure and General Government Appropriations Subcommittee.
984          (2) This section is repealed on January 1, 2017.