MINUTES OF THE

HOUSE REVENUE AND TAXATION

STANDING COMMITTEE

Room 445, State Capitol

March 8, 2016

Members Present:                Rep. Daniel McCay, Chair

                                                Rep. Jeremy A. Peterson, Vice Chair

                                                Rep. Joel K. Briscoe

                                                Rep. Rich Cunningham                                                                                                          Rep. Gage Froerer

                                                Rep. Brian M. Greene

                                                Rep. Eric K. Hutchings

                                                Rep. Ken Ivory                                                                                                                       Rep. Brian S. King

                                                Rep. John Knotwell

                                                Rep. Mike K. McKell

                                                Rep. Douglas V. Sagers

                                                Rep. Jon E. Stanard 

Staff Present:                        Leif G. Elder, Policy Analyst

                                                An Bradshaw, Secretary

NOTE: A list of visitors and a copy of handouts are filed with the committee minutes.

Chair McCay called the meeting to order at 7:09 p.m.

MOTION:     Rep. McKell moved to approve the minutes of the March 1, 2016; March 3, 2016; and March 4, 2016 meetings. The motion passed unanimously with Rep. Greene, Rep. Froerer, Rep. Hutchings, Rep. King, Rep. Knotwell, and Rep. Stanard absent for the vote.

S.B. 221          Capitol Protocol Amendments (Sen. M. Madsen)

Sen. Madsen explained the bill to the committee.

MOTION:     Rep. Cunningham moved to pass the bill out favorably. The motion passed unanimously with Rep. Froerer, Rep. Hutchings, Rep. King, Rep. Knotwell, and Rep. Stanard absent for the vote.

S.B. 245          Personal Property Amendments (Sen. D. Henderson)

Sen. Henderson explained the bill to the committee.

MOTION:     Rep. McKell moved to pass the bill out favorably. The motion passed unanimously with Rep. Froerer absent for the vote.

S.B. 242          Special Education Intensive Needs Fund Amendments (Sen. L. Fillmore)

Sen. Fillmore explained the bill to the committee.

MOTION:     Rep. Briscoe moved to pass the bill out favorably. The motion passed unanimously with Rep. Froerer absent for the vote.

S.B. 256          Judgment Interest Rate Amendments (Sen. C. Bramble)

Sen. Bramble explained the bill to the committee.

MOTION:     Rep. Sagers moved to pass the bill out favorably. The motion passed with

                        Rep. Ivory voting in opposition and Rep. Froerer absent for the vote.

1st Sub. S.B. 171       Economic Development Tax Credits Amendments (Sen. C. Bramble)

Sen. Bramble explained the bill to the committee.

MOTION:     Rep. Stanard moved to replace 1st Sub. S.B. 171 with 2nd Sub. S.B. 171. The motion passed unanimously with Rep. Froerer absent for the vote.

MOTION:     Rep. Knotwell moved to pass 2nd Sub. S.B. 171 out favorably. The motion passed unanimously with Rep. Froerer absent for the vote.

S.B. 217          Alcoholic Beverage Control Act Licensing Amendments (Sen. J. Stevenson)

Sen. Stevenson explained the bill to the committee.

MOTION:     Rep. Cunningham moved to pass the bill out favorably. The motion passed unanimously with Rep. Froerer and Rep. McKell absent for the vote.

S.B. 250          Alcoholic Beverage Policy Amendments (Sen. J. Stevenson)

Sen. Stevenson explained the bill to the committee.

MOTION:     Rep. Cunningham moved to pass the bill out favorably. The motion passed unanimously with Rep. Froerer, Rep. Hutchings, and Rep. Peterson absent for the vote.

4th Sub. S.B. 90        Falsification of Information in a Protective Order Proceeding (Sen. A. Jackson)

Sen. Jackson explained the bill to the committee. Dan Deuel and Dani Hartvigsen, National Parents Organization of Utah, answered questions from the committee and spoke in support of the bill.

Spoke against the bill:            Stewart Ralphs, Family Law Section, Utah State Bar

                                                Virginia Ward, advocate for domestic violence victims

                                                Gary Scheller, Office for Victims of Crime

MOTION:     Rep. McKell moved to move to the next item on the agenda, which Chair McCay said has the effect of holding the bill in committee so it cannot be prioritized and placed on the board. The motion passed with Rep. Greene and Rep. Hutchings voting in opposition and Rep. Froerer absent for the vote.

2nd Sub. S.B. 182      Sales and Use Tax Revisions (Sen. W. Harper)

Sen. Harper explained the bill to the committee.

Spoke for the bill:                   Lynn Pace, Utah League of Cities and Towns

                                                Kate Bradshaw, Utah Food Industry Association and Utah Retail                                                             Merchants Association

Spoke against the bill:            Chad Waite, Avantlink.com

                                                Gary Thorup, eBay

                                                John Doherty, TechNet

                                                James O'Neal, citizen

                                                Natalie Martins, Affiliate Marketers of Utah

MOTION:     Rep. McKell moved to amend the bill as follows:

1.    Page 45, Lines 1378 through 1379:        

1378Section 11. Effective date.

1379This bill takes effect on July 1, {  2016  }  2017  .

The motion to amend passed with Rep. Knotwell voting in opposition and Rep. Hutchings absent for the vote.

MOTION:     Rep. McKell moved to move to the next item on the agenda, which Chair McCay said has the effect of holding the bill in committee so it cannot be prioritized and placed on the board. The motion passed unanimously with Rep. Hutchings absent for the vote.

2nd Sub. S.B. 133      Small Employer Retirement Amendments (Sen. T. Weiler)

Sen. Weiler explained the bill to the committee.

Rep. Cunningham declared a conflict of interest.

Spoke for the bill:                   Danny Harris, AARP Utah

                                               Dave Davis, Utah Food Industry Association and Utah Retail                                                            Merchants Association

                                               Jonathan Parry, Vest Pocket Business Coalition

Spoke to the bill:                    David Damschen, State Treasurer

Spoke against the bill:            Howard Headlee, Utah Bankers Association

                                               Jeff Scott, FirstWest, letter provided to the committee

                                               Charles Lansche, Fidelity Investments

MOTION:     Rep. Cunningham moved to move to the next item on the agenda, which Chair McCay said has the effect of holding the bill in committee so it cannot be prioritized and placed on the board. The motion passed with Rep. Briscoe voting in opposition and Rep. McKell absent for the vote.

S.B. 208          Retirement Amendments (Sen. T. Weiler)

Sen. Weiler explained the bill to the committee with the assistance of Ryan Hansen, Pioneer Adult Rehabilitation Center (PARC).

Spoke to the bill:                    Dee Larsen, Utah Retirement Systems

Spoke against the bill:            David Spatafore, representing police chiefs and fire chiefs 

MOTION:     Rep. Sagers moved to pass the bill out favorably. The motion passed unanimously with Rep. Greene, Rep. Cunningham, and Rep. McKell absent for the vote.

2nd Sub. S.B. 169      Olene Walker Housing Loan Fund Amendments (Sen. T. Weiler)

Sen. Weiler explained the bill to the committee.

Spoke against the bill:            David Spatafore, representing Murray City

MOTION:     Rep. Ivory moved to adjourn. The motion failed with Rep. Ivory voting in favor and Rep. Greene, Rep. Froerer, and Rep. McKell absent for the vote.

MOTION:     Rep. Ivory moved to amend the bill as follows:

1.    Page 2, Lines 38 through 44:   

38   (1) As used in this section, "homeless shelter" means a facility that:

39   (a) is located within a municipality;

40   (b) provides temporary shelter to homeless individuals;

41   (c) has capacity to provide temporary shelter to at least 200 individuals per night; and

42   (d) began operation on or before January 1, 2016.

43    {  (2) A municipality may not adopt or enforce an ordinance or other regulation that

44prohibits a homeless shelter from operating year-round.  }

The motion to amend failed with Rep. Cunningham, Rep. Hutchings, Rep. Ivory, Rep. King, and Rep. Stanard voting in favor and Rep. Greene, Rep. Froerer, and Rep. McKell absent for the vote.

MOTION:     Rep. Briscoe moved to pass the bill out favorably. The motion passed with

                       Rep. Cunningham and Rep. Ivory voting in opposition and Rep. Greene,

                       Rep. Froerer, and Rep. McKell absent for the vote.

MOTION:     Rep. Sagers moved to adjourn. The motion passed unanimously with

                       Rep. Greene, Rep. Froerer, and Rep. McKell absent for the vote. 

Chair McCay adjourned the meeting at 10:52 p.m.

_____________________________________

           Rep. Daniel McCay, Chair