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JOINT RESOLUTION SUPPORTING CREATION OF

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CITIZENS EQUITY FUNDS

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2017 GENERAL SESSION

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STATE OF UTAH

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Chief Sponsor: J. Stuart Adams

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House Sponsor: Raymond P. Ward

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8     LONG TITLE
9     General Description:
10          This joint resolution of the Legislature urges the United States Congress to authorize
11     the creation of for profit corporations by the several states.
12     Highlighted Provisions:
13          This resolution:
14          ▸     strongly urges Utah's congressional delegation and the Governor to begin to work
15     with Congress to authorize the creation of for profit corporations by the several
16     states for the creation and replacement of needed infrastructure; and
17          ▸     argues that these for profit corporations should be managed by a board of directors
18     nominated by a governor and confirmed by the state legislature, with the governor
19     serving as chair of the board of directors, and that such corporations be authorized
20     to pay dividends on earnings and issue debt bearing securities from a citizen equity
21     fund in which individual citizens and corporations could invest.
22     Special Clauses:
23          None
24     

25     Be it resolved by the Legislature of the state of Utah:
26          WHEREAS, the infrastructure of the United States of America is rapidly becoming
27     obsolete;
28          WHEREAS, independent engineering studies confirm that, by 2050, it will require
29     $3.65 trillion for the United States to bring the decaying infrastructure within the 50 states to a

30     condition suitable for maintaining the economic strength of the United States;
31          WHEREAS, neither the federal budget nor the several states' budgets have the
32     resources to finance the necessary repairs to the current infrastructure or to finance the creation
33     of new infrastructure facilities;
34          WHEREAS, the nation and its several states need to reduce their current debt levels;
35          WHEREAS, the aggregated overseas profits of United States multinational companies
36     is estimated to be over $2.1 trillion;
37          WHEREAS, many multinational American companies with overseas profits are taking
38     legal steps to preserve profits from the oppressive burden of excess taxation by merger and
39     acquisition strategies, which have the result of keeping billions of dollars outside of the United
40     States;
41          WHEREAS, these funds could be invested by multinational American companies in
42     restoring the nation's infrastructure;
43          WHEREAS, present federal and state permitting processes often cause years of delay in
44     proceeding with construction of infrastructure improvements and badly needed new projects;
45          WHEREAS, the creation of a non-government, for profit corporate entity, whose
46     securities would qualify for special tax status, would be an attractive investment for both
47     individuals and corporations with overseas profits;
48          WHEREAS, the investment in upgrading present infrastructure and the creation of new
49     infrastructure projects by a citizens equity fund would produce a significant increase in
50     employment opportunities and economic benefits for the citizens of the several states;
51          WHEREAS, the respective governors and legislatures of the several states have a more
52     dependable understanding of the priorities for infrastructure enhancement in their states than
53     the federal government;
54          WHEREAS, the enactment of federal legislation enabling states to create a corporation
55     using citizens equity funds under the direct control and supervision of a board of directors
56     nominated by the governors and confirmed by the legislatures of the respective states would
57     make it possible to move expeditiously forward with projects that will save the infrastructure

58     from its present decline into obsolescence; and
59          WHEREAS, citizens equity funds would not require supplemental funding from the
60     federal government or the several states:
61          NOW, THEREFORE, BE IT RESOLVED that the Legislature of the state of Utah
62     strongly urges Utah's congressional delegation and the Governor to begin immediately to work
63     with the United States Congress to authorize the creation of for profit corporations by the
64     individual states, to be managed by a board of directors nominated by a governor and
65     confirmed by the state legislature, with the governor serving as chair of the board of directors,
66     and that such corporations be authorized to pay dividends on earnings and issue debt bearing
67     securities from a citizens equity fund in which individual citizens and corporations of a state
68     could invest, and thereby obtain the same tax benefit extended to the citizens equity fund, for
69     the creation and replacement of needed infrastructure in the several states.
70          BE IT FURTHER RESOLVED that a copy of this resolution be sent to the President of
71     the United States, the Majority Leader of the United States Senate, the Speaker of the United
72     States House of Representatives, the leader of each legislative house in each of the several
73     states, the governor of each of the several states, and the members of Utah's congressional
74     delegation.