1     
RURAL ECONOMIC DEVELOPMENT AMENDMENTS

2     
2019 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Christine F. Watkins

5     
Senate Sponsor: David P. Hinkins

6     

7     LONG TITLE
8     General Description:
9          This bill creates a grant program in the Governor's Office of Economic Development
10     (GOED).
11     Highlighted Provisions:
12          This bill:
13          ▸     defines terms, including "rapid manufacturing";
14          ▸     creates the Rural Rapid Manufacturing Grant Program in GOED; and
15          ▸     describes the requirements and purposes of the grant program.
16     Money Appropriated in this Bill:
17          This bill appropriates in fiscal year 2020:
18          ▸     to the Governor's Office of Economic Development -- Rural Rapid Manufacturing
19     Grant Program, as a one-time appropriation:
20               •     from the General Fund, $1,000,000.
21     Other Special Clauses:
22          None
23     Utah Code Sections Affected:
24     ENACTS:
25          63N-4-501, Utah Code Annotated 1953
26          63N-4-502, Utah Code Annotated 1953
27          63N-4-503, Utah Code Annotated 1953

28          63N-4-504, Utah Code Annotated 1953
29     

30     Be it enacted by the Legislature of the state of Utah:
31          Section 1. Section 63N-4-501 is enacted to read:
32     
Part 5. Rural Rapid Manufacturing Grant Program

33          63N-4-501. Title.
34          This part is known as the "Rural Rapid Manufacturing Grant Program."
35          Section 2. Section 63N-4-502 is enacted to read:
36          63N-4-502. Definitions.
37          As used in this part:
38          (1) "Entity" means an institution of higher education or nonprofit company.
39          (2) "Grant" means a grant awarded as part of the Rural Rapid Manufacturing Grant
40     Program created in Section 63N-4-503.
41          (3) "Grant program" means the Rural Rapid Manufacturing Grant Program created in
42     Section 63N-4-503.
43          (4) "Rapid manufacturing" means a facility, laboratory, equipment, or process engaged
44     in small-batch, fast-delivery manufacturing.
45          (5) "Rural area" means any area in any county in the state except Salt Lake, Utah,
46     Davis, Weber, Washington, Cache, Tooele, and Summit counties.
47          Section 3. Section 63N-4-503 is enacted to read:
48          63N-4-503. Creation and purpose of the Rural Rapid Manufacturing Grant
49     Program.
50          (1) There is created the Rural Rapid Manufacturing Grant Program administered by the
51     office.
52          (2) The office may seek to accomplish the following objectives in administering the
53     grant program:
54          (a) provide funding for the construction or renovation of a rapid manufacturing
55     clothing production laboratory, engineering and computer graphics laboratory, manufacturing
56     systems laboratory, or textile science laboratory designed to train students and employees;
57          (b) provide funding for the building and improvement of equipment to provide
58     opportunities for students and employees to train and participate in rapid manufacturing; and

59          (c) provide training and scholarships for students and employees to participate in rapid
60     manufacturing employment opportunities.
61          Section 4. Section 63N-4-504 is enacted to read:
62          63N-4-504. Requirements for awarding a grant.
63          (1) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
64     office shall make rules establishing the eligibility and reporting criteria for an entity to receive
65     a grant under this part, including:
66          (a) the form and process of submitting an application to the office for a grant;
67          (b) which entities are eligible to apply for a grant;
68          (c) the method and formula for determining grant amounts; and
69          (d) the reporting requirements of grant recipients.
70          (2) In determining the award of a grant, the office may prioritize projects:
71          (a) that will serve underprivileged or underserved communities, including communities
72     with high unemployment or low median incomes;
73          (b) where an applicant demonstrates comprehensive planning of the project and the
74     cooperation of high quality partners, including an institution of higher education; and
75          (c) that will create new high paying employment positions in rural areas that pay at
76     least 125% of the average wage of the community in which the employment positions will
77     exist.
78          (3) Subject to legislative appropriation, a grant may only be awarded by the executive
79     director for a project in a rural area of the state.
80          Section 5. Appropriation.
81          The following sums of money are appropriated for the fiscal year beginning July 1,
82     2019, and ending June 30, 2020. These are additions to amounts previously appropriated for
83     fiscal year 2020. Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures
84     Act, the Legislature appropriates the following sums of money from the funds or accounts
85     indicated for the use and support of the government of the state of Utah.
86     ITEM 1
87          To the Governor's Office of Economic Development -- Rural Rapid
88               Manufacturing Grant Program
89               From General Fund, One-time
$1,000,000


90               Schedule of Programs:
91                    Rural Rapid Manufacturing Grant Program     $1,000,000