This document includes Senate 2nd and 3rd Reading Floor Amendments incorporated into the bill on Wed, Feb 13, 2019 at 2:53 PM by estauffer.
1     
SALES TAX AMENDMENTS

2     
2019 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Wayne A. Harper

5     
House Sponsor: Steve Eliason

6     

7     LONG TITLE
8     General Description:
9          This bill amends the general state sales and use tax rate.
10     Highlighted Provisions:
11          This bill:
12          ▸     lowers the rate of the state sales and use tax on items other than:
13               •     food;
14               •     food ingredients; and
15               •     residential fuel; and
16          ▸     makes technical changes.
17     Money Appropriated in this Bill:
18          None
19     Other Special Clauses:
20          This bill provides a special effective date.
21     Utah Code Sections Affected:
22     AMENDS:
23          35A-8-308, as last amended by Laws of Utah 2017, Chapters 181 and 421
24          35A-8-309, as last amended by Laws of Utah 2017, Chapters 181 and 421
25          59-12-103, as amended by Statewide Initiative -- Proposition 3, Nov. 6, 2018
26     

27     Be it enacted by the Legislature of the state of Utah:
28          Section 1. Section 35A-8-308 is amended to read:
29          35A-8-308. Throughput Infrastructure Fund.
30          (1) There is created an enterprise fund known as the Throughput Infrastructure Fund.
31          (2) The fund consists of money generated from the following revenue sources:
32          (a) all amounts transferred to the fund [under Subsection 59-12-103(12)] by statute;
33          (b) any voluntary contributions received;
34          (c) appropriations made to the fund by the Legislature; and
35          (d) all amounts received from the repayment of loans made by the impact board under
36     Section 35A-8-309.
37          (3) The state treasurer shall:
38          (a) invest the money in the fund by following the procedures and requirements of Title
39     51, Chapter 7, State Money Management Act; and
40          (b) deposit all interest or other earnings derived from those investments into the fund.
41          Section 2. Section 35A-8-309 is amended to read:
42          35A-8-309. Throughput Infrastructure Fund administered by impact board --
43     Uses -- Review by board -- Annual report.
44          (1) The impact board shall:
45          (a) make grants and loans from the Throughput Infrastructure Fund created in Section
46     35A-8-308 for a throughput infrastructure project;
47          (b) use money transferred to the Throughput Infrastructure Fund [in accordance with
48     Subsection 59-12-103(12)] by statute to provide a loan or grant to finance the cost of
49     acquisition or construction of a throughput infrastructure project to one or more local political
50     subdivisions, including a Utah interlocal entity created under Title 11, Chapter 13, Interlocal
51     Cooperation Act;
52          (c) administer the Throughput Infrastructure Fund in a manner that will keep a portion
53     of the fund revolving;
54          (d) determine provisions for repayment of loans;
55          (e) establish criteria for awarding loans and grants; and
56          (f) establish criteria for determining eligibility for assistance under this section.
57          (2) The cost of acquisition or construction of a throughput infrastructure project
58     includes amounts for working capital, reserves, transaction costs, and other amounts
59     determined by the impact board to be allocable to a throughput infrastructure project.
60          (3) The impact board may restructure or forgive all or part of a local political
61     subdivision's or interlocal entity's obligation to repay loans for extenuating circumstances.
62          (4) In order to receive assistance under this section, a local political subdivision or an
63     interlocal entity shall submit a formal application containing the information that the impact
64     board requires.
65          (5) (a) The impact board shall:
66          (i) review the proposed uses of the Throughput Infrastructure Fund for a loan or grant
67     before approving the loan or grant and may condition its approval on whatever assurances the
68     impact board considers necessary to ensure that proceeds of the loan or grant will be used in
69     accordance with this section;
70          (ii) ensure that each loan specifies terms for interest deferments, accruals, and
71     scheduled principal repayment; and
72          (iii) ensure that repayment terms are evidenced by bonds, notes, or other obligations of
73     the appropriate local political subdivision or interlocal entity issued to the impact board and
74     payable from the net revenues of a throughput infrastructure project.
75          (b) An instrument described in Subsection (5)(a)(iii) may be:
76          (i) non-recourse to the local political subdivision or interlocal entity; and
77          (ii) limited to a pledge of the net revenues from a throughput infrastructure project.
78          (6) (a) Subject to the restriction in Subsection (6)(b), the impact board shall allocate
79     from the Throughput Infrastructure Fund to the board those amounts that are appropriated by
80     the Legislature for the administration of the Throughput Infrastructure Fund.
81          (b) The amount described in Subsection (6)(a) may not exceed 2% of the annual
82     receipts to the fund.
83          (7) The board shall include in the annual written report described in Section
84     35A-1-109:
85          (a) the number and type of loans and grants made under this section; and
86          (b) a list of local political subdivisions or interlocal entities that received assistance
87     under this section.
88          Section 3. Section 59-12-103 is amended to read:
89          59-12-103. Sales and use tax base -- Rates -- Effective dates -- Use of sales and use
90     tax revenue.
91          (1) A tax is imposed on the purchaser as provided in this part on the purchase price or
92     sales price for amounts paid or charged for the following transactions:
93          (a) retail sales of tangible personal property made within the state;
94          (b) amounts paid for:
95          (i) telecommunications service, other than mobile telecommunications service, that
96     originates and terminates within the boundaries of this state;
97          (ii) mobile telecommunications service that originates and terminates within the
98     boundaries of one state only to the extent permitted by the Mobile Telecommunications
99     Sourcing Act, 4 U.S.C. Sec. 116 et seq.; or
100          (iii) an ancillary service associated with a:
101          (A) telecommunications service described in Subsection (1)(b)(i); or
102          (B) mobile telecommunications service described in Subsection (1)(b)(ii);
103          (c) sales of the following for commercial use:
104          (i) gas;
105          (ii) electricity;
106          (iii) heat;
107          (iv) coal;
108          (v) fuel oil; or
109          (vi) other fuels;
110          (d) sales of the following for residential use:
111          (i) gas;
112          (ii) electricity;
113          (iii) heat;
114          (iv) coal;
115          (v) fuel oil; or
116          (vi) other fuels;
117          (e) sales of prepared food;
118          (f) except as provided in Section 59-12-104, amounts paid or charged as admission or
119     user fees for theaters, movies, operas, museums, planetariums, shows of any type or nature,
120     exhibitions, concerts, carnivals, amusement parks, amusement rides, circuses, menageries,
121     fairs, races, contests, sporting events, dances, boxing matches, wrestling matches, closed circuit
122     television broadcasts, billiard parlors, pool parlors, bowling lanes, golf, miniature golf, golf
123     driving ranges, batting cages, skating rinks, ski lifts, ski runs, ski trails, snowmobile trails,
124     tennis courts, swimming pools, water slides, river runs, jeep tours, boat tours, scenic cruises,
125     horseback rides, sports activities, or any other amusement, entertainment, recreation,
126     exhibition, cultural, or athletic activity;
127          (g) amounts paid or charged for services for repairs or renovations of tangible personal
128     property, unless Section 59-12-104 provides for an exemption from sales and use tax for:
129          (i) the tangible personal property; and
130          (ii) parts used in the repairs or renovations of the tangible personal property described
131     in Subsection (1)(g)(i), regardless of whether:
132          (A) any parts are actually used in the repairs or renovations of that tangible personal
133     property; or
134          (B) the particular parts used in the repairs or renovations of that tangible personal
135     property are exempt from a tax under this chapter;
136          (h) except as provided in Subsection 59-12-104(7), amounts paid or charged for
137     assisted cleaning or washing of tangible personal property;
138          (i) amounts paid or charged for tourist home, hotel, motel, or trailer court
139     accommodations and services that are regularly rented for less than 30 consecutive days;
140          (j) amounts paid or charged for laundry or dry cleaning services;
141          (k) amounts paid or charged for leases or rentals of tangible personal property if within
142     this state the tangible personal property is:
143          (i) stored;
144          (ii) used; or
145          (iii) otherwise consumed;
146          (l) amounts paid or charged for tangible personal property if within this state the
147     tangible personal property is:
148          (i) stored;
149          (ii) used; or
150          (iii) consumed; and
151          (m) amounts paid or charged for a sale:
152          (i) (A) of a product transferred electronically; or
153          (B) of a repair or renovation of a product transferred electronically; and
154          (ii) regardless of whether the sale provides:
155          (A) a right of permanent use of the product; or
156          (B) a right to use the product that is less than a permanent use, including a right:
157          (I) for a definite or specified length of time; and
158          (II) that terminates upon the occurrence of a condition.
159          (2) (a) Except as provided in Subsections (2)(b) through (e), a state tax and a local tax
160     is imposed on a transaction described in Subsection (1) equal to the sum of:
161          (i) a state tax imposed on the transaction at a tax rate equal to the sum of:
162          [(A) (I) through March 31, 2019, 4.70%; and]
163          [(II)] (A) [beginning on April 1, 2019, 4.70%] 4.45% plus the rate specified in
164     Subsection [(14)] (12)(a); and
165          (B) (I) the tax rate the state imposes in accordance with Part 18, Additional State Sales
166     and Use Tax Act, if the location of the transaction as determined under Sections 59-12-211
167     through 59-12-215 is in a county in which the state imposes the tax under Part 18, Additional
168     State Sales and Use Tax Act; and
169          (II) the tax rate the state imposes in accordance with Part 20, Supplemental State Sales
170     and Use Tax Act, if the location of the transaction as determined under Sections 59-12-211
171     through 59-12-215 is in a city, town, or the unincorporated area of a county in which the state
172     imposes the tax under Part 20, Supplemental State Sales and Use Tax Act; and
173          (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
174     transaction under this chapter other than this part.
175          (b) Except as provided in Subsection (2)(d) or (e), a state tax and a local tax is imposed
176     on a transaction described in Subsection (1)(d) equal to the sum of:
177          (i) a state tax imposed on the transaction at a tax rate of 2%; and
178          (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
179     transaction under this chapter other than this part.
180          (c) Except as provided in Subsection (2)(d) or (e), a state tax and a local tax is imposed
181     on amounts paid or charged for food and food ingredients equal to the sum of:
182          (i) a state tax imposed on the amounts paid or charged for food and food ingredients at
183     a tax rate of 1.75%; and
184          (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
185     amounts paid or charged for food and food ingredients under this chapter other than this part.
186          (d) (i) For a bundled transaction that is attributable to food and food ingredients and
187     tangible personal property other than food and food ingredients, a state tax and a local tax is
188     imposed on the entire bundled transaction equal to the sum of:
189          (A) a state tax imposed on the entire bundled transaction equal to the sum of:
190          (I) the tax rate described in Subsection (2)(a)(i)(A); and
191          (II) (Aa) the tax rate the state imposes in accordance with Part 18, Additional State
192     Sales and Use Tax Act, if the location of the transaction as determined under Sections
193     59-12-211 through 59-12-215 is in a county in which the state imposes the tax under Part 18,
194     Additional State Sales and Use Tax Act; and
195          (Bb) the tax rate the state imposes in accordance with Part 20, Supplemental State
196     Sales and Use Tax Act, if the location of the transaction as determined under Sections
197     59-12-211 through 59-12-215 is in a city, town, or the unincorporated area of a county in which
198     the state imposes the tax under Part 20, Supplemental State Sales and Use Tax Act; and
199          (B) a local tax imposed on the entire bundled transaction at the sum of the tax rates
200     described in Subsection (2)(a)(ii).
201          (ii) If an optional computer software maintenance contract is a bundled transaction that
202     consists of taxable and nontaxable products that are not separately itemized on an invoice or
203     similar billing document, the purchase of the optional computer software maintenance contract
204     is 40% taxable under this chapter and 60% nontaxable under this chapter.
205          (iii) Subject to Subsection (2)(d)(iv), for a bundled transaction other than a bundled
206     transaction described in Subsection (2)(d)(i) or (ii):
207          (A) if the sales price of the bundled transaction is attributable to tangible personal
208     property, a product, or a service that is subject to taxation under this chapter and tangible
209     personal property, a product, or service that is not subject to taxation under this chapter, the
210     entire bundled transaction is subject to taxation under this chapter unless:
211          (I) the seller is able to identify by reasonable and verifiable standards the tangible
212     personal property, product, or service that is not subject to taxation under this chapter from the
213     books and records the seller keeps in the seller's regular course of business; or
214          (II) state or federal law provides otherwise; or
215          (B) if the sales price of a bundled transaction is attributable to two or more items of
216     tangible personal property, products, or services that are subject to taxation under this chapter
217     at different rates, the entire bundled transaction is subject to taxation under this chapter at the
218     higher tax rate unless:
219          (I) the seller is able to identify by reasonable and verifiable standards the tangible
220     personal property, product, or service that is subject to taxation under this chapter at the lower
221     tax rate from the books and records the seller keeps in the seller's regular course of business; or
222          (II) state or federal law provides otherwise.
223          (iv) For purposes of Subsection (2)(d)(iii), books and records that a seller keeps in the
224     seller's regular course of business includes books and records the seller keeps in the regular
225     course of business for nontax purposes.
226          (e) (i) Except as otherwise provided in this chapter and subject to Subsections (2)(e)(ii)
227     and (iii), if a transaction consists of the sale, lease, or rental of tangible personal property, a
228     product, or a service that is subject to taxation under this chapter, and the sale, lease, or rental
229     of tangible personal property, other property, a product, or a service that is not subject to
230     taxation under this chapter, the entire transaction is subject to taxation under this chapter unless
231     the seller, at the time of the transaction:
232          (A) separately states the portion of the transaction that is not subject to taxation under
233     this chapter on an invoice, bill of sale, or similar document provided to the purchaser; or
234          (B) is able to identify by reasonable and verifiable standards, from the books and
235     records the seller keeps in the seller's regular course of business, the portion of the transaction
236     that is not subject to taxation under this chapter.
237          (ii) A purchaser and a seller may correct the taxability of a transaction if:
238          (A) after the transaction occurs, the purchaser and the seller discover that the portion of
239     the transaction that is not subject to taxation under this chapter was not separately stated on an
240     invoice, bill of sale, or similar document provided to the purchaser because of an error or
241     ignorance of the law; and
242          (B) the seller is able to identify by reasonable and verifiable standards, from the books
243     and records the seller keeps in the seller's regular course of business, the portion of the
244     transaction that is not subject to taxation under this chapter.
245          (iii) For purposes of Subsections (2)(e)(i) and (ii), books and records that a seller keeps
246     in the seller's regular course of business includes books and records the seller keeps in the
247     regular course of business for nontax purposes.
248          (f) (i) If the sales price of a transaction is attributable to two or more items of tangible
249     personal property, products, or services that are subject to taxation under this chapter at
250     different rates, the entire purchase is subject to taxation under this chapter at the higher tax rate
251     unless the seller, at the time of the transaction:
252          (A) separately states the items subject to taxation under this chapter at each of the
253     different rates on an invoice, bill of sale, or similar document provided to the purchaser; or
254          (B) is able to identify by reasonable and verifiable standards the tangible personal
255     property, product, or service that is subject to taxation under this chapter at the lower tax rate
256     from the books and records the seller keeps in the seller's regular course of business.
257          (ii) For purposes of Subsection (2)(f)(i), books and records that a seller keeps in the
258     seller's regular course of business includes books and records the seller keeps in the regular
259     course of business for nontax purposes.
260          (g) Subject to Subsections (2)(h) and (i), a tax rate repeal or tax rate change for a tax
261     rate imposed under the following shall take effect on the first day of a calendar quarter:
262          (i) Subsection (2)(a)(i)(A);
263          (ii) Subsection (2)(b)(i);
264          (iii) Subsection (2)(c)(i); or
265          (iv) Subsection (2)(d)(i)(A)(I).
266          (h) (i) A tax rate increase takes effect on the first day of the first billing period that
267     begins on or after the effective date of the tax rate increase if the billing period for the
268     transaction begins before the effective date of a tax rate increase imposed under:
269          (A) Subsection (2)(a)(i)(A);
270          (B) Subsection (2)(b)(i);
271          (C) Subsection (2)(c)(i); or
272          (D) Subsection (2)(d)(i)(A)(I).
273          (ii) The repeal of a tax or a tax rate decrease applies to a billing period if the billing
274     statement for the billing period is rendered on or after the effective date of the repeal of the tax
275     or the tax rate decrease imposed under:
276          (A) Subsection (2)(a)(i)(A);
277          (B) Subsection (2)(b)(i);
278          (C) Subsection (2)(c)(i); or
279          (D) Subsection (2)(d)(i)(A)(I).
280          (i) (i) For a tax rate described in Subsection (2)(i)(ii), if a tax due on a catalogue sale is
281     computed on the basis of sales and use tax rates published in the catalogue, a tax rate repeal or
282     change in a tax rate takes effect:
283          (A) on the first day of a calendar quarter; and
284          (B) beginning 60 days after the effective date of the tax rate repeal or tax rate change.
285          (ii) Subsection (2)(i)(i) applies to the tax rates described in the following:
286          (A) Subsection (2)(a)(i)(A);
287          (B) Subsection (2)(b)(i);
288          (C) Subsection (2)(c)(i); or
289          (D) Subsection (2)(d)(i)(A)(I).
290          (iii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
291     the commission may by rule define the term "catalogue sale."
292          (3) (a) The following state taxes shall be deposited into the General Fund:
293          (i) the tax imposed by Subsection (2)(a)(i)(A);
294          (ii) the tax imposed by Subsection (2)(b)(i);
295          (iii) the tax imposed by Subsection (2)(c)(i); or
296          (iv) the tax imposed by Subsection (2)(d)(i)(A)(I).
297          (b) The following local taxes shall be distributed to a county, city, or town as provided
298     in this chapter:
299          (i) the tax imposed by Subsection (2)(a)(ii);
300          (ii) the tax imposed by Subsection (2)(b)(ii);
301          (iii) the tax imposed by Subsection (2)(c)(ii); and
302          (iv) the tax imposed by Subsection (2)(d)(i)(B).
303          (4) (a) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
304     2003, the lesser of the following amounts shall be expended as provided in Subsections (4)(b)
305     through (g):
306          (i) for taxes listed under Subsection (3)(a), the amount of tax revenue generated:
307          (A) by a 1/16% tax rate on the transactions described in Subsection (1); and
308          (B) for the fiscal year; or
309          (ii) $17,500,000.
310          (b) (i) For a fiscal year beginning on or after July 1, 2003, 14% of the amount
311     described in Subsection (4)(a) shall be transferred each year as dedicated credits to the
312     Department of Natural Resources to:
313          (A) implement the measures described in Subsections 79-2-303(3)(a) through (d) to
314     protect sensitive plant and animal species; or
315          (B) award grants, up to the amount authorized by the Legislature in an appropriations
316     act, to political subdivisions of the state to implement the measures described in Subsections
317     79-2-303(3)(a) through (d) to protect sensitive plant and animal species.
318          (ii) Money transferred to the Department of Natural Resources under Subsection
319     (4)(b)(i) may not be used to assist the United States Fish and Wildlife Service or any other
320     person to list or attempt to have listed a species as threatened or endangered under the
321     Endangered Species Act of 1973, 16 U.S.C. Sec. 1531 et seq.
322          (iii) At the end of each fiscal year:
323          (A) 50% of any unexpended dedicated credits shall lapse to the Water Resources
324     Conservation and Development Fund created in Section 73-10-24;
325          (B) 25% of any unexpended dedicated credits shall lapse to the Utah Wastewater Loan
326     Program Subaccount created in Section 73-10c-5; and
327          (C) 25% of any unexpended dedicated credits shall lapse to the Drinking Water Loan
328     Program Subaccount created in Section 73-10c-5.
329          (c) For a fiscal year beginning on or after July 1, 2003, 3% of the amount described in
330     Subsection (4)(a) shall be deposited each year in the Agriculture Resource Development Fund
331     created in Section 4-18-106.
332          (d) (i) For a fiscal year beginning on or after July 1, 2003, 1% of the amount described
333     in Subsection (4)(a) shall be transferred each year as dedicated credits to the Division of Water
334     Rights to cover the costs incurred in hiring legal and technical staff for the adjudication of
335     water rights.
336          (ii) At the end of each fiscal year:
337          (A) 50% of any unexpended dedicated credits shall lapse to the Water Resources
338     Conservation and Development Fund created in Section 73-10-24;
339          (B) 25% of any unexpended dedicated credits shall lapse to the Utah Wastewater Loan
340     Program Subaccount created in Section 73-10c-5; and
341          (C) 25% of any unexpended dedicated credits shall lapse to the Drinking Water Loan
342     Program Subaccount created in Section 73-10c-5.
343          (e) (i) For a fiscal year beginning on or after July 1, 2003, 41% of the amount described
344     in Subsection (4)(a) shall be deposited into the Water Resources Conservation and
345     Development Fund created in Section 73-10-24 for use by the Division of Water Resources.
346          (ii) In addition to the uses allowed of the Water Resources Conservation and
347     Development Fund under Section 73-10-24, the Water Resources Conservation and
348     Development Fund may also be used to:
349          (A) conduct hydrologic and geotechnical investigations by the Division of Water
350     Resources in a cooperative effort with other state, federal, or local entities, for the purpose of
351     quantifying surface and ground water resources and describing the hydrologic systems of an
352     area in sufficient detail so as to enable local and state resource managers to plan for and
353     accommodate growth in water use without jeopardizing the resource;
354          (B) fund state required dam safety improvements; and
355          (C) protect the state's interest in interstate water compact allocations, including the
356     hiring of technical and legal staff.
357          (f) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described
358     in Subsection (4)(a) shall be deposited into the Utah Wastewater Loan Program Subaccount
359     created in Section 73-10c-5 for use by the Water Quality Board to fund wastewater projects.
360          (g) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described
361     in Subsection (4)(a) shall be deposited into the Drinking Water Loan Program Subaccount
362     created in Section 73-10c-5 for use by the Division of Drinking Water to:
363          (i) provide for the installation and repair of collection, treatment, storage, and
364     distribution facilities for any public water system, as defined in Section 19-4-102;
365          (ii) develop underground sources of water, including springs and wells; and
366          (iii) develop surface water sources.
367          (5) (a) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
368     2006, the difference between the following amounts shall be expended as provided in this
369     Subsection (5), if that difference is greater than $1:
370          (i) for taxes listed under Subsection (3)(a), the amount of tax revenue generated for the
371     fiscal year by a 1/16% tax rate on the transactions described in Subsection (1); and
372          (ii) $17,500,000.
373          (b) (i) The first $500,000 of the difference described in Subsection (5)(a) shall be:
374          (A) transferred each fiscal year to the Department of Natural Resources as dedicated
375     credits; and
376          (B) expended by the Department of Natural Resources for watershed rehabilitation or
377     restoration.
378          (ii) At the end of each fiscal year, 100% of any unexpended dedicated credits described
379     in Subsection (5)(b)(i) shall lapse to the Water Resources Conservation and Development Fund
380     created in Section 73-10-24.
381          (c) (i) After making the transfer required by Subsection (5)(b)(i), $150,000 of the
382     remaining difference described in Subsection (5)(a) shall be:
383          (A) transferred each fiscal year to the Division of Water Resources as dedicated
384     credits; and
385          (B) expended by the Division of Water Resources for cloud-seeding projects
386     authorized by Title 73, Chapter 15, Modification of Weather.
387          (ii) At the end of each fiscal year, 100% of any unexpended dedicated credits described
388     in Subsection (5)(c)(i) shall lapse to the Water Resources Conservation and Development Fund
389     created in Section 73-10-24.
390          (d) After making the transfers required by Subsections (5)(b) and (c), 85% of the
391     remaining difference described in Subsection (5)(a) shall be deposited into the Water
392     Resources Conservation and Development Fund created in Section 73-10-24 for use by the
393     Division of Water Resources for:
394          (i) preconstruction costs:
395          (A) as defined in Subsection 73-26-103(6) for projects authorized by Title 73, Chapter
396     26, Bear River Development Act; and
397          (B) as defined in Subsection 73-28-103(8) for the Lake Powell Pipeline project
398     authorized by Title 73, Chapter 28, Lake Powell Pipeline Development Act;
399          (ii) the cost of employing a civil engineer to oversee any project authorized by Title 73,
400     Chapter 26, Bear River Development Act;
401          (iii) the cost of employing a civil engineer to oversee the Lake Powell Pipeline project
402     authorized by Title 73, Chapter 28, Lake Powell Pipeline Development Act; and
403          (iv) other uses authorized under Sections 73-10-24, 73-10-25.1, and 73-10-30, and
404     Subsection (4)(e)(ii) after funding the uses specified in Subsections (5)(d)(i) through (iii).
405          (e) After making the transfers required by Subsections (5)(b) and (c) and subject to
406     Subsection (5)(f), 15% of the remaining difference described in Subsection (5)(a) shall be
407     transferred each year as dedicated credits to the Division of Water Rights to cover the costs
408     incurred for employing additional technical staff for the administration of water rights.
409          (f) At the end of each fiscal year, any unexpended dedicated credits described in
410     Subsection (5)(e) over $150,000 lapse to the Water Resources Conservation and Development
411     Fund created in Section 73-10-24.
412          (6) Notwithstanding Subsection (3)(a) and for taxes listed under Subsection (3)(a), the
413     amount of revenue generated by a 1/16% tax rate on the transactions described in Subsection
414     (1) for the fiscal year shall be deposited as follows:
415          (a) for fiscal year 2016-17 only, 100% of the revenue described in this Subsection (6)
416     shall be deposited into the Transportation Investment Fund of 2005 created by Section
417     72-2-124;
418          (b) for fiscal year 2017-18 only:
419          (i) 80% of the revenue described in this Subsection (6) shall be deposited into the
420     Transportation Investment Fund of 2005 created by Section 72-2-124; and
421          (ii) 20% of the revenue described in this Subsection (6) shall be deposited into the
422     Water Infrastructure Restricted Account created by Section 73-10g-103;
423          (c) for fiscal year 2018-19 only:
424          (i) 60% of the revenue described in this Subsection (6) shall be deposited into the
425     Transportation Investment Fund of 2005 created by Section 72-2-124; and
426          (ii) 40% of the revenue described in this Subsection (6) shall be deposited into the
427     Water Infrastructure Restricted Account created by Section 73-10g-103;
428          (d) for fiscal year 2019-20 only:
429          (i) 40% of the revenue described in this Subsection (6) shall be deposited into the
430     Transportation Investment Fund of 2005 created by Section 72-2-124; and
431          (ii) 60% of the revenue described in this Subsection (6) shall be deposited into the
432     Water Infrastructure Restricted Account created by Section 73-10g-103;
433          (e) for fiscal year 2020-21 only:
434          (i) 20% of the revenue described in this Subsection (6) shall be deposited into the
435     Transportation Investment Fund of 2005 created by Section 72-2-124; and
436          (ii) 80% of the revenue described in this Subsection (6) shall be deposited into the
437     Water Infrastructure Restricted Account created by Section 73-10g-103; and
438          (f) for a fiscal year beginning on or after July 1, 2021, 100% of the revenue described
439     in this Subsection (6) shall be deposited into the Water Infrastructure Restricted Account
440     created by Section 73-10g-103.
441          (7) (a) Notwithstanding Subsection (3)(a), in addition to the amounts deposited in
442     Subsection (6), and subject to Subsection (7)(b), for a fiscal year beginning on or after July 1,
443     2012, the Division of Finance shall deposit into the Transportation Investment Fund of 2005
444     created by Section 72-2-124:
445          (i) a portion of the taxes listed under Subsection (3)(a) in an amount equal to 8.3% of
446     the revenues collected from the following taxes, which represents a portion of the
447     approximately 17% of sales and use tax [revenues] revenue generated annually by the sales and
448     use tax on vehicles and vehicle-related products:
449          (A) the tax imposed by Subsection (2)(a)(i)(A) at a [4.7%] 4.45% rate;
450          (B) the tax imposed by Subsection (2)(b)(i);
451          (C) the tax imposed by Subsection (2)(c)(i); and
452          (D) the tax imposed by Subsection (2)(d)(i)(A)(I); plus
453          (ii) an amount equal to 30% of the growth in the amount of [revenues] revenue
454     collected in the current fiscal year from the sales and use taxes described in Subsections
455     (7)(a)(i)(A) through (D) that exceeds the amount collected from the sales and use taxes
456     described in Subsections (7)(a)(i)(A) through (D) in the 2010-11 fiscal year.
457          (b) (i) Subject to Subsections (7)(b)(ii) and (iii), in any fiscal year that the portion of
458     the sales and use taxes deposited under Subsection (7)(a) represents an amount that is a total
459     lower percentage of the sales and use taxes described in Subsections (7)(a)(i)(A) through (D)
460     generated in the current fiscal year than the total percentage of sales and use taxes deposited in
461     the previous fiscal year, the Division of Finance shall deposit an amount under Subsection
462     (7)(a) equal to the product of:
463          (A) the total percentage of sales and use taxes deposited under Subsection (7)(a) in the
464     previous fiscal year; and
465          (B) the total sales and use tax revenue generated by the taxes described in Subsections
466     (7)(a)(i)(A) through (D) in the current fiscal year.
467          (ii) In any fiscal year in which the portion of the sales and use taxes deposited under
468     Subsection (7)(a) would exceed 17% of the [revenues] revenue collected from the sales and use
469     taxes described in Subsections (7)(a)(i)(A) through (D) in the current fiscal year, the Division
470     of Finance shall deposit 17% of the [revenues] revenue collected from the sales and use taxes
471     described in Subsections (7)(a)(i)(A) through (D) for the current fiscal year under Subsection
472     (7)(a).
473          (iii) In all subsequent fiscal years after a year in which 17% of the [revenues] revenue
474     collected from the sales and use taxes described in Subsections (7)(a)(i)(A) through (D) was
475     deposited under Subsection (7)(a), the Division of Finance shall annually deposit 17% of the
476     [revenues] revenue collected from the sales and use taxes described in Subsections (7)(a)(i)(A)
477     through (D) in the current fiscal year under Subsection (7)(a).
478          (8) (a) Notwithstanding Subsection (3)(a), and in addition to the amounts deposited
479     under Subsections (6) and (7), for the 2016-17 fiscal year only, the Division of Finance shall
480     deposit $64,000,000 of the [revenues] revenue generated by the taxes listed under Subsection
481     (3)(a) into the Transportation Investment Fund of 2005 created by Section 72-2-124.
482          (b) Notwithstanding Subsection (3)(a), and in addition to the amounts deposited under
483     Subsections (6) and (7), for the 2017-18 fiscal year only, the Division of Finance shall deposit
484     $63,000,000 of the [revenues] revenue generated by the taxes listed under Subsection (3)(a)
485     into the Transportation Investment Fund of 2005 created by Section 72-2-124.
486          (c) (i) Notwithstanding Subsection (3)(a), in addition to the amounts deposited under
487     Subsections (6) and (7), and subject to Subsection (8)(c)(ii), for a fiscal year beginning on or
488     after July 1, 2018, the commission shall [annually] deposit annually into the Transportation
489     Investment Fund of 2005 created by Section 72-2-124 a portion of the taxes listed under
490     Subsection (3)(a) in an amount equal to 3.68% of the [revenues] revenue collected from the
491     following taxes:
492          (A) the tax imposed by Subsection (2)(a)(i)(A) at a [4.7%] 4.45% rate;
493          (B) the tax imposed by Subsection (2)(b)(i);
494          (C) the tax imposed by Subsection (2)(c)(i); and
495          (D) the tax imposed by Subsection (2)(d)(i)(A)(I).
496          (ii) For a fiscal year beginning on or after July 1, 2019, the commission shall [annually]
497     reduce annually the deposit into the Transportation Investment Fund of 2005 under Subsection
498     (8)(c)(i) by an amount that is equal to 35% of the amount of revenue generated in the current
499     fiscal year by the portion of the tax imposed on motor and special fuel that is sold, used, or
500     received for sale or use in this state that exceeds 29.4 cents per gallon.
501          (iii) The commission shall [annually] deposit annually the amount described in
502     Subsection (8)(c)(ii) into the Transit and Transportation Investment Fund created in Section
503     72-2-124.
504          (9) Notwithstanding Subsection (3)(a), for each fiscal year beginning with fiscal year
505     2009-10, $533,750 shall be deposited into the Qualified Emergency Food Agencies Fund
506     created by Section 35A-8-1009 and expended as provided in Section 35A-8-1009.
507          (10) (a) Notwithstanding Subsection (3)(a), except as provided in Subsection (10)(c),
508     in addition to any amounts deposited under Subsections (6), (7), and (8), and for the 2016-17
509     fiscal year only, the Division of Finance shall deposit into the Transportation Investment Fund
510     of 2005 created by Section 72-2-124 the amount of tax revenue generated by a .05% tax rate on
511     the transactions described in Subsection (1).
512          (b) Notwithstanding Subsection (3)(a), except as provided in Subsection (10)(c), and in
513     addition to any amounts deposited under Subsections (6), (7), and (8), the Division of Finance
514     shall deposit into the Transportation Investment Fund of 2005 created by Section 72-2-124 the
515     amount of revenue described as follows:
516          (i) for fiscal year 2017-18 only, 83.33% of the amount of revenue generated by a .05%
517     tax rate on the transactions described in Subsection (1);
518          (ii) for fiscal year 2018-19 only, 66.67% of the amount of revenue generated by a .05%
519     tax rate on the transactions described in Subsection (1);
520          (iii) for fiscal year 2019-20 only, 50% of the amount of revenue generated by a .05%
521     tax rate on the transactions described in Subsection (1);
522          (iv) for fiscal year 2020-21 only, 33.33% of the amount of revenue generated by a
523     .05% tax rate on the transactions described in Subsection (1); and
524          (v) for fiscal year 2021-22 only, 16.67% of the amount of revenue generated by a .05%
525     tax rate on the transactions described in Subsection (1).
526          (c) For purposes of Subsections (10)(a) and (b), the Division of Finance may not
527     deposit into the Transportation Investment Fund of 2005 any tax revenue generated by amounts
528     paid or charged for food and food ingredients, except for tax revenue generated by a bundled
529     transaction attributable to food and food ingredients and tangible personal property other than
530     food and food ingredients described in Subsection (2)(d).
531          (11) Notwithstanding Subsection (3)(a), beginning the second fiscal year after the
532     fiscal year during which the Division of Finance receives notice under Section 63N-2-510 that
533     construction on a qualified hotel, as defined in Section 63N-2-502, has begun, the Division of
534     Finance shall, for two consecutive fiscal years, [annually] deposit annually $1,900,000 of the
535     revenue generated by the taxes listed under Subsection (3)(a) into the Hotel Impact Mitigation
536     Fund, created in Section 63N-2-512.
537          [(12) (a) Notwithstanding Subsection (3)(a), for the 2016-17 fiscal year only, the
538     Division of Finance shall deposit $26,000,000 of the revenues generated by the taxes listed
539     under Subsection (3)(a) into the Throughput Infrastructure Fund created by Section
540     35A-8-308.]
541          [(b) Notwithstanding Subsection (3)(a), for the 2017-18 fiscal year only, the Division
542     of Finance shall deposit $27,000,000 of the revenues generated by the taxes listed under
543     Subsection (3)(a) into the Throughput Infrastructure Fund created by Section 35A-8-308.]
544          [(13) Notwithstanding Subsections (4) through (12) and (14), an amount required to be
545     expended or deposited in accordance with Subsections (4) through (12) and (14) may not
546     include an amount the Division of Finance deposits in accordance with Section 59-12-103.2.]
547          [(14)] (12) (a) The rate specified in this subsection is 0.15%.
548          (b) Notwithstanding Subsection (3)(a), the Division of Finance shall:
549          (i) on or before September 30, 2019, transfer the amount of revenue generated by a
550     0.15% tax rate imposed beginning on April 1, 2019, and ending on June 30, 2019, on the
551     transactions that are subject to the sales and use tax under Subsection (2)(a)(i)(A) as dedicated
552     credits to the Division of Health Care Financing Ŝ→ [, created in Section 26-18-2.1] ←Ŝ ; and
553          (ii) for a fiscal year beginning on or after fiscal year 2019-20, annually transfer the
554     amount of revenue generated by a 0.15% tax rate on the transactions that are subject to the
555     sales and use tax under Subsection (2)(a)(i)(A) as dedicated credits to the Division of Health
556     Care Financing.
557          (c) The revenue described in Subsection [(14)] (12)(b) that the Division of Finance
558     transfers to the Division of Health Care Financing as dedicated credits shall be expended for
559     the following uses:
560          (i) implementation of the Medicaid expansion described in [Sections] Subsections
561     26-18-3.1(4) and 26-18-3.9(2)(b);
562          (ii) if revenue remains after the use specified in Subsection [(14)] (12)(c)(i), other
563     measures required by Section 26-18-3.9; and
564          (iii) if revenue remains after the uses specified in Subsections [(14)] (12)(c)(i) and (ii),
565     other measures described in Title 26, Chapter 18, Medical Assistance Act.
566          Section 4. Effective date.
567          This bill takes effect on July 1, 2019.