1     
NATURAL RESOURCES LEGACY FUNDING AMENDMENTS

2     
2020 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Casey Snider

5     
Senate Sponsor: Daniel Hemmert

6     

7     LONG TITLE
8     General Description:
9          This bill addresses natural resources related activities and the funding of those
10     activities.
11     Highlighted Provisions:
12          This bill:
13          ▸     enacts the Utah Natural Resources Legacy Fund Act, including:
14               •     defining terms;
15               •     addressing application to mineral estates;
16               •     creating the Utah Natural Resources Legacy Fund;
17               •     creating the Utah Natural Resources Legacy Fund Board; and
18               •     outlining the uses of the legacy fund; and
19          ▸     makes technical and conforming changes.
20     Money Appropriated in this Bill:
21          None
22     Other Special Clauses:
23          This bill provides a special effective date.
24     Utah Code Sections Affected:
25     AMENDS:
26          79-2-201, as last amended by Laws of Utah 2017, Chapter 451
27     ENACTS:
28          23-31-101, Utah Code Annotated 1953
29          23-31-102, Utah Code Annotated 1953

30          23-31-103, Utah Code Annotated 1953
31          23-31-104, Utah Code Annotated 1953
32          23-31-201, Utah Code Annotated 1953
33          23-31-202, Utah Code Annotated 1953
34          23-31-203, Utah Code Annotated 1953
35     

36     Be it enacted by the Legislature of the state of Utah:
37          Section 1. Section 23-31-101 is enacted to read:
38     
CHAPTER 31. UTAH NATURAL RESOURCES LEGACY FUND ACT

39     
Part 1. General Provisions

40          23-31-101. Title.
41          This chapter is known as the "Utah Natural Resources Legacy Fund Act."
42          Section 2. Section 23-31-102 is enacted to read:
43          23-31-102. Definitions.
44          As used in this chapter:
45          (1) "Board" means the Utah Natural Resources Legacy Fund Board created in Section
46     23-31-202.
47          (2) "Department" means the Department of Natural Resources.
48          (3) "Legacy fund" means the Utah Natural Resources Legacy Fund created in Section
49     23-31-201.
50          Section 3. Section 23-31-103 is enacted to read:
51          23-31-103. Application to mineral estates.
52          This chapter does not change law regarding:
53          (1) the primacy of a mineral estate;
54          (2) limiting access to a mineral estate; or
55          (3) limiting development of a mineral estate.
56          Section 4. Section 23-31-104 is enacted to read:
57          23-31-104. Reporting.

58          The division shall annually report to the governor and the Natural Resources,
59     Agriculture, and Environment Interim Committee on or before September 1 with respect to:
60          (1) federal grants, state appropriations, and other contributions, grants, gifts, transfers,
61     bequests, and donations received and credited to the legacy fund during the preceding fiscal
62     year; and
63          (2) expenditures from the legacy fund under Section 23-31-203.
64          Section 5. Section 23-31-201 is enacted to read:
65     
Part 2. Legacy Fund and Board

66          23-31-201. Utah Natural Resources Legacy Fund.
67          (1) There is created an expendable special revenue fund known as the "Utah Natural
68     Resources Legacy Fund."
69          (2) The legacy fund consists of:
70          (a) appropriations to the legacy fund by the Legislature;
71          (b) federal grants accepted by the department or a division of the department and
72     specifically directed to the legacy fund; and
73          (c) contributions, grants, gifts, transfers, bequests, and donations to the legacy fund
74     accepted by the department and specifically directed to the legacy fund.
75          (3) (a) The account shall earn interest.
76          (b) The interest described in Subsection (3)(a) shall be deposited into the account.
77          Section 6. Section 23-31-202 is enacted to read:
78          23-31-202. Utah Natural Resources Legacy Fund Board.
79          (1) Subject to Subsection (12), there is created within the department the Utah Natural
80     Resources Legacy Fund Board that consists of eight members as follows:
81          (a) the following voting members:
82          (i) two members representing the agriculture industry, appointed by the commissioner
83     of the Department of Agriculture and Food;
84          (ii) one member representing a non-government entity that has as a primary purpose
85     conserving non-game wildlife and habitat, appointed by the director of the Division of Wildlife

86     Resources;
87          (iii) one member representing hunting, fishing, and trapping interests in Utah,
88     appointed by the director of the Division of Wildlife Resources;
89          (iv) one member representing mineral extraction and development interests, appointed
90     by the director of the Division of Oil, Gas, and Mining;
91          (v) one member representing water development and distribution interests, appointed
92     by the executive director of the department; and
93          (vi) one at-large member, appointed by the executive director of the department; and
94          (b) the director of the division as a nonvoting member.
95          (2) A voting member of the board shall be appointed for a three-year term.
96          (3) Notwithstanding Subsection (2), terms of board members are staggered as follows
97     so that approximately one-third of the board is appointed every year:
98          (a) the initial individuals appointed under Subsections (1)(a)(i) and (ii) shall be
99     appointed for three-year terms;
100          (b) the initial individuals appointed under Subsections (1)(a)(iii) and (iv) shall be
101     appointed for two-year terms; and
102          (c) the initial individuals appointed under Subsections (1)(a)(v) and (vi) shall be
103     appointed for one-year terms.
104          (4) An individual may be appointed to more than one term.
105          (5) When a vacancy occurs in the membership for any reason, an individual shall be
106     appointed in accordance with Subsection (1) to replace the member for the unexpired term.
107          (6) The board shall elect one member to serve as chair of the board.
108          (7) The board shall meet regularly as called by the chair.
109          (8) Four voting members constitute a quorum.
110          (9) An action by the majority of voting members present when a quorum is present is
111     an action of the board.
112          (10) A member may not receive compensation or benefits for the member's service, but
113     may receive per diem and travel expenses in accordance with:

114          (a) Section 63A-3-106;
115          (b) Section 63A-3-107; and
116          (c) rules made by the Division of Finance pursuant to Sections 63A-3-106 and
117     63A-3-107.
118          (11) The division shall staff the board.
119          (12) The board is not created and may not begin operation until the fund described in
120     Section 23-31-201 holds at least $200,000.
121          Section 7. Section 23-31-203 is enacted to read:
122          23-31-203. Uses of legacy fund.
123          (1) Each year, when the board creates a budget, the board shall allocate:
124          (a) 40% of the budget:
125          (i) for staff and expenses to administer the fund under this chapter;
126          (ii) to conduct research, monitoring, and management actions that benefit non-game
127     species; or
128          (iii) to otherwise reduce the likelihood of future species listings under the Endangered
129     Species Act, 16 U.S.C. Sec. 1531 et seq.; and
130          (b) 60% of the budget to fund the following projects that provide the following
131     landscape level conservation benefits:
132          (i) preserving open spaces, wildlife habitat, and critical agricultural lands;
133          (ii) providing perpetual access for hunting, fishing, or trapping;
134          (iii) addressing and mitigating impacts detrimental to wildlife habitat, the environment,
135     and the multiple use of renewable natural resources attributable to residential, mineral, and
136     industrial development; or
137          (iv) preserving a viable agricultural industry.
138          (2) (a) The board shall make recommendations to the division regarding expenditures
139     from the legacy fund for the purposes described in Subsection (1)(b).
140          (b) The division shall consider the board's recommendations in approving an
141     expenditure from the legacy fund under Subsection (1) and, if the division rejects the board's

142     recommendation, the director of the division shall provide the board with a written explanation
143     of the reason for the rejection.
144          (3) In performing the actions described in Subsection (1)(b), the division shall comply
145     with the requirements described in Section 23-21-1.5.
146          (4) This section does not give the division the power of eminent domain.
147          (5) The division may not use assets from the legacy fund for litigation.
148          (6) Money in the legacy fund may not be used to develop or implement a habitat
149     conservation plan required under federal law unless the federal government pays for at least
150     one-third of the habitat conservation plan costs.
151          Section 8. Section 79-2-201 is amended to read:
152          79-2-201. Department of Natural Resources created.
153          (1) There is created the Department of Natural Resources.
154          (2) The department comprises the following:
155          (a) Board of Water Resources, created in Section 73-10-1.5;
156          (b) Board of Oil, Gas, and Mining, created in Section 40-6-4;
157          (c) Board of Parks and Recreation, created in Section 79-4-301;
158          (d) Wildlife Board, created in Section 23-14-2;
159          (e) Board of the Utah Geological Survey, created in Section 79-3-301;
160          (f) Water Development Coordinating Council, created in Section 73-10c-3;
161          (g) Division of Water Rights, created in Section 73-2-1.1;
162          (h) Division of Water Resources, created in Section 73-10-18;
163          (i) Division of Forestry, Fire, and State Lands, created in Section 65A-1-4;
164          (j) Division of Oil, Gas, and Mining, created in Section 40-6-15;
165          (k) Division of Parks and Recreation, created in Section 79-4-201;
166          (l) Division of Wildlife Resources, created in Section 23-14-1;
167          (m) Utah Geological Survey, created in Section 79-3-201;
168          (n) Heritage Trees Advisory Committee, created in Section 65A-8-306;
169          (o) Recreational Trails Advisory Council, authorized by Section 79-5-201;

170          (p) Boating Advisory Council, authorized by Section 73-18-3.5;
171          (q) Wildlife Board Nominating Committee, created in Section 23-14-2.5; [and]
172          (r) Wildlife Regional Advisory Councils, created in Section 23-14-2.6[.]; and
173          (s) Utah Natural Resources Legacy Fund Board, created in Section 23-31-202.
174          Section 9. Effective date.
175          This bill takes effect on July 1, 2020.