Chief Sponsor: Carl R. Albrecht

Senate Sponsor: David P. Hinkins


8     General Description:
9          This bill creates the Project Entity Oversight Committee.
10     Highlighted Provisions:
11          This bill:
12          ▸     creates the Project Entity Oversight Committee;
13          ▸     requires a project entity to submit to the Project Entity Oversight Committee certain
14     financial and operating information;
15          ▸     requires the committee to receive information from:
16               •     community stakeholders; and
17               •     a project entity;
18          ▸     establishes a reporting requirement for the committee; and
19          ▸     requires the Office of Energy Development to perform duties related to the
20     administration and support of the committee.
21     Money Appropriated in this Bill:
22          None
23     Other Special Clauses:
24          None
25     Utah Code Sections Affected:
26     AMENDS:
27          79-6-401, as renumbered and amended by Laws of Utah 2021, Chapter 280
28     ENACTS:
29          11-13-317, Utah Code Annotated 1953

30          63C-25-101, Utah Code Annotated 1953
31          63C-25-201, Utah Code Annotated 1953
32          63C-25-202, Utah Code Annotated 1953

34     Be it enacted by the Legislature of the state of Utah:
35          Section 1. Section 11-13-317 is enacted to read:
36          11-13-317. Submitting to the Project Entity Oversight Committee.
37          Within a reasonable time of the information being available, a project entity shall
38     submit to the Project Entity Oversight Committee, created in Section 63C-25-201, publicly
39     available financial and operating information relating to the project entity, including:
40          (1) a copy of the project entity's audited financial statements for each fiscal year;
41          (2) a list of the project entity's financing sources, including:
42          (a) outstanding bond issuances; and
43          (b) future planned bond issuances; and
44          (3) a statement describing the project entity's net charges to its power purchasers for
45     each fiscal year, including:
46          (a) a description of how those charges vary from the project entity's previous fiscal year
47     charges; and
48          (b) a statement describing the project entity's annual power sales of the previous fiscal
49     year broken down by entity, including the amount of power sold.
50          Section 2. Section 63C-25-101 is enacted to read:

Part 1. General Provisions

53          63C-25-101. Definitions.
54          As used in this part:
55          (1) "Board" means the governing board of the project entity.
56          (2) "Committee" means the Project Entity Oversight Committee created in Section
57     63C-25-201.

58          (3) "Project entity" means the same as that term is defined in Section 11-13-103.
59          Section 3. Section 63C-25-201 is enacted to read:
Part 2. Project Entity Oversight Committee

61          63C-25-201. Project Entity Oversight Committee created.
62          (1) There is created the Project Entity Oversight Committee.
63          (2) The committee shall be composed of the following 9 members:
64          (a) the speaker of the House of Representatives shall appoint one member who is a
65     member of the House of Representatives;
66          (b) the president of the Senate shall appoint one member who is a member of the
67     Senate;
68          (c) the governor shall appoint one member;
69          (d) the Millard County Commission shall appoint one member to represent the Millard
70     County Commission;
71          (e) the board shall appoint one member to represent the board;
72          (f) the Millard County School District shall appoint one member to represent the
73     Millard County School District;
74          (g) the School and Institutional Trust Lands Board of Trustees shall nominate one
75     member to represent the School and Institutional Trust Lands;
76          (h) the Utah League of Cities and Towns shall nominate one member to represent the
77     Utah League of Cities and Towns; and
78          (i) the Millard County Department of Economic Development shall nominate one
79     member to represent commerce in the Delta area.
80          (3) (a) Except as provided in Subsections (3)(b) and (3)(c), a member is appointed for a
81     term of four years.
82          (b) The initial appointments of the members described in Subsections (2)(f) through (i)
83     shall be for two-year terms.
84          (c) When the term of a current member expires, a member shall be reappointed or a
85     new member shall be appointed in accordance with Subsection (2).

86          (4) A member may serve multiple terms.
87          (5) (a) When a vacancy occurs in the membership for any reason, a replacement shall
88     be appointed in accordance with Subsection (2) for the unexpired term.
89          (b) A member whose term has expired may continue to serve until a replacement is
90     appointed.
91          (6) The committee shall select a chair from among the committee's members.
92          (7) (a) A majority of the members of the committee is a quorum.
93          (b) The action of a majority of a quorum constitutes an action of the committee.
94          (8) (a) The committee shall meet no fewer than six times per year to accomplish the
95     duties described in Section 63C-25-202.
96          (b) A majority of the committee may vote to meet less frequently than the number of
97     times described in Subsection (8)(a).
98          Section 4. Section 63C-25-202 is enacted to read:
99          63C-25-202. Committee duties -- Office of Energy Development duties.
100          (1) The committee shall:
101          (a) review the information that a project entity submits in accordance with Section
102     11-13-317;
103          (b) make available to the public the information that a project entity submits in
104     accordance with Section 11-13-317;
105          (c) receive input from the local community and stakeholders with respect to concerns
106     about a project entity and the project entity's planned projects;
107          (d) communicate concerns the committee receives to the project entity;
108          (e) compile a report describing the information, input, and communications described
109     in Subsections (1)(a) through (d); and
110          (f) submit the report described in Subsection (1)(e) annually to the Public Utilities,
111     Energy, and Technology Interim Committee on or before October 30.
112          (2) The Office of Energy Development, created in Section 79-6-401, shall:
113          (a) provide staff and support to the committee;

114          (b) ensure the committee is fulfilling the duties described in Subsection (1)(a); and
115          (c) ensure the committee is functioning as a sufficient liaison for the state, the
116     Legislature, the local community, and the project entity.
117          Section 5. Section 79-6-401 is amended to read:
118          79-6-401. Office of Energy Development -- Creation -- Director -- Purpose --
119     Rulemaking regarding confidential information -- Fees -- Transition for employees.
120          (1) There is created an Office of Energy Development in the Department of Natural
121     Resources.
122          (2) (a) The energy advisor shall serve as the director of the office or, on or before June
123     30, 2029, appoint a director of the office.
124          (b) The director:
125          (i) shall, if the energy advisor appoints a director under Subsection (2)(a), report to the
126     energy advisor; and
127          (ii) may appoint staff as funding within existing budgets allows.
128          (c) The office may consolidate energy staff and functions existing in the state energy
129     program.
130          (3) The purposes of the office are to:
131          (a) serve as the primary resource for advancing energy and mineral development in the
132     state;
133          (b) implement:
134          (i) the state energy policy under Section 79-6-301; and
135          (ii) the governor's energy and mineral development goals and objectives;
136          (c) advance energy education, outreach, and research, including the creation of
137     elementary, higher education, and technical college energy education programs;
138          (d) promote energy and mineral development workforce initiatives; and
139          (e) support collaborative research initiatives targeted at Utah-specific energy and
140     mineral development.
141          (4) By following the procedures and requirements of Title 63J, Chapter 5, Federal

142     Funds Procedures Act, the office may:
143          (a) seek federal grants or loans;
144          (b) seek to participate in federal programs; and
145          (c) in accordance with applicable federal program guidelines, administer federally
146     funded state energy programs.
147          (5) The office shall perform the duties required by Sections 11-42a-106, 59-5-102,
148     59-7-614.7, 59-10-1029, 63C-25-202, Part 5, Alternative Energy Development Tax Credit Act,
149     and Part 6, High Cost Infrastructure Development Tax Credit Act.
150          (6) (a) For purposes of administering this section, the office may make rules, by
151     following Title 63G, Chapter 3, Utah Administrative Rulemaking Act, to maintain as
152     confidential, and not as a public record, information that the office receives from any source.
153          (b) The office shall maintain information the office receives from any source at the
154     level of confidentiality assigned by the source.
155          (7) The office may charge application, filing, and processing fees in amounts
156     determined by the office in accordance with Section 63J-1-504 as dedicated credits for
157     performing office duties described in this part.
158          (8) (a) An employee of the office is an at-will employee.
159          (b) For an employee of the office on July 1, 2021, the employee shall have the same
160     salary and benefit options the employee had when the office was part of the office of the
161     governor.