Senator Jerry W. Stevenson proposes the following substitute bill:


1     
SOVEREIGN LANDS REVENUE AMENDMENTS

2     
2022 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Timothy D. Hawkes

5     
Senate Sponsor: Jerry W. Stevenson

6     Cosponsors:
7     Carl R. Albrecht
8     Stewart E. Barlow
9     Gay Lynn Bennion
10     Joel K. Briscoe
11     Clare Collard
12     Jennifer Dailey-Provost
13     Steve Eliason
14     Joel Ferry
15     Stephen G. Handy
16     Suzanne Harrison
17     Jon Hawkins
18     Sandra Hollins
Brian S. King
Karen Kwan
Rosemary T. Lesser
Ashlee Matthews
Kelly B. Miles
Carol Spackman Moss
Merrill F. Nelson
Doug Owens
Karen M. Peterson
Candice B. Pierucci
Susan Pulsipher
Angela Romero
Douglas V. Sagers
Mike Schultz
Casey Snider
Robert M. Spendlove
Jeffrey D. Stenquist
Andrew Stoddard
Steve Waldrip
Raymond P. Ward
Elizabeth Weight
Mark A. Wheatley
Ryan D. Wilcox
Brad R. Wilson
Mike Winder
19     

20     LONG TITLE
21     General Description:
22          This bill addresses issues related to revenues received by the state from activities on
23     sovereign lands.
24     Highlighted Provisions:
25          This bill:
26          ▸     modifies the Sovereign Lands Management Account statute, including changing
27     what revenue is deposited into the account and changing uses of the money in the
28     account;
29          ▸     creates the Great Salt Lake Account, including defining terms, addressing what
30     revenue is deposited into the account, and specifying uses of the money in the
31     account; and
32          ▸     makes technical changes.
33     Money Appropriated in this Bill:
34          This bill appropriates in fiscal year 2023:
35          ▸     to Department of Natural Resources -- Watershed, as an ongoing appropriation:
36               •     from the General Fund, $2,000,000; and
37          ▸     to Department of Natural Resources -- Division of Forestry, Fire, and State Lands,
38     as an ongoing appropriation:
39               •     from the General Fund, $5,709,400.
40     Other Special Clauses:
41          This bill provides a special effective date.
42     Utah Code Sections Affected:
43     AMENDS:
44          65A-5-1, as last amended by Laws of Utah 2021, Chapter 97
45          65A-5-2, as last amended by Laws of Utah 2014, Chapter 313
46     ENACTS:
47          65A-5-1.5, Utah Code Annotated 1953
48     

49     Be it enacted by the Legislature of the state of Utah:
50          Section 1. Section 65A-5-1 is amended to read:
51          65A-5-1. Sovereign Lands Management Account.
52          (1) There is created within the General Fund a restricted account known as the
53     "Sovereign Lands Management Account."
54          (2) The [account] Sovereign Lands Management Account shall consist of the
55     following:
56          (a) the revenues derived from sovereign lands, except for revenues deposited into the
57     Great Salt Lake Account under Section 65A-5-1.5;
58          (b) that portion of the revenues derived from mineral leases on other lands managed by
59     the division necessary to recover management costs;
60          (c) [any] fees deposited by the division; and
61          (d) amounts deposited into the account in accordance with Section 59-23-4.
62          (3) (a) The expenditures of the division relating directly to the management of [state]
63     sovereign lands shall be funded by appropriation by the Legislature from the Sovereign Lands
64     Management Account or other sources.
65          (b) Money in the Sovereign Lands Management Account may be used only for the
66     direct benefit of sovereign lands, including the management of sovereign lands.
67          (c) In appropriating money from the Sovereign Lands Management Account, the
68     Legislature shall prefer appropriations that benefit the sovereign land from which the money is
69     derived unless compelling circumstances require that money be appropriated for sovereign land
70     other than the sovereign land from which the money is derived.
71          [(4) The Legislature may appropriate money in the account to reimburse one or more
72     state government entities for money spent on the operation of national parks, national
73     monuments, national forests, and national recreation areas in the state during a fiscal
74     emergency, as defined in Section 79-4-1102.]
75          [(5)] (4) The division shall use the amount deposited into the account under Subsection
76     (2)(d) for the Great Salt Lake as described in Section 65A-10-8 as directed by the Great Salt
77     Lake Advisory Council created in Section 73-30-201.
78          [(6) After the expenditures under Subsections (3) through (5), the division shall use
79     money appropriated from the Sovereign Lands Management Account to provide for salary
80     increases to state personnel employed by the division to perform wildland fire management
81     with the division prioritizing salary increases for county fire wardens and assistant wardens.]
82          Section 2. Section 65A-5-1.5 is enacted to read:
83          65A-5-1.5. Great Salt Lake Account.
84          (1) As used in this section:
85          (a) "Account" means the Great Salt Lake Account created in this section.
86          (b) "Mining" means the process of producing, extracting, leaching, evaporating, or
87     otherwise removing a mineral from a natural deposit of the mineral.
88          (2) (a) There is created within the General Fund a restricted account known as the
89     "Great Salt Lake Account" consisting of:
90          (i) revenues deposited into the account under Subsection (3);
91          (ii) appropriations from the Legislature; and
92          (iii) interest and other earnings described in Subsection (2)(b).
93          (b) The Office of the Treasurer shall deposit interest and other earnings derived from
94     investment of money in the account into the account.
95          (3) The division shall deposit into the account the royalty income received by the state
96     from mining that occurs on or after July 1, 2022, of a mineral from the sovereign lands of the
97     Great Salt Lake if during the fiscal year beginning July 1, 2020, the state did not receive royalty
98     income from the mining of that same mineral from the sovereign lands of the Great Salt Lake.
99          (4) Upon appropriation by the Legislature, money in the account may be used to
100     manage the water levels of the Great Salt Lake.
101          Section 3. Section 65A-5-2 is amended to read:
102          65A-5-2. Deposit and allocation of money received.
103          (1) (a) [Subject to Subsection (3), the] The division shall pay to the state treasurer [all]
104     money received, accompanied by a statement showing the respective sources of [this] the
105     money.
106          (b) Each source shall be classified as to sales, rentals, royalties, interest, fees, penalties,
107     and forfeitures.
108          (2) (a) [All money] Money received by the division as a first or down payment on
109     [applications] an application to purchase, permit, or lease state lands or minerals shall be paid
110     to the state treasurer and held in suspense pending final action on [those applications] the
111     application.
112          (b) After final action [these payments] a payment described in Subsection (2)(a) shall
113     either be credited to the appropriate fund or account, or refunded to the applicant in accordance
114     with the action taken.
115          [(3) The division shall provide a separate accounting for all fees received under
116     Subsection 65A-5-1(4).]
117          Section 4. Appropriation.
118          The following sums of money are appropriated for the fiscal year beginning July 1,
119     2022, and ending June 30, 2023. These are additions to amounts previously appropriated for
120     fiscal year 2023. Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures
121     Act, the Legislature appropriates the following sums of money from the funds or accounts
122     indicated for the use and support of the government of the state of Utah.
123     ITEM 1
124          To Department of Natural Resources -- Watershed
125               From General Fund
$2,000,000

126               Schedule of Programs:
127                    Watershed                         $2,000,000
128     ITEM 2
129          To Department of Natural Resources -- Division of Forestry, Fire, and State Lands
130               From General Fund
$5,709,400

131               Schedule of Programs:
132                    Division Administration               $1,135,400
133                    Fire Management                    $712,300
134                    Forest Management                    $341,200
135                    Program Delivery                    $3,103,900
136                    Project Management                    $416,600
137          Section 5. Effective date.
138          This bill takes effect on July 1, 2022.