1     
REVENUE BOND AND CAPITAL FACILITIES

2     
AMENDMENTS

3     
2022 GENERAL SESSION

4     
STATE OF UTAH

5     
Chief Sponsor: Douglas V. Sagers

6     
Senate Sponsor: Chris H. Wilson

7     

8     LONG TITLE
9     General Description:
10          This bill enacts provisions relating to calendar year 2022 revenue bonds and capital
11     facility design and construction authorizations.
12     Highlighted Provisions:
13          This bill:
14          ▸     increases the amount of revenue bonds previously approved for construction of the
15     Impact-Epicenter building at the University of Utah;
16          ▸     expresses the Legislature's intent relating to the Utah Board of Higher Education's
17     issuance, sale, and delivery of revenue bonds to finance:
18               •     the construction of the fourth wing of Kahlert Village at the University of Utah;
19               •     the construction of the West Valley Health and Community Center at the
20     University of Utah;
21               •     the construction of improvements to Maverik Stadium at Utah State University;
22               •     the construction of Campus View Suites Phase Three at Dixie State University;
23               •     the construction of a parking garage at Utah Valley University;
24               •     the construction of the Applied Sciences Building at the University of Utah;
25               •     the construction of the Mental Health Facility at the University of Utah; and
26               •     the purchase, on behalf of Southern Utah University, of The Cottages at
27     Shakespeare Lane apartment complex and adjoining home; and

28          ▸     expresses the Legislature's intent relating to the State Building Ownership
29     Authority's issuance of obligations to finance:
30               •     a new state liquor store in Park City; and
31               •     a new state liquor store in St. George.
32     Money Appropriated in this Bill:
33          None
34     Other Special Clauses:
35          None
36     Utah Code Sections Affected:
37     AMENDS:
38          63B-31-201, as enacted by Laws of Utah 2021, Chapter 320
39     ENACTS:
40          63B-32-101, Utah Code Annotated 1953
41          63B-32-102, Utah Code Annotated 1953
42     

43     Be it enacted by the Legislature of the state of Utah:
44          Section 1. Section 63B-31-201 is amended to read:
45          63B-31-201. Revenue bond authorizations -- Utah Board of Higher Education.
46          (1) The Legislature intends that:
47          (a) the Utah Board of Higher Education, on behalf of the University of Utah, may
48     issue, sell, and deliver revenue bonds or other evidences of indebtedness of the University of
49     Utah to borrow money on the credit, revenues, and reserves of the university, other than
50     appropriations of the Legislature, to finance the cost of constructing the West Village Graduate
51     and Family Student Housing;
52          (b) the University of Utah use student housing rental fees and other auxiliary revenue
53     as the primary revenue sources for repayment of any obligation created under authority of this
54     Subsection (1);
55          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
56     Subsection (1) may not exceed $125,800,000 for acquisition and construction proceeds,
57     together with other amounts necessary to pay costs of issuance, pay capitalized interest, and
58     fund any debt service reserve requirements;

59          (d) the university may plan, design, and construct the West Village Graduate and
60     Family Student Housing, subject to the requirements of Title 63A, Chapter 5b, Administration
61     of State Facilities; and
62          (e) the university may not request state funds for operation and maintenance costs or
63     capital improvements.
64          (2) The Legislature intends that:
65          (a) the Utah Board of Higher Education, on behalf of the University of Utah, may
66     issue, sell, and deliver revenue bonds or other evidences of indebtedness of the University of
67     Utah to borrow money on the credit, revenues, and reserves of the university, other than
68     appropriations of the Legislature, to finance the cost of constructing the Impact - Epicenter
69     building;
70          (b) the University of Utah use donations, student housing rental fees, and other
71     auxiliary revenue as the primary revenue sources for repayment of any obligation created under
72     authority of this Subsection (2);
73          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
74     Subsection (2) may not exceed [$85,700,000] $118,700,000 for acquisition and construction
75     proceeds, together with other amounts necessary to pay costs of issuance, pay capitalized
76     interest, and fund any debt service reserve requirements;
77          (d) the university may plan, design, and construct the Impact - Epicenter building,
78     subject to the requirements of Title 63A, Chapter 5b, Administration of State Facilities; and
79          (e) the university may not request state funds for operation and maintenance costs or
80     capital improvements.
81          (3) The Legislature intends that:
82          (a) the Utah Board of Higher Education, on behalf of Utah State University, may issue,
83     sell, and deliver revenue bonds or other evidences of indebtedness of Utah State University to
84     borrow money on the credit, revenues, and reserves of the university, other than appropriations
85     of the Legislature, to finance the cost of constructing an expansion of the Electric Vehicle and
86     Roadway building;
87          (b) Utah State University use research revenue, donations, and institutional funds as the
88     primary revenue sources for repayment of any obligation created under authority of this
89     Subsection (3);

90          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
91     Subsection (3) may not exceed $9,200,000 for acquisition and construction proceeds, together
92     with other amounts necessary to pay costs of issuance, pay capitalized interest, and fund any
93     debt service reserve requirements;
94          (d) the university may plan, design, and construct the expansion of the Electric Vehicle
95     and Roadway building, subject to the requirements of Title 63A, Chapter 5b, Administration of
96     State Facilities; and
97          (e) the university may not request state funds for operation and maintenance costs or
98     capital improvements.
99          (4) The Legislature intends that:
100          (a) the Utah Board of Higher Education, on behalf of Weber State University, may
101     issue, sell, and deliver revenue bonds or other evidences of indebtedness of Weber State
102     University to borrow money on the credit, revenues, and reserves of the university, other than
103     appropriations of the Legislature, to finance the cost of constructing the Stewart Stadium east
104     bleachers;
105          (b) Weber State University use student fees and institutional funds as the primary
106     revenue sources for repayment of any obligation created under authority of this Subsection (4);
107          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
108     Subsection (4) may not exceed $4,000,000 for acquisition and construction proceeds, together
109     with other amounts necessary to pay costs of issuance, pay capitalized interest, and fund any
110     debt service reserve requirements;
111          (d) the university may plan, design, and construct the Stewart Stadium east bleachers,
112     subject to the requirements of Title 63A, Chapter 5b, Administration of State Facilities; and
113          (e) the university may not request additional state funds for operation and maintenance
114     costs or capital improvements.
115          (5) The Legislature intends that:
116          (a) the Utah Board of Higher Education, on behalf of Weber State University, may
117     issue, sell, and deliver revenue bonds or other evidences of indebtedness of Weber State
118     University to borrow money on the credit, revenues, and reserves of the university, other than
119     appropriations of the Legislature, to finance the cost of constructing the Noorda Engineering
120     and Applied Science building;

121          (b) Weber State University use lease payments as the primary revenue sources for
122     repayment of any obligation created under authority of this Subsection (5);
123          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
124     Subsection (5) may not exceed $8,500,000 for acquisition and construction proceeds, together
125     with other amounts necessary to pay costs of issuance, pay capitalized interest, and fund any
126     debt service reserve requirements;
127          (d) the university may plan, design, and construct the Noorda Engineering and Applied
128     Science building, subject to the requirements of Title 63A, Chapter 5b, Administration of State
129     Facilities; and
130          (e) the university may not request additional state funds for operation and maintenance
131     costs or capital improvements.
132          Section 2. Section 63B-32-101 is enacted to read:
133     
CHAPTER 32. 2022 BONDING AND FINANCING AUTHORIZATIONS

134     
Part 1. 2022 Revenue Bond Authorizations

135          63B-32-101. Revenue bond authorizations -- Utah Board of Higher Education.
136          (1) The Legislature intends that:
137          (a) the Utah Board of Higher Education, on behalf of the University of Utah, may
138     issue, sell, and deliver revenue bonds or other evidences of indebtedness of the University of
139     Utah to borrow money on the credit, revenues, and reserves of the university, other than
140     appropriations of the Legislature, to finance the cost of constructing the fourth wing of Kahlert
141     Village;
142          (b) the University of Utah use student housing rental fees and other auxiliary revenues
143     as the primary revenue sources for repayment of any obligation created under authority of this
144     Subsection (1);
145          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
146     Subsection (1) may not exceed $47,600,000 for acquisition and construction proceeds, together
147     with other amounts necessary to pay costs of issuance, pay capitalized interest, and fund any
148     debt service reserve requirements;
149          (d) the university may plan, design, and construct the fourth wing of Kahlert Village
150     subject to the requirements of Title 63A, Chapter 5b, Administration of State Facilities; and
151          (e) the university may not request state funds for operation and maintenance costs or

152     capital improvements.
153          (2) The Legislature intends that:
154          (a) the Utah Board of Higher Education, on behalf of the University of Utah, may
155     issue, sell, and deliver revenue bonds or other evidences of indebtedness of the University of
156     Utah to borrow money on the credit, revenues, and reserves of the university, other than
157     appropriations of the Legislature, to finance the cost of constructing the West Valley Health
158     and Community Center;
159          (b) the University of Utah use clinical revenues and other non-state revenues of the
160     University of Utah Health Sciences as the primary revenue sources for repayment of any
161     obligation created under authority of this Subsection (2);
162          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
163     Subsection (2) may not exceed $400,000,000 for acquisition and construction proceeds,
164     together with other amounts necessary to pay costs of issuance, pay capitalized interest, and
165     fund any debt service reserve requirements;
166          (d) the university may plan, design, and construct the West Valley Health and
167     Community Center subject to the requirements of Title 63A, Chapter 5b, Administration of
168     State Facilities; and
169          (e) the university may not request state funds for operation and maintenance costs or
170     capital improvements.
171          (3) The Legislature intends that:
172          (a) the Utah Board of Higher Education, on behalf of Utah State University, may issue,
173     sell, and deliver revenue bonds or other evidences of indebtedness of Utah State University to
174     borrow money on the credit, revenues, and reserves of the university, other than appropriations
175     of the Legislature, to finance the cost of constructing improvements to Maverik Stadium;
176          (b) Utah State University use existing student fees as the primary revenue sources for
177     repayment of any obligation created under authority of this Subsection (3);
178          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
179     Subsection (3) may not exceed $7,000,000 for acquisition and construction proceeds, together
180     with other amounts necessary to pay costs of issuance, pay capitalized interest, and fund any
181     debt service reserve requirements;
182          (d) the university may plan, design, and construct improvements to Maverik Stadium

183     subject to the requirements of Title 63A, Chapter 5b, Administration of State Facilities; and
184          (e) the university may not request state funds for operation and maintenance costs or
185     capital improvements.
186          (4) The Legislature intends that:
187          (a) the Utah Board of Higher Education, on behalf of Dixie State University, may
188     issue, sell, and deliver revenue bonds or other evidences of indebtedness of Dixie State
189     University to borrow money on the credit, revenues, and reserves of the university, other than
190     appropriations of the Legislature, to finance the cost of constructing Campus View Suites
191     Phase Three;
192          (b) Dixie State University use student housing rental fees and other auxiliary revenues
193     as the primary revenue sources for repayment of any obligation created under authority of this
194     Subsection (4);
195          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
196     Subsection (4) may not exceed $62,500,000 for acquisition and construction proceeds, together
197     with other amounts necessary to pay costs of issuance, pay capitalized interest, and fund any
198     debt service reserve requirements;
199          (d) the university may plan, design, and construct Campus View Suites Phase Three
200     subject to the requirements of Title 63A, Chapter 5b, Administration of State Facilities; and
201          (e) the university may not request additional state funds for operation and maintenance
202     costs or capital improvements.
203          (5) The Legislature intends that:
204          (a) the Utah Board of Higher Education, on behalf of Utah Valley University, may
205     issue, sell, and deliver revenue bonds or other evidences of indebtedness of Utah Valley
206     University to borrow money on the credit, revenues, and reserves of the university, other than
207     appropriations of the Legislature, to finance the cost of constructing a parking garage;
208          (b) Utah Valley University use parking fees and other auxiliary revenues as the primary
209     revenue sources for repayment of any obligation created under authority of this Subsection (5);
210          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
211     Subsection (5) may not exceed $12,000,000 for acquisition and construction proceeds, together
212     with other amounts necessary to pay costs of issuance, pay capitalized interest, and fund any
213     debt service reserve requirements;

214          (d) the university may plan, design, and construct a parking garage subject to the
215     requirements of Title 63A, Chapter 5b, Administration of State Facilities; and
216          (e) the university may not request additional state funds for operation and maintenance
217     costs or capital improvements.
218          (6) The Legislature intends that:
219          (a) the Utah Board of Higher Education, on behalf of the University of Utah, may
220     issue, sell, and deliver revenue bonds or other evidences of indebtedness of the University of
221     Utah to borrow money on the credit, revenues, and reserves of the university, other than
222     appropriations of the Legislature, to finance the University's share of the cost of constructing
223     the Applied Sciences Building;
224          (b) the University of Utah use donations and University funds as the primary revenue
225     sources for repayment of any obligation created under authority of this Subsection (6); and
226          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
227     Subsection (6) may not exceed $25,000,000 for acquisition and construction proceeds, together
228     with other amounts necessary to pay costs of issuance, pay capitalized interest, and fund any
229     debt service reserve requirements.
230          (7) The Legislature intends that:
231          (a) the Utah Board of Higher Education, on behalf of the University of Utah, may
232     issue, sell, and deliver revenue bonds or other evidences of indebtedness of the University of
233     Utah to borrow money on the credit, revenues, and reserves of the university, other than
234     appropriations of the Legislature, to finance the University's share of the cost of constructing a
235     Mental Health Facility;
236          (b) the University of Utah use donations as the primary revenue sources for repayment
237     of any obligation created under authority of this Subsection (7); and
238          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
239     Subsection (7) may not exceed $65,000,000 for acquisition and construction proceeds, together
240     with other amounts necessary to pay costs of issuance, pay capitalized interest, and fund any
241     debt service reserve requirements.
242          (8) The Legislature intends that:
243          (a) the Utah Board of Higher Education, on behalf of Southern Utah University, may
244     issue, sell, and deliver revenue bonds or other evidences of indebtedness of Southern Utah

245     University to borrow money on the credit, revenues, and reserves of the university, other than
246     appropriations of the Legislature, to finance the cost of purchasing The Cottages at
247     Shakespeare Lane apartment complex and adjoining home;
248          (b) Southern Utah University use donations, student housing rental fees, and other
249     auxiliary revenues as the primary revenue sources for repayment of any obligation created
250     under authority of this Subsection (8);
251          (c) the amount of revenue bonds or evidences of indebtedness authorized by this
252     Subsection (8) may not exceed $12,000,000 for acquisition proceeds, together with other
253     amounts necessary to pay costs of issuance, pay capitalized interest, and fund any debt service
254     reserve requirements; and
255          (d) the university may not request state funds for operation and maintenance costs or
256     capital improvements.
257          Section 3. Section 63B-32-102 is enacted to read:
258          63B-32-102. State Building Ownership Authority obligations for new state liquor
259     stores.
260          (1) The Legislature intends that:
261          (a) the State Building Ownership Authority, under the authority of Title 63B, Chapter
262     1, Part 3, State Building Ownership Authority Act, may issue or execute obligations or may
263     enter into or arrange for a lease-purchase agreement in which participation interests may be
264     created, to provide up to $8,214,253 for a Summit County market area liquor store in Park
265     City, together with additional amounts necessary to pay costs of issuance, pay capitalized
266     interest, and fund any existing debt service reserve requirements;
267          (b) the Department of Alcoholic Beverage Control use sales revenues as the primary
268     revenue source for repayment of any obligation created under authority of this Subsection (1);
269     and
270          (c) the Department of Alcoholic Beverage Control may request operation and
271     maintenance funding from sales revenues.
272          (2) The Legislature intends that:
273          (a) the State Building Ownership Authority, under the authority of Title 63B, Chapter
274     1, Part 3, State Building Ownership Authority Act, may issue or execute obligations or may
275     enter into or arrange for a lease-purchase agreement in which participation interests may be

276     created, to provide up to $7,455,342 for a Washington County area market liquor store in St,
277     George, together with additional amounts necessary to pay costs of issuance, pay capitalized
278     interest, and fund any existing debt service reserve requirements;
279          (b) the Department of Alcoholic Beverage Control use sales revenues as the primary
280     revenue source for repayment of any obligation created under authority of this Subsection (2);
281     and
282          (c) the Department of Alcoholic Beverage Control may request operation and
283     maintenance funding from sales revenues.