1     
STATE FAIR PARK AMENDMENTS

2     
2023 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Scott D. Sandall

5     
House Sponsor: Mike Schultz

6     

7     LONG TITLE
8     General Description:
9          This bill modifies provisions relating to the state fair park.
10     Highlighted Provisions:
11          This bill:
12          ▸     provides for the dissolution of the Utah State Fair Corporation;
13          ▸     creates the State Fair Park Authority as a successor entity to the Utah State Fair
14     Corporation, with similar but modified duties;
15          ▸     authorizes the Authority to impose a special event sales tax;
16          ▸     requires the State Tax Commission to distribute to the authority certain sales tax
17     revenue generated from a hotel on fair park land;
18          ▸     makes property on state fair park land subject to the privilege tax and provides for
19     revenue from the tax and from personal property tax to be paid to the Authority;
20          ▸     modifies provisions relating to the operation, maintenance, construction, and
21     modification of buildings and facilities on state fair park land;
22          ▸     authorizes the Authority to issue bonds and enacts provisions relating to the bonds;
23     and
24          ▸     makes technical changes.
25     Money Appropriated in this Bill:
26          None
27     Other Special Clauses:
28          None

29     Utah Code Sections Affected:
30     AMENDS:
31          11-36a-202, as last amended by Laws of Utah 2022, Chapter 406
32          59-2-924, as last amended by Laws of Utah 2022, Chapters 237, 239, and 433
33          59-4-101, as last amended by Laws of Utah 2020, Chapter 105
34          63C-25-101, as enacted by Laws of Utah 2022, Chapter 207 and last amended by
35     Coordination Clause, Laws of Utah 2022, Chapter 207
36          63E-1-102, as last amended by Laws of Utah 2022, Chapters 44 and 63
37          63J-7-102, as last amended by Laws of Utah 2022, Chapters 224, 451, and 456
38          67-3-12, as last amended by Laws of Utah 2022, Chapters 169, 205, and 274
39     ENACTS:
40          11-68-401, Utah Code Annotated 1953
41          11-68-501, Utah Code Annotated 1953
42          11-68-502, Utah Code Annotated 1953
43          11-68-503, Utah Code Annotated 1953
44          11-68-504, Utah Code Annotated 1953
45          11-68-505, Utah Code Annotated 1953
46          11-68-506, Utah Code Annotated 1953
47          59-12-2301, Utah Code Annotated 1953
48          59-12-2302, Utah Code Annotated 1953
49          59-12-2303, Utah Code Annotated 1953
50          59-12-2304, Utah Code Annotated 1953
51          59-12-2305, Utah Code Annotated 1953
52     RENUMBERS AND AMENDS:
53          11-68-101, (Renumbered from 63H-6-102, as last amended by Laws of Utah 2020,
54     Chapter 152)
55          11-68-201, (Renumbered from 63H-6-103, as last amended by Laws of Utah 2022,

56     Chapter 421)
57          11-68-202, (Renumbered from 63H-6-108, as last amended by Laws of Utah 2022,
58     Chapter 421)
59          11-68-301, (Renumbered from 63H-6-104, as last amended by Laws of Utah 2020,
60     Chapters 352 and 373)
61          11-68-302, (Renumbered from 63H-6-105, as renumbered and amended by Laws of
62     Utah 2011, Chapter 370)
63          11-68-402, (Renumbered from 63H-6-109, as enacted by Laws of Utah 2016, Chapter
64     301)
65          11-68-403, (Renumbered from 63H-6-107, as last amended by Laws of Utah 2016,
66     Chapter 301)
67          11-68-601, (Renumbered from 63H-6-106, as renumbered and amended by Laws of
68     Utah 2011, Chapter 370)
69     REPEALS:
70          63H-6-101, as last amended by Laws of Utah 2016, Chapter 301
71          63H-6-201, as enacted by Laws of Utah 2016, Chapter 301
72          63H-6-202, as enacted by Laws of Utah 2016, Chapter 301
73          63H-6-203, as enacted by Laws of Utah 2016, Chapter 301
74          63H-6-204, as enacted by Laws of Utah 2016, Chapter 301
75          63H-6-205, as enacted by Laws of Utah 2016, Chapter 301
76     

77     Be it enacted by the Legislature of the state of Utah:
78          Section 1. Section 11-36a-202 is amended to read:
79          11-36a-202. Prohibitions on impact fees.
80          (1) A local political subdivision or private entity may not:
81          (a) impose an impact fee to:
82          (i) cure deficiencies in a public facility serving existing development;

83          (ii) raise the established level of service of a public facility serving existing
84     development; or
85          (iii) recoup more than the local political subdivision's or private entity's costs actually
86     incurred for excess capacity in an existing system improvement;
87          (b) delay the construction of a school or charter school because of a dispute with the
88     school or charter school over impact fees; or
89          (c) impose or charge any other fees as a condition of development approval unless
90     those fees are a reasonable charge for the service provided.
91          (2) (a) Notwithstanding any other provision of this chapter, a political subdivision or
92     private entity may not impose an impact fee:
93          (i) on residential components of development to pay for a public safety facility that is a
94     fire suppression vehicle;
95          (ii) on a school district or charter school for a park, recreation facility, open space, or
96     trail;
97          (iii) on a school district or charter school unless:
98          (A) the development resulting from the school district's or charter school's
99     development activity directly results in a need for additional system improvements for which
100     the impact fee is imposed; and
101          (B) the impact fee is calculated to cover only the school district's or charter school's
102     proportionate share of the cost of those additional system improvements;
103          (iv) to the extent that the impact fee includes a component for a law enforcement
104     facility, on development activity for:
105          (A) the Utah National Guard;
106          (B) the Utah Highway Patrol; or
107          (C) a state institution of higher education that has its own police force;
108          (v) on development activity on [the state] fair park land, as defined in Section
109     [63H-6-102] 11-68-101; or

110          (vi) on development activity that consists of the construction of an internal accessory
111     dwelling unit, as defined in Section 10-9a-530, within an existing primary dwelling.
112          (b) (i) Notwithstanding any other provision of this chapter, a political subdivision or
113     private entity may not impose an impact fee on development activity that consists of the
114     construction of a school, whether by a school district or a charter school, if:
115          (A) the school is intended to replace another school, whether on the same or a different
116     parcel;
117          (B) the new school creates no greater demand or need for public facilities than the
118     school or school facilities, including any portable or modular classrooms that are on the site of
119     the replaced school at the time that the new school is proposed; and
120          (C) the new school and the school being replaced are both within the boundary of the
121     local political subdivision or the jurisdiction of the private entity.
122          (ii) If the imposition of an impact fee on a new school is not prohibited under
123     Subsection (2)(b)(i) because the new school creates a greater demand or need for public
124     facilities than the school being replaced, the impact fee shall be based only on the demand or
125     need that the new school creates for public facilities that exceeds the demand or need that the
126     school being replaced creates for those public facilities.
127          (c) Notwithstanding any other provision of this chapter, a political subdivision or
128     private entity may impose an impact fee for a road facility on the state only if and to the extent
129     that:
130          (i) the state's development causes an impact on the road facility; and
131          (ii) the portion of the road facility related to an impact fee is not funded by the state or
132     by the federal government.
133          (3) Notwithstanding any other provision of this chapter, a local political subdivision
134     may impose and collect impact fees on behalf of a school district if authorized by Section
135     11-36a-206.
136          Section 2. Section 11-68-101, which is renumbered from Section 63H-6-102 is

137     renumbered and amended to read:
138     
CHAPTER 68. STATE FAIR PARK AUTHORITY ACT

139     
Part 1. General Provisions

140          [63H-6-102].      11-68-101. Definitions.
141          As used in this chapter:
142          (1) "Authority" means the State Fair Park Authority, created in Section 11-68-201.
143          [(1)] (2) "Board" means the authority board [of directors of the corporation], created in
144     Section 11-68-301.
145          [(2)] (3) "Business related experience" means at least three years of professional
146     experience in business administration, marketing, advertising, economic development, or a
147     related field.
148          [(3)] (4) "Capital development projects" means the same as [capital development
149     project, as] that term is defined in Section 63A-5b-401.
150          [(4) "Capital improvements" means the same as that term is defined in Section
151     63A-5b-401.]
152          [(5) "Corporation" means the Utah State Fair Corporation created by this chapter.]
153          [(6) "Corporation bond" means a bond issued by the corporation in accordance with
154     Part 2, Bonding Authority.]
155          (5) "Development" means:
156          (a) the demolition, construction, reconstruction, modification, expansion, or
157     improvement of a building, utility, infrastructure, landscape, parking lot, park, trail,
158     recreational amenity, or other facility; and
159          (b) the planning of, arranging for, or participation in any of the activities listed in
160     Subsection (5)(a).
161          [(7)] (6) "Division" means the Division of Facilities Construction and Management
162     created in Section 63A-5b-301.
163          [(8)] (7) "Executive director" means the executive director hired by the board [in

164     accordance with Section 63H-6-105] under Section 11-68-302.
165          (8) "Fair corporation" means the Utah State Fair Corporation, created by Laws of Utah
166     1995, Chapter 260.
167          (9) (a) ["State fair park"] "Fair park land" means the property owned by the state
168     located at:
169          (i) 155 North 1000 West, Salt Lake City, Utah, consisting of approximately 50 acres;
170          (ii) 1139 West North Temple, Salt Lake City, Utah, consisting of approximately 10.5
171     acres; and
172          (iii) 1220 West North Temple, Salt Lake City, Utah, consisting of approximately two
173     acres.
174          [(b) "State fair park" includes each building and each improvement on the property
175     described in Subsection (9)(a) that is owned by the state.]
176          (b) "Fair park land" includes any land acquired by the authority under Subsection
177     11-68-201(6)(i).
178          Section 3. Section 11-68-201, which is renumbered from Section 63H-6-103 is
179     renumbered and amended to read:
180     
Part 2. State Fair Park Authority

181          [63H-6-103].      11-68-201. State Fair Park Authority -- Legal status --
182     Powers.
183          (1) There is created [an independent public nonprofit corporation known as the "Utah
184     State Fair Corporation."] the State Fair Park Authority.
185          [(2) The board shall file articles of incorporation for the corporation with the Division
186     of Corporations and Commercial Code.]
187          [(3) The corporation, subject to this chapter, has all powers and authority permitted
188     nonprofit corporations by law.]
189          (2) The authority is:
190          (a) an independent, nonprofit, separate body corporate and politic, with perpetual

191     succession;
192          (b) a political subdivision of the state; and
193          (c) a public corporation, as defined in Section 63E-1-102.
194          (3) (a) The fair corporation is dissolved and ceases to exist, subject to any winding
195     down and other actions necessary for a transition to the authority.
196          (b) The authority:
197          (i) replaces and is the successor to the fair corporation;
198          (ii) succeeds to all rights, obligations, privileges, immunities, and assets of the fair
199     corporation; and
200          (iii) shall fulfill and perform all contractual and other obligations of the fair
201     corporation.
202          (c) The board shall take all actions necessary and appropriate to wind down the affairs
203     of the fair corporation as quickly as practicable and to make a transition from the fair
204     corporation to the authority.
205          (4) The [corporation] authority shall:
206          (a) manage, supervise, and control:
207          (i) all activities relating to the annual exhibition described in Subsection (4)(j); and
208          (ii) except as otherwise provided by statute, all state expositions, including setting the
209     time, place, and purpose of any state exposition;
210          (b) for public entertainment, displays, and exhibits or similar events held at the state
211     fair park:
212          (i) provide, sponsor, or arrange the events;
213          (ii) publicize and promote the events; and
214          (iii) secure funds to cover the cost of the exhibits from:
215          (A) private contributions;
216          (B) public appropriations;
217          (C) admission charges; and

218          (D) other lawful means;
219          (c) acquire and designate exposition sites;
220          (d) use generally accepted accounting principles in accounting for the [corporation's]
221     authority's assets, liabilities, and operations;
222          (e) seek corporate sponsorships for the state fair park or for individual buildings or
223     facilities [within the] on fair park land;
224          (f) work with county and municipal governments, the Salt Lake Convention and
225     Visitor's Bureau, the Utah [Travel Council] Office of Tourism, and other entities to develop
226     and promote expositions and the use of [the state] fair park land;
227          (g) develop and maintain a marketing program to promote expositions and the use of
228     [the state] fair park land;
229          (h) in accordance with provisions of this [part] chapter, operate and maintain [the state]
230     state-owned buildings and facilities on fair park land, including the physical appearance and
231     structural integrity of [the state fair park and the] those buildings [located at the state fair park]
232     and facilities;
233          (i) prepare an economic development plan for the [state] fair park land;
234          (j) hold an annual exhibition on fair park land that:
235          (i) is called the state fair or a similar name;
236          (ii) promotes and highlights agriculture throughout the state;
237          (iii) includes expositions of livestock, poultry, agricultural, domestic science,
238     horticultural, floricultural, mineral and industrial products, manufactured articles, and domestic
239     animals that, in the [corporation's] board's opinion, will best stimulate agricultural, industrial,
240     artistic, and educational pursuits and the sharing of talents among the people of [Utah] the
241     state;
242          (iv) includes the award of premiums for the best specimens of the exhibited articles
243     and animals;
244          (v) permits competition by livestock exhibited by citizens of other states and territories

245     of the United States; and
246          (vi) is arranged according to plans approved by the board;
247          (k) fix the conditions of entry to the annual exhibition described in Subsection (4)(j);
248     and
249          (l) publish a list of premiums that will be awarded at the annual exhibition described in
250     Subsection (4)(j) for the best specimens of exhibited articles and animals.
251          (5) In addition to the annual exhibition described in Subsection (4)(j), the [corporation]
252     authority may hold other exhibitions of livestock, poultry, agricultural, domestic science,
253     horticultural, floricultural, mineral and industrial products, manufactured articles, and domestic
254     animals that, in the corporation's opinion, will best stimulate agricultural, industrial, artistic,
255     and educational pursuits and the sharing of talents among the people of [Utah] the state.
256          (6) The [corporation] authority may:
257          (a) employ advisers, consultants, and agents, including financial experts and
258     independent legal counsel, and fix their compensation;
259          (b) (i) participate in the state's Risk Management Fund created under Section
260     63A-4-201 or any captive insurance company created by the risk manager; or
261          (ii) procure insurance against any loss in connection with the [corporation's] authority's
262     property and other assets[, including mortgage loans];
263          (c) receive and accept aid or contributions of money, property, labor, or other things of
264     value from any source, including any grants or appropriations from any department, agency, or
265     instrumentality of the United States or [Utah] the state;
266          (d) hold, use, loan, grant, and apply that aid and those contributions to carry out the
267     purposes of the [corporation] authority, subject to the conditions, if any, upon which the aid
268     and contributions [were] are made;
269          (e) enter into management agreements with any person or entity for the performance of
270     the [corporation's] authority's functions or powers;
271          (f) establish [whatever] accounts and procedures [as] that are necessary to budget,

272     receive, [and] disburse, account for, and audit all funds received, appropriated, or generated;
273          (g) subject to Subsection (8), lease any of the state-owned buildings or facilities [at the
274     state] located on fair park land;
275          (h) sponsor events as approved by the board; [and]
276          (i) subject to Subsection (11), acquire any interest in real property that the board
277     considers necessary or advisable to further a purpose of the authority or facilitate the authority's
278     fulfillment of a duty under this chapter;
279          (j) in accordance with Title 11, Chapter 42a, Commercial Property Assessed Clean
280     Energy Act, provide for or finance an energy efficiency upgrade, a renewable energy system, or
281     electric vehicle charging infrastructure, as those terms are defined in Section 11-42a-102; and
282          [(i)] (k) enter into one or more agreements to develop the [state] fair park land.
283          [(7) (a) Except as provided in Subsection (7)(c), as an independent agency of Utah, the
284     corporation is exempt from:]
285          [(i) Title 51, Chapter 5, Funds Consolidation Act;]
286          [(ii) Title 51, Chapter 7, State Money Management Act;]
287          [(iii) Title 63A, Utah Government Operations Code;]
288          [(iv) Title 63J, Chapter 1, Budgetary Procedures Act; and]
289          [(v) Title 63A, Chapter 17, Utah State Personnel Management Act.]
290          [(b) The board shall adopt policies parallel to and consistent with:]
291          (7) The authority shall comply with:
292          [(i)] (a) Title 51, Chapter 5, Funds Consolidation Act;
293          [(ii)] (b) Title 51, Chapter 7, State Money Management Act;
294          [(iii) Title 63A, Utah Government Operations Code; and]
295          [(iv) Title 63J, Chapter 1, Budgetary Procedures Act.]
296          [(c) The corporation shall comply with:]
297          [(i)] (c) Title 52, Chapter 4, Open and Public Meetings Act;
298          [(ii)] (d) Title 63G, Chapter 2, Government Records Access and Management Act;

299          [(iii)] (e) the provisions of Section 67-3-12;
300          [(iv)] (f) Title 63G, Chapter 6a, Utah Procurement Code, except for a procurement for:
301          [(A)] (i) entertainment provided at the state fair park;
302          [(B)] (ii) judges for competitive exhibits; or
303          [(C)] (iii) sponsorship of an event [at the state] on fair park land; and
304          [(v)] (g) the legislative approval requirements for [new facilities] capital development
305     projects established in Section 63A-5b-404.
306          (8) (a) Before the [corporation] authority executes a lease described in Subsection
307     (6)(g) with a term of 10 or more years, the [corporation] authority shall:
308          (i) submit the proposed lease to the division for the division's approval or rejection; and
309          (ii) if the division approves the proposed lease, submit the proposed lease to the
310     Executive Appropriations Committee for the Executive Appropriation Committee's review and
311     recommendation in accordance with Subsection (8)(b).
312          (b) The Executive Appropriations Committee shall review a proposed lease submitted
313     in accordance with Subsection (8)(a) and recommend to the [corporation] authority that the
314     [corporation] authority:
315          (i) execute the proposed [sublease] lease, either as proposed or with changes
316     recommended by the Executive Appropriations Committee; or
317          (ii) reject the proposed [sublease] lease.
318          (9) (a) Subject to Subsection (9)(b), a department, division, or other instrumentality of
319     the state and a political subdivision of the state shall cooperate with the authority to the fullest
320     extent possible to provide whatever support, information, or other assistance the authority
321     requests that is reasonably necessary to help the authority fulfill the authority's duties and
322     responsibilities under this chapter.
323          (b) The division shall provide assistance and resources to the authority as the division
324     director determines is appropriate.
325          (10) The authority may share authority revenue with a municipality in which the fair

326     park land is located, as provided in an agreement between the authority and the municipality, to
327     pay for municipal services provided by the municipality.
328          (11) (a) As used in this Subsection (11), "new land" means land that, if acquired by the
329     authority, would result in the authority having acquired over three acres of land more than the
330     land described in Subsection 11-68-101(9)(a).
331          (b) In conjunction with the authority's acquisition of new land, the authority shall enter
332     an agreement with the municipality in which the new land is located.
333          (c) To provide funds for the cost of increased municipal services that the municipality
334     will provide to the new land, an agreement under Subsection (11)(b) shall:
335          (i) provide for:
336          (A) the payment of impact fees to the municipality for development activity on the new
337     land; and
338          (B) the authority's sharing with the municipality tax revenue generated from the new
339     land; and
340          (ii) be structured in a way that recognizes the needs of the authority and furthers mutual
341     goals of the authority and the municipality.
342          Section 4. Section 11-68-202, which is renumbered from Section 63H-6-108 is
343     renumbered and amended to read:
344          [63H-6-108].      11-68-202. Operation of the state-owned buildings and
345     facilities on fair park land -- New construction and modification of existing facilities --
346     Liability insurance -- Obligations of the authority.
347          (1) The [corporation] authority shall:
348          (a) operate and maintain [the state] state-owned buildings and facilities on fair park
349     land in accordance with the facility maintenance standards approved by the division;
350          (b) pay for all costs associated with operating and maintaining [the state fair park]
351     state-owned buildings and facilities on fair park land;
352          [(c) obtain approval from the division before the corporation commences capital

353     developments or capital improvements on the state fair park that involve:]
354          [(i) a construction project that costs more than $250,000; or]
355          [(ii) the construction of a new building that costs more than $1,000,000;]
356          [(d) obtain a building permit from the division before commencing an activity that
357     requires a building permit;]
358          [(e) ensure that:]
359          [(i) any design plan related to the state fair park satisfies any applicable design
360     standards established by the division; and]
361          [(ii) construction performed on the state fair park satisfies any applicable construction
362     standards established by the division;]
363          [(f) for any new construction project on the state fair park that costs $250,000 or more:]
364          [(i) notify the division before commencing the new construction project; and]
365          [(ii) coordinate with the division regarding review of design plans and construction
366     management;]
367          [(g)] (c) obtain approval from the division before [the corporation makes] making any
368     alteration or addition to the water system, heating system, plumbing system, air conditioning
369     system, or electrical system of a state-owned building or facility on fair park land;
370          [(h) obtain approval from the division before the corporation demolishes a building or
371     facility on the state fair park;]
372          [(i)] (d) keep the [state] fair park land and all state-owned buildings and facilities on
373     fair park land fully insured to protect against loss or damage by fire, vandalism, or malicious
374     mischief;
375          [(j)] (e) in accordance with Subsection (3), at the [corporation's] authority's expense,
376     and for the mutual benefit of the division, maintain general public liability insurance in an
377     amount equal to at least $1,000,000 through one or more companies that are:
378          (i) licensed to do business in the state;
379          (ii) selected by the [corporation] authority; and

380          (iii) approved by the division and the Division of Risk Management;
381          [(k)] (f) ensure that the division is an additional insured with primary coverage on each
382     insurance policy that the [corporation] authority obtains in accordance with this section;
383          [(l)] (g) give the division notice at least 30 days before the day on which the
384     [corporation] authority cancels any insurance policy that the [corporation] authority obtains in
385     accordance with this section; and
386          [(m)] (h) if any lien that is not invalid under Section 38-1a-103 is recorded or filed
387     against the state fair park as a result of an act or omission of the [corporation] authority, cause
388     the lien to be satisfied or [cancelled] released within 10 days after the day on which the
389     [corporation] authority receives notice of the lien.
390          [(2) At least 90 calendar days before demolition work begins, the division shall notify
391     the State Historic Preservation Office of any division plan to demolish a facility on the state
392     fair park.]
393          (2) (a) As used in this Subsection (2):
394          (i) "Existing facility modification" means an alteration, repair, or improvement to an
395     existing state-owned building or facility on fair park land.
396          (ii) "Major project" means new construction or an existing facility modification that
397     costs, regardless of the funding source, over $100,000.
398          (iii) "Minor project" means new construction or an existing facility modification that
399     costs, regardless of the funding source, $100,000 or less.
400          (iv) "New construction" means the design and construction of a new state-owned or
401     privately owned building or facility on fair park land.
402          (b) (i) The director of the division shall exercise direct supervision over a major
403     project.
404          (ii) Notwithstanding Subsection (2)(b)(i), the director of the division may delegate
405     control over a major project to the authority on a project-by-project basis.
406          (iii) With respect to a delegation of control under Subsection (2)(b)(ii), the director of

407     the division may:
408          (A) impose terms and conditions on the delegation that the director considers necessary
409     or advisable to protect the interests of the state; and
410          (B) revoke the delegation and assume control of the design, construction, or other
411     aspect of a delegated project if the director considers the revocation and assumption of control
412     to be necessary to protect the interests of the state.
413          (iv) If a major project over which the division exercises direct supervision includes the
414     demolition of a building or other facility on fair park land, the division shall, at least 90 days
415     before demolition work begins, notify the State Historic Preservation Office of the division's
416     demolition plan.
417          (c) Subject to Subsection (2)(d), the authority may exercise direct supervision over a
418     minor project.
419          (d) With respect to a minor project over which the authority exercises direct
420     supervision, the authority shall:
421          (i) obtain the division's approval before commencing the new construction or existing
422     facility modification;
423          (ii) obtain a building permit from the division before commencing the new
424     construction or existing facility modification, if a building permit is required;
425          (iii) comply with the division's forms and contracts and the division's design,
426     construction, alteration, repair, improvement, and code inspection standards;
427          (iv) notify the division before commencing the new construction or existing facility
428     modification;
429          (v) coordinate with the division regarding the review of design plans and management
430     of the new construction or existing facility modification project; and
431          (vi) at least 90 days before the beginning of any demolition of a building or facility on
432     the fair park land, notify the division and the State Historic Preservation Office of the proposed
433     demolition.

434          (3) The general public liability insurance described in Subsection [(1)(j)] (1)(e) shall:
435          (a) insure against any claim for personal injury, death, or property damage that occurs
436     [at the state] on fair park land; and
437          (b) be a blanket policy that covers all activities of the [corporation] authority.
438          [(4) The division shall administer any capital improvements on the state fair park that
439     cost more than $250,000.]
440          [(5)] (4) Upon 24 hours notice to the [corporation] board, the division may enter the
441     [state] fair park land to inspect [the state] any facility on fair park land and make any repairs
442     that the division determines necessary.
443          [(6) If the corporation no longer operates as an independent public nonprofit
444     corporation as described in this chapter, the state shall assume the responsibilities of the
445     corporation under any contract that is:]
446          [(a) in effect as of the day on which the status of the corporation changes; and]
447          [(b) for the lease, construction, or development of a building or facility on the state fair
448     park.]
449          [(7)] (5) (a) A debt or obligation contracted by the [corporation] authority is a debt or
450     obligation of the [corporation] authority and not of the state.
451          (b) The state is not liable and assumes no responsibility for any debt or obligation
452     [described in Subsection (7)(a), unless the Legislature expressly:] of the authority.
453          [(i) authorizes the corporation to contract for the debt or obligation; and]
454          [(ii) accepts liability or assumes responsibility for the debt or obligation.]
455          [(8) The provisions of this section apply notwithstanding any contrary provision in
456     Title 63A, Chapter 5b, Administration of State Facilities.]
457          Section 5. Section 11-68-301, which is renumbered from Section 63H-6-104 is
458     renumbered and amended to read:
459     
Part 3. Authority Governance

460          [63H-6-104].      11-68-301. Board -- Membership -- Term -- Quorum --

461     Vacancies -- Duties.
462          (1) The [corporation] authority is governed by a board [of directors].
463          (2) The board is composed of [members as follows]:
464          (a) the director of the Division of Facilities Construction and Management or the
465     director's designee;
466          (b) the commissioner of agriculture and food or the commissioner's designee;
467          (c) two members, appointed by the president of the Senate:
468          (i) who have business related experience; and
469          (ii) of whom only one may be a legislator, in accordance with Subsection (3)(e);
470          (d) two members, appointed by the speaker of the House:
471          (i) who have business related experience; and
472          (ii) of whom only one may be a legislator, in accordance with Subsection (3)(e);
473          (e) five members, of whom only one may be a legislator, in accordance with
474     Subsection (3)(e), appointed by the governor with the advice and consent of the Senate in
475     accordance with Title 63G, Chapter 24, Part 2, Vacancies as follows:
476          (i) two members who represent agricultural interests;
477          (ii) two members who have business related experience; and
478          (iii) one member who is recommended by the Utah Farm Bureau Federation;
479          (f) one member, appointed by the mayor of Salt Lake City with the advice and consent
480     of the Senate, who is a resident of the neighborhood located adjacent to the [state] fair park
481     land;
482          (g) a representative of Salt Lake County, if Salt Lake County is party to an executed
483     lease agreement with the [corporation] authority; and
484          (h) a representative of the Days of '47 Rodeo.
485          (3) (a) (i) Except as provided in Subsection (3)(a)(ii), a board member appointed under
486     Subsection (2)(c), (d), (e), or (f) shall serve a term that expires on the December 1 four years
487     after the year that the board member was appointed.

488          (ii) In making appointments to the board, the president of the Senate, the speaker of the
489     House, the governor, and the mayor of Salt Lake City shall ensure that the terms of
490     approximately 1/4 of the appointed board members expire each year.
491          (b) Except as provided in Subsection (3)(c), appointed board members serve until their
492     successors are appointed and qualified.
493          (c) (i) If an appointed board member is absent from three consecutive board meetings
494     without excuse, that member's appointment is terminated, the position is vacant, and the
495     individual who appointed the board member shall appoint a replacement.
496          (ii) The president of the Senate, the speaker of the House, the governor, or the mayor of
497     Salt Lake City, as applicable, may remove an appointed member of the board at will.
498          (d) The president of the Senate, the speaker of the House, the governor, or the mayor of
499     Salt Lake City, as appropriate, shall fill any vacancy that occurs on the board for any reason by
500     appointing an individual in accordance with the procedures described in this section for the
501     unexpired term of the vacated member.
502          (e) No more than a combined total of two legislators may be appointed under
503     Subsections (2)(c), (d), and (e).
504          (4) The governor shall select the board's chair.
505          (5) A majority of the members of the board is a quorum for the transaction of business.
506          (6) The board may elect a vice chair and any other board offices.
507          (7) The board may create one or more subcommittees to advise the board on any issue
508     related to the state fair park.
509          (8) A member described in Subsection (2)(e) shall comply with the conflict of interest
510     provisions described in Title 63G, Chapter 24, Part 3, Conflicts of Interest.
511          (9) The board shall create and may, as the board considers appropriate, modify:
512          (a) a business plan for the authority;
513          (b) a financial plan for the authority that projects self-sufficiency for the authority
514     within two years; and

515          (c) a master plan for the fair park land.
516          Section 6. Section 11-68-302, which is renumbered from Section 63H-6-105 is
517     renumbered and amended to read:
518          [63H-6-105].      11-68-302. Executive director.
519          (1) (a) The board shall:
520          (i) hire an executive director for the [corporation] authority as provided in this
521     [subsection] Subsection (1)(a);
522          (ii) conduct a national search to find applicants for the position of executive director;
523     and
524          (iii) establish the salary, benefits, and other compensation of the executive director.
525          (b) The board may appoint an interim director while searching for a permanent
526     executive director.
527          (c) The executive director serves at the pleasure of the board and may be terminated by
528     the board at will.
529          (d) The executive director is an employee of the [corporation] authority.
530          (e) The executive director may not be a member of the board.
531          (2) The executive director shall:
532          (a) act as the executive officer of the board and the [corporation] authority;
533          (b) administer, manage, and direct the affairs and activities of the [corporation]
534     authority in accordance with the policies and under the control and direction of the board;
535          (c) keep the board, the governor, the Legislature, and its agencies, and other affected
536     officers, associations, and groups informed about the operations of the [corporation] authority;
537          (d) recommend to the board any necessary or desirable changes in the statutes
538     governing the [corporation] authority;
539          (e) recommend to the board an annual administrative budget covering the operations of
540     the [corporation] authority and, upon approval, submit the budget to the governor and the
541     Legislature for their examination and approval;

542          (f) after approval, direct and control the subsequent expenditures of the budget;
543          (g) employ, within the limitations of the budget, staff personnel and consultants to
544     accomplish the purpose of the [corporation] authority, and establish [their] the qualifications,
545     duties, and compensation of the staff personnel and consultants;
546          (h) keep in convenient form all records and accounts of the [corporation] authority,
547     including those necessary for the administration of the [state] fair park land;
548          [(i) in cooperation with the board, create:]
549          [(i) business plans for the corporation;]
550          [(ii) a financial plan for the corporation that projects self-sufficiency for the
551     corporation within two years; and]
552          [(iii) a master plan for the state fair park;]
553          [(j)] (i) approve all accounts for:
554          (i) salaries;
555          (ii) allowable expenses of the [corporation] authority and its employees and
556     consultants; and
557          (iii) expenses incidental to the operation of the [corporation] authority; and
558          [(k)] (j) perform other duties as directed by the board.
559          Section 7. Section 11-68-401 is enacted to read:
560     
Part 4. Authority Revenues

561          11-68-401. Distribution of sales tax revenue to authority.
562          (1) As used in this section:
563          (a) "Applicable sales tax revenue" means all revenue collected under Title 59, Chapter
564     12, Sales and Use Tax Act, on transactions that occur within a qualified hotel, except:
565          (i) revenue distributed under Subsection 59-12-205(2)(a)(ii)(A); and
566          (ii) revenue collected under Title 59, Chapter 12, Part 3A, Municipality Transient
567     Room Tax.
568          (b) "Commission" means the State Tax Commission.

569          (c) "Qualified hotel" means a hotel for which the authority provides notice to the
570     commission under Subsection (2).
571          (2) Upon the division's issuance of a certificate of occupancy for a hotel located on fair
572     park land, the authority shall provide written notification to the commission of the existence,
573     location, and imminent operation of the hotel.
574          (3) Notwithstanding any provision of Title 59, Chapter 12, Sales and Use Tax Act, the
575     commission shall distribute to the authority all applicable sales tax revenue, beginning the next
576     quarter that begins more than 60 days after the notification under Subsection (2).
577          Section 8. Section 11-68-402, which is renumbered from Section 63H-6-109 is
578     renumbered and amended to read:
579          [63H-6-109].      11-68-402. Privilege tax -- Personal property tax revenue --
580     Deposit into Utah State Fair Fund.
581          (1) The possession or beneficial use of property [within the state] on fair park land is
582     [exempt from taxation under] subject to Title 59, Chapter 4, Privilege Tax.
583          [(2) (a) Any agreement between the corporation and a person to develop property
584     within the state fair park shall provide that the person shall, in accordance with Title 59,
585     Chapter 3, Tax Equivalent Property Act, make a tax equivalent payment as defined in Section
586     59-3-102 to the corporation each year.]
587          (2) (a) As provided in Subsection (2)(b), the authority shall be paid:
588          (i) all revenue from a privilege tax under Subsection (1); and
589          (ii) all revenue from a property tax on personal property located on property that is
590     subject to a privilege tax under Subsection (1).
591          (b) The treasurer of the county in which the fair park land is located shall, in the
592     manner and at the time provided in Section 59-2-1365, pay and distribute to the authority the
593     revenue described in Subsection (2)(a).
594          [(b)] (c) The [corporation] authority shall deposit all revenue collected under this
595     Subsection (2)[(a)] into the Utah State Fair Fund created in Section [63H-6-107] 11-68-403.

596          Section 9. Section 11-68-403, which is renumbered from Section 63H-6-107 is
597     renumbered and amended to read:
598          [63H-6-107].      11-68-403. Enterprise fund -- Creation -- Revenue -- Uses.
599          (1) (a) There is created an enterprise fund entitled the Utah State Fair Fund.
600          (b) The executive director shall administer the fund under the direction of the board.
601          (2) The fund consists of money generated from the following revenue sources:
602          (a) lease payments from person or entities leasing [the state] any part of the fair park
603     land or any other facilities owned by the [corporation] authority;
604          (b) revenue received from any expositions or other events wholly or partially sponsored
605     by the [corporation] authority;
606          (c) aid or contributions of money, property, labor, or other things of value from any
607     source, including any grants or appropriations from any department, agency, or instrumentality
608     of the United States or [Utah] the state;
609          (d) appropriations made to the fund by the Legislature;
610          (e) revenue received under [an agreement described in Subsection 63H-6-109(2)] a
611     privilege tax or a tax on personal property; and
612          (f) any other income obtained by the [corporation] authority.
613          (3) (a) The fund shall earn interest.
614          (b) All interest earned on fund money shall be deposited into the fund.
615          (4) The executive director may use fund money to operate, maintain, and support the
616     Utah [state fair, the state] State Fair, the fair park land, and other expositions sponsored by the
617     [corporation] authority.
618          Section 10. Section 11-68-501 is enacted to read:
619     
Part 5. Authority Bonds

620          11-68-501. Authority may issue bonds -- Resolution authorizing issuance of
621     authority bonds -- Characteristics of bonds.
622          (1) The authority may issue bonds, as provided in this part, to fund development

623     consistent with the master plan adopted under Subsection 11-68-301(9)(c).
624          (2) The authority may not issue bonds under this part unless the board first:
625          (a) adopts a parameters resolution that sets forth:
626          (i) the maximum:
627          (A) amount of the bonds;
628          (B) term; and
629          (C) interest rate; and
630          (ii) the expected security for the bonds; and
631          (b) submits the parameters resolution for review and recommendation to the State
632     Finance Review Commission created in Section 63C-25-201.
633          (3) (a) As provided in the authority resolution authorizing the issuance of bonds under
634     this part or the trust indenture under which the bonds are issued, bonds issued under this part
635     may be issued in one or more series and may be sold at public or private sale and in the manner
636     provided in the resolution or indenture.
637          (b) Bonds issued under this part shall bear the date, be payable at the time, bear interest
638     at the rate, be in the denomination and in the form, carry the conversion or registration
639     privileges, have the rank or priority, be executed in the manner, be subject to the terms of
640     redemption or tender, with or without premium, be payable in the medium of payment and at
641     the place, and have other characteristics as provided in the authority resolution authorizing the
642     bonds' issuance or the trust indenture under which the bonds are issued.
643          (4) Upon the board's adoption of a resolution providing for the issuance of bonds, the
644     board may provide for the publication of the resolution:
645          (a) in a newspaper having general circulation in the authority's boundaries; and
646          (b) as required in Section 45-1-101.
647          (5) In lieu of publishing the entire resolution, the board may publish notice of bonds
648     that contains the information described in Subsection 11-14-316(2).
649          (6) For a period of 30 days after the publication, any person in interest may contest:

650          (a) the legality of the resolution or proceeding;
651          (b) any bonds that may be authorized by the resolution or proceeding; or
652          (c) any provisions made for the security and payment of the bonds.
653          (7) (a) A person may contest the matters set forth in Subsection (6) by filing a verified
654     written complaint, within 30 days after the publication under Subsection (5), in the district
655     court of the county in which the person resides.
656          (b) A person may not contest the matters set forth in Subsection (6), or the regularity,
657     formality, or legality of the resolution or proceeding, for any reason, after the 30-day period for
658     contesting provided in Subsection (7)(a).
659          (8) No later than 60 days after the closing day of any bonds, the authority shall report
660     the bonds issuance, including the amount of the bonds, terms, interest rate, and security, to:
661          (a) the Executive Appropriations Committee; and
662          (b) the State Finance Review Commission created in Section 63C-25-201.
663          Section 11. Section 11-68-502 is enacted to read:
664          11-68-502. Sources from which bonds may be made payable -- Authority powers
665     regarding bonds.
666          (1) The principal and interest on bonds issued by the authority may be made payable
667     from:
668          (a) the income and revenues of the development projects financed with the proceeds of
669     the bonds;
670          (b) the income and revenues of certain designated development projects whether or not
671     they were financed in whole or in part with the proceeds of the bonds;
672          (c) the income, revenues, proceeds, and funds the authority derives from or holds in
673     connection with the authority undertaking and carrying out development;
674          (d) privilege tax and property tax revenue under Section 11-68-402;
675          (e) revenue from a special event tax under Title 59, Chapter 12, Part 23, Fair Park
676     Special Event Tax;

677          (f) authority revenues generally;
678          (g) a contribution, loan, grant, or other financial assistance from the federal
679     government or a public entity in aid of the development; or
680          (h) funds derived from any combination of the sources listed in Subsections (1)(a)
681     through (g).
682          (2) (a) In connection with the issuance of authority bonds, the authority may:
683          (i) pledge all or any part of the authority's gross or net rents, fees, or revenues to which
684     the authority's right then exists or may thereafter come into existence; and
685          (ii) make the covenants and take the action that may be necessary, convenient, or
686     desirable to secure the authority's bonds, or, except as otherwise provided in this chapter, that
687     will tend to make the bonds more marketable, even though such covenants or actions are not
688     specifically enumerated in this chapter.
689          (b) The authority may not use all or any portion of the fair park land as collateral for
690     any bonds or encumber the fair park land by mortgage, deed of trust, or otherwise as collateral
691     for any bonds.
692          Section 12. Section 11-68-503 is enacted to read:
693          11-68-503. Authority to purchase agency bonds.
694          (1) Any person, firm, corporation, association, political subdivision of the state, or
695     other entity or public or private officer may purchase bonds issued by an authority under this
696     part with funds owned or controlled by the purchaser.
697          (2) Nothing in this section may be construed to relieve a purchaser of authority bonds
698     of any duty to exercise reasonable care in selecting securities.
699          Section 13. Section 11-68-504 is enacted to read:
700          11-68-504. Those executing bonds not personally liable -- Limitation of
701     obligations under bonds -- Negotiability.
702          (1) A member of the board or other person executing an authority bond is not liable
703     personally on the bond.

704          (2) (a) A bond issued by the authority is not an obligation or liability of the state or any
705     of the state's political subdivisions, except the authority, and does not constitute a charge
706     against the general credit or taxing powers of the state or other political subdivisions of the
707     state.
708          (b) A bond issued by the authority is not payable out of any funds other than those of
709     the authority.
710          (c) The state and any political subdivision of the state, other than the authority, may not
711     be liable on a bond issued by the authority.
712          (d) A bond issued by the authority does not constitute indebtedness within the meaning
713     of any constitutional or statutory debt limitation.
714          (3) A bond issued by the authority under this part is fully negotiable.
715          Section 14. Section 11-68-505 is enacted to read:
716          11-68-505. Obligee rights -- Board may confer other rights.
717          (1) In addition to all other rights that are conferred on an obligee of a bond issued by
718     the authority under this part and subject to contractual restrictions binding on the obligee, an
719     obligee may:
720          (a) by mandamus, suit, action, or other proceeding, compel the authority and the
721     authority's board, officers, agents, or employees to perform every term, provision, and covenant
722     contained in any contract of the authority with or for the benefit of the obligee, and require the
723     authority to carry out the covenants and agreements of the authority and to fulfill all duties
724     imposed on the authority by this part; and
725          (b) by suit, action, or proceeding in equity, enjoin any acts or things that may be
726     unlawful or violate the rights of the obligee.
727          (2) In a board resolution authorizing the issuance of bonds or in a trust indenture, lease,
728     or other contract, the board may confer upon an obligee holding or representing a specified
729     amount in bonds, certain rights to receive the income, revenues, proceeds, funds, fees, rents,
730     grants, or taxes.

731          Section 15. Section 11-68-506 is enacted to read:
732          11-68-506. Bonds exempt from taxes -- Authority may purchase its own bonds.
733          (1) A bond issued by the authority under this part is issued for an essential public and
734     governmental purpose and is, together with interest on the bond and income from the bond,
735     exempt from all state taxes except the corporate franchise tax.
736          (2) The authority may purchase the authority's own bonds at a price that the board
737     determines.
738          (3) Nothing in this section may be construed to limit the right of an obligee to pursue a
739     remedy for the enforcement of a pledge or lien given under this part by the authority on the
740     authority's income, revenues, proceeds, funds, fees, rents, grants, or taxes.
741          Section 16. Section 11-68-601, which is renumbered from Section 63H-6-106 is
742     renumbered and amended to read:
743     
Part 6. Authority Reporting

744          [63H-6-106].      11-68-601. Financial reports -- Audit -- Surety bonds.
745          (1) (a) The [corporation] authority shall, following the close of each fiscal year, submit
746     an annual report of [its] the authority's activities for the preceding year to the governor and the
747     Legislature.
748          (b) The report shall contain:
749          (i) a complete operating report detailing the [corporation's] authority's activities; and
750          (ii) financial statements of the [corporation] authority audited by a certified public
751     accountant according to generally accepted auditing standards.
752          (2) (a) At least once a year, the state auditor shall:
753          (i) audit the books and accounts of the [corporation] authority; or
754          (ii) contract with a nationally recognized independent certified public accountant to
755     conduct the audit and review the audit report when [it] the audit is completed.
756          (b) The [corporation] authority shall reimburse the state auditor for the costs of the
757     audit.

758          (c) If the audit is conducted by an independent auditor, the independent auditor shall
759     submit a copy of the audit to the state auditor for review within 90 days after the end of the
760     fiscal year covered by the audit.
761          (3) (a) The [corporation] authority shall maintain a surety bond in the penal sum of
762     $25,000 for each member of the board.
763          (b) The [corporation] authority shall maintain a surety bond in the penal sum of
764     $50,000 for the executive director.
765          (c) The [corporation] authority shall ensure that each surety bond is:
766          (i) conditioned upon the faithful performance of the duties of office to which [it] the
767     surety bond attaches;
768          (ii) issued by a surety company authorized to transact business in [Utah] the state as a
769     surety; and
770          (iii) filed in the office of the State Treasurer.
771          (d) The [corporation] authority shall pay the cost of the surety bonds.
772          Section 17. Section 59-2-924 is amended to read:
773          59-2-924. Definitions -- Report of valuation of property to county auditor and
774     commission -- Transmittal by auditor to governing bodies -- Calculation of certified tax
775     rate -- Rulemaking authority -- Adoption of tentative budget -- Notice provided by the
776     commission.
777          (1) As used in this section:
778          (a) (i) "Ad valorem property tax revenue" means revenue collected in accordance with
779     this chapter.
780          (ii) "Ad valorem property tax revenue" does not include:
781          (A) interest;
782          (B) penalties;
783          (C) collections from redemptions; or
784          (D) revenue received by a taxing entity from personal property that is semiconductor

785     manufacturing equipment assessed by a county assessor in accordance with Part 3, County
786     Assessment.
787          (b) "Adjusted tax increment" means the same as that term is defined in Section
788     17C-1-102.
789          (c) (i) "Aggregate taxable value of all property taxed" means:
790          (A) the aggregate taxable value of all real property a county assessor assesses in
791     accordance with Part 3, County Assessment, for the current year;
792          (B) the aggregate taxable value of all real and personal property the commission
793     assesses in accordance with Part 2, Assessment of Property, for the current year; and
794          (C) the aggregate year end taxable value of all personal property a county assessor
795     assesses in accordance with Part 3, County Assessment, contained on the prior year's tax rolls
796     of the taxing entity.
797          (ii) "Aggregate taxable value of all property taxed" does not include the aggregate year
798     end taxable value of personal property that is:
799          (A) semiconductor manufacturing equipment assessed by a county assessor in
800     accordance with Part 3, County Assessment; and
801          (B) contained on the prior year's tax rolls of the taxing entity.
802          (d) "Base taxable value" means:
803          (i) for an authority created under Section 11-58-201, the same as that term is defined in
804     Section 11-58-102;
805          (ii) for the Point of the Mountain State Land Authority created in Section 11-59-201,
806     the same as that term is defined in Section 11-59-207;
807          (iii) for an agency created under Section 17C-1-201.5, the same as that term is defined
808     in Section 17C-1-102;
809          (iv) for an authority created under Section 63H-1-201, the same as that term is defined
810     in Section 63H-1-102;
811          (v) for a host local government, the same as that term is defined in Section 63N-2-502;

812     or
813          (vi) for a housing and transit reinvestment zone created under Title 63N, Chapter 3,
814     Part 6, Housing and Transit Reinvestment Zone Act, a property's taxable value as shown upon
815     the assessment roll last equalized during the base year, as that term is defined in Section
816     63N-3-602.
817          (e) "Centrally assessed benchmark value" means an amount equal to the highest year
818     end taxable value of real and personal property the commission assesses in accordance with
819     Part 2, Assessment of Property, for a previous calendar year that begins on or after January 1,
820     2015, adjusted for taxable value attributable to:
821          (i) an annexation to a taxing entity;
822          (ii) an incorrect allocation of taxable value of real or personal property the commission
823     assesses in accordance with Part 2, Assessment of Property; or
824          (iii) a change in value as a result of a change in the method of apportioning the value
825     prescribed by the Legislature, a court, or the commission in an administrative rule or
826     administrative order.
827          (f) (i) "Centrally assessed new growth" means the greater of:
828          (A) zero; or
829          (B) the amount calculated by subtracting the centrally assessed benchmark value
830     adjusted for prior year end incremental value from the taxable value of real and personal
831     property the commission assesses in accordance with Part 2, Assessment of Property, for the
832     current year, adjusted for current year incremental value.
833          (ii) "Centrally assessed new growth" does not include a change in value as a result of a
834     change in the method of apportioning the value prescribed by the Legislature, a court, or the
835     commission in an administrative rule or administrative order.
836          (g) "Certified tax rate" means a tax rate that will provide the same ad valorem property
837     tax revenue for a taxing entity as was budgeted by that taxing entity for the prior year.
838          (h) "Community reinvestment agency" means the same as that term is defined in

839     Section 17C-1-102.
840          (i) "Eligible new growth" means the greater of:
841          (i) zero; or
842          (ii) the sum of:
843          (A) locally assessed new growth;
844          (B) centrally assessed new growth; and
845          (C) project area new growth or hotel property new growth.
846          (j) "Host local government" means the same as that term is defined in Section
847     63N-2-502.
848          (k) "Hotel property" means the same as that term is defined in Section 63N-2-502.
849          (l) "Hotel property new growth" means an amount equal to the incremental value that
850     is no longer provided to a host local government as incremental property tax revenue.
851          (m) "Incremental property tax revenue" means the same as that term is defined in
852     Section 63N-2-502.
853          (n) "Incremental value" means:
854          (i) for an authority created under Section 11-58-201, the amount calculated by
855     multiplying:
856          (A) the difference between the taxable value and the base taxable value of the property
857     that is located within a project area and on which property tax differential is collected; and
858          (B) the number that represents the percentage of the property tax differential that is
859     paid to the authority;
860          (ii) for the Point of the Mountain State Land Authority created in Section 11-59-201,
861     an amount calculated by multiplying:
862          (A) the difference between the current assessed value of the property and the base
863     taxable value; and
864          (B) the number that represents the percentage of the property tax augmentation, as
865     defined in Section 11-59-207, that is paid to the Point of the Mountain State Land Authority;

866          (iii) for an agency created under Section 17C-1-201.5, the amount calculated by
867     multiplying:
868          (A) the difference between the taxable value and the base taxable value of the property
869     located within a project area and on which tax increment is collected; and
870          (B) the number that represents the adjusted tax increment from that project area that is
871     paid to the agency;
872          (iv) for an authority created under Section 63H-1-201, the amount calculated by
873     multiplying:
874          (A) the difference between the taxable value and the base taxable value of the property
875     located within a project area and on which property tax allocation is collected; and
876          (B) the number that represents the percentage of the property tax allocation from that
877     project area that is paid to the authority;
878          (v) for a housing and transit reinvestment zone created pursuant to Title 63N, Chapter
879     3, Part 6, Housing and Transit Reinvestment Zone Act, an amount calculated by multiplying:
880          (A) the difference between the taxable value and the base taxable value of the property
881     that is located within a housing and transit reinvestment zone and on which tax increment is
882     collected; and
883          (B) the number that represents the percentage of the tax increment that is paid to the
884     housing and transit reinvestment zone; [or]
885          (vi) for a host local government, an amount calculated by multiplying:
886          (A) the difference between the taxable value and the base taxable value of the hotel
887     property on which incremental property tax revenue is collected; and
888          (B) the number that represents the percentage of the incremental property tax revenue
889     from that hotel property that is paid to the host local government[.]; or
890          (vii) for the State Fair Park Authority created in Section 11-68-201, the taxable value
891     of:
892          (A) fair park land, as defined in Section 11-68-101, that is subject to a privilege tax

893     under Section 11-68-402; or
894          (B) personal property located on property that is subject to the privilege tax described
895     in Subsection (1)(n)(vii)(A).
896          (o) (i) "Locally assessed new growth" means the greater of:
897          (A) zero; or
898          (B) the amount calculated by subtracting the year end taxable value of real property the
899     county assessor assesses in accordance with Part 3, County Assessment, for the previous year,
900     adjusted for prior year end incremental value from the taxable value of real property the county
901     assessor assesses in accordance with Part 3, County Assessment, for the current year, adjusted
902     for current year incremental value.
903          (ii) "Locally assessed new growth" does not include a change in:
904          (A) value as a result of factoring in accordance with Section 59-2-704, reappraisal, or
905     another adjustment;
906          (B) assessed value based on whether a property is allowed a residential exemption for a
907     primary residence under Section 59-2-103;
908          (C) assessed value based on whether a property is assessed under Part 5, Farmland
909     Assessment Act; or
910          (D) assessed value based on whether a property is assessed under Part 17, Urban
911     Farming Assessment Act.
912          (p) "Project area" means:
913          (i) for an authority created under Section 11-58-201, the same as that term is defined in
914     Section 11-58-102;
915          (ii) for an agency created under Section 17C-1-201.5, the same as that term is defined
916     in Section 17C-1-102; or
917          (iii) for an authority created under Section 63H-1-201, the same as that term is defined
918     in Section 63H-1-102.
919          (q) "Project area new growth" means:

920          (i) for an authority created under Section 11-58-201, an amount equal to the
921     incremental value that is no longer provided to an authority as property tax differential;
922          (ii) for the Point of the Mountain State Land Authority created in Section 11-59-201,
923     an amount equal to the incremental value that is no longer provided to the Point of the
924     Mountain State Land Authority as property tax augmentation, as defined in Section 11-59-207;
925          (iii) for an agency created under Section 17C-1-201.5, an amount equal to the
926     incremental value that is no longer provided to an agency as tax increment;
927          (iv) for an authority created under Section 63H-1-201, an amount equal to the
928     incremental value that is no longer provided to an authority as property tax allocation; or
929          (v) for a housing and transit reinvestment zone created under Title 63N, Chapter 3, Part
930     6, Housing and Transit Reinvestment Zone Act, an amount equal to the incremental value that
931     is no longer provided to a housing and transit reinvestment zone as tax increment.
932          (r) "Project area incremental revenue" means the same as that term is defined in
933     Section 17C-1-1001.
934          (s) "Property tax allocation" means the same as that term is defined in Section
935     63H-1-102.
936          (t) "Property tax differential" means the same as that term is defined in Section
937     11-58-102.
938          (u) "Qualifying exempt revenue" means revenue received:
939          (i) for the previous calendar year;
940          (ii) by a taxing entity;
941          (iii) from tangible personal property contained on the prior year's tax rolls that is
942     exempt from property tax under Subsection 59-2-1115(2)(b) for a calendar year beginning on
943     January 1, 2022; and
944          (iv) on the aggregate 2021 year end taxable value of the tangible personal property that
945     exceeds $15,300.
946          (v) "Tax increment" means:

947          (i) for a project created under Section 17C-1-201.5, the same as that term is defined in
948     Section 17C-1-102; or
949          (ii) for a housing and transit reinvestment zone created under Title 63N, Chapter 3,
950     Part 6, Housing and Transit Reinvestment Zone Act, the same as that term is defined in Section
951     63N-3-602.
952          (2) Before June 1 of each year, the county assessor of each county shall deliver to the
953     county auditor and the commission the following statements:
954          (a) a statement containing the aggregate valuation of all taxable real property a county
955     assessor assesses in accordance with Part 3, County Assessment, for each taxing entity; and
956          (b) a statement containing the taxable value of all personal property a county assessor
957     assesses in accordance with Part 3, County Assessment, from the prior year end values.
958          (3) The county auditor shall, on or before June 8, transmit to the governing body of
959     each taxing entity:
960          (a) the statements described in Subsections (2)(a) and (b);
961          (b) an estimate of the revenue from personal property;
962          (c) the certified tax rate; and
963          (d) all forms necessary to submit a tax levy request.
964          (4) (a) Except as otherwise provided in this section, the certified tax rate shall be
965     calculated by dividing the ad valorem property tax revenue that a taxing entity budgeted for the
966     prior year minus the qualifying exempt revenue by the amount calculated under Subsection
967     (4)(b).
968          (b) For purposes of Subsection (4)(a), the legislative body of a taxing entity shall
969     calculate an amount as follows:
970          (i) calculate for the taxing entity the difference between:
971          (A) the aggregate taxable value of all property taxed; and
972          (B) any adjustments for current year incremental value;
973          (ii) after making the calculation required by Subsection (4)(b)(i), calculate an amount

974     determined by increasing or decreasing the amount calculated under Subsection (4)(b)(i) by the
975     average of the percentage net change in the value of taxable property for the equalization
976     period for the three calendar years immediately preceding the current calendar year;
977          (iii) after making the calculation required by Subsection (4)(b)(ii), calculate the product
978     of:
979          (A) the amount calculated under Subsection (4)(b)(ii); and
980          (B) the percentage of property taxes collected for the five calendar years immediately
981     preceding the current calendar year; and
982          (iv) after making the calculation required by Subsection (4)(b)(iii), calculate an amount
983     determined by:
984          (A) multiplying the percentage of property taxes collected for the five calendar years
985     immediately preceding the current calendar year by eligible new growth; and
986          (B) subtracting the amount calculated under Subsection (4)(b)(iv)(A) from the amount
987     calculated under Subsection (4)(b)(iii).
988          (5) A certified tax rate for a taxing entity described in this Subsection (5) shall be
989     calculated as follows:
990          (a) except as provided in Subsection (5)(b) or (c), for a new taxing entity, the certified
991     tax rate is zero;
992          (b) for a municipality incorporated on or after July 1, 1996, the certified tax rate is:
993          (i) in a county of the first, second, or third class, the levy imposed for municipal-type
994     services under Sections 17-34-1 and 17-36-9; and
995          (ii) in a county of the fourth, fifth, or sixth class, the levy imposed for general county
996     purposes and such other levies imposed solely for the municipal-type services identified in
997     Section 17-34-1 and Subsection 17-36-3(23);
998          (c) for a community reinvestment agency that received all or a portion of a taxing
999     entity's project area incremental revenue in the prior year under Title 17C, Chapter 1, Part 10,
1000     Agency Taxing Authority, the certified tax rate is calculated as described in Subsection (4)

1001     except that the commission shall treat the total revenue transferred to the community
1002     reinvestment agency as ad valorem property tax revenue that the taxing entity budgeted for the
1003     prior year; and
1004          (d) for debt service voted on by the public, the certified tax rate is the actual levy
1005     imposed by that section, except that a certified tax rate for the following levies shall be
1006     calculated in accordance with Section 59-2-913 and this section:
1007          (i) a school levy provided for under Section 53F-8-301, 53F-8-302, or 53F-8-303; and
1008          (ii) a levy to pay for the costs of state legislative mandates or judicial or administrative
1009     orders under Section 59-2-1602.
1010          (6) (a) A judgment levy imposed under Section 59-2-1328 or 59-2-1330 may be
1011     imposed at a rate that is sufficient to generate only the revenue required to satisfy one or more
1012     eligible judgments.
1013          (b) The ad valorem property tax revenue generated by a judgment levy described in
1014     Subsection (6)(a) may not be considered in establishing a taxing entity's aggregate certified tax
1015     rate.
1016          (7) (a) For the purpose of calculating the certified tax rate, the county auditor shall use:
1017          (i) the taxable value of real property:
1018          (A) the county assessor assesses in accordance with Part 3, County Assessment; and
1019          (B) contained on the assessment roll;
1020          (ii) the year end taxable value of personal property:
1021          (A) a county assessor assesses in accordance with Part 3, County Assessment; and
1022          (B) contained on the prior year's assessment roll; and
1023          (iii) the taxable value of real and personal property the commission assesses in
1024     accordance with Part 2, Assessment of Property.
1025          (b) For purposes of Subsection (7)(a), taxable value does not include eligible new
1026     growth.
1027          (8) (a) On or before June 30, a taxing entity shall annually adopt a tentative budget.

1028          (b) If a taxing entity intends to exceed the certified tax rate, the taxing entity shall
1029     notify the county auditor of:
1030          (i) the taxing entity's intent to exceed the certified tax rate; and
1031          (ii) the amount by which the taxing entity proposes to exceed the certified tax rate.
1032          (c) The county auditor shall notify property owners of any intent to levy a tax rate that
1033     exceeds the certified tax rate in accordance with Sections 59-2-919 and 59-2-919.1.
1034          (9) (a) Subject to Subsection (9)(d), the commission shall provide notice, through
1035     electronic means on or before July 31, to a taxing entity and the Revenue and Taxation Interim
1036     Committee if:
1037          (i) the amount calculated under Subsection (9)(b) is 10% or more of the year end
1038     taxable value of the real and personal property the commission assesses in accordance with
1039     Part 2, Assessment of Property, for the previous year, adjusted for prior year end incremental
1040     value; and
1041          (ii) the amount calculated under Subsection (9)(c) is 50% or more of the total year end
1042     taxable value of the real and personal property of a taxpayer the commission assesses in
1043     accordance with Part 2, Assessment of Property, for the previous year.
1044          (b) For purposes of Subsection (9)(a)(i), the commission shall calculate an amount by
1045     subtracting the taxable value of real and personal property the commission assesses in
1046     accordance with Part 2, Assessment of Property, for the current year, adjusted for current year
1047     incremental value, from the year end taxable value of the real and personal property the
1048     commission assesses in accordance with Part 2, Assessment of Property, for the previous year,
1049     adjusted for prior year end incremental value.
1050          (c) For purposes of Subsection (9)(a)(ii), the commission shall calculate an amount by
1051     subtracting the total taxable value of real and personal property of a taxpayer the commission
1052     assesses in accordance with Part 2, Assessment of Property, for the current year, from the total
1053     year end taxable value of the real and personal property of a taxpayer the commission assesses
1054     in accordance with Part 2, Assessment of Property, for the previous year.

1055          (d) The notification under Subsection (9)(a) shall include a list of taxpayers that meet
1056     the requirement under Subsection (9)(a)(ii).
1057          Section 18. Section 59-4-101 is amended to read:
1058          59-4-101. Tax basis -- Exceptions -- Assessment and collection -- Designation of
1059     person to receive notice.
1060          (1) (a) Except as provided in Subsections (1)(b), (1)(c), and (3), a tax is imposed on the
1061     possession or other beneficial use enjoyed by any person of any real or personal property that is
1062     exempt for any reason from taxation, if that property is used in connection with a business
1063     conducted for profit.
1064          (b) Any interest remaining in the state in state lands after subtracting amounts paid or
1065     due in part payment of the purchase price as provided in Subsection 59-2-1103(2)(b)(i) under a
1066     contract of sale is subject to taxation under this chapter regardless of whether the property is
1067     used in connection with a business conducted for profit.
1068          (c) The tax imposed under Subsection (1)(a) does not apply to property exempt from
1069     taxation under Section 59-2-1114.
1070          (2) (a) The tax imposed under this chapter is the same amount that the ad valorem
1071     property tax would be if the possessor or user were the owner of the property.
1072          (b) The amount of any payments that are made in lieu of taxes is credited against the
1073     tax imposed on the beneficial use of property owned by the federal government.
1074          (3) A tax is not imposed under this chapter on the following:
1075          (a) the use of property that is a concession in, or relative to, the use of a public airport,
1076     park, fairground, or similar property that is available as a matter of right to the use of the
1077     general public;
1078          (b) the use or possession of property by a religious, educational, or charitable
1079     organization;
1080          (c) the use or possession of property if the revenue generated by the possessor or user
1081     of the property through its possession or use of the property inures only to the benefit of a

1082     religious, educational, or charitable organization and not to the benefit of any other person;
1083          (d) the possession or other beneficial use of public land occupied under the terms of an
1084     agricultural lease or permit issued by the United States or this state;
1085          (e) the use or possession of any lease, permit, or easement unless the lease, permit, or
1086     easement entitles the lessee or permittee to exclusive possession of the premises to which the
1087     lease, permit, or easement relates;
1088          (f) the use or possession of property by a public agency, as defined in Section
1089     11-13-103, to the extent that the ownership interest of the public agency in that property is
1090     subject to a fee in lieu of ad valorem property tax under Section 11-13-302; or
1091          (g) the possession or beneficial use of public property as a tollway by a private entity
1092     through a tollway development agreement as defined in Section 72-6-202.
1093          (4) For purposes of Subsection (3)(e):
1094          (a) every lessee, permittee, or other holder of a right to remove or extract the mineral
1095     covered by the holder's lease, right permit, or easement, except from brines of the Great Salt
1096     Lake, is considered to be in possession of the premises, regardless of whether another party has
1097     a similar right to remove or extract another mineral from the same property; and
1098          (b) a lessee, permittee, or holder of an easement still has exclusive possession of the
1099     premises if the owner has the right to enter the premises, approve leasehold improvements, or
1100     inspect the premises.
1101          (5) A tax imposed under this chapter is assessed to the possessors or users of the
1102     property on the same forms, and collected and, subject to Subsection 11-68-402(2), distributed
1103     at the same time and in the same manner, as taxes assessed owners, possessors, or other
1104     claimants of property that is subject to ad valorem property taxation. The tax is not a lien
1105     against the property, and no tax-exempt property may be attached, encumbered, sold, or
1106     otherwise affected for the collection of the tax.
1107          (6) (a) (i) Except as provided in Subsection (6)(a)(ii), if a governmental entity is
1108     required under this chapter to send information or notice to a person, the governmental entity

1109     shall send the information or notice to:
1110          (A) the person required under the applicable provision of this chapter; and
1111          (B) each person designated in accordance with Subsection (6)(b) by the person
1112     described in Subsection (6)(a)(i)(A).
1113          (ii) If a governmental entity is required under Section 59-2-919.1 or 59-2-1317 to send
1114     information or notice to a person, the governmental entity shall send the information or notice
1115     to:
1116          (A) the person required under the applicable section; or
1117          (B) one person designated in accordance with Subsection (6)(b) by the person
1118     described in Subsection (6)(a)(ii)(A).
1119          (b) (i) A person to whom a governmental entity is required under this chapter to send
1120     information or notice may designate a person to receive the information or notice in accordance
1121     with Subsection (6)(a).
1122          (ii) To make a designation described in Subsection (6)(b)(i), the person shall submit a
1123     written request to the governmental entity on a form prescribed by the commission.
1124          (c) A person who makes a designation described in Subsection (6)(b) may revoke the
1125     designation by submitting a written request to the governmental entity on a form prescribed by
1126     the commission.
1127          (7) Sections 59-2-301.1 through 59-2-301.7 apply for purposes of assessing a tax under
1128     this chapter.
1129          Section 19. Section 59-12-2301 is enacted to read:
1130     
Part 23. Fair Park Special Event Tax

1131          59-12-2301. Definitions.
1132          As used in this part:
1133          (1) "Authority board" means the fair park authority board under Section 11-68-301.
1134          (2) "Fair park authority" means the State Fair Park Authority, created in Section
1135     11-68-201.

1136          (3) "Fair park land" means the same as that term is defined in Section 11-68-101.
1137          (4) "Fair park special event" means an event:
1138          (a) that occurs on fair park land, except within a qualified hotel as defined in Section
1139     11-68-401;
1140          (b) that lasts six months or less;
1141          (c) that is:
1142          (i) sponsored by the fair park authority; or
1143          (ii) provided pursuant to a contract with the fair park authority;
1144          (d) for which a special event permit is obtained under Section 59-12-106; and
1145          (e) where taxable sales occur.
1146          (5) "Fair park special event tax" means a tax imposed under this part on taxable items.
1147          (6) "Taxable items" means:
1148          (a) alcoholic beverages;
1149          (b) food and food ingredients; or
1150          (c) prepared food.
1151          Section 20. Section 59-12-2302 is enacted to read:
1152          59-12-2302. Fair park authority may impose special event tax.
1153          (1) The fair park authority may impose a tax of not to exceed 1.5% on all sales:
1154          (a) of taxable items; and
1155          (b) that occur at a fair park special event.
1156          (2) (a) To impose a tax under Subsection (1), the authority board shall adopt a
1157     resolution imposing the tax.
1158          (b) The resolution under Subsection (2)(a) shall include provisions substantially the
1159     same as those contained in Part 1, Tax Collection, except that the tax shall be imposed only on
1160     taxable items.
1161          (c) The name of the fair park authority as the taxing agency shall be substituted for that
1162     of the state where necessary, and an additional license is not required if one has been or is

1163     issued under Section 59-12-106.
1164          (3) To maintain in effect a tax resolution adopted under this part, the authority board
1165     shall, within 30 days of any amendment of any applicable provisions of Part 1, Tax Collection,
1166     adopt amendments to the fair park authority's tax resolution to conform with the applicable
1167     amendments to Part 1, Tax Collection.
1168          (4) (a) (i) Except as provided in Subsection (4)(a)(ii), a tax authorized under this part
1169     shall be administered, collected, and enforced in accordance with the same procedures used to
1170     administer, collect, and enforce the tax under:
1171          (A) Part 1, Tax Collection, or Part 2, Local Sales and Use Tax Act; and
1172          (B) Chapter 1, General Taxation Policies.
1173          (ii) A tax under this part is not subject to Section 59-12-107.1 or 59-12-123 or
1174     Subsections 59-12-205(2) through (6).
1175          (b) Except as provided in Subsection (4)(c), the commission shall distribute the
1176     revenue from a fair park special event tax to the fair park authority.
1177          (c) The commission shall retain and deposit an administrative charge in accordance
1178     with Section 59-1-306 from the revenue the commission collects from a fair park special event
1179     tax.
1180          (5) (a) (i) Except as provided in Subsection (5)(b), if the fair park authority enacts or
1181     repeals a fair park special event tax or changes the rate of a fair park special event tax, the
1182     enactment, repeal, or change takes effect:
1183          (A) on the first day of a calendar quarter; and
1184          (B) after a 90-day period beginning on the day on which the commission receives
1185     notice meeting the requirements of Subsection (5)(a)(ii) from the fair park authority.
1186          (ii) The notice described in Subsection (5)(a)(i) shall state:
1187          (A) that the fair park authority will enact or repeal a fair park special event tax or
1188     change the rate of a fair park special event tax;
1189          (B) the statutory authority for the fair park special event tax;

1190          (C) the effective date of the imposition, repeal, or change in the rate of the fair park
1191     special event tax; and
1192          (D) if the fair park authority enacts the fair park special event tax or changes the rate of
1193     the fair park special event tax, the rate of the fair park special event tax.
1194          (b) (i) If the billing period for a transaction begins before the effective date of the
1195     enactment of the tax or the tax rate increase imposed under Subsection (1), the enactment of
1196     the tax or the tax rate increase shall take effect on the first day of the first billing period that
1197     begins after the effective date of the enactment of the tax or the tax rate increase.
1198          (ii) If the billing period for a transaction begins before the effective date of the repeal
1199     of the tax or the tax rate decrease imposed under Subsection (1), the repeal of the tax or the tax
1200     rate decrease shall take effect on the first day of the last billing period that began before the
1201     effective date of the repeal of the tax or the tax rate decrease.
1202          (c) If the fair park authority acquires land that becomes part of the fair park land, the
1203     acquisition of that additional land constitutes the fair park authority's enactment of a fair park
1204     special event tax as to that additional land, requiring the fair park authority's compliance with
1205     the notice provisions of this Subsection (5).
1206          (d) (i) If the billing period for a transaction begins before the effective date of the
1207     enactment of the tax or the tax rate increase imposed under Subsection (1), the enactment of
1208     the tax or the tax rate increase shall take effect on the first day of the first billing period that
1209     begins after the effective date of the enactment of the tax or the tax rate increase.
1210          (ii) If the billing period for a transaction begins before the effective date of the repeal
1211     of the tax or the tax rate decrease imposed under Subsection (1), the repeal of the tax or the tax
1212     rate decrease shall take effect on the first day of the last billing period that began before the
1213     effective date of the repeal of the tax or the tax rate decrease.
1214          Section 21. Section 59-12-2303 is enacted to read:
1215          59-12-2303. Seller or certified service provider reliance on commission
1216     information.

1217          A seller or certified service provider is not liable for failing to collect a fair park special
1218     event tax if the seller's or certified service provider's failure to collect the fair park special event
1219     tax is as a result of the seller's or certified service provider's reliance on incorrect data provided
1220     by the commission in a database created by the commission:
1221          (1) containing tax rates, boundaries, or local taxing jurisdiction assignments; or
1222          (2) indicating the taxability of tangible personal property, a product transferred
1223     electronically, or a service.
1224          Section 22. Section 59-12-2304 is enacted to read:
1225          59-12-2304. Certified service provider or model 2 seller reliance on commission
1226     certified software.
1227          (1) Except as provided in Subsection (2) and subject to Subsection (4), a certified
1228     service provider or model 2 seller is not liable for failing to collect a fair park special event tax
1229     if:
1230          (a) the certified service provider or model 2 seller relies on software the commission
1231     certifies; and
1232          (b) the certified service provider's or model 2 seller's failure to collect a fair park
1233     special event tax is a result of the seller's or certified service provider's reliance on incorrect
1234     data:
1235          (i) provided by the commission; or
1236          (ii) in the software the commission certifies.
1237          (2) The relief from liability described in Subsection (1) does not apply if a certified
1238     service provider or model 2 seller incorrectly classifies an item or transaction into a product
1239     category the commission certifies.
1240          (3) If the taxability of a product category is incorrectly classified in software the
1241     commission certifies, the commission shall:
1242          (a) notify a certified service provider or model 2 seller of the incorrect classification of
1243     the taxability of a product category in software the commission certifies; and

1244          (b) state in the notice required by Subsection (3)(a) that the certified service provider or
1245     model 2 seller is liable for failing to collect the correct amount of tax under this part on the
1246     incorrectly classified product category if the certified service provider or model 2 seller fails to
1247     correct the taxability of the item or transaction within 10 days after the day on which the
1248     certified service provider or model 2 seller receives the notice.
1249          (4) If a certified service provider or model 2 seller fails to correct the taxability of an
1250     item or transaction within 10 days after the day on which the certified service provider or
1251     model 2 seller receives the notice described in Subsection (3), the certified service provider or
1252     model 2 seller is liable for failing to collect the correct amount of tax under this part on the
1253     item or transaction.
1254          Section 23. Section 59-12-2305 is enacted to read:
1255          59-12-2305. Purchaser relief from liability.
1256          (1) (a) Except as provided in Subsection (1)(b), a purchaser is relieved from a penalty
1257     under Section 59-1-401 for failure to pay a fair park special event tax or an underpayment of
1258     the fair park special event tax if:
1259          (i) the purchaser's seller or certified service provider relies on incorrect data provided
1260     by the commission:
1261          (A) on a tax rate;
1262          (B) on a boundary;
1263          (C) on a taxing jurisdiction; or
1264          (D) in the taxability matrix the commission provides in accordance with the agreement;
1265     or
1266          (ii) the purchaser, regardless of whether the purchaser holds a direct payment permit in
1267     accordance with Section 59-12-107.1, relies on incorrect data provided by the commission:
1268          (A) on a tax rate;
1269          (B) on a boundary;
1270          (C) on a taxing jurisdiction; or

1271          (D) in the taxability matrix the commission provides in accordance with the agreement.
1272          (b) For purposes of Subsection (1)(a), a purchaser is not relieved from a penalty under
1273     Section 59-1-401 for failure to pay a tax due under this part or an underpayment if the
1274     purchaser's, the purchaser's seller's, or the purchaser's certified service provider's reliance on
1275     incorrect data provided by the commission is a result of conduct that is:
1276          (i) fraudulent;
1277          (ii) intentional; or
1278          (iii) willful.
1279          (2) In addition to the relief from a penalty described in Subsection (1), a purchaser is
1280     not liable for a tax or interest under Section 59-1-402 for failure to pay a fair park special event
1281     tax or an underpayment of the fair park special event tax if:
1282          (a) the purchaser's seller or certified service provider relies on:
1283          (i) incorrect data provided by the commission:
1284          (A) on a tax rate;
1285          (B) on a boundary; or
1286          (C) on a taxing jurisdiction; or
1287          (ii) an erroneous classification by the commission:
1288          (A) in the taxability matrix the commission provides in accordance with the agreement;
1289     and
1290          (B) with respect to a term that is in the library of definitions and that is listed as taxable
1291     or exempt, included in or excluded from "sales price," or included in or excluded from a
1292     definition; or
1293          (b) the purchaser, regardless of whether the purchaser holds a direct payment permit in
1294     accordance with Section 59-12-107.1, relies on:
1295          (i) incorrect data provided by the commission:
1296          (A) on a tax rate;
1297          (B) on a boundary; or

1298          (C) on a taxing jurisdiction; or
1299          (ii) an erroneous classification by the commission:
1300          (A) in the taxability matrix the commission provides in accordance with the agreement;
1301     and
1302          (B) with respect to a term that is in the library of definitions and that is listed as taxable
1303     or exempt, included in or excluded from "sales price," or included in or excluded from a
1304     definition.
1305          Section 24. Section 63C-25-101 is amended to read:
1306          63C-25-101. Definitions.
1307          As used in this chapter:
1308          (1) "Authority" means the same as that term is defined in Section 63B-1-303.
1309          (2) "Bond" means the same as that term is defined in Section 63B-1-101.
1310          (3) "Bonding political subdivision" means:
1311          (a) the Utah Inland Port Authority, created in Section 11-58-201;
1312          (b) the Military Installation Development Authority, created in Section 63H-1-201;
1313          (c) the Point of the Mountain State Land Authority, created in Section 11-59-201; [or]
1314          (d) the Utah Lake Authority, created in Section 11-65-201[.]; or
1315          (e) the State Fair Park Authority, created in Section 11-68-201.
1316          (4) "Commission" means the State Finance Review Commission created in Section
1317     63C-25-201.
1318          (5) "Concessionaire" means a person who:
1319          (a) operates, finances, maintains, or constructs a government facility under a contract
1320     with a bonding political subdivision; and
1321          (b) is not a bonding political subdivision.
1322          (6) "Creating entity" means the same as that term is defined in Section 17D-4-102.
1323          (7) "Government facility" means infrastructure, improvements, or a building that:
1324          (a) costs more than $5,000,000 to construct; and

1325          (b) has a useful life greater than five years.
1326          (8) "Large public transit district" means the same as that term is defined in Section
1327     17B-2a-802.
1328          (9) "Loan entity" means the board, person, unit, or agency with legal responsibility for
1329     making a loan from a revolving loan fund.
1330          (10) "Obligation" means the same as that term is defined in Section 63B-1-303.
1331          (11) "Parameters resolution" means a resolution of a bonding political subdivision, or
1332     public infrastructure district created by a bonding political subdivision, that sets forth for
1333     proposed bonds:
1334          (a) the maximum:
1335          (i) amount of bonds;
1336          (ii) term; and
1337          (iii) interest rate; and
1338          (b) the expected security for the bonds.
1339          (12) "Public infrastructure district" means a public infrastructure district created under
1340     Title 17D, Chapter 4, Public Infrastructure District Act.
1341          (13) "Public-private partnership" means a contract:
1342          (a) between a bonding political subdivision and a concessionaire for the operation,
1343     finance, maintenance, or construction of a government facility;
1344          (b) that authorizes the concessionaire to operate the government facility for a term of
1345     five years or longer, including any extension of the contract; and
1346          (c) in which all or some of the annual source of payment to the concessionaire comes
1347     from state funds provided to the bonding political subdivision.
1348          (14) "Revolving loan fund" means:
1349          (a) the Water Resources Conservation and Development Fund, created in Section
1350     73-10-24;
1351          (b) the Water Resources Construction Fund, created in Section 73-10-8;

1352          (c) the Water Resources Cities Water Loan Fund, created in Section 73-10-22;
1353          (d) the Clean Fuel Conversion Funds, created in Title 19, Chapter 1, Part 4, Clean
1354     Fuels and Vehicle Technology Program Act;
1355          (e) the Water Development Security Fund and its subaccounts, created in Section
1356     73-10c-5;
1357          (f) the Agriculture Resource Development Fund, created in Section 4-18-106;
1358          (g) the Utah Rural Rehabilitation Fund, created in Section 4-19-105;
1359          (h) the Permanent Community Impact Fund, created in Section 35A-8-303;
1360          (i) the Petroleum Storage Tank Fund, created in Section 19-6-409;
1361          (j) the School Building Revolving Account, created in Section 53F-9-206;
1362          (k) the State Infrastructure Bank Fund, created in Section 72-2-202;
1363          (l) the Uintah Basin Revitalization Fund, created in Section 35A-8-1602;
1364          (m) the Navajo Revitalization Fund, created in Section 35A-8-1704;
1365          (n) the Energy Efficiency Fund, created in Section 11-45-201;
1366          (o) the Brownfields Fund, created in Section 19-8-120;
1367          (p) the following enterprise revolving loan funds created in Section 63A-3-402:
1368          (i) the inland port infrastructure revolving loan fund;
1369          (ii) the point of the mountain infrastructure revolving loan fund; or
1370          (iii) the military development infrastructure revolving loan fund; and
1371          (q) any other revolving loan fund created in statute where the borrower from the
1372     revolving loan fund is a public non-profit entity or political subdivision, including a fund listed
1373     in Section 63A-3-205, from which a loan entity is authorized to make a loan.
1374          (15) (a) "State funds" means an appropriation by the Legislature identified as coming
1375     from the General Fund or Education Fund.
1376          (b) "State funds" does not include:
1377          (i) a revolving loan fund; or
1378          (ii) revenues received by a bonding political subdivision from:

1379          (A) a tax levied by the bonding political subdivision;
1380          (B) a fee assessed by the bonding political subdivision; or
1381          (C) operation of the bonding political subdivision's government facility.
1382          Section 25. Section 63E-1-102 is amended to read:
1383          63E-1-102. Definitions -- List of independent entities.
1384          As used in this title:
1385          (1) "Authorizing statute" means the statute creating an entity as an independent entity.
1386          (2) "Committee" means the Retirement and Independent Entities Committee created by
1387     Section 63E-1-201.
1388          (3) "Independent corporation" means a corporation incorporated in accordance with
1389     Chapter 2, Independent Corporations Act.
1390          (4) (a) "Independent entity" means an entity having a public purpose relating to the
1391     state or its citizens that is individually created by the state or is given by the state the right to
1392     exist and conduct its affairs as an:
1393          (i) independent state agency; or
1394          (ii) independent corporation.
1395          (b) "Independent entity" includes the:
1396          (i) Utah Beef Council, created by Section 4-21-103;
1397          (ii) Utah Dairy Commission created by Section 4-22-103;
1398          (iii) Heber Valley Historic Railroad Authority created by Section 63H-4-102;
1399          (iv) Utah Housing Corporation created by Section 63H-8-201;
1400          [(v) Utah State Fair Corporation created by Section 63H-6-103;]
1401          [(vi)] (v) Utah State Retirement Office created by Section 49-11-201;
1402          [(vii)] (vi) School and Institutional Trust Lands Administration created by Section
1403     53C-1-201;
1404          [(viii)] (vii) School and Institutional Trust Fund Office created by Section 53D-1-201;
1405          [(ix)] (viii) Utah Communications Authority created by Section 63H-7a-201;

1406          [(x)] (ix) Utah Capital Investment Corporation created by Section 63N-6-301; and
1407          [(xi)] (x) Military Installation Development Authority created by Section 63H-1-201.
1408          (c) Notwithstanding this Subsection (4), "independent entity" does not include:
1409          (i) the Public Service Commission of Utah created by Section 54-1-1;
1410          (ii) an institution within the state system of higher education;
1411          (iii) a city, county, or town;
1412          (iv) a local school district;
1413          (v) a local district under Title 17B, Limited Purpose Local Government Entities - Local
1414     Districts; or
1415          (vi) a special service district under Title 17D, Chapter 1, Special Service District Act.
1416          (5) "Independent state agency" means an entity that is created by the state, but is
1417     independent of the governor's direct supervisory control.
1418          (6) "Money held in trust" means money maintained for the benefit of:
1419          (a) one or more private individuals, including public employees;
1420          (b) one or more public or private entities; or
1421          (c) the owners of a quasi-public corporation.
1422          (7) "Public corporation" means an artificial person, public in ownership, individually
1423     created by the state as a body politic and corporate for the administration of a public purpose
1424     relating to the state or its citizens.
1425          (8) "Quasi-public corporation" means an artificial person, private in ownership,
1426     individually created as a corporation by the state, which has accepted from the state the grant of
1427     a franchise or contract involving the performance of a public purpose relating to the state or its
1428     citizens.
1429          Section 26. Section 63J-7-102 is amended to read:
1430          63J-7-102. Scope and applicability of chapter.
1431          (1) Except as provided in Subsection (2), and except as otherwise provided by a statute
1432     superseding provisions of this chapter by explicit reference to this chapter, the provisions of

1433     this chapter apply to each agency and govern each grant received on or after May 5, 2008.
1434          (2) This chapter does not govern:
1435          (a) a grant deposited into a General Fund restricted account;
1436          (b) a grant deposited into a Fiduciary Fund as defined in Section 51-5-4;
1437          (c) a grant deposited into an Enterprise Fund as defined in Section 51-5-4;
1438          (d) a grant made to the state without a restriction or other designated purpose that is
1439     deposited into the General Fund as free revenue;
1440          (e) a grant made to the state that is restricted only to "education" and that is deposited
1441     into the Income Tax Fund or Uniform School Fund as free revenue;
1442          (f) in-kind donations;
1443          (g) a tax, fees, penalty, fine, surcharge, money judgment, or other money due the state
1444     when required by state law or application of state law;
1445          (h) a contribution made under Title 59, Chapter 10, Part 13, Individual Income Tax
1446     Contribution Act;
1447          (i) a grant received by an agency from another agency or political subdivision;
1448          (j) a grant to the Utah Dairy Commission created in Section 4-22-103;
1449          (k) a grant to the Heber Valley Historic Railroad Authority created in Section
1450     63H-4-102;
1451          (l) a grant to the Utah State Railroad Museum Authority created in Section 63H-5-102;
1452          (m) a grant to the Utah Housing Corporation created in Section 63H-8-201;
1453          (n) a grant to the [Utah State Fair Corporation] State Fair Park Authority created in
1454     Section [63H-6-103] 11-68-201;
1455          (o) a grant to the Utah State Retirement Office created in Section 49-11-201;
1456          (p) a grant to the School and Institutional Trust Lands Administration created in
1457     Section 53C-1-201;
1458          (q) a grant to the Utah Communications Authority created in Section 63H-7a-201;
1459          (r) a grant to the Medical Education Program created in Section 26-69-403;

1460          (s) a grant to the Utah Capital Investment Corporation created in Section 63N-6-301;
1461          (t) a grant to the Utah Charter School Finance Authority created in Section 53G-5-602;
1462          (u) a grant to the State Building Ownership Authority created in Section 63B-1-304; or
1463          (v) a grant to the Military Installation Development Authority created in Section
1464     63H-1-201.
1465          (3) An agency need not seek legislative review or approval of grants under Part 2,
1466     Grant Approval Requirements, if:
1467          (a) the governor has declared a state of emergency; and
1468          (b) the grant is donated to the agency to assist victims of the state of emergency under
1469     Subsection 53-2a-204(1).
1470          Section 27. Section 67-3-12 is amended to read:
1471          67-3-12. Utah Public Finance Website -- Establishment and administration --
1472     Records disclosure -- Exceptions.
1473          (1) As used in this section:
1474          (a) (i) Subject to Subsections (1)(a)(ii) and (iii), "independent entity" means the same
1475     as that term is defined in Section 63E-1-102.
1476          (ii) "Independent entity" includes an entity that is part of an independent entity
1477     described in Subsection (1)(a)(i), if the entity is considered a component unit of the
1478     independent entity under the governmental accounting standards issued by the Governmental
1479     Accounting Standards Board.
1480          (iii) "Independent entity" does not include the Utah State Retirement Office created in
1481     Section 49-11-201.
1482          (b) "Local education agency" means a school district or charter school.
1483          (c) "Participating local entity" means:
1484          (i) a county;
1485          (ii) a municipality;
1486          (iii) the State Fair Park Authority, created in Section 11-68-201;

1487          [(iii)] (iv) a local district under Title 17B, Limited Purpose Local Government Entities
1488     - Local Districts;
1489          [(iv)] (v) a special service district under Title 17D, Chapter 1, Special Service District
1490     Act;
1491          [(v)] (vi) a housing authority under Title 35A, Chapter 8, Part 4, Housing Authorities;
1492          [(vi)] (vii) a public transit district under Title 17B, Chapter 2a, Part 8, Public Transit
1493     District Act;
1494          [(vii)] (viii) except for a taxed interlocal entity as defined in Section 11-13-602:
1495          (A) an interlocal entity as defined in Section 11-13-103;
1496          (B) a joint or cooperative undertaking as defined in Section 11-13-103; or
1497          (C) any project, program, or undertaking entered into by interlocal agreement in
1498     accordance with Title 11, Chapter 13, Interlocal Cooperation Act;
1499          [(viii)] (ix) except for a taxed interlocal entity as defined in Section 11-13-602, an
1500     entity that is part of an entity described in Subsections (1)(c)(i) through [(vii)] (viii), if the
1501     entity is considered a component unit of the entity described in Subsections (1)(c)(i) through
1502     [(vii)] (viii) under the governmental accounting standards issued by the Governmental
1503     Accounting Standards Board; or
1504          [(ix)] (x) a conservation district under Title 17D, Chapter 3, Conservation District Act.
1505          (d) (i) "Participating state entity" means the state of Utah, including its executive,
1506     legislative, and judicial branches, its departments, divisions, agencies, boards, commissions,
1507     councils, committees, and institutions.
1508          (ii) "Participating state entity" includes an entity that is part of an entity described in
1509     Subsection (1)(d)(i), if the entity is considered a component unit of the entity described in
1510     Subsection (1)(d)(i) under the governmental accounting standards issued by the Governmental
1511     Accounting Standards Board.
1512          (e) "Public finance website" or "website" means the website established by the state
1513     auditor in accordance with this section.

1514          (f) "Public financial information" means each record that is required under this section
1515     or by rule made by the Office of the State Auditor under Subsection (9) to be made available on
1516     the public finance website, a participating local entity's website, or an independent entity's
1517     website.
1518          (g) "Qualifying entity" means:
1519          (i) an independent entity;
1520          (ii) a participating local entity;
1521          (iii) a participating state entity;
1522          (iv) a local education agency;
1523          (v) a state institution of higher education as defined in Section 53B-3-102;
1524          (vi) the Utah Educational Savings Plan created in Section 53B-8a-103;
1525          (vii) the Utah Housing Corporation created in Section 63H-8-201;
1526          (viii) the School and Institutional Trust Lands Administration created in Section
1527     53C-1-201;
1528          (ix) the Utah Capital Investment Corporation created in Section 63N-6-301; or
1529          (x) a URS-participating employer.
1530          (h) (i) "URS-participating employer" means an entity that:
1531          (A) is a participating employer, as that term is defined in Section 49-11-102; and
1532          (B) is not required to report public financial information under this section as a
1533     qualifying entity described in Subsections (1)(g)(i) through (ix).
1534          (ii) "URS-participating employer" does not include:
1535          (A) the Utah State Retirement Office created in Section 49-11-201;
1536          (B) an insurer that is subject to the disclosure requirements of Section 31A-4-113; or
1537          (C) a withdrawing entity.
1538          (i) (i) "Withdrawing entity" means:
1539          (A) an entity that elects to withdraw from participation in a system or plan under Title
1540     49, Chapter 11, Part 6, Procedures and Records;

1541          (B) until the date determined under Subsection 49-11-626(2)(a), a public employees'
1542     association that provides the notice of intent described in Subsection 49-11-626(2)(b); and
1543          (C) beginning on the date determined under Subsection 49-11-626(2)(a), a public
1544     employees' association that makes an election described in Subsection 49-11-626(3).
1545          (ii) "Withdrawing entity" includes a withdrawing entity, as that term is defined in
1546     Sections 49-11-623 and 49-11-624.
1547          (2) The state auditor shall establish and maintain a public finance website in
1548     accordance with this section.
1549          (3) The website shall:
1550          (a) permit Utah taxpayers to:
1551          (i) view, understand, and track the use of taxpayer dollars by making public financial
1552     information available on the Internet for participating state entities, independent entities,
1553     participating local entities, and URS-participating employers, using the website; and
1554          (ii) link to websites administered by participating local entities, independent entities, or
1555     URS-participating employers that do not use the website for the purpose of providing public
1556     financial information as required by this section and by rule made under Subsection (9);
1557          (b) allow a person that has Internet access to use the website without paying a fee;
1558          (c) allow the public to search public financial information on the website;
1559          (d) provide access to financial reports, financial audits, budgets, or other financial
1560     documents that are used to allocate, appropriate, spend, and account for government funds, as
1561     may be established by rule made in accordance with Subsection (9);
1562          (e) have a unique and simplified website address;
1563          (f) be guided by the principles described in Subsection 63A-16-202(2);
1564          (g) include other links, features, or functionality that will assist the public in obtaining
1565     and reviewing public financial information, as may be established by rule made under
1566     Subsection (9); and
1567          (h) include a link to school report cards published on the State Board of Education's

1568     website under Section 53E-5-211.
1569          (4) The state auditor shall:
1570          (a) establish and maintain the website, including the provision of equipment, resources,
1571     and personnel as necessary;
1572          (b) maintain an archive of all information posted to the website;
1573          (c) coordinate and process the receipt and posting of public financial information from
1574     participating state entities; and
1575          (d) coordinate and regulate the posting of public financial information by participating
1576     local entities and independent entities.
1577          (5) A qualifying entity shall permit the public to view the qualifying entity's public
1578     financial information by posting the public financial information to the public finance website
1579     in accordance with rules made under Subsection (9).
1580          (6) The content of the public financial information posted to the public finance website
1581     is the responsibility of the qualifying entity posting the public financial information.
1582          (7) A URS-participating employer shall provide employee compensation information
1583     for each fiscal year ending on or after June 30, 2022:
1584          (a) to the state auditor for posting on the Utah Public Finance Website; or
1585          (b) (i) through the URS-participating employer's own website; and
1586          (ii) via a link to the website described in Subsection (7)(b)(i), submitted to the state
1587     auditor for posting on the Utah Public Finance Website.
1588          (8) (a) A qualifying entity may not post financial information that is classified as
1589     private, controlled, or protected under Title 63G, Chapter 2, Government Records Access and
1590     Management Act, to the public finance website.
1591          (b) An individual who negligently discloses financial information that is classified as
1592     private, protected, or controlled by Title 63G, Chapter 2, Government Records Access and
1593     Management Act, is not criminally or civilly liable for an improper disclosure of the financial
1594     information if the financial information is disclosed solely as a result of the preparation or

1595     publication of the website.
1596          (9) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
1597     Office of the State Auditor:
1598          (a) shall make rules to:
1599          (i) establish which records a qualifying entity is required to post to the public finance
1600     website; and
1601          (ii) establish procedures for obtaining, submitting, reporting, storing, and posting
1602     public financial information on the public finance website; and
1603          (b) may make rules governing when a qualifying entity is required to disclose an
1604     expenditure made by a person under contract with the qualifying entity, including the form and
1605     content of the disclosure.
1606          (10) The rules made under Subsection (9) shall only require a URS-participating
1607     employer to provide employee compensation information for each fiscal year ending on or after
1608     June 30, 2022:
1609          (a) to the state auditor for posting on the public finance website; or
1610          (b) (i) through the URS-participating employer's own website; and
1611          (ii) via a link to the website described in Subsection (10)(b)(i), submitted to the state
1612     auditor for posting on the public finance website.
1613          Section 28. Repealer.
1614          This bill repeals:
1615          Section 63H-6-101, Title.
1616          Section 63H-6-201, Title.
1617          Section 63H-6-202, Resolution authorizing issuance of corporation bond --
1618     Presentation to Executive Appropriations Committee -- Characteristics of bond.
1619          Section 63H-6-203, Sources from which a corporation bond may be made payable
1620     -- Corporation powers regarding corporation bond.
1621          Section 63H-6-204, Purchaser of a corporation bond.

1622          Section 63H-6-205, Obligee rights.