1     
RETIREMENT FISCAL NOTE REQUIREMENTS

2     
2023 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Lincoln Fillmore

5     
House Sponsor: Walt Brooks

6     

7     LONG TITLE
8     Committee Note:
9          The Retirement and Independent Entities Interim Committee recommended this bill.
10               Legislative Vote:     8 voting for     0 voting against     7 absent
11     General Description:
12          This bill modifies the duties of the Office of the Legislative Fiscal Analyst.
13     Highlighted Provisions:
14          This bill:
15          ▸     directs the Office of the Legislative Fiscal Analyst to include specified additional
16     information in the fiscal estimate for each proposed bill that changes retirement
17     benefits for public employees.
18     Money Appropriated in this Bill:
19          None
20     Other Special Clauses:
21          None
22     Utah Code Sections Affected:
23     AMENDS:
24          36-12-13, as last amended by Laws of Utah 2021, Chapters 254, 421
25     

26     Be it enacted by the Legislature of the state of Utah:
27          Section 1. Section 36-12-13 is amended to read:

28          36-12-13. Office of the Legislative Fiscal Analyst established -- Powers, functions,
29     and duties -- Qualifications.
30          (1) There is established an Office of the Legislative Fiscal Analyst as a permanent staff
31     office for the Legislature.
32          (2) The powers, functions, and duties of the Office of the Legislative Fiscal Analyst
33     under the supervision of the fiscal analyst are:
34          (a) (i) to estimate general revenue collections, including comparisons of:
35          (A) current estimates for each major tax type to long-term trends for that tax type;
36          (B) current estimates for federal fund receipts to long-term federal fund trends; and
37          (C) current estimates for tax collections and federal fund receipts to long-term trends
38     deflated for the inflationary effects of debt monetization; and
39          (ii) to report the analysis required under Subsection (2)(a)(i) to the Legislature's
40     Executive Appropriations Committee before each annual general session of the Legislature;
41          (b) to analyze in detail the state budget before the convening of each legislative session
42     and make recommendations to the Legislature on each item or program appearing in the
43     budget, including:
44          (i) funding for and performance of programs, acquisitions, and services currently
45     undertaken by state government to determine whether each department, agency, institution, or
46     program should:
47          (A) continue at its current level of expenditure;
48          (B) continue at a different level of expenditure; or
49          (C) be terminated; and
50          (ii) increases or decreases to spending authority and other resource allocations for the
51     current and future fiscal years;
52          (c) to prepare on all proposed bills fiscal estimates that reflect:
53          (i) potential state government revenue impacts;
54          (ii) anticipated state government expenditure changes;
55          (iii) anticipated expenditure changes for county, municipal, local district, or special
56     service district governments; [and]
57          (iv) anticipated direct expenditure by Utah residents and businesses, including the unit
58     cost, number of units, and total cost to all impacted residents and businesses; and

59          (v) if the proposed bill changes retirement benefits under a system or plan governed by
60     Title 49, Utah State Retirement and Insurance Benefit Act, the anticipated effect on:
61          (A) each affected system's or plan's unfunded actuarial accrued liability and actuarial
62     funded ratio, based on current employer contributions;
63          (B) employer contributions and member contributions;
64          (C) a retiree's retirement allowance;
65          (D) the total cost to active members and retirees; and
66          (E) the total cost to employers for all active members and retirees;
67          (d) to indicate whether each proposed bill will impact the regulatory burden for Utah
68     residents or businesses, and if so:
69          (i) whether the impact increases or decreases the regulatory burden; and
70          (ii) whether the change in burden is high, medium, or low;
71          (e) beginning in 2017 and repeating every three years after 2017, to prepare the
72     following cycle of analyses of long-term fiscal sustainability:
73          (i) in year one, the joint revenue volatility report required under Section 63J-1-205;
74          (ii) in year two, a long-term budget for programs appropriated from major funds and
75     tax types; and
76          (iii) in year three, a budget stress test comparing estimated future revenue to and
77     expenditure from major funds and tax types under various potential economic conditions;
78          (f) to report instances in which the administration may be failing to carry out the
79     expressed intent of the Legislature;
80          (g) to propose and analyze statutory changes for more effective operational economies
81     or more effective administration;
82          (h) to prepare, before each annual general session of the Legislature, a summary
83     showing the current status of the following as compared to the past nine fiscal years:
84          (i) debt;
85          (ii) long-term liabilities;
86          (iii) contingent liabilities;
87          (iv) General Fund borrowing;
88          (v) reserves;
89          (vi) fund and nonlapsing balances; and

90          (vii) cash funded capital investments;
91          (i) to make recommendations for addressing the items described in Subsection (2)(h) in
92     the upcoming annual general session of the Legislature;
93          (j) to prepare, after each session of the Legislature, a summary showing the effect of
94     the final legislative program on the financial condition of the state;
95          (k) to conduct organizational and management improvement studies in accordance
96     with Title 63J, Chapter 1, Part 9, Government Performance Reporting and Efficiency Process,
97     and legislative rule;
98          (l) to prepare and deliver upon request of any interim committee or the Legislative
99     Management Committee, reports on the finances of the state and on anticipated or proposed
100     requests for appropriations;
101          (m) to recommend areas for research studies by the executive department or the interim
102     committees;
103          (n) to appoint and develop a professional staff within budget limitations;
104          (o) to prepare and submit the annual budget request for the office;
105          (p) to develop a taxpayer receipt:
106          (i) available to taxpayers through a website; and
107          (ii) that allows a taxpayer to view on the website an estimate of how the taxpayer's tax
108     dollars are expended for government purposes; and
109          (q) to publish or provide other information on taxation and government expenditures
110     that may be accessed by the public.
111          (3) The legislative fiscal analyst shall have a master's degree in public administration,
112     political science, economics, accounting, or the equivalent in academic or practical experience.
113          (4) In carrying out the duties provided for in this section, the legislative fiscal analyst
114     may obtain access to all records, documents, and reports necessary to the scope of the
115     legislative fiscal analyst's duties according to the procedures contained in Title 36, Chapter 14,
116     Legislative Subpoena Powers.
117          (5) The Office of the Legislative Fiscal Analyst shall provide any information the State
118     Board of Education reports in accordance with Subsection 53E-3-507(7) to:
119          (a) the chief sponsor of the proposed bill; and
120          (b) upon request, any legislator.