Senator Jerry W. Stevenson proposes the following substitute bill:


1     
POINT OF THE MOUNTAIN STATE LAND AUTHORITY

2     
AMENDMENTS

3     
2024 GENERAL SESSION

4     
STATE OF UTAH

5     
Chief Sponsor: Jerry W. Stevenson

6     
House Sponsor: Jordan D. Teuscher

7     

8     LONG TITLE
9     General Description:
10          This bill modifies provisions relating to the Point of the Mountain State Land
11     Authority.
12     Highlighted Provisions:
13          This bill:
14          ▸     modifies the definition of point of the mountain state land, for purposes of the Point
15     of the Mountain State Land Authority Act;
16          ▸     enacts provisions relating to bonds issued by the Authority;
17          ▸     modifies provisions relating to limitations on Authority board members; and
18          ▸     provides for a portion of sales tax revenue generated from point of the mountain
19     state land to be paid to the Authority.
20     Money Appropriated in this Bill:
21          None
22     Other Special Clauses:
23          This bill provides a special effective date.
24     Utah Code Sections Affected:
25     AMENDS:
26          11-59-102, as last amended by Laws of Utah 2023, Chapters 16, 263
27          11-59-202, as last amended by Laws of Utah 2023, Chapter 139
28          11-59-306, as last amended by Laws of Utah 2022, Chapter 237
29          59-12-103 (Contingently Superseded 01/01/25), as last amended by Laws of Utah
30     2023, Chapters 22, 213, 329, 361, and 471
31          59-12-103 (Contingently Effective 01/01/25), as last amended by Laws of Utah 2023,
32     Chapters 22, 213, 329, 361, 459, and 471
33          63I-1-211, as last amended by Laws of Utah 2020, Chapter 334
34     ENACTS:
35          11-59-601, Utah Code Annotated 1953
36          11-59-602, Utah Code Annotated 1953
37          11-59-603, Utah Code Annotated 1953
38          11-59-604, Utah Code Annotated 1953
39          11-59-605, Utah Code Annotated 1953
40          11-59-606, Utah Code Annotated 1953
41     

42     Be it enacted by the Legislature of the state of Utah:
43          Section 1. Section 11-59-102 is amended to read:
44          11-59-102. Definitions.
45          As used in this chapter:
46          (1) "Authority" means the Point of the Mountain State Land Authority, created in
47     Section 11-59-201.
48          (2) "Board" means the authority's board, created in Section 11-59-301.
49          (3) "Development":
50          (a) means the construction, reconstruction, modification, expansion, or improvement of
51     a building, utility, infrastructure, landscape, parking lot, park, trail, recreational amenity, or
52     other facility, including:
53          (i) the demolition or preservation or repurposing of a building, infrastructure, or other
54     facility;
55          (ii) surveying, testing, locating existing utilities and other infrastructure, and other
56     preliminary site work; and
57          (iii) any associated planning, design, engineering, and related activities; and
58          (b) includes all activities associated with:
59          (i) marketing and business recruiting activities and efforts;
60          (ii) leasing, or selling or otherwise disposing of, all or any part of the point of the
61     mountain state land; and
62          (iii) planning and funding for mass transit infrastructure to service the point of the
63     mountain state land.
64          (4) "Facilities division" means the Division of Facilities Construction and
65     Management, created in Section 63A-5b-301.
66          (5) "New correctional facility" means the state correctional facility being developed in
67     Salt Lake City to replace the state correctional facility in Draper.
68          (6) "Point of the mountain state land" means:
69          (a) the approximately 700 acres of state-owned land in Draper, including land used for
70     the operation of a state correctional facility until completion of the new correctional facility and
71     state-owned land in the vicinity of the current state correctional facility[.]; and
72          (b) any land, in addition to the land described in Subsection (6)(a), that:
73          (i) the authority acquires; and
74          (ii) is contiguous to the land described in Subsection (6)(a).
75          (7) "Public entity" means:
76          (a) the state, including each department, division, or other agency of the state; or
77          (b) a county, city, town, metro township, school district, special district, special service
78     district, interlocal cooperation entity, community reinvestment agency, or other political
79     subdivision of the state, including the authority.
80          (8) "Publicly owned infrastructure and improvements":
81          (a) means infrastructure, improvements, facilities, or buildings that:
82          (i) benefit the public; and
83          (ii) (A) are owned by a public entity or a utility; or
84          (B) are publicly maintained or operated by a public entity; and
85          (b) includes:
86          (i) facilities, lines, or systems that provide:
87          (A) water, chilled water, or steam; or
88          (B) sewer, storm drainage, natural gas, electricity, energy storage, renewable energy,
89     microgrids, or telecommunications service;
90          (ii) streets, roads, curb, gutter, sidewalk, walkways, solid waste facilities, parking
91     facilities, and public transportation facilities; and
92          (iii) greenspace, parks, trails, recreational amenities, or other similar facilities.
93          (9) "Taxing entity" means the same as that term is defined in Section 59-2-102.
94          Section 2. Section 11-59-202 is amended to read:
95          11-59-202. Authority powers.
96          [(1)] The authority may:
97          [(a)] (1) as provided in this chapter, plan, manage, and implement the development of
98     the point of the mountain state land, including the ongoing operation of facilities on the point
99     of the mountain state land;
100          [(b)] (2) undertake, or engage a consultant to undertake, any study, effort, or activity
101     the board considers appropriate to assist or inform the board about any aspect of the proposed
102     development of the point of the mountain state land, including the best development model and
103     financial projections relevant to the authority's efforts to fulfill its duties and responsibilities
104     under this section and Section 11-59-203;
105          [(c)] (3) sue and be sued;
106          [(d)] (4) enter into contracts generally, including a contract for the sharing of records
107     under Section 63G-2-206;
108          [(e)] (5) buy, obtain an option upon, or otherwise acquire any interest in real or
109     personal property, as necessary to accomplish the duties and responsibilities of the authority,
110     including an interest in real property, apart from point of the mountain state land, or personal
111     property, outside point of the mountain state land, for publicly owned infrastructure and
112     improvements, if the board considers the purchase, option, or other interest acquisition to be
113     necessary for fulfilling the authority's development objectives;
114          [(f)] (6) sell, convey, grant, dispose of by gift, or otherwise dispose of any interest in
115     real or personal property;
116          [(g)] (7) enter into a lease agreement on real or personal property, either as lessee or
117     lessor;
118          [(h)] (8) provide for the development of the point of the mountain state land under one
119     or more contracts, including the development of publicly owned infrastructure and
120     improvements and other infrastructure and improvements on or related to the point of the
121     mountain state land;
122          [(i)] (9) exercise powers and perform functions under a contract, as authorized in the
123     contract;
124          [(j)] (10) accept financial or other assistance from any public or private source for the
125     authority's activities, powers, and duties, and expend any funds so received for any of the
126     purposes of this chapter;
127          [(k)] (11) borrow money, contract with, or accept financial or other assistance from the
128     federal government, a public entity, or any other source for any of the purposes of this chapter
129     and comply with any conditions of the loan, contract, or assistance;
130          [(l)] (12) subject to [Subsection (2)] Part 6, Authority Bonds, issue bonds to finance the
131     undertaking of any development objectives of the authority[, including];
132          (13) issue bonds under Title 11, Chapter 17, Utah Industrial Facilities and
133     Development Act, and [bonds] under Title 11, Chapter 42, Assessment Area Act;
134          [(m)] (14) hire employees, including contract employees, in addition to or in place of
135     staff provided under Section 11-59-304;
136          [(n)] (15) transact other business and exercise all other powers provided for in this
137     chapter;
138          [(o)] (16) enter into a development agreement with a developer of some or all of the
139     point of the mountain state land;
140          [(p)] (17) provide for or finance an energy efficiency upgrade, a renewable energy
141     system, or electric vehicle charging infrastructure as defined in Section 11-42a-102, in
142     accordance with Title 11, Chapter 42a, Commercial Property Assessed Clean Energy Act;
143          [(q)] (18) exercise powers and perform functions that the authority is authorized by
144     statute to exercise or perform;
145          [(r)] (19) enter into one or more interlocal agreements under Title 11, Chapter 13,
146     Interlocal Cooperation Act, with one or more local government entities for the delivery of
147     services to the point of the mountain state land;
148          [(s)] (20) enter into an agreement with the federal government or an agency of the
149     federal government, as the board considers necessary or advisable, to enable or assist the
150     authority to exercise its powers or fulfill its duties and responsibilities under this chapter;
151          [(t)] (21) provide funding for the development of publicly owned infrastructure and
152     improvements or other infrastructure and improvements on or related to the point of the
153     mountain state land; and
154          [(u)] (22) impose impact fees under Title 11, Chapter 36a, Impact Fees Act, and other
155     fees related to development activities.
156          [(2) The authority may not issue bonds under this part unless the board first:]
157          [(a) adopts a parameters resolution for the bonds that sets forth:]
158          [(i) the maximum:]
159          [(A) amount of bonds;]
160          [(B) term; and]
161          [(C) interest rate; and]
162          [(ii) the expected security for the bonds; and]
163          [(b) submits the parameters resolution for review and recommendation to the State
164     Finance Review Commission created in Section 63C-25-201.]
165          [(3) No later than 60 days after the closing day of any bonds, the authority shall report
166     the bonds issuance, including the amount of the bonds, terms, interest rate, and security, to:]
167          [(a) the Executive Appropriations Committee; and]
168          [(b) the State Finance Review Commission created in Section 63C-25-201.]
169          Section 3. Section 11-59-306 is amended to read:
170          11-59-306. Limitations on board members.
171          (1) As used in this section:
172          (a) "Designated individual" means an individual:
173          (i) (A) who is a member of the Senate or House of Representatives;
174          (B) who has been appointed as a member of the board under Subsection
175     11-59-302(2)(a) or (b); and
176          (C) whose legislative district includes some or all of the point of the mountain state
177     land; or
178          (ii) who is designated to serve as a board member under Subsection 11-59-302(2)(e) or
179     (f).
180          (b) "Direct financial benefit":
181          (i) means any form of financial benefit that accrues to an individual directly as a result
182     of the development of the point of the mountain state land, including:
183          (A) compensation, commission, or any other form of a payment or increase of money;
184     and
185          (B) an increase in the value of a business or property; and
186          (ii) does not include a financial benefit that accrues to the public generally as a result of
187     the development of the point of the mountain state land.
188          (c) "Family member" means a parent, spouse, sibling, child, or grandchild.
189          (d) (i) "Interest in real property" means every type of real property interest, whether
190     recorded or unrecorded, including:
191          [(i)] (A) a legal or equitable interest;
192          [(ii)] (B) an option on real property;
193          [(iii)] (C) an interest under a contract;
194          [(iv)] (D) fee simple ownership;
195          [(v)] (E) ownership as a tenant in common or in joint tenancy or another joint
196     ownership arrangement;
197          [(vi)] (F) ownership through a partnership, limited liability company, or corporation
198     that holds title to a real property interest in the name of the partnership, limited liability
199     company, or corporation;
200          [(vii)] (G) leasehold interest; and
201          [(viii)] (H) any other real property interest that is capable of being owned.
202          (ii) "Interest in real property" does not include:
203          (A) an interest in a personal residence in which the individual resides or, in the case of
204     an intended future acquisition, intends to reside; or
205          (B) an interest as a tenant paying market-rate rent in a building that is located on point
206     of the mountain state land.
207          (2) An individual may not serve as a member of the board if:
208          (a) subject to Subsection (5) for a designated individual, the individual owns an interest
209     in real property[, other than a personal residence in which the individual resides,] on or within
210     five miles of the point of the mountain state land;
211          (b) a family member of the individual owns an interest in real property[, other than a
212     personal residence in which the family member resides,] located on or within one-half mile of
213     the point of the mountain state land;
214          (c) the individual or a family member of the individual owns an interest in, is directly
215     affiliated with, or is an employee or officer of a firm, company, or other entity that the
216     individual reasonably believes is likely to participate in or receive compensation or other direct
217     financial benefit from the development of the point of the mountain state land; or
218          (d) the individual or a family member of the individual receives or is expected to
219     receive a direct financial benefit.
220          (3) (a) Before taking office as a board member, an individual shall submit to the
221     authority a statement:
222          (i) verifying that the individual's service as a board member does not violate
223     Subsection (2); and
224          (ii) for a designated individual, identifying any interest in real property[, other than a
225     personal residence in which the individual resides,] located on or within five miles of the point
226     of the mountain state land.
227          (b) If a designated individual takes action, during the individual's service as a board
228     member, to initiate, negotiate, or otherwise arrange for the acquisition of an interest in real
229     property[, other than a personal residence in which the individual intends to live,] located on or
230     within five miles of the point of the mountain state land, the designated individual shall submit
231     a written statement to the board chair describing the action, the interest in real property that the
232     designated individual intends to acquire, and the location of the real property.
233          (4) Except for a board member who is a designated individual, a board member is
234     disqualified from further service as a board member if the board member, at any time during
235     the board member's service on the board, takes any action to initiate, negotiate, or otherwise
236     arrange for the acquisition of an interest in real property[, other than a personal residence in
237     which the member intends to reside,] located on or within five miles of the point of the
238     mountain state land.
239          (5) A designated individual who submits a written statement under Subsection
240     (3)(a)(ii) or (b) may not serve or continue to serve as a board member unless at least two-thirds
241     of all other board members conclude that the designated individual's service as a board member
242     does not and will not create a material conflict of interest impairing the ability of the
243     designated individual to exercise fair and impartial judgment as a board member and to act in
244     the best interests of the authority.
245          (6) (a) The board may not allow a firm, company, or other entity to participate in
246     planning, managing, or implementing the development of the point of the mountain state land
247     if a board member or a family member of a board member owns an interest in, is directly
248     affiliated with, or is an employee or officer of the firm, company, or other entity.
249          (b) Before allowing a firm, company, or other entity to participate in planning,
250     managing, or implementing the development of the point of the mountain state land, the board
251     may require the firm, company, or other entity to certify that no board member or family
252     member of a board member owns an interest in, is directly affiliated with, or is an employee or
253     officer of the firm, company, or other entity.
254          Section 4. Section 11-59-601 is enacted to read:
255     
Part 6. Authority Bonds

256          11-59-601. Resolution authorizing issuance of authority bonds -- Characteristics
257     of bonds -- Notice.
258          (1) The authority may not issue bonds under this part unless the board first:
259          (a) adopts a parameters resolution, as defined in Section 63C-25-101, for the bonds;
260     and
261          (b) submits the parameters resolution for review and recommendation to the State
262     Finance Review Commission created in Section 63C-25-201.
263          (2) (a) As provided in the authority resolution authorizing the issuance of bonds under
264     this part or the trust indenture under which the bonds are issued, bonds issued under this part
265     may be issued in one or more series and may be sold at public or private sale and in the manner
266     provided in the resolution or indenture.
267          (b) Bonds issued under this part shall bear the date, be payable at the time, bear interest
268     at the rate, be in the denomination and in the form, carry the conversion or registration
269     privileges, have the rank or priority, be executed in the manner, be subject to the terms of
270     redemption or tender, with or without premium, be payable in the medium of payment and at
271     the place, and have other characteristics as provided in the authority resolution authorizing the
272     issuance of the bonds or the trust indenture under which the bonds are issued.
273          (3) Upon the board's adoption of a resolution providing for the issuance of bonds, the
274     board may provide for the publication of the resolution:
275          (a) for the area within the authority's boundaries, as a class A notice under Section
276     63G-30-102, for at least 30 days; and
277          (b) as required in Section 45-1-101.
278          (4) In lieu of publishing the entire resolution, the board may publish notice of bonds
279     that contains the information described in Subsection 11-14-316(2).
280          (5) For a period of 30 days after the publication, any person in interest may contest:
281          (a) the legality of the resolution or proceeding;
282          (b) any bonds that may be authorized by the resolution or proceeding; or
283          (c) any provisions made for the security and payment of the bonds.
284          (6) (a) (i) A person may contest the matters set forth in Subsection (5) by filing a
285     verified written complaint in a court with jurisdiction under Title 78A, Judiciary and Judicial
286     Administration, within 30 days after the publication under Subsection (5).
287          (ii) Notwithstanding Title 78B, Chapter 3a, Venue for Civil Actions, a person filing a
288     complaint under Subsection (6)(a)(i) shall bring the action in the county in which the person
289     resides if the action is brought in district court.
290          (b) A person may not contest the matters set forth in Subsection (5), or the regularity,
291     formality, or legality of the resolution or proceeding, for any reason, after the 30-day period for
292     contesting provided in Subsection (6)(a).
293          (7) No later than 60 days after the closing day of any bonds, the authority shall report
294     the bonds issuance, including the amount of the bonds, terms, interest rate, and security, to:
295          (a) the Executive Appropriations Committee; and
296          (b) the State Finance Review Commission created in Section 63C-25-201.
297          Section 5. Section 11-59-602 is enacted to read:
298          11-59-602. Sources from which bonds may be payable -- Authority powers
299     regarding bonds.
300          (1) The principal and interest on bonds issued by the authority may be made payable
301     from:
302          (a) the income and revenues of the projects financed with the proceeds of the bonds;
303          (b) the income and revenues of certain designated projects whether or not they were
304     financed in whole or in part with the proceeds of the bonds;
305          (c) the income, proceeds, revenues, property, and funds the authority derives from or
306     holds in connection with its undertaking and carrying out development of point of the mountain
307     state land;
308          (d) revenue from an annual fee under Section 11-59-207;
309          (e) authority revenues generally;
310          (f) a contribution, loan, grant, or other financial assistance from the federal government
311     or a public entity in aid of the authority; or
312          (g) funds derived from any combination of the methods listed in Subsections (1)(a)
313     through (f).
314          (2) In connection with the issuance of authority bonds, the authority may:
315          (a) pledge all or any part of its gross or net rents, fees, or revenues to which authority
316     right then exists or may thereafter come into existence;
317          (b) encumber by mortgage, deed of trust, or otherwise all or any part of authority real
318     or personal property, then owned or thereafter acquired; and
319          (c) make the covenants and take the action that may be necessary, convenient, or
320     desirable to secure authority bonds, or, except as otherwise provided in this chapter, that will
321     tend to make the bonds more marketable, even though the covenants or actions are not
322     specifically enumerated in this chapter.
323          Section 6. Section 11-59-603 is enacted to read:
324          11-59-603. Purchase of authority bonds.
325          (1) Any person, firm, corporation, association, political subdivision of the state, or
326     other entity or public or private officer may purchase bonds issued by an authority under this
327     part with funds owned or controlled by the purchaser.
328          (2) Nothing in this section may be construed to relieve a purchaser of authority bonds
329     of any duty to exercise reasonable care in selecting and purchasing securities.
330          Section 7. Section 11-59-604 is enacted to read:
331          11-59-604. Those executing bonds not personally liable -- Limitation of
332     obligations under bond -- Negotiability.
333          (1) A member of the board or other person executing an authority bond is not liable
334     personally on the bond.
335          (2) (a) A bond issued by the authority is not a general obligation or liability of the state
336     or any political subdivision of the state and does not constitute a charge against the general
337     credit or taxing powers of the state or any political subdivision of the state.
338          (b) A bond issued by the authority is not payable out of any funds or properties other
339     than those of the authority.
340          (c) The state and political subdivisions of the state are not and may not be held liable
341     on a bond issued by the authority.
342          (d) A bond issued by the authority does not constitute indebtedness within the meaning
343     of any constitutional or statutory debt limitation.
344          (3) A bond issued by the authority under this part is fully negotiable.
345          Section 8. Section 11-59-605 is enacted to read:
346          11-59-605. Obligee rights -- Board may confer other rights.
347          (1) In addition to all other rights that are conferred on an obligee of a bond issued by
348     the authority under this part and subject to contractual restrictions binding on the obligee, an
349     obligee may:
350          (a) by mandamus, suit, action, or other proceeding, compel an authority and authority
351     board, officers, agents, or employees to perform every term, provision, and covenant contained
352     in any contract of the authority with or for the benefit of the obligee, and require the authority
353     to carry out the covenants and agreements of the authority and to fulfill all duties imposed on
354     the authority by this part; and
355          (b) by suit, action, or proceeding in equity, enjoin any acts or things that may be
356     unlawful or violate the rights of the obligee.
357          (2) (a) (i) In a board resolution authorizing the issuance of bonds or in a trust indenture,
358     mortgage, lease, or other contract, the board may confer upon an obligee holding or
359     representing a specified amount in bonds, the rights described in Subsection (2)(b), to accrue
360     upon the happening of an event or default prescribed in the resolution, indenture, mortgage,
361     lease, or other contract, and to be exercised by suit, action, or proceeding in any court of
362     competent jurisdiction.
363          (ii) The rights that the board may confer under Subsection (2)(a)(i) are the rights to:
364          (A) cause possession of all or part of a development project to be surrendered to an
365     obligee;
366          (B) obtain the appointment of a receiver of all or part of an authority's development
367     project and of the rents and profits from it; and
368          (C) require the authority and its board and employees to account as if the authority and
369     the board and employees were the trustees of an express trust.
370          (b) If a receiver is appointed through the exercise of a right granted under Subsection
371     (2)(a)(ii)(B), the receiver:
372          (i) may enter and take possession of the development project or any part of it, operate
373     and maintain it, and collect and receive all fees, rents, revenues, or other charges arising from it
374     after the receiver's appointment; and
375          (ii) shall keep money collected as receiver for the authority in separate accounts and
376     apply it pursuant to the authority obligations as the court directs.
377          Section 9. Section 11-59-606 is enacted to read:
378          11-59-606. Bonds exempt from taxes -- Authority may purchase its own bonds.
379          (1) A bond issued by the authority under this part is issued for an essential public and
380     governmental purpose and is, together with interest on the bond and income from it, exempt
381     from all state taxes except the corporate franchise tax.
382          (2) The authority may purchase the authority's own bonds at a price that the board
383     determines.
384          (3) Nothing in this section limits the right of an obligee to pursue a remedy for the
385     enforcement of a pledge or lien given under this part by the authority on its rents, fees, grants,
386     properties, or revenues.
387          Section 10. Section 59-12-103 (Contingently Superseded 01/01/25) is amended to
388     read:
389          59-12-103 (Contingently Superseded 01/01/25). Sales and use tax base -- Rates --
390     Effective dates -- Use of sales and use tax revenues.
391          (1) A tax is imposed on the purchaser as provided in this part on the purchase price or
392     sales price for amounts paid or charged for the following transactions:
393          (a) retail sales of tangible personal property made within the state;
394          (b) amounts paid for:
395          (i) telecommunications service, other than mobile telecommunications service, that
396     originates and terminates within the boundaries of this state;
397          (ii) mobile telecommunications service that originates and terminates within the
398     boundaries of one state only to the extent permitted by the Mobile Telecommunications
399     Sourcing Act, 4 U.S.C. Sec. 116 et seq.; or
400          (iii) an ancillary service associated with a:
401          (A) telecommunications service described in Subsection (1)(b)(i); or
402          (B) mobile telecommunications service described in Subsection (1)(b)(ii);
403          (c) sales of the following for commercial use:
404          (i) gas;
405          (ii) electricity;
406          (iii) heat;
407          (iv) coal;
408          (v) fuel oil; or
409          (vi) other fuels;
410          (d) sales of the following for residential use:
411          (i) gas;
412          (ii) electricity;
413          (iii) heat;
414          (iv) coal;
415          (v) fuel oil; or
416          (vi) other fuels;
417          (e) sales of prepared food;
418          (f) except as provided in Section 59-12-104, amounts paid or charged as admission or
419     user fees for theaters, movies, operas, museums, planetariums, shows of any type or nature,
420     exhibitions, concerts, carnivals, amusement parks, amusement rides, circuses, menageries,
421     fairs, races, contests, sporting events, dances, boxing matches, wrestling matches, closed circuit
422     television broadcasts, billiard parlors, pool parlors, bowling lanes, golf, miniature golf, golf
423     driving ranges, batting cages, skating rinks, ski lifts, ski runs, ski trails, snowmobile trails,
424     tennis courts, swimming pools, water slides, river runs, jeep tours, boat tours, scenic cruises,
425     horseback rides, sports activities, or any other amusement, entertainment, recreation,
426     exhibition, cultural, or athletic activity;
427          (g) amounts paid or charged for services for repairs or renovations of tangible personal
428     property, unless Section 59-12-104 provides for an exemption from sales and use tax for:
429          (i) the tangible personal property; and
430          (ii) parts used in the repairs or renovations of the tangible personal property described
431     in Subsection (1)(g)(i), regardless of whether:
432          (A) any parts are actually used in the repairs or renovations of that tangible personal
433     property; or
434          (B) the particular parts used in the repairs or renovations of that tangible personal
435     property are exempt from a tax under this chapter;
436          (h) except as provided in Subsection 59-12-104(7), amounts paid or charged for
437     assisted cleaning or washing of tangible personal property;
438          (i) amounts paid or charged for tourist home, hotel, motel, or trailer court
439     accommodations and services that are regularly rented for less than 30 consecutive days;
440          (j) amounts paid or charged for laundry or dry cleaning services;
441          (k) amounts paid or charged for leases or rentals of tangible personal property if within
442     this state the tangible personal property is:
443          (i) stored;
444          (ii) used; or
445          (iii) otherwise consumed;
446          (l) amounts paid or charged for tangible personal property if within this state the
447     tangible personal property is:
448          (i) stored;
449          (ii) used; or
450          (iii) consumed;
451          (m) amounts paid or charged for a sale:
452          (i) (A) of a product transferred electronically; or
453          (B) of a repair or renovation of a product transferred electronically; and
454          (ii) regardless of whether the sale provides:
455          (A) a right of permanent use of the product; or
456          (B) a right to use the product that is less than a permanent use, including a right:
457          (I) for a definite or specified length of time; and
458          (II) that terminates upon the occurrence of a condition; and
459          (n) sales of leased tangible personal property from the lessor to the lessee made in the
460     state.
461          (2) (a) Except as provided in Subsections (2)(b) through (f), a state tax and a local tax
462     are imposed on a transaction described in Subsection (1) equal to the sum of:
463          (i) a state tax imposed on the transaction at a tax rate equal to the sum of:
464          (A) 4.70% plus the rate specified in Subsection (11)(a); and
465          (B) (I) the tax rate the state imposes in accordance with Part 18, Additional State Sales
466     and Use Tax Act, if the location of the transaction as determined under Sections 59-12-211
467     through 59-12-215 is in a county in which the state imposes the tax under Part 18, Additional
468     State Sales and Use Tax Act; and
469          (II) the tax rate the state imposes in accordance with Part 20, Supplemental State Sales
470     and Use Tax Act, if the location of the transaction as determined under Sections 59-12-211
471     through 59-12-215 is in a city, town, or the unincorporated area of a county in which the state
472     imposes the tax under Part 20, Supplemental State Sales and Use Tax Act; and
473          (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
474     transaction under this chapter other than this part.
475          (b) Except as provided in Subsection (2)(f) or (g) and subject to Subsection (2)(l), a
476     state tax and a local tax are imposed on a transaction described in Subsection (1)(d) equal to
477     the sum of:
478          (i) a state tax imposed on the transaction at a tax rate of 2%; and
479          (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
480     transaction under this chapter other than this part.
481          (c) Except as provided in Subsection (2)(f) or (g), a state tax and a local tax are
482     imposed on amounts paid or charged for food and food ingredients equal to the sum of:
483          (i) a state tax imposed on the amounts paid or charged for food and food ingredients at
484     a tax rate of 1.75%; and
485          (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
486     amounts paid or charged for food and food ingredients under this chapter other than this part.
487          (d) Except as provided in Subsection (2)(f) or (g), a state tax is imposed on amounts
488     paid or charged for fuel to a common carrier that is a railroad for use in a locomotive engine at
489     a rate of 4.85%.
490          (e) (i) (A) If a shared vehicle owner certifies to the commission, on a form prescribed
491     by the commission, that the shared vehicle is an individual-owned shared vehicle, a tax
492     imposed under Subsection (2)(a)(i)(A) does not apply to car sharing, a car-sharing program, a
493     shared vehicle driver, or a shared vehicle owner.
494          (B) A shared vehicle owner's certification described in Subsection (2)(e)(i)(A) is
495     required once during the time that the shared vehicle owner owns the shared vehicle.
496          (C) The commission shall verify that a shared vehicle is an individual-owned shared
497     vehicle by verifying that the applicable Utah taxes imposed under this chapter were paid on the
498     purchase of the shared vehicle.
499          (D) The exception under Subsection (2)(e)(i)(A) applies to a certified
500     individual-owned shared vehicle shared through a car-sharing program even if non-certified
501     shared vehicles are also available to be shared through the same car-sharing program.
502          (ii) A tax imposed under Subsection (2)(a)(i)(B) or (2)(a)(ii) applies to car sharing.
503          (iii) (A) A car-sharing program may rely in good faith on a shared vehicle owner's
504     representation that the shared vehicle is an individual-owned shared vehicle certified with the
505     commission as described in Subsection (2)(e)(i).
506          (B) If a car-sharing program relies in good faith on a shared vehicle owner's
507     representation that the shared vehicle is an individual-owned shared vehicle certified with the
508     commission as described in Subsection (2)(e)(i), the car-sharing program is not liable for any
509     tax, penalty, fee, or other sanction imposed on the shared vehicle owner.
510          (iv) If all shared vehicles shared through a car-sharing program are certified as
511     described in Subsection (2)(e)(i)(A) for a tax period, the car-sharing program has no obligation
512     to collect and remit the tax under Subsection (2)(a)(i)(A) for that tax period.
513          (v) [(A)] A car-sharing program is not required to list or otherwise identify an
514     individual-owned shared vehicle on a return or an attachment to a return.
515          (vi) A car-sharing program shall:
516          (A) retain tax information for each car-sharing program transaction; and
517          (B) provide the information described in Subsection (2)(e)(vi)(A) to the commission at
518     the commission's request.
519          (f) (i) For a bundled transaction that is attributable to food and food ingredients and
520     tangible personal property other than food and food ingredients, a state tax and a local tax is
521     imposed on the entire bundled transaction equal to the sum of:
522          (A) a state tax imposed on the entire bundled transaction equal to the sum of:
523          (I) the tax rate described in Subsection (2)(a)(i)(A); and
524          (II) (Aa) the tax rate the state imposes in accordance with Part 18, Additional State
525     Sales and Use Tax Act, if the location of the transaction as determined under Sections
526     59-12-211 through 59-12-215 is in a county in which the state imposes the tax under Part 18,
527     Additional State Sales and Use Tax Act; and
528          (Bb) the tax rate the state imposes in accordance with Part 20, Supplemental State
529     Sales and Use Tax Act, if the location of the transaction as determined under Sections
530     59-12-211 through 59-12-215 is in a city, town, or the unincorporated area of a county in which
531     the state imposes the tax under Part 20, Supplemental State Sales and Use Tax Act; and
532          (B) a local tax imposed on the entire bundled transaction at the sum of the tax rates
533     described in Subsection (2)(a)(ii).
534          (ii) If an optional computer software maintenance contract is a bundled transaction that
535     consists of taxable and nontaxable products that are not separately itemized on an invoice or
536     similar billing document, the purchase of the optional computer software maintenance contract
537     is 40% taxable under this chapter and 60% nontaxable under this chapter.
538          (iii) Subject to Subsection (2)(f)(iv), for a bundled transaction other than a bundled
539     transaction described in Subsection (2)(f)(i) or (ii):
540          (A) if the sales price of the bundled transaction is attributable to tangible personal
541     property, a product, or a service that is subject to taxation under this chapter and tangible
542     personal property, a product, or service that is not subject to taxation under this chapter, the
543     entire bundled transaction is subject to taxation under this chapter unless:
544          (I) the seller is able to identify by reasonable and verifiable standards the tangible
545     personal property, product, or service that is not subject to taxation under this chapter from the
546     books and records the seller keeps in the seller's regular course of business; or
547          (II) state or federal law provides otherwise; or
548          (B) if the sales price of a bundled transaction is attributable to two or more items of
549     tangible personal property, products, or services that are subject to taxation under this chapter
550     at different rates, the entire bundled transaction is subject to taxation under this chapter at the
551     higher tax rate unless:
552          (I) the seller is able to identify by reasonable and verifiable standards the tangible
553     personal property, product, or service that is subject to taxation under this chapter at the lower
554     tax rate from the books and records the seller keeps in the seller's regular course of business; or
555          (II) state or federal law provides otherwise.
556          (iv) For purposes of Subsection (2)(f)(iii), books and records that a seller keeps in the
557     seller's regular course of business includes books and records the seller keeps in the regular
558     course of business for nontax purposes.
559          (g) (i) Except as otherwise provided in this chapter and subject to Subsections (2)(g)(ii)
560     and (iii), if a transaction consists of the sale, lease, or rental of tangible personal property, a
561     product, or a service that is subject to taxation under this chapter, and the sale, lease, or rental
562     of tangible personal property, other property, a product, or a service that is not subject to
563     taxation under this chapter, the entire transaction is subject to taxation under this chapter unless
564     the seller, at the time of the transaction:
565          (A) separately states the portion of the transaction that is not subject to taxation under
566     this chapter on an invoice, bill of sale, or similar document provided to the purchaser; or
567          (B) is able to identify by reasonable and verifiable standards, from the books and
568     records the seller keeps in the seller's regular course of business, the portion of the transaction
569     that is not subject to taxation under this chapter.
570          (ii) A purchaser and a seller may correct the taxability of a transaction if:
571          (A) after the transaction occurs, the purchaser and the seller discover that the portion of
572     the transaction that is not subject to taxation under this chapter was not separately stated on an
573     invoice, bill of sale, or similar document provided to the purchaser because of an error or
574     ignorance of the law; and
575          (B) the seller is able to identify by reasonable and verifiable standards, from the books
576     and records the seller keeps in the seller's regular course of business, the portion of the
577     transaction that is not subject to taxation under this chapter.
578          (iii) For purposes of Subsections (2)(g)(i) and (ii), books and records that a seller keeps
579     in the seller's regular course of business includes books and records the seller keeps in the
580     regular course of business for nontax purposes.
581          (h) (i) If the sales price of a transaction is attributable to two or more items of tangible
582     personal property, products, or services that are subject to taxation under this chapter at
583     different rates, the entire purchase is subject to taxation under this chapter at the higher tax rate
584     unless the seller, at the time of the transaction:
585          (A) separately states the items subject to taxation under this chapter at each of the
586     different rates on an invoice, bill of sale, or similar document provided to the purchaser; or
587          (B) is able to identify by reasonable and verifiable standards the tangible personal
588     property, product, or service that is subject to taxation under this chapter at the lower tax rate
589     from the books and records the seller keeps in the seller's regular course of business.
590          (ii) For purposes of Subsection (2)(h)(i), books and records that a seller keeps in the
591     seller's regular course of business includes books and records the seller keeps in the regular
592     course of business for nontax purposes.
593          (i) Subject to Subsections (2)(j) and (k), a tax rate repeal or tax rate change for a tax
594     rate imposed under the following shall take effect on the first day of a calendar quarter:
595          (i) Subsection (2)(a)(i)(A);
596          (ii) Subsection (2)(b)(i);
597          (iii) Subsection (2)(c)(i); or
598          (iv) Subsection (2)(f)(i)(A)(I).
599          (j) (i) A tax rate increase takes effect on the first day of the first billing period that
600     begins on or after the effective date of the tax rate increase if the billing period for the
601     transaction begins before the effective date of a tax rate increase imposed under:
602          (A) Subsection (2)(a)(i)(A);
603          (B) Subsection (2)(b)(i);
604          (C) Subsection (2)(c)(i); or
605          (D) Subsection (2)(f)(i)(A)(I).
606          (ii) The repeal of a tax or a tax rate decrease applies to a billing period if the billing
607     statement for the billing period is rendered on or after the effective date of the repeal of the tax
608     or the tax rate decrease imposed under:
609          (A) Subsection (2)(a)(i)(A);
610          (B) Subsection (2)(b)(i);
611          (C) Subsection (2)(c)(i); or
612          (D) Subsection (2)(f)(i)(A)(I).
613          (k) (i) For a tax rate described in Subsection (2)(k)(ii), if a tax due on a catalogue sale
614     is computed on the basis of sales and use tax rates published in the catalogue, a tax rate repeal
615     or change in a tax rate takes effect:
616          (A) on the first day of a calendar quarter; and
617          (B) beginning 60 days after the effective date of the tax rate repeal or tax rate change.
618          (ii) Subsection (2)(k)(i) applies to the tax rates described in the following:
619          (A) Subsection (2)(a)(i)(A);
620          (B) Subsection (2)(b)(i);
621          (C) Subsection (2)(c)(i); or
622          (D) Subsection (2)(f)(i)(A)(I).
623          (iii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
624     the commission may by rule define the term "catalogue sale."
625          (l) (i) For a location described in Subsection (2)(l)(ii), the commission shall determine
626     the taxable status of a sale of gas, electricity, heat, coal, fuel oil, or other fuel based on the
627     predominant use of the gas, electricity, heat, coal, fuel oil, or other fuel at the location.
628          (ii) Subsection (2)(l)(i) applies to a location where gas, electricity, heat, coal, fuel oil,
629     or other fuel is furnished through a single meter for two or more of the following uses:
630          (A) a commercial use;
631          (B) an industrial use; or
632          (C) a residential use.
633          (3) (a) The following state taxes shall be deposited into the General Fund:
634          (i) the tax imposed by Subsection (2)(a)(i)(A);
635          (ii) the tax imposed by Subsection (2)(b)(i);
636          (iii) the tax imposed by Subsection (2)(c)(i); and
637          (iv) the tax imposed by Subsection (2)(f)(i)(A)(I).
638          (b) The following local taxes shall be distributed to a county, city, or town as provided
639     in this chapter:
640          (i) the tax imposed by Subsection (2)(a)(ii);
641          (ii) the tax imposed by Subsection (2)(b)(ii);
642          (iii) the tax imposed by Subsection (2)(c)(ii); and
643          (iv) the tax imposed by Subsection (2)(f)(i)(B).
644          (c) The state tax imposed by Subsection (2)(d) shall be deposited into the General
645     Fund.
646          (4) (a) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
647     2003, the lesser of the following amounts shall be expended as provided in Subsections (4)(b)
648     through (g):
649          (i) for taxes listed under Subsection (3)(a), the amount of tax revenue generated:
650          (A) by a 1/16% tax rate on the transactions described in Subsection (1); and
651          (B) for the fiscal year; or
652          (ii) $17,500,000.
653          (b) (i) For a fiscal year beginning on or after July 1, 2003, 14% of the amount
654     described in Subsection (4)(a) shall be transferred each year as designated sales and use tax
655     revenue to the Department of Natural Resources to:
656          (A) implement the measures described in Subsections 79-2-303(3)(a) through (d) to
657     protect sensitive plant and animal species; or
658          (B) award grants, up to the amount authorized by the Legislature in an appropriations
659     act, to political subdivisions of the state to implement the measures described in Subsections
660     79-2-303(3)(a) through (d) to protect sensitive plant and animal species.
661          (ii) Money transferred to the Department of Natural Resources under Subsection
662     (4)(b)(i) may not be used to assist the United States Fish and Wildlife Service or any other
663     person to list or attempt to have listed a species as threatened or endangered under the
664     Endangered Species Act of 1973, 16 U.S.C. Sec. 1531 et seq.
665          (iii) At the end of each fiscal year:
666          (A) 50% of any unexpended designated sales and use tax revenue shall lapse to the
667     Water Resources Conservation and Development Fund created in Section 73-10-24;
668          (B) 25% of any unexpended designated sales and use tax revenue shall lapse to the
669     Utah Wastewater Loan Program Subaccount created in Section 73-10c-5; and
670          (C) 25% of any unexpended designated sales and use tax revenue shall lapse to the
671     Drinking Water Loan Program Subaccount created in Section 73-10c-5.
672          (c) For a fiscal year beginning on or after July 1, 2003, 3% of the amount described in
673     Subsection (4)(a) shall be deposited each year in the Agriculture Resource Development Fund
674     created in Section 4-18-106.
675          (d) (i) For a fiscal year beginning on or after July 1, 2003, 1% of the amount described
676     in Subsection (4)(a) shall be transferred each year as designated sales and use tax revenue to
677     the Division of Water Rights to cover the costs incurred in hiring legal and technical staff for
678     the adjudication of water rights.
679          (ii) At the end of each fiscal year:
680          (A) 50% of any unexpended designated sales and use tax revenue shall lapse to the
681     Water Resources Conservation and Development Fund created in Section 73-10-24;
682          (B) 25% of any unexpended designated sales and use tax revenue shall lapse to the
683     Utah Wastewater Loan Program Subaccount created in Section 73-10c-5; and
684          (C) 25% of any unexpended designated sales and use tax revenue shall lapse to the
685     Drinking Water Loan Program Subaccount created in Section 73-10c-5.
686          (e) (i) For a fiscal year beginning on or after July 1, 2003, 41% of the amount described
687     in Subsection (4)(a) shall be deposited into the Water Resources Conservation and
688     Development Fund created in Section 73-10-24 for use by the Division of Water Resources.
689          (ii) In addition to the uses allowed of the Water Resources Conservation and
690     Development Fund under Section 73-10-24, the Water Resources Conservation and
691     Development Fund may also be used to:
692          (A) conduct hydrologic and geotechnical investigations by the Division of Water
693     Resources in a cooperative effort with other state, federal, or local entities, for the purpose of
694     quantifying surface and ground water resources and describing the hydrologic systems of an
695     area in sufficient detail so as to enable local and state resource managers to plan for and
696     accommodate growth in water use without jeopardizing the resource;
697          (B) fund state required dam safety improvements; and
698          (C) protect the state's interest in interstate water compact allocations, including the
699     hiring of technical and legal staff.
700          (f) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described
701     in Subsection (4)(a) shall be deposited into the Utah Wastewater Loan Program Subaccount
702     created in Section 73-10c-5 for use by the Water Quality Board to fund wastewater projects.
703          (g) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described
704     in Subsection (4)(a) shall be deposited into the Drinking Water Loan Program Subaccount
705     created in Section 73-10c-5 for use by the Division of Drinking Water to:
706          (i) provide for the installation and repair of collection, treatment, storage, and
707     distribution facilities for any public water system, as defined in Section 19-4-102;
708          (ii) develop underground sources of water, including springs and wells; and
709          (iii) develop surface water sources.
710          (5) (a) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
711     2006, the difference between the following amounts shall be expended as provided in this
712     Subsection (5), if that difference is greater than $1:
713          (i) for taxes listed under Subsection (3)(a), the amount of tax revenue generated for the
714     fiscal year by a 1/16% tax rate on the transactions described in Subsection (1); and
715          (ii) $17,500,000.
716          (b) (i) The first $500,000 of the difference described in Subsection (5)(a) shall be:
717          (A) transferred each fiscal year to the Department of Natural Resources as designated
718     sales and use tax revenue; and
719          (B) expended by the Department of Natural Resources for watershed rehabilitation or
720     restoration.
721          (ii) At the end of each fiscal year, 100% of any unexpended designated sales and use
722     tax revenue described in Subsection (5)(b)(i) shall lapse to the Water Resources Conservation
723     and Development Fund created in Section 73-10-24.
724          (c) (i) After making the transfer required by Subsection (5)(b)(i), $150,000 of the
725     remaining difference described in Subsection (5)(a) shall be:
726          (A) transferred each fiscal year to the Division of Water Resources as designated sales
727     and use tax revenue; and
728          (B) expended by the Division of Water Resources for cloud-seeding projects
729     authorized by Title 73, Chapter 15, Modification of Weather.
730          (ii) At the end of each fiscal year, 100% of any unexpended designated sales and use
731     tax revenue described in Subsection (5)(c)(i) shall lapse to the Water Resources Conservation
732     and Development Fund created in Section 73-10-24.
733          (d) After making the transfers required by Subsections (5)(b) and (c), 85% of the
734     remaining difference described in Subsection (5)(a) shall be deposited into the Water
735     Resources Conservation and Development Fund created in Section 73-10-24 for use by the
736     Division of Water Resources for:
737          (i) preconstruction costs:
738          (A) as defined in Subsection 73-26-103(6) for projects authorized by Title 73, Chapter
739     26, Bear River Development Act; and
740          (B) as defined in Subsection 73-28-103(8) for the Lake Powell Pipeline project
741     authorized by Title 73, Chapter 28, Lake Powell Pipeline Development Act;
742          (ii) the cost of employing a civil engineer to oversee any project authorized by Title 73,
743     Chapter 26, Bear River Development Act;
744          (iii) the cost of employing a civil engineer to oversee the Lake Powell Pipeline project
745     authorized by Title 73, Chapter 28, Lake Powell Pipeline Development Act; and
746          (iv) other uses authorized under Sections 73-10-24, 73-10-25.1, and 73-10-30, and
747     Subsection (4)(e)(ii) after funding the uses specified in Subsections (5)(d)(i) through (iii).
748          (e) After making the transfers required by Subsections (5)(b) and (c), 15% of the
749     remaining difference described in Subsection (5)(a) shall be deposited each year into the Water
750     Rights Restricted Account created by Section 73-2-1.6.
751          (6) Notwithstanding Subsection (3)(a) and for taxes listed under Subsection (3)(a),
752     each fiscal year, the commission shall deposit into the Water Infrastructure Restricted Account
753     created in Section 73-10g-103 the amount of revenue generated by a 1/16% tax rate on the
754     transactions described in Subsection (1) for the fiscal year.
755          (7) (a) Notwithstanding Subsection (3)(a) and subject to Subsection (7)(b), for a fiscal
756     year beginning on or after July 1, 2023, the commission shall deposit into the Transportation
757     Investment Fund of 2005 created by Section 72-2-124 a portion of the taxes listed under
758     Subsection (3)(a) equal to 17% of the revenue collected from the following sales and use taxes:
759          (i) the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
760          (ii) the tax imposed by Subsection (2)(b)(i);
761          (iii) the tax imposed by Subsection (2)(c)(i); and
762          (iv) the tax imposed by Subsection (2)(f)(i)(A)(I).
763          (b) (i) As used in this Subsection (7)(b):
764          (A) "Additional growth revenue" means the amount of relevant revenue collected in
765     the current fiscal year that exceeds by more than 3% the relevant revenue collected in the
766     previous fiscal year.
767          (B) "Combined amount" means the combined total amount of money deposited into the
768     Cottonwood Canyons fund under Subsections (7)(b)(iii) and (8)(d)(iii) in any single fiscal year.
769          (C) "Cottonwood Canyons fund" means the Cottonwood Canyons Transportation
770     Investment Fund created in Subsection 72-2-124(10).
771          (D) "Relevant revenue" means the portion of taxes listed under Subsection (3)(a) that
772     equals 17% of the revenue collected from taxes described in Subsections (7)(a)(i) through (iv).
773          (ii) For a fiscal year beginning on or after July 1, 2020, the commission shall annually
774     reduce the deposit under Subsection (7)(a) into the Transportation Investment Fund of 2005 by
775     an amount equal to the amount of the deposit under this Subsection (7)(b) to the Cottonwood
776     Canyons fund in the previous fiscal year plus 25% of additional growth revenue, subject to the
777     limit in Subsection (7)(b)(iii).
778          (iii) The commission shall annually deposit the amount described in Subsection
779     (7)(b)(ii) into the Cottonwood Canyons fund, subject to an annual maximum combined amount
780     for any single fiscal year of $20,000,000.
781          (iv) If the amount of relevant revenue declines in a fiscal year compared to the previous
782     fiscal year, the commission shall decrease the amount of the contribution to the Cottonwood
783     Canyons fund under this Subsection (7)(b) in the same proportion as the decline in relevant
784     revenue.
785          (c) (i) Subject to Subsection (7)(c)(ii), for a fiscal year beginning on or after July 1,
786     2023, the commission shall annually reduce the deposit into the Transportation Investment
787     Fund of 2005 under Subsections (7)(a) and (7)(b) by an amount that is equal to 5% of:
788          (A) the amount of revenue generated in the current fiscal year by the portion of taxes
789     listed under Subsection (3)(a) that equals 20.68% of the revenue collected from taxes described
790     in Subsections (7)(a)(i) through (iv);
791          (B) the amount of revenue generated in the current fiscal year by registration fees
792     designated under Section 41-1a-1201 to be deposited into the Transportation Investment Fund
793     of 2005; and
794          (C) revenues transferred by the Division of Finance to the Transportation Investment
795     Fund of 2005 in accordance with Section 72-2-106 in the current fiscal year.
796          (ii) The amount described in Subsection (7)(c)(i) may not exceed $45,000,000 in a
797     given fiscal year.
798          (iii) The commission shall annually deposit the amount described in Subsection
799     (7)(c)(i) into the Active Transportation Investment Fund created in Subsection 72-2-124(11).
800          (8) (a) Notwithstanding Subsection (3)(a), in addition to the amounts deposited under
801     Subsection (7), and subject to Subsections (8)(b) and (d)(ii), for a fiscal year beginning on or
802     after July 1, 2018, the commission shall annually deposit into the Transportation Investment
803     Fund of 2005 created by Section 72-2-124 a portion of the taxes listed under Subsection (3)(a)
804     in an amount equal to 3.68% of the revenues collected from the following taxes:
805          (i) the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
806          (ii) the tax imposed by Subsection (2)(b)(i);
807          (iii) the tax imposed by Subsection (2)(c)(i); and
808          (iv) the tax imposed by Subsection (2)(f)(i)(A)(I).
809          (b) For a fiscal year beginning on or after July 1, 2019, the commission shall annually
810     reduce the deposit into the Transportation Investment Fund of 2005 under Subsection (8)(a) by
811     an amount that is equal to 35% of the amount of revenue generated in the current fiscal year by
812     the portion of the tax imposed on motor and special fuel that is sold, used, or received for sale
813     or use in this state that exceeds 29.4 cents per gallon.
814          (c) The commission shall annually deposit the amount described in Subsection (8)(b)
815     into the Transit Transportation Investment Fund created in Section 72-2-124.
816          (d) (i) As used in this Subsection (8)(d):
817          (A) "Additional growth revenue" means the amount of relevant revenue collected in
818     the current fiscal year that exceeds by more than 3% the relevant revenue collected in the
819     previous fiscal year.
820          (B) "Combined amount" means the combined total amount of money deposited into the
821     Cottonwood Canyons fund under Subsections (7)(b)(iii) and (8)(d)(iii) in any single fiscal year.
822          (C) "Cottonwood Canyons fund" means the Cottonwood Canyons Transportation
823     Investment Fund created in Subsection 72-2-124(10).
824          (D) "Relevant revenue" means the portion of taxes listed under Subsection (3)(a) that
825     equals 3.68% of the revenue collected from taxes described in Subsections (8)(a)(i) through
826     (iv).
827          (ii) For a fiscal year beginning on or after July 1, 2020, the commission shall annually
828     reduce the deposit under Subsection (8)(a) into the Transportation Investment Fund of 2005 by
829     an amount equal to the amount of the deposit under this Subsection (8)(d) to the Cottonwood
830     Canyons fund in the previous fiscal year plus 25% of additional growth revenue, subject to the
831     limit in Subsection (8)(d)(iii).
832          (iii) The commission shall annually deposit the amount described in Subsection
833     (8)(d)(ii) into the Cottonwood Canyons fund, subject to an annual maximum combined amount
834     for any single fiscal year of $20,000,000.
835          (iv) If the amount of relevant revenue declines in a fiscal year compared to the previous
836     fiscal year, the commission shall decrease the amount of the contribution to the Cottonwood
837     Canyons fund under this Subsection (8)(d) in the same proportion as the decline in relevant
838     revenue.
839          (9) Notwithstanding Subsection (3)(a), for each fiscal year beginning with fiscal year
840     2009-10, $533,750 shall be deposited into the Qualified Emergency Food Agencies Fund
841     created by Section 35A-8-1009 and expended as provided in Section 35A-8-1009.
842          (10) Notwithstanding Subsection (3)(a), beginning the second fiscal year after the
843     fiscal year during which the commission receives notice under Section 63N-2-510 that
844     construction on a qualified hotel, as defined in Section 63N-2-502, has begun, the commission
845     shall, for two consecutive fiscal years, annually deposit $1,900,000 of the revenue generated by
846     the taxes listed under Subsection (3)(a) into the Hotel Impact Mitigation Fund, created in
847     Section 63N-2-512.
848          (11) (a) The rate specified in this subsection is 0.15%.
849          (b) Notwithstanding Subsection (3)(a), the commission shall, for a fiscal year
850     beginning on or after July 1, 2019, annually transfer the amount of revenue collected from the
851     rate described in Subsection (11)(a) on the transactions that are subject to the sales and use tax
852     under Subsection (2)(a)(i)(A) into the Medicaid Expansion Fund created in Section 26B-1-315.
853          (12) Notwithstanding Subsection (3)(a), for each fiscal year beginning with fiscal year
854     2020-21, the commission shall deposit $200,000 into the General Fund as a dedicated credit
855     solely for use of the Search and Rescue Financial Assistance Program created in, and expended
856     in accordance with, Title 53, Chapter 2a, Part 11, Search and Rescue Act.
857          (13) (a) For each fiscal year beginning with fiscal year 2020-21, the commission shall
858     annually transfer $1,813,400 of the revenue deposited into the Transportation Investment Fund
859     of 2005 under Subsections (7) and (8) to the General Fund.
860          (b) If the total revenue deposited into the Transportation Investment Fund of 2005
861     under Subsections (7) and (8) is less than $1,813,400 for a fiscal year, the commission shall
862     transfer the total revenue deposited into the Transportation Investment Fund of 2005 under
863     Subsections (7) and (8) during the fiscal year to the General Fund.
864          (14) Notwithstanding Subsection (3)(a), and as described in Section 63N-3-610,
865     beginning the first day of the calendar quarter one year after the sales and use tax boundary for
866     a housing and transit reinvestment zone is established, the commission, at least annually, shall
867     transfer an amount equal to 15% of the sales and use tax increment within an established sales
868     and use tax boundary, as defined in Section 63N-3-602, into the Transit Transportation
869     Investment Fund created in Section 72-2-124.
870          (15) Notwithstanding Subsection (3)(a), the commission shall, for a fiscal year
871     beginning on or after July 1, 2022, transfer into the Outdoor Adventure Infrastructure
872     Restricted Account, created in Section 51-9-902, a portion of the taxes listed under Subsection
873     (3)(a) equal to 1% of the revenues collected from the following sales and use taxes:
874          (a) the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
875          (b) the tax imposed by Subsection (2)(b)(i);
876          (c) the tax imposed by Subsection (2)(c)(i); and
877          (d) the tax imposed by Subsection (2)(f)(i)(A)(I).
878          (16) (a) As used in this Subsection (16):
879          (i) "Additional land" means point of the mountain state land described in Subsection
880     11-59-102(6)(b) that the point of the mountain authority acquires after the point of the
881     mountain authority provides the commission a map under Subsection (16)c).
882          (ii) "Point of the mountain authority" means the Point of the Mountain State Land
883     Authority, created in Section 11-59-201.
884          (iii) "Point of the mountain state land" means the same as that term is defined in
885     Section 11-59-102.
886          (b) Notwithstanding Subsection (3)(a), the commission shall transfer to the point of the
887     mountain authority 64% of the revenue from the sales and use tax imposed by Subsection
888     (2)(a)(i)(A) at a 4.7% rate, on transactions occurring on the point of the mountain state land.
889          (c) The transfer under Subsection (16)(b) shall begin the next calendar quarter that
890     begins at least 90 days after the point of the mountain authority provides the commission a map
891     that:
892          (i) accurately describes the point of the mountain state land; and
893          (ii) the point of the mountain authority certifies as accurate.
894          (d) A transfer under Subsection (16)(b) with respect to additional land shall begin the
895     next calendar quarter that begins at least 90 days after the point of the mountain authority
896     provides the commission a map of point of the mountain state land that:
897          (i) accurately describes the point of the mountain state land, including the additional
898     land; and
899          (ii) the point of the mountain authority certifies as accurate.
900          Section 11. Section 59-12-103 (Contingently Effective 01/01/25) is amended to read:
901          59-12-103 (Contingently Effective 01/01/25). Sales and use tax base -- Rates --
902     Effective dates -- Use of sales and use tax revenues.
903          (1) A tax is imposed on the purchaser as provided in this part on the purchase price or
904     sales price for amounts paid or charged for the following transactions:
905          (a) retail sales of tangible personal property made within the state;
906          (b) amounts paid for:
907          (i) telecommunications service, other than mobile telecommunications service, that
908     originates and terminates within the boundaries of this state;
909          (ii) mobile telecommunications service that originates and terminates within the
910     boundaries of one state only to the extent permitted by the Mobile Telecommunications
911     Sourcing Act, 4 U.S.C. Sec. 116 et seq.; or
912          (iii) an ancillary service associated with a:
913          (A) telecommunications service described in Subsection (1)(b)(i); or
914          (B) mobile telecommunications service described in Subsection (1)(b)(ii);
915          (c) sales of the following for commercial use:
916          (i) gas;
917          (ii) electricity;
918          (iii) heat;
919          (iv) coal;
920          (v) fuel oil; or
921          (vi) other fuels;
922          (d) sales of the following for residential use:
923          (i) gas;
924          (ii) electricity;
925          (iii) heat;
926          (iv) coal;
927          (v) fuel oil; or
928          (vi) other fuels;
929          (e) sales of prepared food;
930          (f) except as provided in Section 59-12-104, amounts paid or charged as admission or
931     user fees for theaters, movies, operas, museums, planetariums, shows of any type or nature,
932     exhibitions, concerts, carnivals, amusement parks, amusement rides, circuses, menageries,
933     fairs, races, contests, sporting events, dances, boxing matches, wrestling matches, closed circuit
934     television broadcasts, billiard parlors, pool parlors, bowling lanes, golf, miniature golf, golf
935     driving ranges, batting cages, skating rinks, ski lifts, ski runs, ski trails, snowmobile trails,
936     tennis courts, swimming pools, water slides, river runs, jeep tours, boat tours, scenic cruises,
937     horseback rides, sports activities, or any other amusement, entertainment, recreation,
938     exhibition, cultural, or athletic activity;
939          (g) amounts paid or charged for services for repairs or renovations of tangible personal
940     property, unless Section 59-12-104 provides for an exemption from sales and use tax for:
941          (i) the tangible personal property; and
942          (ii) parts used in the repairs or renovations of the tangible personal property described
943     in Subsection (1)(g)(i), regardless of whether:
944          (A) any parts are actually used in the repairs or renovations of that tangible personal
945     property; or
946          (B) the particular parts used in the repairs or renovations of that tangible personal
947     property are exempt from a tax under this chapter;
948          (h) except as provided in Subsection 59-12-104(7), amounts paid or charged for
949     assisted cleaning or washing of tangible personal property;
950          (i) amounts paid or charged for tourist home, hotel, motel, or trailer court
951     accommodations and services that are regularly rented for less than 30 consecutive days;
952          (j) amounts paid or charged for laundry or dry cleaning services;
953          (k) amounts paid or charged for leases or rentals of tangible personal property if within
954     this state the tangible personal property is:
955          (i) stored;
956          (ii) used; or
957          (iii) otherwise consumed;
958          (l) amounts paid or charged for tangible personal property if within this state the
959     tangible personal property is:
960          (i) stored;
961          (ii) used; or
962          (iii) consumed;
963          (m) amounts paid or charged for a sale:
964          (i) (A) of a product transferred electronically; or
965          (B) of a repair or renovation of a product transferred electronically; and
966          (ii) regardless of whether the sale provides:
967          (A) a right of permanent use of the product; or
968          (B) a right to use the product that is less than a permanent use, including a right:
969          (I) for a definite or specified length of time; and
970          (II) that terminates upon the occurrence of a condition; and
971          (n) sales of leased tangible personal property from the lessor to the lessee made in the
972     state.
973          (2) (a) Except as provided in Subsections (2)(b) through (f), a state tax and a local tax
974     are imposed on a transaction described in Subsection (1) equal to the sum of:
975          (i) a state tax imposed on the transaction at a tax rate equal to the sum of:
976          (A) 4.70% plus the rate specified in Subsection (11)(a); and
977          (B) (I) the tax rate the state imposes in accordance with Part 18, Additional State Sales
978     and Use Tax Act, if the location of the transaction as determined under Sections 59-12-211
979     through 59-12-215 is in a county in which the state imposes the tax under Part 18, Additional
980     State Sales and Use Tax Act; and
981          (II) the tax rate the state imposes in accordance with Part 20, Supplemental State Sales
982     and Use Tax Act, if the location of the transaction as determined under Sections 59-12-211
983     through 59-12-215 is in a city, town, or the unincorporated area of a county in which the state
984     imposes the tax under Part 20, Supplemental State Sales and Use Tax Act; and
985          (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
986     transaction under this chapter other than this part.
987          (b) Except as provided in Subsection (2)(f) or (g) and subject to Subsection (2)(l), a
988     state tax and a local tax are imposed on a transaction described in Subsection (1)(d) equal to
989     the sum of:
990          (i) a state tax imposed on the transaction at a tax rate of 2%; and
991          (ii) a local tax equal to the sum of the tax rates a county, city, or town imposes on the
992     transaction under this chapter other than this part.
993          (c) (i) Except as provided in Subsection (2)(f) or (g), a local tax is imposed on amounts
994     paid or charged for food and food ingredients equal to the sum of the tax rates a county, city, or
995     town imposes under this chapter on the amounts paid or charged for food or food ingredients.
996          (ii) There is no state tax imposed on amounts paid or charged for food and food
997     ingredients.
998          (d) Except as provided in Subsection (2)(f) or (g), a state tax is imposed on amounts
999     paid or charged for fuel to a common carrier that is a railroad for use in a locomotive engine at
1000     a rate of 4.85%.
1001          (e) (i) (A) If a shared vehicle owner certifies to the commission, on a form prescribed
1002     by the commission, that the shared vehicle is an individual-owned shared vehicle, a tax
1003     imposed under Subsection (2)(a)(i)(A) does not apply to car sharing, a car-sharing program, a
1004     shared vehicle driver, or a shared vehicle owner.
1005          (B) A shared vehicle owner's certification described in Subsection (2)(e)(i)(A) is
1006     required once during the time that the shared vehicle owner owns the shared vehicle.
1007          (C) The commission shall verify that a shared vehicle is an individual-owned shared
1008     vehicle by verifying that the applicable Utah taxes imposed under this chapter were paid on the
1009     purchase of the shared vehicle.
1010          (D) The exception under Subsection (2)(e)(i)(A) applies to a certified
1011     individual-owned shared vehicle shared through a car-sharing program even if non-certified
1012     shared vehicles are also available to be shared through the same car-sharing program.
1013          (ii) A tax imposed under Subsection (2)(a)(i)(B) or (2)(a)(ii) applies to car sharing.
1014          (iii) (A) A car-sharing program may rely in good faith on a shared vehicle owner's
1015     representation that the shared vehicle is an individual-owned shared vehicle certified with the
1016     commission as described in Subsection (2)(e)(i).
1017          (B) If a car-sharing program relies in good faith on a shared vehicle owner's
1018     representation that the shared vehicle is an individual-owned shared vehicle certified with the
1019     commission as described in Subsection (2)(e)(i), the car-sharing program is not liable for any
1020     tax, penalty, fee, or other sanction imposed on the shared vehicle owner.
1021          (iv) If all shared vehicles shared through a car-sharing program are certified as
1022     described in Subsection (2)(e)(i)(A) for a tax period, the car-sharing program has no obligation
1023     to collect and remit the tax under Subsection (2)(a)(i)(A) for that tax period.
1024          (v) [(A)] A car-sharing program is not required to list or otherwise identify an
1025     individual-owned shared vehicle on a return or an attachment to a return.
1026          (vi) A car-sharing program shall:
1027          (A) retain tax information for each car-sharing program transaction; and
1028          (B) provide the information described in Subsection (2)(e)(vi)(A) to the commission at
1029     the commission's request.
1030          (f) (i) For a bundled transaction that is attributable to food and food ingredients and
1031     tangible personal property other than food and food ingredients, a state tax and a local tax is
1032     imposed on the entire bundled transaction equal to the sum of:
1033          (A) a state tax imposed on the entire bundled transaction equal to the sum of:
1034          (I) the tax rate described in Subsection (2)(a)(i)(A); and
1035          (II) (Aa) the tax rate the state imposes in accordance with Part 18, Additional State
1036     Sales and Use Tax Act, if the location of the transaction as determined under Sections
1037     59-12-211 through 59-12-215 is in a county in which the state imposes the tax under Part 18,
1038     Additional State Sales and Use Tax Act; and
1039          (Bb) the tax rate the state imposes in accordance with Part 20, Supplemental State
1040     Sales and Use Tax Act, if the location of the transaction as determined under Sections
1041     59-12-211 through 59-12-215 is in a city, town, or the unincorporated area of a county in which
1042     the state imposes the tax under Part 20, Supplemental State Sales and Use Tax Act; and
1043          (B) a local tax imposed on the entire bundled transaction at the sum of the tax rates
1044     described in Subsection (2)(a)(ii).
1045          (ii) If an optional computer software maintenance contract is a bundled transaction that
1046     consists of taxable and nontaxable products that are not separately itemized on an invoice or
1047     similar billing document, the purchase of the optional computer software maintenance contract
1048     is 40% taxable under this chapter and 60% nontaxable under this chapter.
1049          (iii) Subject to Subsection (2)(f)(iv), for a bundled transaction other than a bundled
1050     transaction described in Subsection (2)(f)(i) or (ii):
1051          (A) if the sales price of the bundled transaction is attributable to tangible personal
1052     property, a product, or a service that is subject to taxation under this chapter and tangible
1053     personal property, a product, or service that is not subject to taxation under this chapter, the
1054     entire bundled transaction is subject to taxation under this chapter unless:
1055          (I) the seller is able to identify by reasonable and verifiable standards the tangible
1056     personal property, product, or service that is not subject to taxation under this chapter from the
1057     books and records the seller keeps in the seller's regular course of business; or
1058          (II) state or federal law provides otherwise; or
1059          (B) if the sales price of a bundled transaction is attributable to two or more items of
1060     tangible personal property, products, or services that are subject to taxation under this chapter
1061     at different rates, the entire bundled transaction is subject to taxation under this chapter at the
1062     higher tax rate unless:
1063          (I) the seller is able to identify by reasonable and verifiable standards the tangible
1064     personal property, product, or service that is subject to taxation under this chapter at the lower
1065     tax rate from the books and records the seller keeps in the seller's regular course of business; or
1066          (II) state or federal law provides otherwise.
1067          (iv) For purposes of Subsection (2)(f)(iii), books and records that a seller keeps in the
1068     seller's regular course of business includes books and records the seller keeps in the regular
1069     course of business for nontax purposes.
1070          (g) (i) Except as otherwise provided in this chapter and subject to Subsections (2)(g)(ii)
1071     and (iii), if a transaction consists of the sale, lease, or rental of tangible personal property, a
1072     product, or a service that is subject to taxation under this chapter, and the sale, lease, or rental
1073     of tangible personal property, other property, a product, or a service that is not subject to
1074     taxation under this chapter, the entire transaction is subject to taxation under this chapter unless
1075     the seller, at the time of the transaction:
1076          (A) separately states the portion of the transaction that is not subject to taxation under
1077     this chapter on an invoice, bill of sale, or similar document provided to the purchaser; or
1078          (B) is able to identify by reasonable and verifiable standards, from the books and
1079     records the seller keeps in the seller's regular course of business, the portion of the transaction
1080     that is not subject to taxation under this chapter.
1081          (ii) A purchaser and a seller may correct the taxability of a transaction if:
1082          (A) after the transaction occurs, the purchaser and the seller discover that the portion of
1083     the transaction that is not subject to taxation under this chapter was not separately stated on an
1084     invoice, bill of sale, or similar document provided to the purchaser because of an error or
1085     ignorance of the law; and
1086          (B) the seller is able to identify by reasonable and verifiable standards, from the books
1087     and records the seller keeps in the seller's regular course of business, the portion of the
1088     transaction that is not subject to taxation under this chapter.
1089          (iii) For purposes of Subsections (2)(g)(i) and (ii), books and records that a seller keeps
1090     in the seller's regular course of business includes books and records the seller keeps in the
1091     regular course of business for nontax purposes.
1092          (h) (i) If the sales price of a transaction is attributable to two or more items of tangible
1093     personal property, products, or services that are subject to taxation under this chapter at
1094     different rates, the entire purchase is subject to taxation under this chapter at the higher tax rate
1095     unless the seller, at the time of the transaction:
1096          (A) separately states the items subject to taxation under this chapter at each of the
1097     different rates on an invoice, bill of sale, or similar document provided to the purchaser; or
1098          (B) is able to identify by reasonable and verifiable standards the tangible personal
1099     property, product, or service that is subject to taxation under this chapter at the lower tax rate
1100     from the books and records the seller keeps in the seller's regular course of business.
1101          (ii) For purposes of Subsection (2)(h)(i), books and records that a seller keeps in the
1102     seller's regular course of business includes books and records the seller keeps in the regular
1103     course of business for nontax purposes.
1104          (i) Subject to Subsections (2)(j) and (k), a tax rate repeal or tax rate change for a tax
1105     rate imposed under the following shall take effect on the first day of a calendar quarter:
1106          (i) Subsection (2)(a)(i)(A);
1107          (ii) Subsection (2)(b)(i); or
1108          (iii) Subsection (2)(f)(i)(A)(I).
1109          (j) (i) A tax rate increase takes effect on the first day of the first billing period that
1110     begins on or after the effective date of the tax rate increase if the billing period for the
1111     transaction begins before the effective date of a tax rate increase imposed under:
1112          (A) Subsection (2)(a)(i)(A);
1113          (B) Subsection (2)(b)(i); or
1114          (C) Subsection (2)(f)(i)(A)(I).
1115          (ii) The repeal of a tax or a tax rate decrease applies to a billing period if the billing
1116     statement for the billing period is rendered on or after the effective date of the repeal of the tax
1117     or the tax rate decrease imposed under:
1118          (A) Subsection (2)(a)(i)(A);
1119          (B) Subsection (2)(b)(i); or
1120          (C) Subsection (2)(f)(i)(A)(I).
1121          (k) (i) For a tax rate described in Subsection (2)(k)(ii), if a tax due on a catalogue sale
1122     is computed on the basis of sales and use tax rates published in the catalogue, a tax rate repeal
1123     or change in a tax rate takes effect:
1124          (A) on the first day of a calendar quarter; and
1125          (B) beginning 60 days after the effective date of the tax rate repeal or tax rate change.
1126          (ii) Subsection (2)(k)(i) applies to the tax rates described in the following:
1127          (A) Subsection (2)(a)(i)(A);
1128          (B) Subsection (2)(b)(i); or
1129          (C) Subsection (2)(f)(i)(A)(I).
1130          (iii) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
1131     the commission may by rule define the term "catalogue sale."
1132          (l) (i) For a location described in Subsection (2)(l)(ii), the commission shall determine
1133     the taxable status of a sale of gas, electricity, heat, coal, fuel oil, or other fuel based on the
1134     predominant use of the gas, electricity, heat, coal, fuel oil, or other fuel at the location.
1135          (ii) Subsection (2)(l)(i) applies to a location where gas, electricity, heat, coal, fuel oil,
1136     or other fuel is furnished through a single meter for two or more of the following uses:
1137          (A) a commercial use;
1138          (B) an industrial use; or
1139          (C) a residential use.
1140          (3) (a) The following state taxes shall be deposited into the General Fund:
1141          (i) the tax imposed by Subsection (2)(a)(i)(A);
1142          (ii) the tax imposed by Subsection (2)(b)(i); and
1143          (iii) the tax imposed by Subsection (2)(f)(i)(A)(I).
1144          (b) The following local taxes shall be distributed to a county, city, or town as provided
1145     in this chapter:
1146          (i) the tax imposed by Subsection (2)(a)(ii);
1147          (ii) the tax imposed by Subsection (2)(b)(ii);
1148          (iii) the tax imposed by Subsection (2)(c); and
1149          (iv) the tax imposed by Subsection (2)(f)(i)(B).
1150          (c) The state tax imposed by Subsection (2)(d) shall be deposited into the General
1151     Fund.
1152          (4) (a) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
1153     2003, the lesser of the following amounts shall be expended as provided in Subsections (4)(b)
1154     through (g):
1155          (i) for taxes listed under Subsection (3)(a), the amount of tax revenue generated:
1156          (A) by a 1/16% tax rate on the transactions described in Subsection (1); and
1157          (B) for the fiscal year; or
1158          (ii) $17,500,000.
1159          (b) (i) For a fiscal year beginning on or after July 1, 2003, 14% of the amount
1160     described in Subsection (4)(a) shall be transferred each year as designated sales and use tax
1161     revenue to the Department of Natural Resources to:
1162          (A) implement the measures described in Subsections 79-2-303(3)(a) through (d) to
1163     protect sensitive plant and animal species; or
1164          (B) award grants, up to the amount authorized by the Legislature in an appropriations
1165     act, to political subdivisions of the state to implement the measures described in Subsections
1166     79-2-303(3)(a) through (d) to protect sensitive plant and animal species.
1167          (ii) Money transferred to the Department of Natural Resources under Subsection
1168     (4)(b)(i) may not be used to assist the United States Fish and Wildlife Service or any other
1169     person to list or attempt to have listed a species as threatened or endangered under the
1170     Endangered Species Act of 1973, 16 U.S.C. Sec. 1531 et seq.
1171          (iii) At the end of each fiscal year:
1172          (A) 50% of any unexpended designated sales and use tax revenue shall lapse to the
1173     Water Resources Conservation and Development Fund created in Section 73-10-24;
1174          (B) 25% of any unexpended designated sales and use tax revenue shall lapse to the
1175     Utah Wastewater Loan Program Subaccount created in Section 73-10c-5; and
1176          (C) 25% of any unexpended designated sales and use tax revenue shall lapse to the
1177     Drinking Water Loan Program Subaccount created in Section 73-10c-5.
1178          (c) For a fiscal year beginning on or after July 1, 2003, 3% of the amount described in
1179     Subsection (4)(a) shall be deposited each year in the Agriculture Resource Development Fund
1180     created in Section 4-18-106.
1181          (d) (i) For a fiscal year beginning on or after July 1, 2003, 1% of the amount described
1182     in Subsection (4)(a) shall be transferred each year as designated sales and use tax revenue to
1183     the Division of Water Rights to cover the costs incurred in hiring legal and technical staff for
1184     the adjudication of water rights.
1185          (ii) At the end of each fiscal year:
1186          (A) 50% of any unexpended designated sales and use tax revenue shall lapse to the
1187     Water Resources Conservation and Development Fund created in Section 73-10-24;
1188          (B) 25% of any unexpended designated sales and use tax revenue shall lapse to the
1189     Utah Wastewater Loan Program Subaccount created in Section 73-10c-5; and
1190          (C) 25% of any unexpended designated sales and use tax revenue shall lapse to the
1191     Drinking Water Loan Program Subaccount created in Section 73-10c-5.
1192          (e) (i) For a fiscal year beginning on or after July 1, 2003, 41% of the amount described
1193     in Subsection (4)(a) shall be deposited into the Water Resources Conservation and
1194     Development Fund created in Section 73-10-24 for use by the Division of Water Resources.
1195          (ii) In addition to the uses allowed of the Water Resources Conservation and
1196     Development Fund under Section 73-10-24, the Water Resources Conservation and
1197     Development Fund may also be used to:
1198          (A) conduct hydrologic and geotechnical investigations by the Division of Water
1199     Resources in a cooperative effort with other state, federal, or local entities, for the purpose of
1200     quantifying surface and ground water resources and describing the hydrologic systems of an
1201     area in sufficient detail so as to enable local and state resource managers to plan for and
1202     accommodate growth in water use without jeopardizing the resource;
1203          (B) fund state required dam safety improvements; and
1204          (C) protect the state's interest in interstate water compact allocations, including the
1205     hiring of technical and legal staff.
1206          (f) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described
1207     in Subsection (4)(a) shall be deposited into the Utah Wastewater Loan Program Subaccount
1208     created in Section 73-10c-5 for use by the Water Quality Board to fund wastewater projects.
1209          (g) For a fiscal year beginning on or after July 1, 2003, 20.5% of the amount described
1210     in Subsection (4)(a) shall be deposited into the Drinking Water Loan Program Subaccount
1211     created in Section 73-10c-5 for use by the Division of Drinking Water to:
1212          (i) provide for the installation and repair of collection, treatment, storage, and
1213     distribution facilities for any public water system, as defined in Section 19-4-102;
1214          (ii) develop underground sources of water, including springs and wells; and
1215          (iii) develop surface water sources.
1216          (5) (a) Notwithstanding Subsection (3)(a), for a fiscal year beginning on or after July 1,
1217     2006, the difference between the following amounts shall be expended as provided in this
1218     Subsection (5), if that difference is greater than $1:
1219          (i) for taxes listed under Subsection (3)(a), the amount of tax revenue generated for the
1220     fiscal year by a 1/16% tax rate on the transactions described in Subsection (1); and
1221          (ii) $17,500,000.
1222          (b) (i) The first $500,000 of the difference described in Subsection (5)(a) shall be:
1223          (A) transferred each fiscal year to the Department of Natural Resources as designated
1224     sales and use tax revenue; and
1225          (B) expended by the Department of Natural Resources for watershed rehabilitation or
1226     restoration.
1227          (ii) At the end of each fiscal year, 100% of any unexpended designated sales and use
1228     tax revenue described in Subsection (5)(b)(i) shall lapse to the Water Resources Conservation
1229     and Development Fund created in Section 73-10-24.
1230          (c) (i) After making the transfer required by Subsection (5)(b)(i), $150,000 of the
1231     remaining difference described in Subsection (5)(a) shall be:
1232          (A) transferred each fiscal year to the Division of Water Resources as designated sales
1233     and use tax revenue; and
1234          (B) expended by the Division of Water Resources for cloud-seeding projects
1235     authorized by Title 73, Chapter 15, Modification of Weather.
1236          (ii) At the end of each fiscal year, 100% of any unexpended designated sales and use
1237     tax revenue described in Subsection (5)(c)(i) shall lapse to the Water Resources Conservation
1238     and Development Fund created in Section 73-10-24.
1239          (d) After making the transfers required by Subsections (5)(b) and (c), 85% of the
1240     remaining difference described in Subsection (5)(a) shall be deposited into the Water
1241     Resources Conservation and Development Fund created in Section 73-10-24 for use by the
1242     Division of Water Resources for:
1243          (i) preconstruction costs:
1244          (A) as defined in Subsection 73-26-103(6) for projects authorized by Title 73, Chapter
1245     26, Bear River Development Act; and
1246          (B) as defined in Subsection 73-28-103(8) for the Lake Powell Pipeline project
1247     authorized by Title 73, Chapter 28, Lake Powell Pipeline Development Act;
1248          (ii) the cost of employing a civil engineer to oversee any project authorized by Title 73,
1249     Chapter 26, Bear River Development Act;
1250          (iii) the cost of employing a civil engineer to oversee the Lake Powell Pipeline project
1251     authorized by Title 73, Chapter 28, Lake Powell Pipeline Development Act; and
1252          (iv) other uses authorized under Sections 73-10-24, 73-10-25.1, and 73-10-30, and
1253     Subsection (4)(e)(ii) after funding the uses specified in Subsections (5)(d)(i) through (iii).
1254          (e) After making the transfers required by Subsections (5)(b) and (c), 15% of the
1255     remaining difference described in Subsection (5)(a) shall be deposited each year into the Water
1256     Rights Restricted Account created by Section 73-2-1.6.
1257          (6) Notwithstanding Subsection (3)(a) and for taxes listed under Subsection (3)(a),
1258     each fiscal year, the commission shall deposit into the Water Infrastructure Restricted Account
1259     created in Section 73-10g-103 the amount of revenue generated by a 1/16% tax rate on the
1260     transactions described in Subsection (1) for the fiscal year.
1261          (7) (a) Notwithstanding Subsection (3)(a) and subject to Subsection (7)(b), for a fiscal
1262     year beginning on or after July 1, 2023, the commission shall deposit into the Transportation
1263     Investment Fund of 2005 created by Section 72-2-124 a portion of the taxes listed under
1264     Subsection (3)(a) equal to 17% of the revenue collected from the following sales and use taxes:
1265          (i) the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
1266          (ii) the tax imposed by Subsection (2)(b)(i); and
1267          (iii) the tax imposed by Subsection (2)(f)(i)(A)(I).
1268          (b) (i) As used in this Subsection (7)(b):
1269          (A) "Additional growth revenue" means the amount of relevant revenue collected in
1270     the current fiscal year that exceeds by more than 3% the relevant revenue collected in the
1271     previous fiscal year.
1272          (B) "Combined amount" means the combined total amount of money deposited into the
1273     Cottonwood Canyons fund under Subsections (7)(b)(iii) and (8)(d)(iii) in any single fiscal year.
1274          (C) "Cottonwood Canyons fund" means the Cottonwood Canyons Transportation
1275     Investment Fund created in Subsection 72-2-124(10).
1276          (D) "Relevant revenue" means the portion of taxes listed under Subsection (3)(a) that
1277     equals 17% of the revenue collected from taxes described in Subsections (7)(a)(i) through (iii).
1278          (ii) For a fiscal year beginning on or after July 1, 2020, the commission shall annually
1279     reduce the deposit under Subsection (7)(a) into the Transportation Investment Fund of 2005 by
1280     an amount equal to the amount of the deposit under this Subsection (7)(b) to the Cottonwood
1281     Canyons fund in the previous fiscal year plus 25% of additional growth revenue, subject to the
1282     limit in Subsection (7)(b)(iii).
1283          (iii) The commission shall annually deposit the amount described in Subsection
1284     (7)(b)(ii) into the Cottonwood Canyons fund, subject to an annual maximum combined amount
1285     for any single fiscal year of $20,000,000.
1286          (iv) If the amount of relevant revenue declines in a fiscal year compared to the previous
1287     fiscal year, the commission shall decrease the amount of the contribution to the Cottonwood
1288     Canyons fund under this Subsection (7)(b) in the same proportion as the decline in relevant
1289     revenue.
1290          (c) (i) Subject to Subsection (7)(c)(ii), for a fiscal year beginning on or after July 1,
1291     2023, the commission shall annually reduce the deposit into the Transportation Investment
1292     Fund of 2005 under Subsections (7)(a) and (7)(b) by an amount that is equal to 5% of:
1293          (A) the amount of revenue generated in the current fiscal year by the portion of taxes
1294     listed under Subsection (3)(a) that equals 20.68% of the revenue collected from taxes described
1295     in Subsections (7)(a)(i) through (iv);
1296          (B) the amount of revenue generated in the current fiscal year by registration fees
1297     designated under Section 41-1a-1201 to be deposited into the Transportation Investment Fund
1298     of 2005; and
1299          (C) revenues transferred by the Division of Finance to the Transportation Investment
1300     Fund of 2005 in accordance with Section 72-2-106 in the current fiscal year.
1301          (ii) The amount described in Subsection (7)(c)(i) may not exceed $45,000,000 in a
1302     given fiscal year.
1303          (iii) The commission shall annually deposit the amount described in Subsection
1304     (7)(c)(i) into the Active Transportation Investment Fund created in Subsection 72-2-124(11).
1305          (8) (a) Notwithstanding Subsection (3)(a), in addition to the amounts deposited under
1306     Subsection (7), and subject to Subsections (8)(b) and (d)(ii), for a fiscal year beginning on or
1307     after July 1, 2018, the commission shall annually deposit into the Transportation Investment
1308     Fund of 2005 created by Section 72-2-124 a portion of the taxes listed under Subsection (3)(a)
1309     in an amount equal to 3.68% of the revenues collected from the following taxes:
1310          (i) the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
1311          (ii) the tax imposed by Subsection (2)(b)(i); and
1312          (iii) the tax imposed by Subsection (2)(f)(i)(A)(I).
1313          (b) For a fiscal year beginning on or after July 1, 2019, the commission shall annually
1314     reduce the deposit into the Transportation Investment Fund of 2005 under Subsection (8)(a) by
1315     an amount that is equal to 35% of the amount of revenue generated in the current fiscal year by
1316     the portion of the tax imposed on motor and special fuel that is sold, used, or received for sale
1317     or use in this state that exceeds 29.4 cents per gallon.
1318          (c) The commission shall annually deposit the amount described in Subsection (8)(b)
1319     into the Transit Transportation Investment Fund created in Section 72-2-124.
1320          (d) (i) As used in this Subsection (8)(d):
1321          (A) "Additional growth revenue" means the amount of relevant revenue collected in
1322     the current fiscal year that exceeds by more than 3% the relevant revenue collected in the
1323     previous fiscal year.
1324          (B) "Combined amount" means the combined total amount of money deposited into the
1325     Cottonwood Canyons fund under Subsections (7)(b)(iii) and (8)(d)(iii) in any single fiscal year.
1326          (C) "Cottonwood Canyons fund" means the Cottonwood Canyons Transportation
1327     Investment Fund created in Subsection 72-2-124(10).
1328          (D) "Relevant revenue" means the portion of taxes listed under Subsection (3)(a) that
1329     equals 3.68% of the revenue collected from taxes described in Subsections (8)(a)(i) through
1330     (iii).
1331          (ii) For a fiscal year beginning on or after July 1, 2020, the commission shall annually
1332     reduce the deposit under Subsection (8)(a) into the Transportation Investment Fund of 2005 by
1333     an amount equal to the amount of the deposit under this Subsection (8)(d) to the Cottonwood
1334     Canyons fund in the previous fiscal year plus 25% of additional growth revenue, subject to the
1335     limit in Subsection (8)(d)(iii).
1336          (iii) The commission shall annually deposit the amount described in Subsection
1337     (8)(d)(ii) into the Cottonwood Canyons fund, subject to an annual maximum combined amount
1338     for any single fiscal year of $20,000,000.
1339          (iv) If the amount of relevant revenue declines in a fiscal year compared to the previous
1340     fiscal year, the commission shall decrease the amount of the contribution to the Cottonwood
1341     Canyons fund under this Subsection (8)(d) in the same proportion as the decline in relevant
1342     revenue.
1343          (9) Notwithstanding Subsection (3)(a), for each fiscal year beginning with fiscal year
1344     2009-10, $533,750 shall be deposited into the Qualified Emergency Food Agencies Fund
1345     created by Section 35A-8-1009 and expended as provided in Section 35A-8-1009.
1346          (10) Notwithstanding Subsection (3)(a), beginning the second fiscal year after the
1347     fiscal year during which the commission receives notice under Section 63N-2-510 that
1348     construction on a qualified hotel, as defined in Section 63N-2-502, has begun, the commission
1349     shall, for two consecutive fiscal years, annually deposit $1,900,000 of the revenue generated by
1350     the taxes listed under Subsection (3)(a) into the Hotel Impact Mitigation Fund, created in
1351     Section 63N-2-512.
1352          (11) (a) The rate specified in this subsection is 0.15%.
1353          (b) Notwithstanding Subsection (3)(a), the commission shall, for a fiscal year
1354     beginning on or after July 1, 2019, annually transfer the amount of revenue collected from the
1355     rate described in Subsection (11)(a) on the transactions that are subject to the sales and use tax
1356     under Subsection (2)(a)(i)(A) into the Medicaid Expansion Fund created in Section 26B-1-315.
1357          (12) Notwithstanding Subsection (3)(a), for each fiscal year beginning with fiscal year
1358     2020-21, the commission shall deposit $200,000 into the General Fund as a dedicated credit
1359     solely for use of the Search and Rescue Financial Assistance Program created in, and expended
1360     in accordance with, Title 53, Chapter 2a, Part 11, Search and Rescue Act.
1361          (13) (a) For each fiscal year beginning with fiscal year 2020-21, the commission shall
1362     annually transfer $1,813,400 of the revenue deposited into the Transportation Investment Fund
1363     of 2005 under Subsections (7) and (8) to the General Fund.
1364          (b) If the total revenue deposited into the Transportation Investment Fund of 2005
1365     under Subsections (7) and (8) is less than $1,813,400 for a fiscal year, the commission shall
1366     transfer the total revenue deposited into the Transportation Investment Fund of 2005 under
1367     Subsections (7) and (8) during the fiscal year to the General Fund.
1368          (14) Notwithstanding Subsection (3)(a), and as described in Section 63N-3-610,
1369     beginning the first day of the calendar quarter one year after the sales and use tax boundary for
1370     a housing and transit reinvestment zone is established, the commission, at least annually, shall
1371     transfer an amount equal to 15% of the sales and use tax increment within an established sales
1372     and use tax boundary, as defined in Section 63N-3-602, into the Transit Transportation
1373     Investment Fund created in Section 72-2-124.
1374          (15) Notwithstanding Subsection (3)(a), the commission shall, for a fiscal year
1375     beginning on or after July 1, 2022, transfer into the Outdoor Adventure Infrastructure
1376     Restricted Account, created in Section 51-9-902, a portion of the taxes listed under Subsection
1377     (3)(a) equal to 1% of the revenues collected from the following sales and use taxes:
1378          (a) the tax imposed by Subsection (2)(a)(i)(A) at a 4.7% rate;
1379          (b) the tax imposed by Subsection (2)(b)(i); and
1380          (c) the tax imposed by Subsection (2)(f)(i)(A)(I).
1381          (16) (a) As used in this Subsection (16):
1382          (i) "Additional land" means point of the mountain state land described in Subsection
1383     11-59-102(6)(b) that the point of the mountain authority acquires after the point of the
1384     mountain authority provides the commission a map under Subsection (16)c).
1385          (ii) "Point of the mountain authority" means the Point of the Mountain State Land
1386     Authority, created in Section 11-59-201.
1387          (iii) "Point of the mountain state land" means the same as that term is defined in
1388     Section 11-59-102.
1389          (b) Notwithstanding Subsection (3)(a), the commission shall transfer to the point of the
1390     mountain authority 64% of the revenue from the sales and use tax imposed by Subsection
1391     (2)(a)(i)(A) at a 4.7% rate, on transactions occurring on the point of the mountain state land.
1392          (c) The transfer under Subsection (16)(b) shall begin the next calendar quarter that
1393     begins at least 90 days after the point of the mountain authority provides the commission a map
1394     that:
1395          (i) accurately describes the point of the mountain state land; and
1396          (ii) the point of the mountain authority certifies as accurate.
1397          (d) A transfer under Subsection (16)(b) with respect to additional land shall begin the
1398     next calendar quarter that begins at least 90 days after the point of the mountain authority
1399     provides the commission a map of point of the mountain state land that:
1400          (i) accurately describes the point of the mountain state land, including the additional
1401     land; and
1402          (ii) the point of the mountain authority certifies as accurate.
1403          Section 12. Section 63I-1-211 is amended to read:
1404          63I-1-211. Repeal dates: Title 11.
1405          Title 11, Chapter 59, Point of the Mountain State Land Authority Act, is repealed
1406     January 1, 2029.
1407          Section 13. Effective date.
1408          (1) Except as provided in Subsection (2), this bill takes effect on May 1, 2024.
1409          (2) The actions affecting Section 59-12-103 (Contingently Effective 01/01/25)
1410     contingently take effect on January 1, 2025.