HB 475

     Enrolled Copy  H.B. 475
 1  Development Planning and Coordination Amendments
                                           2026 GENERAL SESSION
                                                 STATE OF UTAH
                                        Chief Sponsor: Calvin Roberts
                                       Senate Sponsor: Kirk A. Cullimore
 2
 3    LONG TITLE
 4    General Description:
 5        This bill addresses economic development planning and programs within the Governor's
 6    Office of Economic Development.
 7    Highlighted Provisions:
 8        This bill:
 9        ▸ defines terms and modifies definitions;
10        ▸ renames the Governor's Office of Economic Opportunity to the Governor's Office of
11    Economic Development;
12        ▸ exempts the Governor's Office of Economic Development from procurement
13    requirements related to the correctional industries division;
14        ▸ modifies the duties of the executive director of the Governor's Office of Economic
15    Development (executive director);
16        ▸ establishes the Economic Development Council (council);
17        ▸ describes the membership of the council;
18        ▸ describes the duties of the council;
19        ▸ establishes reporting requirements for the council;
20        ▸ requires reports to the Economic Development and Workforce Services Interim
21    Committee;
22        ▸ includes a coordination clause; and
23        ▸ makes technical and conforming changes.
24    Money Appropriated in this Bill:
25        None
26    Other Special Clauses:
27        This bill provides a special effective date.
     H.B. 475  Enrolled Copy
28        This bill provides a coordination clause.
29     Utah Code Sections Affected:
30     AMENDS:
31        9-9-104.6 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 277
32        9-9-112 (Effective 05/06/26) (Repealed 12/31/26), as last amended by Laws of Utah
33        2025, Chapter 57
34        10-21-203 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
35        First Special Session, Chapter 15
36        11-17-1.5 (Effective 05/06/26), as last amended by Laws of Utah 2010, Chapter 378
37        11-17-18 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 282
38        11-41-102 (Effective 05/06/26), as last amended by Laws of Utah 2025, First Special
39        Session, Chapter 16
40        11-58-901 (Effective 05/06/26), as last amended by Laws of Utah 2023, Chapter 435
41        11-59-304 (Effective 05/06/26) (Repealed 01/01/29), as last amended by Laws of Utah
42        2023, Chapter 263
43        11-59-501 (Effective 05/06/26) (Repealed 01/01/29), as last amended by Laws of Utah
44        2023, Chapters 263, 435
45        11-65-302 (Effective 05/06/26), as last amended by Laws of Utah 2023, Chapter 204
46        11-65-701 (Effective 05/06/26), as enacted by Laws of Utah 2022, Chapter 59
47        11-70-801 (Effective 05/06/26), as enacted by Laws of Utah 2024, Chapter 419
48        17-78-707 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
49        First Special Session, Chapter 14
50        17C-1-603 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 480
51        17C-1-606 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 480
52        17C-1-1001 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 459
53        17D-1-507 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 282
54        35A-1-104.5 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 282
55        35A-1-201 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapters 282,
56        345 and 382
57        35A-1-206 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 57
58        35A-4-312 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 96
59        35A-6-105 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 271
60        35A-8-2103 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 529
61        35A-8-2202 (Effective 05/06/26), as last amended by Laws of Utah 2022, Chapter 118
                                                      -2-
     Enrolled Copy  H.B. 475
62        46-4-503 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 344
63        49-11-406 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 425
64        49-12-203 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 64
65        49-13-203 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 64
66        49-22-205 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 64
67        53E-1-201 (Effective 05/06/26) (Partially Repealed 07/01/27), as last amended by Laws
68        of Utah 2025, First Special Session, Chapter 9
69        53E-4-308 (Effective 05/06/26), as last amended by Laws of Utah 2025, First Special
70        Session, Chapter 9
71        53H-1-402 (Effective 05/06/26) (Partially Repealed 07/01/27), as renumbered and
72        amended by Laws of Utah 2025, First Special Session, Chapter 8
73        53H-3-305 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
74        First Special Session, Chapter 8
75        53H-4-306.1 (Effective 05/06/26) (Repealed 07/01/28), as renumbered and amended by
76        Laws of Utah 2025, First Special Session, Chapter 8
77        53H-4-306.3 (Effective 05/06/26) (Repealed 07/01/28), as renumbered and amended by
78        Laws of Utah 2025, First Special Session, Chapter 8
79        53H-11-415 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
80        First Special Session, Chapter 8
81        53H-13-301 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
82        First Special Session, Chapter 8
83        53H-13-302 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
84        First Special Session, Chapter 8
85        53H-13-307 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
86        First Special Session, Chapter 8
87        53H-13-309 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
88        First Special Session, Chapter 8
89        53H-13-403 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
90        First Special Session, Chapter 8
91        53H-16-303 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2025,
92        First Special Session, Chapter 8
93        54-4-41 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapters 280, 282
94        59-1-403 (Effective 05/06/26) (Partially Repealed 07/01/29), as last amended by Laws of
95        Utah 2025, Chapters 182, 323, 400, and 498
                                                  -3-
      H.B. 475  Enrolled Copy
 96        59-7-159 (Effective 05/06/26) (Partially Repealed 12/31/26), as last amended by Laws of
 97        Utah 2025, Chapter 292
 98        59-7-614.2 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 292
 99        59-7-614.5 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 292
100        59-7-614.10 (Effective 05/06/26) (Repealed 12/31/26), as last amended by Laws of Utah
101        2025, Chapters 182, 292
102        59-7-621 (Effective 05/06/26), as last amended by Laws of Utah 2022, Chapter 195
103        59-10-137 (Effective 05/06/26) (Partially Repealed 12/31/26), as last amended by Laws
104        of Utah 2025, Chapter 292
105        59-10-1025 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 292
106        59-10-1037 (Effective 05/06/26) (Repealed 12/31/26), as last amended by Laws of Utah
107        2025, Chapters 182, 292
108        59-10-1038 (Effective 05/06/26), as last amended by Laws of Utah 2022, Chapter 195
109        59-10-1107 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 292
110        59-10-1108 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 292
111        63A-5b-403 (Effective 05/06/26), as last amended by Laws of Utah 2025, First Special
112        Session, Chapter 9
113        63B-5-201 (Effective 05/06/26), as last amended by Laws of Utah 2025, First Special
114        Session, Chapter 9
115        63B-18-401 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 282
116        63B-24-201 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 282
117        63B-30-101 (Effective 05/06/26), as enacted by Laws of Utah 2020, Third Special
118        Session, Chapter 2
119        63C-4a-202 (Effective 05/06/26) (Repealed 07/01/28), as last amended by Laws of Utah
120        2014, Chapter 387
121        63C-27-201 (Effective 05/06/26) (Repealed 07/01/32), as enacted by Laws of Utah 2022,
122        Chapter 153
123        63G-2-305 (Effective 05/06/26), as last amended by Laws of Utah 2025, First Special
124        Session, Chapter 17
125        63G-4-102 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapters 14,
126        260 and 340
127        63G-6a-804 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 159
128        63G-21-102 (Effective 05/06/26) (Repealed 07/01/28), as last amended by Laws of Utah
129        2021, Chapters 282, 344
                                                  -4-
      Enrolled Copy  H.B. 475
130        63G-21-201 (Effective 05/06/26) (Repealed 07/01/28), as last amended by Laws of Utah
131        2023, Chapter 34
132        63H-1-801 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 282
133        63J-1-602.2 (Effective 05/06/26) (Partially Repealed 07/01/29), as last amended by Laws
134        of Utah 2025, First Special Session, Chapter 17
135        63L-2-301 (Effective 05/06/26), as last amended by Laws of Utah 2022, Chapter 362
136        63L-11-402 (Effective 05/06/26) (Repealed 07/01/27), as last amended by Laws of Utah
137        2025, Chapter 140
138        63M-5-306 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 282
139        63M-11-201 (Effective 05/06/26) (Repealed 07/01/26), as last amended by Laws of Utah
140        2021, Chapters 196, 282
141        63N-1a-102 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 512
142        63N-1a-103 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 159
143        63N-1a-301 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 512
144        63N-1a-303 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 512
145        63N-1a-401 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 512
146        63N-1a-402 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 159
147        63N-2-104.2 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapters 159,
148        316
149        63N-2-504 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 159
150        63N-2-512 (Effective 05/06/26) (Superseded 07/01/26), as last amended by Laws of
151        Utah 2025, First Special Session, Chapter 17
152        63N-2-512 (Effective 07/01/26) (Repealed 07/01/28), as last amended by Laws of Utah
153        2025, Chapter 285
154        63N-2-808 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 159
155        63N-3-112 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 159
156        63N-3-603 (Effective 05/06/26), as last amended by Laws of Utah 2025, First Special
157        Session, Chapter 15
158        63N-3-603.1 (Effective 05/06/26), as enacted by Laws of Utah 2025, Chapter 29
159        63N-3-604 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 29
160        63N-3-604.1 (Effective 05/06/26), as enacted by Laws of Utah 2025, Chapter 29
161        63N-3-605 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 29
162        63N-3-606 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 29
163        63N-3-610.1 (Effective 05/06/26), as enacted by Laws of Utah 2025, Chapter 29
                                                   -5-
      H.B. 475  Enrolled Copy
164        63N-3-611 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 29
165        63N-3-1101 (Effective 05/06/26) (Repealed 07/01/28), as last amended by Laws of Utah
166        2024, Chapter 159
167        63N-3-1102 (Effective 05/06/26) (Repealed 07/01/28), as last amended by Laws of Utah
168        2024, Chapter 159
169        63N-3-1602 (Effective 05/06/26), as last amended by Laws of Utah 2025, First Special
170        Session, Chapter 15
171        63N-3-1603 (Effective 05/06/26), as enacted by Laws of Utah 2024, Chapter 537
172        63N-3-1604 (Effective 05/06/26), as enacted by Laws of Utah 2024, Chapter 537
173        63N-3-1702 (Effective 05/06/26), as enacted by Laws of Utah 2025, Chapter 495
174        63N-4-103 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 159
175        63N-4-104 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 159
176        63N-7-102 (Effective 05/06/26) (Partially Repealed 07/01/30), as last amended by Laws
177        of Utah 2024, Chapter 159
178        63N-16-102 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 400
179        63N-16-301 (Effective 05/06/26), as last amended by Laws of Utah 2024, Chapter 159
180        63N-18-201 (Effective 05/06/26), as renumbered and amended by Laws of Utah 2023,
181        Chapter 499
182        63N-20-101 (Effective 05/06/26), as last amended by Laws of Utah 2023, Chapters 252,
183        328 and renumbered and amended by Laws of Utah 2023, Chapter 380
184        67-1-2 (Effective 05/06/26), as last amended by Laws of Utah 2023, Chapter 250
185        67-3-1 (Effective 05/06/26), as last amended by Laws of Utah 2025, First Special
186        Session, Chapter 17
187        67-22-2 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 232
188        71A-9-303 (Effective 05/06/26), as enacted by Laws of Utah 2025, Chapter 71
189        72-1-209 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 282
190        72-2-503 (Effective 05/06/26), as enacted by Laws of Utah 2025, Chapter 502
191        72-4-302 (Effective 05/06/26) (Repealed 01/02/30), as last amended by Laws of Utah
192        2021, Chapters 184, 280 and 282
193        72-7-504 (Effective 05/06/26), as last amended by Laws of Utah 2021, Chapter 282
194        79-6-902 (Effective 05/06/26), as last amended by Laws of Utah 2025, First Special
195        Session, Chapter 17
196        79-7-203 (Effective 05/06/26), as last amended by Laws of Utah 2025, Chapter 270
197     ENACTS:
                                                   -6-
      Enrolled Copy  H.B. 475
198        63N-1a-501 (Effective 05/06/26), Utah Code Annotated 1953
199        63N-1a-502 (Effective 05/06/26), Utah Code Annotated 1953
200        63N-1a-503 (Effective 05/06/26), Utah Code Annotated 1953
201
202    Be it enacted by the Legislature of the state of Utah:
203  Section 1. Section 9-9-104.6 is amended to read:
204  9-9-104.6 (Effective 05/06/26). Participation of state agencies in meetings with
205    tribal leaders -- Contact information.
206    (1) For at least three of the joint meetings described in Subsection 9-9-104.5(2)(a), the
207        division shall coordinate with representatives of tribal governments and the entities
208        listed in Subsection (2) to provide for the broadest participation possible in the joint
209        meetings.
210    (2) The following may participate in all meetings described in Subsection (1):
211        (a) the chairs of the Native American Legislative Liaison Committee created in Section
212  36-22-1;
213        (b) the governor or the governor's designee;
214        (c) the American Indian-Alaska Native Public Education Liaison appointed in
215  accordance with Section 53F-5-604; and
216        (d) a representative appointed by the chief administrative officer of the following:
217  (i) the Department of Health and Human Services;
218  (ii) the Department of Natural Resources;
219  (iii) the Department of Workforce Services;
220  (iv) the Governor's Office of Economic [Opportunity] Development;
221  (v) the State Board of Education; and
222  (vi) the Utah Board of Higher Education.
223    (3)(a) The chief administrative officer of the agencies listed in Subsection (3)(b) shall:
224  (i) designate the name of a contact person for that agency that can assist in
225  coordinating the efforts of state and tribal governments in meeting the needs of the
226  Native Americans residing in the state; and
227  (ii) notify the division:
228  (A) who is the designated contact person described in Subsection (3)(a)(i); and
229  (B) of any change in who is the designated contact person described in Subsection
230  (3)(a)(i).
231        (b) This Subsection (3) applies to:
                                                      -7-
      H.B. 475  Enrolled Copy
232  (i) the Department of Agriculture and Food;
233  (ii) the Department of Cultural and Community Engagement;
234  (iii) the Department of Corrections;
235  (iv) the Department of Environmental Quality;
236  (v) the Department of Public Safety;
237  (vi) the Department of Transportation;
238  (vii) the Office of the Attorney General;
239  (viii) the State Tax Commission; and
240  (ix) any individual or agency described in Subsections (2)(c) through (d).
241  (c) At the request of the division, a contact person listed in Subsection (3)(a)(i) may
242  participate in a meeting described in Subsection (1).
243     (4)(a) A participant under this section who is not a legislator may not receive
244  compensation or benefits for the participant's service, but may receive per diem and
245  travel expenses as allowed in:
246  (i) Section 63A-3-106;
247  (ii) Section 63A-3-107; and
248  (iii) rules made by the Division of Finance according to Sections 63A-3-106 and
249  63A-3-107.
250  (b) Compensation and expenses of a participant who is a legislator are governed by
251  Section 36-2-2 and Legislative Joint Rules, Title 5, Legislative Compensation and
252  Expenses.
253  Section 2. Section 9-9-112 is amended to read:
254  9-9-112 (Effective 05/06/26) (Repealed 12/31/26). Bears Ears Visitor Center
255     Advisory Committee.
256     (1) Utah extends an invitation to the Navajo Nation, the Ute Mountain Ute Tribe, the Hopi
257  Nation, the Zuni Tribe, and the Ute Indian Tribe of the Uintah Ouray to form an
258  advisory committee for the purpose of exploring the feasibility, location, functions, and
259  other important matters surrounding the creation of a visitor center at Bears Ears.
260     (2) As used in this section:
261  (a) "Advisory committee" means the Bears Ears Visitor Center Advisory Committee
262  created by this section.
263  (b) "Bears Ears" means the Bears Ears National Monument.
264     (3)(a) Subject to Subsection (3)(b), there is created the Bears Ears Visitor Center
265  Advisory Committee consisting of the following voting members:
                                                        -8-
      Enrolled Copy  H.B. 475
266  (i) a representative of the Navajo Nation, appointed by the Navajo Nation;
267  (ii) a representative of the Ute Mountain Ute Tribe, appointed by the Ute Mountain
268  Ute Tribe;
269  (iii) a representative of the Hopi Nation, appointed by the Hopi Nation;
270  (iv) a representative of the Zuni Tribe, appointed by the Zuni Tribe; and
271  (v) a representative of the Ute Indian Tribe of the Uintah Ouray, appointed by the Ute
272  Indian Tribe of the Uintah Ouray.
273        (b) The advisory committee is formed when all of the tribes described in Subsection (1)
274  have communicated to the other tribes and to the Division of Indian Affairs that the
275  tribe has appointed a member to the advisory committee.
276        (c)(i) The president of the Senate and the speaker of the House of Representatives
277  may each appoint to the advisory committee one nonvoting individual.
278  (ii) If an individual appointed under Subsection (3)(c)(i) is a member of the
279  Legislature, the member serves as a member of the public and not in the member's
280  legislative capacity.
281    (4) The advisory committee may select from the advisory committee members the chair or
282        other officers of the advisory committee.
283    (5)(a) If a vacancy occurs in the membership of the advisory committee appointed under
284        Subsection (3), the member shall be replaced in the same manner in which the
285        original appointment was made.
286        (b) A member appointed under Subsection (3) serves until the member's successor is
287  appointed and qualified.
288    (6)(a) A majority of the voting members of the advisory committee constitutes a quorum.
289        (b) The action of a majority of a quorum constitutes an action of the advisory committee.
290    (7) An advisory committee member may not receive compensation or benefits for the
291        member's service on the advisory committee, but may receive per diem and
292        reimbursement for travel expenses incurred as an advisory committee member at the
293        rates established by the Division of Finance under:
294        (a) Sections 63A-3-106 and 63A-3-107; and
295        (b) rules made by the Division of Finance pursuant to Sections 63A-3-106 and
296  63A-3-107.
297    (8) The advisory committee may invite the United States Forest Service, the Bureau of
298        Land Management, the Division of State Parks, the Division of Outdoor Recreation, and
299        the Utah Office of Tourism within the Governor's Office of Economic [Opportunity]
                                                       -9-
      H.B. 475  Enrolled Copy
300  Development, to serve as technical advisors to the advisory committee.
301     (9) The Division of Indian Affairs shall staff the advisory committee.
302     (10) The advisory committee shall study and make recommendations concerning:
303  (a) the need for a visitor center associated with Bears Ears;
304  (b) the feasibility of a visitor center associated with Bears Ears, including investigating:
305  (i) potential locations for the visitor center;
306  (ii) purposes for the visitor center; and
307  (iii) sources of funding to build and maintain the visitor center;
308  (c) whether a visitor center will increase visitorship to Bears Ears; and
309  (d) whether a visitor center at Bears Ears could function as a repository of traditional
310  knowledge and practices.
311     (11) The advisory committee may contract with one or more consultants to conduct work
312  related to the issues raised in Subsection (10) if the Legislature appropriates money
313  expressly for the purpose of the advisory committee contracting with a consultant.
314     (12) The advisory committee shall hold at least one public hearing to obtain public
315  comment on the creation of a Bears Ears visitor center.
316     (13) The advisory committee shall report the advisory committee's recommendations to one
317  or more of the following:
318  (a) the Economic Development and Workforce Services Interim Committee;
319  (b) the House Economic Development and Workforce Services Committee; or
320  (c) the Senate Economic Development and Workforce Services Committee.
321  Section 3. Section 10-21-203 is amended to read:
322  10-21-203 (Effective 05/06/26). Station area plan requirements -- Contents --
323     Review and certification by applicable metropolitan planning organization.
324     (1)(a) Subject to the requirements of this section, a municipality that has a fixed
325  guideway public transit station located within the municipality's boundaries shall, for
326  the station area:
327  (i) develop and adopt a station area plan; and
328  (ii) adopt any appropriate land use regulations to implement the station area plan.
329  (b) The requirements of Subsection (1)(a) shall be considered satisfied if:
330  (i)(A) the municipality has already adopted plans or ordinances, approved land use
331  applications, approved agreements or financing, or investments have been
332  made, before June 1, 2022, that substantially promote each of the objectives in
333  Subsection (6)(a) within the station area, and can demonstrate that such plans,
                                                        - 10 -
      Enrolled Copy  H.B. 475
334  ordinances, approved land use applications, approved agreements or financing,
335  or investments are still relevant to making meaningful progress towards
336  achieving such objectives; and
337  (B) the municipality adopts a resolution finding that the objectives of Subsection
338  (6)(a) have been substantially promoted; or
339  (ii)(A) the municipality has determined that conditions exist that make satisfying a
340  portion or all of the requirements of Subsection (1)(a) for a station area
341  impracticable, including conditions that relate to existing development,
342  entitlements, land ownership, land uses that make opportunities for new
343  development and long-term redevelopment infeasible, environmental
344  limitations, market readiness, development impediment conditions, or other
345  similar conditions; and
346  (B) the municipality adopts a resolution describing the conditions that exist to
347  make satisfying the requirements of Subsection (1)(a) impracticable.
348        (c) To the extent that previous actions by a municipality do not satisfy the requirements
349  of Subsection (1)(a) for a station area, the municipality shall take the actions
350  necessary to satisfy those requirements.
351    (2)(a) A municipality that has a new fixed guideway public transit station located within
352        the municipality's boundaries shall satisfy the requirements of Subsection (1)(a) for
353        the station area surrounding the new fixed guideway public transit station before the
354        new fixed guideway public transit station begins transit services.
355        (b) Except as provided in Subsections (2)(c) and (d), a municipality that has an existing
356  fixed guideway public transit station located within the municipality's boundaries
357  shall satisfy the requirements of Subsection (1)(a) for the station area surrounding the
358  existing fixed guideway public transit station on or before December 31, 2025.
359        (c) If a municipality has more than four existing fixed guideway public transit stations
360  located within the municipality's boundaries, the municipality shall:
361  (i) on or before December 31, 2025, satisfy the requirements of Subsection (1)(a) for
362  four or more station areas located within the municipality; and
363  (ii) on or before December 31 of each year thereafter, satisfy the requirements of
364  Subsection (1)(a) for no less than two station areas located within the municipality
365  until the municipality has satisfied the requirements of Subsection (1)(a) for each
366  station area located within the municipality.
367        (d)(i) Subject to Subsection (2)(d)(ii):
                                                      - 11 -
      H.B. 475  Enrolled Copy
368  (A) if a municipality receives a complete qualifying land use petition on or before
369  July 1, 2022, the municipality shall satisfy the requirements of Subsection
370  (1)(a) for the station area in which the development is proposed on or before
371  July 1, 2023; and
372  (B) if a municipality receives a complete qualifying land use petition after July 1,
373  2022, the municipality shall satisfy the requirements of Subsection (1)(a) for
374  the station area in which the development is proposed within a 12-month
375  period beginning on the first day of the month immediately following the
376  month in which the qualifying land use petition is submitted to the
377  municipality, and shall notify the applicable metropolitan planning
378  organization of the receipt of the qualified land use petition within 45 days of
379  the date of receipt.
380  (ii)(A) A municipality is not required to satisfy the requirements of Subsection
381  (1)(a) for more than two station areas under Subsection (2)(d)(i) within any
382  12-month period.
383  (B) If a municipality receives more than two complete qualifying land use
384  petitions on or before July 1, 2022, the municipality shall select two station
385  areas for which the municipality will satisfy the requirements of Subsection
386  (1)(a) in accordance with Subsection (2)(d)(i)(A).
387  (iii) A municipality shall process on a first priority basis a land use application,
388  including an application for a building permit, if:
389  (A) the land use application is for a residential use within a station area for which
390  the municipality has not satisfied the requirements of Subsection (1)(a); and
391  (B) the municipality would be required to change a zoning designation for the
392  land use application to be approved.
393        (e) Notwithstanding Subsections (2)(a) through (d), the time period for satisfying the
394  requirements of Subsection (1)(a) for a station area may be extended once for a
395  period of 12 months if:
396  (i) the municipality demonstrates to the applicable metropolitan planning
397  organization that conditions exist that make satisfying the requirements of
398  Subsection (1)(a) within the required time period infeasible, despite the
399  municipality's good faith efforts; and
400  (ii) the applicable metropolitan planning organization certifies to the municipality in
401  writing that the municipality satisfied the demonstration in Subsection (2)(e)(i).
                                                       - 12 -
      Enrolled Copy  H.B. 475
402    (3)(a) Except as provided in Subsection (3)(b), if a station area is included within the
403        boundaries of more than one municipality, each municipality with jurisdiction over
404        the station area shall satisfy the requirements of Subsection (1)(a) for the portion of
405        the station area over which the municipality has jurisdiction.
406        (b) Two or more municipalities with jurisdiction over a station area may coordinate to
407  develop a shared station area plan for the entire station area.
408    (4) A municipality that has more than one fixed guideway public transit station located
409        within the municipality may, through an integrated process, develop station area plans
410        for multiple station areas if the station areas are within close proximity of each other.
411    (5)(a) A municipality that is required to develop and adopt a station area plan under this
412        section may request technical assistance from the applicable metropolitan planning
413        organization.
414        (b) An applicable metropolitan planning organization that receives funds from the
415  Governor's Office of Economic [Opportunity] Development under Section 63N-3-113
416  shall, when utilizing the funds, give priority consideration to requests for technical
417  assistance for station area plans required under Subsection (2)(d).
418    (6)(a) A station area plan shall promote the following objectives within the station area:
419  (i) increasing the availability and affordability of housing, including moderate
420  income housing;
421  (ii) promoting sustainable environmental conditions;
422  (iii) enhancing access to opportunities; and
423  (iv) increasing transportation choices and connections.
424        (b)(i) To promote the objective described in Subsection (6)(a)(i), a municipality may
425  consider implementing the following actions:
426  (A) aligning the station area plan with the moderate income housing element of
427  the municipality's general plan;
428  (B) providing for densities necessary to facilitate the development of moderate
429  income housing;
430  (C) providing for affordable costs of living in connection with housing,
431  transportation, and parking; or
432  (D) any other similar action that promotes the objective described in Subsection
433  (6)(a)(i).
434  (ii) To promote the objective described in Subsection (6)(a)(ii), a municipality may
435  consider implementing the following actions:
                                                     - 13 -
      H.B. 475  Enrolled Copy
436  (A) conserving water resources through efficient land use;
437  (B) improving air quality by reducing fuel consumption and motor vehicle trips;
438  (C) establishing parks, open spaces, and recreational opportunities; or
439  (D) any other similar action that promotes the objective described in Subsection
440  (6)(a)(ii).
441  (iii) To promote the objective described in Subsection (6)(a)(iii), a municipality may
442  consider the following actions:
443  (A) maintaining and improving the connections between housing, transit,
444  employment, education, recreation, and commerce;
445  (B) encouraging mixed-use development;
446  (C) enabling employment and educational opportunities within the station area;
447  (D) encouraging and promoting enhanced broadband connectivity; or
448  (E) any other similar action that promotes the objective described in Subsection
449  (6)(a)(iii).
450  (iv) To promote the objective described in Subsection (6)(a)(iv), a municipality may
451  consider the following:
452  (A) supporting investment in infrastructure for all modes of transportation;
453  (B) increasing utilization of public transit;
454  (C) encouraging safe streets through the designation of pedestrian walkways and
455  bicycle lanes;
456  (D) encouraging manageable and reliable traffic conditions;
457  (E) aligning the station area plan with the regional transportation plan of the
458  applicable metropolitan planning organization; or
459  (F) any other similar action that promotes the objective described in Subsection
460  (6)(a)(iv).
461     (7) A station area plan shall include the following components:
462  (a) a station area vision that:
463  (i) is consistent with Subsection (6); and
464  (ii) describes the following:
465  (A) opportunities for the development of land within the station area under
466  existing conditions;
467  (B) constraints on the development of land within the station area under existing
468  conditions;
469  (C) the municipality's objectives for the transportation system within the station
                                                       - 14 -
      Enrolled Copy  H.B. 475
470  area and the future transportation system that meets those objectives;
471  (D) the municipality's objectives for land uses within the station area and the
472  future land uses that meet those objectives;
473  (E) the municipality's objectives for public and open spaces within the station area
474  and the future public and open spaces that meet those objectives; and
475  (F) the municipality's objectives for the development of land within the station
476  area and the future development standards that meet those objectives;
477        (b) a map that depicts:
478  (i) the station area;
479  (ii) the area within the station area to which the station area plan applies, provided
480  that the station area plan may apply to areas outside the station area, and the
481  station area plan is not required to apply to the entire station area; and
482  (iii) the area where each action is needed to implement the station area plan;
483        (c) an implementation plan that identifies and describes each action needed within the
484  next five years to implement the station area plan, and the party responsible for
485  taking each action, including any actions to:
486  (i) modify land use regulations;
487  (ii) make infrastructure improvements;
488  (iii) modify deeds or other relevant legal documents;
489  (iv) secure funding or develop funding strategies;
490  (v) establish design standards for development within the station area; or
491  (vi) provide environmental remediation;
492        (d) a statement that explains how the station area plan promotes the objectives described
493  in Subsection (6)(a); and
494        (e) as an alternative or supplement to the requirements of Subsection (6) or this
495  Subsection (7), and for purposes of Subsection (1)(b)(ii), a statement that describes
496  any conditions that would make the following impracticable:
497  (i) promoting the objectives described in Subsection (6)(a); or
498  (ii) satisfying the requirements of this Subsection (7).
499    (8) A municipality shall develop a station area plan with the involvement of all relevant
500        stakeholders that have an interest in the station area through public outreach and
501        community engagement, including:
502        (a) other impacted communities;
503        (b) the applicable public transit district;
                                                         - 15 -
      H.B. 475  Enrolled Copy
504  (c) the applicable metropolitan planning organization;
505  (d) the Department of Transportation;
506  (e) owners of property within the station area; and
507  (f) the municipality's residents and business owners.
508     (9)(a) A municipality that is required to develop and adopt a station area plan for a
509  station area under this section shall submit to the applicable metropolitan planning
510  organization and the applicable public transit district documentation evidencing that
511  the municipality has satisfied the requirement of Subsection (1)(a)(i) for the station
512  area, including:
513  (i) a station area plan; or
514  (ii) a resolution adopted under Subsection (1)(b)(i) or (ii).
515  (b) The applicable metropolitan planning organization, in consultation with the
516  applicable public transit district, shall:
517  (i) review the documentation submitted under Subsection (9)(a) to determine the
518  municipality's compliance with this section; and
519  (ii) provide written certification to the municipality if the applicable metropolitan
520  planning organization determines that the municipality has satisfied the
521  requirement of Subsection (1)(a)(i) for the station area.
522  (c) The municipality shall include the certification described in Subsection (9)(b)(ii) in
523  the municipality's report to the Department of Workforce Services under Section
524  10-21-202.
525     (10)(a) Following certification by a metropolitan planning organization of a
526  municipality's station area plan under Subsection (9)(b)(ii), the municipality shall
527  provide a report to the applicable metropolitan planning organization on or before
528  December 31 of the fifth year after the year in which the station area plan was
529  certified, and every five years thereafter for a period not to exceed 15 years.
530  (b) The report described in Subsection (10)(a) shall:
531  (i) contain the status of advancing the station area plan objectives, including, if
532  applicable, actions described in the implementation plan required in Subsection
533  (7)(c); and
534  (ii) identify potential actions over the next five years that would advance the station
535  area plan objectives.
536  (c) If a municipality has multiple certified station area plans, the municipality may
537  consolidate the reports required in Subsection (10)(a) for the purpose of submitting
                                                         - 16 -
      Enrolled Copy  H.B. 475
538  reports to the metropolitan planning organization.
539  Section 4. Section 11-17-1.5 is amended to read:
540  11-17-1.5 (Effective 05/06/26). Purpose of chapter.
541    (1)(a) The purposes of this chapter are to stimulate the economic growth of the state, to
542        promote employment and achieve greater industrial development in the state, to
543        maintain or enlarge domestic or foreign markets for Utah industrial products, to
544        authorize municipalities and counties in the state to facilitate capital formation,
545        finance, acquire, own, lease, or sell projects for the purpose of reducing, abating, or
546        preventing pollution and to protect and promote the health, welfare, and safety of the
547        citizens of the state and to improve local health and the general welfare by inducing
548        corporations, persons, or entities engaged in health care services, including hospitals,
549        nursing homes, extended care facilities, facilities for the care of persons with a
550        physical or mental disability, and administrative and support facilities, to locate,
551        relocate, modernize, or expand in this state and to assist in the formation of
552        investment capital with respect thereto.
553        (b) The Legislature declares that the acquisition or financing, or both, of projects under [
554  the Utah Industrial Facilities and Development Act] this chapter and the issuance of
555  bonds under [it] this chapter constitutes a proper public purpose.
556    (2)(a) It is declared that the policy of the state is to encourage the development of free
557        enterprise and entrepreneurship for the purpose of the expansion of employment
558        opportunities and economic development.
559        (b) It is declared that there exists in the state an inadequate amount of locally managed,
560  pooled venture capital in the private sector available to invest in early stage
561  businesses having high growth potential and that can provide jobs for Utah citizens.
562        (c) It is found that venture capital is required for healthy economic development of
563  sectors of the economy having high growth and employment potential.
564        (d) It is further found that the public economic development purposes of the state[ and its] ,
565  counties, and municipalities can be fostered by the sale of industrial revenue bonds
566  for the purpose of providing funding for locally managed, pooled new venture and
567  economic development funds in accordance with the provisions of this chapter.
568        (e) It is declared that in order to assure adequate investment of private capital for these
569  uses, cooperation between private enterprise and state and local government is
570  necessary and in the public interest and that the facilitation of capital accumulation is
571  the appropriate activity of[ the counties and municipalities of this state and also of ] :
                                                      - 17 -
      H.B. 475  Enrolled Copy
572  (i) a county;
573  (ii) a municipality; and
574  (iii) the Governor's Office of Economic [Opportunity] Development.
575        (f) It is found that venture capital funds historically, because of the more intensive
576  nature of their relationship with companies in which [they] the funds invest, tend to
577  concentrate [their ]investments within a relatively close geographical area to their
578  headquarters location.
579        (g)(i) It is found and declared that investors in economic development or new venture
580  investment funds require for the overall security of their investments reasonable
581  diversification of investment portfolios and that, in the course of this
582  diversification, investments are often syndicated or jointly made among several
583  financial institutions or funds.
584  (ii) It is expressly found and declared that an economic development or new venture
585  investment fund shall, from time to time for [its ]optimal profitability and
586  efficiency[ (] , which are important for the security and profit of bond purchasers
587  providing funds therefor[)] , cooperate with others who may be located outside of [
588  Utah] the state or the county or municipality where the fund is headquartered in the
589  making of investments and [that the fund shall ]be free in the interests of
590  reciprocal relationships with other financial institutions and diversification of risks
591  to invest from time to time in enterprises that are located outside of [Utah] the state
592  or the counties or municipalities.
593  (iii) It is specifically found that [such ]activity by a locally managed fund, funded in
594  whole or in part with the proceeds of bonds sold under this chapter, is within the
595  public purposes of the state and any county or municipality offering the bonds,
596  provided that the fund locates within [Utah] the state or the county or municipality [
597  its] the fund's headquarters where [its] the fund's actual investment decisions and
598  management functions occur and limits the aggregate amount of [its] the fund's
599  investments in companies located outside of [Utah] the state to an amount that in
600  the aggregate does not exceed the aggregate amount of investments made by
601  institutions and funds located outside of [Utah] the state in Utah companies, that
602  the locally managed fund has sponsored or in which [it] the locally managed fund
603  has invested and that [it] the locally managed fund has brought to the attention of
604  investors outside of [Utah] the state.
605  Section 5. Section 11-17-18 is amended to read:
                                                       - 18 -
      Enrolled Copy  H.B. 475
606  11-17-18 (Effective 05/06/26). Powers of Governor's Office of Economic
607    Development.
608    (1) For purposes of this chapter and for the purposes of the Utah Interlocal
609        Cooperation Act, the Governor's Office of Economic [Opportunity] Development,
610        created in Section 63N-1a-301, has all the powers set out in this chapter of, and is
611        subject to the same limitations as, a municipality as though the office were defined as a
612        municipality for purposes of this chapter, but it shall have such powers with respect to
613        economic development or new venture investment fund projects only.[ It]
614    (2) The Governor's Office of Economic Development is not authorized to exercise such
615        powers in any manner which will create general obligations of the state or any agency,
616        department, division, or political subdivision [thereof] of the state.
617  Section 6. Section 11-41-102 is amended to read:
618  11-41-102 (Effective 05/06/26). Definitions.
619       As used in this chapter:
620    (1) "Agreement" means an oral or written agreement between a public entity and a person.
621    (2) "Business entity" means a sole proprietorship, partnership, limited partnership, limited
622        liability company, corporation, or other entity or association used to carry on a business
623        for profit.
624    (3) "Determination of violation" means a determination by the Governor's Office of
625        Economic [Opportunity] Development of substantial likelihood that a retail facility
626        incentive payment has been made in violation of Section 11-41-103, in accordance with
627        Section 11-41-104.
628    (4) "Environmental mitigation" means an action or activity intended to remedy known
629        negative impacts to the environment.
630    (5) "Executive director" means the executive director of the Governor's Office of Economic [
631        Opportunity] Development.
632    (6) "General plan" means the same as that term is defined in Section 23A-6-101.
633    (7) "Legislative body" means the same as that term is defined in:
634        (a) Section 10-20-102; or
635        (b) Section 17-79-102.
636    (8) "Mixed-use development" means development with mixed land uses, including housing.
637    (9) "Moderate income housing" means housing occupied or reserved for occupancy by
638        households with a gross household income equal to or less than 80% of the median gross
639        income for households of the same size in the county in which the housing is located.
                                                     - 19 -
      H.B. 475  Enrolled Copy
640     (10) "Moderate income housing plan" means the moderate income housing plan element of
641  a general plan.
642     (11) "Office" means the Governor's Office of Economic [Opportunity] Development created
643  in Section 63N-1a-301.
644     (12) "Political subdivision" means any county, city, town, school district, special district,
645  special service district, community reinvestment agency, or entity created by an
646  interlocal agreement adopted under Chapter 13, Interlocal Cooperation Act.
647     (13) "Public entity" means:
648  (a) a political subdivision;
649  (b) a department, commission, board, council, agency, institution, officer, corporation,
650  fund, division, office, committee, authority, laboratory, library, unit, bureau, panel, or
651  other administrative unit of the executive branch of the state;
652  (c) an institution of higher education as defined in Section 53H-1-101;
653  (d) the Military Installation Development Authority created in Section 63H-1-201;
654  (e) the Utah Inland Port Authority created in Section 11-58-201; or
655  (f) the Point of the Mountain State Land Authority created in Section 11-59-201.
656     (14) "Public funds" means any money received by a public entity that is derived from:
657  (a) a sales and use tax authorized under Title 59, Chapter 12, Sales and Use Tax Act; or
658  (b) a property tax levy.
659     (15) "Public infrastructure" means:
660  (a) a public facility, as defined in Section 11-36a-102;
661  (b) a system improvement, as defined in Section 11-36a-102; or
662  (c) infrastructure developed with public funds included as part of an infrastructure
663  master plan related to a general plan.
664     (16) "Retail facility" means any facility operated by a business entity for the primary
665  purpose of making retail transactions.
666     (17) "Retail facility incentive payment" means a payment of public funds:
667  (a) to a person by a public entity;
668  (b) for the development, construction, renovation, or operation of a retail facility within
669  an area of the state; and
670  (c) in the form of:
671  (i) a payment;
672  (ii) a rebate;
673  (iii) a refund;
                                                       - 20 -
      Enrolled Copy  H.B. 475
674  (iv) a subsidy; or
675  (v) any other similar incentive, award, or offset.
676    (18) "Retail transaction" means any transaction subject to a sales and use tax under Title 59,
677        Chapter 12, Sales and Use Tax Act.
678    (19)(a) "Small business" means a business entity that:
679  (i) has fewer than 30 full-time equivalent employees; and
680  (ii) maintains the business entity's principal office in the state.
681        (b) "Small business" does not include:
682  (i) a franchisee, as defined in 16 C.F.R. Sec. 436.1;
683  (ii) a dealer, as defined in Section 41-1a-102; or
684  (iii) a subsidiary or affiliate of another business entity that is not a small business.
685  Section 7. Section 11-58-901 is amended to read:
686  11-58-901 (Effective 05/06/26). Dissolution of port authority -- Restrictions --
687    Notice of dissolution -- Disposition of port authority property -- Port authority records --
688    Dissolution expenses.
689    (1) The authority may not be dissolved unless the authority has no outstanding bonded
690        indebtedness, other unpaid loans, indebtedness, or advances, and no legally binding
691        contractual obligations with persons or entities other than the state.
692    (2) Upon the dissolution of the authority:
693        (a) the Governor's Office of Economic [Opportunity] Development shall publish a notice
694  of dissolution:
695  (i) for the county in which the dissolved authority is located, as a class A notice under
696  Section 63G-30-102, for at least seven days; and
697  (ii) as required in Section 45-1-101; and
698        (b) all title to property owned by the authority vests in the state.
699    (3) The books, documents, records, papers, and seal of each dissolved authority shall be
700        deposited for safekeeping and reference with the state auditor.
701    (4) The authority shall pay all expenses of the deactivation and dissolution.
702  Section 8. Section 11-59-304 is amended to read:
703  11-59-304 (Effective 05/06/26) (Repealed 01/01/29). Staff and other support
704    services -- Cooperation from state and local government entities -- Services from state
705    agencies.
706    (1) As used in this section, "office" means the Governor's Office of Economic [Opportunity]
707        Development, created in Section 63N-1a-301.
                                                      - 21 -
      H.B. 475  Enrolled Copy
708     (2) If and as requested by the board:
709  (a) the facilities division shall:
710  (i) provide staff support to the board; and
711  (ii) make available to the board existing division resources and expertise to assist the
712  board in the development, marketing, and disposition of the point of the mountain
713  state land; and
714  (b) the office shall cooperate with and provide assistance to the board in the board's:
715  (i) formulation of a development plan for the point of the mountain state land; and
716  (ii) management and implementation of a development plan, including the marketing
717  of property and recruitment of businesses and others to locate on the point of the
718  mountain state land.
719     (3) A department, division, or other agency of the state and a political subdivision of the
720  state shall cooperate with the authority and the board to the fullest extent possible to
721  provide whatever support, information, or other assistance the board requests that is
722  reasonably necessary to help the authority fulfill [its] the authority's duties and
723  responsibilities under this chapter.
724     (4)(a) The authority may request and, upon request, shall receive services that include:
725  (i) fuel dispensing and motor pool services provided by the Division of Fleet
726  Operations;
727  (ii) surplus property services provided by the Division of Purchasing and General
728  Service;
729  (iii) information technology services provided by the Division of Technology
730  Services;
731  (iv) archive services provided by the Division of Archives and Records Service;
732  (v) financial services provided by the Division of Finance;
733  (vi) human resource management services provided by the Division of Human
734  Resource Management;
735  (vii) legal services provided by the Office of the Attorney General; and
736  (viii) banking services provided by the Office of the State Treasurer.
737  (b) Nothing in Subsection (4)(a) may be construed to relieve the authority of the
738  obligation to pay the applicable fee for the service provided.
739  Section 9. Section 11-59-501 is amended to read:
740  11-59-501 (Effective 05/06/26) (Repealed 01/01/29). Dissolution of authority --
741     Restrictions -- Publishing notice of dissolution -- Authority records -- Dissolution
                                                      - 22 -
      Enrolled Copy  H.B. 475
742    expenses.
743    (1) The authority may not be dissolved unless:
744        (a) the authority board first receives approval from the Legislative Management
745  Committee of the Legislature to dissolve the authority; and
746        (b) the authority has no outstanding bonded indebtedness, other unpaid loans,
747  indebtedness, or advances, and no legally binding contractual obligations with
748  persons or entities other than the state.
749    (2) To dissolve the authority, the board shall:
750        (a) obtain the approval of the Legislative Management Committee of the Legislature; and
751        (b) adopt a resolution dissolving the authority, to become effective as provided in the
752  resolution.
753    (3) Upon the dissolution of the authority:
754        (a) the Governor's Office of Economic [Opportunity] Development shall publish a notice
755  of dissolution:
756  (i) for the county in which the dissolved authority is located, as a class A notice under
757  Section 63G-30-102, for at least seven days; and
758  (ii) as required in Section 45-1-101; and
759        (b) all title to property owned by the authority vests in the facilities division for the
760  benefit of the state.
761    (4) The board shall deposit all books, documents, records, papers, and seal of the dissolved
762        authority with the state auditor for safekeeping and reference.
763    (5) The authority shall pay all expenses of the deactivation and dissolution.
764  Section 10. Section 11-65-302 is amended to read:
765  11-65-302 (Effective 05/06/26). Number of board members -- Appointment --
766    Vacancies.
767    (1) The lake authority's board shall consist of 15 members, as provided in Subsection (2).
768    (2)(a) The governor shall appoint two board members, at least one of whom shall be
769        from the Governor's Office of Economic [Opportunity] Development created in
770        Section 63N-1a-301.
771        (b) The president of the Senate shall appoint as one board member an individual who
772  holds office as a member of the Senate and whose Senate district includes an area
773  within Utah County.
774        (c) The speaker of the House of Representatives shall appoint as one board member an
775  individual who holds office as a member of the House of Representatives and whose
                                                      - 23 -
      H.B. 475  Enrolled Copy
776  House of Representatives district includes an area within Utah County.
777  (d) The legislative body of Utah County shall appoint a member of the legislative body
778  of Utah County as a board member.
779  (e)(i) The Utah County Council of Governments shall appoint eight board members,
780  at least one of whom shall be an individual selected from among individuals
781  designated by chambers of commerce in Utah County, each of which may
782  recommend an individual for appointment to the board.
783  (ii) Except for a member appointed as designated by a chamber of commerce in Utah
784  County, all members appointed by the Utah County Council of Governments shall
785  be elected officials from municipalities whose boundaries are no more than one
786  half mile from the lake authority boundary.
787  (iii) The initial members appointed by the Utah County Council of Governments
788  shall include:
789  (A) an individual designated by the legislative body of the city of Lehi;
790  (B) an individual designated by the legislative body of the city of Lindon;
791  (C) an individual designated by the legislative body of the city of Spanish Fork;
792  (D) an individual who is an elected officer of the city of Provo, designated by the
793  mayor of the city of Provo;
794  (E) an individual who is an elected officer of the city of Orem, designated by the
795  legislative body of the city of Orem;
796  (F) an individual who is an elected officer of the city of Vineyard, designated by
797  the legislative body of the city of Vineyard; and
798  (G) an individual who is an elected officer of the city of Saratoga Springs,
799  designated by the legislative body of the city of Saratoga Springs.
800  (f) The executive director of the Department of Natural Resources shall appoint one
801  board member.
802  (g) The executive director of the Department of Environmental Quality shall appoint one
803  board member.
804     (3) Appointments required under Subsection (2) shall be made no later than June 1, 2022.
805     (4)(a) A vacancy in the board shall be filled in the same manner under this section as the
806  appointment of the member whose vacancy is being filled.
807  (b) An individual appointed to fill a vacancy shall serve the remaining unexpired term of
808  the member whose vacancy the individual is filling.
809     (5) A member of the board appointed by the governor, president of the Senate, or speaker
                                                       - 24 -
      Enrolled Copy  H.B. 475
810        of the House of Representatives serves at the pleasure of and may be removed and
811        replaced at any time, with or without cause, by the governor, president of the Senate, or
812        speaker of the House of Representatives, respectively.
813    (6) The lake authority may appoint nonvoting members of the board and set terms for those
814        nonvoting members.
815    (7) Upon a vote of a majority of all board members, the board may appoint a board chair
816        and any other officer of the board.
817    (8) The board:
818        (a) may appoint one or more advisory committees that may include individuals from
819  impacted public entities, community organizations, environmental organizations,
820  business organizations, or other organizations or associations; and
821        (b) shall appoint an advisory committee to advise on:
822  (i) water rights, water projects, and water facilities associated with Utah Lake; and
823  (ii) recreation and avian and other wildlife activities on Utah Lake.
824  Section 11. Section 11-65-701 is amended to read:
825  11-65-701 (Effective 05/06/26). Dissolution of lake authority -- Restrictions --
826    Notice of dissolution -- Disposition of lake authority property -- Lake authority records --
827    Dissolution expenses.
828    (1) The lake authority may not be dissolved unless the lake authority has no outstanding
829        bonded indebtedness, other unpaid loans, indebtedness, or advances, and no legally
830        binding contractual obligations with persons or entities other than the state.
831    (2) Upon the dissolution of the lake authority:
832        (a) the Governor's Office of Economic [Opportunity] Development shall publish a notice
833  of dissolution as required in Section 45-1-101; and
834        (b) all title to property owned by the lake authority vests in the state.
835    (3) The books, documents, records, papers, and seal of the dissolved lake authority shall be
836        deposited for safekeeping and reference with the state auditor.
837    (4) The lake authority shall pay all expenses of the deactivation and dissolution.
838  Section 12. Section 11-70-801 is amended to read:
839  11-70-801 (Effective 05/06/26). Dissolution of fairpark district -- Restrictions --
840    Notice of dissolution -- Disposition of fairpark district property -- Fairpark district
841    records -- Dissolution expenses.
842    (1) The fairpark district may not be dissolved unless the fairpark district has no outstanding
843        bonded indebtedness, other unpaid loans, indebtedness, or advances, and no legally
                                                     - 25 -
      H.B. 475  Enrolled Copy
844  binding contractual obligations with persons or entities other than the state.
845     (2) Upon the dissolution of the fairpark district:
846  (a) the Governor's Office of Economic [Opportunity] Development shall publish a notice
847  of dissolution:
848  (i) for the county in which the dissolved fairpark district is located, as a class A
849  notice under Section 63G-30-102, for at least seven days; and
850  (ii) as required in Section 45-1-101; and
851  (b) all title to property owned by the fairpark district vests in the state.
852     (3) The books, documents, records, papers, and seal of each dissolved fairpark district shall
853  be deposited for safekeeping and reference with the state auditor.
854     (4) The fairpark district shall pay all expenses of the deactivation and dissolution.
855  Section 13. Section 17-78-707 is amended to read:
856  17-78-707 (Effective 05/06/26). Payment to Stay Another Day and Bounce Back
857     Fund and Hotel Impact Mitigation Fund.
858        A county in which a qualified hotel, as defined in Section 63N-2-502, is located shall:
859     (1) make an annual payment to the Division of Finance:
860  (a) for deposit into the Stay Another Day and Bounce Back Fund, established in Section
861  63N-2-511;
862  (b) for any year in which the Governor's Office of Economic [Opportunity] Development
863  provides a convention incentive, as defined in Section 63N-2-502; and
864  (c) in the amount of 5% of the state portion, as defined in Section 63N-2-502; and
865     (2) make payments to the Division of Finance:
866  (a) for deposit into the Hotel Impact Mitigation Fund, created in Section 63N-2-512;
867  (b) for each year described in Subsection 63N-2-512(5) during which the balance of the
868  Hotel Impact Mitigation Fund, defined in Section 63N-2-512, is less than $2,100,000
869  before any payment for that year under Subsection 63N-2-512(5); and
870  (c) in the amount of the difference between $2,100,000 and the balance of the Hotel
871  Impact Mitigation Fund, defined in Section 63N-2-512, before any payment for that
872  year under Subsection 63N-2-512(5).
873  Section 14. Section 17C-1-603 is amended to read:
874  17C-1-603 (Effective 05/06/26). Reporting requirements -- Governor's Office of
875     Economic Development to maintain a database.
876     (1) As used in this section:
877  (a) "Database" means the collection of electronic data described in Subsection (2)(a).
                                                       - 26 -
      Enrolled Copy  H.B. 475
878        (b) "Office" means the Governor's Office of Economic [Opportunity] Development
879  created in Section 63N-1a-301.
880        (c) "Office website" means a public website maintained by the office.
881    (2) The office shall:
882        (a) create and maintain electronic data to track information for each agency located
883  within the state; and
884        (b) make the database publicly accessible from the office website.
885    (3)(a) The office may:
886  (i) contract with a third party to create and maintain the database; and
887  (ii) charge a fee for a county, city, or agency to provide information to the database.
888        (b) The office shall make rules, in accordance with Title 63G, Chapter 3, Utah
889  Administrative Rulemaking Act, to establish a fee schedule for the fee described in
890  Subsection (3)(a)(ii).
891    (4) On or before June 30 of each year, an agency shall, for each active project area for
892        which the project area funds collection period has not expired, submit to the office for
893        inclusion in the database the following information:
894        (a) an assessment of the change in marginal value, including:
895  (i) the base year;
896  (ii) the estimated current assessed value;
897  (iii) the percentage change in marginal value; and
898  (iv) a narrative description of the relative growth in assessed value;
899        (b) the amount of project area funds the agency received and the amount of project area
900  funds the agency spent for each year of the project area funds collection period,
901  broken down by the applicable budget or funds analysis category described in
902  Subsection (4)(d), including:
903  (i) a comparison of the actual project area funds received and spent for each year to
904  the amount of project area funds forecasted for each year when the project area
905  was created, if available;
906  (ii)(A) the agency's historical receipts and expenditures of project area funds,
907  including the tax year for which the agency first received project area funds
908  from the project area; or
909  (B) if the agency has not yet received project area funds from the project area, the
910  year in which the agency expects each project area funds collection period to
911  begin;
                                                    - 27 -
      H.B. 475  Enrolled Copy
912  (iii) a list of each taxing entity that levies or imposes a tax within the project area and
913  a description of the benefits that each taxing entity receives from the project area;
914  and
915  (iv) the amount paid to other taxing entities under Section 17C-1-410, if applicable;
916        (c) a description of current and anticipated project area development, including:
917  (i) a narrative of any significant project area development, including infrastructure
918  development, site development, participation agreements, or vertical construction;
919  and
920  (ii) other details of development within the project area, including:
921  (A) the total developed acreage;
922  (B) the total undeveloped acreage;
923  (C) the percentage of residential development; and
924  (D) the total number of housing units authorized, if applicable;
925        (d) the project area budget, if applicable, or other project area funds analyses, with
926  receipts and expenditures categorized by the type of receipt and expenditure related
927  to the development performed or to be performed under the project area plan,
928  including:
929  (i) each project area funds collection period, including:
930  (A) the start and end date of the project area funds collection period; and
931  (B) the number of years remaining in each project area funds collection period;
932  (ii) the amount of project area funds the agency is authorized to receive from the
933  project area cumulatively and from each taxing entity, including:
934  (A) the total dollar amount; and
935  (B) the percentage of the total amount of project area funds generated within the
936  project area;
937  (iii) the remaining amount of project area funds the agency is authorized to receive
938  from the project area cumulatively and from each taxing entity; and
939  (iv) the amount of project area funds the agency is authorized to use to pay for the
940  agency's administrative costs, as described in Subsection 17C-1-409(1), including:
941  (A) the total dollar amount; and
942  (B) the percentage of the total amount of all project area funds;
943        (e) the estimated amount of project area funds that the agency is authorized to receive
944  from the project area for the current calendar year;
945        (f) the estimated amount of project area funds to be paid to the agency for the next
                                                       - 28 -
      Enrolled Copy  H.B. 475
946  calendar year;
947        (g) a map of the project area;
948        (h) a description of how the goals, policies, and purposes of the project area plan have
949  been furthered during the preceding year; and
950        (i) any other relevant information the agency elects to provide.
951    (5) An agency with no active project area shall, no later than June 30 of each year until the
952        agency is dissolved under Section 17C-1-701.5, submit a report to the office stating that
953        the agency has no active project area.
954    (6) Any information an agency submits in accordance with this section:
955        (a) is for informational purposes only; and
956        (b) does not alter the amount of project area funds that an agency is authorized to receive
957  from a project area.
958    (7) The provisions of this section apply regardless of when the agency or project area is
959        created.
960    (8) On or before September 1 of each year, the office shall prepare and submit an annual
961        written report to the Political Subdivisions Interim Committee that identifies the
962        agencies that complied and the agencies that failed to comply with the reporting
963        requirements of this section during the preceding reporting period.
964    (9)(a) If, by September 30 of the year the information is due, the office does not receive
965        the information that an agency is required to submit under Subsection (4), the office
966        shall:
967  (i) refer the noncompliant agency to the state auditor for review; and
968  (ii) post a notice on the office website identifying the noncompliant agency and
969  describing the agency's noncompliance.
970        (b) If the office does not receive a report an agency is required to submit under
971  Subsection (5), the office shall refer the noncompliant agency to the state auditor for
972  review.
973        (c) If, for two consecutive years, the office does not receive information an agency is
974  required to submit under Subsection (4):
975  (i) the office shall, no later than July 31 of the second consecutive year, notify the
976  auditor and treasurer of the county in which the noncompliant agency is located of
977  the agency's noncompliance; and
978  (ii) upon receiving the notice described in Subsection (9)(c)(i), the county treasurer
979  shall withhold from the agency 20% of the amount of tax increment the agency is
                                                      - 29 -
       H.B. 475  Enrolled Copy
 980  otherwise entitled to receive.
 981  (d) If, after having funds withheld under Subsection (9)(c)(ii), an agency complies with
 982  Subsection (4):
 983  (i) the office shall notify the county auditor and treasurer that the agency has
 984  complied with the requirement of Subsection (4); and
 985  (ii) the county treasurer shall disburse the withheld funds to the agency.
 986  Section 15. Section 17C-1-606 is amended to read:
 987  17C-1-606 (Effective 05/06/26). County auditor report on project areas.
 988     (1)(a) On or before March 31 of each year, the auditor of each county in which an
 989  agency is located shall prepare a report on the project areas within each agency.
 990  (b) The county auditor shall send a copy of each report under Subsection (1)(a) to the
 991  agency that is the subject of the report, the State Tax Commission, the State Board of
 992  Education, and each taxing entity from which the agency receives tax increment.
 993  (c) On or before March 31 of each year, the county auditor shall submit a copy of each
 994  report under Subsection (1)(a) to the Governor's Office of Economic [Opportunity]
 995  Development for inclusion in the database described in Section 17C-1-603.
 996     (2) Each report under Subsection (1)(a) shall report:
 997  (a) the total assessed property value within each project area for the previous tax year;
 998  (b) the base taxable value of each project area for the previous tax year;
 999  (c) the tax increment available to be paid to the agency for the previous tax year;
1000  (d) the tax increment requested by the agency for the previous tax year; and
1001  (e) the tax increment paid to the agency for the previous tax year.
1002     (3) Within 30 days after a request by an agency, the State Tax Commission, the State Board
1003  of Education, or any taxing entity from which the agency receives tax increment, the
1004  county auditor or the county assessor shall provide access to:
1005  (a) the county auditor's method and calculations used to make adjustments under Section
1006  17C-1-408;
1007  (b) the unequalized assessed valuation of an existing or proposed project area, or any
1008  parcel or parcels within an existing or proposed project area, if the equalized assessed
1009  valuation has not yet been determined for that year;
1010  (c) the most recent equalized assessed valuation of an existing or proposed project area
1011  or any parcel or parcels within an existing or proposed project area; and
1012  (d) the tax rate of each taxing entity adopted as of November 1 for the previous tax year.
1013     (4) Each report described in Subsection (1)(a) shall include:
                                                       - 30 -
       Enrolled Copy  H.B. 475
1014        (a) sufficient detail regarding the calculations performed by a county auditor so that an
1015  agency or other interested party could repeat and verify the calculations; and
1016        (b) a detailed explanation of any adjustments made to the base taxable value of each
1017  project area.
1018  Section 16. Section 17C-1-1001 is amended to read:
1019  17C-1-1001 (Effective 05/06/26). Definitions.
1020       As used in this part:
1021    (1)(a) "Agency-wide project development" means activity within the agency's
1022        boundaries that, as determined by the board, encourages, promotes, or provides
1023        development or redevelopment for the purpose of achieving the results described in
1024        an implementation plan, including affordable housing.
1025        (b) "Agency-wide project development" does not include project area development
1026  under a project area plan.
1027    (2) "Certified tax rate" means the same as that term is defined in Section 59-2-924.
1028    (3) "Cooperative development project" means project area development with impacts that
1029        extend beyond an agency's geographic boundaries to the benefit of two or more
1030        communities.
1031    (4) "Economic development project" means project area development for the purpose of:
1032        (a) creating, developing, attracting, and retaining business;
1033        (b) creating or preserving jobs;
1034        (c) stimulating business and economic activity; or
1035        (d) providing a local incentive as required by the Governor's Office of Economic [
1036  Opportunity] Development under Title 63N, Economic Opportunity Act.
1037    (5) "Eligible taxing entity" means a taxing entity that:
1038        (a) is a municipality, a county, or a school district; and
1039        (b) contains an agency partially or completely within the taxing entity's geographic
1040  boundaries.
1041    (6) "Final tax rate" means:
1042        (a) the certified rate; or
1043        (b) if the agency adopts a rate that is different than the certified rate, the rate the agency
1044  adopts in accordance with the provisions of Title 59, Chapter 2, Part 9, Levies.
1045    (7) "Implementation plan" means a plan adopted in accordance with Section 17C-1-1004
1046        that:
1047        (a) describes how the agency uses property tax revenue; and
                                                       - 31 -
       H.B. 475  Enrolled Copy
1048  (b) guides and controls agency-wide project development.
1049     (8) "Project area incremental revenue" means the amount of revenue generated by the
1050  incremental value that a taxing entity receives after a project area funds collection period
1051  ends.
1052     (9) "Property tax revenue" means the amount of revenue generated by an agency from the
1053  property within the agency using the current taxable value of the property and the
1054  agency's final tax rate.
1055  Section 17. Section 17D-1-507 is amended to read:
1056  17D-1-507 (Effective 05/06/26). Guaranteed bonds.
1057     (1) Before a special service district may issue guaranteed bonds:
1058  (a) the special service district shall:
1059  (i) obtain a report:
1060  (A) prepared by:
1061  (I) a qualified, registered architect or engineer; or
1062  (II) a person qualified by experience appropriate to the project proposed to be
1063  funded by the proceeds from the guaranteed bonds; and
1064  (B) setting forth:
1065  (I) a description of the project proposed to be funded by the proceeds from the
1066  guaranteed bonds;
1067  (II) the estimated or, if available, the actual cost of the project;
1068  (III) the principal amount and date and amount of each stated maturity of:
1069  (Aa) the guaranteed bonds to be issued; and
1070  (Bb) any outstanding guaranteed bonds of the special service district;
1071  (IV) the interest rate or rates of any outstanding guaranteed bonds of the
1072  special service district;
1073  (V) the amount of the annual debt service for each year during the life of all
1074  outstanding guaranteed bonds issued by the special service district;
1075  (VI) the estimated amount of the annual debt service for each year during the
1076  life of all guaranteed bonds that the special service district intends to issue
1077  to finance all or any part of the project; and
1078  (VII) the date or estimated date that the project will be complete; and
1079  (ii) submit to the Governor's Office of Economic [Opportunity] Development:
1080  (A) the report described in Subsection (1)(a)(i);
1081  (B) a copy of each proposed guarantee of the guaranteed bonds, certified by the
                                                           - 32 -
       Enrolled Copy  H.B. 475
1082  special service district;
1083  (C) a legal opinion indicating that each guarantee, when executed, will be the
1084  legal and binding obligation of the taxpayer executing the guarantee in
1085  accordance with the terms of the guarantee; and
1086  (D) evidence satisfactory to the Governor's Office of Economic [Opportunity]
1087  Development from each taxpayer executing a guarantee of the guaranteed
1088  bonds as to the financial ability of the taxpayer to perform under the guarantee;
1089        (b) the Governor's Office of Economic [Opportunity] Development shall, if [it] the office
1090  approves the issuance of the guaranteed bonds, deliver to the special service district
1091  governing body a written statement of [its] the office's approval; and
1092        (c) the special service district governing body shall file the written approval statement
1093  under Subsection (1)(b) with the recorder of the county in which the special service
1094  district is located.
1095    (2) The issuance of guaranteed bonds is conditioned upon the approval of special service
1096        district voters at an election held for that purpose as provided in Title 11, Chapter 14,
1097        Local Government Bonding Act.
1098    (3) Guaranteed bonds that have been issued and remain outstanding shall be included in the
1099        determination of the debt limit under Subsection 17D-1-502(4) if the bonds by their
1100        terms no longer enjoy the benefit of the guarantee.
1101    (4) On July 1 of each year, the governing body shall file with the department of community
1102        affairs a report certifying:
1103        (a) the total amount of bonds issued by the special service district and other debt then
1104  outstanding and subject to the debt limit of Subsection 17D-1-502(4);
1105        (b) the total amount of guaranteed bonds then outstanding and not subject to the debt
1106  limit of Subsection 17D-1-502(4); and
1107        (c) the total amount of guaranteed bonds that, during the preceding 12 months,
1108  discontinued to enjoy the benefit of the guarantee.
1109  Section 18. Section 35A-1-104.5 is amended to read:
1110  35A-1-104.5 (Effective 05/06/26). Other department duties -- Strategic plan for
1111    health system reform -- Reporting suspected misuse of a social security number.
1112    (1) The department shall work with the Department of Health and Human Services, the
1113        Insurance Department, the Governor's Office of Economic [Opportunity] Development,
1114        and the Legislature to develop the health system reform.
1115    (2) In the process of determining an individual's eligibility for a public benefit or service
                                                      - 33 -
       H.B. 475  Enrolled Copy
1116  under this title or under federal law, if the department determines that a valid social
1117  security number is being used by an unauthorized individual, the department shall:
1118  (a) inform the individual who the department determines to be the likely actual owner of
1119  the social security number or, if the likely actual owner is a minor, the minor's parent
1120  or guardian, of the suspected misuse; and
1121  (b) subject to federal law, provide information of the suspected misuse to an appropriate
1122  law enforcement agency responsible for investigating identity fraud.
1123     (3) If the department learns or determines that providing information under Subsection
1124  (2)(b) is prohibited by federal law, the department shall notify the Legislative
1125  Management Committee.
1126  Section 19. Section 35A-1-201 is amended to read:
1127  35A-1-201 (Effective 05/06/26). Executive director -- Appointment -- Removal --
1128     Compensation -- Qualifications -- Responsibilities -- Deputy directors.
1129     (1)(a) The chief administrative officer of the department is the executive director, who is
1130  appointed by the governor with the advice and consent of the Senate.
1131  (b) The executive director serves at the pleasure of the governor.
1132  (c) The executive director shall receive a salary established by the governor within the
1133  salary range fixed by the Legislature in Title 67, Chapter 22, State Officer
1134  Compensation.
1135  (d) The executive director shall be experienced in administration, management, and
1136  coordination of complex organizations.
1137     (2) The executive director shall:
1138  (a) administer and supervise the department in compliance with Title 63A, Chapter 17,
1139  Utah State Personnel Management Act;
1140  (b) supervise and coordinate between the economic service areas and directors created
1141  under Chapter 2, Economic Service Areas;
1142  (c) coordinate policies and program activities conducted through the divisions and
1143  economic service areas of the department;
1144  (d) approve the proposed budget of each division, the Workforce Appeals Board, and
1145  each economic service area within the department;
1146  (e) approve all applications for federal grants or assistance in support of any department
1147  program;
1148  (f) coordinate with the executive directors of the Governor's Office of Economic [
1149  Opportunity] Development and the Governor's Office of Planning and Budget to
                                                       - 34 -
       Enrolled Copy  H.B. 475
1150  review data and metrics to be reported to the Legislature as described in Subsection
1151  35A-1-109(2)(b); and
1152        (g) fulfill such other duties as assigned by the Legislature or as assigned by the governor
1153  that are not inconsistent with this title.
1154    (3) The executive director may appoint deputy or assistant directors to assist the executive
1155        director in carrying out the department's responsibilities.
1156    (4) The executive director shall at least annually provide for the sharing of information
1157        between the advisory councils established under this title.
1158  Section 20. Section 35A-1-206 is amended to read:
1159  35A-1-206 (Effective 05/06/26). State Workforce Development Board --
1160    Appointment -- Membership -- Terms of members -- Compensation.
1161    (1) There is created within the department the State Workforce Development Board in
1162        accordance with the provisions of the Workforce Innovation and Opportunity Act, 29
1163        U.S.C. Sec. 3101 et seq.
1164    (2) The board shall consist of the following members:
1165        (a) the governor or the governor's designee;
1166        (b) the executive director or the executive director's designee;
1167        (c) the executive director of the Department of Health and Human Services or the
1168  executive director's designee;
1169        (d) the director of the Utah State Office of Rehabilitation or the director's designee;
1170        (e) the state superintendent of public instruction or the superintendent's designee;
1171        (f) the commissioner of higher education or the commissioner's designee;
1172        (g) the executive director of the Governor's Office of Economic [Opportunity]
1173  Development or the executive director's designee;
1174        (h) the executive director of the Department of Veterans and Military Affairs or the
1175  executive director's designee; and
1176        (i) the following members appointed by the governor:
1177  (i) 20 representatives of business in the state, selected among the following:
1178  (A) owners of businesses, chief executive or operating officers of businesses, or
1179  other business executives or employers with policymaking or hiring authority;
1180  (B) representatives of businesses, including small businesses, that provide
1181  employment opportunities that include high-quality, work-relevant training and
1182  development in in-demand industry sectors or occupations in the state; and
1183  (C) representatives of businesses appointed from among individuals nominated by
                                                        - 35 -
       H.B. 475  Enrolled Copy
1184  state business organizations or business trade associations;
1185  (ii) six representatives of the workforce within the state, which:
1186  (A) shall include at least two representatives of labor organizations who have been
1187  nominated by state labor federations;
1188  (B) shall include at least one representative from a registered apprentice program;
1189  (C) may include one or more representatives from a community-based
1190  organization that has demonstrated experience and expertise in addressing the
1191  employment, training, or educational needs of individuals with barriers to
1192  employment; and
1193  (D) may include one or more representatives from an organization that has
1194  demonstrated experience and expertise in addressing the employment, training,
1195  or education needs of eligible youth, including organizations that serve out of
1196  school youth; and
1197  (iii) two elected officials that represent a city or a county.
1198     (3)(a) The governor shall appoint one of the appointed business representatives as chair
1199  of the board.
1200  (b) The chair shall serve at the pleasure of the governor.
1201     (4)(a) The governor shall ensure that members appointed to the board represent diverse
1202  geographic areas of the state, including urban, suburban, and rural areas.
1203  (b) A member appointed by the governor shall serve a term of four years and may be
1204  reappointed to one additional term.
1205  (c) A member shall continue to serve until the member's successor has been appointed
1206  and qualified.
1207  (d) Except as provided in Subsection (4)(e), as terms of board members expire, the
1208  governor shall appoint each new member or reappointed member to a four-year term.
1209  (e) Notwithstanding the requirements of Subsection (4)(d), the governor shall, at the
1210  time of appointment or reappointment, adjust the length of terms to ensure that the
1211  terms of board members are staggered so that approximately one half of the board is
1212  appointed every two years.
1213  (f) When a vacancy occurs in the membership for any reason, the replacement shall be
1214  appointed for the unexpired term.
1215  (g) The executive director shall terminate the term of any governor-appointed member
1216  of the board if the member leaves the position that qualified the member for the
1217  appointment.
                                                        - 36 -
       Enrolled Copy  H.B. 475
1218    (5) A majority of members constitutes a quorum for the transaction of business.
1219    (6) A member of the board may not receive compensation or benefits for the member's
1220        service, but may receive per diem and travel expenses as allowed in:
1221        (a) Section 63A-3-106;
1222        (b) Section 63A-3-107; and
1223        (c) rules made by the Division of Finance according to Sections 63A-3-106 and
1224  63A-3-107.
1225    (7) The department shall provide staff and administrative support to the board at the
1226        direction of the executive director.
1227    (8) The board has the duties, responsibilities, and powers described in 29 U.S.C. Sec. 3111,
1228        including:
1229        (a) identifying opportunities to align initiatives in education, training, workforce
1230  development, and economic development;
1231        (b) developing and implementing the state workforce services plan described in Section
1232  35A-1-207;
1233        (c) utilizing strategic partners to ensure the needs of industry are met, including the
1234  development of expanded strategies for partnerships for in-demand occupations and
1235  understanding and adapting to economic changes;
1236        (d) developing strategies for staff training;
1237        (e) developing and improving employment centers; and
1238        (f) performing other responsibilities within the scope of workforce services as requested
1239  by:
1240  (i) the Legislature;
1241  (ii) the governor; or
1242  (iii) the executive director.
1243  Section 21. Section 35A-4-312 is amended to read:
1244  35A-4-312 (Effective 05/06/26). Records.
1245    (1)(a) An employing unit shall keep true and accurate work records containing
1246        information the department may prescribe by rule.
1247        (b) A record shall be open to inspection and subject to being copied by the division or [its]
1248  the division's authorized representatives at a reasonable time and as often as
1249  necessary.
1250        (c) An employing unit shall make a record available in the state for three years after the
1251  calendar year in which the services are rendered.
                                                      - 37 -
       H.B. 475  Enrolled Copy
1252     (2) The division may require from an employing unit a sworn or unsworn report with
1253  respect to a person employed by the employing unit that the division considers necessary
1254  for the effective administration of this chapter.
1255     (3) Except as provided in this section or in Sections 35A-4-103 and 35A-4-106, information
1256  obtained under this chapter or obtained from an individual may not be published or open
1257  to public inspection in a manner revealing the employing unit's or individual's identity.
1258     (4)(a) The information obtained by the division under this section may not be used in
1259  court or admitted into evidence in an action or proceeding, except:
1260  (i) in an action or proceeding arising out of this chapter;
1261  (ii) if the Labor Commission enters into a written agreement with the division under
1262  Subsection (6)(b), in an action or proceeding by the Labor Commission to enforce:
1263  (A) Title 34, Chapter 23, Employment of Minors;
1264  (B) Title 34, Chapter 28, Payment of Wages;
1265  (C) Title 34, Chapter 40, Utah Minimum Wage Act; or
1266  (D) Title 34A, Utah Labor Code;
1267  (iii) under the terms of a court order obtained under Subsection 63G-2-202(7) and
1268  Section 63G-2-207; or
1269  (iv) under the terms of a written agreement between the Office of State Debt
1270  Collection and the division as provided in Subsection (5).
1271  (b) The information obtained by the division under this section shall be disclosed to:
1272  (i) a party to an unemployment insurance hearing before an administrative law judge
1273  of the department or a review by the Workforce Appeals Board to the extent
1274  necessary for the proper presentation of the party's case; or
1275  (ii) an employer, upon request in writing for information concerning a claim for a
1276  benefit with respect to a former employee of the employer.
1277     (5) The information obtained by the division under this section may be disclosed to:
1278  (a) an employee of the department in the performance of the employee's duties in
1279  administering this chapter or other programs of the department;
1280  (b) an employee of the Labor Commission for the purpose of carrying out the programs
1281  administered by the Labor Commission;
1282  (c) an employee of the Department of Commerce for the purpose of carrying out the
1283  programs administered by the Department of Commerce;
1284  (d) an employee of the governor's office or another state governmental agency
1285  administratively responsible for statewide economic development, to the extent
                                                        - 38 -
       Enrolled Copy  H.B. 475
1286  necessary for economic development policy analysis and formulation;
1287        (e) an employee of another governmental agency that is specifically identified and
1288  authorized by federal or state law to receive the information for the purposes stated in
1289  the law authorizing the employee of the agency to receive the information;
1290        (f) an employee of a governmental agency or workers' compensation insurer to the
1291  extent the information will aid in:
1292  (i) the detection or avoidance of duplicate, inconsistent, or fraudulent claims against:
1293  (A) a workers' compensation program; or
1294  (B) public assistance funds; or
1295  (ii) the recovery of overpayments of workers' compensation or public assistance
1296  funds;
1297        (g) an employee of a law enforcement agency to the extent the disclosure is necessary to
1298  avoid a significant risk to public safety or in aid of a felony criminal investigation;
1299        (h) an employee of the State Tax Commission or the Internal Revenue Service for the
1300  purposes of:
1301  (i) audit verification or simplification;
1302  (ii) state or federal tax compliance;
1303  (iii) verification of a code or classification of the:
1304  (A) 1987 Standard Industrial Classification Manual of the federal Executive
1305  Office of the President, Office of Management and Budget; or
1306  (B) 2002 North American Industry Classification System of the federal Executive
1307  Office of the President, Office of Management and Budget; and
1308  (iv) statistics;
1309        (i) an employee or contractor of the department or an educational institution, or other
1310  governmental entity engaged in workforce investment and development activities
1311  under the Workforce Innovation and Opportunity Act, 29 U.S.C. Sec. 3101 et seq.,
1312  for the purpose of:
1313  (i) coordinating services with the department;
1314  (ii) evaluating the effectiveness of those activities; and
1315  (iii) measuring performance;
1316        (j) an employee of the Governor's Office of Economic [Opportunity] Development, for
1317  the purpose of periodically publishing in the Directory of Business and Industry, the
1318  name, address, telephone number, number of employees by range, code or
1319  classification of an employer, and type of ownership of Utah employers;
                                                        - 39 -
       H.B. 475  Enrolled Copy
1320  (k) the public for any purpose following a written waiver by all interested parties of their
1321  rights to nondisclosure;
1322  (l) an individual whose wage data is submitted to the department by an employer, if no
1323  information other than the individual's wage data and the identity of the employer
1324  who submitted the information is provided to the individual;
1325  (m) an employee of the Insurance Department for the purpose of administering Title
1326  31A, Chapter 40, Professional Employer Organization Licensing Act;
1327  (n) an employee of the Office of State Debt Collection for the purpose of collecting state
1328  accounts receivable as provided in Section 63A-3-502; or
1329  (o) a creditor, under a court order, to collect on a judgment as provided in Section
1330  35A-4-314.
1331     (6) Disclosure of private information under Subsection (4)(a)(ii) or Subsection (5), with the
1332  exception of Subsections (5)(a), (g), and (o), may be made if:
1333  (a) the division determines that the disclosure will not have a negative effect on:
1334  (i) the willingness of employers to report wage and employment information; or
1335  (ii) the willingness of individuals to file claims for unemployment benefits; and
1336  (b) the agency enters into a written agreement with the division in accordance with rules
1337  made by the department.
1338     (7)(a) The employees of a division of the department other than the Workforce Research
1339  and Analysis Division and the Unemployment Insurance Division or an agency
1340  receiving private information from the division under this chapter are subject to the
1341  same requirements of privacy and confidentiality and to the same penalties for
1342  misuse or improper disclosure of the information as employees of the division.
1343  (b) Use of private information obtained from the department by a person or for a
1344  purpose other than one authorized in Subsection (4) or (5) violates Section 76-8-1304.
1345  Section 22. Section 35A-6-105 is amended to read:
1346  35A-6-105 (Effective 05/06/26). Commissioner of apprenticeship programs.
1347     (1) There is created the position of [Commissioner of Apprenticeship Programs]
1348  commissioner of apprenticeship programs within the department.
1349     (2) The commissioner shall be appointed by the executive director and chosen from one or
1350  more recommendations provided by a majority vote of the State Workforce
1351  Development Board.
1352     (3) The commissioner may be terminated without cause by the executive director.
1353     (4) The commissioner shall:
                                                      - 40 -
       Enrolled Copy  H.B. 475
1354        (a) promote and educate the public, including high school guidance counselors and
1355  potential participants in apprenticeship programs, about apprenticeship programs,
1356  youth apprenticeship, and pre-apprenticeship programs offered in the state, including
1357  apprenticeship, youth apprenticeship, and pre-apprenticeship programs offered by
1358  private sector businesses, trade groups, labor unions, partnerships with educational
1359  institutions, and other associations in the state;
1360        (b) coordinate with the department and other stakeholders, including union and
1361  nonunion apprenticeship programs, the Office of Apprenticeship, the State Board of
1362  Education, the Utah [system of higher education] System of Higher Education, the
1363  Department of Commerce, the Division of Professional Licensing, and the
1364  Governor's Office of Economic [Opportunity] Development to improve and promote
1365  apprenticeship opportunities in the state; and
1366        (c) provide an annual written report to:
1367  (i) the department for inclusion in the department's annual written report described in
1368  Section 35A-1-109;
1369  (ii) the Economic and Community Development Appropriations Subcommittee; and
1370  (iii) the Higher Education Appropriations Subcommittee.
1371    (5) The annual written report described in Subsection (4)(c) shall provide information
1372        concerning:
1373        (a) the number of available apprenticeship, youth apprenticeship, and pre-apprenticeship
1374  programs in the state;
1375        (b) the number of apprentice participants in each program;
1376        (c) the completion rate of each program;
1377        (d) the cost of state funding for each program; and
1378        (e) recommendations for improving apprenticeship, youth apprenticeship, and
1379  pre-apprenticeship programs.
1380  Section 23. Section 35A-8-2103 is amended to read:
1381  35A-8-2103 (Effective 05/06/26). Private Activity Bond Review Board.
1382    (1) There is created within the department the Private Activity Bond Review Board,
1383        composed of the following 11 members:
1384        (a)(i) the executive director of the department or the executive director's designee;
1385  (ii) the executive director of the Governor's Office of Economic [Opportunity]
1386  Development or the executive director's designee;
1387  (iii) the state treasurer or the state treasurer's designee;
                                                       - 41 -
       H.B. 475  Enrolled Copy
1388  (iv) the chair of the Utah Board of Higher Education or the chair's designee; and
1389  (v) the chair of the Utah Housing Corporation or the chair's designee; and
1390  (b) six local government members who are:
1391  (i) three elected or appointed county officials, nominated by the Utah Association of
1392  Counties and appointed or reappointed by the governor with the advice and
1393  consent of the Senate and in accordance with Title 63G, Chapter 24, Part 2,
1394  Vacancies; and
1395  (ii) three elected or appointed municipal officials, nominated by the Utah League of
1396  Cities and Towns and appointed or reappointed by the governor with the advice
1397  and consent of the Senate and in accordance with Title 63G, Chapter 24, Part 2,
1398  Vacancies.
1399     (2)(a) Except as required by Subsection (2)(b), the terms of office for the local
1400  government members of the board of review shall be four-year terms.
1401  (b) Notwithstanding the requirements of Subsection (2)(a), the governor shall, at the
1402  time of appointment or reappointment, adjust the length of terms to ensure that the
1403  terms of board of review members are staggered so that approximately half of the
1404  board of review is appointed every two years.
1405  (c) Members may be reappointed only once.
1406     (3)(a) If a local government member ceases to be an elected or appointed official of the
1407  city or county the member is appointed to represent, that membership on the board of
1408  review terminates immediately and there shall be a vacancy in the membership.
1409  (b) When a vacancy occurs in the local government membership for any reason:
1410  (i) the Utah Association of Counties or the Utah League of Cities and Towns shall,
1411  within 30 days after the date of the vacancy, nominate an official described in
1412  Subsection (1)(b)(i) or (ii), as applicable, to fill the vacancy; and
1413  (ii) the governor shall, with the advice and consent of the Senate in accordance with
1414  Title 63G, Chapter 24, Part 2, Vacancies, appoint the nominee for the unexpired
1415  term.
1416     (4)(a) The chair of the board of review is the executive director of the department or the
1417  executive director's designee.
1418  (b) The chair is nonvoting except in the case of a tie vote.
1419     (5) Six members of the board of review constitute a quorum.
1420     (6) Formal action by the board of review requires a majority vote of a quorum.
1421     (7) A member may not receive compensation or benefits for the member's service, but may
                                                        - 42 -
       Enrolled Copy  H.B. 475
1422        receive per diem and travel expenses in accordance with:
1423        (a) Section 63A-3-106;
1424        (b) Section 63A-3-107; and
1425        (c) rules made by the Division of Finance under Sections 63A-3-106 and 63A-3-107.
1426    (8) The chair of the board of review serves as the state official designated under state law to
1427        make certifications required to be made under Section 146 of the code including the
1428        certification required by Section 149(e)(2)(F) of the code.
1429    (9) A member appointed to fill a position described in Subsection (1)(b) shall comply with
1430        the conflict of interest provisions described in Title 63G, Chapter 24, Part 3, Conflicts of
1431        Interest.
1432  Section 24. Section 35A-8-2202 is amended to read:
1433  35A-8-2202 (Effective 05/06/26). Commission on Housing Affordability.
1434    (1) There is created within the department the Commission on Housing Affordability.
1435    (2) The commission shall consist of 21 members as follows:
1436        (a) one senator appointed by the president of the Senate;
1437        (b) two representatives appointed by the speaker of the House of Representatives;
1438        (c) the executive director of the department or the executive director's designee;
1439        (d) the director of the division;
1440        (e) the executive director of the Governor's Office of Economic [Opportunity]
1441  Development or the executive director's designee;
1442        (f) the president of the Utah Transit Authority or the president's designee;
1443        (g) the chair of the board of trustees of the Utah Housing Corporation or the chair's
1444  designee;
1445        (h) the state homelessness coordinator appointed under Section 63J-4-202 or the state
1446  homelessness coordinator's designee; and
1447        (i) 12 members appointed by the governor as follows:
1448  (i) one individual representing the land development community with experience and
1449  expertise in affordable, subsidized multi-family development, recommended by
1450  the Utah Homebuilders Association;
1451  (ii) one individual representing the real estate industry, recommended by the Utah
1452  Association of Realtors;
1453  (iii) one individual representing the banking industry, recommended by the Utah
1454  Bankers Association;
1455  (iv) one individual representing public housing authorities, recommended by the
                                                      - 43 -
       H.B. 475  Enrolled Copy
1456  director of the division;
1457  (v) two individuals representing municipal government, recommended by the Utah
1458  League of Cities and Towns;
1459  (vi) one individual representing redevelopment agencies and community
1460  reinvestment agencies, recommended by the Utah Redevelopment Association;
1461  (vii) two individuals representing county government, recommended by the Utah
1462  Association of Counties, where:
1463  (A) one of the individuals is from a county of the first class; and
1464  (B) one of the individuals is from a county of the third, fourth, fifth, or sixth class;
1465  (viii) one individual representing a nonprofit organization that addresses issues
1466  related to housing affordability;
1467  (ix) one individual with expertise on housing affordability issues in rural
1468  communities; and
1469  (x) one individual representing the Salt Lake Chamber, recommended by the Salt
1470  Lake Chamber.
1471     (3)(a) When a vacancy occurs in a position appointed by the governor under Subsection
1472  (2)(i), the governor shall appoint a person to fill the vacancy.
1473  (b) Members appointed under Subsection (2)(i) may be removed by the governor for
1474  cause.
1475  (c) A member appointed under Subsection (2)(i) shall be removed from the commission
1476  and replaced by an appointee of the governor if the member is absent for three
1477  consecutive meetings of the commission without being excused by a cochair of the
1478  commission.
1479  (d) A member serves until the member's successor is appointed.
1480     (4)(a) The commission shall select two members to serve as cochairs, one of whom shall
1481  be a legislator.
1482  (b) Subject to the other provisions of this Subsection (4), the cochairs are responsible for
1483  the call and conduct of meetings.
1484  (c) The cochairs shall call and hold meetings of the commission at least four times each
1485  year.
1486  (d) One or more additional meetings may be called upon request by a majority of the
1487  commission's members.
1488     (5)(a) A majority of the members of the commission constitutes a quorum.
1489  (b) The action of a majority of a quorum constitutes the action of the commission.
                                                          - 44 -
       Enrolled Copy  H.B. 475
1490    (6)(a) A member of the commission described in Subsections (2)(c) through (i) may not
1491        receive compensation or benefits for the member's service, but may receive per diem
1492        and travel expenses in accordance with:
1493  (i) Section 63A-3-106;
1494  (ii) Section 63A-3-107; and
1495  (iii) rules made by the Division of Finance pursuant to Sections 63A-3-106 and
1496  63A-3-107.
1497        (b) Compensation and expenses of a member who is a legislator are governed by Section
1498  36-2-2 and Legislative Joint Rules, Title 5, Legislative Compensation and Expenses.
1499    (7) The division shall provide staff support to the commission.
1500  Section 25. Section 46-4-503 is amended to read:
1501  46-4-503 (Effective 05/06/26). Government products and services provided
1502    electronically.
1503    (1) Notwithstanding Section 46-4-501, a state governmental agency that administers one or
1504        more of the following transactions shall allow those transactions to be conducted
1505        electronically:
1506        (a) an application for or renewal of a professional or occupational license issued under
1507  Title 58, Occupations and Professions;
1508        (b) the renewal of a drivers license;
1509        (c) an application for a hunting or fishing license;
1510        (d) the filing of:
1511  (i) a return under Title 59, Chapter 10, Individual Income Tax Act, or Title 59,
1512  Chapter 12, Sales and Use Tax Act;
1513  (ii) a court document, as defined by the Judicial Council; or
1514  (iii) a document under Title 70A, Uniform Commercial Code;
1515        (e) a registration for:
1516  (i) a product; or
1517  (ii) a brand;
1518        (f) a renewal of a registration of a motor vehicle;
1519        (g) a registration under:
1520  (i) Title 16, Corporations;
1521  (ii) Title 42, Names; or
1522  (iii) Title 48, Unincorporated Business Entity Act; or
1523        (h) submission of an application for benefits:
                                                      - 45 -
       H.B. 475  Enrolled Copy
1524  (i) under Title 35A, Chapter 3, Employment Support Act;
1525  (ii) under Title 35A, Chapter 4, Employment Security Act; or
1526  (iii) related to accident and health insurance.
1527     (2) The state system of public education, in coordination with the Utah Education and
1528  Telehealth Network, shall make reasonable progress toward making the following
1529  services available electronically:
1530  (a) secure access by parents and students to student grades and progress reports;
1531  (b) email communications with:
1532  (i) teachers;
1533  (ii) parent-teacher associations; and
1534  (iii) school administrators;
1535  (c) access to school calendars and schedules; and
1536  (d) teaching resources that may include:
1537  (i) teaching plans;
1538  (ii) curriculum guides; and
1539  (iii) media resources.
1540     (3) A state governmental agency shall:
1541  (a) in carrying out the requirements of this section, take reasonable steps to ensure the
1542  security and privacy of records that are private or controlled as defined by Title 63G,
1543  Chapter 2, Government Records Access and Management Act;
1544  (b) in addition to those transactions listed in Subsections (1) and (2), determine any
1545  additional services that may be made available to the public through electronic
1546  means; and
1547  (c) as part of the agency's information technology plan required by Section 63A-16-203,
1548  report on the progress of compliance with Subsections (1) through this (3).
1549     (4) Notwithstanding the other provisions of this part, a state governmental agency is not
1550  required by this part to conduct a transaction electronically if:
1551  (a) conducting the transaction electronically is not required by federal law; and
1552  (b) conducting the transaction electronically is:
1553  (i) impractical;
1554  (ii) unreasonable; or
1555  (iii) not permitted by laws pertaining to privacy or security.
1556     (5)(a) For purposes of this Subsection (5), "one-stop shop" means the consolidation of
1557  access to diverse services and agencies at one location including virtual colocation.
                                                          - 46 -
       Enrolled Copy  H.B. 475
1558        (b)(i) State agencies that provide services or offer direct assistance to the business
1559  community shall participate in the establishment, maintenance, and enhancement
1560  of an integrated Utah business web portal known as Business.utah.gov.
1561  (ii) The purpose of the business web portal is to provide ["one-stop shop"] one-stop
1562  shop assistance to businesses.
1563        (c) State agencies shall partner with other governmental and nonprofit agencies whose
1564  primary mission is to provide services or offer direct assistance to the business
1565  community in Utah in fulfilling the requirements of this section.
1566        (d) The following state entities shall comply with the provisions of this Subsection (5):
1567  (i) Governor's Office of Economic [Opportunity] Development created in Section
1568  63N-1a-301, which shall serve as the managing partner for the website;
1569  (ii) Department of Workforce Services;
1570  (iii) Department of Commerce;
1571  (iv) State Tax Commission;
1572  (v) Department of Government Operations - Division of Purchasing and General
1573  Services, including other state agencies operating under a grant of authority from
1574  the division to procure goods and services in excess of $5,000;
1575  (vi) Department of Agriculture;
1576  (vii) Department of Natural Resources; and
1577  (viii) other state agencies that provide services or offer direct assistance to the
1578  business sector.
1579        (e) The business services available on the business web portal may include:
1580  (i) business life cycle information;
1581  (ii) business searches;
1582  (iii) employment needs and opportunities;
1583  (iv) motor vehicle registration;
1584  (v) permit applications and renewal;
1585  (vi) tax information;
1586  (vii) government procurement bid notifications;
1587  (viii) general business information;
1588  (ix) business directories; and
1589  (x) business news.
1590  Section 26. Section 49-11-406 is amended to read:
1591  49-11-406 (Effective 05/06/26). Governor's appointed executives and senior staff
                                                       - 47 -
       H.B. 475  Enrolled Copy
1592     -- Appointed legislative employees -- Transfer of value of accrued defined benefit --
1593     Procedures.
1594     (1) As used in this section:
1595  (a) "Defined benefit balance" means the total amount of the contributions made on
1596  behalf of a member to a defined benefit system plus refund interest.
1597  (b) "Senior staff" means an at-will employee who reports directly to an elected official,
1598  executive director, or director and includes a deputy director and other similar, at-will
1599  employee positions designated by the governor, the speaker of the House of
1600  Representatives, or the president of the Senate and filed with the Division of Human
1601  Resource Management and the Utah State Retirement Office.
1602     (2) In accordance with this section and subject to requirements under federal law and rules
1603  made by the board, a member who has service credit from a system may elect to be
1604  exempt from coverage under a defined benefit system and to have the member's defined
1605  benefit balance transferred from the defined benefit system or plan to a defined
1606  contribution plan in the member's own name if the member is:
1607  (a) the state auditor;
1608  (b) the state treasurer;
1609  (c) an appointed executive under Subsection 67-22-2(1)(a);
1610  (d) an employee in the [Governor's Office] Office of the Governor;
1611  (e) senior staff in the Governor's Office of Planning and Budget;
1612  (f) senior staff in the Governor's Office of Economic [Opportunity] Development;
1613  (g) senior staff in the State Commission on Criminal and Juvenile Justice;
1614  (h) senior staff in the Public Lands Policy Coordinating Office, created in Section
1615  63L-11-201;
1616  (i) a legislative employee appointed under Subsection 36-12-7(3); or
1617  (j) a legislative employee appointed by the speaker of the House of Representatives, the
1618  House of Representatives minority leader, the president of the Senate, or the Senate
1619  minority leader.
1620     (3) An election made under Subsection (2):
1621  (a) is final, and no right exists to make any further election;
1622  (b) is considered a request to be exempt from coverage under a defined benefits system;
1623  and
1624  (c) shall be made on forms provided by the office.
1625     (4) The board shall adopt rules to implement and administer this section.
                                                       - 48 -
       Enrolled Copy  H.B. 475
1626  Section 27. Section 49-12-203 is amended to read:
1627  49-12-203 (Effective 05/06/26). Exclusions from membership in system.
1628    (1) The following employees are not eligible for service credit in this system:
1629        (a) subject to the requirements of Subsection (2), an employee whose employment status
1630  is temporary in nature due to the nature or the type of work to be performed;
1631        (b) except as provided under Subsection (3)(a), an employee of an institution of higher
1632  education who participates in a retirement system with a public or private retirement
1633  system, organization, or company designated by the Utah Board of Higher Education,
1634  or the technical college board of trustees for an employee of each technical college,
1635  during any period in which required contributions based on compensation have been
1636  paid on behalf of the employee by the employer;
1637        (c) an employee serving as an exchange employee from outside the state for an employer
1638  who has not elected to make all of the employer's exchange employees eligible for
1639  service credit in this system;
1640        (d) an executive department head of the state, a member of the State Tax Commission,
1641  the Public Service Commission, and a member of a full-time or part-time board or
1642  commission who files a formal request for exemption;
1643        (e) an employee of the Department of Workforce Services who is covered under another
1644  retirement system allowed under Title 35A, Chapter 4, Employment Security Act;
1645        (f) an employee who is employed on or after July 1, 2009, with an employer that has
1646  elected, prior to July 1, 2009, to be excluded from participation in this system under
1647  Subsection 49-12-202(2)(c);
1648        (g) an employee who is employed on or after July 1, 2014, with an employer that has
1649  elected, prior to July 1, 2014, to be excluded from participation in this system under
1650  Subsection 49-12-202(2)(d);
1651        (h) an employee who is employed with a withdrawing entity that has elected under
1652  Section 49-11-623, prior to January 1, 2017, to exclude:
1653  (i) new employees from participation in this system under Subsection 49-11-623(3)(a);
1654  or
1655  (ii) all employees from participation in this system under Subsection 49-11-623(3)(b);
1656        (i) an employee described in Subsection (1)(i)(i) or (ii) who is employed with a
1657  withdrawing entity that has elected under Section 49-11-624, before January 1, 2018,
1658  to exclude:
1659  (i) new employees from participation in this system under Subsection 49-11-624(3)(a);
                                                     - 49 -
       H.B. 475  Enrolled Copy
1660  or
1661  (ii) all employees from participation in this system under Subsection 49-11-624(3)(b);
1662  (j) an employee who is employed with a withdrawing entity that has elected under
1663  Section 49-11-625, before July 1, 2022, to exclude all employees from participation
1664  in this system; or
1665  (k) an employee who is employed with a withdrawing entity that elects under Section
1666  49-11-626 to exclude:
1667  (i) new employees from participation in this system under Subsection 49-11-626(3)(a);
1668  or
1669  (ii) all employees from participation in this system under Subsection 49-11-626(3)(b).
1670     (2) If an employee whose status is temporary in nature due to the nature of type of work to
1671  be performed:
1672  (a) is employed for a term that exceeds six months and the employee otherwise qualifies
1673  for service credit in this system, the participating employer shall report and certify to
1674  the office that the employee is a regular full-time employee effective the beginning of
1675  the seventh month of employment; or
1676  (b) was previously terminated prior to being eligible for service credit in this system and
1677  is reemployed within three months of termination by the same participating
1678  employer, the participating employer shall report and certify that the member is a
1679  regular full-time employee when the total of the periods of employment equals six
1680  months and the employee otherwise qualifies for service credits in this system.
1681     (3)(a) Upon cessation of the participating employer contributions, an employee under
1682  Subsection (1)(b) is eligible for service credit in this system.
1683  (b) Notwithstanding the provisions of Subsection (1)(f), any eligibility for service credit
1684  earned by an employee under this chapter before July 1, 2009, is not affected under
1685  Subsection (1)(f).
1686  (c) Notwithstanding the provisions of Subsection (1)(g), any eligibility for service credit
1687  earned by an employee under this chapter before July 1, 2014, is not affected under
1688  Subsection (1)(g).
1689     (4) Upon filing a written request for exemption with the office, the following employees
1690  shall be exempt from coverage under this system:
1691  (a) a full-time student or the spouse of a full-time student and individuals employed in a
1692  trainee relationship;
1693  (b) an elected official;
                                                        - 50 -
       Enrolled Copy  H.B. 475
1694        (c) an executive department head of the state, a member of the State Tax Commission, a
1695  member of the Public Service Commission, and a member of a full-time or part-time
1696  board or commission;
1697        (d) an employee of the Governor's Office of Planning and Budget;
1698        (e) an employee of the Governor's Office of Economic [Opportunity] Development;
1699        (f) an employee of the Commission on Criminal and Juvenile Justice;
1700        (g) an employee of the [Governor's Office] Office of the Governor;
1701        (h) an employee of the Public Lands Policy Coordinating Office, created in Section
1702  63L-11-201;
1703        (i) an employee of the [State Auditor's Office] state auditor's office;
1704        (j) an employee of the [State Treasurer's Office] state treasurer's office;
1705        (k) any other member who is permitted to make an election under Section 49-11-406;
1706        (l) a person appointed as a city manager or chief city administrator or another person
1707  employed by a municipality, county, or other political subdivision, who is an at-will
1708  employee;
1709        (m) an employee of an interlocal cooperative agency created under Title 11, Chapter 13,
1710  Interlocal Cooperation Act, who is engaged in a specialized trade customarily
1711  provided through membership in a labor organization that provides retirement
1712  benefits to the organization's members;
1713        (n) an employee serving as an exchange employee from outside the state for an
1714  employer who has elected to make all of the employer's exchange employees eligible
1715  for service credit in this system; and
1716        (o) the adjutant general of the Utah National Guard appointed under Section 39A-1-201
1717  and each individual listed in Subsection 39A-1-203(1).
1718    (5)(a) Each participating employer shall prepare and maintain a list designating those
1719        positions eligible for exemption under Subsection (4).
1720        (b) An employee may not be exempted unless the employee is employed in an exempted
1721  position designated by the participating employer.
1722    (6)(a) In accordance with this section, Section 49-13-203, and Section 49-22-205, a
1723        municipality, county, or political subdivision may not exempt a total of more than 50
1724        positions or a number equal to 10% of the eligible employees of the municipality,
1725        county, or political subdivision, whichever is less.
1726        (b) A municipality, county, or political subdivision may exempt at least one regular
1727  full-time employee.
                                                         - 51 -
       H.B. 475  Enrolled Copy
1728     (7) Each participating employer shall:
1729  (a) maintain a list of employee exemptions; and
1730  (b) update the employee exemptions in the event of any change.
1731     (8) The office may make rules to implement this section.
1732     (9) An employee's exclusion, exemption, participation, or election described in this section:
1733  (a) shall be made in accordance with this section; and
1734  (b) is subject to requirements under federal law and rules made by the board.
1735  Section 28. Section 49-13-203 is amended to read:
1736  49-13-203 (Effective 05/06/26). Exclusions from membership in system.
1737     (1) The following employees are not eligible for service credit in this system:
1738  (a) subject to the requirements of Subsection (2), an employee whose employment status
1739  is temporary in nature due to the nature or the type of work to be performed;
1740  (b) except as provided under Subsection (3)(a), an employee of an institution of higher
1741  education who participates in a retirement system with a public or private retirement
1742  system, organization, or company designated by the Utah Board of Higher Education,
1743  or the technical college board of trustees for an employee of each technical college,
1744  during any period in which required contributions based on compensation have been
1745  paid on behalf of the employee by the employer;
1746  (c) an employee serving as an exchange employee from outside the state for an employer
1747  who has not elected to make all of the employer's exchange employees eligible for
1748  service credit in this system;
1749  (d) an executive department head of the state or a legislative director, senior executive
1750  employed by the governor's office, a member of the State Tax Commission, a
1751  member of the Public Service Commission, and a member of a full-time or part-time
1752  board or commission who files a formal request for exemption;
1753  (e) an employee of the Department of Workforce Services who is covered under another
1754  retirement system allowed under Title 35A, Chapter 4, Employment Security Act;
1755  (f) an employee who is employed with an employer that has elected to be excluded from
1756  participation in this system under Subsection 49-13-202(5), effective on or after the
1757  date of the employer's election under Subsection 49-13-202(5);
1758  (g) an employee who is employed with a withdrawing entity that has elected under
1759  Section 49-11-623, prior to January 1, 2017, to exclude:
1760  (i) new employees from participation in this system under Subsection 49-11-623(3)(a);
1761  or
                                                       - 52 -
       Enrolled Copy  H.B. 475
1762  (ii) all employees from participation in this system under Subsection 49-11-623(3)(b);
1763        (h) an employee described in Subsection (1)(h)(i) or (ii) who is employed with a
1764  withdrawing entity that has elected under Section 49-11-624, before January 1, 2018,
1765  to exclude:
1766  (i) new employees from participation in this system under Subsection 49-11-624(3)(a);
1767  or
1768  (ii) all employees from participation in this system under Subsection 49-11-624(3)(b);
1769        (i) an employee who is employed with a withdrawing entity that has elected under
1770  Section 49-11-625, before July 1, 2022, to exclude all employees from participation
1771  in this system; or
1772        (j) an employee who is employed with a withdrawing entity that elects under Section
1773  49-11-626 to exclude:
1774  (i) new employees from participation in this system under Subsection 49-11-626(3)(a);
1775  or
1776  (ii) all employees from participation in this system under Subsection 49-11-626(3)(b).
1777    (2) If an employee whose status is temporary in nature due to the nature of type of work to
1778        be performed:
1779        (a) is employed for a term that exceeds six months and the employee otherwise qualifies
1780  for service credit in this system, the participating employer shall report and certify to
1781  the office that the employee is a regular full-time employee effective the beginning of
1782  the seventh month of employment; or
1783        (b) was previously terminated prior to being eligible for service credit in this system and
1784  is reemployed within three months of termination by the same participating
1785  employer, the participating employer shall report and certify that the member is a
1786  regular full-time employee when the total of the periods of employment equals six
1787  months and the employee otherwise qualifies for service credits in this system.
1788    (3)(a) Upon cessation of the participating employer contributions, an employee under
1789        Subsection (1)(b) is eligible for service credit in this system.
1790        (b) Notwithstanding the provisions of Subsection (1)(f), any eligibility for service credit
1791  earned by an employee under this chapter before the date of the election under
1792  Subsection 49-13-202(5) is not affected under Subsection (1)(f).
1793    (4) Upon filing a written request for exemption with the office, the following employees
1794        shall be exempt from coverage under this system:
1795        (a) a full-time student or the spouse of a full-time student and individuals employed in a
                                                       - 53 -
       H.B. 475  Enrolled Copy
1796  trainee relationship;
1797  (b) an elected official;
1798  (c) an executive department head of the state, a member of the State Tax Commission, a
1799  member of the Public Service Commission, and a member of a full-time or part-time
1800  board or commission;
1801  (d) an employee of the Governor's Office of Planning and Budget;
1802  (e) an employee of the Governor's Office of Economic [Opportunity] Development;
1803  (f) an employee of the Commission on Criminal and Juvenile Justice;
1804  (g) an employee of the Governor's Office;
1805  (h) an employee of the State Auditor's Office;
1806  (i) an employee of the State Treasurer's Office;
1807  (j) any other member who is permitted to make an election under Section 49-11-406;
1808  (k) a person appointed as a city manager or chief city administrator or another person
1809  employed by a municipality, county, or other political subdivision, who is an at-will
1810  employee;
1811  (l) an employee of an interlocal cooperative agency created under Title 11, Chapter 13,
1812  Interlocal Cooperation Act, who is engaged in a specialized trade customarily
1813  provided through membership in a labor organization that provides retirement
1814  benefits to its members;
1815  (m) an employee serving as an exchange employee from outside the state for an
1816  employer who has elected to make all of the employer's exchange employees eligible
1817  for service credit in this system; and
1818  (n) the adjutant general of the Utah National Guard appointed under Section 39A-1-201
1819  and each individual listed in Subsection 39A-1-203(1).
1820     (5)(a) Each participating employer shall prepare and maintain a list designating those
1821  positions eligible for exemption under Subsection (4).
1822  (b) An employee may not be exempted unless the employee is employed in a position
1823  designated by the participating employer.
1824     (6)(a) In accordance with this section, Section 49-12-203, and Section 49-22-205, a
1825  municipality, county, or political subdivision may not exempt a total of more than 50
1826  positions or a number equal to 10% of the eligible employees of the municipality,
1827  county, or political subdivision, whichever is less.
1828  (b) A municipality, county, or political subdivision may exempt at least one regular
1829  full-time employee.
                                                           - 54 -
       Enrolled Copy  H.B. 475
1830    (7) Each participating employer shall:
1831        (a) maintain a list of employee exemptions; and
1832        (b) update the employee exemptions in the event of any change.
1833    (8) The office may make rules to implement this section.
1834    (9) An employee's exclusion, exemption, participation, or election described in this section:
1835        (a) shall be made in accordance with this section; and
1836        (b) is subject to requirements under federal law and rules made by the board.
1837  Section 29. Section 49-22-205 is amended to read:
1838  49-22-205 (Effective 05/06/26). Exemptions from participation in system.
1839    (1) Upon filing a written request for exemption with the office, the following employees are
1840        exempt from participation in the system as provided in this section:
1841        (a) an executive department head of the state;
1842        (b) a member of the State Tax Commission;
1843        (c) a member of the Public Service Commission;
1844        (d) a member of a full-time or part-time board or commission;
1845        (e) an employee of the Governor's Office of Planning and Budget;
1846        (f) an employee of the Governor's Office of Economic [Opportunity] Development;
1847        (g) an employee of the Commission on Criminal and Juvenile Justice;
1848        (h) an employee of the Governor's Office;
1849        (i) an employee of the State Auditor's Office;
1850        (j) an employee of the State Treasurer's Office;
1851        (k) any other member who is permitted to make an election under Section 49-11-406;
1852        (l) a person appointed as a city manager or appointed as a city administrator or another
1853  at-will employee of a municipality, county, or other political subdivision;
1854        (m) an employee of an interlocal cooperative agency created under Title 11, Chapter 13,
1855  Interlocal Cooperation Act, who is engaged in a specialized trade customarily
1856  provided through membership in a labor organization that provides retirement
1857  benefits to its members;
1858        (n) an employee serving as an exchange employee from outside the state for an
1859  employer who has elected to make all of the employer's exchange employees eligible
1860  for service credit in this system; and
1861        (o) the adjutant general of the Utah National Guard appointed under Section 39A-1-201
1862  and each individual listed in Subsection 39A-1-203(1).
1863    (2)(a) A participating employer shall prepare and maintain a list designating those
                                                         - 55 -
       H.B. 475  Enrolled Copy
1864  positions eligible for exemption under Subsection (1).
1865  (b) An employee may not be exempted unless the employee is employed in a position
1866  designated by the participating employer under Subsection (1).
1867     (3)(a) In accordance with this section, Section 49-12-203, and Section 49-13-203, a
1868  municipality, county, or political subdivision may not exempt a total of more than 50
1869  positions or a number equal to 10% of the eligible employees of the municipality,
1870  county, or political subdivision, whichever is less.
1871  (b) A municipality, county, or political subdivision may exempt at least one regular
1872  full-time employee.
1873     (4) Each participating employer shall:
1874  (a) maintain a list of employee exemptions; and
1875  (b) update an employee exemption in the event of any change.
1876     (5) Beginning on the effective date of the exemption for an employee who elects to be
1877  exempt in accordance with Subsection (1):
1878  (a) for a member of the Tier II defined contribution plan:
1879  (i) the participating employer shall contribute the nonelective contribution and the
1880  amortization rate described in Section 49-22-401, except that the nonelective
1881  contribution is exempt from the vesting requirements of Subsection
1882  49-22-401(3)(a);
1883  (ii) the member may make voluntary deferrals as provided in Section 49-22-401; and
1884  (iii) the member is not eligible for additional service credit in the plan for the period
1885  of exempt employment; and
1886  (b) for a member of the Tier II hybrid retirement system:
1887  (i) the participating employer shall contribute the nonelective contribution and the
1888  amortization rate described in Section 49-22-401, except that the contribution is
1889  exempt from the vesting requirements of Subsection 49-22-401(3)(a);
1890  (ii) the member may make voluntary deferrals as provided in Section 49-22-401; and
1891  (iii) the member is not eligible for additional service credit in the system for the
1892  period of exempt employment.
1893     (6) If an employee who is a member of the Tier II hybrid retirement system subsequently
1894  revokes the election of exemption made under Subsection (1), the provisions described
1895  in Subsection (5)(b) shall no longer be applicable and the coverage for the employee
1896  shall be effective prospectively as provided in Part 3, Tier II Hybrid Retirement System.
1897     (7)(a) All employer contributions made on behalf of an employee shall be invested in
                                                        - 56 -
       Enrolled Copy  H.B. 475
1898        accordance with Subsection 49-22-303(3)(a) or 49-22-401(4)(a) until the one-year
1899        election period under Subsection 49-22-201(2)(c) is expired if the employee:
1900  (i) elects to be exempt in accordance with Subsection (1); and
1901  (ii) continues employment with the participating employer through the one-year
1902  election period under Subsection 49-22-201(2)(c).
1903        (b) An employee is entitled to receive a distribution of the employer contributions made
1904  on behalf of the employee and all associated investment gains and losses if the
1905  employee:
1906  (i) elects to be exempt in accordance with Subsection (1); and
1907  (ii) terminates employment prior to the one-year election period under Subsection
1908  49-22-201(2)(c).
1909    (8)(a) The office shall make rules to implement this section.
1910        (b) The rules made under this Subsection (8) shall include provisions to allow the
1911  exemption provided under Subsection (1) to apply to all contributions made
1912  beginning on or after July 1, 2011, on behalf of an exempted employee who began
1913  the employment before May 8, 2012.
1914    (9) An employee's exemption, participation, or election described in this section:
1915        (a) shall be made in accordance with this section; and
1916        (b) is subject to requirements under federal law and rules made by the board.
1917  Section 30. Section 53E-1-201 is amended to read:
1918  53E-1-201 (Effective 05/06/26) (Partially Repealed 07/01/27). Reports to and
1919    action required of the Education Interim Committee.
1920    (1) In accordance with applicable provisions and Section 68-3-14, the following recurring
1921        reports are due to the Education Interim Committee:
1922        (a) the report described in Section 9-22-109 by the STEM Action Center Board,
1923  including the information described in Section 9-22-113 on the status of the computer
1924  science initiative and Section 9-22-114 on the Computing Partnerships Grants
1925  Program;
1926        (b) the prioritized list of data research described in Section 53H-15-303 and the report
1927  on research and activities described in Section 53H-15-305 by the Utah Data
1928  Research Center;
1929        (c) the report described in Section 53H-1-203 by the Utah Board of Higher Education on
1930  career and technical education issues and addressing workforce needs;
1931        (d) the annual report of the Utah Board of Higher Education described in Section
                                                     - 57 -
       H.B. 475  Enrolled Copy
1932  53H-1-203;
1933        (e) the reports described in Section 53H-7-603 by the Utah Board of Higher Education
1934  regarding activities related to campus safety;
1935        (f) the State Superintendent's Annual Report by the state board described in Section
1936  53E-1-203;
1937        (g) the annual report described in Section 53E-2-202 by the state board on the strategic
1938  plan to improve student outcomes;
1939        (h) the report described in Section 53E-3-501 by the state board on students in an LEA
1940  who receive academic credit through the packet method;
1941        (i) the report described in Section 53E-8-204 by the state board on the Utah Schools for
1942  the Deaf and the Blind;
1943        (j) the report described in Section 53E-10-703 by the Utah Leading through Effective,
1944  Actionable, and Dynamic Education director on research and other activities;
1945        (k) the report described in Section 53F-2-522 regarding mental health screening
1946  programs;
1947        (l) the report described in Section 53F-4-203 by the state board and the independent
1948  evaluator on an evaluation of early interactive reading software;
1949        (m) the report described in Section 53F-6-412 by the program manager of the Utah Fits
1950  All Scholarship Program;
1951        (n) the report described in Section 63N-20-107 by the Governor's Office of Economic [
1952  Opportunity] Development on UPSTART;
1953        (o) the report described in Section 53F-5-215 by the state board related to a grant for an
1954  elementary teacher preparation assessment;
1955        (p) upon request, the report described in Section 53F-5-219 by the state board on the
1956  Local Innovations Civics Education Pilot Program;
1957        (q) the report described in Section 53F-5-405 by the state board regarding an evaluation
1958  of a partnership that receives a grant to improve educational outcomes for students
1959  who are low-income;
1960        (r) the report described in Section 53H-1-604 regarding the Higher Education and
1961  Corrections Council;
1962        (s) the report described in Section 53G-7-221 by the state board regarding innovation
1963  plans; and
1964        (t) the reports described in Section 53F-6-412 regarding the Utah Fits All Scholarship
1965  Program.
                                                       - 58 -
       Enrolled Copy  H.B. 475
1966    (2) In accordance with applicable provisions and Section 68-3-14, the following occasional
1967        reports are due to the Education Interim Committee:
1968        (a) in 2027, 2030, 2033, and 2035, the reports described in Sections 53H-1-502,
1969  53H-1-503, and 53H-1-504;
1970        (b) in 2025, the report described in Section 53H-6-203 by a degree-granting institution
1971  regarding policies on abusive coaching practices;
1972        (c) if required, the report described in Section 53E-4-309 by the state board explaining
1973  the reasons for changing the grade level specification for the administration of
1974  specific assessments;
1975        (d) if required, the report described in Section 53E-5-210 by the state board of an
1976  adjustment to the minimum level that demonstrates proficiency for each statewide
1977  assessment;
1978        (e) the report described in Section 53E-10-702 by Utah Leading through Effective,
1979  Actionable, and Dynamic Education;
1980        (f) if required, the report described in Section 53F-2-513 by the state board evaluating
1981  the effects of salary bonuses on the recruitment and retention of effective teachers in
1982  high-poverty schools;
1983        (g) upon request, the report described in Section 53F-10-303 by the state board
1984  regarding the Rural School Sports Facilities Grant Program;
1985        (h) upon request, a report described in Section 53G-7-222 by an LEA regarding
1986  expenditure of a percentage of state restricted funds to support an innovative
1987  education program;
1988        (i) the reports described in Section 53G-11-304 by the state board regarding proposed
1989  rules and results related to educator exit surveys; and
1990        (j) the report described in Section 26B-5-113 by the Office of Substance Use and Mental
1991  Health, the state board, and the Department of Health and Human Services regarding
1992  recommendations related to Medicaid reimbursement for school-based health
1993  services.
1994    (3) In accordance with applicable provisions and Section 68-3-14, every five years the
1995        Education Interim Committee shall review the programs described in the following
1996        sections of code:
1997        (a) beginning July 1, 2027, [Title 53E, Chapter 10, Part 3] Chapter 10, Part 3, Concurrent
1998  Enrollment;
1999        (b) beginning July 1, 2027, Section 53F-2-408, Enhancement for Accelerated Students
                                                     - 59 -
       H.B. 475  Enrolled Copy
2000  Program;
2001  (c) beginning July 1, 2027, Section 53F-2-409, Concurrent enrollment funding;
2002  (d) beginning July 1, 2027, Section 53F-2-415, Student health and counseling support --
2003  Qualifying personnel -- Distribution formula -- Rulemaking;
2004  (e) beginning July 1, 2028, Section 53F-2-416, Appropriation and distribution for the
2005  Teacher and Student Success Program;
2006  (f) beginning July 1, 2028, Section 53F-2-510, Digital Teaching and Learning Grant
2007  Program;
2008  (g) beginning July 1, 2028, Section 53F-9-306, Teacher and Student Success Account;
2009  (h) beginning July 1, 2028, Title 53G, Chapter 7, Part 13, Teacher and Student Success
2010  Program; and
2011  (i) beginning July 1, 2029, Section 53F-2-502, Dual language immersion.
2012  Section 31. Section 53E-4-308 is amended to read:
2013  53E-4-308 (Effective 05/06/26). Unique student identifier -- Coordination of
2014     higher education and public education information technology systems -- Coordination of
2015     preschool and public education information technology systems.
2016     (1) As used in this section, "unique student identifier" means an alphanumeric code
2017  assigned to each public education student for identification purposes, which:
2018  (a) is not assigned to any former or current student; and
2019  (b) does not incorporate personal information, including a birth date or social security
2020  number.
2021     (2) The state board, through the state superintendent, shall assign each public education
2022  student a unique student identifier, which shall be used to track individual student
2023  performance on achievement tests administered under this part.
2024     (3) The state board and the Utah Board of Higher Education, in collaboration with the Utah
2025  Data Research Center created in Section 53H-15-202, shall:
2026  (a) coordinate public education and higher education information technology systems to
2027  allow individual student academic achievement to be tracked through both education
2028  systems in accordance with this section and Section 53H-1-207; and
2029  (b) coordinate access to the unique student identifier of a public education student who
2030  later attends an institution within the state system of higher education.
2031     (4)(a) The state board and the Department of Workforce Services shall coordinate
2032  assignment of a unique student identifier to each student enrolled in a program
2033  described in Title 35A, Chapter 15, Preschool Programs.
                                                       - 60 -
       Enrolled Copy  H.B. 475
2034        (b) A unique student identifier assigned to a student under Subsection (4)(a) shall remain
2035  the student's unique student identifier used by the state board when the student enrolls
2036  in a public school in kindergarten or a later grade.
2037        (c) The Governor's Office of Economic [Opportunity] Development, the state board, the
2038  Department of Workforce Services, and a contractor as defined in Section
2039  63N-20-101, shall coordinate access to the unique student identifier of a preschool
2040  student who later attends an LEA.
2041  Section 32. Section 53H-1-402 is amended to read:
2042  53H-1-402 (Effective 05/06/26) (Partially Repealed 07/01/27). Reports to and
2043    actions of the Higher Education Appropriations Subcommittee.
2044    (1) In accordance with applicable provisions and Section 68-3-14, the following recurring
2045        reports are due to the Higher Education Appropriations Subcommittee:
2046        (a) the reports described in Sections 53H-1-502, 53H-1-503, and 53H-1-504;
2047        (b) the reports described in Section 53H-1-203 by the board on:
2048  (i) system wide responses to changing demographics and workforce; and
2049  (ii) the board's activities and performance against the board's goals and metrics;
2050        (c) the report described in Section 53H-5-205;
2051        (d) the report described in Section 53H-8-202 by the board on recommended
2052  appropriations for higher education institutions and the board, including the report
2053  described in Section 53H-11-406 by the board on the effects of offering nonresident
2054  partial tuition scholarships;
2055        (e) the report described in Section 53H-8-306 by the Department of Workforce Services
2056  and the Governor's Office of Economic [Opportunity] Development on targeted jobs;
2057        (f) the reports described in Section 53H-8-303 by the board on performance;
2058        (g) the report described in Section 53H-11-402 by the board on the Opportunity
2059  Scholarship Program;
2060        (h) the report described in Section 53H-13-309 regarding the talent advisory councils;
2061        (i) the report described in Section 53H-11-414 by the board on the Utah Promise
2062  Program;
2063        (j) the report described in Section 53H-6-202 by the board on an institution
2064  compensating a student athlete for the use of the student athlete's name, image, or
2065  likeness;
2066        (k) the report described in Section 53H-1-604 regarding the Higher Education and
2067  Corrections Council; and
                                                      - 61 -
       H.B. 475  Enrolled Copy
2068  (l) the report described in Section 53E-10-308 by the State Board of Education and
2069  board on student participation in the concurrent enrollment program.
2070     (2) In accordance with applicable provisions and Section 68-3-14, the [following occasional
2071  report] board's report regarding each institution's strategic reinvestment plan described in
2072  Section 53H-8-210 is due, on occasion, to the Higher Education Appropriations
2073  Subcommittee[: the board's report regarding each institution's strategic reinvestment
2074  plan described in Section 53H-8-210].
2075     (3) In accordance with applicable provisions, the Higher Education Appropriations
2076  Subcommittee shall complete the following:
2077  (a) an appropriation recommendation described in Section 53H-1-504 regarding
2078  compliance with Subsections 53H-1-504(5) and (14); and
2079  (b) as required by Section 53H-8-304, the review of performance funding described in
2080  Section 53H-8-304.
2081     (4) In consultation with the board, the Higher Education Appropriations Subcommittee
2082  shall study a re-design of:
2083  (a) the performance funding model described in Chapter 8, Part 3, Performance Funding,
2084  to better ensure:
2085  (i) institutional alignment with the statewide system of higher education and the
2086  institution's mission within the statewide system; and
2087  (ii) investment in meeting localized and statewide workforce demands and securing
2088  post-graduation employment outcomes; and
2089  (b) enrollment-based funding, including, for technical colleges, funding distribution
2090  models that:
2091  (i) include equivalent funding value for secondary and adult students; and
2092  (ii) reflect the full responsibility of the technical college's statutorily-required
2093  services.
2094  Section 33. Section 53H-3-305 is amended to read:
2095  53H-3-305 (Effective 05/06/26). Technical college presidents.
2096     (1) The board shall appoint a president for each technical college in accordance with
2097  Section 53H-3-302.
2098     (2) A technical college president is the chief executive officer of the technical college.
2099     (3) A technical college president:
2100  (a) does not need to have a doctorate degree; and
2101  (b) shall have extensive experience in career and technical education.
                                                         - 62 -
       Enrolled Copy  H.B. 475
2102    (4) In addition to the duties described in Section 53H-3-303, a technical college president
2103        shall:
2104        (a) after consulting with the board, other institutions of higher education, school
2105  districts, and charter schools within the technical college's region, prepare a
2106  comprehensive strategic plan for delivering technical education within the region;
2107        (b) consult with business, industry, the Department of Workforce Services, the
2108  Governor's Office of Economic [Opportunity] Development, and the Governor's
2109  Office of Planning and Budget on an ongoing basis to determine what workers and
2110  skills are needed for employment in Utah businesses and industries;
2111        (c) coordinate with local school boards, school districts, and charter schools to meet the
2112  technical education needs of secondary students; and
2113        (d) develop policies and procedures for the admission, classification, instruction, and
2114  examination of students in accordance with the policies and accreditation guidelines
2115  of the board and the State Board of Education.
2116  Section 34. Section 53H-4-306.1 is amended to read:
2117  53H-4-306.1 (Effective 05/06/26) (Repealed 07/01/28). Electrification of
2118    Transportation Infrastructure Research Center -- Definitions.
2119       As used in Sections 53H-4-306.1 through 53H-4-306.6:
2120    (1) "Department of Environmental Quality" means the Department of Environmental
2121        Quality created in Section 19-1-104.
2122    (2) "Department of Transportation" means the Department of Transportation created in
2123        Section 72-1-201.
2124    (3) "Governor's Office of Economic [Opportunity] Development" means the Governor's
2125        Office of Economic [Opportunity] Development created in Section 63N-1a-301.
2126    (4) "Industry advisory board" means the industry advisory board created in accordance with
2127        Section 53H-4-306.4.
2128    (5) "Initiative" means the strategic planning and development initiative to guide the
2129        transition to an electrified and intelligent transportation system in this state.
2130    (6) "Large public transit district" means the same as that term is defined in Section
2131        17B-2a-802.
2132    (7) "Office of Energy Development" means the Office of Energy Development created in
2133        Section 79-6-401.
2134    (8) "Project director" means the project director of the research center appointed under
2135        Subsection 53H-4-306.2(2)(b).
                                                       - 63 -
       H.B. 475  Enrolled Copy
2136     (9) "Research center" means the ASPIRE Engineering Research Center at Utah State
2137  University.
2138     (10) "Steering committee" means the Electrification of Transportation Infrastructure
2139  Steering Committee created in Section 53H-4-306.3.
2140  Section 35. Section 53H-4-306.3 is amended to read:
2141  53H-4-306.3 (Effective 05/06/26) (Repealed 07/01/28). Electrification of
2142     Transportation Infrastructure Research Center -- Steering committee.
2143     (1) There is created the Electrification of Transportation Infrastructure Steering Committee.
2144     (2) The Electrification of Transportation Infrastructure Steering Committee consists of the
2145  following members:
2146  (a) the executive director of the Department of Transportation, or the executive director's
2147  designee;
2148  (b) the executive director of the Department of Environmental Quality, or the executive
2149  director's designee;
2150  (c) the director of the Office of Energy Development, or the director's designee;
2151  (d) the executive director of a large public transit district, or the executive director's
2152  designee;
2153  (e) the executive director of the Governor's Office of Economic [Opportunity]
2154  Development, or the executive director's designee;
2155  (f) one representative of a major electrical power provider in the state, appointed by the
2156  governor; and
2157  (g) the chair of the industry advisory board created in Section 53H-4-306.4.
2158     (3) The steering committee member representing the Department of Transportation shall
2159  serve as the chair of the steering committee.
2160     (4) The steering committee shall:
2161  (a) provide direction to the project director on the nature and priorities of the strategic
2162  planning and development initiative;
2163  (b) assist the project director in the development of a strategic action plan and
2164  implementation related to the electrification of transportation infrastructure;
2165  (c) approve annual reports on the strategic planning and development initiative as
2166  required in Section 53H-4-306.6;
2167  (d) consider and approve the budget proposed by the project director for the expenditure
2168  of funds for the initiative; and
2169  (e) review expenditures authorized by the project director made before October 1, 2023.
                                                        - 64 -
       Enrolled Copy  H.B. 475
2170    (5) The steering committee shall convene no later than October 1, 2023.
2171  Section 36. Section 53H-11-415 is amended to read:
2172  53H-11-415 (Effective 05/06/26). Talent Development Award Program.
2173    (1) As used in this section:
2174        (a) "Award" means a monetary grant awarded in accordance with this section.
2175        (b) "Full-time" means the number of credit hours the board determines is full-time
2176  enrollment for a student for purposes of the program.
2177        (c) ["GOEO"] "GOED" means the Governor's Office of Economic [Opportunity]
2178  Development created in Section 63N-1a-301.
2179        (d) "Program" means the Talent Development Award Program created in this section.
2180        (e) "Qualifying degree" means an associate's or a bachelor's degree that qualifies an
2181  individual to work in a qualifying job, as determined by [GOEO] GOED under this
2182  section.
2183        (f) "Qualifying job" means a job:
2184  (i) described in this section for which an individual may receive an award for the
2185  current two-year period; or
2186  (ii)(A) that was identified in accordance with this section at the time a recipient
2187  received an award; and
2188  (B) for which the recipient is pursuing a qualifying degree, for which the recipient
2189  completed a qualifying degree, or in which the recipient is working.
2190        (g) "Recipient" means an individual who receives an award.
2191    (2) There is created the Talent Development Award Program to recruit and train individuals
2192        to work in certain jobs that have a high demand for new employees and offer high wages.
2193    (3) Subject to available funds, an institution shall award an individual who:
2194        (a) is pursuing or declares an intent to pursue a qualifying degree;
2195        (b) declares an intent to work in a qualifying job described in this section in Utah
2196  following graduation;
2197        (c) applies to the institution to receive an award; and
2198        (d) meets other criteria determined by the board in the rules described in this section.
2199    (4)(a) An institution may award a recipient in an amount up to the cost of resident
2200        tuition, fees, and books for the number of credit hours in which the recipient is
2201        enrolled each semester.
2202        (b) An institution may award a recipient for up to the expected amount of time for the
2203  recipient to complete the qualifying degree, as determined by the institution.
                                                       - 65 -
       H.B. 475  Enrolled Copy
2204  (c) An institution may cancel an award in accordance with the rules described in this
2205  section.
2206     (5) An institution may use money from a partnership with an industry or business for
2207  funding or repaying an award.
2208     (6) The board may use up to 5% of money appropriated for the program for administration.
2209     (7) Every other year, [GOEO] GOED shall identify:
2210  (a) five qualifying jobs that:
2211  (i) have the highest demand for new employees; and
2212  (ii) offer high wages; and
2213  (b) the qualifying degrees for each qualifying job.
2214     (8) [GOEO ] GOED shall:
2215  (a) ensure that each qualifying job:
2216  (i) ranks in the top 40% of jobs based on an employment index that considers the
2217  job's growth rate and total openings;
2218  (ii) ranks in the top 40% of jobs for wages; and
2219  (iii) requires an associate's degree or a bachelor's degree; and
2220  (b) report the five qualifying jobs and qualifying degrees to the board.
2221     (9) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
2222  board shall make rules to:
2223  (a) establish an application process for an individual to apply for an award;
2224  (b) subject to this section, establish qualifying criteria for an individual to receive an
2225  award, including enrollment status;
2226  (c) establish a process to evaluate applications that prioritizes awards to students who
2227  demonstrate financial need;
2228  (d) establish how state funding available for awards is divided among institutions;
2229  (e) establish how to determine an amount of money for an award;
2230  (f) establish the circumstances under which an institution may cancel an award; and
2231  (g) require an institution to provide specified information to the board relevant to
2232  administering the program.
2233     (10) In administering the program, the board shall use a packaging approach that ensures
2234  that institutions combine loans, grants, employment, and family and individual
2235  contributions toward financing the cost of attendance.
2236  Section 37. Section 53H-13-301 is amended to read:
2237  53H-13-301 (Effective 05/06/26). General provisions -- Definitions.
                                                        - 66 -
       Enrolled Copy  H.B. 475
2238       As used in this part:
2239    (1) "Apprenticeship program" means a program that:
2240        (a) combines paid on-the-job learning with formal classroom instruction to prepare
2241  students for careers; and
2242        (b) includes:
2243  (i) structured on-the-job learning for students under the supervision of a skilled
2244  employee;
2245  (ii) classroom instruction for students related to the on-the-job learning;
2246  (iii) ongoing student assessments using established competency and skills standards;
2247  and
2248  (iv) the student receiving an industry-recognized credential or degree upon
2249  completion of the program.
2250    (2) "Career and technical education region" means an economic service area created in
2251        Section 35A-2-101.
2252    (3) ["GOEO"] "GOED" means the Governor's Office of Economic [Opportunity]
2253        Development created in Section 63N-1a-301.
2254    (4) "High quality professional learning" means the professional learning standards for
2255        teachers and principals described in Section 53G-11-303.
2256    (5) "Institution of higher education" means the University of Utah, Utah State University,
2257        Southern Utah University, Weber State University, Snow College, Utah Tech
2258        University, Utah Valley University, or Salt Lake Community College.
2259    (6) "Local education agency" means a school district, a charter school, or the Utah Schools
2260        for the Deaf and the Blind.
2261    (7) "Master plan" means the computer science education master plan described in Section
2262        53H-13-305.
2263    (8) "Participating employer" means an employer that:
2264        (a) partners with an educational institution on a curriculum for an apprenticeship
2265  program or work-based learning program; and
2266        (b) provides an apprenticeship or work-based learning program for students.
2267    (9) "State board" means the State Board of Education.
2268    (10) "Talent board" means the Talent, Education, and Industry Alignment Board created in
2269        Section 53H-13-302.
2270    (11) "Talent program" means the Talent Ready Utah Program created in Section
2271        53H-13-303.
                                                     - 67 -
       H.B. 475  Enrolled Copy
2272     (12) "Targeted industry" means an industry or group of industries targeted by [GOEO]
2273  GOED for economic development in the state.
2274     (13) "Technical college" means:
2275  (a) the same as that term is defined in Section 53H-1-101; and
2276  (b) a degree-granting institution acting in the degree-granting institution's technical
2277  education role described in Section 53H-3-608.
2278     (14)(a) "Work-based learning program" means a program that combines structured and
2279  supervised learning activities with authentic work experiences and that is
2280  implemented through industry and education partnerships.
2281  (b) "Work-based learning program" includes the following objectives:
2282  (i) providing students an applied workplace experience using knowledge and skills
2283  attained in a program of study that includes an internship, externship, or work
2284  experience;
2285  (ii) providing an educational institution with objective input from a participating
2286  employer regarding the education requirements of the current workforce; and
2287  (iii) providing funding for programs that are associated with high-wage, in-demand,
2288  or emerging occupations.
2289     (15) "Workforce programs" means education or industry programs that facilitate training
2290  the state's workforce to meet industry demand.
2291  Section 38. Section 53H-13-302 is amended to read:
2292  53H-13-302 (Effective 05/06/26). Talent, Education, and Industry Alignment
2293     Board -- Creation -- Membership -- Expenses -- Duties.
2294     (1) There is created the Talent, Education, and Industry Alignment Board composed of the
2295  following members:
2296  (a) the state superintendent of public instruction or the superintendent's designee;
2297  (b) the commissioner or the commissioner's designee;
2298  (c) the chair of the State Board of Education or the chair's designee;
2299  (d) the executive director of the Department of Workforce Services or the executive
2300  director's designee;
2301  (e) the executive director of the Governor's Office of Economic [Opportunity]
2302  Development or the executive director's designee;
2303  (f) the director of the Division of Professional Licensing or the director's designee;
2304  (g) the governor's education advisor or the advisor's designee;
2305  (h) one member of the Senate, appointed by the president of the Senate;
                                                       - 68 -
       Enrolled Copy  H.B. 475
2306        (i) one member of the House of Representatives, appointed by the speaker of the House
2307  of Representatives;
2308        (j) the president of the Salt Lake Chamber or the president's designee;
2309        (k) six representatives of private industry chosen to represent targeted industries,
2310  appointed by [GOEO] GOED;
2311        (l) the lieutenant governor or the lieutenant governor's designee; and
2312        (m) any additional individuals appointed by [GOEO] GOED who represent:
2313  (i) one or more individual educational institutions; or
2314  (ii) education or industry professionals.
2315    (2) The talent board shall select a chair and vice chair from among the members of the
2316        talent board.
2317    (3) The talent board shall meet at least quarterly.
2318    (4) Attendance of a majority of the members of the talent board constitutes a quorum for
2319        the transaction of official talent board business.
2320    (5) Formal action by the talent board requires the majority vote of a quorum.
2321    (6) A member of the talent board:
2322        (a) may not receive compensation or benefits for the member's service; and
2323        (b) who is not a legislator may receive per diem and travel expenses in accordance with:
2324  (i) Section 63A-3-106;
2325  (ii) Section 63A-3-107; and
2326  (iii) rules made by the Division of Finance pursuant to Sections 63A-3-106 and
2327  63A-3-107.
2328    (7) The talent board shall:
2329        (a)(i) review and develop metrics to measure the progress, performance,
2330  effectiveness, and scope of any state operation, activity, program, or service that
2331  primarily involves employment training or placement; and
2332  (ii) ensure that the metrics described in Subsection (7)(a) are consistent and
2333  comparable for each state operation, activity, program, or service that primarily
2334  involves employment training or placement;
2335        (b) make recommendations to the board and [GOEO] GOED regarding how to better
2336  align training and education in the state with industry demand;
2337        (c) make recommendations to the board and [GOEO] GOED regarding how to better
2338  align technical education with current and future workforce needs;
2339        (d) coordinate with the talent program to meet the responsibilities described in Section
                                                      - 69 -
       H.B. 475  Enrolled Copy
2340  53H-13-303;
2341  (e) develop a computer science education master plan in accordance with Section
2342  53H-13-305;
2343  (f) coordinate with the talent program to meet the responsibilities described in Section
2344  53H-13-310; and
2345  (g) administer the Utah Works Program in accordance with Section 53H-13-307.
2346     (8) Nothing in this section prohibits an individual who, on June 30, 2022, is a member of a
2347  subcommittee within the Governor's Office of Economic [Opportunity] Development
2348  known as the Talent, Education, and Industry Alignment Subcommittee from serving as
2349  a member of the talent board.
2350  Section 39. Section 53H-13-307 is amended to read:
2351  53H-13-307 (Effective 05/06/26). Utah Works Program.
2352     (1) There is created the Utah Works Program.
2353     (2) The Utah Works Program, under the direction of the talent board, shall partner with the
2354  following entities to develop short-term pre-employment training and short-term early
2355  employment training for student and workforce participants that meet the needs of
2356  businesses that are creating jobs and economic growth in the state:
2357  (a) the Department of Workforce Services;
2358  (b) the Governor's Office of Economic [Opportunity] Development; and
2359  (c) businesses that have significant hiring demands for primarily newly created jobs in
2360  the state.
2361     (3) In addition to the duties described in Subsection (2), the Utah Works Program may:
2362  (a) coordinate with the Department of Workforce Services, education agencies, and
2363  employers to create effective recruitment initiatives to attract student and workforce
2364  participants and business participants to the program;
2365  (b) coordinate with the board to develop educational and training resources to provide
2366  student participants in the program qualifications to be hired by business participants
2367  in the program; and
2368  (c) coordinate with the state board and local education agencies when appropriate to
2369  develop educational and training resources to provide student participants in the
2370  program qualifications to be hired by business participants in the program.
2371     (4) The board, in consultation with the talent board, may, in accordance with Title 63G,
2372  Chapter 3, Utah Administrative Rulemaking Act, make rules regarding the development
2373  and administration of the Utah Works Program.
                                                       - 70 -
       Enrolled Copy  H.B. 475
2374    (5) The Utah Works Program shall annually report the following metrics to the board:
2375        (a) the number of participants in the program;
2376        (b) how program participants learned about or were referred to the program;
2377        (c) the number of participants who have completed training offered by the program; and
2378        (d) the number of participants who have been hired by a business participating in the
2379  program.
2380  Section 40. Section 53H-13-309 is amended to read:
2381  53H-13-309 (Effective 05/06/26). Talent advisory councils.
2382    (1) As used in this section:
2383        (a) "Advisory council" means an advisory council the talent board creates under
2384  Subsection (10).
2385        (b) "Talent initiative" means an initiative the board creates under Subsection (2).
2386    (2)(a) Subject to legislative appropriations and in accordance with the proposal process
2387        and other provisions of this section, the board shall develop and oversee one or more
2388        talent initiatives that include providing funding for expanded programs at an
2389        institution of higher education related to the talent initiative.
2390        (b) The board shall ensure that a talent initiative the board creates:
2391  (i) uses a name for the talent initiative that reflects the area the initiative is targeting;
2392  (ii) contains an outline of the disciplines, industries, degrees, certifications,
2393  credentials, and types of skills the talent initiative will target; and
2394  (iii) uses a corresponding advisory council created in Subsection (10).
2395    (3) In creating a talent initiative, the board shall facilitate collaborations between an
2396        institution of higher education and participating employers that:
2397        (a) create expanded, multidisciplinary programs or stackable credential programs offered
2398  at a technical college, undergraduate, or graduate level of study; and
2399        (b) prepare students to be workforce participants in jobs requiring skills related to a
2400  talent initiative.
2401    (4)(a) An institution of higher education seeking to partner with one or more
2402        participating employers to create a program related to a talent initiative shall submit a
2403        proposal to the talent board through a process the talent board creates.
2404        (b) An institution of higher education shall submit a proposal that contains:
2405  (i) a description of the proposed program, including:
2406  (A) implementation timelines for the program;
2407  (B) a demonstration of how the program will be responsive to the talent needs
                                                        - 71 -
       H.B. 475  Enrolled Copy
2408  related to the talent initiative;
2409  (C) an outline of relevant industry involvement that includes at least one
2410  participating employer that partners with the institution of higher education; and
2411  (D) an explanation of how the program addresses an unmet regional workforce
2412  need related to a talent initiative;
2413  (ii) an estimate of:
2414  (A) projected student enrollment and completion rates for a program;
2415  (B) the academic credit or credentials that a program will provide; and
2416  (C) occupations for which a graduate will qualify;
2417  (iii) evidence that each participating employer is committed to participating and
2418  contributing to the program by providing any combination of:
2419  (A) instruction;
2420  (B) curriculum review;
2421  (C) feedback regarding effectiveness of program graduates as employees;
2422  (D) work-based learning opportunities; or
2423  (E) mentoring;
2424  (iv) a description of any resources a participating employer will provide within the
2425  program; and
2426  (v) the amount of funding requested for the program, including:
2427  (A) the justification for the funding; and
2428  (B) the cost per student served as estimated under Subsection (4)(b)(ii).
2429     (5) In reviewing a proposal, the talent board shall provide a proposal to the relevant
2430  advisory council described in Subsections (10) and (11).
2431     (6) The relevant advisory council shall:
2432  (a) review and prioritize each proposal the advisory council receives; and
2433  (b) recommend to the talent board whether the proposal should be funded and the
2434  funding amount based on:
2435  (i) the quality and completeness of the elements of the proposal described in
2436  Subsection (4)(b);
2437  (ii) to what extent the proposed program:
2438  (A) would expand the capacity to meet state or regional workforce needs related
2439  to the talent initiative;
2440  (B) would integrate industry-relevant competencies with disciplinary expertise;
2441  (C) would incorporate internships or significant project experiences, including
                                                         - 72 -
       Enrolled Copy  H.B. 475
2442  team-based experiences;
2443  (D) identifies how industry professionals would participate in elements described
2444  in Subsection (4)(b)(iii); and
2445  (E) would be cost effective; and
2446  (iii) other relevant criteria as the relevant advisory council and the talent board
2447  determines.
2448    (7) The board shall review the recommendations of an advisory council and may provide
2449        funding for a program related to a talent initiative using the criteria described in
2450        Subsection (6)(b).
2451    (8) In a form that the board approves, each institution of higher education that receives
2452        funding shall annually provide written information to the board regarding the activities,
2453        successes, and challenges related to administering the program related to the talent
2454        initiative, including:
2455        (a) specific entities that received funding under this section;
2456        (b) the amount of funding provided to each entity;
2457        (c) the number of participating students in each program;
2458        (d) the number of graduates of the program;
2459        (e) the number of graduates of the program employed in jobs requiring skills related to
2460  the talent initiative; and
2461        (f) progress and achievements relevant to the implementation timeline submitted under
2462  Subsection (4)(b)(i)(A).
2463    (9) On or before October 1 of each year, the board shall provide an annual written report
2464        containing the information described in Subsection (8) to the:
2465        (a) Education Interim Committee; and
2466        (b) Higher Education Appropriations Subcommittee.
2467    (10) The talent board shall create a talent advisory council for each talent initiative created
2468        under Subsection (2) to make recommendations to the board regarding the
2469        administration of a talent initiative including:
2470        (a) a deep technology initiative;
2471        (b) a life sciences workforce initiative;
2472        (c) engineering and computer technology; and
2473        (d) health professions initiatives including a nursing initiative.
2474    (11) An advisory council shall consist of the following members:
2475        (a) a minimum of four members who have extensive experience in the talent initiative's
                                                        - 73 -
       H.B. 475  Enrolled Copy
2476  subject matter from the private sector whom the chair of the talent board appoints and
2477  the board approves;
2478  (b) a representative of the board described in Section 53H-1-203 whom the chair of the
2479  board appoints;
2480  (c) a representative of the Governor's Office of Economic [Opportunity] Development
2481  whom the executive director of the Governor's Office of Economic [Opportunity]
2482  Development appoints;
2483  (d) a representative from Talent Ready Utah; and
2484  (e) any other specialized industry experts whom a majority of the advisory council may
2485  invite to participate as needed as nonvoting members.
2486     (12) Talent Ready Utah shall provide staff support for an advisory council.
2487     (13)(a) Two advisory council members appointed under Subsection (11)(a) shall serve
2488  an initial term of two years.
2489  (b) Except as described in Subsection (13)(a), all other advisory council members shall
2490  serve an initial term of four years.
2491  (c) Successor advisory council members upon appointment or reappointment shall each
2492  serve a term of four years.
2493  (d) When a vacancy occurs in the membership for any reason, the initial appointing
2494  authority shall appoint a replacement for the unexpired term.
2495  (e) An advisory council member may not serve more than two consecutive terms.
2496     (14) A vote of a majority of the advisory council members constitutes an action of the
2497  advisory council.
2498     (15) The duties of the advisory council include reviewing, prioritizing, and making
2499  recommendations to the board regarding proposals for funding under the talent initiative
2500  created in accordance with Subsection (2) for which the council was created.
2501     (16) An advisory council member may not receive compensation or benefits for the
2502  member's service, but may receive per diem and travel expenses in accordance with:
2503  (a) Sections 63A-3-106 and 63A-3-107; and
2504  (b) rules made by the Division of Finance pursuant to Sections 63A-3-106 and
2505  63A-3-107.
2506     (17) The board may discontinue a talent initiative and the related talent advisory council by
2507  majority vote.
2508  Section 41. Section 53H-13-403 is amended to read:
2509  53H-13-403 (Effective 05/06/26). Talent portal requirements -- Administration --
                                                         - 74 -
       Enrolled Copy  H.B. 475
2510    Labor market data integration.
2511    (1) The talent portal shall:
2512        (a) focus on industries and occupations identified as high-demand in collaboration with
2513  Talent Ready Utah, the Governor's Office of Economic [Opportunity] Development,
2514  and the Department of Workforce Services and in coordination with state labor
2515  market data;
2516        (b) provide an intuitive, user-friendly interface for job seekers and employers;
2517        (c) include robust search, filtering, and geolocation options;
2518        (d) offer mobile-optimized access;
2519        (e) allow users to create profiles and upload resumes;
2520        (f) integrate with relevant training, credentialing, and educational resources;
2521        (g) connect prospective talent to industry requirements for posted high-demand jobs;
2522        (h) highlight internships, apprenticeships, and career pathway opportunities;
2523        (i) provide data analytics to employers on job listing performance;
2524        (j) implement security measures to protect user data and verify employer listings; and
2525        (k) be accessible to users with disabilities in compliance with the Americans with
2526  Disabilities Act.
2527    (2) In accordance with Subsection (3), the talent portal administrator shall:
2528        (a) partner with:
2529  (i) Talent Ready Utah;
2530  (ii) the Governor's Office of Economic [Opportunity] Development;
2531  (iii) the Department of Workforce Services;
2532  (iv) industry associations; and
2533  (v) employers to enhance talent portal offerings;
2534        (b) partner with the State Tax Commission to reconcile that employers registering to
2535  utilize the talent portal are businesses registered to do business in the state of Utah
2536  and are in good standing;
2537        (c) conduct targeted outreach to promote the talent portal to:
2538  (i) institutions of higher education within the Utah System of Higher Education;
2539  (ii) students; and
2540  (iii) Utah employers;
2541        (d) regularly collect and analyze user feedback to improve the talent portal; and
2542        (e) provide annual reports on talent portal performance metrics, including:
2543  (i) usage statistics;
                                                      - 75 -
       H.B. 475  Enrolled Copy
2544  (ii) placement rates; and
2545  (iii) user demographics.
2546     (3) The talent portal administrator shall:
2547  (a) utilize current labor market data to inform job listings, industry focus, and emerging
2548  opportunities;
2549  (b) update high-demand job categories at least annually based on projected growth,
2550  wage data, and workforce needs; and
2551  (c) provide labor market insights to users, including salary ranges, career growth trends,
2552  and skill requirements.
2553     (4) The talent portal administrator shall ensure that the talent portal has the ability to
2554  dynamically adjust to reflect changes in labor market trends and high-demand
2555  occupations.
2556  Section 42. Section 53H-16-303 is amended to read:
2557  53H-16-303 (Effective 05/06/26). Institute board duties and powers.
2558     (1) The institute board shall:
2559  (a) manage and conduct the business and affairs of the institute and determine all
2560  questions of institute and Utah innovation fund policy;
2561  (b) provide strategic oversight for all institute initiatives;
2562  (c) support and guide workforce development, innovation, and policy integration across
2563  institutions and industry;
2564  (d) consistent with this chapter, oversee the Utah innovation fund and investment
2565  committee;
2566  (e) coordinate efforts and collaborations across innovation districts;
2567  (f) create opportunities for students through projects and partnerships;
2568  (g) set compensation and incentives for the executive director;
2569  (h) advance the purposes of the Utah innovation fund as described in Section
2570  53H-16-402; and
2571  (i) consider investment proposals and determine whether a proposal furthers the
2572  objectives of the fund.
2573     (2) The institute board may establish independent committees for the purpose of assisting
2574  the institute board in an advisory role.
2575     (3) In coordination with the Governor's Office of Economic [Opportunity] Development
2576  created in Section 63N-1a-301, the institute board shall convene and facilitate
2577  discussions with industry, education, and policy makers to promote regulatory
                                                        - 76 -
       Enrolled Copy  H.B. 475
2578        innovation.
2579  Section 43. Section 54-4-41 is amended to read:
2580  54-4-41 (Effective 05/06/26). Recovery of investment in utility-owned vehicle
2581    charging infrastructure.
2582    (1) As used in this section, "charging infrastructure program" means the program described
2583        in Subsection (2).
2584    (2) The commission shall authorize a large-scale electric utility program that:
2585        (a) allows for funding from large-scale electric utility customers for a maximum of
2586  $50,000,000 for all costs and expenses associated with:
2587  (i) the deployment of utility-owned vehicle charging infrastructure; and
2588  (ii) utility vehicle charging service provided by the large-scale electric utility;
2589        (b) creates a new customer class, with a utility vehicle charging service rate structure
2590  that:
2591  (i) is determined by the commission to be in the public interest;
2592  (ii) is a transitional rate structure expected to allow the large-scale electric utility to
2593  recover, through charges to utility vehicle charging service customers, the
2594  large-scale electric utility's full cost of service for utility-owned vehicle charging
2595  infrastructure and utility vehicle charging service over a reasonable time frame
2596  determined by the commission; and
2597  (iii) may allow different rates for large-scale electric utility customers to reflect
2598  contributions to investment; and
2599        (c) includes a transportation plan that promotes:
2600  (i) the deployment of utility-owned vehicle charging infrastructure in the public
2601  interest; and
2602  (ii) the availability of utility vehicle charging service.
2603    (3) Before submitting a proposed charging infrastructure program to the commission for
2604        commission approval under Subsection (2), a large-scale electric utility shall seek and
2605        consider input from:
2606        (a) the Division of Public Utilities, established in Section 54-4a-1;
2607        (b) the Office of Consumer Services, created in Section 54-10a-201;
2608        (c) the Division of Air Quality, created in Section 19-1-105;
2609        (d) the Department of Transportation, created in Section 72-1-201;
2610        (e) the Governor's Office of Economic [Opportunity] Development, created in Section
2611  63N-1a-301;
                                                       - 77 -
       H.B. 475  Enrolled Copy
2612  (f) the Office of Energy Development, created in Section 79-6-401;
2613  (g) the board of the Utah Inland Port Authority, created in Section 11-58-201;
2614  (h) representatives of the Point of the Mountain State Land Development Authority,
2615  created in Section 11-59-201;
2616  (i) third-party electric vehicle battery charging service operators; and
2617  (j) any other person who files a request for notice with the commission.
2618     (4) The commission shall find a charging infrastructure program to be in the public interest
2619  if the commission finds that the charging infrastructure program:
2620  (a) increases the availability of electric vehicle battery charging service in the state;
2621  (b) enables the significant deployment of infrastructure that supports electric vehicle
2622  battery charging service and utility-owned vehicle charging infrastructure in a
2623  manner reasonably expected to increase electric vehicle adoption;
2624  (c) includes an evaluation of investments in the areas of the authority jurisdictional land,
2625  as defined in Section 11-58-102, and the point of the mountain state land, as defined
2626  in Section 11-59-102;
2627  (d) enables competition, innovation, and customer choice in electric vehicle battery
2628  charging services, while promoting low-cost services for electric vehicle battery
2629  charging customers; and
2630  (e) provides for ongoing coordination with the Department of Transportation, created in
2631  Section 72-1-201.
2632     (5) The commission may, consistent with Subsection (2), approve an amendment to the
2633  charging infrastructure program if the large-scale electric utility demonstrates that the
2634  amendment:
2635  (a) is prudent;
2636  (b) will provide net benefits to customers; and
2637  (c) is otherwise consistent with the requirements of Subsection (2).
2638     (6) The commission shall authorize recovery of a large-scale electric utility's investment in
2639  utility-owned vehicle charging infrastructure through a balancing account or other
2640  ratemaking treatment that reflects:
2641  (a) charging infrastructure program costs associated with prudent investment, including
2642  the large-scale electric utility's pre-tax average weighted cost of capital approved by
2643  the commission in the large-scale electric utility's most recent general rate
2644  proceeding, and associated revenue and prudently incurred expenses; and
2645  (b) a carrying charge.
                                                        - 78 -
       Enrolled Copy  H.B. 475
2646    (7) A large-scale electric utility's investment in utility-owned vehicle charging
2647        infrastructure is prudently made if the large-scale electric utility demonstrates in a
2648        formal adjudicative proceeding before the commission that the investment can
2649        reasonably be anticipated to:
2650        (a) result in one or more projects that are in the public interest of the large-scale electric
2651  utility's customers to reduce transportation sector emissions over a reasonable time
2652  period as determined by the commission;
2653        (b) provide the large-scale electric utility's customers significant benefits that may
2654  include revenue from utility vehicle charging service that offsets the large-scale
2655  electric utility's costs and expenses; and
2656        (c) facilitate any other measure that the commission determines:
2657  (i) promotes deployment of utility-owned vehicle charging infrastructure and utility
2658  vehicle charging service; or
2659  (ii) creates significant benefits in the long term for customers of the large-scale
2660  electric utility.
2661    (8) A large-scale electric utility that establishes and implements a charging infrastructure
2662        program shall annually, on or before June 1, submit a written report to the Public
2663        Utilities, Energy, and Technology Interim Committee [of the Legislature ]about the
2664        charging infrastructure program's activities during the previous calendar year, including
2665        information on:
2666        (a) the charging infrastructure program's status, operation, funding, and benefits;
2667        (b) the disposition of charging infrastructure program funds; and
2668        (c) the charging infrastructure program's impact on rates.
2669  Section 44. Section 59-1-403 is amended to read:
2670  59-1-403 (Effective 05/06/26) (Partially Repealed 07/01/29). Confidentiality --
2671    Exceptions -- Penalty -- Application to property tax.
2672    (1) As used in this section:
2673        (a) "Distributed tax, fee, or charge" means a tax, fee, or charge:
2674  (i) the commission administers under:
2675  (A) this title, other than a tax under Chapter 12, Part 2, Local Sales and Use Tax
2676  Act;
2677  (B) Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
2678  (C) Title 10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act;
2679  (D) Section 19-6-805;
                                                       - 79 -
       H.B. 475  Enrolled Copy
2680  (E) Section 63H-1-205; or
2681  (F) Title 69, Chapter 2, Part 4, Prepaid Wireless Telecommunications Service
2682  Charges; and
2683  (ii) with respect to which the commission distributes the revenue collected from the
2684  tax, fee, or charge to a qualifying jurisdiction.
2685        (b) ["GOEO"] "GOED" means the Governor's Office of Economic [Opportunity]
2686  Development created in Section 63N-1a-301.
2687        (c) "Qualifying jurisdiction" means:
2688  (i) a county, city, or town;
2689  (ii) the military installation development authority created in Section 63H-1-201;
2690  (iii) the Utah Inland Port Authority created in Section 11-58-201; or
2691  (iv) the Utah Fairpark Area Investment and Restoration District created in Section
2692  11-70-201.
2693     (2)(a) Any of the following may not divulge or make known in any manner any
2694        information gained by that person from any return filed with the commission:
2695  (i) a tax commissioner;
2696  (ii) an agent, clerk, or other officer or employee of the commission; or
2697  (iii) a representative, agent, clerk, or other officer or employee of any county, city, or
2698  town.
2699        (b) An official charged with the custody of a return filed with the commission is not
2700  required to produce the return or evidence of anything contained in the return in any
2701  action or proceeding in any court, except:
2702  (i) in accordance with judicial order;
2703  (ii) on behalf of the commission in any action or proceeding under:
2704  (A) this title; or
2705  (B) other law under which persons are required to file returns with the
2706  commission;
2707  (iii) on behalf of the commission in any action or proceeding to which the
2708  commission is a party; or
2709  (iv) on behalf of any party to any action or proceeding under this title if the report or
2710  facts shown by the return are directly involved in the action or proceeding.
2711        (c) Notwithstanding Subsection (2)(b), a court may require the production of, and may
2712  admit in evidence, any portion of a return or of the facts shown by the return, as are
2713  specifically pertinent to the action or proceeding.
                                                        - 80 -
       Enrolled Copy  H.B. 475
2714        (d) Notwithstanding any other provision of state law, a person described in Subsection
2715  (2)(a) may not divulge or make known in any manner any information gained by that
2716  person from any return filed with the commission to the extent that the disclosure is
2717  prohibited under federal law.
2718    (3) This section does not prohibit:
2719        (a) a person or that person's [duly ]authorized representative from receiving a copy of
2720  any return or report filed in connection with that person's own tax;
2721        (b) the publication of statistics as long as the statistics are classified to prevent the
2722  identification of particular reports or returns; and
2723        (c) the inspection by the attorney general or other legal representative of the state of the
2724  report or return of any taxpayer:
2725  (i) who brings action to set aside or review a tax based on the report or return;
2726  (ii) against whom an action or proceeding is contemplated or has been instituted
2727  under this title; or
2728  (iii) against whom the state has an unsatisfied money judgment.
2729    (4)(a) Notwithstanding Subsection (2) and for purposes of administration, the
2730        commission may by rule, made in accordance with Title 63G, Chapter 3, Utah
2731        Administrative Rulemaking Act, provide for a reciprocal exchange of information
2732        with:
2733  (i) the United States Internal Revenue Service; or
2734  (ii) the revenue service of any other state.
2735        (b) Notwithstanding Subsection (2) and for all taxes except individual income tax and
2736  corporate franchise tax, the commission may by rule, made in accordance with Title
2737  63G, Chapter 3, Utah Administrative Rulemaking Act, share information gathered
2738  from returns and other written statements with the federal government, any other
2739  state, any of the political subdivisions of another state, or any political subdivision of
2740  this state, except as limited by Sections 59-12-209 and 59-12-210, if the political
2741  subdivision, other state, or the federal government grant substantially similar
2742  privileges to this state.
2743        (c) Notwithstanding Subsection (2) and for all taxes except individual income tax and
2744  corporate franchise tax, the commission may by rule, in accordance with Title 63G,
2745  Chapter 3, Utah Administrative Rulemaking Act, provide for the issuance of
2746  information concerning the identity and other information of taxpayers who have
2747  failed to file tax returns or to pay any tax due.
                                                       - 81 -
       H.B. 475  Enrolled Copy
2748        (d) Notwithstanding Subsection (2), the commission shall provide to the director of the
2749  Division of Environmental Response and Remediation, as defined in Section
2750  19-6-402, as requested by the director of the Division of Environmental Response
2751  and Remediation, any records, returns, or other information filed with the
2752  commission under Chapter 13, Motor and Special Fuel Tax Act, or Section
2753  19-6-410.5 regarding the environmental assurance program participation fee.
2754        (e) Notwithstanding Subsection (2), at the request of any person the commission shall
2755  provide that person sales and purchase volume data reported to the commission on a
2756  report, return, or other information filed with the commission under:
2757  (i) Chapter 13, Part 2, Motor Fuel; or
2758  (ii) Chapter 13, Part 4, Aviation Fuel.
2759        (f) Notwithstanding Subsection (2), upon request from a tobacco product manufacturer,
2760  as defined in Section 59-22-202, the commission shall report to the manufacturer:
2761  (i) the quantity of cigarettes, as defined in Section 59-22-202, produced by the
2762  manufacturer and reported to the commission for the previous calendar year under
2763  Section 59-14-407; and
2764  (ii) the quantity of cigarettes, as defined in Section 59-22-202, produced by the
2765  manufacturer for which a tax refund was granted during the previous calendar
2766  year under Section 59-14-401 and reported to the commission under Subsection
2767  59-14-401(1)(a)(v).
2768        (g) Notwithstanding Subsection (2), the commission shall notify manufacturers,
2769  distributors, wholesalers, and retail dealers of a tobacco product manufacturer that is
2770  prohibited from selling cigarettes to consumers within the state under Subsection
2771  59-14-210(2).
2772        (h) Notwithstanding Subsection (2), the commission may:
2773  (i) provide to the Division of Consumer Protection within the Department of
2774  Commerce and the attorney general data:
2775  (A) reported to the commission under Section 59-14-212; or
2776  (B) related to a violation under Section 59-14-211; and
2777  (ii) upon request, provide to any person data reported to the commission under
2778  Subsections 59-14-212(1)(a) through (c) and Subsection 59-14-212(1)(g).
2779        (i) Notwithstanding Subsection (2), the commission shall, at the request of a committee
2780  of the Legislature, the Office of the Legislative Fiscal Analyst, or the Governor's
2781  Office of Planning and Budget, provide to the committee or office the total amount of
                                                       - 82 -
       Enrolled Copy  H.B. 475
2782  revenue collected by the commission under Chapter 24, Radioactive Waste Facility
2783  Tax Act, for the time period specified by the committee or office.
2784        (j) Notwithstanding Subsection (2), the commission shall make the directory required by
2785  Section 59-14-603 available for public inspection.
2786        (k) Notwithstanding Subsection (2), the commission may share information with federal,
2787  state, or local agencies as provided in Subsection 59-14-606(3).
2788        (l)(i) Notwithstanding Subsection (2), the commission shall provide the Office of
2789  Recovery Services within the Department of Health and Human Services any
2790  relevant information obtained from a return filed under Chapter 10, Individual
2791  Income Tax Act, regarding a taxpayer who has become obligated to the Office of
2792  Recovery Services.
2793  (ii) The information described in Subsection (4)(l)(i) may be provided by the Office
2794  of Recovery Services to any other state's child support collection agency involved
2795  in enforcing that support obligation.
2796        (m)(i) Notwithstanding Subsection (2), upon request from the state court
2797  administrator, the commission shall provide to the state court administrator, the
2798  name, address, telephone number, county of residence, and social security number
2799  on resident returns filed under Chapter 10, Individual Income Tax Act.
2800  (ii) The state court administrator may use the information described in Subsection
2801  (4)(m)(i) only as a source list for the master jury list described in Section
2802  78B-1-106.
2803        (n)(i) As used in this Subsection (4)(n):
2804  (A) "GOED" means the Governor's Office of Economic Development created in
2805  Section 63N-1a-301.
2806  (B) "Income tax information" means information gained by the commission that is
2807  required to be attached to or included in a return filed with the commission
2808  under Chapter 7, Corporate Franchise and Income Taxes, or Chapter 10,
2809  Individual Income Tax Act.
2810  [(B)] (C) "Other tax information" means information gained by the commission
2811  that is required to be attached to or included in a return filed with the
2812  commission except for a return filed under Chapter 7, Corporate Franchise and
2813  Income Taxes, or Chapter 10, Individual Income Tax Act.
2814  [(C)] (D) "Tax information" means income tax information or other tax
2815  information.
                                                        - 83 -
       H.B. 475  Enrolled Copy
2816  (ii)(A) Notwithstanding Subsection (2) and except as provided in Subsection
2817  (4)(n)(ii)(B) or (C), the commission shall at the request of [GOEO] GOED
2818  provide to [GOEO] GOED all income tax information.
2819  (B) For purposes of a request for income tax information made under Subsection
2820  (4)(n)(ii)(A), [GOEO] GOED may not request and the commission may not
2821  provide to [GOEO] GOED a person's address, name, social security number, or
2822  taxpayer identification number.
2823  (C) In providing income tax information to [GOEO] GOED, the commission shall
2824  in all instances protect the privacy of a person as required by Subsection
2825  (4)(n)(ii)(B).
2826  (iii)(A) Notwithstanding Subsection (2) and except as provided in Subsection
2827  (4)(n)(iii)(B), the commission shall at the request of [GOEO] GOED provide to [
2828  GOEO] GOED other tax information.
2829  (B) Before providing other tax information to [GOEO] GOED, the commission
2830  shall redact or remove any name, address, social security number, or taxpayer
2831  identification number.
2832  (iv) [GOEO] GOED may provide tax information received from the commission in
2833  accordance with this Subsection (4)(n) only:
2834  (A) as a fiscal estimate, fiscal note information, or statistical information; and
2835  (B) if the tax information is classified to prevent the identification of a particular
2836  return.
2837  (v)(A) A person may not request tax information from [GOEO] GOED under Title
2838  63G, Chapter 2, Government Records Access and Management Act, or this
2839  section, if [GOEO] GOED received the tax information from the commission in
2840  accordance with this Subsection (4)(n).
2841  (B) [GOEO] GOED may not provide to a person that requests tax information in
2842  accordance with Subsection (4)(n)(v)(A) any tax information other than the tax
2843  information [GOEO] GOED provides in accordance with Subsection (4)(n)(iv).
2844        (o) Notwithstanding Subsection (2), the commission may provide to the governing board
2845  of the agreement or a taxing official of another state, the District of Columbia, the
2846  United States, or a territory of the United States:
2847  (i) the following relating to an agreement sales and use tax:
2848  (A) information contained in a return filed with the commission;
2849  (B) information contained in a report filed with the commission;
                                                        - 84 -
       Enrolled Copy  H.B. 475
2850  (C) a schedule related to Subsection (4)(o)(i)(A) or (B); or
2851  (D) a document filed with the commission; or
2852  (ii) a report of an audit or investigation made with respect to an agreement sales and
2853  use tax.
2854        (p) Notwithstanding Subsection (2), the commission may provide information
2855  concerning a taxpayer's state income tax return or state income tax withholding
2856  information to the Driver License Division if the Driver License Division:
2857  (i) requests the information; and
2858  (ii) provides the commission with a signed release form from the taxpayer allowing
2859  the Driver License Division access to the information.
2860        (q) Notwithstanding Subsection (2), the commission shall provide to the Utah
2861  Communications Authority, or a division of the Utah Communications Authority, the
2862  information requested by the authority under Sections 63H-7a-302, 63H-7a-402, and
2863  63H-7a-502.
2864        (r) Notwithstanding Subsection (2), the commission shall provide to the Utah
2865  Educational Savings Plan information related to a resident or nonresident individual's
2866  contribution to a Utah Educational Savings Plan account as designated on the
2867  resident or nonresident's individual income tax return as provided under Section
2868  59-10-1313.
2869        (s) Notwithstanding Subsection (2), for the purpose of verifying eligibility under
2870  Sections 26B-3-106 and 26B-3-903, the commission shall provide an eligibility
2871  worker with the Department of Health and Human Services or [its] the department's
2872  designee with the adjusted gross income of an individual if:
2873  (i) an eligibility worker with the Department of Health and Human Services or [its]
2874  the department's designee requests the information from the commission; and
2875  (ii) the eligibility worker has complied with the identity verification and consent
2876  provisions of Sections 26B-3-106 and 26B-3-903.
2877        (t) Notwithstanding Subsection (2), the commission may provide to a county, as
2878  determined by the commission, information declared on an individual income tax
2879  return in accordance with Section 59-10-103.1 that relates to eligibility to claim a
2880  residential exemption authorized under Section 59-2-103.
2881        (u) Notwithstanding Subsection (2), the commission shall provide a report regarding any
2882  access line provider that is over 90 days delinquent in payment to the commission of
2883  amounts the access line provider owes under Title 69, Chapter 2, Part 4, Prepaid
                                                     - 85 -
       H.B. 475  Enrolled Copy
2884  Wireless Telecommunications Service Charges, to [ ]the board of the Utah
2885  Communications Authority created in Section 63H-7a-201.
2886        (v) Notwithstanding Subsection (2), the commission shall provide the Department of
2887  Environmental Quality a report on the amount of tax paid by a radioactive waste
2888  facility for the previous calendar year under Section 59-24-103.5.
2889        (w) Notwithstanding Subsection (2), the commission may, upon request, provide to the
2890  Department of Workforce Services any information received under Chapter 10, Part
2891  4, Withholding of Tax, that is relevant to the duties of the Department of Workforce
2892  Services.
2893        (x) Notwithstanding Subsection (2), the commission may provide the Public Service
2894  Commission or the Division of Public Utilities information related to a seller that
2895  collects and remits to the commission a charge described in Subsection 69-2-405(2),
2896  including the seller's identity and the number of charges described in Subsection
2897  69-2-405(2) that the seller collects.
2898        (y)(i) Notwithstanding Subsection (2), the commission shall provide to each
2899  qualifying jurisdiction the collection data necessary to verify the revenue collected
2900  by the commission for a distributed tax, fee, or charge collected within the
2901  qualifying jurisdiction.
2902  (ii) In addition to the information provided under Subsection (4)(y)(i), the
2903  commission shall provide a qualifying jurisdiction with copies of returns and other
2904  information relating to a distributed tax, fee, or charge collected within the
2905  qualifying jurisdiction.
2906  (iii)(A) To obtain the information described in Subsection (4)(y)(ii), the chief
2907  executive officer or the chief executive officer's designee of the qualifying
2908  jurisdiction shall submit a written request to the commission that states the
2909  specific information sought and how the qualifying jurisdiction intends to use
2910  the information.
2911  (B) The information described in Subsection (4)(y)(ii) is available only in official
2912  matters of the qualifying jurisdiction.
2913  (iv) Information that a qualifying jurisdiction receives in response to a request under
2914  this subsection is:
2915  (A) classified as a private record under Title 63G, Chapter 2, Government Records
2916  Access and Management Act; and
2917  (B) subject to the confidentiality requirements of this section.
                                                          - 86 -
       Enrolled Copy  H.B. 475
2918        (z) Notwithstanding Subsection (2), the commission shall provide the Alcoholic
2919  Beverage Services Commission, upon request, with taxpayer status information
2920  related to state tax obligations necessary to comply with the requirements described
2921  in Section 32B-1-203.
2922        (aa) Notwithstanding Subsection (2), the commission shall inform the Department of
2923  Workforce Services, as soon as practicable, whether an individual claimed and is
2924  entitled to claim a federal earned income tax credit for the year requested by the
2925  Department of Workforce Services if:
2926  (i) the Department of Workforce Services requests this information; and
2927  (ii) the commission has received the information release described in Section
2928  35A-9-604.
2929        (bb)(i) As used in this Subsection (4)(bb), "unclaimed property administrator" means
2930  the administrator or the administrator's agent, as those terms are defined in Section
2931  67-4a-102.
2932  (ii)(A) Notwithstanding Subsection (2), upon request from the unclaimed property
2933  administrator and to the extent allowed under federal law, the commission shall
2934  provide the unclaimed property administrator the name, address, telephone
2935  number, county of residence, and social security number or federal employer
2936  identification number on any return filed under Chapter 7, Corporate Franchise
2937  and Income Taxes, or Chapter 10, Individual Income Tax Act.
2938  (B) The unclaimed property administrator may use the information described in
2939  Subsection (4)(bb)(ii)(A) only for the purpose of returning unclaimed property
2940  to the property's owner in accordance with Title 67, Chapter 4a, Revised
2941  Uniform Unclaimed Property Act.
2942  (iii) The unclaimed property administrator is subject to the confidentiality provisions
2943  of this section with respect to any information the unclaimed property
2944  administrator receives under this Subsection (4)(bb).
2945        (cc) Notwithstanding Subsection (2), the commission may, upon request, disclose a
2946  taxpayer's state individual income tax information to a program manager of the Utah
2947  Fits All Scholarship Program under Section 53F-6-402 if:
2948  (i) the taxpayer consents in writing to the disclosure;
2949  (ii) the taxpayer's written consent includes the taxpayer's name, social security
2950  number, and any other information the commission requests that is necessary to
2951  verify the identity of the taxpayer; and
                                                     - 87 -
       H.B. 475  Enrolled Copy
2952  (iii) the program manager provides the taxpayer's written consent to the commission.
2953  (dd) Notwithstanding Subsection (2), the commission may provide to the Division of
2954  Finance within the Department of Government Operations any information necessary
2955  to facilitate a payment from the commission to a taxpayer, including:
2956  (i) the name of the taxpayer entitled to the payment or any other person legally
2957  authorized to receive the payment;
2958  (ii) the taxpayer identification number of the taxpayer entitled to the payment;
2959  (iii) the payment identification number and amount of the payment;
2960  (iv) the tax year to which the payment applies and date on which the payment is due;
2961  (v) a mailing address to which the payment may be directed; and
2962  (vi) information regarding an account at a depository institution to which the
2963  payment may be directed, including the name of the depository institution, the
2964  type of account, the account number, and the routing number for the account.
2965  (ee) Notwithstanding Subsection (2), the commission shall provide the total amount of
2966  revenue collected by the commission under Subsection 59-5-202(5):
2967  (i) at the request of a committee of the Legislature, the Office of the Legislative
2968  Fiscal Analyst, or the Governor's Office of Planning and Budget, to the committee
2969  or office for the time period specified by the committee or office; and
2970  (ii) to the Division of Finance for purposes of the Division of Finance administering
2971  Subsection 59-5-202(5).
2972  (ff) Notwithstanding Subsection (2), the commission may provide the Department of
2973  Agriculture and Food with information from a return filed in accordance with
2974  Chapter 31, Cannabinoid Licensing and Tax Act.
2975  (gg) Notwithstanding Subsection (2), the commission shall provide the Department of
2976  Workforce Services with the information described in Section 35A-3-105.
2977  (hh) Notwithstanding Subsection (2), the commission may provide aggregated
2978  information to the Utah Population Committee, created in Section 63C-20-103, if the
2979  Utah Population Committee requests the information in accordance with Section
2980  63C-20-105.
2981     (5)(a) Each report and return shall be preserved for at least three years.
2982  (b) After the three-year period provided in Subsection (5)(a) the commission may
2983  destroy a report or return.
2984     (6)(a) Any individual who violates this section is guilty of a class A misdemeanor.
2985  (b) If the individual described in Subsection (6)(a) is an officer or employee of the state,
                                                       - 88 -
       Enrolled Copy  H.B. 475
2986  the individual shall be dismissed from office and be disqualified from holding public
2987  office in this state for a period of five years thereafter.
2988        (c) Notwithstanding Subsection (6)(a) or (b), [GOEO] GOED, when requesting
2989  information in accordance with Subsection (4)(n)(iii), or an individual who requests
2990  information in accordance with Subsection (4)(n)(v):
2991  (i) is not guilty of a class A misdemeanor; and
2992  (ii) is not subject to:
2993  (A) dismissal from office in accordance with Subsection (6)(b); or
2994  (B) disqualification from holding public office in accordance with Subsection
2995  (6)(b).
2996        (d) Notwithstanding Subsection (6)(a) or (b), for a disclosure of information to the
2997  Office of the Legislative Auditor General in accordance with Title 36, Chapter 12,
2998  Legislative Organization, an individual described in Subsection (2):
2999  (i) is not guilty of a class A misdemeanor; and
3000  (ii) is not subject to:
3001  (A) dismissal from office in accordance with Subsection (6)(b); or
3002  (B) disqualification from holding public office in accordance with Subsection
3003  (6)(b).
3004    (7) Except as provided in Section 59-1-404, this part does not apply to the property tax.
3005  Section 45. Section 59-7-159 is amended to read:
3006  59-7-159 (Effective 05/06/26) (Partially Repealed 12/31/26). Review of credits
3007    allowed under this chapter.
3008    (1) As used in this section, "committee" means the Revenue and Taxation Interim
3009        Committee.
3010    (2)(a) The committee shall review each tax credit described in this chapter once every
3011        five years to determine whether to continue, modify, or repeal the tax credit.
3012        (b) In conducting the review required under Subsection (2)(a), the committee shall:
3013  (i) schedule time on a committee agenda to conduct the review as needed;
3014  (ii) invite state agencies, individuals, and organizations concerned with a tax credit
3015  under review to provide oral or written testimony;
3016  (iii)(A) invite the Governor's Office of Economic [Opportunity] Development to
3017  present a summary and analysis of the information for each tax credit [
3018  regarding] for which the Governor's Office of Economic [Opportunity]
3019  Development is required to make a report under this chapter; and
                                                       - 89 -
       H.B. 475  Enrolled Copy
3020  (B) invite the Office of the Legislative Fiscal Analyst to present a summary and
3021  analysis of the information for each tax credit regarding which the Office of the
3022  Legislative Fiscal Analyst is required to make a report under this chapter;
3023  (iv) evaluate:
3024  (A) the cost of the tax credit to the state;
3025  (B) the purpose and effectiveness of the tax credit; and
3026  (C) the extent to which the state benefits from the tax credit; and
3027  (v) undertake other review efforts as determined by the committee chairs or as
3028  otherwise required by law.
3029  Section 46. Section 59-7-614.2 is amended to read:
3030  59-7-614.2 (Effective 05/06/26). Refundable economic development tax credit.
3031     (1) As used in this section:
3032  (a) "Business entity" means a taxpayer that meets the definition of "business entity" as
3033  defined in Section 63N-2-103.
3034  (b) "Incremental job" means the same as that term is defined in Section 63N-1a-102.
3035  (c) "New state revenue" means the same as that term is defined in Section 63N-1a-102.
3036  (d) "Office" means the Governor's Office of Economic [Opportunity] Development.
3037     (2) Subject to the other provisions of this section, a business entity may claim a refundable
3038  tax credit for economic development.
3039     (3) The tax credit under this section is the amount listed as the tax credit amount on the tax
3040  credit certificate that the office issues to the business entity for the taxable year.
3041     (4)(a) In accordance with any rules prescribed by the commission under Subsection
3042  (4)(b), the commission shall make a refund to a business entity that claims a tax
3043  credit under this section if the amount of the tax credit exceeds the business entity's
3044  tax liability for a taxable year.
3045  (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
3046  commission may make rules providing procedures for making a refund to a business
3047  entity as required by Subsection (4)(a).
3048     (5)(a) To assist the Revenue and Taxation Interim Committee with the review required
3049  by Section 59-7-159, the office shall provide the following information, if available
3050  to the office, to the Revenue and Taxation Interim Committee by electronic means:
3051  (i) the amount of tax credit that the office grants to each business entity for each
3052  calendar year;
3053  (ii) the criteria that the office uses in granting a tax credit;
                                                         - 90 -
       Enrolled Copy  H.B. 475
3054  (iii) the new state revenue generated by the business entity for the calendar year;
3055  (iv) estimates for each of the next three calendar years of the following:
3056  (A) the amount of tax credits that the office will grant;
3057  (B) the amount of new state revenue that will be generated; and
3058  (C) the number of new incremental jobs within the state that will be generated;
3059  (v) the information contained in the office's latest report under Section 63N-2-106;
3060  and
3061  (vi) any other information that the Revenue and Taxation Interim Committee requests.
3062        (b) In providing the information described in Subsection (5)(a), the office shall redact
3063  information that identifies a recipient of a tax credit under this section.
3064        (c) If, notwithstanding the redactions made under Subsection (5)(b), reporting the
3065  information described in Subsection (5)(a) might disclose the identity of a recipient
3066  of a tax credit, the office may file a request with the Revenue and Taxation Interim
3067  Committee to provide the information described in Subsection (5)(a) in the aggregate
3068  for all business entities that receive the tax credit under this section.
3069  Section 47. Section 59-7-614.5 is amended to read:
3070  59-7-614.5 (Effective 05/06/26). Refundable motion picture tax credit.
3071    (1) As used in this section:
3072        (a) "Motion picture company" means a taxpayer that meets the definition of a motion
3073  picture company under Section 63N-8-102.
3074        (b) "Office" means the Governor's Office of Economic [Opportunity] Development
3075  created in Section 63N-1a-301.
3076        (c) "State-approved production" means the same as that term is defined in Section
3077  63N-8-102.
3078    (2) A motion picture company may claim a refundable tax credit for a state-approved
3079        production.
3080    (3) The tax credit under this section is the amount listed as the tax credit amount on the tax
3081        credit certificate that the office issues to a motion picture company under Section
3082        63N-8-103 for the taxable year.
3083    (4)(a) In accordance with any rules prescribed by the commission under Subsection
3084        (4)(b), the commission shall make a refund to a motion picture company that claims a
3085        tax credit under this section if the amount of the tax credit exceeds the motion picture
3086        company's tax liability for a taxable year.
3087        (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
                                                       - 91 -
       H.B. 475  Enrolled Copy
3088  commission may make rules providing procedures for making a refund to a motion
3089  picture company as required by Subsection (4)(a).
3090     (5)(a)(i) To assist the Revenue and Taxation Interim Committee with the review
3091  required by Section 59-7-159, the office shall provide the following information,
3092  if available to the office, to the Office of the Legislative Fiscal Analyst by
3093  electronic means:
3094  (A) the amount of tax credit that the office grants to each motion picture company
3095  for each calendar year;
3096  (B) estimates of the amount of tax credit that the office will grant for each of the
3097  next three calendar years;
3098  (C) the criteria that the office uses in granting the tax credit;
3099  (D) the dollars left in the state, as defined in Section 63N-8-102, by each motion
3100  picture company for each calendar year;
3101  (E) the information contained in the office's latest report under Section 63N-1a-306;
3102  and
3103  (F) any other information that the Office of the Legislative Fiscal Analyst requests.
3104  (ii) In providing the information described in Subsection (5)(a)(i), the office shall
3105  redact information that identifies a recipient of a tax credit under this section.
3106  (iii) If, notwithstanding the redactions made under Subsection (5)(a)(ii), reporting the
3107  information described in Subsection (5)(a)(i) might disclose the identity of a
3108  recipient of a tax credit, the office may file a request with the Revenue and
3109  Taxation Interim Committee to provide the information described in Subsection
3110  (5)(a)(i) in the aggregate for all motion picture companies that receive the tax
3111  credit under this section.
3112  (b) The Office of the Legislative Fiscal Analyst shall report to the Revenue and Taxation
3113  Interim Committee a summary and analysis of the information provided to the Office
3114  of the Legislative Fiscal Analyst by the office under Subsection (5)(a).
3115  Section 48. Section 59-7-614.10 is amended to read:
3116  59-7-614.10 (Effective 05/06/26) (Repealed 12/31/26). Nonrefundable enterprise
3117     zone tax credit.
3118     (1) As used in this section:
3119  (a) "Business entity" means a corporation that meets the definition of "business entity"
3120  as that term is defined in Section 63N-2-202.
3121  (b) "Office" means the Governor's Office of Economic [Opportunity] Development
                                                         - 92 -
       Enrolled Copy  H.B. 475
3122  created in Section 63N-1a-301.
3123    (2) Subject to the provisions of this section, for a taxable year beginning before January 1,
3124        2025, a business entity may claim a nonrefundable enterprise zone tax credit as
3125        described in Section 63N-2-213.
3126    (3) The enterprise zone tax credit under this section is the amount listed as the tax credit
3127        amount on the tax credit certificate that the office issues to the business entity for the
3128        taxable year.
3129    (4) A business entity may carry forward a tax credit under this section for a period that does
3130        not exceed the next three taxable years, if the amount of the tax credit exceeds the
3131        business entity's tax liability under this chapter for that taxable year.
3132    (5)(a)(i) To assist the Revenue and Taxation Interim Committee with the review
3133        required by Section 59-7-159, the office shall provide by electronic means the
3134        following information for each calendar year to the Office of the Legislative
3135        Fiscal Analyst:
3136  (A) the amount of tax credits provided in each development zone;
3137  (B) the number of new full-time employee positions reported to obtain tax credits
3138  in each development zone;
3139  (C) the amount of tax credits awarded for rehabilitating a building in each
3140  development zone;
3141  (D) the amount of tax credits awarded for investing in a plant, equipment, or other
3142  depreciable property in each development zone;
3143  (E) the information related to the tax credit contained in the office's latest report
3144  under Section 63N-1a-301; and
3145  (F) any other information that the Office of the Legislative Fiscal Analyst requests.
3146  (ii) In providing the information described in Subsection (5)(a)(i), the office shall
3147  redact information that identifies a recipient of a tax credit under this section.
3148  (iii) If, notwithstanding the redactions made under Subsection (5)(a)(ii), reporting the
3149  information described in Subsection (5)(a)(i) might disclose the identity of a
3150  recipient of a tax credit, the office may file a request with the Revenue and
3151  Taxation Interim Committee to provide the information described in Subsection
3152  (5)(a)(i) in the aggregate for all development zones that receive the tax credit
3153  under this section.
3154        (b) The Office of the Legislative Fiscal Analyst shall report to the Revenue and Taxation
3155  Interim Committee a summary and analysis of the information provided to the Office
                                                       - 93 -
       H.B. 475  Enrolled Copy
3156  of the Legislative Fiscal Analyst by the office under Subsection (5)(a).
3157  Section 49. Section 59-7-621 is amended to read:
3158  59-7-621 (Effective 05/06/26). Nonrefundable rural job creation tax credit.
3159     (1) As used in this section, "office" means the Governor's Office of Economic [Opportunity]
3160  Development created in Section 63N-1a-301.
3161     (2) Subject to the other provisions of this section, a taxpayer may claim a nonrefundable tax
3162  credit for rural job creation as provided in this section.
3163     (3) The tax credit under this section is the amount listed as the tax credit amount on a tax
3164  credit certificate that the office issues under Title 63N, Chapter 4, Part 3, Utah Rural
3165  Jobs Act, to the taxpayer for the taxable year.
3166     (4) If the amount of a tax credit under this section exceeds the taxpayer's tax liability under
3167  this chapter for the taxable year in which the taxpayer claims the tax credit, the taxpayer
3168  may carry forward the tax credit for:
3169  (a) the next seven taxable years, if the credit-eligible contribution as defined in Section
3170  63N-4-302 is made before November 1, 2022; or
3171  (b) the next four taxable years, if the credit-eligible contribution as defined in Section
3172  63N-4-302 is made on or after November 1, 2022.
3173  Section 50. Section 59-10-137 is amended to read:
3174  59-10-137 (Effective 05/06/26) (Partially Repealed 12/31/26). Review of credits
3175     allowed under this chapter.
3176     (1) As used in this section, "committee" means the Revenue and Taxation Interim
3177  Committee.
3178     (2)(a) The committee shall review each tax credit described in this chapter once every
3179  five years to determine whether to continue, modify, or repeal the tax credit.
3180  (b) In conducting the review required under Subsection (2)(a), the committee shall:
3181  (i) schedule time on a committee agenda to conduct the review as needed;
3182  (ii) invite state agencies, individuals, and organizations concerned with a tax credit
3183  under review to provide oral or written testimony;
3184  (iii)(A) invite the Governor's Office of Economic [Opportunity] Development to
3185  present a summary and analysis of the information for each tax credit regarding
3186  which the Governor's Office of Economic [Opportunity] Development is
3187  required to make a report under this chapter; and
3188  (B) invite the Office of the Legislative Fiscal Analyst to present a summary and
3189  analysis of the information for each tax credit regarding which the Office of the
                                                        - 94 -
       Enrolled Copy  H.B. 475
3190  Legislative Fiscal Analyst is required to make a report under this chapter;
3191  (iv) evaluate:
3192  (A) the cost of the tax credit to the state;
3193  (B) the purpose and effectiveness of the tax credit; and
3194  (C) the extent to which the state benefits from the tax credit; and
3195  (v) undertake other review efforts as determined by the committee chairs or as
3196  otherwise required by law.
3197  Section 51. Section 59-10-1025 is amended to read:
3198  59-10-1025 (Effective 05/06/26). Nonrefundable tax credit for investment in
3199    certain life science establishments.
3200    (1) As used in this section:
3201        (a) "Commercial domicile" means the principal place from which the trade or business
3202  of a Utah small business corporation is directed or managed.
3203        (b) "Eligible claimant, estate, or trust" means the same as that term is defined in Section
3204  63N-2-802.
3205        (c) "Life science establishment" means an establishment primarily engaged in the
3206  development or manufacture of products in one or more of the following categories:
3207  (i) biotechnologies;
3208  (ii) medical devices;
3209  (iii) medical diagnostics; and
3210  (iv) pharmaceuticals.
3211        (d) "Office" means the Governor's Office of Economic [Opportunity] Development.
3212        (e) "Pass-through entity" means the same as that term is defined in Section 59-10-1402.
3213        (f) "Pass-through entity taxpayer" means the same as that term is defined in Section
3214  59-10-1402.
3215        (g) "Qualifying ownership interest" means an ownership interest that is:
3216  (i)(A) common stock;
3217  (B) preferred stock; or
3218  (C) an ownership interest in a pass-through entity;
3219  (ii) originally issued to:
3220  (A) an eligible claimant, estate, or trust; or
3221  (B) a pass-through entity if the eligible claimant, estate, or trust that claims a tax
3222  credit under this section was a pass-through entity taxpayer of the pass-through
3223  entity on the day on which the qualifying ownership interest was issued and
                                                      - 95 -
       H.B. 475  Enrolled Copy
3224  remains a pass-through entity taxpayer of the pass-through entity until the last
3225  day of the taxable year for which the eligible claimant, estate, or trust claims a
3226  tax credit under this section; and
3227  (iii) issued:
3228  (A) by a Utah small business corporation;
3229  (B) on or after January 1, 2011; and
3230  (C) for money or other property, except for stock or securities.
3231  (h)(i) Except as provided in Subsection (1)(h)(ii), "Utah small business corporation"
3232  means the same as that term is defined in Section 59-10-1022.
3233  (ii) For purposes of this section, a corporation under Section 1244(c)(3)(A), Internal
3234  Revenue Code, is considered to include a pass-through entity.
3235     (2) Subject to the other provisions of this section, an eligible claimant, estate, or trust that
3236  holds a tax credit certificate issued to the eligible claimant, estate, or trust in accordance
3237  with Section 63N-2-808 for that taxable year may claim a nonrefundable tax credit in an
3238  amount up to 35% of the purchase price of a qualifying ownership interest in a Utah
3239  small business corporation by the claimant, estate, or trust if:
3240  (a) the qualifying ownership interest is issued by a Utah small business corporation that
3241  is a life science establishment;
3242  (b) the qualifying ownership interest in the Utah small business corporation is purchased
3243  for at least $25,000;
3244  (c) the eligible claimant, estate, or trust owned less than 30% of the qualifying
3245  ownership interest of the Utah small business corporation at the time of the purchase
3246  of the qualifying ownership interest; and
3247  (d) on each day of the taxable year in which the purchase of the qualifying ownership
3248  interest was made, the Utah small business corporation described in Subsection (2)(a)
3249  has at least 50% of [its] the Utah small business corporation's employees in the state.
3250     (3) Subject to Subsection (4), the tax credit under Subsection (2):
3251  (a) may only be claimed by an eligible claimant, estate, or trust:
3252  (i) for a taxable year for which the eligible claimant, estate, or trust holds a tax credit
3253  certificate issued in accordance with Section 63N-2-808; and
3254  (ii) subject to obtaining a tax credit certificate for each taxable year as required by
3255  Subsection (3)(a)(i), for a period of three taxable years as follows:
3256  (A) the tax credit in the taxable year in which the purchase of the qualifying
3257  ownership interest was made may not exceed 10% of the purchase price of the
                                                        - 96 -
       Enrolled Copy  H.B. 475
3258  qualifying ownership interest;
3259  (B) the tax credit in the taxable year after the taxable year described in Subsection
3260  (3)(a)(ii)(A) may not exceed 10% of the purchase price of the qualifying
3261  ownership interest; and
3262  (C) the tax credit in the taxable year two years after the taxable year described in
3263  Subsection (3)(a)(ii)(A) may not exceed 15% of the purchase price of the
3264  qualifying ownership interest; and
3265        (b) may not exceed the lesser of:
3266  (i) the amount listed on the tax credit certificate issued in accordance with Section
3267  63N-2-808; or
3268  (ii) $350,000 in a taxable year.
3269    (4) An eligible claimant, estate, or trust may not claim a tax credit under this section for a
3270        taxable year if the eligible claimant, estate, or trust:
3271        (a) has sold any of the qualifying ownership interest during the taxable year; or
3272        (b) does not hold a tax credit certificate for that taxable year that is issued to the eligible
3273  claimant, estate, or trust by the office in accordance with Section 63N-2-808.
3274    (5) If a Utah small business corporation in which an eligible claimant, estate, or trust
3275        purchases a qualifying ownership interest fails, dissolves, or otherwise goes out of
3276        business, the eligible claimant, estate, or trust may not claim both the tax credit provided
3277        in this section and a capital loss on the qualifying ownership interest.
3278    (6) If an eligible claimant is a pass-through entity taxpayer that files a return under Chapter
3279        7, Corporate Franchise and Income Taxes, the eligible claimant may claim the tax credit
3280        under this section on the return filed under Chapter 7, Corporate Franchise and Income
3281        Taxes.
3282    (7) A claimant, estate, or trust may not carry forward or carry back a tax credit under this
3283        section.
3284    (8)(a)(i) To assist the Revenue and Taxation Interim Committee with the review
3285        required by Section 59-10-137, the office shall provide the following information,
3286        if available to the office, to the Office of the Legislative Fiscal Analyst by
3287        electronic means:
3288  (A) the amount of tax credit that the office grants to each eligible business entity
3289  for each taxable year;
3290  (B) the amount of eligible new state tax revenues generated by each eligible
3291  product or project;
                                                        - 97 -
       H.B. 475  Enrolled Copy
3292  (C) estimates for each of the next three calendar years of the following:
3293  (I) the amount of tax credit that the office will grant;
3294  (II) the amount of eligible new state tax revenues that will be generated; and
3295  (III) the number of new incremental jobs within the state that will be generated;
3296  and
3297  (D) any other information that the Office of the Legislative Fiscal Analyst
3298  requests.
3299  (ii) In providing the information described in Subsection (8)(a)(i), the office shall
3300  redact information that identifies a recipient of a tax credit under this section.
3301  (iii) If, notwithstanding the redactions made under Subsection (8)(a)(ii), reporting the
3302  information described in Subsection (8)(a)(i) might disclose the identity of a
3303  recipient of a tax credit, the office may file a request with the Revenue and
3304  Taxation Interim Committee to provide the information described in Subsection
3305  (8)(a)(i) in the aggregate for all entities that receive the tax credit under this
3306  section.
3307  (b) The Office of the Legislative Fiscal Analyst shall report to the Revenue and Taxation
3308  Interim Committee a summary and analysis of the information provided to the Office
3309  of the Legislative Fiscal Analyst by the office under Subsection (8)(a).
3310  Section 52. Section 59-10-1037 is amended to read:
3311  59-10-1037 (Effective 05/06/26) (Repealed 12/31/26). Nonrefundable enterprise
3312     zone tax credit.
3313     (1) As used in this section:
3314  (a) "Business entity" means a claimant, estate, or trust that meets the definition of
3315  "business entity" as that term is defined in Section 63N-2-202.
3316  (b) "Office" means the Governor's Office of Economic [Opportunity] Development
3317  created in Section 63N-1a-301.
3318     (2) Subject to the provisions of this section, for a taxable year beginning before January 1,
3319  2025, a business entity may claim a nonrefundable enterprise zone tax credit as
3320  described in Section 63N-2-213.
3321     (3) The enterprise zone tax credit under this section is the amount listed as the tax credit
3322  amount on the tax credit certificate that the office issues to the business entity for the
3323  taxable year.
3324     (4) A business entity may carry forward a tax credit under this section for a period that does
3325  not exceed the next three taxable years, if the amount of the tax credit exceeds the
                                                         - 98 -
       Enrolled Copy  H.B. 475
3326        business entity's tax liability under this chapter for that taxable year.
3327    (5)(a)(i) To assist the Revenue and Taxation Interim Committee with the review
3328        required by Section 59-10-137, the office shall provide by electronic means the
3329        following information, if available to the office, for each calendar year to the
3330        Office of the Legislative Fiscal Analyst:
3331  (A) the amount of tax credits provided in each development zone;
3332  (B) the number of new full-time employee positions reported to obtain tax credits
3333  in each development zone;
3334  (C) the amount of tax credits awarded for rehabilitating a building in each
3335  development zone;
3336  (D) the amount of tax credits awarded for investing in a plant, equipment, or other
3337  depreciable property in each development zone;
3338  (E) the information related to the tax credit contained in the office's latest report
3339  under Section 63N-1a-306; and
3340  (F) other information that the Office of the Legislative Fiscal Analyst requests.
3341  (ii) In providing the information described in Subsection (5)(a)(i), the office shall
3342  redact information that identifies a recipient of a tax credit under this section.
3343  (iii) If, notwithstanding the redactions made under Subsection (5)(a)(ii), reporting the
3344  information described in Subsection (5)(a)(i) might disclose the identity of a
3345  recipient of a tax credit, the office may file a request with the Revenue and
3346  Taxation Interim Committee to provide the information described in Subsection
3347  (5)(a)(i) in the aggregate for all development zones that receive the tax credit
3348  under this section.
3349        (b) The Office of the Legislative Fiscal Analyst shall report to the Revenue and Taxation
3350  Interim Committee a summary and analysis of the information provided to the Office
3351  of the Legislative Fiscal Analyst by the office under Subsection (5)(a).
3352  Section 53. Section 59-10-1038 is amended to read:
3353  59-10-1038 (Effective 05/06/26). Nonrefundable rural job creation tax credit.
3354    (1) As used in this section, "office" means the Governor's Office of Economic [Opportunity]
3355        Development created in Section 63N-1a-301.
3356    (2) Subject to the other provisions of this section, a taxpayer may claim a nonrefundable tax
3357        credit for rural job creation as provided in this section.
3358    (3) The tax credit under this section is the amount listed as the tax credit amount on a tax
3359        credit certificate that the office issues under Title 63N, Chapter 4, Part 3, Utah Rural
                                                        - 99 -
       H.B. 475  Enrolled Copy
3360  Jobs Act, to the taxpayer for the taxable year.
3361     (4) If the amount of a tax credit under this section exceeds the taxpayer's tax liability under
3362  this chapter for the taxable year in which the taxpayer claims the tax credit, the taxpayer
3363  may carry forward the tax credit for:
3364  (a) the next seven taxable years, if the credit-eligible contribution as defined in Section
3365  63N-4-302 is made before November 1, 2022; or
3366  (b) the next four taxable years, if the credit-eligible contribution as defined in Section
3367  63N-4-302 is made on or after November 1, 2022.
3368  Section 54. Section 59-10-1107 is amended to read:
3369  59-10-1107 (Effective 05/06/26). Refundable economic development tax credit.
3370     (1) As used in this section:
3371  (a) "Business entity" means a claimant, estate, or trust that meets the definition of
3372  "business entity" as defined in Section 63N-2-103.
3373  (b) "Incremental job" means the same as that term is defined in Section 63N-1a-102.
3374  (c) "New state revenue" means the same as that term is defined in Section 63N-1a-102.
3375  (d) "Office" means the Governor's Office of Economic [Opportunity] Development
3376  created in Section 63N-1a-301.
3377     (2) Subject to the other provisions of this section, a business entity may claim a refundable
3378  tax credit for economic development.
3379     (3) The tax credit under this section is the amount listed as the tax credit amount on the tax
3380  credit certificate that the office issues to the business entity for the taxable year.
3381     (4)(a) In accordance with any rules prescribed by the commission under Subsection
3382  (4)(b), the commission shall make a refund to a business entity that claims a tax
3383  credit under this section if the amount of the tax credit exceeds the business entity's
3384  tax liability for a taxable year.
3385  (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
3386  commission may make rules providing procedures for making a refund to a business
3387  entity as required by Subsection (4)(a).
3388     (5)(a) To assist the Revenue and Taxation Interim Committee with the review required
3389  by Section 59-10-137, the office shall provide the following information, if available
3390  to the office, to the Revenue and Taxation Interim Committee by electronic means:
3391  (i) the amount of tax credit the office grants to each taxpayer for each calendar year;
3392  (ii) the criteria the office uses in granting a tax credit;
3393  (iii) the new state revenue generated by each taxpayer for each calendar year;
                                                         - 100 -
       Enrolled Copy  H.B. 475
3394  (iv) estimates for each of the next three calendar years of the following:
3395  (A) the amount of tax credits that the office will grant;
3396  (B) the amount of new state revenue that will be generated; and
3397  (C) the number of new incremental jobs within the state that will be generated;
3398  (v) the information contained in the office's latest report under Section 63N-2-106;
3399  and
3400  (vi) any other information that the Revenue and Taxation Interim Committee requests.
3401        (b) In providing the information described in Subsection (5)(a), the office shall redact
3402  information that identifies a recipient of a tax credit under this section.
3403        (c) If, notwithstanding the redactions made under Subsection (5)(b), reporting the
3404  information described in Subsection (5)(a) might disclose the identity of a recipient
3405  of a tax credit, the office may file a request with the Revenue and Taxation Interim
3406  Committee to provide the information described in Subsection (5)(a) in the aggregate
3407  for all taxpayers that receive the tax credit under this section.
3408  Section 55. Section 59-10-1108 is amended to read:
3409  59-10-1108 (Effective 05/06/26). Refundable motion picture tax credit.
3410    (1) As used in this section:
3411        (a) "Motion picture company" means a claimant, estate, or trust that meets the definition
3412  of a motion picture company under Section 63N-8-102.
3413        (b) "Office" means the Governor's Office of Economic [Opportunity] Development
3414  created in Section 63N-1a-301.
3415        (c) "State-approved production" means the same as that term is defined in Section
3416  63N-8-102.
3417    (2) A motion picture company may claim a refundable tax credit for a state-approved
3418        production.
3419    (3) The tax credit under this section is the amount listed as the tax credit amount on the tax
3420        credit certificate that the office issues to a motion picture company under Section
3421        63N-8-103 for the taxable year.
3422    (4)(a) In accordance with any rules prescribed by the commission under Subsection
3423        (4)(b), the commission shall make a refund to a motion picture company that claims a
3424        tax credit under this section if the amount of the tax credit exceeds the motion picture
3425        company's tax liability for the taxable year.
3426        (b) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
3427  commission may make rules providing procedures for making a refund to a motion
                                                      - 101 -
       H.B. 475  Enrolled Copy
3428  picture company as required by Subsection (4)(a).
3429     (5)(a)(i) To assist the Revenue and Taxation Interim Committee with the review
3430  required by Section 59-10-137, the office shall provide the following information,
3431  if available to the office, to the Office of the Legislative Fiscal Analyst by
3432  electronic means:
3433  (A) the amount of tax credit the office grants to each taxpayer for each calendar
3434  year;
3435  (B) estimates of the amount of tax credit that the office will grant for each of the
3436  next three calendar years;
3437  (C) the criteria the office uses in granting a tax credit;
3438  (D) the dollars left in the state, as defined in Section 63N-8-102, by each motion
3439  picture company for each calendar year;
3440  (E) the information contained in the office's latest report under Section 63N-8-105;
3441  and
3442  (F) any other information that the Office of the Legislative Fiscal Analyst requests.
3443  (ii) In providing the information described in Subsection (5)(a)(i), the office shall
3444  redact information that identifies a recipient of a tax credit under this section.
3445  (iii) If, notwithstanding the redactions made under Subsection (5)(a)(ii), reporting the
3446  information described in Subsection (5)(a)(i) might disclose the identity of a
3447  recipient of a tax credit, the office may file a request with the Revenue and
3448  Taxation Interim Committee to provide the information described in Subsection
3449  (5)(a)(i) in the aggregate for all taxpayers that receive the tax credit under this
3450  section.
3451  (b) The Office of the Legislative Fiscal Analyst shall report to the Revenue and Taxation
3452  Interim Committee a summary and analysis of the information provided to the Office
3453  of the Legislative Fiscal Analyst by the office under Subsection (5)(a).
3454  Section 56. Section 63A-5b-403 is amended to read:
3455  63A-5b-403 (Effective 05/06/26). Institutions of higher education -- Capital
3456     development projects -- Dedicated and nondedicated projects -- Recommendations and
3457     prioritization.
3458     (1) As used in this section:
3459  (a) "Dedicated project" has the same meaning as that term is defined in:
3460  (i) Section 53H-9-601, for a capital development project under Title 53H, Chapter 9,
3461  Part 6, Technical College Leasing and Capital Development; or
                                                        - 102 -
       Enrolled Copy  H.B. 475
3462  (ii) Section 53H-9-501, for a capital development project under Title 53H, Chapter 9,
3463  Part 5, General Capital Developments.
3464        (b) "Nondedicated project" has the same meaning as that term is defined in:
3465  (i) Section 53H-9-601, for a capital development project under Title 53H, Chapter 9,
3466  Part 6, Technical College Leasing and Capital Development; or
3467  (ii) Section 53H-9-501, for a capital development project under Title 53H, Chapter 9,
3468  Part 5, General Capital Developments.
3469    (2)(a) The division shall submit recommendations to the Legislature in accordance with:
3470  (i) Section 53H-9-604, for a dedicated project under Title 53H, Chapter 9, Part 6,
3471  Technical College Leasing and Capital Development; or
3472  (ii) Section 53H-9-504, for a dedicated project under Title 53H, Chapter 9, Part 5,
3473  General Capital Developments.
3474        (b) A dedicated project is not subject to prioritization by the division.
3475    (3)(a) The division shall prioritize nondedicated projects in accordance with:
3476  (i) Section 63A-5b-402; and
3477  (ii)(A) Section 53H-9-604, for a nondedicated project under Title 53H, Chapter 9,
3478  Part 6, Technical College Leasing and Capital Development; or
3479  (B) Section 53H-9-504, for a nondedicated project under Title 53H, Chapter 9,
3480  Part 5, General Capital Developments.
3481        (b) In the division's scoring process for prioritizing nondedicated projects, the division
3482  shall give more weight to a request that is designated as a higher priority by the Utah
3483  Board of Higher Education than a request that is designated as a lower priority by the
3484  Utah Board of Higher Education only for determining the order of prioritization
3485  among requests submitted by the Utah Board of Higher Education.
3486    (4) The division shall require that an institution of higher education that submits a request
3487        for a capital development project address whether and how, as a result of the project, the
3488        institution of higher education will:
3489        (a) offer courses or other resources that will help meet demand for jobs, training, and
3490  employment in the current market and the projected market for the next five years;
3491        (b) respond to individual skilled and technical job demand over the next three, five, and
3492  10 years;
3493        (c) respond to industry demands for trained workers;
3494        (d) help meet commitments made by the Governor's Office of Economic [Opportunity]
3495  Development, including relating to training and incentives;
                                                     - 103 -
       H.B. 475  Enrolled Copy
3496  (e) respond to changing needs in the economy; and
3497  (f) respond to demands for online or in-class instruction, based on demographics.
3498     (5) The division shall:
3499  (a)(i) assist institutions of higher education in providing the information required by
3500  Subsection (4); and
3501  (ii) verify the completion and accuracy of the information submitted by an institution
3502  of higher education under Subsection (4);
3503  (b) assist the Utah Board of Higher Education to fulfill the requirements of Section
3504  53H-9-603 in connection with the finding that the division is required to make under
3505  Subsection 53H-9-603(4)(b); and
3506  (c) assist the Utah Board of Higher Education in submitting a list of dedicated projects
3507  to the division for approval and nondedicated projects to the division for
3508  recommendation and prioritization pursuant to Section 53H-9-504.
3509  Section 57. Section 63B-5-201 is amended to read:
3510  63B-5-201 (Effective 05/06/26). Legislative intent statements.
3511     (1) If the United States Department of Defense has not provided matching funds to
3512  construct the National Guard Armory in Orem by December 31, 1997, the Division of
3513  Facilities Construction and Management shall transfer any funds received from issuance
3514  of a General Obligation Bond for benefit of the Orem Armory to the Provo Armory for
3515  capital improvements.
3516     (2) It is the intent of the Legislature that the University of Utah use institutional funds to
3517  plan, design, and construct:
3518  (a) the Health Science East parking structure under the supervision of the director of the
3519  Division of Facilities Construction and Management unless supervisory authority is
3520  delegated by the director;
3521  (b) the Health Science Office Building under the supervision of the director of the
3522  Division of Facilities Construction and Management unless supervisory authority is
3523  delegated by the director; and
3524  (c) the new Student Housing/Olympic Athletes Village under the supervision of the
3525  director of the Division of Facilities Construction and Management unless
3526  supervisory authority is delegated by the director.
3527     (3) It is the intent of the Legislature that Utah State University use institutional funds to
3528  plan, design, and construct a multipurpose facility under the supervision of the director
3529  of the Division of Facilities Construction and Management unless supervisory authority
                                                       - 104 -
       Enrolled Copy  H.B. 475
3530        is delegated by the director.
3531    (4) It is the intent of the Legislature that the Utah Geologic Survey use agency internal
3532        funding to plan, design, and construct a sample library facility under the supervision of
3533        the director of the Division of Facilities Construction and Management unless
3534        supervisory authority is delegated by the director.
3535    (5)(a) If legislation introduced in the 1996 General Session to fund the Wasatch State
3536        Park Club House does not pass, the State Building Ownership Authority, under
3537        authority of Title 63B, Chapter 1, Part 3, State Building Ownership Authority Act,
3538        may issue or execute obligations, or enter into or arrange for a lease purchase
3539        agreement in which participation interests may be created, to provide up to
3540        $1,500,000 for the remodel and expansion of the clubhouse at Wasatch Mountain
3541        State Park for the Division of State Parks, formerly known as the Division of Parks
3542        and Recreation, together with additional amounts necessary to:
3543  (i) pay costs of issuance;
3544  (ii) pay capitalized interest; and
3545  (iii) fund any debt service reserve requirements.
3546        (b) The State Building Ownership Authority shall work cooperatively with the Division
3547  of State Parks, formerly known as the Division of Parks and Recreation, to seek out
3548  the most cost effective and prudent lease purchase plan available.
3549    (6)(a) The State Building Ownership Authority, under authority of Title 63B, Chapter 1,
3550        Part 3, State Building Ownership Authority Act, may issue or execute obligations, or
3551        enter into or arrange for a lease purchase agreement in which participation interests
3552        may be created, to provide up to $835,300 for the construction of a liquor store in the
3553        Snyderville area, together with additional amounts necessary to:
3554  (i) pay costs of issuance;
3555  (ii) pay capitalized interest; and
3556  (iii) fund any debt service reserve requirements.
3557        (b) The State Building Ownership Authority shall work cooperatively with the
3558  Department of Alcoholic Beverage Services to seek out the most cost effective and
3559  prudent lease purchase plan available.
3560    (7)(a) The State Building Ownership Authority, under authority of Title 63B, Chapter 1,
3561        Part 3, State Building Ownership Authority Act, may issue or execute obligations, or
3562        enter into or arrange for a lease purchase agreement in which participation interests
3563        may be created, to provide up to $15,000,000 for the construction of the Huntsman
                                                     - 105 -
       H.B. 475  Enrolled Copy
3564  Cancer Institute, together with additional amounts necessary to:
3565  (i) pay costs of issuance;
3566  (ii) pay capitalized interest; and
3567  (iii) fund any debt service reserve requirements.
3568  (b) The State Building Ownership Authority shall work cooperatively with the
3569  University of Utah to seek out the most cost effective and prudent lease purchase
3570  plan available.
3571  (c) It is the intent of the Legislature that the University of Utah lease land to the State
3572  Building Ownership Authority for the construction of the Huntsman Cancer Institute
3573  facility.
3574     (8)(a) The State Building Ownership Authority, under authority of Title 63B, Chapter 1,
3575  Part 3, State Building Ownership Authority Act, may issue or execute obligations, or
3576  enter into or arrange for a lease purchase agreement in which participation interests
3577  may be created, to provide up to $857,600 for the construction of an addition to the
3578  Department of Health and Human Services facility in Vernal, Utah together with
3579  additional amounts necessary to:
3580  (i) pay costs of issuance;
3581  (ii) pay capitalized interest; and
3582  (iii) fund any debt service reserve requirements.
3583  (b) The State Building Ownership Authority shall work cooperatively with the
3584  Department of Health and Human Services to seek out the most cost effective and
3585  prudent lease purchase plan available.
3586     (9)(a) The State Building Ownership Authority, under authority of Title 63B, Chapter 1,
3587  Part 3, State Building Ownership Authority Act, may issue or execute obligations, or
3588  enter into or arrange for a lease purchase agreement in which participation interests
3589  may be created, to provide up to $3,470,200 for the construction of the Student
3590  Services Center, at Utah State University Eastern, together with additional amounts
3591  necessary to:
3592  (i) pay costs of issuance;
3593  (ii) pay capitalized interest; and
3594  (iii) fund any debt service reserve requirements.
3595  (b) The State Building Ownership Authority shall work cooperatively with Utah State
3596  University Eastern to seek out the most cost effective and prudent lease purchase plan
3597  available.
                                                       - 106 -
       Enrolled Copy  H.B. 475
3598    (10)(a) Notwithstanding anything to the contrary in Title 53H, Chapter 9, Part 3,
3599        Revenue Bonds, which prohibits the issuance of revenue bonds payable from
3600        legislative appropriations, the State Board of Regents, on behalf of Utah Tech
3601        University, may issue, sell, and deliver revenue bonds or other evidences of
3602        indebtedness of Utah Tech University to borrow money on the credit of the income
3603        and revenues, including legislative appropriations, of Utah Tech University, to
3604        finance the acquisition of the [Dixie] Avenna Center.
3605        (b)(i) The bonds or other evidences of indebtedness authorized by this section shall
3606  be issued in accordance with Title 53H, Chapter 9, Part 3, Revenue Bonds, under
3607  terms and conditions and in amounts that the board, by resolution, determines are
3608  reasonable and necessary and may not exceed $6,000,000 together with additional
3609  amounts necessary to:
3610  (A) pay cost of issuance;
3611  (B) pay capitalized interest; and
3612  (C) fund any debt service reserve requirements.
3613  (ii) To the extent that future legislative appropriations will be required to provide for
3614  payment of debt service in full, the board shall ensure that the revenue bonds are
3615  issued containing a clause that provides for payment from future legislative
3616  appropriations that are legally available for that purpose.
3617    (11)(a) The State Building Ownership Authority, under authority of Title 63B, Chapter
3618        1, Part 3, State Building Ownership Authority Act, may issue or execute obligations,
3619        or enter into or arrange for a lease purchase agreement in which participation
3620        interests may be created, to provide up to $10,479,000 for the construction of a
3621        facility for the Courts - Davis County Regional Expansion, together with additional
3622        amounts necessary to:
3623  (i) pay costs of issuance;
3624  (ii) pay capitalized interest; and
3625  (iii) fund any debt service reserve requirements.
3626        (b) The State Building Ownership Authority shall work cooperatively with the
3627  Administrative Office of the Courts to seek out the most cost effective and prudent
3628  lease purchase plan available.
3629    (12)(a) The State Building Ownership Authority, under authority of Title 63B, Chapter
3630        1, Part 3, State Building Ownership Authority Act, may issue or execute obligations,
3631        or enter into or arrange for a lease purchase agreement in which participation
                                                     - 107 -
       H.B. 475  Enrolled Copy
3632  interests may be created, to provide up to $4,200,000 for the purchase and remodel of
3633  the Washington County Courthouse, together with additional amounts necessary to:
3634  (i) pay costs of issuance;
3635  (ii) pay capitalized interest; and
3636  (iii) fund any debt service reserve requirements.
3637  (b) The State Building Ownership Authority shall work cooperatively with the
3638  Administrative Office of the Courts to seek out the most cost effective and prudent
3639  lease purchase plan available.
3640     (13)(a) The State Building Ownership Authority, under authority of Title 63B, Chapter
3641  1, Part 3, State Building Ownership Authority Act, may issue or execute obligations,
3642  or enter into or arrange for a lease purchase agreement in which participation
3643  interests may be created, to provide up to $14,299,700 for the construction of a
3644  facility for the State Library and the Division of Services for the Blind and Visually
3645  Impaired, together with additional amounts necessary to:
3646  (i) pay costs of issuance;
3647  (ii) pay capitalized interest; and
3648  (iii) fund any debt service reserve requirements.
3649  (b) The State Building Ownership Authority shall work cooperatively with the State
3650  Board of Education and the Governor's Office of Economic [Opportunity]
3651  Development to seek out the most cost effective and prudent lease purchase plan
3652  available.
3653  Section 58. Section 63B-18-401 is amended to read:
3654  63B-18-401 (Effective 05/06/26). Highway bonds -- Maximum amount -- Use of
3655     proceeds for highway projects.
3656     (1)(a) The total amount of bonds issued under this section may not exceed
3657  $2,077,000,000.
3658  (b) When the Department of Transportation certifies to the commission that the
3659  requirements of Subsection 72-2-124(7) have been met and certifies the amount of
3660  bond proceeds that it needs to provide funding for the projects described in
3661  Subsection (2) for the next fiscal year, the commission may issue and sell general
3662  obligation bonds in an amount equal to the certified amount plus costs of issuance.
3663     (2) Except as provided in Subsections (3) and (4), proceeds from the issuance of bonds
3664  shall be provided to the Department of Transportation to pay all or part of the costs of
3665  the following state highway construction or reconstruction projects:
                                                       - 108 -
       Enrolled Copy  H.B. 475
3666        (a) Interstate 15 reconstruction in Utah County;
3667        (b) the Mountain View Corridor;
3668        (c) the Southern Parkway; and
3669        (d) state and federal highways prioritized by the Transportation Commission through:
3670  (i) the prioritization process for new transportation capacity projects adopted under
3671  Section 72-1-304; or
3672  (ii) the state highway construction program.
3673    (3)(a) Except as provided in Subsection (5), the bond proceeds issued under this section
3674        shall be provided to the Department of Transportation.
3675        (b) The Department of Transportation shall use bond proceeds and the funds provided to
3676  it under Section 72-2-124 to pay for the costs of right-of-way acquisition,
3677  construction, reconstruction, renovations, or improvements to the following
3678  highways:
3679  (i) $35 million to add highway capacity on I-15 south of the Spanish Fork Main
3680  Street interchange to Payson;
3681  (ii) $28 million for improvements to Riverdale Road in Ogden;
3682  (iii) $1 million for intersection improvements on S.R. 36 at South Mountain Road;
3683  (iv) $2 million for capacity enhancements on S.R. 248 between Sidewinder Drive and
3684  Richardson Flat Road;
3685  (v) $12 million for Vineyard Connector from 800 North Geneva Road to Lake Shore
3686  Road;
3687  (vi) $7 million for 2600 South interchange modifications in Woods Cross;
3688  (vii) $9 million for reconfiguring the 1100 South interchange on I-15 in Box Elder
3689  County;
3690  (viii) $18 million for the Provo west-side connector;
3691  (ix) $8 million for interchange modifications on I-15 in the Layton area;
3692  (x) $3,000,000 for an energy corridor study and environmental review for
3693  improvements in the Uintah Basin;
3694  (xi) $2,000,000 for highway improvements to Harrison Boulevard in Ogden City;
3695  (xii) $2,500,000 to be provided to Tooele City for roads around the Utah State
3696  University campus to create improved access to an institution of higher education;
3697  (xiii) $3,000,000 to be provided to the Utah Office of Tourism within the Governor's
3698  Office of Economic [Opportunity] Development for transportation infrastructure
3699  improvements associated with annual tourism events that have:
                                                    - 109 -
       H.B. 475  Enrolled Copy
3700  (A) a significant economic development impact within the state; and
3701  (B) significant needs for congestion mitigation;
3702  (xiv) $4,500,000 to be provided to the Governor's Office of Economic [Opportunity]
3703  Development for transportation infrastructure acquisitions and improvements that
3704  have a significant economic development impact within the state;
3705  (xv) $125,000,000 to pay all or part of the costs of state and federal highway
3706  construction or reconstruction projects prioritized by the Transportation
3707  Commission through the prioritization process for new transportation capacity
3708  projects adopted under Section 72-1-304;
3709  (xvi) $10,000,000 for the Transportation Fund to pay all or part of the costs of state
3710  and federal highway construction or reconstruction projects as prioritized by the
3711  Transportation Commission;
3712  (xvii) $13,000,000 for corridor preservation and land acquisition for a transit hub at
3713  the mouth of Big Cottonwood Canyon;
3714  (xviii) $10,000,000 to be provided to the Governor's Office of Economic [Opportunity]
3715  Development for transportation infrastructure and right-of-way acquisitions in a
3716  project area created by the military installation development authority created in
3717  Section 63H-1-201;
3718  (xix) $28,000,000 for right-of-way or land acquisition, design, engineering, and
3719  construction of infrastructure related to the Inland Port Authority created in
3720  Section 11-58-201;
3721  (xx) $6,000,000 for right-of-way acquisition, design, engineering, and construction
3722  related to Shepard Lane in Davis County; and
3723  (xxi) $4,000,000 for right-of-way acquisition, design, engineering, and construction
3724  costs related to 1600 North in Orem City.
3725     (4)(a) The Department of Transportation shall use bond proceeds and the funds under
3726  Section 72-2-121 to pay for, or to provide funds to, a municipality, county, or
3727  political subdivision to pay for the costs of right-of-way acquisition, construction,
3728  reconstruction, renovations, or improvements to the following highway or transit
3729  projects in Salt Lake County:
3730  (i) $4,000,000 to Taylorsville City for bus rapid transit planning on 4700 South;
3731  (ii) $4,200,000 to Taylorsville City for highway improvements on or surrounding
3732  6200 South and pedestrian crossings and system connections;
3733  (iii) $2,250,000 to Herriman City for highway improvements to the Salt Lake
                                                      - 110 -
       Enrolled Copy  H.B. 475
3734  Community College Road;
3735  (iv) $5,300,000 to West Jordan City for highway improvements on 5600 West from
3736  6200 South to 8600 South;
3737  (v) $4,000,000 to West Jordan City for highway improvements to 7800 South from
3738  1300 West to S.R. 111;
3739  (vi) $7,300,000 to Sandy City for highway improvements on Monroe Street;
3740  (vii) $3,000,000 to Draper City for highway improvements to 13490 South from 200
3741  West to 700 West;
3742  (viii) $5,000,000 to Draper City for highway improvements to Suncrest Road;
3743  (ix) $1,200,000 to Murray City for highway improvements to 5900 South from State
3744  Street to 900 East;
3745  (x) $1,800,000 to Murray City for highway improvements to 1300 East;
3746  (xi) $3,000,000 to South Salt Lake City for intersection improvements on West
3747  Temple, Main Street, and State Street;
3748  (xii) $2,000,000 to Salt Lake County for highway improvements to 5400 South from
3749  5600 West to Mountain View Corridor;
3750  (xiii) $3,000,000 to West Valley City for highway improvements to 6400 West from
3751  Parkway Boulevard to SR-201 Frontage Road;
3752  (xiv) $4,300,000 to West Valley City for highway improvements to 2400 South from
3753  4800 West to 7200 West and pedestrian crossings;
3754  (xv) $4,000,000 to Salt Lake City for highway improvements to 700 South from 2800
3755  West to 5600 West;
3756  (xvi) $2,750,000 to Riverton City for highway improvements to 4570 West from
3757  12600 South to Riverton Boulevard;
3758  (xvii) $1,950,000 to Cottonwood Heights for improvements to Union Park Avenue
3759  from I-215 exit south to Creek Road and Wasatch Boulevard and Big Cottonwood
3760  Canyon;
3761    (xviii) $1,300,000 to Cottonwood Heights for highway improvements to Bengal
3762        Boulevard;
3763  (xix) $1,500,000 to Midvale City for highway improvements to 7200 South from I-15
3764  to 1000 West;
3765  (xx) $1,000,000 to Bluffdale City for an environmental impact study on Porter
3766  Rockwell Boulevard;
3767  (xxi) $2,900,000 to the Utah Transit Authority for the following public transit studies:
                                                   - 111 -
       H.B. 475  Enrolled Copy
3768  (A) a circulator study; and
3769  (B) a mountain transport study; and
3770  (xxii) $1,000,000 to South Jordan City for highway improvements to 2700 West.
3771  (b)(i) Before providing funds to a municipality or county under this Subsection (4),
3772  the Department of Transportation shall obtain from the municipality or county:
3773  (A) a written certification signed by the county or city mayor or the mayor's
3774  designee certifying that the municipality or county will use the funds provided
3775  under this Subsection (4) solely for the projects described in Subsection (4)(a);
3776  and
3777  (B) other documents necessary to protect the state and the bondholders and to
3778  ensure that all legal requirements are met.
3779  (ii) Except as provided in Subsection (4)(c), by January 1 of each year, the
3780  municipality or county receiving funds described in this Subsection (4) shall
3781  submit to the Department of Transportation a statement of cash flow for the next
3782  fiscal year detailing the funds necessary to pay project costs for the projects
3783  described in Subsection (4)(a).
3784  (iii) After receiving the statement required under Subsection (4)(b)(ii) and after July
3785  1, the Department of Transportation shall provide funds to the municipality or
3786  county necessary to pay project costs for the next fiscal year based upon the
3787  statement of cash flow submitted by the municipality or county.
3788  (iv) Upon the financial close of each project described in Subsection (4)(a), the
3789  municipality or county receiving funds under this Subsection (4) shall submit a
3790  statement to the Department of Transportation detailing the expenditure of funds
3791  received for each project.
3792  (c) For calendar year 2012 only:
3793  (i) the municipality or county shall submit to the Department of Transportation a
3794  statement of cash flow as provided in Subsection (4)(b)(ii) as soon as possible; and
3795  (ii) the Department of Transportation shall provide funds to the municipality or
3796  county necessary to pay project costs based upon the statement of cash flow.
3797     (5) Twenty million dollars of the bond proceeds issued under this section and funds
3798  available under Section 72-2-124 shall be provided to the State Infrastructure Bank Fund
3799  created by Section 72-2-202 to make funds available for transportation infrastructure
3800  loans and transportation infrastructure assistance under Title 72, Chapter 2, Part 2, State
3801  Infrastructure Bank Fund.
                                                        - 112 -
       Enrolled Copy  H.B. 475
3802    (6) The costs under Subsections (2), (3), and (4) may include the costs of studies necessary
3803        to make transportation infrastructure improvements, the cost of acquiring land, interests
3804        in land, easements and rights-of-way, improving sites, and making all improvements
3805        necessary, incidental, or convenient to the facilities, interest estimated to accrue on these
3806        bonds during the period to be covered by construction of the projects plus a period of six
3807        months after the end of the construction period, interest estimated to accrue on any bond
3808        anticipation notes issued under the authority of this title, and all related engineering,
3809        architectural, and legal fees.
3810    (7) The commission or the state treasurer may make any statement of intent relating to a
3811        reimbursement that is necessary or desirable to comply with federal tax law.
3812    (8) The Department of Transportation may enter into agreements related to the projects
3813        described in Subsections (2), (3), and (4) before the receipt of proceeds of bonds issued
3814        under this section.
3815    (9) The Department of Transportation may enter into a new or amend an existing interlocal
3816        agreement related to the projects described in Subsections (3) and (4) to establish any
3817        necessary covenants or requirements not otherwise provided for by law.
3818  Section 59. Section 63B-24-201 is amended to read:
3819  63B-24-201 (Effective 05/06/26). Authorizations to design and construct capital
3820    facilities using institutional or agency funds.
3821    (1) The Legislature intends that:
3822        (a) the University of Utah may, subject to the requirements of Title 63A, Chapter 5b,
3823  Administration of State Facilities, use up to $8,200,000 in institutional funds to plan,
3824  design, and construct the William C. Browning Building Addition with up to 24,000
3825  square feet;
3826        (b) the university may not use state funds for any portion of this project; and
3827        (c) the university may use state funds for operation and maintenance costs or capital
3828  improvements.
3829    (2) The Legislature intends that:
3830        (a) Utah State University may, subject to the requirements of Title 63A, Chapter 5b,
3831  Administration of State Facilities, use up to $10,000,000 in institutional funds to
3832  plan, design, and construct the Fine Arts Complex Addition/Renovation with up to
3833  17,000 square feet;
3834        (b) the university may not use state funds for any portion of this project; and
3835        (c) the university may use state funds for operation and maintenance costs or capital
                                                      - 113 -
       H.B. 475  Enrolled Copy
3836  improvements.
3837     (3) The Legislature intends that:
3838  (a) Salt Lake Community College may, subject to the requirements of Title 63A,
3839  Chapter 5b, Administration of State Facilities, use up to $3,900,000 in institutional
3840  funds to plan, design, and construct a Strength and Conditioning Center with up to
3841  11,575 square feet;
3842  (b) the college may not use state funds for any portion of this project; and
3843  (c) the college may not request state funds for operation and maintenance costs or capital
3844  improvements.
3845     (4) The Legislature intends that:
3846  (a) the Governor's Office of Economic [Opportunity] Development may, subject to the
3847  requirements of Title 63A, Chapter 5b, Administration of State Facilities, use up to
3848  $1,800,000 in nonlapsing balances and donations to plan, design, and construct or
3849  lease a Southern Utah Welcome Center with up to 5,000 square feet;
3850  (b) the office may request additional state funds for the project, unless the office
3851  receives donations and begins design or construction of the project; and
3852  (c) the office may use state funds for operation and maintenance costs or capital
3853  improvements.
3854  Section 60. Section 63B-30-101 is amended to read:
3855  63B-30-101 (Effective 05/06/26). General obligation bonds for transportation
3856     projects.
3857     (1) As used in this section, "transportation projects" means Department of Transportation
3858  projects described in Subsection 63B-27-101(2).
3859     (2)(a) When the Department of Transportation certifies to the commission that the
3860  requirements of Subsection 72-2-124(7) have been met and certifies the amount of
3861  bond proceeds that the commission needs to provide funding for the transportation
3862  projects for the current or next fiscal year, the commission may issue and sell general
3863  obligation bonds in an amount equal to the certified amount, plus additional amounts
3864  necessary to pay costs of issuance, to pay capitalized interest, and to fund any
3865  existing debt services reserve requirements, not to exceed 1% of the certified amount.
3866  (b) The commission may issue general obligation bonds authorized under this section if
3867  the issuance of general obligation bonds would result in the total current outstanding
3868  general obligation debt of the state exceeding 50% of the limitation described in the
3869  Utah Constitution, Article XIV, Section 1.
                                                      - 114 -
       Enrolled Copy  H.B. 475
3870    (3) The commission may issue general obligation bonds as provided in this section.
3871    (4) The total amount of bonds to be issued under this section may not exceed $89,510,000
3872        for acquisition and construction proceeds, plus additional amounts necessary to pay
3873        costs of issuance, to pay capitalized interest, and to fund any existing debt service
3874        reserve requirements, with the total amount of the bonds not to exceed $92,000,000.
3875    (5) The commission shall ensure that proceeds from the issuance of bonds under this
3876        section are provided to the Department of Transportation for use by the Department of
3877        Transportation to pay all or part of the cost of the transportation projects, including:
3878        (a) interest estimated to accrue on the bonds authorized in this section until the
3879  completion of construction of the transportation project, plus a period of 12 months
3880  after the end of construction; and
3881        (b) all related engineering, architectural, and legal fees.
3882    (6) The Department of Transportation shall transfer $20,000,000 of bond proceeds under
3883        this section to the Governor's Office of Economic [Opportunity] Development for a
3884        transportation-related project in a project area created by the military installation
3885        development authority, created in Section 63H-1-201.
3886    (7)(a) The Department of Transportation may enter into agreements related to the
3887        transportation projects before the receipt of proceeds of bonds issued under this
3888        section.
3889        (b) The state intends to use proceeds of tax-exempt bonds to reimburse itself for
3890  expenditures for costs of the transportation projects.
3891    (8) This section supersedes any conflicting provisions of Utah law.
3892  Section 61. Section 63C-4a-202 is amended to read:
3893  63C-4a-202 (Effective 05/06/26) (Repealed 07/01/28). Creation of Constitutional
3894    Defense Council -- Membership -- Vacancies -- Meetings -- Staff -- Reports -- Per diem,
3895    travel expenses, and funding.
3896    (1) There is created the Constitutional Defense Council.
3897    (2)(a) The council shall consist of the following members:
3898  (i) the governor or the lieutenant governor, who shall serve as chair of the council;
3899  (ii) the president of the Senate or the president of the Senate's designee who shall
3900  serve as vice chair of the council;
3901  (iii) the speaker of the House of Representative's or the [speaker of the House's]
3902  speaker's designee who shall serve as vice chair of the council;
3903  (iv) another member of the House of Representatives, appointed by the speaker of the
                                                        - 115 -
       H.B. 475  Enrolled Copy
3904  House of Representatives;
3905  (v) the minority leader of the Senate or the minority leader of the Senate's designee;
3906  (vi) the minority leader of the House of Representatives or the minority [leader of the
3907  House's] leader's designee;
3908  (vii) the attorney general or the attorney general's designee, who shall be one of the
3909  attorney general's appointees, not a current career service employee;
3910  (viii) the director of the School and Institutional Trust Lands Administration;
3911  (ix) four elected county commissioners, county council members, or county
3912  executives from different counties who are selected by the Utah Association of
3913  Counties, at least one of whom shall be from a county of the first or second class;
3914  (x) the executive director of the Department of Natural Resources, who may not vote;
3915  (xi) the commissioner of the Department of Agriculture and Food, who may not vote;
3916  (xii) the executive director of the Governor's Office of Economic [Opportunity]
3917  Development, as described in Section 63N-1a-302, who may not vote; and
3918  (xiii) two elected county commissioners, county council members, or county
3919  executives from different counties appointed by the Utah Association of Counties,
3920  who may not vote.
3921  (b) The council vice chairs shall conduct a council meeting in the absence of the chair.
3922  (c) If both the governor and the lieutenant governor are absent from a meeting of the
3923  council, the governor may designate a person to attend the meeting solely for the
3924  purpose of casting a vote on any matter on the governor's behalf.
3925     (3) When a vacancy occurs in the membership for any reason, the replacement shall be
3926  appointed for the unexpired term in the same manner as the original appointment.
3927     (4)(a)(i) Except as provided in Subsection (4)(a)(ii), the council shall meet at least
3928  monthly or more frequently as needed.
3929  (ii) The council need not meet monthly if the chair, after polling the members,
3930  determines that a majority of the members do not wish to meet.
3931  (b) The governor or any six members of the council may call a meeting of the council.
3932  (c) Before calling a meeting, the governor or council members shall solicit items for the
3933  agenda from other members of the council.
3934  (d)(i) The council shall require that any entity, other than the commission, that
3935  receives money from the Constitutional Defense Restricted Account provide
3936  financial reports and litigation reports to the council.
3937  (ii) Nothing in this Subsection (4)(d) prohibits the council from closing a meeting
                                                        - 116 -
       Enrolled Copy  H.B. 475
3938  under Title 52, Chapter 4, Open and Public Meetings Act, or prohibits the council
3939  from complying with Title 63G, Chapter 2, Government Records Access and
3940  Management Act.
3941        (e) A majority of the voting membership on the council is required for a quorum to
3942  conduct council business. A majority vote of the quorum is required for any action
3943  taken by the council.
3944    (5)(a) The Office of the Attorney General shall advise the council.
3945        (b) The Public Lands Policy Coordinating Office shall provide staff assistance for
3946  meetings of the council.
3947    (6)(a) A member of the council who is not a legislator may not receive compensation or
3948        benefits for the member's service, but may receive per diem and travel expenses as
3949        allowed in:
3950  (i) Section 63A-3-106;
3951  (ii) Section 63A-3-107; and
3952  (iii) rules made by the Division of Finance according to Sections 63A-3-106 and
3953  63A-3-107.
3954        (b) Compensation and expenses of a member of the council who is a legislator are
3955  governed by Section 36-2-2 and Legislative Joint Rules, Title 5, Legislative
3956  Compensation and Expenses.
3957    (7) Money appropriated for or received by the council may be expended by the governor in
3958        consultation with the council.
3959  Section 62. Section 63C-27-201 is amended to read:
3960  63C-27-201 (Effective 05/06/26) (Repealed 07/01/32). Cybersecurity Commission
3961    created.
3962    (1) There is created the Cybersecurity Commission.
3963    (2) The commission shall be composed of 24 members:
3964        (a) one member the governor designates to serve as the governor's designee;
3965        (b) the commissioner of the Department of Public Safety;
3966        (c) the lieutenant governor, or an election officer, as that term is defined in Section
3967  20A-1-102, the lieutenant governor designates to serve as the lieutenant governor's
3968  designee;
3969        (d) the chief information officer of the Division of Technology Services;
3970        (e) the chief information security officer, as described in Section 63A-16-210;
3971        (f) the chairman of the Public Service Commission shall designate a representative with
                                                     - 117 -
       H.B. 475  Enrolled Copy
3972  professional experience in information technology or cybersecurity;
3973        (g) the executive director of the Utah Department of Transportation shall designate a
3974  representative with professional experience in information technology or
3975  cybersecurity;
3976        (h) the director of the Division of Finance shall designate a representative with
3977  professional experience in information technology or cybersecurity;
3978        (i) the executive director of the Department of Health and Human Services shall
3979  designate a representative with professional experience in information technology or
3980  cybersecurity;
3981        (j) the director of the Division of Indian Affairs shall designate a representative with
3982  professional experience in information technology or cybersecurity;
3983        (k) the Utah League of Cities and Towns shall designate a representative with
3984  professional experience in information technology or cybersecurity;
3985        (l) the Utah Association of Counties shall designate a representative with professional
3986  experience in information technology or cybersecurity;
3987        (m) the attorney general, or the attorney general's designee;
3988        (n) the commissioner of financial institutions, or the commissioner's designee;
3989        (o) the executive director of the Department of Environmental Quality shall designate a
3990  representative with professional experience in information technology or
3991  cybersecurity;
3992        (p) the executive director of the Department of Natural Resources shall designate a
3993  representative with professional experience in information technology or
3994  cybersecurity;
3995        (q) the highest ranking information technology official, or the official's designee, from
3996  each of:
3997  (i) the Judicial Council;
3998  (ii) the Utah Board of Higher Education;
3999  (iii) the State Board of Education; and
4000  (iv) the State Tax Commission;
4001        (r) the governor shall appoint:
4002  (i) one representative from the Utah National Guard; and
4003  (ii) one representative from the Governor's Office of Economic [Opportunity]
4004  Development;
4005        (s) the president of the Senate shall appoint one member of the Senate; and
                                                      - 118 -
       Enrolled Copy  H.B. 475
4006        (t) the speaker of the House of Representatives shall appoint one member of the House
4007  of Representatives.
4008    (3)(a) The governor's designee shall serve as cochair of the commission.
4009        (b) The commissioner of the Department of Public Safety shall serve as cochair of the
4010  commission.
4011    (4)(a) The members described in Subsection (2) shall represent urban, rural, and
4012        suburban population areas.
4013        (b) No fewer than half of the members described in Subsection (2) shall have
4014  professional experience in cybersecurity or in information technology.
4015    (5) In addition to the membership described in Subsection (2), the commission shall seek
4016        information and advice from state and private entities with expertise in critical
4017        infrastructure.
4018    (6) As necessary to improve information and protect potential vulnerabilities, the
4019        commission shall seek information and advice from federal entities including:
4020        (a) the Cybersecurity and Infrastructure Security Agency;
4021        (b) the Federal Energy Regulatory Commission;
4022        (c) the Federal Bureau of Investigation; and
4023        (d) the United States Department of Transportation.
4024    (7)(a) Except as provided in Subsections (7)(b) and (c), a member is appointed for a
4025        term of four years.
4026        (b) A member shall serve until the member's successor is appointed and qualified.
4027        (c) Notwithstanding the requirements of Subsection (7)(a), the governor shall, at the
4028  time of appointment or reappointment, adjust the length of terms to ensure that the
4029  terms of commission members are staggered so that approximately half of the
4030  commission members appointed under Subsection (2)(r) are appointed every two
4031  years.
4032    (8)(a) If a vacancy occurs in the membership of the commission, the member shall be
4033        replaced in the same manner in which the original appointment was made.
4034        (b) An individual may be appointed to more than one term.
4035        (c) When a vacancy occurs in the membership for any reason, the replacement shall be
4036  appointed for the unexpired term.
4037    (9)(a) A majority of the members of the commission is a quorum.
4038        (b) The action of a majority of a quorum constitutes an action of the commission.
4039    (10) The commission shall meet at least two times a year.
                                                     - 119 -
       H.B. 475  Enrolled Copy
4040  Section 63. Section 63G-2-305 is amended to read:
4041  63G-2-305 (Effective 05/06/26). Protected records.
4042        The following records are protected if properly classified by a governmental entity:
4043     (1) trade secrets as defined in Section 13-24-2 if the person submitting the trade secret has
4044  provided the governmental entity with the information specified in Section 63G-2-309;
4045     (2) commercial information or nonindividual financial information obtained from a person
4046  if:
4047  (a) disclosure of the information could reasonably be expected to result in unfair
4048  competitive injury to the person submitting the information or would impair the
4049  ability of the governmental entity to obtain necessary information in the future;
4050  (b) the person submitting the information has a greater interest in prohibiting access than
4051  the public in obtaining access; and
4052  (c) the person submitting the information has provided the governmental entity with the
4053  information specified in Section 63G-2-309;
4054     (3) commercial or financial information acquired or prepared by a governmental entity to
4055  the extent that disclosure would lead to financial speculations in currencies, securities, or
4056  commodities that will interfere with a planned transaction by the governmental entity or
4057  cause substantial financial injury to the governmental entity or state economy;
4058     (4) records, the disclosure of which could cause commercial injury to, or confer a
4059  competitive advantage upon a potential or actual competitor of, a commercial project
4060  entity as defined in Subsection 11-13-103(4);
4061     (5) test questions and answers to be used in future license, certification, registration,
4062  employment, or academic examinations;
4063     (6) records, the disclosure of which would impair governmental procurement proceedings
4064  or give an unfair advantage to any person proposing to enter into a contract or agreement
4065  with a governmental entity, except, subject to Subsections (1) and (2), that this
4066  Subsection (6) does not restrict the right of a person to have access to, after the contract
4067  or grant has been awarded and signed by all parties:
4068  (a) a bid, proposal, application, or other information submitted to or by a governmental
4069  entity in response to:
4070  (i) an invitation for bids;
4071  (ii) a request for proposals;
4072  (iii) a request for quotes;
4073  (iv) a grant; or
                                                         - 120 -
       Enrolled Copy  H.B. 475
4074  (v) other similar document; or
4075        (b) an unsolicited proposal, as defined in Section 63G-6a-712;
4076    (7) information submitted to or by a governmental entity in response to a request for
4077        information, except, subject to Subsections (1) and (2), that this Subsection (7) does not
4078        restrict the right of a person to have access to the information, after:
4079        (a) a contract directly relating to the subject of the request for information has been
4080  awarded and signed by all parties; or
4081        (b)(i) a final determination is made not to enter into a contract that relates to the
4082  subject of the request for information; and
4083  (ii) at least two years have passed after the day on which the request for information
4084  is issued;
4085    (8) records that would identify real property or the appraisal or estimated value of real or
4086        personal property, including intellectual property, under consideration for public
4087        acquisition before any rights to the property are acquired unless:
4088        (a) public interest in obtaining access to the information is greater than or equal to the
4089  governmental entity's need to acquire the property on the best terms possible;
4090        (b) the information has already been disclosed to persons not employed by or under a
4091  duty of confidentiality to the entity;
4092        (c) in the case of records that would identify property, potential sellers of the described
4093  property have already learned of the governmental entity's plans to acquire the
4094  property;
4095        (d) in the case of records that would identify the appraisal or estimated value of
4096  property, the potential sellers have already learned of the governmental entity's
4097  estimated value of the property; or
4098        (e) the property under consideration for public acquisition is a single family residence
4099  and the governmental entity seeking to acquire the property has initiated negotiations
4100  to acquire the property as required under Section 78B-6-505;
4101    (9) records prepared in contemplation of sale, exchange, lease, rental, or other compensated
4102        transaction of real or personal property including intellectual property, which, if
4103        disclosed [prior to] before completion of the transaction, would reveal the appraisal or
4104        estimated value of the subject property, unless:
4105        (a) the public interest in access is greater than or equal to the interests in restricting
4106  access, including the governmental entity's interest in maximizing the financial
4107  benefit of the transaction; or
                                                         - 121 -
       H.B. 475  Enrolled Copy
4108  (b) when prepared by or on behalf of a governmental entity, appraisals or estimates of
4109  the value of the subject property have already been disclosed to persons not
4110  employed by or under a duty of confidentiality to the entity;
4111     (10) records created or maintained for civil, criminal, or administrative enforcement
4112  purposes or audit purposes, or for discipline, licensing, certification, or registration
4113  purposes, if release of the records:
4114  (a) reasonably could be expected to interfere with investigations undertaken for
4115  enforcement, discipline, licensing, certification, or registration purposes;
4116  (b) reasonably could be expected to interfere with audits, disciplinary, or enforcement
4117  proceedings;
4118  (c) would create a danger of depriving a person of a right to a fair trial or impartial
4119  hearing;
4120  (d) reasonably could be expected to disclose the identity of a source who is not generally
4121  known outside of government and, in the case of a record compiled in the course of
4122  an investigation, disclose information furnished by a source not generally known
4123  outside of government if disclosure would compromise the source; or
4124  (e) reasonably could be expected to disclose investigative or audit techniques,
4125  procedures, policies, or orders not generally known outside of government if
4126  disclosure would interfere with enforcement or audit efforts;
4127     (11) records the disclosure of which would jeopardize the life or safety of an individual;
4128     (12) records the disclosure of which would jeopardize the security of governmental
4129  property, governmental programs, or governmental recordkeeping systems from
4130  damage, theft, or other appropriation or use contrary to law or public policy;
4131     (13) records that, if disclosed, would jeopardize the security or safety of a correctional
4132  facility, or records relating to incarceration, treatment, probation, or parole, that would
4133  interfere with the control and supervision of an offender's incarceration, treatment,
4134  probation, or parole;
4135     (14) records that, if disclosed, would reveal recommendations made to the Board of
4136  Pardons and Parole by an employee of or contractor for the Department of Corrections,
4137  the Board of Pardons and Parole, or the Department of Health and Human Services that
4138  are based on the employee's or contractor's supervision, diagnosis, or treatment of any
4139  person within the board's jurisdiction;
4140     (15) records and audit workpapers that identify audit, collection, and operational procedures
4141  and methods used by the State Tax Commission, if disclosure would interfere with
                                                       - 122 -
       Enrolled Copy  H.B. 475
4142        audits or collections;
4143    (16) records of a governmental audit agency relating to an ongoing or planned audit until
4144        the final audit is released;
4145    (17) records that are subject to the attorney client privilege;
4146    (18) records prepared for or by an attorney, consultant, surety, indemnitor, insurer,
4147        employee, or agent of a governmental entity for, or in anticipation of, litigation or a
4148        judicial, quasi-judicial, or administrative proceeding;
4149    (19)(a)(i) personal files of a state legislator, including personal correspondence to or
4150        from a member of the Legislature; and
4151  (ii) notwithstanding Subsection (19)(a)(i), correspondence that gives notice of
4152  legislative action or policy may not be classified as protected under this section;
4153  and
4154        (b)(i) an internal communication that is part of the deliberative process in connection
4155  with the preparation of legislation between:
4156  (A) members of a legislative body;
4157  (B) a member of a legislative body and a member of the legislative body's staff; or
4158  (C) members of a legislative body's staff; and
4159  (ii) notwithstanding Subsection (19)(b)(i), a communication that gives notice of
4160  legislative action or policy may not be classified as protected under this section;
4161    (20)(a) records in the custody or control of the Office of Legislative Research and
4162        General Counsel, that, if disclosed, would reveal a particular legislator's
4163        contemplated legislation or contemplated course of action before the legislator has
4164        elected to support the legislation or course of action, or made the legislation or course
4165        of action public; and
4166        (b) notwithstanding Subsection (20)(a), the form to request legislation submitted to the
4167  Office of Legislative Research and General Counsel is a public document unless a
4168  legislator asks that the records requesting the legislation be maintained as protected
4169  records until such time as the legislator elects to make the legislation or course of
4170  action public;
4171    (21) a research request from a legislator to a legislative staff member and research findings
4172        prepared in response to the request;
4173    (22) drafts, unless otherwise classified as public;
4174    (23) records concerning a governmental entity's strategy about:
4175        (a) collective bargaining; or
                                                      - 123 -
       H.B. 475  Enrolled Copy
4176  (b) imminent or pending litigation;
4177     (24) records of investigations of loss occurrences and analyses of loss occurrences that may
4178  be covered by the Risk Management Fund, the Employers' Reinsurance Fund, the
4179  Uninsured Employers' Fund, or similar divisions in other governmental entities;
4180     (25) records, other than personnel evaluations, that contain a personal recommendation
4181  concerning an individual if disclosure would constitute a clearly unwarranted invasion
4182  of personal privacy, or disclosure is not in the public interest;
4183     (26) records that reveal the location of historic, prehistoric, paleontological, or biological
4184  resources that if known would jeopardize the security of those resources or of valuable
4185  historic, scientific, educational, or cultural information;
4186     (27) records of independent state agencies if the disclosure of the records would conflict
4187  with the fiduciary obligations of the agency;
4188     (28) records of an institution of higher education defined in Section 53H-1-101 regarding
4189  tenure evaluations, appointments, applications for admissions, retention decisions, and
4190  promotions, which could be properly discussed in a meeting closed in accordance with
4191  Title 52, Chapter 4, Open and Public Meetings Act, provided that records of the final
4192  decisions about tenure, appointments, retention, promotions, or those students admitted,
4193  may not be classified as protected under this section;
4194     (29) records of the governor's office, including budget recommendations, legislative
4195  proposals, and policy statements, that if disclosed would reveal the governor's
4196  contemplated policies or contemplated courses of action before the governor has
4197  implemented or rejected those policies or courses of action or made them public;
4198     (30) records of the Office of the Legislative Fiscal Analyst relating to budget analysis,
4199  revenue estimates, and fiscal notes of proposed legislation before issuance of the final
4200  recommendations in these areas;
4201     (31) records provided by the United States or by a government entity outside the state that
4202  are given to the governmental entity with a requirement that they be managed as
4203  protected records if the providing entity certifies that the record would not be subject to
4204  public disclosure if retained by it;
4205     (32) transcripts, minutes, recordings, or reports of the closed portion of a meeting of a
4206  public body except as provided in Section 52-4-206;
4207     (33) records that would reveal the contents of settlement negotiations but not including final
4208  settlements or empirical data to the extent that they are not otherwise exempt from
4209  disclosure;
                                                       - 124 -
       Enrolled Copy  H.B. 475
4210    (34) memoranda prepared by staff and used in the decision-making process by an
4211        administrative law judge, a member of the Board of Pardons and Parole, or a member of
4212        any other body charged by law with performing a quasi-judicial function;
4213    (35) records that would reveal negotiations regarding assistance or incentives offered by or
4214        requested from a governmental entity for the purpose of encouraging a person to expand
4215        or locate a business in Utah, but only if disclosure would result in actual economic harm
4216        to the person or place the governmental entity at a competitive disadvantage, but this
4217        section may not be used to restrict access to a record evidencing a final contract;
4218    (36) materials to which access must be limited for purposes of securing or maintaining the
4219        governmental entity's proprietary protection of intellectual property rights including
4220        patents, copyrights, and trade secrets;
4221    (37) the name of a donor or a prospective donor to a governmental entity, including an
4222        institution of higher education defined in Section 53H-1-101, and other information
4223        concerning the donation that could reasonably be expected to reveal the identity of the
4224        donor, provided that:
4225        (a) the donor requests anonymity in writing;
4226        (b) any terms, conditions, restrictions, or privileges relating to the donation may not be
4227  classified protected by the governmental entity under this Subsection (37); and
4228        (c) except for an institution of higher education defined in Section 53H-1-101, the
4229  governmental unit to which the donation is made is primarily engaged in educational,
4230  charitable, or artistic endeavors, and has no regulatory or legislative authority over
4231  the donor, a member of the donor's immediate family, or any entity owned or
4232  controlled by the donor or the donor's immediate family;
4233    (38) accident reports, except as provided in Sections 41-6a-404, 41-12a-202, and 73-18-13;
4234    (39) a notification of workers' compensation insurance coverage described in Section
4235        34A-2-205;
4236    (40) subject to Subsections (40)(g) and (h), the following records of an institution of higher
4237        education defined in Section 53H-1-101, which have been developed, discovered,
4238        disclosed to, or received by or on behalf of faculty, staff, employees, or students of the
4239        institution:
4240        (a) unpublished lecture notes;
4241        (b) unpublished notes, data, and information:
4242  (i) relating to research; and
4243  (ii) of:
                                                      - 125 -
       H.B. 475  Enrolled Copy
4244  (A) the institution of higher education defined in Section 53H-1-101; or
4245  (B) a sponsor of sponsored research;
4246  (c) unpublished manuscripts;
4247  (d) creative works in process;
4248  (e) scholarly correspondence;[ and]
4249  (f) confidential information contained in research proposals;
4250  (g) this Subsection (40) may not be construed to prohibit disclosure of public
4251  information required [pursuant to] in accordance with Subsection 53H-14-202(2)(a)
4252  or (b); and
4253  (h) this Subsection (40) may not be construed to affect the ownership of a record;
4254     (41)(a) records in the custody or control of the Office of the Legislative Auditor General
4255  that would reveal the name of a particular legislator who requests a legislative audit
4256  prior to the date that audit is completed and made public; and
4257  (b) notwithstanding Subsection (41)(a), a request for a legislative audit submitted to the
4258  Office of the Legislative Auditor General is a public document unless the legislator
4259  asks that the records in the custody or control of the Office of the Legislative Auditor
4260  General that would reveal the name of a particular legislator who requests a
4261  legislative audit be maintained as protected records until the audit is completed and
4262  made public;
4263     (42) records that provide detail as to the location of an explosive, including a map or other
4264  document that indicates the location of:
4265  (a) a production facility; or
4266  (b) a magazine;
4267     (43) information contained in the statewide database of the Division of Aging and Adult
4268  Services created by Section 26B-6-210;
4269     (44) information contained in the Licensing Information System described in Title 80,
4270  Chapter 2, Child Welfare Services;
4271     (45) information regarding National Guard operations or activities in support of the
4272  National Guard's federal mission;
4273     (46) records provided by any pawn or secondhand business to a law enforcement agency or
4274  to the central database in compliance with Title 13, Chapter 32a, Pawnshop, Secondhand
4275  Merchandise, and Catalytic Converter Transaction Information Act;
4276     (47) information regarding food security, risk, and vulnerability assessments performed by
4277  the Department of Agriculture and Food;
                                                        - 126 -
       Enrolled Copy  H.B. 475
4278    (48) except to the extent that the record is exempt from this chapter [pursuant to] in
4279        accordance with Section 63G-2-106, records related to an emergency plan or program, a
4280        copy of which is provided to or prepared or maintained by the Division of Emergency
4281        Management, and the disclosure of which would jeopardize:
4282        (a) the safety of the general public; or
4283        (b) the security of:
4284  (i) governmental property;
4285  (ii) governmental programs; or
4286  (iii) the property of a private person who provides the Division of Emergency
4287  Management information;
4288    (49) records of the Department of Agriculture and Food that provides for the identification,
4289        tracing, or control of livestock diseases, including any program established under Title
4290        4, Chapter 24, Utah Livestock Brand and Anti-Theft Act, or Title 4, Chapter 31, Control
4291        of Animal Disease;
4292    (50) as provided in Section 26B-2-709:
4293        (a) information or records held by the Department of Health and Human Services related
4294  to a complaint regarding a provider, program, or facility which the department is
4295  unable to substantiate; and
4296        (b) information or records related to a complaint received by the Department of Health
4297  and Human Services from an anonymous complainant regarding a provider, program,
4298  or facility;
4299    (51) unless otherwise classified as public under Section 63G-2-301 and except as provided
4300        under Section 41-1a-116, an individual's home address, home telephone number, or
4301        personal mobile phone number, if:
4302        (a) the individual is required to provide the information in order to comply with a law,
4303  ordinance, rule, or order of a government entity; and
4304        (b) the subject of the record has a reasonable expectation that this information will be
4305  kept confidential due to:
4306  (i) the nature of the law, ordinance, rule, or order; and
4307  (ii) the individual complying with the law, ordinance, rule, or order;
4308    (52) the portion of the following documents that contains a candidate's residential or
4309        mailing address, if the candidate provides to the filing officer another address or phone
4310        number where the candidate may be contacted:
4311        (a) a declaration of candidacy, a nomination petition, or a certificate of nomination,
                                                       - 127 -
       H.B. 475  Enrolled Copy
4312  described in Section 20A-9-201, 20A-9-202, 20A-9-203, 20A-9-404, 20A-9-405,
4313  20A-9-408, 20A-9-408.5, 20A-9-502, or 20A-9-601;
4314  (b) an affidavit of impecuniosity, described in Section 20A-9-201; or
4315  (c) a notice of intent to gather signatures for candidacy, described in Section 20A-9-408;
4316     (53) the name, home address, work addresses, and telephone numbers of an individual that
4317  is engaged in, or that provides goods or services for, medical or scientific research that is:
4318  (a) conducted within the state system of higher education, as described in Section
4319  53H-1-102; and
4320  (b) conducted using animals;
4321     (54) in accordance with Section 78A-12-203, any record of the Judicial Performance
4322  Evaluation Commission concerning an individual commissioner's vote, in relation to
4323  whether a judge meets or exceeds minimum performance standards under Subsection
4324  78A-12-203(4), and information disclosed under Subsection 78A-12-203(5)(e);
4325     (55) information collected and a report prepared by the Judicial Performance Evaluation
4326  Commission concerning a judge, unless Section 20A-7-702 or Title 78A, Chapter 12,
4327  Judicial Performance Evaluation Commission Act, requires disclosure of, or makes
4328  public, the information or report;
4329     (56) records provided or received by the Public Lands Policy Coordinating Office in
4330  furtherance of any contract or other agreement made in accordance with Section
4331  63L-11-202;
4332     (57) information requested by and provided to the 911 Division under Section 63H-7a-302;
4333     (58) in accordance with Section 73-10-33:
4334  (a) a management plan for a water conveyance facility in the possession of the Division
4335  of Water Resources or the Board of Water Resources; or
4336  (b) an outline of an emergency response plan in possession of the state or a county or
4337  municipality;
4338     (59) the following records in the custody or control of the Office of Inspector General of
4339  Medicaid Services, created in Section 63A-13-201:
4340  (a) records that would disclose information relating to allegations of personal
4341  misconduct, gross mismanagement, or illegal activity of a person if the information
4342  or allegation cannot be corroborated by the Office of Inspector General of Medicaid
4343  Services through other documents or evidence, and the records relating to the
4344  allegation are not relied upon by the Office of Inspector General of Medicaid
4345  Services in preparing a final investigation report or final audit report;
                                                       - 128 -
       Enrolled Copy  H.B. 475
4346        (b) records and audit workpapers to the extent they would disclose the identity of a
4347  person who, during the course of an investigation or audit, communicated the
4348  existence of any Medicaid fraud, waste, or abuse, or a violation or suspected
4349  violation of a law, rule, or regulation adopted under the laws of this state, a political
4350  subdivision of the state, or any recognized entity of the United States, if the
4351  information was disclosed on the condition that the identity of the person be
4352  protected;
4353        (c) before the time that an investigation or audit is completed and the final investigation
4354  or final audit report is released, records or drafts circulated to a person who is not an
4355  employee or head of a governmental entity for the person's response or information;
4356        (d) records that would disclose an outline or part of any investigation, audit survey plan,
4357  or audit program; or
4358        (e) requests for an investigation or audit, if disclosure would risk circumvention of an
4359  investigation or audit;
4360    (60) records that reveal methods used by the Office of Inspector General of Medicaid
4361        Services, the fraud unit, or the Department of Health and Human Services, to discover
4362        Medicaid fraud, waste, or abuse;
4363    (61) information provided to the Department of Health and Human Services or the Division
4364        of Professional Licensing under Subsections 58-67-304(3) and (4) and Subsections
4365        58-68-304(3) and (4);
4366    (62) a record described in Section 63G-12-210;
4367    (63) captured plate data that is obtained through an automatic license plate reader system
4368        used by a governmental entity as authorized in Section 41-6a-2003;
4369    (64) an audio or video recording created by a body-worn camera, as that term is defined in
4370        Section 77-7a-103, that records sound or images inside a hospital or health care facility
4371        as those terms are defined in Section 78B-3-403, inside a clinic of a health care provider,
4372        as that term is defined in Section 78B-3-403, or inside a human service program as that
4373        term is defined in Section 26B-2-101, except for recordings that:
4374        (a) depict the commission of an alleged crime;
4375        (b) record any encounter between a law enforcement officer and a person that results in
4376  death or bodily injury, or includes an instance when an officer fires a weapon;
4377        (c) record any encounter that is the subject of a complaint or a legal proceeding against a
4378  law enforcement officer or law enforcement agency;
4379        (d) contain an officer involved critical incident as defined in Subsection 76-2-408(1)(f);
                                                      - 129 -
       H.B. 475  Enrolled Copy
4380  or
4381  (e) have been requested for reclassification as a public record by a subject or authorized
4382  agent of a subject featured in the recording;
4383     (65) a record pertaining to the search process for a president of an institution of higher
4384  education described in Section 53H-3-302;
4385     (66) an audio recording that is:
4386  (a) produced by an audio recording device that is used in conjunction with a device or
4387  piece of equipment designed or intended for resuscitating an individual or for treating
4388  an individual with a life-threatening condition;
4389  (b) produced during an emergency event when an individual employed to provide law
4390  enforcement, fire protection, paramedic, emergency medical, or other first responder
4391  service:
4392  (i) is responding to an individual needing resuscitation or with a life-threatening
4393  condition; and
4394  (ii) uses a device or piece of equipment designed or intended for resuscitating an
4395  individual or for treating an individual with a life-threatening condition; and
4396  (c) intended and used for purposes of training emergency responders how to improve
4397  their response to an emergency situation;
4398     (67) records submitted by or prepared in relation to an applicant seeking a recommendation
4399  by the Research and General Counsel Subcommittee, the Budget Subcommittee, or the
4400  Legislative Audit Subcommittee, established under Section 36-12-8, for an employment
4401  position with the Legislature;
4402     (68) work papers as defined in Section 31A-2-204;
4403     (69) a record made available to Adult Protective Services or a law enforcement agency
4404  under Section 61-1-206;
4405     (70) a record submitted to the Insurance Department in accordance with Section
4406  31A-37-201;
4407     (71) a record described in Section 31A-37-503;
4408     (72) any record created by the Division of Professional Licensing as a result of Subsection
4409  58-37f-304(5) or 58-37f-702(2)(a)(ii);
4410     (73) a record described in Section 72-16-306 that relates to the reporting of an injury
4411  involving an amusement ride;
4412     (74) except as provided in Subsection 63G-2-305.5(1), the signature of an individual on a
4413  political petition, or on a request to withdraw a signature from a political petition,
                                                       - 130 -
       Enrolled Copy  H.B. 475
4414        including a petition or request described in the following titles:
4415        (a) Title 10, Utah Municipal Code;
4416        (b) Title 17, Counties;
4417        (c) Title 17B, Limited Purpose Local Government Entities - Special Districts;
4418        (d) Title 17D, Limited Purpose Local Government Entities - Other Entities; and
4419        (e) Title 20A, Election Code;
4420    (75) except as provided in Subsection 63G-2-305.5(2), the signature of an individual in a
4421        voter registration record;
4422    (76) except as provided in Subsection 63G-2-305.5(3), any signature, other than a signature
4423        described in Subsection (74) or (75), in the custody of the lieutenant governor or a local
4424        political subdivision collected or held under, or in relation to, Title 20A, Election Code;
4425    (77) a Form I-918 Supplement B certification as described in Title 77, Chapter 38, Part 5,
4426        Victims Guidelines for Prosecutors Act;
4427    (78) a record submitted to the Insurance Department under Section 31A-48-103;
4428    (79) personal information, as defined in Section 63G-26-102, to the extent disclosure is
4429        prohibited under Section 63G-26-103;
4430    (80) an image taken of an individual during the process of booking the individual into jail,
4431        unless:
4432        (a) the individual is convicted of a criminal offense based upon the conduct for which
4433  the individual was incarcerated at the time the image was taken;
4434        (b) a law enforcement agency releases or disseminates the image:
4435  (i) after determining that the individual is a fugitive or an imminent threat to an
4436  individual or to public safety and releasing or disseminating the image will assist
4437  in apprehending the individual or reducing or eliminating the threat; or
4438  (ii) to a potential witness or other individual with direct knowledge of events relevant
4439  to a criminal investigation or criminal proceeding for the purpose of identifying or
4440  locating an individual in connection with the criminal investigation or criminal
4441  proceeding;
4442        (c) a judge orders the release or dissemination of the image based on a finding that the
4443  release or dissemination is in furtherance of a legitimate law enforcement interest; or
4444        (d) the image is displayed to a person who is permitted to view the image under Section
4445  17-72-802;
4446    (81) a record:
4447        (a) concerning an interstate claim to the use of waters in the Colorado River system;
                                                      - 131 -
       H.B. 475  Enrolled Copy
4448  (b) relating to a judicial proceeding, administrative proceeding, or negotiation with a
4449  representative from another state or the federal government as provided in Section
4450  63M-14-205; and
4451  (c) the disclosure of which would:
4452  (i) reveal a legal strategy relating to the state's claim to the use of the water in the
4453  Colorado River system;
4454  (ii) harm the ability of the Colorado River Authority of Utah or river commissioner to
4455  negotiate the best terms and conditions regarding the use of water in the Colorado
4456  River system; or
4457  (iii) give an advantage to another state or to the federal government in negotiations
4458  regarding the use of water in the Colorado River system;
4459     (82) any part of an application described in Section 63N-16-201 that the Governor's Office
4460  of Economic [Opportunity] Development determines is nonpublic, confidential
4461  information that if disclosed would result in actual economic harm to the applicant, but
4462  this Subsection (82) may not be used to restrict access to a record evidencing a final
4463  contract or approval decision;
4464     (83) the following records of a drinking water or wastewater facility:
4465  (a) an engineering or architectural drawing of the drinking water or wastewater facility;
4466  and
4467  (b) except as provided in Section 63G-2-106, a record detailing tools or processes the
4468  drinking water or wastewater facility uses to secure, or prohibit access to, the records
4469  described in Subsection (83)(a);
4470     (84) a statement that an employee of a governmental entity provides to the governmental
4471  entity as part of the governmental entity's personnel or administrative investigation into
4472  potential misconduct involving the employee if the governmental entity:
4473  (a) requires the statement under threat of employment disciplinary action, including
4474  possible termination of employment, for the employee's refusal to provide the
4475  statement; and
4476  (b) provides the employee assurance that the statement cannot be used against the
4477  employee in any criminal proceeding;
4478     (85) any part of an application for a Utah Fits All Scholarship account described in Section
4479  53F-6-402 or other information identifying a scholarship student as defined in Section
4480  53F-6-401;
4481     (86) a record:
                                                        - 132 -
       Enrolled Copy  H.B. 475
4482        (a) concerning a claim to the use of waters in the Great Salt Lake;
4483        (b) relating to a judicial proceeding, administrative proceeding, or negotiation with a
4484  person concerning the claim, including a representative from another state or the
4485  federal government; and
4486        (c) the disclosure of which would:
4487  (i) reveal a legal strategy relating to the state's claim to the use of the water in the
4488  Great Salt Lake;
4489  (ii) harm the ability of the Great Salt Lake commissioner to negotiate the best terms
4490  and conditions regarding the use of water in the Great Salt Lake; or
4491  (iii) give an advantage to another person including another state or to the federal
4492  government in negotiations regarding the use of water in the Great Salt Lake;
4493    (87) a consumer complaint described in Section 13-2-11, unless the consumer complaint is
4494        reclassified as public as described in Subsection 13-2-11(4);
4495    (88) a record of the Utah water agent, appointed under Section 73-10g-702:
4496        (a) concerning a claim to the use of waters;
4497        (b) relating to a judicial proceeding, administrative proceeding, or negotiation with a
4498  representative from another state, a tribe, the federal government, or other
4499  government entity as provided in Title 73, Chapter 10g, Part 7, Utah Water Agent;
4500  and
4501        (c) the disclosure of which would:
4502  (i) reveal a legal strategy relating to the state's claim to the use of the water;
4503  (ii) harm the ability of the Utah water agent to negotiate the best terms and conditions
4504  regarding the use of water; or
4505  (iii) give an advantage to another state, a tribe, the federal government, or other
4506  government entity in negotiations regarding the use of water; and
4507    (89) a record created or maintained for an investigation of the Prosecutor Conduct
4508        Commission, created in Section 63M-7-1102, that contains any personal identifying
4509        information of a prosecuting attorney, including:
4510        (a) a complaint, or a document that is submitted or created for a complaint, received by
4511  the Prosecutor Conduct Commission; or
4512        (b) a finding by the Prosecutor Conduct Commission.
4513  Section 64. Section 63G-4-102 is amended to read:
4514  63G-4-102 (Effective 05/06/26). Scope and applicability of chapter.
4515    (1) Except as set forth in Subsection (2), and except as otherwise provided by a statute
                                                       - 133 -
       H.B. 475  Enrolled Copy
4516  superseding provisions of this chapter by explicit reference to this chapter, the
4517  provisions of this chapter apply to every agency of the state and govern:
4518  (a) state agency action that determines the legal rights, duties, privileges, immunities, or
4519  other legal interests of an identifiable person, including agency action to grant, deny,
4520  revoke, suspend, modify, annul, withdraw, or amend an authority, right, or license;
4521  and
4522  (b) judicial review of the action.
4523     (2) This chapter does not govern:
4524  (a) the procedure for making agency rules, or judicial review of the procedure or rules;
4525  (b) the issuance of a notice of a deficiency in the payment of a tax, the decision to waive
4526  a penalty or interest on taxes, the imposition of and penalty or interest on taxes, or the
4527  issuance of a tax assessment, except that this chapter governs an agency action
4528  commenced by a taxpayer or by another person authorized by law to contest the
4529  validity or correctness of the action;
4530  (c) state agency action relating to extradition, to the granting of a pardon or parole, a
4531  commutation or termination of a sentence, or to the rescission, termination, or
4532  revocation of parole or probation, to the discipline of, resolution of a grievance of,
4533  supervision of, confinement of, or the treatment of an inmate or resident of a
4534  correctional facility, the Utah State Hospital, the Utah State Developmental Center,
4535  or a person in the custody or jurisdiction of the Office of Substance Use and Mental
4536  Health, or a person on probation or parole, or judicial review of the action;
4537  (d) state agency action to evaluate, discipline, employ, transfer, reassign, or promote a
4538  student or teacher in a school or educational institution, or judicial review of the
4539  action;
4540  (e) an application for employment and internal personnel action within an agency
4541  concerning its own employees, or judicial review of the action;
4542  (f) the issuance of a citation or assessment under Title 34A, Chapter 6, Utah
4543  Occupational Safety and Health Act, and Title 58, Occupations and Professions,
4544  except that this chapter governs an agency action commenced by the employer,
4545  licensee, or other person authorized by law to contest the validity or correctness of
4546  the citation or assessment;
4547  (g) state agency action relating to management of state funds, the management and
4548  disposal of school and institutional trust land assets, and contracts for the purchase or
4549  sale of products, real property, supplies, goods, or services by or for the state, or by
                                                       - 134 -
       Enrolled Copy  H.B. 475
4550  or for an agency of the state, except as provided in those contracts, or judicial review
4551  of the action;
4552        (h) state agency action under Title 7, Chapter 1, Part 3, Powers and Duties of
4553  Commissioner of Financial Institutions, Title 7, Chapter 2, Possession of Depository
4554  Institution by Commissioner, Title 7, Chapter 19, Acquisition of Failing Depository
4555  Institutions or Holding Companies, and Chapter 7, Governmental Immunity Act of
4556  Utah, or judicial review of the action;
4557        (i) the initial determination of a person's eligibility for unemployment benefits, the initial
4558  determination of a person's eligibility for benefits under Title 34A, Chapter 2,
4559  Workers' Compensation Act, and Title 34A, Chapter 3, Utah Occupational Disease
4560  Act, or the initial determination of a person's unemployment tax liability;
4561        (j) state agency action relating to the distribution or award of a monetary grant to or
4562  between governmental units, or for research, development, or the arts, or judicial
4563  review of the action;
4564        (k) the issuance of a notice of violation or order under Title 19, Chapter 2, Air
4565  Conservation Act, Title 19, Chapter 3, Radiation Control Act, Title 19, Chapter 4,
4566  Safe Drinking Water Act, Title 19, Chapter 5, Water Quality Act, Title 19, Chapter 6,
4567  Part 1, Solid and Hazardous Waste Act, Title 19, Chapter 6, Part 4, Petroleum
4568  Storage Tank Act, Title 19, Chapter 6, Part 7, Used Oil Management Act, or Title 19,
4569  Chapter 6, Part 10, Mercury Switch Removal Act, except that this chapter governs an
4570  agency action commenced by a person authorized by law to contest the validity or
4571  correctness of the notice or order;
4572        (l) state agency action, to the extent required by federal statute or regulation, to be
4573  conducted according to federal procedures;
4574        (m) the initial determination of a person's eligibility for government or public assistance
4575  benefits;
4576        (n) state agency action relating to wildlife licenses, permits, tags, and certificates of
4577  registration;
4578        (o) a license for use of state recreational facilities;
4579        (p) state agency action under Chapter 2, Government Records Access and Management
4580  Act, except as provided in Section 63G-2-603;
4581        (q) state agency action relating to the collection of water commissioner fees and
4582  delinquency penalties, or judicial review of the action;
4583        (r) state agency action relating to the installation, maintenance, and repair of headgates,
                                                       - 135 -
       H.B. 475  Enrolled Copy
4584  caps, values, or other water controlling works and weirs, flumes, meters, or other
4585  water measuring devices, or judicial review of the action;
4586  (s) the issuance and enforcement of an initial order under Section 73-2-25;
4587  (t)(i) a hearing conducted by the Division of Securities under Section 61-1-11.1; and
4588  (ii) an action taken by the Division of Securities under a hearing conducted under
4589  Section 61-1-11.1, including a determination regarding the fairness of an issuance
4590  or exchange of securities described in Subsection 61-1-11.1(1);
4591  (u) state agency action relating to water well driller licenses, water well drilling permits,
4592  water well driller registration, or water well drilling construction standards, or
4593  judicial review of the action;
4594  (v) the issuance of a determination and order under Title 34A, Chapter 5, Utah
4595  Antidiscrimination Act;
4596  (w) state environmental studies and related decisions by the Department of
4597  Transportation approving state or locally funded projects, or judicial review of the
4598  action;
4599  (x) the suspension of operations under Subsection 32B-1-304(3);
4600  (y) the issuance of a determination of violation by the Governor's Office of Economic [
4601  Opportunity] Development under Section 11-41-104; or
4602  (z) a challenge to an aspect of a distribution management plan under Section 73-33-202.
4603     (3) This chapter does not affect a legal remedy otherwise available to:
4604  (a) compel an agency to take action; or
4605  (b) challenge an agency's rule.
4606     (4) This chapter does not preclude an agency, prior to the beginning of an adjudicative
4607  proceeding, or the presiding officer during an adjudicative proceeding from:
4608  (a) requesting or ordering a conference with parties and interested persons to:
4609  (i) encourage settlement;
4610  (ii) clarify the issues;
4611  (iii) simplify the evidence;
4612  (iv) facilitate discovery; or
4613  (v) expedite the proceeding; or
4614  (b) granting a timely motion to dismiss or for summary judgment if the requirements of
4615  Rule 12(b) or Rule 56 of the Utah Rules of Civil Procedure are met by the moving
4616  party, except to the extent that the requirements of those rules are modified by this
4617  chapter.
                                                       - 136 -
       Enrolled Copy  H.B. 475
4618    (5)(a) A declaratory proceeding authorized by Section 63G-4-503 is not governed by
4619        this chapter, except as explicitly provided in that section.
4620        (b) Judicial review of a declaratory proceeding authorized by Section 63G-4-503 is
4621  governed by this chapter.
4622    (6) This chapter does not preclude an agency from enacting a rule affecting or governing an
4623        adjudicative proceeding or from following the rule, if the rule is enacted according to the
4624        procedures outlined in Chapter 3, Utah Administrative Rulemaking Act, and if the rule
4625        conforms to the requirements of this chapter.
4626    (7)(a) If the attorney general issues a written determination that a provision of this
4627        chapter would result in the denial of funds or services to an agency of the state from
4628        the federal government, the applicability of the provision to that agency shall be
4629        suspended to the extent necessary to prevent the denial.
4630        (b) The attorney general shall report the suspension to the Legislature at its next session.
4631    (8) Nothing in this chapter may be interpreted to provide an independent basis for
4632        jurisdiction to review final agency action.
4633    (9) Nothing in this chapter may be interpreted to restrict a presiding officer, for good cause
4634        shown, from lengthening or shortening a time period prescribed in this chapter, except
4635        the time period established for judicial review.
4636    (10) Notwithstanding any other provision of this section, this chapter does not apply to a
4637        special adjudicative proceeding, as defined in Section 19-1-301.5, except to the extent
4638        expressly provided in Section 19-1-301.5.
4639    (11) Subsection (2)(w), regarding action taken based on state environmental studies and
4640        policies of the Department of Transportation, applies to any claim for which a court of
4641        competent jurisdiction has not issued a final unappealable judgment or order before May
4642        14, 2019.
4643  Section 65. Section 63G-6a-804 is amended to read:
4644  63G-6a-804 (Effective 05/06/26). Purchase of prison industry goods.
4645    (1) As used in this section:
4646        (a) "Applicable procurement unit" means a procurement unit that is not:
4647  (i) a political subdivision of the state;
4648  (ii) the Utah Schools for the Deaf and the Blind;[ or]
4649  (iii) the Utah Office of Tourism[.] ; or
4650  (iv) the Governor's Office of Economic Development.
4651        (b) "Correctional industries division" means the Division of Correctional Industries,
                                                      - 137 -
       H.B. 475  Enrolled Copy
4652  created in Section 64-13a-4.
4653  (c) "Correctional industries director" means the director of the correctional industries
4654  division, appointed under Section 64-13a-4.
4655     (2)(a) An applicable procurement unit shall purchase goods and services produced by
4656  the correctional industries division as provided in this section.
4657  (b) A procurement unit that is not an applicable procurement unit may, and is
4658  encouraged to, purchase goods and services under this section.
4659  (c) A procurement unit is not required to use a standard procurement process to purchase
4660  goods or services under this section.
4661     (3) On or before July 1 of each year, the correctional industries director shall:
4662  (a) publish and distribute to all procurement units and other interested public entities a
4663  catalog of goods and services produced by the correctional industries division,
4664  including a description and price of each item offered for sale; and
4665  (b) update and revise the catalog described in Subsection (3)(a) during the year as the
4666  correctional industries director considers necessary.
4667     (4)(a) An applicable procurement unit may not purchase any goods or services provided
4668  by the correctional industries division from any other source unless the correctional
4669  industries director and the procurement official or, in the case of institutions of higher
4670  education, the institutional procurement officer, determine in writing that purchase
4671  from the correctional industries division is not feasible due to one of the following
4672  circumstances:
4673  (i) the good or service offered by the correctional industries division does not meet
4674  the reasonable requirements of the procurement unit;
4675  (ii) the good or service cannot be supplied within a reasonable time by the
4676  correctional industries division; or
4677  (iii) the cost of the good or service, including basic price, transportation costs, and
4678  other expenses of acquisition, is not competitive with the cost of procuring the
4679  item from another source.
4680  (b) In cases of disagreement under Subsection (4)(a):
4681  (i) the decision may be appealed to a board consisting of:
4682  (A) the director of the Department of Corrections;
4683  (B) the director of Administrative Services; and
4684  (C) a neutral third party agreed upon by the other two members of the board;
4685  (ii) in the case of an institution of higher education of the state, the president of the
                                                        - 138 -
       Enrolled Copy  H.B. 475
4686  institution, or the president's designee, shall make the final decision; or
4687  (iii) in the case of any of the following entities, a person designated by the
4688  rulemaking authority shall make the final decision:
4689  (A) a legislative procurement unit;
4690  (B) a judicial procurement unit; or
4691  (C) a public transit district.
4692  Section 66. Section 63G-21-102 is amended to read:
4693  63G-21-102 (Effective 05/06/26) (Repealed 07/01/28). Definitions.
4694       As used in this chapter:
4695    (1) "Designated agency" means:
4696        (a) the Governor's Office of Economic [Opportunity] Development;
4697        (b) the Division of Wildlife Resources;
4698        (c) the Department of Public Safety;
4699        (d) the Division of Technology Services; or
4700        (e) the Department of Workforce Services.
4701    (2)(a) "State service" means a service or benefit regularly provided to the public by a
4702        designated agency.
4703        (b) "State service" includes:
4704  (i) for the Governor's Office of Economic [Opportunity] Development or the Division
4705  of Technology Services, public high-speed [Internet] internet access;
4706  (ii) for the Division of Wildlife Resources, fishing, hunting, and trapping licenses;
4707  (iii) for the Department of Public Safety, fingerprinting, an online driver license
4708  renewal, online appointment scheduling, an online motor vehicle record request,
4709  and an online change of address with the Driver License Division; and
4710  (iv) for the Department of Workforce Services, online job searches, verification of
4711  submission for benefits administered by the Department of Workforce Services,
4712  online unemployment applications, online food stamp applications, and online
4713  appointment scheduling.
4714    (3) "USPS" means the United States Postal Service.
4715  Section 67. Section 63G-21-201 is amended to read:
4716  63G-21-201 (Effective 05/06/26) (Repealed 07/01/28). Limited authorization to
4717    provide state services at post office locations.
4718    (1) If allowed by federal law, a designated agency may negotiate and enter into an
4719        agreement with USPS that allows USPS to provide one or more state services at one or
                                                      - 139 -
       H.B. 475  Enrolled Copy
4720  more post office locations within the state.
4721     (2) The designated agency shall ensure that the agreement described in Subsection (1)
4722  includes:
4723  (a) the term of the agreement, which may not extend beyond July 1, 2028;
4724  (b) provisions to ensure the security of state data and resources;
4725  (c) provisions to provide training to USPS employees on how to provide each state
4726  service in the agreement;
4727  (d) except as provided in Subsection (2)(e), provisions authorizing compensation to
4728  USPS for at least 100% of attributable costs of all property and services that USPS
4729  provides under the agreement; and
4730  (e) if the agreement is between USPS and the Division of Wildlife Resources to sell
4731  fishing, hunting, or trapping licenses, provisions requiring compliance with Sections
4732  23A-4-501 and 23A-4-502 regarding wildlife license agents, including remuneration
4733  for services rendered.
4734     (3) After one or more designated agencies enter into an agreement described in Subsection
4735  (1), the Governor's Office of Economic [Opportunity] Development created in Section
4736  63N-1a-301 shall create a marketing campaign to advertise and promote the availability
4737  of state services at each selected USPS location.
4738  Section 68. Section 63H-1-801 is amended to read:
4739  63H-1-801 (Effective 05/06/26). Dissolution of authority -- Restrictions -- Filing
4740     copy of ordinance -- Authority records -- Dissolution expenses.
4741     (1) The authority may not be dissolved unless the authority has no outstanding bonded
4742  indebtedness, other unpaid loans, indebtedness, or advances, and no legally binding
4743  contractual obligations with persons or entities other than the state.
4744     (2) Upon the dissolution of the authority:
4745  (a) the Governor's Office of Economic [Opportunity] Development shall publish a notice
4746  of dissolution:
4747  (i) in a newspaper of general circulation in the county in which the dissolved
4748  authority is located; and
4749  (ii) as required in Section 45-1-101; and
4750  (b) all title to property owned by the authority vests in the state.
4751     (3) The books, documents, records, papers, and seal of each dissolved authority shall be
4752  deposited for safekeeping and reference with the state auditor.
4753     (4) The authority shall pay all expenses of the deactivation and dissolution.
                                                       - 140 -
       Enrolled Copy  H.B. 475
4754  Section 69. Section 63J-1-602.2 is amended to read:
4755  63J-1-602.2 (Effective 05/06/26) (Partially Repealed 07/01/29). List of nonlapsing
4756    appropriations to programs.
4757       Appropriations made to the following programs are nonlapsing:
4758    (1) The Legislature and the Legislature's committees.
4759    (2) The State Board of Education, including all appropriations to agencies, line items, and
4760        programs under the jurisdiction of the State Board of Education, in accordance with
4761        Section 53F-9-103.
4762    (3) The Rangeland Improvement Act created in Section 4-20-101.
4763    (4) The Percent-for-Art Program created in Section 9-6-404.
4764    (5) The LeRay McAllister Working Farm and Ranch Fund Program created in Title 4,
4765        Chapter 46, Part 3, LeRay McAllister Working Farm and Ranch Fund.
4766    (6) The Utah Lake Authority created in Section 11-65-201.
4767    (7) Dedicated credits accrued to the Utah Marriage Commission as provided under
4768        Subsection 17-66-303(2)(d)(ii).
4769    (8) The Wildlife Land and Water Acquisition Program created in Section 23A-6-205.
4770    (9) Sanctions collected as dedicated credits from Medicaid providers under Subsection
4771        26B-3-108(7).
4772    (10) The primary care grant program created in Section 26B-4-310.
4773    (11) The Opiate Overdose Outreach Pilot Program created in Section 26B-4-512.
4774    (12) The Utah Health Care Workforce Financial Assistance Program created in Section
4775        26B-4-702.
4776    (13) The Rural Physician Loan Repayment Program created in Section 26B-4-703.
4777    (14) The Utah Medical Education Council for the:
4778        (a) administration of the Utah Medical Education Program created in Section 26B-4-707;
4779        (b) provision of medical residency grants described in Section 26B-4-711; and
4780        (c) provision of the forensic psychiatric fellowship grant described in Section 26B-4-712.
4781    (15) The Division of Services for People with Disabilities, as provided in Section 26B-6-402.
4782    (16) The Communication Habits to reduce Adolescent Threats (CHAT) Pilot Program
4783        created in Section 26B-7-122.
4784    (17) Funds that the Department of Alcoholic Beverage Services retains in accordance with
4785        Subsection 32B-2-301(8)(a) or (b).
4786    (18) The General Assistance program administered by the Department of Workforce
4787        Services, as provided in Section 35A-3-401.
                                                    - 141 -
       H.B. 475  Enrolled Copy
4788     (19) The Utah National Guard, created in Title 39A, National Guard and Militia Act.
4789     (20) The Search and Rescue Financial Assistance Program, as provided in Section
4790  53-2a-1102.
4791     (21) The Emergency Medical Services Grant Program, as provided in Section 53-2d-207.
4792     (22) The Motorcycle Rider Education Program, as provided in Section 53-3-905.
4793     (23) The Utah Board of Higher Education for teacher preparation programs, as provided in
4794  Section 53H-5-402.
4795     (24) Innovation grants under Section 53G-10-608, except as provided in Subsection
4796  53G-10-608(3).
4797     (25) The Division of Fleet Operations for the purpose of upgrading underground storage
4798  tanks under Section 63A-9-401.
4799     (26) The Division of Technology Services for technology innovation as provided under
4800  Section 63A-16-903.
4801     (27) The State Capitol Preservation Board created by Section 63O-2-201.
4802     (28) The Office of Administrative Rules for publishing, as provided in Section 63G-3-402.
4803     (29) The Colorado River Authority of Utah, created in Title 63M, Chapter 14, Colorado
4804  River Authority of Utah Act.
4805     (30) The Governor's Office of Economic [Opportunity] Development to fund the Enterprise
4806  Zone Act, as provided in Title 63N, Chapter 2, Part 2, Enterprise Zone Act.
4807     (31) The Governor's Office of Economic [Opportunity's] Development's Rural Employment
4808  Expansion Program, as described in Title 63N, Chapter 4, Part 4, Rural Employment
4809  Expansion Program.
4810     (32) County correctional facility contracting program for state inmates as described in
4811  Section 64-13e-103.
4812     (33) County correctional facility reimbursement program for state probationary inmates and
4813  state parole inmates as described in Section 64-13e-104.
4814     (34) Programs for the Jordan River Recreation Area as described in Section 65A-2-8.
4815     (35) The Division of Human Resource Management user training program, as provided in
4816  Section 63A-17-106.
4817     (36) A public safety answering point's emergency telecommunications service fund, as
4818  provided in Section 69-2-301.
4819     (37) The Traffic Noise Abatement Program created in Section 72-6-112.
4820     (38) The money appropriated from the Navajo Water Rights Negotiation Account to the
4821  Division of Water Rights, created in Section 73-2-1.1, for purposes of participating in a
                                                     - 142 -
       Enrolled Copy  H.B. 475
4822        settlement of federal reserved water right claims.
4823    (39) The Judicial Council for compensation for special prosecutors, as provided in Section
4824        77-10a-19.
4825    (40) A state rehabilitative employment program, as provided in Section 78A-6-210.
4826    (41) The Utah Geological Survey, as provided in Section 79-3-401.
4827    (42) The Bonneville Shoreline Trail Program created under Section 79-5-503.
4828    (43) Adoption document access as provided in Sections 81-13-103, 81-13-504, and
4829        81-13-505.
4830    (44) Indigent defense as provided in Title 78B, Chapter 22, Part 4, Utah Indigent Defense
4831        Commission.
4832    (45) The program established by the Division of Facilities Construction and Management
4833        under Section 63A-5b-703 under which state agencies receive an appropriation and pay
4834        lease payments for the use and occupancy of buildings owned by the Division of
4835        Facilities Construction and Management.
4836    (46) The State Tax Commission for reimbursing counties for deferrals in accordance with
4837        Section 59-2-1802.5.
4838    (47) The Veterinarian Education Loan Repayment Program created in Section 4-2-902.
4839  Section 70. Section 63L-2-301 is amended to read:
4840  63L-2-301 (Effective 05/06/26). Promoting or lobbying for a federal designation
4841    within the state.
4842    (1) As used in this section:
4843        (a) "Federal designation" means the designation of a:
4844  (i) national monument;
4845  (ii) national conservation area;
4846  (iii) wilderness area or wilderness study area;
4847  (iv) area of critical environmental concern;
4848  (v) research natural area; or
4849  (vi) national recreation area.
4850        (b)(i) "Governmental entity" means:
4851  (A) a state-funded institution of higher education or public education;
4852  (B) a political subdivision of the state;
4853  (C) an office, agency, board, bureau, committee, department, advisory board, or
4854  commission that the government funds or establishes to carry out the public's
4855  business, regardless of whether the office, agency board, bureau, committee,
                                                     - 143 -
       H.B. 475  Enrolled Copy
4856  department, advisory board, or commission is composed entirely of public
4857  officials or employees;
4858  (D) an interlocal entity as defined in Section 11-13-103 or a joint or cooperative
4859  undertaking as defined in Section 11-13-103;
4860  (E) a governmental nonprofit corporation as defined in Section 11-13a-102; or
4861  (F) an association as defined in Section 53G-7-1101.
4862  (ii) "Governmental entity" does not mean:
4863  (A) the School and Institutional Trust Lands Administration created in Section
4864  53C-1-201;
4865  (B) the School and Institutional Trust Lands Board of Trustees created in Section
4866  53C-1-202;
4867  (C) the Office of the Governor;
4868  (D) the Governor's Office of Planning and Budget created in Section 63J-4-201;
4869  (E) the Public Lands Policy Coordinating Office created in Section 63L-11-201;
4870  (F) the Office of Energy Development created in Section 79-6-401; or
4871  (G) the Governor's Office of Economic [Opportunity] Development created in
4872  Section 63N-1a-301.
4873     (2)(a) A governmental entity, or a person a governmental entity employs and designates
4874  as a representative, may investigate the possibility of a federal designation within the
4875  state.
4876  (b) A governmental entity that intends to advocate for a federal designation within the
4877  state shall:
4878  (i) notify the chairs of the following committees before the introduction of federal
4879  legislation:
4880  (A) the Natural Resources, Agriculture, and Environment Interim Committee, if
4881  constituted, and the Federalism Commission; or
4882  (B) if the notice is given during a General Session, the House and Senate Natural
4883  Resources, Agriculture, and Environment Standing Committees; and
4884  (ii) upon request of the chairs, meet with the relevant committee to review the
4885  proposal.
4886     (3) This section does not apply to a political subdivision supporting a federal designation if
4887  the federal designation:
4888  (a) applies to 5,000 acres or less; and
4889  (b) has an economical or historical benefit to the political subdivision.
                                                       - 144 -
       Enrolled Copy  H.B. 475
4890  Section 71. Section 63L-11-402 is amended to read:
4891  63L-11-402 (Effective 05/06/26) (Repealed 07/01/27). Membership -- Terms --
4892    Chair -- Expenses.
4893    (1) The Resource Development Coordinating Committee consists of the following 26
4894        members:
4895        (a) the state science advisor;
4896        (b) a representative from the Department of Agriculture and Food appointed by the
4897  commissioner of the Department of Agriculture and Food;
4898        (c) a representative from the Department of Cultural and Community Engagement
4899  appointed by the executive director of the Department of Cultural and Community
4900  Engagement;
4901        (d) a representative from the Department of Environmental Quality appointed by the
4902  executive director of the Department of Environmental Quality;
4903        (e) a representative from the Department of Natural Resources appointed by the
4904  executive director of the Department of Natural Resources;
4905        (f) a representative from the Department of Transportation appointed by the executive
4906  director of the Department of Transportation;
4907        (g) a representative from the Governor's Office of Economic [Opportunity] Development
4908  appointed by the executive director of the Governor's Office of Economic [
4909  Opportunity] Development;
4910        (h) a representative from the Housing and Community Development Division appointed
4911  by the director of the Housing and Community Development Division;
4912        (i) a representative from the Utah Historical Society appointed by the director of the
4913  Utah Historical Society;
4914        (j) a representative from the Division of Air Quality appointed by the director of the
4915  Division of Air Quality;
4916        (k) a representative from the Division of Drinking Water appointed by the director of the
4917  Division of Drinking Water;
4918        (l) a representative from the Division of Environmental Response and Remediation
4919  appointed by the director of the Division of Environmental Response and
4920  Remediation;
4921        (m) a representative from the Division of Waste Management and Radiation Control
4922  appointed by the director of the Division of Waste Management and Radiation
4923  Control;
                                                    - 145 -
       H.B. 475  Enrolled Copy
4924  (n) a representative from the Division of Water Quality appointed by the director of the
4925  Division of Water Quality;
4926  (o) a representative from the Division of Oil, Gas, and Mining appointed by the director
4927  of the Division of Oil, Gas, and Mining;
4928  (p) a representative from the Division of State Parks appointed by the director of the
4929  Division of State Parks;
4930  (q) a representative from the Division of Outdoor Recreation appointed by the director
4931  of the Division of Outdoor Recreation;
4932  (r) a representative from the Division of Forestry, Fire, and State Lands appointed by the
4933  director of the Division of Forestry, Fire, and State Lands;
4934  (s) a representative from the Utah Geological Survey appointed by the director of the
4935  Utah Geological Survey;
4936  (t) a representative from the Division of Water Resources appointed by the director of
4937  the Division of Water Resources;
4938  (u) a representative from the Division of Water Rights appointed by the director of the
4939  Division of Water Rights;
4940  (v) a representative from the Division of Wildlife Resources appointed by the director of
4941  the Division of Wildlife Resources;
4942  (w) a representative from the School and Institutional Trust Lands Administration
4943  appointed by the director of the School and Institutional Trust Lands Administration;
4944  (x) a representative from the Division of Facilities Construction and Management
4945  appointed by the director of the Division of Facilities Construction and Management;
4946  (y) a representative from the Division of Emergency Management appointed by the
4947  director of the Division of Emergency Management; and
4948  (z) a representative from the Division of Conservation, created under Section 4-46-401,
4949  appointed by the director of the Division of Conservation.
4950     (2)(a) As particular issues require, the coordinating committee may, by majority vote of
4951  the members present, appoint additional temporary members to serve as ex officio
4952  voting members.
4953  (b) Those ex officio members may discuss and vote on the issue or issues for which they
4954  were appointed.
4955     (3) A chair shall be selected by a vote of 14 committee members with the concurrence of
4956  the advisor.
4957     (4) A member may not receive compensation or benefits for the member's service, but may
                                                        - 146 -
       Enrolled Copy  H.B. 475
4958        receive per diem and travel expenses in accordance with:
4959        (a) Sections 63A-3-106 and 63A-3-107; and
4960        (b) rules made by the Division of Finance pursuant to Sections 63A-3-106 and
4961  63A-3-107.
4962  Section 72. Section 63M-5-306 is amended to read:
4963  63M-5-306 (Effective 05/06/26). Financial impact statement -- Alleviation plan --
4964    Filing required -- Contents -- Payments credited against tax -- Provisions neither
4965    exclusive nor mandatory.
4966    (1)(a) A developer desiring to prepay ad valorem property taxes under Section
4967        63M-5-201 shall first prepare and file with the Governor's Office of Economic [
4968        Opportunity] Development and all units of local government likely to be affected with
4969        a significant financial impact due to a natural resource or industrial facility a financial
4970        impact statement together with a plan for alleviating these impacts.
4971        (b) The impact statement and the alleviation plan shall be prepared in cooperation with
4972  and after consultation with the Governor's Office of Economic [Opportunity]
4973  Development and the affected units of local government.
4974        (c) The financial impact statement shall assess the projected financial impact on state
4975  agencies and units of local government, including the impact on transportation
4976  systems, culinary water systems, waste treatment facilities, public safety, schools,
4977  public health, housing, planning and zoning, and general government administration.
4978        (d) The alleviation plan shall set out proposals for alleviating the impact and may
4979  include payments to local units of government or direct expenditures by the
4980  developer to alleviate the impact.
4981        (e) The impact statement and the alleviation plan may be amended by the developer in
4982  cooperation with and after consultation with the Governor's Office of Economic
4983  Opportunity and those units of local government affected by the amendment.
4984    (2) At least 90 days prior to commencement of construction of an industrial facility or
4985        natural resources facility by a major developer, an impact statement and alleviation plan
4986        as described in Subsection (1) shall be filed by the major developer regardless of
4987        whether [or not ]the major developer desires to prepay ad valorem property taxes.
4988    (3)(a) Upon the filing of the financial impact statement and alleviation plan, a developer
4989        may apply to the governing body of the affected unit of local government for
4990        authorization to prepay a portion of the anticipated ad valorem property taxes to be
4991        expended consistent with the alleviation plan.
                                                      - 147 -
       H.B. 475  Enrolled Copy
4992  (b) This authorization may provide that only a portion of the amounts so prepaid can be
4993  applied against the ad valorem property taxes due in any given year.
4994  (c) In addition to payments directly to the affected unit of local government, an affected
4995  unit of local government may authorize a tax credit on anticipated ad valorem
4996  property taxes for expenditures made by the developer to other persons so long as the
4997  expenditure is consistent with the alleviation plan.
4998     (4)(a) This chapter is designed to provide an additional mechanism for the alleviation of
4999  impacts on units of local government and is not intended to discourage the use of
5000  other mechanisms as may be available.
5001  (b) Nothing in this chapter requires a developer to prepay ad valorem property taxes or
5002  to make any other expenditure not otherwise required by law.
5003  Section 73. Section 63M-11-201 is amended to read:
5004  63M-11-201 (Effective 05/06/26) (Repealed 07/01/26). Composition --
5005     Appointments -- Terms -- Removal.
5006     (1) The commission shall be composed of the following voting members:
5007  (a) the executive director of the Department of Health and Human Services or the
5008  executive director's designee;
5009  [(b) the executive director of the Department of Human Services or the executive
5010  director's designee;]
5011  [(c)] (b) the executive director of the Governor's Office of Economic [Opportunity]
5012  Development or the executive director's designee;
5013  [(d)] (c) the executive director of the Department of Workforce Services or the executive
5014  director's designee; and
5015  [(e)] (d) 20 members, appointed by the governor in accordance with Subsection (3),
5016  including:
5017  (i) three members that represent the Utah Association of Areas on Aging, the
5018  Alzheimer's Association, or another organization or association that advocates for
5019  the aging population;
5020  (ii) two members that represent an organization or association that advocates for local
5021  government; and
5022  (iii) two members that represent the general public.
5023     (2)(a) A member appointed under Subsection (1)(e) shall serve a two-year term.
5024  (b) Notwithstanding the term requirements described in Subsection (2)(a), the governor
5025  may adjust the length of the initial commission members' terms to ensure that the
                                                       - 148 -
       Enrolled Copy  H.B. 475
5026  terms are staggered so that approximately one-half of the members appointed under
5027  Subsection (1)(e) are appointed each year.
5028        (c) When, for any reason, a vacancy occurs in a position appointed by the governor
5029  under Subsection (1)(e), the governor shall appoint a person to fill the vacancy for the
5030  unexpired term of the commission member being replaced.
5031        (d) A member appointed under Subsection (1)(e) may be removed by the governor for
5032  cause.
5033        (e) A member appointed under Subsection (1)(e) shall be removed from the commission
5034  and replaced by the governor if the member is absent for three consecutive meetings
5035  of the commission without being excused by the chair of the commission.
5036    (3) In appointing the members under Subsection (1)(e), the governor shall:
5037        (a) ensure each of the following areas are represented:
5038  (i) higher education in Utah;
5039  (ii) the business community;
5040  (iii) charitable organizations;
5041  (iv) the health care provider industry;
5042  (v) the industry that provides telehealth services;
5043  (vi) the industry that provides data analysis services;
5044  (vii) the industry that provides information technology support services;
5045  (viii) financial institutions;
5046  (ix) the legal profession;
5047  (x) the public safety sector;
5048  (xi) public transportation;
5049  (xii) ethnic minorities; and
5050  (xiii) the industry that provides long-term care for the elderly;
5051        (b) take into account the geographical makeup of the commission; and
5052        (c) strive to appoint members who:
5053  (i) are knowledgeable or have an interest in issues relating to the aging population;
5054  (ii) provide a balanced representation of urban and rural communities in the state; and
5055  (iii) represent the diversity of the population in the state.
5056  Section 74. Section 63N-1a-102 is amended to read:
5057  63N-1a-102 (Effective 05/06/26). Definitions.
5058       As used in this title:
5059    (1) "Baseline jobs" means the number of full-time employee positions that existed within a
                                                      - 149 -
       H.B. 475  Enrolled Copy
5060  business entity in the state before the date on which a project related to the business
5061  entity is approved by the office or by the [GOEO] GOED board.
5062     (2) "Baseline state revenue" means the amount of state tax revenue collected from a
5063  business entity or the employees of a business entity during the year before the date on
5064  which a project related to the business entity is approved by the office or by the [GOEO]
5065  GOED board.
5066     (3) "Council" means the Economic Development Council created in Section 63N-1a-501.
5067     [(3)] (4) "Economic opportunity agency" includes:
5068  (a) the Department of Workforce Services;
5069  (b) the Department of Cultural and Community Engagement;
5070  (c) the Department of Commerce;
5071  (d) the Department of Natural Resources;
5072  (e) the Office of Energy Development;
5073  (f) the State Board of Education;
5074  (g) institutions of higher education;
5075  (h) the Utah Multicultural Commission;
5076  (i) the World Trade Center Utah;
5077  (j) local government entities;
5078  (k) associations of governments;
5079  (l) the Utah League of Cities and Towns;
5080  (m) the Utah Association of Counties;
5081  (n) the Economic Development Corporation of Utah;
5082  (o) the Small Business Administration;
5083  (p) chambers of commerce;
5084  (q) industry associations;
5085  (r) small business development centers; and
5086  (s) other entities identified by the commission or the executive director.
5087     [(4)] (5) "Executive director" means the executive director of the office.
5088     [(5)] (6) "Full-time employee" means an employment position that is filled by an employee
5089  who works at least 30 hours per week and:
5090  (a) may include an employment position filled by more than one employee, if each
5091  employee who works less than 30 hours per week is provided benefits comparable to
5092  a full-time employee; and
5093  (b) may not include an employment position that is shifted from one jurisdiction in the
                                                      - 150 -
       Enrolled Copy  H.B. 475
5094  state to another jurisdiction in the state.
5095    [(6)] (7) ["GOEO] "GOED board" means the Board of Economic [Opportunity] Development
5096        created in Section 63N-1a-401.
5097    [(7)] (8) "High paying job" means a newly created full-time employee position where the
5098        aggregate average annual gross wage of the employment position, not including health
5099        care or other paid or unpaid benefits, is:
5100        (a) at least 110% of the average wage of the county in which the employment position
5101  exists; or
5102        (b) for an employment position related to a project described in Chapter 2, Part 1,
5103  Economic Development Tax Increment Financing, and that is located within the
5104  boundary of a county of the third, fourth, fifth, or sixth class, or located within a
5105  municipality in a county of the second class and where the municipality has a
5106  population of 10,000 or less:
5107  (i) at least 100% of the average wage of the county in which the employment position
5108  exists; or
5109  (ii) an amount determined by rule made by the office in accordance with Title 63G,
5110  Chapter 3, Utah Administrative Rulemaking Act, if the office determines the
5111  project is in a county experiencing economic distress.
5112    [(8)] (9)(a) "Incremental job" means a full-time employment position in the state that:
5113  (i) did not exist within a business entity in the state before the beginning of a project
5114  related to the business entity; and
5115  (ii) is created in addition to the number of baseline jobs that existed within a business
5116  entity.
5117        (b) "Incremental job" includes a full-time employment position where the employee is
5118  hired:
5119  (i) directly by a business entity; or
5120  (ii) by a professional employer organization, as defined in Section 31A-40-102, on
5121  behalf of a business entity.
5122    [(9)] (10) "New state revenue" means the state revenue collected from a business entity or a
5123        business entity's employees during a calendar year minus the baseline state revenue
5124        calculation.
5125    [(10)] (11) "Office" or ["GOEO"] "GOED" means the Governor's Office of Economic [
5126        Opportunity] Development.
5127    [(11)] (12) "State revenue" means state tax liability paid by a business entity or a business
                                                         - 151 -
       H.B. 475  Enrolled Copy
5128  entity's employees under any combination of the following provisions:
5129  (a) Title 59, Chapter 7, Corporate Franchise and Income Taxes;
5130  (b) Title 59, Chapter 10, Part 1, Determination and Reporting of Tax Liability and
5131  Information;
5132  (c) Title 59, Chapter 10, Part 2, Trusts and Estates;
5133  (d) Title 59, Chapter 10, Part 4, Withholding of Tax; and
5134  (e) Title 59, Chapter 12, Sales and Use Tax Act.
5135     [(12)] (13) "State strategic goals" means the strategic goals listed in Section 63N-1a-103.
5136     [(13)] (14) "Statewide economic development strategy" means the economic development
5137  strategy developed by the office in accordance with Section 63N-1a-301.
5138     [(14)] (15) "Targeted industry" means an industry or group of industries targeted by the
5139  office under Section 63N-1a-301, for economic development in the state.
5140  Section 75. Section 63N-1a-103 is amended to read:
5141  63N-1a-103 (Effective 05/06/26). Purpose.
5142     (1) The purpose of the Economic Opportunity Act and the entities established in the act is
5143  to catalyze strategic economic development opportunities for all residents of the state
5144  with a vision of creating economically thriving communities, businesses, and families
5145  throughout the state.
5146     (2) The purpose is realized through targeted efforts that demonstrably improve quality of
5147  life, measured by the extent to which the efforts accomplish the following strategic goals:
5148  (a) catalyzing targeted industry growth;
5149  (b) supporting economically thriving communities;
5150  (c) empowering students and workers with market-relevant skills;
5151  (d) stimulating economic growth in rural and multicultural communities through
5152  household level efforts; and
5153  (e) securing healthy and resilient ecosystems for current and future generations.
5154  Section 76. Section 63N-1a-301 is amended to read:
5155  63N-1a-301 (Effective 05/06/26). Creation of office -- Responsibilities.
5156     (1) There is created the Governor's Office of Economic [Opportunity] Development.
5157     (2) The office is:
5158  (a) responsible for creating and implementing the statewide economic development
5159  strategy that:
5160  (i) unifies and coordinates economic development efforts in the state;
5161  (ii) includes key performance indicators for long-term progress toward the state
                                                      - 152 -
       Enrolled Copy  H.B. 475
5162  strategic goals;
5163  (iii) establishes reporting and accountability processes for the key performance
5164  indicators; and
5165  (iv) ensures the success of statewide economic development; and
5166        (b) the industrial and business promotion authority of the state.
5167    (3) The office shall:
5168        (a) consistent with the statewide economic development strategy, coordinate and align
5169  into a single effort the activities of the economic opportunity agencies in the field of
5170  economic development;
5171        (b) provide support and direction to economic opportunity agencies in establishing
5172  goals, metrics, and activities that align with the statewide economic development
5173  strategy;
5174        (c) administer and coordinate state and federal economic development grant programs;
5175        (d) promote and encourage the economic, commercial, financial, industrial, agricultural,
5176  and civic welfare of the state;
5177        (e) develop the statewide economic development strategy consistent with the state water
5178  policy described in Section 73-1-21, including the state's commitment to appropriate:
5179  (i) conservation;
5180  (ii) efficient and optimal use of water resources;
5181  (iii) infrastructure development and improvement;
5182  (iv) optimal agricultural use;
5183  (v) water quality;
5184  (vi) reasonable access to recreational activities;
5185  (vii) effective wastewater treatment; and
5186  (viii) protecting and restoring health ecosystems;
5187        (f) at least once every five years, identify which industry or groups of industries shall be
5188  targeted for economic development in the state;
5189        (g) promote and encourage the employment of workers in the state and the purchase of
5190  goods and services produced in the state by local businesses;
5191        (h) act to create, develop, attract, and retain business, industry, and commerce in the
5192  state:
5193  (i) in accordance with the statewide economic development strategy; and
5194  (ii) subject to the restrictions in Section 11-41-103;
5195        (i) act to enhance the state's economy;
                                                      - 153 -
       H.B. 475  Enrolled Copy
5196  (j) analyze the state's projected long-term population and economic growth and plan for
5197  the anticipated impacts of the projected growth in a manner that improves quality of
5198  life and is consistent with the statewide economic development strategy and state
5199  strategic goals;
5200  (k) act to assist strategic industries that are likely to drive future economic growth;
5201  (l) assist communities in the state in developing economic development capacity and
5202  coordination with other communities;
5203  (m) develop strategies and plans to ensure comprehensive economic development efforts
5204  are targeted to the unique needs of rural areas of the state;
5205  (n) identify areas of education and workforce development in the state that can be
5206  improved to support economic and business development;
5207  (o) develop core strategic priorities for the office, which may include:
5208  (i) enhancing statewide access to entrepreneurship opportunities and small business
5209  support;
5210  (ii) focusing industry recruitment and expansion of targeted industries;
5211  (iii) ensuring that in awarding competitive economic development incentives the
5212  office accurately measures the benefits and costs of the incentives; and
5213  (iv) assisting communities with technical support to aid those communities in
5214  improving economic development opportunities;
5215  (p) submit an annual written report as described in Section 63N-1a-306; and
5216  (q) perform other duties as provided by the Legislature.
5217     (4) To perform the office's duties under this title, the office may:
5218  (a) enter into a contract or agreement with, or make a grant to, a public or private entity,
5219  including a municipality, if the contract or agreement is not in violation of state
5220  statute or other applicable law;
5221  (b) except as provided in Subsection (4)(c), receive and expend funds from a public or
5222  private source for any lawful purpose that is in the state's best interest; and
5223  (c) solicit and accept a contribution of money, services, or facilities from a public or
5224  private donor, but may not use the contribution for publicizing the exclusive interest
5225  of the donor.
5226     (5) Money received under Subsection (4)(c) shall be deposited into the General Fund as
5227  dedicated credits of the office.
5228  Section 77. Section 63N-1a-303 is amended to read:
5229  63N-1a-303 (Effective 05/06/26). Powers and duties of executive director.
                                                       - 154 -
       Enrolled Copy  H.B. 475
5230    (1) Unless otherwise expressly provided by statute, the executive director may organize the
5231        office in any appropriate manner, including the appointment of deputy directors of the
5232        office.
5233    (2) The executive director may consolidate personnel and service functions for efficiency
5234        and economy in the office.
5235    (3) The executive director, with the approval of the governor:
5236        (a) may, by following the procedures and requirements of Title 63J, Chapter 5, Federal
5237  Funds Procedures Act, seek federal grants, loans, or participation in federal programs;
5238        (b) may enter into a lawful contract or agreement with another state, a chamber of
5239  commerce organization, a service club, or a private entity; and
5240        (c) shall annually prepare and submit to the governor a budget of the office's financial
5241  requirements.
5242    (4) With the governor's approval, if a federal program requires the expenditure of state
5243        funds as a condition for the state to participate in a fund, property, or service, the
5244        executive director may expend necessary funds from money provided by the Legislature
5245        for the use of the office.
5246    (5) The executive director shall coordinate with the executive directors of the Department
5247        of Workforce Services and the Governor's Office of Planning and Budget to review data
5248        and metrics to be reported to the Legislature as described in Section 63N-1a-306.
5249    (6) The executive director shall:
5250        (a) receive guidance from the Economic Development Council created in Section
5251  63N-1a-501;
5252        (b) establish and implement strategies to recruit industries identified by the Economic
5253  Development Council to locate in the state;
5254        (c) establish strategies for and actively support entrepreneurship, small business
5255  development, and existing small businesses in the state;
5256        (d) coordinate state and local efforts on economic development activities, including
5257  efforts led by:
5258  (i) the Utah Inland Port Authority created in Section 11-58-201;
5259  (ii) the Point of the Mountain State Land Authority created in Section 11-59-201;
5260  (iii) the Utah Lake Authority created in Section 11-65-201;
5261  (iv) the Utah Fairpark Area Investment and Restoration District created in Section
5262  11-68-201;
5263  (v) the Military Installation Development Authority created in Section 63H-1-201;
                                                      - 155 -
       H.B. 475  Enrolled Copy
5264  and
5265  (vi) regional associations of governments created under Title 11, Chapter 13,
5266  Interlocal Cooperation Act;
5267  (e) identify areas of the state for targeted economic development;
5268  (f) match areas of the state for targeted economic development, with targeted industries
5269  or businesses encouraged to permanently relocate to, or significantly expand
5270  operations in, the state;
5271  (g) ensure the office's efforts are, to the extent practicable, data-driven, evidence-based,
5272  and focused on developing human capital, physical capital, and innovation; and
5273  (h) support an integrated international trade strategy for the state.
5274     (7) Nothing in Subsection (6) shall be construed to:
5275  (a) give the executive director authority over an entity described in Subsection (6)(e); or
5276  (b) modify the legal status of a political subdivision.
5277     [(6)] (8) Unless otherwise provided in this title, the executive director may make rules in
5278  accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, as
5279  necessary for the administration of programs established under state law.
5280  Section 78. Section 63N-1a-401 is amended to read:
5281  63N-1a-401 (Effective 05/06/26). Creation of Board of Economic Development.
5282     (1)(a) There is created within the office the Board of Economic [Opportunity]
5283  Development, consisting of nine members appointed by the executive director of the
5284  office, in consultation with the governor, to four-year terms of office with the advice
5285  and consent of the Senate in accordance with Title 63G, Chapter 24, Part 2,
5286  Vacancies.
5287  (b) The nine members described in Subsection (1)(a) shall include:
5288  (i) one member associated with the state's rural communities;
5289  (ii) one member associated with direct entrepreneurship in the state;
5290  (iii) one member associated with higher education in the state;
5291  (iv) five members, other than the members described in Subsections (1)(b)(i) through
5292  (iii), that are associated with a targeted industry; and
5293  (v) one at-large member.
5294  (c) Notwithstanding the requirements of Subsection (1)(a), the executive director shall,
5295  at the time of appointment or reappointment, adjust the length of terms to ensure that
5296  the terms of board members are staggered so that approximately half of the board is
5297  appointed every two years.
                                                       - 156 -
       Enrolled Copy  H.B. 475
5298        (d) The members may not serve more than two full consecutive terms except when the
5299  executive director determines that an additional term is in the best interest of the state.
5300    (2) When a vacancy occurs in the membership for any reason, the replacement shall be
5301        appointed for the unexpired term in accordance with Title 63G, Chapter 24, Part 2,
5302        Vacancies.
5303    (3) A majority of board members, not including a vacancy, constitutes a quorum for
5304        conducting board business and exercising board power.
5305    (4) The executive director shall select one board member as the board's chair and one
5306        member as the board's vice chair.
5307    (5) A member may not receive compensation or benefits for the member's service, but may
5308        receive per diem and travel expenses in accordance with:
5309        (a) Section 63A-3-106;
5310        (b) Section 63A-3-107; and
5311        (c) rules made by the Division of Finance under Sections 63A-3-106 and 63A-3-107.
5312    (6) A member shall comply with the conflict of interest provisions described in Title 63G,
5313        Chapter 24, Part 3, Conflicts of Interest.
5314  Section 79. Section 63N-1a-402 is amended to read:
5315  63N-1a-402 (Effective 05/06/26). Board of Economic Development duties and
5316    powers.
5317    (1) The [GOEO] GOED board shall advise and assist the office to:
5318        (a) promote and encourage the economic, commercial, financial, industrial, agricultural,
5319  and civic welfare of the state;
5320        (b) promote and encourage the development, attraction, expansion, and retention of
5321  businesses, industries, and commerce in the state;
5322        (c) support the efforts of local government and regional nonprofit economic
5323  development organizations to encourage expansion or retention of businesses,
5324  industries, and commerce in the state;
5325        (d) act to enhance the state's economy;
5326        (e) develop policies, priorities, and objectives regarding the assistance, retention, or
5327  recruitment of business, industries, and commerce in the state;
5328        (f) administer programs for the assistance, retention, or recruitment of businesses,
5329  industries, and commerce in the state;
5330        (g) ensure that economic development programs are available to all areas of the state in
5331  accordance with federal and state law;
                                                       - 157 -
       H.B. 475  Enrolled Copy
5332  (h) identify local, regional, and statewide rural economic development and planning
5333  priorities;
5334  (i) understand, through study and input, issues relating to local, regional, and statewide
5335  rural economic development, including challenges, opportunities, best practices,
5336  policy, planning, and collaboration; and
5337  (j) maintain ethical and conflict of interest standards consistent with those imposed on a
5338  public officer under Title 67, Chapter 16, Utah Public Officers' and Employees'
5339  Ethics Act.
5340     (2) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the [
5341  GOEO] GOED board may, in consultation with the executive director, make rules for the
5342  conduct of the [GOEO] GOED board's business.
5343  Section 80. Section 63N-1a-501 is enacted to read:
5344  Part 5. Economic Development Council
5345  63N-1a-501 (Effective 05/06/26). Creation of Economic Development Council.
5346     (1) There is created the Economic Development Council.
5347     (2) The council consists of the following voting members:
5348  (a) the governor, or the governor's designee, who shall be the chair of the council;
5349  (b) the president of the Senate or the president's designee;
5350  (c) the speaker of the House of Representatives or the speaker's designee;
5351  (d) a member appointed by the Utah Inland Port Authority board created in Section
5352  11-58-301, to represent the interests of the Utah Inland Port Authority;
5353  (e) a member appointed by the Point of the Mountain State Land Authority board
5354  created in Section 11-59-301, to represent the interests of the Point of the Mountain
5355  State Land Authority;
5356  (f) a member appointed by the Utah Fairpark Area Investment and Restoration District
5357  board created in Section 11-70-301, to represent the interests of the Utah Fairpark
5358  Area Investment and Restoration District;
5359  (g) a member appointed by the Military Installation Development Authority board
5360  created in Section 63H-1-301, to represent the interests of the Military Installation
5361  Development Authority;
5362  (h) the director of the School and Institutional Trust Lands Administration created in
5363  Section 53C-1-201 or the director's designee;
5364  (i) a member to represent the interests of municipalities, appointed by the Utah League
5365  of Cities and Towns; and
                                                       - 158 -
       Enrolled Copy  H.B. 475
5366        (j) a member to represent the interests of counties, appointed by the Utah Association of
5367  Counties.
5368    (3)(a) A majority of council members, not including a vacancy, constitutes a quorum for
5369        the purpose of conducting council business.
5370        (b) The action of a majority of a quorum constitutes the action of the council.
5371    (4) The office shall provide office space and staff support for the council.
5372    (5)(a) A council member may not receive compensation or benefits for the member's
5373        service on the council, but may receive per diem and travel expenses in accordance
5374        with:
5375  (i) Sections 63A-3-106 and 63A-3-107; and
5376  (ii) rules made by the Division of Finance in accordance with Sections 63A-3-106
5377  and 63A-3-107.
5378        (b) Compensation and expenses of a council member who is a legislator are governed by
5379  Section 36-2-2 and Legislative Joint Rules, Title 5, Legislative Compensation and
5380  Expenses.
5381  Section 81. Section 63N-1a-502 is enacted to read:
5382  63N-1a-502 (Effective 05/06/26). Economic Development Council duties.
5383       The council shall:
5384    (1) establish strategic economic development objectives for the state, including establishing
5385        broad objectives;
5386    (2) provide recommendations to the executive director regarding efforts to achieve strategic
5387        economic development objectives;
5388    (3) make recommendations to the Legislature;
5389    (4) unify and coordinate economic development projects that have regional or statewide
5390        impact;
5391    (5) at least once every five years, recommend to the executive director industries or groups
5392        of industries to target for economic development in the state;
5393    (6) gather input from organizations contributing to economic development in the state,
5394        including economic opportunity agencies; and
5395    (7) receive an annual report from the board.
5396  Section 82. Section 63N-1a-503 is enacted to read:
5397  63N-1a-503 (Effective 05/06/26). Reporting.
5398    (1) The chair and executive director shall, no later than May 31, 2026, provide a report to
5399        the Economic Development and Workforce Services Interim Committee that describes
                                                     - 159 -
       H.B. 475  Enrolled Copy
5400  the council and office's progress in coordinating efforts around opportunity zone
5401  application development.
5402     (2) Beginning January 1, 2027, the chair or the chair's designee shall, no later than July 1,
5403  provide an annual written report to the Economic Development and Workforce Services
5404  Interim Committee that describes:
5405  (a) the strategic economic development objectives established under Section 63N-1a-501;
5406  (b) the council's efforts to unify and coordinate economic development projects with
5407  regional or statewide impact, if any; and
5408  (c) any recommendations for action from the Legislature.
5409     (3) Beginning January 1, 2028, the executive director shall, no later than July 1, provide an
5410  annual written report to the Economic Development and Workforce Services Interim
5411  Committee, on:
5412  (a) the executive director's progress toward achieving strategic economic development
5413  objectives identified by the council; and
5414  (b) the executive director's efforts to fulfill the duties described in Subsection
5415  63N-1a-303(6).
5416  Section 83. Section 63N-2-104.2 is amended to read:
5417  63N-2-104.2 (Effective 05/06/26). Written agreement -- Contents -- Grounds for
5418     amendment or termination.
5419     (1) If the office determines that a business entity is eligible for a tax credit under Section
5420  63N-2-104.1, the office may enter into a written agreement with the business entity that:
5421  (a) establishes performance benchmarks for the business entity to claim a tax credit,
5422  including any minimum wage requirements;
5423  (b) specifies the maximum amount of tax credit that the business entity may be
5424  authorized for a taxable year and over the life of the new commercial project, subject
5425  to the limitations in Section 63N-2-104.3;
5426  (c) establishes the length of time the business entity may claim a tax credit;
5427  (d) requires the business entity to retain records supporting a claim for a tax credit for at
5428  least four years after the business entity claims the tax credit;
5429  (e) requires the business entity to submit to audits for verification of any tax credit
5430  claimed; and
5431  (f) requires the business entity, in order to claim a tax credit, to meet the requirements of
5432  Section 63N-2-105.
5433     (2) In establishing the terms of a written agreement, including the duration and amount of
                                                        - 160 -
       Enrolled Copy  H.B. 475
5434        tax credit that the business entity may be authorized to receive, the office shall:
5435        (a) authorize the tax credit in a manner that provides the most effective incentive for the
5436  new commercial project;
5437        (b) consider the following factors:
5438  (i) whether the new commercial project provides vital or specialized support to
5439  supply chains;
5440  (ii) whether the new commercial project provides an innovative product, technology,
5441  or service;
5442  (iii) the number and wages of new incremental jobs associated with the new
5443  commercial project;
5444  (iv) the amount of financial support provided by local government entities for the
5445  new commercial project;
5446  (v) the amount of capital expenditures associated with the new commercial project;
5447  (vi) whether the new commercial project returns jobs transferred overseas;
5448  (vii) the rate of unemployment in the county in which the new commercial project is
5449  located;
5450  (viii) whether the new commercial project creates a remote work opportunity;
5451  (ix) whether the new commercial project is located in a development zone created by
5452  a local government entity as described in Subsection 63N-2-104(2);
5453  (x) whether the business entity commits to hiring Utah workers for the new
5454  commercial project;
5455  (xi) whether the business entity adopts a corporate citizenry plan or supports
5456  initiatives in the state that advance education, gender equality, diversity and
5457  inclusion, work-life balance, environmental or social good, or other similar causes;
5458  (xii) whether the business entity's headquarters are located within the state;
5459  (xiii) the likelihood of other business entities relocating to another state as a result of
5460  the new commercial project;
5461  (xiv) the necessity of the tax credit for the business entity's expansion in the state or
5462  relocation from another state;
5463  (xv) whether the proposed new commercial project might reasonably be expected to
5464  occur in the foreseeable future without the tax credit; and
5465  (xvi) the location and impact of the new commercial project on existing and planned
5466  transportation facilities, existing and planned housing, including affordable
5467  housing, and public infrastructure; and
                                                      - 161 -
       H.B. 475  Enrolled Copy
5468  (c) consult with the [GOEO] GOED board.
5469     (3) In determining the amount of tax credit that a business entity may be authorized to
5470  receive under a written agreement, the office may:
5471  (a) authorize a higher or optimized amount of tax credit for a new commercial project
5472  located within a development zone created by a local government entity as described
5473  in Subsection 63N-2-104(2); and
5474  (b) establish by rule made in accordance with Title 63G, Chapter 3, Utah Administrative
5475  Rulemaking Act, a process by which the office closely approximates the amount of
5476  taxes the business entity paid under Title 59, Chapter 12, Sales and Use Tax Act, for
5477  a capital project.
5478     (4) If the office identifies any of the following events after entering into a written
5479  agreement with a business entity, the office and the business entity shall amend, or the
5480  office may terminate, the written agreement:
5481  (a) a change in the business entity's organization resulting from a merger with or
5482  acquisition of another entity located in the state;
5483  (b) a material increase in the business entity's retail operations that results in new state
5484  revenue not subject to the incentive; or
5485  (c) an increase in the business entity's operations that:
5486  (i) is outside the scope of the written agreement or outside the boundaries of a
5487  development zone; and
5488  (ii) results in new state revenue not subject to the incentive.
5489  Section 84. Section 63N-2-504 is amended to read:
5490  63N-2-504 (Effective 05/06/26). Independent review committee.
5491     (1) In accordance with rules adopted by the office under Section 63N-2-509, the [GOEO]
5492  GOED board shall establish a separate, independent review committee to provide
5493  recommendations to the office regarding the terms and conditions of an agreement and
5494  to consult with the office as provided in this part or in rule.
5495     (2) The review committee shall consist of:
5496  (a) one member appointed by the executive director to represent the office;
5497  (b) two members appointed by the mayor or chief executive of the county in which the
5498  qualified hotel is located or proposed to be located;
5499  (c) two members appointed by:
5500  (i) the mayor of the municipality in which the qualified hotel is located or proposed
5501  to be located, if the qualified hotel is located or proposed to be located within the
                                                       - 162 -
       Enrolled Copy  H.B. 475
5502  boundary of a municipality; or
5503  (ii) the mayor or chief executive of the county in which the qualified hotel is located
5504  or proposed to be located, in addition to the two members appointed under
5505  Subsection (2)(b), if the qualified hotel is located or proposed to be located
5506  outside the boundary of a municipality;
5507        (d) an individual representing the hotel industry, appointed by the Utah Hotel and
5508  Lodging Association;
5509        (e) an individual representing the commercial development and construction industry,
5510  appointed by the president or chief executive officer of the local chamber of
5511  commerce;
5512        (f) an individual representing the convention and meeting planners industry, appointed
5513  by the president or chief executive officer of the local convention and visitors bureau;
5514  and
5515        (g) one member appointed by the [GOEO] GOED board.
5516    (3)(a) A member serves an indeterminate term and may be removed from the review
5517        committee by the appointing authority at any time.
5518        (b) A vacancy may be filled in the same manner as an appointment under Subsection (2).
5519    (4) A member of the review committee may not be paid for serving on the review
5520        committee and may not receive per diem or expense reimbursement.
5521    (5) The office shall provide any necessary staff support to the review committee.
5522  Section 85. Section 63N-2-512 is amended to read:
5523  63N-2-512 (Effective 05/06/26) (Superseded 07/01/26). Hotel Impact Mitigation
5524    Fund.
5525    (1) As used in this section:
5526        (a) "Affected hotel" means a hotel built in the state before July 1, 2014.
5527        (b) "City-wide event" means an event hosted at a convention facility pursuant to a
5528  contract by a nonprofit corporation responsible for the promotion of convention
5529  business.
5530        (c) "Mitigation fund" means the Hotel Impact Mitigation Fund, created in Subsection (2).
5531        (d) "Qualified losses" means revenue lost by an affected hotel for city-wide events
5532  attributable to the qualified hotel room supply being added to the market in the state,
5533  calculated by taking the difference between:
5534  (i) an affected hotel's average total annual room-night revenue for city-wide events
5535  for the three-year period between January 1, 2017, and December 31, 2019; and
                                                       - 163 -
       H.B. 475  Enrolled Copy
5536  (ii) the affected hotel's total annual room-night revenue for city-wide events for the
5537  applicable year.
5538     (2) There is created an expendable special revenue fund known as the Hotel Impact
5539  Mitigation Fund.
5540     (3) The mitigation fund shall:
5541  (a) be administered by [GOEO] GOED;
5542  (b) earn interest; and
5543  (c) be funded by:
5544  (i) payments required to be deposited into the mitigation fund by the Division of
5545  Finance under Subsection 59-12-103(10);
5546  (ii) money required to be deposited into the mitigation fund under Subsection
5547  17-78-707(2) by the county in which a qualified hotel is located; and
5548  (iii) any money deposited into the mitigation fund under Subsection (7).
5549     (4) Interest earned by the mitigation fund shall be deposited into the mitigation fund.
5550     (5) In accordance with office rules and Subsection (6), [GOEO] GOED shall annually pay
5551  $2,100,000 from the mitigation fund to affected hotels to mitigate qualified losses as
5552  follows:
5553  (a) for calendar years 2023 and 2024, on or before June 1, 2025;
5554  (b) for calendar year 2025, on or before February 28, 2026; and
5555  (c) for calendar year 2026, on or before February 28, 2026.
5556     (6) Each calendar year, [GOEO] GOED shall award the available $2,100,000 to affected
5557  hotels proportionally, according to each affected hotel's qualified losses in relation to the
5558  total qualified losses suffered collectively by all affected hotels.
5559     (7) A host local government or qualified hotel owner may make payments to the Division
5560  of Finance for deposit into the mitigation fund.
5561     (8) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
5562  office shall, in consultation with the Utah Hotel and Lodging Association and the county
5563  in which the qualified hotel is located, make rules establishing procedures and criteria
5564  governing payments under Subsection (5) to affected hotels.
5565  Section 86. Section 63N-2-512 is amended to read:
5566  63N-2-512 (Effective 07/01/26) (Repealed 07/01/28). Hotel Impact Mitigation
5567     Fund.
5568     (1) As used in this section:
5569  (a) "Affected hotel" means a hotel built in the state before July 1, 2014.
                                                       - 164 -
       Enrolled Copy  H.B. 475
5570        (b) "City-wide event" means an event hosted at a convention facility pursuant to a
5571  contract by a nonprofit corporation responsible for the promotion of convention
5572  business.
5573        (c) "Mitigation fund" means the Hotel Impact Mitigation Fund, created in Subsection (2).
5574        (d) "Qualified losses" means revenue lost by an affected hotel for city-wide events
5575  attributable to the qualified hotel room supply being added to the market in the state,
5576  calculated by taking the difference between:
5577  (i) an affected hotel's average total annual room-night revenue for city-wide events
5578  for the three-year period between January 1, 2017, and December 31, 2019; and
5579  (ii) the affected hotel's total annual room-night revenue for city-wide events for the
5580  applicable year.
5581    (2) There is created an expendable special revenue fund known as the Hotel Impact
5582        Mitigation Fund.
5583    (3) The mitigation fund shall:
5584        (a) be administered by [GOEO] GOED;
5585        (b) earn interest; and
5586        (c) be funded by:
5587  (i) money required to be deposited into the mitigation fund under Subsection
5588  17-78-707(2) by the county in which a qualified hotel is located; and
5589  (ii) any money deposited into the mitigation fund under Subsection (7).
5590    (4) Interest earned by the mitigation fund shall be deposited into the mitigation fund.
5591    (5) In accordance with office rules and Subsection (6), [GOEO] GOED shall annually pay
5592        $2,100,000 from the mitigation fund to affected hotels to mitigate qualified losses as
5593        follows:
5594        (a) for calendar years 2023 and 2024, on or before June 1, 2025;
5595        (b) for calendar year 2025, on or before February 28, 2026; and
5596        (c) for calendar year 2026, on or before February 28, 2026.
5597    (6) Each calendar year, [GOEO] GOED shall award the available $2,100,000 to affected
5598        hotels proportionally, according to each affected hotel's qualified losses in relation to the
5599        total qualified losses suffered collectively by all affected hotels.
5600    (7) A host local government or qualified hotel owner may make payments to the Division
5601        of Finance for deposit into the mitigation fund.
5602    (8) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
5603        office shall, in consultation with the Utah Hotel and Lodging Association and the county
                                                      - 165 -
       H.B. 475  Enrolled Copy
5604  in which the qualified hotel is located, make rules establishing procedures and criteria
5605  governing payments under Subsection (5) to affected hotels.
5606  Section 87. Section 63N-2-808 is amended to read:
5607  63N-2-808 (Effective 05/06/26). Agreements between office and tax credit
5608     applicant and life science establishment -- Tax credit certificate.
5609     (1)(a) The office, with advice from the [GOEO] GOED board, may enter into an
5610  agreement to grant a tax credit certificate to a tax credit applicant selected in
5611  accordance with this part, if the tax credit applicant meets the conditions established
5612  in the agreement and under this part.
5613  (b) The agreement described in Subsection (1)(a) shall:
5614  (i) detail the requirements that the tax credit applicant shall meet prior to receiving a
5615  tax credit certificate;
5616  (ii) require the tax credit certificate recipient to retain records supporting a claim for a
5617  tax credit for at least four years after the tax credit certificate recipient claims a tax
5618  credit under this part; and
5619  (iii) require the tax credit certificate recipient to submit to audits for verification of
5620  the tax credit claimed, including audits by the office and by the State Tax
5621  Commission.
5622     (2)(a) The office, with advice from the [GOEO] GOED board, shall enter into an
5623  agreement with the life science establishment in which the tax credit applicant
5624  invested for purposes of claiming a tax credit.
5625  (b) The agreement described in Subsection (2)(a):
5626  (i) shall provide the office with a document that expressly and directly authorizes the
5627  State Tax Commission to disclose to the office the life science establishment's tax
5628  returns and other information that would otherwise be subject to confidentiality
5629  under Section 59-1-403 or Section 6103, Internal Revenue Code;
5630  (ii) shall authorize the Department of Workforce Services to disclose to the office the
5631  employment data that the life science establishment submits to the Department of
5632  Workforce Services;
5633  (iii) shall require the life science establishment to provide the office with the life
5634  science establishment's current capitalization tables; and
5635  (iv) may require the life science establishment to provide the office with other data
5636  that:
5637  (A) ensure compliance with the requirements of this chapter; and
                                                        - 166 -
       Enrolled Copy  H.B. 475
5638  (B) demonstrate the economic impact of the tax credit applicant's investment in
5639  the life science establishment.
5640  Section 88. Section 63N-3-112 is amended to read:
5641  63N-3-112 (Effective 05/06/26). Talent development grants.
5642    (1) A for-profit business that is creating new incremental high paying jobs in the state, may
5643        apply to receive a talent development grant from the restricted account.
5644    (2) In accordance with the provisions of this section and in consultation with the [GOEO]
5645        GOED board, the administrator may award up to $10,000 per new job created.
5646    (3) The administrator shall designate an application process for a business to apply for the
5647        grant.
5648    (4) A business may apply to receive a grant only after each employee has been employed at
5649        qualifying wage levels for at least 12 consecutive months.
5650    (5) The office shall deduct money granted for a talent development grant under this section
5651        from any other money or incentive awarded by the office to the business.
5652    (6) Grants awarded under this section are only to reimburse a business for the costs incurred
5653        to recruit, hire, train, and otherwise employ an employee in a newly created job.
5654    (7) As part of the application process, a business shall submit a hiring and training plan
5655        detailing how the grant money will be used.
5656    (8) The administrator may grant an award only up to an amount that is no more than 25% of
5657        the estimated costs to be incurred by the business for the costs in the hiring and training
5658        plan.
5659  Section 89. Section 63N-3-603 is amended to read:
5660  63N-3-603 (Effective 05/06/26). Applicability, requirements, and limitations on a
5661    housing and transit reinvestment zone.
5662    (1) A housing and transit reinvestment zone proposal created under this part shall
5663        demonstrate how the proposal addresses the following objectives:
5664        (a) higher utilization of public transit;
5665        (b) increasing availability of housing, including affordable housing, and fulfillment of
5666  moderate income housing plans;
5667        (c) promoting and encouraging development of owner-occupied housing;
5668        (d) improving efficiencies in parking and transportation, including walkability of
5669  communities near public transit facilities;
5670        (e) overcoming development impediments and market conditions that render a
5671  development cost prohibitive absent the proposal and incentives;
                                                        - 167 -
       H.B. 475  Enrolled Copy
5672  (f) conserving water resources through efficient land use;
5673  (g) improving air quality by reducing fuel consumption and motor vehicle trips;
5674  (h) encouraging transformative mixed-use development and investment in transportation
5675  and public transit infrastructure in strategic areas;
5676  (i) strategic land use and municipal planning in major transit investment corridors as
5677  described in Subsection 10-20-404(2);
5678  (j) increasing access to employment and educational opportunities; and
5679  (k) increasing access to child care.
5680     (2)(a) In order to accomplish the objectives described in Subsection (1), a municipality
5681  or public transit county that initiates the process to create a housing and transit
5682  reinvestment zone as described in this part shall ensure that the proposal for a
5683  housing and transit reinvestment zone includes:
5684  (i) except as provided in Subsection (3), at least 12% of the proposed dwelling units
5685  within the housing and transit reinvestment zone are affordable housing units,
5686  with:
5687  (A) up to 9% of the proposed dwelling units occupied or reserved for occupancy
5688  by households with a gross household income equal to or less than 80% of the
5689  county median gross income for households of the same size; and
5690  (B) at least 3% of the proposed dwelling units occupied or reserved for occupancy
5691  by households with a gross household income equal to or less than 60% of the
5692  county median gross income for households of the same size;
5693  (ii) except as provided in Subsection (2)(c), a housing and transit reinvestment zone
5694  shall include:
5695  (A) at least 51% of the developable area within a housing and transit reinvestment
5696  zone as residential uses; and
5697  (B) an average of at least 50 dwelling units per acre within the acreage of the
5698  housing and transit reinvestment zone dedicated to residential uses;
5699  (iii) mixed-use development; and
5700  (iv) a mix of dwelling units to ensure that at least 25% of the dwelling units have
5701  more than one bedroom.
5702  (b)(i) If a housing and transit reinvestment zone is phased, a municipality or public
5703  transit county shall ensure that a housing and transit reinvestment zone is phased
5704  and developed to provide the required 12% of affordable housing units in each
5705  phase of development.
                                                        - 168 -
       Enrolled Copy  H.B. 475
5706  (ii) A municipality or public transit county may allow a housing and transit
5707  reinvestment zone to be phased and developed in a manner to provide more of the
5708  required affordable housing units in early phases of development.
5709  (iii) A municipality or public transit county shall include in a housing and transit
5710  reinvestment zone proposal an affordable housing plan, which may include deed
5711  restrictions, to ensure the affordable housing required in the proposal will continue
5712  to meet the definition of affordable housing at least throughout the entire term of
5713  the housing and transit reinvestment zone.
5714        (c) For a housing and transit reinvestment zone proposed by a public transit county at a
5715  public transit hub, or for a housing and transit reinvestment zone proposed by a
5716  municipality at a bus rapid transit station, the housing and transit reinvestment zone
5717  shall include:
5718  (i) at least 51% of the developable area within a housing and transit reinvestment
5719  zone as residential uses; and
5720  (ii) an average of at least 39 dwelling units per acre within the acreage of the housing
5721  and transit reinvestment zone dedicated to residential uses.
5722    (3) A municipality or public transit county that, at the time the housing and transit
5723        reinvestment zone proposal is approved by the housing and transit reinvestment zone
5724        committee, meets the affordable housing guidelines of the United States Department of
5725        Housing and Urban Development at 60% area median income is exempt from the
5726        requirement described in Subsection (2)(a).
5727    (4)(a) A municipality may only propose a housing and transit reinvestment zone at a
5728        commuter rail station, and a public transit county may only propose a housing and
5729        transit reinvestment zone at a public transit hub, that:
5730  (i) subject to Subsection (5)(a):
5731  (A)(I) except as provided in Subsection (4)(a)(i)(A)(II), for a municipality,
5732  does not exceed a 1/3 mile radius of a commuter rail station;
5733  (II) for a municipality that is a city of the first or second class that is within a
5734  county of the first or second class, with an opportunity zone created in
5735  accordance with Section 1400Z-1, Internal Revenue Code, does not exceed
5736  a 1/2 mile radius of a commuter rail station located within the opportunity
5737  zone; or
5738  (III) for a public transit county, does not exceed a 1/3 mile radius of a public
5739  transit hub; and
                                                      - 169 -
       H.B. 475  Enrolled Copy
5740  (B) has a total area of no more than 125 noncontiguous acres;
5741  (ii) subject to Section 63N-3-607, proposes the capture of a maximum of 80% of each
5742  taxing entity's property tax increment above the base year for a term of no more
5743  than 25 consecutive years on each parcel within a 45-year period not to exceed the
5744  property tax increment amount approved in the housing and transit reinvestment
5745  zone proposal; and
5746  (iii) the commencement of collection of property tax increment, for all or a portion of
5747  the housing and transit reinvestment zone project area, shall be triggered by
5748  providing notice as described in Subsection (6), but a housing and transit
5749  reinvestment zone proposal may not propose or include triggering more than three
5750  property tax increment collection periods for the same project during the
5751  applicable 45-year period.
5752        (b) A municipality or public transit county may only propose a housing and transit
5753  reinvestment zone at a light rail station or bus rapid transit station that:
5754  (i) subject to Subsection (5):
5755  (A) does not exceed:
5756  (I) except as provided in Subsection (4)(b)(i)(A)(II), (III), or (4)(e), a 1/4 mile
5757  radius of a bus rapid transit station or light rail station;
5758  (II) for a municipality that is a city of the first class with a population greater
5759  than 150,000 that is within a county of the first class, a 1/2 mile radius of a
5760  light rail station located in an opportunity zone created in accordance with
5761  Section 1400Z-1, Internal Revenue Code; or
5762  (III) a 1/2 mile radius of a light rail station located within a master-planned
5763  development of 500 acres or more; and
5764  (B) has a total area of no more than 100 noncontiguous acres;
5765  (ii) subject to Subsection (4)(c) and Section 63N-3-607, proposes the capture of a
5766  maximum of 80% of each taxing entity's property tax increment above the base
5767  year for a term of no more than 15 consecutive years on each parcel within a
5768  30-year period not to exceed the property tax increment amount approved in the
5769  housing and transit reinvestment zone proposal; and
5770  (iii) the commencement of collection of property tax increment, for all or a portion of
5771  the housing and transit reinvestment zone project area, shall be triggered by
5772  providing notice as described in Subsection (6), but a housing and transit
5773  reinvestment zone proposal may not propose or include triggering more than three
                                                        - 170 -
       Enrolled Copy  H.B. 475
5774  property tax increment collection periods for the same project during the
5775  applicable 30-year period.
5776        (c) For a housing and transit reinvestment zone proposed by a public transit county at a
5777  public transit hub, or for a housing and transit reinvestment zone proposed by a
5778  municipality at a bus rapid transit station, if the proposed housing density within the
5779  housing and transit reinvestment zone is between 39 and 49 dwelling units per acre,
5780  the maximum capture of each taxing entity's property tax increment above the base
5781  year is 60%.
5782        (d) A municipality that is a city of the first class with a population greater than 150,000
5783  in a county of the first class as described in Subsections (4)(a)(i)(A)(II) and
5784  (4)(b)(i)(A)(II) may only propose one housing and transit reinvestment zone within
5785  an opportunity zone.
5786        (e)(i) Subject to Subsection (4)(e)(ii), the radius restrictions described in Subsection
5787  (4)(b)(i) do not apply, and a housing and transit reinvestment zone may extend to
5788  an area between two light rail stations located within a city of the third class if the
5789  two light rail stations are within a .95 mile distance on the same light rail line.
5790  (ii) If a housing and transit reinvestment zone is extended to accommodate two light
5791  rail stations as described in Subsection (4)(e)(i):
5792  (A) the housing and transit reinvestment zone is limited to a total area not to
5793  exceed 100 noncontiguous acres; and
5794  (B) the housing and transit reinvestment zone may not exceed a 1/4 mile radius
5795  from the light rail stations or any point on the light rail line between the two
5796  stations.
5797        (f) If a parcel within the housing and transit reinvestment zone is included as an area that
5798  is part of a project area, as that term is defined in Section 17C-1-102, and created
5799  under Title 17C, Chapter 1, Agency Operations, that parcel may not be triggered for
5800  collection unless the project area funds collection period, as that term is defined in
5801  Section 17C-1-102, has expired.
5802    (5)(a) For a housing and transit reinvestment zone for a commuter rail station, if a parcel
5803        is intersected by the relevant radius limitation, the full parcel may be included as part
5804        of the housing and transit reinvestment zone area and will not count against the
5805        limitations described in Subsection (4)(a)(i).
5806        (b) For a housing and transit reinvestment zone for a light rail or bus rapid transit
5807  station, if a parcel is intersected by the relevant radius limitation, the full parcel may
                                                      - 171 -
       H.B. 475  Enrolled Copy
5808  be included as part of the housing and transit reinvestment zone area and will not
5809  count against the limitations described in Subsection (4)(b)(i).
5810  (c) A housing and transit reinvestment zone may not be smaller than 10 acres.
5811     (6)(a) The notice of commencement of collection of property tax increment required in
5812  Subsection (4)(a)(iii) or (4)(b)(iii) shall be sent by mail or electronically to the
5813  following entities no later than December 31 of the year before the year for which the
5814  property tax increment collection is proposed to commence:
5815  (i) the State Tax Commission;
5816  (ii) the State Board of Education;
5817  (iii) the state auditor;
5818  (iv) the auditor of the county in which the housing and transit reinvestment zone is
5819  located;
5820  (v) each taxing entity affected by the collection of property tax increment from the
5821  housing and transit reinvestment zone; and
5822  (vi) the Governor's Office of Economic [Opportunity] Development.
5823  (b) The notice described in Subsection (4)(a)(iii) or (4)(b)(iii) may not be triggered until
5824  the date on which the housing and transit reinvestment zone proposal is approved by
5825  the housing and transit reinvestment zone committee.
5826     (7)(a) The maximum number of housing and transit reinvestment zones at light rail
5827  stations, not including a convention center reinvestment zone, is eight in any given
5828  county.
5829  (b) Within a county of the first class, the maximum number of housing and transit
5830  reinvestment zones at bus rapid transit stations is three.
5831  (c) Within a county of the first class, the maximum total combined number of housing
5832  and transit reinvestment zones described in Subsections (7)(a) and (b) and first home
5833  investment zones created under Part 16, First Home Investment Zone Act, is 11.
5834     (8)(a) For purposes of this Subsection (8), "entitlement agreement" means:
5835  (i) a land use application;
5836  (ii) a rezone petition; or
5837  (iii) a request, petition, or application to:
5838  (A) enact or approve a development agreement; or
5839  (B) to amend or modify a development agreement.
5840  (b) This Subsection (8) applies to a specified county, as defined in Section 17-80-101,
5841  that has created a small public transit district on or before January 1, 2022.
                                                         - 172 -
       Enrolled Copy  H.B. 475
5842        (c) To accomplish the objectives described in Subsection (1), an owner of undeveloped
5843  property within an unincorporated county shall have the right to develop and build a
5844  mixed-use development if:
5845  (i) the owner has submitted an entitlement agreement to the county on or before
5846  December 31, 2022, and is within a 1/3 mile radius of a public transit hub in a
5847  county described in Subsection (8)(b), including parcels that are intersected by the
5848  1/3 mile radius; and
5849  (ii) the county described in Subsection (8)(b) has failed to approve the entitlement
5850  agreement described in Subsection (8)(c)(i) by ordinance before December 31,
5851  2022.
5852        (d) The mixed use development described in Subsection (8)(c) shall include the
5853  following:
5854  (i)(A)(I) a maximum number of dwelling units equal to 30 multiplied by the
5855  total acres of developable area within the mixed-use development dedicated
5856  exclusively to residential use; or
5857  (II) a maximum number of dwelling units equal to 15 multiplied by the total
5858  acres of the mixed-use development; and
5859  (B) at least 33% of the dwelling units as affordable housing;
5860  (ii) commercial uses, including office, retail, educational, and healthcare in support of
5861  the mixed-use development constituting no more than 1/3 of the total planned
5862  gross building square footage of the subject parcels; and
5863  (iii) any other infrastructure element necessary or reasonable to support the
5864  mixed-use development, including:
5865  (A) parking infrastructure;
5866  (B) streets;
5867  (C) sidewalks;
5868  (D) parks; and
5869  (E) trails.
5870        (e)(i) The mixed-use development described in this Subsection (8) may qualify for a
5871  housing and transit reinvestment zone described in Subsection (4)(a).
5872  (ii) The county described in Subsection (8)(b) may propose a housing and transit
5873  reinvestment zone in accordance with this part, if the housing and transit
5874  reinvestment zone includes:
5875  (A)(I) an average of at least 30 dwelling units per acre within the acreage of the
                                                     - 173 -
       H.B. 475  Enrolled Copy
5876  housing and transit reinvestment zone dedicated to residential use; or
5877  (II) a minimum number of 14 dwelling units per acre on average within the
5878  acreage of the housing and transit reinvestment zone; and
5879  (B) at least 33% of the dwelling units as affordable housing units.
5880  (f) A county may not take an action or enforce an agreement, ordinance, regulation, or
5881  requirement that prevents or creates development impediments to the development of
5882  a mixed-use development as described in this Subsection (8).
5883  (g) A county action to approve or implement the development of a mixed-use
5884  development as described in this Subsection (8) shall constitute an administrative
5885  action taken by the county and does not require county legislative action.
5886  Section 90. Section 63N-3-603.1 is amended to read:
5887  63N-3-603.1 (Effective 05/06/26). Applicability, requirements, and limitations on
5888     a convention center reinvestment zone.
5889     (1) A convention center reinvestment zone proposal created under this part shall
5890  demonstrate how the proposal addresses the following objectives:
5891  (a) redevelopment of a convention center and the surrounding area's infrastructure and
5892  assets;
5893  (b) activation of unrealized economic opportunities related to the convention center and
5894  surrounding infrastructure and assets;
5895  (c) modernization of infrastructure and design of the convention center and surrounding
5896  area and related public spaces;
5897  (d) encouragement of transformative development and investment, including parking
5898  improvements;
5899  (e) promotion of economic development and employment opportunities;
5900  (f) improvement of the aesthetic, functionality, and walkability of the [ ]convention
5901  center and surrounding area;
5902  (g) enhancement of tourism opportunities; and
5903  (h) creation of outdoor event space to accommodate events or festivals open to the
5904  public.
5905     (2) A convention center reinvestment zone in a capital city proposal created under this part
5906  shall also demonstrate how the proposal addresses the following objectives:
5907  (a) redevelopment of a convention center and surrounding infrastructure and assets that
5908  directly serve the convention center, including parking facilities;
5909  (b) modernization of infrastructure and design of the convention center; and
                                                       - 174 -
       Enrolled Copy  H.B. 475
5910        (c) improvement of the aesthetic, functionality, and walkability of the convention center.
5911    (3) The Governor's Office of Economic [Opportunity] Development shall propose a
5912        convention center reinvestment zone to accomplish the objectives described in
5913        Subsections (1) and (2).
5914    (4)(a)(i) A convention center reinvestment zone proposal may propose the capture of
5915        100% of the property tax increment and 100% of the sales and use tax increment
5916        described in Subsection 63N-3-602(38)(b)(ii) for a period of 30 years.
5917  (ii) For a convention center reinvestment zone in a capital city, in addition to the
5918  proposed capture of property tax increment and sales and use tax increment
5919  described in Subsection (4)(a)(i), the convention center reinvestment zone may
5920  propose the capture of 50% of the sales and use tax increment described in
5921  Subsection 63N-3-602(38)(b)(i).
5922        (b) The convention center reinvestment zone proposal shall include the respective start
5923  date and base year date from which to calculate:
5924  (i) the 30-year period of property tax increment; and
5925  (ii) the 30-year period of the sales and use tax increment.
5926        (c) The convention center reinvestment zone proposal may not stagger the collection
5927  periods for the parcels within the convention center reinvestment zone boundary and
5928  the parcels within the convention center reinvestment zone boundary shall have the
5929  same 30-year collection period.
5930        (d) The convention center reinvestment zone proposal start date for the 30-year period
5931  described in this Subsection (4), shall be no sooner than January 1 of the year of the
5932  identified tax collection year.
5933        (e)(i) For a convention center reinvestment zone in a capital city, revenue from the
5934  property tax increment and sales and use tax increment shall be distributed
5935  directly to a convention center public infrastructure district in a capital city created
5936  as required in Subsection 63N-3-607(8)(b); and
5937  (ii) For a convention center reinvestment zone in a city other than a capital city,
5938  revenue from the property tax increment and sales and use tax increment may be
5939  distributed directly to the municipality or public infrastructure district as described
5940  in the convention center reinvestment zone proposal.
5941    (5) The Governor's Office of Economic [Opportunity] Development may only propose a
5942        convention center reinvestment zone:
5943        (a) within the boundary of the eligible municipality;
                                                      - 175 -
       H.B. 475  Enrolled Copy
5944  (b) consisting of a total area:
5945  (i) not to exceed 50 acres; or
5946  (ii) if greater than 50 acres, approved by the relevant eligible municipality;
5947  (c) consisting only of contiguous parcels; and
5948  (d) for a convention center reinvestment zone in a capital city, in an area that includes
5949  any portion of an existing convention center and any city block that is bordered by an
5950  existing convention center.
5951     (6)(a) For a convention center reinvestment zone in a capital city, the Governor's Office
5952  of Economic [Opportunity] Development shall propose a convention center
5953  reinvestment zone on or before April 15, 2025.
5954  (b) For a convention center reinvestment zone that is not in a capital city, the Governor's
5955  Office of Economic [Opportunity] Development shall propose a convention center
5956  reinvestment zone within 60 days after receiving a petition from the relevant city.
5957     (7) A convention center reinvestment zone does not count toward the maximum of eight
5958  housing and transit reinvestment zones in a given county as provided in Subsection
5959  63N-3-603(7)(a).
5960  Section 91. Section 63N-3-604 is amended to read:
5961  63N-3-604 (Effective 05/06/26). Process for a proposal of a housing and transit
5962     reinvestment zone -- Analysis.
5963     (1) Subject to approval of the housing and transit reinvestment zone committee as described
5964  in Section 63N-3-605, in order to create a housing and transit reinvestment zone, a
5965  municipality or public transit county that has general land use authority over the housing
5966  and transit reinvestment zone area, shall:
5967  (a) prepare a proposal for the housing and transit reinvestment zone that:
5968  (i) demonstrates that the proposed housing and transit reinvestment zone will meet
5969  the objectives described in Subsection 63N-3-603(1);
5970  (ii) explains how the municipality or public transit county will achieve the
5971  requirements of Subsection 63N-3-603(2)(a)(i);
5972  (iii) defines the specific transportation infrastructure needs, if any, and proposed
5973  improvements and estimated budgets;
5974  (iv) defines the boundaries of:
5975  (A) the housing and transit reinvestment zone; and
5976  (B) the sales and use tax boundary corresponding to the housing and transit
5977  reinvestment zone boundary, as described in Section 63N-3-610;
                                                       - 176 -
       Enrolled Copy  H.B. 475
5978  (v) includes maps of the proposed housing and transit reinvestment zone to illustrate:
5979  (A) the proposed boundary and radius from a public transit hub;
5980  (B) proposed housing density within the housing and transit reinvestment zone;
5981  and
5982  (C) existing zoning and proposed zoning changes related to the housing and transit
5983  reinvestment zone;
5984  (vi) identifies any development impediments that prevent the development from
5985  being a market-rate investment, including proposed strategies and estimated
5986  budgets for addressing each one;
5987  (vii) describes the proposed development plan and estimated budgets, including the
5988  requirements described in Subsections 63N-3-603(2) and (4);
5989  (viii) establishes a base year and collection period to calculate the property tax
5990  increment within the housing and transit reinvestment zone;
5991  (ix) establishes a sales and use tax base year to calculate the sales and use tax
5992  increment within the housing and transit reinvestment zone in accordance with
5993  Section 63N-3-610;
5994  (x) describes projected maximum revenues generated and the amount of property tax
5995  increment capture from each taxing entity and proposed expenditures of revenue
5996  derived from the housing and transit reinvestment zone;
5997  (xi) includes an analysis of other applicable or eligible incentives, grants, or sources
5998  of revenue that can be used to reduce the finance gap;
5999  (xii) estimates budgets and evaluates possible benefits to active and public
6000  transportation availability and impacts on air quality;
6001  (xiii) proposes a finance schedule to align expected revenue with required financing
6002  costs and payments;
6003  (xiv) provides a pro-forma for the planned development that:
6004  (A) satisfies the requirements described in Subsections 63N-3-603(2), (3), and (4);
6005  (B) includes data showing the cost difference between what type of development
6006  could feasibly be developed absent the housing and transit reinvestment zone
6007  property tax increment and the type of development that is proposed to be
6008  developed with the housing and transit reinvestment zone property tax
6009  increment; and
6010  (C) provides estimated budgets and construction costs, anticipated revenue,
6011  financing, expenses, and other sources and uses of funds for the project area;
                                                    - 177 -
       H.B. 475  Enrolled Copy
6012  and
6013  (xv) for a housing and transit reinvestment zone at a commuter rail station, light rail
6014  station, or bus rapid transit station that is proposed and not in public transit service
6015  operation as of the date of submission of the proposal, demonstrates that the
6016  proposed station is:
6017  (A) included as needed in phase one of a metropolitan planning organization's
6018  adopted long-range transportation plan and in phase one of the relevant public
6019  transit district's adopted long-range plan; and
6020  (B) reasonably anticipated to be constructed in the near future; and
6021  (b) submit the housing and transit reinvestment zone proposal to the Governor's Office
6022  of Economic [Opportunity] Development.
6023     (2) As part of the proposal described in Subsection (1), a municipality or public transit
6024  county shall study and evaluate possible impacts of a proposed housing and transit
6025  reinvestment zone on parking within the city and housing and transit reinvestment zone.
6026     (3)(a) After receiving the proposal as described in Subsection (1)(b), the Governor's
6027  Office of Economic [Opportunity] Development shall:
6028  (i) within 14 days after the date on which the Governor's Office of Economic [
6029  Opportunity] Development receives the proposal described in Subsection (1)(b),
6030  provide notice of the proposal to all affected taxing entities, including the State
6031  Tax Commission, cities, counties, school districts, metropolitan planning
6032  organizations, and the county assessor and county auditor of the county in which
6033  the housing and transit reinvestment zone is located; and
6034  (ii) at the expense of the proposing municipality or public transit county as described
6035  in Subsection (5), contract with an independent entity to perform the financial gap
6036  analysis described in Subsection (3)(b).
6037  (b) The gap analysis required in Subsection (3)(a)(ii) shall include:
6038  (i) a description of the planned development;
6039  (ii) a market analysis relative to other comparable project developments included in
6040  or adjacent to the municipality or public transit county absent the proposed
6041  housing and transit reinvestment zone;
6042  (iii) an evaluation of the proposal to and a determination of the adequacy and
6043  efficiency of the proposal;
6044  (iv) an evaluation of the proposed increment capture needed to cover the enhanced
6045  development costs associated with the housing and transit reinvestment zone
                                                       - 178 -
       Enrolled Copy  H.B. 475
6046  proposal and enable the proposed development to occur; and
6047  (v) based on the market analysis and other findings, an opinion relative to the
6048  appropriate amount of potential public financing reasonably determined to be
6049  necessary to achieve the objectives described in Subsection 63N-3-603(1).
6050        (c) After receiving notice from the Governor's Office of Economic [Opportunity]
6051  Development of a proposed housing and transit reinvestment zone as described in
6052  Subsection (3)(a)(i), the State Tax Commission shall:
6053  (i) evaluate the feasibility of administering the tax implications of the proposal; and
6054  (ii) provide a letter to the Governor's Office of Economic [Opportunity] Development
6055  describing any challenges in the administration of the proposal, or indicating that
6056  the State Tax Commission can feasibly administer the proposal.
6057    (4) After receiving the results from the analysis described in Subsection (3)(b), the
6058        municipality or public transit county proposing the housing and transit reinvestment
6059        zone may:
6060        (a) amend the housing and transit reinvestment zone proposal based on the findings of
6061  the analysis described in Subsection (3)(b) and request that the Governor's Office of
6062  Economic [Opportunity] Development submit the amended housing and transit
6063  reinvestment zone proposal to the housing and transit reinvestment zone committee;
6064  or
6065        (b) request that the Governor's Office of Economic [Opportunity] Development submit
6066  the original housing and transit reinvestment zone proposal to the housing and transit
6067  reinvestment zone committee.
6068    (5)(a) The Governor's Office of Economic [Opportunity] Development may accept, as a
6069        dedicated credit, up to $20,000 from a municipality or public transit county for the
6070        costs of the gap analysis described in Subsection (3)(b).
6071        (b) The Governor's Office of Economic [Opportunity] Development may expend funds
6072  received from a municipality or public transit county as dedicated credits to pay for
6073  the costs associated with the gap analysis described in Subsection (3)(b).
6074  Section 92. Section 63N-3-604.1 is amended to read:
6075  63N-3-604.1 (Effective 05/06/26). Process for proposing a convention center
6076    reinvestment zone.
6077    (1) To create a convention center reinvestment zone under this part, the Governor's Office
6078        of Economic [Opportunity] Development shall, after consulting with and giving notice to
6079        the related eligible municipality and county, provide a proposal for a convention center
                                                     - 179 -
       H.B. 475  Enrolled Copy
6080  reinvestment zone to the housing and transit reinvestment zone committee.
6081     (2)(a) The Governor's Office of Economic [Opportunity] Development shall ensure that a
6082  proposal for the creation of a convention center reinvestment zone includes the
6083  following information and data that:
6084  (i) defines the boundary of the proposed convention center reinvestment zone;
6085  (ii) describes generally the proposed development plan;
6086  (iii) identifies a base year and collection period to calculate the property tax
6087  increment within the convention center reinvestment zone;
6088  (iv) specifies a sales and use tax base year to calculate the sales and use tax increment
6089  within the convention center reinvestment zone in accordance with Section
6090  63N-3-610.1;
6091  (v) provides estimated project and investment objectives for the convention center
6092  reinvestment zone; and
6093  (vi) outlines generally the impacts on transportation in and around the proposed
6094  convention center reinvestment zone.
6095  (b) For a convention center reinvestment zone in a capital city, the proposal described in
6096  Subsection (2)(a) shall also provide estimated budgets and construction costs,
6097  anticipated revenue, financing, expenses, and other sources and uses of funds for the
6098  project area.
6099  (c) The proposal described in Subsection (2)(b) shall limit the use of funds to:
6100  (i) a convention center;
6101  (ii) a publicly owned entertainment venue;
6102  (iii) parking; and
6103  (iv) infrastructure related to the project.
6104     (3) A proposal by the Governor's Office of Economic [Opportunity] Development for a
6105  convention center reinvestment zone shall demonstrate how the information and data
6106  provided in the proposal pursuant to Subsection (2) furthers the objectives described in
6107  Section 63N-3-603.1 and is in the public interest.
6108     (4) After submitting the proposal as described in Subsection (2), the Governor's Office of
6109  Economic [Opportunity] Development shall provide notice of the proposal to all affected
6110  taxing entities, including the State Tax Commission, cities, counties, school districts,
6111  metropolitan planning organizations, and the county assessor and county auditor of the
6112  county in which the convention center reinvestment zone is located.
6113     (5) After receiving notice from the Governor's Office of Economic [Opportunity]
                                                        - 180 -
       Enrolled Copy  H.B. 475
6114        Development of a proposed convention center reinvestment zone as described in
6115        Subsection (4), the State Tax Commission shall, within 14 days:
6116        (a) evaluate the feasibility of administering the tax implications of the proposal; and
6117        (b) provide a letter to the Governor's Office of Economic [Opportunity] Development
6118  describing any challenges in the administration of the proposal, or indicating that the
6119  State Tax Commission can feasibly administer the proposal.
6120  Section 93. Section 63N-3-605 is amended to read:
6121  63N-3-605 (Effective 05/06/26). Housing and transit reinvestment zone
6122    committee -- Creation.
6123    (1) For any housing and transit reinvestment zone proposed under this part, or for a first
6124        home investment zone proposed in accordance with Part 16, First Home Investment
6125        Zone Act, there is created a housing and transit reinvestment zone committee with
6126        membership described in Subsection (2).
6127    (2) Each housing and transit reinvestment zone committee shall consist of the following
6128        members:
6129        (a) one representative from the Governor's Office of Economic [Opportunity]
6130  Development, designated by the executive director of the Governor's Office of
6131  Economic [Opportunity] Development;
6132        (b) one representative from each municipality that is a party to the proposed housing and
6133  transit reinvestment zone or first home investment zone, designated by the chief
6134  executive officer of each respective municipality;
6135        (c) a member of the Transportation Commission created in Section 72-1-301;
6136        (d) a member of the board of trustees of a large public transit district;
6137        (e) one individual from the Office of the State Treasurer, designated by the state
6138  treasurer;
6139        (f) two members designated by the president of the Senate;
6140        (g) two members designated by the speaker of the House of Representatives;
6141        (h) one member designated by the chief executive officer of each county affected by the
6142  housing and transit reinvestment zone or first home investment zone;
6143        (i) two representatives designated by the school superintendent from the school district
6144  affected by the housing and transit reinvestment zone or first home investment zone;
6145  and
6146        (j) one representative, representing the largest participating local taxing entity, after the
6147  municipality, county, and school district.
                                                      - 181 -
       H.B. 475  Enrolled Copy
6148     (3) The individual designated by the Governor's Office of Economic [Opportunity]
6149  Development as described in Subsection (2)(a) shall serve as chair of the housing and
6150  transit reinvestment zone committee.
6151     (4)(a) A majority of the members of the housing and transit reinvestment zone
6152  committee constitutes a quorum of the housing and transit reinvestment zone
6153  committee.
6154  (b) An action by a majority of a quorum of the housing and transit reinvestment zone
6155  committee is an action of the housing and transit reinvestment zone committee.
6156     (5)(a) After the Governor's Office of Economic [Opportunity] Development receives the
6157  results of the analysis described in Section 63N-3-604, and after the Governor's
6158  Office of Economic [Opportunity] Development has received a request from the
6159  submitting municipality or public transit county to submit the housing and transit
6160  reinvestment zone proposal to the housing and transit reinvestment zone committee,
6161  the Governor's Office of Economic [Opportunity] Development shall notify each of
6162  the entities described in Subsection (2) of the formation of the housing and transit
6163  reinvestment zone committee.
6164  (b) For a first home investment zone, the housing and transit reinvestment zone
6165  committee shall follow the procedures described in Section 63N-3-1604.
6166     (6)(a) The chair of the housing and transit reinvestment zone committee shall convene a
6167  public meeting to consider the proposed housing and transit reinvestment zone.
6168  (b) A meeting of the housing and transit reinvestment zone committee is subject to Title
6169  52, Chapter 4, Open and Public Meetings Act.
6170     (7)(a) The proposing municipality or public transit county shall present the housing and
6171  transit reinvestment zone proposal to the housing and transit reinvestment zone
6172  committee in a public meeting.
6173  (b) The housing and transit reinvestment zone committee shall, for a housing and transit
6174  reinvestment zone proposal:
6175  (i) evaluate and verify whether the elements of a housing and transit reinvestment
6176  zone described in Subsections 63N-3-603(2) and (4) have been met; and
6177  (ii) evaluate the proposed housing and transit reinvestment zone relative to the
6178  analysis described in Subsection 63N-3-604(2).
6179  (c) The housing and transit reinvestment zone committee shall, for a convention center
6180  reinvestment zone proposal, evaluate and verify whether the objectives of a
6181  convention center reinvestment zone described in Section 63N-3-603.1 have been
                                                      - 182 -
       Enrolled Copy  H.B. 475
6182  met.
6183    (8)(a) Subject to Subsection (8)(b), the housing and transit reinvestment zone committee
6184        may:
6185  (i)(A) for a housing and transit reinvestment zone, request changes to the housing
6186  and transit reinvestment zone proposal based on the analysis, characteristics,
6187  and criteria described in Section 63N-3-604; or
6188  (B) for a convention center reinvestment zone, request changes to the convention
6189  center reinvestment zone proposal based on the characteristics and criteria
6190  described in Sections 63N-3-603.1 and 63N-3-604.1; or
6191  (ii) vote to approve or deny the proposal.
6192        (b) Before the housing and transit reinvestment zone committee may approve the
6193  housing and transit reinvestment zone proposal, the municipality or public transit
6194  county proposing the housing and transit reinvestment zone shall ensure that the area
6195  of the proposed housing and transit reinvestment zone is zoned in such a manner to
6196  accommodate the requirements of a housing and transit reinvestment zone described
6197  in this section and the proposed development.
6198    (9) If a housing and transit reinvestment zone is approved by the committee:
6199        (a) the proposed housing and transit reinvestment zone is established according to the
6200  terms of the housing and transit reinvestment zone proposal;
6201        (b) affected local taxing entities are required to participate according to the terms of the
6202  housing and transit reinvestment zone proposal; and
6203        (c) each affected taxing entity is required to participate at the same rate.
6204    (10) A housing and transit reinvestment zone proposal may be amended by following the
6205        same procedure as approving a housing and transit reinvestment zone proposal.
6206    (11)(a) The approval for a convention center reinvestment zone in a capital city may be
6207        completed with a condition that the relevant municipality also create a public
6208        infrastructure district as provided in Subsection 63N-3-607(8)(b).
6209        (b) The approval described in Subsection (11)(a) shall verify that the requirements and
6210  limitations on use of funds is limited to the conditions described under Subsections
6211  63N-3-604.1(2)(b) and (c).
6212  Section 94. Section 63N-3-606 is amended to read:
6213  63N-3-606 (Effective 05/06/26). Notice requirements.
6214    (1) In approving a housing and transit reinvestment zone or convention center reinvestment
6215        zone proposal, the housing and transit reinvestment zone committee shall follow the
                                                      - 183 -
       H.B. 475  Enrolled Copy
6216  hearing and notice requirements for creating a housing and transit reinvestment zone or
6217  convention center reinvestment zone area proposal.
6218     (2) Within 30 days after the housing and transit reinvestment zone committee approves a
6219  proposed housing and transit reinvestment zone, the municipality or public transit
6220  county, or for a convention center reinvestment zone, the Governor's Office of
6221  Economic [Opportunity] Development, shall:
6222  (a) record with the recorder of the county in which the housing and transit reinvestment
6223  zone or convention center reinvestment zone is located a document containing:
6224  (i) a description of the land within the housing and transit reinvestment zone or
6225  convention center reinvestment zone;
6226  (ii) a statement that the proposed housing and transit reinvestment zone or convention
6227  center reinvestment zone has been approved; and
6228  (iii) the date of adoption;
6229  (b) transmit a copy of the description of the land within the housing and transit
6230  reinvestment zone or convention center reinvestment zone and an accurate map or
6231  plat indicating the boundaries of the housing and transit reinvestment zone or
6232  convention center reinvestment zone to the Utah Geospatial Resource Center created
6233  under Section 63A-16-505; and
6234  (c) transmit a copy of the approved housing and transit reinvestment zone or convention
6235  center reinvestment zone proposal, map, and description of the land within the
6236  housing and transit reinvestment zone or convention center reinvestment zone, to:
6237  (i) the auditor, recorder, attorney, surveyor, and assessor of the county in which any
6238  part of the housing and transit reinvestment zone or convention center
6239  reinvestment zone is located;
6240  (ii) the officer or officers performing the function of auditor or assessor for each
6241  taxing entity that does not use the county assessment roll or collect the taxing
6242  entity's taxes through the county;
6243  (iii) the legislative body or governing board of each taxing entity;
6244  (iv) the State Tax Commission; and
6245  (v) the State Board of Education.
6246  Section 95. Section 63N-3-610.1 is amended to read:
6247  63N-3-610.1 (Effective 05/06/26). Sales and use tax increment in a convention
6248     center reinvestment zone.
6249     (1) A convention center revitalization zone proposal shall, in consultation with the State
                                                       - 184 -
       Enrolled Copy  H.B. 475
6250        Tax Commission:
6251        (a) create a sales and use tax boundary as described in Subsection (2); and
6252        (b) establish a sales and use tax base year to calculate and transfer the sales and use tax
6253  increment within the convention center revitalization zone 90 days after the date of
6254  the notice described in Subsection [(4)] (5).
6255    (2)(a) The Governor's Office of Economic [Opportunity] Development, in consultation
6256        with the State Tax Commission, shall establish a sales and use tax boundary that:
6257  (i) is based on state sales and use tax collection boundaries, which are determined
6258  using the ZIP Code as defined in Section 59-12-102, including the four digit
6259  delivery route extension;
6260  (ii) follows as closely as reasonably practicable the boundary of the convention
6261  center revitalization zone; and
6262  (iii) is one contiguous area that includes at least the entire boundary of the convention
6263  center revitalization zone.
6264        (b) If a state sales and use tax boundary is intersected by the boundary of the convention
6265  center revitalization zone, the convention center revitalization zone may include the
6266  entire state sales and use tax boundary.
6267        (c) The Governor's Office of Economic [Opportunity] Development shall include the
6268  sales and use tax boundary in the convention center revitalization zone proposal as
6269  described in Section 63N-3-603.1.
6270    (3)(a) For a convention center reinvestment zone that is not located in a capital city,
6271        beginning no sooner than January 1, 2026, and on the first day of a calendar quarter
6272        after the year set in the proposal and after the sales and use tax boundary for a
6273        convention center reinvestment zone is established, the State Tax Commission shall,
6274        at least annually, transfer an amount equal to 100% of the local sales and use tax
6275        increment within an established sales and use tax boundary to the relevant
6276        municipality or public infrastructure district.
6277        (b) For a convention center reinvestment zone that is located in a capital city, beginning
6278  no sooner than January 1, 2026, and on the first day of a calendar quarter after the
6279  year set in the proposal and after the sales and use tax boundary for a convention
6280  center reinvestment zone in a capital city is established, the State Tax Commission
6281  shall, at least annually, transfer an amount equal to 50% of the state sales and use tax
6282  increment and 100% of any local sales and use tax increment within an established
6283  sales and use tax boundary to the public infrastructure district created pursuant to
                                                      - 185 -
       H.B. 475  Enrolled Copy
6284  Subsection 63N-3-607(8)(b).
6285     (4) The Governor's Office of Economic [Opportunity] Development may only propose one
6286  sales and use tax increment period and one sales and use tax base year for a convention
6287  center revitalization zone established under this part.
6288     (5)(a) The distribution of the sales and use tax increment shall begin:
6289  (i) on the first day of a calendar quarter;
6290  (ii) after a 90-day waiting period, beginning on the date the State Tax Commission
6291  receives notice from the Governor's Office of Economic [Opportunity]
6292  Development meeting the requirements of Subsection (5)(b); and
6293  (iii) no earlier than January 1, 2026 after the year set in the proposal of the approved
6294  convention center reinvestment zone.
6295  (b) The notice described in Subsection (5)(a) shall include:
6296  (i) a statement that the convention center revitalization zone will be established under
6297  this part;
6298  (ii) the approval date and effective date of the convention center revitalization zone;
6299  and
6300  (iii) the definitions of the sales and use tax boundary and sales and use tax base year.
6301     (6) The State Tax Commission may retain and deposit an administrative charge in
6302  accordance with Section 59-1-306 from sales and use tax revenues the State Tax
6303  Commission collects and administers under this section.
6304  Section 96. Section 63N-3-611 is amended to read:
6305  63N-3-611 (Effective 05/06/26). Boundary adjustments.
6306        If the relevant county assessor or county auditor adjusts parcel boundaries relevant to a
6307     housing and transit reinvestment zone or a convention center reinvestment zone, the
6308     municipality administering the property tax increment collected in the housing and transit
6309     reinvestment zone, or for a convention center reinvestment zone, the Governor's Office of
6310     Economic [Opportunity] Development may make corresponding adjustments to the boundary
6311     of the housing and transit reinvestment zone.
6312  Section 97. Section 63N-3-1101 is amended to read:
6313  63N-3-1101 (Effective 05/06/26) (Repealed 07/01/28). Definitions.
6314        As used in this part:
6315     (1) "Grant" means a grant awarded under Section 63N-3-1102.
6316     (2) "Program" means the Manufacturing Modernization Grant Program created in Section
6317  63N-3-1102.
                                                       - 186 -
       Enrolled Copy  H.B. 475
6318    (3) "Targeted industry" means an industry or group of industries targeted by the [GOEO]
6319        GOED board under Section 63N-3-111 for economic development in the state.
6320  Section 98. Section 63N-3-1102 is amended to read:
6321  63N-3-1102 (Effective 05/06/26) (Repealed 07/01/28). Manufacturing
6322    Modernization Grant Program -- Creation -- Purpose -- Requirements -- Rulemaking --
6323    Report.
6324    (1)(a) There is created the Manufacturing Modernization Grant Program to be
6325        administered by the office.
6326        (b) The purpose of the program is to award grants to existing Utah businesses to
6327  establish, relocate, retain, or develop manufacturing industry in the state and lessen
6328  dependence on manufacturing overseas.
6329    (2)(a) An entity that submits a proposal for a grant to the office shall include details in
6330        the proposal regarding:
6331  (i) the entity's plan to use the grant to fulfill the purpose described in Subsection
6332  (1)(b);
6333  (ii) any plan to use funding sources in addition to a grant for the proposal; and
6334  (iii) any existing or planned partnerships between the entity and another individual or
6335  entity to implement the proposal.
6336        (b) In evaluating a proposal for a grant, the office shall consider:
6337  (i) the likelihood the proposal will accomplish the purpose described in Subsection
6338  (1)(b);
6339  (ii) the extent to which any additional funding sources or existing or planned
6340  partnerships will benefit the proposal; and
6341  (iii) the viability and sustainability of the proposal.
6342        (c) In determining a grant award, the office:
6343  (i) may consult with the [GOEO] GOED board; and
6344  (ii) may prioritize a targeted industry or an entity with fewer than 250 employees.
6345    (3) Before receiving the grant, a grant recipient shall enter into a written agreement with the
6346        office that specifies:
6347        (a) the grant amount;
6348        (b) the time period and structure for distribution of the grant, including any terms and
6349  conditions the recipient is required to meet to receive a distribution; and
6350        (c) the expenses for which the recipient may use the grant, including:
6351  (i) acquisition of manufacturing equipment;
                                                        - 187 -
       H.B. 475  Enrolled Copy
6352  (ii) production, design, or engineering costs;
6353  (iii) specialized employee training;
6354  (iv) technology upgrades; or
6355  (v) provision of a grant to another individual or entity for the expenses described in
6356  Subsections (3)(c)(i) through (iv) or to otherwise fulfill the recipient's proposal.
6357     (4) Subject to Subsection (2), the office may, in accordance with Title 63G, Chapter 3, Utah
6358  Administrative Rulemaking Act, make rules to establish:
6359  (a) the form and process for submitting a proposal to the office for a grant;
6360  (b) the entities that are eligible to apply for a grant;
6361  (c) the method and formula for determining a grant amount; and
6362  (d) the reporting requirements for a grant recipient.
6363     (5) On or before October 1 of each year, the office shall provide a written report to the
6364  Economic Development and Workforce Services Interim Committee regarding:
6365  (a) each grant awarded; and
6366  (b) the economic impact of each grant.
6367  Section 99. Section 63N-3-1602 is amended to read:
6368  63N-3-1602 (Effective 05/06/26). Applicability, requirements, and limitations on
6369     a first home investment zone.
6370     (1) A first home investment zone created in accordance with this part shall promote the
6371  following objectives:
6372  (a) encouraging efficient development and opportunities for home ownership by
6373  providing a variety of housing options, including affordable housing and for sale,
6374  owner-occupied housing;
6375  (b) improving availability of housing options;
6376  (c) overcoming development impediments and market conditions that render a
6377  development cost prohibitive absent the proposal and incentives;
6378  (d) conserving water resources through efficient land use;
6379  (e) improving air quality by reducing fuel consumption and motor vehicle trips;
6380  (f) encouraging transformative mixed-use development;
6381  (g) strategic land use and municipal planning in major transit investment corridors as
6382  described in Subsection 10-20-404(2);
6383  (h) increasing access to employment and educational opportunities;
6384  (i) increasing access to child care; and
6385  (j) improving efficiencies in parking and transportation, including walkability of
                                                         - 188 -
       Enrolled Copy  H.B. 475
6386  communities, street and path interconnectivity within the proposed development and
6387  connections to surrounding communities, and access to roadways, public
6388  transportation, and active transportation.
6389    (2) In order to accomplish the objectives described in Subsection (1), a municipality or
6390        county that initiates the process to create a first home investment zone as described in
6391        this part shall ensure that the proposal for a first home investment zone includes:
6392        (a) subject to Subsection (3), a minimum of 30 housing units per acre:
6393  (i) in at least 51% of the developable area within the first home investment zone; and
6394  (ii) of which 50% must be owner occupied;
6395        (b) a mixed use development;
6396        (c) a requirement that at least 25% of homes within the first home investment zone
6397  remain owner occupied for at least 25 years from the date of original purchase;
6398        (d) for homes inside the first home investment zone, a requirement that at least 12% of
6399  the owner occupied homes and 12% of the homes that are not owner occupied are
6400  affordable housing;
6401        (e) a requirement that at least 20% of the extraterritorial homes are affordable housing;
6402  and
6403        (f) except for extraterritorial homes, the number of homes that result from multiplying
6404  the number of housing units described in Subsection (2)(a) by the developable area
6405  described in Subsection (2)(a)(i) may be intermingled with other mixed uses within
6406  the first home investment zone.
6407    (3)(a) Subject to Subsection (3)(b), to satisfy the requirements described in Subsection
6408        (2)(a), a first home investment zone may include an extraterritorial home to count
6409        toward the required density and owner-occupancy of the first home investment zone
6410        by:
6411  (i) adding the total number of extraterritorial homes related to the first home
6412  investment zone to the total number of homes within the first home investment
6413  zone; and
6414  (ii) dividing the sum described in Subsection (3)(a)(i) by a number equal to 51% of
6415  the total number of developable acres within the first home investment zone.
6416        (b) Extraterritorial homes may account for no more than half of the total homes to
6417  calculate density within a first home investment zone.
6418    (4)(a) If a municipality proposes a first home investment zone, the proposal shall comply
6419        with the limitations described in this Subsection (4).
                                                       - 189 -
       H.B. 475  Enrolled Copy
6420        (b) A first home investment zone may not be less than 10 acres and no more than 100
6421  acres of developable area in size.
6422        (c)(i) Except as provided in Subsection (4)(c)(ii), a first home investment zone is
6423  required to be one contiguous area.
6424  (ii) While considering a first home investment zone proposal as described in Section
6425  63N-3-1605, the housing and transit reinvestment zone committee may consider
6426  and approve a first home investment zone that is not one contiguous area if:
6427  (A) the municipality provides evidence in the proposal showing that the deviation
6428  from the contiguity requirement will enhance the ability of the first home
6429  investment zone to achieve the objectives described in Subsection (1); and
6430  (B) the housing and transit reinvestment zone committee determines that the
6431  deviation is reasonable and circumstances justify deviation from the contiguity
6432  requirement.
6433  (iii) The first home investment zone area contiguity is not affected by roads or other
6434  rights-of-way.
6435        (d)(i) A first home investment zone proposal may propose the capture of a maximum
6436  of 60% of each taxing entity's tax increment above the base year for a term of no
6437  more than 25 consecutive years within a 45-year period not to exceed the tax
6438  increment amount approved in the first home investment zone proposal.
6439  (ii) A first home investment zone proposal may not propose or include triggering
6440  more than three tax increment collection periods during the applicable 25-year
6441  period.
6442  (iii) Subject to Subsection (4)(d)(iv), a municipality shall ensure that the required
6443  affordable housing units are included proportionally in each phase of the first
6444  home investment zone development.
6445  (iv) A municipality may allow a first home investment zone to be phased and
6446  developed in a manner to provide more of the required affordable housing units in
6447  early phases of development.
6448        (e) If a municipality proposes a first home investment zone, commencement of the
6449  collection of tax increment, for all or a portion of the first home investment zone, is
6450  triggered by providing notice as described in Subsection (5).
6451        (f) A municipality may restrict homes within a first home investment zone and related
6452  extraterritorial homes from being used as a short-term rental.
6453        (g) A municipality shall ensure that affordable housing within a first home investment
                                                        - 190 -
       Enrolled Copy  H.B. 475
6454  zone and related extraterritorial homes that are reserved as affordable housing are
6455  spread throughout the overall development.
6456        (h) A municipality shall ensure that at least 80% of extraterritorial homes included in a
6457  first home investment zone proposal are single-family detached homes.
6458        (i) A municipality shall include in a first home investment zone proposal:
6459  (i) an affordable housing plan, which may include deed restrictions, to ensure the
6460  affordable housing required in the proposal will continue to meet the definition of
6461  affordable housing at least throughout the entire term of the first home investment
6462  zone; and
6463  (ii) an owner occupancy plan, which may include deed restrictions, to ensure the
6464  owner occupancy requirements in the proposal will continue to meet the definition
6465  of owner occupancy at least throughout the entire term of the first home
6466  investment zone.
6467        (j) A municipality shall include in the first home investment zone proposal evidence to
6468  demonstrate how the first home investment zone proposal complies with the
6469  municipality's moderate income housing plan and general plan.
6470    (5) Notice of commencement of collection of tax increment shall be sent by mail or
6471        electronically to the following entities no later than January 1 of the year for which the
6472        tax increment collection is proposed to commence:
6473        (a) the State Tax Commission;
6474        (b) the State Board of Education;
6475        (c) the state auditor;
6476        (d) the auditor of the county in which the first home investment zone is located;
6477        (e) each taxing entity affected by the collection of tax increment from the first home
6478  investment zone;
6479        (f) the assessor of the county in which the first home investment zone is located; and
6480        (g) the Governor's Office of Economic [Opportunity] Development.
6481    (6) A first home investment zone proposal may not include a proposal to capture sales and
6482        use tax increment.
6483    (7) A municipality may not propose a first home investment zone in a county of the first
6484        class if the limitation described in Subsection 63N-3-603(7)(c) has been reached.
6485    (8) A municipality may not propose a first home investment zone in a location that is
6486        eligible for a housing and transit reinvestment zone.
6487    (9) A municipality may not propose a first home investment zone if the municipality's
                                                     - 191 -
       H.B. 475  Enrolled Copy
6488  community reinvestment agency, based on the most recent annual comprehensive
6489  financial report, retains cash and cash equivalent assets of more than 20% of ongoing
6490  and unencumbered annual community reinvestment agency revenue.
6491  Section 100. Section 63N-3-1603 is amended to read:
6492  63N-3-1603 (Effective 05/06/26). Process for a proposal of a first home
6493     investment zone.
6494     (1) Subject to approval of the housing and transit reinvestment zone committee as described
6495  in Section 63N-3-1604, in order to create a first home investment zone, a municipality
6496  that has general land use authority over the first home investment zone area, shall:
6497  (a) prepare a proposal for the first home investment zone that:
6498  (i) demonstrates that the proposed first home investment zone will meet the
6499  objectives described in Subsection 63N-3-1602(1);
6500  (ii) explains how the municipality will achieve the requirements of Subsection
6501  63N-3-1602(2);
6502  (iii) defines the specific infrastructure needs, if any, and proposed improvements;
6503  (iv) demonstrates how the first home investment zone will ensure:
6504  (A) sufficient pedestrian access to schools and other areas of community; and
6505  (B) inclusion of child care facilities and access;
6506  (v) defines the boundaries of the first home investment zone;
6507  (vi) includes maps of the proposed first home investment zone to illustrate:
6508  (A) proposed housing density within the first home investment zone;
6509  (B) extraterritorial homes relevant to the first home investment zone, including
6510  density of the development of extraterritorial homes; and
6511  (C) existing zoning and proposed zoning changes related to the first home
6512  investment zone;
6513  (vii) identifies any development impediments that prevent the development from
6514  being a market-rate investment and proposed strategies for addressing each one;
6515  (viii) describes the proposed development plan, including the requirements described
6516  in Subsections 63N-3-1602(2) and (4);
6517  (ix) establishes the collection period or periods to calculate the tax increment;
6518  (x) describes projected maximum revenues generated and the amount of tax
6519  increment capture from each taxing entity and proposed expenditures of revenue
6520  derived from the first home investment zone;
6521  (xi) includes an analysis of other applicable or eligible incentives, grants, or sources
                                                       - 192 -
       Enrolled Copy  H.B. 475
6522  of revenue that can be used to reduce the finance gap;
6523  (xii) proposes a finance schedule to align expected revenue with required financing
6524  costs and payments;
6525  (xiii) evaluates possible benefits to active transportation, public transportation
6526  availability and utilization, street connectivity, and air quality; and
6527  (xiv) provides a pro forma for the planned development that:
6528  (A) satisfies the requirements described in Subsections 63N-3-1602(2) and (4); and
6529  (B) includes data showing the cost difference between what type of development
6530  could feasibly be developed absent the first home investment zone tax
6531  increment and the type of development that is proposed to be developed with
6532  the first home investment zone tax increment;
6533        (b) submit the proposal to the relevant school district to discuss the requirements of the
6534  proposal and whether the proposal provides the benefits and achieves the objectives
6535  described in this part; and
6536        (c) submit the first home investment zone proposal to the Governor's Office of
6537  Economic [Opportunity] Development.
6538    (2) As part of the proposal described in Subsection (1), a municipality shall:
6539        (a) study and evaluate possible impacts of a proposed first home investment zone on
6540  parking and efficient use of land within the municipality and first home investment
6541  zone; and
6542        (b) include in the first home investment zone proposal the findings of the study
6543  described in Subsection (2)(a) and proposed strategies to efficiently address parking
6544  impacts.
6545    (3)(a) After receiving the proposal as described in Subsection (1)(c), the Governor's
6546        Office of Economic [Opportunity] Development shall:
6547  (i) within 14 days after the date on which the Governor's Office of Economic [
6548  Opportunity] Development receives the proposal described in Subsection (1)(c),
6549  provide notice of the proposal to all affected taxing entities, including the State
6550  Tax Commission, cities, counties, school districts, metropolitan planning
6551  organizations, and the county assessor and county auditor of the county in which
6552  the first home investment zone is located; and
6553  (ii) at the expense of the proposing municipality as described in Subsection (5),
6554  contract with an independent entity to:
6555  (A) perform the gap analysis described in Subsection (3)(b); and
                                                     - 193 -
       H.B. 475  Enrolled Copy
6556  (B) perform an analysis of the pro-forma described in Subsection (1)(a)(xiv)(B)
6557  and the feasibility of the proposed development absent the tax increment.
6558  (b) The gap and pro-forma analysis required in Subsection (3)(a)(ii) shall include:
6559  (i) a description of the planned development;
6560  (ii) a market analysis relative to other comparable project developments included in
6561  or adjacent to the municipality absent the proposed first home investment zone;
6562  (iii) an evaluation of the proposal and a determination of the adequacy and efficiency
6563  of the proposal;
6564  (iv) an evaluation of the proposed tax increment capture needed to cover the system
6565  improvements and project improvements associated with the first home
6566  investment zone proposal and enable the proposed development to occur, and for
6567  the benefit of affordable housing projects; and
6568  (v) based on the market analysis and other findings, an opinion relative to the
6569  appropriate amount of potential public financing reasonably determined to be
6570  necessary to achieve the objectives described in Subsection 63N-3-1602(1).
6571  (c) After receiving notice from the Governor's Office of Economic [Opportunity]
6572  Development of a proposed first home investment zone as described in Subsection
6573  (3)(a)(i), the municipality, in consultation with the county assessor and the State Tax
6574  Commission, shall:
6575  (i) evaluate the feasibility of administering the tax implications of the proposal; and
6576  (ii) provide a letter to the Governor's Office of Economic [Opportunity] Development
6577  describing any challenges in the administration of the proposal, or indicating that
6578  the county assessor can feasibly administer the proposal.
6579     (4) After receiving the results from the analysis described in Subsection (3)(b), the
6580  municipality proposing the first home investment zone may:
6581  (a) amend the first home investment zone proposal based on the findings of the analysis
6582  described in Subsection (3)(b) and request that the Governor's Office of Economic [
6583  Opportunity] Development submit the amended first home investment zone proposal
6584  to the housing and transit reinvestment zone committee; or
6585  (b) request that the Governor's Office of Economic [Opportunity] Development submit
6586  the original first home investment zone proposal to the housing and transit
6587  reinvestment zone committee.
6588     (5)(a) The Governor's Office of Economic [Opportunity] Development may accept, as a
6589  dedicated credit, up to $20,000 from a municipality for the costs of the gap analysis
                                                       - 194 -
       Enrolled Copy  H.B. 475
6590        described in Subsection (3)(b).
6591        (b) The Governor's Office of Economic [Opportunity] Development may expend funds
6592  received from a municipality as dedicated credits to pay for the costs associated with
6593  the gap analysis described in Subsection (3)(b).
6594  Section 101. Section 63N-3-1604 is amended to read:
6595  63N-3-1604 (Effective 05/06/26). Consideration of proposals by housing and
6596    transit reinvestment zone committee.
6597    (1) A first home investment zone proposed under this part is subject to approval by the
6598        housing and transit reinvestment zone committee.
6599    (2) After the Governor's Office of Economic [Opportunity] Development receives the
6600        results of the analysis described in Section 63N-3-1603, and after the Governor's Office
6601        of Economic [Opportunity] Development has received a request from the submitting
6602        municipality to submit the first home investment zone proposal to the housing and
6603        transit reinvestment zone committee, the Governor's Office of Economic [Opportunity]
6604        Development shall notify each of the relevant entities of the formation of the housing
6605        and transit reinvestment zone committee as described in Section 63N-3-605.
6606    (3)(a) The chair of the housing and transit reinvestment zone committee shall convene a
6607        public meeting to consider the proposed first home investment zone in the same
6608        manner as described in Section 63N-3-605.
6609        (b) A meeting of the housing and transit reinvestment zone committee is subject to Title
6610  52, Chapter 4, Open and Public Meetings Act.
6611    (4)(a) The proposing municipality shall present the first home investment zone proposal
6612        to the housing and transit reinvestment zone committee in a public meeting.
6613        (b) The housing and transit reinvestment zone committee shall:
6614  (i) evaluate and verify whether the objectives and elements of a first home investment
6615  zone described in Subsections 63N-3-1502(1), (2), and (4) have been met; and
6616  (ii) evaluate the proposed first home investment zone relative to the analysis
6617  described in Subsection 63N-3-1603(2).
6618    (5)(a) Subject to Subsection (5)(b), the housing and transit reinvestment zone committee
6619        may:
6620  (i) request changes to the first home investment zone proposal based on the analysis,
6621  characteristics, and criteria described in Section 63N-3-1603; or
6622  (ii) vote to approve or deny the proposal.
6623        (b) Before the housing and transit reinvestment zone committee may approve the first
                                                    - 195 -
       H.B. 475  Enrolled Copy
6624  home investment zone proposal, the municipality proposing the first home
6625  investment zone shall ensure that the area of the proposed first home investment zone
6626  is zoned in such a manner to accommodate the requirements of a first home
6627  investment zone described in this section and the proposed development.
6628     (6) If a first home investment zone is approved by the committee:
6629  (a) the proposed first home investment zone is established according to the terms of the
6630  first home investment zone proposal;
6631  (b) affected local taxing entities are required to participate according to the terms of the
6632  first home investment zone proposal; and
6633  (c) each affected taxing entity is required to participate at the same rate.
6634     (7) A first home investment zone proposal may be amended by following the same
6635  procedure as approving a first home investment zone proposal.
6636  Section 102. Section 63N-3-1702 is amended to read:
6637  63N-3-1702 (Effective 05/06/26). Applicability, requirements, and limitations on
6638     a major sporting event venue zone.
6639     (1) A major sporting event venue zone created pursuant to this part shall promote the
6640  following objectives:
6641  (a) redevelopment of existing but aging major sporting event venues;
6642  (b) development of new major sporting event venues;
6643  (c) development of infrastructure supporting a major sporting event venue;
6644  (d) increased utilization of public transportation when accessing a major sporting event
6645  venue;
6646  (e) improved efficiencies in parking and transportation with the goal of increasing
6647  walkability between a major sporting event venue and a public transit station;
6648  (f) improved commercial development, or mixed commercial-residential development,
6649  in areas near a major sporting event venue;
6650  (g) improving air quality by reducing fuel consumption and motor vehicle trips; and
6651  (h) increasing tourism activity.
6652     (2) In order to accomplish the objectives described in this section, a creating entity that
6653  initiates the process to create a major sporting event venue zone shall ensure that a
6654  proposal for a major sporting event venue zone includes information demonstrating how
6655  the proposed major sporting event venue zone shall achieve the objectives described in
6656  Subsection (1).
6657     (3) Notice of commencement of collection of property tax increment shall be sent by mail
                                                       - 196 -
       Enrolled Copy  H.B. 475
6658        or electronically to the following entities no later than January 1 of the year for which
6659        the property tax increment collection is proposed to commence:
6660        (a) the State Tax Commission;
6661        (b) the State Board of Education;
6662        (c) the state auditor;
6663        (d) the auditor of the county in which the major sporting event venue zone is proposed to
6664  be created;
6665        (e) each taxing entity to be affected by collection of property tax increment in the
6666  proposed major sporting event venue zone;
6667        (f) the assessor of the county in which the major sporting event venue zone is proposed
6668  to be created; and
6669        (g) the Governor's Office of Economic [Opportunity] Development.
6670    (4) A major sporting event venue zone proposal may include:
6671        (a) a proposal to capture property tax increment;
6672        (b) a proposal to capture local sales and use tax increment; and
6673        (c) a proposal to implement a tax described in Section 11-71-201, either immediately
6674  upon creation of the major sporting event venue zone or on a specified timeline
6675  following the creation of the major sporting event venue zone.
6676  Section 103. Section 63N-4-103 is amended to read:
6677  63N-4-103 (Effective 05/06/26). Purpose of the Center for Rural Development.
6678       The Center for Rural Development is established to:
6679    (1) foster and support economic development programs and activities for the benefit of
6680        rural counties and communities;
6681    (2) foster and support community, county, and resource management planning programs
6682        and activities for the benefit of rural counties and communities;
6683    (3) foster and support leadership training programs and activities for the benefit of:
6684        (a) rural leaders in both the public and private sectors;
6685        (b) economic development and planning personnel; and
6686        (c) rural government officials;
6687    (4) foster and support efforts to coordinate and focus the technical and other resources of
6688        appropriate institutions of higher education, local governments, private sector interests,
6689        associations, nonprofit organizations, federal agencies, and others, in ways that address
6690        the economic development, planning, and leadership challenges;
6691    (5) work to enhance the capacity of [GOEO] GOED to address rural economic development,
                                                     - 197 -
       H.B. 475  Enrolled Copy
6692  planning, and leadership training challenges and opportunities by establishing
6693  partnerships and positive working relationships with appropriate public and private
6694  sector entities, individuals, and institutions; and
6695     (6) foster government-to-government collaboration and good working relations between
6696  state and rural government regarding economic development and planning issues.
6697  Section 104. Section 63N-4-104 is amended to read:
6698  63N-4-104 (Effective 05/06/26). Duties.
6699     (1) The Center for Rural Development shall:
6700  (a) work to enhance the capacity of the office to address rural economic development,
6701  planning, and leadership training challenges and opportunities by establishing
6702  partnerships and positive working relationships with appropriate public and private
6703  sector entities, individuals, and institutions;
6704  (b) work with the [GOEO] GOED board to coordinate and focus available resources in
6705  ways that address the economic development, planning, and leadership training
6706  challenges and priorities in rural Utah;
6707  (c) assist in administering the Rural Opportunity Program created in Section 63N-4-802;
6708  and
6709  (d) in accordance with economic development and planning policies set by state
6710  government, coordinate relations between:
6711  (i) the state;
6712  (ii) rural governments;
6713  (iii) other public and private groups engaged in rural economic planning and
6714  development; and
6715  (iv) federal agencies.
6716     (2) The Center for Rural Development may, in accordance with Title 63G, Chapter 3, Utah
6717  Administrative Rulemaking Act, make rules necessary to carry out its duties.
6718  Section 105. Section 63N-7-102 is amended to read:
6719  63N-7-102 (Effective 05/06/26) (Partially Repealed 07/01/30). Utah Office of
6720     Tourism created -- Appointment of managing director -- Responsibilities of tourism
6721     office.
6722     (1) There is created within [GOEO] GOED the Utah Office of Tourism.
6723     (2)(a) The executive director shall appoint a managing director of the tourism office.
6724  (b) The managing director may, with the approval of the executive director, appoint staff.
6725     (3) The tourism office shall:
                                                         - 198 -
       Enrolled Copy  H.B. 475
6726        (a) be the tourism development authority of the state;
6727        (b) develop a tourism advertising, marketing, branding, destination development, and
6728  destination management program for the state;
6729        (c) receive approval from the board under Subsection 63N-7-202(1)(a) before
6730  implementing the program described in Subsection (3)(b);
6731        (d) develop a plan to increase the economic contribution by tourists visiting the state;
6732        (e) plan and conduct a program of information, advertising, and publicity relating to the
6733  recreational, scenic, historic, cultural, and culinary tourist attractions, amenities, and
6734  advantages of the state at large;
6735        (f) encourage and assist in the coordination of the activities of persons, firms,
6736  associations, corporations, travel regions, counties, and governmental agencies
6737  engaged in publicizing, developing, and promoting the tourist attractions, amenities,
6738  and advantages of the state;
6739        (g) conduct a regular and ongoing research program to identify statewide economic
6740  trends and conditions in the tourism sector of the economy; and
6741        (h) ensure that any plan or program developed under this Subsection (3) addresses, but
6742  not be limited to, the following policies:
6743  (i) enhancing the state's image;
6744  (ii) promoting the state as a year-round destination;
6745  (iii) encouraging expenditures by visitors to the state; and
6746  (iv) expanding the markets where the state is promoted.
6747  Section 106. Section 63N-16-102 is amended to read:
6748  63N-16-102 (Effective 05/06/26). Definitions.
6749       As used in this chapter:
6750    (1) "Advisory committee" means the General Regulatory Sandbox Program Advisory
6751        Committee created in Section 63N-16-104.
6752    (2) "Applicable agency" means a department or agency of the state that by law regulates a
6753        business activity and persons engaged in such business activity, including the issuance
6754        of licenses or other types of authorization, which the office determines would otherwise
6755        regulate a sandbox participant.
6756    (3) "Applicant" means a person that applies to participate in the regulatory sandbox.
6757    (4) "Blockchain technology" means the use of a digital database containing records of
6758        financial transactions, which can be simultaneously used and shared within a
6759        decentralized, publicly accessible network and can record transactions between two
                                                      - 199 -
       H.B. 475  Enrolled Copy
6760  parties in a verifiable and permanent way.
6761     (5) "Consumer" means a person that purchases or otherwise enters into a transaction or
6762  agreement to receive an offering pursuant to a demonstration by a sandbox participant.
6763     (6) "Demonstrate" or "demonstration" means to temporarily provide an offering in
6764  accordance with the provisions of the regulatory sandbox program described in this
6765  chapter.
6766     (7) "Director" means the director of the Utah Office of Regulatory Relief created in Section
6767  63N-16-103.
6768     (8) "Executive director" means the executive director of the Governor's Office of Economic [
6769  Opportunity] Development.
6770     (9) "Financial product or service" means:
6771  (a) a financial product or financial service that requires state licensure or registration; or
6772  (b) a financial product, financial service, or banking business that includes a business
6773  model, delivery mechanism, offering of deposit accounts, or element that may require
6774  a license or other authorization to act as a financial institution, enterprise, or other
6775  entity that is regulated by Title 7, Financial Institutions Act, or other related
6776  provisions.
6777     (10) "Health, safety, and financial well-being" includes protecting against physical injury,
6778  property damage, or financial harm.
6779     (11) "Innovation" means the use or incorporation of a new or existing idea, a new or
6780  emerging technology, or a new use of existing technology, including blockchain
6781  technology, to address a problem, provide a benefit, or otherwise offer a product,
6782  production method, or service.
6783     (12) "Insurance product or service" means an insurance product or insurance service that
6784  requires state licensure, registration, or other authorization as regulated by Title 31A,
6785  Insurance Code, including an insurance product or insurance service that includes a
6786  business model, delivery mechanism, or element that requires a license, registration, or
6787  other authorization to do an insurance business, act as an insurance producer or
6788  consultant, or engage in insurance adjusting as regulated by Title 31A, Insurance Code.
6789     (13)(a) "Offering" means a product, production method, or service, including a financial
6790  product or service or an insurance product or service, that includes an innovation.
6791  (b) "Offering" does not include a product, production method, or service that is governed
6792  by Title 61, Chapter 1, Utah Uniform Securities Act.
6793     (14) "Product" means a commercially distributed good that is:
                                                        - 200 -
       Enrolled Copy  H.B. 475
6794        (a) tangible personal property;
6795        (b) the result of a production process; and
6796        (c) passed through the distribution channel before consumption.
6797    (15) "Production" means the method or process of creating or obtaining a good, which may
6798        include assembling, breeding, capturing, collecting, extracting, fabricating, farming,
6799        fishing, gathering, growing, harvesting, hunting, manufacturing, mining, processing,
6800        raising, or trapping a good.
6801    (16) "Regulatory relief office" means the Utah Office of Regulatory Relief created in
6802        Section 63N-16-103.
6803    (17) "Regulatory sandbox" means the General Regulatory Sandbox Program created in
6804        Section 63N-16-201, which allows a person to temporarily demonstrate an offering
6805        under a waiver or suspension of one or more state laws or regulations.
6806    (18) "Sandbox participant" means a person whose application to participate in the
6807        regulatory sandbox is approved in accordance with the provisions of this chapter.
6808    (19) "Service" means any commercial activity, duty, or labor performed for another person.
6809  Section 107. Section 63N-16-301 is amended to read:
6810  63N-16-301 (Effective 05/06/26). Regulatory relief web page.
6811    (1) The regulatory relief office shall create and maintain on [GOEO's] GOED's website a
6812        web page that invites residents and businesses in the state to make suggestions regarding
6813        laws and regulations that could be modified or eliminated to reduce the regulatory
6814        burden of residents and businesses in the state.
6815    (2) On at least a quarterly basis, the regulatory relief office shall compile the results of
6816        suggestions from the web page and provide a written report to the governor, the
6817        Business and Labor Interim Committee, and the Economic Development and Workforce
6818        Services Interim Committee that describes the most common suggestions.
6819    (3) In creating the report described in Subsection (2), the regulatory relief office and the
6820        advisory committee:
6821        (a) shall ensure that private information of residents and businesses that make
6822  suggestions on the web page is not made public; and
6823        (b) may evaluate the suggestions and provide analysis and suggestions regarding which
6824  state laws and regulations could be modified or eliminated to reduce the regulatory
6825  burden of residents and businesses in the state while still protecting consumers.
6826  Section 108. Section 63N-18-201 is amended to read:
6827  63N-18-201 (Effective 05/06/26). Creation of the Utah Center for Immigration
                                                      - 201 -
       H.B. 475  Enrolled Copy
6828     and Integration -- Responsibilities of the center.
6829     (1) There is created within the Governor's Office of Economic [Opportunity] Development
6830  the Utah Center for Immigration and Integration.
6831     (2) The center shall:
6832  (a) assist individuals and businesses in the state with identifying pathways for recruiting
6833  and retaining foreign labor;
6834  (b) coordinate with state agencies in developing and administering policies and
6835  programs related to immigrant integration;
6836  (c) develop and implement a statewide strategy for immigrant integration that promotes
6837  economic opportunities for immigrant communities in the state;
6838  (d) create and convene a task force to review and make recommendations regarding the
6839  state's policies on immigrant integration;
6840  (e) develop sustainable partnerships with local officials, the business sector, and
6841  community organizations serving immigrant communities in the state; and
6842  (f) advise and make recommendations to the governor, state agencies, and the
6843  Legislature regarding immigrant integration and foreign labor issues.
6844     (3) The center may not encourage a business to bypass state residents for the business's
6845  workforce needs.
6846     (4) The center may, in accordance with Title 63G, Chapter 3, Utah Administrative
6847  Rulemaking Act, make rules to carry out the center's responsibilities under this chapter.
6848  Section 109. Section 63N-20-101 is amended to read:
6849  63N-20-101 (Effective 05/06/26). Definitions.
6850        As used in this part:
6851     (1) "Contractor" means the educational technology provider that the Governor's Office of
6852  Economic [Opportunity] Development selects under Section 63N-20-102.
6853     (2) "Office" means the Governor's Office of Economic [Opportunity] Development created
6854  in Section 63N-1a-301.
6855     (3) "Preschool child" means a child who is:
6856  (a) four or five years old; and
6857  (b) not eligible for enrollment under Subsection 53G-4-402(8).
6858     (4)(a) "Private preschool provider" means a child care program that:
6859  (i)(A) is licensed under Title 26B, Chapter 2, Part 4, Child Care Licensing or,
6860  except as provided in Subsection (4)(b), is exempt from licensure under
6861  Section 26B-2-405; and
                                                       - 202 -
       Enrolled Copy  H.B. 475
6862  (B) meets other criteria as established by the office, consistent with Utah
6863  Constitution, Article X, Section 1; or
6864  (ii) is a residential certificate provider described in Section 26B-2-404.
6865        (b) "Private preschool provider" does not include a program exempt from licensure
6866  under Subsection 26B-2-405(2)(c).
6867    (5) "Public preschool" means a preschool program that is provided by a school district, a
6868        charter school, or the Head Start program.
6869    (6) "State board" means the State Board of Education.
6870    (7) "UPSTART" means the statewide program created in Section 63N-20-102 that uses a
6871        home-based educational technology program and parent engagement to develop school
6872        readiness skills of preschool children.
6873  Section 110. Section 67-1-2 is amended to read:
6874  67-1-2 (Effective 05/06/26). Senate confirmation of gubernatorial nominees --
6875    Verification of nomination requirements -- Consultation on appointments -- Notification
6876    of anticipated vacancies.
6877    (1)(a) Except as provided in Subsection [(3)] (2), at least 30 days before the day of an
6878        extraordinary session of the Senate to confirm a gubernatorial nominee, the governor
6879        shall send to each member of the Senate and to the Office of Legislative Research
6880        and General Counsel the following information for each nominee:
6881  (i) the nominee's name and biographical information, including a resume and
6882  curriculum vitae with personal contact information, including home address, email
6883  address, and telephone number, redacted, except that the governor shall send to
6884  the Office of Legislative Research and General Counsel the contact information
6885  for the nominee;
6886  (ii) a detailed list, with citations, of the legal requirements for the appointed position;
6887  (iii) a detailed list with supporting documents explaining how, and verifying that, the
6888  nominee meets each statutory and constitutional requirement for the appointed
6889  position;
6890  (iv) a written certification by the governor that the nominee satisfies all requirements
6891  for the appointment; and
6892  (v) public comment information collected in accordance with Section 63G-24-204.
6893        (b) This Subsection (1) does not apply to a judicial appointee.
6894    (2)(a) A majority of the president of the Senate, the Senate majority leader, and the
6895        Senate minority leader may waive the 30-day requirement described in Subsection (1)
                                                      - 203 -
       H.B. 475  Enrolled Copy
6896  for a gubernatorial nominee other than a nominee for the following:
6897  (i) the executive director of a department;
6898  (ii) the executive director of the Governor's Office of Economic [Opportunity]
6899  Development;
6900  (iii) the executive director of the Labor Commission;
6901  (iv) a member of the State Tax Commission;
6902  (v) a member of the State Board of Education;
6903  (vi) a member of the Utah Board of Higher Education; or
6904  (vii) an individual:
6905  (A) whose appointment requires the advice and consent of the Senate; and
6906  (B) whom the governor designates as a member of the governor's cabinet.
6907  (b) The Senate shall hold a confirmation hearing for a nominee for an individual
6908  described in Subsection (2)(a).
6909     (3) The governor shall:
6910  (a) if the governor is aware of an upcoming vacancy in a position that requires Senate
6911  confirmation, provide notice of the upcoming vacancy to the president of the Senate,
6912  the Senate minority leader, and the Office of Legislative Research and General
6913  Counsel at least 30 days before the day on which the vacancy occurs; and
6914  (b) establish a process for government entities and other relevant organizations to
6915  provide input on gubernatorial appointments.
6916     (4) When the governor makes a judicial appointment, the governor shall immediately
6917  provide to the president of the Senate and the Office of Legislative Research and
6918  General Counsel:
6919  (a) the name of the judicial appointee; and
6920  (b) the judicial appointee's:
6921  (i) resume;
6922  (ii) complete file of all the application materials the governor received from the
6923  judicial nominating commission; and
6924  (iii) any other related documents, including any letters received by the governor
6925  about the appointee, unless the letter specifically directs that the letter may not be
6926  shared.
6927     (5) The governor shall inform the president of the Senate and the Office of Legislative
6928  Research and General Counsel of the number of letters withheld pursuant to Subsection
6929  (4)(b)(iii).
                                                       - 204 -
       Enrolled Copy  H.B. 475
6930    (6)(a) Letters of inquiry submitted by any judge at the request of any judicial nominating
6931        commission are classified as private in accordance with Section 63G-2-302.
6932        (b) All other records received from the governor pursuant to this Subsection (6) may be
6933  classified as private in accordance with Section 63G-2-302.
6934    (7) The Senate shall consent or refuse to give the Senate's consent to a nomination or
6935        judicial appointment.
6936  Section 111. Section 67-3-1 is amended to read:
6937  67-3-1 (Effective 05/06/26). Functions and duties.
6938    (1)(a) The state auditor is the auditor of public accounts and is independent of any
6939        executive or administrative officers of the state.
6940        (b) The state auditor is not limited in the selection of personnel or in the determination
6941  of the reasonable and necessary expenses of the state auditor's office.
6942    (2) The state auditor shall examine and certify annually in respect to each fiscal year,
6943        financial statements showing:
6944        (a) the condition of the state's finances;
6945        (b) the revenues received or accrued;
6946        (c) expenditures paid or accrued;
6947        (d) the amount of unexpended or unencumbered balances of the appropriations to the
6948  agencies, departments, divisions, commissions, and institutions; and
6949        (e) the cash balances of the funds in the custody of the state treasurer.
6950    (3)(a) The state auditor shall:
6951  (i) audit each permanent fund, each special fund, the General Fund, and the accounts
6952  of any department of state government or any independent agency or public
6953  corporation as the law requires, as the auditor determines is necessary, or upon
6954  request of the governor or the Legislature;
6955  (ii) perform the audits in accordance with generally accepted auditing standards and
6956  other auditing procedures as promulgated by recognized authoritative bodies; and
6957  (iii) as the auditor determines is necessary, conduct the audits to determine:
6958  (A) honesty and integrity in fiscal affairs;
6959  (B) accuracy and reliability of financial statements;
6960  (C) effectiveness and adequacy of financial controls; and
6961  (D) compliance with the law.
6962        (b) If any state entity receives federal funding, the state auditor shall ensure that the
6963  audit is performed in accordance with federal audit requirements.
                                                         - 205 -
       H.B. 475  Enrolled Copy
6964  (c)(i) The costs of the federal compliance portion of the audit may be paid from an
6965  appropriation to the state auditor from the General Fund.
6966  (ii) If an appropriation is not provided, or if the federal government does not
6967  specifically provide for payment of audit costs, the costs of the federal compliance
6968  portions of the audit shall be allocated on the basis of the percentage that each
6969  state entity's federal funding bears to the total federal funds received by the state.
6970  (iii) The allocation shall be adjusted to reflect any reduced audit time required to
6971  audit funds passed through the state to local governments and to reflect any
6972  reduction in audit time obtained through the use of internal auditors working
6973  under the direction of the state auditor.
6974     (4)(a) Except as provided in Subsection (4)(b), the state auditor shall, in addition to
6975  financial audits, and as the auditor determines is necessary, conduct performance and
6976  special purpose audits, examinations, and reviews of any entity that receives public
6977  funds, including a determination of any or all of the following:
6978  (i) the honesty and integrity of all the entity's fiscal affairs;
6979  (ii) whether the entity's administrators have faithfully complied with legislative intent;
6980  (iii) whether the entity's operations have been conducted in an efficient, effective, and
6981  cost-efficient manner;
6982  (iv) whether the entity's programs have been effective in accomplishing the intended
6983  objectives; and
6984  (v) whether the entity's management, control, and information systems are adequate,
6985  effective, and secure.
6986  (b) The auditor may not conduct performance and special purpose audits, examinations,
6987  and reviews of any entity that receives public funds if the entity:
6988  (i) has an elected auditor; and
6989  (ii) has, within the entity's last budget year, had the entity's financial statements or
6990  performance formally reviewed by another outside auditor.
6991     (5) The state auditor:
6992  (a) shall administer any oath or affirmation necessary to the performance of the duties of
6993  the auditor's office; and
6994  (b) may:
6995  (i) subpoena witnesses and documents, whether electronic or otherwise; and
6996  (ii) examine into any matter that the auditor considers necessary.
6997     (6) The state auditor may require all persons who have had the disposition or management
                                                         - 206 -
       Enrolled Copy  H.B. 475
6998        of any property of this state or its political subdivisions to submit statements regarding
6999        the property at the time and in the form that the auditor requires.
7000    (7) The state auditor shall:
7001        (a) except where otherwise provided by law, institute suits in Salt Lake County in
7002  relation to the assessment, collection, and payment of revenues against:
7003  (i) persons who by any means have become entrusted with public money or property
7004  and have failed to pay over or deliver the money or property; and
7005  (ii) all debtors of the state;
7006        (b) collect and pay into the state treasury all fees received by the state auditor;
7007        (c) perform the duties of a member of all boards of which the state auditor is a member
7008  by the constitution or laws of the state, and any other duties that are prescribed by the
7009  constitution and by law;
7010        (d) stop the payment of the salary of any state official or state employee who:
7011  (i) refuses to settle accounts or provide required statements about the custody and
7012  disposition of public funds or other state property;
7013  (ii) refuses, neglects, or ignores the instruction of the state auditor or any controlling
7014  board or department head with respect to the manner of keeping prescribed
7015  accounts or funds; or
7016  (iii) fails to correct any delinquencies, improper procedures, and errors brought to the
7017  official's or employee's attention;
7018        (e) establish accounting systems, methods, and forms for public accounts in all taxing or
7019  fee-assessing units of the state in the interest of uniformity, efficiency, and economy;
7020        (f) superintend the contractual auditing of all state accounts;
7021        (g) subject to Subsection (8)(a), withhold state allocated funds or the disbursement of
7022  property taxes from a state or local taxing or fee-assessing unit, if necessary, to
7023  ensure that officials and employees in those taxing units comply with state laws and
7024  procedures in the budgeting, expenditures, and financial reporting of public funds;
7025        (h) subject to Subsection (9), withhold the disbursement of tax money from any county,
7026  if necessary, to ensure that officials and employees in the county comply with
7027  Section 59-2-303.1; and
7028        (i) withhold state allocated funds or the disbursement of property taxes from a local
7029  government entity or a limited purpose entity, as those terms are defined in Section
7030  67-1a-15 if the state auditor finds the withholding necessary to ensure that the entity
7031  registers and maintains the entity's registration with the lieutenant governor, in
                                                      - 207 -
       H.B. 475  Enrolled Copy
7032  accordance with Section 67-1a-15.
7033     (8)(a) Except as otherwise provided by law, the state auditor may not withhold funds
7034  under Subsection (7)(g) until a state or local taxing or fee-assessing unit has received
7035  formal written notice of noncompliance from the auditor and has been given 60 days
7036  to make the specified corrections.
7037  (b) If, after receiving notice under Subsection (8)(a), a state or independent local
7038  fee-assessing unit that exclusively assesses fees has not made corrections to comply
7039  with state laws and procedures in the budgeting, expenditures, and financial reporting
7040  of public funds, the state auditor:
7041  (i) shall provide a recommended timeline for corrective actions;
7042  (ii) may prohibit the state or local fee-assessing unit from accessing money held by
7043  the state; and
7044  (iii) may prohibit a state or local fee-assessing unit from accessing money held in an
7045  account of a financial institution by filing an action in a court with jurisdiction
7046  under Title 78A, Judiciary and Judicial Administration, requesting an order of the
7047  court to prohibit a financial institution from providing the fee-assessing unit
7048  access to an account.
7049  (c) The state auditor shall remove a limitation on accessing funds under Subsection (8)(b)
7050  upon compliance with state laws and procedures in the budgeting, expenditures, and
7051  financial reporting of public funds.
7052  (d) If a local taxing or fee-assessing unit has not adopted a budget in compliance with
7053  state law, the state auditor:
7054  (i) shall provide notice to the taxing or fee-assessing unit of the unit's failure to
7055  comply;
7056  (ii) may prohibit the taxing or fee-assessing unit from accessing money held by the
7057  state; and
7058  (iii) may prohibit a taxing or fee-assessing unit from accessing money held in an
7059  account of a financial institution by:
7060  (A) contacting the taxing or fee-assessing unit's financial institution and
7061  requesting that the institution prohibit access to the account; or
7062  (B) filing an action in a court with jurisdiction under Title 78A, Judiciary and
7063  Judicial Administration, requesting an order of the court to prohibit a financial
7064  institution from providing the taxing or fee-assessing unit access to an account.
7065  (e) If the local taxing or fee-assessing unit adopts a budget in compliance with state law,
                                                         - 208 -
       Enrolled Copy  H.B. 475
7066  the state auditor shall eliminate a limitation on accessing funds described in
7067  Subsection (8)(d).
7068    (9) The state auditor may not withhold funds under Subsection (7)(h) until a county has
7069        received formal written notice of noncompliance from the auditor and has been given 60
7070        days to make the specified corrections.
7071    (10)(a) The state auditor may not withhold funds under Subsection (7)(i) until the state
7072        auditor receives a notice of non-registration, as that term is defined in Section
7073        67-1a-15.
7074        (b) If the state auditor receives a notice of non-registration, the state auditor may
7075  prohibit the local government entity or limited purpose entity, as those terms are
7076  defined in Section 67-1a-15, from accessing:
7077  (i) money held by the state; and
7078  (ii) money held in an account of a financial institution by:
7079  (A) contacting the entity's financial institution and requesting that the institution
7080  prohibit access to the account; or
7081  (B) filing an action in a court with jurisdiction under Title 78A, Judiciary and
7082  Judicial Administration, requesting an order of the court to prohibit a financial
7083  institution from providing the entity access to an account.
7084        (c) The state auditor shall remove the prohibition on accessing funds described in
7085  Subsection (10)(b) if the state auditor received a notice of registration, as that term is
7086  defined in Section 67-1a-15, from the lieutenant governor.
7087    (11) Notwithstanding Subsection (7)(g), (7)(h), (7)(i), (8)(b), (8)(d), or (10)(b), the state
7088        auditor:
7089        (a) shall authorize a disbursement by a local government entity or limited purpose entity,
7090  as those terms are defined in Section 67-1a-15, or a state or local taxing or
7091  fee-assessing unit if the disbursement is necessary to:
7092  (i) avoid a major disruption in the operations of the local government entity, limited
7093  purpose entity, or state or local taxing or fee-assessing unit; or
7094  (ii) meet debt service obligations; and
7095        (b) may authorize a disbursement by a local government entity, limited purpose entity,
7096  or state or local taxing or fee-assessing unit as the state auditor determines is
7097  appropriate.
7098    (12)(a) The state auditor may seek relief under the Utah Rules of Civil Procedure to take
7099        temporary custody of public funds if an action is necessary to protect public funds
                                                        - 209 -
       H.B. 475  Enrolled Copy
7100  from being improperly diverted from their intended public purpose.
7101  (b) If the state auditor seeks relief under Subsection (12)(a):
7102  (i) the state auditor is not required to exhaust the procedures in Subsection (7) or (8);
7103  and
7104  (ii) the state treasurer may hold the public funds in accordance with Section 67-4-1 if
7105  a court orders the public funds to be protected from improper diversion from their
7106  public purpose.
7107     (13) The state auditor shall:
7108  (a) establish audit guidelines and procedures for audits of local mental health and
7109  substance abuse authorities and their contract providers, conducted pursuant to Title
7110  17, Chapter 77, Local Health and Human Services, Title 26B, Chapter 5, Health Care
7111  - Substance Use and Mental Health, and Title 51, Chapter 2a, Accounting Reports
7112  from Political Subdivisions, Interlocal Organizations, and Other Local Entities Act;
7113  and
7114  (b) ensure that those guidelines and procedures provide assurances to the state that:
7115  (i) state and federal funds appropriated to local mental health authorities are used for
7116  mental health purposes;
7117  (ii) a private provider under an annual or otherwise ongoing contract to provide
7118  comprehensive mental health programs or services for a local mental health
7119  authority is in compliance with state and local contract requirements and state and
7120  federal law;
7121  (iii) state and federal funds appropriated to local substance abuse authorities are used
7122  for substance abuse programs and services; and
7123  (iv) a private provider under an annual or otherwise ongoing contract to provide
7124  comprehensive substance abuse programs or services for a local substance abuse
7125  authority is in compliance with state and local contract requirements, and state and
7126  federal law.
7127     (14)(a) The state auditor may, in accordance with the auditor's responsibilities for
7128  political subdivisions of the state as provided in Title 51, Chapter 2a, Accounting
7129  Reports from Political Subdivisions, Interlocal Organizations, and Other Local
7130  Entities Act, initiate audits or investigations of any political subdivision that are
7131  necessary to determine honesty and integrity in fiscal affairs, accuracy and reliability
7132  of financial statements, effectiveness, and adequacy of financial controls and
7133  compliance with the law.
                                                        - 210 -
       Enrolled Copy  H.B. 475
7134        (b) If the state auditor receives notice under Subsection 11-41-104(7) from the
7135  Governor's Office of Economic [Opportunity] Development on or after July 1, 2024,
7136  the state auditor may initiate an audit or investigation of the public entity subject to
7137  the notice to determine compliance with Section 11-41-103.
7138    (15)(a) The state auditor may not audit work that the state auditor performed before
7139        becoming state auditor.
7140        (b) If the state auditor has previously been a responsible official in state government
7141  whose work has not yet been audited, the Legislature shall:
7142  (i) designate how that work shall be audited; and
7143  (ii) provide additional funding for those audits, if necessary.
7144    (16) The state auditor shall:
7145        (a) with the assistance, advice, and recommendations of an advisory committee
7146  appointed by the state auditor from among special district boards of trustees, officers,
7147  and employees and special service district boards, officers, and employees:
7148  (i) prepare a Uniform Accounting Manual for Special Districts that:
7149  (A) prescribes a uniform system of accounting and uniform budgeting and
7150  reporting procedures for special districts under Title 17B, Limited Purpose
7151  Local Government Entities - Special Districts, and special service districts
7152  under Title 17D, Chapter 1, Special Service District Act;
7153  (B) conforms with generally accepted accounting principles; and
7154  (C) prescribes reasonable exceptions and modifications for smaller districts to the
7155  uniform system of accounting, budgeting, and reporting;
7156  (ii) maintain the manual under this Subsection (16)(a) so that the manual continues to
7157  reflect generally accepted accounting principles;
7158  (iii) conduct a continuing review and modification of procedures in order to improve
7159  them;
7160  (iv) prepare and supply each district with suitable budget and reporting forms; and
7161  (v)(A) prepare instructional materials, conduct training programs, and render other
7162  services considered necessary to assist special districts and special service
7163  districts in implementing the uniform accounting, budgeting, and reporting
7164  procedures; and
7165  (B) ensure that any training described in Subsection (16)(a)(v)(A) complies with
7166  Title 63G, Chapter 22, State Training and Certification Requirements; and
7167        (b) continually analyze and evaluate the accounting, budgeting, and reporting practices
                                                     - 211 -
       H.B. 475  Enrolled Copy
7168  and experiences of specific special districts and special service districts selected by
7169  the state auditor and make the information available to all districts.
7170     (17)(a) The following records in the custody or control of the state auditor are protected
7171  records under Title 63G, Chapter 2, Government Records Access and Management
7172  Act:
7173  (i) records that would disclose information relating to allegations of personal
7174  misconduct, gross mismanagement, or illegal activity of a past or present
7175  governmental employee if the information or allegation cannot be corroborated by
7176  the state auditor through other documents or evidence, and the records relating to
7177  the allegation are not relied upon by the state auditor in preparing a final audit
7178  report;
7179  (ii) records and audit workpapers to the extent the workpapers would disclose the
7180  identity of an individual who during the course of an audit, communicated the
7181  existence of any waste of public funds, property, or manpower, or a violation or
7182  suspected violation of a law, rule, or regulation adopted under the laws of this
7183  state, a political subdivision of the state, or any recognized entity of the United
7184  States, if the information was disclosed on the condition that the identity of the
7185  individual be protected;
7186  (iii) before an audit is completed and the final audit report is released, records or
7187  drafts circulated to an individual who is not an employee or head of a
7188  governmental entity for the individual's response or information;
7189  (iv) records that would disclose an outline or part of any audit survey plans or audit
7190  program; and
7191  (v) requests for audits, if disclosure would risk circumvention of an audit.
7192  (b) The provisions of Subsections (17)(a)(i), (ii), and (iii) do not prohibit the disclosure
7193  of records or information that relate to a violation of the law by a governmental entity
7194  or employee to a government prosecutor or peace officer.
7195  (c) The provisions of this Subsection (17) do not limit the authority otherwise given to
7196  the state auditor to classify a document as public, private, controlled, or protected
7197  under Title 63G, Chapter 2, Government Records Access and Management Act.
7198  (d)(i) As used in this Subsection (17)(d), "record dispute" means a dispute between
7199  the state auditor and the subject of an audit performed by the state auditor as to
7200  whether the state auditor may release a record, as defined in Section 63G-2-103,
7201  to the public that the state auditor gained access to in the course of the state
                                                        - 212 -
       Enrolled Copy  H.B. 475
7202  auditor's audit but which the subject of the audit claims is not subject to disclosure
7203  under Title 63G, Chapter 2, Government Records Access and Management Act.
7204  (ii) The state auditor may submit a record dispute to the director of the Government
7205  Records Office, created in Section 63A-12-202, for a determination of whether the
7206  state auditor may, in conjunction with the state auditor's release of an audit report,
7207  release to the public the record that is the subject of the record dispute.
7208  (iii) The state auditor or the subject of the audit may seek judicial review of the
7209  director's determination, described in Subsection (17)(d)(ii), as provided in
7210  Section 63G-2-404.
7211    (18) If the state auditor conducts an audit of an entity that the state auditor has previously
7212        audited and finds that the entity has not implemented a recommendation made by the
7213        state auditor in a previous audit, the state auditor shall notify the Legislative
7214        Management Committee through the Legislative Management Committee's Audit
7215        Subcommittee that the entity has not implemented that recommendation.
7216    (19) The state auditor shall, with the advice and consent of the Senate, appoint the state
7217        privacy auditor described in Section 67-3-13.
7218    (20) Except as provided in Subsection (21), the state auditor shall report, or ensure that
7219        another government entity reports, on the financial, operational, and performance
7220        metrics for the state system of higher education and the state system of public education,
7221        including metrics in relation to students, programs, and schools within those systems.
7222    (21)(a) Notwithstanding Subsection (20), the state auditor shall conduct regular audits of:
7223  (i) the scholarship granting organization for the Carson Smith Opportunity
7224  Scholarship Program, created in Section 53E-7-402;
7225  (ii) the State Board of Education for the Carson Smith Scholarship Program, created
7226  in Section 53F-4-302; and
7227  (iii) the scholarship program manager for the Utah Fits All Scholarship Program,
7228  created in Section 53F-6-402, including an analysis of the cost effectiveness of the
7229  program, taking into consideration the amount of the scholarship and the amount
7230  of state and local funds dedicated on a per-student basis within the traditional
7231  public education system.
7232        (b) Nothing in this subsection limits or impairs the authority of the State Board of
7233  Education to administer the programs described in Subsection (21)(a).
7234    (22) The state auditor shall, based on the information posted by the Office of Legislative
7235        Research and General Counsel under Subsection 36-12-12.1(2), for each policy, track
                                                      - 213 -
       H.B. 475  Enrolled Copy
7236  and post the following information on the state auditor's website:
7237  (a) the information posted under Subsections 36-12-12.1(2)(a) through (e);
7238  (b) an indication regarding whether the policy is timely adopted, adopted late, or not
7239  adopted;
7240  (c) an indication regarding whether the policy complies with the requirements
7241  established by law for the policy; and
7242  (d) a link to the policy.
7243     (23)(a) A legislator may request that the state auditor conduct an inquiry to determine
7244  whether a government entity, government official, or government employee has
7245  complied with a legal obligation directly imposed, by statute, on the government
7246  entity, government official, or government employee.
7247  (b) The state auditor may, upon receiving a request under Subsection (23)(a), conduct
7248  the inquiry requested.
7249  (c) If the state auditor conducts the inquiry described in Subsection (23)(b), the state
7250  auditor shall post the results of the inquiry on the state auditor's website.
7251  (d) The state auditor may limit the inquiry described in this Subsection (23) to a simple
7252  determination, without conducting an audit, regarding whether the obligation was
7253  fulfilled.
7254     (24) The state auditor shall:
7255  (a) ensure compliance with Title 63G, Chapter 31, Distinctions on the Basis of Sex, in
7256  accordance with Section 63G-31-401; and
7257  (b) report to the Legislative Management Committee, upon request, regarding the state
7258  auditor's actions under this Subsection (24).
7259     (25) The state auditor shall report compliance with Sections 67-27-107, 67-27-108, and
7260  67-27-109 by:
7261  (a) establishing a process to receive and audit each alleged violation; and
7262  (b) reporting to the Legislative Management Committee, upon request, regarding the
7263  state auditor's findings and recommendations under this Subsection (25).
7264     (26) The state auditor shall ensure compliance with Section 63G-1-704 regarding the
7265  display of flags in or on government property.
7266     (27)(a) On or before January 31 each year, the state auditor shall prepare a report that
7267  states, for each entity that holds public funds as defined in Section 51-7-3, the entity's
7268  total balance, as of the last day of the immediately preceding fiscal year, of cash, cash
7269  equivalents, and investments, as those terms are defined under the standards
                                                        - 214 -
       Enrolled Copy  H.B. 475
7270        established by the Governmental Accounting Standards Board.
7271        (b) The state auditor shall make the report described in Subsection (27)(a) publicly
7272  available on a website that the state auditor maintains.
7273  Section 112. Section 67-22-2 is amended to read:
7274  67-22-2 (Effective 05/06/26). Compensation -- Other state officers.
7275    (1) As used in this section:
7276        (a) "Appointed executive" means the:
7277  (i) commissioner of the Department of Agriculture and Food;
7278  (ii) commissioner of the Insurance Department;
7279  (iii) commissioner of the Labor Commission;
7280  (iv) director, Department of Alcoholic Beverage Services;
7281  (v) commissioner of the Department of Financial Institutions;
7282  (vi) executive director, Department of Commerce;
7283  (vii) executive director, State Commission on Criminal and Juvenile Justice;
7284  (viii) adjutant general;
7285  (ix) executive director, Department of Cultural and Community Engagement;
7286  (x) executive director, Department of Corrections;
7287  (xi) commissioner, Department of Public Safety;
7288  (xii) executive director, Department of Natural Resources;
7289  (xiii) executive director, Governor's Office of Planning and Budget;
7290  (xiv) executive director, Department of Government Operations;
7291  (xv) executive director, Department of Environmental Quality;
7292  (xvi) executive director, Governor's Office of Economic [Opportunity] Development;
7293  (xvii) executive director, Department of Workforce Services;
7294  (xviii) executive director, Department of Health and Human Services, Nonphysician;
7295  (xix) executive director, Department of Transportation;
7296  (xx) executive director, Department of Veterans and Military Affairs;
7297  (xxi) advisor, Public Lands Policy Coordinating Office, created in Section
7298  63L-11-201;
7299  (xxii) Great Salt Lake commissioner, appointed under Section 73-32-201; and
7300  (xxiii) Utah water agent, appointed under Section 73-10g-702.
7301        (b) "Board or commission executive" means:
7302  (i) members, Board of Pardons and Parole;
7303  (ii) chair, State Tax Commission;
                                                     - 215 -
       H.B. 475  Enrolled Copy
7304  (iii) commissioners, State Tax Commission;
7305  (iv) executive director, State Tax Commission;
7306  (v) chair, Public Service Commission; and
7307  (vi) commissioners, Public Service Commission.
7308  (c) "Deputy" means the person who acts as the appointed executive's second in
7309  command as determined by the Division of Human Resource Management.
7310     (2)(a) The director of the Division of Human Resource Management shall:
7311  (i) before October 31 of each year, recommend to the governor a compensation plan
7312  for the appointed executives and the board or commission executives; and
7313  (ii) base those recommendations on market salary studies conducted by the Division
7314  of Human Resource Management.
7315  (b)(i) The Division of Human Resource Management shall determine the salary range
7316  for the appointed executives by:
7317  (A) identifying the salary range assigned to the appointed executive's deputy;
7318  (B) designating the lowest minimum salary from those deputies' salary ranges as
7319  the minimum salary for the appointed executives' salary range; and
7320  (C) designating 105% of the highest maximum salary range from those deputies'
7321  salary ranges as the maximum salary for the appointed executives' salary range.
7322  (ii) If the deputy is a medical doctor, the Division of Human Resource Management
7323  may not consider that deputy's salary range in designating the salary range for
7324  appointed executives.
7325  (c)(i) Except as provided in Subsection (2)(c)(ii), in establishing the salary ranges for
7326  board or commission executives, the Division of Human Resource Management
7327  shall set the maximum salary in the salary range for each of those positions at
7328  90% of the salary for district judges as established in the annual appropriation act
7329  under Section 67-8-2.
7330  (ii) In establishing the salary ranges for an individual described in Subsection
7331  (1)(b)(ii), (1)(b)(iii), or (1)(b)(iv), the Division of Human Resource Management
7332  shall set the maximum salary in the salary range for each of those positions at
7333  100% of the salary for district judges as established in the annual appropriation act
7334  under Section 67-8-2.
7335     (3)(a)(i) Except as provided in Subsection (3)(a)(ii) or Subsection (3)(d), the
7336  governor shall establish a specific salary for each appointed executive within the
7337  range established under Subsection (2)(b).
                                                      - 216 -
       Enrolled Copy  H.B. 475
7338  (ii) If the executive director of the Department of Health and Human Services is a
7339  physician, the governor shall establish a salary within the highest physician salary
7340  range established by the Division of Human Resource Management.
7341  (iii) The governor may provide salary increases for appointed executives within the
7342  range established by Subsection (2)(b) and identified in Subsection (3)(a)(ii).
7343        (b) The governor shall apply the same overtime regulations applicable to other FLSA
7344  exempt positions.
7345        (c) The governor may develop standards and criteria for reviewing the appointed
7346  executives.
7347        (d) If under Section 73-10g-702 the governor appoints an individual who is serving in an
7348  appointed executive branch position to be the Utah water agent, the governor shall
7349  adjust the salary of the Utah water agent to account for salary received for the
7350  appointed executive branch position.
7351    (4) Salaries for other Schedule A employees, as defined in Section 63A-17-301, that are not
7352        provided for in this chapter, or in Title 67, Chapter 8, Utah Elected Official and Judicial
7353        Salary Act, shall be established as provided in Section 63A-17-301.
7354    (5)(a) The Legislature fixes benefits for the appointed executives and the board or
7355        commission executives as follows:
7356  (i) the option of participating in a state retirement system established by Title 49,
7357  Utah State Retirement and Insurance Benefit Act, or in a deferred compensation
7358  plan administered by the State Retirement Office in accordance with the Internal
7359  Revenue Code and its accompanying rules and regulations;
7360  (ii) health insurance;
7361  (iii) dental insurance;
7362  (iv) basic life insurance;
7363  (v) unemployment compensation;
7364  (vi) workers' compensation;
7365  (vii) required employer contribution to [Social Security] social security;
7366  (viii) long-term disability income insurance;
7367  (ix) the same additional state-paid life insurance available to other noncareer service
7368  employees;
7369  (x) the same severance pay available to other noncareer service employees;
7370  (xi) the same leave, holidays, and allowances granted to Schedule B state employees
7371  as follows:
                                                     - 217 -
       H.B. 475  Enrolled Copy
7372  (A) sick leave;
7373  (B) converted sick leave if accrued prior to January 1, 2014;
7374  (C) educational allowances;
7375  (D) holidays; and
7376  (E) annual leave except that annual leave shall be accrued at the maximum rate
7377  provided to Schedule B state employees;
7378  (xii) the option to convert accumulated sick leave to cash or insurance benefits as
7379  provided by law or rule upon resignation or retirement according to the same
7380  criteria and procedures applied to Schedule B state employees;
7381  (xiii) the option to purchase additional life insurance at group insurance rates
7382  according to the same criteria and procedures applied to Schedule B state
7383  employees; and
7384  (xiv) professional memberships if being a member of the professional organization is
7385  a requirement of the position.
7386  (b) Each department shall pay the cost of additional state-paid life insurance for its
7387  executive director from its existing budget.
7388     (6) The Legislature fixes the following additional benefits:
7389  (a) for the executive director of the Department of Transportation a vehicle for official
7390  and personal use;
7391  (b) for the executive director of the Department of Natural Resources a vehicle for
7392  commute and official use;
7393  (c) for the commissioner of Public Safety:
7394  (i) an accidental death insurance policy if POST certified; and
7395  (ii) a public safety vehicle for official and personal use;
7396  (d) for the executive director of the Department of Corrections:
7397  (i) an accidental death insurance policy if POST certified; and
7398  (ii) a public safety vehicle for official and personal use;
7399  (e) for the adjutant general a vehicle for official and personal use;
7400  (f) for each member of the Board of Pardons and Parole a vehicle for commute and
7401  official use; and
7402  (g) for the executive director of the Department of Veterans and Military Affairs a
7403  vehicle for commute and official use.
7404  Section 113. Section 71A-9-303 is amended to read:
7405  71A-9-303 (Effective 05/06/26). Certain improvements, alterations, and
                                                       - 218 -
       Enrolled Copy  H.B. 475
7406    expansions prohibited.
7407    (1) A person may not begin to develop, or authorize development, on any land on which the
7408        department or the Governor's Office of Economic [Opportunity] Development holds a
7409        lawful easement unless the department or the Governor's Office of Economic [
7410        Opportunity] Development has affirmatively authorized the development of the land.
7411    (2) Nothing in this part prohibits a property owner from improving, altering, or expanding
7412        an existing residential or commercial use of the property owner's property if the
7413        improvement, alteration, or expansion does not violate any conditions of an easement
7414        placed on the property owner's land.
7415  Section 114. Section 72-1-209 is amended to read:
7416  72-1-209 (Effective 05/06/26). Department to cooperate in programs relating to
7417    scenic centers.
7418        The department shall cooperate in planning and promoting road-building programs into
7419    the scenic centers of the state and in providing camping grounds and facilities in scenic centers
7420    for tourists with:
7421    (1) the Governor's Office of Economic [Opportunity] Development;
7422    (2) other states;
7423    (3) all national, state, and local planning and zoning agencies and boards;
7424    (4) municipal and county officials; and
7425    (5) other agencies.
7426  Section 115. Section 72-2-503 is amended to read:
7427  72-2-503 (Effective 05/06/26). Board creation -- Duties -- Grant administration.
7428    (1) There is created the affordable housing infrastructure grant board consisting of the
7429        following members:
7430        (a) the executive director of the department, or the executive director's designee;
7431        (b) the executive director of the Governor's Office of Economic [Opportunity]
7432  Development appointed under Section 63N-1a-302, or the executive director's
7433  designee; and
7434        (c) an employee of the governor's office that is an expert or advisor on housing strategy,
7435  appointed by the governor.
7436    (2)(a) The Governor's Office of Economic [Opportunity] Development shall provide staff
7437        support for the board and the grant program.
7438        (b) The Governor's Office of Economic [Opportunity] Development may use and the
7439  department shall transfer grant funds for the costs of the Governor's Office of
                                                     - 219 -
       H.B. 475  Enrolled Copy
7440  Economic [Opportunity] Development to administer the grant program under this part.
7441  (c) The Governor's Office of Economic [Opportunity] Development and the department
7442  shall enter into a memorandum of understanding to facilitate the calculation and
7443  transfer of funds for the administrative costs described in Subsection (2)(b).
7444     (3) The Governor's Office of Economic [Opportunity] Development, in consultation with
7445  the board, shall develop a process for the prioritization of grant proposals that includes:
7446  (a) instructions on making and submitting a grant proposal;
7447  (b) methodology for selecting grants; and
7448  (c) methodology for awarding grants.
7449     (4) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
7450  Governor's Office of Economic [Opportunity] Development shall make rules to establish
7451  the process described in Subsection (3) and as otherwise necessary to implement this
7452  part.
7453     (5) The board shall:
7454  (a) accept grant applications;
7455  (b) rank grant proposals; and
7456  (c) award grants in accordance with this part.
7457     (6) A grant applicant shall ensure that each grant proposal includes:
7458  (a) information about the proposed project, including the projected number of affordable
7459  housing units, which may not be less than 50 units of affordable housing;
7460  (b) the projected time line of the proposed project;
7461  (c) data and information regarding the proposed types of affordable housing; and
7462  (d) information about the public infrastructure and other improvements needed.
7463     (7)(a) In considering a grant proposal, the board shall consider criteria including:
7464  (i) the value and number of housing units the project will produce;
7465  (ii) the value of any matching contribution from the grant applicant, including
7466  information about how the public entity determined the value of the matching
7467  assets; and
7468  (iii) any other criteria the board determines relevant.
7469  (b) For a grant proposal including highway infrastructure, the board may not award a
7470  grant unless the grant applicant provides a minimum matching contribution of the
7471  right-of-way needed for the highway improvements.
7472  (c) If a grant proposal includes highway infrastructure, the board shall give priority to
7473  the construction of public highways that are highways of regional significance that
                                                       - 220 -
       Enrolled Copy  H.B. 475
7474  connect to other highways or points of regional significance.
7475    (8)(a) Subject to available funding, and subject to Subsection (8)(b), the board may
7476        award a grant to a recipient that the board determines advisable.
7477        (b) For every $20,000 of grant funding awarded to a recipient, the infrastructure shall
7478  support at least one unit of affordable housing.
7479        (c) The board may not award a grant to a recipient if the board determines that the
7480  recipient will not be able to satisfy the requirement under Subsection (8)(b).
7481    (9) If the board approves the award of a grant as provided in this part, the department shall
7482        transfer the money to the grant recipient in accordance with Subsection (10).
7483    (10)(a) Before the department may provide grant money to a public entity for a project
7484        related to a grant awarded by the board, the public entity shall provide a detailed cost
7485        estimate of costs to complete the planning and design of the project.
7486        (b) If the executive director approves the cost estimate described in Subsection (10)(a),
7487  the department may provide to the public entity grant money reasonably necessary to
7488  complete the planning and design of the project.
7489        (c) After completion of the planning and design of a project related to a grant awarded
7490  by the board, the public entity shall provide to the department a detailed estimate of
7491  the costs to construct and complete the project described in Subsection (10)(b).
7492        (d) If the executive director approves the cost estimates described in Subsection (10)(c),
7493  the department may provide grant money to a public entity to construct and complete
7494  the project described in Subsection (10)(b).
7495  Section 116. Section 72-4-302 is amended to read:
7496  72-4-302 (Effective 05/06/26) (Repealed 01/02/30). Utah State Scenic Byway
7497    Committee -- Creation -- Membership -- Meetings -- Expenses.
7498    (1) There is created the Utah State Scenic Byway Committee.
7499    (2)(a) The committee shall consist of the following 13 members:
7500  (i) a representative from each of the following entities appointed by the governor:
7501  (A) the Governor's Office of Economic [Opportunity] Development;
7502  (B) the Utah Department of Transportation;
7503  (C) the Department of Cultural and Community Engagement;
7504  (D) the Division of State Parks;
7505  (E) the Federal Highway Administration;
7506  (F) the National Park Service;
7507  (G) the National Forest Service; and
                                                     - 221 -
       H.B. 475  Enrolled Copy
7508  (H) the Bureau of Land Management;
7509  (ii) one local government tourism representative appointed by the governor;
7510  (iii) a representative from the private business sector appointed by the governor; and
7511  (iv) three local elected officials from a county, city, or town within the state
7512  appointed by the governor.
7513  (b) Except as provided in Subsection (2)(c), the members appointed in this Subsection
7514  (2) shall be appointed for a four-year term of office.
7515  (c) The governor shall, at the time of appointment or reappointment for appointments
7516  made under Subsection (2)(a)(i), (ii), (iii), or (iv) adjust the length of terms to ensure
7517  that the terms of committee members are staggered so that approximately half of the
7518  committee is appointed every two years.
7519     (3)(a) The representative from the Governor's Office of Economic [Opportunity]
7520  Development shall chair the committee.
7521  (b) The members appointed under Subsections (2)(a)(i)(E) through (H) serve as
7522  nonvoting, ex officio members of the committee.
7523     (4) The Governor's Office of Economic [Opportunity] Development and the department
7524  shall provide staff support to the committee.
7525     (5)(a) The chair may call a meeting of the committee only with the concurrence of the
7526  department.
7527  (b) A majority of the voting members of the committee constitute a quorum.
7528  (c) Action by a majority vote of a quorum of the committee constitutes action by the
7529  committee.
7530     (6) A member may not receive compensation or benefits for the member's service, but may
7531  receive per diem and travel expenses as allowed in:
7532  (a) Section 63A-3-106;
7533  (b) Section 63A-3-107; and
7534  (c) rules made by the Division of Finance according to Sections 63A-3-106 and
7535  63A-3-107.
7536  Section 117. Section 72-7-504 is amended to read:
7537  72-7-504 (Effective 05/06/26). Advertising prohibited near interstate or primary
7538     system -- Exceptions -- Logo advertising -- Department rules.
7539     (1) As used in this section, "specific service trailblazer sign" means a guide sign that
7540  provides users with business identification or directional information for services and
7541  eligible activities that are advertised on a logo advertising sign authorized under
                                                        - 222 -
       Enrolled Copy  H.B. 475
7542        Subsection (3)(a)(i).
7543    (2) Outdoor advertising that is capable of being read or comprehended from any place on
7544        the main-traveled way of an interstate or primary system may not be erected or
7545        maintained, except:
7546        (a) directional and other official signs and notices authorized or required by law,
7547  including signs and notices pertaining to natural wonders and scenic and historic
7548  attractions, informational or directional signs regarding utility service, emergency
7549  telephone signs, buried or underground utility markers, and above ground utility
7550  closure signs;
7551        (b) on-premise signs advertising the sale or lease of property upon which the on-premise
7552  signs are located;
7553        (c) on-premise signs advertising major activities conducted on the property where the
7554  on-premise signs are located;
7555        (d) public assembly facility signs;
7556        (e) unified commercial development signs that have received a waiver as described in
7557  Section 72-7-504.6;
7558        (f) signs located in a commercial or industrial zone;
7559        (g) signs located in unzoned industrial or commercial areas as determined from actual
7560  land uses; and
7561        (h) logo advertising under Subsection (3).
7562    (3)(a) The department may itself or by contract erect, administer, and maintain
7563        informational signs:
7564  (i) on the main-traveled way of an interstate or primary system, as it existed on June
7565  1, 1991, specific service signs for the display of logo advertising and information
7566  of interest, excluding specific service trailblazer signs as defined in rules adopted
7567  in accordance with Section 41-6a-301, to the traveling public if:
7568  (A) the department complies with Title 63G, Chapter 6a, Utah Procurement Code,
7569  in the lease or other contract agreement with a private party for the sign or sign
7570  space; and
7571  (B) the private party for the lease of the sign or sign space pays an amount set by
7572  the department to be paid to the department or the party under contract with the
7573  department under this Subsection (3); and
7574  (ii) only on rural conventional roads as defined in rules adopted in accordance with
7575  Section 41-6a-301 in a county of the fourth, fifth, or sixth class for tourist-oriented
                                                     - 223 -
       H.B. 475  Enrolled Copy
7576  directional signs that display logo advertising and information of interest to the
7577  traveling public if:
7578  (A) the department complies with Title 63G, Chapter 6a, Utah Procurement Code,
7579  in the lease or other contract agreement with a private party for the
7580  tourist-oriented directional sign or sign space; and
7581  (B) the private party for the lease of the sign or sign space pays an amount set by
7582  the department to be paid to the department or the party under contract with the
7583  department under this Subsection (3).
7584  (b) The amount shall be sufficient to cover the costs of erecting, administering, and
7585  maintaining the signs or sign spaces.
7586  (c)(i) Any sign erected pursuant to this Subsection (3) which was existing as of
7587  March 1, 2015, shall be permitted as if it were in compliance with this Subsection
7588  (3).
7589  (ii) A noncompliant sign shall only be permitted for the contract period of the
7590  advertising contract.
7591  (iii) A new advertising contract may not be issued for a noncompliant sign.
7592  (d) The department may consult the Governor's Office of Economic [Opportunity]
7593  Development in carrying out this Subsection (3).
7594     (4)(a) Revenue generated under Subsection (3) shall be:
7595  (i) applied first to cover department costs under Subsection (3); and
7596  (ii) deposited into the Transportation Fund.
7597  (b) Revenue in excess of costs under Subsection (3)(a) shall be deposited into the
7598  General Fund as a dedicated credit for use by the Governor's Office of Economic [
7599  Opportunity] Development no later than the following fiscal year.
7600     (5) Outdoor advertising under Subsections (2)(a), (f), (g), and (h) shall conform to the rules
7601  made by the department under Sections 72-7-506 and 72-7-507.
7602  Section 118. Section 79-6-902 is amended to read:
7603  79-6-902 (Effective 05/06/26). Utah Energy Infrastructure Board.
7604     (1) There is created within the office the Utah Energy Infrastructure Board that consists of
7605  nine members as follows:
7606  (a) subject to Subsection (2), members appointed by the governor:
7607  (i) the director of the Office of Energy Development, who shall serve as chair of the
7608  board;
7609  (ii) one member from the Governor's Office of Economic [Opportunity] Development;
                                                         - 224 -
       Enrolled Copy  H.B. 475
7610  (iii) one member from a public utility or electric interlocal entity that operates electric
7611  transmission facilities within the state;
7612  (iv) one member who resides within a county of the third, fourth, fifth, or sixth class,
7613  as classified under Section 17-60-104, with relevant experience in an energy or
7614  extraction industry;
7615  (v) one member currently serving as county commissioner of a county of the third,
7616  fourth, fifth, or sixth class, as classified under Section 17-60-104; and
7617  (vi) two members of the general public with relevant industry experience;
7618        (b) one member appointed jointly by the Utah Farm Bureau Federation, the Utah
7619  Manufacturer's Association, the Utah Mining Association, and the Utah Petroleum
7620  Association; and
7621        (c) the director of the School and Institutional Trust Lands Administration created in
7622  Section 53C-1-201.
7623    (2) The governor shall consult with the president of the Senate and the speaker of the House
7624        of Representatives in appointing the members described in Subsections (1)(a)(iii)
7625        through (vi).
7626    (3)(a) The term of an appointed board member is four years.
7627        (b) Notwithstanding Subsection (3)(a), the governor shall, at the time of appointment or
7628  reappointment, adjust the length of terms to ensure that the terms of board members
7629  are staggered so that approximately half of the board is appointed every two years.
7630        (c) The governor may remove a member of the board for cause.
7631        (d) The governor shall fill a vacancy in the board in the same manner under this section
7632  as the appointment of the member whose vacancy is being filled.
7633        (e) An individual appointed to fill a vacancy shall serve the remaining unexpired term of
7634  the member whose vacancy the individual is filling.
7635        (f) A board member shall serve until a successor is appointed and qualified.
7636    (4)(a) Five members of the board constitute a quorum for conducting board business.
7637        (b) A majority vote of the quorum present is required for an action to be taken by the
7638  board.
7639    (5) The board shall meet as needed to review an application.
7640    (6) A member may not receive compensation or benefits for the member's service, but may
7641        receive per diem and travel expenses in accordance with:
7642        (a) Section 63A-3-106;
7643        (b) Section 63A-3-107; and
                                                     - 225 -
       H.B. 475  Enrolled Copy
7644  (c) rules made by the Division of Finance pursuant to Sections 63A-3-106 and
7645  63A-3-107.
7646  Section 119. Section 79-7-203 is amended to read:
7647  79-7-203 (Effective 05/06/26). Powers and duties of division.
7648     (1) As used in this section, "real property" includes land under water, upland, and all other
7649  property commonly or legally defined as real property.
7650     (2) The Division of Wildlife Resources shall retain the power and jurisdiction conferred
7651  upon the Division of Wildlife Resources by law on property controlled by the division
7652  with reference to fish and game.
7653     (3) For purposes of property controlled by the division, the division shall permit multiple
7654  uses of the property for purposes such as grazing, fishing, hunting, camping, mining, and
7655  the development and use of water and other natural resources.
7656     (4)(a) The division may acquire real and personal property in the name of the state by
7657  legal and proper means, including purchase, gift, devise, eminent domain, lease,
7658  exchange, or otherwise, subject to the approval of the executive director and the
7659  governor.
7660  (b) In acquiring real or personal property, the credit of the state may not be pledged
7661  without the consent of the Legislature.
7662     (5)(a) Before acquiring any real property, the division shall notify the county legislative
7663  body of the county where the property is situated of the division's intention to acquire
7664  the property.
7665  (b) If the county legislative body requests a hearing within 10 days of receipt of the
7666  notice, the division shall hold a public hearing in the county concerning the matter.
7667     (6) Acceptance of gifts or devises of land or other property is at the discretion of the
7668  division, subject to the approval of the executive director and the governor.
7669     (7) The division shall acquire property by eminent domain in the manner authorized by
7670  Title 78B, Chapter 6, Part 5, Eminent Domain.
7671     (8)(a) The division may make charges for special services and use of facilities, the
7672  income from which is available for recreation purposes.
7673  (b) The division may conduct and operate those services necessary for the comfort and
7674  convenience of the public.
7675     (9)(a) The division may lease or rent concessions of lawful kinds and nature on property
7676  to persons, partnerships, and corporations for a valuable consideration after notifying
7677  the commission.
                                                      - 226 -
       Enrolled Copy  H.B. 475
7678        (b) The division shall comply with Title 63G, Chapter 6a, Utah Procurement Code, in
7679  selecting concessionaires.
7680    (10) The division shall proceed without delay to negotiate with the federal government
7681        concerning the Weber Basin and other recreation and reclamation projects.
7682    (11)(a) The division shall coordinate with and annually report to the following regarding
7683        land acquisition and development and grants administered under this chapter or
7684        Chapter 8, Outdoor Recreation Grants:
7685  (i) the Division of State Parks; and
7686  (ii) the [Office of] Center for Rural Development created in Section 63N-4-102.
7687        (b) The report required under Subsection (11)(a) shall be in writing, made public, and
7688  include a description and the amount of any grant awarded under this chapter or
7689  Chapter 8, Outdoor Recreation Grants.
7690    (12) The division shall:
7691        (a) coordinate outdoor recreation policy, management, and promotion:
7692  (i) among state and federal agencies and local government entities in the state;
7693  (ii) with the Public Lands Policy Coordinating Office created in Section 63L-11-201,
7694  if public land is involved; and
7695  (iii) on at least a quarterly basis, with the executive director and the executive
7696  director of the Governor's Office of Economic [Opportunity] Development;
7697        (b) in cooperation with the Governor's Office of Economic [Opportunity] Development,
7698  promote economic development in the state by:
7699  (i) coordinating with outdoor recreation stakeholders;
7700  (ii) improving recreational opportunities; and
7701  (iii) recruiting outdoor recreation business;
7702        (c) administer Chapter 9, Mitigating the Direct Impacts of Tourism and Outdoor
7703  Recreation;
7704        (d) promote all forms of outdoor recreation, including motorized and nonmotorized
7705  outdoor recreation;
7706        (e) recommend to the governor and Legislature policies and initiatives to enhance
7707  recreational amenities and experiences in the state and help implement those policies
7708  and initiatives;
7709        (f) in performing the division's duties, seek to ensure safe and adequate access to
7710  outdoor recreation for all user groups and for all forms of recreation;
7711        (g) develop data regarding the impacts of outdoor recreation in the state; and
                                                       - 227 -
       H.B. 475  Enrolled Copy
7712  (h) promote the health and social benefits of outdoor recreation, especially to young
7713  people.
7714     (13) By following Title 63J, Chapter 5, Federal Funds Procedures Act, the division may:
7715  (a) seek federal grants or loans;
7716  (b) seek to participate in federal programs; and
7717  (c) in accordance with applicable federal program guidelines, administer federally
7718  funded outdoor recreation programs.
7719  Section 120. Effective Date.
7720     (1) Except as provided in Subsection (2), this bill takes effect May 6, 2026.
7721     (2) The actions affecting Section 63N-2-512 (Effective 07/01/26) (Repealed 07/01/28) take
7722  effect on July 1, 2026.
7723  Section 121. Coordinating H.B. 475 with other 2026 General Session legislation.
7724     The Legislature intends that all references to the term "GOEO" change to "GOED" and
7725     all references to the term "Governor's Office of Economic Opportunity" change to "Governor's
7726     Office of Economic Development" in any new language added to the Utah Code by legislation
7727     that passes in the 2026 General Session and becomes law.
                                                     - 228 -