Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 67 (2015GS)

Sponsor

Sen. Weiler, T.

Final action

Governor Signed 3/26/2015

Outcome

Became law — signed by Gov. Gary R. Herbert

Summary

What it does

• This bill:
• renumbers and amends the Utah Housing Corporation Act from the Workforce Services Code to the Independent State Entities title;
• repeals surety bond requirements for a trustee and the president of the Utah Housing Corporation;
• repeals provisions requiring that each trustee of the corporation maintain a surety bond;
• amends certain corporation powers and duties;
• allows the corporation to delegate by resolution certain approval to its officers regarding notes or bonds;
• amends security interest provisions;
• allows the corporation to sell mortgage loans;
• repeals provisions allowing the corporation to create capital reserve funds; and
• makes technical changes.

Every vote on this bill

Bill text

UTAH HOUSING CORPORATION ACT AMENDMENTS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Todd Weiler
House Sponsor: 
Mike K. McKell
LONG TITLE
General Description:
This bill modifies the Utah Housing Corporation Act and moves the act to Title 63H,
Independent State Entities.
Highlighted Provisions:
This bill:
▸ renumbers and amends the Utah Housing Corporation Act from the Workforce
Services Code to the Independent State Entities title;
▸ repeals surety bond requirements for a trustee and the president of the Utah Housing
Corporation;
▸ repeals provisions requiring that each trustee of the corporation maintain a surety
bond;
▸ amends certain corporation powers and duties;
▸ allows the corporation to delegate by resolution certain approval to its officers
regarding notes or bonds;
▸ amends security interest provisions;
▸ allows the corporation to sell mortgage loans;
▸ repeals provisions allowing the corporation to create capital reserve funds; and
▸ makes technical changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
61-2c-105
, as last amended by Laws of Utah 2012, Chapter 212
63A-3-402
, as last amended by Laws of Utah 2014, Chapters 64 and 185
63E-1-102
, as last amended by Laws of Utah 2014, Chapters 320, 426, and 426
63E-1-203
, as last amended by Laws of Utah 2012, Chapter 212
63I-1-235
, as last amended by Laws of Utah 2014, Chapter 127
63I-1-263
, as last amended by Laws of Utah 2014, Chapters 113, 189, 195, 211, 419,
429, and 435
63I-4a-102
, as last amended by Laws of Utah 2014, Chapter 320
63J-7-102
, as last amended by Laws of Utah 2014, Chapter 320
RENUMBERS AND AMENDS:
63H-8-101
, (Renumbered from 35A-8-701, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-102
, (Renumbered from 35A-8-702, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-103
, (Renumbered from 35A-8-703, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-201
, (Renumbered from 35A-8-704, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-202
, (Renumbered from 35A-8-705, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-203
, (Renumbered from 35A-8-706, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-204
, (Renumbered from 35A-8-707, as last amended by Laws of Utah 2012,
Chapter 347 and renumbered and amended by Laws of Utah 2012, Chapter 212)
63H-8-205
, (Renumbered from 35A-8-708, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-206
, (Renumbered from 35A-8-709, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-301
, (Renumbered from 35A-8-711, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-302
, (Renumbered from 35A-8-712, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-303
, (Renumbered from 35A-8-713, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-304
, (Renumbered from 35A-8-714, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-401
, (Renumbered from 35A-8-716, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-402
, (Renumbered from 35A-8-717, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-403
, (Renumbered from 35A-8-718, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-404
, (Renumbered from 35A-8-719, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-405
, (Renumbered from 35A-8-720, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-406
, (Renumbered from 35A-8-721, as last amended by Laws of Utah 2014,
Chapter 371)
63H-8-407
, (Renumbered from 35A-8-722, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-408
, (Renumbered from 35A-8-723, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-409
, (Renumbered from 35A-8-724, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-410
, (Renumbered from 35A-8-725, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
63H-8-411
, (Renumbered from 35A-8-726, as renumbered and amended by Laws of
Utah 2012, Chapter 212)
REPEALS:
35A-8-710
, as renumbered and amended by Laws of Utah 2012, Chapter 212
35A-8-715
, as renumbered and amended by Laws of Utah 2012, Chapter 212
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
61-2c-105
 is amended to read:
61-2c-105.
Scope of chapter -- Exemptions.
(1) (a) Except as to an individual who will engage in an activity as a mortgage loan
originator, this chapter applies to a closed-end residential mortgage loan secured by a first lien
or equivalent security interest on a dwelling.
(b) This chapter does not apply to a transaction covered by Title 70C, Utah Consumer
Credit Code.
(2) The following are exempt from this chapter:
(a) the federal government;
(b) a state;
(c) a political subdivision of a state;
(d) an agency of or entity created by a governmental entity described in Subsections
(2)(a) through (c) including:
(i) the Utah Housing Corporation created in [
Title 35A, Chapter 8, Part 7, Utah
Housing Corporation Act
] 
Section 
63H-8-201
;
(ii) the Federal National Mortgage Corporation;
(iii) the Federal Home Loan Mortgage Corporation;
(iv) the Federal Deposit Insurance Corporation;
(v) the Resolution Trust Corporation;
(vi) the Government National Mortgage Association;
(vii) the Federal Housing Administration;
(viii) the National Credit Union Administration;
(ix) the Farmers Home Administration; and
(x) the United States Department of Veterans Affairs;
(e) a depository institution;
(f) an entity that controls, is controlled by, or is under common control with a
depository institution;
(g) an employee or agent of an entity described in Subsections (2)(a) through (f):
(i) when that person acts on behalf of the entity described in Subsections (2)(a) through
(f); and
(ii) including an employee of:
(A) a depository institution;
(B) a subsidiary of a depository institution that is:
(I) owned and controlled by the depository institution; and
(II) regulated by a federal banking agency, as defined in 12 U.S.C. Sec. 5102; or
(C) an institution regulated by the Farm Credit Administration;
(h) except as provided in Subsection (3), a person who:
(i) makes a loan:
(A) secured by an interest in real property;
(B) with the person's own money; and
(C) for the person's own investment; and
(ii) that does not engage in the business of making loans secured by an interest in real
property;
(i) except as provided in Subsection (3), a person who receives a mortgage, deed of
trust, or consensual security interest on real property if the individual or entity:
(i) is the seller of real property; and
(ii) receives the mortgage, deed of trust, or consensual security interest on real property
as security for a separate money obligation;
(j) a person who receives a mortgage, deed of trust, or consensual security interest on
real property if:
(i) the person receives the mortgage, deed of trust, or consensual security interest as
security for an obligation payable on an installment or deferred payment basis;
(ii) the obligation described in Subsection (2)(j)(i) arises from a person providing
materials or services used in the improvement of the real property that is the subject of the
mortgage, deed of trust, or consensual security interest; and
(iii) the mortgage, deed of trust, or consensual security interest is created without the
consent of the owner of the real property that is the subject of the mortgage, deed of trust, or
consensual security interest;
(k) a nonprofit corporation that:
(i) is exempt from paying federal income taxes;
(ii) is certified by the United States Small Business Administration as a small business
investment company;
(iii) is organized to promote economic development in this state; and
(iv) has as its primary activity providing financing for business expansion;
(l) except as provided in Subsection (3), a court appointed fiduciary; or
(m) an attorney admitted to practice law in this state:
(i) if the attorney is not principally engaged in the business of negotiating residential
mortgage loans when considering the attorney's ordinary practice as a whole for all the
attorney's clients; and
(ii) when the attorney engages in loan modification assistance in the course of the
attorney's practice as an attorney.
(3) An individual who will engage in an activity as a mortgage loan originator is
exempt from this chapter only if the individual is an employee or agent exempt under
Subsection (2)(g).
(4) (a) Notwithstanding Subsection (2)(m), an attorney exempt from this chapter may
not engage in conduct described in Section 
61-2c-301
 when transacting business of residential
mortgage loans.
(b) If an attorney exempt from this chapter violates Subsection (4)(a), the attorney:
(i) is not subject to enforcement by the division under Part 4, Enforcement; and
(ii) may be subject to disciplinary action generally applicable to an attorney admitted to
practice law in this state.
(c) If the division receives a complaint alleging an attorney exempt from this chapter is
in violation of Subsection (4)(a) or that an attorney subject to this chapter has violated this
chapter, the division shall forward the complaint to the Utah State Bar for disciplinary action.
(5) (a) An individual who is exempt under Subsection (2) or (3) may voluntarily obtain
a license under this chapter by complying with Part 2, Licensure.
(b) An individual who voluntarily obtains a license [
pursuant to
] 
under
 this Subsection
(5) shall comply with all the provisions of this chapter.
Section 2. Section 
63A-3-402
 is amended to read:
63A-3-402.
Utah Public Finance Website -- Establishment and administration --
Records disclosure -- Exceptions.
(1) There is created the Utah Public Finance Website to be administered by the
Division of Finance with the technical assistance of the Department of Technology Services.
(2) The Utah Public Finance Website shall:
(a) permit Utah taxpayers to:
(i) view, understand, and track the use of taxpayer dollars by making public financial
information available on the Internet for participating state entities, independent entities, and
participating local entities, using the Utah Public Finance Website; and
(ii) link to websites administered by participating local entities or independent entities
that do not use the Utah Public Finance Website for the purpose of providing participating
local entities' or independent entities' public financial information as required by this part and
by rule under Section 
63A-3-404
;
(b) allow a person who has Internet access to use the website without paying a fee;
(c) allow the public to search public financial information on the Utah Public Finance
Website using criteria established by the board;
(d) provide access to financial reports, financial audits, budgets, or other financial
documents that are used to allocate, appropriate, spend, and account for government funds, as
may be established by rule under Section 
63A-3-404
;
(e) have a unique and simplified website address;
(f) be directly accessible via a link from the main page of the official state website;
(g) include other links, features, or functionality that will assist the public in obtaining
and reviewing public financial information, as may be established by rule under Section
63A-3-404
; and
(h) include a link to school report cards published on the State Board of Education's
website [
pursuant to
] 
under
 Section 
53A-1-1112
.
(3) The division shall:
(a) establish and maintain the website, including the provision of equipment, resources,
and personnel as necessary;
(b) maintain an archive of all information posted to the website;
(c) coordinate and process the receipt and posting of public financial information from
participating state entities;
(d) coordinate and regulate the posting of public financial information by participating
local entities and independent entities; and
(e) provide staff support for the advisory committee.
(4) (a) A participating state entity and each independent entity shall permit the public
to view the entity's public financial information via the website, beginning with information
that is generated not later than the fiscal year that begins July 1, 2008, except that public
financial information for an:
(i) institution of higher education shall be provided beginning with information
generated for the fiscal year beginning July 1, 2009; and
(ii) independent entity shall be provided beginning with information generated for the
entity's fiscal year beginning in 2014.
(b) No later than May 15, 2009, the website shall:
(i) be operational; and
(ii) permit public access to participating state entities' public financial information,
except as provided in Subsections (4)(c) and (d).
(c) An institution of higher education that is a participating state entity shall submit the
entity's public financial information at a time allowing for inclusion on the website no later
than May 15, 2010.
(d) No later than the first full quarter after July 1, 2014, an independent entity shall
submit the entity's public financial information for inclusion on the Utah Public Finance
Website or via a link to its own website on the Utah Public Finance Website.
(5) (a) The Utah Educational Savings Plan, created in Section 
53B-8a-103
, shall
provide the following financial information to the division for posting on the Utah Public
Finance Website:
(i) administrative fund expense transactions from its general ledger accounting system;
and
(ii) employee compensation information.
(b) The plan is not required to submit other financial information to the division,
including:
(i) revenue transactions;
(ii) account owner transactions; and
(iii) fiduciary or commercial information, as defined in Section 
53B-12-102
.
(6) (a) The following independent entities shall each provide administrative expense
transactions from its general ledger accounting system and employee compensation
information to the division for posting on the Utah Public Finance Website or via a link to a
website administered by the independent entity:
(i) the Utah Capital Investment Corporation, created in Section 
63M-1-1207
;
(ii) the Utah Housing Corporation, created in Section [
35A-8-704
] 
63H-8-201
; and
(iii) the School and Institutional Trust Lands Administration, created in Section
53C-1-201
.
(b) For purposes of this part, an independent entity described in Subsection (6)(a) is not
required to submit to the division, or provide a link to, other financial information, including:
(i) revenue transactions of a fund or account created in its enabling statute;
(ii) fiduciary or commercial information related to any subject if the disclosure of the
information:
(A) would conflict with fiduciary obligations; or
(B) is prohibited by insider trading provisions;
(iii) information of a commercial nature, including information related to:
(A) account owners, borrowers, and dependents;
(B) demographic data;
(C) contracts and related payments;
(D) negotiations;
(E) proposals or bids;
(F) investments;
(G) the investment and management of funds;
(H) fees and charges;
(I) plan and program design;
(J) investment options and underlying investments offered to account owners;
(K) marketing and outreach efforts;
(L) lending criteria;
(M) the structure and terms of bonding; and
(N) financial plans or strategies; and
(iv) information protected from public disclosure by federal law.
(7) (a) As used in this Subsection (7):
(i) "Local education agency" means a school district or a charter school.
(ii) "New school building project" means the construction of a school that did not
previously exist in a local education agency.
(iii) "Significant school remodel" means the upgrading, changing, alteration,
refurbishment, modification, or complete substitution of an existing school in a local education
agency with a project cost equal to or in excess of $2,000,000.
(b) For each new school building project or significant school remodel, the local
education agency shall:
(i) prepare an annual school plant capital outlay report; and
(ii) submit the report:
(A) to the division for publication on the Utah Public Finance Website; and
(B) in a format, including any raw data or electronic formatting, prescribed by
applicable division policy.
(c) The local education agency shall include in the capital outlay report described in
Subsection (7)(b)(i) the following information as applicable to each new school building
project or significant school remodel:
(i) the name and location of the project or remodel;
(ii) construction and design costs, including:
(A) the purchase price or lease terms of any real property acquired or leased for the
project or remodel;
(B) facility construction;
(C) facility and landscape design;
(D) applicable impact fees; and
(E) furnishings and equipment;
(iii) the gross square footage of the project or remodel;
(iv) the year construction was completed; and
(v) the final student capacity of the new school building project or, for a significant
school remodel, the increase or decrease in student capacity created by the remodel.
(d) (i) For a cost, fee, or other expense required to be reported under Subsection (7)(c),
the local education agency shall report the actual cost, fee, or other expense.
(ii) The division may require that a local education agency provide further itemized
data on information listed in Subsection (7)(c).
(e) (i) No later than May 15, 2015, a local education agency shall provide the division a
school plant capital outlay report for each new school building project and significant school
remodel completed on or after July 1, 2004, and before May 13, 2014.
(ii) For a new school building project or significant school remodel completed after
May 13, 2014, the local education agency shall provide the school plant capital outlay report
described in this Subsection (7) to the division annually by a date designated by the division.
(8) A person who negligently discloses a record that is classified as private, protected,
or controlled by Title 63G, Chapter 2, Government Records Access and Management Act, is
not criminally or civilly liable for an improper disclosure of the record if the record is disclosed
solely as a result of the preparation or publication of the Utah Public Finance Website.
Section 3. Section 
63E-1-102
 is amended to read:
63E-1-102.
Definitions -- List of independent entities.
As used in this title:
(1) "Authorizing statute" means the statute creating an entity as an independent entity.
(2) "Committee" means the Retirement and Independent Entities Committee created by
Section 
63E-1-201
.
(3) "Independent corporation" means a corporation incorporated in accordance with
Chapter 2, Independent Corporations Act.
(4) (a) "Independent entity" means an entity having a public purpose relating to the
state or its citizens that is individually created by the state or is given by the state the right to
exist and conduct its affairs as an:
(i) independent state agency; or
(ii) independent corporation.
(b) "Independent entity" includes the:
(i) Utah Dairy Commission created by Section 
4-22-2
;
(ii) Heber Valley Historic Railroad Authority created by Section 
63H-4-102
;
(iii) Utah State Railroad Museum Authority created by Section 
63H-5-102
;
(iv) Utah Science Center Authority created by Section 
63H-3-103
;
(v) Utah Housing Corporation created by Section [
35A-8-704
] 
63H-8-201
;
(vi) Utah State Fair Corporation created by Section 
63H-6-103
;
(vii) Workers' Compensation Fund created by Section 
31A-33-102
;
(viii) Utah State Retirement Office created by Section 
49-11-201
;
(ix) School and Institutional Trust Lands Administration created by Section
53C-1-201
;
(x) School and Institutional Trust Fund Office created by Section 
53D-1-201
;
(xi) Utah Communications Authority created in Section 
63H-7-201
;
(xii) Utah Energy Infrastructure Authority created by Section 
63H-2-201
;
(xiii) Utah Capital Investment Corporation created by Section 
63M-1-1207
; and
(xiv) Military Installation Development Authority created by Section 
63H-1-201
.
(c) Notwithstanding this Subsection (4), "independent entity" does not include:
(i) the Public Service Commission of Utah created by Section 
54-1-1
;
(ii) an institution within the state system of higher education;
(iii) a city, county, or town;
(iv) a local school district;
(v) a local district under Title 17B, Limited Purpose Local Government Entities - Local
Districts; or
(vi) a special service district under Title 17D, Chapter 1, Special Service District Act.
(5) "Independent state agency" means an entity that is created by the state, but is
independent of the governor's direct supervisory control.
(6) "Money held in trust" means money maintained for the benefit of:
(a) one or more private individuals, including public employees;
(b) one or more public or private entities; or
(c) the owners of a quasi-public corporation.
(7) "Public corporation" means an artificial person, public in ownership, individually
created by the state as a body politic and corporate for the administration of a public purpose
relating to the state or its citizens.
(8) "Quasi-public corporation" means an artificial person, private in ownership,
individually created as a corporation by the state which has accepted from the state the grant of
a franchise or contract involving the performance of a public purpose relating to the state or its
citizens.
Section 4. Section 
63E-1-203
 is amended to read:
63E-1-203.
Exemptions from committee activities.
Notwithstanding the other provisions of this Part 2 and Subsection 
63E-1-102
(4), the
following independent entities are exempt from the study by the committee under Section
63E-1-202
:
(1) the Workers' Compensation Fund created in Title 31A, Chapter 33, Workers'
Compensation Fund; and
(2) the Utah Housing Corporation created in [
Title 35A, Chapter 8, Part 7, Utah
Housing Corporation Act
] 
Section 
63H-8-201
.
Section 5. Section 
63H-8-101
, which is renumbered from Section 35A-8-701 is
renumbered and amended to read:
CHAPTER 8. UTAH HOUSING CORPORATION ACT
Part 1. General Provisions
[
35A-8-701
].
 63H-8-101.
Title.
This [
part
] 
chapter
 is known as the "Utah Housing Corporation Act."
Section 6. Section 
63H-8-102
, which is renumbered from Section 35A-8-702 is
renumbered and amended to read:
[
35A-8-702
].
 63H-8-102.
Policy -- Finding and declaration.
(1) The Legislature declares that the policy of the state is to assure the health, safety,
and welfare of its citizens, that an adequate supply of decent, safe, and sanitary housing is
essential to the well-being of the citizens of the state, and that an adequate supply of mortgage
funds for housing at reasonable interest rates is in the public interest.
(2) The Legislature finds and declares that:
(a) there continues to exist throughout the state a seriously inadequate supply of safe
and sanitary dwelling accommodations within the financial means of persons and families of
low or moderate income who wish to purchase or rent residential housing;
(b) from time to time the high rates of interest charged by mortgage lenders seriously
restrict the transfer of existing housing and new housing starts;
(c) the reduction in residential construction starts associated with the high rates causes
a condition of substantial unemployment and underemployment in the construction industry
which impedes the economy of the state and affects the welfare and prosperity of all the people
of the state;
(d) these conditions associated with the recurrent shortages of residential mortgage
funds contribute to slums and blight in the cities and rural areas of the state and ultimately to
the deterioration of the quality of living conditions within the state;
(e) in accordance with the purpose of this [
part
] 
chapter
 to assist in providing housing
for low and moderate income persons who otherwise could not achieve decent, safe, and
sanitary housing, the [
agency
] 
corporation
 shall make every effort to make housing available in
rural, inner city, and other areas experiencing difficulty in securing construction and mortgage
loans, and to make decent, safe, and sanitary housing available to low income persons and
families;
(f) in order to assure an adequate [
fund
] 
supply
 of private capital [
into
] 
for
 this
housing, the cooperation between private enterprise and state government is essential and is in
the public interest;
(g) low and moderate income persons in Utah have a wide range of housing needs,
which necessitates the development of many different kinds of programs to address those
needs, including programs providing mortgage loans, nontraditional loans, grants, and other
forms of financial assistance, and combinations of these forms;
(h) there are private organizations and governmental entities throughout Utah that are
endeavoring to improve the availability of housing for low and moderate income 
persons and
families
, but many of these organizations and entities lack expertise and financial resources to
act efficiently and expeditiously in these efforts;
(i) innovative programs that bring together resources from the public, nonprofit, and
private sector are necessary in order to increase the supply of housing for low and moderate
[
individuals
] 
income persons and families
, but these programs usually need advice and
financial assistance to become established;
(j) all of the foregoing are public purposes and uses for which money may be
borrowed, expended, advanced, loaned, or granted, and that these activities serve a public
purpose in improving or otherwise benefiting the people of this state, and that the necessity of
enacting the provisions in this [
part
] 
chapter
 is in the public interest and is so declared as a
matter of express legislative determination; and
(k) the compelling need within the state for the creation of an adequate supply of
mortgage funds at reasonable interest rates and for other kinds of financial assistance to help
provide affordable housing for low and moderate income individuals can be best met by the
establishment of an independent body corporate and politic, constituting a public corporation,
vested with the powers and duties specified in this [
part
] 
chapter
.
(3) The Legislature declares that the corporation is intended to operate:
(a) with the power to issue tax exempt bonds to finance the purchase of mortgage loans
to qualified buyers;
(b) as a financially independent body; and
(c) so that its debts shall be payable solely from payments received by the corporation
from mortgage borrowers and other revenues generated internally by the corporation.
Section 7. Section 
63H-8-103
, which is renumbered from Section 35A-8-703 is
renumbered and amended to read:
[
35A-8-703
].
 63H-8-103.
Definitions.
As used in this [
part the following words and terms have the following meanings,
unless a different meaning clearly appears from the context
] 
chapter
:
(1) "Bonds," "notes," and "other obligations" mean [
any
] bonds, notes, debentures,
interim certificates, or other evidences of financial indebtedness of the corporation authorized
to be issued under the provisions of this [
part
] 
chapter
.
(2) "Construction loan" means a short-term advance of money for the purpose of
constructing residential housing for low and moderate income persons.
(3) "Corporation" means the Utah Housing Corporation created by Section
[
35A-8-704
] 
63H-8-201
, which, prior to July 1, 2001, was named the Utah Housing Finance
Agency.
(4) "Employee of the corporation" means an individual who is employed by the
corporation but who is not a trustee of the corporation.
(5) "Financial assistance" includes:
(a) a loan, whether interest or noninterest bearing, secured or unsecured;
(b) a loan that converts to a grant upon the occurrence of specified conditions;
(c) a development loan;
(d) a grant;
(e) an award;
(f) a subsidy;
(g) a guarantee;
(h) a warranty;
(i) a lease;
(j) a payment on behalf of a borrower of an amount usually paid by a borrower,
including a down payment;
(k) any other form of financial assistance that helps provide affordable housing for low
and moderate income persons; or
(l) any combination of Subsections (5)(a) through (k).
(6) "Housing development" means a residential housing project, which includes
residential housing for low and moderate income persons.
(7) "Housing sponsor" includes a person who constructs, develops, rehabilitates,
purchases, or owns a housing development that is or will be subject to legally enforceable
restrictive covenants that require the housing development to provide, at least in part,
residential housing to low and moderate income persons, including a local public body, a
nonprofit, limited profit, or for profit corporation, a limited partnership, a limited liability
company, a joint venture, a subsidiary of the corporation, or any subsidiary of the subsidiary, a
cooperative, a mutual housing organization, or [
any
] other type of entity or arrangement that
helps provide affordable housing for low and moderate income persons.
(8) "Interest rate contract" means 
an
 interest rate exchange [
contracts
] 
contract
, 
an
interest rate floor [
contracts
] 
contract
, 
an
 interest rate ceiling [
contracts
] 
contract
, [
and other
] 
or
another
 similar [
contracts
] 
contract
 authorized in a resolution or policy adopted or approved by
the trustees.
(9) "Local public body" means the state, a municipality, county, district, or other
subdivision or instrumentality of the state, including a redevelopment agency and a housing
authority created under 
Title 35A, Chapter 8,
 Part 4, Housing Authorities.
(10) "Low and moderate income persons" means [
persons
] 
individuals
, irrespective of
race, religion, creed, national origin, or sex, as determined by the corporation to require such
assistance as is made available by this [
part
] 
chapter
 on account of insufficient personal or
family income taking into consideration factors, including:
(a) the amount of income that persons and families have available for housing needs;
(b) the size of family;
(c) whether a person is a single head of household;
(d) the cost and condition of available residential housing; and
(e) the ability of persons and families to compete successfully in the normal private
housing market and to pay the amounts at which private enterprise is providing decent, safe,
and sanitary housing.
(11) "Mortgage" means a mortgage, deed of trust, or other instrument securing a
mortgage loan and constituting a lien on real property (the property being held in fee simple or
on a leasehold under a lease having a remaining term, at the time the mortgage is acquired, of
not less than the term for repayment of the mortgage loan secured by the mortgage) improved
or to be improved by residential housing, creating a lien [
which
] 
that
 may be first priority or
subordinate.
(12) "Mortgage lender" means a bank, trust company, savings and loan association,
credit union, mortgage banker, or other financial institution authorized to transact business in
the state, a local public body, or [
any
] other entity, profit or nonprofit, that makes mortgage
loans.
(13) "Mortgage loan" means a loan secured by a mortgage, which loan may bear
interest at either a fixed or variable rate or which may be noninterest bearing, the proceeds of
which are used for the purpose of financing the construction, development, rehabilitation, [
or
]
purchase
, or refinancing
 of residential housing for low and moderate income persons[
,
including low and moderate income persons who:
]
.
[
(a) are first-time homebuyers;
]
[
(b) are single heads of household;
]
[
(c) are elderly;
]
[
(d) are homeless; or
]
[
(e) have a disability.
]
(14) "Rehabilitation" includes the reconstruction, rehabilitation, improvement, and
repair of residential housing.
(15) "Residential housing" means a specific work or improvement within the state
undertaken primarily to provide dwelling accommodations, including land, buildings, and
improvements to land and buildings, whether in one to four family units or multifamily units,
and other incidental or appurtenant nonhousing facilities, or as otherwise specified by the
[
agency
] 
corporation
.
(16) "State" means the state of Utah.
(17) "State housing credit ceiling" means the amount specified in Subsection
42(h)(3)(C) of the Internal Revenue Code for each calendar year.
Section 8. Section 
63H-8-201
, which is renumbered from Section 35A-8-704 is
renumbered and amended to read:
Part 2. Organization
[
35A-8-704
].
 63H-8-201.
Creation -- Trustees -- Terms -- Vacancies --
Chair -- Powers -- Quorum -- Per diem and expenses.
(1) (a) There is created an independent body politic and corporate, constituting a public
corporation, known as the "Utah Housing Corporation."
(b) The corporation may also be known and do business as the:
(i) Utah Housing Finance Association; and
(ii) Utah Housing Finance Agency in connection with [
any
] 
a
 contract entered into
when that was the corporation's legal name.
(c) [
Any
] 
No
 other entity may [
not
] use the names described in Subsections (1)(a) and
(b) without the express approval of the corporation.
(2) The corporation is governed by a board of trustees composed of the following nine
trustees:
[
(a) three ex officio trustees who are:
]
[
(i)
] 
(a)
 the executive director of the Department of Workforce Services or the
executive director's designee;
[
(ii)
] 
(b)
 the commissioner of the Department of Financial Institutions or the
commissioner's designee; [
and
]
[
(iii)
] 
(c)
 the state treasurer or the treasurer's designee; and
[
(b)
] 
(d)
 six public trustees, who are private citizens of the state, as follows:
(i) two people who represent the mortgage lending industry;
(ii) two people who represent the home building and real estate industry; and
(iii) two people who represent the public at large.
(3) The governor shall:
(a) appoint the six public trustees of the corporation with the consent of the Senate; and
(b) ensure that:
(i) the six public trustees are from different counties and are residents of [
Utah
] 
the
state
; and
(ii) not more than three of the public trustees [
belong to
] 
are members of
 the same
political party.
(4) (a) Except as required by Subsection (4)(b), the governor shall appoint the six
public trustees to terms of office of four years each.
(b) Notwithstanding the requirements of Subsection (4)(a), the governor shall, at the
time of appointment or reappointment, adjust the length of terms to ensure that the terms of
corporation trustees are staggered so that approximately half of the board is appointed every
two years.
(5) (a) [
Any of the six
] 
A
 public [
trustees
] 
trustee
 of the corporation may be removed
from office for cause either by the governor or by an affirmative vote of six trustees of the
corporation.
(b) When a vacancy occurs in the board of trustees for any reason, the replacement
shall be appointed for the unexpired term.
(c) A public trustee shall hold office for the term of appointment and until the trustee's
successor has been appointed and qualified.
(d) A public trustee is eligible for reappointment but may not serve more than two full
consecutive terms.
(6) (a) The governor shall select the chair of the corporation.
(b) The trustees shall elect from among their number a vice chair and other officers
they may determine.
(7) (a) Five trustees of the corporation constitute a quorum for transaction of business.
(b) An affirmative vote of at least five trustees is necessary for any action to be taken
by the corporation.
(c) A vacancy in the board of trustees [
may
] 
does
 not impair the right of a quorum to
exercise all rights and perform all duties of the corporation.
(8) A trustee may not receive compensation or benefits for the trustee's service, but
may receive per diem and travel expenses in accordance with:
(a) Section 
63A-3-106
;
(b) Section 
63A-3-107
; and
(c) rules made by the Division of Finance [
pursuant
] 
according
 to Sections 
63A-3-106
and 
63A-3-107
.
Section 9. Section 
63H-8-202
, which is renumbered from Section 35A-8-705 is
renumbered and amended to read:
[
35A-8-705
].
 63H-8-202.
Corporation as continuation of agency.
The corporation is a continuation of the Utah Housing Finance Agency and shall:
(1) possess all rights, title, privileges, powers, immunities, property, and claims of the
[
agency
] 
former Utah Housing Finance Agency
; and
(2) fulfill and perform all obligations of the [
agency
] 
former Utah Housing Finance
Agency
, including [
all agency
] obligations relating to outstanding bonds and notes.
Section 10. Section 
63H-8-203
, which is renumbered from Section 35A-8-706 is
renumbered and amended to read:
[
35A-8-706
].
 63H-8-203.
President and chief executive officer --
Secretary-treasurer -- Powers and duties -- Power to employ experts -- Power to employ
independent legal counsel.
(1) (a) 
(i)
 The trustees shall appoint a president who is the chief executive officer of the
corporation[
, but who
]
.
(ii) The president:
(A)
 may not be a trustee of the corporation[
, and who
]
;
(B)
 serves at the pleasure of the trustees
;
 and
(C) shall
 receive compensation as set by the trustees.
(b) The president, who shall also be the secretary-treasurer, shall
:
(i) establish bank accounts and other monetary investments in the name of the
corporation; and
(ii)
 administer, manage, and direct the affairs and activities of the corporation in
accordance with the policies, control, and direction of the trustees.
(c) The president shall approve all accounts for salaries, allowable expenses of the
corporation, or of any corporation employee or consultant, and expenses incidental to the
operation of the corporation.
(d) The president shall perform any other duties as may be directed by the trustees in
carrying out [
the purposes of this part
] 
this chapter
.
(2) (a) The president shall:
(i) attend the meetings of the corporation;
(ii) keep a record of the proceedings of the corporation; and
(iii) maintain and be custodian of:
(A) books, documents, and papers filed with the corporation;
(B) the minute book or journal of the corporation; and
(C) the corporation's official seal.
(b) The president may cause copies to be made of minutes and other records and
documents of the corporation and may give certificates under seal of the corporation to the
effect that those copies are true copies, and a person dealing with the corporation may rely
upon those certificates.
(3) (a) The corporation may employ or engage technical experts, independent
professionals and consultants, and [
any
] other officers, agents, or employees, permanent or
temporary, as it considers necessary to carry out the efficient operation of the corporation, and
shall determine their qualifications, duties, and compensation.
(b) The trustees may delegate to one or more of the corporation's agents,
representatives, or employees [
any
] administrative duties [
as they
] 
that the trustees
 consider
proper.
(4) The corporation may employ and retain independent legal counsel.
Section 11. Section 
63H-8-204
, which is renumbered from Section 35A-8-707 is
renumbered and amended to read:
[
35A-8-707
].
 63H-8-204.
Relation to certain acts.
(1) The corporation is exempt from:
(a) Title 51, Chapter 5, Funds Consolidation Act;
(b) Title 51, Chapter 7, State Money Management Act;
(c) Title 63A, Utah Administrative Services Code;
(d) Title 63G, Chapter 6a, Utah Procurement Code;
(e) Title 63J, Chapter 1, Budgetary Procedures Act;
(f) Title 63J, Chapter 2, Revenue Procedures and Control Act; and
(g) Title 67, Chapter 19, Utah State Personnel Management Act.
(2) The corporation shall comply with:
(a) Title 52, Chapter 4, Open and Public Meetings Act; and
(b) Title 63G, Chapter 2, Government Records Access and Management Act.
Section 12. Section 
63H-8-205
, which is renumbered from Section 35A-8-708 is
renumbered and amended to read:
[
35A-8-708
].
 63H-8-205.
Disclosure of interest.
(1) A trustee, officer, or employee of the corporation who has, will have, or later
acquires an interest, direct or indirect, in a transaction with the corporation shall immediately
disclose the nature and extent of that interest in writing to the corporation as soon as the
trustee, officer, or employee has knowledge of the actual or prospective interest.
(2) (a) This disclosure shall be entered upon the minutes of the corporation.
(b) Upon the disclosure, that trustee, officer, or employee may participate in any action
by the corporation authorizing the transaction.
Section 13. Section 
63H-8-206
, which is renumbered from Section 35A-8-709 is
renumbered and amended to read:
[
35A-8-709
].
 63H-8-206.
Officer or employee -- No forfeiture of office or
employment.
Notwithstanding the provisions of any other law, no officer or employee of this state
forfeits a state office or state employment by accepting an appointment or by serving as a
trustee of the corporation.
Section 14. Section 
63H-8-301
, which is renumbered from Section 35A-8-711 is
renumbered and amended to read:
Part 3. Corporation Duties and Powers
[
35A-8-711
].
 63H-8-301.
Corporation -- Powers.
The corporation has and may exercise all powers necessary or appropriate to carry out
the purposes of this [
part
] 
chapter
, including:
(1) to have perpetual succession as a body politic and corporate, constituting a public
corporation, and to adopt, amend, and repeal rules, policies, and procedures for the regulation
of its affairs and the conduct of its business;
(2) to sue and be sued in its own name;
(3) to have an official seal and power to alter that seal at will;
(4) to maintain an office [
at a place
] within [
this
] 
the
 state 
at a place
 the corporation
designates;
(5) to adopt, amend, and repeal bylaws and rules that are consistent with this [
part
]
chapter
 to carry into effect the powers and purposes of the corporation and the conduct of its
business;
(6) to make and execute contracts and other instruments necessary or convenient for
the performance of its duties and the exercise of its powers and functions under this [
part
]
chapter
, including contracts or agreements for the servicing and originating of mortgage loans;
(7) to employ advisers, consultants, and agents, including financial experts,
independent legal counsel, and other advisers, consultants, and agents as necessary in the
corporation's judgment and to fix their compensation;
(8) to procure insurance 
in amounts and from insurers as determined by the corporation
against any loss
:
(a)
 in connection with its property and other assets, including mortgage loans[
, in
amounts and from insurers it considers desirable
]; 
and
(b) resulting from the failure of an officer, employee, or agent of the corporation in a
position of public or private trust;
(9) to borrow money and to issue bonds and notes or other evidences of indebtedness
as provided in this [
part
] 
chapter
;
(10) to receive and accept aid or contributions from any source of money, property,
labor, or other things of value to be held, used, loaned, granted, and applied to carry out the
purposes of this [
part
] 
chapter
 subject to the conditions, if any, upon which the grants and
contributions are made, including gifts or grants from a department, agency, or instrumentality
of the United States or of this state for any purpose consistent with this [
part
] 
chapter
;
(11) to enter into agreements with a local public body, a housing sponsor, a
department, agency, or instrumentality of the United States
, another state,
 or this state, or with
mortgagors and mortgage lenders for the purpose of 
administering contracts that provide
housing assistance payments, servicing mortgage loans, or
 planning and regulating and
providing for the financing and refinancing, construction, rehabilitation, leasing, management,
maintenance, operation, sale, or other disposition of [
any
] residential housing undertaken with
the assistance of the corporation under this [
part
] 
chapter
;
(12) to exercise all of its remedies following the default under a mortgage loan,
including:
(a) proceeding with a foreclosure action or private sale to obtain title to the real and
personal property held as collateral and taking assignments of leases and rentals;
(b) to own, lease, clear, reconstruct, rehabilitate, repair, maintain, manage, and operate
this property in preparation for its disposition; and
(c) to assign, encumber, sell, or otherwise dispose of this property;
(13) to invest money not required for immediate disbursement, including money held
in reserve, in a manner consistent with applicable provisions of Title 51, Chapter 7, State
Money Management Act;
(14) to provide technical and financial assistance to housing sponsors and advisory
committees in the development or operation of housing for low and moderate income persons;
(15) to gather and distribute data and information concerning the housing needs of low
and moderate income families within the various communities of this state;
(16) to the extent permitted under a contract with the holders of bonds, notes, and other
obligations of the corporation, to consent to a modification with respect to rate of interest, time
and payment of an installment of principal or interest security, or other term of [
any
] 
a
 contract,
mortgage, mortgage loan, mortgage loan commitment, contract, or agreement of any kind to
which the corporation is a party;
(17) to the extent permitted under a contract with the holders of bonds, notes, and other
obligations of the corporation, to enter into contracts with a mortgagor or housing sponsor
containing provisions enabling the mortgagor to reduce the rental or carrying charges to
persons unable to pay the regular schedule of charges where, by reason of other income or
payment by a department, agency, or instrumentality of the United States or of [
this
] 
the
 state,
the reduction can be made without jeopardizing the economic stability of residential housing
being financed;
(18) to acquire property within [
this
] 
the
 state for the purpose of holding it for
subsequent disposition to a housing sponsor or other entity that can use it for residential
housing for low and moderate income persons, except that if no person can be found to use it in
this manner, the corporation may dispose of the property to any person;
(19) to purchase, own and operate residential housing for the benefit, in whole or in
part, of low and moderate income persons, [
so long as
] 
if
 the corporation makes reasonable
efforts to sell that residential housing to a housing sponsor;
(20) to incorporate or form one or more subsidiaries of the corporation for the purpose
of carrying out any of the powers of the corporation and accomplishing any of the purposes of
the corporation, to invest in and provide financial assistance to these subsidiaries, to borrow
from these subsidiaries, to guarantee the obligations of these subsidiaries, and to enter into
agreements with these subsidiaries to carry out any of the corporation's powers under this [
part
]
chapter
;
(21) to enter into partnership and limited liability company agreements, to purchase
and sell interests in housing sponsors, to serve as general partner of a partnership, and to serve
as a manager of a limited liability company to carry out any of the corporation's powers under
this [
part
] 
chapter
;
(22) to require that persons receiving a mortgage loan or financial assistance from the
corporation subject the property involved to restrictive covenants that shall be considered to be
running with the land, regardless of whether or not the corporation enjoys privity of estate or
whether or not the covenant touches and concerns the burdened property;
(23) to enter into management agreements with a person or entity for the performance
by the person or entity for the corporation of any of its functions or powers, with terms and
conditions as may be mutually agreeable;
(24) to sell, at public or private sale, with or without public bidding, a mortgage loan or
other obligation held by the corporation;
(25) to sell or convey real property owned by the corporation to low or moderate
income persons and housing sponsors, without consideration if the sale or conveyance will
inure primarily to the benefit of low or moderate income persons living in a housing
development;
(26) upon making a determination that the financial status of a housing development
will jeopardize an economic interest of the corporation in the housing development, to assume
managerial and financial control of the property or the owner and to supervise and prescribe the
activities of the property or the owner in a manner and under terms and conditions as the
corporation may stipulate in a contract;
(27) to supervise housing sponsors of housing developments;
(28) to service mortgage loans 
secured by property in Utah or another state
;
(29) to give consideration to [
those
] activities [
which
] 
that
 promote the availability of
accessible housing; and
(30) to do an act necessary or convenient to the exercise of the 
corporation's
 powers
[
granted in or reasonably implied from this part
] 
under this chapter
.
Section 15. Section 
63H-8-302
, which is renumbered from Section 35A-8-712 is
renumbered and amended to read:
[
35A-8-712
].
 63H-8-302.
Corporation -- Additional powers.
(1) To accomplish the declared purposes of this [
part
] 
chapter
, the corporation has the
following powers:
(a) to purchase mortgage loans originated by mortgage lenders or local public bodies
made for the purpose of financing the construction, development, rehabilitation, 
refinancing,
 or
purchase of residential housing for low and moderate income persons;
(b) to make mortgage loans and to provide financial assistance to housing sponsors for
the purpose of financing the construction, development, rehabilitation, 
refinancing,
 or purchase
of residential housing for low and moderate income persons;
(c) to make mortgage loans and provide financial assistance to housing sponsors for the
purpose of financing the operations of a housing development that are necessary or desirable to
enable the housing development to remain available as residential housing for low and
moderate income persons, whether or not the housing development has been financed by the
corporation;
(d) to provide financial assistance to any housing authority created under 
Title 35A,
Chapter 8,
 Part 4, Housing Authorities, which housing authorities may enter into commitments
for and accept loans for a housing project as defined in Section 
35A-8-401
; and
(e) to make mortgage loans and to provide financial assistance to low and moderate
income persons for the construction, rehabilitation, 
refinancing,
 or purchase of residential
housing.
(2) The corporation may issue bonds to purchase loans under Subsection (1)(a) only
after a determination by the corporation that the loans are not otherwise available upon
reasonably equivalent terms and conditions from private lenders.
(3) Loans for owner-occupied housing made under Subsection (1)(a) may not include a
penalty for prepayment.
(4) The corporation shall make rules or adopt policies and procedures to govern the
activities authorized under this section, including:
(a) procedures for the submission of requests or the invitation of proposals for the
purchase and sale of mortgage loans and the making of mortgage loans;
(b) rates, fees, charges, and other terms and conditions of originating or servicing
mortgage loans in order to protect against a realization of an excessive financial return or
benefit by the originator or servicer;
(c) the type and amount of collateral, payment bonds, performance bonds, or other
security to be provided for construction loans made by the corporation;
(d) the nature and amounts of fees to be charged by the corporation to provide for
expenses and reserves of the corporation;
(e) procedures allowing the corporation to prohibit persons who fail to comply with the
rules of the corporation with respect to the operations of a program of the corporation from
participating, either directly or indirectly, in the programs of the corporation;
(f) the terms and conditions under which the corporation may purchase and make
mortgage loans under each program of the corporation;
(g) the terms and conditions under which the corporation may provide financial
assistance under each program of the corporation;
(h) the terms and conditions under which the corporation may guarantee mortgage
loans under each program of the corporation; and
(i) any other matters related to the duties or exercise of powers under this section.
(5) (a) (i) The trustees of the corporation shall elect the directors, trustees, and
members, if any, of each subsidiary.
(ii) Service by a trustee of the corporation in any of these capacities does not constitute
a conflict of interest for any purpose.
(iii) The corporation may delegate any of its powers and duties under this [
part
] 
chapter
to any subsidiary.
(iv) Subsidiaries shall constitute legal entities separate and distinct from each other, the
corporation, and the state.
(b) A note, bond, and other obligation of a subsidiary shall contain on its face a
statement to the effect that:
(i) the subsidiary is obligated to pay the note, bond, or other obligation solely from the
revenues or other funds of the subsidiary;
(ii) neither the corporation
,
 nor the state
,
 nor any of its political subdivisions is
obligated to pay the note, bond, or other obligation; and
(iii) neither the faith and credit nor the taxing power of the state or its political
subdivisions is pledged to the payment of principal, [
or
] 
the
 redemption price of, or the interest
on
,
 the note, bond, or other obligation.
(c) Upon dissolution of a subsidiary of the corporation, any assets shall revert to the
corporation or to a successor to the corporation or, failing this succession, to the state.
(6) (a) The corporation may:
(i) enter into interest rate contracts that its trustees determine are necessary, convenient,
or appropriate for the control or management of debt or for the cost of servicing debt; and
(ii) use corporation funds to satisfy its payment obligations under those contracts.
(b) An interest rate contract may contain payment, security, default, termination,
remedy, and other terms and conditions that the trustees consider appropriate.
(c) An interest rate contract and funds used in connection with an interest rate contract
may not be considered a deposit or investment.
Section 16. Section 
63H-8-303
, which is renumbered from Section 35A-8-713 is
renumbered and amended to read:
[
35A-8-713
].
 63H-8-303.
Power to issue mortgage credit certificates --
Impact of federal legislation on tax exempt status of corporation bonds.
(1) In order to accomplish the purposes of this [
part
] 
chapter
 the corporation may issue
mortgage credit certificates under 26 U.S.C. Sec. [
] 
, as amended, [
and the regulations
issued under the code
] and has the sole responsibility for issuing or approving the issuance of
mortgage credit certificates allowable to the state.
(2) A power granted to the corporation by this [
part
] 
chapter
 may not be diminished by
the enactment of federal legislation that would cause the interest on bonds, notes, or other
obligations of the corporation to be subject to taxation under federal law.
(3) An exemption from state taxation granted in this [
part
] 
chapter
 is not affected by
federal legislation described under Subsection (2).
Section 17. Section 
63H-8-304
, which is renumbered from Section 35A-8-714 is
renumbered and amended to read:
[
35A-8-714
].
 63H-8-304.
Power to borrow money and make loans --
Issuance of notes and bonds -- Mortgage backed securities.
(1) The corporation has the power to borrow money and to issue its notes, bonds, and
other obligations in [
such
] principal amounts as the corporation determines is necessary to
provide sufficient money for:
(a) the purchase of mortgage loans from mortgage lenders;
(b) the making of construction loans;
(c) the making of loans to housing authorities;
(d) the payment of interest on bonds, notes, and other obligations of the corporation;
(e) the establishment of reserves to secure the bonds, notes, and other obligations;
(f) the making of mortgage loans;
(g) the making of loans to mortgage lenders or other lending institutions with respect to
multifamily residential rental housing under terms and conditions requiring the proceeds of
these loans to be used by these mortgage lenders or other lending institutions for the making of
loans for new multifamily residential rental housing or the acquisition or rehabilitation of
existing multifamily residential rental housing;
(h) the making of loans for the rehabilitation of residential housing; and
(i) all other expenditures of the corporation [
incident to and
] necessary or convenient to
carry out its purposes and powers.
(2) (a) The corporation may issue notes to renew notes and bonds to pay notes,
including interest, and whenever it considers refunding expedient, to refund any bonds by the
issuance of new bonds, whether the bonds to be refunded have or have not matured, and to
issue bonds partly to refund bonds then outstanding and partly for any of its corporate
purposes.
(b) The refunding bonds may be:
(i) sold and the proceeds applied to the purchase, redemption, or payment of the bonds
to be refunded; or
(ii) exchanged for the bonds to be refunded.
(3) (a) Except as otherwise expressly provided by the corporation, every issue of the
corporation's notes or bonds are general obligations of the corporation payable solely by money
of the corporation, subject only to any agreements with the holders of particular notes or bonds
pledging any particular money.
(b) These bonds or notes may be additionally secured by a pledge of:
(i) a grant or contribution from the federal government or a corporation, association,
institution, or person; or
(ii) money, income, or revenues of the corporation from any source.
(4) (a) The notes and bonds shall be authorized by resolution or resolutions of the
corporation, shall bear the date or dates, and shall mature at the time or times as the resolution
or resolutions may provide, except that no note, including any renewals thereof, shall mature
more than five years from the date of its original issue, and no bond shall mature more than 50
years from the date of its issue, as provided by the resolution.
(b) The notes and bonds shall bear interest at the rate or rates, including variations in
the rates, be in denominations, be in a form, either coupon or registered, carry the registration
privileges, be executed in the manner, be payable in a medium of payment, at the place or
places, and be subject to the terms of redemption, including redemption prior to maturity, as
provided by the resolution.
(c) The notes and bonds of the corporation may be sold by the corporation at public or
private sale, and at the price or prices determined by the corporation.
(d) (i) The notes and bonds may bear interest at a variable interest rate as provided by
the resolution.
(ii) The resolution may establish a method, formula, or index by which the interest rate
on the notes and bonds is determined.
(iii) The resolution may delegate to one or more officers of the corporation the
authority to:
(A) approve the final interest rates or prices, principal amount, maturities, redemption
features, or other terms of the notes or bonds; and
(B) approve and execute all documents relating to the issuance of the notes or bonds.
(e) In connection with the notes and bonds, the corporation may authorize and enter
into agreements or other arrangements with financial, banking, and other institutions for letters
of credit, standby letters of credit, surety bonds, reimbursement agreements, remarketing
agreements, indexing agreements, tender agent agreements, and other agreements with respect
to:
(i) securing the notes and bonds;
(ii) enhancing the marketability and credit worthiness of the notes and bonds;
(iii) determining a variable interest rate on the notes and bonds; and
(iv) paying from any legally available source, which may include the proceeds of the
notes and bonds, fees, charges, and other amounts coming due with respect to these
agreements.
(5) A resolution authorizing [
any
] notes or bonds or their issue may contain provisions,
which are a part of the contract or contracts with their holders, as to:
(a) pledging all or [
any
] part of the revenues to secure the payment of the notes or
bonds or of any issue of the notes or bonds, subject to the agreements with noteholders or
bondholders as may then exist;
(b) pledging all or [
any
] part of the assets of the corporation, including mortgages and
obligations securing the assets, to secure the payment of the notes or bonds or of any issue of
notes or bonds, subject to the agreements with noteholders or bondholders as may then exist;
(c) the use and disposition of the gross income from mortgages owned by the
corporation and payment of principal of mortgages owned by the corporation;
(d) the setting aside of reserves or sinking funds and their regulation and disposition;
(e) limitations on the purpose to which the proceeds of sale of notes or bonds may be
applied and pledging the proceeds to secure the payment of the notes or bonds or of their issue;
(f) limitations on the issuance of additional notes or bonds, including:
(i) the terms upon which additional notes or bonds may be issued and secured; and
(ii) the refunding of outstanding or other notes or bonds;
(g) the procedure, if any, by which the terms of a contract with noteholders or
bondholders may be amended or abrogated, the amount of notes or bonds to which the holders
must consent, and the manner in which the consent may be given;
(h) limitations on the amount of money to be expended by the corporation for operating
expenses of the corporation;
(i) vesting in a trustee or trustees the property, rights, powers, and duties in trust as
determined by the corporation, which may include any or all of the rights, powers, and duties of
the trustee appointed by the noteholders or bondholders under this [
act
] 
chapter
 and limiting or
abrogating the right of noteholders or bondholders to appoint a trustee under this [
act
] 
chapter
or limiting the rights, powers, and duties of the trustee;
(j) (i) defining the acts or omissions to act that constitute a default in the obligations
and duties of the corporation to the holders of the notes or bonds and providing for the rights
and remedies of the holders of the notes or bonds in the event of default, including as a matter
of right the appointment of a receiver;
(ii) but the rights and remedies may not be inconsistent with the general laws of the
state and other provisions of this [
part
] 
chapter
; or
(k) any other matters, of like or different character, which in any way affect the security
or protection of the holders of the notes or bonds.
(6) (a) A pledge made by the corporation is valid, enforceable, and binding from the
time when the pledge is made and has a lien priority based on the time of grant or, if more than
one lien is granted at a given time, as set forth in the resolution or instrument under which the
pledge is made.
(b) (i) The revenues, money, or property pledged and then received by the corporation
are immediately subject to the lien of the pledge and constitute a perfected lien without any
physical delivery or further act.
(ii) The lien of the pledge is valid and binding against all parties having claims of any
kind in tort, contract, or otherwise against the corporation, irrespective of whether the parties
have notice of the lien.
(c) Neither the resolution nor any other instrument by which a pledge is created need
be recorded.
(d) Notwithstanding the provisions of Title 70A, Chapter 9a, Uniform Commercial
Code - Secured Transactions, the corporation shall comply with the provisions of Title 11,
Chapter 14, Part 5, Governmental Security Interests for the creation, perfection, priority, and
enforcement of a security interest created by the corporation.
(7) The corporation, subject to the agreements with noteholders or bondholders as may
then exist, has power to use available money to purchase notes or bonds of the corporation,
which shall immediately be cancelled 
unless held for resale
, at a price not exceeding:
(a) if the notes or bonds are redeemable at the time of the purchase, the applicable
redemption price plus accrued interest to the next interest payment on the notes or bonds; or
(b) if the notes or bonds are not redeemable at the time of the purchase, the redemption
price applicable on the first date after the purchase that the notes or bonds are subject to
redemption plus accrued interest to that date.
(8) (a) The notes and bonds shall be secured by a trust indenture by and between the
corporation and a corporate trustee, which may be a bank having the power of a trust company
or a trust company within or without the state.
(b) The trust indenture may contain provisions for protecting and enforcing the rights
and remedies of the noteholders or bondholders as may be reasonable and proper and not in
violation of law, including covenants setting forth the duties of the corporation in relation to
the exercise of its corporate powers and the custody, safeguarding, and application of all
money.
(c) The corporation may provide by the trust indenture for the payment of the proceeds
of the notes or bonds and the revenues to the trustee under the trust indenture or other
depository, and for the method of their disbursement, with any safeguards and restrictions as it
may determine.
(d) All expenses incurred in carrying out the trust indenture may be treated as a part of
the operating expenses of the corporation.
(e) If the notes or bonds are secured by a trust indenture, the noteholders or
bondholders may not have authority to appoint a separate trustee to represent them.
(9) Whether or not the notes and bonds are of the form and character as to be
negotiable instruments under the terms of the Uniform Commercial Code, the notes and bonds
are negotiable instruments within the meaning of and for all the purposes of the Uniform
Commercial Code, subject only to the provisions of the notes and bonds relating to registration.
(10) In the event that any of the trustees or officers of the corporation cease to be
trustees or officers of the corporation prior to the delivery of any notes or bonds or coupons
signed by [
them, their
] 
the trustees or officers,
 signatures or facsimiles of [
their
] 
trustees or
officers
 signatures are valid and sufficient for all purposes, the same as if the trustees or
officers had remained in office until the delivery.
(11) A trustee 
or officer
 of the corporation [
or a person
] executing the notes or bonds
issued under this chapter is not subject to personal liability or accountability by reason of the
issuance of the notes or bonds.
(12) The corporation may provide for the replacement of lost, destroyed, or mutilated
bonds or notes.
(13) The corporation may sell mortgage loans it has purchased or made for cash or it
may exchange mortgage loans for mortgage-backed securities and sell the mortgage-backed
securities for cash.
Section 18. Section 
63H-8-401
, which is renumbered from Section 35A-8-716 is
renumbered and amended to read:
Part 4. Corporation Assets and Obligations
[
35A-8-716
].
 63H-8-401.
Corporation money -- Depositing and paying out
-- Power to contract with holders of notes and bonds -- Money held in trust.
(1) (a) All money of the corporation, except as otherwise authorized or provided in this
[
part
] 
chapter
, shall be deposited as soon as practicable in a separate account or accounts in
banks or trust companies organized under [
the laws of the state or national banking association
]
state or federal laws
.
(b) The money in these accounts shall be paid out on checks 
or drafts
 signed by the
president or other officers or employees of the corporation 
or transferred electronically
 as
authorized by the corporation.
(c) All deposits of money shall, if required by the corporation, be secured in a manner
as the corporation determines to be prudent, and banks and trust companies are authorized to
give security for the deposits.
(2) (a) Notwithstanding the provisions of this section, the corporation may contract
with the holders of [
any of
] its notes or bonds as to the custody, collection, securing,
investment, and payment of any money of the corporation and of any money held in trust or
otherwise for the payment of notes or bonds, and to carry out that contract.
(b) Money held in trust or otherwise for the payment of notes or bonds or in any way to
secure notes or bonds and deposits of money may be secured in the same manner as money of
the corporation, and banks and trust companies may give security for the deposits.
Section 19. Section 
63H-8-402
, which is renumbered from Section 35A-8-717 is
renumbered and amended to read:
[
35A-8-717
].
 63H-8-402.
State pledge to holders of notes or bonds.
(1) The state pledges and agrees with the holders of [
any
] notes or bonds issued under
this [
act
] 
chapter
 that the state will not limit or alter the rights hereby vested in the corporation
to fulfill the terms of [
any
] agreements made with the holders of the notes or bonds or in any
way impair the rights and remedies of the holders until the notes and bonds, together with their
interest, with interest on any unpaid installments of interest, and all costs and expenses in
connection with any action or proceeding by or on behalf of the holders, are fully met and
discharged.
(2) The corporation may include this pledge and agreement of the state in any
agreement with the holders of the notes or bonds.
Section 20. Section 
63H-8-403
, which is renumbered from Section 35A-8-718 is
renumbered and amended to read:
[
35A-8-718
].
 63H-8-403.
Notes, bonds, other obligations -- Not a debt
liability -- Expenses payable from funds provided -- Corporation without authority to
incur liability on behalf of state -- Relationship to Governmental Immunity Act of Utah.
(1) (a) (i) Notes, bonds, and other obligations issued under this [
part
] 
chapter
 are not a
debt or liability of [
this
] 
the
 state or of a county, city, town, school district, or other political
subdivision of the state.
(ii) The notes, bonds, or other obligations do not constitute the loaning of credit of the
state or of a county, city, town, school district, or other political subdivision of the state.
(iii) The notes, bonds, or other obligations are not payable from money other than that
of the corporation.
(b) All notes, bonds, or other obligations shall contain on their face a statement to the
effect that:
(i) the corporation shall pay the note, bond, or obligation solely from the revenues or
other money of the corporation;
(ii) neither [
this
] 
the
 state nor any of its political subdivisions are obligated to pay the
note, bond, or obligation; and
(iii) neither the faith and credit nor the taxing power of [
this
] 
the
 state or any of its
political subdivisions are pledged to the payment of principal, [
or
] redemption price of, or the
interest on
,
 the notes, bonds, or other obligations.
(2) All expenses incurred in carrying out this [
part
] 
chapter
 are payable solely from
funds provided under this [
part
] 
chapter
, and nothing in this [
part
] 
chapter
 authorizes the
corporation to incur indebtedness or liability on behalf of or payable by [
this
] 
the
 state or any of
its political subdivisions.
(3) (a) Title 63G, Chapter 7, Governmental Immunity Act of Utah, applies to the
corporation.
(b) Notwithstanding Subsection (3)(a), a claim may not be brought against the state,
[
any
] 
a
 public official or employee of the state, another public entity, or [
any
] 
a
 public official
or employee of another public entity, based on or arising from:
(i) a failure to fulfill a contractual obligation of the corporation;
(ii) an act or failure to act by the corporation or its trustees, officers, employees, agents,
or representatives; or
(iii) failure of the corporation to comply with the requirements of any law or
regulation.
(c) The provisions of Subsection (3)(b) do not apply to a claim of a current or former
officer or employee of the corporation for retirement or insurance benefits.
Section 21. Section 
63H-8-404
, which is renumbered from Section 35A-8-719 is
renumbered and amended to read:
[
35A-8-719
].
 63H-8-404.
Corporation property, notes, and bonds -- Tax
exemption except corporate franchise tax.
(1) Property acquired or held by the corporation under this [
part
] 
chapter
 is declared to
be public property used for essential public and governmental purposes.
(2) The property, its income, and notes and bonds issued under this [
part
] 
chapter
, the
interest payable on the notes and bonds, and income derived from the notes and bonds are
exempt from taxation of every kind by the state, a county, a municipality, and any other
political subdivision of the state, except for the corporate franchise tax.
Section 22. Section 
63H-8-405
, which is renumbered from Section 35A-8-720 is
renumbered and amended to read:
[
35A-8-720
].
 63H-8-405.
Corporation notes, bonds, obligations -- Legal
investments.
(1) The notes, bonds, and other obligations issued under the authority of this [
part
]
chapter
 are securities in which all public officers and public bodies of the state and its political
subdivisions, all banks, bankers, savings banks, trust companies, credit unions, savings and
loan associations, building and loan associations, investment companies, and other persons
carrying on a banking business, all insurance companies and insurance associations, and others
carrying on an insurance business, and all administrators, executors, guardians, trustees, and
other fiduciaries, pension, profit-sharing and retirement funds, and all other persons who may
now or may later be authorized to invest in notes, bonds, or other obligations of the state, may
properly and legally invest any funds, including capital belonging to them or within their
control.
(2) These notes, bonds, and other obligations are securities that may properly and
legally be deposited with and received by any state, county, or municipal officer, or agency of
the state for any purpose for which the deposit of notes, bonds, or other obligations of the state
is now or may later be authorized by law.
Section 23. Section 
63H-8-406
, which is renumbered from Section 35A-8-721 is
renumbered and amended to read:
[
35A-8-721
].
 63H-8-406.
Annual report to governor and Legislature --
Contents -- Audits.
(1) (a) The corporation shall, following the close of each fiscal year, submit, by
October 1, an annual written report of its activities for the preceding year to the governor and
the Retirement and Independent Entities Interim Committee.
(b) Each report shall set forth a complete operating and financial statement of the
corporation during the fiscal year it covers.
(c) At least once each year, an independent certified public accountant shall audit the
books and accounts of the corporation.
(d) A complete copy of each annual audit report shall be:
(i) included in the report to the governor and the Legislature under Subsection (2);
[
and
]
(ii) available for public inspection at the corporation's office[
.
]
; and
(iii) made available to the public on the corporation's website.
(2) The corporation shall, each fiscal year, submit a budget of its operations to the
Legislature and the governor.
(3) (a) The corporation shall form an audit committee consisting of no less than three
trustees.
(b) The audit committee has exclusive authority to:
(i) select and engage the independent certified public accountant to audit the
corporation; and
(ii) supervise the audit.
(4) The corporation shall provide additional information upon request by the governor,
the Legislature, a legislative committee, the legislative auditor general, or the state auditor.
Section 24. Section 
63H-8-407
, which is renumbered from Section 35A-8-722 is
renumbered and amended to read:
[
35A-8-722
].
 63H-8-407.
Act not restriction on powers of corporation --
Construed as alternative -- Bonds, notes, obligations issued need not comply with other
laws.
(1) (a) This [
part
] 
chapter
 and its contents are not a restriction or limitation upon other
powers that the corporation has under other laws of [
this
] 
the
 state.
(b) This [
part
] 
chapter
 is cumulative to the powers referenced in Subsection (1)(a).
(2) This [
part
] 
chapter
 provides a complete, additional, and alternative method for
doing the things authorized in this [
part
] 
chapter
 and is supplemental and additional to powers
conferred by other laws.
(3) The issuance of bonds, notes, and other obligations under this [
part
] 
chapter
 need
not comply with the requirements of any other state law applicable to the issuance of bonds,
notes, and other obligations.
(4) Proceedings, notice, or approval are not required for the issuance of [
any
] bonds,
notes, and other obligations or [
any
] 
an
 instrument as security for them, except as provided in
this [
part
] 
chapter
.
Section 25. Section 
63H-8-408
, which is renumbered from Section 35A-8-723 is
renumbered and amended to read:
[
35A-8-723
].
 63H-8-408.
Allocation to corporation of mortgage bonds
qualified under Internal Revenue Code.
(1) The entire amount of qualified mortgage bonds allowable to Utah under 26 U.S.C.
Sec. 143, and the regulations issued under the code, is allocated to the Utah Housing
Corporation which, for purposes of 26 U.S.C. Sec. 143 and the regulations under that section,
has sole responsibility for issuing or approving the issuance of qualified mortgage bonds
allowable to Utah.
(2) The corporation is not required to issue or approve the issuance of qualified
mortgage bonds equal in amount to the amount allowed Utah.
(3) Housing authorities in counties, cities, and towns in Utah may apply under 26
U.S.C. Sec. 143 to the corporation for funding of housing programs within their respective
jurisdictions.
Section 26. Section 
63H-8-409
, which is renumbered from Section 35A-8-724 is
renumbered and amended to read:
[
35A-8-724
].
 63H-8-409.
Allocation of qualified mortgage bonds to
counties, cities, and towns.
(1) (a) The corporation may allocate all or part of the amount to one or more counties,
cities, and towns within the state or to any authority or agency of any entity that is authorized to
issue qualified mortgage bonds.
(b) An allocation may not be made under this section unless:
(i) the entity applies to the corporation for an allocation; and
(ii) the corporation finds that the proposed allocation would be in the best interest of
the state.
(c) The corporation shall take the following factors into consideration before making
its finding:
(i) the number of "low and moderate income persons," within the meaning of the Utah
Housing Corporation Act, within a given area;
(ii) the likelihood that the proposed issuing entity would use the allocation to issue
qualified mortgage bonds in a timely manner;
(iii) the cost to the proposed issuing entity to issue the bonds relative to the cost to the
corporation to issue the bonds;
(iv) any special costs or benefits which would result from the issuance of the bonds by
the proposed issuing entity;
(v) the capability of the proposed issuing entity to administer an issuance of qualified
mortgage bonds;
(vi) the needs of the proposed issuing entity relative to the needs of other counties,
cities, and towns;
(vii) the effects of the proposed allocation on counties, cities, and towns which are not
served by the proposed issuing entity; and
(viii) any other factors the corporation considers relevant to a determination of what is
in the best interest of [
Utah
] 
the state
 with regard to single family housing.
(2) (a) The corporation shall specify the time within which an issuing entity shall use
the allocation.
(b) Any part of the allocation which is not used within the time prescribed
automatically terminates.
(c) The corporation may extend the time initially prescribed for use of the allocation.
Section 27. Section 
63H-8-410
, which is renumbered from Section 35A-8-725 is
renumbered and amended to read:
[
35A-8-725
].
 63H-8-410.
Low-income housing tax credits.
(1) The corporation is designated the "Housing Credit Agency" for the state within the
meaning of 26 U.S.C. Sec. 42(h) and for the purposes of carrying out 26 U.S.C. Sec. 42 and
[
any
] regulations promulgated under that section.
(2) The entire state housing credit ceiling for each calendar year is allocated to the
corporation.
(3) The allocation of the state housing credit ceiling shall be made under the state's
qualified allocation plan within the meaning of 26 U.S.C. Sec. 42(m), as amended, and as
provided in Subsection (4).
(4) The corporation may amend the state's qualified allocation plan as necessary to
comply with revisions to the low-income housing tax credit program under 26 U.S.C. Sec. 42,
or as may be necessary to further the goals and purposes of the low-income housing tax credit
program for the state.
(5) The corporation, or a subsidiary of the corporation, may have a direct or indirect
ownership interest in, and may materially participate in the operation and management of, a
housing development or program that has received an allocation of the state housing credit
ceiling.
Section 28. Section 
63H-8-411
, which is renumbered from Section 35A-8-726 is
renumbered and amended to read:
[
35A-8-726
].
 63H-8-411.
Asset disposition upon dissolution of
corporation.
Upon dissolution of the corporation:
(1) all liabilities and obligations of the corporation, including obligations to
bondholders, shall be paid, satisfied, discharged, or adequately provided for; and
(2) all remaining money, property, rights, claims, and interests of the corporation shall
revert or be conveyed to the state.
Section 29. Section 
63I-1-235
 is amended to read:
63I-1-235.
Repeal dates, Title 35A.
(1) Title 35A, Utah Workforce Services Code, is repealed July 1, 2015.
[
(2) Title 35A, Chapter 8, Part 7, Utah Housing Corporation Act, is repealed July 1,
2016.
]
[
(3)
] 
(2)
 Title 35A, Chapter 8, Part 18, Transitional Housing and Community
Development Advisory Council, is repealed July 1, 2014.
[
(4)
] 
(3)
 Title 35A, Chapter 11, Women in the Economy Commission Act, is repealed
July 1, 2016.
Section 30. Section 
63I-1-263
 is amended to read:
63I-1-263.
Repeal dates, Titles 63A to 63M.
(1) Section 
63A-4-204
, authorizing the Risk Management Fund to provide coverage to
any public school district which chooses to participate, is repealed July 1, 2016.
(2) Subsection 
63A-5-104
(4)(h) is repealed on July 1, 2024.
(3) Section 
63A-5-603
, State Facility Energy Efficiency Fund, is repealed July 1, 2016.
(4) Title 63C, Chapter 4a, Constitutional and Federalism Defense Act, is repealed July
1, 2018.
(5) Title 63C, Chapter 14, Federal Funds Commission, is repealed July 1, 2018.
(6) Title 63C, Chapter 15, Prison Relocation Commission, is repealed July 1, 2017.
(7) Subsection 
63G-6a-1402
(7) authorizing certain transportation agencies to award a
contract for a design-build transportation project in certain circumstances, is repealed July 1,
2015.
(8) Title 63H, Chapter 4, Heber Valley Historic Railroad Authority, is repealed July 1,
2020.
(9) Title 63H, Chapter 8, Utah Housing Corporation Act, is repealed July 1, 2016.
[
(9)
] 
(10)
 The Resource Development Coordinating Committee, created in Section
63J-4-501
, is repealed July 1, 2015.
[
(10)
] 
(11)
 Title 63M, Chapter 1, Part 4, Enterprise Zone Act, is repealed July 1, 2018.
[
(11)
] 
(12)
 (a) Title 63M, Chapter 1, Part 11, Recycling Market Development Zone
Act, is repealed January 1, 2021.
(b) Subject to Subsection [
(11)
] 
(12)
(c), Sections 
59-7-610
 and 
59-10-1007
 regarding
tax credits for certain persons in recycling market development zones, are repealed for taxable
years beginning on or after January 1, 2021.
(c) A person may not claim a tax credit under Section 
59-7-610
 or 
59-10-1007
:
(i) for the purchase price of machinery or equipment described in Section 
59-7-610
 or
59-10-1007
, if the machinery or equipment is purchased on or after January 1, 2021; or
(ii) for an expenditure described in Subsection 
59-7-610
(1)(b) or 
59-10-1007
(1)(b), if
the expenditure is made on or after January 1, 2021.
(d) Notwithstanding Subsections [
(11)
] 
(12)
(b) and (c), a person may carry forward a
tax credit in accordance with Section 
59-7-610
 or 
59-10-1007
 if:
(i) the person is entitled to a tax credit under Section 
59-7-610
 or 
59-10-1007
; and
(ii) (A) for the purchase price of machinery or equipment described in Section
59-7-610
 or 
59-10-1007
, the machinery or equipment is purchased on or before December 31,
2020; or
(B) for an expenditure described in Subsection 
59-7-610
(1)(b) or 
59-10-1007
(1)(b), the
expenditure is made on or before December 31, 2020.
[
(12)
] 
(13)
 Section 
63M-1-3412
 is repealed on July 1, 2021.
[
(13)
] 
(14)
 (a) Section 
63M-1-2507
, Health Care Compact is repealed on July 1, 2014.
(b) (i) The Legislature shall, before reauthorizing the Health Care Compact:
(A) direct the Health System Reform Task Force to evaluate the issues listed in
Subsection [
(13)
] 
(14)
(b)(ii), and by January 1, 2013, develop and recommend criteria for the
Legislature to use to negotiate the terms of the Health Care Compact; and
(B) prior to July 1, 2014, seek amendments to the Health Care Compact among the
member states that the Legislature determines are appropriate after considering the
recommendations of the Health System Reform Task Force.
(ii) The Health System Reform Task Force shall evaluate and develop criteria for the
Legislature regarding:
(A) the impact of the Supreme Court ruling on the Affordable Care Act;
(B) whether Utah is likely to be required to implement any part of the Affordable Care
Act prior to negotiating the compact with the federal government, such as Medicaid expansion
in 2014;
(C) whether the compact's current funding formula, based on adjusted 2010 state
expenditures, is the best formula for Utah and other state compact members to use for
establishing the block grants from the federal government;
(D) whether the compact's calculation of current year inflation adjustment factor,
without consideration of the regional medical inflation rate in the current year, is adequate to
protect the state from increased costs associated with administering a state based Medicaid and
a state based Medicare program;
(E) whether the state has the flexibility it needs under the compact to implement and
fund state based initiatives, or whether the compact requires uniformity across member states
that does not benefit Utah;
(F) whether the state has the option under the compact to refuse to take over the federal
Medicare program;
(G) whether a state based Medicare program would provide better benefits to the
elderly and disabled citizens of the state than a federally run Medicare program;
(H) whether the state has the infrastructure necessary to implement and administer a
better state based Medicare program;
(I) whether the compact appropriately delegates policy decisions between the
legislative and executive branches of government regarding the development and
implementation of the compact with other states and the federal government; and
(J) the impact on public health activities, including communicable disease surveillance
and epidemiology.
[
(14)
] 
(15)
 (a) Title 63M, Chapter 1, Part 35, Utah Small Business Jobs Act, is
repealed January 1, 2021.
(b) Section 
59-9-107
 regarding tax credits against premium taxes is repealed for
calendar years beginning on or after January 1, 2021.
(c) Notwithstanding Subsection [
(14)
] 
(15)
(b), an entity may carry forward a tax credit
in accordance with Section 
59-9-107
 if:
(i) the person is entitled to a tax credit under Section 
59-9-107
 on or before December
31, 2020; and
(ii) the qualified equity investment that is the basis of the tax credit is certified under
Section 
63M-1-3503
 on or before December 31, 2023.
[
(15)
] 
(16)
 The Crime Victim Reparations and Assistance Board, created in Section
63M-7-504
, is repealed July 1, 2017.
[
(16)
] 
(17)
 Title 63M, Chapter 11, Utah Commission on Aging, is repealed July 1,
2017.
Section 31. Section 
63I-4a-102
 is amended to read:
63I-4a-102.
Definitions.
(1) (a) "Activity" means to provide a good or service.
(b) "Activity" includes to:
(i) manufacture a good or service;
(ii) process a good or service;
(iii) sell a good or service;
(iv) offer for sale a good or service;
(v) rent a good or service;
(vi) lease a good or service;
(vii) deliver a good or service;
(viii) distribute a good or service; or
(ix) advertise a good or service.
(2) (a) Except as provided in Subsection (2)(b), "agency" means:
(i) the state; or
(ii) an entity of the state including a department, office, division, authority,
commission, or board.
(b) "Agency" does not include:
(i) the Legislature;
(ii) an entity or agency of the Legislature;
(iii) the state auditor;
(iv) the state treasurer;
(v) the Office of the Attorney General;
(vi) the 
Utah
 Dairy Commission created in [
Title 4, Chapter 22, Dairy Promotion Act
]
Section 
4-22-2
;
(vii) the Utah Science Center Authority created in [
Title 63H, Chapter 3, Utah Science
Center Authority
] 
Section 
63H-3-103
;
(viii) the Heber Valley Railroad Authority created in [
Title 63H, Chapter 4, Heber
Valley Historic Railroad Authority
] 
Section 
63H-4-102
;
(ix) the Utah State Railroad Museum Authority created in [
Title 63H, Chapter 5, Utah
State Railroad Museum Authority
] 
Section 
63H-5-102
;
(x) the Utah Housing Corporation created in [
Title 35A, Chapter 8, Part 7, Utah
Housing Corporation Act
] 
Section 
63H-8-201
;
(xi) the Utah State Fair Corporation created in [
Title 63H, Chapter 6, Utah State Fair
Corporation Act
] 
Section 
63H-6-103
;
(xii) the Workers' Compensation Fund created in [
Title 31A, Chapter 33, Workers'
Compensation Fund
] 
Section 
31A-33-102
;
(xiii) the Utah State Retirement Office created in [
Title 49, Chapter 11, Utah State
Retirement Systems Administration
] 
Section 
49-11-201
;
(xiv) a charter school chartered by the State Charter School Board or a board of
trustees of a higher education institution under Title 53A, Chapter 1a, Part 5, The Utah Charter
Schools Act;
(xv) the Utah Schools for the Deaf and the Blind created in Title 53A, Chapter 25b,
Utah Schools for the Deaf and the Blind;
(xvi) an institution of higher education as defined in Section 
53B-3-102
;
(xvii) the School and Institutional Trust Lands Administration created in [
Title 53C,
Chapter 1, Part 2, School and Institutional Trust Lands Administration
] 
Section 
53C-1-201
;
(xviii) the Utah Communications Authority created in [
Title 63H, Chapter 7, Utah
Communications Authority Act
] 
Section 
63H-7-201
; or
(xix) the Utah Capital Investment Corporation created in [
Title 63M, Chapter 1, Part
12, Utah Venture Capital Enhancement Act
] 
Section 
63M-1-1207
.
(3) "Agency head" means the chief administrative officer of an agency.
(4) "Board" means the Free Market Protection and Privatization Board created in
Section 
63I-4a-202
.
(5) "Commercial activity" means to engage in an activity that can be obtained in whole
or in part from a private enterprise.
(6) "Local entity" means:
(a) a political subdivision of the state, including a:
(i) county;
(ii) city;
(iii) town;
(iv) local school district;
(v) local district; or
(vi) special service district;
(b) an agency of an entity described in this Subsection (6), including a department,
office, division, authority, commission, or board; or
(c) an entity created by an interlocal cooperative agreement under Title 11, Chapter 13,
Interlocal Cooperation Act, between two or more entities described in this Subsection (6).
(7) "Private enterprise" means a person that engages in an activity for profit.
(8) "Privatize" means that an activity engaged in by an agency is transferred so that a
private enterprise engages in the activity, including a transfer by:
(a) contract;
(b) transfer of property; or
(c) another arrangement.
(9) "Special district" means:
(a) a local district, as defined in Section 
17B-1-102
;
(b) a special service district, as defined in Section 
17D-1-102
; or
(c) a conservation district, as defined in Section 
17D-3-102
.
Section 32. Section 
63J-7-102
 is amended to read:
63J-7-102.
Scope and applicability of chapter.
(1) Except as provided in Subsection (2), and except as otherwise provided by a statute
superseding provisions of this chapter by explicit reference to this chapter, the provisions of
this chapter apply to each agency and govern each grant received on or after May 5, 2008.
(2) This chapter does not govern:
(a) a grant deposited into a General Fund restricted account;
(b) a grant deposited into a Trust and Agency Fund as defined in Section 
51-5-4
;
(c) a grant deposited into an Enterprise Fund as defined in Section 
51-5-4
;
(d) a grant made to the state without a restriction or other designated purpose that is
deposited into the General Fund as free revenue;
(e) a grant made to the state that is restricted only to "education" and that is deposited
into the Education Fund or Uniform School Fund as free revenue;
(f) in-kind donations;
(g) a tax, fees, penalty, fine, surcharge, money judgment, or other money due the state
when required by state law or application of state law;
(h) a contribution made under Title 59, Chapter 10, Part 13, Individual Income Tax
Contribution Act;
(i) a grant received by an agency from another agency or political subdivision;
(j) a grant to the 
Utah
 Dairy Commission created in [
Title 4, Chapter 22, Dairy
Promotion Act
] 
Section 
4-22-2
;
(k) a grant to the Utah Science Center Authority created in [
Title 63H, Chapter 3, Utah
Science Center Authority
] 
Section 
63H-3-103
;
(l) a grant to the Heber Valley Railroad Authority created in [
Title 63H, Chapter 4,
Heber Valley Historic Railroad Authority
] 
Section 
63H-4-102
;
(m) a grant to the Utah State Railroad Museum Authority created in [
Title 63H,
Chapter 5, Utah State Railroad Museum Authority
] 
Section 
63H-5-102
;
(n) a grant to the Utah Housing Corporation created in [
Title 35A, Chapter 8, Part 7,
Utah Housing Corporation Act
] 
Section 
63H-8-201
;
(o) a grant to the Utah State Fair Corporation created in [
Title 63H, Chapter 6, Utah
State Fair Corporation Act
] 
Section 
63H-6-103
;
(p) a grant to the Workers' Compensation Fund created in [
Title 31A, Chapter 33,
Workers' Compensation Fund
] 
Section 
31A-33-102
;
(q) a grant to the Utah State Retirement Office created in [
Title 49, Chapter 11, Utah
State Retirement Systems Administration
] 
Section 
49-11-201
;
(r) a grant to the School and Institutional Trust Lands Administration created in [
Title
53C, Chapter 1, Part 2, School and Institutional Trust Lands Administration
] 
Section
53C-1-201
;
(s) a grant to the Utah Communications Authority created in [
Title 63H, Chapter 7,
Utah Communications Authority Act
] 
Section 
63H-7-201
;
(t) a grant to the Medical Education Program created in Section 
53B-24-202
;
(u) a grant to the Utah Capital Investment Corporation created in [
Title 63M, Chapter
1, Part 12, Utah Venture Capital Enhancement Act
] 
Section 
63M-1-1207
;
(v) a grant to the Utah Charter School Finance Authority created in Section
53A-20b-103
;
(w) a grant to the State Building Ownership Authority created in Section 
63B-1-304
;
(x) a grant to the Utah Comprehensive Health Insurance Pool created in Section
31A-29-104
; or
(y) a grant to the Military Installation Development Authority created in Section
63H-1-201
.
(3) An agency need not seek legislative review or approval of grants under Part 2,
Grant Approval Requirements, if:
(a) the governor has declared a state of emergency; and
(b) the grant is donated to the agency to assist victims of the state of emergency under
Subsection 
53-2a-204
(1).
Section 33. 
Repealer.
This bill repeals:
Section 
35A-8-710
,
Surety bond required.
Section 
35A-8-715
,
Capital reserve funds -- Capital reserve fund requirement --
Establishment of other funds.